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HomeMy WebLinkAbout2007-05-21 Special Called Regular Meeting, Public Hearing and Workshop Meeting of LP City Council 5 A MINUTES OF SPECIAL CALLED REGULAR MEETING, PUBLIC HEARING AND WORKSHOP MEETING OF THE LA PORTE CITY COUNCIL May 21, 2007 1. CALL TO ORDER The meeting was called to order by Mayor Alton Porter at 6:00 p.m. Members of City Council Present: Mayor Alton Porter, Council members Tommy Moser, Louis Rigby, Barry Beasley, Howard Ebow, Mike Clausen and Chuck Engelken. Members of Council Absent: Mike Mosteit. Members of City Executive Staff and City Employees Present: Assistant City Attorney Clark Askins, Interim City Manager John Joerns, Public Works Director Steve Gillett, Planning Director Wayne Sabo, Secretary Martha Gillett, Interim Finance Director Michael Dolby, Operations Manager Marlene Rigby, Economic Development Coordinator Gretchen Black, City Engineer Rodney Slaton, Accountant Lorie Doughty, Emergency Management Coordinator Jeff Suggs, Purchasing Manager Susan Kelley, Intern Mike Stokes, Assistant EMS Chief Lisa Camp, Risk Manager Bill Rankin, Judge Mitrano, Lieutenant Ron Parker, Police Chief Richard Reff, Secretary III Susan Felty, EMS Chief Lisa Camp, Paramedic Nolan Hoyt, Paramedic Darrell Fales and EMS Supervisor Jason Peugeot. Others Present: Dottie Kaminski, Shar Lynch, Leslie Guzman, Neil Welch, Trent Wise, Russell Plank, Jay Dunham, John Handy, Horace Leapord, Cecil Redd, Margo White, Kelly Rote, Cindy Lingron, Leonel Garcia, Cindy Montgomery, Chris Thomaren and other citizens. 2. Reverend Alan Neel of Life Community Church of La Porte delivered the Invocation. 3. Mayor Porter led the Pledge of Allegiance. 4. PRESENT A TrONS / PROCLAMA TrONS A. Mayor Porter presented Emergency Medical Services Week proclamation to Assistant EMS Chief Lisa Camp, Paramedic Nolan Hoyt, Paramedic Darrell Fales and EMS Supervisor Jason Peugeot. B. Mayor Porter presented the City of La Porte "Peer Review Safety Award" to Safety Loss Prevention Coordinator Bill Rankin, Purchasing Manager Susan Kelley, Accounting Coordinator Lorie Doughty, Park Maintenance Worker II Eddie Weber, Equipment Operator Kevin Barnes and Support Services Lieutenant Ron Parker. 5. Council to consider approval or other action regarding an ordinance declaring the results of the City of La Porte Election held on May 12,2007. Assistant City Attorney Clark Askins presented summary and recommendation and answered Council's questions. City Council Special Called Regular Meeting, Public Hearing and Workshop Meeting -May 21, 2007 Page 2 Assistant City Attorney read: ORDINANCE 2985 - AN ORDINANCE DECLARING THE RESULTS OF THE ELECTION HELD IN THE CITY OF LA PORTE ON MAY 12,2007. FOR THE ELECTION OF A COUNCILPERSON AT-LARGE-POSITION A; COUNCILPERSON DISTRICT 4; AND COUNCILPERSON DISTICT 5; CALLING A RUNOFF ELECTION FOR SA TURDA Y, JUNE 16,2007; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Barry Beasley to approve Ordinance 2985 as presented by Mr. Askins. Second by Councilmember Chuck Engelken. The motion carried. Ayes: Moser, Rigby, Ebow, Engelken, Beasley, Clausen and Porter Nays: None Abstain: None Absent: ~ (() OO-re I +- 6. Presiding Judge Denise Mitrano administered Oaths of Office to the newly appointed Councilmember District 4 and Councilmember District 5 as presented. 7. Consent Agenda A. Consider approving Minutes of the City Council Retreat meeting of La Porte City Council held on April 14, 2007, Minutes of the Special Called Regular Meeting, Public Hearing and Workshop Meeting of La Porte City Council held on April 16, 2007 and Minutes of a Regular Meeting and Workshop Meeting ofthe La Porte City Council held on April 23, 2007. B. Council to consider approval or other action authorizing the Interim City Manager to execute a contract with Cobb Findley and Associates to provide professional engineering services for concrete street replacement and asphalt overlay in the amount of $45,000.00. C. Council to consider approval or other action authorizing the Interim City Manager to execute a contract with Mar-Con Services LLC.; In the amount of $385,466.00 for the construction of the project, authorizing $19,273.00 for contingency, and appropriating an additional $43,749.00 from the 2005 Certificates of Obligation Fund 045. D. Council to consider approval or other action regarding an ordinance amending the Fiscal Year 2006-2007 Budget. E. Council to consider approval or other action regarding an ordinance vacating, abandoning and closing the alley in Block 682, La Porte. F. Council to consider approval or other action regarding awarding RFR#07508 Audio Visual Equipment. G. Council to consider approval or other action approving utilization of an interlocal agreement and purchase of EOC computer equipment through State of Texas Department of Information Resources. Lity l.:ouncU :SpeCiall.:alled Kegular Meeting, Public nearing and WorKShop Meeting -May Zl, ZUU7 Page 3 H. Council to consider approval or other action regarding an ordinance authorizing the City of La Porte to enter into an Industrial District Agreement with North Bayport Industrial Park II, Ltd. for Reserve "B". 1. Council to consider approval or other action regarding an ordinance authorizing the City of La Porte to enter into an Industrial District Agreement with North Bayport Industrial Park II Ltd. for Reserve "F". J. Council to consider approval or other action regarding an ordinance authorizing the Interim City Manager to execute into a Utility Extension Agreement with North Bayport Industrial Park II, Ltd. for utility service to Bayport North Industrial Park II. K. Council to consider approval or other action regarding an ordinance and Reimbursement Service Agreement between the City of La Porte Economic Development Corporation for necessary staff services. Council member Rigby requested item D. be voted on separately after item 10. Motion was made bv Council member Mike Clausen to approve the consent agenda as presented with the exception of item D. Second by Council member Chuck Engelken. Motion carried. Ayes: Moser, Beasley, Engelken, Clausen, Ebow, Rigby, and Porter. Nays: None Abstain: None Absent: Nofte (h D6-te t+ 8. PETITIONS, REMONSTRANCES, COMMUNICATIONS, AND CITIZENS AND TAX PAYERS WISHING TO ADDRESS COUNCIL ON ANY ITEM POSTED ON THE AGENDA. Leslie Guzman - P.O. Box 1533 - Shady Oaks support from the Mayor and Council to assist Homeowners with Bayport Issues & addressed buyouts as remedies. 9. Council to consider approval or other action regarding an ordinance authorizing the sale of $8.075 million in Certificates ofObligation Series 2007. Assistant City Attorney Clark Askins presented summary and recommendation and answered Council's questions. Assistant City Attorney Clark Askins read: ORDINANCE 2989 - AN ORDINANCE AUTHORIZING THE ISSUANCE OF CITY OF LA PORTE, TEXAS CERTIFICATES OF OBLIGATION, SERIES 2007; AND CONTAINING OTHER MATTERS INCIDENT THERETO. Motion was made by Councilmember Howard Ebow to approve Ordinance 2989 as presented bv Mr. Askins. Second by Councilmember Chuck Engelken. The motion carried. Ayes: Ebow, Engelken, Beasley, Clausen and Porter Nays: Rigby & Moser Abstain: None Absent: ~ IYJ 0 c>te ;1 City Council Special Called Regular Meeting, Public Hearing and WorJ{Sl1op Meeting -May U, ZUU7 Page 4 10. Council to reconsider and approve RFR #07501 for Stop Loss Insurance to American Stop Loss utilizing Combined Insurance Company. Interim Finance Director Michael Dolby and Neal Welch presented summary and recommendation and answered Council's questions. Motion was made by Councilmember Louis Rigby to approve RFR #07501 as presented by Mr. Dolby. Second by Councilmember Barry Beasley. The motion carried. Ayes: Moser, Rigby, Ebow, Engelken, Beasley, Clausen and Porter Nays: None Abstain: None Absent: ~ tY1 0 Gte ;J Consent Item D: Motion was made by Councilmember Barry Beasley to approve as presented. Second by Councilmember Howard Ebow. Motion Carried. Ayes: Ebow, Engelken, Beasley, Clausen and Porter Nays: Rigby, Moser, Abstain: None Absent: ~ f{'. D6te ',j 11. Council to consider awarding a bid for Basic Life and AD&D Insurance as recommended. Council to reconsider and approve RFR #07507 for Stop Loss Insurance to American Stop Loss utilizing Combined Insurance Company. Interim Finance Director Michael Dolby presented summary and recommendation and answered Council's questions. Motion was made by Councilmember Mike Clausen to approve RFR #07507 as presented by Mr. Dolby. Second by Councilmember Tommy Moser. The motion carried. Ayes: Moser, Rigby, Ebow, Engelken, Beasley, Clausen and Porter Nays: None Abstain: None . l Absent: ,N6fte rY\ l?~e tA 12. Public Hearing - Council to consider approval or other action on recommendation of Planning & Zoning Commission to approve Rezone request #R07-003, rezoning 1.3 acre tract from Planned Unit Development (PUD) to Neighborhood Commercial (NC). Open Public Hearing - Mayor Porter opened the Public Hearing at 6:40 p.m. Planning Director Wayne Sabo presented summary and recommendation and answered Council's questions. Public Input: There were no citizens wishing to provide input. City Council Special Called Regular Meeting, Public Hearing and Workshop Meeting -May 21, 2007 Page 5 Recommendation of Planning & Zoning Commission - City Council consider approval of Rezone request #R07-003, rezoning 1.3 tract from Planned Unit Development (PUD) to Neighborhood Commercial (NC). The Public Hearing was closed at 6:41 p.m. 13. Council to consider approval or other action regarding Ordinance 150l-S5 Assistant City Attorney Clark Askins read: Ordinance 1501-S5- AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF LA PORTE, CHAPTER 106, MORE COMMONLY REFERRED TO AS THE ZONING ORDINANCE OF THE CITY OF LA PORTE, BY CHANGING THE ZONING CLASSIFICATION FROM PLANNED UNIT DEVELOPMENT TO NEIGHBORHOOD COMMERCIAL, AS REQUESTED FOR 1.3 ACRES OF LAND OUT OF TR 719 AND E ~ OF TR 718, LA PORTE OUTLOTS, LOCATED IN THE WILLIAM M. JONES SURVEY, ABSTRACT 482, LA PORTE, HARRIS COUNTY, HEREIN DESCRIBED; MAKING CERTAIN FINDINGS OF FACT RELATED TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF; Motion was made by Council member Chuck Engelken to approve Ordinance 1501-S5 #R07 -003 as recommended by Planning & Zoning Commission for the approval of rezone request #R07-003, rezoning 1.3 tract from Planned Unit Development (PUD) to Neighborhood Commercial (NC). Second by Council member Howard Ebow. The motion carried unanimously. Ayes: Rigby, Moser, Beasley, Clausen, Engelken, Ebow and Porter. Nays: None Abstain: None. Absent: ~ m D.J.+e"I-l-- 14. Public Hearing - Council to consider approval or other action on recommendation of Planning & Zoning Commission to approve Rezone Request #R07-002, rezoning the referenced property form Low-Density Residential (R-l) to General Commercial (GC). Open Public Hearing - Mayor Porter opened the Public Hearing at 6:43 p.m. Planning Director Wayne Sabo presented summary and recommendation and answered Council's questions. Public Input: There were no citizens wishing to provide input. Recommendation of Planning & Zoning Commission - City Council consider approval of Rezone Request #R07-002, rezoning the referenced property form Low-Density Residential (R-1) to General Commercial (GC). The Public Hearing was closed at 6:46 p.m. 15. Council to consider approval or other action regarding Ordinance 1501-T5 Assistant City Attorney Clark Askins read: Ordinance 1501-T5- AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF LA PORTE, CHAPTER 106, MORE COMMONLY REFERRED TO AS THE ZONING ORDINANCE OF THE City Council Special Called Regular Meeting, Public Hearing and Workshop Meeting -May 21, 2007 Page 6 CITY OF LA PORTE, BY CHANGING THE ZONING CLASSIFICATION FROM LOW DENSITY RESIDENTIAL TO GENERAL COMMERCIAL AS REQUESTED FOR THE PROPERTY DESCRIBED AS 0.65 ACRE PARCEL OF LAND DESCRIBED AS LOTS 5 AND 6, BLOCK 1, SPENCER HIGHWAY ESTATES HEREIN DESCRIBED; MAKING CERTAIN FINDINGS OF FACT RELATED TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF; Motion was made by Council member Chuck Engelken to approve Ordinance 1501-T5 #R07-002 as recommended bv Planning & Zoning Commission. Second by Council member Louis Ri~by. The motion carried unanimously. Ayes: Rigby, Moser, Beasley, Clausen, Engelken, Ebow and Porter. Nays: None Abstain: None. Absent: ~ fnDs-tCirJ 16. Public Hearing - Council to consider approval or other action on recommendation by the Planning & Zoning Commission to approve Rezone Request #R07 -001, rezoning the referenced property from Medium Density Residential (R-2) to Neighborhood Commercial (NC). Open Public Hearing - Mayor Porter opened the Public Hearing at 6:47 p.m. Planning Director Wayne Sabo presented summary and recommendation and answered Council's questions. Public Input: There were no citizens wishing to provide input. Recommendation of Planning & Zoning Commission - City Council consider approval of Rezone Request #R07-001, rezoning the referenced property from Medium Density Residential (R-2) to Neighborhood Commercial (NC). The Public Hearing was closed at 6:50 p.m. 17. Council to consider approval or other action regarding Ordinance 1501-U5 Assistant City Attorney Clark Askins read: Ordinance 1501-U5- AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF LA PORTE, CHAPTER 106, MORE COMMONLY REFERRED TO AS THE ZONING ORDINANCE OF THE CITY OF LA PORTE, BY CHANGING THE ZONGING CLASSIFICATION FROM MEDIUM DENSITY RESIDENTIAL TO NEIGHBORHOOD COMMERCIAL, AS REQUESTED FOR 4.53 ACRES OF LAND MORE OR LESS, AND 0.39 ACRE TRACT LOCATED IN THE WILLAIM M. JONES SURVEY, ABSTRACT 482, FURTHER DESCRIBED AS TR 33, TREATMENT PLANT SITE AND LOT 49, BLOCK 39, FAIRMONT PARK WEST, SECTION FIVE, RESPECTIVELY, LA PORTE, HARRIS COUNTY, HEREIN DESCRIBED; MAKING CERTAIN FINDINGS OF FACT RELATED TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF; City Council Special Called Regular Meeting, Public Hearing and Workshop Meeting -May 21, 2007 Page 7 Motion was made by Council member Barry Beasley to approve Ordinance l50l-U5 #R07- 001 as recommended by Planning & Zoning Commission. Second by Council member Tommy Moser. The motion carried unanimously. Ayes: Rigby, Moser, Beasley, Clausen, Engelken, Ebow and Porter. Nays: None Abstain: None. . \ Absent: .blaDe VYl 0* ,-r 18. Public Hearing - Council to consider approval or other action on recommendation of Planning & Zoning Commission to approve Special Conditional Use Permit #SCU07-004, rezoning the referenced property from Low-Density Residential (R-l) to General Commercial (GC). Open Public Hearing - Mayor Porter opened the Public Hearing at 6:51 p.m. Planning Director Wayne Sabo presented summary and recommendation and answered Council's questions. Public Input: Cynthia Montgomery: Also referred to as the Cynthia Colvin Trust noted concerns. Norman Reed: Present to support and answer questions on Lakes of Fairmont Greens. Project Leslie Guzman: P.O. Box 1533 - had questions on what a PID meant. Recommendation of Planning & Zoning Commission - City Council consider approval of for the Lakes at Fairmont Greens, Section 9" to be located at the northeast corner of McCabe Road and SH 146. The Public Hearing was closed at 7:22 p.m. 19. Council to consider approval or other action regarding Ordinance l50l-V5 Assistant City Attorney Clark Askins read: Ordinance l50l-V5-AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF LA PORTE, CHAPTER 106, MORE COMMONLY REFERRED TO AS THE ZONING ORDINANCE OF THE CITY OF LA PORTE, BY GRANTING A SPECIAL CONDITIONAL USE PERMIT #SCU 07-004 FOR THAT CERTAIN PARCEL OF LAND DESCRIBED AS FOLLOWS, TO-WIT: 20.119 ACRES OF LAND, BEING TRIA-A, IN THE W.P. HARRIS SURVEY, ABSTRACT 30, LA PORTE, TEXAS, FOR THE PURPOSE OF DEVELOPING A SINGLE-F AMIL Y LOT RESIDENTIAL AT THE NORTHEAST OF MCCABE ROAD AND STATE HIGHWAY 146; MAKING CERTAIN FINDINGS OF FACT RELATED TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF; Motion was made by Council member Mike Clausen to approve Ordinance 1501-V5 SCU# 07-004 adding the provision to submit the development agreement, covenants and restrictions for approval to City Council prior to taking a final plat to Planning & Zoning City Council Special Called Regular Meeting, Public Hearing and Workshop Meeting -May 21, 2007 Page 8 Commission for approval. Second by Council member Barry Beasley. The motion carried unanimously. Ayes: Rigby, Moser, Beasley, Clausen, Engelken, Ebow and Porter. Nays: None Abstain: None. Absent: ~ mobtf'..:,) 20 Council to consider approval or other action regarding an ordinance updating the FIRM maps used by the City of La Porte to reflect the amended maps approved by FEMA dated June 18, 2007 and amend Chapter 10 12 of the Code of Ordinances. City Engineer Rodney Slaton presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 1533-B - AN ORDINANCE REPLACING CHAPTER 10 12 OF THE CODE OF ORDINANCES OF THE CITY OF LA PORTE, ENTITLED "FLOOD DAMAGE PREVENTION ORDINANCE"; MAKING FINDINGS OF FACT AND RECITING STATUTORY AUTHORIZATION FOR SAID CHAPTER 10 12, AND MAKING A STATEMENT OF THE PURPOSES OF SAME; PROVIDING CERTAIN DEFINITIONS; ESTABLISHING THE LAND WITHIN THE CITY OF LA PORTE TO WHICH THIS ORDINANCE APPLIES, AND THE BASIS FOR WHICH SAID LANDS WERE DETERMINED; PROVIDING FOR A FLOOD PLAIN DEVELOPMENT PERMIT; PROVIDING THAT NO STRUCTURE OR LAND SHALL BE LOCATED, ALTERED, OR HAVE ITS USE CHANGED WITHOUT FULL COMPLIANCE WITH THIS ORDINANCE; PROVIDING FOR THE DESIGNATION OF A FLOOD PLAIN ADMINISTRATOR FOR THE CITY OF LA PORTE TO ADMINISTER THIS ORDINANCE AND PERMIT PROCEDURES; PROVIDING FOR A VARIANCE PROCEDURE, TO BE ADMINISTERED BY THE PLANNING AND ZONING COMMISSION OF THE CITY OF LA PORTE; PROVIDING GENERAL AND SPECIFIC STANDARDS FOR FLOOD PLAIN HAZARD REDUCTION, AND STANDARDS FOR AREAS OF SHALLOW FLOODING; PROVIDING STANDARDS FOR DEVELOPMENT PROPOSALS WITH THE CITY OF LA PORTE; PROVIDING A SAVINGS CLAUSE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; PROVIDING A SEVERABILITY CLAUSE; PROVIDING THAT ANY PERSON VIOLATING THE TERMS OF THIS ORDINANCE SHALL BE DEEMED GUILTY OF A MISDEMEANOR AND UPON CONVICTION SHALL BE FINED IN A SUM NOT TO EXCEED TWO THOUSAND DOLLARS; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Louis Rigby to approve Ordinance 1533-B as presented by Mr. Slaton. Second by Councilmember Barry Beasley. The motion carried. Ayes: Moser, Rigby, Ebow, Engelken, Beasley, Clausen and Porter Nays: None Abstain: None Absent:.-Ntme (hO&f&} 21. Council to consider approval or other action regarding an ordinance approving and authorizing a foreign trade zone agreement for the payment of Ad Valorem Taxes between the City of La Porte and Port Crossing Land. City Council Special Called Regular Meeting, Public Hearing and Workshop Meeting -May 21, 2007 Page 9 Assistant City Attorney read: ORDINANCE 2990 - AN ORDINANCE APPROVING AND AUTHORIZING A FOREIGN TRADE ZONE AGREEMENT FOR THE PAYMENT OF AD VALOREM TAXES BETWEEN THE CITY OF LA PORTE, TEXAS AND PORT CROSSING LAND, L.P.; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Barry Beasley to approve Ordinance 2990 as presented by Mr. Askins. Second by Councilmember Mike Clausen. The motion carried. Ayes: Moser, Rigby, Ebow, Engelken, Beasley, Clausen and Porter Nays: None Abstain: None Absent: ~e YYloMl? 1 22. Council to consider approval or other action regarding an ordinance approving and authorizing a Foreign Trade Zone Agreement for the payment of Ad Valorem Taxes between the City of La Porte and Under Bear, L.L.C. Assistant City Attorney Clark Askins presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 2991 - AN ORDINANCE APPROVING AND AUTHORIZING A FOREIGN TRADE ZONE AGREEMENT FOR THE PAYMENT OF AD VALOREM TAXES BETWEEN THE CITY OF LA PORTE, TEXAS AND UNDER BEAR, L.L.C.; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Barry Beasley to approve Ordinance 2991 as presented by Mr. Askins. Second by Councilmember Mike Clausen. The motion carried. Ayes: Moser, Rigby, Ebow, Engelken, Beasley, Clausen and Porter Nays: None Abstain: None Absent: -NtJri'e mo:>fl" J 23. Council to consider approval or other action regarding an ordinance approving and authorizing a Foreign Trade Zone Agreement for the payment of Ad Valorem Taxes between the City of La Porte and Underwood Distribution Center. Assistant City Attorney Clark Askins presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 2992 - AN ORDINANCE APPROVING AND AUTHORIZING A FOREIGN TRADE ZONE AGREEMENT FOR THE PAYMENT OF AD VALOREM TAXES BETWEEN THE CITY OF LA PORTE, TEXAS AND UNDERWOOD DISTRIBUTION CENTER.; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. City Council Special Called Regular Meeting, Public Hearing and Workshop Meeting -May 21, 2007 Page 10 Motion was made by Councilmember Barry Beasley to approve Ordinance 2992 as presented by Mr. Askins. Second by Councilmember Mike Clausen. The motion carried. Ayes: Moser, Rigby, Ebow, Engelken, Beasley, Clausen and Porter Nays: None Abstain: None . Absent: "None m OV1[J J 24. Council to consider approval or other action regarding an ordinance approving and authorizing a Foreign Trade Zone Agreement for the payment of Ad Valorem Taxes between the City of La Porte and Texas Porter Road Venture, L.P. Assistant City Attorney Clark Askins presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 2993 - AN ORDINANCE APPROVING AND AUTHORIZING A FOREIGN TRADE ZONE AGREEMENT FOR THE PAYMENT OF AD VALOREM TAXES BETWEEN THE CITY OF LA PORTE, TEXAS AND PORTER ROAD VENTURE.; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Barry Beasley to approve Ordinance 2993 as presented by Mr.Askins. Second by Councilmember Mike Clausen. The motion carried. Ayes: Moser, Rigby, Ebow, Engelken, Beasley, Clausen and Porter Nays: None Abstain: None f) 8 St'1"1 '. fYli)Ste'0 25. Council to consider approval or other action regarding an ordinance approving and authorizing a Foreign Trade Zone Agreement for the payment of Ad Valorem Taxes between the City of La Porte and C-2 Real Estate Holdings, LTD. Assistant City Attorney Clark Askins presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 2994 - AN ORDINANCE APPROVING AND AUTHORIZING A FOREIGN TRADE ZONE AGREEMENT FOR THE PAYMENT OF AD VALOREM TAXES BETWEEN THE CITY OF LA PORTE, TEXAS AND C-2 REAL ESTATE HOLDINGS, LTD.; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Barry Beasley to approve Ordinance 2994 as presented by Mr. Askins. Second by Councilmember Mike Clausen. The motion carried. Ayes: Moser Rigby, Ebow, Engelken, Beasley, Clausen and Porter Nays: None Abstain: None Absent: -None- 'fVIOotP)J 26. Close Regular Meeting and Open Workshop at 7:37 p.m. City Council Special Called Regular Meeting, Public Hearing and Workshop Meeting -May 21, 2007 Page 11 A. Council discussed rebuilding of the Police Department Firing Range and provided staff with direction to move forward. B. Council discussed establishing a Vacation Leave Donation Program and adopting an agreement to the City of La Porte Employee Policies Handbook by amending Chapter IV, "Leaves and Absences" and provided staff with direction to bring back to next meeting with clarification on definitions of common illness and abuse of paid leave. C. Council received a report on election polling locations for Run-Off June 16,2007. 27. Closed the Workshop meeting and reconvened Regular Meeting at 7:59 p.m. 28. Administrative Reports Interim City Manager John Joems provided Council with the following Administrative Reports. Plant Manager's Appreciation Breakfast May 22,2007 Sylvan Beach Pavilion at 7:15 a.m., City Offices closed, Monday, May 28, 2007 for observance of Memorial Day, 5th Annual Harris County Precinct Two Juneteenth Prayer Breakfast June 14,2007 Sylvan Beach Pavilion 8:00 a.m. until 9:30 a.m. and the Annual Juneteenth Parade and Celebration June 16,2007, North 8th and Main Steet (Coffee 8:30 a.m. - 9:30 a.m. Jennie Riley Center). 29. Council Comments Clausen, Rigby, Moser, Beasley, Ebow, Engelken, and Porter had comments. 30. EXECUTIVE SESSION - PURSUANT TO PROVISION OF THE OPEN MEETINGS LAW, CHAPTER 551.071 THROUGH 551.076, 551-087, TEXAS GOVERNMENT CODE (CONSULTATION WITH ATTORNEY, DELIBERATION REGARDING REAL PROPERTY, DELIBERATION REGARDING PROSPECTIVE GIFT OR DONATION, PERSONNEL MATTERS, DELIBERATION REGARDING SECURITY DEVICES, OR EXCLUDING A WITNESS DURING EXAMINATION OF ANOTHER WITNESS IN AN INVESTIGATION, DELIBERATION REGARDING ECONOMIC DEVELOPMENT NEGOTIATIONS) B. SECTION - 551.074 - (PERSONNEL MATTERS) MEET WITH INTERIM CITY MANAGER AND CITY ATTORNEY TO DISCUSS CASE OF CITY OF LA PORTE VS. 200 GARFIELD, llC. EVALUATION OF INTERIM CITY MANAGER JOHN JOERNS A. SECTION - 551.071 (A) - (PENDING OR CONTEMPLATED LITIGATION) Council retired to Executive Session at 8:07 p.rn. and returned to the Regular Meeting and reconvened at 8:46 p.m. 31. Considerations and possible action on items considered in Executive Session. City Council Special Called Regular Meeting, Public Hearing and Workshop Meeting -May 21, 2007 Page 12 A. Council to consider approval or other action regarding an ordinance approving a settlement agreement between the City of La Porte and 200 Garfield, L.L.C. Assistant City Attorney Clark Askins presented summary and recommendation and answered Council's questions. Assistant City Attorney read: ORDINANCE 2995 - AN ORDINANCE APPROVING AND AUTHORIZING A MUTUAL RELEASE AND SETTLEMENT AGREEMENT BETWEEN THE CITY OF LA PORTE AND 200 GARFIELD LLC; MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. Motion was made by Councilmember Louis Rigbv to approve Ordinance 2995 as presented by Mr.Askins. Second by Councilmember Barry Beasley. The motion carried. Ayes: Moser, Rigby, Ebow, Engelken, Beasley, Clausen and Porter Nays: None Abstain: None Absent: .Nerre rn os-ll? + 32. There being no further business to come before Council, the Regular Meeting was duly adjourned at 8:48 p.m. Respectfully submit~ . ~~/1 Y1tldd~t:7V'~ Martha Gillett, TRMC, CMC City Secretary pasur~t~~ of June 2007 Mayor Alton E. Porter o REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: 6-04-07 Appropriation Requested By: Robert Swanaean 12L~ Source of Funds: N/A Department: Human R.esources Account Number: NI A Report: Resolution: Ordinance: Amount Budgeted: N/A Exhibits: #1 Ordinance for Vacation Leave Donation Program Amount Requested: Nt Ii Exhibits: #2 Vacation Leave Donation Policv Budgeted Item: YES NO Exhibits: #3 Vacation Leave Waiver and Donation Authorization Form Exhibits: #4 Recinient A uthorization Form SUMMARY & RECOMMENDATION There is hereby established a Vacation Leave Donation Program for both requesting and donating vacation time, for the benefit of all regular full-time employees of the City of La Porte. The purpose of the Vacation Leave Donation Program is to permit an employee to donate paid vacation leave to other eligible employees. The Vacation Leave Donation Program is for all eligible regular full-time employees who suffer from a personal catastrophic illness or injury that is not work related, requiring a prolonged absence from work, and who have exhausted their paid leave (sick, vacation and discretionary) balance. Employees may donate both accrued Vacation Leave and unused Employee Discretionary Days, but are not eligible to donate time or credit from any other source. This Policy is not intended to cover an employee who is experiencing a normal pregnancy, has a common illness, has an illness or injury covered by an employer-paid long-tenn disability policy or worker's compensation, or has incurred injury during the course of committing a crime. Similarly, this policy is not intended to provide leave to any employee who has previously abused any paid leave. Since the Workshop presentation the definitions of Abused Paid Leave and Common Illness were added per Council request. Action Required bv Council: Approve an Ordinance authorizing the Vacation Leave Donation Program. f~7 ORDINANCE NO. 2007- 21 q ~ AN ORDINANCE AUTHORIZING THE ESTABLISHMENT OF A VACATION LEAVE DONATION PROGRAM AND ADOPTING AN AMENDlVIENT TO THE CITY OF LA PORTE E:MPLOYEE POLICIES HANDBOOK BY AMENDING CHAPTER IV, "LEAVES AND ABSENCES"; PROVIDING AN EFFECTIVE DATE OF SAID AMENDMENT; PROVIDING A SEVERABILITY CLAUSE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. The City Council of the City of La Porte hereby authorizes the establishment of a Vacation Leave Donation Program. Section 2. The City of La Porte Employee Policies Handbook lS hereby amended, by amending Chapter IV, "Leaves and Absence", by adding Section 14, "Vacation Leave Donation Policy", which shall hereafter read as reflected on Exhibit A, attached hereto. Section 3. If any section, sentence, phrase, clause, or any part of any section, sentence, phrase, or clause, of this ordinance or amendment of the City of La Porte Employee policies Handbook hereby adopted, shall, for any reason, be held invalid, such invalidity shall not affect the remaining portions of this ordinance, or said Employee Policies Handbook, and it is hereby declared to be the intention of this City Council to have passed each section, sentence, phrase, or clause, or part thereof, irrespective of the fact that any other section, sentence, phrase, or clause, or part thereof, may be declared invalid. Section 4. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law1 Chapter 5511 Texas Government Code i 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 discussedl considered and formally acted upon. The City Council further ratifiesl approves and confirms such written notice and the contents and posting thereof. Section 5. This Ordinance shall be effective as of to -I /-rYJ 1 and it is to ordered. PASSED AND APPROVED 1 this J f day of j u nf.. 1 2007. By: ~TY OF LA ~ UJ~~~'!~ Alton E. Porter Mayor Bffl~ [). t4J1J Martha A. Gillett City Secretary APP~~D: ./ r~r~ Clark T. Askins Assistant City Attorney 14. Vacation Leave Donation Policy There is hereby established a Vacation Leave Donation Program for both requesting and donating vacation time, for the benefit of all regular full-time employees of the City of La Porte. The purpose of the Vacation Leave Donation Program is to permit an employee to donate paid vacation leave to other eligible employees. The Vacation Leave Donation Program is for all eligible regular full-time employees who suffer from a personal catastrophic illness or i~jury that is not work related, requiring a prolonged absence from work, and who have exhausted their paid leave (sick, vacation and discretionary) balance. Employees may donate both accrued Vacation Leave and unused Employee Discretionary Days, but are not eligible to donate time or credit from any other source. This Policy is not intended to cover an employee who is experiencing a normal pregnancy, has a common illness, has an illness or injury covered by an employer-paid long-term disability policy or worker's compensation, or has incun-ed injury during the course of committing a crime. Similarly, this policy is not intended to provide leave to any employee who has previously abused any paid leave. DEFINITIONS: For the purpose of this policy, the following definitions shall apply: 1. ABUSED P AID LEAVE: Clearly documented action (s) of an employee that demonstrate misuse or abuse of Vacation, Sick Leave and Worker Compensation Policies (i.e., failure to make request for vacation properly, not providing required doctor visit documentation due to illness and absence in excess of three days or for Physical Report Status, failure to report to HR Department when receiving Worker Compensation payments or not working Light Duty assignments ). 2. COMMON ILLNESS: Illnesses that are not life threatening or Catastrophic and which do not result in the employee being absent for more than eighty (80) consecutive work hours or one hundred twenty (120) consecutive work hours for twenty-four (24) hour shift personnel (i.e., headache, cold, upset stomach or other illness that are considered minor in nature). 3. EMPLO YEE: a regular full-time employee is one who works a minimum of 40 hours per week, or 53 hours per week for 24-hour shift personnel, but are not employed for only a specific period of time or for a specific job task or project. The term Employee does not include regular part-time employees, temporary employees, emergency temporary appointments, or independent contractors. 4. F AMIL Y AND MEDICAL LEAVE: - a maximum of twelve (12) weeks of leave an employee is entitled to under the Family and Medical Leave Act of 1993 to take care of a personal serious health condition. 5. LEAVE RECIPENT: - an employee whose request for a Vacation Leave Donation has been approved in accordance with the provisions of this policy. 6. SOLICITATION: a request made to City employees for Vacation Donation Leave following a verification of eligibility by the Human Resources Department ELIGIBILITY: Employees applying for vacation leave through the Vacation Leave Donation Program must mee1 ALL of the following requirements: 1. Have a catastrophic illness and/or injury which requires the employee to be homebound OJ hospitalized and causing the employee to be absent from 80 or more consecutive work hours or one hundred twenty (120) consecutive work hours for twenty-four (24) hour shift personnel, and which causes a loss of income due to the employee having exhausted all sick leave, vacation, or other paid time to cover the period of absence. Catastrophic illness or injury is further defined as long-term, incapacitating illness, injury or medical condition which requires the employee to take time off wolk for an extended period. 2. The requested leave is not for the purpose of providing care or assistance to a family member suffering from a catastrophic illness and/or nyury. 3. The catastrophic illness or injury is not self- inflicted or the result of an illegal act in which the applicant was a pmticipant. 4. The catastrophic illness or injury represents a medically documented diagnosis subject to review by a medical consultant of the City's choice. 5. The employee is not eligible for temporary total disability payments under the state wolkers' compensation law, and/or any other disability leave payments such as Long-Term Disability. ADMINISTRATION OF THE PROGRAM: The Vacation Leave Donation Program is administered through the Human Resources Department (HRD), which is responsible for coordinating donations, applications, and authorizing eligibility. All requests for donated vacation leave time will be processed by the HRD by reviewing the employee's application, verifying that the employee has a qualifying injury or illness (including a review of medical records) and has exhausted all eligible paid leave. The HRD will keep a list of employees and the number of hours they have donated as a source to pull hours from when request are made. Human Resources will send a request to all departments seeking employee donations of Vacation leave. Employees will agree to donate vacation in eight (8) hour increments of Vacation leave and the HRD will coordinate the documentation of time with the Finance Department. The employee or designee seeking vacation leave time should make the request to the HRD with appropriate documentation of the reason for the request. The maximum number of vacation leave hours an employee may be granted during any 12-month period is the TOTAL hours needed to qualify for any other paid time off or long-term disability program. If the employee making the request separates from the City of La Porte before the donated time is used the employee will not be paid for the time that was donated to the program in their name. EXHIBIT" A" CITY OF LA PORTE VACATION LEAVE DONATION PROGRAM Vacation Leave Waiver and Donation Authorization Form Having read and understood the City of La Porte Vacation Leave Donation Program policy statement, and subject to the terms and conditions set forth therein, I hereby voluntarily waive my entitlement to accumulated vacation time and donate hours of my accrued vacation benefit on the condition that the equivalent dollar value of the hour( s) I donate is paid by the City of La Porte, under the City of La Porte Vacation Leave Donation Program, to the employee I have identified below. I understand that upon submission of this form I cannot control the timing of the deduction of the donated hours from my vacation leave balance. I further understand that donation of Vacation Leave is not tax deductible. NOTICE: Donated Vacation Leave for an identified employee will be administered on a first in, first out, basis. Donor's name (print): (M.!) (Last) (F irst) Donor's Social Security Number: Donor's Department Name: Donor's Signature: Date: EMPLOYEE TO RECEIVE DONATION: Print name: 1-04-07 AUTHORIZATION FORM FOR VACATION LEAVE DONATION I , hereby release to the City of La Porte my name, and authorize the use of my name, as may be required under applicable Federal regulations, including but not limited to RIPP A law, for purposes of my participation in the La Porte Vacation Leave Donation Program as a recipient of donated vacation time. Signature Date 1-04-06 E REQUEST FOR CITY COUNCIL AGENDA ITEM Requested By: Appropriation Agenda Date Requested: June 11 2007 ce of Funds: Department: Parks & Recreation Acc't Number: N/A Report: _Resolution: _Ordinance: -L Amount Budgeted: N/A Exhibits: Ordinance Agreement Requested: N/A Exhibits: Bud eted Item: YES NO Exhibits: SUMMARY & RECOMMENDATION As was discussed with City Council previously, the developer of the property adjacent to the City owned West Side Park property, Tri-City Holdings, L.P., has agreed to more forward with an agreement with the City of La Porte. The agreement calls for the purchase of detention credits from the City that will be provided during the design of the lake amenity for the proposed park. The developer also has agreed to deed up to 1.5 acres of land to the city to increase the size of the detention lake at the site. The city will then give the developer a letter for tax purposes for the value of the donated land Staff has researched the market value of the detention credits and arrived at a figure of $11,000 per acre foot of detention. The property will require 11.86 acre feet of detention which equals $130,460, to be paid to the City of La Porte in 4 equal installments over the next year. The Tri-City Holdings, L.P. architect will work with the City's architect to incorporate the additional acreage into the park project that is to be donated to the City as a part of this agreement. The detention credit fees can then be applied to the funds for design and construction of the new park. Staff recommends approval of an Ordinance approving and authorizing an agreement between the City of La Porte and Tri-City Holdings, L.P. to convey land and funding to the City of La Porte in exchange for services provided according to the terms of the agreement. Action Required by Council: Consider an Ordinance approving and authorizing an agreement between the City of La Porte and Tri-City Holdings, L.P., for conveyance of land and payment of detention credits to the City of La Porte for floodwater detention purposes and provision of services to Tri-City Holdings, L.P. according to the terms of the agreement. 6i!1 (D e ORDINANCE NO. 2007- ;( qq7 AN ORDINANCE APPROVING AND AlITHORIZING A DEVELOPER'S AGREEMENT BElWEEN THE CITY OF LA PORTE AND TRI-CITY HOLDINGS, L.P., FOR CONVEYANCE OF LAND AND PAYMENT OF DETENTION CREDITS TO THE CITY OF LA PORTE FOR FLOODWATER DETENTION PURPOSES, AND PROVISION OF SERVICES TO TRI-CITY HOLDINGS, L.P. BY CITY OF LA PORTE, ACCORDING TO THE TERMS OF THE AGREEMENT PROVIDED; MAKING VARIOUS FINDINGS AND PROVISIONS REIATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. The City Council hereby approves and authorizes the contract, agreement, or other undertaking described in the title of this ordinance, a copy of which is on file in the office of the City Secretary. The City Manager is hereby authorized to execute such document and all related documents on behalf of the City of La Porte. The City Secretary is hereby authorized to attest to all such signatures and to affix the seal of the City to all such documents. Section 2. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place, and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City 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 3. This Ordinance shall be effective from and after its passage and Page 1 Of2 approval, and it is so ordered. PASSED AND APPROVED, this 11TH day of JUNE, 2007. By: ATTEST: ffI()uJ)~ Aitt!/ Martha Gillett, City Secretary APPROVED AS TO FORM: ~ T fhL1 Clark T. Askins, Assistant City Attorney Page 2 Of2 CITY OF LA PORTE ~L?~ Alton E. Porter, Mayor DEVELOPER'S AGREEMENT BETWEEN CITY OF LA PORTE, TEXAS AND TRI-CITY HOLDINGS, L.P. THIS AGREEMENT (this "Agreement") is entered into as of the lltfday of June, 2007, by and among the CITY OF LA PORTE, TEXAS ("La Porte"), a municipal corporation, and TRI-CITY Holdings, L.P. ("Tri-City"), a Delaware limited partnership. RECITALS City is the owner of (i) tracts of land containing 33.644 acres in La Porte, Texas described on Exhibit "A" attached hereto and commonly referred to as the Westside Park Property ("Park Land", herein). Tri-City is the owner or authorized agent for the owners of (i) several tracts of land containing approximately 50.0707 acres in La Porte, Texas described on Exhibit "B" attached hereto ("Tri-City Development Property", herein) and which includes (ii) land which constitutes a part of TR 71 0, and which is estimated to be approximately 1.5 acres in size, La Porte Outlots, as recorded in Volume 83, Page 344, of the Deed Records of Harris County, William M. Jones Survey, Abstract 482, La Porte, Harris County, Texas, and which the parties contemplate to survey and subsequently transfer to La Porte for drainage purposes, as provided below, and which land shall be referred to herein as "Proposed Detention Basin". La Porte and Tri-City desire to enter into this Agreement to evidence the following: (a) Tri-City to convey the tract identified as the Proposed Detention Basin, the dimensions of which shall be determined by the parties pursuant to Paragraph 5 of this Agreement, and at which time a metes and bounds legal description of which shall be annexed hereto as Exhibit "C". Said Proposed Detention Basin shall become a part of the proposed detention flake amenity and maintenance berm on the Park Property. Said Proposed Detention Basin shall be conveyed to the La Porte by general or special warrant deed, free and clear of all liens and encumbrances, and shall become a part of the Park Land, to allow for detention for the Tri-City Development Property and a part of the proposed lake amenity. In exchange for the conveyance of the Proposed Detention Basin, La Porte shall issue a Declaration of Gift to the City for Tax Purposes to Tri-City; and (b) Tri-City to purchase detention credits from the City of La Porte in an amount determined by the City Engineer/Flood Plain Manager for the Tri-City Development Property, at the determined market value of such detention credits as described herein; and (c) La Porte to provide a public detention/lake amenity to the Park Land as a part of the Park Land development with the capability of providing said detention capability. A-I AGREEMENTS 1. Definitions. The following terms, when used herein, shall have the following meanings: "La Porte Detention Credits" means the purchase price and/or amounts payable in respect of the fair market value of detention capacity, measured in acre/feet, as determined by a qualified Professional Engineer, and any other fees and charges payable to La Porte or its contractors or vendors in connection with provision of detention capacity, absent conveyance, by La Porte. "Architect" means the architect(s) engaged by La Porte to design the contemplated improvements and development of the Park Land, and engaged by Tri-City to design the contemplated improvements and development of the Tri-City Holdings, L.P. Development Property, respectively. "Park Land Improvements" means the improvements to the Park Land described and contemplated by La Porte. The Park Land Improvement Plans will be prepared at the direction of La Porte and at its cost and expense. "Tri-City Development Improvements" means the improvements to the Tri-City Development Property described and contemplated by Tri-City. The Tri-Cites Development Improvement Plans will be prepared at the direction of Tri-City and at his cost and expense. 2. Property Development. Nothing in this Agreement shall preclude Tri-City from meeting the requirements and procedures of La Porte's Development Ordinance, other governing Ordinances or other statutes, rules and regulations governing commercial development in La Porte. 3. Assessment of Detention Credits to La Porte. The City Engineer of La Porte has determined that the 50.0707 acres of developable property will require 11.86 acre/feet of detention capacity to meet the requirements of the La Porte Drainage Criteria. The fair market value of detention credits, minus conveyance, is $11,000 per acre/foot. The total cost to Tri-City for detention capacity to be provided by La Porte, is $130,460.00 The detention credit cost of $130,460.00 shall constitute a one time assessment by the City of La Porte, to satisfy detention capacity for the proposed 50.0707 acre Tri-City Development Improvements. However, said assessment shall not satisfy necessary detention credit requirements should additional acreage adjacent to the proposed Tri-City Development Improvements be developed. 4. Payment of Detention Credits to La Porte. Within sixty (60) days following the execution of this Agreement, Tri-City Holdings, L.P. shall remit to La Porte the amount of $32,615.50, an amount equal to twenty-five percent (25%) of the value of the detention credits as described in Paragraph 3 above, with an additional 25% due at ninety (90) day increments thereafter, until the amount is remitted in full. La Porte shall have the right to withhold any and all building permits from Tri-City as part of the Tri-City Development Improvements project, upon the failure of Tri-City to remit payments as provided herein, until payment and any applicable arrearage is made to La Porte. A-2 5. Determination of Land to be Conveyed to La Porte. Upon execution of this Agreement, and engagement of an Architect, Tri-City will cause the Architect to develop the portion of the planned improvements for Tri-City Development Property that include the Proposed Detention Basin to be conveyed to La Porte In consultation with La Porte's Architect for planned improvements to the Park Land, a determination of the specific size, shape of the portion of detention/amenity lake and maintenance berm constituting the Proposed Detention Basin to be conveyed to La Porte, will be formulated. At that time, the Proposed Detention Basin to be conveyed to La Porte will be surveyed by a competent licensed surveyor, to determine the actual metes and bounds, and actual acreage of the Proposed Detention Basin be conveyed to La Porte. 6. Conveyance of Land to La Porte. Upon completion of the requirements outlined in paragraph 5, above, Tri-City shall cause the conveyance of Proposed Detention Basin to La Porte through general or special warranty deed, free and clear of all liens and encumbrances. Legal Fees incurred in connection with the preparation of necessary conveyance instruments to be paid by La Porte. Upon completion of conveyance, La Porte shall execute a Declaration of Gift to the City for Tax Purposes, stating the market value of the Proposed Detention Basin, as determined by the actual cost per acre of said land, and submit to Tri-City in exchange for the conveyance instrument. It is understood and agreed that Tri-Cites will not be authorized to proceed with the Tri-Cites Development Improvements, nor shall it be eligible to receive necessary approval or permitting from the City of La Porte for plans, drawings, contracts, andlor other matters related to said Development, until such time that it has conveyed the Proposed Detention Basin to La Porte. 7. Waiver. The failure of a party to insist in anyone or more instance on the performance of any term or condition of this Agreement shall not operate as a waiver of any future performance of that term or condition. 8. Headings. The headings used in this Agreement appear strictly for the parties' convenience in identifying the provisions of this Agreement and shall not affect the construction or interpretation of the provisions of this Agreement. 9. Legal Fees. If any party to this Agreement succeeds in any legal action to enforce the provisions of this Agreement, the other party or its successor-in-interest (as applicable) shall reimburse the successful party for its attorneys' fees and costs related to the action, in addition to any other relief obtained by the successful party. 10. Governing Law. This Agreement shall be subject to and be governed by the laws of the State of Texas. 11. Notice. Any notice or request required or desired to be given under this Agreement shall be in writing and shall be deemed to have been properly served when (i) delivered in person, or (ii) three (3) days after deposit in the United States Mail, certified, return receipt requested, postage pre-paid, A-3 (a) if to La Porte: City of La Porte Attn: City Manager 604 West Fairmont Parkway La Porte, Texas 77571 or (b) if to Tri-Cites Holdings, L.P., to Attn: Kenneth Paul Dawson, Managing Partner, Canada Land & Development Company, General Partner of Tri-City Holdings, L.P. 1106 Angela Deer Park, Texas 77536 Any party may change such party's address for purposes of notice hereunder, by giving notice to the other parties in accordance with the foregoing terms of this paragraph. 12. Severability. If any of the covenants, conditions or terms of this Agreement shall be found void or unenforceable for whatever reason by any court of law or of equity, then every other covenant, condition or term herein set forth shall remain valid and binding provided that in such event all of the parties shall to the fullest extent possible modify such covenant, condition or term to the extent required to carry out the general intention of this Agreement and to impart validity to such covenant, condition or term. A-4 IN TESTIMONY WHEREOF, this instrument has been executed in duplicate counterparts, each to have equal force and effect of an original, has been executed on behalf of the parties hereto as follows: It has on the J I~ day of June, 2007, been executed on behalf of the City by the City Manager and attested by its City Secretary, pursuant to ordinance of the City Council of the City of La Porte authorizing such execution. ATTEST: Lfrhi~Ji(L Ij L(J4 Martha Gillett, City Secretary APPROVED AS TO FORM: ~r~ Clark T. Askins, Assistant City Attorney Ti[j/7ff:LJ . Kenneth Paul Dawson, Managing Partner of Canada Land & Development Company, L.L.c., as General Partner of Tri-City Holdings, L.P. A-5 EXHIBIT" A" Description of City of La Porte Owned Park Property The City of La Porte owned park property is identified as: TRS 690, 691,708 & 709 (33.644 acres), La Porte Outlots, as recorded in Volume 83. Page 344, ofthe Deed Records of Harris County, William M. Jones Survey, Abstract 482, La Porte, Harris County, Texas. A-6 EXHIBIT "B" Description of Tri-City Holdings, L.P. Properties: Tri-City Holdings, L.P. property parcels are identified as: TRS 692C, 693B,706 & 707 (17.7717 acres), La Porte Outlots, as recorded in Volume 83, Page 344, of the Deed Records of Harris County, William M. Jones Survey, Abstract 482, La Porte, Harris County, Texas, and, TRS 710A, and 711 (18.726 acres), La Porte Outlots, as recorded in Volume 83. Page 344, of the Deed Records of Harris County, William M. Jones Survey, Abstract 482, La Porte, Harris County, Texas, and, TR 712 (8.652 acres), La Porte Outlots, as recorded in Volume 83, Page 344, of the Deed Records of Harris County, William M. Jones Survey, Abstract 482, La Porte, Harris County, Texas and, A portion ofTRS 692 & 693 (6.9210 acres), La Porte Outlots, as recorded in Volume 83, Page 344, of the Deed Records of Harris County, William M. Jones Survey, Abstract 482, La Porte, Harris County, Texas. Total acreage ofthe Tri-City Holdings, L.P. parcels is approximately 50.0707 acres. B-1 EXHIBIT "C" Description of the Tri-City Holdings, L.P. Land Conveyed to the City of La Porte Herein for Proposed Detention Basin Land to consist of +/- 1.5 acres, a Metes and Bounds description to be added to and become a permanent part of this agreement, after land size is determined by Architects, and surveyed by a licensed land surveyor. C-1 F REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: 6/06/07 Appropriation Requested By' John Joerns Source of Funds: N/A Department' City Council Account Number: N/A Report: Resolution: Ordinance: X Amount Budgeted: Nt A Exhibits: Ordinance Amount Requested: N 1,,\ Exhibits: AQreement Budgeted Item: YES NO Exhibits' SUMMARY & RECOMMENDATION At the meeting of May 24,2007 the La Porte Redevelopment Authority and the TIRZ Boards approved the attached agreement between the Authority and the City of La Porte for the Authority's management of the Lakes of Fairmont Green Public Improvement District (the "District"). City Council approved creation of the District with the passage of Resolution 2007-07 in January of this year. This agreement is the final step in the process for the Authority to manage the plan and complete the necessary services and improvements as noted in the attached agreement and to also aid the Authority in the collection of the required assessments. Also at this meeting, the Authority agreed to enter into an agreement with Hawes Hill for administration of the PID. Staff recommends approval of the enabling ordinance and attached agreement. Action Reauired bv Council: Approve the enabling ordinance and agreement between the City of La Porte and the La Porte Redevelopment Authority for the Authority's management of the Lakes of Fairmont Green Public Improvement District (the "District"). # Date ORDINANCE NO. .!. 'i~ r AN ORDINANCE APPROVING AND AUTHORIZING AN AGREEMENT BETWEEN THE CITY OF LA PORTE AND THE LA PORTE REDEVELOPMENT AUTHORITY FOR THE MANAGEMENT OF THE LAKES OF FAIRMONT GREEN PUBLIC IMPROVEMENT DISTRICT (THE "DISTRICT"); MAKING VARIOUS FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; PROVIDING AND EFFECTIVE DATE HEREOF. BE IT ORDAINDED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: SECTION 1. The City Council of the City of La Porte hereby approves and authorizes the contract, agreement, or other undertaking described in the title of this ordinance, in substantially the form as shown in the document which is attached hereto and incorporated herein by this reference. The Mayor is hereby authorized to execute such document and all related documents on behalf of the City of La Porte. The City Secretary is hereby authorized to attest to all such signatures and to affix the seal of the City to all such documents. SECTION 2. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place, and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City 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 3. This Ordinance shall be effective from and after its passage, and it-is so ordered. PASSED AND APPROVED THIS THE II~ DAY OF Ju (l e , 2007. CITY OF LA PORTE By: ~~y~ ALTON PORTER, Mayor ATTEST: By: vrnrltt~(1, #A-IHJ MARTHA GILLETT, City Secretary APPROVED: By: ~T~ ~/' KNOX ASKINS, / City Attorney ---"-' --..-----....-.--- REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: June 11. 2007 Budeet Requested By: MlIyor Alton Portpr Source of Funds: Department: City ClHlIldl Account Number: Report: Resolution: Ordinance: x Amount Budgeted: Exhibits: Ordinance Amount Requested: Exhibits: Budgeted Item: YES NO Exhibits SUMMARY & RECOMMENDATION City Council to approve an ordinance appointing a Mayor Pro-Tern of the City of La Porte, for the term expiring May 31, 2008. Action ReQuired bv Council: Approve ordinance 2007- eoda 6*1 Dati ORDINANCE NO. 2007-~~ AN ORDINANCE APPOINTING A MEMBER OF THE CITY COUNCIL TO SERVE AS MAYOR PRO-TEM OF THE CITY OF LA PORTE, FOR THE PERIOD JUNE 12, 2007, THROUGH JUNE 12, 2008, FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW, PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. The City Council of the City of La Porte hereby appoints Louis Rigby to serve as Mayor Pro-Tern of the City of La Porte, for the period June 12, 2007, through June 12, 2008, or until his successor shall have been duly appointed and qualified. Section 2. The Mayor Pro-Tern shall serve in such office during said term, during the absence or incapacity of the Mayor and shall do all things, perform all duties, and in fact have all the powers and duties of the Mayor of the City of La Porte during such absence or incapacity of the Mayor. Section 3. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the city 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 4. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. ORDINANCE NO. 2007- PAGE 2 PASSED AND APPROVED, this 11th day of June, 2007 By: CITY OF LA PORTE ~LV~ Alton E. Porter Mayor ATTEST: 4YI ~ tl,/frM Martha A. Gillett City Secretary APPROVED: ~r~W1 C! rk . skins Assistant city Attorney 8 REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: June 11.2007 Requested By: Michael G. Dolbv. CPA ~ Department: Finance Appropriation Source of Funds: Account Number: Report: Resolution: X Ordinance: Amount Budgeted: Exhibits: Resolution Amount Requested: Exhibits: Investment Policy Budgeted Item: YES NO Exhibits: SUMMARY & RECOMMENDATION The City Council of the City of La Porte originally adopted an Investment Policy on January 13, 1992, by Ordinance No. 1802. The policy was last amended in October 2005. The Governmental Accounting Standard's Board (GASB) Pronouncement 31 requires that a City must present the Investment Policy to Council annually. On May 21, 2007, the Finance Department presented the Investment Policy to the Fiscal Affairs Committee for review. No changes to the actual policy are recommended at this time. Action Required bv Council: Recommend that the Council receive and approve/reaffirm the Investment Policy. enda ~fc Date RESOLUTION NO. 2007--1Q A RESOLUTION OF THE CITY OF LA PORTE, TEXAS, APPROVING AN INVESTMENT POLICY CONFORMING TO ALL STATUTES GOVERNING INVESTMENT OF THE CITY OF LA PORTE'S FUNDS, INCLUDING, BUT NOT BY WAY OF LIMITATION, THE PUBLIC FUNDS INVESTMENT ACT, CHAPTER 2256, TEXAS GOVERNMENT CODE; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND SETTING AN EFFECTIVE DATE THEREOF. WHEREAS, the City of La Porte requires that funds be invested in a manner which will preserve the principal of funds invested while meeting daily cash flow demands of the City; and WHEREAS, the Public Funds Investment Act requires the adoption of certain investment policies and controls regarding the investment of its funds; and WHEREAS, the Public Funds Investment Act requires that the governing body of an investing entity shall adopt a written investment policy by rule, order, ordinance, or resolution, and shall further review its investment policy and investment strategies not less than annually, and shall adopt a written instrument by rule, order, ordinance, or resolution stating that it has reviewed the investment policy and investment strategies adopted, and that the written instrument so adopted shall record any changes made to either the investment policy or investment strategies previously adopted; and WHEREAS, the City will endeavor to earn a return on funds invested at the highest return possible after taking into account the primary goals of preservation of liquidity of funds invested, consistent with the City's Investment Policy; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LA PORTE, THAT: SECTION 1. The findings and recitations set out in the preamble to this Resolution are found to be true and correct and that they are hereby adopted by the City Council of the City of La Porte and made a part hereof for all purposes. SECTION 2. The City of La Porte hereby designates the City of La Porte, Texas Investment Policy, a true copy of which is on file in the office of the City Secretary of the City of La Porte, as an official policy of the City of La Porte and that it is hereby adopted by the City of La Porte and made a part hereof for all purposes, and further, that the said City of La Porte, Texas Investment Policy and investment strategies made pursuant thereto have been reviewed by the City of La Porte and it has been found that no changes are necessary to either the Investment Policy or investment strategies SECTION 3. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour place and subject of this meeting of the City Council was posted at a place convenient to the public at City Hall of the City 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 Resolution 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 4. This Resolution shall be effective upon its passage and approval. INTRODUCED, READ and PASSED by the affirmative vote of a majority of the City Council of the City of La Porte, Texas, on this the 11 th day of June, 2007. LfJ~~~/ Martha Gillett, City Secretary (~ r 4rt/?/~~ Clark T. Askins, Assistant City Attorney ~L7~ Alton Porter, Mayor City of La Porte, Texas Investment Policy Adopted by the City Council Of the City of La Porte On January 13, 1992, by Ordinance No. 1802 Amended - November 1995 Amended - August 1997 Amended - November 2000 Amended - February 2003 Amended - February 2005 Amended - October 2005 City of La Porte, Texas Michael G. Dolby, CPA Interim Finance Director Phyllis Rinehart Controller 1. POLICY It is the policy of the City of La Porte, Texas (the "City") to administer and invest its funds in a manner which will preserve the principal and maintain the liquidity through limitations and diversification while meeting the daily cash flow requirements ofthe City. The City will invest all available funds in conformance with legal and administrative guidelines, seeking to optimize interest earnings to the maximum extent possible. II. PURPOSE The purpose of this investment policy is to comply with all statutes governing the investment of the City's funds and Chapter 2256 of the Government Code ("Public Funds Investment Act"), which requires the City to adopt a written investment policy regarding the investment of its funds and funds under its control. The Investment Policy addresses the methods, procedures and practices that must be exercised to ensure effective and judicious fiscal management of the City's funds. III. SCOPE The City will strive to earn a return on funds invested at the highest investment return possible after taking in consideration the primary goals of preservation of principal and liquidity of funds invested, consistent with the policy objectives described below. This investment policy applies to the investment activities of the government of the City of La Porte, Texas. FUNDS INCLUDED All financial assets of all funds managed by the City, including but not limited to receipts of Tax Revenues, Charges for Services, Bond Proceeds, Interest Incomes, Loans and Funds received by the City where the City performs a custodial function. [v. OBJECTIVES SAFETY The primary objective of the City's investment activity is the preservation of capital in the overall portfolio. Each investment transaction shall seek first to ensure that capital losses are avoided, whether they are from securities defaults or erosion of market value. The City will strive to minimize credit risk by limiting investments to the safest types of investments, prequalifying the financial institutions and broker/dealers with which the City conducts business, and diversify the investment portfolio so that potential losses on individual issuers will be minimized. To minimize interest rate risk, the City will ladder the portfolio and match investments with future cash requirements and invest operating funds in shorter, more liquid securities and investments. LIQUIDITY The City's investment portfolio will remain sufficiently liquid to enable the City to meet operating requirements that might be reasonably anticipated. Liquidity shall be achieved by matching investment maturities with forecasted cash flow requirements and by investing in securities with active secondary markets. Because all possible cash demands cannot be anticipated, a portion of the portfolio will be invested in shares of money market mutual funds or local government investment pools that offer same day liquidity. PUBLIC TRUST All participants in the investment process shall seek to act responsibly as custodians of the public trust. Investment Officials shall avoid any transaction that might impair public confidence in the City's ability to govern effectively. The governing body recognizes that in a diversified portfolio, occasional measured losses due to market volatility are inevitable, and must be considered within the context of the overall portfolio's investment return, provided that adequate diversification has been implemented. YIELD (Optimization of Interest Earnings) The City's cash management portfolio shall be designed with the objective of regularly meeting or exceeding the average rate of return on U.S. Treasury Bills at a maturity level comparable to the City's weighted average maturity in days. The investment program shall seek to augment returns above this threshold consistent with risk limitations identified herein and prudent investment principles. V. OVERSIGHT RESPONSIBILITY Oversight Responsibility for the investment activity of the City of La Porte shall rest with the Fiscal Affairs Committee and the City Manager. VI. RESPONSIBILITY AND CONTROL DELEGATION Management responsibility for the investment program is hereby delegated to the Director of Finance, who shall establish written procedures for the operation of the investment program, consistent with this investment policy. Such procedures shall include explicit delegation of authority to persons responsible for investment transactions. SUBORDINATES All persons involved in investment activities will be referred to as "Investment Officers." No person shall engage in an investment transaction except as provided under the terms of this policy and the procedures established by the Director of Finance. The Director of Finance shall be responsible for all transactions undertaken, and shall establish a system of controls to regulate the activities of Subordinate Investment Officers. OUARTERL Y REPORTS The Director of Finance shall submit quarterly an investment report that summarizes recent market conditions, economic developments and anticipated investment conditions. The report shall summarize the investment strategies employed in the most recent quarter and describe the portfolio in terms of investment securities, maturities, risk characteristics, book values, market values and other features. The report shall explain the quarter's total investment return and compare the return to budgetary expectations. The report shall include an appendix that discloses all transactions during the quarter. ANNUAL REPORTS Within 90 days of the end of the fiscal year, the Director of Finance shall present a comprehensive annual report on the investment program and investment activity. The annual report shall include twelve-month and quarterly comparison of returns, and shall suggest improvements that might be made in the investment program. PRUDENCE Investments shall be made with the exercise of due care, which persons of prudence, discretion and intelligence exercise in the management of their own affairs, not for speculation but for investment considering the probable safety of their own capital as well as the probable income to be derived. Investment Officers acting in accordance with written procedures and this investment policy and exercising due diligence shall be relieved of personal responsibility for an individual security's credit risk or market price changes, provided deviations from expectations are reported in a timely fashion and the liquidity and the sale of securities are carried out in accordance with the terms of this policy. IMDEMNIFICATION The Investment Officer, acting in accordance with written procedures and exercising due diligence, shall not be held personally responsible for a specific investment's credit risk or market price changes, provided that these deviations are reported immediately and the appropriate action is taken to control adverse developments. ETHICS DISCLOSURE AND CONFLICTS OF INTEREST Officers and employees involved in the investment process shall refrain from personal business activity that could conflict with proper execution and management of the investment program, or which could impair their ability to make impartial investment decisions. Employees and Investment Officers shall disclose to the City Manager any material interests in financial institutions that conduct business with the City of La Porte, and shall further disclose any personal financial or investment positions that could be related to the performance of the City's investment portfolio. Employees and Investment Officers shall refrain from undertaking personal investment transactions with the same individual with which business is conducted on behalf of the City of La Porte. An Investment Officer of the City of La Porte who has a personal business relationship with an organization seeking to sell an investment to the City of La Porte shall file a statement disclosing that personal business interest. An Investment Officer who is related within the second degree by affinity or consanguinity to an individual seeking to sell an investment to the City of La Porte shall file a statement disclosing that relationship. A statement required under subsection 2256.005(i) of the PFIA must be filed with the Texas Ethics Commission and the governing body of the City of La Porte. TRAINING Investment Officers shall attend at least one investment training session within 12 months after taking office or assuming duties, and shall attend an investment training session not less than once in a two-year period and receive not less than 10 hours of instruction relating to investment responsibilities from an independent source approved by the Fiscal Affairs Committee. For the purposes of this policy, an "independent source" is defined as a professional organization, an institute of higher learning or any other sponsor other than a Business Organization with whom the City may engage in investment transactions. Independent sources that may provide investment training include the Government Treasurer's Organization of Texas, the University of North Texas, the Government Finance Officers Association of Texas, or the Texas Municipal League. Training shall be in accordance with the Public Funds Investment Act and shall include education in investment controls, security risks, market risks, and compliance with statutes governing the investment of public funds. VII. INVESTMENTS ACTIVE PORTFOLIO MANAGEMENT The City intends to pursue active versus passive portfolio management philosophy. That is, securities may be sold before they mature if market conditions present an opportunity for the City to benefit from the trade. AUTHORIZED INVESTMENTS Assets offunds of the government of the City of La Porte may be invested in the following as authorized by the Public Funds Investment Act: A. Obligations of, or Guaranteed by Governmental Entities 1. Except as provided by Subsection (b), the following are authorized investments under this section: a) obligations of the United States or its agencies and instrumentalities; b) direct obligations of this state or its agencies and instrumentalities; c) collateralized mortgage obligations directly issued by a federal agency or instrumentality of the United States, the underlying security for which is guaranteed by an agency or instrumentality of the United States; d) other obligations, the principal and interest of which are unconditionally guaranteed or insured by, or backed by the full faith and credit of, this state or the United States or their respective agencies and instrumentalities; and e) obligations of states, agencies, counties, cities, and other political subdivisions of any state rated as to investment quality by a nationally recognized investment rating firm not less than A or its equivalent. 2. The following are not authorized investments under this section: a) obligations whose payment represents the coupon payment on the outstanding principal balance of the underlying mortgage-backed security collateral and pays not principal (Interest only bonded); b) obligations whose payment represents the principal stream of cash from the underlying mortgage-backed security collateral and pays no interest (Principal only bonds); c) collateralized mortgage obligations that have a final stated maturity date of greater that 10 years; and d) collateralized mortgage obligations, the interest rate of which is determined by an index that adjusts opposite to the changes in a market index. B. Certificates of Deposit and Share Certificates 1. A certificate of deposit is an authorized investment under this Subchapter if the certificate is issued by a state or national bank domiciled in this state, a savings bank domiciled in this state, or a state or federal credit union domiciled in this state and is: a) guaranteed or insured by the Federal Deposit Insurance Corporation or its successor or the National Credit Union Share Insurance Fund or its successor; b) secured by obligations that are described by Section 2256.009 (a), including mortgage backed securities directly issued by a federal agency or instrumentality that have a market value of not less than the principal amount of the certificates, but excluding those mortgage backed securities of the nature described by Section 2256.009 (b); or c) secured in any other manner and amount provided by law for deposits of the investing entity. C. Repurchase Agreements 1. A fully collateralized repurchase agreement IS an authorized investment under this Subsection if the repurchase agreement: a) has a defined termination date; b) is secured by obligations described by Section 2256.009 (a)(1); and c) requires the securities being purchased by the entity to be pledged to the entity, held in the entity's name, and deposited at the time the investment is made with the entity or with a third party selected and approved by the entity; and d) is placed through a primary government securities dealer, as defined by the Federal Reserve, or a financial institution doing business in this state. e) repurchase agreements and reverse repurchase agreements shall be entered into only with dealers who have executed a Master Repurchase Agreement with the City. 2. In this section, "repurchase agreement" means a simultaneous agreement to buy, hold for a specified time, and sell back at a future date obligations described by Subsection A, l,a), at a market value at the time the funds are disbursed of not less than the principal amount of the funds disbursed. The term includes a direct security repurchase agreement and a reverse security repurchase agreement. 3. Notwithstanding any other law, the term of any reverse security repurchase agreement may not exceed 90 days after the date the reverse security repurchase agreement is delivered. 4. Money received by an entity under the terms of a reverse security repurchase agreement shall be used to acquire additional authorized investments, but the term of the authorized investments acquired must mature no later than the expiration date stated in the reverse security repurchase agreement. D. Banker's Acceptances 1. A banker's acceptance is an authorized investment under this subchapter if the banker's acceptance: a) has a stated maturity of270 days or fewer from the date of its issuance; b) will be, in accordance with its terms, liquidated in full at maturity; c) is eligible for collateral for borrowing from a Federal Reserve Bank; and d) is accepted by a bank organized and existing under the laws of the United States or any state, if the short-term obligations of the bank, or of a bank holding company of which the bank is the largest subsidiary, are rated not less that A-lor P-l or an equivalent rating by at least one nationally recognized credit rating agency. E. Commercial Paper 1. Commercial paper is an authorized investment under this subchapter if the commercial paper; a) has a stated maturity of 270 days or fewer from the date of its issuance; and b) is rated not less than A-lor P-I or an equivalent rating by at least; c) two nationally recognized credit rating agencies; or d) one nationally recognized credit rating agency and is fully secured by an irrevocable letter of credit issued by a bank organized and existing under the laws of the United States or any state. F. Mutual Funds I. A no-load money market mutual fund is an authorized investment under this subchapter if the mutual fund: a) is registered with and regulated by the Securities and Exchange Commission; b) provides the investing entity with a prospectus and other information required by the Securities and Exchange Act of 1934 (15 U.s.c. Section 80a-1 et seq.); c) has a dollar-weighted average stated maturity of90 days or fewer; and d) includes in its investment objectives the maintenance of a stable net asset value of $1 for each share. 2. In addition to a no-load money market mutual fund permitted as an authorized investment in Subsection (a), a no-load mutual fund is an authorized investment under this Section if the mutual fund: a) is registered with the Securities and Exchange Commission; b) has an average weighted maturity of less than two years; c) is invested exclusively in obligations approved by this subchapter; d) is continuously rated as to investment quality by at least one nationally recognized investment rating firm of not less than AAA or it equivalent; and e) conforms to the requirements set forth in Sections 2256.016 (b) and (c) relating to the eligibility of investment pools to receive and invest funds of investing entities. 3. An entity is not authorized by this section to: a) invest in the aggregate more than 15 percent of its monthly average fund balance, excluding bond proceeds and reserves in other funds held for debt service, in mutual funds described in Subsection (b); b) invest any portion of bond proceeds, reserves and funds held for debt service, in mutual funds described in Subsection (b); or c) invest its funds or funds under its control, including bond proceeds and reserves and other funds held for debt service, in anyone mutual fund described in Subsection (a) or (b) in an amount that exceeds 10 percent of the total assets of the mutual fund. G. Investment Pools 1. An entity may invest its funds and funds under its control through an eligible investment pool if the governing body of the entity by rule, order, ordinance, or resolution, as appropriate, authorizes investment in the particular pool. An investment pool shall invest the funds it receives from entities in authorized investments permitted by this subchapter. 2. To be eligible to receive funds from and invest funds on behalf of an entity under this chapter, an investment officer or other authorized representative of the entity an offering circular or other similar disclosure instrument that contains, at a minimum, the following information: a) the types of investments in which money is allowed to be invested; b) the maximum average dollar-weighted maturity allowed, based on the stated maturity date, of the pool; c) the maximum stated maturity date any investment security within the portfolio has; d) the objectives of the pool; e) the size of the pool; f) the names of the members of the advisory board of the pool and the dates their terms expire; g) the custodian bank that will safekeep the pool's assets; h) whether the intent of the pool is to maintain a net asset value of one dollar and the risk of market price fluctuation; i) whether the only source of payment is the assets of the pool at market value or whether there is a secondary source of payment, such as insurance or guarantees, and a description of the secondary source of payment; j) the name and address of the independent auditor of the pool; k) the requirements to be satisfied for an entity to deposit funds in and withdraw funds from the pool and any deadlines or other operating policies required for the entity to invest funds in and withdraw funds from the pool; and 1) the performance history of the pool, including yield average dollar-weighted maturities, and expense ratios. 3. To maintain eligibility to receive funds from and invest funds on behalf of an entity under this chapter, an investment pool must furnish to the investment officer or other authorized representative of the entity: a) investment transaction confirmations; and b) a monthly report that contains, at a minimum, the following information: 1. the types and percentage breakdown of securities in which the pool is invested; B. the current average dollar-weighted maturity, based on the stated maturity date, of the pool; lll. the current percentage of the pool's portfolio in investments that have stated maturities of more than one year; iv. the book value versus the market value of the pool's portfolio, using the amortized cost valuation; v. the size of the pool; VI. the number of participants in the pool; VB. the custodian bank that is safekeeping the assets of the pool; viii. a listing of daily transaction activity of the entity participating in the pool; IX. the yield and expense ratio of the pool; x. the portfolio managers ofthe pool; and Xl. any changes or addenda to the offering circular. 4. An entity by contract may delegate to an investment pool the authority to hold legal title as custodian of investments purchased with its local funds. 5. In this section, "yield" shall be calculated in accordance with regulations governing the registration of open-end management investment companies under the Investment Company Act of 1940, as promulgated from time to time by the Federal Securities and Exchange Commission. 6. To be eligible to receive funds from and invest funds on behalf of an entity under this chapter, a public funds investment pool created to function as a money market mutual fund must mark its portfolio to market daily, and, to the extent reasonably possible, stabilize a $1 net asset value. If the ratio of the market value of the portfolio divided by the book value ofthe portfolio is less than 0.995 or greater than 1.005, portfolio holdings shall be sold as necessary to maintain the ratio between 0.995 and 1.005. 7. To be eligible to receive funds from and invest funds on behalf of an entity under this chapter, a public funds investment pool must have an advisory board composed: a) equally of participants in the pool and other persons who do not have a business relationship with the pool and are qualified to advise the pool, for a public funds investment pool created under Chapter 791 and managed by a state agency; or b) of participants in the pool and other persons who do not have a business relationship with the pool and are qualified to advise the pool, for other investment pools. 8. To maintain eligibility to receive funds from and invest funds on behalf of an entity under this chapter, an investment pool must be continuously rated no lower that AAA or AAA- m or at an equivalent rating by at least one nationally recognized rating service. EXISTING INVESTMENTS Any investments currently held that do not meet the guidelines of this policy shall be reviewed to determine the ability to liquidate. If the investment cannot be liquidated because of material adverse change in the value since the time of purchase, and holding the investment to maturity does not negatively affect disbursements or cash flow, a recommendation of holding said investment to maturity is acceptable. PROCUREMENT Investments of subsections A-G of this section may be made only after competitive bids are solicited from at least three sources, with the exception of a) transactions with money market mutual funds and local government investment pools, and b) treasury and agency securities purchased at issue through an approved broker/dealer or financial institution. MONITORING The market value of each investment shall be obtained monthly from a source such as the Wall Street Journal newspaper, a reputable brokerage firm or security pricing service and reported on the monthly investment reports. LENGTH OF INVESTMENTS The maximum stated maturity, from the date of purchase, for any individual investment may not exceed 5 years and the maximum dollar-weighted average maturity for the pooled fund group (investment portfolio) may not exceed 2 years. DIVERSIFICATION It is the policy of the City of La Porte to diversify its investment portfolios. Assets held in the common investment portfolio shall be diversified to eliminate the risk of loss resulting from one concentration of assets in a specific maturity, a specific issuer or a specific class of securities. Diversification strategies shall be determined and revised periodically by the Fiscal Affairs Committee. In establishing specific diversification strategies, the following general policies and constraints shall apply: A. Portfolio maturities shall be staggered in a way that protects interest income from the volatility of interest rates and that avoids undue concentration of assets in a specific maturity sector. Securities shall be selected which provide for stability of income and reasonable liquidity. The City shall continually invest a portion of the portfolio in readily available funds such as local government investment pools (LGIPs), money market funds or overnight repurchase agreements to ensure that appropriate liquidity is maintained in order to meet ongoing obligations. B. The Fiscal Affairs Committee shall establish strategies and guidelines for the percentage of the total portfolio that may be invested in securities other than repurchase agreements, Treasury bill and notes, or insured and collateralized certificates of deposits. The Fiscal Affairs Committee shall conduct a semi-annual review of these guidelines, and shall evaluate the probability of market and default risk in various investment sectors as part of its considerations. FINANCIAL INSTRUMENTS Maximum allowable percentages of the total portfolio for investments are stated as follows: Investment Type 1. Investment Pools 2. Money Market Accounts 3. Certificates of Deposit 4. U.S. Government Securities 5. U.S. Agency Securities 6. Municipal Securities 7. Repurchase Agreements 8. Bankers' Acceptance Bonds 9. Commercial Paper VIII. SELECTION OF BANKS AND DEALERS Maximum Limit 100% 10% 60% 80% 80% 20% 50% 35% 35% BIDDING PROCESS Depositories shall be selected through the City's banking services procurement process, which shall include a formal request for proposal (RFP) issued every three (3) years. In selecting depositories, the credit worthiness of institutions shall be considered, and the Director of Finance shall conduct a comprehensive review of prospective depositories credit characteristics and financial history. INSURABILITY Banks and Savings & Loans Associations seeking to establish eligibility for the City's competitive certificate of deposit purchase program, shall submit financial statements, evidence of Federal insurance and other information as required by the Director of Finance. PRIMARY DEALERS AND APPROVED LIST For brokers and dealers of government securities, Investment Officers shall select only those dealers reporting to the Market Reports Division of the Federal Reserve Bank of New York, also known as "primary government securities dealers," unless a comprehensive credit and capitalization analysis reveals that other firms are adequately financed to conduct public business. Before engaging in investment transactions with a broker/dealer, the Investment Officer shall have received, from a Qualified Representative of said firm, a signed Certification Form. (Exhibit B) This form shall attest that the individual responsible for the City's account with that firm has (1) received and reviewed the investment policy of the entity; and (2) acknowledged that the business organization has implemented reasonable procedures and controls in an effort to preclude investment transactions conducted between the entity and the organization that are not authorized by the entity's investment policy, except to the extent that this authorization is dependent on an analysis of the makeup of the entity's entire portfolio or requires an interpretation of subjective investment standards. Investment Officers of the City may not acquire or otherwise obtain any authorized investment described in the investment policy from a person who has not delivered a signed Certification Form. The Fiscal Affairs Committee shall at least annually review, revise, and adopt a list of qualified brokers that are authorized to engage in investment transactions with the City. (Exhibit A) IX. SAFEKEEPING AND CUSTODY INSURANCE OR COLLATERAL All bank deposits, certificates of deposit, and repurchase agreements shall be secured by pledged collateral. Bank deposits and certificates of deposit shall be collateralized with a market value equal to no less than 102% of the deposits plus accrued interest less than an amount insured by FDIC. Repurchase agreements shall be monitored daily. Evidence of the pledged collateral shall be maintained by the Director of Finance or a third party financial institution. Repurchase agreements shall be documented by specific agreement noting the collateral pledged in each agreement. Collateral shall be reviewed monthly to assure the market value of the securities pledged equals or exceeds the related bank balances. SAFEKEEPING AGREEMENT All safekeeping arrangements shall be in accordance with a Safekeeping Agreement approved by the Fiscal Affairs Committee which clearly defines the procedural steps for gaining access to the collateral should the City of La Porte determine that the City's funds are in jeopardy. The safekeeping institution, or Trustee, shall be the Federal Reserve Bank or an institution not affiliated with the firm pledging the collateral. The safekeeping agreement shall include the signatures of the City of La Porte, the firm pledging the collateral, and the Trustee. COLLATERAL DEFINED The City of La Porte shall accept only the following securities as collateral: A. FDIC insurance coverage; B. United States Treasuries and Agencies; C. Texas State, City, County, School or Road District bonds with a remaining maturity of ten (10) years or less with rating from a nationally recognized investment rating firm and having received a rating of not less than A or its equivalent; D. Other securities as approved by the Fiscal Affairs Committee. SUBJECT TO AUDIT All collateral shall be subject to inspection and audit by the Director of Finance or the City's independent auditors. DELIVERY VERSUS PAYMENT All investment transactions, with the exception of local government investment pools and mutual fund transactions, shall be purchased using the delivery versus payment method. That is, funds shall not be wired or paid until verification has been made that the collateral was received by the Trustee. The collateral shall be held in the name of the City or held on behalf of the City. The Trustee's records shall assure the notation of the City's ownership of or explicit claim on the securities. The original copy of all safekeeping receipts shall be delivered to the City. X. MANAGEMENT AND INTERNAL CONTROLS The Director of Finance shall establish a system of internal controls, which shall be reviewed by an independent auditor. The controls shall be designed to prevent losses of public funds arising from fraud, employee error, misrepresentation by third parties, unanticipated changes in financial markets, or imprudent actions by employees or Investment Officers of the City. Controls and managerial emphasis deemed most important that shall be employed where practical are: A. Control of collusion. B. Separation of duties. C. Separation of transaction authority from accounting and record keeping. D. Custodian safekeeping receipts records management. E. Avoidance of physical delivery securities. F. Clear delegation of authority. G. Documentation on investment bidding events. H. Written conformation of telephone transactions. 1. Reconcilement and comparisons of security receipts with the investment subsidiary records. J. Compliance with investment policies. K. Accurate and timely reports. L. Validation of investment maturity decisions with supporting cash flow data. M. Adequate training and development of Investment Officers. N . Verification of all interest income and security purchase as sell computations. O. Review of financial condition of all brokers, dealers and depository institutions. P. Staying informed about market conditions, changes, and trends that require adjustments in investment strategies. COMPLIANCE AUDIT The City of La Porte shall perform, in conjunction with its annual financial audit, a compliance audit of management controls on investments and adherence to the entity's established investment policies. The audit shall include a formal review of the quarterly investment reports by an independent auditor and the results reported to the governing body by the independent auditor. Also, the governing body shall review its investment policy and investment strategy not less than annually and adopt a written instrument by rule, order, ordinance, or resolution stating that it has reviewed the investment policy and strategy, and recorded any changes made to them. Exhibit A City of La Porte Approved List of BrokerslDealers and Investment Pools BrokerslDealers Coastal Securities Wells Fargo Duncan Williams, Inc. Morgan Stanley, Inc. Investment Pools TexPool LOGIC Investment Pool TexSTAR Exhibit B BROKERlDEALER CERTIFICATION FORM As required by Texas Government Code 2256.005 (k-l) CITY OF LA PORTE, TEXAS This certification is executed on behalf of (the Investor) and (the Dealer) pursuant to the Public Funds Investment Act, Chapter 2256, Government Code, Texas Codes Annotated (the Act) in connection with investment transactions conducted between the Investor and Dealer. The Undersigned Qualified Representative of the Dealer hereby certifies on behalf of the Dealer that: 1. The Dealer Qualified Representative is duly authorized to execute this Certification on behalf of the Dealer, and 2. The Dealer Qualified Representative has received and reviewed the Investment Policy furnished by the Investor, and 3. The Dealer has implemented reasonable procedures and controls in an effort to preclude investment transactions conducted between the Dealer and the Investor that are not authorized by the entity's investment policy, except to the extent that this authorization is dependent on an analysis of the makeup of the entity's entire portfolio or requires an interpretation of subjective investment standards. Dealer Qualified Representative Signature Name (Printed): Title: Date: Exhibit C City of La Porte, Texas Investment Strategy Statement The City of La Porte, Texas (the "City") will strive to administer and invest its pooled funds at the highest investment return possible while always taking into account the primary goals of preservation of principal and liquidity of funds invested consistent with the City's investment policy. The City's funds, which are pooled together and constitute the investment portfolio, include all financial assets of all funds managed by the City, including but not limited to receipts of tax revenues, charges for services, bond proceeds, interest incomes, loans and funds received by the City where the City performs a custodial function. The City will never invest its funds in a security that is deemed unsuitable to the financial requirements of the City. Maturities will be staggered in a manner that meets the cash flow needs of the City. The primary investment objective is the preservation and safety of principal. Each investment transaction shall seek first to ensure that principal losses are avoided, whether they are from security defaults or erosion of market value. The City's investment portfolio will remain sufficiently liquid to enable the City to meet operating requirements that might be reasonably anticipated. Liquidity shall be achieved by matching investment maturities with forecasted cash flow requirements and by investing in securities with active secondary markets. The City shall always maintain a highly diversified investment portfolio in order to reduce the amount of credit and market risk exposed to the City's portfolio. After first considering safety and liquidity, the City's investment portfolio shall be designed with the objective of regularly exceeding the average rate of return on U.S. Treasury Bills at a maturity level comparable to the City's weighted average maturity in days. The City shall seek to augment returns above this threshold consistent with risk limitations identified in the City's investment policy and prudent investment principles. "4 REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: June1t. 2007 Requested By: Michael G. Dolbv. CPA r Appropriation Source of Funds: Department: Finance Account Number: Report: _Resolution: _Ordinance: -K- Amount Budgeted: Exhibits: Ordinance Amount Requested: Exhibits: Interlocal A2reement Budgeted Item: YES NO Exhibits: SUMMARY & RECOMMENDATION The City of La Porte would like to participate with the North Central Texas Council of Governments (NCTCOG) through an interlocal agreement for cooperative purchasing for actuarial shared services. The city will be able to obtain an actuarial study of its annual required contribution to fund health insurance for retirees as recommended for implementation of Governmental Accounting Standards Board statement number 45 (GASB 45). The NCTCOG has gone through the bid process and selected an actuarial firm. If the city participates in the cooperative purchasing program, the city will able to obtain an actuarial study at a reduced fee. RevC~e..et ~"'( ~ ~~C-.~ A-ff~ C~1f/ Action Required by Council: Recommend that the Council receive and approve the interlocal agreement with NCTCOG. c / ,S' If) ? Date I ( ORDINANCE NO. 2007 - jOOO 1 A 61 {~ AN ORDINANCE APPROVING AND AUTHORIZING AN INTERLOCAL AGREEMENT BETWEEN THE CITY OF LA PORTE AND NORTH CENTRAL TEXAS COUNCIL OF GOVERNMENTS, FOR COOPERATIVE PURCHASING FOR ACTUARIAL SHARED SERVICES, MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT, FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW, AND PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: section 1. The City Council hereby approves and authorizes the contract, agreement, or other undertaking described in the title of this ordinance, a copy of which is on file in the office of the City Secretary. The Interim City Manager is hereby authorized to execute such document and all related documents on behalf of the City of La Porte. The city Secretary is hereby authorized to attest to all such signatures and to affix the seal of the City to all such documents. section 2. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City 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 3. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. PASSED AND APPROVED, this 11th day of June, 2007. CITY OF LA PORTE By: Alton E. Porter, Mayor ATTEST: jllfJAH1rJ--O.~) Martha A. G11lett city Secretary APPROVED: Cl"~~i~ ~ Assistant City Attorney 2 INTERLOCAL AGREEMENT FOR COOPERATIVE PURCHASING FOR ACTUARIAL SHARED SERVICES THIS INTERLOCAL AGREEMENT ("Agreement"), made and entered into pursuant to the Texas Interlocal Cooperation Act, Chapter 791, Texas Government Code (the "Act"), by and between the North Central Texas Council of Governments, hereinafter referred to as "NCTCOG," having its principal place of business at 616 Six Flags Drive, Arlington, Texas 76011, and the City of La Porte, a local government, created and operated to provide one or more governmental functions and services, hereinafter referred to as "Participant," having its principal place of business at 604 W. Fairmont Parkway, La Porte, Texas 77571. WITNESETH WHEREAS, NCTCOG is a regional planning commission and political subdivision of the State of Texas operating under Chapter 391, Texas Local Government Code; and WHEREAS, pursuant to the Act, NCTCOG is authorized to contract with eligible entities to perform governmental functions and services, including the development of a standard approach for acquiring actuarial services; and WHEREAS, in reliance on such authority, NCTCOG has a cooperative purchasing program under which it contracts with eligible entities under the Act; and WHEREAS, Participant has represented that it is an eligible entity under the Act, that by Administrative Action has authorized this Agreement on (Date)* and that it desires to contract with NCTCOG on the terms set forth below; NOW, THEREFORE, NCTCOG and the PARTICIPANT do hereby agree as follows: ARTICLE 1: LEGAL AUTHORITY The Participant represents and warrants to NCTCOG that (1) it is eligible to contract with NCTCOG under the Act because its a local government, as defmed in the Act, and (2) it possesses adequate legal authority to enter into this Contract. ARTICLE 2: APPLICABLE LAWS NCTCOG and the Participant agree to conduct all activities under this Agreement in accordance with all applicable rules, regulations, and ordinances and laws in effect or promulgated during the term of this Agreement. ARTICLE 3: WHOLE AGREEMENT This Agreement and any attachments, as provided herein, constitute the complete contract between the parties hereto, and supersede any and all oral and written agreements between the parties relating to matters herein. ARTICLE 4: BILLINGS Billings will be generated for the Actuarial Shared Services through Gabriel Roeder Smith & Company and will include an Administrative Fee of$lOO per valuation cycle (annually or biennially) payable to NCTCOG. ARTICLE 5: CHANGES AND AMENDMENTS This Agreement may be amended only by a written amendment executed by both parties, except that any alternations, additions, or deletions to the terms of this Agreement which are required by changes in Federal and State 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. NCTCOG reserves the right to make changes in the scope services offered through the Cooperative Purchasing Program to be pertormed hereunder. THIS INSTRUMENT HAS BEEN EXECUTED IN TWO ORIGINALS BY THE PARTIES HERETO AS FOLLOWS: *Denotes requiredfields NOTE: Facsimile cOllies of this document shall not be accelltable as ORIGINALS. _Interstate vI rev. 10/05 * City of La Porte Name of Participant (local government, agency. or non-profit corporation) North Central Texas Council of Governments 616 Six Flags Drive, Arlington, Texas 76011 * 604 W. Fairmont Parkwav Mailing Address * La Porte City *Bv: Signature of Authorized Official Tx State 77571 ZIP Code * Typed Name of Authorized Official *Bv: Signature of Authorized Official * Typed Title of Authorized Official Date * John Joerns Typed Name of Authorized Official * Interim City Manager Typed Title of Authorized Official Date INTERLOCAL AGREEMENT FOR COOPERATIVE PURCHASING FOR ACTUARIAL SHARED SERVICES THIS INTERLOCAL AGREEMENT ("Agreement"), made and entered into pursuant to the Texas Interlocal Cooperation Act, Chapter 791, Texas Government Code (the "Act"), by and between the North Central Texas Council of Governments, hereinafter referred to as "NCTCOG," having its principal place of business at 616 Six Flags Drive, Arlington, Texas 76011, and the City of La Porte, a local government, created and operated to provide one or more governmental functions and services, hereinafter referred to as "Participant," having its principal place of business at: 604 W. Fairmont Parkway, La Porte, Texas 77571. WITNESETH WHEREAS, NCTCOG is a regional planning commission and political subdivision of the State of Texas operating under Chapter 391, Texas Local Government Code; and WHEREAS, pursuant to the Act, NCTCOG is authorized to contract with eligible entities to perform governmental functions and services, including the development of a standard approach for acquiring actuarial services; and WHEREAS, in reliance on such authority, NCTCOG has a cooperative purchasing program under which it contracts with eligible entities under the Act; and WHEREAS, Participant has represented that it is an eligible entity under the Act, that by Administrative Action has authorized this Agreement on (Date)* and that it desires to contract with NCTCOG on the terms set forth below; NOW, THEREFORE, NCTCOG and the P ARTICIP ANT do hereby agree as follows: ARTICLE 1: LEGAL AUTHORITY The Participant represents and warrants to NCTCOG that (1) it is eligible to contract with NCTCOG under the Act because its a local government, as defined in the Act, and (2) it possesses adequate legal authority to enter into this Contract. ARTICLE 2: APPLICABLE LAWS NCTCOG and the Participant agree to conduct all activities under this Agreement in accordance with all applicable rules, regulations, and ordinances and laws in effect or promulgated during the term of this Agreement. ARTICLE 3: WHOLE AGREEMENT This Agreement and any attachments, as provided herein, constitute the complete contract between the parties hereto, and supersede any and all oral and written agreements between the parties relating to matters herein. ARTICLE 4: BILLINGS Billings will be generated for the Actuarial Shared Services through Gabriel Roeder Smith & Company and will include an Administrative Fee of $100 per valuation cycle (annually or biennially) payable to NCTCOG. ARTICLE 5: CHANGES AND AMENDMENTS This Agreement may be amended only by a written amendment executed by both parties, except that any alternations, additions, or deletions to the terms of this Agreement which are required by changes in Federal and State 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. NCTCOG reserves the right to make changes in the scope services offered through the Cooperative Purchasing Program to be performed hereunder. TillS INSTRUMENT HAS BEEN EXECUTED IN TWO ORIGINALS BY THE PARTIES HERETO AS FOLLOWS: *Denotes required fields NOTE: Facsimile covies of this document shall not be acceptable as ORIGINALS. _Interstate v I rev. 10/05 * City of La Porte Name of Participant (local government, agency, or non-profit corporation) North Central Texas Council of Governments 616 Six Flags Drive, Arlington, Texas 760 II * 604 W. Fairmont Parkwav Mailing Address * La Porte City *Bv: Signature of Authorized Official Tx State 77571 ZIP Code * Typed Name of Authorized Official *Bv: Signature of Authorized Official * Typed Title of Authorized Official Date * John Joems Typed Name of Authorized Official * Interim City Manager Typed Title of Authorized Official Date INTERLOCAL AGREEMENT FOR COOPERATIVE PURCHASING FOR ACTUARIAL SHARED SERVICES THIS INTERLOCAL AGREEMENT ("Agreement"), made and entered into pursuant to the Texas Interlocal Cooperation Act, Chapter 791, Texas Government Code (the "Act"), by and between the North Central Texas Council of Governments, hereinafter referred to as "NCTCOG," having its principal place of business at 616 Six Flags Drive, Arlington, Texas 76011, and the City of La Porte, a local government, created and operated to provide one or more governmental functions and services, hereinafter referred to as "Participant," having its principal place of business at: 604 W. Fairmont Parkway, La Porte, Texas 77571. WITNESETH WHEREAS, NCTCOG is a regional planning commission and political subdivision of the State of Texas operating under Chapter 391, Texas Local Government Code; and WHEREAS, pursuant to the Act, NCTCOG is authorized to contract with eligible entities to perform governmental functions and services, including the development of a standard approach for acquiring actuarial services; and WHEREAS, in reliance on such authority, NCTCOG has a cooperative purchasing program under which it contracts with eligible entities under the Act; and WHEREAS, Participant has represented that it is an eligible entity under the Act, that by Administrative Action has authorized this Agreement on (Date)* and that it desires to contract with NCTCOG on the terms set forth below; NOW, THEREFORE, NCTCOG and the PARTICIPANT do hereby agree as follows: ARTICLE 1: LEGAL AUTHORITY The Participant represents and warrants to NCTCOG that (1) it is eligible to contract with NCTCOG under the Act because its a local government, as defined in the Act, and (2) it possesses adequate legal authority to enter into this Contract. ARTICLE 2: APPLICABLE LAWS NCTCOG and the Participant agree to conduct all activities under this Agreement in accordance with all applicable rules, regulations, and ordinances and laws in effect or promulgated during the term of this Agreement. ARTICLE 3: WHOLE AGREEMENT This Agreement and any attachments, as provided herein, constitute the complete contract between the parties hereto, and supersede any and all oral and written agreements between the parties relating to matters herein. ARTICLE 4: BILLINGS Billings will be generated for the Actuarial Shared Services through Gabriel Roeder Smith & Company and will include an Administrative Fee of$100 per valuation cycle (annually or biennially) payable to NCTCOG. ARTICLE 5: CHANGES AND AMENDMENTS This Agreement may be amended only by a written amendment executed by both parties, except that any alternations, additions, or deletions to the terms of this Agreement which are required by changes in Federal and State 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. NCTCOG reserves the right to make changes in the scope services offered through the Cooperative Purchasing Program to be performed hereunder. THIS INSTRUMENT HAS BEEN EXECUTED IN TWO ORIGINALS BY THE PARTIES HERETO AS FOLLOWS: *Denotes requiredfields NOTE: Facsimile copies of this document shall not be acceptable as ORIGINALS. )nterstate v 1 rev. 10/05 * Citv of La Porte Name of Participant (local government. agency. or non-profit corporation) North Central Texas Council of Governments 616 Six Flags Drive, Arlington, Texas 76011 * 604 W. Fairmont Parkwav Mailing Address * La Porte City *Bv: Signature of Authorized Official Tx State 77571 ZIP Code * Typed Name of Authorized Official *By: Signature of Authorized Official * Typed Title of Authorized Official Date * John Joems Typed Name of Authorized Official * Interim City Manager Typed Title of Authorized Official Date ORDINANCE NO. 2007- 3001 AN ORDINANCE APPROVING AND AUTHORIZING A SETTLEMENT AGREEMENT BETWEEN THE CITY OF LA PORTE AND THE CYNTHIA L. COLVIN REVOCABLE LIVING TRUST, A TEXAS TRUST, MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT, FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW, AND PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section 1. The City Council hereby approves and authorizes the contract, agreement, or other undertaking described in the title of this ordinance, a copy of which is on file in the office of the City Secretary. The Interim City Manager is hereby authorized to execute such document and all related documents on behalf of the City of La Porte. The City Secretary is hereby authorized to attest to all such signatures and to affix the seal of the City to all such documents. Section 2. The City Council officially finds, determines, recites, and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City 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 3. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. PASSED AND APPROVED, this f ~day of Q;1JM/ ,2007. ij R~ .OF LA P~ By: ~ &.." '(~ Alton E. Porter, Mayor ATTEST: 7:!JftftJlu 4 / ik./' M rth A. Gil ett . City Secretary APPROVED: ~-r~ Clark T. Askins Assistant city Attorney 2 -- - REQUEST FOR CITY COUNCIL AGENDA ITEM Requested By: Agenda Date Requested: June Appropriation 1 Source of Funds: Department: Account Number: Report: Resolution: Ordinance: Amount Budgeted: Exhibits: Memorandum to Fiscal Affairs Committee Amount Requested: Exhibits: Memorandum Ree:ardine: Home Grant Prol!ram Budgeted Item: YES NO Exhibits: 2006 HOME Pro~ram Buildine Sites SUMMARY & RECOMMENDATION Habitat for Humanity made a presentation to the Fiscal Affairs Committee to discuss issues/pressures they are facing and the City's policy regarding disposition of delinquent tax properties and potentially other property. The Fiscal Affairs Committee's policy has been to get market value or at least the adjudged value (HCAD value) for these properties. ^- Habitat for Humanity has seen press releases that note the donation of City property as part of grant applications and awards and have inquired if they could receive similar consideration regarding property acquisition. Habitat for Humanity will wish to discuss additional considerations for their program here in La Porte and the Fiscal Affairs Committee recommended review by the full Council. Attached is information regarding the City's contributions for the 2006 Home Grant Program. Action Required bv Council: Workshop discussion on additional considerations regarding property acquisition for the La Porte Habitat for Humanity and provide staff direction. 6h~7 Date I I City of La Porte - Interoffice Memorandum From: John Joems, Interim City To: Fiscal Affairs Committee Date: May 23, 2007 Subject: Habitat for Humanity Presentation Habitat for Humanity has requested a place on your agenda to discuss issues/pressures they are facing and the Committee's/City's policy regarding disposition of delinquent tax properties and potentially other property. The Committee's policy has been to get market value or at least the adjudged value (HCAD value) for these properties. --, Habitat for Humanity has seen press releases that note the donation of City property as part of grant applications and awards. Habitat for Humanity will wish to discuss additional considerations for their program here in La Porte. c: Mayor and City Council Michael Dolby, Interim Finance Director JJ :cns - CITY OF LA PORTE PLANNING DEPARTMENT 604 W. Fairmont Parkway, La Porte, TX 77571 www.laportetx.qov Phone: (281) 471-5020 I Fax (281) 471-5005 MEMORANDUM RECEIVED JUN 0 1 2007 CITY MANAGER'S OFFICE THRU: Debra Feazelle, City Manager TO: Mayor and City Council FROM: Wayne J. Sapo, Planning Director DATE: August 30, 2006 Re: Home Investment Partnership (HOME) Program' The following is offered for clarification purposes regarding Item 21 on the August 28, 2006, City Council Agenda to consider a contract between the City of La Porte and Harris County Community and Economic Devflopment Departmentfor an award'in the amount of $457,300 jor funding the City of La Porte's Home Program; appropriating $42,203 in City matchingfunds. As stated in the summary to Council; the City is required to match 25% ($114,325) of the amOlmt awarded ($457,300). The match can include "in-kind" contributions, as well as cash. Council was provided a breakdown of i'in-kind" contributions totaling $72,122.31, which represents expenses (actual and waived fees/liens) that Harris County will accept as payment in lieu of cash, leaving an amount of $42,202.69 as the City's cash contribution. Fol" 'clarification, please note that although the City's. cash contribution is. $42,2{)~69-~ there is. an additional $42,070 for "in-kind"actual expenses to the City. This equates to a total cost to the City of $84,272.69 from the $91,000 budget. Waived Permits and Fees ($3885.55 x 5 lots) Liens Waved $19,427.75 $10,624.56 Lots Appraised Value (5 lots total) Appraisal Fees Deed Recording Fees Lien Release Fees $36,950.00 In-kind expense to City Cash Contribution Total Cost to City $2,500.00 $100.00 $2,500.00 $20..00 $42,070.00 $42,202.69 $84,272.69 Clearing Permit 2006 H.O.M.E Program Building Sites AddIess I...ro.u;rlptlon FlOOI'PIan CIty~bI.tti9n IOtSltflM... .......... 211 N. 1st Street Lots 23-24; Blk 62 1317 sa FT Appraisal Fee $500 Adjudged Value $6,250 Liens $5,765 Recording Fees $36.25 $12,551.25 207 N. 2nd Street Lots 21-23; Blk 63 1270 sa FT Appraisal Fee $500 Adjudged Value $20,700 Liens $390 Recording Fees $52.25 $21,642.25 216 N. 2nd Street Lots 3-4; Blk 62 1270 sa FT Appraisal Fee $500 Adjudged Value $5,000 Liens $137.06 Recording Fees $36.25 $5,673.31 210 N. 6th Street Lots 9-11; Blk 66 1317 sa FT Appraisal Fee $500 Adjudged Value $7,500 Liens $1,746 Recording Fees $36.25 $9,782.25 224 N. 6th Street Lots 3-4; Blk 66 1270 sa FT Appraisal Fee $500 Adjudged Value $6,000 Liens $1,585 Recording Fees $52.25 $8,137.25 Prepared 5-29-07 June 11, 2007 1\10Si~e& V' ( I ~~\- \..; . City of La Porte 604 W. Fairmont Parkway La Porte, Texas 77571 Mr. Stuart Corder Director of Operations Texas Department of Transportation P.O. Box 1386 Houston, Texas 77251-1386 Dear Mr. Corder: I am bringing an issue to your attention that has been brought to me in recent months which I hope we can work together to resolve. The issue involves the installation of a full traffic signal at the intersection of SH146 and Wharton-Weems Boulevard. This area includes the new developments of Port Crossing Commerce Center and the Lakes of Fairmont Green residential subdivision which are currently under construction. ..,.- As you may know, TxDot originally required that a traffic and engineering study be completed by the developer, Port Crossing Land, L.P., a copy of which is enclosed with this correspondence. The study was prepared by TEDSI Infrastructure Group and the analysis concluded that the intersection met and/or exceeded the minimum warrants required for full signal installation. However, when representatives from Port Crossing contacted TxDot to request authorization to install the traffic signal they met with resistance from TxDot representatives. They were puzzled by the response or lack thereof, especially in light of the fact that no funding is required by TxDot. Port Crossing has already agreed to pay for not only the traffic signal but all the flashing lights, stop ahead signage, and any other requirements requested of them by TxDot. I know that there has to be a way to resolve this matter which makes sense to all parties involved and therefore, I respectfully request that you reconsider this matter further. Additionally, after your review I would like to meet with you along with our City Manager, John Joerns and a representative from Port Crossing, Russell Plank in order to reach a satisfactory solution for everyone involved. Thank you for your attention to this matter, I look forward to hearing from you at your earliest convenience regarding a meeting time. I can be reached at (281) 470-5002 and Mr. Joerns is at (281) 470-5012. Sincerely, Alton Porter, Mayor City of La Porte Enclosure: TEDSI Study Cc: Senator Mike Jackson Representative Wayne Smith Representative John Davis Commissioner Garcia, Harris County Precinct 2 LPRDA Chairman, Lindsay Pfeiffer AP/gb 2