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HomeMy WebLinkAbout2013.03.12_Worksession AgendaPUBLIC NOTICE OF THE JOINT MEETING OF THE OWASSO CITY COUNCIL, OPWA, AND OPGA TYPE OF MEETING: DATE: TIME: PLACE: Regular March 12, 2013 6:00 p.m. Old Central Building 109 N. Birch RECEIVED MAR 0 8 2013 6#"" City Clerks Office Notice and agenda filed in the office of the City Clerk and posted on the City Hall bulletin board at 6:00 PM on Friday, March 8, 2013. lk� k� 0& Sherry Bishop, C' Clerk AGENDA Call to Order Mayor Doug Bonebrake 2. Presentation Relating to the Open Meeting Law Ms. Bishop and Ms. Lombardi 3. Discussion Relating to Administrative Items Ms. Bishop Attachment #3 A. Elm Creek Interceptor Payback B. OWRB Loan Application - Ranch Creek Sewer Interceptor C. Renewal of Cox Cable Television Permit Agreement D. Update on Audio Recording 4. Discussion Relating to Operational Items Mr. Lehr Attachment #4 A. 2013 CDBG Program B. Capital Improvements Committee Priority List Recommendation 5. Discussion Relating to City Manager Items Mr. Ray Attachment #5 A. Public Safety Capital Fund Expiration B. FY 2014 Budget Discussion C. City Manager Report Sales Tax Report 6. Report from City Councilors 7. Adjournment The City wit out Limits. TO: The Honorable Chair and Trustees Owasso Public Works Authority FROM: Sherry Bishop Assistant City Manager SUBJECT: Elm Creek Sewer Interceptor -- Assessment Fee DATE: March 8, 2013 BACKGROUND: In January 1999, the City Council and the OPWA Trustees took action to establish a per acre assessment to recoup costs associated with the Elm Creek Interceptor Sewer project in the Elm Creek Drainage Basin. OPWA Resolution No. 1998 -07 defined the drainage basin and the assessment area as areas depicted per an attached map. In 2002, the Tech Center Sewer Interceptor connected to the Elm Creek Sewer Interceptor extending the availability of sewer services several miles to the north. The OPWA Trustees approved a Sanitary Sewer Payback Contract with Owasso Land Trust (OLT) for the system improvements with a payback to OLT for any connections to the Tech Center Sewer Interceptor. The contract with OLT was for ten years and expired on July 1, 2012. When the Tech Center interceptor attached to the Elm Creek interceptor, the Elm Creek assessment area expanded to include all areas served by connection to the Elm Creek Sewer Interceptor. The understanding was that some properties could be subject to both the Elm Creek assessment and the Tech Center payback fees. With the expiration of the Tech Center Payback Contract, project documents were reviewed for close out and to update what areas were still subject to the Elm Creek Sewer Interceptor assessment fee. No documentation was found that had enacted the expansion of the Elm Creek assessment area beyond the original area defined in OPWA Resolution No. 1998 -07. PROPOSAL: Staff is proposing that the definition of the Elm Creek Sewer Interceptor Assessment Area be changed from the area depicted on a map to all areas served by the Elm Creek Sewer Interceptor. The original assessment area was established by OPWA resolution and City ordinance, so changes would again require both Council and Trustee approval. Tl�e City Wit aui Limits. TO: The Honorable Chair and Trustees Owasso Public Works Authority FROM: Sherry Bishop Assistant City Manager, Administrative Services SUBJECT: Ranch Creek Sewer Interceptor Improvement Project OWRB Loan Application DATE: March 8, 2013 BACKGROUND: The Ranch Creek Sewer Interceptor Improvement Project was approved by the OPWA Trustees on April 17, 2012. The improvements are upstream of the Santa Fe Pump Station (located on East 76th Street North) and extend to East 96th Street North. The project work includes upgrading the existing 18" sanitary sewer line to a new 30" diameter sewer line. The estimated total project cost is $4 million. Planned funding for the project is a loan from the Oklahoma Water Resources Board (OWRB) through the Clean Water State Revolving Fund. Kellogg Engineering is designing the project and final design is anticipated to be complete in July and the project will be ready to bid. Funding for the project must be in place before a bid is awarded. An application for OWRB financing must be authorized by Trustee resolution. PROPOSAL: Staff will propose approval of a resolution authorizing an application with the OWRB for a loan to finance the construction of the Ranch Creek Sewer Interceptor Improvement Project. V The City writ out Limits. TO: The Honorable Mayor and City Council City of Owasso FROM: Julie Trout Lombardi City Attorney and General Counsel SUBJECT: Proposed Renewal of Cox Cable Television Permit Agreement DATE: March 8, 2013 BACKGROUND: CoxCom, Inc ( "Cox ") provides cable services within the City of Owasso pursuant to a permit originally approved in an ordinance and issued by the City on December 20, 1994. Since that time, the permit agreement between Cox and the City has been reviewed and renewed by the parties prior to the expiration of each term of the agreement. The agreement has also been amended whenever changes in relevant federal or state law have made modifications necessary or beneficial to the parties. On April 15, 2008, the current agreement was approved and executed by Cox and the City. The agreement provided for a term of five (5) years thus the current agreement will terminate on April 15, 2013, if not renewed by the parties prior to that time. The terms of the proposed agreement are unchanged from the current agreement and are largely dictated by federal law and regulations promulgated by the FCC. The most significant provisions within the agreement are summarized as follows: The agreement is non - exclusive and shall be effective for a term of five (5) years. The parties agree to enter into good faith negotiations regarding possible renewal, modification or extension of the agreement prior to the end of that five (5) year term. Cox shall pay a franchise fee to the City equal to 5% of the gross revenue collected from each subscriber to the IP- enabled Video Services product and 5% of the portion of gross revenues received for advertising which are related to the IP service. This fee is in lieu of all other concessions, charges, licenses, permit fees, taxes and assessments other than sales tax, property or ad valorem tax and fees levied for the purpose of funding the E911 system. • Cox shall provide two (2) channels for noncommercial and government programming to the City of Owasso. • Cox shall comply with the Emergency Alert System federal regulations requiring a service provide to work with municipalities to develop processes for providing emergency alerts to citizens as needed. PROPOSED ACTION: Renewal of the proposed cable television permit agreement between Cox and the City of Owasso. ATTACHMENTS: A. Proposed Agreement between Cox and the City of Owasso B. Owasso Code of Ordinances, Appendix 1 - Cable Television AGREEMENT This Agreement ( "Agreement ") is made and entered into this day of April, 2013, by and between the City of Owasso, a municipal corporation, hereinafter referred to as the "City," and CoxCom, Inc., a Delaware corporation hereinafter referred to as "Cox" or "Company," with Cox and City sometimes separately referred to hereinafter as a "party," and sometimes collectively as "parties." WHEREAS, Cox has operated a cable system and provided cable service in the City pursuant to a permit (Ordinance No. 493) approved on December 20, 1994; and WHEREAS, the City's role as manager of its rights -of -way and regulator of cable service providers requires it to ensure a fair and level playing field for all service providers; and WHEREAS, Cox has requested, and the City has agreed, to amend and restate Cox's permit pursuant to the terms contained herein, thereby ensuring a fair and level playing field for all video providers in the City; and NOW, THEREFORE, in consideration of the mutual covenants, promises and agreements hereinafter set forth, the parties agree as follows: 1. Term of Agreement: This non - exclusive Agreement shall take effect upon approval hereof by Cox and by the City Council of the City and shall be effective for a term of five (5) years thereafter. Prior to the end of this term, the parties agree to enter into good faith negotiations regarding a possible renewal and/or modification and /or extension of this Agreement. 2. Nature of Agreement: (A) No privilege or exemption shall be granted or conferred by this Agreement except those specifically prescribed herein. (B) Any right or power in, or duty impressed upon, any officer, employee, department, or board of the City by this Agreement shall be subject to transfer by the City to any other officer, employee, department, or board of the City. (C) This Agreement shall not relieve Cox of any existing obligations involved in obtaining permits, pole or conduit space from any department of the City, utility company, or from others maintaining utilities in streets. (D) This Agreement shall be a privilege to be held in personal trust by Cox for the benefit of the public. Said privilege cannot in any event be sold, transferred, leased, assigned or disposed of (except to an affiliate of Cox), including but not limited to, by forced or voluntary sale, merger, consolidation, receivership or other means without the prior written consent of the City, and then only under such conditions as the City may Page 1 of 6 establish. Such consent as required by the City shall not, however, be unreasonably withheld. Obligations of Cox: (A) During the term of this Agreement, Cox shall pay to City a fee equal to 5% of the gross revenues of Cox and its affiliates collected from each subscriber to Cox's Cable Services product, and 5% of the portion of gross revenues from advertising which are defined in subsection 3(A)(3), below; the fee ( "Franchise Fee ") may be identified and passed through on any subscriber bill by Cox, and all such fees collected will be forwarded to City quarterly and shall be due forty -five (45) days after the end of each quarter. (1) For purposes of this Agreement, gross revenues are limited to the following: (i) recurring charges for Cable Services; (ii) event -based charges for Cable Services, including but not limited to pay - per -view and video -on- demand charges; (iii) rental of set top boxes and other Cable Services equipment; (iv) service charges related to the provision of Cable Services, including, but not limited to, activation, installation, and repair; and (v) administrative charges related to the provision of Cable Services, including, but not limited to, service order and service termination charges; (vi) amounts billed to Cable Services subscribers to recover the Franchise Fee authorized by this section. (2) For purposes of this Agreement, gross revenues do not include: (i) Uncollectible fees, provided that all or part of uncollectible fees which is written off as bad debt but subsequently collected, less expenses of collection, shall be included in gross revenues in the period collected; (ii) late payment fees; (iii) revenues from contracts for in -home maintenance service unless they relate solely to maintenance on equipment used only for the provisioning of Cable Services and not for the provisioning of any other service provided by Cox or its affiliates; (iv) amounts billed to Cable Services subscribers to recover taxes, fees or surcharges imposed upon Cable Services subscribers in connection with the provision of Cable Services, other than the Franchise Fee authorized by this section; (v) revenue from the sale of capital assets or surplus equipment; or (vi) charges, other than those described in subsection (1), that are aggregated or bundled with amounts billed to Cable Services subscribers. (3) "Gross Revenues" which are subject to the Franchise Fee paid by Cox additionally include a pro rata portion of all revenue collected by Cox pursuant to compensation arrangements for advertising (less any commissions Cox receives from any third parties for advertising) and home - shopping sales derived from the operation of Page 2 of 6 Cox's Cable System within the City. Advertising commissions paid to third parties (excluding any refunds, rebates, or discounts the Company may make to advertisers) shall not be deducted from advertising revenue included in gross revenue. The allocation of advertising and home - shopping revenue referred to above shall be based on the number of subscribers in the City divided by the total number of subscribers in relation to the relevant regional or national compensation arrangement. (4) Bundling discounts shall be apportioned fairly among video and other services. Cox shall not apportion revenue in such a manner as to avoid the Franchise Fee. (5) In the event that any other video services provider, including but not limited to a cable operator or open video service provider, enters into any agreement or makes any arrangement with City during the term of this Agreement whereby it is required or allowed to pay a fee to the City that is similar to the Franchise Fee described herein, City shall allow Cox to substitute the definition of "gross revenue" set forth in that agreement or arrangement for the definition of "gross revenue" set forth in this Agreement immediately upon request of Cox. (6) Cox will grant the City the right to conduct reasonable audits to assure that the Franchise Fee has been properly calculated. (B) Cox and City agree that the Franchise Fee shall be in lieu of all other concessions, charges, excises, franchise, license, privilege, permit fees, taxes, or assessments except sales taxes, personal or real property taxes, and ad valorem taxes. (C) During the term of this Agreement, Cox shall provide to the City one dedicated, noncommercial access channel for use by governmental institutions within the City and one dedicated, noncommercial access channel for use by educational institutions within the City through Cox's Cable System so long as City and educational institutions designated by the City provide any educational or governmental programming content in a standard format compatible with Cox's technology. City and educational institutions designated by the City shall provide this programming, and Cox shall receive this programming, at Cox's head location in the City. City and educational institutions designated by the City will be solely and individually responsible for their own programming content. (D) Cox shall comply with the federal Emergency Alert System regulations (47 C.F.R. Part 11). (E) The parties agree to consult in the event that, after execution of this Agreement, any court, agency, commission, legislative body, or other authority of competent jurisdiction issues a finding that limits the validity or enforceability of this Agreement, in whole or in part. Should the finding be final, non - appealable and binding upon either City or Company, this Agreement shall be deemed modified or limited to the extent necessary to address the subject of the finding unless either party, within thirty (30) days of receipt of the ruling, provides written notice to the other party of election to Page 3 of 6 terminate, in which case this Agreement shall terminate within six (6) months or such earlier period as the parties mutually may agree. Where the effect of a finding is a modification, the parties shall enter into good faith negotiations to modify this Agreement in the manner which best effectuates its overall purposes and the intentions of the parties. Failure to reach a mutually satisfactory modification within ninety (90) days of the commencement of such efforts shall entitle either party to terminate the Agreement on the provision of thirty (30) days' written notice. In addition to the termination rights set forth above, Cox shall have the right to terminate this Agreement and all obligations hereunder upon ninety (90) days notice to the City, if (i) state or federal law changes in a manner that would allow Cox to opt into franchise requirements that are, in Cox's sole judgment, more beneficial than those contained herein; or (ii) another provider of video services is permitted, through a City authorization or otherwise, to use the public rights -of -way to provide video services on terms that are, in Cox's sole judgment, more beneficial than those contained herein. (F) Cox shall determine, in its sole discretion where in the City its facilities shall be constructed, operated, maintained, repaired and upgraded to provide, and where in the City to provide its Cable Services. However, Cox agrees that it will offer Cable Service to all residential subscribers residing within its current service footprint within the boundaries of the City, subject to density, technical feasibility, and access limitations based on standard industry practice (e.g., density limitation of forty (40) homes per mile, authorized access to private property/developments, etc.). 4. Obligations of City. City will not attempt to nor subject the provision of Cox's Cable Service to regulation under any provision of the City's cable television or broadband telecommunications franchise ordinance or similar ordinance(s) that are inconsistent with or more burdensome than those contained herein. In addition: (A) City agrees to subject the construction and installation of the facilities that will be used in whole or in part to provide Cox's Cable Service to the same process and review as it subjects the installation and construction of traditional telecommunications infrastructure; (B) City agrees not to unreasonably block, restrict, or limit the construction and installation of facilities that will be used in whole or in part to provide Cox's Cable Service; (C) City agrees to process any and all applicable permits for the installation, construction, maintenance, repair, removal, and other activities associated with placement of communications or transmission facilities of any kind in a timely and prompt manner; (D) Cox represents and claims that its Cable Service is a "cable service" under federal law and will comply with all obligations imposed by federal law on cable operators. This Agreement shall not apply to any service Cox provides that is not a "cable service" as such service is defined under federal law. Page 4 of 6 5. Modification. This Agreement may be amended or modified only by a written instrument executed by both Parties. 6. Entire Agreement. This Agreement constitutes the entire agreement between City and Cox with respect to the subject matter contained herein and supersedes all prior or contemporaneous discussions, agreements, and /or representations of or between City and Cox regarding the subject matter hereof. Specifically, this Agreement replaces the permit granted by Ordinance No. 493. 7. Waiver. Failure on the part of either Party to enforce any provision of this Agreement shall not be construed as a waiver of the right to compel enforcement of such provision or any other provision. 8. Miscellaneous. (A) Cox and City each hereby warrants that it has the requisite power and authority to enter into this Agreement and to perform according to the terms hereof. (B) The headings used in this Agreement are inserted for convenience or reference only and are not intended to define, limit or affect the interpretation of any term or provision hereof. The singular shall include the plural; the masculine gender shall include the feminine and neutral gender. (C) Nothing contained in this Agreement is intended or shall be construed as creating or conferring any rights, benefits or remedies upon, or creating any obligations of the Parties hereto toward any person or entity not a party to this Agreement, unless otherwise expressly set forth herein. (D) This Agreement shall not be exclusive and the City expressly reserves the right to enter into similar agreements with any other company offering the same or similar video services at any time. (E) The geographic area covered by this Agreement shall be the incorporated limits of the City of Owasso, Oklahoma, as such area now exists or may be modified in the future by annexation or deannexation. (F) The parties agree that either Tulsa County District Court (14th Judicial District) or the United States District Court for the Northern District of Oklahoma shall be the sole and exclusive forum for any judiciable disputes concerning this Agreement. 9. Binding Effect. This Agreement shall be binding upon and for the benefit of each of the Parties and their respective principals, managers, City Council members, offices, directors, shareholders, agents, employees, attorneys, successors and assigns and any parents, subsidiaries or affiliated corporations or entities, as applicable. Page 5 of 6 10. Definitions. The following words, terms and phrases, when used in this Agreement, shall have the meanings ascribed to them in this section: (A) "Cable service" shall have the same meaning as contained in federal statutes, 47 U.S.C. §542(6) on the effective date of this Agreement. (B) "Cable System" shall have the same meaning as contained in federal statutes, 47 U.S.C. §542(7) on the effective date of this Agreement. IN WITNESS WHEREOF, the parties hereto, by their duly authorized representatives, have executed this Agreement as of the day of April, 2013. COXCOm, Inc.: Name: David A. Bialis Title: Vice President, General Manager City: APPROVED by the City Council of The City of Owasso, Oklahoma, on the day of April, 2013. Doug Bonebrake, Mayor ATTEST: Sherry Bishop, City Clerk REVIEWED as to form and legality this day of April, 2013. Julie Lombardi, City Attorney Page 6 of 6 Appendix 1 - Cable Television APPENDIX 1 CABLE TELEVISION Section 1 Definitions Section 2 Grant of Authority Section 3 Nonexclusive Grant Section 4 Rules of Grantee Section 5 Service Standards Section 6 Regulations by City Section 7 Conditions on Street Use Section 8 Erection, Removal and Joint Use of Poles Section 9 Rates to Subscribers Section 10 Liability of Grantee; Indemnification Section 11 Operational Standards Section 12 Time of construction. Section 13 Service to Subscribers Section 14 Waiver of Installation Charges Section 15 Duration and Revocation Section 16 Assignability Section 17 Miscellaneous Provisions Section 18 Franchise Tax or Permit Fee Section 19 Acceptance Section 20 Severability Scrimoralklis For the purposes of this ordinance, the following terms, phrases, words and their derivations shall have the meaning given herein. When not inconsistent with the context, words used in the present tense include the future tense, words in the plural include the singular, and words in the singular include the plural. The word "shall" is always mandatory and is not directory. 1. "City." The City of Owasso, a municipal corporation, located in Tulsa County, Oklahoma, in its present incorporated form or in any other reorganized, consolidated or changed form; 2. "City Council." The legislative body of the city, or any future body constituting the legislative body of the municipality; 3. "Grantee." The person, firm or corporation to whom or to which a permit or franchise under this ordinance is granted by the city council, and the lawful successor or assignee of the person, firm or corporation; 4. "Street." The surface of and the space above and below any public street, road, highway, freeway, right -of -way, easement, alley, court, sidewalk, parkway, drive or other public property hereafter existing as such within the city; 5. "Cable television system." Hereinafter referred to as "cable television" or "system" means a system of antennae, coaxial cable, wave guides or other conductors, equipment or facilities designed, constructed or used for the purpose of providing television, FM radio, or other services by cable through its facilities as herein contemplated; "Subscriber." Any person or entity receiving for any purpose the cable television service of the grantee herein; Cable Television/Page 1 -8 Appendix 1 -Cable Television "Franchise." Permit to a person, firm or corporation granted pursuant to a vote of the people; and 8. "Permit." A license or permit signifying authorization to operate a cable television system by a vote of the council and without a vote of the people. (Ord. No. 275, 11/20/79) SECTION 2 GRANT OF AUTHORITY The city shall have the power to grant a permit or a franchise. The recipient of the permit or franchise is herein referred to as grantee. The permit or franchise shall empower the grantee, its successors or assigns, the right and privilege to construct, operate and maintain a cable television system within the city for the distribution of television signals, FM radio or other service by cable, subject to the terms, conditions and provisions contained herein. (Ord. No. 275, 11/20/79) SECTION 3 NONEXCLUSIVE GRANT The right to use and occupy the streets, alleys, public ways and places for the purposes herein set forth shall not be exclusive, and the city reserves the right to grant a similar use of the streets, alleys, public ways and places to any person, firm or corporation at any time. (Ord. No. 275, 11/20/79) SECTION 4 RULES OF GRANTEE The grantee shall have the authority to promulgate such rules, regulations, terms and conditions governing the conduct of its business as is reasonably necessary to enable the grantee to exercise its rights and to perform its obligations under this permit and to assure uninterrupted service to each and all of its customers; provided that, such rules, regulations, terms and conditions are not in conflict with the provisions hereof, the rules of the Federal Communications Commission or the laws of the State of Oklahoma. (Ord. No. 275, 11/20/79) SECTION 5 SERVICE STANDARDS The grantee shall maintain and operate its system and render efficient service in accordance with such rules and regulations as are, or may be, hereinafter promulgated by the Federal Communications Commission. Whenever it is necessary to interrupt service for the purpose of making repairs, adjustments or installations, the grantee shall do so at such times as will cause the least amount of inconvenience to its customers, and unless such interruption is unforeseen and immediately necessary grantee shall give reasonable notice thereof to the customers. (Ord. No. 275, 11/20/79) SECTION 6 REGULATIONS BY CITY The grantee in the installation of the cable television system shall at all times, be subject to the terms and provisions of the ordinances of the city and to the lawful exercise of police power by the city. (Ord. No. 275, 11/20/79) SECTION 7 CONDITIONS ON STREET USE A. All transmission and distribution structures, lines and equipment erected by the grantee within the city shall be located so as not to interfere with the proper use of streets, alleys and other public ways and places, and to cause minimum interference with the rights or reasonable convenience of property owners who adjoin any of the streets, alleys or other public ways and places, and not to interfere Cable Television/Page 2 -8 Appendix 1 - Cable Television with existing public utility installations. In all areas of the city where the cables, wires and other like facilities of public utilities are placed underground, the grantee shall place its cables, wires or other like facilities underground to the maximum extent existing technology reasonably permits. The grantee shall furnish to and file with the city maps, plats and permanent records of the location and character of all facilities construction, including underground facilities, and the same shall be maintained in a current status. B. In case of any disturbance of pavement, sidewalk, driveway or other surfacing, the grantee shall, at its own expense and in the manner provided by the city replace and restore all paving, sidewalk, driveway or other surface of any street or alley disturbed. C. If at any time during the period of this permit, the city shall lawfully elect to alter or change the grade or location of any street, alley or other public way, the grantee shall upon reasonable notice by the city remove, relay and relocate its poles, wires, cables, underground conduits, manholes and other fixtures at its own expense, and in each instance to comply with the requirements of the city. D. The grantee shall not place poles, conduits or other fixtures above or below ground where the same will interfere with any gas, electric, telephone fixtures, water hydrant or other utility; and all such poles, conduits or other fixtures placed in any street shall be so placed as to comply with the requirements of the city. E. The grantee shall, on request of any person holding a moving permit issued by the city, temporarily move its wires or fixtures to permit the moving of buildings, the expense of such temporary removal to be paid by the person requesting the same and grantee shall be given not less than forty-eight (48) hours advance notice to arrange for such temporary changes. F. The grantee shall have the authority to trim any trees upon and overhanging the streets, alleys, sidewalks and public places of the city so as to prevent the branches of such trees from coming in contact with the wires and cables of the grantee, except that at the option of the city, such trimming as may be done by it or under its supervision and direction, at the expense and liability of the grantee. (Ord. No. 275, 11/20/79) SECTION 8 ERECTION, REMOVAL AND JOINT USE OF POLES A. Where poles or other wire - holding structures of any public utility company are available for use by the grantee, the city may require the grantee to use such polices and structures if the permission and consent of such public utility company may be obtained by the grantee and if the terms of the use available to the grantee are just and reasonable. B. Where a public utility serving the city desires to make use of the poles or other wire- holding structures of the grantee, but agreement therefore with the grantee cannot be reached, the city may require the grantee to permit such use for such consideration and upon such terms as the city council shall determine to be just and reasonable, if the use would not unduly interfere with the grantee's operation. (Ord. No. 275,11/20/79) SECTION 9 RATES TO SUBSCRIBERS The grantee shall be permitted to charge subscribers for its services those rates which are just and reasonable considering the investment by the grantee, the number of subscribers together with the costs of operation and amortization of investment, but in all respects subject to the approval of the city council. The rates initially established by the city council shall be subject to adjustment by the grantee based upon extensions and improvements in the type and quality of service offered. The grantee may decrease the rates to subscribers at any time at its option. Grantee may increase the initial rates by filing with the city Cable Television/Page 3 -8 Appendix 1 - Cable Television clerk a proposed rate schedule; provided, increases shall not become effective if the city disapproves the rates proposed within thirty (30) days after filing. In the event rate - making authority be assumed by the Corporation Commission or any like agency, then such powers of the city council shall terminate. Rates and Charges Schedule 1. 1st basic cable outlet each additional basic cable outlet 2. Home box office (any number of outlets) 3. Bulk for motel and apartments (each unit) 4. FM radio 5. Home box office - take 11 (any number of outlets) 6. Basic cable installation 7. Basic cable additional outlet (same time & location) 8. Basic cable additional outlet (subsequently) 9. Basic cable re- location of outlet 10. Transfer of new address 11. Re- connect 12. Home box office installation (same time as basic) 13. FM radio installation (same time, same room as cable 14. Home box office installation (subsequently) 15. FM radio installation (subsequently) 16. Video tape recorder (same time as basic cable) 17. Video tape recorder (subsequently) 18. Converter Deposit (refundable with interest) *Waived during initial start -up period. * *Waived for one outlet during initial start-up period. (Ord. No. 275, 11/20/79) Cable Television/Page 4 -8 Monthly Rates $ 7.45; 2.00; 8.95; 4.00; 1.00; 4.95; Charge 10.00;* 7.50;** 7.50; 10.00; 10.00; 10.00; None; ) None; 10.00; 7.50; 5.00; 15.00; and 20.00. Appendix 1 - Cable Television SECTION 10 LIABILITY OF GRANTEE: INDEMNIFICATION It is expressly understood by and between the grantee and the city that the grantee shall save the city harmless from all losses sustained by the city by reason of suit, judgment, execution, claim or demand resulting from the construction, operation or maintenance by the grantee of the cable television system to the city. The grantee shall, prior to commencement of construction of the system, file with the city clerk and at all times thereafter maintain in full force and effect for the term of such permit, at grantee's sole expense, a general comprehensive liability insurance policy in protection of the city, its officers, boards, commissions, agents and employees in a company authorized to do business in the State of Oklahoma and in a form satisfactory to the city attorney, protecting the city and all persons against liability for loss or damage, for personal injury, death and property damage occasioned by the operations of the grantee under such permit in the minimum amount of: Fifty Thousand Dollars ($50,000.00) for property damage to any one person; 2. Two Hundred Thousand Dollars ($200,000.00) for property damage in any one occurrence; Two Hundred Thousand Dollars ($200,000.00) for personal injury to any one person; and 4. Five Hundred Thousand Dollars ($500,000.00) for personal injury in any one occurrence. (Ord. No. 275, 11/20/79) SECTION 11 OPERATIONAL STANDARDS The cable television system shall be installed and maintained in accordance with the highest and best standards of the industry to the end that subscribers shall receive the best service possible. The systems as installed, shall: 1. Be capable of transmitting at least thirty -five (35) channels passing the entire VHF and FM spectrum and it shall have the further capability of converting UHF for distribution to subscribers on a VHF band or Super VHF band; and 2. The cable television system electronic equipment and the construction of the cable television system shall conform in all respects with the standards and specifications set forth in cable television systems specifications of the Federal Communications Commission on file in the office of the city clerk. (Ord. No. 275, 11/20/79) SECTION 12 TIME OF CONSTRUCTION A. The grantee shall commence construction of the cable television system within thirty-one (3 1) days after a franchise is approved by a vote of the people. The grantee shall complete construction no later than six (6) months from the date approval of the franchise is voted. The six (6) month period in which to complete construction of the entire system may be extended by reason of unavailability of materials or by reason of conditions beyond the control of grantee such as acts of God, storm, riot, war or force majesture. Extension of the time for completion shall be granted by the city for such time as the city may deem reasonable under the circumstances. B. The grantee shall furnish the city a performance bond guaranteeing that the construction of the system will be completed within six (6) months after voter approval of the franchise. Such bond shall be in the amount of One Hundred Thousand Dollars ($100,000.00) or in such amount as the council may Cable Television/Page 5 -8 Appendix 1 - Cable Television from time to time require by resolution. Such system shall be deemed completed when every residence in the City of Owasso is capable of being served by the system. (Ord. No. 275, 11/20/79) SECTION 13 SERVICE TO SUBSCRIBERS At the commencement of the operation of the cable television system in the city, the grantee shall provide to the subscribers at least the following: Three (3) network channels (Tulsa, 2, 6 and 8); 2. Educational channel (Tulsa 11); Two (2) distant independent stations (Dallas, Kansas City, or others); 4. Pay channel; 5. Local weather channel; 6. Storm warnings and emergency alert system to permit local authorities to interrupt all channels for emergency warnings; 7. Sports and special events channels; Government channel; Religious channel; 10. Children's channel; and 11. Local public schools channel. (Ord. No. 275, 11/20/79) SECTION 14 WAIVER OF INSTALLATION CHARGES The grantee shall waive basic installation charges for an initial period which shall extend for thirty (30) days from the date the system is made available to subscriber's community. (Ord. No. 275, 11/20/79) SECTION 15 DURATION AND REVOCATION The rights granted by the city to the grantee under this ordinance shall continue and remain in full force and effect for a. period of fifteen (15) years from the date of issuance, unless re- revoked by the city. The city has the right at any time upon notice to the grantee to revoke any and all rights granted hereunder for violation of this ordinance and any other ordinances, rules or regulations which might now or hereafter be enacted by the city. Such notice shall be in writing and shall be delivered to the grantee at its principal office in Owasso, Oklahoma, or at such other offices of the grantee within the State of Oklahoma as the grantee shall from time to time designate in writing to the city by delivery of notice of such changes thereof to the city clerk or other officer keeping the records of the city. Upon such revocation, the grantee shall, within a reasonable time, remove its system from the streets of the city. The notice to be given to the grantee by the city shall give the grantee a period of thirty (30) days to permanently correct the violation, conduct or condition which may be the subject of such notice, and the rights herein granted to the grantee shall not be revoked prior to the time of their expiration if it is proven to the satisfaction of the city that the violations, conduct or conditions complained of have been Cable Television/Page 6 -8 Appendix I - Cable Television permanently corrected. Nothing herein contained shall prohibit subsequent extension or renewal of such grant of authority, rights and privileges for reasonable periods, after due process and open hearings before the then constituted city council of the city. (Ord. No. 275, 11/20/79) SECTION 16 ASSIGNABILITY If the grantee shall at any time sell or assign its rights and privileges under this ordinance and the cable television system located in the city to any person, firm or corporation, the assignment shall be in writing and a duly authenticated copy thereof shall be filed with the city clerk, provided such assignment shall not become effective until the assignee shall have agreed in writing to become responsible for the full performance of all the conditions, liabilities, covenants and obligations contained in this ordinance and until such assignment shall have been approved by the city council. (Ord. No. 275, 11/20/79) SECTION 17 MISCELLANEOUS PROVISIONS A. The grantee shall have no recourse against the city or its officials for any loss, costs, expenses or damages arising out of any provisions or requirements of this ordinance or its enforcement. B. The grantee shall not repair, maintain, sell or recommend any television or radio equipment or recommend radio and television repairmen. Any repair work done to subscribers' sets shall be performed by repairmen other than employees, directly or indirectly, employed by the grantee. The grantee is prohibited from inducing subscribers to remove their presently installed television antennae. C. The grantee shall maintain and operate its system in such a manner as will not interfere with the receiving of television signals by sets not attached to the grantee's system. (Ord. No. 275, 11/20/79) SECTION 18 FRANCHISE TAX OR PERMIT FEE So long as the rights granted hereby shall continue, the grantee shall pay to the city an annual fee in an amount equal to three percent (3 %) of the gross revenue income excluding deposits on converters, collected by the grantee from subscribers residing in the city, which fee shall be in lieu of any and all license, occupation, excise or gross receipts tax imposed by the city. The annual fee shall be payable quarterly on the first days of May, August, November and February representing the charges on the payments by subscribers on the quarters such as January - March for the May payment. The grantee shall file with the city clerk a complete and accurate verified statement of all gross service revenues collected for the applicable term for which the franchise tax is paid from subscribers within the city. If the grantee fails or refuses to pay such fee, the city may maintain an action against the grantee for the amount of such fee, together with all expenses of collecting the same including a reasonable attorney's fee. The city shall have the right at all reasonable times and during reasonable business hours to inspect and to audit through its duly authorized representatives any books or records of the grantee, its successors and assigns, evidencing or recording the amount of gross service income collected from subscribers residing in the city. (Ord. No. 275, 11/20/79) SECTION 19 ACCEPTANCE Within ten (10) days after the effective date of this ordinance, the grantee shall file with the city clerk in writing its duly executed written acceptance of this permit and the terms and conditions thereof set out herein. (Ord. No. 275, 11/20/79) Cable Television/Page 7 -8 Appendix 1 -Cable Television SECTION 20 SEVERABILITY If any section, sentence, clause or phrase of this ordinance or any part thereof is for any reason found to be invalid by a court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance or any part thereof. (Ord. No. 275, 11/20/79) Cable Television/Page 8 -8 The City without Limits. TO: The Honorable Mayor and City Council City of Owasso FROM: Bronce L. Stephenson City Planner SUBJECT: Community Development Block Grant (CDBG) Project Selection DATE: March 8, 2013 BACKGROUND: The primary national objective of the Community Development Block Grant (CDBG) Program is the "development of viable urban communities by providing decent housing and a suitable living environment, particularly for persons of low and moderate incomes." All project proposals submitted for funding through the CDBG Program must document the achievement of at least one of the following national objectives: ➢ Provide benefit to low and moderate income persons ➢ Aid in the prevention or elimination of slums or blight ➢ Meet other community development needs having particular urgency, posing a serious or immediate threat to the health or welfare of a community To qualify for CDBG funding under the national objective of benefit to low and moderate income persons, the proposed project activities must show a positive or general improvement of living conditions in a definable geographic target area where at least 51 % of the occupied households are of low and moderate income families. Low and moderate income families have an income equal to or less than the current Section 8 low income limits established by the United States Department of Housing and Urban Development (HUD). HUD defines this as a family of three having a total household income of $43,500 or less or a family of four having a household income of $48,300. As a member of the Tulsa Urban County CDBG program, the City of Owasso is eligible to apply for CDBG funds for 2013. Owasso was awarded $113,845 for the 2012 CDBG allocation, with 5% less expected for 2013. The application is made through the Indian Nation Council of Governments ( INCOG), the local agency responsible for approval of projects and distribution of funds. In the past, Owasso has utilized CDBG monies for making sidewalk, sanitary sewer, and park improvements. In 2011 the project selected was a major upgrade to the skate park, a project that has provided recreational opportunities for Owasso's youth. For 2012 the project selected was repair and rehabilitation to sidewalks, curb, and gutter in the qualifying area. Recently staff conducted a survey in the neighborhoods to the north and west of Rayola Park in order to re- qualify the park and the surrounding neighborhoods for expenditure of CDBG funds. In order for the park to qualify, the surrounding neighborhoods to the north and west must show that 51% of the households are low to moderate income. In order to qualify these areas, a door to door survey is required. The last time the survey was done was in 2006 and INCOG recently informed staff that the results of that survey had expired and a new survey was required. The houses surveyed were selected using random numbers provided by INCOG and a total of 250 households were required to be surveyed. During the month of October, members from the Parks Department conducted the survey. Upon completion of the survey, it was found that the area still meets HUD's requirements in terms of it being 51 % low to moderate income. PUBLIC INPUT: A public meeting was held on Thursday, March 7 at the Owasso Community Center. Residents were given an opportunity to learn about the CDBG process, review past projects, and discuss possible future projects. A summary of the input from the public meeting is attached. At the March 19, 2013 Council meeting a public hearing will be held to allow the Council to receive additional input on project selection by citizens. There would be no action taken at this meeting. PROPOSED TIMELINE: • March 7, 2013 - Public input meeting at the Community Center • March 12, 2013 - Council work session discussion of possible projects • March 19, 2013 - Public hearing at Council meeting • April 2, 2013 - Project selection by Council • April 16, 2013 - 2013 CDBG project selection resolution • April 18, 2013 - Application for selected project provided to INCOG ATTACHMENTS: A. Map showing CDBG Qualifying Areas B. Map of past projects C. Potential Project List D. March 7 public meeting summary City of Owasso CDBG Qualifying Area Legend Census Qualified N W +E S Miles 0.25 0.5 Prep ar-d by Owasso Community Development Department March i, 2ot3 Source: IN COG, HUD City of Owasso CDBG Qualifying Area and Past Projects P..NeP Id 2W reo ppedh«exide mhaam e11M Owre Skab Pok. 205 Tveelaknd YNOgeaFeer repeN •skate Peiklmm ]n Sneer ttgele Pek�plun pod Fb/elo Pakrmlwom .'[VJ tayele Pekddrwye cMmtl.etlevot, mtllghh Legend CDBG Area type Census Qualified Surveyed Qualified N W +E S M11lS 0 0.25 0.5 Prepared by Owasso Cmem My P—l" nent Department September 25r, 2042 Searee: IN6D6, HUD FY 2013/14 CDBG Program Past Projects Year Project 2000 Sidewalks 2001 Sidewalks 2002 Sidewalks 2003 Sidewalks 2004 Handicapped - accessible restroom at the Owasso Skate Park, sidewalks down Main Street to the Skate Park from 76th Street 2005 Three Lakes Village street repairs 2006 Rayola Park splash pad 2007 Rayola Park restroom 2008 2009 2010 Rayola Park drainage channel, sidewalk, and lights 2011 New Skate Park 2012 Sidewalks Potential Projects & Past Projects Discussed a. Obtain parcel in Original Town and develop a pocket park Commentary: The impact of the project will depend upon how much it cost to procure the land. It may be that this involves 2 years' worth of CDBG funding. b. Continue with sidewalk rehabilitation c. Sun Shelters at Rayola and Skate Park Commentary: Sun shelters are definitely needed in both settings, as there is little in the way of shade d. New playground equipment at Rayola Park Commentary: This would be a highly impactful project. Replacing the old outdated individual pieces has been discussed on many occasions in the past, but due to limited funding has never been done. An estimate and concept has already been done for this project. * The area surrounding Rayola Park was recently surveyed to be re- qualified as a low to moderate income area in order to allow CDBG funds to be used for Rayola Park area. This area is not expected to qualify for CDBG funds by the time that the decennial Census in 2020 is utilized to map out qualifying areas for the CDBG program. e. Street rehab in Original Town f. Sidewalk connecting YMCA to 76th Street N. along service road g. Sidewalk connecting YMCA to 86th Street N. along service road h. Downtown open air market Commentary: Property would have to be secured and depending upon the cost, may require two CDBG funding periods to complete the project, one for property acquisition and the other for the actual structure and site work. This would be a very impactful project in the downtown area and would be strongly supported by the farmers market and give the low to mod area access to healthy foods. L Expansion of the splash pad at Rayola Park Commentary: The current splash pad is the only one in Owasso is heavily used so expanding it makes sense. For the allocation amount of nearly $115,000, the current splash pad could be close to doubled in size. j. Continue with Main Street improvements OeT W (C —L i wit7aut imits. TO: Owasso City Council FROM: Bronce L. Stephenson, City Planner SUBJECT: CDBG Public Input Meeting DATE: March 8, 2013 The City of Owasso Community Development Department advertised for and held a public input meeting on Thursday, March 7, 2013 at the Owasso Community Center. The purpose of the meeting was to solicit public input on project selection for the 2013 CDBG fund allocation. Fourteen people were present for the meeting, including five staff members. Staff opened the meeting and gave a brief presentation on the CDBG process, past project selection, and projects that had been discussed as possible future uses of available CDBG funds. An open forum discussion was then held, with the audience and staff engaging in a discussion of the 2013 CDBG project selection. The discussion covered a number of topics, but was centered around Quality of Life improvements that would impact the citizens living in the low to moderate income qualifying areas. The term 'most bang for the buck' was used frequently in discussion of potential projects, indicating that the CDBG project that provided the most utilized product would be the preferable choice to a project that may only directly affect a few people. The topic of equity of park equipment and recreational opportunities throughout different areas of Owasso was discussed as well, with the thought that Rayola Park needed new playground equipment so that people in the qualifying area didn't have to drive to Funtastic Island to be able to utilize safe and nice playground equipment. The impact of Quality of Life improvements to property values in the qualifying area was discussed as well. Potential CDBG projects discussed included: • Splash pad expansion at Rayola Park • Street and sidewalk repairs, especially on the west US -169 service road from E 66th St N to E 76th St N • Picnic tables, covered areas and shade structures at Rayola Park and the Skate Park • Housing rehabilitation and removal of blighted properties • New playground equipment at Rayola Park, similar to what is provided at Funtastic Island • Exercise equipment in Rayola Park • Tennis and basketball courts in Rayola Park • Improvements to the Original Town and Main St areas to attract new development and reinvestment into the area The City 'Wit aut Limits. TO: The Honorable Mayor and City Council City of Owasso FROM: Warren Lehr Assistant City Manager, Operations SUBJECT: Capital Improvements Priority Determination - Public Hearing DATE: March 8, 2013 BACKGROUND: Adopted by the City Council in September 2003, Resolution 2003 -14 establishes the procedure for amending the priority determination of capital improvement projects eligible to receive funding from the Capital Improvements Fund, also known as the permanent third -penny sales tax. First, the Capital Improvements Committee conducts a public meeting to consider proposed amendments to the priority determination of projects proposed to be funded by the third -penny sales tax. Following such consideration, the Capital Improvements Committee shall provide a recommendation to the City Council regarding the proposed amendment. Next, the City Council conducts a public hearing in order to receive and consider citizen input relevant to the recommendation made by the Capital Improvements Committee and the proposed amendment to the list of project priorities eligible to receive funding from the third - penny sales tax. Notice of the public hearing must be made no less than five days prior to the public hearing. At the conclusion of the public hearing, the City Council must continue the matter for at least two weeks before taking any action to amend the project priority listing. Any action taken by the City Council to amend the current list of priority projects must be made by adopting a resolution. CAPITAL IMPROVEMENTS COMMITTEE RECOMMENDATION: The Capital Improvements Committee is comprised of fourteen members; ten citizens serving at large or representatives of other boards and four staff members. On February 7, 2013, City Manager Rodney Ray presented information to the Capital Improvements Committee in consideration of a one -time capital prioritization recommendation for three projects: a transportation master plan, police vehicles, and golf course equipment. Detailed rationale for this request is included in the attached memorandum dated February 7, 2013. Discussion of the proposal led to requests by CIP Committee members for additional detailed justification of the investment and this was provided to the committee in the form of the attached memos from Golf Course Superintendent Chris Cook and Interim Police Chief Scott Chambless; both dated February 19, 2013. On February 26, 2013, the Capital Improvements Committee held a Special Meeting in accordance with Resolution 2003 -14 and provisions of the Oklahoma Open Meeting Act to consider a recommendation to the Owasso City Council amending the current list of projects funded through the Capital Improvements Fund. At the conclusion of the meeting, the Capital Improvements Committee voted unanimously to submit a recommendation to the Owasso City Council amending the priority determination to include the following projects: • Transportation Master Plan • Police Vehicles The Committee also voted 6 -2 in favor of submitting a recommendation to the Owasso City Council amending the priority determination to include the following project: • Golf Course Equipment PUBLIC HEARING: In accordance with the procedure for amending the priority determination of capital improvement projects, the City Council must conduct a public hearing in order to receive and consider citizen input relevant to the recommendation made by the Capital Improvements Committee. Notice of the public hearing must be made no less than five days prior to the public hearing. The public hearing would be held on Tuesday, March 19, 2013. Information regarding the public hearing and the recommendation of the Capital Improvements Committee would be placed on the city's website and posted on the city's Face book page. PROPOSED ACTION: Staff is recommending a public hearing be held at the March 19, 2013 City Council meeting for the purposes of receiving citizen input relevant to the recommendation made by the Capital Improvements Committee. ATTACHMENTS: A. City Manager Memorandum to the CIP Committee dated February 7, 2013 B. Staff Memorandum to the CIP Committee dated February 19, 2013 (Police Vehicles) C. Staff Memorandum to the CIP Committee dated February 19, 2013 (Golf Course Equipment) V The City wit aut L TO: Capital Improvements Committee City of Owasso FROM: Rodney J. Ray City Manager SUBJECT: Request for Capital Improvement Expenditures DATE: February 7, 2013 BACKGROUND: The purpose of this memorandum is a one -time capital expenditure from the Capital Improvement Fund. Annually, each department updates an assessment of needs and, as a result of their effort, has created a documented history of departmental requests, spending, and accomplishments. This documentation provides the department with a solid foundation for long - range planning and allows for accurate tracking of the changing needs of the city. However, for the last four years, the City's capital outlay spending has been cut significantly, resulting in each Department lacking the tools necessary to optimize opportunities for improvement and efficiency in providing municipal services. The City's inability to adequately fund capital outlay has impacted the department's ability to achieve the quality of services expected by Owasso residents. CAPITAL IMPROVEMENT FUNDING PROCESS: Adopted by the City Council in September 2003, Resolution 2003 -14 establishes the procedure for amending the priority determination of capital improvement projects eligible to receive funding from the Capital Improvements Fund, also known as the permanent third -penny sales tax. First, the Capital Improvements Committee considers proposed additions or changes to the priority list of projects to be funded by the third -penny sales tax. Following such consideration, the Capital Improvements Committee shall provide a recommendation to the City Council regarding the proposed additions or changes. Next, the City Council conducts a public hearing in order to receive and consider citizen input relevant to the recommendation made by the Capital Improvements Committee to amend the list of project priorities eligible to receive funding from the third -penny sales tax. Notice of the public hearing must be made no less than five days prior to the public hearing. At the conclusion of the public hearing, the City Council must continue the matter for at least two weeks before taking any action to amend the project priority listing. Any action taken by the City Council to amend the current list of priority projects must be made by adopting a resolution. A one -time funding request for capital spending is being requested for the Street Department, Police Services, and Golf Course. The total funding request is $450,000. STREET DEPARTMENT: For the past two years, the city staff has cut from the capital budget funding for the development of a major transportation plan for our city. As early as 1978, the City Council recognized that master planning documents are vital tools in long -range planning for any city's development. A comprehensive transportation plan provides the policy basis for how transportation dollars are spent, and what projects or programs the city focuses on to provide transportation services for its citizens. In addition, the plan coordinates transportation improvements with land uses, and land development expectations for the next twenty years. The estimated cost to develop a Transportation Masterplan is $200,000. This proposal will request funding from the Capital Improvements Fund for that project. POLICE DEPARTMENT: In the past three years, we have achieved only minimal progress in the replacement of police vehicles (three vehicles last budget year and four vehicles during the current budget year). We remain behind in rotating vehicles with high mileage. This request will include $125,000 in funds from the Capital Improvement Fund for the purchase of additional police vehicles. GOLF COURSE: Various pieces of equipment are necessary to maintain optimal playability of the golf course and several of those in the golf course fleet have exceeded their life expectancy. Staff time and maintenance costs spent to continually refurbish antiquated equipment creates a decrease in staff productivity, and a hazard to golf course conditions and player satisfaction. This request will include $125,000 from the Capital Improvements Fund to purchase the following equipment: • Walking Greens Aerator - Currently operate a tractor mounted aerator and run the risk of the tractor. The life expectancy of this machine is 8 -10 years. The walking aerator allows the staff to complete greens aerations more often and more efficiently, while reducing the amount of time required for the greens to recover from having the tractor on the greens. • Spray Rig - This machine would replace the current 1999 spray rig that is unreliable due to mechanical issues. Replacing this piece of equipment will improve accuracy, reduce pesticide costs, limit the chances of a major accident, and increase staff productivity. Greens Mower - The current greens mower was purchased "used" and has 6 years of use at the golf course. The frequency of use has caused the machine to age quickly. The hour meter on this machine resembles other machines in our fleet that are 10 -12 years old. Replacing this machine will offset the risk of turf damage on our most important surfaces. Reel grinder- This unit would replace a 1977 model. Our older unit is not computerized and with the need for tolerances within thousandths of an inch, it is almost impossible to be accurate and consistent when sharpening mower reels. Also, this new machine would be automated, meaning that the equipment manager can program a reel to be sharpened automatically, while the mechanic moves on to other essential tasks. The City \Nit out Li omits. TO: Capital Improvements Committee City of Owasso FROM: Scott Chambless Chief of Police SUBJECT: Patrol Vehicle Replacement & Maintenance DATE: February 19, 2013 BACKGROUND: Since 2003 it has been the policy of the Owasso Police Department to replace vehicles when the vehicle reaches the age of seven years or 100,000 miles. The practice of the Police Department has been to apply this standard to vehicles used for patrol duties by full time officers. Unmarked detective cars and administrative cars are used beyond the years and mileage referenced above because they are not typically used for emergency response. Currently, the Police Department has thirteen patrol vehicles that are not in compliance with the referenced policy. There are twenty -seven patrol vehicles that are in compliance. The goal of the replacement policy for patrol vehicles is to ensure the Department's ability to respond to calls for service and ensure that the officers have safe vehicles for high speed emergency operations. The professional appearance of the patrol fleet is also greatly enhanced by removing vehicles that do not have the aesthetics expected of a professional organization. Lastly, the morale of officers is enhanced when older vehicles with routine mechanical failures are replaced with newer, dependable vehicles. On February 7, 2013, the Capital Improvements Committee met to discuss various topics. Among those topics was a discussion led by City Manager Rodney Ray that related to funding police vehicles and golf course equipment with Capital Improvement funding. The recommended funding for the Police Department was $125,000. This funding would be enough to purchase three patrol cars and one detective car. The question arose as to whether or not there was a cost savings associated with the replacement of the police vehicles and golf equipment. Police and golf staff were tasked with answering these questions. The remainder of this memo focuses on the Police Department's response to these questions. PATROL FLEET ANALYSIS: Staff conducted an evaluation of parts and labor costs during the calendar year 2012 for forty patrol vehicles assigned to employees within the Police Department. The evaluation did not include the replacement of tires or fuel expenses. Combined parts and labor for the forty patrol vehicles totaled $29,651 for an average of $741 per vehicle. The data was further broken down into vehicles that were outside of the Department's replacement policy and those that were still in compliance. The combined repair costs for the thirteen vehicles that are outside policy were $14,250 for an average of $1,092.19 per vehicle. The combined repair costs for the twenty -seven vehicles that are within policy were $15,401 for an average of $570 per vehicle. Detective, Administration, and specialty vehicles were not evaluated for this report. Based on the comparison above, maintaining a vehicle that is outside of policy costs an average of $526 more per year than maintaining one within policy. There are thirteen cars outside of policy; therefore, it is costing about $6838 more per year to maintain the older vehicles in comparison to newer. To replace all thirteen vehicles at $36,500 each would cost $474,500. Based on the data above there is not a strong argument that buying new police cars creates a significant cost savings as compared to maintaining older vehicles; however, there are reasons to replace vehicles when they have reached the limits set by policy. First, it is critical to the mission of the Owasso Police Department to have vehicles that are reliable. Officers are tasked on a daily basis with response to emergency calls. The ability to get to those calls is dictated by the equipment provided to the officer. Minor mechanical failures that are common in older cars create a situation where there may be failures to start or breakdowns while en route to a call. These mechanical failures may not be expensive to repair, but may in fact prevent the officer from arriving at an emergency call. Newer cars are far less likely to fail mechanically when needed. Another important consideration regarding vehicle replacement is officer safety. Police vehicles are often driven under extreme conditions. Rapid acceleration and hard braking are common. Periodically, police vehicles are driven at speeds in excess of 130 mph and rapid cornering is a daily occurrence. All of these driving conditions require a vehicle that is in excellent mechanical condition. Even though mechanical inspections are conducted on all police vehicles, visual inspections may not reveal the hidden long -term effects of the stresses placed on a police vehicle. Police agencies across the country have established policies of replacing cars long before they reach a point of being "worn out ". Replacing vehicles that are out of compliance with policy is one of several priorities of the Police Department. It is important to note that although there are many vehicles that need to be replaced, the Department does have the ability to access other vehicles in the event of a mechanical failure of one or more vehicles. This redundancy in equipment ensures that daily operations are able to continue. As referenced previously, the recommended Capital Improvements funding for the Police Department includes $125,000, which would purchase three patrol cars and one detective car. Department staff intends to budget for at least four additional patrol cars in Fiscal Year 2014. The combined purchase of eight cars would have a significant impact on the department's objective of replacing vehicles that are out of compliance with policy. While replacing all of the cars that are out of compliance with policy would be welcomed, Police Department staff recognizes that there are many other departments within the City of Owasso that have significant equipment needs. The City of Owasso constantly has to balance multiple priorities and it would be irresponsible of any staff member to solely focus on their department's needs while letting another department fail because of lack of funding. All departments within the City of Owasso support one another in daily operations. This team mentality permeates the culture within the City departments. Another important issue related to funding equipment is that of equipment redundancy and availability. The Owasso Police Department has over forty patrol cars that can be utilized. If one car fails, there is almost always another one available for use. Most other departments do not have this type of redundancy with their equipment. Some departments only have a single piece of equipment to do a specific job. If that equipment fails, all work must stop until it can be repaired or replaced. From an operational standpoint, this type of equipment should be in peak condition to ensure reliability. Owasso Police Department staff strongly support funding equipment for other departments, particularly if that equipment is vital to that department's mission. V O Wut Limits. TO: Capital Improvements Committee City of Owasso FROM: Chris Cook Golf Course Superintendent SUBJECT: Golf Course Equipment Replacement & Maintenance DATE: February] 9, 2013 BACKGROUND: Since the golf course opened in 1993, it has been the intent of the Bailey Ranch Golf Maintenance Department to replace equipment at the end of its life expectancy. However, tight budgets and economic uncertainty have prevented the golf course from committing to a regular replacement schedule. Due to frequent usage and harsh working conditions, golf course equipment requires regular replacement to maintain optimum efficiency and keep repair costs to a minimum. Typically, mowers, carts, and other smaller machines need to be replaced every 5 -7 years. Tractors, sprayers, and other larger machines can last 10 -15 years. There have been some purchases made over the past decade, but without a consistent replacement schedule in place, the quality of the equipment fleet has fallen well below standard. As the fleet has continued to age, the productivity, and reliability, of the fleet has decreased rapidly, while the cost to maintain the fleet has risen sharply. On February 7, 2013, the Capital Improvements Committee met to discuss various topics. Among those topics was a discussion led by City Manager Rodney Ray that related to funding police vehicles and golf course equipment with Capital Improvement funding. The question arose as to whether or not there was cost savings associated with the replacement of the police vehicles and golf equipment. Police and golf staff were tasked with answering these questions. The remainder of this memo focuses on the golf maintenance department's response to these questions. EQUIPMENT ANALYSIS: Bailey Ranch Golf Club management staff realizes that it is not fiscally possible to replace all the equipment in the maintenance fleet at the same time. However, the maintenance department's ability to properly maintain the best possible putting greens is critical to the success of the facility. Golfers' perception of their experience at Bailey Ranch (or any golf course) is first and foremost dependent upon the health and quality of the putting greens. With this in mind, the following table outlines the equipment deemed critical to the golf maintenance department's goal of sustainable, healthy putting greens. Each piece of equipment has a direct bearing on the care and maintenance of quality putting greens. The proposed aerator would improve the ability to properly cultivate the soil, which would improve turf health and putting quality. The proposed chemical sprayer would improve the accuracy, and efficacy, of all fertilizer and chemical applications to the putting greens. The proposed greens mower would reduce the wear and tear to the putting surface during the mowing process, and therefore improve turf quality. The proposed reel grinder would allow the technician to maintain the sharpest blades possible, which would improve all mowing cuts, but most noticeably improve the putting surface quality. The proposed equipment lift would allow the technician to maintain exact heights of cut on the greens mower, as well as other mowers, more efficiently and safely. Lastly, the proposed turf fan would allow the agronomy staff to improve the growing conditions of #2 green, thereby directly improving turf health and putting quality. Collectively, this equipment purchase would enable the golf course maintenance staff to take a huge step toward not only ensuring the sustainability of healthy putting greens, but would actually allow for substantial improvements in the current quality of the putting greens. The importance of good putting greens cannot be overstated. Nothing is more vital to the continued improvement in financial performance of the city's golf course. Proposed Current Annual Life Useful Life Machine Cost Machine Savings" ROI Expectancy Savings 1) Toro ProCore 648 Aerator $22,000 N/A $18,000 1.2 yrs. 10 yrs. $158,400 2) JD HD200 2001 Cushman Sprayer $28,000 S ra tek $5,528 5 yrs. 10 yrs. $27,640 3) JD 2500E Greens Mower $27,000 2007 Toro 3100 $4,042 6.7 yrs. 7 yrs. $1,212 4) Foley Reel Grinder $33,000 1977 Foley 388 $14,400 2.3 yrs. 15 yrs. $182,880 5) Ben Pearson Equipment Lift $5,500 N/A $2,850 2.2 yrs. 15 yrs. $37,335 6) TurfBreeze Greens Fan $9,000 N/A $2,462 3.9 yrs. 12 yrs. $20,435 Totals $124,500 $47,282 2.6 yrs $427,902 *Notes on projected Annual Savings 1) Greens Aerator • Currently, aeration (with the use of an aerator commonly used for tees and fairways and pulled behind a tractor) costs $3,600 in fuel, labor and materials, and aeration must be done 5 times per year to meet agronomic goals set by the USGA (5 x $3,600 = $18,000). • The proposed new machine can accomplish these goals in only 3 aerations at a reduced cost of $2,500 for fuel, labor, and materials (3 x $2,500 = $7,500). • Annual productivity savings of $18,000 - $7,500 = $10,500 • Projected annual usage is no less than 6 days per year. Rental of this machine costs $1 ,250 per day (6 X $1,250 = $7,500). • Total annual savings of $10,500 + $7,500 = $18,000 2) Spray Rig • Current machine is a 2001 with 2,400 hours of use (equivalent to 185,000 miles). • Fair market value of current machine is $5,000 - 6,000. Spent $5,000 last 2 years on parts and labor for repairs. • New machine is 3.6 acres per hour more efficient, which would save $978 per year on operating labor. • Parts and repair labor savings are estimated at $1,750 per year because new machine would be under warranty and have newer, more durable components. • Estimated annual pesticide cost savings of 10 %, or $2,800, due to computer controls, reliable pumps and components. • Total annual savings of $978 + $1,750 + $2,800 = $5,528. 3) Greens Mower • Current machine is a 2007 with 2,631 hours of use (equivalent to 202,000 miles). • Fair market value of current machine is $7,000. Spent $2,500 last year on parts and labor. Expect repair costs to continue to increase in next few years. • Hybrid technology allows for estimated annual fuel savings of $750 (250 gallons of unleaded). • Parts and repair labor savings estimated at $1,500 per year, because new machine would be under warranty and have newer, more durable components. • New machine would be more efficient, which would save approximately $1,280 per year on operating labor. • Offset tires would reduce turf damage and negate the need for walk mowing labor estimated at $512 per year. • Total annual savings of $750 + $1,500 + $1,280 + $512 = $4,042. 4) Reel Grinder • Current grinder is a 1977 model and is not OSHA compliant. New machine would be compliant and much safer to operate. • Currently unable to get accuracy and precision of mower blade sharpening needed to provide the best course conditions possible. • Professional grinding services cost $200 per reel. • Total annual savings is 72 reels x $200 = $14,400. 5) Equipment Lift • Golf course currently does not own a lift. The proposed purchase would improve worker productivity and reduce risk of costly worker's comp claims. • One back injury claim would cost significantly more than the cost of this machine. • Equipment manager adjusts height of cut on 6 mowers a total of 380 times annually at an average of one hour per machine. • A lift would eliminate the need to crawl underneath equipment to make adjustments. • The ability to safely stand underneath equipment would put all reels within reach and reduce adjustment times by approximately 50%. • 380 hours x .5 = 190 hours x $15 per hour = $2,850 labor savings • Total annual savings of $2,850. 6) Turf Fan • Currently do not have fan on #2 green. • Fans on other greens (#], 12, and 13) have proven to be effective in improving turf health for the historically weakest and most vulnerable greens. • Improving growing conditions (air flow and surface temperatures) would reduce labor and material costs associated with turf recovery. • Estimated reduction in labor for mowing, cultivating, watering, and fertilizing would amount to total annual savings of $2,462. Bailey Ranch Golf Club management staff believes that purchasing the above listed equipment would not only pay back the invested $124,500 in less than 3 years, but would create an estimated savings of more than $400,000 over the remainder of the equipment's useful life. This past year has shown that when the golf course meets golfer expectations, they will more consistently patronize the facility. The equipment outlined in this memo allows the golf maintenance department to continue improving the playing experience, thus improving revenues and creating a more financially sustainable golf course. Aoft Oh T City wit out Limits. TO: The Honorable Mayor and City Council City of Owasso FROM: Warren Lehr Assistant City Manager, Operations SUBJECT: Public Safety Capital Fund Extension DATE: March 8, 2013 BACKGROUND: On June 21, 2011, the City Council adopted the budget for FY 11 -12 by approving Resolution No. 2011 -04. The Resolution approved appropriations to the Public Safety Capital Fund (formerly the Fire Capital Fund) that reflected projected revenue from a monthly fee increase of One Dollar ($1.00) on each customer's water /sewer bill. In order to fully implement the changes associated with the renaming of the Fire Capital Fund to the Public Safety Capital Fund and the One Dollar ($1.00) fee increase, it was necessary for the City Council to amend Section 13 -236 and Section 13 -237 of the Code of Ordinances. On July 1, 2011, the City Council adopted Ordinance No. 991 amending Part 13, Public Safety, Sections 13 -236 and 13 -237 of the Owasso Code of Ordinances. The amendments included the following: ➢ Renamed the Fire Capital Fund as the Public Safety Capital Fund with provisions that the fund could be used to purchase apparatus, equipment or facilities, including improvements or repair to any of the foregoing, by the City of Owasso's Fire Department and Police Department. ➢ Increased the monthly fee assessed through water /sewer bills by One Dollar ($1.00) ➢ Revised the applicable percentage of revenue to be allocated between the Owasso Ambulance Service Fund, Owasso Ambulance Capital Fund, and the Public Safety Capital Fund. ➢ Included a two year "sunset" provision stating that the One Dollar ($1.00) fee increase shall terminate at the end of two (2) years unless extended by the City Council by ordinance. S Provided that the monthly fee shall revert to the amount previously assessed through the water /sewer bill if the sunset provision is not extended in two (2) years by the City Council. EXTENSION RATIONALE: The Public Safety Capital Fund has resulted these past two years in an equitable distribution of capital funding that has enabled the Police Department to purchase five patrol vehicles and complete phase one (firing range) of the multi -use training facility. Having a dedicated funding source for equipment and facilities has proven to be a vital asset to the Police Department. For the past eight years the Police Department has borrowed and leased firing range facilities for firearms mandatory qualifying and training purposes. Leasing a range has cost the City of Owasso $135,000 over the past four years. in addition to lease costs, the department incurred overtime and fuel expenses from traveling to ranges outside of Owasso. Even with these expenditures, the department was limited regarding the amount of training officers were able to receive. The construction of phase one of the training facility was a major milestone for the department; however, the training facility is only about 60% complete. The significant reductions in capital funding that would result from the "sunset" of the Public Safety Capital Fund could result in long delays in completing this important project. Once the training facility is complete, the department will be able to utilize the full amount of the Public Safety Capital Fund for more vehicle purchases and other critical equipment needs. It is important to note that the Public Safety Capital Fund is the only dedicated source of revenue for police operations. The Public Safety Capital Fund provides a consistent source of revenue regardless of changes in the economy. This stable source of funding could prove vital in another economic downturn. PROPOSED ACTION: Staff is proposing the adoption of an ordinance effectively extending the term of the One Dollar ($1.00) fee increase that resulted in the combination of the Fire Capital Fund with a new Police Capital Fund that was jointly named the Public Safety Capital Fund. This extension would allow appropriate planning for the FY 2014 budget. ATTACHMENT: A. Ordinance No. 991 Containing Amendments to Part 13, Public Safety, of the Owasso Code of Ordinances. Current Sections 13 -236 and 13 -237. CITY OF OWASSO, OKLAHOMA ORDINANCE NO. 991 AN ORDINANCE AMENDING PART 13, PUBLIC SAFETY, CHAPTER 2, FIRE DEPARTMENT, SECTION 13 -236, FUNDING FOR AMBULANCE SERVICE AND PUBLIC SAFETY, AND SECTION 13 -237, ESTABLISHMENT OF FUNDS, UTILIZATION OF REVENUES, OF THE CODE OF ORDINANCES OF THE CITY OF OWASSO, OKLAHOMA BY CHANGING THE NAME OF THE FIRE CAPITAL FUND TO THE PUBLIC SAFETY CAPITAL FUND AND DECLARING SUCH FUND TO BE EQUALLY UTILIZED BY THE FIRE AND POLICE DEPARTMENTS FOR THE PURCHASE OF APPARATUS, EQUIPMENT, FACILITY ACQUSITION AND IMPROVEMENTS OR REPAIRS TO ANY OF THE FOREGOING. THE ORDINANCE ADDITIONALLY INCREASES THE FEE ASSESSED THROUGH WATER AND SEWER BILLS BY $1.00 PER MONTH PER CUSTOMER FOR A PERIOD OF TWO (2) YEARS. AT THE END OF THE TWO (2) YEAR PERIOD, THE FEE INCREASE WILL TERMINATE UNLESS EXTENDED BY ORDINANCE OF THE CITY COUNCIL AND REVERT TO THE FEES AND PERCENTAGES IN EFFECT ON THE DATE THIS ORDINANCE WAS APPROVED. THIS ORDINANCE AMENDS PART 13, CHAPTER 2, SECTIONS 13 -236 AND 13 -237, OF THE CITY OF OWASSO CODE OF ORDINANCES AND SHALL BE CODIFIED AS SHOWN BELOW. BE IT ORDAINED BY THE COUNCIL OF THE CITY OF OWASSO, OKLAHOMA, THAT, TO -WIT: SECTION ONE: Part Thirteen, Public Safety, Chapter Two, Fire Department, of the Code of Ordinances of the City of Owasso, Oklahoma, shall be amended as follows: SECTION 13 -236 FUNDING FOR AMBULANCE SERVICE AND PUBLIC SAFETY A. For areas within the corporate limits of the city receiving water service from the city or areas within the corporate limits of the city receiving only sanitary sewer service from the city, a water rate increase or a sewer rate increase, respectively, is established as follows: 1. For every single family residence, whether same is of a permanent nature or movable manufactured housing, multi - family dwelling, commercial or industrial establishment, as defined under the zoning code of the city, there is hereby a fee of Six Dollars ($6.00) per month per residence or establishment above - referenced, same to be charged and collected on a monthly basis by the Owasso Public Works Authority as in the case of existing water, sewer and other utility charges. a. Effective August 5, 2011, this rate will increase to Seven Dollars ($7.00) per month for a period of two (2) years. This rate increase shall remain in effect for a period of two (2) years at which time it shall automatically expire unless the City Council by ordinance shall extend that date. If not extended, the effective rate shall revert to Six Dollars ($6.00) per month. 2. Citizens within multi - family residential dwellings may, to participate in the ambulance service provided for herein, subscribe to the ambulance service for a monthly fee of Six Dollars ($6.00), such payable not less than annually. Those citizens residing within such multi - family residential dwellings, not subscribing to the ambulance service provided for herein, shall be charged for emergency or non- emergency medical service based on the existing fee schedule thereof. Ordinance No. 991 July 5, 2011 a. Effective August 5, 2011, this rate will increase to Seven Dollars ($7.00) per month for a period of two (2) years. This rate increase shall remain in effect for a period of two (2) years at which time it shall automatically expire unless the City Council by ordinance shall extend that date. If not extended, the effective rate shall revert to Six Dollars ($6.00) per month. B. For areas outside corporate limits a subscription fee is established. Any person residing within the service area above designated, desirous of subscribing to the ambulance service for the benefit of the person or the person's household members, whether same be temporary or permanent, may do so upon the payment of a subscription fee of Nine Dollars ($9.00) per month, if such person is connected to the Owasso water and /or sewer system, or One Hundred Eight Dollars ($108.00) per year if such person is not connected to the water and /or sewer system. a. Effective August 5, 2011, this rate will increase to Ten Dollars ($10.00) per month or One Hundred Twenty Dollars ($120.00) per year for a period of two (2) years. This rate increase shall remain in effect for a period of two (2) years at which time it shall automatically expire unless the City Council by ordinance shall extend that date. If not extended, the effective rate shall revert to Nine Dollars ($9.00) per month or One Hundred Eight Dollars ($108.00) per year. SECTION 13 -237 ESTABLISHMENT OF FUNDS, UTILIZATION OF REVENUES A. There continues to be established, under the provisions of the Municipal Budget Act, a special revenue fund, denoted as the Owasso Ambulance Service Fund, such funds to be utilized solely for ambulance service equipment or facility acquisition or improvement, education, public relations, ambulance service personnel salaries, or other special uses related to the ambulance service. 1. Fifty -eight and 3/10 percent (58.3 %) of all monies received for the benefit of the ambulance service herein created resulting from the increased water and /or sewer rate herein charged or subscription fees shall be placed in the Owasso Ambulance Services Fund. a. Effective August 5, 2011, Fifty percent (50.0 %) of this revenue shall be placed in the Owasso Ambulance Service Fund for a period of two (2) years. This percentage shall remain in effect for a period of two (2) years at which time it shall automatically expire unless the City Council by ordinance shall extend that date. If not extended, the effective percentage shall revert to Fifty -eight and 3/10 percent (58.3 %). 2. Eighty -five percent (85 %) of all ambulance service fees, donations, or grants, shall be placed in the Owasso Ambulance Service Fund. B. In addition to the foregoing, there is hereby created pursuant to the provisions of the Municipal Budget Act, a special revenue fund denoted as the Public Safety Capital Fund, such funds to be utilized equally by the fire and police departments for apparatus, equipment, facility acquisition, or improvements or repair to any of the foregoing. 6 Ordinance No. 991 July 5, 2011 1. Thirty -one and 7110 percent (31.7%) of all monies received for the benefit of the ambulance service resulting from the increased water and /or sewer rate herein charged or subscription fees shall be placed in the Public Safety Capital Fund. a. Effective August 5, 2011 Forty -One and 4/10 percent (41.4 %) of these monies shall be placed in the Public Safety Capital Fund. This percentage shall remain in effect for a period of two (2) years unless the City Council by ordinance shall extend that date. If not extended, the effective percentage shall revert to Thirty -one and 7110 percent (31.7%). C. In addition to the foregoing, there is hereby created pursuant to the provisions of the Municipal Budget Act, a special revenue fund, denoted as the Owasso Ambulance Capital Fund, such funds to be utilized solely for improvements related to equipment and facilities of the ambulance service. 1. Ten percent (10%) of all monies received for the benefit of the ambulance service herein created resulting from the increased water and /or sewer rate herein charged or subscription fees shall be placed into the Owasso Ambulance Capital Fund. a. Effective August 5, 2011, Eight and 6/10 percent (8.60%) of these monies shall be placed in the Owasso Ambulance Capital Fund. This percentage shall remain in effect for a period of two (2) years unless the City Council by ordinance shall extend that date. If not extended, the effective percentage shall revert to Ten percent (10%). 2. Fifteen percent (15%) of all ambulance service fees, donations, or grants, shall be placed in the Owasso Ambulance Capital Fund. SECTION TWO (2): REPEALER All ordinances or parts of ordinances in conflict with this ordinance are hereby repealed to the extent of the conflict only. SECTION THREE (3): SEVERABILITY If any part or parts of this ordinance are deemed unconstitutional, invalid or ineffective, the remaining portion shall not be affected but shall remain in full force and effect. SECTION FOUR (4): DECLARING AN EFFECTIVE DATE The provisions of this ordinance shall become effective thirty (30) days from the date of final passage as provided by state law. SECTION FIVE (5): CODIFICATION The City of Owasso Code of Ordinances is hereby amended as shown above and codified in Part 13, Chapter 2, Sections 13 -236 and 13 -237. PASSED by the City Council of the City of Owasso, Oklahoma on the 5th day of July, 2011. /s /Doug Bonebrake, Mayor ATTEST: /s /Sherry Bishop, City Clerk (SEAL) APPROVED as to form: /s /Julie Lombardi, City Attorney