CP 2006-08-22
NOTICE OF CITY COUNCIL MEETING AND AGENDA
AUGUST 22, 2006
DOUG STOVER, BILLY FAUGHT, Place 5
Mayor Mayor Pro Tem
TIM BRANCHEAU, Place 1 MARSHA TUNNELL, Place 4
JAYNE PETERS, Place 2 MARVIN FRANKLIN, Place 6
BRIANNA HINOJOSA-FLORES, Place 3 BILL YORK, Place 7
JIM WITT, City Manager
MEETING TIME AND PLACE:
Call to Order 5:30 p.m. Council Chambers (Open to the Public)
Executive Session Immediately Following 1st Fl. Conf. Room (Closed to the Public)
Work Session Immediately Following 1st Fl. Conf. Room (Open to the Public)
Regular Session 7:00 p.m. Council Chambers (Open to the Public)
Notice is hereby given that the City Council of the City of Coppell, Texas will
meet in Regular Called Session on Tuesday, August 22, 2006, at 5:30 p.m. for
Executive Session, Work Session will follow immediately thereafter, and Regular
Session will begin at 7:00 p.m., to be held at Town Center, 255 Parkway
Boulevard, Coppell, Texas.
As authorized by Section 551.071(2) of the Texas Government Code, this
meeting may be convened into closed Executive Session for the purpose of
seeking confidential legal advice from the City Attorney on any agenda item
listed herein.
The City of Coppell reserves the right to reconvene, recess or realign the Work
Session or called Executive Session or order of business at any time prior to
adjournment.
The purpose of the meeting is to consider the following items:
ITEM # ITEM DESCRIPTION
1. Call to order.
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ITEM # ITEM DESCRIPTION
EXECUTIVE SESSION (Closed to the Public)
2. Convene Executive Session
A. Section 551.071, Texas Government Code - Consultation with City
Attorney.
1. The City of Coppell and Coppell Independent School District
opposition to a change of zoning request of the Billingsley
Corporation in the City of Dallas, Zoning Case Number Z045-
107; and City of Coppell vs. CB Parkway Business Center VI, et
al in the County Court at Law No. 3,; and CB Parkway Business
Center, et al vs. City of Coppell, et al.; and City of Dallas vs.
Douglas Stover, et al in the 191st District Court; and City of
Coppell, et al vs. City of Dallas, et al in the 101st District Court.
2. Provide Legal Advice concerning Regulations for Alcoholic
Beverages.
B. Section 551.087, Texas Government Code – Economic
Development Negotiations.
1. Economic Development Prospects on the west side of
Coppell.
WORK SESSION (Open to the Public)
3. Convene Work Session
A. Discussion regarding the Fence Ordinance.
B. Discussion of Agenda Items.
Adjourn Work Session.
PUBLIC ANNOUNCEMENTS
Public Service Announcements concerning local civic events and no Council
action is required or permitted.
REGULAR SESSION (Open to the Public)
4. Convene Regular Session.
5. Invocation.
6. Pledge of Allegiance.
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ITEM # ITEM DESCRIPTION
7. Report by Library Board.
8. Citizens' Appearances.
CONSENT AGENDA
9. Consider approval of the following consent agenda items:
A. Consider approval of minutes: August 8, 2006.
B. Consider approval of a Resolution authorizing the City Manager to
execute a Joint Election Agreement with Denton County for the
November 7, 2006 Local Option Election; providing early voting
dates and locations for citizens of Coppell residing in Denton
County; providing for the appointment of an Early Voting Clerk for
Denton County voters; providing for times and location for Election
Day Voting; and authorizing the Mayor to sign.
C. Consider approval of a Resolution authorizing the City Manager to
Execute a lease or rental agreement for the rental of one or more
Hart Intercivic “System 5” Voting System or other approved
accessible voting system from the County of Denton or other
qualified providers; and authorizing the Mayor to sign.
D. Consider approval of the resignation of Melissa Hall from the Library
Board.
E. Consider approval of an ordinance to adopt the 2006 Standard
Construction Details for regulating infrastructure construction within
the City of Coppell; and authorizing the Mayor to sign.
F. Consider approval of the annual review of the written Investment
Policy of the City of Coppell as provided by the Public Funds
Investment Act, Chapter 2256, Texas Government Code.
G. Consider approval of an Amendment to the Professional Services
Agreement with Halff Associates, Inc., for Design, Construction
Documentation and Construction Administration for the Town
Center Plaza, in the amount of $95,304.00 as provided in C.I.P.
funds, and authorizing the City Manager to sign.
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ITEM # ITEM DESCRIPTION
H. Consider approval of a contract with INX, Inc. for the purchase and
installation of a new data communication router for the city
network in the amount of $95,497.20, as budgeted, and authorizing
the City Manager to sign.
END OF CONSENT
10. PUBLIC HEARING:
To receive public comment concerning the Proposed 2006-2007
Municipal Budget.
11. PUBLIC HEARING:
To receive public comment concerning the proposed 2006-2007 tax rate
of 0.64146.
12. Consider approval of an Ordinance of the City of Coppell, Texas,
approving an amendment to Ordinance No. 2005-1106, the budget for
Fiscal Year October 1, 2005 through September 30, 2006 and authorizing
the Mayor to sign.
13. Consider approval of an Ordinance authorizing the issuance of City of
Coppell, Texas Combination Tax and Revenue Certificates of Obligation,
Series 2006 in the amount of $3,785,000, making provisions for the security
thereof, and ordaining other matters relating to the subject and
authorizing the Mayor to sign.
14. Consider approval of an Ordinance authorizing the issuance of City of
Coppell, Texas, General Obligation Bonds, Series 2006, in the amount of
$4,265,000 making provisions for the security thereof, and ordaining other
matters relating to the subject and authorizing the Mayor to sign.
15. Consider approval of a Professional Services Agreement with Proforma
Architecture, Inc. for programming, design, construction documentation
and contract administration services related to the Senior
Recreation/Community Center, and a Restroom and Wall Repairs for
Grapevine Springs Park, in the amount of $426,650.00, and authorizing the
City Manager to sign.
16. Consider approval of an Ordinance of the city of Coppell, Texas,
amending the Code of Ordinances by amending Article 9-2, Fence
regulations, by repealing Sections 9-2-1 through 9-2-8 in its entirety and by
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ITEM # ITEM DESCRIPTION
adding new Sections 9-2-1 through 9-2-10 providing for fence regulations;
providing a repealing clause; providing a severability clause; providing for
a penalty of a fine not to exceed the sum of Five Hundred Dollars for each
offense; and providing for an effective date, and authorizing the Mayor to
sign.
17. Consider approval of an ordinance of the City of Coppell, Texas,
amending Chapter 9 of the Coppell City Code to add Article 9-24-1
through 9-24-4, making it unlawful for property owners and persons in
control of a residence or premises to allow the property to be used for a
social gathering where minors may be unlawfully possessing, using or
consuming alcoholic beverages or controlled substances; and authorizing
the Mayor to sign.
18. Consider approval of a Resolution calling for a Special Election to
consider a Charter Amendment to provide for the regulation of alcoholic
beverages; the control of such use; and authorizing the Mayor to sign.
19. Necessary action resulting from Work Session.
20. Council Committee Reports.
A. Carrollton/Farmers Branch ISD/Lewisville ISD – Councilmember
Tunnell.
B. Coppell ISD – Mayor Pro Tem Faught and Councilmember York.
C. Coppell Seniors – Mayor Pro Tem Faught and Councilmember
Brancheau.
D. Dallas Regional Mobility Coalition - Councilmember Peters.
E. Economic Development Committee - Councilmembers Peters and
Franklin.
F. Metrocrest Hospital Authority - Councilmember Tunnell.
G. Metrocrest Medical Foundation - Councilmember Hinojosa-Flores.
H. Metrocrest Medical Services – Councilmember Hinojosa-Flores.
I. Metrocrest Social Service Center – Councilmember York.
J. North Texas Council of Governments - Councilmember Peters.
K. NTCOG/Regional Emergency Management - Councilmember
Franklin.
L. North Texas Commission - Councilmember Brancheau.
M. Senior Adult Services – Mayor Pro Tem Faught.
21. Necessary action resulting from Executive Session.
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ITEM # ITEM DESCRIPTION
Adjournment.
____________________________________
Douglas N. Stover, Mayor
CERTIFICATE
I certify that the above Notice of Meeting was posted on the bulletin board at
the City Hall of the City of Coppell, Texas on this 18th day of August, 2006, at
__________________.
____________________________________
Libby Ball, City Secretary
DETAILED INFORMATION REGARDING THIS AGENDA IS AVAILABLE ON
THE CITY'S WEBSITE (www.ci.coppell.tx.us) UNDER PUBLIC
DOCUMENTS, COUNCIL PACKETS.
PUBLIC NOTICES
STATEMENT FOR ADA COMPLIANCE
The City of Coppell acknowledges its responsibility to comply with the Americans With
Disabilities Act of 1990. Thus, in order to assist individuals with disabilities who require
special services (i.e. sign interpretative services, alternative audio/visual devices, and
amanuenses) for participation in or access to the City of Coppell sponsored public
programs, services and/or meetings, the City requests that individuals make requests for
these services forty-eight (48) hours ahead of the scheduled program, service and/or
meeting. To make arrangements, contact Vivyon V. Bowman, ADA Coordinator or
other designated official at (972) 462-0022, or (TDD 1-800-RELAY, TX 1-800-735-2989).
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KEY TO COUNCIL GOALS ICONS
2006
Economic Development
• Aggressively pursue development partnership on Lesley tract
• Analyze large tract development opportunities
• Continue “hot spot” focus
• Develop strategy for use/sale of city-owned property
• Study revenue enhancements
• Continue focus on vacant retail revitalization
Quality Public Facilities & Infrastructure
• Examine funding opportunities for IMF
• Study continued use of ½-cent sales tax for parks
• Continue focus on local and regional transportation efforts
• Provide quality park and recreation facilities for all
Excellent City Services & High Citizen Satisfaction
• Continue strategic planning for future costs of service delivery
• Timely response with quality service delivery
• Initiate review and revisions of Code of Ordinances
• Develop methods to enhance communication efforts
• Promote citizen involvement
• Examine our effectiveness at participating in state/federal legislative process
Sense of Community
• Develop and support community special events
• Develop and support activities for teens
• Embark on a “Coppell 2025” vision effort
• Continue to evaluate cemetery issue
• Evaluate services and programs for our senior adult community
• Continue to partner with taxing entities serving our community, particularly our ISD’s
Fiscal Stability
• Continue and refine financial planning and forecasting
• Continue systematic management and reduction of debt and expenditures
• Balance expenditures with ability to maintain over time
• Perform cost analysis on all approved projects and programs prior to implementation
• Protect the sales tax base from Streamlined Sales Tax initiative
• Remain aware of external factors and developments that potentially impact the financial
condition of the city
Neighborhood Integrity & Code Enforcement
• Maintain communication with neighborhoods and the community
• Update the Master Plan and Zoning as required
• Continue proactive neighborhood integrity programs
• Access HOA common area maintenance expectations and obligations
Safe Community
• Maintain and improve existing excellent level of service
• Continue focus on Homeland Security
• Provide quality public education programs
• Continue traffic/speed control efforts
DATE: August 22, 2006
ITEM #: ES-2
AGENDA REQUEST FORM
EXECUTIVE SESSION
A. Section 551.071, Texas Government Code – Consultation with City Attorney.
1. The City of Coppell and Coppell Independent School District opposition to a change of
zoning request of the Billingsley Corporation in the City of Dallas, Zoning Case Number
Z045-107; and City of Coppell vs. CB Parkway Business Center VI, et al in the County
Court at Law No. 3,; and CB Parkway Business Center, et al vs. City of Coppell, et al.;
and City of Dallas vs. Douglas Stover, et al in the 191st District Court; and City of
Coppell, et al vs. City of Dallas, et al in the 101st District Court.
2. Provide Legal Advice concerning Regulations for Alcoholic Beverages.
B. Section 551.087, Texas Government Code – Economic Development Negotiations.
1. Economic Development Prospects on the west side of Coppell.
Agenda Request Form - Revised 02/04 Document Name: %executivesession
DATE: August 22, 2006
ITEM #:WS-3
AGENDA REQUEST FORM
WORK SESSION
A. Discussion regarding the Fence Ordinance.
B. Discussion of Agenda Items.
Agenda Request Form - Revised 02/04 Document Name:
%worksession
DEPT: City Secretary
DATE: August 22, 2006
ITEM #: 7
AGENDA REQUEST FORM
ITEM CAPTION:
Report by the Library Board.
GOAL(S):
EXECUTIVE SUMMARY:
FINANCIAL COMMENTS:
DIR. REVIEW: FIN. REVIEW: CM REVIEW:
Agenda Request Form - Revised 09/02 Document Name: %boardreport
DATE: August 22, 2006
ITEM #: 8
AGENDA REQUEST FORM
CITIZENS' APPEARANCES
ORDINANCE NO. 2001-964
AN ORDINANCE OF THE CITY OF COPPELL, TEXAS, ESTABLISHING RULES, TIMES AND
PROCEDURES FOR CONDUCTING CITY COUNCIL MEETINGS.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, THE
FOLLOWING ARE HEREBY ADOPTED AS THE RULES, TIMES AND PROCEDURES FOR
CONDUCTING COUNCIL MEETINGS OF THE CITY COUNCIL OF THE CITY OF COPPELL,
TEXAS:
The City of Coppell Code of Ordinances, Article 1-10 "Rules, Times and Procedures for Conducting City
Council Meetings," be, and the same is hereby, amended to read as follows:
"ARTICLE 1-10
RULES, TIMES AND PROCEDURES FOR CONDUCTING
CITY COUNCIL MEETINGS
". . .
1-10-6.2.1 CITIZENS APPEARANCE
Persons wishing to speak on any matter other than an item scheduled for a public hearing on the agenda, must sign
a register and list their residence address, provided by the City Secretary on a table outside the Council Chambers,
and such persons may be heard only at the "Citizens Appearance" portion of a regular meeting or special meeting.
Each speaker must state his or her name and address of residence. Presentations by individuals during the
"Citizens Appearance" shall be limited to two (2) minutes each. An individual speaker's time may be extended for
an additional two (2) minutes with the approval of a majority of the Council members present. There shall be a
cumulative limit of twenty (20) minutes allotted of any regular or special Council meeting. Those persons who
signed up to speak at the "Citizens Appearance" shall be called upon in the order that they have signed the
provided register. No personal attacks by any speaker shall be made against any member of the Council, Mayor,
individual, group or corporation (Charter Article 3, Section 3.12).
Agenda Request Form - Revised 09/02 Document Name: %citapp.doc
DEPT: City Secretary
DATE: August 22, 2006
ITEM #: 9/A
AGENDA REQUEST FORM
ITEM CAPTION:
Consider approval of minutes: August 8, 2006.
GOAL(S):
EXECUTIVE SUMMARY:
FINANCIAL COMMENTS:
Agenda Request Form - Revised 02/04 Document Name: %minutes
MINUTES OF AUGUST 8, 2006
The City Council of the City of Coppell met in Regular Called Session on
Tuesday, August 8, 2006, at 5:30 p.m. in the City Council Chambers of Town
Center, 255 Parkway Boulevard, Coppell, Texas. The following members were
present:
Doug Stover, Mayor
Billy Faught, Mayor Pro Tem
Tim Brancheau, Councilmember
Jayne Peters, Councilmember
Brianna Hinojosa-Flores, Councilmember
Marsha Tunnell, Councilmember
Marvin Franklin, Councilmember
Bill York, Councilmember
Also present were City Manager Jim Witt, City Secretary Libby Ball and City
Attorney Robert Hager.
1. Call to order.
Mayor Stover called the meeting to order, determined that a quorum was
present and convened into Executive Session.
EXECUTIVE SESSION (Closed to the Public)
2. Convene Executive Session
A. Section 551.071, Texas Government Code - Consultation
with City Attorney.
1. The City of Coppell and Coppell Independent School
District opposition to a change of zoning request of
the Billingsley Corporation in the City of Dallas,
Zoning Case Number Z045-107; and City of Coppell
vs. CB Parkway Business Center VI, et al in the
County Court at Law No. 3,; and CB Parkway
Business Center, et al vs. City of Coppell, et al.; and
City of Dallas vs. Douglas Stover, et al in the 191st
District Court; and City of Coppell, et al vs. City of
Dallas, et al in the 101st District Court.
2. Provide Legal Advice concerning Regulations for
Alcoholic Beverages.
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ITEM # ITEM DESCRIPTION
B. Section 551.087, Texas Government Code – Economic
Development Negotiations.
1. Economic Development Prospects on the west side
of Coppell.
Mayor Stover convened into Executive Session at 5:44 p.m. as allowed
under the above-stated article. Mayor Stover recessed the Executive
Session at 6:43 p.m. and opened the Work Session.
WORK SESSION (Open to the Public)
3. Convene Work Session
A. Discussion regarding Underage Drinking and Ordinance.
B. Discussion of Agenda Items.
REGULAR SESSION (Open to the Public)
4. Convene Regular Session.
5. Invocation.
Councilmember Franklin led those present in the Invocation.
6. Pledge of Allegiance.
Mayor Stover led those present in the Pledge of Allegiance.
7. Citizens' Appearances.
There was no one signed up to speak at Citizen’s Appearances.
CONSENT AGENDA
8. Consider approval of the following consent agenda items:
A. Consider approval of minutes: July 25, 2006 & July 27,
2006.
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ITEM # ITEM DESCRIPTION
B. Consider approval of the certification of the 2006
anticipated collection rate for the period of July 1, 2006,
through June 30, 2007, and the amount of excess debt
collections during the period of July 1, 2005, and June
30, 2006.
C. Consider approval of authorizing the City Manager to
execute an Agreement with the Coppell Independent
School District for the exchange of land at the Town
Center Complex and Town Center Elementary School and
authorizing the Mayor to execute the appropriate
conveyance documents.
D. Consider approval of an Ordinance for S-1121R-SF-9, St.
Ann Catholic Parish, zoning change request from S-1121-
SF-9 (Special Use Permit-1121-Single Family-9) to S-
1121R-SF-9 (Special Use Permit-1121 Revised – Single
Family 9), to amend the existing SUP site plan to allow
the renovation and expansion of church uses into the
former Georgetown Shopping Center, including stucco
exterior, adding a playground, additional parking and
landscaped areas on approximately 19.52 acres of
property located at the northeast corner of Sandy Lake
Road and Samuel Boulevard, and authorizing the mayor
to sign.
Action:
Councilmember York moved to approve Consent Agenda Items A, B, C
and D carrying Ordinance No. 91500-A-435. Councilmember Hinojosa-
Flores seconded the motion; the motion carried 7-0 with Mayor Pro Tem
Faught and Councilmembers Brancheau, Peters, Hinojosa-Flores,
Tunnell, Franklin and York voting in favor of the motion.
9. Consider approval of a proposal to lower the tax rate to .64146
for the 2006 tax year and to set the Public Hearings on the
proposed tax rate for the next regularly scheduled Council
Meeting on August 22, 2006 at 7:00 p.m., and at a special
called Council Meeting on August 29, 2006 at 6:00 p.m.
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ITEM # ITEM DESCRIPTION
Presentation:
Jennifer Armstrong, Finance Director, made a presentation to the
Council.
Action:
Councilmember Faught moved to approve a proposal to lower the tax
rate to .64146 for the 2006 tax year and to set the Public Hearings on the
proposed tax rate for the next regularly scheduled Council Meeting on
August 22, 2006 at 7:00 p.m., and at a special called Council Meeting on
August 29, 2006 at 6:00 p.m. Councilmember Peters seconded the
motion; the motion carried 7-0 with Mayor Pro Tem Faught and
Councilmembers Brancheau, Peters, Hinojosa-Flores, Tunnell, Franklin
and York voting in favor of the motion.
10. PUBLIC HEARING:
Consider approval of Case No. PD-208R-LI, Coppell Trade
Center, zoning change request from PD-208-LI (Planned
Development-208-Light Industrial) to PD-208R-LI (Planned
Development-208 Revised-Light Industrial) to approve Detail
Plans for three office/warehouse buildings (Buildings A and B
each containing approximately 150,500-square-feet and
Building D containing approximately 117,737-square-feet) on
approximately 27.8 acres of property located along the north
side of Sandy Lake Road, between Northpoint Drive (extended)
and the extension of Freeport Parkway.
Presentation:
Matt Steer, City Planner, made a presentation to the Council.
Brian Degravelle, Applicant, addressed the Council.
Public Hearing:
Mayor Stover opened the Public Hearing and advised that no one had
signed up to speak on this proposal.
Action:
Councilmember York moved to close the Public Hearing and approve
Case No. PD-208R-LI, Coppell Trade Center, zoning change request from
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ITEM # ITEM DESCRIPTION
PD-208-LI (Planned Development-208-Light Industrial) to PD-208R-LI
(Planned Development-208 Revised-Light Industrial) to approve Detail
Plans for three office/warehouse buildings (Buildings A and B each
containing approximately 150,500-square-feet and Building D containing
approximately 117,737-square-feet) on approximately 27.8 acres of
property located along the north side of Sandy Lake Road, between
Northpoint Drive (extended) and the extension of Freeport Parkway;
subject to the following conditions:
1) Comply with the attached Departmental Comment Sheet;
2) Tree Mitigation Fee in the amount of $120,000 was agreed to be paid
in two phases of $60,000 each, payable prior to the issuance of C.O.
for each phase, or in full within five years. Phase one tree mitigation
was paid on 2/15/06;
3) Rectify inconsistencies between what is shown in the landscape
tabulations and the plant list (quantities and size);
4) Revise perimeter landscaping note to read that one tree is required
per 40 linear feet along Sandy Lake.
Councilmember Franklin seconded the motion; the motion carried 7-0 with
Mayor Pro Tem Faught and Councilmembers Brancheau, Peters, Hinojosa-
Flores, Tunnell, Franklin and York voting in favor of the motion.
11. PUBLIC HEARING:
Consider approval of the Coppell Trade Center, Lot 1R, Block
1, Replat, to revise the location of fire lanes and utilities to
allow the construction of three office/warehouse buildings, on
approximately 40.6 acres of property located along the north
side of Sandy Lake Road, between Northpoint Drive (extended)
and the extension of Freeport Parkway.
Presentation:
Matt Steer, City Planner, made a presentation to the Council.
Public Hearing:
Mayor Stover opened the Public Hearing and advised that no one had
signed up to speak on this proposal.
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ITEM # ITEM DESCRIPTION
Action:
Councilmember York moved to close the Public Hearing and approve the
Coppell Trade Center, Lot 1R, Block 1, Replat, to revise the location of
fire lanes and utilities to allow the construction of three office/warehouse
buildings, on approximately 40.6 acres of property located along the
north side of Sandy Lake Road, between Northpoint Drive (extended) and
the extension of Freeport Parkway; subject to the following conditions:
1) Contact Jeff Curry at 972-888-1330, to discuss easement
requirements;
2) Additional comments may be generated upon detailed engineering
review.
Councilmember Franklin seconded the motion; the motion carried 7-0
with Mayor Pro Tem Faught and Councilmembers Brancheau, Peters,
Hinojosa-Flores, Tunnell, Franklin and York voting in favor of the
motion.
12. PUBLIC HEARING:
Consider Approval of Case No. PD-215-LI, Victron Energy,
zoning change request from LI (Light Industrial) to PD-215-LI
(Planned Development-215-LI) to allow the development of a
4,248-square-foot convenience store, 1,414-square-foot
restaurant and a 5,104-square-foot canopy over six gas pumps
on 1.68 acres of property within the City of Coppell and an
additional 0.66 acres of lease area (DFW Airport Land outside
of Coppell City Limits) located south of LBJ (IH 635), east of
Royal Lane.
Presentation:
Matt Steer, City Planner, made a presentation to the Council.
Doug Ralston, property owner, addressed the Council.
Public Hearing:
Mayor Stover opened the Public Hearing and advised that no one had
signed up to speak on this proposal.
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ITEM # ITEM DESCRIPTION
Action:
Councilmember Brancheau moved to close the Public Hearing and
approve Case No. PD-215-LI, Victron Energy, zoning change request from
LI (Light Industrial) to PD-215-LI (Planned Development-215-LI) to allow
the development of a 4,248-square-foot convenience store, 1,414-square-
foot restaurant and a 5,104-square-foot canopy over six gas pumps on
1.68 acres of property within the City of Coppell and an additional 0.66
acres of lease area (DFW Airport Land outside of Coppell City Limits)
located south of LBJ (IH 635), east of Royal Lane; subject to the following
conditions:
1) Submit evidence of all required approvals from the DFW Airport Board
as they relate to the “Lease Area” prior to the issuance of any permits
from the City of Coppell;
2) Provide a copy of all-necessary permits and documentation from
TCEQ for the proposed on-site sewage disposal system;
3) Provide a copy of all-necessary permits and documentation from
TXDOT allowing for drainage and utility construction in their right-of-
way and under the existing overhead lines;
4) Recognition of the existing billboard as a legal, non-conforming use.;
5) Submission of written confirmation from TXU that all uses as
proposed on the site plan are permissible within their easement;
6) Hours of operation shall not exceed 6:00 a.m. to 11:00 p.m., 7 days a
week.
Councilmember York seconded the motion; the motion carried 7-0 with
Mayor Pro Tem Faught and Councilmembers Brancheau, Peters,
Hinojosa-Flores, Tunnell, Franklin and York voting in favor of the
motion.
13. Consider approval of Victron Stores Addition, Lot 1, Block A,
Minor Plat, to allow the development of a 4,248-square-foot
convenience store, 1,414-square-foot restaurant and a 5,104-
square-foot canopy with six gas pumps on 1.68 acres of
property located south of LBJ (IH 635), east of Royal Lane.
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ITEM # ITEM DESCRIPTION
Presentation:
Matt Steer, City Planner, made a presentation to the Council.
Action:
Councilmember York moved to approve Victron Stores Addition, Lot 1,
Block A, Minor Plat, to allow the development of a 4,248-square-foot
convenience store, 1,414-square-foot restaurant and a 5,104-square-foot
canopy with six gas pumps on 1.68 acres of property located south of
LBJ (IH 635), east of Royal Lane; subject to the following conditions:
1) Submit evidence of all required approvals from the DFW Airport Board
as they relate to the “Lease Area” prior to the issuance of any permits
from the City of Coppell;
2) Provide a copy of all-necessary permits and documentation from
TCEQ for the proposed on-site sewage disposal system;
3) Provide a copy of all-necessary permits and documentation from
TXDOT allowing for drainage and utility construction in their right-of-
way and under the existing overhead lines;
4) Submission of written confirmation from TXU that all uses as
proposed on the site plan are permissible within their easement.
Councilmember Franklin seconded the motion; the motion carried 7-0
with Mayor Pro Tem Faught and Councilmembers Brancheau, Peters,
Hinojosa-Flores, Tunnell, Franklin and York voting in favor of the
motion.
14. Consider approval of the Freeport North, Lot 3CR, Quill
Corporation, Site Plan Amendment, to allow the construction
of a 33,000-square-foot building addition to the rear of the
existing 146,000-square-foot office/warehouse building,
providing for the extension of the fire lane and additional
landscaping, on 9.5 acres of property located at 440 S. Royal
Lane.
Action:
Matt Steer, City Planner, made a presentation to the Council.
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ITEM # ITEM DESCRIPTION
Action:
Councilmember Franklin moved to approve the Freeport North, Lot 3CR,
Quill Corporation, Site Plan Amendment, to allow the construction of a
33,000-square-foot building addition to the rear of the existing 146,000-
square-foot office/warehouse building, providing for the extension of the
fire lane and additional landscaping, on 9.5 acres of property located at
440 S. Royal Lane. Councilmember Tunnell seconded the motion; the
motion carried 7-0 with Mayor Pro Tem Faught and Councilmembers
Brancheau, Peters, Hinojosa-Flores, Tunnell, Franklin and York voting in
favor of the motion.
15. PUBLIC HEARING:
Consider approval of the Freeport North, Lot 3CR, Quill
Corporation, Replat, to extend the fire lane and establish
additional utility easements to allow the construction of a
33,000-square-foot building addition to the rear of the existing
146,000-square-foot office/warehouse building, on 9.5 acres of
property, located at 440 S. Royal Lane.
Presentation:
Matt Steer, City Planner, made a presentation to the Council.
Greg Daspit, Applicant, indicated he was available for any questions.
Public Hearing:
Mayor Stover opened the Public Hearing and advised that no one had
signed up to speak on this proposal.
Action:
Councilmember Tunnell moved to close the Public Hearing and approve
the Freeport North, Lot 3CR, Quill Corporation, Replat, to extend the fire
lane and establish additional utility easements to allow the construction
of a 33,000-square-foot building addition to the rear of the existing
146,000-square-foot office/warehouse building, on 9.5 acres of property,
located at 440 S. Royal Lane; subject to the following conditions:
1) Additional comments may be generated at the time of final
engineering review;
ag080806
Page 9 of 12
ITEM # ITEM DESCRIPTION
2) A Construction Development Permit will be required.
Councilmember Peters seconded the motion; the motion carried 7-0 with
Mayor Pro Tem Faught and Councilmembers Brancheau, Peters,
Hinojosa-Flores, Tunnell, Franklin and York voting in favor of the
motion.
16. Consider authorization to close Bethel Road (between Loch
Lane and Coppell Road North) for the construction of a portion
of the Bethel Road project.
Presentation:
Ken Griffin, Director of Engineering and Public Works, made a
presentation to the Council.
Action:
Councilmember Peters moved to approve the closing of Bethel Road
(between Loch Lane and Coppell Road North) for the construction of a
portion of the Bethel Road project subject to the condition that the City
Engineer be able to provide incentives for early completion of this portion
of the project. Councilmember Brancheau seconded the motion; the
motion carried 7-0 with Mayor Pro Tem Faught and Councilmembers
Brancheau, Peters, Hinojosa-Flores, Tunnell, Franklin and York voting in
favor of the motion.
17. Necessary action resulting from Work Session.
There was no action necessary under this item.
Councilmember Peters exited the Council Chambers at this time.
18. Mayor and Council Reports.
A. Report by Mayor Stover regarding Metroplex Mayors’
Meeting.
B. Report by Mayor Stover regarding National Night Out.
C. Report by Councilmember Tunnell regarding New Teacher
Breakfast.
ag080806
Page 10 of 12
ITEM # ITEM DESCRIPTION
A. Mayor Stover reported that traffic and rapid transit was discussed
at the Metroplex Mayors’ Meeting.
B. Mayor Stover thanked all the Councilmembers who participated,
the Police Department and the community on the National Night
Out event and reported that the city had 42 block parties. He also
congratulated the Fire Department on their win of the softball
game.
C. Councilmember Tunnell reported that CISD had hired more than
200 people for the coming year.
Councilmember Peters returned to the Council Chambers at this time.
EXECUTIVE SESSION (Closed to the Public)
Convene Executive Session
A. Section 551.071, Texas Government Code - Consultation
with City Attorney.
1. The City of Coppell and Coppell Independent School
District opposition to a change of zoning request of
the Billingsley Corporation in the City of Dallas,
Zoning Case Number Z045-107; and City of Coppell
vs. CB Parkway Business Center VI, et al in the
County Court at Law No. 3,; and CB Parkway
Business Center, et al vs. City of Coppell, et al.; and
City of Dallas vs. Douglas Stover, et al in the 191st
District Court; and City of Coppell, et al vs. City of
Dallas, et al in the 101st District Court.
2. Provide Legal Advice concerning Regulations for
Alcoholic Beverages.
B. Section 551.087, Texas Government Code – Economic
Development Negotiations.
1. Economic Development Prospects on the west side
of Coppell.
Mayor Stover reconvened into Executive Session at 8:28 p.m. as allowed
under the above-stated article. Mayor Stover adjourned the Executive
Session at 11:19 p.m. and reopened the Regular Session.
ag080806
Page 11 of 12
ITEM # ITEM DESCRIPTION
REGULAR SESSION (Open to the Public)
19. Necessary Action Resulting from Executive Session.
Action:
Councilmember Peters moved to ratify and approve an agreement with
Robert Luna and Associates as special legal counsel for the City of
Coppell, on an as-needed basis, and authorize the City Manager to
approve and execute said contract. Councilmember Hinojosa-Flores
seconded the motion; the motion carried 7-0 with Mayor Pro Tem Faught
and Councilmembers Brancheau, Peters, Hinojosa-Flores, Tunnell,
Franklin and York voting in favor of the motion.
There being no further business to come before the City Council, the meeting
was adjourned.
__________________________________
Douglas N. Stover, Mayor
ATTEST:
__________________________________
Libby Ball, City Secretary
ag080806
Page 12 of 12
DEPT: City Secretary
DATE: August 22, 2006
ITEM #: 9/B
AGENDA REQUEST FORM
ITEM CAPTION:
Consider approval of a Resolution authorizing the City Manager to execute a Joint Election Agreement with
Denton County for the November 7, 2006 Local Option Election; providing early voting dates and locations for
citizens of Coppell residing in Denton County; providing for the appointment of an Early Voting Clerk for Denton
County voters; providing for times and location for Election Day Voting; and authorizing the Mayor to sign.
GOAL(S):
EXECUTIVE SUMMARY:
Due to the magnitude of the November election, Dallas County is not able to provide service for the citizens of
Coppell who reside in Denton County. The City will be contracting with Denton County Elections to provide
election services for those citizens.
FINANCIAL COMMENTS:
Agenda Request Form - Revised 09/04 Document Name: %dentoncocall
A RESOLUTION OF THE CITY OF COPPELL, TEXAS
RESOLUTION NO. ________
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COPPELL,
TEXAS, AUTHORIZING THE CITY MANAGER TO EXECUTE A JOINT
ELECTION AGREEMENT WITH DENTON COUNTY TEXAS FOR THE
NOVEMBER 7, 2006 LOCAL OPTION ELECTION; PROVIDING EARLY
VOTING DATES AND LOCATIONS FOR CITIZENS OF COPPELL
RESIDING IN DENTON COUNTY; PROVIDING FOR THE
APPOINTMENT OF AN EARLY VOTING CLERK FOR DENTON
COUNTY VOTERS; PROVIDING FOR TIMES AND LOCATION FOR
ELECTION DAY VOTING; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, on or about July 25, 2006, the City of Coppell (“City”) passed Resolution No.
2006-0725.2 which Ordered a Local Option Election for November 7, 2006; and
WHEREAS, the City is located in the Counties of Dallas and Denton; and
WHEREAS, the City has always entered into a joint election agreement with Dallas County
for the holding of its general and special municipal elections; and
WHEREAS, the City has recently been notified that for the November 7, 2006 Local
Option Election, it will be necessary to enter into a joint election agreement with Denton County
for its citizens located in Denton County; and
WHEREAS, the City Council has reviewed the Joint Election Agreement with Dallas
County; and
WHEREAS, after review, the City Council hereby authorizes the City Manager to execute
the Joint Election Agreement with Denton County, which is attached hereto and incorporated herein
as Exhibit “A,” for the purposes of providing an early voting clerk, early voting dates, times and
locations, and election day times and location for its citizens located in Denton County, Texas;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF COPPELL, TEXAS:
SECTION 1. That the City Council of the City of Coppell hereby authorizes the City
Manager to execute the Joint Election Agreement with Denton County for the purposes recited
therein, which is attached hereto and incorporated herein as Exhibit “A.”
BE IT FURTHER RESOLVED THAT:
1 68782
SECTION 2. The election shall be held as a Joint Election administered by the
Denton County Elections Administrator in accordance with the provisions of the Texas Election
Code and a Joint Election Agreement.
A Presiding Election Judge and an Alternate Presiding Election Judge shall be appointed
in accordance with the Joint Election Agreement.
Qualified residents of the Coppell residing in Denton County may vote early by personal
appearance at any of the branch locations published by Denton County in Exhibit “B,” which is
attached hereto and incorporated herein by reference. Early voting will be conducted on
weekdays beginning Monday, October 23, 2006 through Friday, October 27, 2006, 8:00 a.m. -
5:00 p.m.; Saturday, October 28, 2006, 7:00 a.m. - 7:00 p.m.; Sunday, October 29, 2006, 1:00
p.m. - 6:00 p.m.; Monday, October 30, 2006 through Friday, November 3, 2006, 7:00 a.m. - 7:00
p.m.
Application for a ballot by mail shall be mailed to:
Don Alexander
Chief Deputy Early Voting Clerk
Denton County Elections Administration Office
P.O. Box 1720
Denton, Texas 76202
Application for ballot by mail must be received no later than the close of business on October 31,
2006.
The City Secretary shall present such returns to the City Council for the canvassing of
said election.
The canvass of said election returns shall be conducted by the City Council not earlier
than the 3rd day nor later than the 11th day after the election.
SECTION 3. That this Resolution shall take effect immediately from and after its passage
as the law and charter in such cases provide.
2 68782
DULY PASSED by the City Council of the City of Coppell, Texas, this the _______ day of
___________________, 2006.
APPROVED:
_________________________________________
DOUGLAS N. STOVER, MAYOR
ATTEST:
_________________________________________
LIBBY BALL, CITY SECRETARY
APPROVED AS TO FORM:
_________________________________
ROBERT E. HAGER, CITY ATTORNEY
(REH/cdb 8/16/06)
3 68782
DEPT: City Secretary
DATE: August 22, 2006
ITEM #: 9/C
AGENDA REQUEST FORM
ITEM CAPTION:
Consider approval of a Resolution authorizing the City Manager to Execute a lease or rental agreement for the
rental of one or more Hart Intercivic “System 5” Voting System or other approved accessible voting system from
the County of Denton or other qualified providers; and authorizing the Mayor to sign.
GOAL(S):
EXECUTIVE SUMMARY:
This Resolution is necessary to meet the requirements of HAVA.
FINANCIAL COMMENTS: Funds are budgeted in the City Secretary Department for election costs.
Agenda Request Form - Revised 09/04 Document Name: %dentoncodre
RESOLUTION NO. ________________
A RESOLUTION OF THE CITY OF COPPELL, TEXAS, AUTHORIZING THE
CITY MANAGER TO EXECUTE A LEASE OR RENTAL AGREEMENT FOR THE
RENTAL OF ONE OR MORE HART INTERCIVIC “SYSTEM 5” VOTING SYSTEM OR
OTHER APPROVED ACCESSIBLE VOTING SYSTEM FROM THE COUNTY OF
DENTON OR OTHER QUALIFIED PROVIDERS TO BE PROVIDED IN EACH
POLLING PLACE IN EVERY LOCATION USED TO CONDUCT ANY GENERAL OR
SPECIAL ELECTION ORDERED ON OR AFTER JANUARY 1, 2006; AND PROVIDING
AN EFFECTIVE DATE.
WHEREAS, Section 61.012 of the Texas Election Code requires that the City must provide
at least one accessible voting system in each polling place used in a Texas election on or after
January 1, 2006; and
WHEREAS, said system must comply with state and federal laws setting the requirements
for voting systems that permit voters with physical disabilities to cast a secret ballot; and
WHEREAS, the Office of the Texas Secretary of State has certified that the Hart Intercivic
“System 5” Voting System and Software as an accessible voting system (hereinafter “AVS”) that
may legally be used in Texas elections; and
WHEREAS, Sections 123.032 and 123.035 of the Texas Election Code authorized the
acquisition of voting systems by local political subdivisions and further mandate certain minimum
requirements for contracts relating to the acquisition of such voting systems; and
WHEREAS, the City Council has determined that the City of Coppell shall lease or rent
from the County of Denton at least one Hart Intercivic “System 5” Voting System to be placed in
each polling place in every location within Denton County used to conduct its election;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF COPPELL, TEXAS, THAT:
SECTION 1. The City Council of the City of Coppell hereby authorizes the City Manager
to execute a lease or rental agreement for the rental of one or more Hart Intercivic “System 5”
Voting System or other approved AVS from the County of Denton or other qualified providers to be
provided in each polling place in every location used to conduct any general or special election
ordered on or after January 1, 2006 by the City, as required in accordance with State law.
Page 1
68722
SECTION 2. This Resolution shall become effective immediately from and after its
passage.
DULY RESOLVED AND ADOPTED by the City Council of the City of Coppell, Texas,
on this the ______ day of ________________, 2006.
CITY OF COPPELL, TEXAS
____________________________________
DOUGLAS N. STOVER, MAYOR
ATTEST:
____________________________________
LIBBY BALL, CITY SECRETARY
APPROVED AS TO FORM:
____________________________________
ROBERT E. HAGER, CITY ATTORNEY (REH/cdb 08/16/06)
Page 2
68722
DEPT: City Secretary
DATE: August 22, 2006
ITEM #: 9/D
AGENDA REQUEST FORM
ITEM CAPTION:
Consider approval of the resignation of Melissa Hall from the Library Board.
.
GOAL(S):
EXECUTIVE SUMMARY:
Staff recommends allowing the vacancy to exist until mass appointments are made to the Boards and Commissions
in September.
FINANCIAL COMMENTS:
Agenda Request Form - Revised 02/04 Document Name: %libresign
DEPT: Engineering
DATE: August 22, 2006
ITEM #: 9/E
AGENDA REQUEST FORM
ITEM CAPTION:
Consider approval of an ordinance to adopt the 2006 Standard Construction Details for regulating infrastructure
construction within the City of Coppell; and authorizing the Mayor to sign.
GOAL(S):
EXECUTIVE SUMMARY:
Approval of this ordinance will adopt the 2006 Standard Construction Details that were last revised in August
2005.
Staff recommends approval of the ordinance and will be available to answer any questions at the Council meeting.
FINANCIAL COMMENTS:
Agenda Request Form - Revised 09/04 Document Name: #Const Details
MEMORANDUM
TO:Mayor and City Council
FROM:Kenneth M. Griffin, P.E., Director of Engineering and Public Works
DATE:August 22, 2006
REF: Consider approval of an ordinance to adopt the 2006 Standard
Construction Details for regulating infrastructure construction
within the City of Coppell; and authorizing the Mayor to sign.
On May 10, 2005, City Council approved the 2005 Standard Construction Details.
The 2005 Standard Construction Details are modeled after the North Central
Texas Council of Governments (NCTCOG) details and replaced the city's prior
details approved on May 12, 1992.
During the course of utilizing the details for the past year, several items have been
brought to our attention by the Engineering Inspectors to improve the details.
Attached to this memo is a listing of proposed revisions to the 2005 Standard
Construction Details. For the most part, we are revising the existing details;
however, we did add new detail sheets 2185-5 and 2185-6 that relate to ADA
ramps. Those details were added to insure we are in compliance with state and
federal guidelines.
Staff recommends approval of the revised construction details to be known as the
'2006 Standard Construction Details' and will be available to answer any
questions.
Construction Details Revision Summary 2006
SECTION 1000: Erosion Control
• Added note forbidding the use of concrete block inlet protection in roadways
SECTION 2000: Pavement Systems
• Added road markings and signage to left turn lane detail 2025
• Added note that concrete paving shall be formed by a slip-form paving
machine
• Revised pavement joint detail 2050
• Moved decorative paving to the R.O.W.
• Added note to ADA ramp details
• Added details 2185-5 and 2185-6 which relate to ADA ramps.
• Revised fire lane paving details
SECTION 3000: General Underground Conduit
• Revised pavement cuts detail 3070
SECTION 4000: Water Distribution
• Revised type “2” air release valve 4100-1
• Clarified bury depth on fire hydrants
• Revised notes for water service installation details
• Revised fire department connection details
• Revised water system testing procedures detail
SECTION 5000: Sanitary Sewer
• Revised manhole pavement block-out dimension
• Revised details for sanitary sewer service connection
• Revised sanitary sewer system testing procedures detail
SECTION 6000: Storm Drain
• Revised storm drain details
• Revised storm drain general notes and testing detail
AN ORDINANCE OF THE CITY OF COPPELL, TEXAS
ORDINANCE NO._____________
AN ORDINANCE OF THE CITY OF COPPELL, TEXAS
AMENDING THE CODE OF ORDINANCES BY REPEALING
ORDINANCE NO. 2005-1098 AND BY REPEALING ARTICLE 15-
12, STANDARD CONSTRUCTION DETAILS, AND BY
REPLACING WITH A NEW ARTICLE 15-12 TO ADOPT THE
2006 STANDARD CONSTRUCTION DETAILS AS THE CITY OF
COPPELL STANDARD CONSTRUCTION DETAILS;
PROVIDING FOR INFRASTRUCTURE CONSTRUCTION AND
IMPROVEMENTS; PROVIDING FOR EROSION CONTROL;
PROVIDING FOR PAVEMENT SYSTEMS; PROVIDING FOR
GENERAL UNDERGROUND CONDUIT; PROVIDING FOR
WATER DISTRIBUTION; PROVIDING FOR SANITARY SEWER;
PROVIDING FOR STORM DRAIN; PROVIDING A
SEVERABILITY CLAUSE; PROVIDING A REPEALING
CLAUSE; PROVIDING A SAVINGS CLAUSE; PROVIDING A
PENALTY FOR VIOLATION OF THIS ORDINANCE NOT TO
EXCEED THE SUM OF FIVE HUNDRED DOLLARS ($500.00);
AND PROVIDING AN EFFECTIVE DATE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COPPELL,
TEXAS:
SECTION 1.That Ordinance No. 2005-1098 be, and the same is, hereby
repealed in its entirety.
SECTION 2.That the Code of Ordinances of the City of Coppell, Texas be and
the same is, hereby amended by repealing Article 15-12, Standard Construction Details,
and by replacing with a new Article 15-12, Standard Construction Details Code, to adopt
the 2006 Standard Construction Details Code, which shall read as follows:
"ARTICLE 15-12. STANDARD CONSTRUCTION
DETAILS CODE
Sec. 15-12-1. Coppell Standard Construction Details Code Adopted
There is hereby adopted the 2006 Standard Construction Details Code,
which is attached hereto and incorporated herein as Exhibit “A” and made
a part hereof for all purposes, the same as if fully copied in full herein.
Sec. 15-4-2.
The Coppell Standard Construction Details Code of the City of
Coppell adopted by this Ordinance, and as may hereafter be amended,
shall be maintained in the office of the city secretary as a separate code
apart from this General Code.”
SECTION 3.That all provisions of the Code of Ordinances of the City of Coppell,
Texas, in conflict with the provisions of this ordinance be, and the same are hereby,
repealed, and all other provisions not in conflict with the provisions of this ordinance shall
remain in full force and effect.
SECTION 4. That any person, firm or corporation violating any of the
provisions of this ordinance or the Code of Ordinances as amended hereby, shall be
guilty of a misdemeanor and upon conviction in the Municipal Court of the City of
Coppell, Texas, shall be subject to a fine not to exceed the sum of Five Hundred Dollars
($500.00) for each offense and each and every day such offense is continued shall
constitute a new and separate offense.
SECTION 5. That this ordinance shall become effective immediately from and
after its passage and the publication of the caption, as the law and charter in such cases
provide.
DULY PASSED by the City Council of Coppell, Texas, this the __________ day
of ___________________, 2006.
APPROVED:
______________________________
DOUGLAS N. STOVER, MAYOR
ATTEST:
______________________________
LIBBY BALL, CITY SECRETARY
APPROVED AS TO FORM:
________________________________
ROBERT HAGER, CITY ATTORNEY
DEPT: Finance
DATE: August 22, 2006
ITEM #: 9/F
AGENDA REQUEST FORM
ITEM CAPTION: Consider approval of the annual review of the written Investment Policy of the City of Coppell
as provided by the Public Funds Investment Act, Chapter 2256, Texas Government Code.
GOAL(S):
EXECUTIVE SUMMARY: As required by the Public Funds Investment Act, the Investment Policy must be
reviewed on an annual basis. Staff has reviewed the policy and recommends no changes at this time.
Furthermore, our investment policy has been reviewed by the Government Treasurers’ Organization of Texas
Review Committee to ensure it meets the requirements of the Texas Public Funds Investment Act. On August 8,
2005, we were awarded the Certificate of Distinction for our Investment Policy. They indicated our policy meets
the criteria set forth in the investment policy review checklist, and is an excellent example of a comprehensive
written investment policy.
FINANCIAL COMMENTS:
Agenda Request Form - Revised 09/04 Document Name: $InvestmentPolicy-1AR(Consent)
1
INTRODUCTION
The purpose of this document is to set forth specific investment policy and strategy guidelines for
the City of Coppell in order to achieve the goals of safety, liquidity, yield, and public trust for all
investment activity. The City Council of the City of Coppell shall review its investment strategies
and policy not less than annually. This policy serves to satisfy the statutory requirement of Chapter
2256, Texas Government Code as amended, to define, adopt and review a formal investment
strategy and policy.
INVESTMENT STRATEGY
The City of Coppell maintains portfolios utilizing four specific investment strategy considerations
designed to address the unique characteristics of the fund groups represented in the portfolios:
A. Investment strategies for operating funds and commingled pools containing
operating funds have as their primary objective to assure that anticipated cash flows
are matched with adequate investment liquidity. The secondary objective is to create
a portfolio structure which will experience minimal volatility during economic
cycles. This may be accomplished by purchasing high quality, short-to-medium-
term securities which will complement each other in a laddered or barbell maturity
structure. The dollar weighted average maturity of 365 days or less will be
calculated using the stated final maturity date of each security.
B. Investment strategies for debt service funds shall have as the primary objective the
assurance of investment liquidity adequate to cover the debt service obligation on the
required payment date. Securities purchased shall not have a stated final maturity
date that exceeds the debt service payment date.
C. Investment strategies for debt service reserve funds shall have as the primary
objective the ability to generate a dependable revenue stream to the appropriate debt
service fund from securities with a low degree of volatility. Securities should be of
high quality and, except as may be required by the bond ordinance specific to an
individual issue, of short to intermediate-term maturities. Volatility shall be further
controlled through maturity and quality range, without paying premium, if at all
possible. Such securities will tend to hold their value during economic cycles.
D. Investment strategies for special projects or special purpose fund portfolios will have
as their primary objective to assure that anticipated cash flows are matched with
adequate investment liquidity. These portfolios should include at least 10% in highly
liquid securities to allow for flexibility and unanticipated project outlays. The stated
final maturity dates of securities held should not exceed the estimated project
completion date.
INVESTMENT POLICY
2
I. SCOPE
This investment policy applies to all financial assets of the City of Coppell. These funds are
accounted for in the City's Comprehensive Annual Financial Report (CAFR) and include:
* General Fund
* Special Revenue Funds
* Debt Service Funds
* Capital Projects Funds
* Proprietary Funds
* Trust and Agency Funds
* Component Units
II. OBJECTIVES
The City of Coppell shall manage and invest its cash with four objectives, listed in order of priority:
Safety, Liquidity, Yield, and Public Trust. The safety of the principal invested always remains the
primary objective. All investments shall be designed and managed in a manner responsive to the
public trust and consistent with State and Local law.
The City shall maintain a comprehensive cash management program that includes collection of
accounts receivable, vendor payment in accordance with invoice terms, and prudent investment of
available cash. Cash management is defined as the process of managing monies in order to insure
maximum cash availability and maximum yield on short-term investment of pooled idle cash.
Safety
The primary objective of the City's investment activity is the preservation of capital in the overall
portfolio. Each investment transaction shall be conducted in a manner to avoid capital losses,
whether they are from securities default or erosion of market value.
Liquidity
The City's investment portfolio shall be structured such that the City is able to meet all obligations in
a timely manner. This shall be achieved by matching investment maturities with forecasted cash
flow requirements and by investing in securities with active secondary markets.
3
Yield
The City's cash management portfolio shall be designed with the objective of regularly exceeding
the average rate of return on three-month U.S. Treasury Bills. The investment program shall seek to
augment returns above this threshold consistent with risk limitations identified herein and prudent
investment polices.
Public Trust
All participants in the City's investment process shall seek to act responsibly as custodians of the
public trust. Investment officials shall avoid any transaction that might impair public confidence in
the City's ability to govern effectively.
III. RESPONSIBILITY AND CONTROL
Investment Committee
An Investment Committee, consisting of the City Manager, Deputy City Manager, the Director of
Finance, and Assistant Director of Finance, shall meet at least quarterly to determine operational
strategies and to monitor results. The Investment Committee shall include in its deliberation such
topics as: performance reports, economic outlook, portfolio diversification, maturity structure,
potential risk to the City's funds, authorized brokers and dealers, and the target rate of return on the
investment portfolio.
Delegation of Authority and Training
Authority to manage the City's investment program is derived from a resolution of the City Council.
The Director of Finance, the Assistant Finance Director and the Chief Accountant are designated as
the investment officers of the City and are responsible for investment decisions and activities. The
Director of Finance shall establish written procedures for the operation of the investment program,
consistent with this investment policy. The investment officers shall attend at least one ten (10) hour
training session from an independent source approved by the governing body relating to the officer's
responsibility under the Act within 12 months after assuming duties.
Additionally, once every two years, ten (10) hours of instruction must be obtained from an
independent source. Sources of authorized independent training are those sponsored by:
• Government Finance Officers Association (G.F.O.A.)
• Government Finance Officers Association of Texas (G.F.O.A.T.)
• Government Treasurers Organization of Texas (G.T.O.T.)
• University of North Texas - Center for Public Management
• Texas Tech - Center for Professional Development
4
Internal Controls
The Director of Finance is responsible for establishing and maintaining an internal control structure
designed to ensure that the assets of the entity are protected from loss, theft or misuse. The internal
control structure shall be designed to provide reasonable assurance that these objectives are met.
The concept of reasonable assurance recognizes that (1) the cost of a control should not exceed the
benefits likely to be derived; and (2) the valuation costs and benefits require estimates and
judgements by management.
Accordingly, the Director of Finance shall establish a process for annual independent review by an
external auditor to assure compliance with policies and procedures. The internal controls shall
address the following points:
A. Control of collusion.
B. Separation of transaction authority from accounting and record keeping.
C. Custodial safekeeping.
D. Avoidance of physical delivery securities.
E. Clear delegation of authority to subordinate staff members.
F. Written confirmation for telephone (voice) transactions for investments and wire
transfers.
G. Development of a wire transfer agreement with the depository bank or third party
custodian.
Prudence
The standard of prudence to be applied by the investment officer shall be the "prudent investor" rule,
which states: "Investments shall be made with judgment and care, under circumstances then
prevailing, which persons of prudence, discretion and intelligence exercise in the management of
their own affairs, not for speculation, but for investment, considering the probable safety of their
capital as well as the probable income to be derived." In determining whether an investment officer
has exercised prudence with respect to an investment decision, the determination shall be made
taking into consideration:
A. The investment of all funds, or funds under the City's control, over which the officer
had responsibility rather than a consideration as to the prudence of a single
investment.
B. Whether the investment decision was consistent with the written investment policy
of the City.
The investment officer, acting in accordance with written procedures and exercising due diligence,
shall not be held personally responsible for a specific security's credit risk or market price changes,
providing that these deviations are reported immediately and that appropriate action is taken to
control adverse developments.
5
Ethics and Conflicts of Interest
City staff involved in the investment process shall refrain from personal business activity that could
conflict with the proper execution of the investment program, or which could impair the ability to
make impartial investment decisions. City staff shall disclose to the City Manager any material
financial interests in financial institutions that conduct business with the City and they shall further
disclose positions that could be related to the performance of the City's portfolio. City staff shall
subordinate their personal financial transactions to those of the City, particularly with regard to
timing of purchases and sales.
An investment officer of the City who has a personal business relationship with an organization
seeking to sell an investment to the City shall file a statement disclosing that personal business
interest. An investment officer who is related within the second degree by affinity or consanguinity
to an individual seeking to sell an investment to the City shall file a statement disclosing that
relationship. A statement required under this subsection must be filed with the Texas Ethics
Commission and the governing body of the entity.
IV. REPORTING
Quarterly Reporting
The Director of Finance shall submit a signed quarterly investment report that summarizes current
market conditions, economic developments and anticipated investment conditions. The report shall
summarize investment strategies employed in the most recent quarter, and describe the portfolio in
terms of investment securities, maturities, risk characteristics, and shall explain the total investment
return for the quarter.
Annual Report
Within 90 days of the end of the fiscal year, the Director of Finance shall present an annual report on
the investment program and investment activity. This report may be presented along with the
Comprehensive Annual Financial Report to the City Manager and City Council.
Methods
The quarterly investment report shall include a succinct management summary that provides a clear
picture of the status of the current investment portfolio and transactions made over the last quarter.
This management summary will be prepared in a manner that will allow the City to ascertain
whether investment activities during the reporting period have conformed to the investment policy.
The reports shall be formally reviewed at least annually by an independent auditor, if investments
are other than those offered by the City's depository. The portfolio shall be marked to market
monthly. The market value of the securities is to be provided by the City's depository or by a third
party valuation service.
The report will be provided to the City Manager and City Council. The report will include the
6
following:
A. A listing of individual securities (investment position) held at the end of the reporting
period.
B. Unrealized gains or losses resulting from appreciation or depreciation by listing the
beginning and ending book and market value of securities for the period.
C. Additions and changes to the market value during the period.
D. Average weighted yield to maturity of portfolio on entity investments as compared to
applicable benchmark.
E. Listing of investment by maturity date.
F. The percentage of the total portfolio each type of investment represents.
G. Statement of compliance of the City's investment portfolio with State Law and the
investment strategy and policy approved by the City Council.
H. Prepared and signed by the investment officers.
I. Fully accrued interest for the period.
J. States account or fund for each investment.
V. INVESTMENT PORTFOLIO
The City shall pursue an active versus a passive portfolio management philosophy. That is,
securities may be sold before they mature if market conditions present an opportunity for the City to
benefit from the trade. The investment officer will routinely monitor the contents of the portfolio,
the available markets, and the relative value of competing instruments, and will adjust the portfolio
accordingly.
Investments
Assets of the City of Coppell may be invested in the following instruments; provided, however, that
at no time shall assets of the City be invested in any instrument or security not authorized for
investment under the Act, as the Act may from time to time be amended.
I. Authorized
A. Obligations of the United States of America, its agencies and
instrumentalities.
B. Direct obligations of the State of Texas or its agencies and instrumentalities.
C. Other obligations, the principal of and interest on which are unconditionally
guaranteed by the State of Texas or United States of America.
7
D. Obligations of the State, agencies thereof, Counties, Cities, and other political
subdivisions of any state having been rated as investment quality by a
nationally recognized investment rating firm, and having received a rating of
not less than "A" or its equivalent.
E. Certificates of Deposit of state and national banks domiciled in Texas,
guaranteed or insured by the Federal Deposit Insurance or its successor or
secured by obligations described in A through D above, which are intended
to include all direct agency or instrumentality issued mortgage backed
securities rated AAA by a nationally recognized rating agency and that have
a market value of not less than the principal amount of the certificates.
F. Fully collateralized direct repurchase agreements with a defined termination
date secured by obligations of the United States or its agencies and
instrumentalities. These shall be pledged to the City of Coppell, held in the
City’s name, and deposited at the time the investment is made with the City
or with a third party selected and approved by the City. Repurchase
agreements must be purchased through a primary government securities
dealer, as defined by the Federal Reserve, or a bank domiciled in Texas. A
Master Repurchase Agreement must be signed by the bank\dealer prior to
investment in a repurchase agreement. All repurchase agreement transactions
will be on a delivery versus payment basis. Securities received for repurchase
agreements must have a market value greater than or equal to 105 percent at
the time funds are disbursed.
G. Local government investment pools that have been authorized by the
governing body by rule, ordinance or resolution. The investment pool must
maintain a rating no lower than AAA or AAA-M by at least one nationally
recognized rating service. Investment in such pools shall be limited to 50%
of the City’s entire portfolio, with no more than 25% of the entire portfolio
invested in any one authorized pool.
H. No-load money market mutual funds that are registered and regulated by the
Securities and Exchange Commission, that has a dollar weighted average
stated maturity of 90 days or fewer and includes in its investment objectives
the maintenance of a stable net asset value of $1 for each share.
I. No-load mutual funds that are registered with the Securities and Exchange
Commission, having an average weighted maturity of less than two years and
is invested or secured in obligations described in A through D above. The
fund must maintain a rating of AAA, or its equivalent by at least one
nationally recognized rating firm. The fund must conform to the
requirements relating to the eligibility of investment pools.
Investments in mutual funds shall be limited to 10% of the City's monthly fund balance,
excluding bond proceeds and reserves and other funds held for debt service.
8
II. Not Authorized
The City's authorized investments options are more restrictive than those allowed by State law.
State law specifically prohibits investment in the following investment securities.
A. Obligations whose payment represents the coupon payments on the
outstanding principal balance of the underlying mortgage backed security
collateral and pays no principal.
B. Obligations whose payment represents the principal stream of cash flow from
the underlying mortgage-backed security collateral and bears no interest.
C. Collateralized mortgage obligations that have a stated final maturity date of
greater than 10 years.
D. Collateralized mortgage obligations the interest rate of which is determined
by an index that adjusts opposite to the changes in a market index.
Holding Period
The City of Coppell intends to match the holding periods of investment funds with liquidity needs of
the City. In no case will the average maturity of investments of the City's operating funds exceed
one year. The maximum final stated maturity of any investment shall not exceed five years.
Investments in all funds shall be managed in such a way that the market price losses resulting from
interest rate volatility would be offset by coupon income and current income received from the
volume of the portfolio during a twelve month period.
Risk and Diversification
The City of Coppell recognizes that investment risks can result from issuer defaults, market price
changes or various technical complications leading to temporary illiquidity. Risk is controlled
through portfolio diversification which shall be achieved by the following general guidelines;
A. Risk of issuer default is controlled by limiting investments to those
instruments allowed by the Act, which are described herein.
B. Risk of market price changes shall be controlled by avoiding over-
concentration of assets in a specific maturity sector, limitation of average
maturity of operating funds investments to one year, and avoidance of over-
concentration of assets in specific instruments other than U.S. Treasury
Securities and insured or Collateralized Certificates of Deposits.
C. Risk of illiquidity due to technical complications shall be controlled by the
selection of securities dealers as described herein.
9
VI. SELECTION OF BANKS AND DEALERS
Depository
At least every five (5) years a Depository shall be selected through the City's banking services
procurement process, which shall include a formal request for proposal (RFP). In selecting a
depository, the credit worthiness of institutions shall be considered, and the Director of Finance shall
conduct a comprehensive review of prospective depositories credit characteristics and financial
history.
Certificates of Deposit
Banks seeking to establish eligibility for the City's competitive certificate of deposit purchase
program shall submit for review annual financial statements, evidence of federal insurance and other
information as required by the Director of Finance.
Qualified Representatives
Investment officials shall not knowingly conduct business with any firm with whom public entities
have sustained losses on investments. All qualified representatives shall provide the City with
references from Public entities they are currently serving.
All financial institutions and qualified representatives who desire to become qualified bidders for
investment transactions must supply the following as appropriate:
- audited financial statements
- proof of National Association of Securities Dealers (NASD) certification
- proof of state registration
- completed broker/dealer questionnaire
- certification of having read the City's investment policy signed by an
qualified representative of the organization
- Acknowledgement that the organization has implemented reasonable
procedures and controls in an effort to preclude imprudent investment
activities arising out of investment transactions conducted between the City
and the organization
The investment officers are precluded from purchasing an investment from a representative who has
not delivered the written certification
An annual review of the financial condition and registration of qualified bidders will be conducted
by the Director of Finance.
Competitive Bids
Competitive quotes must be taken from at least three (3) qualifying financial institutions or
broker/dealers for any investment transaction involving an individual security. Investment
transactions should include written confirmation of offers on the Investment Bid Tabulation form.
10
VII. SAFEKEEPING AND CUSTODY
Insurance or Collateral
All deposits and investments of City funds other than direct purchases of U.S. Treasuries or
Agencies shall be secured by pledged collateral. In order to anticipate market changes and provide a
level of security for all funds, the collateralization level will be 105% of market value of principal
and accrued interest on the deposits or investments less an amount insured by the FDIC or FSLIC.
Evidence of the pledged collateral shall be maintained by the Director of Finance or a third party
financial institution. The City’s Depository Agreement shall specify the acceptable investment
securities for collateral, the substitution or release of investment securities, ownership of securities,
and the method of valuation of securities. Repurchase agreements shall be documented by a specific
agreement noting the collateral pledge in each agreement. Collateral shall be reviewed monthly to
assure that the market value of the pledged securities is adequate.
Safekeeping Agreement
Collateral pledged to secure deposits of the City shall be held by a safekeeping institution in
accordance with a Safekeeping Agreement which clearly defines the procedural steps for gaining
access to the collateral should the City of Coppell determine that the City's funds are in jeopardy.
The safekeeping institution, or Trustee, shall be the Federal Reserve Bank or an institution not
affiliated with the firm pledging the collateral. The safekeeping agreement shall include the
signatures of authorized representatives of the City of Coppell, the firm pledging the collateral, and
the Trustee.
Collateral Defined
The City of Coppell shall accept only the following securities as collateral:
A. FDIC and FSLIC insurance coverage.
B. A bond, certificate of indebtedness, or Treasury Note of the United States, or
other evidence of indebtedness of the United States that is guaranteed as to
principal and interest by the United States.
C. Obligations, the principal and interest on which, are unconditionally
guaranteed or insured by the State of Texas.
D. A bond of the State of Texas or of a county, city or other political subdivision
of the State of Texas having been rated as investment grade (investment
rating no less than "A" or its equivalent) by a nationally recognized rating
agency with a remaining maturity of five (5) years or less.
Subject to Audit
All collateral shall be subject to inspection and audit by the Director of Finance or the City's
independent auditors.
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Delivery vs. Payment
Treasury Bills, Notes, Bonds and Government Agencies' securities shall be purchased using the
delivery vs. payment method. That is, funds shall not be wired or paid until verification has been
made that the correct security was received by the Trustee. The security shall be held in the name of
the City or held on behalf of the City. The Trustee's records shall assure the notation of the City's
ownership of or explicit claim on the securities. The original copy of all safekeeping receipts shall
be delivered to the City.
VII. INVESTMENT POLICY ADOPTION
The City of Coppell investment policy shall be adopted by resolution of the City Council. The
policy shall be reviewed for effectiveness on an annual basis by the Investment Committee and any
modifications will be recommended for approval to the City Council.
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GLOSSARY
of
COMMON TREASURY TERMINOLOGY
Agencies: Federal agency securities.
Ask: The price at which securities are
offered.
Bid: The price offered for securities.
Broker: A broker brings buyers and sellers
together for a commission paid by the initiator
of the transaction or by both sides. In the
money market, brokers are active in markets,
in which banks buy and sell money, and in
interdealer markets.
Certificate of Deposit (CD): A time deposit
with a specific maturity evidenced by a
certificate. Large-denomination CD's are
typically negotiable.
Collateral: Securities, evidence of deposit or
other property that a borrower pledges to
secure repayment of loan. Also refers to
securities pledged by a bank to secure
deposits of public monies.
Comprehensive Annual Financial Report
(CAFR): The official annual report for the
City of Coppell. It includes combined
statements and basic financial statements for
each individual fund and account group
prepared in conformity with GAAP. It also
includes supporting schedules necessary to
demonstrate compliance with finance-related
legal and contractual provisions, extensive
introductory material, and a detailed
Statistical Section.
Coupon: The annual rate of interest that a
bond's issuer promises to pay the bondholder
on the bond's face value
Dealer: A dealer, as opposed to a broker, acts
as a principal in all transactions, buying and
selling for his own account.
Debenture: A bond secured only by the
general credit of the issuer.
Delivery versus Payment: There are two
methods of delivery of securities: delivery
versus payment and delivery versus receipt
Delivery versus payment is delivery of
securities with an exchange of money for the
securities. Delivery versus receipt is delivery
of securities with an exchange of a signed
receipt for the securities.
Discount Securities: Non-interest bearing
money market instruments that are issued at a
discount and redeemed at maturity for full
face value, such as U.S. Treasury bills.
Diversification: Dividing investment funds
among a variety of securities offering
independent returns.
Federal Credit Agencies: Agencies of the
Federal government set up to supply credit to
various classes of institutions and individuals,
such as Savings and Loans, small business
firms, students, farmers, farm cooperatives,
and exporters.
Federal Deposit Insurance Corporation
(FDIC): A federal agency that insures bank
deposits, currently up to $100,000 per deposit.
Federal Funds Rate: The rate of interest at
which Fed funds are traded. This rate is
currently set by the Federal Reserve through
open-market operations.
Federal Home Loan Banks (FHLB): The
institutions that regulate and lend to savings
and loan associations. The Federal Home
Loan Banks play a role analogous to that
played by the Federal Reserve Banks vis-a-vis
member commercial banks.
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Federal National Mortgage Association
(FNMA): FNMA, like GNMA, was
chartered under the Federal National
Mortgage Association Act in 1938. FNMA is
a federal corporation working under the
auspices of the Department of Housing and
Urban Development, H.U.D. It is the largest
single provider of residential mortgage funds
in the United States. Fannie Mae, as the
corporation is called, is a private stockholder-
owned corporation. The corporation's
purchases include a variety of adjustable
mortgages and second loans in addition to
fixed-rate mortgages. FNMA's securities are
also highly liquid and are widely accepted.
FNMA assumes and guarantees that all
security holders will receive timely payment
of principal and interest.
Federal Open Market Committee
(FOMC): Consists of seven members of the
Federal Reserve Board and five of the twelve
Federal Reserve Bank Presidents. The
President of the New York Federal Reserve
Bank is a permanent member while the other
Presidents serve on a rotating basis. The
Committee periodically meets to set Federal
Reserve guidelines regarding purchases and
sales of Government Securities in the open-
market as a means of influencing the volume
of bank credit and money.
Federal Reserve System: The central bank
of the United States created by Congress and
consisting of a seven member Board of
Governors in Washington, D.C., 12 regional
banks and commercial banks that are
members of the system.
Government National Mortgage
Association (GNMA or Ginnie Mae):
Securities guaranteed by GNMA and issued
by mortgage bankers, commercial banks,
savings and loan associations, and other
institutions. Security holder is protected by
full faith and credit of the U.S. Government.
Ginnie Mae securities are backed by FHA,
VA or FMHM mortgages. The term pass-
throughs is often used to describe Ginnie
Maes.
Liquidity: A liquid asset is one that can be
converted easily and rapidly into cash without
a substantial loss of value. In the money
market, a security is said to be liquid if the
spread between bid and asked prices is narrow
and reasonable size can be done at those
quotes.
Market Value: The price at which a security
is trading and could presumably be purchased
or sold.
Master Repurchase Agreement: To protect
investors, many public investors will request
that repurchase agreements be preceded by a
master repurchase agreement between the
investor and the financial institution or dealer.
The master agreement should define the
nature of the transaction, identify the
relationship between the parties, establish
normal practices regarding ownership and
custody of the collateral securities during the
term of the investment, provide remedies in
the case of default by either party and clarify
issues of ownership. The master repurchase
agreement protects the investor by eliminating
the uncertainty of ownership and hence,
allowing investors to liquidate collateral if a
bank or dealer defaults during the term of the
agreement.
Maturity: The date upon which the principal
or stated value of an investment becomes due
and payable.
Money Market: The market in which short-
term debt instruments (bills, commercial
paper, bankers' acceptances) are issued and
traded.
Open Market Operations: Purchases and
sales of government and certain other
14
securities in the open market by the New
York Federal Reserve Bank as directed by the
FOMC in order to influence the volume of
money and credit in the economy. Purchases
inject reserves into the bank system and
stimulate growth of money and credit; sales
have the opposite effect. Open market
operations are the Federal Reserve's most
important and most flexible monetary policy
tool.
Portfolio: Collection of securities held by an
investor.
Primary Dealer: A group of government
securities dealers that submit daily reports of
market activity and positions and monthly
financial statements to the Federal Reserve
Bank of New York and are subject to its
informal oversight. Primary dealers include
Securities and Exchange Commission (SEC)
registered securities broker-dealers banks and
a few unregulated firms.
Prudent Person Rule: An investment
standard. Investments shall be made with
judgment and care, under circumstances then
prevailing, which persons of prudence,
discretion and intelligence exercise in the
management of their own affairs, not for
speculation, but for investment, considering
the probable safety of their capital as well as
the probable income to be derived.
Rate of Return: The yield obtainable on a
security based on its purchase price or its
current market price. This may be the
amortized yield to maturity on a bond or the
current income return.
Repurchase Agreement (RP of REPO): A
holder of securities sells these securities to an
investor with an agreement to repurchase
them at a fixed price on a fixed date. The
security "buyer" in effect lends the "seller"
money for the period of the agreement, and
their terms of the agreement are structured to
compensate him for this.
DEPT: Park & Recreation
DATE: August 22,2006
ITEM #: 9/G
AGENDA REQUEST FORM
ITEM CAPTION:
Consider approval of an Amendment to the Professional Services Agreement with Halff Associates, Inc., for
Design, Construction Documentation and Construction Administration for the Town Center Plaza, in the amount
of $95,304.00 as provided in C.I.P. funds, and authorizing the City Manager to sign.
GOAL(S):
EXECUTIVE SUMMARY:
Halff & Associates has requested an Amendment to the Professional Services Agreement for design services
related to the Town Center Plaza Master Plan and Construction Documentation. There are a couple of reasons for
this request. First, the increase in the project budget from $1,000,000.00 to the current budget of $2,500,000.00
necessarily increases the scope of the work required to put together the final documentation for the project.
Secondly, the length of time that has passed since the original agreement was negotiated is approximately two
years. The original agreement with Halff allows for contract adjustments should the Design Development,
Construction Documentation and Bidding phases of the project take more than 12 months to complete. The
original agreement was approved in October of 2004.
FINANCIAL COMMENTS: Funds are available in the Park CIP accounts for this contract amendment.
Agenda Request Form - Revised 09/04 Document Name: ^Halff Agreement Amendment
PARKS AND RECREATION DEPARTMENT
CITY COUNCIL AGENDA ITEM
Date: August 22, 2006
To: Mayor and City Council
From: Brad Reid, Director of Parks and Recreation
Re: Consider approval of an Amendment to the Professional Services Agreement with
Halff Associates, Inc., for Design, Construction Documentation and Construction
Administration for the Town Center Plaza, in the amount of $95,304.00, and authorizing
the City Manager to sign.
Background:
The original Agreement with Halff Associates, Inc. for Professional Services for the
Master Planning, Design Development, Construction Documentation and Contract
Administration for the Town Center Plaza was approved in October 2004. The
Agreement was based on a construction budget of somewhat less than $1,000,000.00.
This Agreement includes language that states “If, through no fault of Halff, the first three
stages of Basic Professional Services have not been completed within twelve months of
the date of this Agreement, the terms of this Agreement may be renegotiated.” For
purposes of this Agreement, the first three stages of Basic Services are Design
Development, Construction Documents and Bidding. The project currently remains in
the Design Development Stage. The final level of funding and delayed decisions
regarding design elements to be included in the project pushed the time frame for
completion past this twelve-month period. Accordingly, Halff has allocated a significant
amount of staffing hours on this project that were not anticipated at the outset.
As is outlined in Lenny Hughes’ letter of July 31, 2006, “during the planning and
development process the City required an extensive amount of time by the Halff Team to
produce conceptual drawings, tower alternatives, and a decorative “Interactive Water
Feature” as well as several presentations to Council and staff. At the end of this process
an approved Master Plan was accepted by City Council along with a new construction
budget of $2,500,000. Per our understanding of your requirements, Halff will develop
plans and specifications showing proposed site improvements to adhere to this budget. In
order to compensate for the increase in construction budget and efforts spent developing
the Master Plan, Halff Associates proposes that the design fee be adjusted accordingly.
The proposed fee shall include additional services for Landscape Architecture,
Architecture and Structural Engineering.”
It should be noted that the increase requested by Halff Associates, Inc. totals $70,304.00.
An additional allocated amount of $25,000.00 has been included in their proposal for
design fees related to the Water Fountain, which will be paid on a Cost Plus Fee basis for
a sub-consultant specializing in fountain design. This Amendment will bring the total
amount of the fees for this Agreement to $243,316.00, or 9.7% of the construction
budget.
City Council Action requested:
Award of an Amendment to the Agreement with Halff Associates, Inc. in the amount of
$95,304.00, and authorizing the City Manager to sign.
Halff Associates, Inc.
ENGINEERS • ARCHITECTS • SCIENTISTS • PLANNERS • SURVEYORS
8616 Northwest Plaza Drive
Dallas, Texas 75225-4292
(214) 346-6200
Fax (214) 739-0096
July 31, 2006 Reference: AVO 22831
Mr. Brad Reid
City of Coppell
Parks and Recreation Dept.
816 S. Coppell Road
Coppell, Texas 75019
Re: Request for Additional Architectural and Engineering Services for the Coppell Town Center
Plaza, Coppell, Texas
Dear Mr. Reid,
This letter serves as a request for Additional Services for the extension to perform Landscape
Architectural, Architectural and Engineering Services for the Coppell Town Center Plaza. Halff
Associates Inc. is pleased to submit this fee proposal to assist in the continuance and development of
appropriate planning and design level construction drawings and specifications for the Town Center
Project.
During the planning and development process the City required an extensive amount of time by the Halff
Team to produce conceptual drawings, tower alternatives, and a decorative “Interactive Water Feature”
as well as several presentations to Council and staff. To date we have consumed ($80,771) a relatively
large portion of the design budget of ($143,512) to develop the conceptual, schematic/design
development drawings and 30% construction drawings. At the end of this process an approved Master
Plan was accepted by City Council along with a new construction budget of $2,500,000. Per our
understanding of your requirements, Halff will develop plans and specifications showing proposed site
improvements to adhere to this budget. In order to compensate for the increase in construction budget
and efforts spent developing the Master Plan, Halff Associates proposes that the design fee be adjusted
accordingly. The proposed fee shall include additional services for Landscape Architecture, Architecture
and Structural Engineering. Below are the associated fees for the development of the approved plans;
1. Project Management Services Amount - $ 2,400.00
2. Landscape Architectural Planning and Design Services Amount - $26,520.00
3. Architectural Planning and Design Services Amount - $22,800.00
4. Structural Engineering Services Amount - $18,584.00
5. Fountain Design (Allocated – Cost Plus Fee) Amount - $25,000.00
TOTAL FEES $95,304.00
Architectural and Engineering services are limited to the development of plans, specifications, product
descriptions (cut sheets) and (4) additional meetings to present ideas, concepts and overall project
coordination. Any additional services beyond the specified scope will be billed on an hourly basis.
We appreciate the opportunity to be of service to the City of Coppell, and trust that our association on this
Agreement is mutually beneficial. If this Agreement meets with your approval, please sign and date in the
spaces below and return one (1) fax copy as Notification to Proceed and approval of the budget.
Halff Associates, Inc.
ENGINEERS • ARCHITECTS • SCIENTISTS • PLANNERS • SURVEYORS
8616 Northwest Plaza Drive
Dallas, Texas 75225-4292
(214) 346-6200
Fax (214) 739-0096
Halff Associates, Inc.
ENGINEERS • ARCHITECTS • SCIENTISTS • PLANNERS • SURVEYORS
8616 Northwest Plaza Drive
Dallas, Texas 75225-4292
(214) 346-6200
Fax (214) 739-0096
Please feel free to contact us if you have any questions or comments concerning this matter.
Yours very truly,
HALFF ASSOCIATES, INC.
Lenny Hughes, RLA
Director of Landscape Architecture
ACCEPTED:
City of Coppell
By
Title
Date
CITY OF COPPELLLabor CategoryProject Mgr.Sr. Civil Eng.Civil Eng.Civil EITCivil CADDSr. Struct. Eng.Struct. CADDSr. Electrical EngineerMEP CaddSr. ArchitectArch. CADDSr. Landscape ArchitectLandscape Arch. CADDClericalSurvey CoordiantorSurvey CrewCOPPELL TOWN CENTER Team Member Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Print Plot Deliv./Travel Halff HalffFee Proposal - July 28, 2006Hourly Billing Rate $120.00 $120.00 $101.00 $78.00 $71.00 $120.00 $82.00 $120.00 $75.00 $120.00 $75.00 $110.00 $75.00 $60.00 $83.00 $107.00 TTL. ManHr TTL. Labor $ $0.10 $10.00 Misc. Total Expense $ Total $Scope PlanTask Description Reference Sheets1.0 Project Management and Coordination1.1 Coordination meetings (monthly) with Design Team and C.O.C. Staff1616 $1,920$1,9201.2 Public Meetings (1) Council44 $480$4801.3 Assist City of Coppell in preparation of bid documents. Coordinate special specifcations and special provisions.1.4 Analysis & Evaluation of Bids1.5 Coordinate processing of submittals, approvals, RFI’s, inspections, and testing1.6 Attend monthly construction meetings2.0 Archtectural Design2.1 Prepare 60% Design review documents20 4060 $5,400$5,4002.2 Prepare 90% Design review documents20 4060 $5,400$5,4002.3 Prepare Final Design review documents24 2448 $4,680$4,6802.4 Provide all documents necessary for milestone cost estimates88 $960$9602.5 Prepare applicable bid documents (specification)1616 $1,920$1,9202.6 Prepare applicable addenda documents.1616 $1,920$1,9202.7 Review and respond to submittals, approvals, RFI’s, inspections, and testing8816 $1,560$1,5602.8 Attend up to (2) construction site visits88 $960$9603.0 Civil Design4.0 Landscape Master Planning and DesignPrint Plot Deliv./Travel Halff4.1 Site visit, review and incorporate existing conditions info4.2 Prepare Fountain Concept 16 8 24 $2,360$2,3604.3 Prepare 60% Landscape and Irrigation plan documents (includes entry gateways, walkways, fountain ditf ihi )24 40 64 $5,640$5,6404.4 Prepare 90% Landscape and Irrigation plan documents (includes entry gateways, walkways, fountain ditf ihi )24 30 54 $4,890$4,8904.5 Prepare Final Landscape and Irrigation plan documents (includes entry gateways, walkways, fountain ditf ihi )32 30 62 $5,770$5,7704.6 Provide all documents necessary for milestone cost estimates8 8 16 $1,480$1,4804.7 Prepare applicable Bid documents8 12 20 $1,780$1,7804.8 Prepare applicable addenda documents.8 4 4 16 $1,420$1,4204.9 Review and respond to landscape submittals and RFI's8 4 4 16 $1,420$1,4204.10 Visit site during irrigation and planting operations (max of 4 construction site visits)16 16 $1,760$1,7605.0 Structural Design5.1 Prepare 60%, Design review documents for 'Tower', amphitheater, fountain, pavilion and 'Gateway Monuments'20 2444 $4,368$4,368Halff1
CITY OF COPPELLLabor CategoryProject Mgr.Sr. Civil Eng.Civil Eng.Civil EITCivil CADDSr. Struct. Eng.Struct. CADDSr. Electrical EngineerMEP CaddSr. ArchitectArch. CADDSr. Landscape ArchitectLandscape Arch. CADDClericalSurvey CoordiantorSurvey CrewCOPPELL TOWN CENTER Team Member Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Halff Print Plot Deliv./Travel Halff HalffFee Proposal - July 28, 2006Hourly Billing Rate $120.00 $120.00 $101.00 $78.00 $71.00 $120.00 $82.00 $120.00 $75.00 $120.00 $75.00 $110.00 $75.00 $60.00 $83.00 $107.00 TTL. ManHr TTL. Labor $ $0.10 $10.00 Misc. Total Expense $ Total $5.2 Prepare 90%, Design review documents for 'Tower', amphitheater, fountain, pavilion and 'Gateway Monuments'20 2444 $4,368$4,3685.3 Prepare Final Design review documents for 'Tower', amphitheater, fountain, pavilion and 'Gateway Monuments'20 2444 $4,368$4,3685.4 Prepare general notes and edit specifications for lump sum bid project.8412 $1,288$1,2885.5 Prepare applicable bid documents448 $808$8085.6 Prepare applicable addenda documents.448 $808$8085.7 Review and respond to submittals and RFI's8816 $1,616$1,6165.8 Attend up to (2) construction site visits88 $960$9606.0 Electrical6.1 Coordination with utility contact, C.O.C. Electrical Engineer and site analysis6.2 Prepare lighting design calculations and fixture selection6.3 Prepare 60%, 90% and Final review documents for 'Clock Tower', amphitheater (w/ associated sound sytem), walkways, pavilion, and vendor stations 6.4 QA/QC design development, and contract documents for proposed features6.5 Prepare general notes and edit specifications for lump sum bid project.6.6 Prepare applicable addenda documents.6.7 Review and respond to submittals and RFI's6.8 Attend up to (2) construction site visitsSubtotal Summary 1.0 Project Management and Coordination2020 $2,400$2,4002.0 Architecture 120 112232 $22,800$22,8003.0 Civil Design 4.0 Landscape Architecture 144 136 8 288 $26,520$26,5205.0 Structural Design92 92184 18,584$18,5847.0 Lighting Consultant (Alternate)8.0 Fountain Designer (Allocated)$25,000 $25,000TOTAL20 92 92 120 112 144 136 8 724 $70,304 $25,000 $95,304Halff2
DEPT: Information Systems
DATE: August 22, 2006
ITEM #: 9/H
AGENDA REQUEST FORM
ITEM CAPTION: Consider approval of a contract with INX, Inc. for the purchase and installation of a new data
communication router for the city network in the amount of $95,497.20, as budgeted, and authorizing the City
Manager to sign.
GOAL(S):
EXECUTIVE SUMMARY:
The current communication router was acquired under a 3-year lease/purchase in October 1999. It is currently at
capacity and cannot be upgraded. The purchase of this new equipment will provide for much faster throughput of
network traffic, will double the service capacity over the current router and reduce annual maintenance costs.
The equipment being replaced will be re-deployed to the Library to provide patrons faster and more reliable
Internet access, as well as excess capacity should the Library staff choose to expand the number of patron PCs
used to access the Internet.
FINANCIAL COMMENTS: Funds have been budgeted in the Information Services department for this
purchase.
Agenda Request Form - Revised 09/04 Document Name: {CiscoUpgrades
DEPT: Finance
DATE: August 22, 2006
ITEM #: 10
AGENDA REQUEST FORM
ITEM CAPTION:
PUBLIC HEARING: To receive public comment concerning the Proposed 2006-2007 Municipal Budget.
GOAL(S):
EXECUTIVE SUMMARY: Pursuant to the City Charter, a public hearing will be conducted by the City Council
of the City of Coppell, Texas, to receive public comment concerning the Proposed 2006-2007 Municipal Budget.
At this hearing, taxpayers must have the opportunity to express their views on the proposed budget.
FINANCIAL COMMENTS:
Agenda Request Form - Revised 09/04 Document Name: $PHBudget-1AR
NOTICE OF PUBLIC HEARING
PROPOSED 2006-2007
MUNICIPAL BUDGET
A PUBLIC HEARING will be conducted by the City Council of the City of Coppell, Texas, to
receive public comment concerning the Proposed 2006-2007 Municipal Budget. The Public
Hearing will be held on August 22, 2006 at 7:00 p.m. in the Council Chambers at the City Hall,
255 Parkway Boulevard, Coppell, Texas 75019. A copy of the Proposed Budget will be on file
for public view in the office of the City Secretary at City Hall, and at the William T. Cozby
Public Library, 177 N. Heartz Road, Coppell, Texas 75019.
PUBLIC NOTICE STATEMENT
FOR ADA COMPLIANCE
The City of Coppell acknowledges its responsibility to comply with the Americans With
Disabilities Act of 1990. Thus, in order to assist individuals with disabilities who require special
services (i.e. sign interpretative services, alternative audio/visual devices and amanuenses) for
participation in or access to the City of Coppell sponsored public programs, services and/or
meetings, the City requests that individuals make requests for these services forty-eight (48)
hours ahead of the scheduled program, service and/or meeting. To make arrangements, contact
Vivyon V. Bowman, ADA.
DEPT: Finance
DATE: August 22, 2006
ITEM #: 11
AGENDA REQUEST FORM
ITEM CAPTION:
PUBLIC HEARING: To receive public comment concerning the proposed 2006-2007tax rate of 0.64146.
GOAL(S):
EXECUTIVE SUMMARY: Pursuant to Section 26.06 of the Texas Property Tax Code, when a proposed tax rate
exceeds the notice-and-hearing limit, the taxing unit’s governing body must hold two (2) public hearings on the
proposal. At these hearings, taxpayers must have the opportunity to express their views on the proposed increase.
The governing body may not adopt the tax rate at these hearings; and, must announce the date and time of the
meeting at which it will vote on the tax rate. The meeting to adopt the 2006 tax rate must be at least three (3) days
but no more than fourteen (14) days after the public hearing.
FINANCIAL COMMENTS:
Agenda Request Form - Revised 09/04 Document Name: $PH2TaxRate-1AR
The City of Coppell will hold a public hearing on a proposal to increase total tax revenues from properties on the tax roll in the preceding tax year by
0.95 percent (percentage by which proposed tax rate exceeds lower of rollback tax rate or effective tax calculated under Chapter 26, Tax Code). Your
individual taxes may increase at a greater or lesser rate, or even decrease, depending on the change in the taxable value of your property in relation to
the change in taxable value of all other property and the tax rate that is adopted.
Notice of Public Hearing on Tax Increase
The public hearing will be held on August 22, 2006 at 7:00 PM and August 29, 2006 at 6:00 PM at 255 Parkway Blvd., Coppell, Texas 75019.
The members of the governing body voted on the proposal to consider the tax increase as follows:
Tim Brancheau Jayne Peters
Brianna Hinojosa-Flores Marsha Tunnell
Billy Faught Marvin Franklin
Bill York
FOR:
AGAINST:
PRESENT and not voting:
ABSENT:
Comparison of Proposed Budget with Last Year's Budget
Maintenance and operations
Debt service
Total expenditures
0.94%
(9.99)%
(0.97)%
increase
(decrease)
(decrease)
The applicable percentage increase or decrease (or difference) in the amount budgeted in the preceding fiscal year and the amount budgeted for the
fiscal year that begins during the current tax year is indicated for each of the following expenditure categories:
Total Appraised Value and Total Taxable Value
as calculated under section 26.04, Tax Code
Preceding Tax Year Current Tax Year
Total appraised value* of all property
Total taxable value*** of all property
Total appraised value* of new property**
Total taxable value*** of new property**
$4,774,914,820 $5,194,379,741
$3,973,408,106 $4,247,609,166
$50,054,391 $79,576,047
$50,054,391 $79,576,047
Total amount of outstanding and unpaid bonded indebtedness $53,757,434
Bonded Indebtedness
Adopted tax rate for the preceding tax year
Tax Rates
Proposed tax rate for the current tax year
Difference in the proposed tax rate and the adopted tax rate for the preceding tax year
These tax rate figures are not adjusted for changes in the taxable value of property.
Percentage increase or decrease in the proposed tax rate and the adopted tax rate for the preceding tax year
$0.64860
$0.64146
$(0.00714)
(1.10)%(Decrease)
per $100 in value
per $100 in value
per $100 in value
Comparison of Residence Homestead Values
Average appraised and taxable values on residence homesteads are compared from the preceding tax year and the current tax year.
Average residence homestead appraised value
Homestead exemption amount for the taxing unit
(excluding special exemptions for persons 65 years of age or older or disabled)
Average taxable value of a residence homestead
(excluding special exemptions for persons 65 years of age or older or disabled)
Preceding Tax Year Current Tax Year
$261,351 $267,245
$13,068 $13,362
$248,283 $253,883
Comparison of Residence Homestead Taxes
The taxes that would have been imposed in the preceding tax year on a residence homestead at the average appraised value (excluding special exemptions
for persons 65 years of age or older or disabled) are estimated to be $1,610.36. The taxes that would be imposed in the current tax year on a residence
homestead appraised at the average appraised value in the current tax year (excluding special exemptions for persons 65 years of age or older or disabled),
if the proposed tax rate is adopted, are estimated to be $1,628.56. The difference between the amount of taxes on the average residence homestead in the
current tax year, if the proposed tax rate is adopted, and the preceding tax year would be an increase of $18.20 in taxes.
* "Appraised value" is the amount shown on the appraisal roll and defined by Section 1.04(8), Tax Code.
** "New property" is defined by Section 26.012(17), Tax Code.
*** "Taxable value" is defined by Section 1.04(10), Tax Code.
DEPT: Finance
DATE: August 22, 2006
ITEM #: 12
AGENDA REQUEST FORM
ITEM CAPTION: Consider approval of an Ordinance of the City of Coppell, Texas, approving an amendment to
Ordinance No. 2005-1106, the budget for Fiscal Year October 1, 2005 through September 30, 2006 and
authorizing the Mayor to sign.
GOAL(S):
EXECUTIVE SUMMARY: This amendment is being brought forward to reflect changes experienced to date for
Fiscal Year 2005-06.
FINANCIAL COMMENTS:
Agenda Request Form - Revised 09/04 Document Name: $BudAmend-1AR
MEMORANDUM
Date: August 22, 2006
To: Mayor and Council
From: Jennifer Armstrong, Director of Finance
Via: Clay Phillips, Deputy City Manager
Subject: Budget Amendment - Fiscal Year 2005-06
This budget amendment is being brought forward to reflect items that have been brought before
Council and changes experienced to date for fiscal year 2005-2006.
General Fund
General Fund revenues are being increased $4,078,053. This increase is associated with
increased property tax collections ($1,444,745), sales tax ($1,225,000), court fines ($350,000),
franchise taxes ($430,000), interest earnings ($375,000), and building permits ($200,000). The
remaining funding is from the various other accounts.
General Fund expenditures are being increased $1,897,627. $291,417 is for an economic
development incentive and the transfer to Park CIP for additional funding needed for Grapevine
Springs Park. Legal is being increased $400,000. Facilities is being increased $50,000. This is
for unbudgeted repairs that have occurred over the fiscal year. Streets is being amended for the
construction of the hooded left turn. Fire and Police together are being amended $1,143,110.
This is the additional funding needed for the facility remodels.
Water and Sewer Fund
Water Fund Revenues are being increased $2,181,864. This is associated with the increase in
Water Sales revenue. Expenses are being amended due to receiving more water from the City of
Dallas and the electricity costs associated with pumping the water.
Child Safety Fund
The increase in revenues is due to receiving higher than anticipated interest income. The
expenditures are for child DNA kits used by the Police Department.
Police Special Revenue Fund
Revenues are being amended to reflect grants, donations and forfeitures that have been received.
The expenditures are those associated with the rescue vehicle, and the canine units.
Parks Special Revenue
The revenues are being amended to reflect the collection of park fees, and higher than anticipated
interest earnings.
2
Tree Preservation Fund
Revenues are being increased for income actually received. Expenditures are for planting of
trees.
Debt Service Fund
Revenues are being increased due to increased property tax collections and higher than
anticipated interest earnings.
Infrastructure Maintenance Fund
Revenues are being amended to reflect increased interest earnings. Expenditures are for traffic
signal installation at two locations.
Self-Insurance Fund
This fund is being amended to reflect anticipated premiums and claims.
Drainage Fund
Revenues are being amended for higher than anticipated interest earnings.
Donations – Special Revenue
Revenues are being amended to reflect grants received by Keep Coppell Beautiful. Expenditures
are being amended to reflect costs associated with the Library, Parks, Fire and Keep Coppell
Beautiful.
Recreational Programs Fund
The revenues are being amended to reflect the anticipated Sports Entry Fees that will be
collected and increased interest earnings.
C.E.D.C. Special Revenue
Revenues are being amended to reflect the anticipated increase in interest earnings ($100,000)
and the increase in sales tax revenue. The city is currently experiencing a 30% increase over the
prior year.
Municipal Court Special Revenue
Revenues are being amended to reflect anticipated collections.
3
C.R.D.C. Special Revenue
The revenues are being amended for additional interest income ($75,000) and the increase in
sales tax. Expenditures are being amended to reflect costs associated with Wagon Wheel Park
(parking lot and outfall).
C.R.D.C. Debt Service
Revenues are being amended to reflect the increase in interest earnings.
Municipal Court Technology Fund
Revenues are being amended to reflect the increase in interest earnings.
AN ORDINANCE OF THE CITY OF COPPELL, TEXAS
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF COPPELL, TEXAS APPROVING AN
AMENDMENT TO THE BUDGET FOR THE CITY FOR THE FISCAL YEAR OCTOBER
1, 2005 THROUGH SEPTEMBER 30, 2006; PROVIDING THAT EXPENDITURES FOR
SAID FISCAL YEAR SHALL BE MADE IN ACCORDANCE WITH SAID BUDGET; AND
DECLARING AN EFFECTIVE DATE.
WHEREAS, the Budget Officer of the City of Coppell, Texas, did on the 5th day of August,
2005, file with the City Secretary, a proposed general budget for the City covering the fiscal year
aforesaid, and
WHEREAS, the City Council of the City of Coppell approved said budget on the 13th day
of September, 2005, and
WHEREAS, the governing body of the City has this date considered an amendment to said
budget;
NOW, THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF COPPELL, TEXAS:
SECTION 1. That Section No. 2 of Ordinance No. 2005-1106, for the 2005-06 Fiscal Year
Budget, is hereby amended as follows:
General Fund Current Budget Amending Budget Change
Revenues $35,211,313 $39,289,366 $4,078,053
Expenditures
Combined Services 921,927 1,213,344 291,417
Legal 812,000 1,212,000 400,000
Facilities 899,014 949,014 50,000
Streets 1,718,000 1,731,100 13,100
Fire 7,676,612 8,549,612 873,000
Police 8,901,756 9,171,866 270,110
Total Expenditures 1,897,627
Decrease in Designated Fund Balance (1,020,000)
Net Expenditure Increase 877,627
Net Increase in Undesignated Fund Balance $3,200,426
Water/Sewer Fund Current Budget Amending Budget Change
Revenues $13,993,006 $16,174,870 $2,181,864
Expenses
Utility Operations $1,705,399 $1,880,399 $175,000
Direct Cost of Water 3,824,052 4,208,832 384,780
Net Increase in Projected Retained Earnings $1,622,084
Child Safety Current Budget Amending Budget Change
Revenues $17,350 $18,300 $950
Expenses 3,000 3,500 500
Net Increase in Projected Fund Balance $ 450
Police Spec. Rev. Fund Current Budget Amending Budget Change
Revenues $343,111 $520,302 $177,191
Expenditures 430,496 517,986 87,490
Net Increase in Projected Fund Balance $89,701
Parks Special Revenue Current Budget Amending Budget Change
Revenues $18,280 $26,705 $8,425
Net Increase in Projected Fund Balance $8,425
Tree Preservation Fund Current Budget Amending Budget Change
Revenues $77,500 $127,500 $50,000
Expenditures 61,281 78,997 17,716
Net Increase in Projected Fund Balance $ 32,284
Debt Service Fund Current Budget Amending Budget Change
Revenues $7,828,555 $8,067,567 $239,012
Net Increase in Projected Fund Balance $239,012
Infrastructure Maint Fund Current Budget Amending Budget Change
Revenues $1,139,748 $1,151,748 $12,000
Expenditures 1,400,433 1,698,475 298,042
Net Decrease in Projected Fund Balance $286,042
Self Insurance Fund Current Budget Amending Budget Change
Revenues $2,178,445 $2,423,863 $245,418
Expenditures 2,161,528 2,481,400 319,872
Net Decrease in Projected Retained Earnings $74,454
Drainage Fund Current Budget Amending Budget Change
Revenues $226,000 $230,200 $4,200
Net Increase in Projected Fund Balance $4,200
Donations-Special Revenue Current Budget Amending Budget Change
Revenues $62,554 $74,226 $11,672
Expenditures 93,439 122,130 28,691
Net Decrease in Projected Fund Balance $17,019
Recreational Programs Fund Current Budget Amending Budget Change
Revenues $311,121 $339,146 $28,025
Projected Increase in Proj. Fund Balance $28,025
C.E.D.C. Spec. Revenue Current Budget Amending Budget Change
Revenues $3,157,466 $4,712,466 $1,555,000
Net Increase in Projected Fund Balance $1,555,000
Mun. Ct. Spec. Rev. Fund Current Budget Amending Budget Change
Revenues $44,000 $47,500 $3,500
Net Increase in Projected Fund Balance $3,500
C.R.D.C. Spec. Revenue Current Budget Amending Budget Change
Revenues $2,382,909 $3,912,909 $1,530,000
Expenditures 948,371 1,579,050 630,679
Net Increase in Projected Fund Balance $899,321
C.R.D.C. Debt Service Current Budget Amending Budget Change
Revenues $776,057 $784,557 $8,500
Net Increase in Projected Fund Balance $8,500
Mun. Court Tech. Fund Current Budget Amending Budget Change
Revenues $56,000 $58,500 $2,500
Net Increase in Projected Fund Balance $2,500
SECTION 2. EFFECTIVE DATE.
That this ordinance shall become effective immediately from and after its passage as the law
and charter in such cases provide.
DULY PASSED and adopted by the City Council of the City of Coppell, Texas, on the _____ day
of August, 2006.
APPROVED:
______________________________
DOUGLAS N. STOVER, MAYOR
ATTEST:
____________________________________________
LIBBY BALL, CITY SECRETARY
APPROVED AS TO FORM:
_____________________________________
CITY ATTORNEY
DEPT: Finance
DATE: August 22, 2006
ITEM #: 13
AGENDA REQUEST FORM
ITEM CAPTION: Consider approval of an Ordinance authorizing the issuance of City of Coppell, Texas
Combination Tax and Revenue Certificates of Obligation, Series 2006 in the amount of $3,785,000, making
provisions for the security thereof, and ordaining other matters relating to the subject and authorizing the Mayor to
sign.
GOAL(S):
EXECUTIVE SUMMARY: The Certificate of Obligation Bonds in the amount of $3,785,000 are being issued to
fund the additional amount needed for the new Senior Citizens Center, Town Center Master Plan Park
improvement and bond issuance costs.
• Additional Funds for Senior Center $ 2,000,000
• Additional Funds for Town Center $ 1,700,000
• Bond Issuance Costs $ 85,000
$ 3,785,000
FINANCIAL COMMENTS:
Agenda Request Form - Revised 09/04 Document Name: $CO06-1AR
1
ORDINANCE AUTHORIZING THE ISSUANCE OF CITY OF COPPELL,
TEXAS COMBINATION TAX AND REVENUE CERTIFICATES OF
OBLIGATION, SERIES 2006, IN THE PRINCIPAL AMOUNT OF $3,785,000,
MAKING PROVISIONS FOR THE SECURITY THEREOF, AND ORDAINING
OTHER MATTERS RELATING TO THE SUBJECT
THE STATE OF TEXAS §
COUNTIES OF DALLAS AND DENTON §
CITY OF COPPELL §
WHEREAS, the City deems it advisable to give notice of intention to issue Combination Tax and
Certificates of Obligation, in the maximum amount of $3,785,000, for the purpose of paying, in whole or
in part, contractual obligations for acquiring, constructing and equipping a new Senior Citizens Center
and constructing and equipping the Town Center Master Plan Park improvements, and for paying legal,
fiscal, and engineering fees in connection with such projects; and
WHEREAS, the Certificates of Obligation hereinafter authorized and designated are to be issued
and delivered for cash pursuant to Subchapter C of Chapter 271 of the Local Government Code, and
Chapter 367, Transportation Code; and
WHEREAS, the City Council has heretofore, on the 25th day of July, 2006, adopted a resolution
authorizing and directing the City Secretary to give notice of intention to issue Certificates of Obligation;
and
WHEREAS, said notice has been duly published in the Citizens Advocate, which is a newspaper
of general circulation in said City, in its issues of July 28, 2006 and August 4, 2006; and
WHEREAS, the City received no petition from the qualified electors of the City protesting the
issuance of such Certificates of Obligation; and
WHEREAS, the meeting was open to the public and public notice of the time, place and purpose
of said meeting was given pursuant to Chapter 551, Texas Government Code.
THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COPPELL:
Section 1. AMOUNT AND PURPOSE OF THE CERTIFICATES OF OBLIGATION. The
certificate of obligation or certificates of obligation of the City of Coppell (the "Issuer") are hereby
authorized to be issued and delivered, in the aggregate principal amount of $3,785,000, for the purpose of
paying, in whole or in part, contractual obligations for acquiring, constructing and equipping a new
Senior Citizens Center and constructing and equipping the Town Center Master Plan Park improvements,
and for paying legal, fiscal, and engineering fees in connection with such projects.
Section 2. DESIGNATION OF THE CERTIFICATES OF OBLIGATION. Each certificate
of obligation issued pursuant to this Ordinance shall be designated: "CITY OF COPPELL, TEXAS
COMBINATION TAX AND REVENUE CERTIFICATE OF OBLIGATION, SERIES 2006", and
initially there shall be issued, sold, and delivered hereunder a single fully registered certificate of
obligation, without interest coupons, payable in installments of principal (the "Initial Certificate of
Obligation"), but the Initial Certificate of Obligation may be assigned and transferred and/or converted
into and exchanged for a like aggregate principal amount of fully registered certificates of obligation,
2
without interest coupons, having serial maturities, and in the denomination or denominations of $5,000 or
any integral multiple of $5,000, all in the manner hereinafter provided. The term "Certificates of
Obligation" as used in this Ordinance shall mean and include collectively the Initial Certificate of
Obligation and all substitute certificates of obligation exchanged therefor, as well as all other substitute
certificates of obligation and replacement certificates of obligation issued pursuant hereto, and the term
"Certificate of Obligation" shall mean any of the Certificates of Obligation.
Section 3. INITIAL DATE, DENOMINATION, NUMBER, MATURITIES, INITIAL
REGISTERED OWNER, AND CHARACTERISTICS OF THE INITIAL CERTIFICATE OF
OBLIGATION. (a) The Initial Certificate of Obligation is hereby authorized to be issued, sold, and
delivered hereunder as a single fully registered Certificate of Obligation, without interest coupons, dated
August 15, 2006, in the denomination and aggregate principal amount of $3,785,000, numbered R-1,
payable in annual installments of principal to the initial registered owner thereof, to-wit:
____________________________, or to the registered assignee or assignees of said Certificate of
Obligation or any portion or portions thereof (in each case, the "registered owner"), with the annual
installments of principal of the Initial Certificate of Obligation to be payable on the dates, respectively,
and in the principal amounts, respectively, stated in the FORM OF INITIAL CERTIFICATE OF
OBLIGATION set forth in this Ordinance.
(b) The Initial Certificate of Obligation (i) may be prepaid or redeemed prior to the respective
scheduled due dates of installments of principal thereof, (ii) may be assigned and transferred, (iii) may be
converted and exchanged for other Certificates of Obligation, (iv) shall have the characteristics, and (v)
shall be signed and sealed, and the principal of and interest on the Initial Certificate of Obligation shall be
payable, all as provided, and in the manner required or indicated, in the FORM OF INITIAL
CERTIFICATE OF OBLIGATION set forth in this Ordinance.
Section 4. INTEREST. The unpaid principal balance of the Initial Certificate of Obligation
shall bear interest from the date of the Initial Certificate of Obligation, and will be calculated on the basis
of a 360-day year of twelve 30-day months to the respective scheduled due dates, or to the respective
dates of prepayment or redemption, of the installments of principal of the Initial Certificate of Obligation,
and said interest shall be payable, all in the manner provided and at the rates and on the dates stated in the
FORM OF INITIAL CERTIFICATE OF OBLIGATION set forth in this Ordinance.
Section 5. FORM OF INITIAL CERTIFICATE OF OBLIGATION. The form of the Initial
Certificate of Obligation, including the form of Registration Certificate of the Comptroller of Public
Accounts of the State of Texas to be endorsed on the Initial Certificate of Obligation, shall be
substantially as follows:
3
FORM OF INITIAL CERTIFICATE OF OBLIGATION
NO. R-1 $3,785,000
UNITED STATES OF AMERICA
STATE OF TEXAS
COUNTIES OF DALLAS AND DENTON
CITY OF COPPELL, TEXAS
COMBINATION TAX AND REVENUE
CERTIFICATE OF OBLIGATION, SERIES 2006
THE CITY OF COPPELL, IN DALLAS AND DENTON COUNTIES (the "Issuer"), being a
political subdivision of the State of Texas, hereby promises to pay to
_____________________________
or to the registered assignee or assignees of this Certificate of Obligation or any portion or portions hereof
(in each case, the "registered owner") the aggregate principal amount of
THREE MILLION SEVEN HUNDRED EIGHTY FIVE THOUSAND DOLLARS
in annual installments of principal due and payable on February 1 in each of the years, and in the
respective principal amounts, as set forth in the following schedule:
YEAR AMOUNT YEAR AMOUNT
2007 $125,000 2017 $ 185,000
2008 125,000 2018 195,000
2009 130,000 2019 205,000
2010 135,000 2020 215,000
2011 140,000 2021 225,000
2012 145,000 2022 235,000
2013 155,000 2023 245,000
2014 160,000 2024 260,000
2015 165,000 2025 275,000
2016 175,000 2026 290,000
and to pay interest, from the date of this Initial Certificate of Obligation, on the balance of each such
installment of principal, respectively, from time to time remaining unpaid, at the rates as follows:
maturity 2007, _____% maturity 2017, _____%
maturity 2008, _____% maturity 2018, _____%
maturity 2009, _____% maturity 2019, _____%
maturity 2010, _____% maturity 2020, _____%
maturity 2011, _____% maturity 2021, _____%
maturity 2012, _____% maturity 2022, _____%
maturity 2013, _____% maturity 2023, _____%
maturity 2014, _____% maturity 2024, _____%
maturity 2015, _____% maturity 2025, _____%
4
maturity 2016, _____% maturity 2026, _____%
with said interest being payable on February 1, 2007 and semiannually on each August 1 and February 1
thereafter while this Certificate of Obligation or any portion hereof is outstanding and unpaid.
THE INSTALLMENTS OF PRINCIPAL OF AND THE INTEREST ON this Certificate of
Obligation are payable in lawful money of the United States of America, without exchange or collection
charges. The installments of principal and the interest on this Certificate of Obligation are payable to the
registered owner hereof through the services of U.S. BANK NATIONAL ASSOCIATION, HOUSTON,
TEXAS, which is the "Paying Agent/Registrar" for this Certificate of Obligation. Payment of all
principal of and interest on this Certificate of Obligation shall be made by the Paying Agent/Registrar to
the registered owner hereof on each principal and/or interest payment date by check or draft, dated as of
such date, drawn by the Paying Agent/Registrar on, and payable solely from, funds of the Issuer required
by the ordinance authorizing the issuance of this Certificate of Obligation (the "Certificate of Obligation
Ordinance") to be on deposit with the Paying Agent/Registrar for such purpose as hereinafter provided;
and such check or draft shall be sent by the Paying Agent/Registrar by United States mail, first-class
postage prepaid, on each such principal and/or interest payment date, to the registered owner hereof, at
the address of the registered owner, as it appeared on the 15th day of the month next preceding each such
date (the "Record Date") on the Registration Books kept by the Paying Agent/Registrar, as hereinafter
described. The Issuer covenants with the registered owner of this Certificate of Obligation that on or
before each principal and/or interest payment date for this Certificate of Obligation it will make available
to the Paying Agent/ Registrar, from the "Interest and Sinking Fund" created by the Certificate of
Obligation Ordinance, the amounts required to provide for the payment, in immediately available funds,
of all principal of and interest on this Certificate of Obligation, when due.
IF THE DATE for the payment of the principal of or interest on this Certificate of Obligation
shall be a Saturday, Sunday, a legal holiday, or a day on which banking institutions in the city where the
Paying Agent/Registrar is located are authorized by law or executive order to close, then the date for such
payment shall be the next succeeding day which is not such a Saturday, Sunday, legal holiday, or day on
which banking institutions are authorized to close; and payment on such date shall have the same force
and effect as if made on the original date payment was due.
THIS CERTIFICATE OF OBLIGATION has been authorized in accordance with the
Constitution and laws of the State of Texas, in the principal amount of $3,785,000, for the purpose of
paying, in whole or in part, contractual obligations for acquiring, constructing and equipping a new
Senior Citizens Center and constructing and equipping the Town Center Master Plan Park improvements,
and for paying legal, fiscal, and engineering fees in connection with such projects.
ON FEBRUARY 1, 2016, or any date thereafter, the unpaid installments of principal of this
Certificate of Obligation may be prepaid or redeemed prior to their scheduled due dates, at the option of
the Issuer, with funds derived from any available source, as a whole, or in part, and, if in part, the Issuer
shall select and designate the maturity, or maturities, and the amount that is to be redeemed, and if less
than a whole maturity is to be called, the Issuer shall direct the Paying Agent/Registrar to call by lot
(provided that a portion of this Certificate of Obligation may be redeemed only in an integral multiple of
$5,000), at the redemption price of the principal amount, plus accrued interest to the date fixed for
prepayment or redemption.
THE CERTIFICATES OF OBLIGATION OF THIS SERIES scheduled to mature on
February 1, 20__ and February 1, 20__ are subject to mandatory redemption prior to their scheduled
5
maturities, and shall be redeemed by the Issuer, in part, prior to their scheduled maturities, with
money from the Mandatory Redemption Account of the Interest and Sinking Fund, with the
particular Certificates of Obligation or portion thereof to be redeemed to be selected by the Paying
Agent/Registrar, by lot or other customary method (provided that a portion of a Certificate of
Obligation may be redeemed only in an integral multiple of $5,000) at a redemption price equal to
the par or principal amount thereof and accrued interest to the date of redemption, on the dates, and
in the principal amounts, respectively, as shown in the following schedules:
FEBRUARY 1, 20__ MATURITY
Mandatory Redemption Dates Principal Amounts
February 1, 20__ $ (payment at maturity)
FEBRUARY 1, 20__ MATURITY
Mandatory Redemption Dates Principal Amounts
February 1, 20__ $ (payment at maturity)
The principal amount of the Certificates of Obligation required to be redeemed on each such redemption
date pursuant to the foregoing operation of the Mandatory Redemption Account shall be reduced, at the
option of the Issuer, by the principal amount of any Certificates of Obligation, which at least 45 days
prior to the mandatory sinking fund redemption date, (1) shall have been acquired by the Issuer and
delivered to the Paying Agent/Registrar for cancellation, or (2) shall have been purchased and canceled
by the Paying Agent/Registrar at the request of the Issuer at a price not exceeding the principal amount of
such Certificates of Obligation plus accrued interest to the date of purchase, or (3) have been redeemed
pursuant to the optional redemption provisions set forth above and not theretofore credited against a
mandatory sinking fund redemption. During any period in which ownership of the Certificates of
Obligation is determined by a book entry at a securities depository for the Certificates of Obligation, if
fewer than all of the Certificates of Obligation of the same maturity and bearing the same interest rate are
to be redeemed, the particular Certificates of Obligation of such maturity and bearing such interest rate
shall be selected in accordance with the arrangements between the Issuer and the securities depository.
AT LEAST 30 days prior to the date fixed for any such prepayment or redemption a written
notice of such prepayment or redemption shall be mailed by the Paying Agent/Registrar to the registered
owner hereof. By the date fixed for any such prepayment or redemption due provision shall be made by
the Issuer with the Paying Agent/Registrar for the payment of the required prepayment or redemption
price for this Certificate of Obligation or the portion hereof which is to be so prepaid or redeemed, plus
accrued interest thereon to the date fixed for prepayment or redemption. If such written notice of
prepayment or redemption is given, and if due provision for such payment is made, all as provided above,
this Certificate of Obligation, or the portion thereof which is to be so prepaid or redeemed, thereby
automatically shall be treated as prepaid or redeemed prior to its scheduled due date, and shall not bear
interest after the date fixed for its prepayment or redemption, and shall not be regarded as being
outstanding except for the right of the registered owner to receive the prepayment or redemption price
plus accrued interest to the date fixed for prepayment or redemption from the Paying Agent/Registrar out
of the funds provided for such payment. The Paying Agent/Registrar shall record in the Registration
Books all such prepayments or redemptions of principal of this Certificate of Obligation or any portion
hereof.
6
THIS CERTIFICATE OF OBLIGATION, to the extent of the unpaid or unredeemed principal
balance hereof, or any unpaid and unredeemed portion hereof in any integral multiple of $5,000, may be
assigned by the initial registered owner hereof and shall be transferred only in the Registration Books of
the Issuer kept by the Paying Agent/Registrar acting in the capacity of registrar for this Certificate of
Obligation, upon the terms and conditions set forth in the Certificate of Obligation Ordinance. Among
other requirements for such transfer, this Certificate of Obligation must be presented and surrendered to
the Paying Agent/Registrar for cancellation, together with proper instruments of assignment, in form and
with guarantee of signatures satisfactory to the Paying Agent/Registrar, evidencing assignment by the
initial registered owner of this Certificate of Obligation, or any portion or portions hereof in any integral
multiple of $5,000, to the assignee or assignees in whose name or names this Certificate of Obligation or
any such portion or portions hereof is or are to be transferred and registered. Any instrument or
instruments of assignment satisfactory to the Paying Agent/Registrar may be used to evidence the
assignment of this Certificate of Obligation or any such portion or portions hereof by the initial registered
owner hereof. A new certificate of obligation or certificates of obligation payable to such assignee or
assignees (which then will be the new registered owner or owners of such new certificate of obligation or
certificates of obligation) or to the initial registered owner as to any portion of this Certificate of
Obligation which is not being assigned and transferred by the initial registered owner, shall be delivered
by the Paying Agent/Registrar in conversion of and exchange for this Certificate of Obligation or any
portion or portions hereof, but solely in the form and manner as provided in the next paragraph hereof for
the conversion and exchange of this Certificate of Obligation or any portion hereof. The registered owner
of this Certificate of Obligation shall be deemed and treated by the Issuer and the Paying Agent/Registrar
as the absolute owner hereof for all purposes, including payment and discharge of liability upon this
Certificate of Obligation to the extent of such payment, and the Issuer and the Paying Agent/Registrar
shall not be affected by any notice to the contrary.
AS PROVIDED above and in the Certificate of Obligation Ordinance, this Certificate of
Obligation, to the extent of the unpaid or unredeemed principal balance hereof, may be converted into and
exchanged for a like aggregate principal amount of fully registered certificates of obligation, without
interest coupons, payable to the assignee or assignees duly designated in writing by the initial registered
owner hereof, or to the initial registered owner as to any portion of this Certificate of Obligation which is
not being assigned and transferred by the initial registered owner, in any denomination or denominations
in any integral multiple of $5,000 (subject to the requirement hereinafter stated that each substitute
certificate of obligation issued in exchange for any portion of this Certificate of Obligation shall have a
single stated principal maturity date), upon surrender of this Certificate of Obligation to the Paying
Agent/Registrar for cancellation, all in accordance with the form and procedures set forth in the
Certificate of Obligation Ordinance. If this Certificate of Obligation or any portion hereof is assigned and
transferred or converted each certificate of obligation issued in exchange for any portion hereof shall have
a single stated principal maturity date corresponding to the due date of the installment of principal of this
Certificate of Obligation or portion hereof for which the substitute certificate of obligation is being
exchanged, and shall bear interest at the rate applicable to and borne by such installment of principal or
portion thereof. Such certificates of obligation, respectively, shall be subject to redemption prior to
maturity on the same dates and for the same prices as the corresponding installment of principal of this
Certificate of
Obligation or portion hereof for which they are being exchanged. No such certificate of obligation shall
be payable in installments, but shall have only one stated principal maturity date. AS PROVIDED IN
THE CERTIFICATE OF OBLIGATION ORDINANCE, THIS CERTIFICATE OF OBLIGATION IN
ITS PRESENT FORM MAY BE ASSIGNED AND TRANSFERRED OR CONVERTED ONCE ONLY,
and to one or more assignees, but the certificates of obligation issued and delivered in exchange for this
Certificate of Obligation or any portion hereof may be assigned, transferred and converted, subsequently,
7
as provided in the Certificate of Obligation Ordinance. The Issuer shall pay the Paying Agent/Registrar's
standard or customary fees and charges for transferring, converting, and exchanging this Certificate of
Obligation or any portion thereof, but the one requesting such transfer, conversion, and exchange shall
pay any taxes or governmental charges required to be paid with respect thereto. The Paying
Agent/Registrar shall not be required to make any such assignment, conversion, or exchange (i) during
the period commencing with the close of business on any Record Date and ending with the opening of
business on the next following principal or interest payment date, or, (ii) with respect to any Certificate of
Obligation or portion thereof called for prepayment or redemption prior to maturity, within 45 days prior
to its prepayment or redemption date.
IN THE EVENT any Paying Agent/Registrar for this Certificate of Obligation is changed by the
Issuer, resigns, or otherwise ceases to act as such, the Issuer has covenanted in the Certificate of
Obligation Ordinance that it promptly will appoint a competent and legally qualified substitute therefor,
and promptly will cause written notice thereof to be mailed to the registered owner of this Certificate of
Obligation.
IT IS HEREBY certified, recited, and covenanted that this Certificate of Obligation has been duly
and validly authorized, issued, sold, and delivered; that all acts, conditions, and things required or proper
to be performed, exist, and be done precedent to or in the authorization, issuance, and delivery of this
Certificate of Obligation have been performed, existed, and been done in accordance with law; that this
Certificate of Obligation is a general obligation of the Issuer, issued on the full faith and credit thereof;
and that ad valorem taxes sufficient to provide for the payment of the interest on and principal of this
Certificate of Obligation, as such interest and principal come due, have been levied and ordered to be
levied against all taxable property in the Issuer, and have been pledged for such payment, within the limit
prescribed by law, and that this Certificate of Obligation is additionally secured by and payable from the
limited surplus revenues of the Issuer's Waterworks and Sewer System, remaining after payment of all
operation and maintenance expenses thereof, and all debt service, reserve, and other requirements in
connection with all of the Issuer's obligations (now or hereafter outstanding), which are payable from all
or any part of the Net Revenues of the Issuer's Waterworks and Sewer System.
BY BECOMING the registered owner of this Certificate of Obligation, the registered owner
thereby acknowledges all of the terms and provisions of the Certificate of Obligation Ordinance, agrees to
be bound by such terms and provisions, acknowledges that the Certificate of Obligation Ordinance is duly
recorded and available for inspection in the official minutes and records of the governing body of the
Issuer, and agrees that the terms and provisions of this Certificate of Obligation and the Certificate of
Obligation Ordinance constitute a contract between the registered owner hereof and the Issuer.
IN WITNESS WHEREOF, the Issuer has caused this Certificate of Obligation to be signed with
the manual or facsimile signature of the Mayor of the Issuer, countersigned with the manual or facsimile
signature of the City Secretary of the Issuer, and has caused the official seal of the Issuer to be duly
impressed, or placed in facsimile, on this Certificate of Obligation to be dated August 15, 2006.
____________________________ _________________________
City Secretary Mayor
(CITY SEAL)
8
FORM OF REGISTRATION CERTIFICATE
OF THE COMPTROLLER OF PUBLIC ACCOUNTS:
COMPTROLLER'S REGISTRATION CERTIFICATE:
REGISTER NO.
I hereby certify that this Certificate of Obligation has been examined, certified as to validity, and
approved by the Attorney General of the State of Texas, and that this Certificate of Obligation has been
registered by the Comptroller of Public Accounts of the State of Texas.
Witness my signature and seal this
______________________________________
Comptroller of Public Accounts of the State of Texas
(COMPTROLLER'S SEAL)
Section 6. ADDITIONAL CHARACTERISTICS OF THE CERTIFICATES OF
OBLIGATION. Registration and Transfer.(a) The Issuer shall keep or cause to be kept at the principal
corporate trust office of U.S. Bank National Association, Houston, Texas, (the "Paying Agent/Registrar")
books or records of the registration and transfer of the Certificates of Obligation (the "Registration
Books"), and the Issuer hereby appoints the Paying Agent/Registrar as its registrar and transfer agent to
keep such books or records and make such transfers and registrations under such reasonable regulations
as the Issuer and Paying Agent/Registrar may prescribe; and the Paying Agent/Registrar shall make such
transfers and registrations as herein provided. The Paying Agent/Registrar shall obtain and record in the
Registration Books the address of the registered owner of each Certificate of Obligation to which
payments with respect to the Certificates of Obligation shall be mailed, as herein provided; but it shall be
the duty of each registered owner to notify the Paying Agent/Registrar in writing of the address to which
payments shall be mailed, and such interest payments shall not be mailed unless such notice has been
given. The Issuer shall have the right to inspect the Registration Books during regular business hours of
the Paying Agent/Registrar, but otherwise the Paying Agent/Registrar shall keep the Registration Books
confidential and, unless otherwise required by law, shall not permit their inspection by any other entity.
Registration of each Certificate of Obligation may be transferred in the Registration Books only upon
presentation and surrender of such Certificate of Obligation to the Paying Agent/Registrar for transfer of
registration and cancellation, together with proper written instruments of assignment, in form and with
guarantee of signatures satisfactory to the Paying Agent/ Registrar, (i) evidencing the assignment of the
Certificate of Obligation, or any portion thereof in any integral multiple of $5,000, to the assignee or
assignees thereof, and (ii) the right of such assignee or assignees to have the Certificate of Obligation or
any such portion thereof registered in the name of such assignee or assignees. Upon the assignment and
transfer of any Certificate of Obligation or any portion thereof, a new substitute Certificate of Obligation
or Certificates of Obligation shall be issued in conversion and exchange therefor in the manner herein
provided. The Initial Certificate of Obligation, to the extent of the unpaid or unredeemed principal
balance thereof, may be assigned and transferred by the initial registered owner thereof once only, and to
one or more assignees designated in writing by the initial registered owner thereof. All Certificates of
Obligation issued and delivered in conversion of and exchange for the Initial Certificate of Obligation
shall be in any denomination or denominations of any integral multiple of $5,000 (subject to the
requirement hereinafter stated that each substitute Certificate of Obligation shall have a single stated
principal maturity date), shall be in the form prescribed in the FORM OF SUBSTITUTE CERTIFICATE
OF OBLIGATION set forth in this Ordinance, and shall have the characteristics, and may be assigned,
transferred, and converted as hereinafter provided. If the Initial Certificate of Obligation or any portion
9
thereof is assigned and transferred or converted the Initial Certificate of Obligation must be surrendered
to the Paying Agent/Registrar for cancellation, and each Certificate of Obligation issued in exchange for
any portion of the Initial Certificate of Obligation shall have a single stated principal maturity date, and
shall not be payable in installments; and each such Certificate of Obligation shall have a principal
maturity date corresponding to the due date of the installment of principal or portion thereof for which the
substitute Certificate of Obligation is being exchanged; and each such Certificate of Obligation shall bear
interest at the single rate applicable to and borne by such installment of principal or portion thereof for
which it is being exchanged. If only a portion of the Initial Certificate of Obligation is assigned and
transferred, there shall be delivered to and registered in the name of the initial registered owner substitute
Certificates of Obligation in exchange for the unassigned balance of the Initial Certificate of Obligation in
the same manner as if the initial registered owner were the assignee thereof. If any Certificate of
Obligation or portion thereof other than the Initial Certificate of Obligation is assigned and transferred or
converted each Certificate of Obligation issued in exchange therefor shall have the same principal
maturity date and bear interest at the same rate as the Certificate of Obligation for which it is exchanged.
A form of assignment shall be printed or endorsed on each Certificate of Obligation, excepting the Initial
Certificate of Obligation, which shall be executed by the registered owner or its duly authorized attorney
or representative to evidence an assignment thereof. Upon surrender of any Certificates of Obligation or
any portion or portions thereof for transfer of registration, an authorized representative of the Paying
Agent/Registrar shall make such transfer in the Registration Books, and shall deliver a new fully
registered substitute Certificate of Obligation or Certificates of Obligation, having the characteristics
herein described, payable to such assignee or assignees (which then will be the registered owner or
owners of such new Certificate of Obligation or Certificates of Obligation), or to the previous registered
owner in case only a portion of a Certificate of Obligation is being assigned and transferred, all in
conversion of and exchange for said assigned Certificate of Obligation or Certificates of Obligation or
any portion or portions thereof, in the same form and manner, and with the same effect, as provided in
Section 6(d), below, for the conversion and exchange of Certificates of Obligation by any registered
owner of a Certificate of Obligation. The Issuer shall pay the Paying Agent/Registrar's standard or
customary fees and charges for making such transfer and delivery of a substitute Certificate of Obligation
or Certificates of Obligation, but the one requesting such transfer shall pay any taxes or other
governmental charges required to be paid with respect thereto. The Paying Agent/Registrar shall not be
required to make transfers of registration of any Certificate of Obligation or any portion thereof (i) during
the period commencing with the close of business on any Record Date and ending with the opening of
business on the next following principal or interest payment date, or, (ii) with respect to any Certificate of
Obligation or any portion thereof called for redemption prior to maturity, within 45 days prior to its
redemption date.
(b) Ownership of Certificates of Obligation. The entity in whose name any Certificate of
Obligation shall be registered in the Registration Books at any time shall be deemed and treated as the
absolute owner thereof for all purposes of this Ordinance, whether or not such Certificate of Obligation
shall be overdue, and the Issuer and the Paying Agent/Registrar shall not be affected by any notice to the
contrary; and payment of, or on account of, the principal of, premium, if any, and interest on any such
Certificate of Obligation shall be made only to such registered owner. All such payments shall be valid
and effectual to satisfy and discharge the liability upon such Certificate of Obligation to the extent of the
sum or sums so paid.
(c) Payment of Certificates of Obligation and Interest. The Issuer hereby further appoints the
Paying Agent/Registrar to act as the paying agent for paying the principal of and interest on the
Certificates of Obligation, and to act as its agent to convert and exchange or replace Certificates of
Obligation, all as provided in this Ordinance. The Paying Agent/Registrar shall keep proper records of all
10
payments made by the Issuer and the Paying Agent/Registrar with respect to the Certificates of
Obligation, and of all conversions and exchanges of Certificates of Obligation, and all replacements of
Certificates of Obligation, as provided in this Ordinance. However, in the event of a nonpayment of
interest on a scheduled payment date, and for thirty (30) days thereafter, a new record date for such
interest payment )a "Special Record Date") will be established by the Paying Agent/Registrar, if and
when funds for the payment of such interest have been received from the Issuer. Notice of the Special
Record Date and of the scheduled payment date of the past due interest (which shall be fifteen (15) days
after the Special Record Date) shall be sent at least five (5) business days prior to the Special Record Date
by United States mail, first class postage prepaid, to the address of each Certificate of Obligation holder
appearing on the Security Register at the close of business on the last business day next preceding the
date of mailing of such notice.
(d) Conversion and Exchange or Replacement; Authentication. Each Certificate of Obligation
issued and delivered pursuant to this Ordinance, to the extent of the unpaid or unredeemed principal
balance or principal amount thereof, may, upon surrender of such Certificate of Obligation at the
principal corporate trust office of the Paying Agent/Registrar, together with a written request therefor
duly executed by the registered owner or the assignee or assignees thereof, or its or their duly authorized
attorneys or representatives, with guarantee of signatures satisfactory to the Paying Agent/Registrar, may,
at the option of the registered owner or such assignee or assignees, as appropriate, be converted into and
exchanged for fully registered certificates of obligation, without interest coupons, in the form prescribed
in the FORM OF SUBSTITUTE CERTIFICATE OF OBLIGATION set forth in this Ordinance, in the
denomination of $5,000, or any integral multiple of $5,000 (subject to the requirement hereinafter stated
that each substitute Certificate of Obligation shall have a single stated maturity date), as requested in
writing by such registered owner or such assignee or assignees, in an aggregate principal amount equal to
the unpaid or unredeemed principal balance or principal amount of any Certificate of Obligation or
Certificates of Obligation so surrendered, and payable to the appropriate registered owner, assignee, or
assignees, as the case may be. If the Initial Certificate of Obligation is assigned and transferred or
converted each substitute Certificate of Obligation issued in exchange for any portion of the Initial
Certificate of Obligation shall have a single stated principal maturity date, and shall not be payable in
installments; and each such Certificate of Obligation shall have a principal maturity date corresponding to
the due date of the installment of principal or portion thereof for which the substitute Certificate of
Obligation is being exchanged; and each such Certificate of Obligation shall bear interest at the single rate
applicable to and borne by such installment of principal or portion thereof for which it is being
exchanged. If a portion of any Certificate of Obligation (other than the Initial Certificate of Obligation)
shall be redeemed prior to its scheduled maturity as provided herein, a substitute Certificate of Obligation
or Certificates of Obligation having the same maturity date, bearing interest at the same rate, in the
denomination or denominations of any integral multiple of $5,000 at the request of the registered owner,
and in aggregate principal amount equal to the unredeemed portion thereof, will be issued to the
registered owner upon surrender thereof for cancellation. If any Certificate of Obligation or portion
thereof (other than the Initial Certificate of Obligation) is assigned and transferred or converted, each
Certificate of Obligation issued in exchange therefor shall have the same principal maturity date and bear
interest at the same rate as the Certificate of Obligation for which it is being exchanged. Each substitute
Certificate of Obligation shall bear a letter and/or number to distinguish it from each other Certificate of
Obligation. The Paying Agent/Registrar shall convert and exchange or replace Certificates of Obligation
as provided herein, and each fully registered certificate of obligation delivered in conversion of and
exchange for or replacement of any Certificate of Obligation or portion thereof as permitted or required
by any provision of this Ordinance shall constitute one of the Certificates of Obligation for all purposes of
this Ordinance, and may again be converted and exchanged or replaced. It is specifically provided that
any Certificate of Obligation authenticated in conversion of and exchange for or replacement of another
11
Certificate of Obligation on or prior to the first scheduled Record Date for the Initial Certificate of
Obligation shall bear interest from the date of the Initial Certificate of Obligation, but each substitute
Certificate of Obligation so authenticated after such first scheduled Record Date shall bear interest from
the interest payment date next preceding the date on which such substitute Certificate of Obligation was
so authenticated, unless such Certificate of Obligation is authenticated after any Record Date but on or
before the next following interest payment date, in which case it shall bear interest from such next
following interest payment date; provided, however, that if at the time of delivery of any substitute
Certificate of Obligation the interest on the Certificate of Obligation for which it is being exchanged is
due but has not been paid, then such Certificate of Obligation shall bear interest from the date to which
such interest has been paid in full. THE INITIAL CERTIFICATE OF OBLIGATION issued and
delivered pursuant to this Ordinance is not required to be, and shall not be, authenticated by the Paying
Agent/Registrar, but on each substitute Certificate of Obligation issued in conversion of and exchange for
or replacement of any Certificate of Obligation or Certificates of Obligation issued under this Ordinance
there shall be printed a certificate, in the form substantially as follows:
"PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE
It is hereby certified that this Certificate of Obligation has been issued under the provisions of the
Certificate of Obligation Ordinance described on the face of this Certificate of Obligation; and that this
Certificate of Obligation has been issued in conversion of and exchange for or replacement of a certificate
of obligation, certificates of obligation, or a portion of a certificate of obligation or certificates of
obligation of an issue which originally was approved by the Attorney General of the State of Texas and
registered by the Comptroller of Public Accounts of the State of Texas.
__________________________
Paying Agent/Registrar
Dated __________________ By________________________
Authorized Representative"
An authorized representative of the Paying Agent/Registrar shall, before the delivery of any such
Certificate of Obligation, date and manually sign the above Certificate, and no such Certificate of
Obligation shall be deemed to be issued or outstanding unless such Certificate is so executed. The Paying
Agent/Registrar promptly shall cancel all Certificates of Obligation surrendered for conversion and
exchange or replacement. No additional ordinances, orders, or resolutions need be passed or adopted by
the governing body of the Issuer or any other body or person so as to accomplish the foregoing
conversion and exchange or replacement of any Certificate of Obligation or portion thereof, and the
Paying Agent/Registrar shall provide for the printing, execution, and delivery of the substitute
Certificates of Obligation in the manner prescribed herein, and said Certificates of Obligation shall be of
type composition printed on paper with lithographed or steel engraved borders of customary weight and
strength. Pursuant to Chapter 1201, Texas Government Code, the duty of conversion and exchange or
replacement of Certificates of Obligation as aforesaid is hereby imposed upon the Paying
Agent/Registrar, and, upon the execution of the above Paying Agent/Registrar's Authentication
Certificate, the converted and exchanged or replaced Certificate of Obligation shall be valid,
incontestable, and enforceable in the same manner and with the same effect as the Initial Certificate of
Obligation which originally was issued pursuant to this Ordinance, approved by the Attorney General,
and registered by the Comptroller of Public Accounts. The Issuer shall pay the Paying Agent/Registrar's
standard or customary fees and charges for transferring, converting, and exchanging any Certificate of
Obligation or any portion thereof, but the one requesting any such transfer, conversion, and exchange
shall pay any taxes or governmental charges required to be paid with respect thereto as a condition
precedent to the exercise of such privilege of conversion and exchange. The Paying Agent/Registrar shall
12
not be required to make any such conversion and exchange or replacement of Certificates of Obligation or
any portion thereof (i) during the period commencing with the close of business on any Record Date and
ending with the opening of business on the next following principal or interest payment date, or, (ii) with
respect to any Certificate of Obligation or portion thereof called for redemption prior to maturity, within
45 days prior to its redemption date.
(e) In General. All Certificates of Obligation issued in conversion and exchange or replacement
of any other Certificate of Obligation or portion thereof, (i) shall be issued in fully registered form,
without interest coupons, with the principal of and interest on such Certificates of Obligation to be
payable only to the registered owners thereof, (ii) may be redeemed prior to their scheduled maturities,
(iii) may be transferred and assigned, (iv) may be converted and exchanged for other Certificates of
Obligation, (v) shall have the characteristics, (vi) shall be signed and sealed, and (vii) the principal of and
interest on the Certificates of Obligation shall be payable, all as provided, and in the manner required or
indicated, in the FORM OF SUBSTITUTE CERTIFICATE OF OBLIGATION set forth in this
Ordinance.
(f) Payment of Fees and Charges. The Issuer hereby covenants with the registered owners of the
Certificates of Obligation that it will (i) pay the standard or customary fees and charges of the Paying
Agent/Registrar for its services with respect to the payment of the principal of and interest on the
Certificates of Obligation, when due, and (ii) pay the fees and charges of the Paying Agent/Registrar for
services with respect to the transfer of registration of Certificates of Obligation, and with respect to the
conversion and exchange of Certificates of Obligation solely to the extent above provided in this
Ordinance.
(g) Substitute Paying Agent/Registrar. The Issuer covenants with the registered owners of the
Certificates of Obligation that at all times while the Certificates of Obligation are outstanding the Issuer
will provide a competent and legally qualified bank, trust company, financial institution, or other agency
to act as and perform the services of Paying Agent/Registrar for the Certificates of Obligation under this
Ordinance, and that the Paying Agent/Registrar will be one entity. The Issuer reserves the right to, and
may, at its option, change the Paying Agent/Registrar upon not less than 120 days written notice to the
Paying Agent/Registrar, to be effective not later than 60 days prior to the next principal or interest
payment date after such notice. In the event that the entity at any time acting as Paying Agent/Registrar
(or its successor by merger, acquisition, or other method) should resign or otherwise cease to act as such,
the Issuer covenants that promptly it will appoint a competent and legally qualified bank, trust company,
financial institution, or other agency to act as Paying Agent/Registrar under this Ordinance. Upon any
change in the Paying Agent/Registrar, the previous Paying Agent/Registrar promptly shall transfer and
deliver the Registration Books (or a copy thereof), along with all other pertinent books and records
relating to the Certificates of Obligation, to the new Paying Agent/Registrar designated and appointed by
the Issuer. Upon any change in the Paying Agent/Registrar, the Issuer promptly will cause a written
notice thereof to be sent by the new Paying Agent/Registrar to each registered owner of the Certificates of
Obligation, by United States mail, first-class postage prepaid, which notice also shall give the address of
the new Paying Agent/Registrar. By accepting the position and performing as such, each Paying
Agent/Registrar shall be deemed to have agreed to the provisions of this Ordinance, and a certified copy
of this Ordinance shall be delivered to each Paying Agent/Registrar.
(h) Book-Entry Only System. The Certificates of Obligation issued in exchange for the
Certificates of Obligation initially issued to the purchaser specified herein shall be initially issued in the
form of a separate single fully registered Certificate of Obligation for each of the maturities thereof.
Upon initial issuance, the ownership of each such Certificate of Obligation shall be registered in the name
of Cede & Co., as nominee of Depository Trust Company of New York ("DTC"), and except as provided
13
in subsection (f) hereof, all of the outstanding Certificates of Obligation shall be registered in the name of
Cede & Co., as nominee of DTC.
With respect to Certificates of Obligation registered in the name of Cede & Co., as nominee of
DTC, the Issuer and the Paying Agent/Registrar shall have no responsibility or obligation to any DTC
Participant or to any person on behalf of whom such a DTC Participant holds an interest on the
Certificates of Obligation. Without limiting the immediately preceding sentence, the Issuer and the
Paying Agent/Registrar shall have no responsibility or obligation with respect to (i) the accuracy of the
records of DTC, Cede & Co. or any DTC Participant with respect to any ownership interest in the
Certificates of Obligation, (ii) the delivery to any DTC Participant or any other person, other than a
Certificate of Obligation holder, as shown on the Registration Books, of any notice with respect to the
Certificates of Obligation, including any notice of redemption, or (iii) the payment to any DTC
Participant or any other person, other than a Certificate of Obligation holder, as shown in the Registration
Books of any amount with respect to principal of, premium, if any, or interest on, as the case may be, the
Certificates of Obligation. Notwithstanding any other provision of this Ordinance to the contrary, the
Issuer and the Paying Agent/Registrar shall be entitled to treat and consider the person in whose name
each Certificate of Obligation is registered in the Registration Books as the absolute owner of such
Certificate of Obligation for the purpose of payment of principal, premium, if any, and interest, as the
case may be, with respect to such Certificate of Obligation, for the purpose of giving notices of
redemption and other matters with respect to such Certificate of Obligation, for the purpose of registering
transfers with respect to such Certificate of Obligation, and for all other purposes whatsoever. The
Paying Agent/Registrar shall pay all principal of, premium, if any, and interest on the Certificates of
Obligation only to or upon the order of the respective owners, as shown in the Registration Books as
provided in this Ordinance, or their respective attorneys duly authorized in writing, and all such payments
shall be valid and effective to fully satisfy and discharge the Issuer's obligations with respect to payment
of principal of, premium, if any, and interest on, or as the case may be, the Certificates of Obligation to
the extent of the sum or sums so paid. No person other than an owner, as shown in the Registration
Books, shall receive a Certificate of Obligation certificate evidencing the obligation of the Issuer to make
payments of principal, premium, if any, and interest, as the case may be, pursuant to this Ordinance.
Upon delivery by DTC to the Paying Agent/Registrar of written notice to the effect that DTC has
determined to substitute a new nominee in place of Cede & Co., and subject to the provisions in this
Ordinance with respect to interest checks being mailed to the registered owner at the close of business on
the Record Date, the word "Cede & Co." in this Ordinance shall refer to such new nominee of DTC.
(i) Successor Securities Depository; Transfers Outside Book-Entry Only System. In the event
that the Issuer or the Paying Agent/Registrar determines that DTC is incapable of discharging its
responsibilities described herein and in the representation letter of the Issuer to DTC and that it is in the
best interest of the beneficial owners of the Certificates of Obligation that they be able to obtain
certificated Certificates of Obligation, the Issuer or the Paying Agent/Registrar shall (i) appoint a
successor securities depository, qualified to act as such under Section 17(a) of the Securities and
Exchange Act of 1934, as amended, notify DTC and DTC Participants of the appointment of such
successor securities depository and transfer one or more separate Certificates of Obligation to such
successor securities depository or (ii) notify DTC and DTC Participants of the availability through DTC
of Certificates of Obligation and transfer one or more separate Certificates of Obligation to DTC
Participants having Certificates of Obligation credited to their DTC accounts. In such event, the
Certificates of Obligation shall no longer be restricted to being registered in the Registration Books in the
name of Cede & Co., as nominee of DTC, but may be registered in the name of the successor securities
depository, or its nominee, or in whatever name or names Certificate of Obligation holders transferring or
exchanging Certificates of Obligation shall designate, in accordance with the provisions of this
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Ordinance.
(j) Payments to Cede & Co. Notwithstanding any other provision of this Ordinance to the
contrary, so long as any Certificate of Obligation is registered in the name of Cede & Co., as nominee of
DTC, all payments with respect to principal of, premium, if any, and interest on, or as the case may be,
such Certificate of Obligation and all notices with respect to such Certificate of Obligation shall be made
and given, respectively, in the manner provided in the representation letter of the Issuer to DTC.
Section 7. FORM OF SUBSTITUTE CERTIFICATES OF OBLIGATION. The form of all
Certificates of Obligation issued in conversion and exchange or replacement of any other Certificate of
Obligation or portion thereof, including the form of Paying Agent/Registrar's Certificate to be printed on
each of such Certificates of Obligation, and the Form of Assignment to be printed on each of the
Certificates of Obligation, shall be, respectively, substantially as follows, with such appropriate
variations, omissions, or insertions as are permitted or required by this Ordinance.
FORM OF SUBSTITUTE CERTIFICATE OF OBLIGATION
NO. ____ PRINCIPAL AMOUNT
$__________________
UNITED STATES OF AMERICA
STATE OF TEXAS
COUNTIES OF DALLAS AND DENTON
CITY OF COPPELL, TEXAS
COMBINATION TAX AND REVENUE
CERTIFICATE OF OBLIGATION, SERIES 2006
INTEREST RATE MATURITY DATE DATE OF ORIGINAL ISSUE CUSIP NO.
August 15, 2006
ON THE MATURITY DATE specified above, THE CITY OF COPPELL (the "Issuer") in the
COUNTIES OF DALLAS AND DENTON, being a political subdivision of the State of Texas, hereby
promises to pay to
______________________________________________
or to the registered assignee hereof (either being hereinafter called the "registered owner") the principal
amount of
______________________________________________
and to pay interest thereon from August 15, 2006, to the maturity date specified above, or the date of
redemption prior to maturity, at the interest rate per annum specified above with interest being payable on
February 1, 2007, and semiannually on each August 1 and February 1 thereafter; except that if the date of
authentication of this Certificate of Obligation is later than January 15, 2007, such principal amount shall
bear interest from the interest payment date next preceding the date of authentication, unless such date of
authentication is after any Record Date (hereinafter defined) but on or before the next following interest
payment date, in which case such principal amount shall bear interest from such next following interest
payment date.
15
THE PRINCIPAL OF AND INTEREST ON this Certificate of Obligation are payable in lawful
money of the United States of America, without exchange or collection charges. The principal of this
Certificate of Obligation shall be paid to the registered owner hereof upon presentation and surrender of
this Certificate of Obligation at maturity or upon the date fixed for its redemption prior to maturity, at the
principal corporate trust office of U.S. BANK NATIONAL ASSOCIATION, HOUSTON, TEXAS,
which is the "Paying Agent/Registrar" for this Certificate of Obligation. The payment of interest on this
Certificate of Obligation shall be made by the Paying Agent/Registrar to the registered owner hereof on
the interest payment date by check or draft, dated as of such interest payment date, drawn by the Paying
Agent/Registrar on, and payable solely from, funds of the Issuer required by the Ordinance authorizing
the issuance of the Certificates of Obligation (the "Certificate of Obligation Ordinance") to be on deposit
with the Paying Agent/Registrar for such purpose as hereinafter provided; and such check or draft shall be
sent by the Paying Agent/Registrar by United States mail, first-class postage prepaid, on each such
interest payment date, to the registered owner hereof, at the address of the registered owner, as it appeared
on the 15th day of the month next preceding such date (the "Record Date") on the Registration Books
kept by the Paying Agent/Registrar, as hereinafter described, or by such other method acceptable to the
Paying Agent/Registrar requested by, and at the risk and expense of, the registered owner. Any accrued
interest due upon the redemption of this Certificate of Obligation prior to maturity as provided herein
shall be paid to the registered owner at the principal corporate trust office of the Paying Agent/Registrar
upon presentation and surrender of this Certificate of Obligation for redemption and payment at the
principal corporate trust office of the Paying Agent/Registrar. The Issuer covenants with the registered
owner of this Certificate of Obligation that on or before each principal payment date, interest payment
date, and accrued interest payment date for this Certificate of Obligation, it will make available to the
Paying Agent/Registrar, from the "Interest and Sinking Fund" created by the Certificate of Obligation
Ordinance, the amounts required to provide for the payment, in immediately available funds, of all
principal of and interest on the Certificates of Obligation, when due.
IF THE DATE for the payment of the principal of or interest on this Certificate of Obligation
shall be a Saturday, Sunday, a legal holiday, or a day on which banking institutions in the city where the
Paying Agent/Registrar is located are authorized by law or executive order to close, then the date for such
payment shall be the next succeeding day which is not such a Saturday, Sunday, legal holiday, or day on
which banking institutions are authorized to close; and payment on such date shall have the same force
and effect as if made on the original date payment was due.
THIS CERTIFICATE OF OBLIGATION is one of an issue of Certificates of Obligation initially
dated August 15, 2006, authorized in accordance with the Constitution and laws of the State of Texas in
the principal amount of $3,785,000, for the purpose of paying, in whole or in part, contractual obligations
for acquiring, constructing and equipping a new Senior Citizens Center and constructing and equipping
the Town Center Master Plan Park improvements, and for paying legal, fiscal, and engineering fees in
connection with such projects.
ON FEBRUARY 1, 2016, or any date thereafter, the Certificates of Obligation of this Series may
be redeemed prior to their scheduled maturities, at the option of the Issuer, with funds derived from any
available source, as a whole, or in part, and, if in part, the maturity or maturities of Certificates of
Obligation and the amounts thereof, to be redeemed shall be selected and designated by the Issuer, and
the Issuer shall direct the Paying Agent/Registrar to call by lot Certificates of Obligation, or portions
thereof within such maturities and in such principal amounts, for redemption (provided that a portion of
this Certificate of Obligation may be redeemed only in an integral multiple of $5,000), at the prepayment
or redemption price of the principal amount thereof, plus accrued interest to the date fixed for prepayment
or redemption.
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THE CERTIFICATES OF OBLIGATION OF THIS SERIES scheduled to mature on
February 1, 20__ and February 1, 20__ are subject to mandatory redemption prior to their scheduled
maturities, and shall be redeemed by the Issuer, in part, prior to their scheduled maturities, with
money from the Mandatory Redemption Account of the Interest and Sinking Fund, with the
particular Certificates of Obligation or portion thereof to be redeemed to be selected by the Paying
Agent/Registrar, by lot or other customary method (provided that a portion of a Certificate of
Obligation may be redeemed only in an integral multiple of $5,000) at a redemption price equal to
the par or principal amount thereof and accrued interest to the date of redemption, on the dates, and
in the principal amounts, respectively, as shown in the following schedules:
FEBRUARY 1, 20__ MATURITY
Mandatory Redemption Dates Principal Amounts
February 1, 20__ $ (payment at maturity)
FEBRUARY 1, 20__ MATURITY
Mandatory Redemption Dates Principal Amounts
February 1, 20__ $ (payment at maturity)
The principal amount of the Certificates of Obligation required to be redeemed on each such redemption
date pursuant to the foregoing operation of the Mandatory Redemption Account shall be reduced, at the
option of the Issuer, by the principal amount of any Certificates of Obligation, which at least 45 days
prior to the mandatory sinking fund redemption date, (1) shall have been acquired by the Issuer and
delivered to the Paying Agent/Registrar for cancellation, or (2) shall have been purchased and canceled
by the Paying Agent/Registrar at the request of the Issuer at a price not exceeding the principal amount of
such Certificates of Obligation plus accrued interest to the date of purchase, or (3) have been redeemed
pursuant to the optional redemption provisions set forth above and not theretofore credited against a
mandatory sinking fund redemption. During any period in which ownership of the Certificates of
Obligation is determined by a book entry at a securities depository for the Certificates of Obligation, if
fewer than all of the Certificates of Obligation of the same maturity and bearing the same interest rate are
to be redeemed, the particular Certificates of Obligation of such maturity and bearing such interest rate
shall be selected in accordance with the arrangements between the Issuer and the securities depository.
AT LEAST 30 days prior to the date fixed for any redemption of Certificates of Obligation or
portions thereof prior to maturity a written notice of such redemption shall be sent by the Paying
Agent/Registrar by United States mail, first-class postage prepaid, not less than 30 days prior to the date
fixed for any such redemption, to the registered owner of each Certificate of Obligation to be redeemed at
its address as it appeared on the 45th day prior to such redemption date; provided, however, that the
failure to send, mail or receive such notice, or any defect therein or in the sending or mailing thereof,
shall not affect the validity or effectiveness of the proceedings for the redemption of any Certificate of
Obligation, and it is hereby specifically provided that the mailing of such notice as required above shall
be the only notice actually required in connection with or as a prerequisite to the redemption of any
Certificates of Obligations or portions thereof. By the date fixed for any such redemption due provision
shall be made with the Paying Agent/Registrar for the payment of the required redemption price for the
Certificates of Obligation or portions thereof which are to be so redeemed, plus accrued interest thereon
to the date fixed for redemption. If such written notice of redemption is mailed and if due provision for
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such payment is made, all as provided above, the Certificates of Obligation or portions thereof which are
to be so redeemed thereby automatically shall be treated as redeemed prior to their scheduled maturities,
and they shall not bear interest after the date fixed for redemption, and they shall not be regarded as being
outstanding except for the right of the registered owner to receive the redemption price plus accrued
interest from the Paying Agent/Registrar out of the funds provided for such payment. If a portion of any
Certificate of Obligation shall be redeemed a substitute Certificate of Obligation or Certificates of
Obligation having the same maturity date, bearing interest at the same rate, in any denomination or
denominations in any integral multiple of $5,000, at the written request of the registered owner, and in
aggregate principal amount equal to the unredeemed portion thereof, will be issued to the registered
owner upon the surrender thereof for cancellation, at the expense of the Issuer, all as provided in the
Certificate of Obligation Ordinance.
THIS CERTIFICATE OF OBLIGATION OR ANY PORTION OR PORTIONS HEREOF IN
ANY INTEGRAL MULTIPLE OF $5,000 may be assigned and shall be transferred only in the
Registration Books of the Issuer kept by the Paying Agent/Registrar acting in the capacity of registrar for
the Certificates of Obligation, upon the terms and conditions set forth in the Certificate of Obligation
Ordinance. Among other requirements for such assignment and transfer, this Certificate of Obligation
must be presented and surrendered to the Paying Agent/Registrar, together with proper instruments of
assignment, in form and with guarantee of signatures satisfactory to the Paying Agent/Registrar,
evidencing assignment of this Certificate of Obligation or any portion or portions hereof in any integral
multiple of $5,000 to the assignee or assignees in whose name or names this Certificate of Obligation or
any such portion or portions hereof is or are to be transferred and registered. The form of Assignment
printed or endorsed on this Certificate of Obligation shall be executed by the registered owner or its duly
authorized attorney or representative to evidence the assignment hereof. A new Certificate of Obligation
or Certificates of Obligation payable to such assignee or assignees (which then will be the new registered
owner or owners of such new Certificate of Obligation or Certificates of Obligation), or to the previous
registered owner in the case of the assignment and transfer of only a portion of this Certificate of
Obligation, may be delivered by the Paying Agent/Registrar in conversion of and exchange for this
Certificate of Obligation, all in the form and manner as provided in the next paragraph hereof for the
conversion and exchange of other Certificates of Obligation. The Issuer shall pay the Paying
Agent/Registrar's standard or customary fees and charges for making such transfer, but the one requesting
such transfer shall pay any taxes or other governmental charges required to be paid with respect thereto.
The Paying Agent/Registrar shall not be required to make transfers of registration of this Certificate of
Obligation or any portion hereof (i) during the period commencing with the close of business on any
Record Date and ending with the opening of business on the next following principal or interest payment
date, or, (ii) with respect to any Certificate of Obligation or any portion thereof called for redemption
prior to maturity, within 45 days prior to its redemption date. The registered owner of this Certificate of
Obligation shall be deemed and treated by the Issuer and the Paying Agent/Registrar as the absolute
owner hereof for all purposes, including payment and discharge of liability upon this Certificate of
Obligation to the extent of such payment, and the Issuer and the Paying Agent/Registrar shall not be
affected by any notice to the contrary.
ALL CERTIFICATES OF OBLIGATION OF THIS SERIES are issuable solely as fully
registered certificates of obligation, without interest coupons, in the denomination of any integral
multiple of $5,000. As provided in the Certificate of Obligation Ordinance, this Certificate of Obligation,
or any unredeemed portion hereof, may, at the request of the registered owner or the assignee or assignees
hereof, be converted into and exchanged for a like aggregate principal amount of fully registered
Certificates of Obligation, without interest coupons, payable to the appropriate registered owner,
assignee, or assignees, as the case may be, having the same maturity date, and bearing interest at the same
18
rate, in any denomination or denominations in any integral multiple of $5,000 as requested in writing by
the appropriate registered owner, assignee, or assignees, as the case may be, upon surrender of this
Certificate of Obligation to the Paying Agent/Registrar for cancellation, all in accordance with the form
and procedures set forth in the Certificate of Obligation Ordinance. The Issuer shall pay the Paying
Agent/Registrar's standard or customary fees and charges for transferring, converting, and exchanging
any Certificate of Obligation or any portion thereof, but the one requesting such transfer, conversion, and
exchange shall pay any taxes or governmental charges required to be paid with respect thereto as a
condition precedent to the exercise of such privilege of conversion and exchange. The Paying
Agent/Registrar shall not be required to make any such conversion and exchange (i) during the period
commencing with the close of business on any Record Date and ending with the opening of business on
the next following principal or interest payment date, or, (ii) with respect to any Certificate of Obligation
or portion thereof called for redemption prior to maturity, within 45 days prior to its redemption date.
IN THE EVENT any Paying Agent/Registrar for the Certificates of Obligation is changed by the
Issuer, resigns, or otherwise ceases to act as such, the Issuer has covenanted in the Certificate of
Obligation Ordinance that it promptly will appoint a competent and legally qualified substitute therefor,
and promptly will cause written notice thereof to be mailed to the registered owners of the Certificates of
Obligation.
IT IS HEREBY certified, recited, and covenanted that this Certificate of Obligation has been duly
and validly authorized, issued, sold, and delivered; that all acts, conditions, and things required or proper
to be performed, exist, and be done precedent to or in the authorization, issuance, and delivery of this
Certificate of Obligation have been performed, existed, and been done in accordance with law; that this
Certificate of Obligation is a general obligation of the Issuer, issued on the full faith and credit thereof;
and that ad valorem taxes sufficient to provide for the payment of the interest on and principal of this
Certificate of Obligation, as such interest and principal come due, have been levied and ordered to be
levied against all taxable property in the Issuer, and have been pledged for such payment, within the limit
prescribed by law, and that this Certificate of Obligation is additionally secured by and payable from the
limited surplus revenues of the Issuer's Waterworks and Sewer System, remaining after payment of all
operation and maintenance expenses thereof, and all debt service, reserve, and other requirements in
connection with all of the Issuer's obligations (now or hereafter outstanding), which are payable from all
or any part of the net revenues of the Issuer's Waterworks and Sewer System.
BY BECOMING the registered owner of this Certificate of Obligation, the registered owner
thereby acknowledges all of the terms and provisions of the Certificate of Obligation Ordinance, agrees to
be bound by such terms and provisions, acknowledges that the Certificate of Obligation Ordinance is duly
recorded and available for inspection in the official minutes and records of the governing body of the
Issuer, and agrees that the terms and provisions of this Certificate of Obligation and the Certificate of
Obligation Ordinance constitute a contract between each registered owner hereof and the Issuer.
IN WITNESS WHEREOF, the Issuer has caused this Certificate of Obligation to be signed with
the manual or facsimile signature of the Mayor of the Issuer and countersigned with the manual or
facsimile signature of the City Secretary of the Issuer, and has caused the official seal of the Issuer to be
duly impressed, or placed in facsimile, on this Certificate of Obligation.
_______________________________ _______________________________
City Secretary Mayor
(CITY SEAL)
19
FORM OF PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE
PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE
(To be executed if this Certificate of Obligation is not accompanied by an
executed Registration Certificate of the Comptroller of Public Accounts of the State of Texas)
It is hereby certified that this Certificate of Obligation has been issued under the provisions of the
Certificate of Obligation Ordinance described on the face of this Certificate of Obligation; and that this
Certificate of Obligation has been issued in conversion of and exchange for or replacement of a certificate
of obligation, certificates of obligation, or a portion of a certificate of obligation or certificates of
obligation of an issue which originally was approved by the Attorney General of the State of Texas and
registered by the Comptroller of Public Accounts of the State of Texas.
Dated
By:
Authorized Representative
FORM OF ASSIGNMENT:
ASSIGNMENT
FOR VALUE RECEIVED, the undersigned registered owner of this Certificate of Obligation, or
duly authorized representative or attorney thereof, hereby assigns this Certificate of Obligation to
(Assignee's Social Security or Tax
Payer Identification Number)
(Print or type Assignee's Name and Address Including
Zip Code)
and hereby irrevocably constitutes and appoints
attorney, to transfer the registration of this Certificate of Obligation on the Paying Agent/Registrar's
Registration Books with full power of substitution in the premises.
Dated _______________
NOTICE: This signature must be guaranteed
by a member of the New York Stock
Exchange or a commercial bank or trust
company.
NOTICE: This signature must correspond with
the name of the Registered Owner appearing on
the face of this Certificate of Obligation.
Section 8. TAX LEVY. A special Interest and Sinking Fund (the "Interest and Sinking
20
Fund") is hereby created solely for the benefit of the Certificates of Obligation, together with a
Mandatory Redemption Account which shall mean that account established within the Interest and
Sinking Fund as provided herein, and the Interest and Sinking Fund shall be established and
maintained by the Issuer at an official depository bank of the Issuer. The Interest and Sinking Fund
shall be kept separate and apart from all other funds and accounts of the Issuer, and shall be used
only for paying the interest on and principal of the Certificates of Obligation. All ad valorem taxes
levied and collected for and on account of the Certificates of Obligation shall be deposited, as
collected, to the credit of the Interest and Sinking Fund. During each year while any of the
Certificates of Obligation or interest thereon are outstanding and unpaid, the governing body of the
Issuer shall compute and ascertain a rate and amount of ad valorem tax which will be sufficient to
raise and produce the money required to pay the interest on the Certificates of Obligation as such
interest comes due, and to provide and maintain a sinking fund adequate to pay the principal of its
Certificates of Obligation as such principal matures (but never less than 2% of the original principal
amount of the Certificates of Obligation as a sinking fund each year), including such amounts to
satisfy the mandatory redemption schedule for the Certificates of Obligation maturing February 1,
20__ and February 1, 20__, which shall be deposited into the Mandatory Redemption Account, with
such mandatory redemption of principal and interest constituting payment at maturity, on the dates
and for the amount as follows:
FEBRUARY 1, 20__ MATURITY
Mandatory Redemption Dates Principal Amounts
February 1, 20__ $ (payment at maturity)
FEBRUARY 1, 20__ MATURITY
Mandatory Redemption Dates Principal Amounts
February 1, 20__ $ (payment at maturity)
Said tax shall be based on the latest approved tax rolls of the Issuer, with full allowance being made
for tax delinquencies and the cost of tax collection. Said rate and amount of ad valorem tax is hereby
levied, and is hereby ordered to be levied, against all taxable property in the Issuer for each year
while any of the Certificates of Obligation or interest thereon are outstanding and unpaid; and said
tax shall be assessed and collected each such year and deposited to the credit of the aforesaid Interest
and Sinking Fund. Said ad valorem taxes sufficient to provide for the payment of the interest on and
principal of the Certificates of Obligation, as such interest comes due and such principal matures, are
hereby pledged for such payment, within the limit prescribed by law.
Chapter 1208, Government Code, applies to the issuance of the Certificates of Obligation and
the pledge of the taxes granted by the Issuer under this Section, and is therefore valid, effective, and
perfected. Should Texas law be amended at any time while the Certificates of Obligation are
outstanding and unpaid, the result of such amendment being that the pledge of the taxes granted by
the Issuer under this Section is to be subject to the filing requirements of Chapter 9, Business &
Commerce Code, in order to preserve to the registered owners of the Certificates of Obligation a
security interest in said pledge, the Issuer agrees to take such measures as it determines are
reasonable and necessary under Texas law to comply with the applicable provisions of Chapter 9,
Business & Commerce Code and enable a filing of a security interest in said pledge to occur.
21
Section 9. REVENUES. That said Certificates of Obligation, together with other
obligations of the Issuer, are additionally secured by and shall be payable from and secured by the
collection of the revenues of the Issuer's Waterworks and Sewer System, after payment of all operation
and maintenance expenses thereof, and all debt service, reserve, and other requirements in connection
with all of the Issuer's revenue bonds or other obligations (now or hereafter outstanding), which are
payable from all or any part of the net revenues of the Issuer's Waterworks and Sewer System, not to
exceed $1,000, constituting "Surplus Revenues". The Issuer shall deposit such Surplus Revenues to the
credit of the Interest and Sinking Fund created pursuant to Section 8, to the extent necessary to pay the
principal and interest on the Certificates of Obligation. Notwithstanding the requirements of Section 8, if
revenues are actually on deposit or budgeted for deposit in the Interest and Sinking Fund in advance of
the time when ad valorem taxes are scheduled to be levied for any year, then the amount of taxes which
otherwise would have been required to be levied pursuant to Section 8 may be reduced to the extent and
by the amount of the revenues then on deposit in the Interest and Sinking Fund or budgeted for deposit
therein.
Section 10. TRANSFER. That the Mayor and the City Secretary are hereby ordered to do
any and all things necessary to accomplish the transfer of monies to the Interest and Sinking Fund of this
issue in ample time to pay such items of principal and interest.
Section 11. DEFEASANCE OF CERTIFICATES OF OBLIGATION. (a) Any Certificate of
Obligation and the interest thereon shall be deemed to be paid, retired, and no longer outstanding (a
"Defeased Certificate of Obligation") within the meaning of this Ordinance, except to the extent provided
in subsection (d) of this Section, when payment of the principal of such Certificate of Obligation, plus
interest thereon to the due date (whether such due date be by reason of maturity or otherwise) either (i)
shall have been made or caused to be made in accordance with the terms thereof, or (ii) shall have been
provided for on or before such due date by irrevocably depositing with or making available to the Paying
Agent/Registrar in accordance with an escrow agreement or other instrument (the "Future Escrow
Agreement") for such payment (1) lawful money of the United States of America sufficient to make such
payment or (2) Defeasance Securities that mature as to principal and interest in such amounts and at such
times as will insure the availability, without reinvestment, of sufficient money to provide for such
payment, and when proper arrangements have been made by the Issuer with the Paying Agent/Registrar
for the payment of its services until all Defeased Certificates of Obligation shall have become due and
payable. At such time as a Certificate of Obligation shall be deemed to be a Defeased Certificate of
Obligation hereunder, as aforesaid, such Certificate of Obligation and the interest thereon shall no longer
be secured by, payable from, or entitled to the benefits of, the ad valorem taxes herein levied and pledged
as provided in this Ordinance, and such principal and interest shall be payable solely from such money or
Defeasance Securities. Notwithstanding any other provision of this Ordinance to the contrary, it is hereby
provided that any determination not to redeem Defeased Certificates of Obligation that is made in
conjunction with the payment arrangements specified in subsection 11(a)(i) or (ii) shall not be
irrevocable, provided that: (1) in the proceedings providing for such payment arrangements, the Issuer
expressly reserves the right to call the Defeased Certificates of Obligation for redemption; (2) gives notice
of the reservation of that right to the owners of the Defeased Certificate of Obligations immediately
following the making of the payment arrangements; and (3) directs that notice of the reservation be
included in any redemption notices that it authorizes.
(b) Any moneys so deposited with the Paying Agent/Registrar may at the written direction of the
Issuer also be invested in Defeasance Securities, maturing in the amounts and times as hereinbefore set
22
forth, and all income from such Defeasance Securities received by the Paying Agent/Registrar that is not
required for the payment of the Certificates of Obligation and interest thereon, with respect to which such
money has been so deposited, shall be turned over to the Issuer, or deposited as directed in writing by the
Issuer. Any Future Escrow Agreement pursuant to which the money and/or Defeasance Securities are
held for the payment of Defeased Certificates of Obligation may contain provisions permitting the
investment or reinvestment of such moneys in Defeasance Securities or the substitution of other
Defeasance Securities upon the satisfaction of the requirements specified in subsection 11(a)(i) or (ii).
All income from such Defeasance Securities received by the Paying Agent/Registrar which is not required
for the payment of the Defeased Certificates of Obligation, with respect to which such money has been so
deposited, shall be remitted to the Issuer or deposited as directed in writing by the Issuer.
(c) The term "Defeasance Securities" means (i) direct, noncallable obligations of the United
States of America, including obligations that are unconditionally guaranteed by the United States of
America., (ii) noncallable obligations of an agency or instrumentality of the United States of America,
including obligations that are unconditionally guaranteed or insured by the agency or instrumentality and
that, on the date of the purchase thereof are rated as to investment quality by a nationally recognized
investment rating firm not less than AAA or its equivalent, and (iii) noncallable obligations of a state or
an agency or a county, municipality, or other political subdivision of a state that have been refunded and
that, on the date the governing body of the Issuer adopts or approves the proceedings authorizing the
financial arrangements are rated as to investment quality by a nationally recognized investment rating
firm not less than AAA or its equivalent.
(d) Until all Defeased Certificates of Obligation shall have become due and payable, the Paying
Agent/Registrar shall perform the services of Paying Agent/Registrar for such Defeased Certificates of
Obligation the same as if they had not been defeased, and the Issuer shall make proper arrangements to
provide and pay for such services as required by this Ordinance.
(e) In the event that the Issuer elects to defease less than all of the principal amount of
Certificates of Obligation of a maturity, the Paying Agent/Registrar shall select, or cause to be selected,
such amount of Certificates of Obligation by such random method as it deems fair and appropriate.
Section 12. DAMAGED, MUTILATED, LOST, STOLEN, OR DESTROYED
CERTIFICATES OF OBLIGATION. (a) Replacement Certificates of Obligation. In the event any
outstanding Certificate of Obligation is damaged, mutilated, lost, stolen, or destroyed, the Paying
Agent/Registrar shall cause to be printed, executed, and delivered, a new certificate of obligation of the
same principal amount, maturity, and interest rate, as the damaged, mutilated, lost, stolen, or destroyed
Certificate of Obligation, in replacement for such Certificate of Obligation in the manner hereinafter
provided.
(b) Application for Replacement Certificates of Obligation. Application for replacement of
damaged, mutilated, lost, stolen, or destroyed Certificates of Obligation shall be made by the registered
owner thereof to the Paying Agent/Registrar. In every case of loss, theft, or destruction of a Certificate of
Obligation, the registered owner applying for a replacement certificate of obligation shall furnish to the
Issuer and to the Paying Agent/Registrar such security or indemnity as may be required by them to save
each of them harmless from any loss or damage with respect thereto. Also, in every case of loss, theft, or
destruction of a Certificate of Obligation, the registered owner shall furnish to the Issuer and to the
Paying Agent/Registrar evidence to their satisfaction of the loss, theft, or destruction of such Certificate
of Obligation, as the case may be. In every case of damage or mutilation of a Certificate of Obligation,
the registered owner shall surrender to the Paying Agent/Registrar for cancellation the Certificate of
23
Obligation so damaged or mutilated.
(c) No Default Occurred. Notwithstanding the foregoing provisions of this Section, in the event
any such Certificate of Obligation shall have matured, and no default has occurred which is then
continuing in the payment of the principal of, redemption premium, if any, or interest on the Certificate of
Obligation, the Issuer may authorize the payment of the same (without surrender thereof except in the
case of a damaged or mutilated Certificate of Obligation) instead of issuing a replacement Certificate of
Obligation, provided security or indemnity is furnished as above provided in this Section.
(d) Charge for Issuing Replacement Certificates of Obligation. Prior to the issuance of any
replacement certificate of obligation, the Paying Agent/Registrar shall charge the registered owner of such
Certificate of Obligation with all legal, printing, and other expenses in connection therewith. Every
replacement certificate of obligation issued pursuant to the provisions of this Section by virtue of the fact
that any Certificate of Obligation is lost, stolen, or destroyed shall constitute a contractual obligation of
the Issuer whether or not the lost, stolen, or destroyed Certificate of Obligation shall be found at any time,
or be enforceable by anyone, and shall be entitled to all the benefits of this Ordinance equally and
proportionately with any and all other Certificates of Obligation duly issued under this Ordinance.
(e) Authority for Issuing Replacement Certificates of Obligation. In accordance with Chapter
1201, Local Government Code, this Section 12 of this Ordinance shall constitute authority for the
issuance of any such replacement certificate of obligation without necessity of further action by the
governing body of the Issuer or any other body or person, and the duty of the replacement of such
certificates of obligation is hereby authorized and imposed upon the Paying Agent/Registrar, and the
Paying Agent/Registrar shall authenticate and deliver such Certificates of Obligation in the form and
manner and with the effect, as provided in Section 6(d) of this Ordinance for Certificates of Obligation
issued in conversion and exchange for other Certificates of Obligation.
Section 13. CUSTODY, APPROVAL, AND REGISTRATION OF CERTIFICATES OF
OBLIGATION; BOND COUNSEL'S OPINION; CUSIP NUMBERS AND CONTINGENT
INSURANCE PROVISION, IF OBTAINED. The Mayor of the Issuer is hereby authorized to have
control of the Initial Certificate of Obligation issued hereunder and all necessary records and proceedings
pertaining to the Initial Certificate of Obligation pending its delivery and its investigation, examination,
and approval by the Attorney General of the State of Texas, and its registration by the Comptroller of
Public Accounts of the State of Texas. Upon registration of the Initial Certificate of Obligation said
Comptroller of Public Accounts (or a deputy designated in writing to act for said Comptroller) shall
manually sign the Comptroller's Registration Certificate on the Initial Certificate of Obligation, and the
seal of said Comptroller shall be impressed, or placed in facsimile, on the Initial Certificate of Obligation.
The approving legal opinion of the Issuer's bond counsel and the assigned CUSIP numbers may, at the
option of the Issuer, be printed on the Initial Certificate of Obligation or on any Certificates of Obligation
issued and delivered in conversion of and exchange or replacement of any Certificate of Obligation, but
neither shall have any legal effect, and shall be solely for the convenience and information of the
registered owners of the Certificates of Obligation. In addition, if bond insurance is obtained, the
Certificates of Obligation may bear an appropriate legend as provided by the insurer.
Section 14. COVENANTS REGARDING TAX EXEMPTION. (a) Covenants. The Issuer
covenants to take any action necessary to assure, or refrain from any action that would adversely affect,
the treatment of the Certificates of Obligation as obligations described in section 103 of the Code, the
interest on which is not includable in the "gross income" of the Certificates of Obligation holder for
purposes of federal income taxation. In furtherance thereof, the Issuer covenants as follows:
24
(1) to take any action to assure that no more than 10 percent of the proceeds of the
Certificates of Obligation (less amounts deposited to a reserve fund, if any) are used for any "private
business use," as defined in section 141(b)(6) of the Code or, if more than 10 percent of the proceeds or
the projects financed therewith are so used, such amounts, whether or not received by the Issuer, with
respect to such private business use, do not, under the terms of this Ordinance or any underlying
arrangement, directly or indirectly, secure or provide for the payment of more than 10 percent of the debt
service on the Certificates of Obligation, in contravention of section 141(b)(2) of the Code;
(2) to take any action to assure that in the event that the "private business use" described in
subsection (1) hereof exceeds 5 percent of the proceeds of the Certificates of Obligation or the projects
financed therewith (less amounts deposited into a reserve fund, if any) then the amount in excess of 5
percent is used for a "private business use" that is "related" and not "disproportionate," within the
meaning of section 141(b)(3) of the Code, to the governmental use;
(3) to take any action to assure that no amount that is greater than the lesser of $5,000,000, or
5 percent of the proceeds of the Certificates of Obligation (less amounts deposited into a reserve fund, if
any) is directly or indirectly used to finance loans to persons, other than state or local governmental units,
in contravention of section 141(c) of the Code;
(4) to refrain from taking any action that would otherwise result in the Certificates of
Obligation being treated as "private activity bonds" within the meaning of section 141(b) of the Code;
(5) to refrain from taking any action that would result in the Certificates of Obligation being
"federally guaranteed" within the meaning of section 149(b) of the Code;
(6) to refrain from using any portion of the proceeds of the Certificates of Obligation,
directly or indirectly, to acquire or to replace funds that were used, directly or indirectly, to acquire
investment property (as defined in section 148(b)(2) of the Code) that produces a materially higher yield
over the term of the Certificates of Obligation, other than investment property acquired with –
(A) proceeds of the Certificates of Obligation invested for a reasonable temporary period of 3
years or less or, in the case of a refunding Certificate of Obligation, for a period of 30 days or less
until such proceeds are needed for the purpose for which the Certificates of Obligation are issued,
(B) amounts invested in a bona fide debt service fund, within the meaning of section 1.148-
1(b) of the Treasury Regulations, and
(C) amounts deposited in any reasonably required reserve or replacement fund to the extent
such amounts do not exceed 10 percent of the proceeds of the Certificates of Obligation;
(7) to otherwise restrict the use of the proceeds of the Certificates of Obligation or amounts
treated as proceeds of the Certificates of Obligation, as may be necessary, so that the Certificates of
Obligation do not otherwise contravene the requirements of section 148 of the Code (relating to arbitrage)
and, to the extent applicable, section 149(d) of the Code (relating to advance refundings); and
(8) to pay to the United States of America at least once during each five-year period
(beginning on the date of delivery of the Certificates of Obligation) an amount that is at least equal to 90
percent of the "Excess Earnings," within the meaning of section 148(f) of the Code and to pay to the
United States of America, not later than 60 days after the Certificates of Obligation have been paid in full,
25
100 percent of the amount then required to be paid as a result of Excess Earnings under section 148(f) of
the Code.
(b) Rebate Fund. In order to facilitate compliance with the above covenant (a)(8), a "Rebate
Fund" is hereby established by the Issuer for the sole benefit of the United States of America, and such
Fund shall not be subject to the claim of any other person, including without limitation the Certificate of
Obligation holders. The Rebate Fund is established for the additional purpose of compliance with section
148 of the Code.
(c) Use of Proceeds. For purposes of the foregoing covenants (a)(1) and (a)(2), the Issuer
understands that the term "proceeds" includes "disposition proceeds" as defined in the Treasury
Regulations and, in the case of refunding Certificates of Obligation, transferred proceeds (if any) and
proceeds of the refunded Certificates of Obligation expended prior to the date of issuance of the
Certificates of Obligation. It is the understanding of the Issuer that the covenants contained herein are
intended to assure compliance with the Code and any regulations or rulings promulgated by the U.S.
Department of the Treasury pursuant thereto. In the event that regulations or rulings are hereafter
promulgated that modify or expand provisions of the Code, as applicable to the Certificates of Obligation,
the Issuer will not be required to comply with any covenant contained herein to the extent that such
failure to comply, in the opinion of nationally recognized bond counsel, will not adversely affect the
exemption from federal income taxation of interest on the Certificates of Obligation under section 103 of
the Code. In the event that regulations or rulings are hereafter promulgated that impose additional
requirements applicable to the Certificates of Obligation, the Issuer agrees to comply with the additional
requirements to the extent necessary, in the opinion of nationally recognized bond counsel, to preserve the
exemption from federal income taxation of interest on the Certificates of Obligation under section 103 of
the Code. In furtherance of such intention, the Issuer hereby authorizes and directs the Mayor to execute
any documents, certificates or reports required by the Code and to make such elections, on behalf of the
Issuer, that may be permitted by the Code as are consistent with the purpose for the issuance of the
Certificates of Obligation.
Section 15. ALLOCATION OF, AND LIMITATION ON, EXPENDITURES FOR THE
PROJECT. The Issuer covenants to account for the expenditure of sale proceeds and investment earnings
to be used for the purposes described in Section 1 of this Ordinance (the "Project") on its books and
records by allocating proceeds to expenditures within 18 months of the later of the date that (1) the
expenditure is made, or (2) the Project is completed. The foregoing notwithstanding, the Issuer shall not
expend sale proceeds or investment earnings thereon more than 60 days after the earlier of (1) the fifth
anniversary of the delivery of the Certificates of Obligation, or (2) the date the Certificates of Obligation
are retired, unless the Issuer obtains an opinion of nationally-recognized bond counsel that such
expenditure will not adversely affect the tax-exempt status of the Certificates of Obligation for purposes
hereof, the Issuer shall not be obligated to comply with this covenant if it obtains an opinion that such
failure to comply will not adversely affect the excludability for federal income tax purposes from gross
income of the interest.
Section 16. DISPOSITION OF PROJECT. The Issuer covenants that the property
constituting the Project will not be sold or otherwise disposed in a transaction resulting in the receipt by
the Issuer of cash or other compensation, unless the Issuer obtains an opinion of nationally-recognized
Certificate of Obligation counsel that such sale or other disposition will not adversely affect the tax-
exempt status of the Certificates of Obligation. For purposes of the foregoing, the portion of the property
comprising personal property and disposed in the ordinary course shall not be treated as a transaction
resulting in the receipt of cash or other compensation. For purposes hereof, the Issuer shall not be
26
obligated to comply with this covenant if it obtains an opinion that such failure to comply will not
adversely affect the excludability for federal income tax purposes from gross income of the interest.
Section 17. CONTINUING DISCLOSURE. (a) Annual Reports. (i) The Issuer shall provide
annually to each NRMSIR and any SID, within six months after the end of each fiscal year ending in or
after 2006, financial information and operating data with respect to the Issuer of the general type included
in the final Official Statement authorized by Section 18 of this Ordinance, being the information
described in Exhibit A. Any financial statements so to be provided shall be prepared in accordance with
the accounting principles described in Exhibit A thereto, or such other accounting principles as the Issuer
may be required to employ from time to time pursuant to state law or regulation, and audited, if the Issuer
commissions an audit of such statements and the audit is completed within the period during which they
must be provided. If the audit of such financial statements is not complete within such period, then the
Issuer shall provide unaudited financial statements for such period, and shall provide audited financial
statements for the applicable fiscal year to each NRMSIR and any SID, when and if the audit report on
such statements become available.
(ii) If the Issuer changes its fiscal year, it will notify each NRMSIR and any SID of the change
(and of the date of the new fiscal year end) prior to the next date by which the Issuer otherwise would be
required to provide financial information and operating data pursuant to this Section. The financial
information and operating data to be provided pursuant to this Section may be set forth in full in one or
more documents or may be included by specific reference to any document (including an official
statement or other offering document, if it is available from the MSRB) that theretofore has been provided
to each NRMSIR and any SID or filed with the SEC.
(b) Material Event Notices. The Issuer shall notify any SID and either each NRMSIR or the
MSRB, in a timely manner, of any of the following events with respect to the Certificates of Obligation, if
such event is material within the meaning of the federal securities laws:
1. Principal and interest payment delinquencies;
2. Non-payment related defaults;
3. Unscheduled draws on debt service reserves reflecting financial difficulties;
4. Unscheduled draws on credit enhancements reflecting financial difficulties;
5. Substitution of credit or liquidity providers, or their failure to perform;
6. Adverse tax opinions or events affecting the tax-exempt status of the Certificates of
Obligation;
7. Modifications to rights of holders of the Certificates of Obligation;
8. Certificate of Obligation calls;
9. Defeasances;
10. Release, substitution, or sale of property securing repayment of the Certificates of
Obligation; and
11. Rating changes.
The Issuer shall notify any SID and either each NRMSIR or the MSRB, in a timely manner, of any failure
by the Issuer to provide financial information or operating data in accordance with subsection (a) of this
Section by the time required by such subsection.
(c) Limitations, Disclaimers and Amendments. (i) The Issuer shall be obligated to observe and
perform the covenants specified in this Section for so long as, but only for so long as, the Issuer remains
an "obligated person" with respect to the Certificates of Obligation within the meaning of the Rule, except
27
that the Issuer in any event will give notice of any deposit made in accordance with this Ordinance or
applicable law that causes Certificates of Obligation no longer to be outstanding.
(ii) The provisions of this Section are for the sole benefit of the holders and beneficial owners of
the Certificates of Obligation, and nothing in this Section, express or implied, shall give any benefit or
any legal or equitable right, remedy, or claim hereunder to any other person. The Issuer undertakes to
provide only the financial information, operating data, financial statements, and notices which it has
expressly agreed to provide pursuant to this Section and does not hereby undertake to provide any other
information that may be relevant or material to a complete presentation of the Issuer's financial results,
condition, or prospects or hereby undertake to update any information provided in accordance with this
Section or otherwise, except as expressly provided herein. The Issuer does not make any representation
or warranty concerning such information or its usefulness to a decision to invest in or sell Certificates of
Obligation at any future date.
(iii) UNDER NO CIRCUMSTANCES SHALL THE ISSUER BE LIABLE TO THE HOLDER
OR BENEFICIAL OWNER OF ANY CERTIFICATE OF OBLIGATION OR ANY OTHER PERSON,
IN CONTRACT OR TORT, FOR DAMAGES RESULTING IN WHOLE OR IN PART FROM ANY
BREACH BY THE ISSUER, WHETHER NEGLIGENT OR WITHOUT FAULT ON ITS PART, OF
ANY COVENANT SPECIFIED IN THIS SECTION, BUT EVERY RIGHT AND REMEDY OF ANY
SUCH PERSON, IN CONTRACT OR TORT, FOR OR ON ACCOUNT OF ANY SUCH BREACH
SHALL BE LIMITED TO AN ACTION FOR MANDAMUS OR SPECIFIC PERFORMANCE.
(iv) No default by the Issuer in observing or performing its obligations under this Section shall
comprise a breach of or default under the Ordinance for purposes of any other provision of this
Ordinance. Nothing in this Section is intended or shall act to disclaim, waive, or otherwise limit the duties
of the Issuer under federal and state securities laws.
(v) The provisions of this Section may be amended by the Issuer from time to time to adapt to
changed circumstances that arise from a change in legal requirements, a change in law, or a change in the
identity, nature, status, or type of operations of the Issuer, but only if (1) the provisions of this Section, as
so amended, would have permitted an underwriter to purchase or sell Certificates of Obligation in the
primary offering of the Certificates of Obligation in compliance with the Rule, taking into account any
amendments or interpretations of the Rule since such offering as well as such changed circumstances and
(2) either (a) the holders of a majority in aggregate principal amount (or any greater amount required by
any other provision of this Ordinance that authorizes such an amendment) of the outstanding Certificates
of Obligation consent to such amendment or (b) a person that is unaffiliated with the Issuer (such as bond
counsel) determined that such amendment will not materially impair the interest of the holders and
beneficial owners of the Certificates of Obligation. If the Issuer so amends the provisions of this Section,
it shall include with any amended financial information or operating data next provided in accordance
with subsection (a) of this Section an explanation, in narrative form, of the reason for the amendment and
of the impact of any change in the type of financial information or operating data so provided. The Issuer
may also amend or repeal the provisions of this continuing disclosure agreement if the SEC amends or
repeals the applicable provision of the Rule or a court of final jurisdiction enters judgment that such
provisions of the Rule are invalid, but only if and to the extent that the provisions of this sentence would
not prevent an underwriter from lawfully purchasing or selling Certificates of Obligation in the primary
offering of the Certificates of Obligation.
(d) Definitions. As used in this Section, the following terms have the meanings ascribed to such
terms below:
28
"MSRB" means the Municipal Securities Rulemaking Board.
"NRMSIR" means each person whom the SEC or its staff has determined to be a nationally
recognized municipal securities information repository within the meaning of the Rule from time to time.
"Rule" means SEC Rule 15c2-12, as amended from time to time.
"SEC" means the United States Securities and Exchange Commission.
"SID" means any person designated by the State of Texas or an authorized department, officer, or
agency thereof as, and determined by the SEC or its staff to be, a state information depository within the
meaning of the Rule from time to 3time.
Section 18. SALE OF CERTIFICATES OF OBLIGATION. The Initial Certificate of
Obligation is hereby sold and shall be delivered to _____________________________ for cash for the
par value thereof and accrued interest thereon to date of delivery, plus a cash premium of $___________
(accrued interest and premium to be deposited into the Interest and Sinking Fund. It is hereby officially
found, determined, and declared that the Initial Certificate of Obligation has been sold at public sale to the
bidder offering the lowest interest cost, after receiving sealed bids pursuant to an Official Notice of Sale
and Bidding Instructions and Preliminary Official Statement dated August 15, 2006, prepared and
distributed in connection with the sale of the Initial Certificate of Obligation. Said Official Notice of Sale
and Bidding Instructions and Preliminary Official Statement, and any addenda, supplement, or
amendment thereto have been and are hereby approved by the governing body of the Issuer, and their use
in the offer and sale of the Certificates of Obligation is hereby approved. It is further officially found,
determined, and declared that the statements and representations contained in said Official Notice of Sale
and Preliminary Official Statement are true and correct in all material respects, to the best knowledge and
belief of the governing body of the Issuer.
Section 19. INTEREST EARNINGS ON CERTIFICATES OF OBLIGATION PROCEEDS.
The earnings derived from the investment of proceeds from the sale of the Certificates of Obligation shall
be used along with other Certificates of Obligation proceeds as described in Section 1 hereof; provided
that after completion of such project, if any of such interest earnings remain on hand, such interest
earnings shall be deposited in the Interest and Sinking Fund. It is further provided, however, that interest
earnings on the Certificates of Obligation proceeds which are required to be rebated to the United States
of America pursuant to Section 14 hereof in order to prevent the Certificates of Obligation from being
arbitrage Certificate of Obligations shall be so rebated and not considered as interest earnings for the
purpose of this Section.
Section 20. PUBLIC NOTICE. It is hereby officially found and determined that public
notice of the time, place and purpose of said meeting was given, all as required by Chapter 551, Texas
Government Code, and no petition was received from the qualified electors of the Issuer protesting the
issuance of such Certificates of Obligation.
----------
DESCRIPTION OF ANNUAL FINANCIAL INFORMATION
The following information is referred to in Section 17 of this Ordinance.
29
I. Annual Financial Statements and Operating Data
The financial information and operating data with respect to the Issuer to be provided annually in
accordance with such Section are as specified (and included in the Appendix or under the headings of the
Official Statement and Tables referred to) below:
Table Nos. 1 through 6, and 8 through 15 and in Appendix B
Accounting Principles
The accounting principles referred to in such Section are the accounting principles described in
the notes to the financial statements referred to in paragraph 1 above.
DEPT: Finance
DATE: August 22, 2006
ITEM #: 14
AGENDA REQUEST FORM
ITEM CAPTION: Consider approval of an Ordinance authorizing the issuance of City of Coppell, Texas,
General Obligation Bonds, Series 2006, in the amount of $4,265,000 making provisions for the security thereof,
and ordaining other matters relating to the subject and authorizing the Mayor to sign.
GOAL(S):
EXECUTIVE SUMMARY: These bonds are being issued to fund street improvement projects including,
Coppell Road, and the design and construction of the new Senior Center.
• Coppell Road $2,400,000
• Streets – Freeport 665,000
• Senior Center 1,200,000
FINANCIAL COMMENTS:
Agenda Request Form - Revised 09/04 Document Name: $GOBond06-1AR
1
ORDINANCE AUTHORIZING THE ISSUANCE OF CITY OF COPPELL,
TEXAS GENERAL OBLIGATION BONDS, SERIES 2006, IN THE PRINCIPAL
AMOUNT OF $4,265,000, MAKING PROVISIONS FOR THE SECURITY
THEREOF, AND ORDAINING OTHER MATTERS RELATING TO THE
SUBJECT
THE STATE OF TEXAS §
COUNTIES OF DALLAS AND DENTON §
CITY OF COPPELL §
WHEREAS, the City has voted on November 2, 1999 the following general obligations and have
issued the amounts shown:
Purpose
Date
Authoriz
ed
Amount
Authorized
Previously
Issued
Amount
Being
Issued
Unissued
Balance
Park Improvements 11/02/99 $
8,685,000
$
7,485,000
$
1,200,000
-0-
Drainage Improvements 11/02/99 1,700,000 700,000 -0- 1,000,000
Street Improvements 11/02/99 30,345,000 21,100,000 3,065,000 6,180,000
WHEREAS, it is deemed necessary and advisable to authorize, issue, and deliver an installment
of series of bonds in the amount of $1,200,000 for the purpose of Park Improvements and $3,065,000 for
Street Improvements; and
WHEREAS, the bonds hereinafter authorized and designated are to be issued and delivered
pursuant to Chapter 1331, Texas Government Code; and
WHEREAS, the meeting was open to the public and public notice of the time, place and purpose
of said meeting was given pursuant to Chapter 551, Texas Government Code.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
COPPELL, TEXAS:
Section 1. AMOUNT AND PURPOSE OF THE BONDS. The bond or bonds of the CITY
OF COPPELL, TEXAS (the "Issuer") are hereby authorized to be issued and delivered in the aggregate
principal amount of $4,265,000 for providing $1,200,000 for the purpose of acquiring, constructing,
equipping and improving permanent public improvements for the City’s parks, including but not limited
to the development of MacArthur Park; Wagon Wheel Park, Andrew Brown Park East, new Senior
Citizen Center, tennis courts, extension of North Zone Trail System, and renovation of Grapevine
Springs, and $3,065,00 for the purpose of constructing, improving, and equipping permanent public
improvements, to-wit: the City's streets, including but not limited to West Sandy Lake Road (Denton Tap
Road to S.H. 121); East Sandy Lake Road (Kimbel Court to east city limits); Bethel Road I (Freeport
Parkway to west city limits); Bethel Road II (Freeport Parkway to Denton Tap Road); Coppell Road
(West Sandy Lake Road to Bethel Road); Creekview Road (Ruby Rd./State Rd. West along south edge of
Wagon Wheel Park); and Freeport Parkway (Bethel Road to I.H. 635).
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Section 2. DESIGNATION OF THE BONDS. Each bond issued pursuant to this Ordinance
shall be designated: "CITY OF COPPELL, TEXAS GENERAL OBLIGATION BOND, SERIES 2006",
and initially there shall be issued, sold, and delivered hereunder a single fully registered bond, without
interest coupons, payable in annual installments of principal (the "Initial Bond"), but the Initial Bond may
be assigned and transferred and/or converted into and exchanged for a like aggregate principal amount of
fully registered bonds, without interest coupons, having serial and annual maturities, and in the
denomination or denominations of $5,000 or any integral multiple of $5,000, all in the manner hereinafter
provided. The term "Bonds" as used in this Ordinance shall mean and include collectively the Initial
Bond and all substitute bonds exchanged therefor, as well as all other substitute bonds and replacement
bonds issued pursuant hereto, and the term "Bond" shall mean any of the Bonds.
Section 3. INITIAL DATE, DENOMINATION, NUMBER, MATURITIES, INITIAL
REGISTERED OWNER, AND CHARACTERISTICS OF THE INITIAL BOND. (a) The Initial Bond
is hereby authorized to be issued, sold, and delivered hereunder as a single fully registered Bond, without
interest coupons, dated August 15, 2006, in the denomination and aggregate principal amount of
$4,265,000 numbered R-1, payable in annual installments of principal to the initial registered owner
thereof, to-wit: ____________________________, or to the registered assignee or assignees of said Bond
or any portion or portions thereof (in each case, the "registered owner"), with the annual installments of
principal of the Initial Bond to be payable on the dates, respectively, and in the principal amounts,
respectively, stated in the FORM OF INITIAL BOND set forth in this Ordinance.
(b) The Initial Bond (i) may be prepaid or redeemed prior to the respective scheduled due dates
of installments of principal thereof, (ii) may be assigned and transferred, (iii) may be converted and
exchanged for other Bonds, (iv) shall have the characteristics, and (v) shall be signed and sealed, and the
principal of and interest on the Initial Bond shall be payable, all as provided, and in the manner required
or indicated, in the FORM OF INITIAL BOND set forth in this Ordinance.
Section 4. INTEREST. The unpaid principal balance of the Initial Bond shall bear interest
from the date of the Initial Bond and will be calculated on the basis of a 360-day year of twelve 30-day
months to the respective scheduled due dates, or to the respective dates of prepayment or redemption, of
the installments of principal of the Initial Bond, and said interest shall be payable, all in the manner
provided and at the rates and on the dates stated in the FORM OF INITIAL BOND set forth in this
Ordinance.
Section 5. FORM OF INITIAL BOND. The form of the Initial Bond, including the form of
Registration Certificate of the Comptroller of Public Accounts of the State of Texas to be endorsed on the
Initial Bond, shall be substantially as follows:
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FORM OF INITIAL BOND
NO. R-1 $4,265,000
UNITED STATES OF AMERICA
STATE OF TEXAS
COUNTIES OF DALLAS AND DENTON
CITY OF COPPELL, TEXAS
GENERAL OBLIGATION BOND, SERIES 2006
The CITY OF COPPELL, in DALLAS AND DENTON COUNTIES (the "Issuer"), being a
political subdivision of the State of Texas, hereby promises to pay to
______________________________
or to the registered assignee or assignees of this Bond or any portion or portions hereof (in each case, the
"registered owner") the aggregate principal amount of
FOUR MILLION TWO HUNDRED SIXTY FIVE THOUSAND DOLLARS
in annual installments of principal due and payable on February 1 in each of the years, and in the
respective principal amounts, as set forth in the following schedule:
YEAR AMOUNT YEAR AMOUNT
2007 $140,000 2017 $ 205,000
2008 140,000 2018 220,000
2009 145,000 2019 230,000
2010 150,000 2020 240,000
2011 160,000 2021 250,000
2012 165,000 2022 265,000
2013 175,000 2023 280,000
2014 180,000 2024 295,000
2015 190,000 2025 310,000
2016 200,000 2026 325,000
and to pay interest, from the date of this Initial Certificate of Obligation, on the balance of each such
installment of principal, respectively, from time to time remaining unpaid, at the rates as follows:
maturity 2007, _____% maturity 2017, _____%
maturity 2008, _____% maturity 2018, _____%
maturity 2009, _____% maturity 2019, _____%
maturity 2010, _____% maturity 2020, _____%
maturity 2011, _____% maturity 2021, _____%
maturity 2012, _____% maturity 2022, _____%
maturity 2013, _____% maturity 2023, _____%
maturity 2014, _____% maturity 2024, _____%
maturity 2015, _____% maturity 2025, _____%
maturity 2016, _____% maturity 2026, _____%
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THE INSTALLMENTS OF PRINCIPAL OF AND THE INTEREST ON this Bond are payable
in lawful money of the United States of America, without exchange or collection charges. The
installments of principal and the interest on this Bond are payable to the registered owner hereof through
the services of U.S. BANK NATIONAL ASSOCIATION, HOUSTON, TEXAS, which is the "Paying
Agent/Registrar" for this Bond. Payment of all principal of and interest on this Bond shall be made by the
Paying Agent/Registrar to the registered owner hereof on each principal and/or interest payment date by
check or draft, dated as of such date, drawn by the Paying Agent/Registrar on, and payable solely from,
funds of the Issuer required by the ordinance authorizing the issuance of this Bond (the "Bond
Ordinance") to be on deposit with the Paying Agent/Registrar for such purpose as hereinafter provided;
and such check or draft shall be sent by the Paying Agent/Registrar by United States mail, first-class
postage prepaid, on each such principal and/or interest payment date, to the registered owner hereof, at
the address of the registered owner, as it appeared on the 15th day of the month next preceding each such
date (the "Record Date") on the Registration Books kept by the Paying Agent/Registrar, as hereinafter
described, or by such other method acceptable to the Paying Agent/Registrar requested by, and at the risk
and expense of, the registered owner. The Issuer covenants with the registered owner of this Bond that on
or before each principal and/or interest payment date for this Bond it will make available to the Paying
Agent/Registrar, from the "Interest and Sinking Fund" created by the Bond Ordinance, the amounts
required to provide for the payment, in immediately available funds, of all principal of and interest on this
Bond, when due.
IF THE DATE for the payment of the principal of or interest on this Bond shall be a Saturday,
Sunday, a legal holiday, or a day on which banking institutions in the city where the Paying
Agent/Registrar is located are authorized by law or executive order to close, then the date for such
payment shall be the next succeeding day which is not such a Saturday, Sunday, legal holiday, or day on
which banking institutions are authorized to close; and payment on such date shall have the same force
and effect as if made on the original date payment was due.
THIS BOND has been authorized in accordance with the Constitution and laws of the State of
Texas, in the principal amount of $4,265,000, for providing $1,200,000 for the purpose of acquiring,
constructing, equipping and improving permanent public improvements for the City’s parks, including
but not limited to the development of MacArthur Park; Wagon Wheel Park, Andrew Brown Park East,
new Senior Citizen Center, tennis courts, extension of North Zone Trail System, and renovation of
Grapevine Springs, and $3,065,00 for the purpose of constructing, improving, and equipping permanent
public improvements, to-wit: the City's streets, including but not limited to West Sandy Lake Road
(Denton Tap Road to S.H. 121); East Sandy Lake Road (Kimbel Court to east city limits); Bethel Road I
(Freeport Parkway to west city limits); Bethel Road II (Freeport Parkway to Denton Tap Road); Coppell
Road (West Sandy Lake Road to Bethel Road); Creekview Road (Ruby Rd./State Rd. West along south
edge of Wagon Wheel Park); and Freeport Parkway (Bethel Road to I.H. 635).
ON FEBRUARY 1, 2016, or on any date thereafter, the unpaid installments of principal of this
Bond may be prepaid or redeemed prior to their scheduled due dates, at the option of the Issuer, with
funds derived from any available source, as a whole, or in part, and, if in part, the Issuer shall select and
designate the maturity, or maturities, and the amount that is to be redeemed, and if less than a whole
maturity is to be called, the Issuer shall direct the Paying Agent/Registrar to call by lot (provided that a
portion of this Bond may be redeemed only in an integral multiple of $5,000), at the redemption price of
the principal amount, plus accrued interest to the date fixed for prepayment or redemption.
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THE BONDS OF THIS SERIES scheduled to mature on February 1, 20__ and February 1, 20__
are subject to mandatory redemption prior to their scheduled maturities, and shall be redeemed by the
Issuer, in part, prior to their scheduled maturities, with money from the Mandatory Redemption Account
of the Interest and Sinking Fund, with the particular Bonds or portion thereof to be redeemed to be
selected by the Paying Agent/Registrar, by lot or other customary method (provided that a portion of a
Bond may be redeemed only in an integral multiple of $5,000) at a redemption price equal to the par or
principal amount thereof and accrued interest to the date of redemption, on the dates, and in the principal
amounts, respectively, as shown in the following schedules:
FEBRUARY 1, 20__ MATURITY
Mandatory Redemption Dates Principal Amounts
February 1, 20__ $ (payment at maturity)
FEBRUARY 1, 20__ MATURITY
Mandatory Redemption Dates Principal Amounts
February 1, 20__ $ (payment at maturity)
The principal amount of the Bonds required to be redeemed on each such redemption date pursuant to the
foregoing operation of the Mandatory Redemption Account shall be reduced, at the option of the Issuer,
by the principal amount of any Bonds, which at least 45 days prior to the mandatory sinking fund
redemption date, (1) shall have been acquired by the Issuer and delivered to the Paying Agent/Registrar
for cancellation, or (2) shall have been purchased and canceled by the Paying Agent/Registrar at the
request of the Issuer at a price not exceeding the principal amount of such Bonds plus accrued interest to
the date of purchase, or (3) have been redeemed pursuant to the optional redemption provisions set forth
above and not theretofore credited against a mandatory sinking fund redemption. During any period in
which ownership of the Bonds is determined by a book entry at a securities depository for the Bonds, if
fewer than all of the Bonds of the same maturity and bearing the same interest rate are to be redeemed, the
particular Bonds of such maturity and bearing such interest rate shall be selected in accordance with the
arrangements between the Issuer and the securities depository.
AT LEAST 30 days prior to the date fixed for any such prepayment or redemption, a written
notice of such prepayment or redemption shall be mailed by United States mail, first class postage pre-
paid, by the Paying Agent/Registrar to the registered owner hereof. By the date fixed for any such
prepayment or redemption due provision shall be made by the Issuer with the Paying Agent/Registrar for
the payment of the required prepayment or redemption price for this Bond or the portion hereof which is
to be so prepaid or redeemed, plus accrued interest thereon to the date fixed for prepayment or
redemption. If such written notice of prepayment or redemption is given, and if due provision for such
payment is made, all as provided above, this Bond, or the portion thereof which is to be so prepaid or
redeemed, thereby automatically shall be treated as prepaid or redeemed prior to its scheduled due date,
and shall not bear interest after the date fixed for its prepayment or redemption, and shall not be regarded
as being outstanding except for the right of the registered owner to receive the prepayment or redemption
price plus accrued interest to the date fixed for prepayment or redemption from the Paying
Agent/Registrar out of the funds provided for such payment. The Paying Agent/Registrar shall record in
the Registration Books all such prepayments or redemptions of principal of this Bond or any portion
hereof.
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THIS BOND, to the extent of the unpaid or unredeemed principal balance hereof, or any unpaid
and unredeemed portion hereof in any integral multiple of $5,000, may be assigned by the initial
registered owner hereof and shall be transferred only in the Registration Books of the Issuer kept by the
Paying Agent/Registrar acting in the capacity of registrar for the Bonds, upon the terms and conditions set
forth in the Bond Ordinance. Among other requirements for such transfer, this Bond must be presented
and surrendered to the Paying Agent/Registrar for cancellation, together with proper instruments of
assignment, in form and with guarantee of signatures satisfactory to the Paying Agent/Registrar,
evidencing assignment by the initial registered owner of this Bond, or any portion or portions hereof in
any integral multiple of $5,000, to the assignee or assignees in whose name or names this Bond or any
such portion or portions hereof is or are to be transferred and registered. Any instrument or instruments
of assignment satisfactory to the Paying Agent/Registrar may be used to evidence the assignment of this
Bond or any such portion or portions hereof by the initial registered owner hereof. A new bond or bonds
payable to such assignee or assignees (which then will be the new registered owner or owners of such
new Bond or Bonds) or to the initial registered owner as to any portion of this Bond which is not being
assigned and transferred by the initial registered owner, shall be delivered by the Paying Agent/Registrar
in conversion of and exchange for this Bond or any portion or portions hereof, but solely in the form and
manner as provided in the next paragraph hereof for the conversion and exchange of this Bond or any
portion hereof. The registered owner of this Bond shall be deemed and treated by the Issuer and the
Paying Agent/Registrar as the absolute owner hereof for all purposes, including payment and discharge of
liability upon this Bond to the extent of such payment, and the Issuer and the Paying Agent/Registrar
shall not be affected by any notice to the contrary.
AS PROVIDED above and in the Bond Ordinance, this Bond, to the extent of the unpaid or
unredeemed principal balance hereof, may be converted into and exchanged for a like aggregate principal
amount of fully registered bonds, without interest coupons, payable to the assignee or assignees duly
designated in writing by the initial registered owner hereof, or to the initial registered owner as to any
portion of this Bond which is not being assigned and transferred by the initial registered owner, in any
denomination or denominations in any integral multiple of $5,000 (subject to the requirement hereinafter
stated that each substitute bond issued in exchange for any portion of this Bond shall have a single stated
principal maturity date), upon surrender of this Bond to the Paying Agent/Registrar for cancellation, all in
accordance with the form and procedures set forth in the Bond Ordinance. If this Bond or any portion
hereof is assigned and transferred or converted each bond issued in exchange for any portion hereof shall
have a single stated principal maturity date corresponding to the due date of the installment of principal of
this Bond or portion hereof for which the substitute bond is being exchanged, and shall bear interest at the
rate applicable to and borne by such installment of principal or portion thereof. Such bonds, respectively,
shall be subject to redemption prior to maturity on the same dates and for the same prices as the
corresponding installment of principal of this Bond or portion hereof for which they are being exchanged.
No such bond shall be payable in installments, but shall have only one stated principal maturity date. AS
PROVIDED IN THE BOND ORDINANCE, THIS BOND IN ITS PRESENT FORM MAY BE
ASSIGNED AND TRANSFERRED OR CONVERTED ONCE ONLY, and to one or more assignees, but
the bonds issued and delivered in exchange for this Bond or any portion hereof may be assigned and
transferred, and converted, subsequently, as provided in the Bond Ordinance. The Issuer shall pay the
Paying Agent/Registrar's standard or customary fees and charges for transferring, converting, and
exchanging this Bond or any portion thereof, but the one requesting such transfer, conversion, and
exchange shall pay any taxes or governmental charges required to be paid with respect thereto. The
Paying Agent/Registrar shall not be required to make any such assignment, conversion, or exchange (i)
during the period commencing with the close of business on any Record Date and ending with the
opening of business on the next following principal or interest payment date, or, (ii) with respect to any
Bond or portion thereof called for prepayment or redemption prior to maturity, within 45 days prior to its
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prepayment or redemption date.
IN THE EVENT any Paying Agent/Registrar for this Bond is changed by the Issuer, resigns, or
otherwise ceases to act as such, the Issuer has covenanted in the Bond Ordinance that it promptly will
appoint a competent and legally qualified substitute therefor, and promptly will cause written notice
thereof to be mailed to the registered owner of this Bond.
IT IS HEREBY certified, recited, and covenanted that this Bond has been duly and validly
authorized, issued, sold, and delivered; that all acts, conditions, and things required or proper to be
performed, exist, and be done precedent to or in the authorization, issuance, and delivery of this Bond
have been performed, existed, and been done in accordance with law; that this Bond is a general
obligation of the Issuer, issued on the full faith and credit thereof; and that ad valorem taxes sufficient to
provide for the payment of the interest on and principal of this Bond, as such interest and principal come
due, have been levied and ordered to be levied against all taxable property in the Issuer, and have been
pledged for such payment, within the limit prescribed by law.
BY BECOMING the registered owner of this Bond, the registered owner thereby acknowledges
all of the terms and provisions of the Bond Ordinance, agrees to be bound by such terms and provisions,
acknowledges that the Bond Ordinance is duly recorded and available for inspection in the official
minutes and records of the governing body of the Issuer, and agrees that the terms and provisions of this
Bond and the Bond Ordinance constitute a contract between the registered owner hereof and the Issuer.
IN WITNESS WHEREOF, the Issuer has caused this Bond to be signed with the manual
signature of the Mayor of the Issuer and countersigned with the manual signature of the City Secretary of
the Issuer, has caused the official seal of the Issuer to be duly impressed on this Bond, and has caused this
Bond to be dated August 15, 2006.
City Secretary Mayor
(CITY SEAL)
FORM OF REGISTRATION CERTIFICATE
OF THE COMPTROLLER OF PUBLIC ACCOUNTS:
COMPTROLLER'S REGISTRATION CERTIFICATE:
REGISTER NO.
I hereby certify that this Bond has been examined, certified as to validity, and approved by the
Attorney General of the State of Texas, and that this Bond has been registered by the Comptroller of
Public Accounts of the State of Texas.
Witness my signature and seal this
___________________________________________
Comptroller of Public Accounts of the State of Texas
(COMPTROLLER'S SEAL)
Section 6. ADDITIONAL CHARACTERISTICS OF THE BONDS. (a) Registration and
Transfer. The Issuer shall keep or cause to be kept at the principal corporate trust office of U.S.BANK
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NATIONAL ASSOCIATION, HOUSTON, TEXAS (the "Paying Agent/Registrar") books or records of
the registration and transfer of the Bonds (the "Registration Books"), and the Issuer hereby appoints the
Paying Agent/Registrar as its registrar and transfer agent to keep such books or records and make such
transfers and registrations under such reasonable regulations as the Issuer and Paying Agent/Registrar
may prescribe; and the Paying Agent/Registrar shall make such transfers and registrations as herein
provided. The Paying Agent/Registrar shall obtain and record in the Registration Books the address of
the registered owner of each Bond to which payments with respect to the Bonds shall be mailed, as herein
provided; but it shall be the duty of each registered owner to notify the Paying Agent/Registrar in writing
of the address to which payments shall be mailed, and such interest payments shall not be mailed unless
such notice has been given. The Issuer shall have the right to inspect the Registration Books during
regular business hours of the Paying Agent/Registrar, but otherwise the Paying Agent/Registrar shall keep
the Registration Books confidential and, unless otherwise required by law, shall not permit their
inspection by any other entity. Registration of each Bond may be transferred in the Registration Books
only upon presentation and surrender of such Bond to the Paying Agent/Registrar for transfer of
registration and cancellation, together with proper written instruments of assignment, in form and with
guarantee of signatures satisfactory to the Paying Agent/Registrar, (i) evidencing the assignment of the
Bond, or any portion thereof in any integral multiple of $5,000, to the assignee or assignees thereof, and
(ii) the right of such assignee or assignees to have the Bond or any such portion thereof registered in the
name of such assignee or assignees. Upon the assignment and transfer of any Bond or any portion
thereof, a new substitute Bond or Bonds shall be issued in conversion and exchange therefor in the
manner herein provided. The Initial Bond, to the extent of the unpaid or unredeemed principal balance
thereof, may be assigned and transferred by the initial registered owner thereof once only, and to one or
more assignees designated in writing by the initial registered owner thereof. All Bonds issued and
delivered in conversion of and exchange for the Initial Bond shall be in any denomination or
denominations of any integral multiple of $5,000 (subject to the requirement hereinafter stated that each
substitute Bond shall have a single stated principal maturity date), shall be in the form prescribed in the
FORM OF SUBSTITUTE BOND set forth in this Ordinance, and shall have the characteristics, and may
be assigned, transferred, and converted as hereinafter provided. If the Initial Bond or any portion thereof
is assigned and transferred or converted the Initial Bond must be surrendered to the Paying
Agent/Registrar for cancellation, and each Bond issued in exchange for any portion of the Initial Bond
shall have a single stated principal maturity date, and shall not be payable in installments; and each such
Bond shall have a principal maturity date corresponding to the due date of the installment of principal or
portion thereof for which the substitute Bond is being exchanged; and each such Bond shall bear interest
at the single rate applicable to and borne by such installment of principal or portion thereof for which it is
being exchanged. If only a portion of the Initial Bond is assigned and transferred, there shall be delivered
to and registered in the name of the initial registered owner substitute Bonds in exchange for the
unassigned balance of the Initial Bond in the same manner as if the initial registered owner were the
assignee thereof. If any Bond or portion thereof other than the Initial Bond is assigned and transferred or
converted each Bond issued in exchange shall have the same principal maturity date and bear interest at
the same rate as the Bond for which it is exchanged. A form of assignment shall be printed or endorsed
on each Bond, excepting the Initial Bond, which shall be executed by the registered owner or its duly
authorized attorney or representative to evidence an assignment thereof. Upon surrender of any Bonds or
any portion or portions thereof for transfer of registration, an authorized representative of the Paying
Agent/Registrar shall make such transfer in the Registration Books, and shall deliver a new fully
registered substitute Bond or Bonds, having the characteristics herein described, payable to such assignee
or assignees (which then will be the registered owner or owners of such new Bond or Bonds), or to the
previous registered owner in case only a portion of a Bond is being assigned and transferred, all in
conversion of and exchange for said assigned Bond or Bonds or any portion or portions thereof, in the
same form and manner, and with the same effect, as provided in Section 6(d), below, for the conversion
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and exchange of Bonds by any registered owner of a Bond. The Issuer shall pay the Paying
Agent/Registrar's standard or customary fees and charges for making such transfer and delivery of a
substitute Bond or Bonds, but the one requesting such transfer shall pay any taxes or other governmental
charges required to be paid with respect thereto. The Paying Agent/Registrar shall not be required to
make transfers of registration of any Bond or any portion thereof (i) during the period commencing with
the close of business on any Record Date and ending with the opening of business on the next following
principal or interest payment date, or, (ii) with respect to any Bond or any portion thereof called for
redemption prior to maturity, within 30 days prior to its redemption date.
(b) Ownership of Bonds. The entity in whose name any Bond shall be registered in the
Registration Books at any time shall be deemed and treated as the absolute owner thereof for all purposes
of this Ordinance, whether or not such Bond shall be overdue, and the Issuer and the Paying
Agent/Registrar shall not be affected by any notice to the contrary; and payment of, or on account of, the
principal of, premium, if any, and interest on any such Bond shall be made only to such registered owner.
All such payments shall be valid and effectual to satisfy and discharge the liability upon such Bond to the
extent of the sum or sums so paid.
(c) Payment of Bonds and Interest. The Issuer hereby further appoints the Paying
Agent/Registrar to act as the paying agent for paying the principal of and interest on the Bonds, and to act
as its agent to convert and exchange or replace Bonds, all as provided in this Ordinance. The Paying
Agent/Registrar shall keep proper records of all payments made by the Issuer and the Paying
Agent/Registrar with respect to the Bonds, and of all conversions and exchanges of Bonds, and all
replacements of Bonds, as provided in this Ordinance. However, in the event of a nonpayment of interest
on a scheduled payment date, and for thirty (30) days thereafter, a new record date for such interest
payment (a "Special Record Date") will be established by the Paying Agent/Registrar, if and when funds
for the payment of such interest have been received from the Issuer. Notice of the Special Record Date
and of the scheduled payment date of the past due interest (which shall be l5 days after the Special Record
Date) shall be sent at least five (5) business days prior to the Special Record Date by United States mail,
first class postage prepaid, to the address of each Bondholder appearing on the Registration Books at the
close of business on the last business day next preceding the date of mailing of such notice.
(d) Conversion and Exchange or Replacement; Authentication. Each Bond issued and delivered
pursuant to this Ordinance, to the extent of the unpaid or unredeemed principal balance or principal
amount thereof, may, upon surrender of such Bond at the principal corporate trust office of the Paying
Agent/Registrar, together with a written request therefor duly executed by the registered owner or the
assignee or assignees thereof, or its or their duly authorized attorneys or representatives, with guarantee of
signatures satisfactory to the Paying Agent/Registrar, may, at the option of the registered owner or such
assignee or assignees, as appropriate, be converted into and exchanged for fully registered bonds, without
interest coupons, in the form prescribed in the FORM OF SUBSTITUTE BOND set forth in this
Ordinance, in the denomination of $5,000, or any integral multiple of $5,000 (subject to the requirement
hereinafter stated that each substitute Bond shall have a single stated maturity date), as requested in
writing by such registered owner or such assignee or assignees, in an aggregate principal amount equal to
the unpaid or unredeemed principal balance or principal amount of any Bond or Bonds so surrendered,
and payable to the appropriate registered owner, assignee, or assignees, as the case may be. If the Initial
Bond is assigned and transferred or converted each substitute Bond issued in exchange for any portion of
the Initial Bond shall have a single stated principal maturity date, and shall not be payable in installments;
and each such Bond shall have a principal maturity date corresponding to the due date of the installment
of principal or portion thereof for which the substitute Bond is being exchanged; and each such Bond
shall bear interest at the single rate applicable to and borne by such installment of principal or portion
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thereof for which it is being exchanged. If a portion of any Bond (other than the Initial Bond) shall be
redeemed prior to its scheduled maturity as provided herein, a substitute Bond or Bonds having the same
maturity date, bearing interest at the same rate, in the denomination or denominations of any integral
multiple of $5,000 at the request of the registered owner, and in aggregate principal amount equal to the
unredeemed portion thereof, will be issued to the registered owner upon surrender thereof for
cancellation. If any Bond or portion thereof (other than the Initial Bond) is assigned and transferred or
converted, each Bond issued in exchange therefor shall have the same principal maturity date and bear
interest at the same rate as the Bond for which it is being exchanged. Each substitute Bond shall bear a
letter and/or number to distinguish it from each other Bond. The Paying Agent/Registrar shall convert
and exchange or replace Bonds as provided herein, and each fully registered bond delivered in conversion
of and exchange for or replacement of any Bond or portion thereof as permitted or required by any
provision of this Ordinance shall constitute one of the Bonds for all purposes of this Ordinance, and may
again be converted and exchanged or replaced. It is specifically provided that any Bond authenticated in
conversion of and exchange for or replacement of another Bond on or prior to the first scheduled Record
Date for the Initial Bond shall bear interest from the date of the Initial Bond, but each substitute Bond so
authenticated after such first scheduled Record Date shall bear interest from the interest payment date
next preceding the date on which such substitute Bond was so authenticated, unless such Bond is
authenticated after any Record Date but on or before the next following interest payment date, in which
case it shall bear interest from such next following interest payment date; provided, however, that if at the
time of delivery of any substitute Bond the interest on the Bond for which it is being exchanged is due but
has not been paid, then such Bond shall bear interest from the date to which such interest has been paid in
full. THE INITIAL BOND issued and delivered pursuant to this Ordinance is not required to be, and
shall not be, authenticated by the Paying Agent/ Registrar, but on each substitute Bond issued in
conversion of and exchange for or replacement of any Bond or Bonds issued under this Ordinance there
shall be printed a certificate, in the form substantially as follows:
"PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE
It is hereby certified that this Bond has been issued under the provisions of the Bond Ordinance
described on the face of this Bond; and that this Bond has been issued in conversion of and exchange for
or replacement of a bond, bonds, or a portion of a bond or bonds of an issue which originally was
approved by the Attorney General of the State of Texas and registered by the Comptroller of Public
Accounts of the State of Texas.
Paying Agent/Registrar
Dated __________ By_________________________
Authorized Representative"
An authorized representative of the Paying Agent/Registrar shall, before the delivery of any such Bond,
date and manually sign the above Certificate, and no such Bond shall be deemed to be issued or
outstanding unless such Certificate is so executed. The Paying Agent/Registrar promptly shall cancel all
Bonds surrendered for conversion and exchange or replacement. No additional ordinances, orders, or
resolutions need be passed or adopted by the governing body of the Issuer or any other body or person so
as to accomplish the foregoing conversion and exchange or replacement of any Bond or portion thereof,
and the Paying Agent/Registrar shall provide for the printing, execution, and delivery of the substitute
Bonds in the manner prescribed herein, and said Bonds shall be of type composition printed on paper with
lithographed or steel engraved borders of customary weight and strength. Pursuant to Chapter 1207,
Texas Government Code, the duty of conversion and exchange or replacement of Bonds as aforesaid is
11
hereby imposed upon the Paying Agent/Registrar, and, upon the execution of the above Paying
Agent/Registrar's Authentication Certificate, the converted and exchanged or replaced Bond shall be
valid, incontestable, and enforceable in the same manner and with the same effect as the Initial Bond
which originally was issued pursuant to this Ordinance, approved by the Attorney General, and registered
by the Comptroller of Public Accounts. The Issuer shall pay the Paying Agent/Registrar's standard or
customary fees and charges for transferring, converting, and exchanging any Bond or any portion thereof,
but the one requesting any such transfer, conversion, and exchange shall pay any taxes or governmental
charges required to be paid with respect thereto as a condition precedent to the exercise of such privilege
of conversion and exchange. The Paying Agent/Registrar shall not be required to make any such
conversion and exchange or replacement of Bonds or any portion thereof (i) during the period
commencing with the close of business on any Record Date and ending with the opening of business on
the next following principal or interest payment date, or, (ii) with respect to any Bond or portion thereof
called for redemption prior to maturity, within 45 days prior to its redemption date.
(e) In General. All Bonds issued in conversion and exchange or replacement of any other Bond
or portion thereof, (i) shall be issued in fully registered form, without interest coupons, with the principal
of and interest on such Bonds to be payable only to the registered owners thereof, (ii) may be redeemed
prior to their scheduled maturities, (iii) may be transferred and assigned, (iv) may be converted and
exchanged for other Bonds, (v) shall have the characteristics, (vi) shall be signed and sealed, and (vii) the
principal of and interest on the Bonds shall be payable, all as provided, and in the manner required or
indicated, in the FORM OF SUBSTITUTE BOND set forth in this Ordinance.
(f) Payment of Fees and Charges. The Issuer hereby covenants with the registered owners of the
Bonds that it will (i) pay the standard or customary fees and charges of the Paying Agent/Registrar for its
services with respect to the payment of the principal of and interest on the Bonds, when due, and (ii) pay
the fees and charges of the Paying Agent/Registrar for services with respect to the transfer of registration
of Bonds, and with respect to the conversion and exchange of Bonds solely to the extent above provided
in this Ordinance.
(g) Substitute Paying Agent/Registrar. The Issuer covenants with the registered owners of the
Bonds that at all times while the Bonds are outstanding the Issuer will provide a competent and legally
qualified bank, trust company, financial institution, or other agency to act as and perform the services of
Paying Agent/Registrar for the Bonds under this Ordinance, and that the Paying Agent/Registrar will be
one entity. The Issuer reserves the right to, and may, at its option, change the Paying Agent/Registrar
upon not less than 120 days written notice to the Paying Agent/ Registrar, to be effective not later than 60
days prior to the next principal or interest payment date after such notice. In the event that the entity at
any time acting as Paying Agent/Registrar (or its successor by merger, acquisition, or other method)
should resign or otherwise cease to act as such, the Issuer covenants that promptly it will appoint a
competent and legally qualified bank, trust company, financial institution, or other agency to act as
Paying Agent/Registrar under this Ordinance. Upon any change in the Paying Agent/Registrar, the
previous Paying Agent/Registrar promptly shall transfer and deliver the Registration Books (or a copy
thereof), along with all other pertinent books and records relating to the Bonds, to the new Paying
Agent/Registrar designated and appointed by the Issuer. Upon any change in the Paying Agent/Registrar,
the Issuer promptly will cause a written notice thereof to be sent by the new Paying Agent/Registrar to
each registered owner of the Bonds, by United States mail, first-class postage prepaid, which notice also
shall give the address of the new Paying Agent/Registrar. By accepting the position and performing as
such, each Paying Agent/Registrar shall be deemed to have agreed to the provisions of this Ordinance,
and a certified copy of this Ordinance shall be delivered to each Paying Agent/Registrar.
(h) Book-Entry Only System. The Bonds issued in exchange for the Bonds initially issued to the
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purchaser specified herein shall be initially issued in the form of a separate single fully registered Bond
for each of the maturities thereof. Upon initial issuance, the ownership of each such Bond shall be
registered in the name of Cede & Co., as nominee of Depository Trust Company of New York ("DTC"),
and except as provided in subsection (i) hereof, all of the outstanding Bonds shall be registered in the
name of Cede & Co., as nominee of DTC.
With respect to Bonds registered in the name of Cede & Co., as nominee of DTC, the Issuer and
the Paying Agent/Registrar shall have no responsibility or obligation to any DTC Participant or to any
person on behalf of whom such a DTC Participant holds an interest on the Bonds. Without limiting the
immediately preceding sentence, the Issuer and the Paying Agent/Registrar shall have no responsibility or
obligation with respect to (i) the accuracy of the records of DTC, Cede & Co. or any DTC Participant
with respect to any ownership interest in the Bonds, (ii) the delivery to any DTC Participant or any other
person, other than a Bondholder, as shown on the Registration Books, of any notice with respect to the
Bonds, including any notice of redemption, or (iii) the payment to any DTC Participant or any other
person, other than a Bondholder, as shown in the Registration Books of any amount with respect to
principal of, premium, if any, or interest on, as the case may be, the Bonds. Notwithstanding any other
provision of this Ordinance to the contrary, the Issuer and the Paying Agent/Registrar shall be entitled to
treat and consider the person in whose name each Bond is registered in the Registration Books as the
absolute owner of such Bond for the purpose of payment of principal, premium, if any, and interest, as the
case may be, with respect to such Bond, for the purpose of giving notices of redemption and other matters
with respect to such Bond, for the purpose of registering transfers with respect to such Bond, and for all
other purposes whatsoever. The Paying Agent/Registrar shall pay all principal of, premium, if any, and
interest on the Bonds only to or upon the order of the respective owners, as shown in the Registration
Books as provided in this Ordinance, or their respective attorneys duly authorized in writing, and all such
payments shall be valid and effective to fully satisfy and discharge the Issuer's obligations with respect to
payment of principal of, premium, if any, and interest on, or as the case may be, the Bonds to the extent
of the sum or sums so paid. No person other than an owner, as shown in the Registration Books, shall
receive a Bond certificate evidencing the obligation of the Issuer to make payments of principal,
premium, if any, and interest, as the case may be, pursuant to this Ordinance. Upon delivery by DTC to
the Paying Agent/Registrar of written notice to the effect that DTC has determined to substitute a new
nominee in place of Cede & Co., and subject to the provisions in this Ordinance with respect to interest
checks being mailed to the registered owner at the close of business on the Record Date, the word "Cede
& Co." in this Ordinance shall refer to such new nominee of DTC.
(i) Successor Securities Depository; Transfers Outside Book-Entry Only System. In the event
that the Issuer or the Paying Agent/Registrar determines that DTC is incapable of discharging its
responsibilities described herein and in the representation letter of the Issuer to DTC and that it is in the
best interest of the beneficial owners of the Bonds that they be able to obtain certificated Bonds, the
Issuer or the Paying Agent/Registrar shall (i) appoint a successor securities depository, qualified to act as
such under Section 17(a) of the Securities and Exchange Act of 1934, as amended, notify DTC and DTC
Participants of the appointment of such successor securities depository and transfer one or more separate
Bonds to such successor securities depository or (ii) notify DTC and DTC Participants of the availability
through DTC of Bonds and transfer one or more separate Bonds to DTC Participants having Bonds
credited to their DTC accounts. In such event, the Bonds shall no longer be restricted to being registered
in the Registration Books in the name of Cede & Co., as nominee of DTC, but may be registered in the
name of the successor securities depository, or its nominee, or in whatever name or names Bondholders
transferring or exchanging Bonds shall designate, in accordance with the provisions of this Ordinance.
(j) Payments to Cede & Co. Notwithstanding any other provision of this Ordinance to the
contrary, so long as any Bond is registered in the name of Cede & Co., as nominee of DTC, all payments
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with respect to principal of, premium, if any, and interest on, or as the case may be, such Bond and all
notices with respect to such Bond shall be made and given, respectively, in the manner provided in the
representation letter of the Issuer to DTC.
Section 7. FORM OF SUBSTITUTE BONDS. The form of all Bonds issued in conversion
and exchange or replacement of any other Bond or portion thereof, including the form of Paying
Agent/Registrar's Certificate to be printed on each of such Bonds, and the Form of Assignment to be
printed on each of the Bonds, shall be, respectively, substantially as follows, with such appropriate
variations, omissions, or insertions as are permitted or required by this Ordinance.
FORM OF SUBSTITUTE BOND
PRINCIPAL AMOUNT
NO. _____ $___________________
UNITED STATES OF AMERICA
STATE OF TEXAS
COUNTIES OF DALLAS AND DENTON
CITY OF COPPELL, TEXAS
GENERAL OBLIGATION BOND, SERIES 2006
INTEREST RATE MATURITY DAT
E
DATE OF ORIGINAL ISSUE CUSIP NO
.
ON THE MATURITY DATE specified above, the CITY OF COPPELL, in DALLAS AND
DENTON COUNTIES, TEXAS (the "Issuer"), being a political subdivision of the State of Texas, hereby
promises to pay to
__________________________________________________,
or to the registered assignee hereof (either being hereinafter called the "registered owner") the principal
amount of
________________________________________________
and to pay interest thereon from August 15, 2006 to the maturity date specified above, or the date of
redemption prior to maturity, at the interest rate per annum specified above; with interest being payable
on February 1, 2007, and semiannually thereafter on each August 1 and February 1, except that if the date
of authentication of this Bond is later than January 15, 2007, such principal amount shall bear interest
from the interest payment date next preceding the date of authentication, unless such date of
authentication is after any Record Date (hereinafter defined) but on or before the next following interest
payment date, in which case such principal amount shall bear interest from such next following interest
payment date.
THE PRINCIPAL OF AND INTEREST ON this Bond are payable in lawful money of the United
States of America, without exchange or collection charges. The principal of this Bond shall be paid to the
registered owner hereof upon presentation and surrender of this Bond at maturity or upon the date fixed
for its redemption prior to maturity, at the principal corporate trust office of U.S.BANK NATIONAL
ASSOCIATION, HOUSTON, TEXAS, which is the "Paying Agent/Registrar" for this Bond. The
payment of interest on this Bond shall be made by the Paying Agent/Registrar to the registered owner
hereof on each interest payment date by check or draft, dated as of such interest payment date, drawn by
the Paying Agent/Registrar on, and payable solely from, funds of the Issuer required by the ordinance
authorizing the issuance of the Bonds (the "Bond Ordinance") to be on deposit with the Paying
Agent/Registrar for such purpose as hereinafter provided; and such check or draft shall be sent by the
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Paying Agent/Registrar by United States Mail, first-class postage prepaid, on each such interest payment
date, to the registered owner hereof, at the address of the registered owner, as it appeared on the 15th day
of the month next preceding each such date (the "Record Date") on the Registration Books kept by the
Paying Agent/Registrar, as hereinafter described, or by such other method acceptable to the Paying
Agent/Registrar requested by, and the risk and expense of, the registered owner. Any accrued interest due
upon the redemption of this Bond prior to maturity as provided herein shall be paid to the registered
owner upon presentation and surrender of this Bond for redemption and payment at the principal
corporate trust office of the Paying Agent/Registrar. The Issuer covenants with the registered owner of
this Bond that on or before each principal payment date, interest payment date, and accrued interest
payment date for this Bond it will make available to the Paying Agent/Registrar, from the "Interest and
Sinking Fund" created by the Bond Ordinance, the amounts required to provide for the payment, in
immediately available funds, of all principal of and interest on the Bonds, when due.
IF THE DATE for the payment of the principal of or interest on this Bond shall be a Saturday,
Sunday, a legal holiday, or a day on which banking institutions in the City where the Paying
Agent/Registrar is located are authorized by law or executive order to close, then the date for such
payment shall be the next succeeding day which is not such a Saturday, Sunday, legal holiday, or day on
which banking institutions are authorized to close; and payment on such date shall have the same force
and effect as if made on the original date payment was due.
THIS BOND is one of an issue of Bonds initially dated August 15, 2006, authorized in
accordance with the Constitution and laws of the State of Texas in the principal amount of $4,265,000 for
providing $1,200,000 for the purpose of acquiring, constructing, equipping and improving permanent
public improvements for the City’s parks, including but not limited to the development of MacArthur
Park; Wagon Wheel Park, Andrew Brown Park East, new Senior Citizen Center, tennis courts, extension
of North Zone Trail System, and renovation of Grapevine Springs, and $3,065,00 for the purpose of
constructing, improving, and equipping permanent public improvements, to-wit: the City's streets,
including but not limited to West Sandy Lake Road (Denton Tap Road to S.H. 121); East Sandy Lake
Road (Kimbel Court to east city limits); Bethel Road I (Freeport Parkway to west city limits); Bethel
Road II (Freeport Parkway to Denton Tap Road); Coppell Road (West Sandy Lake Road to Bethel Road);
Creekview Road (Ruby Rd./State Rd. West along south edge of Wagon Wheel Park); and Freeport
Parkway (Bethel Road to I.H. 635).
ON FEBRUARY 1, 2016, or any date thereafter, the Bonds of this Series may be redeemed prior
to their scheduled maturities, at the option of the Issuer, with funds derived from any available and lawful
source, as a whole, or in part, and, if in part, the Issuer shall select and designate the maturity or
maturities and the amount that is to be redeemed, and if less than a whole maturity is to be called, the
Issuer shall direct the Paying Agent/Registrar to call by lot (provided that a portion of a Bond may be
redeemed only in an integral multiple of $5,000), at the redemption price of the principal amount thereof,
plus accrued interest to the date fixed for redemption.
THE BONDS OF THIS SERIES scheduled to mature on February 1, 20__ and February 1, 20__
are subject to mandatory redemption prior to their scheduled maturities, and shall be redeemed by the
Issuer, in part, prior to their scheduled maturities, with money from the Mandatory Redemption Account
of the Interest and Sinking Fund, with the particular Bonds or portion thereof to be redeemed to be
selected by the Paying Agent/Registrar, by lot or other customary method (provided that a portion of a
Bond may be redeemed only in an integral multiple of $5,000) at a redemption price equal to the par or
principal amount thereof and accrued interest to the date of redemption, on the dates, and in the principal
amounts, respectively, as shown in the following schedules:
15
FEBRUARY 1, 20__ MATURITY
Mandatory Redemption Dates Principal Amounts
February 1, 20__ $ (payment at maturity)
FEBRUARY 1, 20__ MATURITY
Mandatory Redemption Dates Principal Amounts
February 1, 20__ $ (payment at maturity)
The principal amount of the Bonds required to be redeemed on each such redemption date pursuant to the
foregoing operation of the Mandatory Redemption Account shall be reduced, at the option of the Issuer,
by the principal amount of any Bonds, which at least 45 days prior to the mandatory sinking fund
redemption date, (1) shall have been acquired by the Issuer and delivered to the Paying Agent/Registrar
for cancellation, or (2) shall have been purchased and canceled by the Paying Agent/Registrar at the
request of the Issuer at a price not exceeding the principal amount of such Bonds plus accrued interest to
the date of purchase, or (3) have been redeemed pursuant to the optional redemption provisions set forth
above and not theretofore credited against a mandatory sinking fund redemption. During any period in
which ownership of the Bonds is determined by a book entry at a securities depository for the Bonds, if
fewer than all of the Bonds of the same maturity and bearing the same interest rate are to be redeemed, the
particular Bonds of such maturity and bearing such interest rate shall be selected in accordance with the
arrangements between the Issuer and the securities depository.
AT LEAST 30 days prior to the date fixed for any redemption of Bonds or portions thereof prior
to maturity a written notice of such redemption shall be sent by the Paying Agent/Registrar by United
States mail, first class postage prepaid, not less than 30 days prior to the date fixed for any such
redemption, to the registered owner of each Bond to be redeemed at its address as it appeared on the 45th
day prior to such redemption date; provided, however, that the failure to receive such notice, or any defect
therein or in the sending or mailing thereof, shall not affect the validity or effectiveness of the
proceedings for the redemption of any Bond, and it is hereby specifically provided that the mailing of
such notice as required above shall be the only notice actually required in connection with or as a
prerequisite to the redemption of any Bonds or portions thereof. By the date fixed for any such
redemption due provision shall be made with the Paying Agent/Registrar for the payment of the required
redemption price for the Bonds or portions thereof which are to be so redeemed, plus accrued interest
thereon to the date fixed for redemption. If such written notice of redemption is mailed and if due
provision for such payment is made, all as provided above, the Bonds or portions thereof which are to be
so redeemed thereby automatically shall be treated as redeemed prior to their scheduled maturities, and
they shall not bear interest after the date fixed for redemption, and they shall not be regarded as being
outstanding except for the right of the registered owner to receive the redemption price plus accrued
interest from the Paying Agent/Registrar out of the funds provided for such payment. If a portion of any
Bond shall be redeemed a substitute Bond or Bonds having the same maturity date, bearing interest at the
same rate, in any denomination or denominations in any integral multiple of $5,000, at the written request
of the registered owner, and in aggregate principal amount equal to the unredeemed portion thereof, will
be issued to the registered owner upon the surrender thereof for cancellation, at the expense of the Issuer,
all as provided in the Bond Ordinance.
THIS BOND OR ANY PORTION OR PORTIONS HEREOF IN ANY INTEGRAL MULTIPLE
OF $5,000 may be assigned and shall be transferred only in the Registration Books of the Issuer kept by
16
the Paying Agent/Registrar acting in the capacity of registrar for the Bonds, upon the terms and
conditions set forth in the Bond Ordinance. Among other requirements for such assignment and transfer,
this Bond must be presented and surrendered to the Paying Agent/Registrar, together with proper
instruments of assignment, in form and with guarantee of signatures satisfactory to the Paying
Agent/Registrar, evidencing assignment of this Bond or any portion or portions hereof in any integral
multiple of $5,000 to the assignee or assignees in whose name or names this Bond or any such portion or
portions hereof is or are to be transferred and registered. The form of Assignment printed or endorsed on
this Bond shall be executed by the registered owner or its duly authorized attorney or representative, to
evidence the assignment hereof. A new Bond or Bonds payable to such assignee or assignees (which then
will be the new registered owner or owners of such new Bond or Bonds), or to the previous registered
owner in the case of the assignment and transfer of only a portion of this Bond, may be delivered by the
Paying Agent/Registrar in conversion of and exchange for this Bond, all in the form and manner as
provided in the next paragraph hereof for the conversion and exchange of other Bonds. The Issuer shall
pay the Paying Agent/Registrar's standard or customary fees and charges for making such transfer, but the
one requesting such transfer shall pay any taxes or other governmental charges required to be paid with
respect thereto. The Paying Agent/Registrar shall not be required to make transfers of registration of this
Bond or any portion hereof (i) during the period commencing with the close of business on any Record
Date and ending with the opening of business on the next following principal or interest payment date,
or, (ii) with respect to any Bond or any portion thereof called for redemption prior to maturity, within 45
days prior to its redemption date. The registered owner of this Bond shall be deemed and treated by the
Issuer and the Paying Agent/Registrar as the absolute owner hereof for all purposes, including payment
and discharge of liability upon this Bond to the extent of such payment, and the Issuer and the Paying
Agent/Registrar shall not be affected by any notice to the contrary.
ALL BONDS OF THIS SERIES are issuable solely as fully registered bonds, without interest
coupons, in the denomination of any integral multiple of $5,000. As provided in the Bond Ordinance,
this Bond, or any unredeemed portion hereof, may, at the request of the registered owner or the assignee
or assignees hereof, be converted into and exchanged for a like aggregate principal amount of fully
registered bonds, without interest coupons, payable to the appropriate registered owner, assignee, or
assignees, as the case may be, having the same maturity date, and bearing interest at the same rate, in any
denomination or denominations in any integral multiple of $5,000 as requested in writing by the
appropriate registered owner, assignee, or assignees, as the case may be, upon surrender of this Bond to
the Paying Agent/Registrar for cancellation, all in accordance with the form and procedures set forth in
the Bond Ordinance. The Issuer shall pay the Paying Agent/Registrar's standard or customary fees and
charges for transferring, converting, and exchanging any Bond or any portion thereof, but the one
requesting such transfer, conversion, and exchange shall pay any taxes or governmental charges required
to be paid with respect thereto as a condition precedent to the exercise of such privilege of conversion and
exchange. The Paying Agent/Registrar shall not be required to make any such conversion and exchange
(i) during the period commencing with the close of business on any Record Date and ending with the
opening of business on the next following principal or interest payment date, or, (ii) with respect to any
Bond or portion thereof called for redemption prior to maturity, within 45 days prior to its redemption
date.
IN THE EVENT any Paying Agent/Registrar for the Bonds is changed by the Issuer, resigns, or
otherwise ceases to act as such, the Issuer has covenanted in the Bond Ordinance that it promptly will
appoint a competent and legally qualified substitute therefor, and promptly will cause written notice
thereof to be mailed to the registered owners of the Bonds.
17
IT IS HEREBY certified, recited, and covenanted that this Bond has been duly and validly
authorized, issued, sold, and delivered; that all acts, conditions, and things required or proper to be
performed, exist, and be done precedent to or in the authorization, issuance, and delivery of this Bond
have been performed, existed, and been done in accordance with law; that this Bond is a general
obligation of the Issuer, issued on the full faith and credit thereof; and that ad valorem taxes sufficient to
provide for the payment of the interest on and principal of this Bond, as such interest and principal come
due, have been levied and ordered to be levied against all taxable property in the Issuer, and have been
pledged for such payment, within the limit prescribed by law.
BY BECOMING the registered owner of this Bond, the registered owner thereby acknowledges
all of the terms and provisions of the Bond Ordinance, agrees to be bound by such terms and provisions,
acknowledges that the Bond Ordinance is duly recorded and available for inspection in the official
minutes and records of the governing body of the Issuer, and agrees that the terms and provisions of this
Bond and the Bond Ordinance constitute a contract between each registered owner hereof and the Issuer.
IN WITNESS WHEREOF, the Issuer has caused this Bond to be signed with the manual or
facsimile signature of the Mayor of the Issuer and countersigned with the manual or facsimile signature of
the City Secretary of the Issuer, and has caused the official seal of the Issuer to be duly impressed, or
placed in facsimile, on this Bond.
City Secretary Mayor
(CITY SEAL)
18
FORM OF PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE
PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE
(To be executed if this Bond is not accompanied by an executed
Registration Certificate of the Comptroller of Public Accounts of the State of Texas)
It is hereby certified that this Bond has been issued under the provisions of the Bond Ordinance
described in the text of this Bond; and that this Bond has been issued in conversion or replacement of, or in
exchange for, a bond, bonds, or a portion of a bond or bonds of a Series which originally was approved by the
Attorney General of the State of Texas and registered by the Comptroller of Public Accounts of the State of
Texas.
Dated U.S.Bank, National Association, Houston, Texas
By
Authorized Representative
FORM OF ASSIGNMENT:
ASSIGNMENT
FOR VALUE RECEIVED, the undersigned registered owner of this Bond, or duly authorized
representative or attorney thereof, hereby assigns this Bond to
(Assignee's Social Security or Tax Payer
Identification Number)
(Print or type Assignee's Name and Address Including Zip
Code)
and hereby irrevocably constitutes and appoints
Attorney, to transfer the registration of this Bond on the Paying Agent/Registrar's Registration Books with full
power of substitution in the premises.
Dated _______________
NOTICE: This signature must be guaranteed
by a member of the New York Stock Exchange
or a commercial bank or trust company.
NOTICE: This signature must correspond with the
name of the Registered Owner appearing on the face
of this Bond in every particular without alteration or
enlargement or any change whatsoever.
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Section 8. TAX LEVY. A special Interest and Sinking Fund (the "Interest and Sinking
Fund") is hereby created solely for the benefit of the Bonds, together with a Mandatory Redemption
Account which shall mean that account established within the Interest and Sinking Fund as provided
herein, and the Interest and Sinking Fund shall be established and maintained by the Issuer at an official
depository bank of the Issuer. The Interest and Sinking Fund shall be kept separate and apart from all
other funds and accounts of the Issuer, and shall be used only for paying the interest on and principal of
the Bonds. All ad valorem taxes levied and collected for and on account of the Bonds shall be deposited,
as collected, to the credit of the Interest and Sinking Fund. During each year while any of the Bonds or
interest thereon are outstanding and unpaid, the governing body of the Issuer shall compute and ascertain
a rate and amount of ad valorem tax which will be sufficient to raise and produce the money required to
pay the interest on the Bonds as such interest comes due, and to provide and maintain a sinking fund
adequate to pay the principal of its Bonds as such principal matures (but never less than 2% of the
original principal amount of the Bonds as a sinking fund each year), including such amounts to satisfy the
mandatory redemption schedule for the Bonds maturing February 1, 20__ and February 1, 20__, which
shall be deposited into the Mandatory Redemption Account, with such mandatory redemption of principal
and interest constituting payment at maturity, on the dates and for the amount as follows:
FEBRUARY 1, 20__ MATURITY
Mandatory Redemption Dates Principal Amounts
February 1, 20__ $ (payment at maturity)
FEBRUARY 1, 20__ MATURITY
Mandatory Redemption Dates Principal Amounts
February 1, 20__ $ (payment at maturity)
Said tax shall be based on the latest approved tax rolls of the Issuer, with full allowance being made for
tax delinquencies and the cost of tax collection. Said rate and amount of ad valorem tax is hereby levied,
and is hereby ordered to be levied, against all taxable property in the Issuer for each year while any of the
Bonds or interest thereon are outstanding and unpaid; and said tax shall be assessed and collected each
such year and deposited to the credit of the aforesaid Interest and Sinking Fund. Said ad valorem taxes
sufficient to provide for the payment of the interest on and principal of the Bonds, as such interest comes
due and such principal matures, are hereby pledged for such payment, within the limit prescribed by law.
Chapter 1208, Government Code, applies to the issuance of the Bonds and the pledge of the taxes
granted by the Issuer under this Section, and is therefore valid, effective, and perfected. Should Texas
law be amended at any time while the Bonds are outstanding and unpaid, the result of such amendment
being that the pledge of the taxes granted by the Issuer under this Section is to be subject to the filing
requirements of Chapter 9, Business & Commerce Code, in order to preserve to the registered owners of
the Bonds a security interest in said pledge, the Issuer agrees to take such measures as it determines are
reasonable and necessary under Texas law to comply with the applicable provisions of Chapter 9,
Business & Commerce Code and enable a filing of a security interest in said pledge to occur.
Section 9. DEFEASANCE OF BONDS. (a) Any Bond and the interest thereon shall be
deemed to be paid, retired, and no longer outstanding (a "Defeased Bond") within the meaning of this
Ordinance, except to the extent provided in subsection (d) of this Section, when payment of the principal
of such Bond, plus interest thereon to the due date (whether such due date be by reason of maturity or
20
otherwise) either (i) shall have been made or caused to be made in accordance with the terms thereof, or
(ii) shall have been provided for on or before such due date by irrevocably depositing with or making
available to the Paying Agent/Registrar in accordance with an escrow agreement or other instrument (the
"Future Escrow Agreement") for such payment (1) lawful money of the United States of America
sufficient to make such payment or (2) Defeasance Securities that mature as to principal and interest in
such amounts and at such times as will insure the availability, without reinvestment, of sufficient money
to provide for such payment, and when proper arrangements have been made by the Issuer with the
Paying Agent/Registrar for the payment of its services until all Defeased Bonds shall have become due
and payable. At such time as a Bond shall be deemed to be a Defeased Bond hereunder, as aforesaid,
such Bond and the interest thereon shall no longer be secured by, payable from, or entitled to the benefits
of, the ad valorem taxes herein levied and pledged as provided in this Ordinance, and such principal and
interest shall be payable solely from such money or Defeasance Securities.
(b) Any moneys so deposited with the Paying Agent/Registrar may at the written direction of the
Issuer also be invested in Defeasance Securities, maturing in the amounts and times as hereinbefore set
forth, and all income from such Defeasance Securities received by the Paying Agent/Registrar that is not
required for the payment of the Bonds and interest thereon, with respect to which such money has been so
deposited, shall be turned over to the Issuer, or deposited as directed in writing by the Issuer. Any Future
Escrow Agreement pursuant to which the money and/or Defeasance Securities are held for the payment of
Defeased Bonds may contain provisions permitting the investment or reinvestment of such moneys in
Defeasance Securities or the substitution of other Defeasance Securities upon the satisfaction of the
requirements specified in subsection 9(a)(i) or (ii). All income from such Defeasance Securities received
by the Paying Agent/Registrar which is not required for the payment of the Defeased Bonds, with respect
to which such money has been so deposited, shall be remitted to the Issuer or deposited as directed in
writing by the Issuer.
(c) The term "Defeasance Securities" means (i) direct, noncallable obligations of the United
States of America, including obligations that are unconditionally guaranteed by the United States of
America., (ii) noncallable obligations of an agency or instrumentality of the United States of America,
including obligations that are unconditionally guaranteed or insured by the agency or instrumentality and
that, on the date of the purchase thereof are rated as to investment quality by a nationally recognized
investment rating firm not less than AAA or its equivalent, and (iii) noncallable obligations of a state or
an agency or a county, municipality, or other political subdivision of a state that have been refunded and
that, on the date the governing body of the Issuer adopts or approves the proceedings authorizing the
financial arrangements are rated as to investment quality by a nationally recognized investment rating
firm not less than AAA or its equivalent.
(d) Until all Defeased Bonds shall have become due and payable, the Paying Agent/Registrar
shall perform the services of Paying Agent/Registrar for such Defeased Bonds the same as if they had not
been defeased, and the Issuer shall make proper arrangements to provide and pay for such services as
required by this Ordinance.
(e) In the event that the Issuer elects to defease less than all of the principal amount of Bonds of a
maturity, the Paying Agent/Registrar shall select, or cause to be selected, such amount of Bonds by such
random method as it deems fair and appropriate.
Section 10. DAMAGED, MUTILATED, LOST, STOLEN, OR DESTROYED BONDS. (a)
Replacement Bonds. In the event any outstanding Bond is damaged, mutilated, lost, stolen, or destroyed,
the Paying Agent/Registrar shall cause to be printed, executed, and delivered, a new bond of the same
21
principal amount, maturity, and interest rate, as the damaged, mutilated, lost, stolen, or destroyed Bond, in
replacement for such Bond in the manner hereinafter provided.
(b) Application for Replacement Bonds. Application for replacement of damaged, mutilated,
lost, stolen, or destroyed Bonds shall be made by the registered owner thereof to the Paying
Agent/Registrar. In every case of loss, theft, or destruction of a Bond, the registered owner applying for a
replacement bond shall furnish to the Issuer and to the Paying Agent/Registrar such security or indemnity
as may be required by them to save each of them harmless from any loss or damage with respect thereto.
Also, in every case of loss, theft, or destruction of a Bond, the registered owner shall furnish to the Issuer
and to the Paying Agent/Registrar evidence to their satisfaction of the loss, theft, or destruction of such
Bond, as the case may be. In every case of damage or mutilation of a Bond, the registered owner shall
surrender to the Paying Agent/Registrar for cancellation the Bond so damaged or mutilated.
(c) No Default Occurred. Notwithstanding the foregoing provisions of this Section, in the event
any such Bond shall have matured, and no default has occurred which is then continuing in the payment
of the principal of, redemption premium, if any, or interest on the Bond, the Issuer may authorize the
payment of the same (without surrender thereof except in the case of a damaged or mutilated Bond)
instead of issuing a replacement Bond, provided security or indemnity is furnished as above provided in
this Section.
(d) Charge for Issuing Replacement Bonds. Prior to the issuance of any replacement bond, the
Paying Agent/Registrar shall charge the registered owner of such Bond with all legal, printing, and other
expenses in connection therewith. Every replacement bond issued pursuant to the provisions of this
Section by virtue of the fact that any Bond is lost, stolen, or destroyed shall constitute a contractual
obligation of the Issuer whether or not the lost, stolen, or destroyed Bond shall be found at any time, or be
enforceable by anyone, and shall be entitled to all the benefits of this Ordinance equally and
proportionately with any and all other Bonds duly issued under this Ordinance.
(e) Authority for Issuing Replacement Bonds. In accordance with Chapter 1207, Texas
Government Code, this Section 10 of this Ordinance shall constitute authority for the issuance of any such
replacement bond without necessity of further action by the governing body of the Issuer or any other
body or person, and the duty of the replacement of such bonds is hereby authorized and imposed upon the
Paying Agent/Registrar, and the Paying Agent/Registrar shall authenticate and deliver such Bonds in the
form and manner and with the effect, as provided in Section 6(d) of this Ordinance for Bonds issued in
conversion and exchange for other Bonds.
Section 11. CUSTODY, APPROVAL, AND REGISTRATION OF BONDS; BOND
COUNSEL'S OPINION; CUSIP NUMBERS; AND CONTINGENT INSURANCE PROVISION, IF
OBTAINED. The Mayor of the Issuer is hereby authorized to have control of the Initial Bond issued
hereunder and all necessary records and proceedings pertaining to the Initial Bond pending its delivery
and its investigation, examination, and approval by the Attorney General of the State of Texas, and its
registration by the Comptroller of Public Accounts of the State of Texas. Upon registration of the Initial
Bond said Comptroller of Public Accounts (or a deputy designated in writing to act for said Comptroller)
shall manually sign the Comptroller's Registration Certificate on the Initial Bond, and the seal of said
Comptroller shall be impressed, or placed in facsimile, on the Initial Bond. The approving legal opinion
of the Issuer's bond counsel and the assigned CUSIP numbers may, at the option of the Issuer, be printed
on the Bond or any Bonds issued and delivered in conversion of and exchange or replacement of any
Bond, but neither shall have any legal effect, and shall be solely for the convenience and information of
the registered owners of the Bonds. In addition, if bond insurance is obtained, the Bonds may bear an
22
appropriate legend as provided by the Insurer.
Section 12. COVENANTS REGARDING TAX EXEMPTION. (a) Covenants. The Issuer
covenants to take any action necessary to assure, or refrain from any action that would adversely affect,
the treatment of the Bonds as obligations described in section 103 of the Code, the interest on which is
not includable in the "gross income" of the Bonds holder for purposes of federal income taxation. In
furtherance thereof, the Issuer covenants as follows:
(1) to take any action to assure that no more than 10 percent of the proceeds of the
Bonds (less amounts deposited to a reserve fund, if any) are used for any "private business use,"
as defined in section 141(b)(6) of the Code or, if more than 10 percent of the proceeds or the
projects financed therewith are so used, such amounts, whether or not received by the Issuer, with
respect to such private business use, do not, under the terms of this Ordinance or any underlying
arrangement, directly or indirectly, secure or provide for the payment of more than 10 percent of
the debt service on the Bonds, in contravention of section 141(b)(2) of the Code;
(2) to take any action to assure that in the event that the "private business use"
described in subsection (1) hereof exceeds 5 percent of the proceeds of the Bonds or the projects
financed therewith (less amounts deposited into a reserve fund, if any) then the amount in excess
of 5 percent is used for a "private business use" that is "related" and not "disproportionate,"
within the meaning of section 141(b)(3) of the Code, to the governmental use;
(3) to take any action to assure that no amount that is greater than the lesser of
$5,000,000, or 5 percent of the proceeds of the Bonds (less amounts deposited into a reserve
fund, if any) is directly or indirectly used to finance loans to persons, other than state or local
governmental units, in contravention of section 141(c) of the Code;
(4) to refrain from taking any action that would otherwise result in the Bonds being
treated as "private activity bonds" within the meaning of section 141(b) of the Code;
(5) to refrain from taking any action that would result in the Bonds being "federally
guaranteed" within the meaning of section 149(b) of the Code;
(6) to refrain from using any portion of the proceeds of the Bonds, directly or
indirectly, to acquire or to replace funds that were used, directly or indirectly, to acquire
investment property (as defined in section 148(b)(2) of the Code) that produces a materially
higher yield over the term of the Bonds, other than investment property acquired with –
(A) proceeds of the Bonds invested for a reasonable temporary period of 3
years or less or, in the case of a refunding bond, for a period of 30 days or less until such
proceeds are needed for the purpose for which the Bonds are issued,
(B) amounts invested in a bona fide debt service fund, within the meaning of
section 1.148-1(b) of the Treasury Regulations, and
(C) amounts deposited in any reasonably required reserve or replacement
fund to the extent such amounts do not exceed 10 percent of the proceeds of the Bonds;
23
(7) to otherwise restrict the use of the proceeds of the Bonds or amounts treated as
proceeds of the Bonds, as may be necessary, so that the Bonds do not otherwise contravene the
requirements of section 148 of the Code (relating to arbitrage) and, to the extent applicable,
section 149(d) of the Code (relating to advance refundings); and
(8) to pay to the United States of America at least once during each five-year period
(beginning on the date of delivery of the Bonds) an amount that is at least equal to 90 percent of
the "Excess Earnings," within the meaning of section 148(f) of the Code and to pay to the United
States of America, not later than 60 days after the Bonds have been paid in full, 100 percent of
the amount then required to be paid as a result of Excess Earnings under section 148(f) of the
Code.
(b) Rebate Fund. In order to facilitate compliance with the above covenant (a)(8), a "Rebate
Fund" is hereby established by the Issuer for the sole benefit of the United States of America, and such
Fund shall not be subject to the claim of any other person, including without limitation the Bondholders.
The Rebate Fund is established for the additional purpose of compliance with section 148 of the Code.
(c) Use of Proceeds. For purposes of the foregoing covenants (a)(1) and (a)(2), the Issuer
understands that the term "proceeds" includes "disposition proceeds" as defined in the Treasury
Regulations and, in the case of refunding Bonds, transferred proceeds (if any) and proceeds of the
refunded Bonds expended prior to the date of issuance of the Bonds. It is the understanding of the Issuer
that the covenants contained herein are intended to assure compliance with the Code and any regulations
or rulings promulgated by the U.S. Department of the Treasury pursuant thereto. In the event that
regulations or rulings are hereafter promulgated that modify or expand provisions of the Code, as
applicable to the Bonds, the Issuer will not be required to comply with any covenant contained herein to
the extent that such failure to comply, in the opinion of nationally recognized bond counsel, will not
adversely affect the exemption from federal income taxation of interest on the Bonds under section 103 of
the Code. In the event that regulations or rulings are hereafter promulgated that impose additional
requirements applicable to the Bonds, the Issuer agrees to comply with the additional requirements to the
extent necessary, in the opinion of nationally recognized bond counsel, to preserve the exemption from
federal income taxation of interest on the Bonds under section 103 of the Code. In furtherance of such
intention, the Issuer hereby authorizes and directs the Mayor to execute any documents, certificates or
reports required by the Code and to make such elections, on behalf of the Issuer, that may be permitted by
the Code as are consistent with the purpose for the issuance of the Bonds.
Section 13. ALLOCATION OF, AND LIMITATION ON, EXPENDITURES FOR THE
PROJECT. The Issuer covenants to account for the expenditure of sale proceeds and investment earnings
to be used for the purposes described in Section 1 of this Ordinance (the "Project") on its books and
records by allocating proceeds to expenditures within 18 months of the later of the date that (1) the
expenditure is made, or (2) the Project is completed. The foregoing notwithstanding, the Issuer shall not
expend sale proceeds or investment earnings thereon more than 60 days after the earlier of (1) the fifth
anniversary of the delivery of the Bonds, or (2) the date the Bonds are retired, unless the Issuer obtains an
opinion of nationally-recognized bond counsel that such expenditure will not adversely affect the tax-
exempt status of the Bonds. For purposes hereof, the Issuer shall not be obligated to comply with this
covenant if it obtains an opinion that such failure to comply will not adversely affect the excludability for
federal income tax purposes from gross income of the interest.
24
Section 14. DISPOSITION OF PROJECT. The Issuer covenants that the property
constituting the Projects financed by the Bonds will not be sold or otherwise disposed in a transaction
resulting in the receipt by the Issuer of cash or other compensation, unless the Issuer obtains an opinion of
nationally-recognized bond counsel that such sale or other disposition will not adversely affect the tax-
exempt status of the Bonds. For purposes of the foregoing, the portion of the property comprising
personal property and disposed in the ordinary course shall not be treated as a transaction resulting in the
receipt of cash or other compensation. For purposes hereof, the Issuer shall not be obligated to comply
with this covenant if it obtains an opinion that such failure to comply will not adversely affect the
excludability for federal income tax purposes from gross income of the interest.
Section 15. CONTINUING DISCLOSURE. (a) Annual Reports. (i) The Issuer shall
provide annually to each NRMSIR and any SID, within six months after the end of each fiscal year
ending in or after 2006, financial information and operating data with respect to the Issuer of the general
type included in the final Official Statement authorized by Section 17 of this Ordinance, being the
information described in Exhibit A. Any financial statements so to be provided shall be prepared in
accordance with the accounting principles described in Exhibit A thereto, or such other accounting
principles as the Issuer may be required to employ from time to time pursuant to state law or regulation,
and audited, if the Issuer commissions an audit of such statements and the audit is completed within the
period during which they must be provided. If the audit of such financial statements is not complete
within such period, then the Issuer shall provide audited financial statements for the applicable fiscal year
to each NRMSIR and any SID, when and if the audit report on such statements become available.
(ii) If the Issuer changes its fiscal year, it will notify each NRMSIR and any SID of the change
(and of the date of the new fiscal year end) prior to the next date by which the Issuer otherwise would be
required to provide financial information and operating data pursuant to this Section. The financial
information and operating data to be provided pursuant to this Section may be set forth in full in one or
more documents or may be included by specific reference to any document (including an official
statement or other offering document, if it is available from the MSRB) that theretofore has been provided
to each NRMSIR and any SID or filed with the SEC.
(b) Material Event Notices. The Issuer shall notify any SID and either each NRMSIR or the
MSRB, in a timely manner, of any of the following events with respect to the Bonds, if such event is
material within the meaning of the federal securities laws:
1. Principal and interest payment delinquencies;
2. Non-payment related defaults;
3. Unscheduled draws on debt service reserves reflecting financial difficulties;
4. Unscheduled draws on credit enhancements reflecting financial difficulties;
5. Substitution of credit or liquidity providers, or their failure to perform;
6. Adverse tax opinions or events affecting the tax-exempt status of the Bonds;
7. Modifications to rights of holders of the Bonds;
8. Bond calls;
9. Defeasances;
10. Release, substitution, or sale of property securing repayment of the Bonds; and
11. Rating changes.
The Issuer shall notify any SID and either each NRMSIR or the MSRB, in a timely manner, of any failure
by the Issuer to provide financial information or operating data in accordance with subsection (a) of this
25
Section by the time required by such subsection.
(c) Limitations, Disclaimers, and Amendments. (i) The Issuer shall be obligated to observe and
perform the covenants specified in this Section for so long as, but only for so long as, the Issuer remains
an "obligated person" with respect to the Bonds within the meaning of the Rule, except that the Issuer in
any event will give notice of any deposit made in accordance with this Ordinance or applicable law that
causes Bonds no longer to be outstanding.
(ii) The provisions of this Section are for the sole benefit of the holders and beneficial owners of
the Bonds, and nothing in this Section, express or implied, shall give any benefit or any legal or equitable
right, remedy, or claim hereunder to any other person. The Issuer undertakes to provide only the financial
information, operating data, financial statements, and notices which it has expressly agreed to provide
pursuant to this Section and does not hereby undertake to provide any other information that may be
relevant or material to a complete presentation of the Issuer's financial results, condition, or prospects or
hereby undertake to update any information provided in accordance with this Section or otherwise, except
as expressly provided herein. The Issuer does not make any representation or warranty concerning such
information or its usefulness to a decision to invest in or sell Bonds at any future date.
(iii) UNDER NO CIRCUMSTANCES SHALL THE ISSUER BE LIABLE TO THE HOLDER
OR BENEFICIAL OWNER OF ANY BOND OR ANY OTHER PERSON, IN CONTRACT OR TORT,
FOR DAMAGES RESULTING IN WHOLE OR IN PART FROM ANY BREACH BY THE ISSUER,
WHETHER NEGLIGENT OR WITHOUT FAULT ON ITS PART, OF ANY COVENANT SPECIFIED
IN THIS SECTION, BUT EVERY RIGHT AND REMEDY OF ANY SUCH PERSON, IN CONTRACT
OR TORT, FOR OR ON ACCOUNT OF ANY SUCH BREACH SHALL BE LIMITED TO AN
ACTION FOR MANDAMUS OR SPECIFIC PERFORMANCE.
(iv) No default by the Issuer in observing or performing its obligations under this Section shall
comprise a breach of or default under the Ordinance for purposes of any other provision of this
Ordinance. Nothing in this Section is intended or shall act to disclaim, waive, or otherwise limit the duties
of the Issuer under federal and state securities laws.
(v) The provisions of this Section may be amended by the Issuer from time to time to adapt to
changed circumstances that arise from a change in legal requirements, a change in law, or a change in the
identity, nature, status, or type of operations of the Issuer, but only if (1) the provisions of this Section, as
so amended, would have permitted an underwriter to purchase or sell Bonds in the primary offering of the
Bonds in compliance with the Rule, taking into account any amendments or interpretations of the Rule
since such offering as well as such changed circumstances and (2) either (a) the holders of a majority in
aggregate principal amount (or any greater amount required by any other provision of this Ordinance that
authorizes such an amendment) of the outstanding Bonds consent to such amendment or (b) a person that
is unaffiliated with the Issuer (such as bond counsel) determined that such amendment will not materially
impair the interest of the holders and beneficial owners of the Bonds. If the Issuer so amends the
provisions of this Section, it shall include with any amended financial information or operating data next
provided in accordance with subsection (a) of this Section an explanation, in narrative form, of the reason
for the amendment and of the impact of any change in the type of financial information or operating data
so provided. The Issuer may also amend or repeal the provisions of this continuing disclosure agreement
if the SEC amends or repeals the applicable provision of the Rule or a court of final jurisdiction enters
judgment that such provisions of the Rule are invalid, but only if and to the extent that the provisions of
this sentence would not prevent an underwriter from lawfully purchasing or selling Bonds in the primary
offering of the Bonds.
26
(d) Definitions. As used in this Section, the following terms have the meanings ascribed to such
terms below:
"MSRB" means the Municipal Securities Rulemaking Board.
"NRMSIR" means each person whom the SEC or its staff has determined to be a nationally
recognized municipal securities information repository within the meaning of the Rule from time
to time.
"Rule" means SEC Rule 15c2-12, as amended from time to time.
"SEC" means the United States Securities and Exchange Commission.
"SID" means any person designated by the State of Texas or an authorized department, officer, or
agency thereof as, and determined by the SEC or its staff to be, a state information depository
within the meaning of the Rule from time to time.
Section 16. SALE OF BONDS. The Initial Bond is hereby sold and shall be delivered to
_____________________________ for cash for the par value thereof and accrued interest thereon to date
of delivery, plus a cash premium of $___________ (accrued interest and premium to be deposited into the
Interest and Sinking Fund. It is hereby officially found, determined, and declared that the Initial Bond
has been sold at public sale to the bidder offering the lowest interest cost, after receiving sealed bids
pursuant to an Official Notice of Sale and Bidding Instructions and Preliminary Official Statement dated
August 15, 2006, prepared and distributed in connection with the sale of the Initial Bond. Said Official
Notice of Sale and Bidding Instructions and Preliminary Official Statement, and any addenda,
supplement, or amendment thereto have been and are hereby approved by the governing body of the
Issuer, and their use in the offer and sale of the Bonds is hereby approved. It is further officially found,
determined, and declared that the statements and representations contained in said Official Notice of Sale
and Preliminary Official Statement are true and correct in all material respects, to the best knowledge and
belief of the governing body of the Issuer.
Section 17. INTEREST EARNINGS ON BOND PROCEEDS. The earnings derived from
the investment of proceeds from the sale of the Bonds shall be used along with other Bond proceeds as
described in Section 1 hereof; provided that after completion of such project, if any of such interest
earnings remain on hand, such interest earnings shall be deposited in the Interest and Sinking Fund. It is
further provided, however, that interest earnings on the Bond proceeds which are required to be rebated to
the United States of America pursuant to Section 14 hereof in order to prevent the Bonds from being
arbitrage bonds shall be so rebated and not considered as interest earnings for the purpose of this Section.
Section 18. PUBLIC NOTICE. It is hereby officially found and determined that public
notice of the time, place and purpose of said meeting was given, all as required by Chapter 551, Texas
Government Code, and no petition was received from the qualified electors of the Issuer protesting the
issuance of such Bonds.
--------------------
----------
27
EXHIBIT A
DESCRIPTION OF ANNUAL FINANCIAL INFORMATION
The following information is referred to in Section 15 of this Ordinance.
I. Annual Financial Statements and Operating Data
The financial information and operating data with respect to the Issuer to be provided annually in
accordance with such Section are as specified (and included in the Appendix or under the headings of the
Official Statement and Tables referred to) below:
Table Nos. 1 through 6 and 8 through 15 and in Appendix B
Accounting Principles
The accounting principles referred to in such Section are the accounting principles described in
the notes to the financial statements referred to in paragraph 1 above.
DEPT: Park & Recreation
DATE: August 22,2006
ITEM #: 15
AGENDA REQUEST FORM
ITEM CAPTION:
Consider approval of a Professional Services Agreement with Proforma Architecture, Inc. for programming,
design, construction documentation and contract administration services related to the Senior
Recreation/Community Center, and a Restroom and Wall Repairs for Grapevine Springs Park, in the amount of
$423,525.00, and authorizing the City Manager to sign.
GOAL(S):
EXECUTIVE SUMMARY:
The Professional Services Agreement under consideration is the culmination of an RFQ and resulting interviews to
select an architectural firm for the programming, design, construction documentation and contract administration
for the Senior Recreation/Community Center, and a restroom and wall repairs for Grapevine Springs Park.
Qualification Statements were received from eighteen interested architectural firms. Of those eighteen, Parks and
Recreation Department staff interviewed four firms, with Proforma Architecture rising to the top of those
interviewed. Proforma has numerous relevant examples of successful projects with other communities and has
demonstrated the ability to provide personalized attention to detail with the ultimate shared goal of a quality
product finished within budget and on time.
This Agreement provides the basis and cooperative understanding for the Building Programming, Civil
Engineering and Site Planning, Landscape and Irrigation Design, Architectural, Structural, Mechanical, Electrical
and Plumbing design, and Kitchen and Interior Design services relevant to the project. Also included is
Construction Cost Estimating, and Fixture, Furniture and Signage Selections.
FINANCIAL COMMENTS: Funds are available in the Park CIP accounts and from a transfer from the General
Fund.
Agenda Request Form - Revised 09/04 Document Name: ^Proforma Agreement
PARKS AND RECREATION DEPARTMENT
CITY COUNCIL AGENDA ITEM
Date: August 22, 2006
To: Mayor and City Council
From: Brad Reid, Director of Parks and Recreation
Re: Consider approval of a Professional Services Agreement with Proforma
Architecture, Inc., to provide for Planning, Design, Construction Documentation, and
Contract Administration services related to the Senior Recreation/Community Center,
Grapevine Springs Restroom Facility and Wall Repairs, in the amount of $423,525.00,
and authorizing the City Manager to sign.
Background:
The Professional Services Agreement under consideration is the culmination of a Request
For Qualification Statements and resulting interviews to select an architectural firm for
the programming, design, construction documentation and contract administration for the
Senior Recreation/Community Center, and a restroom and wall repairs for Grapevine
Springs Park. Qualification Statements were received from eighteen interested
architectural firms. Of those eighteen, Parks and Recreation Department staff
interviewed four firms, with Proforma Architecture rising to the top of those interviewed.
Proforma has numerous relevant examples of successful projects with other
municipalities and has demonstrated the ability to provide personalized attention to detail
with the ultimate shared goal of a quality product finished within budget and on time.
This Agreement provides the basis and cooperative understanding for the development of
the Building Programming, Civil Engineering and Site Planning, Landscape and
Irrigation Design, Architectural, Structural, Mechanical, Electrical and Plumbing design,
and Kitchen and Interior Design services relevant to the project. Also included is
Construction Cost Estimating, and Fixture, Furniture and Signage Selections.
Included in the Scope of Work is the design and Construction Documents for a restroom
at Grapevine Springs Park and design and coordination of a project to make repairs to the
Walls at Grapevine Springs Park. The Agreement includes having the architect place the
Restroom Facility and Wall project on a different completion schedule than that of the
Senior Recreation/Community Center. This will enable the construction of the restroom
and repairs of the walls to be completed and open for use sooner than the Senior
Building.
The Project is proposed to be located at the city-owned property near Bethel Road and
Park Road in Old Coppell. The exact location of the different site elements will be
determined early in the design process. The estimated time frame for the project is to
have completed the site planning, building design, construction documents, bidding and
construction contract award by September 2007.
City Council Action requested:
Approval of a Professional Services Agreement with Proforma Architecture, Inc., to
provide for Planning, Design, Construction Documentation, and Contract Administration
services related to the Senior Recreation/Community Center, Grapevine Springs
Restroom Facility and Wall Repairs, in the amount of $423,525.00, and authorizing the
City Manager to sign.
1997 EDITION
AlA DOCUMENT 8141-1997.Standard Form of Agreement Between Owner and Architect
with Standard Form of Architect's Services
This document has important
A G R E E MEN T ade as f the Twenty-second (22nd)da of August legalcons.eque~ces..th -tWo Iffiousan3 SIX (2006 )
Y Consultation with an
In e year .
(In words,indicateday,month and year)attorney ISencouragedwithrespecttoits
completion or modification.
BET WEE N the Architect's client identified as the Owner:
(Name,address and other information)
City of Coppell,Texas
255 Parkway Blvd.
Coppell,Texas 75019
and the Architect:
(Name,address and other information)
Pro Forma Architecture,Inc.
17000 N.Dallas Parkway,Suite 115
Dallas,Texas 75248
For the following Project:
(Includedetaileddescriptionof Project)
A new Senior Recreation Center consisting of approximately 13,000 square feet.The
Center will be located on City property in "Old Coppell"near Park and Bethel Roads,
adjacent to the historic Grapevine Springs Park.Also included in the project is a Park
Restroom facility and repair of historic WPA era stone walls.
The Owner and Architect agree as follows.
Copyright 1917,1926,1948,1951,1953,1958,1961,1963,1966,1967,1970,1974,1977,1987,@1997 by The American
Institute of Architects.Reproduction of the material herein or substantial quotation of its provisions without written
permission of the AlA violates the copyright laws of the United States and will subject the violator to legal prosecu-
tion.
WARNING:Unlicensed photocopvina violates u.s.convrloht la...,c an"..,III "..1.1-.1.-1_--'----..'
TABLE OF ARTICLES
1.1 INITIAL INFORMATION
1.2 RESPONSIBILITIES OF THE
PARTIES
1.3 TERMS AND CONDITIONS
1.4 SCOPE OF SERVICES AND
OTHER SPECIAL TERMS
AND CONDITIONS
1.S COMPENSATION
,iiI..~I~......,,"~...~.~,-
@1997 AIA@
AlA DOCUMENT 8141-1997
STANDARD FORM
AGREEMENT
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
ARTICLE 1.1 INITIAL INFORMATION
1.1.1 This Agreement is based on the following information and assumptions.
(Note the disposition for the following items by inserting the requested information qr a statement such as "not
applicable,""unkllown at time of execution"or "to be determined later by mutual agreement.")
1.1.2 PROJECTPARAMETERS
1.1.2.1 The objective or use is:
(Identify or describe,if appropriate,proposed use or goals.)
to serve the recreational and social needs of the senior citizens of Coppell,to serve
as a "community center",provide Restrooms to serve Grapevine Springs Park,and
to repair the historic WPA era stone walls.
1.1.2.2The physicalparametersare:
(Idelltify or describe,~f appropriate,size,location,dimensions,or other pertinent information,
such as geotechllical reports about the site.)
a Site located on City property in "Old Coppell"near Park and Bethe~Roads,
adjacent to the historic Grapevine Springs Park.
1.1.2.3 The Owner's Program is:
(Identifydocumentationor state the mannerin whichthe programwill be developed.)
to be developed by the Architect,in association with the City of Coppell Parks and
Recreation Department,to set forth the Project requirements.
1.1.2.4 The legal parameters are:
(Identify pertinellt legal information,including,if appropriate,land surveys and legal descriptions and
restrictions of the site.)
a Land Survey to be provided by the Owner through the services of a land surveyor
yet be determined.
1.1.2.5 The financial parameters are as follows.
.1 Amount of the Owner's overall budget for the Project,including the Architect's
compensation,is:See Exhibit'A'.
.2 Amount of the Owner's budget for the Cost of the Work,excluding the Architect's
compensation,is:See Exhibit'A'.
1.1.2.6 The time parameters are:
(Identify,if appropriate,milestone dates,durations or fast track scheduling.)
The goal is to complete construction of the Senior Recreation Center within two
years,but to design and construct part of the infrastructure and the detached
Restroom facility as soon as reasonably possible via a separate bid package.
1.1.2.7 The proposed procurement or delivery method for the Project is:
(Identify method such as competitive bid,negotiated contract,or construction manqgement.)
a competitive bid and/or sealed proposal.
1.1.2.8 Other parameters are:
(Identify special characteristicsor needs of the Project such as energy,environmental or historic preservation
requi rements.)
not applicable.
WARNING:Unlicensed photocopying violates U.S.copyright laws and will subject the violator to legal prosecution.I
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<91997 AIA@
AlA DOCUMENT 8141-1997
STANDARD FORM
AGREEMENT
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
1.1.3 PROJECTTEAM
1.1.3.1 The Owner's Designated Representative is:
(List name,address and other information.)
Mr.Brad Reid,Director
Parks and Recreation Department
City ofCoppell,Texas
1.1.3.2 The persons or entities,in addition to the Owner's Designated Representative,who are
required to review the Architect's submittals to the Owner are:
(List name,address and other information.)
None.
1.1.3.3 The Owner's other consultants and contractors are:
(List discipline and,if known,identify them by name and address.)
Land Survey -to be determined
Geo-technical Investigation -to be determined
Materials Testing -to be determined
1.1.3.4 The Architect's Designated Representative is:
(List name,address and other information.)
Mr.Jeff Bulla,AlA,Principal
Pro Forma Architecture,Inc.
1.1.3.5 The consultants retained at the Architect's expense are:
(List discipline and,~f known,identify them by name and address.)
Civil Engineer:BW2 Engineers,Inc.
Landscape Architect:David C.Baldwin,Inc.
Structural Engineer:Charles Gojer &Associates,Inc.
MEP Engineer:Dale W.Caffey Consulting Engineers,Inc.
Specifications:Inspec
1.1.4 Other important initial information is:
I
Cost Estimator:Cost Resource Group,Inc.
Food Service Consultant:H.G.Rice &Co.
not applicable.
1.1.5 When the services under this Agreement include contract administration services,the
General Conditions of the Contract for Construction shall be the edition of AlA Document A20l
current as of the date of this Agreement,or as follows:
1.1.6 The information contained in this Article 1.1may be reasonably relied upon by the Owner
and Architect in determining the Architect's compensation.Both parties,however,recognize that
such information may change and,in that event,the Owner and the Architect shall negotiate
appropriate adjustments in schedule,compensation and Change in Services in accordance with
Paragraph 1.3.3.
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(g1997 AIA@
AlA DOCUMENT 8141-1997
STANDARD FORM
AGREEMENT
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
I
ARTICLE 1.2 RESPONSIBILITIESOF THE PARTIES
1.2.1 The Owner and the Architect shall cooperate with one another to fulfill their respective
obligations under this Agreement.Both parties shall endeavor to maintain good working
relationships among all members of the Project team.
1.2.2 OWNER
1.2.2.1Unless otherwise provided under this Agreement,the Owner shall provide full information
in a timely manner regarding requirements for and limitations on the Project.The Owner shall
furnish to the Architect,within 15days after receipt of a written request,information necessary
and relevant for the Architect to evaluate,give notice of or enforce lien rights.
1.2.2.2 The Owner shall periodically update the budget for the Project,including that portion
allocated for the Cost of the Work.The Owner shall not significantly increase or decrease the
overall budget,the portion of the budget allocated for the Cost of the Work,or contingencies
included in the overall budget or a portion of the budget,without the agreement of the Architect
to a corresponding change in the Project scope and quality.
1.2.2.3 The Owner's Designated Representative identified in Paragraph 1.1.3shall be authorized to
act on the Owner's behalf with respect to the Project.The Owner or the Owner's Designated
Representative shall render decisions in a timely manner pertaining to documents submitted by
the Architect in order to avoid unreasonable delay in the orderly and sequential progress of the
Architect's services.
1.2.2.4 The Owner shall furnish the services of consultants other than those designated in
Paragraph 1.1.3or authorize the Architect to furnish them as a Change in Services when such
services are requested by the Architect and are reasonably required by the scope of the Project.
1.2.2.5 Unless otherwise provided in this Agreement,the Owner shall furnish tests,inspections
and reports required by law or the Contract Documents,such as structural,mechanical,and
chemical tests,tests for air and water pollution,and tests for hazardous materials.
1.2.2.6 The Owner shall furnish all legal,insurance and accounting services,including auditing
services,that may be reasonably necessary at any time for the Project to meet the Owner's needs
and interests.
1.2.2.7 The Owner shall provide prompt written notice to the Architect if the Owner becomes
aware of any fault or defect in the Project,including any errors,omissions or inconsistencies in
the Architect's Instruments of Service.
1.2.3 ARCHITECT
1.2.3.1 The services performed by the Architect,Architect's employees and Architect's consultants
shall be as enumerated in Article 1.4.
1.2.3.2 The Architect's services shall be performed as expeditiously as is consistent with
professional 'skill and care and the orderly progress of the Project.The Architect shall submit for
the Owner's approval a schedule for the performance of the Architect's services which initially
shall be consistent with the time periods established in Subparagraph 1.1.2.6and which shall be
adjusted,if necessary,as the Project proceeds.This schedule shall include allowances for periods
of time required for the Owner's review,for the perf0rmance of the Owner's consultants,and for
approval of submissions by authorities having jurisdiction over the Project.Time limits
established by this schedule approved by the Owner shall not,except for reasonable cause,be
exceeded by the Architect or Owner.
WARNING:Unlicensed photocopying violates U.S.copyright laws and will subject the violator to legal prosecution.I
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@1997 AIA@
AlA DOCUMENT 8141-1997
STANDARD FORM
AGREEMENT
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
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AlA DOCUMENT 8141-1997
STANDARD FORM
AGREEMENT
The American Institute
of Arthitects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
1.2.3.3 The Architect's Designated Representative identified in Paragraph 1.1.3shall be authorized
to act on the Architect's behalf with respect to the Project.
1.2.3.4 The Architect shall maintain the confidentiality of information specifically designated as
confidential by the Owner,unless withholding such information would violate the law,create the
risk of significant harm to the public or prevent the Architect from establishing a claim or defense
in an adjudicatory proceeding.The Architect shall requir~of the Architect's consultants similar
agreements to maintain the confidentiality of information specifically designated as confidential
by the Owner.
1.2.3.5 Except with the Owner's knowledge and consent,the Architect shall not engage in any
activity,or accept any employment,interest or contribution that would reasonably appear to
compromise the Architect's professional judgment with respect to this Project.
See Exhibit 'A'
1.2.3.7 The Architect shall be entitled to rely on the accuracy and completeness of services and
information furnished by the Owner.The Architect shall provide prompt written notice to the
Owner if the Architect becomes aware of any errors,omissions or inconsistencies in such services
or information.
ARTICLE 1.3 TERMS AND CONDITIONS
1.3.1 COST OF THE WORK
1.3.1.1 The Cost of the Work shall be the total cost or,to the extent the Project is not completed,
the estimated cost to the Owner of all elements of the Project designed or specified by the
Architect.
1.3.1.2 The Cost of the Work shall include the cost at current market rates of labor and materials
furnished by the Owner and equipment designed,specified,selected or specially provided for by
the Architect,including the costs of management or supervision of construction or installation
provided by a separate construction manager or contractor,plus a reasonable allowance for their
overhead and profit.In addition,a reasonable allowance for contingencies shall be included for
market conditions at the time of bidding and for changes in the Work.
1.3.1.3 The Cost of the Work does not include the compensation of the Architect and the
Architect's consultants,the costs of the land,rights-of-way and financing or other costs that are
the responsibility of the Owner.
1.3.2 INSTRUMENTS OF SERVICE
1.3.2.1 Drawings,specifications and other documents,including those .in electronic form,
prepared by the Architect and the Architect's consultants are Instruments of Service for use sole-
ly with respect to this Project.The Architect and the Architect's consultants shall be deemed the
authors and owners of their respective Instruments of Service and shall retain all common law,
statutory and other reserved rights,including copyrights..
1.3.2.2 Upon execution of this Agreement,the Architect grants to the Owner a nonexclusive
license to reproduce the Architect's Instruments of Service solely for purposes of constructing,
using and maintaining the Project,provided that the Owner shall comply with all obligations,
including prompt payment of all sums when due,under this Agreement.The Architect shall
I WARNING:Unlicensed photocopying Ylolates U.S.copy"ght laws and will subject the Yk>lato.to le..i_seeutlon.
obtain similar nonexclusive licenses from the Architect's consultants consistent with this
Agreement.Any termination of this Agreement prior to completion of the Project shall terminate
this license.Upon such termination,the Owner shall refrain from making further reproductions
of Instruments of Service and shall return to the Architect within seven days of termination all
originals and reproductions in the Owner's possession or control.If and upon the date the
Architect is adjudged in default of this Agreement,the foregoing license shall be deemed
terminated and replaced by a second,nonexclusive license permitting the Owner to authorize
other similarly credentialed design professionals to reproduce and,where permitted by law,to
make changes,corrections or additions to the Instruments of Service solely for purposes of
completing,using and maintaining the Project.
1.3:2.3 Except for the licenses granted in Subparagraph 1.3.2.2,no other license or right shall be
deemed granted or implied under this Agreement.The Owner shall not assign,delegate,
sublicense,pledge or otherwise transfer any license granted herein to another party without the
prior written agreement of the Architect.However,the Owner shall be permitted to authorize the
Contractor,Subcontractors,Sub-subcontractors and material or equipment suppliers to
reproduce applicable portions of the Instruments of Service appropriate to and for use in their
execution of the Work by license granted in Subparagraph 1.3.2.2.Submission or distribution of
Instruments of Service to meet official regulatory requirements or for similar purposes in
connection with the Project is not to be construed as publication in derogation of the reserved
rights of the Architect and the Architect's consultants.The Owner shall not use the Instruments
-.,of Servicefor future additions or alterationsto this Projector for other projects,unlessthe Owner
obtains the prior written agreement of the Architect and the Architect's consultants.Any
unauthorized use of the Instruments of Service shall beat the Owner's sole risk and without
liability to the Architect and the Architect's consultants.
1.3.2.4 Prior to the Architect providing to the Owner any Instruments of Service in electronic
form or the Owner providing to the Architect any electronic data for incorporation into the
Instruments of Service,the Owner and the Architect shall by separate written agreement set forth
the specific conditions governing the format of such Instruments of Service or electronic data,
including any special limitations or licenses not otherwise provided in this Agreement.
See Exhibit 'A'
~1.3.3 CHANGE IN SERVICES
1.3.3.1 Change in Services of the Architect,including services required of the Architect's
consultants,may be accomplished after execution of this Agreement,without invalidating the
Agreement,if mutually agreed in writing,if required by circumstances beyond the Architect's
control,or if the Architect's services are affected as described in Subparagraph 1.3.3.2.In the
absence of mutual agreement in writing,the Architect shall.notify the Owner prior to providing
such services.If the Owner deems that all or a part of such Change in Services is not required,the
Owner shall give prompt written notice to the Architect,and the Architect shall have no
obligation to provide those services.Except for a change due to the fault of the Architect,Change
in Services of the Architect shall entitle the Architect to an adjustment in compensation pursuant
to Paragraph 1.5.2,and to any Reimbursable Expenses described in Subparagraph 1.3.9.2 and
Paragraph 1.5.5.
1.3.3.2 If any of the following circumstances affect the Architect's services for the Project,
the Architect shall be entitled to an appropriate adjustment in the Architect's schedule
and compensation:
.1 change in the instructions or approvals given by the Owner that necessitate revisions in
Instruments of Service;.
.2 enactment or revision of codes,laws or regulations or official interpretations which
necessitate changes to previously prepared Instruments of Service;
WARNING:Unlicensed photocopying violates U.S.copyright laws and will subject the violator to legal prosecution.I
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@1997 AIA@
AlA DOCUMENT 8141-1997
STANDARD FORM
AGREEMENT
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
I
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AlA DOCUMENT 8141-1997
STANDARD FORM
AGREEMENT
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
.3 decisions of the Owner not rendered in a timely manner;
.4 significant change in the Project including,but not limited to)size,quality,complexity,
the Owner's schedule or budget,or procurement method;
.5 failure of performance on the part of the Owner or the Owner's consultants
or contractors;
.6 preparation for and attendance at a public hearing,a dispute resolution proceeding or
a legal proceeding except where the Architect is party thereto;
.7 change in the information contained in Article 1.1.
See Exhibit 'A'
1.3.4 MEDIATION
1.3.4.1 Any claim,dispute or other matter in question arising out of or related to this Agreement
sh~ll be subject to mediation as a condition precedent to arbltrati0n 0r the institution of legal or
equitable proceedings by either party.If such matter relates to or is the subject of a lien arising out
of the Architect's services,the Architect may proceed in accordance with applicable law to
comply with the lien notice or filing deadlines prior to resolution of the matter by mediation or
by arbitration.
1.3.4.2 The Owner and Architect shall endeavor to resolve claims,disputes and other matters in
question between them by mediation which,unless the parties mutually agree otherwise,shall be
in accordance with the Construction Industry Mediation Rules of the American Arbitration
Association currently in effect.Request for mediation shall be filed in writing with the other party
to this Agreement and with the American Arbitration Association.Tke Fee}Hestmay 138maas
@8R~MfFeFltly':<,itlatHe fIliRg of a demand f0r arBitrati0n 8Ht,in sHca evsnl,mediation shall
proceed in advance of arlJitratien or legal or equitable proceedings)which shall be stayed pending
mediation for a period of 60 days from the date of filing,unless stayed for a longer period by
agreement of the parties or court order.
1.3.4.3 The parties shall share the mediator's fee and any filing fees equally.The mediation shall
be held in the place where the Project is located,unless another location is mutually agreed upon.
Agreements reached in mediation shall be enforceable as settlement agreements in any court
having jurisdiction thereof.
.3.5.2 Claims,dispute d other matters in question between the parti at are not resolved b
ilediation shall be decided rbitration which,unless the parties ually agree otherwise,shal
e in accordance with the Const ction Industry Arbitration es of the American ArbitratiOI
,ssociation currently in effect.The de nd for arbitratio all be filed in writing with the othe
arty to this Agreement and with the Arne'an Arbi tion Association.
.3.5.3 A demand for arbitration shall be e wit'a reasonable time after the claim,disputl
)r other matter in question has arisen.no event shall t demand for arbitration be made afte
he date when institution of legal equitable proceedings ba.on such claim,dispute or othe
atter in question would be rred by the applicable statute of Ii .tions.
I WARNING,Unlkon.od photocopying viola'o,u.s.copyrigh'law.and will .ubject tho violator to I..al oro.ecufinn.
.
1.3.6 CLAIMS FOR CONSEOUENTIAL DAMAGES
The Architect and the Owner waive consequential damages for claims)disputes or other matters
in question arising out of or relating to this Agreement.This mutual waiver is applicable)without
limitation)to all consequential damages due to either party)s termination in accordance with
Paragraph 1.3.8.
1.3.7MISCELLANEOUSPROVISIONS State of Texas with the venue in Dallas Co.
1.3.7.1This Agreement shall be governed by the law of the priFlcipal pla(@ gf l;n,u:iR@~~gf th~
1'1n:bitect,I.lRI~~~Qth~ruri~'"rrmTlr1",rI in P~r~gr~rh 1 1 ')
1.3.7.2 Terms in this Agreement shall have the same meaning as those in the edition of AlA
Document A20l)General Conditions of the Contract for Construction)current as of the date of
this Agreement.
1.3.7.3 Causes of action between the parties to this Agreement pertaining to acts or failures to act
shall be deemed to have accrued and the applicable statutes of limitations shall commence to run
not later than either the date of Substantial Completion for acts or failures to act occurring prior
to Substantial Completion or the date of issuance of the final Certificate for Payment for acts
or failures to act occurring after Substantial Completion.In no event shall such statutes of
limitations commence to run any later than the date when the Architect's services are
substantially completed.
1.3.7.4 To the extent damages are covered by property insurance during construction)the Owner
and the Architect waive all rights against each other and against the contractors)consultants)
agents and employees of the other for damages)except such rights as they may have to the
proceeds of such insurance as set forth in the edition of AlA Document A20l)General Conditions
of the Contract for Construction)current as of the date of this Agreement.The Owner or the
Architect,as appropriate)shall require of the contractors)consultants)agents and employees of
any of them similar waivers in favor of the other parties enumerated herein.
1.3.7.5 Nothing contained in this Agreement shall create a contractual relationship with or a cause
of action in favor of a third party against either the Owner or Architect.
1.3.7.6 Unless otherwise provided in this Agreement)the Architect and Architect's consultants
shall have no responsibility for the discovery)presence)handling)removal or disposal of or
exposure of persons to hazardous materials or toxic substances in any form at the Project site.
1.3.7.7 The Architect shall have the right to include photographic or artistic representations of the
design of the Project among the Architect's promotional and professional materials.The Architect
shall be given reasonable access to the completed Project to make such representations.However)
the Architect's materials shall not include the Owner's confidential or proprietary information if
the Owner has previously advised the Architect in writing of the specific information considered
by the Owner to be confidential or proprietary.The Owner shall provide professionalcredit for
the Architect in the Owner's promotional materials for the Project.
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@1997 AIA@
AlA DOCUMENT 8141-1997
STANDARD FORM
AGREEMENT
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
I
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AlA DOCUMENT 8141-1997
STANDARD FORM
AGREEMENT
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
.~1.3.7.8If the Owner requeststhe Architectto executecertificates,the proposedlanguageof such
certificates shall be submitted to the Architect for review at least 14 days prior to the requested
dates of execution.The Architect shall not be required to execute certificates that would require
knowledge,services or responsibilities beyond the scope of this Agreement.
1.3.7.9 The Owner and Architect,respectively,bind themselves,their partners,successors,assigns
and legal representatives to the other party to this Agreement and to the partners,successors,
assigns and legal representatives of such other party with respect to all covenants of this
Agreement.Neither the Owner nor the Architect shall assign this Agreement without the written
consent of the other,except that the Owner may assign this Agreement to an institutional lender
providing financing for the Project.In such event,the lender shall assume the Owner's rights and
obligations under this Agreement.The Architect shall execute all consents reasonably required to
facilitate such assignment.
1.3.8 TERMINATION OR SUSPENSION
1.3.8.1 If the Owner fails to make payments to the Architect in accordance with this Agreement,
such failureshall be considered substantial nonperformance and cause for termination or,at the
Architect's option,cause for suspension of performance of services under this Agreement.If the
Architect elects to suspend services,prior to suspension of services,the Architect shall give seven
days'written notice to the Owner.In the event of a suspension of services,the Architect shall have
no liability to the Owner for delay or damage caused the Owner because of such suspension of
services.Before resuming services,the Architect shall be paid all sums due prior to suspension and
any expenses incurred in the interruption and resumption of the Architect's services.The
Architect's fees for the remaining services and the time schedules shall be equitably adjusted.
1.3.8.2 If the Project is suspended by the Owner for more than 30 consecutive days,the Architect
shall be compensated for services performed prior to notice of such suspension.When the Project
is resumed,the Architect shall be compensated for expenses incurred in the interruption and
resumption of the Architect's services.The Architect's fees for the remaining services and the time
schedules shall be equitably adjusted.
1.3.8.3 If the Project is suspended or the Architect's services are suspended for more than 90
consecutive days,the Architect may terminate this Agreement by giving not less than seven days'written notice.
1.3.8.4 This Agreement may be terminated by either party upon not less than seven days'written
notice should the other party fail substantially to perform in accordance with the terms of this
Agreement through no fault of the party initiating the termination.
1.3.8.5 This Agreement may be terminated by the Owner upon not less than seven days'written
notice to the Architect for the Owner's convenience and without cause.
1.3.8.6 In the event of termination not the fault of the Architect,the Architect shall be
compensated for services performed prior to termination,together with Reimbursable Expenses
then due and all Termination Expenses as defined in Subparagraph 1.3.8.7.
1.3.8.7 Termination Expenses are in addition to compensation for the services of the Agreement
and include expenses directly attributable to termination for which the Architect is not otherwise
compensated,ply£:aN amBYNt fBr tR@t\rchit@ct'g aNtkipat@Q prBt.it BNtR@'~h:1e Bf tRe &eryi£eg:Rot
perf.'BrmeQ 8)'tHe ,'\rcRit8£t.
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1.3.9 PAYMENTS TO THE ARCHITECT
1.3.9.1 Payments on account of services rendered and for Reimbursable Expenses incurred shall
be made monthly upon presentation of the Architect's statement of services.No deductions shall
be made from the Architect's compensation on account of penalty,liquidated damages or other
sums withheld from payments to contractors,or on account of the cost of changes in the Work
other than those for which the Architect has been adjudged to be liable.
1.3.9.2 Reimbursable Expenses are in addition to compensation for the Architect's services and
include expenses incurred by the Architect and Architect's employees and consultants directly
related to the Project,as identified in the following Clauses:.
.1 tr:uu;pertati9I:I iR '9RRg,tieR witb tbg Pr,ej\!Kt,aYtbgrizgd gyt gf t9",Yll trays I aHG
&HD&i&tenc::s,aHG @1@cimHi,(9mmYRi,atiGRt:;See Exhibit'A'
.2 fees paid for securing approval of authorities having jurisdiction over the Project;
.3 r@pr9dYcti9H~,pI9t~,~taHd:u4 fgrm deCym@Rb;,peEta~,haHdliJag and Q@lv'@rygf
lnstrHffisHtg gf ~gf"i~~;See Exhibit'A'
.4 expense of overtime work requiring higher than regular rates if authorized in advance
by the Owner;
.5 renderings,models and mock-ups requested by the Owner;
.6 expense of professional liability insurance dedicated exclusively to this Project or the
expense of additional insurance coverage or limits requested by the Owner in excess of
that normally carried by the Architect and the Architect's consultants;
.7 reimbursable expenses as designated in Paragraph 1.5.5;
.8 other similar direct Project-related expenditures.
1.3.9.3 Records of Reimbursable Expenses,of expenses pertaining to a Change in Services,and of
services performed on the basis of hourly rates or a myltiph~gf DinKt PQr~9BR@1£l~fJQH~Qshall be
available to the Owner or the Owner's authorized representative at mutually convenient times.
ngaged on t
ontributions and
mployee benefits'
and customar
taxes and other statutor
retirement plans anI
ARTICLE 1.4 SCOPE OF SERVICES AND OTHER SPECIAL TERMS AND CONDITIONS
1.4.1 Enumeration of Parts of the Agreement.This Agreement represents the entire and
integrated agreement between the Owner and the Architect and supersedes "all prior negotiations,
representations or agreements,either written or oral.This Agreement may be amended only by
written instrument signed by both Owner and Architect.This Agreement comprises the
documents listed below.
1.4.1.1 Standard Form of Agreement Between Owner and Architect,AlA Document B141-1997.
1.4.1.2 Standard Form of Architect's Services:Design and Contract Administration,AlA
Document B141-1997,or as follows:
(List other documents,if any,delineatingArchitect's scope of services.)
1.4.1.3 Other documents as follows:
(List other dOCLlments,~f any,forming part of the Agreement.)
Exhibit 'A',attached.
WARNING:Unlicensed photocopying violates U.S.copyright laws and will subject the violator to legal prosecution.I
.
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@1997 AIA@
AlA DOCUMENT 8141-1997
STANDARD FORM
AGREEMENT
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
1.4.2 Special Terms and Conditions.Special terms and conditions that modify this Agreement
are as follows:
See Exhibit 'A'
ARTICLE1.5 COMPENSATION
1.5.1 For the Architect's services as described under Article 1.4,compensation shall be
computed as follows:
See Exhibit 'A'
1.5.2 If the services of the Architect are changed as described in Subparagraph 1.3.3.1,the
Architect's compensation shall be adjusted.Such adjustment shall be calculated as described
below or,if no method of adjustment is indicated in this Paragraph 1.5.2,in an equitable
manner.
(Insert basis of compensation,including rates and multiples of Direct Personnel Expense for Principals and
employees,and identify Principals and classify employees,if required.Identify specific servicesto which partic-
ular methods of compensation apply.)
See Exhibit 'A'
1.5.3 For a Change in Services of the Architect's consultants,compensation shall be computed
as a multiple of one and one fourth (1.25 )times the amounts billed to the
Architect for such services.
1.5.4 For Reimbursable Expenses as described in Su1?paragraph 1.3.9.2,and any other items
included in Paragraph 1.5.5 as Reimbursable Expenses,the compensation shall be computed as a
multiple of one and one tenth (1.10 )times the expenses incurred by
the Architect,and the Architect's employees and consultants..
1.5.5 Other Reimbursable Expenses,if any,are as follows:
not applicable.
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AlA DOCUMENT 8141-1997
STANDARD FORM
AGREEMENT
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
I
1.5.6 The rates and multiples for services of the Architect and the Architect's consultants as set
forth in this Agreement shall be adjusted in accordance with their normal salary review practices.
1.5.7 An initial payment of zero Dollars
($0 )shall be made upon execution of this Agreement and is the minimum
payment under this Agreement.It shall be credited to the Owner's account at final payment.
Subsequent payments for services shall be made monthly,and where applicable,shall be in
proportion to services performed on the basis set forth in this Agreement.
1.5.8 Payments are due and payable thirty (30 )days from the date
of the Architect's invoice.Amounts unpaid thirty (30 )days after the
invoice date shall bear interest at the rate entered below,or in the absence thereof at the legal rate
prevailing from time to time at the principal place of business of the Architect.
(Insert rate of interest agreed 1Ipon.)
(Usury laws and requi rements under the Federal Truth in Lending Act,similar state and local consumer credit
laws and other regulations at the Ownds and Architect's principal places of business,the location of the Project
and elsewhere may affect the validity of this provision.Spec;.fic legal advice should be obtained with respect to
deletions or modifications,and also regarding requirements such as written disclosures or waivers.)
1.5.9 If the services
twenty-six
Architect,extension of the
provided in Paragraph 1.5.2.
covered by this Agreement have not been completed within
(26 )months of the date hereof,through no fault of the
Architect's services beyond that time shall be compensated as
This Agreement entered into as of the day and year first written above.
rjr;rtt71lt~ARC HIT E C T (Signature)0 W N E R (Signature)
Jim Witt,City Manager
City of Coppell,Texas
Jeff D.Bulla III,President
Pro Forma Architecture,lric.
(Printed name and title)(Printed name and title)
CAUTION:You should sign an original AlA document or a licensed reproduction.Originals contain the AlA logo
printed in red;licensed reproductions are those produced in accordance with the Instructions to this document.
WARNING:Unlicensed photocopying violates U.S.copyright laws and will subject the violator to legal prosecution.I
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@1997 AIA@
AlA DOCUMENT 8141-1997
STANDARD FORM
AGREEMENT
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
I
1997 EDITION
AlA DOCUMENT.Standard Form of Architect's Services:
Design and Contract Administration
TABLE OF ARTICLES
2.1 PROJECT ADMINISTRATION SERVICES
2.2 SUPPORTING SERVICES
2.3 EVALUATION AND PLANNING SERVICES
2.4 DESIGN SERVICES
2.5 CONSTRUCTION PROCUREMENT SERVICES
2.6 CONTRACT ADMINISTRATION SERVICES
2.7 FACILITY OPERATION SERVICES
2.8 SCHEDULE OF SERVICES
2.9 MODIFICATIONS
Copyright 1917,1926,1948,1951,1953,1958,1961,1963,1966,1967,1970,1974,1977,1987,@1997 by The American
Institute of Architects.Reproduction of the material herein or substantial quotation of its provisions without written
permission of the AlA violates the copyright laws of the United States and will subject the violator to legal prosecu-
tion.
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8141-1997
This document has impor-
tant legal consequences.
Consultation with an
attorney is encouraged
with respect to its
completion or modification.
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@1997 AIA@
AlA DOCUMENT 8141-1997
STANDARD FORM
SERVICES
The American Institute
of Architects
1735New York Avenue,N.W.
Washington,D.C.20006-5292
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AlA DOCUMENT B141-1997
STANDARD FORM
SERVICES
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
ARTICLE 2.1 PROJECT ADMINISTRATION SERVICES
2.1.1 The Architect shall manage the Architect's services and administer the Project.The
Architect shall consult with the Owner,research applicable design criteria,attend Project
meetings,communicate with members of the Project team and issue progress reports.The
Architect shall coordinate the services provided by the Architect and the Architect's consultants
with those services provided by the Owner and the Owner's consultants.
2.1.2 When Project requirements have been sufficiently identified,the Architect shall prepare,
and periodically update,a Project schedule that shall identify milestone dates for decisions
required of the Owner,design services furnished by the Architect,completion of documentation
provided by the Architect,commencement of construction and Substantial Completion of the
Work..
2.1.3 The Architect shall consider the value of alternative materials,building systems and
equipment,together with other considerations based on program,budget and aesthetics in
developing the design for the Project.
2.1.4 Upon request of the Owner,the Architect shall make a presentation to explain the design
of the Project to representatives of the Owner.
2.1.5 The Architect shall submit design documents to the Owner at intervals appropriate to the
design process for purposes of evaluation and approval by the Owner.The Architect shall be
entitled to rely on approvals received from the Owner in the further development of the design.
2.1.6 The Architect shall assist the Owner in connection with the Owner's responsibility for
filing documents required for the approval of governmental authorities having jurisdiction over
the Project.
2.1.7 EVALUATION OF BUDGET AND COST OF THE WORK -
2.1.7.1 When the Project requirements have been sufficiently identified,the Architect shall
prepare a preliminary estimate of the Cost of the Work.This estimate may be based on current
area,volume or similar conceptual estimating techniques.As the design process progresses
through the end of the preparation of the Construction Documents,the Architect shall update
and refine the preliminary estimate of the Cost of the Work.The Architect shall advise the Owner
of any adjustments to previous estimates of the Cost of the Work indicated by changes in Project
requirements or general market conditions.If at any time the Architecfs estimate of the Cost of
the Work exceeds the Owner's budget,the Architect shall make appropriate recommendations to
the Owner to adjust the Projecfs size,quality or budget,and the Owner shall cooperate with the
Architect in making such adjustments.
2.1.7.2 Evaluations of the Owner's budget for the Project,the preliminary estimate of the Cost of
the Work and updated estimates of the Cost of the Work prepared by the Architect represent the
Architect's judgment as a design professional familiar with the construction industry.It is
recognized,however,that neither the Architect nor the Owner has control over the cost of labor,
materials or equipment,over the Contractor's methods of determining bid prices,or over
competitive bidding,market or negotiating conditions.Accordingly,the Architect c~nnot and
does not warrant or represent that bids or negotiated prices will not vary from the Owner's
budget for the Project or from any estimate of the Cost of the Work or evaluation prepared or
agreed to by the Architect.
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2.1.7.3 In preparing estimates of the Cost of the Work,the Architect shall be permitted to include
contingencies for design,bidding and price escalation;to determine what materials,equipment,
component systems and types of construction are to be included in the Contract Documents;to
make reasonable adjustments in the scope of the Project and to include in the Contract
Documents alternate bids as may be necessary to adjust the estimated Cost of the Work to meet
the Owner's budget for the Cost of the Work.If an increase in the Contract Sum occurring after
execution of the Contract between the Owner and the Contractor causes the budget for the Cost
of the Work to be exceeded,that budget shall be increased accordingly.
2.1.7.4 If bidding or negotiation has not commenced within 90 days after the Architect submits
the Construction Documents to the Owner,the budget for the Cost of the Work shall be
adjusted to reflect changes in the general level of prices in the construction industry.
2.1.7.5 If the budget for the Cost of the Work is exceeded by the lowest bona fide bid or
negotiated proposal,the Owner shall:
.1 give written approval of an increase in the budget for the Cost of the Work;
.2 authorize rebidding or renegotiating of the Project within a reasonable time;
.3 terminate in accordance with Subparagraph 1.3.8.5;or
.4 cooperate in revising the Project scope and quality as required to reduce the Cost of the
Work.
2.1.7.6 If the Owner chooses to proceed under Clause 2.1.7.5-4,the Architect,without additional
compensation,shall modify the documents for which the Architect is responsible under this
Agreement as necessary to comply with the budget for the Cost of the Work.The modification of
such documents shall be the limit of the Architect's responsibility under this Paragraph 2.1.7.The
Architect shall be entitled to compensation in accordance with this Agreement for all services
performed whether or not construction is commenced.
ARTICLE 2.2 SUPPORTING SERVICES
2.2.1 Unless specifically designated in Paragraph 2.8.3,the services in this Article 2.2 shall be
provided by the Owner or the Owner's consultants and contractors.
2.2.1.1 The Owner shall furnish a program setting forth the Owner's objectives,schedule,
constraints and criteria,including space requirements and relationships,special equipment,
systems and site requirements.
2.2.1.2 The Owner shall furnish surveys to describe physical characteristics,legal limitations and
utility locations for the site of the Project,and a written legal description of the site.The surveys
and legal information shall include,as applicable,grades and lines of streets,alleys,pavements
and adjoining property and structures;adjacent drainage;rights-of-way,restrictions,easements,
encroachments,zoning,deed restrictions,boundaries and contours of the site;locations,dimen-
sions and necessary data with respect to existing buildings,other improvements and trees;and
information concerning available utility services and lines,both public and private,above and
below grade,including inverts and depths.All the information on the survey shall be referenced
to a Project benchmark.
2.2.1.3 The Owner shall furnish services of geotechnical engineers which may include but are not
limited to test borings,test pits,determinations of soil bearing values,percolation tests,evalua-
tions of hazardous materials,ground corrosion tests and resistivity tests,including necessary
operations for anticipating subsoil conditions,with reports and appropriate recommendations.
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@1997 AIA@
AlA DOCUMENT 8141-1997
STANDARD FORM
SERVICES
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
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@ 1997 AIA@
AlA DOCUMENT 8141-1997'
STANDARD FORM
SERVICES
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
ARTICLE2.3 EVALUATIONAND PLANNINGSERVICES
2.3.1 The Architect shall provide a preliminary evaluation of the information furnished by the
Owner under this Agreement)including the Owner's program and schedule requirements and
budget for the Cost of the Work)each in terms of the other.The Architect shall review such
information to ascertain that it is consistent with the requirements of the Project and shall
notify the Owner of any other information or consultant services that may be reasonably needed
for the Project.
2.3.2 The Architect shall provide a preliminary evaluation of the Owner's site for the Project
based on the information provided by the Owner of site conditions)and the Owner's program,
schedule and budget for the Cost of the Work.
2.3.3 The Architect shall review the Owner's proposed method of contracting for construction
services and shall notify the Owner of anticipated impacts that such method may have on the
Owner's program)financial and time requirements)and the scope of the Project.
ARTICLE 2.4 DESIGN SERVICES
2.4.1 The Architect's design services shall include normal structural)mechanical and electrical
engineering services.See Exhibit'A'
2.4.2 SCHEMATICDESIGNDOCUMENTS
2.4.2.1The Architectshall provide SchematicDesign Documents based on the mutually agreed-
upon program)schedule)and budget for the Cost of the Work.The documents shall establish the
conceptual design of the Project illustrating the scale and relationship of the Project components.
The Schematic Design Documents shall include a conceptual site plan,if appropriate,and
preliminary building plans,sections and elevations.At the Architect's option)the Schematic
Design Documents may include study models)perspective sketches,electronic modeling or com-
binations of these media.Preliminary selections of major building systems and construction
materials shall be noted on the drawings or described in writing.
See Exhibit 'A'
2.4.3 DESIGN DEVELOPMENT DOCUMENTS
2.4.3.1 The Architect shall provide Design Development Documents based on the approved
Schematic Design Documents and updated budget for the Cost of the Work.The Design
Development Documents shall illustrate and describe the refinement of the design of the Project)
establishing the scope)relationships,forms)size and appearance of the Project by means of plans)
sections and elevations,typical construction details,and equipment layouts.The Design
Development Documents shall include specifications that identify major materials and systems
and establish in general their quality levels.
2.4.4 CONSTRUCTIONDOCUMENTS
2.4.4.1 The Architect shall provide Construction Documents based on the approved Design
Development Documents and updated budget for the Cost of the Work.The Construction
Documents shall set forth in detail the requirements for construction of the Project.The
Construction Documents shall include Drawings and Specifications that establish in detail the
quality levels of materials and systems required for the Project.
2.4.4.2 During the development of the Construction Documents,the Architect shall assist the
Owner in the development and preparation of:(1)bidding and procurement information which
describes the time)place and conditions of bidding;bidding or proposal forms;and the form of
agreement between the Owner and the Contractor;and (2)the Conditions of the Contract for
Construction (General,Supplementary and other Conditions).The Architect also shall compile
the Project Manual that includes the Conditions of the Contract for Construction and
Specifications and may include bidding requirements and sample forms.
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ARTICLE2.5 CONSTRUCTIONPROCUREMENTSERVICES
2.5.1 The Architect shall assist the Owner in obtaining either competitive bids or negotiated
proposals and shall assist the Owner in awarding and preparing contracts for construction.
2.5.2 The Architect shall assist the Owner in establishing a list of prospective bidders or con-
tractors.
2.5.3 The Architect shall assist the Owner in bid validation or proposal evaluation and determi-
nation of the successful bid or proposal,if any.If requested by the Owner,the Architect shall noti-
fy all prospective bidders or contractors of the bid or proposal results.
2.5.4 COMPETITIVE BIDDING
2.5.4.1 Bidding Documents shall consist of bidding requirements,proposed contract forms,
General Conditions and Supplementary Conditions,Specifications and Drawings.
2.5.4.2 If requested by the Owner,the Architect shall arrange for procuring the reproduction of
Bidding Documents for distribution to prospective bidders.The Owner shall pay directly for the
cost of reproduction or shall reimburse the Architect for such expenses.
'ldding process.Th
mounts of deposits,if am
See Exhibit 'A'
2.5.4.4 The Architect shall consider requests for substitutions,if permitted by the Bidding
Documents,and shall prepare and distribute addenda identifying approved substitutions to all
prospective bidders.
2.5.4.5 The Architect shall participate in or,at the Owner's direction,shall organize and conduct
a pre-bid conference for prospective bidders.
2.5.4.6 The Architect shall prepare responses to questions from prospective bidders and provide
clarifications and interpretations of the Bidding Documents to all prospective bidders in the form
of addenda.
2.5.4.7 The Architect shall participate in or,at the Owner's direction,shall organize and conduct
the opening of the bids.The Architect shall subsequently document and distribute the bidding
results,as directed by the Owner.
2.5.5 NEGOTIATED PROPOSALS
2.5.5.1 Proposal Documents shall consist of proposal requirements,proposed contract forms,
General Conditions and Supplementary Conditions,Specifications and Drawings.
2.5.5.2 If requested by the Owner,the Architect shall arrange for procuring the reproduction of
Proposal Documents for distribution to prospective contractors.The Owner shall pay directly for
the cost of reproduction or shall reimburse the Architect for such expenses.
2.5.5.3 If requested by the Owner,the Architect shall organize and participate in selection inter-
views with prospective contractors.
2.5.5.4 The Architect shall consider requests for substitutions,if permitted by the Proposal
Documents,and shall prepare and distribute addenda identifying approved substitutions to all
prospective contractors.
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@1997 AIA@
AlA DOCUMENT 8141-1997
STANDARD FORM
SERVICES
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
I
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@1997 AIA@
AlA DOCUMENT 8141-1997
STANDARD FORM
SERVICES
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
2.5.5.5 If requested by the Owner,the Architect shall assist the Owner during negotiations with
prospective contractors.The.Architect shall subsequently prepare a summary report of the
negotiation results)as directed by the Owner.
ARTICLE 2.6 CONTRACTADMINISTRATION SERVICES
2.6.1 GENERALADMINISTRATION
2.6.1.1 The Architect shall provide administration of the Contract between the Owner and the
Contractor as set forth below and in the edition of AlA Document A20l,General Conditions of
the Contract for Construction,current as of the date of this Agreement.Modifications made to
the General Conditions,when adopted as part of the Contract Documents,shall be enforceable
under this Agreement only to the extent that they are consistent with this Agreement or approved
in writing by the Architect.
2.6.1.2 The Architect's responsibility to provide the Contract Administration Services under this
Agreement commences with the award of the initial Contract for Construction and terminates at
the issuance to the Owner of the final Certificate for Payment.However,the Architect shall be
entitled to a Change in Services in accordance with Paragraph 2.8.2 when Contract
Administration Services extend 60 days after the date of Substantial Completion of the Work.
-2.6.1.3..The Architect shall be a representative of and shall advise and consult-with the Owner.Gur-
ing the provision of the Contract Administration Services.The Architect shall have authority to
act on behalf of the Owner only to the extent provided in this Agreement unless otherwise
..modified by written amendment.
2.6.1.4 Duties,responsibilities and limitations of authority of the Architect under this Article 2.6
shall not be restricted,modified or extended without written agreement of the Owner and
Architect with consent of the Contractor,which consent will not be unreasonably withheld.
2.6.1.5 The Architect shall review properly prepared,timely requests by the Contractor for
additional information about the Contract Documents.A properly prepared request for
additional information about the Contract Documents shall be in a form prepared or approved
by the Architect and shall include a detailed written statement that indicates the specific Drawings
or Specifications in need of clarification and the nature of the clarification requested.
2.6.1.6 If deemed appropriate by the Architect,the Architect shall on the Owner's behalf prepare,
reproduce and distribute supplemental Drawings and Specifications in response to requests for
information by the Contractor.
2.6.1.7 The Architect shall interpret and decide matters concerning performance of the Owner
and Contractor under,and requirements of,the Contract Documents on written request of either
the Owner or Contractor.The Architect's response to such requests shall be made in writing
within any time limits agreed upon or otherwise with reasonable promptness.
2.6.1.8 Interpretations and decisions of the Architect shall be consistent with the intent of and
reasonably inferable from the Contract Documents and shall be in writing or in the form of
drawings.When making such interpretations and initial decisions,the Architect shall endeavor to
secure faithful performance by both Owner and Contractor,shall not show partiality to either,
and shall not be liable for the results of interpretations or decisions so rendered in good faith.
2.6.1.9 The Architect shall render initial decisions on claims,disputes or other matters in question
between the Owner and Contractor as provided in the Contract.Documents.However,the
Architect's decisions on matters relating to aesthetic effect shall be final if consistent with the
intent expressed in the Contract Documents.
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2.6.2 EVALUATIONSOF THEWORK
2.6.2.1The Architect)as a representative of the Owner)shall visit the site at intervals appropriate
to the stage of the Contractor's operations)or as otherwise agreed by the Owner and the Architect
in Article 2.8)(1)to become generally familiar with and to keep the Owner informed about the
progress and quality of the portion of the Work completed)(2)to endeavor to guard the Owner
against defects and deficiencies in the Work)and (3)to determine in general if the Work is being
performed in a manner indicating that the Work)when fully completed)will be in accordance
with the Contract Documents.However)the Architect shall not be required to make exhaustive or
continuous on-site inspections to check the quality or quantity of the Work.The Architect shall
neither have control over or charge of)nor be responsible for)the construction means)methods)
techniques)sequences or procedures)or for safety precautions and programs in connection with
the Work)since these are solely the Contractor)s rights and responsibilities under the Contract
Documents.
2.6.2.2 The Architect shall report to the Owner known deviations from the Contract Documents
and from the most recent construction schedule submitted by the Contractor.However)the
Architect shall not be responsible for the Contractor's failure to perform the Work in accordance
with the requirements of the Contract Documents.The Architect shall be responsible for the
Architect's negligent acts or omissions)but shall not have control over or charge of and shall not
be responsible for acts or omissions of the Contractor)Subcontractors)or their agents or
employees)or of any other persons or entities performing portions of the Work.
2.6.2.3 The Architect shall at all times have access to the Work wherever it is in preparation or
progress.
2.6.2.4 Except as otherwise provided in this Agreement or when direct ~ommunications have been
specially authorized,the Owner shall endeavor to communicate with the Contractor through the
Architect about matters arising out of or relating to the Contract Documents.Communications
by and with the Architect's consultants shall be through the Architect.
2.6.2.5 The Architec~shall have authority to reject Work that does not conform to the Contract
Documents.Whenever the Architect considers it necessary or advisable)the Architect will have
authority to require inspection or testing of the Work in accordance with the provisions of the
Contract Documents)whether or not such Work is fabricated)installed or completed~However)
neither this authority of the Architect nor a decision made in good faith either to exercise or not
to exercise such authority shall give rise to a duty or responsibility of the Architect to the
Contractor)Subcontractors)material and equipment suppliers)their agents or employees or other
persons or entities performing portions of the Work.
2.6.3 CERTIFICATIONOF PAYMENTSTO CONTRACTOR
2.6.3.1The Architect shall review and certify the amounts due the Contractor and shall issue
Certificates for Payment in such amounts.The Architect's certification for payment shall
constitute a representation to the Owner)based on the Architect's evaluation of the Work as pro-
vided in Paragraph 2.6.2 and on the data comprising the Contractor's Application for Payment)
that the Work has progressed to the point indicated and that)to the best of the Architect's knowl-
edge)information and belief)the quality of the Work is in accordance with the Contract
Documents.The foregoing representations are subject (1)to an evaluation of the Work for con-
formance with the Contract Documents upon Substantial Completion)(2)to results of subse-
quent tests and inspections)(3)to correction of minor deviations from the Contract Documents
prior to completion)and (4)to specific qualifications expressed by the Architect.
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AlA DOCUMENT8141-1997
STANDARD FORM
SERVICES
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
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AlA DOCUMENT 8141-1997
STANDARD FORM
SERVICES
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
2.6.3.2 The issuance of a Certificate for Payment shall not be a representation that the Architect
has (1)made exhaustive or continuous on-site inspections to check the quality or quantity of the
Work,(2)reviewed construction means,methods,techniques,sequences or procedures,(3)
reviewed copies of requisitions received from Subcontractors and material suppliers and other
data requested by the Owner to substantiate the Contractor's right to payment,or (4)ascertained
how or for what purpose the Contractor has used money previously paid on account of the
Contract Sum.
2.6.3.3 The Architect shall maintain a record of the Contractor's Applications for Payment.
2.6.4 SUBMITTALS
2.6.4.1 The Architect shall review and approve or take other appropriate action upon the
Contractor's submittals such as Shop Drawings,Product Data and Samples,but only for the
limited purpose of checking for conformance with information given and the design concept
expressed in the Contract Documents.The Architect's action shall be taken with such reasonable
promptness as to cause no delay in the Work or in the activities of the Owner,Contractor or
separate contractors,while allowing sufficient time in the Architect's professional judgment to
permit adequate review.Review of such submittals.is not conducted for the purpose of
determining the accuracy and completeness of other details such as dimensions and quantities,or
for substantiating instructions for installation or performance of equipment or systems,all of
which remain the responsibility of the Contractor as required by the Contract Documents.The
Architect's review shall not constitute approval of safety precautions or,unless otherwise
specifically stated by the Architect,of any construction means,methods,techniques,sequences or
procedures.The Architect's approval of a specific item shall not indicate approval of an assembly
of which the item is a component.
2.6.4.2 The Architect shall maintain a record of submittals and copies of submittals supplied by
the Contractor in accordance with the requirements of the Contract Documents.
2.6.4.3 If professional design services or certifications by a design professional related to systems,
materials or equipment are specifically required of the Contractor by the Contract DocUJ;nents,
the Architect shall specify appropriate performance and design criteria that such services must
satisfy.Shop Drawings and other submittals related to the Work designed or certified by the
design professional retained by the Contractor shall bear such professional's written approval
when submitted to the Architect.The Architect shall be entitled to rely upon the adequacy,
accuracy and completeness of the services,certifications or approvals performed by such design
professionals.
2.6.5 CHANGES IN THE WORK
2.6.5.1 The Architect shall prepare Change Orders and Construction Change Directives for the
Owner's approval and execution in accordance with the Contract Documents.The Architect may
authorize minor changes in the Work not involving an adjustment in Contract Sum or an
extension of the Contract Time which are consistent with the intent of the Contract Documents.
If necessary,the Architect shall prepare,reproduce and distribute Drawings and Specifications to
describe Work to be added,deleted or modified,as provided in Paragraph 2.8.2.
2.6.5.2 The Architect shall review properly prepared,timely requests by the Owner or Contractor
for changes in the Work,including adjustments to the Contract Sum or Contract Time.A
properly prepared request for a change in the Work shall be accompanied by sufficient support-
ing data and information to permit the Architect to make a reasonable determination without
extensive investigation or preparation of additional drawings or specifications.If the Architect
I WARNING,Unlicensed pholocopylns vlola.es U.s.copyright laws end will subject the violator to le..1 "...e,udon.
determines that requested changes in the Work are not materially different from the requirements
of the Contract Documents,the Architect may issue an order for a minor change in the Work or
recommend to the Owner that the requested change be denied.
2.6.5.3 If the Architect determines that implementation of the requested changes would result in
a material change to the Contract that may cause an adjustment in the Contract Time or Contract
Sum,the Architect shall make a recommendation to the Owner,who may authorize further
investigation of such change.Upon such authorization,and based upon information furnished by
the Contractor,if any,the Architect shall estimate the additional cost and time that might result
from such change,including any additional costs attributable to a Change in Services of the
Architect.With the Owner's approval,the Architect shall incorporate those estimates into a
Change Order or other appropriate documentation for the Owner's execution or negotiation with
.the Contractor.
2.6.5.4 The Architect shall maintain records relative to changes in the Work.
2.6.6 PROJECT COMPLETION
2.6.6.1 The Architect shall conduct inspections to determine the date or dates of Substantial
Completion and the date of final completion,shall receive from the Contractor and forward to the
Owner,for the Owner's review and records,written warranties and related documents required by
the Contract Documents and assembled by the Contractor,and shall issue a final Certificate for
Payment based upon a final inspection indicating the Work complies with the requirements of the
Contract Documents.
2.6.6.2 The Architect's inspection shall be conducted with the Owner's Designated Representative
to check conformance of the Work with the requirements of the Contract Documents and to
verify the accuracy and completeness of the list submitted by the Contractor of Work to be
completed or corrected.
2.6.6.3 When the Work is found to be substantially complete,the Architect shall inform the
Owner about the balance of the Contract Sum remaining to be paid the Contractor,including any
amounts needed to pay for final completion or correction of the Work.
2.6.6.4 The Architect shall receive from the Contractor and forward to the Owner:(1)consent of
surety or sureties,if any,to reduction in or partial release of retainage or the making of final
payment and (2)affidavits,receipts,releases and waivers of liens or bonds indemnifying the
Owner against liens.
ARTICLE 2.7 FACILITY OPERATION SERVICES
2.7.1 The Architect shall meet with the Owner or the Owner's Designated Representative
promptly after Substantial Completion to review the need for facility operation services.
2.7.2 Upon request of the Owner,and prior to the expiration of one year from the date of
Substantial Completion,the Architect shall conduct a meeting with the Owner and the Owner's
Designated Representative to review the facility operations and performance and to make
appropriate recommendations to the Owner..
WARNING:Unlicensed photocopying violates U.S.copyright laws and will subject the violator to legal prosecution.I
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@1997 AIA@
AlA DOCUMENT 8141-1997
STANDARD FORM
SERVICES
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
ARTICLE2.8 SCHEDULEOFSERVICES
2.8.1 Design and Contract Administration Services beyond the following limits shall be
provided by the Architect as a Change in Services in accordance with Paragraph 1.3.3:
.1 up to two (2 )reviews of each Shop Drawing,Product Data
item,sample and similar submittal of the Contractor.See Exhibit'A'
.2 up to thirty (30 )visits to the site by the Architect over the dura-
tion of the Project during construction.
.3 up to two (2 )inspections for any portion of the Work to
,determine whether such portion of the Work is substantially complete in accordance
with the requirements of the Contract Documents.
.4 up to two (2 )inspections for any portion of the Work to deter-
mine final completion.
2.8.2 The following Design and Contract Administration Services shall be provided by the
Architect as a Change in ~ervices in accordance with Paragraph 1.3.3:
.1 review of a Contractor's submittal out of sequence from the submittal schedule agreed
to by the Architect;
.2 responses to the Contractor's requests for information where such information is
available to the Contractor from a careful study and comparison of the Contract
Documents,field conditions,other Owner-provided information,Contractor-prepared
coordination drawings,or prior Project correspondence or documentation;
.3 Change Orders and Construction Change Directives requiring evaluation of proposals,
including the preparation or revision of Instruments of Service;
.4 providing consultation concerning replacement of Work resulting from fire or other
cause during construction;
.5 evaluation of an extensive number of claims submitted by the Owner's consultants,the
Contractor or others in connection with the Work;
.6 evaluation of substitutions proposed by the Owner's consultants or contractors and
making subsequent revisions to Instruments of Service resulting therefrom;
.7 preparation of design and documentation for alternate bid or proposal requests pro-
posed by the Owner;or
.8 C0HtFa€t ~'\amiHiGtrati0H
CSFR}i;JIstisHsf tRe UTgrk
~@rHi~8£prg.uig@g '9 gayg aft@r ta@ date gf ~1~b~t:n;;J.thl
See Exhibit 'A'
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@1997 AIA@
AlA DOCUMENT 8141.1997
STANDARD FORM
SERVICES
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
Responsibility
(Architect,Owner or Not Provided)
.1 Progra-mlng
.2 Land Sur Services
.3 Geotechnica ervices
.4 Space Schemati Flow Diagrams
.5 Existing Facilities eys
.6 Economic Feasibility dies
.7 Site Analysis and Selectio
.8 Environmental Studies and orts
.9 Owner-Supplied Data Coordina .n
.10 Schedule Development and Monito'g
.11 Civil Design
.12 Landscape Design
.13 Interior Design
.14 Special Bidding or Negotiation
.15 Value Analysis
.16 Detailed Cost Estimating
.17 On-Site Project Representation
.18 Construction Management
.19 Start-Up Assistance
.20 Record Drawings
.21 Post-Contract Evalu
.22 Tenant-Related S.
.23
.24
.25
See Exhibit 'A'
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@1997 AIA@
AlA DOCUMENTB141-1997
STANDARD FORM
SERVICES
WARNING:Unlicensed photocopying violates U.S.copyright laws and will subject the violator to legal prosecution.
The American Institute
of Architects
1735 New York Avenue,N.W..'Washington,D,C 20006-5292
ARTICLE 2.9 MODIFICATIONS
2.9.1 Modifications to this Standard
Administration,if any,are as follows:
See Exhibit 'A'
Form of Architect's Services:Design and Contract
By its execution,this Standard Form of Architect's Services:Design and Contract
Administration and modifications hereto are incorporated into the Standard Form of Agreement
Between the Owner and Architect,AlA Document B141-1997,that was entered into by the parties
as of the date:
dff;ffP{J fJt1t,/"rq-;;:
ARC HIT E C T (Signature)0 W N E R (Signature)
Jim Witt,City Manager
City of Coppell,Texas
Jeff D.Bulla III,AlA,President
Pro Forma Architecture,Inc.
(Printed name and title)(Printed name and title)
CAUTION:You should sign an original AlA document or a licensed reproduction.Originals contain the AlA logo
printed in red;licensed reproductions are those produced in accordance with the Instructions to this document.
WARNING:Unlicensed photocopying violates U.S.copyright laws and will subject the violator to legal prosecution.I
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@1997 AIA@
AlA DOCUMENT 8141-1997
STANDARD FORM
SERVICES
The American Institute
of Architects
1735 New York Avenue,N.W.
Washington,D.C.20006-5292
Exhibit ‘A’
City of Coppell Senior Recreation Center
Professional Design Services Agreement
Page 1 of 6
General
Text in the attached Standard Form of Agreement Between Owner and Architect with Standard Form of
Architect’s Services (Agreement) which has been crossed-out or struck-through has been deleted.
Additionally, the following modifications to the Agreement are hereby included:
Article 1.1 Initial Information
Add the following to Clause 1.1.2.5.1:
Site Survey* $10,000
Geotechnical Investigation* $4,000
Professional Design Services Fees $423,525
Reimbursable Expenses* $15,000
Bid Set Printing* $8,000
TAS Review & Inspection $1,115
Construction Cost $2,908,360
Quality Assurance Testing* $30,000
Furniture and Equipment $200,000
Total $3,600,000
* Denotes estimated cost.
Article 1.2 Responsibilities of the Parties
Replace deleted Subparagraph 1.2.3.6 with the following:
1.2.3.6 The Architect shall review laws, codes and regulations normally applicable to the Architect’s
services. The Architect shall assist the Owner in Applying for and obtaining permits and approvals
normally required by law. This assistance shall not extend to the preparation of research studies,
special documentation, or special tests. If required, these services shall be provided as Changes in
Service in accordance with Paragraph 1.3.3.
Article 1.3 Terms and Conditions
Insert the following sentence after the last sentence in Subparagraph 1.3.2.4:
Provision of the Architect’s Instruments of Service in electronic form is subject to the laws of the State
of Texas and the requirements of the Texas Board of Architectural Examiners.
Insert the following Clauses after Clause 1.3.3.2.7:
.8 inclusion of specialty consultant services not previously contained in this Agreement.
.9 preparation of more than five (5) Proposal Requests and evaluation of the Contractor’s
corresponding proposals resulting from Owner initiated changes during Construction.
Replace the deleted first clause in Subparagraph 1.3.9.2 with the following:
.1 automobile mileage at prevailing rates in connection with the Project; other Owner-authorized out
of town travel and subsistence; and the cost of long-distance electronic communications;
Replace the deleted third clause in Subparagraph 1.3.9.2 with the following:
.3 reproductions, plots, reprographic services, standard form documents, postage, courier or express
mail services required for the delivery of Instruments of Service, and postage/courier fees required
for return of shop drawings and other construction related submittals;
Exhibit ‘A’
City of Coppell Senior Recreation Center
Professional Design Services Agreement
Page 2 of 6
Article 1.4 Scope of Services and Other Special Terms and Conditions
Insert the following Subparagraphs after Paragraph 1.4.2:
1.4.2.1 The Owner agrees to insert a waiver of consequential damages by the Contractor against the
Architect or to delete the waiver of consequential damages between the Owner and Contractor in AIA
Document A201 General Conditions of the Contract for Construction.
1.4.2.2 The Architect will attempt to maintain professional liability insurance coverage with limits of
$1,000,000 dollars until the third anniversary of the date of Substantial Completion of the Project to
the extent it is commercially available at reasonable rates.
1.4.2.3 The Owner understands this standard form of agreement is based upon the premise that the
Project will be competitively bid and is part of an integrated group of contractual documents intended
for use with the competitive bid delivery method. If the Owner elects to utilize a delivery method
other than competitive bidding, this form of agreement will be inappropriate and the Owner agrees to
transfer the respective responsibilities of the Owner and Architect to the appropriate AIA standard
form agreement as much as is practical. If another delivery method requires additional services
required of the Architect which are not included in this agreement, they shall be considered as a change
in service and the Architect’s compensation shall be adjusted accordingly.
1.4.2.4 The Owner confirms that neither the Architect nor any of the Architect’s consultants or sub-
consultants has offered any fiduciary service to the Owner and no fiduciary responsibility shall be
owed to the Owner by the Architect or any the Architect’s consultants or sub-consultants, as a
consequence of the Architect’s entering into this Agreement with the Owner.
Article 1.5 Compensation
Insert the following into Paragraph 1.5.1:
Fixed fees as follows:
Architectural, Structural, MEP Design $325,000.00
Programming $11,500.00
Civil Engineering $28,250.00
Landscape and Irrigation Design $28,500.00
Food Service Consulting $5,625.00
Cost Estimation Consulting $6,250.00
Interior Design $4,800.00
Fixtures/Furniture Selection $11,600.00
Signage & Graphics Design/Selection $2,000.00
Total Professional Fees $423,525.00
Insert the following Subparagraphs after Paragraph 1.5.1:
1.5.1.1 Based on the limited geotechnical information currently available for the Site, the scope of
services assumes that a suspended structural slab will not be required. However, if the City’s
geotechnical consultant stipulates the use of a suspended structural slab, an additional $2,800.00 will
be invoiced as a Change in Service in accordance with Paragraph 1.3.3.
1.5.1.2 Progress payments for Architect’s services in each phase shall total the following percentages
of the compensation amount for architectural fees in Paragraph 1.5.1:
Schematic Design Phase Fifteen percent (15%)
Design Development Phase Twenty percent (20%)
Construction Documents Phase Forty percent (40%)
Bidding Phase Five percent ( 5%)
Construction Phase Twenty percent (20%)
Total One Hundred percent (100%)
Exhibit ‘A’
City of Coppell Senior Recreation Center
Professional Design Services Agreement
Page 3 of 6
1.5.1.3 Progress payments for Programming, Fixtures/Furniture Selection, and Signage & Graphics
Design/Selection fees shall be based upon the percentage of the service expended at the end of the
Architect’s billing cycle.
Insert the following table in Paragraph 1.5.2:
Principal $120.00 per hour
Project Manager $95.00 per hour
Project Architect $85.00 per hour
Architectural Designer $85.00 per hour
Specification Writer $85.00 per hour
Construction Administrator $85.00 per hour
Intern $70.00 per hour
Clerical $50.00 per hour
Article 2.4 Design Services
Add the following sentence at the end of Paragraph 2.4.1:
Design services shall include a separate issuance of Construction Documents to provide for the early
Bidding and Construction of the detached Park Restroom facility and associated infrastructure.
Add the following Subparagraph after Subparagraph 2.4.2.1:
2.4.2.2 During the Schematic Design phase, the Architect shall create and review with the Owner a
minimum of three (3) distinct conceptual designs for the site and building layout, including
parking and other site amenities. From these options, the Owner and Architect shall select
and establish the preferred conceptual design to be further developed and defined by the
Schematic Design Documents.
Article 2.5 Construction Procurement Services
Replace deleted Subparagraph 2.5.4.3 with the following:
2.5.4.3 The Owner shall provide reproduction, distribution and return of the Bidding Documents, and
any required Addenda, to prospective bidders through the services of a local reprographic company.
The Owner, or Owner’s reprographic company, shall maintain a log of distribution and retrieval, and
the amounts of deposits, if any, received from and returned to prospective bidders.
Article 2.8 Schedule of Services
Add the following sentence to the end of Subparagraph 2.8.1.1:
A second review will be performed only if the initial submittal is marked “Revise and Resubmit” by
the Architect.
Replace deleted Subparagraph 2.8.2.8 with the following:
2.8.2.8 Contract Administration Services provided 60 days after the original date for Substantial
Completion of the Work (established in the Agreement between the Owner and Contractor).
Replace deleted Paragraph 2.8.3 with the following:
2.8.3 The Architect shall furnish or provide the following services:
Exhibit ‘A’
City of Coppell Senior Recreation Center
Professional Design Services Agreement
Page 4 of 6
2.8.3.1 Programming: The Architect shall assist the City in developing a Program setting forth the
Project requirements. The Architect shall spend one day touring local senior recreational
centers within the Dallas/Fort Worth local area together with designated City
representatives, and shall meet with the City Staff and other designated Departments, users
and community groups as required to analyze the relevant needs and determine the
objectives for the entire facility. With assistance from a specialty subconsultant, the
Architect shall gather and analyze all pertinent data and facility objectives for food service
operations, and define the overall requirements and scope desired. This Phase will result in
a written Program documenting goals; required interior spaces - their size, capabilities,
features, furnishings, voice/data needs, etc.; exterior spaces and amenities; site requirements
such as parking and pedestrian access; and a preliminary evaluation of the City’s
construction budget requirements. The Architect shall present the final Program to the City
Council for approval.
2.8.3.2 Site Selection and Analysis: The Owner shall provide the Site. The Architect shall conduct
a site analysis of the Site to determine and provide the appropriate site development needs
for the construction of the facility. The Owner shall select the building and amenity
locations within the site, with the assistance of the architect.
2.8.3.3 Owner’s Other Consultants: It is understood and agreed that the Owner shall contract
directly with other consultants for the following services:
Professional Services Consulting Firm:
Land Survey & Platting (with CADD files) To be determined
Geotechnical Investigation To be determined
Materials Testing To be determined
It is also agreed that the Architect shall coordinate the construction documents or reports of
the professional consultants listed above but only for conformance with the design concepts
and information as expressed in the Construction Documents prepared by the Architect.
The Owner agrees to require all other consultants engaged by the Owner to cooperate fully
with the Architect in the resolution of any conflicts or inconsistencies discovered. The
Owner agrees, to the fullest extent permitted by law, to indemnify and hold harmless the
Architect from any damages, liabilities or costs, including reasonable attorneys’ fees and
defense costs, arising in any way from the services performed by any other consultants
engaged by the Owner.
2.8.3.4 City-Supplied Data Coordination. Architect shall provide coordination of data which is
ordinary and incidental to the Project.
2.8.3.5 Space Schematics/Flow Diagrams. Architect shall develop and submit a complete interior
architectural spatial design including layouts for all fixtures, furnishings, and equipment.
2.8.3.6 Interior Architectural Design. The Architect will select interior finishes, patterns and
colors, and prepare a presentation board for approval by the Owner.
2.8.3.7 Schedule Development and Monitoring. The Architect will develop, and periodically
update, a Project schedule indicating major phase milestones.
2.8.3.8 Civil Design. Civil Engineering services will be provided by Architect for the initial phase
of construction including dimensional control, paving, grading, erosion control, storm
drainage, water, sanitary sewer, and preparation of a storm water pollution plan.
2.8.3.9 Landscape Design. Complete landscape and irrigation design will be provided by
Architect, including construction documents and construction contract administration
services.
Exhibit ‘A’
City of Coppell Senior Recreation Center
Professional Design Services Agreement
Page 5 of 6
2.8.3.10 Acoustics and Noise Control. Although no specialty subconsultant is included, the
Architect shall endeavor to analyze and design the various spaces and mechanical systems
to provide quality acoustics and noise control to create a comfortable experience for the
users of the facility.
2.8.3.11 Audio/Visual and Sound Design. The Architect services shall be limited to design of a
facility-wide public address system and basic video projection and sound systems.
2.8.3.12 Voice/Data Infrastructure Design. Architect shall develop and furnish programming for the
internal voice/data systems only. Design will be limited to the infrastructure required to
allow for future installation of these systems by the Owner.
2.8.3.13 Value Analysis. The Architect and his consultants will endeavor to evaluate the relative
costs of various systems and materials used in the project. Detailed or exhaustive value
analysis services will not be provided.
2.8.3.14 Cost Estimating. The Architect will provide and utilize the services of a local estimator for
estimating costs. A preliminary estimate, based on assumed square footage costs, will be
provided during Programming to serve as a model budget for the Project. This estimate
will be updated at the end of the Schematic Design phase. A detailed estimate will be
performed at the end of the Design Development phase and then updated at the end of the
Contract Documents phase.
2.8.3.15 Food Service Equipment Planning. Through the services of a subconsultant, the Architect
shall plan and design the food service areas to achieve the objectives established in the
Programming Phase for a residential-sized kitchen and servery area. Services shall include
layout/utilization of space and detailing and specification of the food service equipment
functional requirements.
2.8.3.16 Security Systems Planning. The Architect will work with the Owner and selected vendors
to design and specify a simple closed-circuit camera surveillance system, an intrusion alarm
system consisting of door and glass-breakage sensors only, and an emergency call system in
the public restrooms. The design of complex access control systems or motion detector
systems are not included in the scope of services.
2.8.3.17 Fixtures/Furniture Selection & Procurement. To serve the space schematics/flow diagrams
developed, the Architect will work with City staff to propose specific furniture and fixtures
to be utilized. The City will select the recreational and exercise equipment (billiard tables,
weight machines, exercise equipment, etc.) and provide the Architect with cutsheets
describing such items for inclusion in the space schematics/flow diagrams. Following
agreement on these items, specifications will be developed by Architect and submitted to
the City. The City will handle procurement: prepare the front-end documents, distribute
the bid documents, and receive the bids. The Architect will participate with the City in the
evaluation of the bids, award of contract(s), and review of the furniture and fixtures upon
installation. The Owner’s Project Budget shall include the cost for furniture and fixtures.
2.8.3.18 Signage and Graphics Design/Selection. The Architect will propose signage types for
approval by the Owner. Signage shall be limited to room signs, a building plaque, one
exterior building identification sign, and required accessibility signage. Following
agreement on these items, specifications will be developed by the Architect and included in
the Documents for general construction. Issuance of a separate bid package for Signage
will not be part of the Architect’s services.
Exhibit ‘A’
City of Coppell Senior Recreation Center
Professional Design Services Agreement
Page 6 of 6
Statement of Jurisdiction
In accordance with requirements of the Texas Board of Architectural Examiners (TBAE), the Architect
makes the following Statement of Jurisdiction: "The Texas Board of Architectural Examiners has
jurisdiction over complaints regarding the professional practices of persons registered as architects in
Texas". The Board may be contacted as follows: 1) By mail: Texas Board of Architectural Examiners,
P.O. Box 12337 Austin, TX 78711-2337; 2) In person: 333 Guadalupe, Suite 2-350 Austin, TX 78701-
3942; 3) By telephone: 512/305-9000; 4) By fax: 512/305-8900; or 5) Via website: www.tbae.state.tx.us.
Date: August 22, 2006
_______________________________ _______________________________
Owner (Signature) Architect (Signature)
Jim Witt, City Manager Jeff D. Bulla III, AIA, President
City of Coppell Pro Forma Architecture, Inc.
DEPT: City Manager
DATE: August 22, 2006
ITEM #: 16
AGENDA REQUEST FORM
ITEM CAPTION: Consider approval of an Ordinance of the city of Coppell, Texas, amending the Code of
Ordinances by amending Article 9-2, Fence regulations, by repealing Sections 9-2-1 through 9-2-8 in its entirety
and by adding new Sections 9-2-1 through 9-2-10 providing for fence regulations; providing a repealing clause;
providing a severability clause; providing for a penalty of a fine not to exceed the sum of Five Hundred Dollars for
each offense; and providing for an effective date, and authorizing the Mayor to sign.
GOAL(S):
EXECUTIVE SUMMARY:
FINANCIAL COMMENTS:
Agenda Request Form - Revised 09/04 Document Name: !Fence
PAGE 1
68146
ORDINANCE NO. _________
AN ORDINANCE OF THE CITY OF COPPELL, TEXAS,
AMENDING THE CODE OF ORDINANCES BY
AMENDING ARTICLE 9-2, FENCE REGULATIONS, BY
REPEALING SECTIONS 9-2-1 THROUGH 9-2-8 IN ITS
ENTIRETY AND BY ADDING NEW SECTIONS 9-2-1
THROUGH 9-2-10 PROVIDING FOR FENCE
REGULATIONS; PROVIDING A REPEALING CLAUSE;
PROVIDING A SEVERABILITY CLAUSE; PROVIDING
FOR A PENALTY OF A FINE NOT TO EXCEED THE SUM
OF FIVE HUNDRED DOLLARS ($500.00) FOR EACH
OFFENSE; AND PROVIDING FOR AN EFFECTIVE DATE.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF COPPELL, TEXAS:
SECTION 1.That the Coppell Code of Ordinances be amended by amending Chapter 9,
by repealing Sections 9-2-1 through 9-2-8 and providing a new ordinance Sections 9-2-1 through
9-2-10, to read as follows:
“ARTICLE 9-2. FENCE REGULATIONS
Sec. 9-2-1. Definitions.
Fence means any wall or structure more than 18 inches in height erected
or maintained for the purposes of enclosing, screening, restricting access to or
decorating the surrounding lot, parcel, building or structures.
Finish side means that side of the fence that forms the barrier, where the
support elements, including posts and rails of the fence, are not visible from
outside the property.
Front yard means the open, unoccupied space on a lot facing a street and
extending across the front of a lot between the side yard lines.
Rear yard means a space unoccupied by principal structure extending for
the full width of the lot between a principal structure and the rear lot.
Repair shall mean the construction or repair of fifty percent (50%) or less
of the perimeter of an existing fence.
PAGE 2
68146
Replace means, for the purposes of this article, the construction,
reconfiguration, relocation or repair of fifty percent (50%) or more of the
perimeter of an existing fence.
Side yard means an open unoccupied space on the same lot with the
building, situated between the building and the side line of the lot, and extending
through the street or the front line shall be deemed a side yard."
Sec. 9-2-2. Fence permit required.
It shall be unlawful for any person to erect or replace a fence, as defined
herein, without first obtaining a permit in accordance with the regulation set forth
in this Chapter, provided however, a permit shall not be required to repair an
existing fence.
Sec. 9-2-3. Application for permit.
An application for a permit must be signed by the applicant and contain
the following information:
A. Applicant's name and address. If the application is a partnership,
corporation or association, the name and phone number of a
responsible party of the entity.
B. Name and address of owner of property.
C. Address of property where fence is to be erected.
D. Height of fence.
E. Plat, map, or site plan showing the lot or tract on which the fence is to
be erected, the location of adjoining or adjacent lots or tracts and the
location of the proposed fence, outlined with heavy black lines.
Sec. 9-2-4. Permit fee.
A nonrefundable permit fee established by resolution of the city council
shall be paid at the time of application for each permit issued.
Sec. 9-2-5. Public property.
A fence, or any part of such fence, shall not be constructed upon or caused
to protrude over property line or lot line. All fences, as provided herein, must be
maintained in a plane so as not to overhang or interfere with public property.
Sec. 9-2-6. Location and height regulations.
PAGE 3
68146
A. Height. It shall be unlawful to erect or maintain a fence at a height
exceeding eight feet.
B. Rear yard. Where driveways connect to alleys in commercial,
industrial and residential areas, fences shall be only constructed along the rear lot
line of any lot to within five feet of a point where the driveway would intersect
the alley pavement at 90 degrees. Fences to be constructed along any driveway or
parallel to alleys shall not be constructed within five feet of the alley pavement.
C. Side yard. A fence may be erected in the side yard of a lot to the side
property line.
D. Front yard. It shall be unlawful to erect or maintain a fence within the
front yard of any lot, from the front building line to the front lot line. The front
building line as that term is used herein shall mean the building line established
by the building constructed on the lot if such established building line is a greater
distance from the front lot line than that established by law.
Sec. 9-2-7. Materials, Orientation and Colors.
A. Permitted materials. All fences, as defined herein, constructed within
the City, shall only be constructed with metal vertical posts and the following
material:
1. wood;
2. metal or wrought iron;
3. stone or brick with mortar;
4. decorative metal.
B. Orientation. All fences shall be constructed so that the finished side
of said fence shall face outward from the property or fence line.
C. Permitted colors. Colors for wood fences shall be limited to earth-tone
colors only; wrought iron and decorative metal fences may be black, off white or
earth tone colors only; masonry fences may not be painted.
Sec. 9-2-8. Prohibited Materials.
Materials prohibited in fences are barbed wire, razor ribbon, sheet metal,
chain-link, vinyl or polyvinyl, or any other similar material, except that barbed
wire and/or chain link is permitted for fencing for agriculture- or industrial- zoned
property.
Sec. 9-2-9. Electrical fences.
PAGE 4
68146
Fences shall not be electrified or utilize an electrical charge; however,
such prohibition shall not be construed to prohibit electric gate closures.
Sec. 9-2-10. Inspection.
Within thirty (30) days of the completion of installation, the owner of the
premises shall request and the building inspector shall conduct an inspection. A
certificate of acceptance or a rejection slip indicating the defects in the same will
be issued.”
SECTION 3. . All provisions of this ordinance of the City of Coppell is an addition to
other ordinances or charter provisions; however, in the event this is in conflict with the
provisions of this ordinance, be, then the provisions and the same are hereby, repealed, and all
other provisions of the ordinances of the City of Coppell not in conflict with the provisions of
this ordinance shall remain in full force and effect.
SECTION 4. Should any sentence, paragraph, subdivision, clause, phrase or section of
this ordinance be adjudged or held to be unconstitutional, illegal, or invalid, the same shall not
affect the validity of this ordinance as a whole, or any part or provision thereof other than the
part so decided to be invalid, illegal, or unconstitutional, and shall not affect the validity of the
Code of Ordinances of the City of Coppell, Texas.
SECTION 5. Any person, firm or corporation violating any of the provisions of this
ordinance or the Code of Ordinances, as amended, shall be deemed guilty of a misdemeanor and,
upon conviction in the municipal court of the City of Coppell, Texas, shall be subject to a fine
not to exceed the sum of Five Hundred ($500.00) dollars for each offense, and each and every
day such offense shall continue shall be deemed to constitute a separate offense.
SECTION 6. That this Ordinance shall take effect immediately from and after its
passage and publication, as the law and charter is such cases provide.
PAGE 5
68146
DULY PASSED by the City Council of the City of Coppell, Texas, this ___ day of
____________, 2006.
APPROVED:
By:
DOUGLAS N. STOVER , MAYOR
ATTEST:
By:
LIBBY BALL, CITY SECRETARY
APPROVED AS TO FORM:
By:
ROBERT E. HAGER, CITY ATTORNEY
(REH/cdb 7/13/06)
The following are the alternatives for Sec. 9-2-7 (B) of the ordinance:
(1) All fences shall be constructed so that the finished side face outward from the property or
fence line.
(or)
(2) All fences, or parts thereof, that are visible or adjacent to a public street shall be
constructed so that the finished side faces or is visible to such street.
(or)
(3) Delete 9-2-7(B) and renumber the current 9-2-7(C) to 9-2-7(B)
DEPT: Police
DATE: August 22, 2006
ITEM #: 17
AGENDA REQUEST FORM
ITEM CAPTION:
Consider approval of an ordinance of the City of Coppell, Texas, amending Chapter 9 of the Coppell City
Code to add Article 9-24-1 through 9-24-4, making it unlawful for property owners and persons in control of a
residence or premises to allow the property to be used for a social gathering where minors may be unlawfully
possessing, using or consuming alcoholic beverages or controlled substances; and authorizing the Mayor to sign.
GOAL(S):
EXECUTIVE SUMMARY:
FINANCIAL COMMENTS:
Agenda Request Form - Revised 09/04 Document Name: )underage
ORDINANCE NO. _______
AN ORDINANCE OF THE CITY OF COPPELL, TEXAS, AMENDING
CHAPTER 9 OF THE COPPELL CITY CODE TO ADD ARTICLE 9-24,
SECTIONS 9-24-1 THROUGH 9-24-4, MAKING IT UNLAWFUL FOR
PROPERTY OWNERS AND PERSONS IN CONTROL OF A RESIDENCE OR
PREMISES TO ALLOW THE PROPERTY TO BE USED FOR A SOCIAL
GATHERING WHERE MINORS MAY BE UNLAWFULLY POSSESSING,
USING OR CONSUMING ALCOHOLIC BEVERAGES OR CONTROLLED
SUBSTANCES; PROVIDING FOR PRESUMPTIONS AND DEFENSES;
PROVIDING A PENALTY OF FINE NOT TO EXCEED FIVE HUNDRED
DOLLARS ($500.00); PROVIDING A REPEALING CLAUSE; PROVIDING A
SEVERABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, the City Council of the City of Coppell determines and declares that social
gatherings where minors gather to use alcohol and illegal substances are a serious threat to public
safety; and
WHEREAS, the City Council finds and determines that social gatherings often are the
result of a lack of proper supervision by parents and other adults whose property is used as a site
for open parties;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF COPPELL, TEXAS:
SECTION 1.That Chapter 9 of the Coppell Code of Ordinances be and the same is
hereby amended by adding Article 9-24, to be entitled “Maintaining a Premises for Consumption
of Alcohol or Drugs by Minors,” which shall read as follows:
“ARTICLE 9-24. MAINTAINING A PREMISES FOR CONSUMPTION OF ALCOHOL
OR DRUGS BY MINORS
Sec. 9-24-1. Definitions.
For the purposes of this article, the following terms, words, phrases and the
derivations thereof shall have the meanings given herein.
Alcoholic beverage shall have the meaning ascribed to it by Section 1.04(1),
Texas Alcoholic Beverage Code.
Controlled substance shall have the meaning ascribed to it by Section
§481.002(5) of the Texas Controlled Substances Act, ch. 481, Texas Health & Safety
Code.
Minor shall mean a person younger than twenty-one (21) years of age.
Residence or Premises shall mean: (1) a place where a person abides, lodges, or
resides, including but not limited to a house, apartment, condominium, hotel or motel
room, or other dwelling unit; or, (2) a hall, meeting room, building, or other place of
assembly whether occupied on a temporary or permanent basis or as a dwelling or place
for social functions. The terms Residence or Premises includes the curtilage of a dwelling
unit and, as used in this article, shall have the foregoing meaning whether owned, leased,
rented or used with or without compensation.
Social gathering shall mean a gathering for social or recreational entertainment at
a residence or premises at which nonfamily or unrelated persons are present
Sec. 9-24-2. Offense.
It shall be unlawful for any person owning or having possession or control of a
residence or premises to allow a social gathering to take place at such residence or
premises if an alcoholic beverage or a controlled substance was unlawfully possessed,
used or consumed by minors if such person knew or reasonably should have known that
such would take place.
Sec. 9-24-3. Presumption and Defenses.
A. In the prosecution of an offense under this article, it shall be presumed that a
person knew or reasonably should have known that a social gathering would take place
and that alcoholic beverages or controlled substances would be possessed, used or
consumed by minors if that person owned, possessed or was in control of the residence or
premises during the preceding year and more than three (3) social gatherings have taken
place at that residence or premises in the preceding year, during each of which minors
were present and possessed, used or consumed an alcohol beverage or a controlled
substance.
B. It is a defense to prosecution of an offense under this article if the possession, use
or consumption of alcoholic beverages by a minor was in the visible presence of the
minor’s adult parent, guardian or spouse, or other adult to whom the minor has been
committed by a court, or while in the course and scope of the minor’s employment by a
licensee or permittee of the Texas Alcoholic Beverage Commission.
C. It is a defense to prosecution of an offense under this article if the person did not
know and, through the exercise of reasonable diligence, could not have known that a
social gathering would occur.
Sec. 9-24-4. Penalty.
An offense under this article shall be deemed to be a misdemeanor and, upon
conviction, is punishable by a fine not to exceed five hundred dollars ($500.00) for each
offense.”
SECTION 2. That all provisions of the Ordinances of the City of Coppell, Texas, in
conflict with the provisions of this ordinance be and the same are hereby repealed, and all other
provisions of the Ordinances of the City not in conflict with the provisions of this ordinance shall
remain in full force and effect.
SECTION 3.That should any word, sentence, paragraph, subdivision, clause, phrase or
section of this ordinance, or of the Code of Ordinances, as amended hereby, be adjudged or held to
be void or unconstitutional, the same shall not affect the validity of the remaining portions of said
ordinance or the Code of Ordinances, as amended hereby, which shall remain in full force and
effect.
SECTION 4.That this ordinance shall take effect immediately from and after its passage
as the law and charter in such cases provide.
DULY PASSED by the City Council of the City of Coppell, Texas, this the _______ day of
___________________, 2006
APPROVED:
_________________ ____________________
DOUGLAS N. STOVER, MAYOR
ATTEST:
_______________________________________
LIBBY BALL, CITY SECRETARY
APPROVED AS TO FORM:
Robert E. Hager, City Attorney
(67886 07/02/06)
DEPT: City Secretary
DATE: August 22, 2006
ITEM #: 18
AGENDA REQUEST FORM
ITEM CAPTION:
Consider approval of a Resolution calling for a Special Election to consider a Charter Amendment to provide for
the regulation of alcoholic beverages; the control of such use; and authorizing the Mayor to sign.
GOAL(S):
EXECUTIVE SUMMARY:
FINANCIAL COMMENTS:
Agenda Request Form - Revised 09/04 Document Name: %callcharter
RESOLUTION NO. _______________
A RESOLUTION OF THE CITY OF COPPELL, TEXAS, CALLING FOR
A SPECIAL ELECTION TO CONSIDER A CHARTER AMENDMENT
TO AMEND THE COPPELL CITY CHARTER TO PROVIDE FOR THE
REGULATION OF ALCOHOLIC BEVERAGES; THE CONTROL OF
SUCH USE; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City has been presented with valid petitions to order a Local Option
Election for November 7, 2006 to determine whether or not to permit the legal sale of beer and
wine for off-premise consumption only and whether or not to permit the legal sale of mixed
beverages in restaurants by food and beverage certificate holders only; and
WHEREAS, on or about July 25, 2006, the City Council ordered such election through
the passage of Resolution No. 2006-0725.2; and
WHEREAS, in the event such propositions are passed in favor of such use, the laws of
the State of Texas permits a local community to enact certain rules, regulations and ordinances to
provide for local control of alcoholic beverages; and
WHEREAS, that such election shall be held in accordance with the joint election
agreements with Dallas County and with Denton County, respectively; and
WHEREAS, the City Council finds it appropriate to call a Charter Amendment Election
to amend the Home Rule Charter to provide for the enactment of ordinances to control and
regulate alcoholic beverages as provided by State law.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF COPPELL, TEXAS:
SECTION 1. That a special election shall be held on November 7, 2006 for the
purpose of submitting to the voters the following proposition:
“PROPOSITION ___________
Whether or not to adopt an amendment to the Home Rule Charter of the City of
Coppell by adding Section 11.22 to regulate the sell of liquor or beer in residential
areas, to regulate the hours when beer may be sold and to regulate alcoholic
beverages as permitted by state law.
IN FAVOR ________________
AGAINST ________________”
68845 1
SECTION 2. That the City Secretary should execute those actions necessary to call such
election as ordered herein.
SECTION 3. This ordinance shall take effect from and after its passage as the law in such
cases provides.
DULY PASSED AND ADOPTED by the City Council of the City of Coppell, Texas, on
the ________ day of _________________________, 2006.
APPROVED:
DOUGLAS N. STOVER, MAYOR
ATTEST:
____________________ ______________
LIBBY BALL, CITY SECRETARY
APPROVED AS TO FORM:
ROBERT E. HAGER, CITY ATTORNEY
(REH/cdb 08/16/06)
68845 2
RESOLUTION _______________
A RESOLUTION OF THE CITY OF COPPELL, TEXAS, CALLING FOR
A SPECIAL ELECTION TO CONSIDER A CHARTER AMENDMENT
TO AMEND THE COPPELL CITY CHARTER TO PROVIDE FOR THE
REGULATION OF ALCOHOLIC BEVERAGES; THE CONTROL OF
SUCH USE; AND PROVIDING AN EFFECTIVE DATE.
DULY PASSED AND ADOPTED by the City Council of the City of Coppell, Texas, on
the ________ day of _________________________, 2006.
APPROVED:
DOUGLAS N. STOVER, MAYOR
ATTEST:
____________________ ______________
LIBBY BALL, CITY SECRETARY
DATE: August 22, 2006
ITEM #: 19
AGENDA REQUEST FORM
NECESSARY ACTION RESULTING FROM WORK SESSION
Agenda Request Form - Revised 02/04 Document Name: %necessaryactionwork
DATE: August 22, 2006
ITEM #: 20
AGENDA REQUEST FORM
COUNCIL COMMITTEE REPORTS
A. Carrollton/Farmers Branch ISD/Lewisville ISD – Councilmember Tunnell.
B. Coppell ISD – Mayor Pro Tem Faught and Councilmembeer York.
C. Coppell Seniors – Mayor Pro Tem Faught and Councilmember Brancheau.
D. Dallas Regional Mobility Coalition - Councilmember Peters.
E. Economic Development Committee – Councilmembers Peters and Franklin.
F. Metrocrest Hospital Authority - Councilmember Tunnell.
G. Metrocrest Medical Foundation - Councilmember Hinojosa-Flores.
H. Metrocrest Medical Services – Councilmember Hinojosa-Flores.
I. Metrocrest Social Service Center – Councilmember York.
J. North Texas Council of Governments - Councilmember Peters.
K. NTCOG/Regional Emergency Management – Councilmember Franklin.
L. North Texas Commission - Councilmember Brancheau.
M. Senior Adult Services – Mayor Pro Tem Faught.
Agenda Request Form - Revised 06/03 Document Name: %ccommreport
DATE: August 22, 2006
ITEM #: 21
AGENDA REQUEST FORM
NECESSARY ACTION RESULTING FROM EXECUTIVE SESSION
Agenda Request Form - Revised 09/02 Document Name: %necessaryactionexec
CERTIFICATE OF AGENDA ITEM SUBMISSION
Council Meeting Date: August 22, 2006
Department Submissions:
Item Nos. 9/G and 15 were placed on the Agenda for the above-
referenced City Council meeting by the Parks Department. I have
reviewed the Agenda Requests (and any backup if applicable) and hereby
submit these items to the City Council for consideration.
____________________
Parks Department
Item No. 9/E was placed on the Agenda for the above-referenced City
Council meeting by the Engineering Department. I have reviewed the
Agenda Request (and any backup if applicable) and hereby submit this item
to the City Council for consideration.
____________________
Engineering Department
Item No. 9/H was placed on the Agenda for the above-referenced City
Council meeting by the Information Systems Department. I have
reviewed the Agenda Request (and any backup if applicable) and hereby
submit this item to the City Council for consideration.
____________________
Information Systems Department
Item No. 17 was placed on the Agenda for the above-referenced City
Council meeting by the Police Department. I have reviewed the Agenda
Request (and any backup if applicable) and hereby submit this item to the
City Council for consideration.
____________________
Police Department
Financial Review:
I certify that I have reviewed all the items submitted for consideration on
the Agenda for the above-referenced City Council Meeting and have inserted
any financial comments where appropriate.
____________________
Finance Department
City Manager Review:
I certify that I have reviewed the complete Agenda and Packet for the
above-referenced City Council Meeting and hereby submit the same to the
City Council for consideration.
____________________
City Manager
(or Deputy City Manager)