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05/16/2016MINUTES OF THE REGULAR CITY COUNCIL MEETING OF THE CITY OF PARIS, TEXAS May 16, 2016 The City Council of the City of Paris met for a regular session at 5:30 p.m. on Monday, May 16, 2016, at the City Council Chamber, 107 E. Kaufman, Paris, Texas. Present: Mayor: A.J. Hashmi Council Members: Aaron Jenkins; Billie Lancaster; Billy Trenado Steve Clifford; and Cleonne Drake City Staff John Godwin, City Manager; Stephanie Harris, City Attorney; Janice Ellis, City Clerk; Gene Anderson, Finance Director; Carla Easton, City Engineer; Larry Wright, Fire Chief; Bob Hundley, Police Chief; Doug Harris, Utilities Director; Jerry McDaniel, Public Works Director; and Kent Klinkerman, EMS Director Absent: Council Member Matt Frierson Opening Agenda 1. Call meeting to order. Mayor Hashmi called the meeting to order at 5:30 p.m. 2. Invocation. Gene Anderson gave the invocation. 3. Pledge of Allegiance. Council Member Lancaster led the pledge. 4. A. Citizens' Forum. Jim Bell, 720 SE 39'x' Street — he spoke about the two recent floods and that homeowners had to pay twice for damage. He said the second flood was worse because of the debris in the ditches and the culverts, and the ditches had not been cleaned out. Billy Bell, 2054 Cleveland — he said they recently rented the Event Center and were disappointed, because there was no air condition in the building. He also said he was told when he returned the key everything was fine however, when he complained he was told they did not leave the building clean. Regular Council Meeting May 16, 2016 Page 2 Tim Bullock, 4025 Dawn — he said he was on the Airport Advisory Board and expressed appreciation to all those who made "Wings Over Paris" a success. Chris Horton, 1135 Old Jefferson Road — he said he had called city department heads many times about the trash and debris in ditches and the need for them to be cleaned. He said the ditch from 6th to 12th SE had not been maintained and that his home had flooded. Mr. Horton also said this had been an ongoing problem for two years. Dina Cooper, 1017 Old Jefferson Road — she said she bought her home in 2008 and the ditches needed to be bigger and that the City needed to mow. She referenced homeless people living across the street and that law enforcement did a good job handling the situation. Sonny Auld, 950 Old Jefferson Road — he complained about flooding and said the City did not dig out the ditches unless the property owners continually called the City. B. Proclamation declaring the week of May 15 -21 as National Police Week. Mayor Hashmi read the proclamation and presented it to Sergeant Robert Milton and Officers Clifton Mitchell, Jeff Padier, and Dustin Calhoun. C. Recognition of John Wright for services to the City of Paris. Mayor Hashmi recognized John Wright for his service on the Council, noted the completed projects while Mr. Wright was on the Council, and then asked for a moment of silence in memory of Mr. Wright. Mayor Hashmi presented a certificate to Mr. Wright's family members. Consent Agenda Mayor Hashmi 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 Lancaster and seconded by Council Member Clifford. Motion carried, 5 ayes — 0 nays. 5. Approve minutes from the meeting on April 25, 2016. 6. Receive reports and/or minutes from the following boards, commissions, and committees: a. Historic Preservation Commission (4 -13 -2016 & 4 -25 -2016) b. Paris Economic Development Corporation (3 -22 -2016) c. Traffic Commission (3 -1 -2016) d. Main Street Advisory Board (4 -12 -2016) 7. Approve RESOLUTION NO. 2016 -016: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS APPROVING THE SUBMISSION OF AN Regular Council Meeting May 16, 2016 Page 3 EXTENSION OF AN AUTOMOBILE BURGLARY AND THEFT PREVENTION AUTHORITY (ABTPA) GRANT FOR CONTINUATION OF THE NORTHEAST TEXAS AUTO THEFT TASK FORCE; APPROVING A CASH MATCH FROM THE CITY OF PARIS IN CONNECTION WITH SAID GRANT EXTENSION; AUTHORIZING THE EXEUTION OF ANY AND ALL DOCUMENTS NECESSARY FOR ACCEPTANCE AND IMPLEMENTATION OF SAID GRANT UPON NOTICE THEREOF; MAKING OTHER FINDINGS AND PROVISIONS RLEATED TO THE SUBJECT; AND PROVIDING AN EFFECTIVE DATE. 8. Receive the Comprehensive Annual Report for fiscal year ended September 30, 2015. 9. Approve revisions to the Fairgrounds Exhibit Building Use Policy. Regular Agenda 10. Conduct a public hearing, discuss and act on ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXASDISANNEXING THREE TRACTS OF LAND BEING 1.16 ACRES, 2.45 ACRES AND 160.7 ACRES FOR A TOTAL OF 164.31 ACRES LOCATED IN THE SOUTHEASTERN CORNER OF THE CHISUM ABSTRACT NO. 175 AND NORTHEASTERN CORNER OF THE BOURLAND ABSTRACT NO. 70 BEING 0.75 MILES NORTHWEST OF THE INTERSECTION OF FM HWY 79 AND THE 2.45 ACRE TRACT BEING LOCATED ALONG THE SOUTH SIDE OF FM HWY 79 INCLUDING ADDRESSES RANGING FROM 3194 FM HWY 79 TO 3930 FM HWY 79, OF THE CITY OF PARIS, LAMAR COUNTY, TEXAS, IN RESPONSE TO LANDOWNER REQUESTS FOR DISANNEXATION; ADJUSTING CITY BOUNDARIES OT REFLECT NEW CITY LIMITS; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; PROVIDING A REPEALER CLAUSE, A SEVERABILITY CLAUSE AND A SAVINGS CLAUSE; AND DECLARING AN EFFECTIVE DATE. Mayor Hashmi opened the public hearing and asked for anyone wishing to speak in support or opposition of this item, to please come forward. Joyce Lake, 3258 FM 79, spoke in support of the disannexation citing they had been on the same property for approximately 50 years and the City did not provide services to them. Dedra Dollins, 3356 FM 79 and Ronald Dockray, 3194 FM 79 also spoke in support of the disannexation. With no one else speaking, Mayor Hashmi closed the public hearing. 11. Discuss and act on RESOLUTION NO. 2016 -017: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, CANVASSING THE RETURNS FOR THE MAY 7, 2016, GENERAL ELECTION FOR COUNCIL DISTRICT 6; DECLARING THE WINNER IN SAID ELECTION; ACKNOWLEDGING THE RESULTS OF PRIOR COUNCIL ACTION DECLARING CANDIDATES AS ELECTED TO OFFICE FOR COUNCIL DISTRICTS 1, 2, AND 3 AS A RESULT OF HAVING BEEN UNOPPOSED FOR ELECTION TO OFFICE; DELCARING THE TERMS OF OFFICE FOR THE AFORESAID CANDIDATES; MAKING OTHER Regular Council Meeting May 16, 2016 Page 4 FINIDNGS AND PROVISIONS RELATED TO THE SUBJECT; AND PROVIDING AND EFFECTIVE DATE. City Clerk Janice Ellis said District 1 candidate Aaron Jenkins; District 2 candidate Billie Sue Lancaster; and District 3 Billy Trenado were each unopposed. Ms. Ellis said an election was conducted May 7 for the purpose of electing one council member in District 6 and that Cleonne "Holmes" Drake received the majority of votes cast in that District. A Motion to approve this item was made by Council Member Council Member Lancaster and seconded by Council Member Clifford. Motion carried, 5 ayes — 0 nays. 12. Recognition of outgoing Council Members for their service. Mayor Hashmi recognized Council Members Benny Plata and Edwin Pickle for their service on the City Council from May 2014 -May 2016. 13. Issuance of Certificate of Election; Administer Statement of Elected Officer to Council Members; and Administer Oath of Office to newly elected Council Members. Ms. Ellis issued the certificates of election, statements of elected officer and administered the oath of office to newly elected Council Members: Aaron Jenkins, District 1; Billie Sue Lancaster, District 2; Billy Trenado, District 3; and Cleonne Holmes Drake, District 6. 14. Election by City Council of Mayor and Mayor Pro Tem to serve the City of Paris for the next year. Mayor Hashmi opened the floor for nominations for Mayor. A Motion to nominate Mayor Hashmi was made by Council Member Lancaster and seconded by Council Member Clifford. Motion carried, 6 ayes — 0 nays. Mayor Hashmi opened the floor for nominations for Mayor Pro -Tem. A Motion to nominate Council Member Lancaster was made by Council Member Clifford and seconded by Council Member Drake. Motion carried, 6 ayes — 0 nays. 15. Discuss flooding of houses in city areas, and take action on appropriating funds from General Fund Reserves and other sources for drainage improvements, in an effort to avoid future occurrences. Mayor Hashmi said he asked that this item be placed on the agenda and then depicted photos of areas flooded around town. He said over the last few weeks there had been damage to homes and businesses due to heavy rains in April and May and that the ground simply could not handle more water. He said equally to blame were the years of decay in the City's drainage system. Mayor Hashmi also said the City staff tried their best to maintain the City's huge drainage problem, but it was an expensive problem and there simply was not enough money in the budget to seriously attack the problem. Mayor Hashmi said it was time for the City Council Regular Council Meeting May 16, 2016 Page 5 to explore ways to resolve this problem. He said the areas of Paris that had suffered the most were the most financially challenged sections, where residents generally were inadequately insured. Mayor Hashmi depicted a list of calls that were made to the police department for help from residents. Mayor Hashmi suggested the Council take immediate action to assure the residents' flooding issues were resolved and devise a drainage plan that ensured these types of incidents were minimized. He said the City had a sound financial status, had been able to meet most of is requirements and pay debt in a timely fashion, had been able to do a $45 million water and sewer bond issue that was progressing well for the most part and kept the tax rate down compared to other cities with similar population. Mayor Hashmi pointed out that by the year 2020 the City will have reduced their payment by $460,000 a year. He said a one -cent increase in the City's tax rate would raise approximately $148,000 which would cover a debt payment of $1.8 million. He also said that a one -cent tax rate would amount to $8.00 more a year for the average $80,000 home owner in Paris, and the City's tax rate would continue to be lower than other Texas cities of comparable size. Mayor Hashmi suggested the Council immediately implement a city -wide drainage improvement plan to be financed by lowering the required minimum reserves from the current five months of operating expenses to four months, which would free approximately $1.84 million for drainage improvement. He said during the next budget year he would like for Council to consider raising $148,000 a year by an increase in the City' tax rate by one cent, enough to support debt of $2.1 million a year to be applied toward improving the drainage system. A Motion to reduce the general fund reserves from five months to four months was made by Mayor Hashmi and seconded by Council Member Clifford. Motion carried, 6 ayes — 0 nays. 16. Discuss and act on ORDINANCE NO. 2016 -012: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS; PROVIDING FOR THE SALE OF REAL PROPERTY AND BUILDING LOCATED AT 811 BONHAM STREET IN THE CITY OF PARIS AND BEING ALL THAT CERTAIN TRACT OF LAND SITUATED IN THE CITY OF PARIS, LAMAR COUNTY, TEXAS, A PART OF THE ASA JARMAN SURVEY, ABSTRACT NO. A PART OF THE 2.62 ACRE TRACT CONVEYED TO THE CITY OF PARIS BY DEED RECORDED IN VOLUME 541, PAGE 568 OF THE LAAMR COUNTY DEED RECORDS AND BEING FURTHER DESCRIBED HEREIN; PROVIDING A REPEALER CLAUSE; PROVIDING A SEVERABILITY CLAUSE; PROVIDING A SAVINGS CLAUSE; AND PROVIDING AN EFFECTIVE DATE. Mr. Godwin reported that the City advertised for bids on the sale of the old police station and health department. He said the City received no bids on the health facility, but received one qualified bid on the old police department. He said the bid was for $1.00 and due to extensive asbestos present in the building, its effective market value was zero. Mr. Godwin recommended accepting the bid. A Motion to approve this item was made by Mayor Hashmi and seconded by Council Member Lancaster. Motion carried, 6 ayes — 0 nays. Regular Council Meeting May 16, 2016 Page 6 17. Receive presentation from NewGen Strategies & Solutions, LLC regarding the 2016 Water and Wastewater Cost of Service Study. Chris Ekrut from NeGen Strategies & Solutions presented the water and wastewater cost of service study. In summary, Mr. Ekrut told the Council that the current rates for non - contract customers were determined to be sufficient to generate the necessary revenue need for the fund and no rate change was being requested. 18. Discuss and act on ORDINANCE NO. 2016 -013: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, APPROVING A NEGOTIATED SETTLEMENT BETWEEN THE ATMOS CITIES STEERING COMMITTEE ( "ACSC ") AND ATMOS ENERGY CORP., MID -TEX DIVISION REGARDING THE COMPANY'S 2016 RATE REVIEW MECHANISM FILINGS; DECLARING EXISTING RATES TO BE UNREASONABLE; ADOPTING TARIFFS THAT REFLECT RATE ADJUSTMENTS CONSISTENT WITH THE NEGOTIATED SETTLEMENT; FINDING THE RATES TO BE SET BY THE SETTLEMENT TARIFFS TO BE JUST AND REASONABLE AND IN THE PUBLIC INTEREST; REQUIRING THE COMPANY TO REIMBURSE ACSC'S REASONABLE RATEMAKING EXPENSES; DETERMINING THAT THIS ORDINANCE WAS PASSED IN ACCORDANCE WITH THE REQUIREMENTS OF THE TEXAS OPEN MEETINGS ACT; ADOPTING A SAVINGS CLAUSE; DECLARING AN EFFECTIVE DATE; AND REQUIRING DELIVERY OF THIS ORDINANCE TO THE COMPANY AND THE ACSC'S LEGAL COUNSEL. Mr. Anderson explained Atmos made a filing request for additional revenues from its customers system wide and negotiations between Atmos and ACSC resulted in a $5.5 million reduction in the requested revenues by Atmos. Mr. Anderson said the ordinance reflected the reduced proposed rate and the typical residential customer would see a $1.26 per month increase and the typical commercial customer would see a monthly increase of $3.81. A Motion to approve this item was made by Mayor Hashmi and seconded by Council Member Trenado. Motion carried, 6 ayes — 0 nays. 19. Discuss and act on RESOLUTION NO. 2016 -018: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS IN SUPPORT OF DEDICATION OF A PORTION OF U.S. HIGHWAY 82 FROM THE 4200 BLOCK OF LAMAR AVENUE IN THE CITY OF PARIS EASTWARD TO THE LAMAR COUNTY LINE AS THE "TROOPER JEFFREY NICHOLS MEMORIAL HIGHWAY." A Motion to approve this item was made by Council Member Drake and seconded by Council Member Clifford. Motion carried, 6 ayes — 0 nays. 20. Discuss and act on AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, CREATING A MUNICIPAL SETTING DESIGNATION WITHIN THE CITY'S EXTRATERRITORIAL JURISDICTION; PROVIDING A PENALTY Regular Council Meeting May 16, 2016 Page 7 CLAUSE; PROVIDING A SAVINGS CLAUSE; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. Jerry McDaniel introduced Bob Ferbend of Weaver Boos, who said the City had owned a landfill since 1961 and that it was still not closed. Mr. Ferbend said contaminants had been discovered in the groundwater on an adjoining property and that the contaminants were upstream from the landfill and included elements not typically associated with landfill operations, so they appear to be local generated. Mr. Ferbend explained the rising expenses associated with remediating issues. Following additional information, Mr. Godwin said in order to create a municipal setting designation, which means ground from the designated property may not be used for potable water the City would have to pass an Ordinance. Mayor Hashmi asked if this was legal and acceptable and Ms. Harris answered in the affirmative. Mr. Godwin said there were a couple of technical issues remaining and staff was asking that this item be tabled to the next meeting. A Motion to table this item was made by Mayor Hashmi and seconded by Council Member Drake. Motion carried, 6 ayes — 0 nays. 21. Discuss and act on ORDINANCE NO. 2016 -014: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, AMENDING ARTICLE II, CHAPTER 23, "CITY LAKES ", OF THE PARIS CODE OF ORDINANCES, BY AMENDING SECTION 23.28, CAMPING, AS HERETOFORE AMENDED; PROVIDING A SAVINGS CLAUSE; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. Mr. Godwin said the Lake Crook Citizens Committee recommended allowing overnight camping in designated areas with a permit. Council Member Drake inquired if there was going to be a fee and if the gate would be a locked at a certain time. Mr. Godwin said there would be no fee, but a permit would be required and that the gate would be locked at a specific time. A Motion to approve this item was made by Mayor Hashmi and seconded by Council Member Lancaster. Motion carried, 6 ayes — 0 nays. 22. Discuss and act on a request from the Lamar County Humane Association to allow for donations on water bills for the association. Mr. Anderson said a request had been made for the City to collect donations for the Lamar County Humane Association through the City's utility bills in the same way the City collects for Keep Paris Beautiful and Trail de Paris. He said the cost to modify the utility bills to add the Humane Association would be approximately $375.00 A Motion to approve this item was made by Council Member Drake and seconded by Council Member Lancaster. Motion carried, 6 ayes — 0 nays. Regular Council Meeting May 16, 2016 Page 8 23. Discuss and act on extension of the Home Loan Program; and discuss development of expanding the program into downtown. Mayor Hashmi said he and the city manager recently met with four local banks about extending the low interest loans for property owners with deteriorating homes. He explained the process by which the City had set aside money use for dilapidated structures allowing for a guarantee of $2,500 toward $5,000 the banks were loaning to property owners, should there be a default. He said the program had been successful and that no one had defaulted on their loans. Mayor Hashmi also said they discussed the possibility of doing something similar for downtown buildings. Mr. Godwin said for buildings downtown owners could possibly get loans for sprinkler systems, new roofs and abatement of asbestos. Mayor Hashmi said after further discussions, they would bring something back to the Council. Mayor Hashmi said the banks want a specific employee assigned to the home improvement program and want it advertised. It was a consensus of City Council to extend the Home Improvement Loan Program. 24. Convene into Executive Session pursuant to Section 551.071 of the Texas Government Code, Consultation with Attorney to receive legal advice from the City Attorney about pending or contemplated litigation and /or on matters in which the duty of an attorney to his client under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas, clearly conflict with this chapter, as follows: Glick d/b /a Tri-State Iron & Metal v. City of Paris. Mayor Hashmi convened City Council into executive session at 6:33 p.m. 25. Reconvene into open session and possibly take action on those matters discussed in Executive Session. Mayor Hashmi reconvened City Council into open session at 6:44 p.m. 26. Consider and approve future events for City Council and /or City Staff pursuant to Resolution No. 2004 -081. Mr. Godwin announced this was National EMS Week and that Council Member Frierson wanted to let everyone know there was a Day of Poverty Event scheduled at Oak Park Methodist Church for May 26 and everyone would be receiving an invitation. Mr. Godwin also asked Council to let him know if any one of them would be willing to serve as Council representative on the Airport Development Committee. Regular Council Meeting May 16, 2016 Page 9 27. Adjournment. There being no further business, a Motion to adjourn was made by Mayor Hashmi and was seconded by Council Member Clifford. Motion carried, 6 ayes — 0 nays. The meeting was adjourned at 6:45 p.m. NICE ELLIS, CITY CLERK