AGENDA
CITY OF DENTON CITY COUNCIL
May 13, 2014

After determining that a quorum is present, the City Council of the City of Denton, Texas will convene in a 2nd Tuesday Session on Tuesday, May 13, 2014 at 02:00 p.m. in the City Council Work Session Room, 215 E. McKinney, Denton, Texas at which the following items will be considered:

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NOTE: A 2nd Tuesday Session is used to explore matters of interest to one or more City Council Members or the City Manager for the purpose of giving staff direction into whether or not such matters should be placed on a future regular or special meeting of the Council for citizen input, City Council deliberation and formal City action. At a 2nd Tuesday Session, the City Council generally receives informal and preliminary reports and information from City staff, officials, members of City committees, and the individual or organization proposing council action, if invited by City Council or City Manager to participate in the session. Participation by individuals and members of organizations invited to speak ceases when the Mayor announces the session is being closed to public input. Although 2nd Tuesday Sessions are public meetings, and citizens have a legal right to attend, they are not public hearings, so citizens are not allowed to participate in the session unless invited to do so by the Mayor. Any citizen may supply to the City Council, prior to the beginning of the session, a written report regarding the citizen’s opinion on the matter being explored. Should the Council direct the matter be placed on a regular meeting agenda, the staff will generally prepare a final report defining the proposed action, which will be made available to all citizens prior to the regular meeting at which citizen input is sought. The purpose of this procedure is to allow citizens attending the regular meeting the opportunity to hear the views of their fellow citizens without having to attend two meetings.

1.	Receive a report, hold a discussion, and give staff direction regarding a Reimbursement Agreement with Westray Group, LP for public infrastructure improvements in Tax Increment Reinvestment Zone Number Two.

Following the completion of the 2nd Tuesday Session, the City Council will convene in a Special Called Session to consider the following items:

Consider approval of a resolution by the City of Denton, Texas denying an increase in rates requested by ATMOS Energy Corporation - Midtex Division, submitted on or about February 28, 2014 under the rate review mechanism; finding ATMOS’ request unreasonable; directing ATMOS Energy to reimburse the City’s rate-case expenses; authorizing the City’s participation in appeals ATMOS may take denying its requested increase; requiring delivery of the resolution to the company and the City’s special counsel; finding that the meeting complied with the Open Meetings Act; making other findings and provisions related to the subject; and declaring an effective date.

2.	Consider adoption of an ordinance of the City of Denton, Texas approving a Reimbursement Agreement between the City of Denton, the Board of Directors of the Tax Increment Reinvestment Zone Number Two, City of Denton, Texas, and Westray Group, LP.

Consider adoption of an ordinance of the City of Denton, Texas approving a second amendment to an Economic Development Program Grant Agreement dated June 15, 2010, between the City of Denton and Allegiance Hillview, L.P., which was duly assigned, in part, to RED Rayzor Ranch, LLC; and providing an effective date.

4.	Consider adoption of an ordinance of the City of Denton, Texas approving a Memorandum of Understanding regarding terms and conditions for the Rayzor Ranch Public Improvement District No. 1, and providing an effective date.

Consider approval of a resolution of the City Council of Denton, Texas, making findings that the proposed Rayzor Ranch Public Improvement District No. 1 and the proposed public improvements will promote the interests of the City and confer a special benefit on a definable part of the City; providing that the district and proposed public improvements are feasible and advisable; providing findings with respect to the nature and estimated cost of the proposed public improvements, the boundaries of the district, the method of assessment, and apportionment of costs between the District and the City; authorizing the creation of the District and directing the City Secretary or other officer to publish notice of the creation; and providing an effective date. The Economic Development Partnership Board recommends approval (7-0).

Hold a public hearing and consider adoption of an ordinance granting approval, in accordance with Chapter 26 of the Texas Parks and Wildlife Code, of the non-park use of a part of Spc. Ernest W. Dallas Jr. Veterans Memorial Park for the purpose of installing and maintaining a sanitary sewer line for the Classic Used Cars of Denton Project; providing for a notice by the city of Denton, Texas of non-park use for installation and maintenance of sanitary sewer line and reservation of easement in the event of sale of park; and providing an effective date. The Parks, Recreation and Beautification Board recommends approval (6-0).

Under Section 551.042 of the Texas Open Meetings Act, respond to inquiries from the City Council or the public with specific factual information or recitation of policy, or accept a proposal to place the matter on the agenda for an upcoming meeting AND Under Section 551.0415 of the Texas Open Meetings Act, provide reports about items of community interest regarding which no action will be taken, to include: expressions of thanks, congratulations, or condolence; information regarding holiday schedules; an honorary or salutary recognition of a public official, public employee, or other citizen; a reminder about an upcoming event organized or sponsored by the governing body; information regarding a social, ceremonial, or community event organized or sponsored by an entity other than the governing body that was attended or is scheduled to be attended by a member of the governing body or an official or employee of the municipality; or an announcement involving an imminent threat to the public health and safety of people in the municipality that has arisen after the posting of the agenda.

Following the completion of the Special Called Session, the City Council will convene in a Special Called Closed Meeting to consider specific items when these items are listed below under the Closed Meeting section of this agenda. The City Council reserves the right to adjourn into a Closed Meeting on any item on its Open Meeting agenda consistent with Chapter 551 of the Texas Government Code, as amended, or as otherwise allowed by law.

1.	Closed Meeting

A. Certain Public Power Utilities: Competitive Matters - Under Texas Government Code, Section 551.086; and Consultation with Attorneys - Under Texas Government Code, Section 551.071.

1. Receive further competitive public power, financial and commercial information from Denton Municipal Electric ("DME") staff regarding the procurement, acquisition, integration and implementation of ERCOT Shadow Settlement Software in its Energy Management Organization relating to its power purchase operations, which includes bidding and pricing information for purchased power, generation and fuel, and Electric Reliability Council of Texas bids, prices, offers, and related services for purposes of supporting the Energy Management Organization of the Power Supply Administration of DME; discuss, deliberate, provide staff with direction, consider and take final action on the Master Customer Agreement and any and all ancillary Agreements pertaining thereto. Consultation with the City’s attorneys regarding legal issues associated with the above acquisition where a public discussion of these legal matters would conflict with the duty of the City’s attorneys to the City of Denton and the Denton City Council under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas, or would jeopardize the City’s legal position in any administrative proceeding or potential litigation; Consider an ordinance of the City Council of the City of Denton, Texas providing for, authorizing, and approving the execution by the City Manager of a "Master Customer Agreement" by and between the City of Denton, Texas and Ventyx, Inc., a Delaware Corporation, further authorizing and approving the execution of such other ancillary and related documents, including without limitation, licensing agreements and statements of work related to the Master Customer Agreement by the City Manager or his designee, which are incident or related thereto; confirming and ratifying that the City of Denton, Texas, its Mayor, its City Council members, its City Manager, its City Attorney, and their respective designees, shall be authorized and empowered to perform such acts and obligations as are reasonably required to complete and consummate this transaction; ratifying and confirming all prior actions taken by the City Council in furtherance of this procurement; and determining that said agreements pertain to a "Competitive Electric Matter" as set forth under the provisions of §§551.086 and 552.133 of the Texas Government Code, as amended; finding and determining that the approval of this transaction in a closed meeting of the City Council is further authorized under Texas law; finding and determining that Texas Government Code, Section 252.022(a)(7)(A) applies to the purchase of items that are available from only one source because of patents, copyrights and secret processes; and Section 252.022(c) of the Texas Government Code making it exempt from the Texas competitive bidding statutes; adopting significant recitations, findings and conclusions, as are set forth in the preamble of this ordinance; finding that the matter of approval of the Master Customer Agreement was posted as required by law and was duly considered in a closed meeting of the City Council on the 13th day of May, 2014, by a quorum of the Denton City Council and was duly approved by a vote taken in said closed meeting; providing that upon approval of the Ordinance, Master Customer Agreement and any and all ancillary agreements, by the City Council that the City Secretary is hereby authorized and directed to seal the said documents as Public Power documents, as provided by applicable Texas law; that this procurement is in the public welfare and is in the best interests of the ratepayers of Denton Municipal Electric; authorizing the expenditure of funds therefor; providing an effective date. The Public Utilities Board recommended approval by a vote of 6-0 on May 5, 2014.

B. Consultation with Attorneys - Under Texas Government Code Section 551.071.

1. Consult with and provide direction to City’s attorneys regarding legal issues and strategies associated with Gas Well Ordinance regulation of gas well drilling and production within the City Limits and the extraterritorial jurisdiction, including Constitutional limitations, statutory limitations upon municipal regulatory authority, statutory preemption and/or impacts of federal and state law and regulations as it concerns municipal regulatory authority and matters relating to enforcement of the ordinance.

C E R T I F I C A T E

I certify that the above notice of meeting was posted on the bulletin board at the City Hall of the City of Denton, Texas, on the ________day of ___________________, 2014 at ________o'clock (a.m.) (p.m.)

______________________________
CITY SECRETARY

NOTE: THE CITY OF DENTON COUNCIL WORK SESSION ROOM IS ACCESSIBLE IN ACCORDANCE WITH THE AMERICANS WITH DISABILITIES ACT. THE CITY WILL PROVIDE SIGN LANGUAGE INTERPRETERS FOR THE HEARING IMPAIRED IF REQUESTED AT LEAST 48 HOURS IN ADVANCE OF THE SCHEDULED MEETING. PLEASE CALL THE CITY SECRETARY'S OFFICE AT 349-8309 OR USE TELECOMMUNICATIONS DEVICES FOR THE DEAF (TDD) BY CALLING 1-800-RELAY-TX SO THAT A SIGN LANGUAGE INTERPRETER CAN BE SCHEDULED THROUGH THE CITY SECRETARY'S OFFICE.