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HomeMy WebLinkAboutMIN SEP 05 1995 REGULAR SESSION CITY COUNCIL - CITY OF BEAUMONT HELD SEPTEMBER 5, 1995 - 1 :30 P.M. BE IT REMEMBERED that the City Council of the City of Beaumont, Texas, met in regular session this the 5th day of September, 1995, with the following present: HONORABLE: David W. Moore Mayor Becky Ames Mayor Pro Tern Councilman-At Large Andrew P. Cokinos Councilman-At-Large Lulu L. Smith Councilman, Ward I Guy N. Goodson Councilman, Ward II John K. Davis Councilman, Ward III Bobbie Patterson Councilman, Ward IV Ray A. Riley City Manager Lane Nichols City Attorney Rosemarie Chiappetta City Clerk -000- The Invocation was given by the Very Reverend William Manger, Saint Anne's Catholic Church. The Pledge of Allegiance was led by Mayor Moore. -000- One Proclamation was issued: "American Bowling Congress Week," September 3-9, 1995. -000- Citizen comment was invited on the Consent Agenda. No one wished to address these items. -000- The following Consent Agenda items were considered: Approval of the Minutes of the regular City Council session held August 29, 1995; 229 September 5, 1995 f Resolution No. 95-226 reapppointing Bill Geyser to the Plumbing and Mechanical Board of Review for a term expiring March 22, 1997 and Brenda Spivey to the Community Development Advisory Committee for a term expiring August 9, 1997; and appointing Ernest Wilson to the Transit Advisory Committee, Arthur Steve Harris and Pauline Mouton to the Community Development Advisory Committee, Charles Bullock and Milton Bell to the Board of Adjustment (Building) for terms expiring September 4, 1997; and Dick Humphrey to the Electrical Board of Review for a term expiring September 4, 1998; Resolution No. 95-227 authorizing acquisition of Lot "A," Block 9, Leonard Addition for the appraised value of $5,800.00 from Emma Mae Baugh for the Charlton Pollard Neighborhood Revitalization Project, Phase I; Resolution No. 95-228 authorizing acquisition of Parcel 33: 0.359 of an acre out of Lot 7, Block 7, of Wescalder Fig Acres Addition from Terry Audilet for the appraised value of$10,416.00 and Parcel 52: 0.961 of an acre of Lots 11, 12 and 13, Block, 1 of Wescalder Fig Acres Addition from J. Alfred Frazier and T. B. Frazier for the appraised value of$11,532.00 for improvements to FM 364/Major Drive from Highway 105 to State Highway 124; and Resolution No. 95-229 authorizing settlement of the lawsuit of Paul Van Slyke, et ux v. City of Beaumont in the amount of$11,000.00. The Consent Agenda was approved on a motion made Councilman Cokinos and seconded by Councilman Smith. Question: Ayes: All Nayes: None -000- Mayor Moore announced that an executive session wil be held in accordance with Section 551.074 of the Government Code to discuss appointment, employment, evaluation, reassignment, duties, discipline, or dismissal of a public officer or employee: specifically, Assistant Fire Chief, following the regular session of City Council. -000- A public hearing was opened for the proposed 1995-96 fiscal year year budget in the amount of$117,959,800 (General Funds -$69,270,900; Enterprise Funds -$24,092,500; Special Revenue Funds - $10,017,900; and Internal Service Funds - $14,578,500) and the proposed five-year Capital Program. Ms. Barbara Knight, Executive Director of the Southeast Texas Arts Council, addressed Council regarding their request for continued funding in the amount of $132,000, reviewed their 230 September 5, 1995 organizational program and the enhancements to the quality of life provided in Beaumont through the art programs and asked representative present from the organizations receiving funding to stand for recognition. Mr. Frank Hinchey, 3910 Cypress Point, addressed Council in opposition to the budget funded by a tax increase, asked the City Manager to resubmit a budget without a tax increase and asked Council to commit to operating within the present budget limits. Mr. Louis Vaughn, 2475 Ranier, addressed Council in opposition to a tax increase, expressed his view about the County, City and School District raising taxes, asked that these entities together consider the effect of the increases, especially on low income families in blighted areas, and complained of people living outside the city using Beaumont facilities, such as the Imagination Station playground, and not paying their fair share. Mr. David Grove, 250 East Circuit, addressed Council in appreciation for past and present support of the Beaumont Heritage Center (formerly Society), spoke of their increased and diverse membership, said they are reaching beyond Beaumont and reviewed some of their program activities. The Reverend Roy Malveaux of Mount Zion Baptist Church addressed Council as a representative of the South Park area of Beaumont to complain about stagnant water, drainage, lack of gutters and bus stops, uncut grass, unkempt City-owned property, devaluation of property, and said to ask for a tax increase is "almost criminal" and "taxation without representation" and asked Council to reconsider levying a tax increase. Mayor Moore acknowledged that two public hearings were set for today--the first regarding the budget and capital program and the second regarding a proposed $0.25 per $100 tax increase-- and that both items have already been addressed by some speakers and confirmed with Legal Counsel that both may be addressed simultaneously and officially opened the two public hearings. Mr. Bruce Irvine, representing BUILD and Main Street Beaumont, thanked Council for taking steps toward removal of the LaSalle Hotel and asked Ms. Carolyn Howard, Director of U. S. Main Street, to comment. Ms. Howard thanked Council for their support, spoke about the addition and benefits of the U. S. Postal remote encoding center, the net gain of nineteen business starts in Downtown Beaumont since 1992, about private reinvestment and building acquistion and improvement and the possibility of the first upper floor housing development. Mr. Irvine announced that with the demise of the LaSalle Hotel, a promotional opportunity emerged as a fundraising activity. With the professional help of Mr. Tom Bell and Ms. Debra Goetschius, he said tickets will be sold, the winner will assist in pushing the button for the implosion of the hotel and proceeds will be donated to BUILD, Inc. for future downtown development, the downtown beautification project and the revolving loan fund. 231 September 5, 1995 Mrs. Pat Henderson, 970 Saxe, thanked Council for considering Phase I of the South Park Drainage Program in the five-year Capital Program, acknowledged members present from the South Park Neighborhood Association, and expressed appreciation for the effort made to put the South Park drainage project on a priority list and encouraged passage of the budget. There being no one else desiring to address either public hearing subject, the public hearings were closed. Mayor Moore stated that he is, as is the entire Council, very sensitive to taxes. He said this is one of the first times this Council has raised taxes in a number of years, said there was a 1/2 cent decrease two years ago and held constant the previous year. He reiterated that as previously explained, we're now paying for debt service for projects commited to the community as far back as 1980. He said the sales tax is a mechanism in place to assure that everyone coming to Beaumont pays their fair share as addressed earlier, and that the sales tax played a great part in being able to previously cut the property tax rate and this proposed tax increase addresses debt service alone. Mayor Moore said he appreciates everyone's comment, but said it is important to "address where we are, where we've been and what we're trying to do," and said no one on Council ever wants to raise taxes, but does have a committment to meet the debt service and explained that Council has discussed this issue for the past two or three years. Mayor Moore invited other Councilmembers to add comments. Councilman Cokinos congratulated the City Manager and Staff for efforts made in reducing the proposed tax increase from $0.035 to $0.025, but said that belts need to be tightened more and again suggested dispensing with the services of the paid lobbyist in Washington at $60,000 per year and said the travel budget of Council is voluminous and could be decreased. He added that an Assistant City Manager is not necessary and thanked the Manager for not included that $75,000 position in his budget and said the two executive assistants are doing a good job. Councilman Cokinos said he would vote against any proposed tax increase or a budget based on a tax increase. Councilman Goodson said that some citizens might not know that in a workshop, Council heard from Staff that the increase is not for operational expenses of the general government, but is $0.025 toward debt service and the amoritization schedule for bonds have been ordered such that we have an increase of over $1 million dollars in our debt service requirement this year and through the balance of this decade into the year 2002. He said this recommended $0.025 increase will not cover the entire cost of the debt service increase and about $330,000 of accumulated fund balance projected over a five year period will be used to meet that obligation. Councilman Goodson said he thinks it is important that citizens understand this is not on the general government side, but an increase on the debt service side. Mayor Pro Tem Ames added that the debt service was totally used for capital expenditures such as street improvements, not service related items, and that Council is holding the line on those 232 September 5, 1995 items. She said everyone wants better drainage, better parks and better streets and that is what these monies have been used for in the past ten years. Councilman Smith stated that if we take too much from the reserves of our debt fund, the next time we attempt to issue bonds, our rating will decline, and said we need to remain cognizant of this fact and not use our reserve funds. She said we have known since 1987 that 1996 was the year when we would pick up over a million dollars of bond financing. She said our debt service is over $10 million and thinks we have to be strong, keep our reserves up and thinks a tax increase is essential even though Council may be uncomfortable with making that decision. Mayor Moore affirmed that we do need to keep our bond rating status and questioned the debt ratio to reserves before endangering the bond rating. The City Manager replied that no less than 15% should be maintained, 20% is desirable, and the schedule presented this past week would maintain a minimum of 20% of reserves against total debt service. Councilman Davis said that a tax increase is probably one of the toughest decisions Council has to make, his concern is how the capital program works, said he sees a lot of valid points for an increase, but still goes back to the capital improvement program, and in particular Concord Road. He asked the City Manager, if he voted to support a tax increase for this year's debt service, would that guarantee that Concord Road would be a project that would move from an unfunded to a funded category? The City Manager explained that it would not. He said the vote with regard to Concord Road is really the vote to approve the capital improvement program with the inclusion of Concord Road and also the South Park project. Councilman Davis said he appreciates the time Staff has spent and as a Councilman this decision is very hard and difficult for him. He said everytime conversation about a tax increase comes up, he is asked by constituents when will projects they want be addressed. Councilman Davis said that the Reverend Malveaux "kind of hit it on the nose as it pertains to poor people" and what they perceive to be their fair share of the allocation of City funds. He said he has not made a decision about supporting the tax increase, said he understands some of the presented details, yet even if he supports this increase, Concord Road remains an unfunded program without a guarantee the project will ever be completed. He said this is a very important issue for him, not only for the road, but what construction does to erase blight and the committment the City made in 1980. He said it is important this project be completed and the promise fulfilled and would appreciate any new or additional information that he can receive in the next week to help him reach a decision. The City Manager clarified that a tax increase has never been related to a future or potential project, but is related to those already constructed, in place and been there for a number of years. 233 September 5, 1995 He said the tax increase is for existing debt service, not for future debt service. Therefore, in regards to projects such as Concord Road or South Park drainage, there will not be a tax increase at this time, but potentially could be upon their completion and depending on the debt service at that time. He said there will be an expense when those projects are constructed and what impact it will have on future debt service will only be determined at the time of completion of the projects and then money is borrowed to pay for cost of the construction. Again, Mr. Riley reiterated the proposed $0.025 increase is for debt service committed in 1987 for projects constructed prior to that time. Further Council discussion included clarification of the procedure to begin the South Relief Project relative to this budget, the possibility and difficulty in proposing another tax increase if the Concord Road Project is completed, further explanation of choosing and prioritizing projects, Federal or State matching funds and bond issuances, inflation costs, and the necessity of sometimes reprioritizing projects to meet the greatest need of the citizenry. -000- Councilman Davis thanked the Public Works Department for the timely responses to many of the great number of inquiries and complaints he referred to them last month. Councilman Patterson said that during the three months she has served on Council she has learned a lot with the help of City Staff and Councilmembers and thanked them for their assistance. She announced that the kickoff of"Operation One-Vote" will be held at the L. L. Melton YMCA at 7:00 p.m. Thursday, and endeavor to increase voter registration and impress the importance of one vote. Mayor Moore congratulated the community for all the hard work during the Labor Day Weekend MDA fundraiser, said a number of young people worked on this project that raised $400,000 from the area for Muscular Dystrophy. Mayor Moore thanked Council, the City Manager and Staff for their efforts in working through this budget process, said there is never enough money to fund all the desired projects, but Council will continue trying to meet the needs of those that require the greatest attention first for the community. -000- Mr. Louis Vaughn, 2475 Ranier, addressed Council to complain about the deplorable condition of Eleventh Street between Washington Boulevard and Fannett Road. Mr. Vaughn said a large crew worked on that portion of the street last year for about four or five day on temporary repairs, but permanent reconstruction is needed on that street as well as the side streets. Also, he said that the news media should be more sensitive in their reporting, that issues such as the arrests on Fourth Street are magnified by the media and bring more attention than necessary to the incident. Mr. Vaughn cited various news items and said that unslanted news should be reported. 234 September 5, 1995 Mr. Don Green, 3750 Morningside, addressed Council to complain that the owner of the cemetery at Pine and Hale Streets is not living up to the Specific Use Permit requirements issued two years ago and said Mr. Taft is trying to purchase property much below the market value. Mayor Moore instructed Mr. Green to compile a complete list of the violations and meet with the City Attorney or the Planning Director. Councilman Davis said he has had conversations with Mr. Taft and offered to meet with Mr. Green. Mr. Frank Hinchey, 3910 Cypress Point, addressed Council to ask that Council control taxes, said not to underestimate citizens, taxation is a major concern and said there are ways to improve government and to do business. Mrs. Novell Cagle, 1820 Turon, addressed Council to complain about needed street repairs, ditches, high grass, dilapidated structure that needs to be demolished and teen drug users. Councilman Davis asked Mrs. Cagle to meet with him after Council to discuss her complaints. -000- There being no other business, the regular session of City Council was recessed to reconvene in executive session. -000- 1, Rosemarie Chiappetta, City Clerk of the City of Beaumont, Texas, certify that the above is a true copy of the Minutes of the regular City Council session held September 5, 1995. Rosemarie Chiappetta City Clerk 235 September 5, 1995