02/16/2021-CC-Agenda Packet-RegularAGENDA
CITY COUNCIL REGULAR MEETING
TUESDAY, FEBRUARY 16, 2021
7:00 PM
HISTORIC CHURCH BUILDING 403 N 7TH STREET
SANGER, TEXAS
1.Call Meeting to Order, Establish a Quorum (Roll Call), Invocation.
2.CITIZEN INPUT:
(Citizens are allowed 3 minutes to speak. The City Council is unable to respond or discuss any issues
brought up during this section.)
3.CONSENT AGENDA:
a.Approval of Minutes
1.Minute for 011921 Work Session
2.Minutes for 020121 Regular Meeting
3.Minutes for 020121 Work Session
4.Consider Any Items Removed from Consent Agenda.
REGULAR AGENDA
5.Company Citation Award
Sanger Fire Department was dispatched on incident 2200165, a residential fire. The incident was
managed by four Sanger Fire Department members saving a man’s life. These four Sanger Fire
Department members will be recognized for two separate Awards.
6.Resolution #020221 Authorizing Publication of Notice of Intent to Issue
RESOLUTION AUTHORIZING PUBLICATION OF NOTICE OF INTENTION TO ISSUE
CERTIFICATES OF OBLIGATION, SERIES 2021A IN A PRINCIPAL AMOUNT NOT TO
EXCEED $20,000,000 AND AUTHORIZING CERTAIN OTHER MATTERS RELATING
THERETO
7.Ordinance #020321 Authorizing Issuance of Refunding Bonds
AN ORDINANCE OF THE CITY OF SANGER, TEXAS AUTHORIZING AND ORDERING
THE ISSUANCE OF GENERAL OBLIGATION REFUNDING BONDS, SERIES 2021B;
AUTHORIZING A PRICING OFFICER TO APPROVE THE AMOUNT, THE INTEREST
RATES, PRICE, REDEMPTION PROVISIONS AND TERMS THEREOF AND CERTAIN
OTHER PROCEDURES AND PROVISIONS RELATED THERETO; AND CONTAINING
OTHER MATTERS RELATED THERETO
8.Resolution #020121 Regarding Declaration of Official Intent Pursuant to Section 1.1150
2 of the Treasury Regulations
Page 1
AGENDACITY COUNCIL REGULAR MEETINGTUESDAY, FEBRUARY 16, 20217:00 PMHISTORIC CHURCH BUILDING 403 N 7TH STREETSANGER, TEXAS1.Call Meeting to Order, Establish a Quorum (Roll Call), Invocation.2.CITIZEN INPUT:(Citizens are allowed 3 minutes to speak. The City Council is unable to respond or discuss any issuesbrought up during this section.)3.CONSENT AGENDA:a.Approval of Minutes1.Minute for 011921 Work Session2.Minutes for 020121 Regular Meeting3.Minutes for 020121 Work Session4.Consider Any Items Removed from Consent Agenda.REGULAR AGENDA5.Company Citation AwardSanger Fire Department was dispatched on incident 2200165, a residential fire. The incident wasmanaged by four Sanger Fire Department members saving a man’s life. These four Sanger FireDepartment members will be recognized for two separate Awards.6.Resolution #020221 Authorizing Publication of Notice of Intent to IssueRESOLUTION AUTHORIZING PUBLICATION OF NOTICE OF INTENTION TO ISSUECERTIFICATES OF OBLIGATION, SERIES 2021A IN A PRINCIPAL AMOUNT NOT TOEXCEED $20,000,000 AND AUTHORIZING CERTAIN OTHER MATTERS RELATINGTHERETO7.Ordinance #020321 Authorizing Issuance of Refunding BondsAN ORDINANCE OF THE CITY OF SANGER, TEXAS AUTHORIZING AND ORDERINGTHE ISSUANCE OF GENERAL OBLIGATION REFUNDING BONDS, SERIES 2021B;AUTHORIZING A PRICING OFFICER TO APPROVE THE AMOUNT, THE INTERESTRATES, PRICE, REDEMPTION PROVISIONS AND TERMS THEREOF AND CERTAINOTHER PROCEDURES AND PROVISIONS RELATED THERETO; AND CONTAININGOTHER MATTERS RELATED THERETO
8.Resolution #020121 Regarding Declaration of Official Intent Pursuant to Section 1.1150
2 of the Treasury Regulations
Approve Resolution #020121, Regarding Declaration of Official Intent Pursuant to Section 1.150
2 of the Treasury Regulations.
9.Budget Amendment Ordinance #020421
Consider, Discuss and Act on Ordinance #020421 – Amending Ordinance #092420, Which
Will Amend the Budget For The Fiscal Year 20202021 And Authorizing Amended Expenditures as
Provided.
10.Contract with Chris Hartung Consulting, LLC for the recruitment of Sanger City Manager
Consider, Discuss and Possibly Act on Authorizing the Interim City Manager to Execute a Contract
with Chris Hartung Consulting, LLC for the recruitment of Sanger City Manager.
11.EXECUTIVE SESSION:
Pursuant to the Open Meetings Act, Chapter 551, the City Council Will Meet in a Closed
Executive Session in Accordance with the Texas Government Code:
a.Texas Government Code Section 551.072 – Real Property Related Matter: Closed Meeting
to deliberate the exchange of real property located within the City of Sanger’s Extraterritorial
Jurisdiction.
12.RECONVENE: OPEN MEETING:
Reconvene Into Regular Session And Take Any Action Deemed Necessary As A Result Of
The Executive Closed Session.
13.INFORMATION ITEMS:
a.Personnel Updates
b.All American Dogs Report January 2021
c.ATMOS Energy Rider GCR Rate Filing Docket No. 10170
Atmos Energy Corporation, MidTex Division's Statement of Rider GCR Applicable For The
February 2021 Billing Periods.
d.Capital Projects Recap February 9, 2021
e.Disbursements January 2021
Disbursements for the Month of January 2021
f.Financial Statement December 31, 2020
14.FUTURE AGENDA ITEMS:
(The purpose of this item is to allow the Mayor and members of Council to bring forward items they
wish to discuss at a future meeting, A Council Member may inquire about a subject for which notice
has not been given. A statement of specific factual information or the recitation of existing policy may
be given. Any deliberation shall be limited to a proposal to place the subject on an agenda for a
subsequent meeting. Items may be placed on a future meeting agenda with a consensus of the Council
or at the call of the Mayor).
Page 2
AGENDACITY COUNCIL REGULAR MEETINGTUESDAY, FEBRUARY 16, 20217:00 PMHISTORIC CHURCH BUILDING 403 N 7TH STREETSANGER, TEXAS1.Call Meeting to Order, Establish a Quorum (Roll Call), Invocation.2.CITIZEN INPUT:(Citizens are allowed 3 minutes to speak. The City Council is unable to respond or discuss any issuesbrought up during this section.)3.CONSENT AGENDA:a.Approval of Minutes1.Minute for 011921 Work Session2.Minutes for 020121 Regular Meeting3.Minutes for 020121 Work Session4.Consider Any Items Removed from Consent Agenda.REGULAR AGENDA5.Company Citation AwardSanger Fire Department was dispatched on incident 2200165, a residential fire. The incident wasmanaged by four Sanger Fire Department members saving a man’s life. These four Sanger FireDepartment members will be recognized for two separate Awards.6.Resolution #020221 Authorizing Publication of Notice of Intent to IssueRESOLUTION AUTHORIZING PUBLICATION OF NOTICE OF INTENTION TO ISSUECERTIFICATES OF OBLIGATION, SERIES 2021A IN A PRINCIPAL AMOUNT NOT TOEXCEED $20,000,000 AND AUTHORIZING CERTAIN OTHER MATTERS RELATINGTHERETO7.Ordinance #020321 Authorizing Issuance of Refunding BondsAN ORDINANCE OF THE CITY OF SANGER, TEXAS AUTHORIZING AND ORDERINGTHE ISSUANCE OF GENERAL OBLIGATION REFUNDING BONDS, SERIES 2021B;AUTHORIZING A PRICING OFFICER TO APPROVE THE AMOUNT, THE INTERESTRATES, PRICE, REDEMPTION PROVISIONS AND TERMS THEREOF AND CERTAINOTHER PROCEDURES AND PROVISIONS RELATED THERETO; AND CONTAININGOTHER MATTERS RELATED THERETO8.Resolution #020121 Regarding Declaration of Official Intent Pursuant to Section 1.11502 of the Treasury RegulationsApprove Resolution #020121, Regarding Declaration of Official Intent Pursuant to Section 1.1502 of the Treasury Regulations.9.Budget Amendment Ordinance #020421Consider, Discuss and Act on Ordinance #020421 – Amending Ordinance #092420, WhichWill Amend the Budget For The Fiscal Year 20202021 And Authorizing Amended Expenditures asProvided.10.Contract with Chris Hartung Consulting, LLC for the recruitment of Sanger City ManagerConsider, Discuss and Possibly Act on Authorizing the Interim City Manager to Execute a Contractwith Chris Hartung Consulting, LLC for the recruitment of Sanger City Manager.11.EXECUTIVE SESSION:Pursuant to the Open Meetings Act, Chapter 551, the City Council Will Meet in a ClosedExecutive Session in Accordance with the Texas Government Code:a.Texas Government Code Section 551.072 – Real Property Related Matter: Closed Meetingto deliberate the exchange of real property located within the City of Sanger’s ExtraterritorialJurisdiction.12.RECONVENE: OPEN MEETING:Reconvene Into Regular Session And Take Any Action Deemed Necessary As A Result OfThe Executive Closed Session.13.INFORMATION ITEMS:a.Personnel Updatesb.All American Dogs Report January 2021c.ATMOS Energy Rider GCR Rate Filing Docket No. 10170Atmos Energy Corporation, MidTex Division's Statement of Rider GCR Applicable For TheFebruary 2021 Billing Periods.d.Capital Projects Recap February 9, 2021e.Disbursements January 2021Disbursements for the Month of January 2021f.Financial Statement December 31, 202014.FUTURE AGENDA ITEMS:(The purpose of this item is to allow the Mayor and members of Council to bring forward items theywish to discuss at a future meeting, A Council Member may inquire about a subject for which noticehas not been given. A statement of specific factual information or the recitation of existing policy maybe given. Any deliberation shall be limited to a proposal to place the subject on an agenda for asubsequent meeting. Items may be placed on a future meeting agenda with a consensus of the Council
or at the call of the Mayor).
15.ADJOURN.
I, the undersigned authority, do hereby certify that this Notice of Meeting was posted on the
City Website, and on the bulletin board, at the City Hall of the City of Sanger, Texas, a place
convenient and readily accessible to the general public at all times. Said notice was posted on the
following date and time, and remained posted continuously for at least 72 hours prior to the
scheduled time of said meeting and shall remain posted until meeting is adjourned.
February 12, 2021 at 10:35 a.m.
Jeriana Staton, Deputy City
Secretary
City of Sanger, Texas
Date/Time Posted
This facility is wheelchair accessible and accessible parking spaces are available. Requests for additional
accommodations or interpretive services must be made 48 hours prior to this meeting. Please contact the City
Secretary's office at (940) 4587930 for further information.
Page 3
CITY COUNCIL AGENDA MEMO
AGENDA ITEM NO. a.1.
AGENDA MEETING DATE: February 16, 2021
TO: Jeriana Staton, Interim City Manager
FROM:
ITEM/CAPTION:
Minute for 011921 Work Session
AGENDA TYPE:
ACTION REQUESTED:
BACKGROUND:
LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:
FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:
FUNDS:
STAFF RECOMMENDATION/ACTION DESIRED:
ATTACHMENTS:
Description Upload Date Type
Minutes 011921 Work Session 2/11/2021 Cover Memo
Page 4
MINUTES
CITY COUNCIL WORK SESSION
TUESDAY, JANUARY 19, 2021
6:00 PM
HISTORIC CHURCH BUILDING 403 N 7TH STREET
SANGER, TEXAS
COUNCIL MEMBERS PRESENT:
Mayor Thomas Muir, Mayor Pro Tem Gary Bilyeu, Councilmember David Clark, Councilmember
Allen Chick, Councilmember Marissa Barrett, Councilmember Dennis Dillon
COUNCIL MEMBERS ABSENT:
All members were present.
STAFF MEMBERS PRESENT:
Interim City Manager Jeriana Staton, City Attorney Hugh Coleman, Financial Director Clayton
Gray, Stefani Dodson Development Services, Laura Klenke Library, Sgt. Josh Bishop Police
Department, Jon Watson Auditor.
1.Call Meeting to Order
There being a quorum present, Mayor Muir called the Work Session to Order on Tuesday January
19th, 2021 at 6:04 p.m.
2.Presentation from Auditors
Overview of the Annual Financial Report and Related Audit by Brooks Watson & Co. for the Fiscal
Year Ending September 30, 2020.
Finance Director Gray introduces the firm that conducted the audit, Jon Watson with Brooks
Watson & Co.. He states that this firm has been great and he has enjoyed working with them.
Jon Watson introduces himself to the Council. He hands out a Annual Financial Report to all the
board members to follow along with the discussion. He goes over the results and findings from the
audit. He explains that the sales tax is up this year which is good as some Cities went down. He also
points out that the City of Sanger goes off of property taxes and not sales tax.
Mr. Watson states as of September 30, 2020, Property tax increased by 7% due to rising property
values. Sale tax increased by 21% due to the growth in the local economy. Charges for services
increased by 7% primarily due to increases in building permit revenue collected in the current year.
Grants and contributions decreased by 9% due to nonrecurring funds received from an interlocal
agreement with Denton County for street construction in the prior year. Other revenues increased
by $144,286 primarily due to roadway impact fees received in the current year. All other revenues
remained relatively stable when compared to the previous year.
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MINUTESCITY COUNCIL WORK SESSIONTUESDAY, JANUARY 19, 20216:00 PMHISTORIC CHURCH BUILDING 403 N 7TH STREETSANGER, TEXASCOUNCIL MEMBERS PRESENT:Mayor Thomas Muir, Mayor Pro Tem Gary Bilyeu, Councilmember David Clark, CouncilmemberAllen Chick, Councilmember Marissa Barrett, Councilmember Dennis DillonCOUNCIL MEMBERS ABSENT:All members were present.STAFF MEMBERS PRESENT:Interim City Manager Jeriana Staton, City Attorney Hugh Coleman, Financial Director ClaytonGray, Stefani Dodson Development Services, Laura Klenke Library, Sgt. Josh Bishop PoliceDepartment, Jon Watson Auditor.1.Call Meeting to OrderThere being a quorum present, Mayor Muir called the Work Session to Order on Tuesday January19th, 2021 at 6:04 p.m.2.Presentation from AuditorsOverview of the Annual Financial Report and Related Audit by Brooks Watson & Co. for the FiscalYear Ending September 30, 2020.Finance Director Gray introduces the firm that conducted the audit, Jon Watson with BrooksWatson & Co.. He states that this firm has been great and he has enjoyed working with them.Jon Watson introduces himself to the Council. He hands out a Annual Financial Report to all theboard members to follow along with the discussion. He goes over the results and findings from theaudit. He explains that the sales tax is up this year which is good as some Cities went down. He alsopoints out that the City of Sanger goes off of property taxes and not sales tax. Mr. Watson states as of September 30, 2020, Property tax increased by 7% due to rising propertyvalues. Sale tax increased by 21% due to the growth in the local economy. Charges for servicesincreased by 7% primarily due to increases in building permit revenue collected in the current year. Grants and contributions decreased by 9% due to nonrecurring funds received from an interlocalagreement with Denton County for street construction in the prior year. Other revenues increased
by $144,286 primarily due to roadway impact fees received in the current year. All other revenues
remained relatively stable when compared to the previous year.
He states that the City's financial is looking good. He thanked the board for having him and his firm
work on this project. He said staff has been nice to work with and he has enjoyed his time here.
The Mayor states there has been claims about money being missing in the past.
Mr. Watson explains to council their company has gone all the way back in the City records as far as
there is paper and have found nothing to support those statements.
3.Overview of Items on the Regular Agenda
4.Adjourn
There being no further agenda items for discussion, Mayor Muir adjourned the Work Session at
7:05 p.m..
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CITY COUNCIL AGENDA MEMO
AGENDA ITEM NO. a.2.
AGENDA MEETING DATE: February 16, 2021
TO: Jeriana Staton, Interim City Manager
FROM:
ITEM/CAPTION:
Minutes for 020121 Regular Meeting
AGENDA TYPE:
ACTION REQUESTED:
BACKGROUND:
LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:
FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:
FUNDS:
STAFF RECOMMENDATION/ACTION DESIRED:
ATTACHMENTS:
Description Upload Date Type
Minutes Regular Meeting 020121 2/11/2021 Cover Memo
Page 7
MINUTES
CITY COUNCIL REGULAR MEETING
MONDAY, FEBRUARY 1, 2021
7:00 PM
HISTORIC CHURCH BUILDING 403 N 7TH STREET
SANGER, TEXAS
COUNCIL MEMBERS PRESENT:
Mayor Thomas Muir, Mayor Pro Tem Gary Bilyeu; Councilmember David Clark; Councilmember
Marissa Barrett, Councilmember Allen Chick, Councilmember Dennis Dillon
COUNCIL MEMBERS ABSENT:
All member were present
STAFF MEMBERS PRESENT:
Interim City Manager Jeriana Staton, City Attorney Hugh Coleman, Financial Director Clayton
Gray, Stefani Dodson Development Services, Laura Klenke Library, Sgt. Josh Bishop Police
Department, Jon Watson Auditor, Director of Development Services Ramie Hammonds, Director of
Economic Development Shani Bradshaw, Public Works Director Jim Bolz,
1.Call Meeting to Order, Establish a Quorum (Roll Call), Invocation.
There being a quorum, Mayor Thomas Muir called the January 19th, 2021, City Council meeting
to order at 7:11 p.m.. The invocation was given by Councilmember Chick. The Pledge of
Allegiance was led by Councilmember Clark.
2.CITIZEN INPUT:
There were no citizens who came forward wishing to speak
3.CONSENT AGENDA:
a.Approval of Minutes
Councilmember Chick made a motion to accept the consent agenda. Motion was seconded by
Councilmember Clark. Motion passes unanimously with a 50 vote.
1.Approval of Minutes on 01/04/2021
2.Approval of Minutes on 01/07/2021
3.Approval of Minutes on 01/19/2021
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MINUTESCITY COUNCIL REGULAR MEETINGMONDAY, FEBRUARY 1, 20217:00 PMHISTORIC CHURCH BUILDING 403 N 7TH STREETSANGER, TEXASCOUNCIL MEMBERS PRESENT:Mayor Thomas Muir, Mayor Pro Tem Gary Bilyeu; Councilmember David Clark; CouncilmemberMarissa Barrett, Councilmember Allen Chick, Councilmember Dennis Dillon COUNCIL MEMBERS ABSENT:All member were presentSTAFF MEMBERS PRESENT:Interim City Manager Jeriana Staton, City Attorney Hugh Coleman, Financial Director ClaytonGray, Stefani Dodson Development Services, Laura Klenke Library, Sgt. Josh Bishop PoliceDepartment, Jon Watson Auditor, Director of Development Services Ramie Hammonds, Director ofEconomic Development Shani Bradshaw, Public Works Director Jim Bolz, 1.Call Meeting to Order, Establish a Quorum (Roll Call), Invocation.There being a quorum, Mayor Thomas Muir called the January 19th, 2021, City Council meetingto order at 7:11 p.m.. The invocation was given by Councilmember Chick. The Pledge ofAllegiance was led by Councilmember Clark.2.CITIZEN INPUT:There were no citizens who came forward wishing to speak3.CONSENT AGENDA:a.Approval of MinutesCouncilmember Chick made a motion to accept the consent agenda. Motion was seconded byCouncilmember Clark. Motion passes unanimously with a 50 vote.1.Approval of Minutes on 01/04/20212.Approval of Minutes on 01/07/20213.Approval of Minutes on 01/19/2021
4.Consider Any Items Removed from Consent Agenda.
There were no items removed from the agenda
REGULAR AGENDA
5.Public Works Update
Public Works Director Bolz speaks to the Council about all the projects going on in the City. He
goes over the street projects shown in the map provided. He explains that they did more streets last
year than expected so the map is a little different.
He says that the bigger item on his list is the Wastewater Treatment Plant. He says that they are in
the process of permitting and working things out.
Bolz gives a brief update on Facility maintenance department. They are looking into updating some
of the City buildings.
Bolz updates the board about generators for buildings. He states that Development services
currently is the only building with a built in generator.
Bolz explains that the brush list is caught up and the guys have been staying on top of the list when
they come in. He would like to look into out sourcing the brush pick up as it would free up 2/3 rds
of his manpower. He thanks the board for listening and asks if they have any questions.
6.Meadow Green Farms Estates Addition Phase II Final Plat
Consider, Discuss and Act on the Final Plat of Lots 713 Block A, Lots 14 Block B, Lots 16
Block C, and Lot 1 Block D of Meadow Green Farm Estates Addition Phase II, Being 24.97
Acres, in the City of Sanger’s ETJ, and Generally Located on the West Side of Metz Road and
Approximately 2463 Feet South of Lois Rd.
Director of Development Services Hammonds summarizes the project for the Council. She explains
that this development has Bolivar water, CoServ elect., and septic systems. Staff recommends
approval.
Mayor Pro Tem Bilyeu makes a motion to approve. The motion is seconded by Councilmember
Barrett. Motion passes unanimously with a 50 vote.
7.Lake Country Estates Addition Final Plat
Consider, Discuss, and Act on a Final Plat of Lots 139, Block A, and Lots 139, Block B, of Lake
Country Estates Addition, Being 50.337 Acres of Land, and Generally Located South of FM 455,
North of Union Hill Road, and Approximately 2500 Feet East of the Intersection of FM 455 and
Union Hill Road.
Director of Development Services Hammonds summarizes the project for the Council. She points
out this project is 77 lots with 1 HOA lot. They will have Bolivar water, CoServ electric, and septic
systems. They are half acre lots and with this plat there are 4 variances that would be approve with
the plat. One variance is to not have to improve the current road. To allow a 5ft sidewalk on
FM455 like TxDot is already doing instead of the Citys 8 ft. sidewalks. They would also like to not
Page 2Page 9
MINUTESCITY COUNCIL REGULAR MEETINGMONDAY, FEBRUARY 1, 20217:00 PMHISTORIC CHURCH BUILDING 403 N 7TH STREETSANGER, TEXASCOUNCIL MEMBERS PRESENT:Mayor Thomas Muir, Mayor Pro Tem Gary Bilyeu; Councilmember David Clark; CouncilmemberMarissa Barrett, Councilmember Allen Chick, Councilmember Dennis Dillon COUNCIL MEMBERS ABSENT:All member were presentSTAFF MEMBERS PRESENT:Interim City Manager Jeriana Staton, City Attorney Hugh Coleman, Financial Director ClaytonGray, Stefani Dodson Development Services, Laura Klenke Library, Sgt. Josh Bishop PoliceDepartment, Jon Watson Auditor, Director of Development Services Ramie Hammonds, Director ofEconomic Development Shani Bradshaw, Public Works Director Jim Bolz, 1.Call Meeting to Order, Establish a Quorum (Roll Call), Invocation.There being a quorum, Mayor Thomas Muir called the January 19th, 2021, City Council meetingto order at 7:11 p.m.. The invocation was given by Councilmember Chick. The Pledge ofAllegiance was led by Councilmember Clark.2.CITIZEN INPUT:There were no citizens who came forward wishing to speak3.CONSENT AGENDA:a.Approval of MinutesCouncilmember Chick made a motion to accept the consent agenda. Motion was seconded byCouncilmember Clark. Motion passes unanimously with a 50 vote.1.Approval of Minutes on 01/04/20212.Approval of Minutes on 01/07/20213.Approval of Minutes on 01/19/20214.Consider Any Items Removed from Consent Agenda.There were no items removed from the agendaREGULAR AGENDA5.Public Works UpdatePublic Works Director Bolz speaks to the Council about all the projects going on in the City. Hegoes over the street projects shown in the map provided. He explains that they did more streets lastyear than expected so the map is a little different. He says that the bigger item on his list is the Wastewater Treatment Plant. He says that they are inthe process of permitting and working things out. Bolz gives a brief update on Facility maintenance department. They are looking into updating someof the City buildings. Bolz updates the board about generators for buildings. He states that Development servicescurrently is the only building with a built in generator.Bolz explains that the brush list is caught up and the guys have been staying on top of the list whenthey come in. He would like to look into out sourcing the brush pick up as it would free up 2/3 rdsof his manpower. He thanks the board for listening and asks if they have any questions.6.Meadow Green Farms Estates Addition Phase II Final PlatConsider, Discuss and Act on the Final Plat of Lots 713 Block A, Lots 14 Block B, Lots 16Block C, and Lot 1 Block D of Meadow Green Farm Estates Addition Phase II, Being 24.97Acres, in the City of Sanger’s ETJ, and Generally Located on the West Side of Metz Road andApproximately 2463 Feet South of Lois Rd.Director of Development Services Hammonds summarizes the project for the Council. She explainsthat this development has Bolivar water, CoServ elect., and septic systems. Staff recommendsapproval.Mayor Pro Tem Bilyeu makes a motion to approve. The motion is seconded by CouncilmemberBarrett. Motion passes unanimously with a 50 vote.7.Lake Country Estates Addition Final PlatConsider, Discuss, and Act on a Final Plat of Lots 139, Block A, and Lots 139, Block B, of LakeCountry Estates Addition, Being 50.337 Acres of Land, and Generally Located South of FM 455,North of Union Hill Road, and Approximately 2500 Feet East of the Intersection of FM 455 andUnion Hill Road.Director of Development Services Hammonds summarizes the project for the Council. She pointsout this project is 77 lots with 1 HOA lot. They will have Bolivar water, CoServ electric, and septicsystems. They are half acre lots and with this plat there are 4 variances that would be approve with
the plat. One variance is to not have to improve the current road. To allow a 5ft sidewalk on
FM455 like TxDot is already doing instead of the Citys 8 ft. sidewalks. They would also like to not
install sidewalks on Union Hill. They would also like to have the electric stay about ground instead
of putting it all underground. Staff does recommend approval.
The board has a brief discussion.
Mayor Pro Tem Bilyeu wants to know if there will be enough water pressure for Fire Department.
It is explained by the developer that there currently is enough pressure however if a problem comes
up during development they have talked to Bolivar Water about adding a water tower.
The board has a discussion about the ownership of Union Hill. They want staff to check to see if
County or the City of Sanger owns the street.
Mayor Pro Tem Bilyeu makes a motion to approve with all the variances except the improvement of
Union Hill until they find out who owns the street.
Motion was seconded by Councilmember Barrett. Motion passes unanimously with a 50 vote.
8.Resolution No. 111420 Property Enhancement Incentives Policy
Consider, Discuss and Act on Resolution No. 111420 Approving the Property Enhancement
Incentives Policy.
Economic Development Director Shani Bradshaw explains that this is the project that she has
previously brought to the board. She is now coming to Council as the 4B board has already
approved this grant.
Mayor Pro Tem Bilyeu makes a motion to approve Resolution No. 111420 Property
Enhancement Incentives Policy.
Councilmember Dillon seconded the motion. Motion passes unanimously with a 50 vote.
9.Ordinance No. 020221 Interstate Highway 35 Speed Zone
Consider, Discuss and Act on Ordinance 020221 Altering the Prima Facie Speed Limits
Established for Vehicles Under the Provision of Transportation Code, Section 545.356 Upon
Interstate Highway No. 35 or Parts Thereof, Within the Incorporate Limits of the City of Sanger, as
Set Out in This Ordinance; and Providing a Penalty of a Fine Not to Exceed $200.00 for the
Violation of This Ordinance.
Public Works Director Bolz explains this is a formality to keep our speed limit the same.
Councilmember Chick makes a motion to adopt Ordinance No. 020221 Interstate Highway 35
Speed Zone Altering the Prima Facie Speed Limits Established for Vehicles under provision of
Transportation code, Section 545.356 upon Interstate Highway No. 35 or parts thereof, within the
Incorporates Limits of the City of Sanger, as set out in this ordinance; and providing a penalty of a
fine not to exceed $200.00 for the violation of this ordinance. Motion was seconded by Mayor Pro
Tem Bilyeu. Motion passes unanimously with a 50 vote.
10.Concrete and Asphalt Bid Contracts
Consider, Discuss and Possibly Approve Bid and Approve ReSoliciting the Bid for Annual
Concrete Labor and Material Contract and Asphalt Paving Material Contract.
Public Works Director Bolz explains this is just to allow us to go out for bids.
Page 3Page 10
MINUTESCITY COUNCIL REGULAR MEETINGMONDAY, FEBRUARY 1, 20217:00 PMHISTORIC CHURCH BUILDING 403 N 7TH STREETSANGER, TEXASCOUNCIL MEMBERS PRESENT:Mayor Thomas Muir, Mayor Pro Tem Gary Bilyeu; Councilmember David Clark; CouncilmemberMarissa Barrett, Councilmember Allen Chick, Councilmember Dennis Dillon COUNCIL MEMBERS ABSENT:All member were presentSTAFF MEMBERS PRESENT:Interim City Manager Jeriana Staton, City Attorney Hugh Coleman, Financial Director ClaytonGray, Stefani Dodson Development Services, Laura Klenke Library, Sgt. Josh Bishop PoliceDepartment, Jon Watson Auditor, Director of Development Services Ramie Hammonds, Director ofEconomic Development Shani Bradshaw, Public Works Director Jim Bolz, 1.Call Meeting to Order, Establish a Quorum (Roll Call), Invocation.There being a quorum, Mayor Thomas Muir called the January 19th, 2021, City Council meetingto order at 7:11 p.m.. The invocation was given by Councilmember Chick. The Pledge ofAllegiance was led by Councilmember Clark.2.CITIZEN INPUT:There were no citizens who came forward wishing to speak3.CONSENT AGENDA:a.Approval of MinutesCouncilmember Chick made a motion to accept the consent agenda. Motion was seconded byCouncilmember Clark. Motion passes unanimously with a 50 vote.1.Approval of Minutes on 01/04/20212.Approval of Minutes on 01/07/20213.Approval of Minutes on 01/19/20214.Consider Any Items Removed from Consent Agenda.There were no items removed from the agendaREGULAR AGENDA5.Public Works UpdatePublic Works Director Bolz speaks to the Council about all the projects going on in the City. Hegoes over the street projects shown in the map provided. He explains that they did more streets lastyear than expected so the map is a little different. He says that the bigger item on his list is the Wastewater Treatment Plant. He says that they are inthe process of permitting and working things out. Bolz gives a brief update on Facility maintenance department. They are looking into updating someof the City buildings. Bolz updates the board about generators for buildings. He states that Development servicescurrently is the only building with a built in generator.Bolz explains that the brush list is caught up and the guys have been staying on top of the list whenthey come in. He would like to look into out sourcing the brush pick up as it would free up 2/3 rdsof his manpower. He thanks the board for listening and asks if they have any questions.6.Meadow Green Farms Estates Addition Phase II Final PlatConsider, Discuss and Act on the Final Plat of Lots 713 Block A, Lots 14 Block B, Lots 16Block C, and Lot 1 Block D of Meadow Green Farm Estates Addition Phase II, Being 24.97Acres, in the City of Sanger’s ETJ, and Generally Located on the West Side of Metz Road andApproximately 2463 Feet South of Lois Rd.Director of Development Services Hammonds summarizes the project for the Council. She explainsthat this development has Bolivar water, CoServ elect., and septic systems. Staff recommendsapproval.Mayor Pro Tem Bilyeu makes a motion to approve. The motion is seconded by CouncilmemberBarrett. Motion passes unanimously with a 50 vote.7.Lake Country Estates Addition Final PlatConsider, Discuss, and Act on a Final Plat of Lots 139, Block A, and Lots 139, Block B, of LakeCountry Estates Addition, Being 50.337 Acres of Land, and Generally Located South of FM 455,North of Union Hill Road, and Approximately 2500 Feet East of the Intersection of FM 455 andUnion Hill Road.Director of Development Services Hammonds summarizes the project for the Council. She pointsout this project is 77 lots with 1 HOA lot. They will have Bolivar water, CoServ electric, and septicsystems. They are half acre lots and with this plat there are 4 variances that would be approve withthe plat. One variance is to not have to improve the current road. To allow a 5ft sidewalk onFM455 like TxDot is already doing instead of the Citys 8 ft. sidewalks. They would also like to notinstall sidewalks on Union Hill. They would also like to have the electric stay about ground insteadof putting it all underground. Staff does recommend approval.The board has a brief discussion.Mayor Pro Tem Bilyeu wants to know if there will be enough water pressure for Fire Department.It is explained by the developer that there currently is enough pressure however if a problem comesup during development they have talked to Bolivar Water about adding a water tower.The board has a discussion about the ownership of Union Hill. They want staff to check to see ifCounty or the City of Sanger owns the street.Mayor Pro Tem Bilyeu makes a motion to approve with all the variances except the improvement ofUnion Hill until they find out who owns the street.Motion was seconded by Councilmember Barrett. Motion passes unanimously with a 50 vote.8.Resolution No. 111420 Property Enhancement Incentives PolicyConsider, Discuss and Act on Resolution No. 111420 Approving the Property EnhancementIncentives Policy.Economic Development Director Shani Bradshaw explains that this is the project that she haspreviously brought to the board. She is now coming to Council as the 4B board has alreadyapproved this grant. Mayor Pro Tem Bilyeu makes a motion to approve Resolution No. 111420 PropertyEnhancement Incentives Policy.Councilmember Dillon seconded the motion. Motion passes unanimously with a 50 vote.9.Ordinance No. 020221 Interstate Highway 35 Speed ZoneConsider, Discuss and Act on Ordinance 020221 Altering the Prima Facie Speed LimitsEstablished for Vehicles Under the Provision of Transportation Code, Section 545.356 UponInterstate Highway No. 35 or Parts Thereof, Within the Incorporate Limits of the City of Sanger, asSet Out in This Ordinance; and Providing a Penalty of a Fine Not to Exceed $200.00 for theViolation of This Ordinance.Public Works Director Bolz explains this is a formality to keep our speed limit the same.Councilmember Chick makes a motion to adopt Ordinance No. 020221 Interstate Highway 35Speed Zone Altering the Prima Facie Speed Limits Established for Vehicles under provision ofTransportation code, Section 545.356 upon Interstate Highway No. 35 or parts thereof, within theIncorporates Limits of the City of Sanger, as set out in this ordinance; and providing a penalty of afine not to exceed $200.00 for the violation of this ordinance. Motion was seconded by Mayor ProTem Bilyeu. Motion passes unanimously with a 50 vote.10.Concrete and Asphalt Bid ContractsConsider, Discuss and Possibly Approve Bid and Approve ReSoliciting the Bid for AnnualConcrete Labor and Material Contract and Asphalt Paving Material Contract.
Public Works Director Bolz explains this is just to allow us to go out for bids.
Councilmember Clark makes a motion to approve the bid for annual concrete labor and material
contract and asphalt paving material contract. Motion seconded by Mayor Pro Tem Bilyeu. Motion
passes unanimously with a 50 vote.
11.Agreement with Chris Hartung Consulting, LLC for the recruitment of Sanger City
Manager
Consider, Discuss and Possibly Act on Authorizing the Interim City Manager to Execute an
Agreement with Chris Hartung Consulting, LLC for the recruitment of Sanger City Manager.
Mayor Pro Tem Bilyeu makes a motion to authorize the Interim City Manager to execute an
agreement with Chris Hartung Consulting, LLC for the recruitment of Sanger City Manager. Motion
was seconded by Councilmember Barrett. Motion passes unanimously with a 50 vote.
12.EXECUTIVE SESSION:
Mayor Muir read Executive Session Item and convened into Executive Session at 8:26 p.m..
a.Texas Government Code Section 551.074 Personnel Related Matters: Closed Meeting to
evaluate candidates and discuss terms and conditions of employment for the position of City
Manager for the City of Sanger.
13.RECONVENE: OPEN MEETING:
Mayor Muir and Council reconvened and Mayor Muir called the Council Meeting back into regular
session at 8:40 p.m..
14.INFORMATION ITEMS:
a.Interim City Manager Updates
Interim City Manager Staton gives a brief update on staff. She explains that she has received 5 City
Secretary applications and 3 Water Super Intendant applications so far.
b.Disbursements December 2020
Disbursements for the Month of December 2020
Interim City Manager Staton summarizes for City Council.
15.FUTURE AGENDA ITEMS:
16.ADJOURN.
There being no further agenda items for discussion, Mayor Muir adjourned the Council Meeting at
8:45 p.m..
Page 4Page 11
CITY COUNCIL AGENDA MEMO
AGENDA ITEM NO. a.3.
AGENDA MEETING DATE: February 16, 2021
TO: Jeriana Staton, Interim City Manager
FROM:
ITEM/CAPTION:
Minutes for 020121 Work Session
AGENDA TYPE:
ACTION REQUESTED:
BACKGROUND:
LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:
FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:
FUNDS:
STAFF RECOMMENDATION/ACTION DESIRED:
ATTACHMENTS:
Description Upload Date Type
Minutes 020121 Work Session 2/11/2021 Cover Memo
Page 12
MINUTES
CITY COUNCIL WORK SESSION
MONDAY, FEBRUARY 1, 2021
5:00 PM
HISTORIC CHURCH BUILDING 403 N 7TH STREET
SANGER, TEXAS
COUNCIL MEMBERS PRESENT:
Mayor Thomas Muir, Mayor Pro Tem Gary Bilyeu; Councilmember David Clark; Councilmember
Marissa Barrett, Councilmember Allen Chick, Councilmember Dennis Dillon
COUNCIL MEMBERS ABSENT:
All members were present
STAFF MEMBERS PRESENT:
Interim City Manager Jeriana Staton, City Attorney Hugh Coleman, Financial Director Clayton
Gray, Stefani Dodson Development Services, Laura Klenke Library, Sgt. Josh Bishop Police
Department, Ted Christensen, Director of Electric Mike Prater, Director of Public Works Jim Bolz,
City Engineer Tracey LaPiene
1.Call Meeting to Order
There being a quorum, Mayor Thomas Muir called the February 1st, 2021, City Council Work
Session meeting to order at 5:05 p.m..
2.Overview of Capital Project Needs and Bond Funding
Presentation of City debt and bond funding information by Finance Director Clayton Gray and Ted
Christensen, President of Government Capital Securities Corporation.
Presentation of capital project information by City Engineer Tracy LaPiene, Public Works Director
Jim Bolz, and Electric Director Mike Prater.
Financial Director Gray gives an overview of some of the Capital projects, bond money, and
introduces Ted Christensen from Government Capital Securities Corp. He explains in the general
fund there is
Mr. Christensen summarizes the funds and debts. He explains to the Council about the bond funds.
He explains that the General Fund debt is funded by property taxes. The Enterprise debt is
supported by the utility bills. He goes over the utility rate plan that is in place. Mr. Christensen goes
over a power point with the Council.
There is a brief discussion with the board and Mr. Christensen. Mr. Christensen does let the city
know right now the City has a double A rating, and explains this is very good. He states the interest
Page 1Page 13
MINUTESCITY COUNCIL WORK SESSIONMONDAY, FEBRUARY 1, 20215:00 PMHISTORIC CHURCH BUILDING 403 N 7TH STREETSANGER, TEXASCOUNCIL MEMBERS PRESENT:Mayor Thomas Muir, Mayor Pro Tem Gary Bilyeu; Councilmember David Clark; CouncilmemberMarissa Barrett, Councilmember Allen Chick, Councilmember Dennis Dillon COUNCIL MEMBERS ABSENT:All members were present STAFF MEMBERS PRESENT:Interim City Manager Jeriana Staton, City Attorney Hugh Coleman, Financial Director ClaytonGray, Stefani Dodson Development Services, Laura Klenke Library, Sgt. Josh Bishop PoliceDepartment, Ted Christensen, Director of Electric Mike Prater, Director of Public Works Jim Bolz,City Engineer Tracey LaPiene1.Call Meeting to OrderThere being a quorum, Mayor Thomas Muir called the February 1st, 2021, City Council WorkSession meeting to order at 5:05 p.m..2.Overview of Capital Project Needs and Bond FundingPresentation of City debt and bond funding information by Finance Director Clayton Gray and TedChristensen, President of Government Capital Securities Corporation.Presentation of capital project information by City Engineer Tracy LaPiene, Public Works DirectorJim Bolz, and Electric Director Mike Prater.Financial Director Gray gives an overview of some of the Capital projects, bond money, andintroduces Ted Christensen from Government Capital Securities Corp. He explains in the generalfund there is Mr. Christensen summarizes the funds and debts. He explains to the Council about the bond funds.He explains that the General Fund debt is funded by property taxes. The Enterprise debt issupported by the utility bills. He goes over the utility rate plan that is in place. Mr. Christensen goesover a power point with the Council.
There is a brief discussion with the board and Mr. Christensen. Mr. Christensen does let the city
know right now the City has a double A rating, and explains this is very good. He states the interest
rates are very low right now and our rating is great.
City Engineer Tracy LaPiene goes over the packet he handed out. He is pointing out the Capital
Projects that need attention. A couple of the projects that are included are the FM455 and I35
expansion.
Public Works Director Jim Bolz summarizes what he will need to move existing pipes for both
projects.
Electric Director Mike Prater also summarizes what he will need in order to move the electric lines
on both projects.
The board has a brief discussion on the items that need to be done. They go over the funds
available and what will be needed in a bond.
3.Overview of Items on the Regular Agenda
4.Adjourn
There being no further agenda items for discussion, Mayor Muir adjourned the Work Session
Meeting at 6:52 p.m.
Page 2Page 14
CITY COUNCIL AGENDA MEMO
AGENDA ITEM NO. 5.
AGENDA MEETING DATE: February 16, 2021
TO: Jeriana Staton, Interim City Manager
FROM: David Pennington, Fire Chief
ITEM/CAPTION:
Company Citation Award
Sanger Fire Department was dispatched on incident 2200165, a residential fire. The incident was managed by four
Sanger Fire Department members saving a man’s life. These four Sanger Fire Department members will be recognized
for two separate Awards.
AGENDA TYPE: Regular
ACTION REQUESTED: Other:
BACKGROUND:
Act of Valor:
Are hereby recognized for their outstanding and meritorious actions toward their fellow man as described herein:
On 02/05/2020 at 00:50:00, the Sanger Fire Department was dispatched to a working fire residential fire
(Incident 2200165). While enroute to the scene, dispatch advised the home was filling with smoke, and all occupants
were evacuated from the structure. Units arrived on the scene, finding a residential structure pushing thick black smoke
out from every corner, along with fire showing from the address side. E672 established command, advised crews to
pull the skid load to the front of the home. As the Engine crew was deploying the hose line to the front door, a male’s
voice could be heard yelling from inside the residence. Dispatch was advised that E672 had a trapped
occupant inside the home and would be making entry. The hose line was placed into service at the front door pushing
the smoke, flames, and heat back so the crew could make entry into the structure to perform a search. Lt. Grimes, FF.
Enciso, and FF. Anderle made entry into the home, performing a lefthanded search into the B/C corner of the house
where the victim was located in the bathroom, unable to stand and walk due to the thick black choking smoke and
extreme heat. FF. Enciso and Lt. Grimes picked the victim up, carrying him out of the structure, while FF.
Anderle protected the exit route with the hose line. The victim was placed in the fire apparatus to keep him warm and
removed from the weather.
This incident was handled by four members of the Sanger Fire and saved the man’s life. This event was done under
extreme weather conditions along with limited manpower. The subject was trapped by both heavy fire and smoke and
would have perished had it not been for the crew entering the resident and carrying the subject out under extreme
conditions.
Page 15
CITY COUNCIL AGENDA MEMOAGENDA ITEM NO. 5.AGENDA MEETING DATE: February 16, 2021TO: Jeriana Staton, Interim City ManagerFROM: David Pennington, Fire ChiefITEM/CAPTION:Company Citation AwardSanger Fire Department was dispatched on incident 2200165, a residential fire. The incident was managed by fourSanger Fire Department members saving a man’s life. These four Sanger Fire Department members will be recognizedfor two separate Awards.AGENDA TYPE: RegularACTION REQUESTED: Other: BACKGROUND:Act of Valor:Are hereby recognized for their outstanding and meritorious actions toward their fellow man as described herein:On 02/05/2020 at 00:50:00, the Sanger Fire Department was dispatched to a working fire residential fire(Incident 2200165). While enroute to the scene, dispatch advised the home was filling with smoke, and all occupantswere evacuated from the structure. Units arrived on the scene, finding a residential structure pushing thick black smokeout from every corner, along with fire showing from the address side. E672 established command, advised crews topull the skid load to the front of the home. As the Engine crew was deploying the hose line to the front door, a male’svoice could be heard yelling from inside the residence. Dispatch was advised that E672 had a trappedoccupant inside the home and would be making entry. The hose line was placed into service at the front door pushingthe smoke, flames, and heat back so the crew could make entry into the structure to perform a search. Lt. Grimes, FF.Enciso, and FF. Anderle made entry into the home, performing a lefthanded search into the B/C corner of the housewhere the victim was located in the bathroom, unable to stand and walk due to the thick black choking smoke andextreme heat. FF. Enciso and Lt. Grimes picked the victim up, carrying him out of the structure, while FF.Anderle protected the exit route with the hose line. The victim was placed in the fire apparatus to keep him warm andremoved from the weather.This incident was handled by four members of the Sanger Fire and saved the man’s life. This event was done underextreme weather conditions along with limited manpower. The subject was trapped by both heavy fire and smoke andwould have perished had it not been for the crew entering the resident and carrying the subject out under extremeconditions.
LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:
FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:
FUNDS:
STAFF RECOMMENDATION/ACTION DESIRED:
Page 16
CITY COUNCIL AGENDA MEMO
AGENDA ITEM NO. 6.
AGENDA MEETING DATE: February 16, 2021
TO: Jeriana Staton, Interim City Manager
FROM: Clayton Gray, Finance Director
ITEM/CAPTION:
Resolution #020221 Authorizing Publication of Notice of Intent to Issue
RESOLUTION AUTHORIZING PUBLICATION OF NOTICE OF INTENTION TO ISSUE CERTIFICATES
OF OBLIGATION, SERIES 2021A IN A PRINCIPAL AMOUNT NOT TO EXCEED $20,000,000 AND
AUTHORIZING CERTAIN OTHER MATTERS RELATING THERETO
AGENDA TYPE: Regular
ACTION REQUESTED: Approval
BACKGROUND:
LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:
FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:
FUNDS:
STAFF RECOMMENDATION/ACTION DESIRED:
ATTACHMENTS:
Description Upload Date Type
Page 17
CITY COUNCIL AGENDA MEMOAGENDA ITEM NO. 6.AGENDA MEETING DATE: February 16, 2021TO: Jeriana Staton, Interim City ManagerFROM: Clayton Gray, Finance DirectorITEM/CAPTION:Resolution #020221 Authorizing Publication of Notice of Intent to IssueRESOLUTION AUTHORIZING PUBLICATION OF NOTICE OF INTENTION TO ISSUE CERTIFICATESOF OBLIGATION, SERIES 2021A IN A PRINCIPAL AMOUNT NOT TO EXCEED $20,000,000 ANDAUTHORIZING CERTAIN OTHER MATTERS RELATING THERETOAGENDA TYPE: RegularACTION REQUESTED: Approval BACKGROUND:LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:FUNDS:STAFF RECOMMENDATION/ACTION DESIRED:
ATTACHMENTS:
Description Upload Date Type
Resolution #020221 2/10/2021 Cover Memo
Page 18
4125-4265-6043.1
CERTIFICATE FOR RESOLUTION
THE STATE OF TEXAS §
COUNTY OF DENTON §
THE CITY OF SANGER §
We, the undersigned officers of the City of Sanger, Texas (the “City”), hereby certify as
follows:
1. The City Council of the City convened in a regular meeting on February 16, 2021,
at the regular meeting place thereof, within the City, and via teleconference and video conference
in compliance with an advisory issued by the Office of the Governor and the roll was called of the
duly constituted officers and members of the City Council, to wit:
Thomas Muir Mayor
Gary Bilyeu Mayor Pro Tem
Marissa Barrett Councilmember, Place 1
Dennis Dillon Councilmember, Place 3
Allen Chick Councilmember, Place 4
David Clark Councilmember, Place 5
and all of such persons were present, except ___________________________, thus constituting a
quorum. Whereupon, among other business, the following was transacted at said meeting: a written
RESOLUTION AUTHORIZING PUBLICATION OF NOTICE OF
INTENTION TO ISSUE CERTIFICATES OF OBLIGATION, SERIES 2021A
IN A PRINCIPAL AMOUNT NOT TO EXCEED $20,000,000.00 AND
AUTHORIZING CERTAIN OTHER MATTERS RELATING THERETO
(the “Resolution”) was duly introduced for the consideration of the City Council and read in full.
It was then duly moved and seconded that such Resolution be adopted; and, after due discussion,
the motion, carrying with it the adoption of the Resolution, prevailed and carried by the following
vote:
AYES: _____ NAYS: _____ ABSTENTIONS: _____
2. That a true, full and correct copy of the Resolution adopted at the meeting described
in the above and foregoing paragraph is attached to and follows this certificate; that the Resolution
has been duly recorded in the City Council’s minutes of such meeting; that the above and foregoing
paragraph is a true, full and correct excerpt from the City Council’s minutes of such meeting
pertaining to the adoption of the Resolution; that the persons named in the above and foregoing
paragraph are the duly chosen, qualified and acting officers and members of the City Council as
indicated therein; that each of the officers and members of the City Council was duly and
sufficiently notified officially and personally, in advance, of the date, hour, place and subject of
the aforesaid meeting, and that the Resolution would be introduced and considered for adoption at
such meeting, and each of such officers and members consented, in advance, to the holding of such
meeting for such purpose; that such meeting was open to the public in compliance with the
advisory issued by the Office of the Governor; and that public notice of the date, hour, place and
subject of such meeting was given as required by the Open Meetings Law, Chapter 551, Texas
Government Code.
Page 19
2
4125-4265-6043.1
SIGNED this February 16, 2021.
City Secretary
City of Sanger, Texas
Mayor
City of Sanger, Texas
Page 20
4125-4265-6043.1
RESOLUTION #02-02-21
RESOLUTION AUTHORIZING PUBLICATION OF NOTICE OF
INTENTION TO ISSUE CERTIFICATES OF OBLIGATION, SERIES
2021A IN A PRINCIPAL AMOUNT NOT TO EXCEED $20,000,000 AND
AUTHORIZING CERTAIN OTHER MATTERS RELATING THERETO
THE STATE OF TEXAS §
COUNTY OF DENTON §
THE CITY OF SANGER §
WHEREAS, the City Council (the “City Council”) of the City of Sanger, Texas (the
“City”), is authorized to issue certificates of obligation to pay contractual obligations to be incurred
(1) for water and sewer system expansion and improvements, electric utility system renovations
and line relocations, and city wide street repairs and improvements and (2) for professional
services pursuant to Subchapter C of Chapter 271, Texas Local Government Code, as amended;
WHEREAS, the City Council has determined that it is in the best interests of the City and
otherwise desirable to issue certificates of obligation in a principal amount not to exceed
$20,000,000.00 styled “City of Sanger, Texas Certificates of Obligation, Series 2021A” (the
“Certificates”);
WHEREAS, in connection with the Certificates, the City Council intends to publish notice
of intent to issue the Certificates (the “Notice”) in a newspaper of general circulation in the City;
and
WHEREAS, the City Council has been presented with and has examined the proposed form
of Notice and finds that the form and substance thereof are satisfactory, and that the recitals
and findings contained therein are true, correct and complete.
BE IT THEREFORE RESOLVED BY THE CITY COUNCIL OF THE CITY OF
SANGER, TEXAS:
Section 1. Preamble. The facts and recitations contained in the preamble of this
Resolution are hereby found and declared to be true and correct.
Section 2. Authorization of Notice. The City Secretary is hereby authorized and
directed to execute and deliver the Notice set forth in Exhibit A hereto and to publish such Notice
on behalf of the City once a week for two (2) consecutive weeks in a newspaper which is of general
circulation in the City, the date of the first publication of the Notice to be at least forty-six (46)
days before the date tentatively set in the Notice for the passage of the ordinance authorizing the
issuance of the Certificates. In addition, the Notice shall be posted continuously on the City’s
website for at least forty-five (45) days before the date tentatively set in the Notice for the passage
of the ordinance authorizing the issuance of the Certificates.
Page 21
4125-4265-6043.1
Section 3. Designation of Self-Supporting Securities. For the purposes of the Notice,
the City hereby designates as self-supporting those public securities listed in the attached
Exhibit B, the debt service on which the City currently pays from sources other than ad valorem
tax collections. The City plans to continue to pay these public securities based on this practice;
however, there is no guarantee this practice will continue in future years.
Section 3. Engagement of Professionals. This City Council hereby approves the
engagement of Orrick, Herrington & Sutcliffe LLP, as bond counsel (“Bond Counsel”) in
connection with the issuance of the Certificates.
Section 4. Authorization of Other Matters Relating Thereto. The Mayor, City
Secretary and other officers and agents of the City are hereby authorized and directed to do any
and all things necessary or desirable to carry out the provisions of this Resolution.
Section 5. Effective Date. This Resolution shall take effect immediately upon passage.
Section 6. Public Meeting. It is officially found, determined and declared that the
meeting at which this Resolution is adopted was open to the public in compliance with the advisory
issued by the Office of the Governor and public notice of the time, place and subject matter of the
public business to be considered at such meeting, including this Resolution, was given all as
required by the Texas Government Code, Chapter 551, as amended.
[Remainder of Page Intentionally Left Blank]
Page 22
4125-4265-6043.1
PASSED AND APPROVED this 16th day of February, 2021.
APPROVED:
________________________________
Thomas E. Muir, Mayor
ATTEST:
___________________________________
Jeriana Staton, Deputy City Secretary
APPROVED AS TO FORM:
_________________________
Hugh Coleman, City Attorney
Page 23
4125-4265-6043.1
EXHIBIT A
NOTICE OF INTENTION TO ISSUE CERTIFICATES
NOTICE IS HEREBY GIVEN that the City Council of the City of Sanger, Texas (the
“City”) will hold a meeting at its regular meeting place at the Historic Church Building, 402 N. 7th
Street, Sanger, Texas (or if the City is still subject to a stay-at-home order via teleconference and
video conference in compliance with an advisory issued by the Office of the Governor) at 7:00 p.m.
on the 5th day of April, 2021, which is the time and place tentatively set for the passage of an
ordinance and such other action as may be deemed necessary to authorize the issuance of the City’s
certificates of obligation, payable from an annual ad valorem taxation, as well as a limited (in an
amount not to exceed $1,000) pledge of certain revenues of the water and sewer system, in the
maximum aggregate principal amount of $20,000,000.00, bearing interest at any rate or rates not
to exceed the maximum interest rate now or hereafter authorized by law, as shall be determined
within the discretion of the City Council at the time of issuance and maturing over a period of
years not to exceed forty (40) years from the date thereof, for the purpose of evidencing the
indebtedness of the City (1) for water and sewer system expansion and improvements, electric
utility system renovations and line relocations, and city wide street repairs and improvements and
(2) for professional services pursuant to Subchapter C of Chapter 271, Texas Local Government
Code, as amended. The estimated combined principal and interest required to pay the Certificates
on time and in full is $28,386,038.75. Such estimate is provided for illustrative purposes only and
is based on an assumed interest rate of 2.22%. Market conditions affecting interest rates vary
based on a number of factors beyond the control of the City, and the City cannot and does not
guarantee a particular interest rate associated with the Certificates. As of the date of this notice,
the aggregate principal amount of public securities of the City secured by and payable from ad
valorem taxes (excluding public securities secured by an ad valorem tax but designated by the City
as self-supporting) is $2,368,500.00 and based on the City’s expectations, as of the date of this
notice the combined principal and interest required to pay all of the outstanding tax-supported debt
obligations of the City secured by and payable from ad valorem taxes (excluding public securities
secured by an ad valorem tax but designated by the City as self-supporting) on time and in full is
$2,729,358.00
City Secretary
City of Sanger, Texas
Page 24
4125-4265-6043.1
EXHIBIT B
SELF-SUPPORTING DEBT
Principal Amount
Designated as Self
Supporting
Series Designation
$ 524,700 Certificates of Obligation, Series 2007
184,800 General Obligation Refunding Bonds, Series 2012
2,710,400 Certificates of Obligation, Series 2013
5,430,000 Certificates of Obligation, Series 2015
291,600 General Obligation Refunding Bonds, Series 2016
9,240,000 Certificates of Obligation, Series 2017
0 General Obligation Refunding Bonds, Series 2019
$18,381,500 Total Principal Amount Designated as Self-Supporting
Page 25
CITY COUNCIL AGENDA MEMO
AGENDA ITEM NO. 7.
AGENDA MEETING DATE: February 16, 2021
TO: Jeriana Staton, Interim City Manager
FROM: Clayton Gray, Finance Director
ITEM/CAPTION:
Ordinance #020321 Authorizing Issuance of Refunding Bonds
AN ORDINANCE OF THE CITY OF SANGER, TEXAS AUTHORIZING AND ORDERING THE ISSUANCE
OF GENERAL OBLIGATION REFUNDING BONDS, SERIES 2021B; AUTHORIZING A PRICING OFFICER
TO APPROVE THE AMOUNT, THE INTEREST RATES, PRICE, REDEMPTION PROVISIONS AND TERMS
THEREOF AND CERTAIN OTHER PROCEDURES AND PROVISIONS RELATED THERETO; AND
CONTAINING OTHER MATTERS RELATED THERETO
AGENDA TYPE: Regular
ACTION REQUESTED: Approval
BACKGROUND:
LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:
FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:
FUNDS:
STAFF RECOMMENDATION/ACTION DESIRED:
ATTACHMENTS:
Page 26
CITY COUNCIL AGENDA MEMOAGENDA ITEM NO. 7.AGENDA MEETING DATE: February 16, 2021TO: Jeriana Staton, Interim City ManagerFROM: Clayton Gray, Finance DirectorITEM/CAPTION:Ordinance #020321 Authorizing Issuance of Refunding BondsAN ORDINANCE OF THE CITY OF SANGER, TEXAS AUTHORIZING AND ORDERING THE ISSUANCEOF GENERAL OBLIGATION REFUNDING BONDS, SERIES 2021B; AUTHORIZING A PRICING OFFICERTO APPROVE THE AMOUNT, THE INTEREST RATES, PRICE, REDEMPTION PROVISIONS AND TERMSTHEREOF AND CERTAIN OTHER PROCEDURES AND PROVISIONS RELATED THERETO; ANDCONTAINING OTHER MATTERS RELATED THERETOAGENDA TYPE: RegularACTION REQUESTED: Approval BACKGROUND:LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:FUNDS:STAFF RECOMMENDATION/ACTION DESIRED:
ATTACHMENTS:
Description Upload Date Type
Ordinance #020321 2/11/2021 Cover Memo
Page 27
4136-2105-3739.1
CERTIFICATE FOR ORDINANCE
THE STATE OF TEXAS §
COUNTY OF DENTON §
CITY OF SANGER §
I, the undersigned officer of the City of Sanger, Texas (the “City”), hereby certifies as
follows:
1. The City Council of the City convened in a regular meeting on February 16, 2021,
at the regular meeting place thereof, within the City and via teleconference and video conference
in compliance with an advisory issued by the Office of the Governor and the roll was called of
the duly constituted officers and members of the City Council, to wit:
Thomas Muir Mayor
Gary Bilyeu Mayor Pro Tem
Marissa Barrett Councilmember, Place 1
Dennis Dillon Councilmember, Place 3
Allen Chick Councilmember, Place 4
David Clark Councilmember, Place 5
and all of such persons were present, except ______________________, thus constituting a
quorum. Whereupon, among other business, the following was transacted at said meeting: a
written
AN ORDINANCE OF THE CITY OF SANGER, TEXAS AUTHORIZING AND
ORDERING THE ISSUANCE OF GENERAL OBLIGATION REFUNDING
BONDS, SERIES 2021B; AUTHORIZING A PRICING OFFICER TO
APPROVE THE AMOUNT, THE INTEREST RATES, PRICE, REDEMPTION
PROVISIONS AND TERMS THEREOF AND CERTAIN OTHER
PROCEDURES AND PROVISIONS RELATED THERETO; AND
CONTAINING OTHER MATTERS RELATED THERETO
(the “Ordinance”) was duly introduced for the consideration of the City Council. It was then
duly moved and seconded that the Ordinance be adopted on first reading; and, after due
discussion, such motion, carrying with it the adoption of the Ordinance, prevailed and carried by
the following vote:
AYES: _____ NAYS: _____ ABSTENTIONS: _____
2. That a true, full and correct copy of the Ordinance adopted at the meeting
described in the above and foregoing paragraph is attached to and follows this certificate; that the
Ordinance has been duly recorded in the City Council’s minutes of such meeting; that the above
and foregoing paragraph is a true, full and correct excerpt from the City Council’s minutes of
such meeting pertaining to the adoption of the Ordinance; that the persons named in the above
and foregoing paragraph are the duly chosen, qualified and acting officers and members of the
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City Council as indicated therein; that each of the officers and members of the City Council was
duly and sufficiently notified officially and personally, in advance, of the date, hour, place and
subject of the aforesaid meeting, and that the Ordinance would be introduced and considered for
adoption at such meeting, and each of such officers and members consented, in advance, to the
holding of such meeting for such purpose; that such meeting was open to the public as required
by law; and that public notice of the date, hour, place and subject of such meeting was given as
required by the Open Meetings Law, Chapter 551, Texas Government Code.
SIGNED this February 16, 2021.
City Secretary
City of Sanger, Texas
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ORDINANCE #02-03-21
AN ORDINANCE OF THE CITY OF SANGER, TEXAS AUTHORIZING
AND ORDERING THE ISSUANCE OF GENERAL OBLIGATION
REFUNDING BONDS, SERIES 2021B; AUTHORIZING A PRICING
OFFICER TO APPROVE THE AMOUNT, THE INTEREST RATES,
PRICE, REDEMPTION PROVISIONS AND TERMS THEREOF AND
CERTAIN OTHER PROCEDURES AND PROVISIONS RELATED
THERETO; AND CONTAINING OTHER MATTERS RELATED
THERETO
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF SANGER, TEXAS:
ARTICLE I.
FINDINGS AND DETERMINATIONS
Section 1.1.: Findings and Determinations. The City Council hereby officially finds
and determines that:
(a) The City of Sanger, Texas (the “City”), acting through its City Council, has
heretofore issued, assumed or undertaken and there remain outstanding certain
obligations described in Exhibit C attached hereto (hereinafter defined as the
“Refundable Obligations”).
(b) The City is authorized by Chapter 1207, Texas Government Code, as amended, to
issue refunding bonds for the purpose of refunding all or a portion of the
Refundable Obligations (hereinafter defined as the “Refunded Obligations”).
(c) The City desires to refund the Refunded Obligations in advance of their
maturities, which will benefit the City by reducing total net present value debt
service.
(d) The City is authorized by Chapter 1207, Texas Government Code, as amended, to
accomplish such refunding by depositing directly with a trust company or
commercial bank that does not serve as a depository for the City or with any place
of payment for the Refunded Obligations, proceeds from the sale of such
refunding bonds, together with any other available funds, in an amount sufficient
to provide for the payment or redemption of the Refunded Obligations, and
pursuant to such chapter such deposit shall constitute the making of firm banking
and financial arrangements for the discharge and final payment or redemption of
the Refunded Obligations;
(e) The City desires, as authorized in Chapter 1207, Texas Government Code, as
amended, to directly deposit a portion of the proceeds of the refunding bonds
herein authorized, together with any other available funds, with the paying
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agent/registrar for the Refunded Obligations in a manner sufficient to provide for
the full and timely payment of all principal of, premium, if any, and interest on
certain of the Refunded Obligations; and
(f) The City desires to either (i) enter into an escrow agreement with the Escrow
Agent (hereinafter defined), as authorized in Chapter 1207, Texas Government
Code, as amended, or (ii) make a deposit with the paying agent for the Refunded
Obligations, pursuant to which proceeds of the refunding bonds herein authorized,
together with any other available funds, will be deposited, invested and applied in
a manner sufficient to provide for the full and timely payment of all principal of,
premium, if any, and interest on the Refunded Obligations; and
(g) Upon the issuance of the refunding bonds herein authorized and the deposit with
the paying agent for the Refunded Obligations or the creation of the escrow
referred to above, the Refunded Obligations shall no longer be regarded as being
outstanding, except for the purpose of being paid pursuant to such Escrow
Agreement, if any, and the pledges, liens, trusts and all other covenants,
provisions, terms and conditions of the order authorizing the issuance of the
Refunded Obligations shall be, with respect to the Refunded Obligations,
discharged, terminated and defeased; and
(h) It is hereby found and determined that the refunding must result in a net present
value savings of at least three percent (3.0%) of the Refunded Obligations, and
that such benefit is sufficient consideration and constitutes the public purpose for
the issuance of the Bonds (as herein defined) and the refunding of the Refunded
Obligations, and such refunding is in the best interests of the City; and
(i) Pursuant to Section 1207.007, Texas Government Code, as amended, the City
wishes to authorize the Pricing Officers herein designated to act on behalf of the
City as herein provided; and
(j) The City Council is of the opinion and hereby affirmatively finds that it is in the
best interest of the City to issue the bonds in the amounts and for the purposes
herein stated.
ARTICLE II.
DEFINITIONS AND INTERPRETATIONS
Section 2.1.: Definitions. As used herein, the following terms shall have the
meanings specified, unless the context clearly indicates otherwise:
“Act” shall mean Chapter 1207, Texas Government Code, as amended.
“Attorney General” shall mean the Attorney General of the State of Texas.
“Bond” or “Bonds” shall mean any or all of the City of Sanger, Texas, General
Obligation Refunding Bonds, Series 2021B authorized by this Ordinance.
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“Bond Purchase Agreement” shall mean the agreement between the City and the
Underwriter providing for the sale of Bonds at such price, with and subject to such terms as
determined by a Pricing Officer pursuant to Section 7.1 of this Ordinance.
“City” shall mean the City of Sanger, Texas and, where appropriate, its City Council.
“City Council” shall mean the governing body of the City.
“Comptroller” shall mean the Comptroller of Public Accounts of the State of Texas.
“DTC” shall mean The Depository Trust Company, New York, New York, or any
successor securities depository.
“DTC Participant” shall mean brokers and dealers, banks, trust companies, clearing
corporations and certain other organizations on whose behalf DTC was created to hold securities
to facilitate the clearance and settlement of securities transactions among DTC Participants.
“Debt Service Fund” shall mean the General Obligation Refunding Bonds, Series 2021B
Debt Service Fund established by the City pursuant to Section 5.2 hereof.
“Escrow Agent” shall mean a trust company or commercial bank as described in Section
1207.061, Texas Government Code, as amended, as determined by the Pricing Officer in the
Pricing Certificate, serving in the capacity of escrow agent for the Refunded Obligations.
“Escrow Agreement” shall mean the Escrow Agreement, if any, between the City and the
Escrow Agent, substantially in the form previously approved by the City in the past and as
approved by a Pricing Officer pursuant to Section 25 of this Order.
“Fiscal Year” shall mean the City’s then designated fiscal year, which currently is the
twelve-month period beginning on the first day of October of a calendar year and ending on the
last day of September of the next succeeding calendar year and each such period may be
designated with the number of the calendar year in which such period ends.
“Interest Payment Date,” when used in connection with any Bond, shall mean August 15,
2021, and each February 15 and August 15 thereafter until maturity or earlier redemption of such
Bond or as determined by the Pricing Officer in the Pricing Certificate.
“MSRB” shall mean the Municipal Securities Rulemaking Board.
“Ordinance” shall mean this Ordinance and all amendments hereof and supplements
hereto.
“Outstanding,” when used with reference to the Bonds, shall mean, as of a particular date,
all Bonds theretofore and thereupon delivered pursuant to this Ordinance except: (a) any Bonds
canceled by or on behalf of the City at or before such date; (b) any Bonds defeased pursuant to
the defeasance provisions of this Ordinance or otherwise defeased as permitted by applicable
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law; and (c) any Bonds in lieu of or in substitution for which a replacement Bond shall have been
delivered pursuant to this Ordinance.
“Owner” shall have the meaning set forth under the definition of “Registered Owner.”
“Paying Agent/Registrar” shall mean UMB Bank, N.A., Austin, Texas, and its successors
in that capacity or as determined by the Pricing Officer in the Pricing Certificate.
“Paying Agent/Registrar Agreement” shall mean the agreement between the City and the
Paying Agent/Registrar setting forth the duties and obligations of the Paying Agent/Registrar
with respect to the Bonds.
“Pricing Officer” shall mean one or more of the following: the Mayor, Finance Director
or the City Manager.
“Pricing Officer’s Certificate of Sale” shall mean the certificate of the Pricing Officer
provided in accordance with Section 7.1 of this Ordinance.
“Record Date” shall mean the close of business on the last business day of the month
next preceding the applicable Interest Payment Date.
“Refundable Obligations” shall mean those bonds identified in Exhibit C hereto that are
Outstanding on the date of execution of the Bond Purchase Agreement by a Pricing Officer.
“Refunded Obligations” shall mean one or more Refundable Obligations selected in
accordance with Section 7.1 of this Ordinance, which are deemed to be paid, retired and no
longer outstanding as a result of the deposit of the proceeds of the Bonds, together with other
available funds of the City, if any, in an amount sufficient to defease such Refunded Obligations,
as authorized by Chapter 1207 and the ordinances authorizing the Refunded Obligations.
“Register” shall mean the registration books for the Bonds kept by the Paying
Agent/Registrar in which are maintained the names and addresses of, and the principal amounts
registered to, each Registered Owner of Bonds.
“Registered Owner” or “Owner” shall mean the person or entity in whose name any Bond
is registered in the Register.
“Report” shall have the meaning assigned in the Escrow Agreement.
“Underwriter” shall have the meaning given to such term in Section 7.1 hereof.
Section 2.2.: Interpretations. All terms defined herein and all pronouns used in this
Ordinance shall be deemed to apply equally to singular and plural and to all genders. The titles
and headings of the articles and sections of this Ordinance have been inserted for convenience of
reference only and are not to be considered a part hereof and shall not in any way modify or
restrict any of the terms or provisions hereof. This Ordinance and all the terms and provisions
hereof shall be liberally construed to effectuate the purposes set forth herein and to sustain the
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validity of the Bonds and the validity of the levy of ad valorem taxes to pay the principal of and
interest on the Bonds.
ARTICLE III.
TERMS OF THE BONDS
Section 3.1.: Amount, Purpose and Authorization. (a) The Bonds shall be issued in
fully registered form, without coupons, under and pursuant to the authority of the Act in the total
authorized aggregate principal amount not to exceed THREE MILLION DOLLARS
($3,000,000) for the purpose of refunding the Refunded Obligations and paying the costs of
issuing the Bonds and refunding the Refunded Obligations. The Bonds are issued pursuant to
Chapter 1207, Texas Government Code, as amended, and all other applicable law.
(b) The principal amount of the Bonds shall be established by a Pricing Officer in an
amount necessary to provide funds sufficient to refund the Refunded Obligations and pay the
costs associated with the refunding of the Refunded Obligations and the issuance of the Bonds;
provided, however, that the following conditions shall be met for the issuance of the Bonds: in
establishing the aggregate principal amount of the Bonds, the Pricing Officer shall establish the
principal amount of the Bonds in an aggregate principal amount not to exceed the amount
authorized in subsection (a) of this Section, which amount shall be sufficient to provide for the
defeasance of the Refunded Obligations (as determined by the Pricing Officer) and which results
in (i) net present value savings of at least three percent (3.0%) of the Refunded Obligations; and
(ii) none of the Bonds bears interest at a rate greater than the maximum rate allowed by Chapter
1204, Texas Government Code, as amended.
(c) In exercising the authority granted to the Pricing Officer to sell Bonds for the
purpose of refunding the Refunded Obligations, such Pricing Officer, acting severally and
individually, may exercise any authority granted under Chapter 1207, Texas Government Code
(as in effect on the date the Pricing Officer executes the Bond Purchase Agreement), including,
without limitation, (i) the selection of the particular maturities and principal amounts of the
Refundable Obligations to be refunded (including the execution and delivery of any notices of
redemption required in connection therewith) and (ii) establishing the terms and details related to
the issuance and sale of the Bonds.
(d) A Pricing Officer, acting severally and individually, is hereby authorized to act
for and on behalf of the City in connection with the issuance and sale of the Bonds. In that
capacity, the Pricing Officer, acting for and on behalf of the City, shall determine (a) the date for
issuance and sale of the Bonds and (b) subject to the limitations of Section 3.1, the aggregate
principal amount and the principal amortization schedule for the Bonds, the rate or rates of
interest to be borne by the Bonds, the price of the Bonds (which shall be not less than ninety-five
percent (95%) of the par amount of the Bonds, plus any accrued interest thereon), the dates on
which such interest shall be payable, the terms, if any, on which the Bonds shall be subject to
optional and mandatory redemption and other terms and conditions relating to the issuance, sale
and delivery of the Bonds including the determination to utilize or not utilize municipal bond
insurance, all as shall be set forth in the Pricing Officer’s Certificate; provided, that at the time of
issuance of the Bonds, the Pricing Officer, on behalf of the City, shall deliver a written certificate
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(i) stating that the parameters set forth in Section 3.1(b) have been satisfied (including a
statement as to the present value savings as a percent of the Refunded Obligations),
(ii) identifying the Refunded Obligations and setting forth the terms and details for the
redemption prior to maturity (if applicable) of the Refunded Obligations and (iii) setting forth the
amount of proceeds of the Bonds to be deposited with the paying agent for the Refunded
Obligations.
Section 3.2.: Designation, Date and Payment Date. The Bonds shall be designated
as the “City of Sanger, Texas, General Obligation Refunding Bonds, Series 2021B.” Interest on
the Bonds shall be payable on each Interest Payment Date until maturity or prior redemption.
The Bonds shall be dated and bear interest at the fixed rate or rates of interest per annum (which
interest rate shall not exceed the Maximum Rate), calculated on the basis of a 360-day year
composed of twelve 30-day months, determined in accordance with the procedures for the sale of
the Bonds set forth in Section 7.1 of this Ordinance. The Bonds shall mature and become
payable on the dates and in each of the years and amounts (either through serial maturities or
mandatory redemptions of term bonds) as determined by a Pricing Officer pursuant to
Section 7.1 of this Ordinance; provided that no Bond shall mature more than forty (40) years
after the dated date thereof.
Section 3.3.: Number, Denomination, Interest Rate and Maturity. (a) The Bonds
shall be initially issued bearing the numbers, in the principal amounts and bearing interest at the
rates and maturity dates as set forth in the Pricing Officer’s Certificate of Sale and may be
transferred and exchanged as set out in this Ordinance. Bonds delivered in transfer of or in
exchange for other Bonds shall be numbered in order of their authentication by the Paying
Agent/Registrar, shall be in the denomination of $5,000 or integral multiples thereof and shall
mature on the same date and bear interest at the same rate as the Bond or Bonds in lieu of which
they are delivered.
Section 3.4.: Redemption Prior to Maturity. (a) The Bonds shall be subject to
redemption prior to maturity on such dates, at such prices and in such amounts as shall be
provided in the Pricing Officer’s Certificate of Sale and upon the terms and conditions set forth
in Exhibit A to this Ordinance.
(b) Bonds may be redeemed in part only in integral multiples of $5,000. If a Bond
subject to redemption is in a denomination larger than $5,000, a portion of such Bond may be
redeemed, but only in integral multiples of $5,000. In selecting portions of Bonds for
redemption, each Bond shall be treated as representing that number of Bonds of $5,000
denomination which is obtained by dividing the principal amount of such Bond by $5,000. Upon
presentation and surrender of any Bond for redemption in part, the Paying Agent/Registrar, in
accordance with the provisions of this Ordinance, shall authenticate and deliver in exchange
therefor a Bond or Bonds of like maturity and interest rate in an aggregate principal amount
equal to the unredeemed portion of the Bond so surrendered.
(c) Notice of any redemption, identifying the Bonds or portions thereof to be
redeemed, shall be sent by United States mail, first class, postage prepaid, to the Registered
Owners thereof at their addresses as shown on the Register, not less than thirty (30) days before
the date fixed for such redemption. By the date fixed for redemption, due provision shall be
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made with the Paying Agent/Registrar for the payment of the redemption price of the Bonds
called for redemption. If such notice of redemption is given, and if due provision for such
payment is made, all as provided above, the Bonds which are to be so redeemed thereby
automatically shall be redeemed prior to their scheduled maturities, they shall not bear interest
after the date fixed for redemption, and they shall not be regarded as being Outstanding except
for the purpose of being paid with the funds so provided for such payment.
Section 3.5.: Manner of Payment, Characteristics, Execution and Authentication.
The Paying Agent/Registrar is hereby appointed the paying agent for the Bonds. The Bonds
shall be payable, shall have the characteristics and shall be executed, registered and
authenticated, all as provided and in the manner indicated in the FORM OF BOND set forth in
Article IV of and Exhibit A to this Ordinance. If any officer of the City whose manual or
facsimile signature shall appear on the Bonds shall cease to be such officer before the
authentication of the Bonds or before the delivery of the Bonds, such manual or facsimile
signature shall nevertheless be valid and sufficient for all purposes as if such officer had
remained in such office.
The approving legal opinion of Orrick, Herrington & Sutcliffe LLP, Houston, Texas,
Bond Counsel, may be printed on the back of the Bonds over the certification of the City
Secretary, which may be executed in facsimile. CUSIP numbers also may be printed on the
Bonds, but errors or omissions in the printing of either the opinion or the numbers shall have no
effect on the validity of the Bonds.
Section 3.6.: Authentication. Except for the Bond to be initially issued, which need
not be authenticated by the Paying Agent/Registrar, only such Bonds as shall bear thereon a
certificate of authentication, substantially in the form provided in Article IV of and Exhibit A to
this Ordinance, manually executed by an authorized representative of the Paying
Agent/Registrar, shall be entitled to the benefits of this Ordinance or shall be valid or obligatory
for any purpose. Such duly executed certificate of authentication shall be conclusive evidence
that the Bond so authenticated was delivered by the Paying Agent/Registrar hereunder.
Section 3.7.: Ownership. The City, the Paying Agent/Registrar and any other
person may treat the person in whose name any Bond is registered as the absolute owner of such
Bond for the purpose of making and receiving payment of the principal thereof and interest
thereon and for all other purposes, whether or not such Bond is overdue, and neither the City nor
the Paying Agent/Registrar shall be bound by any notice or knowledge to the contrary. All
payments made to the person deemed to be the Registered Owner of any Bond in accordance
with this Section shall be valid and effective and shall discharge the liability of the City and the
Paying Agent/Registrar upon such Bond to the extent of the sums paid.
Section 3.8.: Registration, Transfer and Exchange. The Paying Agent/Registrar is
hereby appointed the registrar for the Bonds. So long as any Bond remains Outstanding, the
Paying Agent/Registrar shall keep the Register at its office in Houston, Texas, in which, subject
to such reasonable regulations as it may prescribe, the Paying Agent/Registrar shall provide for
the registration and transfer of the Bonds in accordance with the terms of this Ordinance.
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Each Bond shall be transferable only upon the presentation and surrender thereof at the
principal corporate trust office of the Paying Agent/Registrar, accompanied by an assignment
duly executed by the Registered Owner or his authorized representative in form satisfactory to
the Paying Agent/Registrar. Upon due presentation of any Bond for transfer, the Paying
Agent/Registrar shall authenticate and deliver in exchange therefor, within seventy-two (72)
hours after such presentation, a new Bond or Bonds, registered in the name of the transferee or
transferees, in authorized denominations and of the same maturity and aggregate principal
amount and bearing interest at the same rate as the Bond or Bonds so presented and surrendered.
All Bonds shall be exchangeable upon the presentation and surrender thereof at the
principal corporate trust office of the Paying Agent/Registrar for a Bond or Bonds, in any
authorized denomination, in an aggregate principal amount equal to the unpaid principal amount
of the Bond or Bonds presented for exchange. The Paying Agent/Registrar shall be and is
hereby authorized to authenticate and deliver exchange Bonds in accordance with the provisions
of this Section. Each Bond delivered by the Paying Agent/Registrar in accordance with this
Section shall be entitled to the benefits and security of this Ordinance to the same extent as the
Bond or Bonds in lieu of which such Bond is delivered.
All Bonds issued in transfer or exchange shall be delivered to the Registered Owners
thereof at the principal corporate trust office of the Paying Agent/Registrar or sent by United
States mail, first class, postage prepaid.
The City or the Paying Agent/Registrar may require the Registered Owner of any Bond to
pay a sum sufficient to cover any tax or other governmental charge that may be imposed in
connection with the transfer or exchange of such Bond. Any fee or charge of the Paying
Agent/Registrar for such transfer or exchange shall be paid by the City.
Section 3.9.: Book-Entry Only System. (a) The definitive Bonds shall be initially
issued in the form of a single fully registered Bond for each of the maturities thereof. Upon
initial issuance, the ownership of each such Bond shall be registered in the name of Cede & Co.,
as nominee of DTC, and except as provided in subsection (b) hereof, all of the Outstanding
Bonds shall be registered in the name of Cede & Co., as nominee of DTC. Upon delivery by
DTC to the Paying Agent/Registrar of written notice to the effect that DTC has determined to
substitute a new nominee in place of Cede & Co., the word “Cede & Co.” in this Ordinance shall
refer to such new nominee of DTC.
With respect to Bonds registered in the name of Cede & Co., as nominee of DTC, the
City and the Paying Agent/Registrar shall have no responsibility or obligation to any DTC
Participant or to any person on behalf of whom such a DTC Participant holds an interest in the
Bonds. Without limiting the immediately preceding sentence, the City and the Paying
Agent/Registrar shall have no responsibility or obligation with respect to (a) the accuracy of the
records of DTC, Cede & Co. or any DTC Participant with respect to any ownership interest in
the Bonds, (b) the delivery to any DTC Participant or any other person, other than a Bondholder,
as shown on the Register, of any notice with respect to the Bonds, or (c) the payment to any DTC
Participant or any other person, other than a Bondholder, as shown in the Register, of any
amount with respect to principal of Bonds, premium, if any, or interest on the Bonds.
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Except as provided in subsection (c) of this Section, the City and the Paying
Agent/Registrar shall be entitled to treat and consider the person in whose name each Bond is
registered in the Register as the absolute owner of such Bond for the purpose of payment of
principal of, premium, if any, and interest on Bonds, for the purpose of giving notices of
redemption, if any, and other matters with respect to such Bond, for the purpose of registering
transfer with respect to such Bond, and for all other purposes whatsoever. The Paying
Agent/Registrar shall pay all principal of Bonds only to or upon the order of the respective
owners, as shown in the Register as provided in this Ordinance, or their respective attorneys duly
authorized in writing, and all such payments shall be valid and effective to fully satisfy and
discharge the City’s obligations with respect to payment of principal of, premium, if any, and
interest on the Bonds to the extent of the sum or sums so paid. No person other than an owner
shall receive a Bond evidencing the obligation of the City to make payments of amounts due
pursuant to this Ordinance.
(b) Payments and Notices to Cede & Co. Notwithstanding any other provision of this
Ordinance to the contrary, as long as any Bonds are registered in the name of Cede & Co., as
nominee of DTC, all payments with respect to principal of, premium, if any, and interest on the
Bonds, and all notices with respect to such Bonds shall be made and given, respectively, in the
manner provided in the representation letter of the City to DTC.
(c) Successor Securities Depository; Transfer Outside Book-Entry Only System. In
the event that the City or the Paying Agent/Registrar determines that DTC is incapable of
discharging its responsibilities described herein and in the representation letter of the City to
DTC, and that it is in the best interest of the beneficial owners of the Bonds that they be able to
obtain certificated Bonds, the City or the Paying Agent/Registrar shall (a) appoint a successor
securities depository, qualified to act as such under Section 17(a) of the Securities and Exchange
Act of 1934, as amended, notify DTC of the appointment of such successor securities depository
and transfer one or more separate Bonds to such successor securities depository or (b) notify
DTC of the availability through DTC of Bonds and transfer one or more separate Bonds to DTC
Participants having Bonds credited to their DTC accounts. In such event, the Bonds shall no
longer be restricted to being registered in the Register in the name of Cede & Co., as nominee of
DTC, but may be registered in the name of the successor securities depository, or its nominee, or
in whatever name or names Bondholders transferring or exchanging Bonds shall designate, in
accordance with the provisions of this Ordinance.
Section 3.10.: Replacement Bonds. Upon the presentation and surrender to the
Paying Agent/Registrar of a damaged or mutilated Bond, the Paying Agent/Registrar shall
authenticate and deliver in exchange therefor a replacement Bond, of the same maturity, interest
rate and principal amount, bearing a number not contemporaneously outstanding. The City or
the Paying Agent/Registrar may require the Registered Owner of such Bond to pay a sum
sufficient to cover any tax or other governmental charge that may be imposed in connection
therewith and any other expenses connected therewith, including the fees and expenses of the
Paying Agent/Registrar and the City.
If any Bond is lost, apparently destroyed or wrongfully taken, the City, pursuant to the
applicable laws of the State of Texas and ordinances of the City, and in the absence of notice or
knowledge that such Bond has been acquired by a bona fide purchaser, shall execute, and the
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Paying Agent/Registrar shall authenticate and deliver, a replacement Bond of the same maturity,
interest rate and principal amount, bearing a number not contemporaneously outstanding,
provided that the Registered Owner thereof shall have:
(a) furnished to the City and the Paying Agent/Registrar satisfactory evidence of the
ownership of and the circumstances of the loss, destruction or theft of such Bond;
(b) furnished such security or indemnity as may be required by the Paying
Agent/Registrar and the City to save and hold them harmless;
(c) paid all expenses and charges in connection therewith, including, but not limited
to, printing costs, legal fees, fees of the Paying Agent/Registrar and any tax or
other governmental charge that may be imposed; and
(d) met any other reasonable requirements of the City and the Paying
Agent/Registrar.
If, after the delivery of such replacement Bond, a bona fide purchaser of the original Bond in lieu
of which such replacement Bond was issued presents for payment such original Bond, the City
and the Paying Agent/Registrar shall be entitled to recover such replacement Bond from the
person to whom it was delivered or any person taking therefrom, except a bona fide purchaser,
and shall be entitled to recover upon the security or indemnity provided therefor to the extent of
any loss, damage, cost or expense incurred by the City or the Paying Agent/Registrar in
connection therewith.
If any such mutilated, lost, apparently destroyed or wrongfully taken Bond has become or
is about to become due and payable, the City in its discretion may, instead of issuing a
replacement Bond, authorize the Paying Agent/Registrar to pay such Bond.
Each replacement Bond delivered in accordance with this Section shall be entitled to the
benefits and security of this Ordinance to the same extent as the Bond or Bonds in lieu of which
such replacement Bond is delivered.
Section 3.11.: Cancellation. All Bonds paid in accordance with this Ordinance, and
all Bonds in lieu of which exchange Bonds or replacement Bonds are authenticated and delivered
in accordance herewith, shall be canceled and destroyed upon the making of proper records
regarding such payment. The Paying Agent/Registrar shall periodically furnish the City with
certificates of destruction of such Bonds.
ARTICLE IV.
FORM OF BONDS
The Bonds, including the Form of Comptroller’s Registration Certificate, Form of Paying
Agent/Registrar Authentication Certificate, Form of Assignment and Form of Statement of
Insurance, if any, shall be in substantially the form shown in Exhibit A, with such omissions,
insertions and variations as may be necessary or desirable and not prohibited by this Ordinance.
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ARTICLE V.
SECURITY FOR THE BONDS
Section 5.1.: Pledge and Levy of Taxes. (a) To provide for the payment of principal
of and interest on the Bonds, there is hereby levied, within the limits prescribed by law, for the
current year and each succeeding year thereafter, while the Bonds or any part of the principal
thereof and the interest thereon remain outstanding and unpaid, an ad valorem tax upon all
taxable property within the City sufficient to pay the interest on the Bonds and to create and
provide a sinking fund of not less than 2% of the principal amount of the Bonds or not less than
the principal payable out of such tax, whichever is greater, with full allowance being made for
tax delinquencies and the costs of tax collection, and such taxes, when collected, shall be applied
to the payment of principal of and interest on the Bonds by deposit to the Debt Service Fund and
to no other purpose.
(b) The City hereby declares its purpose and intent to provide and levy a tax legally
sufficient to pay the principal of and interest on the Bonds, it having been determined that the
existing and available taxing authority of the City for such purpose is adequate to permit a
legally sufficient tax. As long as any Bonds remain outstanding, all moneys on deposit in, or
credited to, the Debt Service Fund shall be secured by a pledge of security, as provided by law
for cities in the State of Texas.
(c) To pay the interest coming due on the Bonds prior to receipt of the taxes levied to
pay such interest, there is hereby appropriated from current funds on hand, which are hereby
certified to be on hand and available for such purpose, an amount sufficient to pay such interest,
and such amount shall be used for no other purpose.
Section 5.2.: Debt Service Fund. The General Obligation Refunding Bonds, Series
2021B Debt Service Fund (the “Debt Service Fund”) is hereby created as a special fund solely
for the benefit of the Bonds. The City shall establish and maintain such fund at an official City
depository and shall keep such fund separate and apart from all other funds and accounts of the
City. Any amount on deposit in the Debt Service Fund shall be maintained by the City in trust
for the Registered Owners of the Bonds. Such amount, plus any other amounts deposited by the
City into such fund and any and all investment earnings on amounts on deposit in such fund,
shall be used only to pay the principal of, premium, if any, and interest on the Bonds.
Section 5.3.: Further Proceedings. After the Bonds to be initially issued have been
executed, it shall be the duty of the Mayor to deliver the Bonds to be initially issued and all
pertinent records and proceedings to the Attorney General for examination and approval. After
the Bonds to be initially issued shall have been approved by the Attorney General, they shall be
delivered to the Comptroller for registration. Upon registration of the Bonds to be initially
issued, the Comptroller (or a deputy lawfully designated in writing to act for the Comptroller)
shall manually sign the Comptroller’s registration certificate prescribed herein to be affixed or
attached to the Bonds to be initially issued, and the seal of said Comptroller shall be impressed,
or placed in facsimile, thereon.
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ARTICLE VI.
CONCERNING THE PAYING AGENT/REGISTRAR
Section 6.1.: Acceptance. The Paying Agent/Registrar is hereby appointed as the
initial Paying Agent/Registrar for the Bonds pursuant to the terms and provisions of the Paying
Agent/Registrar Agreement by and between the City and the Paying Agent/Registrar. The
Paying Agent/Registrar Agreement shall be substantially in the form attached hereto as
Exhibit B, the terms and provisions of which are hereby approved, and the Mayor is hereby
authorized to execute and deliver such Paying Agent/Registrar Agreement on behalf of the City
in multiple counterparts and the City Secretary is hereby authorized to attest thereto. Such initial
Paying Agent/Registrar and any successor Paying Agent/Registrar, by undertaking the
performance of the duties of the Paying Agent/Registrar hereunder, and in consideration of the
payment of any fees pursuant to the terms of any contract between the Paying Agent/Registrar
and the City and/or the deposits of money pursuant to this Ordinance, shall be deemed to accept
and agree to abide by the terms of this Ordinance.
Section 6.2.: Trust Funds. All money transferred to the Paying Agent/Registrar in
its capacity as Paying Agent/Registrar for the Bonds under this Ordinance (except any sums
representing Paying Agent/Registrar’s fees) shall be held in trust for the benefit of the City, shall
be the property of the City and shall be disbursed in accordance with this Ordinance.
Section 6.3.: Bonds Presented. Subject to the provisions of Section 6.4, all matured
Bonds presented to the Paying Agent/Registrar for payment shall be paid without the necessity of
further instructions from the City. Such Bonds shall be canceled as provided herein.
Section 6.4.: Unclaimed Funds Held by the Paying Agent/Registrar. Funds held by
the Paying Agent/Registrar that represent principal of and interest on the Bonds remaining
unclaimed by the Registered Owner thereof after the expiration of three years from the date such
funds have become due and payable (a) shall be reported and disposed of by the Paying
Agent/Registrar in accordance with the provisions of Title 6 of the Texas Property Code, as
amended, to the extent such provisions are applicable to such funds, or (b) to the extent such
provisions do not apply to the funds, such funds shall be paid by the Paying Agent/Registrar to
the City upon receipt by the Paying Agent/Registrar of a written request therefor from the City.
The Paying Agent/Registrar shall have no liability to the Registered Owners of the Bonds
by virtue of actions taken in compliance with this Section.
Section 6.5.: Paying Agent/Registrar May Own Bonds. The Paying Agent/Registrar
in its individual or any other capacity, may become the owner or pledgee of Bonds with the same
rights it would have if it were not the Paying Agent/Registrar.
Section 6.6.: Successor Paying Agents/Registrars. The City covenants that at all
times while any Bonds are Outstanding it will provide a legally qualified bank, trust company,
financial institution or other agency to act as Paying Agent/Registrar for the Bonds. The City
reserves the right to change the Paying Agent/Registrar for the Bonds on not less than sixty (60)
days’ written notice to the Paying Agent/Registrar, as long as any such notice is effective not less
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than 60 days prior to the payment date for the Bonds. Promptly upon the appointment of any
successor Paying Agent/Registrar, the previous Paying Agent/Registrar shall deliver the Register
or a copy thereof to the new Paying Agent/Registrar, and the new Paying Agent/Registrar shall
notify each Registered Owner, by United States mail, first class, postage prepaid, of such change
and of the address of the new Paying Agent/Registrar. Each Paying Agent/Registrar hereunder,
by acting in that capacity, shall be deemed to have agreed to the provisions of this Ordinance.
ARTICLE VII.
PROVISIONS CONCERNING SALE AND
DELIVERY OF BONDS;
Section 7.1.: Sale and Delivery of Bonds; Insurance. A Pricing Officer, acting
severally and individually, is authorized to designate the senior managing underwriter for the
Bonds and such additional underwriters as he deems appropriate to assure that the Bonds are sold
on the most advantageous terms to the City; and, a Pricing Officer, acting severally and
individually, for and on behalf of the City, is authorized to execute and deliver the Bond
Purchase Agreement providing for the sale of Bonds at such price, with and subject to such terms
as determined by the Pricing Officer pursuant to this Section. Such Bond Purchase Agreement
shall be substantially in the form and substance previously approved by the City Council in
connection with the authorization of general obligation bonds with such changes as are
acceptable to the Pricing Officer. In the event the Bond Purchase Agreement shall not be
executed on or before 5:00 p.m. on April 5, 2021, the delegation to the Pricing Officer pursuant
to this Ordinance shall cease to be effective unless the City shall act to extend such delegation.
The obligation of the Underwriter to accept delivery of the Bonds shall be subject to the
Underwriter being furnished with the final, approving opinion of Orrick, Herrington & Sutcliffe
LLP, Houston, Texas, Bond Counsel for the City, which opinion shall be dated as of and
delivered on the date of delivery of the Bonds to the Underwriter. The engagement of such firm
as Bond Counsel for the City in connection with the issuance, sale and delivery of the Bonds is
hereby approved, ratified and confirmed.
The City hereby acknowledges that the sale of the Bonds pursuant to the Bond Purchase
Agreement may be contingent upon the issuance of a policy of municipal bond insurance. The
Pricing Officer is authorized to apply for and pay any costs associated with one or more
municipal bond insurance policies to guarantee the payment of the principal of and interest on
the Bonds, which guarantee or insurance shall be specified in the Pricing Officer’s Certificate of
Sale; and, any acts of any Pricing Officer relating to applications for any such insurance are
hereby authorized, approved, ratified and confirmed. The Pricing Officer’s Certificate of Sale
may contain provisions related to such bond insurance policies, if any, including payment
provisions thereunder, and the rights of the bond insurer(s), and any such provisions shall be read
and interpreted as an integral part of this Ordinance. The appropriate officials and
representatives of the City are hereby authorized and directed to execute such commitments,
agreements (including reimbursement agreements), certificates and other documents and to do
any and all things necessary or desirable to obtain any such insurance, and the printing on the
Bonds of an appropriate legend or statement regarding such guarantee or insurance, as provided
by the a bond insurer for the Bonds, is hereby approved.
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Section 7.2.: Approval, Registration and Delivery. The Mayor is hereby authorized
to have control and custody of the Bonds and all necessary records and proceedings pertaining
thereto pending their delivery, and the Mayor and other officers and employees of the City are
hereby authorized and directed to make such certifications and to execute such instruments as
may be necessary to accomplish the delivery of the Bonds and to assure the investigation,
examination and approval thereof by the Attorney General and the registration of the Initial
Bonds by the Comptroller. Upon registration of the Bonds, the Comptroller (or the
Comptroller’s certificates clerk or an assistant certificates clerk lawfully designated in writing to
act for the Comptroller) shall manually sign the Comptroller’s Registration Certificates
prescribed herein to be attached or affixed to each Bond initially delivered and the seal of the
Comptroller shall be impressed or printed or lithographed thereon.
Section 7.3.: Offering Documents; Ratings. A Pricing Officer, acting severally and
individually, is authorized and directed to provide for and oversee the preparation of a
preliminary and final official statement in connection with the issuance of the Bonds, and to
approve and deem final such official statement in compliance with the Rule 15c2-12 of the
Securities and Exchange Commission (the “Rule”) and to provide for and authorize the delivery
to the Underwriter of such preliminary and final official statement in compliance with such Rule.
The Pricing Officers, each acting severally and individually, are hereby authorized to take
such action as they deem necessary or appropriate in seeking ratings on the Bonds from one or
more nationally recognized rating agencies, and any such action is hereby ratified and confirmed.
Section 7.4.: Application of Proceeds of Bonds. Proceeds from the sale of the
Bonds shall, promptly upon receipt by the City, be applied as follows:
(a) An amount equal to the sum of the accrued interest, if any, on the Bonds shall be
deposited into the Debt Service Fund;
(b) Proceeds from the sale of the Bonds in an amount determined by the Pricing
Officer (together with funds, if any, provided by the City) shall be applied to
make a cash deposit to refund certain Refunded Obligations, as more fully
provided in the Pricing Officer’s Certificate;
(c) Proceeds from the sale of the Bonds in an amount determined by the Pricing
Officer (together with funds, if any, provided by the City) shall be applied to
make a cash deposit to establish the Escrow Fund to refund certain Refunded
Obligations, or to be deposited with the paying agent for the Refunded Bonds, as
more fully provided in the Pricing Officer’s Certificate;
(d) An amount equal to the costs of issuance of the Bonds, as approved by the City,
shall be applied to pay such costs as the City may arrange; and
(e) Any proceeds of the Bonds remaining after making all such deposits and
payments shall be deposited into the Debt Service Fund.
Section 7.5.: Refunded Obligations. The discharge and defeasance of the Refunded
Obligations shall be effectuated by a cash deposit with the paying agent for certain Refunded
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Obligations as shall be approved by a Pricing Officer or pursuant to the terms and provisions of
the Escrow Agreement to be entered into by and between the City and the Escrow Agent, the
terms and provisions of which are hereby approved, subject to such insertions, additions and
modifications as shall be necessary (a) to maximize the City’s present value savings and to
minimize the City’s costs of refunding, (b) to comply with all applicable laws and regulations
relating to the refunding of the Refunded Obligations and (c) to carry out the other intents and
purposes of this Ordinance, and the Mayor is hereby authorized to execute and deliver such
Escrow Agreement on behalf of the City in multiple counterparts and the City Secretary is
hereby authorized to attest thereto.
To assure the purchase of the Escrowed Securities referred to in the Escrow Agreement,
the Pricing Officer is hereby authorized, if necessary, to subscribe for, agree to purchase and
purchase obligations of the United States of America, in such amounts and maturities and
bearing interest at such rates as may be provided for in the Report to be attached to the Escrow
Agreement, and to execute any and all subscriptions, purchase agreements, commitments, letters
of authorization and other documents necessary to effectuate the foregoing. Any actions
heretofore taken for such purpose are hereby ratified and approved.
Section 7.6.: Notice of Redemption. (a) To maximize the City’s present value
savings and to minimize the City’s costs of refunding, the City hereby authorizes and directs that
certain of the Refunded Obligations shall be called for redemption prior to maturity in the
amounts, on the dates and at the redemption prices determined by the Pricing Officer in
accordance with Section 7.1 of this Ordinance, and the Pricing Officer is hereby authorized and
directed to take all necessary and appropriate action to give or cause to be given a notice of
redemption and/or a notice of defeasance to the holders or paying agent/registrars, as
appropriate, of such Refunded Obligations, and, if required, to publish such notices, all in the
manner required by the documents authorizing the issuance of such Refunded Obligations.
(b) Any Pricing Officer or the designee thereof is hereby authorized and directed to
take all necessary and appropriate action to give or file, or to cause to be given or filed, material
events notices with respect to the Refunded Obligations, as required by the ordinances
authorizing the issuance of the Refunded Obligations and the Rule.
Section 7.7.: Tax Exemption. Unless otherwise provided in the Pricing Certificate,
the City intends that the interest on the Bonds shall be excludable from gross income of the
owners thereof for federal income tax purposes pursuant to Sections 103 and 141 through 150 of
the Internal Revenue Code of 1986, as amended, (the “Code”) and all applicable temporary,
proposed and final regulations (the “Regulations”) and procedures promulgated thereunder and
applicable to the Bonds. For this purpose, the City covenants that it will monitor and control the
receipt, investment, expenditure and use of all gross proceeds of the Bonds (including all
property, the acquisition, construction or improvement of which is to be financed directly or
indirectly with the proceeds of the Bonds) and take or omit to take such other and further actions
as may be required by Sections 103 and 141 through 150 of the Code and the Regulations to
cause the interest on the Bonds to be and remain excludable from the gross income, as defined in
Section 61 of the Code, of the owners of the Bonds for federal income tax purposes. Without
limiting the generality of the foregoing, the City shall comply with each of the following
covenants:
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(a) The City shall not use, permit the use of or omit to use Gross Proceeds or any
other amounts (or any property the acquisition, construction or improvement of which is to be
financed directly or indirectly with Gross Proceeds) in a manner which, if made or omitted,
respectively, would cause the interest on any Bond to become includable in the gross income, as
defined in Section 61 of the Code, of the owner thereof for federal income tax purposes.
Without limiting the generality of the foregoing, unless and until the City shall have received a
written opinion of counsel nationally recognized in the field of municipal bond law to the effect
that failure to comply with such covenant will not adversely affect the exemption from federal
income tax of the interest on any Bond, the City shall comply with each of the specific covenants
in this Section.
(b) Except as permitted by Section 141 of the Code and the regulations and rulings
thereunder, the City shall, at all times prior to the last stated maturity of the Bonds,
(1) exclusively own, operate, and possess all property the acquisition, construction, or
improvement of which is to be financed directly or indirectly with Gross Proceeds
of such series of the Bonds (including property financed with Gross Proceeds of
the Refunded Obligations or notes or bonds refunded by the Refunded
Obligations and not use or permit the use of such Gross Proceeds or any property
acquired, constructed, or improved with such Gross Proceeds in any activity
carried on by any person or entity other than a state or local government, unless
such use is solely as a member of the general public, or
(2) not directly or indirectly impose or accept any charge or other payment for use of
Gross Proceeds of such series of the Bonds or any property the acquisition,
construction or improvement of which is to be financed directly or indirectly with
such Gross Proceeds (including property financed with Gross Proceeds of the
Refunded Obligations or notes or bonds refunded by the Refunded Obligations
other than taxes of general application and interest earned on investments
acquired with such Gross Proceeds pending application for their intended
purposes.
(c) Except to the extent permitted by Section 141 of the Code and the regulations and
rulings thereunder, the City shall not use Gross Proceeds of the Bonds to make or finance loans
to any person or entity other than a state or local government. For purposes of the foregoing
covenant, Gross Proceeds are considered to be “loaned” to a person or entity if (1) property
acquired, constructed or improved with Gross Proceeds (including property financed with Gross
Proceeds of the Refunded Obligations or notes or bonds refunded by the Refunded Obligations is
sold or leased to such person or entity in a transaction which creates a debt for federal income tax
purposes, (2) capacity in or service from such property is committed to such person or entity
under a take-or-pay, output, or similar contract or arrangement, or (3) indirect benefits, or
burdens and benefits of ownership, of such Gross Proceeds or such property are otherwise
transferred in a transaction which is the economic equivalent of a loan.
(d) Except to the extent permitted by Section 148 of the Code and the regulations and
rulings thereunder, the City shall not, at any time prior to the earlier of the final stated maturity
or final payment of the Refunded Obligations, directly or indirectly invest Gross Proceeds of
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such Bonds in any Investment (or use such Gross Proceeds to replace money so invested), if as a
result of such investment the Yield of all Investments allocated to such Gross Proceeds whether
then held or previously disposed of, exceeds the Yield on the Refunded Obligations.
(e) Based on all of the facts and estimates now known or reasonably expected to be in
existence on the date the Bonds are delivered, the City reasonably expects that the proceeds of
the Bonds and the Refunded Obligations (to the extent any of such proceeds remain unexpended)
will not be used in a manner that would cause the Bonds or the Refunded Obligations or any
portion thereof to be “arbitrage bonds” within the meaning of Section 148 of the Cod
(f) At all times while the Bonds are outstanding, the City will identify and properly
account for all amounts constituting gross proceeds of the Bonds in accordance with the
Regulations. The City will monitor the yield on the investments of the proceeds of the Bonds
and, to the extent required by the Code and the Regulations, will restrict the yield on such
investments to a yield which is not materially higher than the yield on the Bonds. To the extent
necessary to prevent the Bonds from constituting “arbitrage bonds,” the City will make such
payments as are necessary to cause the yield on all yield restricted nonpurpose investments
allocable to the Bonds to be less than the yield that is materially higher than the yield on the
Bonds;
(g) The City will not take any action or knowingly omit to take any action, if taken or
omitted, would cause the Bonds to be treated as “federally guaranteed” obligations for purposes
of Section 149(b) of the Code;
(h) The City represents that not more than fifty percent (50%) of the proceeds of any
new money portion of the Bonds or any new money issue refunded by, the Refunded Obligations
was invested in nonpurpose investments (as defined in Section 148(f)(b)(A) of the Code) having
a substantially guaranteed yield for four years or more within the meaning of Section
149(g)(3)(A)(ii) of the Code, and the City reasonably expected at the time each issue of the
Refunded Obligations was issued that at least eighty-five percent (85%) of the spendable
proceeds of the Bonds or the Refunded Obligations would be used to carry out the governmental
purpose of such Bonds within the corresponding three-year period beginning on the respective
dates of the Bonds or the Refunded Obligations.
(i) The City will take all necessary steps to comply with the requirement that certain
amounts earned by the City on the investment of the gross proceeds of the Bonds, if any, be
rebated to the federal government. Specifically, the City will (i) maintain records regarding the
receipt, investment and expenditure of the gross proceeds of the Bonds as may be required to
calculate such excess arbitrage profits separately from records of amounts on deposit in the funds
and accounts of the City allocable to other obligations of the City or moneys which do not
represent gross proceeds of any obligations of the City and retain such records for at least six
years after the day on which the last outstanding Bond is discharged, (ii) account for all gross
proceeds under a reasonable, consistently applied method of accounting, not employed as an
artifice or device to avoid, in whole or in part, the requirements of Section 148 of the Code,
including any specified method of accounting required by applicable Regulations to be used for
all or a portion of the gross proceeds, (iii) calculate, at such times as are required by applicable
Regulations, the amount of excess arbitrage profits, if any, earned from the investment of the
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gross proceeds of the Bonds and (iv) timely pay, as required by applicable Regulations, all
amounts required to be rebated to the federal government. In addition, the City will exercise
reasonable diligence to assure that no errors are made in the calculations required by the
preceding sentence and, if such an error is made, to discover and promptly correct such error
within a reasonable amount of time thereafter, including payment to the federal government of
any delinquent amounts owed to it, including interest thereon and penalty.
(j) The City will not indirectly pay any amount otherwise payable to the federal
government pursuant to the foregoing requirements to any person other than the federal
government by entering into any investment arrangement with respect to the gross proceeds of
the Bonds that might result in a reduction in the amount required to be paid to the federal
government because such arrangement results in smaller profit or a larger loss than would have
resulted if such arrangement had been at arm’s length and had the yield on the issue not been
relevant to either party.
(k) The City will timely file or cause to be filed with the Secretary of the Treasury of
the United States the information required by Section 149(e) of the Code with respect to the
Bonds on such form and in such place as the Secretary may prescribe.
(l) The City will not issue or use the Bonds as part of an “abusive arbitrage device”
(as defined in Section 1.148 10(a) of the Regulations). Without limiting the foregoing, the Bonds
are not and will not be a part of a transaction or series of transactions that attempts to circumvent
the provisions of Section 148 of the Code and the Regulations, by (i) enabling the City to exploit
the difference between tax exempt and taxable interest rates to gain a material financial
advantage, or (ii) increasing the burden on the market for tax-exempt obligations.
(m) Proper officers of the City charged with the responsibility for issuing the Bonds
are hereby directed to make, execute and deliver certifications as to facts, estimates or
circumstances in existence as of the Issue Date and stating whether there are facts, estimates or
circumstances that would materially change the City’s expectations. On or after the Issue Date,
the City will take such actions as are necessary and appropriate to assure the continuous accuracy
of the representations contained in such certificates.
(n) The covenants and representations made or required by this Section are for the
benefit of the Bond holders and any subsequent Bond holder and may be relied upon by the
Bond holder and any subsequent Bond holder and bond counsel to the City.
In complying with the foregoing covenants, the City may rely upon an unqualified
opinion issued to the City by nationally recognized bond counsel that any action by the City or
reliance upon any interpretation of the Code or Regulations contained in such opinion will not
cause interest on the Bonds to be includable in gross income for federal income tax purposes
under existing law.
Notwithstanding any other provision of this Ordinance, the City’s representations and
obligations under the covenants and provisions of this Section shall survive the defeasance and
discharge of the Bonds for as long as such matters are relevant to the exclusion of interest on the
Bonds from the gross income of the owners for federal income tax purposes.
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Section 7.8.: Related Matters. In order that the City shall satisfy in a timely manner
all of its obligations under this Ordinance, the Mayor, City Secretary and all other appropriate
officers, agents, representatives and employees of the City are hereby authorized and directed to
take all other actions that are reasonably necessary to provide for the issuance and delivery of the
Bonds, including, without limitation, executing and delivering on behalf of the City all
certificates, consents, receipts, requests, notices, and other documents as may be reasonably
necessary to satisfy the City’s obligations under this Ordinance and to direct the transfer and
application of funds of the City consistent with the provisions of this Ordinance.
ARTICLE VIII.
CONTINUING DISCLOSURE UNDERTAKING
Section 8.1.: Continuing Disclosure Undertaking. The City shall provide annually
to the MSRB, within six (6) months after the end of each fiscal year and in an electronic format
prescribed by the MSRB and available via the Electronic Municipal Market Access (“EMMA”)
system at www.emma.msrb.org, financial information and operating data of the general type
included in APPENDIX A - Financial Information for the City in Tables 1 through 5, and in
APPENDIX D described in the Official Statement, being the information described in Exhibit D.
Any financial statements so to be provided shall be (a) prepared in accordance with generally
accepted accounting principles for governmental units as prescribed by the Government
Accounting Standards Board from time to time, as such principles may be changed from time to
time to comply with state or federal law or regulation and (b) audited, if the City commissions an
audit of such statements and the audit is completed within the period during which they must be
provided. If audited financial statements are not available at the time the financial information
and operating data must be provided, then the City shall provide unaudited financial statements
for the applicable fiscal year to the MSRB and shall provide to the MSRB audited financial
statements, when and if the same become available.
If the City changes its Fiscal Year, it will notify the MSRB of the change (and of the date
of the new fiscal year end) prior to the next date by which the City otherwise would be required
to provide financial information and operating data pursuant to this Article.
The financial information and operating data to be provided pursuant to this Article may
be set forth in full in one or more documents or may be included by specific reference to
documents (i) available to the public on the MSRB’s internet web site or (ii) filed with the SEC.
Section 8.2.: Material Event Notices. The City shall notify the MSRB in an
electronic format prescribed by the MSRB, in a timely manner (not in excess of ten (10) days
after the occurrence of the event), of any of the following events with respect to the Bonds:
(i) Principal and interest payment delinquencies;
(ii) Non-payment related defaults, if material;
(iii) Unscheduled draws on debt service reserves reflecting financial
difficulties;
(iv) Unscheduled draws on credit enhancements reflecting financial
difficulties;
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(v) Substitution of credit or liquidity providers or their failure to
perform;
(vi) Adverse tax opinions, the issuance by the Internal Revenue Service
of proposed or final determinations of taxability, Notices of
Proposed Issue (IRS Form 5701-TEB) or other material notices or
determinations with respect to the tax status of the Bonds, or other
material events affecting the tax status of the Bonds;
(vii) Modifications to rights of holders of the Bonds, if material;
(viii) Bond calls, if material, and tender offers;
(ix) Defeasances;
(x) Release, substitution, or sale of property securing repayment of the
Bonds, if material;
(xi) Rating changes;
(xii) Bankruptcy, insolvency, receivership or similar event of the City;
(xiii) The consummation of a merger, consolidation, or acquisition
involving the City or the sale of all or substantially all of the assets
of the City, other than in the ordinary course of business, the entry
into a definitive agreement to undertake such an action or the
termination of a definitive agreement relating to any such actions,
other than pursuant to its terms, if material; and
(xiv) Appointment of a successor or additional trustee or the change of
name of a trustee, if material;
(xv) Incurrence of a financial obligation of the City, if material, or
agreement to covenants, events of default, remedies, priority rights,
or other similar terms of a financial obligation of the City, any of
which affect security holders, if material; and
(xvi) Default, event of acceleration, termination event, modification of
terms, or other similar events under the terms of a financial
obligation of the City.
The City shall notify the MSRB in an electronic form prescribed by the MSRB, in a
timely manner, of any failure by the City to provide financial information or operating
data in accordance with Section 8.1 of this Ordinance by the time required by such
Section.
Section 8.3.: Identifying Information. All documents provided to the MSRB shall
be accompanied by identifying information, as prescribed by the MSRB.
Section 8.4.: Limitations, Disclaimers and Amendments. The City shall be
obligated to observe and perform the covenants specified in this Article for so long as, but only
for so long as, the City remains an “obligated person” with respect to the Bonds within the
meaning of the Rule, except that the City in any event will give the notice required by this
Article of any Bond calls and defeasance that cause the City to be no longer such an “obligated
person.”
The provisions of this Article are for the sole benefit of the Holders and beneficial
owners of the Bonds, and nothing in this Article, express or implied, shall give any benefit or any
Page 49
21
4136-2105-3739.1
legal or equitable right, remedy, or claim hereunder to any other person. The City undertakes to
provide only the financial information, operating data, principal statements, and notices which it
has expressly agreed to provide pursuant to this Article and does not hereby undertake to provide
any other information that may be relevant or material to a complete presentation of the City’s
financial results, condition, or prospects or hereby undertake to update any information provided
in accordance with this Article or otherwise, except expressly provided herein. The City does not
make any representation or warranty concerning such information or its usefulness to a decision
to invest in or sell Bonds at any future date.
UNDER NO CIRCUMSTANCES SHALL THE CITY BE LIABLE TO THE HOLDER
OR BENEFICIAL OWNER OF ANY BOND OR ANY OTHER PERSON, IN CONTRACT OR
TORT, FOR DAMAGES RESULTING IN WHOLE OR IN PART FROM ANY BREACH BY
THE CITY, WHETHER NEGLIGENT OR WITHOUT FAULT ON ITS PART, OF ANY
COVENANT SPECIFIED IN THIS ARTICLE, BUT EVERY RIGHT AND REMEDY OF
ANY SUCH PERSON, IN CONTRACT OR TORT, FOR OR ON ACCOUNT OF ANY SUCH
BREACH SHALL BE LIMITED TO AN ACTION FOR MANDAMUS OR SPECIFIC
PERFORMANCE.
No default by the City in observing or performing its obligations under this Article shall
constitute a breach of or default under this Ordinance for purposes of any other provision of this
Ordinance.
Nothing in this Article is intended or shall act to disclaim, waive, or otherwise limit the
duties of the City under federal and state securities law.
The provisions of this Section may be amended by the City from time to time to adapt to
changed circumstances that arise from a change in legal requirements, a change in law, or a
change in the identity, nature, status, or type of operations of the City, but only if (1) the
provisions of this Section, as so amended, would have permitted an underwriter to purchase or
sell the Bonds in the primary offering of the Bonds in compliance with the Rule, taking into
account any amendments or interpretations of the Rule to the date of such amendment, as well as
such changed circumstances, and (2) either (a) the Registered Owners of a majority in aggregate
principal amount (or any greater amount required by any other provision of this Ordinance that
authorizes such an amendment) of the Outstanding Bonds consent to such amendment or (b) a
person that is unaffiliated with the City (such as nationally recognized bond counsel) determines
that such amendment will not materially impair the interests of the Registered Owners and
beneficial owners of the Bonds. If the City so amends the provisions of this Section, it shall
include with any amended financial information or operating data next provided in accordance
with this Section an explanation, in narrative form, of the reasons for the amendment and of the
impact of any change in the type of financial information or operating data so provided. The
City may also amend or repeal the provisions of this Section if the SEC amends or repeals the
applicable provisions of the Rule or a court of final jurisdiction enters judgment that such
provisions of the Rule are invalid, and the City also may amend the provisions of this Section in
its discretion in any other manner or circumstance, but in any case only if and to the extent that
the provisions of this sentence would not have prevented an underwriter from lawfully
purchasing or selling Bonds in the primary offering of the Bonds, giving effect to (a) such
provisions as so amended and (b) any amendments or interpretations of the Rule.
Page 50
22
4136-2105-3739.1
Section 8.5.: Definitions. As used in this Article, the following terms have the
meanings ascribed to such terms below:
“MSRB” means the Municipal Securities Rulemaking Board.
“Rule” means SEC Rule 15c2-12, as amended from time to time.
“SEC” means the United States Securities and Exchange Commission.
ARTICLE IX.
MISCELLANEOUS
Section 9.1.: Defeasance. The City may defease the provisions of this Ordinance
and discharge its obligations to the Registered Owners of any or all of the Bonds to pay the
principal of and interest thereon in any manner now or hereafter permitted by law, including by
depositing with the Paying Agent/Registrar, a trust company or commercial bank other than the
Paying Agent/Registrar, or with the Comptroller of Public Accounts of the State of Texas either:
(a) cash in an amount equal to the principal amount of such Bonds plus interest
thereon to the date of maturity or earlier redemption; or
(b) pursuant to an escrow or trust agreement, cash and/or (i) direct noncallable
obligations of United States of America, including obligations that are
unconditionally guaranteed by the United States of America; (ii) noncallable
obligations of an agency or instrumentality of the United States, including
obligations that are unconditionally guaranteed or insured by the agency or
instrumentality and that are rated as to investment quality by a nationally
recognized investment rating firm not less than AAA or its equivalent; or
(iii) noncallable obligations of a state or an agency or a county, municipality, or
other political subdivision of a state that have been refunded and that are rated as
to investment quality by a nationally recognized investment rating firm not less
than AAA or its equivalent, which, in the case of (i), (ii) or (iii), may be in
book-entry form, and the principal of and interest on which will, when due or
redeemable at the option of the holder, without further investment or reinvestment
of either the principal amount thereof or the interest earnings thereon, provide
money in an amount which, together with other moneys, if any, held in such
escrow at the same time and available for such purpose, shall be sufficient to
provide for the timely payment of the principal of and interest thereon to the date of
maturity or earlier redemption;
provided, however, that if any of the Bonds are to be redeemed prior to their respective dates of
maturity, provision shall have been made for giving notice of redemption as provided in this
Ordinance. Upon such deposit, such Bonds shall no longer be regarded to be Outstanding or
unpaid. Any surplus amounts not required to accomplish such defeasance shall be returned to
the City.
Page 51
23
4136-2105-3739.1
Section 9.2.: Legal Holidays. In any case where the date interest accrues and
becomes payable on the Bonds or principal of the Bonds matures or a Record Date shall be in the
City a Saturday, Sunday, legal holiday or a day on which banking institutions are authorized by
law to close, then payment of interest or principal need not be made on such date, or the Record
Date shall not occur on such date, but payment may be made or the Record Date shall occur on
the next succeeding day which is not in the City a Saturday, Sunday, legal holiday or a day on
which banking institutions are authorized by law to close with the same force and effect as if
(i) made on the date of maturity and no interest shall accrue for the period from the date of
maturity to the date of actual payment or (ii) the Record Date had occurred on the last day of that
calendar month.
Section 9.3.: No Recourse Against City Officials. No recourse shall be had for the
payment of principal of or interest on any Bonds or for any claim based thereon or on this
Ordinance against any official of the City or any person executing any Bonds.
Section 9.4.: Further Proceedings. The Mayor, City Secretary and other appropriate
officials of the City are hereby authorized and directed to do any and all things necessary and/or
convenient to carry out the terms of this Ordinance. The Mayor, City Secretary and other
appropriate officials of the City are each hereby authorized to execute and attest to such other
agreements, assignments, bonds, certificates, contracts, documents, licenses, instruments,
releases, financing statements, letters of instruction, notices of acceptance, notices of final
payment, written requests and other documents, and to take all actions and to do all things
whether or not mentioned herein, as may be necessary or convenient to carry out or assist in
carrying out the purposes of this Ordinance and the Bonds.
Section 9.5.: Severability. If any Section, paragraph, clause or provision of this
Ordinance shall for any reason be held to be invalid or unenforceable, the invalidity or
unenforceability of such Section, paragraph, clause or provision shall not affect any of the
remaining provisions of this Ordinance.
Section 9.6.: Open Meeting. It is hereby found, determined and declared that a
sufficient written notice of the date, hour, place and subject of the meeting of the City Council at
which this Ordinance was adopted was posted at a place convenient and readily accessible at all
times to the general public at City Hall for the time required by law preceding this meeting, as
required by the Open Meetings Law, Chapter 551, Texas Government Code, and that this
meeting has been open to the public as required by law at all times during which this Ordinance
and the subject matter thereof has been discussed, considered and formally acted upon. The City
Council further ratifies, approves and confirms such written notice and the contents and posting
thereof.
Section 9.7.: Repealer. All orders, resolutions and ordinances, or parts thereof,
inconsistent herewith are hereby repealed to the extent of such inconsistency.
Section 9.8.: Effective Date. This Ordinance shall be in force and effect from and
after its passage on the date shown below.
Page 52
24
4136-2105-3739.1
Section 9.9.: Power to Revise Form of Documents. Notwithstanding any other
provision of this Ordinance, the Mayor, City Secretary and other appropriate officials of the City
are each hereby authorized to make or approve such revisions, additions, deletions and variations
in the form of the documents attached hereto as exhibits as, in the judgment of the Mayor, City
Secretary and other appropriate officials of the City, and in the opinion of Bond Counsel to the
City, as may be necessary or convenient to carry out or assist in carrying out the purposes of this
Ordinance, the Preliminary Official Statement, and the final Official Statement; provided,
however, that any changes to such documents resulting in substantive amendments to the terms
and conditions of the Bonds or such documents shall be subject to the prior approval of the City
Council.
Section 9.10.: Ordinance a Contract - Amendments. This Ordinance shall constitute a
contract with the Registered Owners from time to time, be binding on the City, and shall not be
amended or repealed by the City so long as any Bond remains Outstanding except as permitted in
this Section. The City may, without the consent of or notice to any Registered Owners, from time
to time and at any time, amend this Ordinance in any manner not detrimental to the interests of
the Registered Owners, including the curing of any ambiguity, inconsistency, or formal defect or
omission herein. In addition, the City may, with the consent of Registered Owners who own in
the aggregate 51% of the principal amount of the Bond then Outstanding, amend, add to, or
rescind any of the provisions of this Ordinance; provided that, without the consent of all
Registered Owners of Outstanding Bonds, no such amendment, addition, or rescission shall
(i) extend the time or times of payment of the principal of and interest on the Bonds, reduce the
principal amount thereof or the rate of interest thereon, or in any other way modify the terms of
payment of the principal of or interest on the Bonds, (ii) give any preference to any Bond over
any other Bond, or (iii) reduce the aggregate principal amount of Bonds required to be held by
Registered Owners for consent to any such amendment, addition, or rescission.
Page 53
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4136-2105-3739.1
PASSED AND ADOPTED on first and final reading this February 16, 2021.
CITY OF SANGER, TEXAS
Mayor
ATTEST
City Secretary
Exhibit A — Form of Bond
Exhibit B — Form of Paying Agent/Registrar Agreement
Exhibit C — Schedule of Refundable Obligations
Page 54
Exhibit A-1
4136-2105-3739.1
EXHIBIT A
FORM OF BOND
[FRONT OF BOND]
UNITED STATES OF AMERICA
STATE OF TEXAS
CITY OF SANGER, TEXAS,
GENERAL OBLIGATION REFUNDING BOND
SERIES 2021B3
NUMBER PRINCIPAL AMOUNT
R-1 $________________
REGISTERED REGISTERED
INTEREST RATE2: DATED DATE3: MATURITY DATE2: CUSIP2:
% April 1, 2021 February 15, 20___
REGISTERED OWNER:
PRINCIPAL AMOUNT: DOLLARS
THE CITY OF SANGER, TEXAS, a Home Rule City of the State of Texas (the “City”),
for value received, hereby promises to pay to the Registered Owner identified above or its
registered assigns, on the maturity date specified above (or on earlier redemption as herein
provided), upon presentation and surrender of this Bond at the principal corporate trust office of
UMB Bank, N.A., Austin, Texas, or its successor (the “Paying Agent/Registrar”), the principal
amount identified above, payable in any coin or currency of the United States of America which
on the date of payment of such principal is legal tender for the payment of debts due to the
United States of America, and to pay interest thereon at the rate shown above, calculated on a
basis of a 360-day year composed of twelve 30-day months, from the later of the date of delivery
or the most recent interest payment date to which interest has been paid or duly provided for.4
1 Initial Bond shall be numbered T-1.
2 Omitted from Initial Bond.
3 To be to be changed or completed pursuant to the terms of sale as referenced in the Pricing Officer’s Certificate
of Sale.
4 The first sentence of the initial Certificate shall read as follows:
THE CITY OF SANGER, TEXAS, a Type A general law municipality of the State of Texas (the “City”),
for value received, hereby promises to pay to the Registered Owner identified above or its registered
assigns, on _______ 15 of each of the years and in the principal amounts set forth in the following
schedule: [Insert information regarding years of maturity, principal amounts and interest rates from Section
3.3 of the Ordinance.] (or on earlier redemption as herein provided), upon presentation and surrender of this
Bond at the principal corporate trust office of UMB Bank, N.A., Austin, Texas, or its successor (the
“Paying Agent/Registrar”), the principal amounts identified above (or so much thereof as shall not have
Page 55
Exhibit A-2
4136-2105-3739.1
Interest on this Bond is payable on _________3, and each __________ 15 and __________ 15
thereafter until maturity of this Bond, by check sent by United States mail, first class, postage
prepaid, by the Paying Agent/Registrar to the Registered Owner of record as of the close of
business on the last business day of the month next preceding the applicable interest payment
date, as shown on the registration books kept by the Paying Agent/Registrar. Any accrued
interest payable at maturity shall be paid upon presentation and surrender of this Bond at the
office of the Paying Agent/Registrar.
THIS BOND IS ONE OF A DULY AUTHORIZED SERIES OF BONDS (the “Bonds”)
in the aggregate principal amount of $_______5 issued pursuant to an ordinance adopted by the
City Council of the City on February 16, 2021 (the “Ordinance”) for the purpose of refunding
certain outstanding obligations (the “Refunded Obligations”) of the City under and pursuant to
the authority of Chapter 1207, Texas Government Code, as amended. Proceeds of the Bonds
will also be used to pay the costs of issuing the Bonds and refunding the Refunded Obligations.
THIS BOND shall not be valid or obligatory for any purpose or be entitled to any benefit
under the Ordinance unless this Bond is authenticated by the Paying Agent/Registrar by due
execution of the authentication certificate endorsed hereon. 6
7THE BONDS MATURITY on or after 5February 15, 20__, may be redeemed in whole
or in part, on February 15, 20__ or any date thereafter, at a price equal to the par value thereof,
plus accrued interest from the most recent interest payment date to the date or redemption with
funds derived from any available and lawful source.
8THIS BOND is not subject to redemption prior to maturity.
9THE BONDS MATURING on _______ 15 in the years 5__________, _____ (the “Term
Bonds”) are subject to mandatory sinking fund redemption in the following amounts (subject to
reduction as hereinafter provided), on the following dates, in each case at a redemption price
equal to the principal amount of the Bonds or the portions thereof so called for redemption plus
accrued interest to the date fixed for redemption:
been paid or deemed to have been paid upon prior redemption) payable in any coin or currency of the
United States of America which on the date of payment of such principal is legal tender for the payment of
debts due to the United States of America, and to pay interest thereon at the rate shown above, calculated
on a basis of a 360-day year composed of twelve 30-day months, from the later of the date of delivery or
the most recent interest payment date to which interest has been paid or duly provided for.
5 To be completed pursuant to the terms of sale as referenced in the Pricing Officer’s Certificate of Sale.
6 In the initial Certificate, this paragraph shall read:
“THIS BOND shall not be valid or obligatory for any purpose or be entitled to any benefit under the
Ordinance unless this Bond is registered by the Comptroller of Public Accounts of the State of Texas by
due execution of the registration certificate endorsed hereon.”
7 Included if optional redemption provisions are included in the Pricing Officer’s Certificate of Sale.
8 Included if optional redemption provisions are not included in the Pricing Officer’s Certificate of Sale.
9 Paragraph included if mandatory sinking fund redemption provision are included in the Pricing Officer’s
Certificate of Sale.
Page 56
Exhibit A-3
4136-2105-3739.1
Term Bonds Maturing Mandatory Redemption Dates Principal Amounts
10__________, _____
10__________, _____
10$_________
The particular Term Bonds to be redeemed shall be selected by the Registrar by lot or other
customary random selection method, on or before _________ 15 of each year in which Term
Bonds are to be mandatorily redeemed. The principal amount of Term Bonds to be mandatorily
redeemed in each year shall be reduced by the principal amount of such Term Bonds that have
been optionally redeemed on or before _________ 15 of such year and which have not been
made the basis for a previous reduction.
11THE BONDS MAY BE REDEEMED IN PART only in integral multiples of $5,000. If
a Bond subject to redemption is in a denomination larger than $5,000, a portion of such Bond
may be redeemed, but only in integral multiples of $5,000. In selecting portions of Bonds for
redemption, each Bond shall be treated as representing that number of Bonds of $5,000
denomination which is obtained by dividing the principal amount of such Bond by $5,000. Upon
surrender of any Bond for redemption in part, the Paying Agent/Registrar, in accordance with the
provisions of the Ordinance, shall authenticate and deliver in exchange therefor a Bond or Bonds
of like maturity and interest rate in an aggregate principal amount equal to the unredeemed
portion of the Bond so surrendered.
11NOTICE OF ANY SUCH REDEMPTION, identifying the Bonds or portions thereof to
be redeemed, shall be sent by United States mail, first class, postage prepaid, to the Registered
Owners thereof at their addresses as shown on the books of registration kept by the Paying
Agent/Registrar, not less than thirty (30) days before the date fixed for such redemption. By the
date fixed for redemption, due provision shall be made with the Paying Agent/Registrar for the
payment of the redemption price of the Bonds called for redemption. If such notice of
redemption is given, and if due provision for such payment is made, all as provided above, the
Bonds which are to be so redeemed thereby automatically shall be redeemed prior to their
scheduled maturities, they shall not bear interest after the date fixed for redemption, and they
shall not be regarded as being outstanding except for the purpose of being paid with the funds so
provided for such payment.
THIS BOND IS TRANSFERABLE only upon presentation and surrender at the principal
corporate trust office of the Paying Agent/Registrar, accompanied by an assignment duly
executed by the Registered Owner or its authorized representative, subject to the terms and
conditions of the Ordinance.
THIS BOND IS EXCHANGEABLE at the principal corporate trust office of the Paying
Agent/Registrar for a Bond or Bonds of the same maturity and interest rate and in the principal
amount of $5,000 or any integral multiple thereof, subject to the terms and conditions of the
Ordinance.
10 To be completed pursuant to the terms of sale as referenced in the Pricing Officer’s Certificate of Sale.
11 Included if optional redemption provisions or mandatory sinking fund redemption provisions are included in the
Pricing Officer’s Certificate of Sale.
Page 57
Exhibit A-4
4136-2105-3739.1
THE CITY OR PAYING AGENT/REGISTRAR may require the Registered Owner of
any Bond to pay a sum sufficient to cover any tax or other governmental charge that may be
imposed in connection with the transfer or exchange of a Bond. Any fee or charge of the Paying
Agent/Registrar for a transfer or exchange shall be paid by the City.
THE REGISTERED OWNER of this Bond by acceptance hereof, acknowledges and
agrees to be bound by all the terms and conditions of the Ordinance.
IT IS HEREBY DECLARED AND REPRESENTED that this Bond has been duly and
validly issued and delivered; that all acts, conditions and things required or proper to be
performed, exist and to be done precedent to or in the issuance and delivery of this Bond have
been performed, exist and have been done in accordance with law; that the Bonds do not exceed
any constitutional or statutory limitation; and that annual ad valorem taxes sufficient to provide
for the payment of the interest on and principal of this Bond, as such interest comes due and such
principal matures, have been levied and ordered to be levied, within the limits prescribed by law,
against all taxable property in the City and have been irrevocably pledged for such payment.
REFERENCE IS HEREBY MADE TO THE ORDINANCE, a copy of which is filed
with the Paying Agent/Registrar, for the full provisions thereof, to all of which the Registered
Owners of the Bonds assent by acceptance of the Bonds.
IN WITNESS WHEREOF, the City has caused this Bond to be signed by the Mayor,
countersigned by the City Secretary by their manual, lithographed or printed facsimile
signatures.
CITY OF SANGER, TEXAS
Mayor
COUNTERSIGNED:
City Secretary
* * *
Page 58
Exhibit A-5
4136-2105-3739.1
FORM OF COMPTROLLER’S REGISTRATION CERTIFICATE
The following form of Comptroller’s Registration Certificate shall be attached or affixed
to each of the Bonds initially delivered:
OFFICE OF THE COMPTROLLER §
OF PUBLIC ACCOUNTS § REGISTER NO._______________
THE STATE OF TEXAS §
I hereby certify that this Bond has been examined, certified as to validity and approved
by the Attorney General of the State of Texas, and that this Bond has been registered by the
Comptroller of Public Accounts of the State of Texas.
WITNESS MY SIGNATURE AND SEAL OF OFFICE this ________________.
(SEAL)
Comptroller of Public Accounts
of the State of Texas
* * *
FORM OF PAYING AGENT/REGISTRAR’S AUTHENTICATION CERTIFICATE
The following form of authentication certificate shall be printed on the face of each of the
Bonds other than those initially delivered:
AUTHENTICATION CERTIFICATE
This Bond is one of the Bonds described in and delivered pursuant to the within-
mentioned Ordinance; and, except for the Bonds initially delivered, this Bond has been issued in
exchange for or replacement of a Bond, Bonds, or a portion of a Bond or Bonds of an issue
which originally was approved by the Attorney General of the State of Texas and registered by
the Comptroller of Public Accounts of the State of Texas.
_______________________,
as Paying Agent/Registrar
By:
Authorized Signature:
Date of Authentication:
* * *
Page 59
Exhibit A-6
4136-2105-3739.1
FORM OF ASSIGNMENT
The following form of assignment shall be printed on the back of each of the Bonds:
ASSIGNMENT
For value received, the undersigned hereby sells, assigns and transfers unto
(Please print or type name, address and zip code of Transferee)
(Please insert Social Security or Taxpayer Identification Number of Transferee)
the within Bond and all rights thereunder, and hereby irrevocably constitutes and appoints
________________________________________ attorney to transfer the within Bond on the
books kept for registration thereof, with full power of substitution in the premises.
DATED:
Signature Guaranteed:
NOTICE: Signature must be guaranteed by a
member firm of the New York Stock Exchange
or a commercial bank or trust company.
Registered Owner
NOTICE: The signature above must
correspond to the name of the registered owner
as shown on the face of this Bond in every
particular, without any alteration, enlargement
or change whatsoever.
* * * *
Page 60
Exhibit B
4136-2105-3739.1
EXHIBIT B
FORM OF PAYING AGENT/REGISTRAR AGREEMENT
See Tab 6
Page 61
Exhibit C-1
4136-2105-3739.1
EXHIBIT C
SCHEDULE OF REFUNDABLE OBLIGATIONS
CITY OF SANGER, TEXAS COMBINATION TAX AND REVENUE
CERTIFICATES OF OBLIGATION, SERIES 2013, dated June 15, 2013, maturing on
August 1 in the years as shown below:
Maturity
Date
Interest
Rate
Par Amount
Call Date
Call Price
08/01/2024 3.500% $ 205,000 08/01/2023 100.000%
08/01/2026 4.500% 430,000 08/01/2023 100.000
08/01/2028 4.750% 470,000 08/01/2023 100.000
08/01/2030 5.000% 520,000 08/01/2023 100.000
08/01/2033 5.000% 880,000 08/01/2023 100.000
$2,505,000
Page 62
CITY COUNCIL AGENDA MEMO
AGENDA ITEM NO. 8.
AGENDA MEETING DATE: February 16, 2021
TO: Jeriana Staton, Interim City Manager
FROM: Clayton Gray, Finance Director
ITEM/CAPTION:
Resolution #020121 Regarding Declaration of Official Intent Pursuant to Section 1.11502 of the Treasury
Regulations
Approve Resolution #020121, Regarding Declaration of Official Intent Pursuant to Section 1.1502 of the Treasury
Regulations.
AGENDA TYPE: Regular
ACTION REQUESTED: Approval
BACKGROUND:
LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:
FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:
FUNDS:
STAFF RECOMMENDATION/ACTION DESIRED:
ATTACHMENTS:
Description Upload Date Type
Resolution #020121 2/11/2021 Cover Memo
Page 63
RESOLUTION #02-01-21
RESOLUTION ADOPTED BY
THE CITY OF SANGER, TEXAS, REGARDING
DECLARATION OF OFFICIAL INTENT PURSUANT TO
SECTION 1.150-2 OF THE TREASURY REGULATIONS
WHEREAS, the City of Sanger, Texas (the "Borrower") intends to finance the capital
project described in Exhibit A hereto (the "Project"); and
WHEREAS, it is anticipated that the Borrower will borrow, on a tax-exempt or tax credit
basis, funds (the "Obligations") for the purpose of financing the Project;
NOW, THEREFORE, BE IT:
RESOLVED, that the Borrower intends that expenditures paid from its own funds for the
Project will be reimbursed with proceeds of the Obligations.
RESOLVED, that the maximum principal amount of the Obligations is $20,000,000.00.
RESOLVED, that the expenditures intended to be reimbursed pursuant to this declaration
include capital expenditures for the Project and costs of issuing the Obligations.
RESOLVED, that the reimbursement of expenditures contemplated by this declaration is
consistent with the Borrower’s present budgetary and financial circumstances, and no funds of the
Borrower have been reserved, allocated, or otherwise set aside with the specific intent or
expectation of payment of the expenditures intended to be reimbursed with proceeds of the
Obligations pursuant to this declaration. The Borrower is not aware of other, similar declarations
of intent of the Borrower that did not result in the reimbursement of the expenditures described
therein. Based on the foregoing and other circumstances relating to the costs of the Project, the
Borrower reasonably expects that it will reimburse expenditures paid for such Project with the
proceeds of the Obligations.
Page 64
- 2 -
PASSED AND APPROVED this 16th day of February, 2021.
APPROVED:
________________________________
Thomas E. Muir, Mayor
ATTEST:
___________________________________
Jeriana Staton, Deputy City Secretary
APPROVED AS TO FORM:
_________________________
City Attorney
Page 65
- 3 -
EXHIBIT A
DESCRIPTION OF PROJECT
Water and sewer system expansion and improvements.
Electric utility system renovations and line relocations.
City wide street repairs and improvements.
Professional services.
Page 66
CITY COUNCIL AGENDA MEMO
AGENDA ITEM NO. 9.
AGENDA MEETING DATE: February 16, 2021
TO: Jeriana Staton, Interim City Manager
FROM: Clayton Gray, Finance Director
ITEM/CAPTION:
Budget Amendment Ordinance #020421
Consider, Discuss and Act on Ordinance #020421 – Amending Ordinance #092420, Which Will Amend the
Budget For The Fiscal Year 20202021 And Authorizing Amended Expenditures as Provided.
AGENDA TYPE: Regular
ACTION REQUESTED: Approval
BACKGROUND:
LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:
FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:
Net $0 effect on the 20202021 Budget.
FUNDS:
STAFF RECOMMENDATION/ACTION DESIRED:
Approval.
ATTACHMENTS:
Description Upload Date Type
Ordinance 040221 2/10/2021 Cover Memo
Exhibit A 2/10/2021 Cover Memo
Page 67
ORDINANCE #02-04-21
AN ORDINANCE OF THE CITY OF SANGER, DENTON COUNTY, TEXAS, (BUDGET
AMENDMENT 2) AMENDING ORDINANCE #09-24-20, WHICH WILL AMEND THE BUDGET
FOR THE 2020-2021 FISCAL YEAR AND AUTHORIZING AMENDED EXPENDITURES AS
PROVIDED; PROVIDING FOR THE REPEAL OF ALL ORDINANCES IN CONFLICT;
PROVIDING FOR A SEVERABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE
DATE.
WHEREAS, the City Council approved the budget ordinance for the 2020-2021 Fiscal Year on
September 21, 2020; and
WHEREAS, this amendment was prepared and presented to the City Council and after
consideration, it is the consensus of the City Council to amend the approved budget ordinance; and
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
SANGER, TEXAS:
Section 1: The annual budget for the 2020-2021 Fiscal Year is hereby amended to decrease
expenditures in the Mayor and Council Department of the Internal Service Fund by $17,950.00 and to
increase expenditures in the Administration Department of the Internal Service Fund by $17,950.00
Enterprise Capital Projects Fund by as shown in Exhibit “A”.
Section 2: Expenditures during the 2020-2021 Fiscal Year shall be made in accordance with the
amended budget approved herein, unless otherwise authorized by a duly enacted ordinance of the City and
said budget document shall be on file for public inspection in the office of the City Secretary.
Section 4: If any section, article, paragraph, sentence, clause, phrase or word in this ordinance or
application thereof to any person or circumstance is held invalid or unconstitutional by a court of competent
jurisdiction, such holding shall not affect the validity of the remaining portions of the ordinance and the
City Council hereby declares it would have passed such remaining portions of the ordinances despite such
invalidity, which remaining portions shall remain in full force and effect.
Section 5: This ordinance shall take effect immediately from and after its passage, as the law and
Charter in such cases provide.
PASSED, APPROVED AND ADOPTED by the City Council of the City of Sanger, Denton
County, Texas, on this 16th day of February 2021.
APPROVED:
____________________________________
Thomas E. Muir, Mayor
ATTEST:
_________________________________
Jeriana Staton, Deputy City Secretary
APPROVED AS TO FORM:
_________________________
Hugh Coleman, City Attorney
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MEMORANDUM
To: Jeriana Staton, Interim City Manager
From: Clayton Gray, Finance Director
Date: February 10, 2021
Re: Budget Amendment for Legal Services and Personnel Costs
The budget for legal services was increased to $150,000 for the 2020-2021 budget. Year to date legal
expenses are $47,623, leaving a budget balance of $102,377. With an attorney now on staff, the
expectation is that the cost of outside legal counsel will drop significantly. The budget for Legal
Expenses should be reduced $17,950 to offset the increase in the Administration Department described
below. This will leave $84,427 in the budget for legal services.
Changes to positions in the Administration Department [(1) the addition of the City Attorney position
and (2) the change of the “Assistant to the City Manager” to “Assistant City Manager” position] will
require a budget amendment to fund these positions. Taking into consideration the savings realized
from unfilled positions in Administration, personnel expenses should be increased $17,950.
The 2020-21 Annual Budget, therefore, should be amended to decrease expenditures in the Mayor and
Council Department by $17,950 and increase expenditures in the Administration Department by
$17,950. The net effect is a $0 change to the budget.
Description Increase Decrease
180-10-5425 Legal Services 17,950$
180-15-5110 Regular Salaries 6,800$
180-15-5128 Auto Allowance 7,000$
180-15-5129 Cell Phone Allowance 225$
180-15-5130 FICA 1,200$
180-15-5140 Retirement 1,350$
180-15-5160 Workers Compensation 1,375$
Total 17,950$ 17,950$
Internal Service Fund
G/L Account
These positions will increase expenses in the Administration Department for future years. Had these
positions had been funded for all of 2020-2021, total personnel expenses for the City would have
increased 4%.
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CITY COUNCIL AGENDA MEMO
AGENDA ITEM NO. 10.
AGENDA MEETING DATE: February 16, 2021
TO: Jeriana Staton, Interim City Manager
FROM: Jeriana Staton Interim City Manager
ITEM/CAPTION:
Contract with Chris Hartung Consulting, LLC for the recruitment of Sanger City Manager
Consider, Discuss and Possibly Act on Authorizing the Interim City Manager to Execute a Contract with Chris Hartung
Consulting, LLC for the recruitment of Sanger City Manager.
AGENDA TYPE: Regular
ACTION REQUESTED: Approval
BACKGROUND:
LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:
N/A
FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:
N/A
FUNDS:
N/A
STAFF RECOMMENDATION/ACTION DESIRED:
N/A
ATTACHMENTS:
Description Upload Date Type
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CITY COUNCIL AGENDA MEMOAGENDA ITEM NO. 10.AGENDA MEETING DATE: February 16, 2021TO: Jeriana Staton, Interim City ManagerFROM: Jeriana Staton Interim City ManagerITEM/CAPTION:Contract with Chris Hartung Consulting, LLC for the recruitment of Sanger City ManagerConsider, Discuss and Possibly Act on Authorizing the Interim City Manager to Execute a Contract with Chris HartungConsulting, LLC for the recruitment of Sanger City Manager.AGENDA TYPE: RegularACTION REQUESTED: Approval BACKGROUND:LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:N/AFINANCIAL SUMMARY FUNDING/FISCAL IMPACT:N/AFUNDS:N/ASTAFF RECOMMENDATION/ACTION DESIRED:N/A
ATTACHMENTS:
Description Upload Date Type
Hartung Contract 2/9/2021 Cover Memo
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CONSULTING AGREEMENT
THIS CONSULTING AGREEMENT (this "Agreement") dated this __ day of February
2021 BETWEEN
City of Sanger, Texas of 502 Elm St., Sanger, TX 76266 (the "Client")
OF THE FIRST PART
- AND -
George C. (Chris) Hartung dba "Chris Hartung Consulting, LLC" of 2000 East Lamar, Suite 600,
Arlington, Texas, 76006
(the "Consultant")
OF THE SECOND PART
BACKGROUND:
A. The Client is of the opinion that the Consultant has the necessary qualifications,
experience and abilities to provide services to the Client.
B. The Consultant is agreeable to providing such services to the Client on the terms and
conditions set out in this Agreement.
IN CONSIDERATION OF the matters described above and of the mutual benefits and
obligations set forth in this Agreement, the receipt and sufficiency of which consideration is
hereby acknowledged, the parties to this Agreement agree as follows:
Services Provided
1. The Client hereby agrees to engage the Consultant to provide the Client with services (the
"Services") consisting of recruitment of the new City Manager as outlined in the scope of
services described in the proposal letter dated January 27, 2021 addressed to Mayor
Thomas Muir and Council Members. The letter proposal is attached to this agreement.
The Services will also include any other tasks which the parties may agree on. The
Consultant hereby agrees to provide such Services to the Client.
Term of Agreement
2. The term of this Agreement will begin on the date of this Agreement and will remain in
full force and effect until the completion of the Services, subject to earlier termination as
provided in this Agreement, with the said term being capable of extension by mutual
written agreement of the parties.
3. In the event that either party wishes to terminate this Agreement, that party will be
required to provide a notice period of 30 days.
4. Except as otherwise provided in this Agreement, the obligations of the Consultant will
terminate upon the earlier of the Consultant ceasing to be engaged by the Client or the
termination of this Agreement by the Client or the Consultant.
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Performance
5. The parties agree to do everything necessary to ensure that the terms of this Agreement
take effect.
Compensation
6. For the services rendered by the Consultant as required by this Agreement, the Client will
pay to the Consultant compensation on the following basis: Payment for services is as
outlined in the proposal letter dated January 27, 2021. The fee for these services is
$18,000.
7. This compensation will be payable as described in the proposal letter dated January 27,
2021, while this Agreement is in force. Payments should be sent to P.O. 434, Bedford,
TX 76095
8. The Client is entitled to deduct from the Consultant's compensation any applicable
deductions and remittances as required by law.
Additional Compensation
9. In addition to the above compensation, the Consultant will be entitled to the following
compensation for performing the Services: If the City requests services in addition to
those outlined in the proposal letter, the consultant will provide a cost estimate prior to
authorization.
Reimbursement of Expenses
10. The Consultant will be reimbursed for out-of-pocket expenses as outlined in the proposal
letter, incurred by the Consultant in connection with providing the Services hereunder not
to exceed $4,000.00. The Consultant will furnish statements and vouchers to the Client
for all such expenses. The total not to exceed cost for this contract is $22,000.
Assignment
11. The Consultant will not voluntarily or by operation of law assign or otherwise transfer its
obligations under this Agreement without the prior written consent of the Client.
Capacity/Independent Contractor
12. It is expressly agreed that the Consultant is acting as an independent contractor and not as
an employee in providing the Services under this Agreement. The Consultant and the
Client acknowledge that this Agreement does not create a partnership or joint venture
between them and is exclusively a contract for service.
Modification of Agreement
13. Any amendment or modification of this Agreement or additional obligation assumed by
either party in connection with this Agreement will only be binding if evidenced in
writing signed by each party or an authorized representative of each party.
Time of the Essence
14. Time is of the essence in this Agreement. No extension or variation of this Agreement
will operate as a waiver of this provision.
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Entire Agreement
15. It is agreed that there is no representation, warranty, collateral agreement or condition
affecting this Agreement except as expressly provided in this Agreement.
Currency
16. Except as otherwise provided in this Agreement, all monetary amounts referred to in this
Agreement are in United States dollars.
Governing Law
17. It is the intention of the parties to this Agreement that this Agreement and the
performance under this Agreement, and all suits and special proceedings under this
Agreement, be construed in accordance with and governed, to the exclusion of the law of
any other forum, by the laws of the State of Texas, without regard to the jurisdiction in
which any action or special proceeding may be instituted.
Severability
18. In the event that any of the provisions of this Agreement are held to be invalid or
unenforceable in whole or in part, all other provisions will nevertheless continue to be
valid and enforceable with the invalid or unenforceable parts severed from the remainder
of this Agreement.
IN WITNESS WHEREOF the parties have duly executed this Service Agreement this ___ day
of February 2021.
APPROVED:
__________________________
Thomas Muir, Mayor
for the City of Sanger
Per: __________________________
(Corp seal)
__________________________
George C. (Chris) Hartung
dba "Chris Hartung Consulting, LLC"
Page 74
CITY COUNCIL AGENDA MEMO
AGENDA ITEM NO. 13.b.
AGENDA MEETING DATE: February 16, 2021
TO: Jeriana Staton, Interim City Manager
FROM: Jeriana Staton Interim City Manager
ITEM/CAPTION:
All American Dogs Report January 2021
AGENDA TYPE: Regular
ACTION REQUESTED:
BACKGROUND:
N/A
LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:
N/A
FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:
N/A
FUNDS:
N/A
STAFF RECOMMENDATION/ACTION DESIRED:
N/A
ATTACHMENTS:
Description Upload Date Type
All American Dog Report 2/12/2021 Cover Memo
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CITY COUNCIL AGENDA MEMO
AGENDA ITEM NO. 13.c.
AGENDA MEETING DATE: February 16, 2021
TO: Jeriana Staton, Interim City Manager
FROM: Jeriana Staton Interim City Manager
ITEM/CAPTION:
ATMOS Energy Rider GCR Rate Filing Docket No. 10170
Atmos Energy Corporation, MidTex Division's Statement of Rider GCR Applicable For The February 2021 Billing
Periods.
AGENDA TYPE: Regular
ACTION REQUESTED: Other:
BACKGROUND:
Attached is Atmos Energy Corporation MidTex Division's Statement of Rider GCR applicable for the February 2021
billing periods. This statement details the gas cost component of the residential, commercial, and industrial sales rates
for customers within the City of Sanger. This filing is for informative purposes only and no action is required on the
City's part.
LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:
N/A
FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:
N/A
FUNDS:
N/A
STAFF RECOMMENDATION/ACTION DESIRED:
N/A
ATTACHMENTS:
Description Upload Date Type
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CITY COUNCIL AGENDA MEMOAGENDA ITEM NO. 13.c.AGENDA MEETING DATE: February 16, 2021TO: Jeriana Staton, Interim City ManagerFROM: Jeriana Staton Interim City ManagerITEM/CAPTION:ATMOS Energy Rider GCR Rate Filing Docket No. 10170Atmos Energy Corporation, MidTex Division's Statement of Rider GCR Applicable For The February 2021 BillingPeriods.AGENDA TYPE: RegularACTION REQUESTED: Other: BACKGROUND:Attached is Atmos Energy Corporation MidTex Division's Statement of Rider GCR applicable for the February 2021billing periods. This statement details the gas cost component of the residential, commercial, and industrial sales ratesfor customers within the City of Sanger. This filing is for informative purposes only and no action is required on theCity's part. LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:N/AFINANCIAL SUMMARY FUNDING/FISCAL IMPACT:N/AFUNDS:N/ASTAFF RECOMMENDATION/ACTION DESIRED:N/A
ATTACHMENTS:
Description Upload Date Type
Atmos Energy Letter Rider GCR Dated 01272021 2/4/2021 Cover Memo
Atmos Rider GCR February 2021 2/4/2021 Cover Memo
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CITY COUNCIL AGENDA MEMO
AGENDA ITEM NO. 13.d.
AGENDA MEETING DATE: February 16, 2021
TO: Jeriana Staton, Interim City Manager
FROM: Clayton Gray, Finance Director
ITEM/CAPTION:
Capital Projects Recap February 9, 2021
AGENDA TYPE: Regular
ACTION REQUESTED:
BACKGROUND:
LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:
FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:
FUNDS:
STAFF RECOMMENDATION/ACTION DESIRED:
ATTACHMENTS:
Description Upload Date Type
Capital Projects Report February 9, 2021 2/9/2021 Cover Memo
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C U R R E N T P R O J E C T S
Project
Number Project Description %
Complete Contract Change
Orders
Preliminary
Estimate
Total Budget Actual to
Date Contract Change
Orders
Preliminary
Estimate Total Budget Actual to Date Budget Actual to
Date Budget Actual to Date %
C004 2020-2021 Street Rehab Program 0%-$ -$ -$ -$ -$ 250,000$ 250,000$ -$ -$ -$ 250,000$ -$ 0%
E005 Wastewater Treatment Plant 100%995,203$ 313,402$ -$ 1,308,605$ 1,226,256$ 10,992,845$ 256,125$ -$ 11,248,970$ 11,289,916$ 397,247$ 397,247$ 12,954,822$ 12,913,419$ 100%
E014 Water Storage Facility Rehabilitation 96%-$ -$ -$ -$ -$ 466,288$ 310,000$ -$ 776,288$ 744,399$ -$ -$ 776,288$ 744,399$ 96%
Total Projects Under Contract 995,203$ 313,402$ -$ 1,308,605$ 1,226,256$ 11,709,133$ 566,125$ -$ 12,275,258$ 12,034,315$ 397,247$ 397,247$ 13,981,110$ 13,657,818$ 98%
U P C O M I N G P R O J E C T S
Project
Number Project Description %
Complete Contract Change
Orders
Preliminary
Estimate
Total Budget Actual to
Date Contract Change
Orders
Preliminary
Estimate Total Budget Actual to Date Budget Actual to
Date Budget Actual to Date %
E006 Railroad Lift Station TBD 312,266$ 589,300$ -$ 901,566$ 768,504$ -$ -$ 4,498,500$ 4,498,500$ -$ 58,011$ 2,747$ 5,458,077$ 771,251$ 14%
E009 Outfall Pipelines/Stream Restoration TBD 342,300$ -$ -$ 342,300$ 314,140$ -$ -$ 3,908,000$ 3,908,000$ 1,668$ 181,754$ 181,754$ 4,432,054$ 497,562$ 11%
E012 455 Relocation of Utilities-Water & Sewer TBD 230,707$ 88,070$ -$ 318,777$ 212,454$ -$ -$ 2,500,000$ 2,500,000$ -$ -$ -$ 2,818,777$ 212,454$ 8%
E013 455 Relocation of Utilities-Electric TBD -$ -$ -$ -$ 94,466$ -$ -$ 1,500,000$ 1,500,000$ -$ -$ -$ 1,500,000$ 94,466$ 6%
E015 WWTP Bar Screen TBD 35,000$ -$ -$ 35,000$ -$ -$ -$ 215,000$ 215,000$ -$ -$ -$ 250,000$ -$ 0%
Total Extimted Projects 920,273$ 677,370$ -$ 1,597,643$ 1,389,564$ -$ -$ 12,621,500$ 12,621,500$ 1,668$ 239,765$ 184,501$ 14,458,908$ 1,575,733$ 11%
A L L P R O J E C T S
Project
Number Project Description %
Complete Contract Change
Orders Total Budget Actual to
Date Contract Change
Orders
Preliminary
Estimate Total Budget Actual to Date Budget Actual to
Date Budget Actual to Date %
Grand Totals 1,915,476$ 990,772$ -$ 2,906,248$ 2,615,820$ 11,709,133$ 566,125$ 12,621,500$ 24,896,758$ 12,035,983$ 637,012$ 581,748$ 28,440,018$ 15,233,551$ 54%
CAPITAL PROJECTS RECAP
February 9, 2021
E N G I N E E R I N G C O N S T R U C T I O N O T H E R T O T A L SP R O J E C T
P R O J E C T E N G I N E E R I N G C O N S T R U C T I O N O T H E R T O T A L S
P R O J E C T E N G I N E E R I N G C O N S T R U C T I O N O T H E R T O T A L S
Page 82
CITY COUNCIL AGENDA MEMO
AGENDA ITEM NO. 13.e.
AGENDA MEETING DATE: February 16, 2021
TO: Jeriana Staton, Interim City Manager
FROM: Jeriana Staton Interim City Manager
ITEM/CAPTION:
Disbursements January 2021
Disbursements for the Month of January 2021
AGENDA TYPE: Regular
ACTION REQUESTED: Other:
BACKGROUND:
Attached for City Council review are the disbursements for January 2021.
LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:
N/A
FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:
N/A
FUNDS:
N/A
STAFF RECOMMENDATION/ACTION DESIRED:
N/A
ATTACHMENTS:
Description Upload Date Type
Disbursements January 2021 2/4/2021 Cover Memo
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CITY COUNCIL AGENDA MEMO
AGENDA ITEM NO. 13.f.
AGENDA MEETING DATE: February 16, 2021
TO: Jeriana Staton, Interim City Manager
FROM: Clayton Gray, Finance Director
ITEM/CAPTION:
Financial Statement December 31, 2020
AGENDA TYPE: Regular
ACTION REQUESTED:
BACKGROUND:
LEGAL/BOARD COMMISSION RECOMMENDATIONS/CITIZEN NOTICE FEEDBACK:
FINANCIAL SUMMARY FUNDING/FISCAL IMPACT:
FUNDS:
STAFF RECOMMENDATION/ACTION DESIRED:
ATTACHMENTS:
Description Upload Date Type
Financial Report December 31, 2020 2/9/2021 Cover Memo
Page 108
Expenditure Category Annual Budget Expenditures &
Encumbrances
Percent of
Budget
Salaries & Benefits 6,545,931$ 1,598,456$ 24%
Supplies & Materials 603,710 130,472 22%
Maintenance & Operations 7,152,775 1,582,274 22%
Contract Services 2,203,434 802,585 36%
Utilities 511,300 115,229 23%
Capital Expenses 811,000 113,748 14%
Debt Service 1,623,477 56,846 4%
Other Department Expense 92,994 (34,825) -37%
Transfers 3,154,411 1,194,047 38%
Total 22,699,032$ 5,558,832$ 24%
December 31, 2020
MONTHLY FINANCIAL REPORT
Combined General, Enterprise, and Internal Service Fund Expenditures by Classification
This is the financial report for the period ended December 31, 2020. Revenues and
expenditures reflect activity from October 1, 2020 through December 31, 2020 or twenty-five
percent (25%) of the fiscal year.
GENERAL FUND
The General Fund has collected forty-two percent (42%) of projected operating
revenues. All revenues are performing within projections. The majority of revenues are
collected between December and February as property taxes are received.
Year to date General Fund operating expenditures are twenty-five percent (25%) of the
annual budget. All expenditure categories are within projections. Some expenditures
are higher in the early months of the year as several annual Purchase Orders are issued.
ENTERPRISE FUND
The Enterprise Fund has collected twenty-one percent (21%) of projected operating
revenues. All revenue categories are performing within projections.
Year to date Enterprise Fund operating expenditures are twenty-three percent (23 %) of
the annual budget. All expenditure categories are within projections.
INTERNAL SERVICE FUND
The Internal Service Fund has collected twenty-five percent (25%) of projected
operating revenues. All revenue categories are performing within projections.
Year to date Internal Service Fund operating expenditures are twenty-eight percent
(28%) of the annual budget. All expenditure categories are within projections. The
highest expenditure in Non-Departmental expenses is TML insurance of $121,420 which
was paid during October.
Page 1 of 12
Page 109
Annual
Budget
Year to Date
Actual
% of
Budget Budget Balance
Operating Revenues
Property Taxes 4,450,618$ 2,498,806$ 56%1,951,812$
Sales & Beverage Taxes 931,500 311,808 33%619,692
Franchise Fees 932,952 222,289 24%710,663
Solid Waste 983,000 222,265 23%760,735
Licenses & Permits 344,500 160,662 47%183,838
Fines & Forfeitures 74,466 37,900 51%36,566
Department Revenues 689,500 148,970 22%540,530
Interest & Miscellaneous 102,500 7,076 7%95,424
Total Operating Revenues 8,509,036 3,609,776 42%4,899,260
Operating Expenditures
Police 1,767,564 513,270 29%1,254,294
Animal Control 139,400 31,268 22%108,132
Fire 1,648,363 318,511 19%1,329,852
Municipal Court 190,849 51,904 27%138,945
Development Services 611,904 123,967 20%487,937
Streets 497,836 159,484 32%338,352
Parks 627,492 213,129 34%414,363
Recreation 84,100 16,822 20%67,278
Library 309,430 72,481 23%236,949
Solid Waste 912,000 228,698 25%683,302
Non-Departmental - 21 0%(21)
Total Operating Expenditures 6,788,938 1,729,555 25%5,059,383
Revenues Over (Under) Expenditures 1,720,098 1,880,221 (160,123)
Transfers
Transfer From Enterprise Fund - PILOT 85,000 21,250 25%63,750
Transfer From Debt Service Fund 51,535 - 0%51,535
Transfer To Capital Projects Fund (520,725) - 0%(520,725)
Transfer to Storm Recovery (400,000) (100,000)
Transfer To Internal Service Fund (935,908) (235,062) 25%(700,846)
Total Transfers (1,720,098) (313,812) 18%(1,406,286)
Net Change in Fund Balance -$ 1,566,409$ (1,566,409)$
Fund Balance, Beginning of Year 7,241,058 7,241,058 -
Fund Balance, End of Year 7,241,058$ 8,807,467$ (1,566,409)$
CITY OF SANGER, TEXAS
GENERAL FUND REVENUE & EXPENDITURES
December 31, 2020
0%25%50%75%100%
Other Revenues
Solid Waste
Franchise Fees
Sales & Beverage Taxes
Property Taxes
General Fund Revenues: Actual to Budget
YTD Actual
Budget
0%25%50%75%100%
Solid Waste
Library
Recreation
Parks
Streets
Development Services
Municipal Court
Fire
Animal Control
Police
General Fund Expenditures: Actual to Budget
YTD Actual
Budget
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CITY OF SANGER, TEXAS
GENERAL FUND 3-YEAR REVENUE TRENDS
December 31, 2020
$-
$250,000
$500,000
$750,000
$1,000,000
$1,250,000
$1,500,000
$1,750,000
$2,000,000
$2,250,000
$2,500,000
$2,750,000
$3,000,000
$3,250,000
$3,500,000
$3,750,000
$4,000,000
$4,250,000
$4,500,000
CURRENT PROPERTY TAX REVENUE
2020-2021
2019-2020
2018-2019
$-
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
$700,000
$800,000
$900,000
$1,000,000
$1,100,000
SALES & BEVERAGE TAX REVENUE
2020-2021
2018-2019
2017-2018
$-
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
$700,000
$800,000
$900,000
FRANCHISE FEE REVENUE
2020-2021
2019-2020
2018-2019
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Annual
Budget
Year to Date
Actual
% of
Budget
Budget
Balance
Operating Revenues
Water 2,160,522$ 498,557$ 23%1,661,965$
Wastewater 2,111,191 484,928 23%1,626,263
Electric 7,732,500 1,549,594 20%6,182,906
Penalties & Fees 212,500 46,514 22%165,986
Interest 300,000 76,297 25%223,703
Miscellaneous 101,500 6,138 6%95,362
Total Operating Revenues 12,618,213 2,662,028 21%9,956,185
Operating Expenditures
Water 1,355,773 320,021 24%1,035,752
Wastewater 699,304 226,964 32%472,340
Electric 6,675,132 1,437,316 22%5,237,816
Total Operating Expenditures 8,730,209 1,984,301 23%6,745,908
Revenues Over (Under) Expenditures 3,888,004 677,727 3,210,277
Transfers
Transfer to Enterprise Debt Service (1,800,000) - 0%(1,800,000)
Transfer to Enterprise CIP (447,142) (447,142) 100%-
Transfers to Storm Recovery Fund (152,000) (38,000) 25%(114,000)
Transfer to General Fund - PILOT (85,000) (21,250) 25%(63,750)
Transfers to Internal Service Fund (1,403,862) (352,593) 25%(1,051,269)
Total Transfers (3,888,004) (858,985) 22%(3,029,019)
Net Change in Fund Balance -$ (181,258)$ 6,239,296$
Fund Balance, Beginning of Year 5,856,271 5,856,271 -
Fund Balance, End of Year 5,856,271$ 5,675,013$ 6,239,296$
CITY OF SANGER, TEXAS
ENTERPRISE FUND REVENUE & EXPENDITURES
December 31, 2020
0%25%50%75%100%
Other Income
Electric
Wastewater
Water
Enterprise Fund Revenues: Actual to Budget
YTD Actual
Budget
0%25%50%75%100%
Electric
Wastewater
Water
Enterprise Fund Expenditures: Actual to Budget
YTD Actual
Budget
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CITY OF SANGER, TEXAS
ENTERPRISE FUND 3-YEAR REVENUE TRENDS
December 31, 2020
$-
$250,000
$500,000
$750,000
$1,000,000
$1,250,000
$1,500,000
$1,750,000
$2,000,000
$2,250,000
WATER SALES REVENUE
2020-2021
2019-2020
2018-2019
$-
$250,000
$500,000
$750,000
$1,000,000
$1,250,000
$1,500,000
$1,750,000
$2,000,000
WASTE WATER SALES REVENUE
2020-2021
2019-2020
2018-2019
$-
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
$7,000,000
$8,000,000
ELECTRIC SALES REVENUE
2020-2021
2019-2020
2018-2019
Page 5 of 12
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Annual
Budget
Year to Date
Actual
% of
Budget Budget Balance
Operating Expenditures
Mayor & Council 205,400 78,103 38%127,297
Administration 463,750 42,945 9%420,805
Public Works 124,770 30,243 24%94,527
Finance 610,200 137,591 23%472,609
Engineering 343,250 72,905 21%270,345
Fleet Services 105,400 31,336 30%74,064
Facilities 223,300 87,242 39%136,058
Non-Departmental 263,700 170,564 65%93,136
Total Operating Expenditures 2,339,770 650,929 28%1,688,841
Transfers
Transfer From Enterprise Fund 1,403,862 352,593 25%1,051,269
Transfer From General Fund 935,908 235,062 25%700,846
Total Transfers 2,339,770 587,655 25%1,752,115
Net Change in Fund Balance -$ (63,274)$ 63,274$
Fund Balance, Beginning of Year 1,745,609 1,745,609 -
Fund Balance, End of Year 1,745,609$ 1,682,335$ 63,274$
Note: For the Internal Service Fund, year to date expenses take into account prior year purchase orders paid in
the current year as well as purchase orders encumbered but not yet paid. Transfers from the General and
Enterprise Funds are made based on actual expenditures, so the transfers do not equal expenditures on this
report.
CITY OF SANGER, TEXAS
INTERNAL SERVICE FUND REVENUE & EXPENDITURES
December 31, 2020
0%25%50%75%100%
Transfer From General Fund
Transfer From Enterprise Fund
Internal Service Fund Revenues: Actual to Budget
YTD Actual
Budget
0%25%50%75%100%
Non-Departmental
Facilities
Fleet Services
Engineering
Finance
Public Works
Administration
Mayor & Council
General Fund Expenditures: Actual to Budget
YTD Actual
Budget
Page 6 of 12
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Name General Fund Enterprise
Fund
Debt Service
Fund
Capital
Projects Fund Total
UNRESTRICTED
Cash for Operations 8,127,597$ 974,238$ -$ -$ 9,101,835$
Contingency Reserves for Operations 1,042,840 1,036,968 - - 2,079,808
TOTAL UNRESTRICTED 9,170,437$ 2,011,206$ -$ -$ 11,181,643$
RESTRICTED
Debt Service -$ 2,200,416$ 778,581$ -$ 2,978,997$
Water Deposits - 505,973 - - 505,973
Equipment Replacement 333,306 129,072 - - 462,378
Electric Storm Recovery - 1,083,928 - - 1,083,928
Hotel Occupancy Tax 63,334 - - - 63,334
Grant Funds 2,367 2,367
Keep Sanger Beautiful (KSB)5,526 - - 5,526
Library 96,730 - - - 96,730
Court Security 11,872 - - - 11,872
Court Technology 748 - - - 748
Child Safety Fee 54,551 54,551
Donations 18,048 - - - 18,048
TOTAL RESTRICTED 586,482$ 3,919,389$ 778,581$ -$ 5,284,452$
CAPITAL PROJECTS
General Capital Projects -$ -$ -$ 1,997,068$ 1,997,068$
Enterprise Capital Projects - - - 6,039,979 6,039,979
TOTAL CAPITAL PROJECTS -$ -$ -$ 8,037,047$ 8,037,047$
TOTAL CASH AND INVESTMENTS 9,756,919$ 5,930,595$ 778,581$ 8,037,047$ 24,503,142$
December 31, 2020
CASH AND INVESTMENTS
CITY OF SANGER, TEXAS
Debt
Service
52%Water
Deposits
9%
Equipment
Replacement
8%
Electric Storm Recovery
19%
Other
12%
Restricted
Unrestricted
45%
Restricted
23%
Capital
Projects
32%
Total Cash & Investments
Cash for
Operations
81%Contingency
Reserves for
Operations
19%
Unrestricted
General
Capital
Projects
25%Enterprise
Capital
Projects
75%
Capital Projects
Page 7 of 12
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Name Acct. #Maturity Yield Prior Period Current
Balance
Pooled Cash 001-00-1000 0.05%6,035,291$ 8,014,548$
Employee Benefits Cash 110-00-1000 0.20%20,802 20,802
Employee Benefits MM 110-00-1010 0.20%36,222 92,247
Internal Service Fund 180-00-1000 - -
OPERATING ACCOUNTS 6,092,315$ 8,127,597$
GF Contingency Reserve MM 2487969 001-00-1031 0.20%612,216$ 613,098$
GF Contingency Reserve CD Prosperity 001-00-1039 4/26/2021 0.55%215,751 215,751
GF Contingency Reserve CD 674907 001-00-1043 7/13/2021 0.45%213,991 213,991
CONTINGENCY RESERVE 1,041,958$ 1,042,840$
*GF Equipment Replacement MM 2376237 001-00-1032 0.20%168,332$ 168,999$
*GF Equipment Replacement CD 719706 001-00-1033 7/6/2021 0.45%64,307$ 64,307$
*General Storm Recovery Pooled Cash 201-00-1000 0.05%66,667 100,000
EQUIPMENT REPLACEMENT RESERVES 299,306$ 333,306$
*Hotel Occupancy Tax 050-00-1000 63,334$ 63,334$
*Police Grant Fund 320-00-1000 2,367 2,367
*Fire Grant Fund 324-00-1000 61,880 61,880
*Library Grant Fund 342-00-1000 14 14
*Beautification Board - KSB 432-00-1000 5,526 5,526
*Library Restricted for Building Expansion 442-00-1000 44,604 44,604
*Library Building Expansion CD 702994 442-00-1035 1/22/2021 0.45%52,126 52,126
*Parkland Dedication Fund 450-00-1000 104,428 104,428
*Roadway Impact Fee Fund 451-00-1000 901,593 934,593
*Court Security Restricted Fund 470-00-1000 11,664 11,872
*Court Technology Restricted Fund 471-00-1000 702 748
*Child Safety Fee Fund 475-00-1000 54,551 54,551
*Forfeited Property Fund 480-00-1000 9,247 9,247
*Police Donations 620-00-1000 78 78
*Fire Donations 624-00-1000 6,150 6,150
*Banner Account for Parks 632-00-1000 5,561 5,561
*Library Donations 642-00-1000 6,259 6,259
OTHER 1,330,084$ 1,363,338$
TOTAL CASH AND INVESTMENTS 8,763,663$ 10,867,081$
TOTAL UNRESTRICTED 7,134,273$ 9,170,437$
*Restricted Funds
GENERAL FUND
December 31, 2020
CASH AND INVESTMENTS
Page 8 of 12
Page 116
Name Acct. #Maturity Yield Prior Period Current
Balance
Pooled Cash 008-00-1010 0.05%1,475,262$ 974,238$
OPERATING ACCOUNTS 1,475,262$ 974,238$
*Pooled Cash 008-00-1010 0.05%205,973$ 205,973$
*Water Deposit CD 2375850 008-00-1041 1/3/2021 0.45%300,000 300,000
WATER DEPOSIT REFUND ACCOUNT 505,973$ 505,973$
*Combined EF Debt Service MM 2376113 008-00-1039 0.20%2,117,367 2,200,416
BOND FUNDS 2,117,367$ 2,200,416$
EF Contingency Reserve MM 2809753 008-00-1012 0.20%610,703$ 611,582$
EF Contingency Reserve CD 787860 008-00-1014 2/14/2021 0.45%318,186 318,186
EF Reserve CD 642541 008-00-1040 9/25/2021 0.45%107,200 107,200
CONTINGENCY RESERVES 1,036,089$ 1,036,968$
*EF Storm Recovery MM- 2% Electric Rev 208-00-1033 0.20%1,071,261$ 1,083,928$
*EF Equipment Replacement MM 2376202 008-00-1034 0.20%128,530 129,072
OTHER 1,199,791$ 1,213,000$
TOTAL CASH AND INVESTMENTS 6,334,482$ 5,930,595$
TOTAL UNRESTRICTED 2,511,351$ 2,011,206$
*Restricted Funds
ENTERPRISE FUND
December 31, 2020
CASH AND INVESTMENTS
Page 9 of 12
Page 117
Name Acct. #Maturity Yield Prior Period Current
Balance
*Pooled Cash 003-00-1000 0.05%442,998$ 719,731$
*DSF Money Market 2376105 003-00-1010 0.20%58,765 58,850
TOTAL RESTRICTED 501,763$ 778,581$
Name Acct. #Maturity Yield Prior Period Current
Balance
*Pooled Cash 004-00-1000 0.05%1,997,068$ 1,997,068$
TOTAL RESTRICTED 1,997,068$ 1,997,068$
Name Acct. #Maturity Yield Prior Period Current
Balance
*Sewer Capital Improvements MM-10% Rev 840-00-1020 0.20%1,127,445$ 1,501,687$
*Sewer Capital Reserve MM 2380226 Tap Fees 840-00-1038 0.20%1,984,338 2,047,195
*SEWER CAPITAL RESERVE - TAP FEES 3,111,783$ 3,548,882$
*Water Capital Reserve MM 2376156 840-00-1037 0.20%1,607,493$ 1,654,808$
*Pooled Cash 840-00-1000 0.05%697,816 836,289
TOTAL RESTRICTED 5,417,092$ 6,039,979$
*Restricted Funds
ENTERPRISE CAPITAL PROJECTS FUND
GENERAL CAPITAL PROJECTS FUND
DEBT SERVICE FUND
DEBT SERVICE & CAPITAL PROJECTS
CASH AND INVESTMENTS
December 31, 2020
Page 10 of 12
Page 118
Name Acct. #Maturity Yield Prior Period Current
Balance
*Pooled Cash 41-00-1000 0.05%784,403$ 809,904$
*Cash NOW 900020693 Prosperity 41-00-1010 0.05%331,762 331,777
*4A MM 902551273 Prosperity 41-00-1012 0.20%479,243 479,322
*Sanger TX Ind Corp CD 486639 41-00-1013 11/2/2020 0.25%95,660 95,660
TOTAL CASH AND INVESTMENTS 1,691,068$ 1,716,663$
Name Acct. #Maturity Yield Prior Period Current
Balance
*Pooled Cash 42-00-1000 0.05%1,114,615$ 1,167,020$
*Cash MM 2379694 42-00-1010 0.05%194,953 195,234
*4B CD 653500 42-00-1013 4/3/2021 0.45%22,094 22,094
*4B CD 659924 42-00-1014 11/12/2021 0.45%21,850 21,850
*4B CD 664243 42-00-1015 6/5/2021 0.45%21,946 21,946
*4B CD 673277 42-00-1016 7/9/2021 0.45%21,900 21,900
*4B CD 686115 42-00-1017 8/4/2021 0.45%21,919 21,919
*4B CD 689521 42-00-1018 9/11/2021 0.45%21,839 21,839
*4B CD 694371 42-00-1019 10/14/2021 0.45%21,913 21,913
*4B CD 697230 42-00-1020 11/17/2021 0.45%22,028 22,028
*4B CD 699934 42-00-1021 12/18/2020 0.45%21,940 21,940
*4B CD 702285 42-00-1022 1/31/2020 0.45%21,741 21,741
*4B CD 706078 42-00-1023 2/19/2021 0.45%21,641 21,641
*4B CD 720097 42-00-1024 2/9/2021 0.45%21,378 21,378
*4B CD 720119 42-00-1025 11/9/2021 0.45%21,413 21,413
TOTAL CASH AND INVESTMENTS 1,593,170$ 1,645,856$
*Restricted Funds
4B FUND
4A & 4B FUNDS
December 31, 2020
CASH AND INVESTMENTS
4A FUND
Page 11 of 12
Page 119
a.
b.
Clayton Gray Jeriana Staton
Clayton Gray Jeriana Staton
Finance Director Interim City Manager
Ethics Disclosure and Conflicts of Interest
In accordance with the PFIA,investment officers are required to file a disclosure statement with the
Texas Ethics Commission and the governing body if:
the officer has a business relationship with a business organization offering to engage
in an investment transaction with the City (as defined in 2256.005 (i) (1-3); or
the officer is related within the second degree by affinity or consanguinity,as
determined under Chapter 573 of the Texas Government Code,to an individual
seeking to transact investment business with the entity. PFIA 2256.005 (i).
CITY OF SANGER, TEXAS
INVESTMENT REPORT
December 31, 2020
The Monthly Investment Report is in full compliance with the objectives,restrictions,and strategies
as set forth in the City of Sanger's Investment Policy and Texas Government Code 2256.023,the
Public Funds Investment Act (PFIA).
The City only invests in Money Market accounts and Certificates of Deposit.Interest is paid monthly
on all accounts.Therefore,book value and market value are the same and the City does not have
accrued interest on its investments.
Page 12 of 12
Page 120