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Home My WebLink About1965/08/23-Agenda-Pre-Council A G F N U A Council CO - .m. Augur , unc 11 Gun terence ,c�ou, 11 Remcnct � •,� oc t� i l� a4�,11 }•�+.•et int; 2T` S `ef City med Property at Vii iv e ve West 7th 1 Creet f!-ML-7721 # i 3 r water and Se re n 4ted 1'iv of Over aid 1'ndter 793) Legal ()pinion re indubtrial Development Bonds t IV 1921 b) other MW's of August- 23, 1Qb5 r► � t �� 4Mf4 a �" T 1 Oft PRE-COUNCI I. OGNFERE14CE Au};ust 23, 1 sic, Present : Late: .Absent : 1. Barr G. Engle (Iter 2) 9. Stovall 2. Deen 7. Hamra (Item 2) 3. Shannon 8. Hoover (Item 3) 4. Janes 5. K,•mble I t e ns Fu t l.ow-'lip 1. Reminder - budy.et study session toltowing MM Council meeting; T!,e City Manager :said that no fort.tal prv.,.,untatiou was prepared fur today's budget study s"sion, and that the statt would he prepared to aunwer any questions or follow any procetbire OIL' Upuncil wi:died. of City-owned Property at University Drive NAN Mavor Pro T- in Jones asked ii all property h;id been acquired for thi:, project. Ilic City Manac,er re- plied all except a small triangular parcel at the north- east corner of Camp 11k)wie_ and Arch Adams. 3. Water & Sewer Rate Increase (M&C G-837) NAN Councilman Kumble said he would like to act on the basic water rate increh:;e but to hold the miscellaneous charges . The Water Director said Lire sewer charges only are ror customers who produce water themselves and in this case it is necessary to estimate water use for sewer charge purposes. Councilman Kemble asked it there was a Mand-by charge for water availability. The Water Di• , �Z►�1 • rector said the minimum rates by sire of meter controlled � ;�' .�4 .• this payment. ��`� Councilman Shannon asked if hotels pay the same Q commercial rate as others , like the Texas }Hotel . 11re ��• Water Director said that hotels pay commercial rate on combined water and sewer, and in addition pay the sewer only charge for estimated water used that was self- produced. Cotmncilman Shannon said he beard that the 'r• xas hotel pays only $38 per month sewer charge. Coun- cilman Kumble asked if there had been any reply to the r,eneral Dynamics letter on raw water rnsage. The Water Director said as of late Friday afternoon he had discussed tht matter with GD officials and had received no objections . [;ouncilman lfamm asked for an explanation or the increase in flat rate of $1 .25 to $1.,75 for residential sanitary sewer custamers . The Water Director explained that this would apply only to about 12 customers and primarily those having their own water supply. Councilman Harron asked why we would want to eliminate the meter chap cover charge, when all the other provisions are to provide for more revenue. The Water Director said the primary reason was to salvage the capital investment on the larger sized meters .. which could then be reused in proper places . Councilman Eagle asked if Wpm., the customer would pay for a larger meter in the first place under the new schedule. The Water Di- rector said that the City would pay for meters of all sizes under the new plan, but under the present plan the users of large meters pay for their own meters. The City Manager said that since there were several questions about point two of the major changes and point one of the minor changes ul the M&C that these items could be withheld and the }general rate in- crease approved. Mayor Pro-Tem Jones said that origi- nally the staff had estimated an increase of 11 per cent would he necessary, but now the consultants report 13.93 per cent is necessary to provide for salary in- creases and proper reserves. He sugr ested an ll per cent increase would be sutficient for now with further increasr to be considered later. The City Manager re- plied that 11 per cent will not balance the budget for next year. He said we will have a $900,000 deficit this year, and even with a good year, there would be a deficit next year if only an 11 per cent increase is made now. He said the staff was too conservative in its 11 per cent recommendation, and he recommended that the consultants ' percentage of 13.93 he applied. Mayor Barr commented that we hired experts to make a recommendation and paid $6,500 for this service. Councilman Kemble said we can cut back later if the increase is too much. Councilman Hoover asked if the new street rental charges were considered. The City Manager replied yes , but not the general salary increase t� or Letter bond coverage. He said lie and Claud Morphis n� called on Moody's Rating Agency in Nvw York last Wodnes- day, and found the water rate increase to he an important factor with them. Councilman Itamm asked how big an item the 15 per t V` cent annual increase in water charges to other departments is . The City Manager replied this will increase revenues � . from other departments about one third or about $10,000 per year. Councilman Shannon asked it the $900,000 deficit occurred this year. The City Manager said yes, it was a one year deficit. Councilman Shannon asked what revenue the new rate would bring. The City Manager said $1,120,000. Councilman Shannon asked if this would cover the new bond debt service. Tile City Manager said that debt service was up $200,000 for bonds already sold. Councilman Shannon asked ii we couldn't have a surplus in the future with the 13.93 per cent average increase. The Mayor said that this is a prudent way of operating. The City Manager said that if sur- plus occurred more current revenue could be applied to capital improvements , going up above the present 10 per cent of the operating budget. Councilman Shannon asked if the increase will take care of the deficit. Tlie City Manager replied it will take care of current needs , and that the deficit was covered by reserves . 4. Requested Use of Over and Under Street Space RHW - prepare M&C (I.R. 4793) Vie City Manager said that we have a request from the Fort Worth Star-Telegram to use the space under and �.. Aft, over 6th Street between Taylor and Lamar for an expansion of the Star-T--legram facilities. The City Manager said that the last time this matter was discussed, the Council requested a study and a policy procedure be worked out, lie said that some guidelines are outlined in I.R. #7113,. Mayer Pro Tem Jones said each request would have to he judged on its own merits . Mayor Harr said that ,:e should so that if we establish �,eneral bans for such use on some downtown streets . 5. L, gal Opinion re Industrial Development _ NAN Bonds (I .R. 4710') This matter was not discussed by Council, clue to lack of time available. IkA 16 owe Nix IL .- „w