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HomeMy WebLinkAbout09-08-08 TC Agenda PacketTOWN OF WESTLAKE, TEXAS BOARD OF ALDERMEN WORKSHOP AGENDA September 8, 2008 WESTLAKE TOWN HALL 3 VILLAGE CIRCLE MUNICIPAL COURT ROOM, SUITE 207 4:15 p.m. 1. CALL TO ORDER. 2. PRESENTATION AND DISCUSSION OF A STATUS REPORT ON CONSTRUCTION OF THE ARTS AND SCIENCES CENTER. 3. PRESENTATION AND DISCUSSION OF A PROPOSED CONTRACT FOR POLICE RELATED SERVICES WITH THE CITY OF KELLER. 4. PRESENTATION AND DISCUSSION OF PROPOSED BUDGET FOR FISCAL YEAR OCTOBER 1, 2008, THROUGH SEPTEMBER 30, 2009. 5. PRESENTATION AND DISCUSSION OF TOWN /ACADEMY FACILITIES RENTAL USE POLICIES AND FEES FOR THE CIVIC CAMPUS BUILDINGS TO WESTLAKE RESIDENTS. 6. FUTURE AGENDA ITEMS: Any Board member may request at a workshop and / or Board meeting, under "Future Agenda Item Requests ", an agenda item for a future Board meeting. The Board member making the request will contact the Town Manager with the requested item and the Town Manager will list it on the agenda. At the meeting, the requesting Board member will explain the item, the need for Board discussion of the item, the item's relationship to the Board's strategic priorities, and the amount of estimated staff time necessary to prepare for Board discussion. If the requesting Board member receives a second, the Town Manager will place the item on the Board agenda calendar allowing for adequate time for staff preparation on the agenda item. - None Town of Westlake Board of Aldermen Workshop Minutes July 28, 2008 7. ADJOURNMENT. Page 2 of 2 ANY ITEM ON THIS POSTED AGENDA COULD BE DISCUSSED IN EXECUTIVE SESSION AS LONG AS IT IS WITHIN ONE OF THE PERMITTED CATEGORIES UNDER SECTIONS 551.071 THROUGH 551.076 AND SECTION 551.87 OF THE TEXAS GOVERNMENT CODE. CERTIFICATION I certify that the above notice was posted at the Town Hall of the Town of Westlake, 3 Village Circle, by Friday, September 5, 2008, by 4 p.m. under the Open Meetings Act, Chapter 551 of the Texas Government Code. Kim Sutter, TRMC, Town Secretary If you plan to attend this public meeting and have a disability that requires special needs, please advise the Town Secretary 48 hours in advance at 817- 490 -5710 and reasonable accommodations will be made to assist you. Town of Westlake Memo To: Honorable Mayor and Members of the Board of Aldermen From: Troy J. Meyer Director of Facilities and Recreation Subject: Workshop Meeting of September 8, 2008 Date: September 2, 2008 ITEM Presentation and discussion of a status report on construction of the Arts and Sciences Center. VISION POINT AND KEY RESULT AREAS This item supports the following Vision Point and Key Result Areas: Q We are Leaders o Premier educational facilities and programs o Producing well educated future leaders and thinkers o Business partnerships with Westlake Academy BACKGROUND The bid notices for the Arts & Sciences Center were posted the week of July 28, 2008 by Steele & Freeman. All bids were due back on August 21, 2008, and presented to the Building Committee on August 28' 2008, for discussion. The Committee requested that Steele & Freeman continue to work on confirming all the costs of the materials being used for this project. A meeting is scheduled for September 4, 2008, with the engineers, architects, Steele & Freeman and town staff to review the results. FIFULTHINIM Funding for this project will be provided by a variety of sources including Bond, Westlake Academy Foundation, and cash gifts as discussed with the Board in conjunction with the FY 08- 09 proposed budget. The funding will be outlined at the workshop. RECOMMENDATION Due to the time period in which bidders on major components for this project are willing to hold their bid price firm, staff is recommending the Board call a special meeting for September 15, 2008, to review and approve the construction contract for the Arts & Science Center. ATTACHMENTS: None Westlake Academy Arts & Sciences Center Construction Cost and Funding Update September 8,2008 Westlake Academy Arts &Sciences Center VISION POINT AND KEY RESULT AREAS .1 We are Lead V "''Premier educational facilities and programs �, /Producing well educated future leaders and thinkers "J" Business partnerships with Westlake Academy Where We Are Today for Phase I with Foundation for black box &art room 0 ✓Original estimate from CM in June ✓Bid total received on August 2 I St ✓Total cost of Phase I w /foundation $4.7M $5.3M $5.1 M Note: All of the above costs are current bid prices, only if the project begins in the next few weeks. Funding Sources as of September 2008 0'/ G.O. Bond Funds $29467,000 ✓ Texas Student Housing $50000 ✓ Lee Gift ✓ Foundation Donations ,,/Interest Sub -total of cash on hand ✓Anticipated Pledges 2008 -2012 `Pledges for 2008 -2009 $353,946 $500,000 $641,447 28,325, $4,13 6, 772 $431,890 $4,568,663 Funding the Project Construction Cost Utility Relocation (Move to Utility fund) FF &E (Funded by Academy) G.O. Bond,Texas Student Housing, Interest, 100% Lee gift Westlake Academy Foundation Cash & Pledges Unfunded Portion WA Foundation cash on hand Pledges Total Phase I w/ Foundation for the black box & art room $5,189,389 -$41 1,000 - $3,495,325 -$I ,073,337 $209,727 $641,447 $431,890 $1,073,337 Town of Westlake Memo To: Honorable Mayor and Members of the Board of Aldermen From: Tom Brymer, Town Manager Don Wilson, Director of Public Safety Subject: Workshop Meeting of September 8, 2008 Date: September 3, 2008 ITEM Presentation and Discussion of a Proposed Contract for Police Related Services with the City of Keller. VISION POINT AND KEY RESULT AREAS This item supports the following Vision Point and Key Result Areas: Q We are Leaders o Premier educational facilities and programs o High quality services delivery coupled with financial stewardship BACKGROUND The Town of Westlake has contracted successfully with the adjacent City of Keller for police related services since FY02 /03. The Keller Police Department is accredited with the Commission on Accreditation for Law Enforcement Agencies meaning it must meet over 400 recognized standards and measures for quality, professional law enforcement services. Services offered through this contract include 24 hour police patrol, traffic enforcement, criminal investigation, accident investigation/reconstruction, crime prevention programs, public safety dispatch /communications, SWAT Team, jail services, and animal control. Interaction and support of Westlake Academy by the Keller Police Department has been available upon our request. This contract has, until now, been an annual contract with the price being adjusted at the time of renewal. This contract is being proposed as a five year agreement with either party being given the right to terminate with at least two years prior notice to the subsequent October 1. The price for these services would be adjusted annually. This five year contract term is being recommended to give both municipalities adequate time to make alternative service arrangements in the case of contract termination. There are additional wording additions /changes being recommended by staff in this iteration of the contract, all of which are highlighted in yellow and will be reviewed at the workshop. FUNDING: History of funding for this contract is as follows: 2002/03 $ 635,220 (first full -year) 2003/04 $ 646,772 1.8% increase 2004/05 $ 685,588 6.0% increase 2005/06 $ 710,340 3.6% increase 2006/07 $ 729,932 2.8% increase 2007/08 $ 729,900 0.0% increase (due to adding Southlake to dispatch /jail svcs) 2008/09 $760,105 Prospective = 4.14% increase Average yearly increase since inception: 3.06% Annual funding is budgeted in the Proposed FY08 /09 Budget for this contract. RECOMMENDATION: Staff recommends that the Board review the proposed contract with the recommended changes and give feedback/direction to staff. This contract, with any further changes the Board may direct, will be placed on the Board's September 22nd regular meeting agenda for consideration for approval. ATTACHMENTS: 1. Proposed contract with City of Keller for police related services 2. Exhibit A to said contract giving pricing calculation detail 3. Patrol district map INTERLOCAL AGREEMENT FOR POLICE SERVICES THE STATE OF TEXAS X COUNTIES OF TARRANT And DENTON X THIS AGREEMENT, is made and entered into by the CITY OF KELLER, TEXAS, a Home Rule municipal corporation, hereinafter referred to as "KELLER ", and the TOWN OF WESTLAKE, TEXAS, a Type A General Law municipal corporation, hereinafter referred to as "WESTLAKE ", each acting by and through its duly appointed city managers: WITNESETH: WHEREAS, WESTLAKE is desirous of providing its residents and businesses with full -time police protection and services, and WHEREAS, KELLER is desirous of furnishing full -time police protection and law enforcement services to WESTLAKE, and WHEREAS, the parties hereto desire to enter into said agreement to provide police protection and law enforcement services at the highest level possible for both communities in accordance with the terms and conditions set forth herein, and WHEREAS, all payments to be made hereunder shall be made from current revenues available to the paying party; and WHEREAS, KELLER and WESTLAKE have concluded that this Agreement fairly compensates the performing party for the services being provided hereunder; and WHEREAS, KELLER and WESTLAKE believe that this Agreement is in the best interests of KELLER and WESTLAKE; and WHEREAS, this Agreement has been approved by the governing bodies of KELLER and WESTLAKE; and WHEREAS, this agreement shall be in conformance with Chapter 791 of the Texas Government Code, more commonly known as the "Interlocal Cooperation Act ". NOW THEREFORE, IN CONSIDERATION OF THE MUTUAL PROMISES AND CONSIDERATION PROVIDED FOR HEREIN, THE RECEIPT AND SUFFICIENCY OF WHICH ARE HEREBY CONFIRMED, THE PARTIES HERETO AGREE TO THE FOLLOWING: Section 1. All matters stated above in the preamble are found to be true and correct and are incorporated herein by reference as if copied in their entirety. Section 2. Term. This agreement shall be for a term of five (5) years commencing on October 1, 2008 and ending September 30, 2013. If either party wishes to terminate this agreement during the first three (3) years, they may do so under the requirements in Section 7 below. However, in accordance with the Texas Interlocal Cooperation Act, not later than September 30 of each year, this Agreement, or amendments thereto, including any and all revisions /calculations relating to Exhibit "A" that may be applicable to a new payment schedule, shall be subject to approval by the governing bodies of KELLER and WESTLAKE in order that it shall remain in force and funds budgeted therefore. Section 3. Scope of Services, KELLER. KELLER hereby agrees to provide WESTLAKE the following equipment, services, personnel, and facilities (Section I a. -1.) hereinafter collectively referred to as "police services ": a. An adequate number of police patrol units and motorcycle units to provide routine neighborhood patrol, patrol of business establishments and traffic control on all roadways within WESTLAKE and enforce the laws of the State of Texas and WESTLAKE, in such a manner as to provide adequate police services considering factors such as but not limited to housing densities, commercial development, roadway conditions, traffic flow, etc. To calculate a price for this agreement the cost of eight (8) full -time equivalents (FTE) will be used during the term of this agreement. Both parties agree that this is not a static staffing number. By sharing patrol districts between the two municipalities as shown in Exhibit B there will be times when WESTLAKE will receive more resources than what can be delivered by eight (8) employees to handle peak events like traffic collisions, criminal investigations, and major disturbances. WESTLAKE will not be subject to "black -out time" where no officers are unable to respond to life threatening or high priority incidents because of lack of resources in Westlake/North Keller. KELLER agrees to utilize all available resources including the use of Mutual Aid with surrounding cities. b. KELLER agrees to notify WESTLAKE when any of the two dedicated motor officers assigned to WESTLAKE for traffic enforcement will be absent from the forty (40) hour per -week assignment in an excess of one week for training, vacation, illness, or injury. KELLER will also notify WESTLAKE should there be a change of assignment of personnel to the two dedicated motor officers in WESTLAKE. Should questions arise about the attendance, performance, and conduct of the motor officers assigned to WESTLAKE or any other police personnel employed by KELLER, the Town Manager (or his designee) of WESTLAKE shall contact the KELLER Chief of Police about the concerns. The KELLER Chief of Police shall respond to the concerns and take the appropriate action if warranted. C. KELLER agrees to remain accredited with the Commission on Accreditation for Law Enforcement Agencies during this agreement. This offers WESTLAKE a level of service excellence, performance measurement, and accountability that only a select number of other law enforcement agencies in the nation can offer. 2 d. KELLER agrees to provide WESTLAKE with the full services of a Criminal Investigations Division, Special Weapons and Tactics (SWAT) Team, and a Community Service Officer to conduct crime prevention programs in the community and at The Westlake Academy upon a timely request. e. KELLER agrees to provide WESTLAKE with 24 -hour police dispatch services, including 911 dispatching for police, fire and emergency medical service (EMS). f. KELLER agrees to provide WESTLAKE Animal control and enforcement services. g. KELLER agrees to provide WESTLAKE Jail capacity and services for housing WESTLAKE prisoners including providing booking services. h. All human resource services necessary for the recruitment, screening, employment, and training of all personnel required to provide services to WESTLAKE under this agreement, including providing all employee polices and procedures and the administration thereof. i. All general and personal liability coverage necessary for the adequate protection of KELLER personnel providing said police services to WESTLAKE at the same level of protection afforded officers and employees while performing the same or similar duties in KELLER, provided however, that neither party shall be responsible for the other parties' employee retirement and /or pension benefits. j. All crime reporting and maintain all required law enforcement activity reports /statistics pertinent to WESTLAKE for the purpose of providing WESTLAKE performance measures relating to services provided by KELLER in accordance with this agreement. k. To provide access to WESTLAKE's warrant information retained by KELLER Dispatch to the WESTLAKE Town Marshal and all other law enforcement agencies. KELLER agrees to hold a minimum of quarterly meetings with personnel from WESTLAKE assigned by their Town Manager (or his designee) to share information and WESTLAKE will also be invited to participate in the jail and dispatch meetings with the City of Southlake. Section 4. WESTLAKE Obligations. WESTLAKE agrees to perform the following: a. Pay to KELLER the sums provided in Section 5. b. In the event a conflict between the applicable Ordinances of KELLER and WESTLAKE creates a difficulty in enforcement, KELLER shall notify WESTLAKE of such conflict. If WESTLAKE fails or refuses to amend its Ordinance(s) to be consistent with KELLER within thirty (30) days of receipt of such notice, KELLER may refrain from enforcing the conflicting Ordinance. C. Provide a facility to hold WESTLAKE Municipal Court, as well as provide the services of a Municipal Judge and prosecuting attorney. WESTLAKE shall determine both the time and place for conducting such sessions; however, its Municipal Court sessions will not conflict with the time and place of KELLER'S Municipal Court sessions. d. Arrange for WESTLAKE Municipal Judge to conduct arraignments at the KELLER Police Department whenever necessary or notified to do so by KELLER. e. Provide a Town Marshall, employed and supervised by WESTLAKE, for the purpose of serving WESTLAKE municipal warrants. WESTLAKE shall be responsible for the Law Enforcement Commission for said Marshall and shall provide the required re- certification training. The Town Marshall shall have access to WESTLAKE municipal warrants retained at the KELLER dispatch. Section 5. Payments for Services Performed. All payments referred to herein shall be paid by WESTLAKE to KELLER in four (4) equal installments on the 1 s` day of each calendar quarter beginning October 1, 2008 in advance of the services performed by KELLER for WESTLAKE for each calendar quarter of KELLER'S fiscal year. The annual payment amount shall be KELLER's budgeted amount for the police services being provided as reflected in Exhibit "A ". KELLER shall provide to WESTLAKE on an annual basis the cost of police services, based on KELLER's Fiscal Year Police Department Operating Budget adjusted annually to include KELLER's annual Police Department budget increases in personnel costs and benefits, operating costs, capital costs, and General and Administrative Charges as anticipated to be approved by the KELLER City Council during the annual budgeting process for the upcoming Fiscal Year beginning October 1, as well as any direct expenditure increase(s) necessary to serve only WESTLAKE as the result of a significant addition of a commercial /retail establishment or housing sub - division requiring dedicated permanent police resources requested by the Board of Aldermen. In the event the WESTLAKE Board of Aldermen fails or refuses to approve the annual payment amount by October 1, of any year during the term of this Agreement, such failure or refusal shall be deemed a cancellation of the Agreement pursuant to Section 7.13. herein. Section 6. Revenues Retained. All revenues, fines, forfeitures, etc. that may be generated by performing law enforcement duties within the respective municipal boundaries of KELLER and WESTLAKE shall be retained by respective city. Section 7. Cancellation. A. Either party shall have the right to terminate this agreement by giving written notice to the other party at least two (2) years prior to the subsequent October 1. All payments by WESTLAKE to KELLER shall continue until the cancellation date is reached unless a mutual agreement to the contrary is reached. B. In addition, if WESTLAKE fails or refuses to approve the annual payment amount as provided for in Section 5 hereinabove, this Agreement shall continue to be in effect for a period of two (2) years with the calculated amount due under Section 5. Section 8. Notices. All written notices shall be sent to the following parties by certified mail — return receipt requested: KELLER Dan O'Leary, City Manager City of Keller P.O. Box 770 Keller, TX 76244 WESTLAKE Tom Brymer, Town Manager Town of Westlake 3 Village Circle, Suite 202 Solana Westlake, TX 76262 Section 9. Dispute Resolution. In order to ensure an effective relationship between the parties and to provide the best possible police services, it is mutually agreed that all questions arising under this Agreement shall be handled and resolved between the City Manager's of KELLER and WESTLAKE, except that citizens and /or residents of WESTLAKE shall be provided the same access to KELLER'S City Manager, Police Chief, officers and employees as KELLER residents enjoy as it pertains to said aforementioned police services. Any issues not resolved hereunder may be referred to the respective governing bodies for resolution who hereby agree to the appointment of a court- certified (certified in Tarrant County) mediator to assist in resolving said dispute as a prerequisite to the filing of any lawsuit over such issues. Section 10. Jurisdiction. By this agreement, WESTLAKE grants full and complete authorization and jurisdiction to KELLER for all police services provided by KELLER and contained in this agreement. Said jurisdiction shall apply to the town limits of WESTLAKE as shown on Exhibit "B" attached hereto. Section 11. Venue. Venue for any legal dispute arising pursuant to this agreement shall lie in Tarrant County, Texas. No litigation shall be commenced prior to affording the other party the opportunity to participate in mediation in accordance with Section 9. Section 12. At all times during the term of this agreement, all police officers and employees shall be under the supervision and control of the Chief of Police of KELLER or his duly authorized representative, and no other person. Section 13. Both parties mutually agree that KELLER is an independent contractor, and shall have exclusive control of performance hereunder, and that employees of KELLER in no way are to be considered employees of WESTLAKE. Section 14. Indemnification. WESTLAKE agrees to hold harmless, save and indemnify KELLER for any and all claims for damages, personal injury and /or death that may be asserted against KELLER arising from its performance hereunder within WESTLAKE within limits of the Texas Tort Claims Act save and except intentional acts or acts of gross negligence by KELLER. The foregoing notwithstanding, the parties hereto reserve the right to all available legal defenses and all protections and limitations of liability provided by the Texas Tort Claims Act and the Texas Constitution relative to these parties. The provisions of this indemnification are solely for the benefit of the parties hereto and not intended to create or grant any rights, contractual or otherwise, to any other person or entity. Section 15. This agreement may only be modified, changed or altered at any time, upon mutual agreement of parties, provided that any such modification, change and /or alteration be reduced to writing, and approved by the governing bodies of KELLER and WESTLAKE. IN WITNESS WHEREOF, we have hereunto set our hands this the day of , 2008, in duplicate originals. CITY OF KELLER, TEXAS TOWN OF WESTLAKE, TEXAS By: P.H .McGrail Mayor By: Dan O'Leary City Manager ATTEST: By: Sheila Stephens City Secretary APPROVED AS TO FORM: By: L. Stanton Lowry City Attorney By: Laura Wheat Mayor By: Tom Brymer Town Manager ATTEST: By: Kim Sutter Town Secretary 6 FISCAL YEAR 2008/09 POLICE DEPARTMENT OPERATING And GENERAL AND ADMINISTRATIVE BUDGETS FOR POLICE SERVICES TO THE TOWN OF WESTLAKE. OPERATING BUDGET Includes seventy -three (82) full -time employee equivalents (FTEs); police patrol; traffic control dispatch services, records, and equipment; criminal investigation services; animal control services; departmental train- ing; and capital equipment $7,220,580 82 FTEs Cost per Full -time Employee $ 88,056.00 Annual Service Level Calculation: 8 FTEs (1) x $ 88,056.00 $ 704,448.00 GENERAL AND ADMINISTRATIVE CHARGES (2) 55,657.00 Includes services of Administration, Finance Administration, Human Resources, and Non - Operating Expense. TOTAL ANNUAL COST $ 760,105.00 (1) 5 Police Patrol Officers 2 Police Motorcycle Officers 1 Records Clerk 8 FTEs (2) PERCENT ( %) OF RESPECTIVE ANNUAL OPERATING BUDGET USED: Administration 2% Finance Admin 3% Human Resources 3% Non - operating 1% EXHIBIT A Town of Westlake Memo To: Honorable Mayor and Members of the Board of Aldermen From: Tom Brymer, Town Manager Subject: Workshop Meeting of September 8, 2008 Date: September 2, 2008 ITEM Discussion of the Proposed Budget for Fiscal Year October 1, 2008 Through September 30, 2009. VISION POINT AND KEY RESULT AREAS This item supports the following Vision Point and Key Result Areas: Q Inviting Residential & Corporate neighborhoods o On -going comprehensive planning o Sensitivity to neighborhood integrity o Outstanding community appearance o Highest quality development and aesthetic standards o Open space preservation Rl We are Leaders o Premier educational facilities and programs o Producing well educated future leaders and thinkers o Business partnerships with Westlake Academy o Environmental stewardship initiatives o High quality services delivery coupled with financial stewardships o Infrastructure maintenance and planning Q Hospitality Finds its Home in Westlake o Citizen engagement and communication c Historic Preservation o Tourism development BACKGROUND Staff presented and reviewed this proposed budget at The Board's September 25th workshop to seek Board input, direction, guidance on this important policy setting and implementation document for the upcoming fiscal year. This workshop is scheduled should the Board wish to further discuss this proposed budget prior to considering it for adoption. FUNDING: N/A RECOMMENDATION Staff recommends that the Board review and provide direction at this workshop regarding any changes they wish to make to this proposed budget. Additionally, at the September 8d' regular Board meeting the public hearing required by State law regarding the proposed budget will be held. Following that public hearing, the Board can consider adoption of the FY 08 -09 Budget. Adoption of the Proposed Budget could also be considered at the September 22"d Board meeting. ATTACHMENTS: None WESTLAKE HISTORY BOOK ORDER (The Donning Company Publishers) Cover Material Quantity Unit Cost Total Cost Padded Bonded Leather 1,150 $ 42.20 $ 48,530.00 Top -Grain Leather 100 $ 61.73 6,173.00 Sub -Total 1,250 54,703.00 Estimated Shipping 1,000.00 Total $ 55,703.00 Initial Down Payment Made (12/07) (13,000.00) Proposed 2nd Installment (09/08) (20,000.00) Balance Due at Delivery $ 22,703.00 BOOK ORDERS Cover Material Quantity Unit Cost Total Cost Top -Grain Leather @ $100 each (Fully Paid) 12 $ 100 $ 1,200.00 Bonded Leather @ $50 each (Fuly Paid) 44 $ 50 2,200.00 Bonded Leather @ $50 each (Ordered) 37 $ 50 1,850.00 93 $ 5,250.00 Facility Use are Leader 9 Availabillity & Rental.Requirements Q M • $2,000 — extended commitment ^' Cafeteria Area and Performance Hall Rental Fees Z 0 Two (2) hour min. --Six (6) hour max. Goal is full cost recover (electric.ity, s taff, etc. On -site Town representative additional per Cleaning &. StaGfang 4�11 Responsibility of person renting Facility -Town will provide necessary cleaning supplies x` Town representative to be on-site during use �'� of the Facility Decorations SECTION 4: That once appointed, the Board will immediately set about the task of researching and compiling information necessary to write and publish a book on the history of Westlake. SECTION 5: That the Board of Aldermen will consider necessary funds and /or other support for the Board if necessary at such time the Board has formulated appropriate requests. SECTION 6: That there will be ten members who will serve staggered terms as follow: 4 terms of 3 years, 3 terms of 2 years and 3 terms of 1 year. Terms will be selected based on drawing straws. Members are eligible for reappointment for an indefinite number of terms and all members will serve three year terms following completion of each of the staggered terms. Unexpired terms and all vacancies will be filled by the Board of Aldermen. PASSED AND APPROVED ON THIS 14`h DAY OF FEBRUARY, 2000. Scott BradYey, Mayor ATTEST: /in�gerosswy, Town S etary Trent O. Petty, ToI !Eager APPROVED AS TO FORM: 2 Town of Westlake Memo To: Honorable Mayor and Members of the Board of Aldermen From: Troy J. Meyer Director of Facilities Amanda DeGan, Court Administrator Subject: Workshop Meeting of September 8, 2008, Date: September 2, 2008 ITEM Presentation and discussion of Town/Academy facilities rental use policies and fees for the civic campus buildings to Westlake residents. VISION POINT AND KEY RESULT AREAS This item supports the following Vision Point and Key Result Areas: Q We are Leaders o Business partnerships with Westlake Academy Rl Hospitality Finds its Home in Westlake o Citizen engagement and communication BACKGROUND The Westlake Academy /civic campus was completed in December of 2003 which included three buildings totaling 53,000 sq. ft. and one soccer field. One of the three buildings, Pod G, or the gym building, includes the dining hall, two classrooms, the performance hall, locker rooms and a basketball court. Over the past three years, Town staff has received four to five requests per year from a variety of groups to rent the basketball gym, classrooms, the soccer field and /or the performance hall. The Town has made the gym available in the past to a group of Westlake residents who play basketball on Sunday evenings with no rental fees. Due to the increase in use from the Academy sports teams and other school groups along with the lack of staff necessary to be on site, both Town staff and the Board did not believe we should pursue the rental of the civic campus buildings. As we now have new leadership and continue to receive requests for our facility use, Town staff researched other municipalities and schools facility use policies for Board consideration as we continue to evaluate the need and decision to pursue rental of our facilities. FUNDING The rental fees would cover all costs to have town/contract staff present and electrical use for the building. RECOMMENDATION Staff recommends renting out only the performance and dining halls with a limit of Sunday use only due to current Town/Academy use and staffing. ATTACHMENTS: A draft policy for performance and dining hall use will be posted on Friday, September 5, 2008. Westlake Academy /Civic Campus Facility Use Guidelines and Policies Facility Availability 1. The Performance Hall and Cafeteria area of the Westlake Academy /Civic Campus is available for use on Sunday's between the hours of 8:00 a.m. and 8:00 p.m. 2. Availability is determined upon submission of an application and deposit, which may be obtained and remitted to the Town Hall offices at 3 Village Circle, Suite 202, Westlake, TX 76262 Application Process: 1. The application must be filled out at least 14 days prior to the requested reservation date. Application forms are available in the lobby of Town Hall or online at www.westlake - tx.org. 2. No verbal or tentative agreements will be accepted. 3. The applicant must be a resident of the Town of Westlake and is responsible for the adherence to the guidelines and policies of the Town for all individuals during the use of the facility. 4. The Facilities and Recreation Department reserves the right to terminate a reservation during the activity if the conditions so warrant (i.e., severe weather, etc.) Deposit 1. To be assessed according to the request and duration of reservation: a. $500 - one day rental of Cafeteria area b. $1000 - one day rental of Cafeteria and Performance Hall c. $2000 - extended commitment rental for Cafeteria and Performance Hall 2. The deposit is refundable under the following conditions: a. Provided that no damage has occurred to the facility or fixtures (reviewed by the applicant and Town representative at the conclusion of the use period). b. Renter must have followed all facility use guidelines and policies and Town ordinances during the event. 3. The deposit will be returned within 14 days from the rental date and will be mailed to the applicant. Reservation Time 1. Facilities may be reserved for a minimum of two (2) hours and a maximum of six (6) hours. 2. The reservation period will include the time necessary to set up and clean the facility - no additional time will be allocated for these activities. Reservation Requirements, Availability and Limitations 1. Individuals and organizations utilizing the facility are required to follow all applicable Town ordinances, state laws and reservation policies. Failure to comply may result in the denial of future facility access and /or forfeiture of the facility deposit. 2. The Town does not provide eating utensils, tablecloths, office supplies, electronic equipment or any other type of products during the reservation period. The individual or organization reserving the facility must provide these types of items. 3. The room occupancy rate will be posted and explained to the applicant during the rental process. In accordance with fire codes, the occupancy rate may not exceed the maximum allowable number of individuals at any time during the rental period. Facility Access 1. The rental agreement will include provisions for a Town of Westlake representative to be present during the use of the facility. The representative will provide building access and work with the applicant to ensure the facility is secured at the conclusion of the rental. 2. In the event of an unforeseeable emergency, and the representative is detained or not available, the applicant may contact Troy Meyer, Director of Facilities at (817) 829 -6974 to gain access to the building. 3: Please do not attempt to force open the doors or break a window to enter the facilities. Cancellation 1. In order to receive a full refund of all fees and deposits the reservation must be cancelled at least 14 days prior to the reservation date. If after 14 day period, the Department reserves the right to assess an administrative fee to cover staffing costs. 2. No refunds of the rental fees will be given for notices within two (2) days of the reservation date or for a cancellation notice after the rental date. Damages 1. Individuals and organizations reserving the facility are responsible for the costs associated with repairing the building or replacing items that are damaged during the rental period. 2. Failure to remit the required repair/ replacement fees for the damages will result in the loss of future reservation privileges and any deposit. Chaperones 1. The resident who submits the reservation application must remain on premises at all times during the use of the facility. Failure to remain on site may result in the loss of future reservation privileges and the deposit. 2. Reservations for a youth event require a minimum of two (2) adult chaperones for 1 - 30 youth participants. One adult chaperone must be provided for each additional 15 participants. Youths are defined as anyone under 21 years of age. 3. The Town reserves the right to require the presence of a police officer during these types of events. The personnel cost for the off -duty assignment will be the responsibility of the applicant. Cleaning 1. The resident and/or organization is responsible for cleaning the facility at the conclusion of the rental. The reservation must include the necessary time for these activities. 2. The Town representative will provide access to the cleaning supplies and equipment for the resident or organization. ter, 3. All furniture must be returned to the original configuration prior to vacating the premises. 4. All trash must be bagged and removed from the facility - outside trash receptacles (dumpster storage containers) are provided outside the Cafeteria area. 5. A checklist will be provided to the applicant and reviewed with the Town representative to ensure all the necessary tasks have been completed to clean and prepare the facility for further use. Food /Drink 1. Refreshments are allowed in the Cafeteria area of the facility. Food and drink are not allowed in the Performance Hall. 2. Tables will be provided (upon prior request) for those individuals who are hosting a catered event. Decorations 1. Decorations may be used that do not cause damage to the walls, ceilings or any other part of the room, furniture or fixtures and must be removed at the end of the reservation period. 2. Items such as nails, thumbtacks and permanent tape may not be used. 3. Painters masking tape is the only approved method for decorating purposes and must be fully removed from the facility upon completion of the reservation. 4. All lights and facility doors must be secured at the conclusion of the reservation. 5. Plans for special activities including, but not limited to: bounce houses, dunking booths, amplified sound systems, etc. must be reviewed and approved by the Facilities Director prior to their use. Tobacco and Alcohol Use and Pet Policy 1. No smoking, use of tobacco products or alcoholic beverages are allowed on any Town owned property. This includes the Westlake Civic Campus /Westlake Academy facilities. 2. No pets are to be in the facility during the rental period. The only exception would be service animals necessary to assist individuals with a disability. Insurance Requirements 1. Proof of insurance is required for all organized programs of athletic competition, including but not limited to basketball, soccer, softball and little league groups. 2. Insurance is not needed for individuals or groups of residents who use the athletic fields for a one -time -use basis. Liability: The user agrees to hold harmless the Town and its employees /representatives from and against any claims for damages to persons or property arising out of any use of the facility and its premises by the user. Users are responsible for their guests adherence to the policies herein described. PLEASE NOTE: The above information concerns general reservation policies and covers most reservation requirements. For specific concerns or those questions not answered above, it is the responsibility of the applicant to contact the Director of Facilities to ensure compliance with all policies. Town of Westlake Item # 6 — Future Agenda Items 6. FUTURE AGENDA ITEMS: Any Board member may request at a workshop and / or Board meeting, under "Future Agenda Item Requests ", an agenda item for a future Board meeting. The Board member making the request will contact the Town Manager with the requested item and the Town Manager will list it on the agenda. At the meeting, the requesting Board member will explain the item, the need for Board discussion of the item, the item's relationship to the Board's strategic priorities, and the amount of estimated staff time necessary to prepare for Board discussion. If the requesting Board member receives a second, the Town Manager will place the item on the Board agenda calendar allowing for adequate time for staff preparation on the agenda item. - None Town of Westlake Item # 7 — Adjournment Back up material has not been provided for this item. WESTLAKE HISTORICAL PRESERVATION BOARD OVERVIEW SINCE ESTABLISHED ON 2/14/2000 AS OF SEPTEMBER 2008 • Excerpts from Town of Westlake Resolution 00 -02 establishing WHPB: (see full resolution attached) Section 1: the purpose of recording and preserving the rich history of the town; Section 4: to research/compile information to write a book on Westlake history; Section 5: the Board of Aldermen will consider necessary funds and/or other support for the Board, if necessary, at such time the Board makes requests. • Published 6 historical journals, The Pathfinder; and 1 student workbook for WA. • Established an annual Decoration Day celebration each Memorial Day, in 2004. • Established an historical society under the umbrella of WHPB, in 2003. • Established a WHPS Annual Meeting and annual WHPS awards, in 2004: Joyce Gibson Roach Cross Timbers Award Volunteer of the Year Award Citizen of the Heart Award • Co- Chaired 50 -Year Celebration with the Town of Westlake, 2007 • Other events /projects: cemetery clean up; meetings with speakers; receptions. • Solicited sponsorships totaling $61,900, with one to be announced soon. • Many in -kind donations, too numerous to list; value amount unknown. • Established a Westlake History Museum in the Solana Complex, 2007. • Westlake History Book "The Little Town That Could" is at the printers, and we hope to distribute it at our Annual Meeting & Reception on November 13, 2008. This book pertains to Westlake's first fifty years, and will instill pride in our citizens. • Westlake History Book will be on sale for years to come, and these books can be used to give as gifts to distinguished speakers or guests that visit Westlake and Westlake Academy. Prepared by Kelly Bradley, President 2000 -2008 svko4l� �9 '?aoe TOWN OF WESTLAKE, TEXAS BOARD OF ALDERMEN REGULAR MEETING AGENDA September 8, 2008 WESTLAKE TOWN HALL 3 VILLAGE CIRCLE MUNICIPAL COURT ROOM, SUITE 207 7:00 p.m. 1. CALL TO ORDER. 2. CITIZEN PRESENTATIONS: This is an opportunity for citizens to address the Board on any matter whether or not it is posted on the agenda. The Board cannot by law take action nor have any discussion or deliberations on any presentation made to the Board at this time concerning an item not listed on the agenda. The Board will receive the information, ask staff to review the matter, or an item may be noticed on a future agenda for deliberation or action. 3. PRESENTATION OF GOVERNMENT FINANCE OFFICERS ASSOCIATION (GFOA) DISTINGUISHED BUDGET PRESENTATION AWARD TO STAFF. 4. CONSENT AGENDA: All items listed below are considered routine by the Board of Aldermen and will be enacted with one motion. There will be no separate discussion of items unless a Board member or citizen so requests, in which event the item will be removed from the general order of business and considered in its normal sequence. a. Review and approve minutes of the Board of Aldermen regular meeting and workshop and held on August 25, 2008. 5. CONSIDER AN ORDINANCE ADOPTING CERTAIN NATURAL GAS RATES PURSUANT TO THE RATE REVIEW MECHANISM SETTLEMENT BETWEEN ATMOS MID-TEX AND THE ATMOS CITIES STEERING COMMITTEE. Town of Westlake Board of Aldermen Page 2 of 3 Regular Meeting Agenda September 8,2008 6. CONDUCT A PUBLIC HEARING REGARDING THE TOWN OF WESTLAKE PROPOSED FY 08/09 BUDGET FOR THE PERIOD BEGINNING OCTOBER 1, 2008 THROUGH SEPTEMBER 2009. 7. CONSIDER OF A RESOLUTION ADOPTING THE FY 08/09 BUDGET INCLUDING FINAL AMENDMENTS TO THE FY 07/08 BUDGET FOR THE TOWN OF WESTLAKE. 8. FUTURE AGENDA ITEMS: Any Board member may request at a workshop and / or Board meeting, under"Future Agenda Item Requests", an agenda item for a future Board meeting. The Board member making the request will contact the Town Manager with the requested item and the Town Manager will list it on the agenda. At the meeting, the requesting Board member will explain the item, the need for Board discussion of the item, the item's relationship to the Board's strategic priorities, and the amount of estimated staff time necessary to prepare for Board discussion. If the requesting Board member receives a second, the Town Manager will place the item on the Board agenda calendar allowing for adequate time for staff preparation on the agenda item. - None 9. BOARD CALENDAR. - Joint Regional Meeting with Roanoke, Trophy Club, and Northwest ISD o Wednesday, 9/10/08, 6:30 p.m., Roanoke City Hall - Westlake Academy Strategic Planning Retreat o 9/12 &9/13/08, Embassy Suites, Grapevine - Special Board of Aldermen Meeting o 9/15/08, Tentative - Texas Student Housing Authority Meeting o Tuesday, 9/16/08, 5:30 p.m. - TML Region VIII Quarterly Meeting o Thursday, 9/18, 6:30 p.m., Brookside Convention Center,Hurst, TX - Joint Board of Aldermen/Planning&Zoning Commission land use/zoning training o Monday, 9/29/08, 6-8 p.m.,Town Hall offices, Court Room - Arbor Day Celebration o Saturday, 10/11, Glen Wyck Farms park area,Time TBA - Texas Municipal League Annual Conference and Exhibition o 10/28— 10/31/08, San Antonio, Texas - Christmas Tree Lighting o Tuesday, 12/2/08, 6:30 p.m. 10. ADJOURNMENT. ANY ITEM ON THIS POSTED AGENDA COULD BE DISCUSSED IN EXECUTIVE SESSION AS LONG AS IT IS WITHIN ONE OF THE PERMITTED CATEGORIES UNDER SECTIONS 551.071 THROUGH 551.076 AND SECTION 551.087 OF THE TEXAS GOVERNMENT CODE. CERTIFICATION Town of Westlake Board of Aldermen Regular Meeting Agenda September 8,2008 Page 3 of 3 I certify that the above notice was posted at the Town Hall of the Town of Westlake, 3 Village Circle, by Friday, August 20,2008,by 5 p.m.under the Open Meetings Act,Chapter 551 of the Texas Government Code. Kim Sutter,TRMC,Town Secretary If you plan to attend this public meeting and have a disability that requires special needs, please advise the Town Secretary 48 hours in advance at 817-490-5710 and reasonable accommodations will be made to assist you. Town of Westlake Item # 2 — Pledge of Allegiance Texas Pledge: "Honor the Texas flag; I pledge allegiance to thee, Texas, one state under God, one and indivisible. " Little bit of history • In 1933, the legislature passed a law establishing rules for the proper display of the flag and providing for a pledge to the flag: "Honor the Texas Flag of 1836; I pledge allegiance to thee, Texas, one and indivisible." The pledge erroneously referred to the 1836 national flag, known as David G. Burnet's flag, instead of the Lone Star Flag. Senator Searcy Bracewell introduced a bill to correct this error in 1951, but the legislature did not delete the words "of 1836" until 1965." The pledge was again amended by House Bill 1034 during the 80th Legislature with the addition of "one state under God." The revised wording became effective on June 15, 2007. Town of Westlake Memo To: Honorable Mayor and Members of the Board of Aldermen From: Tom Brymer, Town Manager Subject: Regular Meeting of September 8, 2008 Date: September 3, 2008 ITEM Presentation of Government Finance Officers Association's "Distinguished Budget Presentation Award" to staff. VISION POINT AND KEY RESULT AREAS This item supports the following Vision Point and Key Result Areas: Rl We are Leaders o Premier educational facilities and programs o Producing well educated future leaders and thinkers o Business partnerships with Westlake Academy o Environmental stewardship initiatives o High quality services delivery coupled with financial stewardships o Infrastructure maintenance and planning BACKGROUND The Finance Department submitted, for the first time, the FY 2007 -2008 budget document for the Government Finance Officers Association's (GFOA) Distinguished Budget Award. We are pleased to announce the receipt of this award. There is no statistical information regarding the period the award was won, but for FY 2006 -2007, only 111 municipalities in the State of Texas submitted their budget document for this prestigious award. It is the highest form of recognition in governmental budgeting and represents a significant achievement. Program participants benefit from access to a wealth of technical material specifically designed to help them comply with program requirements. They also profit from having their budget document confidentially reviewed by experienced budget professionals. This recognition can be viewed as a positive factor by credit rating agencies and by others interested in the professionalism of a government's finance function. Top - quality budget documents are essential if citizens and others with an interest in a government's finances are to be informed participants in the budget process. Better budget documents contribute to better decision making and enhanced accountability. The award represents a significant achievement by the Town. It reflects the commitment of the governing body, and staff to meeting the highest principles of governmental budgeting. In order to receive the budget award, the entity had to satisfy nationally recognized guidelines for effective budget presentation. These guidelines are designed to assess how well an entity's budget serves as: • a policy document • a financial plan • an operations guide • a communications device Budget documents must be rated "proficient" in all four categories to receive this award. The award is valid for one year. To continue participation in the program, it will be necessary to submit subsequent year's annual budget documents to GFOA. FUNDING N/A RECONMENDATION N/A TOWN OF WESTLAKE, TEXAS MINUTES OF THE TOWN OF WESTLAKE, TEXAS BOARD OF ALDERMEN WORKSHOP August 25, 2008 PRESENT: Mayor Laura Wheat and Aldermen Tim Britian, Carol Langdon, and Rebecca Rollins. ABSENT: Aldermen Larry Corson and Don Redding. STAFF PRESENT: Town Manager Thomas Brymer, Town Attorney Matthew Boyle, Town Secretary Kim Sutter, Public Works Superintendent Jarrod Greenwood, Facilities and Recreation Director Troy Meyer, Court Administrator Amanda DeGan, DPS Director Don Wilson, Planning and Development Director Eddie Edwards, and Assistant to the Town Manager Ginger Awtry. 1. CALL TO ORDER. Mayor Wheat called the workshop to order at 4:17 p.m. 2. PRESENTATION AND DISCUSSION OF PROPOSED BUDGET FOR FISCAL YEAR OCTOBER 1, 2008, THROUGH SEPTEMBER 30, 2009. Town Manager Brymer addressed the Board regarding the item, and reviewed the fiscal year 2007 -2008 milestones, the means to achieve the strategic priorities, General, Utility, and Visitor Association Funds projected revenues and expenditures, the Property Tax Reduction, 4B Economic Development, and the Debt Service, Cemetery, Internal Services, and the Arts and Sciences Center Funds for FY 2008 -2009. Additionally, Mr. Brymer reviewed the staffing costs, proposed service level adjustments (including the addition of 2.5 employees), and sales tax history since FY 2004. Mr. Brymer added that the major increase in projected expenditures is related to capital project expenditures (namely the Arts & Sciences Center building). Mr. Brymer reminded the Board that the proposed budget contemplates a utility rate increase as presented to the Board in July 2008. Town of Westlake Board of Aldermen Workshop Minutes August 25, 2008 Page 2 of 3 Mayor Wheat advised that the she did not feel the Board raised any objections to the utility rate increase; however, the rate increase should be communicated to the community prior to implementation. Town Manager Brymer advised the Board that the Public Arts Society of Westlake has submitted a $60,000 funding request for the Board's consideration. Mr. Kai Fisher, General Manager for the Marriott Solana, addressed the Board regarding the Marriott Solana's $383,940 funding request. Town Manager Brymer advised that the proposed budget contemplates funding $150,000 of the Marriott's request. Additionally, Mr. Brymer stated that, if the Board chooses to fund the proposal, he would recommend a contract to identify measures of success of the program. Town Manager Brymer reviewed the funded capital improvement projects totaling $4.7 million, and unfunded capital improvements projects totaling $30 million. During the budget presentation and discussion by the Board, Alderwoman Langdon expressed an interest in negotiating for other services with the City of Keller such as library and aquatic center access. The Board expressed an interest in touring the Keller police services facility. Town Manager Brymer reviewed the five -year projection assumptions and the financial forecast with the Board. Mayor Wheat suggested staff review the request of the Public Art Society in the context of the budget and schedule for discussion at the September 8, 2008, workshop. Town Manager Brymer advised the Board that a public hearing will be conducted at the September 8, 2008, regular meeting to receive input on the FY 2008 -2009 proposed budget. Additionally, the Board will also consider adoption of the budget at the September 8, 2008, regular meeting. 3. PRESENTATION AND DISCUSSION OF A STATUS REPORT ON CONSTRUCTION OF THE ARTS AND SCIENCES CENTER. Facilities and Recreation Director Meyer addressed the Board regarding the item. Mr. Meyer advised that bids were received on August 21, 2008, and will be presented to the Board at the September 8, 2008, workshop meeting. 4. FUTURE AGENDA ITEMS No items were submitted for consideration. Town of Westlake Board of Aldermen Workshop Minutes August 25, 2008 1 e JI\lU__ M Page 3 of 3 There being no further business to come before the Board, Mayor Wheat adjourned the workshop at 7:20 p.m. APPROVED BY THE BOARD OF ALDERMEN ON SEPTEMBER 8, 2008. Laura Wheat, Mayor ATTEST: Kim Sutter, TRMC, Town Secretary MINUTES OF THE TOWN OF WESTLAKE, TEXAS BOARD OF ALDERMEN REGULAR MEETING August 25, 2008 PRESENT: Mayor Laura Wheat and Aldermen Tim Brittan, Carol Langdon, and Rebecca Rollins. ABSENT: Aldermen Larry Corson and Don Redding. OTHERS PRESENT: Town Manager Thomas Brymer, Town Attorney Matthew Boyle, Town Secretary Kim Sutter, Facilities and Recreation Director Troy Meyer, DPS Director Don Wilson, Finance Director Debbie Piper, Assistant to the Town Manager Ginger Awtry, Director of Planning and Development Eddie Edwards, and Court Administrator Amanda DeGan. 1. CALL TO ORDER. Mayor Wheat called the meeting to order at 7:32 p.m. 2. PLEDGE OF ALLEGIANCE. Mayor Wheat led the pledge of allegiance to the United States and Texas flags. 3. CITIZENS' PRESENTATIONS. There was no one present wishing to address the Board. 4. CONSENT AGENDA. Mayor Wheat introduced the consent agenda and requested a motion. a. Review and approve minutes of the Board of Aldermen workshop held on July 28, 2008. Town of Westlake Board of Aldermen Regular Meeting Minutes August 25, 2008 Page 2 of 3 b. Review and approve minutes of the Board of Aldermen regular meeting held on August 11, 2008 c. Resolution No. 08 -50 - Consider approval of a resolution supporting locally enforced motor vehicle idling limitations for the North Central Texas region and enter into a Memorandum of Agreement (MOA) with the Texas Environmental Quality Commission. MOTION: Alderwoman Langdon made a motion to approve the consent agenda as presented. Alderwoman Rollins seconded the motion. The motion carried by a vote of 4 -0. 5. CONSIDER AN ORDINANCE AMENDING SECTION 18 -2 OF THE TOWN OF WESTLAKE CODE OF ORDINANCES WHICH REGULATES ON -SITE SEWAGE FACILITIES (SEPTIC SYSTEMS). Planning and Development Director Edwards explained that the Town has contracted with the Tarrant County Health Department to provide plan review and inspection services for on -site sewage facilities since 1997, and the requirements of the Town's ordinance, adopted prior to contracting for services, is no longer needed. MOTION: Alderman Brittan made a motion to adopt Ordinance No. 598, amending section 18 -2 from the Code of Ordinances which regulates on -site sewage facilities. Alderwoman Langdon seconded the motion. The motion carried by a vote of 4 -0. 6. FUTURE AGENDA ITEMS. No items were submitted for consideration. 7. BOARD CALENDAR. Mayor Wheat reviewed the Board calendar. - Joint Regional Meeting with Roanoke, Trophy Club and Northwest ISD o 9/10/08, 6:30 p.m., Roanoke City Hall Westlake Academy Strategic Planning Retreat o 9/12/08 — 9/13/08 - Corporate Neighbors Reception o 9/18/08, 5:30— 7:30 p.m. @ the home of Doug and Laura Wheat - Joint Board of Aldermen/Planning & Zoning Commission land use /zoning training o 9/29/08, 6 -8 p.m., Town Hall offices, Municipal Court Room - Arbor Day Celebration o 10/11/08, Glen Wyck Farms park area, Time TBA - Texas Municipal League Annual Conference and Exhibition Town of Westlake Board of Aldermen Page 3 of 3 Regular Meeting Minutes August 25, 2008 o 10/28 — 10/31/08, San Antonio, Texas 8. ADJOURNMENT. There being no further business, Mayor Wheat asked for a motion to adjourn the meeting. MOTION: Alderwoman Langdon made a motion to adjourn the meeting. Alderman Brittan seconded the motion. The motion carried by a vote of 4 -0. Mayor Wheat adjourned the meeting at 7:39 p.m. APPROVED BY THE BOARD OF ALDERMEN ON SEPTEMBER 8, 2008. Laura Wheat, Mayor ATTEST: Kim Sutter, TRMC, Town Secretary Town of Westlake Memo To: Honorable Mayor and Members of the Board of Aldermen From: Tom Brymer, Town Manager Subject: Regular Meeting of September 8, 2008 Date: September 2, 2008 ITEM Consider an Ordinance Adopting Certain Natural Gas Rates Pursuant to the Rate Review Mechanism Settlement between Atmos Mid -Tex and the Atmos Cities Steering Committee. VISION POINT AND KEY RESULT AREAS This item supports the following Vision Point and Key Result Areas: 10 We are Leaders o High quality services delivery coupled with financial stewardship BACKGROUND Recently the Atmos Cities Steering Committee (ACSC) and Atmos Mid -Tex reached a negotiated resolution addressing Atmos first filing pursuant to the Rate Review Mechanism (RRM) tariff. The RRM process is a three year experiment created by ACSC and Atmos Mid -Tex in 2007 to replace the controversial GRIP surcharge system. Atmos agreed to use this process, and not to file GRIP (Gas Reliability Infrastructure Program) requests. The GRIP requests were automatically approved at the State level. Also, by using this process, there are certain costs that Atmos has agreed not to try to pass through to the rates, which is why the difference between what Atmos asked for and what the ACSC agreed to is not as dramatic as the last rate case. The RRM allowed the cities to conduct a more comprehensive review of all of the information regarding changes to Atmos' revenues and expenses as well as its invested capital. Experts working on behalf of ACSC reviewed the Company's RRM filing, analyzed supporting information, and conducted discovery. Based upon their review, ACSC experts determined that the evidence supported a base rate increase of $19.8 million, and not the $33.5 million proposed by Atmos. After settlement talks between Atmos and the ACSC negotiation team, the Company agreed to a $20 million increase. Attached is a RRM package (ordinance, model staff report, RRM fact sheet, new tariffs, and proof of revenues) to implement new rates that reflect the negotiated resolution. In order to be a part of this negotiated rate settlement, final Board action regarding this ordinance must take place by October l5t FUNDING: N/A RECOMMENDATION: Town staff concurs with the ACSC team's assessment that the negotiated settlement is consistent with or better than a litigated outcome. If approved by the Board, these rates would be effective on Atmos bills delivered on or after October 1, 2008. ATTACHMENTS: 1. Rate Review Mechanism Fact Sheet 2. Model Staff Report 3. Memo Dated 8 -13 -08 from Lloyd Gosselink, Attorneys at Law Re: This Rate Case 4. Ordinance No. 599 Implementing Recommended Rate Settlement 5. Attachment A to Ordinance Implementing Recommended Rate Settlement 6. Attachment B to Ordinance Implementing Recommended Rate Settlement 4 Rate Review Mechanism Fact Sheet *The Rate Review Mechanism (RRM) was created as part of a collaborative agreement between ACSC and Atmos. It replaces the unworkable and contentious Gas Reliability Infrastructure Program (GRIP) surcharge process. *The RRM authorizes cities to meaningfully review and dispute the company's annual rate flings in an expedited rate proceeding at the city level. This authority was lacking under the GRIP process. *The RRM will function as a substitute for future GRIP filings during the three -year trial period. *The RRM permits the Company to seek an annual review of its revenues, estimated cost of operations, and capital investments. In most cases, the company cannot seek rate adjustments greater than 5 percent. The Company must provide evidence as part of the annual review process that Cities can assess and, if necessary, challenge. *The RRM process allows Atmos to seek a surcharge from ratepayers if its anticipated expenses exceed its anticipated revenues for a 12 month period. However, if the Company's revenues exceed its authorized rate of return, it must issue refunds. Costs Expressly Prohibited from Recovery Under the RRM: First class air -fare, travel, meals or entertainment for employee's spouse, alcohol, sports events, entertainment, arts and cultural events, sponsorship of sports, arts or cultural events, and social club membership dues. The RRM is applicable only to the Company's base rates - the cost of delivering natural gas to customers. The commodity price of natural gas is a pass- through cost to customers that can change monthly based upon the price of natural gas. Process for RRM Filing: Cities have 90 days to review the Company's RRM fling. After the 90 -day "Review Period," the 30 -day "Response Period" allows Cities to work with the Company regarding issues identified by the city during the Review Period. Atmos Mid -Tex' first RRM was made April 14, 2008. In subsequent years, Atmos will make its RRM filing with Cities on or after April 1" of each year. (The filing date is referred to as the "Annual Evaluation Date" in the tariff.) The City and the Company commit to act collaboratively during this process. However, if Cities and the Company cannot come to agreement at the end of the Response Period, the Company may appeal a city's action or inaction on the RRM to the Railroad Commission. MODEL STAFF REPORT The City, along with 150 other cities served by Atmos Energy Mid -Tex Division ( "Atmos" or "Company "), is a member of the Atmos Cities Steering Committee ( "ACSC "). On April 14, 2008, Atmos filed with the City an application to increase natural gas rates pursuant to the Rate Review Mechanism ( "RRM ") tariff approved by the City earlier this year. The Company's April RRM filing seeks a $33.5 million rate increase. The City worked with ACSC to analyze the schedules and evidence offered by Atmos to support its request to increase rates. The Ordinance and attached tariff approving rates that will increase the Company's revenues by $20 million effective October 1, 2008, are the result of negotiation between ACSC and the Company to resolve issues raised by ACSC during the review and evaluation of ACSC's RRM filing. The monthly bill impact for the average residential customer is $0.81. The ACSC Executive Committee recommends that all ACSC cities adopt the ordinance implementing the rate change. RRM Background: The RRM tariff was approved by cities as part of the settlement agreement to resolve Atmos' 2007 rate increase case. Atmos' rate request represents the first filing pursuant to the three -year trial project known as the RRM process. The RRM process was created collaboratively by the Steering Committee and Atmos as an alternative to the GRIP surcharge process. The RRM process allows for a more comprehensive rate review and annual adjustment that will function as a substitute for future GRIP filings during the three -year trial period specified by the tariff. There are two components to the RRM adjustment. The prospective component adjusts rates for known and measurable changes in O &M and net plant investment. Atmos and ACSC agreed to cap changes to expenses and invested capital at no more than five percent. The true up component evaluates whether the Company has over or underrecovered its earnings for the previous year. For purposes of the RRM true up component, Atmos' rate of return on equity and its capital structure are frozen to avoid the parent company from manipulating the overall rate of return. Costs expressly prohibited from recovery through the RRM include first class air -fare, travel, meals or entertainment for employee's spouse, alcohol, sports events, entertainment, arts and cultural events, sponsorship of sports, arts or cultural events, and social club membership dues. Purpose of the Ordinance: The purpose of the Ordinance is to approve rate tariffs (Attachment A) that reflect the negotiated rate change pursuant to the RRM process. The Ordinance also approves the Company's proof of revenues (Attachment B), a required part of the RRM filing. As a result of the negotiations, ACSC was able to reduce the Company's requested $33.5 million RRM increase by more than 35 percent. Approval of the Ordinance will result in rates that implement a $20 million increase in Atmos' revenues effective October 1, 2008. Atmos RRM Ordinance Staff Report Reasons JustifvinLy Annroval of the Negotiated Resolution: During the time that the City has retained original jurisdiction in this case, consultants working on behalf of ACSC cities have investigated the support for the Company's requested rate increase. While the evidence does not support the $33.5 million increase requested by the Company, ACSC consultants agree that the Company can justify an increase in revenues of at least $19.8 million. A contested case proceeding before the RRC on the Company's current application will take several months and cost ratepayers millions of dollars in rate case expenses and would not likely produce a request more favorable than that to be produced by the settlement. The ACSC Executive Committee recommends that ACSC members take action to approve the ordinance authorizing new rate tariffs. Explanation of "Be It Ordained" Paragraphs: 1. This paragraph approves all findings in the ordinance. 2. This section adopts the attached tariffs (Attachment A) and Company's proof of revenues (Attachment B) in all respects and finds the rates set pursuant to the attached tariffs to be just, reasonable and in the public interest. Note that only new tariffs or existing tariffs that are being revised are attached to the Ordinance. Existing tariffs that are not being changed in any way are not attached to the Ordinance. 3. This section repeals any resolution or ordinance that is inconsistent with this Ordinance. 4. This section finds that the meeting was conducted in compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. 5. This section is a savings clause, which provides that if any section(s) is later found to be unconstitutional or invalid, that finding shall not affect, impair or invalidate the remaining provisions of this Ordinance. This section further directs that the remaining provisions of the Ordinance are to be interpreted as if the offending section or clause never existed. 6. This section is a "Most Favored Nations" clause, which protects the City by mandating that if a Final Order or subsequent agreement approved in any proceeding addressing the issues raised in Atmos' RRM filing results in rates or terms that would be more beneficial to the ACSC Cities than the terms of this tariff, the City may, at its option, implement such more favorable rates or terms. The exercise of this right is contingent upon the City agreeing to adopt the terms of the Final Order or subsequent agreement in toto. 7. This section provides for an effective date upon passage. 8. This paragraph directs that a copy of the signed resolution be sent to a representative of the Company and legal counsel for ACSC. Atmos RRM Ordinance Staff Report 2 Lloyq 816 Congress Avenue, Suite 1900 Austin, Texas 78701 Gosseiir& Telephone: (12) 322-5800 02 Facsimile: (512) 472 -0532 www.Iglawfirm.com Ms. Doyle's Direct Line: (512) 322 -5820 Email: kdoyle @lglawfam.com MEMORANDUM TO: Atmos City Steering Committee (ACSC) Members FROM: Geoffrey Gay Kristen Doyle DATE: August 13, 2008 RE: FINAL ACTION BY OCTOBER 1sT — Atmos RRM Settlement The ACSC Settlement Committee (Jay Doegey — Arlington, Danny Reed— Fort Worth, Mark Israelson — Plano, Don Wilson — Eastland, Cathy Cunningham — various ACSC cities, Phil Boyd — Lewisville, Rodney Adams — Irving), with the advice and input of ACSC consultants and lawyers, has worked to resolve the Company's pending $33.5 million Rate Review Mechanism ( "RRM ") rate increase request without the necessity of a protracted and costly contested case proceeding. The attached tariff that reflects rates that will increase Atmos' revenues by $20 million. The negotiated result represents a 35 percent reduction in Atmos' requested rate increase. The monthly bill impact for an average residential customers is $0.81. The RRM process was created by Atmos and ACSC to eliminate the piecemeal ratemaking GRIP process in favor of an expedited rate review controlled by cities The Company's filing is the first filing pursuant to the agreed RRM process. The ACSC Executive Committee recommends approval of the negotiated resolution because it represents an outcome that is equal to or better than the outcome expected from a lengthy contested case proceeding, and maintains cities' role as a regulator of natural gas rates. Please schedule consideration of the ordinance for your next available council meeting. Final council action to approve the ordinance must take place by October 1St. To assist you, several documents are attached: An ordinance setting new rates. The approved Ordinance should include the attached Tariff ( "Attachment A" to the Ordinance) and Proof of Revenues ( "Attachment B") A model staff report An explanation of key provisions of the RRM tariff and filing Please contact Kristen (512/322 -5820, kdoyle @lglawfirm.com) immediately if your city is unable to meet the October Vt deadline for final action. Once final action has been taken by your city, please forward a copy of the ordinance to Atmos Mid -Tex and to our paralegal, Gary Stiffler (fax number: 512/472 -0532, gttiffler@lglawfirm.com). • a TOWN OF WESTLAKE ORDINANCE NO. 599 AN ORDINANCE OF THE BOARD OF ALDERMEN OF THE TOWN OF WESTLAKE, TEXAS, ( "TOWN ") APPROVING A NEGOTIATED RESOLUTION BETWEEN THE ATMOS CITIES STEERING COMMITTEE AND ATMOS ENERGY CORP., MID-TEX DIVISION ( "ATMOS MID -TEX" OR "THE COMPANY ") REGARDING THE COMPANY'S RATE REVIEW MECHANISM FILING IN ALL CITIES EXERCISING ORIGINAL JURISDICTION; DECLARING EXISTING RATES TO BE UNREASONABLE; ADOPTING TARIFFS THAT REFLECT RATE ADJUSTMENTS CONSISTENT WITH THE NEGOTIATED SETTLEMENT AND FINDING THE RATES TO BE SET BY THE ATTACHED TARIFFS TO BE JUST AND REASONABLE; APPROVING ATMOS' PROOF OF REVENUES; ADOPTING A SAVINGS CLAUSE; DETERMINING THAT THIS ORDINANCE WAS PASSED IN ACCORDANCE WITH THE REQUIREMENTS OF THE TEXAS OPEN MEETINGS ACT; DECLARING AN EFFECTIVE DATE; AND REQUIRING DELIVERY OF THIS ORDINANCE TO THE COMPANY AND LEGAL COUNSEL. WHEREAS, the Town of Westlake, Texas ( "Town ") is a gas utility customer of Atmos Energy Corp., Mid -Tex Division ( "Atmos Mid -Tex" or "the Company "), and a regulatory authority with an interest in the rates and charges of Atmos Mid -Tex; and WHEREAS, the Town is a member of the Atmos Cities Steering Committee ( "ACSC "), a coalition of more than 150 similarly situated cities served by Atmos Mid -Tex that have joined together to facilitate the review and response to natural gas issues affecting rates charged in the Atmos Mid -Tex service area (such participating cities are referred to herein as "ACSC Cities "); and WHEREAS, Atmos and ACSC Cities have been in continuing disagreement, dispute, and litigation over the implementation of GRIP surcharges pursuant to SECTION 104.301 of the Texas Utilities Code; and WHEREAS, as part of the negotiations to resolve Atmos' 2007 rate case, ACSC Cities and the Company worked collaboratively to develop the Rate Review Mechanism ( "RRM ") tariff that allows for an expedited rate review process controlled by Cities as a substitute to the current GRIP process instituted by the Legislature; and WHEREAS, the Town took action earlier this year to approve a Settlement Agreement with Atmos Mid -Tex resolving the Company's 2007 rate case and authorizing the RRM Tariff; and WHEREAS, on or about April 14, 2008, Atmos Mid -Tex filed with the Town its first application pursuant to the RRM tariff to increase natural gas rates by approximately $33.5 million, such increase to be effective in every municipality that has adopted the RRM tariff within its Mid -Tex Division; and Atmos RRM Ordinance WHEREAS, ACSC Cities coordinated its review of Atmos' RRM filing and designated a Negotiation Committee made up of ACSC representatives and assisted by ACSC attorneys and consultants to resolve issues identified by ACSC in the Company's RRM filing; and WHEREAS, the Company has filed evidence that existing rates are unreasonable and should be changed; and WHEREAS, independent analysis by ACSC's rate expert concluded that Atmos is able to justify a rate increase of $19.8 million; and WHEREAS, the ACSC Executive Committee, as well as ACSC lawyers and consultants, recommends ACSC members approve the attached rate tariffs ( "Attachment All to this Ordinance) that will increase the Company's revenue requirement by $20 million; and WHEREAS, the attached tariffs implementing new rates and Atmos' Proof of Revenues ( "Attachment B" to this Ordinance) are consistent with the negotiated resolution reached by ACSC Cities (including but not limited to a reduction of the residential customer monthly charge to $7.00 per month) and are just, reasonable, and in the public interest; and WHEREAS, it is the intention of the parties that ACSC Cities receive the benefit of any Settlement Agreement that Atmos enters into with other entities arising out of its RRM or any associated appeals of a decision entered by the Railroad Commission regarding the Company's request to increase rates. The ACSC Cities' acknowledge that the exercise of this right is conditioned upon the ACSC Cities' acceptance of all rates, revenues, terms and conditions of any other Settlement Agreement or associated appeals arising out of the Company's RRM filing in toto; and WHEREAS, the negotiated resolution of the Company's RRM filing and the resulting rates are, as a whole, is in the public interest. NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF ALDERMEN OF THE TOWN OF WESTLAKE, TEXAS; SECTION 1. That the findings set forth in this Ordinance are hereby in all things approved. SECTION 2. That the Board of Aldermen finds that the existing rates for natural gas service provided by Atmos Mid -Tex are unreasonable and new tariffs and Atmos' proof of revenues, which are attached hereto and incorporated herein as Attachments A and B, are just and reasonable and are hereby adopted. SECTION 3. That to the extent any resolution or ordinance previously adopted by the Board is inconsistent with this Ordinance, it is hereby repealed. SECTION 4. That the meeting at which this Ordinance was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. Atmos RRM Ordinance 2 SECTION 5. That if any one or more sections or clauses of this Ordinance is adjudged to be unconstitutional or invalid, such judgment shall not affect, impair or invalidate the remaining provisions of this Ordinance and the remaining provisions of the Ordinance shall be interpreted as if the offending SECTION or clause never existed. SECTION 6. That if ACSC Cities determine any rates, revenues, terms and conditions, or benefits resulting from a Final Order or subsequent negotiated settlement approved in any proceeding addressing the issues raised in Atmos' RRM filing would be more beneficial to the ACSC Cities than the terms of the attached tariff, then the more favorable rates, revenues, terms and conditions, or benefits shall additionally accrue to the ACSC Cities. Exercise of this right is conditioned upon ACSC Cities' acceptance of all rates, revenues, terms and conditions of any other Settlement Agreement or associated appeals arising out of the Company's RRM filing in toto. SECTION 7. That this Ordinance shall become effective from and after its passage with rates authorized by attached Tariffs to be effective for customer bills delivered on or after October 1, 2008. SECTION 8. That a copy of this Ordinance shall be sent to Atmos Mid -Tex, care of David Park, Vice President Rates and Regulatory Affairs, at Atmos Energy Corporation, 5420 LBJ Freeway, Suite 1800, 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. PASSED AND APPROVED this 8 day of September 2008. ATTEST: Laura Wheat, Mayor Kim Sutter, TRMC, Town Secretary Thomas E. Brymer, Town Manager APPROVED AS TO FORM: L. Stanton Lowry, Town Attorney Atmos RRM Ordinance ATTACHMENT A ATMOS ENERGY C ORPORA"HON JVlID-'TEX DIVISION RRG TARIFF 1\10- 19343 REVISION NCY: 0 . .w .. . .. . .................... ................ . ................................................................. . . . ................. . ...... . ........ .............. ........ . . .... RATE SCHEDULE: R - RESWEN FIAA SALES APPLICABI-F Entire Division (except Environs areas and the City of Dallas) ErrECTIVE DATE: 10101120:08 PAGE: 23 . . .. . .............. . ....... ...................................................... ........... ............ I ........................... Application Appli cable W Residential 1--o't-c-'rilers for all na turiA ga- s ponce roVided at o Point (if DcAivery and measured through one meter. Typo of Service 'Whe,re service of the type desinp.W by Customer is not already available at the Point of Delivery, additional charges and special contract arrangement's between Company and Qjstor.npr may be required Prior to servics [-;Ang furnished, Monthly Rate Customer's 111011tifly bill will be Calculated by adding the following CuMornef and Wf ell roles to. fl-le amounte, duo under the ridlers listed below� . ...... . ..... . ... . .. . . ............... . .................... . .......... . . ... . ............. . ..................................... ........ . ...... . ............. .......... . ...... Charge Arnount . . . .... . ...... ........ . . .. . ...... . ............... . ........ ........... . . . ...... . .... . . .............. . . ...................................... . ... . .. . ............... . ...... (�uston'ier Charge face Bill $ -1-00'permcnih Corninodity Criarge All lief $2,2410 per Wf Gas Cost Recovery. Plus an arnourit For gas costs and Upulrearn transportation costs Calculated in aof.-ordancewith Paft(a) and Part (b), respectively, ol; Rld, rGCR. leather Normalization Adjustment: Plus or Minus arr amount for weather nornialization CalCUlated In accordance with Rider WNA, R�'ite Review Mechanism: Corn-im-dity Charge includes an arnount calculated in accordance =with Rider R RM Fraichise Fee Adjustfllant-- Plus ,an arlIOUnt for fraric hise. fees calculated in roc ore- with Rider FF. Franchise Fees are., to be -assessed solely to customers within municipal linlits. This does [lot apply to Envilons Custunic-1s, Tare Adj-ustinurit: Plus an amount for tax calculated in accordance with Rider TAX. Sur-harges: Phis ar amount for surchar< -jes calculated in accordance Wth the applicable r-der(s Agreement An Agreement for Gas Service, ma-y be: requi—ed, NOtiGO Service hc�reunder ar-,O' tl e rat-,,, 5 for services j)rovzdpd are sub'Pot to the orders of requilatory bodies having 'wisdiction and Lo the Compawy I s Tariff for Gas Servic*, Issued 13;y; David J. Park Vice. President, Rates and Regulatc ry Affairs pia to Issued: OB11 30008 ATTACHMENT A ATt�AOS ENERGY CORPORATION R TARIFF NO- 191344 NITID-TEX DIVISION RI.,,-.VISION NO: 0 ................ ...................... .... . ............ I . . ........ I ....... .. .. I .......... RATE SCHEDULE: C - COMMERCIAL SALES APPI 1(,,A BI-F- TO: Eutire Division (except Environs are -a�-- and the City of Dallas) — 1 1. 11 � � --- .............................................. I., .... . . . ............... - ............................................................................... ........... . . . ................ - EFFECTIVE DATE: 1 010 1!2008 PAGE: 24 Application Applicabb to Commercial Cult--,)nners for all natural as pr,,,)%,,ided at one Poinf,,)!, Deciveiy ond measured thl-GLI,jh one teeter and to lndustri fl Cus;tornprs with an -average annual Usage ofless than 3,000 Mcf. Type of Service Where service of the type desir d Iry Customer is of already available at Che Point cf Delivery, additional charges and special :ontio-,-t arrangements beNvopn Compariy and Custc,'m er ma- y be, required, prior to bciri� flimished. Monthly Rate Customer's monthly bill will b-- calcUllated by ;adding th(a following Customer arid Mcf lk.) 11-e amounts due under the r1ders listed below" ....... . ... . ..................... ......................... Charge Amount . . . .......... Custmne r Charge per Bill 13.50 pot snonth ....... ..... . . Commodity Charge - All M(J $ 0.9809 per Mcf Gag Cost Recoverj: Plus an amoint 'cli-gas costs and upstream tray sporLation costs calculatcd ecti ely� f- Rid D accordance with Part (a) and Part (b), r sp - v, ., ol . er GGP,,, klorrnzili7atbn AdjLi9tM011t: PIUS Of MinUs an amount fkx weather normalization calculated in accordance with Rider WNA. Rare Review elchartisml- Com eiiodit� Chn rfjp inclimps an a mount ca lculpted in acco, do, nce with Rid,ar RR.M. FrA n chise Fee Ad;u�tm�nt: Plus cin amount <ior fpanc.1 i, Me Too," ealct i fatr d =n accorda, tic c,-.. with Ride FF, Franchise Fees to be assessed solely to custo-rrors within muni�# o.. pal dinits- This d8 � no t ,)p,,,,Iy to Environs Customers. Tax Ad"ustrnen'.. PILIS an as iount for tax calculatod in accordon(„(- w 4 k1i'derTAX. Sl.jmharges: Plus on amount for surcharges calculated in accordance, with the applicable rider(s) Agreement An Ag4roefnent. for Gas cway he required. Notice Service heceunder and the rates for services provided are �,ubject to thp oral m of rpgulatory bodies having jurisdiction, and to the Cu =r 1pany',,a 1 ariff for (-'.as issued By: David J. Par< Vi .e 1-irasident, Ratles and Re julatf_-Iry Affairs Date Issued- 08/1312-003 ATTACHMENT A fffMOS E ERGY CORPORATION ION MID4EX DIVISION RAT 2-- SCH EDU ILE I - ,.- INDU STR IAL SAL ES 3"i.RO 3 f�� €`¢.92"3 NO' 19842 REVISION No. fj f'F [ IC E `C" O: Entire Divifiloir (m*p`€ Environs areas; .Inca ti.lin City of Dallas) EFFEGTIVE DATE: .�pplic;`io:r Applie hle to Industrial Custorners with a rnaximurn daily usage (Mill) of Ic , thi rn 3,500 Mfl IALI per Jay `01_ Gall 11r14<ral gas provided 2t one Point of Delivery ar d measured through une rneter, S <rvit' for 41dusiri,al €;:,into aiers with ail i0DU aqua: to or greater than '0U00 �,1 MBtu per day ,:iil be Pre��Fici�ri at Company's sole option and will require special contract arrangements between Company and Customer. Type of Service Whe- e se vice of the typo desirecl by Customer is not already availa4 re :at h-e Point of Delivery, al it €onal Charges and sfec fl € oritr4 act arrangements between Compar y Puidi Cx- Moriae may he require d prior to service being fLirriishe , Monthly gate Customer's mo iffil t hill will be calculaa,ed by adding the fta to r a3igi a t.sr iei ,fiJ WnM. ii,i changes to the sass'tourts 91ue ijndc r the riders listed below: Charge , triourit Cristurllef Chame per Meter $ 425.00 a9 =r month First 0 I0Iv413tu to 1,500 M1013tu �:,.. ,...� Ci 2733 per iwtMIBtu N 4t 3,a'i001%gtlir713tu $ 0, t 93 pr„:r NINIBto All tv1MBti. over 6,000 P,trlu`lBW $ 0.042e"' lair rY1MBtu Gas C:a:st Recovery' ery' PIra,a all a`�l€ unt for gas cast; arari r_ p,- .Areai�i transport do xist�s calculated in accordar°ce� vviti Pal (a) and Pad (b) rospectivel °y, of Ride GCR. Ra_e F�evio_y Nlechari` m: Goinr7aodfly f.hm'gi inclr_rci :w, an amount calculated rr Sicco canc:.e with Rider RRI I. Franchise I ee Adlrrsti'vient. Plus ark amount for ° €ar chise. fz:e.3 cal culated to accordance with hider FF. rranchis e Fees are to be assessed solely to custorn rs wtt`lin ra unj ip,< fl liints. 1 his d es riot apply to Envirf.= Ct.isttira or i.. '1 ax Adjusts €ient" Plus. sn arrtount for tax calculatod iii a uc! rd' ..mcv gait 1 stircharrges. Plus an o " il_ sit fir surcharges, Ciil 131 iTt f.l in accord =p with the appll r'3ble rld rf sly Curtailment Overpull Fee Upon ratification iay Compaiay of an event of cui'Lu" ilr emL or inter Uption of Guslorne ' deliveri(18, Custom r will. for each PAMBtu deliveted in <:;xcoss of the st:a[Rd h=ovel o f, of inic,rruption, pay Company 200% of the midpoint priCe foi the Katy point listed in Pragas Gas DaWy published for the appl €cable Gas Cray ir, th trll:,le. ertitled `Di wily Price pia€ jey,,. Is%ue d icy: David J. Park Vice President, Rates and R ulotury Affinirs Dattu Issued: 08,r13,1200 ATTACHMENT A Replacement Index the event the `rnidpoinf or 'cornmon" price for the Katy point listed in Piatts Gas Daily in the sable, entitled 'Daily Price- purvey' is no lorigur published, Company will alculato the applicable-, in,balance. fee: utilizing a daily price in(h-5x. recognizc.-d Os authonlativo by tile natural gas :ndlustrj and most closcl�r a.ppr(,�xi[)jjjtinq tjre appli al)f(-a index. Agreement An Agreement for G. as Service may be required. Notice Somcce hereunder and the rates for server es provided are subject to the orders of requiatory bodies havinq jU riFX _F� ­ n and to1h Coany's I arif f, - )f: Sprvice, Spocial Conditions In prider ekQ recc,"PVC S't . NVIce Under Fiat 1, Oust(:3mer must have the type of meter fequired by C,.:)rOpany. Customer must pay Company aft costs associated with J acqjisition and msWlatkm of he ryieter, [Bulled By: David .1. Rark Vice President. Rates and Regulator� Affairs Daie issuod: 08 113 Q 0 0 8 sYlilA AJOIEP16, .1 PUR S,' R't] 'lu:aialsaa L al/'ti ai= .i, iljAeCj :As Dora -.] waq cj ms jr s asodi�1r1 c)L, JQ.j SjU@1ua-,)Jlj % €I Ijr j €ads 3sJ , ai.iljjr to t.jl n a GLI y,..: „ue .JC,j pajohMe nq j i Win sal1;?L'r nb p €e ju JJ.Iaw6V LIapjodsueJ_ ajr;e,slode y "pun paui memp ,mjt:i.uenb al.11 uc pa,ee..1 pad_ €ajr) eq 11w, ajnpQg3 ajeH s!Ll Jaiun jaujapy) cl l,aF,.3 qo seel III! seal anuququit ,(u.)jcFi. p aigve )Ilddu o-qj tli_ €a? llti YJ.I a?c.' Ul p,jepqeo S afi.L4.'qwns.IC1� jU =1{Jule tli jyj wpM qym ;l`.St1F puwv ul pEggracje3 Xej _Ioj s`- F€ OLLI =C UV wll.!cj M_t.. IOU coop q4j G.ppi ILfii !U11UJ U!glf /At Jjewujai`* (:)I Alejob paa3asj;� ' 7th q; Die 's GqL) ;)uv,.1j -JJ a I.l i.v, -jx)(j =:l j0o w— u! Pa -3 saaj as Lj3UE? 4 Jra; jur owe Cry as!LjDLMf.j .,v`'l caa! ?l MM u jaqep3jlN:) se M jo M u enb e snl uawjsnfpV uolluapj 1h11` \8 J-DPIZ i q.!Al OLfel1J."'t"3.'°.°# U! PM MIEr;3 ju110we u e ! Opjoq ;Df33el) Alip`aLlrlUO'.) :U.1fIa.JtT,]0:)jAj X.O!1)cj 0'',,P i `� 1OD .10MI,10 (g) lar c:i Cl Ire; U! SP03 upjePodsue3j to allstll" JCsj jLJnMM ire s €11d :f.IQA(n8 t 1sO:,D mqa €j pfals9 siopli uaL11 ,39laon Grip saj!jtv?.nb PLM jiltit,.lCZ aL.Ij rij sijJr�a ajlljIL ^J pL1eaLr1�?jsr� LJirc�cllcj al.i, ulla: ltcj palT?Erlsis atl ii,AA ii,rj s,jowmis ra;wa ajeU AIqjuoi 'paLjs!Lt)n j f?LllA-q ;)YMOS Qj . €C!Jvl Palir b9J acj AM aaLt.1Cjsf1':3 PLIP Auz?d4l.iD,,) €,a..rmpq sju atila,( "Lla.€.ae Inallwa pap, sa JnL.I >) euOtjip;ae RAJ nrlarj ,ca 1U!0d aLll le lg €' nl;> Apneajje , 4c) € sl .€xaL;i€>:psnCl .Aq pap ap MAI at,11 J2, on!AjaS jo a€ Al Ajlil. ej s,joulcjsn�) Li! asrl JC5l fAGA!larl Ain jt +!O j ^ua �e wlabie s,.r*1u0;,4sn j �0 .latuop;nD Aq j"allddils seb ic;m;1eu Ile jo ugj1..j oc'1 uej aLjj 1 j ( 2 Lucj n )1 Luajdg L c ij 1cI€;3qE j tle is AIi X01-PIA !a o j10j is aj.saLJ ic10 tj as !!a 3au.leaj n::a P "j jtMl.CJaMBv rl ijC�,l °a3 Lat'.J «I.. e OP! pwapp SUTA ALIUfLU00 ;M11 j1:1,E)AI= Glj u! 'alge pdo4 uoguupddv (seliaill; a An:) oM pue some sta .slat jrla.a rya) zaca3sl, i 1 asrjia :01 x'1` )1 1ddV ......... _,_, _..... -� V 1N�IWHOViiV ATTACHMENT A MID-TEX DIVISION RATE € HEDULE: 1 l u.. TRANSPORTATION RRC TAI IFF NO: 1984 REVISION N 3: , PPLIGABLE. TO: j Entire Division joxc t Environs areas and than City of Dallas) rrFFEC.TIVE DATE: i 10101;2008 _ PAGE: 2 .Monthly Imbalance Fens Custc .aaEk•r :11,: ATTACHMENT A ATMOS fENIERGY CORPORATION MID-TEX DIVISION RIDER: GCf',1 - GAS COS'f RE:COVERY APPUCABLE TO: . Entire Division EFFECTIVE DATE: 1 1010IJ2003 I-ZFVK33(-)f q NO: 0, Applicable to Rate R, Rate C. slid Rate I for all gas sales made by Company, and applirMmlo toRate R, Ralp C, Rme, 1, and KI ale T for recovery of Pipeline Syst-orn costs. T lie .ctaf vas cost, recovery amoll fit due is determined by adding the gas cost calculatpd in Section (a) balo-,,v and the pipeline cost calculatcd iri Section (b) 1--,clow. Ttie amount dubs for gas c Est 'Section (a -d by multipky -Ing' e has Cast Recovery Factor is daterminp (GCRF) by the (Dus,oniefs molithly volume. For Custon-jers receiving under Rate R and Rate, G. monthly Volume will lx� Calculated on a Mcf basis. For Custorners receivfnq service under Rate L Inon[My Volume will be calculated on an MMBW basis zmd the quaraities v ill oe adjusted as necessary to recover actual gas cast:i, The amount due for Pipeline cost (',Zcc'�on 0j)) is detormined by multiplying the Pipeline Cost Factor (RCF) by the Customer's monthly volurl-le. For Gu,,Aomef-* re-cc . i . ving service under Rate R and Rate C, inonthly voluma v calculated on an MIct basis- For Cusiorners receiving service undc-'r Rate I and mate °I., nis�wnthly vaiurne will ba ialWfatOd Orl an N411013tu basis and the atlantTes will be adjusted as 110ce8�,58-y iorecaver actual gas costs. (a) Gas Cost Pliethod of Calculation The morthly gas cost acljjusmient is calculated by the application of a Gar, Cost Recovery Ffactor (GUZZF): as detefurlined with the following fonTalkal- GO RF = Estimated Gas Cost Factor (EG(,F) + Reconciliation Factor (R F) + Taxe!3 (UX-S) EGCF = Estimated cost of gas, including lost and unaccounted for gas attrbuified to residential, id e, d corrlm8rc.ial, and industrial sales, and arty reconciliation belance of unfe--Iovexed qa�; costs. d-V by the estimated tntal residential. and industrial sales. 1-=. and unaccounted for as is limited to 5%. RU. '= CalculaLed by Cividing 14-diffem-9ce betwi�pr thm Actual Gas Cost Incurr&d, inclus ve of interest Dyer the proce,-filly lixelve-1110111-1. P�a;r�od endecIA-ine 30 and the Actual Gas Cost 13 iflea, over that sarrie Nvelve-month period by astimate-111 tctat ri,.-,sideritial, corn warclad, arld industrial sales for the stjoceuding October through June billing nionth-s- The interest rats: to he used is the annual interest rate pi 1-,,)l ished by the PUG 1, Dece niber, The interesi rate of 2008 is 4 -0�j% Actual (3as Cost Incuried = Tire sum of the costs bookcxi in Arnas Enemy Corp, bAid-I-aix f' Nvisjon account numbers BOO throu�gh 81 '13' and -1158 0 the FERC Uniform Sy!M'ern of Accounts, including the ne4 1-ripacil of injecting and withdrawing. gas Vorn storage. Also it ij,, os a cax1it or debit for any cant -of- period adjustments or uliusjal or norif-ecurring (;C)SW typit"ally considered gas costs and -a> credit Warnounts roc4D*,ved, as Imbalance Fees af-Cuaei went0vemull F es, Actual Gzis Co<,t Bified = EGCF niultfl.,3lied oy the wonthly Ajolurnes gilled to R, Gornrfierri 4and Industri-al :sales customers. less the, total amount of gas cost deterniine4d to have bier i uncol'. ctible and writton off which renain unpaid for ench morlth of the freconciliat=art period. k- sued By: David J. Park Vice IIre5idant. Rales and Rc-ggulawry Affairs Date Issued: 08/1312,1W8 ATTACHMENT A 1AID-111. I X DIVMION REVISiON N[O 0 RUff,': T P GCR — GAS COS ZECOVERY ........... .............. APPLICABLE TO: Entire Division .......... I .......... Ur-ECTWE DATE: 11[1101/2009 . .... . .. . . . ... ....... . ,fit PA 1 ................ ................ Any arvount remairling Jri the reconciligbor, hFJa'IGe Plfter thf conclusion of the, period of annorlizaWtl will be, Unaintainedinthe e.0WIGil"Mion balanco and included in tne collection 0, tha next Atmos 1-7nergy shall file annuat reports with Vie Commission, providing by month Vic! f6lowinu arnOUnts: Gas C,.)SI V1.1fitten Off. Margin Writte-n Off, Tax and Other 10&tlen Off, lo-LZIA.bitten Ofir, Gias Cost C,,,,)1locted and hr-orgln Collec fed, 'I'XS = Any statutorily imposed or taxes applicable to the purchase of gas by the estimated tola re side nJal, ccmr-romi;,i], arid k,vIu.,,.;trial salm Aft, � Any surcharge or fefund ardered by F- rogulatory authority, inclus.ve of inteiest, divided by flic- m I estirriatOd totalresidential, comn ermil, and industrial �sales is. to he- IndUd0d SF.; a s—perafe lineitem SUrcharge. (b) Pipeline Cost i)Aotbod of Calf tilation Each rnonth, -i Pipe fine Cost Factor (PCF) is ca.culated separately fo., each Plpe+rtp- Cost R-5a�k,; CW5::i I isted he'q%V, The 'em-ni.p.la for [ho PC F is PC F -- PP 1 1-3. where PP ;;; (P - A) x D, wheie,-. 11 Estimated worithly cost of pipefina service calculated pursuant to Rate CGS D = Pipeline sentice aillocation factor for the rate class as app loved in the Comparry's most recent rate case. as follows: Pineline Cost Rate r Class Allocation Facto . ......... ... . .... l-'evi"Jortial S,;zrvice .634698 ......... .... . . ............. I ........................... - .......... kate Cx)rnmerci-al .302824 ...................... I ........................ .................... I ................................................ I and Rate I I rwispor[at on Service PqL478 Rate I lmfi sli-I Seivice -- ------------- A � ACIJLIstnw)nt n�ppljed in thr- cw,rent month to Wrre(;t fn.r the difference betv.teen the actual and estir-nated pipeline.. cost revenue of tile scm-'rAld, prenptfi 'g, month, calcijlated by the font ula: A = R - (C - A2), vih ere: R = Actual reveriLie received from thc,� application ofthe PP cornponent in the so-CoAd., prod ding month -I- -t( al pipeline casts for the second precedirifl month — - Ac, 1 2 = The adjustmunt (A) applied to the PP comrjorlentm;n thc,� second preceding month Issued By: David J. Park Vice Dresidont, R,�.,ftos nsid Regulatory Aft lirs Dato Issued: 08/1312008 ATTACHMENT A ATMOS ENt:i=tiiCT+'t COQPORATIC)11 3 = Ezsti mated Wild or NOOBW for the rate ;lass far the current I1,01ing ri`cm-th. Tiie PC F is calculated fo the PParc.st O O I Cent. he Pipeline Cost to be tai 10 d js determ n d by i ultiplying the r�ic;F ;X .%4N;j Stu ra_e by V e ;app j -.wate CF. The Pipeline Cost is determimll to the r:3parestwhole cent_ t ,,-ued Eby: David .l. Bark 'Vc , r sirff)a : = trs and egr.rlatorl� Affairs Cate Issued: 08,1 t 3!2 sO8 @U1tAI@j,9p GI JROA CLr :.i6Jr)Jr PUG aLll to sate. (l b 111Ljj!tfk sail r:d POI SaJaj_til 11C palal. OjrJ Dq Jj!M siilNnV la J a icl j1,o..o.jddp jenuur3 tail papUrl j a(] II1M aasuat XG ur,;1eJislL11Wp€ �UBAOa,-j `uOIlta,r, 1IJIi1 pP 1. €.i€: -J1 road jar auraG pue samppu*fto o1q ralliw jra itiawi ;Jr1cjLuI J putt (10 Ile, ?lju;.:m juoz osgn,� 'L]Mjrqu. np z €mp OA `a.r- ?WO_sn_o jc, joileoi jjunb ubojpjo _)a jpeo. JOIC- 11SWiLirPR V p JIJo,d uj4?.I6o..d ieglui 041 JOi JOA01 A3110p ra0I1111JJ trml nnil 1o1 pcoddco F J!oq s11ouvq qpAA `J1a oA t.,t� Jocj,L ;uidac:; 4j sir luj 1 Jati�3j" LJro w ol� €a o LUC- U50Jri OL11 it' €.il poi . c tiJCi s; 9j €c ,t J ar ( �i�(?'t1�11'I :;} € jj� �i icJj,jjc€i OUO 6U1p!AOJCi s. 3A4?`dajvJ t1li Ali °er1Lim "anll llt,lf `Atli 01 (t)(1 i; QO'00()' $) SJVa1101) dOill!W OUO @ing;jj €o* 1111 sJapjO aJ( -,LjfS 46JOu j sia5u,11V -'(000'000 zc) sJ`ilr p uC311AU O /Al ir' CK] Ili., 61-lap €1111 uJ _6wd `oij!ul liiJ,pu—� j ap6tio sowao -ocl JGan letil Lit plo c`JvoA gg suirll it) s1 Jegj JePIOLI Jurra ofx- i�'J'a` tt�iili JisltJlu.iia; Ap roas, iepo'r' tl "oJ l oll_Joam. '3! cj: I ,j n N:S:; bcwlJd sap %O,k' 1:1rJ�ilsra 'ej!S- :slant JO J;sluaa 110' VJV g6noJql fp1mv6p jsuriagJ uaw Jeploil lurlojo Aiptup' _._ aia .jil',a opua- .jeaA. auo jol sisal, ligl snjej 3 v ' tuciou.,- mr.1 se Jawolsn ` ctr uk s.i uni iYou .j5 se O.jv:)Op;> 4OL11 s- j"iva5v -spUrij :,qj auvtt A aI.11 of LIS. stawIV ojn(jt jqp itnil sal ug.6s, Ile puts salau;'Ap -;i` A 1H L1Oru4Cil a)ijulsisse lllrj fui oaij .its, kpler)b jegl siaAed --�)m GaJO;:- U1 -A1 j — OLIOQ -Uj M..0 -1 it Hii 'SjUrl {.iWV Z�J4?PISI: 'u J1 clol uo oc fju 11!m sail.mC o l 44iesssnau am saij!pq> de—) ialli :p IsLJI jamiss a oid 1U41 paultuJalap sI ii 11 'umpli 4sul tipm sJDWO s)- ;arssis 01 'MR-160-Id UOJla~ aAbldwa Limo s ;.! 6Lf(pnj;JUI "sdnr�lJt) All- f-'iumoo uitaJi lJi'ddng isilLia nI rligija of jaiJapun jpm fuedwoo `sJajlela)€1 sj ajjddns poAoiddu iuoij �€_ 1 =Ji1 pJonoi)13�-.)lA.0 i w° 4l`las 'sla raL.uJ Lil { r Sr, ijonr , sa:alAnp ^uinIO�s AFIN:iu,., J:.atile 'sleuolew aalll puc 'sla\juqti xcljomq J IerA '5U1jUa$ °6u14l8aLjs trlaiina Ita tijJtJt�': (U ' `r �J Iraji �JaJlrurlLi rCVA:1 0i rjra @AIGDOJ 11w. sa4<ri lsrr.) iJaliij rlt ") x i Fr1Q, i srituIv 40 r-,,eamolsn'a 6(jT,A11}pnb of s,.m1 idns pr:a SJUIJO)OW Sf,€WAFs AfrJ ue ;Ra,ri ralMa.id 01, LUOISAS _ €D€.1:1r1r.`A iu.al iil19 f,61.OUa PUB LlOfj8iJOSNJO: bAjssarPPe ttlraJlJ 1 1 p€ ;11J''i nr.P u 1 Ijt i ip a i c cil >nai) cis c n r 3� it at iunt. €. €1jan at.jl ipm a jam sasadwd Lr 1sIAl xa -plin1 A JOU srrwjv •jesodcaJtl @q, ju rtJ�iLLiwns >rdwLjU^, '1�-_1A@j- Lib1L1 L I OUI *OO JC 'G'U! urIJ -4110 Japul ,-tu-.-)J OL11 bUlj)!AOXI i€Jauadti.ai clui Jar €Jca),5110 p 1.11!tA AIl8n€1uP ,aJ.enaul sasuadxa ojge /VV,*jIu all it' a6ejua:,Jad E> punj j1lr-A SJ@D]0L {.JJPq' , bJ@La l sou1lV aJatiim ouo si iusoc9o,d a€.I_L 'silitl , #i!1!i 1 f+BJOL€ Id.l l ± :4ni Pill' € oildJJ'`1srJLa^ r {61aug B°'€1p ii)?J L`r S�.1awljoss 1owolsro i?z�i�I Cr °�) �3� � T[1C�>I'a L' J�.l.)'' III�'�', Li it il`tk „[ri?r7t °1iJ fJSwilay_;`i 6 . CJl? lJll raSl l���7J sR c.(-7fn� it�Llj o, :r U SOL%lWf � ciri '�ct €i -'ON O1SAA—_4 i V J_NEWHOViiV NOISI j) ki AJ. -Olfill ATTACHMENT A ATPOOS ENERGY CORPORATION BRrt eAir shall Iii or 4nrul report €ati_r?i.ft ta 6J ra rr Cr �h yr C�"i with 1 i.fetc:)II"J of the amoi.r nt4J..rGt i( out of Program for Unergy uUrivelsaticio assistance. "Iit� r +w{aC��� Kali 1�ls� cis tail �� €_ €rata �r c�fi ���alica��t�, nur- be - rejected and accepted and reason rej cted. The report shall be filed d with the teas Service Director. Issued y: David J. Park Vice Fresider°t, bates and RP-cfulatory.Affairs Date Issued.- OW 302,000, smv;iv j plie sojv�j 4uop!SG.Jj antA 800MI-1,20 'POUSSI o4p,(j A-Jtl-J'f'P!Ae(j :Ati ponss) 9-:)G4 GSILMUM jUdl0luflLU JO AJ0PMI0J-J0PUr' CJ -JEM0 hiLy Jo l wilmoo of [I!(] s,laauOjqno 01 slu JtJl nfl c JOLI)Irlj f Ilia, Aundwo,) '-ow .1 of owi} wojj ouiail ,o Appeoildar pue o6eluDWEIC 'All fjpods _a J, EM;K,UeJj 1S,Aj!j0dP0IJTItU LjooD qma Ac poulml-alo.0 ale seaj asitl'-weij ledouvivq -AuerimoD Ail joLjjojsn-,) of )CPIAG,Jd 03VOOS, SUD OLI) Jol ajqpAed soaj pdaumu oql ol leylba 111,10LUe UU Ul LI)VOLLI 11300 �11,-j S;.f@LU0*4Sro 1800V JJIM Aledwo- plom-lisilf'ov AJlj-,tuT;ojAj ,JOUIOJGfI-) StIOAAW4 01 Alcap lou soop S',,q : _L sj!Luij jedio(uriuu oLi.1 utqllm siomvisno cal Al'alos p@ssassu OCI 01 G00j -JOU10153,<) 01 P,) * 01MIK.1 ser) G.qj joj Auedwo-,) uDdn aqj asiLloue'l Iexljoiuriu, ta sasoduji IPL.11 ki,!Ipdf:mmlAJ pa-,pjod.ioDuj tit? p sllwil alp—lordbou a(Il ap! .ui iumolsw) of qquoijcdv 0 :ON NOISIKAMI uollwaliddv .............. ... ........ - I., MOVMU ::,]J.V(l 3AIJ-DA-MI3 .......... . .. ............................... -- ......................... - I I � - I - - -LN:IklJlSflr(]V 3FLq 3SIHONYMA --- A A -�l ZA (I I n V iNEAHOViiV NOISIAM Xq-kClllAj SO ftillk" ATTACHMENT A TARIFF FOR GAS ATf,,10S L(%Jr7RGY CORP., 11WID-TEX DIVISION Ridf,-r WMA ---'t eath r Normalization Ad ustrytent . . ... . ........................ ..... .. .. .. .......... ........ . .. . .... . . ..................... .... ............. .......... APPLICABLE Entire Sysiorn (oxcept Enviforis areas REVISION: and tho City of Dallas) DATE: EFFECTIVE DATE.- PAGE: I OF 2 RMER WNA — VVeather Normalization AdLu�tmetvt Provisions, stment The base rater per Md (1,00010,00 BtL]) for gas service set forti! in any Rate Schedules utilized by the cities of the, [Vlid-Tex Division service area for determining 1101'rnaliMd winter period revenues shall be adjusted by an amount hereivatter described, which '-IMOLint is referred to as the "Weather Nonralization Acs justment." The Weather Normaiilizv...' on �4d I Li apply to all tterrlpe;fature s(,�msitive resleleri:ial. and ccmmercial bills based on rfl t,.-ars read during the revenue months of November through April. The five: regional weather stations are Abilene, Austin, Callas, Wvco, and Voichita Falls, Gonirmitati,en of Wew'her Normalization AdiLlSt'nent '--- ..... ....... .............. ...... . ................... . ... - --- ....... . ....... - ......... ... The 'Norm.-flizallion Ad.ustment ractc"'r shall be cornputed to the nearest one hUndredlth cont pur Mcf I.Isy Lhra "Oflowing mm-lula: WNAFi Ri Where (HSI'i x ADD) -I (BLi (I-fSFi x ADD) any paiticujar Rate Schedule or billing CILIS,' XiCaLiun within any ,arc i particular Rinto Schedjlc- that contains more than orle ibl-T inn c1assitk-,ation WNAFI Weather Norwz�lizatlori Adjustrnt-rat Fact-or for the itll rate schcxJule or 7 . classim-ICatiom expressed in apmisn por Nief R; base i ate of tern poral'uri,.. -seasitive sales for the ith sdiodule, or C12SSifiCRtion apProved by the entity ems rcis ing F, 1,-3 IF i 1-mat sonar ivo factor for the ith Of CIAS cff iiC.• -Ilf101 Cal(elated Pas P10 tho linear regression Of awrag("-" scales Per bill (mcf) Pnd P.!- -121 hoating degrees days ny month for the Wstyear by Schudule Or clas;iflczafion and w- atho• station as pznt of the RRMI filing. MIA) billing cycle nor al heath dPcree;,k,-iys calcu!�,-,,Wd as tile Siniple, tor-year av-ra heating d�agree '. -qo o4�actual � ADD bhlinq cycle actual healing degree days, base Imad sWes for the rte S,,,jje(ju'0 of OW Ssik-."'hun u luLlIr-red as filo w iritercept of the linear regress;lon of average, -3.21C'S p.,--,,r bill (Mcf) and ackjal heatIrIg degree days, Oymonth for tho test ;caner hy scimli"lle of classifiration and weather station asp rt of the 1 1;10 f1iing. I'he Weather Norm atizatiori Adjiustment for the jth cxtistorner in I',-) rate schedule Is ownputed as_ WNA.;- WNAFj. x qjj ATTACHMENT A ;`-IRIFF FORGAS SERVICE , TC600 Ei >![_RGY CORP., it _ ID-t E v DIVI fO ,.�.�.,,,,._,..,...,... „...... ._... ,_, ............ .� ,,..,._.,.i Ft—iA I --F. SC-HI I :DOLE: Rate WNA w.. Weather Normalization Adjura e.raaorat APPLICABLE TO- Entire, System (except Eaviroos areas � REVISION: and the C ity of Dallas) UAI E. t rl- ECTIVE ATE: 11)' 112D PAGE: 2 Or "" `1'Vhare qjis ti to rz= levant sales quantity f(--f, Vie, f `li't (: ustorl1€ r in i-Ih rate scl9f d"11e3. Jlit �,itl1 C °nt+ti€ s fz-x rc€ rte' r €r � 1 Juris S cdoni As part of its annual RRN4 fling the C"ornp any will file to a copy of c c -h (`C;rl,putation of the 1AloEather° Normalization As~jusirnent Factor', (C:r) a showino . e offecti��e date of nac such. Weather Nora, liz ation Adjustment, (c) a sc�hed0e sEiot ivr g ti c; f ac tc r; I value!; used r;r cniculating such Weather Normalization Adjustment and (d) a far dour€ sample and audit of thirty 30) actual :;usttamer Dills, with custom r informa:irm del -:e6 ,or each rate schedule or c.las' fit , titan to which thy:.41N i was apr i-ed in the preceding 12 rnth pznr d °t -o the l xtent 'hprl sourc e (9,,.a is needed to auchl the WNA application, si h data will be provided by the C nipany as part of the annual RRM filing_ It 1i e 1'RM -is discontinued, as provided in the Ridci RRIL +i lariff the information r'equifed I er in to be tied wth the entities exprir, i(aq qtr €gin V jUrisdictgtr= .gall be, fled oir March 1 of each year. o c -s c r' c' -• t��`,. I~ )��fiC�r:r�at._��,a7.�i.r� +it��� �{�,I-€ Fartq Residential N �� C=; rntr<cr ial Base use � 11C1= Bas use Abil:no 1.x7 .0638 AUStin . 0133 r . _._ . __. .0641 i all7s 1-79 ( ... D196 I �?Ga.1343 0-378 8 'Faro 1 3tJ g i�t4 11,41 _ 61 1. _ _ d €c nrs�t 135 l .0143 j 11.62 a 05)40 Falls $ am le a dt fi, -1Iculz-at€on: (.(,3'I i x {30 -17) 1533 ne-r Mct _. Where 1.226 7 X, (1.14 (.01131 x 17) i R :sidential Single Block late Schedule Ri 1,2267 6 pc.r tv1CF (R..-its Firi al Order 0,11D ado. P 670) l °1SFi 01:31 Residential - Abilene Area:} NDD 0 1 IDD (Simple tan -year average of Actual I- DIJ toil Afmlc €ae Xea ' -” W15106 — 1;`311 41136) ADD 17 l Ili1) (Actual HDD for Abilene Area - gi 1 5106 -- 1 0111 4 -iob) 1::1 i`vtc,,t (Residential -- ,Abilene Area) ATTACHMENT B ATWIOS ENERGY CORP., MID- EX DIVISION SLIM111,1ARY PROOF OF R, EVENl E AT PROPOSED RATES '1-:;ST YE ENDING DECEMBER 31, 2007 Line. , 3 ,cripti�... _.._. _ Total ._ Reference -_ _, ,.(..- .w...., -, . 2 3 4 r A 10 11 12 1. °14 15 10 17 18 19 20 21 22 23 24 Rata R Rate Cl arac eristius- C` ustomer C harq Consumption Charge (Vt4gcf,� 2007 RRNI True-up ($IMcf) Rider C(a Pai 1 A Rider R;3CR Par R Bi lin Unity (1): Biis 'Total 1\4C Ergp d_ Revenue: C. sfomn,r Charge, Consumption Charge Bea :� Rev nuc Rf,Jer C,C Pari B € btot l RRM Settlement Agreement, S7,00 pq 2, l teal 5 $2,1600 $0.010 $8,1244 M43 17,069,679 $ 111MBT753 176,385,'l 75 2 .f172,9 8.... 0.30.460,135 49,140,231 59, 244,614 Note, -1 1 See, Billing DfA, rn -iina its Study for details. 1,043.717,909 Se:ttt rnemt Allocation ation Settlement Allou)tion lzchL u 1 +``f J4,11 WP..._1 -1.1 ATTACHMENT B TINIOS NERGY CORP., M110--flEX DIVISION SUMMARY PROOF r REVENUE T PROPOSED RATES TEST YEAR ENDING DECEMB ER 31, 2007 Lino ri € Total Reference (} (b) (c) Rate G I41te 11Ff aGt i;Ai(;$: C�zstomer Ghargo Consumption Charger (.;Mct) 2007 RRM True -up ($/Mcf) R dar GCR Dart A Millitt' LLI tS 0:_ Bills Total IMC F Pro )osod Revenue, Customer Charge Consumption Charge Base Revenue a�-�,yider° rGC� R Part A--�� Rider 1. CI fart B Subtotal Revenue Reim d Taxeq 'total Pro os o Revenue- Rate C $0,9442 O,C;:367 Vii, 'I 244 0.522 1,434,516 50,233,642 49,1 3,3f3 y NU39,339 408,116,524 =3.f61,046 _ 30,27-1,052 { _ Nate .t: See Billing Detairninaras Study ffordetails. 533,288,962 RRM Settlement Agreement, cement, Settles )ent Allocation Settlement Allocation Sche(lute H ;a[ I be cmle I VVP JA,2 W __J_`l 2 mm ATTACHMENT B ATMOS ENERGY CORP., MID-I-EX DIVISIW4 SUMMARY PROOF OF REVENUE AT PROPOSED RATES TEST YEAR ENDING DEGEMBER 31, 2007 Description Total Roferonc-e Rate I uqT Rate Characteristics: 40,052 )AP - J-11 Custom er Charge 425-00 Settlement Allocation Block I ($/MNIBFU) $ 0.?2 352 Settlement Allocation Block 2 ($/fvlMBTU) $0,1715 Settlement Alk,), ;at ion Block 3 ($AAMBTU) $0,0357 Settlet'ient Allocation 2007 RRM True-up ($!MMRTU)- 2,331,063 Settler-riant Allocation Block 1 ($/MNff3TU) $0.0381 1,31 ock 2 ($/Mr,.48-1 U) $0,0278 Block 3 (VIAMSTU) $umso sic_ ar (--jC I � I ' at t A $8.1244 Scheuk, 1-1 Rider GC R B $0 2938 C, o n n Characteristics: Block 1 (First 1,500 MM13TU) 0,23502 Block 2 (Next 3,500 NIMBT U 0-26655 try Block 3 (Over 5,000 W011- LJ 0.49843 —DiPlinqa-Units 0") Wfs 40,052 )AP - J-11 9,1522,217 3lock 2 10,799,921 9lock 3 20,195,218 Total MP.413TU 40J517,356 Sales volumes 2,331,063 Gistomer Charge to -1 Block 2 Block 3 Base Revenue R.dar GCE Pail A R.derGCIR Part B SUbtotal i Ro wenup Rebated Taxes Total Proposed Revenue- Rato I $ 4,272,100 2,602,422 2,152,424 802.336 $ 9.889,2B2 1M94,542 11,,902,411 —4Q 286-23�7 2,42.4,385 INIote 1: See Billing Deterniinan[s Study for details. 42,710,620 Town of Westlake Memo To: Honorable Mayor and Members of the Board of Aldermen From: Tom Brymer, Town Manager Subject: Regular Meeting of September 8, 2008 Date: September 2, 2008 ITEM Conduct a Public Hearing Regarding the Town of Westlake Proposed FY08 /09 Budget for the Period Beginning October 1, 2008 through September 2009. VISION POINT AND KEY RESULT AREAS This item supports the following Vision Point and Key Result Areas: Rl Inviting Residential & Corporate neighborhoods o On -going comprehensive planning o Sensitivity to neighborhood integrity o Outstanding community appearance o Highest quality development and aesthetic standards o Open space preservation Q We are Leaders o Premier educational facilities and programs o Producing well educated future leaders and thinkers o Business partnerships with Westlake Academy o Environmental stewardship initiatives o High quality services delivery coupled with financial stewardships o Infrastructure maintenance and planning Q Hospitality Finds its Home in Westlake o Citizen engagement and communication o Historic Preservation o Tourism development BACKGROUND Staff prepared and submitted a proposed Tow of Westlake budget for Fiscal Year 08/09 in the amount $17,046,711 for the major operating funds, debt service, major maintenance, and capital improvement funds. This proposed budget was presented and reviewed with the Board of Aldermen at their August 25, 2008 workshop. The Board also will have an opportunity for further discussion of this proposed budget at its September 8th workshop. RECOMMENDATION: Received public comment and input regarding this proposed Town FY08 /09 budget. ATTACHMENTS: 1. Proposed FY08 /09 Budget Transmittal Letter 2. FY 08/09 Proposed Budget Overview Town of Westlake Memo To: Honorable Mayor and Members of the Board of Aldermen From: Tom Brymer, Town Manager Subject: Regular Meeting of September 8, 2008 Date: September 2, 2008 ITEM Consider of a Resolution Adopting the FY 08/09 Budget Including Final Amendments to the FY 07/08 Budget for the Town of Westlake. VISION POINT AND KEY RESULT AREAS This item supports the following Vision Point and Key Result Areas: 0 Inviting Residential & Corporate neighborhoods o On -going comprehensive planning o Sensitivity to neighborhood integrity o Outstanding community appearance o Highest quality development and aesthetic standards o Open space preservation Q We are Leaders o Premier educational facilities and programs o Producing well educated future leaders and thinkers o Business partnerships with Westlake Academy o Environmental stewardship initiatives o High quality services delivery coupled with financial stewardships o Infrastructure maintenance and planning Rl Hospitality Finds its Home in Westlake o Citizen engagement and communication o Historic Preservation o Tourism development RECOMMENDATIONS Staff recommends adoption of this resolution adopting the FY 08/09 Budget as well as approving final amendments to the FY 07/08 Budget. BACKGROUND The Town staff has prepared the Proposed FY 2007/2008 Budget, which places an emphasis on allocating funds for maintenance of public buildings and infrastructure as well as for capital improvement projects, without the use of a property tax. The start of construction for the Westlake Arts & Science Center is programmed in the Proposed FY08 /09 Budget. This proposed budget also anticipates funding the Dove Road Bridge expansion near Glenwyck Farms, beginning to set funding aside for the FM 1938 streetscape /way finding project, as well as providing resources for the Stagecoach Hills Street reconstruction project. Additionally, this proposed budget begins to utilize as its framework the Board of Aldermen's vision, values, and mission statement from its strategic planning retreat held in June of this year. This includes identifying key result areas within the 3 focus area of this vision statement and connecting those key result areas to departmental budgets. The Utility Fund's proposed budget includes funding the on -going automation of water meters that will allow real -time date collection /monitoring of water meters located within specific area of the Town. Also included in the Utility Fund budget is the TRA/Southlake NI Sewer Line Improvement Project which includes the design and construction of a metering station with SCADA equipment at the proposed "point of entry ". Funding is included in the Visitors Association Fund for additional marketing by the Marriott Solana to increase their group bookings business. This fund is also providing a fund transfer to the Debt Service Fund because the Property Tax Reduction Fund (funded by a half -cent sales tax) will be helping to fund General Fund operations. This is due to the reduced performance of the Town's one -cent sales tax that has traditionally been the General Fund's largest revenue source. The 4B Fund, financed with another half -cent sales tax, will continue to be used for debt service payments as has been the previous practice. ATTACHMENTS 1. Resolution 08- 51 2. Budget Transmittal Memo Dated 8 -15 -08 3. Budget Overview for FY08 /09 2 TOWN OF WESTLAKE RESOLUTION NO. 08 -51 A RESOLUTION OF THE BOARD OF ALDERMEN OF THE TOWN OF WESTLAKE, TEXAS, ADOPTING THE REVISED BUDGET FOR THE TOWN OF WESTLAKE FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2008 AND ADOPTING THE PROPOSED BUDGET FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2009. WHEREAS, a public hearing was duly held and all interested persons were given an opportunity to be heard for or against any item therein; and. WHEREAS, as required by Texas Local Government Code 102.002, the budget officer has prepared a municipal budget to cover the proposed expenditures of the municipal government for the succeeding year. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF ALDERMEN OF THE TOWN OF WESTLAKE, TEXAS: SECTION 1: That the Board of Aldermen hereby adopts the revised budget for the fiscal year ending September 30, 2008 and the proposed Annual Operating Budget for the fiscal year ending September 30, 2009 and appropriates the funds contained therein. SECTION 2: That a copy of the official adopted 2008 -2009 budget documents shall be kept on file in the office of the Town Secretary. SECTION 3: That this Resolution shall become effective upon the date of its passage. PASSED AND APPROVED ON THIS Stn DAY OF SEPTEMBER 2008. ATTEST: Kim Sutter, TRMC, Town Secretary APPROVED AS TO FORM: L. Stanton Lowry, Town Attorney Laura Wheat, Mayor Tom Brymer, Town Manager August 15, 2008 Honorable Mayor and Members of the Board of Aldermen: On behalf of the Town's staff Leadership Team, I am pleased to present for your review and consideration the Town of Westlake's Proposed FY 2008 -2009 Budget totaling $17,046,711 for the major operating funds, debt service, major maintenance, and capital improvement funds. STRATEGIC APPROACH This proposed FY 2008 -2009 Budget was prepared with: ➢ the first priority being to provide Town residents and businesses with basic, but high quality, Town services, as well as essential on -going support for Westlake Academy, without the assessment of a local ad valorem property tax ➢ a long -term vision set by the Board of Aldermen at their strategic planning retreat held in June of this year. This budget does focus on the next twelve months of the Town's future. However, the Board's initiative to pursue a strategic planning approach to the Town's governance will be critical to giving the Board, and the community, a multi -year focus that couples strategic priority setting with good financial stewardship decisions that achieve the long -term vision set by the Board for Westlake. The Board has articulated an exciting vision for Westlake: Westlake Vision Westlake is a one -of -a kind community — an oasis with rolling hills, grazing longhorns, and soaring red - tailed hawks, located in the heart of the Fort Worth- Dallas metropolitan area. Inviting neighborhoods and architecturally vibrant corporate campuses find harmony among our meandering roads and trails, lined with native oaks and stone walls. We are leaders. In education we are known for our innovative partnerships between the Town -Owned Charter School and its corporate neighbors. We are environmental stewards — exemplifying the highest standards. Hospitality finds its home in Westlake. As a community, we are fully involved and invested in our rich heritage, vibrant present and exciting, sustainable future. Further, the Board has established Westlake's core mission and values: Westlake Mission On behalf of the citizens, the mission of the Town of Westlake is to be a one of a kind community that blends our rural atmosphere with our rich culture and urban location. Community Values Innovation Strong knowledg %ducation base Friendly and Welcoming s Family Focus Engaged Citizens Aesthetic appeal with high development standards Unique rural setting emphasizing preservation of our natural beauty With the establishment of Westlake's vision, mission and values, the Board set key result areas to concentrate in the Town's Strategic Plan that guides preparation of this proposed budget: ( s I I Mission 2 Citizen Engagement Citizen Communication Historic Preservation Tourism Development Arts and Culture 4 � a Inviting ResidernMall an Corporate Neighf e • e 1 Premier Education Comprehensive Planning Facilities &Programs Well Educated Future Neighborhood Integrity Leaders & Thinkers Community Appearance Business Partnerships with Town & Westlake Academy Quality Development I Environmental Stewardship High Quality Services Coupled Aesthetic Standards i with Financial Stewardship Open Space Preservation Infrastructure Maintenance and Planning 2 Citizen Engagement Citizen Communication Historic Preservation Tourism Development Arts and Culture 4 BUDGET PREPARATION PARAMETERS AND "SCRUBBING" As this Proposed FY 2008 -2009 Budget was prepared, the following parameters and approaches were utilized in order to easily track cost increases as they relate to maintaining or increasing service levels: • Pursued allocation of funds on hand towards major building and infrastructure maintenance as well as creating a fund for vehicle and equipment replacement • Maintained present fund balances to exceed policy requirements • Conservative revenue estimating that identified one -time and on -going revenue increases so that one -time revenue increases would be used for major, but not on- going, expenditures that pursue our strategic priorities, while ensuring that the Town's financial status remains solid • Water and sewer revenues are projected using the new proposed water /sewer rates and structure • Expenditures for current levels of service (adjusted for actual spending as well as deducting one- time expenses) in FY 08 -09 were identified and these became the base budget • Increases in the current level of service anticipated due to inflation and other cost increases were identified and kept separate from the current level of service base budget in the form of "current service level adjustments" (SLA's) • Resources to place personnel salaries and wages in the Town's municipal operations closer to the market in which we compete to attract and retain talent were identified. This includes anticipated cost increases of 15% in employee health insurance and average market pay adjustments of 7% of total salary cost. This percentage will vary by position depending on distance from market point. Additionally, there is a small amount of dollars budgeted for performance pay. It should be noted that this approach is consistent with the approach used for Academy personnel that are closer to market than municipal operations personnel. • "Expanded or new levels of service" were also identified and kept separate • All costs for base budgets, service level adjustments due to cost increases /inflation, and expanded /new service level adjustments were "scrubbed" and extensively analyzed and discussed in budget review sessions with the Town Manager and Director of Finance to ensure maximum efficiency, effectiveness, and utilization of both additional and requested financial resources. We did this while having our focus being on the sustainability of the request as well as the fact that our economy nationally is going through turbulence and uncertainty. MAJOR MILESTONES IN FY 07 -08 Before reviewing the proposed budget for the upcoming fiscal year, it is important to note and acknowledge the major areas of progress and activity achieved in Westlake during the course of FY 07- 08. Westlake continues to be one of the leading communities in the entire metroplex for new business locations and residential attraction. These highlights include: 3 • Solana Marriott Hotel completion - this long awaited expansion was completed in late 2007 which resulted in this hotel having 295 total guest rooms. • Fidelity Regional Headquarters Phase 11 - currently under construction and scheduled to be completed in the third quarter of calendar year 2009; this expansion will double Fidelity's current 600,000 sq, ft. campus and add up to approximately 2,500 employees to their Westlake location • Retail Development (Westlake Corners) - Westlake's first stand -alone retail development began at the intersection of SH 170 and US 377 with zoning and site planning. Construction is planned to begin later this year. • Maintained Strong Cash Reserves - fund balances in all major Town operating funds exceeded policy minimums • Residential Building Activity Level - 12 new single - family building permits have been issued thus far this fiscal year which average over 10,000 sq. ft in size with an average permitted value of $1,672,450 (not including lot value) • Development of Terra Bella - this 54.7 acre high -end single family subdivision will open for building permit issuance soon. It features 28 lots along with 22.6 acres of open space containing approximately one mile of public trails that will connect to public trails in the adjacent Glenwyck Farms neighborhood. • GFOA Distinguished Budget Presentation Award - Westlake was recognized for the first time by the Government Finance Officers Association for the professionalism, format, and financial reporting in our 2007 -2008 Budget document. Westlake Academy Arts & Sciences Building - General obligation bonds totaling $2.5 million were issued by the Town in April of this year to fund a portion of the cost of this estimated approximate $4.7 million Phase I addition to the Academy physical plant. This addition will add much needed expanded science laboratory /class room space for Academy students. FM 1938 (Precinct Line Rd) Improvements - This is an estimated $16 million project funded primarily by TxDOT, along with Tarrant County monies. Design is largely complete with construction scheduled 2009 to improve this roadway in its first phase to 4/6 lane divided by a landscaped median from SH 114 south to Randol Mill Road. • FM 1938 (Precinct Line Rd) Streetscaping - Schematic design is underway for future streetscape improvements to what will be Westlake's major north /south corridor. • Automated Residential Solid Waste Collection - this system was converted to a fully automated cart system to improve collection efficiencies which should help contain future costs • Deloitte Announcement - formal designation of Westlake as the site for this learning and leadership center has been made by the company. Zoning, economic development agreements, concept plans, and an off -site development agreement also have been recently approved to move this estimated $300 million forward to construction some time in 2009. 4 STRATEGIC PRIORITIES IN FISCAL YEAR 2008 -2009 In FY 08 -09 the Proposed Budget begins to utilize the Board's strategic planning framework to shape funding levels and priorities. The chart below illustrates, via the three focus areas of our Town's vision statement, which key result areas within those vision focus points the proposed departmental and fund budgets address. This chart gives a good visual representation of how the Town's financial resources are allocated in terms of vision points and their key result areas (i.e. — outcomes) that we will focus on in FY 08 -09. VISION FOCUS Neighborhoods Leadership Hospitality c 6a E U -o ° s .� z c E E a U¢ C a ya ¢ u_ v o p -c v= '" m ' -a E N v c a 3> m' E r 3 v w a -° v m LL z 3 v " c `��° a - at m m ^' « o .c E .� E .. o v E .3 > Administration X X X X X x Plan & Zoning X X X X X Town Secretary X x x Fire /EMS X X x Municipal Court X x x Public Works X X X X X Fac/ Maintenance X X X Finance X X X X Parks/ Recreation X X X X X X x Information Tech. X HR /Admin Srv. X X X Utility Fund X X X X Visitors Fund X X X X x x x x x 46 Fund X PTR Fund X X General MM Fund Utility MM Fund Cemetery Fund X x x V &E Fund X FM1938 Fund X X X X X A & S Fund X X Capital Imp. X X X X Debt Service X More detailed expenditure explanations by department and operating fund are set out in the Executive Summary & Budget Overview that follows this transmittal letter as well as in further detail in each departmental budget by fund in the budget document. 5 SUMMARY This proposed budget is built on a conservative fiscal philosophy which rests on a strong financial stewardship foundation. It maintains existing levels of service and in concert with the Board's strategic priorities, advances others, all without the use of a local property tax and in a time of economic down- turn nationally. More than that, the FY 08 -09 Proposed Budget gives us an exciting opportunity. This opportunity moves Westlake forward toward its vision of being a one -of -a kind, premier, knowledge - based community. The Town of Westlake exists as a municipal corporation for one reason alone; to prioritize and deliver the best services possible with the resources provided by our business and residential citizens to achieve an exceptional quality of life. Working as a Board - Staff - Community team, Westlake can continue to achieve positive momentum, movement, and progress towards our vision. Finally, the staff Leadership Team is deserving of much recognition for their concerted efforts in putting this FY08 -09 Proposed Budget together for Board consideration. In particular, I want to thank Director of Finance Debbie Piper and Finance Assistant Jaymi Ford for their assistance in assembling this document and the long hours they have invested in this process. Sincerely yours, Thomas E. Brymer Town Manager 6 t Nl j M17 08/09 Budget. Uverview :yJ• y fit.. Introduction The Town of Westlake's 2008 fiscal year begins on October 1, 2008 and ends September 30, 2009. It provides the framework to implement the Town's vision, mission and value statements as set out by the Board of Aldermen. The Town's annual budget is prepared in the context of a five (5) year financial forecast. The proposed budget is submitted to the Board approximately thirty to forty five days before the beginning of the fiscal year for their consideration. The Town's budget is set out by fund. It is designed to provide a clear picture of proposed Town spending, allocation of financial resources, and priorities as well as how they are set to carry out the policy direction of the Board. In addition to a fund format, this proposed budget is the beginning of efforts to show the allocation of the Town's resources in concert with the Town's strategic planning efforts. A "bottom -up" approach is used to solicit input from the staff Leadership Team as to their operations' needs with an approach that: • identifies costs to provide the current level of services • identifies additional cost increases needed to maintain the current level of service ■ additional resources necessary to provide new or increased levels of service. Expenditure Overview The following is an expenditure comparison by fund group showing: • estimated fund expenditures for the current year FY 07/08 • base budget for FY 08/09 without cost /inflation increases • the additional funds (amount of base cost increases) necessary for FY08 /09 to maintain the same level of service as in FY 07/08 • the proposed base budget for FY 08/09 with those cost /inflation increases • costs for new or expanded service costs for FY 08/09 • the Proposed Budget for FY 08/09 with cost increases and certain recommended new or expanded level of service costs or new major maintenance or capital improvement projects. 8 Revenue and Expenditure Fund Summary Fund Balance $ 3,076,299 $ 2,786,425 $ $ 2,786,425 $ $ 2,786,425 $ (289,874) Revenues 4,353,004 4,974,395 - 4,974,395 503,392 5,477,787 1,124,783 Expenditures 4,642,878 4,620,985 148,674 4,769,660 684,399 5,454,059 811,181 General Fund 2,786,425 3,139,835 148,674 2,991,161 181,007 2,810,153 23,728 Fund Balance 1,183,022 1,318,957 - 1,318,957 - 1,318,957 135,935 Revenues 487,525 499,000 499,000 - 499,000 11,475 Expenditures 351,590 369,790 (1,383) 368,407 967,350 1,335,757 984,167 Visitors Fund 1,318,957 1,448,166 (1,383) 1,449,549 967,350 482,200 (836,757) Fund Balance 385,938 327,039 327,039 - 327,039 (58,899) Revenues 839,275 832,176 832,176 832,176 (7,099) Expenditures 898,174 861,907 861,907 861,907 (36,267) 4B Fund 327,039 297,308 297,308 - 297,308 (29,731) Fund Balance 154,474 578,064 578,064 578,064 423,590 Revenues 841,730 839,676 - 839,676 34,115 839,676 (2,054) Expenditures 418,140 956,650 956,650 34,115 956,650 538,510 PTR Fund 578,064 461,090 461,090 - 461,090 (116,974) Fund Balance - 66,506 66,506 - 66,506 66,506 Revenues 81,763 21,550 - 21,550 - 21,550 (60,213) Expenditures 15,257 15,257 29,143 44,400 15,898 60,298 45,041 Cemetery Fund 66,506 72,799 29,143 43,656 15,898 27,758 (38,748) Fund Balance 251,826 251,826 - 251,826 - 251,826 - Revenues 210,145 - - - - (210,145) Expenditures 210,145 - - - (210,145) FM1938 Fund 251,826 251,826 - 251,826 - 251,826 280,402 Fund Balance Revenues 1,316,314 1,501,957 - 1,501,957 1,501,957 185,643 Expenditures 1,316,314 1,501,957 - 1,501,957 - 1,501,957 185,643 Debt Fund - - - - - Fund Balance 478 75,760 75,760 75,760 75,282 Revenues 233,277 630,000 630,000 630,000 396,723 Expenditures 157,995 645,000 645,000 645,000 487,005 Capital Fund 75,760 60,760 - 60,760 - 60,760 (15,000) Fund Balance (149,928) 3,367,379 3,367,379 3,367,379 3,517,306 Revenues 4,155,406 204,373 204,373 204,373 (3,951,033) Expenditures 638,100 3,969,460 3,969,460 3,969,460 3,331,360 A &S Fund 3,367,379 (397,709) (397,709) (397,709) (3,765,087) Fund Balance - - - - _ Revenues 134,500 134,500 134,500 134,500 Expenditures - - - 34,115 34,115 34,115 V &E Fund - 134,500 134,500 34,115 100,385 100,385 Fund Balance 20,000 35,000 35,000 - 35,000 15,000 Revenues 15,660 237,500 237,500 - 237,500 221,840 Expenditures 660 660 (660) - 138,500 138,500 137,840 Gen MM Fund 35,000 271,840 (660) 272,500 138,500 134,000 99,000 Fund Balance 20,000 35,000 - 35,000 - 35,000 15,000 Revenues 15,000 15,000 15,000 15,000 - Expenditures - - - - Utility MM Fund 35,000 50,000 50,000 50,000 15,000 Fund Balance 1,138,002 1,418,404 1,418,404 1,418,404 280,402 Revenues 2,033,940 2,305,832 2,305,832 2,305,832 271,892 Expenditures 1,753,538 1,949,039 79,501 2,028,539 60,469 2,089,008 335,470 Utility Fund 1,418,404 1,775,197 79,501 1,695,697 60,469 1,635,228 216,824 Revenue and Expenditure Comparison by Fund Type This summary comparison uses a similar format to the one above, but shows fund balance, revenues and expenditures by fund proposed for FY 08/09: Fund Type Governmental $ 2,786,425 $ 5,477,787 $ 5,454,059 $ 2,810,153 Special Revenue 2,542,391 2,192,402 3,214,612 1,520,181 Debt Service - _ 1,501,957 ... ......... 1,501,957 - ............. Capital ....... ....... 3 443,139 ....... 834,373 ......... ... .� ......._ 4,614,460 _. ............ (336,949) .............. ..p ... -..._. Enter rise ........ 1,418,404 ' ....... ........ ..._.._..._... 2,305,832 ......... . ......... 2,089,008 . ........ 1,635,228 ......... .... Internal Service ........... 70,000 .......... 387,000 ...... 172,615 284,385 GRAND TOTAL $7,000,000 $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 Governmental Special Debt Service Capital Enterprise Internal Revenue Service U Beginning Fund Balance W Revenues/ Transfers W Expenditures/ Transfers W Ending Fund Balance H Recommended Service Level Adjustments This table provides a summary by department and fund of the service level adjustments (SLA's) proposed for FY08 /09. Maintain Current Level $ 6,999 Payroll JWSI 1 $ 2,672 B7 One rime Costs 1 97,450 s x LEVEL Recurring costs $ - Total $ 107,121 (1,899) 6,477 66,000 15,798 86,376 (6,147) 2,213 31,700 21,615 49,381 133,339 23,379 55,000 4,800 216,518 11,753 5,894 14,850 43,217 75,714 (3,123) 1,480 - - (1,643) (1,032) 2,434 28,000 7,897 37,300 (58,004) 5,570 - - (52,434) (5,285) 2,434 8,000 5,149 19,000 - - 19,000 53,072 1,398 3,000 49,298 106,768 - - 183,823 - 183,823 148,674 53,951 487,823 142,625 833,074 1,824 3,383 - - 5,207 (43,016) 572 - (42,444) 111,308 352 49,800 161,460 (2,983) 2,301 - (682) 12,368 1,429 - 2,632 16,429 79,501 8,037 49,800 2,632 139,969 9,743 572 96,940 - 107,255 (379) 694 - 315 (10,027) 1,631 (8,396) (379) 694 315 9,659 4,137 - 2,632 16,428 (10,000) - 860,050 - 850,050 (1,383) 7,728 956,990 2,632 965,967 17,743 - 8,000 9,298 35,041 17,743 8,000 9,298 35,041 34,115 - 34,115 - 34,115 34,115 (660) 138,500 137,840 (660) 138,500 137,840 Bi SAVINGS/REVENUES increased Revenues Expense Reductions Total $472,892 $ 30,500 $ 503,392 There are two types of SLA's used in this proposed budget to track cost increases. First is an SLA that maintains the current service level. That is, it contains funding to deal with cost /inflation increases that represent new cost, but continues to provide the current level of service. The second type of SLA identified and tracks all costs (minus associated revenues) of providing a new or expanded level of service. Im Funds Projected Beginning Fund Balance 10/1/2008 Projected Revenues and Other Funding Sources Projected Expenditures and Other Funding Uses Net Net Change Projected Ending Fund Balance 9/30/2009 Percent of all Funds General $ 2,786,425 $ 5,477,787 $ 5,454,059 $ 23,728 $ 2,810,153 48% 4B Economic Development 327,039 832,176 861,907 %"A 297,308 5% Visitors Association 1,318,957 499,000 1,335,757 482,200 8% FM1938 251,826 0 0 0 251,826 4% Cemetery 66,506 21,550 60,298 % "b 27,758 0% Vehicle /Equipment 0 134,500 34,115 100,385 100,385 2% Property Tax Reduction 578,064 839,676 956,650 11 _ %A) 461,090 8% Debt Service 0 1,501,957 1,501,957 0 0 0% Capital Projects 75,760 630,000 645,000 60,760 1% Arts & Sciences Center 3,367,379 204,373 3,969,460 _ + %,7 ^ =si -7% Utility 1,418,404 2,305,832 2,089,008 216,824 1,635,228 28% Utility Major Maint 35,000 15,000 0 15,000 50,000 1% General Major Maint 35,000 237,500 138,500 99,000 134,000 2% TOTAL $ 10,260,359 $ 12,699,351 $ 17,046,711 $ (4,347,360) $ 5,912,999 100% General General Major Maint 48% 2% 12 inter _ Utility 28% Aaint i I t General Sales Tax 27% Mixed Beverage Tax 0% Hotel Tax Revenues 4% Franchise Fees 5% E Permits & Fees 13% I � I Intergovernmental 0% i Fines & Forfeits 5% i Investment Earnings i Charge for Services 1% 18% [ Misc Revenue 1% i Contributions Transfers In 1% 25% i 13 General Sales Tax 1,664,352 832,176 832,176 3,328,704 Mixed Bevera a Tax 13,300 13,300 Franchise Fees 643,780 643,780 Permits & Fees 1,616,675 1,616,675 Inter overnmental 5,865 5,865 Fines & Forfeits 650,883 650,883 Investment Earnings 54,500 28,000 7,500 15,000 35,000 140,000 Misc Revenue 74,782 21,000 21,550 9,150 126,482 Contributions - 55,000 189,373 244,373 Transfers In 753,650 134,500 1,501,957 575,000 252,500 3,217,607 Charge for services - - 2,261,682 2,261,682 Hotel Tax Revenues - - 450,000 450,000 5,477,787 832,176 1 499,000 1 21,550 134,500 839,676 1,501,957 1 630,000 204,373 2,305,832 1 252,500 1 12,699,351 i I t General Sales Tax 27% Mixed Beverage Tax 0% Hotel Tax Revenues 4% Franchise Fees 5% E Permits & Fees 13% I � I Intergovernmental 0% i Fines & Forfeits 5% i Investment Earnings i Charge for Services 1% 18% [ Misc Revenue 1% i Contributions Transfers In 1% 25% i 13 NOTE 1: Total Expenditures including transfers out appear excessive when the use of fund balance is included in the total. See Transfers In from Fund Balance above for the total amount of fund balance that is being used related to capital projects and debt service - Total net amount = $12,644,122 Transfers Out 19% IFA /Debt i 10% Payroll /Salaries 1,522,671 - 93,489 5,831 - - - - - - 167,636 1,789,627 10% Payroll Related 492,078 - 28,371 2,067 - - - - - - 45,986 568,502 3% Supplies 207,943 - 20,850 16,000 - - - - - - 9,400 254,193 1% Services 1,649,816 - 265,660 16,400 - - - - - - 1,168,134 3,100,010 18% Insurance 32,110 - - - - - - - - - 6,526 38,636 0% Maintenance 199,470 - - 12,000 - - - - - - 82,500 293,970 2% Rent & Utilities 254,626 - 34,137 - - - - - - - 106,039 394,802 2% ED Incentives 500,211 - - - - - - - - - 500,211 3% Capital Outlay 148,134 - 3,200 8,000 - - - - 34,115 - 50,300 243,749 1% Capital Projects - - - - - - 645,000 3,969,460 - 138,500 173,501 4,926,461 29% Transfers Out 447,000 861,907 890,050 - 956,650 - - - - - 62,000 3,217,607 19% IFA /Debt - - - - - 1,501,957 - - - - 216,986 1,718,943 10% FUND TOTAL 5,454,059 861,907 1,335,757 60,298 956,650 1,501,957 645,000 3,969,460 34,115 138,500 2,089,008 17,046,711 100% T/I Fund Bal 29,731 836,757 38,748 116,974 13,000 3,367,379 4,402,589 Net of T/I 5,454,059 832,176 499,000 21,550 839,676 1,501,957 632,000 602,081 34,115 138,500 2,089,008 12,644,122 NOTE 1: Total Expenditures including transfers out appear excessive when the use of fund balance is included in the total. See Transfers In from Fund Balance above for the total amount of fund balance that is being used related to capital projects and debt service - Total net amount = $12,644,122 14 Transfers Out 19% IFA /Debt i 10% Capital Projects 29% Payroll /Salaries I 11% I Payroll Related 3% Supplies i Capital Outlay-------- 2% 1% Services ED Incentives Rent & Utilities Insurance 18% 3% 2% 0% Maintenance 2% 14 It should be noted that funding from the General Fund and the Utility Fund is proposed to be transferred to the Vehicle & Equipment Replacement Fund and the Major Maintenance Fund to begin to deal with future major building maintenance costs as well as equipment /vehicle replacement needs. General Fund monies proposed to be transferred are one -time revenues (i.e. — not reoccurring). This comparison is also shown in table form as follows: General Fund transfer out to Capital Projects Fund $ 75,000 transfer out to Gen Major Maintenance Fund $ 237,500 transfer out to Vehicle & Equipment Rep. Fund $ 134,500 �. �. �.. ,C'6 00 . transfer in from Property Tax Fund $ 706,650 '; 30 . transfer in from Utility Fund $ 47,000 4B Fund I transfer out to I Debt Service Fund . ,.. a ...v� PTR Fund transfer out to I Capital Projects Fund Utility Fund transfer out to Utility Major Maintenance Fund $ 861,907 86"11"01017 $ 250,000 2501606, $ 15,000 Visitors transfer out to Debt Service Fund $ 640,050 Association Fund transfer out to Capital Projects Fund $ 250,000 15 Staffing Levels /Salary & Wage Associated Costs Staffing in FY 08 -09 is proposed to remain the same in all departments with the exception of the following additions: Department Position Addition Town Secretary New administrative clerk .50 Municipal Court New court clerk 1.00 Planning & Zoning New administrative clerk .33 Human Resources New administrative clerk .33 Maintenance /Facilities New administrative clerk .17 Parks /Recreation New administrative clerk .17 Total Proposed New Positions FY 08 -09 2.50 Salary costs have been budgeted at an overall, average 7% market increase to move municipal employees closer to market in pay. However, the percentage of market movement will vary by position depending on where the position falls within the pay market. A total of $69,716 has been budgeted for market pay adjustments. Additionally, a total of $30,000 is set aside in the General Fund for performance (merit) pay adjustments to be administered based on performance evaluation. Anticipated cost increases have been budgeted at a 15% increase for employee health insurance. A detailed listing of all positions by department is located in the appendix. Fiscal Year 2008/2009 General Fund. Departmental Summaries The General Fund, as the name indicates, funds many of the Town's general municipal services. As such, it is the Town's primary fund with a variety of funding sources which finance many primary services. Half of the Town's sales tax, all development and permit fees, franchise fees, citation revenue, and miscellaneous other revenues support this fund. The Town's one -half cent sales tax that supports the General Fund has not performed in the current fiscal year according to original projections and thus, the estimate for this revenue is lower in FY 08/09. For that reason it is proposed to transfer $706,650 of funding from the Property Tax Reduction Fund sales tax to off -set the under - performance of the regular half cent municipal sales tax so as to cover operating expenses in FY 08/09. The General Fund is responsible for all administrative expenditures, including non - enterprise and non - Visitor Association personnel. Expenditures out of the General Fund also include building and code compliance, municipal court, emergency services, public works, facilities maintenance (including Westlake Academy), parks and recreation, consulting, finance, and human resources. For the FY 08/09 Proposed Budget, the following is a summary description of major areas of emphasis or service level adjustments by department: ❖ Administrative (Dept 11) This department provides executive management leadership in terms of coordination and leadership of the Town's operations. Major areas of emphasis and /or service level adjustments for FY08 /09 for this department are proposed to include: • Creation of overall Town strategic plan with complimentary Academy strategic plan limited to outcome measures • Improving the Town's capital improvement budgeting process • Develop programmatic budget tied to strategic plan • Improve citizen outreach and communication ❖ Planning and Zoning (Dept 12) The Building /Code Compliance Department focuses on all aspects of planning, development review, inspection, and administration of the Town's building and development codes. In FY 08/09 this department will include areas of focus and service delivery that includes: • Updating the Town's entire comprehensive plan including land use, thorough fare plan, open space, water /sewer, and streetscape master plans • Adopt 2006 Building Codes ❖ Town Secretary (Dept 13) The Town Secretary's Office maintains all official Town records, conducts Town elections; attends the Board of Aldermen, Board of Trustee, the Texas Student Housing Authority, and numerous Town advisory boards. Major initiatives and service level adjustments for this department in FY 08/09 are proposed to include: 17 • Continued implementation of paperless packets for Board and extending this to Planning and Zoning packets • Conduct a records inventory for the Town Secretary office and create a records control system • Shared additional staff support funded on a 50/50 basis with Texas Student Housing Authority (TSHA) to address Town Secretary office and TSHA increasing workload ❖ Fire /Emergency Services (Dept 14) This department contains programs and costs related to meeting the Town's fire, police, and emergency medical services needs. FY 08/09 provides the following highlights for this department: • Purchase of cab and chassis for grass fire truck pump along with other necessary equipment for this vehicle • Continued enhancement of public education /prevention programs to extend to all family members • The contract with Keller for police, dispatch, jail and animal control services is proposed to increase by 5.2% from $720,900 to $767,618 in FY 08 -09 (there was no increase in FY 07 -08 due to Southlake being added to dispatch /jail operations in Keller). ❖ Municipal Court (Dept 15) This department provides the Town with professional legal adjudication services in an integral manner for Town residents and those using the Court's services, all done with a high level of customer service. In FY 08/09 the department will: • Add a self- funded court clerk position to implement /monitor fine payment plans • Construct court lobby security upgrades • Equip warrant officer's vehicle with a mobile data terminal (MDT) to enhance warrant service operations ❖ Public Works (Dept 16) The Public Works Department oversees planning and maintenance of the Town's infrastructure including its street system, drainage ways, traffic operations, duct bank, solid waste collections, and water and sewer utility. Additionally, this department is responsible for oversight of major maintenance projects and capital projects for these areas of the Town's infrastructure. In FY 08/09 new areas of focus for this department include: • Completing N -1 sewer line transfer to the Trinity River Authority • Continuing solid waste collection initiatives that focus on recycling and improved efficiencies • Overseeing capital improvement projects relating to FM 1938, its streetscape, as well as the Stagecoach Hills paving and drainage improvement project ❖ Facilities /Maintenance (Dept 17) Facilities Maintenance is responsible for oversight of all planning and management related to maintaining the Town's buildings and physical plant. This responsibility includes oversight of the maintenance of the Town's $18 million Westlake Academy civic complex. This department in FY 08/09 will: • Management of Westlake Academy Arts & Sciences Center capital improvement project 18 • Facilities Plan to be developed to guide funding of general major maintenance fund • Support planning efforts on updating the Town's comprehensive plan •'• Finance (Dept 18) • Finance Department provides services that include accounts payable /receivable, utility billing, permitting, and records management for the Town, Westlake Academy and Westlake Academy Foundation. In FY 08/09, this department will: • For the second year, pursue and receive the Government Finance Officers Association Distinguished Budget Presentation Award • Receive an unqualified audit opinion • Submit FY 08 -09 Comprehensive Annual Financial Report (CAFR) for GFOA recognition • Continue to provide financial management support to Westlake Academy operations ❖ Parks and Recreation (Dept 19) The Parks & Recreation Department is responsible for maintaining and managing the Town's trail system, parks, parks planning, and special events. This department will pursue the following areas of focus in FY 08/09: • Support updating of comprehensive plan as it relates to parks, open space and trails. • Implementation of the Terra Bella open space /trail system • Guide creation and implementation of cemetery master plan ❖ Information Technology (Dept 20) The Department of Information Technology has as its central focus support of all the Town's municipal information technology systems including software and hardware. This includes overseeing software and hardware contracts for third party vendors as well as planning for IT functions, their hardware replacement needs, and software /security support. During FY 08/09 this Department will pursue: • Improve use of existing Town staff via out - sourcing of IT management and support services to a third -party vendor • Continued emphasis on use of IT to improve delivery of Town services • Develop a 5 year technology plan ❖ Human Resources /Administrative Services (Dept 21) The HR /Administrative Services Department is a new department in the FY 08/09 budget, as it was formerly integrated within the Finance Department. This department provides services to external customers as well as internal operations of the Town of Westlake and Westlake Academy. These services include all HR functions, Payroll, Benefit Administration and Risk Management. In FY 08/09 recommended service level adjustments for this department include: • Complete a comprehensive compensation plan based on the organizations vision, mission and values • Improve integration of Westlake Academy human resources operations to Town. • Additional staff support position shared with Planning and Zoning and Parks /Facilities Departments. IL Fiscal Year 2008/2009 Fund Summaries utility Fund The Utility Fund is responsible for all water, sewer, and telecommunications duct bank service in the Town. The water and sewer services have become more efficient with the inclusion of the Town's SCADA system and pressure release valves. The Town continues to use these new technologies to control inflows into our storage facilities and minimize the annual peak payment charges to the City of Fort Worth. In FY 08/09 it is planned to have a solid waste cost center in this fund to charge the solid waste collection fees the Town began collecting recently for its residential solid waste collection franchisee. Capital projects funded by the Utility Fund are described in the capital improvements portion of this overview. The revenues for this fund were estimated based upon a proposed water and sewer rate increase that was reviewed recently with the Board of Aldermen and is proposed to go into effect in January 2009. The purpose of this proposed rate increase is to fully recover all system costs as well as provide for capital improvements and maintenance of our water and sewer utility. Visitors Association Fund The Visitor's Association Fund was established in late FY 1999/2000 and collects a 7% hotel occupancy tax from the Marriott Solana and any future Westlake hotels. FY 2004/2005 saw the launch of a new program in partnership with the Marriott to operate a shuttle service to deliver and return Marriott visitors to DFW Airport. In FY 08/09 it is proposed to utilize monies in this fund for a variety of uses in accordance with statutory parameters including additional marketing to grow group business for the Marriott as well as fund a phase of the FM 1938 Way Finding /Streetscape Project. There are also funds proposed to be used for marketing and communication efforts of the Town. It is also proposed in FY 08/09 to utilize monies from this fund to pay for debt service expenses for bonds issued to construct Westlake Academy. Property Tax Reduction Fund The Westlake Property Tax Reduction (PTR) Fund will continue to receive its funding from a % cent sales tax levy that was formerly earmarked for the 4A Economic Development Corporation. The purpose of this fund is to reduce local property tax rates throughout Texas by providing cities with an additional unrestricted revenue source. In Westlake's case, this fund will mitigate economic pressure to adopt a local property tax. These funds may be used for general Town expenditures and in FY 08/09 it is proposed to use these funds to fund some of the cost of updating the Town's comprehensive plan as well as General Fund operations. In FY 08/09 it is proposed not to use any of these PTR funds for debt service (as had been the practice in FY 07/08), and instead, fund those debt service costs from the Visitors Association Fund. 20 4B Economic Development Fund The 4B Economic Development Fund collects a % cent sales tax to be used for qualified development projects. The 4B Fund has been committed to the repayment of the debt incurred -for the Town's Civic Campus project. Cemetery Fund The Cemetery program includes all operations associated with the 5.5 acre cemetery located on J.T. Ottinger Road. This includes interment, lot sales, record keeping, and all maintenance associated with the grounds, fence tree and flower beds. Focus for this fund in FY 08 -09 will include surveying, implementation of the cemetery master plan, as well as commencement of lot sales. FM1938 Fund This is a Texas Department of Transportation project which staff felt justified setting up a separate fund to track pass- through expenditures and contributions from other cities associated with this project. Debt Service Fund The Debt Service Fund was created to clearly illustrate the Town's debt service picture. The Town's debt obligations are consolidated into one fund with payments being transferred from 4B Economic Development Fund and the Visitors Association Fund for the payment of our two issues of certificates of obligation and the bond refunding in relation to the construction of the Civic Campus as well as issuance of $2.5 million in G.O. Bonds issued in FY 07 -08. Future CO's and General Obligation debt issuances will be paid from this fund. Capital Projects Fund This fund tracks the infrastructure and building projects funded with general fund operating transfers, intergovernmental revenue, bond funds and other special fund sources. Capital projects are those projects over $25,000 that may extend over one fiscal year to complete and reflect multiple expense categories such as engineering, design and construction. All capital projects illustrate not only the expenditure and revenue sources, but ongoing operations impact. Arts and Sciences Center Fund While this is a capital project, staff recommends tracking it in its own fund due to the number and complexity of the funding sources. 21 Vehicle & Equipment Fund The Vehicle and Equipment Fund (V &E) was created to provide a mechanism for long term repair and replacement of vehicles and large major equipment. The V &E Fund receives planned portions of revenues from the General Fund to set aside for future vehicle and equipment repairs and replacement. This helps to avoid future funding shortfalls and forces a more conservative pattern of spending in light of uncertain future revenues. General Maior Maintenance Fund The General Major Maintenance Fund (General MMF) was created to provide a mechanism for long term repair and replacement of large capital assets such as HVAC, walls floors and ceilings, plumbing, electric, roadways, etc. The PCMF receives planned portions of revenues from each operating fund that owns and maintains capital assets to set aside for future capital repair and replacement. This helps to avoid future bond programs and forces a more conservative pattern of spending in light of uncertain future revenues. Utility Maior Maintenance Fund The Utility Major Maintenance Fund (Utility MMF) was created to provide a mechanism for long term repair and replacement of large capital assets such as pump stations, lift stations, elevated and ground storage facilities, etc. The Utility PCMF receives planned portions of revenues from the Utility Fund to set aside for future capital repair and replacement. This helps to avoid future bond programs and forces a more conservative pattern of spending in light of uncertain future revenues. 22 Capital Improvements and Maior Maintenance Projects In FY 08 -09, the following capital improvement projects and major maintenance projects are proposed for funding: Capital Proiects Fund 410 • Water Well for Civic Campus - $45,000 An alternate water source is going to be needed with the additional soccer field, performing arts and science civic center and west parking lot landscaping. The well will be located on the west side of the pond and does not require a tank or pressure pumps. • Dove Road Bridge Expansion (Higgins Branch) - $60,000 This project will provide for extension of existing box culverts in preparation for any future expansion of Dove Road in accordance with the Town's thoroughfare plan. This would also include clean -up work in accordance with the 2006 TxDot Bridge Report. This project anticipates 50% escrow from neighboring property owner. • Stagecoach Hills Reconstruction - $250,000 This project will provide stabilization of road sub grade and 2" of HMAC to the approximate 4,500 linear feet of pavement in Stagecoach Hills subdivision and improve drainage. • FM 1938 Streetscape /Way Finder - $250,000 This project will allow, on a phased basis, implementation of streetscape elements along this major north /south corridor from SH 114 south to Randol Mill Road. Streetscape improvements could include plantings, street trees, street furniture, sidewalk and pavement decorative markings, as well as street lighting. • Deloitte Trail Project - $25,000 Connect the trail from the Deloitte project to Vaquero current trails. $1.5M will be provided by Hillwood for Dove road improvements. • Glenwyck Trail Extension - $15,000 Connect the Glenwyck Farms current trail to the Terra Bella development to the east. Funds are being held in escrow. Arts and Science Center Fund 411 • Westlake Performing Arts & Science Civic Center - $3,958,110 Construct Phase 1 of this project to include the Science Building and the foundation for the Arts portion of this facility. Utility Fund 500 • Water Meter Automation - $27,000 Plans are to conclude Mahotea Boone pilot program and investigate other alternatives for remaining portion of Town. 23 • TRA Assumption of N1 Sewer Line - $146,501 Assumption of the N -1 sewer line will require the design and construction of a metering station with SCADA equipment at the proposed Town of Westlake "Point of Entry ". This project also includes video inspection, excavation to expose lines for inspection, as well as manhole and sewer main repair work. General Maior Maintenance Fund 600 • Westlake Academy - Pod B HVAC System Replacement - $7,000 The roof top unit on Pod B may need a new compressor. The unit has to be reset about every four to six weeks. Due to the location, a small crane will be needed to get the new compressor on the roof at Westlake Academy Campus • Westlake Academy - 15 Ton Split HVAC System Replacement - $9,000 Replacement of compressors and /or coils for one of the five 15 ton units at Westlake Academy campus • Westlake Academy - Remodel /Expand Dining Hall - $36,000 To expand the Dining Room into the classroom across the hall in Pod G of the Academy and to purchase additional chairs and tables. Additionally, small amount of remodeling of service area which would include a new check -out desk. • Westlake Academy - Remodel Office Space - $5,000 Create two offices out of one current office space at the academy. • Remodel Court Room and Town Office Space - $81,500 Install a 6 inch wooden raised floor to accommodate the Board of Alderman trustees, Planning and Zoning Board, Texas Student Housing Board and judge seats. Upgrade recording and audio video system. Remodel current town office space to accommodate the addition of staff. 24 Town of Westlake Item # 8 — Future Agenda Items 8. FUTURE AGENDA ITEMS: Any Board member may request at a workshop and / or Board meeting, under "Future Agenda Item Requests ", an agenda item for a future Board meeting. The Board member making the request will contact the Town Manager with the requested item and the Town Manager will list it on the agenda. At the meeting, the requesting Board member will explain the item, the need for Board discussion of the item, the item's relationship to the Board's strategic priorities, and the amount of estimated staff time necessary to prepare for Board discussion. If the requesting Board member receives a second, the Town Manager will place the item on the Board agenda calendar allowing for adequate time for staff preparation on the agenda item. - None Agenda Items Sept. 22'08 Deadline to submit items for agenda(s) is September 11, 2008 Aldermen Meeting Date Dept. Item Description Status 7/29/2008 Troy Award BID for A &S Center 8/14/2008 EE Gas Drilling and pipeline ordinance workshop 8/28/2008 TM Building Use Policy Adoption 9/3/2008 Tom Keller PD contract 9/3/2008 KS Consider appt of interim president for TSHA 9/3/2008 KS Public Art Society Appointments 9/3/2008 KS Consider approving consultant agreement for scholarship consultant for TSHA .... ........... Mtg or Wrkshp Reg. Mtg Wrkshp Reg. Mtg Reg. Mtg Reg. Mtg Reg. Mtg Reg. Mtg Discussed at 9/8 wkshp Agenda Items Oct. 6'08 Deadline to submit items for agenda(s) is September 25, 2008 Aldermen Meeting Date Dept. 8/14/2008 EE 8/14/2008 EE 8/18/2008 JG 8/28/2008 Comm 8/28/2008 Comm 8/28/2008 Comm Item Description Gas drilling and pipeline ordinance presentation Deloitte SP, PP, and FP Utility Rate Increase Dev. PD 3 -3 amendment Dev. SUP Water well 2600 J T Ottinger Dev. SUP Water well 1502 Will's Court Status Mtg or Wrkshp Reg. Mtg Reg. Mtg Reg. Mtg Reg. Mtg (P &Z Sept. 25) Regl Mtg, (P &Z Sept. 25) Reg. Mtg (P &Z Sept. 25) Trustees Meeting Date Dept. Item Description Status Mtg; or Wrkshp Agenda Items Oct. 27'08 Deadline to submit items for agenda(s) is Oct. 16, 2008 Aldermen Meeting Date Dept. Item Description Status Mtg or Wrkshp 8/15/2008 EE Bldg Code and amendments Reg. Mtg Agenda Items Nov. 10'08 Deadline to submit items for agenda(s) is Oct. 30, 2008 Aldermen Meeting Date Dept. Item Description Status Mtg or Wrkshp 8/14/2008 ee zoning amendment for gas drilling and pipeline ordinance Reg. Mtg Trustees Meeting Date Dept. Item Description Status Mtg or Wrksh,p P &Z on October 23 per EE Agenda Items Dec. 8'08 Deadline to submit items for agenda(s) is Nov. 25, 2008 Aldermen Meeting Date Dept. Item Description Status Mtg or Wrkshp Trustees Meeting Rate Dept. Item Description Status Mtg or Wrkshp Agenda Items FUTURE ITEMS This worksheet should include items that require discussion by the Board, but have not been scheduled for a specific meeting date Date Dept. Item Description Mtg or,"Op Generated by { Date 5/1212008 School Exit Interviews Board 5/13/2008 Draft Policy for naming all Town facilities for the Board's consideration Wrkshp Staff 5/23/2008 Community Developmerr Update on status of work on proposed oil & gas drilling /pipeline ordinance Wrkshp Wokrshop 9/22 Board /staff Wrkshp Workshop 9/8 5/23/2008 Facilities Building Use Policy Approval 9/22 Staff 5/23/2008 Facilities Discuss Comprehensive Plan and Plan Elements Wrkshp Staff 5/23/2008 Public Works Southlake Waterline Proposal Wrkshp Staff 5/30/2008 Facilities Cemetery Rules & Reg. Wrkshp 28- Jul -08 Staff 5/30/2008 Facilities Water Well Reg. Mtg Mtg 10/6 Staff 7/15/2008 Town Manager PAC, WAF, WHSP (Bylaws to comport with PAC) Reg. Mtg Staff 7/29/2008 Facilities Create Park and Rec Advisory Board Wrkshp Staff Town of Westlake Item # 9 — Board Calendar 9. BOARD CALENDAR. - Joint Regional Meeting with Roanoke, Trophy Club, and Northwest ISD o Wednesday, 9/10/08, 6:30 p.m., Roanoke City Hall - Westlake Academy Strategic Planning Retreat ■ 9/12 & 9/13/08, Embassy Suites, Grapevine - Special Board of Aldermen Meeting o 9/15/08, Tentative - Texas Student Housing Authority Meeting o Tuesday, 9/16/08, 5:30 p.m. - TML Region VIII Quarterly Meeting o Thursday, 9/18, 6:30 p.m., Brookside Convention Center, Hurst, TX - Joint Board of Aldermen /Planning & Zoning Commission land use /zoning training o Monday, 9/29/08,6-8 p.m., Town Hall offices, Court Room - Arbor Day Celebration o Saturday, 10/11, Glen Wyck Farms park area, Time TBA - Texas Municipal League Annual Conference and Exhibition o 10/28 — 10/31/08, San Antonio, Texas - Christmas Tree Lighting o Tuesday, 12/2/08, 6:30 p.m. Town of Westlake Item # 10 — Adjournment Back up material has not been provided for this item.