[Call to Order, Pledges, and Invocation]
[00:00:08]
>> ALL RIGHT, IT IS 6:00 P.M., TUESDAY, AUGUST 12TH.
WE HAVE A QUORUM OF COUNCIL PRESENT, SO I CALL THIS MEETING OF THE MIDLOTHIAN CITY COUNCIL TO ORDER.
WE'RE GOING TO BEGIN TONIGHT WITH OUR PLEDGES AND INVOCATION TO BE LED BY COUNCILWOMAN
FATHER GOD WE LOVE YOU AND THANK YOU FOR THE OPPORTUNITY FOR US TO COME TOGETHER AS A COMMUNITY TO WORK TOWARDS THE BETTERMENT OF OUR COMMUNITY, FOR THE CITIZENS HERE, LORD. THANK YOU, JUST, FOR ALLOWING THIS SPACE FOR DECISION-MAKING, GIVE US WISDOM, LORD, AND, LORD, THANK YOU FOR SCHOOL STARTING UP AGAIN TOMORROW. MY KIDS ARE GOING BACK TO SCHOOL. LORD, HELP THEM ALL TO BE SAFE AS THEY ALL GO BACK AND JUST HELP ALL THE ROUTINES AND EVERYTHING AND THE TEACHERS AND THE STAFF.
WE PRAY BLESSINGS OVER THEM, LORD.
WE THANK YOU FOR ALL THESE THINGS IN YOUR SON'S NAME.
>> I PLEDGE ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA, AND TO THE REPUBLIC FOR WHICH IT STANDS, ONE NATION, UNDER GOD, INDIVISIBLE, WITH LIBERTY AND JUSTICE FOR ALL. HONOR THE TEXAS FLAG.
I PLEDGE ALLEGIANCE TO THE TEXAS, ONE STATE, UNDER GOD, ONE INDIVISIBLE.
>> THANK YOU, COUNCILWOMAN HAMMONDS.
SHE DID BRING UP A GREAT POINT FOR ALL THOSE HERE AND WATCHING ONLINE, SCHOOL IN MIDLOTHIAN ISD STARTS TOMORROW. I ENCOURAGE EXTRA PATIENCE AS YOU DRIVE OUR ROADS, EXTRA WATCH YOUR SPEEDS, AND LOOK OUT FOR BUSS BUSES WHEN THEY'RE STOPPED AND GIVE COURTESY TO US AND PATIENCE AS WE LAUNCH THE NEW
[2025-255 Announcements/Presentations]
SCHOOL YEAR.SO, WITH THAT, WE'RE GOING TO GO TO THE FIRST ITEM, WHICH IS 2025- 255, ANNOUNCEMENTS AND PRESENTATIONS AND AN OPPORTUNITY FOR CITY COUNCIL TO REPORT ON ITEMS OF COMMUNITY INTEREST. ANY COUNCIL MEMBERS HAVE ANYTHING THEY WOULD LIKE TO TALK ABOUT?
ROSS? >> JUST WITH THE BACK TO SCHOOL, THAT CREATES, YOU KNOW, TRAFFIC, THAT CREATES NEW RULES AND REGULATIONS, SO JUST DEFINITELY HOPING EVERYBODY WILL EXERCISE PATIENCE OVER THE NEXT WEEK TO TEN DAYS AS NEW PARENTS FIGURE OUT HOW TO DROP OFF AND PICK UP THEIR BABIES AND WE ALL GET USED TO SOME NEW RULES AND REGULATIONS THAT HAVE BEEN LAID UPON US AND HAVE PATIENCE FOR OUR COUNTERPARTS THAT GOVERN THE MIDLOTHIAN SCHOOL DISTRICT ON THE SCHOOL BOARD.
>> I ALREADY TOLD ADAM THIS EARLIER, BUT ANOTHER SHOUTOUT.
WE HAVE EMPLOYEE, AMY, AND PUBLIC WORKS, I GOT A CALL ABOUT YESTERDAY, AND DON'T GET THESE CALLS OFTEN, BUT THEY'RE NICE, TALK ABOUT HOW APPRECIATIVE THEY WERE, HOW ON TOP OF IT SHE WAS AND THEY ENJOYED WORKING WITH HER. I WANT TO GIVE A SHOUTOUT TO AMY IN PUBLIC WORKS.
[2025-256 Citizens to be heard]
>> THANK YOU. ANYBODY ELSE? ALL RIGHT.
CITIZENS TO BE HEARD. 2025-256.
THE CITY COUNCIL INVITES CITIZENS TO ADDRESS THE COUNCIL ON ANY TOPIC NOT ALREADY SCHEDULED FOR PUBLIC HEARING. CITIZENS WISHING TO SPEAK SHOULD COMPLETE A CITIZEN PARTICIPATION FORM, PRESENT IT TO THE CITY SECRETARY PRIOR TO THE ITEM BEING OPEN FOR DISCUSSION. SPEAKERS ARE LIMITED TO THREE MINUTES IN ACCORDANCE WITH THE TEXAS OPEN MEETINGS ACT.
MARY, ANYBODY SIGNED UP TO SPEAK TONIGHT?
>> MISS SCHWARTZ, DO YOU WANT TO COME FORWARD? IF YOU COULD STATE YOUR NAME INTO THE MICROPHONE THERE AND WHETHER OR NOT YOU LIVE IN THE CITY LIMITS AND YOU'LL HAVE THREE MINUTES.
>> HELLO, MAYOR AND CITY COUNCIL. MY NAME IS TIANA SCHWARTZ. I'M RUNNING -- THE ELECTION IS MARCH OF 2026.
I WANTED TO START HERE IN MY HOMETOWN, MIDLOTHIAN, BECAUSE I LIVED HERE FOR OVER 20 YEARS.
I HAVE FIVE CHILDREN WHO GRADUATED FROM MIDLOTHIAN ISD I'M SO PROUD OF. AND I HAVE WORKED IN LAW FOR NOW ALMOST TWO DECADES. AND SO I HAVE A LOT OF EXPERIENCE. CURRENTLY I AM WORKING FOR COUNTY COURT AT LAW ONE WITH JUDGE TIM CHAPMAN.
I WORKED FOR THE FORMER JUDGE OF CINDY IRMATIR AND WITH MUNICIPAL BONDS. QUITE A EXPERIENCE IN DALLAS, BUT I LOVE EACH AND EVERY JOB AND IT LED ME HERE. I'M VERY EXCITED TO MAKE THIS ANNOUNCEMENT HERE IN MY HOMETOWN FOR THE FIRST TIME I'VE BEEN ABLE TO STAND UP AND COMMUNICATE THAT AND I ALSO JUST WANT TO SAY I APPRECIATE EVERYTHING YOU GUYS DO BECAUSE MIDLOTHIAN IS SUCH A WONDERFUL PLACE, OF COURSE. AND I KNOW THE DEDICATION AND HARD WORK THAT GOES IN HERE AND I'VE GONE TO OTHER -- I WAS LISTENING TO THE AGENDA
[00:05:05]
ITEMS AND EVERYTHING YOU DO AND THE WORK THAT YOU GUYS DO, SO THANK YOU, AND I PLAN TO LEAD AND DELIVER THE RESULTS, THE JUST RESULTS OUR COMMUNITY NEEDS IN THIS OFFICE.THAT'S MY MAIN OBJECTIVE. THANK YOU.
>> THANK YOU, MA'AM. MARY, ANYBODY ELSE SIGNED UP TO
[CONSENT AGENDA]
SPEAK TONIGHT? WE WILL MOVE ON TO CONSENT AGENDA. ALL MATTERS LISTED UNDER CONSENT AGENDA ARE CONSIDERED TO BE ROUTINE AND ACTED ON ONE MOTION WITHOUT DISCUSSION, HOWEVER IF DISCUSSION IS DESIRED THAT ITEM CAN BE REMOVED FROM CONSENT AND CONSIDERED SEPARATELY. ANY COUNCIL MEMBERS LIKE TO REMOVE ANY ITEMS FROM CONSENT THIS MORNING?>> I HAVE QUESTIONS ON B, D, H, AND I.
>> OKAY, ANY OTHER ITEMS WITH LIKE TO REMOVE ANY OTHER ITEMS? I'LL ENTERTAIN FOR CONSENT MINUS B, D, H AND I.
>> MOTION FROM MAYOR PRO TEM WICKLIFFE TO REMOVE B, D, H, AND I AND SECONDED BY CITY COUNCIL HAMMONDS. PLEASE VOTE. AND THAT PASSES 7-0.
[2025-257 B. Consider and act upon a resolution authorizing an expenditure in the amount of $76,000.00 by the Midlothian Community Development Corporation (MCDC) to Holmes Millet for the costs associated with developing a strategic communications plan for MCDC.]
WE WILL OPEN ITEM B FROM CONSENT AND CONSIDER AN ACT UPON A RESOLUTION AUTHORIZING AN EXPENDITURE IN THE AMOUNT OF 76,000 BY THE MIDLOTHIAN COMMUNITY DEVELOPMENT CORPORATION TO HOLMES MILLET FOR THE COSTS ASSOCIATED WITH DEVELOPING A STRATEGIC COMMUNICATIONS PLAN FOR MCDC.MELISSA. QUESTIONS FOR MELISSA?
>> I WAS READING IN THE COUNCIL PACKET AND WHAT IS THE GOAL OF A -- SHOOT, WHAT WAS IT, A STRATEGIC COMMUNICATIONS PLAN?
>> SO, OUR INTENT IS TO INTEGRATE MCDC EXISTING BRAND AND VALUES INTO IMPACTFUL COMMUNICATION TOOLS AND MESSAGING STRATEGIES. SO THIS WAS PART OF OUR PRIORITY LIST AND WE DID DISCUSS IT IN THE BUDGET FOR THIS FISCAL YEAR. BUT OVERALL, WE WANT TO HAVE A CONCISE AND CLEAR MESSAGE THAT EVEN OUR VOLUNTEER BOARD CAN UTILIZE AND THAT WE CAN ALSO DO ACROSS THE BOARD TO HELP LIFT PEOPLE UNDERSTANDING WHAT WE DO AND HOW IT INTERACTS WITH THE CITY AND SOME OF THE BENEFITS WOULD BE CONVEYING TO BUSINESS OWNERS WHAT WE DO TO RESIDENTS WHAT WE DO, HOW WE CONTRIBUTE QUALITY OF LIFE AND SUCH.
>> OKAY. SO, PART OF THE GOAL IS TO ADVERTISE PAST SUCCESSES AND FUTURE OPPORTUNITIES WITH THE COMMUNITY DEVELOPMENT
CORPORATION. >> THAT'S CORRECT.
BUT ALSO HIGHLIGHTING THE CITY. WE DO A LOT OF WORK WITH LOCAL EVENTS AND SO ALWAYS PART OF THAT IS TO PROMOTE THE CITY.
WE WANT TO MAKE SURE WE HAVE A GOOD MESSAGE AND BRANDING FOR THAT AS WELL.
>> SO, HOW DO WE MEASURE THE SUCCESS OF THIS PROGRAM? I WAS LOOKING FOR THAT IN THE PACKAGE AND ALSO IN THE BID FROM THE HOLMES MILLET AND IT SAID SOMETHING ABOUT AN ANNUAL ASSESSMENT. WHAT ARE THEY ASSESSING AND HOW DO WE KNOW IF IT'S WORKING?
>> SO, I WOULD THINK THAT WE WOULD TAKE ALL OF THEIR BENCHMARKS AND THAT WOULD BE OUR FIRST INDICATOR, BUT WE DO GO BACK YEAR BY YEAR AND LOOK OVER OUR -- WITH OUR FINAL REPORT AND CREATE OUR BENCHMARKS BASED ON WHAT OUR PRIORITIES WERE FOR THAT YEAR, DID WE HIT THEM? WE WOULD INTEGRATE ALL OF THAT, VIA THIS COMMUNICATION PLAN ONCE IT'S WRITTEN.
>> OKAY. AND THAT WILL COME BACK TO COUNCIL?
>> AND WHY THIS FIRM OUT OF ALL THE ONES THAT SUBMITTED?
>> THE PRICE WAS REASONABLE AND THEY HIT EVERYTHING THAT WE WANTED TO DO. ONE BID WAS JUST SO HIGH THAT WE DIDN'T EVEN CONSIDER IT. AND THEN ALSO THEY HAVE DONE A LOT OF STUFF LOCALLY, BUT ALSO FURTHER OUT, LIKE WITH RED CROSS. WE LIKE THE PACKAGE, OR THE BOARD DID.
>> ANY OTHER QUESTIONS ON ITEM B? MAKE A MOTION ON IT?
>> I'LL MAKE A MOTION TO APPROVE.
>> MOTION TO APPROVE BY COUNCIL MEMBER WEAVER AND SECONDED BY COUNCIL MEMBER SHUFFIELD. PLEASE VOTE.
[2025-257 D. Consider and act upon a resolution approving the City of Midlothian, the Midlothian Economic Development (MED), the Midlothian Community Development Corporation (MCDC), and the Midlothian Development Authority (MDA) Investment Policies.]
>> ITEM PASSES 7-0. MOVING TO CONSENT ITEM NUMBER D.
CONSIDER AN ACT UPON A RESOLUTION APPROVING THE CITY OF MIDLOTHIAN, THE MIDLOTHIAN ECONOMIC DEVELOPMENT AND MIDLOTHIAN COMMUNITY DEVELOPMENT CORPORATION AND THE MIDLOTHIAN DEVELOPMENT AUTHORITY INVESTMENT POLICIES. AND YOUR QUESTIONS FOR ANN?
>> JUST MAKING SURE I UNDERSTAND WHAT I READ THROUGH IN THE PACKET BECAUSE IT WAS
[00:10:01]
VERY VERBOSE AND NOT ON Y'ALL'S PART, BUT THE LANGUAGE OF IT. SO WE ARE JUST UPDATING THE LIST AFTER PROVED VENDORS FOR THIS SERVICE?>> WELL, WE HAVE TO BRING IT EVERY YEAR SO IT IS THE EXACT SAME.
WE DIDN'T MAKE ANY CHANGES OTHER THAN THE LIST OF BROKERS.
AND THERE IS A CAVEAT IN THERE THAT SAYS THAT THAT CAN CHANGE PERIODICALLY ANYWAY. IT MAY NOT BE THE ONE WE USE IN A MONTH, BUT JUST COMING FORWARD.
>> FAIR ENOUGH. THAT WAS MY ONLY QUESTION. I WAS, LIKE, I DIDN'T SEE WHERE IT WAS NOTED SAYING ADD OR SUBTRACT OF ANY SPECIFIC VOTE.
GOOD. >> ANY OTHER QUESTIONS FROM COUNCIL ON D? TAKE A MOTION ON IT. APPROVE.
>> MOTION TO APPROVE BY COUNCIL MEMBER SHUFFIELD AND SECONDED BY COUNCIL MEMBER WEAVER. PLEASE VOTE.
ITEM PASSES 7-0. ITEM H FROM CONSENT
[2025-257 H. Consider and act upon an ordinance extending a natural gas franchise to Universal Natural Gas, LLC (d/b/a Universal Natural Gas, Inc., (Universal Natural Gas) its successors and assigns, to construct, maintain, and operate pipelines and equipment in the City of Midlothian for the transporting, delivery, sale, and distribution of gas in, out of, and through the City for all purposes; providing a savings clause; providing a severability clause; providing an effective date.]
AGENDA, CONSIDER AN ACT UPON AN ORDINANCE EXTENDING A NATURAL GAS FRANCHISE TO THE UNIVERSAL NATURAL GAS LLC, ITS SUCCESSORS AND ASSIGNS TO CONSTRUCT, MAINTAIN AND OPERATE PIPELINES AND EQUIPMENT FOR THE CITY OF MIDLOTHIAN FOR TRANSPORTING DELIVERY, SALE, AND DISTRIBUTION OF GAS AND THROUGH THE CITY FOR ALL PURPOSES PROVIDING SAVINGS CLAUSE PROVIDING SEVERABILITY CLAUSE, PROVIDING AN EFFECTIVE DATE. ROSS?ALREADY HAVE, RIGHT? >> WE HAVE A PRIMARY ONE WE HAD FOR YEARS WITH ATLAS. WE HAVE ANOTHER ONE AND THAT'S REALLY CLOSE TO TLAS, THE SAME PERCENTAGE, THE SAME TERMS.
>> IS IT THE SAME RATE AS WHAT THE OTHER FRANCHISE UTILITIES ARE SEEING?
>> DO WE KNOW WHAT SERVICE AREA THEY'RE GOING IN OR THIS JUST GIVES THEM CART BLANCH TO --
>> IT GIVES THEM THE OPPORTUNITY TO DO IT ANYWHERE IN THE CITY. THEY PROBABLY TOLD ME WHEN THEY FIRST ASKED, SO RIGHT NOW I DON'T REMEMBER WHERE, SPECIFICALLY THEY'RE STARTING.
>> ANY OTHER QUESTIONS ON ITEM H? HEARING NONE, I'LL TAKE A
>> MOTION TO APPROVE BY COUNCILMAN SHUFFIELD AND SECOND
[2025-257 I. Consider and act upon adoption of an ordinance granting Oncor Electric Delivery Company LLC, its successors and assigns, a non-exclusive franchise to use the present and future streets, alleys highways, public utility easements, public ways and public property of the City of Midlothian, Texas. ]
BY COUNCIL MEMBER HAMMONDS. PLEASE VOTE.ITEM PASSES 7-0. ITEM I, CONSIDER AN ACT UPON ADOPTION OF AN ORDINANCE GRANTING ENCORE ELECTRIC DELIVERY COMPANY LLC AND ITS SUCCEEDERS, ASSIGNS, NONEXCLUSIVE FRANCHISE TO USE THE PRESENT AND FUTURE STREETS, ALLIES, HIGHWAYS, PUBLIC UTILITY EASEMENTS, PUBLIC WAYS AND PUBLIC PROPERTY OF THE CITY OF MIDLOTHIAN, TEXAS.
>> SO THIS IS JUST A RENEWAL OF -- I KNOW THEY ALREADY HAVE THIS, RIGHT?
>> YES. IT IS BASICALLY THE SAME TERMS AS WE'VE HAD AND IT IS VERY SIMILAR TO OUR OTHER ONES IN THIS AREA.
>> SO MY QUESTION ON THIS IS, NOTED IN THERE THAT THE RATE OF OUR FRANCHISE HAS NOT CHANGED SINCE 2006.
BUT I KNOW ONCOR HAS CHANGED THEIR DELIVERY RATES AND BASE CHARGES SINCE 2006.
>> YES. THIS IS SPECIFICALLY WHAT THE CITY WOULD BE RECEIVING.
>> SO DOES THIS ADD ON TOP OF THEIR DELIVERY CHARGES OR DO THEY PAY IT OUT OF THEIR DELIVERY CHARGES?
>> I BELIEVE -- WELL, GO AHEAD.
>> MY QUESTION THAT STEMS FROM THAT IS IF THEIR DELIVERY CHARGE HAS GONE UP, AND PART OF THAT IS PAYING FOR THE USE OF OUR RIGHT OF WAYS, WHY HAS THERE NOT BEEN AN ASSOCIATED INCREASE IN THE FRANCHISE FEE?
>> WELL, THAT IS THEIR STANDARD PERCENTAGE, JUST LIKE WE HAVE FOR OUR OTHER UTILITIES THAT ARE IN OUR --
>> I ASKED ONCOR TO COME JUST IN
CASE. >> THERE IS ONE COMPONENT THAT IS A PERCENT AND ANOTHER COMPONENT THAT IS A FIXED RATE PER KILOWATT
>> AND SO I KNOW THEIR RATERATE KILOWATT HOUR HAS INCREASED SINCE 2006.
IF IT WAS A PERCENTAGE , IT WOULD INCREASE WITH IT, RIGHT?
>> THAT IS TRUE. Y'ALL WANT TO TRY?
>> THE QUESTION ABOUT THE FRANCHISE RATE, THAT IS SET BY THE PAC, NOT SOMETHING THAT ONCOR SETS.
THE RATE YOU SEE IS ONCOR COLLECTING THEIR OWN RATES TO DELIVER THE COST OF SERVICE. IT IS TWO TOTALLY DIFFERENT THINGS. KILOWATTS PER HOUR IS SET BY THE UTILITY ELECTRIC PROVIDER.
>> DON'T YOU HAVE A SMALL COMPONENT THAT IS MEASURED ON KILOWATTS PER HOUR? IS THAT SET BY PUC OR YOU?
>> THAT'S SET BY PUC THE RATE WE CAN GET
FROM CUSTOMERS. >> DOES OUR FRANCHISE FEE COME OUT OF THAT THAT YOU'RE COLLECTING?
[00:15:02]
>> IT IS IN THE -- YES, TO ANSWER YOUR QUESTION, SO FRANCHISE FEES ARE MADE UP OF THREE PARTS.
CONSUMPTION, COST, AID AND CONSTRUCTION, AND -- FEES WHICH ARE -- SO YOUR FACTOR -- SO GOING BACK A LITTLE BIT, IN 2006, WE DID GIVE AN INCREASE TO ALL OF OUR CITIES AND IT WAS 2% THE FIRST YEAR AND THEN A PERCENT AFTER 2009.
THAT'S WHAT YOU SEE YOUR FACE FACTOR AND THE CURRENT FACTOR, A LITTLE BIT HIGHER THAN THAT BASE FACTOR. YOU'RE GETTING PAID ON THE CURRENT FACTOR AND THAT'S WHAT THE 2006 YOU'RE REFERRING TO. SO THE FACTORS TO ANSWER YOUR QUESTION HAVE NOT CHANGED. THE WAY IT WAS SET UP WAS AS CITIES GROW, THE CONSUMPTION GROWS AND THEREFORE THE FRANCHISE PAYMENT GROWS.
SO, I WOULD HAVE TO GO BACK AND LOOK, BUT YOU SHOULD SEE AN INCREASE AS TIME HAS GONE ON AS THE CITY HAS GOTTEN BIGGER AS YOU'VE GOTTEN MORE DEVELOPMENT AND YOUR FRANCHISE FEE HAS ALSO INCREASED.
>> SO, THIS IS PER KILOWATT HOUR CHARGE IS THE SAME THING YOU CHARGE OR EVERY MUNICIPALITY IN THE STATE OF TEXAS CHARGES?
>> SO, NO, SO EVERY CITY THAT WE OPERATE IN HAS SOMEWHAT OF A DIFFERENT FACTOR. THAT GOES BACK TO 1998 WHEN THE TEXAS LEGISLATURE, THEY CAME UP WITH FACTORS AND WHAT THEY DID WAS THEY TOOK THE GROSS CONSUMPTION AT THAT TIME FRANCHISE FEES WERE BASED OFF OF GROSS REVENUES.
SO TOOK THE PAYMENT FOR 1998 AND DIVIDED IT BY THE CONSUMPTION FOR THAT TIME PERIOD AND THAT'S WHERE THE FACTORS DERIVE FROM.
IN 2002, THOSE CAME INTO PRACTICE WHEN WE DEREGULATED.
SINCE THAT TIME, SO YOU HAD THE 2006 INCREASE AND THE 2009 -- SINCE THAT TIME THEY HAVE NOT CHANGED.
>> FOR ANY MUNICIPALITY IN THE STATE OF TEXAS?
>> I WILL TELL YOU, IT IS A FAIR QUESTION.
IF ONE CITY OR MUNICIPALITY GOT AN INCREASE, WE GIVE IT TO ALL OF UR CITY OUR CITIES.
SO IT IS SOMETHING THATTHAT VALID QUESTION, BUT BECAUSE THE RATES --
>> AND ANY INCREASE IN THIS FRANCHISE CHARGE WE RECEIVE PER KILOWATT PER HOUR, WOULD IT BE PASSED ON TO RESIDENTS SO THEY WOULD BE PAYING HIGHER?
>> ULTIMATELY PASSED ON TO THE RATE PAYERS, YES, TO ANSWER YOUR QUESTION. SO THE FRANCHISE FEES ARE PART OF THE -- SO I DON'T KNOW SPECIFICALLY BASED ON WHAT THAT IS FOR THE RATE, BUT EVERY CITY'S FACTORS ARE A LITTLE BIT DIFFERENT AND THE FRANCHISE PAYMENT.
>> COUNCIL MEMBER, I WANT IT MAKE SURE IT IS CLEAR THERE IS A KILOWATT CHARGE, AND PROVIDER CHARGES AND A SECOND CHARGE FROM ONCOR CHARGES. SO DEPENDING ON WHO THE RETAIL -- THE CUSTOMER HAS, RETAIL ELECTRIC PROVIDER, THAT AMOUNT COULD BE DIFFERENT. THEY COULD CHARGE 7, 9, 14 CENTS PER KILOWATT HOUR.
>> 100% AGREE. ARE THEY PAYING THE -- THE WAY IT WAS BROKEN OUT FOR US IS ELECTRIC FRANCHISE FEES ARE COMPOSED OF, ONE, A CHARGE OF . 001386 KILOWATT HOUR OF ELECTRICITY DELIVERED TO EACH RETAIL CUSTOMER.
ARE YOU COLLECTING THAT? OR IS THE RETAILER COLLECTING THAT OR REMITTING IT?
>> SO , WE'RE TELLING THE CONSUMPTION INTERNALLY, SO WE DETERMINE WHAT THAT CONSUMPTION IS, AND THEN WE'RE PAYING THAT. OF COURSE, TO GO BACK TO WHAT YOU ASKED BEFORE, WE ARE ABLE TO RECOUP THAT COST OVER TIME, BUT THE CONSUMPTION IS -- WE ARE MONITORING THAT, IT IS BASED OFF ALL YOUR -- SO WE HAVE ALL THOSE -- AND MARKED INSIDE OR OUTSIDE.
IF YOU'RE INSIDE, WE'RE TAKING ALL THAT CONSUMPTION AND WE'RE TALLYING IT UP AND MULTIPLYING IT TO GET THE CONSUMPTION PORTION OF THE ACCESS FEE.
THERE IS ANOTHER -- THE FEES ARE TARIFF AND THE NUMBERING CONVENTIONS HAVE CHANGED OVER THE YEARS, BUT IN A NUT SHELL, THAT CHARGE, THEN YOU GET 4% OF WHAT THAT CHARGE FEE IS. YOU GET TO PAY ON THAT.
>> SO 4% ON NONCONSUMPTION-RELATED?
>> ON THE CONSUMPTION, WE GET THE FACTOR, IS THAT COMING FROM YOU OR FROM THE RETAILER? WHO IS COLLECTING THAT?
>> IT IS COLLECTED ON THE CUSTOMER'S BILL.
>> AS A SEPARATE LINE- ITEM OR INCLUSIVE?
>> INCLUDED. >> AND THAT IS BASED UPON
[00:20:04]
USE USEAGE?>> CORRECT. >> INSIDE THE ONCOR RATE IS WHERE THIS NUMBER IS CALCULATED?
>> IT IS SAME ACROSS THE ENTIRE SERVICE TERRITORY.
DEPENDING ON THE RATE CLASS, EACH CUSTOMER WILL PAY THE SAME. WE TAKE THE TOTAL AMOUNT WE PAY ALL OF OUR CITIES AND IT IS BROKEN DOWN EVEN FURTHER.
THAT WIRELESS CHARGE IS SAFE FOR RESIDENTIAL CUSTOMERS HERE.
>> ANY INCREASE IN THIS FACTOR WOULD INCREASE THE SERVICE AREA'S COST ON ELECTRICITY?
>> AND THAT CHARGE. WHEN YOU SEE A RATE INCREASE THAT THE CUSTOMER SUSPENDED NOT TOO LONG AGO, IF THE PUC APPROVES THAT RATE, THAT WILL BE AN INCREASE ON CUSTOMER'S CHARGE. IS THAT WHAT YOU'RE ASKING?
>> ANY OTHER QUESTIONS ON ITEM I? TAKE A MOTION ON IT.
>> APPROVE BY COUNCIL MEMBER WEAVER AND SECONDED BY COUNCIL MEMBER HAMMONDS. PLEASE VOTE.
[2025-258 Consider, discuss and take a record vote to establish a maximum ad valorem tax rate of $0.650000 and schedule a public hearing regarding the proposed ad valorem tax rate for September 9, 2025.]
ITEM PASSES 7-0. NO PUBLIC HEARING THIS EVENING BUT THERE ARE SOME REGULAR AGENDA ITEMS. 2025-258.CONSIDER, DISCUSS AND TAKE A RECORD VOTE TO ESTABLISH A MAXIMUM AD VALOREM RATE OF . 65 AND SCHEDULE A PUBLIC HEARING REGARDING THE PROPOSED AD VALOREM RATE FOR SEPTEMBER 9, 2025.
>> THIS IS KIND OF THE START OF THE TAX RATE SETTING AS PRESCRIBED BY THE STATE. SO, WHAT YOU'RE VOTING ON AS IT STATES IS THE MAXIMUM RATE THAT CAN BE ADOPTED.
YOU CAN ADOPT A RATE THAT IS LOWER.
IF YOU WANT TO ADOPT A RATE THAT IS HIGHER, WE HAVE TO START THIS PROCESS BACK OVER. YOU'RE NOT SETTING A TAX RATE TONIGHT. YOU ARE JUST STARTING A PROCESS BY ESTABLISHING A MAX THAT IT CAN BE SET AT.
IF YOU LOOK AT YOUR AGENDA ITEM SUMMARY, IT DOES DISCLOSE THE PROPOSED RATE, IT BREAKS IT OUT INTO MAINTENANCE AND OPERATIONS VERSUS THE INTEREST AND SYNCING PORTION, WHICH IS THE DEBT PORTION.
IT HAS THE NO NEW REVENUE RATE AND THE VOTER APPROVAL TAX RATE IN YOUR AGENDA ITEM.
SO WITH THAT, MYSELF OR ANN CAN ANSWER ANY
QUESTIONS. >> ANYBODY SIGNED UP TO SPEAK ON THIS? OKAY.
>> WANT TO COME UP AND STATE YOUR NAME INTO THE MICROPHONE, WHETHER OR NOT YOU'RE INSIDE THE CITY LIMITS AND YOU'LL HAVE THREE MINUTES.
I LIVE WITHIN THE CITY LIMITS. AND FOR THE PURPOSES OF THIS DISCUSSION, I'M GOING TO ROUND UP NUMBERS SINCE MY TIME IS LIMITED.
I'M NOT SURE IF THE CITY COUNCIL MEMBERS UNDERSTAND THE PROCESS INVOLVED IN GETTING THE TAX RATE. BUT THERE IS A WORKSHOP -- WORK SHEET THAT THE CITY FILLS OUT, AND SENDS TO THE TAX ASSESSOR. THE PROCESS BEGINS ON 6/23/25 WHEN THE WORK SHEET WAS SHARED WITH THE CITY.
WE CONFIRMED RECEIPT AT THE BEGINNING OF JULY.
AND AT SOME POINT WE DID SEND OVER COMPLETED WORK SHEET.
AT THE END OF JULY, THE TAX ASSESSOR SENT THE WORK SHEET BACK WITH THE TAX OF .63 AND SOME NUMBERS.
THAT FIRST WORK SHEET HAD A VOTER APPROVAL RATE FOR THE INS OF .28998. AND THE TOTAL VARIANCE OF VOTER APPROVAL RATE WAS THE .623608.
ONCE THE CITY SAW THAT IT WAS LOWER THAN THE . 65 THAT THEY HAD ESTIMATED, THEY WENT BACK AND THROUGH AN ORR THERE WERE 30 PLUS EMAILS GOING BACK AND FORTH BETWEEN THE CITY STAFF AND THE TAX ASSESSOR, ASKING THEM TO CHANGE THE DEBT SIDE BECAUSE THEY CANNOT CHANGE THE MNL SIDE BY STATUTE. IT IS MAXED AT 3.5.
HOPEFULLY AFTER THE MULTIPLE SESSIONS WE'RE GOING TO HAVE, THAT WILL BE CAPPED AT 2.
5 AND THE LOOPHOLE I FOUND WILL BE CLOSED. BUT THEY SUBMITTED MULTIPLE WORK SHEETS, INCREASED THE AMOUNT OF DEBT THEY SAY THEY'RE GOING TO PAY IN ORDER TO GET THE 6.5.
LET'S HOPE AT THE END OF THIS YEAR WE'VE PAID THAT
[00:25:04]
ESTIMATED DEBT AMOUNT OF $22 MILLION.IF IT'S -- I GET IT IS NOT GOING TO MATCH EXACTLY AS IT IS AN ESTIMATE. BUT IF IT'S NOT THAT CLOSE, WE HAVE TO WONDER WHERE IS OUR MONEY.
SO, PLEASE, UNDERSTAND THE PROCESS AND WHILE WE CAN DO THIS, SHOULD WE DO IT? SOUNDS LIKE YOU'RE MANIPULATING US AS TAXPAYERS IN ORDER TO GET THE TAX RATE THAT YOU WANT AND NOT WHAT THE TAXPAYERS DESERVE. THANK YOU.
COUNCIL, QUESTIONS OF CHRIS OR STAFF? ROSS? NO? OKAY.
[2025-259 Consider and act upon awarding a bid to Atkins Bros Equipment Co., Inc. for the 2024- 2025 Midlothian Utility Package Project in a base bid amount of $657,960.00 plus a 10% contingency, for a total not to exceed amount of $723,756 and authorize the City Manager to execute an agreement.]
[2025-260 Consider and act upon awarding a bid to Day Services, LLC for the Hwy 287 Firefly Loop 16-Inch Water Line Project with a base bid of $305,886.00 plus a 5% contingency, for a total not to exceed amount of $321,180.30 and authorize the City Manager to execute an agreement.]
[2025-261 Consider and act upon nominations for appointments to the Park Board, Midlothian Economic Development, Utility Advisory Board, and Planning and Zoning Commission.]
[EXECUTIVE SESSION ]
[00:35:29]
>> ALL RIGHT, 6:50, COUNCIL IS BACK FROM EXECUTIVE SESSION.
[00:35:32]
WE HAVE A QUORUM PRESENT. THERE IS NO ACTION TO BE TAKEN FROM AS A RESULT OF EXECUTIVE SESSION. SO, AT 6:50, THIS MEETING IS ADJO* This transcript was compiled from uncorrected Closed Captioning.