MINUTES REGULAR CALLEDMEETING HEATH CITY COUNCIL TUESDAY, OCTOBER 8, 2024 at 6:30 PM  ATTENDING: JEREMIAH MCCLURE, MAYOR  RICH KRAUSE, MAYOR PROTEM SHARON CALDWELL SCOTT DODSON RYANI MOORMAN BRENTWEAVER PAULI RUFFO  ABSENT:  Mayor Jeremiah McClure called to order the Regular meeting at 6:30 p.m. Mayor Pro Tem Rich Krause delivered the Invocation and led the Pledge of Allegiance and the Texas Pledge of Allegiance.  2. Public Comment  Sherryl Scott, 705 Hezekiah Court, stated that she has lived across the street from City Hall for over five years and decided to come in and attend a meeting and meet everyone. Sepna Machen, 903 Country Club = was present tonight to advocate for the removal of fluoride in our water. High] levels of fluoride pose. health risks to children by potentiallyl lowering theirI IQ, Tom Bishop, 800 Britton Place, Planning and Zoning Commissioner stated that in consideration ofresidents thatattend these council meetings and end up waiting al long timel becauset the council recesses to a closed session, he recommended to move. Executive Session to thel beginning or the WesJohnson, 905 Reflection Court - stated that hel has power outages an average ofonce or twice amonth and also asked why is the cost of water SO high in Heath. His monthly water bill is an Mayor McClure stated that the City of Rockwall is a direct member city of North Texas Municipal Water District and the City of Heath is a customer of the City of Rockwall and regarding Executive Session we hear you loud and clear but we have a lot ofl litigation issues that we are working through  and it recommended removing fluoride from our water.  ending oft the Council Meeting. average of $600 a month.  this and getting better with the scheduling. 3. Cityl Manager/Council Comments  City Manager Kevin Lasher gave a shout out to the Heath Police staffand the Public Services staff for theirhard workmaking Nationall Night OutlastTuesdayal bigs success. Lashera alsoinvited all toa attend amemoriall honoring all veterans on November 11th at Rush Creek Yacht Club. The Mayorannounced that Hubbard Drive will be completed at the intersection of Rush Creek in time for the International Sunfish Class Association World Championships taking place at Ruth Creek Yacht Club on October 12-19. The Mayor presented a proclamation at the Rockwall Helping Hands Pink Party on October 3rd, honoring Vicki Wallace for her countless contributions to our city and community. The Mayor also attended the Women's Advocacy Center for Women in Need bringing awareness to domestic violence. Councilwoman Caldwell announced that the Heath Police Department is selling t-shirts for  $25/each promoting breast cancer victims and encourages all to purchase one. 4.a Action Regarding the Minutes of the September 24, 2024 Regular Meeting.  4.Consent Agenda  MOTION: APPROVE CONSENT AGENDA REGARDING THE SEPTEMBER 24, 2024  REGULAR MEETING MINUTES. City Council. Minutes - October 8,2024  Page 1of6    MOTION MADE: SECONDED: APPROVED: ABSENT:  CALDWELL WEAVER RUFFO  PASSEDI UNANIMOUSLY BYTHOSE: PRESENT  5.a Consider and Act on Ordinance No. 241008A granting Atmos Energy Corporation a franchise to construct, maintain, and operate pipelines and equipment in the City of Heath for the transportation, delivery, sale, and distribution of gas, and providing terms for the use of public Rights-of-Way, with a franchise term ending on December 31, 2049. This ordinance replaces all prior gas franchise agreements, including Ordinance No. 930121, and establishes the terms for payment of franchise fees. Assistant Finance Director Tara Plexico stated that this ordinance is granting a franchise agreement to Atmos Energy Corp for the transportation, delivery, sale, and distribution of natural gas with the city and authorizing the Mayor to execute the agreement effective January 1, 2025. The previous Franchise. Agreement was with Lone Star Company and expired in 2018.The Franchise fees helpy with the public right ofway and use of our roads and we are. looking toi increase Franchise fees from 3%1 to 5%. The new agreement: is for 25 years and will ensure the continuation of gas services with the city and will expire in 2049. This will start in fiscal year 2025 and will support ongoing public works and MOTION: APPROVE ORDINANCE NO. 241008A REGARDING THE FRANCHISE FEE  infrastructure projects. MOTION MADE: SECONDED: APPROVED: ABSENT:  AGREEMENTWITH: ATMOS ENERGY CORPORATION.  DODSON MOORMAN RUFFO  PASSED UNANIMOUSLY BY THOSE PRESENT  5.b Discussion and Action Regarding a Resolution Authorizing the City Manager or their Designee to Execute a Construction Manager at Risk (CMAR) Contract with the firm Hill & Wilkinson Construction Group, Ltd. (dba Hill & Wilkinson General Contractors) City Manager Kevin Lasher stated that we havel local contractor that will dot this park at a maximum price of$12,833,902. The Parks Board will $1.2 million for contingency fundsl beyond what we would need ofthis maximum price. Anticipated completion datei is December 2026. Thank you tol EDCf for their support. Max Scott, Vice President Hill & Wilkinson General Contractors, 104 Michael Circle, 1. The contract Subcontractor Change Orders not to exceed 15%. If we exceed the allotted number of weather delay days currently included int the contract, we willl be charged $3,162 per day for each additional 2. The construction contingency of $582,127 isi included in the GMAX price in Exhibit Cand 100% 3. The cost ofself-insurance will be removed from the contract; it does not apply to this job. 4. Insurerownedlcontrolled by contractor will be removed from the contract. It does not apply to this job. H&W is exempt from paying sales tax on all items that are permanently incorporated into the project. For example, sales tax on the monthly rental of the H&W Construction trailer would be charged since that is 5. Pay Terms is 30-day payable at the end of the month. The schedule of values will be approved prior to 6. Location of project will be Rockwall County. We are paying for contractor insurance plus 5%. Builder's MOTION: APPROVE RESOLUTION NO. 241008A CONTINGENT WITH THE SEVEN  for the Renovations and Improvements to' Towne Center Park.  Heath, TX. Mayor Pro Tem Krause identified thei following changes:  day ofinclement weather that impacts the critical path ofunused contingency funds will return to the city.  not part of the permanent construction (not incorporated into the work. submitting the pay application (breakdown of costs). Risk Coverage is provided by H&W. 7. Equipment rental is cost of work at the standard rental rates.' AMENDMENTS DISCUSSED. City Council Minutes - October 8,2024  Page. 2of6    MOTION MADE: SECONDED: APPROVED: ABSENT:  KRAUSE WEAVER RUFFO  PASSED UNANIMOUSLY BYTHOSE PRESENT  5.C Discussion and Action Regarding 900 Heathland Crossing Oncor Easement.  Cityl Engineer Richard Dormier stated that thisi item was) pulled from the Consent. Agenda and tabled at the September 24th Council Meeting to allow more information on the request. The property owner, Jeff Cox, at 900 Heathland Crossing has requested that Oncor provide a new electric service for a large barn on his property in order to provide sufficient 3-phase electricity to high-powered metal-working equipment and ai full-barn HVAC system. Currently, power is] provided through the service at thei nearbyl house. Int turn, Oncorisr requesting an easement on Lot2ofthe! Ellis Addition, which is owned by the city of Heath. Dormier provided the homeowner request, easement document, and drawings showing the location oft the proposed easement with a description of the improvements proposed. The requested easement is on the city of Heath property but only encroaches into the 60' ROW for Heathland Crossing a couple of feet. There is no sidewalk] located on this side of the road. The ROW is fenced by the adjacent landowner. Councilman Weaver clarified that the item was tabled at thel last Council Meeting because aj previous owner of this barn builtan apartmenti ini thel barn andi the concern ist thatitcould become a rental propertyin int thei future, not by the current owner but some future owner. Having a separate electrical meter increases the risk that this unit might become a rental property in the future, essentially creating multi-family housing on this lot. Not allowing separate metering within a given lot is one of the ways the city  helps prevent non-compliant multi-family housing.  MOTIONTO. APPROVE. MOTION MADE: SECONDED: APPROVED: For: Against: ABSENT:  MOORMAN DODSON PASSED FIVETOONE WEAVER RUFFO  CALDWELL, DODSON, KRAUSE, MCCLURE, MOORMAN  5.d Discussion and Action Regarding a Resolution Nominating a Representative to the City Manager Kevin Lasher stated that the Rockwall Central Appraisal District (RCAD) consists of representatives from the five taxing entities. The County is represented by the County Tax Assessor, who serves as a non-voting member. Each appointed representative serves a two-year term. The current Board Members are' Tim Hartley, John Hohenshelt, Lorne Liechty, Russell Summers, Natalia Bennett, Michael Harmon and this nomination will replace Vicki Wallace (deceased RCAD andi EDC boards member). The voting entitlement ofai taxing uniti is determined byacalculation that takesi into account a taxing unit's share of the total dollar amount of property taxes imposed in the CAD. The chiefa appraiser makes this calculation for eachi taxing unit and delivers written notice before Oct. 1of each odd-numbered year of the number of votes to which each taxing unit is entitled. Each taxing unit, other than a conservation and reclamation district, that is entitled to vote may submit to the chief appraiser one nominee for each position tol be filled before Oct. 15, 2024. The City of Heath is allowed 120-unit votes. The Chief appraiser shall prepare a ballot and deliver a ballot to the presiding officer oft the governing body. EDC President, Justin Saunders nominated Richard Koepke MOTION: APPROVE RESOLUTION NO. 241008B NOMINATING RICHARD KOEPKE AS A. REPRESENTATIVE: TOTHE ROCKWALLCAD BOARD OFDIRECTORS.  Rockwall Central Appraisal District Board of] Directors.  tol look out for thel best interest of] Heath.  MOTION MADE: SECONDED: APPROVED: ABSENT:  KRAUSE CALDWELL RUFFO  PASSED UNANIMOUSLY BY7 THOSE PRESENT  Cily Council Minutes- - October8 8,2024  Page. 30f6    6. Executive Session  At 7:271 p.m., Mayor McClure recessed the meeting tol Executive Session (closed meeting) stating that in 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 matteri in which the duty of the attorney tot the governmental bodyu under the Texas Disciplinary Rules ofl Professional Conduct ofthe State Barc ofTexas clearly conflicts with this chapter, regarding: (i) Case No. ZA-2024-01; (ii) Case No. ZA-2024-03; and (iii) Case No. ZA-2024-02R. In accordance with Texas Government Code, Chapter 551, Mayor McClure closed the Executive Session and reconvened the meeting into an open session at 7:59 p.m., stating that no action was 8.a Case No. ZA-2024-01: Consider and act on an Ordinance changing the zoning designation from (A). Agricultural District to (PD-SF) Planned Development for SF-43 Single Family Residential Uses on 158.613 acres of property located at the northeast corner oft the intersection of FM 740/Ridge Road and Heathland Crossing adjacent to White Road, and further described as Abstract 207, E. Teal Survey, Tract 55, City of Director of Community Development David Gonzales stated the applicant originally asked to withdrawi this application, leaving the straight zoning application open, however, the City Council did not approve the withdrawal: and tabled the item. After citizens expressed their concerns at the Public Hearing, the Developer asked to table the item for the October 22, 2024, meeting to allow more time to work with staff on potentially re-opening the Planned Development. The new potential PD showcases trails, aj park, a fishing dock, lot-count reductions, turn lanes, roadways, berms and trees on all roadways, 50 ft setbacks, lot minimums for square footage and a guaranteed higher square  taken in the Executive Session.  Heath, Rockwall County, Texas. (Rockwall CAD No. 12706).  footage on home requirements. MOTION MADE: SECONDED: APPROVED: ABSENT:  MOTION: TABLETO1 THE OCTOBER 22, 2024 COUNCIL MEETING.  KRAUSE CALDWELL RUFFO  PASSED UNANIMOUSLY BYT THOSE PRESENT  8.b Case No. ZA-2024-03:Conduct a Publicl Hearing and act on an Ordinance changing the zoning designation from (A). Agricultural District to (SF-43) Single Family Residential District on 158.613 acres of propertylocated at the northeast corner ofthei intersection of FM 740/Ridge Road and Heathland Crossing adjacent to White Road, and further described as Abstract 207, E. Teal Survey, Tract 55, City of Heath, Rockwall County, Mayor McClure stated that thiss straight-zoning case that was tabled at aj prior meeting and the Public  Texas. (Rockwall CAD No. 12706) Hearing was continued.  HEARING to receive comments regarding the request. Mayor McClure continued the public hearing at 8:06 p.m.  Brad Larson, 2000 Kings Pass - stated that this property is the gateway into the City and a Planned Development SF-43 is a prime opportunity to do something special regarding water/retention. The citizens want open space and trails and recommended. a subdivision similar Mayor McClure continued the public hearing at 8:10 p.m. and commented that the Developer is  tol Ridge Lakes. We can all work together to accomplish what we want. looking at aj potential possible potable water well on thej property. MOTION: TABLETOTHE OCTOBER 22, 2024 COUNCIL MEETING.  City Council Minutes - October 8,2024  Page 4of6    MOTION MADE: SECONDED: APPROVED: ABSENT:  KRAUSE CALDWELL RUFFO  PASSED UNANIMOUSLY BYTHOSE PRESENT  8.c Case No. ZA-2024-02R: Consider and Act on an application to change the zoning classification from (A)Agricultural Distriadto/PDspPlamned Developmentfor (SF-Single Family Residential Uses for propertyaddressed 6717SFM, 549 and further described. as Tract 15, A. Rodriguez Survey, Abstract 231, City of Heath, Rockwall County, Texas. (Rockwall CAD No. 12922.) The zoning change aims to facilitate the creation of a residential subdivision to contain no more than ten (10) residential lots measuring at Director of Community Development David Gonzales stated that a very thorough overview of this request was] presented at thel last council meeting and the applicant, Jim Knight, KFM Engineering & Design, stated that after citizen comments, they willl be addingas sidewalkon! FM549 asl longas TxDOT and City approve. There is an existing small cistern system on the site and if we can, we will use this forla landscape irrigation on the medians. Also, the required home square foot minimum willl be 4,200. This will leave only one variance for the depth of the cul-de-sac. Councilman Weaver asked for clarification regarding the on-site water cistern, will it collect enough water to store and irrigate more than just the HOA property, Weaver thanked the applicant for working with staff and listening and Mayor McClure continued the public hearing at 8:26 p.m. and no one present, Mayor closed the MOTION: APPROVE APPLICATION FOR A ZONING CHANGE FROM (A) AGRICULTURE TO (PD-SF43) LOCATED AT 6717 S. FM 549 FOR 10 LOTS WITHTHE  least one developable acre.  responding to the concerns and feedback provided by P&Zand citizens. HEARING to receive comments regarding the request.  Public Hearing at 8:271 p.m.  ONEVARIANCE OF 600 FT DEPT OF THE CUL-DE-SAC.  MOTION MADE: SECONDED:  CALDWELL WEAVER  Councilman Weaver acknowledged thel hard workl by the applicant stating that thel lot count has been reduced by 17% and 20% ofl lots are1 1.5 acres.. A usable common area was added in addition to aj pond and contemplating self-sufficient on-site irrigation for HOA-owned property and maybe the other residential lots, and minimum square footage concerns have been addressed. This is what makes  Heath, Heath. APPROVED: ABSENT: 9. Executive Session  PASSED UNANIMOUSLY BYTHOSE PRESENT  RUFFO  At 8:31 p.m., Mayor McClure recessed the meeting to Executive Session (closed meeting) stating that in 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 Conductofthe: State Bar ofTexas clearly conflicts with this chapter, regarding: (i). zoning and platting standards, Local Government Code shot clock, and Trilogy final plat; (ii) Trilogy development in Melendon-Chisholm city limits and extraterritorial jurisdiction; and (ii) City Manager position; Section 551.071: Consultation with Attorney regarding pending or contemplated litigation or settlement offer regarding: (i) MC Trilogy Texas, LLCV. City of Heath, et al., Cause No. 3:22-CV-02154-D; and (ii) City of Heath V. McLendon- Chisholm, Cause No. 1-22-1204; and Section 551.074: Deliberation regarding the appointment, evaluation, reassignment, duties, discipline, or dismissal of a public officer or employee, regarding:  (i) City Manager.  City Council Minutes- - October 8,2024  Page 5of6    In accordance with Texas Government Code, Chapter 551, Mayor McClure closed Executive Session and reconvened the meeting into open session at 9:05 p.m. stating that no action was taken in the  Executive Session.  Mayor McClure adjourned the meeting at 9:06 p.m.  APPROVED:  ATTEST;,  Vhnellaen NORMA DUNCAN CITY SECRETARY  MCCLURE  OF  MAYOR  A  OF  City Council Minutes- - October 8,2024  Page 6of6