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06.10.2010 CC Minutes 3514 MINUTES KENNEDALE CITY COUNCIL REGULAR MEETING — JUNE 10, 2010 405 MUNICIPAL DR. — KENNEDALE MUNICIPAL BLDG. COUNCIL CHAMBERS CALL TO ORDER Mayor Lankhorst called the work session to order at 5:30 p.m. II. ROLL CALL Mayor Lankhorst called roll with the following persons present/absent: Council present: Bryan Lankhorst Mayor John Clark Mayor Pro -Tem, Place 1 Liz Carrington Councilmember, Place 2 Kelly Turner Councilmember, Place 4 Jerry Miller Councilmember, Place 5 Council absent: Brian Johnson Councilmember, Place 3 Staff present: Bob Hart City Manager Kathleen Wells Legal Counsel Kelly Cooper Human Resources Director Rachel Roberts Planner Sakura Moten - Dedrick Director of Finance Tommy Williams Chief of Police Larry Ledbetter Director of Public Works Mike McMurray Fire Chief James Cowey Dir. Development Services III. WORK SESSION A. Utility Billing Practices Bob Hart, City Manager began the discussion explaining that an audit was conducted to reconcile all city accounts against the Tarrant Appraisal District records, and in the course of doing so many issues were brought to light. Next, Sakura Moten - Dedrick, Director of Finance along with Amy Owens, Utility Billing Administrator reported on utility billing policies and practices. Discussion included a reconciliation update, review of current practices for water /sewer discounts, best practice approach for water /sewer discounts, current water, sewer, and garbage rates and current practice related to all services, as well as the best practice approach for grandfathered accounts. 3515 13. Discuss budget process for FY 2010 -2011 Bob Hart, City Manager announced that a budget workshop was scheduled for Saturday, July 31 to begin at 8 a.m. and special meetings were scheduled for Tuesday, August 24 and Thursday, September 2 to begin at 7 p.m. C. Discuss oil and gas ordinance Bob Hart, City Manager spoke on the proposed oil and gas ordinance, in which a public hearing and discussion is scheduled with action to follow in July. Mr. Hart indicated Rachel Roberts, Planner would present Planning and Zoning Commission recommendations, and that he would address some key elements that he felt needed to be discussed. Mr. Hart then referred to the appendix, Exhibit A of the ordinance and provided recommendations that he would like Council to consider, which included the following: (1) distance from habitual structures in regards to a compressor, compressor stations, and gathering stations; (2) need for ground water recharge area; (3) distance within drilling of floodplain/way; (4) distance of well sites from one another; (5) waste water removal and record keeping; and (6) road repairs. Next, Rachel Roberts, Planner addressed the Planning and Zoning proposed recommendations to the ordinance. D. Discuss the creation of a Culture & Arts Board Bob Hart, City Manager indicated a presentation was brought before Council approximately one year ago to create an Arts Advisory Board. Art in the Park was put together and was successful, so a recommendation is now being brought forward to proceed with the creation of a 501(c) 3 Non Profit Culture & Arts Board, which will consist of seven members. Mr. Hart went on to address available grants to such boards and the reasoning to declare the board a non - profit organization. He said most art boards are set up in the same fashion across the state, and are seen in Arts, Parks and Recreation and Library Departments. A brief discussion followed concerning current citizenry participation in already established city boards /commissions with further review of merging some boards /commissions, if necessary. E. Discuss and review any item on the agenda, if needed. Bob Hart, City Manager along with Sakura Moten - Dedrick, Director of Finance addressed consent agenda item d, purchase card policy. The policy was briefly explained, in which staff feels the purchasing cards will provide more flexibility of use, simplified tracking and invoicing, streamlining of payments, enhanced customer service, and online access to view charges and make changes to organizational features and settings. In addition, the Program Administrator (Director of Finance) will have the ability to restrict card usage based on necessity, as well as issue out temporary cards to employees specifically for travel. 3516 Next, Ms. Dedrick indicated that city staff is in favor of broadening the use of these cards L to other employees, with the intention to only provide them to those who have a current and recurring need at the moment. She said that the Finance Department would like to ensure that an effective and efficient process with adequate safeguards is in place in terms of administering the program on a smaller scale prior to issuance city wide. There being no further discussion, Mayor Lankhorst closed the work session at 6:55 p.m. IV. REGULAR SESSION Mayor Lankhorst called the regular session to order at 7:12 p.m. V. INVOCATION Bob Hart, City Manager gave the Invocation. VI. US PLEDGE OF ALLEGIANCE The US Pledge of Allegiance was recited. VII. TEXAS PLEDGE OF ALLEGIANCE "Honor the Texas Flag; I Pledge Allegiance to Thee, Texas, One State under God; One and Indivisible." The Texas Pledge of Allegiance was recited. VIII. PRESENTATION(S) A. Mayor Lankhorst will announce and recognize Library Wildflower Photo Contest Winners. Lindy Strocnek, Library Clerk announced the Wildflower Photo Contest Winners who were Julie Eaklor — lst Place - $50.00; Don Troxell — 2n Place - $35.00; and Kareah Wakeland — 3r Place - $25.00. She also indicated that two Honorable Mention Photos were selected, in which were taken by Julie Eaklor, and thanked all who participated and said to look forward to additional photo contest in the near future. IX. VISITOR/CITIZENS FORUM Stephen Vickers, 417 N. Bowman Springs Road, Kennedale, TX 76060 expressed his displeasure to learn about the re- naming of Bowman Springs Road through his neighbors versus a formal letter from the City. Mr. Vickers indicated that he did not want the street name changed as it affected him personally as he lived on the street, and it would require all personal information being changed. Lana Sather, 421 N. Bowman Springs Road, Kennedale, TX 76060 addressed the re- naming of Bowman Springs Road. Mrs. Sather indicated that Bowman Springs Road was one of the oldest roads in Kennedale and addressed the history related to the roadway. Mrs. Sather then spoke of notification process from the city, in which there was none, and cost associated with such street name change for individuals and the school district. 3517 In closing, Mrs. Sather said that citizens are required to follow a formal process through the city i f changes are to take place to their property; however the City does not follow proper procedures. She indicated that it very irritating to see it happen without proper notification, and that the city needed to take an active approach to notify the citizens of such changes versus a reactive approach. Pat Doescher, Chairman of the Kennedale Chamber of Commerce spoke of Chamber Happenings, which included a Tour of Kennedale with the Mansfield Chamber of Commerce, and initiating a petition for a wet/dry election. Mark Allen, Executive Director with the Chamber of Commerce announced the networking luncheon scheduled for Wednesday, June 16 at 11:30 a.m. in the Life Fellowship Church in which guest speaker, Donna Traweek would talk on how to get your company over the hump! Next, he announced the Wakeup North Texas meeting scheduled for Wednesday, June 30` at 7 a.m. at Air Steed in Mansfield, Texas and encouraged anyone interested to attend. X. REPORTS /ANNOUNCEMENTS A. Mayor Mayor Lankhorst announced the first neighborhood block party scheduled for June 28` from 6 to 8 p.m., in Shady Creek West. B. City Council — No reports /announcements. C. City Manager Bob Hart, City Manager announced the subscription Flag Program sponsored by the Rotary Club, in which Rotary personnel would place /remove a flag on your property on six designated holidays. XI. CONSENT AGENDA All matters listed under consent agenda have been previously discussed, require little or no deliberation, or are considered to be routine by the council. If discussion is desired, then an item will be removed from the consent agenda and considered separately. Mayor Pro -Tem Clark requested item D be removed from consent agenda. A. Approval of regular meeting minutes dated May 13, 2010, and special meeting minutes dated May 17, 2010. B. Approval of Quarterly Investment Report. ('. Approval to authorize the City Manager to execute an Interlocal Agreement with the City of Fort Worth for mutual aid fire services. E. Approval of Resolution No. 328, declaring certain property surplus and/ or salvage and authorizin g property. sale of said P P rt3'• 3518 F. Approval to call a budget workshop for July 31, 2010, and special meeting(s) for August 24, 2010, and September 2, 2010. Councilmember Miller moved to approve consent agenda items A -C, and E -F, second by Councilmember Turner. Motion carried (4 -0). 1). Approval of amended Purchase Card Policy. Mayor Pro -Tem Clark moved to approve amended Purchase Policy contingent upon the following amendments: 1. Add III D. 8) Prohibit fuel purchases for or maintenance charges on any personal vehicles with a use for city purposes or not. 2. VI. Cardholder Statement Review & Payment Submission — amend sixth sentence to read: "If the Cardholder is unable to provide adequate details concerning a receipt, the Cardholder will be responsible for reimbursing the City of Kennedale and the City is authorized to deduct any applicable charges from the payroll of the employee if not otherwise reimbursed." 3. VII. Cardholder Record Keeping — Add G. to read "A card holder must return any cash received and the city is authorized to deduct the cash amount received from the payroll of the employee if the cash has not been returned to the City." Councilmember Miller seconded the motion and motion carried with all present voting in favor. (4 -0). XII. REGULAR ITEMS G. Public hearing, review, and consider action to approve Ordinance No. 455, Case #PZ 10- 03, a proposed ordinance vacating and abandoning a portion of Bowman Springs Road in the City of Kennedale, Tarrant County, Texas, and declaring that such property is unnecessary for use as a public right -of -way; and reserving a public utility easement. Roadway to be vacated and abandoned is more particularly described as a portion of Lot 1, Block 1, Gaona Addition, and a portion of Lot 20, Block 1, Woodlea Acres Addition, Kennedale, Tarrant County, Texas. Physical addresses are 1021, 1022, and 1029 Bowman Springs Road, Kennedale, TX. 1. Staff Presentation Rachel Roberts, Planner advised Case #PZ 10 -03 was a city- initiated case that is part of the Bowman Springs road project, in which the city owns one of the abutting properties and proposes to convey its share of the vacated land to McCaslin Holdings, the owner of property on the other side of the proposed vacation. She said in return, McCaslin Holdings has agreed to convey to the city another section of land needed for the Bowman Springs road project. Next, Ms. Roberts reported that the Planning and Zoning Commission held a public hearing on May 20` and recommended approval of the subject case. 3519 2. Public Hearing Mayor Lankhorst opened the public hearing for public comments. With no persons registered to speak, Mayor Lankhorst closed the public hearing at 7:25 p.m. mo` 3. Staff Summary No additional staff comments were provided. 4. Action on Ordinance No. 455. Councilmember Turner moved to approve Ordinance No. 455, second by Councilmember Carrington. Motion carried (4 -0). 11. Public hearing and review of proposed Ordinance No. 456, Case #PZ 10 -04, amending Chapter 17, Section 17 -426 of the Kennedale City Code (1991), as amended, by revising regulations governing oil and gas drilling and related operations. 1. Staff Presentation Rachel Roberts, Planner addressed recommended changes to the oil and gas ordinance, which were drafted based on several factors. Ms. Roberts indicated the Board of Adjustment requested revisions and clarifications based on its experiences with gas companies requesting special exceptions, and that city staff expressed concern and frustration from its dealings with gas operators. Next, Ms. Roberts cited that urban gas drilling had evolved from a new use to a more established one during the past several years, in which the Commission believes updating the ordinance could resolve many issues. Ms. Roberts then summarized the proposed amendments, and indicated that stakeholder input had been received from the four gas operators that were currently working in Kennedale, in which comments received were considered by the Commission and the recommendations were revised accordingly. Furthermore, Ms. Roberts said one additional recommended change is to the list of fees in the city's fee schedule instead of in the oil and gas ordinance, which will make it easier to update the oil and gas related fees as needed. However, this item would be addressed at a future meeting, as it was not included in the public hearing scheduled in May. Last, it was noted that the Planning and Zoning Commission held a public hearing on the case in May 2010 and voted to recommend approval of the proposed amendments as reflected in Exhibit A, the Ordinance. 2. Public Hearing Mayor Lankhorst opened the public hearing for public comments with the following persons addressing council: 1 3520 Tiesa R. Leggett, 100 Energy Way, Fort Worth, TX 76102 representing Chesapeake Energy registered in favor of Case #PZ 10 -04, and then offered the following comments to the proposed ordinance: (1) Requested clarification for the term "special exception." (2) Requested Section 5, (d -1) (3) be amended to add the word "proposed" so the sentence would read "Applications for oil and gas well permits shall include a pipeline easement map indicated the location of the nearest gathering station and the proposed alignment of the pipeline(s) connecting the operation site to the gathering station." Ms. Leggett indicated right -of -way may /may not be needed and by providing a proposed alignment of the pipeline would prevent unnecessary purchase of right -of -way. (3) Requested clarification to permit issuance until all improvements required under Section 17 -426 have been made. (4) Indicated drilling as close to the 600 foot buffer of the floodplain/way reduces high impact sites. (5) Indicated that restricting distance between pad sites should be handled in the application for a special exception. (6) Requested Section 13. (5) Addressing hours of operation is amended to reflect 8 a.m. to 7 p.m. Ray Oujesky, 100 Energy Way, Fort Worth, TX 76102, Legal Counsel with Chesapeake Energy registered in favor of Case #PZ 10 -04 and then spoke on one specific provision of the ordinance noted in Section 2, Page 3, referring to the oil and gas operators applying for a variance to drill as close as 300 feet within a residence if 80 percent of the homeowners agree in writing. Mr. Oujesky requested changing the variance requirement to a special exception as the BOA cannot legally grant a variance if no unnecessary hardship for the situation exists due to the court ruling that financial matters could not be included in the hardship. By this change, it would allow an operator to present evidence that someone is trying to extort money from the operator in order to get a document signed. Robert Allison, 1325 Meadowview Drive, Kennedale, TX 76060 registered against Case #PZ 10 -04 citing concerns with the well site located at the intersection of Sublett and Little School Road. Mr. Allison replied that he can see directly into the well site from his kitchen window, as he resides in the adjacent subdivision on top of a hill. He voiced concerns with the view, noise, and pollution and requested the city's help to alleviate the issues. Mark Baysden, 777 Main St., Fort Worth, TX 76102 representing XTO Energy and Jacobs Engineering registered against Case #PZ 10 -04. Mr. Baysden indicated that he has worked with several of the operators in Kennedale and has concerns with several items in the ordinance presented. Mr. Baysden requested council table or refer the ordinance back to the Planning and Zoning Commission to schedule a work session between all parties involved. Ernest Harvey, 604 Oak Leaf Drive, Kennedale, TX 76060 resident, addressed Council as Chairman of the Planning and Zoning Commission. Mr. Harvey indicated the Commission had debated the ordinance for some time and felt that action was warranted, put on the books, and move forward. He reported that all options had 3521 been exercised and feels the proposed ordinance is complete and will close the gap compared to what is currently in the books. Frank Fernandez, 911 Shady Vale Drive, Kennedale, TX 76060 resident and member of the Planning and Zoning Commission said the Commission had been working on the ordinance for the past four years and felt it was ready for approval. Also, Kristina Stacey, 112 Patrick Drive, TX 76086 representing EOG Resources, Inc. registered but did not indicate if she was for or against Case #PZ 10 -04. No further comments, Mayor Lankhorst closed the public hearing. 4. Staff Summary Rachel Roberts, Planner advised that she did not have a response to comments made tonight, but would have something available for the next meeting. It was suggested to schedule a meeting with the Planning and Zoning Commission to finalize document and have ready for the July meeting. Review and consider action to authorize the City Manager to provide documentation to Wal -Mart in regards to non - surface oil, gas and mineral lease. Mayor Pro -Tem Clark moved to authorize the City Manager to negotiate with Wal -mart to provide the requested letter so that they may move forward with their negotiations with a non - surface oil, gas, and mineral lease, second by Councilmember Miller. Motion carried (4 -0). There being no further discussion, Mayor Lankhorst recessed into executive session at 8:36 p.m. XIII. EXECUTIVE SESSION A. The City Council will meet in closed 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. 13. 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: 1. Sublett Road re- alignment properties 2. Little School Road re- alignment properties ('. The City Council will meet in closed session pursuant to Section 551.087 of the Texas Government Code to deliberate the offer of a financial or other incentive to a business prospect with which the city is conducting economic development negotiations. 1. Fallen Heroes Monument 3522 2. Transfer of Bowman Springs Road property to the KEDC. L 3. Transfer of property located at 1000 E. Kennedale Parkway XIV. RECONVENE INTO OPEN SESSION, AND TAKE ACTION NECESSARY PURSUANT TO EXECUTIVE SESSION, IF NEEDED. Mayor Lankhorst reconvened into open session at 9:46 p.m., with no action taken on executive session items. XV. ADJOURNMENT There being no further business to consider, Mayor Lankhorst asked for a motion to adjourn the meeting. Mayor Pro -Tem Clark so moved and Councilmember Miller seconded the motion. Meeting adjourned at 9:48 p.m. APPROVED: Zeltkhercr ayor, Bryan Lankhorst ATTEST: ,/,----,„../,,,..,,_ L Kathy Turner, ity Secretary