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HomeMy WebLinkAboutPACKET DEC 18 2001 K, City of Beaunwnt REGULAR MEETING OF THE CITY COUNCIL COUNCIL CHAMBERS DECEMBER 18, 2001 1:30 P.M. AGENDA OPENING • Invocation Pledge Roll Call • Presentations and Recognition Public Comment: Persons may speak on scheduled agenda items * Consent Agenda GENERAL BUSINESS 1. Consider authorizing the City Manager to execute an Industrial District Contract with ExxonMobil Oil Corporation 2. Consider authorizing the City Manager to execute an Industrial District Contract with Entergy Gulf States, Inc. 3. Consider a resolution authorizing the submittal of two additional projects to the South East Texas Regional Planning Commission - Metropolitan Planning Organization (SETRPC-MPO) as candidates for selection and inclusion into the JOHRTS Metropolitan Transportation Plan - 2025 (MTP-2025) 4. Consider adoption of the 2000 Edition of the International Residential Code for One-and-Two-Family Dwellings, with amendments, for use as the code that governs residential construction, effective January 1, 2002 5. Consider approving an ordinance exercising the City's option to continue taxing leased motor vehicles for personal use 6. Consider approving the purchase of vehicles through the State of Texas Cooperative Purchasing Program 7. Consider approving funding for the Chamber of Commerce for economic development purposes 8. Consider approving an annual contract for grounds maintenance and litter removal services WORK SESSION * Report from the Partnership of Southeast Texas COMMENTS • Councilmembers comment on various matters • City Manager's Report - FY 2002 Budget Document, Partnership In Governance, 20/25 Transportation Plan, 2002 HUD Consolidated Grant Program, City Website Additions and Japanese Visitors At Fire Training Center • Public Comment (Persons are limited to 3 minutes) EXECUTIVE SESSION * Consider matters related to contemplated or pending litigation in accordance with Section 551.071 of the Government Code: International Association of Firefighters Local 399 labor agreement Persons with disabilities who plan to attend this meeting and who may need auxiliary aids or services are requested to contact Kyle Hayes at 880-3716 a day prior to the meeting. 1 Council consider authorizing the City Manager to execute an Industrial District Contract with ExxonMobil Oil Corporation Cit y of Beaumont � c Council Agenda Item TO: City Council FROM: Stephen J. Bonczek, City Manager PREPARED BY: Kyle Hayes, Economic Development Director MEETING DATE: December 18, 2001 AGENDA MEMO DATE: December 14, 2001 REQUESTED ACTION: Consider authorizing the City Manager to execute an Industrial District Contract with ExxonMobil Oil Corporation. RECOMMENDATION The Administration recommends approval of a resolution authorizing the City Manager to execute an Industrial District Contract with ExxonMobil Oil Corporation. BACKGROUND Industrial District Contracts enable the City to collect payments in lieu of taxes from industries located outside the city limits. The City currently has a contract with ExxonMobil Oil Corporation that will expire December 31, 2001. The new contract with ExxonMobil will be effective January 1, 2002. The in-lieu of tax payment will be based on a ratio of 75% of property taxes due to the City as if the industry were located within the city limits in 2002, 77.5% of property taxes due to the City in 2003-2004 and 75% of property taxes due to the City in 2005-2008. The 2002 payment by ExxonMobil will be in the amount of$7,795,813 based on 75%of the assessed value multiplied by the current tax rate. ExxonMobil will also make a one-time payment to the City in 2002 in the amount of$804,187 in consideration of the City of Beaumont disannexing property currently located inside the city limits for the construction of an electric co-generation facility upon property adjacent to the ExxonMobil Refinery. Payments will be due to the City by February the I" of each year. A copy of the draft agreements are attached for your review. The only change which will be made is on page six of the main agreement. No part of the value of the electric co-generation facility will be included within the assessed value of Company's properties for purposes of this agreement for a period of 36 consecutive months after construction commences. After such 36-month period, the value of the co-generation facility will be added to the Company's assessed value at a rate of 20% of such value each year for two years and 30% of value the last two years. Under this scenario, no payments in lieu of taxes would be due on the co-generation plant for the first three years. After that period, 20% of the assessed value of the co-generation facility will be added to ExxonMobil's total assessed value in Year 4, 40% in Year 5, 70% in Year 6 and 100% in Year 7. This change has been discussed with the Plant Manager of ExxonMobil. BUDGETARY IMPACT Industrial payments are estimated to total$11,728,700 in FY 2002 which are approximately 17% of the General Fund revenues. ExxonMobil's total payment of$8,600,000 is 73%of the budgeted amount for industrial payment revenue. PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager and Economic Development Director. RECOMMENDED MOTION Approve/Deny authorizing the City Manager to execute an Industrial District Contract with ExxonMobil Oil Corporation. THE STATE OF TEXAS DRAFT COUNTY OF JEFFERSON AGREEMENT This Agreement is made under the authority of Section 42.044 of the Texas Local Government Code. The parties to the Agreement are the City of Beaumont, a municipal corporation and a home-rule city located in Jefferson County, Texas, hereinafter called "CITY," and ExxonMobil Oil Corporation, its parent, subsidiaries, and affiliates, and Wilmington Trust Company, GE Capital/State Street Bank and Trust, hereinafter called "COMPANY." PREAMBLE WHEREAS, Company owns land and improvements which are part of the manufacturing, industrial, and refining facilities of said Company. The City has established an industrial district comprising a certain part of the extra-territorial jurisdiction of the City, such industrial district being known as the City of Beaumont Industrial District. WHEREAS, the Company recognizes the benefits of this Agreement and an obligation to contribute to the revenue needs of said City in an amount commensurate with the burdens placed upon the City and benefits derived by the Company by reason of being located immediately adjacent to said City. WHEREAS, the Company and the City desire to base the industrial district payment on assessed value to ensure equity among the companies. I In view of the above and foregoing reasons, and in consideration of the mutual agreements herein contained, Company and City hereby agree as follows: ARTICLE I COMPANY'S OBLIGATIONS Annual Payment of Company's Property 1. Commencing with the calendar year 2002 and each calendar year thereafter for the duration of this Contract, the Company will pay the City a certain sum which will be computed on the assessed value of the Company's facilities and property, real, personal, and mixed located on Company's land covered by this contract. (Herein "the properties"). 2. By the term "Assessed Value" is meant the 100% valuation of the Company properties, as determined by the Jefferson County Appraisal District for the previous tax year. 3. The term "assumed City taxes due" shall be calculated by the following formula: Assumed City Taxes Due: Assessed Value/ 100 X Current City Tax Rate =Assumed City Tax Due 4. Payment Procedures The procedures for determining and making such payments shall be as follows: (a) The payment for 2002 shall be in the amount of$7,795,813 and shall be due and payable on or before February 1, 2002, and calculated as follows: 2 Assumed City Taxes due: $1,636,916,240 /100 X 0.635 = $10,394,418 Year 1 75% of Assumed City Taxes Due = $7,795,813 The total payment in Year I is $7,795,813. Each October thereafter, the Finance Officer shall obtain the most recent assessed values as set by the Jefferson County Appraisal District for the Company's properties, real, personal and mixed, having taxable situs within the areas described in this agreement; for example, in October 2002, the 2002 assessed values shall be used for the February 1, 2003 payment. This assessed value less exclusion as described in Article 10 shall be used in the calculation for the payment. If the assessed values for the period required are in question and/or under litigation with the Jefferson County Appraisal District, payment shall be computed on the most recent certified values from the Jefferson County Appraisal District. The Company shall notify the City following resolution of the appraised value question and an adjustment for the payment, without interest, will be made within thirty (30) days following such resolution. (b) After the assessed value of the Company's properties have been determined, the payments due hereunder shall be calculated in accordance with the following schedule: The 2003 payment shall be 77.5% of assumed City taxes due, except such payment shall not exceed or be less than $8,600,000 by 10%. The 2004 payment shall be 77.5% of assumed City taxes due, except such payment shall not exceed or be less than the previous year's payment by 10%. 3 The 2005-2008 payments shall be 75% of assumed City taxes due except the payment shall not exceed or be less than the previous year's payment by 7%. (c) City hereby agrees to bill Company for its payments due hereunder on or before January 1 each year. Company shall pay to City the amount billed on or before February 1 each year. Upon receiving the final payment, the Finance Officer shall issue an official receipt of said City acknowledging full, timely, final and complete payment due by said Company to City for the property involved in this Agreement for the year in which such payment is made. If payment is not made on or before any due date, the same penalties, interest, attorneys' fees and costs of collection shall be recoverable by the City AS -eAtd would be collectible in the case of delinquent ad valorem taxes. Further, if payment is not timely made, all payments which otherwise would have been paid to the City had Company been in the City limits of City will be recaptured and paid to the city within 60 days of any such event. ARTICLE II. PROPERTY COVERED BY AGREEMENT This instrument will reflect the intention of the parties hereto that this instrument shall govern and affect the properties of Company (facilities, real, personal, and mixed) located on Company's real property more particularly described in Exhibit "A" hereto, which are within the extra-territorial jurisdiction of the City of Beaumont. ARTICLE III. SALE BY COMPANY Company shall notify City of any sale of any or all of Company's facilities to any person or entity. It is the intent of the parties that no sale of any of Company's facilities 4 will affect the amount to be paid to the City as provided under this Agreement. Accordingly and as to payments due under this contract no such sale shall reduce the amount due the City under this contract until the purchaser of such facility has entered into a contract in lieu of taxes with the city that provides for a continuation of like payments to the City. ARTICLE IV. CITY'S OBLIGATIONS 1. City agrees that it will not annex, attempt to annex or in any way cause or permit to be annexed any portion of lands or facilities or properties of said Company covered by this Agreement for the period of the agreement except as follows: (a) If the City determines that annexation of all or any part of the properties covered by this Agreement belonging to said Company is reasonably necessary to promote and protect the general health, safety and welfare of persons residing within or adjacent to the City, the City will notify Company in accordance with State law of the proposed annexation. In the event of such annexation, Company will not be required to make further payment under this Agreement for any calendar year commencing after such annexation with respect to the property so annexed, but shall nevertheless be obligated to make full payment for the year during which such annexation becomes effective if the annexation becomes effective after January 1 st of said year. (b) In the event any municipality other than the city attempts to annex separately or in the event the creation of any new municipality shall be attempted so as to include within its limits any land which is the subject matter of the Agreement, City shall, with the approval of Company, seek immediate legal relief against any such attempted 5 annexation or incorporation and shall take such other legal steps as may be necessary or advisable under the circumstances with all cost of such action being borne equally be the City and by the said Company or companies with the Company's portion allocated on the basis of assessed values. 2. The City further agrees that during the term of this agreement, there shall not be extended or enforced as to any land and property of Company within said City of a"y Beaumont Industrial District, rules, regulation, or any other actions: (a) seeking in any way to control the platting and subdivisions of land, (b) prescribing any buildings, electrical, plumbing or inspection standards or equipment, or (c) attempting to regulate or control in any way the conduct of Company's activities, facilities, or personnel thereof. 3. It is understood and agreed that during the term of this agreement or any renewals thereof, the City shall not be required to furnish any municipal services to Company's property located within the City of Beaumont Industrial District; provided, however, City agrees to furnish fire protection to Company should such protection be requested by Company in the event an unusual emergency situation occurs. 4. Company currently desires to construct an electric co-generation facility upon property adjacent to the ExxonMobil Refinery, and described in Exhibit "B" of this Agreement. No part of the value of such facility will be included within the assessed value of Company's properties for purposes of this agreement for a period of� `fom' WAI iQ;�RUr 414$ consecutive months after construction commences. After such month period, the value of the co-generation facility will be added to the Company's 33.3 assessed value at a rate of,2,@% of such value each year. 6 ° re­­x;;;!Ts—ec1 value o - 5, 33.37- due. Such 2VX6 annual additions would cease when 100% of the assessed value of the co-generation facility was added to Company's assessed value for purposed of this agreement. It is understood that when 100% of the assessed value of the co- generation facility has been added to Company's assessed value, the payment procedures enumerated in Article I, 4 (b) will apply. ARTICLE V. TERMINATIION OR BREACH 1 It is agreed by the parties to thisAgreement that only full, complete and faithful IM_J performance of the terms hereof shall satisfy the rights and obligations assumed by the parties and that therefore, in addition to any action at law for damages which either party may have, Company shall be entitled to enjoin the enactment or enforcement of any ordinance or charter amendment in violation of, or in conflict with, the terms of this Agreement and shall be entitled to obtain such other equitable relief including specific performance of the Agreement, as is necessary to enforce its rights. It is further agreed that should this Agreement be breached by Company, the City shall be entitled, in addition to any action at law for damages, to obtain specific performance of this Agreement and such other equitable relief necessary to enforce its rights. ARTICLE VI. AFFILIATES The benefits accruing to Company under this Agreement shall also extend to Company's "affiliates" and to any properties owned or acquired by said affiliates within the area described in Exhibit "A" to this Agreement, and where reference is made herein to land, property and improvements owned by Company, t4tm ImW alse-in&64e 4rmd, that shall also include land, property and improvements owned by its affiliates. The word "affiliates" as used herein shall mean all companies with respect to which Company directly or indirectly, through one or more intermediaries at the time in question, owns or has the power to exercise the control over fifty percent (50%) or more of the stock having the right to vote for the election of directors. ARTICLE VII. TERM OF AGREEMENT The term of this Agreement shall be for seven (7) years, commencing January 1, 2002, and ending on December 31, 2008. ARTICLE VIII. CONTRACT REOPENERS Either party, by giving written notice to the other party a minimum of one hundred twenty (120) days prior to the end of the 5th year of this contract may reopen for negotiation any portion or all of this agreement for the years 2007 and 2008. 8 ARTICLE IX. NOTICES Any notice provided for in this Contract, or which may otherwise be required by law shall be given in writing to the parties hereto by Certified Mail addressed as follows: TO CITY TO COMPANY City Manager ExxonMobil Oil Corporation City of Beaumont Manager, Property Tax Division 801 Main P. O. Box 53 P. O. Box 3827 Houston, Texas 77001-0053 Beaumont, Texas 77704 ARTICLE X. EXCLUSIONS 1. In determining the assessed value of the Company facilities there is to be excluded therefrom the value of any new plant facilities or modernization of or additions that significantly increase the assessed value of Company's properties. Except that the value of a proposed co-generation facility will be included in assessed value in accordance with paragraph IV 4. "Significantly increase" shall be defined as an increase in assessed value of ten percent (10%) or more above the prior year's assessed value on realty improvements for the specific plant facility. "Specific plant facility" shall mean any one of the following: the Beaumont Refinery (including GE Capital/State Street Bank and Trust), Olefin & Aromatics Plant (including Wilmington Trust Company), Polyethylene Plant, Beaumont Chemical Specialty Plant, Blending and Packaging Plant, or the Neches River Treatment Facility. This exclusion will be restricted to include only a new and distinct processing facility, or modernization of or additions to present facilities, and shall not include the maintenance, reconditioning, replacement, upgrading, 9 refurbishing or repairing of existing process facilities. The intent of this exclusion is to encourage major new capital investment within the extraterritorial environs of the City. Determination of qualifications for this exclusion shall be made by the City Manager upon petition by Company and presentation of all pertinent data. Company shall notify the City Manager of its intention to claim an exclusion at least one hundred twenty (120) days prior to the end of the calendar year prior to the year in which the exclusion will take place. Subject to the upper and lower limitations on payments set out in Article 14 (b) hereof Company agrees that to whatever extent that the non-excluded plant's assessed value on realty improvements is reduced for whatever .(�o wn reason (exception form fire, explosion, or other casualty or accident or from any natural disaster), an equivalent amount (dollar for dollar) of assessed value on realty improvements of the excluded facilities shall be deemed for the purposes of the agreement to lose its exclusion for the current year and accordingly shall be deemed to be included in the non-excluded plant's total assessed value and payments shall be calculated and made by Company thereon to City for the subsequent year, however, in no event shall the offset exceed the fair market value of the realty improvements that would otherwise be excluded. Company agrees to provide the City Manager with all the information necessary to the City Manager to determine whether the expenditure by the Company is qualified for exclusion. The exclusion shall commence the first calendar year following the completion of construction and it shall be in the amount of 100% for the first, second, and third years, 75% of value for the fourth and fifth years, and 50% of value for the remaining years of this contract. 10 2. In determining the assessed value of the Company's facilities, there is also to be excluded therefrom the value of incomplete construction also known as construction in progress. This exclusion applies to new and distinct plant facilities or modernization of or additions to present facilities as specified in item (1) above, regardless of whether such will significantly increase the assessed values of Companies properties. 3. If a question arises relating to the exclusion amount, payment shall be made based on the last Certified assessed value, without the questioned exclusion. An adjustment to the payment, if any, shall be made following resolution of the question. The determination concerning whether a capital expenditure by Company is qualified for exclusion hereunder shall be made by the City Manager. Any appeal of the decision of the City Manager shall be made in writing to the City Council within fifteen (15) days of the decision of the Manager. The decision of the City Council shall be final. If this Agreement shall be held invalid by any court of competent jurisdiction, such holding shall not affect the right of City to any payment made or accruing to City hereunder prior to such adjudication, and this provision is intended to be an independent and separable provision not to be affected by such adjudication. 11 IN WITNESS THEREOF, this Agreement, consisting of 11 pages plus Exhibits "A" and "B", is executed in duplicate counterparts as of this day of 2001. CITY OF BEAUMONT, TEXAS By: Stephen J. Bonczek City Manager ATTEST: Barbara Liming City Clerk EXXONMOBI OIL CORPORATION By: o ATTTTEST: YlS�t SANDYNEWMAN MY COMMISSION EXPIRES November 8,2005 12 THE STATE OF TEXAS DRAFT COUNTY OF JEFFERSON AGREEMENT This Agreement is made under the authority of Section 43.142 of the Texas Local Government Code and the charter of the City of Beaumont, Texas. The parties to this Agreement are the City of Beaumont, a municipal corporation and a home-rule city located in Jefferson County, Texas, hereinafter called "City," and ExxonMobil Oil Corporation, its parent, subsidiaries and affiliates, and Wilmington Trust Company and GE Capital/ State Street Bank and Trust, hereinafter called "Company." OBJECTIVE The parties are entering into this Agreement for the purposes of(a) disannexing from the jurisdiction of the City of Beaumont certain properties of the Company hereinafter described (sometimes referred to as the "Properties"), (b) preventing reannexation by the City of Beaumont of the Properties for the term of this Agreement, and (c) providing for consideration to the City of Beaumont for the disannexation of the Properties. ARTICLE I. PROPERTY COVERED BY AGREEMENT This instrument will reflect the intention of the parties hereto that this instrument shall govern and affect the properties of Company (facilities, real, personal, and mixed) located on Company's real property more particularly described in the Exhibit hereto, which are within the jurisdiction of the City of Beaumont. 1 ARTICLE 1I. COMPANY'S OBLIGATION The Company shall pay $804,187 in total, due and payable on or before February 1, 2002, to the City in consideration of the performance of the City's obligations ("City's Obligations") described hereinafter. ARTICLE 111. CITY'S OBLIGATIONS 1. City agrees to disannex any portion of lands or facilities or properties of the Company covered by this Agreement and described in the Exhibit hereto within one hundred and eighty (180) days of the execution of this Agreement. 2. City agrees that it will not reannex, attempt to reannex or in any way cause or permit to be reannexed any portion of lands or facilities or properties of the Company covered by this Agreement for the term of the Agreement except as follows: (a) If the City determines that reannexation of all or any part of the properties covered by this Agreement belonging to the Company is reasonably necessary to promote and protect the general health, safety and welfare of persons residing within or adjacent to the City, the City will notify Company in accordance with State law of the proposed reannexation. (b) In the event any municipality other than the city attempts to annex separately or in the event the creation of any new municipality shall be attempted so as to include within its limits any land which is the subject matter of the Agreement, City shall, with the approval of Company, seek immediate legal relief against any such attempted annexation or incorporation and shall take such other legal steps as may be necessary or 2 advisable under the circumstances with all cost of such action being borne equally be the City and by the said Company or companies with the Company's portion allocated on the basis of assessed values. 3. The City further agrees that there shall not be extended or enforced as to any land and property of Company disannexed under this Agreement, any rules, regulation, or any other actions: (a) seeking in any way to control the platting and subdivision of land, (b) prescribing any buildings, electrical, plumbing or inspection standards or equipment, or (c) attempting to regulate or control in any way the conduct of Company's activities, facilities, or personnel thereof. 4. It is understood and agreed that the City shall not be required to furnish any municipal services to Company's disannexed property for the term of this Agreement; provided, however, City agrees to furnish fire protection to Company should such protection be requested by Company in the event an unusual emergency situation occurs. ARTICLE IV. TERMINATION OR BREACH It is agreed by the parties to this Agreement that only full, complete and faithful performance of the terms hereof shall satisfy the rights and obligations assumed by the parties and that therefore, in addition to any action at law for damages which either party may have, Company shall be entitled to enjoin the enactment or enforcement of any ordinance or charter amendment in violation of, or in conflict with, the terms of this Agreement and shall be entitled to obtain such other equitable relief including specific performance of the Agreement, as is necessary to enforce its rights. It is further agreed 3 that should this Agreement be breached by a party, the other party shall be entitled, in addition to any action at law for damages, to obtain specific performance of this Agreement and such other equitable relief necessary to enforce its rights. ARTICLE V. AFFILIATES The benefits accruing to Company under this Agreement shall also extend to Company's "Affliates" and to any properties owned or acquired by said Affiliates within the area described in the Exhibit to this Agreement, and where reference is made herein to land, property and improvements owned by Company, that shall also include land property and improvements owned by its Affiliates. The word "Affiliates" as used herein shall mean all companies with respect to which Company directly or indirectly, through one or more intermediaries at the time in question, owns or has the power to exercise the control over fifty percent (50%) or more of the stock having the right to vote for the election of directors. ARTICLE VI. TERM OF AGREEMENT The term of this Agreement shall be for seven years, commencing January 1, 2002, and ending on December 31, 2008. 4 ARTICLE VII. NOTICES Any notice provided for in this Contract, or which may otherwise be required by law shall be given in writing to the parties hereto by Certified Mail addressed as follows: TO CITY TO COMPANY City Manager Exxon Mobil Corporation City of Beaumont Manager, Property Tax Division 801 Main P.O. Box 53 P.O. Box 3827 Houston, Texas 77001-0053 Beaumont, Texas 77704 ARTICLE VIII. CHOICE OF LAW The construction, interpretation and performance of this Agreement shall be governed by the laws of the State of Texas. 5 IN WITNESS THEREOF, this Agreement, consisting of five pages plus Exhibit, is executed in duplicate counterparts as of this day of , 2001. CITY OF BEAUMONT, TEXAS By: Stephen J. Bonczek City Manager ATTEST: Barbara Liming City Clerk Exxon Mobil Corporation By: "�- )2-13-e i ATTEST: E �: WDYNEINMAN �z rF MY COMMISSION EXPIRES Nwarkw 2005 6 2 Council consider authorizing the City Manager to execute an Industrial District Contract with Entergy Gulf States, Inc. 1~ City of Beaumont Council Agenda Item TO: City Council FROM: Stephen J. Bonczek, City Manager PREPARED BY: Kyle Ilayes, Economic Development Director MEETING DATE: December 18, 2001 AGENDA MEMO DATE: December 11, 2001 REQUESTED ACTION: Consider authorizing the City Manager to execute an Industrial District Contract with Entergy Gulf States, Inc. RECOMMENDATION The Administration recommends approval of a resolution authorizing the City Manager to execute an Industrial District Contract with Entergy Gulf States, Inc. BACKGROUND Industrial District Contracts enable the City to collect payments in lieu of taxes from industries located outside the city limits. The City currently has a contract with Entergy Gulf States, Inc. that will expire December 31, 2001. The new contract with Entergy will be effective January 1, 2002. The in-lieu of tax payment will be based on a ratio of 80% of property taxes due to the City as if the industry were located within the city limits in 2002-2004 and 75% of property taxes due to the City in 2005- 2008. The 2002 payment by Entergy will be $56,316. Payments will be due to the City by February the V of each year. BUDGETARY IMPACT Industrial payments are estimated to total$11,728,700 in FY 2002 which are approximately 17% of the General Fund revenues. PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager and Economic Development Director. RECOMMENDED MOTION Approve/Deny authorizing the City Manager to execute an Industrial District Contract with Entergy Gulf States, Inc. THE STATE OF TEXAS § COUNTY OF JEFFERSON § AGREEMENT This Agreement is made under the authority of Section 42.044 of the Texas Local Government Code. The parties to the Agreement are The City of Beaumont, a municipal corporation and a home-rule city located in Jefferson County, Texas, hereinafter called "CITY," and Entergy Gulf States, Inc., hereinafter called "COMPANY." PREAMBLE WHEREAS, Company owns land and/or improvements which are a part of the manufacturing, industrial,and refining facilities of said Company. The City has established an industrial district comprising a certain part of the extra-territorial jurisdiction of the City, such industrial district being known as the City of Beaumont Industrial District. WHEREAS, the Company recognizes the benefits of this Agreement and an obligation to contribute to the revenue needs of said City in an amount commensurate with the burdens placed upon the City and benefits derived by the Company by reason of being located immediately adjacent to said City. WHEREAS,the Company and the City desire to base the industrial district payment on assessed value to ensure equity among the companies. In view of the above and foregoing reasons, and in consideration of the mutual agreements herein contained, Company and City hereby agree as follows: ARTICLE I. COMPANY'S OBLIGATION Annual Payment on Company's Property 1. Commencing with the calendar year 2002 and each calendar year thereafter for the duration of this Contract, the Company will pay the City a certain sum which will be SAKYLE\Entergy Gulf States-8-01.wpd 1 / 7 computed on the assessed value of the Company's facilities property, real, personal, and mixed located on Company's land covered by this contract. (Herein "the properties") 2. By the term "Assessed Value" is meant the 100% valuation of the Entergy Gulf States Inc. properties, as determined by the Jefferson County Appraisal District for the previous tax year. 3. The term "assumed City taxes due"shall be calculated by the following formula: Assessed Value _ 100 x the current ad valorem tax rate by City Council of City = Assumed City Taxes due. 4. Payment Procedures The procedures for determining and making such payments shall be as follows: (a) The payment for 2002 shall be in the amount of $56,316 and shall be due and payable on or before February 1, 2002. The February 1, 2002 payment is calculated as follows: Assumed City Taxes Due: $11,085,850 / 100 X 0.635 = $70,395 Year 1 80% of Assumed City Taxes Due = $56,316 Each October thereafter,the Finance Officer shall obtain the most recent assessed values as set by the Jefferson County Appraisal District for the Company's properties, real, personal and mixed, having taxable situs within the areas described in this agreement;for example, in October, 2003, the 2003 assessed values shall be used for the February 1, 2004 payment. If the assessed values forthe period required are in question and/or under litigation with the Jefferson County Appraisal District, payment shall be computed on the most SAKYLEIEntergy Gulf States-8-01.wpd 2 / 7 recent certified values from the Jefferson County Appraisal District. The Company shall notify the City following resolution of the appraised value question and an adjustment for the payment,without interest,will be made within thirty(30)days following such resolution. (b) After the assessed value of the Company's properties have been determined, the payment to City shall be 80% of assumed City taxes for the years 2003 and 2004 and 75% of assumed City taxes for the years 2005, 2006, 2007 and 2008. (c) City hereby agrees to bill Company for its payments due hereunder on or before January 1 each year. Company shall pay such amount to City on or before February 1 each year. Upon receiving the final payment, the Finance Officer shall issue an official receipt of said City acknowledging full, timely, final and complete payment due by said Company to City for the property involved in this Agreement for the year in which such payment is made. If payment is not made on or before any due date, the same penalties, interest, attorneys' fees and costs of collection shall be recoverable by the City as would be collectible in the case of delinquent ad valorem taxes. Further, if payment is not timely made, all payments which otherwise would have been paid to the City had Company been in the City limits of City will be recaptured and paid to the City within 60 days of any such event. ARTICLE II. PROPERTY COVERED BY AGREEMENT This instrument will reflect the intention of the parties hereto that this instrument shall govern and affect the properties of Company (facilities, real, personal, and mixed) located on Company's real property more particularly described in Exhibit"A"hereto,which are within the extra-territorial jurisdiction of the City of Beaumont. S:\KYLE\Entergy Gulf States-8-01.wpd 3 / 7 ARTICLE III. SALE BY COMPANY Company shall notify City of any sale or transfer of any or all of Company's facilities to any person or entity. As to payments due under this contract no such sale or transfer shall reduce the amount due the City under this contract until the purchaser or recipient of such facility has entered into a contract in lieu of taxes with the City that provides for a continuation of payments to the City as if no such sale or transfer had been made. It is the intent of the parties that no sale or transfer of any of Company's facilities will affect the amount to be paid to the City under this Agreement. ARTICLE IV. CITY'S OBLIGATIONS 1. City agrees that it will not annex, attempt to annex or in anyway cause or permit to be annexed any portion of lands or facilities or properties of said Company covered by this Agreement for the period of the agreement except as follows: (a) If the City determines that annexation of all or any part of the properties covered bythis Agreement belonging to said Company is reasonably necessaryto promote and protect the general health, safety and welfare of persons residing within or adjacent to the City, the City will notify Company in accordance with State law of the proposed annexation. In the event of such annexation, Company will not be required to make further payment under this Agreement for any calendar year commencing after such annexation with respect to the property so annexed, but shall nevertheless be obligated to make full payment for the year during which such annexation become effective if the annexation becomes effective after January 1 st of said year. (b) In the event any municipality other than the City attempts to annex separately or in the event the creation of any new municipality shall be attempted so as to include within its limits any land which is the subject matter of this Agreement, City shall, SAKYLE\Entergy Gulf States-8-01.wpd 4 / 7 with the approval of Company, seek immediate legal relief against any such attempted annexation or incorporation and shall take such other legal steps as may be necessary or advisable under the circumstances with all cost of such action being bome equally by the City and by the said Company or Companies with the Company's portion allocated on the basis of assessed values. 2. The City further agrees that during the term of this agreement,there shall not be extended or enforced as to any land and property of Company within said City of Beaumont Industrial District,any rules, regulations,or any other actions: (a)seeking in any way to control the platting and subdivisions of land, (b)prescribing any buildings, electrical, plumbing or inspection standards or equipment, or (c) attempting to regulate or control in any way the conduct of Company's activities, facilities or personnel thereof. 3. It is understood and agreed that during the term of this agreement or any renewals thereof, the City shall not be required to furnish any municipal services to Company's property located within the City of Beaumont Industrial District; provided, however, City agrees to furnish fire protection to Company should such protection be requested by Company in the event an unusual emergency situation occurs. ARTICLE V. TERMINATION OF BREACH It is agreed by the parties to this Agreement that only full, complete and faithful performance of the terms hereof shall satisfy the rights and obligations assumed by the parties and that, therefore, in addition to any action at law for damages which either party may have, Company may enjoin the enactment or enforcement of any ordinance or charter amendment in violation of, or in conflict with, the terms of this Agreement and may obtain such other equitable relief, including specific performance of the Agreement, as is necessary to enforce its rights. It is further agreed that should this Agreement be breached by Company, the City shall be entitled, in addition to any action at law for damages, to S:\KYLE\Entergy Gulf States-8-0I mN 5 / 7 obtain specific performance of this Agreement and such other equitable relief necessary to enforce its rights. ARTICLE VI. AFFILIATES The benefits accruing to Company under this Agreement shall also extend to Company's "affiliates"and to any properties owned or acquired by said affiliates within the area described in Exhibit "A" to this Agreement, and where reference is made herein to land, property and improvements owned by Company,that shall also include land,property and improvements owned by its affiliates. The word "affiliates" as used herein shall mean all companies with respect to which Company directly or indirectly, through one or more intermediaries at the time in question, owns or has the power to exercise the control over fifty percent(50%)or more of the stock having the right to vote for the election of directors. ARTICLE VII. TERM OF AGREEMENT The term of this Agreement shall be for seven (7) years, commencing January 1, 2002, and ending on December 31, 2008. ARTICLE VIII. NOTICES Any notice provided for in this Contract, or which may otherwise be required by law shall be given in writing to the parties hereto by Certified Mail addressed as follows: TO CITY TO COMPANY City Manager President City of Beaumont Entergy Gulf States Inc. 801 Main P.O. Box 2951 P. O. Box 3827 Beaumont, Texas 77704-2951 Beaumont, Texas 77704 If this Agreement shall be held invalid by any court of competent jurisdiction, such holding shall not affect the right of City to any payment made or accruing to City hereunder SAKYLE\Entergy Gulf States-8-01.wpd 6 / 7 prior to such adjudication, and this provision is intended to be an independent and separable provision not to be affected by such adjudication. IN WITNESS THEREOF, this Agreement, consisting of 7 pages plus Exhibit "A", is executed in duplicate counterparts as of this day of , 2001. CITY OF BEAUMONT, TEXAS By: Stephen J. Bonczek City Manager ATTEST: Barbara Liming City Clerk Entergy Gulf States Inc. By: ATTEST: S:\KYLE\Entergy Gulf States-8-01.wpd 7 / 7 3 Council consider a resolution authorizing the submittal of two additional projects to the South East Texas Regional Planning Commission- Metropolitan Planning Organization (SETRPC- MPO) as candidates for selection and inclusion into the JOHRTS Metropolitan Transportation Plan- 2025 (MTP-2025) City of Beaumont Council Agenda Item M g TO: City Council FROM: Stephen J. Bonczek, City Manager PREPARED BY: Mark Horelica, Transportation Manager MEETING DATE: December 18, 2001 AGENDA MEMO DATE: December 11, 2001 REQUESTED ACTION Council consider a resolution authorizing the submittal of two (2) additional projects to the South East Texas Regional Planning Commission -Metropolitan Planning Organization(SETRPC-MPO) as candidates for selection and inclusion into the Jefferson, Orange, Hardin Regional Transportation Study (JOHRTS) Metropolitan Transportation Plan - 2025 (MTP-2025). RECOMMENDATION Administration recommends authorization to submit two (2) candidate projects to the SETRPC for inclusion in the JOHRTS MTP-2025, in addition to the seven(7)projects previously authorized by Council on November 27, 2001. BACKGROUND The SETRPC-MPO provides direct input for project submittal to Federal and State funding categories. Projects will be evaluated and scored by the JOHRTS Technical Advisory Committee. These scores and project readiness results will be used to determine when and if projects will be included in the financially constrained components of the MTP. In order to spend Federal dollars on local transportation projects and programs,a metropolitan aria must have a metropolitan transportation plan and a transportation improvement program. The MTP's financially constrained component constitutes projects that have identifiable funding sources during the MTP planning horizon-(normally 1 to 20 years). The JOHRTS Technical Committee will review and approve the project ranking and list as appropriate for inclusion in the MTP and upon adoption will be included. In addition to the seven(7)projects already approved by City Council,the following two(2)projects are recommended for submittal to the SETRPC: • Mass Transit Fleet Replacement ($6.2 million) - The purchase of twenty(20)alternatively fueled buses to replace the existing fleet of diesel powered buses. • Alternative Fuel Station($250,000) - The construction of an alternative fuel station at the present Transit maintenance facility located at Park and Milam Streets. BUDGETARY IMPACT Eighty percent (80%) of the project will be provided by Federal, State and Local sources, with the Federal sources providing the largest portion (77%). The remaining 20% will be provided by the local sponsor(City). PREVIOUS ACTION Council approved by resolution the submittal of seven(7) projects on November 27, 2001. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager, Public Works Director, City Engineer and Transportation Manager RECOMMENDED MOTION Approve/Deny amending resolution authorizing the submittal of two (2) additional projects to the SETRPC-MPO and upon inclusion into the Metropolitan Transportation Plan, committing the City to a twenty percent (20%) participation in the project cost. J011RTSMPOcg.WPD December 11,2001 4 Council consider adoption of the 2000 Edition of the International Residential Code for One-and- Two-Family Dwellings, with amendments, for use as the code that governs residential construction, effective January 1, 2002 Qi C it y of Beaumont Council A enda Item A K g TO: City Council FROM: Stephen J. Bonczek, City Manager PREPARED BY: Don Burrell, Building Official MEETING DATE: December 18, 2001 AGENDA MEMO DATE: December 7, 2001 REQUESTED ACTION: Council adopt the 2000 Edition of the International Residential Code for One-and-Two-Family Dwellings, with amendments, for use as the code that governs residential construction, effective January 1, 2002. RECOMMENDATION Administration recommends Council adopt the 2000 Edition of the International Residential Code for One-and-Two-Family Dwellings,with amendments,for use as the code that governs residential construction, effective January 1, 2002. BACKGROUND Senate Bill 365, which was signed into law by Governor Perry adopts the 2000 International Residential Code as the residential building code for the State of Texas. The Senate Bill was sponsored in the House of Representatives by Allen Ritter and was endorsed by the National Association of Homebuilders, the Texas Association of Builders, and the Homebuilders Association of Southeast Texas. The law takes effect January 1, 2002, and allows for local amendments. A group of homebuilders, building suppliers, architects and engineers was formed to formulate local amendments. A public hearing was held in Council Chambers on November 28, 2001, and there were no objections to the amendments. BUDGETARY IMPACT None. PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager, Public Works Director, and Building Official. RECOMMENDED MOTION Approve/Deny an ordinance adopting the 2000 Edition of the International Residential Code for One-and-Two Family dwellings with/without amendments, effective January 1, 2002. IRCadoptionsk.wpd December 11, 2001 ARTICLE IX. RESIDENTIAL BUILDING CODE Sec.6-173.Adopted The 2000 Edition of the International Residential Code for One and Two Family Dwellings(IRC), including Appendices G and J is hereby adopted and declared operative as the residential building code of the city, save and except those portions that are deleted, modified, or amended by this Code of Ordinances. A copy of such code is on file in the office of the City Clerk. Sec.6-174.Code amendments,modifications and deletions. Section R105.2 Delete exemption for permit requirements for detached buildings less than 200 square feet, fences not over 6 feet high, and sidewalks and driveways. Section R108.2 Schedule of permit fees is amended to read: Appendix B of the 1997 Standard Building Code is adopted as the permit fee schedule. Section R112.2.2 Criteria for issuance of a variance for areas prone to flooding is deleted. Section R301.2.1.1 Design Criteria is amended to read: The Southern Building Code Congress International Standard for Hurricane Resistant Residential Construction SSTD 10-99 is adopted for use. Cold-formed steel construction shall be designed in accordance with the provisions of this code. Section R403.1.3.2 Slabs-on-ground with turned-down footings is amended to read: Slabs-on- ground with turned down footings shall have a minimum of two No.4 bars at the top and at the bottom of the footing. Exception is deleted. Section M105.1 General has the following sentence amended to read: Exhaust ducts shall be constructed of minimum 0.016-inch-thick rigid metal ducts, or schedule 40 PVC when used in concrete slabs and not exceeding 25 feet,having smooth interior surfaces with joints running in the direction of air flow. Section P2903.8.7 Hose bibb bleed is deleted. Section P2904.5.1 Under concrete slabs is amended to read: Inaccessible water distribution piping under concrete slabs shall be copper water tube minimum Type L. Section P3002.1 Piping within buildings is amended to read: Drain, waste and vent piping in buildings shall be schedule 40 PVC DWV pipe and fitting, cast iron, or copper pipe and fitting. Section P3002.2 Building sewer is amended to read: Building sewer piping shall be a minimum of 4 inches and conform to P3002.1. Six(6)inch and larger sewer may be SDR 26 or better. ORDINANCE NO. ENTITLED AN ORDINANCE AMENDING CHAPTER 6, TO ADD ARTICLE IX ADOPTING A RESIDENTIAL BUILDING CODE AND AMENDMENTS OF THE CODE OF ORDINANCES; PROVIDING FOR SEVERABILITY; PROVIDING FOR REPEAL; AND PROVIDING A PENALTY. BE IT ORDAINED BY THE CITY OF BEAUMONT: Section 1. That Chapter 6 of the Code of Ordinances of the City of Beaumont be and the same is hereby amended to add Article IX to read as follows: ARTICLE IX. RESIDENTIAL BUILDING CODE Sec. 6-173. Adopted. The 2000 Edition of the International Residential Code for One and Two Family Dwellings(IRC), including Appendices G and J is hereby adopted and declared operative as the residential building code of the city, save and except those portions that are deleted, modified, or amended by this Code of Ordinances. A copy of such code is on file in the office of the City Clerk. Sec. 6-174. Code amendments, modifications and deletions. The 2000 Edition of the International Residential Code for One and Two Family Dwellings including Appendices G and J adopted herein is hereby amended as follows: SectionR105.2. Delete exemption for permit requirements for detached buildings less than 200 square feet, fences not over 6 feet high, and sidewalks and driveways. Section R1O8.2. Schedule of permit fees is amended to read: Appendix B of the 1997 Standard Building Code is adopted as the permit fee schedule. Section R112.2.2. Criteria for issuance of a variance for areas prone to flooding is deleted. Section R3O1.2.1.1. Design Criteria is amended to read: The Southern Building Code Congress International Standard for Hurricane Resistant Residential Construction SSTD 10-99 is adopted for use. Cold-formed steel construction shall be designed in accordance with the provisions of this code. Section R403.1.3.2. Slabs-on-ground with turned-down footings is amended to read: Slabs-on- ground with turned down footings shall have a minimum of two No.4 bars at the top and at the bottom of the footing. Exception is deleted. Section M1O5.1. General has the following sentence amended to read: Exhaust ducts shall be constructed of minimum 0.016-inch-thick rigid metal ducts, or schedule 40 PVC when used in concrete slabs and not exceeding 25 feet, having smooth interior surfaces with joints running in the direction of air flow. Section P2903.8.7. Hose bibb bleed is deleted. Section P2904.5.1. Under concrete slabs is amended to read: Inaccessible water distribution piping under concrete slabs shall be copper water tube minimum Type L. Section P3002.1. Piping within buildings is amended to read: Drain, waste and vent piping in buildings shall be schedule 40 PVC DWV pipe and fitting,cast iron,orcopper pipe and fitting. Section P3002.2. Building sewer is amended to read: Building sewer piping shall be a minimum of 4 inches and conform to P3002.1. Six (6) inch and larger sewer may be SDR 26 or better. Section 2. That if any section, subsection, sentence, clause or phrase of this ordinance,or the application of same to a particular set of persons or circumstances, should for any reason be held to be invalid, such invalidity shall not affect the remaining portions of this ordinance, and to such end the various portions and provisions of this ordinance are declared to be severable. Section 3. All ordinances or parts of ordinances in conflict herewith are repealed to the extent of the conflict only. Section 4. That any person who violates any provision of this ordinance shall, upon conviction, be punished as provided in Section 1-8 of the Code of Ordinances of the City of Beaumont, Texas. PASSED BY THE CITY COUNCIL of the City of Beaumont on this the 18th day of December, 2001. - Mayor - 5 Council consider approving an ordinance exercising the City's option to continue taxing leased motor vehicles for personal use V~...... Cit y of Beaumont Council Agenda Item TO: City Council FROM: Stephen J. Bonczek, City Manager PREPARED BY: Andrea S. Deaton, Budget Officer MEETING DATE: December 18, 2001 AGFNDA MEMO DATE: December 12, 2001 REQUESTED ACTION: Approve or deny an ordinance exercising the City's option to continue taxing leased motor vehicles for personal use. RECOMMENDATION Administration recommends the adoption of the ordinance which would exercise the City's option to continue taxing leased motor vehicles used for personal use. BACKGROUND During the 77`h Legislative session, Senate Bill 248 was adopted which amends the Texas Property Tax Code to allow motor vehicles leased for personal use to be exempt from ad valorem taxes beginning with the 2002 tax year. There is a provision in this legislation that allows cities to continue to tax such vehicles if an ordinance is approved prior to December 31, 2001 opting out of the exemption. BUDGETARY IMPACT According to the Jefferson County Appraisal District the value of all leased vehicles is approximately $34 million. Of that, $21 million would qualify for this exemption. Leases prior to Ja.i. 1, 2001 will not be grandfathered in. It is expected that the value of leased vehicles will increase in the future as leasing has become the method of choice for many people. Applying the current tax rate of$0.635 per $100 valuation to the $21 million value of leased vehicles equates to $133,350 annually. PREVIOUS ACTION None. Leased Vehicle Exemption December 18, 2001 Page 2 SUBSEQUENT ACTION None. RECOMMENDED BY: City Manager and Budget Officer. RECOMMENDED MOTION: Approve/Deny an ordinance exercising the City's option to continue taxing leased motor vehicles for personal use. ORDINANCE NO. ENTITLED AN ORDINANCE AMENDING CHAPTER 25 OF THE CODE OF ORDINANCES OF THE CITY OF BEAUMONT, TEXAS, BY ADDING SECTIONS 24-45 PROVIDING FOR THE TAXATION OF LEASED MOTOR VEHICLES; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR REPEAL. WHEREAS, the Legislature of the State of Texas has amended Chapter 11 of the Tax Code by adopting Section 11.252 which exempts from taxation certain leased motor vehicles; and, WHEREAS, Tax Code Section 11.252(f) provides that the governing body of a municipality may, by ordinance adopted before January 1, 2002, provide for the taxation of leased motor vehicles otherwise exempted from taxation by Tax Code 11.525; NOW THEREFORE BE IT ORDAINED: Section 1. That the Code of Ordinances of the City of Beaumont be, and the same is hereby amended by adding a section, to be numbered 25-45 to read as follows: 24-45. Taxation of Leased Motor Vehicles Leased motor vehicles, as defined in Tax Code Section 11.525, leased within the City of Beaumont, Texas are subject to taxation. The exemption from taxation provided by Tax Code Section 11.252 shall not apply to such vehicles and shall not apply to the City of Beaumont as provided in Tax Code Section 11.525. Section 2. That if any section, subsection, sentence, clause or phrase of this ordinance, or the application of same to a particular set of persons or circumstances should for any reason S:\AGENDA\Current Agenda\1 2-1 1-01.wpd be held to be invalid, such invalidity shall not affect the remaining portions of this ordinance, and to such end the various portions and provisions of this ordinance are declared to be severable. Section 3. That all ordinances or parts of ordinances in conflict herewith are repealed to the extent of the conflict only. PASSED BY THE CITY COUNCIL of the City of Beaumont on this the 11th day of December, 2001. - Mayor - SAAGENDA\Current Agenda\1 2-11-01.wpd 6 Council consider approving the purchase of vehicles through the State of Texas Cooperative Purchasing Program City of Beaumont � K Council Agenda Item TO: City Council FROM: Stephen J. Bonczek, City Manager PREPARED BY: Kirby Richard, Central Services Director MEETING DATE: December 18, 2001 AGENDA MEMO DATE: December 12, 2001 REQUESTED ACTION: Council approval for fleet purchase of vehicles through the State of Texas Cooperative Purchasing Program. RECOMMENDATION Administration recommends authorization for the purchase of vehicles through the State of Texas Cooperative Purchasing Program. BACKGROUND The State of Texas Cooperative Purchasing Program provides contracted prices on various types of vehicles to all state, counties, school districts and municipal agencies within Texas. There is no charge or fee assessed to any entity for participation in the purchasing program. The Cooperative Purchasing Program is coordinated by the General Services Commission(GSC)in accordance with state bidding statutes. Representatives from the GSC meet with major vehicle manufacturers each year to discuss the model changes and features offered to major fleet consumers for the upcoming year vehicle models. Specifications are developed and published in August for distribution to governmental consumers and statewide vendors. The GSC solicits bids from vendors throughout the state to furnish pricing on various types of vehicles. These vehicles include compact size cars, intermediate size sedans, police pursuit vehicles, '/z ton, 3/4 ton and 1 ton light and heavy duty pickup trucks, vans (cargo and passenger) and medium duty cab and chassis. Specifications include features such as 4, 6, and 8 cylinder engines, 2 and 4 wheel drive, automatic and manual transmissions, air conditioning, ABS brake systems and AM/FM radios. Optional features such as tilt steering, cruise control, spotlights, headache racks, tool boxes, grille guards and heavy duty bumpers are bid and offered for an additional cost. Purchase of Vehicles December 12, 2001 Page 2 Bids are open to any vehicle dealer on the State of Texas Bid List. Due to the volume of vehicles requested by the State,generous concessions are offered to the dealer from the manufacturers. Bids are received and evaluated by the GSC. After bids are evaluated, a contracted price list is published indicating the successful vendor for each type of vehicle and the prices of specific optional features. Vehicles are selected from the published list and orders are submitted to GSC. Vendors generally deliver the vehicles within 90 to 120 days. The City requested twenty-three (23) police pursuit vehicles, three (3) '/z ton extended cab pickup trucks, two (2) crew cab pickup trucks, three (3) cab and chassis with utility bodies and one (1) industrial self propelled riding sweeper. The following list of vehicles represents the type and price of each vehicle to be ordered through the State: PURSUIT VEHICLES Chevrolet Impala 23 $386,066.50 Standard optional equipment available for four (4) door sedans includes air conditioning, power steering, power door locks, AM/FM radio, cruise control and tilt steering wheel. % TON EXTENDED CAB, 8 CYLINDER ENGINE FULL SIZE PICKUP TRUCKS Chevrolet Silverado 3 $49,436.50 CREW CAB, 8 CYLINDER FULL SIZE GASOLINE POWERED PICKUP TRUCK Ford F350 2 $48,408 Standard optional equipment available for '/z ton extended cab, and full size crew cab pickup trucks include air conditioning, heavy duty rear bumper, AM/FM radio, power steering, automatic transmission, spotlight, grille guard, spare wheel and tire, receiver hitch and bedliner. Purchase of Vehicles December 13,2001 Page 3 CAB AND CHASSIS,8 CYLINDER DIESEL POWERED MEDIUM DUTY TRUCKS Ford F450 1 3 1 $74,782 Standard optional equipment available for the 10,000 and 15,000 lb. Gross Vehicle Weight Requirement(GVWR) Cab and Chassis include air conditioning, grille guard, AM/FM radio, spare wheel and tire, automatic transmission, spotlight and various utility bodies. SWEEPER-F Tennant 1 $21,903.27 Standard equipment includes a self propelled riding industrial type sweeper. Replacement vehicles and additions to the fleet are requested through the City's budget process. The Central Services Department reviews the requests and evaluates the equipment to be replaced. Based on this evaluation, a recommendation is made to replace worn and obsolete vehicles that are no longer cost effective to operate. All of the vehicles purchased are replacement vehicles. The units will replace year models ranging from 1992 to 1995. The newer year models will be relocated to other divisions. The remaining replaced vehicles will be disposed of according to the City's surplus property disposal policies. Warranties of 36,000 miles or three (3) years are provided for each new vehicle. The warranty service will be provided by local authorized dealerships. The Chevrolet automobiles and light duty pickup trucks are eligible for a$1,000 discount from a GM fuel tank settlement. This discount will result in an additional savings of$26,000. BUDGETARY IMPACT Funds for vehicles are available in the Capital Reserve Fund, Solid Waste Fund and Water Fund. PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager and Central Services Director. Purchase of Vehicles December 13,2001 Page 4 RECOMMENDED ACTION Approve/Deny the purchase of vehicles in the amount of$580,596.27 through the State of Texas Cooperative Purchasing Program, Purchase of Vehicles December 13, 2001 Page 5 DEPARTMENT DIVISION DESCRIPTION QUANTITY FTOTAL PRICE Police Department Administration Chevrolet Impalas 23 $386,066.50 Criminal Chevrolet Silverado 3 $16,421.50 Investigations %2 ton pickup Total $402,488 Public Works Department Streets & Ford F450 2 $50,462 Drainage Parks Ford F350 Crew Cab 1 $24,108 Operations Parks Chevrolet Silverado 1 $16,507.50 Operations '/z ton pickup Water Utilities Ford F450 1 $24,320 Water Utilities Chevrolet Silverado 1 $16,507.50 %2 ton pickup Total $131,905 Central Services Department Fleet Tennant Sweeper 1 $21,903.27 Maintenance Total $21,903.27 Clean Community Department Landfill Ford F350 Crew Cab 1 $24,300 Total $24,300 Grand Total $580,596.27 7 Council consider approving funding for the Chamber of Commerce for economic development purposes City of Beaumont Council Agenda Item TO: City Council FROM: Stephen J. Bonczek, City Manager PREPARED BY: Kyle Hayes, Economic Development Director MEETING DATE: December 18, 2001 AGENDA MEMO DATE: December 13, 2001 REQUESTED ACTION: Consider funding for the Chamber of Commerce in the amount of $50,000 for Economic Development purposes. RECOMMENDATION Administration recommends funding for the Chamber of Commerce in the amount of$50,000 for Economic Development purposes. $50,000 will be used for marketing Beaumont and business retention/recruitment efforts. Administration is extremely pleased with the relationship with the Chamber of Commerce. BACKGROUND The City and Chamber of Commerce had a very successful year working together on business retention/recruitment. The City and Chamber worked in partnership to attract West Telemarketing Company to Beaumont(1,000 initial jobs), helped retain and expand Conn's Appliances back office operations and Home Care Supply's medical equipment business. BUDGETARY IMPACT Funds are budgeted for this expenditure in the FY2002 Budget. PREVIOUS ACTION Council approved funding on January 9, 2001 in the amount of $57,500 for the Chamber of Commerce. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager and Economic Development Director RECOMMENDED MOTION Approve/Deny funding for the Chamber of Commerce in the amount of$50,000 for economic development purposes. Page 2 8 Council consider approving an annual contract for grounds maintenance and litter removal services ^ City of Beaumont Council Agenda Item TO: City Council FROM: Stephen J. Bonczek, City Manager PREPARED BY: Kirby Richard, Central Services Director MEETING DATE: December 18, 2001 AGENDA MEMO DATE: December 14, 2001 REQUESTED ACTION: Council consider an annual contract for grounds maintenance and litter removal services. RECOMMENDATION Administration recommends approval of a three (3) year contract beginning January 1, 2002 with Beaumont Products and Services,Inc. (BPS)for basic grounds maintenance services at City facilities and specified areas within Beaumont's Central Business District (CBD), and an optional contract for a two man downtown beautification team to perform special projects. BACKGROUND BPS has provided grounds maintenance and litter removal services for the past four (4) years. Grounds maintenance services include mowing, edging, sweeping and litter removal for the grounds at City Hall, Civic Center, Beaumont Public Library, Police Building, Julie Rogers Theatre, Tyrrell Historical Library, Delia Harrington Park, Henry Dannenbaum Transfer Facility, Riverfront Park and the CBD medians and boulevards. Mowing and edging is performed on a weekly basis during the growing season, March 1 through October 31. Biweekly mowing is required during the dormant season. At Riverfront and Delia Harrington Parks, edging and sweeping of sidewalks and paved areas are performed at the time of mowing. Sweeping of walkways around the municipal complex is performed three times per week. All other areas are swept in conjunction with mowing. Litter removal services are required three days per week for removal of trash and debris from all City facilities and parking lots. Last year Council approved an amendment to this contract to provide two (2) additional employees to establish what is known as the Downtown Beautification Team. The primary function of the team has been to clean up the downtown areas through the mowing of vacant lots and rights-of- Contract for Grounds Maintenance and Litter Removal December 18, 2001 Page 2 way, litter removal, trimming and sweeping of sidewalks, and assistance with special beautification projects. BPS will provide a team of two (2) workers as needed at $12.90 per hour per worker. This contract is exempt from competitive bidding because the service is provided by a state certified workshop. BPS is a private-not-for-profit state certified workshop employing disabled individuals. BUDGETARY IMPACT The cost of this service is $10,016 per month for an annual expenditure of$120,192. This price includes a monthly fee of$1,200 for the Henry Dannenbaum Transfer Facility paid directly by Beaumont Municipal Transit, resulting in an annual net cost to the City of$105,792. Funds for the City's portion are budgeted in the Solid Waste Fund. The cost for the two (2) man Downtown Beautification Team is 12.90 per hour per employee and is funded by Community Development Block Grant (CDBG) funds. Last year's annual cost was $111,720 including $9,000 for grounds maintenance at the Henry Dannenbaum Transfer Facility. During the contract period the cost for grounds maintenance at the Henry Dannenbaum Transfer Facility was increased from an annual cost of$9,000 to $14,400 due to additional litter removal services at the new facility. This cost has remained the same for the new contract. The Downtown Beautification Team was $12.50 per hour per worker. The increase in costs for the Municipal Complex and the Downtown Beautification Team can be attributed to increases in labor, insurance, and materials. PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager, Central Services Director and Clean Community Director. RECOMMENDED MOTION Approve/Deny the award of a three(3)year contract with Beaumont Products and Services, Inc., in the amount of$10,016 per month for providing grounds maintenance services and litter removal from City facilities and specified areas within the Central Business District, and$12.90 per hour per worker for the two (2) man Downtown Beautification Team. WORK SESSION * Report from the Partnership of Southeast Texas * Review proposed park improvements EL City o �f Beaunwnt REGULAR MEETING OF THE CITY COUNCIL COUNCIL CHAMBERS DECEMBER 18, 2001 1:30 P.M. CONSENT AGENDA * Approval of minutes * Confirmation of committee appointments A) Approve a one-year contract with Carolyn C. Chaney & Associates, Inc. to act as the the City of Beaumont's Washington Assistant B) Approve an annual system software maintenance agreement from International Business Machine C) Approve an adjustment to compensation and a retirement benefit contribution for the City Manager for FY 2002 D) Approve a retirement benefit contribution for the City Clerk for FY 2002 CONSENT AGENDA DECEMBER 18, 2001 * Committee Appointments Greg Busceme would be appointed to the Martin Luther King, Jr. Parkway Commission. The term will commence on December 18, 2001 and expire December 17, 2003. (Councilmember Becky Ames) Walter Crook would be appointed to the Martin Luther King, Jr. Parkway Commission. The term will commence December 18, 2001 and expire December 17, 2003. (Mayor Pro-Tem Guy Goodson) A) Approve a one-year contract with Carolyn C. Chaney & Associates, Inc. to act as the City of Beaumont's Washington Assistant Administration recommends approval of a one-year renewal contract effective January 1, 2002 in the amount of$53,130. The contract will also include a maximum of$4,000 for reimbursable expenses. The contract amount and reimbursable expenses have remained the same as in last year's contract. Funds are budgeted for this expenditure in the FY 2002 Budget. A copy of the staff memorandum and a letter from Ms. Chaney is attached for your review. B) Approve an annual system software maintenance agreement from International Business Machine Administration recommends payment of an invoice to International Business Machine (IBM) for the purchase of an annual subscription fee for the AS/400 system software in the amount of $32,800. The contract provides for operating software updates for the AS/400 computer systems located in City Hall and the Police Department. A copy of the staff memorandum is attached for your review. C) Approve an adjustment to compensation and a retirement benefit contribution for the City Manager for FY 2002 Based on the annual performance review of the City Manager, Council has agreed to provide a 3% salary adjustment effective July 5, 2001 and to continue the same retirement benefit contribution as in FY 2001. A copy of the staff memorandum is attached for your review. D) Approve a retirement benefit contribution for the City Clerk for FY 2002 Based on the annual performance review of the City Clerk, Council has agreed to provide a retirement benefit contribution in the amount of$8,500. A copy of the staff memorandum is attached for your review. A City of Beaumont Council Agenda Item M c TO: City Council FROM: Stephen J. Bonczek, City Manager PREPARED BY: Kyle Hayes, Economic Development Director MEETING DATE: December 18, 2001 AGENDA MEMO DATE: December 13, 2001 REQUESTED ACTION: Consider a one-year renewal contract with Carolyn C. Chaney & Associates, Inc. to act as the City of Beaumont's Washington Assistant. RECOMMENDATION Administration recommends approval of a one-year renewal contract with Carolyn C. Chaney & Associates, Inc. in the amount of$53,130. The contract will also include a maximum of$4,000 for reimbursable expenses. The contract amount and reimbursable expenses have remained the same as in last year's contract. The contract will be effective January 1, 2002. BACKGROUND On a yearly basis since 1980, the City has contracted with an organization to provide legislative services on the federal level. Ms. Chaney, as the City's Washington Assistant, is responsible for reviewing federal executive proposals, legislation under consideration and proposed and adopted administrative rules and regulations which could impact the City ofBeaumont's policies or programs. BUDGETARY IMPACT Funds are budgeted for this expenditure in the FY2002 Budget. PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager and Economic Development Director RECOMMENDED MOTION Approve/Deny a one-year renewal contract with Carolyn C. Chaney&Associates,Inc. to act as the City of Beaumont's Washington Assistant. LOCAL GOVERNMENT CONSULTANTS November 28, 2001 Mr. Stephen J. Bonczek City Manager P.O. Box 3827 1 Beaumont, TX 77704 Dear Steve: Please consider this a formal request for a twelve month renewal, beginning January 1, 2002, of the contract between the City of Beaumont and.Carolyn C. Chaney & Associates, Inc. for federal lobbying and information services. Thanks to your leadership and that of the Mayor and City Council, the City of Beaumont continues to enhance its reputation with Congress and the federal government, and we have been proud to assist the City in building a strong presence in Washington. We were particularly pleased that Congress provided the City$485,000 in Environmental Protection Agency funds for wastewater infrastructure upgrades, and we continue to work toward federal funding for the City's downtown "livability" efforts. It has been an honor and a pleasure to serve the City of Beaumont for the past 20 years, and I hope to continue that relationship. I am very appreciative of the guidance I have received from you and the hard work of your staff, and I look forward to working with you on the City's federal priorities in 2002. Sincerely, Carolyn Chaney Washington Assistant ' DEC ` ;`:, 1401 K STRF.FT,NW SUITE 700 WASHINGTON, DC 20005-3401 TELEPHONE 202/842-4930 FAx 202/842-5051 w«-,v.capitaledge.coin/chaney.html AGREEMENT BETWEEN THE CITY OF BEAUMONT,TEXAS AND CAROLYN C. CHANEY&ASSOCIATES, INC. 1401 K STREET, NW- SUITE 700 WASHINGTON, D.C. 20005-3430 Pursuant to this agreement, the City of Beaumont, Texas (hereinafter sometimes referred to as the "City") and Carolyn C. Chaney & Associates, Inc. (hereinafter sometimes referred to as "Consultant") agree to assume the following obligations. L Obligations of Consultant A. Consultant will organize and operate a unit to act as a Washington office for the City and will be the assigned member of its staff. Consultant will be responsible for obtaining and furnishing requisite staff,office space,utilities,furnishings,and equipment, common-use office supplies and services, and general administrative support according to the level of service specified in Paragraph IV; B. Consultant will confer with the City Manager and such other City personnel as the City Manager may designate at the times and places mutually agreed to by the City Manager on all organizational planning and program activities which have a bearing on the ability of the City to make the best use of federal aid programs; and will act as Washington Assistant to the City of Beaumont,Texas; C. As Washington Assistant the Consultant will review federal executive proposals,legislation under consideration,proposed and adopted administrative rules and regulations and other Washington developments for the purpose of advising the City on her own initiative of those items which may have a bearing on City policy or programs; D. More specifically, as Washington Assistant the Consultant will advise and consult on behalf of the City with the White House and any other Federal agencies,departments and commissions as may be necessary to the performance of full Washington service to the City Manager and the City. Additionally, the Consultant will act as liaison with the U.S. Conference of City Managers and the National League of Cities, and will furnish legislative and administrative analyses of issues as requested; E. As Washington Assistant the Consultant will secure and furnish such detailed information as may be available on federal programs in which the City indicates an interest; 1 F. As Washington Assistant the Consultant will review and comment on proposals of the City which are being prepared for submission to federal agencies when requested to do so by the City Manager or his designees; G. As Washington Assistant the Consultant will maintain liaison with the City's Congressional delegation and will assist the delegation in any matter which the City determines to be in its best interest in the same manner as any other member of the City's administrative staff might render assistance; H. As Washington Assistant the Consultant will counsel with the City regarding appearances by City personnel before Congressional committees and administrative agencies and will arrange for appointments and accommodations for City personnel as necessary; I. As Washington Assistant the Consultant will contact federal agencies on the City's behalf when City applications are under consideration by such agencies and counsel the City to take whatever steps appear to be required to obtain the most favorable consideration of such applications; J. As Washington Assistant the Consultant will advise and consult with or otherwise snake assistance available to such representatives of the private sector who are engaged in economic development activities as determined by the City Manager to be in the best interests of the City, K. In fulfilling her responsibilities under this Agreement, the Washington Assistant will act in the name of the City of Beaumont, Texas under the supervision of the City Manager. Any change in the person of the Washington Assistant from the person representing the City as of the effective date of this agreement must be approved by the City Manager. H. Obligations of the City ofBeaumont, Texas A. To advise the Consultant of the name or names of persons other than the City Manager authorized to request service and the person or persons to be kept advised by the Washington Assistant; B. To supply the Consultant with a summary of all federal programs in which the City is participating and advise the Consultant of any new applications filed, together with pertinent details as to the substance of such applications; 2 C. To supply the Consultant with copies of budgets, planning documents, and regular reports of the City Manager and departments,Council agenda and proceedings,newspapers and other materials which will assist the Consultant in keeping current on City policies and programs; D. To reimburse the Consultant for(1) all travel expenses incurred pursuant to Paragraph I,Subparagraphs D and G; (2) expenses for attendance at any other meetings attended by the Washington Assistant outside Washington,DC, at the request of the City; E. To reimburse the Consultant for other expenses which are incurred within Washington, DC on behalf of the City in carrying out the provisions of this Agreement and as approved by the City Manager subject to the provisions of Paragraph IV; F. To bear long distance telephone, photocopying, executive expenses and postage expenses. III. The GlyofBm mievA Texas and the Comuhantcomw-&ttlie following exclusions shall apply to this Agreement A. The Consuhav 1. Will not represent commercial or industrial establishments of the City in pursuit of federal business except in accordance with the provisions of Paragraph I,Subparagraph J, above; 2. Will not, by virtue of this Agreement, represent other local government agencies in Beaumont, Texas except those which are instrumentalities or agencies of the City of Beaumont, Texas; 3. Will not perform any legal, engineering, accounting or other similar professional service; 4. Will not directly or indirectly participate in or intervene in any political campaign on behalf of or in opposition to any candidate for public office in or representing the City. 3 IV. Compensation The cost of service will be $53,130.00 for twelve months,payable in advance,in equal monthly installments of $4,427.50 commencing on the first day of January, 2002. In addition, a maximum of $4,000.00 for reimbursable expenses incurred pursuant to Paragraph II,Subparagraphs D,E, and F. V. Termination Either party may terminate this Agreement at any time by giving the other at least sixty (60) days notice in writing of such termination. IN WITNESS WHEREOF: ATTEST DATE � CG Faro yn . Chaney,Washingto Assistant Stephen J.Bonczek, City Manager 4 B Cit y of Beaumont M,CI-Nowl- 1K Council Agenda Item TO: City Council FROM: Stephen J. Bonczek, City Manager PREPARED BY: Kirby Richard, Central Services Director MEETING DATE: December 18, 2001 AGENDA MEMO DATE: December 11, 2001 REQUESTED ACTION: Council approval of an annual system software maintenance agreement from International Business Machine. RECOMMENDATION Administration recommends payment of an invoice to International Business Machine Corporation (IBM) for the purchase of an annual subscription fee for the AS/400 system software in the amount of$32,800. BACKGROUND The contract provides for operating software updates for the AS/400 computer systems located in City Hall and the Police Department. System updates occur two or three times per year and are transferable when upgrades of AS/400 hardware models are required. Fifty-six (56) software products are supported, including, but not limited to Query, Facsimile Support, and AS/400 Client Access. This purchase is exempt from competitive bidding since it is available from only one (1) source having exclusive rights to modify and maintain the software. The agreement is for an annual period beginning December 28,2001 and ending December 27,2002. Last year, system software maintenance was $30,832. IBM Software Update Agreement December 11, 2001 Page 2 BUDGETARY IMPACT Funds are available in the Information Services Division's fiscal year 2002 budget. PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager and Central Services Director. RECOMMENDED MOTION Approve/Deny renewal of an annual system software upgrade and maintenance agreement with International Business Machines in the amount of $32,800. c 7aijCity of Beaumont Council Agenda Item TO: City Council FROM: Stephen J. Bonczek, City Manager PREPARED BY: Kyle Hayes, Executive Assistant to the City Manager MEETING DATE: December 18, 2001 AGENDA MEMO DATE: December 13, 2001 REQUESTED ACTION: Consider approval of an adjustment to compensation and a retirement benefit contribution for the City Manager for FY 2002. RECOMMENDATION The Administration recommends approval of a 3% salary adjustment effective July 5, 2001 and to continue the retirement contribution as in FY 2001. BACKGROUND The City Manager's employment conditions provide for an annual evaluation and consideration of any compensation adjustment by the City Council. Based on the annual performance review of the City Manager, Council has agreed to provide a 3%salary adjustment effective July 5,2001 and to continue the same retirement benefit contribution as in FY 2001. BUDGETARY IMPACT Funds are available in the FY 2002 Budget. PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Council. RECOMMENDED MOTION Approve/Deny a salary adjustment and a retirement contribution for the City Manager. D City of Beaumont •�• Council Agenda Item TO: City Council FROM: Stephen J. Bonczek, City Manager PREPARED BY: Kyle Hayes, Executive Assistant to the City Manager MEETING DATE: December 18, 2001 AGENDA MEMO DATE: December 13, 2001 REQUESTED ACTION: Consider approving a retirement benefit contribution for the City Clerk for FY 2002. RECOMMENDATION The Administration recommends approval of a retirement benefit contribution in the amount of $8,500 for the City Clerk for FY 2002. BACKGROUND The City Clerk's employment conditions provide for an annual evaluation and consideration of any compensation adjustment by the City Council. Based on the annual performance review of the City Clerk, Council has agreed to provide a retirement benefit contribution in the amount of $8,500. BUDGETARY IMPACT Funds are available in the FY 2002 Budget. PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Council. RECOMMENDED MOTION Approve/Deny a resolution providing a retirement benefit contribution for the City Clerk.