1981 08 27 CC Minutes10827 -1
MINUTES OF THE REGULAR MEETING
OF THE CITY COUNCIL OF THE CITY OF BAYTOWN
August 27, 1981
The City Council of the City of Baytown, Texas, met in
regular session on Thursday, August 27, 1981, at 6:30 p.m.
in the Council Chamber of the Baytown City Hall with the
following attendance:
Fred T. Philips
Jimmy Johnson
Perry Simmons
* *Mary E. Wilbanks
* *Roy L. Fuller
Absent: Allen Cannon
Emmett 0. Hutto
Fritz Lanham
Randy Strong
Eileen P. Hall
Councilman
Councilman
Councilman
Councilwoman
Councilman
Councilman
Mayor
City Manager
City Attorney
City Clerk
The meeting was called to order with a quorum present
and the invocation was offered, afterwhich the following
business was conducted:
Minutes
Councilman Johnson moved for approval of the minutes
for the meeting held August 13, 1981; Councilman Philips
seconded the motion. The vote follows:
Ayes: Council members Philips, Johnson and Simmons
Mayor Hutto
Nays: None
* *Councilmembers Wilbanks and Fuller now present.
Councilman Philips requested that the Administration
respond to the petition presented at the last Council meeting
concerning problems at Bergeron Park on Kentucky and Foote
Park on West Main. Mr. Lanham stated that a report would be
made at a future meeting.
Councilman Philips responded to an inquiry made by
Councilwoman Wilbanks concerning action of Council regarding
the recommendation of Baytown Library Board in response to
First American Bank's request to acquire city -owned property.
He stated that a committee composed of the two Council
members appointed by Mayor Hutto, along with two representa-
tives of the Baytown Library Board met as a city committee
with representatives of First American Bank. He also reported
that the meeting was very productive.
Mr. Lanham reported that the representives of the
Library Board are Vic Glass and David Kad.jar.
Pea titinnQ
The Administration had received a petition signed by
residents of the 1200 block of Olive who are requesting
relief from flooding during heavy rains.
10827 -2
Minutes of the Regular Meeting - August 27, 1981
Mr. Lanham reported that this area would probably be
included in the same drainage study as the Greenwood area.
In response to an inquiry from Council, Mr. Lanham
stated that the city is currently in the process of studying
drainage problems, not only in the Greenwood area, but other
areas which have been called to the attention of the Administration.
Councilman Johnson moved that the petition be duly
accepted and noted; Councilwoman Wilbanks seconded the
motion. The vote follows:
Ayes: Council members Philips, Johnson, Simmons,
Wilbanks and Fuller
Mayor Hutto
Nays: None
Mr. Lanham stated that he was mistaken, the 1200 block
of Olive is not in the vicinity of Greenwood; it is in the
vicinity of Danubina and will, therefore, be a separate
study.
City Manager's Report
Senior Citizens Taxicab Program - The Senior Citizens
Taxicab Program was recently evaluated by the Area Agency on
Aging and the City of Baytown was given an excellent report.
Houston Lighting and Power Company Statement of Fuel
Cost Adjustments for September - Council was furnished with
a copy of a letter from Jim Schaefer, District Manager of
Houston Lighting and Power Company, setting forth statement
of cost comparisons for the billing month of September,
1981. The cost for a user of 2,000 KWH for September will
be $129.82 compared to $134.31 for August and $142.41 for
July.
Bond Program - The Administration furnished Council
architectural and engineering firms that have indicated an
interest in being involved in some of the capital improvements
work. In the past, Councils have elected to interview some
of the firms whose names were submitted and from those
interviews made final determinations.
Councilman Philips stated that Council needs to have
some sort of plan and selections need to be made on basis of
those most qualified.
Mr. Lanham suggested that perhaps Council would like to
discuss this in a work session and perhaps even tentatively
select firms to interview. Fourteen engineering firms have
expressed an interest and four architectural firms.
Councilman Fuller stated that Council would also need
to look at the various firms' work loads since timing on
these bond projects is very important.
Councilman Simmons suggested that two points should be
verified: (1) the firm's current work load and (2) the
firm's past history.
Councilman Philips stated that Council would need to
look at what projects are to be considered first to determine
which firms would best qualify.
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Minutes of the Regular Meeting - August 27, 1981
Council scheduled a work session for 4:00 p.m., Tuesday,
September 1, 1981.
Related to that is the sale of bonds. Council has
approved the development of a plan to sell 5.6 million in
bonds in September. The bond market today is probably at
its worst. San Antonio sold double "A" rated General
Obligation Bonds at 11.9%. Mr. Masterson, the City of
Baytown's bond consultant, indicated that if Baytown sold
bonds today the rate would be 11.25% or 11.500. Baytown
bonds would sell for a lower rate than San Antonio because
the average maturity is less. Included in the first sale
are funds that will be needed for preparation of plans and
specifications and construction costs for several of the
projects. The city could move ahead on the project by
selling less -than originally anticipated which would provide
the funds to get the engineering work underway, along with
necessary funding for purchase of rights of way. Mr. Lanham
suggested that a $2,000,000 sale would be sufficient to
accomplish engineering and purchase of rights of way.
However, he emphasized that there are no assurances that
several months from present, when the city needs to sell the
next installment, that the bond market will have improved.
Councilman Philips stated
opinion from another financial
that the Administration needed
constitutes the $2,000,000.
that he would like to have an
consultant. He also suggested
to provide by line item what
Mr. Lanham stated that he could give Council tentative
figures -- $230,000 is planned for land and plans for the
fire station; for water, the original plan was $2,000,000,
but $200,000 should be enough to get the plans underway.
For sewer improvements, $1,150,000 is needed because of the
grant for the West District Improvements; $170,000 is needed
to continue with the Baker /Bayway project; $250,000 is
necessary to move the little league park in time for next
season. It is not necessary to sell bonds for street purposes
because there are funds remaining in the 1975 Street Bond
Fund. Mr. Lanham stated that the Administration could go
into more detail on Tuesday, but presently he would like
guidance from Council regarding placement of an item on the
agenda. Possibly, Council will want to consider the sale of
$2,000,000 now and the remainder in a few months when it
becomes necessary to have money to award contracts.
Councilman Philips stressed the importance of getting
the bond program in place and stated inflation will continue
for a long while.
Mayor Hutto stated that $2,000,000 is a goodly portion
of the 5.6 million and the remainder could be sold in a few
months.
Mr. Lanham stated that for the 1975 bond projects,
^ initially $1,000,000 was sold to get the engineering work
underway and then another sale was held to get the plans
prepared. There was no delay in getting the projects
underway.
Councilman Simmons stated that in other words the
Council would be doing what is absolutely necessary at this
time and wait in hopes that the bond market would improve.
Mr. Lanham stated that was correct except that at that
point Council may be faced with the prospect of selling at a
higher rate or postponing the sale and thereby, postponing
10827 -4
Minutes of the Regular Meeting - August 27, 1981
the project.
Council concurred that an item could be placed on the
agenda for Tuesday night for Council consideration.
West District Sewerage Treatment Plant - The contractor
has completed the site work and has performed some of the
excavation for the treatment unit.
East District - All the work on the East District
project is complete with the exception of the lift station
which is to be completed by the end of August. Startup
should be possible the first week in September.
Drainage - In connection with the drainage work, the
right of way has been acquired for the Bayway /Baker ditch;
therefore, the only necessary task is to finalize the plans
and get the county and the city in a position to begin the
work.
The drainage work on Pecan Manor is 75% complete; Goose
Creek Drive is 70% complete.
Councilman Philips commended the Public Works /Engineering
Department for the completion of the minor drainage jobs as
indicated by the report furnished Council.
Mr. Lanham mentioned that after the Administration had
taken a closer look at some of the minor jobs on the list,
it was discovered that no work was necessary. Therefore,
those three or four projects are listed as being complete.
The Administration plans to come to Council in early September
with a recommended list for next fiscal year. .
1981 Street Improvement Program - The contractor has
completed Indiana. The curb and gutter work on Kansas is
75% complete; the excavation work and surfacing remain to be
done. The sidewalk to Crockett School from Chaparral School
is in place. Some cleanup work is needed, but the sidewalk
can be used by the students to get to the school. Massey
Street is 95% complete. The contractor expects to have that
street open by the time school begins on Monday because the
street is near Horace Mann School and is utilized by school
traffic. Excavation work is underway for curb and gutter at
Tejas Park.
Signalization of Lynchburg Cedar Bayou at Garth - The
signal has been installed at Lynchburg Cedar Bayou at Garth
and will be placed in service either tomorrow or Monday.
Demolition - Council was furnished with a copy of a
letter from the owner of property on Pearce Street who has
requested more time to demolish the structure. This is on
the agenda for the Urban Rehab Board to consider. The
Administration will recommend to that Board that the extension
be given.
Questions and Comments Regarding City Manager's Report
In response to an inquiry from Council, Ed Shackelford
explained that when work began on Kansas Street, the existing
curb and gutter was not on grade but that situation has been
corrected which resulted in the curb and gutter being lower
than the existing roadway in some cases. However, this will
not hamper drainage in that area.
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Minutes of the Regular Meeting - August 27, 1981
In response to an inquiry concerning topless dancers at
Club Oasis, the City Attorney explained that the city does
not regulate businesses that sell alcoholic beverages due tc
state statute.
Hold Public Hearing on Proposed 1981 -82 Budget (7:00 p.m.
Mayor Hutto announced that the public hearing on the
proposed 1981 -82 City of Baytown Budget was open and in-
formed those present that there was a register in the hallway
to be signed by those desiring to speak. Mayor Hutto
requested that Fritz Lanham, City Manager, summarize the
proposed budget.
Mr. Lanham reported that the proposed budget for the
fiscal year 1981 -82 totals $27,039,452 which represents
almost $3,400,000 increase over the current year's budget or
a 14.38% increase. This is less than half the percentage
this year's budget was increased over last year's budget.
The 14.38% increase is due in part to inflation, plus a
limited number of increases in levels of services to be
provided. The pay plan adjustment for city employees is a
major adjustment. Also, the Administration is recommending
some additional employees next year. In the general fund,
the recommendation is to add 24J new positions with the
majority of these being in the public safety area - -9 addi-
tional fire department positions and 11 additional police
department positions, with the vehicles and other things
that go along with public safety, represents a substantial
part of this increase. The recommendation includes an
increase in the level of service to be provided by streets
and drainage department in terms of street cleaning, right
of way mowing and maintenance of streets. Inspection
services on construction are to be increased.
In the water and sewer department last year at this
time there was a major increase-because of the conversion to
surface water. The increase recommended this year is not
nearly so large. It is only 7.3% over the current year's
budget. Pay plan adjustment is also being recommended for
the water and sewer department plus six additional employees.
Two of the six will be assigned to water distribution so
that the city can respond more quickly to water line breaks
and leaks. Two additional people will be added to the
sanitary sewer collections and one additional person will be
provided at the sewerage treatment plant that is under
construction to monitor construction. Once the plant has
been completed, there will be several new hires. There will
be one additional person hired for the collections office.
In solid waste collections the recommendation is that an
additional route be added with the addition of one truck and
a person to operate that vehicle.
In the general fund, interest and sinking fund, because
of bonds that have been sold in the past and Certificates of
Obligation that have been sold, the need for funds has
increased.
With respect to revenues, a $ .50 increase has been
recommended in the charge to collect garbage and trash which
will increase the monthly charge from $5.50 to $6.00. A
$ .04 reduction is being recommended in the tax rate. This
year the tax rate is $1.28 based on property being assessed
at 5076 market value. Next year, property must be assessed
10827 -6
Minutes of the Regular Meeting - August 27, 1981
at 100% market value; therefore, the rate that would be
comparable to the $1.28 would be $ .64. The Administration
is recommending that the tax rate be decreased to $ .60.
That reduction is not enough to off -set the increase in
taxes that most citizens will pay as a result of the reappraisal
program. Most homes have received an increase in value
because the last appraisal was based on 1977 values, but now
all property is at current appraisal value.
Jocelyn M. Wesselhoft, Director of Baytown Senior
Citizens Nutrition Center, appeared to request continued
support of the van which transports senior citizens and
handicapped persons of the community. The request is for
$15,000 to cover the driver's salary, gasoline and oil,
maintenance and insurance necessary to operate the van.
Mrs. Wesselhoft mentioned that the center has been able to
keep costs for operation of the van at $15,000 and will
attempt to do so in 1981 -82.
Council commended Mrs. Wesselhoft for providing this
service to the elderly and handicapped without increased
costs.
In response to an inquiry from Council, Mrs. Wesselhoft
explained that the van transports between 15 and 20 persons
per day to the nutrition center. However, the van is equipped
to transport the handicapped as well and will transport the
elderly and handicapped to doctor's appointments, to shop,
etc.
Refugio Martinez, 3126 Nebraska, representative of
DeZavala Neighborhood Council, appeared to request budgeted
funds to assist in handling the trash, garbage and debris
problems present in the old Baytown area on both public and
private property. Mr. Martinez had no specific estimate,
but requested that money be allocated in the budget to
provide city departments that would be involved with adequate
staff to combat those type problems. He mentioned that a
list of violations had been compiled by the DeZavala Council
which will be presented September 24, 1981, along with a
petition.
Mary Rose Myers, 5009 Goose Creek Drive, appeared on
behalf of the Retired Senior Volunteer Program which is in
its eighth year of operation. The program is representative
of 115 volunteers who have served 17 different non - profit
organizations this year. RSVP is requesting $3,186 in
budgeted funds to support this program. This is the same
amount that was budgeted last year.
Jean Shepherd, 148 Linwood, appeared as representative
of residents of Brownwood to request that Council consider
an amount to be placed in the budget to effect drainage
improvements along Brownwood Drive. During heavy rainfall,
the pumps are inadequate to handle the large amount of
drainage that flows to the Brownwood Drive ditch. Mrs.
Shepherd stated that an earthen berm could be placed to
direct water into the bay which would keep 25 to 30 homes
from flooding during heavy rains. This would be a fairly
inexpensive solution.
Mr. Lanham responded that the Administration intends to
build the berm. It is only a question of being able to move
the necessary equipment and allocating time to perform the
work.
10827 -7
Minutes of the Regular Meeting - August 27, 1981
Mr. Lanham introduced a letter from Bill Eiland, Director
of the Baytown Housing Authority, which sets forth Mr.
Eiland's request that $55,000 be allocated from the 1981 -82
City of Baytown Budget -- $32,000 to pay for the emergency
gas line repairs at Archia Courts and $23,000 for loss of
subsidy effective July 1, 1981 when Sam Houston and Lincoln
Courts were removed from the low -rent public housing program.
In his letter, Mr. Eiland indicates that he will appear
before Council at a later date to document fully the Housing
Authority's needs.
Since there were no further questions or comments, nor
other persons desiring to speak, Mayor Hutto declared the
public hearing on the budget to be closed.
Hold Public Hearing on Proposed Expenditure of Revenue
Sharing Funds from Entitlement XII, Entitlement XIII
and Accumulated Interest (7:15 p.m.)
Mayor Hutto announced that the public hearing on the
proposed expenditure of revenue sharing funds from Enti-
tlement XII, Entitlement XIII and Accumulated Interest was
open and informed those present that there was a register in
the hallway to be signed by those desiring to speak. Mayor
Hutto requested that the City Manager summarize the proposed
revenue sharing budget.
Mr. Lanham explained that the Administration expects to
have available a total of $703,623 in revenue sharing
monies as follows:
Entitlement XIII $ 596,103
Unappropriated (Interest) 54,000
Unappropriated (Entitlement XII) 53,520
$ 703,623
Regulations relating to revenue sharing require that the
City Administrator hold a public hearing in order to develop
recommendations for Council and then for Council to hold a
public hearing prior to making final determination. The
City Manager's recommendations follow:
1. Fire protection - $12,300 to purchase additional
monitors and radios for volunteers and to complete
the volunteers meeting room at Station No. 6.
2. Telephone system for City Hall - $40,000 to replace
current system which is overloaded.
3. Water meter vaults and bypasses - $11,000 to cover
the installation of approximately thirty large
meter vaults, the materials for meter bypasses and
labor. These installations would give the capability
of testing, replacing, and maintaining large
meters.
4. Oversizing water and sewer lines on Garth and
Raccoon - $90,304 to provide the city's share
of the costs.
5. Sewer lift station monitors - $25,000 to install
monitors at five large lift stations to provide
24 -hour monitoring at the lift stations.
10827 -8
Minutes of the Regular Meeting - August 27, 1981
6. Sewer line sliplining - $100,000 to supplement
bond funds that are in the first year of the
Capital Improvements Program because there are
several sewer lines in the city that need to be
sliplined as soon as funds can be made available.
7. Street reconstruction - $255,519 to supplement the
funds in the proposed 1981 -82 budget for street
reconstruction.
8. Establishment of bench marks - $55,000 to establish
a bench mark every 2,000 -3,000 feet in street
rights of way. A detailed description and an
assigned number would be included. This system
would enable the Engineering Department to give
accurate information to citizens concerning the
flood hazard area, provide information to engineers
and surveyors working in Baytown, and provide
information needed to implement one of the recommendations
of the Tax Equalization Board.
9. Fencing - Gray Sports Complex - $8,500 to provide
fenced, protected warm -up areas for softball
teams.
10. Library - $30,000 to purchase library books and
materials to continue to expand the collection.
11. Word Processor - $9,000 for Legal Department to
replace the present Mag Card II typewriter.
12. Demolition of Structures - $50,000 to be used to
continue the demolition of buildings under the
Urban Rehabilitation Program, including parts of
the Brownwood Subdivision.
13. Museum Assistance - $15,000 to continue to provide
museum services to the citizens of Baytown.
14. Audit - $2,000 to pay for the audit of revenue
sharing funds.
Mr. Lanham reminded Council that revenue sharing funds may
be used for any purpose that city funds may be used.
Councilwoman Wilbanks requested that the Administration
provide Council with information concerning the number of
participants under the volunteer firemen's program. During
budget sessions last year, Council was looking at a 2 -3 year
program regarding purchase of radios for volunteers.
Steven Donnelly, 4503 Ponderosa, appeared as a representative
of the Baytown Volunteer Fire Department to explain that the
request for two additional two -way monitors is to provide
communications between those persons fighting the fire and
the driver. Since the fire department is considering allocating
certain times of the day to the volunteers to man Unit Nos.
51 and 61, the volunteers would definitely need the monitors
to provide good communications at the scene of a fire.
Wendell Romans, 1507 Narcille, appeared to explain that
an expenditure of $1800 would buy six pocket monitors to
replace monitors which are in a state of disrepair. Mr.
Romans stated that this purchase would enhance attendance at
fires and would definitely be beneficial if Unit Nos. 51 and
61 are assigned to volunteers certain times of the day.
10827 -9
Minutes of the Regular Meeting - August 27, 1981
Lynn Hughes, 1700 Narcille, representative of Baytown
Area Women's Center, appeared to request funding for that
center. Mrs. Hughes explained that a group of individuals
are attempting to establish a shelter for battered women and
their children. There is a need for this facility as established
through records of the Baytown Police Department. Last year
almost 400 cases of battered women were reported to the
Baytown Police Department. State -wide averages according to
the Criminal Justice Center at Sam Houston State University,
indicate that only twenty (20%) percent of women report such
occurrences. If that figure can be related to Baytown, that
means that there are approximately 2,000 victims. Since
this work has begun, several calls have been received from
local hospitals and doctors who have patients that they
would like to refer. At present, there is no shelter, but
the search is being made to locate one.
What the group is requesting is $29,600 to cover
renovation and maintenance, utilities and food.
The Houston shelter has been handling Baytown cases and
that shelter is at full capacity at all times. Each day the
Houston shelter must turn away 8 -10 women. The aim is to
save lives and provide counseling for all members of the
family who desire help.
In response to an inquiry from Council, Mrs. Hughes
stated that the United Way had been contacted during the
summer when no approved budget was available. However, the
United Way had approved funding for a director's salary and
some office expenses.
Councilwoman Wilbanks mentioned that projects such as
this have come through the Houston - Galveston Area Council
and there are some state funds available to aid in this, but
in most cases it is after the center has been established.
Susan Hodson, Director of the center, responded that
the center will be eligible for funding in 1983.
Refugio Martinez, 3126 Nebraska, appeared to request
funding for the old Baytown area of the city since this area
has existing structures which are eyesores, nuisances and /or
threats to public health. Mr. Martinez requested consider-
ation of revenue sharing funds in the event this problem
cannot be attacked through use of budgeted funds.
Jean Shepherd, 148 Linwood, appeared as representative
of the Bay Area Historical Society to report to Council on
that group's activities since that group is requesting
continued support of the Baytown Museum in the amount of
$15,000.
In the 1980 -81 period, over 4,000 persons registered at
the museum. Ten cub scout, groups toured the museum. The
scouts must tour the museum after the museum is officially
closed. Nine different clubs or organizations have utilized
the museum to hold their meetings which are also held during
hours when the museum is not officially open. The museum is
officially open from 1 :00 to 5 :00 p.m., Tuesday through
Friday and on Sunday from 2:00 to 5 :00 p.m. Every spring
there is a tour for the Texas history students and thus far,
1200 Texas history students have toured the museum. Other
10827 -10
Minutes of the Regular Meeting - August 27, 1981
than the 1200 Texas history students, 600 elementary school
students have toured the museum during times when the museum
is not officially open. There were six summer programs for
ages 9 through 11 with 20 in each group. The program consisted
of picnic lunch at different historical sites. There were
18 presentations made to local organizations through the
museum speaker's bureau. There were five programs of special
interest to the public at the museum through the year and
there were four special exhibits. Mexican Americans have
the first day of'the Posada at the museum.
The museum has been toured by five historical groups
outside the city with most favorable comments. The museum
has continued with the part time employee and was able to
get the professional curator that worked at the Museum of
Natural Science to work for the Baytown Museum. This person
is not a full time employee, but does work on the weekend.
The museum has almost completed its cataloguing and hopes to
apply next year to be a fully accredited museum. Once the
museum is accredited, this will provide a better avenue to
obtain grant funds. The museum conducted a home tour and
had a booth at the Bicentennial Park from which two events
$5,000 was raised.
Since there were no further questions or comments, nor
other persons desiring to speak, Mayor Hutto declared the
public hearing on revenue sharing to be closed.
Consider Proposed Ordinance, First Reading on Proposed
Annexation of Property North of Massey Tompkins Road
The proposed ordinance will institute annexation proceed-
ings on the scaled -down area that was discussed at the last
Council meeting. Persons appeared at the public hearing to
inform Council of large vacant tracts and requested that
those large tracts be excluded from annexation. Therefore,
for the most part, only areas that are occupied are being
recommended for annexation; however, the narrow strip that
was discussed by Mr. Wright is included in this annexation.
The Administration recommended approval of the ordinance.
Councilman Philips moved to adopt the ordinance; Council-
man Fuller seconded the motion. The vote follows:
Ayes: Council members Philips, Johnson, Simmons,
Wilbanks and Fuller
Mayor Hutto
Nays: None
ORDINANCE NO. 3213
AN ORDINANCE PROVIDING FOR THE EXTENSION OF CERTAIN BOUNDARY
LIMITS OF THE CITY OF BAYTOWN, AND THE ANNEXATION OF PROPERTY
NORTH OF MASSEY TOMPKINS ROAD, WHICH SAID TERRITORY LIES
ADJACENT TO AND ADJOINS THE PRESENT BOUNDARY LIMITS OF THE
CITY OF BAYTOWN, TEXAS.
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Minutes of the Regular Meeting - August 27, 1981
Consider Proposed Ordinance, Authorizing Change Order No.
1 to Raccoon Drive Water and Sanitary Sewer Utility
Extension Contract
The Administration has developed a change order for
Council consideration on the Raccoon Drive Water and Sanitary
Sewer Utility Extension Contract. The total amount is
$6,503.03. The change order has resulted from the fact that
before construction began, the Administration was notified
that the contractor had been notified by the County that a
maintenance bond would be required. Also, Harris County
required different type of bracket.attachments for the water
line on the bridge crossing Carey's Bayou which added
$2,814.28 to the contract. The water line had to be altered
because of a conflict with an eight inch water main and a
four inch Entex main which required additional bends at a
cost of $1,800. The city required the contractor to install
two additional valves that were not shown in the original
plans which cost $1,400. The Administration recommended
approval of the ordinance.
Councilman Philips moved for adoption of the ordinance;
Councilman Fuller seconded the motion. The vote follows:
Ayes: Council members Philips, Johnson, Simmons,
Wilbanks and Fuller
Mayor Hutto
Nays: None
ORDINANCE NO. 3214
AN ORDINANCE AUTHORIZING CHANGE ORDER NO. 1 TO THE CONTRACT
WITH JESSE LOVELACE CONSTRUCTION CO. FOR THE RACCOON DRIVE
WATER AND SANITARY SEWER UTILITY EXTENSION FOR THE CITY OF
BAYTOWN.
Consider Proposed Tax Rate for 1981 -81 Fiscal Year and
Set Date for Public Hearing
In addition to the hearings held this evening on the
proposed 1981 -82 City of Baytown Budget and Revenue Sharing
Budget, tax laws require that Council hold a hearing on the
proposed tax rate. The Administration is recommending that
that hearing be held on the $ .60 rate necessary to fund the
proposed budget. If Council adopts that rate tonight,
Council is adopting that rate for the purpose of that hear-
ing, not for the purpose that that rate is to be levied.
However, by law notice must be given of the vote and the
public hearing. The rate that will be published will be
based on the $ .60 compared to the $ .53 rate established by
the Tax Assessor which computes to 13.2% increase. The
Administration recommended that Council consider holding the
hearing in conjunction with the next Council meeting night,
but at a different time since the law is explicit that the
hearing must be held at a separate time with only that item
on the agenda. The Administration suggested that Council
may want to hold the regular meeting at 5:30 p.m. and the
public hearing on the tax rate at 7 :30 p.m. Related to that
there are possible changes in the tentative schedule. Mayor
Hutto must be out of the city on September 24 which is a
regular meeting night; however, on September 17, the whole
Council will be available to meet. The Administration
inquired if Council would like to hold a Special Meeting on
September 17 to take final action on the tax rate and budget.
10827 -12
Minutes of the Regular Meeting - August 27, 1981
Council must take action on the budget and tax rate before
September 27. At the end of the public hearing on the tax
rate, Council must take another vote on the proposed tax
rate and a second notice will be published, notifying
citizens of the meeting where the tax rate will be adopted.
If at that public hearing, Council determines to adopt a
different rate, the entire procedure must be reinstituted.
The Administration recommended that the proposed tax
rate be $ .60 and that the public hearing be held at 7 :30
p.m. on September 10, with the regular Council meeting to be
scheduled for 5:30 p.m.
Councilman Johnson moved to accept the Administration's
recommendation; Councilman Philips seconded the motion. The
vote follows:
Council expressed the feeling that the required notice
is deceptive to the public. The vote follows:
Ayes: Council members Philips, Johnson, Wilbanks, and
Fuller
Mayor Hutto
Nays: Councilman Simmons
Consider Proposed Resolution No. 784, Approving Formation of
South East Texas Housing Finance Corporation
THE STATE OF TEXAS
COUNTY OF HARRIS
The City Council of the City of Baytown, Texas, convened
in Regular Meeting, open to the public, on the 27th day of
August, 1981, in the City Hall, 2401 Market Street, City of
Baytown, and the roll was called of the duly constituted
officers and members of said City Council, the Mayor and the
City Secretary, to -wit:
Emmett 0. Hutto
Fred T. Philips
Jimmy Johnson
Perry Simmons
Mary E. Wilbanks
Roy L. Fuller
Allen Cannon
Eileen P. Hall
Mayor
Councilman
Councilman
Councilman
Coucillwoman
Councilman
Councilman
City Secretary
and all of said persons were present, except: Councilman Allen
Cannon, this constituting a quorum. Whereupon, the following
(among other) business was transacted at said meeting: a
written resolution entitled:
RESOLUTION DECLARING THE WISDOM, EXPEDIENCY, NECESSITY
AND ADVISABILITY FOR THE FORMATION OF THE SOUTH EAST
TEXAS HOUSING FINANCE CORPORATION; CONTAINING OTHER
PROVISIONS RELATING TO THE SUBJECT; AND DECLARING AN
EMERGENCY.
id
6
10827 -13
Minutes of the Regular Meeting - August 27, 1981
was duly introduced for the consideration of said City
Council and read in full. Councilman Simmons made a motion
that the resolution be adopted. Councilman Philips seconded
the motion for adoption of the resolution. The motion,
carrying with it the adoption of the resolution, prevailed
by the following vote:
Ayes: Council members Philips, Johnson, Simmons,
Wilbanks and Fuller
Mayor Hutto
Nays: None
The Mayor thereupon announced that the resolution had
been duly and lawfully adopted and was in full force and
effect. The resolution thus adopted follows:
(See Page No. 10827 -14)
10827 -14
RESOLUTION ISO. 784
A RESOLUTION OF THE CITY OF BAYTOWN DECLARING THE
WISDOM, EXPEDIENCY, NECESSITY AND ADVISABILITY FOR THE
FORMATION OF THE SOUTH EAST TEXAS HOUSING FINANCE
CORPORATION; CONTAINING OTHER PROVISIONS RELATING TO
THE SUBJECT; AND PROVIDING FOR THE EFFECTIVE DATE
HEREOF.
WHEREAS, as hereinafter recited, it has been proposed
that "The South East Texas Housing Finance Corporation" be
formed to serve the City of Baytown, (the "Area of Operations ");
WHEREAS, the Texas Housing Finance Corporations Act,
Article 1269 1 -7, Vernon's Texas Civil Statutes, as amended
authorizes nonprofit housing finance corporations for the
purpose of providing a means of financing the cost of residential
ownership and development that will provide decent, safe and
sanitary housing for residents of the Area of Operations;
WHEREAS, pursuant to the provisions of the Act, three
or more residents of each of the sponsoring political subdivi-
sions (the "Incorporators "), each being a citizen of the
State of Texas, of the age of 18 years or more, have Made
application in writing to the City Council of the.City (the
"City Council ") seeking the incorporation under the Act of a
public nonprofit housing finance corporation to be called
"The South East Texas Housing Finance Corporation" (the
"Corporation ") with authority to carry out the public purposes
for which it is incorporated, to exercise the powers with
which it is invested by the Act and its Article of Incorporat-
ion, including the power to issue its obligations to accomplish -
such public purposes and powers, as a public instrumentality
and nonprofit corporation to exist and act on behalf of, and
for the benefit of, the general public, its sponsoring
political subdivisions and the State of Texas, and have
attached to such application the form of Articles of Incorpora-
tion to be used to organize the Corporation for approval by
the City Council together with such application; and
10827 -15
WHEREAS, the Act provides that the Corporation may not
be formed unless such application and such Articles of
Incorporation shall have been first filed with the City
Council and the City Council shall have by appropriate
AWN resolution duly adopted (1) found and determined that it is
wise, expedient, necessary and advisable that the Corporation
be formed and (2) approved the form of the Articles of
Incorporation to be used in organizing the Corporation; and
WHEREAS, the City Council has determined, upon its own
motion, to adopt such resolution; and
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF BAYTOWN:
Section 1: That the City Council officially finds,
determines, recites and declares that (1) it is wise, expedient,
necessary and advisable that there be provided in the City a
means of financing the cost of residential ownership and
development that will provide decent, safe and sanitary
housing for residents of the City at prices that they can
afford; (2) that such residential ownership and development
will (a) provide for and promote the public health, safety,
morals and welfare; (b) relieve conditions of unemployment
and encourage the increase of industry and commercial activity
and economic development so as to reduce the evils attendant
upon unemployment; (c) provide for efficient and wellplanned
urban growth and development including the elimination and
Prevention of potential urban blight and the proper coordination
of industrial facilities with public services, safe and
sanitary housing which they can afford; and (e) preserve and
increase the ad valorem tax basis of the City; (3) that the
City should cooperate with the other sponsoring political
subdivisions constituting the Area of Operations for the
mutual benefit of the City and such other sponsoring political
subdivisions, and (4) that in order to accomplish the foregoing
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10827 -16
public purposes and benefits there should.be formed, pursuant
to the application of Incorporators and the attached Article
of Incorporation presented therewith to this City Council, a
public nonprofit housing finance corporation to be called
"The South East Texas Housing Finance Corporation" (the
"Corporation ") with authority to carry out the public purposes
for which it is incorporated, to exercise the powers with
which it is invested by the laws of the State of Texas, its --
sponsoring political subdivisions and its Articles of Incorpor-
ation, including the power to issue its obligations to
accomplish such purposes and powers, as a public instrumentality
and nonprofit corporation to exist and act on behalf of and
for the benefit of the general public, the City and the
State of Texas.
Section 2. That, having considered the application of
the Incorporators attached hereto as Exhibit "A", the said
application of the Incorporators to this City Council for
approval of the formation of the Corporation in accordance
with the provisions of the Act is hereby approved; that the
Articles of Incorporation presented to this City Council by
the Incorporators with said application and attached hereto
as Exhibit "B" are hereby approved; and that the Incorporators
are hereby authorized and directed to file with the Secretary
of State of the State of Texas duplicate originals of the
Articles of Incorporation.
Section 3: That upon the issuance by the Secretary of
State of a Certificate of Incorporation, the Incorporators
are hereby authorized and directed, in accordance with the
provisions of the Act, to call the organizational meeting of
the Corporation after having given at least three days'
notice thereof by mail to each director named in the Articles
of Incorporation, which notice shall state the time and
place of such organizational meeting.
-3-
10827 -17
Section 4: That, having given consideration to the
qualifications of , to serve as director
of the Corporation and having determined that the public
good will be furthered by making such appointment, he is
hereby appointed by this City Coucil to the initial Board of
Directors of the Corporation to serve, subject to removal by
the City Council for cause or at will, for such term as is
stipulated in the Articles of Incorporation.
Section 5: That upon the issuance of its Certificate
of Incorporation the existence of the Corporation shall
.begin; that the Corporation shall constitute a public
instrumentality and nonprofit corporation operating under
the name of "The South East Texas Housing Finance Corporation ";
and that the Corporation shall be authorized, in accordance
with the provisions of the Act, this Resolution and subsequent
actions of the City Council, and its Articles of Incorporation
to carry out the public purposes and powers set forth therein
and herein; provided, however, that the governing bodies of
the sponsoring political subdivisions may, either upon (1)
the application of the Board of Directors of the Corporation,
or (2) their own motion, by appropriate resolutions duly
adopted cause the Articles of Incorporation to be amended to
alter or change the structure, organization, powers, programs
or activities of the Corporation, and may cause the existence
of the Corporation to be terminated, subject to the provisions
of the Act and to any limitation on the impairment of contracts
entered into by the Corporation.
Section 6: That, pursuant to the provisions of the
Act, upon the issuance by the Secretary of State-of the State
of Texas of a Certificated of Dissolution of the Corporation,
the Corporation shall thereupon stand dissolved and title to
all funds and properties owned by the Corporation at the
time of such dissolution shall vest severally in the sponsoring
05E
10827 -18
political subdivisions in proportion to the ratio that each
of their populations (as reflected by the 1980 decennial
census) bears to their total population (as reflected by the
1980 decennial census).
Section 7: That, pursuant to the provisions of the
Act, the Corporation shall be a public instrumentality and
nonprofit corporation existing and acting on behalf of, but
separate and apart from the sponsoring political subdivisions,
and the sponsoring political subdivisions shall not be
liable for any of the obligations of the Corporation or
bound by any actions or proceedings of the Corporation
except as may be specifically assumed by the sponsoring
political subdivisions.
Section 8: That the Mayor and the City Secretary of
the City and other appropriate officials of the City are
hereby authorized and directed to execute all appropriate
Certificates and to do any and all other things necessary
and /or convenient to carry out the provisions of this resolu-
tion.
Section 9: That a duly certified copy of this resolution
shall be admissible in evidence in any suit, action or
proceeding involving the validity or enforcement of or
otherwise relating to any contract of the Corporation, and
shall be deemed conclusive proof that the Corporation has
been authorized to be formed and to transact business and
exercise its powers pursuant to the provisions of the Act.
Section 10: That this resolution and all the terms and
provisions hereof shall be liberally construed to effectuate
the purposes set forth herein and to sustain the validity of
the authorization of the formation and operation of the
Corporation. If any word, phrase, clause, sentence, paragraph,
section or other part of this resolution, or the application
thereof to any person or circumstance, shall ever be held-to
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10827 -19
be invalid or unconstitutional by any court of competent
jurisdiction, the remainder of this resolution and the
application of such word, phrase, clause, sentence, paragraph,
section or other part of this resolution to any other persons
or circumstances shall not be affected therecy.
Section 11: That the City Council has considered evi-
dence of the posting of notice of this meeting of the City
Council, and the City Council officially finds, determines
recites and declares that a sufficient written notice of the
date, place, and hour of this meeting of the City Council. of
the subject of this resolution was posted for at least
seventy two hours before this meeting was convened; that
such notice.was posted on a bullentin board in the City Hall
located at a place of convenience to the general public at
all times from the time of posting until this meeting was
convened; and that this meeting has been open to the public
at all times during which this resolution and the subject
matter thereof has been discussed, considered and formally
acted upon; all as required by Open Meetings Law, Article
6252 -17, Vernon's Annotated Texas Civil Statutes, as amended.
The City Council further ratifies, approves and confirms
such written notice and the contents and posting thereof.
Section 12: This Resolution shall take effect immediately
from and after its passage.
INTRODUCED, READ and PASSED by the affirmative vote of
the City Council on this the 27th day of August
1981.
E METT O. HUTTO, Mayor
A'F.TEST/: i
EILEEN 1 .'HALL, City Clerk
APPROVED:
9AD L T NG, ZC. Attorney
M
EXHIBIT "A"
10827 -21
APPLICATION FOR AUTHORIZATION F�:O T,rPRO'vAL
OF THE FOR14ATION OF TH3 SOUTH Ek': -J T TEXAS
HOUSING FINANCE CORP6p�1T1OL-
STATE OF TEXAS §
COUNTY OF _ _ §
WHEREAS, we, the undersigned persons (the "incorpora-
tors") believe that there is a need existing in the cisv _
of Ba tocm
the "Area of OperYElon"Y for the provi.-
sion of a means of financing of the cost of residential ownership
and development that will provide decent, safe and sanitary
housing for low and moderate income residents of the Area of
Operation; and
WHEREAS, the Texas Housing Finance Corporations Act,
Article 1269 1 -7, Vernon is Texas Civil Statutes, as amended
authorizes cities and /or counties to jointly create and utilize
public' nonprofit housing finance corporations for the purpose of
providing a means of. financing the cost of residential ownership
and development that will provide decent, safe and sanitary.
housing for residents of the Area of Operations]
NOW, THEREFORE
(1) Pursuant to the provisions of the Act, the under-
signed Incorporators, each being a citizen-of the State of Texas,
of the age of IS years or more and a resident of the City, hereby
p
make aplication to the City Council of the City (the "City
Council ) for the authorization and approval of the incorporation
of a public nonprofit housing finance corporation to be called
"The South East Texas Housing Finance Corporation" (the
"Corporation , which Corporation shall have the authority to
carry out the public purposes for which it is incorporated, to
exercise the powers with which it is invested by the Act, its
Articles of Incorporation and its sponsoring political subdivi-
sions including the power to issue its obligations to accomplish
such public purposes and powers, as a public instrumentality and
nonprofit corporation to exist and act on behalf of, and for the
benefit of, the general public, its sponsoring political subdivi-
sions and the State of Texas.
M
10827 -22
(2) Pursuant to the provisions of the Act, the under-
signed Incorporators attach hereto and present herewith to the
City Council for approval, proposed Articles of Incorporation
pursuant to which it is proposed that the Corporation be formed.
(3) Pursuant to the provisions of the Act, and this
application, the undersigned Incorporators hereby .request that
the City Council adopt appropriate resolutions authorizing and
approving the formation of the corporation,-the filing of the
Articles of Incorporation, and appointing an initial Board of
Directors of the Corporation.
DATED this 11th day of August 1981, at the City of
Baytown , Texas.
Respectfully submitted,
-2_
M
M
10827 -24
ARTICLES OF INCORPORATION
or•
THE SOUTH EAST TEXAS HOUSING FINANCE CORPORATION
We, the undersigned natural persons of the age of eighteen
years or more, all of whom are citizens of the State of Texas and
residents of the State of Texas, acting as incorporators of a
corporation under the Texas Housing Finance Corporations Act, do
hereby adopt the following Articles of Incorporation for such
corporation:
ARTICLE I
The name of the Corporation is THE SOUTH EAST TEXAS
FINANCE CORPORATION.
ARTICLE II
The Corporation is a public nonprofit corporation.
ARTICLE III
The duration of the Corporation shall be perpetual.
ARTICLE IV
HOUSING
The Corporation is organized solely to carry out the purposes
of The Texas Housing Finance Corporations Act; provided, however,
that the corporation may not issue obligations for or on behalf
of any private or public entity other than those. ipol i tica 7
_subdivisions joining urith the citu of Bagtotm to form the
South East Texas Housing Finance Corporation.
the "Sponsoring Political Subdivision").
ARTICLE V
The Corporation shall have no members.
ARTICLE VI
The street address of the initial registered office of the
Corporation is 805 Nazro Stxeat • Baut_orr, ,
Texas 77520 and the name of its initial registered agent
at such address is William N. Eiland, Jr. -
10827 -25
ARTICLE VII
The number of directors constituting the initial Board of
Directors of the Corporation is five (S) and the names, addresses
and terms of office of the persons who are to serve as the ini-
tial directors are:
Name Term Address
W
Each member of the initial Board of Directors shall hold
office for the term specified beside his or her name above or
until his or her successor is appointed in the manner provided
below. Each of the initial directors resides within one of the
Sponsoring Political Subdivisions.
Directors shall be appointed by the majority vote of the
governing, body of each of the Sponsoring Political Subdivisions.
All directors shall be residents of one of the Sponsoring Politi-
cal Subdivisions at all times during their term of office. Each -
director shall hold office for the term for which he or she is
appointed and until his or her successor shall have been ap-
pointed and qualified. Any vacancy occurring in the board of
directors shall be immediately filled. by appointment by the
governing body of each of the Sponsoring Political Subdivisions.
A director may be removed from office for cause or at will and no
director 'shall be appointed for a term in excess of six (6) years.
&Z
W
IWO
10827 -26
ARTICLE VIII
The name and street address of each incorporator are:
Name Address
David C. Gunn 4002 Garth Roue
Baytown, Texas 77520
Tony Campos 2518 W. Hu,-,b2e
Baytown, Texas 77520
Ctrs. Norma R. Wilder 121 Mapleton _
Baytown, Texas 77520
0. J. Howell 14 E. Cleveland Street
Baytown, Texas 77520
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10827 -27
Each incorporator resides within one of the Sponsoring Political
Subdivisions.
ARTICLE IX
Resolutions approving the form of these Articles of Incorpo-
ration have -been duly adopted by the governing body of each of
the Sponsoring Political Subdivisions.
ARTICLE X
Any net earnings of the Corporation (beyond that necessary
for retirement of its indebtedness or to implement the public
purpose or purposes or program of the Corporation) may 'not inure-
to the benefit of any person or entity, other than the Sponsoring
Political Subdivisions.
The Corporation shall not participate in or intervene in
(including the publication or distribution of statements) any
political campaign on behalf of any candidate for public office.
ARTICLE XI
Subject to any valid liens, charges or encumbrances and the
prior rights of the holders of any obligation of this Corporation
and any creditors of the Corporation, in the event of dissolution
of this Corporation, at any time or for any reason, title to all
of the funds, properties and assets of this Corporation shall
vest severally in each of the Sponsoring Political Subdivisions
in proportion to the ratio which its population (as reflected by
the 1980 decennial census) bears to the total population of all
Sponsoring Political Subdivisions (as reflected by the 1980
decennial census); it being intended that no officer or director
of this corporation or any other private person or entity shall
ever derive or. receive any financial or pecuniary gain or profit
from this corporation on dissolution, liquidation or winding up.
ARTICLE XII
The governing bodies of the political subdivisions who serve
as sponsors of the Corporation may, at their sole discretion and
at any time, either upon (1) the application of the Board of
Directors of the Corporation, or (2) their own motions, by appro-
priate resolutions duly adopted cause the Articles of Incorpora-
tion to be amended to alter or change the structure, organiza-
tion, powers, programs or activities of the Corporation and may
cause the existence of the Corporation to be terminated, subject
-4-
• 10327 -23
the existence of the Corporation to be terminated, subject to the
provisions of the Act and to any limitation on the impairment of
contracts entered into by the Corporation.
IN WITNESS WHEREOF, we have hereunto set our hands this
10th day of AUGUST 1981.
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10827 -29
THE STATE OF TEXAS §
COUNTY OF HARRIS §
I, RONALD D. HADDOX , a notary public, do hereby
certify-that on this 11th day of AUGUST 1981, personally
appeared before me:
DAVID C. GUNN +
TONY CANPOS
( ^ AIRS. NORM R. WILDER +
O.J. H014E LL +
r
' r
- r
and
who each being by me first duly sworn, severally declared that
they are the persons who signed the foregoing document as Incor-
porators, and that the statements therein contained are true.
-6-
10827 -30
IN WITNESS WHEREOF, I have hereunto set my hand and seal the
day and year above written. '
/// f
Notary Public in and for
the State of Texas
My c mission expire r'
Ile
Printed Name of Notary Public --
-7-
10827 -31
Minutes of the Regular Meeting - August 27, 1981
Consider Request of Walnut Ridge Condominiums Homeowners'
Association for the City to Assume Ownership and Main-
tenance of Lift Station
Mr. Ed Schultz, 1505 Ward Road, Condominium No. 220,
President of the Walnut Ridge Condominiums Homeowners'
Association, addressed Council with regard to the request of
the association for the city to assume ownership and main-
tenance of Walnut Ridge Condominiums lift station. Walnut
Ridge is a condominium complex in Baytown which was the
first unit built from the ground up as a condominium complex.
The complex consists of 19 buildings and 137 units. The
residents of Walnut Ridge consider themselves to be homeowners.
As homeowners, a homeowners association has been formed with
five elected officials. Those persons were present and were
introduced to Council by Mr. Schultz. Mr. Schultz stated
that this group has the responsibility of keeping the complex
up to par and operating smoothly. Therefore, the directors
are requesting that the city assume ownership and maintenance
of Walnut Ridge lift station. The owners, upon purchase of
the condos, were unaware of ownership of the lift station.
Within the last two years, the directors have come to the
conclusion that maintenance and upkeep of the lift station
could better be handled by the city since the homeowners do
not have the expertise to handle problems related to the
operation and maintenance of a lift station. The homeowners
proposed to do whatever Council deems necessary to make this
particular lift station appropriate and acceptable to the
city.
In response to an inquiry from Council, Mr. Lanham
referred to a memorandum from Norman Dykes, Director of
Public Works /City Engineer, which indicates that the developer
of the condo was not required to build a lift station as the
city would build one or would require the developer of a
subdivision to construct one. At that time, the understanding
was that the developer would construct the lift station and
the lift station would be his to own and operate. What he
built there was satisfactory to him. The system is a dual
submersible pump system which does not meet city standards.
In order to meet city standards, the system should have
three phase motors, dual pump and be above ground with at
least a three inch force main. This particular problem is
unique since this is not a subdivision in the usual sense
and it is not an apartment complex. As mentioned earlier,
this complex was the first built in Baytown and after this
complex was constructed, Council adopted an ordinance
relating to condominiums and in the future, any new condo
complex would be required to meet city standards with regard
to lift stations.
With regard to estimated cost to bring the lift station
up to city standards, the Administration has not attempted
to develop that information. However, if Council would like
to pursue this, the Administration's suggestion was that
cost figures be developed and that the Administration get
back to Council and to the homeowners' association with that
information. If the lift station were brought up to city
standards, then it would be appropriate for the city to
accept the station.
Councilman Philips stated that that would be reasonable
since if the station were brought up to standards, then the
city wouldn't be taking on a burden that would be passed on
to other Baytown citizens.
10827 -32
Minutes of the Regular Meeting - August 27, 1981
Mr. Schultz stated that the Board has addressed this
question and has agreed that once a cost is derived, that
the association will weigh this cost to extend the life of
the condominium complex. The association will be looking
toward the long -term good and are willing to do whatever
Council deems necessary to bring the lift station up to city
standards.
Mr. Lanham stated that in doing this, he would think
that Council would want to make it clear that the city is
not agreeing to take possession of the collection lines,
water lines, streets or anything else in this or any other
condominium complex. Those would remain the responsibility
of the owners.
Mayor Hutto stated that the Administration would report
back to Council and at that time Council could make a determination.
Council concurred.
Consider Proposed Ordinance, Awarding Demolition Contract
for 7001 Decker Drive
Mr. Jay Meyer, Attorney for Ben Milan, owner of the
property at 7001 Decker Drive, appeared on Mr. Milam's
behalf. Mr. Meyer stated that part of the problem is that
Mr. Milam would like to retain the slab underneath the
existing building. Tuesday, a structural engineer examined
the building and slab and verified that the building should
be demolished. However, the slab is sound. Mr. Meyer
requested that Council reject the bid that has been submitted
because that bid does include removal of the slab, which is
the bulk of the bid. There is a meeting Monday afternoon of
the Urban Rehabilitation Review Board which both Mr. Milam
and Mr. Meyer will attend. Mr. Milam has purchased equipment
to demolish the building and feels that the building could
be removed within the next 60 days. At the meeting before
the Urban Rehab Board, some sort of guarantee will be established
that the building will be demolished. For this reason, Mr.
Meyer requested that Council reject the bids for demolition
on this project.
The Administration recommended that the matter be
referred to the Board, but by the same token Mr. Lanham felt
that the Board would definitely want some assurance that the
building will be demolished.
Council informed Mr. Meyer that this matter is expected
to be brought to a hasty conclusion.
Councilman Johnson moved to reject all bids and refer
the matter to the Urban Rehabilitation Review Board; Councilman
Simmons seconded the motion. The vote follows:
Ayes: Council members Philips, Johnson, Simmons,
Wilbanks and Fuller
Mayor Hutto '
Nays: None
Consent Agenda
The Administration had requested that 12d be removed
from the agenda; therefore Council considered Item Nos. 12a
through c and 12e.
10827 -33
Minutes of the Regular Meeting - August 27, 1981
In response to an inquiry from Council, Mr. Lanham
explained that several meetings ago, Council had approved a
water line extension along Archer Road west from Gentry
School. There were 3 or 4 residents who paid for the line.
These 3 residents are between those who originally paid for
the line and have made arrangements to pay a portion of the
original costs. These people will need to pay a tapping fee
and will be billed at the city rate for those residents
outside the city limits. Mr. Dykes explained that there
will be a total of 6 to 7 customers on this line which
should not present pressure problems.
Councilman Johnson voiced his objection to citizens of
Baytown subsidizing out of city dwellers, but stated that he
would vote for the request.
Council considered the consent agenda as set forth in
the Council packet as follows:
a. Six bids were received for the demolition of a
structure at 718 East Humble. The Urban Rehabili-
tation Standards Board has reviewed the bid and
recommends that the contract be awarded to Luckett
Construction, with a low bid of $2,675.
We recommend approval of Proposed Ordinance No.
10827 -4.
b. Six bids were received for the demolition of a
structure at 2111 Alva. The Urban Rehabilitation
Standards Board has reviewed these bids and
recommends that the contract be awarded to the low
bidder, Martin and Sons, with a bid of $3,385.
We recommend approval of Proposed Ordinance No.
10827 -5.
C. Channel Construction Company has completed work on
the 1981 Sanitary Sewer Sliplining Project - Phase
II. The original contract amount was $42,475 and
the total of the work performed was $38,738, an
underrun of $3,737. The underrun resulted from
the reduction in the amount of pipe installed and
in the number of service connections from the
original estimate. The City Engineer has inspected
the work and we recommend approval of final payment
in the amount of $11,187.83.
We recommend approval of Proposed Ordinance No.
10827 -6.
e. We have received a request for water service from
three residents living on Archer Road near Stallworth
Stadium. A water line has recently been constructed
at the expense of other homeowners living in this
vicinity who were given approval by the City
Council to connect to city water service. Mr.
Harlon, Mr. Ludtke, and Mr. Salinas have arranged
with their neighbors who financed the original
extension to pay a portion of the cost of the line
and it is necessary for them the secure city
approval before connecting to the line.
We recommend approval of this request.
10827 -34
Minutes of the Regular Meeting - August 27, 1981
Councilman Fuller moved to adopt the consent agenda
Item Nos. 12a through 12c and Item No. 12e; Councilman
Johnson seconded the motion. The vote follows:
Ayes: Council members Philips, Johnson, Simmons,
Wilbanks and Fuller
Mayor Hutto
Nays: None
ORDINANCE NO. 3215
AN ORDINANCE ACCEPTING THE BID OF LUCKETT CONSTRUCTION CO.
FOR THE DEMOLITION OF THE STRUCTURES AT 718 EAST HUMBLE;
AUTHORIZING EXECUTION OF A CONTRACT FOR TWO THOUSAND SIX
HUNDRED SEVENTY -FIVE AND N0 1100 ($2,675.00) DOLLARS; MAKING
VARIOUS FINDINGS AND PROVISIONS RELATED TO THE SUBJECT.
ORDINANCE NO. 3216
AN ORDINANCE ACCEPTING THE BID OF MARTIN & SONS FOR THE
DEMOLITION OF THE STRUCTURES AT 2112 ALVA; AUTHORIZING
EXECUTION OF A CONTRACT FOR THREE THOUSAND THREE HUNDRED
EIGHTY -FIVE AND N01100 ($3,385.00) DOLLARS; MAKING VARIOUS
FINDINGS AND PROVISIONS RELATED TO THE SUBJECT.
For bid tabulation, see Attachment "A ".
ORDINANCE NO. 3217
AN ORDINANCE AUTHORIZING FINAL PAYMENT TO CHANNEL CONSTRUCTION
COMPANY FOR THE 1981 SANITARY SLIPLINING - PHASE II PROJECT,
AND PROVIDING FOR THE EFFECTIVE DATE HEREOF.
Hear Report from Entex Regarding Purchased Gas Adjustment
Dick DeSalme, BayPorte District Manager, was present
and explained that Entex primarily has three different type
rate adjustments, not only in the City of Baytown, but
throughout the United States. The first one is the cost of
gas adjustment which is the one submitted August 6. In the
City of Baytown these rates are adjusted in February and
August. The rate ordinance currently in effect in the City
of Baytown has a purchase gas adjustment clause. Most
cities in the State of Texas have this clause in the local
ordinance. The cost of gas adjustment is simply the increased
cost of gas to Entex by pipeline suppliers. In February of
1971, Entex was paying 38.3 cents per MCF for gas purchased
from pipeline suppliers. Effective August, 1981, Entex is
paying $3.55 for the same amount of gas.
Mr. Lanham explained that Entex's purchased gas adjustment
is very similar to Houston Lighting and Power Company's
monthly adjustments. Entex adjusts semi - annually rather
than monthly.
With regard to a question from Council, concerning
incentive of Entex to keep cost of service adjustment minimal,
Mr. DeSalme stated that Entex has guidelines regarding the
number of employees on the payroll and what type work is to
be done. Certain jobs are contracted. Since 1976, Entex
has not added one new employee to its payroll for the BayPorte
area. Jobs have been consolidated. Supplies are purchased
in bulk and Entex purchases directly from manufacturers.
10827 -35
Minutes of the Regular Meeting - August 27, 1981
Cost of service adjustment is filed with the City of
Baytown in March of each year. This adjustment recovers
increased operating expenses only, over prior year. The
City of Baytown has original jurisdiction over the cost of
service adjustment.
General rate increase which is filed when rate of
return dictates is governed by:
1. Operating expenses;
2. Return on plant investment;
3. Cost of capital.
The City of Baytown has original jurisdiction over General
Rate Increases. The last such increase in Baytown was in
November, 1976. Normally a General Rate Increase is filed
every 3 to 5 years.
Councilman Philips stated that Mr. DeSalme's information
was very helpful.
Consider Offer to Donate Property at 115 West Texas Avenue
to City of Baytown
William J. Gidley, Vice President and Trust Officer for
Citizens Bank and Trust Company, agent for owner of the
property at 115 'Vest Texas Avenue, in a letter dated August
131 1981, offered to donate that property to the City of
Baytown. This property is the building where The Style
Shoppe was previously located. The Urban Rehabilitation
Review Board has considered this building and has directed
that the first steps in demolition be instituted. If the
owner refuses to remove the building, the city will have
the building removed and have a lien placed on the property
under the demolition process. The Administration has not
made a detailed study, but the estimate for removing the
building and leaving the slab is $6,000. There is a possibility
for future of the property for parking.
Councilman Johnson suggested that the owner remove the
building and then donate the property to the city.
Councilman Philips stated that he would like to clear
out that area, but at the same time, this could develop into
• great cost to the city. Therefore, he would like to have
• counter - proposal made to determine if the owner will bear
the cost of removal or at least part of it.
Councilman Johnson moved that a counter- proposal be
made to Mrs. Abrams that she bear the expense of tearing
down and removing the building, that the property be free of
all liens or encumbrances, and then the Council will accept
the donation and pay for guaranteed title policy. Councilman
Simmons seconded the motion. The vote follows:
Ayes: Council members Philips, Johnson, Simmons,
Wilbanks and Fuller
Mayor Hutto
Nays: None
10827 -36
Minutes of the Regular Meeting - August 27, 1981
Consider Authorizing Preliminary Engineering Study on
Rollingbrook Drive Extension
Mr. Lanham explained that the Administration had been
requested at the last Council meeting to.place this item on
the agenda. Since there is remaining in the 1975 bond fund
for street improvements $600,000 which can be used for
street improvements in other parts of the city, Council
could proceed with engineering for Rollingbrook Drive Extension.
In response to an inquiry from Council, Mr. Lanham
stated that the firm selected for the preliminary engineering
study should be the firm to handle final plans and construction
inspection. Under the existing contracts or those that were
executed under the 1975 Bond Program, for engineering services,
there was the preliminary phase, design phase and construction
phase. Depending on the type work, Classification "A" is
1.09% of the cost of the project and Classification "B" is
.880. Mr. Lanham stated that he thought that bridges and
streets fall under Classification "A ". Field surveys are in
addition to that and that is a good part of the expense
since alignment and soil tests will be required on this
project.
Council decided that since Council would be meeting in
work session on Tuesday to discuss the procedure for selection
of engineers that would be a good time to discuss the matter
further.
Consider Appointments to Baytown Area Water Authority Board
Mr. Lanham had'contacted the members of the Baytown
Area Water Authority Board whose terms are expiring. Robert
L. Gillette and Dr. Robert Hill have agreed to serve another
term; however, I. J. Butrick who has served on the board
since 1973 has declined reappointment.
Councilwoman Wilbanks moved that Robert L. Gillette and
Dr. Robert Hill be reappointed to serve on the Baytown Area
Water Authority Board and that Dan Mundinger be appointed to
serve; Councilman Simmons seconded the motion. The vote
follows:
Ayes: Council members Philips, Johnson, Simmons,
Wilbanks and Fuller
Mayor Hutto
Nays: None
Consider Proposed Ordinance, Authorizing Contract with Layne
Texas to Repair James Street Water Well
The well on East James Street is one of the city's
major wells and is the well that the city has been using
most since converting to surface water. This well has
failed and the Administration asked Layne Texas to come out
to pull the shaft and pump to determine the cost to repair
the well. That has been done. Norman Dykes, Director of
Public Works /City Engineer, explained that when Layne Texas
pulled the shaft earlier in the week, it was discovered that
one of the couplings was completely sheared. Shafts are out
of round, bearings are out of round and badly worn. The
tubing is gone. In other words the mechanism is completely
worn. This well pumps over 1,000,000 gallons per day. The
10827 -37
Minutes of the Regular Meeting - August 27, 1981
well is needed for pressure and in the event of emergency.
For future purposes, this is one of the wells that the city
would want to keep on a standby basis. Cost to repair the
well is estimated to be $18,500, barring any other unforeseen
expenses. The company estimates approximately four days to
complete the repairs. Mr. Dykes recommended that the company
be authorized to make the repairs on an emergency basis.
Councilwoman Wilbanks moved to adopt the ordinance on
emergency basis; Councilman Johnson seconded the motion.
The vote follows:
Ayes: Council members Philips, Johnson, Simmons,
Wilbanks and Fuller
Mayor Hutto
Nays: None
ORDINANCE NO. 3218
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN,
TEXAS, DECLARING THAT AN EMERGENCY SITUATION EXISTS; AUTHO-
RIZING AND DIRECTING THE CITY MANAGER AND CITY CLERK TO
ENTER INTO A CONTRACT WITH LAYNE TEXAS COMPANY TO REPAIR A
CITY WATER WELL; AUTHORIZING THE PAYMENT OF THE SUM OF
EIGHTEEN THOUSAND FIVE HUNDRED & N01100 ($18,500.00) DOLLARS
WITH REGARD TO SUCH ACCEPTANCE; AND PROVIDING FOR THE
EFFECTIVE DATE HEREOF.
Adj ourn
There being no further business to be transacted, the
meeting was adjourned.
Eileen P. Hall, City Clerk