Work Session Notes - September 3, 2024
It really doesn't matter at all, life's a gas
Tomorrow is an interesting meeting where we will have our our Regular Session immediately following our Work Session due to the Labor Day holiday. I hope you were able to join us this morning for the 78th annual Labor Day Parade which went back down through our Downtown Square after being off the Square for several years due to construction.
I welcome your comments on any Work Session or budget item before approval. As always, I’ll make my comments in bold italics for each of the items. Please email council7@garlandtx.gov with your input.
1. Interlocal Agreement for the Sale of Tax-Foreclosed Properties
Council is requested to consider a Resolution to approve the terms and conditions of an Interlocal Agreement by and between the City of Garland, Dallas County, Garland Independent School District, Dallas College, and the Dallas County Hospital District for waiving the judgment amount on qualifying tax foreclosed properties.
When a property is foreclosed upon for delinquent taxes and the City receives the title, we then move to sell the property through an interlocal agreement with the other taxing agencies (Dallas County, Dallas Hospital District, Dallas College, GISD) to sell the property and return it to productive status. This item formalizes those agreements to sell the tax-foreclosed properties.
2. Employee Health Clinic Facility Rental
Council is requested to consider to enter into a Lease Agreement to relocate the Employee Health Clinic.
With this item, we will formally agree to move the current employee health clinic, known as the CityCare Clinic or CCC from 1720 Commerce St. to a new location within the Valoris Healthpark at 530 Clara Barton Rd., Ste. 250. The new location will not have the HVAC and lighting issues of the current location and will provide more available parking for patrons.
3. Employee Health Clinic Onsite Services Agreement
Council is requested to consider to enter into an Onsite Service Agreement with Care ATC for oversight of the CityCare Clinic.
Once the CCC is moved, Care ATC will take over operations at the clinic. Care ATC operates over 120 employee clinics nationwide including ones for the City of Dallas, City of Arlington and City of Carrollton.
The change from operating using city employees to Care ATC is expected to be revenue neutral for the city.
4. Term Contract for Major Medical Services
Council is requested to consider to enter into term contracts with each of the respondents identified. In anticipation of acceptance, proposed rates, credits, and allowances are reflected in the FY 2024-25 Proposed Budget.
Council will approve term contracts for:
Medical Third-party Administration, Pharmacy Services
Stop Loss Coverage
Dental Services
Employee Vision
Retiree Vision
City Management has been able to successfully manage our healthcare expenses over the past year and will not require an increase of the employee’s contribution to healthcare costs this budget year.
5. Atmos Settlement Agreement
Council is requested to consider the approval of a Settlement Agreement with Atmos Energy and the resulting rate change under the Rate Review Mechanism (RRM) tariff.
In order for Atmos Energy to increase the rate it charges for natural gas, it must go through a rate review process. Garland is part of the Atmos Cities Steering Committee (ACSC) which negotiates on the City of Garland’s behalf, along with 181 other cities in Texas for rate increases.
Atmos claimed through the RRM that the cost-of-service increased in the year ending December 31, 2023 which entitled Atmos to additional system-wide revenues of $196.8 million with $182.5 million applying to ACSC cities. The ACSC countered that Atmos was only should be eligible for $149.6 million rather than the $182.5 million. Eventually, the parties settled on an increase of $164.7 million that Atmos would receive.
This settlement will result in an average increase of 6.84% in residential costs or $5.52. The increase for average commercial usage will be $13.39 or 3.44%.
6. Household Hazardous Waste Interlocal Agreement Renewal
Council is requested to consider authorizing the City Manager to execute the ILA between Dallas County and the City of Garland.
As part of the City’s ability to discharge stormwater as regulated by our MS4 permit through the Environmental Protection Agency, Garland must provide a Household Hazardous Waste Management Program. The City of Garland has an agreement with Dallas County to provide this service and accept hazardous waste from Garland residents at no charge. The site is located at 11234 Plano Road, Dallas, Texas, which is just south of the Garland city limits and is a very convenient location in Dallas County for Garland residents. This item will formalize the agreement for another year.
(Streetview image courtesy of Google Maps)
VERBAL BRIEFINGS
Council may ask for discussion, further information, or give direction to staff on an item posted as a verbal Briefing.
7. 2025 Bond Study Committee Report
City Council will receive an update from staff and the Bond Study Committee Chair regarding discussions and progress of the 2025 Bond Study Committee.
The 2025 Bond Study Committee has held three meetings, and I am anxious to hear from Bond Committee Chairman Joe Thomas’s perspective what they have discussed thus far. With a focus on Economic Development, staff has been walking the committee members through how the City incentivizes economic development through strategic purchases of property and development agreements.
You can view past meeting agendas, view the presentations and hear audio recordings of the meetings at our Bond Committee 2025 website here: https://garlandtx.gov/4329/Bond-Study-Committee
I encourage you to review the bond information as the results of the committee will have a great impact on the future of Garland. Please provide any input you have, and I will be happy to pass it along to the committee.
8. FY 2024-25 Budget Discussions - Final Direction from Council
Hear a presentation prepared by Allyson Steadman, Budget Director, and receive Council direction regarding the FY 2024-25 Annual Operating Budget. Unless otherwise directed, this item will be scheduled for formal consideration at the September 3, 2024 Regular Meeting.
This is the final opportunity to discuss the largest proposed city budget of just over $1 billion dollars before adoption at the regular meeting later tomorrow night. I believe all of the Council questions have been satisfactorily answered by staff, and I am happy to support a budget that supports the growth of new city facilities, provides compensation and merit increases for city employees to stay competitive, enhances infrastructure and maintenance funding, and maintains high levels of reserves to respond to unforeseen challenges.
I believe that our street condition will improve significantly with the amount of funding that we are proposing to allocate over the next several years. Most importantly, we have reached an agreement to provide our retired city employees with a cost-of-living adjustment on their pensions. This is at a significant cost to the city, but ensures that our retirees can maintain their living standards well after their many years of service to the citizens of Garland.
CONSIDER APPOINTMENTS TO BOARDS AND COMMISSIONS
Terms are usually staggered whereby at least half of the membership has previous experience. Members are appointed based on qualifications.
9. Mayor Pro Tem Ed Moore
Xavier Price-Garland Youth Council
ANNOUNCE FUTURE AGENDA ITEMS
A Councilmember, with a second by another member or the Mayor alone, may ask that an item be placed on a future agenda of the City Council or of a committee of the City Council. No substantive discussion of that item will take place at this time.
ADJOURN
T. Rex were originally part of the psychedelic rock movement of the early 1970s, but eventually found more success with glam rock and their one-hit wonder song “Bang a Gong (Get It On).” After talking about Atmos gas rates, I’ll play “Life’s a Gas” by T. Rex. The video is classic 1970s music video goodness with trippy backgrounds, shadow outlines, and multiple camera angles of the singer in one frame.