HomeMy WebLinkAbout14 0527 Council minutesThe Plainview City Council met on May 27, 2014 at 6:30 p.m. in the City Council
Chambers of the Plainview City Hall at 901 Broadway. The Council had a reception for
the outgoing and incoming Council from 5:30 p.m. to 6:30 p.m. The agenda for this
meeting was posted in City Hall at 4:50 p.m. on May 23, 2014. Mayor Wendell Dunlap
presided. Councilmembers present were: Charles Starnes - District 1, Cathy Waggoner -
District 2, David Garcia - District 3, V. O. Ortega- District 4, Susan Blackerby- District 5,
Lionel Garcia - District 6 and Eric Hastey- District 7 and incoming Councilmembers Larry
Williams- District 2, Norma Juarez - District 3 and Teressa King- District 4.
Staff members present were: Greg Ingham -City Manager, Jeffrey Snyder- Assistant City
Manager, Leslie Pearce -City Attorney, Mike Gilliland- Director of Public Works, Ken
Coughlin - Police Chief, Rusty Powers -Fire Chief, lsauro Gutierrez- Information
Technology Specialist, Sarianne Beversdorf- Director of Finance and Belinda Hinojosa-
City Secretary.
News Media Present: Doug McDonough - Plainview Herald and Caleb Hatch -
Plainview Radio
Guests Present: Susan Smith, Mike Goetz, Ricky King, Beverly McCaskill, Hope
Hastey, and Armando Juarez
Mayor Dunlap delivered the invocation and led in the pledge of allegiance.
City Secretary Belinda Hinojosa administered the Oath of Office to Dr. Charles Starnes,
District 1 Councilmember.
Greg Ingham, City Manager recognized Cathy Waggoner, outgoing District 2
Councilmember and Mayor Pro Tem.
Mrs. Hinojosa administered the Oath of Office to Larry Williams, District 2
Councilmember.
Mr. Ingham recognized David Garcia, outgoing District 3 Councilmember.
Mrs. Hinojosa administered the Oath of Office to Norma Juarez, District 3
Councilmember.
Mr. Ingham recognized V. O. Ortega, outgoing District 4 Councilmember.
Ms. Hinojosa administered the Oath of Office to Teressa King, District 4
Councilmember.
Mayor Dunlap presented for consideration the election of a Mayor Pro Tem.
Councilmember Garcia nominated Charles Stames as Mayor Pro Tem and
Councilmember Williams nominated Teressa King as Mayor Pro Tem. Mayor Dunlap
asked for a vote on the matter. Mayor Dunlap, Councilmembers Charles Starnes and
Lionel Garcia voted for Councilmember Starnes. Councilmembers Williams, Juarez,
King, Blackerby and Hastey voted for Councilmember King. Councilmember King was
named Mayor Pro Tem.
City Council Minutes
May 27, 2014 Page 1 of 5
313
314 Councilmember Williams moved to adopt the consent calendar. The motion was duly
seconded by Councilmember Blackerby and carried by unanimous vote. Items
approved on the consent calendar included the approval of the minutes of April 17,
2014 and April 22, 2014 and approval of financial reports.
Mr. Jeffrey Snyder, Assistant City Manager presented information on a request to annex
a 5.79 acre tract of land located out of the west half of Section 27, Block JK -2, Hale
County, Texas, which is adjacent to its incorporated city limits. This is the first of two
public hearings. State Street Housing Development has requested the City to annex
approximately 5.79 acres that is located at 4100 16 Street to construct a new multi- family
housing complex. The second public hearing will be held on June 10 at 7:00 p.m. Once
this process is complete, the Council will be considering an Ordinance to complete the
annexation.
Councilmember Garcia moved to open a public hearing on a request to annex a 5.79 acre
tract of land located out of the west half of Section 27, Block JK -2, Hale County, Texas,
which is adjacent to its incorporated city limits. The motion was duly seconded by
Councilmember Hastey and carried by unanimous vote.
Mayor Dunlap asked for public comment. There was no public comment.
Councilmember Garcia moved to close the public hearing. The motion was duly
seconded by Mayor Pro Tem King and carried by unanimous vote.
The public hearing was closed at 6:50 p.m.
Mayor Dunlap announced that a second public hearing will be held on June 10, 2014 at
7:00 p.m. in the City Council Chambers at City Hall, 901 Broadway.
Mr. Ingham presented for consideration to award bid for City's Health Insurance Stop -
Loss Reinsurance Coverage. The City of Plainview has a self - funded health insurance
program which means that reinsurance is purchased to cover certain levels of loss. We
are considering three quotes for the Stop -Loss reinsurance over $50,000.
The City is currently in the second very bad claims year. Last year the City's Stop Loss
carrier covered over $400,000 in claims and it appears we could hit those levels again
this year.
So in order to reduce their risk, the Stop Loss carriers are shifting some of the risk to the
City by "lasering" certain individuals in the City's group. This means that the Stop Loss
provider will not start paying claims on a "lasered" individual until a much higher
deductible has been reached. While this does not guarantee that the City will pay X
more dollars because the actual cost will be determined by the health of the lasered
individuals, it does increase the City's potential exposure. When we look at the City's
total exposure, it is not just the premium.
The City received the following proposals:
City Council Minutes May 27, 2014 Page 2 of 5
Deductible $50,000 $50,000 $50,000
7 Month Premium $149,415.28 $153,549.48 $197,300.18
Percentage of Fixed Cost
Increase 20% 23% 58%
Run in Limitation $268,400.00 None None
Lasers Participant A $ 300,000 Participant A - $ 275,000 Participant A - $ 275,000
Participant B $ 65,000 with $100,000 runin limit with $100,000 runin limit
Total Potential City Expense $414,415 28 $453,549.48 $422,300.18
Other
Quote 1 Quote 2 Quote 3
ULLICO RU Insurance Svcs RU Insurance Svcs
Fidelity Security Gerber Gerber
Includes $ 75,000
Aggregating Specific
Deductible
Staff recommends Quote 1 with ULLICO Fidelity Security. We have Susan Smith with
TML IBP and Mike Goetz available to answer any questions.
Mayor Dunlap asked for public comment. There was no public comment.
Councilmember Blackerby moved to award bid for City's Stop -Loss Reinsurance
Coverage to ULLICO Fidelity Security. The motion was duly seconded by
Councilmember Garcia.
Councilmember Williams asked what the fixed cost interest was. He was advised 20%
is fixed cost. He also asked if we had any locals who had submitted proposals. Mr.
Goetz stated that this was done through a RFP process. Ads were put in local
newspaper and then they received submitted proposals. He also asked who was
monitoring our discounts. Susan Smith stated they provide report every month.
Mayor Pro Tem King asked for explanation of the RFP process. She also asked for
clarification on Participant A and B. She was advised that each were one individual.
Councilmember Starnes asked if our current coverage expires at the end of May. He
was advised yes that we would need to pick one of the options.
Councilmember Garcia stated that he has been on the Council for two years. He stated
that TML is going to offer us the best possible advice on items such as this. He wanted
to make sure the Council understood that TML is there to help and not try to undercut
us.
City Council Minutes May 27, 2014 Page 3 of 5
315
316
Mayor Pro Tem King stated that she is approached by people and they are not happy
with the insurance they have. She just wants to make sure that we are getting
competitive bids and they are coming out of our local vendors.
Mayor Dunlap asked for a vote on the matter. The motion carried by unanimous vote.
Mr. Ingham presented information on the strategic planning session. Last year as we
moved through the budget process, the Council indicated interest in looking at how we
could work together to have more Council input in terms of defining the City's priorities
as we work through the budget process. One approach that many cities use to address
this is the development of a Strategic Plan. A Strategic plan is a relatively short term
plan. While we will look at where we want to be in the long run, this process will help
the Council and staff look at what things are most critical in our efforts to get there, and
what steps we will need to take to be successful.
For this process to be effective, it will take a fairly significant time commitment on the
part of the Council and staff. In discussing options with a consultant who facilitates this
type of planning process about schedules that have been effective for other cities, they
have found that often a Friday evening and Saturday morning session has worked.
The proposed planning sessions would start at 5:00 pm on Friday, June 13, 2014 and
run until about 9:30 pm; and then restart at 8:00 am on Saturday, June 14, 2014 and
conclude by about 12:30 pm. We believe that this investment in our City will help us
continue to move Plainview forward and move towards the accomplishment of the City's
long term goals.
Mayor Dunlap asked for public comment. There was no public comment.
Councilmember Starnes moved to have two planning sessions on June 13 and June 14.
The motion was duly seconded by Councilmember Juarez.
Mayor Dunlap asked for Council comment.
Councilmember Blackerby asked if this was something that has always been done. Mr.
Ingham stated that we started in this direction. As Councils change, there were some
questions about the budget session so we started looking at strategic planning. Since
we knew we had a contested election, we waited until middle of June. This gives the
Council the opportunity to discuss. Ms. Blackerby also asked about the cost. Mr.
Ingham stated the cost was about $10,000.
Mayor Pro Tem King asked if it was open to the public. She was advised that this was
an open meeting.
Councilmember Garcia stated that this was something he had asked for when he first
came on board. We need some type of planning regarding what we are going to do and
how we are going to get there. It is something that all will benefit from.
Mayor Dunlap asked for a vote on the matter. The motion carried by unanimous vote.
Councilmember Blackerby moved to go into closed session to deliberate the purchase,
exchange, lease or value of real property, the public discussion of which would not be in
City Council Minutes May 27, 2014 Page 4 of 5
the best interest of the City's bargaining position with third parties, in accordance with
Tex. Gov't Code, Section 551.072; and to 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. [Tex. Gov't. Code,
Section 551.074]. City Manager. The motion was duly seconded by Councilmember
Williams and carved by unanimous vote.
Mayor Dunlap recessed the meeting at 7:15 p.m.
Mayor Dunlap called the meeting back in open session at 9:04 p.m.
Mayor Dunlap announced that no action would be taken.
There being no further business, Mayor Dunlap adjourned the meeting at 9:04 p.m.
Belinda Hinojosa
City Secretary
City Council Minutes
May 27, 2014 Page 5 of 5
317