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08/07/2006-CC-Agenda Packet-RegularAGENDA CITY COUNCIL MONDAY. AUGUST 79 2006 7:00 P.M. 201 BOLIVAR 1. Call Meeting to Order, Invocation, Pledge of Allegiance. CONSENT AGENDA 2. a) Approve Minutes: June 29, 2006 - Workshop, July 3 and July 17, 2006 b) Disbursements. 3. Citizen's Input: Citizens are allowed 3 minutes to speak. The City Council is unable to respond to or to discuss any issues that are brought up during this section. 4. Consider and Possible Action on Appointment of Mayor Pro-Tem. S. Consider and Possible Action on Ordinance #08-11-06 Authorizing Issuance of Combination Tax and Revenue Certificates of Obligation for 2006. 6. Consider and Possible Action on Increasing the Amount of Return Check Fees. 7. Consider and Possible Action on Resolution R#08-14-06 -Setting Date, Time and Place for Public Hearings on Proposed Annexations. 8. Discuss Planned Development -Centurion American. 9 Consider and Possible Action on Appointing Members to Keep Sanger Beautiful Board. 10. Consider and Possible Action on Utilizing Funds from Sewer Capital Reserves for Expenses on Phase II of Sewer Plant Expansion. 11. Consider and Possible Action on Ordinance 4408-10-06 to Issue Order of Election and Appoint Election Judge and Alternate Judge for the November 7, 2006 Special Called Election for Amendments to the Home Rule Charter. 12. Consider and Possible Action on Ordinance #08-08-06 Annexing the Following Properties: A. N.L. HOBBS, BLOCK A, LOT 1 Be ABSTRACT 1241, TRACT 331, BEING 26,971 ACRES IN DENTON COUNTY 13. Consider and Possible Action on Ordinance #08-09-06 Annexing the Following Properties: HOBBS, BLOCK A, LOT 2 Be N.L. HOBBS, BLOCK A, LOT 3 R 14. Consider and Possible Action on Finding Fire House to House Ambulance and Fire Trucks. 150 Possible List of Future Agenda Items. 16. Adjournment. Pursuant to the Texas Open Meetings Act, Chapter 551, Texas Government Code, one or more of the above items may be considered in executive session closed to the public. Any final action, decision or vote on such matter will be made in open sessiou.,folloWIng4be conclusion of the executive session. I, the undersigned authority, do hereby certify.thAt thisNotice of Meeting was posted on the bulletin board, at the City Hail of the City of Sanger, Texas, place c nvenient and readily accessible to 46 general public at all times, and said Notice was posted on the following date and time:.4; f'(y)0I at _ =p.m. and shall remain posted until meeting is adjourned. Rosalie Chavez, City Secretar City of Sanger, Texas This notice was removed from the official bulletin 6iiiiid on at by This facility be made 48 is wheelchair accessible and hours prior to this meeting. accessible parking Please contact the spaces are available. Requests for accommodations or City Secretary's office at (940) 458-7930 for further interpretive services must information. MINUTES: CITY COUNCIL WORKSHOP JUNE 29, 2006 PRESENT: Mayor Joe Higgs, Councilman Glenn Ervin, Councilman Robert Patton, Councilman Andy Garza, Councilman Mike Walker, Councilman Mike James OTHERS PRESENT: City Manager Jack Smith, Engineering Coordinator Samantha Renz, Police Chief Curtis Amyx, Electric Superintnedent Mike Prater, Liz Springer, John Springer, Joe Falls, Kathy Floyd, Rod Zielke, Scott Norris, Woodrow Barton, Jerry Jenkins, Vickie Jenkins 1. Mayor Joe Higgs called meeting to order. 2. Discussion Regarding Tomlin Group (LOOK UP ITEM) Mayor addressed audience and indicated they may ask questions, but requested that no derogatory comments be made. He asked Mr. Rod Zeilke to make his presentation. Rod Zeilke, Tomlin Group representative, addressed the Council in regard to a proposed development East of Sanger. He gave a brief history of the project, and indicated that Tomlin Investments is a developer of high quality master planned communities. They have an office in Addison, and their most recent project was in Frisco. He indicated that on October 17, 2005, Tomlin Investments was encouraged by Council to proceed with a development agreement and concept plan on this project. He would now like to get feedback from the Council and define a process to refine these documents. Mr. Zeilke continued to explain that they had developed a 3800 acre project in Frisco, and this is similar to what they had envisioned for Sanger. They are looking at 1000 acres East of the High School bordered by FM 455 and McReynolds Roads. The master plan they have for Sanger will be highly amenitized, and include large greenbelt open spaces, hike and bike trails, pedestrian friendly access throughout the community, village park and playground areas, multiple lake and water features, highly regulated landscape and development codes, school sites and some local retail. Mr. Zeilke continued to explain that a Development District was needed because a quality market buyer is requiring upgraded amenities to be in place before investing. The utilities and access can be difficult for cities to put in place and a District can help with the cost. He explained that the issues to be considered were the development agreement, which he felt was top priority and the concept plan, which could be designed concurrently with the development agreement. Mr. Zeilke suggested the council form a sub -committee possibly consisting of the Council, a District Attorney, the City Engineer, the City Manager, possibly Bond Council and any others the Council would desire. Tomlin would place money in an escrow account to fund city hired committee consultants. He indicated the committee could work with other City staff and Tomlin staff to prepare a draft agreement for Council consideration. Mayor indicated audience could ask questions. David Herndon, 727 Dove Ridge, expressed concerns regarding traffic. He asked how the Council would address the issues of increased traffic from this development. Mr. Zeilke indicated the whole intent of the District is to be able to fund everything the development will use, including improvements to the access streets. They envision that it will be teir responsibility to improve the road to handle the traffic, drainage and other utilities. Scott Norris, Tomlin representative, indicated the ultimate size of the improvements will benefit this development, but also the adjacent properties as well. Mr. Zeilke indicated these would be the type of things included in the development agreement they are requesting. Vickie Jenkins, Sanger Resident, asked them to explain the District and how the process goes. Mr. Zeilke indicated there are a variety of Districts, the type of District this will be still has to be worked out. There are Fresh Water Districts for instance. These are basically Districts created when 25% of the improvements are in place and taxes are being paid. Then the District will sell bonds to help complete the development. The bonds were discussed. Mr. Zeilke indicated the agreement would state that the City could annex the District at any time they chose. Once the District became profitable they could annex it into the City Limits. Discussion continued regarding bonds and annexation of the development. Discussed how the District is funded. Basically, the developer pays 100% up front and is then reimbursed for infrastructure. Barbara Martin asked what the average impact was on a $250,000.00 home. Councilman James indicated it was about 20 to 30 cents more per $100.00 valuation. Ms. Martin indicated that she had heard there were an increased number of foreclosures in these Districts to the extra burden of taxes on home owners. Discussed buyers market, home sizes, builders, and the development. Vickie Jenkins asked who would maintain the amenities. Scott Norris indicated that the Home Owner's Association would maintain them. Gary Bilyeu asked how many houses would be in the development. Mr. Norris indicated there would be 3400-3500 homes. Mr. Bilyeu asked what the buildout or timeline would be. Mr. Norris indicated they hoped that the first phase would sell out rapidly, but basically it is a function of the market. Probably a 10 to 15 year buildout. Jerry Jenkins, Chairman of the Planning and Zoning Commission, asked the Council what the current sewer capacity is. City Manager indicated the City is in the process of being permitted for a new sewer plant, it will have a capacity of one million gallons for the first phase. Mr. Jenkins asked how many lots were currently platted in the City. Staff indicated about 1200. Joe Falls, 4489 McReynolds Road —partner in the Ranger Creek development, asked about the details of the creative financing. He asked why they were requesting something different than the requirements he has to meet. He indicated as a developer he wanted a level playing field. Mr. Zeilke indicated they are not asking for anything special. They will abide by all subdivision riAles and zoning ordinances. Discussion regarding development, improvements and taxing. Mayor asked what other cities they had done a District in. Scott Norris indicated they have done developments in Terrell E.T.J., and Westin and they are working on agreements with Fort Worth and Houston. Discussed other developments and if there were or were not Districts. Discussed bonds and funding. Councilman IN alker asked if they had ever seen a development not sell bonds and go broke. Mr. Zeilke indicated he had not. Joe Falls asked if the District had the ability to get bonds at a rate better than the city. Scott Norris indicated they would either get the same rate or a rate slightly above municipal rates. The market has a multitude of these Districts being created, they are becoming a more common bond purchase. John Pearson, 7736 FM 428, asked what the downside is to the city if the District is funding the infrastructure. Mayor indicated the City may have to take over the binds eventually. Discussion followed regarding the District and the taxes. Discussed that the city can annex or take over bonds in phases if they wish. Councilman James indicated he would like to see more of the details, Councilman Garza indicated he did not understand why they could not add infrastructure cost to the lots like every other developer did. Discussed that the distance to bring infrastructure would increase the cost considerably and it would not be marketable. Discussed they would use as much local business and advertising as possible. 3. Meeting Adjourned. %��VVIV 2006 MEMBERS PRESENT: Mayor Joe Higgs, Councilman Robert Patton, Councilman Glenn Ervin, Councilman Andy Garza ABSENT: Councilman Mike James, Councilman Mike Walker OTHERS PRESENT: City Manager Jack Smith, City Secretary/Assistant City Manager Rose Chavez, Director of Economic Development, Cecile Carson, Candace Murphree, Sheri Knowles, C.G. McNeill, Kim Cox, Merrie Lou Abney, Liz Springer, John Springer, Bill Fuller, Jonathan Wang 1. Mayor Joe Higgs Called Meeting to Order, Councilman Garza led the Invocation, followed by Councilman Erwin leading the Pledge of Allegiance. CONSENT AGENDA 2. a) Approve Minutes: June 19, 2006 - Minutes b) Disbursements. Motion made by Councilman Erwin to approve Consent Agenda with correction as indicated below: Item (a) Page 3 -Minutes to show Councilman Garza voted no. Motion carried 3-1. 3. Citizen's Input: Citizens are allowed 3 minutes to speak. The City Council is unable to respond to or to discuss any issues that are brought up during this section. 4. Conduct First Public Hearing on Annexation for the Following Properties: Mayor declared Public Hearing opened. Jonathan Wang indicated he wanted to volunteer to be annexed and will sign whatever paper is required. Mayor declared Public Hearing closed. 5. Consider and Possible Action on Purchase of Easement on Marion Road from Sanger LS.D. City Manager addressed this item and advised that the school is under State Law and cannot give away anything to anybody even to the City. The appraisal for this easement came in at $6,900.00. City Manager discussed the easement that the City already has from .Ionathan Wang and Norman Williams up to Marion and across Marion the City already has an easement that crosses 455. The City is in the process of getting a State boring agreement to bore under 455 to come up to the south side into this easement (by school) which will get the City to where the City can loop the Wal-mart water well into the system. Discussion following concerning the appraisal from Marion Road West that goes from Marion all the way to Indian Lane and is on the school's property. Mayor Higgs inquired if the school would give another Right -of --Way on 455 if TX DOT widens 455. City Manager indicated if they put one lane each on 455 as it is now, there will be enough Right -of -Way, however, if they decide to put two more lanes on the south side then it has to be looked at since this will be 24 ft. of paving in one direction. The Right -of --Way north is about 6 ft. north of the paved parking lot. This is where the easement is. Discussion. Councilman Garza inquired as to what will happen if the State decides to widen 455 and the lines are in the Right -of --Way and the State decides to take it. City Manager indicated the state has to move the utilities. Discussion was that if the State does widen 455 to two lanes east and two lanes west then nothing is disturbed. City Manager indicated the City does not have aRight-of Way. Discussion. The State has the Right -of -Way where the telephone and fiber optic lines are located. The boring will go under these utilities. Councilman Garza moved to purchase easement from the school. (Cost of $6,900.00). Seconded by Councilman Patton. Motion carried unanimously. 6. Consider and Possible Action on Resolution Supporting the Texas Main Street Program. City Council addressed Board and advised this was a continuation from the last Agenda requesting a Resolution to support the applications for the Main Street Program. City Council discussed information concerning private reinvestment in selected downtown and neighborhoods. Motion was made by Councilman Patton to accept Resolution #07-12-06 Supporting the Main Street Program. Seconded by Councilman Ervin. Motion carried unanimously. 7. Discuss Engineering Services on New Sewer Plant for Wastewater Treatment Plant. Councilman Garay indicated he was not on the City Council when this was approved and since the City is trying to cut expenses he was wondering if this was bid out to allow for a competitive price. City Manager indicated the City does not have to bid engineering services. Councilman Garza asked if there were any other engineering services contacted for proposals. City Manager indicated he did contact Upper Trinity since they have contract engineers that do water and sewer plants and spoke to Tom Snider concerning this type of a contract. He advised these services normally run at a 12 to 121/z % of total cost of project. Discussion was that no one else was contacted to submit a proposal. Councilman Garza indicated he did not have any objection to Carter & Burgess, he was just concerned. Discussion continued about the current system which has three systems and none of them are tied together. Also discussed was Phase I in progress; however, Phase II has not began due to funding. �. Possible List of Future Agenda Items. Discussion was about members being absent during meetings and the importance of making meetings. Update on Comprehensive Growth Plan. Land for new City Hall. Discussion on the Committee for Development Projects. 1V[rs. Springer did remind the Council that they were "Point of Order". The item was List of Possible Future Agenda items and no discussion. 9. Adjournment. MINUTES: CITY COUNCIL JULY 17, 2006 PRESENT: Mayor Pro-Tem Glenn Ervin, Councilman Robert Patton, Councilman Andy Garza, Councilman Mike Walker, Councilman Mike James oTIIERs PRESENT: City Manager Jack Smith, Economic Development Director Cecile Carson, Paula Morales, Police Chief Curtis Amyx, Electric Superintendent Mike Prater, Liz Springer, John Springer, Kim Cox, Curt )Fowler 1. Mayor Pro-Tem Glenn Ervin Called Meeting to Order, Councilman Garza led the Invocation, Councilman Walker led the Pledge of Allegiance. CONSENT AGENDA 2. a) Approve Minutes: (The July 3, 2006 Minutes will be available at Aug. 7"' meeting) b) Disbursements Councilman Garza moved to approve the Consent Agenda as presented. Councilman James seconded. Motion carried unanimously. ICitizen's Input: Citizens are allowed 3 minutes to speak. The City Council is unable to respond to or to discuss any issues that are brought up during this section. None. 4. Consider and Possible Action on Appointing Mayor Pro Tem. Councilman James nominated Andy Garza. Councilman Patton nominated Councilman Glenn Ervin. Council was polled to vote for Councilman Garza -vote was 3 to 2, not in favor of Councilman Garza. Councilman Ervin appointed Mayor Pro-Tem. 5. Consider and Possible Action on Adopting the Criteria for Appointment of Board Members. City Manager indicated this was presented to the Council at the last meeting. Part of this was the application and part of it was the criteria. The application was approved; however, the criteria was not. Staff is looking for direction as to what option to use for the criteria. Councilman James indicated he was confused as to the purpose of this. Do we prefer a large pool or a small pool. If we have a hard time getting people to serve, we should probably look at using the option for the small pool. He felt they should look at option number 2. On the training he felt all of the options were good, but he would lean toward the simpler option - either option 1 or option 2, but most likely he would lean toward option 2. Councilman Walker indicated he read through it and he would go with option 1 on the large pool and option 2 on the training. Councilman Patton indicated he would prefer the large pool and option 2 on the training. Councilman Garza indicated he did not have a problem with the consensus of the Council. He indicated that he felt the people that were being recruited to serve needed to be aware of the option for training. Councilman Garza indicated he agreed as well. He would like to have option 4 for training but felt that should come in time, possibly in the next two to three years. Councilman James moved to accept option 1 as far as establishing the criteria for coming up with the pool and option 2 for the training options. Councilman Patton seconded. Motion carried unanimously. 6. Conduct Second Public Hearing on Annexation for the following Properties: A. N. L. Hobbs, Block A, Lot 2 B. N. L. Hobbs, Block A, Lot 3 R Public Hearing opened. No Discussion. Public Hearing closed. 7. Consider and Possible Action on Statement of Intent from Atmos Energy. City Manager indicated if this is not acted on they will consider it denied. Atmos energy has requested that the City deny the request. Councilman Walker asked for staff recommendation. City Manager recommended they deny the request. Councilman Walker moved to deny the request. Councilman James seconded. Motion carried unanimously. $. Consider and Possible Action to Appoint Auditor for FY 2005-2006. City Manager indicated staff had sent Requests For Proposals. The responses arc enclosed and also a letter from Bill Spore explaining his services. Councilman Patton indicated he understood the philosophy of staying with someone that has a done a good job over the years. There seems to be two schools of thought - one to stay with someone who has done a good job - or second in operation of a business you need to have a little bit of fresh air every now and then. He still felt that 11 or 12 years with Bill Spore was a good run. He would like to see the City try someone else for a while. The thinking of business is that you should change auditors every few years, and from the financial stand point he would prefer to change auditing firms. Councilman Walker asked if this was a yearly contract. Staff indicated it was. Councilman Walker indicated he agreed with Councilman Patton; however, as a taxpayer he had a problem spending $5200.00 extra just to have a change. Discussed the increased cost. Councilman James indicated if there was suspicion of an issue with the auditor he would be able to justify the extra money, however, an auditor's job is not to come in and tell the city how to be more efficient. Their job is to audit the data and make sure the depreciation is taken the right way, balance the checkbook and things like that. They just analyze the data and make sure nothing was done under the table. He cannot justify spending the extra money. The reason it is so high is because when a new auditing firm comes into any business they have to re -input all the data the City has. They have to start from scratch. He is not in favor of changing at this time. Councilman Ervin indicated he had a problem spending the extra money, but he would like to see a breath of fresh air. He felt a new auditor could save some money in the long run by looking at rates, etc. Councilman James indicated that is not the auditor's job. They are not financial advisors, and all they do is make sure everything is accounted for. Councilman Garza indicated he had a hard time justifying the additional cost. He felt Mr. Spore had done a great job. Discussion continued. Councilman Patton moved to appoint Hankins, Eastup, Deaton, Tonn & Seay as the auditor for this Fiscal Year. Councilman Ervin seconded. Motion failed 3 to 2. Councilman Garza, Councilman James and Councilman Walker voted no. Councilman Walker moved to accept Mr. Spore's proposal for auditing services for this Fiscal Year. Councilman Garza seconded. Motion carried 44. Councilman Ervin voted no. 9. Discuss and Possible Action on Habitat for Humanity. City Manager indicated there were already 2 Habitat for Humanity Homes on Railroad Avenue. They are requesting the same variances they did previously and the same waiver of fees, however, they are requesting to be able to build an 1100 square foot home. Curt Fowler, Habitat Homes, thanked the Council for their consideration. He indicated their basic house was 1100 square feet. Discussed they will go through the normal replatting process at a future time. Councilman Walker moved to waive all of the fees needed to build these four homes for Habitat for Humanity, and allow them to build an 1100 square foot home. Councilman Patton seconded. Motion carried unanimously. 10. Discuss and Possible Action to Increase Square Footage from 3,500 Square Feet to 12,000 Square Feet on Fire Sprinklers. City Manger indicated there were several citizens that have requested we increase our minimum. He indicated the fire chief will show "OK epresentation and answer any questions they have. David Pennington, Fire Chief, addressed the Council. He indicated he was standing by the current ordinance, he was not recommending the change. Councilman Patton indicated the minimum of any other City is 5,000 square feet. The International Code minimum is 12,000 square feet. Chief Pennington indicated the other cities that have larger minimums have a lower ISO rating than the City of Sanger, meaning that they have faster response times, more personnel etc. Discussed requirements to get lower ISO rating. Chief Pennington indicated that we unfortunately did not have the personnel to meet the requirements. If we go with the 12,000 square feet minimum then we also need to go with what the code recommends for personnel and response times. It will be better for everyone of they have a sprinkler system to hold it in check until the fire department can get there. Councilman Garza asked if the change would affect our ISO rating. Chief Pennington indicated it would most likely stay the same. We will not meet the staffing levels for a while to lower our rating. Brief Discussion regarding the ratings and the responses in Sanger and the City ordinances regarding sprinkler systems and audio alarm systems. Chief Pennington shawed a brief presentation showing that one match in a trash can caused an entire room to burn in just over two minutes. He indicated a sprinkler system can help control the situation until the response team can get there. A business owner indicated that from his point of view, the extra money he would save to move to another city with less stringent requirements would be well worth it. He felt the Council should take that into consideration. His insurance is higher on his building with a sprinkler system than it is without. Discussion continued regarding fire protection service in the City of Sanger versus protection in other cities and states. John Springer indicated he would like to hear from the Economic Development Director; because, he felt a decision like this would have an impact on the economic growth in Sanger. Discussed that there are other additional costs involved besides just the sprinkler system itself. The extra water tap, and yearly certification of the system are additional costs. Cecile Carson indicated she had not really had a chance to look at all of the pros and cons of this, but this is a deterrent to certain types of development. There is a chance they would not build here because the cost will be higher. There are other regulations that are more stringent as well that will deter certain business. We do have some challenges having a volunteer fire department that many other cities have as well. We do have to take fire safety into consideration and find some balance. This code has been in effect for a while, so we could go back and look to see what the challenges have been in new construction and see if the 3500 square foot requirement is appropriate. Liz Springer asked if any variances have been granted on the sprinkler requirements. ChiefPennington indicated he had not granted any, but to his knowledge two may have been given. Discussion followed regarding uses of the buildings and possibly balancing the requirements based on use. Discussed water supply and the fact that Bolivar Water cannot furnish pressure for a six inch line. Discussed that this code only applies to new commercial construction. Councilman Garza asked who the variances were granted to. Briefly discussed variances granted. John Springer indicated he is the one responsible for insuring that his building is safe. It is up to him to make sure he is adequately insured. On a small building it increases the square foot cost over that of a larger building. There are two cities that he knows of, one of which was Gainesville, who had a 6,000 square feet minimum and they changed it back to 12,000 because it was hurting them economically. They could not get business to come because of the requirement. He felt this does indeed handicap the small business owner. Councilman Garza indicated the safety of the buildings next to these building should be taken into consideration as well. Discussion continued regarding the effect of this ordinance on different types of businesses. Discussion regarding surrounding cities fire departments and requirements. Discussed requirements in the Uniform Fire Code. Councilman Walker suggested they table the ordinance and do some research on what is a typical size building. At this time he would like to leave it at 3500, but he also did not want to inhibit growth. He felt more research should be done. Council agreed they should gather more information, and discuss this at a future meeting. Tabled to schedule workshop on the August 21s`. 11. Possible List of Future Agenda Items, Councilman Patton requested to find a fire house for the fire trucks and ambulances be placed on the agenda. Councilman Ervin requested a budget workshop he scheduled and to discuss goal setting for Council. 12. Meeting Adjourned. Date: August 4, 2006 To: Honorable Mayor and City Council From: Rose Chaves, City Secretary/Assistant City Manager Re: Item # 4 -Appointment of Mayor Pro-Tem There was a motion on the table at the meeting of July 17, 2006 and no action was taken. Staff has requested an opinion from legal counsel and his recommendation is that this item be placed on the agenda and proper action be taken. Please refer to Item 4 in July 17, 2006 minutes. Date: August 4, 2006 To: Honorable Mayor and City Council Fr: Rose Chavez, City Secretary/Assistant City Manager Re: Ordinance #08-11-06 -Certificates of Obligation Attached is the Ordinance on this Item. This is for the Certificates of Obligation for the next phase of the CIP Project. All other documents are included as well. ORDINANCE # 0 8 -11- 0 6 AN ORDINANCE AUTHORIZING THE ISSUANCE OF CITY OF SANGER, TEXAS COMBINATION TAX AND REVENUE CERTIFICATES OF OBLIGATION, SERIES 2006; PRESCRIBING THE TERMS AND FORM THEREOF; PROVIDING FOR THE PAYMENT OF THE PRINCIPAL THEREOF AND INTEREST THEREON; AWARDING THE SALE THEREOF; AUTHORIZING THE PREPARATION AND DISTRIBUTION OF AN OFFICIAL STATEMENT TO BE USED IN CONNECTION WITH THE SALE OF THE CERTIFICATES; AUTHORIZING THE PURCHASE OF BOND INSURANCE; MAKING OTHER PROVISIONS REGARDING SUCH CERTIFICATES, INCLUDING USE OF THE PROCEEDS THEREOF, AND MATTERS INCIDENT THERETO; BE IT ORDii1NED BY THE CITY COUNCIL OF THE CITY OF SANGER: ARTICLE I FINDINGS AND DETERMINATIONS Section l.l: 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, is authorized pursuant to and in accordance with the provisions of Texas Local Government Code, Chapter 271, Subchapter C, as amended (the "Act"), to issue certificates of obligation to provide all or part of the funds to pay contractual obligations to be incurred for the construction of public works and the purchase of materials, supplies, equipment, machinery, buildings, land and rights - of -way for authorized needs and purposes and for the payment of contractual obligations for professional services, to wit (i) improvements to the water and sewer system, including new wells, tanks and lines and replacing existing lines within the City, and (ii) professional services rendered in connection with the above listed projects. (b) The City Council authorized the publication of a notice of intention to issue Certificates of Obligation, Series 2006 (the "Certificates") to the effect that the City Council was tentatively scheduled to meet at 7:00 p.m. on June 19, 2006 at its regular meeting place to adopt an ordinance authorizing the issuance of the Certificates to be payable from (i) an ad valorem tax levied, within the limits prescribed by law, on the taxable property located within the City, and (ii) the revenues to be derived from the City's water and sewer system (the "System") after the payment of all operation and maintenance expenses thereof (the "Net Revenues") in an amount not to exceed $10,000, to the extent that ad valorem taxes are ever insufficient or unavailable for such purposes, provided that the pledge of Net Revenues is and shall be junior and subordinate in all respects to the pledge of Net Revenues to the payment of any obligation of the City, whether authorized heretofore or hereafter, which the City designates as having a pledge senior to the pledge of the Net Revenues to the payment of the Certificates. HOU:2602319.1 (c) Such notice; was published at the times and in the manner required by the Act. (d) No petition signed by at least five percent (5%) of the qualified voters of the City has been filed with or presented to any official of the City protesting the issuance of such Certificates on or before June 13, 2006, or the date of passage of this Ordinance. (e) The City has determined that it is in the best interests of the City and that it is otherwise desirable to issue the Certificates to provide all or part of the funds to pay contractual obligations to be incurred for the purposes authorized by the Act. 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 Texas Local Government Code, Chapter 271, Subchapter C, as amended. "Attorney General" shall mean the Attorney General of the State of Texas. _ "Bond Insurance Policy" shall mean the financial guaranty insurance policy issued by the Bond Insurer insuring the payment when due of the principal and interest on the Certificates as provided therein. "Bond Insurer" shall mean "Certificate" or "Certificates" shall mean any or all of the City of Sanger, Texas Certificates of Obligation, Series 2006, authorized by 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. "Code" shall mean the Internal Revenue Code of 1986, as amended. "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. "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 2 HOU:2602319. I 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 Certificate, shall mean March 1, 2007, and each March 1 and September 1 thereafter until maturity or earlier redemption of such Certificate. "Issuance Date" shall mean the date on which the Certificates are delivered to and paid for by the Underwrites. "Ordinance" shall mean this Ordinance and all amendments hereof and supplements hereto. "Outstanding", when used with reference to the Certificates, shall mean, as of a particular date, all Certificates theretofore and thereupon delivered pursuant to this Ordinance except: (a) any Certificates canceled by or on behalf of the City at or before such date; (b) any Certificates defeased pursuant to the defeasance provisions of this Ordinance or otherwise defeased as permitted by applicable law; and (c) any Certificates in lieu of or in substitution for which a replacement Certificate shall have been delivered pursuant to this Ordinance. "Paying Agent/Registrar" shall mean The Bank of New York Trust Company, N.A., and its'successors in that capacity. "Underwriter" shall mean the entity or entities specified in Section 7.1 hereof. "Record Date" shall mean the close of business on the fifteenth day of the calendar month immediately preceding the applicable Interest Payment Date. "Register" shall mean the registration books for the Certificates 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 Certificates. "Registered Owner" shall mean the person or entity in whose name any Certificate is registered in the Register. 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 validity of the Certificates and the validity of the levy of ad valorem taxes to pay the principal of and interest on the Certificates. 3 HOU:2602319.1 ARTICLE III TERMS OF THE CERTIFICATES Section 3.1: Amount, Purpose and Authorization. (a) The Certificates 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 of SEVEN MILLION AND NO/100 DOLLARS ($7,000,000) for the purpose of providing all or part of the funds to pay contractual obligations to be incurred for the purposes described in paragraph 1.1(a) hereof. Section 3.2: Designation Date and Interest Payment Dates. The Certificates shall be designated as the "City of Sanger, Texas Combination Tax and Revenue Certificates of Obligation, Series 2006," and shall be dated August 1, 2006. The Certificates shall bear interest at the rates set forth in Section 3.3 below, from the later of August 1, 2006 or the most recent Interest Payment Date to which interest has been paid or duly provided for, calculated on the basis of a 360-day ye«r of twelve 30-day months, payable on March 1, 2007, and each March 1 and September 1 thereafter until maturity or earlier redemption. If interest on any Certificate is not paid on any Interest Payment Date and continues unpaid. for thirty (30) days thereafter, the Paying Agent/Registrar shall establish a new. record date for the payment of such interest, to be known as a Special Record Date. The Paying Agent/Registrar shall establish a Special Record Date when funds to make such interest payment are received from or on behalf of the City. Such Special Record Date shall be fifteen (15) days prior to the date fixed for payment of such past due interest, and notice of the date of payment and the Special Record Date shall be sent by United States mail, first class, postage prepaid, not later than five (5) days prior to the Special Record Date, to each affected Registered Owner as of the close of business on the day prior to mailing of such notice. Section 3.3: Numbers Denomination Interest Rates and Maturities. The Certificates shall be initially issued bearing the numbers, in the principal amounts and bearing interest at the rates set forth in the following schedule, and maybe transferred and exchanged as set out in this Ordinance. The Certificates shall mature on March 1 in each of the years and in the amounts set out in such schedule. Certificates delivered in transfer of or in exchange for other Certificates shall be numbered in order of their authentication by the Paying Agent/Registrar, shall be in the denomination of $5,000 or integral multiples thereof and shall mature on the same date and bear interest at the same rate as the Certificate or Certificates in lieu of which they are delivered. Certificate Nnmher Year of Maturity Principal Amount Interest Rate HOU:2602319.1 L� Section 3.4: Redemption Prior to Maturity. (a) Optional Redemption. The Certificates maturing on and after March 1, 2017 are subject to redemption prior to maturity, at the option of the City, in whole or in part, on March 1, 2016, or any date therea$er, at par plus accrued interest to the date fixed for redemption. (b) Certificates may be redeemed in part only in integral multiples of $5,000. If a Certificate subject to redemption is in a denomination larger than $5,000, a portion of such Certificate may be redeemed, but only in integral multiples of $5,000. In selecting portions of Certificates for redemption, each Certificate shall be treated as representing that number of Certificates of $5,000 denomination which is obtained by dividing the principal amount of such Certificate by $5,000. Upon presentation and surrender of any Certificate for redemption in part, the Paying Agent/Registrar, in accordance with the provisions of this Ordinance, shall authenticate and deliver in exchange therefor a Certificate or Certificates of like maturity and interest rate in an aggregate principal amount equal to the unredeemed portion of the Certificate so surrendered. (c) Notice of any redemption, identifying the Certificates 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 made with the Paying Agent/Registrar for the payment of the redemption price of the Certificates called for redemption. If such notice of redemption is given, and if due provision for such payment is made, all as provided above, the Certificates 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 Certificates. The Certificates shall be payable, shall have the characteristics and shall be executed, sealed, registered and authenticated, all as provided and in the manner indicated in the FORM OF CERTIFICATES set forth in Article IV of this Ordinance. If any officer of the City whose manual or facsimile signature shall appear on the Certificates shall cease to be such officer before the authentication of the Certificates or before the delivery of the .Certificates, 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 Andrews Kurth LLP, Houston, Texas, Bond Counsel, may be printed on the back of the Certificates over the certification of the City Secretary, which maybe executed in facsimile. CUSIP numbers also may be printed on the Certificates, but errors or omissions in the printing of either the opinion or the numbers shall have no effect on the validity of the Certificates. Section 3.6: Authentication. Except for the Certificates to be initially issued, which need not be authenticated by the Registrar, only such Certificates as shall bear thereon a certificate of authentication, substantially in the form provided in Article IV of this Ordinance, manually .executed by an authorized representative of the Paying Agent/Registrar, shall be E HOU:2602319.1 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 Certificate so authenticated was delivered by the Paying Agent/Registranc�reunder. Section 3.7: Ownership. The City, the Paying AgentlRegistrar and any other person may treat the person in whose name any Certificate is registered as the absolute owner of such Certificate for the purpose of making and receiving payment of the principal thereof and interest thereon and for all other purposes, whether or not such Certificate is overdue, and neither the City nor the Paying Agent/Regisirar 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 Certificate in accordance with this iection shall be valid and effective and shall discharge the liability of the City and the Paying Agent/Registrar upon such Certificate to the extent of the sums paid. Section 3.8: Re¢istration Transfer and Exchan>;e. The Paying Agent/Registrar is hereby appointed. the registrar for the Certificates. So long as any Certificate remains Outstanding, the Paying Agent/Registrar shall keep the Register at the City Administrator's office in which, subject to such reasonable regulations as it may prescribe, the Paying Agent/Registrar shall provide for the registration and transfer of the Certificates in accordance with the terms of this Ordinance. _. Each Certificate 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 Certificate for transfer, the Paying Agent/Registrar shall authenticate and deliver in exchange therefor, within seventy-two (72) hours after such presentation, a new Certificate or Certificates, 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 Certificate or Certificates so presented and surrendered. All Certificates shall be exchangeable upon the presentation and surrender thereof at the principal corporate trust office of the Paying Agent/Registrar for a Certificate or Certificates, maturity and interest rate and in any authorized denomination, in an aggregate principal amount equal to the unpaid principal amount of the Certificate or Certificates presented for exchange. The Paying Agent/Registrar shall be and is hereby authorized to authenticate and deliver exchange Certificates in accordance with the provisions of this Section. Each Certificate 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 Certificate or Certificates in lieu of which such Certificate is delivered. All Certificates 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 Certificate to pay a sum sufficient to cover any tax or other governmental charge that may be HOU:2602319.1 imposed in connection with the transfer or exchange of such Certificate. Any fee or charge of the Paying Agent/Registrar for such transfer or exchange shall be paid by the City. The Paying Agent/Registrar shall not be required to transfer or exchange any Certificate called for redemption in whole or in part during the forty-five (45) day period immediately prior to the date fixed for redemption; provided, however, that this restriction shall not apply to the transfer or exchange by the Registered Owner of the unredeemed portion of a Certificate called for redemption in part.. Section 3.9: Book -Enter Only stem. The definitive Certificates shall be initially issued in the form of a separate single fully registered Certificate for each of the maturities thereof. Upon initial issuance, the ownership of each such Certificate shall be registered in the name of Cede & Co., as nominee of DTC, and except as provided in Section 3.11 hereof, all of the Outstanding Certificates 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., and subject to the provisions in this Ordinance with respect to interest checks being mailed to the Owner at the close of business on the Record Date, the word "Cede & Co." in this Ordinance shall refer to such new nominee of DTC. With respect to Certificates 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 Certificates. 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 Certificates, (b) the delivery to any DTC Participant or any other person, other than a Certificateholder, as shown on the Register, of any notice with respect to the Certificates, including any notice of redemption or (c) the payment to any DTC Participant or any other person, other than a Certificateholder as shown in the Register, of any amount with respect to principal of Certificates, premium, if any, or interest on the Certificates. Except as provided in Section 3.10 of this Ordinance, the City and the Paying Agent/Registrar shall be entitled to treat and consider the person in whose name each Certificate is registered in the Register as the absolute owner of such Certificate for the purpose of payment of principal of, premium, if any, and interest on Certificates, for the purpose of giving notices of redemption and other matters with respect to such Certificate, for the purpose of registering transfer with respect to such Certificate, and for all other purposes whatsoever. The Paying Agent/Registrar shall pay all principal of Certificates, premium, if any, and interest on the Certificates 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 Certificates to the extent of the sum or sums so paid. No person other than an owner shall receive a Certificate evidencing the obligation of the City to make payments of amounts due pursuant to this Ordinance. 7 HOU:2602319.1 Section 3.10: Payments and Notices to Cede & Co. Notwithstanding any other provision of this Ordinance to the contrary, as long as any Certificates 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 Certificates, and all notices with respect to such Certificates shall be made and given, respectively, in the manner provided in the representation letter of the City to DTC. Section 3.11: Successor Securities Depository Transfer Outside Book -Entry On1y S s� tem. 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 Certificates that they be able to obtain certificated Certificates, 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 Certificates to such successor securities depository or (b) notify DTC of the availability through DTC of Certificates and transfer one or more separate Certificates to DTC Participants having Certificates credited to their DTC accounts. In such event, the Certificates shall no longer be restricted to being registered in the Register in the name of Cede & Co., as nominee of DTC, but maybe registered in the name of the successor securities depository, or its nominee, or in whatever name or names Certificateholders transferring or exchanging Certificates shall designate, in accordance with the _ provisions of this Ordinance. Section 3.12: Replacement Certificates. Upon the presentation and surrender to the Paying AgentlRegistrar of a damaged or mutilated Certificate, the Paying Agent/Registrar shall authenticate and deliver in exchange therefor a replacement Certificate, 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 Certificate 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 Certificate 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 Certificate has been acquired by a bona fide purchaser, shall execute, and the Paying Agent/Registrar shall authenticate and deliver, a replacement Certificate 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 Certificate; (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 maybe imposed; and HOU:2602319.1 (d) met any other reasonable requirements of the City and the Paying Agent/Registrar. If, after the delivery of such replacement Certificate, a bona fide purchaser of the original Certificate in lieu of which such replacement Certificate was issued presents for payment such original Certificate, the City and the Paying Agent/Registrar shall be entitled to recover such replacement Certificate 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 Certificate has become or is about to become due and payable, the City in its discretion may, instead of issuing a replacement Certificate, authorize the Paying Agent/Registrar to pay such Certificate. Each replacement Certificate delivered in accordance with this Section shall be entitled to the benefits and security of this Ordinance to the same extent as the Certificate or Certificates in lieu of which such replacement Certificate is delivered. Section 3.13: Cancellation. All Certificates paid or redeemed in accordance with this Ordinance, _and all_ Certificates in lieu of which exchange Certificates or replacement Certificates are authenticated and delivered in accordance herewith, shall be canceled and destroyed- upon the making of proper records regarding such payment or redemption. The Paying Agent/Registrar shall periodically furn'sh the City with certificates of destruction of such Certificates. ARTICLE IV FORM OF CERTIFICATES The Certificates, including the Form of Comptroller's Registration Certificate, Form of Paying AgentlRegistrar Authentication Certificate, Statement of Insurance and Form of Assignment, shall be in substantially the following forms, with such omissions, insertions and variations as may be necessary or desirable, and not prohibited by this Ordinance: HOU:2602319.1 UNITED STATES OF AMERICA STATE OF TEXAS CITY OF SANGER, TEXAS NUMBER R- REGISTERED 0 DENOMINATION REGISTERED COMBINATION TAX AND REVENUE CERTIFICATE OF OBLIGATION SERIES 2006 INTEREST RATE: DATED DATE: MATURITY DATE: CUSIP: August 1, 2006 March 1, REGISTERED OWNER: PRINCIPAL AMOUNT: DOLLARS THE CITY OF SANGER, TEXAS, a municipal corporation 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 Certificate at the principal corporate trust office of , or its successor (the "Paying Agent/Registrar"), the principal amount identified above (or so much thereof as shall not have 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 Dated Date identified above or the most recent interest payment date to which interest has been paid or duly provided for. Interest on this Certificate is payable on March 1, 2007, and each March 1 and September 1 thereafter until maturity or earlier redemption of this Certificate, 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 fifteenth day of the calendar month immediately preceding the applicable interest payment date, as shown on the registration books kept by the Paying Agent/Registrar. Any accrued interest payable at maturity or earlier redemption shall be paid upon presentation and surrender of this Certificate at the principal corporate trust office of the Paying Agent/Registrar. THIS CERTIFICATE IS ONE OF A DULY AUTHORIZED SERIES OF CERTIFICATES (the "Certificates") in the aggregate principal amount of $3,500,000 issued pursuant to an ordinance adopted by the City Council of the City on June 13, 2006 (the "Ordinance") for the purpose of providing all or part of the funds to pay contractual obligations to be incurred for the construction of public works and the purchase of materials, supplies, equipment, machinery, buildings, land and rights -of --way for authorized needs and purposes and for the payment of contractual obligations for professional services, to wit (i) improvements to 10 HOU:2602319.1 the water and sewer system, including new wells, tanks and lines and replacing existing lines within the City, and (ii) professional services rendered in connection with the above listed projects. THIS CERTIFICATE shall not be valid or obligatory for any purpose or be entitled to any benefit under the Ordinance unless this Certificate either (i) is registered by the Comptroller of Public Accounts of the State of Texas by due execution of the registration certificate endorsed hereon or (ii) is authenticated by the Paying Agent/Registrar by due execution of the authentication certificate endorsed hereon. THE CITY RESERVES THE RIGHT, at its option, to redeem, prior to their maturity, Certificates maturing on and after March 1, 2017, in whole or in part, on March 1, 2016, or any date thereafter, at par plus accrued interest to the date fixed for redemption. CERTIFICATES MAY BE REDEEMED IN PART only in integral multiples of $5,000. If a Certificate subject to redemption is in a denomination larger than $5,000, a portion of such Certificate may be redeemed, but only in integral multiples of $5,000. In selecting portions of Certificates for redemption, each Certificate shall be treated as representing that number of Certificates of $5,000 denomination which is obtained by dividing the principal amount of such Certificate by $5,000. Upon surrender of any Certificate for redemption in part, the .Paying Agent/Registrar, in accordance with the provisions of the Ordinance, shall authenticate and deliver in exchange therefor a Certificate or Certificates of like maturity and interest rate in an aggregate principal amount equal to the unredeemed portion of the Certificate so surrendered. NOTICE OF ANY SUCH REDEMPTION, identifying the Certificates 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 AgentlRegistrar, 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 Certificates called for redemption. If such notice of redemption is given, and if due provision for such payment is made, all as provided above, the Certificates 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 CERTIFICATE 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 CERTIFICATE IS EXCHANGEABLE at the principal corporate trust office of the Paying Agent/Registrar for a Certificate or Certificates 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. 11 HOU:2602319.1 THE PAYING AGENT/REGISTRAR is not required to accept for transfer or exchange any Certificate called for redemption, in whole or in part, during the forty-five (45) day period immediately prior to the date fixed for redemption; provided, however, that such limitation shall not apply to the transfer or exchange by the Registered Owner of an unredeemed portion of a Certificate called for redemption in part. THE CITY OR PAYING AGENT/REGISTRAR may require the Registered Owner of any Certificate to pay a sum sufficient to cover any tax or other governmental charge that maybe imposed in connection with the transfer or exchange of a Certificate. 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 Certificate 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 Certificate 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 Certificate have been performed, exist and have been done in accordance with law; that the Certificates 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 Certificate,.. 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. IT IS FURTHER DECLARED AND REPRESENTED that the revenues to be derived from the City's water and sewer system, after the payment of all operation and maintenance expenses thereof (the "Net Revenues"), in an amount not to exceed $10,000, are pledged to the payment of the principal of and interest on the Certificates, provided that the pledge of Net Revenues is and shall be junior and subordinate in all respects to the pledge of Net Revenues to the payment of any obligation of the City, whether authorized heretofore or hereafter, which the City designates as having a pledge senior to the pledge of the Net Revenues to the payment of the Certificates. The City also reserves the right to issue, for any lawful purpose at any tune, in one or more installments, bonds, certificates of obligation and other obligations of any kind, secured in whole or in part by a pledge of Net Revenues, that maybe prior and superior in right to, on a parity with, or junior and subordinate to the pledge of Net Revenues securing the Certificates. 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 Certificates assent by acceptance of the Certificates. IN WITNESS WHEREOF, the City has caused its corporate seal to be impressed or placed in facsimile hereon and this Certificate to be signed by the Mayor, countersigned by the City Secretary by their manual, lithographed or printed facsimile signatures. 12 HOU:2602319.1 CITY OF SANGER, TEXAS Mayor (SEAL) COUNTERSIGNED: City Secretary HOU:2602319.1 FORM OF COMPTROLLER' S REGISTRATION CERTIFICATE The following form of Comptroller's Registration Certificate shall be attached or affixed to each of the Certificates initially delivered: THE STATE OF TEXAS REGISTER NO. OFFICE OF THE COMPTROLLER OF PUBLIC ACCOUNTS I hereby certify that this certificate has been examined, certified as to validity and approved by the Attorney General of the State of Texas, and that this certificate has been registered by the Comptroller of Public Accounts of the State of Texas. WITNESS MY SIGNATURE AND SEAL OF OFFICE this Comptroller of Public Accounts of the State of Texas [SEAL] ��� FORM OF PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE The following form of authentication certificate shall be printed on the face of each of the Certificates other than those initially delivered: AUTHENTICATION CERTIFICATE THE BANK OF NEW YORK TRUST COMPANY, N.A. I� ��� Authorized Signature Date of Authentication: 14 HOU:2602319.1 STATEMENT OF INSURANCE [TO COME] FORM OF ASSIGNMENT The following form of assignment shall be printed on the back of each of the Certificates: 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 such 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. ARTICLE V SECURITY FOR THE CERTIFICATES Section 5.1: Pledge and Levy of Taxes and Revenues. (a) To provide for the payment of principal of and interest on the Certificates, there is hereby levied, within the limits prescribed by law, for the current year and each succeeding year thereafter, while the Certificates 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 Certificates and to create and provide a sinking fund of not less than 2% of the principal amount of the Certificates 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 Certificates by deposit to the Combination Tax and Revenue Certificates of Obligation, Series 2006 Debt Service Fund and to no other purpose. l5 HOU:2602319.1 (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 Certificates, 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 Certificates remain outstanding, all moneys on deposit in, or credited to, the Combination Tax and Revenue Certificates of Obligation, Series 2006 Debt Service Fund shall be secured by a pledge of security, as provided by law for cities in the State of Texas. (c) In addition, pursuant to the authority of Chapter 1502, Texas Government Code, as amended, the City also hereby pledges the revenues to be derived from the City's water and sewer system, after the payment of all operation and maintenance expenses thereof (the "Net Revenues"), in an amount not to exceed $10,000, to the payment of the principal of and interest on the Certificates, provided that the pledge of Net Revenues is and shall be junior and subordinate in all respects to the pledge of Net Revenues to the payment of any obligation of the City, whether authorized heretofore or hereafter, which the City designates as having a pledge senior to the pledge of the Net Revenues to the payment of the Certificates. The City also reserves the right to issue, for any lawful purpose at any time, in one or more installments, bonds, certificates of obligation and other obligations of any kind, secured in whole or in part by a pledge of Net Revenues, that maybe prior and superior in right to, on a parity with, or junior and subordinate to -the. pledge. of Net Revenues securing the Certificates. Section 5.2: Debt Service Fund. The Combination Tax and Revenue Certificates of Obligation, Series 2006 Debt Service Fund is hereby created as a special fund solely for the benefit of the Certificates. 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 Certificates of Obligation, Series 2006 Debt Service Fund shall be maintained by the City in trust for the Registered Owners of the Certificates. 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 Certificates. Section 5.3: Further Proceedings. After the Certificates to be initially issued have been executed, it shall be the duty of the Mayor to deliver the Certificates to be initially issued and all pertinent records and proceedings to the Attorney General for examination and approval. After the Certificates 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 Certificates 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 Certificates to be initially issued, and the seal of said Comptroller shall be impressed, or placed in facsimile, thereon. ARTICLE VI CONCERNING THE PAYING AGENT/REGISTRAR Section 6.1: Acceptance. , is hereby appointed as the initial Paying AgentlRegistrar for the Certificates pursuant to the terms and provisions of the Paying T'7 HOU:2602319.1 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 A, 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 and affix the City's seal. 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 Certificates 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: Certificates Presented. Subject to the provisions of Section 6.4, all matured Certificates presented to the Paying Agent/Registrar for payment shall be paid without the necessity of further instructions from the City. Such Certificates shall be canceled as .provided herein. Section 6.4: � Unclaimed Funds Held by the Paving A eg nt1Re ig_strar. Funds held by the Paying Agent/Registrar that represent principal of and interest on the Certificates 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 awritten request therefor from the City. The Paying Agent/Registrar shall have no liability to the Registered Owners of the Certificates by virtue of actions taken in compliance with this Section. Section 6.5: Pa�nng A eg nt/Registrar May Own Certificates. The Paying Agent/Registrar in its individual or any other capacity, may become the owner or pledgee of Certificates with the same rights it would have if it were not the Paying Agent/Registrar. Section 6.6: Successor Paying A eng_ ts/Re 'sgLi trars. The City covenants that at all times while any Certificates are Outstanding it will provide a legally qualified bank, trust company, financial institution or other agency to act as Paying Agent/Registrar for the Certificates. The City reserves the right to change the Paying Agent/Registrar for the Certificates on not less than sixty (60) days' written notice to the Paying Agent/Registrar, as long as any such notice is effective not less than 60 days prior to the next succeeding principal or interest payment date on the Certificates. 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 17 HOU:2602319.1 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 APPLICATION OF PROCEEDS OF CERTIFICATES Section 7.1: Sale of Certificates; Execution of Purchase Agreement• Insurance. The Certificates are hereby sold and shall be delivered to the Underwriters for a price of $ (representing the par value thereof, less a net original issue discount of $ ,less an underwriter's discount of $ )plus accrued interest, in accordance with the terms of and conditions in the Purchase Agreement. The Purchase Agreement, substantially in the form attached hereto as Exhibit D, is hereby approved. The Mayor and other appropriate officials of the City are hereby authorized and directed to execute the Purchase Agreement on behalf of the City, and the Mayor and all other appropriate officials, agents and representatives of the City are hereby authorized to do any and all things necessary or desirable to satisfy the conditions set out therein and to provide for the issuance and delivery of the Certificates. It is hereby found and determined that the terms of the sale of the Certificates contained in the Purchase Agreement are the most advantageous terms reasonably obtainable by the City at this time. The City hereby acknowledges that the sale of the Certificates pursuant to the Purchase Agreement is contingent upon the issuance of a policy of municipal bond insurance from the Bond Insurer insuring the timely payment of principal of and interest on the Certificates. The purchase of such a policy and the payment of the premium therefor is hereby approved and the Mayor and other appropriate City officials are hereby authorized and directed to execute such documents and certificates and to do any and all things necessary or desirable to obtain such insurance and the printing on the Certificates of an appropriate legend or statement regarding such insurance is hereby approved. Section 7.2: Approval, Registration and Delivery. The Mayor is hereby authorized to have control and custody of the Certificates 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 Certificates and to assure the investigation, examination and approval thereof by the Attorney General and the registration of the initial Certificates by the Comptroller. Upon registration of the Certificates, 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 presci7bed herein to be attached or affixed to each Certificates initially delivered and the seal of the Comptroller shall be impressed or printed or lithographed thereon. Section 7.3: Offering Documents; Ratings. The City hereby approves the form and contents of the Official Notice of Sale, Preliminary Official Statement and the final Official Statement, dated as of the date hereof, relating to the Certificates, and any addenda, supplement or amendment thereto, and ratifies and approves the distribution of such Preliminary Official HOU:2602319.1 Statement and Official Statement in the offer and sale of the Certificates and in the reoffering of the Certificates by the Underwriter, with such changes therein or additions thereto as the officials executing same may deem advisable, such determination to be conclusively evidenced by their execution thereof. The Mayor is hereby authorized and directed to execute, and the City Secretary is hereby authorized and directed to attest, the final Official Statement. It is further hereby officially found, determined and declared that the statements and representations contained in the Preliminary Official Statement and final Official Statement are true and correct in all material respects, to the best knowledge and belief of the City Council, and that, as of the date thereof, the Preliminary Official Statement was an official statement of the City with respect to the Certificates that was deemed "final" by an authorized official of the City except for the omission of no more than the information permitted by subsection (b)(1) of Rule 15c2-12 of the Securities and Exchange Commission. Copies of the Preliminary Official Statement and the Official Statement are attached hereto as Exhibits B and C, respectively. Further, the City Council hereby ratifies, authorizes and approves the actions of the Mayor, the City's financial advisor and other consultants in seeking a rating on the Certificates from Moody's Investors Service, Inc. and Standard & Poor's Ratings Services and such actions are hereby ratified and confirmed. Section 7:4: Application of Proceeds --of Certificates. Proceeds from the. sale. of the --- --- Certificates shall, promptly upon receipt by the City, be applied as follows: (1) Accrued interest shall be deposited into the Combination Tax and Revenue Certificates of Obligation, Series 2006 Debt Service Fund created in Section 5.2 of this Ordinance; (2) A portion of the proceeds shall be applied to pay expenses arising in connection with the issuance of the Certificates; (3) The remaining proceeds shall be applied, together with other funds of the City, to provide funds to pay contractual obligations to be incurred for the purposes set forth in Section 3.1 of this Ordinance. Section 7.5: Tax Exemption. The City intends that the interest on the Certificates 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 Certificates. For this purpose, the City covenants that it will monitor and control the receipt, investment, expenditure and use of all gross proceeds of the Certificates (including all property the acquisition, construction or improvement of which is to be financed directly or indirectly with the proceeds of the Certificates) 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 interest on the Certificates to be and remain excludable from the gross income, as defined in Section 61 of the Code, of the owners of the Certificates for federal income tax purposes. Without limiting the generality of the foregoing, the City shall comply with each of the following covenants: 19 HOU:2602319.1 (a) The City will use all of the proceeds of the Certificates to (i) provide funds to pay contractual obligations to be incurred for the purposes set forth in Section 3.1 hereof, which will be owned and operate3 by the City and (ii) to pay the costs of issuing the Certificates. The City will not use any portion of the proceeds of the Certificates to pay the principal of or interest or redemption premium on, any other obligation of the City or a related person. (b) The City will not directly or indirectly take any action, or omit to take any action, which action or omission would cause the Certificates to constitute "private activity bonds" within the meaning of Section 141(a) of the Code. (c) Principal of and interest on the Certificates will be paid solely from both ad valorem taxes and pledged revenues collected by the City, investment earnings on such collections, and as available, proceeds of the Certificates. (d) Based upon all facts and estimates now known or reasonably expected to be in existence on the date the Certificates are delivered, the City reasonably expects that the proceeds of the Certificates will not be used in a manner that would cause the Certificates or any portion thereof to be an "arbitrage bond" within the meaning of Section 148 of the Code. __ (e) _ _ _ At _all .times while_ the__ Certificates. _are outstanding, the City will identify and properly account for all amounts constituting gross proceeds of the Certificates in accordance with the Regulations. The City will monitor the yield on the investments of the proceeds of the Certificates 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 Certificates. To the extent necessary to prevent the Certificates 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 Certificates to be less than the yield that is materially higher than the yield on the Certificates. (f) The City will not take any action or knowingly omit to take any action that, if taken or omitted, would cause the Certificates to be treated as "federally guaranteed" obligations for purposes of Section 149(b) of the Code. (g) The City represents that not more than fifty percent (50%) of the proceeds of the Certificates will be invested in nonpurpose investments (as defined in Section 148(f)(6)(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 expects that at least eighty-five percent (85%) of the spendable proceeds of the Certificates will be used to carry out the governmental purpose of the Certificates within the three-year period beginning on the date of issue of the Certificates. (h) 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 Certificates, 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 Certificates as maybe 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 20 HOU:2602319.1 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 Certificate 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 any 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 gross proceeds of the Certificates 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, interest thereon and any penalty. (i) The City will not directly or 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 Certificates that might result in a reduction in the amount required to be paid to the federal government because such arrangement results in a smaller profit or a larger loss than would have resulted if such arrangement had been.. at arm's length and had the yield on he Certificates_ not - been relevant to either party. (j) 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 Certificates on such form and in such place as the Secretary may prescribe. (k) The City will not issue or use the Certificates as part of an "abusive arbitrage device" (as defined in Section 1.148-1O(a) of the Regulations). Without limiting the foregoing, the Certificates 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. (1) Proper officers of the City charged with the responsibility for issuing the Certificates are hereby directed to make, execute and deliver certifications as to facts, estimates or circumstances in existence as of the date of issuance of the Certificates and stating whether there are facts, estimates or circumstances that would materially change the City's expectations. On or after the date of issuance of the Certificates, the City will take such actions as are necessary and appropriate to assure the continuous accuracy of the representations contained in such certificates. (m) The covenants and representations made or required by this Section are for the benefit of the Certificate holders and any subsequent Certificate holder, and maybe relied upon by the Certificate holders and any subsequent Certificate holder and bond counsel to the City. 21 HOU:2602319. I 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 Certificates 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 7.5 all survive the defeasance and discharge of the Certificates for as long as such matters are relevant to the exclusion of interest on the Certificates from the gross income of the owners for federal income tax purposes. Section 7.6: Related Matters. In order that the City shall satisfy in a timely manner all of its obligations under this Ordinance, the Mayor, 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 Certificates, 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: Annual Reports. The City shall provide annually to each NRMSIR and any SID, within six months after the end of each fiscal year ending in or after 2006, financial information and operating data with respect to the City of the general type included in the final Official Statement authorized by Section 7.3 of this Ordinance, being the financial information and operating data described in the Official Statement under the captions "INVESTMENT AUTHORITY AND INVESTMENT OBJECTIVES OF THE DISTRICT — Current Investments," "CITY TAX DEBT," "TAX DATA (except under the subheading "Estimated Overlapping Taxes")," "SELECTED FINANCIAL DATA" and in Appendix B to the Official Statement. Any financial statements so to be provided shall be (1) prepared in accordance with the accounting principles described in Appendix B to the Official Statement and (2) 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 so provided, then the City shall provide audited financial statements for the applicable fiscal year to each NRMSIR and any SID, when ana if audited financial statements become available. If the City changes its fiscal year, it will notify each NRMSIR and any SID 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 Section. The financial information and operating data to be provided pursuant to this Section may be set forth in full in one or more documents or may be included by specific reference to any document (including an official statement or other offering document, if it is available from the MSRB) that theretofore has been provided to each NRMSIR and any SID or filed with the SEC. 22 HOU:2602319.1 Section 8.2: Material Event Notices. The City shall notify any SID and either each NRMSIR or the MSRB, in a timely manner, of any of the following events with respect to the Certificates, if such event is material within the meaning of the federal securities laws: (a) Principal azd interest payment delinquencies; (b) Non-payment related defaults; (c) Unscheduled draws on debt service reserves reflecting financial difficulties; (d) Unscheduled draws on credit enhancements reflecting financial difficulties; (e) Substitution of credit or liquidity providers, or their failure to perform; (f) Adverse tax opinions or events affecting the tax-exempt status of the Certificates; (g) Modifications to rights of holders of the Certificates; (h) Certificate calls; (i) Defeasances; (j) Release, substitution, or sale of property securing repayment of the Certificates; and (k) Rating changes. The City shall notify any SID and either each NRMSIR or 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: 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 Certificates within the meaning of the Rule, except that the City in any event will give the notice required by Section 8.2 of any Certificate 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 Certificates, and nothing in this Article, express or implied, shall give any benefit or any legal or equitable right, remedy, or claim hereunder to any other person. The City undertakes to provide only the financial information, operating data, financial 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 as 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 Certificates at any future date. HOU:2602319.1 UNDER NO CIRCUMSTANCES SHALL THE CITY BE LIABLE TO THE HOLDER OR BENEFICIAL OWNER OF ANY CERTIFICATE OR ANY OTHER PERSON, IN CONTRACT OR TORT, FOR DAMAGES RESULTING IN WHOLE OR 1N 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 the 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 laws. The provisions of this Article maybe amended by the City from time to time to adapt the 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 Article, as so amended, would have permitted an underwriter to purchase_ or _ sell the Certificates in the primary offering of the Certificates 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 holders 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 Certificates 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 holder and beneficial owners of the Certificates. If the City so amends the provisions of this Article, it shall include with any amended financial information or operating data next provided in accordance with Section 8.1 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 Article 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 Article in its discretion in any other manner or circumstance, but in either case only if and to the extent that the provisions of this sentence would not have prevented an underwriter from lawfully purchasing or selling Certificates in the primary offering of the Certificates, giving effect to (a) such provisions as so amended and (b) any amendments or interpretations of the Rule. Section 8.4: Definitions. As used in this Article, the following terms have the meanings ascribed to such terms below: "MSRB" means the Municipal Securities Rulemaking Board. 24 HOU:2602319.1 "NRMSIR" means each person whom the SEC or its staff has determined to be a nationally recognized municipal securities information repository within the meaning of the Rule from time to time. "Rule" means SEC Rule 15c2-12, as amended from time to time. "SEC" means the United States Securities and Exchange Commission. "SID" means any person designated by the State of Texas or an authorized department, officer, or agency thereof as, and detei�rnined by the SEC or its staff to be, a state information depository within the meaning of the Rule from time to time. ARTICLE IX MISCELLANEOUS Section 9.1: Defeasance. Subject to Section 10.8 hereof, the City may defease the provisions of this Ordinance and discharge its obligations to the Registered Owners of any or all of the Certificates to pay the principal of and interest thereon in any manner permitted by law, including by depositing with .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 Certificates plus interest thereon to the date of maturity or 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, on the date the governing body of the issuer adopts or approves the proceedings authorizing the issuance of refunding bonds, 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, on the date the governing body of the issuer adopts or approves the proceedings authorizing the issuance of refunding bonds, 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), maybe 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 Certificates 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 Certificates shall no longer be regarded to be 25 HOU:2602319.1 Outstanding or unpaid. Any surplus amounts not required to accomplish such defeasance shall be returned to the City. Section 9.2: Ordinance aContract -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 Certificate 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 Certificates 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 Certificates, no such amendment, addition, or rescission shall (i) extend the time or times of payment of the principal of and interest on the Certificates, reduce the principal amount thereof, the redemption price, or the rate of interest thereon, or in any other way modify the terms of payment of the principal of or interest on the Certificates, (ii) give any preference to any Certificate over any other Certificate, or (iii) reduce the aggregate principal amount of Certificates required to be held by Registered Owners for consent to any such amendment, addition, or rescission. Section 9.3: Legal Holidays. In any case where the date interest accrues and becomes payable on the Certificates or principal of the Certificates matures or the date fixed for redemption of any Certificates 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 bylaw to dose with the same force and effect as if (i) made on the date of maturity or the date fixed for redemption and no interest shall accrue for the period from the date of maturity or redemption to the date of actual payment or (ii) the Record Date had occurred on the fifteenth day of that calendar month. Section 9.4: No Recourse Against City Officials. No recourse shall be had for the payment of principal of or interest on any Certificates or for any claim based thereon or on this Ordinance against any official of the City or any person executing any Certificates. Section 9.5: Further Proceedings. The Mayor, Mayor Pro-Tem, 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. Section 9.6: 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 9.7: 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 26 HOU:2602319.1 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 9.8: Repealer. All orders, resolutions and ordinances, or parts thereof, inconsistent herewith are hereby repealed to the extent of such inconsistency. Section 9.9: Emergency. It is hereby officially found and determined that this Ordinance relates to an immediate public emergency affecting life, health, property and the public peace, and that such emergency exists, the specific emergency being that the proceeds from the sale of the Certificates are required as soon as possible for necessary and urgently needed improvements, and that this Ordinance be passed and approved on the date of its introduction. Section 9.10: Effective Date. This Ordinance shall be in force and effect from and after its passage on the date shown below. 27 HOU:2602319. l PASSED AND APPROVED on first reading pursuant to Section 3.10 of the City Charter this June , 2006. CITY OF SANGER, TEXAS Mayor ATTEST City Secretary (SEAL) Exhibit A -Paying Agent/Registrar Agreement Exhibit B -Preliminary Official Statement Exhibit C -Official Statement Exhibit D -Purchase Agreement Exhibit E —Insurance Provisions S-1 HOU:26023 t 9.1 CERTIFICATE FOR ORDINANCE THE STATE OF TEXAS § COUNTIES OF SMITH AND CHEROKEE § CITY OF SANGER § We, the undersigned officers of the City of Sanger, Texas (the "City"), hereby certify as follows: I . The City Council of the City convened in a regular meeting on August 7, 2006, at the regular meeting place thereof, within the City, and the roll was called of the duly constituted officers and members of the City Council, to wit: Joe Higgs Mike James Glenn Ervin Mike Walker Andy Garza Robert Patton Mayor Councilman, Place 1 Councilman, Place 2 Councilman, Place 3 Councilman, Place 4 Councilman, Place 5 and all of such persons were present, thus constituting a quorum. Whereupon, among other business, the following was transacted at said meeting: a written AN ORDINANCE AUTHORIZING THE ISSUANCE OF CITY OF SANGER, TEXAS CERTIFICATES OF OBLIGATION, SERIES 2006; PRESCRIBING THE TERMS AND FORM THEREOF; PROVIDING FOR THE PAYMENT OF THE PRINCIPAL THEREOF AND INTEREST THEREON; AWARDING THE SALE THEREOF; AUTHORIZING THE PREPARATION AND DISTRIBUTION OF AN OFFICIAL STATEMENT TO BE USED IN CONNECTION WITH THE SALE OF THE CERTIFICATES; AUTHORIZING THE PURCHASE OF BOND INSURANCE; MAKING OTHER PROVISIONS REGARDING SUCH CERTIFICATES, INCLUDING USE OF THE PROCEEDS THEREOF, AND MATTERS INCIDENT THERETO; AND DECLARING AN EMERGENCY (the "Ordinance") was duly introduced for the consideration of the City Council and read in full. It was then duly moved and seconded that the Ordinance be adopted on first reading; and, a$er due discussion, such motion, carrying with it the adoption of the Ordinance, prevailed and carried by the following vote: AYES: NAYS ABSTENTIONS: HOU:2602319.1 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 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 AND SEALED this August 7, 2006. City Secretary CITY OF SANGER, TEXAS (SEAL) Mayor CITY OF SANGER, TEXAS S-1 HOU:26023 t 9.1 Date: August 4, 2006 To: Honorable Mayor and City Council From: Jack Smith, City Manager Re: Item # 6 -Increasing the Amount of Return Check Fees The normal fee the City currently charges is $25.00, however, the City is receiving more and more insufficient checks each month. Staff is recommending to go up between $30.00 - $35.00 for insufficient check fees. Date: August 4, 2006 To: Honorable Mayor and City Council Fr: Rose Chavez, City Secretary/Assistant City Manager Re: Resolution #08-14-06 This is the first step of a new annexation process. The Resolution and property information are attached along with a map of the location of the properties. The Mayor has requested these annexations. RESOLUTION NO.0844-06 A RESOLUTION SETTING A DATE, TIME AND PLACE FOR PUBLIC HEARINGS ON PROPOSED ANNEXATION OF CERTAIN PROPERTY BY THE CITY OF SANGER, AND AUTHORIZING AND DIRECTING THE PUBLICATION OF NOTICE OF SUCH PUBLIC HEARINGS NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANGER, TEXAS: That such Public Hearings will be held by the Governing Body of the City of Sanger, in the City Hall at 7:00 P.M. on August 21, 2006, and on September 4, 2006 in the City Hall at 7*00 P.M., for the purpose of considering annexation into the City limits of the following described property. RAILROAD R.O.W. AS RECORDED IN THE DEED RECORDS OF DENTON COUNTY FROM F.M. 455 TO THE COOKE COUNTY LINE A0029A R. BEBEE, TRACT 22B, ACRES 2.1500 PASSED AND APPROVED, this 3rd day of August, 2006. Approved: Mayor, Joe Higgs Attest: Rosalie Chavez, City Secretary APPROVED AS TO FORM: City Attorney Page 1 of 1 �ener•a8 �r�f�rati�sn Nevvs FAQ Searches � Property ID Search � Account Search � Owner Search � Address Search � Advanced Search Pr�aperty Data � Detail Sheet � History � Datasheet C3ti�er � Reports � Resources and Forms � Supplements � Employment e Online Maps/GIS � Appraisal Analysis � G(S Help 2005 Tax Rates � Public Notices � G1S Data Downloads � Disclaimer History ®ent®n Central .Appraisal ®istrict This website naw shows ?006 Certiited ��alues Property Detail Sheet {R167602} GIS Map � �,� Datasheet Owner Information Owner ID: 0529679 Owner Name: TRIBE INVESTMENTS Owner Address: 1110 E COLLINS BLVD STE 135 RICHARDSON,TX 75081-2340 Property Address: FM455 Parcel Information Legal Description: A0029A R. BEBEE, TRACT 22B, ACRES 2.1500 Acreage: 2.15 Cross Reference: A0029A-000-0022-0001 Undivided Interest: 100% Exemption Codes: Entity Codes: G01 (Denton County) S14 (Sanger ISD) Deed Type: WD With Vendors Lien Deed Book: Deed Page: 03-187654 Map Page: Click_here to view your 2006 certified values and prior history. Land ID Type SPTB Acre Market Land1 3 (Pasture) D2 (D2 -Non Ag Use Acreage) 2.15� Unavailable I�� �,�1t�t�e• �' ' *Adobe Acrobat Reader 5.0 (minimum) is required to view pdf documents. j _tt�a�ler,� ,Acrobat Reader is a free program available here. http://www. dentoncad.com/Appraisal/PublicAccess/PropertyDetail. aspx?PropertyID=239... 08/03/2006 R1676O2 Page 1 of 1 Current t7wnefNINAf egal Deficript�on F�tempfions Apprats'ed TRIBE INVESTMENTS (0529679) A0029A R. BEBEE, TRACT 22B, ACRES 2.1500 Unavailable 1110 E COLLINS BLVD STE 135 RICHARDSON,TX 75081-2340 Ent+t+es ,�NeNN, kioNINAmesfVINeaIV Id C aA G011 S14 NIA S)(us Addle r Hlsty jwtfQtti9rf _ ffi x c u� z p� FM455 20062006 200��vN 2003 IN Imp HS $0 IN Imp NHS $0 s §ales Land HS $0 �, Daie Vo(ume Page Seileri(ame �' Land NHS $161929 $15,990 $109615 03-187654 PHILLIPS, RONNIE Ag Mkt $0 - - $17,615 03-187651 J & L PARTNERS Ag Use $0 $1,423 Tim Mkt $0 - - - Tim Use $0 HS Cap Assessed $16,929 $15,990 $101615 $1,423 - fm roe dot Sketc ,n ,._uriditAtittftes .._. ,> a m, N, ...__�� �.., �Constructloh Foundation.; ; , Exterior Interior Roof.- .; Fioor7n" I ; HeaHAC Baths ; fireplace = YeaeBuiit; Rooms, ; eetlrooms .: Type,11IDescription `Area Y-11 ear Built IV EffYear Value -AV i atsi segmerit� NN el . _ SP76 Descnpfiori� Area Market Ag Value D2 Pasture 2,15000 Date: August 4, 2006 To: Honorable Mayor and City Council Fr: Rose Chavez, City Secretary/Assistant City Manager Re: Centurion There is a separate packet of information enclosed with your packet regarding this item. This is a discussion item only. imm, .' • U M CMEM098 August 4, 2006 To: Mayor Joe Higgs Glenn Ervin Andy Garza Robert Patton Mike Walker Mike James Rose Chavez Candace Murphree From: Jack Smith Subject: Appointments to Boards Since the Council only approved the criteria for board appointments last A. meeting, we will advertise and follow the criteria to present the Council with a list as soon as possible. Date: August 4, 2006 To: Honorable Mayor and City Council Frorn: Rose Chavez, City Secretary/Assistant City Manager Re: Item # 9 -Appointing Members to Keep Sanger Beautiful Board Mrs. Higgs is needing to appoint at least two members to this board. Their recommendations are Kem Green and Alice Madden. They both completed applications and have requested to serve on this board. city of p BOARD AND COMMISSION APPLICATION NAME: Kern Green DATE: July 5, 2006 ADDRESS: 1002 Keaton Road PO Box 93 Sanger, Texas 76266 HOME PHONE: EMAIL: OCCUPATION: (If retired, indicate former occupation or profession) Mortgage Broker PRIOR SERVICE ON A CITY BOARD/COMMISSION? YES NO IF YES, PLEASE DESCRIBE: PLEASE NUMBER IN ORDER OF PREFERENCE THE BOARD/COMMISSION YOU ARE INTERESTED IN SERVING(WITH 1 FOR FIRST PREFERENCE): 6 BOARD OF ADJUSTMENT 5 BUILDING STANDARD BOARD 4 HISTORIC PRESERVATION COMMISSION 1 KEEP SANGER BEAUTIFUL BOARD 7 LIBRARY BOARD 2 PARKS BOARD 3 PLANNING AND ZONING COMMISSION 8 SULLIVAN SENIOR CENTER BOARD LIST QUALIFICATIONS INCLUDING PROFESSIONAL AND/OR COMMUNITY ACTIVITIES: MAKE YOU A GOOD CANDIDATE FOR THE ABOVE POSITION(S): Sanger Area Chamber of Commerce 1.5 years Keep Granbury Beautiful 4 years Keep Granbury Beautiful 3 years Sanger Food Pantry 1 year Sanger Chamber Safe Spook 3 years Historical Downtown Sanger 4 months Little Angel Program 2 years Clothing Cumberland's Children 1 year Sanger Summer League 1 year Do you understand that attendance and active support is required for each appointee? X yes no l Signature: i� � MA Date:_ RETURN COMPLETED APPLICATION TO: Office of the City Secretary City of Sanger 201 Bolivar Street City of BOARD AND COMMISSION APPLICATION NAME: / \� a � DATE: ADDRESS: f CZ HOME PHONE:&.. � ._ �, BUSINESS PHONE: CELL PHONE: _ EMAIL: -- OCCUPATION: (If retired, indicate former occupation or profession) PRIOR SERVICE ON A CITY BOARD/COMMISSION? YES �-�' NO IF YES, PLEASE DESCRIBE: 44 oviv/ ';ep 98f -Feazj/ PLEASE NUMBER IN ORDER OF PREFERENCE THE BOARD/COMMISSION YOU ARE INTERESTED IN SERVING WITH 1 FOR FIRST PREFERENCE): BOARD OF ADJUSTMENT . BUILDING STANDARD BOARD HISTORIC PRESERVATION COMMISSION KEEP SANGER BEAUTIFUL BOARD CZL LIBRARY BOARD PARKS BOARD PLANNING AND ZONING COMMISSION SULLIVAN SENIOR CENTER BOARD LIST QUALIFICATIONS INCLUDING PROFESSIONAL AND/OR COMMUNITY ACTIVITIES: MAKE YOU skG00D CAIDATE FOR THE A OVE POSITION(S): P�IeJv ilC �i?C Do you un ersttna at en ante and ac iv ppo is required for eac app tee? i/ es no Signature:�Date: RETURN COMPLETED APPLICATION TO. Office of the City Secretary City of Sanger 201 Bolivar Street This information will become a public record. Date: August 4, 2006 To: Honorable Mayor and City Council From: Jack Smith, City Manager Re: Item # 10 -Expenses on Phase II of Sewer Plant Expansion This item was discussed during the workshop of July 31, 2006. In order to continue Phase iI of the new sewer plant expansion, staff is needing authorization to utilize sewer capital reserve funds. Carter®Burgess CITY OF BANGER P.O. BOX 1729 SANGER, TX 76266 ATTN: ROSALIE CHAVEZ Invoice No. July 1232006 Project No. 023372.010 SANGER WWTP Billing No. 15 FOR PROFESSIONAL SERVICES: For professional and technical services required for planning and design services for the Sanger Clear Creek WWTP, Phase I as outlined in the Letter of Agreement approved on April 4, 2005. PHASEI TASK Master Plan Planning Engineering Report TPDES Permit Application Subtotal Basic Services PHASE II TASK 30% WWTP 30% SS LINE 75% WWTP 75% SS LINE Subtotal Basic Services PHASE III TASK 90% WWTP 90% SS LINE 100% WWTP 100% SS LINE Subtotal Basic Services PHASE IV TASK BIDDING (WWTP) BIDDING (SS LINE) Subtotal Basic Services PERCENT PREVIOUS CURRENT TOTAL FEE COMPLETE BILLINGS BILLINGS BILLINGS $ 25,800.00 87.0% $ 22,446.00 $ - $ 22,446.00 $ 395300.00 100.0% $ 399300.00 $ - $ 393300.00 $ 245200.00 53.7% $ 121995.00 $ - $ 121995.00 $ 191900600 95.0% $ 181905.00 $ - $ 182905.00 $ 1091200.00 $931646.00 $0.00 $93,646.00 SUBTOTAL DUE PHASE 1 $0.00 $ 14 75 200.00 7.4% $ - $ 13;000.00 $ 131000.00 $ 12,100.00 10.0% $ - $ 1,210.00 $ 13210.00 $ 243,200.00 0.0% $ - $ - $ - $ 25,300.00 0.0% $ $ - $ $ 455,800.00 $0.00 $14,210.00 $14,210900 SUBTOTAL DUE PHASE II $149210.00 $ 179400.00 0.0% $- $ 391700.00 0.0% $ - $ - $ - $ 93000900 0.0% $ - $ - $ - $ 220,600.00 $0.00 $0.00 $0.00 SUBTOTAL DUE PHASE III $0.00 $ 263600.00 0.0% $ - $ - $ - $ 157900.00 0.0% $ - $ - $ - $ 421500.00 $0.00 $0.00 $0.00 SUBTOTAL DUE PHASE IV $0.00 Terms: 15 days: Please reference invoice #with all payments. Remit To: Carter & Burgess, Inc., P.O. Box 972432, Dallas, TX 75397-2432 7950 Elmbrook Drive, Dallas, TX 752474951 214.638.0145 Wire Transfer: Bank One, Texas, ABA #1 11 000 614, Credit: Carter & Burgess, Account #1881137242 Carter & Burgess, Inc. Carter & Burgess Consultants, Inc. C&B Architects/Engineers, Inc. C&B Architects/Engineers, P.C. C&B Nevada, Inc. PHASE V TASK CONSTRUCTION ADMIN (WWTP) $ 122,800.00 0.0% $ - $ - $ - CONSTRUCTION ADMIN (SS LINE) $ 38,600.00 0.0% $ - $ - $ RECORD DRAWINGS (WWTP) $ 6,100.00 0.0% $ - $ - $ RECORD DRAWINGS (SS LINE) $ 11900000 0.0% $ - $ - $ Subtotal Basic Services $ 169,400.00 $0.00 $0.00 $0.00 SUBTOTAL DUE PHASE V $0.00 SUBTOTAL FOR BASIC SERVICES PHASE 1 $ - PHASE 2 $ 14,210.00 PHASE 3 $ - PHASE 4 $ - PHASE 5 $ - ADDITIONAL SERVICES SCADA SYSTEM $ 1,600.00 0.0% TOTAL AMOUNT DUE $14,210.00 023372.010.14: M D H /am I Date: August 4, 2006 To: Honorable Mayor and City Council Fr: Rose Chavez, City Secretary/Assistant City Manager Re: Ordinance #08-10-06 -Election Order Attached is the ordinance regarding this item. This will order the special election to be held November 7`" and also appoint Judy Yoast as Election Judge and Sandra Tostado as Alternate Judge. City of Sanger, TEXAS ORDINANCE #0840-06 ORDERING A SPECIAL ELECTION TO BE HELD ON NOVEMBER 7, 2006 TO AMEND THE HOME RULE CHARTER WHEREAS, the City of Sanger, a Home Rule City located in Denton County, Texas, created in accordance with the provisions of the Texas Local Government Code and operating pursuant to the enabling legislation of the State of Texas; NOW, THEREFORE, BE IT ORDERED BY THE CITY COUNCIL OF THE CITY OF SANGER, TEXAS, THAT: SECTION 1. INCORPORATION OF PREMISES The above and foregoing premises are true and correct and are incorporated herein and made a part hereof for all purposes. SECTION Z. 2.01 The City Council of the City of Sanger hereby orders that a Special Election be held on November 7, 2006, being the first Tuesday following the first Monday in November, 2006 for the purpose of amending the home rule Charter of The City of Sanger, Texas. 2.02 The ballots for said election shall be prepared in accordance with the applicable provisions of the Texas Election Code so that voters may cast their ballots either "FOR" or "AGAINST" the proposition on the ballot. SECTION III The election shall be conducted in accordance with the Texas Election Code and the Ordinances of the City of Sanger. The entire City of Sanger constitutes one single voting precinct. Voting in said election will be conducted on Tuesday, November 7, 2006, at Sanger City Hall located at 201 Bolivar St, Sanger, Texas, 76266, between the hours of 7#00 a.m. and 7000 p.m. Early voting by personal appearance shall be conducted each work day at Sanger City Hall between the hours of 8:00 a.m. and 5:00 p.m. beginning Monday, October 23, 2006 and ending on Friday, November 3, 2006 excepting the observation of a legal state or national holiday as provided for in Section 85.005 (b) of the Texas Election Code. SECTION IV In accordance Nith Texas Election Code, Section 83.005, the Early Voting Clerk for said election shall be the City Secretary, Rose Chavez. The mailing address for the Early Voting Clerk is P.O. Box 1729, Sanger, Texas 76226. In accordance with Texas Election Code Section, 83.032, the Deputy Early Voting Clerks shall be designated staff members and/or persons employed by the Early Voting Clerk. Any non -staff person employed as an early voting clerk shall be compensated for their services at a rate of $8.00 per hour. SECTION V In accordance with Section 32.051 of the Texas Election Code, the following named person is hereby appointed Presiding Election Judge for the purposes of conducting said election. Judy Yoast, 610 S.:5 Street, Sanger, Texas 76266 In the Event the Presiding Election Judge cannot serve, and in accordance with Section 32.051 of the Texas Election Code, the following named person is hereby appointed Alternate Election Judge and shall serve as Presiding Election Judge: Sandra Tostado9111 Southside Dr., Sanger, Texas 76266 The Presiding Election Judge shall appoint two (2) election clerks, one of which may be the Alternate Election Judge, to assist the Judge in conducting the election. The above referenced appointed Election Officers and Clerks for said election shall be compensated for their services at a rate of $ 8.00 per hour. Additionally, the Presiding Election Judge or Clerk who delivers the election records to the Denton County Clerk's Office shall be compensated by the additional sum of $25.00. SECTION VI In accordance with Texas Election Code, Section 87.003, the following named person is hereby appointed Presiding Early Voting Ballot Board Judge for the purposes of processing early voting results received from the Early Voting Clerk. Judy Yoast, 610 S. 5" Street, Sanger, Texas 76266 The Early Voting Ballot Board Judge shall appoint two (2) persons in the same manner as the election clerks to serve as members of the Early Voting Ballot Board. SECTION VII Notice of the Election shall be given by posting a notice of election in both English and Spanish at Sanger City Hall located at 201 Bolivar Street, Sanger, Texas 76266 , on the bulletin board not later than twenty-one (21) days prior to the date upon which the Election is to be held, and by publication of said notice at least once in the official newspaper of the City, being a newspaper of general circulation within the City, the date of said publication to be not less than ten (10) days nor more than thirty (30) days prior to the date set for the Election. Upon publication of the election notice, the City Secretary shall secure a publisher's affidavit. In addition thereto, a copy of the notice shall also be filed with the City Secretary at least twenty-one (21) days before the Election. SECTION VIII The City Secretary of the City of Sanger is hereby directed to post a properly executed copy of this "Order of Election" at Sanger City Hall immediately upon passage, where it shall remain until the first business day following Election Day. A copy of this order shall be retained with the other records of the election in accordance with the TEXAS ELECTION CODE. SECTION IX. The City Secretary shall present the election returns to the City Council which shall canvass the returns and declare the results not earlier than the eight (8th) day nor later than the eleventh (11 th) day after the election in accordance with the TEXAS ELECTION CODE, SECTION X. That this ordinance shall take effect immediately from and after its passage, as the law in such cases provides AND IT IS SO ORDAINED. PASSED AND APPROVED by a vote of to this the 7t" Day of August 2006. (Seal) APPROVED: Joe Higgs, Mayor ATTEST: Rose Chavez, City Secretary Date: August 4, 2006 To: Honorable Mayor and City Council Fr: Rose Chavez, City Secretary/Assistant City Manager Re: Ordinances 08-08-06 and #08-09-06 Both of these ordinances are attached. This is the final step in the annexation process. All public hearings have been held and notices have been published as required. City of Sanger, Texas ORDINANCE NO.08-0&06 AN ORDINANCE ANNEXING THE HEREINAFTER DESCRIBED TERRITORY TO THE CITY OF SANGER, TEXAS AND EXTENDING THE BOUNDARIES OF SAID CITY SO AS TO INCLUDE SAID HEREINAFTER DESCRIBED PROPERTY WITHIN THE CITY LIMITS, AND GRANTING TO SAID TERRITORY AND TO ALL FUTURE INHABITANTS OF SAID PROPERTY ALL OF THE RIGHTS AND PRIVILEGES OF OTHER CITIZENS AND BINDING SAID FUTURE INHABITANTS BY ALL OF THE ACTS AND ORDINANCES OF SAID CITY. WHEREAS, the city is authorized to annex territory in accordance with V.T.C.A., Local Government Code, Section 43.021 and its home -rule charter and by statute; WHEREAS, said territory proposed to be annexed is within the city's extraterritorial jurisdiction and is contiguous to the city; WHEREAS, the city has prepared a service plan for said territory which is attached as Exhibit 'A" to this ordinance; WHEREAS, the City has published notice of hearings on said annexation and held hearings as required by state law; and WHEREAS, after hearing arguments for and against the same, the governing body has voted to annex said territory into the City under the authority of Section 43.033 of the Local Government Code. NOW, THEREFORE, BE IT ORDAINED BY THE GOVERNING BODY OF THE CITY OF SANGER, TEXAS: SECTION l: That territory hereinafter described is hereby annexed into the city, and that the boundary limits of the City are hereby extended to include said territory within the city limits, and the same shall hereafter be included within the territorial limits of said city, and said land and the future inhabitants thereof shall hereafter be entitled to all rights and privileges of other citizens of the City and shall be bound by the acts and ordinances of said City. A. N.L. HOSBS, BLOCK A LOT 1 B. ABSTRACT 1241, TRACT 331, BEING 26.971 ACRES IN DENTON COUNTY Section 2: That the municipal service plan for the herein annexed territory provided in Exhibit "A" attached hereto is hereby adopted. Section 3: The City Secretary is hereby directed to file with the County Clerk and other appropriate officials and agencies, as required by estate and federal law and city annexation procedures, certified copies of this ordinance. PASSED by an affirmative vote of the City Council, Governing Body of the City of Sanger, this 7th day of August, 2006. Joe Higgs, Mayor ATTEST: Rosalie Chavez, City Secretary EXHIBIT "A" City of Sanger, Texas ANNEXATION SERVICE PLAN AREA TO BE ANNEXED A. N.L. HOBBS, BLOCK A LOT 1 B. ABSTRACT 1241, TRACT 331, BEING 26.971 ACRES IN DENTON COUNTY INTRODUCTION This service plan has been prepared in accordance with V.T.C.A., Local Government Code, Section 43.033 and 43.056. Municipal facilities and services to the annexed area described above will be provided or made available on behalf of the city at the following levels and in accordance with following schedules. POLICE PROTECTION Patrolling, responses to calls, and other police services will be provided within ten (10) days after the effective date of the annexation at the same level as provided throughout the city. FIRE PROTECTION AND FIRE PREVENTION Fire protection and fire prevention services will be provided within ten (10) days after the effective date of the annexation at the same level as provided throughout the city. EMERGENCY MEDICAL SERVICES Emergency medical services will be provided within ten (10) days after the effective date of an annexation on the same basis and at the same level as provided throughout the city. SOLID WASTE COLLECTION AND DISPOSAL Solid waste collection and disposal services will be provided within (60) days after the effective date of the annexation on the same basis and at the same level as provided throughout the city. MAINTENANCE OF WATER AND WASTEWATER FACILITIES THAT ARE NOT WITHIN THE SERVICE AREA OF ANOTHER WATER OR WASTEWATER UTILITY Maintenance of water and wastewater facilities that are not within the service area of another water or wastewater atility will be continued to be maintained immediately after the effective date of the annexation on the same basis and the same level as provided throughout the city. MAINTENANCE OF ROADS AND STREETS AND DRAINAGE Maintenance of roads and streets and drainage will be provided within (60) days after the effective date of the annexation on the same basis and at the same level as provided throughout the City. STREET LIGHTING Street lighting will be made available within sixty (60) days after the effective date of the annexation on the same basis and at the same level as provided throughout the City. MAINTENANCE OF CITY PARK AND RECREATION FACILITIES If any city park and recreation facilities are located within the annexed area, they will be maintained within si:.ty (60) days after the effective date of the annexation on the same basis and at the same level as similar facilities are maintained throughout the city. OTHER SERVICES Other services that may be provided by the city such as planning, code enforcement, animal control, library, park and recreation, court, and general administration will be made available within (60) days after the effective date of the annexation on the same basis and at the same level as provided throughout the city. CAPITAL IMPROVEMENTS Construction of water, sewer, street, and drainage facilities will begin within two (2) years after submissions of written request by landowners and payment of any development fees and construction costs required by the city in accordance with subdivision regulations and water and sewer extension policies. Construction will be completed within four and one half (44/2) years after request unless the construction process is interrupted by circumstances beyond the control of the city. No impact fees will be charged to any developer or landowner within the annexed area except in conformity with V.T.C.A., Local Government Code, ch. 395. Construction of other capital improvements shall be considered by the city in the future as the needs dictate on the same basis as such capital improvements are considered throughout the City* UNIFORM LEVEL OF SERVICES MAY NOT BE REQUIRED Nothing in this plan shall require the city to provide a uniform level of full municipal services to each area %P the city, included the annexed area, if different characteristics of topography, land use, and population density are considered a sufficient basis for providing different level A service. This service plan shall be valid for a term of ten (10) years unless the majority of landowners or registered voters of the area vote by petition submitted to the city for disannexation, then this service plan shall no longer be binding upon the city. AMENDMENTS The plan shall not be amended unless public hearings are held in accordance with V.T.A.C., local Government Ccde, Section 43.052. City of Sanger, Texas ORDINANCE NO.08=09-06 AN ORDINANCE ANNEXING THE HEREINAFTER DESCRIBED TERRITORY TO THE CITY OF SANGER, TEXAS AND EXTENDING THE BOUNDARIES OF SAID CITY SO AS TO INCLUDE SAID HEREINAFTER DESCRIBED PROPERTY WITHIN THE CITY LIMITS, AND GRANTING TO SAID TERRITORY AND TO ALL FUTURE INHABITANTS OF SAID PROPERTY ALL OF THE RIGHTS AND PRIVILEGES OF OTHER CITIZENS AND BINDING SAID FUTURE INHABITANTS BY ALL OF THE ACTS AND ORDINANCES OF SAID CITY. WHEREAS, the city is authorized to annex territory in accordance with V.T.C.A., Local Government Code, Section 43.021 and its home -rule charter and by statute; WHEREAS, said territory proposed to be annexed is within the city's extraterritorial jurisdiction and is contiguous to the city, WHEREAS, the city has prepared a service plan for said territory which is attached as Exhibit 'A" to this ordinance; WHEREAS, the City has published notice of hearings on said annexation and held hearings as required by state law; and WHEREAS, after hearing arguments for and against the same, the governing body has voted to annex said territory into the City under the authority of Section 43.033 of the Local Government Code. NOW, THEREFORE, BE IT ORDAINED BY THE GOVERNING BODY OF THE CITY OF SANGER, TEXAS: SECTION l: That territory hereinafter described is hereby annexed into the city, and that the boundary limits of the City are hereby extended to include said territory within the city limits, and the same shall hereafter be included within the territorial limits of said city, and said land and the future inhabitants thereof shall hereafter be entitled to all rights and privileges of other citizens of the City and shall be bound by the acts and ordinances of said City. A. N. L. HOB BS, BLOCK A, LOT 2 B. N. L. HOBBS, BLOCK A, LOT 3 R Section 2: That the municipal service plan for the herein annexed territory provided in Exhibit "A" attaches. hereto is hereby adopted. Section 3: The City Secretary is hereby directed to file with the County Clerk and other appropriate officials and agencies, as required by estate and federal law and city annexation procedures, certified copies of this ordinance. PASSED by an affirmative vote of the City Council, Governing Body of the City of Sanger, this 7th day of August, 2006. APPROVED: Joe Higgs, Mayor ATTEST: Rosalie Chavez, City Secretary EXHIBIT "A" City of Sanger, Texas ANNEXATION SERVICE PLAN AREA TO BE ANNEXED A. N. L. HOBBS, BLOCK A, LOT 2 Be N. L. HOBBS, BLOCK A, LOT 3 R INTRODUCTION This service plan has been prepared in accordance with V.T.C.A., Local Government Code, Section 43.033 and 43.056. Municipal facilities and services to the annexed area described above will be provided or made available on behalf of the city at the following levels and in accordance with following schedules: POLICE PROTECTION Patrolling, responses to calls, and other police services will be provided within ten (10) days after the effective date of the annexation at the same level as provided throughout the city. FIRE PROTECTION AND FIRE PREVENTION Fire protection and fire prevention services will be provided within ten (10) days after the effective date of the annexation at the same level as provided throughout the city. EMERGENCY MEDICAL SERVICES Emergency medical services will be provided within ten (10) days after the effective date of an annexation on the same basis and at the same level as provided throughout the city. SOLID WASTE COLLECTION AND DISPOSAL Solid waste collection and disposal services will be provided within (60) days after the effective date of the annexation on the same basis and at the same level as provided throughout the city. MAINTENANCE OF WATER AND WASTEWATER FACILITIES THAT ARE NOT WITHIN THE SERVICE AREA OF ANOTHER WATER OR WASTEWATER UTILITY Maintenance of water and wastewater facilities that are not within the service area of another water or wastewater utility will be continued to be maintained immediately after the effective date of the annexation on the same basis and the same level as provided throughout the city. MAINTENANCE OF ROADS AND STREETS AND DRAINAGE Maintenance of roads and streets and drainage will be provided within (60) days after the effective date of the annexation on the same basis and at the same level as provided throughout the City. STREET LIGHTING Street lighting will be made available within sixty (60) days after the effective date of the annexation on the same basis and at the same level as provided throughout the City. MAINTENANCE OF CITY PARK AND RECREATION FACILITIES If any city park and recreation facilities are located within the annexed area, they will be maintained within sixty (60) days after the effective date of the annexation on the same basis and at the same level as similar facilities are maintained throughout the city. OTHER SERVICES Other services that may be provided by the city such as planning, code enforcement, animal control, library, park and recreation, court, and general administration will be made available within (60) days after the effective date of the annexation on the same basis and at the same level as provided throughout the city. CAPITAL IMPROVEMENTS Construction of water, sewer, street, and drainage facilities will begin within two (2) years after submissions of written request by landowners and payment of any development fees and construction costs required by the city in accordance with subdivision regulations and water and sewer extension policies. Construction will be completed within four and one half (4-1/2) years after request unless the construction process is interrupted by circumstances beyond the control of the city. No impact fees will be charged to any developer or landowner within the annexed area except in conformity with V.T.C.A., Local Government Code, ch. 395. Construction of other capital improvements shall be considered by the city in the future as the needs dictate on the same basis as such capital improvements are considered throughout the City* UNIFORM LEVEL OF SERVICES MAY NOT BE REQUIRED Nothing in this plan shall require the city to provide a uniform level of full municipal services to each area of the city, included the annexed area, if different characteristics of topography, land use, and population density are considered a sufficient basis for providing different level A service. This service plan shall be valid for a term of ten (10) years unless the majority of landowners or registered voters of the area vote by petition submitted to the city for disannexation, then this service plan shall no longer be binding upon the city. AMENDMENTS The plan shall not be amended unless public hearings are held in accordance with V.T.A.C., local Government Code, Section 43.052. Date: August 4, 2006 To: Honorable Mayor and City Council Fr: Rose Chavez, City Secretary/Assistant City Manager Re: Fire House Councilman Patton requested this item be placed on the agenda for discussion. BANGER PUBLIC LIBRARY MONTHLY REPORT JULY 2006 Submitted by Victoria Elieson HIGHLIGHTS: July was the busiest month ever. More items were checked out than any previous month. Consequently, mostly routine tasks were accomplished. ADMINISTRATION: The library director was on vacation for two weeks. InfoCentre was downloaded, but not yet installed. This program will replace Athena, our current library software, and allow our catalog to be put online. COLLECTION: Continued the annual inventory. PROGRAMS: The Texas Summer Reading Club theme, "Reading: The Sport of Champions" continued to be the focus. Weekly themes were "Old - Time Games", "Exercise and Nutrition", "Reading Is a Ball", "Home Run Fun" and "Dive into Reading". Popular with the elementary age kids was a program by Professor Mago of Hogwarts. The theme of the program was that real magic comes from reading and using the imagination. After the program, everyone enjoyed birthday cake in honor of Harry Potter's birthday. The program was funded by North Texas Regional Library System through the REACH grant. JULY 2006 STATISTICS July 2005 July 2006 BORROWER CARDS Last month 3161 3416 New cards 84 93 Cards reactivated 19 15 TOTAL 3264 3524 CIRCULATION Adult Nonfiction 309 433 Nonfiction Videos 41 49 Adult Fiction 356 369 Interlibrary Loan 23 23 Junior Fiction 174 239 Children's Nonfiction 247 244 Children's Fiction 481 602 Spanish Materials 2 15 Story Sacks 5 0 Leased books 143 189 Paperback Fiction 373 340 Magazines & Misc. 20 3 Audio Books 100 129 Music CDs 65 37 Videos 418 388 DVD 315 366 Crystal 1 0 Equipment 5 1 Renewals 327 426 TOTAL 3405 3853 INTERNET USERS 604 914 PROGRAMS: Number of programs 11 13 Children Attending 132 172 Adults Attending 56 60 VOLUNTEERS Number of Adults 4 8 Number of Juniors 1 3 Number of Hours 18 78 COLLECTION: Books 15685 15870 Leased books 178 170 Paperback Fiction 2496 2457 Audio Materials 531 522 Music CDs 308 333 Video Materials 838 870 DVD 173 257 Microfilm 67 71 Equipment 3 3 CD-ROM 22 137 TOTAL COLLECTION 20301 20690 REVENUE Fines $239.15 $242.25 Copies $45.75 $105.85 ILL Postage $29.22 $29.13 Lost Materials $23.99 $23.75 New Cards $3.25 $3.00 TOTAL $341036 $403,98 co�v `�t- � "Old Fashioned Celebration storytime" Round up your preschoolers and come to the library for some more old fashiond in and games. Sanger Public Library holds three storytimes each week: Family storytime, Mondays at 7:00 pm; Elementary storytime Tues- days at 10:00am; and Preschool storytime, Wednesdays at 10:00am. Professor Mago of isit the Library Hogwarts to v Fans of Harry Potter will have a special opportunity to celebrate his birthday this year. On Tuesday, July 18, at 10:00 AM, Professor Mago of Hogwarts will give a demonstration of magic at the Sanger Public Library. Everyone is certain to believe in magic while watching Dal Sanders perform this act. Not content to merely mystify the audience, this is an entertainer who combines escape, comedy, audience participation, music, magic and most of all FUN. Dal's riveting stage presence, com- bined with his family friendly humor and amazing talent has won him plau- dits everywhere he has performed. From college stages to night-clubs, from amusement parks to shopping malls, from sea to shining sea in lavishly beau- tiful theaters, Dal Sanders has trea'P audiences of all ages to imaginative cnd entertaining shows that have resulted in his tremendous success. The energy in the room will be amazing as the audience becomes part of the show. Dal Sanders has been per- forming for over twenty years and has perfected his ability to please the audi- ence with incredible magic, laughter and fun. Please preregister your elementary - age Harry Potter an for this wonderful program. Although scheduling conflicts prevent the Professor from coming on Harry's actual birthday, we will still have birthday cake in Harry's honor. Seating is limited. Preregister by calling the Sanger Public Library at 458- 3257. ►3 PHOTO BY STEVE ROBINSON PHOTOGRAPHY .� t, t r l'/r � . ail C C � ��/✓lG/ �� G� : � -���.� 1�� ` t��- �� � �vuz kind and tl2vu�l2t�jul ex�zessivn v� s��n�at�2� is �ee�l� a��zeciate� and �zate f ull� acknv�vle��e� ��osi lr,s 8-04-2006 09:18 AM PACKET: 00606 Regular Payments VENDOR SET: 99 A/P PAYMENT REPORT PAGE: 1 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT DISC DT 99-00050 CONLEY SAND & GRAVEL I INV 6523 CONLEY SAND & GRAVEL SB99 G/L ACCOUNT AMOUNT 008 50-5360 11400.00 FLEX BASE VENDOR TOTALS REG, CHECK 99-00140 NATIONS RENT I 3207850-0001 R 8/08/2006 GROSS BALANCE 1,400.00 1,400,00 1,400.00 1,400,00 ------------------------- PLATE COMPACTOR SB99 R 8/OB/2006 G/L ACCOUNT AMOUNT 001 30-5375 206.83 PLATE COMPACTOR VENDOR TOTALS REG, CHECK 99-00310 BCI MECHANICAL 1111371 BCI MECHANICAL G/L ACCOUNT 001 15-5310 008 15-5310 VENDOR TOTALS --------------------- 99-00450 SUPER SAVE 206.83 206.83 206.83 206.83 SB99 R 8/08/2006 108.75 AMOUNT 108.75 54.37 A/C REPAIR 54.38 A/C REPAIR REG, CHECK 108.75 ------------------------------------------------------ 108.75 I 48990 BAND AIDS SB99 R 8/08/2006 5.96 Z 48991 2 49081 G/L ACCOUNT AMOUNT 5.96 001 34-5210 5.96 BAND AIDS CLIP BOARDS SB99 R 8/08/2006 3.16 G/L ACCOUNT AMOUNT 3.16 001 30-5210 3.16 CLIP BOARDS COFFEE FILTERS SB99 R 8/08/2006 5.70 G/L ACCOUNT AMOUNT 5.70 008 50-5215 5.70 COFFEE FILTERS VENDOR TOTALS REG. CHECK 14.82 -------------------------------------------------------------------------------------- 14.82 PAYMENT OUTSTANDING DISCOUNT 1,400.00CR 1,400.00CR 0.00 0.00 -------------------------- 206.83CR 206.63CR 0.00 0.00 ------------------------ 108.75CR 108.75CR 0.00 0.00 ------------------------ 5.96CR 3.16CR 5.70CR 14.82CR 0.00 0.00 ------------------------ 8-04-2006 09:18 AM A/P PAYMENT REPORT PAGE: 2 PACKET: 00606 Regular Payments VENDOR SET: 99 VENDOR ITEM NO# DESCRIPTION 99-00590 CITY OF DENTON I 48957 CITY OF DENTON G/L ACCOUNT 008 50-5377 VENDOR TOTALS ---------------.......... VENDOR SEQUENCE BANK CHECK STAT DUE DT GROSS PAYMENT OUTSTANDING DISC DT BALANCE DISCOUNT SB99 R 8/08/2006 149.00 149.00CR AMOUNT 149.00 149.00 BACT, TESTING WATER REG, CHECK 149.00 149.00CR 0.00 149.00 --.......... -----.............. 0.00 --........... -------------------------------------------------------------- - 99-00640 COMMERCIAL SERVICES I 98934 ICE MAKERS SB99 R 8/08/2006 980.00 G/L ACCOUNT AMOUNT 480.00 001 24-5420 100.00 ICE MAKERS 001 30-5310 50.00 ICE MAKERS 008 50-5310 50.00 ICE MAKERS 001 44-5310 100.00 ICE MAKERS 008 58-5420 100.00 ICE MAKERS 001 34-5310 80.00 ICE MAKERS VENDOR TOTALS REG. CHECK 480.00 480.00 99-00650 CONTINENTAL RESEARCH CORP I 248633-CRC-1 NO BITE COMBO SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 001 36-5265 126.00 NO BITE COMBO 008 36-5265 126.00 NO BITE COMBO VENDOR TOTALS REG, CHECK 99-00710 DATA BUSINESS FORMS INC. 1231158-00 12 6X10 FLAGS SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 001 30-5380 11138,40 12 6X10 FLAGS I INV 231302-00 DATA BUSINESS FORMS INC. SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 008 19-5205 103.33 DOOR KNOCKERS:INV 231302 I INV 231413-00 DATA BUSINESS FORMS INC. SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 008 58-5210 27.50 ENVELOPES:IV 231413-00 252.00 252.00 252.00 252.00 ------------------ 1,138.40 1,138.90 103.33 103.33 110.00 110.00 480.00CR 480.00CR 0.00 0.00 ------------------------ 252.00CR 252.00CR 0.00 0.00 ------------------------ 1,136.40CR 103.33CR 110.00CR 8-04-2006 09:18 AM PACKET: 00606 Regular Payments VENDOR SET: 99 A/P PAYMENT REPORT PAGE: 3 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT DISC DT 001 30-5210 27.50 ENVELOPES:IV 231413-00 001 15-5210 13.75 ENVELOPES:IV 231413-00 008 15-5210 13.75 ENVELOPES:IV 231413-00 008 54-5210 27.50 ENVELOPES:IV 231413-00 VENDOR TOTALS REG. CHECK 99-00790 COUNTY BUILDING CENTER I 10013778 COUNTY BUILDING CENTER SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 001 36-5310 1.38 INV10013778:SHOP REPAIR ITEMS 008 36-5310 1.38 INV10013778:SHOP REPAIR ITEMS I 10013830 COUNTY BUILDING CENTER SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 008 58-5250 8.88 31" TARP STRAP/ ROPE INV#13830 VENDOR TOTALS REG, CHECK 01220 INCODE I INV 43938 2 INV 44519 INCODE G/L ACCOUNT 008 58-5420 INCODE G/L ACCOUNT 008 19-5315 VENDOR TOTALS ------------------------------------------- 99-01250 INTERSTATE BATTERIES I 660106166 BATTERIES G/L ACCOUNT 008 58-5325 001 24-5325 VENDOR TOTALS ------------------------------------------- GROSS BALANCE PAYMENT OUTSTANDING DISCOUNT 1,351.73CR 0.00 0.00 ---------------------------- 2.76CR 11.69 11.64CR 0.00 11.64 --------------------------------------- 0.00 SB99 R 6/08/2006 422.00 922.00CR AMOUNT 422.00 422.00 ANNUAL HARDWARE MAINT. SB99 R 8/08/2006 865.00 865.00CR AMOUNT 865.00 865.00 INCODE: BASIC NETWORK SUPPORT REG, CHECK 11287.00 11287.00CR 0.00 --------------------------------------------------------------------------------------- 1,287.00 0.00 SB99 R 8/08/2006 207.85 207.85CR AMOUNT 207.85 60.95 BATTERIES 146.90 BATTERIES REG, CHECK 207.85 207.85CR 0.00 207.85 0.00 ---------------------------------------------------------------------------------------- 8-04-2006 09:18 AM PACKET: 00606 Regular Payments VENDOR SET: 99 A/P PAYMENT REPORT PAGE: 4 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT GROSS PAYMENT OUTSTANDING DISC DT BALANCE DISCOUNT 99-01300 JAGOE-PUBLIC CO. I #606045 & 607016 JAGOE-PUBLIC CO. SB99 R 8/08/2006 11125,20 11125.20CR G/L ACCOUNT AMOUNT 11125.20 001 30-5370 11125,20 HMAC PICK UP I 607034 ASPHALT SB99 R 8/08/2006 641.20 641620CR G/L ACCOUNT AMOUNT 641.20 001 30-5370 641.20 ASPHALT VENDOR TOTALS REG, CHECK 11766,40 11766.40CR 0.00 -----------------------------------------------------------------.......... --........ ----........... 11766,40 ----......... 0.00 ------.......... --- 99-01310 LUTTRULL MCNATT 1510570,510568 510570,510568 SB99 R 8/08/2006 598.20 598.20CR G/L ACCOUNT AMOUNT 598.20 008 50-5325 398.19 STEP BARS 001 20-5325 200.01 LOCK CYLINDER,IGNITION SWITCH I INV 510505 LUTTRULL MCNATT SB99 R 6/08/2006 54.96 54.96CR G/L ACCOUNT AMOUNT 54.96 001 20-5325 54.96 LUTTRULL MCNATT I INV 510551 LUTTRULL MCNATT SB99 R 8/08/2006 248.82 248.82CR G/L ACCOUNT AMOUNT 248.82 001 20-5325 248.82 FAN ASSEMBLY VENDOR TOTALS REG, CHECK 901.98 901.98CR 0.00 ---------------------------------------------------------------.......... --....... ----......... 901.98 ----........ 0.00 ------......... ---....... 99-01320 J.L. MATTHEWS CO., INC. I INV 58741 J.L. MATTHEWS CO., INC. SB99 R 8/08/2006 130.31 130.31CR G/L ACCOUNT AMOUNT 130.31 008 58-6020 117.30 HUSKY HT 58J 008 58-5220 13.01 SHIPPING VENDOR TOTALS REG, CHECK 130.31 130.31CR 0.00 -----------------------------------------------------------------------------------------------.......... 130.31 0.00 ---......... ----........... 8-04-2006 09:18 AM A/P PAYMENT REPORT PACKET: 00606 Regular Payments VENDOR SET: 99 PAGE: 5 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT GROSS PAYMENT OUTSTANDING DISC DT BALANCE DISCOUNT 99-01380 KARL-KLEMENT FORD I 147830,147622 DRYER,AXLE ASSEM,FRONT HUB SB99 R 8/08/2006 856.47 856.47CR G/L ACCOUNT AMOUNT 856.47 008 58-5325 75.86 DRYER 001 24-5325 780.61 AXLE ASSEM,FRONT HUB ASSEM I 148040,148040-1 MISC PART - AXLE DAMAGE SB99 R 8/08/2006 260.45 260.45CR G/L ACCOUNT AMOUNT 260.45 001 24-5325 260.45 MISC PART - AXLE DAMAGE VENDOR TOTALS REG, CHECK 1/116692 11116.92CR 0.00 ------------------------------------------------------------------------------------------------------------------------------------ 11116.92 0.00 99-01500 LAWSON PRODUCTS I 4454076 WIRE & CONNECTORS SB99 R 8/08/2006 183.96 183.96CR G/L ACCOUNT AMOUNT 183.96 001 30-5325 183.96 WIRE & CONNECTORS I 4592294 TOGGLE SWITCHES SB99 R 8/08/2006 38.67 38.67CR G/L ACCOUNT AMOUNT 38.67 001 20-5325 38.67 TOGGLE SWITCHES I INV 4616974 LAWSON PRODUCTS SB99 R 8/08/2006 174.75 174.75CR G/L ACCOUNT AMOUNT 174.75 001 20-5325 29.13 VEHICLE SUPPLIES 001 24-5325 29.12 VEHICLE SUPPLIES 001 30-5325 29.12 VEHICLE SUPPLIES 001 32-5325 29.12 VEHICLE SUPPLIES 008 50-5325 29.13 VEHICLE SUPPLIES 008 58-5325 29.13 VEHICLE SUPPLIES VENDOR TOTALS REG. CHECK 397.38 397.38CR 0.00 ------------------------------------------------------------------------------------------------------------------------------------ 397.38 0.00 99-01560 LOVELACE NURSERY I 48841 PALLET OF STONE SB99 R 8/08/2006 175.95 175695CR G/L ACCOUNT AMOUNT 175.95 001 32-5211 175.95 PALLET OF STONE VENDOR TOTALS REG, CHECK 175.95 175.95CR 0.00 ------------------------------------------------------------------------------------------------------------------------------------ 175.95 0.00 8-04-2006 09:18 AM PACKET: 00606 Regular Payments VENDOR SET: 99 A/P PAYMENT REPORT PAGE: 6 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT DISC DT 99-01830 NOR-TEX COMMUNICATIONS I INV 12649 NOR-TEX COMMUNICATIONS SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 001 15-5310 92.50 RELOCATE FAX LINE 008 15-5310 42.50 RELOCATE FAX LINE GROSS BALANCE 85.00 65.00 VENDOR TOTALS REG, CHECK 85.00 85.00 ----------------------------------------------------------------------------------------------------- 99-01920 NICHOLS, JACKSON, DILLARD I 49039 NICHOLS, JACKSON, DILLARD SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 008 15-5425 547.92 GENERAL LEGAL SERVICE 001 15-5425 547.91 GENERAL LEGAL SERVICE 1,095.63 1,095.63 1,095.83 1/095983 3 3889714-JY06 PITNEY BOWES G/L ACCOUNT 008 19-5315 VENDOR TOTALS --------------------- VENDOR TOTALS REG, CHECK ----------------------- 99-02140 RADIO SHACK I 10023678 I 10023794 I 98920 SB99 R 8/OB/2006 370.00 AMOUNT 370.00 370.00 POSTAGE SERVICE 6/30 THRU 7/30 PAYMENT OUTSTANDING DISCOUNT 65.00CR 65.00CR 0.00 0.00 ----------------------- 1,095.83CR 1,095.83CR 0.00 --------------------- 370.00CR REG, CHECK 370.00 370.00CR 370.00 0.00 ------------------------------------------------------------------------- G/L 223.93 223.93CR 223.93 25.98 25.98CR 25.98 50.98 50.98CR 50.98 300.89 300.89CR 300.89 ---------------------------- 0.00 0.00 -------------- 8-04-2006 09:18 AM PACKET: 00606 Regular Payments VENDOR SET: 99 A/P PAYMENT REPORT PAGE: 7 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT GROSS PAYMENT OUTSTANDING DISC DT BALANCE DISCOUNT 99-02170 REINERT PAPER & CHEMICAL I INV 186439 REINERT PAPER & CHEMICAL SB99 R 8/08/2006 233.48 233.48CR G/L ACCOUNT AMOUNT 233.48 001 44-5213 233.48 CLEANING SUPPLIES I INV 187145 REINERT PAPER & CHEMICAL SB99 R 8/08/2006 118.47 118.47CR G/L ACCOUNT AMOUNT 118.47 001 40-5245 39.49 CLEANING SUPPLIES 001 30-5245 39.49 CLEANING SUPPLIES 001 20-5245 39.49 CLEANING SUPPLIES VENDOR TOTALS REG, CHECK 351.95 351.95CR 0.00 351.95 0.00 -------------------------------------------------------------------------------------............ --........... ------............ ---- 99-02190 RITE -WELD 1294464 / 291296 RITE -WELD SB99 R 8/08/2006 66.00 66.00CR G/L ACCOUNT AMOUNT 66.00 001 24-5430 66.00 OZ CYLINDER/HAZARD FEE VENDOR TOTALS REG, CHECK 66.00 66.00CR 0.00 66.00 0.00 99-02260 S&S TELEMETRY I 23 WELL #2 STARTER AND LABOR SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 008 50-5360 1,034.80 WELL #2 STARTER AND LABOR TRANSDUCER & LABOR SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 008 52-6070 1,233.00 TRANSDUCER & LABOR S&S TELEMETRY SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 008 50-5420 914.88 WELL REPAIRS UTILITY RD VENDOR TOTALS REG. CHECK -------------------------------------------------------------------- 1,034.80 1,034.80 1,233.00 1,233.00 1,034.80CR 1,233.00CR 919.88CR 3,182.66 3,182.68CR 0.00 3,182.68 0.00 ------------------------------------------ 8-04-2006 09:18 AM PACKET: 00606 Regular Payments VENDOR SET: 99 A/P PAYMENT REPORT PAGE: 0 VENDOR ITEM NO# DESCRIPTION I DULY 06 EMBARQ G/L ACCOUNT 008 58-5510 001 30-5510 001 42-5510 001 20-5510 001 26-5510 001 46-5510 008 54-5510 001 24-5510 001 36-5510 008 36-5510 008 15-5510 001 15-5510 VENDOR SEQUENCE BANK CHECK STAT DUE DT GROSS PAYMENT DISC DT BALANCE DISCOUNT SB99 R 8/08/2006 162.10 182.1OCR AMOUNT 182.10 8.01 EMBARQ:PHONE SERVICE 9.45 EMBARQ:PHONE SERVICE 8.17 EMBARQ:PHONE SERVICE 19.60 EMBARQ:PHONE SERVICE 13.63 EMBARQ:PHONE SERVICE 6.77 EMBARQ:PHONE SERVICE 9.45 EMBARQ:PHONE SERVICE 15.45 EMBARQ:PHONE SERVICE 4.36 EMBARQ:PHONE SERVICE 4.36 EMBARQ:PHONE SERVICE 41.43 EMBARQ:PHONE SERVICE 41.42 EMBARQ:PHONE SERVICE VENDOR TOTALS REG. CHECK 182.10 182.1OCR 182.10 0.00 EMBARQ SB99 R 8/08/2006 1,464.81 11464.81CR G/L ACCOUNT AMOUNT 11464,81 001 26-5510 74.85 EMBARQ:PHONE SERVICE 001 24-5510 52.89 EMBARQ:PHONE SERVICE 001 20-5510 122.81 EMBARQ:PHONE SERVICE 001 40-5510 41.65 EMBARQ:PHONE SERVICE 001 28-5510 36.95 EMBARQ:PHONE SERVICE 001 30-5510 36.95 EMBARQ:PHONE SERVICE 001 46-5510 36.95 EMBARQ:PHONE SERVICE 001 36-5510 42.56 EMBARQ:PHONE SERVICE 008 36-5510 42.55 EMBARQ:PHONE SERVICE 008 58-5510 141.75 EMBARQ:PHONE SERVICE 008 54-5510 106.42 EMBARQ:PHONE SERVICE 001 42-5510 72.00 EMBARQ:PHONE SERVICE 001 34-5510 105.22 EMBARQ:PHONE SERVICE 008 15-5510 275.63 EMBARQ:PHONE SERVICE 001 15-5510 275.63 EMBARQ:PHONE SERVICE VENDOR TOTALS REG. CHECK ------------------------------------------- 1,464.81 1,464.61 -------------- 1,464.SiCR 0.00 OUTSTANDING 0.00 8-04-2006 09:18 AM PACKET: 00606 Regular Payments VENDOR SET: 99 A/P PAYMENT REPORT PAGE: 9 VENDOR ITEM NO# DESCRIPTION 99-02690 TECHLINE I 48755 TECHLINE G/L ACCOUNT 008 58-6020 I 48761 TECHLINE G/L ACCOUNT 008 58-6020 008 58-5250 VENDOR TOTALS VENDOR SEQUENCE BANK CHECK STAT DUE DT DISC DT SB99 R B/08/2006 AMOUNT 645.20 1428951 & 1619878 SB99 R 8/08/2006 AMOUNT 145.00 INV 1619652 & 3023125 148.00 INV 1619652 & 3023125 REG. CHECK -------------------------- GROSS PAYMENT OUTSTANDING BALANCE DISCOUNT 645.20 645.20CR 645.20 293.00 293.00CR 293.00 936.20 938.20CR 0.00 938.20 --------------------------------------------- 0.00 --------------------------------------------------------- 99-03010 WEBB AUTO PARTS I 6573 WEBB AUTO PARTS SB99 R 8/08/2006 26.95 26.95CR G/L ACCOUNT AMOUNT 26.95 001 20-5325 26.95 OIL & AIR FILTERS I 6605 OIL & FUEL FILTERS SB99 R 8/08/2006 30.80 30.80CR G/L ACCOUNT AMOUNT 30.80 001 36-5325 9.45 OIL & FUEL FILTERS 008 36-5325 9.45 OIL & FUEL FILTERS 001 20-5325 4.95 OIL & FUEL FILTERS 008 58-5325 6.95 OIL & FUEL FILTERS VENDOR TOTALS REG, CHECK 57.75 57.75CR 0.00 57.75 0.00 99-03140 DATA FLOW I INV 38343 ---------------------- 99-03220 HACH COMPANY I INV. 4764210 DATA FLOW G/L ACCOUNT 008 19-5205 VENDOR TOTALS -------------------- HACH COMPANY G/L ACCOUNT 008 54-5270 VENDOR TOTALS -------------------- SB99 R 8/OB/2006 295.64 295.69CR AMOUNT 295.64 295.64 AP CHECKS: INV 38343 REG. CHECK 295.64 295.64CR 0.00 295.64 0.00 SB99 R 8/08/2006 391.10 391.1OCR AMOUNT 391.10 391.10 INV. 4764210 REG. CHECK 391.10 391.1OCR 0.00 391.10 0.00 8-09-2006 09:18 AM A/P PAYMENT REPORT PAGE: 10 PACKET: 00606 Regular Payments VENDOR SET: 99 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT DISC DT 99-03230 PJ'S CONVENIENCE STORE Z 49080 JUNE FUEL PJ'S CONVENIENCE STORE SB99 99-05170 NORTHERN SAFETY 2 P14760510101 NORTHERN SAFETY G/L ACCOUNT 008 50-5260 VENDOR TOTALS R GROSS PAYMENT OUTSTANDING BALANCE DISCOUNT 12,230.94 12,230.99CR 12,230.94 12,230.94 12,230.99CR 12,230.94 -------------------------------------- 0.00 SB99 R 8/OB/2006 AMOUNT 735.16 TIRES 264.00 TIRES 264.00 TIRES 264.00 TIRES SB99 R 8/08/2006 AMOUNT 667.14 KAUFFMAN TIRE 258.32 KAUFFMAN TIRE 26.81 KAUFFMAN TIRE 26.82 KAUFFMAN TIRE REG. CHECK SB99 R 8/08/2006 AMOUNT 298.45 INV P14760510101 REG. CHECK 1,527.16 1,527.16 979.09 979.09 1,527.16CR 979.09CR 0.00 2,506.25 2,506.25CR 0.00 2,506.25 ------------------------------------------ 0.00 298.45 296.45CR 298.45 298.95 298.95CR 0.00 298.45 ---------------------------------------- 0.00 8-04-2006 09:18 AM A/P PAYMENT REPORT PAGE: 11 PACKET: 00606 Regular Payments VENDOR SET: 99 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT GROSS PAYMENT OUTSTANDING DISC DT BALANCE DISCOUNT 99-05350 TX EXCAVATION SAFETY SYST I INV 06-3279 TX EXCAVATION SAFETY SYST SB99 R 8/08/2006 92.15 92.15CR G/L ACCOUNT AMOUNT 92.15 008 58-5420 92.15 MESSAGE FEES VENDOR TOTALS REG. CHECK 92.15 92.15CR 0.00 92.15 0.00 99-05510 IESI I INV 1515021 --------------------- 99-06160 LONGHORN IESI SB99 R 8/O8/2006 G/L ACCOUNT AMOUNT 008 54-5420 487.56 ROLL OFF WWTP VENDOR TOTALS REG. CHECK ------------------------------------------------------------ 487.56 987.56 487.56 487.56 --------------- 987.56CR 487.56CR 0.00 -------------- 0.00 I 51434921.001 NOZZLE,ROTOR,COUPLINGS SB99 R 8/08/2006 221.08 221.08CR G/L ACCOUNT AMOUNT 221.08 001 30-5245 221.08 NOZZLE,ROTOR,COUPLINGS VENDOR TOTALS REG, CHECK 221.08 221.08CR 0.00 ------------------------------------------------------------------------------------------------------------------------------------ 221.08 0.00 99-06830 SAGEBRUSH TECHNOLOGIES I 130-0029673 UPGRADE TO INFOCENTRE SB99 R 8/08/2006 995.00 995.00CR G/L ACCOUNT AMOUNT 995.00 001 42-6040 995.00 UPGRADE TO INFOCENTRE VENDOR TOTALS REG, CHECK 995.00 995600CR 0.00 ------------------------------------------------------------------------------------------------------------- 995.00 0.00 ----------------------- 99-07500 SUMMIT SUPPLY I INV 49343 SUMMIT SUPPLY SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 001 30-5260 170.00 SAFE SMOKER/CIG. RECEPTACLE VENDOR TOTALS REG. CHECK ---------------------------------------------------------------- 170.00 170.00CR 170.00 170.00 170.00CR 0.00 170.00 -------------------------------------------- 0.00 8-04-2006 09:18 AM PACKET: 00606 Regular Payments VENDOR SET: 99 A/P PAYMENT REPORT PAGE: 12 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT DISC DT 99-07750 HOME DEPOT/GECF I 48953 HOME DEPOT/GECF SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 008 54-5250 173.56 HOME DEPOT GROSS PAYMENT OUTSTANDING BALANCE DISCOUNT 173.56 173.56CR 173.56 VENDOR TOTALS REG, CHECK -------------------------------------------- 99-08210 KWIK KAR I INV 142991 & 14299 KWIK KAR SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 001 24-5325 27.00 INSPECTIONS VENDOR TOTALS REG, CHECK 99-08230 RELIABLE OFFICE SUPPLIES I INV VG782500 RELIABLE OFFICE SUPPLIES SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 008 54-5210 41.47 RELIABLE OFFICE SUPPLIES VENDOR TOTALS REG. CHECK 99-08410 CHAMPION CARPET CLEANING I INV 22164 CHAMPION CARPET CLEANING SB99 R 8/07/2006 G/L ACCOUNT AMOUNT 008 15-5310 57.87 DUCT CLEANING 001 15-5310 57.88 DUCT CLEANING 001 28-5310 115.75 DUCT CLEANING 001 46-5310 115.75 DUCT CLEANING 27.00 27.00 27.00 27.00 173.56CR 0.00 183.12CR 183.12CR 0.00 0.00 ------------------------ 27.00CR 27.00CR 0.00 0.00 --------------------- 91.47CR 41.47 41.47CR 41.97 0.00 463.00 463.00CR 463.00 8-04-2006 09:18 AM A/P PAYMENT REPORT PAGE: 13 PACKET: 00606 Regular Payments VENDOR SET: 99 VENDOR ITEM NO# DESCRIPTION 001 18-5310 008 18-5310 VENDOR TOTALS 99-08690 O'REZLLY AUTO PARTS I 271495 EVAPORATOR G/L ACCOUNT 008 58-5325 VENDOR TOTALS VENDOR SEQUENCE BANK CHECK STAT DUE DT DISC DT 57.87 DUCT CLEANING 57.88 DUCT CLEANING REG, CHECK SB99 R B/O8/2006 AMOUNT 105.47 EVAPORATOR REG, CHECK 99-08770 CPI OFFICE PRODUCTS I 1465144-0 & -01 CPI OFFICE PRODUCTS SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 008 19-5205 100.05 CPI OFFICE PRODUCTS 008 19-5210 100.04 CPI OFFICE PRODUCTS I 48980 CPI OFFICE PRODUCTS SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 008 19-5210 71.40 14432060&1/1441046&5169/436186 001 20-5210 71.40 14432060&1/1441046&5169/436186 001 15-5210 35.70 14432060&1/1441046&5169/436186 008 15-5210 35.70 14432060&1/1441046&5169/436186 001 30-5210 71.40 14432060&1/1441046&5169/436186 008 58-5210 71.40 14432060&1/1441046&5169/436186 008 50-5210 71.40 14432060&1/1441046&5169/436186 001 46-5210 62.19 14432060&1/1441046&5169/436186 008 19-5205 143.64 14432060&1/1441046&5169/436186 GROSS PAYMENT OUTSTANDING BALANCE DISCOUNT 463.00 463.00CR 0.00 463.00 --------........... 0.00 --.......... ---...... 105.47 105.47 105.97 105.47 200.09 200.09 634.23 634.23 VENDOR TOTALS REG. CHECK 834.32 B34.32 -------------------------------------------------------------------------------------------------- 99-09390 AMAZON CREDIT PLAN 2 48856 11 DVD'S G/L ACCOUNT 001 42-6050 VENDOR TOTALS -------------------------------------------- SB99 AMOUNT 167.25 11 DVD'S REG, CHECK R 8/08/2006 167.25 167.25 105.47CR 105.47CR 0.00 0.00 ------------------------ 200.09CR 634.23CR 839.32CR 0.00 0.00 ----------------------- 167.25CR 167.25 167.25CR 0.00 167.25 ---------------------------------------- 0.00 8-04-2006 09:18 AM A/P PAYMENT REPORT PAGE: 14 PACKET: 00606 Regular Payments VENDOR SET: 99 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT GROSS PAYMENT OUTSTANDING DISC DT BALANCE DISCOUNT 99-09550 SOUTHWEST CHEMICAL I INV. 78976 SOUTHWEST CHEMICAL SB99 R 8/08/2006 11777,50 11777.50CR G/L ACCOUNT AMOUNT 1,777.50 008 50-5360 1,777.50 CHLORINE CYL: INV 78976 VENDOR TOTALS REG, CHECK 11777,50 11777.50CR 0.00 11777,50 0.00 ------------------------------------------------------------------------------------------------------------------------------------ 99-09640 HARTS AUTO SUPPLY I INV 25218 HARTS AUTO SUPPLY SB99 R 8/08/2006 680.72 680472CR G/L ACCOUNT AMOUNT 680.72 001 20-5325 680.72 MISC BRAKE PARTS:IN 25218 VENDOR TOTALS REG, CHECK 680.72 680.72CR 0.00 ------------------------------------------------------------------------------------------------------------------------------------ 680.72 0.00 99-09780 MIDWEST TAPE I 1255072 DVD SB99 R 8/08/2006 19.49 19.49CR G/L ACCOUNT AMOUNT 19.49 001 42-6050 19.49 DVD VENDOR TOTALS REG. CHECK 19.49 19.49CR 0.00 19.49 0.00 99-09820 DURABLE COMPONENT TECH f I 246912-DCT-1 GLOW STICKS SB99 R 6/08/2006 273.59 273.59CR G/L ACCOUNT AMOUNT 273.59 008 50-5360 273.59 GLOW STICKS VENDOR TOTALS REG. CHECK 273.59 273.59CR 0.00 273.59 0.00 E [ 99-09990 SCHERTZ (( FARM & SEED I INV 23482 SCHERTZ FARM & SEED SB99 R 8/08/2006 3.50 3.50CR G/L ACCOUNT AMOUNT 3.50 001 30-5325 3.50 BOLTS & NUTS VENDOR TOTALS REG, CHECK 3.50 3.50CR 0.00 3.50 0.00 E �I 8-04-2006 09:18 AM A/P PAYMENT REPORT PAGE: 15 PACKET: 00606 Regular Payments VENDOR SET: 99 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT GROSS PAYMENT OUTSTANDING DISC DT BALANCE DISCOUNT 99-10030 AMERICAN PLUS, INC I 27909 HARD HATS SB99 R 8/08/2006 88.73 88.73CR G/L ACCOUNT AMOUNT 88.73 001 32-5260 88.73 HARD HATS VENDOR TOTALS REG, CHECK 88.73 88.73CR 0.00 88.73 0.00 ------------------------------------------------------------------------------------------------------------------------------------ 99-10760 BRODART CO I G6220711629987 G639517 SB99 R 8/08/2006 71.19 71.19CR G/L ACCOUNT AMOUNT 71.19 001 42-6050 71.19 BOOKS VENDOR TOTALS REG. CHECK 71.19 71.19CR 0.00 ----------------------------------------------- 71.19 0.00 ------------------------------------------------------------------------------------- 99-10800 RDJ SPECIALTIES, INC I INV 253133 RDJ SPECIALTIES, INC SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 001 24-5230 84.96 PUB. EDUCATION MATERIAL 001 24-5220 12.28 SHIPPING VENDOR TOTALS REG. CHECK ---------------------------------------------------------------------------------------- 99-10980 AQUA-REC, INC. I INV 17146 AQUA-REC, INC. SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 001 34-5223 205.00 5GAL POOL PERFECT VENDOR TOTALS REG. CHECK ---------------------------------------------------------------------------------------- 99-11570 CULLIGAN I INV 9014071 CULLIGAN SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 001 20-5420 3.38 CULLIGAN:WATER BOTTLE SERVICE 97.24 97.24CR 97.24 97.24 97.29CR 0.00 97.24 --------------------------------------- 0.00 205.00 205.00CR 205.00 205.00 205.00CR 0.00 205.00 0.00 ---------------------------------------- VENDOR TOTALS REG, CHECK 3.36 3.38 --------------------------------------------------------------------------------- 3.38CR 3.36CR 0.00 0.00 ---------------------- B-04-2006 09:18 AM A/P PAYMENT REPORT PAGE: 16 PACKET: 00606 Regular Payments VENDOR SET: 99 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT GROSS PAYMENT OUTSTANDING DISC DT BALANCE DISCOUNT 99-12240 HARTWELL ENVIRONMENTAL I D06-225 HARTWELL ENVIRONMENTAL SB99 R 8/08/2006 61449.00 61449.00CR G/L ACCOUNT AMOUNT 6/449600 008 54-5329 6,449.00 CL2 REPAIRS WWTP VENDOR TOTALS REG, CHECK 61449.00 6,449.00CR 0.00 6/449600 0.00 .......... 99-12410 D&W UTILITY SUPPLY I 607261 24 FLEX CLAMPS SB99 R 8/08/2006 728.16 728.16CR G/L ACCOUNT AMOUNT 728.16 008 50-5360 728.16 24 FLEX CLAMPS I INV 607079 D&W UTILITY SUPPLY SB99 R 8/08/2006 246.40 246.40CR G/L ACCOUNT AMOUNT 246.40 008 50-5250 246.40 INV. 667079 VENDOR TOTALS REG, CHECK 974.56 974.56CR 0.00 ------------------------------------------------------------------------------------------------------------------------------------ 974.56 0.00 12680 BAILEY ENVIRONMENTAL I 46810 BAILEY ENVIRONMENTAL SB99 R 8/08/2006 4,300.00 41300.00CR G/L ACCOUNT AMOUNT 4,300.00 001 28-5420 4,300.00 HEALTH INSP. 12/05-7/12/06 VENDOR TOTALS REG, CHECK 41300.00 4,300.00CR 0.00 ------------------------------------------------------------------------------------------------------------------------------------ 4,300.00 0.00 99-12710 PETTIT MACHINERY, INC Z 02279450 BELT,SPRING,TRIMMER STRING SB99 R 8/08/2006 159.41 159.41CR G/L ACCOUNT AMOUNT 159.41 001 32-5325 111.43 BELT,SPRING,TRIMMER STRING 001 30-5325 23.99 BELT,SPRING,TRIMMER STRING 008 50-5325 23.99 BELT,SPRING,TRIMMER STRING VENDOR TOTALS REG, CHECK 159.41 159.41CR 0.00 ------------------------------------------------------------------------------------------------------------------------------------ 159.41 0.00 B-04-2006 09:18 AM A/P PAYMENT REPORT PAGE: 17 PACKET: 00606 Regular Payments VENDOR SET: 99 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT GROSS PAYMENT OUTSTANDING DISC DT BALANCE DISCOUNT 99-12730 LAW OFFICE STEVE POSTON I INV. 04-1005-01-27 LAW OFFICE STEVE POSTON SB99 R 8/08/2006 750.00 750.00CR G/L ACCOUNT AMOUNT 750.00 001 26-5425 750.00 JULY 11,13,18 COURT APPEARANCE VENDOR TOTALS REG, CHECK 750.00 750.00CR 0.00 750.00 0.00 ------------------------------------------------------------------------------------------------------------------------------------ 99-12840 TEXAS EMISSIONS PROGRAM I 48975 TEXAS EMISSIONS PROGRAM SB99 R 8/08/2006 9.75 9.75CR G/L ACCOUNT AMOUNT 9.75 001 36-6010 4.87 ORD 2 COMM. SYSTEM FOR EMISS. 008 36-6010 4.88 OBD 2 COMM. SYSTEM FOR EMISS. VENDOR TOTALS REG, CHECK 9.75 9.75CR 0.00 9.75 0.00 ------------------------------------------------------------------------------------------------------------------------------------ 99-12890 PHIL O'CONNOR I 48911 CONCRETE PAD FOR SLIDE SB99 R 8/08/2006 2/550040 2,550.40CR G/L ACCOUNT AMOUNT 21550.40 001 30-5370 2,550.40 CONCRETE PAD FOR SLIDE VENDOR TOTALS REG, CHECK 2/550040 2,550.40CR 0.00 2,550.40 0.00 99-13610 CHEM FRIENDLY I INV 3616 CHEM FRIENDLY SB99 R 8/08/2006 15,768088 15,768.86CR G/L ACCOUNT AMOUNT 15,768.88 008 50-6020 15,768.88 CHEM FRIENDLY I VENDOR TOTALS REG, CHECK 15,768.8E 15,768.88CR 0.00 j 15,768.68 0.00 e 99-14030 STUART HOSE & PIPE CO E I S1000049398 FITTINGS SB99 R 8/08/2006 126.88 126.86CR G/L ACCOUNT AMOUNT 126.8E 008 50-5325 120.29 FITTINGS 008 50-5325 6.59 FITTINGS VENDOR TOTALS REG. CHECK 126.68 126.86CR 0.00 126.8B 0.00 F 8-04-2006 09:18 AM PACKET: 00606 Regular Payments VENDOR SET: 99 A/P PAYMENT REPORT PAGE: 18 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT DISC DT 99-14970 ADVANTAGE LABS - R2J2 I PO48896 INV3923 ADVANTAGE LABS - R2J2 SB99 R 8/07/2006 G/L ACCOUNT AMOUNT 001 24-5223 699.90 55GAL FIRE FOAM: INV 3923 699.90 699.90 PAYMENT OUTSTANDING DISCOUNT 699.90CR VENDOR TOTALS REG, CHECK 699.90 699.90CR 699.90 0.00 99-14990 MERTZ MANUFACTURING, LLC I INV 27165 MERTZ MANUFACTURING, LLC SB99 R 8/08/2006 G/L ACCOUNT AMOUNT 001 24-5325 256.86 PUMP PARTS VENDOR TOTALS REG. CHECK 99-15220 RGR REDI-MIX, LP I INV 1602 RGR REDI-MIX, LP G/L ACCOUNT 001 30-5370 VENDOR TOTALS ------------------------------------------- 99-15240 JERRY'S AUTO 148908 JERRY'S AUTO G/L ACCOUNT 001 30-5375 148966 JERRY'S AUTO G/L ACCOUNT 001 20-5325 001 30-5325 001 32-5325 008 58-5325 001 24-5325 008 50-5325 I 5925 0 RINGS G/L ACCOUNT 001 30-5245 SB99 R 8/OB/2006 AMOUNT 343.00 RGR REDI-MIX, LP REG. CHECK -------------------------------------- 256.86 256.86CR 256.86 -- SB99 R 8/08/2006 AMOUNT 11787.00 JERRY'S AUTO SB99 R 8/08/2006 AMOUNT 273.34 JERRY'S AUTO 129.67 JERRY'S AUTO 22.00 JERRY'S AUTO 358.71 JERRY'S AUTO 358.56 JERRY'S AUTO 22.00 JERRY'S AUTO SB99 R 8/08/2006 AMOUNT 3.80 0 RINGS 343.00 343.00CR 343.00 343.00 343.00CR 343.00 ------------------------------- 0.00 1,787.00 1,787.00CR 1,787.00 1,164.26 1,164.28CR 1,164.28 3.80 3.BOCR 3.80 0.00 8-04-2006 09:18 AM A/P PAYMENT REPORT PAGE: 19 PACKET: 00606 Regular Payments VENDOR SET: 99 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT - GROSS PAYMENT OUTSTANDING DISC DT BALANCE DISCOUNT I 611216071,60751 6109,604815993 SB99 R 8/08/2006 169.89 169.89CR G/L ACCOUNT AMOUNT 169.89 001 36-5325 16.99 GASKET SEALER 008 36-5325 16.99 GASKET SEALER 001 20-5325 38.92 MISC SHOP SUPPLIES 001 30-5325 19.39 MISC SHOP SUPPLIES 001 32-5325 19.39 MISC SHOP SUPPLIES 008 50-5325 19.39 MISC SHOP SUPPLIES 008 58-5325 19.41 MISC SHOP SUPPLIES 001 24-5325 19.41 MISC SHOP SUPPLIES VENDOR TOTALS REG. CHECK 3,124.97 3,124.97CR 0.00 ------------------------------------------------------------------------------------------------------------------------------------ 31124.97 0.00 99-15250 CEBRIDGE CONNECTIONS I 48859 INTERNET SB99 R 8/08/2006 99.95 99.95CR G/L ACCOUNT AMOUNT 99.95 001 42-5420 99.95 INTERNET VENDOR TOTALS REG. CHECK 99.95 99.95CR 0.00 99.95 0.00 99-15520 MICA CORPORATION I INV 28819 MICA CORPORATION SB99 R 8/08/2006 41135.00 4,135a00CR G/L ACCOUNT AMOUNT 41135.00 008 58-6020 4,135,00 REPLACE RDWT LT FIXTURE VENDOR TOTALS REG, CHECK 41135,00 4,135a00CR 0.00 41135.00 0.00 1 99-15690 JOE ACKERS WRECKER SERVICE I 3-05005 JOE ACKERS WRECKER SERVICE SB99 R 8/08/2006 117.40 117.40CR ( G/L ACCOUNT AMOUNT 117.40 001 24-5325 I 117.40 TOWING SERVICE E j VENDOR TOTALS REG. CHECK 117.40 117.40CR 0.00 `' 117.40 0.00 8-04-2006 09:18 AM PACKET: 00606 Regular Payments VENDOR SET: 99 A/P PAYMENT REPORT PAGE: 20 VENDOR SEQUENCE VENDOR ITEM NO# DESCRIPTION BANK CHECK STAT DUE DT GROSS DISC DT BALANCE 99-15710 GEORGE R FULLER 148904 GEORGE R FULLER SB99 R 8/08/2006 326.50 G/L ACCOUNT AMOUNT 326.50 001 30-5245 326.50 FIRECRACKER 5K AWARDS VENDOR TOTALS REG, CHECK 326.50 326.50 99-15720 RAY'S CHAMPION SPRING & MOT I INV. 93730 RAY'S CHAMPION SPRING & MOT SB99 R 8/OB/2006 19,663.38 G/L ACCOUNT AMOUNT 19,863.38 008 58-6030 19,863.38 SERVICE BODY F350 2004 FORD VENDOR TOTALS REG, CHECK 19,863.38 -------------------------------------------------------------------------------------------------- 19,863.38 99-15750 SCOTT GABRIEL I 71606 BANNER SB99 R 8/08/2006 40.00 G/L ACCOUNT AMOUNT 40.00 008 58-5450 40.00 BANNER VENDOR TOTALS REG, CHECK 40.00 40.00 PAYMENT OUTSTANDING DISCOUNT 326.50CR 326.SOCR 0.00 19,663.38CR 19,863.36CR 0.00 -------------------- 40.00CR 40.00CR 0.00 0.00 0.00 0.00 8-09-2006 09:18 AM A/P PAYMENT REPORT PAGE: 21 PACKET: 00606 Regular Payments VENDOR SET: 99 R E P O R T T 0 T A L S F U N D D I S T R I B U T I O N FUND NO# FUND NAME AMOUNT ------------------------.......... --......... 001 GENERAL FUND ------------- 33,058.66CR 008 ENTERPRISE FUND 67,999.65CR ** TOTALS ** 1011053.31CR ---- TYPE OF CHECK TOTALS ---- HAND CHECKS DRAFTS REG-CHECKS NON -CHECKS ALL CHECKS TOTAL CHECKS TO PRINT: 75 ------------------------------ GROSS PAYMENT OUTSTANDING NUMBER BALANCE DISCOUNT 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 101,053.31 101,053.31CR 0.00 101,053.31 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 101,053.31 101,053.31CR 0.00 101,053.31 0.00 ------------------------------------------------------------------------------------------- ERRORS: 0 WARNINGS: 0