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08/10/2021 MIN
BEAUM © NT T E X A S MINUTES OF THE CITY OF BEAUMONT COUNCIL MEETING Albert"A.J." Turner Jr.,At-Large ROBIN MOUTON, MAYOR Randy Feldschau,At-Large Taylor Neild,Ward I CITY COUNCIL MEETING Michael Getz,Ward 11 Audwin Samuel, Mayor Pro Tem AUGUST 10, 2021 Chris Durio,Ward IV Tyrone Cooper, City Attorney Kyle Hayes, City Manager Tina Broussard, City Clerk The City Council of the City of Beaumont, Texas, met in a regular session in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551 on August 10, 2021, 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 Presentation and Recognition Public Comment: Persons may speak on items 1-9 Consent Agenda Mayor Mouton called the council meeting to order at 1:30 p.m. Pastor David Hudson with Scott Olive Baptist Church gave the invocation. Mayor Mouton led the Pledge of Allegiance. Roll call was made by Tina Broussard, City Clerk. Present at the meeting were Mayor Mouton, Councilmembers Durio, Getz, Turner, Feldschau and Neild. Absent: Councilmember Samuel. Also, present were Kyle Hayes, City Manager; Tyrone Cooper, City Attorney, Tina Broussard, City Clerk. Proclamations, Presentation, Recognitions Presentation — Dena Hughes, CEO TAN Healthcare "National Farmers Market Week" — August 9-13, 2021; Proclamation read by CouncilmemberTurner; accepting—Jerry McMillan,Vice President of the Board of Directors for the Beaumont Farmers Market Mayor Mouton read the announcement regarding Executive Session being held at the conclusion of the General Business portion of the meeting. Public Comment: Persons may speak on items 1-9 Alto Watson 2615 Gladys Beaumont TX Spoke regarding Item #8 on the agenda; Consider establishing and taking a record vote on the proposed 2021 tax rate and schedule a public hearing Minutes—August 10,2021 CONSENTAGENDA (Items placed on the Consent Agenda are considered routine in nature and are considered non-controversial. The Consent Agenda can be acted upon in one motion. A consensus of the Council is required to remove any item for discussion and separate action.) 1. Approval of the July 27, 2021, City Council Meeting Minutes 2. Approve a contract for the purchase of liquid chlorine for use in the Water Utilities Department - Resolution 21-182 3. Authorize the City Manager or his designee to execute a Memorandum of Understanding between the Beaumont Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives - Resolution 21-183 5. Approve a contract for the emergency repair of a storm sewer line at the Port of Beaumont- Resolution 21-185 Councilmember Feldschau moved to approve the Consent Agenda excluding Item #4. Councilmember Neild seconded the motion. AYES: MAYORMOUTON,COUNCILMEMBERS DURIO,GETZ,TURNER,FELDSCHAU AND NEILD NAYS: NONE MOTION PASSED 4. Authorize the City Manager to execute Change Order No. 1, accept maintenance, and authorize a final payment to Placo, Ltd. for the Astor Street Lift Station Repairs Project - Resolution 21-184 Councilmember Neild moved to approve item #4 on the Consent Agenda. Councilmember Turner seconded the motion AYES: MAYOR MOUTON, COUNCILMEMBERS DURIO, GETZ, TURNER,AND NEILD NAYS: NONE ABSTAIN: COUNCILMEMBER FELDSCHAU MOTION PASSED GENERAL BUSINESS 6. Consider a resolution receiving the proposed FY 2022 Budget and schedule a public hearing. Article VI, Section 2 of the City Charter requires that the proposed budget be submitted to the Council at least 45 days priorto the beginning of the new fiscal year. In addition, Section 4 requires Council to schedule a public hearing on the proposed budget. Minutes—August 10,2021 The Administration recommends that a public hearing be held on August 24, 2021, at 1:30 p.m. in Council Chambers, located at 801 Main Street. The City Clerk will publish the notice of the public hearing. Councilmember Feldschau moved t0 APPROVE A RESOLUTION THAT THE PROPOSED FY 2022 BUDGET HAS BEEN RECEIVED AND A PUBLIC HEARING IS HEREBY SCHEDULED FOR AUGUST 24,2021, AT 1:30 P.M., IN THE CITY COUNCIL CHAMBERS, CITY HALL, 801 MAIN STREET, BEAUMONT,TEXAS; AND THAT THE CITY CLERK IS TO PUBLISH NOTICE OF SAID HEARING PURSUANT TO THE CHARTER OF THE CITY OF BEAUMONT. Councilmember Durlo seconded the motion. AYES: MAYOR MOUTON,COUNCILMEMBERS DURIO,GETZ,TURNER,FELDSCHAU AND NEILD NAYS: NONE MOTION PASSED Resolution 21-186 7. Consider a resolution receiving the proposed 2022 Capital Program and schedule a public hearing. The proposed 2022 Capital Program was originally submitted to Council on May 14, 2021. Article VI, Section 20 of the City Charter requires Council to schedule a public hearing on the proposed Capital Program. The Administration recommends that a public hearing be held on August 24, 2021, at 1:30 p.m. in Council Chambers, located at 801 Main Street. The City Clerk will publish the notice of the public hearing. Councilmember Turner moved t0 APPROVE A RESOLUTION THAT THE PROPOSED FY 2022 CAPITAL PROGRAM HAS BEEN RECEIVED AND A PUBLIC HEARING IS HEREBY SCHEDULED FOR AUGUST 24, 2021, AT 1:30 P.M., IN THE CITY COUNCIL CHAMBERS, CITY HALL, 801 MAIN STREET, BEAUMONT, TEXAS,AND THAT TH E CITY CLERK IS TO PUBLISH NOTICE OF SAID PUBLIC HEARING PURSUANT TO THE CHARTER OF THE CITY OF BEAUMONT. Councilmember Durio seconded the motion. AYES: MAYOR MOUTON,COUNCILMEMBERS DURIO,GETZ,TURNER,FELDSCHAUAND NEILD NAYS: NONE MOTION PASSED Resolution 21-187 8. Consider establishing and taking a record vote on the proposed 2021 tax rate and schedule a public hearing. Minutes—August 10,2021 Chapter 26 of the Property Tax Code requires taxing units to comply with truth-in-taxation laws in adopting theirtax rate and requires the governing body to hold a public hearing when the proposed tax rate exceeds the lower of the no-new revenue or voter-approval tax rate. Administration recommends Council establish a tax rate required to support the City Manager's proposed budget equal to the tax rate of $0.705000/$100 of valuation. In accordance with Chapter 26 of the Property Tax Code, if the proposed rate exceeds the no- new revenue rate of$0.647582/$100 or the voter-approval tax rate of$0.706322/$100, the City Council must take a record vote to place the proposal to adopt the rate on the agenda of a future meeting. The no-new revenue tax rate is the rate that would produce the same amount of taxes in FY 2022 as was produced in FY 2021 if it was applied to the same properties taxed in both years. The proposed tax rate of$0.705000/$100 exceeds the no- new revenue tax rate of $0.647582/$100 by $0.057418/$100 or 8.87%. If the motion passes, a public hearing must be scheduled. It is recommended that the public hearing be held on September 14, 2021, at 1:30 p.m. in the Council Chambers. The Administration recommends that a public hearing be held on September 14, 2021, at 1:30 p.m. in Council Chambers, located at 801 Main Street. The City Clerk will publish the notice of the public hearing. Councilmember Feldschau moved to APPROVE A RESOLUTION THAT THE 2021 TAX RATE IS PROPOSED TO BE$0.705000/$100 OF VALUATION;AND THAT THE DATE OF SEPTEMBER 14, 2021 BE AND THE SAME IS HEREBY SET AS THE DATE AT WHICH THE CITY COUNCIL WILL CONDUCT A PUBLIC HEARING ON THE PROPOSED TAX RATE,THE MEETING WILL BE HELD IN THE CITY COUNCIL CHAMBERS, CITY HALL, 801 MAIN STREET, BEAUMONT,TEXAS AT 1:30 P.M.,AT WHICH TIME THE COUNCIL WILL RECEIVE PUBLIC COMMENTS ON THE PROPOSED TAX RATE OF$0.705000/$100 OF VALUATION AND THAT THE CITY CLERK IS TO PUBLISH NOTICE OF SAID PUBLIC HEARING PURSUANT TO V.T.C.A.,TAX CODE §26.06. Councilmember Neild seconded the motion. AYES: MAYOR MOUTON,COUNCILMEMBERS DURIO,GETZ,TURNER,FELDSCHAU AND NEILD NAYS: NONE MOTION PASSED Record Vote: Mayor Mouton Councilmember Feldschau Councilmember Durio Councilmember Neild Councilmember Getz Councilmember Turner Mayor Pro Tem Samuel - Absent Resolution 21-188 9. Consider authorizing publication of a notice of intention to issue Certificates of Obligation in an amount not to exceed $33 Million. On July 20, 2021, Council discussed the proposed 2022-2026 Capital Program. The proposed Capital Program included $16 Million for the Street Rehabilitation Program; $4 Million for City-Wide Ditching; $2 Million for Storm Water Point Repairs; $4 Million for Minutes—August 10,2021 Threadneedle Storm Water Line Repairs; and $7 Million for an Asphalt Overlay on 411 Street. The proposed issue in an amount not to exceed $33 Million would be used to fund those projects. Issuance of the Certificates is tentatively scheduled for September 28, 2021, with the delivery and receipt of the proceeds by the City on October 26, 2021. All debt and other expenses related to the Certificates of Obligation shall be incurred by the Debt Service Fund. Approval of the resolution. Councilmember Neild moved to APPROVE A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BEAUMONT,TEXAS,AUTHORIZING THE PUBLICATION OF THE NOTICE OF INTENTION TO ISSUE CITY OF BEAUMONT, TEXAS, CERTIFICATES OF OBLIGATION IN A PRINCIPAL AMOUNT NOT TO EXCEED $33,000,000 FOR THE CONSTRUCTION OF PUBLIC WORKS AND ANY ITEMS RELATED THERETO AND FOR THE PAYMENT OF CONTRACTUAL OBLIGATIONS FOR PROFESSIONAL SERVICES;AUTHORIZING THE DISTRIBUTION OF A PRELIMINARY OFFICIAL STATEMENT RELATING TO SUCH CERTIFICATES; AND CONTAINING OTHER PROVISIONS RELATING THERETO. Councilmember Turner seconded the motion. AYES: MAYOR MOUTON,COUNCILMEMBERS DURIO,GETZ,TURNER,FELDSCHAU AND NEILD NAYS: NONE MOTION PASSED Resolution 21-189 EXECUTIVE SESSION — Recessed into Executive Session at 2:24 p.m. To discuss and ordeliberate economic development negotiations in accordance with Section 551.087 of the Government Code to wit; specifically: Arbor Renewable Gas, LLC is seeking incentives forthe creation and potential future expansion of their facility situated between Highway 347 and Highway 69 South, to the southwest of the OCI Methanol Plant property + Consider matters related to contemplated or pending litigation in accordance with Section 551.071 of the Government Code: Claim of Enterprise Rent-A-Car Council reconvened at 3:24 p.m. PUBLIC HEARING Receive comments on a Tax Abatement Agreement with Arbor Renewable Gas, LLC Public Hearing Open: 3:26 p.m. Minutes—August 10,2021 Nicholas Hungry 9155 Mapes Beaumont TX Stated that the read about the tax abatement and it's very confusing, asked if these types of tax abatements are good for small and big companies alike and how much the big corporations pay to the city, still doesn't know how much the big corporations pay to the city Public Hearing Close: 3:30 p.m. 10. Consider authorizing the City Manager to enter into a Tax Abatement Agreement with Arbor Renewable Gas, LLC. The City was recently approached by Arbor Renewable Gas, LLC requesting tax abatements in order to move forward with investments, of up to $1.15 billion for the creation of a plant situated between Highway 347 and Highway 69 South,to the southwest of the OCI Methanol Plant property. In July 2021, the City created the Arbor Reinvestment Zone, allowing for tax abatements in accordance with Chapter 312 of the Texas Tax Code. An application was received from Arbor Renewable Gas, LLC., outlining their proposal. The initial investment is estimated to be $325 million, creating 20 permanent jobs and approximately 300 construction jobs. With key infrastructure and product demand along the Gulf Coast, the company could build an additional three units at the same site, for approximately$275 million each, with an additional 300 construction jobs and 12 permanent employees at each of the three units. In regard to the successive investments, this project could be a total estimated investment of $1.15 billion. The proposed abatement agreement would result in an abatement of City taxes on the new development in the amount of 90% for 10 years towards Unit 1. In addition, Units 2 through 4 would result in an abatement of City taxes on new improvements in the amount of 100% for 10 years. The proposed abatement meets the criteria and conditions set forth in the City's Reinvestment Zone Tax Abatement Policy, adopted in September 2020. All area taxing entities have been notified of the proposed agreement. Council to conduct the Public Hearing and approve the resolution. Councilmember Feldschau moved to APPROVE A RESOLUTION THAT APPROVAL OF AN APPLICATION FOR CHAPTER 312 ECONOMIC DEVELOPMENT INCENTIVES FOR ARBOR RENEWABLE GAS, LLC FOR THE CREATION AND MAINTENANCE OF THEIR PLANT FACILITY SITUATED BETWEEN HIGHWAY 347 AND HIGHWAY 69 SOUTH, TO THE SOUTHWEST OF THE OCI METHANOL PLANT IS HEREBY APPROVED AND THAT THE CITY MANAGER BE AND HE IS HEREBY AUTHORIZED TO EXECUTE A TAX ABATEMENT AGREEMENT WITH ARBOR RENEWABLE GAS,LLC GRANTING A 90%AD VALOREM TAX ABATEMENT FOR TEN(10)YEARS TOWARDS UNIT 1 AND A 100%AD VALOREM TAX ABATEMENT FOR TEN (10) YEARS TOWARDS UNITS 2 THROUGH 4 FOR THE CREATION AND MAINTENANCE OF THEIR PLANT FACILITY SITUATED BETWEEN HIGHWAY 347 AND HIGHWAY 69 SOUTH,TO THE SOUTHW EST OF THE OCI METHANOL PLANT PROPERTY. Councilmember Durlo seconded the motion. AYES: MAYOR MOUTON,COUNCILMEMBERS DURIO,GETZ,TURNER,FELDSCHAUAND NEILD NAYS: NONE Minutes—August 10,2021 MOTION PASSED Resolution 21-190 COMMENTS Public Comments (Persons are limited to three minutes) Eric K. Petry 3705 E. Lucas Dr. Beaumont TX. Read a petition regarding removing a bus bench located in front of the seniorcitizen resident where he resides at 3705 E. Lucas, stated that there's prostitutes and drug dealers hanging around the bus bench, the individuals commit crimes, drug deals run rapid throughout the day, the Beaumont Police Department has to be called to this location on a regular basis, stated that there are two other bus benches that are relatively close to the bench in front of the residence that can be utilized to transport citizens to their destination, there's a bus bench to the left of the residence in front of the John Davis Community Center and one to the left on the corner of Lucas and Concord, residents would appreciate the Council's help regarding this issue Alto Watson 2615 Gladys Beaumont TX Spoke to Council regarding bringing the Battleship Texas to Beaumont, stated that he's been in conversation with the Executive Director who contacted him on Monday,August 10, 2021, who stated that he hadn't gotten a call from the City, stated that he's called the Mayor's office three times as well as leaving the number of the Executive Director and no one from the City has reached out to ED, the Battleship Texas Foundation wants to come to Beaumont to sit down and talk with Council about the ability to put the battleship here, he would be willing to go to Houston and bring the Foundation back to Beaumont, if the Foundation could reflect the costtoo Council and then if it's too much then the city could turn them down, if the city wants to redevelop downtown what better than to have the battleship, also mentioned the Foundation might be interested in the AT&T building and making it a Naval Museum, also said it could be named Battle Ship W.L. Pate or Battle Ship Museum, Sherrene Cook was due to speak on today but is out of town * Councilmembers/City Manager/City Attorney comments on various matters COLINCILMEMBER COMMENTS COUNCILMEMBER NEILD- STATED THAT A LOT OF THE CITIZENS ARE LED TO BELIEVE THAT COUNCIL DOESN'T CARE ABOUT BATTLESHIP TEXAS, STATED THAT SEVERAL MONTHS AGO PRIOR TO COUNCILMEMBER GETZ BRINING THIS UP,HE FORWARDED AN EMAIL TO THE CITY MANAGER WHICH DISCUSSED SOME OF THE FACTS ABOUT BATTLESHIP TEXAS, ENCOURAGED THE CITY MANAGER TO REACH OUT TO THE FOUNDATION TO CONFIRM SOME OF THE FACTS THAT HE'S PROVIDED HIM,STATED THAT BATTLESHIP TEXAS RIGHT NOW COST ABOUT $2 MILLION DOLLARS A YEAR TO OPERATE, WHERE THE SHIP IS LOCATED NOW THEY ARE RECEIVING APPROXIMATELY 80,000.00 Minutes—August 10,2021 VISITORS A YEAR AND TO MAKE THIS THING WORK THEY NEED ABOUT 350,000 VISITORS A YEAR TO GET CLOSE TO OR BREAK EVEN TO MAKE IT WORK,THE STATE OF TEXAS HAS SPENT$85 MILLION DOLLARS AND IS IN THE PROCESS OF SPENDING ANOTHER $35 MILLION DOLLARS TO GET THE SHIP TO A CONDITION THAT IT NEEDS TO BE IN, THIS IS NOT A CHEAP THING AND ALL OF THE NUMBERS AREN'T GETTING PUT OUT TO THE CITIZENS, ASKED THAT THE CITY MANAGER REACH OUT AND CONFIRM THE NUMBERS THAT HE'S SHARED WITH COUNCIL AND TO PUT THOSE FACTS OUT TO THE CITIZENS MAYOR PRO TEM SAMUEL- ABSENT COUNCILMEMBER FELDSCHAU - NONE COUNCILMEMBER TURNER- SPOKE ABOUT THE RISE OF COVID, ASKED THAT EVERYONE TAKE PRECAUTIONS, AS EVERYONE MAY KNOW THERE'S A MEMBER OF COUNCIL THAT HAS COVID AS WELL AS OTHER COUNCILMEMBERS THAT HAVE FAMILY MEMBER'S THAT HAVE COVID, HIS PRAYERS GO OUT TO THEM AND THEIR FAMILIES, ALSO STATED THAT A YOUNG MAN THAT HE MENTORS,CALLED HIM LATE MONDAY NIGHT TO TELL HIM THAT HIS MOTHER DIED OF COVID,ASKED THAT EVERYONE TAKE COVID SERIOUSLY, THE NUMBERS ARE ON THE RISE AND THE HEALTH DIRECTOR HAS ASKED THAT WE AS COUNCIL ENCOURAGE CITIZENS TO PROTECT THEMSELVES AS WELL AS OTHERS BY WEARING THEIR MASK, ANNOUNCED THE HARLEM GLOBE TROTTERS WILL BE AT FORD PARK ON AUGUST 10, 2021, THANKED NIGEL PEARSON WHO IS A PROFESSIONAL BASKETBALL PLAYER WHO JUST FINISHED A BASKETBALL CAMP, THERE WAS 125 KIDS THAT ATTENDED THE CAMP WHICH WAS FREE TO THE COMMUNITY COUNCILMEMBER DURIO - COMMENTED ON COVID, STATED THAT EVERYONE HAS TO PROTECT THEMSELVES, DESPITE THE MANDATES THAT WE CANT MANDATE,WE STILL HAVE TO PROTECT OURSELVES AND OUR CITIZENS, ASKED THAT EVERYONE BE SMART BECAUSE COVID IS KILLING PEOPLE EVERYDAY COUNCILMEMBER GETZ- STATED THAT HIS WIFE IS FEELING BETTER,SHE TOOK A TEST ON YESTERDAY AND SHE'S STILL POSITIVE, HE TOOK ONE AND IT SHOWED HE WAS NEGATIVE,THEY ARE ISOLATING IN THEIR HOME,MADE COMMENTS REGARDING THE BATTLESHIP TEXAS, STATED THAT THERE NEEDS TO BE A WORKSHOP ON THE BATTLESHIP TEXAS, THE FOOD TRUCK PARK AND THE HOMELESS SITUATION CITY ATTORNEY COOPER- NONE CITY MANAGER HAYES - NONE Minutes—August 10,2021 MAYOR MOUTON - SPOKE REGARDING COVID, ASKED KENNETH COLEMAN, HEALTH DIRECTOR TO SPEAK ABOUT THE RISE IN COVID NUMBERS, ENCOURAGED ALL CITIZENS TAKE THE NECESSARY PRECAUTIONS, NO ONE CAN MANDATE OR MAKE CITIZENS WEAR A MASK,ASKED THAT ALL CITIZENS MAKE THE DECISION TO WEAR THEIR MASK, ALSO COMMENTED ON COUNCILMEMBER SAMUEL AND COUNCILMEMBER GETZ'S WIFE TESTING POSITIVE FOR COVID Wit er being no other bu i ss to come before Council,the meeting was adjourned at 3:56 p.m. �T Robin outon, Ma or �rv,�yy` tumgdaurt gggr Tina Broussard, City Clerk [ , > r Minutes—August 10,2021 A It STENTION AFFIDAVIT THE STATE OF TEXAS § COUNTY OF JEFFFE RSON § I, Karl d)N re(ASCIAD s a member of the -Bea KAI DY 1 ► (C_ity Council, Commission, or Board) make his affidavit and hereby on oath state the following: I, and/or a person or persons related to me, ha a substantial interest in a business entity that would be peculiarly affected by a vote or decision of the in. _01,illy"ottt" (City Council,,Commission, or Board) as those terms are defined in V.T.C.A., Local Government Code, § 171.002. Con----�__ ( ^__�The business entityis: Placo L+Ic1 L L{ 0n the rt7-i4gPYICC Llq ,6t,,' (Name) I .1 I�t ° ,� l 15'3 c1 Leal-hen/000d h r., Lumbi rta-x. , T (Address) ("I," or name of relative and relationship) have/has a substantial interest in this business entity for the following reasons: (check all of which are applicable.) Ownership of 10 percent or more of the voting stock or shares of the business entity. Ownership of either 10 percent or more or$15,000 or more of the fair market value of the business entity. Funds received from the.business entity exceed 10 percent of(my, her, his) gross income for the previous year. Real property is involved, and (I, he, she) have an interest which is an equitable or legal ownership with a fair market value of at least $2,500. A relative of mine,within the first or second degree by blood or marriage, has a substantial interest in the business entity or property that would be affected by a decision of the public body of which I am a member. Upon filing of this affidavit with the City Clerk, I affirm that I will abstain from voting on any decision involving this business entity and from any further participation on this matter whatsoever. Signed this the I day of CI U tlic , 002.1 Si nature fficial l..0 uncA i ni unb-er- Ai- _Lech le. Title BEFORE ME, the undersigned authority, on this day personally thatappeared7iL�,n Fe1ck and on oath stated the facts hereinabove stated are true to the best of his/her,l�f�owledge or SWORN to and subscribed before me this the , day of ti. , 20 al. ' .--Wack ''''Y�'' TINA GAIL BROUSSARD 2%0,►� oa-, Notary Public in and for the Sate of Texas 1 $Notary Public,State of Texas Comm.Expires 01-12-2023 ,•,,,13,''''', Notary ID 11435119 �- —