7:00 PM
FEBRUARY 2008 CITY COUNCIL REGULAR MEETING
MINUTES OF REGULAR MEETING
RED OAK CITY COUNCIL
MONDAY, FEBRUARY 11, 2008
I. CALL TO ORDER – The Mayor will call the meeting to order, declare a quorum if present, and declare notices legally posted pursuant to Open Meetings Act.
Mayor Alan Hugley called the meeting to order and declared a quorum present and notices legally posted at 7:00 p.m. Members present were Mayor Pro Tem Eric Smith, Councilmember Ben Goodwyn, Councilmember Scott Lindsey, Councilmember Casey Hargrove and Councilmember Andy Bell.
II. INVOCATION & PLEDGE OF ALLEGIANCE
Councilmember Hargrove gave the Invocation and led the Council and Citizens in the Pledge of Allegiance.
III. CONSENT AGENDA - Consent Items
“All matters listed under Item III. Consent Agenda, are considered to be routine by the City Council and will be enacted by one motion. There will not be a separate discussion of these items. If discussion is desired, that item will be removed from the consent agenda and will be considered separately.”
A. Consider approval of the minutes of the January 14, 2008, Regular Scheduled City Council Meeting.
B. Consider approval of the minutes of the January 29, 2008, Special Called City Council Meeting.
Councilmember Bell made the motion, seconded by Councilmember Goodwyn to approve Consent Agenda Items A and B. The motion was unanimous.
IV. CITIZEN FORUM
Comments, questions, or presentations for non-agenda items from citizens, but no action may be taken by City Council.
Citizen Ken Krumpnik expressed his concern over drainage issues on his property on Dunn Street. Public Works Director, David Hall, to contact Mr. Krumpnik after the meeting to try and resolve the issue.
V. COUNCIL BUSINESS - OPEN SESSION
C. Discussion and possible action regarding an ordinance prohibiting an owner, employee, or manager/supervisor of a retail fuel business from activating a pumping device to dispense gasoline or diesel fuel without receiving prepayment.
Chief Rudolph presented to City Council his request to pass this ordinance in order to help reduce the man hours expended by the City of Red Oak police officers associated with drive offs. Councilmember Bell recused himself due to the fact that he owns a retail fuel business. Mayor Pro Tem Smith spoke stating that he does not feel that a government agency should regulate how a private business operates. Councilmember Lindsey responded with a question to Chief Rudolph asking if everything has been done to get the business owner to enforce this issue himself. Chief Rudolph answered that they had been contacted on several occasions to enforce payment prior to pumping without success. Councilmember Goodwyn stated that even though he too does not approve of government intrusion, he thinks that because of the City’s location to Interstate 35 this ordinance would be of great help to the police. Councilmember Bell was asked to speak as a citizen in response to this issue. Councilmember Bell stated that his staff is well educated in this area and that the customer mandates whether they enforce the issue or not. Councilmember Goodwyn made the motion, seconded by Councilmember Lindsey to approve Ordinance No. 08-06: AN ORDINANCE OF THE CITY OF RED OAK, TEXAS, AMENDING TITLE XIII, CHAPTER 130, GENERAL OFFENSES, OF THE CODE OF ORDINANCES OF THE CITY OF RED OAK, BY ADDING A NEW SECTION TO PROVIDE FOR THE PREPAYMENT FOR GASOLINE AND DIESEL FUEL AT RETAIL FUEL BUSINESSES; PROVIDING FOR DEFINITIONS; PROVIDING THAT PREPAYMENT IS REQUIRED FOR GASOLINE OR DIESEL FUEL DISPENSES AT RETAIL FUEL BUSINESSES, OFFENSES AND DEFENSE; PROVIDING A PENALTY NOT TO EXCEED $500 FOR VIOLATIONS; PROVIDING A DEFENSE; PROVIDING THAT THIS ORDINANCE SHALL BE CUMULATIVE; PROVIDING A SEVERABILITY CLAUSE; PROVIDING A SAVINGS CLAUSE; PROVIDING FOR PUBLICATION; AND PROVIDING AN EFFECTIVE DATE. The motion passed with Councilmember Goodwyn and Councilmember Lindsey voting in favor. Mayor Pro Tem Smith and Councilmember Hargrove voted in opposition. Councilmember Bell abstained from voting. Mayor Hugley voted in favor breaking the tie.
Item D. was presented after Item M., Open Session.
D. Discussion and possible action regarding a resolution setting a date, time and place for a public hearing on the proposed annexation of certain property by the City of Red Oak, Texas, and authorizing and directing the Mayor to publish notice of such public hearing.
Councilmember Lindsey made the motion, seconded by Councilmember Goodwyn to approve Resolution No. 08-02: A RESOLUTION OF THE CITY OF RED OAK, TEXAS, SETTING THE DATES, TIME AND PLACE FOR THE PUBLIC HEARINGS ON THE PROPOSED ANNEXATION OF CERTAIN PROPERTY, APPROXIMATELY 1,262.26 ACRES OF LAND, AS DEPICTED ON EXHIBIT “A”, BY THE CITY OF RED OAK, TEXAS; AUTHORIZING THE PREPARATION OF SERVICE PLANS AND NOTIFICATION OF PROPERTY OWNERS, SERVICE PROVIDERS, RAILROADS AND SCHOOL DISTRICTS; AUTHORIZING AND DIRECTING THE CITY SECRETARY TO PUBLISH NOTICE OF SUCH PUBLIC HEARINGS; AND ESTABLISHING AN EFFECTIVE DATE. The motion carried 5-0 with Mayor Pro Tem Smith, Councilmember Goodwyn, Councilmember Lindsey, Councilmember Hargrove and Councilmember Bell voting in favor.
E. Discussion and possible action regarding a proposal from JRJ Paving for paving improvements.
Public Works Director, David Hall, presented a proposal to City Council from JRJ Paving, L.P. in the amount of $44,965.72 for paving improvements. The City of Lancaster has requested that the paving be done quickly to roads that were torn up during the construction of the Dallas Water Line. The City of Lancaster has approved the use of JRJ Paving, The City of Lancaster has received numerous complaints from citizens during periods of rain because of the conditions of the roads. This amount has been approved previously in the budget as part of the Dallas Water Line Project. Mayor Pro Tem Smith had a concern because of a previous situation where a contractor’s work was not done correctly and the City had to pay to have the road re-done. Councilmember Lindsey voiced the same concern as Mayor Pro Tem Smith. Public Works Director , David Hall, assured City Council that the work would have to be approved by him prior to release of funds and that JRJ Paving, L.P. had not mentioned working with the City in the past. Councilmember Goodwyn made the motion, seconded by Mayor Pro Tem Smith to accept a proposal by JRJ Paving, L.P. in the amount of $44,965.72 for paving improvements. The motion was unanimous.
F. Discussion and possible action regarding a contract with Birkhoff, Hendricks and Conway for general engineering services.
City Manager Scott Albert recommended approval of a contract for general engineering services due to recent staff layoffs. He went on to say that his past experience, as well the City’s, has been positive with this firm. He concluded by saying that if it does not work out, the City has a 30 day clause to terminate the contract with the firm and look elsewhere for engineering services. Councilmember Goodwyn made the motion, seconded by Councilmember Lindsey to approve a contract for general engineering services with Birkhoff, Hendricks and Conway. The motion was unanimous.
G. Discussion and possible action regarding an ordinance approving a settlement agreement between the ATMOS Energy Corp., Mid-Tex Division regarding the company’s statement of intent to change gas rates in all cities exercising original jurisdiction; declaring existing rates to be unreasonable; adopting tariffs that reflect rate adjustments consistent with the settlement agreement and finding the rates to be set by the attached tariffs to be just and reasonable.
City Manager Scott Albert reported to City Council the results of negotiations between the Atmos Cities Steering Committee (ACSC) and Atmos Energy Corp. of which the City of Red Oak was a member city in ACSC. The major results of the negotiations were 1.) Rate increase being sought by Atmos Energy Corp. was reduced from $52 million to $10 million; 2.) Reversal of the rate design, which would have adversely affected lower income families unfairly; 3). Elimination of piecemeal ratemaking; and 4). Reimbursement to the ACSC of over $500,000 in legal fees paid in litigation with Atmos Energy Corp. Councilmember Hargrove made the motion, seconded by Mayor Pro Tem Smith to approve Ordinance No. 08-07: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RED OAK, TEXAS, (“CITY”) APPROVING A SETTLEMENT AGREEMENT BETWEEN THE ATMOS CITIES STEERING COMMITTEE AND ATMOS ENERGY CORP., MID-TEX DIVISION (“ATMOS MID-TEX” OR “THE COMPANY”) REGARDING THE COMPANY’S STATEMENT OF INTENT TO CHANGE GAS RATES IN ALL CITIES EXERCISING ORIGINAL JURISDICTION; DECLARING EXISTING RATES TO BE UNREASONABLE; ADOPTING TARIFFS THAT REFLECT RATE ADJUSTMENTS CONSISTENT WITH THE SETTLEMENT AGREEMENT AND FINDING THE RATES TO BE SET BY THE ATTACHED TARRIFS TO BE JUST AND REASONABLE; ADOPTING A SAVINGS CLAUSE; DETERMINING THAT THIS ORDINANCE WAS PASSED IN ACCORDANCE WITH THE REQUIREMENTS OF THE TEXAS OPEN MEETINGS ACT; DECLARING AN EFFECTIVE DATE; AND REQUIRING DELIVERY OF THIS ORDINANCE TO THE COMPANY AND LEGAL COUNSEL. The motion was unanimous.
H. Discussion and possible action regarding the appointment of Charles Daubitz to the City of Red Oak Economic Development Corporation Board.
Councilmember Goodwyn made the motion, seconded by Councilmember Hargrove to appoint Charles Daubitz to the City of Red Oak Economic Development Corporation Board. The motion was unanimous.
I. Discussion and possible action regarding the appointment of Brian Roland to the City of Red Oak Economic Development Corporation Board.
No action taken.
J. Discussion and possible action regarding the appointment of Robert Shamel to the Library Advisory Board.
No action taken.
VI. EXECUTIVE SESSION - Pursuant to the Open Meetings Act, Chapter 551, Texas Government Code, the City Council for the City of Red Oak reserves the right to adjourn into Executive Session at any time during the course of this meeting to discuss any of the matters listed above, as authorized by Texas Government Code Sections §551.071 (2) (Consultation with Attorney).
The City Council will convene in Executive Session pursuant to Section 551.071 to seek advice from special legal counsel on the following:
A. To receive advice concerning the Palmer Action Group; ETAL vs. City of Red Oak, County Ellis Cause No. 69600; and the Ferris annexation east of the City of Red Oak city limits, southeast of Stainback Road, northwest of FM 664 and west of Ferris Road.
The City Council will convene into Executive Session pursuant to 551.072 (Deliberations about Real Property) for the following:
B. Offer to purchase property from the North Ellis County Outreach.
The City Council will convene in Executive Session pursuant to 551.071 to seek advice from legal counsel on the following:
C. Claim filed against the City by Thomas Coppock.
Mayor Hugley convened the Council into Executive Session at 7:36 p.m. and reconvened into Open Session at 8:46 p.m.
VII. OPEN SESSION
K. Consideration of approving any action as a result of discussion in Executive Session A.
Councilmember Lindsey made the motion, seconded by Councilmember Hargrove to authorize the Mayor to execute a Memorandum of Understanding between the City of Red Oak and the City of Ferris which states the intent of both parties to resolve all controversies arising out of actions taken by either Red Oak or Ferris to annex territory or add territory to its ETJ boundaries; to include all current and potential litigation between the Parties involving boundary disputes; and details the actions required of both parties. The motion was unanimous.
L. Consideration of approving any action as a result of discussion in Executive Session B.
No action taken.
M. Consideration of approving any action as a result of discussion in Executive Session C.
Councilmember Hargrove made the motion, seconded by Mayor Pro Tem Smith to authorize the Mayor to execute a settlement agreement with Thomas Coppock on a compensation claim as submitted on August of 2007.
VIII. DEPARTMENT REPORTS
No reports were given.
IX. ADJOURNMENT
Councilmember Lindsey made the motion, seconded by Councilmember Hargrove to adjourn the meeting at 8:52 p.m. The motion was unanimous.
_________________________________
Alan Hugley, Mayor
Attested: ________________________
Scott Albert, City Manager/City Secretary
MINUTES OF REGULAR MEETING
RED OAK CITY COUNCIL
MONDAY, FEBRUARY 11, 2008
I. CALL TO ORDER – The Mayor will call the meeting to order, declare a quorum if present, and declare notices legally posted pursuant to Open Meetings Act.
Mayor Alan Hugley called the meeting to order and declared a quorum present and notices legally posted at 7:00 p.m. Members present were Mayor Pro Tem Eric Smith, Councilmember Ben Goodwyn, Councilmember Scott Lindsey, Councilmember Casey Hargrove and Councilmember Andy Bell.
II. INVOCATION & PLEDGE OF ALLEGIANCE
Councilmember Hargrove gave the Invocation and led the Council and Citizens in the Pledge of Allegiance.
III. CONSENT AGENDA - Consent Items
“All matters listed under Item III. Consent Agenda, are considered to be routine by the City Council and will be enacted by one motion. There will not be a separate discussion of these items. If discussion is desired, that item will be removed from the consent agenda and will be considered separately.”
A. Consider approval of the minutes of the January 14, 2008, Regular Scheduled City Council Meeting.
B. Consider approval of the minutes of the January 29, 2008, Special Called City Council Meeting.
Councilmember Bell made the motion, seconded by Councilmember Goodwyn to approve Consent Agenda Items A and B. The motion was unanimous.
IV. CITIZEN FORUM
Comments, questions, or presentations for non-agenda items from citizens, but no action may be taken by City Council.
Citizen Ken Krumpnik expressed his concern over drainage issues on his property on Dunn Street. Public Works Director, David Hall, to contact Mr. Krumpnik after the meeting to try and resolve the issue.
V. COUNCIL BUSINESS - OPEN SESSION
C. Discussion and possible action regarding an ordinance prohibiting an owner, employee, or manager/supervisor of a retail fuel business from activating a pumping device to dispense gasoline or diesel fuel without receiving prepayment.
Chief Rudolph presented to City Council his request to pass this ordinance in order to help reduce the man hours expended by the City of Red Oak police officers associated with drive offs. Councilmember Bell recused himself due to the fact that he owns a retail fuel business. Mayor Pro Tem Smith spoke stating that he does not feel that a government agency should regulate how a private business operates. Councilmember Lindsey responded with a question to Chief Rudolph asking if everything has been done to get the business owner to enforce this issue himself. Chief Rudolph answered that they had been contacted on several occasions to enforce payment prior to pumping without success. Councilmember Goodwyn stated that even though he too does not approve of government intrusion, he thinks that because of the City’s location to Interstate 35 this ordinance would be of great help to the police. Councilmember Bell was asked to speak as a citizen in response to this issue. Councilmember Bell stated that his staff is well educated in this area and that the customer mandates whether they enforce the issue or not. Councilmember Goodwyn made the motion, seconded by Councilmember Lindsey to approve Ordinance No. 08-06: AN ORDINANCE OF THE CITY OF RED OAK, TEXAS, AMENDING TITLE XIII, CHAPTER 130, GENERAL OFFENSES, OF THE CODE OF ORDINANCES OF THE CITY OF RED OAK, BY ADDING A NEW SECTION TO PROVIDE FOR THE PREPAYMENT FOR GASOLINE AND DIESEL FUEL AT RETAIL FUEL BUSINESSES; PROVIDING FOR DEFINITIONS; PROVIDING THAT PREPAYMENT IS REQUIRED FOR GASOLINE OR DIESEL FUEL DISPENSES AT RETAIL FUEL BUSINESSES, OFFENSES AND DEFENSE; PROVIDING A PENALTY NOT TO EXCEED $500 FOR VIOLATIONS; PROVIDING A DEFENSE; PROVIDING THAT THIS ORDINANCE SHALL BE CUMULATIVE; PROVIDING A SEVERABILITY CLAUSE; PROVIDING A SAVINGS CLAUSE; PROVIDING FOR PUBLICATION; AND PROVIDING AN EFFECTIVE DATE. The motion passed with Councilmember Goodwyn and Councilmember Lindsey voting in favor. Mayor Pro Tem Smith and Councilmember Hargrove voted in opposition. Councilmember Bell abstained from voting. Mayor Hugley voted in favor breaking the tie.
Item D. was presented after Item M., Open Session.
D. Discussion and possible action regarding a resolution setting a date, time and place for a public hearing on the proposed annexation of certain property by the City of Red Oak, Texas, and authorizing and directing the Mayor to publish notice of such public hearing.
Councilmember Lindsey made the motion, seconded by Councilmember Goodwyn to approve Resolution No. 08-02: A RESOLUTION OF THE CITY OF RED OAK, TEXAS, SETTING THE DATES, TIME AND PLACE FOR THE PUBLIC HEARINGS ON THE PROPOSED ANNEXATION OF CERTAIN PROPERTY, APPROXIMATELY 1,262.26 ACRES OF LAND, AS DEPICTED ON EXHIBIT “A”, BY THE CITY OF RED OAK, TEXAS; AUTHORIZING THE PREPARATION OF SERVICE PLANS AND NOTIFICATION OF PROPERTY OWNERS, SERVICE PROVIDERS, RAILROADS AND SCHOOL DISTRICTS; AUTHORIZING AND DIRECTING THE CITY SECRETARY TO PUBLISH NOTICE OF SUCH PUBLIC HEARINGS; AND ESTABLISHING AN EFFECTIVE DATE. The motion carried 5-0 with Mayor Pro Tem Smith, Councilmember Goodwyn, Councilmember Lindsey, Councilmember Hargrove and Councilmember Bell voting in favor.
E. Discussion and possible action regarding a proposal from JRJ Paving for paving improvements.
Public Works Director, David Hall, presented a proposal to City Council from JRJ Paving, L.P. in the amount of $44,965.72 for paving improvements. The City of Lancaster has requested that the paving be done quickly to roads that were torn up during the construction of the Dallas Water Line. The City of Lancaster has approved the use of JRJ Paving, The City of Lancaster has received numerous complaints from citizens during periods of rain because of the conditions of the roads. This amount has been approved previously in the budget as part of the Dallas Water Line Project. Mayor Pro Tem Smith had a concern because of a previous situation where a contractor’s work was not done correctly and the City had to pay to have the road re-done. Councilmember Lindsey voiced the same concern as Mayor Pro Tem Smith. Public Works Director , David Hall, assured City Council that the work would have to be approved by him prior to release of funds and that JRJ Paving, L.P. had not mentioned working with the City in the past. Councilmember Goodwyn made the motion, seconded by Mayor Pro Tem Smith to accept a proposal by JRJ Paving, L.P. in the amount of $44,965.72 for paving improvements. The motion was unanimous.
F. Discussion and possible action regarding a contract with Birkhoff, Hendricks and Conway for general engineering services.
City Manager Scott Albert recommended approval of a contract for general engineering services due to recent staff layoffs. He went on to say that his past experience, as well the City’s, has been positive with this firm. He concluded by saying that if it does not work out, the City has a 30 day clause to terminate the contract with the firm and look elsewhere for engineering services. Councilmember Goodwyn made the motion, seconded by Councilmember Lindsey to approve a contract for general engineering services with Birkhoff, Hendricks and Conway. The motion was unanimous.
G. Discussion and possible action regarding an ordinance approving a settlement agreement between the ATMOS Energy Corp., Mid-Tex Division regarding the company’s statement of intent to change gas rates in all cities exercising original jurisdiction; declaring existing rates to be unreasonable; adopting tariffs that reflect rate adjustments consistent with the settlement agreement and finding the rates to be set by the attached tariffs to be just and reasonable.
City Manager Scott Albert reported to City Council the results of negotiations between the Atmos Cities Steering Committee (ACSC) and Atmos Energy Corp. of which the City of Red Oak was a member city in ACSC. The major results of the negotiations were 1.) Rate increase being sought by Atmos Energy Corp. was reduced from $52 million to $10 million; 2.) Reversal of the rate design, which would have adversely affected lower income families unfairly; 3). Elimination of piecemeal ratemaking; and 4). Reimbursement to the ACSC of over $500,000 in legal fees paid in litigation with Atmos Energy Corp. Councilmember Hargrove made the motion, seconded by Mayor Pro Tem Smith to approve Ordinance No. 08-07: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RED OAK, TEXAS, (“CITY”) APPROVING A SETTLEMENT AGREEMENT BETWEEN THE ATMOS CITIES STEERING COMMITTEE AND ATMOS ENERGY CORP., MID-TEX DIVISION (“ATMOS MID-TEX” OR “THE COMPANY”) REGARDING THE COMPANY’S STATEMENT OF INTENT TO CHANGE GAS RATES IN ALL CITIES EXERCISING ORIGINAL JURISDICTION; DECLARING EXISTING RATES TO BE UNREASONABLE; ADOPTING TARIFFS THAT REFLECT RATE ADJUSTMENTS CONSISTENT WITH THE SETTLEMENT AGREEMENT AND FINDING THE RATES TO BE SET BY THE ATTACHED TARRIFS TO BE JUST AND REASONABLE; ADOPTING A SAVINGS CLAUSE; DETERMINING THAT THIS ORDINANCE WAS PASSED IN ACCORDANCE WITH THE REQUIREMENTS OF THE TEXAS OPEN MEETINGS ACT; DECLARING AN EFFECTIVE DATE; AND REQUIRING DELIVERY OF THIS ORDINANCE TO THE COMPANY AND LEGAL COUNSEL. The motion was unanimous.
H. Discussion and possible action regarding the appointment of Charles Daubitz to the City of Red Oak Economic Development Corporation Board.
Councilmember Goodwyn made the motion, seconded by Councilmember Hargrove to appoint Charles Daubitz to the City of Red Oak Economic Development Corporation Board. The motion was unanimous.
I. Discussion and possible action regarding the appointment of Brian Roland to the City of Red Oak Economic Development Corporation Board.
No action taken.
J. Discussion and possible action regarding the appointment of Robert Shamel to the Library Advisory Board.
No action taken.
VI. EXECUTIVE SESSION - Pursuant to the Open Meetings Act, Chapter 551, Texas Government Code, the City Council for the City of Red Oak reserves the right to adjourn into Executive Session at any time during the course of this meeting to discuss any of the matters listed above, as authorized by Texas Government Code Sections §551.071 (2) (Consultation with Attorney).
The City Council will convene in Executive Session pursuant to Section 551.071 to seek advice from special legal counsel on the following:
A. To receive advice concerning the Palmer Action Group; ETAL vs. City of Red Oak, County Ellis Cause No. 69600; and the Ferris annexation east of the City of Red Oak city limits, southeast of Stainback Road, northwest of FM 664 and west of Ferris Road.
The City Council will convene into Executive Session pursuant to 551.072 (Deliberations about Real Property) for the following:
B. Offer to purchase property from the North Ellis County Outreach.
The City Council will convene in Executive Session pursuant to 551.071 to seek advice from legal counsel on the following:
C. Claim filed against the City by Thomas Coppock.
Mayor Hugley convened the Council into Executive Session at 7:36 p.m. and reconvened into Open Session at 8:46 p.m.
VII. OPEN SESSION
K. Consideration of approving any action as a result of discussion in Executive Session A.
Councilmember Lindsey made the motion, seconded by Councilmember Hargrove to authorize the Mayor to execute a Memorandum of Understanding between the City of Red Oak and the City of Ferris which states the intent of both parties to resolve all controversies arising out of actions taken by either Red Oak or Ferris to annex territory or add territory to its ETJ boundaries; to include all current and potential litigation between the Parties involving boundary disputes; and details the actions required of both parties. The motion was unanimous.
L. Consideration of approving any action as a result of discussion in Executive Session B.
No action taken.
M. Consideration of approving any action as a result of discussion in Executive Session C.
Councilmember Hargrove made the motion, seconded by Mayor Pro Tem Smith to authorize the Mayor to execute a settlement agreement with Thomas Coppock on a compensation claim as submitted on August of 2007.
VIII. DEPARTMENT REPORTS
No reports were given.
IX. ADJOURNMENT
Councilmember Lindsey made the motion, seconded by Councilmember Hargrove to adjourn the meeting at 8:52 p.m. The motion was unanimous.
_________________________________
Alan Hugley, Mayor
Attested: ________________________
Scott Albert, City Manager/City Secretary
