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12/19/2002-CC-Minutes-SpecialMINUTES: CITY COUNCIL - SPECIAL CALLED THURSDAY, DECEMBER 19, 2002 PRESENT: Mayor Tommy Kincaid, Councilman Mike James, Councilman Jimmy Evans, Councilman Joe Higgs, Councilman Glenn Ervin ABSENT: Councilman Andy Garza OTHERS PRESENT: City Manager Jack Smith, City Secretary/Assistant City Manager Rose Chavez, City Engineer Mark Owens, Code Enforcement/Building Official Danny Cockrell, Richard Shaw, Val Perkins, Rob Dillard, Ken Wilson, Suzanne Wilson 1. Mayor called meeting to order. 2. Consider and Possible Action on Possible Changes to the Tap Fee Ordinance and Parking Regulations for Multi - Family. Mayor convened into Executive Session at 6:01 P.M. Councilman Ervin did not attend the Executive Session. Reconvened into regular session at 69.20 P.M. Val Perkins indicated he did comparisons with surrounding cities, Sanger's fees are 82% of the fee for a single family home, the norm is 10 to 15 percent. The high fees make it impossible to do a multi -family project. They have to close on the deal tomorrow. The allocation of funds from the State require the deal to close tomorrow so that it can be funded on Monday. Discussion regarding the fees. Mr. Perkins indicated he felt they could live with a total water and sewer fee of about $575 per unit. This would be a total of $150,000.00. Richard Shaw indicated at the last meeting they discussed rent amounts. They are trying to give people something nice at a reasonable rent. They really can't expect to get much higher rents here and expect the people to be able to afford them. He indicated they will pay the full amount of taxes. Mayor asked if they would sign a letter stating that they are not asking for a tax exemption, or reduction in rates on water or sewer or any other fees. Mr. Shaw indicated he would be willing to write the letter. Mayor asked if he had any other figure to offer them. Mayor felt they could negotiate a price agreeable to both parties. Mr. Shaw indicated they are trying to keep rents to an affordable level. Discussion regarding the tap fees. Mayor felt they could consider reducing the rate by about 25%. They are only wanting to pay 25%. Mayor indicated if they would go $250,000.00 along with the letters, instead of $150,000.00 he thought they could both make the deal. Discussed how this would be broken down. Councilman James asked if they leave the building fees as they are, and reduce the number of parking space requirements would that help. Richard Shaw indicated that would help. Mayor indicated he did not want to see the City's system thrown out the window. He It the building permit fees were fair. Discussion. Mr. Shaw indicated he felt he needed help with the permit fees as well. Discussion continued regarding the regulations and fees. Mr. Shaw indicated he hoped this could be discussed again later on. They will agree to -to $250,000.00 for water and sewer tap fees and give a letter that they will not come back and ask for special treatment on ongoing fees or on Ad -Valorem taxes. Eddie Branham asked if Mr. Hebard was still responsible for bringing the line to them. City Manager indicated Mr. Hebard will bring the line. Mark Owens wanted it on the record that the off -site sewer that this will tie into is not in place at this time and the City is not responsible for building this sewer line. Councilman Evans moved to accept the $250,000.00 for the water and sewer taps with the letters that were discussed. Councilman James seconded. Motion carried 3 to 1, Councilman Ervin sustained, and Councilman Garza voted no. Mayor indicated he did not feel they could give an answer tonight on the parking spaces. Councilman Evans moved not to discuss the parking at this time, Councilman Higgs seconded. Motion carried unanimously. 3. Meeting Adjourned. ATT T: Rosalie Chavez, Cit., 40 Mayor T mmy Kincaid