HomeMy WebLinkAbout1964/11/02-Agenda-Pre-Council r
AGRNDA
PRE-ODUBM AUC$
8:30 A.M., IDVXH= 2, 1964
1) Alternative Methods of Financing C7uch hater System Purchase
(Me C-393)
2) Oakland Boulevard Widening and Paving (MC C-392)
3) Paving at 13 Locations on the Southeast side (MC G-714)
4) Ione Star Gas - Operating Agreement Aanwal (MW C-394)
5) Proposed Massage Parlor Ordinance (HW G-716)
6) Paving Assessments on Kent Street (1.R. #634)
7) Sale of City-Owned Surplus Property (M&C L-490)
S) Proposed Assessment Ruction - Northwest 21st Street (MC G-717)
9) Other M 's of November 2, 1964
10) Other Items
MINUTES
PRE-COUNCIL CONFERENCE
NOVEbVER 2, 1964
Present: Late: Absent-
7 I7riedman 7 . ',. ties (Item ' ) None
2. Shannon 8 . Barr (Item 2)
3. Kemble 9. Hoover (Item 2)
4. Stovall.
5. Harding
6. ]lain
I T E M Follow-['p
Proposed Massage Parlor Ordinance (M&C G-716) NAN
No questions were raised b,• the Council re-
garding the proposed Massage Parlor ordinance, and
council adopted Ordinance at regular Council meeting.
2. Alternate Methods of tina;icing Couch Water NAN
System Purchase (M&C C-393)
The City Manager reported that the Council had
considered the purchase of the Couch '.tiater System
In august, 1964, and had requested the staff to review
possihle alternatives of reducing the cost in connec-
tion with acquisition of this water system. The C:tv
Manager also reported that the only workable alterna-
tive as outlined in the M&C was Alternative one which
provided for the use of the existing mains in the
system at the present, and which would reduce the
City's initial cost by approximately $5,000.
Councilman Kemble inquired if this proposed
purchase would be the last of the private water
systems operating in the city, and was informed by
the C ty Manager that there would still be several
water s' stems remaining after purchase of this
system. It was indicated that the largest of the
private water systems still remaining to be pur-
chased was the Tarrant Supply Compan-, serving
several hundred customers in three separate systems .
Councilman Siannon inquired if the City had not
previously purchased part of the Couch Water System.
ne City Manager reported that several separate
systems owned by the Couch Water Cumpany had been
purchased in 1961, and that this was the last
Couch Water System to be purchased.
Councilman Hamm stated that he still felt
the expenditure in connection with the purchase
of this system was excessive, and questioned the
desirability of purchasing the s}stem at this time.
The City Manager reported that the City had expended
funds in connection with the purchase of other pri-
vate systems, and that this was in accordance with the
Cit_; Council policy to purchase all private systems
within the City. Councilman Stovall inquired about
the attitude of the customers served by this system,
and was informed that the customers of the Couch Water
System were in favor of the City purchasing the system.
In response to a question concerning the
proposed income to the City from the approximately
ten customers served by this system, the Water
Department Director reported that the estimated
income would be approximately $80 per customer per
year. The Mayor stated that he did not feel the
purchase could be ,justified on an economic basis,
but that he was in favor of purchasing the system.
Councilman }larding stated that if the City
should purchase the s,stem, he felt the existing
lines should be replaced at once. The Water Depart-
ment Director reported that the lines purchased in
other Couch systems had been good, but that the},
were not adequate in size .
Councilman Jones inquired about the 3,000
foot frontage on Mansfield Highway in connection
with the proposed main extension, and was infornc:d
by the Water Department Director that the :tire
main extension would be 3,000 feet, but that all
the frontage would not be on Mansfield Highway.
Council approved the purchase of the Couch
Water S•.•stem under Alternative One at regular
Council iueeting.
3. Paving at 13 Locations on the Southeast NAN
Side (M&C G-714)
Council had no questions concerning; this
project, and benefit hearing was closed and
assessments levied at regular Council meeting.
4. Oakland Blvd Widening & Paving (M&C C-392) NAN
Council had no questions concerning this
proposed project, and contract was awarded at
regular Council meeting.
5 . Lone Star Cas - Operating Agreement JLB - Augh - restudy and compile
Renewal (M&C C-394) additional information
desired by Council
Mayor Friedman reported that he had been
contacted by officials of Lone Star Gas Compam ,
and that they were in agreement with the proposed
gas contract renewal . Councilman Kembel stated
that he had not had an opportunity to study the
proposed agreement, and requested that the matter
be postponed for two weeks. Councilman Harem also
stated that he had not had time to fully sued .
a... 3
the proposed agreement, and that it was not urgent
that the Council act this week since the contract
would not expire until 1966. Councilman Hoover
stated that he was opposed to the City ownership and
operation of the gas facilities as proposed under
the Lumar proposal .
Mayor Friedman stated that Coastal States had
originally approached the City regarding submitting
a proposal in connection with the gas contract, but
had lost interest and were not coming back giving
them the opportunity to snipe at the Lone Star contract.
Councilman Hamm stated that he thought a Committee of tht-
Council should be appointed to meet with the staff in
order to be fully briefed on the proposed contract, and
suggested an executive session for this purpose .
Councilman Hamm stated that he did not folly under-
stand Item 2 which provided for the adjustment of
gas rates upward or downward, and that he would like
additional information on this item. Councilman Tones
stated that he also was not sure tie understood tate
adjustment schedule, and referred to the statement
in the M&C: that it was not proposed that any rate
adjustment would be made in the immediate future.
Councilman Harding referred to tete contract
with United Gas and stated that it was his under-
standing; under this agreement with Lone Star that
the industrial customers would 1,e exempt from
paying; the street rental fee . Councilman Harding
inquired why the fee for industrial customers was
being excluded under the proposed agreement, and the
City Manager replied that this is the best proposal
the staff could obtain from Lone Star and that it was
consistent with the agreements in other cities . The
City Manager reported that the overall return to the
City under this agreement would be approximately 3
per cent, and that the Gas Company preferred to excIL)CIi
industrial customers under the agreement . Councilman
Harding stated that he was not interested in waiting
for a proposal to be recieved from Coastal States .
Later in the pre-Council conference, the
Council again discussed the D)ne Star Gas contract,
and Councilman Barr stated that he was concerned about
the provision providing for rate adjustments without
a public hearing. Councilman Harding also inquired
it the contract provided that the Gas Company would
pruvide adequate storage for gas in order that
industrial customers would not be required to convert
to oil for power purposes during peak periods . The
Utilities Supervisor reported that the contract
contained nothing specific ahout storage facilities,
but that the Lone Star Gas Company had )een continually
adding to their underground storage facilities . The
Utilities Supervisor reported that there was no
guarantee that industrial customers would not be
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required to convert to oil during peak periods .
Councilman Jones again referred to the rate
adjustment provision, and inquired if the prc,;ision
was the same as the City now has with Texas
Electric Service Company. Councioman Jones also inquired
if the provision was the same as the Lone Star Gas Com-
pany had with the City of Dallas . The Utilities
Supervisor reported that the Lone Star Cas Cumpam. had
no escalator provision for rate adjustments in its con-
tract with the City of Dallas, but that a similar
provision was provided in contracts between the Dallas
Power b Light and the City of Dallas, and the Houston
Power & Light and the City of Houston. The Utilities
Supervisor also reported that many gas companies
contained similar adjustment agreements, and referred
to the contract in Columbus, Ohio. The Utilities
Supervisor reported that the rate adjustment provision
was identical in intent with the provision for rate
adjustments contained in the Texas Electric Scrvice
Company contract with the City.
Councilman Barr stated that there were several
items which lie was concerned about in the proposed
contract, and listed:
1) The proposed contract bypassed the present
gate rate provisions,
2) khat control does the distributor have over
the cost of gas at the well,
3) There should be adequate notice to the
C! ty from the Cas Company of any proposed
rate adjustment, and
4) The Gas Company should be required to pro-
vide public notice by legal a: :vertisement
of any proposed rate increa�;e.
The Utilities Supervisor reported tliat in
reference to the point regarding what control the dis-
trihutor might have over the gas rates at the well , the
Texas Railroad Commission regulated such rates , and
that the Federal Power Commission also regulated rates
of gas in interstate commerce which also included
intra-state commerce since the gas could not be
separated for this purpose .
Consensus of Council was to postpone considera-
tion of the Lone Star Gas agreement until November 16,
1964.
6. Paving Assessments on ?"ent Street (I.2. 634) NAN
The City Manager inquired if any Council Member
had questions concerning the informal report on the
paving assessments on Kent Street. Councilman )ones
• �,, •k,,
stated that one of the property owners had called
him and informed flim that she had a bro; en arm and
would be unable to attend the Council meeting, but
chat she proposed to get an independent appraisal
of the increased value to her propert) from the
paving.
The City Manager reported that the city had
obtained two qualified independent appraisers who
had indicated Lhat Lhe benefits would exceed the
proposed assessments, and that the staff recommended
no change in the proposed assessments which had been
levied b� the Council .
The City Manager reported that the benefit
acaring; on this project iiad alread.--. been closed by
the Council , but that reductions in the assessments
could fie reconsidered I, . the Council at any time .
i. Stile of City-owned Surplus Propert% (M&C L-490) NAN
The (:it: Manager inquired if Lhe Council had
an- questions concerning; the sale of this surplus
propert; . Councilman Barr stated that he felt
poss ii)l y Lhe sa l.e of the property shoo ld be re-
advertised, since the original advertisement had
:stated a minimum price to be considered of $15,000.
The City Mana,,;er reported that this property was
inaccessable except trom adjacent property, and that
there were onl, three possible bidders for purchase
of the propert). The Cit% Manager also reported that
the ether two property o%;hers lead been contacted by
the land lt,vision, and had indicated that they were
not ;nterested i,n the purchase of the property at
a price aL or near the ,'.8,900 bid h. the firm of
Carter L tiury,ess .
council approved the sale of the property
to Carter & Burgess at regular Counc i 1 meeting.
Il . Proposed Assessment Induction - N.W. 21st NAN
Street (M&C G-717)
Council raised no questions concerning this
proposed reduction in assessment, and the reduction
:as apj2roved by Council at re&ular Council meeting.
9 . Ordinance Regulatint, the Keeping of Animals NA 14
within the city (I.lt. 533)
Councilman Kemble referred to this informal
report, and requested information why one of the two
horses kept at this location was bei;it-, required to
be removed. rhe City Manas;er reported that there had
been several complaints received regarding this horse
lot aL :lunt3 11 i,,ht Street, and that the liealth Depart-
ment in reviewing the ordinances had determined that
the :.oniug Ordinance provided that only one horse per
� 6 �
h
19,000 square feet of lot area could be kept in a
district zoned \-1 Famil, Residential . It was
also reported that the Health Department had
compared the provisions of the City ordinance
relating to the keeping; of animals with the ordinances
of several other Texas cities, and that the Health
Department did not recommend any changes in the
proposed ordinance .