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HomeMy WebLinkAbout05/13/1993 - Regular Minutes City CouncilMAYOR Larry J. Ringer MAYOR PRO-TEM Fred Brown CITY MANAGER Ron Ragland COLLEGE STATION COUNCILMEMBERS Hub Kennady Lynn McIlhaney Vernon Schneider David Hickson Nancy Crouch MINUTES CiTY COUNCIL REGULAR MEETING THURSDAY, MAY 13, 1993 7:00 P.M. COUNClLMEMBERS PRESENT: Mayor Ringer, Councilmembers Brown, Schneider, Mcllhaney, Hickson, Crouch COUNClLMEMBERS ABSENT: Councilmember Kennady STAFF PRESENT: City Manager Ragland, Assistant City Manager Brymer, Assistant City Manager Woody, Executive Director Management Services Piwonka, Executive Director Fiscal/Human Resources Schroeder, Public Information Officer Calliham, City Secretary Hooks, Assistant City Attorney Nemcik, Personnel Director Pavlinski, PARD Director Beachy, Budget Director Cryan, Senior Planner Kee, Transportation Planner Hard, City Engineer Pullen VISITORS PRESENT: See guest register Agenda Item No. 1 - AWARDS Budget Director Charles Cryan accepted the Government Finance Officers Budget Award presented by Mayor Ringer. Ag_®nda Item No. 2 - PROCLAMATIONS City Planner Jane Kee received the proclamation for Leadership Day, May 19th on behalf of the 92-93 Leadership Brazos class. May 19th will also commemorate the 10th anniversary of Leadership Brazos. Agenda Item No. 3 - CONSENT AGENDA (3.1) Approval of minutes for the Executive Session, April 20, 1993, Workshop Meeting, April 21, 1993, Executive Session, April 22, 1993, and Regular Meeting April 22, 1993. GENERAL BUSINESS (3.2) Approval of changes to the By-laws and Articles of Incorporation for the Bryan/College Station Economic Development Corporation. (3.3) Approval of property acquisition of 131 Southland Street utilizing CDBG funds. (3.4) Approval of improvements to Barron Road from SH 6 westerly about 2400 feet with Fountainhead Development Co. and Brazos County. City Council Regular Meeting Thursday, May 13, 1993 Page 2 (3.5) Approval to expand Occupant Protection Selective Traffic Enforcement Program. GONTRAGT~ AND AGREEMENTS (3.8) Approval to award $93,000 to B.E. Lee for equipment and operators on an hourly basis and award $43,000 to Buchanan/Soil Mechanics to provide soil testing and preparing report soil testing and preparing reports for clay liners at the Rock Prairie Road Landfill. Funds in FY 1993 Landfill Operating Budget. (3.7) Approval to award $13,000 to Beacham Agency for Wolf Pen Creek Amphitheater Grand Opening Gala. KORA/KTAM will reimburse City for half of this amount. (3.8) Approval to extend Managed Care Contract with Brazos Valley Medical Center ORDINANCES (3.9) Approval of Ordinance No. 2009 amending Chapter 1, Section 28, of the Code of Ordinances relating to the Conference Center Advisory Committee. RESOLUTIONS (3.10) Approval of resolution pertaining to the issuance of certain student loan revenue bonds of the Greater East Texas Higher Education Authority. The above consent items were approved by common consent. PLATS i~lqenda Item No. 4 - Final Plat (Replat) for Post Oak Squiare, Block 1, Lot 2. Appll_~e_nt unicipal Development Group for Amresco Management (93-206). Assistant City Engineer Veronica Morgan explained that this plat is a replat of the Post Oak Square subdivision which increases the number of total lots from 2 to 4. The property is being replatted to accommodate a large development on Lot 3R. Private sewer service is currently provided for the buildings on this plat. If the applicant desired to continue private sewer service, he was informed to seek a variance and enter into the development agreement and hold harmless agreement with the City. Ms. Morgan presented slides of the site. She pointed out that the discussion of the Project Review Committee included the access from this site to the Post Oak Mall property. The Planning and Zoning Commission recommended approval with the following conditions: ** Sidewalks be constructed along Lot 2R and 3R frontage along Harvey Road. ** Hold harmless and development agreements be executed by all parties involved for the provision of private sanitary service to Lots 3R and 4R and be noted on the face of the plat. ** Provision of a blanket utility easement during construction. ** Submission of an easement dedication plat upon completion of redevelopment construction. City Council Regular Meeting Thursday, May 13, 1993 Page 3 ** Applicant enter into a development agreement with the City of College Station to obtain cross access between Post Oak Square and Post Oak Mall. Ms. Nemcik recalled that several years ago, the mall was not amenable to the cross access and barriers were erected because Post Oak Square did not seek permission from the mall. Since this is an existing site, the city could not require additional access to the mall property; therefore, the only way to connect is to condemn the access and make it a public access, unless the two parties mutually agree to make this a private cross access. The staff recommended the private cross access. After further comments, Councilman Brown made a motion to accept staff recommendations. The motion was seconded by Councilman Crouch. The council discussed the issue of the development agreement regarding cross access. Larry Wells of Municipal Development Group spoke to the Council. Councilman Brown made an amended motion to accept staff recommendations and delete the condition requiring the development agreement. This motion was seconded by Councilman Crouch. This amended motion was defeated by a vote of 6-0. Ms. Nemcik advised the council to require as part of the plat their portion of the cross access and to enter into negotiations with Post Oak Mall for cross access and that the city request from the applicant a letter of refusal if private negotiations are not satisfied. Councilman Brown made an amended motion to delete the requirement of the development agreement and to replace with the requirement that the plat indicate the portion of the cross access that is part of this property and that the applicant enter into negotiations with owners of Post Oak Mall for the development of a cross access and if unable to come to an agreement, then the city should receive a letter of refusal. The motion was seconded by Councilman Crouch carried unanimously, 6-0. The original motion as amended carried by a vote of 6-0. A~_enda Item No. 5 - A public heann~ and consideration of an oil and g__e~_ opera'd~ permit renewal application for Swoboda Unit. Well #I-H. Applicant. Chesapeake Ooermin= Inc.. of Oklahoma City_. Oklahoma. The well site is 2500' easterly from SH 6 on Sewer Plant-R__ned_, City Engineer Pullen defined the Swoboda Unit, Well #1 -H as the first high impact well in the city limits permitted one year ago. This item has been placed on the agenda for consideration of a renewal permit. Mr. Pullen explained that the council typically would not consider oil well renewal permits, but in this particular situation, several items at the well site do not comply with the ordinance. As of today, the operator has made attempts to bring this well into compliance at this time. Mr. Pullen explained the past year incidences related to this well site. In December of this year, the staff met with representatives of Chesapeake after he suspended operation of the permit due to permit violations. These violations included the lack of cleanup, no fences around the reserve pits, and the drilling operation on site without a permit. At this meeting, he asked the operators to gain compliance with the permit. There was an agreed upon a settlement of a fee City Council Regular Meeting Thursday, May 13, 1993 Page 4 in lieu of fines, approximately $80,000 in fines. On December 11th, the company agreed to pay $25,000 in lieu of fines. The $25,000 has not been received by Chesapeake. The other conditions mentioned above are near completion. Mr. Pullen asked council to consider several options regarding compliance measures. In order for the site to be brought into compliance, the staff recommended that the maintenance of the access road be performed by the city, and therby assess the operators for the cost. He also recommended the landscaping be maintained by the operator. Staff felt that the security instrument would be drawn if the violations are not corrected within thirty days of the notice of violation. He discussed other options as follows: Option 1: $1,000,000 security instrument; payment of $25,000 agreed to in December. Another option for the council is to direct staff to file charges on each violation since December 11th. Option 2:$250,000 security instrument; reduce fee in lieu of fines to $12,500; and forgive violations since December 11th Option 3:$25,000 minimum security instrument; forgive $25,000 agreed to in lieu of fines; and forgive violations since December 11th. City Engineer Pullen recommended Option 2 for the council's consideration. Councilman Mcllhaney asked a question about the soil testing. He referred the question to the operators for their response. Councilman Brown mentioned that this operator offered false promises to the Council and he doubted their credibility. Their non-compliance de-merits other oil companies who present their case to the Council because of this one incident. Councilman Hickson asked if staff has a standard operating procedure to collect from the security deposit. Assistant City Attorney Nemcik remarked that the draw down on the bond and criminal prosecution are two separate issues. The fines imposed are basically a plea agreement and staff agreed to an exchange for a specific amount of money rather than the criminal prosecution. She stated that she was unsure of the specific provisions in the agreement. Councilman Mcllhaney asked if the staff could provide how much time was utilized toward this case. Mr. Pullen replied that probably the cost of services was close to $25,000. Mayor Ringer opened the public hearing. Robert Worley, 3523 Midwest in Bryan addressed the Council in favor of the renewal permit. He informed the Council that Chesapeake Energy Corporation is an industrial prospect for the City of Bryan. Tom Price, 6104 N. Western in Oklahoma City, Oklahoma approached the Council. His presided as Vice President of Corporate Development for Chesapeake Energy Corporation. He realized that it was not customary for the request of a renewal permit to come before the Council, and he expressed his embarrassment to defend Chesapeake in this manner. He again apologized for the events leading to this predicament. City Council Regular Meeting Thursday, May 13, 1993 Page 5 Mr. Price indicated that the company changed from Chesapeake Operat!ng Company to Chesapeake Energy Corporation on February 12th. Subsequently, mon~es became available for the company to be responsive to its obligations. Mr. Price added that this was their first well within the limits of a city. It is the intent of this company to ensure this scenario is not repeated. The major problem is that wells in this part of the country are undersupervised. Measures have been taken to insure these problems are not repeated. John Brose of 6206 N. Western, Oklahoma City, Oklahoma, Vice President of Drilling and Operation came forward. He recently joined the company in April of this year. He referred to the efforts made by the company to bring this well into compliance. Councilman Mcllhaney asked Mr. Brose about the soil and water tests. Mr. Brose replied the tests were well below the threshold limits of any problems. Tests were performed by a registered engineer. Henry Hood, 1805 Elmhurst, Oklahoma City, Oklahoma, Legal Counsel for Chesapeake Energy Corporation came forward. He elaborated on two issues stated by Mr. Pullen. First, the bond for this type of operation is typically $25,000; the bond is usually drawn upon if a the well is abandoned and the city must "plug" the well. Under very rare occasions, the city would draw on the bond for an ordinary infraction. Under the terms by Mr. Pullen, the entire amount of bond is forfeited if a violation is not adequately addressed in thirty days. In his opinion, this was an extremely punitive measure, but warranted under the circumstances; and he did not dispute this. But he disputed the issue of establishing a higher bond amount. The second issue related to the payment of the fine. He referred to the agreement reached by both parties that a fine would be imposed. Eventually, after meetings with Mr. Price and city staff, it was agreed the fine would be waived in return for Chesapeake responding to the non- compliance issues. Chesapeake has not avoided paying the fine, rather relying on the agreement that the fine would not be enforced. He requested the council issue a renewal permit under the terms proposed by Mr. Pullen with the exception that the security amount, given the fact that it calls for the forfeiture of the total amount of bonds, be kept at $25,000 or a reasonable sum, and that the council give consideration for the fact that there was an agreement that the fine would not be enforced if the site was brought into compliance. Councilman Brown commented on the issue of the bond. He expressed his opinion that at this moment, the company has not maintained credibility with the council. Councilman Hickson asked staff to comment on the discussion of the meetings held between the staff and Chesapeake officers. Mr. Pullen replied that a meeting was held on December 11th, Mr. Tom Ward, President of the Corporation was present. At this meeting, he agreed to pay the $25,000 along with the other items. Ernest Bruchez, 2804 Brothers, College Station addressed the Council to express his support of the permit renewal for Chesapeake. He addressed the environmental concern expressed by Councilman Mcllhaney regarding the level of Normally Occurring Radioactive Material (NORM), relative to items humans are naturally associated such as color televisions, jet flights, chest x-rays. He concluded that the radioactive concern is not a significant issue to the operation of this well site. He believed this could also hold true for other well sites in this area. Tom Price came forward and noted he attended several meetings with staff; whereby staff indicated to the company that if the well site was brought into compliance, the fee ($25,000) would be waived. Mr. Price added the company has completed every task agreed upon during these discussions with staff. Tonight, the staff indicated discussions relative to the City Council Regular Meeting Thursday, May 13, 1993 Page 6 waiver of the $25,000 were dissolved. Mayor Ringer referred to the information received by council on this issue. This information indicated the staff would consider waiving the fee, but they did not commit to the waiver. He pointed out that on October 23rd, notice was sent to Chesapeake for non-compliance at the well site. Again, two inspections in November indicated no activity of compliance at the site. On December 11th, the meeting was held in which the company promised to comply. After an inspection in January, the company had not attempted to comply. Mayor Ringer further expressed his concern that the company had not begun to seek compliance until the permit was near the renewal time. He resented Mr. Price's comment about staff not cooperating with his company. He added that in his opinion, Chesapeake did not fulfill their commitment. Mr. Price stated that he met with the staff for the first time two months ago regarding a framework established toward a new relationship. One of the points discussed was the waiver of the fine if the well was brought into compliance. City Manager Ragland clarified to the council that the staff performance toward this company was liberal. The situation became complicated when the permit renewal date was close to the deadline. Carol Freedlander, 1905 Amber Ridge, College Station approached the Council. She recalled her visit to the Council at the public hearing last year when this company sought a permit. One of her concerns at that meeting was the fact that Chesapeake promised fencing, landscaping, Iow flaring, etc. The staff also indicated their intentions to take whatever action necessary if the company did not comply. She expressed her uncertainty about this company's credibility in the future. Councilman Brown replied to Ms. Freedlander's comments. He stated that ordinances should be followed. These recent experiences will no longer be tolerated. Mayor Ringer directed his disappointments to the representatives of Chesapeake Energy Corporation. Ms. Freedlander referred to recent fire related accidents at well sites in Brazos County. Mr. Bruchez addressed the Council on the recent explosions, specifically, an oil well in East Texas. Suzanne Holt, 1700 Emerald Parkway, College Station addressed the Council. She pointed out the fencing should have been installed within the time specifications in the ordinance. Incidents of children playing at the well site were reported. Ms. Holt commented on other issues such as flaring and engine noise level. Dennis Germenis, 1803 Rosebud, College Station addressed the Council. He expressed his disapproval of the oil well. Cynthia Warren, 419 Chimney Hill, College Station addressed the Council. She did not believe the company would adhere to their promises. Mr. Hood explained reasons for the delay in fencing, pits, and the reduction in fines. Ms. Holt briefly commented to the council. City Council Regular Meeting Thursday, May 13, 1993 Page 7 Mayor Ringer closed the public hearing. Councilmembers expressed their comments and recommendations. Councilman Crouch supported the $25,000 fine with at least a $150,000 bond. Mayor Ringer repeated the City Engineer's recommendation to require a $250,000 security bond and reduce the fine to $12,500 and pay the $1800 for the permit renewal. Mr. Pullen remarked the $1800 was paid. Mayor Ringer also noted the recommendation included an agreement by Cheseapeake to pay 1/4 the cost of maintaining the road or the option to pave the road; landscaping to be installed and protected from livestock damage and to replace within 14 days of notice; also, Mr. Pullen recommended that violation of permit or renewal requirement, and the operator is notified of violations and fails to correct it within 30 calendar days, the security instrument is forfeited. Councilman Hickson expressed the importance of reviewing the secuirty instrument. He recommended the $250,000 bond, and the fine of $25,000 be imposed. Councilman Schneider asked if we had the legal means to enforce the ordinance. Assistant City Attorney Nemcik responded to his question. The ordinance is sufficient to enforce and the penalty is sufficient to receive their attention. We have the legal means, it just so happened this is the first permittee encountered who has not complied, and we assumed they would have come into compliance at an earlier date. Councilman Mcllhaney supported the $250,000 security bond and the $25,000 fine. Councilman Hickson moved to impose a $250,000 security bond to allow a 30 day compliance period, after which the security may be drawn; also, to require payment of $25,000 fine and in the company must be in compliance of the ordinance before the renewal certificate is issued. The motion was seconded by Councilman Brown. City Engineer Pullen indicated the current permit expired Saturday and if the motion was followed literally, the permit might be in suspension. He suggested the council provide the operator five days to meet the compliance measures and allow him the flexibility to meet the inclimate weather. The motion carried unanimously, 6-0. pAgenda Item No. 6 - Discussion and consideration of amendment to Extended Sick Leave olicy entitled Catastrophic Sick Leave Pool. Councilman Brown made a motion to approve the policy statement. The motion was seconded by Councilman Mcllhaney which carried unanimously, 6-0. Personnel Director Karen Pavlinski addressed the Council. .Agenda Item No. 7 - Presentation on changes in scope of original Texas Avenue conversion of overhead electrical feeder lines to underground. Mr. Jim McCord and Mr. Ray Havens updated the council on the status and cost of burying the overhead electrical feeder lines along Texas Avenue in conjunction with the Texas Avenue City Council Regular Meeting Thursday, May 13, 1993 Page 8 Widening Project and our City's streetscape program. Mr. McCord showed slides and visual aids. The total project cost is approximately $1.6 million. Staff will bring their recommendations to council for their consideration at the next council meeting. ,N:lenda Item No. ~ - Discussion and consideration of Traffic Operation Improvements Prolect - .Uhivem' Dr. TarrowE. Tan'ow and S tin Loo area. Edwin Hard, Tranposrtation Planner explained this item for council consideration. The project included installing traffic signals on University Drive at E. Tarrow and Spring Loop and converting Tarrow and E. Tarrow into a one-way pair. He proposed an amendment to the thoroughfare plan as part of the project to extend the one-way pair from University Drive to Lincoln. Mr. Hard presented slides. Staff requested Council authorization to forego the RFP process and enter into a contract with Dr. Joe Blaschke to develop signal timing and construction plans. The consultant's fee for preparation of the signal construction plans and bid documents is $13,700. A preliminary cost of $130,000 is estimated for installation of both signals and implementation of the one-way pair. This project is funded by the 1991 General Obligation Bonds. Mr. Hard described other aspects of the project to concur with the one way pair configuration plan. For instance, the installation of a center turn lane on the section of Tarrow from the northern edge of the intersection of the two streets northern into the City of Bryan. Mr. Hard indicated that residents of Chimney Hill voiced their concerns about the intersection of Tarrow and Hearthstone/Spring Loop. A warrant study is currently underway. Mr. Hard explained that the new signals will be incorporated into the new closed loop system. Mr. Hard discussed the proposed thoroughfare plan amendment, extension of the one way pair concept from University Drive to Lincoln. This will enhance the traffic operations in this area. Mr. Hard described the scenario of traffic movement at this location. He mentioned that as part of the study, the consultant has also considered an amendment to the thoroughfare plan to include the connection between Walton to Lincoln. He concluded with staff recommendations. Councilman Schneider asked if the extension of East Tarrow will become a part of the thoroughfare plan in the future. Mr. Hard replied this extension would not be built at this time, rather it would be implemented as part of the comprehensive plan. Councilman Mcllhaney recommended that the council speak with people in the Munson and Ashburn area about the Walton extension in the thoroughfare plan amendment. Councilman Crouch stated that this idea is good long range planning, but it may have serious impacts on the residents. A lady from the audience approached the Council. She resided within the Chimney Hill Subdivision. She recalled traffic accidents occuring at the intersection of Tarrow and Hearthstone. She expressed concern about the traffic congestion and the hazardous conditions on Tarrow Street. She questioned when a light will be installed at this particular intersection. She urged the council to locate funds to add the third signal at Tarrow and Spring Loop/Hearthstone. Mayor Ringer stated that when the project is complete, the traffic will increase; he suggested City Council Regular Meeting Thursday, May 13, 1993 Page 9 the city should go ahead and install the third light. Assistant City Manager Brymer explained that monies exist from the 1990 street improvement bonds allocated for signal improvements. If council desired, the staff could look at the current year capital project budget, there are two projects that may not be completed this year, perhaps funds could be utilized from this bond package. Ms. Debra Anderson, 208 Fireside Circle, reiterated the strong urgency for a light at Hearthstone and Spring Loop. Mr. Bill Stine, 204 Hearthstone, addressed the Council. He supported the need for a traffic signal at this intersection which will add traffic safety. John Crompton, 1000 Rose Circle, addressed the Council. His interest pertained to the Walton extension to Lincoln. He referred to the bond election in which this issue was defeated several years ago. He asked the Council to look at this issue very carefully when it is discussed again in the future. Mayor Ringer reiterated staff recommendations. Staff asked for approval of one-way concept for Tarrow and E. Tarrow The second recommendation to authorize staff authorized and forego the RFP process and retain the same consultant for the signal contrcution plans. Thirdly, amend the thoroughfare plan to extend E. Tarrow south across University Drive to Lincoln. Fourthly, ask staff to include the Spring Loop/Hearthstone and Tarrow intersection in the singalization project. Councilman Schneider made a motion to include the above recommendations. The motion was seconded by Councilman Crouch which carried unanimously, 6-0. Ac3enda Item No. 9 - Discussion and consideration of rev!.'e!_n.qs to Ch=_._nter 13 of the City Cod_~ of Ordinancss relating to Flood HATnrd Protec~_j_nn - - City Engineer Pullen explained this item. He asked council to provide feedback to ensure the staff is headed in the right direction. Revisions were made with respect to policy. Many concerns raised in the past were needs assessments. The needs assessment policy was reviewed. Clarifications were made in the document because of changes in FEMA's terminology in order to maintain the floodplain insurance. Major changes in the ordinance occurred in Section 5 regarding the requirements of the ordinance on issues such as ownership, dedication and easements, responsibility of maintenance. Input was provided from the engineers and developers. Mr. Pullen identified the focus group. Councilmembers expressed their comments. Staff was asked to continue in the right direction. Aa_enda Item No. 10- Hear Visitors. Ms. Judy Cook, 3501 Nottingham Drive, College Station, came forward to ask the Council to City Council Regular Meeting Thursday, May 13, 1993 Page 10 review the current zoning of C-N property at the corner across from the Rock Prairie Elementary School Site. Mayor Ringer explained the council received a copy of her letter along with a petition for rezoning. City Planner Jim Callaway responded to her written request. He presented a history of the small tract currently zoned C-N. Mayor Ringer directed staff to initiate rezoning of this tract from C-N to R-I. No one else spoke. Agenda Item No. 11 - Hear Visitom. Mayor Ringer adjourned the meeting at 10:35 p.m, A'I-rEST: APPROVED: ~UEST RE~STER C~TY COUNCIL REGULAR HEET~N~ THURSDAY HAY ~3~ ~99~ 7:00 P.M. q 11. 18. 19.