05/01/2017-CC-Minutes-RegularCITY OF SANGER, TEXAS
MINUTES: REGULAR CITY COUNCIL MEETING
May 1, 2017, 7:00 p.m.
502 Elm Street, Sanger, Texas
COUNCIL MEMBERS PRESENT: Mayor Thomas Muir, Councilman Bill Boutwell,
Councilman Lee Allison, Councilman David Clark, Councilman Gary Bilyeu, Councilman
Allen Chick
The Mayor and All Council Members Were Present Constituting a Quorum.
STAFF MEMBERS PRESENT: Mike Brice City Manager, Cheryl Price City Secretary.
1. Call Meeting to Order, Invocation, Pledge of Allegiance.
Mayor Muir called the Regular City Council meeting to order for Monday May 1, 2017 at 7:21
p.m. The Invocation was led by Councilman Allison, followed by the Pledge of Allegiance led
by Councilman Boutwell.
2. Citizens Input: (Citizens are allowed 3 minutes to speak. The City Council is unable to
respond or to discuss any issues brought up during this section).
There were no citizens recognized who wished to speak on items not on the agenda.
3. CONSENT AGENDA:
a) Approval of Minutes:
a. City Council Work Session, April 17, 2017
b. Regular City Council Meeting, April 17, 2017
b) Disbursements
*Item c) was removed from the Consent Agenda and placed under Item No.4.
There was brief questioning by Councilmembers regarding disbursements.
A motion was made by Councilman Chick to approve the Consent Agenda, Items a) Minutes and
b) Disbursements. The Motion was seconded by Councilman Clark. Motion carried unanimously
(5-0).
4. Consider any Items Removed from Consent Agenda.
c) Approve a Proclamation Proclaiming May 1st 2017 to be Sanger Children’s Mental
Health Awareness Day
Alex Reed with United Way of Denton County was recognized. She advised that the State of
Texas has provided a poor job of providing behavioural health services across the continuum of
care. We have approximately 131,000 individuals in our community in need of these services.
They are here to receive the proclamation and acknowledge that they are available to provide
services to children and their families in need of behavioural health services in Denton County.
She thanked the City Council for the Proclamation to recognize these needs.
A Motion was made by Councilman Bilyeu to Approve the Proclamation Proclaiming May 1 st
2017 to be Sanger Children’s Mental Health Awareness Da y. Motion to approve was seconded
by Councilman Clark. Motion carried unanimously. Mayor Muir read and presented the
Proclamation and a photo was taken.
REGULAR AGENDA
5. Consider, Discuss and Possibly Approve an Ordinance Authorizing the Issuance of City Of
Sanger, Texas Combination Tax and Revenue Certificates of Obligation, Series 2017;
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; Making Other Provisions Regarding Such Certificates, Including Use of the
Proceeds Thereof, and Matters Incident Thereto.
Ted Christensen, Government Capital Securities Corporation was recognized. He that this is the
authorization of the Issuance of the Certificates of Obligation, where it was decided couple of
months ago when the Council voted to go from nine million to 10 million. They generated
$9,997,697.65 in the Bond Sale. After cost of issuance and underwriting, etc., the city will net to
the project fund $9,577,407.16. It was a great sale. They used insurance from a company called
Build America Mutual. He noted that Mike Brice and Clayton Gray did a great job on Moody’s
call which maintains our A-1 Rating. He noted the City is doing a very good job at maintaining
this rating in a tough market. He noted details of the structuring of the bonds and debt service.
Councilman Bilyeu asked how much we saved with the A-1 Rating and what the time line is on
this process. Mr. Christensen noted he has those figures in his office (that it was hundreds of
thousands of dollars that we saved), and he would forward them to Mike to provide to the
Council. He summarized the time line noting that all of the funding documents go to the
Attorney General’s office for review and it is planned for funding on May 18th. Tonight is the
formal action of the Council to formally approve the funds, or at this point, the Council could
completely pull from the process, if desired.
A motion was made by Councilman Bilyeu to approve Item No 5 as stated. “Approve the
Ordinance Authorizing the Issuance of City Of Sanger, Texas Combination Tax and Revenue
Certificates of Obligation, Series 2017; 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; Making Other Provisions Regarding Such Certificates,
Including Use of the Proceeds Thereof, and Matters Incident Thereto.” Noting correction to the
Ordinance to indicate Mayor Pro Tem as Gary Bilyeu. Motion to approve was seconded by
Councilman Allison. Motion carried unanimously (5-0).
6. Consider, Discuss and Possibly Approve selecting a discharge method for the expanded
Wastewater Treatment Plant and authorize moving forward with engineering and
permitting.
Mayor Muir noted that he would like to hear from the City Manager after the lengthy dis cussion
regarding this item in the work session. City Manager Brice stated that he feels we need to move
forward and get the permitting and engineering started. That the recommendation tonight would
be to move forward on the pipeline to do the permitting and engineering and at the same time;
parallel, we will be working with the landowners on the routing and the possible mitigation bank.
There was discussion regarding past mitigation meetings between the landowners and Wilson
Sands, and that they fell apart before getting to council. Councilman Allison noted that he agreed
with the Mayor in moving forward; however, hoped that we would do everything we can to help
facilitate the mitigation option. Councilman Boutwell asked Betty Jordan with Alan Plummer
and Associates, exactly what needs to be done under the mitigation to meet TCEQ’s rules? Ms.
Jordan explained, that the Rosewood Corporation would work out a design for the mitigation
which would basically be to restore the stream back to its natural bounds. They would do a more
extensive mitigation than what they had talked about and would be responsible for all of the costs
of the permitting (other than the TCEQ Permitting) and the construction, and the maintenance.
But, what they could do then, because they had restored the stream is that if someone comes to
them and wants to build housing or somebody else wants to destroy the stream – they go to
Rosewood and say we need so many acre feet of stream and Rosewood would sell it to them at
whatever cost is agreed on, and that portion of stream mitigation is gone for future negotiation.
As long as they have unused mitigation, they can continue to sell it. The issue was that for it to be
a mitigation by definition with the Corp of Engineers and Rosewood’s requirements it had to be
left as a greenbelt which meant that Mr. Riley and Mr. Harris could not mow that part. That was
where the whole thing fell apart previously. Also, Mr. Falls had another idea with the wetlandsin
the past discussions, and neither Mr. Harris nor Mr. Riley were interested in having wetlands on
their property. It is restoring the stream in one place so you can destroy it somewhere else – it is a
trade-off. Councilman Boutwell asked if there would have been dredging of the lake involved?
Ms. Jordan noted there would have been some but it would have been through the design that
Rosewood would have developed and they would have paid for that. That was the big benefit and
it would have been a win-win for everybody. There was additional brief discussion on the
mitigation.
A motion as made by Councilman Allison to pursue the pipeline option as a discharge method
and authorize moving forward with engineering and permitting, including working out routes with
the property owners and with possible consideration of mitigation options if the property owners
can work that out with the appropriate companies and it becomes a viable option in the future.
The motion was seconded by Councilman Bilyeu. There was brief discussion regarding the
mitigation. Councilman Chick requested that staff keep tabs on the mitigation effort and keep
the Council updated on the status of this ongoing project. The motion carried unanimously (5-0).
7. Consider, Discuss and Possibly Approve The 2017-2018 Interlocal Cooperation Agreement
for Shared Governance Communications and Dispatch Services System Between Denton
County And the City of Sanger Police and Fire Departments.
Mayor Muir noted that is a standard annual contract. Councilman Boutwell asked what the
difference in the fees were compared to last year? City Manager Brice noted that Fire was about
the same, but Police has gone down a little due to the fact that Lake Dallas signed onto the
Denton County contract. Lake Dallas had their own dispatch and Jailer and it was costing them
more than $240,000 to do their own.
A Motion was made by Councilman Boutwell to Approve The 2017-2018 Interlocal Cooperation
Agreement for Shared Governance Communications and Dispatch Services System Between
Denton County and the City of Sanger Police and Fire Departments. No discussion. The motion
was seconded by Councilman Bilyeu. The motion carried unanimously (5-0).
8. INFORMATION ITEMS
a) Financial Report for March 2017
Mike Brice noted there is one typographical error on the first page of the financial report on the
Enterprise fund collected Revenues it says 37% and it should be 44%. Councilman Chick had
some questions regarding the financial reports and where he could see the old bond money? City
Manager Brice advised on Page 7, General Capital Projects Fund, Pooled Cash $741,789 is for
McReynolds Road. Further down the page under Enterprise Capital Projects Fund the Pooled
Cash $3,821,427 and the General CIP Money Market $2,052,324 is the Old Bond Money.
b) Capital Projects Recap as of April 28, 2017
No discussion.
14. ADJOURN
There being no further items Mayor Muir adjourned the meeting at 8:13 p.m.