HomeMy WebLinkAboutMIN AUG 26 1997 M I N U T E S = CITY OF BEAUMONT
Lulu L.Smith DAVID W. MOORE, MAYOR Becky Ames, Mayor Pro Tern
Guy N.Goodson CITY COUNCIL MEETING Andrew P.Cokinos
John K. Davis AUGUST 26,1997 Bobbie J. Patterson
Lane Nichols,City Attorney Ray A. Riley,City Manager Patrice Fogarty,City Clerk
The City Council of the City of Beaumont, Texas, met in a regular session on August 26, 1997, at
the City Hall Council Chambers, 801 Main Street, Beaumont, Texas, at 1:30 p.m. to consider the
following:
OPENING
*Invocation Pledge of Allegiance Roll Call
*Presentations and Recognition
*Public Comment: Persons may speak on scheduled agenda items
*Consent Agenda
Mayor Moore called the meeting to order at 1:33 p.m. Father Francis Burlton, Assumption Catholic
Church, gave the invocation. Mr. Dan Hallmark led the pledge of allegiance.
Present at the meeting were: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Davis,
and Patterson. Also, present were Ray A. Riley, City Manager; Lane Nichols, City Attorney;
Patrice Fogarty, City Clerk; and Barbara Liming, Deputy City Clerk.
*Presentations and Recognition - None
Public Comment: Citizens were invited to comment on the Consent Agenda and Main Agenda
Items 5-8.
Mr. Lynn DeMary, 430 East Elgie, voiced approval for passage of Items 6, 7, and 8 regarding an
Enterprise Zone. Mr. DeMary said this is a good step forward for economic development, job
creation and benefits to the city.
CONSENT AGENDA
The following consent agenda items were considered:
* Approval of the minutes of the regular meeting held August 19, 1997;
* Confirmation of committee appointments - Resolution No. 97-191
A) Authorize the execution of a License to Encroach Agreement (Omega Environmental
Services for installation of four monitoring wells) - Resolution No. 97-192
B) Authorize the settlement of a claim (Jenell Alvarado in the amount of$16,500) - Resolution
No. 97-193
Councilmember Cokinos moved to approve the Consent Agenda. Councilmember
Goodson seconded the motion. MOTION PASSED.
Ayes: Mayor Moore, Councilmembers Smith, Goodson,
Cokinos, Davis, and Patterson
Noes: None
GENERAL BUSINESS
1. Consider a request for the designation of a Historic-Cultural Landmark Preservation District
for an area located approximately between First, Fourth and Eleventh Streets and Broadway
and Smart Street;
Councilmember Smith moved to adopt Ordinance No. 97-37 ENTITLED AN ORDINANCE
AMENDING CHAPTER 30 OF THE CODE OF ORDINANCES OF BEAUMONT,TEXAS,AND IN PARTICULAR
THE BOUNDARIES OF THE ZONING DISTRICTS,AS INDICATED UPON THE ZONING MAP OF BEAUMONT,
TEXAS, BY ESTABLISHING AN HC-L (HISTORICAL-CULTURAL LANDMARK PRESERVATION
DESIGNATION) FOR PROPERTIES LOCATED APPROXIMATELY BETWEEN FIRST, FOURTH AND
ELEVENTH STREETS AND BROADWAY AND SMART STREET,PROPERTIES WITHIN THE AVERILL, PALM
PLACE, OAKS, PARKDALE AND MCFADDIN SECOND ADDITIONS, BEAUMONT,JEFFERSON COUNTY,
TEXAS; PROVIDING FOR SEVERABIL.ITY; PROVIDING FOR REPEAL AND PROVIDING A PENALTY with
an amendment that the northeast corner of Ninth Street and Broadway be included.
Councilman Cokinos seconded the motion. MOTION PASSED.
Ayes: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Davis, and
Patterson
Noes: None
2. Consider a specific use permit to allow the construction of a 180' tall cellular
telecommunications tower and support facility on a lot zoned RS (Residential Single Family)
District at 245 E. Gill;
An ordinance ENTITLED AN ORDINANCE GRANTING A SPECIFIC USE PERMIT TO ALLOW THE
CONSTRUCTION OF A 180'TALL CELLULAR TELECOMMUNICATIONS TOWER AND SUPPORT FACILITY
ON A LOT ZONED RS(RESIDENTIAL SINGLE FAMILY DWELLING) DISTRICT FOR PROPERTY LOCATED
WEST OF 245 E.GILL,IN THE CITY OF BEAUMONT,JEFFERSON COUNTY,TEXAS was introduced with
Minutes;8/26197;Page 2
a recommendation for denial from the Planning Commission. Councilmember Davis moved
to deny the ordinance. Councilmember Smith seconded the motion. MOTION PASSED.
Ayes: Mayor Moore, Councilmembers Smith, Goodson,
Cokinos, Davis, and Patterson
Noes: None
3. Consider a request for a specific use permit to allow a drinking place in a GC-MD (General
Commercial-Multiple Family Dwelling) District within an existing structure at 1425 College;
An ordinance ENTITLED AN ORDINANCE GRANTING A SPECIFIC USE PERMIT TO ALLOW A DRINKING
PLACE IN A GC-MD (GENERAL COMMERCIAL-MULTIPLE FAMILY DWELLING) DISTRICT WITHIN AN
EXISTING STRUCTURE AT 1425 COLLEGE AT AVENUE A, IN THE CITY OF BEAUMONT, JEFFERSON
COUNTY,TEXAS was introduced with a recommendation from the Planning Commission for
denial. Councilmember Davis moved to deny the ordinance. Councilmember Smith
seconded the motion. MOTION PASSED.
Ayes: Mayor Moore, Councilmembers Smith, Goodson,
Cokinos, Davis, and Patterson
Noes: None
4. Consider a request for a specific use permit to allow a residence to be converted into the
office of a law firm and a separate parking lot for property lying in an RCR (Residential
Conservation and Revitalization) District;
Councilmember Goodson moved to adopt Ordinance No. 97-38 ENTITLED AN ORDINANCE
GRANTING A SPECIFIC USE PERMIT TO ALLOW A RESIDENCE TO BE CONVERTED INTO THE OFFICES
OF A LAW FIRM AND A SEPARATE PARKING LOT FOR PROPERTY LOCATED AT 2090 BROADWAY AT
FIFTH STREET LYING IN AN RCR(RESIDENTIAL CONSERVATION AND REVITALIZATION) DISTRICT, IN
THE CITY OF BEAUMONT, JEFFERSON COUNTY, TEXAS, subject to a modification to the
landscaping and screening requirements as recommended by the Planning Commission.
Councilmember Smith seconded the motion. MOTION PASSED.
Ayes: Mayor Moore, Councilmembers Smith, Goodson,
Cokinos, Davis, and Patterson
Noes: None
5. Consider an ordinance amending that certain ordinance authorizing the issuance of
$3,100,000 City of Beaumont, Texas Contractual Obligations, Series 1997;
Councilmember Cokinos moved to adopt Ordinance No. 97-39 ENTITLED AN ORDINANCE
AMENDING THAT CERTAIN ORDINANCE AUTHORIZING THE ISSUANCE OF $3,100,000 THE CITY OF
BEAUMONT,TEXAS,CONTRACTUAL OBLIGATIONS,SERIES 1997;AND CONTAINING OTHER MATTERS
Minutes;8/26197;Page 3
RELATED THERETO;PROVIDE FOR SEVERABILITY. Councilmember Smith seconded the motion.
MOTION PASSED.
Ayes: Mayor Moore, Councilmembers Smith, Goodson,
Cokinos, Davis, and Patterson
Noes: None
6. Consider an ordinance nominating an area as an Enterprise Zone for State designation;
Councilmember Cokinos moved to adopt Ordinance No. 97-40 ENTITLED AN ORDINANCE
NOMINATING AN AREA AS AN ENTERPRISE ZONE PURSUANT TO THE TEXAS ENTERPRISE ZONE ACT
(TEXAS GOVERNMENT CODE, CHAPTER 2303); PROVIDING TAX INCENTIVES; DESIGNING AN
AUTHORIZED REPRESENTATIVE TO ACT IN ALL MATTERS PERTAINING TO THE NOMINATION AND
DESIGNATION OF THE AREA DESCRIBED HEREIN AS AN ENTERPRISE ZONE AND REINVESTMENT
ZONE (TEXAS TAX CODE, CHAPTER 312);AND FURTHER DESIGNATING A LIAISON TO ACT ON ALL
MATTERS PERTAINING TO THE ENTERPRISE ZONE ACT ONCE DESIGNATED BY THE TEXAS
DEPARTMENT OF COMMERCE. Councilmember Davis seconded the motion. MOTION
PASSED.
Ayes: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Davis, and
Patterson
Noes: None
7. Consider nominating NorCross as an enterprise project pursuant to the Texas Enterprise
Zone Act;
Councilmember Cokinos welcomed NorCross to Jefferson County and moved to adopt
Resolution No. 97-194. Councilmember Goodson seconded the motion. MOTION
PASSED.
Ayes: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Davis, and
Patterson
Noes: None
8. Consider an interlocal agreement between the City of Beaumont, City of Nederland, and
Jefferson County to share in the payment of the expenses incurred in establishing the
Enterprise Zone;
Councilmember Cokinos moved to adopt Resolution No. 97-195. Councilmember Patterson
seconded the motion. MOTION PASSED.
Minutes;8/26/97;Page 4
Ayes: Mayor Moore, Councilmembers Smith, Goodson, Cokinos, Davis, and
Patterson
Noes: None
9. PUBLIC HEARING: Dilapidated Structures
Consider an ordinance declaring certain dilapidated structures to be public nuisances and
ordering their repair or removal by the owners and authorizing the removal of certain other
structures whose owners failed to comply with condemnation orders.
Ordinance No. 97-41 ENTITLED AN ORDINANCE FINDING CERTAIN STRUCTURES TO BE PUBLIC
NUISANCES AND ORDERING THEIR DEMOLITION AND/OR REPAIR;PROVIDING FOR SEVERABILITY AND
PROVIDING FOR A PENALTY was introduced.
The twenty-eight (28) below listed dilapidated structures are found to be in violation of the
City of Beaumont's Dangerous Structure Ordinance, Article III, Section 14-50: 2221 Avenue
E - Billie Johnson, owner; 2020 Broadway(garage apartment) and 2020 Broadway (shed) -
Willie L. Carter, Sr. ET UX, owner; 2005 Delaware - Eric Blount, owner; 1895 Franklin
front and 1895 Franklin („arage apartment) - M. Greer, owner; 4245 Gladys - Nadine K.
Jones &J. R. Beck ESTATE c/o Morris Beck EXEC., owner; 1304 Grand, 1320-22 Grand,
and 1328-30 Grand-Richard S. Mathews, owner; 2350 Grand church.) - House of Prayer,
owner; 1772 Herring Aly- Dolliie Taylor c/o Cathy Johnson, owner; 2510 Houston (front) and
2510 Houston (garage apartment) - James C. Long, owner; 2196 Leight - Herman W.
Rogers, owner; 180 Manning - Leona Hines Jones, owner; 1795 Milam - Ella Lou Crump,
owner; 1046 Miller - Joyce Thomas, owner; 330 Parkway - Margaret L. Campbell, owner;
610 Pollard -Delmar F. Sanders ESTATE, owner; 630 Pollard - D. F. Sanders c/o Indie
Sanders, owner; 2230 Poplar - Robert F. Ford, Jr., owner; 2376 Sabine Pass Avenue -
Charles Carter, owner; 1915 Texas - J. P. & Gladys Washington, owners; 856 Trinity -
CAVCC Enterprises, Inc. Attn: Roger S. Meek, owner; 1582 Wall - Ruby Newsome, owner;
all foregoing structures with twenty-five (25) violations each and Staff recommendation to
raze within 30 days; and 875 Cartwright - Orkin Exterminating Co. C/o Daniel Ketchum,
owner, and 4396 Sullivan - Bruce E. Brosnahan, owner; each with twenty-five (25) violations
and Staff recommendation to raze or repair within 30 days.
It has been determined that the structures listed below meet the definition of a dangerous
structure and have deteriorated such that they are no longer considered suitable for repair.
The owners have been notified but failed to take any action. The Clean Community Division
of the Central Services Department is requesting authorization to demolish these structures
in accordance with the Dangerous Structure Ordinance without previous order and charge
the property owners with the cost of demolition. The addresses are: 11665 Carpenter Road;
638-40 Euclid; 2379 Pope; and 2096 Utica.
The fourteen (14) below listed structures have been condemned by City Council and the
owners ordered to either raze or repair them within specified time frames. Reinspection of
these structures have revealed non-compliance with the Council's order. Authorization is
Minutes;8/26197;Page 5
requested from the City Council to demolish these structures in accordance with the
Dangerous Structure Ordinance and charge the property owners with the cost of demolition.
1149-51 Bolivar, 2177 Foch, 2115 Hemlock, 4060 Highland, 390 Lanaham Road, 2475
McFaddin, 3855 Preston (shed & corral), 1030 Schwarner, 1040 Schwarner, 1050
Schwarner, 1060 Schwarner, 5300 Seale Road, 4045 Willie Mae, and 4115 Woodlawn.
The public hearing was opened at 1:52 p.m.
Mr. Lynn DeMary, 430 East Elgie, addressed Council regarding the structure at 4396
Sullivan to state that is across from McArthur Elementary School and poses a potential
health and safety hazard because it is not boarded securely. He said the basis structure
is sound, but unless it is rehabilitated in a specific time frame, he requested that it me
demolished.
Ms. Addie Allen, 9695 Gross, addressed Council regarding structures at 1030, 1040, 1050
and 1060 Schwarner. Ms. Allen explained that the subject properties are in an estate, and
that a meeting in court has been scheduled for tomorrow at 10:00 a.m. regarding the estate
and requested a delay until a judgment has been made. Ms. Allen agreed with Council that
probably only one structure could financially be rehabilitated. Further discussion addressed
a possible work program and time constraints.
Mr. Troy Downs, 805 Westbrook, Vidor, requested additional time to rehabilitate the
structure at 5300 Seale Road, the home of his deceased parents. Mr. Downs said the roof
was replaced last December, and he would like to enter a work program to complete repairs.
(Mayor Moore left Council Chambers at 2:03 p.m. during Mr. Downs' comments, and
Councilmember Cokinos chaired a portion of the meeting in the absence of Mayor Pro Tem
Ames.)
The being no one else desiring to comment, the public hearing was closed at 2:04 p.m.)
Councilmember Goodson moved to adopt Ordinance No. 97-41 with an amendment to move
the structures located at 1030 Schwarner, 1040 Schwarner, 1050 Schwarner, 1060
Schwarner, and 5300 Seale Road from Section 5 for demolition and place in a new Section
3b authorizing raze or repair within thirty (30) days. Councilmember Davis seconded the
motion. MOTION PASSED.
Ayes: Councilmembers Smith, Goodson, Cokinos, Davis, and Patterson
Noes: None
OTHER BUSINESS
* Receive report from the Beaumont Chamber of Commerce
Minutes;8/26197;Page 6
Receive report from the Beaumont Chamber of Commerce
Mr. Dan Hallmark, a member of the Beaumont Chamber of Commerce and Co-Chairman of
the Economic Development Council, thanked Council for the opportunity of a partnership
with the City of Beaumont and asked his Co-Chairman, Milt Prewitt, to review the Chamber's
August, 1997, Progress Report, attached as Exhibit "A" and requested continued funding
in the amount of$50,000.00.
(Mayor Moore returned to the Council Chambers at 2:11 p.m. and resumed as Chair of the
meeting.)
Council discussion included consistent dialogue and frequent reporting from the Chamber
of Commerce, meeting dates, positive results in economic development, and moving forward
with economic development.
* Review the Internal Service Funds of the proposed FY 1998 Budget
Finance Director Beverly Hodges briefly reviewed the Employee Benefit Fund, the General
Liability Fund, the Capital Reserve Fund and the Fleet Fund as shown in Exhibit "B." Mrs.
Hodges pointed out that employee medical coverage and prescription plan costs have had
a combined increase of$1.71VI since FY94 and said to fully fund current health programs,
a combination of employee contributions and/or interdepartmental transfers will be
unavoidable.
Council discussion included any anticipated sales tax revenue increases, weakening
internal fund reserves, possible property tax increase in the future, and increasing the
budget amount for economic development.
COMMENTS
* Councilmembers comment on various matters:
Councilmember Goodson thanked all those responsible for bringing new businesses into
our area that calculates into a large number of job opportunities, said he is pleased with the
collaborative efforts of all governmental entities, and that this is a good example of what can
be accomplished when all tools are in place.
Councilmember Smith commented that she is pleased about the recent economic
development and congratulates all who worked toward that goal and is glad our view has
broadened to a regional level.
* Public Comment (Persons are limited to 3 minutes)
Minutes;8/26x97;Page 7
Ms. Willie May Lewis, 3295 Gulf, addressed Council in opposition to granting a permit to
conduct a block party on Gulf Street from Polk to Tulane. She said the area is known for
drug traffic and asked Council to deny the application.
Mayor Moore explained to Ms. Lewis that applications for block parties do not come before
Council, said there is certain criteria used in issuing the permits, and told her to leave any
information she might have in the Executive Office.
Councilmember Davis asked the City Manager to investigate the feasibility of an off-duty
police officer being present at the site, if the group meets all the criteria, and Mayor Moore
pointed out that any additional expense of an officer's salary would be met by the applicant.
EXECUTIVE SESSION
* Executive Session in accordance with Section 551.074 of the Government Code to
discuss: Appointment of an Auditor
There being no further business, the meeting recessed at 3:05 p.m. to conclude in executive
session.
(a�
Mayor David W. Moore
f
r
Patrice Fogarty, C' Cler
Minutes;8/26/97;Page 8
The I' aumont Chamber of Cor -nerce
Economic Development Division
August 1997 Progress Report to Beaumont City Council
Beaumont Chamber of Commerce
Economic Development Division
Mission Statement: Enhance economic vitality of Beaumont
Proiect & Committee Work
Transportation Committee - Serves as a resource to council on economic development
projects as needed by identifying transportation projects and coordinating contact with public
agencies in the transportation field.
Work Force Readiness Corarnittee - Works to maintain liaisons with,build awareness of
and translate information from industry visits to the Work Force Development, Lamar University
Institute of Technology and other work force and training entities
Marketing Committee - Works to develop and implement industrial/commercial property file for
availability to members and the public while assisting staff in identifying prospects.
Industry Visits Committee - Works to bring together local community leaders with area
businesses to help determine how the community and chamber can assist businesses to be
more productive.
Fund Development - works to appropriate funds necessary funds for the economic development
activities engaged in during the year.
Southeast Texas Economic Development Foundation - works to assist prospects
in obtaining Small Business Administration 504 loans.
Second Century Project - a benchmarking process designed to determune if what the economic
development division is currently doing is appropriate and necessary.
Miscellaneous - Other activities in which the Economic Development Division is involved .
EXHIBIT "A"
New Development Projects
October 1996 - September 199
Southeast Texas
Project New To Area/ Date Capital New Jobs/
Expansion Announced Investment (Construction)
Industrial /Manufacturing
Mobil Chemical (catalysts) Expansion 11/96 $25 million 15
Beaumont (150)
Goodyear Tire & Rubber Co. Expansion 12/96 $26 million
Beaumont (polybutadiene,
polyisoprene) Beaumont
Betz Dearborn, Inc. Expansion 02/97 $6 million
Beaumont
Betz Dearborn, Inc. New Storage 04/97 $1.5 million -
Beaumont Warehouse
Star Enterprise Expansion 5/97 $40 million
Port Arthur- lubrication oil prod
Conquest Airlines - maintenance Expansion/ 5/97 $700,000. 23
operation - Nederland relocation
Tube-Tec Engineering - New 6/97 $1 million 25
Beaumont
M&I Electric - Beaumont Expansion 7/97 $1 million 30
Bayer Corp. - Orange Expansion 7/97 $68 million 20
A & A Fertilizer LC - Beaumont New 7/97 $2.5 million 30
Jefferson County Airport Expansion 8/97 $1.3 million
Nederland
Port of Beaumont Expansion 8/97 $27 million
m_
Project New To Area/ Date Capital New Jobs/
Expansion Announce. Investment (Construction)
Retail Trade
Blockbuster Video (2nd store) Expansion 10/96 12
Beaumont
Hollywood Theaters Expansion 10/96 $500,000 80-100
Beaumont
Dollar General Store New 11/96 8
Beaumont
Race Trak Store/Gas Station 11/96 $465,000
Beaumont
The Home Depot New 12/96 $10 million 200
Beaumont (100)
Race Trak Store/Gas Station New 12/96 $500,000
Port Arthur
Luby's Cafeteria New 12/96 $1.2 million 35
Orange
Jason's Deli- Beaumont New 12/96
$1.1 million 60
Fuddrucker's Restaurant New 2/97 $250,000
S&M Family Outlet -Beaumont New 3/97 $1 million 40
Macarena's Mexican Restaurant New 4/97 $300,000 50
& Cantina - Beaumont
Zales Jewelers - Beaumont New 5197 $1 million 7
Original Pasta Company -Bmt New 5/97 20
Applebee's Restaurant- Beaumont New 5/97 (150)
Joe's Crab Shack- Beaumont New 6/97 $700,000. 110
Gymboree - Beaumont New 6/97 9
—
Bugle Boy - Beaumont New 6/97 g
Cracker Barrell Old Country New 7/97 -
Store Beaumont
Philpott-Ford Toyota Expansion 7/97 $3 million 20-25
Nederland (150)
Hastings Books, Music & Video, New 7'97 15
Inc. - Port Arthur
Project New To Area/ Date Capital New Jobs/
Expansion Announces Investment (Construction)
Dillard's Department Store Expansion 7/97 $2 million
Port Arthur(Central Mall)
Famous Footwear- Port Arthur New 7/97 - 10
Basic Foods Market, Ltd. - New 8/97 25
Beaumont
Services
Beaumont Bone & Joint Clinic Expansion 10/96 $3.4 million 20
Beaumont
Beaumont Transitional Treatment Expansion 02/97 $750,000 30-40
Center
Beaumont
St. Elizabeth's Minor Care Center New 3/97 $1.5 million
Comfort Inn - Beaumont New 5/97 $2.5 million 20
The Hampton Inn - Beaumont New 7/97
Miscellaneous
Attorney General Child Support Expansion 3/97 $700,000. -
Office - Beaumont
Nionsignor Kelly High School Expansion 3/97 $2.5 million -
Beaumont
City of Beaumont New 3/97 $1.3 million
Elmo Willard Library
Dishman Elementary School New 5/97 $8 million 60
Beaumont
Greater GoodHope Baptist New 5/97 $1.5 million 60
Church
Child Development Center
Beaumont
Tyrrell Park Conservatory Expansion 5/97 $260,000
_ t
Beaumont
Cathedral of Faith Baptist New 5/97 $1.5 million -
Church
Beaumont
Port Neches-Groves High School Expansion 6/97 $20 million 10
Port Neches-Groves 1SD (100)
City of West Orange High School Expansion 6/97 $475,000. -
Project New To Area/ Date 4 Capital New Jobs/
Expansion Announced 4 Investment (Construction)
Cathedral in the Pines High Expansion 7/97 $930,000.
School
Beaumont
Nederland High School Expansion 6/97 $755,000.
Texas Commerce Bank Expansion 7/97 $602,000
(downtown) -Beaumont
Gilmer Townhomes - Orange Expansion 7/97 $3.5 million (50)
Orange Savings Bank Expansion 7/97 $1.6 million
Orange
Federal Bureau of Prisons Expansion 7/97
Beaumont
St. Anne Catholic Church Expansion 7/97 $916,000 -
Beaumont
Jefferson County Appraisal Expansion 8/97 $840,000. 25
District Office
Beaumont
Beaumont Chamber of Commerce
Economic Development Division
KEY ACCOMPLISHMENTS
• Hired two new Professional to replace prior staff
• Attended Medical Device Trade Show in Anaheim, CA
• Visited Postal Center and C&D Robotics in Beaumont
• Made Back Office/Manufacturing prospect trip to Omaha, NE
• Assisted in locating 3 new manufacturing facilities in Beaumont
• Attended Basic Economic Development Training in College Station, TX
Transportation
The Transportation Committee is currently working toward helping to identify area where the
Chamber can be of assistance.
1. We are working to help develop a marketing plan for the Jefferson County Airport with
the assistance of the airport, local travel agents, local ad agencies and others concerned with
the airport.
2. We have supported the passage of the Bond election for the Port of Beaumont
3. The Chamber is also in support of deepening and widening of the ship channel.
Work Force
The Beaumont Chamber's Economic Development Division has worked closely with the Texas
Work Force Commission in order to keep abreast of training opportunities for local and incoming
businesses.
The Chamber's EDD also maintains liaison with other work force entities including but not limited
to(Associated Builders and Contractors, Beaumont Independent School District, Lamar
University, Lamar University Institute of Technology, and The Work Force Development Board).
Marketing Visits
Places that the Economic Development Division has made an effort to identify
potential prospects that may be interested in Southeast Texas and or Beaumont.
Feb-97 Medical Devises Show - Anaheim, CA
Prospects
Modernistic Industrial Corp
CustomFab Inc.
BellMed Design
Jul-97 Back office/Manufacturing visit to Omaha, NE
Prospects
Cyclonaire Corp.
Centurion International Inc.
G.T.Exhaust Systems
Freisen of Iowa
Worldwide Trick Parts
Nov-97 Chemical Show -NY
Industry Visits
Apr-97 US Postal Office - Beaumont, Walden Rd
Aug-97 C & D Robotics
Sep-97 Aircure-Houston(Parent Company of Ohmstede Inc. & Excell) (scheduled)
Sep-97 Sister of Charity - Houston {scheduled)
Fund Development
Economic Development Budget $ 150,000
Largest Contributors Amount
City of Beaumont $ 50,000
Texas Commerce Bank 15,000
Entergy 10,000
BASF 5,000
Mobil Oil Corp 5,000
Bank One 3,000
Walmart 3,000
Goodyear Tire&Rubber Co. 3,000
KFDM-TV Freedom Corp 1,000
Conns Appliances 1,000
Miscellaneous commitments $ 44,800
Total Funds Received/Committed $ 140,800
Balance -S 9,200
Pete Marwick Tax Abatement Study* $ 13,000
* This study was utilized to determine how the effects of a tax abatement for Elf Atochem
would effect to Beaumont Independent School District. The study also help determine at what
level an abatement could be made without harming the school district financially. These funds
were raised separately from the economic development funds.
Beaumont Economic D, lopment Budget Comparison tc 'milar Size Cities
Area 1/2 Cent Amount received
City Population Sales Tax Budget from City Staff
Corpus Christi 285,054 NO 608,500.00 341,000.00 5
Lubbock EDC 195,367 NO 1,600,000.00 1,600,000.00 7
Plano EDB 185,000 NO 450,000.00 450,000.00 3
Amarillo Chamber 170,000 YES 2,000,000.00 1,300,000.00 19
Amarillo EDC 170,000 YES 9,200,000.00 9,200,000.00 5
Irving 165,000 NO 300,000.00 150,000.00 2.5
BEAUMONT 116,000 NO 150,000.00 50,000.00 2
McAllen EDC 110,000 YES 1,100,000.00 982,000.00 11
McAllen Chamber 110,000 YES 120,000.00 120,000.00 2.5
Abilene 110,000 YES 581,000.00 531,000.00 4
Mesquite 108,000 NO 10,000.00 - 0
Richardson 80,000 NO 250,000.00 250,000.00 3
Southeast Texas Economic Development Foundation
The Foundation has attempted to maintain an active Small Business Administration 504 loan
program. We have sent staff to training for the 504 program and have put together an
advertising campaign to help inform the public of the potential benefits of the 504 loan program.
We currently have 13 loans in our portfolio and are actively working to increase that amount
through our contact with local banks and other professionals in the financial community.
Second Century
Committee Participation
The Chamber is currently undergoing a benchmarking process. The economic development
division is currently involved with several committees. We are assisting with various duties
with these committees including - scheduling , information gathering, facilitating, and reporting
The committees that the Economic Development Division are:
Transportation
Diversification
Trade
Job Retention
Miscellaneous
We are currently working closely with POST to coordinate efforts to bring new business to the
area.
We have established a close working relationship with Entergy and have participated in several
trade shows with Entergy.
We have worked with other area chambers and economic development organizations to
coordinate efforts to make sure that as many prospects as possible see everything that the entire
community has to offer.
Economic De-velopment Indicators
Beaumont's Tax Base Rate of Increase
1995 3.31 billion 1.85%
1996 3.42 billion 3.27%
1997 3.49 billion 2.31%
Beaumont's Unemployment Rate
tr 1 Qtr 2 Otr 3 Qtr 4 Avg
1995 8.2 10.0 9.2 8.8 8.9
1996 8.2 9.8 8.2 7.0 8.4
1997 7.7 8.2 - - -
Beaumont Actual Employment
tr 1 Otr 2 Qtr 3 Qtr 4 Avg
1995 52,784 53,675 53,441 53,167 53,222
1996 52,523 52,942 52,882 53,357 52,869
1997 53,241 53,547 - - -
Action Items
Community Profile - development and publish a community profile that has as much
demographic information about the area as possible. This information includes but is
not limited to:
1 employment figures
2 employer information
3 cost of living data
4 education information
5 government information
6 community services
7 transportation and utility data
8 quality of life information
Manufacturers Directory w/Industrial Map - This is a publication put together that informs the
reader of all of the local manufacturers of any product, their address, phone number,
contact person, number of employees and the product that is manufactured.
SBA Program - The administration and marketing the local SBA 504 loan program
Information on available Building& Sites - We have put together many files on the different
sites and buildings that are available for potential prospects. The information in these
files includes building size, location, services to the site, utility costs, proximity to
other business
Economic Development Training for all staff members - Basic economic development training
so that the staff is better equipped and able to provide useful information in a
professional manner to prospects.
Continued Development of Proposals for Prospective New Businesses - continuous
development of business proposals so that the information contained in the proposals
does not become stale and useless to the prospect.
Visits to Texas cities - Schedule visits to Houston, Austin and Dallas to indentify potential
prospects for various industries.
_ City of Beaumont
� ► Cash Management Phone: 330-3773
P.O.Box 38_Y' Fax:{�109)U 9�80-3113
of Beaumont
Beaumont,Texas 7770.1
mr,o
To: City- Council
From: Beverly Ho4-es, Finance Officer
cc: Ray A. Riley, City Manager
Date: Friday,August 2Z, 1997
Subject: FY98 Budget-Internal Sert;iee Funds
Over the past several weeks we have reviewed various aspects of the FY98
Budget.The following information provides comparative data on the Internal Service
Funds for the periods FY94 through FY98.
The Employee Benefit Fund accounts for employee health claims, worker's
compensation,dental insurance premiums and the administration of these programs.
Illustrated over the last several years the total charges for employee health benefits has
risen from a low of$6.3M in FY94 to an anticipated high of$7.9M in FY98.The increased
cost was initially a result of claims runoff in the indemnity plan when the City first
adopted the option of managed care. As we have maintained the duality in our health
program and made the transition to full premium based managed care the claims runoff
occurred in the managed care portion of the program.The medical category of coverage
has risen$1.1M over the four year period and the prescription plan has doubled to$1.2M
for a combined increase of$1.7M over the period under review. The increasing costs
have served to reduce the fund balance but has been offset by a reduction of future
claims runoff.Our budgeted fund balance of $1.411 is sufficient to liquidate our current
worker's compensation and indemnity plan claims runoff.However for the FY99 budget
the necessity to fully fund health program costs with a combination of employee
contributions and interdepartmental transfers will be unavoidable.
The General Liability Fund is used to account for the City's risk management
activity related to torts and other statutory causes of action.Since FY95 there has been
no transfer in from the General Fund into this fund. At that time it was determined that
the existing fund balance could be systematically drawn down with no adverse effects.
We have now reached a level of fund balance that should be maintained and should
expect to restore the General Fund allocation to $500,000 annuaLy in FY99. This is the
equivalent of 1.5 cents on the tax roll.
The Capital Reserve Fund accounts for the revenues and costs associaL-ed with.
replacement of City vehicles, equipment and building improvements. For cash flow
purposes it is desirable to maintain a fund balance in this fund of no less than$11M.
The Fleet Fund is used to account for the revenues and cost of operations for the
maintenance of City vehicles.The fund is expenditure driven in that charges are billed
to various departments for service and repairs as they are made. The fund balance is
representative of the inventory on hand.
I will review this information at the Council workshop on Tuesday and will be
available to answer any questions that you may have.
EXHIBIT "B"
CITY OF BEAUMONT
EMPLOYEE BENEFITS FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
For Fiscal Years 1994-1996 (Actual), 1997(Estimate)and 1998(Budget)
Actual Estimate Budget
_ 1994 1995 1996 19_97 1998
REVENUES
Interdepartmental Transfers
Health Insurance $ 5,489,588 5,493,178 5,644,090 6,009,000 6,442,000
Worker's Comp. 1,600,000 1,421,058 958,371 806,000 850,000
Unemployment - - - - 90,000
Employee Contributions 665,681 688,429 780,108 810,000 825,000
Insurance Recoveries 257,749 155,942 123,547 30,000 25,000
Interest Earnings 160,801 223,053 231,199 195,000 175,000
TOTAL REVENUES 8,173,819 7,981,660 7,737,315 7,850,000 8,407,000
EXPENDITURE CATEGORY
Health
Std Indemnity Plan 5,138,365 5,164,852 2,710,051 2,500,000 2,600,000
Managed Health Org. - 462,935 2,762,253 3,750,000 3,600,000
Dental 530,502 373,756 441,984 475,000 475,000
Health Prescriptions 609,847 667,727 888,289 1,000,000 1,200,000
Life&AD&D 80,639 70,952 78,287 75,000 85,000
Total 6,359,353 6,740,222 6,880,864 7,800,000 7,960,000
Worker's Compensation
Third Party Admin. 106,208 91,151 100,423 75,000 88,000
Claims Paid 976,678 660,876 617,383 600,000 680,000
Safety Management - - - 45,000 50,000
Excess Insurance 49,447 32,265 31,529 30.000 32,000
Total 1,132,333 784,292 749,335 750,000 850,000
General
Transfers Out 342,000 96,000 100,000 - -
Unemployment 184,148 65,364 215,011 100,000 90,000
Short-term Disability 146,162 178,427 342,251 250,000 250,000
'Total. 672,310 339,79 i _ 057,202 350,000 340,000
TOTAL EXPENDITURES _ 8,163,9-D6 7,864,305 8,287,461 8,900,000 9,150,000
EXCESS(DEFICIT)REVENUES
OVER EXPENDITURES 9,823 117,355 (550,146) (1,050,000) (743,000)
FUND BALANCE
Beginning Fund Balance 3,619,919 3,629,742 3,747,097 3,196,951 2,146,951
Ending Fund Balance S� 3.629.742 3.747.097 3.196.951 2.146.951 1.403,951
CITY OF BEAUMONT
GENERAL LIABILITY INSURANCE FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
For Fiscal Years 1994-1996 (Actual), 1997(Estimate)and 1998(Budget)
Actual Estimate Budget
1994 1995 1996 1997_ 1998
REVENUES
Interest Earnings S 141,314 198,663 195,440 185,000 160,000
Transfers In
General Fund 500,000 - - - -
Water Fund 200,000 100,000
Solid Waste Fund 200,000 100,000 - - -
Miscellaneous Revenue 59,279 23,695 25,412 20,000 20,000
TOTAL REVENUES 1,100,593 422,358 220,852 205,000 180,000
EXPENDITURE CATEGORY
Professional Services 73,463 51,766 60,259 120,000 100,000
Liability Claims 1,066,825 698,200 128,676 780,000 800,000
Other insurance 76,790 93,964 37,137 4,000 4,000
TOTAL EXPENDITURES 1,217,078 843,930 226,072 904,000 904,000
EXCESS(DEFICIT)REVENUES
OVER EXPENDITURES (116,485) (421,572) (5,220) (699,000) (724,000)
FUND BALANCE
Beginning Fund Balance 4,031,986 3,915,501 3,493,929 3,488,709 2,789,709
Ending Fund Balance S 3.915,501 3,493 929 3,488,709 2,789,709 2,065,709
CITY OF BEAUMONT
CAPITAL RESERVE FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
For Fiscal Years 1994-1996(Actual), 1997(Estimate)and 1998(Budget)
Actual Estivate Budget
_ 1994 1995 1996 19_97 1998
REVENUES ---
Charges for Services S 1,861,846 1,959,806 2,410,221 2,327,400 2,241,100
Interest Earnings 72,284 108,175 144,154 140,000 110,000
Transfers In — — 1,875,000 500,000 —
Reimbursements 45,099 — 25,011 178,200 —
Other Financing Sources — — — 3,273,000 700,000
TOTAL REVENUES 1,979,229 2,067,981 4,454,386 6,418,600 3,051,100
EXPENDITURE CATEGORY
CapitalOutlay-Equipment 1,301,251 1,857,521 2,592,581 2,360,400 2,726,800
Capital Outlay-Critical Bldg 100,940 560,435 437,452 1,100,500 1,279,400
Debt Service 135,957 185,049 421,292 694,800 1,520,300
Transfer To General Impr Fund — 300,000 — — _
Write-off Receivable-TEM 261,713 —
Liquidation of Encumbrances — — — — 678,000
TOTAL EXPENDITURES 1,799,861 2,903,005 3,451,325 4,155,700 6,204,500
EXCESS(DEFICIT) REVENUES _
OVER EXPENDITURES 179,368 (835,024) 1,003,061 2,262,900 (3,153,400)
FUND BALANCE
Beginning Fund Balance 1,856,150 2,035,518 1,200,494 2,203,555 4,466,455
Reserved for Encumbrances — — — 678,000 —
Unreserved Fund Balance 2,035,518 1,200,494 2,203,555 3,788,435 1,313,055
Ending Fund Balance S 2.035.518 1.200.494 2.203.555 4A66.455 1.313.055
CITY OF BEAUMONT
FLEET FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
For Fiscal Years 1994-1996 (Actual), 1997(Estimate)and 1998(Budget)
Actual Estimate Budget
REVENUES'—
1994 1995 1996 1597 1998
Charges for Services S 2,912,061 2,601,478 3,189,976 3,751,200 3,729,900
Transfer from General Fund — — 79,000 __ _
Miscellaneous 13,525 — 5,367 — —
TOTAL REVENUES 2,925,586 2,601,478 3,274,343 3,751,200 3,729,900
EXPENDITURE CATEGORY
Personnel Costs 799,258 801,163 1,030,442 1,108,900 1,230,800
Operating Expenses 1,976,624 1,908,112 2,296,807 2,357,900 2,387,600
Capital Outlay 55,852 19,925 13,019 18,500 42,100
Transfers Out — — — 15,400 17,500
TOTAL EXPENDITURES 2,831,734 2,729,200 3,340,268 3,500,700 3,678,000
EXCESS(DEFICIT)REVENUES
OVER EXPENDITURES 93,852 (127,722) (65,925) 250,500 51,900
FUND BALANCE
Beginning Fund Balance 99,795 193,647 65,925 — 250,500
Ending Fund Balance $ 193.647 65.925 — _ 250.500 302.400