2021_06.15 Minutes_CC_Regular)c
KENNEDALE
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w ,dtyofkennedalexorn KENNEDALE CITY COUNCIL MINUTES
REGULAR MEETING � JUNE 15, 2021 AT 5:30 PM
CITY HALL COUNCIL CHAMBERS 1 405 MUNICIPAL DRIVE, KENNEDALE, TX 76060
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I. CALL TO ORDER
Mayor Brian Johnson called the meeting to order at 5:32 p.m. and the Council then moved to
tem IV.D.1. (Police Department Swearing -In). Following this item, there was a brief discussion
regarding minute taking during Executive Session before the Council recessed to Executive from
5:38 p.m. to 7:30 p.m.
11. WORK SESSION
A. WORK SESSION REPORTS
1. Presentation regarding capital projects and the capital programming schedule
The Council did not hear this item.
2. Presentation by Andrew Friedman of SAMCO Capital Markets, the City's financial
advisor, regarding current outstanding debt and the potential issuance of Certificates of
Obligation (CO) in the amount of approximately $6 million
The Council did not hear this item.
B. REQUESTS FOR CLARIFICATION OF ITEMS LISTED ON THE AGENDA
III. EXECUTIVE SESSION
A. PURSUANT TO §551.071 —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 of any item posted
on the agenda, legal issues regarding the Open Meetings Act, and the following:
1. City of Kennedale v. James Coyel
2. Kennedale Town Center agreements and assessments
3. 800 W Kennedale Parkway
4. Settlement agreement regarding 731 E Kennedale Parkway, 733 E Kennedale
Parkway, and 804 Mansfield Cardinal Road
5. Discussion of rules of procedure related to matters considered in executive session of
City Council and other Boards and Commissions
405 Municipal Drive, Kennedale, TX 70000 � Telephone: 817-985-2100 � Fax: 817-478-71G9
B. PURSUANT TO §551.072 — Deliberation regarding the purchase, exchange, lease, or
value of real property:
1. 5412 Kennedale Street
2. Sale of 13-acre EDC-owned property on Linda Road, known as Lot1A2, Block 1 of the
Harris Corporation Addition
3. 1170 E Kennedale Parkway
C. PURSUANT TO §551.074 — Deliberate the appointment, employment, evaluation,
reassignment, duties, discipline or dismissal of a public officer or employee: or to hear a
complaint or charge against an officer or employee; and the following:
1. City Manager's Performance Evaluation
V. REGULAR SESSION
Following Executive Session, Mayor Johnson called the Regular Session to order at 7:35 p.m.,
announcing that the Council would be holding a special meeting on Tuesday, June 22, at 7:00
p.m. The Work Session items were not discussed during this meeting. City Manager George
Campbell did not return to the dais following Executive Session.
A. ROLL CALL
Present: Mayor Brian Johnson (left the meeting at 7:42 p.m. and returned at 9:49 p.m.);
Jan Joplin, Place 1; Gary Mitchell, Place 2; Julie Jacobson, Place 3; Linda Rhodes, Place
4; James Connor, Place 5; Absent: NONE; Staff: City Manager George Campbell (left the meeting
at 7:30 p.m.), City Attorney Drew Larkin, City Secretary and Communications Coordinator Leslie E.
Galloway, Acting Police Chief Darnell Hull, Director of Finance and Information Technology Lakeita
Sutton, Fire Chief James Brown, Director of Human Resources and Administrative Services Danielle
Clarke, Public Works Director Larry Hoover, Administrative Assistant Rosie Ericson, Planner Grant Fore
B. INVOCATION AND PLEDGES OF ALLEGIANCE TO THE U.S. AND TEXAS FLAGS
Councilmember Mitchell offered the invocation. Following the Invocation and Pledges, the
Council moved to item IV.F. 1. (Appointment of the Mayor Pro Tem).
C. VISITOR AND CITIZEN FORUM
There were no requests to speak at this time. Mayor Pro Tern Rhodes announced that all
forms received were related to IV.F.5. and asked if there were any requesting to speak.
Hearing none, the Council moved to Item IV.D.2.
D. REPORTS AND ANNOUNCEMENTS
1. Police Department Swearing -In Ceremony and Recognition of Corporal Burns'
promotion
THIS ITEM WAS TAKEN OUT OF ORDER. IT WAS CONSIDERED IMMEDIATELY FOLLOWING THE CALL
TO ORDER, BUT BEFORE THE COUNCIL RECESSED TO EXECUTIVE (CLOSED) SESSION.
Acting Police Chief Darrell Hull and Mayor Brian Johnson swore in Officers Quincy Millikin
and Tany Valentin,
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CITY COUNCIL MINUTES I JUNE 15, 2021 AT 5:30 PM
2I Updates from the City Council
• Jan Joplin, Place 1, thanked the audience for their patience, announced that there
was a management change, and was hoping for cooperation with new directives;
that she attended a KISD meeting regarding changes resulting from new
developments and suggested that this presentation be made to Council as well;
requested update on Sublett Road and the 820/287 interchange; and reminded all to
be safe on July 4th and to remember that no fireworks are allowed in Kennedale.
• Gary Mitchell, Place 2, thanked everyone for attending meetings and voicing their
opinions; and hoped that there would be some good resolution tonight.
• Julie Jacobson, Place 3, thanked the audience for attending and representing their
city and their neighborhoods.
• James Connor, Place 5, thanked the audience for their votes and belief in him;
stated that he hoped to do great things and see positive change in Kennedale; and
noted that voices were being heard.
• Mayor Pro Tern Linda Rhodes, Place 4, had no announcements at this time.
3. Updates from the Mayor
Mayor Johnson was not present at this time.
4. Updates from the City Manager
City Manager George Campbell was not present at this time.
5. Financial Reports for the City and the EDC
Finance Director Lakeita Sutton stated that there were no highlights, but that she was
available to answer any questions and offered a brief explanation of what each page of
the reports showed. There was some discussion of general fund revenues including
property tax receipts, EDC income from rental payments, and EDC land proceeds.
E. CONSENT AGENDA
Motion Approve. Action Approve removal of items 2, 4, and 5 from the Consent Agenda,
Moved By Joplin, Seconded By Mayor Pro Tern Rhodes. Motion passed unanimously.
Motion Approve. Action Approve Consent Agenda items 1 and 3, Moved By Mitchell,
Seconded By Joplin. Motion passed unanimously.
1. Approval of the minutes from the May 12, 2021 special meeting
2. Approval of the minutes from the May 18, 2021 regular meeting
Councilmember Joplin requested that the City Secretary add to the May 18 minutes, under
Work Session Item 2 (regarding the $6m bond issuance), that she had requested a delay of
that item; and that when City Manager George Campbell stated that the Council requested
that staff move forward with the issuance, that she stated "not the current council'.
Motion Approve. Action Approve the minutes from the May 18, 2021 regular meeting with
amendments as stated by Councilmember Joplin, Moved By Joplin, Seconded By
Jacobson. Motion passed unanimously.
3. Approval of a one-year contract extension with BKD, LLP for the purpose of performing
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an annual audit for the City and the EDC
4. Authorize the City Manager to negotiate, finalize and execute a lease agreement with
Etron, Inc. for the lease of 201 W Kennedale Parkway, Building 1 in TownCenter
Councilmember Joplin stated that this was presented to the EDC Board and was now being
considered by the Council. Councilmember Jacobson stated that she had some concerns
about the contract. Current TownCenter building owner Craig Hughes, of Hughes
Commercial Real Estate, was available to answer questions. There was some discussion
regarding rent rates, unclear contract language, need to fill vacancies within TownCenter,
process of contract development and approval by the EDC board, terms of the base rent
plus triple net lease, sales tax revenues, foot traffic, and costs of renovations.
Motion Approve. Action Approve authorizing the City Manager to negotiate, finalize and
execute a lease agreement with Etron, Inc. for the lease of 201 W Kennedale Parkway,
Building 1 in TownCenter, Moved By Mitchell, Seconded By Jacobson. Motion passed
with a vote of 44, with Jacobson voting against approval.
5. Authorize the City Manager to prepare bidding documents and publish notice for the
sale of 5412 Kennedale Street
Motion Postpone. Action Postpone authorizing the City Manager to prepare bidding
documents and publish notice for the sale of 5412 Kennedale Street, Moved By Joplin,
Seconded By Connor. Motion to postpone passed unanimously.
F. ITEMS FOR INDIVIDUAL CONSIDERATION
1. Consider appointment of a Mayor Pro Tem
Motion Approve. Action Approve appointment of Gary Mitchell as Mayor Pro Tem, Moved
By Rhodes; Motion fails for lack of a second.
Motion Approve. Action Approve appointment of Linda Rhodes as Mayor Pro Tem, Moved
By Mitchell, Seconded By Connor. Motion passed with a vote of 4=04, with none voting
against approval and Rhodes abstaining.
Mayor Johnson congratulated Mayor Pro Tem Linda Rhodes and announced that he was
leaving the meeting. Following Mayor Johnson's departure at 7:42 p.m., Mayor Pro Tem
Rhodes chaired the remainder of the meeting. Following this item, the Council then opened
the floor for the Visitor's Forum (IV,C).
2. Consider approval of a Resolution authorizing publication of notice of intention to issue
Certificates of Obligation to finance street, sidewalk and related drainage improvements
at various locations in the City and the acquisition of public safety vehicles and
equipment
Motion Postpone, Action Postpone to a future Council meeting items IV.F.2. and
IV.F.4., Moved By Joplin, Seconded By Jacobson. Motion to postpone passed
unanimously.
3. Consider approval of a Resolution amending the City of Kennedale Purchasing Policy
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CITY COUNCIL MINUTES I
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Motion Approve. Action Approve Consider approval of a Resolution amending the City of
Kennedale Purchasing Policy, Moved By Joplin, Seconded By Jacobson.
Mayor Pro Tern Rhodes stated that she did not have any issue with the current limit of
$50,000, as it was typical. She added that there was an issue of trust and comfort level that
was being addressed with this item.
Motion passed with a vote of 44-0, with Mayor Pro Tern Rhodes voting against approval.
4. Consider authorizing the City Manager to enter into a Professional Services Agreement
(PSA) with Shield Engineering for engineering design and services related to the Safe
Routes to School (SRTS) Program
This item was postponed via an earlier motion.
5. Authorize the City Manager to negotiate, finalize, and execute a contract of sale for a
13-acre EDC-owned property on Linda Road, known as Lot1A2, Block 1 of the Harris
Corporation Addition
Director of Planning and Economic Development Melissa Dailey stated that this item
concerned a 13-acre property at the corner of Linda and Gail that the EDC had owned
since 2012. She added that it is a challenging site topographically. Dailey noted that the
Water Fund paid $171,148 for the property on behalf of the EDC, that the current offer
was $200,000, and that staff would recommend paying the original purchase price back
to the Water Fund. There was some discussion regarding a past negotiation with
Compressed Air and Watson Glass for the property. Dailey stated that Adlai Pennington
is proposing Americana Village for the site — a residential development of about 98
homes, some townhomes, a 17,000 sqtf. Office space. The combination would require a
future zoning change to Neighborhood Village. Discussion of requirements imposed, the
land appraisal, the architectural style of the homes, appraisal, tax revenues, the
neighborhood meeting held by the developer, the proposed layout of the development,
other zoning options, road capacity, and wildlife preservation.
The developer, Adlai Pennington, stated that he had made several previous
investments in Kennedale, and that he felt that the neighborhood meeting gave him the
impression that surrounding owners did not wish to see any development in the area.
Mayor Pro Tern Rhodes opened the public hearing at 8:46 p.m.
Jeff Nevarez spoke in favor.
Kelly Anderson, Chris Evans, Donald Earp, Colby Callan, Julie Mitchell, and
John Hivale spoke against.
Mayor Pro Tern Rhodes closed the public hearing at 9:11 p.m.
There was some discussion among the council regarding the need for more
transparency regarding developments, why this item did not go to the Planning &
Zoning Commission first, updated project costs on capital improvement plan, Council's
desire for a Comprehensive Plan update, Council's desire to listen to community input,
infrastructure concerns, and flooding issues in the area.
Adlai Pennington stated that he would like to withdraw the contract from consideration.
Motion Deny. Action Deny Sale of 13-acre EDC-owned property on Linda Road, known as
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CITY COUNCIL MINUTES I JUNE 15, 2021 AT 5:30 PM
LOt1A2, Block 1 of the Harris Corporation Addition, Moved By Connor, Seconded By
Jacobson. Motion to deny passed with a vote of 3-O-2, with none voting against denial and
Mitchell and Jacobson abstaining.
Following this item, the Council took a brief recess from 9:27 p.m. to 9:44 p.m.
6. Authorize the City Manager to negotiate, finalize, and execute the fifth amendment to
the Lease Purchase Agreement for 1170 E Kennedale Parkway (Red's Roadhouse)
Mayor Johnson returned to the meeting at 9:49 p.m.
There was some discussion regarding the current contract under which the EDC receives
rental income for the property but that when the property is sold the proceeds would go to
the Bloxom Foundation, Adlai Pennington's request for an extension of the current rental
agreement, that the land is not on the property tax roll because it was owned by the EDC,
and Council's desire to see Mr. Pennington purchase the property. Mr. Pennington stated
that he was prepared to close on the purchase of the property within 60 days, pay two
months' rent in advance, and that language could be added to the extension to allow for
transfer of the building to the EDC if the property was not closed within that time frame.
Motion Approve. Action Approve authorizing the City Manager to negotiate, finalize, and
execute the fifth amendment to the Lease Purchase Agreement for 1170 E Kennedale
Parkway (Red's Roadhouse) to include an agreement for Adlai Pennington to purchase the
land within 60 days, to pay in advance for those two months of rent, and language indicating
that failure to meet these terms would result in ownership of the building being transferred to
the EDC Moved By Jacobson, Seconded By Connor. Motion passed unanimously.
There was a brief discussion of past rental payments due.
Motion Amend. Action Amend the previous motion to include payment of any back rent,
Moved By Julie Jacobson, Seconded By James Connor. Motion passed unanimously.
G. PUBLIC HEARINGS
1. Hold a public hearing regarding amendments to land use assumptions, capital
improvements plan (CIP), and associated water, wastewater, and roadway impact fees
Director of Public Works Larry Hoover stated that the Capital Improvement Advisory
Committee (CIAC) letter of recommendation had been provided to the Council.
Mazen Kawasmi of Freese and Nichols offered a presentation regarding the recent study
that was conducted prior to this proposed update of the water, wastewater, and roadway
impact fees. There was some discussion of service areas, land use assumption, service
units, existing capacity, usage and deficiencies, projected demand, service unit equivalency,
cost per service unit, and the Capital Improvements Plan supported by these fees.
There was a summary offered of the recommendations of the CIAC as well as a
benchmarking of those proposed impact fees compared to those of nearby cities. There was
some discussion about the rates charged by other cities.
Mayor Johnson opened the public hearing at 10:27 p.m.
Joe Palmer (representing KABO) spoke against.
Mayor Johnson closed the public hearing at 10:28 p.m.
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a. Consider an Ordinance amending Article II, Roadway Impact Fees, of Chapter 20,
Streets and Sidewalks, of the Kennedale City Code, by revising roadway impact fees
on new land development or redevelopment in the city limits of the City of
Kennedale, Texas; updating land use assumptions and capital improvement plans;
and providing for the assessment and collection of impact fees
Motion Approve. Action Approve an Ordinance amending Article II, Roadway
Impact Fees, of Chapter 20, Streets and Sidewalks, of the Kennedale City Code, by
revising roadway impact fees on new land development or redevelopment in the city
limits of the City of Kennedale, Texas; updating land use assumptions and capital
improvement plans; and providing for the assessment and collection of impact fees,
Moved By Connor, Seconded By Mitchell. Motion passed 4-1 with Connor voting
against.
b. Consider an Ordinance amending Article V, Water and Wastewater Impact Fees, of
Chapter 23, Water, Sewers.and Sewage Disposal, of the Kennedale City Code, by
revising water and wastewater impact fees on new land development and
redevelopment in the city limits and extraterritorial jurisdiction of the City of
Kennedale, Texas; updating land use assumptions and capital improvement plans;
and providing for the assessment and collection of impact fees
Motion Approve. Action Approve an Ordinance amending Article V, Water and
Wastewater Impact Fees, of Chapter 23, Water, Sewers and Sewage Disposal, of
the Kennedale City Code, by revising water and wastewater impact fees on new land
development and redevelopment in the city limits and extraterritorial jurisdiction of
the City of Kennedale, Texas; updating land use assumptions and capital
improvement plans; and providing for the assessment and collection of impact fees,
Moved By Connor, Seconded By Mayor Pro Tern Rhodes.
Councilmember Connor noted that adopting the maximum fee seemed extreme.
Motion passed 4-1 with Connor voting against.
Following this item, the Council reconvened into Executive from 10:33 p.m. to 11:08 p.m.
H. TAKE ACTION NECESSARY PURSUANT TO EXECUTIVE SESSION, IF NEEDED
Motion Approve. Action Approve authorizing the City Attorney to finalize the settlement
agreement in regards to the property at 731 E Kennedale Parkway, 733 E Kennedale
Parkway, and 804 Mansfield Cardinal Road; and to further authorize the Mayor to execute said
agreement, Moved By Jacobson, Seconded By Connor. Motion passed unanimously.
V.ADJOURNMENT
Motion Adjourn. Action Adjourn, Moved By Jacobson, Seconded By Connor. Motion passed
unanimously.
Mayor Johnson adjourned the meetinq�atodt 1,:09„ p.m.
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APPROVED: D '%, > ' •.�l�� ATTEST: /e r
LINDA RHODES, MAYOR PRO TEM : ,• E}r VL SLIE E. GALLOWAY, CITY SECRETA
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CITY COUNCIL MINUTES JUNE 15, 2021 AT 5:30 PM
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