Min 06/28/2001 368
Wichita Falls, Texas
Memorial Auditorium Building
June 28,2001
Items 1 & 2
The City Council of the City of Wichita Falls, Texas met in special session on the above
date in the Council Room of the Memorial Auditorium Building at 8:35 o'clock a.m., with the
following members present:
Bill Altman - Mayor Pro Tern
Arthur Bea Williams - Councilors
Linda Ammons
James Esther, Jr. -
Johnny Burns -
Harold Hawkins -
James Berzina - City Manager
Bill Sullivan - Acting City Attorney
Lydia Torres - City Clerk
Jerry Lueck - Absent
Mayor Pro Tern called the meeting to order.
Councilor Esther gave the invocation.
Item 3a
RESOLUTION NO. 77-2001
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WICHITA FALLS,
TEXAS, APPROVING FORM FOR LEASE OF HOME SITES AT LAKE ARROWHEAD;
FINDING AND DETERMINING THAT THE MEETING AT WHICH THIS RESOLUTION
WAS PASSED WAS OPEN TO THE PUBLIC AS REQUIRED BY LAW
Moved by Councilor Hawkins that Resolution No. 77-2001 be passed.
Motion seconded by Councilor Williams.
Mr. David Clark informed that this is a longer-term solution to the leases at Lake Arrowhead
regarding the salability of property. The City owns the land around the lake and we have lease
agreements for folks that have homes on that land. In the process of transferring property, financial
institutions are concerned about the length of time of the leases. As the end of the 25-year leases
draws nearer it becomes more and more difficult to achieve financing for the sale of these homes.
Subsequently, the proposed lease offers an alternative for folks that want to transfer
properties. The new lessees will have a choice to either remain with the existing lease and have a
shorter time frame or go to a new generation lease at a higher cost but with a longer term. The
latter would allow the lessee additional time to obtain financing for their property. This allows them
to have an extended time period because what is happening here is that the original date is not a
date of closure but that we are anticipating that the leasing of property at the lakes will continue.
This would become individualized in time.
There are three different leases that have to do with the amount of time that someone would want
to get into, depending on the amount of investment that they plan to make on the lease property. It
also addresses some of the concerns that have come up in past years, such as dogs, septic
inspections, as well as provides for Council review after a five-year period for possible adjustments,
if needed at that time.
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Item 3a continued
Councilor Hawkins commented that one of the problems is that we have some very nice
homes built out there and HUD has changed their rules requiring 10 years past the payoff of the
note in order to get a HUD loan. That is why the length of the lease is longer. The Council sub-
committee recommended three leases, a 25 year lease for sale price under $40,000, a 30 year
lease for sale price from $40,000 to $70,000, and a 40 year lease for sale price of $70,000 and
over.
Councilor Ammons mentioned that the reason for the recommendation was because the
note at the bank on a 40-year lease can be a maximum of a 30-year mortgage, and that is how it
was figured. In addition, the Council sub-committee approved that manufactured housing could be
allowed with a minimum of 1000 sq. ft. and the skirting has to be a minimum of a 24 gauge
corrugated or ribbed metal. We wanted to protect the part under the house as well as protect the
neighborhood.
Councilor Altman noticed that the lease rental rate was $480/year and in comparison with
other rates he felt that was exceptionally low. Mrs. Pat Hoffman provided a history on lake lot lease
rental rates. Mr. Clark noted that this would not affect already existing leases, only new ones.
Discussion of the $480 lease rental fee ensued.
Moved by Councilor Altman to amend the proposed resolution by increasing the lease
rental fee from $480 to $600.
Motion failed for a lack of a second.
Moved by Councilor Altman to amend the proposed lease by adding the words 'or "City",'
after the word "Lessor", in the first paragraph. The paragraph would read: This Lease Agreement,
made and entered into on the _ day of _, _, by and between the City of Wichita Falls, a
municipal corporation, acting through its City Manager, hereinafter called "Lessor" or "City, and
hereinafter called "Lessee".
Motion seconded by Councilor Burns and carried by the following vote.
Ayes: Councilors Williams, Ammons, Esther, Altman, Burns, and Hawkins
Nays: None
Councilor Hawkins referred to the last paragraph in Section 8 and suggested amending the
proposed lease by designating the minimum as 24 gauge instead of "24 or 26 gauge". He also
mentioned that a specific vinyl skirting needed to be approved.
Councilor Ammons said she was opposed to vinyl because of the attachment procedure
which would include wood and might attract termites. Councilor Hawkins informed that treated
wood is what would be used and noted that there are more manufactured homes with vinyl than
with metal. He stated that the vinyl issue is being researched to see if there is a HUD approved
vinyl.
Moved by Councilor Altman to amend the last sentence of Section 8 by striking "masonry or
metal skirt" and inserting the following phrase: "minimum of 24 gauge corrugated or ribbed metal
and/or masonry skirting" after the words "The home must include a". The sentence would read as
follows: "The home must include a minimum of 24 gauge corrugated or ribbed metal and/or
masonry skirting".
Motion seconded by Councilor Hawkins and carried by the following vote.
Ayes: Councilors Williams, Ammons, Esther, Altman, Burns, and Hawkins
Nays: None
Mr. Clark informed that the new generation lease would enforce the restrictions. Councilor
Hawkins suggested updating the Lake Lot Rule Book to include these restrictions, with the approval
of the tenants. Acting City Attorney thought that the enforcement power was in the original leases.
The fact that the lessee will comply with the official published rules gives an option to go back and
amend the rules to include these restrictions.
370
Item 3a continued
Councilor Altman referred to Section 11-Assignment and commented that in most
commercial leases there is a provision that the lessor has the right to get permission on
assignments and they usually have a provision that states that permission will not be unreasonably
withheld. That provision is not here. He suggested amending this section by adding the following
after the first sentence: "Any assignment shall be subject to approval of the lessor. Such approval
may not be unreasonably withheld."
Acting City Attorney agreed to the extent that if the lessee proposes to assign to somebody
that we've historically had problems with we might want to exercise the right to deny the transfer.
Councilor Altman concurred that there could be reasons, such as objection of neighbors,
criminal history, why the City could reasonably object to the assignment.
Moved by Councilor Altman to amend the proposed lease by adding the following
sentences after the first sentence in Section 11: "Any assignment shall be subject to approval of
Lessor. Such approval may not be unreasonably withheld."
Motion seconded by Councilor Burns and carried by the following vote.
Ayes: Councilors Williams, Ammons, Esther, Altman, Burns, and Hawkins
Nays: None
City Manager brought up the annual rental rate and expressed concern that it was too
cheap. He did not understand why the original leases were leased at $45, $50, $60/year for fifty
years. Projecting where we will be in twenty years, even $1300 is too cheap. Heasked Council to
reconsider and reopen the discussion of where that lease should start. We are doing the same
thing as those people who came before if it is not increased.
Council concurred that the annual rental fee needed to be increased.
Moved by Councilor Altman to amend the proposed lease by increasing the annual rental
rate from $480 to $600.
Motion seconded by Councilor Burns and carried by the following vote.
Ayes: Councilors Williams, Ammons, Esther, Altman, Burns, and Hawkins
Nays: None
Main motion as amended carried by the following vote.
Ayes: Councilors Williams, Ammons, Esther, Altman, Burns, and Hawkins
Nays: None
Item 3b
RESOLUTION NO. 78-2001
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WICHITA FALLS,
TEXAS, CONFIRMING THE APPOINTMENT OF A FIRE CHIEF FOR THE CITY OF
WICHITA FALLS, FINDING AND DETERMINING THAT THE MEETING AT WHICH
THIS RESOLUTION WAS PASSED WAS OPEN TO THE PUBLIC AS REQUIRED
BY LAW
Moved by Councilor Esther that Resolution No. 78-2001 be passed.
Motion seconded by Councilor Burns.
City Manager informed that he had appointed Mr. Harold Lindsey as Chief of the Fire
Department. He expressed appreciation to all the applicants and stated that he was very pleased
371
Item 3b continued
with the Department's interest and response. He believes that Mr. Lindsey has the qualities and
abilities to run the Department, and he has the far-sightedness of where the Fire Department needs
to be in the future.
Mr. Lindsey expressed appreciation to Mr. Berzina for the appointment and pledged hard
work, sincerity, and dedication to the job.
Council expressed their support in Mr. Lindsey's appointment as Fire Chief.
Motion carried by the following vote.
Ayes: Councilors Williams, Ammons, Esther, Altman, Burns, and Hawkins
Nays: None
Item 4a
Moved by Councilor Altman to appoint Councilor Williams, Burns and himself to the City
Council subcommittee to review applications for the position of City Attorney and make such
recommendations to the Council, as they deem appropriate.
Motion seconded by Councilor Esther and carried by the following vote.
Ayes: Councilors Williams, Ammons, Esther, Altman, Burns, and Hawkins
Nays: None
City Council adjourned at 9:20 a.m.
PASSED AND APPROVED this L, J_day of 2001.
BILL ALTMAN
MAYOR PRO TEM
ATTEST:
Lydia Torres
City Clerk
i
NOTICE OF SPECIAL MEETING
Special Meeting Of The Mayor And City Council Of The City Of
Wichita Falls, Texas To Be Held In The City Council Chambers Of
The Memorial Auditorium, 1300 Seventh Street, On Thursday,
June 28, 2001 , Beginning At 8:30 a.m.
City Council: Mayor Gerald Lueck - Councilors Arthur Bea
Williams, Linda Ammons, James Esther, William
Altman, Johnny Burns, and Harold Hawkins
1 . Call to Order.
2. Invocation:
REGULAR AGENDA
3. Resolutions:
a. Resolution Approving A Standard Lease Rental Agreement
For City-owned Lots At Lake Arrowhead. (City Council Bill
#156)
b. Resolution Confirming Appointment Of Fire Chief For The
City Of Wichita Falls. (City Council Bill #157)
4. Other Council Matters:
a. Appointment Of City Council Subcommittee To Review
Applications For Position Of City Attorney.
5. Adjourn.
Wheelchair or handicapped accessibility to the meeting is possible by using the
handicapped parking spaces and ramp located off the east parking lot on the Sixth Street
entrance. Spanish language interpreters, deaf interpreters, Braille copies or any other
special needs will be provided to any person requesting a special service with at least 24
hours notice. Please call the City Clerk's Office at 761-7409.
CERTIFICATION
I certify that the above notice of meeting was posted on the bulletin board
at Memorial Auditorium, Wichita Falls, Texas on the day of
, 20 at o'clock (a.m.)(p.m.).
City Clerk