City Council votes major dollars for Kress Building work

The Texas-side City Council budgeted more than $465,000 for the renovation of the Kress Building at its regular meeting Monday.

The council also voted to enter into a contract with ERI Consulting Inc. of Tyler, Texas, to do cleanup and construction work at the downtown property.

Before the budget vote, city legal counsel Jeffrey Lewis emphasized that the ordinance in question only sets the amount of city funding for the Kress project, that it does not preclude any potential other sources of funding, and that the city’s options for exactly what to do with the property remain open.

“This ordinance is setting a dollar amount. The dollar amount is informed by the options the council has been presented with. But the options don’t govern the budget amendment. If the council adopts this with the dollar amounts that are presented, I can see them tasking city staff to pursue what options are available. … All the budget amendment does is say that this budget will not exceed this amount,” he said.

The meeting also included a public hearing on the city’s proposed fiscal year 2017 budget. No members of the public spoke.

The council heard a first briefing on an ordinance that would increase the city property tax rate from $0.669293 per $100 of assessed valuation to $0.7 per $100. The current draft of the new budget assumes this rate increase.

Two public hearings regarding the tax rate are scheduled, one at the council’s next regular meeting Aug. 22 and the other at a workshop meeting Aug. 29.

A second briefing on the budget is scheduled for the Aug. 22 council meeting, with a vote slated for Sept. 12.

Council members voted to authorize City Manager John Whitson to enter into contract negotiations with Waste Management Inc. Waste Management’s residential garbage collection contract with the city expires Feb. 28, 2017.

The measure allows Whitson to begin accepting bids for trash collection services if negotiations with Waste Management are unsuccessful by Nov. 1.

Doug Sims, Waste Management manager for public sector services, told the council he is optimistic that the company and the city can work out a new contract.

“We certainly believe that we can reach a suitable agreement that’s in the best interest of both the city and Waste Management on this issue. We ask for your support,” he said.

The council also voted to approve a resolution requesting the Sulphur River Basin Authority to support the recommendations of the recent Texas Sunset Commission Report, including sweeping the SRBA board of older appointments and providing Gov. Greg Abbott the opportunity to appoint the board’s chairman.

The Commission is tentatively scheduled to meet and make a decision on Aug. 22 concerning the SRBA’s Sunset Commission Staff Review and Report.

In other business, council members voted to accept a bid of $405,866.15 from J.R. Pope Co. Inc. to improve roads and the compost concrete pad at the South Regional Wastewater Treatment Plant.

The council voted against an ordinance that would have rezoned the property at 1023 1/2 Peach St. to allow a shaved ice and candy business there.

The vote was 3-2, but because passing any measure requires at least four council members’ votes in favor, the ordinance failed. Only five of the six council members voted because Ward 6 Council Member Josh Davis was absent.

Council Members Jean Matlock, Willie Ray and Brian Matthews voted to allow the rezoning and Tina Veal-Gooch and Christy Paddock voted against it.

Eric Witherspoon, owner of the proposed business, rose in protest against the vote, saying it was unfair to him for the vote to proceed without Davis present.

“It’s not fair without Mr. Davis here, who I thought was a supporter of mine,” he said. “What do I do? I’m at a loss now. I have thousands of dollars invested into my business.”

Lewis explained that because a quorum was present, the council’s action was in accordance with state open meeting statutes and the city charter. Whitson recommended that Witherspoon meet at a later time with city staff to discuss any further options he may have.

Paddock and Veal-Gooch said after the meeting that they voted against the rezoning ordinance because it was inappropriate to allow such a business in a residential zone.

“It’s a neighborhood,” Paddock said. “It’s single-family neighborhood zoning; it’s not zoned for business. And I’m not in favor of any type of business in a neighborhood. That’s why we have the zoning laws.

“I’m obviously all in favor of him supporting his family and going out and being an entrepreneur. But you have to, before you make that investment, you have to make sure that you’re doing it where you can legally do it.”