
Tuesday, 8/25/09 at 730pm, City Council began their meeting (agenda).


Keeping Coppell Informed :: Est. 2009 by Concerned Citizens in 75019
NOTICE OF CITY COUNCIL MEETING AND AGENDA
AUGUST 25, 2009
JAYNE PETERS, | KAREN HUNT, | Place 7 | ||
Mayor | Mayor Pro Tem | |||
TIM BRANCHEAU, | Place 1 | MARSHA TUNNELL, | Place 4 | |
BOB MAHALIK, | Place 2 | BILLY FAUGHT, | Place 5 | |
BRIANNA HINOJOSA-FLORES, | Place 3 | MARVIN FRANKLIN, | Place 6 |
CLAY PHILLIPS, City Manager
MEETING TIME AND PLACE:
Call to Order | 5:30 p.m. | Council Chambers | (Open to the Public) |
Executive Session | Immediately Following | 1st Fl. Conf. Room | (Closed to the Public) |
Work Session | Immediately Following | 1st Fl. Conf. Room | (Open to the Public) |
Regular Session | 7:30 p.m. | Council Chambers | (Open to the Public) |
Notice is hereby given that the City Council of the City of Coppell, Texas will meet in Regular Called Session on Tuesday, August 25, 2009, at 5:30 p.m. for Executive Session, Work Session will follow immediately thereafter, and Regular Session will begin at 7:30 p.m., to be held at Town Center, 255 Parkway Boulevard, Coppell, Texas.
As authorized by Section 551.071(2) of the Texas Government Code, this meeting may be convened into closed Executive Session for the purpose of seeking confidential legal advice from the City Attorney on any agenda item listed herein.
The City of Coppell reserves the right to reconvene, recess or realign the Work Session or called Executive Session or order of business at any time prior to adjournment.
The purpose of the meeting is to consider the following items:
ITEM # ITEM DESCRIPTION
CONSENT AGENDA
______________________________
Jayne Peters, Mayor
CERTIFICATE
______________________________
Libby Ball, City Secretary
DETAILED INFORMATION REGARDING THIS AGENDA IS AVAILABLE ON THE CITY'S WEBSITE (www.ci.coppell.tx.us) UNDER PUBLIC DOCUMENTS, COUNCIL PACKETS.
PUBLIC NOTICES
STATEMENT FOR ADA COMPLIANCE
The City of Coppell acknowledges its responsibility to comply with the Americans With Disabilities Act of 1990. Thus, in order to assist individuals with disabilities who require special services (i.e. sign interpretative services, alternative audio/visual devices, and amanuenses) for participation in or access to the City of Coppell sponsored public programs, services and/or meetings, the City requests that individuals make requests for these services forty-eight (48) hours ahead of the scheduled program, service and/or meeting. To make arrangements, contact Vivyon V. Bowman, ADA Coordinator or other designated official at (972) 462-0022, or (TDD 1-800-RELAY, TX 1-800-735-2989).
On Aug. 25th the Coppell City Council will meet at City Hall in public hearing for raising city taxes 5 cents. Mayor Jayne Peters has publicly opposed the Council’s proposed tax increase. “In my opinion,” Peters said, “this is not the time for a tax rate increase in the City of Coppell. These are the worst economic conditions that we’ve faced in our entire lifetime. Many families and businesses are struggling. We need to demonstrate a compassion and sensitivity to the plight of our residents and businesses.”
Citizen interest in a public hearing appears to be gaining momentum as a result of the Mayor’s opposition. E-mails are flying across the internet. Citizens are questioning the City’s justification for a tax increase. A lingering recession, some folks living on credit cards to make ends meet, more than 7% unemployment in Coppell, homes in foreclosure, layoffs and fear of job losses rippling throughout North Texas—all these factor into this discussion. Now, combine these factors with some previous issues that have created citizen anger and we have an environment rife with emotion. Contrast the above with the Mayor’s assertion that a no-tax-increase budget could actually cover anticipated and budgeted items and still leave a generous General Fund to cover unexpected shortfalls.
The Mayor is taking the tax rate issue to anyone who will listen. “Between now and the final vote on the budget on September 8,” Peters said, “I make the offer to visit with any group or individual who wants to join the discussion. I want to hear from residents, from business owners, from tax payers. I invite our citizens to join the discussion.”
In their defense, the Council has been seeking public input on the budget process for months. Due to a lack of significant public input, the Mayor has taken the issue to the people. Certainly, now that a budget has been officially presented, the Council will welcome such citizen input. “In this representative form of government,” Peters said, “I welcome the dialog, the discussion, the debate, the deliberation that has to occur when we consider moving forward with a decision of this importance. The debate doesn’t have to be divisive or destructive – I contend that reasonable people can disagree respectfully. However, I do believe that the dialog, discussion, debate, deliberation is an essential element of representative government at its best.”
Keep in mind that public input represents a positive aspect of our government. It is the basis of the democratic process at the grass roots level. And, it is this process that our elected officials are sworn to uphold.
However, contributing to public concern is the belief that the City has not done a good job of demonstrating a real need for a tax increase. The City has officially experienced less than 1% property devaluation compared to last year. Thus, Coppell tax revenues will be close to the same as last year while other cities will experience serious revenue declines. There have been no budget cuts, no perceived cost cutting, no reduction of services, no employee layoffs, and no pay reductions. On the contrary, a no-tax-increase City budget—as affirmed by City staff--would still fund a staff salary increase of 2%. And, the Mayor relates that such a budget—with no tax increase—would also cover debt service, a healthy fund balance, and proposed expenses. Also, such a budget would include funding the Northlake debt service commitment with no anticipated affect on the City’s AAA Bond rating.
So, with citizens cutting back and looking for ways to survive this recessionary time, the Council’s actions don’t create confidence in the need for a tax increase. Therein exists the problem: a real need for a tax increase has not been demonstrated by the City or perceived by the public.
story
Residents in Coppell could be paying higher property taxes by October.
The City Council recently approved the setting of the proposed tax rate of a 5-cent increase, or 7 percent, which will fund the debt service from the sale of $26.5 million in bonds for land purchase at North Lake, city manager Clay Phillips said.
If the tax rate is adopted by the council Sept. 8, the more-than $2 million property tax revenue garnered in 2009 will go toward paying down a year of the 20-year note, which is $2.8 million a year, said Jennifer Miller, director of finance. The additional funds will come from the city’s debt service fund balance in 2009-10, she said.
That would increase the tax rate to $.69146 per $100 of appraised property value. In a nutshell, homeowners of the average $272,478 home in Coppell would be paying an additional $138.66 in property taxes a year, Miller said.
The city purchased about 468 acres from Oncor after an extended legal battle over the 1,700 acres of North Lake property. The dispute stemmed from Billingsley Co.’s plans for a mixed-use project on more than 500 acres it already owned. A settlement was reached dividing property among the city of Coppell, the Coppell school district, which purchased 122 acres, Billingsley and Oncor.
“We issued the bond, we purchased the land, and now it’s time to pay it back,” Miller said.
Alternative funding options
Mayor Jayne Peters said with so many residents and businesses struggling financially, she doesn’t believe that this is the year to raise Coppell’s tax rate.
Peters would prefer the debt be paid from the general fund balance, which includes tax stabilization funds.
“In that same account, we have $16 million that’s undesignated,” she said. “My suggestion is that we use $1 million from the tax stabilization and another $1.8 million out of the undesignated funds.”
Some Coppell residents have formed a group opposing the proposed tax rate increase.
Barb Schmidt, a former Coppell school board member of seven years, is a member of the group. She said she’s aware of the reserve fund, which can be tapped at times of need. So she is joining other members of the community to educate the public.
“It’s a grassroots effort,” she said. “It’s just a bunch of us who are trying to get the word out to other citizens and make sure they’re aware of it. Most are surprised we’re [raising the tax rate] in this economic climate when we have this [reserve] fund.
“We understand tax increases need to happen. But is this really the best time?”
Phillips said the council does have the option to use the undesignated funds, which are intended to pay for operations, maintenance, services and programs. Essentially, the funds could be used for these city expenses over a longer period of time or used to offset the debt service for a few years, he said.
Phillips said the latter isn’t a wise practice because it would deplete the undesignated funds. Although no one wants to have to raise the tax rate, the final decision hasn’t been made, he said
“The council is trying to decide the best way to service the debt associated with the purchase of the land at North Lake,” he said.
Paying down the debt
Phillips said residents voted to approve the sale of bonds to purchase land at North Lake and knew about the annual debt service payments.
Peters, who does not get to vote on the proposed increase, said some are arguing that it’s now time for residents to help pay off the debt, but she believes they’ve already done so.
“My contention is it that they’ve already paid for it based on the healthy fund balance we have,” she said.
Public hearings
State-mandated public hearings on the proposed tax rate increase are scheduled at the regular city council meeting at 7:30 p.m. Aug. 25 and 6 p.m. Sept. 1 in the Council Chambers on the first floor of Town Center, 255 Parkway Blvd.
The council will have the option to adopt the proposal Sept. 8, and if the tax rate increase is adopted, residents will start paying the new tax rate Oct. 1, when the new fiscal year begins.
2008 city tax rates from cities bordering Coppell
Addison: 0.4535
Carrollton: 0.617875
Coppell: 0.64146
Farmers Branch: 0.4945
Irving: 0.5406
Lewisville: 0.44021
SOURCE: Dallas County Appraisal District
Lindsey Bever is a reporter with neighborsgo and can be reached at 972-436-5551 ext. 3004 or via e-mail at lbever@neighborsgo.com. If you have a story, photo or video you'd like to share, please post it directly on neighborsgo.com.