Minutes TC 02/05/2007MINUTES OF REGULAR TOWN COUNCIL MEETING FOR 'THE
TOWN OF TROPHY CLUB
LOCATION: 100 MUNICIPAL DRIVE, TROPHY CLUB, TEXAS
Monday, February 5,2007
7:00 P.M.
STATE OF TEXAS 8
COUNTY OF DENTON 8
The Town Council of the Town of Trophy Club, Texas, met in a Regular Session on Monday,
February 5, 2007. The meeting was held within the boundaries of the Town and was open to the
public.
TOWN COUNCIL MEMBERS PRESENT:
Nick Sanders
Roger Williams
Pam Cates
Philip Sterling
Gregory Lamont
Mayor
Mayor Pro Tem
Council Member
Council Member
Council Member
TOWN COUNCIL MEMBERS ABSENT:
Susan Edstrom Council Member
STAFF AND GUEST(S) PRESENT:
Brandon Emmons
Lisa Ramsey
Patricia Adams
Beth Ann Gregory
Sakura Moten-Dedrick
Scott Kniffen
Danny Thomas
Kerin Fleck
Town Manager
Town Secretary
Town Attorney
Community Development Director
Finance Director
Police Chief
Fire Chief
Planning Coordinator
A.l Mayor Sanders called the Regular Session to order at 6:31 p.m. noting a quorum was
present.
Mayor Sanders said Council member Edstrom notified the Town Secretary last week that she
would be out of town on business tonight and possible on February 19'~. Sanders noted Council
member Cates was also running late.
A.2 Work Session: Discuss and review items posted to the February 5, 2007 Agenda,
including but limited to Item C.6.
Mayor Sanders introduced Brad Hunstable from Hillwood.
Town Manager Emmons commented staff recently received a request for early grading permits.
Currently the Town does not allow early grading prior to the execution of the Developer's
Agreement.
Council reviewed staft's draft provisions to provide criteria for early grading.
Emmons added if Council agrees to early grading, any work done prior to the developer's
agreement would be at the risk of the developer.
Mayor Pro Tem Williams questioned if Hillwood reviewed the changes. Mr. Hunstable responded
Hillwood finds the terms acceptable.
Mayor Sanders asked how Hillwood felt about the standards listed under section F. Mr.
Hunstable said cities do this in several different ways and this is a minimal risk for Hillwood.
Hillwood explained the construction schedule and the risk is no more than what is currently
involved, as they will mass grade what they can without getting into the flood plain.
Council member Lamont clarified the changes would effect future development.
Council member Sterling confirmed all fees for grading, as well as any fees associated to grading
are applicable under section K.
Community Development Director, Beth Ann Gregory said cities with similar provisions are;
Dallas, Fort Worth, McKinney, Crandell, Allen, Mesquite and Red Oak.
Town Manager Emmons referenced C.8 and said Town Attorney, Patricia Adams is diligently
working on the PID agreement for the February lgth own Council agenda deadline. Adams said
it would be possible to provide a draft of the agreement to Council at their February lgth meeting.
Mayor Sanders would like a workshop to discuss the agreement and would like the document
provided in advance. Although the February lgth date seems impractical, Sanders requested the
item be left on the Agenda for discussion.
Council member Cates questioned why bids were not requested for the agreements listed in
Items (3.9, 10 and 11. Town Manager Emmons responded State Statute does not require we go
out for bids; however the Town's policy does. Emmons asked Council to decide and explained
the bid process would probably produce the same results. The Town is already incurring
expenses and in order to meet the timeline, the agreements need to be in place.
Council member Cates believes the Council has a fiduciary responsibility to the future residents
and needs to find out how competitive the fees are.
A.3 Police Chief Kniffen gave the Invocation.
A.4 Council member Sterling led the Pledges.
A.5 Citizen presentations:
LC Crowley, 410 Lakewood Drive - Spoke against the Ordinance designating the Town of Trophy
Club a "Smoke Free" Town.
Clem Fullerton, 1 Sunrise Court - Spoke against the Ordinance designating the Town of Trophy
Club a "Smoke Free" Town.
A.6 Police Chief Kniffen presented the following awards and commendations:
Police Officer Robert Mastropiero - Community Service Medal and Bachelors Degree Award
Sergeant Tony Simmons - Meritorious Conduct, Master Peace Officer and Instructor
Sergeant Wes Tyler - Master Peace Officer, Military Service Award, Instructor, Educational
Achievement Award and Police Commendation
Corporal Scott Voigt - Military Service Award
Chief Kniffen acknowledged the following recipients who were unable to attend the meeting:
Captain Lee Delk - Instructor, Advanced Peace Officer and 10 years Service Award
Police Officer Keith Burris - Educational Achievement Award
Police Officer Mike Conklin - Advanced Peace Officer, Educational Achievement Award, 5 years
Service Award and Certificate of Merit
Police Officer Wade Montgomery - FTO Medal and Advanced Peace Officer
Police Officer Jim Norcross - Military Service Award and Educational Achievement Award
Police Officer Fred Lohman - Master Peace Officer, Military Service Award and FTO Medal
Police Officer Chris Loftis - Educational Achievement Award and FTO Medal
All matters listed as Consent Acrenda 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.
Motion made by Lamont, seconded by Williams to approve the Consent Agenda, Item B.1.
Motion passed unanimously without any discussion
B.l Consent agenda: Discuss and take appropriate action relative to a request for a
Temporary Use Community Garage Sale Permit granted by Special Privilege. (Applicant:
Betty Watson, Trophy Club Women's Club)
End of Consent Agenda
TOWN COUNCIL RECONVENE INTO REGULAR SESSION AT 7:16 P.M.
'REGULAR SESSION
C.l Discuss and take appropriate action on a request for Preliminary Plat approval for an
approximate 12.23 acre tract of land legally described as A. Medlin Survey, Abstract No.
832, known as Churchill Downs. Applicant: Southwest T.O.O. Development L.L.C.
Applicant, Todd Price Owner of Southwest Development introduced himself.
Mayor Sanders recognized Planning and Zoning Commissioner James Stephens who reported
the radius issues would be addressed in the final plat. The Commission recommended approval
by a unanimous vote.
Mayor Sanders questioned if a drainage study was submitted. Stephens confirmed a drainage
study was submitted, but not provided in the packet.
Motion made by Williams, seconded by Sterling to approve.
Council member Sterling questioned the side yard set back. Planning and Zoning Coordinator,
Kerin Fleck answered zoning requirements do not apply; probably ten-feet.
Mayor Pro Tem Williams asked if the annexation would be finalized by the final plat. Town
Manager Emmons explained if the intent has already been submitted, we cannot stop with
annexation.
Mr. Price told Council the final plat was turned in last week and the Planning and Zoning
Commissions is expected to review it at their first meeting in March.
Motion passed unanimously without further discussion.
C.2 Discuss and take appropriate action relative to a request for Preliminary Plat approval for
an approximate 4.038 acre tract of land generally described as Mary Medlin Survey,
Abstract No. 831, to be known as the Maintenance Facility Addition. Applicant: Beck
Properties Trophy Club, L.P. (PP-06-008) Architect, George Blannas.
Planning and Zoning Commissioner James Stephens advised the Council this plat was
unanimously approved at their January 18, 2007 meeting.
Mayor Sanders commented all parking issues have been solved.
Council member Lamont confirmed the tree line will stay the same.
Mayor Pro Tem Williams asked why Beck Properties submitted this request when the facility is
owned by the Country Club.
Architect on the project, George Ballans was present and explained the swap of land between the
Country Club and Beck Properties. By constructing the maintenance facility Beck Properties is
satisfying their part of the agreement.
Motion made by Sterling, seconded by Williams to approve.
Motion passed unanimously without further discussion.
C.3 Discuss and take appropriate action regarding an Ordinance calling a JointJGeneral
Election for May 12, 2007 between the Town and NISD, calling an election for the
purpose of electing a Mayor and two Council Members to the Town Council and
approving the terms of a joint election agreement between the Town and NISD.
Motion made by Cates, seconded by Lamont to approve.
Mayor Sanders confirmed the mover and second intended approval for both the Ordinance and
Joint Agreement.
Motion passed unanimously without any discussion.
C.4 Discuss and take appropriate action regarding a Resolution amending Resolution 2006-
24 to appoint one citizen to serve on one seat on EDC 4B for the remainder of the
unexpired term expiring in 2008.
EDC 4B President, Jjm Hicks announced the names of the applicants as; Glen Strother, Richard
Bell and Darin Davis. Hicks reported at their January 9, 2007 meeting, the EDC 4B unanimously
voted to recommend Glen Strother to the Town Council to fill the vacancy. Hicks concluded Mr.
Strother is well versed in construction management and is currently a member of the Public
Works Advisory Group.
Motion made by Sterling, seconded by Lamont to appoint Glen Strother to EDC-B Board.
Motion passed unanimously without any discussion.
C.5 Discuss and take appropriate action regarding the purchase of a video
surveillancelsecurity system from the Court Building Security Fund.
Town Manager Emmons provided Court was recently moved into the Public Services building.
The prior surveillance security system (VCRIcameraltapes) is estimated to be at least eight years
old and the picture quality is poor. Emmons added staff obtained two other estimates on
installation, both in line with a consistent hourly labor rate; however, this specific installer
appeared to represent a better value in terms of customer service and responsiveness.
Motion made by Lamont, seconded by Cates to approve.
Council member Sterling questioned who would be responsible for monitoring. Town Manager
Emmons explained this will not be actively monitored; the IS Manager will have monitoring
access via secure website access. Finance Director, Sakura Dedrick added the recording will
see everyone entering and exiting the Public Service Building and will record all Court
transactions.
Motion passed unanimously without further discussion.
C.6 Discuss and take appropriate action relative to an Ordinance repealing Section 7.01,
"Procedures", of Article VII, "Developer's Agreement, Financial Assurances and
Construction Contracts for Public Improvements", of Chapter 12 "Subdivision
Regulations" and by repealing Section 8.11, "Land-Disturbing Activities", of Article VIII,
"Tree Preservation and Removal", of Chapter 12, "Subdivision Regulations" of the Town's
Code of Ordinances and adopting a new Section 7.01 and Section 8.01 of the Code of
Ordinances. (ADIVI-07-028)
Motion made by Williams, seconded by Lamont to approve.
Town Manager Emmons recapped his explanation from the workshop.
Mayor Sanders confirmed the developers would still need to observe the permit process.
Council member Cates asked if the suggested amendments conflict with any other Ordinance.
Town Manager Emmons responded early grading is part of the construction and does not remove
the responsibility for the items covered in the developer's agreement. This would not release the
Developer from obligation of items in the sub- dividers agreement.
Mayor Pro Tem Williams verified this would require engineer approval.
Motion passed unanimously without further discussion
C.7 Discuss and receive input relative to potential amendments to Section 4.05(B)(2) of
Article IV, Chapter 5 of the Code of Ordinances relating to number, size and placement of
political signs.
Mayor Pro Tem Williams commented the current Ordinance allows one sign for each candidate in
each unplatted lot. There is always more than one sign per candidate in the unplatted
lots coming in on Trophy Club Drive.
Council member Lamont suggested an increase of more than twenty-five feet as the minimum
distance between signs located on non-residential or unplatted property.
Mayor Sanders would like to see commercial and residential clearly defined in the third sentence
rather than any zoning lot or other parcel of land.
Council member Sterling suggested increasing the space between the signs to 100 feet with one
sign per candidate on any contiguous land or street.
Council member Cates responded Trophy Club Drive is not contiguous and therefore would not
eliminate the number of signs. Sterling recommended uninterrupted land.
Mayor Pro Tem Williams agreed with Sterling and Lamont and believes increasing the distance
between the signs from 100 to 125 feet will eliminate the overkill of signs.
Town Attorney, Patricia Adams cautioned the Council concerning the restrictions for signs in
commercial areas. Adams understands Council's intent to limit the number of signs at the Town's
entrance and will provide suggested language at the February lgth meeting.
C.8 Discuss and provide input regarding the Trophy Club Public Improvement District #I
specifically related to the structure of the agreement and the proposed improvements.
Town Manager Emmons asked the Council to reference the Engineer's Opinion of Probable Cost
and Project List, listed on page 62 of the packet. Emmons stated these areas need to be nailed
down pretty tight as they will be part of the district.
Kirk Wilson from Centurion went through all items on the Project list.
Neither Wilson nor Emmons could confirm if thoroughfare improvements of the high school road
from Marshall Creek West to Hwy 377 were definite.
Council member Lamont questioned who would fund this project, should the Town not fund their
portion. Mayor Sanders answered the Town does not have any control once outside the Town
boundary.
Mayor Pro Tem Williams asked when the numbers will be finalized in order to put them into the
PID.
Mr. Wilson believes the numbers may change several times over the next couple of weeks and
said it is better to secure pro rata funding. Wilson added they will do whatever it takes to build the
road.
Town Attorney Patricia Adams spoke to the question of financibility, statirlg Bond Counsel may
decide it is not a good idea to include.
Council member Cates asked about pushing Roanoke for the funding as their residents come
through the Town in order to hit Hwy 114. Mayor Sanders responded the Town's residents use
Roanoke's roads as well; Roanoke did receive approval from TXDOT to put in a stop light at
Marshall Creek and 377. Town Manager Emmons said Roanoke has hired an engineering
company to look at the traffic impact and how Trophy Club residents impact their revenues.
Council discussed water distribution, acknowledging the Town will need to get water from either
Upper Trinity, the MUDS or directly from Fort Worth. Mr. Wilson will provide the exhibits on all
projects to Brandon and apologized for neglecting to invite the engineer.
Mayor Pro Tem Williams said the comprehensive project cost equals $21,675,000.00; something
will need to be cut. Mayor Sanders responded the bond council will help determine what is
defensible and what is considered public improvements.
Mayor Pro Tem Williams questioned the park improvements. Town Manager Emmons
responded the improvements are for the proposed recreation center.
Mr. Wilson answered Council Member Sterling's question that the partnership would have to
satisfy the debit should the PID go over budget.
Mayor Pro Tem Williams asked when Town Attorney Adams and Bond Counsel would have a
qualified list ready for Council's review. Adams provided the list will be developed as we get in
more detail.
Town Manager Emmons said Centurion is looking at a total over 60 million dollars of
improvements.
No action taken
C.9 Discuss and take appropriate action regarding an Investment Banking Agreement with
Banc of America Securities to provide underwriting and related banking services for the Public
Improvement District Bonds related to the Highlands at Trophy Club.
Mayor Sanders explained there are a limited number of financial institutions that have the money
necessary to issue these types of bonds. Town Manager Emmons said an uninsured bond is a
very special piece of paper that a lot of banks will not touch. Financial Advisor, Dan Almon feels
Banc of America is a good institution and 2% is a standard fee. Emmons added the Council
could decide to go out for bid; however PlDs are still so new in Texas there are only a limited
number of businesses that deal with these types of transactions and the result would probably be
the same businesses presented tonight.
Mayor Sanders listed Council's options; approve the engagement agreements presented, or
request quotes. Sanders also recognized Kirk Wilson's request for the Council to strongly
consider Banc of America as they have been on board with Centurion since the inception of this
project.
Motion made by Williams, seconded by Lamont to approve.
Mayor Pro Tem Williams feels the Town is fortunate that Banc of America wants to participate
and believes it behooves the Council to move forward and approve the agreement.
Having been through other development, Council member Cates feels the Council has a fiduciary
responsibility to find out what other options are available, plus approving counteracts the
procurement policies. Cates is not comfortable approving the agreement without knowing the
options and feels the Council should require bids.
Council member Sterling suggested negotiating the 2% fee. Mr. Wilson responded 2% is
standard and not outside what is reasonable. Wilson explained Banc of America is not providing
any services and does not have a lot of competition to finance uninsured bonds. Based on the
developers experience and the value of the lots, they are only financing the money and
advancing the funds to the PID.
Council member Lamont asked about keeping it local and questioned if Wells Fargo would
consider. Mr. Wilson said Banc of America contacted him about a year ago and after several
meetings, he feels very comfortable with them.
Mayor Sanders had earlier concern about contradictiug the enforcement of procurement policies
as anything over $25,000 requires bids. However knowing that Centurion is comfortable with
Banc of America, Sanders is satisfied with the risk of not requiring the bid as per the policies.
Council member Sterling is in favor and feels the developer has a vested interest.
Motion passed 3:l, with Council member Cates voting against.
C.10 Discuss and take appropriate action regarding an Engagement Agreement for financial
advisory services between the Town of Trophy Club and Southwest Securities, Inc.
Town Manager Emmons advised Dan Almon of Southwest Securities has been representing the
Town in a slightly different role since 1992; the Town is familiar with his services and has been
happy with his work product. Mr. Wilson is aware of Southwest Securities fee structure. Town
Manager Emmons confirmed all agreements, once approved by Council will be forwarded to
Wilson to apply to the reimbursement agreement.
Motion made by Lamont, seconded by Williams to approve.
Mayor Sanders confirmed the fees would be paid out of the PID; the Town will pay and then be
reimbursed through the closing.
Council member Cates disagrees with the manner this was presented and feels there is not
enough information in order to make an informed decision. Council member Sterling agreed as
this is more subjective than an underwriter's agreement. Mayor Sanders explained this type of
fee is always applied to the issuance amount and is fairly typical of what you ask the advisor to
do. Mr. Wilson added that currently there are only a few of these transactions working, and the
groups working these transactions are the same ones presented.
Motion passed 3: I, with Council member Cates voting against.
C.ll Discuss and take appropriate action regarding an Engagement Agreement with
MuniCap.
Town Manager Emmons said Town Attorney Adams found three companies; one did not
respond; of the other two, only MuniCap has representation in Texas. Mr. Wilson feels their fees
are acceptable.
Motion made by Sterling, seconded by Williams to approve.
Motion passed 3:1, with Council member Cates voting against.
Council member Sterling is impressed with Keenan Rice and thinks the deal will be solid.
Council member Lamont questioned how to hold their feet to the fire regarding disclosure. Mr.
Wilson will provide Town Manager Emmons their schedule of activities and disclosure process
report. In addition all sale agents will be trained and information concerning the tax rate will be
posted in the model homes.
Motion passed 3:1, with Council member Cates voting against.
C. 12 Items for Future Agenda.
No items added.
C.13 Reports.
Town Manager Emmons gave his report.
D.l Adjourn.
Motion made by Williams, seconded by Lamont to adjourn.
Meeting adjourned at 9:37 p.m.
~ica'~amsey, Town secretaryL.'
Town of ~robh~ Club, Texas
f&S&
Nick Sanders, Mayor
Town of Trophy ~iub,