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2019-09-16 CITY COUNCIL REGULAR MEETING MINUTESMINUTES OF A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS, HELD ON MONDAY, SEPTEMBER 16, 2019, AT 6:30 P.M. IN THE COUNCIL CHAMBERS, CITY HALL, 3519 LIBERTY DRIVE, PEARLAND, TEXAS. Mayor Reid called the meeting to order 6:30 p.m. with the following present: Mayor Tom Reid Mayor Pro -Tem J. David Little Councilmember Luke Orlando Councilmember Derrick Reed Councilmember Gary Moore Councilmember Adrian Hernandez Councilmember Trent Perez Councilmember Woody Owens City Manager Clay Pearson City Attorney Darrin Coker Interim City Secretary Maria Rodriguez Others in attendance: Jon Branson Deputy City Manager, Michelle Graham Director of Human Resources, John McDonald Director of Community Development, John McCarter Assistant Finance Director, Cynthia Pearson Director of Finance, Johnny Spires Police Chief, Robert Upton Director of Engineering and Capital Projects, Andrea Brinkley Assistant Director of Public Works, Joel Hardy Grants — Special Projects Administrator, Jennifer Huhn Court Administrator, Joshua Lee Communications Director, Daniel McGhinnis Chief Information Officer and Lawrence Provins Deputy City Attorney. The invocation was given by Councilmember Hernandez and the Pledge of Allegiance was led by Councilmember Reed. ROLL CALL: Mayor Tom Reid, Councilmembers Orlando, Reed, Little, Moore, Hernandez, Perez and Owens. CITIZEN COMMENTS: None. PUBLIC HEARING: None CONSENT AGENDA: A. Approval of minutes of June 17, 2019 Joint Public Hearing at 6:30 p.m. Approval of minutes of July 08, 2019 Regular Hearing at 6:30 p.m. Approval of minutes of July 15, 2019 Joint Public Hearing at 6:30 p.m. B. Consideration and Possible Action - Resolution No. R2019-232 - A Resolution of the City Council of the City of Pearland, Texas, authorizing a contract with ARKK Engineers for design services, associated with underground piping improvements at various water production facilities, in the estimated amount of $179,262.00. Page 1 of 10 C. Consideration and Possible Action - Resolution No. R2019-208 -A Resolution of the City Council of the City of Pearland, Texas, awarding a unit price service contract for utility bill printing and mailing services, to DataProse, in the estimated amount of $245,000.00, for the period of September 17, 2019 through September 16, 2020. D. Consideration and Possible Action - Resolution No. R2019-230 - A Resolution of the City Council of the City of Pearland, Texas, approving a First Amendment to Development Agreements with America Modern Green Development — ("Modern Green") for construction and maintenance of off-site and on-site infrastructure/amenities associated with the Ivy District Planned Development (generally located at the intersection of South Spectrum Boulevard and the SH 288 frontage road). E. Consideration and Possible Action - Resolution No. R2019-231 -A Resolution of the City Council of the City of Pearland, Texas, authorizing the Lower Kirby Pearland Management District ("District") to issue and sell bonds, totaling $4,100,000.00, for certain water and drainage projects (BW8 and SH 288 waterlines and regional detention land acquisition). F. Consideration and Possible Action - Resolution No. R2019-238 - A Resolution of the City Council of the City of Pearland, Texas, authorizing the conveyance of a trail and pedestrian access easement associated with the Midtown at Magnolia Planned Development, to Midtown at Magnolia Residential Community, Inc. (FM 1128 at Magnolia Parkway). G. Consideration and Possible Action - Resolution No. R2019-239 - A Resolution of the City Council of the City Of Pearland, Texas, authorizing participation in an Interlocal Agreement with the City of Manvel for the implementation and operation of an Information and Dispatch System for law enforcement and emergency communications. H. Consideration and Possible Action - Resolution No. R2019-240 - A Resolution of The City Council of the City of Pearland, Texas, repealing Resolution No. R2019-173, and authorizing the City Manager or his designee to participate in an interlocal cooperative pricing arrangement with the Houston -Galveston Area Council (HGAC) for the purchase of one (1) Vac Hunter Truck Combination, in the amount of $404,904.00 from Rush Truck Center. I. Consideration and Possible Action - Resolution No. R2019-228 - A Resolution of the City Council of the City of Pearland, Texas, rejecting any and all bids for the installation of Trafficware equipment along Bailey Road. J. Consideration and Possible Action - Resolution No. R2019-221 -A Resolution of the City Council of the City Of Pearland, Texas, authorizing participation in an interlocal agreement with Brazoria County for the rental of paving equipment from Page 2 of 10 R. B. Everett & Co., in the estimated amount of $120,000, for the period of September 17, 2019 through September 16, 2020. Councilmember Orlando made the motion, seconded by Councilmember Moore to adopt Consent Agenda Items A through J, with the exception of items C and D as presented on the Consent Agenda. Voting "Aye" Councilmember Orlando, Reed, Little, Hernandez, Moore, Perez and Owens. Voting "No" None. Motion passed 7 to 0. MATTERS REMOVED FROM CONSENT AGENDA: C. Consideration and Possible Action - Resolution No. R2019-208 - A Resolution of the City Council of the City of Pearland, Texas, awarding a unit price service contract for utility bill printing and mailing services, to DataProse, in the estimated amount of $245,000.00, for the period of September 17, 2019 through September 16, 2020. Councilmember Orlando made the motion, seconded by Councilmember Moore to approve Resolution No. R2019-208. City Manager Clay Pearson stated this item is a contract for printing and mailing services regarding City utility bills. Councilmember Hernandez asked staff if this fee was a retainer fee. City Manager Clay Pearson stated this is a best estimate based on the amount of accounts the City currently has for utilities. Voting "Aye" Councilmember Orlando, Reed, Little, Hernandez, Moore, Perez and Owens. Voting "No" None. Motion passed 7 to 0. D. Consideration and Possible Action - Resolution No. R2019-230 -A Resolution of the City Council of the City of Pearland, Texas, approving a First Amendment to Development Agreements with America Modern Green Development — ("Modern Green") for construction and maintenance of off-site and on-site infrastructure/amenities associated with the Ivy District Planned Development (generally located at the intersection of South Spectrum Boulevard and the SH 288 frontage road) Page 3 of 10 Councilmember Orlando made the motion, seconded by Councilmember Moore to approve Resolution No. R2019-230. City Manager Clay Pearson stated this is for construction and maintenance of off-site and on-site infrastructure/amenities associated with the Ivy District Planned Development. Conversation ensued between Councilmember Owens and Pearland Economic Development Corporation President Matt Buchanan regarding the financial investment from the Ivy District Developers. Voting "Aye" Councilmember Orlando, Reed, Little, Hernandez, Perez and Owens. Voting "No" Councilmember Moore. Motion passed 6 to 1. NEW BUSINESS: First Reading of Ordinance 2000M-188 - An Ordinance of the City Council of the City of Pearland, Texas, amending Ordinance No. 2000M, the zoning map of the City of Pearland, Texas, for the purpose of changing the classification of certain property, Being all of a tract or parcel of land containing 79.1925 acres of land, part of so called West'/2 of the Northeast'/4 of Section 32, also being known as Lot 3-A, situated in the H.T. & B.R.R. Company Survey, Abstract No. 525, Brazoria County, Texas. (6700 Block of McKeever Road (CR 100) Zone Change Application No. ZONE 19-00013, a request by Chad Thumann, Sideline Investments, LLC., applicant, on behalf of THV Properties, LLC, owner; for approval of a zoning change from Single-family Estate District (R -E) to Single -Family Residential -3 (R-3) and Single-family Residential -4 District (R-4); on approximately 79.1925 acres of land; providing for an amendment of the zoning district map; containing a savings clause, a severability clause, and an effective date and other provisions related to the subject. Councilmember Reed made the motion, seconded by Councilmember Moore to adopt Ordinance No. 2000M-188. Planner Mohamed Bireima stated this is for approval of a zoning change from Single-family Estate District (R -E) to Single -Family Residential -3 (R-3) and Single-family Residential -4 District (R-4), the Planning and Zoning Board recommendation is to deny this request. Councilmember Perez stated he has a personal relationship with the applicant and has spoken to the applicant in the past and supports the request due to the future land use for this area. Councilmember Hernandez asked the applicant Chad Thumann if he had any issues with putting forth the funds to provide utility coverage to that property. Applicant Chad Thumaan addressed Council and stated when this was originally brought to Council the concern was the requested use was too dense for that area and so he resubmitted with a less dense option and is prepared to cover the cost to extend utilities. Page 4 of 10 Conversation ensued between Councilmember Reed and Director of Community Development John McDonald regarding the reasons the Planning and Zoning Board has recommended Council deny the request. Councilmember Reed asked the applicant why he cannot have a single family across the whole area rather than have a split zoning. Applicant Chad Thumann stated the difference is the value of the land and cannot afford to run water lines without the revenue from part of the land being zoned to Single Family Residential R-4. Voting "Aye" Councilmember Orlando, Little, Hernandez, Moore, Perez and Owens. Voting "No" Councilmember Reed. Motion passed 6 to 1. First Reading of Ordinance No. 1023-9 - An Ordinance of the City Council of the City of Pearland, Texas, amending development and permit fees; containing a savings clause, a severability clause and a repealer clause; providing for publication and an effective date. Councilmember Little made the motion, seconded by Councilmember Moore to adopt Ordinance No. 1023-9, City Manager Clay Pearson stated this amends development and permit fees for Fiscal Year 2020 Budget. Councilmember Orlando asked staff what the net effect on revenue will be with the passing of this Ordinance. Director of Community Development John McDonald stated this should be revenue neutral and the City should break even when the cost to provide an inspection versus what is charged. Conversation ensued between Councilmember Perez, Councilmember Moore and Director of Community Development John McDonald regarding the price structure outlined on the Construction Permit Schedule. Voting "Aye" Councilmember Orlando, Reed, Little, Hernandez, Moore, Perez and Owens. Voting "No" None. Motion passed 7 to 0. First Reading of Ordinance No. 1358-18 - An Ordinance of the City Council of the City of Pearland, Texas, amending non -development usage and service fees; containing a savings clause, a severability clause, a repealer clause, providing for publication and an effective date. Councilmember Hernandez made the motion, seconded by Councilmember Moore to adopt Ordinance No. 1358-18. Page 5 of 10 City Manager Clay Pearson stated this is amending the nondevelopment usage and service fees. Assistant Finance Director John McCarter addressed Council and presented regarding the Non - Development Fee Ordinance, Tax Rate Ordinance and the proposed budget. Mayor Pro -Tem Little asked staff to describe the new definition of family that will be adopted in terms to the Parks and Recreation all day pass. Director of Parks and Recreation Chris Orlea stated it has been updated to describe a family unit to a group of individuals with a max of two adults. Councilmember Hernandez asked staff to explain how the fees for the Independence Park rentals was calculated and if those fees can be adjusted to a lower rate. Director of Parks and Recreation Chris Orlea stated those fees were calculated by polling surrounding comparable cities and based off amenities and space. Councilmember Hernandez asked for clarification on the default billing amount for water usage per gallon fee. Councilmember Perez provided direction to staff to update the Ordinance to read the default billing amount as 6,000 gallons instead of 6.000 gallons. Councilmember Moore stated he is not in support of increasing the base fee more heavily charged on businesses than it will be on residential. Councilmember Orlando stated he is not in support of the base rate increase for businesses as the primary revenue from water rates. Councilmember Moore stated he is not in support because it is not a usage fee and businesses cannot lessen their use of water and have less fees, it would be a base rate regardless of use. Councilmember Perez stated there are base fees assigned to all users and businesses use the most amount of water. Councilmember Hernandez asked if the City is in line with the American Water Work Association standard. Assistant City Manager Trent Epperson responded the rate increase is based on the meter size and how much water the meter can push. Mayor Pro -Tem Little asked staff for the justification of charging someone who is a renter a higher deposit than an someone who is an owner. City Manager Clay Pearson stated that is due to the track record of renter accounts going to collection and owners putting the responsibility on renters for past due account balances. Page 6 of 10 Voting "Aye" Councilmember Reed, Little, Hernandez, Perez and Owens. Voting "No" Councilmember Orlando and Moore. Motion passed 5 to 2. First Reading of Ordinance No. 1583 - An Ordinance adopting a tax rate of $0.741212 and levying taxes for the use and support of the Municipal Government of the City of Pearland, Texas, and providing for the interest and sinking fund of the taxable year 2019. Councilmember Moore made the motion, seconded by Mayor Pro -Tem Little to adopt Ordinance No. 1583. Assistant Finance Manager John McCarter stated this is the First Reading to adopt the new tax rate and presented to Council an overview of the tax rate. Diane Butcher, 1922 Prairie Creek, provided a Speaker Request Form but was unavailable when called to speak. Councilmember Owens stated he does support the increase in taxes in addition to the other increases in fees that are proposed. Councilmember Moore stated he is not wanting to leave the City unable to do what it needs, but at the same time there are planned tax increases yearly to pay for those items that passed at the Bond Election. He further stated the City needs to start issuing less debt and build the General Fund. Councilmember Reed stated the tax rate is getting too high and the City is still not able to perform the projects that are needed. He further stated he is not in support of the proposed Budget and would like the money spent more wisely. Councilmember Perez stated he is disappointed in the amount that gets set aside yearly to repair the streets and sidewalks and would like upcoming funds prioritized to projects needed the most. Councilmember Owens stated if this tax rate is approved there will be another tax rate increase next year based on the recurring cost of staff that were not employed a full year and will have to be worked into the budget next Fiscal year. Mayor Pro -Tem Little stated the City is creating a situation where the cost of living is too high when there are increases in the tax rate, water rates and will continue to raise taxes yearly. Voting "Aye" Councilmember Orlando, Reed, Hernandez, Moore and Perez. Voting "No" Mayor Pro -Tem Little and Councilmember Owens. Motion passed 5 to 2. Page 7 of 10 First Reading of Ordinance No. 1584 - An appropriation an Ordinance adopting a budget for the fiscal year beginning October 1, 2019, and ending September 30, 2020, and pay plans for fiscal year 2020. Councilmember Perez made a motion, seconded by Mayor Pro -Tem Little, to approve first reading of proposed Ordinance No. 1584. Assistant Finance Manager John McCarter presented to Council regarding the General Fund, Enterprise Fund, Debt Service Fund and the items not included in the proposed budget. Conversation ensued between Councilmember Hernandez and Deputy City Manager Jon Branson regarding the Billing Specialist position in the budget and the needs of the Utility Billing Department. Voting "Aye" Councilmember Orlando, Hernandez, Moore and Perez. Voting "No" Councilmember Reed, Little and Owens. Interim City Secretary Maria Rodriguez stated the motion failed with a 4-3 vote, believing a super majority vote was needed on this item. Councilmember Moore made a motion, seconded by Councilmember Owens, to reconsider Ordinance No. 1584 at the next Regular Meeting, September 30, 2019, at 6:30 p.m. City Attorney Darrin Coker stated a super majority vote is not necessary for this item, and the motion passed to approve first reading of Ordinance No. 1584. Councilmember Perez made a motion, seconded by Councilmember Moore, to withdraw the request to reconsider. Motion to withdraw request to reconsider passed unanimously 7-0. Council Action - Resolution No. R2019-235 - A Resolution of the City Council of the City of Pearland, Texas, awarding a unit supply contract for fittings, couplings and valves to MDN Enterprises, in the estimated amount of $241,444.00, for the period of September 30, 2019 through September 29, 2020. Councilmember Orlando made the motion, seconded by Councilmember Moore to approve Resolution No. R2019-235. City Manager Clay Pearson stated this is awarding a unit supply contract for fittings, couplings and valves to MDN Enterprises. Councilmember Perez recognized for the record that the bidders for this and the next two Resolutions are present at the meeting. Voting "Aye" Councilmember Orlando, Little, Hernandez, Moore, Perez and Owens. Voting "No" None. Motion passed 6-0, with Councilmember Reed absent from the Chambers. Page 8 of 10 Council Action - Resolution No. R2019-236 - A Resolution of the City Council of the City of Pearland, Texas, awarding a unit supply contract for fittings, couplings and valves to Ferguson Waterworks, Inc., in the estimated amount of $460,304.00, for the period of September 23, 2019 through September 22, 2020. Mayor Pro -Tem Little made the motion, seconded by Councilmember Moore to approve Resolution No. R2019-236. City Manager Clay Pearson stated this is awarding a unit supply contract for fittings, couplings and valves to Ferguson Waterworks, Inc. Voting "Aye" Councilmembers Orlando, Little, Hernandez, Moore, Perez and Owens. Voting "No" None. Motion passed 6 to 0 with Councilmember Reed absent from the Chambers. Council Action - Resolution No. R2019-237 - A Resolution of the City Council of the City of Pearland, Texas, awarding a unit supply contract for fittings, couplings and valves to Core and Main Supply, in the estimated amount of $456,401.00, for the period of September 30, 2019 through September 29, 2020. Councilmember Hernandez made the motion, seconded by Councilmember Moore to approve Resolution No. R2019-237. City Manager Clay Pearson stated this is awarding a unit supply contract for fittings, couplings and valves to Core and Main Supply. Voting "Aye" Councilmember Orlando, Little, Hernandez, Moore, Perez and Owens. Voting "No" None. Motion passed 6 to 0 with Councilmember Reed absent from the Chambers. MAYOR/COUNCIL ISSUES FOR CITY COUNCIL DISCUSSION: Council adjourned into Executive Session under Texas Government Code at 8:35 p.m. to discuss the following: EXECUTIVE SESSION UNDER TEXAS GOVERNMENT CODE 1. Executive Session - Section 551.071 - Consultation with City Attorney - Regarding pending and potential litigation and confidential legal advice subject to the attorney -Client privilege. Page 9 of 10 Council returned from Executive Session at 9:30 p.m. and reconvened the regular meeting NEW BUSINESS CONTINUED: Consideration and Possible Action - Regarding pending and potential litigation and confidential legal advice subject to the attorney -Client privilege. City Attorney Darrin Coker made the recommendation that Council authorize staff to move forward with litigation as discussed in Executive Session. Councilmember Perez made the motion, seconded by Mayor Pro -Tem Little that staff move forward with litigation as discussed in Executive Session. Voting "Aye" Councilmember Orlando, Reed, Little, Moore, Perez and Owens. Voting "No" None. Motion passed 7 to 0 with councilmember Hernandez absent from Chambers. OTHER BUSINESS: None ADJOURNMENT: Meeting was adjourned at 9:36 p.m. Minutes approved as submitted and/or corrected this the 27th day of January, A.D., 2020. -G AVMST: n CrAtal fi. Roan, TRMC, CMC City Secretary PEW -6? Tom Reid Mayor Page 10 of 10 1 1 1