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Home My WebLink About12-22-2016 Council MinutesThe Plainview City Council met on December 22, 2016 at 11:30 a.m. in the City Council 91 Chambers of the Plainview City Hall at 901 Broadway. The agenda for this meeting was posted in City Hall at 10:35 a.m. on December 19, 2016. Mayor Wendell Dunlap presided. Councilmembers present were: Charles Starnes -District, Larry Williams -District 2, Norma Juarez -District 3, Teressa King -District 4, Susan Blackerby-District 5 and Oliver Aldape- District 7. Councilmember John Gatica-District 2 was absent. Staff members present were: Jeffrey Snyder -City Manager, Andrew Freeman -Assistant City Manager, Leslie Schmidt -City Attorney, Sarianne Beversdorf-Director of Finance, Tim Crosswhite-Director of Public Works, Rusty Powers -Fire Chief, Ken Coughlin -Police Chief, Isauro Gutierrez -Information Technology Manager, Cris Valverde -Community Development Manager and Belinda Hinojosa-City Secretary. News Media Present: Doug McDonough -Plainview Herald Jeffrey Snyder, City Manager presented for consideration on second reading Ordinance No. 16-3644, an Ordinance of the City Council of the City of Plainview, Texas Authorizing the Adoption of a Classification and Compensation Plan for all Employees of the City of Plainview; Repealer; Cumulativeness Clause; Conflicts Clause; Severability Clause, and Effective Date. A study was performed in February. The reason we started the process is one of our strategies under the Comprehensive Plan was to make sure we are offering a competitive pay plan. The total estimated cost to implement the study is $337,560 or 5.33% of our payroll. The proposed implementation date is January 9th. Staff would recommend approval on second reading. Mayor Dunlap asked for public comment. There was no public comment. Councilmember Blackerby moved to adopt Ordinance No. 16-3644 on second reading. The motion was duly seconded by Councilmember Aldape and carried by unanimous vote. Mr. Snyder presented for consideration on first reading Ordinance No. 16-3645, an Ordinance of the City Council of the City of Plainview, Texas Approving a Settlement Agreement Between The Alliance Of Xcel Municipalities ("AXM") And Southwestern Public Service Company ("SPS" Or "Company") Regarding The Company's Statement Of Intent To Change Electric Rates In All Cities Exercising Original Jurisdiction; Declaring Existing Rates To Be Unreasonable; Adopting Tariffs That Reflect Rate Adjustments Consistent With The Settlement Agreement And Finding The Rates To Be Set By The Attached Tariffs To Be Just And Reasonable; Finding The City's Rate Case Expenses Reasonable; Directing SPS To Reimburse The City Its Reasonable Rate Case Expenses; Determining That This Ordinance Was Passed In Accordance With The Requirements Of The Texas Open Meeting Act; Declaring An Effective Date; Repealing Any Prior Resolutions Or Ordinances Inconsistent With This Ordinance; And Requiring Delivery Of This Ordinance To The Company And Legal Counsel. This Ordinance approves the rate case settlement agreement between the Alliance of Xcel Municipalities and SPS. On or about February 16, 2016, SPS filed an application to increase its base rates by approximately $71.9 million in annual revenue, which represents an increase in base revenue of about 14.21%. The law firm of Herrera & Boyle, PLLC represented the Alliance of Xcel Municipalities in the rate case involving SPS along with rate experts engaged by Herrera & Boyle. The City Council Minutes December 22, 2016 Page 1 of 3 92 settlement agreement is for $35 million which is about a 7% increase. A residential customer would see about a 4% increase in the base rate, including fuel and the Energy Efficiency Cost Recovery Factor. The total increase for a residential customer would be about 5.3% Staff and the Alliance of Xcel Municipalities recommend approval. Mayor Dunlap asked for public comment. There was no public comment. Mayor Pro Tem Starnes moved to adopt Ordinance No. 17-3645 on first reading. The motion was duly seconded by Councilmember Juarez and carried by unanimous vote. Mr. Snyder presented for consideration Resolution R16-378, a Resolution of the City Council of the City of Plainview, Texas, Opposing a Revenue Cap and Legislative Interference With Local Services; Authorizing the Mayor to Sign this Resolution Recognizing the City Council's Opposition; and Declaring an Effective Date. This Resolution would oppose revenue caps and any legislative interference with the local government's ability to provide local services to their community. During the 2015 Legislative Session, the revenue cap issue became a major topic of discussion where the Senate Finance Committee through S.B. 182 was seeking to replace the current eight (8) percent "rollback" property tax rate with four (4) percent hard cap on a property tax increase and require mandatory elections on any increase over four percent, but the bill failed to get out of committee. There was a similar bill in the House as well. Today, if a City exceeds the current eight (8) percent "rollback" property tax rate, voters can petition for an election to roll back the property tax rate increase to eight (8) percent. In response to the failed efforts in the 2015 Legislative Session, Lt. Governor Dan Patrick established an interim committee called the Senate Select Committee on Property Tax Reform and Relief. The committee was charged with holding public hearings across the State to determine how to improve the property tax appraisal process as well as reduce the property tax burden on property owners. The committee has held hearings across the State over this past year and has issued their interim report findings with the main area of focus appearing to be in the form of revenue caps for cities again. For the upcoming 2017 Legislative Session, Senate Bill 2 filed by Senator Bettencourt, if approved, would impose the four (4) percent "rollback" property tax rate and require a mandatory election on an increase over the "rollback" property tax rate. The primary issue here for cities is local control. The State mandating a hard cap of four percent with an automatic election could have drastic impacts on a City's ability to address and/or react to the needs or challenges in their communities. The State of Texas provides little to no support to address any of these issues. Our locally elected officials in communities like Plainview need to decide the best way to provide the level of services expected from their citizens at the local level not at the State level. Staff is recommending approval of the Resolution Mayor Dunlap asked for public comment. There was no public comment. Councilmember King moved to adopt Resolution R16-378. The motion was duly seconded by Councilmember Blackerby and carried by unanimous vote. City Council Minutes December 22, 2016 Page 2 of 3 Tim Crosswhite, Director of Public Works presented for consideration to authorize Mayor 93 to sign Agreement between the City of Plainview, Texas and Brandt Engineers Group, LTD for Professional Services. City Staff is asking to use Brandt Engineering for the seal coat project. Staff is working towards a 10 year seal coat program. Phase 1 includes funds for a study phase where Brandt Engineering will be performing a street condition assessment. The cost for this phase is $18,860. Phase 2 includes funds to assist the City with an in house fog sealing program. The total cost for this is $11,200. We are putting out one base bid of 211,500 square yards for coated rock. The budget for seal coat this year is $505,000. Mayor Dunlap asked for public comment. There was no public comment. Mayor Pro Tem Starnes moved to authorize the Mayor to sign Agreement between the City of Plainview, Texas and Brandt Engineers Group, LTD for Professional Services. The motion was duly seconded by Councilmember Williams and carried by unanimous vote. Mr. Paul Kite, Water Treatment Plant Superintendent presented for consideration to authorize Mayor to sign the Agreement between the City of Plainview and Allen Doggett Construction for the Water Treatment Plant Residuals Management Project. Staff was made aware that the Water Quality Division of TCEQ is looking to make changes regarding ponds. We would have to have them lined and it would be a pretty significant cost. Parkhill Smith & Cooper came up with an alternative plan that is much cheaper. On September 12th, we received one bid and on September 27th the Council selected and approved the bid. This is the agreement for that bid with Allen Doggett Construction. Staff recommends approving the Contract for $74,200. Mayor Dunlap asked for public comment. There was no public comment. Councilmember Williams moved to authorize Mayor to sign the Agreement between the City of Plainview and Allen Doggett Construction for the Water Treatment Plant Residuals Management Project. The motion was duly seconded by Councilmember Juarez and carried by unanimous vote. There being no further business, Mayor Dunlap adjourned the meeting at 12:19 p.m. Belinda Hinojosa City Secretary City Council Minutes December 22, 2016 Page 3 of 3