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09-28-15 Regular Meeting of La Porte City Council
LOUIS R. RIGBYDARYL LEONARD MayorCouncilmember District 3Councilmember District 3 JOHN ZEMANEKKRISTIN MARTIN Councilmember At Large ACouncilmember At Large ACouncilmember District 4Councilmember District 4 DOTTIE KAMINSKIDOTTIE KAMINSKIJAY MARTIN Councilmember At Large BCouncilmember At Large BMayor Pro-Tem Councilmember District 5Councilmember District 5 DANNY EARP Councilmember District 1Councilmember District 1 MIKE CLAUSEN Councilmember District 6Councilmember District 6 CHUCK ENGELKENCHUCK ENGELKEN Councilmember District 2Councilmember District 2 CITY COUNCIL MEETING AGENDACITY COUNCIL MEETING AGENDA Notice is hereby given of a Regular Meeting of the La Porte City Council to be held September 28, Notice is hereby given of a Regular Meeting of the La Porte City Council to be held September 28, 2015, beginning at 6:00 PM in the City Hall Council Chambers, 604 W. Fairmont Parkway, La Porte, 2015, beginning at 6:00 PM in the City Hall Council Chambers, 604 W. Fairmont Parkway, La Porte, Texas, for the purpose of considering the following agenda items. All agenda items are subject to Texas, for the purpose of considering the following agenda items. All agenda items are subject to action. 1.CALL TO ORDERCALL TO ORDER The invocation will be given by Michael Abportus, Congregation Benim Avraham.The invocation will be given by Michael Abportus, Congregation Benim Avraham. 2.INVOCATIONINVOCATION The Pledge of Allegiance will be led by Councilmember Mike Clausen.The Pledge of Allegiance will be led by Councilmember Mike Clausen. 3.PLEDGE OF ALLEGIANCEPLEDGE OF ALLEGIANCE (Limited to five minutes per person.) (Limited to five minutes per person.) 4.PUBLIC COMMENTSPUBLIC COMMENTS 5.CONSENT AGENDACONSENT AGENDA (All consent agenda items are considered routine by City Council and will be enacted by (All consent agenda items are considered routine by City Council and will be enacted by one motion. There will be no separate discussion of these items unless a Councilmember requests an item be one motion. There will be no separate discussion of these items unless a Councilmember requests an item be removed and considered separately.)removed and considered separately.)removed and considered separately.)removed and considered separately.) Consider approval or other action regarding the minutes of the City Council meeting held on Consider approval or other action regarding the minutes of the City Council meeting held on (a) September 14, 2015 September 14, 2015 -- P. Fogarty P. Fogarty Consider approval or other action authorizing the City Manager to execute an Agreement with Consider approval or other action authorizing the City Manager to execute an Agreement with (b) Bay Point Townhomes for a new neighborhood entryway sign as part of the Community Bay Point Townhomes for a new neighborhood entryway sign as part of the Community Cooperation Projects Cooperation Projects -- T. Leach T. Leach Consider approval or other action regarding recommendation by the La Porte Fire Control Consider approval or other action regarding recommendation by the La Porte Fire Control (c) Board to approve the La Porte Fire Control, Prevention, and Emergency Medical Services Board to approve the La Porte Fire Control, Prevention, and Emergency Medical Services District's proposed budget adjustment in the amount of $15,287.62 for EKG monitor District's proposed budget adjustment in the amount of $15,287.62 for EKG monitor maintenance maintenance -- D. Ladd D. Ladd Consider approval or other action authorizing the City Manager to execute an agreement with Consider approval or other action authorizing the City Manager to execute an agreement with (d) the Houstonthe Houston--Galveston Area Council (HGalveston Area Council (H--GAC) for participation in the Regional DWI Task GAC) for participation in the Regional DWI Task Force Force -- K. Adcox K. Adcox Consider approval or other action regarding a resolution to commit $2,000,000.00 to the Consider approval or other action regarding a resolution to commit $2,000,000.00 to the (e) General Fund balance for Health Insurance General Fund balance for Health Insurance -- M. Dolby M. Dolby Consider approval or other action regarding a Routine Airport Maintenance (RAMP) grant Consider approval or other action regarding a Routine Airport Maintenance (RAMP) grant (f) authorizing the City Manager to enter into a fifty percent cost share grant agreement with the authorizing the City Manager to enter into a fifty percent cost share grant agreement with the Texas Department of Transportation (TxDOT) Aviation Division in the amount of $10,000.00 Texas Department of Transportation (TxDOT) Aviation Division in the amount of $10,000.00 plus a $20,000.00 contingency for a total of $30,000.00 plus a $20,000.00 contingency for a total of $30,000.00 -- D. Mick D. Mick 6.AUTHORIZATIONSAUTHORIZATIONS Consider approval or other action regarding recommendation by Staff to adopt a resolution to Consider approval or other action regarding recommendation by Staff to adopt a resolution to Consider approval or other action regarding recommendation by Staff to adopt a resolution to Consider approval or other action regarding recommendation by Staff to adopt a resolution to (a)(a) nominate a single candidate to the Harris County Appraisal District Board of Directors nominate a single candidate to the Harris County Appraisal District Board of Directors - P. FogartyFogarty Consider approval or other action regarding recommendation by the Chapter 172 Board to Consider approval or other action regarding recommendation by the Chapter 172 Board to (b) implement a tobacco use rate structure for medical insurance premiums, in connection with implement a tobacco use rate structure for medical insurance premiums, in connection with City of La Porte Health Plan, effective for the plan year beginning January 1, 2016 City of La Porte Health Plan, effective for the plan year beginning January 1, 2016 - C. AlexanderAlexander Consider approval or other action regarding an ordinance authorizing the issuance of Consider approval or other action regarding an ordinance authorizing the issuance of (c) approximately $8,000,000.00 in City of La Porte, Texas, Certificates of Obligations, Series approximately $8,000,000.00 in City of La Porte, Texas, Certificates of Obligations, Series 2015 and other related matters 2015 and other related matters -- M. Dolby M. Dolby Consider approval or other action regarding recommendation of the La Porte Area Water Consider approval or other action regarding recommendation of the La Porte Area Water (d) Authority (LPAWA), to authorize the City Manager, serving as General Manager of the La Porte Authority (LPAWA), to authorize the City Manager, serving as General Manager of the La Porte Area Water Authority (LPAWA), to reimburse the City of Houston $293,763.82 for the La Porte Area Water Authority (LPAWA), to reimburse the City of Houston $293,763.82 for the La Porte Area Water Authority's (LPAWA), share of the final 2007 Area Water Authority's (LPAWA), share of the final 2007 -- 2011 Southeast Water Purification 2011 Southeast Water Purification Plant expansion project cost Plant expansion project cost -- D. Mick D. Mick Consider approval or other action authorizing the City Manager to enter into a professional Consider approval or other action authorizing the City Manager to enter into a professional (e) services agreement with Dunham Engineering in the amount of $110,000.00 for design, services agreement with Dunham Engineering in the amount of $110,000.00 for design, bidding, and construction services related to painting the interior and exterior of the Fairmont bidding, and construction services related to painting the interior and exterior of the Fairmont elevated water storage tower and the exterior of the Main and Fourth Street elevated water elevated water storage tower and the exterior of the Main and Fourth Street elevated water storage tower storage tower -- D. Mick D. Mick Consider approval or other action authorizing the City Manager to enter into a professional Consider approval or other action authorizing the City Manager to enter into a professional (f) services agreement with JBS Water, Inc., for an audit of the City's water system loss and services agreement with JBS Water, Inc., for an audit of the City's water system loss and meter management programs in the amount of $56,000.00 meter management programs in the amount of $56,000.00 -- D. Mick D. Mick 7.REPORTSREPORTS Receive report of the Fiscal Affairs Committee Receive report of the Fiscal Affairs Committee -- Councilmember Engelken Councilmember Engelken (a) 8.ADMINISTRATIVE REPORTSADMINISTRATIVE REPORTS Drainage and Flooding Committee Meeting, Monday, October 5, 2015 Drainage and Flooding Committee Meeting, Monday, October 5, 2015 City Council Meeting, Monday, October 12, 2015City Council Meeting, Monday, October 12, 2015 Planning and Zoning Commission Meeting, Thursday, October 15, 2015Planning and Zoning Commission Meeting, Thursday, October 15, 2015 Zoning Board of Adjustment Meeting, Thursday, October 22, 2015Zoning Board of Adjustment Meeting, Thursday, October 22, 2015 regarding matters appearing on the agenda; recognition of community regarding matters appearing on the agenda; recognition of community 9.COUNCIL COMMENTSCOUNCIL COMMENTS members, city employees, and upcoming events; inquiry of staff regarding specific factual information members, city employees, and upcoming events; inquiry of staff regarding specific factual information or existing policies or existing policies Councilmembers Clausen, J. Martin, K. Martin, Kaminski, Zemanek, Leonard, Councilmembers Clausen, J. Martin, K. Martin, Kaminski, Zemanek, Leonard, Engelken, Earp and Mayor RigbyEngelken, Earp and Mayor Rigby 10.EXECUTIVE SESSIONEXECUTIVE SESSION The City Council reserves the right to meet in closed session on any agenda item should the need The City Council reserves the right to meet in closed session on any agenda item should the need arise and if applicable pursuant to authorization by Title 5, Chapter 551, of the Texas Government arise and if applicable pursuant to authorization by Title 5, Chapter 551, of the Texas Government Code, in accordance with the authority contained in: Code, in accordance with the authority contained in: For the purpose of deliberating the purpose of the For the purpose of deliberating the purpose of the Texas Government Code, Section 551.072Texas Government Code, Section 551.072 purchase, exchange, lease or value of real property: Meet with City Manager and City Attorney to purchase, exchange, lease or value of real property: Meet with City Manager and City Attorney to discuss a Joint Ordinance and Boundary Adjustment Agreement and Joint Ordinance and Revenue discuss a Joint Ordinance and Boundary Adjustment Agreement and Joint Ordinance and Revenue Sharing Agreement with the City of Morgan's Point regarding a 4.42 acre tract of land currently within Sharing Agreement with the City of Morgan's Point regarding a 4.42 acre tract of land currently within the City of La Porte's corporate boundary and proposed to be annexed within the City of Morgan's the City of La Porte's corporate boundary and proposed to be annexed within the City of Morgan's Point corporate boundaryPoint corporate boundary Consultation with City Attorney: Meet with City Consultation with City Attorney: Meet with City Texas Government Code, Section 551.071(2) Texas Government Code, Section 551.071(2) -- Attorney to discuss Joint Ordinance and Boundary Adjustment Agreement and Joint Ordinance and Attorney to discuss Joint Ordinance and Boundary Adjustment Agreement and Joint Ordinance and Revenue Sharing Agreement with the City of Morgan's PointRevenue Sharing Agreement with the City of Morgan's Point into regular session and consider action, if any, on item(s) discussed in executive into regular session and consider action, if any, on item(s) discussed in executive 11.RECONVENERECONVENE session.session. 12.ADJOURNADJOURN In compliance with the Americans with Disabilities Act, the City of La Porte will provide for reasonable In compliance with the Americans with Disabilities Act, the City of La Porte will provide for reasonable accommodations for persons attending public meetings. To better serve attendees, requests should be received accommodations for persons attending public meetings. To better serve attendees, requests should be received 24 hours prior to the meeting. Please contact Patrice Fogarty, City Secretary, at 281.470.5019.24 hours prior to the meeting. Please contact Patrice Fogarty, City Secretary, at 281.470.5019. CERTIFICATIONCERTIFICATION I certify that a copy of the September 28, 2015, agenda of items to be considered by the City Council was posted on the I certify that a copy of the September 28, 2015, agenda of items to be considered by the City Council was posted on the City Hall bulletin board on September 22, 2015.City Hall bulletin board on September 22, 2015. Council Agenda Item Council Agenda Item September 28, 2015 September 28, 2015 1.CALL TO ORDERCALL TO ORDER The invocation will be given by Michael Abportus, Congregation Benim Avraham.The invocation will be given by Michael Abportus, Congregation Benim Avraham. 2.INVOCATIONINVOCATION The Pledge of Allegiance will be led by Councilmember Mike Clausen.The Pledge of Allegiance will be led by Councilmember Mike Clausen. 3.PLEDGE OF ALLEGIANCEPLEDGE OF ALLEGIANCE (Limited to five minutes per person.) (Limited to five minutes per person.) 4.PUBLIC COMMENTSPUBLIC COMMENTS ****************************************************************** ****************************************************************** Council Agenda Item Council Agenda Item September 28, 2015 September 28, 2015 5.CONSENT AGENDACONSENT AGENDA (All consent agenda items are considered routine by City Council and will be enacted by (All consent agenda items are considered routine by City Council and will be enacted by one motion. There will be no separate discussion of these items unless a Councilmember requests an item be one motion. There will be no separate discussion of these items unless a Councilmember requests an item be removed and considered separately.)removed and considered separately.) Consider approval or other action regarding the minutes of the City Council meeting held on Consider approval or other action regarding the minutes of the City Council meeting held on (a) September 14, 2015 September 14, 2015 -- P. Fogarty P. Fogarty Consider approval or other action authorizing the City Manager to execute an Agreement with Consider approval or other action authorizing the City Manager to execute an Agreement with (b) Bay Point Townhomes for a new neighborhood entryway sign as part of the Community Bay Point Townhomes for a new neighborhood entryway sign as part of the Community Cooperation Projects Cooperation Projects -- T. Leach T. Leach Consider approval or other action regarding recommendation by the La Porte Fire Control Consider approval or other action regarding recommendation by the La Porte Fire Control (c) Board to approve the La Porte Fire Control, Prevention, and Emergency Medical Services Board to approve the La Porte Fire Control, Prevention, and Emergency Medical Services District's proposed budget adjustment in the amount of $15,287.62 for EKG monitor District's proposed budget adjustment in the amount of $15,287.62 for EKG monitor maintenance maintenance maintenance maintenance ---- D. Ladd D. Ladd D. Ladd D. Ladd Consider approval or other action authorizing the City Manager to execute an agreement with Consider approval or other action authorizing the City Manager to execute an agreement with (d) the Houstonthe Houston--Galveston Area Council (HGalveston Area Council (H--GAC) for participation in the Regional DWI Task GAC) for participation in the Regional DWI Task Force Force -- K. Adcox K. Adcox Consider approval or other action regarding a resolution to commit $2,000,000.00 to the Consider approval or other action regarding a resolution to commit $2,000,000.00 to the (e) General Fund balance for Health Insurance General Fund balance for Health Insurance -- M. Dolby M. Dolby Consider approval or other action regarding a Routine Airport Maintenance (RAMP) grant Consider approval or other action regarding a Routine Airport Maintenance (RAMP) grant (f) authorizing the City Manager to enter into a fifty percent cost share grant agreement with the authorizing the City Manager to enter into a fifty percent cost share grant agreement with the Texas Department of Transportation (TxDOT) Aviation Division in the amount of $10,000.00 Texas Department of Transportation (TxDOT) Aviation Division in the amount of $10,000.00 plus a $20,000.00 contingency for a total of $30,000.00 plus a $20,000.00 contingency for a total of $30,000.00 -- D. Mick D. Mick ****************************************************************** ****************************************************************** LOUIS RIGBY DARYL LEONARD Mayor Councilmember District 3 JOHN ZEMANEK KRISTIN MARTIN Councilmember At Large A Councilmember District 4 DOTTIE KAMINSKI JAY MARTIN Councilmember At Large B Mayor Pro-Tem DANNY EARP Councilmember District 5 Councilmember District 1 MIKE CLAUSEN CHUCK ENGELKEN Councilmember District 6 Councilmember District 2 MINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF LA PORTE SEPTEMBER 14, 2015 Monday September 14, 2015, The City Council of the City of La Porte met in a regular meeting on at the 6:00 p.m City Hall Council Chambers, 604 West Fairmont Parkway, La Porte, Texas, at . to consider the following items of business: 1. CALL TO ORDER Mayor Rigby called the meeting to order at 6:00 p.m. Members of Council present: Councilmembers Kaminski, Earp, J. Martin, Leonard, Zemanek, K. Martin and Clausen. Also present were City Secretary Patrice Fogarty and City Manager Corby Alexander. Councilmember Engelken joined the meeting at 6:22 p.m. 2. INVOCATION The invocation was given by Thomas Park, Fairmont Park Church. 3. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Councilmember Danny Earp. 4. PUBLIC COMMENTS (Limited to five minutes per person.) Chuck Rosa, 812 S. Virginia St., addressed Council suggesting funds from the La Porte Development Corporation be used to invest in restoring dangerous buildings in the City versus demolishing the dangerous buildings; he also addressed concerns of dogs no longer being allowed on the pier at Sylvan Beach. Alan Ward, 10022 Roseberry Dr., addressed Council in support of the proposed Brigadoon Brewery coming to the City. Cheyenne Sprouse, 410 S. Lobit, addressed Council in support of the proposed Brigadoon Brewery coming to the City. Barbara Norwine, 202 S. Lobit, addressed Council with concerns of an EMS invoice she received from the City after calling 911 for medical attention and no transportation to a hospital. Ms. Norwine also spoke in opposition to the proposed Brigadoon Brewery coming to the City. 5. CONSENT AGENDA (All consent agenda items are considered routine by City Council and will be enacted by one motion. There will be no separate discussion of these items unless a Councilmember requests an item be removed and considered separately.) (a) Consider approval or other action regarding the minutes of the Regular City Council Meeting held on August 24, 2015 and Special Called Meeting held on September 3, 2015 P. Fogarty (b) Consider approval or other action adopting an Ordinance repealing Ordinance No. 2015- th 3592 concerning condemnation of structures located at 313 S. 7 Street P. Fogarty (c) Consider approval or other action regarding appointment of Lia Ferrell to the La Porte Police Reserve Force K. Adcox 17 Page of September 14, 2015, Council Meeting Minutes (d) Consider approval or other action regarding an Ordinance authorizing the execution by the City of La Porte of an Industrial District Agreement with Hydro-Fairmont Real Estate, LLC, for property located at 11802 Fairmont Parkway in the Bayport Industrial District, for the term commencing January 1, 2008 and ending December 31, 2019 K. Powell (e) Consider approval or other action authorizing the City Manager to execute a Water Service Agreement and a Sanitary Sewer Service Agreement with Hydro-Fairmont Real Estate, LLC for its development at 11802 Fairmont Parkway in the Bayport Industrial District T. Tietjens Regarding Item C, Councilmember Zemanek questioned the order of the Reserve Force. Police Chief Ken Adcox responded 10 unpaid commissioned officers without benefits are allowed to serve 16 hours per month, per the City Charter. Councilmember K. Martin questioned the ranking if an officer decides to come off the Reserve Force. Chief Adcox responded if an officer returns within two years in good status, the ranking and seniority will remain the same. Councilmember Zemanek asked if an officer decides to return and there is not a position available, will the officer then filling the position be demoted? Mr. Adcox responded Council and City Administrative can decide to fill the position through attrition. Regarding Item D, Mayor Rigby questioned the representative of Hydro-Fairmont Real Estate, LLC. Tax Manager Kathy Powell responded a subsidiary of Kelly Fairmont. Mayor Rigby asked what type of business is Kelly Fairmont. City Manager Corby Alexander responded industrial pumps and motors. Ordinance 2015-3599: Prior to council action, Assistant City Attorney Clark Askins read the caption of AN ORDINANCE REPEALING ORDINANCE 2015-3592, CONCERNING CONDEMNATION OF BOTH THE ACCESSOARY STORAGE BUILDING AND THE PRIMARY DWELLING LOCATED AT OF LOT 6, AND ALL OF LOTS 7 AND 8 TOWN OF LA PORTE, HARRIS COUNTY, TEXAS, MORE TH COMMONLY KNOWN AS 313 S 7 STREET; CONTAINING A SEVERABILITY CLAUSE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Ordinance 2015-3600: Prior to council action, Assistant City Attorney Clark Askins read the caption of AN ORDINANCE AUTHORIZING THE EXECUTION BY THE CITY OF LA PORTE OF AN INDUSTRIAL DISTRICT AGREEMENT WITH HYDRO-FARIMONT REAL ESTATE, LLC, FOR PROPERTY LOCATED AT 11802 FAIRMONT PARKWAY FOR THE TERM COMMENCING JANUARY 1, 2008, AND ENDING DECEMBER 31, 2019, MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Councilmember Leonard moved to approve all Consent Agenda items pursuant to staff MOTION PASSED. recommendations. Councilmember J. Martin seconded. Ayes: Mayor Rigby, Councilmembers J. Martin, Leonard, Zemanek, K. Martin, Clausen, Kaminski and Earp Nays: None Absent: Councilmember Engelken 6. PUBLIC HEARINGS AND ASSOCIATED ORDINANCES (a) Public hearing to receive comments regarding a request to approve Special Conditional Use Permit (SCUP) # 15-91000005 to allow construction of an approximately 240,000 square foot th warehouse/distribution facility at the southeastern corner of 2. 16 Street and the W. M Street Ordinances by approving SCUP #15-91000005, in accordance with Planning and Zoning Commission recommendation to approve subject to conditions E. Ensey The public hearing opened at 6:21 p.m. 27 Page of September 14, 2015, Council Meeting Minutes City Planner Eric Ensey presented a summary. Councilmember Engelken arrived at 6:22 p.m. President of Generational Commercial Properties, Joe Llamas, spoke and advised Council the business will occupy only one tenant but is designed to occupy multiple tenants. There being no public comments, the public hearing closed at 6:26 p.m. Councilmember Leonard moved approve Special Conditional Use Permit (SCUP) # 15-91000005 to allow construction of an approximately 240,000 square foot warehouse/distribution facility at the th southeastern corner of 2. 16 Street and the W. M Street intersection; and consider an Ordinance -91000005, in accordance with Planning and Zoning Commission recommendation to approve subject to MOTION PASSED. conditions. Councilmember Kaminski seconded. Ayes: Mayor Rigby, Councilmembers J. Martin, Clausen, Kaminski, Earp, K. Martin, Leonard, Zemanek and Engelken Nays: None Absent: None Ordinance 2015-3601: Prior to council action, Assistant City Attorney Clark Askins read the caption of AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF LA PORTE, CHAPTER 106, MORE COMMONLY REERRED TO AS THE ZONING ORDINANCE OF THE CITY OF LA PORTE, BY GRANTING SPECIAL CONDITIONAL USE PERMIT NO. 15-91000005 FOR THAT CERTAIN PARCEL OF LAND HEREIN DESCRIBED, FOR THE PURPOSE OF CONSTRUCTING A WAREHOUSE/DISTRIBUTION FACILITY AT SOUTHEAST CORNER OF SOUTH 16 TH STREET AND WEST M STREET INTERSECTION; MAKING CERTAIN FINDINGS OF FACT RELATED TO THE SUBJECT CONTAINING A SERVABILITY CLAUSE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Public hearing to receive comments regarding the City of La (b) 2015-2016 Proposed Budget M. Dolby The public hearing opened at 6:27 p.m. Finance Director Michael Dolby presented a summary. Councilmember Leonard asked if the delayed Vehicle Replacement is on hold until next budget year. Mr. Dolby responded yes Councilmember Earp questioned why the added $107,669 for Enhancement Grants. Economic Development Coordinator Scott Livingston responded the funds have not been committed and the program parameters were expanded to include all businesses in La Porte by the La Porte Development Corporation Board. Councilmember Zemanek asked if $169,000.00 was taken away for the equestrian trail and added back for the L Street Proposed Safe Sidewalk Design. Mr. Dolby responded yes. Councilmember Zemanek asked if that is a realistic amount for the L Street Proposed Safe Sidewalk Design. City Manager Corby Alexander responded the amount is a placeholder and can be zeroed out, and staff can come back to Council with an amount. Regarding insurance, Councilmember Zemanek questioned the amount of medical claims for in-network versus out-of-network. City Manager Corby Alexander responded 80% of the claims are in-network. Chuck and Samantha Rosa, 812 S. Virginia St., spoke and asked Council to eliminate the rule of dogs not begin allowed on the pier. 37 Page of September 14, 2015, Council Meeting Minutes There being no additional public comments, the public hearing closed at 7:15 p.m. Consider approvalor other actionregarding an Ordinance approving and adopting the City (c) -2016 Proposed Budget M. Dolby 2015-2016 Proposed Budget as presented with no amendments. There was no second. Motion failed. Councilmember Earp moved to amend the budget by removing the L Street Proposed Safe Sidewalk Design from the City of La Porte, -2016 Proposed Budget. MOTION PASSED. Councilmember Leonard seconded. Ayes: Mayor Rigby, Councilmembers Zemanek, Leonard, J. Martin, Kaminski, K. Martin, Earp and Engelken Nays: Councilmember Clausen Absent: None Ordinance 2015-3602: Prior to council action, Assistant City Attorney Clark Askins read the caption of AN ORDINANCE APPROVING AND ADOPTING THE BUDGET FOR THE CITY OF LA PORTE, TEXAS, FOR THE PERIOD OF OCTOBER 1, 2015 THROUGH SEPTEMBR 30, 2016; FINDING THAT ALL THINGS REQUISITE AND NECESSARY HAVE BEEN DONE IN PREPARTION AND PRESENTMENT OF SAID BUDGET; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. 7. ORDINANCES/RESOLUTIONS/AUTHORIZATIONS (a) Consider approval or other action ratifying property tax revenue increase reflected in 2015-2016 Fiscal Year Budget M. Dolby Finance Director Michael Dolby presented a summary. Councilmember Zemanek moved to ratify property tax revenue increase reflected in 2015-2016 MOTION PASSED. Fiscal Year Budget. Councilmember Kaminski seconded. Ayes: Mayor Rigby, Councilmembers Zemanek, Leonard, J. Martin, Clausen, Kaminski, K. Martin, Earp and Engelken Nays: None Absent: None (b) Consider approval or other action regarding a Resolution adopting the 2015 Appraisal Roll of the Harris County Appraisal District M. Dolby Finance Director Michael Dolby presented a summary. Councilmember Clausen moved to adopt the 2015 Appraisal Roll of the Harris County Appraisal MOTION PASSED. District. Councilmember J. Martin seconded. Ayes: Mayor Rigby, Councilmembers Zemanek, Leonard, J. Martin, Clausen, Kaminski, K. Martin, Earp and Engelken Nays: None Absent: None Resolution 2015-14: Prior to council action, Assistant City Attorney Clark Askins read the caption of A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA PORTE, TEXAS, ADOPTING THE 2015 APPRAISAL ROLL OF THE HARRIS COUNTY APPRAISAL DISTRICT. (c) Consider approval or other action regarding an Ordinance establishing the tax rate for the current tax year (2015) for a total tax rate of $0.71 per hundred dollar valuation M. Dolby 47 Page of September 14, 2015, Council Meeting Minutes Finance Director Michael Dolby presented a summary. Councilmember Leonard moved to approve an Ordinance establishing the tax rate for the current tax year (2015) for a total tax rate of $0.71 per hundred dollar valuation. Councilmember Clausen MOTION PASSED. seconded. Ayes: Mayor Rigby, Councilmembers Zemanek, Leonard, J. Martin, Clausen, Kaminski, K. Martin, Earp and Engelken Nays: None Absent: None Ordinance 2015-3603: Prior to council action, Assistant City Attorney Clark Askins read the caption of AN ORDINANCE LEVYING TAXES UPON TAXABLE PROPERTY LOCATED WITHIN AND SUBJECT TO TAXATION IN THE CITY OF LA PORTE, TEXAS MAKING APPROPRIATIONS FOR SUPPORT, MAINTENANCE, AND IMPROVEMENT OF THE CITY GOVERNMENT OF SAID CITY OF LA PORTE, FINDING THAT ALL REQUIRED NOTICES HAVE BEEN PUBLISHED AND ALL REQUIRED HEARINGS HELD; CONTAINING A REPEALING CLAUSE; CONTAINING A SEVERABILITY CLAUSE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. (d) Consider approval or other action regarding proposed salary adjustment for Civil Service Personnel, under terms of Meet and Confer Agreement K. Adcox Police Chief Ken Adcox presented a summary. Mayor Rigby requested that during the next negotiating period, the cities being compared be more Councilmember Leonard moved to approve the proposed salary adjustment for Civil Service Personnel, under terms of Meet and Confer Agreement. Councilmember Zemanek seconded. MOTION PASSED. Ayes: Mayor Rigby, Councilmembers Zemanek, Leonard, J. Martin, Clausen, Kaminski, K. Martin, Earp and Engelken Nays: None Absent: None (e) Consider approval or other action authorizing the City Manager, as General of the La Porte Area Water Authority to formally dispute portions of the FY 2016 budget for the Southeast Water Purification Plant, and the authorize a $15,000.00 increase in the La Porte Area Water Authority budget for professional services D. Mick Public Works Director Dave Mick presented a summary. Councilmember Leonard asked the amount of water fee increase for the City due to the FY2016 budget for the Southeast Water Purification Plant. Mr. Mick responded the fees can approach an estimated $80,000.00-$100,000.00. Councilmember Zemanek moved to authorize the City Manager, as General of the La Porte Area Water Authority, to formally dispute portions of the FY 2016 budget for the Southeast Water Purification Plant, and the authorize a $15,000.00 increase in the La Porte Area Water Authority MOTION PASSED. budget for professional services. Councilmember Earp seconded. Ayes: Mayor Rigby, Councilmembers Zemanek, Leonard, J. Martin, Clausen, Kaminski, K. Martin, Earp and Engelken Nays: None Absent: None 57 Page of September 14, 2015, Council Meeting Minutes 8.REPORTS (a) Receive report of the La Porte Development Corporation Board Councilmember Engelken Councilmember Engelken provided a report of the La Porte Development Corporation Board meeting held on August 26, 2015. (b) Receive Strategic Plan Update T. Leach Assistant City Manager Traci Leach provided an update. 9. ADMINISTRATIVE REPORTS There were no additional reports. Mr. Alexander advised Council he will reach out to Ms. Norwine regarding her concern for the EMS invoice with no transportation to a medical facility. 10. COUNCIL COMMENTS regarding matters appearing on the agenda; recognition of community members, city employees, and upcoming events; inquiry of staff regarding specific factual information or K. Martin, Clausen and Mayor Rigby Councilmembers Earp and Kaminski thanked staff for preparing the budget; Councilmember Clausen thanked everyone for attending the meeting and welcomed Councilmember Kristin Martin aboard; Councilmember J. Martin congratulated Lia Ferrell on the birth of her first child and Cameron Briscoe on his promotion; Councilmember K. Martin thanked District 4 for voting in the Special Election and City Staff and everyone for welcoming her as an elected official; Councilmember Zemanek welcomed Councilmember Kristin Martin; Councilmembers Leonard and Engelken thanked staff for preparing the budget and welcomed Councilmember Kristin Martin; and Mayor Rigby welcomed Councilmember Kristin Martin, thanked staff for preparing the budget, advised of his attendance to the Ceremonial Exchange of SCBA equipment, the event supporting Law Enforcement Officers held at La Porte Police Department, and his participation in the 2015 Full Scale Exercise. Councilmember Leonard advised everyone to view the La Porte Police Department recruitment video on YouTube. 11. EXECUTIVE SESSION The City reserves the right to meet in closed session on any agenda item should the need arise and if applicable pursuant to authorization by Title 5, Chapter 551, of the Texas Government Code, including, but not limited to, the following: Texas Government Code, Section 551.072 For the purpose of deliberating the purchase, exchange, lease or value of real property: former Parks and Wildlife Building and surrounding property. City Council recessed the regular Council meeting to convene an executive session at 7:35p.m. regarding the item listed above. 12. RECONVENE into regular session and consider action, if any on item(s) discussed in executive session. Council reconvened into the regular Council meeting at 8:18 p.m. Councilmember Leonard moved to direct staff to provide additional information. Councilmember J. MOTION PASSED. Martin seconded. Ayes: Mayor Rigby, Councilmembers Leonard, J. Martin, K. Martin, Clausen, Zemanek, Kaminski, Earp and Engelken Nays: None Absent: None 67 Page of September 14, 2015, Council Meeting Minutes 13. ADJOURN - There being no further business, Councilmember Engelken made a motion to adjourn the meeting at 8:19 p.m. Councilmember Zemanek seconded. Motion passed unanimously. _______________________________ Patrice Fogarty, City Secretary Passed and approved on September 28, 2015. ________________________________ Mayor Louis R. Rigby 77 Page of September 14, 2015, Council Meeting Minutes REQUEST FOR CITY COUNCIL AGENDA ITEMREQUEST FOR CITY COUNCIL AGENDA ITEM September 28, September 28, AppropriationAppropriation Agenda Date Requested:Agenda Date Requested: 20152015 Fund 015Fund 015 Source of Funds:Source of Funds: T. LeachT. Leach Requested By:Requested By: N/AN/A Account Number:Account Number: AdministrationAdministration Department:Department: $20,000.00$20,000.00 Amount Budgeted:Amount Budgeted: Report:Resolution:Resolution:Ordinance:Ordinance: $5,000.00$5,000.00 Amount Requested:Amount Requested: Other: Budgeted Item:Budgeted Item:YESYESNONO AttachmentsAttachments : : 1. Agreement with Bay Point Townhomes Agreement with Bay Point Townhomes 2. Verification of Officers Verification of Officers 3. Proposed Design versus Existing Design Proposed Design versus Existing Design SUMMARY & RECOMMENDATIONSSUMMARY & RECOMMENDATIONS As part of the FY 2015 budget, the Council approved funding for Community CoAs part of the FY 2015 budget, the Council approved funding for Community Co--op projects, where the op projects, where the City would partner with HOAs and other neighborhood groups to complete small beautification and City would partner with HOAs and other neighborhood groups to complete small beautification and quality of life projects. A total of $20,000 was budgeted with a maximum City contribution per project of quality of life projects. A total of $20,000 was budgeted with a maximum City contribution per project of $5,000. All projects would be considered on a first come, first served basis. At this time, projects with $5,000. All projects would be considered on a first come, first served basis. At this time, projects with Shady River HOA, Fairmont Park HOA, and Bayside Terrace Civic Club have been completed or are in Shady River HOA, Fairmont Park HOA, and Bayside Terrace Civic Club have been completed or are in progress now. A total of $5,000 is currently unencumbered. The final project for Council consideration progress now. A total of $5,000 is currently unencumbered. The final project for Council consideration for FY15 is a new neighborhood entryway sign for Bay Point Townhomes.for FY15 is a new neighborhood entryway sign for Bay Point Townhomes. Several quotes have been obtained for a neighborhood entryway sign. The total project cost is Several quotes have been obtained for a neighborhood entryway sign. The total project cost is estimated to be $10,000. The HOA is asking for the City to contribute $5,000. The HOA would handle estimated to be $10,000. The HOA is asking for the City to contribute $5,000. The HOA would handle estimated to be $10,000. The HOA is asking for the City to contribute $5,000. The HOA would handle estimated to be $10,000. The HOA is asking for the City to contribute $5,000. The HOA would handle all logistics, scheduling, and oversight of installation of the new sign and any landscaping. all logistics, scheduling, and oversight of installation of the new sign and any landscaping. As this would As this would be an addition to a City be an addition to a City--owned and maintained facility, the onowned and maintained facility, the on--going maintenance going maintenance notnot responsibility would lie with the Bay Point Townhomes. responsibility would lie with the Bay Point Townhomes. Action Required of Council:Action Required of Council: Consider approval or other action authorizing the City Manager to execute an Agreement with Bay Point Consider approval or other action authorizing the City Manager to execute an Agreement with Bay Point Townhomes for a Community Cooperation project (new neighborhood entryway sign).Townhomes for a Community Cooperation project (new neighborhood entryway sign). Approved for City Council AgendaApproved for City Council Agenda Corby D. Alexander, City ManagerCorby D. Alexander, City ManagerDateDate MEMORANDUM OF AGREEMENT This Memorandum of Agreement (MOA) is made by and entered into this ____ day of__________, 2015 (the Effective Date) between the City of La Porte, Texas, a home-rule municipality under the laws of the State of Texas (the City) and the Bay Point Townhome Homeowners Association, a Texas nonprofit corporation, (BPTOA), to establish each , as defined herein. The terms acceptable to both Parties to begin the Community Cooperation Project are as follows: The City and BPTOA agree that the Community Cooperation Project shall consist of the construction of a neighborhood entryway monument. The monument is proposed to be comprised of two composite plastic signs (approximately 8 ) with wooden/metal columns on both sides of the sign. The total estimated cost of the Project is $10,000.00. The City responsibilities for the Improvements are limited to: Procurement of the sign. Assistance in procuring and selecting landscape material, as budget allows The BPTOA responsibilities for the Improvements will include: Construction oversight and installation of the sign Procurement of any supplies required for completion of installation of sign, such as concrete and any other equipment necessary Installation of any and all landscaping and lighting, as budget allows. The BPTOA shall be responsible for the scheduling of work and installation of all Improvements. T Pto $5,000.00, which is the maximum funding amount allowed under this program. The BPTOA5,000.00. Upon completion of the Improvements, the neighborhood entryway monument will be owned, operated, and maintained by BPTOA. The City assumes no ongoing maintenance responsibility for the Improvements once completed, and is not responsible for contributing towards the cost of replacement of the Improvements if damaged or destroyed. Furthermore, BPTOA agrees to release, indemnify, and hold harmless City from any liability in connection with claims for damages or loss brought against City in relation to the purchase, installation, or condition of the Improvements. This MOA constitutes the complete understanding between the parties in order to begin the procurement and installation process for the Project. For the City of La Porte, Texas: _______________________ ________________________________ Corby D. Alexander Attest: Patrice Fogarty, City Secretary City Manager For the Bay Point Townhome HOA: _______________________ Maggie Anderson President /ǒƩƩĻƓƷ 9ƓƷƩǤǞğǤ {źŭƓ tƩƚƦƚƭĻķ 5ĻƭźŭƓ REQUEST FOR CITY COUNCIL AGENDA ITEMREQUEST FOR CITY COUNCIL AGENDA ITEM September 28, September 28, AppropriationAppropriation Agenda Date Requested:Agenda Date Requested: 20152015 ESD Fund (034)ESD Fund (034) Source of Funds:Source of Funds: D. LaddD. Ladd Requested By:Requested By: N/AN/A Account Number:Account Number: FireFire Department:Department: NANA Amount Budgeted:Amount Budgeted: Report:Resolution:Resolution:Ordinance:Ordinance: $15,287.62$15,287.62 Amount Requested:Amount Requested: Other: Budgeted Item:Budgeted Item:YESYESNONO AttachmentsAttachments : : 1. ESD Board Minutes ESD Board Minutes 2. Budget Worksheet Impacted Budget Worksheet Impacted SUMMARY & RECOMMENDATIONSSUMMARY & RECOMMENDATIONS On August 27, 2015, the La Porte Fire Control Board was asked to consider approval for additional On August 27, 2015, the La Porte Fire Control Board was asked to consider approval for additional funding in amount of 15,287.62 to provide for EKG monitor maintenance. The additional funds were left funding in amount of 15,287.62 to provide for EKG monitor maintenance. The additional funds were left out of the original budget approval process due to a difference in interpreting the last contract expiration out of the original budget approval process due to a difference in interpreting the last contract expiration date. It was believed that the funding originally requested in the budget would be adequate to continue date. It was believed that the funding originally requested in the budget would be adequate to continue the maintenance agreement through the next fiscal year. However, this was discovered to not be the the maintenance agreement through the next fiscal year. However, this was discovered to not be the case and additional funds would be required to continue maintenance on these essential pieces of case and additional funds would be required to continue maintenance on these essential pieces of equipment. This expenditure is usually covered by the Fire Control District and the board unanimously equipment. This expenditure is usually covered by the Fire Control District and the board unanimously approved the adjustment for the expenditure.approved the adjustment for the expenditure. Staff is now requesting CouncilStaff is now requesting CouncilStaff is now requesting CouncilStaff is now requesting Councils approval of the budget adjustment as passed by the La Porte Fire s approval of the budget adjustment as passed by the La Porte Fire s approval of the budget adjustment as passed by the La Porte Fire s approval of the budget adjustment as passed by the La Porte Fire Control Board.Control Board. Action Required of Council:Action Required of Council: Consider approval or other action on the La Porte Fire Control, Prevention, and Emergency Medical Consider approval or other action on the La Porte Fire Control, Prevention, and Emergency Medical Services District budget adjustment, as approved by the Board of Directors of the District at its meeting Services District budget adjustment, as approved by the Board of Directors of the District at its meeting of August 27, 2015.of August 27, 2015. Approved for City Council AgendaApproved for City Council Agenda Corby D. Alexander, City ManagerCorby D. Alexander, City ManagerDateDate La Porte Fire Control, Prevention, and Emergency Medical Services District Minutes from August 27, 2015 Meeting held at Fire Admin 125 South 3rdSt., La Porte, Texas. Meeting called to order @ 5:55pm by Johnny Jones Members present Johnny Jones, Robert Eldridge, Tom Dye, Dottie Kaminski, Ron Nowetner, Rick Guzman, Danny Campise Also present- Donald Ladd, Kaitlyn Hartis, Ray Nolen Minutes from May 26, 2015 were read with a motion to approve minutes by Johnny Jones, second by Tom Dye. Minutes accepted. Considered approval for additional funding in amount of 15,287.62 to provide for EKG monitor maintenance. Questions from board were addressed by Ladd and Nolen. Additional funding was approved. Second agenda item in regards to command vehicle was tabled until numbers for cost are received by Ladd. A motion to adjourn the meeting was made by Dottie Kaminski and seconded by Danny Campise. The motion carried, meeting adjourned @ 6:04pm. Approved: Signed: _____________________________ Signed: _____________________________ Title: _______________________________ Title: _______________________________ Date: _______________________________ Date: _______________________________ REQUEST FOR CITY COUNCIL AGENDA ITEMREQUEST FOR CITY COUNCIL AGENDA ITEM September 28, September 28, AppropriationAppropriation Agenda Date Requested:Agenda Date Requested: 20152015 GrantGrant Source of Funds:Source of Funds: K. AdcoxK. Adcox Requested By:Requested By: 0325253521102003252535211020 Account Number:Account Number: PolicePolice Department:Department: 6,000.006,000.00 Amount Budgeted:Amount Budgeted: Report:Resolution:Resolution:Ordinance:Ordinance: 6,000.006,000.00 Amount Requested:Amount Requested: Other: Budgeted Item:Budgeted Item:YESYESNONO AttachmentsAttachments : : 1. Scope of Services Scope of Services 2. H-GAC General ProvisionsGAC General Provisions 3. H-GAC Special ProvisionsGAC Special Provisions SUMMARY & RECOMMENDATIONSSUMMARY & RECOMMENDATIONS The La Porte Police Department has once again been invited to participate in the Regional DWI Task The La Porte Police Department has once again been invited to participate in the Regional DWI Task Force which is administered by HoustonForce which is administered by Houston--Galveston Area Council (HGAC) and is awarded by TXDOT. Galveston Area Council (HGAC) and is awarded by TXDOT. This grant will be utilized for specific DWI enforcement during designated dates. This yearThis grant will be utilized for specific DWI enforcement during designated dates. This years grant will s grant will allow the City to be reimbursed for expenses up to a maximum of six thousand dollars ($6,000) in allow the City to be reimbursed for expenses up to a maximum of six thousand dollars ($6,000) in overtime costs, with City contributions for employee benefits, administrative and vehicle usage costs. overtime costs, with City contributions for employee benefits, administrative and vehicle usage costs. Action Required of Council:Action Required of Council: Consider approval or other action authorizing the City Manager to sign an agreement for participation in Consider approval or other action authorizing the City Manager to sign an agreement for participation in the Regional DWI Task Force.the Regional DWI Task Force. Approved for City Council AgendaApproved for City Council Agenda Corby D. Alexander, City ManagerCorby D. Alexander, City ManagerDateDate ATTACHMENT A - SCOPE OF SERVICES REGIONAL DWI TASK FORCE RESPONSIBILITIES OF PARTICIPATING AGENCIES: The following are a list of expectations for officers and agencies interested in participating in the Regional DWI Task Force. This list is based on Grants: A.H-GAC will serve as the administrator of the STEP Grant. H-GAC will be responsible for the following 1.Setting up pre-Task Force meetings with participating agencies to discuss participation, protocols, and operational specifics; 2.Setting up post-Task Force meetings to debrief enforcement activities; 3.Determining how many officers will be participating on an enforcement weekend; 4.Collecting requests for reimbursement, along with associated backup documentation; 5.Submitting requests for reimbursement to TxDOT; 6.Reimbursing agencies for work performed upon receipt of funds from TxDOT; 7.Report on Task Force performance to TxDOT and to Task Force members. B.Task Force activities will occur during the following periods: 1.Halloween October 23 - November 2, 2015 2.Christmas/New Years December 18, 2015 - January 3, 2016 3.Spring Break March 4-21, 2016 4.Memorial Day May 23 - June 5, 2016 th 5.July 4 June 24 - July 5, 2016 6.Labor Day August 19 - September 5, 2016 C.Participating agencies will be expected to assist H-GAC in carrying out all performance measures established in the grant, including fulfilling the law enforcement objectives by implementing the Operational Plan contained in this Grant Agreement. D.Participating agencies will be expected to submit all required reports to H-GAC fully completed with the most current information, and within the required times, as defined in Agreement with H- GAC and as required by TxDOT. This includes reporting to H-GAC on progress, achievements, and problems in post-operational Performance Reports and attaching necessary source documentation to support all costs claimed in Requests for Reimbursement (RFR). E.Participating agencies will be expected to attend H-GAC and TxDOT grant management training, when required. 13 Page of F.Participating agencies will be expected to attend meetings according to the following: 1.H-GAC will arrange for Task Force meetings in order to meet with participating agencies prior to an enforcement event to discuss procedures, protocols, and operational specifics relating to the event (e.g. enforcement area determination, intake facility locations, etc.). Depending on the enforcement wave timing, two waves may be addressed at the same meeting. 2.H-GAC will arrange for Task Force meetings to meet with participating agencies to present status of activities and to discuss problems and the schedule for the following enforcement work. 3.H- project director or other appropriate qualified persons will be available to represent participating agencies at meetings requested by the TxDOT. G.Participating agencies will be expected to support grant enforcement efforts with public information and education (PI&E) activities. Salaries being claimed for PI&E activities must be included in the budget. H.Participating agencies must maintain verification that all expenses, including wages or salaries, for which reimbursement is requested is for work exclusively related to this project and adhere to the respective overtime policies established by each agency. I.Participating agencies, to comply with TxDOT matching fund requirements, will supply the following information (if applicable) associated with the time worked by agency personnel: 1.Retirement match paid by agency 2.Workers Compensation insurance 3.Social Security Tax 4.Medicare Tax 5.Health Insurance 6.Vehicle Mileage for shift 7.Indirect Costs J.Participating agencies will be expected to ensure that this grant will in no way supplant (replace) funds from other sources. Supplanting refers to the use of federal funds to support personnel or any activity already supported by local or state funds, or other sources of agency revenue. K.Participating agencies will be expected to ensure that each officer working on the STEP project will identification number, mileage (including starting and ending mileage), hours worked, type of citation issued or arrest made, officer and supervisor signatures. Each officer will need to complete an overtime slip from his or her agency as well, which must be approved by the supervisor. L.Participating agencies will be required to identify a supervising officer for each shift being worked by the agency. M.Participating agencies will be expected to ensure that no officer above the rank of Lieutenant (or equivalent title) will be reimbursed for enforcement duty, unless the participating agency received specific written authorization from both H-GAC and TxDOT, through eGrants system messaging, prior to incurring costs. 23 Page of N.Participating agencies must submit a summary reimbursement request form to H-GAC within eighteen (18) days of the end of the enforcement weekend for reimbursement. With this reimbursement request , copies of overtime slips, and copies of the system shift report for the shifts worked. The reimbursement submission must be Failure to submit this information in a timely manner will hold up reimbursements for all participating agencies. O.Participating agencies may work additional STEP enforcement hours on holidays or special events not covered under the Operational Plan. However, additional work must be approved in writing by H-GAC and TxDOT, through eGrants system messaging, prior to enforcement. Additional hours must be reported in the Performance Report for the time period for which the additional hours were worked. eight (8) hours P.An enforcement shift shall be no longer than . Shift length will be determined prior to the shift. However, if an officer makes a STEP-related DWI arrest during the shift, but does not complete the arrest before the shift is scheduled to end, the officer can continue working under the grant to complete that arrest. Q.Participating agencies should have a safety belt use policy. If a participating agency does not have a safety belt use policy in place, a policy should be implemented, and a copy maintained for verification during the grant year. R.Officers working DWI enforcement must be trained in the National Highway Traffic Safety Administration/International Association of Chiefs of Police Standardized Field Sobriety Testing (SFST). S.Participating agencies should have a procedure in place for contacting and using drug recognition experts (DREs) when necessary. T.Participating agencies will be expected to follow its own policies and procedures, as well as to enforce and comply with all federal, state, and local laws and regulations. U.This grant is a multi-agency effort, requiring all participants to make a diligent effort to patrol and apprehend offenders. Failure of an officer to do so may result in the overall non-achievement of goals, jeopardizing the future ability of being awarded similar grants in the future. If it is deemed that an officer is not producing results, that officer may be denied future shifts during the grant period. 33 Page of Contract # HOUSTON-GALVESTON AREA COUNCIL GENERAL PROVISIONS INTERGOVERNMENTAL AGREEMENT This Intergovernmental Agreement is made and entered into this 1st day of October, 2015, by and between the Houston-Galveston Area Council, hereinafter referred to as H-GAC, having its principal place of business at 3555 Timmons Lane, Suite 120, Houston, Texas The City of La Porte604 Fairmont 77027 and , hereinafter referred to as the Contractor, having its principal place of business at Parkway, La Porte, TX 77571 . WITNESSETH: WHEREAS , H-GAC hereby engages the Contractor to perform certain services in accordance with the specifications of the Agreement; and WHEREAS , the Contractor has agreed to perform such services in accordance with the specifications of the Agreement; NOW, THEREFORE , H-GAC and the Contractor do hereby agree as follows: ARTICLE 1 LEGAL AUTHORITY The Contractor warrants and assures H-GAC that it possesses adequate legal authority to enter into this Agreement. The Contractor's governing body, where applicable, has authorized the signatory official(s) to enter into this Agreement and bind the Contractor to the terms of this Agreement and any subsequent amendments hereto. ARTICLE 2 APPLICABLE LAWS The Contractor agrees to conduct all activities under this Agreement in accordance with all applicable rules, regulations, directives, standards, ordinances and laws in effect or promulgated during the term of this Agreement. Such standards and laws shall include, to the te and federal statutes referenced therein. ARTICLE 3 INDEPENDENT CONTRACTOR The execution of this Agreement and the rendering of services prescribed by this Agreement do not change the independent status of H- GAC or the Contractor. No provision of this Agreement or act of H-GAC in performance of the Agreement shall be construed as making the Contractor the agent, servant or employee of H-GAC, the State of Texas or the United States Government. Employees of the Contractor are subject to the exclusive control and supervision of the Contractor. The Contractor is solely responsible for employee payrolls and claims arising therefrom. The Contractor shall notify H-GAC of the threat of lawsuit or of any actual suit filed against the lity to perform services under this Agreement. ARTICLE 4 WHOLE AGREEMENT page 1 of 8 H-GAC10/98 Contract # The General Provisions, Special Provisions and Attachments, as provided herein, constitute the complete agreement between the parties hereto, and supersede any and all oral and written agreements between the parties relating to matters herein. Except as otherwise provided herein, this Agreement cannot be modified without written consent of the parties. ARTICLE 5 SCOPE OF SERVICES The services to be performed by the Contractor are outlined in the Special Provisions of this Agreement. ARTICLE 6 PERFORMANCE PERIOD October 1, 2015September 30, 2016 This Agreement shall be performed during the period which begins and ends . The work under this Agreement shall begin immediately following a formal Notice to Proceed. ARTICLE 7 REPORTING REQUIREMENTS Reporting requirements are set forth in the Special Provisions of this Agreement. If the Contractor fails to submit to H-GAC in a timely and satisfactory manner any report required by this Agreement, or otherwise fails to satisfactorily render performances hereunder, H-GAC may withhold payments otherwise due and owing the Contractor hereunder. If H-GAC withholds such payments, it shall notify the Contractor of its decision and the reasons therefor. Payments withheld pursuant to this Article may be held by H-GAC until such time as the delinquent obligations for which funds are withheld are fulfilled by the Contractor. The Contractor's failure to timely submit any report may also be considered cause for termination of this Agreement. ARTICLE 8 PAYMENTS The Contractor agrees that payments are predicated upon properly documented and verified proof of performance delivered and costs incurred by the Contractor in accordance with the terms of this Agreement and shall be paid in accordance with the Compensation Schedule in the Special Provisions. ARTICLE 9 NON FUNDING CLAUSE Each payment obligation of H-GAC created by this Agreement is conditioned upon the availability of state or federal funds appropriated or allocated for the payment of such obligations. H-GAC shall not be otherwise obligated or liable for any future payments due or for any damages as a result of interruption of payment or termination under this Article. ARTICLE 10 INSURANCE The Contractor shall maintain insurance coverage for work performed or services rendered under this Agreement as specified in the Special Provisions. ARTICLE 11 REPAYMENTS page 2 of 8 H-GAC10/98 Contract # The Contractor understands and agrees that it shall be liable to repay and shall repay upon demand to H-GAC any amounts determined by H-GAC, its independent auditors, or any agency of state or federal government to have been paid in violation of the terms of this Agreement. ARTICLE 12 SUBCONTRACTS Except as may be set forth in the Special Provisions, the Contractor agrees not to subcontract, assign, transfer, convey, sublet or otherwise dispose of this Agreement or any right, title, obligation or interest it may have therein to any third party without prior written approval of H-GAC. The Contractor acknowledges that H-GAC is not liable to any subcontractor(s) of the Contractor. The Contractor shall ensure that the performance rendered under all subcontracts shall result in compliance with all the terms and provisions of this Agreement as if the performance rendered was rendered by the Contractor. ARTICLE 13 AUDIT As a recipient of state or federal assistance through this Agreement, the Contractor acknowledges that it is subject to the Single Audit Act of 1996, P.L. 98-502, (hereinafter referred to as "Audit Act"), OMB Circular No. A-133, and the State of Texas Single Audit Circular incorporated in UGMS. The Contractor shall have an audit made in accordance with the Single Audit, requirements of the most recently adopted UGMS and OMB Circular A-133 for any of its fiscal years in which Contractor expends more than $500,000 in state or federal financial assistance. The Contractor will provide H-GAC a copy of the single audit, including management letter and reporting package required by federal and H-GAC reserves the right to conduct or cause to be conducted an independent audit of all funds received under this Agreement which may be performed by the local government audit staff, a certified public accountant firm, or other auditors as designated by the H-GAC. Such audit will be conducted in accordance with State law, regulations, and policy, and generally accepted auditing standards and established procedures and guidelines of the reviewing or audit agency(ies). The Contractor understands and agrees that the Contractor shall be liable to the H-GAC for any costs disallowed or overpayment as a result of audit or inspection of records kept by the Contractor on work performed under this Agreement. ARTICLE 14 EXAMINATION OF RECORDS The Contractor shall maintain during the course of the work, complete and accurate records of all of the Contractor's costs and documentation of items which are chargeable to H-GAC under this Agreement. H-GAC, through its staff or designated public accounting firm, the State of Texas and the United States Government, including the U.S. Department of Transportation and the U.S. Office of the Inspector General, shall have the right at any reasonable time to inspect, copy and audit those records on or off the premises by authorized representatives of its own or any public accounting firm selected by it. The right of access to records is not limited to the required retention period, but shall last as long as the records are retained. Failure to provide access to records may be cause for termination of the Agreement. The records to be thus maintained and retained by the Contractor shall include (without limitation): (1) personnel and payroll records, including social security numbers and labor classifications, accounting for total time distribution of the Contractor's employees working full or part time on the work, as well as cancelled payroll checks, signed receipts for payroll payments in cash, or other evidence of disbursement of payroll payments; (2) invoices for purchases, receiving and issuing documents, and all other unit inventory records for the Contractor's stocks or capital items; and (3) paid invoices and cancelled checks for materials purchased and for subcontr other third parties' charges. Additionally, the State, the United States Government, and their duly-authorized representatives shall have page 3 of 8 H-GAC10/98 Contract # access to all the governmental records that are directly applicable to this agreement for the purpose of making audits, examinations, excerpts, and transcriptions. The Contractor further agrees to include in all its subcontracts permitted pursuant to Article 12 hereof, a provision to the effect that the subcontractor agrees that H-GAC and its duly authorized representatives shall, until the expiration of four (4) years after final payment under the subcontract or until all audit findings have been resolved, have access to and the right to examine and copy any directly pertinent books, documents, papers, invoices and records of such subcontractor involving transactions relating to the subcontract. ARTICLE 15 RETENTION OF RECORDS The Contractor shall maintain all records pertinent to this Agreement, including but not limited to those records enumerated in Article 14, and all other financial, statistical, property, participant records, and supporting documentation for a period of no less than four (4) calendar years from the later of the date of acceptance of the final contract closeout or the date of the final audit required under Article 13 of this Agreement. If any litigation, claim, negotiation, audit or other action involving the records has been started before the expiration of the retention period, the records shall be retained until completion of the action and resolution of all issues which arise from it, or until the end of the regular four (4) year period, whichever is later. ARTICLE 16 CHANGES AND AMENDMENTS Any alterations, additions, or deletions to the terms of this Agreement which are required by changes in federal law or regulations are automatically incorporated into this Agreement without written amendment hereto, and shall become effective on the date designated by such law or regulation; provided if the Contractor may not legally comply with such change, the contractor may terminate its participation herein as authorized by Article 17. H-GAC may, from time to time, require changes in the scope of the services of the Contractor to be performed hereunder. Such changes that are mutually agreed upon by and between H-GAC and the Contractor in writing shall be incorporated into this Agreement. ARTICLE 17 TERMINATION PROCEDURES The Contractor acknowledges that this Agreement may be terminated under the following circumstances: A.Convenience H-GAC may terminate this Agreement in whole or in part without cause at any time by written notice by certified mail to the Contractor whenever for any reason H-GAC determines that such termination is in the best interest of H-GAC. Upon receipt of notice of termination, all services hereunder of the Contractor and its employees and subcontractors shall cease to the extent specified in the notice of termination. In the event of termination in whole, the Contractor shall prepare a final invoice within 30 day days of such termination reflecting the services actually performed which have not appeared on any prior invoice, such invoice shall be satisfactory to the Executive Director or his designee. H-GAC agrees to pay the Contractor, in accordance with the terms of the Agreement, for services actually performed and accruing to the benefit of H-GAC, less payment of any compensation previously paid. The Contractor may cancel or terminate this Agreement upon thirty (30) days written notice by certified mail to H-GAC. The Contractor may not give notice of cancellation after it has received notice of default from H-GAC. In the event of such termination prior to completion of the Agreement provided for herein, H-GAC agrees to pay services herein specified on a prorated basis for work actually performed and invoiced in accordance with the terms of this Agreement, less payment of any compensation previously paid. B. Default page 4 of 8 H-GAC10/98 Contract # H-GAC may, by written notice of default to the Contractor, terminate the whole or any part of the Agreement in any one of the following circumstances: (1) If the Contractor fails to perform the services herein specified within the time specified herein or any extension thereof; or (2) If the Contractor fails to perform any of the other provisions of this Agreement for any reason whatsoever, or so fails to make progress or otherwise violates the Agreement that completion of the services herein specified within the agreement term is significantly endangered, and in either of these two instances does not cure such failure within a period of ten (10) days (or such longer period of time as may be authorized by H-GAC in writing) after receiving written notice by certified mail of default from H-GAC. In the event of such termination, all services of the Contractor and its employees and subcontractors shall cease and the Contractor shall prepare a final invoice reflecting the services actually performed pursuant to the Agreement which have not appeared on any prior invoice. Such invoice must be satisfactory to the Executive Director of H-GAC or his designee. H-GAC agrees to pay the Contractor, in accordance with the terms of this Agreement, for services actually performed and accruing to the benefit of H-GAC as reflected on said invoice, less payment of any compensation previously paid and less any costs or damages incurred by H-GAC as a result of such default, including incremental costs that H-GAC will incur to have the Agreement completed by a person other than the contractor. ARTICLE 18 SEVERABILITY All parties agree that should any provision of this Agreement be determined to be invalid or unenforceable, such determination shall not affect any other term of this Agreement, which shall continue in full force and effect. ARTICLE 19 COPYRIGHTS The state or federal awarding agency and H-GAC reserve a royalty-free, nonexclusive, and irrevocable license to reproduce, publish or otherwise use, and to authorize others to use, for state or federal government or H-GAC purposes: (a) The copyright of all maps, data, reports, research or other work developed under this Agreement; and (b) Any copyrights or rights of use to copyrighted material which the Contractor purchases with funding under this Agreement. All such data and material shall be furnished to H-GAC on request. ARTICLE 20 OWNERSHIP OF MATERIALS Except as may be specified in the Special Provisions, all data, reports, research, etc., developed by the Contractor as a part of its work under this Agreement shall become the property of the H-GAC upon completion of this Agreement, or in the event of termination or cancellation hereof, at the time of payment under ARTICLE 8 for work performed. All such data and material shall be furnished to H- GAC on request. ARTICLE 21 FORCE MAJEURE To the extent that either party to this Agreement shall be wholly or partially prevented from the performance within the term specified of any obligation or duty placed on such party by reason of or through strikes, stoppage of labor, riot, fire, flood, acts of war, insurrection, accident, order of any court, act of God, or specific cause reasonably b page 5 of 8 H-GAC10/98 Contract # nonfeasance, in such event, the time for the performance of such obligation or duty shall be suspended until such disability to perform is removed. Determination of force majeure shall rest solely with the H-GAC. ARTICLE 22 NON-DISCRIMINATION AND EQUAL OPPORTUNITY The Contractor agrees to comply with all federal statutes relating to nondiscrimination. These include but are not limited to: (a) Title VI of the Civil Rights Act of 1964 (P.L. 88-352) which prohibits discrimination on the basis of race, color or national origin; (b) Title IX of the Education Amendments of 1972, as amended (20 U.S.C. §§ 1681-1683, and 1685-1686), which prohibits discrimination on the basis of sex; (c) Section 504 of the Rehabilitation Act of 1973, as amended (29 U.S.C. § 794), which prohibits discrimination on the basis of handicaps and the Americans with Disabilities Act of 1990; (d) the Age Discrimination Act of 1974, as amended (42 U.S.C. §§ 6101- 6107), which prohibits discrimination on the basis of age; (e) the Drug Abuse Office and Treatment Act of 1972 (P.L. 92-255), as amended, relating to nondiscrimination on the basis of drug abuse; (f) the Comprehensive Alcohol Abuse and Alcoholism Prevention, Treatment and Rehabilitation Act of 1970 (P.L. 91-616), as amended, relating to the nondiscrimination on the basis of alcohol abuse or alcoholism; (g) §§ 523 and 527 of the Public Health Service Act of 1912 (42 U.S.C. 290 dd-3 and 290 ee-3), as amended, relating to confidentiality of alcohol and drug abuse patient records; (h) Title VIII of the Civil Rights Act of 1968 (42 U.S.C. § 3601 et seq.), as amended, relating to nondiscrimination in the sale, rental or financing of housing; (I) any other nondiscrimination provisions in any specific statute(s) applicable to any Federal funding for this Agreement; (j) the regulations of the United States Department of Transportation as they relate to non-discrimination (49 CFR Part 21 and 23 CFR Part 200), and Executive Order 1 ; and (k) the requirements of any other nondiscrimination statute(s) which may apply to this Agreement. ARTICLE 23 CONFLICT OF INTEREST No officer, member or employee of the Contractor or subcontractors, no member of the governing body of the Contractor, and no other public officials of the Contractor who exercise any functions or responsibilities in the review or approval of this Agreement, shall participate in any decision relating to this Agreement which affects his or her personal interest, or shall have any personal or pecuniary interest, direct or indirect, in this Agreement. ARTICLE 24 POLITICAL ACTIVITY; LOBBYING CERTIFICATION No funds provided under this Agreement may be used in any way to attempt to influence in any manner a member of Congress to favor or oppose any legislation or appropriation by Congress, or for lobbying with state or local legislators. The Contractor, if a recipient of federal assistance exceeding $100,000 through an H-GAC subcontract, will comply with section 319, Public Law 101-121 (31 U.S.C. 1352). In executing this agreement, each signatory certifies to the best of th (a) No federal appropriated funds have been paid or will be paid by or on behalf of the parties to any person for influencing or attempting to influence an officer or employee of any federal agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any federal contract, the making of any federal grant, the making of any federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any federal contract, grant, loan, or cooperative agreement. (b) If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with federal contracts, grants, loans, or cooperative agreements, the signatory for the Local Government shall complete and submit the Federal Standard Form- (c) The parties shall require that the language of this certification shall be included in the award documents for all sub-awards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and all sub- recipients shall certify and disclose accordingly. Submission of this certification is a prerequisite for making or entering into page 6 of 8 H-GAC10/98 Contract # this transaction imposed by Title 31 U.S.C. §1352. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure. ARTICLE 25 SECTARIAN INVOLVEMENT PROHIBITED The Contractor shall ensure that no funds under this Agreement are used, either directly or indirectly, in the support of any religious or anti- religious activity, worship, or instruction. ARTICLE 26 CRIMINAL PROVISIONS AND SANCTIONS The Contractor agrees that it will perform the Agreement activities in conformance with safeguards against fraud and abuse as set forth by the H-GAC, the State of Texas, and the acts and regulations of the funding entity. The Contractor agrees to promptly notify H-GAC of suspected fraud, abuse or other criminal activity through the filing of a written report within twenty-four (24) hours of knowledge thereof and to notify H-GAC of any accident or incident requiring medical attention arising from its activities under this Agreement within twenty- four (24) hours of such occurrence. Theft or willful damage to property on loan to the Contractor from H-GAC, if any, shall be reported to local law enforcement agencies and H-GAC within two (2) hours of discovery of any such act. The Contractor further agrees to cooperate fully with H-GAC, local law enforcement agencies, the State of Texas, the Federal Bureau of Investigation and any other duly authorized investigative unit in carrying out a full investigation of all such incidents. ARTICLE 27 TITLES NOT RESTRICTIVE The titles assigned to the various Articles of this Agreement are for convenience only. Titles shall not be considered restrictive of the subject matter of any Article, or part of this Agreement. ARTICLE 28 ACKNOWLEDGEMENT OF FUNDING SOURCE The Contractor shall give credit to Federal Transit Administration (FTA), Federal Highway Administration (FHWA), Texas Department of Transportation (TxDOT), National Highway Traffic Safety Administration (NHTSA) and H-GAC as the funding source for this ities which arise from this Agreement. ARTICLE 29 DISPUTES Any and all disputes concerning questions of fact or of law arising under this Agreement which are not disposed of by agreement shall be decided by the Executive Director of H-GAC or his designee, who shall reduce his decision to writing and provide notice thereof to the Contractor. The decision of the Executive Director or his designee shall be final and conclusive unless, within thirty (30) days from the date of receipt of such copy, the Contractor requests a rehearing from the Executive Director of H-GAC. In connection with any rehearing under this Article, the Contractor shall be afforded an opportunity to be heard and offer evidence in support of its position. The decision of the Executive Director after any such rehearing shall be final and conclusive. The Contractor may, if it elects to do so, appeal the final and conclusive decision of the Executive Director to a court of competent jurisdiction. Pending final decision of a dispute hereunder, the Contractor shall proceed diligently with the performance of the Agreement and in accordance with H-GAC's final decision. ARTICLE 30 GOVERNING LAW; VENUE page 7 of 8 H-GAC10/98 Contract # This Agreement shall be governed by the laws of the State of Texas. Venue and jurisdiction of any suit or cause of action arising under or in connection with the Agreement shall lie exclusively in Harris County, Texas, unless the laws of the State of Texas specifically establish venue in some other county. ARTICLE 31 ORDER OF PRIORITY In the case of any conflict between the General Provision, the Special Provisions, and Attachments to this Agreement, the following order of priority shall be utilized: Special Provision, General Provisions, and Attachments. H-GAC and the Contractor have executed the Agreement as of the date first written above. Jack Steele, Executive Director Corby Alexander Houston-Galveston Area Council City Manager Date Date page 8 of 8 H-GAC10/98 SPECIAL PROVISIONS INDEX PAGE 1. Compensation 1 2. Contractor Personnel 2 3. Inspection of Work 2 4. Proprietary Rights 2 5. Insurance 2 6. Progress Reports 2 7. Disadvantaged Business Enterprises 3 8. Title VI Assurance 3 9. Compliance with Laws 4 10.Energy Policy 4 11.Clean Air Act and Federal Water Pollution Control Act Requirements 4 12.Debarred Bidders 4 13.Drug-Free Workplace 5 1. COMPENSATION The Contractor shall be reimbursed by H-GAC for authorized costs in accordance with 48 CFR, Ch 1, Part 31 incurred in performance of the work set out in this contract as specifically described in Attachment A. Detailed records must be maintained to show actual time devoted and costs incurred. The Contractor will submit a final invoice within 30 days after the completion of work. Invoices submitted after this time will not be honored unless prior arrangements are made and approved in writing by H-GAC. Six Thousand A.Maximum Compensation. The total reimbursement under this contract shall not exceed $6,000 Dollars (). B. Travel Expenses and Subsistence. The Contractor shall be paid the actual cost incurred by personnel working on this project for travel expenses and subsistence that are certified as being correct and necessary for and directly associated with performance of this Contract. In-state travel shall be reimbursed at rates established by the State Comptrollers Office: (http://www.cpa.state.tx.us/). Transportation costs shall be reimbursed for Coach or comparable airfare or for private automobile, whichever is less. Out-of-state travel shall be reimbursed not to exceed current Federal Per Diem rates as allowed by 41 CFR Part 301-7 and Chapter 301 Federal Travel Regulations; Maximum Per Diem rates; Final Rule. Rental vehicle expenses shall be reimbursed at actual cost of compact car or smaller, unless approved by H-GAC in advance. (Note: Itemized receipt(s) for food is necessary) C.Method of Payment. H-GAC will reimburse the Contractor for services rendered on the basis of allowable costs up to the amount specified in Section 1, Part A above. Reimbursement shall be made monthly within forty-five (45) days after the receipt of the Contractor's invoice and support documentation, except as stipulated in paragraph E below. An invoice must arrive each month whether or not any expenses have occurred. In addition to documentation for travel and equipment each invoice must be accompanied by a progress report as described in Section 6, Activity Reports, below. D. Billings. The Contractor shall submit a Request for Reimbursement reflecting the overtime worked within eighteen (18) days of an enforcement period. The Request for Reimbursement shall include the following set of reports, where applicable, reflecting the enforcement activities conducted as part of the Regional DWI Task Force grant: i. Agency Enforcement Summary Sheet (which will ; ii. Officers Shift Reports; iii. Official Overtime Slips from law enforcement agency; iv. Shift Reports from agency computer-aided dispatch (CAD) systems reflecting time worked; v. Financial printouts from agency accounting system; vi. List of public events attended where DWI and the DWI Task Force were discussed E.Matching Fund Certification. The Contractor shall record and report benefits and taxes that have been paid on the overtime pay accrued by participating staff during the enforcement period, as well as the number of miles driven by participating staff in the vehicle used for the enforcement activities. The rates for these items are as follows: 14.0 percent of wages - $840.00 i. Retirement Match: 6.2 percent of wages - $372.00 ii. Social Security Tax: 1.45 percent of wages - $87.00 iii. Medicare Tax: 1.71 percent of wages - $102.00 iv. $0.575 per mile v. Vehicle Mileage Rate: These rates may be subject to change based on legislative or local governmental action. H-GAC must be notified of any change page 1 of 5 H-GAC--10/98; 3/05--SpecProvIA in the above-listed rates made by the Contractor. 2. CONTRACTOR PERSONNEL The Contractor agrees to assign qualified staff members including a Project Manager who shall be responsible for the task administration Bennie Boles and work performance. The Project Manager shall be . In the event the Project Manager becomes no longer available to this project, a substitution of like personnel with similar qualifications can only be made after obtaining prior written approval of H-GAC. 3. INSPECTION OF WORK H-GAC shall have the right to review and inspect the progress of the work described herein at all times. 4. PROPRIETARY RIGHTS Contractor agrees not to release data or information about the results of the project to any person outside of H-GAC without first obtaining written authorization to release such information from H-GAC. Contractor shall be permitted to list H-GAC as a client for marketing purposes. 5. INSURANCE H-GAC acknowledges that Contractor is governed by the Texas Tort Claims Act, which sets forth certain limitations and restrictions on the types of liability and the types of insurance coverage that can be required of Contractor. The Contractor represents to H-GAC that it either has adequate General Liability and Property insurance policies in place or sufficient resources to self-insure for all claims for which it may be responsible under the Texas Tort Claims Act. The Contractor further represents to H-GAC that it either has -insure for workers compensation coverage under Texas law and has elected to do so. 6. ACTIVITY REPORTS The Contractor shall submit to H-GAC activity reports as described in Section One, Parts C and D above. The reports shall reflect enforcement activities accomplished during the previous enforcement period. These reports will include, but not be limited to the list of items required under Section One, Part D. 7. DISADVANTAGED BUSINESS ENTERPRISES (1) Policy. It is the policy of the Department of Transportation (DOT) that disadvantaged business enterprises as defined in 49 CFR Part 26 shall have the maximum opportunity to participate in the performance of contracts financed in whole or part with Federal funds under this Agreement. Consequently, the DBE requirements of 49 CFR Part 26 apply to this Agreement. (2) DBE Obligation. The Contractor agrees to ensure that disadvantaged business enterprises as defined in 49 CFR Part 26 have the maximum opportunity to participate in the performance of contracts and subcontracts financed in whole or in part with Federal funds provided under this Agreement. In this regard the Contractor shall take all necessary and reasonable steps in accordance with 49 CFR Part 26 to ensure that disadvantaged business enterprises have the maximum opportunity to compete for and page 2 of 5 H-GAC--10/98; 3/05--SpecProvIA perform contracts. The Contractor shall not discriminate on the basis of race, creed, color, national origin, age, or sex in the award and performance of DOT-assisted contracts. H-GAC has established a goal of 22% DBE participation in its FTA third party contracting opportunities. There, any contract issued under this Agreement will carry a 22% DBE participation goal. 8. TITLE VI ASSURANCE During the performance of this Contract, the Contractor, for itself, its assignees and successors in interest (hereinafter referred to as the "Contractor") agrees as follows: (a) Compliance with Regulations. The Contractor shall comply with the regulations relative to nondiscrimination in Federally- assisted programs of the Department of Transportation (hereinafter, "DOT") Title 49, Code of Federal Regulations, Part 21, as they may be amended from time to time (hereinafter referred to as the "Regulations"), which are herein incorporated by reference and made a part of this Contract. (b) Nondiscrimination. The Contractor, with regard to the work performed by it during the Contract, shall not discriminate on the grounds of race, color, religion, sex, age, or national origin in the selection and retention of subcontractors, including procurement of materials and leases of equipment. The Contractor shall not participate either directly or indirectly in the discrimination prohibited by Section 21.5 of the Regulation including employment practices when the Contract covers a program set forth in Appendix B of the Regulations. (c) Solicitation for Subcontracts, including Procurement of Materials and Equipment. In all solicitations either by competitive bidding or negotiation made by the Contractor for work to be performed under the subcontract, including procurement of materials or leases of equipment, each potential subcontractor or supplier shall be notified by the Contractor of the Contractor's obligations under this Contract and the Regulations relative to nondiscrimination on the grounds of race, color, religion, age, sex, or national origin. (d) Information and Reports. The Contractor shall provide all information and reports required by the Regulations or directives issued pursuant thereto, and shall permit access to its books, records, accounts, other sources of information, and its facilities as may be determined by H-GAC or the Department of Transportation (DOT) to be pertinent to ascertain compliance with such regulations, orders, and instructions. Where any information is required of a Contractor and is in the exclusive possession of another who fails or refuses to furnish this information, the Contractor shall so certify to H-GAC or the Department of Transportation, as appropriate and shall set forth what efforts it has made to obtain the information. (e) Sanctions for Noncompliance. In the event of the Contractor's noncompliance with the nondiscrimination provisions of this Contract, the District shall impose such contract sanctions as it or the Department of Transportation may determine to be appropriate, including, but not limited to: (1) Withholding of payments to the Contractor under the Contract until the Contractor complies, and/or (2) Cancellation, termination, or suspension of the Contract, in whole or in part. (f) Incorporation of Provisions. The Contractor shall include the provisions of paragraphs (a) through (f) in every subcontract, including procurement of materials and leases of equipment, unless exempt by the Regulations, or directives issued pursuant hereto. The Contractor shall take such action with respect to any subcontract or procurement as H-GAC may direct as a means of enforcing such provisions including sanctions for noncompliance. Provided, however, that in the event a Contractor becomes involved in or is threatened with litigation with a subcontractor or supplier as a result of such direction, the Contractor may request H-GAC to enter into such litigation to protect the interests of H-GAC and, in addition, the Contractor may request the page 3 of 5 H-GAC--10/98; 3/05--SpecProvIA United States to enter into such litigation to protect the interests of the United States. 9. COMPLIANCE WITH LAWS The Contractor shall comply with all Federal, State and local laws, statutes, ordinances, rules and regulations, and the orders and decrees of any courts or administrative bodies or tribunals in any matter affecting the performance of this Agreement, including aws and regulations. When required, the Contractor shall furnish H-GAC with satisfactory proof of its compliance therewith. 10. ENERGY POLICY Contracts shall recognize mandatory standards and policies relating to energy efficiency which are contained in the state energy conservation plan issued in compliance with the Energy Policy and Conservation Act (P.L. 94-163). 11. CLEAN AIR ACT AND FEDERAL WATER POLLUTION CONTROL ACT REQUIREMENTS Contractor agrees to comply with all applicable standards, orders, or requirements issued under Section 306 of the Clean Air Act (42 USC 1857 (h), Section 508 of the Clean Water Act (33 USC 1368), Executive Order 11738, and Environmental Protection Agency regulations (40 CFR, Part 15) which prohibit the use under nonexempt federal contracts, grants or loans, of facilities included on the EPA list for Violating Facilities. 12. DEBARRED BIDDERS Contractor, including any of its officers or holders of a controlling interest, is obligated to inform H-GAC whether or not it is or has been on any debarred bidders' list maintained by the United States Government. Should the Contractor be included on such a list during the performance of this project, it shall so inform H-GAC. The parties are prohibited from making any award at any tier to any party that is debarred or suspended or otherwise excluded from or ineligible for participation in Fede this agreement, the Local Government certifies that it is not currently debarred, suspended, or otherwise excluded from or ineligible for participation in Federal Programs under Executive Order 12549 and further certifies that it will not do business with any party that is currently debarred, suspended, or otherwise excluded from or ineligible for participation in Federal Assistance Programs under Executive Order 12549. The parties to this contract shall require any party to a subcontract or purchase order awarded under this contract to certify its eligibility to receive federal funds and, when requested by the State, to furnish a copy of the certification. 13. DRUG-FREE WORKPLACE The Contractor agrees that if the Contractor is a recipient of more than $25,000 in federal assistance through an H-GAC subcontract, the Contractor shall provide a "drug-free" workplace in accordance with the Drug-free Workplace Act (DFWA), March 18, 1989. For purposes of this Section, "drug-free" means a worksite at which employees are prohibited from engaging in the unlawful manufacture, distribution, dispensation, possession, or use of a controlled substance. The Contractor shall: 1. Publish a policy statement prohibiting the manufacture, distribution, dispensation, possession, or use of a controlled substance and notify employees of the consequences for violating this prohibition; page 4 of 5 H-GAC--10/98; 3/05--SpecProvIA 2. Establish a drug-free awareness program; 3. Provide each employee with a copy of its policy statement; and 4. Notify employees that, as a condition of employment, the employee must adhere to the terms of the statement and must notify the employer of any criminal drug offense within five days of conviction. page 5 of 5 H-GAC--10/98; 3/05--SpecProvIA REQUEST FOR CITY COUNCIL AGENDA ITEMREQUEST FOR CITY COUNCIL AGENDA ITEM September 28, September 28, AppropriationAppropriation Agenda Date Requested:Agenda Date Requested: 20152015 N/AN/A Source of Funds:Source of Funds: M. DolbyM. Dolby Requested By:Requested By: N/AN/A Account Number:Account Number: FinanceFinance Department:Department: N/AN/A Amount Budgeted:Amount Budgeted: Report:Resolution:Resolution:Ordinance:Ordinance: N/AN/A Amount Requested:Amount Requested: Other: Budgeted Item:Budgeted Item:YESYESNONO AttachmentsAttachments : : 1. Resolution Resolution SUMMARY & RECOMMENDATIONSSUMMARY & RECOMMENDATIONS GASB 54 requires that the City commit fund balance of the General Fund prior to the end of the fiscal GASB 54 requires that the City commit fund balance of the General Fund prior to the end of the fiscal year. The General Fund fund balance can only be committed for a specific purpose by formal action of year. The General Fund fund balance can only be committed for a specific purpose by formal action of the City council. Committed fund balance does not lapse at yearthe City council. Committed fund balance does not lapse at year--end. The formal action required to end. The formal action required to commit fund balance shall be by resolution. The $5,000,000 committed in fiscal year 2014 for utility commit fund balance shall be by resolution. The $5,000,000 committed in fiscal year 2014 for utility improvements will remain committed and will be used in the 2015improvements will remain committed and will be used in the 2015--2016 budget. Two million dollars will 2016 budget. Two million dollars will be committed as of September 30, 2015 from the General Fund for Health Insurancebe committed as of September 30, 2015 from the General Fund for Health Insurance The total committed funds as of September 30, 2015 will be $2,000,000.The total committed funds as of September 30, 2015 will be $2,000,000. Health Insurance $2,000,000 Health Insurance $2,000,000 Action Required of Council:Action Required of Council: Consider approval or other action of a resolution to commit General Fund fund balance in an amount of Consider approval or other action of a resolution to commit General Fund fund balance in an amount of $2,000,000 for Health Insurance.$2,000,000 for Health Insurance. Approved for City Council AgendaApproved for City Council Agenda Corby D. Alexander, City ManagerCorby D. Alexander, City ManagerDateDate REQUEST FOR CITY COUNCIL AGENDA ITEMREQUEST FOR CITY COUNCIL AGENDA ITEM September 28, September 28, AppropriationAppropriation Agenda Date Requested:Agenda Date Requested: 20152015 Airport Fund (010)Airport Fund (010) Source of Funds:Source of Funds: D. MickD. Mick Requested By:Requested By: N/AN/A Account Number:Account Number: Public WorksPublic Works Department:Department: 9,675.009,675.00 Amount Budgeted:Amount Budgeted: Report:Resolution:Resolution:Ordinance:Ordinance: 15,000.0015,000.00 Amount Requested:Amount Requested: Other: Budgeted Item:Budgeted Item:YESYESNONO AttachmentsAttachments : : 1. Grant Document Grant Document SUMMARY & RECOMMENDATIONSSUMMARY & RECOMMENDATIONS Staff submitted a $30,000 ($15,000 TxDOT/$15,000 City) Routine Airport Maintenance (RAMP) grant Staff submitted a $30,000 ($15,000 TxDOT/$15,000 City) Routine Airport Maintenance (RAMP) grant request to the Texas Department of Transportation (TxDOT) Aviation Division. Final expenditures are request to the Texas Department of Transportation (TxDOT) Aviation Division. Final expenditures are expected to be less than $10,000. A $20,000 contingency is added so that there would be no need to expected to be less than $10,000. A $20,000 contingency is added so that there would be no need to reapply to TxDOT if an unanticipated repairs/needs arose during the year. reapply to TxDOT if an unanticipated repairs/needs arose during the year. The approved FY 2016 airport fund budget includes a combined $9,675 total in line items 20The approved FY 2016 airport fund budget includes a combined $9,675 total in line items 20--07 07 (chemicals including herbicide, weed killer), 40(chemicals including herbicide, weed killer), 40--02 (fence repair, maintenance of electronic gates), 4002 (fence repair, maintenance of electronic gates), 40- 03 (beacon inspection/maintenance), 4003 (beacon inspection/maintenance), 40--15 (crack seal, pavement repair). TxDOT will reimburse the 15 (crack seal, pavement repair). TxDOT will reimburse the city for 50% of the outcity for 50% of the out--ofof--pocket expense associated with these items. pocket expense associated with these items. Staff utilized $0 of the $20,000 contingency added to last yearStaff utilized $0 of the $20,000 contingency added to last years FY 2015 RAMP grant. s FY 2015 RAMP grant. Other Considerations: Other Considerations: All FAA/TxDOT airport grant agreements include a stipulation that the city agrees to maintain the airport All FAA/TxDOT airport grant agreements include a stipulation that the city agrees to maintain the airport for at least 20for at least 20--years. This grant stipulation is less restrictive than the airport deed restriction indicating years. This grant stipulation is less restrictive than the airport deed restriction indicating that the city will maintain the property as a public airport or the property reverts back to the FAA. that the city will maintain the property as a public airport or the property reverts back to the FAA. Action Required of Council:Action Required of Council: Consider approval or other action to authorize the City Manager to enter into a 50% cost share grant Consider approval or other action to authorize the City Manager to enter into a 50% cost share grant agreement with TxDOT Aviation in the amount of $10,000 plus a $20,000 contingency for a total of agreement with TxDOT Aviation in the amount of $10,000 plus a $20,000 contingency for a total of $30,000 split $15,000 TxDOT/$15,000 Airport Fund. $30,000 split $15,000 TxDOT/$15,000 Airport Fund. Approved for City Council AgendaApproved for City Council Agenda Corby D. Alexander, City ManagerCorby D. Alexander, City ManagerDateDate REQUEST FOR CITY COUNCIL AGENDA ITEMREQUEST FOR CITY COUNCIL AGENDA ITEM September 28, September 28, AppropriationAppropriation Agenda Date Requested:Agenda Date Requested: 20152015 N/AN/A Source of Funds:Source of Funds: P. FogartyP. Fogarty Requested By:Requested By: N/AN/A Account Number:Account Number: City Secretary's OfficeCity Secretary's Office Department:Department: N/AN/A Amount Budgeted:Amount Budgeted: Report:Resolution:Resolution:Ordinance:Ordinance: N/AN/A Amount Requested:Amount Requested: Other: Budgeted Item:Budgeted Item:YESYESNONO AttachmentsAttachments : : 1. Harris County Appraisal District Memo Harris County Appraisal District Memo 2. Letter from Ed Heathcott Letter from Ed Heathcott 3. Resolution Resolution SUMMARY & RECOMMENDATIONSSUMMARY & RECOMMENDATIONS The procedures for selecting members of the board of directors of the Harris County Appraisal District The procedures for selecting members of the board of directors of the Harris County Appraisal District are as follows: cities and towns other than the City of Houston appoint one member by majority vote of are as follows: cities and towns other than the City of Houston appoint one member by majority vote of their city council. The process for cities and towns involves two steps: nomination and election. The their city council. The process for cities and towns involves two steps: nomination and election. The City is at the nomination stage.City is at the nomination stage. The City of La Porte is authorized to nominate by Resolution a single candidate to the Harris County The City of La Porte is authorized to nominate by Resolution a single candidate to the Harris County Appraisal District Board of Directors for a twoAppraisal District Board of Directors for a two--year term commencing January 1, 2016. In the past, the year term commencing January 1, 2016. In the past, the City nominated Ed Heathcott. Mr. Heathcott is seeking reâCity nominated Ed Heathcott. Mr. Heathcott is seeking reâelection to the Board, and he asks the City election to the Board, and he asks the City for support and nomination. A copy of his letter is attached. The City has received no other requests for for support and nomination. A copy of his letter is attached. The City has received no other requests for support. support. A resolution nominating the CityA resolution nominating the Citys candidate must be sent to the Chief Appraiser of the HCAD no later s candidate must be sent to the Chief Appraiser of the HCAD no later than Thursday, October 15, 2015.than Thursday, October 15, 2015. Should Council desire to nominate someone to the HCAD board of directors, staff recommends Council Should Council desire to nominate someone to the HCAD board of directors, staff recommends Council adopt this resolution naming their nominee.adopt this resolution naming their nominee. Action Required of Council:Action Required of Council: Consider approval or other action of a Resolution appointing _________ as the CityConsider approval or other action of a Resolution appointing _________ as the Citys representative to s representative to the Harris County Appraisal District Board of Directors.the Harris County Appraisal District Board of Directors. Approved for City Council AgendaApproved for City Council Agenda Corby D. Alexander, City ManagerCorby D. Alexander, City ManagerDateDate REQUEST FOR CITY COUNCIL AGENDA ITEMREQUEST FOR CITY COUNCIL AGENDA ITEM September 28, September 28, AppropriationAppropriation Agenda Date Requested:Agenda Date Requested: 20152015 N/AN/A Source of Funds:Source of Funds: C. AlexanderC. Alexander Requested By:Requested By: N/AN/A Account Number:Account Number: AdministrationAdministration Department:Department: N/AN/A Amount Budgeted:Amount Budgeted: Report:Resolution:Resolution:Ordinance:Ordinance: N/AN/A Amount Requested:Amount Requested: Other: Budgeted Item:Budgeted Item:YESYESNONO AttachmentsAttachments : : 1. Proposed Rate Structure Proposed Rate Structure 2. Prevalence of Medical Conditions Prevalence of Medical Conditions SUMMARY & RECOMMENDATIONSSUMMARY & RECOMMENDATIONS As part of the CityAs part of the Citys efforts to contain costs incurred by the Employee Health Insurance Fund, staff has s efforts to contain costs incurred by the Employee Health Insurance Fund, staff has been evaluating a number of initiatives with the hope of improving employee health and thus, reducing been evaluating a number of initiatives with the hope of improving employee health and thus, reducing employee claims. Staff is recommending initiatives that would address two issues: being proactive in employee claims. Staff is recommending initiatives that would address two issues: being proactive in management of chronic conditions and improving employee health by reducing tobacco use. management of chronic conditions and improving employee health by reducing tobacco use. : Funding for biometric screening is included in the FY2016 budget : Funding for biometric screening is included in the FY2016 budget Proactive Health ManagementProactive Health Management and will provide free screenings for conditions such as high blood pressure, high cholesterol, diabetes, and will provide free screenings for conditions such as high blood pressure, high cholesterol, diabetes, skin cancer, and osteoporosis. skin cancer, and osteoporosis. (including smokeless tobacco products): Staff is proposing a rate structure to medical (including smokeless tobacco products): Staff is proposing a rate structure to medical (including smokeless tobacco products): Staff is proposing a rate structure to medical (including smokeless tobacco products): Staff is proposing a rate structure to medical Tobacco UseTobacco UseTobacco UseTobacco Use insurance premiums that charge tobacco users more than noninsurance premiums that charge tobacco users more than non--tobacco users. The rates for nontobacco users. The rates for non-- tobacco users would be $50 less per month than what tobacco users will pay for the plan year that tobacco users would be $50 less per month than what tobacco users will pay for the plan year that begins in January 2016. The nonbegins in January 2016. The non--tobacco rate would be unchanged from the current year medical tobacco rate would be unchanged from the current year medical insurance premiums. The City is providing several free, optional screening opportunities for employees insurance premiums. The City is providing several free, optional screening opportunities for employees wishing to obtain the nonwishing to obtain the non--tobacco user premium between October 15 and November 15, 2015. tobacco user premium between October 15 and November 15, 2015. The details for implementing this new rate structure are as follows:The details for implementing this new rate structure are as follows: Applicable to employees only. Dependents, spouses, and retirees are not proposed to be Applicable to employees only. Dependents, spouses, and retirees are not proposed to be impacted by this change.impacted by this change. Default premium will be the tobacco user rate, which is $50 more per month than the current Default premium will be the tobacco user rate, which is $50 more per month than the current rates. Employees that would like the nonEmployees that would like the non--tobacco rate will have several opportunities to take a tobacco tobacco rate will have several opportunities to take a tobacco screen. screen. If the employeeIf the employees tobacco screen is tobacco free, the employee is eligible for the lower, s tobacco screen is tobacco free, the employee is eligible for the lower, nonnon--tobacco premium.tobacco premium. If the employeeIf the employees tobacco screen is NOT tobacco free, the employee is not eligible for the s tobacco screen is NOT tobacco free, the employee is not eligible for the lower premium.lower premium. Employees that are currently in a smoking cessation program will show as a positive test. Employees that are currently in a smoking cessation program will show as a positive test. The City will work with those individuals that fall into this category. The City will work with those individuals that fall into this category. If an employee feels the test presented a false positive, he/she will be able to appeal and reIf an employee feels the test presented a false positive, he/she will be able to appeal and re- take a test.take a test. For employees that refuse to take the tobacco screen, the City will offer enrollment in a For employees that refuse to take the tobacco screen, the City will offer enrollment in a Wellness Program focused on smoking cessation and will include regular biometric Wellness Program focused on smoking cessation and will include regular biometric screens and completion of a smoking cessation program.screens and completion of a smoking cessation program. At the recommendation of the Chapter 172 Board, staff will be looking at other ways to incentivize At the recommendation of the Chapter 172 Board, staff will be looking at other ways to incentivize employees that are nonemployees that are non--smokers and staying healthy. smokers and staying healthy. The Chapter 172 Board approved the rate structure at the September 3, 2015 meeting, pending The Chapter 172 Board approved the rate structure at the September 3, 2015 meeting, pending additional information regarding implementation. Staff presented additional information at the additional information regarding implementation. Staff presented additional information at the September 16, 2015 meeting and the Board recommended that the Council approve the tobacco use September 16, 2015 meeting and the Board recommended that the Council approve the tobacco use rate structure for medical insurance premiums as outlined above, effective the plan year beginning rate structure for medical insurance premiums as outlined above, effective the plan year beginning January 1, 2016.January 1, 2016. Action Required of Council:Action Required of Council: Consider approval or other action to implement a tobacco use rate structure for medical insurance Consider approval or other action to implement a tobacco use rate structure for medical insurance premiums, effective for the plan year beginning January 1, 2016.premiums, effective for the plan year beginning January 1, 2016. Approved for City Council AgendaApproved for City Council AgendaApproved for City Council AgendaApproved for City Council Agenda Corby D. Alexander, City ManagerCorby D. Alexander, City ManagerDateDate ЋЉЊЏ ƚƷğƌ aƚƓƷŷƌǤ /ƚƭƷ υЊͲБЍЊ͵ЌВυЊͲЎЉЏ͵ЎВυЋͲЍЋА͵ЋВυЊͲЌЋЋ͵БАυЊͲЉБЋ͵ЌЎυЊͲАЍЌ͵АБυЊͲЋБЋ͵ВЏυЊͲЉЍВ͵ЏВ υБЌА͵ЉЉυЏЉЊ͵ЌЉυЎБЌ͵ЊЏ /ƚƓƷƩźĬǒƷźƚƓ aƚƓƷŷƌǤ υЊͲЏАЎ͵ЏЍυЊͲЌЎЊ͵ЍЌυЋͲЋЍЊ͵ВАυЊͲЊВЋ͵ЎЋυЊͲЎББ͵ЊАυЊͲЊАА͵ВЏ υАБЏ͵АБυЎАБ͵ЎВυВЏЋ͵ЋАυЎЏБ͵ЎЊυВЎЍ͵ЍЍ aƚƓƷŷƌǤ tƩĻƒźǒƒ ƚĬğĭĭƚ ƭĻƩ ƚĬğĭĭƚ ƭĻƩ aĻķźĭğƌ tƩĻƒźǒƒ wğƷĻ /ŷğƩƷʹ υЊЉЉ͵ЋЋυЋЊЎ͵АЎυЋЉЎ͵ЊЏυЋЌЎ͵ЌЋυЊБЉ͵ЌЎυЊАЉ͵ЉБυЋЉЎ͵ЏЊυЊЎЎ͵ЉЉυЊЍЎ͵ЋЎ υАЋ͵АЊυЏЍ͵ЏЎ tĻƩ tğǤ tĻƩźƚķ ƚĬğĭĭƚ ƭĻƩ υЊЉБ͵ЏЊ υЍЏ͵ЋЏυВВ͵ЎБυВЍ͵ЏВυЌЌ͵ЎЏυБЌ͵ЋЍυАБ͵ЎЉυВЍ͵ВЉυЋВ͵БЍυАЊ͵ЍЉυЏА͵ЉЍ tƌğƓ ĻğƩ ЋЉЊЏ aƚƓƷŷƌǤ tƩĻƒźǒƒ ƚĬğĭĭƚ ƭĻƩ υЊЏЎ͵АЎυЊЎЎ͵ЊЏυЊБЎ͵ЌЋυЊЌЉ͵ЌЎυЊЋЉ͵ЉБυЊЎЎ͵ЏЊυЊЉЎ͵ЉЉ υЎЉ͵ЋЋυЋЋ͵АЊυЊЍ͵ЏЎυВЎ͵ЋЎ Ώ Ώ bƚƓ ƚĬğĭĭƚ ǝĻƩƭǒƭ bƚƓ ƚĬğĭĭƚ tĻƩ tğǤ tĻƩźƚķ υЋЌ͵ЊБυАЏ͵ЎЉυАЊ͵ЏЊυБЎ͵ЎЌυЊЉ͵ЍБυЏЉ͵ЊЏυЎЎ͵ЍЋυАЊ͵БЋυЍБ͵ЍЏυЍЌ͵ВЏ υЏ͵АЏ ƭĻƩ Ώ bƚƓ 9ƒƦƌƚǤĻĻ ε /ŷźƌķΛƩĻƓΜ 9ƒƦƌƚǤĻĻ ε /ŷźƌķΛƩĻƓΜ 9ƒƦƌƚǤĻĻ ε /ŷźƌķΛƩĻƓΜ 9ƒƦƌƚǤĻĻ ε {ƦƚǒƭĻ9ƒƦƌƚǤĻĻ ε {ƦƚǒƭĻ9ƒƦƌƚǤĻĻ ε {ƦƚǒƭĻ 9ƒƦƌƚǤĻĻ ε CğƒźƌǤ9ƒƦƌƚǤĻĻ ε CğƒźƌǤ 9ƒƦƌƚǤĻĻ9ƒƦƌƚǤĻĻ9ƒƦƌƚǤĻĻ 9ƌĻĭƷźƚƓƭ tth ЎЉЉ IC ЊЉЉЉ IC ЊЎЉЉ tƌğƓ υЊͲЏВЊ͵ЊА υЊͲЎАЉ͵ЍВ υЊАЉ͵ЏБ υАБ͵АБ υЊЋЉ͵ЏБ υЎЎ͵АЉ 9ƒƦƌƚǤĻĻ ε CğƒźƌǤ January 1, 2015-July, 31, 2015 Prevalence 14.7%13.9%7.4%7.4%5.3%6.0%2.9%6.3%6.3%4.8%2.8%4.3%1.9%3.6%1.8%1.2%0.7%2.1%2.2%0.7%0.4%0.5%0.6%0.5%0.4% Aetna Prevalence 22.8%18.5%10.7%9.6%8.0%7.8%7.2%6.8%6.6%6.3%5.0%4.0%3.8%3.4%3.3%2.0%1.9%1.8%1.8%1.7%1.1%0.9%0.8%0.6%0.5% Top Conditions By Claims Paid - 2015 Claimants 1931579181686661585653423432292817161515149 8 7 5 4 Unique City of La Porte ADHD and other Childhood Disruptive Disorders 21 Migraine and Other Headaches Inflammatory Bowel Disease Nonspecific Gastritis/Dyspepsia Benign Prostatic Hypertrophy Includes only continuously enrolled members Chronic Thyroid Disorders Ischemic Heart Disease Peripheral Artery Disease Iron Deficiency Anemia Metabolic Syndrome Diverticular Disease Low Back Pain Diabetes Mellitus Kidney Stones Hyperlipidemia Hypertension Depression Heart Failure Osteoarthritis Otitis Media Atrial Fibrillation Asthma Obesity Anxiety Allergy Condition/Disease 8/28/2015 REQUEST FOR CITY COUNCIL AGENDA ITEMREQUEST FOR CITY COUNCIL AGENDA ITEM September 28, September 28, AppropriationAppropriation Agenda Date Requested:Agenda Date Requested: 20152015 N/AN/A Source of Funds:Source of Funds: M. DolbyM. Dolby Requested By:Requested By: N/AN/A Account Number:Account Number: FinanceFinance Department:Department: N/AN/A Amount Budgeted:Amount Budgeted: Report:Resolution:Resolution:Ordinance:Ordinance: N/AN/A Amount Requested:Amount Requested: Other: Budgeted Item:Budgeted Item:YESYESNONO AttachmentsAttachments : : 1. Ordinance Ordinance 2. Five (5) Year Capital Plan Five (5) Year Capital Plan 3. Preliminary Official Statement Preliminary Official Statement 4. Notice of Sale Notice of Sale SUMMARY & RECOMMENDATIONSSUMMARY & RECOMMENDATIONS At the August 24, 2015 City Council meeting, the City Council approved the Notice of Intent to sell At the August 24, 2015 City Council meeting, the City Council approved the Notice of Intent to sell approximately $8 million in bonds for the construction of utility and street improvements throughout the approximately $8 million in bonds for the construction of utility and street improvements throughout the City. These projects are part of the FiveCity. These projects are part of the Five--Year Capital plan for the CityYear Capital plan for the Citys street and utility system. Staff s street and utility system. Staff published the Notice of Intention to Issue Certificates of Obligation in the amount of $8,000,000 the week published the Notice of Intention to Issue Certificates of Obligation in the amount of $8,000,000 the week of August 24, 2015; the week of September 14, 2015, and the week of September 21, 2015.of August 24, 2015; the week of September 14, 2015, and the week of September 21, 2015. RBC Capital Markets, the CityRBC Capital Markets, the Citys Financial Advisors, has prepared and made available to the City a s Financial Advisors, has prepared and made available to the City a Notice of Sale and Preliminary Official Statement, which have been reviewed and are being updated by Notice of Sale and Preliminary Official Statement, which have been reviewed and are being updated by staff for use in the offering and sale of the Certificates. The use of the Preliminary Official Statement staff for use in the offering and sale of the Certificates. The use of the Preliminary Official Statement and the preparation of a final Official Statement are ratified and approved by the Ordinance. On Page 3 and the preparation of a final Official Statement are ratified and approved by the Ordinance. On Page 3 and the preparation of a final Official Statement are ratified and approved by the Ordinance. On Page 3 and the preparation of a final Official Statement are ratified and approved by the Ordinance. On Page 3 of the Ordinance, there are blanks for the principal amount and maturity schedule, which will be of the Ordinance, there are blanks for the principal amount and maturity schedule, which will be completed on the date of pricing. completed on the date of pricing. Therefore, staff is requesting consideration and approval of an ordinance authorizing the issuance of Therefore, staff is requesting consideration and approval of an ordinance authorizing the issuance of approximately $8,000,000 in City of La Porte, Texas, Certificates of Obligations, Series 2015 and other approximately $8,000,000 in City of La Porte, Texas, Certificates of Obligations, Series 2015 and other related matters.related matters. Action Required of Council:Action Required of Council: Consider approval or other action of an Ordinance authorizing the issuance of Certificates of Obligation Consider approval or other action of an Ordinance authorizing the issuance of Certificates of Obligation Series 2015 and containing other matters incident thereto.Series 2015 and containing other matters incident thereto. Approved for City Council AgendaApproved for City Council Agenda Corby D. Alexander, City ManagerCorby D. Alexander, City ManagerDateDate ORDINANCE AUTHORIZING ISSUANCE OF CITY OF LA PORTE, TEXAS, CERTIFICATES OF OBLIGATION, SERIES 2015 Dated September 15, 2015 HOU:3589513.1 TABLE OF CONTENTS Page ARTICLE I FINDINGS AND DETERMINATIONS .................................................................... 1 Section 1.1:Findings and Determinations .............................................................................. 1 ARTICLE II DEFINITIONS AND INTERPRETATIONS ........................................................... 2 Section 2.1:Definitions .......................................................................................................... 2 Section 2.2:Interpretations ..................................................................................................... 3 ARTICLE III TERMS OF THE CERTIFICATES......................................................................... 3 Section 3.1:Amount, Purpose and Authorization .................................................................. 3 Section 3.2:Designation, Date and Interest Payment Dates .................................................. 3 Section 3.3:Numbers, Denomination, Interest Rates and Maturities .................................... 4 Section 3.4:Redemption Prior to Maturity ............................................................................ 4 Section 3.5:Manner of Payment, Characteristics, Execution and Authentication ................. 5 Section 3.6:Authentication .................................................................................................... 5 Section 3.7:Ownership .......................................................................................................... 5 Section 3.8:Registration, Transfer and Exchange ................................................................. 6 Section 3.9:Book-Entry Only System ................................................................................... 6 Section 3.10:Replacement Certificates .................................................................................... 8 Section 3.11:Cancellation ........................................................................................................ 9 ARTICLE IV FORM OF CERTIFICATES ................................................................................... 9 Section 4.1:Form of Certificates ............................................................................................ 9 ARTICLE V SECURITY FOR THE CERTIFICATES ................................................................. 9 Section 5.1:Pledge and Levy of Taxes and Revenues ........................................................... 9 Section 5.2:Debt Service Fund ............................................................................................ 10 Section 5.3:Further Proceedings .......................................................................................... 10 ARTICLE VI CONCERNING THE PAYING AGENT/REGISTRAR ...................................... 10 Section 6.1:Acceptance ....................................................................................................... 10 Section 6.2:Trust Funds ....................................................................................................... 11 Section 6.3:Certificates Presented ....................................................................................... 11 Section 6.4:Unclaimed Funds Held by the Paying Agent/Registrar ................................... 11 Section 6.5:Paying Agent/Registrar May Own Certificates ................................................ 11 Section 6.6:Successor Paying Agents/Registrars ................................................................ 11 ARTICLE VII PROVISIONS CONCERNING SALE AND APPLICATION OF PROCEEDS OF CERTIFICATES ..................................................................................................................... 12 Section 7.1:Sale of Certificates; Insurance .......................................................................... 12 Section 7.2:Approval, Registration and Delivery ................................................................ 12 Section 7.3:Offering Documents; Ratings ........................................................................... 12 i HOU:3589513.1 Section 7.4:Application of Proceeds of Certificates; Appropriation ................................... 13 Section 7.5:Covenants to Maintain Tax Exemption ............................................................ 13 Section 7.6:Qualified Tax-Exempt Obligations .................................................................. 16 Section 7.7:Related Matters ................................................................................................. 16 ARTICLE VIII CONTINUING DISCLOSURE UNDERTAKING ............................................ 16 Section 8.1:Annual Reports ................................................................................................. 16 Section 8.2:Material Event Notices ..................................................................................... 17 Section 8.3:Identifying Information. All documents shall be provided to the MSRB in an electronic format and accompanied by identifying information, as prescribed by the MSRB. 18 Section 8.4:Limitations, Disclaimers and Amendments ..................................................... 18 Section 8.5:Definitions ........................................................................................................ 19 ARTICLE IX MISCELLANEOUS .............................................................................................. 19 Section 9.1:Defeasance ........................................................................................................ 19 Section 9.2:Ordinance a Contract - Amendments ............................................................... 20 Section 9.3:Legal Holidays ................................................................................................. 20 Section 9.4:Power to Revise Form of Documents............................................................... 20 Section 9.5:No Recourse Against City Officials ................................................................. 21 Section 9.6:Further Proceedings .......................................................................................... 21 Section 9.7:Severability ....................................................................................................... 21 Section 9.8:Open Meeting ................................................................................................... 21 Section 9.9:Repealer ............................................................................................................ 21 Section 9.10:Effective Date ................................................................................................... 21 EXHIBIT A - FORM OF CERTIFICATE EXHIBIT B - FORM OF PAYING AGENT/REGISTRAR AGREEMENT EXHIBIT C WINNING BID ii HOU:3589513.1 ORDINANCE NO. ____ ORDINANCE AUTHORIZING THE ISSUANCE OF CITY OF LA PORTE, TEXAS, CERTIFICATES OF OBLIGATION, SERIES 2015; AND CONTAINING OTHER MATTERS INCIDENT THERETO BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE, TEXAS: ARTICLE I FINDINGS AND DETERMINATIONS Section 1.1:Findings and Determinations . The City Council hereby officially finds and determines that: (a)Council, is authorized pursuant to and in accordance with the provisions of Texas Local Government Code, provide all or part of the funds to pay contractual obligations to be incurred for the construction of public works and the purchase of materials, supplies, equipment, machinery, buildings, land and rights-of-way for authorized needs and purposes and for the payment of contractual obligations for professional servic water and sewer system, (ii) street improvements, (iii) drainage improvements, and (iv) professional services rendered in connection with the above listed projects. (b)The City Council authorized the publication of a notice of intention to issue its City the City Council was tentatively scheduled to meet at 6:00 p.m. on September 28, 2015, at its regular meeting place to adopt an ordinance authorizing the issuance of the Certificates to be payable from an ad valorem tax levied, within the limits prescribed by law, on the taxable property located within the City, and a limited and subordinate pledge of certain revenues of the (c)Such notice was published on August 27, 2015, September 17, 2015, and September 24, 2015 in the Bay Area Observer. (d)No petition signed by at least five percent (5%) of the qualified voters of the City has been filed with or presented to any official of the City protesting the issuance of such Certificates on or before the date of passage of this Ordinance. (e)The City has determined that it is in the best interests of the City and that it is otherwise desirable to issue the Certificates to provide all or part of the funds to pay contractual obligations to be incurred for the purposes authorized by the Act. 1 HOU:3589513.1 ARTICLE II DEFINITIONS AND INTERPRETATIONS Section 2.1:Definitions . As used herein, the following terms shall have the meanings specified, unless the context clearly indicates otherwise: amended. of the State of Texas. Certificates of Obligation, Series 2015, authorized by this Ordinance. its City Council. l mean the fund by that name created pursuant to Section 5.2 hereof. twelve-month period beginning on the first day of October of a calendar year and ending on the last day of September of the next succeeding calendar year and each such period may be designated with the number of the calendar year in which such period ends. March 15, 2016, and each September 15 and March 15 thereafter until maturity or earlier redemption of such Certificate. for by the Purchaser. nance and all amendments hereof and supplements hereto. date, all Certificates theretofore and thereupon delivered pursuant to this Ordinance except: (a) any Certificates canceled by or on behalf of the City at or before such date; (b) any Certificates defeased pursuant to the defeasance provisions of this Ordinance or otherwise defeased as permitted by applicable law; and (c) any Certificates in lieu of or in substitution for which a replacement Certificate shall have been delivered pursuant to this Ordinance. 2 HOU:3589513.1 successors in that capacity. ified in Section 7.1 hereof. applicable Interest Payment Date occurs. Agent/Registrar in which are maintained the names and addresses of, and the principal amounts registered to, each Registered Owner of Certificates. registered in the Register. Section 2.2:Interpretations . All terms defined herein and all pronouns used in this Ordinance shall be deemed to apply equally to singular and plural and to all genders. The titles and headings of the articles and sections of this Ordinance have been inserted for convenience of reference only and are not to be considered a part hereof and shall not in any way modify or restrict any of the terms or provisions hereof. This Ordinance and all the terms and provisions hereof shall be liberally construed to effectuate the purposes set forth herein and to sustain the validity of the Certificates and the validity of the levy of ad valorem taxes to pay the principal of and interest on the Certificates. ARTICLE III TERMS OF THE CERTIFICATES Section 3.1:Amount, Purpose and Authorization . The Certificates shall be issued in fully registered form, without coupons, under and pursuant to the authority of the Act in the total authorized aggregate principal amount of ________________ AND NO/100 DOLLARS ($______________) for the purpose of providing all or part of the funds to pay contractual obligations to be incurred for the purposes described in paragraph 1.1(a) hereof, and to pay the costs of issuing the Certificates. Section 3.2:Designation, Date and Interest Payment Dates . The Certificates shall be designated a be dated September 15, 2015. The Certificates shall bear interest at the rates set forth in Section 3.3 below, from the later of the Issuance Date, or the most recent Interest Payment Date to which interest has been paid or duly provided for, calculated on the basis of a 360-day year of twelve 30-day months, payable on March 15, 2016, and each March 15 and September 15 thereafter until maturity or earlier redemption. If interest on any Certificate is not paid on any Interest Payment Date and continues unpaid for thirty (30) days thereafter, the Paying Agent/Registrar shall establish a new record date for the payment of such interest, to be known as a Special Record Date. The Paying Agent/Registrar shall establish a Special Record Date when funds to make such interest payment are received from or on behalf of the City. Such Special Record Date shall be fifteen (15) days 3 HOU:3589513.1 prior to the date fixed for payment of such past due interest, and notice of the date of payment and the Special Record Date shall be sent by United States mail, first class, postage prepaid, not later than five (5) days prior to the Special Record Date, to each affected Registered Owner as of the close of business on the day prior to mailing of such notice. Section 3.3:Numbers, Denomination, Interest Rates and Maturities . The Certificates shall be initially issued bearing the numbers, in the principal amounts and bearing interest at the rates set forth in the following schedule, and may be transferred and exchanged as set out in this Ordinance. The Certificates shall mature on March 15 in each of the years and in the amounts set out in such schedule. Certificates delivered in transfer of or in exchange for other Certificates shall be numbered in order of their authentication by the Paying Agent/Registrar, shall be in the denomination of $5,000 or integral multiples thereof and shall mature on the same date and bear interest at the same rate as the Certificate or Certificates in lieu of which they are delivered. Certificate Year of Principal Interest Number Maturity Amount Rate R-1 $ % Section 3.4:Redemption Prior to Maturity . (a)The Certificates maturing on and after March 15, 2026, are subject to redemption prior to maturity, at the option of the City, in whole or in part, on March 15, 2025, or any date thereafter, at par plus accrued interest to the date fixed for redemption. (b)Certificates may be redeemed in part only in integral multiples of $5,000. If a Certificate subject to redemption is in a denomination larger than $5,000, a portion of such Certificate may be redeemed, but only in integral multiples of $5,000. In selecting portions of Certificates for redemption, each Certificate shall be treated as representing that number of Certificates of $5,000 denomination which is obtained by dividing the principal amount of such Certificate by $5,000. Upon presentation and surrender of any Certificate for redemption in part, the Paying Agent/Registrar, in accordance with the provisions of this Ordinance, shall 4 HOU:3589513.1 authenticate and deliver in exchange therefor a Certificate or Certificates of like maturity and interest rate in an aggregate principal amount equal to the unredeemed portion of the Certificate so surrendered. (c)Notice of any redemption, identifying the Certificates or portions thereof to be redeemed, shall be sent by United States mail, first class, postage prepaid, to the Registered Owners thereof at their addresses as shown on the Register, not less than thirty (30) days before the date fixed for such redemption. By the date fixed for redemption, due provision shall be made with the Paying Agent/Registrar for the payment of the redemption price of the Certificates called for redemption. If such notice of redemption is given, and if due provision for such payment is made, all as provided above, the Certificates which are to be so redeemed thereby automatically shall be redeemed prior to their scheduled maturities, they shall not bear interest after the date fixed for redemption, and they shall not be regarded as being Outstanding except for the purpose of being paid with the funds so provided for such payment. Section 3.5:Manner of Payment, Characteristics, Execution and Authentication . The Paying Agent/Registrar is hereby appointed the paying agent for the Certificates. The Certificates shall be payable, shall have the characteristics and shall be executed, sealed, registered and authenticated, all as provided and in the manner indicated in the FORM OF CERTIFICATES set forth in Article IV of and Exhibit A to this Ordinance. If any officer of the City whose manual or facsimile signature shall appear on the Certificates shall cease to be such officer before the authentication of the Certificates or before the delivery of the Certificates, such manual or facsimile signature shall nevertheless be valid and sufficient for all purposes as if such officer had remained in such office. The approving legal opinion of Andrews Kurth LLP, Houston, Texas, Bond Counsel, may be printed on the back of the Certificates over the certification of the City Secretary, which may be executed in facsimile. CUSIP numbers also may be printed on the Certificates, but errors or omissions in the printing of either the opinion or the numbers shall have no effect on the validity of the Certificates. Section 3.6:Authentication . Except for the Certificates to be initially issued, which need not be authenticated by the Registrar, only such Certificates as shall bear thereon a certificate of authentication, substantially in the form provided in Article IV of and Exhibit A to this Ordinance, manually executed by an authorized representative of the Paying Agent/Registrar, shall be entitled to the benefits of this Ordinance or shall be valid or obligatory for any purpose. Such duly executed certificate of authentication shall be conclusive evidence that the Certificate so authenticated was delivered by the Paying Agent/Registrar hereunder. Section 3.7:Ownership . The City, the Paying Agent/Registrar and any other person may treat the person in whose name any Certificate is registered as the absolute owner of such Certificate for the purpose of making and receiving payment of the principal thereof and interest thereon and for all other purposes, whether or not such Certificate is overdue, and neither the City nor the Paying Agent/Registrar shall be bound by any notice or knowledge to the contrary. All payments made to the person deemed to be the Registered Owner of any Certificate in accordance with this Section shall be valid and effective and shall discharge the liability of the City and the Paying Agent/Registrar upon such Certificate to the extent of the sums paid. 5 HOU:3589513.1 Section 3.8:Registration, Transfer and Exchange . The Paying Agent/Registrar is hereby appointed the registrar for the Certificates. So long as any Certificate remains Outstanding, the Paying Agent/Registrar shall keep the Register at its office in Houston, Texas, in which, subject to such reasonable regulations as it may prescribe, the Paying Agent/Registrar shall provide for the registration and transfer of the Certificates in accordance with the terms of this Ordinance. Each Certificate shall be transferable only upon the presentation and surrender thereof at the principal corporate trust office of the Paying Agent/Registrar, accompanied by an assignment duly executed by the Registered Owner or his authorized representative in form satisfactory to the Paying Agent/Registrar. Upon due presentation of any Certificate for transfer, the Paying Agent/Registrar shall authenticate and deliver in exchange therefor, within seventy-two (72) hours after such presentation, a new Certificate or Certificates, registered in the name of the transferee or transferees, in authorized denominations and of the same maturity and aggregate principal amount and bearing interest at the same rate as the Certificate or Certificates so presented and surrendered. All Certificates shall be exchangeable upon the presentation and surrender thereof at the principal corporate trust office of the Paying Agent/Registrar for a Certificate or Certificates of the same maturity and interest rate and in any authorized denomination, in an aggregate principal amount equal to the unpaid principal amount of the Certificate or Certificates presented for exchange. The Paying Agent/Registrar shall be and is hereby authorized to authenticate and deliver exchange Certificates in accordance with the provisions of this Section. Each Certificate delivered by the Paying Agent/Registrar in accordance with this Section shall be entitled to the benefits and security of this Ordinance to the same extent as the Certificate or Certificates in lieu of which such Certificate is delivered. All Certificates issued in transfer or exchange shall be delivered to the Registered Owners thereof at the principal corporate trust office of the Paying Agent/Registrar or sent by United States mail, first class, postage prepaid. The City or the Paying Agent/Registrar may require the Registered Owner of any Certificate to pay a sum sufficient to cover any tax or other governmental charge that may be imposed in connection with the transfer or exchange of such Certificate. Any fee or charge of the Paying Agent/Registrar for such transfer or exchange shall be paid by the City. The Paying Agent/Registrar shall not be required to transfer or exchange any Certificate called for redemption in whole or in part during the forty-five (45) day period immediately prior to the date fixed for redemption; provided, however, that this restriction shall not apply to the transfer or exchange by the Registered Owner of the unredeemed portion of a Certificate called for redemption in part. Section 3.9:Book-Entry Only System . (a) The definitive Certificates shall be initially issued in the form of a separate single fully registered Certificate for each of the maturities thereof. Upon initial issuance, the ownership of each such Certificate shall be registered in the name of Cede & Co., as nominee of DTC, and except as provided in subsection (b) hereof, all of the Outstanding Certificates shall be registered in the name of Cede & Co., as 6 HOU:3589513.1 nominee of DTC. Upon delivery by DTC to the Paying Agent/Registrar of written notice to the effect that DTC has determined to substitute a new nominee in place of Cede & Co., and subject to the provisions in this Ordinance with respect to interest checks being mailed to the Registered shall refer to such new nominee of DTC. With respect to Certificates registered in the name of Cede & Co., as nominee of DTC, the City and the Paying Agent/Registrar shall have no responsibility or obligation to any DTC Participant or to any person on behalf of whom such a DTC Participant holds an interest in the Certificates. Without limiting the immediately preceding sentence, the City and the Paying Agent/Registrar shall have no responsibility or obligation with respect to (a) the accuracy of the records of DTC, Cede & Co. or any DTC Participant with respect to any ownership interest in the Certificates, (b) the delivery to any DTC Participant or any other person, other than a holder of the Certificate, as shown on the Register, of any notice with respect to the Certificates, including any notice of redemption or (c) the payment to any DTC Participant or any other person, other than a holder of the Certificate, as shown in the Register of any amount with respect to principal of Certificates, premium, if any, or interest on the Certificates. Except as provided in subsection (c) of this Section 3.9, the City and the Paying Agent/Registrar shall be entitled to treat and consider the person in whose name each Certificate is registered in the Register as the absolute owner of such Certificate for the purpose of payment of principal of, premium, if any, and interest on Certificates, for the purpose of giving notices of redemption and other matters with respect to such Certificate, for the purpose of registering transfer with respect to such Certificate, and for all other purposes whatsoever. The Paying Agent/Registrar shall pay all principal of Certificates, premium, if any, and interest on the Certificates only to or upon the order of the respective owners, as shown in the Register as provided in this Ordinance, or their respective attorneys duly authorized in writing, and all such payments shall be valid and effective to fully satisfy and discharge the City's obligations with respect to payment of principal of, premium, if any, and interest on the Certificates to the extent of the sum or sums so paid. No person other than an owner shall receive a Certificate evidencing the obligation of the City to make payments of amounts due pursuant to this Ordinance. (b) Payments and Notices to Cede & Co. Notwithstanding any other provision of this Ordinance to the contrary, as long as any Certificates are registered in the name of Cede & Co., as nominee of DTC, all payments with respect to principal of, premium, if any, and interest on the Certificates, and all notices with respect to such Certificates shall be made and given, respectively, in the manner provided in the representation letter of the City to DTC. (c) Successor Securities Depository; Transfer Outside Book-Entry Only System. In the event that the City or the Paying Agent/Registrar determines that DTC is incapable of discharging its responsibilities described herein and in the representation letter of the City to DTC, and that it is in the best interest of the beneficial owners of the Certificates that they be able to obtain certified Certificates, the City or the Paying Agent/Registrar shall (a) appoint a successor securities depository, qualified to act as such under Section 17(a) of the Securities and Exchange Act of 1934, as amended, notify DTC of the appointment of such successor securities depository and transfer one or more separate Certificates to such successor securities depository or (b) notify DTC of the availability through DTC of Certificates and transfer one or more 7 HOU:3589513.1 separate Certificates to DTC Participants having Certificates credited to their DTC accounts. In such event, the Certificates shall no longer be restricted to being registered in the Register in the name of Cede & Co., as nominee of DTC, but may be registered in the name of the successor securities depository, or its nominee, or in whatever name or names holders of the Certificates transferring or exchanging Certificates shall designate, in accordance with the provisions of this Ordinance. Section 3.10:Replacement Certificates . Upon the presentation and surrender to the Paying Agent/Registrar of a damaged or mutilated Certificate, the Paying Agent/Registrar shall authenticate and deliver in exchange therefor a replacement Certificate, of the same maturity, interest rate and principal amount, bearing a number not contemporaneously outstanding. The City or the Paying Agent/Registrar may require the Registered Owner of such Certificate to pay a sum sufficient to cover any tax or other governmental charge that may be imposed in connection therewith and any other expenses connected therewith, including the fees and expenses of the Paying Agent/Registrar and the City. If any Certificate is lost, apparently destroyed or wrongfully taken, the City, pursuant to the applicable laws of the State of Texas and ordinances of the City, and in the absence of notice or knowledge that such Certificate has been acquired by a bona fide purchaser, shall execute, and the Paying Agent/Registrar shall authenticate and deliver, a replacement Certificate of the same maturity, interest rate and principal amount, bearing a number not contemporaneously outstanding, provided that the Registered Owner thereof shall have: (a)furnished to the City and the Paying Agent/Registrar satisfactory evidence of the ownership of and the circumstances of the loss, destruction or theft of such Certificate; (b)furnished such security or indemnity as may be required by the Paying Agent/Registrar and the City to save and hold them harmless; (c)paid all expenses and charges in connection therewith, including, but not limited to, printing costs, legal fees, fees of the Paying Agent/Registrar and any tax or other governmental charge that may be imposed; and (d)met any other reasonable requirements of the City and the Paying Agent/Registrar. If, after the delivery of such replacement Certificate, a bona fide purchaser of the original Certificate in lieu of which such replacement Certificate was issued presents for payment such original Certificate, the City and the Paying Agent/Registrar shall be entitled to recover such replacement Certificate from the person to whom it was delivered or any person taking therefrom, except a bona fide purchaser, and shall be entitled to recover upon the security or indemnity provided therefor to the extent of any loss, damage, cost or expense incurred by the City or the Paying Agent/Registrar in connection therewith. If any such mutilated, lost, apparently destroyed or wrongfully taken Certificate has become or is about to become due and payable, the City in its discretion may, instead of issuing a replacement Certificate, authorize the Paying Agent/Registrar to pay such Certificate. 8 HOU:3589513.1 Each replacement Certificate delivered in accordance with this Section shall be entitled to the benefits and security of this Ordinance to the same extent as the Certificate or Certificates in lieu of which such replacement Certificate is delivered. Section 3.11:Cancellation . All Certificates paid or redeemed in accordance with this Ordinance, and all Certificates in lieu of which exchange Certificates or replacement Certificates are authenticated and delivered in accordance herewith, shall be canceled and destroyed upon the making of proper records regarding such payment or redemption. The Paying Agent/Registrar shall periodically furnish the City with certificates of destruction of such Certificates. ARTICLE IV FORM OF CERTIFICATES Section 4.1:Form of Certificates . The Certificates, including the Form of n Certificate, Form of Assignment and Form of Statement of Insurance, if any, shall be in substantially the form set forth in Exhibit A hereto, with such omissions, insertions and variations as may be necessary or desirable, and not prohibited by this Ordinance. ARTICLE V SECURITY FOR THE CERTIFICATES Section 5.1:Pledge and Levy of Taxes and Revenues . (a) To provide for the payment of principal of and interest on the Certificates, there is hereby levied, within the limits prescribed by law, for the current year and each succeeding year thereafter, while the Certificates or any part of the principal thereof and the interest thereon remain outstanding and unpaid, an ad valorem tax upon all taxable property within the City sufficient to pay the interest on the Certificates and to create and provide a sinking fund of not less than 2% of the principal amount of the Certificates or not less than the principal payable out of such tax, whichever is greater, with full allowance being made for tax delinquencies and the costs of tax collection, and such taxes, when collected, shall be applied to the payment of principal of and interest on the Certificates by deposit to the Debt Service Fund and to no other purpose. (b)The City hereby declares its purpose and intent to provide and levy a tax legally sufficient to pay the principal of and interest on the Certificates, it having been determined that the existing and available taxing authority of the City for such purpose is adequate to permit a legally sufficient tax. As long as any Certificates remain outstanding, all moneys on deposit in, or credited to, the Debt Service Fund shall be secured by a pledge of security, as provided by law for cities in the State of Texas. (c)In addition, pursuant to the authority of Chapter 1502, Texas Government Code, the ent of the principal of and interest on the Certificates, provided that the pledge of Net Revenues is and shall be junior and 9 HOU:3589513.1 subordinate in all respects to the pledge of Net Revenues to the payment of any obligation of the City, whether authorized heretofore or hereafter, which the City designates as having a pledge senior to the pledge of the Net Revenues to the payment of the Certificates. The City also reserves the right to issue, for any lawful purpose at any time, in one or more installments, bonds, certificates of obligation and other obligations of any kind, secured in whole or in part by a pledge of Net Revenues, that may be prior and superior in right to, on a parity with, or junior and subordinate to the pledge of Net Revenues securing the Certificates. (d)To pay the interest coming due on the Certificates prior to receipt of the taxes levied to pay such interest, there is hereby appropriated from current funds on hand, which are hereby certified to be on hand and available for such purpose, an amount sufficient to pay such interest, and such amount shall be used for no other purpose. Section 5.2:Debt Service Fund it of the Certificates. The City shall establish and maintain such fund at an official City depository and shall keep such fund separate and apart from all other funds and accounts of the City. Any amount on deposit in the Debt Service Fund shall be maintained by the City in trust for the Registered Owners of the Certificates. Such amount, plus any other amounts deposited by the City into such fund and any and all investment earnings on amounts on deposit in such fund, shall be used only to pay the principal of, premium, if any, and interest on the Certificates. Section 5.3:Further Proceedings . After the Certificates to be initially issued have been executed, it shall be the duty of the Mayor to deliver the Certificates to be initially issued and all pertinent records and proceedings to the Attorney General for examination and approval. After the Certificates to be initially issued shall have been approved by the Attorney General, they shall be delivered to the Comptroller for registration. Upon registration of the Certificates to be initially issued, the Comptroller (or a deputy lawfully designated in writing to act for the be affixed or attached to the Certificates to be initially issued, and the seal of said Comptroller shall be impressed, or placed in facsimile, thereon. ARTICLE VI CONCERNING THE PAYING AGENT/REGISTRAR Section 6.1:Acceptance . Amegy Bank National Association, is hereby appointed as the initial Paying Agent/Registrar for the Certificates pursuant to the terms and provisions of the Paying Agent/Registrar Agreement by and between the City and the Paying Agent/Registrar. The Paying Agent/Registrar Agreement shall be substantially in the form attached hereto as Exhibit B, the terms and provisions of which are hereby approved, and the Mayor is hereby authorized to execute and deliver such Paying Agent/Registrar Agreement on behalf of the City in multiple counterparts and the City Secretary is hereby authorized to attest thereto and affix the undertaking the performance of the duties of the Paying Agent/Registrar hereunder, and in consideration of the payment of any fees pursuant to the terms of any contract between the 10 HOU:3589513.1 Paying Agent/Registrar and the City and/or the deposits of money pursuant to this Ordinance, shall be deemed to accept and agree to abide by the terms of this Ordinance. Section 6.2:Trust Funds . All money transferred to the Paying Agent/Registrar in its capacity as Paying Agent/Registrar for the Certificates under this Ordinance (except any sums be the property of the City and shall be disbursed in accordance with this Ordinance. Section 6.3:Certificates Presented . Subject to the provisions of Section 6.4, all matured Certificates presented to the Paying Agent/Registrar for payment shall be paid without the necessity of further instructions from the City. Such Certificates shall be canceled as provided herein. Section 6.4:Unclaimed Funds Held by the Paying Agent/Registrar . Funds held by the Paying Agent/Registrar that represent principal of and interest on the Certificates remaining unclaimed by the Registered Owner thereof after the expiration of three years from the date such funds have become due and payable (a) shall be reported and disposed of by the Paying Agent/Registrar in accordance with the provisions of Title 6 of the Texas Property Code, as amended, to the extent such provisions are applicable to such funds, or (b) to the extent such provisions do not apply to the funds, such funds shall be paid by the Paying Agent/Registrar to the City upon receipt by the Paying Agent/Registrar of a written request therefor from the City. The Paying Agent/Registrar shall have no liability to the Registered Owners of the Certificates by virtue of actions taken in compliance with this Section. Section 6.5:Paying Agent/Registrar May Own Certificates . The Paying Agent/Registrar in its individual or any other capacity, may become the owner or pledgee of Certificates with the same rights it would have if it were not the Paying Agent/Registrar. Section 6.6:Successor Paying Agents/Registrars . The City covenants that at all times while any Certificates are Outstanding it will provide a legally qualified bank, trust company, financial institution or other agency to act as Paying Agent/Registrar for the Certificates. The City reserves the right to change the Paying Agent/Registrar for the as any such notice is effective not less than 60 days prior to the next succeeding principal or interest payment date on the Certificates. Promptly upon the appointment of any successor Paying Agent/Registrar, the previous Paying Agent/Registrar shall deliver the Register or a copy thereof to the new Paying Agent/Registrar, and the new Paying Agent/Registrar shall notify each Registered Owner, by United States mail, first class, postage prepaid, of such change and of the address of the new Paying Agent/Registrar. Each Paying Agent/Registrar hereunder, by acting in that capacity, shall be deemed to have agreed to the provisions of this Ordinance. 11 HOU:3589513.1 ARTICLE VII PROVISIONS CONCERNING SALE AND APPLICATION OF PROCEEDS OF CERTIFICATES Section 7.1:Sale of Certificates; Insurance . The sale of the Certificates to $_____________, plus accrued interest on the Certificates, is hereby approved, and delivery of the Certificates to the Purchaser, registered in its name, shall be made upon payment therefor in accordance with the Winning Bid attached hereto as Exhibit C. It is hereby officially found, determined and declared that the Purchaser is the highest bidder for the Certificates as a result of invitations for competitive bids. It is further officially found, determined and declared that the Certificates have been sold at public sale to the bidder offering the lowest interest cost, which is hereby determined to be a net effective interest rate of ____________%, after receiving sealed bids pursuant to an Official Notice of Sale and Preliminary Official Statement prepared and distributed in connection with the sale of the Certificates. Section 7.2:Approval, Registration and Delivery . The Mayor is hereby authorized to have control and custody of the Certificates and all necessary records and proceedings pertaining thereto pending their delivery, and the Mayor and other officers and employees of the City are hereby authorized and directed to make such certifications and to execute such instruments as may be necessary to accomplish the delivery of the Certificates and to assure the investigation, examination and approval thereof by the Attorney General and the registration of the initial Certificates by the Comptroller. Upon registration of the Certificates, the Comptroller designated in Certificates prescribed herein to be attached or affixed to each Certificates initially delivered and the seal of the Comptroller shall be impressed or printed or lithographed thereon. Section 7.3:Offering Documents; Ratings . The use of the Notice of Sale and the Preliminary Official Statement in the offering and sale of the Certificates is hereby ratified, confirmed and approved in all respects. It is further hereby officially found, determined and declared that, as of the date thereof, the Preliminary Official Statement was an official statement the City except for the omission of no more than the information permitted by subsection (b)(1) of SEC Rule 15c2-12. The City Council hereby approves the preparation of the final Official Statement, in substantially the form of the Preliminary Official Statement, with such revisions as are necessary to reflect the terms of the sale of the Certificates, and ratifies and approves the distribution of such Official Notice of Sale and Preliminary Official Statement and approves the distribution of the final Official Statement and any addenda, supplement or amendment thereto, in the offer and sale of the Certificates and in the reoffering of the Certificates by the Purchaser, with such changes therein or additions thereto as the officials executing same may deem advisable, such determination to be conclusively evidenced by their execution thereof. The Mayor is hereby authorized and directed to execute, and the City Secretary is hereby authorized and directed to attest, the final Official Statement. 12 HOU:3589513.1 Further, the City Council hereby ratifies, authorizes and approves the actions of the Section 7.4:Application of Proceeds of Certificates; Appropriation . Proceeds from the sale of the Certificates shall, promptly upon receipt by the City, be applied as follows: (1)Accrued interest shall be deposited into the Debt Service Fund created in Section 5.2 of this Ordinance; (2)A portion of the proceeds shall be applied to pay expenses arising in connection with the issuance of the Certificates; and (3)The remaining proceeds shall be applied, together with other funds of the City, to provide funds to pay contractual obligations to be incurred for the purposes set forth in Section 3.1 of this Ordinance. Section 7.5:Covenants to Maintain Tax Exemption . (a)Definitions. When used in this PART, the following terms have the following meanings: ended by all legislation, if any, enacted on or before the Issue Date. e meaning stated in section 1.148 1(b) of the Regulations. which such Certificates or other obligations of the City is delivered against payment therefor. Regulations. -1(b) of the Regulations. -3 of the Regulations. Certificates issued pursuant to sections 141 through 150 of the Code. Any reference to a section of the Regulations shall also refer to any successor provision to such section hereafter promulgated by the Internal Revenue Service pursuant to sections 141 through 150 of the Code and applicable to the Certificates. 13 HOU:3589513.1 (1)any Investment shall be computed in accordance with section 1.148-5 of the Regulations, and (2)the Certificates shall be computed in accordance with section 1.148-4 of the Regulations. (b)Not to Cause Interest to Become Taxable. The City shall not use, permit the use of or omit to use Gross Proceeds or any other amounts (or any property the acquisition, construction or improvement of which is to be financed directly or indirectly with Gross Proceeds) in a manner which, if made or omitted, respectively, would cause the interest on any Certificates to become includable in the gross income, as defined in section 61 of the Code, of the owner for federal income tax purposes. Unless and until the City has received a written opinion of counsel nationally recognized in the field of municipal bond law to the effect that failure to comply with such covenant will not adversely affect the exemption from federal income tax of the interest on any Certificate, the City shall comply with the specific covenants in this Section. (c)No Private Use or Private Payments. Except as permitted by section 141 of the Code and the regulations and rulings relating to section 141 of the Code, the City shall, at all times prior to the last stated maturity of the Certificates, (1)exclusively own, operate, and possess all property the acquisition, construction, or improvement of which is to be financed directly or indirectly with Gross Proceeds of the Certificates and not use or permit the use of such Gross Proceeds or any property acquired, constructed, or improved with such Gross Proceeds in any activity carried on by any person or entity other than a state or local government, unless such use is solely as a member of the general public, or (2)not directly or indirectly impose or accept any charge or other payment for use of Gross Proceeds of the Certificates or any property the acquisition, construction or improvement of which is to be financed directly or indirectly with such Gross Proceeds other than taxes of general application and interest earned on investments acquired with such Gross Proceeds pending application for their intended purposes. (d)No Private Loan. Except to the extent permitted by section 141 of the Code and the regulations and rulings relating to section 141 of the Code, the City shall not use Gross Proceeds of the Certificates to make or finance loans to any person or entity other than a state or local government. For purposes of the foregoing covenant, Gross Proceeds are considered to be ved with Gross Proceeds is sold or leased to such person or entity in a transaction which creates a debt for federal income tax purposes, (2) capacity in or service from such property is committed to such person or entity under a take or pay, output, or similar contract or arrangement, or (3) indirect benefits, or burdens and benefits of ownership, of such Gross Proceeds or such property are otherwise transferred in a transaction which is the economic equivalent of a loan. 14 HOU:3589513.1 (e)Not to Invest at Higher Yield. Except to the extent permitted by section 148 of the Code and the regulations and rulings relating to section 148 of the Code, the City shall not, at any time prior to the earlier of the final stated maturity or final payment of the Certificates, directly or indirectly invest Gross Proceeds of such Certificates in any Investment (or use such Gross Proceeds to replace money so invested), if as a result of such investment the Yield of all Investments allocated to such Gross Proceeds whether then held or previously disposed of, exceeds the Yield on the Certificates. (f)Not Federally Guaranteed. Except to the extent permitted by section 149(b) of the Code and the regulations and rulings relating to section 149(b) of the Code, the City shall not take or omit to take any action which would cause the Certificates to be federally guaranteed within the meaning of section 149(b) of the Code and the regulations and rulings relating to section 149(b) of the Code. (g)Information Report. The City shall timely file with the Secretary of the Treasury the information required by section 149(e) of the Code with respect to the Certificates on such forms and in such place as such Secretary may prescribe. (h)Payment of Rebate Amount. Except to the extent otherwise provided in section 148(f) of the Code and the regulations and rulings relating to section 148(f) of the Code, the City shall: (1)account for all Gross Proceeds (including all receipts, expenditures and investments thereof) on its books of account separately and apart from all other funds (and receipts, expenditures and investments thereof) and shall retain all records of such accounting for at least six years after the final Computation Date. The City may, however, to the extent permitted by law, commingle Gross Proceeds of the Certificates with other money of the City, provided that the City separately accounts for each receipt and expenditure of such Gross Proceeds and the Certificates acquired with these proceeds. (2)calculate the Rebate Amount with respect to the Certificates, not less frequently than each Computation Date, in accordance with rules set forth in section 148(f) of the Code, section 1.148 3 of the Regulations, and the rulings thereunder. The City shall maintain a copy of such calculations for at least six years after the final Computation Date. (3)as additional consideration for the purchase of the Certificates by the initial purchaser and the loan of the money represented by this purchase, and in order to induce such purchase by measures designed to ensure the excludability of the interest from the gross income of the owners for federal income tax purposes, pay to the United States the amount described in paragraph (2) above at the times, in the installments, to the place, in the manner and accompanied by such forms or other information as is or may be required by section 148(f) of the Code and the regulations and rulings relating to section 148(f) of the Code, and 15 HOU:3589513.1 (4)exercise reasonable diligence to assure that no errors are made in the calculations required by paragraph (2) and, if such error is made, to discover and promptly to correct such error within a reasonable amount of time, including payment to the United States of any interest and any penalty required by the Regulations. (i)Not to Divert Arbitrage Profits. Except to the extent permitted by section 148 of the Code and the regulations and rulings relating to section 148 of the Code, the City shall not, at any time prior to the earlier of the final stated maturity or final payment of the Certificates, enter into any transaction that reduces the amount required to be paid to the United States pursuant to Subsection (h) of this Section because such transaction results in a smaller profit or a larger loss nd had the Yield of the Certificates not been relevant to either party. (j)Not Hedge Bonds. The City will not invest more than 50 percent of the Proceeds of the Certificates in Nonpurpose Investments having a guaranteed yield for four years or more. On the Closing Date, the City will reasonably expect that at least 85 percent of the Net Sale Proceeds of the Certificates will be used to carry out the governmental purpose of such series within three years after the Closing Date. Section 7.6:Qualified Tax-Exempt Obligations . The City hereby designates the Certificates as "qualified tax-exempt obligations" as defined in Section 265(b)(3) of the Code. With respect to such designation, the City represents the following: (a) that during the calendar year 2015, the City (including all entities which issue obligations on behalf of the City), has not designated nor will designate obligations, which when aggregated with the Certificates will result in more than $10,000,000 of "qualified tax-exempt obligations" being issued and (b) that the City has examined its financing needs for the calendar year 2015, and reasonably anticipates that the amount of bonds, leases, loans or other obligations, together with the Certificates and any other tax-exempt obligations heretofore issued by the City (plus those of all entities which issue obligations on behalf of the City) during the calendar year 2015, when the higher of the face amount or the issue price of each such tax-exempt obligation issued for the calendar year 2009 by the City is taken into account, will not exceed $10,000,000. Section 7.7:Related Matters . In order that the City shall satisfy in a timely manner all of its obligations under this Ordinance, the Mayor, the Mayor Pro-Tem, City Secretary and all other appropriate officers, agents, representatives and employees of the City are hereby authorized and directed to take all other actions that are reasonably necessary to provide for the issuance and delivery of the Certificates, including, without limitation, executing and delivering on behalf of the City all certificates, consents, receipts, requests, notices, and other documents as the transfer and application of funds of the City consistent with the provisions of this Ordinance. ARTICLE VIII CONTINUING DISCLOSURE UNDERTAKING Section 8.1:Annual Reports . The City shall provide annually to the MSRB, (A) within six months after the end of each fiscal year of the City, financial information and 16 HOU:3589513.1 operating data with respect to the City of the general type included in the final Official Statement authorized by Section 7.3 of this Ordinance, being the financial information and operating data described in the Official Statement in Tables 1-6 and 8-14 and in Appendix B to the Official Statement, if audited financial statements of the City are then available, and (B) if not provided as part such financial information and operating data, audited financial statements of the City, when and if available. Any financial statements so to be provided shall be (1) prepared in accordance with the accounting principles described in Appendix B to the Official Statement and (2) audited, if the City commissions an audit of such statements and the audit is completed within the period during which they must be provided. If audited financial statements are not so provided, then the City shall provide audited financial statements for the applicable fiscal year to the MSRB, when and if audited financial statements become available. If the audit of such financial statements is not complete within 12 months after any such fiscal year end, then the City shall file unaudited financial statements within such 12-month period and audited financial statements for the applicable fiscal year, when and if the audit report on such statements becomes available. If the City changes its fiscal year, it will notify the MSRB of the change (and of the date of the new fiscal year end) prior to the next date by which the City otherwise would be required to provide financial information and operating data pursuant to this Section. The financial information and operating data to be provided pursuant to this Section may be set forth in full in one or more documents or may be included by specific reference to any document (including an official statement or other offering document, if it is available from the MSRB) that theretofore has been provided to the MSRB or filed with the SEC. Section 8.2:Material Event Notices . The City shall notify the MSRB, in a timely manner, of any of the following events with respect to the Certificates, if such event is material within the meaning of the federal securities laws: (a) Principal and interest payment delinquencies; (b) Non-payment related defaults; (c) Unscheduled draws on debt service reserves reflecting financial difficulties; (d) Unscheduled draws on credit enhancements reflecting financial difficulties; (e) Substitution of credit or liquidity providers, or their failure to perform; (g) Adverse tax opinions or events affecting the tax-exempt status of the Certificates; (h) Modifications to rights of holders of the Certificates; (i) Certificate calls; (j) Defeasances; (k) Release, substitution, or sale of property securing repayment of the Certificates; and 17 HOU:3589513.1 (l) Rating changes. The City shall notify the MSRB, in a timely manner, of any failure by the City to provide financial information or operating data in accordance with Section 8.1 of this Ordinance by the time required by such Section. Section 8.3:Identifying Information. All documents shall be provided to the MSRB in an electronic format and accompanied by identifying information, as prescribed by the MSRB. Section 8.4:Limitations, Disclaimers and Amendments . The City shall be obligated to observe and perform the covenants specified in this Article for so long as, but only meaning of the Rule, except that the City in any event will give the notice required by Section 8.2 of any Certificate calls a The provisions of this Article are for the sole benefit of the holders and beneficial owners of the Certificates, and nothing in this Article, express or implied, shall give any benefit or any legal or equitable right, remedy, or claim hereunder to any other person. The City undertakes to provide only the financial information, operating data, financial statements, and notices which it has expressly agreed to provide pursuant to this Article and does not hereby undertake to provide financial results, condition, or prospects or hereby undertake to update any information provided in accordance with this Article or otherwise, except as expressly provided herein. The City does not make any representation or warranty concerning such information or its usefulness to a decision to invest in or sell Certificates at any future date. UNDER NO CIRCUMSTANCES SHALL THE CITY BE LIABLE TO THE HOLDER OR BENEFICIAL OWNER OF ANY CERTIFICATE OR ANY OTHER PERSON, IN CONTRACT OR TORT, FOR DAMAGES RESULTING IN WHOLE OR IN PART FROM ANY BREACH BY THE CITY, WHETHER NEGLIGENT OR WITHOUT FAULT ON ITS PART, OF ANY COVENANT SPECIFIED IN THIS ARTICLE, BUT EVERY RIGHT AND REMEDY OF ANY SUCH PERSON, IN CONTRACT OR TORT, FOR OR ON ACCOUNT OF ANY SUCH BREACH SHALL BE LIMITED TO AN ACTION FOR MANDAMUS OR SPECIFIC PERFORMANCE. No default by the City in observing or performing its obligations under this Article shall constitute a breach of or default under the Ordinance for purposes of any other provision of this Ordinance. Nothing in this Article is intended or shall act to disclaim, waive, or otherwise limit the duties of the City under federal and state securities laws. The provisions of this Article may be amended by the City from time to time to adapt the changed circumstances that arise from a change in legal requirements, a change in law, or a change in the identity, nature, status, or type of operations of the City, but only if (1) the provisions of this Article, as so amended, would have permitted an underwriter to purchase or 18 HOU:3589513.1 sell the Certificates in the primary offering of the Certificates in compliance with the Rule, taking into account any amendments or interpretations of the Rule to the date of such amendment, as well as such changed circumstances, and (2) either (a) the holders of a majority in aggregate principal amount (or any greater amount required by any other provision of this Ordinance that authorizes such an amendment) of the outstanding Certificates consent to such amendment or (b) a person that is unaffiliated with the City (such as nationally recognized bond counsel) determines that such amendment will not materially impair the interests of the holder and beneficial owners of the Certificates. If the City so amends the provisions of this Article, it shall include with any amended financial information or operating data next provided in accordance with Section 8.1 an explanation, in narrative form, of the reasons for the amendment and of the impact of any change in the type of financial information or operating data so provided. The City may also amend or repeal the provisions of this Article if the SEC amends or repeals the applicable provisions of the Rule or a court of final jurisdiction enters judgment that such provisions of the Rule are invalid, and the City also may amend the provisions of this Article in its discretion in any other manner or circumstance, but in either case only if and to the extent that the provisions of this sentence would not have prevented an underwriter from lawfully purchasing or selling Certificates in the primary offering of the Certificates, giving effect to (a) such provisions as so amended and (b) any amendments or interpretations of the Rule. Section 8.5:Definitions . As used in this Article, the following terms have the meanings ascribed to such terms below: SEC Rule 15c2-12, as amended from time to time. ARTICLE IX MISCELLANEOUS Section 9.1:Defeasance . The City may defease the provisions of this Ordinance and discharge its obligations to the Registered Owners of any or all of the Certificates to pay the principal of and interest thereon in any manner now or hereafter permitted by law, including by depositing with the Paying Agent/Registrar, a trust company or commercial bank other than the Paying Agent/Registrar, or with the Comptroller of Public Accounts of the State of Texas either: (a) cash in an amount equal to the principal amount of such Certificates and premium, if any, and interest thereon to the date of maturity or redemption; or (b) pursuant to an escrow or trust agreement, cash and/or (i) direct noncallable obligations of United States of America, including obligations that are unconditionally guaranteed by the United States of America; (ii) noncallable obligations of an agency or instrumentality of the United States, including obligations that are unconditionally guaranteed or insured by the agency or instrumentality and that are rated as to investment quality by a i) 19 HOU:3589513.1 noncallable obligations of a state or an agency or a county, municipality, or other political subdivision of a state that have been refunded and that are rated as to investment quality by a case of (i), (ii) or (iii), may be in book-entry form, and the principal of and interest on which will, when due or redeemable at the option of the holder, without further investment or reinvestment of either the principal amount thereof or the interest earnings thereon, provide money in an amount which, together with other moneys, if any, held in such escrow at the same time and available for such purpose, shall be sufficient to provide for the timely payment of the principal of and interest thereon to the date of maturity or earlier redemption; provided, however, that if any of the Certificates are to be redeemed prior to their respective dates of maturity, provision shall have been made for giving notice of redemption as provided in this Ordinance. Upon such deposit, such Certificates shall no longer be regarded to be Outstanding or unpaid. Any surplus amounts not required to accomplish such defeasance shall be returned to the City. Section 9.2:Ordinance a Contract - Amendments . This Ordinance shall constitute a contract with the Registered Owners from time to time, be binding on the City, and shall not be amended or repealed by the City so long as any Certificate remains Outstanding except as permitted in this Section. The City may, without the consent of or notice to any Registered Owners, from time to time and at any time, amend this Ordinance in any manner not detrimental to the interests of the Registered Owners, including the curing of any ambiguity, inconsistency, or formal defect or omission herein. In addition, the City may, with the consent of Registered Owners who own in the aggregate 51% of the principal amount of the Certificates then Outstanding, amend, add to, or rescind any of the provisions of this Ordinance; provided that, without the consent of all Registered Owners of Outstanding Certificates, no such amendment, addition, or rescission shall (i) extend the time or times of payment of the principal of and interest on the Certificates, reduce the principal amount thereof, the redemption price, or the rate of interest thereon, or in any other way modify the terms of payment of the principal of or interest on the Certificates, (ii) give any preference to any Certificate over any other Certificate, or (iii) reduce the aggregate principal amount of Certificates required to be held by Registered Owners for consent to any such amendment, addition, or rescission. Section 9.3:Legal Holidays . In any case where the date interest accrues and becomes payable on the Certificates or principal of the Certificates matures or the date fixed for redemption of any Certificates or a Record Date shall be in the City a Saturday, Sunday, legal holiday or a day on which banking institutions are authorized by law to close, then payment of interest or principal need not be made on such date, or the Record Date shall not occur on such date, but payment may be made or the Record Date shall occur on the next succeeding day which is not in the City a Saturday, Sunday, legal holiday or a day on which banking institutions are authorized by law to close with the same force and effect as if (i) made on the date of maturity or the date fixed for redemption and no interest shall accrue for the period from the date of maturity or redemption to the date of actual payment or (ii) the Record Date had occurred on the fifteenth calendar day of that month. Section 9.4:Power to Revise Form of Documents . Notwithstanding any other provision of this Ordinance, the Mayor is hereby authorized to make or approve such revisions, 20 HOU:3589513.1 additions, deletions, and variations to this Ordinance and in the form of the documents attached hereto as exhibits as, in the judgment of the Mayor, and in the opinion of Bond Counsel to the City, may be necessary or convenient to carry out or assist in carrying out the purposes of this Ordinance, the Preliminary Official Statement, the final Official Statement, or as may be required for approval of the Certificates by the Attorney General of Texas; provided, however, that any changes to such documents resulting in substantive amendments to the terms and conditions of the Certificates or such documents shall be subject to the prior approval of the City Council. Section 9.5:No Recourse Against City Officials . No recourse shall be had for the payment of principal of or interest on any Certificates or for any claim based thereon or on this Ordinance against any official of the City or any person executing any Certificates. Section 9.6:Further Proceedings . The Mayor, Mayor Pro-Tem, City Secretary and other appropriate officials of the City are hereby authorized and directed to do any and all things necessary and/or convenient to carry out the terms of this Ordinance. Section 9.7:Severability . If any Section, paragraph, clause or provision of this Ordinance shall for any reason be held to be invalid or unenforceable, the invalidity or unenforceability of such Section, paragraph, clause or provision shall not affect any of the remaining provisions of this Ordinance. Section 9.8:Open Meeting . It is hereby found, determined and declared that a sufficient written notice of the date, hour, place and subject of the meeting of the City Council at which this Ordinance was adopted was posted at a place convenient and readily accessible at all times to the general public at City Hall for the time required by law preceding this meeting, as required by the Open Meetings Law, Chapter 551, Texas Government Code, and that this meeting has been open to the public as required by law at all times during which this Ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 9.9:Repealer . All orders, resolutions and ordinances, or parts thereof, inconsistent herewith are hereby repealed to the extent of such inconsistency. Section 9.10:Effective Date . This Ordinance shall be in force and effect from and after its passage on the date shown below. \[Signature page follows.\] 21 HOU:3589513.1 DULY PASSED AND APPROVED this the 28th day of September, 2015. ______________________________________ Mayor ATTEST: __________________________________________ City Secretary APPROVED AS TO FORM AND CONTENT: _________________________________________ City Attorney S-1 HOU:3589513.1 EXHIBIT A FORM OF CERTIFICATE UNITED STATES OF AMERICA STATE OF TEXAS CITY OF LA PORTE, TEXAS, CERTIFICATE OF OBLIGATION SERIES 2015 NUMBER DENOMINATION 1 R- $________________ REGISTERED REGISTERED INTEREST RATE 2: DATED DATE: MATURITY DATE 2: CUSIP 2: % September 15, 2015 March 15, ____ REGISTERED OWNER: PRINCIPAL AMOUNT: DOLLARS THE CITY OF LA PORTE, TEXAS, a municipal corporation of the State of Texas (the its registered assigns, on the Maturity Date specified above (or on earlier redemption as herein provided), upon presentation and surrender of this Certificate at the principal corporate trust principal amount identified above (or so much thereof as shall not have been paid or deemed to have been paid upon prior redemption) payable in any coin or currency of the United States of America which on the date of payment of such principal is legal tender for the payment of debts due to the United States of America, and to pay interest thereon at the rate shown above, calculated on a basis of a 360-day year composed of twelve 30-day months, from the later of the Dated Date identified above or the most recent interest payment date to which interest has been 3 paid or duly provided for. Interest on this Certificate is payable on March 15, 2016, and each 1 Initial Certificate shall be numbered T-1. 2 Omitted from initial Certificate. 3 The first sentence of the initial Certificate shall read as follows: hereby promises to pay to the Registered Owner identified above or its registered assigns, on March 15 of each of the years and in the principal amounts set forth in the following schedule: \[Insert information regarding years of maturity, principal amounts and interest rates from Section 3.3 of the Ordinance.\] (or on earlier redemption as herein provided), upon presentation and surrender of this Certificate at the principal corporate trust office of Amegy Bank much thereof as shall not have been paid or deemed to have been paid upon prior redemption) payable in any coin or currency of the United States of America which on the date of payment of such principal is legal tender for the payment of debts due to the United States of America, and to pay interest thereon at the rate shown above, calculated on a basis of a 360-day year composed of twelve 30-day months, from the later of the Dated Date identified above or the most recent interest payment date to which interest has been paid or duly provided for. A-1 HOU:3589513.1 September 15 and March 15 thereafter until maturity or earlier redemption of this Certificate, by check sent by United States mail, first class, postage prepaid, by the Paying Agent/Registrar to the Registered Owner of record as of the close of business on the fifteenth calendar day of the month immediately preceding the applicable interest payment date, as shown on the registration books kept by the Paying Agent/Registrar. Any accrued interest payable at maturity or earlier redemption shall be paid upon presentation and surrender of this Certificate at the principal corporate trust office of the Paying Agent/Registrar. THIS CERTIFICATE IS ONE OF A DULY AUTHORIZED SERIES OF pursuant to an ordinance adopted by the City Council of the City on September 28, 2015 (the ions to be incurred for the construction of public works and the purchase of materials, supplies, equipment, machinery, buildings, land and rights-of-way for authorized needs and purposes and for the payment of contractual obligations for professional services, to wit (i) improvements and improvements, and (iv) professional services rendered in connection with the above listed projects. REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF THIS CERTIFICATE SET FORTH ON THE REVERSE HEREOF, WHICH PROVISIONS SHALL 4 HAVE THE SAME FORCE AND EFFECT AS IF SET FORTH AT THIS PLACE. THIS CERTIFICATE shall not be valid or obligatory for any purpose or be entitled to any benefit under the Ordinance unless this Certificate is authenticated by the Paying 5 Agent/Registrar by due execution of the authentication certificate endorsed hereon. 4 This paragraph shall be omitted from the initial Certificate and any other Certificate for which text does not appear on the back of a printed certificate. 5 In the initial Certificate, this paragraph shall read: IS CERTIFICATE shall not be valid or obligatory for any purpose or be entitled to any benefit under the Ordinance unless this Certificate is registered by the Comptroller of Public Accounts of the State of Texas by due execution of the registration certifi A-2 HOU:3589513.1 IN WITNESS WHEREOF, the City has caused its corporate seal to be impressed or placed in facsimile hereon and this Certificate to be signed by the Mayor, countersigned by the City Secretary by their manual, lithographed or printed facsimile signatures. CITY OF LA PORTE, TEXAS Mayor (SEAL) COUNTERSIGNED: City Secretary * * * * \[REVERSE OF CERTIFICATE\] THE CITY RESERVES THE RIGHT, at its option, to redeem, prior to their maturity, Certificates maturing on or after March 15, 2026, in whole or in part, on March 15, 2025, or any date thereafter, at par plus accrued interest to the date fixed for redemption. THE CERTIFICATES MAY BE REDEEMED IN PART only in integral multiples of $5,000. If a Certificate subject to redemption is in a denomination larger than $5,000, a portion of such Certificate may be redeemed, but only in integral multiples of $5,000. In selecting portions of Certificates for redemption, each Certificate shall be treated as representing that number of Certificates of $5,000 denomination which is obtained by dividing the principal amount of such Certificate by $5,000. Upon surrender of any Certificate for redemption in part, the Paying Agent/Registrar, in accordance with the provisions of the Ordinance, shall authenticate and deliver in exchange therefor a Certificate or Certificates of like maturity and interest rate in an aggregate principal amount equal to the unredeemed portion of the Certificate so surrendered. NOTICE OF ANY SUCH REDEMPTION, identifying the Certificates or portions thereof to be redeemed, shall be sent by United States mail, first class, postage prepaid, to the Registered Owners thereof at their addresses as shown on the books of registration kept by the Paying Agent/Registrar, not less than thirty (30) days before the date fixed for such redemption. By the date fixed for redemption, due provision shall be made with the Paying Agent/Registrar for the payment of the redemption price of the Certificates called for redemption. If such notice of redemption is given, and if due provision for such payment is made, all as provided above, the Certificates which are to be so redeemed thereby automatically shall be redeemed prior to their scheduled maturities, they shall not bear interest after the date fixed for redemption, and they A-3 HOU:3589513.1 shall not be regarded as being outstanding except for the purpose of being paid with the funds so provided for such payment. THIS CERTIFICATE IS TRANSFERABLE only upon presentation and surrender at the principal corporate trust office of the Paying Agent/Registrar, accompanied by an assignment duly executed by the Registered Owner or its authorized representative, subject to the terms and conditions of the Ordinance. THIS CERTIFICATE IS EXCHANGEABLE at the principal corporate trust office of the Paying Agent/Registrar for a Certificate or Certificates of the same maturity and interest rate and in the principal amount of $5,000 or any integral multiple thereof, subject to the terms and conditions of the Ordinance. THE PAYING AGENT/REGISTRAR is not required to accept for transfer or exchange any Certificate called for redemption, in whole or in part, during the forty-five (45) day period immediately prior to the date fixed for redemption; provided, however, that such limitation shall not apply to the transfer or exchange by the Registered Owner of an unredeemed portion of a Certificate called for redemption in part. THE CITY OR PAYING AGENT/REGISTRAR may require the Registered Owner of any Certificate to pay a sum sufficient to cover any tax or other governmental charge that may be imposed in connection with the transfer or exchange of a Certificate. Any fee or charge of the Paying Agent/Registrar for a transfer or exchange shall be paid by the City. THE REGISTERED OWNER of this Certificate by acceptance hereof, acknowledges and agrees to be bound by all the terms and conditions of the Ordinance. IT IS HEREBY DECLARED AND REPRESENTED that this Certificate has been duly and validly issued and delivered; that all acts, conditions and things required or proper to be performed, exist and to be done precedent to or in the issuance and delivery of this Certificate have been performed, exist and have been done in accordance with law; that the Certificates do not exceed any constitutional or statutory limitation; and that annual ad valorem taxes sufficient to provide for the payment of the interest on and principal of this Certificate, as such interest comes due and such principal matures, have been levied and ordered to be levied, within the limits prescribed by law, against all taxable property in the City and have been irrevocably pledged for such payment. IT IS FURTHER DECLARED AND REPRESENTED that the revenues to be derived pledged to the payment of the principal of and interest on the Certificates, provided that the pledge of Net Revenues is and shall be junior and subordinate in all respects to the pledge of Net Revenues to the payment of any obligation of the City, whether authorized heretofore or hereafter, which the City designates as having a pledge senior to the pledge of the Net Revenues to the payment of the Certificates. The City also reserves the right to issue, for any lawful purpose at any time, in one or more installments, bonds, certificates of obligation and other obligations of any kind, secured in whole or in part by a pledge of Net Revenues, that may be prior and superior in right to, on a parity with, or junior and subordinate to the pledge of Net Revenues securing the Certificates. A-4 HOU:3589513.1 REFERENCE IS HEREBY MADE TO THE ORDINANCE, a copy of which is filed with the Paying Agent/Registrar, for the full provisions thereof, to all of which the Registered Owners of the Certificates assent by acceptance of the Certificates. * * * to each of the Certificates initially delivered: THE STATE OF TEXAS REGISTER NO. _________ OFFICE OF THE COMPTROLLER OF PUBLIC ACCOUNTS I hereby certify that this certificate has been examined, certified as to validity and approved by the Attorney General of the State of Texas, and that this certificate has been registered by the Comptroller of Public Accounts of the State of Texas. WITNESS MY SIGNATURE AND SEAL OF OFFICE this _______________. Comptroller of Public Accounts of the State of Texas \[SEAL\] * * * The following form of authentication certificate shall be printed on the face of each of the Certificates other than those initially delivered: AUTHENTICATION CERTIFICATE This Certificate is one of the Certificates described in and delivered pursuant to the within-mentioned Ordinance; and, except for the Certificates initially delivered, this Certificate has been issued in exchange for or replacement of a Certificate, Certificates, or a portion of a Certificate or Certificates of an issue which originally was approved by the Attorney General of the State of Texas and registered by the Comptroller of Public Accounts of the State of Texas. A-5 HOU:3589513.1 AMEGY BANK NATIONAL ASSOCIATION, as Paying Agent/Registrar By: Authorized Signature Date of Authentication: * * * * FORM OF ASSIGNMENT The following form of assignment shall be printed on the back of each of the Certificates: ASSIGNMENT For value received, the undersigned hereby sells, assigns and transfers unto_________________ ______________________________________________________________________________ (Please print or type name, address, and zip code of Transferee) ______________________________________________________________________________ (Please insert Social Security or Taxpayer Identification Number of Transferee) the within certificate and all rights thereunder, and hereby irrevocably constitutes and appoints _________________________________ attorney to transfer such certificate on the books kept for registration thereof, with full power of substitution in the premises. DATED: _____________________________ Signature Guaranteed: Registered Owner NOTICE: The signature above must correspond to the name of the Registered NOTICE: Signature must be guaranteed by a Owner as shown on the face of this certificate member firm of the New York Stock Exchange in every particular, without any alteration, or a commercial bank or trust company. enlargement or change whatsoever. * * * * A-6 HOU:3589513.1 EXHIBIT B FORM OF PAYING AGENT/REGISTRAR AGREEMENT HOU:3589513.1 EXHIBIT C WINNING BID HOU:3589513.1 REQUEST FOR CITY COUNCIL AGENDA ITEMREQUEST FOR CITY COUNCIL AGENDA ITEM September 28, September 28, AppropriationAppropriation Agenda Date Requested:Agenda Date Requested: 20152015 LPAWALPAWA Source of Funds:Source of Funds: D. MickD. Mick Requested By:Requested By: N/AN/A Account Number:Account Number: Public WorksPublic Works Department:Department: 0.000.00 Amount Budgeted:Amount Budgeted: Report:Resolution:Resolution:Ordinance:Ordinance: 293,763.82293,763.82 Amount Requested:Amount Requested: Other: Budgeted Item:Budgeted Item:YESYESNONO AttachmentsAttachments : : 1. Invoice for the Southeast Water Invoice for the Southeast Water Purification Plant (SEWPP)Purification Plant (SEWPP) 2. Back Up Spreadsheet Received Back Up Spreadsheet Received September 4, 2015September 4, 2015 SUMMARY & RECOMMENDATIONSSUMMARY & RECOMMENDATIONS In 2007, the City of Houston, acting on behalf of all of the coIn 2007, the City of Houston, acting on behalf of all of the co--participants in the Southeast Water participants in the Southeast Water Purification Plant (SEWPP) including the La Porte Area Water Authority (LPAWA), bid a $168Purification Plant (SEWPP) including the La Porte Area Water Authority (LPAWA), bid a $168--million million project to expand the Southeast Water Purification Plant capacity from 120project to expand the Southeast Water Purification Plant capacity from 120--million gallons/day to the million gallons/day to the current plant capacity of $200current plant capacity of $200--million gallons/day. The final project cost was $171million gallons/day. The final project cost was $171--million including million including $2.85-million in cumulative change orders (1.7%). The majority of the project was constructed over a million in cumulative change orders (1.7%). The majority of the project was constructed over a 2.5 year period from 2008 year period from 2008 2010. 2010. While the LPAWA did not purchase additional capacity with the expansion, this $171While the LPAWA did not purchase additional capacity with the expansion, this $171--million project also million project also included improvements to the previously existing 120included improvements to the previously existing 120--million gallon/day portion of the plant. The final million gallon/day portion of the plant. The final cost of enhancements to the existing plant that were originally estimated at $11,457,800 came in at cost of enhancements to the existing plant that were originally estimated at $11,457,800 came in at cost of enhancements to the existing plant that were originally estimated at $11,457,800 came in at cost of enhancements to the existing plant that were originally estimated at $11,457,800 came in at $15,520,663 for a difference of $4,062,863. The increase is best attributed to the plant security $15,520,663 for a difference of $4,062,863. The increase is best attributed to the plant security component cost of the improvements $4,189,751 higher than the original estimate. The LPAWA share component cost of the improvements $4,189,751 higher than the original estimate. The LPAWA share of the increased cost is equal to the invoiced amount. of the increased cost is equal to the invoiced amount. The LPAWA Board unanimously approved payment of the $293,763.82 invoice at their September 10, The LPAWA Board unanimously approved payment of the $293,763.82 invoice at their September 10, 2015 board meeting. 2015 board meeting. The projected LPAWA fund balance at the end of FY 2017 is $1,300,000 after payment of this invoice The projected LPAWA fund balance at the end of FY 2017 is $1,300,000 after payment of this invoice and the bond debt payments for the member cities planned in FY 2016 and FY 2017.and the bond debt payments for the member cities planned in FY 2016 and FY 2017. Action Required of Council:Action Required of Council: Consider approval or other action to authorize the City Manager, serving as General Manager of the Consider approval or other action to authorize the City Manager, serving as General Manager of the La Porte Area Water Authority, to reimburse the City of Houston $293,763.82 for the LPAWA share of La Porte Area Water Authority, to reimburse the City of Houston $293,763.82 for the LPAWA share of the final 2007 the final 2007 2011 Southeast Water Purification Plant expansion project cost. 2011 Southeast Water Purification Plant expansion project cost. Approved for City Council AgendaApproved for City Council Agenda Corby D. Alexander, City ManagerCorby D. Alexander, City ManagerDateDate REQUEST FOR CITY COUNCIL AGENDA ITEMREQUEST FOR CITY COUNCIL AGENDA ITEM September 28, September 28, AppropriationAppropriation Agenda Date Requested:Agenda Date Requested: 20152015 Other Other Source of Funds:Source of Funds: DepartmentsDepartments D. MickD. Mick Requested By:Requested By: N/AN/A Public WorksPublic WorksAccount Number:Account Number: Department:Department: 825,000.00825,000.00 Amount Budgeted:Amount Budgeted: Report:Resolution:Resolution:Ordinance:Ordinance: 110,000.00110,000.00 Amount Requested:Amount Requested: Other: Budgeted Item:Budgeted Item:YESYESNONO AttachmentsAttachments : : 1. Letter Agreement for Professional Letter Agreement for Professional ServicesServices SUMMARY & RECOMMENDATIONSSUMMARY & RECOMMENDATIONS The current budget includes $825,000 for painting the interior/exterior of the Fairmont (Farrington) The current budget includes $825,000 for painting the interior/exterior of the Fairmont (Farrington) thth elevated tower and the exterior of the 4elevated tower and the exterior of the 4 Street elevated tower. Street elevated tower. The Fairmont tower was constructed in 1962. The existing epoxy/urethane system was installed in The Fairmont tower was constructed in 1962. The existing epoxy/urethane system was installed in 1995 and over1995 and over--coated with an acrylic coating system in 2007. The interior epoxy/urethane system is coated with an acrylic coating system in 2007. The interior epoxy/urethane system is blistered; some rust is observed on the exterior supports. Minor structural repairs are required. blistered; some rust is observed on the exterior supports. Minor structural repairs are required. thth The Main/4 Street tower was also constructed in 1962. The existing epoxy/urethane system installed Street tower was also constructed in 1962. The existing epoxy/urethane system installed in 1995 was overin 1995 was over--coated with acrylic in 2006. The interior system was replaced in early 2015. Some coated with acrylic in 2006. The interior system was replaced in early 2015. Some rust is observed on the exterior supports. Minor structural repairs are required.rust is observed on the exterior supports. Minor structural repairs are required. The most recent inspection results indicate that the condition of the Fairmont tower is more deteriorated The most recent inspection results indicate that the condition of the Fairmont tower is more deteriorated thth than the Main/4than the Main/4 Street tower. Staff anticipates work on the Farrington tower to be complete in either Street tower. Staff anticipates work on the Farrington tower to be complete in either thth the spring or fall of 2016 with the Main/4the spring or fall of 2016 with the Main/4 Street tower to follow in the spring of 2017. Each tank will be Street tower to follow in the spring of 2017. Each tank will be drained during construction so that it will be necessary to schedule the work during the nondrained during construction so that it will be necessary to schedule the work during the non--summer summer months and to complete one tank at a time. months and to complete one tank at a time. Elevated water tanks are often the most visible component of a communityElevated water tanks are often the most visible component of a communitys public infrastructure. The s public infrastructure. The welds, exterior shroud supports, surface treatment and coatings require specialized expertise. In order welds, exterior shroud supports, surface treatment and coatings require specialized expertise. In order thth to move forward with the maintenance needed on the Fairmont and Main/4to move forward with the maintenance needed on the Fairmont and Main/4 Street towers, staff Street towers, staff recommends entering into a design and construction services agreement with Dunham Engineering, recommends entering into a design and construction services agreement with Dunham Engineering, Inc. in the amount of $110,000. The proposed professional services include design, bidding and Inc. in the amount of $110,000. The proposed professional services include design, bidding and construction monitoring services for both elevated tanks. Dunham Engineering, Inc. has successfully construction monitoring services for both elevated tanks. Dunham Engineering, Inc. has successfully served as La Porteserved as La Portes consultant for the citys consultant for the citys ground and elevated water tanks for a number of years. s ground and elevated water tanks for a number of years. Regarding the cost of the proposed agreement, specialty design/inspection services such elevated Regarding the cost of the proposed agreement, specialty design/inspection services such elevated water towers generally cost more in terms of percent of project construction cost than do the routine water towers generally cost more in terms of percent of project construction cost than do the routine road and drainage projects. Staff advertised a request for qualifications (RFQ) two years ago for water road and drainage projects. Staff advertised a request for qualifications (RFQ) two years ago for water tower and water tank design projects and received three qualification packages. Dunham Engineering tower and water tank design projects and received three qualification packages. Dunham Engineering was the highest rated firm and staff recently requested that the attached quote be prepared for the was the highest rated firm and staff recently requested that the attached quote be prepared for the scope of services outlined there. Of the other two firms, one firm subcontracts their designs to scope of services outlined there. Of the other two firms, one firm subcontracts their designs to Dunham Engineering and the other firm was removed from consideration. Staff informally requested a Dunham Engineering and the other firm was removed from consideration. Staff informally requested a cost estimate from a firm not on the prequalified list who submitted an estimate that was nearer to 20% cost estimate from a firm not on the prequalified list who submitted an estimate that was nearer to 20% of the estimated construction cost. of the estimated construction cost. Other Considerations: Other Considerations: The proposed design services contract includes a review of lighting, paint and logo options for council The proposed design services contract includes a review of lighting, paint and logo options for council and staffs consideration. That said, it should be noted that the potential for aesthetic improvements will s consideration. That said, it should be noted that the potential for aesthetic improvements will be limited by the profile of the existing tanks including sixbe limited by the profile of the existing tanks including six--support legs, tension rods, platforms and support legs, tension rods, platforms and railings with the coastal environment further reducing the longevity of the perceivable aesthetic benefits. railings with the coastal environment further reducing the longevity of the perceivable aesthetic benefits. Action Required of Council:Action Required of Council: Consider approval or other action to authorize the City Manager to enter into a professional services Consider approval or other action to authorize the City Manager to enter into a professional services agreement with Dunham Engineering in the amount of $110,000 for design, bidding and construction agreement with Dunham Engineering in the amount of $110,000 for design, bidding and construction services related to painting the interior/exterior of the Fairmont elevated water storage tower and the services related to painting the interior/exterior of the Fairmont elevated water storage tower and the thth exterior of the Main/4exterior of the Main/4 Street elevated water storage tower. Street elevated water storage tower. Approved for City Council AgendaApproved for City Council Agenda Corby D. Alexander, City ManagerCorby D. Alexander, City ManagerDateDate REQUEST FOR CITY COUNCIL AGENDA ITEMREQUEST FOR CITY COUNCIL AGENDA ITEM September 28, September 28, AppropriationAppropriation Agenda Date Requested:Agenda Date Requested: 20152015 Other Other Source of Funds:Source of Funds: DepartmentsDepartments D. MickD. Mick Requested By:Requested By: N/AN/A Public WorksPublic WorksAccount Number:Account Number: Department:Department: 60,000.0060,000.00 Amount Budgeted:Amount Budgeted: Report:Resolution:Resolution:Ordinance:Ordinance: 56,000.0056,000.00 Amount Requested:Amount Requested: Other: Budgeted Item:Budgeted Item:YESYESNONO AttachmentsAttachments : : 1. Price Proposal Price Proposal 2. Staff Evaluation Matrix Staff Evaluation Matrix SUMMARY & RECOMMENDATIONSSUMMARY & RECOMMENDATIONS Staff requests City Council approval of a professional services agreement for an audit of the cityStaff requests City Council approval of a professional services agreement for an audit of the citys water s water system loss and meter management programs. The $56,000 for the study represents less than 1% of system loss and meter management programs. The $56,000 for the study represents less than 1% of the $8-million annual utility budget. million annual utility budget. The volume of water sold to City customers each year compared to the volume of water produced has The volume of water sold to City customers each year compared to the volume of water produced has fluctuated between 75% and 85% in recent years. With hydrant flushing and an average number of fluctuated between 75% and 85% in recent years. With hydrant flushing and an average number of breaks, a relatively new system might average 90% water sold vs water produced. This study will breaks, a relatively new system might average 90% water sold vs water produced. This study will include both a review of the Cityinclude both a review of the Citys meter management and water leak detection programs and will s meter management and water leak detection programs and will provide recommendations for City Council and staffprovide recommendations for City Council and staffs consideration. s consideration. The value of 1,000 gallons consumed but unrecorded = $5.98 ($2.98 water + $3.00 sewer)The value of 1,000 gallons consumed but unrecorded = $5.98 ($2.98 water + $3.00 sewer) The value of 1,000 gallons lost through leaks in the distribution system = $1.00 ($0.89 to the La Porte The value of 1,000 gallons lost through leaks in the distribution system = $1.00 ($0.89 to the La Porte Area Water Authority + energy cost).Area Water Authority + energy cost). The annual operating cost of losing 1% of the water pumped into the system through leaks ($1/1000 The annual operating cost of losing 1% of the water pumped into the system through leaks ($1/1000 gallons) is approximately $14,000. (1400gallons) is approximately $14,000. (1400--million total gallons/year/1000 gallons x 1% x $1.) This million total gallons/year/1000 gallons x 1% x $1.) This relatively modest cost of 1% loss in the system suggests that staff will want to fully consider the relatively modest cost of 1% loss in the system suggests that staff will want to fully consider the cost/benefit of potential solutions before constructing improvements. The study recommendations will cost/benefit of potential solutions before constructing improvements. The study recommendations will include the potential cost of problems identified and the cost to cure. The higher return potential will include the potential cost of problems identified and the cost to cure. The higher return potential will likely be in the meter management review. likely be in the meter management review. Public Works and Finance Department staff reviewed the two proposals submitted and selected JBS Public Works and Finance Department staff reviewed the two proposals submitted and selected JBS Water, Inc. JBS has considerable expertise with water distribution system and meter management Water, Inc. JBS has considerable expertise with water distribution system and meter management audits. JBS neither sells products nor participates in revenue sharing programs which staff considered audits. JBS neither sells products nor participates in revenue sharing programs which staff considered to be beneficial for obtaining an objective evaluation and plan moving forward. to be beneficial for obtaining an objective evaluation and plan moving forward. Action Required of Council:Action Required of Council: Consider approval or other action to authorize the City Manager to enter into a professional services Consider approval or other action to authorize the City Manager to enter into a professional services agreement with JBS Water, Inc. in the amount of $56,000. agreement with JBS Water, Inc. in the amount of $56,000. Approved for City Council AgendaApproved for City Council Agenda Corby D. Alexander, City ManagerCorby D. Alexander, City ManagerDateDate Proposal Water Distribution & Meter Management Audit City of La Porte, Texas August 2015 4715 Strack Road, Suite 114, Houston, Texas 77069 Tel: (281) 435-2780 e-mail: jbsmith@jbswater.com August 27, 2015 David Mick, Director of Public Works City of La Porte 604 West Fairmont Pkwy. La Porte, TX 77571 Re: Water and Meter Management Audit Proposal JBS Water, Inc. is pleased to submit our proposal for a Water Distribution and Meter Management Audit for the City. The City of La Porte has confirmed the presence of unacceptably high levels of Non-Revenue Water (NRW) of at least 20% in the water distribution system and desires a water audit to determine the components of the water loss and its resulting economic impact on the City. We have prepared a project approach for identifying and correcting water accountability issues that bear a direct impact on water conservation efforts, distribution system operating costs, improving the metered ratio, and sustaining revenue. We will identify and pinpoint areas and accounts where reduced revenue exists because of metering related problems. The JBS Audit is a time proven program that is designed to help utilities reduce the balance of water loss to the lowest level cost-effectively possible. It is important to note that JBS does not participate in revenue sharing programs with a utility and we do not sell products. For those reasons we have nothing to gain from our recommendations except the satisfaction of our client. Our project approach is flexible and can be modified to fit the needs of any utility. If there are any questions or modifications to the attached scope of work, please let us know. Thank you for this opportunity to provide our services to your utility. Thank you. James B. Smith Sincerely, JBS Water, Inc. JBS Water, Inc. Proposal Water Distribution & Meter Management Audit City of La Porte August 2015 CONTENTS 1.PROJECT APPROACH .............................................................................................. 1 2.BIODATA OF PERSONNEL ....................................................................................... 5 3.PROJECT COST ........................................................................................................ 7 Houston, Texas City of La Porte Water Audit 2015 JBS Water, Inc. Proposal Water Distribution & Meter Management Audit 1. PROJECT APPROACH Task 1: Data Collection and Analysis An initial task of the project, once JBS has received confirmation to proceed, is to itemize and request all data that we will need to conduct this project and achieve the Project Objectives. Task 2: Production Meter Analysis Verification of in-plant accuracy of finish water meter devices to establish benchmark volumes of water produced against which to reference all other water use (and losses). The purpose of this Task is to confirm or determine the existing accuracy of the production meters that are measuring the volume of water brought into the water system and to verify the accuracy of the records upon which the distribution system water accountability is based. In this regard, JBS will conduct accuracy tests on the source water meters that determine the volume of water received and the amounts paid for that water. This Task also includes the review of existing records and reports of water production for the most recent three years, or longer, if available. Our quantitative analyses of water production data shall include: a) Evaluation of production meter installations as they may adversely affect meter accuracy, reliability and performance. b) Confirmation of existing metering devices for suitability. c) Verification of historical water production data for the most recent three years or longer if data is available. d) Verification accuracy of water production meters using a pitot rod, time-volume, and/or a transit-time ultra-sonic test technique, alone or in combination, as determined by existing installation configurations. This will re-establish a baseline for comparing system wide water accountability. © JBS Water, Inc. 1 City of La Porte Water Audit 2015 Task 3: Comprehensive Analysis of Metered Accounts & Authorized Water Use Comprehensive analysis of metered accounts. Per current AWWA best practices (M22 & M36 Manuals), that part of the existing Non Revenue Water due to meter related issues is existing water and wastewater commodity rates. Consequently this analysis is a critical task for development of data to be applied in any meter replacement program. a) JBS will confirm and then compare summaries of metered sales quantities with summaries of production as metered into the system. Subsequently the data will be analyzed on monthly, quarterly, and annualized bases. b) All metered accounts will be reviewed in detail Distribution of Usage - All Accounts 100% by meter size, meter route, rate classification, 90% meter age (if available), meter brand and type. 80% 70% The analysis will analyze in detail different 60% classification types such as apartments or multi 50% units, different types of commercial accounts, 40% 30% outside irrigation, and residential accounts and 20% will cross reference meter size, and meter age 10% 0% against consumption. Distribution of use tables and charts will be prepared for each class code. Kgal Month Cum. % AcctsCum. % Usage c) No-use, low-use, and high-use accounts will be identified to facilitate closer investigation and follow-up. In addition, usage will be reviewed by geographical location, and or demographics (if possible). A complete sizing analysis will be made on all 1-inch and larger meters. d) All 3 inch and larger meters will be inspected for installation problems and the photo database will be updated. All compound meters will be reviewed in detail and an account profile will be established on each two-register compound, comparing consumption histories. This information will be used in the sizing and cost analysis. e) All meters will be subject to a meter sizing analysis and verification of the sizing model will be made by installing rate of flow data loggers on select accounts. This flow data will be used to verify the sizing analysis so that suspect meters may be identified for additional evaluation. f) A cost analysis will be prepared that will evaluate the performance capabilities of current meters and recommended sizes and brands. Meter payback periods will be estimated based on meter size and meter reading technology. The Existing water and sewer rates will be reviewed to see how they impact meter payback and sizing issues, and large meter testing, which in turn also impact water conservation efforts. g) We will review existing system policies, procedures and standards that may directly affect water accountability, water utility revenues and metering system costs over the long term. Meter sizing, selection, installation and accessibility to facilitate periodic meter testing and © JBS Water, Inc. 2 City of La Porte Water Audit 2015 maintenance, meter reading and billing are some of the issues that have long-term consequences that must be addressed in order to assure the benefits of the audit shall extend well into the future. h) We will develop a plan for cost effective replacement of water meters and recommend appropriate ongoing procedures for monitoring, testing, operating and maintaining meters. This plan will take into consideration the meter age, meter brand, meter route, theoretical life expectancies and water and sewer rate schedule. Task 4: Analysis of Real Losses We will collect and compile available existing work order records of reported line breaks and leaks. This analysis of Real Losses is to identify areas suspect for high incidence of leakage, by location, pipe material and age. The data will be analyzed for possible correlations that will help establish priorities for a follow-on phase of underground leak detection survey and for anticipated replacement of water distribution and service lines. In addition, night flow measurements may be conducted, in coordination with client, to determine leakage potential by Districts or Pressure Zones. a) Water distribution system maps will be reviewed to plan to overnight flow measurements of the water system. When possible and practical, and with the distribution system will be sub- divided to determine leakage potential in each pressure zone. b) By taking observed flow measurements, population, consumption history, system statistics and observed nighttime consumption into consideration, an estimated flow rate due to underground leakage can be developed. This information may be used to determine if and where a physical leak detection survey might be cost-effective. c) For this task, accurate distribution system information (maps and local knowledge) will be required. Distribution system flow measurements are most successful when the entire distribution system or separate sectors can be isolated. Task 5: Review Policies & Procedures Affecting Water Accountability JBS will review existing policies, procedures and standards that may be adversely affecting water accountability, water utility revenues and metering system costs over the long term. 1. Meter sizing, selection, installation and accessibility to facilitate periodic meter testing and maintenance, meter reading and billing are some of the issues that have long-term consequences that must be addressed in order to assure the benefits of the audit shall extend well into the future. This item will overlap with task 3. 2. Review existing procedures for reporting and accounting for authorized unmetered use such as line flushing and other unmetered water uses. © JBS Water, Inc. 3 City of La Porte Water Audit 2015 3. Develop on-going procedures to be implemented by the utility for the maintenance of sustainable low levels of Non Revenue Water (NRW) and energy efficiency. 4. Prepare a complete water balance table applying the AWWA methodology for on-going use by the client. Provide recommendations for follow-on leak detection phase to this project, as may be necessary, dependent on the findings and results of the water audit. Task 6: Water Audit Final Report JBS Water, Inc. will prepare and present a written Final Report of water audit findings, conclusions, and recommendations generated by the audit, including compilations of data collected during the audit in written and electronic format. The Final Report will be presented in person to City staff to provide an opportunity to ask questions and assure full understanding of the recommendations and results generated by this study. © JBS Water, Inc. 4 City of La Porte Water Audit 2015 2. BIODATA OF PERSONNEL James B. Smith Principal Jim Smith has 35 years of extensive experience in water Project Role: distribution system studies, including water audits, meter Principal, responsible for project coordination, flow and audits, leakage surveys, and water and sewer rate consumption analysis, evaluation of final data and adjustments. His diverse professional experience, in addition results. to that in the private sector, includes employment with both Education: state and local government agencies while working on four Attended Eastern New Mexico University, New Mexico continents. State University, graduated in 1971 with a B.S. degree from Weber State College. From his experience in working with several hundred utilities, Professional Affiliations: Mr. Smith understands the changing internal dynamics of AWWA Member since 1994 individual systems. Mr. Smith has developed several fresh approaches to water conservation needs and to the reduction Papers & Presentations: of unaccounted for water losses. These techniques are the 2006-2007 Texas Water Utility Association result of years of diverse hands on experience. programs EXPERIENCE: 1990-2005 - Texas Rural Water Association National hing an Prior to the establishment of JBS Associates in 1988, Jim served as National Marketing Director and Western States Manager for the Pitometer Associates. He joined that firm in 2004 - AIDIS-USA Seminar on Unaccounted-for 1985 when his prior firm, Water Resource Associates, Drinking Water - headquartered in Indiana, merged with the Pitometer Associates. 1999 - AWWA Conserve 99 Conference - Costs and Benefits of Water Loss and Revenue Recovery in Four Mr. Smith is one of the pioneers in water system auditing, and over the years has progressively developed and tailored 1990-1997 - University of Wisconsin "The Impact of programs dealing with water auditing concepts. Unaccounted for Water on Water His hands experience includes all aspects of NRW control, with major emphasis on the metering component. He has 1994 - Philippine Pipeline "Which Small Meter is Best for MWSS Class B or Class C?" developed and continues to modify new approaches in regards to the meter analysis. 1993 - AWWA Research Foundation San Jose, CA "Leakage Control Systems". Part of a cooperative research report between the Mr. Smith has presented training programs to over 8,000 AWWA Research Foundation and the Japan people in the United States, Canada, Southeast Asia, Central Water Works Association. and South America. 1992 - AWWA National Conference, Vancouver, B.C. "Establishing An Effective Water Loss Reduction Program". 1990 Texas Rural Water Association "The Metered Ratio The Great Hoax?" 1981-88 AWWA Reduction and Meter Application and Sizing Seminars for AWWA and taught programs in more than 100 cities. © JBS Water, Inc. 5 City of La Porte Water Audit 2015 James A. Schiele Principal Mr. Schiele has over 30 years of water industry experience in Project Role: North and South America, as well as Europe and South East Project Manager, Flow Measurements and Leak Detection. Asia. Employed in both the consulting and manufacturing sectors, he has provided consulting services, training, project Education: management, product support and marketing activities Majored in Languages at Walbrook College, London, related to water loss analysis, flow measurement, subsurface UK 1968-1971. pipeline surveys, development of water loss reduction Graduated in Computer Science and Technology at programs, product development and testing, demonstration Control Data Institute, London (1972-1974). and sales of microprocessor-based leak correlators, leak detection instrumentation, data loggers and pipe locators. Professional Affiliations: AWWA Member since 1994 Papers & Presentations: 2007 ACODAL International Seminar on The Water EXPERIENCE: Balance and Technologies for the Development of Unaccounted for Water Loss Programs, Cali, In 1993, Mr. Schiele joined the JBS consulting group, Colombia. directly involved with the management, supervision and development of water audits and leak detection projects in 2004 - AIDIS-USA Seminar on Unaccounted-for Drinking Water the United States, Brazil, Mexico, Panama and the Philippines. 2001 - As a result of successful development of an in- His experience includes production meter flow testing, house unaccounted for water loss recovery program for our client, the Culiacán, Mexico implementation of distribution system night flow tests, Municipal Water and Wastewater System was a application of meter datalogging and data analysis, acoustic top ten finalist in a national award program for leak detection and the use of correlator technologies. progressive municipal government agencies, This award was promoted by the Ford Prior to joining JBS, Schiele was employed by Fluid Investigación y Docencia Económicas (CIDE). Conservation Systems (FCS) of Austin, Texas. For 12 years the company benefited from his substantial experience in the 1999 - IMTA (Instituto Mexicano de Tecnología del field of water loss control and leak detection as he Agua) 7th International Seminar on Water Loss Reduction, Guanajuato, Mexico developed an outstanding reputation for his insight, in the Reduction of Water Losses in 10 Cities in skills. . 1993 - AWWA Research Foundation - San Jose, CA - "Leakage Control Systems" - Co-authored a His extensive prior project experience was often called upon cooperative research report between the AWWA Research Foundation and the JWWA (Japan detection and correlator technologies. He conducted Water Works Association). programs for FCS products and services throughout the U.S. and in Canada, Mexico and Brazil. His responsibilities included customer training, product development, product demonstrations, and supervision and coordination of leak survey services. Mr. Schiele has prepared and presented more than 3,000 hours of professional training courses for industry personnel of all levels, including operators, supervisors and management. He is fluent in English and Spanish. © JBS Water, Inc. 6 City of La Porte Water Audit 2015 3. PROJECT COST The professional services fee to complete this water audit and meter management project shall not exceed $56,000, including expenses. Respectfully submitted, Accepted by: JBS Water, Inc. City of La Porte, Texas James B. Smith By: ________________________________ President Title: ________________________________ Date: ___________________ Date: _______________________________ © JBS Water, Inc. 7 8.45.74.42.220.7 UTILIWORKS CONSULTING RFP 15601- WATER DISTRIBUTION AUDIT AND METER MANAGEMENT 10.48.15.22.726.4 JBS WATER EVALUATION SUMMARY Final Scores Completeness and conformity of the reply to the RFQ Adequacy of staffing, approach of project, analytical Demonstrated technical expertise and experience Criteria References and qualifications procedures, etc. Council Agenda Item September 28, 2015 7. (a) Receive report of Fiscal Affairs Committee Councilmember Engelken *********************************************************************************** Council Agenda Item Council Agenda Item September 28, 2015 September 28, 2015 8.ADMINISTRATIVE REPORTSADMINISTRATIVE REPORTS Drainage and Flooding Committee Meeting, Monday, October 5, 2015 Drainage and Flooding Committee Meeting, Monday, October 5, 2015 City Council Meeting, Monday, October 12, 2015City Council Meeting, Monday, October 12, 2015 Planning and Zoning Commission Meeting, Thursday, October 15, 2015Planning and Zoning Commission Meeting, Thursday, October 15, 2015 Zoning Board of Adjustment Meeting, Thursday, October 22, 2015Zoning Board of Adjustment Meeting, Thursday, October 22, 2015 regarding matters appearing on the agenda; recognition of community regarding matters appearing on the agenda; recognition of community 9.COUNCIL COMMENTSCOUNCIL COMMENTS members, city employees, and upcoming events; inquiry of staff regarding specific factual information members, city employees, and upcoming events; inquiry of staff regarding specific factual information or existing policies or existing policies Councilmembers Clausen, J. Martin, K. Martin, Kaminski, Zemanek, Leonard, Councilmembers Clausen, J. Martin, K. Martin, Kaminski, Zemanek, Leonard, Engelken, Earp and Mayor RigbyEngelken, Earp and Mayor Rigby 10.EXECUTIVE SESSIONEXECUTIVE SESSION The City Council reserves the right to meet in closed session on any agenda item should the need The City Council reserves the right to meet in closed session on any agenda item should the need arise and if applicable pursuant to authorization by Title 5, Chapter 551, of the Texas Government arise and if applicable pursuant to authorization by Title 5, Chapter 551, of the Texas Government Code, in accordance with the authority contained in: Code, in accordance with the authority contained in: For the purpose of deliberating the purpose of the For the purpose of deliberating the purpose of the Texas Government Code, Section 551.072Texas Government Code, Section 551.072 purchase, exchange, lease or value of real property: Meet with City Manager and City Attorney to purchase, exchange, lease or value of real property: Meet with City Manager and City Attorney to discuss a Joint Ordinance and Boundary Adjustment Agreement and Joint Ordinance and Revenue discuss a Joint Ordinance and Boundary Adjustment Agreement and Joint Ordinance and Revenue Sharing Agreement with the City of Morgan's Point regarding a 4.42 acre tract of land currently within Sharing Agreement with the City of Morgan's Point regarding a 4.42 acre tract of land currently within the City of La Porte's corporate boundary and proposed to be annexed within the City of Morgan's the City of La Porte's corporate boundary and proposed to be annexed within the City of Morgan's Point corporate boundaryPoint corporate boundary Consultation with City Attorney: Meet with City Consultation with City Attorney: Meet with City Texas Government Code, Section 551.071(2) Texas Government Code, Section 551.071(2) -- Attorney to discuss Joint Ordinance and Boundary Adjustment Agreement and Joint Ordinance and Attorney to discuss Joint Ordinance and Boundary Adjustment Agreement and Joint Ordinance and Revenue Sharing Agreement with the City of Morgan's PointRevenue Sharing Agreement with the City of Morgan's Point into regular session and consider action, if any, on item(s) discussed in executive into regular session and consider action, if any, on item(s) discussed in executive 11.RECONVENERECONVENE session.session. 12.ADJOURNADJOURN ****************************************************************** ******************************************************************