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05 - City Council MinutesItem No. MINUTES OF THE SPECIAL CITY COUNCIL MEETING OF THE CITY OF PARIS, TEXAS December 9, 2017 The City Council of the City of Paris, met for a special session at 9:00 a.m, on Saturday, December 9, 2017, in the Galleryat the Paris Public Library, 326 S. Main Street, Paris, Texas, Present: Mayor: Steven Clifford Council Members: Aaron Jenkins; Billie Lancaster; Billy Trenado; Linda Knox; Cleonne Drake; and Paula Portugal City Staff- John Godwin, City Manager; Stephanie Harris, City Attorney; and Janice Ellis, City Clerk 1. Call meeting to order. Mayor Clifford called the meeting to order at 9:00 a.m. 2. Convene into Executive Session pursuant to Section 551,087 of the Texas Govenurient Code, (1) to discuss or deliberate regarding commercial or financial inflon-nation that the governmental body has received from a business prospect that the governmental body seeks to have locate, stay, or expand in or near the territory of the governmental body and with which the: governmental body is conducting economic development negotiations; or (2) to deliberate the offer of a financial or other incentive to a business prospect described by Subdivision (1), as follows: Project Orange Fire. Mayor Clifford convened City Council into executive session at 9:01 a. n. 3. Reconvene into Open Session and possibly take: action on those matters discussed in Executive Session. Mayor Clifford reconvened City Council into open session. 4, Discuss roles and responsibilities of City Council, City Manager John Godwin presented and reviewed with City Council a policy previously adopted. 5. Discuss residential maintenance and redevelopment, including an ordinance for fire and safety inspections of rental property, Mr. Godwin said Council Member Portugal requested this item, and he provided them with a copy of an ordinance that was discussed a year ago. He explained there were people living in horrible: conditions, such as no running water and holes in their roofs. Mr. Godwin said staff did not want to hurt responsible rental property owners, but address the ones who were not responsible. Special Council Meeting De,cemb�er 9, 2017 Page 2 Council Member Drake said it becomes a Health and safety issue. Mayor Clifford said lie did not want any person's health and safety at risk, but at the same time this might cause rental to go up and force some people on the street. He said he just wanted everyone to keep in mind their rules had consequences. Council Member Portugal said the City of Kaufinan recently passed an ordinance that excludes apartments. Mr. Godwin asked Council if they wish to put together a committee and Council favored doing so. Mayor Clifford said he was not for an ordinance that makes a person replace .all of the wiring in their house, or states they are in violation if they have cracked mortar, but wanted it to be based on a safety and health basis. Council Member Knox said she would like to see sornething written that if the Police are called several times for noise and other nuisances, that there is teeth in ordinance to do something. Mr. Godwin suggested they may want to require a certificate of occupancy be issued each time a house is rented and charged approximately $20.00. Council Member Knox liked that idea and said if the rules are violated, then the certificate could be pulled. City Attorney Stephanie Harris reminded everyone the property owner would still have to go through the eviction process, Council Member Trenado inquired about redevelopment, Mr. Godwin said letters had been sent to four different developers with regard to vacant lots. lie also explained the developers were informed fees would be waived and property would be given to them, if they would build houses on the lots. Mr. Godwin said only one of the developers was interested, but so far has not moved forward. They discussed the home loan program through, the banks, and Council Member Jenkins asked if the stipulation could be dropped that the owner had to occupy the house in order to get a loan. Mr. Godwin said he would check on that with the banks. Following additional discussion, it was a consensus of the City Council for Mr. Godwin to put together a committee, and to develop all ordinance with regard to maintenance of rental houses. 6. Discuss downtown redevelopment and possible new ordinances. Mr. Godwin said this was similar to the housing issue, in that they did not want to penalize those that took care of their property, Mayor Clifford asked if they could do tax credits and abaternents in the downtown area. Mr. Godwin answered in the affirmative and said they could enter into 380 agreements as that was passed several years ago. It was a consensus of City Council to move forward with this. Council, Member Knox said HPC was trying to preserve downtown, and it was important that they stay within the guidelines in order to get tax restoration credits. She said she would like to see more grants for historic properties, Mr. Godwin said a vacant registry ordinance was a good tool and said he would bring something to Council in the future. 7. Review and discuss the street bond projects; the budget for street repairs; street projects completed by city staff, and equipment needs. Council Member Drake said she requested this itern and confirmed that Collegiate Street was not on the original list, Mr. Godwin said that was correct, and that protects would be added Special Council Meeting December , 2017 Page 3 and some removed, He reviewed the projects that had been started, the ongoing projects and future projects. 8. Review and discuss utility projects, and plan for future projects. Mr. Godwin presented and reviewed with City Council an updated list of projects. He also informed thein that they would be digging up downtown, including parking spaces, Mr. Godwin said during construction downtown business would be affected but that once the project was complete, the improvements would be great for the downtown area, 9. Review and discuss maintenance of drainage facilities. Mr. Godwin provided City Council with an updated map and answered questions, 10, Review and discuss update of the Operating and other Plans for the City of Pans Mr. Godwin said Council Member Drake requested this item, and that a copy of the City's Operating Plan had been placed in their packets. He said the Operating Plan was current, but the City did have some old plans, such as the Comprehensive Plan. Mr. Godwin inforined Council it was a lot of work to update plans if the City was not going to follow them. 11, Discuss possibly outsourcing certain positions, particularly seasonal jobs. Council Member Portugal said she requested this item and was wondering instead of hiring seasonal employees, if they could contract out. Mr. Godwin said the City already contracted out for mowing, and the only seasonal employees they had were lifeguard and concession stand workers. Mr. Godwin also said that it was difficult to get contractors for code type issues, because they did not want to tear up their equipment. 11 Discuss curbside recycling, Council Member Portugal said she requested this, because the recycling, program had been successful. Mr. Godwin explained they could add curbside recycling but to keep in inind there would be an additional charge to each household. Mayor Clifford said there would be a major push back frorn citizens, and lie did not favor curbside at this time. It was a consensus of City Council to not move forward with curbside recycling, but continue the current program and possibly get some additional bins. 13. Review and discuss update on the city web -site, Mr. Godwin presented a hand-out to Council reflecting the current status of the new web- site and said the plan was to have it completely finished by May. Special Council Meeting December 9, 2017 Page 4 14. Discuss safety concerns in the City Council Chambers. Council Member Drake said she requested this item. City Council discussed concerns and options. 15. Adjournment. There being no further business, Mayor Clifford adjourned the meeting at 12:53 p.m. STEVEN J. CLIFFORD, M.D., MAYOR JANICE ELLIS, CITY CLERK MINUTESOff' THE REGULAR CITY COUNCIL MEETING OF THE CITY OF PARIS, TEXAS December 11, 2017 The City Council of the City of Paris net for a regular session at 5:30 P,m, on Monday, December 11, 2017, at the City Council Chamber, 107 E. Kaufman, Paris, Texas. Present: Mayor: Steven Clifford Council Members: Aaron Jenkins; Billie Lancaster; Linda Knox; Cleonne Drake; and Paula Portugal City Staff John Godwin, City Manager; Stephanie Harris, City Attorney; Janice Ellis, City Clerk; Bob Hundley, Police Chief-, Larry Wright, Fire Chief, Doug Harris, Utilities Director; Kent Klinkerman, EMS Director; Carla Easton, City Engineer; Jerry McDaniel, Public Works Director; Alan Efrussy, Planning Director; Clyde Crews; Fire Marshal Absent: Council Member: Billy Trenado Opening Agenda 1. Call meeting to order. Mayor Clifford called the meeting to order at 5:30 p.m. 2. Invocation. EMS Director Kent Klinkeri-nan gave the invocation. 3. Pledge of Allegiance. Council Member Drake led the pledge. 4. A. Citizens' Forum. No one spoke during citizens' forum. B. Proclamation recognizing Logan Gilbert for representation of the United States on the 2017 Trampoline and Tumbling 25th World Age Group Team, C. Proclamation recognizing Rylee Chapman for representation of the United States on the 2017 Trampoline and Tumbling 25th World Age Group Team. Regular Council Meeting December 11, 2017 Page 2 Coaches Williarn and Lisa Gandy presented a video performance of Logan Gilbert and Rylee Chapman's competition. Mayor Clifford read the proclamations and presented them to Mr. Gilbert and Ms. Chapman, Consent Agenda Mayor Clifford inquired of Council Members if they wished to pull any items from the consent agenda for discussion. There being none, a Motion to approve the consent agenda was made by Council Member Drake and seconded by Council Member Portugal. Motion carried, 6 ayes -- 0 nays. S. Approve minutes from the meeting on November 13, 2017.. 6Receive reports and/or minutes from the following boards, commissions, and committees: a. Love Civic Center Governing Board (8-10-2017) b. Paris Public Library Advisory Board (10-25-2017) c. Main Street Advisory Board (10- 1 O�-2017 & 10-26-2017) d. Paris Economic Development Corporation (10-20-2017) e, Traffic Commission (10-3-2017) f Board of Adjustment (9-5-2017) g. Airport Advisory Board (1.0-1q-2017) 7. Receive October monthly financial report, & Receive October drainage report. 9. Receive demolition and code enforcement activity reports. 10. Appoint Matthew Coyle to serve an unexpired term on the Historic Preservation Commission. 11, Re -appoint Sims Non-nent to the Civil Service Commission. 12. Approve RESOLUTION NO. 2017-040: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, APPROVING AND AUTHORIZING AN INTERLOCAL AGREEMENT BETWEEN THE CITY OF' PARIS AND REGION VIII EDUCATION SERVICE CENTER TO PARTICIPATE IN THE TEXAS INTERLOCAL PURCHASING SYSTEM PROGRAM; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND PROVIDING AN EFFECTIVE DATE. Regular Agenda 13. Discuss and act on RESOLUTION NO, 2017-041: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, APPROVING AN ECONOMIC Regular CouncH Meetlng December 11, 2017 Page 3 INCENTIVE PACKAGE FROM THE PARIS ECONOMIC DEVELOPMENT CORPORATION TO AMERICAN SPIRALWELD PIPE COMPANY, LLC; AUTHORIZING AND DIRECTING THE CITY ATTORNEY TO PREPARE A TAX ABATEMENT AGREEMENT BETWEEN THE CITY AND AMERICAN SPIRALWELD PIPE COMPANY, LLC; AUTHORIZING THE DIRECTOR OF COMMUNITY DEVELOPMENT TO CERTIFY AN APPLICATION BY AMERICAN SPIRALWELD PIPE COMPANY, LLC TO TEXAS ENTERPRISE FUND; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND DECLARING AN EFFECTIVE DATE. EDC Director Michael Paris expressed appreciation to city officials and county officials for their support of this project, and said that the City of Paris had become a finalist. Mr. Paris said American Spiralweld Pipe was a subsidiary of American Cast Iron Pipe Company, which was a 100 year old company. He introduced company representatives, Patrick Hook, Mike O'Brien, and Ian Willoughby, Mr. Hook gave a presentation to the City Council, which included an introduction to the company's history and their culture. Mr. Willoughby gave a presentation on a timeline of American's portfolio. Mr. Willoughby explained that the product that would be manufactured was steel pipe, anywhere frorn 24 inches to 12 feet in diameter and up to I inch thick. He said the product was used in water transmission, waste water systems and in industrial pumping systems. Mr. Willoughby said the proposed plant would be a capital investment of $60 million dollars, and would hire 55 to 60 employees at $54,000 a year with a full benefit package. He also said later the company would add a second shift with 45 more jobs and eventually a $20 million dollar building would be added along with 13 to 15 jobs at an average of $52,000 a year. Mr. Paris explained the incentive package approved by PEDC included land,, a forgivable loan for $500,000 to include, and there would be additional rail costs for Kiamichi Railroad to build a spur to the property. He said if Council approved this tonight, the next step was to make application to the Texas Enterprise Fund for additional incentives. Mr. Paris said the company had narrowed their selection to Paris and another city, and he hoped to know soon about their decision. Mayor Clifford said lie was impressed with this project, as did Council Mernber Drake, Council Member Portugal expressed appreciation for their consideration of the City of Paris, as did other Council Members. A Motion to approve this item was made by Mayor Clifford and seconded by Council Mernber Portugal. Motion carried, 6 ayes — 0 nays, 14. Conduct a public hearing, discuss and act on an Ordinance considering the petition of Eddy'rhornas for a change in zoning from a Single Family Dwelling District No. 2 (SF - 2) to a Mixed Use Planned Development District (PD), on Lots 7-A and part of 8, City Block 331, being located at 3787 N.W. Loop 286. Mayor Clifford said this item was tabled at the Planning and Zoning meeting, and made a Motion to table this item, which was seconded by Council Member Drake. Motion carried, 6 ayes — 0 nays. Regular Council Meeting December 11, 20,17 Page 4 15. Discuss, conduct a public hearing, and act on an Ordinance regarding the petition of Kathy Mathis on behalf of E. Mario Garcia for a change in zoning from General Retail District (GR) to a General Retail District with a Specific Use Permit (SUP) for a Tattoo Shop, located at 1247 Clarksville Street, on the City of Paris Block 103-A, Lot PT of 9, being known as 1225, 1245, and 1247. Planning Director Alan Efrussy said the applicant requested a zoning change from General Retail to General Retail with a SUP for a tattoo shop. He said the Planning and Zoning Commission voted unanimously to recommend denial of this SUP request and that staff recommended approval conditioned upon adherence to the requirements of the Texas Health and Safety Code, Council Member Knox inquired why Planning and Zoning denied the request. Mayor Clifford said the applicant did not show up to the meeting and three other property owners did, and spoke in opposition to this zoning change. Mayor Clifford opened the: public hearing and asked for anyone wishing to speak in support or opposition of this item, to please come forward. Don Weir, owner of Smith Carpet, spoke in opposition to the zoning change, as did Treva Brunson, owner of a Piece of Cake. Chad Lindsey, Planning and Zoning Commission member said he was not for or against the zoning change, but the reason he voted against it was because the applicant did not corrie to the meeting. Property owner Richard Lee also spoke in opposition of this zoning change. With no one else speaking, Mayor Clifford closed the public hearing. A Motion to deny the zoning change was made by Mayor Clifford and seconded by Council Member Drake, Motion carried, 6,ayes 0 nays. 16. Discuss, conduct a public hearing, and act on ORDINANCE NO, 2017-049: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, AMENDING ZONING ORDINANCE NO. 1710 OF THE CITY OF PARIS, TEXAS, AS HERETOFORE AMENDED, BY AMENDING SECTION 8-107, "COMMERCIAL & SERVICE USES," OF SECTION 8, "USE OF LAND AND BUILDINGS" AND BY AMENDING SECTION 12-100, "SPECIFIC USE, PERMITS" TO ELIMINATE THE RENTAL AND SALE OF TRAILERS IN THE CENTRAL AREA (CA) ZONING DISTRICT AND TO ALLOW THE RENTAL AND SALE OF TRAILERS IN THE COMMERCIAL (C) ZONING DISTRICT THROUGH THE SPECIFIC USE PERMIT (SUP) PROCESS; PROVIDING A REPEALER CLAUSE, A SEVERABILITY CLAUSE, A SAVINGS CLAUSE, A PENALTY CLAUSE; AND PROVIDING AN EFFECTIVE DATE, Mr. Efrussy said items 16 and 17 were related to each other and had been combined into one ordinance. He explained that the City of Paris was requesting to amend the Zoning Ordinance to eliminate the sale and rental of trailers in the Central Area District and to create the Specific Use Permit process within the Commercial District to allow the sale and rental of trailers. He reported that the Planning and Zoning Commission recommended approval of these amendments, as did staff. Regular Council Meeting December 11, 2017 Page 5 Mayor Clifford opened the public hearing and asked for anyone wishing to speak in support or opposition of this item, to please come forward. With no one speaking, Mayor Clifford closed the public hearing. A Motion to approve this item was made by Mayor Clifford and secodided by Council Member Portugal. Motion carried, 6 ayes — 0 nays. 17. Discuss, conduct a public hearing, and act on an Ordinance regarding the petition of the City of Paris, Texas, to amend Zoning Ordinance No. 1710 by creating the Specific Use Pen -nit (SUP) process within the Commercial (C) Zoning, District to allow the sale and rental of trailers. Mayor Clifford opened the public bearing and asked for anyone wishing to speak in support or opposition of this item, to please come forward. With no one speaking, Mayor Clifford closed the public hearing. A Motion to approve this item was made by Mayor Clifford and seconded by Council Member Knox. Motion carried, 6 ayes — 0 nays. 18. Discuss, conduct a public hearing, and act on ORDINANCE NO. 2017-050AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, AMENDING ZONING ORDINANCE NO. 1710 OF THE CITY OF PARIS, TEXAS, AS HERETOFORE AMENDED, SO AS 'TO REZONE LOT 5, BLOCK A, FINAL PLAT, WYNN WOOD ADDITION, BEING LOCATED AT 860 SOUTH COLLEGIATE DRIVE, IN THE CITY OF PARIS, LAMAR COUNTY, TEXAS, FROM A TWO-FAMILY DWELLING DISTRICT (2F) TO A MULTI -FAMILY DWELLING DISTRICT NO, I (MF -1); DIRECTING A CHANGE ACCORDINGLY IN THE OFFICIAL ZONING MAP OF THE CITY; PROVIDING A REPEALER CLAUSE, A SEVERABILITY CLAUSE, A SAVINGS CLAUSE, A PENALTY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. Mr. Efrussy explained that applicant Rick Casey requested a zoning change from a Two - Family Dwelling to a Multi -Family Dwelling District for a triplex unit. He said the Planning and Zoning Commission unanimously recommended approval of this request and staff recommended denial. He further referenced the existing land use, existing zoning and Future Land Use Plan and said staff believed that by approving this rezoning it would be a spot zoning decision. Mr. Efrussy expressed a concern that later down the road, someone might try to put an apartment complex there if they amended the zoning. He said there was not a use in the zoning ordinance for a triplex, Mayor Clifford and Council Member Knox inquired if this could be done with a SUP. Mr. Efrussy said they would have to amend the zoning ordinance. Mayor Clifford opened the public hearing and asked for anyone wishing to speak in support or opposition of this item, to please come forward. Cindy Casey, wife of applicant, spoke in support of this zoning change. Ms. Casey said they were doing nothing but changing a few walls inside the duplex to turn it into a triplex, as it was a huge structure and could Regular Council Meeting December 11, 2017 Page 6 accommodate three living units. She said there was no way someone could put an apartment complex on the lot, because it was too small for that. With no one else speaking, Mayor Clifford closed the public hearing. Mayor Clifford said he did not have a problem approving the zoning change, because the lot was too small for an apartment complex but that he would like for Alan to look at amending the zoning ordinance. A Motion to approve the zoning change was made by Mayor Clifford and seconded by Council Member Portugal. Motion carried, 6 ayes -- 0 nays. 19. Discuss and provide direction to city staff on an application for disannexation of property filed by Case .and Ashley Johnson, 2355 Wildwood Lane. A Motion to remove this item from the table was made by Mayor Clifford and seconded by Council Member Drake, Motion carried, 6 ayes — 0 nays. City Attorney Stephanie Harris said items 19 and 20 should be discussed together and this afternoon, staff had received a new application for the same area. Ms. Harris said the new one would not be discussed, because staff did not receive it in time to place it on the agenda. Ms. Harris reviewed the maps, citing the Johnson and Archer property were contiguous but that the White property was not and would create a hole if they disannexed it. She also said this was against the City's disannexation policy because these did not meet the guidelines. Ms. Harris farther said these three properties were among thirteen along Wildwood Lane. Ms. Harris explained that the only service not currently available to property owners in the subdivision was sewer, and that some properties purchased their water from the City and others from the County. Property owner Case Johnson said be had a LCW Supply meter and another meter, and that initially Lamar County served the area. He also said the properties were annexed around 2000. Property owner Ms. Archer said there had been no street maintenance. Property owner Sherrie White said they did not have access to water. City Manager John Godwin explained water was there and it did not matter who serviced it. Mr. Godwin also said the City could not kick off another utility entity just because they annex or disannex. Loren Stephens, 2385 Wildwood, said he was not there to speak for or against disannexation but that the bridge was sinking and the road was terrible. Mr. Stephens said he had paid for a clear water system and to hook onto the City of Reno, it would cost $6,000 or $7,000. Council Member Portugal said these disannexation applications did not meet the criteria as set out in the City's policy, Ms. Harris said the guidelines reference a majority of property owners. Mayor Clifford said his inclination was to deny these requests. Council Member Knox said if other property owners decide to join in, they could then review the requests. Mr. Godwin said if the disannexations did not go the way the property owners wanted, the City could possibly enter into an Interlocal Agreement with the City of Reno for the City of Reno to provide sewer to the property owners. It was a consensus of the City Council that the applications did not meet the criteria under the guidelines for disannexation. Regular Council Meeting December 11, 2017 Page 7 20. Discuss and provide direction to city staff on applications for disannexation of property filed by the following: • Jeremy & Kristen Archer, 2305 Wildwood Lane • Jeff & Sherrie White, 2410 Wildwood Lane 21. Discuss and act on ORDINANCE NO. 2017-051: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, ISSUING A LICENSE TO DAVID THOMPSON d/b/a LONE STAR CAB CO. TO OPERATE A TAXICAB BUSINESS ON THE PUBLIC STREETS OF THE CITY OF PARIS, TEXAS; FINDING A PUBLIC NECESSITY AND CONVENIENCE FOR ISSUANCE OF SAID LICENSE; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND DECLARING AN EFFECTIVE DATE. City Manager John Godwin explained that this item and the next two were the taxi cab companies that had been doing business in Paris for years. A Motion to approve this item was made by Mayor Clifford and seconded by Council Member Drake. Motion carried, 6 ayes — 0 nays. 22. Discuss and act on. ORDINANCE NO. 2017-052: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, ISSUING A LICENSE TO RANEY DAY ENTERPRISES, INC., &b/a CITY CAB, TO OPERATE A TAXICAB BUSINESS ON THE PUBLIC STREETS OF THE CITY OF PARIS, TEXAS; FIN r DING A PUBLIC NECESSITY AND CONVENIENCE FOR ISSUANCE OF SAID LICENSE; MAKING OTHER FINDINGS AND PROVISIONS, RELATED TO THE SUBJECT; AND DECLARING AN EFFECTIVE DATE, A Motion to approve this item was made by Mayor Clifford and seconded by Council Member Portugal, Motion carried, 6 ayes — 0 nays. 23. Discuss and act on ORDINANCE NO. 2017-053: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, ISSUING A LICENSE TO RANEY DAY ENTERPRISES, INC. d/b/a. YELLOW CAB OF PARIS, TO OPERATE A TAXICAB BUSINESS ON THE PUBLIC STREETS OF THE CITY OF PARIS, TEXAS; FINDING A PUBLIC NECESSITY AND CONVENIENCE FOR ISSUANCE OF SAID LICENSE; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND DECLARING AN EFFECTIVE DATE. A Motion to approve this item was made by Mayor Clifford and seconded by Council Member Knox. Motion carried, 6 ayes — 0 nays. 24, Discuss and act on ORDINANCE NO. 2017-054: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, AMENDING THE TRAFFIC CONTROL MAP ADOPTED IN SECTION 31-65(b) OF THE CODE OF ReguW Council Meeting December 11, 2017 Page 8 ORDINANCES OF TIME CITY OF PARIS, TEXAS; ESTABLISHING STOP SIGNS STOPPING NORTHBOUND AND SOUTHBOUND TRAFFIC AT THE INTERSECTION OF 18TH STREET NE AND FAIRFAX STREET; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; PROVIDING A REPEALER CLAUSE, A SEVERABILITY CLAUSE, A SAVINGS CLAUSE, A PENALTY CLAUSE; AND, PROVIDING AN EFFECTIVE DATE. Assistant Police Chief Randy Tuttle said the Traffic Commission received a request to Places stop signs at I8`°' N.E. and Fairfax. He also said the intersection currently has no traffic control. device and that Commission recommended approval. A Motion to approve this item was made by Council Member Drake and seconded by Council Member Jenkins. Motion carried, 6 ayes — 0 nays. 25. Discuss and possibly act on a Resolution proposed by the Historic Preservation Commission to petition the City Council to instruct the City Manager and City Attorney to foreclose on the Belford Apartment Complex and put out a Request for Proposals for Sale of the Belford Apartment Complex as an "Adaptive Historical Property Restoration." City Engineer Carla Easton said this item was presented to the Historic Preservation Commission in October by member David Alarid for the City to intervene and try to move forward with restoration of the Belford Building. Ms. Easton gave a history to the Council, beginning with the building being identified by code enforcement as a dilapidated structure in 2010. She said the Building and Standards Commission placed its first order on the property in September of 2010, and subsequent orders were placed in attempts to force the owner to repair the building. Ms,. Easton reviewed the timeline of the Building and Standard Commission's actions. She referenced the structural engineer's report which identified multiple deficiencies in the structure that tendered it unsafe, including severe deterioration of the building. In summary, Ms. Easton also said that civil penalties had accrued to the sum of $2,021,80'0.00 and continued to accrue at $1,100.00 per day. Ms. Easton told City Council that in October and November of 2016, city staff and Council Member Lancaster met with the owner in an eftbrt to help him by recommending that the City Council reduce or waive all penalties, should the owner want to sell the property to a genuine buyer. Ms. Easton said no further progress had been made on the demolition or repairs to the property. She also said the City could legally demolish the building but has not done so, due to cost. Ms. Easton explained the Historic Preservation Commission recommended a process by which the City would intervene with the following: take ownership by foreclosure; procure bids for the building restoration; adopt a tax increment financing to subsidize the restoration; and sell the property to an investor. Mayor Clifford said if the City took over the building and Mr. Alarid was able to do something with it, the building could be saved. He also said it was his understanding if the City did not, that in a matter of time it could collapse, City Attorney Stephanie Harris said this could be done, but it was not without risk to the City. She said a lawsuit would have to be filed, in order to reduce the civil penalties to judgment and more than likely, it would result in a trial and the result could be appealed, Ms. Harris advised once a final judgment was entered, they would Regular Council Meeting December 11, 2017 Paige 9 have to go through post -judgment remedy process, get an abstract of judgment and get a writ of execution on the judgment. She also said subsequently there would be a sheriff s sale and then the City could bid oil it at that time. Ms. Harris told the Council if the City takes ownership of it, there will be at least a period of time between when the City gets title and it is sold to someone else by the RFP process, and there were associated liabilities but those were executive session type details. Ms. Harris said if the building doesn't sell, then the City has the building and there are barriers to sell, one of which is the condition of the building, tax credits that would be important to this project were on the chopping block under the federal tax overhaul plans, including the: new market tax credits and historic tax credits. Ms. Harris told Council if those go away, it would be difficult to finance the project according to her understanding as how Mr. Alarid wants to finance the project, Ms. Harris said if it sells and doesn't get restored, and it comes back to the City, then at the end of five years the City owns the building. Ms. Harris advised she was not telling them yes or no, but that she would be remise if she did not make them aware of all of this. Mayor Clifford inquired what would happen in the next seven years if the City did not do this, Ms. Harris said either the City would have to demolish it, or it would collapse. She advised that the City had the right to demolish it. Ms. Harris reported Mr. Kammer was under order's to demolish it but had not demonstrated the willingness, or the ability to, do, so. Mayor Clifford want to know how much demolition would cost and Ms. Harris informed him the estimates were approximately $300,000 to $400,000. Mayor Clifford said if they do nothing, then at some point the City would have to demolish it to the cost of $300,000 or $400,000, or the City can own it along with its problem but at least have a chance to sell it. Ms. Harris emphasized if the City owns it then the City has liabilities that the City would not have. Mayor Clifford said if the City decided to demolish it, the City assumed those liabilities at that point. Mayor Clifford inquired who, would own the property if the City demolished it and Ms. Harris said Boomer Trends owned by Kenny Kammer would own the property, Mayor Clifford wanted to know what would happen to the $2 million dollars owed. Ms. Harris said it would still be a liability oil the property, Council Member Knox said while Mr. Alarid presented an opportunity, the entire Historic Preservation Commission felt it was necessary to do sornething with the building, because the owner was not or could not do something with it. She said it was an eye sore, becorning increasingly dangerous and nothing was being done, except properties around it were losing tax value. Council Member Knox said this property was, sitting there rotting and it was a significant piece of property. She also said there were opportunities that existed today to do sornething with it, to save a piece of Paris' history. Council Member Knox stated either Paris was going to be a historic town or not and this time, the State of Texas has designated Paris as one of the most historic cities in the State of Texas. She also said she was in favor of the foreclosure and pursuing a viable option. Mayor Clifford agreed with Council Member Knox. Ms. Harris said she did not know if HPC had discussed this, but there was a provision under Chapter 214 of the Local Government Code that would allow them to file a lawsuit that would result in the appointment of a receiver. Ms. Harris said the receiver would pretty much have all of the rights of the owner but could not sell the property. She also said the receiver could do the repairs, bring it up to historical standards and had the right to reimbursement, plus a receivership fee of 10% of the costs and expenses the receiver puts into the building, Ms. Harris, said any RegOar Councif Meeting December 11, 2017 Page 10 time after one year and while the receivership is still active and the owner has been given the opportunity to pay for the work and hasn't done so, the City or the receiver could petition the court for the receivership to end and order the building sold, Ms. Harris said at that time, all of the proceeds would go to pay back the receiver, and the receiver could bid on the property and get a credit on what the receiver spent on the building. Council Member Knox wanted to know if this was discussed with the HPC and Ms. Harris said she did not know. Council Member Knox inquired about tax credits in this situation. Ms. Harris said there may be a problern with financing, but she did not know the answer to that. A Motion to foreclose on the Belford Apartments and uphold the resolution upheld by the Historic Preservation Commission was made by Council Member Knox and seconded by Mayor Clifford. Motion carried, 4 ayes — 2 nays, with Council Members Drake and Portugal casting the dissenting votes. Ken Kohls, 3935 Brandyn Place, wanted to know if the City was now going to own this property, since they foreclosed on it. He said there was property in the Historic District that the City owned right now and they were not doing anything on it. He referenced The Plaza Theater downtown. Mayor Clifford said the City did not have good options right now. Council Member Knox said the City was assuming the property to bid out in an RFP format, so that investors could purchase the property and repair the property. Mr. Kol-Ils wanted to know when that was going to happen, Council Member Knox said they had five years to do that. Mayor Clifford said he thought the alternative would be to tear it down at that point, if nothing materializes and the City would have to tear it down anyway. Council Member Knox said they were hoping that something will be done with the building. 26- Convene into Executive Session pursuant to Section 551.071 of the Texas Government Code, Consultation with Attorney, to receive legal advice frorn the City Attorney about pending or contemplated litigation and/or on matters I which the duty of an attorney to her client under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas clearly conflict with this chapter, as follows. New Cingular Wireless PCD, LLC d/b/a/ AT & T Mobility, Plaintiff v. City of Paris, CTRA Property Holdings Corporation and Oncor Electric Delivery Company, LLC, Defendants, Cause No. 86108. Mayor Clifford convened City Council into executive session at 7':36 p.m. 27. Reconvene into Open. Session and possibly take action on those matters discussed in the Executive Session, Mayor Clifford reconvened City Council into open session at 7:42 p.m. and said Council received legal advice from the city attorney about pending litigation. 28. Consider and approve future events for City Council and/or City Staff pursuant to Resolution No. 2004-08 1. Nothing was referenced, Regular Council Meeting December 11, 2017 Page 11 29, Adjournment, There being no further business, a Motion to adjourn was made by Council Member Portugal and was seconded by Mayor Clifford. Motion carried, 6 ayes — 0 nays. The meeting was adjourned at 7:43 p.m. STEVEN J. CLIFFORD, M.D., MAYOR JANICE ELLIS, CITY CLERK