HomeMy WebLinkAbout05/19/1983 - Special Minutes City Council MINUTES
SPECIAL CITY COUNCIL MEETING
THURSDAY, MAY 19, 1983
12:00 NOON
COUNCIL MEMBERS PRESENT:
Mayor Halter, Councilmen Boughton,
Runnels, Prause
COUNCIL MEMBERS ABSENT:
Councilmen Anderson, McIlhaney
STAFF PRESENT:
City Manager Bardell, Asst. City Manager
VanDever, Director of Capital Improvements Ash,
Council Coordinator/Deputy City Secretary
Martin, City Secretary Jones, Administrative
Assr. Nowlin, Tax Assessor-Collector Dickson
VISITORS PRESENT:
See gues~ register.
Agenda Item No. 1 - Consideration of a proposed contract with the Trinity
River Authority on Hydro-electric Power.
City Manager Bardell presented the item. He stated that the Trinity River
Authority operates Lake Livingston, which is a potential site for a
Hydro-electric plant for the production of electric energy. The Trinity
River Authority has a temporary permit which enables them to maintain a
priority position in the submission of an application for a license to
build a plant at Lake Livingston. The City of College Station has been
negotiating with TRA to secure that permit for the construction of the
plant. The contract will cover the permit and application work. At the
point when the license is granted for construction, TRA will sell the
bonds, construct the power plant, and the City of College Station will be
obligated to buy the power from that plant. The City of College Station
would then be responsible for distributing the power. The proposed
contract must also be accepted by the Trinity River Authority Executive
Board. All the money funded for this study will be returned to the City
when the bonds are sold to build the power plant. The only problem has
been who will do the engineering work to establish the criteria for seeking
the license for plant construction. The Authority and the City agree that
the engineering firm of Tippetts-Abbett-McCarthy-Stratton of New York, New
York will do the work. The City could also enter into a contract with
Daverman and Associates to do the oversight and parallel work pertaining to
feasibility and the license application. Daverman and Associates would
assist the base engineer hired by TRA and determine at the first phase
whether or not the plant is feasible and if the City should continue with
the project. The deadline to file the application for the license is
November 30, 1983.
Asst. City Manager/Finance Director VanDeverexDl~ined that using the
additional engineering firm will cost approximately $100,000. He stated
that the original estimated cost of the project was $250,000. If the
additional engineer is approved or if TRA should drop out of the project,
the feasibility process could cost approximately $500,000. However, the
money will be refunded when the bonds are sold.
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SPECIAL CITY COUNCIL MEETING
THURSDAY, MAY 19, 1983
PAGE 2
Mayor Halter stated that the council will need to consider whether the City
should proceed with the study which could cost approximately $500,000 and
if the City would like to hire Daverman and Associates as the backup
engineer in the project.
Asst. City Manager/Finance Director VanDever explained that it will take
approximately 3 1/2 years before the City would receive any refunds from
the project. He suggested that the City use existing funds for the project
and avoid borrowing the money.
Councilman Runnels asked if borrowing internally will cause any existing
programs to tighten up.
Asst. City Manager/Finance Director VanDever replied that it would not
cause any programs to lessen but the City would lose interest earnings.
City Manager Bardell gave a brief review of the technical aspects of the
plant. He stated that the feasibility study currently indicates
approximately 175,000,000 kilo watt hours per year to be generated. At
this time, the peak capacity of power is determined to be between 30 and 60
megawatts.
After further discussion regarding the contract with TRA, Councilman
Runnels moved that the City of College Station enter into a contract with
Trinity River Authority of Texas to determine the feasibility of generating
and purchasing electrical energy from a Hydro-electric plant.
Mayor Halter pointed out that by entering into this contract, the City is
agreeing to pay the fees indicated.
Councilman Boughton seconded the motion which passed unanimously.
Agenda Item No. 2 - Adjourn.
Mayor Halter adjourned the meeting.
Gary HaltS,
ATTEST:
Dian Jon~/ C~lty ~ec~etary
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