Minutes TC 03/02/2009MINUTES OF REGULAR TOWN COUNCIL MEETING FOR THE
TOWN OF TROPHY CLUB
LOCATION: 100 MUNICIPAL DRIVE, TROPHY CLUB, TEXAS
Monday, March 2, 2009
7:00 P.M.
Los MINUTOS DE REUNION REGULAR de CONSEJO MUNICIPAL PARA EL PUEBLO
DE la UBICACION del CLUB de TROFEO: 100
CAMINO MUNICIPAL, el CLUB de TROFEO, TEXAS lunes, el 2 de marzo de 2009 7.00
de la tarde.
STATE OF TEXAS §
COUNTY OF DENTON §
The Town Council of the Town of Trophy Club, Texas, met in a Regular Session on Monday, March 2, 2009.
The meeting was held within the boundaries of the Town and was open to the public.
TOWN COUNCIL MEMBERS PRESENT:
Nick Sanders
Mayor
Philip Sterling
Mayor Pro Tern
Susan Edstrom
Council Member
Kathleen Wilson
Council Member
Jim Moss
Council Member
Glenn Strother
Council Member
STAFF AND GUEST(S) PRESENT:
Brandon Emmons
Town Manager
Stephen Seidel
Assistant Town Manager
Lisa Hennek
Town Secretary
Patricia Adams
Town Attorney
Scott Kniffen
Police Chief
AA Mayor Sanders called to order and announced a quorum at 7:02 p.m.
Mayor Sanders announced the following:
On January 30, 2009, a notice was posted in the Trophy Club Times advertising a Public Hearing for this
evening (March 2, 2009) to:
Amend Ordinance No. 2007-15 P&Z, PD-Planned Development District No. 27, The Highlands at Trophy
Club to amend Exhibit "B" Development Standards to delete, alter, and/or allow additional "Permitted Uses"
for approximately 16.5 acres known as "Village Center", and other miscellaneous changes to PD-27 as
related to this request as deemed necessary.
This item was inadvertently omitted from the Council's agenda tonight so if you are hear to speak on that
item, we apologize; however, we will hold that public hearing at the next regular March Council meeting. That
date will be determined later tonight pursuant to Agenda Item No. C.6 and an item announcing that date will
be published this Friday.
A.2 Council member Wilson offered the Invocation.
Town Council Minutes — March 2, 2009 Regular Session 1
A.3 Council member Moss led the Pledges.
A.4 Citizen Presentations;
Dave Edstrom, 269 Oak Hill Drive- made a general statement regarding the MUD legal fees and Charter
Review Commission.
B.1 Consent Agenda: Discuss and take appropriate action to approve financials and variance
report dated:
a. January 2009
Council member Wilson removed B.1. Wilson asked about the cost of the Council retreat. Town Manager
Emmons said the retreat was approximately $700 and 4% was remaining in the budget.
Motion made by Wilson, seconded by Edstrom to approve the Consent Agenda Item B.1.
Motion passed without any discussion.
B.2 Consent Agenda: Discuss and take appropriate action to approve Minutes dated, February
16, 2009.
B.3 Consent Agenda: Discuss and take appropriate action regarding an Ordinance repealing
Article Vlll entitled "Tree Preservation and Removal," of Chapter 12 entitled "Subdivision
Rules and Regulations," of the Code of Ordinances, in its entirety and adopting a new Article
Vill entitled "Tree Preservation and Removal," of Chapter 12 entitled "Subdivision Rules and
Regulations," in order to add two additional seats to the Tree Board and to make changes to
definitions and related provisions throughout Article Vlll. (Ord. 2009-04)
Motion made by Edstrom, seconded by Moss to approve the Consent Agenda Items B.2 — B.3.
Motion passed without any discussion.
TOWN COUNCIL CONVENED INTO REGULAR SESSION
*REGULAR SESSION
CA Discuss and take appropriate action regarding a request for Temporary Use Community
Garage Sale Permits granted by Special Privilege (2009). Applicant: Mellany Gibbon, Co -
Chairperson, Trophy Club Women's Club
On behalf of the Trophy Club Women's Club, President Wanda Brewster requested permission to hold two
2009 community -wide garage sale events in Trophy Club.
The Police Department has reviewed and approved as noted on the attached application.
The Women's Club requested a waiver of the $25 per event fee.
Motion made by Edstrom, seconded by Wilson to approve a request for Temporary Use Community Garage
Sale Permits granted by Special Privilege (2009) and grant the waiver of the $25 per event fee.
Planning and Zoning Chairman Hill reported on February 19th, the Planning and Zoning Commission heard
and considered a request of Trophy Club Women's Club for Community Garage Sale Permits and approval
for events to be held Saturday, April 18 and Saturday October 10, 2009. There was no request for rain dates.
By unanimous vote of 7 — 0, the Commission recommended Town Council approval of the permit request.
Town Council Minutes — March 2, 2009 Regular Session 2
The spring garage sale will be held Saturday, April 18, 2009 and the fall sale will occur Saturday, October 10.
For each event, no alternate rain day was planned.
Motion passed unanimously without any discussion.
C.2 Discussion and Appropriate Action Regarding a Request for Approval of a Temporary Use for
Off Street Parking for Model Homes in Planned Development No. 27, Neighborhood 2, Phase
1A, for a Period of Time of Not Greater Than One Year. Applicant: Bill Durham, Gallery
Custom Homes.
Planning and ,Zoning Chairman Hill reported at the February 19, 2009Planning and Zoning meeting, the
Commission heard and discussed Gallery Custom Homes request for approval of a Temporary Use of Lot 9,
Block BB (2416 Trophy Club Drive), as an off-street parking lot for model homes in PD-27 Neighborhood 2,
Phase 1A, for a 1-year period.
The parking facilities, as proposed, were to be in compliance with the Town's parking and landscape
regulations. Staff did recommend, and the Commission concurred, that the landscape requirement for trees
be waived on the site during the period of its use as an off-street parking lot.
The Commission, by unanimous vote or 7 - 0, recommended Town Council approval of the request.
Motion made by Edstrom, seconded by Sterling to approve a Request for Approval of a Temporary Use for
Off Street Parking for Model Homes in Planned Development No. 27, Neighborhood 2, Phase 1A, for a
Period of Time of Not Greater Than One Year.
Motion passed unanimously without any discussion.
C.3 Discuss and take appropriate action regarding the Citizen of the Year Committee.
A. Each Council Member and the Mayor to select one nominee to serve on the Committee.
The Volunteer Citizen of the Year Committee will make a recommendation to the Town Council at their
second meeting in March. The Committee will be comprised of one nominee from each Council Member and
the Mayor, as well as past Volunteer Citizen of the Year recipients who are able to participate. Any member
of the Selection Committee sharing a close, personal relationship with a nominee (such as a relative, etc.)
should recuse themselves from the Committee.
Council member Moss appointed Kristin Greenwood.
Council member Edstrom appointed Peggy Sweeney.
Mayor Pro Tern Sterling appointed Rob Schmitz.
Council member Wilson appointed Pearl Ford.
Council member Strother appointed Steven Kohs.
Mayor Sanders appointed Sally Michelak.
C.4 Discuss and take appropriate action regarding Citizen Contact Report for 2008.
Police Chief Kniffen stated that the Citizen Contact Report was a State mandated report required to be
presented to Council in March. The report consisted of two levels of data, Tier 1 data addressed all traffic
stops, while Tier 2 data included all non -traffic related contacts. The purpose of the report was to identify
any prevalence of'racial profiling` within the Trophy Club Police Department.
Report only, no action taken.
Town Council Minutes — March 2, 2009 Regular Session 3
C.5 Report by Police Chief Kniffen regarding crime rates in Trophy Club; discuss and take
appropriate action regarding same.
Police Chief Kniffen gave a presentation regarding the crime rates in Trophy Club.
No action taken, report only.
C.6 Discuss and take appropriate action regarding the date for the second regular Town Council
meeting in March.
Mayor Sanders stated the Ordinance calling the Election was not complete with Charter Amendment
information. it may be necessary for the Council to call a special meeting in order to consider the Ordinance
ordering and calling a Joint General and Joint Special Election between the Town, NISD, MUD1 and MUD2
on May 9, 2009; ordering and calling a General Election for the purpose of electing a Mayor and two Council
Members for two year terms; ordering and calling a Special Election on a measure to determine whether
qualified voters of the Town approve the exchange of a 0.11 acre tract of land owned by the Town which is
part of Harmony Park for a 0.18 acre tract of land owned by a private party and adjacent to Harmony Park;
ordering and calling a Special Election for referred Ordinance No. 2009-05 abolishing MUD2 and submitted
to binding referendum by the Town Council pursuant to the Town Charter; ordering and calling a Special
Election on various amendments to the Town's Home Rule Charter. Additionally, NISD will be on spring
break March 16 — March 20, 2009, which may conflict with the March 16, 2009 meeting.
Staff asked that the Town Council consider rescheduling the March 16, 2009 meeting to March 9, 2009.
Council directed staff to reschedule the March 16, 2009 meeting to March 9, 2009.
Mayor Sanders advised that the Council would convene into Executive Session, under Item DA prior to
considering the next items.
Town Council convened into Executive Session at 7:52 P.M.
Town Council reconvened into Regular Session at 9:05 P.M.
C.7 Receive the Consolidation Task Force Final Report; discuss and take appropriate action
regarding same.
Mayor Sanders advised that copies of the report presented by MUD1 Director Hase were available.
Council member Wilson thanked Director Hayes, Pete Reinke and Bob Fair for their participation. Wilson
stated that she was pleased with the Committee and their findings.
Council member Strother seconded Wilson's appreciation of the group.
Mayor Sanders stated that he met with Master District Chair White and Directors Hase and Thomas and
Sanders read the following statement:
1. Presentation of Total Dollar Savings from Consolidation on Repot A does not allow for the continuing
of fire tax to be collected from Solana even though this was an approach proposed by the Town
Manager. You can see this by comparing the Fire Department Operating Expenses on Reports B of
$1,080,327.56 & C of $1,113,629.00,
It was explained that the Town could not collect a fire tax from Solana and if the Town took over
MUD2 they would not be able to collect the fire tax from Solana. Town Manager Emmons' proposal
Town Council Minutes — March 2, 2009 Regular Session 4
was to have Westlake pay the equivalent of the dollars needed for a period of time. This proposal
has been discussed with Mayor Wheat and Town Manager Brymer and they have agreed with this
concept - in part. They would like to see the total fire tax amount decline over the next 5 years. Our
records show that our Fire Department has not provided any services to the Solana area in a
number of years because Westlake has their own Fire and EMS department.
Therefore the Net Town Revenue Needed on Report C should be reduced by $33,301.50.
One additional quick check points out the fact that the Summary Report from the Consolidation
Committee for Report C does not fairly reflect the Towns intentions, which would be to take the
Additional Town Tax Rate of $0.179983 for FY2009-2010 from Report C and subtract the
Consolidated MUD Tax Rate from Report B of $0.17600 and subtract the MUD rate from the Town
rate you get a difference of $0.003983. Then multiply this rate by the total town Appraised Values of
$807,495,173 divided by 100; you get a total of $32,162.53. This should be the difference between
the Town and MUD total tax needed.
Presentation of Total Dollar Savings from Consolidation on Repot A does not take into effect the
savings generated in MUD2 operational expenses that would be part of O&M. That is, the $71,000
savings in legal and MUD Board operational expenses have not been taken into account. This does
not show in the Model developed by the Committee because these cost savings are part of a MUD
operation. It should mean that the cost to our citizens is less for Water & Waste Water along with a
savings in Taxes.
2. MUD1 Director Hase told us that the Consolidated MUD Tax Rates presented on Report B were
most likely not going to be the rates approved which he expected to be higher. Therefore, citizens
should not expect the tax rates presented on Report B.
Legal expenses on Report C1 for the Town should be set to zero in that MUD charges 75% of their
legal fees to MUD O&M.
Mayor Pro Tern Sterling questioned the rate the Town was charged for water.
Town Manager Emmons stated that while the group worked pretty well, he felt it would be premature to
accept the Consolidation report. Emmons stated that he had not had adequate time to review the report in
detail.
Council member Moss said that he spent a lot of hours with the MUD Directors and also a resident with 35
years experience, and all assured Moss that based on the assumptions, this was a good report.
Roger Williams, 215 Phoenix Drive — Spoke against the report,
Director Neil Twomey, 203 Oakmont Drive -- Explained the report.
Director Jim Budarf, 547 Indian Creek Drive -- Responded to Mayor Pro Tern Sterling stating that the Town
was charged the same rate per gallon of water as the treatment plant.
Greg Lamont, 15 Avalon — Said the formulas (datasets) in the report do not make sense.
Council member Edstrom asked if the Consolidation Committee agreed to the datasets. Council member
Wilson said the Committee did not have access to the datasets.
Council member Strother stated that the Committee did discuss the opportunity for Directors Hase and
Twomey to explain the report to the residents.
Council member Edstrom stated that although resident Michael Hickey said the assumptions were the way to
go, he did not validate the numbers. Edstrom suggested Greg Lamont and Roger Williams review and
validate the numbers.
Council member Wilson suggested the MUDs hire a financial firm to validate the report,
Town Council Minutes -- March 2, 2009 Regular Session 5
Council member Edstrom said that the bail was in the Town's court and to vet it out from a Council
perspective.
Director Neil Twomey explained that the datasets were separated into income, expenses and debt.
Director Jim Thomas, 7 Meadowbrook — Thanked Town Manager Emmons for his help on the Committee
and said that the Committee tried to go as conservatively as they could.
No action taken.
C.8 Discuss and take appropriate action approving an Ordinance making applicable state law
authorizing dissolution of MUD2, and the Town to succeed to the powers duties, assets and
obligations of MUD2, as authorized by state law, including without limitation the Texas Local
Government Code, and establishing a date for the assumption of powers, duties, assets and
obligations of MUD2 by the Town contingent upon a favorable vote at the May, 2009 election.
(Ordinance will be provided at the meeting.) (Ord. 2009-05)
Mayor Sanders explained, if passed, dissolution would be contingent upon the election results. Sanders
explained that MUD1 tried to join the Temporary Restraining Order earlier in the day and the Court ruled that
Council can act as posted.
Motion made by Strother, seconded by Sterling to approve the Ordinance, with an affective date of June 1,
2009, making applicable state law authorizing dissolution of MUD2, and the Town to succeed to the powers,
duties, assets and obligations of MUD2, as authorized by state law, including without limitation the Texas
Local Government Code, and establishing a date for the assumption of powers, duties, assets and
obligations of MUD2 by the Town contingent upon a favorable vote at the May 2009 election and taking
appropriate action to voluntarily submit the MUD2 dissolution Ordinance to popular vote at the May, 2009
election.
Town Manager Emmons explained how the fire tax would be affected should the Town take over MUD2.
Emmons said that if Council approves to submit the vote to the citizens there was still time to prepare.
Emmons provided a spreadsheet with two datasets; his numbers were based on the idea that compensation
can be secured from Westlake for the Fire Department.
Pearl Ford, 2 Spring Creek Court— Provided an alternative and suggested a Tax Increment Financing (TIF)
be formed for MUD1 residents for two years. Ms. Ford spoke in favor of the Ordinance.
Director Neil Twomey challenged the numbers presented by Town Manager Emmons' spreadsheet.
Director Jim Budarf - Asked the Council keep in mind that the Town was taking from operational reserves to
make the numbers look good. The MUDS keep enough reserves in order not to affect the debt service.
Director Jim Thomas — Spoke against the Ordinance.
Council member Strother stated that the Town was full of a lot of sharp people. Strother asked that people
use common sense; MUD2's operating costs was operating costs, regardless of who absorbs it.
Mayor Pro Tern Sterling said he could identify with both sides. Sterling said if the Town dissolved MUD2
there would be Administrative and Operation efficiencies.
Council member Edstrom concurred with Council member Strother and asked that everyone look at the long-
term solution. Edstrom agreed with Mayor Pro Tem Sterling and was appalled that another taxing entity
would file suit restraining the Town Council from taking action that they rightfully could take based on State
Statute.
Town Council Minutes — March 2, 2009 Regular Session 6
Council member Moss was concerned about Solana and confirmed that if the Town takes over MUD2,
MUD1 would still have Solana.
Council member Strother said MUD1 was not going away, Solana was not going away. The vote only
allowed the Council to let the citizens decide.
Council member Wilson questioned employee moral and felt there was a different way to slice the cake.
Wilson said that based on the possible $500,000 shortfall in the 2008-09 budget, maybe this was robbing
Peter to pay Paul, and first we need to fix Paul.
Town Attorney Adams advised Council may approve and repeal at a later time if they chose.
Mayor Sanders appreciated the respectful debate and said that he was concerned that the governance
problems would not be solved until Trophy Club was only one entity. Mayor Sanders suggested a viable
option for the Town to take over MUD operation and for the MUDs to become a taxing board.
Council member Moss stated that Master District Chair White wanted to give the residents the opportunity to
vote and he would like to do the same.
Motion passed 4:1; with Wilson opposing
A. Discuss and take appropriate action to voluntarily submit the MUD2 dissolution Ordinance
to popular vote at the May, 2009 election.
Dialogar y tomar la acci6n apropiada Para aprobar una Ordenanza en la que se permite
aplicar la ley estatal que autoriza la disolucidn de MUD2, y que el Poblado consiga tener los
poderes, deberes, blenes y obligaciones de MUD2, de acuerdo a to que autoriza la ley estatal,
incluyendo sin limitaciones al Cddigo de Gobierno Local de Texas y, estableciendo una fecha
para la asunci6n de los poderes, deberes, blenes y obligaciones de MUD2 por pane del
Poblado, condicionado a un voto favorable en la eleccidn de mayo de 2009. (La Ordenanza
sera proporcionada en la junta.) (Ord. 2009-05)
A. Dialogar y tomar la accidn apropiada para someter al voto popular, de forma voluntaria, en
la eleccidn de mayo de 2009, la ordenanza de disoluci6n de MUD2.
Motion made by Sterling, seconded by Edstrom to voluntarily submit the MUD2 dissolution Ordinance to
popular vote at the May 2009 election.
Motion passed 4:1; with Wilson opposing.
C.9 Discuss and take appropriate action regarding an Ordinance ordering and calling a Joint
General and Joint Special Election between the Town, NISD, MUD'I and MUD2 on May 9, 2009;
ordering and calling a General Election for the purpose of electing a Mayor and two Council
Members for two year terms; ordering and calling a Special Election on a measure to
determine whether qualified voters of the Town approve the exchange of a 0.11 acre tract of
land owned by the Town which is part of Harmony Park for a 0.18 acre tract of land owned by
a private party and adjacent to Harmony Park; ordering and calling a Special Election for
referred Ordinance No. 2009-05 abolishing MUD2 and submitted to binding referendum by the
Town Council pursuant to the Town Charter; ordering and calling a Special Election on
various amendments to the Town"s Home Rule Charter. (Ordinance will be provided at the
meeting.) (Ord. 2009-06)
Dialogar y tomar la accidn apropiada con respecto a una Ordenanza en la que se ordena una
Eleccidn Conjunta General y una Eleccidn Conjunta Especial y se hate un Ilamado a las
Town Council Minutes — March 2, 2009 Regular Session 7
mismas, qua serdn entre el Poblado, N1SD, MUDS y MUD2, el 9 de mayo de 2009; ordenando
y llamando a una Eleccl6n General con el proposito de elegir un Alcalde y dos Miembros del
Concilio por periodos de dos altos; ordenando una Eleccl6n Especial y llamando a la misma,
reference a una medida pars determinar si los votantes calificados del Poblado aprueban el
cambio de una extenslon de terreno de 0.11 de acre qua as propiedad del Poblado, y qua as
parte del Harmony Park, par una extension de terreno de 0.18 de acre, qua as propiedad de
un particular y qua estd adyacente a Harmony Park; ordenando una Eleccidn Especial y
llamando a la misma con referencia a la Ordenanza No. 2009-05, aboliendo a MUD2 y
sometido a un referondum de cumplimienta obligatoria par parte del Concilio del Poblado,
an cumplimlento con la Carta Constitucional del Poblado; ordenando una Eleccidn Especial y
haciendo un llamado a la misma, acerca de varias enmiendas a la Carta Constituclonal de
Autonomla del Poblado. La Ordenanza serzi proporclonada an la junta.) (Ord. 2009-06)
Motion made by Sterling, seconded by Edstrom to approve the Ordinance, with Section 5 removed ordering
and calling a Joint General and Joint Special Election between the Town, NISD, MUD1 and MUD2 on May 9,
2009; ordering and calling a General Election for the purpose of electing a Mayor and two Council Members
for two year terms; ordering and calling a Special Election on a measure to determine whether qualified
voters of the Town approve the exchange of a 0.11 acre tract of land owned by the Town which is part of
Harmony Park for a 0.18 acre tract of land owned by a private party and adjacent to Harmony Park; ordering
and calling a Special Election for referred Ordinance No. 2009-05 abolishing MUD2 and submitted to binding
referendum by the Town Council pursuant to the Town Charter; ordering and calling a Special Election on
various amendments to the Town's Home Rule Charter. (Ord. 2009-06)
Council took a five minute recess.
Council directed Town Attorney to proceed with Proposition 7 as submitted by the Charter Review
Committee.
Bill Rose, 219 Inverness -- Explained the appropriation of funds under Proposition 20, was only applicable in
cases where an attorney was involved.
Council directed Town Attorney to proceed with Proposition 7 as submitted by the CRVA, place both the
CRVA and Council Propositions for Ethics and leave Proposition 8 leave as submitted.
Motion passed unanimously, and Section 5 will come back at the March 9, 2009 meeting for discussion and
action.
C.10 Discuss and take appropriate action regarding forming a Ways & Means Committee to report
directly to the Council and provide direction to staff regarding amending appointment
Resolution, Handbook, and related documents.
Council member Moss requested this Item not be considered until the new Finance Director has had the
opportunity to get acquainted with the position.
CAI Items for Future Agenda.
No action taken.
Town Council did not reconvene into Executive Session,
EXECUTIVE SESSION
Town Council Minutes — March 2, 2009 Regular Session 8
D.1 Pursuant to Texas Government Code, Annotated, Subchapter 551, Section 551.071 (1) and (2)
"Consultation with Attorney", Council to convene into executive session to discuss the
following:
A. Legal advice related to Cause No. 2009-40021-362, Trophy Club Municipal Utility District
No. 2 v. Town of Trophy Club, pending in the 362nd District Court of Denton County,
Texas, including proposed Agreed Order and Interlocal Agreement;
B. Legal advice related to the consolidation of MUD1 and MUD2, dissolution of MUD2 and
related ballot propositions;
C. Legal advice related to the May, 2009 election, ballot, and propositions.
TOWN COUNCIL RECONVENED INTO REGULAR SESSION AT
REGULAR SESSION
D.2 Discuss and take appropriate action relative to Executive Session Item Number D.I.
No action taken.
EA Adjourn.
Motion made by Sterling, seconded by Edstrom to adjourn. Meeting adjourned at 12:15 a.m.
L�a Hennek, Town Secret ry
Town of Trophy Club, Texas
Nick Sanders, Mayor
Town of Trophy Club, Texas
Town Council Minutes — March 2, 2009 Regular Session 9