CITY COUNCIL AGENDA NOTICE OF REGULAR MEETING

Transcription

1 CITY COUNCIL AGENDA NOTICE OF REGULAR MEETING Tuesday, September 4, :00 p.m. City Hall - Council Chamber Daniel P. Moore Community Center Complex 1900 Billy G. Webb Drive Portland, Texas A. PROCEDURAL MATTERS, HONORS AND RELATED NON-ACTION ITEMS: 1. CALL TO ORDER: MAYOR SKUROW 2. ROLL CALL: CITY SECRETARY 3. INVOCATION AND PLEDGE: MAYOR SKUROW OR DESIGNEE 4. FORMAL ANNOUNCEMENTS, RECOGNITION, PRESENTATIONS AND REPORTS THAT MAY BE DISCUSSED: RECOGNITION OF POLICE OFFICERS CHIEF OF POLICE RECOGNITION OF LIFEGUARDS DIRECTOR OF PARKS AND RECREATION RECOGNITION OF OUTGOING CITY COUNCIL MEMBER MAYOR SKUROW 5. CITY COUNCIL COMMENTS CONCERNING ITEMS OF COMMUNITY INTEREST THAT MAY NOT BE DISCUSSED: Members of the City Council may present reports regarding items of community interest, provided no action is taken or discussed. Items of community interest include the following: Expressions of thanks, congratulations, or condolence Information regarding holiday schedules Honorary recognition of city officials, employees, or other citizens Reminders about upcoming events sponsored by the city or another entity that is scheduled to be attended by a city official or city employee Announcements of imminent threats to the public health and safety of the city

2 6. CITY MANAGER S REPORT: The City Manager may present announcements, comments and updates on City operations and projects. 7. Members of the audience who wish to (1) comment on issues concerning an agenda item, (2) present questions or request assistance, (3) propose regulatory changes, must comply with the following rules of procedure: Persons who wish to speak must fill out and turn in a speaker card before the meeting is convened (The Mayor will notify you when it s your turn to speak and direct you to the podium) Persons who wish to speak must identify themselves and their places of residence All comments, requests and proposals must be presented to or through the Mayor Persons who wish to speak will be given 4 minutes to do so B. ACTION ITEMS, RESOLUTIONS AND ORDINANCES: 8. MINUTES OF PREVIOUS MEETINGS: THE CITY COUNCIL WILL CONSIDER THE MINUTES OF ITS AUGUST 21, 2018 REGULAR MEETING MAYOR SKUROW AND CITY SECRETARY 9. ORDINANCE NO REVISING SOLID WASTE SERVICE RATES: THE CITY COUNCIL WILL CONSIDER THE SECOND AND FINAL READING OF ORDINANCE NO THAT REVISES SOLID WASTE SERVICE RATES AND ESTABLISHES A TEMPORARY RECYCLING RATE INCREASE ASSISTANT CITY MANAGER 10. ORDINANCE NO AMENDING USER FEES FOR MUNICIPAL PARK AND SPORTS COMPLEX: THE CITY COUNCIL WILL CONSIDER THE SECOND AND FINAL READING OF ORDINANCE NO AMENDING FEES CHARGED TO USERS OF MUNICIPAL PARK AND THE SPORTS COMPLEX CITY MANAGER 11. ORDINANCE NO GRANTING AEP TEXAS, INC. A NON-EXCLUSIVE FRANCHISE: THE CITY COUNCIL WILL CONSIDER THE SECOND AND FINAL READING OF ORDINANCE NO THAT GRANTS AEP TEXAS, INC. A NON-EXCLUSIVE FRANCHISE TO THE USE OF CITY RIGHTS-OF-WAY AND OTHER PUBLIC PLACES CITY MANAGER 12. ORDINANCE NO AMENDING CURRENT FISCAL YEAR BUDGET: THE CITY COUNCIL WILL CONSIDER THE SECOND AND FINAL READING OF ORDINANCE NO THAT AMENDS THE FISCAL YEAR BUDGET CITY MANAGER, DIRECTOR OF FINANCE AND CONTROLLER 13. ORDINANCE NO ADOPTING FISCAL YEAR BUDGET: THE CITY COUNCIL WILL CONSIDER THE SECOND AND FINAL READING OF ORDINANCE NO THAT ADOPTS THE FISCAL YEAR BUDGET CITY MANAGER, DIRECTOR OF FINANCE AND CONTROLLER

3 14. ORDINANCE NO ADOPTING 2018 AD VALOREM TAX RATE: THE CITY COUNCIL WILL CONSIDER THE SECOND AND FINAL READING OF ORDINANCE NO THAT ADOPTS THE AD VALOREM TAX RATE FOR 2018 CITY MANAGER, DIRECTOR OF FINANCE AND CONTROLLER 15. RATIFICATION OF THE ADOPTION OF THE FISCAL YEAR BUDGET AND 2018 AD VALOREM TAX RATE: THE CITY COUNCIL WILL CONSIDER RATIFYING THE FISCAL YEAR BUDGET PREVIOUSLY ADOPTED BY ORDINANCE NO AND THE $ AD VALOREM TAX RATE FOR 2018 PREVIOUSLY ADOPTED BY ORDINANCE NO DIRECTOR OF FINANCE AND CONTROLLER 16. REGIONAL WASTEWATER TREATMENT FACILITY FEASIBILITY STUDY: THE CITY COUNCIL WILL CONSIDER AUTHORIZATION OF A FEASIBILITY STUDY FOR THE SAN PATRICIO MUNICIPAL WATER DISTRICT S PROPOSED REGIONAL WASTEWATER TREATMENT FACILITY CITY MANAGER AND ASSISTANT CITY MANAGER 17. RESOLUTION NO. 755 OPPOSING AN INCREASE IN PREMIUMS FROM THE TEXAS WINDSTORM INSURANCE ASSOCIATION (TWIA): THE CITY COUNCIL WILL CONSIDER A RESOLUTION ASKING THE COMMISSIONER OF INSURANCE TO REJECT A TWIA REQUEST TO INCREASE RATES TO TEXAS GULF COAST RESIDENTS CITY MANAGER 18. EXECUTIVE SESSION: THE CITY COUNCIL WILL CONDUCT AN EXECUTIVE SESSION ACCORDING TO GOVERNMENT CODE: SECTION CONCERNING ECONOMIC DEVELOPMENT NEGOTIATIONS RELATED TO COMMERCIAL OR FINANCIAL INFORMATION THAT THE GOVERNMENTAL BODY HAS RECEIVED FROM A BUSINESS PROSPECT THAT THE GOVERNMENTAL BODY SEEKS TO HAVE LOCATE, STAY, OR EXPAND IN OR NEAR THE TERRITORY OF THE GOVERNMENTAL BODY AND WITH WHICH THE GOVERNMENTAL BODY IS CONDUCTING ECONOMIC DEVELOPMENT NEGOTIATIONS SECTION TO DELIBERATE THE PURCHASE, EXCHANGE, LEASE, OR VALUE OF REAL PROPERTY IF DELIBERATION IN AN OPEN MEETING WOULD HAVE A DETRIMENTAL EFFECT ON THE POSITION OF THE GOVERNMENTAL BODY IN NEGOTIATIONS WITH A THIRD PERSON. SECTION TO DELIBERATE THE APPOINTMENT, EMPLOYMENT, EVALUATION, REASSIGNMENT, DUTIES, DISCIPLINE OR DISMISSAL OF A PUBLIC OFFICER OR EMPLOYEE C. ADJOURNMENT: MAYOR SKUROW

4

5 port

6 CITY OF PORTLAND CITY COUNCIL REGULAR MEETING MINUTES AUGUST 21, :00 P.M. On this the 21 st day of August 2018, the Council of the City of Portland convened in a regular meeting session at 7:00 p.m. in the Council Chambers of City Hall, Daniel P. Moore Community Center Complex and notice of regular meeting giving the time, place and date and subject having been posted as described by Section 551 of the Government Code. COUNCIL MEMBERS PRESENT: Cathy Skurow John Green Bill T. Wilson II John G. Sutton Jr. Gary W. Moore Tom Yardley Troy Bethel Mayor Mayor Pro Tem Council Member Council Member Council Member Council Member Council Member EXECUTIVE STAFF PRESENT: Randy Wright City Manager Brian DeLatte Assistant City Manager Annette Hall City Secretary Lorenzo Lara Interim Director of Finance Mark Cory Chief of Police Dan Willott Interim Fire Chief Terrell Elliott IT Manager Kristin Connor Director of Parks and Recreation Fred Morris Director of Public Works Ginny Moses Library Director Joe Lopez Interim Public Works Director Matt Rogers Sports Director And with a quorum being present, the following business was transacted: A. PROCEDURAL MATTERS, HONORS AND RELATED NON-ACTION ITEMS: 1. CALL TO ORDER: MAYOR SKUROW Mayor Skurow called the meeting to order at 7:00 pm.

7 2. ROLL CALL: CITY SECRETARY City Secretary, Annette Hall, called the role and announced that a quorum was present to conduct the business of the city. There have been no affidavits filed for abstaining from any items that will be discussed this evening. 3. INVOCATION AND PLEDGE: MAYOR SKUROW OR DESIGNEE Council Member Wilson gave the invocation and Mayor Skurow led the Pledge of Allegiance. 4. FORMAL ANNOUNCEMENTS, RECOGNITION, PRESENTATIONS AND REPORTS THAT MAY BE DISCUSSED: INTRODUCTION OF NEW EMPLOYEES CHIEF OF POLICE AND INTERIM PUBLIC WORKS DIRECTOR City Manager Randy Wright introduced Fred Morris the new Director of Public Works. City Manager Randy Wright then recognized Josh Irvin and Joe Lopez who have both filled in as Public Works Director before hiring Mr. Morris. They did a great job handling extra responsibilities while maintaining their own workload. Chief of Police Mark Cory introduced the following new Police Officers: o Amanda Butler o Cynthia Garza o Jessica Gomez Interim Director of Public Works Joe Lopez introduced the following new employees: o James Gallia Parks Maintenance Crew o Jacob Aleman HOT/Tourism Maintenance Crew PRESENTATION ON TEXAS AMATEUR ATHLETIC FEDERATION (TAAF) SUMMER PROGRAM DIRECTOR OF PARKS AND RECREATION Director of Parks and Recreation Kristin Connor introduced the 2018 Aquacats Swim Team and recognized them for their participation in the Texas Amateur Athletic Federation (TAAF) Summer Program.

8 5. CITY COUNCIL COMMENTS CONCERNING ITEMS OF COMMUNITY INTEREST THAT MAY NOT BE DISCUSSED: Members of the City Council may present reports regarding items of community interest, provided no action is taken or discussed. Items of community interest include the following: Expressions of thanks, congratulations, or condolence Information regarding holiday schedules Honorary recognition of city officials, employees, or other citizens Reminders about upcoming events sponsored by the city or another entity that is scheduled to be attended by a city official or city employee Announcements of imminent threats to the public health and safety of the city Council Member Bethel congratulated the Aquacats Swim Team. He then commented that he attended the TML Newly Elected Officials Orientation in San Antonio this past week along with Mayor Skurow and Council Members Yardley and Moore. Council Member Moore welcomed the newly introduced staff. He then commented that the TML Newly Elected Officials Orientation in San Antonio was very informative. Council Yardley also commented that the TML Newly Elected Officials Orientation was worth attending and was glad he was given the opportunity to attend. Council Member Sutton gave a warm welcome to all the new employees. Council Member Wilson gave an update on the San Pat Appraisal Board meeting he attended. Mayor Pro Tem Green gave an update on the Port of Corpus Christi Board meeting he attended. Mayor Skurow commented that she has provided the City Council with a copy of the minutes of the MPO meeting. She then commented that the TML Newly Elected Officials Orientations served as a refresher course for her. 6. CITY MANAGER S REPORT: The City Manager may present announcements, comments and updates on City operations and projects. There were none.

9 B. ACTION ITEMS, RESOLUTION AND ORDINANCES: 7. Members of the audience who wish to (1) comment or present questions about an agenda item, (2) present questions or concerns on issues not on the agenda, or (3) propose regulatory or policy changes, may address the city council for up to four (4) minutes. Speakers must comply with the following rules: Persons who wish to speak must fill out and turn in a speaker card before the meeting is convened (The Mayor will notify you when it s your turn to speak) All persons must speak from the podium, and must identify themselves and their places of residence All comments, requests and proposals must be presented to or through the Mayor If you have a petition or other information related to your topic, please present it to the City Secretary. Any electronic media (e.g. CD, DVD, flash drive) that the speaker would like to use while they speak MUST be submitted a minimum of 24 hours prior to the meeting. Please contact the City Secretary at (361) to coordinate. The Texas Open Meetings Act prohibits the City Council from responding to or discussing your comments. The Mayor or City Council may: 1. Make a statement of factual information 2. Recite an existing policy in response to a question, or 3. Advise the speaker that a subject will be placed on the agenda at a future meeting. It is the policy of the City Council that citizens shall have the right to be heard, and that no Council member, staff member, or member of the audience may berate, embarrass, accuse, or show personal disrespect for a member of the City Council, There were none. 8. MINUTES OF PREVIOUS MEETINGS: THE CITY COUNCIL WILL CONSIDER THE MINUTES OF ITS AUGUST 7, 2018 REGULAR MEETING REGULAR MEETING MAYOR SKUROW AND CITY SECRETARY Mayor Pro Tem Green made the motion to accept the minutes of the August 7, 2018 regular meeting, seconded by Council Member Wilson. The motion passed with the following vote: For: 7 Mayor Skurow, Mayor Pro Tem Green, Council Member Wilson, Council Member Sutton, Council Member Moore, Council Member Yardley, and Council Member Bethel Against: 0 Absent: 0

10 Abstained: 0 9. PUBLIC HEARING ON PROPOSED TAX INCREASE: THE CITY COUNCIL WILL CONDUCT A PUBLIC HEARING TO SOLICIT COMMENTS FROM CITIZENS AND OTHER INTERESTED PARTIES CONCERNING A PROPOSED INCREASE OF TOTAL TAX REVENUES CITY MANAGER AND INTERIM DIRECTOR OF FINANCE A tax rate of $ per $100 valuation has been proposed for adoption by the governing body of the City of Portland. This rate exceeds the lower of the effective or rollback tax rate, and state law requires that two public hearings be held by the governing body before adopting the proposed tax rate. Mayor Skurow opened the public hearing at 7:22 p.m. City Manager Randy Wright explained that the proposed FY budget was presented and discussed during the July 31, 2018 budget workshop and at the regular City Council meeting on August 7, Mr. Wright then presented the following information: FY Budget Total Budget (7 Funds) Revenues $ 31,940,502 Expenditures 31,226,221 Proposed General Fund Budget Balanced Revenues $ 15,152,068 Expenditures $ 15,152,068 Balancing the budget his year will require an Ad Valorem Tax increase. The proposed tax rate is $ This increase is in the Ad Valorem Tax Rate over the Effective Tax rate of about cents per $100 valuation The increase in the tax rate for this budget is needed to service the debt generated by the 2016 Bond Election As promised to the voters in 2016 o The largest tax increase to service the bond would occur in 2019 and would not exceed 6 cents o This proposed rate increase is about 1 ½ cents less than what was predicted

11 Average home value in Portland is $182,089 The proposed budget is available for download from our website or available for viewing here at City Hall and at the Bell-Whittington Library To comply with State Law the City is required to conduct a Special City Council Meeting on Tuesday, August 28 at 7 p.m. to conduct the 2 nd Public Hearing on the tax rate and the 1 st reading of ordinances to adopt the budget and set the new tax rate Special City Council meetings require a supermajority for pass of any business Jeremy Moore a resident at 1703 Dallas St. questioned the impact of 2016 Bond Election. Mayor Skurow asked for any additional comments from the public. Hearing and seeing none, the Public Hearing was closed at 7:28 pm. 10. ORDINANCE NO REVISING SOLID WASTE SERVICE RATES: THE CITY COUNCIL WILL CONSIDER THE FIRST READING OF ORDINANCE NO THAT REVISES SOLID WASTE SERVICE RATES AND ESTABLISHES A TEMPORARY RECYCLING RATE INCREASE ASSISTANT CITY MANAGER Assistant City Manager Brian DeLatte presented the following information: Republic Services was awarded 5-year contract beginning March 1, 2017 Contract stipulates an annual 3.5% Consumer Price Index increase effective October 1, 2018 Homeowner base rate will increase from $16.50 to $17.08 Commercial base rates will increase from $25.59 to $26.49 Republic Services is requesting an additional $0.34 monthly increase due to increased recycling operational costs Option 1 Increase is temporary and reevaluated annually Option 2 Increase is permanent and Republic will split recycling profits with City Option 3 City Council deny the increase petition Republic Services Municipal Services Manager Mike Reeves presented the following request to the City Council:

12 In accordance with Section of the Solid Waste and Disposal Services Agreement between BFI Waste Services of Texas, LP d/b/a Republic Services of Corpus Christi and the City of Portland, we hereby petition the City for a temporary rate increase of 34 cents per account, per month for both residential and commercial cart customers. The purpose of this rate adjustment is to help offset Republic Services increased operational costs associated with curbside recycling upon reconciling market commodity value. This requested increase would be separate from the CPI and also will be effective October 1, We thank the City of Portland for their continued support and understanding of this matter regarding the state of recycling at this time. Option 1- The 34 cent increase will be re-evaluated annually and removed when break-even is reached. Option 2- The 34 cent increase will be permanent and if market prices increase to exceed cost the profit will be shared with the City at a 50/50 ratio. This letter of understanding will serve as an amendment to the Solid Waste and Disposal Services Agreement dated January 17, 2017 between the City of Portland and BFI Waste Services of Texas, LP d/b/a Republic Services of Corpus Christi. The City Council and Mr. Reeves discussed the request of an additional $0.34 monthly increase due to increase recycling operational costs, the recycling process and reeducating the public on recycling materials. Kaushik Sheik Bhakta a resident at 407 Hazeltine Drive expressed, his opinion in favor of the recycling program. Council Member Wilson made the motion to approve the first reading of Ordinance No excluding SECTION 2. The rates established in Tables 2 and 3 shall include an additional temporary recycling rate increase of $0.34 per month per account effective October 1, 2018 from the ordinance, seconded by Council Member Bethel. The motion passed with the following vote: For: 7 Mayor Skurow, Mayor Pro Tem Green, Council Member Wilson, Council Member Sutton, Council Member Moore, Council Member Yardley, and Council Member Bethel Against: 0 Absent: 0 Abstained: 0

13 City Secretary Annette Hall read the following caption: ORDINANCE NO AN ORDINANCE REVISING RATES FOR THE PROVISION OF SOLID WASTE SERVICE; PROVIDING FOR THE REPEAL OF ORDINANCES IN CONFLICT HEREWITH; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE AND PUBLICATION 11. ORDINANCE NO AMENDING USER FEES FOR MUNICIPAL PARK AND SPORTS COMPLEX: THE CITY COUNCIL WILL CONSIDER THE FIRST READING OF ORDINANCE NO AMENDING FEES CHARGED TO USERS OF MUNICIPAL PARK AND THE SPORTS COMPLEX CITY MANAGER City Manager Randy Wright presented the following information: We opened the two sport venues in December 2017 and established a fee schedule that was designed to establish initial users and attract out-of-town tournaments. By all accounts, that strategy has been successful. In the past eight months, the City has hosted 21 tournaments that included over 650 baseball and softball teams. Those teams, coaches and family members contributed significantly to our local retailers, restaurants and hotels. From January 2018 through July 2018, our direct revenues from tournament operations were approximately $34,300. By year end, using the current structure, we would anticipate total calendar year revenues of approximately $67,300. Applying the new rate structure to the 2018 rentals would have generated approximately $168,000. We have analyzed our current usages and fees, our operating costs, and reviewed fees charged by other cities with similar venues and developed an amended fee schedule that is consistent with other similar venues and contributes more to the General Fund. Ordinance 2174 establishes the new rate structure. We are still gathering data to help us quantify the economic impact of our sports venues, but we know from early research from other cities that a typical 18-team weekend tournament can contribute over $100,000 in economic benefit to the community. Sports Director Matt Rogers added that the team entry fees will have significant impact. Jeremy Moore a resident at 1703 Dallas Street expressed his opinion about a provision to allow the public to use the playing surfaces at Municipal Park and Sports Complex.

14 Mayor Pro Tem Green made the motion to approve the first reading of Ordinance No amending fees charged to users of Municipal Park and the Sports Complex, second by Council Member Moore. The motion passed with the following vote: For: 7 Mayor Skurow, Mayor Pro Tem Green, Council Member Wilson, Council Member Sutton, Council Member Moore, Council Member Yardley, and Council Member Bethel Against: 0 Absent: 0 Abstained: 0 City Secretary Annette Hall read the following caption: ORDINANCE NO AN ORDINANCE AMENDING RENTAL FEES FOR THE USE OF THE MUNICIPAL PARK AND THE SPORTS COMPLEX; PROVIDING FOR THE REPEAL OF ORDINANCES IN CONFLICT HEREWITH; PROVIDING A SEVERABILITY CLAUSE; ESTABLISHING A PENALTY AND SPECIFICALLY NEGATING A REQUIREMENT OF A CULPABLE MENTAL STATE; AND PROVIDING FOR PUBLICATION AND AN EFFECTIVE DATE 12. ORDINANCE NO GRANTING AEP TEXAS, INC. A NON-EXCLUSIVE FRANCHISE: THE CITY COUNCIL WILL CONSIDER THE FIRST READING OF ORDINANCE NO THAT GRANTS AEP TEXAS, INC. A NON-EXCLUSIVE FRANCHISE TO THE USE OF CITY RIGHTS-OF- WAY AND OTHER PUBLIC PLACES CITY MANAGER City Manager Randy Wright presented the following information: Like other public utilities, AEP operates within easements and rights-of-way owned by the City of Portland under the provisions of a franchise agreement that permits AEP to use those public areas in exchange for a franchise fee paid to the City. In the proposed agreement, the franchise fee is $ per kilowatt hour multiplied times the number of kilowatts delivered by the company to retail customers within the City s boundaries. That rate is set by the Texas Public Utilities Regulatory Act (PURA) Section (b), Texas Utilities Code. City Attorney Hal George has reviewed the contract. When comparing the new franchise agreement to the expiring agreement, there are a few changes:

15 1) Section 3 authorizes the company to cut and otherwise control trees and vegetation affecting their infrastructure. 2) Section 4 requires the City to notify AEP of any annexations or de-annexations. 3) Section 6 makes the agreement non-exclusive The new agreement will continue for the next 30 years, expiring November 1, AEP External Affairs Manager Pat King explained that this the same agreement that is used in other communities serviced by AEP. Council Member Moore made the motion to approve the first reading of Ordinance No that grants AEP Texas, Inc. a non-exclusive franchise to the use of city rights-of-ways and other public places, seconded by Council Member Yardley. The motion passed with the following vote: For: 6 Mayor Skurow, Mayor Pro Tem Green, Council Member Sutton, Council Member Moore, Council Member Yardley, and Council Member Bethel Against: 0 Absent: 0 Abstained: 1 Council Member Wilson C. ADJOURNMENT: MAYOR SKUROW Mayor Skurow adjourned the meeting at 8:20 p.m. NOTICE OF ASSISTANCE If you plan to attend this public meeting and you have a disability that requires special arrangements to be made, please contact City Secretary Annette Hall (361) or annette.hall@portlandtx.com in advance of the meeting. Reasonable accommodations will be made to facilitate your participation. The City Hall is wheelchair accessible and specially marked parking spaces are located in front of its entrance. Special seating will be provided in the Council Chamber during the meeting. Approved: Cathy Skurow, Mayor BRAILLE IS NOT AVAILABLE

16 Attest: City Secretary

17 port

18 CITY COUNCIL ACTION ITEM AGENDA TITLE MEETING DATE DEPARTMENT SUBMITTED BY ORDINANCE NO REVISING SOLID WASTE SERVICE RATES THE CITY COUNCIL WILL CONSIDER THE SECOND AND FINAL READING OF ORDINANCE NO THAT REVISES SOLID WASTE SERVICE RATES AND ESTABLISHES A TEMPORARY RECYCLING RATE INCREASE 9/4/2018 Administration Brian DeLatte, P.E., Assistant City Manager EXECUTIVE SUMMARY Ordinance No has been changed since the first reading on August 21, 2018 to reflect the exclusion of Section 2 concerning the temporary 34-cent per month per residential and commercial cart account increase. In accordance with the Solid Waste Collection and Disposal Contract, BFI Waste Services of Texas, dba Allied Waste Services of Texas/Republic Services (Republic) of Corpus Christi is entitled to a 3.50% rate increase in the residential, commercial, and roll-off dumpster rates to become effective October 1, Single-family residential monthly rates will increase from $16.50 to $17.08, a 58-cent increase. Separately, Republic is requesting a temporary 34-cent per month per residential and commercial cart account increase to offset its increased recycling operational costs. PRIOR ACTIONS OR REVIEWS February 7, 2017 The City Council adopted Ordinance No that granted an exclusive franchise and authorized a five-year agreement with Republic for solid waste and recycling collection and disposal services. July 17, 2018 The City Council received a presentation from Republic concerning its upcoming petition for a temporary 34-cent per month per residential and commercial cart account increase. DETAILS / STAFF ANALYSIS The 3.50% increase is in compliance with Section of the Solid Waste Collection and Disposal Contract. The contract stipulates CPI increases of 3.50% prior to the 20, 32, and 44- month period of the contract. The contract runs through February 28, Separately, Republic is requesting a temporary 34-cent per month per residential and Page 1 of 2

19 commercial cart account increase to offset its increased recycling operational costs. If approved, the combined CPI increase and temporary recycling increase would be $0.92/monthly per residential account (5.6%). The temporary increase represents approximately $1,726 on a typical monthly bill to the City of $175,000. Republic has proposed two options for City Council consideration: 1. The 34-cent increase will be re-evaluated annually and removed when break-even is reached. 2. The 34-cent increase will be permanent and if market prices increase to exceed cost the profit will be shared with the City at a 50/50 ratio. Representatives of Republic previously presented on the topic and will give another presentation on the petition s two options at the City Council meeting. Ordinance No. 2173, Section 2, includes the 34-cent increase. At the conclusion Republic s petition presentation, the City Council may include, modify, or exclude Section 2 of the ordinance. ALTERNATIVES CONSIDERED None. FINANCIAL IMPACT There is no budgetary impact as solid waste services is a pass-through cost to the residents and businesses. Failure to adopt the ordinance would require the use of general fund reserves to supplement payments to the solid waste contractor. ATTACHMENTS Rate increase correspondence from Republic Services Solid Waste Collection and Disposal Contract Proposed Ordinance No RECOMMENDED ACTION Motion to approve the second and final reading of Ordinance No as amended. Page 2 of 2

20 ORDINANCE NO AN ORDINANCE REVISING RATES FOR THE PROVISION OF SOLID WASTE SERVICE; PROVIDING FOR THE REPEAL OF ORDINANCES IN CONFLICT HEREWITH; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE AND PUBLICATION WHEREAS, the exclusive franchise agreement between the City of Portland ( City ) and Allied Waste Services of Texas/Republic Services of Corpus Christi ( Allied Waste Services/Republic Services ) incorporates annual Consumer Price Index (CPI) driven rate increases; and, WHEREAS, the City and Allied Waste Services/Republic Services agree that a commensurate 3.50 percent increase that takes effect October 1, 2018, is in order, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PORTLAND, TEXAS: SECTION 1. That the Portland Code of Ordinances, Chapter 23, Article II, Division 2, Section 23-41, Table 2: Solid Waste Charges is hereby amended and Tables 3 through 7 are created following Table 2 to read as follows: Table 2. MONTHLY RESIDENTIAL CART COLLECTION RATES 1 Trash Cart (96 gallons) and 1 Recycle Cart $17.08 (96 gallons) Additional Trash Cart (96 gallons) at location $13.76 Additional Recycling Cart (96 gallons) at $13.76 location Extra Brush or Bulky Collection at location $75.05 (per claw grab) Administrative/billing Fee per location $2.50 Table 3. MONTHLY COMMERCIAL CART COLLECTION RATES 1 Trash Cart (96 gallons) and 1 Recycle Cart $26.49 (96 gallons) Additional Trash Cart (96 gallons) at location $17.76 Additional Recycling Cart (96 gallons) at $17.76 location Administrative/billing Fee per location $3.06 Table 4. 20, 30 & 40-YARD ROLL-OFF (OPEN TOP) Dumpster Rates Delivery $77.63 Monthly Service $93.15

21 Haul Rate $ Disposal Fee $31.05 per ton Administrative/billing Fee per account 19.5% per month Table YARD ROLL-OFF (OPEN TOP) DUMPSTER RATES Delivery $77.63 Monthly Service $93.15 Haul Rate $ Disposal Fee $31.05 per ton Administrative/billing Fee per account 19.5% per month Table 6. MONTHLY COMMERCIAL DUMPSTER COLLECTION RATE (1) Container Pickups Per Week Size cu yd $60.49 $ $ $ $ $ cu yd $88.92 $ $ $ $ $ cu yd $ $ $ $ $ $ cu yd $ $ $ $ $ $ cu yd $ $ $ $ $ $1, cu yd Recycle $ $ cu yd Recycle $ $ (1) An administrative/billing fee of 19.5% shall be charged in addition to the Monthly Commercial Dumpster Collection Rates. Table 7. MISCELLANEOUS FEES (2) Overload fee (per occurrence) $50.00 Extra lift (per customer request) $80.00 Relocation fee (per customer request) $50.00 Exchange fee (per customer request) $50.00 Auto-lock fee (one-time cost per customer) $50.00 Delivery Fee $50.00 (2) An administrative/billing fee of 19.5% shall be charged in addition to the Miscellaneous Fees. SECTION 2. The rates established in Tables 2 and 3 shall include an additional temporary recycling rate increase of $0.34 per month per account effective October 1, SECTION 2. All previously adopted rules, regulations, policies and ordinances in conflict with this Ordinance are hereby repealed.

22 SECTION 3. If any provision, section, clause or phrase of this Ordinance, or the application of same to any person or set of circumstances is, for any reason held to be unconstitutional, void or invalid, the validity of the remaining portions of this Ordinance shall not be affected thereby, it being the intent of the City Council in adopting this Ordinance that no portion hereof, or provisions or regulations contained herein, shall become inoperative or fail by reason of any constitutionality of any other portion hereof, and all provisions of this ordinance are hereby declared severable for that purpose. SECTION 4. This Ordinance shall be published after the second reading hereof by publishing the caption thereof in the official newspaper with a statement that the public may view the Ordinance in the Office of the City Secretary. SECTION 5. This Ordinance shall take effect on October 1, PASSED and APPROVED this 4 th day of September, City of Portland, Texas Cathy Skurow Mayor ATTEST: Annette Hall City Secretary

23 port

24 CITY COUNCIL ACTION ITEM AGENDA TITLE MEETING DATE DEPARTMENT SUBMITTED BY ORDINANCE NO AMENDING USER FEES FOR MUNICIPAL PARK AND SPORTS COMPLEX THE CITY COUNCIL WILL CONSIDER THE SECOND AND FINAL READING OF ORDINANCE NO AMENDING FEES CHARGED TO USERS OF MUNICIPAL PARK AND THE SPORTS COMPLEX CITY MANAGER 9/4/2018 Administration Randy L Wright, City Manager EXECUTIVE SUMMARY Ordinance No remains unchanged since the first reading on August 21, 2018 The new Municipal Park Complex and the Sports Complex have been used successfully for the last eight months. The preliminary fee structure that was approved in December of 2017 must now be revised for the coming season. PRIOR ACTIONS OR REVIEWS Ordinance No Passed on 2/6/2018. DETAILS / STAFF ANALYSIS We opened the two sport venues in December 2017 and established a fee schedule that was designed to establish initial users and attract out-of-town tournaments. By all accounts, that strategy has been successful. In the past eight months, the City has hosted 21 tournaments that included over 650 baseball and softball teams. Those teams, coaches and family members contributed significantly to our local retailers, restaurants and hotels. We are still gathering data to help us quantify the economic impact of our sports venues, but we know from early research from other cities that a typical 18-team weekend tournament can contribute over $100,000 in economic benefit to the community. We have analyzed our current usages and fees, our operating costs, and reviewed fees charged by other cities with similar venues and developed an amended fee schedule that is consistent with other similar venues and contributes more to the General Fund. Ordinance 2174 establishes the new rate structure. From January 2018 through July 2018, our direct revenues from tournament operations were approximately $34,300. By year end, using the current structure, we would anticipate total

25 calendar year revenues of approximately $67,300. Applying the new rate structure to the 2018 rentals would have generated approximately $168,000. ALTERNATIVES CONSIDERED None. FINANCIAL IMPACT The proposed increase in fees is reasonable and consistent with fee structures at other sports venues. The new fee structure is projected to increase revenues to the General Fund by approximately $101,000. ATTACHMENTS Ordinance No RECOMMENDED ACTION Move to approve the second and final reading of Ordinance No amending fees for use of the Municipal Park and Sports Complex.

26 ORDINANCE NO AN ORDINANCE AMENDING RENTAL FEES FOR THE USE OF THE MUNICIPAL PARK AND THE SPORTS COMPLEX; PROVIDING FOR THE REPEAL OF ORDINANCES IN CONFLICT HEREWITH; PROVIDING A SEVERABILITY CLAUSE; ESTABLISHING A PENALTY AND SPECIFICALLY NEGATING A REQUIREMENT OF A CULPABLE MENTAL STATE; AND PROVIDING FOR PUBLICATION AND AN EFFECTIVE DATE WHEREAS the City of Portland operates and maintains the artificial turf fields, splash pads, and other amenities at Municipal Park at 1815 Memorial Parkway and at the Sports Complex at 721 Buddy Ganem Drive; and, WHEREAS the City Council desires to offset the cost of operations by adopting appropriate fees. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PORTLAND, TEXAS: SECTION 1. Chapter 14, Article I of the Code of Ordinances of the City of Portland is hereby amended to read as follows: Sec Use of Municipal Park and Sports Complex. (a) The City Manager shall adopt rules and regulations concerning the use of the Municipal Park and Sports Complex. Failure to comply with posted signs at the Municipal Park and Sports Complex is prohibited. (b) Use generally. Any person, firm, entity, corporation, school, and organizations of every nature desiring to have exclusive use of the City of Portland Municipal Park, located at 1815 Memorial Parkway and Sports Complex, located at 721 Buddy Ganem Drive, shall apply to the city for a permit to use such complex, on a form provided by the city. Such agreement shall entitle such user to exclusive use of such complex and shall obligate such user to return the premises to the city after such use clean and without damage, ordinary wear and tear only excepted. (c) Rates. Rates for use of the complex shall be as follows: Rental Option Municipal Park Full Complex Rental (includes exclusive use of all artificial turf playing fields with lights, use of concession stand, basketball pavilion, picnic pavilion, scoreboards, public address systems, batting cages, and non-exclusive use of the splash pad, playground, and jogging trail) Rental Fee $ per day plus $75 for each participating team Concession Building Use Fee $ per event Security and Cleaning Deposit $ Municipal Park Baseball Field Rental $ per hour (two hours minimum), $ per day $100.00

27 Municipal Park Baseball Field lighting $ per hour N/A Municipal Park Basketball Pavilion $ per hour (two hours minimum) $ Municipal Park Picnic Pavilion $25.00 per hour (two hours minimum) $50.00 Sports Complex Full Complex Rental for softball (includes exclusive use of all four artificial turf softball fields with lights, use of concession stand, scoreboards, batting cages, and public address systems, and nonexclusive use of the picnic pavilion, splash pad, and playground) $ per day plus $75 for each participating team $ per event $ Sports Complex splash pad, picnic pavilion, and playground $75.00 per hour (two hours minimum) $ Sports Complex Football Pavilion $20.00 each per hour (two hours minimum) $50.00 Sports Complex Softball Field Rental $ per hour (two hours minimum), $ per day $ Sports Complex Softball Field lighting $ per hour N/A Sports Complex Football/Soccer Field Rental $ per hour (two hours minimum), $ per day $ per event $ Sports Complex Football/Soccer Field lighting $30.00 per hour (two hours minimum) N/A Dual-Site Rental Simultaneous use of Municipal Park Full Complex and Sports Complex Full Complex with all inclusions and exclusions for each site as described above. $1, per day plus $75 for each participating team $ per event $ (d) Non-residents of Portland shall pay one hundred twenty-five (125) percent of the applicable fees and deposits. (e) Deposits for security and cleaning obligate the renter to return possession of the facility to the City clean, in good condition, and without damage. The renter s deposit, or any portion thereof as may be necessary, will be applied to any charges incurred by the City in returning the facility clean, in good condition, and without damage. In the event that charges incurred by the City exceed the security and cleaning deposit, the City reserves the right, and renter agrees to pay, such additional charges to return the facility clean, in good condition, and without damage. Failure to pay such additional charges promptly shall result in the City refusing future rentals of

28 the facility to the offending party, and appropriate legal means necessary to recover the additional charges. SECTION 2. REPEALER All previously adopted rules, regulations, policies and ordinances in conflict with this Ordinance are hereby repealed. SECTION 3. SEVERABILITY If any provision, section, clause or phrase of this Ordinance, or the application of same to any person or set of circumstances is, for any reason held to be unconstitutional, void or invalid, the validity of the remaining portions of this Ordinance shall not be affected thereby, it being the intent of the City Council in adopting this Ordinance that no portion hereof, or provisions or regulations contained herein, shall become inoperative or fail by reason of any unconstitutionality of any other portion hereof, and all provisions of this Ordinance are declared severable for that purpose. SECTION 4. PENALTY Any person who violates this Ordinance shall be guilty of a misdemeanor and, upon conviction thereof, shall be subject to a fine not exceeding five hundred dollars ($500.00). Each and every day that a violation of this Ordinance occurs shall constitute a separate offense. The culpable mental state required by Chapter 6.02, Texas Penal Code, is specifically negated and dispensed with and a violation is a strict liability offense. SECTION 5. PUBLICATION AND EFFECTIVE DATE This Ordinance shall be published after second reading hereof by publishing the caption thereof in the official newspaper with a statement the public may view the Ordinance in the Office of the City Secretary. This Ordinance shall take effect upon its publication. PASSED and APPROVED on second reading this 4 th day of September ATTEST: Annette Hall City Secretary CITY OF PORTLAND Cathy Skurow Mayor

29 port

30 CITY COUNCIL ACTION ITEM AGENDA TITLE ORDINANCE NO GRANTING AEP TEXAS, INC. A NON- EXCLUSIVE FRANCHISE THE CITY COUNCIL WILL CONSIDER THE SECOND AND FINAL READING OF ORDINANCE NO THAT GRANTS AEP TEXAS, INC. A NON- EXCLUSIVE FRANCHISE TO THE USE OF CITY RIGHTS-OF-WAY AND OTHER PUBLIC PLACES CITY MANAGER MEETING DATE 9/4/2018 DEPARTMENT SUBMITTED BY Administration Randy L Wright, City Manager EXECUTIVE SUMMARY Ordinance No remains unchanged since the first reading on August 21, The City has maintained a franchise agreement with AEP, Texas, Inc. (formerly Central Power & Light Company) since That agreement will expire November 1, This ordinance renews that franchise agreement. PRIOR ACTIONS OR REVIEWS November 1, 1988 The City Council adopted Ordinance No. 777 that granted to Central Power & Light Company, its successors and assigns, the right, privilege, and franchise until November 1, 2018, to construct, maintain, and operate in the present and future, streets, alleys and public places of the City of Portland. DETAILS / STAFF ANALYSIS Like other public utilities, AEP operates within easements and rights-of-way owned by the City of Portland under the provisions of a franchise agreement that permits AEP to use those public areas in exchange for a franchise fee paid to the City. In the proposed agreement, the franchise fee is $ per kilowatt hour multiplied times the number of kilowatts delivered by the company to retail customers within the City s boundaries. That rate is set by the Texas Public Utilities Regulatory Act (PURA) Section (b), Texas Utilities Code. When comparing the new franchise agreement to the expiring agreement, there are a few changes: 1) Section 3 authorizes the company to cut and otherwise control trees and vegetation affecting their infrastructure. 1

31 2) Section 4 requires the City to notify AEP of any annexations or de-annexations. 3) Section 6 makes the agreement non-exclusive The new agreement will continue for the next 30 years, expiring November 1, ALTERNATIVES CONSIDERED None. FINANCIAL IMPACT Franchise fees are a revenue source used to fund the General Fund. The rate is set by State Law. ATTACHMENTS Ordinance No RECOMMENDED ACTION Move to approve the second and final reading of Ordinance No granting a nonexclusive franchise agreement to AEP Texas, Inc. 2

32 ORDINANCE 2175 AN ORDINANCE GRANTING TO AEP TEXAS INC., ITS SUCCESSORS AND ASSIGNS, A NON-EXCLUSIVE FRANCHISE TO CONSTRUCT, MAINTAIN AND OPERATE LINES AND APPURTENANCES AND APPLIANCES FOR CONDUCTING ELECTRICITY IN, OVER, UNDER AND THROUGH THE STREETS, AVENUES, ALLEYS AND PUBLIC PLACES OF THE CITY OF PORTLAND, TEXAS BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PORTLAND, TEXAS, A MAJORITY OF MEMBERS CONCURRING: SECTION 1: That AEP Texas Inc., formerly known as Central Power and Light Company, a corporation organized under the laws of the State of Texas, its successors and assigns, (hereinafter called "Company") is hereby granted the non-exclusive right, privilege, franchise and authority until November 1, 2048, to acquire, construct, maintain and operate in, above, under, across, over and along the streets, alleys, thoroughfares, bridges, and public places (hereinafter Public Rights-of-Way ), as the same now exist or may hereafter be laid out, in the City of Portland, State of Texas, (hereinafter called City"), lines for the transmission and distribution of electric energy and services incidental thereto, either by means of overhead or underground conductors with all necessary or desirable appurtenances and appliances as currently installed or that may be installed in the future, including but not limited to electric substations, underground conduits, poles, towers, wires and transmission and distribution lines, and fiber optic cable and telegraph and telephone wires for audio, video, and data communications for use in support of transmission and distribution operations and the electric system and grid and matters appurtenant thereto, all for the purpose of transmitting and distributing electrical energy to the City and the inhabitants thereof, and persons and corporations within and beyond the limits thereof, for light, heat, power, and any other purpose or purposes for which electric energy is now or may hereafter be used, and to license or lease space on or within the Company's poles, conduit, and appurtenant facilities for the 3

33 attachment of third-party facilities, and for all other facilities Company deems reasonably necessary for the provision of safe, reliable, and economical electric service to the City. SECTION 2: Poles and towers shall be erected so as not to interfere unreasonably with traffic over streets and alleys, and City may make and impose reasonable requirements fixing the location of poles, towers, and conduits, provided that no such requirement shall be unreasonably burdensome upon Company or unreasonably interfere with the operation or maintenance of said facilities. SECTION 3: City hereby grants to Company permission to cut down, trim, remove, and otherwise control using herbicides or tree growth regulators, any trees, branches, vegetation, or brush upon and overhanging the Public Rights-of-Way of the City in the vicinity of Company's electric facilities where such trees and other vegetation, in Company's reasonable opinion, may endanger the safety of Company's personnel or interfere with the construction, operation or maintenance of Company's facilities or ingress or egress to, from or along the Public Rights-of-Way. SECTION 4: The Company shall fully indemnify and save harmless the City from any and all damage, loss, action or cause of action arising in whole or in part from Company's exercise of any of its rights, privileges, franchises and obligations hereunder, except to the extent arising out of City 's negligence or willful misconduct. SECTION 5: For and as full consideration and compensation for this franchise and the rights, privileges, and easements granted and conferred thereby and as rental for the use of the Public Rights-of-Way within or that may hereafter be within said City, the Company shall pay said City an amount calculated in accordance with the methodology prescribed by applicable law, as it exists today in the form and substance of the Texas Public Utilities Regulatory Act (PURA) Section (b), Texas Utilities Code, currently the product of a factor of $ per kilowatt hour multiplied times the number of kilowatt hours delivered by Company to retail customers within the City's boundaries, as such charge may be revised from time to time in accordance with Section (b) of the Texas Utilities Code or any other applicable provision of law regarding franchise fee payments. 4

34 A payment made on the basis of the foregoing applicable law or any change, modification or replacement thereof will be made each month throughout the term herein provided for, with each such payment to be made on the first business day of the second month following the month in which the deliveries occurred, for the billing cycle for that month. The City shall notify the Company in writing of newly annexed and de-annexed areas. The notice shall include the ordinance number authorizing the action, an appropriate map identifying the areas and documentation of the notice to the State of Texas regarding the annexation or de-annexation. The Company shall have no responsibility for commencing payments to City for kilowatt hours delivered in newly annexed areas until it shall have received City's notification. Upon City's notification and starting the 91st day after receipt of such notice, the Company will commence payments to the City for kilowatt hours delivered in each newly annexed area and will make any appropriate adjustments in payments reflecting over deliveries of kilowatt hours in any prior month resulting from inclusion of kilowatt hours from de-annexed areas in the calculation of the monthly charge. Payments for deliveries in newly annexed areas and adjustments for over deliveries in de-annexed areas shall be made back to the effective date of the ordinance. SECTION 6: Whenever in this ordinance the City or Company is referred to, such reference shall be deemed to include the respective successor or assign of either, and all rights, privileges, franchises, and obligations herein contained shall bind and inure to the benefit of such successor or assign, in which event the predecessor of such successor or assign is divested of all such rights, privileges, franchises or obligations, whether so expressed or not. SECTION 7: The terms and provisions of this ordinance are joint and several, and the invalidity of any part shall not affect the validity of the remainder of the ordinance. SECTION 8: This ordinance shall take effect from and after the earliest period allowed by law, provided that Company shall file its written acceptance of this franchise within ninety (90) days after the adoption of this ordinance. Once this ordinance takes effect, the 5

35 electric franchise under which the City has been operating heretofore, shall stand surrendered. PASSED and APPROVED on second reading this 4 th day of September ATTEST: Annette Hall City Secretary CITY OF PORTLAND Cathy Skurow Mayor 6

36 STATE OF TEXAS COUNTIES OF SAN PATRICIO AND NUECES I, the undersigned, City Secretary of the City of Portland, Texas, hereby CERTIFY that the above and foregoing is a true and correct copy of a franchise ordinance passed, adopted and approved by the City Council of the City of Portland, Texas, at a meeting duly and regularly called and held on the day of IN TESTIMONY WHEREOF, witness my hand and seal of office, this day of City Secretary, City of Portland, Texas 7

37 port

38 CITY COUNCIL ACTION ITEM AGENDA TITLE MEETING DATE DEPARTMENT SUBMITTED BY ORDINANCE NO AMENDING CURRENT FISCAL YEAR BUDGET: THE CITY COUNCIL WILL CONSIDER THE SECOND AND FINAL READING OF ORDINANCE NO THAT AMENDS THE FISCAL YEAR BUDGET. 9/4/2018 Finance Lorenzo Lara, Controller EXECUTIVE SUMMARY Ordinance No remains unchanged since the first reading on August 28, Budget development is based on forecasting and experience. Initially not all information may be available or known. Over the course of the budget year, information comes in that clarifies or realigns forecasted information or sheds light on new items that may affect the operating budget. The projected year-end adjustment to the Fiscal Year 2018 Budget recognizes and incorporates new and updated information and material changes in operations. PRIOR ACTIONS OR REVIEWS The City Council adopted by Ordinance No. 2153, a fund level budget ending September 30, 2018, on September 19, 2017 after a second and final reading. DETAILS / STAFF ANALYSIS The year-end FY budget amendment includes adjustments to revenues and expenditures based on operational activity during the fiscal year for each budgeted fund. The revisions include salary, operational, capital revisions and additions, and emergency operations. The net changes in fund reserves identifies projected changes in fund balances due to changes in revenues and expenditures as well as the use of or draw down of fund balance for identified projects. ALTERNATIVES CONSIDERED The alternative is to not amend the FY budget; resulting in improperly reflecting year-end estimates in revenues and expenditures. FINANCIAL IMPACT The following table shows the adopted budgets, project year-end totals, increases and (decreases), and net change in fund reserves. Page 1 of 2

39 Adopted Budget Total Projected Year- End Actual Total Increase (Decrease) Net Change in Fund Reserves Increase (Decrease) General Fund Revenues* $ 13,968,585 $ 12,849,798 $ (1,118,787) Expenditures $ 13,967,791 $ 12,563,111 $ (1,404,680) $ 185,145 Water/Wastewater Fund Revenues** $ 8,200,196 $ 8,279,882 $ 79,686 Expenditures $ 8,200,196 $ 7,986,996 $ (213,200) $ 17,886 Debt Service Fund Revenues $ 2,359,803 $ 2,561,455 $ 201,652 Expenditures $ 2,359,803 $ 2,297,302 $ (62,501) $ 264,153 Type B Economic Development Sales Tax Fund Revenues $ 1,496,190 $ 1,277,000 $ (219,190) Expenditures $ 1,496,190 $ 909,077 $ (587,113) $ 367,923 Drainage Fund Revenues $ 289,500 $ 326,800 $ 37,300 Expenditures $ 181,179 $ 181,169 $ 0 $ 145,631 Restricted Use Fund Revenues $ 799,510 $ 941,000 $ 141,490 Expenditures $ 799,510 $ 613,007 $ (186,503) $ 327,993 Venue Tax Fund*** Revenues $ 1,446,198 $ 1,545,198 $ 99,000 Expenditures $ 1,356,567 $ 1,524,323 $ 167,756 $ (10,823) *Includes drawdown of fund balance $101,542 **Includes drawdown of fund balance (retained earnings) $275,000 ***Includes drawdown of fund balance of $31,698 ATTACHMENTS Ordinance No FY Amended Budget RECOMMENDED ACTION Motion to approve second and final reading of Ordinance No amending the FY budget ending September 30, Page 2 of 2

40 ORDINANCE NO AN ORDINANCE AMENDING AND ADJUSTING ORDINANCE NO PASSED ON THE 19th OF SEPTEMBER 2017, ADOPTING THE FUND LEVEL BUDGET FOR THE CITY OF PORTLAND FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2018, AND MAKING SUPPLEMENTAL APPROPRIATIONS AND ADJUSTMENTS FOR SAID FISCAL YEAR; REPEALING ALL ORDINANCES IN CONFLICT HEREWITH, PROVIDING FOR THE PUBLICATION OF THIS ORDINANCE; AND AN EFFECTIVE DATE WHEREAS, during the fiscal year of the City of Portland ending the 30th day of September 2018, the City Manager has indicated to the City Council that there are amendments and adjustments necessary to the present Budget adopted by Ordinance No passed on the 19th day of September 2017; and, NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PORTLAND, TEXAS, AS FOLLOWS, TO-WIT: SECTION 1: That the attached amendments and adjustments shall be made to the Budget for the fiscal year of the City of Portland ending the 30th day of September, SECTION 2: That this Ordinance repeals all ordinances in conflict herewith. SECTION 3: That this Ordinance shall be in full force and effect upon its adoption, approval, and required publication of its caption. SECTION 4: This Ordinance shall take effect upon publication. PASSED and APPROVED this 4 th day of September, City of Portland, Texas Cathy Skurow Mayor ATTEST: Annette Hall City Secretary

41 08/24/2018 ORDINANCE NO. ORIGINAL BUDGET YTD AMENDED BUDGET PROPOSED BUDGET GENERAL FUND REVENUE 13,968,585 10,042,891 12,849,798 15,152,068 Administration 2,695,371 1,594,171 1,694,717 3,174,298 Finance 444, , , ,361 IT 395, , , ,802 Police 4,516,414 3,580,074 4,371,588 4,588,117 Fire 1,747,270 1,479,360 1,758,813 2,007,823 Animal Control 176, , , ,652 Municipal Court 247, , , ,811 General Services 119,446 96, , ,668 Streets 777, , , ,741 Vehicle Maintenance 99,402 68,866 91,955 95,407 Building Services 455, , , ,825 Parks 663, , , ,914 Community Center 642, , , ,873 Kidz Klub 307, , , ,775 Senior Center 130,429 93, , ,007 Skate Park ,546 60,300 Library 548, , , ,694 TOTAL GENERAL FUND EXPENSE 13,967,791 10,296,049 12,563,111 15,152,068 DIFFERENCE 794 (253,158) 286,687 (0) Effective Tax Rate cents Proposed Tax Rate cents Ad Valorem Tax Increase Required 4.36 cents Rollback Rate cents Fund 2 UTILITY FUND REVENUE 8,200,196 6,712,132 8,279,882 9,302,500 Utility Administration 3,612, ,779 2,835,216 3,899,464 Utility Billing 249, , , ,090 Water Distribution 2,942,142 2,431,080 3,101,327 3,250,130 Collection 559, , , ,451 WW Treatment Plant 837, , , ,403 TOTAL UTILITY FUND EXPENSE 8,200,196 4,415,745 7,986,996 8,838,538 DIFFERENCE (0) 2,296, , ,962 Fund 11 Revenues - Debt Service 2,359,803 2,495,107 2,561,455 2,784,214 Expenditures 2,359,803 2,408,420 2,297,302 2,743,998 DIFFERENCE 0 86, ,153 40,216 Fund 12 Revenues - Type B 1,496, ,898 1,277,000 1,735,498 Expenditures 1,496, , ,077 1,734,251 DIFFERENCE 0 543, ,923 1,247 Fund 18 Revenues - Drainage 289, , , ,500 Expenditures 181,179 3, , ,984 DIFFERENCE 108, , , ,516 Fund 20 Revenues - Restricted Use 799, , ,000 1,353,100 Expenditures 799, , , ,796 DIFFERENCE 0 385, , ,304 Fund 21 Venue Fund Revenues 1,446,198 1,096,175 1,545,198 1,785,198 Admin Expenditures 667, , , ,854 Aquatics Expenditures 507, , , ,336 Sports Complexes Expenditures 182, , , ,397 TOTAL VENUE FUND EXPENSE 1,357,567 1,171,161 1,524,323 1,701,587 DIFFERENCE 88,631 (74,986) 20,875 83,611 TOTAL REVENUE ALL FUNDS 28,559,982 22,287,867 27,781,133 32,444,078 TOTAL EXPENDITURES ALL FUNDS 28,362,236 19,034,310 26,074,986 31,226,221 DIFFERENCE SURPLUS/(DEFICIT) 197,746 3,253,557 1,706,148 1,217,856

42 port

43 CITY COUNCIL ACTION ITEM AGENDA TITLE MEETING DATE DEPARTMENT SUBMITTED BY ORDINANCE NO ADOPTING FISCAL YEAR BUDGET: THE CITY COUNCIL WILL CONSIDER THE SECOND AND FINAL READING OF ORDINANCE NO THAT ADOPTS THE FISCAL YEAR BUDGET. 9/4/2018 Finance Lorenzo Lara, Controller EXECUTIVE SUMMARY Ordinance No remains unchanged since the first reading on August 28, The FY Proposed Budget was developed to meet the needs of our citizens and to provide excellent customer service, consistent with the City s Strategic Operating Plan. The Proposed Budget for FY includes a staffing increase in Administration, Police, Fire, and the Sports Complex; as well as necessary capital purchases with an emphasis on facilities. As the City continues to see more growth in housing, industry and other commercial/retail areas, the additional staffing of one (1) Assistant City Manager, one (1) Police Officer, one (1) School Resource Officer, one (1) Fire Engineer, and one (1) Sports Venue Assistant will assist with the City s growing needs. PRIOR ACTIONS OR REVIEWS The City Council reviewed the Proposed FY Budget during a budget workshop on July 31, The addition of new employees and the purchase of capital items as well as the Capital Improvement Program were discussed during the budget workshop. DETAILS / STAFF ANALYSIS The budget document is based on conservative forecasting, historical trends, and experience. Contributors to the document include City Council, management, departments, and other governmental agencies. The Finance Department began the budget process in May. Departmental budgets were obtained from departments the first part of June. Each department met with the City Manager and Finance staff to review their budgets, discuss staffing needs, new programs or services, and equipment and capital needs. Finance then compiled a budget containing departmental expenditures and revenues for the Page 1 of 3

44 City Manager to review. The City Council, City Manager and staff met in a budget workshop on July 31, 2018 to fine-tune the budget. The proposed FY budget was presented to the City Council by the City Manager on August 7 th. ALTERNATIVES CONSIDERED The City Council may choose not to adopt the Proposed FY Budget before September 30 th ; however, doing so requires the City to use the current FY Budget for FY , as mandated by Texas Local Government Code. The current FY Budget was designed for the current year s operating needs while the Proposed Budget is predicated on new staffing requirements, changing capital needs, and debt service requirements. Opting to continue with this year s budget would not properly reflect the operational revenues and expenditures needed in order to continue providing high quality service to the citizens of Portland. FINANCIAL IMPACT The Proposed FY is conservative in both revenue predictions and planned expenditures. Total appropriations in all budgeted funds for FY total $31,226,222, an increase of $2,864,986 over the adopted FY The proposed budget will meet the citizens needs for the coming year. The table below reflects revenues and expenditures for each budgeted fund and the estimated contribution to fund balance at year-end for FY Budgeted Fund Revenues Expenditures Balance General Fund* $15,152,068 $15,152,068 $0 Water/Wastewater Enterprise Fund* $9,302,500 $8,838,538 $463,962 Debt Service $2,784,214 $2,743,998 $40,216 Type B Economic Development Sales Tax Fund* $1,735,498 $1,734,251 $1,247 Drainage Enterprise Fund $331,500 $170,984 $160,516 Restricted Use Fund* $1,353,100 $884,796 $468,304 Venue Sales Tax* $1,785,198 $1,701,587 $83,611 Totals $32,444,078 $31,226,222 $1,217,856 *Includes a drawdown of fund balance in the FY Proposed Budget. ATTACHMENTS Ordinance No RECOMMENDED ACTION Motion to approve second and final reading of Ordinance No adopting the FY budget ending September 30, Page 2 of 3

45 ORDINANCE NO AN ORDINANCE ADOPTING A FUND LEVEL BUDGET FOR THE ENSUING FISCAL YEAR BEGINNING OCTOBER 1, 2018, AND ENDING SEPTEMBER 30, 2019, IN ACCORDANCE WITH THE CHARTER OF THE CITY OF PORTLAND, APPROPRIATING THE VARIOUS AMOUNTS THEREOF, AND REPEALING ALL ORDINANCES OR PARTS OF ORDINANCES IN CONFLICT THEREWITH; PROVIDING FOR PUBLIC HEARINGS; PROVIDING FOR PUBLICATION OF THIS ORDINANCE AND FOR AN EFFECTIVE DATE WHEREAS, the City Manager of the City of Portland has submitted to the City Council a proposed budget of the revenues of said City and the expenditures/expenses of conducting the affairs thereof and providing a complete financial plan for and which said proposed budget has been compiled from detailed information obtained from several departments, divisions, and offices of the City; and, WHEREAS, the City Council has received said City Manager's proposed budget, a copy of which proposed budget and all supporting schedules have been filed with the City Secretary of the City of Portland; and, WHEREAS, the City Council has held public hearings, workshops and meetings to discuss the elements included in the budget and receive comments from citizens and other interested parties. NOW THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PORTLAND, TEXAS: SECTION 1: The fund Level Budget (revenues and expenditures) of the City of Portland for the fiscal year is hereby adopted. SECTION 2: That the sum of $15,152,068 is hereby appropriated out of the General Fund for the general government/public safety expenditures (capital items included) authorized in the budget document. SECTION 3: That the sum of $2,743,998 is hereby appropriated out of the General Obligation Debt Service Fund for the purpose of paying the principal and interest due on general obligation bonds, certificates of obligation and tax notes. SECTION 4: That the sum of $8,838,538 is hereby appropriated out of the Water/Wastewater Enterprise Fund for water and sanitary sewer system expenses (capital items included) authorized in the budget document including the sum of $1,372,618 out of the Water/Wastewater Enterprise Fund revenues for the purpose of paying interest and principal due on revenue bonds.

46 SECTION 5: That the sum of $1,734,251 is hereby appropriated out of the Type B Economic Development Tax Fund, for the Community Center operating expenditures (capital items included) authorized in the budget document including the sum of $270,263 out of the Type B Economic Development Tax Fund revenues for the purpose of paying interest and principal due on public improvement bonds (Community Center) and certificates of obligation (Library Expansion). SECTION 6: That the sum of $1,701,587 is hereby appropriated out of the Venue Sales Tax Fund for expenditures related to the operations of the aquatic center and sports complexes (capital items included) authorized in the budget document including the sum of $479,162 out of the Venue Sales Tax Fund revenues for the purpose of paying interest and principal due on sales tax revenue bonds and on certificates of obligation. SECTION 7: That the sum of $884,796 is hereby appropriated out of the Restricted Use Fund for expenditures (capital items included) related to the special activities authorized by the enabling legislation for each special revenue type. SECTION 8: That the sum of $170,984 is hereby appropriated out of the Drainage Enterprise Fund for drainage improvement expenses (capital items included) authorized in the budget document including the sum of $108,625 out of the Drainage Enterprise Fund revenues for the purpose of paying interest and principal due on certificates of obligation. SECTION 9: That ordinances or parts of ordinances in conflict herewith are hereby repealed. SECTION 10: That this ordinance shall be and remain in full effect upon its final passage and publication as provided herein. PASSED and APPROVED this 4 th day of September, City of Portland, Texas Cathy Skurow Mayor ATTEST: Annette Hall City Secretary

47 08/24/2018 ORDINANCE NO. ORIGINAL BUDGET YTD AMENDED BUDGET PROPOSED BUDGET GENERAL FUND REVENUE 13,968,585 10,042,891 12,849,798 15,152,068 Administration 2,695,371 1,594,171 1,694,717 3,174,298 Finance 444, , , ,361 IT 395, , , ,802 Police 4,516,414 3,580,074 4,371,588 4,588,117 Fire 1,747,270 1,479,360 1,758,813 2,007,823 Animal Control 176, , , ,652 Municipal Court 247, , , ,811 General Services 119,446 96, , ,668 Streets 777, , , ,741 Vehicle Maintenance 99,402 68,866 91,955 95,407 Building Services 455, , , ,825 Parks 663, , , ,914 Community Center 642, , , ,873 Kidz Klub 307, , , ,775 Senior Center 130,429 93, , ,007 Skate Park ,546 60,300 Library 548, , , ,694 TOTAL GENERAL FUND EXPENSE 13,967,791 10,296,049 12,563,111 15,152,068 DIFFERENCE 794 (253,158) 286,687 (0) Effective Tax Rate cents Proposed Tax Rate cents Ad Valorem Tax Increase Required 4.36 cents Rollback Rate cents Fund 2 UTILITY FUND REVENUE 8,200,196 6,712,132 8,279,882 9,302,500 Utility Administration 3,612, ,779 2,835,216 3,899,464 Utility Billing 249, , , ,090 Water Distribution 2,942,142 2,431,080 3,101,327 3,250,130 Collection 559, , , ,451 WW Treatment Plant 837, , , ,403 TOTAL UTILITY FUND EXPENSE 8,200,196 4,415,745 7,986,996 8,838,538 DIFFERENCE (0) 2,296, , ,962 Fund 11 Revenues - Debt Service 2,359,803 2,495,107 2,561,455 2,784,214 Expenditures 2,359,803 2,408,420 2,297,302 2,743,998 DIFFERENCE 0 86, ,153 40,216 Fund 12 Revenues - Type B 1,496, ,898 1,277,000 1,735,498 Expenditures 1,496, , ,077 1,734,251 DIFFERENCE 0 543, ,923 1,247 Fund 18 Revenues - Drainage 289, , , ,500 Expenditures 181,179 3, , ,984 DIFFERENCE 108, , , ,516 Fund 20 Revenues - Restricted Use 799, , ,000 1,353,100 Expenditures 799, , , ,796 DIFFERENCE 0 385, , ,304 Fund 21 Venue Fund Revenues 1,446,198 1,096,175 1,545,198 1,785,198 Admin Expenditures 667, , , ,854 Aquatics Expenditures 507, , , ,336 Sports Complexes Expenditures 182, , , ,397 TOTAL VENUE FUND EXPENSE 1,357,567 1,171,161 1,524,323 1,701,587 DIFFERENCE 88,631 (74,986) 20,875 83,611 TOTAL REVENUE ALL FUNDS 28,559,982 22,287,867 27,781,133 32,444,078 TOTAL EXPENDITURES ALL FUNDS 28,362,236 19,034,310 26,074,986 31,226,221 DIFFERENCE SURPLUS/(DEFICIT) 197,746 3,253,557 1,706,148 1,217,856

48 port

49 CITY COUNCIL ACTION ITEM AGENDA TITLE MEETING DATE DEPARTMENT SUBMITTED BY ORDINANCE NO ADOPTING 2018 AD VALOREM TAX RATE THE CITY COUNCIL WILL CONSIDER THE SECOND AND FINAL READING OF ORDINANCE NO THAT ADOPTS THE 2018 AD VALOREM TAX RATE AND ESTABLISHING A TAX LEVY FOR THE YEAR /4/2018 Finance Lorenzo Lara, Controller EXECUTIVE SUMMARY Ordinance No remains unchanged since the first reading on August 28, The City s FY Proposed Budget is predicated on an ad valorem tax rate of $ per $100 valuation. This is an increase of $ per $100 valuation over the ad valorem tax rate of FY This will be the first reading of Ordinance No adopting the effective ad valorem tax rate. The second (final) reading will be held on September 4, The proposed ad valorem tax rate of $ applied to the 2018 Certified Appraisal Roll provides an estimated tax levy amount of $8,151,879. PRIOR ACTIONS OR REVIEWS Two public hearings were conducted on the proposed ad valorem tax rate. Those hearings were held August 21, 2018 and August 28, DETAILS / STAFF ANALYSIS The FY Budget will increase the ad valorem tax rate. The budget presented is a balanced budget, revenues are minimized and cost estimates are conservative to ensure budget integrity. This increase in ad valorem tax revenue will support an increase in public safety and continued infrastructure enhancements. The table below shows the structure of the 2018 Tax Rate: Tax Rate 2018 Maintenance & Operations Component (General Fund) $ per $100 Interest & Sinking Component (Debt Service Fund) $ per $100 Total Tax Rate $ per $100 Per Truth-in-Taxation laws, a taxing unit authorized to pay both Maintenance & Operations Page 1 of 2

50 (M&O) and Debt Service (I&S) with property taxes must adopt its rate as two separate components. The vote must be worded clearly to identify the two elements of the tax rate. ALTERNATIVES CONSIDERED No alternatives are recommended. Pursuant to Truth In Taxation laws, adoption of the tax rate must be a separate item on the agenda for the meeting. A taxing unit's governing body must adopt a tax rate by official action and set it out in a written resolution, ordinance or order using specific wording set out in the Tax Code. FINANCIAL IMPACT The 2018 Tax Rate will support the FY Budget with an additional $756,303 in ad valorem tax revenue, of which $178,483 is due to new property on the certified tax roll. This increase in ad valorem tax revenue will support an increase in public safety, maintenance, and needed infrastructure. The City s boundaries continue to grow with new industries, retail and home construction. This continued growth necessitates an increase in public safety personnel and continued emphasis on infrastructure. The FY Budget and corresponding 2018 Tax Rate are designed to adapt to and benefit from the surrounding development. ATTACHMENTS Ordinance No RECOMMENDED ACTION Motion to approve the second and final reading of Ordinance No that sets the maintenance and operation portion of the tax rate at $ and the debt service rate at $ for a total ad valorem tax rate of $ per $100 valuation for FY with an estimated 2018 tax levy amount of $8,151,879. Page 2 of 2

51 ORDINANCE NO AN ORDINANCE LEVYING TAXES FOR THE CITY OF PORTLAND, TEXAS FOR THE TAX YEAR 2018, PROVIDING FOR A DATE OF WHICH SUCH TAXES BECOME DELINQUENT; PROVIDING FOR A LIEN ON ALL REAL AND PERSONAL PROPERTY TO SECURE THE PAYMENT OF TAXES DUE THEREON; PROVIDING FOR PENALTY AND INTEREST TO AND EFFECTIVE DATE THEREOF; PROVIDING FOR A 20% COLLECTION FEE; PROVIDING FOR PUBLICATION OF THE CAPTION OF THIS ORDINANCE; AND PROVIDING FOR AN EFFECTIVE DATE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PORTLAND, TEXAS: SECTION 1: There should be and is hereby levied and ordered to be assessed and collected for the following rate of taxes for the City of Portland, Texas, for the year 2018 to provide for the expenditures of said City for the fiscal year ending September 30, 2019, and to provide for the payments of indebtedness, interest and sinking funds for the City of Portland, to-wit: (a) For the general revenue of the General Fund, $ dollars ( cents) on each $ valuation of all taxable property within said City. (b) For the revenue to pay General Obligation indebtedness and related fees, $ dollars ( cents) on each $ valuation of all taxable property within said City. SECTION 2: The taxes assessed and levied hereby are due and payable on October 1, 2018, and shall be payable not later than January 31, The penalties and interest provided for herein shall accrue after January 31, 2019 on all taxes remaining unpaid after that date. No penalty or interest shall be due on taxes paid prior to that date. SECTION 3: In addition to the taxes assessed and levied herein, there is also assessed and levied for the failure to pay taxes due as herein specified, a penalty in the amount of 6% for the first month, plus 1% for each additional month of delinquency. The penalty shall be 12% on all taxes remaining unpaid on July 1, And, in addition thereto, there is hereby levied and assessed interest at the rate of 1% per month, or any part thereof, of all taxes which become delinquent by the failure or refusal to pay the taxes as herein specified. SECTION 4: In addition to the taxes and penalty and interest assessed and levied herein, there is also assessed and levied a 20% collection fee on all taxes and penalty and interest that become delinquent and remain unpaid. For all tangible personal property accounts, the effective date for the 20% collection fee will be 60 days following the delinquency date of February 1, The effective date of the collection fee for all delinquent real property accounts will be July 1, 2019.

52 SECTION 5: The City of Portland shall have a lien on all taxable property located in the City of Portland, Texas to secure the payment of taxes, penalty, interest, and all costs of collection, assessed and levied hereby. SECTION 6: Taxes are payable at the San Patricio County Tax-Assessor Collector s offices located in Sinton, Texas or Portland, Texas. The San Patricio County Tax Assessor collector, who serves as the tax collector of the City of Portland, may, at her discretion, provide other means for payment such as mail, telephone or internet service. The City of Portland shall have available all rights and remedies provided by law for the enforcement of the collection of taxes levied under this ordinance. SECTION 7: That the 2018 Certified Appraisal Roll with an estimated tax levy amount of $8,151,879 as presented to the City Council by the San Patricio County Central Appraisal District, together with any supplements thereto is hereby accepted. SECTION 8: That the City Council hereby authorizes the City Tax Collector to accept a tender of payment of all the taxes, penalty, and interest due for a tax year's assessment when more than one tax year's assessment is due and owing on property; but such authorization shall not permit the acceptance of a partial payment of the total sum to tax, penalty, and interest due for a year's tax assessment. SECTION 9: This Ordinance shall be in full effect upon its adoption, approval, and the required publication of its caption in a newspaper having general circulation in the City of Portland. PASSED and APPROVED this 4 th day of September, City of Portland, Texas Cathy Skurow Mayor ATTEST: Annette Hall City Secretary

53 port

54 CITY COUNCIL ACTION ITEM AGENDA TITLE RATIFICATION OF THE ADOPTION OF THE FISCAL YEAR BUDGET AND 2018 AD VALOREM TAX RATE: THE CITY COUNCIL WILL CONSIDER RATIFYING THE FISCAL YEAR BUDGET PREVIOUSLY ADOPTED BY ORDINANCE NO AND THE $ AD VALOREM TAX RATE FOR 2018 PREVIOUSLY ADOPTED BY ORDINANCE NO MEETING DATE 9/4/2018 DEPARTMENT SUBMITTED BY Finance Lorenzo Lara, Controller EXECUTIVE SUMMARY The City of Portland adopted the Fiscal Year Budget through Ordinance No The budget is predicated on the ad valorem tax rate of $ , adopted through Ordinance No Both ordinances were adopted on September 4, PRIOR ACTIONS OR REVIEWS The second reading of both Ordinance No. 2177, adopting the Fiscal Year Budget and Ordinance No adopting the ad valorem tax rate for 2018, precede the ratification of the ad valorem tax rate and budget adoption. Per Local Government Code (c), the City is required to take a separate vote to ratify the adoption of the tax rate if the adopted budget will require an increase in tax revenue. DETAILS / STAFF ANALYSIS The Budget will increase the ad valorem tax rate over the effective tax rate. Adopting the ad valorem tax rate will increase revenues by $756,303 and of that amount $178,483 is tax revenue to be raised from new property added to the tax roll. This increase in ad valorem tax revenue will support an increase in public safety, maintenance and continued infrastructure enhancements. The table below shows the structure of the 2018 Tax Rate: Tax Rate 2018 Maintenance & Operations Component (General Fund) per $100 Interest & Sinking Component (Debt Service Fund) per $100 Total Tax Rate per $100 Page 1 of 2

55 Per Truth-in-Taxation laws, a taxing unit authorized to pay both Maintenance & Operations (M&O) and Debt Service (I&S) with property taxes must adopt its rate as two separate components. The vote must be worded clearly to identify the two components of the tax rate. ALTERNATIVES CONSIDERED If the 2018 ad valorem tax rate is not adopted the City must ratify the lower of last year s effective tax rate or the rate adopted by the City in the prior year. FINANCIAL IMPACT The 2018 Ad Valorem Tax Rate will support the Budget by generating an estimated tax levy of $8,151,879. This increase in ad valorem tax revenue will support an increase in public safety, maintenance and operations, and needed infrastructure. ATTACHMENTS None RECOMMENDED ACTION Move to ratify the Fiscal Year Budget and the $ per $100 Ad Valorem Tax Rate for 2018 as previously adopted with Ordinance No and Ordinance No as a recorded vote. Page 2 of 2

56 port

57 CITY COUNCIL ACTION ITEM AGENDA TITLE REGIONAL WASTEWATER TREATMENT FACILITY FEASIBILITY STUDY THE CITY COUNCIL WILL CONSIDER AUTHORIZATION OF A FEASIBILITY STUDY FOR THE PROPOSED SAN PATRICIO MUNICIPAL WATER DISTRICT S REGIONAL WASTEWATER TREATMENT FACILITY MEETING DATE 9/4/2018 DEPARTMENT SUBMITTED BY Administration Brian DeLatte, Assistant City Manager EXECUTIVE SUMMARY The Texas Commission on Environmental Quality requires that cities begin planning for expanded wastewater treatment plants when usage reaches 75% of capacity and begin construction of new facilities at 90% capacity. Portland, Aransas Pass, Ingleside, and Gregory are all nearing or at this threshold. The construction of a regional wastewater facility to treat some or all of the cities wastewater at a single location may provide economies of scale that ultimately reduces the burden on ratepayers. The San Patricio Municipal Water District recently performed a preliminary study to determine the efficacy of regionalization and is recommending the four cities participate in a more detailed study that analyzes the costs and funding alternatives. Portland s share of the study will not exceed $16,450. PRIOR ACTIONS OR REVIEWS None. DETAILS / STAFF ANALYSIS Alan Plummer and Associates, SPMWD s consultant, will analyze the costs involved in (1) reconstructing the City s wastewater treatment plant into an equalization basin and lift station; (2) constructing and repurposing pipelines for the transmission of the wastewater to SPMWD facilities; and (3) the construction of a new regional wastewater treatment plant. This project assumes that the City would no longer operate treatment facilities and that the SPMWD would build, maintain, and operate a lift station at the wastewater treatment plant or other appropriate location in the City. ALTERNATIVES CONSIDERED N/A. FINANCIAL IMPACT Page 1 of 2

58 Funds are available in the Utility Fund. ATTACHMENTS Regional Wastewater Treatment Plant Draft Conceptual Report San Patricio Municipal Water District Letter of Agreement Preliminary Wastewater Regionalization Evaluation Phase II Scope of Services RECOMMENDED ACTION Motion to authorize the City Manager to execute a Letter of Agreement with the San Patricio Municipal Water District for a regional wastewater treatment facility feasibility study in the notto-exceed amount of $16,450. Page 2 of 2

59

60

61

62

63

64

65

66

67

68

69

70

71

72

73

74

75 port