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Agenda Packet TC 06/04/2012Town Council Trophy Club Entities Meeting Agenda 100 Municipal Drive Trophy Club, Texas 76262 Svore Municipal Building Boardroom7:00 PMMonday, June 4, 2012 CALL TO ORDER AND ANNOUNCE A QUORUM INVOCATION PLEDGES Pledge of allegiance to the American Flag. Pledge of allegiance to the Texas Flag. 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 three (3) 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. 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. 1.2012-244-T Consider and take appropriate action regarding the Minutes dated May 21, 2012. May 21 2012 Minutes.pdfAttachments: 2.2012-245-T Consider and take appropriate action regarding a Resolution of the Town of Trophy Club, Texas denying Atmos Energy Corp., Mid-Tex Division’s (“Atmos Mid-Tex”) requested rate change; requiring the company to reimburse the Town’s reasonable ratemaking expenses; and providing an effective date. Staff Report Supporting Denial Resolution.pdf ACSC consultant rate decrease recommendation.pdf RES 2012-13 Denial - Atmos Mid Tex city level GMG.pdf Attachments: Town Council Page 1 of 87 Meeting Date: June 4, 2012 June 4, 2012Town Council Meeting Agenda 3.2012-227-T Consider and take appropriate action regarding a Resolution nominating a new primary and alternate representative to the Regional Transportation Committee in accordance with the rotation schedule set forth in the June 2010 Memorandum of Understanding; and providing an effective date. RTC Letter.pdf RTC Rotation_MOU.pdf Lewisville NCTCOG RTC Nominations.pdf RES 2012-14 RTC Nomination.pdf Attachments: REGULAR SESSION 4.2012-247-T Presentation of Life Saving Award by Fire Chief Danny Thomas. 5.2012-215-T Consider and take appropriate action regarding a Final Plat for Neighborhood 7, Phase 2G (32.297 acres) located in The Highlands at Trophy Club, R. W. Allen Survey, Abstract No. 5 and T. J. Allen Survey, Abstract No. 7. Applicant: Marc Paquette, Peloton Land Solutions on behalf of High Trophy Development LLC (FP-11-046) A. Consider and take appropriate action regarding a Subdivider's Agreement between the Town and High Trophy Development, LLC for Neighborhood 7, Phase 2G, and authorizing the Mayor or her designee to execute necessary documents. Staff Report - TC 060412 - NH 7 Ph 2G.pdf Drainage Easement - Lot 38 - NH 7 Ph 2G.pdf Drainage Easement - Lots 20-21 - NH 7 Ph 2G.pdf Sanitary Sewer Easement for Lift Station - Freedom Park.pdf Sanitary Sewer Easement for NH 7 Ph 2G.pdf Tree Mitigation - NH 7 .pdf Application.pdf Subdivider's Agreement - NH 7 Ph 2G.pdf Attachments: 6.2012-249-T Consider and take appropriate action regarding a Resolution of the Town Council of the Town of Trophy Club, Texas amending Resolution No. 2012-10 authorizing the creation of a Vision Trophy Club Ad Hoc Committee by adding a new member to serve on the Committee; providing that all other provisions of Resolution No. 2012-10 shall remain in full force and effect; and providing an effective date. RES 2012-15 Amending Vision TC Committee members.pdfAttachments: 7.2012-248-T Consider and take appropriate action regarding the Town Council meeting schedule for July 2012. 8.2012-250-T Town Manager Slye's update regarding the following; discussion of same. - Transportation - TCMA Conference, June 6-10, 2012 - Council Retreat Town Council Page 2 of 87 Meeting Date: June 4, 2012 June 4, 2012Town Council Meeting Agenda 9.2012-251-T Mayor and Council Updates regarding training opportunities, educational sessions, and regional meetings; discussion of same. - May 22, 2012 Vision Trophy Club Committee Meeting - May 23, 2012 BNHS Royal Awards - May 25, 2012 Neighbor Helping Neighbor Meeting 10.2012-252-T Items for Future Agendas. Future Agenda Items List.pdfAttachments: This item allows Council to request the placement of items on upcoming agendas when the topic of discussion requires research and review that cannot be accomplished in the time frame between regular Council meetings. However, a Council Member may request that an item be placed on the next regularly scheduled meeting without first placing that item on the Future Agenda Items list. All requests for agenda items must comply with Charter requirements. ADJOURN * The Town Council may convene into executive session to discuss posted items as allowed by the Texas Open Meeting Act, LGC.551.071 CERTIFICATION I certify that the above notice was posted on the front window of the Svore Municipal Building, 100 Municipal Drive, Trophy Club, Texas, on Thursday, May 21, 2012 by 5:00 P.M. in accordance with Chapter 551, Texas Government Code. ______________________________ Shannon DePrater, Town Secretary If you plan to attend this public meeting and have a disability that requires special needs, please contact the Town Secretary’s Office at 682-831-4600, 48 hours in advance, and reasonable accommodations will be made to assist you. I certify that the attached notice and agenda of items to be considered by this Board was removed by me from the front window of the Svore Municipal Building, 100 Municipal Drive, Trophy Club, Texas, on the __________ day of ______________________, 2012. ________________________________, Title: ___________________________ Town Council Page 3 of 87 Meeting Date: June 4, 2012 100 Municipal Drive Trophy Club, Texas 76262Trophy Club Entities Legislation Details (With Text) File #: Version:12012-244-T Name: Status:Type:Agenda Item Consent Agenda File created:In control:5/30/2012 Town Council On agenda:Final action:6/4/2012 Title:Consider and take appropriate action regarding the Minutes dated May 21, 2012. Attachments:May 21 2012 Minutes.pdf Action ByDate Action ResultVer. TITLE Consider and take appropriate action regarding the Minutes dated May 21, 2012. Town Council Page 4 of 87 Meeting Date: June 4, 2012 MINUTES FROM REGULAR SESSION TOWN COUNCIL MEETING FOR THE TOWN OF TROPHY CLUB LOCATION: 100 MUNICIPAL DRIVE, TROPHY CLUB, TEXAS Monday, May 21, 2012 at 6:00 P.M. Svore Municipal Building Boardroom The Town Council of the Town of Trophy Club, Texas, met in a Regular Session on Monday, May 21, 2012. The meeting was held within the boundaries of the Town and was open to the public. STATE OF TEXAS § COUNTY OF DENTON § TOWN COUNCIL MEMBERS PRESENT: Connie White Mayor Larry Hoover Mayor Pro Tem Margi Cantrell Council Member Bill Rose Council Member Glenn Strother Council Member arrived at 7:07 p.m. Jeannette Tiffany Council Member Danny Mayer Council Member-Elect Clint Schroeder Council Member-Elect STAFF AND GUEST(S) PRESENT: Mike Slye Town Manager Stephen Seidel Assistant Town Manager Shannon DePrater Town Secretary Patricia Adams Town Attorney Scott Kniffen Police Chief Danny Thomas Fire Chief Michael Aguilera Chief Budget Analyst Adam Adams Parks and Recreation Director Carolyn Huggins Community Development Director April Reiling PIO/Marketing Manager Mayor White announced the date of May 21, 2012, called the meeting to order and announced a quorum at 6:02 p.m. Council member Strother will be late. WORKSHOP SESSION 1. Review of Basic Municipal Finance Concepts; discussion of same. Town Manager Slye introduced Interim Finance Director Michael Aguilera. Mr. Aguilera presented the Council with Basic Financial Concepts and addressed questions from the Council. Presentation included in the minutes. 2. Discussion of agenda items posted for consideration on the Regular Session Council Agenda for May 21, 2012. 3. Discussion of proposed agenda items for the June 4, 2012 Regular Session Agenda. Mayor White called a short break. Town Council Page 5 of 87 Meeting Date: June 4, 2012 CONVENE INTO REGULAR SESSION - 7:00 P.M. The Invocation was offered by Council member Tiffany. The Pledges were led by Council member Rose. 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 three (3) 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. No citizen presentations were made. 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. 4. Consider and take appropriate action regarding the Minutes dated May 7, 2012. 5. Consider and take appropriate action regarding approval of Change Order #1 for the Trophy Club Drive and Trophy Lake Drive Roundabout Project. Motion made by Council member Rose, seconded by Mayor Pro Tem Hoover, to approve the consent agenda as presented. Motion carried unanim ously. REGULAR SESSION 6. Consider and take appropriate action regarding a Final Plat for Neighborhood 6, Phase 3B, 98 residential lots, 1 open space, 37.114 acres, located in The Highlands at Trophy Club. Applicant: Peloton Land Solutions on behalf of High Trophy Development, LLC (FP-11-045) A. Consider and take appropriate action regarding a Subdivider's Agreement between the Town and High Trophy Development, LLC for Neighborhood 6, Phase 3B, and authorizing the Mayor or her designee to execute necessary documents. Motion made by Council member Rose, seconded by Council member Tiffany, to approve the Final Plat for Neighborhood 6, Phase 3B, and the Subdivider's Agreement between the Town and High Trophy Development, LLC for Neighborhood 6, Phase 3B, and authorizing the Mayor or her designee to execute necessary documents. Motion carried unanimously. 7. Consider and take appropriate action regarding a Resolution of the Town Council of the Town of Trophy Club, Texas, to recognize Larry Hoover for his service to the Town of Trophy Club; discussion of same. Motion made by Council member Rose, seconded by Council member Strother, to approve Resolution No. 2012-12 recognizing Larry Hoover for his service to the Town of Trophy Club. Motion carried 4-0-1 with Mayor Pro Tem Hoover abstaining. Town Council Page 6 of 87 Meeting Date: June 4, 2012 8. Remarks to and from outgoing Council Member Hoover. Each Council member thanked Council member Hoover for his service to The Town of Trophy Club. Council member Hoover stated the following: Thank you to the citizens of Trophy Club for electing me to the town council two years ago. I am proud to have been able to serve you and serve on one of the most cohesive, forward-looking councils in the history of Trophy Club. We have worked together as a team preparing our town for the future. While we occasionally passionately disagreed on some things, we have always been respectful of each other and supported the final vote. I am proud of what we have accomplished in the last two years. We have accomplished several significant milestones over the past two years: 1. Hired a new professional, forward thinking and responsive Town Manager who has helped turn around our reputation for commercial development. He has improved our relationship with the MUD and significantly improved employee morale. 2. Established the first Reserve Fund Policy and Investment Policy in the Town's history. 3. Raised our Standard and Poor’s bond rating to AA – only 65 cities in Texas have this high a rating and only 7 of less than 10,000 population have this high a bond rating. This significantly reduces our borrowing costs. 4. Received the Government Finance Officers Association - Distinguished Budget Award - 2009 & 2010. 5. Received the Government Finance Officers Association Award for Excellence in Financing Report – 2010. 6. Received the Texas State Comptroller's Office Gold Leadership Circle Award for Financial Transparency - 2010 & 2011. 7. Received the Fort Worth Builders Association Community Spotlight Award – 2011 for our development in The Highlands. 8. Broke ground on the Hampton Inn & Suites. 9. Permitted 456 new homes growing the population to over 8,560. 10. Installed Safe Routes to School Federal Grant project and implemented street corner school crossing guards to ensure the safety of our children. 11. Constructed and opened Independence East Park, a world class youth baseball facility as part of the parks bond program. And it will host the World Little League Tournament this year. 12. Completed an additional 500,000 gallon water tank. 13. Opened the Splash Park in Independent Park East in 2010 as the required Public Improvement District/The Highlands water feature. 14. Opened Freedom Park's dog facility in September 2011 as part of the parks bond program. 15. Signed trail heads and widened trails in Trophy Club Park. 16. Completed the 18 hold disc golf course in Trophy Club Park. 17. Launched Trophy Club Facebook and Twitter pages to keep residents better informed. 18. Adopted the first phase of a comprehensive storm drainage study and are currently reaching out to our surrounding neighbors to address our flooding issues regionally. 19. Started construction on the PID-required intersection improvement at Trophy Club Drive and Trophy Lake Drive that will make the intersection much more efficient and safer. 20. Developed and initiated an action plan to update the Town's vision for the next 20 years. 21. Created and appointed the Citizen Financial Advisory Board. 22. Created and adopted a rock solid ethics ordinance. 23. Rezoned the largest commercial block of land we have for a high class mixed use development. As a town, we cannot change zoning. Only the property owner can request it and we negotiated a very restrictive rezoning. Those that say we ignored the petition are just wrong. Thanks to everyone on the Town Staff for their service and commitment to our residents. Trophy Club could not function without you. Thanks to all the volunteers who serve on our committees and at our activities. You increase our sense of community and make Trophy Club truly a Great Place to Call Home. We are truly blessed to be located in the best part of the Metroplex in the best state of the country. This town’s future has never been brighter. Thank you for allowing me to serve. Lastly, I remind the council Town Council Page 7 of 87 Meeting Date: June 4, 2012 that they are a board of directors – not micro managers, and you are in the people business. Every morning, look in the mirror and ask your self – Would I work for me? 9. Consider and take appropriate action regarding an Ordinance canvassing the returns and declaring the results of the General Election for the Town of Trophy Club held on May 12, 2012 for the purpose of electing one (1) Council member for Place #3 for a three (3) year term, and electing one (1) Council member for Place #4 for three (3) year term to the Town of Trophy Club Town Council; and providing an effective date. Motion made by Council member Tiffany, seconded by Council member Strother, to approve Ordinance No. 2012-11 canvassing the returns and declaring the results of the General Election for the Town of Trophy Club held on May 12, 2012 for the purpose of electing one (1) Council member for Place #3 for a three (3) year term, and electing one (1) Council member for Place #4 for three (3) year term to the Town of Trophy Club Town Council; and providing an effective date. Motion carried unanimously. 10. Oath of Office to be administered by Municipal Court Judge, Mark Chambers, and Presentation of Certificates of Election from Judge Chambers to incoming Council Members. Municipal Judge Mark Chambers administered the Oaths of Office to Clint Schroeder – Place 3 and Danny Mayer – Place 4. Council members Schroeder and Mayer stated their Statement of Elected Officer and Mayor White presented Certificates of Election to both newly elected Council members. Mayor White called a short break. 11. Remarks to and from incoming Council Members. Council members Schroeder and Mayer made remarks to the Council and residents in the audience. Council members welcomed the newly elected officials. 12. Consider and take appropriate action regarding an Ordinance amending Chapter 1 of the Code of Ordinances, entitled “Administration”, article VIII, entitled “Schedule of Fees”, by repealing Section 8.12 entitled “Parks and Recreation” in its entirety and adopting a new Section 8.12 entitled “Parks and Recreation” in order to add fees for new amenities and to add business group rates for use of pool amenities; providing for publication; and providing an effective date. Motion made by Council member Rose, seconded by Council member Tiffany, to approve Ordinance No. 2012-12 amending Chapter 1 of the Code of Ordinances, entitled “Administration”, article VIII, entitled “Schedule of Fees”, by repealing Section 8.12 entitled “Parks and Recreation” in its entirety and adopting a new Section 8.12 entitled “Parks and Recreation” in order to add fees for new amenities and to add business group rates for use of pool amenities; providing for publication; and providing an effective date as amended. Council member Rose withdrew his motion and Council member Tiffany withdrew her second. Motion made by Council member Rose, seconded by Council member Tiffany, to approve Ordinance No. 2012-12 amending Chapter 1 of the Code of Ordinances, entitled “Administration”, article VIII, entitled “Schedule of Fees”, by repealing Section 8.12 entitled “Parks and Recreation” in its entirety and adopting a new Section 8.12 entitled “Parks and Recreation” in order to add fees for new amenities and to add business group rates for use of pool amenities; providing for publication; and providing an effective date. Motion carried unanimously. Town Council Page 8 of 87 Meeting Date: June 4, 2012 13. Consider and take appropriate action regarding an Ordinance amending Article XIII, entitled “Open Records“ of Chapter 1, entitled “Administration” by adding a new Subsection 13.02, entitled “Thirty-Six Hour Time Limit”; amending Article VIII entitled “Schedule Of Fees” of Chapter 1, entitled “Administration,” to add a subsection “m” entitled “Personnel Charges in Excess of 36 Hours” to Section 8.14 entitled “Texas Administrative Code”; providing for publication; and providing an effective date. Motion made by Council member Strother, seconded by Council member Tiffany, to approve Ordinance No. 2012-13 amending Article XIII, entitled “Open Records“ of Chapter 1, entitled “Administration” by adding a new Subsection 13.02, entitled “Thirty-Six Hour Time Limit”; amending Article VIII entitled “Schedule Of Fees” of Chapter 1, entitled “Administration,” to add a subsection “m” entitled “Personnel Charges in Excess of 36 Hours” to Section 8.14 entitled “Texas Administrative Code”; providing for publication; and providing an effective date. Amended motion made by Council member Strother, seconded by Council member Tiffany, to approve Ordinance No. 2012-13 amending Article XIII, entitled “Open Records“ of Chapter 1, entitled “Administration” by adding a new Subsection 13.02, entitled “Thirty-Six Hour Time Limit”; amending Article VIII entitled “Schedule Of Fees” of Chapter 1, entitled “Administration,” to add a subsection “m” entitled “Personnel Charges in Excess of 36 Hours” to Section 8.14 entitled “Texas Administrative Code”; providing for publication; and providing an effective date. Motion carried 4-2-0 with Mayor White, Council members Rose, Tiffany and Strother voting for and Council members Schroeder and Mayer voting against. 14. Consider and take appropriate action regarding scheduling a Council Retreat. Motion made by Council member Tiffany, seconded by Council member Rose, to schedule a Council Retreat for Saturday, June 2, 2012 beginning at 8:00 a.m. at an unknown location yet to be determined. Motion carried unanimously. 15. Consider and take appropriate action regarding financial and variance reports dated March and April 2012. Motion made by Council member Strother, seconded by Council member Mayer, to approve the financial and variance reports dated March and April 2012. Motion carried unanimously. 16. Town Council Liaison Updates; discussion of same: - May 8, 2012 Parks and Recreation Board; Council member Tiffany - May 15, 2012 TCMUD No. 1; Council member Rose Council members Tiffany and Rose updated the Council regarding the respective meetings and addressed questions. No action taken, update only. 17. Town Manager Slye's update regarding the following; discussion of same: - Change Order - Drought Restrictions - Water Tower - ORR Hourly Report - Transportation Town Manager Slye updated the Council and addressed questions. No action taken, update only. Town Council Page 9 of 87 Meeting Date: June 4, 2012 18. Mayor and Council Updates regarding training opportunities, educational sessions, and regional meetings; discussion of same: - May 9, 2012 Northwest Communities Partnership Meeting - May 17, 2012 Metroport Cities Partnership The Mayor and Council members gave a brief update of the meetings they attended since the last Council meeting. No action taken, update only. 19. Items for Future Agendas. This item allows Council to request the placement of items on upcoming agendas when the topic of discussion requires research and review that cannot be accomplished in the time frame between regular Council meetings. However, a Council Member may request that an item be placed on the next regularly scheduled meeting without first placing that item on the Future Agenda Items list. All requests for agenda items must comply with Charter requirements. 1. Consider and take appropriate action regarding procurement policies and their alignment with State statutes. (Rose, 2/1/10) 2. Consider and take appropriate action regarding noise regulations for Oil and Gas Well Drilling and Production (Rose, 4/26/10) 3. Staff proposal regarding the amenity lakes, including associated costs to accept the amenity lakes from the developer. (Stotts, 10/4/10) 4. Consider and take appropriate action regarding the creation of a “Going Green” initiative throughout the Town. (White, 2/24/2011) 5. Consider and take appropriate action regarding updates to the Sign Ordinance (retail windows and political signs) (White and Cantrell, 5/2/2011) 6. Consider and take appropriate action regarding ball park signage. (Cantrell, 6/6/2011) 7. Consider and take appropriate action regarding a Golf Cart Community. (Tiffany, 6/6/2011) 8. Consider and take appropriate action regarding splash pad options at Harmony Park, including input/direction from Council to Staff to start construction and have available next summer. (Strother, 8/1/2011) 9. Consider and take appropriate action regarding the possibility of erecting a marquee at the North entrance of the Town and asking the MUD and/or developers to help with the funding. (Cantrell, 11/14/2011) 10. Consider and take appropriate action regarding Food Prep Carts for sporting events and special events and to review/update Park Policies (Cantrell, 5/7/2012) No items were added to the list. Council convened into Executive Session at 9:00 p.m. EXECUTIVE SESSION 20. Council to convene into executive session to discuss or deliberate the appointment, employment, evaluation, reassignment, duties, discipline or dismissal of a public officer or employee pursuant to Section 551.074 (a) (1) of the Texas Open Meetings Act Personnel Matters (§551.074(a)(1)): (1) Appointment of Mayor Pro Tem. Council reconvened into Regular Session at 9:08 p.m. Town Council Page 10 of 87 Meeting Date: June 4, 2012 RECONVENE INTO REGULAR SESSION 21. Consider and take appropriate action regarding the Executive Session. Council member Tiffany nominated Council member Strother as Mayor Pro Tem for the next year. Council member Rose moved to close the nominations. Nomination approved unanimously. ADJOURN Motion made by Council member Rose, seconded by Council member Mayer to adjourn. Motion carried unanimously. Meeting adjourned at 9:10 p.m. ___________________________________ ___________________________________ Shannon DePrater, Town Secretary Connie White, Mayor Town of Trophy Club, Texas Town of Trophy Club, Texas Town Council Page 11 of 87 Meeting Date: June 4, 2012 100 Municipal Drive Trophy Club, Texas 76262Trophy Club Entities Legislation Details (With Text) File #: Version:12012-245-T Name: Status:Type:Agenda Item Consent Agenda File created:In control:5/30/2012 Town Council On agenda:Final action:6/4/2012 Title:Consider and take appropriate action regarding a Resolution of the Town of Trophy Club, Texas denying Atmos Energy Corp., Mid-Tex Division’s (“Atmos Mid-Tex”) requested rate change; requiring the company to reimburse the Town’s reasonable ratemaking expenses; and providing an effective date. Attachments:Staff Report Supporting Denial Resolution.pdf ACSC consultant rate decrease recommendation.pdf RES 2012-13 Denial - Atmos Mid Tex city level GMG.pdf Action ByDate Action ResultVer. TITLE Consider and take appropriate action regarding a Resolution of the Town of Trophy Club, Texas denying Atmos Energy Corp., Mid-Tex Division’s (“Atmos Mid-Tex”) requested rate change; requiring the company to reimburse the Town’s reasonable ratemaking expenses; and providing an effective date. EXPLANATION: On January 31, 2012, Atmos Energy Corporation, Mid-Tex Division (“Atmos Mid-Tex” or “Company”) filed with Atmos Cities Steering Committee (“ACSC”) city members that exercise original jurisdiction a request for a rate increase in excess of $49 million. ACSC members passed resolutions suspending the effective date of the proposed increase to allow ACSC attorneys and consultants to study the request. A summary of the consultants’ findings is provided in the backup. The ACSC Settlement Committee has met with Company officials to negotiate a settlement. While ACSC has given the Company a settlement offer, Atmos Mid-Tex does not want to provide a written offer before the expiration of city jurisdiction on June 11, 2012. ACSC members with original jurisdiction suspended the proposed effective date of March 6, 2012, extending city jurisdiction until June 4, 2012. On April 25, 2012, the Company extended its effective date by a week, which similarly extended the June 4, 2012 deadline to June 11, 2012. It does not appear that settlement could be achieved within a time frame that would allow the City to take action prior to June 11, 2012. Thus, ACSC members are encouraged to pass a denial resolution. Atmos Mid-Tex has promised to support the action which does not preclude a subsequent settlement. If settlement is achieved, ACSC will return to member cities with a request for approval of the settlement. The ACSC Settlement Committee recommends the ACSC cities pass resolutions denying Atmos Mid-Tex’s proposed rate increase. The denial resolution will prevent the Company’s proposed rate increase from automatically taking effect on June 11, 2012, and allow more time to engage in settlement discussions. Atmos will appeal your denial to the Railroad Commission which will trigger a 185-day time frame for action by the Commission. Settlement will hopefully occur before a hearing takes place. TOWN COUNCIL GOAL(S): Goal #5: Financial and Operational Stewardship Develop, recognize, and retain quality staff Implement strong financial management standards Improve effectiveness and efficiency of operational processes Maintain / Improve infrastructure and assets Provide cost-effective services Deliver responsible customer service Town Council Page 12 of 87 Meeting Date: June 4, 2012 File #: 2012-245-T, Version: 1 RECOMMENDATION AND JUSTIFICATION TO COUNCIL: Management recommends approval of the Denial Resolution. Town Council Page 13 of 87 Meeting Date: June 4, 2012 STAFF REPORT SUPPORTING RESOLUTION DENYING ATMOS MID-TEX’S PROPOSED RATE INCREASE The Town, along with over 150 other cities served by Atmos Energy Corp., Mid- Tex Division (“Atmos Mid-Tex” or “Company”), is a member of the Atmos Cities Steering Committee (“ACSC” or “Steering Committee”). On or about January 31, 2012, Atmos Mid-Tex filed with the Town a Statement of Intent to increase rates within the Town. Background In 2003, TXU Gas filed a statewide rate case which became known at the Railroad Commission of Texas (“RRC”) as Gas Utilities Docket (“GUD”) No. 9400. That same year the Texas Legislature passed legislation referred to as the Gas Reliability Infrastructure Program (“GRIP”) which authorized annual piecemeal rate reviews that Texas courts have concluded significantly restrict city jurisdiction, participation, and input. Shortly after GUD No. 9400 was decided in 2004, Atmos Energy purchased TXU Gas and created what is known as Atmos Energy Corp., Mid-Tex Division. The Town is within the Atmos Mid-Tex Division. Atmos Mid-Tex filed four GRIP cases before filing a traditional rate case in September, 2007. As part of ACSC’s Settlement Agreement with Atmos of the 2007 rate case, ACSC and Atmos created a substitute process for annual piecemeal GRIP cases. That substitute process was called a Rate Review Mechanism (“RRM”) and was intended as an expedited but comprehensive rate review that included a number of fixed values and constraints. The RRM was intended as a three-year experiment. Last year, it was extended for a fourth year with some slight modifications to the original formulas. ACSC negotiated with Atmos in the final quarter of last year to further extend the RRM process, but no agreement was reached. Atmos has expressed a desire to reach a settlement of the January 31, 2012 filing that includes a revised RRM process. Discussion and Purpose Atmos Mid-Tex filed a Statement of Intent on January 31, 2012, seeking to increase system-wide base rates (which exclude the cost of gas) by approximately $49 million or 11.94%. However, the Company is requesting an increase of 13.6%, excluding gas costs, for its residential customers. Additionally, the application would change the way that rates are collected, by increasing the residential fixed-monthly (or customer) charge from $7.50 to $18.00 and decreasing the consumption charge from $0.25 per 100 cubic feet (“ccf”) to $0.07 per ccf. ACSC engaged attorneys and consultants to review Atmos Mid-Tex’s proposed rate increase. Additionally, the ACSC cities passed suspension resolutions earlier this year, extending the effective date of Atmos Mid-Tex’s proposed rate increase to June 4, 2012, in order to permit the cities time to review Atmos Mid-Tex’s Statement of Intent. During their review, ACSC’s consultants found justification that Mid-Tex’s rates should be decreased. On April 25, 2012, the Company extended the effective date of its Town Council Page 14 of 87 Meeting Date: June 4, 2012 proposed rate change, which similarly extended cities’ jurisdictional deadline to June 11, 2012. ACSC and the Company have engaged in some settlement discussions but have not yet reached agreement. ACSC is hoping to achieve settlement with the Company in order to perpetuate the RRM process. The ACSC Settlement Committee therefore recommends denial of the Company’s proposed rate increase rather than a rate decrease to facilitate further settlement discussions. The resolution prevents the Company’s proposed rates from automatically going into effect on June 11. The Company has expressed a desire for settlement while an appeal from the cities’ denial of the rate increase is pending at the RRC. Should a settlement be reached, the Town may be required to pass an ordinance setting new rates pursuant to the settlement. The purpose of the resolution is to deny Atmos Mid-Tex’s proposed rate increase pending further settlement discussions and to prevent Atmos’ proposed rate increase from automatically taking effect on June 11, 2012. Explanation of “Be It Resolved Paragraphs” Section 1. The paragraph denies the Company’s proposed rate increase. Section 2. This provision provides that the Company shall continue to charge its existing rates to its customers within the Town. Section 3. By law, the Company must reimburse the cities for their reasonable rate case expenses. Legal counsel and consultants approved by ACSC will present their invoices to the City of Arlington which will then seek reimbursement from Atmos Mid-Tex. The Town will not incur liability for payment of rate case expenses by adopting a denial resolution. Section 4. This section merely recites that the resolution was passed at a meeting that was open to the public and that the consideration of the resolution was properly noticed. Section 5. This section provides that both Atmos Mid-Tex’s designated representative and counsel for ACSC will be notified of the Town’s action by sending a copy of the approved and signed resolution to certain designated individuals. Recommendation The Town Staff recommends adoption of the resolution denying Atmos Mid-Tex’s proposed rate increase. Town Council Page 15 of 87 Meeting Date: June 4, 2012 ACSC Consultants’ Recommended Adjustments to Atmos Mid-Tex’s 2012 Statement of Intent to Increase Rates1 Following a review of the Company’s 2012 Statement of Intent, ACSC consultants found justification for an approximately $77 million decrease to the Company’s requested revenue, resulting in a $23 million decrease to the current rates charged by Atmos Mid- Tex. ACSC consultants’ recommendation for a rate decrease is based upon the following major components: 2 • Lowering the Company’s return on equity from 10.9% to 9.5%, resulting in a revenue requirement decrease of over $30 million • Removing the Company’s improper post-test year adjustment to add plant from January to March 2012, resulting in a revenue requirement decrease of approximately $5 million • Removing the Company’s proposal for an energy efficiency plan to be funded only by ratepayers, resulting in a revenue requirement decrease of over $1 million • Various adjustments to accumulated deferred income tax, resulting in a revenue requirement decrease of approximately $10 million • Recognizing new depreciation rates as filed by the Company (without adjustment by ACSC consultants), resulting in a revenue requirement decrease of approximately $15 million • Various adjustments to the Company’s requested level of operating and maintenance (O&M) expense, resulting in a revenue requirement decrease of over $8 million • Reducing rate base to account for ratepayer supplied funds relating to other post- employment benefits (FASB 106), resulting in a revenue requirement decrease of over $8 million • Cap residential customer charge at $9.00, instead of Atmos’ requested $18.00. 1 All figures are adjustments resulting in a revenue requirement impact to Atmos’ filed case system-wide. Factoring out Dallas, the ACSC cities would see slight decreases in the numbers listed above. 2 Please note that the adjustments listed are on a stand-alone basis, and may have a different impact when combined with the other adjustments. Town Council Page 16 of 87 Meeting Date: June 4, 2012 TOWN OF TROPHY CLUB RESOLUTION NO. 2012-13 A RESOLUTION OF THE TOWN OF TROPHY CLUB, TEXAS DENYING ATMOS ENERGY CORP., MID-TEX DIVISION’S (“ATMOS MID-TEX”) REQUESTED RATE CHANGE; REQUIRING THE COMPANY TO REIMBURSE THE TOWN’S REASONABLE RATEMAKING EXPENSES; FINDING THAT THE MEETING AT WHICH THIS RESOLUTION IS PASSED IS OPEN TO THE PUBLIC AS REQUIRED BY LAW; REQUIRING NOTICE OF THIS RESOLUTION TO THE COMPANY AND ACSC’S LEGAL COUNSEL; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the Town of Trophy Club, Texas (“Town”) is a gas utility customer of Atmos Energy Corp., Mid-Tex Division (“Atmos Mid-Tex” or “Company”), and is a regulatory authority under the Gas Utility Regulatory Act (“GURA”) and under Chapter 104, §104.001 et seq. of GURA, has exclusive original jurisdiction over Atmos Mid-Tex’s rates, operations, and services within the Town; and WHEREAS, the Town is a member of the Atmos Cities Steering Committee (“ACSC”), a coalition of over 150 similarly situated cities served by the Company that have joined together to facilitate the review and response to natural gas issues affecting rates charged in the Atmos Mid-Tex Division; and WHEREAS, pursuant to the terms of the agreement settling the Company’s 2007 Statement of Intent to increase rates, ACSC and the Company worked collectively to develop a Rate Review Mechanism (“RRM”) tariff that allows for an expedited rate review process controlled in a three-year experiment by ACSC as a substitute to the current GRIP process instituted by the Legislature; and WHEREAS, ACSC and the Company agreed to extend the RRM process in reaching a settlement in 2010 on the third RRM filing; and WHEREAS, in 2011, ACSC and the Company engaged in good faith negotiations regarding the continuation of the RRM process, but were unable to come to ultimate agreement; and WHEREAS, on or about January 31, 2012, the Company filed a Statement of Intent with the cities retaining original jurisdiction within its Mid-Tex service division to increase rates by approximately $49 million; and WHEREAS, Atmos Mid-Tex proposed March 6, 2012, as the effective date for its requested increase in rates; and WHEREAS, the Town suspended the effective date of Atmos Mid-Tex’s proposed rate increase for the maximum period allowed by law and thus extended the Town’s jurisdiction until June 4, 2012; and Town Council Page 17 of 87 Meeting Date: June 4, 2012 WHEREAS, on April 25, 2012, the Company extended the effective date for its proposed rates by one week, which similarly extended the Town’s jurisdiction until June 11, 2012; and WHEREAS, the ACSC Executive Committee hired and directed legal counsel and consultants to prepare a common response to the Company’s requested rate increase and to negotiate with the Company and direct any necessary litigation; and WHEREAS, ACSC’s consultants conducted a review of the Company’s requested rate increase and found justification that the Company’s rates should be decreased; and WHEREAS, ACSC and the Company have engaged in settlement discussions but will be unable according to Company representations to reach settlement in sufficient time for cities to act before June 11, 2012; and WHEREAS, failure by ACSC members to take action before June 11, 2012 would allow the Company the right to impose its full request on residents of said ACSC members; and WHEREAS, the ACSC Settlement Committee recommends denial of the Company’s proposed rate increase in order to continue settlement discussions pending the Company’s appeal of cities’ denials to the Railroad Commission of Texas; and WHEREAS, the GURA § 103.022 provides that costs incurred by cities in ratemaking activities are to be reimbursed by the regulated utility. THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF TROPHY CLUB, TEXAS: 1. That the rates proposed by Atmos Mid-Tex to be recovered through its gas rates charged to customers located within the Town limits, are hereby found to be unreasonable and shall be denied. 2. That the Company shall continue to charge its existing rates to customers within the Town and that said existing rates are reasonable. 3. That the Town’s reasonable rate case expenses shall be reimbursed by the Company. 4. That it is hereby officially found and determined that the meeting at which this Resolution is passed is open to the public as required by law and the public notice of the time, place, and purpose of said meeting was given as required. Town Council Page 18 of 87 Meeting Date: June 4, 2012 5. A copy of this Resolution shall be sent to Atmos Mid-Tex, care of David Park, Vice President Rates & Regulatory Affairs, at Atmos Energy Corporation, Mid-Tex Division, 5420 LBJ Freeway, Suite 1862, Dallas, Texas 75240, and to Geoffrey Gay, General Counsel to ACSC, at Lloyd Gosselink Rochelle & Townsend, P.C., P.O. Box 1725, Austin, Texas 78767-1725. 6. This Resolution shall become effective upon its passage in accordance with the law. PASSED AND APPROVED this 4th day of June, 2012. Connie White, Mayor Town of Trophy Club, Texas [SEAL] ATTEST: Shannon DePrater, Town Secretary Town of Trophy Club, Texas APPROVED TO AS FORM: Patricia A. Adams , Town Attorney Town of Trophy Club, Texas Town Council Page 19 of 87 Meeting Date: June 4, 2012 100 Municipal Drive Trophy Club, Texas 76262Trophy Club Entities Legislation Details (With Text) File #: Version:12012-227-T Name: Status:Type:Agenda Item Consent Agenda File created:In control:5/15/2012 Town Council On agenda:Final action:6/4/2012 Title:Consider and take appropriate action regarding a Resolution nominating a new primary and alternate representative to the Regional Transportation Committee in accordance with the rotation schedule set forth in the June 2010 Memorandum of Understanding; and providing an effective date. Attachments:RTC Letter.pdf RTC Rotation_MOU.pdf Lewisville NCTCOG RTC Nominations.pdf RES 2012-14 RTC Nomination.pdf Action ByDate Action ResultVer. TITLE Consider and take appropriate action regarding a Resolution nominating a new primary and alternate representative to the Regional Transportation Committee in accordance with the rotation schedule set forth in the June 2010 Memorandum of Understanding; and providing an effective date. EXPLANATION: Currently, the Cities of Lewisville, The Colony, and Roanoke and the Towns of Flower Mound and Trophy Club share a seat on the Regional Transportation Council (RTC). The RTC is the transportation policy body for the Metropolitan Planning Organization and is responsible for the direction and approval of the Metropolitan Transportation Plan, the Transportation Improvement Program, the Congestion Management Process, the Unified Planning Work Program, and is also responsible for satisfying and implementing federal and state laws and regulations pertaining to the regional transportation planning process. On June 21, 2010, the Town Council entered into a Memorandum of Understanding with the Town of Flower Mound and the Cities of Roanoke and The Colony, agreeing to a set rotation schedule for the primary and alternate representatives to the RTC. The City of Lewisville did not enter into the MOU, thus it did not agree to the rotation schedule. For the past two years, the primary representative for the shared RTC seat has been the person designated by the City of Lewisville. The City of Lewisville has requested that the RTC allow City of Lewisville’s Mayor Pro Tem Rudy Durham to continue to serve as the primary representative and has nominated The Colony’s Council member Perry Schrag to serve as the alternate representative for area. Under the terms of the MOU signed by Trophy Club, Roanoke, Flower Mound and the Colony, the primary representative for the RTC term commencing in June, 2012, is to be the person designated by Flower Mound and the alternative representative is to be the person designated by The City of the Colony. The Town is required to take action to approve representatives during the month of June. Because of the timing of Council actions by The Colony and Flower Mound, the Resolution submitted for Council approval does not provide the names of the primary and alternate representative, but consistent with the requirements of the terms of the MOU, the Resolution approves the persons designated by Flower Mound and The Colony to serve as primary and alternative representatives for the two year term commencing in June, 2012. TOWN COUNCIL GOAL(S): Goal # 3: Strong Partnerships and Community Involvement Create a positive regional identity Foster a well informed community Forge collaborative relationships with other governmental and public entities Support citizen volunteer opportunities Town Council Page 20 of 87 Meeting Date: June 4, 2012 File #: 2012-227-T, Version: 1 Promote recreational / active lifestyle opportunities for all ages RECOMMENDATION AND JUSTIFICATION TO COUNCIL: Management recommends approval of the Resolution designating a primary and alternative member from Flower Mound and the Colony respectively in accordance with the 2010 Memorandum of Understanding. Town Council Page 21 of 87 Meeting Date: June 4, 2012 T o w n C o u n c i l P a g e 2 2 o f 8 7 M e e t i n g D a t e : J u n e 4 , 2 0 1 2 T o w n C o u n c i l P a g e 2 3 o f 8 7 M e e t i n g D a t e : J u n e 4 , 2 0 1 2 T o w n C o u n c i l P a g e 2 4 o f 8 7 M e e t i n g D a t e : J u n e 4 , 2 0 1 2 T o w n C o u n c i l P a g e 2 5 o f 8 7 M e e t i n g D a t e : J u n e 4 , 2 0 1 2 T o w n C o u n c i l P a g e 2 6 o f 8 7 M e e t i n g D a t e : J u n e 4 , 2 0 1 2 Town Council Page 27 of 87 Meeting Date: June 4, 2012 Town Council Page 28 of 87 Meeting Date: June 4, 2012 Town Council Page 29 of 87 Meeting Date: June 4, 2012 TOWN OF TROPHY CLUB, TEXAS RESOLUTION NO. 2012-14 A RESOLUTION OF THE TOWN COUNCIL OF THE OF THE TOWN OF TROPHY CLUB, TEXAS NOMINATING THE PRIMARY REPRESENTATIVE AND ONE ALTERNATE REPRESENTATIVE TO THE REGIONAL TRANSPORTATION COUNCIL IN ACCORDANCE WITH THE JUNE 2010 MEMORANDUM OF UNDERSTANDING; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the Regional Transportation Council (RTC) Bylaws and Operation Procedures state that “The person representing a group of several cities shall be selected by mayors/county judges using a weighted vote of maximum of the daytime or nighttime population of the cities/counties represented”; and WHEREAS, the Towns of Trophy Club and Flower Mound and Cities of Lewisville, Roanoke and The Colony share a seat on the Regional Transportation Council; and WHEREAS, on June 21, 2010 the Town Council of the Town of Trophy Club entered into a Memorandum of Understanding with the Town of Flower Mound, City of The Colony, and the City of Roanoke to set an order of rotation for the participating cities. The City of Lewisville did not enter into the Memorandum of Understanding; and WHEREAS, the Memorandum of Understanding states that a representative from the Town of Flower Mound shall as the primary representative for the RTC and a representative from the City of The Colony shall serve as the alternate representative for the RTC for the term commencing June, 2012. NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF TROPHY CLUB, TEXAS THAT: Section 1. In accordance with the Memorandum of Understanding entered into by the Town, the Town of Trophy Club hereby nominates the Town of Flower Mound approved designee as the primary representative and the City of the Colony approved designee as the alternate representative to the Regional Transportation Council. Section 2. That this Resolution shall take effect from and after the date of passage. Town Council Page 30 of 87 Meeting Date: June 4, 2012 PASSED AND APPROVED by the Town Council of the Town of Trophy Club, Texas on this the 4th day of June, 2012. Connie White, Mayor Town of Trophy Club, Texas [SEAL] ATTEST: Shannon DePrater, Town Secretary Town of Trophy Club, Texas APPROVED TO AS FORM: Patricia A. Adams , Town Attorney Town of Trophy Club, Texas Town Council Page 31 of 87 Meeting Date: June 4, 2012 100 Municipal Drive Trophy Club, Texas 76262Trophy Club Entities Legislation Details (With Text) File #: Version:12012-247-T Name: Status:Type:Agenda Item Regular Session File created:In control:5/30/2012 Town Council On agenda:Final action:6/4/2012 Title:Presentation of Life Saving Award by Fire Chief Danny Thomas. Attachments: Action ByDate Action ResultVer. TITLE Presentation of Life Saving Award by Fire Chief Danny Thomas. EXPLANATION: On March 27, 2011 Trophy Club resident Gary Bedson experienced a heart attack due to a blockage of the left anterior descending artery. This type of heart attack is known as the “widow maker” because it typically results in sudden death. Trophy Club Fire Department’s A Shift arrived within minutes of the call and started an IV with cardiac therapy and ran a 12-lead EKG. The paramedics contacted Baylor Grapevine and activated the cath lab so it was ready upon Mr. Bedson’s arrival. Mr. Bedson survived the heart attack due to prompt recognition of his symptoms and the quick initiation of effective advanced care. On April 11, 2012 Mr. Bedson experienced heart problems again and called 9-1-1 for help. Again A shift arrived within minutes and initiated effective advanced care. They were able to get a picture of Mr. Bedson’s heart that showed that blood clots had built up in the stents, and sent the information to the hospital while en route. Mr. Bedson received new stents less than half an hour from the onset of this heart attack. TOWN COUNCIL GOAL(S): Goal #1: Safe and secure community. Maintain low crime rate Increase citizen awareness and involvement in crime prevention Provide superior Emergency Services Improve data security RECOMMENDATION AND JUSTIFICATION TO COUNCIL: June 3-9 is National CPR/AED Awareness Week. The Trophy Club Fire Department is encouraging all residents to become familiar with the symptoms of heart attack and learn the life saving technique of CPR. We have certified CPR instructors on staff and have scheduled classes at the fire station. Town Council Page 32 of 87 Meeting Date: June 4, 2012 100 Municipal Drive Trophy Club, Texas 76262Trophy Club Entities Legislation Details (With Text) File #: Version:12012-215-T Name: Status:Type:Agenda Item Regular Session File created:In control:5/9/2012 Town Council On agenda:Final action:6/4/2012 Title:Consider and take appropriate action regarding a Final Plat for Neighborhood 7, Phase 2G (32.297 acres) located in The Highlands at Trophy Club, R. W. Allen Survey, Abstract No. 5 and T. J. Allen Survey, Abstract No. 7. Applicant: Marc Paquette, Peloton Land Solutions on behalf of High Trophy Development LLC (FP-11-046) A. Consider and take appropriate action regarding a Subdivider's Agreement between the Town and High Trophy Development, LLC for Neighborhood 7, Phase 2G, and authorizing the Mayor or her designee to execute necessary documents. Attachments:Staff Report - TC 060412 - NH 7 Ph 2G.pdf Drainage Easement - Lot 38 - NH 7 Ph 2G.pdf Drainage Easement - Lots 20-21 - NH 7 Ph 2G.pdf Sanitary Sewer Easement for Lift Station - Freedom Park.pdf Sanitary Sewer Easement for NH 7 Ph 2G.pdf Tree Mitigation - NH 7 .pdf Application.pdf Subdivider's Agreement - NH 7 Ph 2G.pdf Action ByDate Action ResultVer. Planning & Zoning Commission5/17/2012 1 TITLE Consider and take appropriate action regarding a Final Plat for Neighborhood 7, Phase 2G (32.297 acres) located in The Highlands at Trophy Club, R. W. Allen Survey, Abstract No. 5 and T. J. Allen Survey, Abstract No. 7. Applicant: Marc Paquette, Peloton Land Solutions on behalf of High Trophy Development LLC (FP-11-046) A. Consider and take appropriate action regarding a Subdivider's Agreement between the Town and High Trophy Development, LLC for Neighborhood 7, Phase 2G, and authorizing the Mayor or her designee to execute necessary documents. TOWN COUNCIL GOAL(S): Goal #2: Business-Friendly Economic Development Create effective working relationships with businesses and developers Retain / Develop existing businesses Promote new commercial opportunities Goal #4: Healthy, Picturesque, and Environmentally Sound Promote recreational / active lifestyle opportunities for all ages Maintain neat and tidy appearance Improve property maintenance standards and code enforcement Develop / Enhance environmental and sustainability standards and programs Goal #5: Financial and Operational Stewardship Develop, recognize, and retain quality staff Implement strong financial management standards Improve effectiveness and efficiency of operational processes Maintain / Improve infrastructure and assets Town Council Page 33 of 87 Meeting Date: June 4, 2012 File #: 2012-215-T, Version: 1 Provide cost-effective services Deliver responsible customer service Town Council Page 34 of 87 Meeting Date: June 4, 2012 SUBJECT: Discussion and Recommendation regarding a request for approval of a Final Plat for Neighborhood 7, Phase 2G (32.297 acres) located in The Highlands at Trophy Club, R. W. Allen Survey, Abstract No. 5 and T. J. Allen Survey, Abstract No. 7. Applicant: Marc Paquette, Peloton Land Solutions on behalf of High Trophy Development LLC (FP- 11-046) REQUEST: Consider approval of the Final Plat of Neighborhood 7, Phase 2G, consisting of 114 residential lots and 1 open space lot. LOCATION: This property is located on the north side of Trophy Park Drive between Enfield Drive and Balmoral Drive. ZONING: Planned Development District No. 27 (PD-27). According to the approved development standards for this neighborhood, there will be a total of 223 single family lots. Of those lots, approximately 222 will be Lot Type 3 with the remaining lot being Lot Type 1. The 114 single family residential lots on this plat are Lot Type 3 lots. TOWN COUNCIL STAFF REPORT June 4, 2012 Case No. FP-11-046 Final Plat 114 Residential Lots and 1 Open Space; 32.297 acres The Highlands at Trophy Club Neighborhood 7, Phase 2G Town Council Page 35 of 87 Meeting Date: June 4, 2012 LOT TYPE 3 DEVELOPMENT STANDARDS : Minimum Lot Size: 8,400 square feet Front Yard: 25-ft. Rear Yard: 20-ft. Side Yard: 5-ft. Side Yard Adjacent to Street: 15-ft. Minimum Lot Depth: 110-ft. Minimum Lot Width: 70-ft. measured at Front Build Line Minimum Lot Width adjacent to street: 80-ft. measured at Front Build Line Minimum House Size: 1,800 sq. ft. HISTORY: This property is currently vacant. A preliminary plat was approved for The Highlands at Trophy Club Neighborhood 7 on December 18, 2006. The zoning of PD-27 was initially approved by the Town Council in December 2006, amended in April 2007, with several amendments since that time. PRELIMINARY PLAT: Town Council Page 36 of 87 Meeting Date: June 4, 2012 PRELIMINARY PLAT (continued): REVIEW The final plat document was reviewed in accordance with the approved subdivision regulations as well as the approved development standards as set forth in PD-27. Drainage: Two drainage easements will be filed by separate instrument in conjunction with this subdivision. One easement is located at the rear property line of Lot 38, Block L and the other is located at the rear property line of Lots 20 and 21, Block L. The drainage for this subdivision has been designed to drain water away from Freedom Park. Infrastructure Construction Documents: Staff and the Town Engineer have completed their review of the infrastructure construction documents and the following comments are outstanding: Water Plan (Sheet 3) 1. The stationing equation for the fire hydrant on Chatswood Drive between Sta. 3+92.04 and Sta. Town Council Page 37 of 87 Meeting Date: June 4, 2012 14+06.96 W-18 is incorrect. The label still references W-21 not W-18. 2. Provide adequate info to assure that the waterline ‘W- 24’ that is being constructed to serve the lift station will have 48” cover once the permanent street will be constructed. 3. Provide the easement for the waterline and temporary access for review. Storm Drain Line SD-10, SD-B1 & Lateral SD-B1.1 (Sheet 25) 1. The difference between the Q100 and Q25 for the overflow flume does not include drainage areas 10A and 11A. Include these areas and revise the calculation and concrete flume design as necessary. Sanitary Sewer Lift Station Comments (Sheet 3) 1. Confirm that the proposed grades around the lift station will work with the future grade of Balmoral Drive. The profile for Balmoral Drive on Sheet 17 indicates that a cut on the existing grades for the street. Staff will work with the applicant to complete review and approval of the infrastructure construction documents and will not schedule a pre-construction meeting to allow construction to commence until the construction plans receive Town engineer and staff approval. Two sanitary sewer easements will be filed by separate instrument in conjunction with this subdivision. One will allow a lift station to be located on 976 sq. ft. in the northwest corner of Freedom Park, which will be fenced and buffered from the remainder of the dog park. The other grants an easement from the developer to the Town for a sanitary sewer line located behind the lots on Chatsworth Drive, along the future (yet to be designed and platted) Balmoral Drive. Landscaping: A tree survey was required as approximately 25 lots are covered with trees, most of which will be removed. As required by ordinance, the applicant is providing mitigation for the protected species as well as those protected by size and location outside of easements and right-of-ways. A total of 345 diameter inches of protected trees (American Elm, Pecans, Cedar Elm, and Chittamwood) will be removed, requiring 518 caliper inches in Town Council Page 38 of 87 Meeting Date: June 4, 2012 mitigation. The builder of each lot in this subdivision shall be required to plant two (2) trees per lot, each tree a minimum of 3 caliper inches. The 114 lots, with 6 caliper inches per lot, will provide 684 caliper inches in mitigation for the required 518 caliper inches. The applicant’s landscape architect, Chris Hamilton, will be present at the Council meeting to answer any questions from the Council. PLANNING AND ZONING COMMISSION: The Planning and Zoning Commission heard this request on May 17, 2012 and recommended approval. Chairman Hill will be present to report on the Commission’s action. SUBDIVIDER’S AGREEMENT: A Subdivider’s Agreement is attached for the Council’s review and approval. Attachment “A” of the Subdivider’s Agreement consists of the construction costs, which determines the amount due for inspections (5% of the project’s total construction costs). Typically Attachment A would be included in the Council packet, but the document was not ready at the packet deadline. When received, Attachment A will be emailed to the Council. Town Council Page 39 of 87 Meeting Date: June 4, 2012 Attachment “B” of the Subdivider’s Agreement consists of the construction documents and are not included with the Council’s packet. The final comments pending on the infrastructure construction plans may impact the scope of work and construction costs for this subdivision, which may impact the public infrastructure costs of this subdivision. As recently directed by Council, if the construction costs exceed 20% of the amount approved by Council, the agreement will be brought back before Council for approval. STAFF RECOMMENDATION: Recommend approval of the final plat of Neighborhood 7, Phase 2G. Attachments: Drainage Easements (2) Sanitary Sewer Easements (2) Tree Mitigation Application Subdivider’s Agreement Attachment A (Construction Costs) (will be sent separately) Final Plat (24x36) (hardcopy) Town Council Page 40 of 87 Meeting Date: June 4, 2012 T o w n C o u n c i l P a g e 4 1 o f 8 7 M e e t i n g D a t e : J u n e 4 , 2 0 1 2 T o w n C o u n c i l P a g e 4 2 o f 8 7 M e e t i n g D a t e : J u n e 4 , 2 0 1 2 T o w n C o u n c i l P a g e 4 3 o f 8 7 M e e t i n g D a t e : J u n e 4 , 2 0 1 2 T o w n C o u n c i l P a g e 4 4 o f 8 7 M e e t i n g D a t e : J u n e 4 , 2 0 1 2 T o w n C o u n c i l P a g e 4 5 o f 8 7 M e e t i n g D a t e : J u n e 4 , 2 0 1 2 T o w n C o u n c i l P a g e 4 6 o f 8 7 M e e t i n g D a t e : J u n e 4 , 2 0 1 2 T o w n C o u n c i l P a g e 4 7 o f 8 7 M e e t i n g D a t e : J u n e 4 , 2 0 1 2 T o w n C o u n c i l P a g e 4 8 o f 8 7 M e e t i n g D a t e : J u n e 4 , 2 0 1 2 The Highlands at Trophy Club Neighborhood 7, Phase 2G Town Council Page 49 of 87 Meeting Date: June 4, 2012 The Highlands at Trophy Club Neighborhood 7, Phase 2G •Physical tree survey conducted on October 24, 2011 of Neighborhood 7, Phase 2G. •The physical location of each protected tree was recorded in the field using a GPS with sub-meter post-processing accuracy. Town Council Page 50 of 87 Meeting Date: June 4, 2012 The Highlands at Trophy Club Neighborhood 7, Phase 2G •Physical tree locations were then overlain on top of the site plan for Neighborhood 7, Phase 2G to determine which trees to be removed and also the mitigation requirements. •Per the tree ordinance, protected trees located within the buildable area and/or public street right-of-way or easement do not require mitigation. •The remainder of the protected trees to be removed will be mitigated at 1.5X multiplier (i.e., for every 10 diameter inches removed, 15 diameter inches will be provided). Town Council Page 51 of 87 Meeting Date: June 4, 2012 The Highlands at Trophy Club Neighborhood 7, Phase 2G Town Council Page 52 of 87 Meeting Date: June 4, 2012 The Highlands at Trophy Club Neighborhood 7, Phase 2G •Tree removal summary: •Total of 62 protected trees: •American Elm – 32 total trees (average 12 inch diameter) •Pecans -16 total trees (average 9 inch diameter) •Cedar Elm – 10 total trees (average 10 inch diameter) •Chittamwood – 4 total trees (average 13 inch diameter) •A total of 345 diameter inches of protected trees proposed for removal, requiring 518 diameter inches for mitigation. •A total of 684 diameter inches being provided as mitigation through new tree plantings. Town Council Page 53 of 87 Meeting Date: June 4, 2012 The Highlands at Trophy Club Neighborhood 7, Phase 2G •Due to the natural, native habitat type only a small percentage of existing tree canopy were composed of ‘protected trees’. •Of the approximately 32 acre development, only 6.4 acres (20%) is comprised of tree canopy. Only 3% (1 acre) is covered by protected trees. The other 5.4 acres is comprised of low quality trees. Town Council Page 54 of 87 Meeting Date: June 4, 2012 The Highlands at Trophy Club Neighborhood 7, Phase 2G Town Council Page 55 of 87 Meeting Date: June 4, 2012 The Highlands at Trophy Club Neighborhood 7, Phase 2G •Low quality parameters: •Hackberry - weak wood; subject to splits, messy and, extremely fast growing, crowds out high quality trees. •Mesquite – removes large amounts of water from water table through deep tap-root as well as shallow surface water from spread roots. •Osage orange – extremely sharp thorns and drops large fruit that decays under trees. Town Council Page 56 of 87 Meeting Date: June 4, 2012 Existing Canopy Town Council Page 57 of 87 Meeting Date: June 4, 2012 Existing Canopy Town Council Page 58 of 87 Meeting Date: June 4, 2012 Mitigation •A total of 345 diameter inches of protected trees proposed for removal, requiring 518 diameter inches for mitigation. •A total of 684 diameter inches being provided through new tree plantings as mitigation. •Tree plantings will provide 9.45 acres of canopy at full tree maturity. Town Council Page 59 of 87 Meeting Date: June 4, 2012 T o w n C o u n c i l P a g e 6 0 o f 8 7 M e e t i n g D a t e : J u n e 4 , 2 0 1 2 THE HIGHLANDS AT TROPHY CLUB NEIGHBORHOOD 7, PHASE 2G SUBDIVIDER'S AGREEMENT An AGREEMENT between the Town of Trophy Club, Texas (hereinafter referred to as the "TOWN") and High Trophy Development, LLC acting by and through its duly authorized representative (hereinafter referred to as the "DEVELOPER"), for the installation of public improvements and facilities within the TOWN limits of Trophy Club, Texas, for Neighborhood 7, Phase 2G of The Highlands at Trophy Club, more particularly described as a tract of land consisting of approximately 32.297 acres of land, hereinafter being referred to collectively as the "PROJECT," and such public improvements being more particularly described in Section II of this AGREEMENT. It is understood by and between the parties that this AGREEMENT shall be applicable to the lot(s) contained within the Final Plat as presented to TOWN Staff on December 5, 2011 and to the offsite improvements necessary to support the PROJECT, more particularly described in Section II of this AGREEMENT. It is further agreed that this AGREEMENT, when properly signed and executed, shall satisfy the requirements of the TOWN’S Subdivision Regulations. I. GENERAL REQUIREMENTS A. It is agreed and understood by the parties hereto that the DEVELOPER has employed a registered public surveyor licensed to practice in the State of Texas to prepare a final plat of the PROJECT. The Project is planned to be platted for Single Family Residential together with allowed incidental and accessory uses. The Project received preliminary plat approval from the Town on December 18, 2006. B. It is agreed and understood by the parties hereto that the DEVELOPER has employed a civil engineer licensed to practice in the State of Texas for the design and preparation of the plans and specifications for the construction of all public improvements and facilities described in Section II and covered by this AGREEMENT. Unless otherwise specified herein, such plans and specifications shall be in accordance with the TOWN’S "Design Standards for Paving, Drainage and Utility Improvements" and the North Central Texas Council of Governments’ (NCTCOG) Standard Specifications for Public Works Construction, as presently adopted. Town Council Page 61 of 87 Meeting Date: June 4, 2012 C. The DEVELOPER shall award its own construction contract for the construction of all PROJECT street, sanitary sewer, and other drainage public improvements and facilities for the completion of the Project. The DEVELOPER agrees to employ a construction contractor(s) who is approved by the TOWN, said contractor(s) to meet TOWN and statutory requirements for being insured, licensed and bonded to perform work in public rights-of- way and to be qualified in all respects to bid on public streets and public projects of a similar nature. The DEVELOPER agrees to submit contract documents to the TOWN and participate in a pre-construction meeting with the TOWN and all Developer contractors. D. Prior to the execution of this Agreement, the commencement of construction, the filing of the Final Plat, or the issuance of any building permits, the DEVELOPER shall present to the TOWN a performance bond(s), payment bond(s) and maintenance bond(s), meeting the requirements of Chapter 2253 of the Texas Government Code. Each bond shall individually guarantee and agree to pay an amount equal to one hundred percent (100%) of the value of the construction costs (as determined by the TOWN Engineer) for all public improvements and facilities to be constructed by or on behalf of the Developer for the Project. Any surety company through which a bond is written shall be a surety company duly authorized to do business in the State of Texas, provided that the TOWN, through the Town Attorney, shall retain the right to reject any surety company as a surety for any work under this or any other SUBDIVIDER’S AGREEMENT regardless of such Company’s authorization to do business in Texas. Approvals by the TOWN shall not be unreasonably withheld or delayed. 1) As an alternative to providing a surety bond for performance and a surety bond for maintenance as specified hereinabove, Developer may provide financial assurances for performance and maintenance in the form of a cash deposit, a certificate of deposit, or irrevocable letter of credit. Provided however, that such alternative financial assurances shall only be allowed if each meets all requirements specified in Section 7.02 of the Town of Trophy Club Subdivision Regulations. All such alternative financial assurances must be on forms approved by the Town Attorney. 2) As an alternative to the Developer providing a performance bond, payment bond, and maintenance bond, as specified above, Developer may provide financial assurances for performance, payment and maintenance from a single general contractor for the Project, provided that such assurances meet all other requirements specified hereinabove and the Town is named as a dual obligee on each such bond. Additionally, such alternative financial assurances shall only be allowed if each meets all requirements specified in Section 7.02 of the Town of Trophy Club Subdivision Regulations. All such alternative financial assurances must be on forms approved by the Town Attorney. Town Council Page 62 of 87 Meeting Date: June 4, 2012 E. The performance bond(s) shall be submitted in statutory form guaranteeing the full and faithful completion of the facilities and improvements required under this Agreement for completion of the PROJECT to the TOWN and provide for payment to the TOWN of such amounts up to the total remaining amounts required for the completion of the PROJECT if the work is not completed as required hereunder. F. The payment bond(s) shall be submitted in statutory form guaranteeing payment of all labor and material costs of the Project and shall be furnished solely for the protection of all claimants supplying labor and material in the performance of the work provided for under this AGREEMENT. The maintenance bond(s) shall guarantee the payment of any and all necessary maintenance of the Project for a period of two (2) years following acceptance of the public improvements and facilities by the TOWN, in an amount equal to one hundred (100%) percent of the value of the construction costs of all the public improvements and facilities to be constructed under this Agreement in respect to the Project. G. Any guarantee of performance, maintenance, or payment instrument (e.g., performance bond, payment bond, maintenance bond, letters of credit, and/or cash deposit or the like) (individually a “Guarantee” or collectively the “Guarantees”) submitted by or through the DEVELOPER on a form other than the one which has been previously approved by the TOWN as "acceptable" shall be submitted to the Town Attorney at the DEVELOPER'S expense, and construction of the Project shall not commence until the Town Attorney has approved such Guarantees. Approval by the TOWN (and the Town Attorney) shall not be unreasonably withheld or delayed. All such Guarantees shall be maintained in full force and effect until such time as the DEVELOPER has fully complied with the terms and conditions of this AGREEMENT as agreed to in writing by the TOWN, and failure to keep same in force and effect shall constitute a breach of this AGREEMENT. Failure to maintain performance and payment Guarantees meeting the requirements of this AGREEMENT shall result in a stop work order being issued by the Town. Additionally, all Guarantees furnished hereunder which expire prior to the completion of construction or applicable warranty periods shall be renewed in amounts designated by the TOWN and shall be delivered to the TOWN and approved by the TOW N on or before the tenth (10th) banking day before the date of expiration of any then existing Guarantee. If the DEVELOPER fails to deliver any Guarantee to the TOWN within the time prescribed herein, such failure shall constitute a breach of this AGREEMENT and shall be a basis for the TOWN to draw on all or any portion of any existing Guarantee in addition to any or all other remedies available to the TOWN. The DEVELOPER further agrees to release and forever hold the TOWN harmless from any losses, damages and/or expenses incurred by the DEVELOPER for any delays due to the TOWN'S review of any Guarantee which is in a form other than one which has been Town Council Page 63 of 87 Meeting Date: June 4, 2012 previously approved by the TOWN. The TOWN requires the DEVELOPER to have all Guarantee forms approved prior to the commencement of work and construction of improvements. H. It is further agreed and understood by the parties hereto that upon acceptance thereof by the TOWN of all public improvements and facilities as described in Section II of this Agreement, title to all such improvements and facilities shall be vested in the TOWN, and the DEVELOPER hereby relinquishes any right, title, or interest in and to such improvements and facilities or any part thereof. It is further understood and agreed that until the TOWN accepts such improvements and facilities, the TOWN shall have no liability or responsibility with respect thereto. Acceptance of the improvements and facilities shall occur at such time as the TOWN, through its TOWN Engineer, provides the DEVELOPER with a written acknowledgment that all improvements and facilities are complete, have been inspected and approved and are being accepted by the TOWN. I. The DEVELOPER’S Engineer has prepared detailed estimates of $1,356,761.68 for the cost of public improvements and facilities for this Project. The detailed cost estimates are a part of this AGREEMENT and are attached hereto as "Attachment A" and incorporated herein. The TOWN shall not accept any construction improvements outside of the Project, and the two (2) year warranty for such improvements shall not commence until all construction activities are completed and accepted by the TOWN. J. Upon TOWN’S approval and acceptance of the final plat and the engineering plans, the final plat shall be recorded with the County Clerk of Denton County. No building permits shall be issued in for any lots on/in the Project until the final plat is filed and the public improvements and facilities specified herein are completed and accepted by the TOWN. K. The DEVELOPER, DEVELOPER'S contractors (prime, general and major subcontractors) and TOWN, as well as any other third party deemed necessary by the Town, shall participate in a pre-construction conference prior to the initiation of any work. At or prior to the pre-construction meeting, Developer shall provide the TOWN with the following documents: 1) Two (2) copies of all executed construction contracts; 2) List of all contractors/subcontractors and their project assignments; 3) Five (5) sets (and additional sets as necessary for any contractors) of approved construction plans and specifications. This list of contractors/subcontractors shall be updated within seven days of any changes. The DEVELOPER agrees to give the TOWN at least twenty-four (24) hours prior written notice of his/her intent to commence construction of all public improvements and facilities, so that the TOWN, if it so desires, may have its representatives available to inspect the beginning and continuing progress of all work. Developer shall submit all documentation evidencing that each of the Town Council Page 64 of 87 Meeting Date: June 4, 2012 Guarantees required under this Agreement have been provided and all required insurance has been obtained prior to the pre-construction meeting. L. The DEVELOPER agrees to notify all contractors and subcontractors working on the PROJECT that all their work is subject to inspection by a TOWN Inspector at any time, and that such inspection may require a certification by the contractors and subcontractors of the type, kind, and quality of materials used on the PROJECT. M. Should any work or construction of improvements or facilities on the PROJECT which has not been contemplated in the current construction documents (plans and specifications), the plat, or this AGREEMENT, become necessary due to site conditions, then the DEVELOPER shall be required to contact in writing (with a copy to the Town of Trophy Club), with the TOWN Engineer to determine how such work or construction should progress. The DEVELOPER further agrees to follow all reasonable recommendations and requirements imposed by the TOWN Engineer in such instance. (Addresses for points of contact are as follows:) Town of Trophy Club Teague, Nall & Perkins Mike Slye, Town Manager Tom Rutledge, Town Engineer 100 Municipal Drive 1100 Macon Street Trophy Club, Texas 76262 Fort Worth, Texas 76102 Phone: 682-831-4600 Phone: 817-336-5773 Fax: 817-490-0705 Fax: 817-336-2813 Email: mslye@ci.trophyclub.tx.us Email: trutledge@tnp-online.com N. The DEVELOPER agrees to cause all work and construction of improvements and facilities to be stopped upon twenty-four (24) hour notification from the TOWN Engineer of nonconforming improvements, including the materials used and the methods of installation. The DEVELOPER further agrees to correct all nonconformities in accordance with the TOWN Engineer’s instructions. O. The DEVELOPER is encouraged not to convey title of any lots of the PROJECT, until all construction in respect to the PROJECT required in Section II is complete and the TOWN has approved and accepted the work and improvements in respect thereof. The DEVELOPER understands that the TOWN shall issue no building permits for improvements on any lot in the Project until all public improvements and facilities in respect to the Project are completed in accordance with this Agreement. Further, DEVELOPER agrees to inform all persons or entities purchasing the lots or any interest in the lots that TOWN shall not issue any building permits until all public improvements and facilities are completed in accordance with this Agreement. P. After completion and prior to acceptance of all work, the DEVELOPER shall Town Council Page 65 of 87 Meeting Date: June 4, 2012 furnish to the TOWN an affidavit of all bills paid. Q. Developer shall be responsible for development of a Homeowners Association (HOA) and Developer/HOA shall be responsible for maintenance of all common areas. II. PUBLIC IMPROVEMENTS AND FACILITIES TO BE CONSTRUCTED A. The following public improvements and facilities shall be constructed and completed in accordance with the approved plans and specifications as described in Attachment “B”: 1) Water Distribution System. 2) Sanitary Sewer System, including offsite lift station located on Freedom Park property. 3) Drainage and Storm Sewer System. 4) Street Paving. 5) Landscaping, maintained by the Developer/HOA. 6) Fences/Walls/Retaining Walls, each of which shall be maintained by Developer/HOA. 7) Signs – Shall comply with Sign Regulations. 8) Driveways and Walkways. 9) Lights – Street lights shall be installed as designated on street light layout plan approved by Town and submitted to Oncor. 10) Homeowners Association shall maintain all common areas in Neighborhood 7, Phase 2G; Common areas include Lot 1X, Block V. 11) The screening for the lift station located on Freedom Park shall be constructed with masonry walls on three sides and a wrought iron gate on the fourth side and landscaping shall be provided around the masonry walls. B. Other. 1. Bench marks to be located as shown on the approved plans. 2. Upon completion, three (3) sets of as-builts/record drawings shall be submitted to the TOWN within two (2) months following the acceptance of the public improvements and facilities. 3. Testing The Developer shall provide all geotechnical and materials tests required by the TOWN Engineer and TOWN Inspector at the DEVELOPER’S cost in accordance with Section 7.03 of Article 7, Chapter 12 of the Town’s Code of Ordinances. Such tests shall be conducted by an independent Town Council Page 66 of 87 Meeting Date: June 4, 2012 laboratory acceptable to the Town. 4. Permits The DEVELOPER shall pay a Community Facilities inspection fee in the amount of $67,838.08 (5% of $1,356,761.68) to cover the cost of TOWN inspection fees as related to the construction of the Project. The Developers shall also be obligated to pay other applicable TOWN fees as set forth in the TOWN’S Schedule of Fees, as may be amended from time to time. The DEVELOPER shall be responsible for obtaining any other permits which may be required by other federal, state or local authorities. 5. Planned Development District No. 27. Developer shall construct and maintain all improvements in accordance with the TOWN approved Planned Development District No. 27 and all TOW N approved amendments thereto in addition to all other Town ordinances. III. GENERAL PROVISIONS A. The DEVELOPER agrees to furnish and maintain at all times prior to the TOWN’S final acceptance of the public improvements and community facilities for the Project, an owners protective liability insurance policy naming the TOWN as insured for property damage and bodily injury in the amounts. Coverage shall be on an “occurrence” basis and shall be issued with a combined bodily injury and property damage minimum limit of $600,000 per occurrence and $1,000,000 aggregate. B. Exclusive venue of any action brought hereunder shall be in Denton, Denton County, Texas. C. Approval by the TOWN Engineer of any plans, designs or specifications submitted by the DEVELOPER pursuant to this AGREEMENT shall not constitute or be deemed to be a release of the responsibility and liability of the DEVELOPER, his engineer, employees, officers or agents with respect to the construction of any of the PROJECT’S improvements or facilities, or for the accuracy and competency of the PROJECT’S improvements and facilities design and specifications prepared by the DEVELOPER'S consulting engineer, his officers, agents, servants or employees, it being the intent of the parties that the approval by the TOWN Engineer signifies the TOWN'S approval on only the general design concept of the improvements and facilities to be constructed. The DEVELOPER shall release, indemnify, defend and hold harmless the TOWN, its officers, agents, servants and employees, from any demands, actions, causes of action, Town Council Page 67 of 87 Meeting Date: June 4, 2012 obligations, loss, damage, liability or expense, including attorneys fees and expenses, on account of or with respect to damage to property and injuries, including death, to any and all persons which may arise out of or result from any defect, deficiency or negligence in the construction of the PROJECT’S public improvements and facilities or with respect to the DEVELOPER'S Engineer’s designs and specifications incorporated into any improvements and facilities constructed in accordance therewith, and the DEVELOPER shall defend at his own expense any suits or other proceedings brought against the TOWN, its officers, agents, servants or employees, or any of them, on account thereof, and pay all expenses and satisfy all judgments which may be incurred or rendered against them or any of them in connection herewith. All responsibility and liability for drainage to adjacent and downstream properties from development of this PROJECT shall accrue to the DEVELOPER. D. Liability for construction. The DEVELOPER, its successors, permittees, permitted assigns, vendors, grantees and/or trustees do hereby fully release and agree to indemnify, hold harmless and defend the TOWN, its officers, agents, servants and employees from all losses, damage liabilities, claims, obligations, penalties, charges, costs or expenses of any nature whatsoever, for property damage, personal injury or death, resulting from or in any way connected with this AGREEMENT or the construction of the improvements or facilities or the failure to safeguard construction work, or any other act or omission of the DEVELOPER or its contractors or subcontractors, their officers, agents, servants or employees related thereto. E. Final Acceptance of Infrastructure. The TOWN shall not issue a Building Permit for any lot until the public facilities and improvements identified in Items 1, 2, 3, 4, and 7, of Section II (A) above (referred to in this paragraph as “Partial Improvements”) are completely constructed to the satisfaction of the TOWN Engineer or his agent and in accordance with the stamped approved Construction Plans (Final Completion). Upon Substantial Completion of the Partial Improvements, a “punch list” of outstanding items shall be presented to the Developer’s contractor(s) indicating those outstanding items and their deficiencies that need to be addressed for Final Completion of the Partial Improvements. Upon Final Completion of the Partial Improvements, the Town will issue Building Permits for ten percent (10%) of the 114 homes proposed to be constructed in this PROJECT in accordance with the terms of this section. The Town will process those permit applications based upon date and time of the filing of each permit application; provided however that permits shall only be issued for the first eleven (11) applications for Building Permits that meet all requirements of applicable regulations and for which all applicable fees are timely paid. DEVELOPER shall complete Items 5, 6, 8, 9, 10, and 11 listed in Paragraph Town Council Page 68 of 87 Meeting Date: June 4, 2012 II (A) herein (referred to in this paragraph as “Improvements” within 180 days of the final acceptance of the Partial Improvements. The TOWN shall not issue a Letter of Acceptance or certificates of occupancy for this PROJECT until all public facilities and improvements listed in Paragraph II (A) are completely constructed to the satisfaction of the TOWN Engineer or his agent and in accordance with the stamped approved Construction Plans (Final Completion). However, upon Substantial Completion, a “punch list” of outstanding items shall be presented to the Developer’s contractor(s) indicating those outstanding items and their deficiencies that need to be addressed for Final Completion of the Improvements for this PROJECT. F. Neither this AGREEMENT nor any part hereof or any interests, rights, or obligations herein, shall not be assigned by the DEVELOPER without the express written consent of the TOWN Council. G. All work performed under this AGREEMENT shall be completed within eighteen months from the date hereof. In the event the work is not completed within the eighteen (18) month period, the TOWN may, at its sole election, draw down or otherwise exercise it rights under or with respect to any Guarantee provided by the DEVELOPER and complete such work at DEVELOPER'S expense; provided, however, that if the construction under this AGREEMENT shall have started within the eighteen (18) month period, the TOWN may agree to renew the AGREEMENT with such renewed AGREEMENT to be in writing and in compliance with the TOWN policies in effect at that time. Notwithstanding the foregoing, in the event that the performance by either party of any of its’ obligations or undertakings hereunder shall be interrupted or delayed by any occurrence and not occasioned by the conduct of either party hereto, whether such occurrence be an act of God or the common enemy or the result of war, riot, civil commotion, or sovereign conduct, then upon written notice of such occurrence, such party shall be excused from performance for a period of time as is reasonably necessary after such occurrence to remedy the effects thereof, and each party shall bear the cost of any expense it may incur due to the occurrence. H. This Subdivider's AGREEMENT shall be construed in accordance with the Town of Trophy Club, Texas Subdivision Regulations and all other applicable ordinances. Any conflicts between the provisions of this Subdivider’s AGREEMENT, the TOWN'S Subdivision Regulations, Town Ordinances, and State and Federal law, shall be construed in favor of the Town’s ordinance(s) as allowed by law, subject to Chapter 245 of the Local Government Code. To the extent that any such conflict exists, only that portion of the Subdivider’s AGREEMENT which is in conflict shall be severable from the other provisions of the AGREEMENT, and such conflict shall in no manner affect the validity or enforceability of the remaining provisions. Town Council Page 69 of 87 Meeting Date: June 4, 2012 I. All rights, remedies and privileges permitted or available to the TOWN under this AGREEMENT or at law or equity shall be cumulative and not alternative, and election of any such right, remedy or privilege shall not constitute a waiver or exclusive election of rights, remedies or privileges with respect to any other permitted or available right, remedy or privilege. Additionally, one instance of forbearance by the Town in the enforcement of any such right, remedy or privilege, shall not constitute a waiver of such right, remedy or privilege by the Town. A default under this Agreement by the TOWN shall not result in a forfeiture of any rights, remedies, or privileges under this Agreement by the TOWN. SIGNED AND EFFECTIVE on the date last set forth below. DEVELOPER: HIGH TROPHY DEVELOPMENT, LLC Date: ______________ Date: ______________ Project Manager TOWN OF TROPHY CLUB, TEXAS Date: ______________ Connie White, Mayor Town of Trophy Club, Texas ATTEST: APPROVED AS TO FORM: Shannon DePrater, Town Secretary Patricia A. Adams, Town Attorney Town of Trophy Club, Texas Town of Trophy Club, Texas Town Council Page 70 of 87 Meeting Date: June 4, 2012 100 Municipal Drive Trophy Club, Texas 76262Trophy Club Entities Legislation Details (With Text) File #: Version:12012-249-T Name: Status:Type:Agenda Item Regular Session File created:In control:5/30/2012 Town Council On agenda:Final action:6/4/2012 Title:Consider and take appropriate action regarding a Resolution of the Town Council of the Town of Trophy Club, Texas amending Resolution No. 2012-10 authorizing the creation of a Vision Trophy Club Ad Hoc Committee by adding a new member to serve on the Committee; providing that all other provisions of Resolution No. 2012-10 shall remain in full force and effect; and providing an effective date. Attachments:RES 2012-15 Amending Vision TC Committee members.pdf Action ByDate Action ResultVer. TITLE Consider and take appropriate action regarding a Resolution of the Town Council of the Town of Trophy Club, Texas amending Resolution No. 2012-10 authorizing the creation of a Vision Trophy Club Ad Hoc Committee by adding a new member to serve on the Committee; providing that all other provisions of Resolution No. 2012-10 shall remain in full force and effect; and providing an effective date. EXPLANATION: [Enter explanation here.] TOWN COUNCIL GOAL(S): [Enter goal(s) here.] RECOMMENDATION AND JUSTIFICATION TO COUNCIL: [Enter recommendation here.] Town Council Page 71 of 87 Meeting Date: June 4, 2012 TOWN OF TROPHY CLUB, TEXAS RESOLUTION NO. 2012-15 A RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF TROPHY CLUB, TEXAS AMENDING RESOLUTION NO. 2012-10 AUTHORIZING THE CREATION OF A VISION TROPHY CLUB AD HOC COMMITTEE COMPRISED OF VARIOUS CITIZEN VOLUNTEERS BY ADDING A NEW MEMBER TO SERVE ON THE COMMITTEE; PROVIDING THAT ALL OTHER PROVISIONS OF RESOLUTION NO. 2012-10 SHALL REMAIN IN FULL FORCE AND EFFECT; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the Town is empowered under §51.001 of the Texas Local Government Code to adopt a resolution that is for the good government of the Town; and WHEREAS, on April 16, 2012, the Town Council approved Resolution No. 2012- 10 appointing residents to serve on the Vision Trophy Club ad hoc Committee; and WHEREAS, since the passage of Resolution No. 2012-10, the Town has received a request from a resident to be placed on the Committee; and WHEREAS, at the time of passage of the Resolution, the resident was not eligible to serve on the Committee, but is now eligible and has expressed an interest in participating as a member of the Vision Trophy Club Ad Hoc Committee. NOW THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF TROPHY CLUB, TEXAS: Section 1. That Resolution No 2012-10 is hereby amended as specifically set forth below to add the following named member to the Vision Trophy Club Ad Hoc Committee: 28. Larry Hoover Section 2. All other provisions of Resolution No. 2012-10 shall remain in full force and effect until amended or repealed. Section 3. This Resolution shall take effect from and after its date of passage in accordance with law. Town Council Page 72 of 87 Meeting Date: June 4, 2012 PASSED and APPROVED by the Town Council of the Town of Trophy Club, Texas on this 4th day of June, 2012. Connie White, Mayor Town of Trophy Club, Texas [SEAL] ATTEST: Shannon DePrater, Town Secretary Town of Trophy Club, Texas APPROVED TO AS FORM: Patricia A. Adams , Town Attorney Town of Trophy Club, Texas Town Council Page 73 of 87 Meeting Date: June 4, 2012 100 Municipal Drive Trophy Club, Texas 76262Trophy Club Entities Legislation Details (With Text) File #: Version:12012-248-T Name: Status:Type:Agenda Item Regular Session File created:In control:5/30/2012 Town Council On agenda:Final action:6/4/2012 Title:Consider and take appropriate action regarding the Town Council meeting schedule for July 2012. Attachments: Action ByDate Action ResultVer. TITLE Consider and take appropriate action regarding the Town Council meeting schedule for July 2012. Town Council Page 74 of 87 Meeting Date: June 4, 2012 100 Municipal Drive Trophy Club, Texas 76262Trophy Club Entities Legislation Details (With Text) File #: Version:12012-250-T Name: Status:Type:Agenda Item Regular Session File created:In control:5/30/2012 Town Council On agenda:Final action:6/4/2012 Title:Town Manager Slye's update regarding the following; discussion of same. - Transportation - TCMA Conference, June 6-10, 2012 - Council Retreat Attachments: Action ByDate Action ResultVer. TITLE Town Manager Slye's update regarding the following; discussion of same. - Transportation - TCMA Conference, June 6-10, 2012 - Council Retreat Town Council Page 75 of 87 Meeting Date: June 4, 2012 100 Municipal Drive Trophy Club, Texas 76262Trophy Club Entities Legislation Details (With Text) File #: Version:12012-251-T Name: Status:Type:Agenda Item Regular Session File created:In control:5/30/2012 Town Council On agenda:Final action:6/4/2012 Title:Mayor and Council Updates regarding training opportunities, educational sessions, and regional meetings; discussion of same. - May 22, 2012 Vision Trophy Club Committee Meeting - May 23, 2012 BNHS Royal Awards - May 25, 2012 Neighbor Helping Neighbor Meeting Attachments: Action ByDate Action ResultVer. TITLE Mayor and Council Updates regarding training opportunities, educational sessions, and regional meetings; discussion of same. - May 22, 2012 Vision Trophy Club Committee Meeting - May 23, 2012 BNHS Royal Awards - May 25, 2012 Neighbor Helping Neighbor Meeting Town Council Page 76 of 87 Meeting Date: June 4, 2012 100 Municipal Drive Trophy Club, Texas 76262Trophy Club Entities Legislation Details (With Text) File #: Version:12012-252-T Name: Status:Type:Agenda Item Regular Session File created:In control:5/30/2012 Town Council On agenda:Final action:6/4/2012 Title:Items for Future Agendas. Attachments:Future Agenda Items List.pdf Action ByDate Action ResultVer. TITLE Items for Future Agendas. Town Council Page 77 of 87 Meeting Date: June 4, 2012 Town of Trophy Club Town Council Future Agenda Items List 1. Consider and take appropriate action regarding procurement policies and their alignment with State statutes. (Rose, 2/1/10) 2. Consider and take appropriate action regarding noise regulations for Oil and Gas Well Drilling and Production (Rose, 4/26/10) 3. Staff proposal regarding the amenity lakes, including associated costs to accept the amenity lakes from the developer. (Stotts, 10/4/10) 4. Consider and take appropriate action regarding the creation of a “Going Green” initiative throughout the Town. (White, 2/24/2011) 5. Consider and take appropriate action regarding updates to the Sign Ordinance (retail windows and political signs) (White and Cantrell, 5/2/2011) 6. Consider and take appropriate action regarding ball park signage. (Cantrell, 6/6/2011) 7. Consider and take appropriate action regarding a Golf Cart Community. (Tiffany, 6/6/2011) 8. Consider and take appropriate action regarding splash pad options at Harmony Park, including input/direction from Council to Staff to start construction and have available next summer. (Strother, 8/1/2011) 9. Consider and take appropriate action regarding the possibility of erecting a marquee at the North entrance of the Town and asking the MUD and/or developers to help with the funding. (Cantrell, 11/14/2011) 10. Consider and take appropriate action regarding Food Prep Carts for sporting events and special events and to review/update Park Policies (Cantrell, 5/7/2012) Town Council Page 78 of 87 Meeting Date: June 4, 2012 Supplemental Information Town Council Page 79 of 87 Meeting Date: June 4, 2012 1 May 25, 2012 Number 5 TEXAS COMPTROLLER AND AMAZON REACH DEAL ON SALES TAXES On April 27, State Comptroller Susan Combs and Internet retailer Amazon.com reached an agreement regarding the future collection of sales taxes on online sales by Amazon. According to Combs’ office, Amazon will begin collecting sales taxes on online sales made in Texas beginning on July 1, 2012, and also agreed to make capital investments of $200 million and to create 2,500 new jobs in the state over the next four years. In exchange, the state will drop its efforts to collect $269 million in sales taxes that the state claimed should have been remitted based on a warehouse operation in the City of Irving from 2005 to 2009. The agreement comes after the legislature passed legislation in 2011 that clarified that Amazon had established a “nexus” in the state for purposes of collecting sales taxes. The comptroller’s office has indicated to TML that the agreement will provide for the collection of local sales taxes due on online purchases from Amazon. However, the question of how local sales taxes will be sourced for Amazon purchases is unclear because most of the details of the agreement remain confidential. TML staff has submitted a Public Information Act request to the comptroller’s office to obtain those portions of the agreement that dictate how local sales taxes are to be sourced, but no responsive information has yet been provided due to the confidentiality claims. League staff will continue to monitor this issue and will provide an update on sourcing of local sales taxes under the agreement when that information becomes available. Town Council Page 80 of 87 Meeting Date: June 4, 2012 2 DEBT FINANCING: VOTERS ALWAYS HAVE THE FINAL SAY Recent news articles have drawn attention to municipal debt financing. Those articles seem to highlight the widespread lack of understanding about how cities and counties finance public works projects. For more than four decades, state law has provided cities and counties with two options for issuing long-term debt to finance most public works projects. With general obligation bonds, a city calls an election for voter approval. With certificates of obligation, voters can petition for an election. In the vast majority of cases, city officials choose to seek voter input through a bond election to authorize the issuance of general obligation bonds. Over the past ten years in Texas, city voters have approved nearly 92 percent of the bonds proposed in 205 elections. But the law also gives cities and counties the flexibility to issue debt through certificates of obligation on a shorter timeline. This enables them to take advantage of favorable interest rates or an opportunity to acquire a property, to make emergency repairs after a disaster, or to address a critical public need without having to wait for the next uniform election date on the calendar. Of all the debt issued by Texas cities in 2011, less than fourteen percent was through certificates of obligation. With certificates of obligation, voters have the option to petition for an election on whether the certificates should be issued. The bar was set relatively low for the petition requirements to call an election. Only five percent of qualified voters need to sign a petition for an election on the issuance of certificates of obligation. By comparison, at least seven percent of qualified voters have to sign a petition to call an election to roll back a property tax increase in larger cities. In smaller cities, ten percent must petition for a rollback election. And, it takes ten percent of qualified voters to petition for an election to reduce or increase a city’s sales tax rate or for an election to create a charter commission to write a new city charter. In 2007, the legislature amended the law on certificates of obligation to lengthen the notice period, from fourteen days to 30 days, before a city can pass an ordinance to issue certificates. This provides more time for citizen input and more time to gather signatures for a petition to call an election. It’s vital that Texas cities maintain this flexibility in financing public improvements because every city has different needs and resources. The process for issuing debt, by law, has extraordinary levels of transparency and accountability. The decision on the kind of debt financing to use is a serious one for city officials involving many considerations. And, like every decision city officials make, the voters will hold them accountable. Town Council Page 81 of 87 Meeting Date: June 4, 2012 3 UPDATE: MUNICIPAL SHARE OF MIXED BEVERAGE TAX CONTINUES TO DECLINE The 2011 Texas Legislature, in an effort to pass a balanced state budget without raising taxes, enacted a wide variety of measures that either reduced state expenditures or increased state revenues. A number of those measures directly impacted cities by either shifting responsibilities to local governments or shifting municipal revenue to the state. Among those city-related actions taken by the legislature was a reduction in the local share of the mixed beverage tax, which is collected by the state. Now that several months have elapsed since the cut went into effect, statistics are beginning to reveal how much revenue cities are losing. Background Under Texas law, all mixed beverage and private club permit holders must remit to the state comptroller a 14-percent gross receipts tax on mixed beverage sales each month. At the end of each calendar quarter, the comptroller allocates a share of that tax revenue to counties and to each city in which one or more permit holder is located. Those allocations are based on the sales within each jurisdiction. Until 2011, the amount allocated to each eligible city was 10.7143 percent of the amount paid to the comptroller. The 2011 legislature cut the allocation for both cities and counties to 8.3065 percent. Experience to Date The cut took effect on September 1, 2011. Because the comptroller reports mixed beverage tax allocations on a quarterly basis and because September was only one month of the third quarter of 2011, it is difficult to calculate how much cities lost in the third quarter. A reasonable estimate, based on allocation data from prior years, is that cities statewide lost $3.2 million. The cut was in effect for the entire fourth quarter of 2011 and the entire first quarter of 2012. Between 2007 and 2010, the municipal allocation for those two quarters combined increased at an annual rate of roughly three percent. Because the final quarter of 2010 and the first quarter of 2011 generated an allocation to cities of $31,375,027, it is reasonable to assume (based on an annual growth rate of three percent) that a year later that figure should have been roughly $32.37 million. But that didn’t happen. Instead, the city allocation was only $27,226,548, an estimated loss of 15.9 percent of the revenue that would have been generated without the cut in the municipal allocation. The total effect of the cut in the first seven months is a loss of roughly $8.34 million in municipal revenue statewide, a decline of approximately 17.2 percent. The Good News The cut in the municipal share of the mixed beverage tax was enacted during the regular session in 2011. In the special session that followed, the legislature passed a measure that will return the Town Council Page 82 of 87 Meeting Date: June 4, 2012 4 city share to 10.7143 percent in September 2013….unless, of course, the legislature changes the law again. ADA SWIMMING POOL COMPLIANCE DATE EXTENDED On May 18, 2012, the Department of Justice announced that it was adopting a final rule extending the compliance date for the sections of the 2010 Americans with Disabilities Act (ADA) Standards for Accessible Design that relate to existing swimming pools, wading pools, and spas (those built before March 15, 2012). Under the ADA standards, all public swimming pools with 300 or more linear feet of pool wall must have at least two accessible means of entry, with at least one of the means of entry being either a pool lift or a sloped entry to the pool (other accessible means of entry include transfer walls, transfer systems, and accessible pool stairs). (Note: public swimming pools with less than 300 linear feet of pool wall must have at least one accessible means of entry that is either a pool lift or a sloped entry.) These provisions for existing pools will now take effect on January 31, 2013. The final rule does not, however, affect the March 15, 2012, effective date for newly constructed or altered pools. Cities that operate public swimming pools should take action to ensure they are in compliance with the new ADA standards by January 31, 2013. To access the 2010 ADA Standards for Accessible Design, go to: http://www.ada.gov/regs2010/2010ADAStandards/2010ADAstandards.htm#alterations To access the rule extending the deadline, go to: http://www.ada.gov/regs2010/ADAregs2012/finalrule_existingpools_FR_may21.htm UPDATE: TCEQ “PHASE II” STORMWATER PERMIT The “small city” stormwater permitting process is heating up at the Texas Commission on Environmental Quality (TCEQ). Ongoing disputes between the TCEQ and the U.S. Environmental Protection Agency (EPA) are adding fuel to the flames and have led to delays that could affect city stormwater permits. The Federal Clean Water Act requires the EPA to regulate stormwater discharge into bodies of water in the United States. In Texas, the TCEQ ensures compliance with this by issuing a general permit allowing small municipal separate stormwater systems, known as Phase II MS4s, to discharge directly into surface water in Texas. [A Phase II MS4 is one located in an urbanized area (UA) as defined by the U.S. Census Bureau, or located outside of a UA and brought into the program by the TCEQ. The Executive Director of the TCEQ may designate any small MS4 as being required to submit an application for a Phase II permit based on certain factors.] The general permit must be approved by the EPA. Town Council Page 83 of 87 Meeting Date: June 4, 2012 5 The Phase II MS4 General Permit TXR040000 was originally issued and effective on August 13, 2007. The TCEQ is in the process of renewing this permit, which expires on August 12, 2012. Throughout the renewal process, the TCEQ has sought input from TML staff and Phase II MS4 cities and has used this input to negotiate with the EPA. This process has taken longer than expected, so it is likely that the renewed permit will not yet be issued when the current one expires. However, the Phase II MS4 cities that are covered by the current permit will continue to be covered until the new one is issued. After the new MS4 general permit is issued, currently- regulated entities will have 180 days from the date of issuance to renew coverage by submitting Notice of Intent for Stormwater Discharges (NOI) and a Stormwater Management Program (SWMP). The U.S. Census Bureau recently completed the delineation of UAs based on the 2010 Census. Information on geographic areas classified as UAs and urban clusters (UCs) across the United States is currently available on the Census Bureau’s Web site. From this information, the Census Bureau will be developing a set of digitized maps showing both existing and new UAs and UCs, which are expected to be completed in the summer of 2012. The data is available at http://www.census.gov/geo/www/ua/2010urbanruralclass.html. City officials should look at the list now to determine if they will be newly regulated and plan accordingly. TCEQ’s MS4 general permit allows newly-regulated entities 180 days from the date this information is published on the Census Bureau Web site to apply for an MS4 permit. To apply, the city must submit an NOI and SWMP. The TCEQ plans on sending a notification letter to as many newly-regulated UAs as possible. But the TCEQ encourages newly-regulated UAs to take the initiative to determine their permit applicability by checking the Census Bureau’s Web site. Please contact Heather Mahurin, TML legal counsel, at heather@tml.org with specific questions or concerns. DOG OR CAT BREEDERS PROGRAM: WILL IT IMPACT CITIES? It remains to be seen whether new rules adopted on April 27 relating to dog and cat breeders will impose new requirements on municipal animal shelters. Last session, the legislature adopted the Dog or Cat Breeders Act (Act), found in Chapter 802 of the Texas Occupations Code. The Texas Department of Licensing Regulation published proposed rules to implement the Act in January. At that time, TML asked the department to clarify the definition of the term “dog or cat breeder.” The department did not modify its rules in response to the request. The rules define the term “dog or cat breeder” as “[a] person who possesses 11 or more adult intact female animals and is engaged in the business of breeding those animals for direct or indirect sale or for exchange in return for consideration and who sells or exchanges, or offers to sell or exchange, not fewer than 20 animals in a calendar year.” The term shouldn’t apply to a Town Council Page 84 of 87 Meeting Date: June 4, 2012 6 city animal shelter, which is not in the business of breeding animals. However, TML asked the department to clarify this issue in its rules. The department responded that changes to the definition are beyond its authority through the rulemaking process. The department went on to say that “commenters raise questions about whether the 11 adult intact female threshold applies to brokers, animal shelters, and rescue groups. Without knowing the specific operations model for the various groups, the [department] notes that the statute and rules contain specific criteria. If any of the listed groups trigger the requirements for licensing, then a license is required.” Does that mean that a city shelter in possession of 11 adult pregnant female dogs that offers the puppies for sale could be required to get a license under the Act? It remains to be seen whether the department will try to apply the licensing requirement to a city animal shelter. Information about the Act and the rules is available at http://www.tdlr.state.tx.us/bre/bre.htm. MUNICIPAL BUILDING FEES GARNER ATTENTION Claims that city building regulations limit affordable housing are once again surfacing in the legislative process. On May 3, the Senate Intergovernmental Relations Committee met in Dallas to consider the following interim charge: Study the impact that regulatory requirements have on development, construction, sale and resale of housing. Consider how regulatory loads affect the ability of the housing market to return to normal economic levels, and focus on the impact on the sale of new and used homes. Include costs and benefits of individual categories or types of regulations to allow a better assessment of ways to improve the affordability of housing. Several witnesses testified that municipal regulations affect the price of housing in Texas. For example, a representative of the Texas Association of Builders (TAB) stated that – nationally – the cost of regulations make up 25 percent of the cost of a new home. (Note: a 2003 TML survey showed that municipal building fees made up less than two percent of a monthly mortgage payment on an average home in Texas.) He testified that zoning has been the biggest cost issue on the local level. He also complained that flat impact fees hit low-cost homes the hardest. The chair of the committee asked the TAB representative if the state should interject itself in trying to determine what any city should do in terms of regulations. His answer was “yes.” Similarly, a representative from the Texas Association of Realtors noted that new regulations impinge upon property rights and raise costs. Cities were well represented at the hearing. Frisco Mayor Maher Maso and Frisco Director of Planning and Development John Lettelleir testified on behalf of TML. Among other things, the mayor testified that his city’s regulations add an average of $23 to the monthly payment for a Town Council Page 85 of 87 Meeting Date: June 4, 2012 7 new home in Frisco, but that those regulations have long-term savings (energy savings, resale value, etc.) that are much greater. Chief Building Official Jim Olk, City of Farmers Branch, testified on behalf of the Building Officials Association of Texas. He reported on the results of a recent survey conducted among municipal building officials. The survey revealed that in 65 percent of the responding cities, building permit fees don’t cover the cost of issuing the permit, and that 80 percent of the cities hadn’t covered the cost of issuing permits in the past six years. The committee will meet again later this year on the issue, and TML staff will be participating throughout the process. NATIONAL FIRE PROTECTION ASSOCIATION WORKING ON NEW FIRE PREVENTION STANDARDS The National Fire Protection Association (NFPA) is an organization that provides standards and training to fire fighting and building officials to help prevent fires and other structural safety issues. The NFPA is currently working on new standards relating to fire prevention through the use of code enforcement, plan review, public education, community risk assessment, and fire investigation. While NFPA standards are voluntary, state legislatures have adopted them by statute in some cases. The process is in the early stages and the Texas Municipal League is participating in the process through the National League of Cities. (Laura Mueller, TML’s assistant general counsel, has been appointed to serve as NLC’s representative in the process.) More information will be provided as it becomes available. TCEQ TELEVISION RECYCLING PROGRAM Senate Bill 329, passed during the 2001 Regular Legislative Session, created a television equipment recycling program at the Texas Commission on Environmental Quality (TCEQ) that requires television manufacturers to pay for the collection, transportation, and recycling of television equipment from consumers. The bill requires TCEQ to educate consumers regarding television equipment reuse and recycling, and it also requires that written notice be sent to each city and county in Texas on the legal disposal and recycling of television equipment. For more information on the program, go to www.texasrecyclestvs.org. Town Council Page 86 of 87 Meeting Date: June 4, 2012 8 TCEQ DROUGHT WORKSHOP Texas Commission on Environmental Quality (TCEQ) Commissioner Carlos Rubinstein and Texas Water Development Board (TWDB) Chairman Billy Bradford, Jr. have asked TML to invite city officials to attend a Drought Emergency Planning Workshop at the Brownsville Events Center on June 14, 2012. The workshop will cover the continuing drought, the emergency process, financial assistance, and emergency planning, followed by a question-and-answer session with representatives from the TCEQ, Texas Division of Emergency Management, and the TWDB. For more information, call 800-447-2827 or go to www.TexasEnviroHelp.org. TML member cities may use the material herein for any purpose. No other person or entity may reproduce, duplicate, or distribute any part of this document without the written authorization of the Texas Municipal League. Town Council Page 87 of 87 Meeting Date: June 4, 2012