HomeMy WebLinkAbout1993/04/27-Agenda-Pre-Council NOTES FROM APRIL 27, 1993 PRE-COUNCIL AND COUNCIL MEETINGS
FOR
APRIL 28, 1993 CITY MANAGER'S STAFF MEETING
PRE-COUNCIL
1. Responses to M&C's Continued from a Previous Week
a. M&C PZ-1691 - Physical Closure of an Alley:
Hirschfield Addition, Block 8, Lot 8D Throckmorton
Street, North of West 9th Street
SUMMARY: In response to a concern raised by a citizen the
previous week, Mr. Groomer stated that there was
no sewer line in the alleyway involved in the M&C.
b. M&C C-13785 - Lease Agreement for Rental of the
Wesleyan Center for a Marketing Center for the
Housing and Human Services Department.
COUNCIL: Mr. Matson asked if the Community Development
Council (CDC) had been given adequate time to
review the lease agreement. He noted that some
members of the CDC had been concerned about the
length of the lease. Ms. Watson responded that
the CDC had approved the lease which was for one
year with two options for one year renewals. She
also noted that marketing at the site would
involve not only City programs, but also programs
available through other non-profit housing
agencies. In response to a question from Mr.
Puente, Ms. Watson stated that a bilingual
employee would be working at the site.
Mr. McCray asked if the economic development
coordinator with the SECAP grant program would
also be working at the site. Ms. Watson stated
yes. Mr. McCray asked if a portion of the rent
for the site could be paid from the SECAP grant.
Mr. Terrell answered that funds for rent had not
been budgeted in the SECAP grant, but that savings
from funds budgeted to hire a consultant might be
available to pay a portion of the rent if
necessary. Mr McCray said that he thought funds
for rent might have been included in the grant and
he hoped staff had reviewed the use of funds to be
certain the City was in compliance with grant
regulations. Mr. Terrell assured Mr. McCray that
the use of the facility by the economic
development coordinator was not a problem tinder
either the SECAP or CDBG programs. OFRCIAI RECORD
CITY SECRETARY
FT. WORTH, TEX.
7
C. M&C C-13799 - An Agreement with Pinnacle Air
Services, Inc. , to Manage, Operate and Maintain
Alliance Airport.
SUMMARY: Mr. Guajardo provided answers to questions asked
by Council members at the previous week's meeting.
A series of tables handed out by Mr. Guajardo
provided information about the revenue impacts of
various options available to the Council.
COUNCIL: Council members inquired about the possibility of
an FBO monopoly by Pinnacle Air and the legality
of requiring an FBO to be located on-site. Mr.
Guajardo responded that a FBO monopoly was
possible if it served the best interests of the
City and the FAA had no problem with the FBO
on-site requirement. Mr. Matson expressed concern
about the City allowing a monopoly situation and
asked if anything in the contract required an FBO
be located at Alliance. Mr. Guajardo stated that
the lease agreements required that an FBO facility
be located either at parcel 2 or 3 . Mr. Matson
emphasized that the City should require an FBO
facility in any long term agreement for the
airport and that the agreement should require that
an FBO be built in a timely manner. Mr. Guajardo
assured Mr. Matson that development plans must be
complete within 18 months after the lease
agreement is approved.
Mr. Guajardo noted that maintenance of the access
runway would become a responsibility of Pinnacle
which would eliminate this cost to the General
Fund. Ms. Granger and Mr. Silcox asked why
maintenance costs for the access runway (taxiway
H) were required to be paid from the General Fund
in the ordinance. Mr. Guajardo speculated that
the taxiway may have been viewed as a source of
increased ad valorem tax revenue and consequently
the maintenance of the taxiway was established as
a responsibility of the General Fund.
Council members discussed the relationship between
Alliance's access fee and the revenue from ad
valorem taxes. Mr. Matson asked if it were true
that an increase of $2 , 000 in ad valorem tax could
force a $26, 000 loss in revenue to the City from
Alliance. Mr. Guajardo acknowledged that this was
true. The RFB was designed to shift ad valozent
tax revenue to provide airport maintenance f _U_f,J.CIAL RECORD
when access fees were low. CITY SECRETARY
Mr. Silcox asked if the FAA was aware that the
airport was designed to be a tax generating FT. WORTH, TEX.
enterprise. Mr. Guajardo responded that the
r AML
knew that the airport was intended to enhance
development in the area. Ms. Webber was concerned
that a list of the total City expenditures at
Alliance did not include some large capital
improvements to the area. She also asked about
inclusion of minority firms in the work to be
performed by Pinnacle Air. Mr. Terrell responded
that the agreement would require that the City's
DBE requirements be met.
Mr. Matson inquired if revenue from the airport
would impact payments on GO bonds. Mr. Guajardo
stated that payments on the bonds were made from
the General Fund. Ms. Granger asked where City
revenue from Alliance could be used. Mr. Guajardo
replied that the revenue would reduce the General
Fund subsidy to the airports. Mr. Matson asked if
a 17 year projection of the City's operating costs
and revenue was available. Mr. Guajardo stated
that those numbers were not included in the
information he provided the Council.
Ms. Woods asked if the cost of building a terminal
building was included in the estimate of the
City's cost of operating the airport. Mr.
Guajardo stated that the cost was not in any of
the estimates. Mr. Matson expressed concern that
there was no provision for terminating the
contract if a regional airport authority emerged.
Mr. Guajardo noted that the original RFB included
such a provision, but that no bidders responded.
If such an authority developed, it would be
required to honor the contract with Pinnacle.
2. Library Expansion Update
SUMMARY: In response to a request from Mr. Matson, Mr.
Santerre provided estimates of the costs of
roughing-in various sections of new portions of
the Central Library.
COUNCIL: Ms. Woods asked how much would be saved by
performing the work listed now rather than after
the current construction is complete. Mr.
Santerre stated that the bid price would be no
different and that any savings would come from the
current low-interest rates and reduced costs from
a combined issuance of bonds. Mr. Matson and Mr.
McCray asked again if there would not be
additional savings. Mr. Santerre responded t
the work was too far along to take advantage fnF����� RECORD
any savings from concurrent timing of the
construction. He noted, however, that nothin ��nl s�CRtTr
would be constructed which would have to be �L1I
FT. WORTH, Ta.
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destroyed in order to complete the work at a later
time.
Mr. Guajardo said that by completing the
roughing-in of library, private donors might be
more willing to fund the completion of the
library. Ms. Granger stated that this was her
hope. Mr. Boswell addressed the Council regarding
the combination of the library issuance with the
sale of bonds for improvements at Will Rogers.
Mr. Meadows expressed concern that the City was
spending money on physical improvements to the
library when it could not afford the current
operating costs. He felt the improvements should
be discussed in the context of other budget
considerations later in the year. Ms. Webber
asked about the inclusion of improvements to the
Hillside and Como swimming pools in the June 8
issuance of bonds.
Mr. Matson asked if the City could proceed with
the notice of intent and not sell the bonds if the
Council decided not to authorize the additional
construction before June 8 . Ms. Granger asked
staff to provide the Council with an estimate of
the cost savings from combining the sale of the
bonds with those for Will Rogers. She also asked
that staff provide projections of the operating
costs of the additional library space. Ms. Webber
asked for more information on the inclusion of
funds for the Hillside and Como pools in the June
8 issuance.
3 . Financial Report.
SUMMARY: Mr. Boswell summarized the financial report for
March 31, 1993 .
COUNCIL: Mr. Chappell and Mr. Meadows were concerned about
the reduction of funds to be transferred from the
General Fund for workers' compensation and group
health insurance. Mr. Boswell pointed out the
importance of balancing the General Fund to triL1yW
p;CORo
City's bond rating. R
Mr. Boswell told the Council that the City's
CRETARY
revenue situation has deteriorated since budge: THsessions earlier in the year. Mr. Puente aske , T .
where the problems were occurring. Mr. Boswell
said that the loss in revenue is primarily the
result of delinquent property taxes in foreclosure
or held by government agencies.
Mr. Matson and Ms. Granger asked for information
regarding the possible use of surplus radios by
the Citizens on Patrol .
4. Legislative Update.
SUMMARY: Mr. Boswell solicited Council input from Council
on two pieces of state legislation relating to the
City's ability to increase the sales tax.
COUNCIL: Mr. Chappell felt the City should support one of
the two possibilities to provide future Councils
with more flexibility in addressing revenue
problems. Mr. Puente opposed both pieces due to
the regressivity of the sales tax. Mr. Matson
opposed allowing the sales tax to increase without
requiring a decrease in the property tax. Mr.
Silcox pointed out that there is no guarantee that
future Councils will not raise property taxes
after an initial decrease. A voice poll indicated
that the Council supported lobbying for the
ability to increase the sales tax.
COUNCIL MEETING
IX. Presentations By the City Council
1. The Council added two members to the Private
Industry Council and one member to the 911 Advisory
Board.
2 . No ceremonial travel was approved.
3 . The ordinance providing for the issuance of bonds
was continued.
4 . The resolution authorizing publication of notice of
intention to issue certificates of obligation was
approved.
X. Presentations and/or Communications from Boards,
Commissions and/or City Council Committees
Mr. Silcox announced that two citizens in District 3 had
donated a bicycle to their NPO. Ms. Granger announced
the upcoming Youth Town Hall Meeting.
XIII. Report of the City Manager
M&C G-10141 - Transfer for Health Insurance and W '
Compensation. OFFICIAL RECORD
CITY SECRETARY
FT. WORTH, TEX.
COUNCIL: Mr. Matson and Mr. Chappell again expressed
concern about the balances in the Health Insurance
and Workers' Compensation funds.
XV. Citizen Presentations
SUMMARY: Mr. Kenneth James (1412 Arizona, #338-0168)
addressed the Council regarding the condition of
the easement behind his street. Ms. Granger asked
that Mr. James speak with Mr. Groomer.
Mr. Chip Diano (6007 Woodridge, 1102 , #334-0345)
spoke to the Council about the upcoming elections
and his disappointment in the City's ADA
performance.
Mr. Pat Taylor (1010 S. Lake, #19 , #335-4651) told
the Council that improvements to the library could
be funded with a one or two year certificate of
obligation rather than the 15 year proposed to the
Council . Mr. Taylor requested 10 minutes at the
next Pre-Council meeting to outline his proposal.
Ms. Granger asked Mr. Taylor to talk with Mr.
Santerre regarding the project.
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