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2017_09.18_CC_MinutesKENNEDALE You're Here, Your Home www.cityofkennedale.com KENNEDALE CITY COUNCIL MINUTES REGULAR MEETING 1 September 18, 2017 CITY HALL COUNCIL CHAMBERS, 405 MUNICIPAL DRIVE WORK SESSION - 5:30 PM 1 REGULAR SESSION - 7:00 PM I. CALL TO ORDER Mayor Brian Johnson called the meeting to order at 5:21 p.m. II. WORK SESSION A. Discussion of Proposed FY2017 -18 Budget Director of Finance Brady Olsen stated that Council had been provided today with a copy of a staff report, dated August 13 (including alternatives (Scenarios A, B, C, and D) to the Proposed Budget, based on Council direction) and a newly drafted memo with an additional consideration (Scenario E) that is based on Scenario A but does not delay the ambulance purchase. Olsen noted that each cent of the property tax rate translated to roughly $65,000 in revenue. In response to Mayor Pro Tem Jan Joplin's question, Campbell responded that the budget could, indeed, be amended by Council throughout the year, but the tax rate could not. In response to Mayor Johnson's question about how staff arrived at the cuts proposed in the scenarios, Campbell stated that staff identified items that were neither legally nor contractually obligated and, to the extent possible, avoided departments Council stated should not be cut. Councilmember Sandra Lee stated that she supported the 2% pay adjustment and wanted to avoid any cuts to the Library. In response to Mayor Pro Tem Joplin's question about how many years the city had operated at a deficit, Olsen stated that FY16 -17 was the first since 2012. Olsen stated that under Scenario E, the erosion of the fund balance would be less than the originally proposed budget, but that it would still drop below the target of 18 to 20% of annual expenditures. Campbell added that this was the reasoning behind the proposed two -cent tax rate increase. In response to Mayor Johnson's question about the health of other fund balances, Olsen stated that the Water Fund is expected to be balanced in roughly three years. Mayor Johnson noted, however, that this fund's increasing balance was to the detriment of the Street Fund. At the Mayor's request, Community Development Director Rachel Roberts discussed the City's implementation of form -based zoning to encourage commercial development. She noted that some existing businesses were granted variances, but that the goal was to bring all structures into compliance with the adopted zoning. In response to Councilmember Gilley's question about the process of amending the budget, Olsen replied that it was typically done in blocks, rather than item -by -item, and noted that staff would prefer to minimize amendments, as they make planning difficult. 405 Municipal Drive, Kennedale, TX 76060 1 Telephone: 817 -985 -2100 1 Fax: 817- 478 -7169 B. Discussion of items on regular agenda Mayor Johnson requested a discussion of the proposed rate increase for trash and recycling. Councilmember Gilley and Mayor Pro Tem Joplin stated their support of the rate adjustment. Council recessed to Executive Session (see item XIII) at 6:20 p.m. III. REGULAR SESSION Mayor Johnson opened the Regular Session at 7:03 p.m. IV. ROLL CALL Present: Mayor Brian Johnson; Mayor Pro Tem Jan Joplin, Place 5; Rockie Gilley, Place 1; Sandra Lee, Place 3; and Kelly Turner, Place 4 (Turner arrived after Work Session); Absent: Liz Carrington, Place 2 Staff:: City Manager George Campbell, City Secretary and Communications Coordinator Leslie Galloway, Director of Finance Brady Olsen, HR Director Kelly Cooper, Community Development Director Rachel Roberts, Police Chief Tommy Williams, Fire Chief Mike McMurray, Public Works Director Larry Ledbetter, Public Works Superintendent Larry Hoover, Library Director Amanda King, EDC Director Jack Thompson, Police Captain Darrel Hull, City Attorney Wayne Olson, and Deputy Court Administrator and Juvenile Case Manager Melinda Davis V. INVOCATION Pastor Greg Adams of Covenant Life Baptist Church provided the invocation. VI. UNITED STATES PLEDGE AND TEXAS PLEDGE VII. VISITOR /CITIZENS FORUM ■ Eric Elam, 349 Kennedale Sublett Road, stated that he was concerned about the City wasting water and would like to see an effort made to have non - functional streetlights addressed. He concluded by asking Council to consider the attendance of their members. • Vinita Thomas, 412 W 3rd Street, stated that she would like to see the drainage and flooding in her neighborhood addressed. ■ Ronnie Nowell, 317 Bowles Court, stated that, for years, he has negotiated real estate sales and purchases for the City, including 209 S New Hope Road, and wanted to assure Council and residents that former City Manager Bob Hart did not profit from that transaction. VIII. REPORTS /ANNOUNCEMENTS A. Updates from the City Council Mayor Pro Tem Joplin stated that she attended the 9/11 Memorial Ride arrival in TownCenter. B. Updates from the Mayor Chapter Regent Lorna Rankin of Daughters of the American Revolution (Quanah Parker Chapter) was present to accept the proclamation in recognition of Constitution Week. Mayor Johnson stated that he grilled burgers for the concession stand at the recent KHS home games, volunteered at KKB's Bring It! Event, and attended the Park Board's Concert in the Park. He and City Manager George Campbell also attended the SETTP meeting, which included an update on transportation spending in this area. C. Updates from the City Manager There were no updates from the City Manager at this time. Page 2 of 5 IX. MONITORING INFORMATION A. Monthly Financials — August 2017 There was no discussion at this time. X. INCIDENTAL ITEMS XI. REQUIRED APPROVAL ITEMS (CONSENT) A. Consider approval of minutes from August 11, 2017 special meeting B. Consider approval of minutes from August 17, 2017 special meeting C. Consider approval of minutes from August 21, 2017 regular meeting D. Consider approval of minutes from August 28, 2017 special meeting E. Consider approval of contract award to Duro -Last Roofing Inc. for the Flat Roof Replacement Purchase Order 906, and authorize the City Manager to sign the agreement F. Consider authorizing the City Manager to enter into an Agreement for Wastewater Service Between the City of Fort Worth, Texas, and the City of Kennedale, Texas (Postponed on August 21, 2017) City Manager Campbell asked that Council postpone item F, pending further information. Motion To postpone item F (Agreement for Fort Worth Wastewater Service) Action Postpone, Moved By Sandra Lee, Seconded By Rockie Gilley. Motion passed Unanimously Motion To approve all required approval items on consent agenda, except item F, which will be postponed to the September 16, 2017 meeting. Action Approve, Moved By Sandra Lee, Seconded By Mayor Pro Tem Jan Joplin. Motion passed Unanimously XII. DECISION ITEMS A. Discuss and consider Ordinance 635 of the City of Kennedale, Texas, adopting the Budget for the Fiscal Year beginning October 1, 2017, and ending September 30, 2018; amending Budget figures for the prior Fiscal Year beginning October 1, 2016, and ending September 30, 2017; appropriating resources for each department, project, operation, activity, purchase, account, and other expenditures; providing for emergency expenditures and expenditures as allowed by applicable State Law; providing for the filing and posting of the Budget as required by State Law; providing a severability clause; and providing an Effective Date This item was taken out of order; XII. E (Waste Connections rate adjustment) was the first item discussed. Director of Finance Brady Olsen stated that the City Manager's Proposed FY17 -18 Budget includes a two -cent property tax increase, reduction of the base charge for 1" water meters, debt service for issuance of a $4 million C.O. Bond, and a $0.50 increase to the Stormwater Drainage Fee (which will appear on the October 16 agenda). Olsen also noted that there were two amendments to the FY16 -17 Budget included in Ordinance 635. Page 3 of 5 City Manager George Campbell recommended that Council consider adopting one of the budget scenarios discussed during the Work Session. Motion To approve the City Manager's FY17 -18 Proposed Budget (Scenario A) as reflected in the August 13, 2017 Informal Staff Report to Council. Action Approve, Moved By Kelly Turner, Seconded By Rockie Gilley. Councilmember Gilley stated that he believes that some of the increased costs are justified, specifically the 2% salary adjustment and covering rising healthcare costs, but stated that he did not want to increase the property tax rate by a full two cents. He went on to suggest adopting Scenario A and a tax rate near $0.77, but identifying enough cuts to reserve the fund balance. Mayor Johnson stated that there is a motion on the floor and calls for a vote. Motion passed 3 -2, with Gilley and Turner voting in favor, Lee and Joplin voting against, and Mayor Brian Johnson breaking the tie by voting in favor. B. Discuss and consider ratification of property tax increase reflected in FY2017 -2018 Adopted Budget Motion To ratify the property tax increase reflected in the Adopted FY17 -18 Budget. Action Ratify, Moved By Joplin, Seconded By Turner. Motion passes unanimously. C. Discuss and consider approval of Ordinance 636, fixing and levying municipal Ad Valorem Taxes for the City of Kennedale, Texas, for the Fiscal Year beginning October 1, 2017, and ending September 30, 2018; directing the assessment and collection thereof; providing a severability clause; and providing an effective date Motion To approve an ad valorem (property tax) rate of $0.7775. Action Approve, Moved By Gilley, Seconded By Turner. Motion passed 3 -2, with Gilley and Turner voting in favor, Lee and Joplin voting against, and Mayor Brian Johnson breaking the tie by voting in favor. D. Consider adoption of Ordinance 637, revising the rates for water service and sanitary sewer service Motion To approve Ordinance 637, revising the rates for water service and sanitary sewer service. Action Approve, Moved By Joplin, Seconded By Lee. Motion passes unanimously. E. Discuss and consider approval of an amendment to the current contract with Waste Connections, regarding the proposed 2017 rate adjustment for residential and commercial solid waste collection, transport, disposal, and recycling services; and authorize the City Manager to sign the agreement (Postponed on May 15, 2017; June 19, 2017) This item was taken out of order; moved before XII.A. Norm Bulaich, of Waste Connections, stated that he was asking Council to approve a rate increase of $0.33 per home. Motion To approve the amendment to the contract with Waste Connections and authorize the City Manager to sign the agreement. Action Approve, Moved By Turner, Seconded By Gilley. Motion passes unanimously. Page 4 of 5 F. CASE # PZ 17 -08 to hold a public hearing and consider a recommendation concerning approval of Ordinance 625 to incorporate the Parks Master Plan into the comprehensive land use plan. 1. Staff presentation Community Development Director Rachel Roberts stated that staff and P &Z recommended this action so, going forward, that the Parks Plan will be evaluated on a five -year schedule as well. 2. Public hearing No one requested to speak at the Public Hearing. 3. Staff response and summary There was no additional discussion. 4. Action by the City Council Motion To approve. Action Approve, Moved By Kelly Turner, No Second. Motion dies. Motion To postpone. Action Postpone, Moved By Rockie Gilley, Seconded By Sandra Lee. Motion passed 3 -1, with Turner dissenting. XIII. EXECUTIVE SESSION This item was taken out of order; Council recessed to Executive Session following the Work Session. A. The City Council may meet in closed session at any time during the work session or the regular session, pursuant to Section 551.071 of the Texas Government Code for consultation with the City Attorney pertaining to any matter in which the duty of the City Attorney under the Texas Disciplinary Rules of Professional Conduct may conflict with the Open Meetings Act, including discussion on any item posted on the agenda and legal issues regarding litigation, settlement offers, and /or claims regarding the following matters: • Altom claim regarding drainage easement at 1033 and 1041 Estates Drive B. The City Council will meet in closed session pursuant to Section 551.072 of the Texas Government Code to deliberate the purchase, exchange, lease, or value of real property for the following: • New Hope Road Bridge Project XIV. RECONVENE INTO OPEN SESSION, AND TAKE ACTION NECESSARY PURSUANT TO EXECUTIVE SESSION, IF NEEDED XV. ADJOURNMENT Motion To adjourn. Action Adjourn, Moved By Sandra Lee, Seconded By Jan Joplin. Motion passed Unanimously. The meeting was adjourned at 8:02 p.m. APPROVED: BRI N JOHNSON, MA •R ® KEN1/4® ® o, o 'i' ' 0, • • ........<\ �O P e :` °� .� ATTEST: LESLIE GALLOWAY, CITY SECRETARY Page 5 of 5