MINUTES REGULAR CALLED MEETING HEATH CITY COUNCIL TUESDAY, DECEMBER 12, 2023 at 6:30 PM  ATTENDING: KELSON ELAM, MAYOR  PAUL RUFFO, MAYOR: PROTEM RICH KRAUSE BRENTWEAVER SHARON CALDWELL JIM CHESTER DONNA ROLATER  ABSENT:  Mayor Kelson Elam called to order the Regular meeting at 6:30 p.m. Councilman Richard Krause  delivered the Invocation and led the Pledge of Allegiance.  2. Public Comment  Roy Stacy, 2321 Woodmont Circle - adjacent property owner at 1409Laurence Drive, stated that his concerns were the drainage problems coming from Fulton Academy and the additional David Larsen, 620 Sorita Circle - was present along with some neighbors from Darr Estates to show their unified support regarding the horrific fire ini their neighborhood in October. Larsen stated that the community needed a better understanding of what happened and what the plans  parking and traffic problems that will come from the new buildings.  are to rectify the problem with the fire meters.  3. Consent Agenda  3.a Action Regarding the Minutes of the November 8, 2023 Special Meeting and  November 14, 2023 Regular Meeting.  MOTION: APPROVE CONSENT AGENDA: REGARDING MINUTES.  MOTION MADE: SECONDED: APPROVED: ABSENT:  WEAVER RUFFO  PASSED UNANIMOUSLY BYTHOSE PRESENT CALDWELL, CHESTER, ROLATER  4-Apresentation Regarding the Engineering Study for. Alternate Water Source.  Larryl Freeman, Freeman-Millican, Inc., Cityl Engineers, provided aj presentation regarding the City ofHeath'sA Alternate Water Source Study. Freeman provided background and stated thatin an effort top promote water conservation ini the City, Heath has implemented year around water conservation by assigning days to water for each address in the City and has implemented a development moratorium to restrict new developments while the City staff and City Council update ordinances related to water usage including landscaping and other water conservation measures that can be identified as useful tools to reduce overall water demand. On September 12, 2023, the City hired Freeman-Millican, Inc. to contact and meet with any potential water providers in the vicinity of Heath and to report back on December 12th with an update and findings. The scope oft the study included meeting with providers oftreated and untreated water.. Atan minimum, the scopeincluded meeting with available providers in the NTMWD: system and the City of Dallas. City Engineers met with RCH, WSC, the City of Rockwall, NTMWD and the City of Dallas. The project goals and objectives are toj provide domestic water needed fori the ultimate buildout ofl Heath, preserve use of ourl Rockwall: investment in infrastructure, provide redundancyin delivery: facilities for water toi the City and to investigate availability of untreated water for use in irrigation. Freeman summarized thej preliminaryi findings bys stating that before we can fully evaluate thel best provider for Heath, we are awaiting a draft contract from NTMWD and their water model results for the Hwy 80 corridor. Wee expect toi receive thesei in latel December. Based onj proximity to Heath, thel NTMWD connection  City Council Minutes - December 12, 2023  Page 1 of11    near FM 460 and US Hwy 80 will be the most economical construction and will allow a remote pump station to serve the City from the south in a similar manner to the Rockwall location to the north. Because oft the added distance to connect to the Lake Tawakoni or City of] Dallas locations, it isu unlikely the Dallas or RCH options will bei the most economical solution for the City. The City of Dallas would be a source of untreated Lake Ray Hubbard water for a dedicated irrigation system for high water users such as city parks, golf courses, and schools. In order to do this a separate water pumping and delivery system would be needed. Itwould be constructed with purple colored PVC pipe which is used for non-potable water systems. In this manner, the pipe is not accidently connected to for drinking water purposes. Depending on the demand for this type system, a new 4, 6, or 8-inch water line would be built from new pumping facilities along the lake to delivery points along the route. At those points, storage and pumping facilities would be needed to operate the irrigation system. It is unclear at this time how much impact this will have to reduce the maximum day demand in summer, but it will definitely reduce the total amount of treated water needed for the City. The next steps will be once we receive the additional information from NTMWD, we can fully evaluate each of the proposed options and make a recommendation for consideration by the City Council. IfNTMWD provides the remaining information in December, we believe we can wrap up the report with recommendations for city council consideration at the January 23, 2024 meeting. Councilman Weaver clarified that it is not possible to get dual sources of treated water from different suppliers. Keeping the NTMWD connection through the City of Rockwall and a getting as second provider, such ast the cityofDallas, that is: not supplied byl NTMWD is not allowed because neither water supplier would allow you to mix their water with the other supplier's water in either system because of the risk of cross-contamination, etc. Therefore, the Cityisboundt to onej potable water supplier and additional connections and sources must ultimately be provided by that same supplier. Another possible solution would be to develop our own treatment plant to treat water from Lake Ray Hubbard to supply the entire city, but we do not yet know the cost of this in comparison to building a pipeline to Forney. These are a few of the  dynamics that we. hope to see: ini the study.  4.b Discussion and Action Regarding CIP Fire Hydrant Priority Timeline & Funding. City Engineer Richard Dormier, stated that the original study was done in 2018 and today's list includes the remaining projects. The list is a Fire Flow Capital Improvements Plan that ranks the projects, includes the number ofl lots that the improvements would impact, range off fire flow based on Model GPM and the cost in 2018 VS 2023. The recommended budget is $11,500 that includes a 25%inflation: factor(4-5% pers year). Thei ultimate goal is toj provide ai minimum 1,500 GPM: firei flow to alll lots. This list includes Darr Estates, Candelite Park, Twin View, Myers Road, Sunny Estates & Halford, Las Lomas Loop, K&K Subdivision, Moraine, Hilltop Estates, Kyser Springs Road and Dwyer Court & Serenity Lane. Staff recommends acknowledgement of this list and recommends approval tol begin with Darr Estates this fiscal year. The Mayor clarified that this year, we can begin with Darr Estates and look at thel list every year to determine which project would be next. MOTION: APPROVE THE STAFF RECOMMENDED FIRE HYDRANT PROPERITY LISTFORTHE: FIRE FLOW CAPITAL: IMPROVEMENT PLANAS. PRESENTED.  MOTION MADE: SECONDED: APPROVED: ABSENT:  WEAVER RUFFO  PASSED UNANIMOUSLY BY' THOSE PRESENT CALDWELL, CHESTER, ROLATER  4.c Case No. ZA-2023-04R: Conduct a Publicl Hearing, consider, and act on an application to change the zoning on 2.463 acres of] land from Towne Center Overlay District with a base zoning classification of Local retail (LR) District to a Planned Development (PD) for Towne Center Overlay District, with specific uses being excluded, for "bank office uses only."The: subject propertyisl land described as Tracti,Antonio Rodriguez Survey, Abstract No. 231, and is zoned (LR) Local Retail District within the Towne Center Overlay District. The property: is located at the: intersection of FM 550 and FM 549. (Rockwall CAD ID No. 13000) A related Conditional Use Permit and Site Plan cases have been submitted under case: files CUP-2023-03R and SP-2023-01R.  City Council Minutes - December 12, 2023  Page2of11    Assistant City Manager Kevin Lasher stated that he would be presenting the following three items together and motions to be made separately for each case. The three items are associated with the American National Bank project and they include a zoning case, Site Plan and CUP. Case No. ZA- 2023-04R includes a public hearing for a request for a zoning change on 2.463 acres from Towne Center Overlay District with a base zoning classification of Local retail (LR) District to a Planned Development (PD) for Towne Center Overlay District, with specific uses being excluded, for "bank office uses only." Case No: SP-2023-01R includes a Site Plan for a proposed one-story, 7,857.94 square foot bank and office building on 2.463 acres of land. Case No. CUP-2023-03R includes a public hearing for a Conditional Use Permit for ai four-lane drive-through bank teller facility for a 7,857.94 square foot bank and office building on 2.463 acres ofland. After some revisions, there will be a second CUP for an additional height at the tower element necessitated by some additional revisions that the architect made last week. Lasher provided some history stating that this is a resubmitted site plan that was] previously denied without prejudice by the City Council on June 27th, The original submittal included a story-story building containing approximately 19,781 square feet and had two Conditional Use Permit requests for approval of a two-story building in the Towne Center Overlay District, and for drive-through ATM/teller lanes. There were also eight variances included with the: initial submittal.. Acompanion: zoning case was also submitted that would exclude specificretail. and commercial uses and reduce thei required parking ratiot to: reduce impervious: area. The P&Z Commission reviewed the original submittal on May 2nd, The Commission determined there were too many. variances being considered for approval and recommended denial of the request without prejudice by a unanimous vote. On April 27, 2023, the. Architectural Review Board reviewed the plans and voted five to one to recommend approval as presented. A CUP for a height variance would be required for the exterior tower element as thel base floor area of the tower would exceed 240 SF. Approximately 250 SF is the base floor area. The CUP would not be required ift the base was. less than or equal to 240 SF per S 159.29 TOWNE CENTER OVERLAY DISTRICT (F)(4) (c) 1., which states: ..An [height] exception is allowed for vertical architectural elements, such as towers, belvederes, and similar elements. Such elements may be up to3 35 ft. in height ift they have a footprint no greater than 240 sq. ft. This exception may extend to a maximum of 45 ft. in height for institutional and religious buildings. Furthermore, the applied CUP: requirement for the additional 2'-8"i in tower height is established in S 159.27 (LR) LOCALRETAIL DISTRICT REGULATIONS(E) (15). The additional 2'-8" in height will not involve the construction ofaz 2nd story for thel building. The previous lighting variance is being removed as the applicant's amended lighting plan no longer reflects FC: readings above 5.0 outside of the 50-foot radius zones adjacent to the teller area. The zoning case is structured as a Planned Development (PD) District for a Financial Institution and related office uses within the Local Retail (LR) District and the Towne Center Overlay District. In Summary, the amended submittal package now includes two CUP requests for the. ATM/Teller lanes and for additional building height at the tower element to accommodate added architectural embellishments to the parapet wall. The two variances are to the 600-foot block width provision established by the Overlay District. The subject propertyi is slightly over 8oo'long and is defined by IxDOTroadwayboundaries, and to allow an approximate one-foot-high parapet fort the roofcanopy above the teller lanes as shown on Elevation Bi on Sheet A-202. Per S 159.29 TOWNE CENTER OVERLAY DISTRICT (F) (4) (b) 1. For buildings with flat roofs, the minimum height of a roof parapet wall shall be three feet and six inches in height, as measured from the highest elevation of the finished roof deck. The Overlay District is silent with respect to the proposed drive-through motor bank use. Since the property has a base zoning classification of LR, the CUP for the drive- through lanes would be required under S: 7IOCARETALDISTACT, REGULATIONSIOO: and CUP: requirement fori the additional2-8"1 ini tower height is established ins $159.27(R)LOCAL RETAILDISTRICT REGULATIONS (E)(15). Councilman Weaver clarification that the corner element is a height variance to the corner entry feature more sO than a tower element and commended the architect for the additional historic cornice brickwork that has been added. The architect added notable classic architectural elements throughout the building and screen wall that reflect the classic historic Texas main street architecture defined for the Town Center Overlay District. Scott Clanton, MG. Architects was present and reiterated thati in respect tot thet tower. height, the Commission and the Council asked for more height and that made a positive difference ini the  Lasher provided land uses that shall be permitted and prohibited within the PD.  overall presentation oft the building. City Council Minutes - December 12, 2023  Page3ofll    HEARING to receive comments regarding the request. Mayor Elam opened the public hearing at 8:11 p.m.  Cyndi Brown, 5 Westchester Court - stated that her propertyi is across the empty field from this property and stated that she did not receive aj public hearing notice and her concern was with  thel lighting since it was removed. Mayor Elam closed the public hearing at 8:151 p.m. Discussion and action regarding the request.  Councilman Weaver clarified that the reason the previous lighting variance was struck was not because we are allowing more. lighting but was struck because the Council and the Commission urged the applicant to reduce their lighting footprint. The applicant complied and the lighting was brought MOTION: APPROVEORDINANCENO.2312128 REGARDING ZONING CHIANGE FOR  down allowing the variance to no longer be necessary.  TOWNE CENTER OVERLAYDISTRICT "BANK OFFICE USES ONLY".  MOTION MADE: SECONDED: APPROVED: ABSENT:  MAYOR ELAM WEAVER  PASSED UNANIMOUSLY BY THOSE. PRESENT CALDWELL, CHESTER, ROLATER  4.d Case No: SP-2023-01R- - Consider and act on a Site Plan for the American National Bank, a proposed one-story, 7,857-94 square foot bank and office building on 2.463 acres ofland described as Tract: 1, Antonio Rodriguez Survey, Abstract No. 231. The site is zoned (LR) Local Retail District within the Towne Center Overlay District. The propertyi is located at the intersection of FM 740 and FM 549. (Rockwall CAD ID No. 13000) A related Zoning Change and Conditional Use Permit cases have been submitted under casei files ZA-2023- MOTIONTOAPPROVESITE. PLAN WITHTWO VARIANCES: DVARIANCETOTHE 600- FOOT BLOCK WIDTH PROVISION ESTABLISHED BY THE OVERLAY DISTRICT. THE SUBJECT PROPERTY IS SLIGHTLY OVER 800' LONG AND IS DEFINED BY TXDOT ROADWAY BOUNDARIES; AND 2) VARIANCE TO ALLOW AN APPROXIMATE ONE- FOOT-HIGH PARAPET FOR THE ROOF CANOPY ABOVE THE TELLER LANES AS SHOWN ON ELEVATION B1 ON SHEET A-202. AN APPROXIMATE ONE-FOOT-HIGH PARAPET. FORTHE ROOF CANOPY. ABOVETHE TELLER LANES IS SHOWN.  04R and CUP-2023-03R.  MOTION MADE: SECONDED: APPROVED: ABSENT:  RUFFO MAYOR ELAM  PASSED UNANIMOUSLY BYTHOSE PRESENT CALDWELL, CHESTER, ROLATER  4.e Case No. CUP-2023-03R: Conduct a Public Hearing, consider, and act on an application for a Conditional Use Permit, as required by Section 159.27 (c)(1) ofthe Local Retail (LR) District as established in the Code ofOrdinances, CityofHeath, for ai five (5) lane drive-through bank teller facility for a 7,857-94 square foot bank and office building on 2.463acres ofland described as' Tract 1, Antonio Rodriguez: Survey, Abstract No. 231. The site is zoned (LR) Local Retail District within the Towne Center Overlay District. The property is located at the intersection of FM 550 and FM 549. (Rockwall CAD ID No. 13000) A related Zoning Change and Site Plan cases have been MOTION TO APPROVE ORDINANCE NO. 231212C REGARDING CONDITIONAL USE PERMITS 1) THE OVERLAY DISTRICT IS SILENT WITH RESPECT TO THE PROPOSED DRIVE-THROUGH MOTOR BANK USE. SINCE THE PROPERTY HAS A BASE ZONING CLASSIFICATION OF LR, THE CUP FOR THE DRIVE-THROUGH LANES WOULD BE REQUIRED UNDER S 159.27 LOCAL RETAIL DISTRICT REGULATIONS (C) (1); AND 2) CUP REQUIRENENTFORTHE: ADDITIONAL 2-8'INTOWER HEIGHTISESTABLISHED  submitted under case files ZA-2023-04R: and SP-2023-01R.  IN S 159.27 (LR)LOCAL RETAIL DISTRICTREGULATIONS (E) (15).  City Council Minutes - December 12, 2023  Page 4of11    MOTION MADE: SECONDED: through lanes not: five. APPROVED: ABSENT:  RUFFO MAYOR: ELAM  Councilman Weaver clarified that the drive-through lane Conditional Use Permit wasi fori four drive-  PASSED UNANIMOUSLY BY THOSE PRESENT CALDWELL, CHESTER, ROLATER  4.f Case No. FV-2023-05: Conduct a Public Hearing and consider action on Ordinance granting a Variance to Chapter 157 ofthe Code of Ordinances that limits the height of fences ini theyard abutting a streeti to a maximum height offourf feet (4')and prohibits the use of chain link fence material to allow the expansion of an existing six-foot (6) all-black, vinyl-coated chain link fence surrounding portable classroom buildings at Linda Lyons Elementary School, described as Lot1, Block A, Heath School Addition, addressed as 2186' Trophy Drive. (Rockwall CAD No. 90523; Kaufman CAD: No. 193171). Assistant City Manager Kevin Lasher stated that this was a public hearing for a fence variance application by Rockwall ISD for a six-foot all-black, vinyl-coated chain link fence surrounding portable classroom buildings at Linda Lyons Elementary School. On January 25, 2022, the city approved a similar fence variance and a new ten-foot wide concrete walk and steel canopy connecting the modular classrooms to the main building. On March 8, 2022, Council approved a second fence variance: resulting fromi the review process fortheJanuary: 25th variance. The variance allowed an existing fence on the school campus constructed without a fence permit and the fence variance necessary to allow the height and materials of construction. The resolution granting this variance established a sunset clause on the black vinyl-coated chain link fence materials requiring thei replacement of the fence in 10 years or upon replacement of 50% or more oft the fence to meet community requirements for wrought iron fence materials. On December 12, 2023, the subject application is a request to expand the fence and variance approved on January 25th to enclose additional modular classrooms. Thei modular classrooms willl bet penylpgpaygsut RISDi is able to complete the new. Middle School #4 campusint the districtl bond program to disperse and alleviate the number of children currently at each middle school campus. Neighborhood notices were mailed toj property owners within 500 feet and four responses were received in favor and none in opposition. Tim Lyssy, Director Facility Planning and Construction at Rockwall ISD was present and provided some background stating that the district did not know they would be adding two additional buildings that resulted ini this variance request. This is ai temporary solution  and a: future bond should alleviate the congestion by building a newe elementary. HEARING to receive comments regarding the request. and the Mayor closed the public hearing at 8:28 p.m. Discussion and action regarding the request.  Mayor Elam opened the public hearing at 8:28 p.m. No one present to speak regarding the request MOTION: APPROVE ORDINANCE NO. 231212D REGARDING A FENCE VARIANCE TO ALLOW THE EXPANSION OF AN EXISTING SIX-FOOT ALL-BLACK, VINYL-COATED CHAIN LINK FENCE SURROUNDING PORTABLE CLASSROOM BUILDINGS AT LINDA LYONS ELEMENTARY SCHOOL AND INCLUDE A SUNSET CLAUSE REQUIRING A REPLACEMENT OF THE FENCE IN 10 YEARS OR UPON REPLACEMENT OF 50% OR MORE OF THE FENCE TO MEET COMMUNITY REQUIREMENTS FOR WROUGHTIRON  FENCE MATERIALS. MOTION MADE: SECONDED:  RUFFO MAYOR ELAM  Councilman Weaver recommended including a similar sunset clause to this approval that would require the replacement of the: fence in 10 years or upon replacement of 50% or more of the fence  to meet community requirements for wroughti iron fence materials APPROVED: PASSED UNANIMOUSLY BYTHOSE PRESENT  ABSENT:  CALDWELL, CHESTER, ROLATER  City Council. Minutes - December 12, 2023  Page 5of11    4-g Case No. FV-2023-06: Conduct a Public Hearing and consider action on Ordinance granting a Variance to the Heath Code of Ordinances, Section 157.02(C) that limits fencesi in the sideyard abutting a street to a maximum height offour feet (4')to allow asix-foot (6') ornamental wrought iron fence on residential property addressed 100 Falcon Point Drive and further described as. Lot 1, Block A, Falcon Point Phase One. Assistant City Manager Kevin Lasher stated that applicants and property owners Seth & Chelsea Atwell have requested a fence variance to allow a six-foot ornamental wrought iron fence on residential property. Notice of Public Hearing was mailed toj property owners within 500 feet and within the citylimits oft the CityofHeath by November27, 2023.. Four responses have been returned  (Rockwall CAD No. 64535).  ini favor and no responses in opposition.  HEARING to receive comments regarding the request. Mayor Elam opened the public hearing at 8:33 p.m.  Seth. Atwell, 100. Falcon Point = stated that the main reason fori this fence variance request was for the safety of his son along the busy McDonald Road. The four-foot minimum requirements would not ensure safety to his pets orl his child as they can easily jump the fence. This six-foot  fence would also help with the liability risk when hel builds a pool.  Mayor Elam closed the public hearing at 8:36 p.m. Discussion and action regarding the request.  Councilman Weaver informed that the intent oft the ordinance is to not] have a tall, imposing fence directly on the public right-of-way and to avoid such a fence right up against a public sidewalk. Council's practice has been that if we do grant these types of variances, we grant them under the condition that the fence is installed at orl behind thel build line. In this case, the: fence is behind the build line and more than 50 feet away from the right-of-way, sol hei is ini favor oft this request. MOTION: APPROVE ORDINANCE NO. 231212E REGARDING A FENCE VARIANCE TOALLOW. A SIX-FOOT ORNAMENTAL WROUGHT IRON FENCE ON RESIDENTIAL  PROPERTY. ADDRESSED 100 FALCON POINTI DRIVE.  MOTION MADE: SECONDED: APPROVED: ABSENT:  KRAUSE RUFFO  PASSED UNANIMOUSLY BYTHOSE PRESENT CALDWELL, CHESTER, ROLATER  4.h Case No. FP-2023-07: Consider and act on the Final Plat of Lots 1-4, Block A, Fulton Addition, Beingal ReplatofLots1-2, Block A, Fulton. Addition, CityofHeath, Rockwall County, Texas, containing four lots on 14.75 acres at the southwest corner of Laurence Drive (Smirl Drive) and Laurence Drive (FM740). Rockwall CADNo. 80251 Assistant City Manager Kevin Lasher stated that this is al Final Plat and a Replat ofl Fulton Addition toestablishi fourl lotsto accommodatet the planned expansionofthe campus on as Site Plan submitted for review on July 31, 2023. The Site Plan is not part of the Final Plat requirements. There is significant drainage ont this propertythati include approximately 271 feet ofe elevation grade that will require a retaining wall and detention pond. The staff Development Review Committee reviewed the site plan and provided comments to the applicant on August 10, 2023. The original Final Plat of] Fulton Addition included the property boundaries shown on the subject plat. In 2008, the Final Plat was amended to dedicate right-of-way and easements along Laurence Drive. In 2014, a Final Plat/Replat created what is now labeled Lot 4 to expedite selling that lot. The school has since reacquired that lot and is folding it back into the subject final plat. Lot 1 is 4.12 acres on the west side of the property adjacent to Hillview Estates containing a converted residence. Lot 2 is 2.12- acre adjacent to Smirl Drive containing the existing campus main buildings. Lot: 3 is 7.11-acres and ist the location of the planned expansion of the campus to include a proposed new 62,000 SF Kindergarten through 8th grade classroom building with a gymnasium, natatorium, associated parking areas, and sitei improvements. This building and sitei improvements aret the subject ofas site  and 80525.  City Council Minutes - December 12, 2023  Page 60 of11    plan and the site plan has been reviewed by staff and awaits revisions. When revisions are submitted, thei reviewwill move ont tot the ARB, Planning and Zoning Commission, and CityCouncil. The campusi is connected tot the City's sanitary sewer system and water system. Drainage plans have been reviewed by the City Engineer. Water drains from west to east on the property. Thej proposed grading and paving oft the site and the channelingprovided by drainage easements/drive. aisles and anewretaining wall ont the east propertyl line ares slfficienttohandle site drainage needs and correct historic drainage problems for the residents between the school property and 740. Access to the campus is from Smirl Drive via internal drive aisles labeled as Fire. Access Easements. The planned campus expansion will increase the student population (PreK-8th grade) from 200 to 500. The applicant submitted a' Traffic Impact Analysis (TIA) that addresses traffic impact on Smirl and the uetingofrdiopat/pokwp circulation traffic on-site.' TXDOTapproved thei initialTIA finding that noa additional capacity ori improvements are: necessary on Smirl/Laurence, and all drop-off queuing can be accommodated on-site with multiple staggered drop-off/pick-up times divided by grade level with traffic stacking in thej purple access easements shown on the plat. Laher stated that this ist the first replat with newj Publicimprovements submitted since the 2023 Legislative Session took civil construction plans off the Shot Clock. Until September, the city had to approve construction plans within 30 days ori include plan revisions as conditions ont the plat motion. While we: still must act on plat applications within 30 days off filing, we can separate the plan review timeline from the plat timeline. The City Engineer must approve construction plans before construction can begin. Allp publicimprovements must bei inspected and approved by Public Works and accepted byt the City Engineer. Once improvements are accepted and maintenance bonds provided, the plat can be signed by the Mayor and P&Z Chair and filed at the County. Then, building permits can be issued in compliance with the filed plat and the approved site plan. The Final Plat of Fulton Addition conforms to the SF-43 Zoning District regulations and the City of Heath Subdivision Regulations and by state statute, thej plat approval is a ministerial function. The motion options aret to approve, to approve with conditions citing statue or ordinance sections, or to deny with: reason citing specific City Engineer Richard Dormier was present to speak regarding the Drainage. He asked to correct the retaining wall height to indicate up to 14 feet with an average height of 8 feet. Councilman Weaver stated that while he was in support of the school, there is serious concern regarding the drainage, and the solution to the drainage now causes another concern ofai 14 foot retaining wall in these neighbor'sl back yards. There are aesthetic, safety and privacy issues andi it's] painful to bet told that this is ministerial and we do not have a choice except to approve. We can look to the applicant tol be a good neighbor and solve these issues with a solution that doesn'tinclude a 14 foot retaining wall: ini the neighbor's back yards. Applicant Allan Ross, Architect for Fulton School, wel have been working on this for over a year, the issue of grading and draining, we are well aware of the problem and want to be good neighbors as well and are working towards a solution and want to work with staff. We will come forward with ai renewed Site Plan application addressing the issues discussed. City Attorney, Cynthia Kirchoff read aloud the platting statute. Ift the plat meets all oft the city code requirements or the subdivision ordinance regulations, then you must approve it. The Council reiterated they were displeased and do not support the proposed design and extremely frustrated MOTION: APPROVE FINAL PLAT OF FULTON ADDITION LOCATED AT THE  statue or ordinance sections.  that state law requires them to approve it anyway.  SOUTHWESTCORNER OF LAURENCE DRIVE. AND SMIRLDRIVE.  MOTION MADE: SECONDED: APPROVED: ABSENT:  MAYOR ELAM RUFFO  PASSED UNANIMOUSLY BY' THOSE. PRESENT CALDWELL, CHESTER, ROLATER  4.i Consider and act on Resolution No. 231212A regarding interlocal agreement with the Heath Economic Municipal Benefits Corporation to finance costs of a public safety facility for police and fire departments and renovations to Towne Center Park." Director of FinanceJay Ayers stated that this Resolution was regarding ani interlocal agreement with the Heath Economic Municipal Benefits Corporation to finance costs of a public safety facility for police and fire departments and renovations to Towne Center Park. HMBC conducted a public  City Council Minutes- - December 12, 2023  Page 7of11    hearing and approved this resolution to initiate the execution of a interlocal agreement. City Councils approval will finalize the execution of this agreement. HMBC will make a lump sum payment of $3 million to the City of Heath towards the construction of the Public Safety facility. Additionally, HMBC will pay $473,925 on an annual basis for 20 years to pay a portion of the principal and interest on Certificates of Obligation, Series 2023 as such principal and interest become due and payable. Staff recommends approval of this Resolution executing an interlocal agreement between HMBC and City of Heath. Mayor Elam explained that the MBC is tasked with infrastructure and have collected some funds that we now need to put for infrastructure. The $3 million has accumulated overt time and now wel have aj park, a fires station and aj public works building that we can use these funds to build. It's a good thing for the city as this infrastructure gets us to MOTION: APPROVE RESOLUTION NO. 231212A REGARDING AN INTERLOCAL AGREEMENT WITH THE HEATH ECONOMIC MUNICIPAL BENEFITS CORPORATION TO FINANCE COSTS OF AI PUBLIC SAFETY FACILITY FOR POLICE AND FIRE DEPARTMENTS AND RENOVATIONSTOTOWNE: CENTER PARK."  build out.  MOTION MADE: SECONDED: APPROVED: ABSENT:  MAYOR ELAM WEAVER  PASSEDI UNANIMOUSLY BY THOSE PRESENT CALDWELL, CHESTER, ROLATER  4j Discuss and consider adoption of Ordinance No. 231212A considering all matters incident and related to the issuance, sale, and delivery of "City of Heath, Texas Combination Tax and Limited Surplus Revenue Certificates of Obligation, Series 2023," authorizing the issuance of the Certificates; approving and authorizing instruments and procedures relating to said Certificates; and enacting other Director of Finance Jay Ayers stated that this ordinance was for the approval of the issuance, sale, and delivery of City ofl Heath, Texas Combination Tax and Limited Surplus Revenue Certificates of Obligation, Series 2023. Ayers thanked the staffand Greg Schaecher: andJorge Delgado with Hilltop Securities for all the work on the back end that made this a smooth process. City Manager Adams announced that our conservative estimate was 4-55% and we came in at 3.87% putting us in an amazing situation. Joe Delgado, Vice President, Hill Securities provided a presentation that included the Fall 2024 Debt Issuance, Funding of] Parks, Public Works and Public Safety Facilities, and explained the Issuance of Certificates of Obligation, Series 2023. These Certificates of Obligation will fund the City's Capital Improvement Program (CIP) and partner with the Heath Municipal Benefits Corporation (HMBC) and remit toi the City $3,000,000 from available funds on hand to pay aj portion oft the CIP.. Also, partner with the HMBC to remit to the City $473,925 onan annual basis for 20 years to pay a portion of the principal and interest on the proposed debt. The CIPisTown Center Park $12,250,000; Public Works Facility $6,250,000; and Public Safety Facility $15,000,0001 forato totalfs3soogoofahah $3,000,0001 HMBC cash contribution forai totall Net CIP Debt Funded $30,500,000. Debt Instrument is the Combination Tax & Ltd. Surplus Revenue Certificates of Obligation, Series 2023. Amortraton/kepayment Period is 20 years. Repayment Source is the City's Debt Service (I&S) Property Tax Rate and Annual Transfers from the HMBC. Method of Sale: Competitive Open) Market Sale. Bond Rating: Rating Affirmed at" "AA+"by Standard &1 Poor's. There were: fivei total bids received and thel lowest bid was from BOKI Financial Securities. City Manager Adams stated that because the rates are coming in sO strong, in. January we: are asking Hilltop to: review our existing debti inl hopes to refinance other debt for additional cost savings. MOTION: APPROVE ORDINANCE NO. 231212A REGARDING THE ISSUANCE, SALE, AND DELIVERY OF "CITY OF HEATH, TEXAS COMBINATION TAX AND LIMITED SURPLUS REVENUE CERTIFICATES OF OBLIGATION, SERIES 2023".  provisions relating to the subject.  MOTIONMADE: SECONDED: APPROVED: ABSENT:  KRAUSE WEAVER  PASSED UNANIMOUSLY BYT THOSE PRESENT CALDWELL, CHESTER, ROLATER  City Council Minutes - December 12, 2023  Page 8of11    4.k Consider and act on a Resolution approving and authorizing the City Manager to execute a Professional Services Agreement with the firm Kimley-Horn, Dallas for Phase 3, final design and construction documentation for renovations and Assistant City Manager Kevin Lasher stated that this item was for a Resolution for a Professional Services Agreement with Kimley-Horn regarding the construction drawings for Phase 3 of the Towne Center Parkrenovations. and improvements. Theagreement: is for final engineering services and construction bid drawing production for use by the selected Construction Manager at Risk (CMAR). On January 9, 2024, a Resolution willl bel brought before the City Council for the selection of the recommended Parks Board CMAR candidate, Hill & Wilkinson. A portion of the proceeds from the Series 2023 certificates will be used to fund this agreement and the CMAR contract fort the renovations and improvements to Towne Center Park. Base services and tasks (tasks no. 1 through 15) performed by Kimley-Horn for a total lump sum fee of $856,000. The total contracted amount for alli tasks 11 through 201 would not exceed $944,000 without authorization from the City of Heath. The design fees factored: into the Opinion of Probable Construction Cost (OPCC) havel been included into the budget requirements described in the Certificates of Obligation. The budgeted design fees established: ini the OPCCdocument arel listed undert the category" "Soft Costs & Contingencies; under items "Design Fees" at $893,000, and LOMR Preparation at $60,000. (25K to be actual cost) 35 36. These two budget estimates result in a total budget amount of $953,000. The total fee for this agreement of $944,000 is $9,0001 below the anticipated budgeted amounts listed in the OPCC. The OPCC was reviewed by the Parks Board on March 16, 2023, and presented to the City Council on April 28, 2023. Funding will bej provided byt the Certificates of Obligation issued by the CityofHeath in the aggregate principal amount of $[29,985,000] to fund the city's contractual obligations for Towne Center Park. Emily Frake, Kimley-Horn Planner and Landscape Architect was) present. MOTION: APPROVE RESOLUTION NO. 231212B REGARDING A PROFESSIONAL SERVICES AGREEMENTWITH THE FIRM. KIMLEY-HORN, DALLAS FOR: PHASE3, FINAL DESIGN AND CONSTRUCTION DOCUMENTATION FOR RENOVATIONS  improvements to' Towne Center Park.  AND IMPROVEMENISTOTOWNECENTER PARK  MOTION: MADE: SECONDED: APPROVED: ABSENT:  MAYOR ELAM RUFFO  PASSED UNANIMOUSLY BYTHOSE PRESENT CALDWELL, CHESTER, ROLATER  4.1 Discuss and act on a Special Warranty Deed and Maintenance Agreement between TR Heath Partners, Ltd. (grantor) and the City of Heath (grantee) for the transfer of ownership ofa4 4.1-acre park site andi improvements as established on the final plat of Heath Crossing Phase 4A and 4B, Block A, Community Park, an addition to the City of Heath, according to the plat recorded under number 20210000004690, in the Plat Records of Rockwall County, Texas, with park maintenance responsibilities being assigned to the Fairways at Heath Crossing Homeowners. Association. Assistant Cityl Manager Kevin Lashers statedi that this item was fort the approval ofa Special Warranty Deed and Maintenance. Agreement between' TR Heath Partners, Ltd. (grantor) and the CityofHeath (grantee) for the transfer of ownership of a 4.1-acre park site and improvements as established on the final plat of Heath Crossing Phase. 4A and 4B. Chris Thompson with TR Heath Partners, Ltd., has completed the required punch list items developed by the City Engineer and Public Works departments for the 4.1-acre parks site dedicated bytheapproved finalplati referenced: above. Section A.1.d.ithru V. oft the approved Facilities Agreement for Heath Crossing, Phases 4 and 5, states the Developer (TR Heath Partners) shall dedicate in fee-simple the 4.1 acres of] land at time ofi initial Final Plat approval for Phase 4A of the Heath Crossing subdivision for thei future development ofa neighborhood park. The City's legal counsel has recommended that any direct conveyance of parkland to the City needed to be accomplished by a deed instrument. Legal counsel also recommended that the park maintenance responsibilities be formalized with the responsible HOA through theapproval ofal Maintenance Agreement. Thei term ofthe Agreement begins with ani initial period of twenty years. Thereafter, the Agreement will automatically renew for two and five-year  City Council Minutes - December 12, 2023  Page 9of11    terms. Unless terminated in accordance with other provisions of the Agreement, either party may opt not to renew and may terminate at least 180 days prior to expiration. Following the effective date oft this Agreement, the City may undertake maintenance ini the Park, provided the City gives at least sixty days written notice. The. Association shall be responsible fori the maintenance oft the Park and shalll keep and maintain the Park in a good state of appearance and repair. Thei repairs include: entrance drive, paved parking lot, paved trails and the mowing of adjoining and maintained grassed areas at thel locations determined by the. Association, bridge structures, ground cover and irrigation MOTION: APPROVE SPECIAL WARRANTY DEED & MAINTENANCE AGREEMENT BETWEEN TR HEATH PARTNERS, LTD. AND THE CITY OF HEATH FOR THE TRANSFER OF OWNERSHIP OF A. 4.1 ACRE. PARK SITE. AND IMPROVEMENTS OF HEATH CROSSING PHASE4AAND. 4B, BLOCKA, COMMUNITYPARK,  systems and equipment. Chris Thompson was present to answer. any questions.  MOTION MADE: SECONDED: APPROVED: ABSENT: Applications.  KRAUSE MAYOR ELAM  PASSED UNANIMOUSLY BY THOSE PRESENT CALDWELL, CHESTER, ROLATER  4.m Discussion regarding the 2024 Submittal Calendars for Plats, Plans and Zoning Assistant City Manager Kevin Lasher provided the 2024 Calendar. Application Review Schedule for the City of Heath for preliminary and final plats. This schedule takes into consideration the latest legislation regarding the shot clock and the second calendar regarding zoning applications and site 4.n Discussion regarding Designating a Representative on the 2024 Facilities Bond Mayor Elam received a request from Rockwall ISD asking if the City of Heath would provide a council member to be oni their2 2024 Facilities Bond Committee. The! MayornominatedJjim Chester  plans. Committee.  as a Representative on the 2024 Facilities Bond Committee.  5. Council/City Manager Comments  City Manager. Aretha Adams thanked staffi for a successful Christmas in Heath event that took] place last Friday: and gave a shout-out to Suzanne, Public Works, DPSand everyone that came out. Happy New Year and Merry Christmas. Mayor Elam announced that Ms. Adams has submitted her resignation and recommended Assistant City Manager Kevin Lasher assist with the transition and asked for an item on the. January gth Council Meeting in Executive Session regarding this transition. At10:11 p.m., Mayor Elam recessed the meeting to Executive Session (closed: meeting) stating that ina accordance with' Texas Government Code Chapter 551, Subchapter D, the City Council recessed into Executive Session (closed meeting) to discuss the: following: Section 551.071: Consultation with Attorney on a matter in which the duty of the attorney to the governmental body under the Texas Disciplinary Rules of] Professional Conduct ofthe State. Bar ofTexas clearly conflicts with this chapter, regarding: Consultation with. Attorney on a matter in which the dutyofthe attorney tot the governmental body under the Texas Disciplinary Rules of Professional Conduct oft the State Bar of Texas clearly conflicts with this chapter, regarding: (i) zoning and platting standards, Local Government Code shot clock, and Trilogy final plat; and (ii) Trilogy development in McLendon- Chisholm city limits and extraterritorial jurisdiction; Section 551.071: Consultation with Attorney regarding pending or contemplated litigation or settlement offer regarding: (i) City of Heath V. Mclendon-Chishom, Cause No. 1-22-1204; (ii) MCTrilogy Texas, LLC V. Cityof Heath, etal., Cause No.3:22-CY-02154-D; and (iii) acquisition of real property: fori future pump station No 2; and Section 551.072; Deliberate the purchase, exchange, lease, or value of real property  6. Executive Session  regarding: acquisition ofi real property for future pump station No. 2.  City Council Minutes- - December 12, 2023  Page 10of11    At 10:38 p.m, Mayor Elam closed Executive Session and reconvened the meeting into open session  stating that no action was taken in the Executive Session. Mayor Elam adjourned the meeting at 10:38 p.m.  APPROVED: DR KELSON-ELAM MAYOR Paul Ruffo Mayor Pro Tem  NORMAI DUNCAN CITY SECRETARY  Z.Da  OFH HE  City Council Minutes December 12, 2023  Page 11 of11