HomeMy WebLinkAbout04/17/1985 - Special Minutes City Council MINUTES
SPECIAL CITY COUNCIL MEETING
WEDNESDAY, APRIL 17, 1985
4:00 P.M.
COUNCIL MEMBERS PRESENT:
COUNCIL MEMBERS ABSENT:
STAFF PRESENT:
STUDENT GOVT. LIAISON:
VISITORS PRESENT:
Mayor Halter, Councilmen Boughton,
Bond, Brown, McIlhaney, Runnels, Tongco
None
City Manager Bardell, Assistant City
Manager VanDever, City Attorney Locke,
City Secretary Jones, Director of Plan-
ning Mayo, Council Coordinator Jones
Mike Hachtman
See guest register.
Agenda Item No. 1 - Discussion of the College Station Industrial
Park.
Mayor Halter stated the purpose of this meeting to update the new
councilmembers on the activities that have transpired concerning
the College Station Industrial Park. He listed in chronological
order the events from 1977 to the present that have transpired
concerning the College Station Industrial Park as follows: (1)
1977-1978, a group of local property owners calling themselves
the Property Owners Association presented the College Station In-
dependent School District with a referenda attempting to limit
their tax base. The CSISD School Board approached the city about
doing more to diversify the local property tax base; (2) Former
Mayor Lorence Bravenec along with several members of the Council
met on several occasions with representatives from the Chamber of
Commerce and the Board of the Brazos Industrial Foundation to en-
list their help, but the city received relatively little encour-
agement from these groups; (3) The city then approached a group
of local businessmen in the community about initiating an effort
to broaden the commercial and industrial base of the city; (4)
1980, The College Station Industrial Foundation grew out of these
meetings with local businessmen in the community; (5) December,
1981, the Westinghouse rezoning case came before the Council and
created a relatively unpleasant era for the city, which lead to
an more intensified effort to develop an industrial park; (6)
April, 1981, a non-binding survey concerning the question of in-
dustrial development in College Station was included on the bal-
lot of the Municipal Election and indicated that the city was in
need of an industrial park; (7) The city began an attempt to lo-
cate an industrial site; (8) July 9, 1981 the city working
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SPECIAL CITY COUNCIL MEETING
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through Mr. Robert Spearman purchased the land that is presently
denoted as the industrial park; (9) At that time a tentative ver-
bal agreement was made between the city and Mr. Spearman concern-
ing the possibility of land trades, i.e. land on the front por-
tion of the tract fronting Highway 6 under Mr. Spearman's owner-
ship, for city owned land located on the back portion of the
tract; (10) The city hired Turney, Collie and Braden to develop a
comprehensive master plan for the park and provide recommenda-
tions on how the land should be developed; (11) The master plan
recommended that the city's land on the back portion of the tract
be developed as residential with inclusion of a Golf course and
country club in the developmental plans; (12) At approximately
the same time Mr. Spearman decided to sell his interest in devel-
opment in the community and sold his portion of the land to
J.A.C. Developers, Inc. slowing down tremendously the process of
development of the industrial park; (13) At this time the city,
while attempting to develop the golf course and recreational area
on the city's land, determined that the only way this development
would occur was for the city to lease the property to private in-
terest. However, during this period the City Charter prohibited
the city from either trading or selling land; (14) August, 1983,
the City held a General Charter Election to bring the Charter in-
to compliance with State Law and an amendment was approved which
authorized the city to enter into land trades and leasing ar-
rangements; (15) October, 1983, the city annexed a large portion
of the industrial park tract into the city limits; (16) November
- December, 1983, J.A.C. Developers, Inc. asked the city to con-
sider the possibility of allowing the use of Municipal Utility
Districts (M.U.D.s) to finance infrastructure development in the
industrial park; (16) 1984, the City Council approved a Resolu-
tion in which the city agreed to allow for in-city M.U.D.s; (17)
1984, several events transpired that to a large degree destroyed
the idea for development of the golf course, the hotel and con-
vention center, and the recreational area, such as the announce-
ment of plans for construction of the Hilton and Sheraton Hotels
and the announcement by Richard Smith of his plans to develop a
golf course and country club in the area; (18) 1984, J.A.C. De-
velopers, Inc. sold their land to W.D. Fitch, a local developer,
causing additional delays because of Mr. Fitch's desire to evalu-
ate his position.
Mayor Halter listed the items that the city has undertaken in de-
velopment of the area as follows: (1) extension of water lines
to the site; (2) construction of an overhead water tower; (3)
construction of a sewer line along Green's Prairie Road; (4) com-
pletion of engineering studies; (5) opening of bids for the con-
struction of Green's Prairie Road, (6) issuance of State Health
Department permits for three different sewage treatment plants.
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Director of Planning Mayo explained that the infrastructure pre-
viously mentioned by Mayor Halter is part of the overall compre-
hensive plan for the development of the newly growing area in the
southern part of College Station. He referred to the map depict-
ing the city's Comprehensive Plan - 2000. He stated that the
Council decided that the city should encourage growth to the
south. He explained the reasons why this direction for growth
was chosen over growth to either the east or west. He noted that
the city has grown as far south as it can on the existing sewage
treatment plant.
City Manager Bardell stated that development is already occurring
to the south along Highway 6. He noted that the Shenandoah Sub-
division is presently pumping their sewage through three pump
stations (lifting it three times) which is not a very economical
way to handle sanitary sewage. He explained that as development
occurs in this area the city will have greater pressure to pro-
vide the first phase of sewage treatment. He reiterated that the
construction of the infrastructure in the area is not occurring
just to serve the industrial park, but is necessary to provide
service to the other developments occurring in the area.
Councilman Bond stated that the city purchased the property for
the industrial park at a very opportunistic time and acquired
more acreage than was perceived needed for its operation, there-
fore providing the city with the opportunity to use the property
for industrial development. He questioned whether at the very
outset of the project it was contemplated by all parties involved
that the city would not ultimately end up with the property in
the rear, but that for industrial development the project would
be a joint development venture between the city and the other
property owner or the land in the rear would be traded for land
more suitable for industrial development. He further stated his
assumption that the city did not expect that it would be able to
trade acre for acre. He asked that his thoughts be reaffirmed
that the city intended that its ownership of property in the rear
was not well defined for industrial development and if industrial
development was to occur it would require a trade of land that
would be determined by the market place. He stated his concern
that after the other property has gone through several iterations
of ownership, what was contemplated by one set of parties at the
outset - which might not have been specified in writing - would
become a new set of rules when dealing with each new ownership.
Mayor Halter noted that the city purchased its property in the
rear for $1,250.00 per acre and Mr. Spearman purchased the front
portion of the property for $1,750.00 per acre. He stated that
the original verbal agreement which was later worked out on paper
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SPECIAL CITY COUNCIL MEETING
WEDNESDAY, APRIL 17, 1985
PAGE 4
specified that any land trades would be traded at that ratio of
values. He pointed out that the city was not authorized even to
contemplate any land trades until August, 1983 after the General
Charter Election.
City Manager Bardell stated that the city is not in the position
to spend extensive dollars to develop the infrastructure in the
industrial park, i.e. the streets and actual service lines;
therefore, consideration has been given to the possibility of al-
lowing its partner to do the actual development and then make the
land trade on the basis of the land value undeveloped as opposed
to the developed land.
Councilman Bond asked if the Council committed 400 acres to the
development of a wilderness park. Mayor Halter replied affirma-
tively.
Councilman Bond noted that the amount of acreage the city has to
utilize for a trade for industrial development has been reduced
by the dedication of this 400 acres to the development of a wil-
derness park.
Mayor Halter listed a number of problems the city has encountered
in trying to develop the industrial park as follows: (1) dealing
with private developers; (2) needing to provide assurance~ to the
Council that resulted in delays; (3) trading of land proved to be
a more complicated process than expected; and, (4) diverting a
tremendous amount of effort to the development of the golf course
and convention center, which did not result in a viable option
due to the private sector. He listed his suggestions concerning
where the city should proceed from this point, as follows: (1)
get out of the business of industrial development and sell the
land; (2) get out of the Industrial Foundation business and turn
it over to the Bryan/College Station Chamber of Commerce; or, (3)
maintain the Industrial Foundation. He noted that the city has
not appropriated any funds to the Industrial Foundation since
1983 and presently they have only a limited amount of funds in
their treasury. He further stated that if the city decides to
continue the effort with the Industrial Foundation, the city will
have to support the Foundation with funding until it can develop
its own source of funds. He listed several suggestions concern-
ing the Industrial Foundation as follows: (1) change the bylaws
to create an Industrial Foundation Board of seven to nine members
to be appointed by the City Council with Council representation;
(2) provide funding for the Industrial Foundation; (3) negotiate
a land sale of a portion or all of the city land to the Industri-
al Foundation and allow the Board to devise a plan for its devel-
opment, with minimal interference by the Council in Board activi-
SPECIAL CITY COUNCIL MEETING
WEDNESDAY, APRIL 17, 1985
PAGE 5
ties. He stated that there is a question concerning the value
that should be put on the land when selling it to the Industrial
Foundation and listed several options: (1) market value; or, (2)
investment price. He suggested that the city then allow the
Foundation to use that money to aid in the development of the in-
dustrial park, which would put them in a better position to pro-
vide sites at a reasonable cost. He suggested that the Council
review these options for further consideration on the Regular
Meeting Agenda, April 25, 1985.
Councilman TonGco requested a list of the members of the College
Station Industrial Foundation. Mr. Dennis GoehrinG, President of
the Industrial Foundation, stated that he would provide each mem-
ber of the Council with a list of the members.
Councilman Bond asked how many acres of city land are available
for industrial development. City Attorney Locke stated that
there are approximately 700 acres available.
Mayor Halter pointed out that part of the area is in the flood
plain.
In response to other questions from Councilman Bond, Mr. GoehrinG
discussed possible long-range development prospects for the park
and compared it to other industrial developments.
Councilman Bond pointed out the need for specificity in contracts
on the park.
Councilman Brown asked how much the distance from Highway 6 to
the park would affect price and marketinG aspects.
Mayor Halter stated that he considered the advantages of highway
frontage to be overemphasized, and pointed out that the improve-
ment of Green's Prairie Road would help.
Councilman TonGco asked how much fundinG the College Station In-
dustrial Foundation will require and from which the fund the mon-
ies would be appropriated.
Mayor Halter stated that the amount of fundinG requested last
year by the College Station Industrial Foundation was $65,000.00
to be appropriated from the General Fund.
Assistant City Manager VanDever pointed out that an appropriation
for $65,000.00 for the Industrial Foundation is in the current
budget, but it has not been released.
Mayor Halter asked for comments from the public.
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SPECIAL CITY COUNCIL MEETING
WEDNESDAY, APRIL 17, 1985
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Mr. Jim Gardner questioned why the public was not provided with
any information about the new sewer plant expansion. He ex-
pressed his concern that this will encourage an economic sprawl
condition.
Mayor Halter pointed out that the current sewer plant will not
serve much more area than it is currently serving.
Agenda Item No. 2 - EMERGENCY ITEM: Closed session to discuss
pending litigation [6252-17(2)(e)]
·
Councilman Runnels moved to declare Item No. 2 and Item No. 3
emergency items.
Councilman Bond seconded the motion which was approved unanimous-
ly, 7-0.
The Council moved to closed session and later reopened to the
public.
Agenda Item No. 3 - EMERGENCY ITEM: Action on closed session.
No action was taken on closed session.
Agenda Item No. 4 - Adjourn.
Dian Jones~lty Secretary
Mayor Halter adjourned the meeting·
Gary Hal~ Mayor
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