2006-03-27 CITY COUNCIL REGULAR MEETING MINUTESMINUTES OF A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF
PEARLAND, TEXAS, HELD ON MARCH 27, 2006, AT 7:30 P.M., IN THE COUNCIL
CHAMBERS, CITY HALL, 3519 LIBERTY DRIVE, PEARLAND, TEXAS.
Mayor Reid called the meeting to order at 7:45 p.m. with the following present:
Mayor
Mayor Pro -Tem
Councilmember
Councilmember
Councilmember
Councilmember
City Manager
City Attorney
City Secretary
Tom Reid
Kevin Cole
Richard Tetens
Woody Owens
Larry Marcott
Steve Saboe
Bill Eisen
Darrin Coker
Young Lorfing
Others in attendance: Assistant City Manager Nick Finan; Assistant City Manager Mike
Hodge; Executive Director of Economic Development Corporation Fred Welch; Police
Chief J.C. Doyle; City Engineer Doug Kneupper; Director of Finance Claire Manthei;
Utility Billing Services Supervisor Meg McNulty; Public Works Director Danny Cameron;
EMS Director Jeff Sundseth; Purchasing Officer Gordon Island; Project Director Joe
Wertz; and Acquisition Manager Al Hague.
The invocation was given by Mayor Pro -Tem Cole and the Pledge of Allegiance was led
by Police Chief J.C. Doyle.
MAYOR'S ACTIVITY REPORT
Mayor Reid reported on March 15, he attended the Brazoria County Cities Association's
Monthly Meeting; March 16, attended the Gulf Coast Water Authority Board of Directors
Meeting; March 20, attended the Council Agenda Meeting, joined Fred Welch in an
Economic Development Meeting, attended the Pearland District Education Improvement
Monthly Meeting, attended a Council Workshop, and attended a Public Hearing with
Council and Planning and Zoning; March 21, he attended the H -GAC Monthly Board of
Directors Meeting and met with Brazoria County Alliance members; March 22, gave the
Mayor's State of the City and attended the Pearland Arts League Monthly Board
Meeting; March 23, attended the Chamber Leadership Council, attended the Harris
County Engineer's, Art Story, Presentation before the Houston Engineer Society, and
attended a Workshop between Pearland Council and Alvin Independent School District;
March 24, attended the H -GAC / Transportation Policy Council Board of Directors
Meeting and attended the HGAC Annual Awards Banquet; March 25, Participated in the
Adult Reading Center Red Hat Event; March 27, met with Bill Eisen, Fred Welch and
Jeff Brewer with CBL & Associates Properties, Inc. and conducted the Development
Authority Board of Directors Meeting.
Page 1 of 15 — 3/27/2006
Mayor Reid asked candidates for the upcoming Election to introduce themselves
Helen Beckman stated she is running for City Council Position No. 2.
Randy Patro stated he is running for City Council Position No. 4.
Carol Artz stated the Chamber of Commerce Business Expo is April 6, 2006. She
would like to invite everyone to attend and see some of the services and products that
Pearland has and is continuing to obtain.
Mayor Reid stated he would like to recognize audience members Dr. William H
Lindemann, San Jacinto Chancellor, and Marie Flickinger of San Jacinto Community
College Board Member.
Mayor Reid presented a proclamation to Judy Perkins of the Child Protective Services
Board, proclaiming April 2006 "Child Abuse Prevention Month".
Judy Perkins stated she is representing the Child Protective Services Board to which
she was appointed by Commissioner Jack Harris. Proclamations do not help in the
prevention of child abuse but they do help make people aware that it is a problem. She
thanked Mayor Reid for setting aside the month of April to bring attention to the
problem.
Mayor Reid stated he would like to highlight the Red Hat event at the Adult Reading
Center held March 25, 2006.
COUNCIL ACTIVITY REPORTS
Councilmember Tetens passed on giving a report.
Councilmember Owens reported he is running for the King of Pearland. The person is
voted King or Queen of Pearland based on the total amount of money they are able to
raise in donations.
Mayor Pro -Tem Cole reported he attended the Red Hat Luncheon at the Adult Reading
Center and it was amazing. It is his opinion that, with the Mayor's proclamation for
Child Abuse, it is an appropriate time to state that the City of Pearland needs to look at
getting Ordinances in place that control where sex offenders are allowed to live and
work.
Councilmember Marcott reported he attended the Paws in the Park presented by the
Parks Department. The Parks Department is doing a wonderful job involving the
community in the things they present and should be congratulated for a job well done.
Page 2 of 15 — 3/27/2006
Councilmember Saboe stated he would like to thank Carol Artz and the Chamber of
Commerce for sponsoring the GovLink Forums. He thanked Mayor Reid for his State of
the City and stated it is easy to get excited about the growth and community in
Pearland.
CITY MANAGER'S REPORT
City Manager Bill Eisen reported the Council will be attending a meeting with the Board
of Trustees for the Pearland Independent School District Wednesday, April 5, 2006, to
discuss common interests. City Council met with the Board of Trustees for the Alvin
Independent School District Thursday, March 23, 2006, to discuss future mutual growth
and interests.
CITIZENS: None
DOCKETED PUBLIC HEARING: None
CONSENT AGENDA:
A. CONSIDERATION AND POSSIBLE ACTION — APPROVAL OF MINUTES:
1. Minutes of the March 13, 2006, Regular Council Meeting held at 7:30 p.m.
2. Minutes of the March 20, 2006, Special Council Meeting held at 7:00 p.m.
B. CONSIDERATION AND POSSIBLE ACTION — SECOND AND FINAL
READING OF ORDINANCE NO. 509-821 — AN ORDINANCE OF THE CITY
COUNCIL OF THE CITY OF PEARLAND, TEXAS, AMENDING ORDINANCE
NO. 509, THE LAND USE AND URBAN DEVELOPMENT ORDINANCE OF THE
CITY OF PEARLAND, TEXAS, FOR THE PURPOSE OF CHANGING THE
CLASSIFICATION OF CERTAIN REAL PROPERTY, LOCATION BEING
TOWER SHELTER AND COMMUNICATION EQUIPMENT PERSONAL
PROPERTY, BEING OUT OF LOT 5, JENKINS SUBDIVISION, ABSTRACT 111,
PERRY AND AUSTIN SURVEY, CITY OF PEARLAND, BRAZORIA COUNTY,
TEXAS (GENERALLY LOCATED ON THE NORTH SIDE OF FM 518
(BROADWAY STREET), AND EAST OF LONGWOOD DRIVE) (ZONE CHANGE
APPLICATION NO. 2006-11S) FOR A SPECIFIC USE PERMIT FOR A
COMMERCIAL COMMUNICATIONS TOWER IN THE COMMERCIAL DISTRICT
(C(S)), AT THE REQUEST OF CRICKET COMMUNICATIONS, INC.,
APPLICANT FOR CINGULAR WIRELESS, OWNER, PROVIDING FOR AN
AMENDMENT OF THE LAND USE DISTRICT MAP; CONTAINING A SAVINGS
CLAUSE, A SEVERABILITY CLAUSE, AN EFFECTIVE DATE AND OTHER
PROVISIONS RELATED TO THE SUBJECT. Mr. Nick Finan, Assistant City
Manager.
Page 3 of 15 — 3/27/2006
C. CONSIDERATION AND POSSIBLE ACTION — SUBDIVISION ACCEPTANCE
OF THE LAKES OF HIGHLAND GLEN SECTION 11. Mr. Doug Kneupper, City
Engineer.
D. CONSIDERATION AND POSSIBLE ACTION — FIRST AND ONLY READING
OF ORDINANCE NO. 1260 — AN ORDINANCE OF THE CITY COUNCIL OF
THE CITY OF PEARLAND, TEXAS, DETERMINING A PUBLIC CONVENIENCE
AND NECESSITY TO ACQUIRE EASEMENTS FOR THE CONSTRUCTION OF
DRAINAGE IMPROVEMENTS ON CERTAIN REAL PROPERTY DESCRIBED
HEREIN; AUTHORIZING THE CITY ATTORNEY, OR HIS DESIGNEE, AND
OTHER CITY OFFICIALS TO TAKE SUCH ACTIONS AS ARE NECESSARY TO
ACQUIRE PROPERTY, LOCATED WITHIN THE CITY, BY DONATION,
PURCHASE, OR BY THE EXERCISE OF THE POWER OF EMINENT DOMAIN;
AND DECLARING AN EMERGENCY AS THE CONSTRUCTION OF
MUNICIPAL IMPROVEMENTS BEARS DIRECTLY UPON THE HEALTH,
SAFETY AND WELFARE OF THE CITIZENRY; AND PROVIDING AN
EFFECTIVE DATE. Mr. Darrin Coker, City Attorney.
Councilmember Tetens made the motion, seconded by Councilmember Saboe, to adopt
Consent Agenda Items A through D as presented on the Consent Agenda.
Voting "Aye" Councilmembers Tetens, Owens, Cole, Marcott, and Saboe.
Voting "No" None.
Motion Passed 5 to 0.
NEW BUSINESS
COUNCIL ACTION — RESOLUTION NO. R2006-35 — A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF PEARLAND, TEXAS, AUTHORIZING THE CITY
MANAGER OR HIS DESIGNEE TO ENTER INTO AN INTERLOCAL AGREEMENT
WITH BRAZORIA COUNTY FOR COOPERATION IN THE CONSTRUCTION OF NEW
THOROUGHFARES. Mr. Mike Hodge, Assistant City Manager.
Councilmember Owens made the motion, seconded by Councilmember Tetens, to
approve Resolution No. R2006-35.
City Manager Bill Eisen stated this Resolution was recently on a previous Agenda and
was passed to a later date due to issues brought by up Council during the discussion.
Assistant City Manager Mike Hodge stated the Interlocal Agreement has been revised
to remove any reference to CR 403 to allow future discussion with Brazoria County
regarding the road at a later date. Discussions have been held with Brazoria County
representatives and they are interested in meeting with Council regarding CR 403.
Page 4 of 15 — 3/27/2006
Revisions have also been made to the section including Bailey Road between CR 1128
and Veterans. As per request by Council, the language including the safety revisions
was removed and replaced with more general language to allow money to be spent on
drainage improvements if needed.
Mayor Pro -Tem Cole asked if the new language included in the Interlocal Agreements
stating the City will provide up to $8.5 million for miscellaneous safety improvements on
or associated with Bailey Road, suffices the County even though it does not specifically
state drainage.
Assistant City Manager Mike Hodge stated the language is acceptable to Brazoria
County.
Councilmember Saboe asked if Judge Willy was quoted as stating TxDOT will provide
the funding for the SH 288 grade separation project.
Assistant City Manager Mike Hodge stated that he has not seen anything in writing, but
that is his understanding of the agreement.
Mayor Reid asked if the agreement for the funding from TxDOT could be gotten in
writing.
Assistant City Manager Mike Hodge stated that he would work on getting the agreement
in writing.
Mayor Pro -Tem Cole stated he does not agree with comments that the City of Pearland
is not concerned about money and effort spent on CR 403. Comments have been
made that the City does not seem to care about money spent on the road and he does
not feel this is the case.
Voting "Aye" Councilmembers Saboe, Marcott, Cole, Owens, and Tetens.
Voting "No" None.
Motion Passed 5 to 0.
Mayor Reid, with concurrence of Council moved to New Business Item No. 3.
COUNCIL ACTION — RESOLUTION NO. R2006-41 — A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF PEARLAND, TEXAS, AUTHORIZING THE CITY
MANAGER OR HIS DESIGNEE TO ENTER INTO AN ENGINEERING CONTRACT
WITH SNOWDEN ENGINEERING FOR DESIGN SERVICES ASSOCIATED WITH
THE BAILEY/VETERANS WATER LINE PROJECT. Mr. Bill Eisen, City Manager,
Page 5 of 15 — 3/27/2006
Mayor Pro -Tem Cole made the motion, seconded by Councilmember Owens, to
approve Resolution No. R2006-41.
City Manager Bill Eisen stated the Resolution is an engineering contract for the design
of sections of large waterlines on both the proposed new section on Bailey Road and a
tie-in on Veterans Road to existing waterlines. The proposed firm is Snowden
Engineering and the projected fee is $61,233.60.
Councilmember Saboe stated he appreciated Staff's efforts to involve a local firm and
their willingness to work with Mr. Snowden and give his company a chance.
Councilmember Marcott stated he has concerns with the choice of firms due to prior
difficulties with the firm on previous projects. If the project is approved, Staff needs to
monitor the progress and be sure it is stays on target.
Mayor Reid stated he believes the project is fairly simple and will not require extensive
efforts.
City Manager Bill Eisen stated the project should take approximately six weeks to
completion.
Voting "Aye" Councilmembers Tetens, Owens, Cole, Marcott, and Saboe.
Voting "No" None.
Motion Passed 5 to 0.
Mayor Reid, with concurrence of Council moved back to New Business Item No. 2.
COUNCIL ACTION — RESOLUTION NO. R2006-40 — A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF PEARLAND, TEXAS, AUTHORIZING THE CITY
MANAGER OR HIS DESIGNEE TO ENTER INTO A CONTRACT WITH AL
HAGUE FOR REAL ESTATE SERVICES. Mr. Bill Eisen, City Manager.
Councilmember Marcott made the motion, seconded by Mayor Pro -Tem Cole, to
approve Resolution No. R2006-40.
City Manager Bill Eisen stated this Resolution is an agreement to continue to allow
Acquisition Manager Al Hague to provide hourly services on a contract basis to the City
of Pearland after his retirement.
Councilmember Owens asked what the exact date for the contract to begin will be to
verify that the proper liability insurance required by Al Hague has been obtained.
Page 6 of 15 — 3/27/2006
Acquisition Manager Al Hague stated that he does not have the insurance at this time,
but is expecting to retire at the end of April 2006. He will be getting the insurance and
other necessities prior to his retirement.
City Manager Bill Eisen stated that the City would not use Al Hague's services on any
project until all insurance requirements had been obtained.
Voting "Aye" Councilmembers Saboe, Marcott, Cole, Owens, and Tetens.
Voting "No" None.
Motion Passed 5 to 0.
COUNCIL ACTION — RESOLUTION NO. R2006-43 — A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF PEARLAND, TEXAS, AUTHORIZING THE CITY
MANAGER OR HIS DESIGNEE TO ENTER INTO A DEVELOPMENT AGREEMENT
WITH SHS PARTNERS. Mr. Bill Eisen, City Manager.
Councilmember Saboe made the motion, seconded by Mayor Pro -Tem Cole, to approve
Resolution No. R2006-43 as amended.
City Manager Bill Eisen stated City Council held a Workshop with the Developer of
Riverstone Ranch where various proposals were brought to the City with regard to
development of property adjacent to the Green Tee Subdivision. Based on a draft
agreement submitted to Council, several changes have been made to meet Council
requests. The changes are a reduction of scope of the Barry Rose Road extension
from a four -lane to a two-lane road. Wording has been included to prevent the density
of the development not to exceed 3.2 units per acre and a provision was included to
state the developer will donate parkland.
Alan Mueller, LJA Engineering, addressed Council and stated he is representing SHS
Partners. He believes that the developer has responded to Council's requests in a
Positive manner. Approving the agreement tonight will finalize several of the issues that
have been previously discussed, but also become a trigger to be used by both parties
as a framework. The agreement sends a message to San Jacinto College that
Pearland wants and welcomes them into the City. Approving the agreement will assure
the school district and allow them to move forward with planning and establishing time-
lines for Hughes Road. Without approving the agreement, all parties involved are
unable to move forward with plans and goals that will lead to improvements.
Mayor Reid stated there are several areas in the agreement that could use a little
scrutiny and clean-up work prior to the second reading if it is approved. He was not
aware that discussions regarding potentially annexing this into Municipal Utility District
No. 28 had occurred.
Page 7 of 15 — 3/27/2006
Alan Mueller, LJA Engineering, stated that in the original version MUD 28 was not
specifically included. Due to financial capacity that has been voted into MUD No. 28,
there is a limit to how much property can be added into that particular district. The
revised version includes a possible annexation into MUD 28 or a similar in -city MUD,
but with its size, the property can possibly sustain itself without having to be annexed.
Mayor Reid stated he feels that it would be good for a piece of property in Pearland to
become more productive in providing taxes.
Councilmember Marcott stated he is concerned that the City is getting the cart ahead of
the horse and would like to know where the discussions with San Jacinto College and
Alvin Community College stand.
Dr. Lindemann, San Jacinto College Chancellor, stated discussions are happening with
Alvin and the University of Houston. It is his hope that they can reach an agreement but
can't state what the outcome will be. The Alvin Mayor and City Manager have been
very supportive in their goal to provide further education.
Mayor Reid asked Dr. Lindemann what the interests in the property for San Jacinto
College would be.
Dr. Lindemann, San Jacinto College Chancellor, stated obtaining the land would enable
them to leverage their resources into the construction of an annex to their South facility.
A partnership agreement has to be reached with the City of Alvin prior to this step.
Councilmember Marcott stated he wanted clarification. The City of Pearland is taking a
big step on a verbal statement that SHS Partners will work with San Jacinto College and
that might not come to fruition.
Brief discussion ensued between Council, Allan Mueller, LJA Engineering, and Dr.
Lindemann, San Jacinto College Chancellor, regarding the agreement.
Councilmember Saboe asked if the 1600 single-family residences occur, does the
development still stay within the confines of R-1 zoning.
Alan Mueller, LJA Engineering, stated the acreage within the agreement is worked out
so that the requirements for R-1 zoning are met.
Discussion ensued between Council and Alan Mueller, LJA Engineering, regarding the
development plan.
Councilmember Marcott stated he feels the time for in -city MUDs is done. It was
originally developed as an incentive for developers to come to Pearland, but the City
has reached a point where developers are coming with or without incentives. He is
concerned that down the road, Legislature regarding appraisal caps will take control
Page 8 of 15 — 3/27/2006
away from the City. He has real concerns about MUDs and what they are doing to the
taxes.
Allan Mueller, LJA Engineering, stated that the developer has taken on several projects,
that he would not normally have to do, to make the project look more attractive to
Council and the MUD would help fund these projects.
Mayor Reid stated he would rather deal with one individual trying to develop land than
deal with several individuals trying to develop the same land. In his opinion the
developer is trying to work with Council.
Councilmember Owens stated he is in agreement with Mayor Reid. He has been
fortunate to be on the Board of Governors for Alvin Community College and being
appointed to the Higher Education Committee that started trying to bring the University
of Houston to Pearland. He does also agree with Larry that there are moving parts that
need to be looked at, but tonight Council has the opportunity to stop one of the moving
parts in order to make the plan move forward. It is his opinion that the development is a
good plan overall and it is up to this Council to make it move forward.
Dr. Lindemann, San Jacinto College Chancellor, stated he is confident the required
agreements to move the plan forward are moving in a positive direction, but he can't
stand before Council and make any promises. He is willing to provide Council with a
honest update quarterly and will keep the City Manager continuously updated.
Discussion ensued between Council, Mayor Reid, and Dr. Lindemann regarding the
Resolution.
Councilmember Owens left Council Chambers at 8:53 p.m
John Santasiero, SHS Partners, stated, in December agreements with San Jacinto
College, they were unable to move forward due to the agreement not being met with
Alvin. If the agreement is approved, it will enable him to move forward with negotiations
with the school district to finalize their plan. This can be completed within approximately
90 days.
Discussion ensued between Council, Mayor Reid, City Manager Bill Eisen, John
Santasiero, SHS Partners, Dr. Lindemann, San Jacinto College Chancellor, and Allan
Mueller, LJA Engineering regarding the Resolution.
Mayor Pro -Tem Cole asked Mr. Santasiero if he would be able to extend the time period
for agreements to be reached from 12 months to 18 months. If legislative action is
required for agreements to be reached between San Jacinto College and the City of
Alvin, it would not exceed the 18 -month timeframe.
John Santasiero, SHS Partners, stated he would be willing to agree to an 18 month
timeframe.
Page 9 of 15 — 3/27/2006
Mayor Reid asked Maria Flickinger of San Jacinto College Board to state her
perspective.
Maria Flickinger, San Jacinto College Board, stated, a month ago when she met with
Council, she had planned to speak with Harris County Commissioner EI Franco Lee.
She had the conversation with him and he stated he thought an agreement could be
reached. The Chancellor would not be at the meeting if he was not 150% behind the
plans. The City Council can be as helpful and effective in getting the agreements
reached and the plans started.
Mayor Reid stated that the college campus is the key to the development but it is also
important to work with one developer on the land.
Councilmember Saboe made the motion, seconded by Mayor Pro -Tem Cole, to approve
Resolution No. R2006-43 as amended to modify the definition of Commitment Period in
Article No. 1 Section 1.1 be changed from 12 months to 18 months.
Voting "Aye" Councilmembers Tetens, Cole, Marcott, and Saboe
Voting "No" None.
Motion Passed 4 to 0, with Councilmember Owens absent.
Mayor Reid called for the vote on the original motion as amended.
Voting "Aye" Councilmembers Tetens, Cole, Marcott, and Saboe.
Voting "No" None.
Motion Passed 4 to 0, with Councilmember Owens absent.
COUNCIL ACTION — RESOLUTION NO. R2006-42 — A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF PEARLAND, TEXAS, AWARDING A UNIT PRICE
SERVICE CONTRACT FOR BILLING SERVICES. Mr. Bill Eisen, City Manager.
Councilmember Tetens made the motion, seconded by Mayor Pro -Tem Cole, to
approve Resolution No. R2006-42.
Councilmember Owens returned to Council Chambers at 9:27 p.m.
City Manager Bill Eisen stated because of the high volume of bills that are generated by
the Water Department, the City currently uses a billing service. Over time, there have
been issues with the service of the company currently used. Bids were requested and
Page 10 of 15 — 3/27/2006
the low bidder would save the City a substantial amount in comparison to the current
contract.
Mayor Pro -Tem Cole asked what has been done to research the firm that has been
selected as the new vendor.
Utility Billing Services Supervisor Meg McNulty stated the firm is based out of New York
but the printing will be done in Texas.
Brief discussion ensued between Council and Utility Billing Services Supervisor Meg
McNulty regarding details of the Resolution.
Mayor Reid asked Finance Director Claire Manthei if she was comfortable with the
vendor and services.
Finance Director Claire Manthei stated that she was comfortable with the selection
Councilmember Saboe asked that the final agreement state specific performance
measures and report cards for the vendor.
City Manager Bill Eisen stated he is in agreement and will work to include the
information in the agreement.
Utility Billing Services Supervisor Meg McNulty stated the vendor has a commitment to
have printed bills out to the citizens 24 hours from the time the information is received
from the City.
Voting "Aye" Councilmembers Tetens, Owens, Cole, Marcott, and Saboe.
Voting "No" None.
Motion Passed 5 to 0.
Mayor Reid, with concurrence of Council, moved to New Business Item No. 7.
FIRST READING OF ORDINANCE NO. 1261 — AN ORDINANCE OF THE CITY
COUNCIL OF THE CITY OF PEARLAND, TEXAS, APPROVING THE ANNEXATION
BY BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 28 OF 58.0994 ACRES
OF LAND. Mr. Darrin Coker, City Attorney.
Councilmember Owens made the motion, seconded by Councilmember Saboe, to
approve Ordinance No. 1261 on its first reading.
City Manager Bill Eisen stated the item is regarding the annexation of two tracts of land
into Municipal Utility District No. 28. The item was included on a recent Council Agenda
Page 11 of 15 — 3/27/2006
and was voted down, but is being placed back on the agenda at the request of two
Councilmembers.
Mayor Pro -Tem Cole stated he will be abstaining from the vote. He performed
consulting work for a 10.5 acre tract that is being annexed in the MUD and currently has
an affidavit on file with the City.
Mayor Pro -Tem Cole removed himself from Council Chambers at 9:32 p.m.
Mayor Reid stated Mayor Pro -Tem Cole is conforming with the new state requirement of
Conflict of Interest.
Councilmember Marcott stated, as he stated the last time the item was voted down, he
feels that there are enough MUDs in the City and adding to them is taking the tax
money away from the City. He does not see a lot that is being gained by the citizens of
Pearland. It was originated as an incentive to bring development to Pearland but
developers are now willing to come to Pearland with or without the incentive. It will
eventually cost Pearland money and it is time to sit down and say that it is enough.
Mayor Reid stated this is not an easy piece of property to develop and it is time to do
something to bring it onto the tax roll of the City. He is not opposed to having a
Workshop to discuss no longer having MUDs but at this time the property meets the
City's policy regarding the ability to be included in a MUD.
Councilmember Marcott stated he is concerned about future legislation that will have a
negative effect on Pearland and the Taxpayers.
Councilmember Tetens stated he feels it is wrong to subsidize developers and not get
any return or gain. He feels it is time to look at the situation and no longer have in -city
MUDs.
Councilmember Owens stated he is the one that brought the items back to the table and
since previous discussions, has done quite a bit of research on the issue. His view is
that MUD 28 is already on the books. The City has limited the amount of land that can
be included in any MUD and has installed a declining rate on the 15 cents. As the value
in the MUD district increases and the amount of tax is lowered, so lowers the 15 cents.
The 15 cents is not constant through 30 years of bonds. He concurs with
Councilmember Marcott that if the City put 15 cents into MUD 28 constantly the City
would be rebating the MUD about $64,000 a year. The City currently collects $13,200
from the vacant land that would be annexed into MUD 28. If you take the gross
property tax of $289,520 and take out the present property tax and the 15 cent rebate
on a yearly basis, the City is still receiving $211,865 into the property tax.
Approximately 10 acres of commercial development that will be included in that, will
generate a revenue of $8,000,000 a year. The sales tax generated from that will be
approximately $120,000 a year, which will almost double what the City gets by paying
Page 12 of 15 — 3/27/2006
the 15 cents. By annexing the land into the MUD, the City will come in with revenue of
$331,865 a year. Another consideration is a thoroughfare plan to build a road that goes
from Country Club Drive to Pearland Parkway which will cost approximately $1.6 million,
which Pearland will contribute about $300,000. Part of the request to go into the MUD
was because they agreed to pay the $1.3 million to build the roadway. According to
Pearland traffic studies, the new roadway will take about 3,000 cars daily on the new
roadway. Mr. Owens stated he does not have a vested interest or any type of gain from
MUD 28, but he feels it is a good development.
Lengthy discussion ensued between Council and Mayor Reid regarding the Ordinance
John Kelly, Developer Providence Village, stated he does not have a hard copy, but the
agreement for the Chili's to be built has been signed by both parties. He will have Pad
A for the project ready by May 1, 2006. He is requesting to enter into the MUD because
he has to have the infrastructure in place by September 1, 2006 or the contract can be
cancelled. After all the concessions requested by Council, the profit for the
development was dramatically reduced. Annexation into the MUD was an after thought
that came about as a result of the reduction in profit from the changes to meet Council's
wishes. The project will begin around the first of next year and take about 4 months to
complete.
Discussion ensued between Council, Mayor Reid, City Manager Bill Eisen, and John
Kelly, Developer Providence Village regarding the development plan.
Voting "Aye" Councilmembers Owens and Saboe
Voting "No" Councilmembers Tetens and Marcott.
In order to break the tie vote, Mayor Reid cast his vote.
Voting "Aye" Mayor Reid.
Motion Passed 3 to 2, with Mayor Pro -Tem Cole absent.
Mayor Pro -Tem Cole returned to Council Chambers at 10:15 p.m.
Councilmember Owens left Council Chambers at 10:15 p.m.
Mayor Reid, with concurrence of Council moved back to New Business Item No. 6.
COUNCIL ACTION — REGARDING APPOINTMENT TO PARKS AND RECREATION
BOARD. Ms. Rhonda Cyrus, Parks & Recreation Director,
Page 13 of 15 — 3/27/2006
Councilmember Tetens made the motion, seconded by Councilmember Saboe, to
appoint Edward J. Miller Sr. to the Parks & Recreation Board with an term expiring
November 1, 2008.
Voting "Aye" Councilmembers Tetens, Cole, Marcott, and Saboe.
Voting "No" None.
Motion Passed 4 to 0, with Councilmember Owens absent.
COUNCIL ACTION — RESOLUTION NO. R2006-44 — A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF PEARLAND, TEXAS, AUTHORIZING THE CITY
MANAGER OR HIS DESIGNEE TO ENTER INTO AN INTERLOCAL AGREEMENT
WITH THE PEARLAND INDEPENDENT SCHOOL DISTRICT FOR STORAGE/OFFICE
SPACE AT BERRY MILLER JR. HIGH SCHOOL. Ms. Rhonda Cyrus, Parks &
Recreation Director.
Mayor Pro -Tem Cole made the motion, seconded by Councilmember Tetens, to
approve Resolution No. R2006-44., Council had authorized additional design fees on
the Barry Miller Junior High School for a small addition to the plan that could be used by
the City. The additional space would be used for office space and storage space. The
School District took bids and the low bidder was $83,500. Council is being asked to
agree to a contract with the School District where they would construct the additional
space and the City would reimburse them for the construction cost.
Councilmember Tetens asked what the size of the additional facility will be.
Councilmember Marcott stated the paperwork states it will be 3,300 feet and asked if it
will be constructed in an existing building.
Assistant City Manager Nick Finan stated the building will be 25 by 25 square feet and
will be an add-on to another building.
Discussion ensued between Council, Mayor Reid, City Manager Bill Eisen, and
Assistant City Manager Nick Finan regarding the construction plan.
Voting "Aye" Councilmembers Tetens, Cole, Marcott, and Saboe.
Voting "No" None.
Motion Passed 4 to 0, with Councilmember Owens absent.
OTHER BUSINESS:
Page 14 of 15 — 3/27/2006
Council adjourned into Executive Session under Texas Government Code at 10:25 p.m.
to discuss the following:
EXECUTIVE SESSION UNDER TEXAS GOVERNMENT CODE
1. SECTION 551.071 - CONSULTATION WITH CITY ATTORNEY -
REGARDING PENDING LITIGATION ASSOCIATED WITH LAND USE.
Mr. Darrin Coker, City Attorney.
2. SECTION 551.087 - CONSULTATION WITH CITY ATTORNEY -
REGARDING ECONOMIC DEVELOPMENT NEGOTIATIONS. Mr. Bill Eisen,
City Manager.
NEW BUSINESS (CONTINUED):
Council returned from Executive Session at 11:25 p.m.
COUNCIL ACTION - REGARDING PENDING LITIGATION ASSOCIATED WITH
LAND USE. City Council.
No Action taken by Council.
COUNCIL ACTION - REGARDING ECONOMIC DEVELOPMENT NEGOTIATIONS.
City Council.
Councilmember Tetens made the motion, seconded by Councilmember Marcott, to
direct Staff to indefinitely suspend negotiations with CBL & Associates Properties, Inc.
Voting "Aye" Councilmembers Tetens, Cole, Marcott, and Saboe.
Motion Passed 4 to 0, with Councilmember Owens absent.
ADJOURNMENT
Meeting was adjourned at 11:26 p.m.
Minutes approved as submitted and/or corrected this the 10th day of ril 2006
O,Jng LoI!rRM
j
Secz2ary
Tom Reid
Mayor
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