CITY OF AD FOUNDED 1839 Austin City Council MINUTES For March 03, 1982 3:00 Ρ.Μ. -- Council Chambers, 301 West Second Street, Austin, Texas Memorandum To: City Council Carole Keeton McClellan Mayor John Treviño, Jr. Mayor Pro Tem Council Members Larry Deuser Roger Duncan Richard Goodman Ron Mullen Charles E. Urdy Nicholas M. Meiszer City Manager Grace Monroe City Clerk Mayor McClellan called to order the meeting of the Council scheduled for 3:00 P.M., noting the absence of Councilmember Urdy who entered the Council Chamber at 3:20 p.m. REFUNDING REVENUE BONDS Council had before them several items on the agenda relating to action to be taken related to refunding Revenue Bonds. Mr. Curlee, Austin's Financial Advisor, asked Mr. Bob Girard, partner in Dillon, Read to summarize his letter to the Council. Mr. Girard stated, "We have been proud to be associated with an event that should make the City of Austin proud, Last week an unprecedented thing happened in the bond market. In a market place where the common wisdom was that no institutional buyers were in the market an excess of $500,000,000.00 of institutional money was put into the City of Austin. Some of the major committments that the insurance companies and institutions made to the City of Austin last week are: Crum and Foster Insurance Company, $60,000,000 in refunding; The Insurance Company of North America , over $50,000,000; The American Express Company, $25,000,000; First National Bank of Chicago, $25,000,000. If I listed all the 10,000,000 plus orders the insurance companies of America committed to the City last week, we would be here for the rest of the afternoon, so I'll stop and say we have been proud to be associated with this and you can take tremendous pride in the reputation your City enjoys in the bond market." Mike Ashford and Jerry Pierce of Dillon-Reed then summarized as follows: The impact on Austin's Electric Utility CIP funds and the impact on electric rates over the next year as a result of the refunding program gives a current financial benefit to the City of $39,000,000 in savings. It will make available $15.7 million between now and Council Memo BONDS (Continued) 2 March 3, 1983 November 15 of this year that you would not have otherwise had available to you had you not done this refunding. That should have a two-fold benefit to the City, in addition to the money it would allow you to continue through this year without a rate increase and also to continue without need for additional voter authorization through this fiscal year. 11 Councilmember Mullen asked, "Are we losing something that we might have been able to pick up. Maybe we are gaining a lot more and that is the ability to retire bonds at face value as opposed to market value." Councilmember Mullen was told that the City is gaining the maximum benefit of the refunding." Mr. Curlee told Council, "I made a promise to this Council that we would not, as your financial advisors recommend this refunding until we could show all of the savings we have estimated. We have luckily been able to exceed those estimates. We retained the "A" ratings and had the able assistance of Mr. Scheps and the City Manager in that endeavor and I congratulate you on that. We recommend the award of these bonds." Councilmember Mullen stated on a prior issue he was promised information concerning Boetcher Company and he never received it. Mr. Girard said on this issue they were the agent and they would all be working together; it would be a team effort. Councilmember Mullen said he will vote for this but "my vote for the motion still doesn't take away the problems of the way this thing was put together to begin with. I think it is more important to do what is good for the City even though I do not agree with some of the things that made me vote against how the whole deal was put together and the firms that were put together." Motion The Council, on Councilmember Goodman's motion, Councilmember Duncan's second, passed the following: (7-0 Vote) 1. Waived the requirement for three readings and finally passed an ORDINANCE authorizing the issuance and sale of City of Austin, Texas Electric, Waterworks and Sewer System Refunding Revenue Bonds, Series 1982; 2. Adopted a RESOLUTION authorizing the execution and delivery of a bond purchase agreement with Dillon, Read & Company, Inc.; Smith Barney, Harris Upham & Company; and Boettcher & Company; and approving the use of and authorizing the distribution of the official statement relating to the Series 1982 refunding bonds; 3. Adopted a RESOLUTION authorizing the execution and delivery of an escrow agreement with the Treasurer of the State of Texas relating to the payment and discharge of the City's outstanding revenue bonds; 4. Adopted a RESOLUTION ratifying, confirming and approving purchase of federal securities deposit with State Treasurer under escrow agreement. A resolution calling certain Series 1979 revenue bonds for redemption prior to maturity, will be considered next week. Council Memo 3 CONSENT RESOLUTIONS March 3, 1982 The Council, on Mayor Pro Tem Trevino's motion, Councilmember Goodman's second, adopted the following resolutions in one consent motion: (7-0 Vote) a. Release of Easements Authorized release of the following easements: A 10.0' Public Utility Easement on Lot 10, Block W, Cat Mountain Section Northwest Hills Subdivision, 4107 Cat Mountain Drive. (Requested by Centex Pools, Inc.) b. 3.0' of a 7.5' Public Utility Easement on Lot 1, Block A, c. Southridge Section 6, 1323 Southport Drive. (Requested by Nolen and Associates) Two 10.0' Electric and Telephone Easements on Buckingham Estate Phase III, Section II and as recorded in volume 6997, Page 1086 of the Travis County Deed Records. (Requested by Carlson, Dippel and Marx Surveying Company. License Agreement Entered into a License Agreement to allow landscaping and tree planting in the public right-of-way adjoining lot 4, Block 74, Original City of Austin, 500 West 6th Street. (Requested by Grinnell, Kemp and Harren Associates.) Capital Improvements Program Acquired the following land for CAPITAL IMPROVEMENTS PROGRAM: a. Jefferson Street Flood Control Project. C.I.P. No. 82/60-05 All of Lot 109 Ridgelea Addn. 4001 Jefferson Street. (Robert Burnett) b. Barton Creek Greenbelt Project. C. I.P. No. 75/86-13 2.4 acres of land out of the Charles H. Riddle Survey No. 19, Travis County, Texas. a. Approved the following Change Orders: In the amount of $12,975.00 to ROBERT E. McKEE, for development of Brackenridge Hospital. C.I.P. No. 78/84-09 Council Memo C.I.P. (Continued) 4 March 3, 1982 b. In the amount of $28,722.00 to BELCO CONSTRUCTION COMPANY, for Sludge Handling Facilities. C.I.P. No. c. Walnut Creek WWTP 73/23-81 In the amount of $6,542.00 to DEAN JOHNSTON, INC., for Stage Lighting Control System at Municipal Auditorium. C.I.P. No. 79/80-05 Approved Austin Testing & Engineering for soils investigative and engineering testing services in connection with Rosewood Neighborhood Center. C.I.P. No. 78/72-03. a. Contracts Approved Approved the following contracts: SCHMIDT CONSTRUCTION COMPANY 7230 Hwy. 290 West Austin, Texas b. THE STANDARD REGISTER COMPANY 7115 Burnet Road c. Austin, Texas KRUMM MOTORCYCLE SALES, INC. 1707 Barton Springs Road Austin, Texas d. RIVER CITY MACHINERY COMPANY 10411 North Lamar Austin, Texas CAPITAL IMPROVEMENTS PROGRAM Steck Avenue 30-inch Water Line Relocation $103,320.00 C.I.P. No. 75/22-10 Printing of Utility Customer Service Statements, Utility Customer Services Department Item 1 $5,400.00 Provide maintenance and repair to police motorcycles, Police Department Twelve (12) Month Supply Agreement Item 1 $30,000.00 Captive Case Repair Parts, e. DONOVAN UNIFORM COMPANY, INC. 171 Parkhouse Dallas, Texas Vehicle and Equipment Services Department Twelve (12) Month Supply Agreement Item 1 $20,000.00 Work Trousers, Shirts & Jumpsuits, Purchases & Stores Department Twelve (12) Month Supply Agreement Items 1 thru 4 $51,445.00 Council Memo CONTRACTS 5 (Continued) March 3, 1982 f. Bid award: g. (1) S & L SEAGRAVES SALES, INC. 1607 Matthews Lane Austin, Texas (2) JOSHUA FIRE AND SAFETY 104 West 8th Street Joshua, Texas TECHLINE, INC. 8750 Shoal Creek Boulevard Austin, Texas Air Masks with Carrying Case and Cylinders, Fire Department Item 1, 10 ea. @ $697.20 Total: $6,972.00 Item 2, 85 ea. @ $254.66 Total: $21,646.10 Street Light Pole Assemblies, Electric Utility Department Item 1-4 $92,400.00 Item Pulled The following item was pulled from the Agenda during the consent motion: Consideration of approving the following wastewater approach main: DOYLE WILSON, INC. Twelve inch wastewater approach main to serve Shepherd Mountain Subdivision. No City cost participation. Temporary Street Closings Approved temporarily closing the following streets: a. Leon Street from 25% Street to 26th Street on March 10, 1982, from 2:30 p.m. to 6:30p.m., as requested by Mr. Michael Stubblefield, representing Delta Upsilon Fraternity. b. Marshall Lane from Enfield to Windsor Road on Sunday, March 7, 1982, from 1:00 p.m. to 6:00p.m., as requested by Ms. Patricia M. Caroom, representing the Heritage Society of Austin, Inc. ORDINANCES The Council, on Councilmember Mullen's motion, Mayor McClellan's second, waived the requirement for three readings and finally passed the following ordinances in one consent motion: (6-0 Vote, Councilmember Deuser present but not voting.) Council Memo 6 Capital Improvements Program March 3, 1982 Amended the 1981-82 Capital Improvements Program by appropriating funds for the Stassney Lane Overpass at IH-35 Project. C.I.P. No. 81/62-26. Community Action Program Accepted a supplemental grant award of $126,017 from the Department of Health and Human Services for operation of the Community Action Program. Deferred Compensation Ordinance Approved changing Deferred Compensation Ordinance to allow probationary employees the option of participating in the program. Ordinance Postponed One Week Postpone one week consideration of an ordinance approving the adoption of a bond resolution authorizing the issuance of $3,520,000 by the Springwoods Municipal Utility District of Williamson County, Texas authorizing the execution of a contract between the City of Austin, Texas and said District. Ordinance Not Applicable During a Special Called Meeting of the Council on March 2, 1982, the following ordinance failed to pass first reading, therefore second and third readings of the ordinance were not applicable. Second and third readings of an ordinance to consider the wording of the ballot proposition for the ordinance ordering an election on April 3, 1982 relating to establishing a height limitation. COUNCIL MEETING TIME CHANGED Motion NOT PASSED Councilmember Duncan made a motion, seconded by Councilmember Mullen to waive the requirement for three readings and finally pass an ordinance establishing Thursday at 9:00 a.m. as the regular day and time for Council Meetings. Friendly Amendment Councilmember Mullen offered a friendly amendment to begin Council Meetings at 1:00 p.m. on Thursdays until June and beginning in June, Council Meetings will be begin at 9:00 a.m. His friendly amendment was not accepted. Council Memo MEETING (Continued) 7 Substitute Motion March 3, 1982 Councilmember Mullen offered a substitute motion, seconded by Mayor McClellan to waive the requirement for three readings and finally pass an ordinance to establish 1:00 p.m. on Thursday as the regular time and day for Council meetings and in June to begin at 9:00 a.m. Council agreed to separate the motions. Motion The Council, on Councilmember Mullen's motion, Mayor McClellan's second, waived the requirment for three readings and finally passed an ordinance establishing Thursday at 1:00 p.m. as the regular Council Meeting day beginning March 11, 1982. (6-1 Vote, Councilmember Deuser voted No.) Motion FAILED Councilmember Mullen made a motion, seconded by Mayor McClellan to pass an ordinance to begin Council Meetings at 9:00 a.m. on Thursday, beginning in June, 1982. (3-4 Vote, Councilmembers Goodman, Urdy, Deuser and Duncan voted No.) BOARD & COMMISSION APPOINTMENTS The Council, on Councilmember Duncan's motion, Councilmember Mullen's second, designated the first Wednesday of each month as the day to make Board and Commission appointments, at 4:30 p.m.; also board meetings for the Housing Finance Board and Industrial Finance Board will be held on the first Wednesday of each month. (7-0 Vote) PUBLIC HEARING VACATIONS - Mayor McClellan opened the public hearing scheduled for 3:30 p.m. on vacating the following and passage of ordinances: a. Owens Avenue Alley, 3400 Block (587-81-22) (Requested by the adjoining property owners) b. 211.6 square feet of right-of-way adjoining Lots 2 & 3, Block 123, Original City of Austin, 1005 Congress Avenue (600-82-01) (Requested by Teeple Properties, Inc.) Mr. German, Director of Public Works, said everything is in order and asked Council to approve. No one appeared to be heard concerning either vacation. Motion The Council, on Councilmember Mullen's motion, Mayor Pro Tem Trevino's second, closed the public hearing, waived the requirement for three readings and finally passed an ordinance vacatin vacating Owens Avenue Alley, 3400 Block (587-81-22). (7-0 Vote) Council Memo HEARING - (Continued) 8 Motion March 3, 1982 The Council, on Councilmember Deuser's motion, Councilmember Mullen's second, closed the public hearing, waived the requirment for three readings and finally passed an ordinance vacationg the following: 211.6 square feet of right-ofway adjoining Lots 2 & 3, Block 123, Original City of Austin, 1005 Congress Avenue (600-82-01) (7-0 Vote) ENERGY CONSERVATION COMMISSION Ms. Mary Elaine McDade, chairperson, Energy Conservation Commission, presented to Council the Energy Conservation Building Code Improvements. Motion. On Councilmember Deuser's motion, Councilmember Duncan's second, Council yoted unanimously to approve. WATER & WASTEWATER COMMISSION Ms. Leda Roselle, chairperson, Water and Wastewater Commission, told Council they have been meeting regularly for 30 days and are prepared to offer Council some recommendations. She said they would like to have a work session with Council, which will take about one hour. Mayor McClellan suggested Council set a work session for 4:00p.m., March 10, 1982. Council agreed. PROGRESS REPORT ON SOUTH TEXAS PROJECT Mr. R.L. Hancock, Director, Electric Utility, presented the progress report on South Texas Project. Councilmember Deuser requested a report on progress of payments each week. He asked that the report include last year. BOND PROGRAM Mr. Meiszer, City Manager, showed slides concerning Citizen Participation in the Development of the Bond Program. He said between March 22, 1982 and May 2, 1982 there will be neighborhood meetings which will be part of the process to bring to the surface what is needed most for C.I.P. The requests will be grouped by category, year, and priority for each year. The Mayor and members of the Council commented favorably, ADJOURNMENT Council adjourned its meeting at 5:55 p.m.