Loading...
HomeMy WebLinkAboutJUL 29 2025 - PACKET REGULAR MEETING OF THE CITY COUNCIL COUNCIL CHAMBERS CITY HALL 801 MAIN STREET TUESDAY, JULY 29, 2025 5:30 PM AGENDA CALL TO ORDER INVOCATION PLEDGE OF ALLEGIANCE ROLL CALL PROCLAMATIONS PRESENTATIONS Communication Update 2025 Bond Facilitation Update and Recommendations TxDOT Status Update of Construction Projects within the City of Beaumont RECOGNITIONS PUBLIC COMMENT ON AGENDA/CONSENT Citizens may speak on the Cosent Agenda/Regular Agenda Items 1-7 or any other topic. Citizens wishing to speak on Item 8 will be given the opportunity to speak during the Public Hearing. CONSENT AGENDA (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.) A.Council to consider approving the July 15, 2025, City Council meeting minutes. B.Council consider a resolution authorizing the City of Beaumont to receive compensation for and to grant an exclusive sanitary sewer easement and a temporary construction easement to ExxonMobil Oil Corporation. C.Council to consider a resolution authorizing the City Attorney to accept the settlement negotiated by the Texas Attorney General in the Opioid litigation against pharmaceutical manufacturer Purdue/Sackler. D.Council to consider a resolution authorizing the City Attorney to accept the settlement negotiated by the Texas Attorney General in the Opioid litigation against eight pharmaceutical manufacturers Alvogen, Amneal, Apotex, Hikma, Indivior, Mylan, Sun, and Zydus. E.Council consider a resolution approving a six-month contract for the purchase of phosphate for use by the Water Utilities Department. F.Council consider a resolution approving the purchase of one LP35 defibrillator with accessories for use in the EMS Department. G.Council to consider a resolution authorizing membership in the TEX-21. REGULAR AGENDA 1. Council consider a resolution authorizing the City Manager to award a contract to StructureGuard, LLC, of Austin, TX, for the Cattail Marsh Wetlands Outfall Piling Rehabilitation Project. 2. Council to consider a resolution authorizing the settlement of the lawsuit styled Caleb Fenter and Beaumont Professional Firefighters Local #399 (Intervenors) v. City of Beaumont, Christopher S. Boone, Kenneth Williams, Roy West, Earl White, Taylor Neild, Mike Getz, Audwin Samuel, Charles Durio, Albert Turner, and Randy Feldschau. 3. Council to consider approving a resolution for a three year agreement with BCBS Prime for pharmacy benefit manager services for city employees and retirees 4.Consider a resolution authorizing a three-year contract with Blue Cross Blue Shield of Texas with an option for two additional years effective January 1, 2026 for third party administration of the city's self-funded Preferred Provider Organization (PPO) medical and dental plans. 5. Council consider a resolution approving a contract with Woolpert, Inc., of Dayton, Ohio, for Professional Engineering Services – Traffic Study Highway 105 and Major Drive. 6. Council consider a resolution authorizing the City Manager to execute Change Order No. 1 to the contract with SETEX Construction Corp, of Beaumont, for the Pine St. SWTP South Basin Sludge Drain Rehabilitation Project. 7. Council to consider an ordinance denying Texas Gas Service Company proposed rates. PUBLIC HEARING Council to conduct a Public Hearing to receive comments concerning the proposed amendments of Article 6, Gaming Sites and Gaming Machines, from the City of Beaumont’s Code of Ordinances REGULAR AGENDA 8. Council consider an ordinance amending Article 6 of the City of Beaumont’s Code of Ordinances to prohibit gaming sites and gaming machines within the city limits. COUNCIL COMMENTS EXECUTIVE SESSION Consider matters related to contemplated or pending litigation in accordance with Section 551.071 of the Government Code: Caleb Fenter and Beaumont Professional Firefighters Local #399 (Intervenors) v. City of Beaumont, Christopher S. Boone, Kenneth Williams, Roy West, Taylor Neild, Mike Getz, Audwin Samuel, Charles Durio, Albert Turner, and Randy Feldschau; Cause No. B-210244 ADJOURNMENT Persons with disabilities who plan to attend this meeting and who may need auxiliary aids or services are requested to contact Jacqueline K. Gunner at (409) 880-3782. A TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Tina Broussard, City Clerk MEETING DATE:July 29, 2025 REQUESTED ACTION:Council to consider approving the July 15, 2025, City Council meeting minutes. BACKGROUND None FUNDING SOURCE None RECOMMENDATION Approval of the minutes. ATTACHMENTS Minutes - July 15, 2025 MINUTES OF THE CITY OF BEAUMONT COUNCIL MEETING Albert “A.J.” Turner, Mayor Pro Tem ROY WEST, MAYOR Mike Williams, At-Large Cory Crenshaw, Ward I CITY COUNCIL MEETING Joey Hilliard, Ward II LaDonna Sherwood, Ward IIIJULY 15, 2025 Chris Durio, Ward IV Tina Broussard, City Clerk Kenneth R. Williams, City Manager Sharae Reed, City Attorney 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 July 15, 2025, 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 Proclamations, Presentation and Recognition Public Comment: Persons may speak on the Consent Agenda/Regular Agenda items 1-7 or any other topic. Citizens wishing to speak on Item 8 will be given the opportunity to speak during the Public Hearing. Mayor West called the council meeting to order at 1:30 p.m. Pastor Alex Alzamora, with Calvary (Cas Calvario) Baptist Church gave the invocation. Mayor West led the Pledge of Allegiance. Roll call was made by Tina Broussard, City Clerk. Present at the meeting were Mayor West, Mayor Pro Tem Turner, Councilmembers Durio, Hiliard, Williams, Sherwood and Crenshaw. Also, present were Kenneth R, Williams, City Manager; Sharae Reed, City Attorney; Tina Broussard, City Clerk. Proclamations, Presentation and Recognition “Pioneering Women 2025 Honorees” – Accepting; Morline Guillory, President of Pioneering Women, Members and Honorees “National Healthcare Hospitality Week” – July 21-25, 2025 – Accepting; Tressa Clark, Executive Director of the Anayat House Recognition – Beaumont Enterprise Empty Stocking Fund – July 26, 2025 – Designated as Christmas in July – Accepting; Kaitlan Bain, Board President Mayor West read the announcement regarding Executive Session being held after the conclusion of Councilmember Comments. Public Comment: Persons may speak on the Consent Agenda/Regular Agenda items 1-7 or any other topic. Citizens wishing to speak on Item 8 will be given the opportunity to speak Minutes – July 15, 2025 during the Public Hearing. (Public comments can be heard or seen on the City of Beaumont’s website at beaumonttexas.gov) Albert Harrison1240 AshleyBeaumont TX Jimmy Pete2398 GoliadBeaumont TX Jan Ruppel6145 Sheridan Oak Dr.Beaumont TX Vernon Tubbs3290 Pine St.Beaumont TX Carla Stewart4355 CoolidgeBeaumont TX Carlton Sharp5150 Plant Rd.Beaumont TX Charlie Crabbe928 East Dr.Beaumont TX Glenda McCray890 Norwood Dr.Beaumont TX CONSENT AGENDA (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.) A.Council to consider approving July 1, 2025, City Council meeting minutes. B.Council to consider appointments to the Planning Commission, Animal Care Advisory Committee, Community Development Advisory Committee, and Parks and Recreation Advisory Committee – Resolution 25-149 C.Council to consider an amendment to Resolution 25-020 to authorize the Deputy Controller, at the City Manager’s request, to apply for and receive funding in an amount not to exceed $48,000 through the State and Local Cybersecurity Grant Program, as approved by the Office of the Governor – Resolution 25-020-A D.Council to consider a resolution to authorize the City Manager or his designee to apply for and receive funding in an amount up to $87,539.17 through the U.S. Department of Justice Project Safe Neighborhoods Block Grant Program (PSN) – Resolution 25-150 E.Council to consider a resolution authorizing the City Manager to enter a contract with Habitat for Humanity for the use of HOME Investment Partnership funds from the U.S. Department of Housing and Urban Development (HUD) – Resolution 25-151 F.Council to consider a resolution to authorize the Deputy Controller to apply for and receive funding in an amount up to $152,779.00 through the U.S. Department of Justice, Office of Community Oriented Policing Services-Community Policing Development Microgrants program – Resolution 25-152 G.Council consider a resolution approving the six (6) month contract to supply asphaltic concrete for use by the City – Resolution 25-153 H.Council to consider a resolution to amend Resolution 25-134 – Resolution 25-134-A Minutes – July 15, 2025 Councilmember Durio moved to approve the Consent Agenda. Councilmember Sherwood seconded the motion. AYES:MAYOR WEST, MAYOR PRO TEM TURNER, COUNCILMEMBERS DURIO, HILLIARD, WILLIAMS, SHERWOOD AND CRENSHAW NAYS:NONE MOTION PASSED REGULAR AGENDA 1.Council to consider a resolution authorizing the City Manager to execute an amendment to the Interim Services Agreement between the City and Stonehenge Holdings, LLC to expand the scope of work. On October 29, 2024, the Council adopted Resolution 24-283 authorizing the City Manager to execute an agreement with Stonehenge Holdings, LLC. On April 29, 2025, the Council adopted Resolution 25-090, amending the agreement to extend the deadline for deliverables from July 2025 to November 30, 2025. After further discussion, the parties have agreed to expand the scope of work and increase the amount of fees for the original agreement requiring a second amendment. Funds will come from the General Fund. Approval of the resolution. Councilmember Sherwood moved to approve the item and Councilmember Hilliard seconded the motion. After further discussion Councilmember Crenshaw asked that the item be amended to state that the project will not move forward without voter approval. Councilmember Crenshaw moved to APPROVE A RESOLUTION THAT THE CITY MANAGER BE AND HE IS HEREBY AUTHORIZED TO EXECUTE AN AMENDED INTERIM SERVICES AGREEMENT WITH STONEHENGE HOLDING, LLC, TO EXPAND THE SCOPE OF WORK OF A MARKET STUDY, PLANNING AND DESIGN SERVICES, THE DEVELOPMENT OF THE ESTIMATED COST FOR A HOTEL AND RELATED IMPROVEMENTS AS WELL AS THE DEVELOPMENT OF A BUSINESS AND FINANCING PLAN RELATED TO THE DEVELOPMENT OF A HOTEL ON PROPERTY OWNED BY THE CITY AND THAT THE CITY COUNCIL ACKNOWLEDGES THAT THE HOTEL/CONVENTION PROJECT WILL NOT MOVE FORWARD WITHOUT VOTER APPROVAL. Mayor Pro Tem Turner seconded the motion. AYES:MAYOR WEST, MAYOR PRO TEM TURNER, COUNCILMEMBERS DURIO, HILLIARD, WILLIAMS, SHERWOOD AND CRENSHAW NAYS:NONE MOTION PASSED RESOLUTION 25-154 Minutes – July 15, 2025 2.Council to consider a resolution authorizing the City Manager to execute Change Order No. 2 to the contract with King Solution Services, LLC, of Houston, TX for the Grand Avenue & Magnolia Avenue Pipe Bursting Contract – Phase I. On November 19, 2024, by Resolution No. 24-304, City Council awarded a contract to King Solution Services, LLC, of Houston, TX in the amount of $2,954,370.00 for the Grand Avenue & Magnolia Avenue Pipe Bursting Contract – Phase I. There was a previous Change Order No. 1, in the amount of $57,700.00. Proposed Change Order No. 2, in the amount of $156,000.00, is needed to add one (1) additional bid item to the contract due to unforeseen site conditions and the instability of the underlying soil beneath the pavement. An additional 25 calendar days are requested for the additional work. If approved, the new contract amount would be $3,168,070.00. Funds will come from the American Rescue Fund and Water Revenue Bonds. Approval of the resolution. Mayor Pro Tem Turner moved to APPROVE A RESOLUTION THAT THE CITY MANAGER BE AND HE IS HEREBY AUTHORIZED TO ACCEPT CHANGE ORDER NO. 2 IN THE AMOUNT OF $156,000.00 TO ADD ONE (1) ADDITIONAL BID ITEM TO THE CONTRACT DUE TO UNFORESEEN SITE CONDITIONS AND INSTABILITY OF THE UNDERLYING SOIL BENEATH THE PAVEMENT AND TO ADD AN ADDITIONAL TWENTY-FIVE (25) CALENDAR DAYS FOR THE ADDITIONAL WORK, IF APPROVED THE NEW CONTRACT AMOUNT WOULD BE $3,168,070.00. Councilmember Durio seconded the motion. AYES:MAYOR WEST, MAYOR PRO TEM TURNER, COUNCILMEMBERS DURIO, HILLIARD, WILLIAMS, SHERWOOD AND CRENSHAW NAYS:NONE MOTION PASSED RESOLUTION 25-155 3.Council to consider a resolution authorizing the City Manager to award a contract to Volta, LLC, of Houston, TX, for the Wastewater Treatment Plant Power Distribution Switchgear Building Pre-Purchase Project. The Wastewater Treatment Plant Power Distribution Switchgear Building Pre-Purchase Project is the pre-purchase, pre-fabrication, and placement of the new switchgear building at the Wastewater Treatment Plant to replace the damaged switchgear and move the remaining electrical components in the electrical room to a freestanding building. On May 1, 2025, two (2) bids were received for furnishing all labor, materials, and equipment for the project. The Engineer’s Estimate for the contract is $1,472,575.00. The bid totals are indicated in the table below: Minutes – July 15, 2025 ContractorLocationOption 1Option 2Days Volta, LLC Houston, TX$1,988,259.00$1,859,433.00378 Blackstar Diversified Enterprises, New Orleans, LA$2,322,605.00$2,290,596.00252 LLC Based on a review of the bids and required documents received, Water Utilities staff agrees with EPIC Engineering LLC, and recommends awarding the project to the lowest bidder, Volta, LLC in the amount of $1,859,433.00. A total of 378 calendar days is allocated for substantial completion of the project. Funds will come from Water Revenue Bonds. Approval of the resolution. Councilmember Sherwood moved to APPROVE A RESOLUTION THAT THE CITY MANAGER BE AND HE IS HEREBY AUTHORIZED TO EXECUTE A CONTRACT WITH VOLTA, LLC, OF HOUSTON, TEXAS, IN THE AMOUNT OF $1,859,433.00, FOR THE WASTEWATER TREATMENT PLANT POWER DISTRIBUTION SWITCHGEAR BUILDING PRE-PURCHASE PROJECT, WITH A TOTAL OF THREE HUNDRED AND SEVENTY-EIGHT (378) CALENDAR DAYS TO COMPLETE THE PROJECT. Councilmember Durio seconded the motion. AYES:MAYOR WEST, MAYOR PRO TEM TURNER, COUNCILMEMBERS DURIO, HILLIARD, WILLIAMS, SHERWOOD AND CRENSHAW NAYS:NONE MOTION PASSED RESOLUTION 25-156 4.Council to consider a resolution authorizing the City Manager to execute Change Order No. 2 to the contract with Norman Highway Constructors, Inc., for the Bridge Repair Project – Various Locations Citywide (REBID). On November 19, 2024, by Resolution No. 24-302, City Council awarded a contract to Norman Highway Constructors, Inc., of Orange, in the amount of $1,679,207.00, for the Bridge Repair Project – Various Locations Citywide (REBID). There was a previous Change Order No. 1, in the amount of $6,800.00. Proposed Change Order No. 2, in the amount of $14,431.96, is necessary due to an unforeseen site condition discovered after the removal of the asphalt overlay on the west side of the bridge on N Circuit Drive. The originally planned Multi-Layer Polymer Overlay is very thin and would not transition effectively from the asphalt on N Circuit to the bridge deck. This Change Order addresses the work required to remove an additional five (5) inches of existing asphalt from the west side of the bridge, twenty-five (25) feet from the abutment. It also includes placing a thicker asphalt overlay that tapers down from the existing asphalt to ensure a minimum of two (2) inches of asphalt overlay on the bridge deck, while seamlessly tying into the existing asphalt on the east side of the bridge. Additionally, Minutes – July 15, 2025 this work will involve modifications to the curb along each side of the bridge to accommodate the extra asphalt overlay. If approved, Change Order No. 2 will result in a new contract amount of $1,700,438.96, and an additional five (5) calendar days will be added to the contract. Funds will come from Certificates of Obligation. Approval of the resolution. Councilmember Durio moved to APPROVE A RESOLUTION THAT THE CITY MANAGER BE AND HE IS HEREBY AUTHORIZED TO ACCEPT CHANGE ORDER NO. 2 IN THE AMOUNT OF $14,431.96 FOR THE UNFORESEEN SITE CONDITIONS DISCOVERED AFTER THE REMOVAL OF THE ASPHALT OVERLAY ON THE WEST SIDE OF THE BRIDGE ON NORTH CIRCUIT DRIVE, AND TO ADD AN ADDITIONAL FIVE (5) CALENDAR DAYS FOR THE ADDITIONAL WORK, IF APPROVED, THE NEW CONTRACT AMOUNT WOULD BE $1,700,438.96. Councilmember Williams seconded the motion. AYES:MAYOR WEST, MAYOR PRO TEM TURNER, COUNCILMEMBERS DURIO, HILLIARD, WILLIAMS, SHERWOOD AND CRENSHAW NAYS:NONE MOTION PASSED RESOLUTION 25-157 5.Council to consider an ordinance authorizing the issuance and sale of the City of Beaumont, Texas, Certificates of Obligation, Series 2025 in an estimated amount not to exceed $20.5 Million; levying taxes to provide for payment thereof; and containing other matters related thereto. At the May 20, 2025, the City Council meeting, the City Council authorized a resolution for the city to publish the requirement for the issuance of Certificates of Obligation (COs). This allowed the City to be in compliance with Texas law to provide a 45-day notice period prior to approval of the issuance. This funding for the issuance of Certificates of Obligation was included in the City’s current fiscal year’s adopted budget. This funding will be used to pay for capital projects that include the construction of public works-related projects, more specifically, the construction and improvement of parks and park facilities, as well as roads and the drainage system. This Ordinance approves the issuance of the Certificates of Obligation, Series 2025. It authorizes the senior city staff to execute the final pricing documents at the time the COs are actually sold in the market. This Ordinance limits the final par amount of the Certificates of Obligation to $20.5MM and a final maturity not to exceed March 1, 2045. We expect to sell the Certificates of Obligation in the next two weeks. This Ordinance would provide the city with flexibility when entering the market. Delivery and receipt of the proceeds by the city are expected before the end of August. Minutes – July 15, 2025 Principal and interest are paid from the Debt Service Fund which is supported by property taxes. Approval of ordinance. Councilmember Sherwood moved to ADOPT AN ORDINANCE ENTITLED AN ORDINANCE OF THE CITY OF BEAUMONT, TEXAS, AUTHORIZING THE ISSUANCE AND SALE OF CITY OF BEAUMONT, TEXAS, CERTIFICATES OF OBLIGATION, SERIES 2025 IN THE AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $20,500,000.00; AUTHORIZING EACH OF THE MAYOR, THE MAYOR PRO TEM, THE CITY MANAGER AND THE CHIEF FINANCIAL OFFICER TO APPROVE THE AMOUNTS, INTEREST RATES, PRICES, AND TERMS THEREOF AND CERTAIN OTHER MATTERS RELATING THERETO;; LEVYING A TAX IN PAYMENT THEREOF, MAKING OTHER PROVISIONS REGARDING SUCH CERTIFICATES OR OBLIGATION, INCLUDING AUTHORIZING THE PREPARATION AND DISTRIBUTION OF ONE OR MORE PRELIMINARY OFFICIAL STATEMENTS, ONE OF MORE OFFICIAL STATEMENTS AND MATTERS INCIDENT THERETO; AWARDING THE SALE OF THE CERTIFICATES; AUTHORIZING THE EXECUTION AND DELIVERY OF ONE OR MORE PURCHASE AGREEMENTS; AUTHORIZING THE EXECUTION AND DELIVERY OF A PAYING AGENT/REGISTRAR AGREEMENT; AUTHORIZING AND CONFIRMING THE ENGAGEMENT OF CERTAIN PROFESSIONALS IN CONNECTION WITH THE ISSUANCE OF THE CERTIFICATES OF OBLIGATION; FINDING AND DETERMINING THAT THE MEETING AT WHICH THIS ORDINANCE IS PASSES IS OPEN TO THE PUBLIC AS REQUIRED BY LAW; AND ENACTING OTHER PROVISION RELATING THERETO. Councilmember Durio seconded the motion. AYES:MAYOR WEST, MAYOR PRO TEM TURNER, COUNCILMEMBERS DURIO, HILLIARD, WILLIAMS, SHERWOOD AND CRENSHAW NAYS:NONE MOTION PASSED ORDINANCE 25-032 6.Council to consider an ordinance authorizing the issuance and sale of the City of Beaumont, Texas, Waterworks and Sewer System Revenue Refunding Bonds, Series 2025, in an estimated amount not to exceed $19.455 Million and containing other matters related thereto. The city is currently moving forward with refinancing Waterworks and Sewer System Revenue Bonds, Series 2015A. This issuance is not providing new project proceeds. The bonds are being issued for the purpose of refinancing the existing bonds in order to achieve debt service savings. The Series 2025 Waterworks and Sewer System bonds will maintain the same final maturity as the bonds being refunded. The Ordinance will require a present value savings on the refunding of at least 3% of the principal amount refunded. The ordinance authorizes City staff to execute the final pricing documents once the bonds are sold, and conditions are met. The ordinance provides the city with flexibility when entering the bonds market. Delivery and receipt of the proceeds by the city are expected before the end of August 2025. Minutes – July 15, 2025 Principal and interest is paid from the Water Utilities Fund which is supported by revenues of the waterworks and sewer system. Approval of the resolution. Councilmember Crenshaw moved to ADOPT AN ORDINANCE ENTITLED AN ORDINANCE AUTHORIZING THE ISSUANCE OF THE CITY OF BEAUMONT, TEXAS, WATERWORKS AND SEWER SYSTEM REVENUE REFUNDING BONDS, SERIES 2025 IN THE AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $19,455,000.00; IN ORE OR MORE SERIES OR SUBSERIES AS MAY BE FURTHER DESIGNATED; AUTHORIZING EACH OF THE MAYOR, THE CITY MANAGER AND THE CHIEF FINANCIAL OFFICER TO APPROVE THE AMOUNTS, INTEREST RATES, PRICES, AND TERMS THEREOF AND CERTAIN OTHER MATTERS RELATING THERETO; PROVIDING FOR THE PAYMENT THEREOF; MAKING OTHER PROVISIONS REGARDING SUCH BONDS INCLUDING AUTHORIZING THE PREPARATION AND DISTRIBUTION OF ONE OR MORE PRELIMINARY OFFICIAL STATEMENTS AND AUTHORIZING THE PREPARATION AND DISTRIBUTION OF ONE OR MORE OFFICIAL STATEMENTS AND MATTERS INCIDENT THERETO; AWARDING THE SALE OF THE BONDS; AUTHORIZING THE EXECUTION AND DELIVERY OF ONE OR MORE BOND PURCHASE AGREEMENTS; AUTHORIZING BOND INSURANCE; AUTHORIZING THE EXECUTION AND DELIVERY OF ONE OR MORE ESCROW AGREEMENTS; AUTHORIZING THE PURCHASE OF AND SUBSCRIPTION FOR CERTAIN ESCROWED SECURITIES; AUTHORIZING ESCROW VERIFICATION AND ENGAGEMENT OF AN ESCROW AGENT; AUTHORIZING THE EXECUTION AND DELIVERY OF A PAYING AGENT/REGISTRAR AGREEMENT AND OTHER RELATED DOCUMENTS; AND MAKING OTHER PROVISIONS REGARDING SUCH. Councilmember Sherwood seconded the motion. AYES:MAYOR WEST, MAYOR PRO TEM TURNER, COUNCILMEMBERS DURIO, HILLIARD, WILLIAMS, SHERWOOD AND CRENSHAW NAYS:NONE MOTION PASSED ORDINANCE 25-033 7.Consider an ordinance to amend Section 28.03.023(e) of the City’s Code of Ordinances to limit the permitted use of gaming sites and gaming machines to industrial zoning districts. In the City of Fort Worth v. Rylie, the Texas Court of Appeals ruled that Fort Worth’s city ordinances regulating gaming were not preempted by state law. The court concluded that eightliner gaming machines operated in game rooms are unconstitutional lotteries under the Texas Constitution because they involve the elements of chance, consideration (payment), and prize. However, the Texas Comptroller (State) continues to issue decals and collect occupational tax for gaming machines. In Chapter 28 of the City’s Zoning Code, the Permitted Use Table identifies the zoning districts where gaming sites and machines are allowed. Currently, gaming operations are allowed within commercial and industrial zoning districts. Planning recommends amending the zoning ordinance to restrict gaming operations exclusively to industrial zoning districts. This amendment aims to preserve community character, safeguard quality of life, and minimize disproportionate exposure to such uses in underserved or vulnerable areas. Legal nonconformity, also known as grandfathering, will apply to existing gaming sites that hold a valid permit. Minutes – July 15, 2025 At a Joint Public Hearing, held on May 19, 2025, the Planning Commission recommended 7:0 to approve a ban on all gaming operations within the city limits of Beaumont. On May 20, 2025, the City Council recommended to table an item banning gaming operations within the city to have staff review more options. Planning recommends limiting the permitted use of gaming to industrial zoning districts only. Approval of the ordinance. Councilmember Williams moved to DENY AN ORDINANCE ENTITLED AN ORDINANCE AMENDING CHAPTER 28, SECTION 28.03.023(E) PERMITTED USE TABLE OF THE CODE OF ORDINANCES OF BEAUMONT, TEXAS, LIMITING A SUBCATEGORY GAMING ROOMS AND DEVICES TO INDUSTRIAL ZONING DISTRICTS; PROVIDING FOR SEVERABILITY; PROVIDING FOR REPEAL; AND PROVIDING A PENALTY. Councilmember Crenshaw seconded the motion. AYES:MAYOR WEST, MAYOR PRO TEM TURNER, COUNCILMEMBERS DURIO, HILLIARD, WILLIAMS, SHERWOOD AND CRENSHAW NAYS:NONE MOTION DENIED PUBLIC HEARING Council to conduct a Public Hearing to receive comments to temporarily waive transit fares for students Public Hearing Open: 2:58 p.m. Jackie Simien3395 HarrisonBeaumont TX Public Hearing Close: 3:01 p.m. 8.Council to consider a resolution authorizing Zip to temporarily waive transit fares for students from July 15, 2025, to August 12, 2025. To align with BMT Zip’s mission of increasing ridership, fostering long-term transit participation, streamlining the rider experience, and advancing equity throughout Beaumont, the agency is committed to offering affordable transportation options for students and families. Reliable and frequent transit access is essential in addressing the mobility and affordability challenges to equitable access to education. As part of this commitment, BMT Zip proposes a fare waiver for students in grades 6 through 12, during the summer months, specifically from July 15, 2025, through August 12, 2025, with a valid School Identification Card. The main objective of this student-mobility initiative is to allow Beaumont’s youth to safely connect with educational summer programs, job opportunities, wellness programs, and other community-based events. Furthermore, this initiative will allow students to better remain engaged and supported outside the traditional school year. Minutes – July 15, 2025 In support of this vision, the City Council recently approved the Student Mobility Pass Program, a foundational step focused on expanding access to higher education. Building upon this momentum, BMT Zip, in collaboration with the City Administration, plans to build a program that will be dedicated to creating sustainable pathways to learning and development for our city's youth. To provide for the safety of all riders, and that of students, participants will be held to their respective school Code of Conduct while riding the Zip. Furthermore, parents must be mindful that transit buses do not provide bus assistants to monitor students while on the bus. The Transit system is funded through a combination of rider fares, monies from the General Fund as well as grants from the Texas Department of Transportation and the Federal Transit Administration. Approval of the resolution. Mayor Pro Tem Turner moved to APPROVE A RESOLUTION THAT THE CITY MANAGER BE AND HE IS HEREBY AUTHORIZED TO ALLOW ZIP TO TEMPORARILY WAIVE TRANSIT FEES FOR STUDENTS’ GRADES 6-12, FROM JULY 15, 2025, THROUGH AUGUST 12, 2025. Councilmember Sherwood seconded the motion. AYES:MAYOR WEST, MAYOR PRO TEM TURNER, COUNCILMEMBERS DURIO, HILLIARD, WILLIAMS, SHERWOOD AND CRENSHAW NAYS:NONE MOTION PASSED RESOLUTION 25-158 WORK SESSION Council to review and discuss Venue Tax and the Tourism Public Improvement District (TPID) Council to review and discuss the Downtown Proactive Code Enforcement Update Council to review and discuss the Rules of Conduct for City Officials (Ethics Policy) COUNCILMEMBER COMMENTS (Councilmember comments can be heard or seen on the City of Beaumont’s website at beaumonttexas.gov) EXECUTIVE SESSION Open To discuss and or deliberate economic development negotiations in accordance with Section 551.087 of the Government Code to wit; specifically: “Project Riverfront” Minutes – July 15, 2025 “Downtown Hotel Project” ”Project Cement” Consider matters related to contemplated or pending litigation in accordance with Section 551.071 of the Government Code: Caleb Fenter and Beaumont Professional Firefighters Local #399 (Intervenors) v. City of Beaumont, Christopher S. Boone, Kenneth Williams, Roy West, Taylor Neild, Mike Getz, Audwin Samuel, Charles Durio, Albert Turner, and Randy Feldschau; Cause No. B-210244 Open Session of the meeting adjourned at 4:32 p.m. Roy West, Mayor Tina Broussard, City Clerk Minutes – July 15, 2025 B TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Amalia Villarreal, P.E., CFM, Director of Public Works MEETING DATE:July 29, 2025 REQUESTED ACTION:Council consider a resolution authorizing the City of Beaumont to receive compensation for and to grant an exclusive sanitary sewer easement and a temporary construction easement to ExxonMobil Oil Corporation. BACKGROUND ExxonMobil Oil Corporation has requested permission to install a three-inch diameter (3”) HDPE sanitary sewer force main line from its BPEP Plant, located at 11440 US 90, across the Municipal Airport property at 455 Keith Road, to an existing sanitary sewer manhole located at 10365 Phelan Boulevard. The City of Beaumont has agreed to convey a twenty-foot (20’) wide exclusive sanitary sewer easement and a temporary construction easement that varies in width from thirty feet (30’) to one hundred thirty feet (130’) to ExxonMobil Oil Corporation. The exclusive sanitary sewer easement consists of 0.561 acres of land within the Beaumont Municipal Airport Subdivision, which is situated in the A. Savery League, Abstract No. 46, Jefferson County, Texas. The temporary construction easement consists of 4.817 acres of land within the same subdivision. Detailed descriptions of the sanitary sewer easement and temporary construction easement are provided in the attached Exhibits A-F. The exclusive sanitary sewer easement was appraised by Cooks & Associates, Inc., who assessed the market value of the entire property at $14,500 per acre. Consequently, the total compensation for sewer purposes amounts to $8,200. FUNDING SOURCE Not applicable. RECOMMENDATION Approval of the resolution. ATTACHMENTS ExxonMobil Oil Corporation - Sewer Easement at Airport C TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Sharae Reed, City Attorney MEETING DATE:July 29, 2025 REQUESTED ACTION:Council to consider a resolution authorizing the City Attorney to accept the settlement negotiated by the Texas Attorney General in the Opioid litigation against pharmaceutical manufacturer Purdue/Sackler. BACKGROUND In 2018 and 2019, Texas Attorney General Paxton filed lawsuits against various opioid manufacturers and distributors that engaged in unlawful practices in the marketing, sale, and distribution of opioids. The City of Beaumont was identified as a community impacted by the opioid abuse epidemic. On November 9, 2021, Council approved Resolution 21-301 authorizing the City Attorney to join the Opioid litigation. Attorney General Paxton has recently reached an agreement with Purdue/Sackler. It is recommended that the City of Beaumont execute the necessary documents to receive the City's portion of the settlement. FUNDING SOURCE Not applicable. RECOMMENDATION Approval of the resolution. ATTACHMENTS D TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Sharae Reed, City Attorney MEETING DATE:July 29, 2025 REQUESTED ACTION:Council to consider a resolution authorizing the City Attorney to accept the settlement negotiated by the Texas Attorney General in the Opioid litigation against eight pharmaceutical manufacturers Alvogen, Amneal, Apotex, Hikma, Indivior, Mylan, Sun, and Zydus. BACKGROUND In 2018 and 2019, Texas Attorney General Paxton filed lawsuits against various opioid manufacturers and distributors that engaged in unlawful practices in the marketing, sale, and distribution of opioids. The City of Beaumont was identified as a community impacted by the opioid abuse epidemic. On November 9, 2021, the Council approved Resolution 21-301 authorizing the City Attorney to join the Opioid litigation. Attorney General Paxton has recently reached an agreement with Alvogen, Amneal, Apotex, Hikma, Indivior, Mylan, Sun, and Zydus. It is recommended that the City of Beaumont execute the necessary documents to receive the City's portion of the settlement. FUNDING SOURCE Not applicable. RECOMMENDATION Approval of the resolution. ATTACHMENTS E TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Amalia Villarreal, P.E., CFM, Director of Public Works MEETING DATE:July 29, 2025 REQUESTED ACTION:Council consider a resolution approving a six-month contract for the purchase of phosphate for use by the Water Utilities Department. BACKGROUND Phosphate is used to purify the City’s water supply. The Water Utilities Department expects to purchase approximately fourteen (14) tons of this material during the term of this contract. The initial term of the contract is six (6) months. At the end of the initial term, the City may renew the contract for two (2) additional six (6) month terms at the price quoted. Three hundred forty-eight (348) vendors were notified via email as well as advertising on the City web page and in local newspapers. Four (4) bids were submitted. Aqua Smart, Inc. of Atlanta, GA responded with a bid of $59,640.00. This is approximately a 6% decrease in price from the previous contract. Bid tabulation is attached. FUNDING SOURCE Water Utilities Fund RECOMMENDATION Approval of the resolution. ATTACHMENTS Phosphate - Bid Tabulation DF0625-22 - Page 1 $59,640.00$61,320.00$62,986.00$67,457.32 wĻƭƦƚƓƭĻ ƚƷğƌ City of Beaumont, Texas eBidsPurchasingDwayne Oxnerdwayne.oxner@beaumonttexas.gov(409) 880-3175 wĻƭƦƚƓƭĻ {ǒĬƒźƷƷĻķ 7/2/2025 03:56:27 PM (CT)7/2/2025 02:28:22 PM (CT) 7/3/2025 09:38:17 AM (CT) 6/13/2025 12:50:55 PM (CT) IL PA GAGA {ƷğƷĻ DF0625-22Six (6) Month Contract for Water Treatment Chemicals - PhosphateThe City of Beaumont is requesting bids for a six (6) month contract to supply Phosphate for treatment of the City's water supply.6/12/2025 10:54:17 AM (CT)7/3/2025 02:00:00 PM (CT)/źƷǤ AtlantaPeruBUFORDMalvern 9ǝĻƓƷ bǒƒĬĻƩ9ǝĻƓƷ źƷƌĻ9ǝĻƓƷ 5ĻƭĭƩźƦƷźƚƓLƭƭǒĻ 5ğƷĻ/ƌƚƭĻ 5ğƷĻwĻƭƦƚƓķźƓŭ {ǒƦƦƌźĻƩ Aqua Smart, Inc.Carus LLCCHEMRITE, INC.Shannon Chemical Corp.tƌĻğƭĻ ƓƚƷĻʹ \[źƓĻƭ wĻƭƦƚƓķĻķ ğƓķ wĻƭƦƚƓƭĻ ƚƷğƌ ƚƓƌǤ źƓĭƌǒķĻƭ ƩĻƭƦƚƓƭĻƭ Ʒƚ ƭƦĻĭźŅźĭğƷźƚƓ͵ bƚ ğƌƷĻƩƓğƷĻ ƩĻƭƦƚƓƭĻ ķğƷğ źƭ źƓĭƌǒķĻķ͵ F TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Earl White, Fire Chief MEETING DATE:July 29, 2025 REQUESTED ACTION:Council consider a resolution approving the purchase of one LP35 defibrillator with accessories for use in the EMS Department. BACKGROUND The defibrillators are used by EMS as a complete acute cardiac care response system designed for basic and advanced life support. Pricing was obtained from Stryker Medical of Chicago, Illinois in the amount of $74,290.82. Stryker is a sole source provider that manufactures services and provides warranty on all defibrillators within the City. FUNDING SOURCE Capital Reserve Fund RECOMMENDATION Approval of the resolution. ATTACHMENTS Quote G TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Sharae Reed, City Attorney MEETING DATE:July 29, 2025 REQUESTED ACTION:Council to consider a resolution authorizing membership in the TEX-21. BACKGROUND TEX-21 is a 20 year old collective, grassroots effort to improve the transportation infrastructure in the States of Texas and Oklahoma. The mission of the organization is to join together cities, counties, private businesses, ports, and transportation entities in a collective, informed voice to reach the State and Federal, Executive and Legislative Policymakers to improve transportation in Texas. This effort includes strategies to increase investment in multi-modal transportation infrastructure, improve the planning and management of our transportation facilities, and increase the awareness of the importance of transportation to all areas of Texas. FUNDING SOURCE General Fund RECOMMENDATION None. ATTACHMENTS A LLEN A RGYLE A RK-T EX COG * B ALCH S PRINGS* B OWIE C OUNTY B ROWN C OUNTY * - Cass County * Capital Metro * - CCRTA C HILDRESS C OUNTY C OLLEYVILLE C OMANCHE * C OMANCHE C OUNTY * C OPPELL C RESSON C ROCKETT C OUNTY EIDC D ALLAS D ALLAS A REA R APID T RANSIT Dallas College * D ALLAS C OUNTY D ECATUR D ELTA C OUNTY D UBLIN E AGLE P ASS* F ARMERSVILLE G LEN R OSE G RANBURY H ASLET -- H OOD C OUNTY Hopkins County H OUSTON METRO -- H UNTSVILLE J EFFERSON C OUNTY - J OHNSON C OUNTY K AUFMAN L AMPASAS - L ANCASTER - M ANSFIELD M C G REGOR Mesquite * M ONT B ELVIEU M OUNT P LEASANT M OUNT V ERNON O AK L EAF - P REMONT* - R OCKWALL * R OCKWALL C OUNTY - S EAGOVILLE S HERMAN Stephenville S ULPHUR S PRINGS S ULPHUR S PRINGS H OPKINS C OUNTY EDC T ARRANT C OUNTY - T EXARKANA - T ITUS C OUNTY V AN A LSTYNE VIA M ETRO Wilmer W YLIE - AAA T EXAS DEC Engineering TexAmericas Center --- H OWARD P AYNE U NIVERSITY T ARLETON S TATE U NIVERSITY T EXAS S OUTHERN U NIVERSITY T EXAS T RANSPORTATION I NSTITUTE Ώ - -- - - - - - 1 TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Amalia Villarreal, P.E., CFM, Director of Public Works MEETING DATE:July 29, 2025 REQUESTED ACTION:Council consider a resolution authorizing the City Manager to award a contract to StructureGuard, LLC, of Austin, TX, for the Cattail Marsh Wetlands Outfall Piling Rehabilitation Project. BACKGROUND The Cattail Marsh Wetlands Outfall Piling Project consists of the rehabilitation of the Cattail Marsh Wetlands 72” diameter outfall pipe support piling. Work will include installing a concrete collar around the existing timber piles from a depth of two (2) feet below ground to the bottom of the concrete caps and wrapping the concrete collars with carbon fiber. In addition, this project provides for removal and disposal of the existing concrete cap and timber piles bents in Willow Marsh bayou that were previously abandoned after their replacement but not removed. On July 3, 2025, five (5) bids were received for furnishing all labor, materials, and equipment for the project. The Engineer’s Estimate is $475,000.00. The bid items are totaled in the table below: Additive Bid Total ContractorLocationBase Bid Total StructureGuard, LLCAustin, TX$281,027.91$31,475.64 Southern Road & Bridge, LLCPalm Harbor, FL$435,000.00$60,000.00 Brystar Contracting, Inc.Beaumont, TX$483,000.00$51,000.00 ALLCO, LLCBeaumont, TX$443,892.32$109,740.00 Norman Highway Constructors, Inc.Orange, TX$570,790.00$34,500.00 The Public Works Engineering staff concurs with the recommendation from Schaumburg & Polk, Inc., to award the contract to the lowest responsive bidder, StructureGuard, LLC., in the amount of $312,503.55. A total of ninety (90) calendar days are allocated for completion of the project. FUNDING SOURCE Water Revenue Bonds. RECOMMENDATION Approval of the resolution. ATTACHMENTS Cattail Marsh Wetlands Outfall Piling Rehabilitation Bid Tab 2 TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Sharae Reed, City Attorney MEETING DATE:July 29, 2025 REQUESTED ACTION:Council to consider a resolution authorizing the settlement of the lawsuit styled Caleb Fenter and Beaumont Professional Firefighters Local #399 (Intervenors) v. City of Beaumont, Christopher S. Boone, Kenneth Williams, Roy West, Earl White, Taylor Neild, Mike Getz, Audwin Samuel, Charles Durio, Albert Turner, and Randy Feldschau. BACKGROUND The lawsuit styled Caleb Fenter and Beaumont Professional Firefighters Local #399 (Intervenors) v. City of Beaumont, Christopher S. Boone, Kenneth Williams, Roy West, Earl White, Taylor Neild, Mike Getz, Audwin Samuel, Charles Durio, Albert Turner, and Randy Feldschau; Cause No. B- 210244, was presented and discussed in Executive Session held on July 15, 2025. The City Attorney is requesting authority to settle this suit in accordance with the settlement agreement. FUNDING SOURCE General Liability Fund. RECOMMENDATION None. ATTACHMENTS 3 TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Carmen Williams, Director of Human Resources MEETING DATE:July 29, 2025 REQUESTED ACTION:Council to consider approving a resolution for a three year agreement with BCBS Prime for pharmacy benefit manager services for city employees and retirees BACKGROUND In July of this year HR benefits and purchasing attended presentations from three pharmacy benefit managers that responded to RFP TF0425-02. Bid proposals were received and evaluated by Holmes Murphy and benefits staff, based on the following weighted qualitative criteria: account management, adherence to request for proposal, customer service, implementation, management reports, performance guarantees, price and value added services. After evaluating the bid proposals, city staff and Holmes Murphy consulting concluded that BCBS Prime pricing generated the largest annual plan savings and scored the highest on the weighted qualitative criteria. As prescription drug costs continue to rise, the city faces a challenge in providing the same level of drug benefits as in previous years. The current pharmacy benefits manager contract with Liviniti will end on 12/31/2025. The drug plan design for city employees will remain the same. A consultant for the City of Beaumont will be present at the city council meeting to answer detailed questions related to the request for proposal. Estimated annual plan cost of $7,000,000.00. FUNDING SOURCE Funds are available in the Employee Benefits fund RECOMMENDATION Approval of the resolution. ATTACHMENTS 4 TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Carmen Williams, Director of Human Resources MEETING DATE:July 29, 2025 REQUESTED ACTION:Consider a resolution authorizing a three-year contract with Blue Cross Blue Shield of Texas with an option for two additional years effective January 1, 2026 for third party administration of the city's self-funded Preferred Provider Organization (PPO) medical and dental plans. BACKGROUND The FY2026 estimated cost of providing a PPO plan and dental benefits is $21,950,000. As medical costs continue to rise, the city faces a challenge in providing the same level of medical benefits as in previous years. A Request for Proposal (RFP) TF0425-02 was solicited and publicly opened on June 12, 2025. Holmes Murphy is the city's benefits consultant and has assisted the city in the evaluation of the responses. Three medical and dental proposals were received and city staff along with Holmes Murphy reviewed the responses from BCBS, Aetna and United Healthcare. After analyzing and negotiating with the finalists, city staff and Holmes Murphy concluded that BCBS, the incumbent carrier, offered the most cost-effective plan with an extensive provider network and deep provider discounts. The final negotiated rates for the PPO medical plan consists of the following benefits: The PPO Medical Plan: Plan Design deductible $1,000 Primary Care Copay $25 Specialty Copay $50 Staff recommends implementation of the following rates to be paid by the city for medical and dental administration effective January 1, 2026. BCBS ASO medical fees Year 1 $52.98 Year 2 $56.93 Year 3 $59.49 BCBS ASO dental fees Year 1 $3.25 Year 2 $3.25 A consultant from Holmes Murphy will be present at the city council meeting to answer detailed questions related to the request for proposal. FUNDING SOURCE Funds are available in the Employee Benefits fund RECOMMENDATION Approval of the resolution. ATTACHMENTS 5 TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Amalia Villarreal, P.E., CFM, Director of Public Works MEETING DATE:July 29, 2025 REQUESTED ACTION:Council consider a resolution approving a contract with Woolpert, Inc., of Dayton, Ohio, for Professional Engineering Services – Traffic Study Highway 105 and Major Drive. BACKGROUND The City is seeking professional engineering services to conduct a comprehensive traffic study in the vicinity of the intersection of Texas Department of Transportation’s (TxDOT) State Highway 105 (SH 105) and Farm to Market Road 364 (FM 364), also known as Major Drive. This study will evaluate options for enhancing traffic safety near RFD Road at SH 105. The engineering consultant will assess all feasible improvements, including geometric modifications, new traffic signals, raised medians, and operational changes. They will provide phased recommendations on the order of implementation for these improvements. The final deliverables will provide the City with a clear plan and a strong foundation for coordination with TxDOT and other stakeholders. Three hundred three (303) vendors were notified via email as well as advertising on the City web page and in the local newspaper. Four (4) responses were received and evaluated by City Staff. The criteria and scores are attached. FUNDING SOURCE Certificates of Obligation. RECOMMENDATION Approval of the resolution. ATTACHMENTS Professional Engineering Services – Traffic Study Highway 105 and Major Drive Scoring 6 TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Amalia Villarreal, P.E., CFM, Director of Public Works MEETING DATE:July 29, 2025 REQUESTED ACTION:Council consider a resolution authorizing the City Manager to execute Change Order No. 1 to the contract with SETEX Construction Corp, of Beaumont, for the Pine St. SWTP South Basin Sludge Drain Rehabilitation Project. BACKGROUND On December 3, 2024, by Resolution No. 24-321, the City Council awarded a contract to SETEX Construction Corp, of Beaumont, TX, in the amount of $333,562.38 for the Pine St. SWTP South Basin Sludge Drain Rehabilitation Project. Proposed Change Order No. 1, in the amount of $39,373.83, is required for the following modifications to the contract: During excavation, the Contractor discovered that the existing concrete footings for the Water Treatment Plant were larger than indicated in the record drawings. This discrepancy necessitated adjustments to the layout of the manholes and drain pipes for the first two basin drains. As a result, the new drain manholes must now be located within the Pine St. roadway, requiring additional excavation, traffic management, and materials. This change will incur an additional cost of $39,373.83 and extend the project timeline by seventy (70) calendar days. An additional ninety (90) calendar days are also required due to unforeseen delays in the delivery of specialized valves. While alternative valve options were considered, the originally specified valves provide the best value to the City, and this change will not increase costs. If approved, Change Order No. 1 would result in a new contract amount of $372,936.21, and one-hundred sixty (160) calendar days will be added to the contract for the delays and additional work. FUNDING SOURCE Water Revenue Bonds RECOMMENDATION Approval of the resolution. ATTACHMENTS 7 TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Sharae Reed, City Attorney MEETING DATE:July 29, 2025 REQUESTED ACTION:Council to consider an ordinance denying Texas Gas Service Company proposed rates. BACKGROUND Texas Gas Service Company (TGS) recently filed an application with your City for an increase in gas service rates. The total rate increase requested is $41.1 million annually, representing a 9.83% increase in non-gas revenues. If approved, the average increase for customers in the Small Residential Class would be $3.94 for usage of 17 Ccf per month. Customers in the Large Residential Class using 46 Ccf per month would see an average decrease of $2.99 per month. TGS has proposed that the gas service rate increase become effective on August 19, 2025. TGS is authorized to make annual GRIP rate change requests pursuant to the Gas Utility Regulatory Act, Tex. Util. Code §104.301 (GRIP Statue). The GRIP Statue authorizes gas utility companies to request rate increases associated with year-to-year changes in incremental investment. The GRIP Statue also provides that the proposed GRIP rate surcharge will become effective sixty (60) days from the date of the company’s filing, unless suspended by the City. FUNDING SOURCE Reasonable expenses associated with rate cases are reimbursable by the company as provided for in the Public Utility Regulatory Act. RECOMMENDATION Approval of the ordinance. ATTACHMENTS PUBLIC HEARING Council to conduct a Public Hearing to receive comments concerning the proposed amendments of Article 6, Gaming Sites and Gaming Machines, from the City of Beaumont’s Code of Ordinances 8 TO:City Council FROM:Kenneth R. Williams, City Manager PREPARED BY:Demi Engman, Director of Planning and Community Development MEETING DATE:July 29, 2025 REQUESTED ACTION:Council consider an ordinance amending Article 6 of the City of Beaumont’s Code of Ordinances to prohibit gaming sites and gaming machines within the city limits. BACKGROUND In City of Fort Worth v. Rylie, the Texas Court of Appeals ruled that Fort Worth’s city ordinances regulating gaming were not preempted by state law. The court concluded that eight- liner gaming machines operated in game rooms are unconstitutional lotteries under the Texas Constitution because they involve the elements of chance, consideration (payment), and prize. However, the Texas Comptroller (State) continues to issue decals and collect occupational tax for gaming machines. The amendment of Article 6 of the City of Beaumont’s Code of Ordinances is necessary to fully effectuate a prohibition on gaming operations within the city limits of Beaumont (exhibit attached). All game room owners have been notified of this item by mail, using the addresses provided on their current gaming permits. This item will be heard twice by the City Council. If affirmed twice, properties containing gaming machines will have ninety (90) days thereafter to cease gaming operations within the city limits of Beaumont. FUNDING SOURCE Not applicable. RECOMMENDATION None. ATTACHMENTS Proposed text amendments. City of Beaumont, TX § 6.10.001 § 6.10.001 ARTICLE 6.10 GAMING SITES AND GAMING MACHINES DIVISION 1 Generally § 6.10.001. Definitions. For the purposes of this article, the following definitions shall apply unless the context clearly indicates or requires a different meaning: Accessory gaming. A building, facility or other place that contains five (5) or less amusement redemption machines and is considered accessory to a business with an existing certificate of occupancy on record with the building codes department. Accessory gaming shall be in strict compliance with the regulations of article 6.10 unless otherwise specified. Amusement redemption machines. Any electronic, electromechanical, or mechanical contrivance designed, made, and adopted for bonafide amusement purposes that rewards the player exclusively with noncash merchandise, prizes, toys, or novelties, or a representation of value redeemable for those items, that have a wholesale value available from a single play of the game or device of not more than ten (10) times the amount charged to play the game or device once, or $5.00, whichever amount is less. Applicant. The applicant is the intended owner of the game room. Chief building official. The chief building official for the City of Beaumont or the designated representative of the chief building official. Child care facility. An establishment that provides assessment, care, training, education, custody, treatment or supervision for a child who is not related by blood, marriage or adoption to the owner or operator of the facility for all or part of the twenty-four (24) hour day whether or not the establishment operates for profit or charges for its services. Church. A building, in possession of a certificate of occupancy, in which persons regularly assemble for purposes of religious worship, intended primarily for purposes connected with such worship or for propagating a particular form of religious belief. City manager. The city manager of the City of Beaumont or the designated representative of the city manager. Coin operated machine. Any kind of machine or device operated by or with a coin or other United State currency, metal slug, token, electronic card, or check including a skill or pleasure coin operated machine. Door attendant. An individual who acts to regulate entry of customers or other persons into a game room. Eight liner. See gaming machine. Fire chief. The chief of the City of Beaumont Fire Department or the designated representative of the chief of the fire department. Game room. A building, facility, or other place that contains six (6) or more amusement Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.001 § 6.10.001 redemption machines. Game room owner. An individual who: (1) Has ownership interest in or receives income from a game room or an amusement redemption machine located in a game room; (2) Is a partner, director or officer of a business, company, or corporation that has an ownership interest in a game room or in an amusement redemption machine located in a game room; (3) Is a shareholder that holds more than ten percent (10%) of the outstanding shares of a business, company, or corporation that has an ownership interest in a game room or in an amusement redemption machine located in a game room; (4) Has been issued by the county clerk an assumed name certificate for a business that owns a game room or an amusement redemption machine located in a game room; (5) Signs a lease for a game room; (6) Opens an account for utilities for a game room; or (7) Receives a certificate of occupancy for a game room. Game room permit administrator. The game room permit administrator or the designated representative of the game room permit administrator. Gaming machine. See amusement redemption machine. Hospital. A building, in possession of a certificate of occupancy, where the primary function is to provide medical and/or surgical treatment to sick or injured people and or otherwise defined by the Texas Occupations Code chapter 241. Operator. An individual who supervises, manages, or participates in the performance of activities that contribute to the functioning of a game room, including the following activities: (1) Operates a cash register, cash drawer, or other depository on the premises of a game room or of a business where the money earned or the records of credit card transactions or other credit transactions generated in any manner by the operation of a game room or activities conducted in a game room are kept; (2) Displays, delivers, or provides to a customer of a game room merchandise, goods, entertainment, or other services offered on the premises of a game room; (3) Takes orders from a customer of a game room for merchandise, goods, entertainment, or other services offered on the premises of a game room; or (4) A door attendant. Owner. See game room owner. Permit. A current, valid permit issued by the city manager pursuant to the terms of this article to an owner of a game room. Permit holder. An individual who has been issued a valid permit pursuant to this article. Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.003 § 6.10.001 Police chief. The chief of police of the City of Beaumont Police Department or the designated representative of the chief of police. Residential zoning district. A zoning district which allows the use of a single-family dwelling or two-family dwelling as listed in section 28.03.023 Permitted uses. School. A building, in possession of a certificate of occupancy, where persons regularly assemble for the purpose of instruction or education together with the playgrounds, stadia and other structures or grounds used in conjunction therewith. The term is limited to: (1) Public and private schools used for primary and/or secondary education, in which any regular kindergarten or grades one through twelve (12) classes are taught; (2) Colleges and universities; and (3) Special education facilities in which students who have physical or learning disabilities receive specialized education in lieu of attending regular classes in kindergarten or any grades one through twelve (12). Skill or pleasure coin operated machine. Any kind of coin operated machine that dispenses, or is used or is capable of being used to dispense or afford amusement, skill, or pleasure, or is operated for any purpose, other than for dispensing only merchandise, music or service. This includes: (1) A marble machine, marble table machine, marble shooting machine, miniature racetrack machine, miniature football machine, miniature golf machine, miniature bowling machine, billiard or pool game, or machine or device that dispenses merchandise or commodities or plays music in connection with or in addition to dispensing skill or pleasure; and (2) Does not include any amusement machine designated exclusively for a child. (Ordinance 23-073 adopted 9/26/2023) § 6.10.002. Declaration of findings Gaming Prohibited. Amusement redemption machines, accessory gaming, gaming machines and game rooms are hereby prohibited from being operated within the city limits of the City of Beaumont. The necessity of the public interest for the provisions and prohibitions hereinafter contained and enacted is declared as a matter of legislative determination and public policy, and it is further declared that the provisions and prohibitions contained in this article are in the furtherance of and for the purpose of securing and promoting the public health, comfort, convenience, safety, welfare and prosperity of the city and its inhabitants. (Ordinance 23-073 adopted 9/26/2023) § 6.10.003. through § 6.10.030. (Reserved) Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.031 § 6.10.031 DIVISION 2 Permits § 6.10.031. Permit required. (a) It shall be unlawful for any operator or owner of the game room to operate, use, or maintain a game room without first obtaining a permit from the city issued under the terms and conditions of this article. (b) It shall be unlawful for any operator, permit holder or owner of the game room to operate, use, or maintain a game room located within the city unless the permit issued for that site is posted at or near the principal public entrance to the game room in such a manner that it will be conspicuous to patrons who enter the game room. (c) In any prosecution under subsection (a) above, it shall be presumed that there was no permit at the time of the alleged offense, unless a permit was then and there posted as provided in subsection (b). (d) If there is a change in ownership or operation as delineated in subsection (a), a new application and permit will be required. Additionally, after the denial or revocation of a gaming permit, a new application will be required and is not considered to be a renewal. (e) A game room owner shall obtain a permit from the city, prior to operation, for each game room located in the city. (f) The application for a permit required by this section shall be in the form prescribed by the game room permit administrator and shall contain such information as they shall require. Any failure to provide the information required by this section or a determination is made that inaccurate, erroneous or incomplete information has been submitted shall be grounds for denial of the application. (g) The proposed game room must comply with all locally adopted ordinances and comply with all federal and state statutes and regulations at the time of the submission of the application for a permit. (h) Each application shall also be accompanied by: (1) A copy of a certificate of occupancy issued by the chief building official as appropriate for the proposed game room; (2) In the case of a game room to be operated under an assumed name, a true and correct copy of the registration of the assumed name filed in the office of the county clerk, bearing the file mark or stamp that evidences its filing in that office; and (3) In the case of a game room to be operated as a corporate entity, a true and correct copy of the Texas Secretary of State corporate filing documents, bearing the file mark or stamp that evidence filing with the Texas Secretary of State. (4) Nonrefundable fee(s) as listed in section 6.10.072, fee schedule. (i) Each application received under this section will be investigated to determine whether the Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.032 § 6.10.031 permit holder, applicant, owner and operators of a game room have been convicted of any of the following offenses: (1) Gambling, gambling promotion, keeping a gambling place, communicating gambling information, possession of gambling devices or equipment, or possession of gambling paraphernalia as described in Tex. Penal Code ch. 47; (2) Forgery, credit card abuse or commercial bribery as described in Tex. Penal Code ch. 32; (3) Money laundering as described in Tex. Penal Code ch. 34; (4) Criminal attempt, conspiracy or solicitation to commit any of the foregoing offenses; or any other offense to the laws of another state or the United States that, if committed in this state, would have been punishable as one or more of the aforementioned offenses; or (5) A criminal offense as described in Tex. Local Government Code ch. 352, subch. B; and (A) Less than two (2) years have elapsed since the date of conviction or the date of release from confinement for the conviction, whichever is the late date, if the conviction is of a misdemeanor offense; or (B) Less than five (5) years have elapsed since the date of conviction or the date of release from confinement for the conviction, whichever is the later date, if the conviction is of a felony offense. (j) A conviction, within the past ten (10) years, for an offense involving gambling and the possession of gambling paraphernalia, as defined above, shall be grounds for denial, revocation, or refusal to renew such licenses because these businesses offer special opportunities for gambling activities. (k) Any failure of a proposed game room to meet all requirements of this section shall be grounds for denial, revocation, or suspension of a game room license. (l) Each game room permit is valid for one year and shall expire on the anniversary date of the issuance of the permit. A permit may be renewed for the following calendar year beginning sixty (60) days before the expiration of the current permit by filing a completed application for each permit and paying the applicable fee set forth in section 6.10.072, fee schedule. (m) A machine that provides the possibility, probability and/or certainty of dispensing a noncash prize, toy or novelty with a value of not more than ten (10) times the amount charged to play the game or device once, or $5.00, whichever is less at the time of play, but does not allow the player to amass or accumulate points, tokens or any other method to accumulate credits towards larger or greater value noncash merchandise prizes, toys or novelties is exempt from the requirements of this article. (Ordinance 23-073 adopted 9/26/2023; Ordinance 25-008 adopted 2/18/2025) § 6.10.032. Machine registration requirements. Gaming machines, as defined in this article, shall be registered as follows: Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.033 § 6.10.032 (1) The permit holder, game room owner or operator is required to maintain in its game room a complete inventory list, along with serial numbers or equivalent identification, as set forth in subsections (4) and (5) below at all times. The initial application for permit shall include a certificate of the inventory, along with serial numbers or equivalent identification, as set forth in subsections (4) and (5) below, of the machines that the permit holder intends to put into operation when the game room begins its business activities. (2) Each renewal permit application shall contain a certificate of inspection of updated inventory list, along with serial numbers or equivalent identification, as set forth in subsections (4) and (5) below, of the gaming machines that the permit holder intends to put into operation when the game room begins its business activities under the renewal license. (3) Before a new gaming machine is put into operation at the game room, the permit holder shall update the inventory list and register the gaming machine with the city and pay all taxes and regulatory license fees as required. Changes or additions to the inventory list submitted separately from the initial application are subject to the regulatory enforcement license fee listed in section 6.10.072, fee schedule. (4) Upon review of the inventory of machines under subsections (1), (2) and (3) above, the city registration decal will be issued for each gaming machine. The registration decal will contain an inventory number. The registration decal for each machine shall be permanently affixed thereto and in plain view at all times and shall match the Texas Comptroller issued identification number displayed on the machine as indicated on the submitted inventory list as described under subsection (1). Registration decals are not transferable. The failure of any machine to display a current registration decal shall be a violation of this section and subject to enforcement action by the city. (5) The inventory of machines under subsections (1), (2) and (3) above shall provide the following information: the manufacturer(s); the serial number(s); common name, type or description of the game played on the machine. The registration decal shall contain the inventory number of the machine. (6) A penalty as listed in section 6.10.097 will be assessed against each unregistered machine found to be in operation at a game room. (Ordinance 23-073 adopted 9/26/2023) § 6.10.033. Site plan required. A site plan of the location must be provided upon initial application or a permit renewal if modifications to the site have been made or gaming machines have been added. The site plan must include the following details: (1) Overall view of the property; (2) Parking spaces for the location; (3) Floor plan of building(s); (4) Location of gaming machine(s); and Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.035 § 6.10.033 (5) Windows and doors. (Ordinance 23-073 adopted 9/26/2023) § 6.10.034. Certificate of occupancy required. (a) It shall be unlawful to operate any game room located within the city unless the certificate of occupancy issued for that site is posted at or near the principal public entrance to the game room in such a manner that it will be conspicuous to patrons who enter the game room. (b) All associated laws, ordinances and adopted codes shall apply to obtaining said certificate of occupancy. (Ordinance 23-073 adopted 9/26/2023) § 6.10.035. Initial application and renewal application requirements. (a) A permit issued under this article does not vest any property rights in the applicant or permit holder; except to display, exhibit or maintain for public patronage the use of any gaming machines in accordance with the terms and conditions of this article. (b) A permit is nontransferable and nonrefundable. (c) A permit shall be issued for a twelve (12) month term beginning on the date of issuance. (d) Any false statement made by an applicant on the application shall subject the permit to immediate suspension pending revocation and the application may be prosecuted as a violation of section 37.10 of the Texas Penal Code (tampering with governmental records), a third degree felony. (e) An application for permit shall be made by the intended game room owner of the game room. (f) Prior to application of a gaming permit, a gaming locate form shall be submitted to the city in a form prescribed by the game room permit administrator for each proposed location to ensure distancing requirements are met in accordance with section 6.10.068 and collect fees as listed in section 6.10.072, fee schedule. (g) The gaming permit application must be submitted with the following: (1) A copy of a certificate of occupancy issued by the chief building official of the city for the proposed game room; (2) A list of game room owner(s) and operators with fingerprint reports of the game room owners and operators of the proposed game room; (3) Name, address and telephone number of the game room owner(s) and operators, including the trade name by which owner(s) and operators does business and the street address of the proposed game room, and, if incorporated, the name registered with the Secretary of State; (4) In the case of corporate ownership, a copy of the certificate of incorporation; (5) In the case of a game room to be operated under an assumed name, a true and correct Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.035 § 6.10.035 copy of the registration of the assumed name filed in the office of the county clerk, bearing the file mark or stamp that evidences its filing in that office; (6) An inventory list, along with serial numbers or equivalent identification, as set forth in subsections 6.10.0032(4) and (5), of the machines that the permit holder intends to put into operation when the game room begins its business activities; (7) Game room permits shall not be issued to the applicant unless the application is signed by the applicant: (A) I am applying for a permit on behalf of the permittee and I have actual knowledge of the operation of a game room under this permit; I acknowledge that any person operating a game room under this permit will do so under my direction and control, and I further acknowledge that I may be held criminally liable for illegal activity associated with the game room under this permit, including gambling, gambling promotion, or keeping a gambling place under chapter 47 of the Penal Code; operating an unauthorized game room under chapter 6 of the city code; and other applicable penal statutes. (8) Game room permits shall not be issued to the applicant unless that application is signed by a natural person: (A) Who is: (i) The property owner; or (ii) If the property owner is a business organization, a natural person who attaches to the application documentary evidence demonstrating that they are authorized to sign the application on behalf of the property owner; and (B) Who signs the following acknowledgement: I have actual knowledge of the operation of a game room under this permit; I acknowledge that any person operating a game room under this permit will do so under my direction and control, and I further acknowledge that I may be held criminally liable for illegal activity associated with the game room under this permit, including gambling, gambling promotion, or keeping a gambling place under chapter 47 of the Penal Code; operating an unauthorized game room under chapter 6 of the city code; and other applicable penal statutes. (9) A site plan as set forth in section 6.10.033; (10) The application or renewal fee as listed in fee schedule in section 6.10.072; (11) The occupation tax fee per machine as listed in the fee schedule in section 6.10.072; (12) Whether a previous permit of the game room owner(s) and operators or, if applicable, a corporate officer of the game room owner(s) and operators has ever been revoked; (13) A statement that all the facts contained in the application is true and correct; and (14) Proof of having submitted to and passed any applicable annual inspections. Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.037 § 6.10.035 (h) Any false statement made by an applicant on the application shall subject the permit to immediate suspension pending revocation and the applicant may be prosecuted as a violation of V.T.C.A., Penal Code 37.10 (tampering with evidence), a third degree felony. (Ordinance 23-073 adopted 9/26/2023) § 6.10.036. Application process. (a) The application process shall commence upon the submission of a complete application, with all required attachments and the application fee, to the game room permit administrator. (b) Once a complete application has been received, the fire chief will conduct up to three (3) inspections of the applicant's proposed game room to ensure compliance with these regulations. The game room owner must be present in person during these inspections. (1) The fire chief shall conduct the initial inspection within twenty-one (21) days of receipt of the completed application and payment of the regulatory enforcement license fees as listed in section 6.10.072, fee schedule. It shall be the responsibility of the permit holder to schedule all required inspections. (2) After the initial inspection, the applicant will be informed of what corrections, if any, must be made to the proposed game in order to comply with these regulations. (3) If necessary, a second inspection will be performed not less than seven (7) days nor more than fourteen (14) days after the initial inspection. After this inspection, the applicant will again be informed of what corrections must be made to the proposed game room, if any, in order to comply with these regulations. (4) If necessary, a third and final inspection will be performed not less than seven (7) days nor more than fourteen (14) days after the second inspection. A reinspection fee as listed in section 6.10.072 shall be paid prior to conducting the third inspection. If, after the third and final inspection, the proposed game room fails to comply with these regulations, the game room permit administrator shall deny the application. (5) If the proposed game room passes inspection and meets all requirements of these regulations after any inspection, the game room permit administrator shall approve the application. (c) Failure to provide any information required by this section or a determination by the game room permit administrator that inaccurate, erroneous, or incomplete information has been submitted shall be grounds for denial of the application. (Ordinance 23-073 adopted 9/26/2023) § 6.10.037. Grounds for denial or revocation. (a) The game room permit administrator shall refuse to approve the issuance or renewal of a permit or shall revoke a permit for one or more of the following reasons: (1) A false statement as to a material matter made in an application for a permit; (2) Revocation of a permit, pursuant to this article, of the owner or operator; Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.041 § 6.10.037 (3) The owner or operator for such permit has, within the past ten (10) years, been convicted of a crime involving moral turpitude or gambling. (b) The game room permit administrator shall not issue or renew a permit under this article and shall suspend or revoke a permit if it is determined that the applicant or permit holder is indebted to the city for any fee, costs, penalties, or delinquent taxes at the time of application or renewal. (c) The game room permit administrator shall have the authority to deny or revoke all permits issued under this provision for any violation of this article by giving written notice, stating the reason for denial or revocation, and same shall be cancelled thirty (30) days from the date of receipt of such notice unless the applicant resolved all violations listed in the written notice. (d) No permit shall be issued to an owner or operator whose permit has been revoked, except through the appeals process as described in section 6.10.038. (Ordinance 23-073 adopted 9/26/2023) § 6.10.038. Appeal from denial or revocation. If the game room permit administrator denies, refuses to approve the issuance of a permit or the renewal of a permit to an applicant, or revokes a permit issued under this article, this action is final unless the applicant or permit holder, within ten (10) days after the receipt of written notice of the action, files a written appeal to the city council by delivering said notice to the city clerk setting forth specific grounds for the appeal. The city council shall hear the appeal or select a hearing officer to preside over the appeal hearing. The city council or hearing officer shall within fourteen (14) days of the notice of appeal, grant a hearing to consider the action. The city council and hearing officer have the authority to sustain, reverse, or modify the action appealed. The decision of either the city council or hearing officer is final. (Ordinance 23-073 adopted 9/26/2023) § 6.10.039. Transfer of permit. A permit issued under the provisions of this article shall be specific to the site and personal to the holder thereof and shall not be transferable or assignable. (Ordinance 23-073 adopted 9/26/2023) § 6.10.040. Replacement permits or decals. (a) A replacement permit shall be issued to the original applicant for one lost, destroyed, or mutilated after an application is submitted with the fee listed in section 6.10.072, fee schedule to the game room permit administrator on a form provided by the city for such purpose. (b) A replacement permit shall bear the same expiration date as the one it replaces. (Ordinance 23-073 adopted 9/26/2023) § 6.10.041. Occupation tax. (a) Every permit holder who controls, possesses, exhibits, or displays, or who permits to be Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.042 § 6.10.041 exhibited or displayed in the city for public patronage or operation by the public, any gaming machines shall pay, and is hereby levied on each such gaming machine, except those exempt under this article, an annual occupation tax in the amount equal to one-fourth (1/4) of the current state occupation tax. All occupation taxes for gaming machines are payable annually in advance. The fee for issuing a replacement occupation tax receipt for one lost, destroyed or mutilated shall be as outlined in the fee schedule of this code. (b) Since the tax is payable in advance on an annual calendar year basis, the following pro rata tax rate schedule will be applicable to a gaming machine which is first exhibited or displayed for a commercial use within the city during any quarter of the calendar year: (1) First quarter.January 1 to March 31 - an amount equal to the applicable local annual occupation tax; (2) Second quarter.April 1 to June 30 - an amount equal to three-quarters (3/4) of the applicable local annual occupation tax; (3) Third quarter.July 1 to September 30 - an amount equal to one-half (1/2) of the applicable local annual occupation tax; and (4) Fourth quarter.October 1 to December 31 - an amount equal to one-quarter (1/4) of the applicable local annual occupation tax. (c) In computing any tax payable under the aforesaid pro rata tax schedule, amounts calculated thereunder shall be rounded to the next higher full cent amount as required. (Ordinance 23-073 adopted 9/26/2023; Ordinance 25-008 adopted 2/18/2025) § 6.10.042. through § 6.10.060. (Reserved) Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.063 § 6.10.061 DIVISION 3 Inspections § 6.10.061. Inspections; compliance. (a) The game room shall conform to all locally adopted ordinances and comply with all federal, state, and local ordinances and regulations relevant to the operations of a game room or gaming machine. (b) The fire chief, the chief building official, all law enforcement, and all code enforcement officials shall have the right to immediately access to the area of the game room where such machines are located at any time during normal business hours or when the site is occupied for the purpose of inspecting said game room and enforcement of the terms of this article and state law. (c) A game room owner, operator, or any person who does not allow immediate access to the area of the game room where such machines are located to officials for the purpose of inspection or enforcement commits an offense. (Ordinance 23-073 adopted 9/26/2023) § 6.10.062. Fire and life safety. (a) A game room shall provide doors that are readily accessible without the use of a key, buzzer, or special knowledge or effort, during business hours or any other hours of operation. (b) A game room or commercial establishment shall comply with all construction and fire codes, and shall pay any court-approved fees associated with a fire and life safety inspection, plan review, occupancy load calculation, or complaint. (c) All construction and fire code regulations will be strictly enforced and game rooms shall provide any fire safety official with immediate access to the premises at all times. (Ordinance 23-073 adopted 9/26/2023) § 6.10.063. Operating hours of gaming machines. (a) It shall be the duty of the game room owner, permit holder and operators of a game room to ensure compliance with this section. The owner, permit holder and operators of a game room are liable for compliance with this section. (b) A game room shall operate only between the hours of 9:00 a.m. and 10:00 p.m. Monday through Sunday. Outside of operating hours, all gaming machines located at a game room must be made physically inaccessible to the public and unusable from 10:00 p.m. to 9:00 a.m. Each hour and/or portion of an hour that a gaming machine is accessible and operational during prohibited hours is a separate violation. (c) Accessory gaming shall operate only between the hours of 9:00 a.m. and 10:00 p.m. Monday through Sunday. Outside of operating hours, the machines must be made inoperable from 10:00 p.m. to 9:00 a.m. Each hour and/or portion of an hour that a gaming machine is operational during prohibited hours is a separate violation. Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.067 § 6.10.063 (d) The game room owner, permit holder and operators of a game room that operate a game room in violation of this section shall be assessed a penalty as listed in section 6.10.092. Each hour and/or portion of an hour that a game room is operational during prohibited hours is in violation of these regulations and is a separate violation. (e) A person commits a class C misdemeanor offense if they intentionally or knowingly operate a game room in violation of this section. (Ordinance 23-073 adopted 9/26/2023) § 6.10.064. Signage. (a) Notwithstanding section 28.04.003 of the Code of Ordinances or any other city ordinance, code or regulation to the contrary, it shall be unlawful for the operator or owner of a game room not to clearly identify the site with a sign as required by this article. (b) The sign displayed should be one provided by the city with a white background with black Arial font lettering of 1.5 inches. (c) The sign must clearly read "game room" for establishments with six (6) or more amusement redemption machines and may not include any advertisements. (d) The sign must clearly read "accessory gaming" for establishments with five (5) or less amusement redemption machines and may not include any advertisements. (Ordinance 23-073 adopted 9/26/2023) § 6.10.065. Transparent, uncovered windows required. (a) Every game room shall have transparent, unobstructed windows or open space on at least one side so that the area is open to view by the general public passing by on a street. The owner or operator of a game room shall not permit any obstruction of such public view by the use of drawn shades, blinds, partitions, tinting or other structure or obstructions. Violation of this section will result in the penalty listed in section 6.10.097. (b) The requirement of subsection (a) may be waived or modified by the game room permit administrator if the owner can demonstrate all of the site's gaming machines or eight-liners are visible upon entering the premises from the front door. (Ordinance 23-073 adopted 9/26/2023) § 6.10.066. Security camera system required. All game rooms must have Closed Caption Television (CCTV) camera systems and/or security monitoring system at the owner's expense. Those systems and any records or recordings made by those systems shall be stored such that they can be made available to law enforcement or city officials upon request. It shall be a violation of this section if any requested footage or other records have been deleted, recorded over, or otherwise made irretrievable by any person. The security monitoring system must be installed such that all amusement redemption machines within the building are being monitored at all times. (Ordinance 23-073 adopted 9/26/2023) Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.069 § 6.10.067 § 6.10.067. Game room memberships. (a) It shall be the duty of the game room owner, permit holder and operator to ensure compliance with this section. (b) Game room memberships are prohibited for any purpose. (c) A game room shall not restrict entry to a game room and/or prohibit the participation in any activity inside a game room by a patron through the requirement of a game room membership. (d) Game rooms shall not issue membership cards to any individual for any purpose. (e) A person who operates a game room in violation of this subsection shall be assessed a fine as listed in section 6.10.097. Each person denied entry based on any requirement of a game room membership is considered a separate violation. Each day a violation occurs or continues to occur is considered a separate violation. (f) Any violation of this section is grounds for denial, revocation, or suspension of a game room permit. (Ordinance 23-073 adopted 9/26/2023) § 6.10.068. Prohibited locations. (a) Game rooms must comply with the city's zoning regulations. (b) A game room in operation shall not be located: (1) Within 600 feet from any school, child care facility, church, hospital, or residential zoning district; or (2) Within a distance of 1,000 feet from an existing game room. Accessory gaming is exempt from this requirement. (c) The measurement of the distance between the place of business and an existing game room, residential zoning district, child care facility, church, hospital or school shall be determined by measurements made in a straight line, without regard to intervening structures or objects, from the nearest point on the applicant's property line to the nearest point of the residential zoning district, child care facility, church, hospital or school property line. (d) Game rooms are exempt from these distancing restrictions upon proof that the game room location held a valid permit for the year preceding reapplication. If the game room permit is suspended, revoked, denied renewal, allowed to lapse, or otherwise the game room does not have a valid permit for any period of time, then the game room will be considered a new game room and not exempt from the distancing requirements. (Ordinance 23-073 adopted 9/26/2023) § 6.10.069. Responsibility of permit holder. (a) A door attendant must be present at all times during the operating hours of the facility. Accessory gaming is exempt from this requirement. Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.073 § 6.10.069 (b) On-premises consumption of alcohol is prohibited at any location containing amusement redemption devices and/or skill pleasure coin operated machines. (Ordinance 23-073 adopted 9/26/2023) § 6.10.070. Regulatory enforcement license fee. (a) A game room owner shall be required to secure a regulatory enforcement license annually. A game room shall be required to secure a regulatory enforcement license by paying to the city an annual inspection and regulatory enforcement license fee as listed in section 6.10.072, fee schedule for each amusement redemption machine. The regulatory license fee is implemented to cover the costs to issue the permits, regulate the game rooms, and to determine whether the provisions of this article are complied with. The annual term for all gaming machines within a game room shall have an expiration date which coincides with the gaming room permit expiration/renewal date irrespective of the gaming machine initial licensing date. (b) Any back-up or replacement amusement redemption machines shall be secured in a locked storage area or closet to which the public is not allowed to enter and such machines shall not be connected to electricity or otherwise operational. The occupation tax on such back-up or replacement amusement redemption machines shall be paid annually regardless of whether such machines are used by the game rooms. Any back-up or replacement amusement redemption machine must comply with section 6.10.032 and pay the regulatory enforcement license fee listed in section 6.10.072, fee schedule. (Ordinance 23-073 adopted 9/26/2023) § 6.10.071. ID badgesgame room owners and operators. All game room owners and operators in a game room shall be required to secure an ID badge issued from the city annually following the completion of the required background checks as described in section 6.10.035(g)(2). ID badge fees and replacement fees are listed in section 6.10.072, fee schedule, game room owner and operator ID badges shall be worn and visible at all times while operating and working in a game room, and the failure to do so is a violation subject to a fine according to the penalty schedule in section 6.10.097. An ID badge issued under the provisions of this article shall be specific to the site and personal to the holder thereof and shall not be transferable or assignable. (Ordinance 23-073 adopted 9/26/2023) § 6.10.072. Fee schedule. The fees as outlined in the fee schedule of this code shall apply to this article. (Ordinance 23-073 adopted 9/26/2023; Ordinance 25-008 adopted 2/18/2025) § 6.10.073. through § 6.10.090. (Reserved) Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.092 § 6.10.091 DIVISION 4 Enforcement § 6.10.091. Violations of existing laws not authorized. Nothing herein shall be construed or have the effect to license, permit, authorize or legalize any machine, device, table, or gaming machine, the keeping, exhibition, operation, display or maintenance of which is illegal or in violation of any ordinance of the city, any section of the Penal Code of this state, or the Constitution of this state. (Ordinance 23-073 adopted 9/26/2023) § 6.10.09203. Penalties. (a) It shall be the duty of all owners or operators of a game room, or other person exercising control over a game room, a portion of a game room, to provide any law enforcement officer, fire life safety officer or code enforcement officer with immediate unrestricted access during business hours to all areas of a game room and to all amusement redemption machines. (b) The game room must comply with all locally adopted ordinances and comply with all federal, state, and local ordinances and regulations at the time of the submission of the application for a permit. (c) A game room owner, operator or any person who does not allow immediate access to the area of the game room where such machines were located to officials for the purpose of inspection or enforcement commits an offense. See penalty fees listed in section 6.10.097. (d) A game room shall provide doors that are readily accessible without the use of a special key, special knowledge or effort during business hours or any other hours of operation. (e) It shall be unlawful for a game room owner or operator to exhibit or display, or permit to be exhibited or displayed for commercial use, any gaming machine which: (1) Does not have properly attached decal evidencing payment of applicable occupation tax and machine registration; (2) Is located at any address or location other than the location listed for such machine as shown in the records of the city; or (3) Has affixed to it a decal other than the decal issued for such as shown in the records of the city. (a) Except other provided by this section, if it be shown that a person has violated this article, upon conviction, the defendant shall be punished by a fine of not less than two hundred dollars ($200.00). (b) Upon second conviction for a violation of this article, the defendant shall be punished by a fine of not less than five hundred dollars ($500.00). (f) Any violation charged pursuant to this section shall be independent of and may be in addition to any administrative penalties which may be imposed regarding the suspension, revocation or denial of any permit or license granted under this article. Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.096 § 6.10.092 (Ordinance 23-073 adopted 9/26/2023) § 6.10.093. Sealing machine for nonpayment; hearings. (a) The fire chief shall seal, in a manner that will prevent further operation, any gaming machine upon which the tax required by this article has not been paid or upon which the decal is not properly displayed. The game room owner or operator of any machine subject to this article shall be required to pay a fee equal to the maximum amount permitted under section 2153.453 of the Texas Occupations Code for the release of any machine sealed, as provided herein, for nonpayment of the tax or failure to properly display the decal evidencing the payment of the tax and proper registration of the machine. The current fee amount shall be as outlined in the fee schedule of this code for each sealed machine. Upon proof of payment of the occupation tax provided for in section 6.10.041 of this article, and the release fee, the fire chief will remove the seal. (b) Any game room owner desiring to contest the tax, fee, or penalty owed to the city to secure the release of a sealed machine may request a hearing by delivering written notice to the city clerk setting forth the specifics of the challenge. The city council shall either hear the challenge or select a hearing officer to preside over the hearing. The city council or hearing officer shall within fourteen (14) days of the notice of challenge grant a hearing to consider the action. The decision of either the city council or hearing officer is final. (Ordinance 23-073 adopted 9/26/2023; Ordinance 25-008 adopted 2/18/2025) § 6.10.094. Penalty for removal of sealed machines. It shall be unlawful to remove from the permitted site any machine that has been it shall be unlawful to remove from the permitted site any machine that has been sealed pursuant to section 6.10.093 of this article. Whoever removes or causes to be removed a machine that is sealed shall be guilty of a misdemeanor and, upon conviction, shall be punished by a fine of not less than $100.00. (Ordinance 23-073 adopted 9/26/2023) § 6.10.095. Injunctions. (a) In addition to the fines and penalties provided in this article, if it appears that a person has violated or is violating or is threatening to violate any provisions of this article, the city attorney may institute a civil suit in a court of competent jurisdiction for injunctive relief to restrain the person from continuing the violation or threat or violation. (b) On application for injunctive relief and a finding that a person is violating or threatening to violate any provision of this article, the court shall grant such injunctive relief as the facts may warrant. (Ordinance 23-073 adopted 9/26/2023) § 6.10.096. Strict enforcement; exemptions. (a) All law enforcement personnel, inspectors, and other designated personnel shall carry out the provisions of this article and may issue citations for violations of this article. All law enforcement officers and representatives shall strictly enforce and prosecute the provisions Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.097 § 6.10.096 of this article, and court officials shall see that this article receives strict interpretation and adjudication in a court of competent jurisdiction. (b) A person in possession or control of a gaming machine is exempt from this article if: (1) The gaming machine is maintained exclusively in a personal residence and solely for personal use; (2) The gaming machine has been altered in such a way that it no longer functions as a coin- operated machine and is not patronized for the purpose of winning cash or cash value prizes; (3) The gaming machines is owned by, leased or rented to organizations operated exclusively for charitable, educational, religious or benevolent purposes. An organization with social or fraternal activities does not qualify; or (4) The gaming machines designed for and utilized exclusively by children are expressly exempt from the tax levied in division 2 hereof. (Ordinance 23-073 adopted 9/26/2023) § 6.10.097. Penalty fees. (a) Proof of a culpable mental state is not required for a conviction of an offense under this article. (b) Any violation charged pursuant to this section shall be independent of and may be in addition to any administrative penalties which may be imposed regarding the suspension, revocation or denial of any permit or license granted under this article. (c) Each day a violation occurs shall be deemed a separate offense. Violation Description Article Reference Fine Range Violation of operating hours, per machine, per § 6.10.063 Not less than hour and/or portion of an hour $200.00 Signage § 6.10.064 Not less than $200.00 Transparent, uncovered windows required § 6.10.065 Not less than $200.00 Machine registration requirements § 6.10.097 Not less than $200.00 Game room memberships violation § 6.10.067 Not less than $200.00 Refusal of inspection § 6.10.092 Not less than $200.00 Downloaded from https://ecode360.com/BE6239 on 2025-07-16 City of Beaumont, TX § 6.10.097 § 6.10.097 Violation Description Article Reference Fine Range Removal of sealed machine § 6.10.094 Not less than $200.00 No visible ID badge § 6.10.071 Not less than $200.00 Second conviction of this article § 6.10.092(g) Not less than $500.00 (Ordinance 23-073 adopted 9/26/2023) Downloaded from https://ecode360.com/BE6239 on 2025-07-16