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Min 09/11/1979 282 Wichita Falls, Texas Memorial Auditorium Building September 11 , 1979 Items 1 & 2 The Board of Aldermen of the City of Wichita Falls, Texas, met in called session on the above date in the Council Room of the Memorial Auditorium Building at 8:30 o'clock A.M. , with the following members present. Kenneth Hill Mayor Marvin Traywick John Hampton, Jr. Carol Russell Aldermen Curtis Smith Jim Thomas Raymond Adcock Gerald Fox City Manager H. P. Hodge City Attorney Gerald Carlson Chief Accounting Officer Wilma J. Thomas City Clerk The invocation was given by Alderman Adcock. Item 3 Minutes will be approved at the next regular meeting. 1 Item 4a A proposed ordinance was presented extending the state of emergency. ORDINANCE NO. 3536 ORDINANCE EXTENDING STATE OF DISASTER EMERGENCY FOR SEVEN DAYS. Moved by Alderman Traywick that Ordinance No. 3536 be passed. Motion seconded by Alderman Adcock, and carried by the following vote. Ayes: Mayor Hill , Aldermen Traywick, Hampton, Russell , Smith, Thomas, and Adcock Nays : None Item 5a A proposed resolution was presented commending the work of the Task Force on Reconstruction and Redevelopment. The resolution was read in full by Mayor Hill . ✓RESOLUTION NO. 2390 A RESOLUTION COMMENDING THE WORK OF THE TASK FORCE FOR RECONSTRUCTION AND REDEVELOPMENT OF THE TORNADO AFFECTED AREA. WHEREAS, the Task Force for Reconstruction and Redevelopment of the Tornado Affected Area was created by the Board of Aldermen under Resolution 2336; and, WHEREAS, this Task Force met and deliberated unselfishly and untiringly many times since the April loth Tornado; and, WHEREAS, the recommendations and actions of the Task Force had a great bearing on the orderly recovery and reconstruction efforts in the tornado affected area; and, WHEREAS, the responsibilities and authority granted to the Task Force have now been transferred to the Goals for Wichita Falls Committee by the adoption of Resolution 2387. 283 Item 5a, cont'd. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF ALDERMEN OF THE CITY OF WICHITA FALLS, TEXAS, THAT: 1 . The Board of Aldermen in behalf of all citizens of Wichita Falls takes this means of expressing extreme gratitude and appreciation to the members of the Task Force for Reconstruction and Redevelopment of the Tornado Affected Area for their assistance and untiring work in the redevelopment and reconstruction efforts immediately after the April loth Tornado. 2. The Board of Aldermen would further encourage members of the Task Force for Reconstruction and Redevelopment to continue such diligent efforts in their various roles on the Goals for Wichita Falls Committee. 3. Upon adoption of this resolution the Board of Aldermen instructs that copies of this resolution be provided to all members of the Task Force. Moved by Alderman Traywick that Resolution No. 2390 be passed. Motion seconded by Alderman Russell , and carried by the following vote. Ayes: Mayor Hill , Aldermen Traywick, Hampton, Russell , Smith, Thomas, and Adcock Nays: None Item 6a Discussion was held on water distribution line bids under Community Development Block Grant Program. City Manager Gerald Fox recommended that the Council reject the one bid and readvertise for a project of a lesser magnitude which would come under the $335,000 available for the work to be done. The single bid was in excess of the available amount. The Council discussed the lack of bidders on these projects. Alderman Hampton wondered if perhaps we could attract more out of town bidders if we gave bigger projects? The City Manager stated that this is a complete project, and we have waited two years for this. Joe Smith stated that it is advertised in the Dodge Report, and is available to bidders in several states. Alderman Thomas wondered if this is typical of what happens in every city? The City Manager stated that he felt it is typical for a city of our size outside a large metropolitan area. Moved by Alderman Thomas that we reject the single bid, and readvertise on a smaller basis. Motion seconded by Alderman Smith, and carried unanimously. Item 7a Discussion was held on the request of Savage Properties for rent control relief, and of general multi-family rent control relief. The City Attorney stated that he is not in a position to give him a report on it at this time since he just got in from vacation yesterday. Dan Savage stated that it has been five months today since the ordinance was passed. Figures of 32 percent were previously projected. Inflation has doubled since the ordinance was passed. It is not fair for one industry to be penalized by price controls when the industry is what is driving their costs up. He noted that there is no control on single family homes. He requested that the Council remove this control . Alderman Traywick stated that he did not know of any apartments which have been restored to use since the tornado, and they constitute a greater portion of the percentage of rental units in Wichita Falls. He further stated that his thinking was that his request was based on supporting the debt and necessary operating expenses. The operating expenses would constitute one-half. He would like the rentals control removed as quickly as possible, but feels there is an artificial inflation of rental properties since the tornado. 284 i Item 7a, cont'd. Nathan Brown, 4215 Rivercrest, appeared representing North Texas Rental Property Association, which is made up of more than 40 members who maintain and operate rental properties. Their main objective is to provide housing and promote better operating procedures. The Association requested that rental controls be removed. The resident of each rental property has to budget these small rental increases which are expected. Some of these properties are way behind in rental increases. They must consider the resident because without him they would be out of business. He stated that the control has been a little unfair. They know of no one who has been taken advantage of since the tornado. They have allowed residents free rental under certain circumstances. They have also allowed renters to double the occupancy of the units, which resulted in a greater cost to the apartment owners because of the use of more water, electricity, and more garbage. He stated that all governmental units were exempt under the statute. It was noted that Highland Oaks has had 148 units on the market since the tornado. Haystack has 274 units since then. Approximately 1800 units were destroyed. All 150 units at Shadowwood are on stream. John Hirschi has 50 percent of his back on the market. Tiffany will have 162 units available by Christmas. Sunvalley will have 132 units available before Christmas. French Quarter will have 150-250 units available by December 1 . Mr. Brown noted that these apartments come on stream not in mass, but a few at a time. Waiting lists were discussed. It was pointed out that all those on a waiting list may not qualify for housing. Mr. Brown stated that he knows the Council acted in good faith after the tornado in initiating this control . Alderman Adcock clarified if what Mr. Brown is saying is that if controls are kept, there will be such an impact on the residents after it is lifted? Mr. Brown felt that the ordinance has artificially disrupted the market place. It has not let things happen naturally. Alderman Hampton stated that one-way price controls cause inequities, and feels they have just cause for their pleas. Mr. Brown stated that he would be surprised if he saw more than a ten percent increase in any of these properties. They will have to try to catch up some, but did not mean they would try to recover all the loss which they have suffered as a result of the price controls. Alderman Adcock stated that it seems that maintenance is a problem because many things have to be replaced after a tenant has moved. The City Manager asked for a definition of the marketplace. Mr. Brown stated that he feels some units will not be rebuilt because of the increase in costs. The City Manager stated that they have had six to eight requests for additional multi-family units. He asked Mr. Brown when would he predict that orderly supply and demand will come into balance? Mr. Brown stated that it will take them years to catch up. Moved by Alderman Smith that rent controls be removed, effective September 18, 1979. Motion seconded by Alderman Traywick. Mayor Hill stated that it is not fair to remove some controls, and leave some on. He would have been in favor of leaving controls on everything longer, and not just rent. Since controls were removed on some items, he feels it is only fair to remove controls on rent. The ones who violated the ordinance and increased the rent anyway, possibly were not interested in seeing them removed. The motion was carried unanimously. Alderman Traywick stated that he abhors price controls as much as anyone else, but not one time did anyone ask him to contact them to raise the rent. It was always about price gouging. He stated that their phones have rung off the wall about raising rent. Item 9a The Council recessed at 9:30 for a work session on general revenue sharing budget. 285 Item 9a, cont'd. When the Board of Aldermen resumed at 10:30, they immediately adjourned. PASSED AND APPROVED this day of O -�y��1-2 1979. MAYOR ATTEST: 9 CITY CLERK