San Angelo City Council 5-18-16

[0:00:00] morning and we're glad to see everyone here this morning for our day-late meeting of the San Angelos City Council. It is 833 and we will call the meeting to order. We will begin our meeting this morning with prayer. I'll ask Lance Overstreet to come forward and to lead us in a prayer stand as you were able please. Good morning. Definitely Father we just thank you for this wonderful opportunity that we have today Lord. We thank you that you have blessed our city over the last year and we think you're for the rain that we've had last night. Dear Heavenly Father, we just ask that as we guide this city today, as we make decisions and directions, you will bless us with wisdom, you will bless us with discernment, and Lord, you give us unity as we lead our city. Lord, I also ask the decisions we make would not only honor and bless our city, but Lord, they will also honor and bless you. Lord, we ask that those that are going to be stepping away from this council today, that you will continue to guide their endeavors and bless them, but most of all, Lord, you will just bless each and every member of this city. You will bless our city so that we can continue to glorify you. In your wonderful name we pray. Amen. Amen. Let's get a picture here, then. And Miss Alisa Patano, would you please come forward? He's going to allow me to assist her with the Pledge of Allegiance. The American First, stay here to skin picture.

[0:02:33] You may be seated. And probably the most important thing that I am able to do as mayor is to bring our children forward that have done something good and to pat them on the back and to brag on them. So this morning I have a recognition of the Central High School Speech and Debate team, their success at district state and national levels. If you want to start bringing them forward I'm going to read this proclamation and then I'll allow you to introduce them. There is no debating this point. Central High School has one of the state's premiere speech and debate programs. This year again offered ample proof of that. Led by Coach Julie Steers and Tim Hayes, the powerhouse Central Bobcats, this year sent 45 qualifiers the most in the state to the Texas Forensic Association State Competition. Among all private and public schools of classification, Central High finished fifth in the state with 14 quarter finalists, six semi-finalists, and one state title, Seniors Hannah McAvar and Brian Kyle Fraselle claimed the title of 2016 dual state champions. Additionally, central ranks in the top 5% of the nation among schools in the National Speech and Debate Association. A bobcats will compete at nationals in June in Salt Lake City, Utah, and UIL competition this year central qualified two duos for state and cross-examination debate and four students in the Congress discipline. Another dozen students advanced to the UIL regional competition. Therefore, I, Duane Morrison, the mayor of the great city of San Angelo on behalf of the city council here by recognizing applaud the central high school speech and debate program for its achievements and positive determination to make it a difference in our community. Thank you so very much. Bring them up so you can introduce them when we get a picture. That'll work fine. Thank you, and that's you. Thank you. That's exciting. We'll start with our UILCX, Congress state

[0:04:33] qualifiers. These kiddos got to go to Austin and did a really great job for us. Gabriel Montoya, Colton Brown, Wesley Thompson, and then Samuel Ostrain is not able to be here. Our UILCX state qualifiers are the team of Sam Ostrain and Katie Smart who are not able to come. The team of Jonah White and Kiwi Shaw and the team of Matteo Guerrero and Davis Hill. Our UIL state qualifier in and poetry interpretation for the second year in a row is Mr. Zach Setterfield. Our UIL region qualifiers include in prose Sidney Burnham and Nathan Trinidad who are not able to be here. Mr. Brian Calphorzel in the poetry of course Zach, Israel Pazana and Mia Campbell in persuasive speaking Davis Hill who is already up and is Katie Smart, an informative speaking Morgan Byers and the alternate was Brendan Lowe in Lincoln Douglas debate. We had Alsomas Morgan Byers and Kaylee Sawyer. And then for TFA State, where we're just super proud of the amount of kiddos that we have qualified. I'll just call their names up so we can get through it quickly. Alfredo Antu, Andrew Para, Ali Arnold, Gabby Camarina, Josh Campbell, Gracie Drain, Cheyenne Elliott, Kayla Eubanks, Chance Flores, Henry Glassford, Abigover, Kyla Gray, Mattea Guerrero, Davis Hill, Brittany Hernandez, Brendan Lowe, James Mayville, Gabriel Montoya, Sam Ostrand, Keeley Shaw, Taylor Stevenson, Kayley Sawyer, Josh Fetter, Sarah Stevens, Jonah White, Gracie Wilson, Nathan Trinidad, Michael Vincent, Amy Lingly, Hannah McKeever, and Brian Calphurzel, your duo, our duet, acting TFA state champions, and then also Michelle Davis, Caroline Stout, Sydney Burnham, Morgan Byers, Mia Campbell, Zack Satterfield, and Katie Smart. And this

[0:06:39] year we're also taking eight kiddos to nationals, which will be in Salt Lake City, Utah, and June. We are so proud of these kiddos and super excited to see where the rest of our year ends up and takes us. Those national qualifiers, if you guys want to just wave, are Brian Calphrazel and duo interpretation with his partner Zack Sutterfield. In dramatic interpretation, Michelle Davis. Nope, Caroline Stout. In humor's interpretation, Michelle Davis, they also double-qualled in duo. Sydney Burnham, in dramatic interpretation, who's not with us, Morgan Byers. In foreign extemporaneous speaking, Mia Campbell in program oral and tarp and katie smart in original or to worry who is not able to be with us and zack setterfield and bks that one already great so these kiddos will go with us and we are super proud of our team and i will say that the support of our community has really helped change our program since i've been at central high school for the last nine years and i i really can't thank cine angelo our school district my wonderful principal and superintendent enough thank you for having us so very much I'm very proud

[0:09:02] That is a good idea, give my other hand, these kids have excelled. The recognition of the City of San Angelo for receiving the Class 1 ISO Insurance Service organization rating. Brian Dunn if you would come up and tell us what a wonderful thing this is for the city and for our people and what would it do to our insurance rates. I also have two guests with me. They'd like to come up here. I have Philip Bradley with the Insurance Services Office and Jesse Williams with the State Fire Marshal's Office and I'll be the ones doing the presentation here. They'd like me to kind of explain how we got to this point in time. So, I will give a short version of what's happened over the last 12 years. Back in 2004, we kind of started working on looking how to reduce or improve our ISO

[0:11:02] rating, which affects your property insurance for your home or business. With that, we started looking at the process, what we need to do at the rating, and some Some of those things that the highlight to that was we got the proper equipment on the trucks that we have. We completed specific training requirements that needed to be done when we built new stations here a few years ago. We got those properly aligned for their geographic response times. The city made capital expenditures such as the 100 foot aerial that helped. We put CAF systems which is compressed air foam systems on specific trucks for their responses. The city has made water main upgrades and other infrastructure improvements to the water system, dispatch improvements, and fire prevention programs and enforcement of their stuff is part of that. I'd like to thank the past and present city council mayor for their support for this. managers, past and present, they've all been very helpful in trying to move this forward. And there was multiple departments that helped us coordinate and do this, the Sanzo Fire Department, the Fire Marshal's Office, dispatch, GIS, operations and water. And all those individuals and departments helped us achieve this award. So with that being said, I'd like to turn it over to Bill Bradley. Good morning. My name is Bill Bradley. I'm with ISO, it's tough all of the young students and all the excellent speakers, I don't happen to be one of them, so bear with me. I would like to tell you a little bit about ISO. We're not a state agency, we're not a regulatory authority. We're a private data collection company and analytics company that provides information to the insurance industry.

[0:13:08] And what we do is we have classifications on approximately 48,000 communities country-wide, not only 700 here in Texas. We establish a classification based on the fire protection capabilities of the entire community. This is not just the fire department scorecard. I'm glad Chief Dunn mentioned that. Other areas we look at are the water department, the communication center, the fire department, the fire marshals office, the building official, of course the city council and the mayor and the entire city itself. When we do this we establish a classification on the score of one to ten, class one being the best classification that we offer, class ten represents no recognized fire protection. And then what we do is we report that information to the insurance companies. And they'll adjust their home owners and commercial policy premiums based on the fire protection capabilities the community provides and ultimately the classification that we assigned to the community. When we get to class one we're all very excited about it. This is a huge accomplishment of country-wide, there's 178 class ones in the country. So if you do the math on it, you're in the top 1% of all the communities across the country. In Texas, we have our fair share of plus ones, we're up to 33 now, and so we're definitely in the top 2% of all the Texas communities. When we do that, we'd like to present a plaque to the mayor, kind of designate this, so I'll be happy to do that now. Let's get a picture of this. Very much, I appreciate this.

[0:15:09] I'll step away. My name's Jesse Williams. I'm here from the state and I'm here to help you. actually I am it's it's a privilege to come out to your city and acknowledge the the fact that you attain the class one rating and we're here to approve that so the we the Texas Board of Insurance Office of State Farm Marshall has the oversight authority over the insurance services office and surveys that they do in Texas I also would like to extend my congratulations to the city of San Angelo for attaining a class 1 rating. As you heard earlier, there's 33 class 1 departments in Texas, so that is a pretty good bunch to be associated with. It's actually the highest award that ISO presents to a community. As Mr. Bradley said, we have 10 classes in Texas. one is the best in 10 is no fire protection. I think the city's going on out all out to make this a top one community by improving the fire protection services within the city. I think that's quite evident by achieving the class one writing. This is good. Proud of the job that you've done as a city and a community to make this happen. I'm sure the citizens are proud of the overall services that it provides and a result of better fire protection, we see lower insurance rights and everybody can benefit from that. Our statistics show that communities that have a better ISO rating have a bigger reduction in loss of life and property when a fire does occur.

[0:17:10] This is good for the citizens of San Angelo and good for the insurance industry. I encourage you all to make the community aware of your new class 1 rating and the effective date of June 1, 2016. On behalf of the Commissioner of Insurance, David Maddox and the State Fire Marshal Chris Canelli, I would like to present and apply to the mayor for achieving this goal. Providing exemplary fire protection services to the community. Texas State Fire Marshal's office is pleased to award a Class 1. I appreciate that y'all did the work. Congratulations. One more of all that comes around here. That represents your last official big.

[0:19:21] Mr. Mayor, you and I when we started on this I just checked with Chief Dunn and the City of St. Angelo was at a four so by getting new equipment and moving forward And this helps the residents of San Angelo on their insurance rate premiums, it's outstanding, and thank you, Chief Dunne. And we, I'm sorry, go ahead, Chief. Give me a talk in the microphone. Several years ago, I did some calculations with some insurance agents. They were kind enough to help me run rates and stuff on property values and stuff in town. And conservatively speaking, it probably saves the citizens at least $5 million a year in premiums every year, awesome. And we will put these plaques in a very prominent position because this, I believe I heard you say this would cause insurance rates to lower, did I understand that? Yes. Lower insurance rates, I think that's something that everyone in this building can relate to. So thank you, thank you very much. We're very proud of our rating. Building safety month, outcome forward, please sir. The city's continuing efforts to address the critical issues of safety, energy efficiency, water conservation and resilience in the building environment that affect our citizens both in everyday life and in times of natural disaster. Give us confidence that our structures are safe and sound. Our confidence is achieved through the Devotion of Vigilant Guardians, building safety and fire prevention officials, architects, engineers, buildings, builders, trades people, laborers and others in the construction industry who work year around to ensure the safe construction of building. Building Safety Month is sponsored by the International Code Council to remind the public about the critical role of our community's largely unknown guardians of public safety, our local code officials, who assure us of safe, efficient and livable buildings. Therefore, I, Duane

[0:21:21] Morrison, Mayor of the City of St. Angelou, takes us on behalf of the City Council, do hereby proclaim the month of May 2016 as Building Safety Month. Al, introduce your men and make you speak. Thank you, Mayor. This proclamation is all about recognizing the world that the codes plain are making our building safe, along with the codes, of course, our office is to recognize our office and the role that we play as well, along with the Fire Marshal's office. Hopefully, when you walk into a building like this or walk into your homes, you're not looking overhead wondering if the structure is going to collapse on you or worried about turning on your light switch and getting shocked or laying awake at night wondering if the water heater is going to explode. You don't because you know that the building is safe because it's been looked at and inspected by our division. We have an office staff that works hard to make sure that building codes are being followed, but today I wanted to recognize our front line. My inspectors that are out there every day, they perform between 12 and 15,000 inspections a year, they're out there all the time making sure that your buildings are safe. So thanks to them in particular, we can all feel safe in our buildings. So I wanted to recognize Randy Owen, Larry Nava, Gary Whitaker, Gary Makeda, and Pablo Flores. And we're missing one, our newest inspectors, the one we call Grasshopper, Austin Ayers. And I want to particularly recognize Austin because he did just get his certification as an electrical inspector. So that brings us back to 100% on every one of my inspectors is certified in his or her area. So I want to congratulate them in particular today. And thank you, Mayor.

[0:23:55] These guys are on the front line. We owe them a lot. They're, they do a very important job for us. Proud of everyone of you. The Lady in Blue celebration to be accepted by Bishop Michael J.C.S. Bishop, San Angelo. I suppose Gus Clemence will be standing in. Good morning, Gus. The Yamano Indians weren't important part of San Angelo history and were peaceful farmers and traders. That tradition says that the Somoria de Jesus, They are Greta of a Greta Spain known as the Lady in Blue appeared miraculously to the Humanos many times, teaching them tenets of the Christian faith. In the 1600s, when Humano Indians approached Spanish Franciscans in New Mexico, the Humanos carried Christian crosses and asked to be baptized, explaining that they had been instructed by the Lady in Blue. The Franciscan priests did baptize the Humanos in the river for countries and pearls, which celebrates San Angelo as the place of a Christian faith, born in Texas. The humano's are coming to the land of their ancestors to join in the celebration of the Lady in Blue. The nearby sacred picked the grass at paint rock on the Campbell Wraith Ranch, where humano's likely created some of the picked grass or another testimony through the Humano heritage. The work of Marilyn Fadawa, man noted byographer of Maria of Agrita, Mr. Lady in Blue, and the music of Cynthia Jordan, composer of the music dedicated to the Lady in Blue will be part of the ceremonies. Once again, the citizens of San Angelo and area towns will warmly welcome the Humano Indians, old Native Americans, and special gifts. There are many events planned for Sunday, May 22, to 16, the day of the Lady and Blue celebration beginning at 5 p.m. with the Humano Ceremony at the River Across Celebration Bridge in ending in the tour of the National Ceramics, exhibit at 8 p.m. The community is cordially invited to join the celebration to honor our West Texas history. This is a great opportunity to be part of the historical and noteworthy time to honor the San Angelo areas multicultural history and Christian heritage. Therefore, I, Duane Morrison, Mayor of the City of San

[0:25:55] Angel, Texas, on behalf of the City Council to hear by the proclaimed May 22 to 16 as the Lady in Blue celebration. Gus, you have the microphone and the proclamation. Well, you heard most of the story already from the mayor. He took the place to visit Michael, stepping all over my lines, which is a common thing, but that's, you're all invited at five o'clock on Sunday, to the North Bank of the Consul River on just on the other side of the celebration bridge to begin this ceremony and who model Indians, model Native Americans, are coming from all over the United States. They've been, this is our eighth time to do it and we've gotten more of the Native American coming to time. They're going to be in their, many of them, their full dress. They're coming from California, they're coming from Colorado, they're coming from New Mexico, they're coming from various parts of Texas, Midland, the Big Bend area, El pass out. So let's give them a big San Angelo welcome when they come. There will be a smudging ceremony. You have to come there and see it to believe it. And then you will walk across the bridge in the procession of the cross with flowers with the Permanon Native Americans. There'll be a talk by Bishop Michael Fyfer, Bishop of Emeritus of the Dicics of San Angelo about his research into Sor Maria, there will be a mass, and then there will be a tour of the, for all for free, there will be a tour of the ceramic exhibit, if you wish, and then a reception with food and drink after that. So, be a big event. Everyone's invited, hope to see you there. Now, I think Cindy Jordan, who's our songstress of San Angelo is going to give you all, loan you, her book about the lady in blue, and

[0:27:55] it's, there's a movie being made, a documentary being made about all this, most of it shot here by the way. The book is in English, Spanish, and Italian, three different versions of it. I think that's an element of this that should not be lost, is that the SORMA-REA phenomenon is worldwide. We just happen to be at the spot where the Spanish missionaries established a mission, and by the way, that Spanish mission was 40 years before El Paso and 70 years before San Antonio. We're where the first Spanish missionaries came into Texas. It's something that many people don't realize that San Angela was or the confluence area was such an important part of the early history of our state. Hi. Great. Hi, everybody. My name is Cindy Jordan. And I'm a songwriter. And now I am an author and book writer. Here is the book, The Story of the Lady in Blue. It's a fourth grade style kind of reading. And it's a really interesting story. It's a great story, and they say that God loves a good story, so here it is. So I want to invite you all to come out on Sunday, and we have a movie coming out that's going to put San Angelo on the map. And so these pictures that are in the book were actually filmed on the movie site at paint rocks, so we encourage you to get these there at Trudeau's. Okay, thank you. Come back though, we need a picture. We'll have Vicki read you the book. Okay.

[0:29:59] Again, we'll have Vicki. Again, we'll have Vicki read you the book. The book is in three languages, says Tilly. And a fourth grade level, I ought to be able to understand most of it. I do have one more recognition. This is for Nikki Powell, fourth grade teacher of McGill Elementary. If you would please come forward, ma'am. Good morning. Nikki Powell is a fourth grade teacher of McGill Elementary. Miss Powell, at eight years old, decided she would have become a teacher. And although life took her different paths, that desire to teach weighed heavily upon her. Miss Powell worked as a stylist in several salons around her hometown of Buffalo Gap. There she was introduced to fulfilling a saloon and managed tutorial position in San Angelo and relocated. While there, she enrolled in ASU to complete her education and on December 12th, she graduated from Angelo State with a Bachelor of Science in Interdisciplinary Studies. After obtaining her degree, she decided to be a stay-at-home mummy, but after a few years, she continued to have the need and desire to start her new journey as a teacher, and that sweat and tears finally paid off when Ms. Powell was hired by SAISD in 2015. This year, one of her students, 10-year-old Anissa. Anissa Pino was nominated, nominated her as the best fourth-grade teacher. Anissa said to Ms. Powell, is loyal, sweet, kind,

[0:31:59] and she never gives up on her students. And therefore, I, Duane Morrison, Mayor of the City of St. Angel, on behalf of the City Council, do hereby recognize and applaud Nikki Powell for her dedication and positive determination for making a difference in our community. Oh my goodness. I'm not much of a public speaker lecture in my fourth grade classroom, which there, Anisa, I'm probably too much of a speaker, you probably can't ever get me to stop. But man, what a blessing it is to just get to be here today to wake up to all this wonderful rain and get to come first thing in the morning and receive this. Man, it's just very humbling and quite a blessing and I have been honored to get to teach students like any cell all year this year. And boy, I've learned a tremendous amount, probably more than I've even taught them. Don't tell them that. It's just an honor and I appreciate everything. I am grateful to work for such an amazing school district and be part of such an awesome community. I appreciate this. This is now the time that we take public comment from anyone in the audience that wishes to address the city council.

[0:34:00] This is your opportunity. And we take comments whether they be good or whether they be bad. All you have to do is line up at the front, state your name and you've got three minutes. Let me read the legalities and then we will open it up for public comment. Issues items, issues or items that are not on the agenda may be raised by the public at this time. Citizens should speak from the podium again by stating their name and limit the remarks to less than five minutes. Council members may request that discuss item be placed on the future agenda. The council takes public comment all regular agenda items during the discussion of those items. Line up into microphone and the floor belongs to the public. Good morning Mr. Mayor and council persons I'm still RA control and I still didn't win but every every meeting I'm going to try to come up here and ask you publicly to keep brush control on in the forefront of your consciousness and to plan for it for the future. Thanks. Thank you. All right. Anyone else? Come on up, Roland. Roland Pena, Director of Economic Development. With regard to the award that Fire Chief Dunn received, I know that wasn't my show so I didn't want to intercede in that award presentation, but I want you to know that that has some significant economic development implications for us. You may or may not be aware of it. Cheap Dunn had prized me of his efforts and I'm very excited because it does have some economic benefits to us. This is what business and industry looks for. So it has some economic benefits to our taxpayers are those who are insured but also to business and

[0:36:02] industry that's looking to locate in in our community and I think I just wanted to point that out because it has it being one of 33 cities in the state gives us another competitive advantage and I just wanted to bring that to life and we do appreciate what Brian has done he's worked on this with great diligence for many years it's good that he's finally come to fruition any other public comment at this time. This is your opportunity. There's two of them up here that you're going to get a shot at them. You're going to have to get it right now. We will close the portion of our public comment. We're going to move on to our consent agenda which is old business some of it. And let's see we have a through L or I on the consent agenda. I'll start with Ms. Grindstaff on the end if there are any comments or anything that you want to say or if there are any items on the consent agenda which you wish to pull for the regular this is the opportunity. Okay thank you Mayor I think next week I'm going to have another neighborhood chat why not have time for maybe two more and if you would just watch Facebook I'll also let the city manager's office no date time and topic. We've got a couple of topics I think they're interesting for the district but usually we only take an hour so got to determine that this week. As for pulling items off the consent agenda I'm interested only in G all right that all ma'am. Yes sir thank you. Miss Lucy. Nothing. You shot it. John Silver. For the last time I don't have anything. Marty. I have nothing. Rodney. This is easy. I will entertain a motion now to approve the consent agenda item that is A B C D E F H and I everything with the exception

[0:38:08] of G. So moved. So I can do have a motion for themselves to accept. I do have a second from Marty. Do I have any further? Council talk or consideration or questions on the consent? So I have public comment on the consent. Then I will call for the vote. All in favor, please say aye. Aye. Any opposed, nay? 7-0-1, Madam and Brian. Gee. You're supposed to own consent and address G, is that correct? Yes, that's correct. Very good. OK. Gee is considering approving amendments to the bylaws, the tax increment, reinvestment zone board. Ms. Grant Sant? If Mr. James could just outline what those changes are for us, I think there's one or two that would appreciate that. in the bylaws you mean from the last meeting or just yes because I and actually from the last meeting I thought we were saying this would have new bylaws that was part of the discussion in the way this item is written it's approving amendments to the bylaws yes because we took the bylaws that existed and made the changes to to do two things one the old bylaws had a lot of the same language that the ordinance had, and it was just duplicated language, and so what we're trying to do is clean that up and have items either in the ordinance or in the bylaws but not in both to avoid confusion, and sometimes that duplication if we change it in one place and not the other, and so that's why these bylaws are much shorter is many of the items that when the old bylaws were stricken because they're now in the ordinance. The only other changes were to make it mesh with the changes to the ordinance in terms of the membership. A couple of changes based on state law, for example, the change of requiring the council, you all, to appoint the chair rather than the chair being elected by the group that is required by state law. If we are just amending the bylaws, why did we not use the service record

[0:40:13] of prior member or existing prior members? Well, that was just a discussion throughout the process since we were taking the original concept was merging two boards, the Downtown Development Commission and the Tears Board, and the discussion regarding that was that that would allow you all the opportunity to appoint from membership of either of those boards without having time limited out some of those members. That's obviously at your discretion, but that was the concept. question I have sir. We have I think it's seven voting members and then there's three or four non voting members. Would it be possible to amend this in case there is not a quorum that one of these five members could be used as an alternate to be used so that there would be it and I don't know that this board has has ever had a problem with not having a quorum. But if they did not have a quorum at a meeting, could one of these be made an alternate so that we could continue with our meeting? It would require some changes to the ordinance as well as to the by-law, so we would need to bring it back to make that change. And the way we have it right now is those alternate members. They're not term limited at all. They can just be a different person based on whatever those agencies would like to have their representation be on that board. So it would take some amendments to both documents. I'm not dissatisfied with it as it is, but if it becomes a problem, then we'd probably need to come back with this. Jordan? I was confused last meeting, and I'm a little bit clearer now as to what we were doing, but correct me if I'm wrong, each council member makes one appointment. That's correct. And that person that we appoint

[0:42:13] should either live in our district, or is that the person that you would appoint would have to live, work, or own property in the South portion of the tiers. They don't have to live in my district to appoint. That's correct. OK, my question is that I'm done interesting. So I'm going to put it as simple as I can. So the people that are currently on the board can serve, can keep on serving if they're chosen. Is that what you're telling me? Yes, but you all will be, it will be necessary for you all to make an appointment. So the current members, as of the effective date of this, will no longer be on the board. So they, but you can choose to reappoint, or to appoint one of those people who have served on the existing tiers board or the downtown development commission. Okay, thank you. Yeah, Marty. Back to the quorum, is it based on the nine or the 14? It's based on the nine. And districts two, three, and four must pick a representative that has a business or on property in the North Tier zone, correct? Correct. Or lives or works? Lives or works, yeah. Yes, ma'am. Then will these new bylaws be available for the public to review to see if they're qualified if they wanted to submit their name for appointment? Well they're available as part of the council packet on the website today, but we can make those available. Again, one of the things that we did was remove some of the other requirements for service on the board. So basically at this point, it's either live work or own property within the zone. And that's for the, for six. The mayor can appoint anyone, anyone in the county in fact, and then there are two appointments by the county themselves. a point from anywhere just like the mayor because only 2, 4, 3, and 4 have to

[0:44:13] a point from. Oh, we have a note. 2, 3, and 4 have to appoint someone from the north tiers area. One, five, and six would have to appoint someone from the south tiers area. So every one of you except the mayor has to appoint someone who lives, works, works are on its property in the zone. And the mayor and the county appointments can be from anywhere in the city or county. Good. It'll make me repeat all of it. Yeah. You had a second. Rodney. Marty said move approval. Rodney said second. Any further discussion before we vote? Do I have public comment on this before we vote? All in favor, please say aye. Aye. Hold on. Hold on. Hold on. I had no one said nay yet. lot in vote of Alaska's downtown San Angelo. A couple of things one is I want to make sure that we are consistent in terms of how the appointments are relative to the terms that have already been served individuals who have already served on the board. There are members whose terms expired over two years ago that continued to serve. I'm not sure why why that issue existed, but I believe strongly that is, we have a responsibility to, I'm gonna borrow your line mayor to the citizens of San Angelo that we appoint individuals who are now given an opportunity to serve on this commission versus those who've already served for an extended period of time on this board. The second point I'd like to make And is, you know, downtown San Angelo has been vital in terms of our work towards the revitalization of the downtown area or the south tiers, I should say.

[0:46:13] And so I really believe that as a, to really have an influence because of our knowledge, the work that we do on a day-to-day basis that downtown San Angelo should be our representative, should be a voting member. Thank you, Del. Ryan, when you send out these names, if you would, and I think that's a good point. Tell us if they timed out. Give us some information on the names that you send them out, so when we make our decision, we've got information to make it with. Can you do that, sir? Good point, Del. Thank you. Further public comment? Ms. Gunner? I'm Brenda Gunter, and I just want to say a couple things, first of all because I've been on the downtown development board and I don't think that anyone at the last meeting from the downtown development board or commission was here to speak second of all as part of the downtown San Angel Inc. Organization and then third is someone who served on the original tiers board as part of the southern district and without a question whether you're part of downtown San Angelo whether you're part of the original tiers or whether you're part of the downtown board. This decision today has a dramatic impact in terms of downtown. The downtown area has looked for consistency in terms of how we use the tears fund in terms of development and there hasn't always been a connect between projects being developed and funds given to those projects so we think that we need a closer tie in terms of that. The downtown development Commission although I don't think anybody else's comment I don't think it's because they don't believe in the tears and the combination of the two there was a thought process that the downtown development group was going to inherit the tears board instead the tears board inheriting the downtown Commission so there's a lot of confusion on that point I don't think that's as big of an issue as long as as we

[0:48:15] realize the connect between downtown development downtown San Angel ink and and the tears board they are one if you will and I think the simpler we can make it for the citizens and for developers the better because they shouldn't have to go between three or four different organizations to try to figure out where they get support and leadership and direction. Give us as much information as possible Brian so that we make these decisions as council we can take these facts into consideration before we further public comment. I'm gonna call for the vote again. All those in favor please say aye. Any opposed please say nay. And now we are to our special agenda and that's why many of us are here today. It's consider adopting a resolution canvassing returns and declaring the results of the general action held from the seventh day of May to 16 providing a severe ability clause and providing for an effective date and is this where I read I apologize before we even start but we're dealing with lawyers here in the state of Texas and I've got three pages that I need to read so here we go a resolution of the city of St. An's of Texas came to sing returns of the general election held in said city on the seventh day of May 2016 for the purpose of elected municipal officers declaring results of general election providing a severe ability to cause and providing for an effective date whereas pursuant to resolution number two oh one six oh two oh one for the city of San Angelo Texas adopted on the second day of February to 16 a general election was duly held on the seventh day of May to 16 for the purpose of elected municipal officers to the following position chief of police to a four-year term and city council members for single-member districts 1, 3, and 5 to 3-year terms, respectively, and whereas

[0:50:21] said general election was held with the solemnities and formalities necessary to make a valid election, all notices have been posted in the manner at the length of time required by law, and whereas only duly qualified resident voters of the city of San Angelo, Texas, voted that general election called and held on May 7, 2016, and whereas section 67.003 of the Texas selection code, as amended, generally divides at each local canvassing authority shall not convene for the purpose of canvassing the election results earlier than the third, the latter, the later of the third day after the uniform election day in May, or the date on which early voting ballot board is verified and counted all provisional ballots, if any, or the date on which all timely received ballots cast from addresses outside of the United States are counted, if any, and not later than the 11th day after the election day. And whereas Section 674-004A of the Texas Election Code as amended, establishes the quorum level required to canvas election results to be two members of the canvassing authority, and whereas a quorum of the City Council met on Wednesday, May 18, 2016, and due to canvas, the election returns of the above described general election attached here into its exhibit A, now therefore be it ordained by the Council of the City of St. Angelo, Texas, Section 1. The findings set forth above or incorporated into the body of this resolution for all purposes as a fully set forth therein. Section two, the city council officially finds and determines that an election was duly ordered to be held from the city of San Angelou, Texas, on the 7th day of May 2016 for the purpose of electing municipal officers to the following positions, chief of police to a four-year term. City council members for single-member districts one, three, and five to three-year terms respectively. And that proper notice of said election was duly given, that proper election officers were duly appointed prior to settle action. That settle action had been duly made and election returns delivered and that the city council has duly canvassed said returns all in accordance with law.

[0:52:22] Section three, the city council officially finds and determines that only qualified resident voters of the city of St. Angelo were allowed to vote at said election and the following votes were cast at said election and that the candidates of the votes cast in said election and returns their off which is attached here too as exhibit A were made in accordance with law. Tim Voskis, 2865 votes for a total of 31.35%. Micranandis, 2300 in one votes for a total of 25.17%. Jeff Davis, 901 votes for a total of 9.86%. Frank Carter, 3073 votes for a total of 33.62%. Single Bank County City Council Member, Single Member District 1, Bill Richardson, 1,092 votes for a total of 51%. Trended out of Gary, 10,1049 votes for a total of 49%. City Council Member SMD3, Danny Cardness, 415 votes for a total of 46.16%. Harold Harry Thomas, 484 votes for a total of 53.84%. Single Council Member, Single Member District, Number 5, Elizabeth Miller-Grine staff, 825 votes for a total of 45.18%, Lane Carter, 827 votes for a total of 45.29%, R.A. Cantrell, 151 votes for a total of 8.27%, and Martin W. Gwen, 23 votes for a total of 1.26%, Section 4. Pursuant to the applicable provisions of the Texas Local Government Code, Texas Election Code, and the City of St. Angelo, Texas Home Real Charter, the City Council officially finds, determines and declares the results of general action to be that. 1. No candidate for the position of Chief of Police received a majority of votes cast and a runoff election is called for July 2, 2016 between Frank Carter and Tim Busquez. The two candidates have been received the highest and second highest number of votes cast for the position of Chief of Police and 2.

[0:54:22] No candidate for the position of City Council Member, Single Member District 5 received a majority of votes cast and a runoff election is called for July 2, 2016 between Lane Carter and Elizabeth Miller-Grine staff. The two candidates have been received the highest and the second highest number of votes cast for the position of single council member, single member district five and number three. Bill Richardson is elected city council member for single member district one to a three year term of office by majority votes of the votes cast for single member district member district one and number four Harry Harold Thomas is elected city council member for single member district three to a three-year term of office by majority vote of the votes cast for council member single member district three section five that is hereby declared to be the intention of the city council that the phrases clauses sentences paragraphs and sections of this resolution are severable and if any phase clause sentence paragraph or section of this resolution shall be declared unconstitutional by the valid judgment or decree of any court or competent jurisdiction. Such in constitutionality shall not affect any of the remaining phrases, clauses, sentences, paragraphs, and sections of this resolution since the same would have been enacted by the city council without the incorporation of this resolution of any such unconstitutional phrase, clause, sentence, paragraph, or section. Section number six, this resolution shall be be effective. Immediately upon its adoption, do you want me to read it again or is it not? I need a resolution. I need a motion to be made and to be seconded to accept this resolution. Move to approve the resolution as presented. For the Charlotte farmer, just give me a second. I have a Lucy as Gonzalez as the second. Do I have any further council comment? Do I have any public comment on this resolution? And I will call for the vote that the resolution be accepted as presented, the motion has been

[0:56:22] made, it has been seconded. All in favor, please say aye. Aye. Any opposed? Please say no. The motion has passed with a 7-0 vote. We now have the administration of the goals of offices and the presentation of certificates of election, Judge Allen Gilbert. Are you here, sir? Come forward, please. And who will we start with? We're just going by district numbers. Robert, Harry? That all right? If you would raise your right hand, repeat after me, please. I and state your name. Harry Thomas, do solemnly swear or affirm, solemnly swear or affirm that I will faithfully execute the duties of the Office of St. Angelo City Council, St. Angelo City Council, single member District 3, single member District 3, of the state of Texas, of the state of Texas, and well to the best of my ability, and well to the best of my ability, preserve, protect, and defend, preserve, defend, and protect. The Constitution and the laws of the United States, Constitution and the laws of the United States, and of this state, and of this state, so help me God, so help me God. Congratulations. And I do have a certificate of election here in the name and the authority of the state of Texas to certify that the general election and held on the 7th of May 216 that Harry Thomas was duly elected to the City Council Member, Single Member District number three of the city of San Angelo. I know, I know if you raise your right hand

[0:58:52] and repeat after me, please, I know. I will register. Do solemnly swear our affirm. Do solemnly swear our affirm. That I will faithfully execute the duties. That I will faithfully execute the duties. Of the office of? Of the office of. San Angelo City Council, San Angelo City Council, Single Member District One, Single Member District One, of the State of Texas, of the State of Texas, and well to the best of my ability, and well to the best of my ability, to serve, protect, and defend, be sure to protect and defend. The Constitution and the laws of the United States, the Constitution and the laws of the United States, and of this state, and of this state, so help me God, so help me God, thank you. And I have a certificate of election to present to Bill Richardson in the name and the authority of the state of Texas to certify that the general election was held on the 7th of May, and that Bill Richardson was duly elected city council member single member district one of the city of San Angela. Congratulations, Bill. Thank you. And there, Mr. Gail.

[1:01:00] Now I'm losing one of my bestest buddies on the council today with Johnny Selves. We've sat together for many years. This is presented to Johnny Selves single council member, single member district number three, served from May 2008 till May 2016, and it is in grateful recognition of the dedicated service to the city of San Angelo, Texas. Thank you, my friend. Thank you. You have a few words you wanna say? I do. It's a humbling experience to have served on the council. Thank you to all my colleagues, all my former colleagues and looking back over the now eight years that have been there, there has never been a time that I was not able to sleep well at night, knowing that the vote that I had made, because I was, you know, we were elected to sit up there and vote our conscience. And so, again, it's been a blast, it's up and down, but it's a very learning, humbling experience, and I couldn't have done it without all these folks behind me. And I couldn't, I'd be remiss not to mention some of the names that have been there behind the scenes, you know, we don't always have to go to the city manager when we have something of need and issue or something. You know, we've got Rick and Michael and Teresa James and Brian and I know Brian has Maria Franco, our names and names, Dalia Flores,

[1:03:05] Cindy Priest, Maria Franco. And when I reach out for Daniel or any other, the, the The assistants, I've had the backing of Becky Dunn, Tracy, Karra, and Ann Peers have always been there for me, and I appreciate you ladies. Ricky Dixon has been there for me. Bill Riley, Shane Keilton, Patrick, Bob Salas, James Flores, Carl White, Bertha Blanco, Tina Kerrigan has been there. General Bob Bluehart, I saw him here earlier. I'd like to call him my general. Lisa Marley, Al Torres, Brian Dunn, Jay Bockam, Nathan Manship Tom our security guy couldn't I went blank on his last name so I apologize Tom and Judge Gilbert has been here today also but in the eight years if I've learned anything and I've learned that The first day that I sat down I sat right next to this man And I and I embraced him and that we became good friends. We haven't always seen I die but he's been there for me. I've been there for him and in the eight years if anything that I've learned is Whenever we try to pass something, pass Jim Turner, it's like trying to sneak a sunrise past a rooster. And that's what I learned from Dwayne, my buddy, my colleague, my cohort. And I really appreciate him and, again, the rest of the council for being there whenever I needed them. So again, thank you for all the folks that have ever voted for me. And I'll write off into the sunset and do other things. And then stay, stay involved and I'll end with a, I may be back. So anyway, thank y'all so much. And there have been times that Johnny and I voted differently, but I always felt it was his right to be wrong if he wanted to vote against him.

[1:05:05] Rodney, come forward, please sir. It has been a fun ride, my friend. Rodney Flynn, city council member, single member district one from May 13 to May 216. And it is in grateful recognition of dedicated service to the city of St. Angelo. Rodney has been a very good friend. He has been a good council member. And I think he can say the same thing. He has done everything according to his conscience and decisions that he's made. Congratulations, my friend. I'll miss you. And the microphone is here. I'm at a loss for words, which would be a first, probably, as you all know. But the first person I would like to thank, more than anybody, my wife Leslie. My wife Leslie has been my sounding board. She's helped me through the difficult times and and there are difficult times coming for you guys and ladies up here. I don't envy those times and the other people that I'd like to thank just like Johnny, the city staff. Theresa and Brian are unbelievable. I love working with the two of them. Also Becky done. Becky is the person that I would always call and she always help me out with whatever I needed and I'm sure she does not get paid enough whatever she's getting paid so I hope that she gets a big raise soon. The two assistant city managers they I think they're doing a great job. We've had disagreements just like I've had disagreements with everyone up here but I think that they're a great set of leaders that are a part of the team and Daniel is a very good city manager and I know that he'll do well in the future. Again, I'm humbled that I was ever elected to this position. I can't believe that the first election I ran against Trinidad, and I was like, there's my wife and I were talking about it when the first registered vote, or not registered vote,

[1:07:05] but first put in my application for the position. And Trinidad shortly thereafter said he was going to run, and I was like, man, I'm going to get killed in this thing. But I think this goes to show everyone out there that it's not just your resume, it's what's in your heart and it's how much are you going to work and how much are you going to do for the people. And I think it will show through if you get out there and just do your best and know that you, you know, Johnny said it earlier, my conscience has always been clear on every vote I've ever had. Some of those votes that I had I didn't decide until the last minute or I've changed my minds especially when I talk with Duane. And Duane and I had lots of long discussions where I called Duane on the phone and we would discuss something and we would be at odds over that thing and I would try to see his point of view. One of the things that this job has really taught me is to see that other point of view, to see the other side of it, not just to be set in your way, ways 100%. You gotta see where other people are coming from in order to make things be better for all of us as a city. And that's the most important thing. I'll end it by saying, I will not ever be back. I will never do this job again. You can, and if I did come back, use this against me in the future and say, he said he would never be back. Thank you very much. Don't say nothing.

[1:09:25] All right. Now it is time to introduce our new council members, to allow y'all to introduce those that are for you and to make the comments that you would like to make. I'll start with you, Harry. Hardly. I want to thank, first of all, thank the voters to single member district three for putting the confidence in me and their trust. I think you'll find over the next three years that it's well placed. My wife is here, I have my both my sons here, Chris and Clint. I think its girlfriend is here and her mother is here, so I want to thank all of those people for support over these last several months. This is something we actually talked about my wife and I more than two years ago and we decided to wait and that's when Johnny ran for a second term for another term. I think this is going to be a learning experience even though I've spent the last three and half years coming to the council meetings, I certainly do not know everything and it'll take me a while to get up to speed. But I want to thank everybody. Mr. Richardson? My teeth don't fall out sorry. Anyway, I want to thank everybody who participated in this election and I'd like to thank everybody who came out to vote and those who voted for me. my wife and my son can't be here today because my wife worked last night and my son has to work today. And I think this is going to be a learning experience for me. I've watched City Council for a long time and some of the things that are going on, I agree with some I don't. And I'm here to voice my opinion and also to seek input from the voters and what they want to thank you and now it is 945 and we're going to call a 30-minute

[1:11:28] reset mayor we need to order the election sorry and also we have to go to item the on the radio on the special agenda there was something else you wanted me to yeah item D yes we need to consider a resolution ordering that he run off election be held on July the 2nd 2016 for the purpose of electing municipal officers ordering publication making provisions for the conduct of the election provided for severe ability and providing for an effective day. You need to read the rest of it too. Una resolution. I do need a motion to accept this and the second Charlotte second second no I got him right before I got you Bill second morning okay any public any comment on this from council public comment all in favor please say aye opposed nay let's put a 7-0 on that one now the next thing we need to do is to consider the appointment of a mayor pro tem I would like to nominate Elizabeth Grindstaff as our Mayor Pro Tem for the upcoming term. Okay. One question. July 2nd there may be or July 3rd there may be someone else setting in that chair. At that point we'll have to reappoint a new Mayor Pro Tem either way. Any further comments from Council? Do I have comments from the public? Call for the motion. All in favor please say aye. Aye. Opposed nay. Put a 7-0 walk. And now it is 946 and the snacks await. So I will call a 30-minute recess so that we can meet and talk and be back at 1015. Two council members are new ones

[1:13:32] and I do this every every election just kind of set a few ground rules as to how we conduct ourselves here. So I'll take just a couple of minutes if y'all would allow me. I want everyone to realize that on this council, this is a very, this is a special group of people and we have set ourselves up with, to be to a certain level and a certain level of the core is expected of us as council members. I want this council meeting to be ran decently and in order. I want everything to be done above board. I want us to be respectful one to another. I want us to be respectful to our staff and I expect that we are respectful to our constituents. The charter has given me as mayor the responsibility to run this meeting. The charter has told me that as a mayor I am the one that is to tell each individual council member when they talk. We will speak one at a time in these meetings. We will not interrupt each other. We will not over speak each other. We will not take another members time. We will be respectful one to another. Before you want to speak, I would ask that you get my attention. I don't care if you throw something at me, if you call my name, whatever you want to do, get my attention, and I will put you in line. And I will be sure, don't hit me Charlotte, and I promise that each and every member of this council will get the opportunity to say everything that they want to say. I would ask that you be concise, that you be precise, precise. I would ask that you would be direct. I would ask that you know what you're going to say before you say it. We will start one at a time. We will go completely through the Council, the first round. If there are further words that need to be said, we will take a second round. If there are further words, we will take a third round. I promise you that everyone on this Council will have the ability to say anything that they wish to say. But we will do it one at a time. We will do things decently and in

[1:15:32] order and I am asking that you get my attention and let me put you in line so that we can keep the decency that we need to be. I guess that's it. My diatribe is over but we are expected to conduct ourselves in a professional manner and as mayor it is my responsibility to see that we are professional in the things that we do and that's enough of that to get your attention and we call you by name do we have to call you by your real name don't use those adjectives that I've heard before just whatever you want to call me is fine just get my attention I'll put you in line regular agenda presentation discussion of the actuarial report up by towers Watson on the status of workers compensation liability and property insurance program presentation by the risk manager Charles Hagen and Jason Martin senior consultant towers Watson you are own sir morning mayor council by charter we're going to present to you the findings from the actual report from towers Watson and with that I'll turn it over to Jason Martin the expert and putting that together for us welcome sir thank you Good morning. Can you hear me okay? Yes, sir. Okay. Do you do need to speak in the microphone though because you're on TV. Okay. Is this okay? Yeah. That's fine. Great. Thank you. So thanks for having me this morning. Let me make sure I get this working. Start off with the name, please. So I'm Jason Martin with Willis Towers Watson. We've actually recently had a name change from Towers Watson to Willis Towers Watson, so you'll see our new logo and the new name here, but it's the same company. I appreciate the opportunity to go through a summary of the findings from the actual report based on September 30th, 2015 information. Just a few limitations or information beforehand. And that's just saying that before relying on any of the numbers you see in here, we would ask that you read the entire actual report

[1:17:34] and really use the full actual report as the foundation for any decisions that the city makes. So for the next few minutes, we'll go through a little bit of the background of the program itself into some of the objectives the actuarial report and then on to the findings, and we'll finish with just a brief discussion around variability of results. The City's Self Insurance Program, it began back in 1988 for workers compensation, and in 1987 for the automobile and for the liability coverages, currently your self-insured retention is around 500,000 for both workers compensation, as well as for law enforcement and public officials. And for the general liability and auto liability, there is no limitation per se in terms of of what you've structured for your insurance, but you are subject to the limitations of the Texas TORT Act. In terms of the objectives, the main objective of the actuarial report is to come up with an ultimate loss estimate. And the ultimate loss estimate is really, what we're trying to do is tell you what would all of your payments be, once all your claims are paid out, how much is this going to have cost you for each individual year? Once we have that ultimate loss estimate, we subtract off from that what's already been paid to date to give you your unpaid estimate at September 30, 2015. The next estimate that we're providing to you is a forecast, so in this case it's for December 1, 2015 through September 30, 2016, and that's an estimate of what we think those total losses will be for any accidents that occur during that 12-month period. And finally, when we give the forecast as well as the unpaid estimate, we provide that on an undiscounted, as well as a discounted basis. So for the discounted estimate, what that is recognizing is that when you set aside assets to pay these future losses, you can earn investment income on those assets. And the city provided us a discount rate of the 0.67%. So we take that into account. So when you see the discount estimates, you'll see that they're lower than the undiscounted.

[1:19:34] And that's because we're reflecting that investment income. We just talked about the ultimate loss estimate, what that is, just a little bit more information around the terminology and what we look at when we start the report. Probably the first step of this process is that the city provides us lost information, so all of your claim history. And within that claim history, for each individual claim we're given the paid amounts, as well as a case reserve. And that case reserve is an initial estimate of what you think those costs will be, in addition to what's already been paid to date. So we have those two pieces of information. And then the reason why you need an actuarial report is because there's this third piece that's called IBMR or incurred, but not incurred, but not reported. And in some cases it's also incurred, but not enough. so where you have a case reserve up, but historically those case reserves are not necessarily at a high enough level and there's additional development on those case reserves. So that's the piece that we're filling in through the actual report. So it's the sum of those three pieces, the pieces that you're providing to us, the case reserves as well as the page, and the IB&R, some of those three is that ultimate loss that we mentioned earlier, so that you're total loss for each individual year. As we get into the findings now, for the forecast for the 2015-2016 year for workers' compensation, the estimate is around $933,000. On a discounted basis, that's around $908,000. For the liability and for property, we do provide separate estimates for automobile, general liability, and property, and the law enforcement and public officials that's rolled into the general liability. In total, for the liability and property, we're at $557,000, and on a discounted basis, it's at $550,000. unpaid estimates, so these are for any claims that have happened through September 30th 2015, what's left to be paid on those claims. For workers compensation, that's a little over $2 million and on a discounted basis it's slightly below $2

[1:21:36] million. For liability and for property, it's around $672,000 and on the discounted basis it's $666,000. In here we talk about these discounted estimates. We're We're also going to look at or provide estimates at what we call a higher confidence level. I know there's a lot of numbers on this page, so we'll just break down kind of what's the idea behind giving these higher confidence levels. When we give the earlier estimates, when you show the unpaid estimate and the forecast, those are at what we call an expected level. So it means there's a greater chance that the number could be higher or lower than what we're providing. It's not really like around, it's pretty close to around 50%, it was one way to think about that. So if you want to be more confident that the numbers that you're accruing or that you're funding are going to cover those losses, you can accrue at a higher confidence level. So in this case, for example, in the far right column, we have a 90% confidence level. So another way to think about that is that if you want to be 90% confidence, you're going to cover all of your claims in 9 out of 10 years. It would be a 90% confidence level. At a 75% confidence level, you could think of it as like 7 1 half out of 10 years. That number would be enough to cover all of your claims. So it provides an extra risk margin that's built in there. So in here we show the expected, which is what we looked at earlier on the prior page, as well as two additional columns that show you kind of what the risk margin would be is if you wanted to add additional funds to get to a 75% confidence level or to get up to a 90% confidence level, how much additional would you have to add? So for workers compensation to get to a 90% confidence level, that would be adding another $617,000. For liability and property, it would be adding an additional $731,000. surplus analysis takes into account how much you already have in your funds to cover these liabilities. So what are the funds assets as of September 30, 2015? So for workers compensation, those funds assets are around $757,000.

[1:23:39] Our estimate of the liabilities at September 30, 2015 is almost $2 million. So in this case, there's a deficit of $1.2 million. For property and liability those funds assets are $1.4 million, $66,000 of liabilities, and so there is a surplus in this case of $778,000. At the bottom we provide some surplus ratios, and so those are just some benchmarks relative to the surplus level. So for the unpaid estimates, relative to surplus, there's the lost forecast relative to surplus as well as what is your surplus ratio to your retention level. For the workers compensation due to the surplus level being negative those really aren't meaningful and that they're all coming out of the negative levels. For the property and liability those are both less than one for the unpaid and for the forecast and in the far right they have some benchmark ratios, some industry ratios are where we'd expect those to be. So those are in a favorable position would be the take away from that. In terms of the surplus, it is less than that benchmark ratio, but this is really more of your retention, is it a higher level relative to the size of the program? I don't know that I would be concerned about that one being outside of that benchmark, that I think the focus would be more on the unpaid estimate, as well as the forecast relative to surplus, those that show that surplus is at a reasonable level for the property and liability fund. Any questions? Questions, council? Lisa, you and David know what all this means? all understanding. Okay. Can I ask a question? Yes, ma'am. So, our workers comp claims are outpacing property and liability, or at least from the planning perspective. Um, outpacing because of the negative surplus. I think it just means that the assets set aside at that fund that more needs to be added

[1:25:41] to that fund. Right. on the performance in that what's happening or what's drawn from there. Okay, there's going to be a recommendation I would imagine at some point that we get rid of the red. Yeah, okay, I guess that's not for me to say yes to. Good morning Council, Mayor, City Manager. Yes, I mean you can see from looking at the surplus ratios that there's probably going to be a need to elevate some money into the property and liability fund. But one of the reasons that we wanted to get with you at this point is just to put it in front of you to recognize that our priority during the budget cycle this year is going to be the Workers' Comp Fund. Obviously, we have gone back and looked through the records and we've seen spikes in our Workers' Comp over the last, well, since 2007. And so we've identified what those Workers' Comp issues have been and we're going with training and trying to focus really strongly on safety in the workforce. What we did do this year is we've gone in and we've adjusted the rates that the departments pay for their workers' coverage so that this will help offset some of this for the rest of this fiscal year and then are adjusting those further for next year. be looking at how the departments, and we're actually doing those adjustments based on what their history has been in the terms of workers comp and liability for assets. Any other questions? Marty? In the workers comp, in any kind of high? Yes, it is. Yes. It is higher than what the benchmark shows that it should be. But it's not that we have too many.

[1:27:43] Necessarily, it's that we've had some big ones. We've had some very large workers comp claims. And they usually make the headlines in the paper, so I'm sure you know which ones we've had. It's not necessarily an excess number of claims. It's that the ones that we do get are extremely high. on it. My question is not on workman's comp, so is this just for workman's comp questions? Are you going forward? Are you finished? Well, there are slides regarding trends, but... Okay, what I wanted to know in Tina or Michael, I might be able to answer this. This is just say fund assets, you say fund assets, that's the assets within the fund, or is that that a fund balance, cash balance is laying out there. Yes, to both questions. In the insurance fund, that is the cash available to liquidate liabilities. OK. We have any kind of insurance that they address in this report. I've got it and I went through it, but not thoroughly, and I didn't find the answer. That addresses any losses that we may incur in our investment policies of our cash. that insured in any way, losses. Insurance against investment losses? We have some insurance related to errors and a mission. It's not covered in this as an actual loss out there in the market we're not insured for it. It's not covered in this report. I didn't see anything. We are restricted from an investing standpoint. We are restricted to invest in assets and invest in a way that protects against capital losses in investments. We are a buy and hold investor.

[1:29:43] So when we buy a 3% investment and the market moves to 4%, theoretically, the market value of that investment has gone down. We're not trading in the market. We're buying and holding to maturity. So we don't experience that capital loss. So I answered my question. Are the questions? Continue, please, sir. OK. This next slide provides a history of the worker's compensation loss cost. So the reason for this kind of gives you an idea of what the trends have been, so in this case it takes the ultimate loss for workers compensation for each year and it divides through by an exposure element. So in this case it's showing whether the cost per $100 a payroll. So it allows you, if you've had growth or contraction over time, it allows you to look across those years and see what's the underlying trend, whatever's left. So in this case those costs have been increasing since 2005. When we give our estimate for the 2016 or forecast year, we're looking at what are those Those historical costs have been at one of those trends over time, and that's how we come up with our forecast estimate for that upcoming year. For the spikes that you see in these different years, those are really driven by large losses and in some cases it might be one or two large losses, but that's really driving those spikes. Even if you were to smooth out those spikes, they're still an underlying upward trend in these costs over time. In reliability, these costs, in this case this is relative to a per $1,000 of expenditures. a bit more variable in terms of those large losses have some more significant impacts on those expected costs in those particular years. For the most part since 2009, cost have been coming up a little bit, but there's still some uncertainty around where those claims will ultimately end up. So we'll have to wait and see how those play out. For auto liability, those trends as well, relatively flat with maybe a slight upward increase. And again, the spikes that you see in here are large losses that are really driving those claims spikes. In terms of the variability of the estimates, some things to keep in mind, I guess, whenever you're looking at the funding and understanding the risk margin in terms of how could that change from year

[1:31:49] to year that with a program, with a lower claim volume or whether you are heavily impacted by large losses, that can cause variability in those estimates, as well as what we call a long tail. So for workers' compensation, those claims may stay open for 30 years before you know what your final costs are. So there's more uncertainty in terms of when those payments will be made and how much will be paid. So those can all lead to variability of the estimates. There's also external and internal influences in terms of jury decisions, legislative changes, inflationary impacts, as well as internal changes in safety programs, risk programs, changes in claim handling processes or changes in the reserving process can all impact the estimates. And just to give you idea of the variability of this program, that if there was one new retention claim to come in for workers compensation, that would swing your unpaid estimate, in this case, by 24%, and for the property and liability, just a single claim can swing those numbers by 74%. So, just to give you some perspective about how those numbers could change and by how much. Any final questions? Council? Thank you very much, sir. Thank you. This is simply presentation just so that we know and I suspect that in budget time you will will be coming back, okay. Thank you very much, good. Do I have any public comment on this before we move on? All right, let's move on then to item number D, which is consider approving a recommendation by the Cosa DC Board from the negotiation and execution of a real estate sales contract for the sale of approximately two acres of land located in the San Angelo business and industrial park to Falls, capital I incorporated. What a scheme. See, see, see, see, see, see, see, must have the wrong agenda.

[1:33:49] This is in our agenda. Got three agendas. There it is. Or give me. It's been quite prepared to talk on that one. Well, let's get back and do the right one since we're working. That's item number B, which consider adopting a resolution for grant funding in the amount, not to exceed 300,000 from the Bureau of Recommend Reclamation's Water Smart Title 16, 16 Water Reclamation and Reuse Program. Allison Strube, you are our own ma'am. I mean, mayor and council. In late March, early April, we were made aware of a grant funding application that we could apply for through the Bureau of Reclamation. And we have an ongoing relationship with them through the Twin Buttes Reservoir. Slide up here kind of gives a brief description the Title 16 grant. I'll just read the last one. In 2014 an estimated 378,000 acre feet of water was recycled through Title 16 projects. We do there's three different tiers for this grant application. We do qualify for the largest one which is up to $300,000. We have submitted an application and part of to have full application complete is to follow it up with the resolution. We did take this to our May 10th Water Advisory Board and did the same presentation. That board unanimously approved recommending bringing this resolution to you for approval. I'll take any questions that you may have, but we are also recommending approval of the

[1:35:50] resolution. what we are doing here is applying for a grant for $300,000 to help us in our yes and we believe the matching is 900,000 and we are obviously already matching that and the grant is retroactive in terms of even if we're done with the pilot before they go and award the project we can still proceed I don't don't see a downside here is there one I'm aware of I need a motion to either approve and deny this or do I have questions first before we get into this as in the staff report that the TCEQ has recently required the testing of additional parameters be added to the pilot project yes so they're also about that yes they are in working with them throughout this pilot project they are requiring additional items that are not normally done during the pilot project they're usually done in stage one design and so with this funding we would be able to do some of those but if we do not receive the funding we'll just do it if and when this project proceeds. So would your 300,000 and whatever the larger match would that be adequate for that additional It more than likely would not cover everything that they're asking for. This is important, at least to get us through the pilot project without a local. Correct. Correct. Further questions from council? I will entertain a motion to approve. And a second. Lucy. Do I have a motion to approve? I do have a second from Lucy. further council's consideration. Public comment. We'll call for the vote all in favor of accepting this as presented please say aye. Aye. Aye. Opposed nay.

[1:37:50] I'll have an ole on that one please. Number C consider awarding RFB WU-0515 professional services contract for the 216 Watermaster Plan to CDM Smith in who operate of Austin, Texas, in the amount of $314,460 budgeted for purchase, FY 2016 and authorizing the city manager of designee to execute any related documents. Mr. Riley, you are on, sir. Thank you, Mayor. Council, if you could see this morning, congratulations, Mr. Richardson, Mr. Thomas. Look forward to working with all of you. What we're asking today is for authorization to enter to a contract for a comprehensive water system master plan. The purpose of a master plan of course is to identify deficiencies in your water system, assist in projecting population and infrastructure demands for the future, and of course update the capital improvement plan for that. We're proposing to accomplish this project in three phases. One would be of course the development of the comprehensive master plan itself, and I'll talk about each one of these in just a minute. Another would be for another piece of this would be an infrastructure condition assessment for the improvements or rehabilitation of our water and sewer infrastructure and then leak detection component to help us identify leaks and reduce water loss in the system. A comprehensive water system is just that, it's an in-depth look at the entire water system and the development of a hydraulic model of the system and that hydraulic model will allow us to project the future water demands associated with population projections and to develop a capital improvement plan that has the efficient and appropriate infrastructure needs to meet those demands and water demands into the future. It also allows us to conduct a water age analysis, which will hopefully, by modeling the movement

[1:39:53] of water through the system, we'll be able to reduce the amount of flushing that we would have to do, which lends to lost water, but is required in dead in mains, and so we're hoping to be able to and we would be able to use this model to to help reduce that to some extent. It also allows us to determine that we have appropriate line sizing for existing and any future fire flows which of course is in direct relation to what you heard earlier which is our part of making sure that we have appropriate fire protection in the city for your ISO rating. And the master plan is a necessary component for us to be able to meet our regulatory requirements, specifically in identifying where our high and low pressure planes are. That moves around as the system grows, as their additional demands put on the system. And within that, those pressure planes, we are required to have a certain amount of storage and pumping capacities based on the number of connections that we have in each one of those. the last study or the last master plan was completed in 1997, this study like this or a plan like this should be developed about every five to seven years so it's way overdue and we need to move forward with doing that and the TCEQ is also wanting us to do that so that we can ensure to them that we have the appropriate pumping capacities and storage within those pressure planes and exactly where of those pressure planes have moved to. We'll talk a minute about the infrastructure condition assessment. We have, as you know, some necessary improvements in our water and sewer infrastructure associated with the street program. And as Ms. Grindstaff mentioned the strategic planning process a couple months ago, what was the street program

[1:41:53] driving the infrastructure improvements in the water and wastewater or the other way around? or how are we identifying what those specific needs were. This is, that was a very good question, a very astute in it, and we need to do that. We need to have a prioritization of the needs within the infrastructure rehab so that we understand exactly where we get the biggest bang for our buck, if you will, while we have identified initially streets that need to be done now, And we've prioritized our water and sewer infrastructure needs, according to that, as we move through that program, there might be some infrastructure needs that would drive the street program a little bit. And so in order to understand that, we need to have a good condition assessment of our system to understand where our failures are most likely. And again, where we can have the biggest return on that investment in reducing our water loss and customer service levels. The leak detection portion of this is just that. It's a process to go through the system. It works hand in hand with a condition assessment to understand where we might have leaks. And that helps us to again prioritize the infrastructure needs. It also helps us to hopefully reduce our water loss. While we made some inroads in that, it's still higher than it needs to be. And this process will allow us to hopefully have some real positive impacts on that. As part of this, We've identified 75 miles of line that would be included. The location of that has not been completely identified, but as we move through the process of actually developing the hydraulic model and the condition assessment, we would identify where those 75 miles would be. And the 75 miles was the pricing was based on 75 miles. We have sent out an RFP for this project and we receive multiple responses, and after that

[1:43:54] review we have chosen to go with CDM Smith based in Austin. They are experts in the field of strategic planning and master planning, and so we feel like they would be an excellent firm to bring in and to help us to accomplish this engineering plan. We've broken this down into the three sections, so you can look at the cost for each, the master plan versus $154,000 in condition, the assessment is additional 80, and the leak detection portion again for 75 miles of pipe is just at $80,000 for a total of $314,460. Again just as a summary, the master plan allows us to enhance our system operations, meet our regulatory requirements, and the condition assessment will allow us to maximize the funding that would have on improving our water system and reducing our water loss. We're happy to answer any questions. You took this to the Water Advisory Board. Thank you. Yes, we, this was also taking the Water Advisory Board Tuesday of last week on May 10th. And they voted unanimously to recommend approval in this contract. Council questions? You hadn't sold me yet, Bill. You haven't sold me to this is worth $315,000. And I'll tell you right up, you've not sold me. Do you have something, Bill? Yeah. I'd just like to know some sectors of the city are still using septic tanks. Would that study include those areas? It will not, it will probably identify those, but it will not address fixing that or changing that, I should say. Let's put them in, Harry. Come around. OK, Harry, go ahead. I guess one of the questions I might have is as I was campaigning I heard a lot about water and one of the questions I heard consistently was how much water we losing every year because

[1:45:59] of water leaks. Will this identify and fix some of those particular issues and how much money will that save that that may be towards this $300,000 plus plus $1,000. The objective, the answer to the first question is that is the objective of this process is to help to reduce our water loss for certain. That's a big portion of it. That's part of the condition assessment and the leak detection is geared directly at that. savings in that I would not venture a number right now but it would be significant the cost of losing water in this city is I guess has a cost on many fronts one is just the dollar amount of what that water costs what it costs to put it into the system and lose it the other of course is the the situation that we are in in needing water supply so that it's very valuable and and every drop that we can keep in the system and not lose of course is important. I think there are a lot of people that are very concerned about the loss I think we've all kind of talked about that at different times and and when we were talking about the rate increase it's hard to say what that is but to me anything that we can do to help identify that, because that's treated water. I mean, that's the water we've already invested in, I think is very important. We're years behind in doing this activity. I'm not sure why, but I'm very proud that you're bringing this forward, and now I kind of wish we'd heard about it six months ago. I also think that with regard to growth and population projection and looking at a system that will take us into the future, we have to have a plan for that because we've been so anti-planning that we really haven't

[1:48:06] set up the best systems that we could, that may be the most cost effective systems. And I think this kind of activity gets us to that point. So Mayor, I know no one wants to spend $300,000 unless it's critical, but I see anything related to water savings or water planning as critical. So I'm going to support it. Bill, how do we pay for this? You address that? We're going to pay for this? Well, it's in our current budget, so it's a budgeted item. I just want to make sure we're clear on that. Water capital improvement. Correct. We do the leak portion of it. I mean, you know, the lines are the oldest in this city. We know which lines are leaking. So I mean, why I? So I can understand the leak portion of it, but that's not but 72,000 of the 314. Mayor's the master plan is critical. That's a specialized process and certainly not something that we can do in-house. house. It's very important for us to have the information that that process will provide in operating the system within the regulatory requirements that we are required to. You made me think of something even though that we may know where our lines are the oldest that still doesn't account for some of the areas that we've not built in because of different type soils and soil conditions. Will this master plan address where we have more probability of shifting soils that affect our water lines and possibly the construction of that should be greater than in some areas where we don't? Condition assessment actually takes into consideration those parameters. And that's part of what this plan is in the conditions says yes, maybe maybe somewhat like Charlotte though

[1:50:10] Does it address where the comprehensive plan might speak to future growth of the city so that it's not okay? I certainly wouldn't want it to be Separate and apart from where the the city is expected to grow Planning perspective that's based it is based on the comprehensive plan There if I could yes, sir About 15 years ago, I think Mayor Fender made a presentation to advocate for the replacement of two-inch water mains in the city. And of course, hindsight is pretty good vision and we could see that two-inch was probably undersized based on current usage at that time. And I think we had wished we'd put something in much larger than that to serve those neighborhoods. is this master plan the kind of thing that would help us prevent making those kinds of capacity mistakes in the future? Absolutely not only for the future because it will look at what projected growth is within the comprehensive plan and in lines will be sized appropriately for the future growth. It will also help us because of the hydraulic model identify those areas where we have deficiencies now in existing system where we have two inch lines that need to be larger, where we have lines that are not large enough to provide sufficient fire protection, we would understand and have a plan for improving those as well. We have any idea how long those two-inch mains were in the ground and how long those customers experienced low pressure as a result before that replacement program started to correct that issue. I'm sure we do. I know that there's several of them and widespread through the area and some have been in for some time. You're trying to prevent that kind of issue? Is that what the master plan does? Absolutely. For the future we want to make sure that we have adequate line sizes for both the demand on the system in normal demand and also for fire flows.

[1:52:14] that that's a that's a close one to my heart because to have to replace those lines before the end of their useful life because of capacity issues as a financial burden and we end up spending more than we might have spent if we'd adequately sized those lines to begin with. So to have a a sound plan to give us guidance on capacity from a financial perspective at least I think is probably a good idea or the council will comment on this you still hadn't sold me but I'm only one of seven yes Bill there's no local company that could do this job there were no local companies that responded to the RFP it is a specialized process I had public comment on this item before we vote well someone want to make a motion to approve this I'll make a motion to approve somebody want to say any I second do have motion and a second. If there's no further. Yeah, I know it. If there's no further comment, I will call for the vote all in favor, please say aye. All right. And put one. All right, it has been done. All right, we have already done we have already considered the now we are in closed session. Executive session under the the Division of Government Code Title 5, and the Open Government's Epic Subtitle A. Open Government Chapter 551, Open Meeting Subchapter D, Acceptions to Requirements of Meetings to be Open under the following sections. A, Section 5510712, to consult with an attorney when the government of body seeks the advice of its attorney on the matter in which duty of the attorney to the government of body under the Texas Disciplinary Rules Professional Conduct of the State Board of Texas, clearly conflicts with this chapter regarding contract for electricity. Number B, Section 5510711A, consult with the attorney with the government of body seeks

[1:54:15] the advice of its attorney about pending or contemplated litigation regarding. Number one, 2013, seal coding program contract. Number two, timber construction incorporated in number three. Denise Kindle versus COSA ZBA16CO70L2, 3221 Red Bluff Road, it is 1057. And I will take us into executive. We're looking at 30 to 45 minutes. 30 to 45 minutes. Are we eating? Are we just going to be right about 12? I would say when we're back. Is that right, boss? I think 12 is too long. I'd still say 11.45. We'll be back out here. Let's say 11.45 on 12 o'clock, and we will be back. Every 45 to 12, I'm going to give myself a cushion there. We're shooting for 11.45. Let's go. get this council meeting back in order and we are in close after the closed session this is number item number 10 follow-up administrative consider possible action on matters discussed in the executive closed session is needed we do have one thing that we need to discuss that was on section a consult with an attorney which the dude the attorney government will body on the Texas Disciplinary Rules Professional Conduct, clearly conflicts regarding a contract for electricity. I would like to read this motion, and then I need someone to move to approve. The motion is to approve for the city manager to negotiate and execute a contract for electricity based on the lowest bid by a qualified bidder. And we sent out bids to several different companies so that we can get the very best rates for our citizens. We have had four that have replied, and of the four, we will negotiate when they send us a bid on price, and this is to give the city manager

[1:56:16] the right to look at these and to pick the one that he feels his best for the city. So what the motion is there, I do need someone to move in two seconds. I do have a second, I've got Charlotte on the second, I got Marty on the move. Do I have any questions from Council on this? Do I have any public comments on this? Then I will call for the vote. All in favor of the motion as presented, please say aye. Aye. Opposed? Nay. No, please sir. There are no more items in the executive that we need to talk about. Item number B under 10 is to consider approving board nominations, zoning board of adjustments, Erin Nelson appointed by the mayor as an alternate to a first term ending January 2018. I would like to have a motion to approve, Charlotte. Second. I have a second from Elizabeth. Council discussion, public comment. All in favor, please say aye. Aye. Opposed, nay. Put a 7-0 on that one, please, sir. Announcements, consideration of future agenda items. I'll start with you Ms. Grindstaff. Just would like to remind you, going to set up a chat for the month of May and I'll give the city manager's office that information it'll be also sent out through email if you if I have your email address and it'll be on Facebook if anybody has any questions. Hopefully next week if I can get the venue that I want yes. Is there anything? Miss Charlotte. Harry? Nothing at this time. Marty? Nothing. Bill? Nothing at this time. I have nothing either, so I will call for the most important motion of the day, and that is to adjourn. Motion to adjourn. First and second. All in favor please say aye. Aye. This meeting is over. It is 11.49.

Transcribed 2026-07-27 with faster-whisper (base.en) · source: youtube.com/watch?v=44zdmDJCF44