CT Y OF AUST Z FOUNDED 1839 Austin City Council MINUTES WORKSESSION WEDNESDAY, March 11, 1998 Mayor Watson called the meeting to order, Councilmembers Goodman and Lewis out of the room. BOARD AND COMMISSION REPORTS 1. 2. ELECTRIC UTILITY COMMISSION - Teresa Reel, Chair Presentation not given RESOURCE MANAGEMENT COMMISSION - Peter Pfeiffer, Chair Presentation not given 3. MONTHLY AUSTIN ENERGY MANAGEMENT REPORT Presentation not given BRIEFINGS 4. 5. NEIGHBORHOOD PLANNING HOUSING Presentation given by Joe Canales, Paul Hilgers and Jim Hargrove. 6. WATER: TRANS TEXAS AND SENATE BILL 1 Pulled from agenda CITIZENS COMMUNICATION: GENERAL READING OF CONSENT AGENDA READING OF DISCUSSION AGENDA CITIZENS COMMUNICATION: CONSENT AGENDA ACTION ON CONSENT AGENDA PREVIEW OF ITEMS FOR NEXT COUNCIL MEETING 9. Review of Proposed Agenda Items from the City Manager for March 26, 1998. 10. Review of Proposed Agenda Items from Council for March 26, 1998. 11. Discuss and identify consent and discussion agenda items for the March 12, 1998 Council meeting agenda. (Agenda for March 12, 1998 is attached and incorporated by reference.) Items pulled for discussion: 18, 23 and 37 Items on consent: 12, 15, 19, 20, 21, 22, 24, 25, 26, 27, 29, 30, 32, 33 and 36 12. Set Time Certain, if necessary, for agenda items on the March 12, 1998 Agenda. Items set for time certain: 13 @ 4:00p.m.; 31 @ 5:30 p.m.; 35 @ 3:00p.m. ITEMS CONTINUED FROM PREVIOUS MEETINGS 13. Approve a resolution authorizing execution of a contract with HOUSTON PIPE BENDERS, Houston, Texas, for the purchase of photovoltaic hardware to be used in the installation of the Solar Explorer photovoltaic shade parking structure at Dillo Park and Ride Parking Lot, in an amount not to exceed $40,956.84. (Funding was included in the 1997-98 Capital budget of the Electric Utility.) Low bid of three. No M/WBE Subcontracting opportunities were identified. (Recommended by Parks Board and Electric Utility Commission) Resolution No. 980311-13 approved Austin Energy 14. Approve a resolution authorizing negotiation and execution of Master Power Purchase and Sales Contracts with qualified electric utilities, independent power producers and power marketers for short term unplanned power purchases, in an aggregate annual expenditure amount not to exceed $29,500,000. (No fiscal impact.) [Recommended by Electric Utility Commission] Resolution No. 980311-14 approved 15. Approve a resolution authorizing execution of a contract with TEXAS TREES AND LANDSCAPES, Austin, Texas, for landscape placement and installation of an automatic irrigation watering system at Bergstrom Substation, in the amount of $101,400. (Funding in the amount of $90,650 was included in the 1997-98 Capital budget of Austin Energy; $5,325 was included in the 1997-98 operating budget of Austin Energy. Funding for the remaining $5,325 is contingent upon available funding in future budgets.) Low bid of four. 9.99% MBE, 2.92% WBE Subcontractor participation. [Recommended by Electric Utility Commission] Resolution No. 980311-15 approved 16. Approve a resolution authorizing execution of a contract with COMMERCIAL BODY CORPORATION, San Antonio, Texas, for the purchase of three tandem axle trailers used to haul construction materials, in the amount of $43,380. (Funding was included in the 1997-98 Capital budget of Austin Energy.) Low bid of two meeting specifications. No M/WBE Subcontracting opportunities were identified. [Recommended by Electric Utility Commission] Resolution No. 980311-16 approved Items 13 through 16 approved on Mayor Pro Tem Garcia's motion, Councilmember Spelman's second, 7-0 vote. 17. Approve a resolution authorizing execution of a one year supply agreement with ASHLAND CHEMICAL COMPANY, Friendswood, Texas, for the purchase of Methyl Ethyl Ketoxime, a chemical used to remove dissolved oxygen and rust from boilers, in an amount not to exceed $64,037.60 with one twelve month extension option in an amount not to exceed $64,037.60, for a total contract amount not to exceed $128,075.20. (Funding in the amount of $32,018.80 was included in the 1997-98 operating budget of Austin Energy. Funding for the remainder of the contract and the extension options is contingent upon available funding in future budgets.) Sole source. No M/WBE Subcontracting opportunities were identified. [Recommended by Electric Utility Commission] Resolution No. 980311-17 approved on Councilmember Lewis' motion, Councilmember Spelman's second, 7-0 vote. 18. Approve a resolution authorizing execution of a twelve month supply agreement with AMERICAN LIGHT, INC., Austin, Texas, for the purchase of various lamps used at utility service locations, in an amount not to exceed $87,075.80 with two twelve month extension options in an amount not to exceed $87,075.80 per extension, for a total contract amount of $261,227.40. (Funding in the amount of $43,537.90 was included in the 1997-98 operating budget of Austin Energy. Funding for the remainder of the contract and the extension options is contingent upon available funding in future budgets.) Low bid of eight meeting specifications. No M/WBE Subcontracting opportunities were identified. [Recommended by Electric Utility Commission] Resolution No. 980311-18 approved 19. Approve a resolution authorizing an extension to the agreement with SPOTLESS CLEANING, INC., (MBE/MH), Austin, Texas, to provide additional janitorial services at Town Lake Center and Energy Control Center, in an amount not to exceed $37,314.80, for a total contract amount not to exceed $293,808. (Funding was included in the 1997-98 operating budget of Austin Energy.) 100% MBE Prime participation. No MWBE Subcontracting opportunities were identified. [Recommended by Electric Utility Commission] Resolution No. 980311-19 approved Items 18 and 19 approved on Mayor Pro Tem Garcia's motion, Councilmember Spelman's second, 7-0 vote. 20. Approve a resolution authorizing a twelve month contract amendment with TATEAUSTIN ADVERTISING AND PUBLIC RELATIONS, (WBE/FR), Austin, Texas, to provide advertising agency services for Austin Energy, in an amount not to exceed $720,000, for a total contract amount not to exceed $750,000 with the option of two additional twelve month extension options in an amount not to exceed $500,000 per extension, for a total contract amount not to exceed $1,750,000. (Funding in the amount of $360,000 is available in the 1997-98 operating budget of Austin Energy. Funding for the remainder of the contract and the extension options is contingent upon available funding in future budgets.) 65.93% WBE Prime participation. 14.07% MBE, 18% WBE Subcontractor participation. [Recommended by Electric Utility Commission] Motion withdrawn on Mayor Pro Tem Garcia's motion, Councilmember Goodman's second, Postponed two weeks on Mayor Pro Tem Garcia's motion, Councilmember Spelman's second, 6-0 vote, Councilmember Lewis out of the room. Planning, Environmental, and Conservation Services 21. Approve a resolution authorizing the issuance of a Letter of Intent and a rebate to CRESCENT REAL ESTATE EQUITIES, LTD, for the installation of a high efficiency lighting conversion system at the Bank One Office Tower located at 221 West 6th Street, in the amount of $58,126. This equipment will save an estimated 232 kilowatts at a cost of $250 per kilowatt saved. The comparable cost of a gas turbine is $1,239 kW. (Funding is available in the 1997-98 operating budget of the Conservation Rebates and Incentives Fund.) [Recommended by Resource Management Commission] Resolution No. 980311-21 approved Neighborhood Housing and Community Development 22. Approve resolution authorizing negotiation and execution of a Community Development Block Grant (CDBG) Housing Implementation Program deferred payment, forgivable loan to Community Partnership for the Homeless for the acquisition of transitional housing for homeless veterans, in an amount not to exceed $39,500. (Funding is available from the 1997-98 23rd Year Community Development Program.) [Reviewed by Community Development Commission] Resolution No. 980311-22 approved 23. Approve a resolution authorizing the negotiation and execution of a Community Development Block Grant (CDBG) Housing Implementation Program (HIP) deferred payment, forgivable loan to the National Church Residences for land acquisition and site infrastructure improvements at Manchaca Road and Davis Lane for the construction of a 69-unit affordable housing facility for the elderly, in an amount not to exceed $500,000. (Funding is available from the 1997-98 23rd Year Community Development Program.) [Reviewed by Community Development Commission] Resolution No. 980311-23 approved 24. Approve a resolution authorizing the negotiation and execution of a Community Development Block Grant (CDBG) Housing Implementation Program (HIP) deferred payment, forgivable loan to Push Up Foundation for the acquisition of an 8-unit transitional housing facility for homeless women and children located at 905 East 51st Street, in an amount not to exceed $150,700. (Funding is available from the 1997-98 23rd Year Community Development Program.) [Reviewed by Community Development Commission] Resolution No. 980311-24 approved 25. Approve a resolution authorizing the negotiation and execution of a Community Development Block Grant (CDBG) Housing Implementation Program (HIP) deferred payment, forgivable loan to SafePlace for land acquisition on Grove Boulevard for the development of a shelter facility for homeless women and children, in an amount not to exceed $500,000. (Funding is available in the 1997-98 23rd Year Community Development Program.) [Reviewed by Community Development Commission] Resolution No. 980311-25 approved 26. Approve a resolution authorizing modification of the current contract with Austin Housing Finance Corporation (AHFC) to accomplish the following: 1) move the operation of the Single Family Loan Program to the City; 2) make a grant not to exceed $800,000 of HOME Year 3, 4, 5, and 6 funds to the Austin Housing Finance Corporation to be used in the revised Down Payment Assistance Program; 3) make a grant not to exceed $1,049,741 of HOME Year 1, 3, 4, 5, and 6 funds, and transfer the HOME Community Housing Development Organizations program to the AHFC; and 4) make a grant not to exceed $125,000 of Community Development Block Grant (CDBG) 23rd year funds for program delivery and administration of the Housing Implementation Program (HIP) [Related to Item 27] Resolution No. 980311-26 approved Items 21 through 26 approved on Mayor Pro Tem Garcia's motion, Councilmember Spelman's second, 7-0 vote. 3:30 P.M. - BOARD OF DIRECTOR'S MEETING OF AUSTIN HOUSING FINANCE CORPORATION The Mayor will recess the City Council meeting. A Board meeting of the Austin Housing Finance Corporation (AHFC) will be conducted. Following adjournment of the AHFC Board meeting, the City Council will be reconvened. Item 27 is the AHFC item to be considered by the Austin Housing Finance Corporation's Board of Directors. 27. Approve a resolution authorizing an amendment to the Austin Housing Finance Corporation (AHFC) and Housing Assistance Fund 1997-98 budgets for the following purposes: 1) update the approved Beginning Balance in the amount of $1,742,084; 2) accept a grant not to exceed $800,000 of HOME Year 3, 4, 5, and 6 funds from the City to be used in the revised Down Payment Assistance Program; 3) accept a grant not to exceed $1,049,741 of HOME year 1, 3, 4, 5, and 6 funds from the City to transfer the Community Housing Development Organizations (CHDO) Program from the City and amend the City contract; and 4) accept a grant not to exceed $125,000 of 23rd year Community Development Block Grant (CDBG) funds for program delivery and administration of the Housing Implementation Program (HIP), and amend the contract to accept the administration of the Housing Implementation Program, and 5) to transfer the City's Single Family Loan Program back to the City and reduce the grant received from the City by $2,683,808. [Related to Item 26] 4:30 P.M. - CITIZENS COMMUNICATION OPEN FORUM EXECUTIVE SESSION (No Public Discussion on These Items) Executive session held at 12:30 p.m. to 1:30 p.m. Executive session held at 1:50 p.m. to 2:40 p.m. Executive session held at 2:50 p.m. to 4:00 p.m. on item 28. Executive session held at 4:15 p.m. to 4:39 p.m. The City Council will announce it will go into Executive Session, if necessary, pursuant to Chapter 551 of the Texas Government Code, to receive advice from Legal Counsel, to discuss matters of land acquisition, litigation and personnel matter specifically listed on this agenda. The City Council may also announce it will go into Executive Session, if necessary, to receive advice from Legal Counsel regarding any other item on this agenda. Staff Briefing - Section 551.075 28. Staff briefing to discuss Deregulation in the Electric Utility Industry ADJOURNED at 6:00 p.m. on Councilmember Griffith's motion, Councilmember Slusher's second, 6-0 vote, Councilmember Lewis out of the room. Approved on this the 26th day of March, 1998 on Councilmember Spelman's motion, Mayor Pro Tem Garcia's second, 4-0 vote, Councilmembers Goodman, Griffith and Lewis off the dais.