HomeMy WebLinkAboutMIN APR 25 2006 M I N U T E S - CITY OF BEAUMONT
Lulu L. Smith,Ward I GUY N. GOODSON, MAYOR Nancy Beaulieu,Ward II
Andrew P. Cokinos, At-Large CITY COUNCIL MEETING Becky Ames,At-Large
Audwin Samuel, Mayor Pro Tem,Ward III April 25, 2006 Bobbie J. Patterson, Ward IV
Tyrone E. Cooper, City Attorney Kyle Hayes, City Manager Rose Ann Jones, City Clerk
The City Council of the City of Beaumont, Texas, met in a regular session on April 25, 2006, at
the City Hall Council Chambers, 801 Main Street, Beaumont, Texas, at 1:30 p.m. to consider the
following:
OPENING
Invocation Pledge of Allegiance Roll Call
Presentations and Recognition
Public Comment: Persons may speak on scheduled agenda items 1-9/Consent Agenda
Consent Agenda
Mayor Goodson called the council meeting to order at 1:30 p.m.
Reverend Robert Sanders of the St. Paul AME Church gave the invocation. Councilmember
Beaulieu led the Pledge of Allegiance. Roll call was made by Rose Ann Jones, City Clerk.
Present at the meeting were Mayor Goodson, Mayor Pro Tern Samuel, Councilmembers Smith,
Beaulieu,Ames and Patterson. Absent: Councilmember Cokinos. Also present were Kyle Hayes,
City Manager; Tyrone Cooper, City Attorney; Rose Ann Jones, City Clerk.
Proclamations, Presentations, Recognitions
Recognition: Patty Williams with Communities in Schools. She brought with her
students in the program who attend Austin Middle School, MLK Middle School and Smith
Middle School. They are studying Social Studies and History and were here to observe
City government.
"National Volunteer Week" -April 23 - 29, 2006 - Proclamation read by Councilmember
Smith; accepted by Mack Mitchell with the Golden Triangle RSVP
"National Crime Victim's Rights Week" - April 23 - 29, 2006 - Proclamation read by
Mayor Goodson; accepted by Cindy Fertitta, Educational Coordinator for Rape & Suicide
Crisis of Southeast Texas
Public Comment: Persons may speak on scheduled agenda items 1-9/Consent Agenda.
Jude Paredez 10620 Gladys Road Beaumont TX
Item #1: Against smoking ban
Minutes-April 25,2006
Jason Marshburn 7220 Bythewood Road Beaumont TX
Item #6: Against the purchase and replacement of traffic signals; feels that 4 way stop
signs would be more cost effective and safer for the drivers
Bob Wilson 2 Ballock Pines Houston TX
Item #1: Against smoking ban in pool halls and bars
Shimon Kaplan 1524 Bryant Way Beaumont TX
Item #1: Against smoking ban
Loretta Guillory 2495 Wilson Street Beaumont TX
Item #6: Concerned about street lights
Bruce Hoffer 2615 Gladys Beaumont TX
Item #1: Supports 100% smoking ban even in the parks
Gay-Lynne Jones 9380 Shepherd Beaumont TX
Item #1: Supports smoking ban
Fred Burlbaw 1803 Ponderosa Trail Beaumont TX
Item #A: Against the awarding of the bid for the purchase of pneumatic pipe bursting for
the Water Department
CONSENT AGENDA
Approval of minutes - Minutes of April 18, 2006
Confirmation of committee appointments - None
A) Approve a bid for the purchase of one (1) pneumatic pipe bursting unit for use in the Water
Department - Removed from Consent Agenda [see after Item 9]
B) Approve the purchase of a Bill Folder/Inserter for use in the Water Customer Service
Division - Removed from Consent Agenda [added to Item 3]
C) Approve the purchase of mobile computer mounting hardware for use in Police, Fire and
EMS vehicles - Resolution 06-114
D) Approve the purchase of night vision equipment for use in the Police Department -
Resolution 06-115
Page 2 of 15 Minutes-April 25,2006
E) Authorize the City Manager to execute a Site Release Form with DRC Emergency
Services, LLC regarding the Hurricane Rita debris reduction site at the Beaumont
Municipal Airport - Resolution 06-116
F) Authorize the acceptance of a ten foot(10')wide water line easement providing access for
fire prevention services - Resolution 06-117
G) Authorize the City Manager to amend the Administrative Service Agreement for the ICMA
457 Deferred Compensation Plan - Resolution 06-118
Councilmember Ames made a motion to approve the Consent Agenda Items C-G. Mayor
Pro Tem Samuel seconded the motion.
AYES: MAYOR GOODSON, MAYOR PRO TEM SAMUEL, COUNCILMEMBERS
SMITH, BEAULIEU,AMES AND PATTERSON
NAYS: NONE
MOTION PASSED
GENERAL BUSINESS
1. Consider passing one of three ordinances relating to the prohibition of smoking in
specific public places - Ordinance 06-022
The purpose of this ordinance is to protect the public's health and welfare by
prohibiting smoking in public places and places of employment and to guarantee the
right of non-smokers to breathe smoke-free air.
The three versions which are submitted for your consideration include a 100% ban
of smoking in all public places. "Public places" is defined as any enclosed area or
portion thereof that is accessible by the public or to which the public is admitted by
general invitation. This definition includes any enclosed work place.
The second ordinance,which has been referred to as the"less than 100%version,"
generally prohibits smoking in public places with exception made for smoking in
designated areas. It allows smoking in restaurants and bars if the owner and/or
operator secures a smoking permit, prohibits admission of persons under the age
of 18 unless accompanied by a parent or legal guardian, and the designated area
is fully enclosed and equipped with a separate air conditioning system and
separated from a dining area by an impermeable wall. These facilities would be
inspected and permits renewed by the Health Department on an annual basis.
Version three ensures that eating places are 100% smoke-free and allows smoking
in drinking places or bars. This version also requires the owner and/or operator to
secure a permit and, as a condition of the issuance of the permit, the establishment
must prohibit admission to persons under the age of 18 unless accompanied by a
parent or legal guardian.
Page 3 of 15 Minutes-April 25,2006
it
A public hearing was held on March 21, 2006 to give the community the opportunity
to comment on smoking ordinances.
The effective date of this ban will be August 1, 2006.
Councilmember Beaulieu made a motion to ADOPT ORDINANCE 06-022 ENTITLED AN
ORDINANCE ENACTING A NEW CHAPTER FOUR OF THE CODE OF ORDINANCES REGULATING
SMOKING IN PUBLIC PLACES;CREATING OFFENSES; PROVIDING PENALTIES;PROVIDING FOR
SEVERABILITY; PROVIDING FOR REPEAL; AND PROVIDING AN EFFECTIVE DATE.
Councilmember Ames seconded the motion.
AYES: COUNCILMEMBERS SMITH, BEAULIEU,AMES AND PATTERSON
NAYS: MAYOR GOODSON, MAYOR PRO TEM SAMUEL
MOTION PASSED
2. Consider approving a contract for property insurance - Resolution 06-119
Administration recommended the award of a bid to McGriff, Seibels&Williams, Inc.
of Dallas, Texas for a one (1) year fire, extended coverage, flood and quake
property insurance policy effective May 1, 2006. The annual premium of
$1,062,958 includes an all risk peril policy with a loss limit of$108,473,207, Boiler
and Machinery coverage, Electronic Data Processing (EDP) equipment and
Terrorism coverage.
This past year's substantial losses in coastal areas due to Hurricanes Katrina, Rita
and Wilma have resulted in reduced insurance coverage and increased premiums
to coastal customers. Frost Insurance of San Antonio and McGriff, Seibels and
Williams of Dallas provided numerous cost quotations with varying degrees of
coverage. After considerable review and evaluation, it was determined that the
coverage to be provided by the City's current carrier, McGriff, Seibels and Williams
was the most comprehensive. The proposal submitted by Frost Insurance
Company was more expensive, contained higher deductibles and did not provide
coverage for the total insured value.
The scheduled deductibles offered in the selected insurance plan are as follow:
Fire $50,000
Windstorm/Hail $75,000 per occurrence. Maximum Limit per structure is
through the Texas $2,192,000. Excess at 5% of Total Insured Value of structure
Windstorm Insurance per location subject to $250,000 per occurrence minimum.
Association (TW IA)
Flood $250,000
Flood - Flood Zone A 5% of TIV per location subject to $1,000,000 per occurrence
Flood Hazard (Areas of 100 Year Flooding)
Boiler and Machinery $25,000
Page 4 of 15 Minutes-April 25,2006
I
The current policy through McGriff, Seibels and Williams provided a maximum
$500,000 deductible for all losses incurred from Hurricane Rita. To date, damage
claims filed for city buildings and facilities total approximately $12,000,000. The
premium for the policy expiring April 30, 2006 was$255,676. There were no claims
filed in excess of $2,192,000 for any of the City's damaged structures. Damage
claims were filed on 118 buildings or facilities as a result of Hurricane Rita.
The policy begins May 1, 2006 and expires May 1, 2007.
Funds are available in the Building Services Division's operating budget. Additional
funds to cover the increased premium are available in the General Fund from
increases in sales tax revenue.
Councilmember Beaulieu made a motion to APPROVE RESOLUTION 06-119 THAT THE
BID SUBMITTED BY MCGRUFF, SEIBELS & WILLIAMS, INC. OF DALLAS, TEXAS, FOR AN
ANNUAL PREMIUM IN THE AMOUNT OF $1,062,958 FOR A ONE (1)YEAR FIRE, EXTENDED
COVERAGE,FLOOD AND QUAKE PROPERTY INSURANCE POLICY EFFECTIVE MAY 1,2006 TO
MAY 1, 2007 BE ACCEPTED BY THE CITY OF BEAUMONT. Councilmember Ames
seconded the motion.
AYES: MAYOR GOODSON, MAYOR PRO TEM SAMUEL, COUNCILMEMBERS
SMITH, BEAULIEU,AMES AND PATTERSON
NAYS: NONE
MOTION PASSED
3. Consider amending the FY 2006 Budget to increase expenditures in the Water
Utilities Fund - Ordinance 06-023
Administration recommended that Council amend the FY 2006 Budget to include
$1,906,147 for FY 05 water projects that are being completed in FY 06 and $30,000
to purchase a new high capacity envelope feeder for Water Customer Service.
Approving the proposed amendments will preclude the City from having
expenditures in excess of appropriations.
The proposed FY 2006 Budget amendment will increase total appropriations by
$1,936,147. Sufficient fund balance is available to cover the increase in
appropriations where the fund's revenues are not able to fully sustain these
appropriations due in part to the fact that$1,906,147 of appropriations was unspent
in the FY 2005 Budget.
No prior FY 2006 Budget amendments have been proposed or approved.
Councilmember Smith made a motion to ADOPT ORDINANCE 06-023 ENTITLED AN
ORDINANCE AMENDING THE BUDGET OF THE CITY OF BEAUMONT FOR THE FISCAL YEAR
2005/2006 TO ALLOCATE$1,936,147 FROM THE FUND BALANCE TO THE WATER UTILITY
FUND; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR REPEAL. Councilmember
Beaulieu seconded the motion.
Page 5 of 15 Minutes-April 25,2006
AYES: MAYOR GOODSON, MAYOR PRO TEM SAMUEL, COUNCILMEMBERS
SMITH, BEAULIEU,AMES AND PATTERSON
NAYS: NONE
MOTION PASSED
4. Consider authorizing the City Manager to execute an amendment to the
Management and Concession Agreement with the Beaumont Yacht Club -
Resolution 06-120
Administration recommended amending the 1998 Management and Concession
Agreement with the Beaumont Yacht Club to address the losses caused by
Hurricane Rita.
On October 1, 1998 the City entered into a Management and Concession
Agreement with the Beaumont Yacht Club(BYC)for its operation of the City's public
marina. The marina is located on approximately 30 acres of city-owned riverfront
property north of Interstate 10. The City invested about $1,000,000 in marina
improvements in 1999, bringing past and present investment to just over
$1,500,000. Because the facilities are income producing, the City was to recover
its investment from the BYC. A payment schedule was established that provided
monthly installments over a 15-year term from BYC's operating revenues. Timely
payments were made until September, 2005.
On September 24, 2005 Hurricane Rita hit the Beaumont area and caused
extensive damage at the marina. The damage was almost exclusively to 73
uninsurable older storage stalls,which happened to generate considerable income
for the BYC. There was no loss to the newer facilities - docks, wet storage, dry
storage building - which are of high value and completely insured. City staff has
applied for FEMA assistance, but there are no cost-efficient means to rebuild the
destroyed dry storage stalls with federal funds and meet the mitigation
requirements. Therefore, the subsequent economic recovery for this loss will be
directed to another eligible project, except for the funding to clean up the property.
The current Agreement requires payments of approximately $11,200 per month.
Because of the loss of a considerable amount of its income, the BYC payment
capacity has been significantly reduced. To remain viable, the BYC is requesting
an amendment to the existing Agreement in which the monthly installments would
be reduced to $7,500.
Given existing conditions, amending the Agreement to provide for payments of
$7,500 per month, effective January 1, 2006 through June 30, 2015 when the
current Agreement expires, seems prudent. Staff is also proposing that this action
bring the Yacht Club current and that credit against the monthly payment be given
for clean up expenses incurred by the Yacht Club, which are ultimately covered by
FEMA. This action will assist and serve the needs of both the BYC and the City.
The remaining terms and conditions of the Agreement will remain unchanged.
There is no substantive budgetary impact created by this action.
Page 6 of 15 Minutes-April 25,2006
Mayor Pro Tern Samuel made a motion to APPROVE RESOLUTION 06-120 THAT THE
CITY MANAGER IS HEREBY AUTHORIZED TO EXECUTE AN AMENDMENTS TO THE
MANAGEMENT AND CONCESSION AGREEMENT WITH THE BEAUMONT YACHT CLUB REDUCING
ITS MONTHLY INSTALLMENTS TO $7,500 PER MONTH EFFECTIVE JANUARY 1, 2006
THROUGH JUNE 30,2015 AND THAT THIS ACTION WILL BRING THE BEAUMONT YACHT CLUB
CURRENT IN ITS PAYMENTS AND THAT CREDIT AGAINST THE MONTHLY INSTALLMENT WILL
BE DIRECTED TO CLEANUP EXPENSES INCURRED BY THE BEAUMONT YACHET CLUB.
Councilmember Ames seconded the motion.
AYES: MAYOR GOODSON, MAYOR PRO TEM SAMUEL, COUNCILMEMBERS
SMITH, BEAULIEU,AMES AND PATTERSON
NAYS: NONE
MOTION PASSED
5. Consider approving a one (1) year contract for the purchase of corrugated
polyethylene pipe for use in the Public Works Department - Resolution 06-121
Administration recommended award of a contract for purchasing corrugated
polyethylene pipe to Coburn Supply.
The contract specifies that the successful bidder shall provide approximately 12,400
feet of various size corrugated polyethylene pipe at fixed unit costs for one (1)year
from date of award for use by the Public Works Department, Streets and Drainage
Division. The total estimated expenditure is $164,710 for the contract period. The
award is to the overall low bidder and not the low bidder per item in order to
streamline the procurement process for the user department. This will eliminate
complications which could arise from a multiple vendor award.
The pipe is utilized by the Street and Drainage Division to replace driveway culverts
during cleanout of City ditches. Existing pipe which is damaged, improperly sized,
or not set at correct grade is replaced as needed.
Funds are available for this expenditure in the Streets and Drainage Division's
operating budget.
Council member Ames made a motion to APPROVE RESOLUTION 06-121 THATTHE BID
SUBMITTED BY COBURN SUPPLY OF BEAUMONT,TEXAS,IN THE AMOUNT OF$164,710 FOR
A ONE(1)YEAR CONTRACT FOR THE PURCHASE OF CORRUGATED POLYETHYLENE PIPE FOR
USE BY THE PUBLIC WORKS DEPARTMENT,STREETS AND DRAINAGE DIVISION BEACCEPTED
BY THE CITY OF BEAUMONT. Councilmember Patterson seconded the motion.
AYES: MAYOR GOODSON, MAYOR PRO TEM SAMUEL, COUNCILMEMBERS
SMITH, BEAULIEU, AMES AND PATTERSON
NAYS: NONE
MOTION PASSED
Page 7 of 15 Minutes-April 25,2006
6. Consider authorizing an interlocal agreement for the purchase and installation of
traffic signal retrofits - Resolution 06-122
Administration recommended the authorization of an interlocal purchasing
cooperative agreement with the City of Garland, Texas for the purchase and
installation of traffic signal retrofits for the unit prices indicated below from Republic
Electric of Colleyville, Texas.
The City of Garland has awarded a contract to Republic Electric in compliance with
bidding requirements of the State of Texas to provide and install traffic signal retrofit
equipment. Terms and conditions of the contract extend prices and volume
discounts to other governmental entities as permitted under Chapter 791 of the
Texas Government Code. Participation in the contract requires a joint purchasing
interlocal cooperative agreement between the governmental entities. A copy of the
agreement is attached for review.
Many traffic signals in Beaumont currently operate incandescent lamps. The
Transportation Division has been replacing damaged and inoperable incandescent
signal heads as needed with new signal heads that use Light-Emitting Diode (LED)
technology. LED lamps dramatically reduce power consumption by burning brighter
using less powerthan an incandescent lamp. LED lamps also reduce maintenance
costs because they have an average life span of ten (10) years, whereas a typical
incandescent lamp has an average life span of only one (1) year.
The traffic signal LED retrofit components offered by Republic Electric convert
existing signal heads from incandescent to LED lamps without the expense of
replacing the entire signal head. Under the terms of the contract, Republic Electric
offers prices to provide all labor and equipment required to install the LED retrofit
components:
Funding will be provided by a lease purchase agreement in the amount of
approximately $216,859.27.
Councilmember Beaulieu made a motion to APPROVE RESOLUTION 06-122 THAT THE
CITY MANAGER IS HEREBY AUTHORIZED TO EXECUTE AN INTERLOCAL PURCHASING
COOPERATIVE AGREEMENT WITH THE CITY OF GARLAND,TEXAS TO ENABLE THE PURCHASE
AND INSTALLATION OF TRAFFIC SIGNAL RETROFITS FOR THE UNIT PRICES FROM REPUBLIC
ELECTRIC OF COLLEYVILLE, TEXAS. Councilmember Ames seconded the motion.
AYES: MAYOR GOODSON, MAYOR PRO TEM SAMUEL, COUNCILMEMBERS
SMITH, BEAULIEU, AMES AND PATTERSON
NAYS: NONE
MOTION PASSED
7. Consider approving a requestforan HC-L(Historic Cultural-Landmark Preservation)
designation for the house at 2106 Hazel - Ordinance 06-024
Administration recommended approval of the requestforan HC-L(Historic Cultural-
Landmark Preservation) designation for the house at 2106 Hazel.
Page 8 of 15 Minutes-April 25,2006
Patricia A. Hotalen, the property owner, is requesting an HC-L (Historic Cultural-
Landmark Preservation) Designation for the house at 2106 Hazel.
The residence was built in 1907 by T.V. Smelker. Mr. Smelker was a partner in
several prominent real estate and insurance companies in Beaumont in the early
1900's. The house was designed by Henry Conrad Mauer who was a prominent
architect in Beaumont in the early and mid 1900s. Mr. Mauer's work influenced the
development of Beaumont in the early oil boom days by designing numerous
mansions such as the McFaddin-Ward House, Weiss House, C.T. Heisig House,
Hinchee House, Chambers House and a number of public buildings.
The residence exhibits distinguishable Victorian or Neo-Colonial characteristics.
Architectural elements significant to the early 1900 period residence are the
gingerbread, columns, siding, Palladian window, numerous large windows, porch,
tile roof and servants quarters/carriage house.
The Smelkers made major changes to the house in 1929. While the house is nearly
100 years old, it still exists much like when the Smelkers owned it. It has not
undergone significant structural changes since the 1920s. All of the house's
additions and modifications were made in the early 1900s by the Smelkers.
The house is listed in the 1990 SPARE Beaumont survey and is considered a
contributing structure to the Oaks Historic District.
At a Regular Meeting held April 10, 2006, the Historic Landmark Commission voted
8:0 to approve the request for an HC-L (Historic Cultural-Landmark Preservation)
designation for the house at 2106 Hazel.
At a Joint Public Hearing held April 17, 2006, the Planning Commission voted 9:0
to approve the request for an HC-L (Historic Cultural-Landmark Preservation)
designation for the house at 2106 Hazel.
Councilmember Ames made a motion to ADOPT ORDINANCE 06-024 ENTITLED AN
ORDINANCE AMENDING CHAPTER 30 OF THE CODE OF ORDINANCES OF BEAUMONT,TEXAS,
AND IN PARTICULAR THE BOUNDARIES OF THE ZONING DISTRICTS,AS INDICATED UPON THE
ZONING MAP OF BEAUMONT, TEXAS, BY ESTABLISHING AN HC-L (HISTORICAL-CULTURAL
LANDMARK PRESERVATION) DESIGNATION FOR PROPERTY LOCATED AT 2106 HAZEL,
BEAUMONT,JEFFERSON COUNTY,TEXAS; PROVIDING FOR SEVERABILITY; PROVIDING FOR
REPEAL AND PROVIDING A PENALTY. Councilmember Smith seconded the motion.
AYES: MAYOR GOODSON, MAYOR PRO TEM SAMUEL, COUNCILMEMBERS
SMITH, BEAULIEU, AMES AND PATTERSON
NAYS: NONE
MOTION PASSED
8. Consider approving a request to abandon a 60' x 274' portion of Porter Street
between Hemlock and Sycamore - Ordinance 06-025
Page 9 of 15 Minutes-April 25,2006
Administration recommended approval of the request to abandon a 60' x 274'
portion of Porter Street between Hemlock and Sycamore.
Willie D. Brown, the applicant and an adjacent homeowner, is requesting an
abandonment of a 60' x 274' portion of Porter Street. This part of Porter Street is
located east of Hemlock and west of Carroll Street. The subject property is
landlocked right-of-way that was never developed as a street. According to Mr.
Brown, the right-of-way is filled with trees uprooted by Hurricane Rita, debris and
trash that is hazardous to the surrounding properties.
This item was sent to all interested parties. No negative responses were received.
At a Regular Meeting held April 17, 2006, the Planning Commission voted 9:0 to
approve a request to abandon a 60' x 274' portion of Porter Street between
Hemlock and Sycamore.
Councilmember Smith made a motion to ADOPT ORDINANCE 06-025 ENTITLED AN
ORDINANCE ABANDONING A 60 x 274 PORTION OF PORTER STREET BETWEEN HEMLOCK
AND SYCAMORE IN THE CITY OF BEAUMONT,JEFFERSON COUNTY,TEXAS. Mayor Pro Tern
Samuel seconded the motion.
AYES: MAYOR GOODSON, MAYOR PRO TEM SAMUEL, COUNCILMEMBERS
SMITH, BEAULIEU, AMES AND PATTERSON
NAYS: NONE
MOTION PASSED
9. Consider approving a settlement agreement with CenterPoint Energy- Resolution
06-123
Administration recommended the approval of a Settlement Agreement with
CenterPoint.
CenterPoint filed a Statement of Intent with the City on June 30, 2005. CenterPoint
maintained that the City should grant the increase as previously ordered by the
Railroad Commission for its customers in the unincorporated areas. This was the
first time a gas utility had filed a rate increase request at the Railroad Commission
for the unincorporated areas prior to filing such a request with the municipalities in
its service territory. The Railroad Commission order was issued without any
interventions and without any testimony being filed other than CenterPoint's
testimony.
The City of Beaumont is part of a coalition of cities known as the Alliance of
CenterPoint Municipalities ("ACM"). The ACM Cities maintained that CenterPoint
failed to publish notice of its increase in rates as required by statute. The ACM
Cities ordered CenterPoint to properly publish notice of its increase in rates as
required by law. CenterPoint failed to comply with these orders. CenterPoint filed
Page 10 of 15 Minutes-April 25,2006
an updated rate filing package. CenterPoint refused to answer any discovery about
the updated rate filing package even though ordered to do so by the ACM Cities.
On November 3, 2005, CenterPoint implemented its increased rates Statement of
Intent. The ACM Cities ordered CenterPoint to cease and desist from charging the
higher rates. The cease and desist ordinances were appealed by CenterPoint to
the Railroad Commission.
Just a few days before the start of hearings at the Railroad Commission the
Settlement Agreement was hammered out. Without a settlement it was obvious that
the losing party would appeal the Commission decision. It is quite likely that the
appeal would not be exhausted for at least three years. The outcome of an appeal
could not be known with 100% certainty. In light of this uncertainty, the Settlement
Agreement is being brought to the Council for your consideration. The highlights
of the Settlement Agreement are set forth below.
Rate Reduction
The customer charge for residential customers is being reduced by$9.00 per year.
Protection Against Rate Increases
CenterPoint cannot raise base rates for any purpose over the next three years. This
means CenterPoint cannot raise rates due to any cost increases, including cost
increases resulting from: (a)hurricanes or weather events; (b)inflation or escalation
in the cost of goods or services; (c) escalation in the cost of labor or benefits; and
(d) the cost of the installation, relocation or replacement of pipes.
File With Cities First
After the expiration of the three-year rate freeze, CenterPoint can only raise base
rates if it first files with the ACM Cities. CenterPoint will not be permitted to file at
the Railroad Commission for a rate increase in the unincorporated areas before it
files with the ACM Cities.
Public Notice Must Be Specific and Meaningful
CenterPoint will not be allowed to file a general rate case without publishing notice
in a manner that is very similar to the public notice requirements set forth by the
ACM Cities in the "interim order" ordinance. The public notice will have to be in a
local newspaper. The notice will be conspicuous and give detailed information
about the increase in rates.
All Rate Case Expenses Will Be Borne by Shareholders
The rate case related expenses of CenterPoint and the expenses of attorneys and
consultants for the ACM Cities, up to$230,000,will be borne by shareholders. This
means that none of these costs will be borne by the ratepayers of CenterPoint.
Page 11 of 15 Minutes-April 25,2006
Payment for Other Claims
CenterPoint has agreed to pay the ACM Cities the sum of $414,000 for "other
claims." This sum will be distributed to the ACM Cities to be used as directed by the
individual city councils for the benefit of their citizens.
Councilmember Beaulieu made a motion to APPROVE RESOLUTION 06-123 TO ADOPT
A SETTLEMENT BETWEEN THE CITY AND CENTERPOINT ENERGY ENTEX("CENTERPOINT")
WITH REGARD TO CENTERPOINT'S STATEMENT OF INTENT TO INCREASE RATES WHICH WAS
FILED ON JUNE 30,2005 AND LATER UPDATED; DETERMINING THATTHIS RESOLUTION WAS
PASSED IN ACCORDANCE WITH THE REQUIREMENTS OF THE TEXAS OPEN MEETINGS ACT;
AND DECLARINGAN EFFECTIVE DATE. Councilmember Patterson seconded the motion.
AYES: MAYOR GOODSON, MAYOR PRO TEM SAMUEL, COUNCILMEMBERS
SMITH, BEAULIEU, AMES AND PATTERSON
NAYS: NONE
MOTION PASSED
B) Approve a bid for the purchase of one (1)pneumatic pipe bursting unit for use in the
Water Department - Removed from Consent Agenda
Following discussion by Council, it was decided to table this item until next
week.
10. PUBLIC HEARING: Dangerous Structures
Public comments were made by the following people who personally appeared and
requested additional time to make repairs to their property.
Tim Seymour 770 Elgie Beaumont TX
#11 - RE: 770 Elgie and Garage
Floyd Landrey 390 Park, Ste 500 Beaumont TX
#14 - RE: 850 S. 4th Street (commercial)
Ella Guidry 1750 Trinidad Beaumont TX
#30 - RE: 280 Manning
Joe Jarmon 2290 Taylor Beaumont TX
#37 - RE: 2290 Taylor
Zohreh Shadrodi 4024 Magnolia Beaumont TX
#29 - RE: 4024 Magnolia
Regina Jones-Lewis 6414 Bluestone Houston TX
Jerry Hartnett
#4 - RE: 6240 Bigner Road & Shed
Page 12 of 15 Minutes-April 25,2006
Linda Harris 4423 Dallas Beaumont TX
#8 - RE: 4423 Dallas & Sheds
Alberta B. Landry 7055 Shanahan Drive Beaumont TX
#13 - RE: 1995 Fillmore
Eddie Bates 52 N. 7th Street Beaumont TX
#5 - RE: 2510 Calder (Commercial)
Public Hearing was closed.
Consider approval of an ordinance declaring certain structures to be dangerous
structures and ordering their removal within 10 days or authorizing the property
owner to enroll the dangerous structure in a work program - Ordinance 06-026
Administration recommended City Council condemn thirty-nine (39) structures and
order the owner to raze within ten (10) days. Additionally, if the property owner of
a structure requests and is authorized by City Council to enroll in a work program,
all delinquent taxes shall be paid in full or a payment plan has been established
prior to the enrollment in the work program. Enrollment in the work program shall
occur within ten days after the effective date of this ordinance.
It has been determined that these structures meet the definition of a dangerous
structure and have deteriorated to a condition that they are no longer considered
suitable for repair.
City may incur the cost of demolition.
Mayor Pro Tern Samuel made a motion to remove item #14 (850 S. 4th Street -
Commercial) and item #30 (280 Manning) from the agenda item.
Councilmember Beaulieu seconded the motion.
AYES: MAYOR GOODSON, MAYOR PRO TEM SAMUEL, COUNCILMEMBERS
SMITH, BEAULIEU, AMES AND PATTERSON
NAYS: NONE
Mayor Pro Tern Samuel made a motion to ADOPT ORDINANCE 06-026 ENTITLED AN
ORDINANCE FINDING CERTAIN STRUCTURES TO BE PUBLIC NUISANCES AND ORDERING
THEIR DEMOLITION AND/OR REPAIR; PROVIDING FOR SEVERABILITY AND PROVIDING FOR A
PENALTY. Councilmember Beaulieu seconded the motion.
AYES: MAYOR GOODSON, MAYOR PRO TEM SAMUEL, COUNCILMEMBERS
SMITH, BEAULIEU, AMES AND PATTERSON
NAYS: NONE
MOTION PASSED
Page 13 of 15 Minutes-April 25,2006
COUNCILMEMBER COMMENTS
COUNCILMEMBER PATTERSON - NONE
MAYOR PRO TEM SAMUEL - NONE
COUNCILMEMBER AMES - NONE
COUNCILMEMBER BEAULIEU - COMPLIMENTED STAFF OF CODE ENFORCEMENT OFFICE
AND THE PLANNING OFFICE FOR SENDING
REPRESENTATIVES JOYCE TANNER,LOTS BALKA AND ANNA
VARELA TO THE SALLIE CURTIS NEIGHBORHOOD
ASSOCIATION; EVERYBODY APPRECIATED ALL THE HELP
THEY GAVE
COUNCILMEMBER SMITH - NONE
CITY ATTORNEY COOPER - NONE
CITY MANAGER HAYES - NONE
MAYOR GOODSON - APOLOGIZED FOR NOT BEING ABLE TO ATTEND THE SE TX
WORKFORCE LEADERSHIP SUMMIT BUT DOES APPRECIATE
THE EFFORTS BEING GIVEN TO IDENTIFY ISSUES WITH OUR
WORKFORCE AND TO ADDRESS THESE ISSUES AND TO
RECEIVE GOOD NEWS TO SEE IN THE NEWSPAPER THAT WE
WILL FINALLY NOT HAVE THE HIGHEST UNEMPLOYMENT RATE
IN THE STATE FOR THE MONTH OF MARCH; WILL BE OUT OF
THE OFFICE THIS THURSDAY AND FRIDAY TO SPEAK AT THE
SOUTHERN MUNICIPAL CONFERENCE ON PLANNING AND
THE AFTERMATH OF HURRICANE RITA
Public Comments (Persons are limited to three minutes)
Paul Sterling 9650 Arkansas Beaumont TX
Had some additional comments about his property and his request for additional time
Loretta Guillory 2495 Wilson Street Beaumont TX
Concerned about the street lights on Wilson Street
Alberta B. Landry 7055 Shanahan Drive Beaumont TX
Wanted to know if the walkway in front of the house would be repaired
Page 14 of 15 Minutes-April 25,2006
EXECUTIVE SESSION
Consider matters related to contemplated or pending litigation in accordance with Section
551.071 of the Government Code:
Shane Landry v City of Beaumont
Executive Session was cancelled. Regular meeting adjourned at 4:00 p.m.
Audio to es re available upon request in the City Clerk's Office.
U (D ��1
Guy N. Goodson, Mayor
`� V' P Lu .Bucexes y P
Rose Ann Jones, TR
City Clerk
N
Page 15 of 15 Minutes-April 25,2006