Minutes TC 08/13/2019 TOWN OF TROPHY CLUB
TOWN COUNCIL REGULAR SESSION MINUTES
TUESDAY,AUGUST 13,2019,7:00 P.M.
LOCATION: 1 TROPHY WOOD DRIVE,TROPHY CLUB,TEXAS
COUNCIL CHAMBERS
The Town Council of the Town of Trophy Club, Texas, met in a Regular Session on Tuesday, August 13, 2019. The
meeting was held within the boundaries of the Town and was open to the public.
TOWN COUNCIL MEMBERS PRESENT:
C. Nick Sanders Mayor
Eric Jensen Mayor Pro Tern, Place 2
Alicia L. Fleury Council Member, Place 1
Sean Bone Council Member, Place 3
Michael Geraci Council Member, Place 5
Philip Shoffner Council Member, Place 6
STAFF PRESENT:
Wade Carroll Interim Town Manager James Edwards Human Resources Manager
David Dodd Town Attorney Ernest Gillespie Senior Account
Holly Fimbres Town Secretary/RMO Tony Jaramillo Director of Parks and Recreation
Patrick Arata Police Chief Jill Lind Communications and Marketing Manager
Paul Brandon Code Enforcement Officer Mike Pastor Information Services Manager
Gary Cochran Interim Fire Chief Tommy Uzee Director of Community Development
Cheryl Davenport Interim Director of Finance Steve Woodard Police Captain
Sharon David Records Analyst
Mayor Sanders announced the date of August 13, 2019, called the Town Council to order and announced a
quorum at 7:00 p.m.
The Invocation was offered by Reverend Edlen Cowley with Fellowship United Methodist Church.
The Pledges to the American Flag and Texas Flag were led by Council Member Bone.
CITIZEN PRESENTATIONS
This is an opportunity for citizens to address the Council on any matter whether or not it is posted on the agenda.
The Council is not permitted to take action on or discuss any presentations made to the Council at this time
concerning an item not listed on the agenda. The Council will hear presentations on specific agenda items prior to
the Council addressing those items. You may speak up to four (4) minutes or the time limit determined by the
Mayor or presiding officer. To speak during this item, you must complete the Speaker's form that includes the
topic(s)of your statement. Topics of presentation should be limited to matters over which the Council has authority.
Dee Baron, 58 Cypress Court, spoke concerning a stormwater issue located at Indian Creek Drive and the entrance
at Hogan's Glen due from the Town Center development. He distributed a DVD to each Council Member that he
stated had eight video segments taken after a heavy rain storm that shows large amounts of silt and sediment
going into the Town's stormwater drainage and flows into Hogan's Glen community, depositing into their ponds.
The issue continues to worsen with the construction progression of the Town Center. For over a year, the Town
Center's stormwater pollution prevention plan continues to fail. Their ponds were typically eight to 10 feet deep,
but currently they were extremely shallow due to sediment. It has been estimated that approximately 10 feet of
sediment has accumulated in their larger pond, which could result in a cleanup cost of up to half a million. The
first complaint was filed with the Texas Commission on Environmental Quality (TCEQ) after the first rain storm in
June 2018. Since then, numerous complaints have been filed with the TCEQ and the Town. He questioned if
possible mistakes were performed in the calculations during the Stormwater Drainage Plan for the Town Center.
The Town has an ordinance relating to stormwater runoff and erosion control and he did not believe that some
items had been properly enforced. He commented that the hotel and townhome sites have been graded for four
to five months, which has caused some of the erosion. He commented that those types of issues needed to be
stabilized within two weeks of being found. Additionally, he suggested that a leadership committee be formed and
tasked with finding a solution to resolve this issue.
Kathi Spiewak, 6 Brook Hollow Lane, stated she has resided in Trophy Club for over 24 years, with her backyard
sharing property lines with the PD-30 development along the creek bed. In 2014,the Beck Development of PD-30
began with site grading and it continues to have stormwater and silt run off, despite the silt barriers that were
currently in place. Since then, debris continues to accumulate in the creeks,tree vegetation has lost soil bedding,
and creek banks have been washing away. In October 2018, she filed a formal complaint with the TCECZ regarding
the erosion of storm damage. After the inspection, citations were issued to the Town and Beck Development for
lack of proper inspection and procedures for complaints and follow-up, along with inadequate storm damage
control on Beck Development's part. Some of the problems have been addressed but the stormwater and silt run-
off continue to be an issue. Hogan's Glen has already had the silt runoff removed once. In March 2019, she
requested another TCE4 inspection,after the silt barriers had been completely removed. After the inspection,silt
barriers were reinstalled and since then a retaining wall has since been constructed. She previously contacted the
Mayor and Director of Community Development Uzee about what was being done to clean up the construction
erosion and debris removal in the creek,but she has not been given an answer on a plan.
Larry Mundy, 8 Brook Hollow Lane, stated the stormwater issue was going to worsen as the PD-30 development
continued to be covered with concrete because it would not absorb the water. There were trees that have been in
existence for decades that were dying due to erosion and tree root exposure, which was not directly from PD-30
development. Some of their trees were leaning at an angle of up to 30 to 40 degrees and they have had to trim
some of the trees to keep them balanced. Tree limbs have fallen across the creek,along with other materials,that
have created dams. Some of the dams were in excess of 18 inches tall and have stagnant water stored around
them, which has caused extreme mosquito breeding. This issue needed to be addressed before the situation
worsened and the creek needed to be cleaned before the PD-30 development was complete.
ANNOUNCEMENTS AND REPORTS
1. Receive Interim Town Manager Carroll's update and provide input regarding the following(W.Carroll):
• Back to School—Staff has worked diligently to ensure that the first day of school would be successful with
school zone safety flasher and crosswalk inspections, sidewalk replacement on Lakeshore Drive, crossing
guard training,as well as wound care and emergency response training for Northwest Independent School
District staff. The Police Department would ensure adequate staffing to help assist on the first day of
school to aid in traffic control.
• Community Pool—Would be closed the week of August 19th through August 23rd, with the exception of
the splash pad,and the pool would be closing for the season on September 3rd.
• Early Voting—Would begin on August 21st and run through September 3rd for the September 7th Special
Election for Council Member Place 4.
Council Member Fleury invited residents to attend the Meet the Bobcats event to be held on August 14th, at 5:00
p.m.,at Byron Nelson High School.
CONSENT AGENDA
All matters listed as Consent Agenda are considered to be routine by the Town Council and will be enacted by one
motion. There will not be a separate discussion of these items. If discussion is desired, that item will be removed
from the consent agenda and will be considered separately.
2. Consider and take appropriate action regarding an Election Agreement and Contract between the Town of
Trophy Club and Tarrant County Elections for administration of the Town's September 7, 2019 Special
Election;and authorize the Mayor or his designee to execute all necessary documents(W.Carroll).
3. Consider and take appropriate action regarding an Election Agreement and Contract between the Town of
Trophy Club and Denton County Elections for administration of the Town's September 7, 2019 Special
Election;and authorize the Mayor or his designee to execute all necessary documents(W.Carroll).
Town Council Minutes August 13,2019 Page 2 of 8
4. Consider and take appropriate action regarding an Amendment to the Interlocal Agreement between the
Town and Northwest Independent School District for School Resource Officer services for Fiscal Year
2019-2020;and authorizing the Mayor or his designee to execute all necessary documents(W.Carroll).
5. Consider and take appropriate action regarding a Resolution of the Town Council approving an amendment
to the ICMA 457 retirement plan to permit loans;and providing an effective date(W.Carroll).
Motion:
Motion made by Mayor Pro Tern Jensen, seconded by Council Member Geraci, to approve Consent Agenda Items
No. 2 through No. 5.
Motion carried unanimously 6-0-0.
REGULAR SESSION
6. Consider and take appropriate action regarding a Proclamation of the Town Council recognizing September
2019 as Blood Cancer Awareness Month in Trophy Club;and providing an effective date(Mayor Sanders).
Council Member Fleury read the proclamation into the record.
Motion:
Motion made by Council Member Fleury, seconded by Mayor Sanders, to approve Proclamation No. 2019-18,
recognizing September 2019 as Blood Cancer Awareness Month in Trophy Club, and providing an effective date of
August 13,2019.
Motion carried unanimously 6-0-0.
Mayor Sanders presented Khloe Brandon with a proclamation. She was accompanied by her father, Code
Enforcement Officer Paul Brandon, and her mother, Nicole,to accept the proclamation.
Mayor Sanders presented Haylie Geraci with a proclamation. She was accompanied by her mother, Melissa, to
accept the proclamation.
Mayor Sanders presented Dr.Tiffany Simms-Waldrip,with Children's Health,with a proclamation.
Council Member Fleury encouraged the community to donate blood because there was always a need for it.
Council Member Geraci thanked Dr. Simms-Waldrip for her dedication and for the wonderful service that she
provides to her patients when faced with difficulties each day. He recognized Khloe and his daughter, Haylie, the
lessons they have learned through challenges at such an early age and he encouraged them to remember what
was important in life,which was faith,family,and inner strength.
PUBLIC HEARING
7. Conduct a Public Hearing regarding the Trophy Club Crime Control and Prevention District(CCPD) Budget for
Fiscal Year 2020,submitted to the Town Council by the CCPD Board(W.Carroll).
Mayor Sanders opened the public hearing at 7:32 p.m.
There were no individuals that wished to speak regarding this item.
Mayor Sanders closed the public hearing at 7:32 p.m.
Town Council Minutes August 13,2019 Page 3 of 8
8. Discussion of and take appropriate action regarding the Fiscal Year 2020 Budget(W.Carroll).
Interim Town Manager Carroll presented the highlights of the General Fund Budget for Fiscal Year 2020. He
acknowledged that there was a slight change from the July 23, 2019 presentation in the strategy to fund Capital
Replacement items. The Fiscal Year 2020 budgetary goals included: providing property tax relief through the
recently adopted Residential Homestead Property Tax Exemption; present a budget where expenditures did not
exceed revenues, excluding Capital Equipment Replacement, while maintaining current service levels; and,
maintaining an interest and sinking(I&S)tax rate of$0.11 per$100 of valuation.
The Fiscal Year 2020 Budget was below the effective tax rate and the rollback tax rate. State law did not require a
public hearing for the Council to pass the tax rate or the budget when the budget presented was below the
effective tax rate. The Town's Charter did require a single public hearing for the budget. The proposed budget
maintains last year's tax rate of$0.446442 per$100 valuation.
Total Fiscal Year 2020 revenues were estimated to be approximately $11,281,000 and the total expenditures,
minus Capital Replacement items,was expected to be$11,207,000. The transfer to the Capital Replacement Fund
was $542,639. Staff previously recommended taking out tax notes to cover the cost of Capital Replacement
purchases in Fiscal Years 2020 and 2021. After further examination of the health of the General Fund balance and
consideration of the passing of Senate Bill 2, this assessment brought forth the recommendation to pay cash for
Capital Replacement expenditures. This would allow the ability to take out tax notes next year, if required to
increase the l&S tax rate and decrease the maintenance and operations(M&O)tax rate.The decrease to the fund
balance was approximately$376,964. The ending General Fund balance was projected to be $4.7 million, which
was 40.9 percent of the Fiscal Year 2020 expenditures. The Capital Replacement items included: an EMS Lifepak
15 Cardiac Monitor; two fleet vehicles; three mowers; two ATV's for the Park's daily operations; and the
resurfacing of the competition and kiddie pools.
Mayor Pro Tern Jensen inquired where the Fire Marshal's vehicle would be budgeted. Interim Town Manager
Carroll corrected his prior comment and stated that there would be three vehicles purchased through the Capital
Replacement, which included a vehicle for the Parks Department, a vehicle for the Streets Department, and the
Fire Marshal's vehicle.
Interim Town Manager Carroll continued with the Fiscal Year 2020 Revenues and stated they had increased by
$165,594 compared to the Fiscal Year 2019 year end estimates. Property Tax revenue was slightly higher by 2.5
percent due to the newly adopted Residential Homestead Property Tax Exemption and Denton County values
coming in lower than projected, with some values not included because they were being contested. Sales Tax
revenue increased this year; however the Town realized decreases in other revenue sources,yielding a 1.5 percent
increase in the overall total.
Mayor Sanders inquired about the Intergovernmental line item. Interim Town Manager Carroll responded that the
Town receives funds from the Trophy Club Municipal Utility District (TCMUD) No. 1 to run the Fire Department.
Since the Town was the administrator of the Fire Department, the Town charges the TCMUD No. 1 for these
services.
Council Member Shoffner questioned the increase in the Investment Income line item from the Fiscal Year 2019
budgeted amount of $45,000 and the Fiscal Year 2019 estimate of $165,000. Interim Director of Finance
Davenport responded that last year's budget was severely under budget and the Town has already collected
approximately$165,000 for 2019.
Interim Town Manager Carroll remarked that there has been an increase in the fund balance growth because
revenues had been underestimated and expenditures had been overestimated. He continued with the Fiscal Year
2020 proposed Expenditures and stated that compared to the Fiscal Year 2019 estimate, the total expenditures
have only increased by $194,089. This number was a little misleading because the previous Town Manager's
payout was included in the 2019 estimate. Without including the payout,the total expenditures rose by$446,128.
Services and Supplies increased by$94,961 and Capital expenditures increased by$53,000.
Town Council Minutes August 13,2019 Page 4 of 8
Discussion took place that the budget presentation reflected some changes from what was presented in the
agenda packet.
Mayor Sanders inquired about the 108 percent increase in the Administrative Services proposed Services and
Supplies. Interim Town Manager Carroll explained that$50,000 had been added to perform a Compensation and
Classification Study.
Council Member Shoffner recommended that the Town perform an internal compensation study based on other
municipalities who have this information to share and save$50,000. Mayor Sanders was in agreeance but added
that in some instances the Town has different classifications compared to other municipalities.
Interim Town Manager Carroll commented that the advantage of hiring someone to perform the study was that an
outside consultant would take a look at the individual job descriptions and exhibit a broader range compared to
larger cities, while keeping in mind the uniqueness of Trophy Club, such as size, location, amenities, and higher
expectations. Human Resources could internally handle the salary survey portion to help reduce the overall cost of
the survey.
Council Member Shoffner remarked that a similar survey was performed in 2012 and very little of it was followed,
and he believed that it was at a higher cost. He suggested that Staff conduct as much internally and present the
results to Council.
Mayor Pro Tern Jensen agreed with the removal of the$50,000 for the Compensation and Classification Study.
Mayor Sanders pointed out there were no full-time equivalent(FTE)positions being added to the budget.
Mayor Pro Tern Jensen inquired if any part-time equivalent (PTE) positions were being added to the budget.
Interim Town Manager Carroll responded that there are no additional funds being spent for PTE's but there was a
specific set of funding in the different departments for PTE, such as Parks and Fire, and was used until the funds
were depleted.
Council Member Shoffner questioned why there was an increase in the Finance and Municipal Court line items for
Services and Supplies in the Fiscal Year 2019 estimate. Interim Director of Finance Davenport responded that in
both cases,they were offset figures because she was an interim employee for both departments and she was paid
as contract labor verses salary.
Interim Town Manager Carroll reviewed the Fiscal Year 2020 proposed Personnel costs and reiterated that there
was an increase of $446,128 compared to last year's beginning budget. This was due to mid-year hires that
occurred in 2019, but next year's budget would realize the full weight of the salaries.
Mayor Pro Tern Jensen asked if the theory behind hiring was to always fill any vacant position because it was open
or was it being evaluated if there was a true need to fill that particular position. Interim Town Manager Carroll
responded that the original staff model was developed based on the work that was required to be performed. He
provided an example that in the Parks and Police Departments,they have realized a decrease in staffing but their
overtime expenses increased due to the work demand.
Mayor Pro Tern Jensen agreed that it was more cost effective to have a full-time position than to fund a large
amount for overtime.
Interim Town Manager Carroll continued and stated that $150,000 was added to the budget for merit increases
and there was an approximate five percent increase in health insurance cost.
Council Member Geraci asked for clarification on the increase in the Unemployment Taxes and Worker's
Compensation line items within the Fiscal Year 2020 proposed Personnel and Benefits. Interim Town Manager
Carroll responded that regarding the Worker's Compensation, State Legislature identified several kinds of cancers
that were deemed work related for the Fire and Police Departments, which has increased the rates for these
Town Council Minutes August 13,2019 Page 5 of 8
specific positions.
Interim Director of Finance Davenport stated that every other year the Unemployment Taxes fluctuates between a
three and two percent increase. She commented that she would examine the fluctuating rates that have occurred
over the years.
Mayor Sanders explained that an experience modifier gets applied and helps determine how the rates were set.
The State applies the modifier, which was an adjustment of an employer's premium for worker's compensation
coverage based on the losses the insurer has experienced from that employer.
Council Member Geraci asked if there was anything the Town could do to help mitigate the Worker's
Compensation rate, such as additional training or different types of gear for first responders. Interim Town
Manager Carroll responded there would not be on the Fire and Police Departments side to help decrease this rate
since it was State mandated but he would confirm with the Town's insurance carrier.
Mayor Sanders was in agreeance with Council Member Geraci's recommendation to review the rates with the
insurance carrier regarding the safety measures previously implemented to assist in the reduction of the Worker's
Compensation rate.
Mayor Sanders inquired about the increase in Manager's Office line item in the Fiscal Year 2019 estimate within
Personnel and Benefits. Interim Town Manager Carroll responded that the increase was due to the previous Town
Manager's payout and the hiring of a new Town Manager position with benefits.
Interim Town Manager Carroll continued and advised that the Fiscal Year 2020 beginning fund balance was
expected to be $5.1 million. The net revenues, expenditures, and transfers were projected to decrease the fund
balance by$376,964.
Mayor Pro Tern Jensen commented that the Capital Replacement fund was not developed to come out of the fund
balance. Interim Town Manager Carroll confirmed this was correct but a revenue source had never been
designated for Capital Replacement items and the only revenue source currently was from the General Fund.
Mayor Pro Tern Jensen recommended looking into funding the Capital Replacement budget without lowering the
fund balance.
Discussion took place that utilizing the fund balance would not be an ongoing funding mechanism for Capital
Replacement items, but this tactic assisted with delaying issuing a tax note. Funding sources did need to be
identified though for the outgoing years for Capital Replacement.
Council Member Shoffner recommended that each department appropriately budget Capital Replacement items
that were specific to their area,that would be designated to the Capital Replacement budget.
Mayor Sanders inquired about the philosophy and direction given to Staff when putting together the proposed
budget. Interim Town Manager Carroll stated that the direction was given to Staff to present a budget where
expenditures did not exceed revenues, excluding Capital Equipment Replacement, while maintaining current
service levels. He and Interim Finance Director Davenport wanted to provide a budget to present to Council that
had the most accurate estimates for revenues and expenditures,which resulted in last minute changes.
Mayor Sanders applauded Interim Director of Finance Davenport on performing an excellent job and working long
hours to help with the budget presentation.
Council Member Shoffner asked for a line item detail for the entire budget. Interim Director of Finance Davenport
reported this information would be available online soon at www.opengov.com, as the spreadsheet was being
updated to match what was presented.
Town Council Minutes August 13,2019 Page 6 of 8
Interim Town Manager Carroll thanked the Council for their patience with the last minute changes in making sure
the most accurate budget was presented.
Council Member Shoffner thanked Staff for their hard work and efforts in preparing the budget.
No action was taken on this item.
9. Consider and take appropriate action regarding a record vote on a not-to-exceed Fiscal Year 2020 Ad
Valorem Tax Rate and to schedule two public hearings to meet the Truth in Taxation requirements and/or
as required by the Charter and related matters(W.Carroll).
Mayor Sanders advised that the Town was not required to hold two public hearings since the proposed tax rate of
$0.446442 per $100 valuation was below the effective and rollback tax rates. The Town Charter required one
public hearing specific to the proposed budget.
Council Member Shoffner recommended holding at least one public hearing in order for the Council to provide
ample opportunity for the residents to speak.
Motion:
Motion made by Mayor Pro Tern Jensen, seconded by Council Member Fleury, to set a not-to-exceed rate of
$0.446442 per$100 valuation for the Fiscal Year 2020 Ad Valorem Tax Rate.
Roll call vote:
Mayor C. Nick Sanders Yes
Mayor Pro Tem Eric Jensen Yea
Council Member Alicia Fleury Yea
Council Member Sean Bone Yea
Council Member Michael Geraci Yea
Council Member Philip Shoffner Yea
Motion carried unanimously 6-0-0.
10. Discussion of items for Future Agendas to include agenda items for consideration on the August 27, 2019
Council agenda and items from the Town Council Future Agenda Items list(W.Carroll).
Mayor Sanders advised that the Neighborhood Meeting to discuss the proposed Replat of 1 Palmetto Court, Case
RP-19-001(Section 1, Lots 12R-1 and 12R-2)would be held on August 14,2019 at 6:30 p.m.
Interim Town Manager Carroll added that he and Town Planner Payne would be leading the meeting.
Mayor Sanders inquired if Staff would be ready to provide an update by the August 27, 2019 Council meeting
related to Item No.5 from the Town Council Future Agenda Items list: Discussion of and take appropriate action to
have the Interim Town Manager prioritize an investigation of the use of turf fields at Independence Park along with
a cost benefit analysis & review offering a payback program between the Town and TCR Youth Baseball
Association.(Geraci&Shoffner 5/28/2019).
Council Member Geraci commented that additional time would be needed for this item.
Mayor Sanders asked for an update regarding Item No. 4 from the Town Council Future Agenda Items list:
Discussion of the creation of a Charter Review Commission in accordance with Section 11.15 of the Town Charter,
the Council shall appoint a Charter Review Commission at intervals of not more than seven (7) years. (Jensen
4/23/2019)(1-July 23,2019)(2-October 22,2019)
Town Secretary Fimbres advised that currently nine individuals submitted an application to possibly serve on the
Charter Review Commission.
Town Council Minutes August 13,2019 Page 7 of 8
Discussion took place that there was a total of nine seats and that each Council Member appoints one member to
serve on the Charter Review Commission,and the remaining members would be appointed by vote of the Council.
Town Attorney Dodd remarked that the Charter did not identify the application process but the Council had the
ability to appoint someone who did not apply.
Town Secretary Fimbres commented that appointments were scheduled to be made at the September 24, 2019
Council meeting.
Council Member Shoffner noted that the Charter Review Commission would have a Council Liaison and Staff
Liaison.
EXECUTIVE SESSION
11. Pursuant to the following designated section of the Texas Government Code, Annotated, Chapter 551
(Texas Open Meetings Act),the Council convened into executive session to discuss the following:
A) Section 551.071 Consultation with Attorney under Subsection (2)to consult with the Town Attorney on
a matter in which the duty of the attorney to the governmental body under the Texas Disciplinary Rules
of Professional Conduct of the State Bar of Texas clearly conflicts with the Texas Open Meetings Act,
specifically:
1) Cause No. 19-6232-393 John Artuso v.Town of Trophy Club(W.Carroll)
2) Contract Issues,Procedures,and Enforcement(W.Carroll)
B) Section 551.072 Deliberation regarding Real Property to discuss or deliberate the purchase, exchange,
lease, or value of real property if deliberation in an open meeting would have a detrimental effect on
the position of the governmental body in negotiations with a third person:
North of State Highway 114, east of Trophy Club Drive and west of Town limits(Mayor Pro Tem Jensen
and Council Member Shoffner)
C) Section 551.074 Personnel Matters under Subsection (1) to discuss or deliberate the appointment,
employment,evaluation,reassignment,duties,discipline or dismissal of a public officer or employee:
Town Manager position(W.Carroll)
CONVENED INTO EXECUTIVE SESSION-START TIME—8:40 P.M.
RECONVENED INTO REGULAR SESSION-START TIME—10:00 P.M.
12. Consider and take appropriate action regarding the Executive Session(W.Carroll).
No action was taken on this item.
ADJOURNMENT
Mayor Sanders adjourned the meeting at 10:00 p.m.
• l1 • ROp / ,
HollyFimbres, own Secr: .'r C. Nick Sanders, Mayor
Town of Trophy Club,Texa "' coTown of Trophy Club,Texas
014 *
Town Council Minutes k„.. ..n,. August 13,2019 Page 8 of 8