The City Council of the City of Abilene, Texas, met in a Pre-Council Work Session on March 25, 1999, at 8:30 A.M. in the Basement Conference Room of City Hall. Mayor Gary D. McCaleb was present and presiding with Councilmen Paul R. Vasquez and A. Don Drennan, Councilwoman Carol Martinez, Councilman Versie L. Brown, Jr., and Councilwoman Kay Alexander. Also present were City Manager Roy L. McDaniel, Assistant City Manager Mike Morrison, City Attorney Sharon Hicks, City Secretary Jo Moore, and various members of the City staff. Councilman Rob Beckham was absent from the Pre-Council session only.

Council received information regarding initial briefings and public input for zoning changes in Abilene, as requested by Councilman Beckham at the March 11 Council meeting. Marva Pritchett, Director of Public Works, introduced Holly Haley, Abilene Clean & Proud Coordinator, who briefed the Council on the April 10 "Great Texas Trash Off " Day efforts. Ms. Haley stated volunteers will focus on clean up at Ft. Phantom Lake, and distributed a map showing five areas of the lake targeted for cleanup. Ms. Pritchett stated inmates from French Robertson have already done some cleanup at the Lake. Council briefly discussed various consent and regular agenda items. City Manager Roy McDaniel distributed a letter received by fax from Stephen T. Dunn in favor of Item 4.4, Appealed Item to remove Historic Overlay to underlying Central Business district property located at 618 Hickory. Councilman Drennan addressed Item 4.4, stating the Historic Overlay zoning is an individual choice, not a forced issue, and asked City Attorney Sharon Hicks if there is an end to the Historic Overlay designation; i.e., as with a contract. Ms. Hicks stated the zoning is forever unless the Council changes it. Councilman Drennan also stated he will remove item 3.4, Resolutions directing publication of: 1) Notice of Intention to Issue Combination Tax and Revenue Certificates of Obligation, Series 1999, and 2) Notice of Intention to Issue Combination Tax and Airport Revenue Certificates of Obligation, Series 1999 from the Consent Agenda to be considered separately. There being no further discussion, the meeting was recessed until 9:00 a.m. for the regular Council Meeting.

Mayor McCaleb reconvened the City Council of the City of Abilene, Texas, into Regular Session March 25, 1999, at 9:00 a.m. in the Council Chambers of City Hall.

Councilman Versie L. Brown, Jr. gave the invocation.

Pledge of Allegiance was led by Katelyn Southward, a fifth grader at Thomas Elementary; who was accompanied by her principal, Bill Walker and her father, Kris Southward.

Mayor McCaleb presented the following proclamations:

March 29-April 4 as National Community Development Week, and

April 5-9 as Barbershop Harmony Week

Mayor McCaleb, assisted by Brenda Coleman, Executive Director of Neighborhoods In Progress, presented Community Neighborhood Awards to Abilene Heritage Committee, Downtown Homeowners Association, Interested Citizens of Abilene North, and Just People, Inc. Ms. Coleman briefed the Council on the awards and thanked Councilwoman Alexander and the board members for their participation, then presented cash awards to the four recipients.

There being no corrections, additions, or deletions to the minutes of the Pre-Council Session and Regular City Council Meeting held March 11, 1999, Councilwoman Martinez moved to approve the minutes as printed. Councilman Beckham seconded the motion and the motion carried.

AYES: Councilmen Vasquez and Drennan, Councilwoman Martinez, Councilmen Beckham and Brown, Councilwoman Alexander, and Mayor McCaleb.

NAYS: None.

Councilwoman Alexander moved to approve consent agenda items 3.1 through 3.3 and 3.5 as recommended by the staff. Councilman Beckham seconded the motion and the motion carried. Item 3.4 was removed from the consent agenda to be considered separately at the request of Councilman Drennan.

AYES: Councilmen Vasquez and Drennan, Councilwoman Martinez, Councilmen Beckham and Brown, Councilwoman Alexander, and Mayor McCaleb.

NAYS: None.

The Resolution is numbered 8-1999 and is captioned as follows:

2. Oral Resolution approving a contract for Election Services with Taylor County Elections Office for the May 1, 1999 General Election.

4. Resolutions directing publication of: 1) Notice of Intention to Issue Combination Tax and Revenue Certificates of Obligation, Series 1999, and 2) Notice of Intention to Issue Combination Tax and Airport Revenue Certificates of Obligation, Series 1999. Removed from Consent Agenda to be considered separately.

REGULAR AGENDA

3.4 Councilman Drennan stated he had requested to have the Resolution directing the publication of Notice of Intention to Issue Combination Tax and Revenue Certificates of Obligation, Series 1999 considered separately because he questions if it is appropriate in the year citizens voted for a $17 million additional bonded debt to also approve $2,500,000 in projects for a Certificate of Obligation sale. Mr. Drennan further stated he feels the Council should bypass issuing the Certificates of Obligation this year, although he does not want to change the overall CO policy.

Councilman Vasquez stated it appears the Council can either issue the Certificates of Obligation now and address the concerns of the citizens or pay later at higher rates. Councilman Vasquez further stated at this point, this is the most appropriate action, but did request in the future staff assist Council in studying the issues in a more detailed manner.

David Wright, Director of Finance, stated capital expenditures are generally too large to be funded from the general operating budget and funding these projects through Certificates of Obligation would allow the debt to be spread over several years. The General Obligation bonds would be funded by a tax levy estimated at 2.4 cents if Council approves the item.

Mr. McDaniel stated this is the 8^th year of the CO policy, which was just reaffirmed at the last budget session. The Capital Improvement Projects Committee looked at projects that were not included in the bond election because COs could fund projects such as a fire truck, small street projects, and Stevenson Park. The $17 million in bonds will be sold over 3 years and if Councilman Drennan?s logic were followed, there would be no COs issued for three years.

Councilman Beckham stated he doesn?t remember alternatives to COs being an item that Council discussed during the budget worksession but with interest rates as low as they are now and with such needs as a fire truck, this is an appropriate action.

Mayor McCaleb stated the Council is sensitive to the cost involved in operating the City, and have been good stewards of City funds. The City has had no tax increase in several years due to the wise and careful use of those funds. The Council shares responsibility to not allow the City to deteriorate and to meet the expectations of maintaining the city, recognizing the large cost involved in not meeting those expectations.

Councilwoman Alexander stated her support of staff and appreciation for their work in the area of finance.

Councilwoman Martinez moved to approve the Resolution directing the publication of Notice of Intention to Issue Combination Tax and Revenue Certificates of Obligation, Series 1999 as recommended by staff. Councilwoman Alexander seconded the motion and the motion carried.

AYES: Councilman Vasquez, Councilwoman Martinez, Councilmen Beckham and Brown, Councilwoman Alexander, and Mayor McCaleb.

Nays: Drennan.

The Resolution is numbered 9-1999 and is captioned as follows:

Councilman Drennan stated he is in favor of the portion of Item 3.4, being the Resolution directing the publication of Notice of Intention to Issue Combination Tax and Airport Revenue Certificates of Obligation, Series 1999. The debt service schedule for the Airport is structured so that the Passenger Facility Charge (PFC) can support this issue.

Councilman Beckham requested from the staff that during the budget sessions this year a time be allotted for discussion on COs and alternatives.

Councilman Drennan moved to approve the Resolution directing the publication of Notice of Intention to Issue Combination Tax and Airport Revenue Certificates of Obligation, Series 1999, as recommended by staff. Councilman Vasquez seconded the motion and the motion carried.

AYES: Councilmen Vasquez and Drennan, Councilwoman Martinez, Councilmen Beckham and Brown, Councilwoman Alexander, and Mayor McCaleb.

NAYS: None.

The Resolution is numbered 10-1999 and is captioned as follows:

4.1 James Condry, Assistant Director of Public Works, briefed the Council on an Oral Resolution approving an application/permit to drill and operate an oil & gas well within the City limits.

Mayor McCaleb opened a public hearing on the item, and the following individuals spoke in response to the request:

• Mr. Rodriguez, citizen and member of St. Vincent Pallotti Catholic Church, distributed a letter from Rev. Joseph Uecker, Pastor of the church. Rev. Uecker?s letter addressed the church not allowing the drilling due to possible noise, smell, and leaks. Future development of this kind in the area was also a concern as well as encroachment to the neighborhood.
• Lucille Johnson, resident in the area, is against the request due to possible pollution.
• Delores Sloan, Bridge & Vogel, complained about the potential noise, pollution, and being unsightly.
• J. C. Hale, owner of Mockingbird Self-Storage, stated these are shallow wells and he has experienced no difficulty with the other wells in the area.
• Oren Williams, Albany, attorney representing Schkade Brothers Operating Co., stated Schkade Brothers have received no complaints on the existing wells in the area. The city Code is excellent and Schkade Brothers have always and will continue to comply with the Code and with Railroad Commission regulations. Schkade Brothers is a very stable company and the odds are very slim of their going bankrupt. Special permission has to be obtained from the Railroad Commission for a vertical well; property owners are adequately protected.
• Deloris Glover, area resident, is concerned with the fire hazard of people smoking on the property.
• Kathleen Bolden - friends live in the area, concerned with children?s safety as they walk to the schools in the area.
• James Condry stated the operator would fence off the site; it does not affect the children?s current route to school. The area is in a flood plain overflow zone, there are some restrictions, but it is not prohibited from being developed.
• Jim Smart - from the church that owns the land, has never seen a possibility of the land being developed.
• Brent Schkade, Schkade Brothers Drilling Co., addressed concerns, stating all fluids at the site are well contained, being piped and enclosed and no fire hazards exist. The pump jacks are small because it is a shallow well; they are willing to close the operation down at night to alleviate noise. A $10,000 Letter of Credit is required by City Code which would pay to plug the well and repair the property in the event of bankruptcy and the Railroad Commission also has funds available to address these types of problems, a more aesthetic appealing fence of solid material would be erected.

There being no one else present and desiring to be heard, the public hearing was closed.

Councilwoman Martinez moved to deny the application/request for an Oil & Gas Drilling permit for the location northwest of the intersection of Vogel Avenue & N. Mockingbird Lane. Councilman Brown seconded the motion and the motion carried.

AYES: Councilmen Vasquez and Drennan, Councilwoman Martinez, and Councilman Brown, and Mayor McCaleb.

NAYS: Councilman Beckham and Councilwoman Alexander.

Councilman Vasquez stated in the future more consideration should be given to how this type of activity affects neighborhoods. He would have liked to have seen the item tabled for further review.

Mayor McCaleb stated in reviewing considerations required for approval of the application, his concerns were due to the proximity of what?s in the area creating a situation that would be a nuisance or would adversely affect the health, safety, and welfare of the general public.

Councilwoman Martinez stated appreciation to the neighborhood for working together and expressing their concerns.

4.2 Jeff Armstrong, Development Services Administrator, briefed the Council on an Ordinance considered on second and final reading - Z-00799 - Rezone from LI (Light Industrial) to HC (Heavy Commercial) district property located at 4266 Oil Belt Lane. The Planning & Zoning Commission and staff recommend approval.

Mayor McCaleb opened a public hearing on the item, and there being no one present and desiring to be heard; the public hearing was closed.

Councilman Brown moved to approve the request to rezone from Light Industrial to Heavy Commercial district property located at 4266 Oil Belt Lane, as recommended by staff. Councilman Vasquez seconded the motion and the motion carried.

AYES: Councilmen Vasquez and Drennan, Councilwoman Martinez, Councilmen Beckham and Brown, Councilwoman Alexander, and Mayor McCaleb.

Nays: None.

The Ordinance is numbered 9-1999 and is captioned as follows:

4.3 Jeff Armstrong, Development Services Administrator, briefed the Council on an Ordinance considered on second and final reading - Z-00899 - Rezone from AO (Agricultural Open Space) to GC (General Commercial) district property located at I-20 & F.M. 600. The Planning and Zoning Commission and staff recommend approval.

Mayor McCaleb opened a public hearing on the item, and there being no one present and desiring to be heard; the public hearing was closed.

Councilman Vasquez moved to approve the Ordinance to rezone from Agricultural Open Space to General Commercial district property located at I-20 & F.M. 600, as recommended by staff. Councilwoman Martinez seconded the motion and the motion carried.

AYES: Councilmen Vasquez and Drennan, Councilwoman Martinez, Councilmen Beckham and Brown, Councilwoman Alexander, and Mayor McCaleb.

Nays: None.

The Ordinance is numbered 10-1999 and is captioned as follows:

4.4 Elizabeth Grindstaff, Acting Planning Administrator, briefed the Council on an appealed Ordinance considered on second and final reading - Z-00999 - Remove H (Historic Overlay) to underlying CB (Central Business) district property located at 618 Hickory. The Planning and Zoning Commission, Landmarks Commission, and staff recommend denial.

Council took a short break at 10:55 a.m.

Mayor McCaleb opened a public hearing on the item, and the following individuals spoke in response to the request:

• Vicki Carter Johnson, proponent, requested the Historic Overlay be removed, stating when she received the Historic Overlay designation, she was not aware that she could not have it removed. She further stated in giving up property rights it should be in a valid contract not through the signing of a post card. Ms. Johnson explained the process she has gone through, stating she has repaid money from the tax break and noted the extensive work needed on the house due to water damage and foundation leveling. Ms. Johnson voiced concerns about restoring the house to City expectations resulting in deterioration over a period of time because of the lack of an overhang to protect the house from water damage. Ms. Johnson went on to explain her plans for the house. Ms. Johnson further stated she thought if she didn?t comply with the stipulations of the Historic Overlay designation that that would mean she would lose the designation.
• Bill Townsend, Realtor, stated that what Ms. Johnson has proposed to do to the house will enhance the neighborhood.
• Kevin Coleman, Landmarks Commission, stated the Commission has never seen any plans for the house. Complementing the people that serve on the commission, Mr. Coleman recommended Council table the item in order for the Landmarks Commission and Ms. Johnson to come up with a common solution.
• Councilman Beckham asked City Attorney Sharon Hicks if there are legal issues; if Council denies the request, what recourse does the property owner have?

Ms. Hicks replied the property owners? recourse is either to 1) comply, 2) lack of compliance would result in city enforcement, or 3) appeal to district court.

Councilman Drennan noted this type of zoning is a contract made at the individual property owner?s request. Property owners are made aware of advantages and disadvantages and tax incentives, and that Historic Overlay zoning stays the same unless the Council votes to change it.

• Pebbles Lee - Chair of the Landmarks Commission, 220 Mulberry, stated since 1984, 110 properties have been approved for Historic Overlay. Some objectives of the Ordinance are to safeguard City heritage, to protect and enhance Abilene?s attractiveness and economy, and promote economic prosperity. If Historic Overlay is removed, a precedent would be set. A Certificate of Appropriateness was never filed with the Landmarks Commission; instead, Ms. Johnson opted to appeal to have the Historic Overlay removed.
• Kay Dillard, 642 Sayles, has had Historic Overlay zoning since 1985. She has come before the Landmarks Commission twice for a Certificate of Appropriateness, and has felt secure in the future of her home until now. She feels it would be wrong to allow the owner to remove Historic Overlay, as the architectural integrity would be lost. Mrs. Dillard asked Council to deny the request and have Ms. Johnson go back to the Landmarks Commission for a Certificate of Appropriateness.
• Carrie Blaschke, 258 Clinton, urged Ms. Johnson to go to the Landmarks Commission. She has Historic Overlay, and has requested a Certificate of Appropriateness from the Landmarks Commission with positive results.
• Brenda Coleman, 941 Orange, has gone to the Landmarks Commission on property she owns for a Certificate of Appropriateness. Ms. Coleman stated the Landmarks Commission is willing to work with you.
• Charles McClure, who has lived at 613 Hickory for many years (across from the property in question), welcomes Ms. Johnson to the neighborhood, but encouraged the Council to keep the Historic Overlay.

Ms. Grindstaff stated National Standards are used by the Landmarks Commission to determine what can be allowed.

• Ellen Oppenheim stated on April 6 she will be a one year resident of Abilene, and is amazed at the historical fabric and quality of life in Abilene. She urged Council to not let Historic Overlay be removed, stating heritage wealth is great in Abilene.
• Robert Terry, 942 Ross, stated he is proud of his house, and the fact that Judge Ely lived there. Mr. Terry questioned why the Historic Overlay has not been taken off since the porch was removed.
• Ruby Perez, Abilene Preservation League, and Vice Chair of the Landmarks Commission, recognized the Landmarks Commission members present, stating the Landmarks Commission has looked at requests of property owners and have always worked things out and would want Ms. Johnson to maintain and preserve the property and use it for her law office. Ms. Perez asked the Council to affirm the zoning process and leave the Historic Overlay zoning.
• Ms. Crawford, Ms. Johnson?s loan officer, stated major problems with the house were occurring before Ms. Johnson could bring it to the attention of the Landmarks Commission. Ms. Crawford further stated Ms. Johnson was given no help other than the $200 tax break.
• E. B. Westmoreland, stated Ms. Johnson did not fully understand all that would be required with Historic Overlay zoning, suggesting a closer look should be taken to be sure people are informed.

There being no one else present and desiring to be heard, the public hearing was closed.

Councilman Vasquez moved to deny the request to remove Historic Overlay to underlying Central Business district property located at 618 Hickory, as recommended. Councilwoman Alexander seconded the motion and the motion carried.

AYES: Councilmen Vasquez and Drennan, Councilwoman Martinez, Councilmen Beckham and Brown, Councilwoman Alexander, and Mayor McCaleb.

Nays: None.

Due to the length of the Council meeting, City Manager Roy McDaniel stated items for Executive Session could be postponed until the April 8 Council meeting.

No Executive Session was held.

Item 5.4, Oral Resolution to consider land purchase in Downtown Abilene, was not considered.

There being no further business, the meeting was adjourned at 12:27 p.m.

Jo Moore, City Secretary

Gary D. McCaleb, Mayor