Richardson City Council Meeting April 22nd, 2024
OPENING
Six of the seven councilmembers are present as well as City Manager Don Magner and City Secretary Aimee Nemer. Councilwoman Justice is absent.
Councilman Barrios leads a prayer and the pledges of allegiance.
Minutes of previous meetings are approved unanimously.
One written public comment is received, submitted by me, regarding the adoption of the Water Conservation Plan. More on that when we get to the consent agenda. I want to thank Secretary Nemer for helping me get this comment before Council. When I attempted to submit my written comment, the city and I both learned that the newly updated system omitted the box to write your actual comment. Secretary Nemer has assured me that this will be fixed promptly so that citizens can still submit their comments. If you ever have trouble submitting comments, please contact her office. Three speakers are present. Their brains don’t seem to be with them, and I refuse to elaborate on their comments here.
The first presentation is a proclamation recognizing Arbor Day. City Manager Don Magner explains that this proclamation is one of the requirements for seeking a Tree City USA designation. Mayor Dubey reads the proclamation recognizing the importance of trees to our city. Don states that the city’s Tree Ordinance should be ready for adoption in the next few weeks before applying for the Tree City USA designation.
2024 BOND SALE
Next is a presentation on the 2024 GO and CO Bonds Sale. The ordinances detailing these sales can be found beginning on page 48 of the agenda packet. Nick Bulaich with Hilltop Securities presents. Nick reports that nearly $63M was sold in General Obligation (voter-approved) bonds. Nearly $20M in Certificates of Obligation were also sold. Over 30 investors participated in the sale. General Obligation bonds sold at 3.86% while the Certificates of Obligation sold at 3.81%. Nick also announces that the city’s AAA bond ratings from both Moody’s and S&P were affirmed. Richardson is one of only eleven cities in the state with AAA ratings from both agencies. Nick also explains that these are 20-year General Obligation bonds. Today’s (Sat. April 27) 20-year AAA municipal bond yield appears to be 3.5%. Council asks no questions on the bond sale.
PUBLIC HEARING – CORAM DEO ACADEMY
Next is a public hearing on ZF 24-02, a special permit request for a private school within a church building at 1301 Abrams Rd., Coram Deo Academy. This request was also discussed at the March 19th CPC meeting. Staff presents a background of the request. Councilman Hutchenrider asks about the parking and traffic management plans. Councilman Corcoran asks about the future land use plans for the surrounding area. Staff answers that this isn’t part of a study area, and they don’t foresee drastic zoning changes for the surrounding area. Councilman Corcoran also asks if this school would pay property taxes. Staff confirms that they would not. Mayor Pro Tem Shamsul expresses his opinion that this area might be better served by traditional retail uses. Mayor Dubey expresses his hesitance to support this request. He also thinks the area would be better served by traditional retail and restaurants. He also expresses concerns about how this will impact Richardson ISD’s enrollment and associated funding. Mayor Dubey, Councilman Corcoran, and Councilman Dorian express concerns about the future land use of the area if they approve this.
The applicant steps to the podium and presents their plans. Councilman Hutchenrider takes issue with the applicant presenting plans contrary to the questions that were answered earlier. In this case, the discrepancies are allowing left turns out of the site and hosting sporting events after hours with concessions being sold. Councilman Barrios asks how many of the current enrollment includes Richardson residents. The applicant answers that approx. 1/3rd of enrollment are Richardson residents. Councilman Barrios compliments the reputation of the academy. Councilman Corcoran asks why they chose this location. The applicant explains that this location would allow ideal enrollment numbers and opportunities for growth. No other speakers are present for this request.
Councilman Hutchenrider explains that he has too many concerns to approve this request. He does not see this as the highest and best use for the property. He is prepared to offer a motion to deny. Councilman Barrios thinks this is a good use for the property and expresses his intent to vote in favor of the request. Mayor Dubey states that approving this sends the wrong message to Richardson ISD. He references average daily attendance funding and RISD’s struggle with having to cut budgets and close facilities. The threat to RISD is his biggest reason for opposing. Councilman Dorian agrees with Mayor Dubey, though he also expresses concern about land use and future redevelopment potential. Mayor Pro Tem Shamsul cites land use and future development as his reasons for opposing the request. He wants to wait to see better uses for the area. Councilman Barrios asks if the item can be continued. Mayor Dubey is against continuing the item. Councilman Corcoran also cites land use as his reason for opposing the request. Council denies the request 5-1 with only Councilman Barrios in favor of the request.
CONSENT AGENDA & WATER CONSERVATION PLAN
The consent agenda is approved unanimously. It includes approving the $26,500 in arts grants presented last week. It also includes an ordinance codifying the approval of ZF 24-01 for Lockwood Distillery’s bottling facility. A pair of ordinances authorizing the sale of General Obligation Bonds and Certificates of Obligation is also included. A third ordinance grants the appropriate rights of way for Atmos to build their gas distribution system. The final ordinance adopts the Water Conservation Plan. Five bids are also awarded: $1.86M to Icos Management LLC for sidewalk replacement, a $60K annual requirements contract to BWI Companies Inc. for weed and bug killer, $1.15M to Weaver Technologies LLC for server equipment, another $600K to Weaver Technologies LLC for data storage hardware and software, and $77K to Sigma Surveillance Inc. for camera equipment for the courthouse.
Here is a very brief summary of the Water Conservation Plan. In this agenda packet, the plan starts on page 149. Five- and ten-year goals for water use are included on page 162. I am still confused how we increase use by 19% until 2029 and then suddenly decrease our use by 3% from 2030-2034. That’s a reduction of 22% over five years. I don’t know what conditions are projected to cause that. Since this is a per capita number, maybe they are expecting that much of an increase in the population by then? Section 5, on page 164, requires wholesale customers to develop and implement their own water conservation plan. I’m not clear on whether this is a new requirement or a continued requirement. I’m curious who falls under the definition of “wholesale customer” and if these plans are public information filed with the city. It would be interesting to see how some of the water-intensive industries are planning to conserve water.
Page 166 has the tiered rates. An $8 minimum charge is assessed to all customers. There are five increasing rate tiers based on how many thousands of gallons are used monthly. The rates are per thousand gallons: $7.12 for 1K – 11K gallons, $7.70 for 11K – 20K gallons, $8.03 for 20K – 40K gallons, $9.34 for 40K – 60K gallons, and $9.77 for 60K+. What’s interesting to me is that these rates are not evenly spaced. The second tier’s rate is an 8% increase over the first. The third tier is a 4% increase over the second. The fourth is a 16% increase over the third, and the fifth is a 4% increase over the fourth. Maybe I’m the only one who is curious about the methodology behind this.
The final portion that stands out to me is section 8.03B. Though at least one councilmember asked for consideration of xeriscaping incentives, those have not made it into this plan. Page 169 includes three links to resources on water-efficient landscape initiatives, and that’s it. I was hoping to see some Richardson-specific requirements or recommendations, however, the same four recommendations from NTMWD are still included with no additions. I will be following up with the city to try and get answers to some of the questions I have. If you have any questions, the point of contact for this plan is Utility System Supt. Bradley Due. His office can be reached at 972-744-4416 or at Bradley.Due@cor.gov .
CLOSING
Council discusses a Richardson Rotary event, a Neighborhood Leadership Workshop, and traffic, and Council convenes into executive session to consult with the city attorney regarding a 2015 economic development agreement (EDA) for JP-KBS Holdings, LLC, and to discuss economic development negotiations for a commercial development in the E. Arapaho/N. Greenville area. As you know by now, the first executive session item is the EDA associated with the now-imprisoned former mayor, the Palisades agreement.
Council returns a little over an hour later to unanimously approve notifying JP-KBS Holdings that this EDA is considered void and the city intends to make no payments on this agreement. Meeting adjourned.