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CP 2008-10-14 NOTICE OF CITY COUNCIL MEETING AND AGENDA OCTOBER 14, 2008 DOUG STOVER, MARVIN FRANKLIN, Place 6 Mayor Mayor Pro Tem TIM BRANCHEAU, Place 1 MARSHA TUNNELL, Place 4 JAYNE PETERS, Place 2 BILLY FAUGHT, Place 5 BRIANNA HINOJOSA-FLORES, Place 3 KAREN HUNT, 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, October 14, 2008, 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. ag101408 Page 1 of 6 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. B. Section 551.087, Texas Government Code – Economic Development Negotiations. 1. ED Prospects East and West of Beltline/Denton Tap and south of Bethel Road. WORK SESSION (Open to the Public) 3. Convene Work Session A. Discussion regarding Solid Waste Services and Waste Management. 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. 7. Consider approval of a Proclamation naming the week of October 23 through October 31, 2008 as Red Ribbon Week, and authorizing the Mayor to sign. ag101408 Page 2 of 6 ITEM # ITEM DESCRIPTION 8. Consider approval of a proclamation proclaiming the month of October as Breast Cancer Awareness Month, and authorizing the Mayor to sign. 9. Presentation by City Staff regarding Coppell Environmental Management System. 10. Citizens' Appearances. CONSENT AGENDA 11. Consider approval of the following consent agenda items: A. Consider approval of minutes: September 23, 2008 October 2, 2008. B. Consider approval of Amended Minutes of the March 11, 2008 Council Meeting to correct condition number one to Item No. 9 regarding Arbor Manors. C. Consider approval of awarding Buy Board Quote #23-399 to Gomez Floor Covering, Inc. in the amount of $155,281.21 as provided for in the Infrastructure Maintenance Fund (IMF); and authorizing the City Manager to sign and execute any necessary documents. D. Consider approval of awarding Bid/Contract #Q-0908-03 Water Meters for the purchase of water meters in the following manner: Series #100 to Municipal Water Works, L.P., Series #300 to ACT Pipe Supply, Series #400 to Mainline Supply Company, and Series #500 to Metron Farnier for a combined estimated total of $185,739 as budgeted; and authorizing the City Manager to sign and execute any necessary documents. E. Consider approval of an Ordinance for Case No. PD–234-H, Lot 1, Block A, Wilson-Kirkland-Minyard Addition, zoning change from H (Historic) to PD-234-H (Planned Development-234-Historic) to allow the relocation of a 1,100-square-foot house and a 600-square-foot replica of the Minyard’s drug store on 0.27 acres of property located at the southeast corner of W. Bethel Road and S. Coppell Road and authorizing the Mayor to sign. F. Consider approval of an Ordinance for Case No. S-1247-SF-12, T- Mobile (First Assembly of God Church), zoning change from SF-12 (Single Family-12) to S-1247-SF-12 (Special Use Permit-1247-Single ag101408 Page 3 of 6 ITEM # ITEM DESCRIPTION Family-12), to allow wireless communication antennas to be mounted inside a proposed 70-foot high bell tower and a 20’×20’ equipment cabinet at the base, located at 200 S. Heartz Road and authorizing the Mayor to sign. END OF CONSENT 12. Consider approval of an ordinance authorizing the issuance of City of Coppell, Texas combination tax and revenue Certificates of Obligation, SERIES 2008A, in the principal amount of $20,000,000.00 approving an official statement, authorizing the execution of a purchase agreement, making provisions for the security thereof, and ordaining other matters relating to the subject 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, Taxable SERIES 2008B, in the principal amount of $6,500,000.00 approving an official statement, authorizing the execution of a purchase agreement, making provisions for the security thereof, and ordaining other matters relating to the subject and authorizing the Mayor to sign. 14. Consider approval of a resolution to deny the proposed increase in rates and charges requested by Oncor Electric Delivery Company LLC, providing that the rates and charges of the said company be denied, providing for notice hereof to said company and authorizing Mayor to sign. 15. PUBLIC HEARING: Consider approval of Case No. S-1248-C, Papa Murphy’s, a zoning change request from C (Commercial) to S-1248-C (Special Use Permit- 1248-Commercial), to allow a 1,226-square-foot grocery take-out, to be located at 612 E. Sandy Lake Road. 16. PUBLIC HEARING: Consider approval of Case No. PD-235-O, Denton Creek @ Sandy Lake Addition, Lot 2, Block A, a zoning change request from SF-12 (Single Family-12) to PD-235-O (Planned Development District 235-Office), to allow the construction of a two-story, 11,632-square-foot office building on 0.83 acres of property located on the north side of Sandy Lake Road, approximately 600 feet west of Starleaf Road. ag101408 Page 4 of 6 ITEM # ITEM DESCRIPTION 17. Consider approval of the Denton Creek @ Sandy Lake Addition, Lots 1 & 2, Block A, Minor Plat, to allow the construction of a single-family home on Lot 1 and a two-story office building on Lot 2, on 2.3 acres of property located on the north side of Sandy Lake Road, approximately 600 feet west of Starleaf Road. 18. PUBLIC HEARING: Consider approval of Case No. PD-162R-MF-2, Gunner Subdivision, Lots 1 & 2, Block A, a zoning change request from PD-162-MF-2 (Planned Development District 162 – Multifamily-2) to PD-162R-MF-2 (Planned Development District 162- Revised – Multi-family-2) to allow the conversion of a portion of the existing leasing office/amenity area into three residential units, to add garages/storage areas, and to reconfigure parking spaces, on 37.8 acres of property located 1717 and 1721 Belt Line Road. 19. Consider approval of the Lesley Retail Addition, Blocks A & B, & Dividend Drive, Preliminary Plat, to establish property boundaries and the alignment of Dividend Drive on 28.142 acres of property located on the east side of S. Belt Line Road, north of Hackberry Drive. 20. Consider approval of the Dividend Drive (Lesley Retail Addition), Final Plat, to establish a 90-foot wide right-of-way for the extension of Dividend Drive from S. Belt Line Road to the Coppell/Dallas City Limit Line, containing 1.286 acres of property located approximately 1,434 feet north of Hackberry Drive. 21. Consider appointments of Youth Advisors to the Parks and Recreation Board. 22. Consider appointments to the Coppell Economic Development Foundation for a one year term. 23. Mayor and Council Reports. A. Report by Mayor Stover regarding State Election Candidate Forum Event. B. Report by Mayor Stover regarding Oaktoberfest on October 18th. C. Report by Mayor Stover regarding Metroplex Mayors’ Meeting. D. Report by Mayor Stover regarding National Night Out. 24. Necessary action resulting from Work Session. ag101408 Page 5 of 6 25. Necessary action resulting from Executive Session. 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 10th day of October, 2008, 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). ag101408 Page 6 of 6 KEY TO COUNCIL GOALS ICONS 2007 — 2012 Maintain Sustainable, Financially Sound City Government with Excellent Services • Maintain quality customer service resulting in 90+% customer satisfaction ratings • Ensure adequate resources to support defined services and service levels • Retain reserves consistent with city policy • Invest in the city’s future: operations & capital • Ensure residents are aware of city vision, goals, services and programs Develop & Revitalize Commercial Areas & Corridors • Continue development: corporate offices and major distribution businesses • Revitalize aged or deteriorating strip centers • Maintain and expand business tax base • Develop a quality hotel serving residents and guests • Retain and support expansion of current businesses located in Coppell Maintain & Upgrade City Infrastructure • Maintain and improve quality of roads, alleys, and sidewalks • Improve quality of storm water management systems • Improve and maintain quality of city facilities • Facilitate efficient traffic flow within and through the city • Improve municipal utilities where necessary and maintain existing Develop an Alive Old Coppell – A Community Destination • Develop a community destination: residents think of Old Coppell as a place to go • Attract small, niche retail businesses • Attract more restaurants • Maintain and expand the Farmers’ Market • Attract non-residents to come and return for dining, shopping and entertainment Maintain Attractive, Livable Neighborhoods with Quality Homes • Protect the integrity and identity of current neighborhoods • Enhance the attractiveness of neighborhood infrastructure (trees, streetscapes) • Maintain and increase property values in older homes • Have infill developments that add value to the neighborhood • Have a high percentage of owner-occupied single-family homes Create a City for a Lifetime • Provide leisure and recreational opportunities for all family generations • Maintain a reputation as a safe community for all • Have all generations and diverse populations feel welcome • Maintain top quality schools in partnership with ISD’s • Rejuvenate community events with a high level of participation AGENDA REQUEST FORM DATE: October 14, 2008 ITEM #: ES-2 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. B. Section 551.087, Texas Government Code – Economic Development Negotiations. 1. ED Prospects East and West of Beltline/Denton Tap and south of Bethel Road and north of S.H. 121 and east of Denton Tap. Agenda Request Form - Revised 02/04 Document Name: %exsessn AGENDA REQUEST FORM DATE: October 14, 2008 ITEM #: WS-3 WORK SESSION A. Discussion regarding Solid Waste Services and Waste Management. B. Discussion of Agenda Items. Agenda Request Form - Revised 02/07 Document Name: %wksessn MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT This Municipal Solid Waste Collection and Transportation Agreement (this “Agreement”) is entered into as of the ___ day of October, 2008, between the City of Coppell, Texas (“City”), acting by and through its duly authorized City Manager, and Waste Management of Texas, Inc. (“Contractor”), a Texas corporation, acting by and through its duly authorized representative. W I T N E S S E T H: WHEREAS, City desires to grant to Contractor the exclusive right to operate and maintain the service of collection and transportation of residential, commercial and industrial garbage and trash, and residential recycling, over, upon, along and across the present and future streets, alleys, bridges and public properties of the City, subject to the terms of this Agreement; and WHEREAS, Contractor desires to operate and maintain the service of collection and transportation of residential, commercial and industrial garbage and trash, and residential recycling, over, upon, along and across the present and future streets, alleys, bridges and public properties of the City, subject to the terms of this Agreement. NOW, THEREFORE, for and in consideration of the sum of Ten Dollars ($10.00) and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged and confessed, the parties hereto agree as follows: 1. DEFINITIONS: 1.01. Bag or Bags: Plastic sacks, designed to store refuse with sufficient wall strength to maintain physical integrity when lifted by the top. Total weight of a Bag and its contents shall not exceed forty (40) pounds. 1.02. Brush: Any cuttings or trimmings from trees, shrubs, or lawns, and similar materials. The term "Brush" specifically excludes limbs which are greater than four (4) feet in length, and specifically excludes debris resulting from services of a Commercial Service Provider. 1.03. Bulky Waste: White Goods, furniture, loose brush greater than four (4) feet in length or four (4) inches in diameter, auto parts, and other oversize wastes which are customary to ordinary housekeeping operations of a Residential Unit and whose large size precludes or complicates its handling by normal solid waste collection, processing or disposal methods. 1.04. Bundle or Bundles: Tree, shrub and brush trimmings or unrecycled newspapers and magazines securely tied together forming an easily handled package, not to MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 1 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc exceed four (4) feet in length, six (6) inches in diameter, or 50 lbs. in weight. All Brush must be Bundled. 1.05. City: The City of Coppell, Texas. 1.06. Commercial Unit: All commercial businesses and establishments, including, but not limited to, stores, offices, restaurants, warehouses, and other non- manufacturing facilities, premises, locations or entities, public or private, within the corporate limits of the City. 1.07. Commercial Hand Collect Unit: A retail or light commercial type of business, which generates no more than one (1) cubic yard of Solid Waste per week. 1.08. Commercial Waste: All types of Solid Waste generated by stores, offices, restaurants, warehouses, and other non-manufacturing activities, excluding Residential Waste and Industrial Waste. 1.09. Commercial Service Provider: A commercial business enterprise or commercial service provider. 1.10. Compactor: Any container, regardless of size, which has a compaction mechanism, whether stationary or mobile. 1.11. Construction and Demolition Debris: Waste building materials resulting from construction, remodeling, repair, or demolition operations that are directly or indirectly the by-products of construction work or that result from demolition of buildings or other structures, but specifically excluding inert debris, land-clearing debris, yard debris, or used asphalt, asphalt mixed with dirt, sand, gravel, rock, concrete, or similar materials. 1.12. Container: A receptacle with a capacity of at least 18 - 20 gallons but less than 50 gallons, constructed of plastic, metal or fiberglass, having handles of adequate strength for lifting. The mouth of a container shall have a diameter greater than or equal to that of the base. 1.13. Contract Administrator: That person, or his designee, designated by the City to administer and monitor the provisions of this Agreement. 1.14. Contractor: Waste Management of Texas, Inc. 1.15. Customer: The owner or tenant of a Residential Unit, Commercial Unit and/or Industrial Unit, as the case may be, located within the City, and identified by the City as being eligible for and in need of the services provided by the Contractor under this Agreement. 1.16. Dead Animals: Animals or portions thereof that have expired from any cause except those slaughtered or killed for human use. MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 2 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc 1.17. Disposal Site: A duly permitted sanitary landfill selected by Contractor. 1.18. Dumpster: Metal receptacle designed to be lifted and emptied mechanically for use only at Commercial Units or Industrial Units. 1.19. Garbage: Solid Waste consisting of putrescible or animal and vegetable waste materials resulting from the handling, preparation, cooking, and consumption of food, including waste materials from markets, storage facilities, handling and sale of produce and other food products, and all Dead Animals of less than ten pounds (10 lbs.) in weight, except those slaughtered for human consumption. 1.20. Hazardous Waste: Any Solid Waste identified or listed as a hazardous waste by the administrator of the Environmental Protection Agency under the Federal Solid Waste Disposal Act as amended by RCRA, 42 U.S.C. §6901, et. seq., as amended. 1.21. Industrial Unit: All industrial businesses and establishments, including manufacturing facilities, premises, locations or entities, public or private, within the corporate limits of the City. 1.22. Industrial Waste: Solid Waste resulting from or incidental to any process of industry or manufacturing, or mining or agricultural operations. 1.23. Medical Waste. Waste generated by health care related facilities and associated with health care activities, not including Garbage or Rubbish generated from offices, kitchens, or other non-health-care activities. The term includes Special Waste from health care-related facilities which is comprised of animal waste, bulk blood and blood products, microbiological waste, pathological waste, and sharps as those terms are defined in 25 TAC §1.132 (relating to Definitions). The term does not include medical waste produced on farmland and ranchland as defined in Agricultural Code, §252.001 (6) (Definitions--Farmland or ranchland), nor does the term include artificial, nonhuman materials removed from a patient and requested by the patient, including, but not limited to, orthopedic devices and breast implants. 1.24. Polycart: A rubber-wheeled receptacle with a maximum capacity ranging from 32-gallons to 96-gallons. constructed of plastic, metal and/or fiberglass, designed for automated or semi-automated solid waste collection systems, and having a tight fitting lid capable of preventing entrance into the container by small animals. The weight of a Polycart and its contents shall not exceed the manufacturer’s specifications. 1.25. Recyclable Material: A material that has been recovered or diverted from the non-hazardous waste stream for purposes of reuse, recycling, or reclamation, a substantial portion of which is consistently used in the manufacture of products that may otherwise by produced using raw or virgin materials. Recyclable MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 3 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc Material is not solid waste. However, Recyclable Material may become Solid Waste at such time, if any, as it is abandoned or disposed of rather than recycled, whereupon it will be solid waste, with respect to the party actually abandoning or disposing of such material. 1.26. Recycling Container: A new or used plastic receptacle, designed for the purpose of curbside collection of Recyclable Materials, with capacity between 32 and 96 gallons. 1.27. Refuse: Same as Rubbish. 1.28. Residential Unit: A residential dwelling within the service area of the City occupied by a person or group of persons comprising not more than four families. A Residential Unit shall be deemed occupied when either water or domestic light and power services are being supplied thereto. A condominium dwelling, whether of single or multi-level construction, consisting of four units, shall be treated as a Residential Unit, except that each single-family dwelling within any such Residential Unit shall be billed separately as a Residential Unit. 1.29. Residential Waste: All Refuse, Garbage and Rubbish and other Solid Waste generated by a Customer at a Residential Unit. 1.30. Roll-off Bin: Container provided to a Commercial Unit or Industrial Unit by Contractor measuring 20 cubic yard, 30 yards or 40 cubic yards, intended for high-volume refuse generating Commercial Units or Industrial Units, and capable of pickup and transport to a Landfill by loading of container onto rear of transporting vehicle, but excluding a Compactor. 1.31. Rubbish: Nonputrescible Solid Waste (excluding ashes), consisting of both combustible and noncombustible waste materials. Combustible rubbish includes paper, rags, cartons, wood, excelsior, furniture, rubber, plastics, yard trimmings, leaves, or similar materials; noncombustible rubbish includes glass, crockery, tin cans, aluminum cans, metal furniture, and similar materials that will not burn at ordinary incinerator temperatures (1,600 degrees Fahrenheit to 1,800 degrees Fahrenheit). 1.32. Solid Waste: Garbage, Rubbish, Refuse, sludge from a wastewater treatment plant, water supply treatment plant, or air pollution control facility, and other discarded material, including solid, liquid, semi-solid, or contained gaseous material resulting from industrial, municipal, commercial, mining, and agricultural operations and from community and institutional activities. The term does not include: a) Solid or dissolved material in domestic sewage, or solid or dissolved material in irrigation return flows, or industrial discharges subject to regulation by permit issued under Texas Water Code, Chapter 26; MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 4 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc b) Solid, dirt, rock, sand, and other natural or man-made inert solid materials used to fill land if the object of the fill is to make the land suitable for the construction of surface improvement; c) Waste materials that result from activities associated with the exploration, development, or production of oil or gas or geothermal resources and other substance or material regulated by the Railroad Commission of Texas under Natural Resources Code, §91.101, unless the waste, substance, or material results from activities associated with gasoline plants, natural gas liquids processing plants, pressure maintenance plants, or repressurizing plants and is hazardous waste as defined by the administrator of the EPA under the federal Solid Waste Disposal Act, as amended by RCRA, as amended (42 USC, §§6901 et seq.), or d) Unacceptable Waste. 1.33. Special Waste: Waste that requires special handling and management due to the nature of the waste, including, but not limited to, the following: (A) containerized waste (e.g. a drum, barrel, portable tank, box, pail, etc.), (B) waste transported in bulk tanker, (C) liquid waste, (D) sludge waste, (E) waste from an industrial process, (F) waste from a pollution control process, (G) Residue and debris from the cleanup of a spill or release of chemical, or (H) any other waste defined by Texas law, rule or regulation as "Special Waste". 1.34. Stable Matter: All manure and other waste matter normally accumulated in or about a stable, or any animal, livestock or poultry enclosure, and resulting from the keeping of animals, poultry, or livestock. 1.35. Unacceptable Waste: Any waste, the acceptance and handling of which by Contractor would cause a violation of any permit, condition, legal or regulatory requirement, substantial damage to Contractor's equipment or facilities, or present a danger to the health or safety of the public or Contractor's employees, including, but not limited to, Hazardous Waste, Special Waste (except as otherwise provided herein), untreated Medical Waste, Dead Animals weighing ten pounds (10 lbs.) or greater, solid or dissolved material in domestic sewage, or solid or dissolved material in irrigation return flows, or industrial discharges subject to regulation by permit, soil, dirt, rock, sand, and other natural or man-made inert solid materials used to fill land if the object of the fill is to make the land suitable for the construction of surface improvements. 1.36. Unusual Accumulations: As to Residential Units, any Waste placed curbside for collection in excess of the volumes or weights permitted by this Agreement, or placed outside a Polycart except as permitted by this Agreement, and as to Commercial or Industrial Units, any Waste located outside the Dumpster, Roll-off Bin or Compactor regularly used for such collection service. MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 5 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc 1.37. Waste: All Residential Waste, Commercial Waste, and Industrial Waste to be collected by Contractor pursuant to this Agreement. The term "Waste" specifically excludes Unacceptable Waste. 1.38. White Goods: Refrigerators which have CFCs removed by a certified technician, stoves and ranges, water heaters, freezers, swing sets, bicycles (without tires) scrap metal, copper, and other similar domestic and commercial large appliances. 2. GRANT OF EXCLUSIVE FRANCHISE: Contractor is hereby granted the exclusive right and privilege within the corporate limits of the City to conduct business for the purpose of collection and disposal of Waste, and collection of Recyclable Materials from Residential Units, subject to the terms hereof, within the corporate limits of the City, any tracts, territories and areas hereafter annexed to or acquired by City. All Residential Unit, Commercial Unit, and Industrial Unit Customers shall utilize Contractor’s services pursuant to this Agreement. 3. TERM: The term of this Agreement shall commence November 1, 2008, (“Commencement Date”) and continue remain in full force and effect until October 31, 2014; provided, however, the term of this Agreement shall automatically extend without further action of the parties for additional terms of five (5) years each, unless, not less than ninety (90) days before the termination of the then current term, one party advises the other in writing of its desire to terminate this Agreement at the conclusion of the then current term of the Agreement. 4. RATES: Contractor is authorized to charge, and shall receive from the City, the rates set forth on Schedule “A” attached hereto and incorporated herein by reference ("Base Rates"). The Base Rates are subject to adjustment as set forth in Section 9 below. 5. CONTRACTOR SERVICES: 5.01. Residential Collection (a) Residential/Commercial Hand Collect Collection: (i) Contractor shall collect Residential Waste generated at a Residential Unit and placed in that Residential Unit’s appropriate Bag or Polycart twice per week during the term of this Agreement. Upon the Commencement Date, Contractor shall collect Residential Waste placed in Bags. Upon receiving written notification from the City which shall be issued no later than eighteen_(18) months after the Commencement Date, Contractor shall implement residential Waste and/or recycling collection using Polycarts instead of Bags no later than six (6) months after receiving the City’s notification. Once Contractor implements the MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 6 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc Polycart collection program, new Residential Unit rates as set forth in the attached Schedule ____ shall immediately take effect. Each Residential Unit shall be entitled to obtain a second 95 gallon Polycart for trash or yard trimmings, at an additional rate of $3.00 per month, or both such Polycarts for an additional $5.00 per month. The collection date for Residential Unit service shall be every Wednesday and Saturday of each week. Contractor reserves the right to request a change in residential collection days, based on specific circumstances as may be directed by Contractor to the City. Contractor will notify the City at least thirty (30) days in advance of any change in collection day so as to enable City to provide notice thereof to its residents. (ii) Contractor shall collect Commercial Waste placed in an appropriate container from a Commercial Hand Collect Unit once or twice per week, depending upon the specific needs of the business. (iii) Construction Debris generated at a Residential Unit by a Commercial Service Provider shall be deemed Commercial Waste, and shall be collected pursuant to Section 5.03 below. Construction Debris generated at a Residential Unit by the owner or tenant of that Residential Unit, and not utilizing the services of a Commercial Service provided, shall be subject to the Bulky Waste limitations set forth in this Agreement. (b) Bundle/Bulky Waste Collection: Contractor shall provide a once per week collection service to Residential Units for collection of Bulky Waste and Bundles on each Saturday of the week. Residential Unit Customers must call Contractor by 12:00 p.m. on the Thursday before collection for such service. Contractor agrees to collect up to, but not to exceed, an aggregate of one (1) item of Bulky Waste or Bundles per week from each Residential Unit. Contractor shall have no obligation to collect any Bulky Waste or Bundles in excess of the above volumes, or any Construction Debris produced by a Commercial Service Provider hired by a Customer and generated and located at that Residential Unit. All Brush must be cut and tied and placed in a Bundle. Bulky Waste and Bundles shall be placed within three (3) feet of the curb, swale, paved surface of the roadway, closest accessible roadway, or other location agreed to by Contractor and Customer, that will provide safe and efficient accessibility to Contractor's collection crew and vehicle. (c) Recyclable Collection: Contractor shall provide once per week collection of Recyclable Materials placed in Recyclable Containers from Residential Units. Contractor shall not be required to collect any Recyclable Materials that are not placed in the authorized Recycling Container. In addition, MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 7 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc Contractor shall not be required to collect Recyclable Materials if the Customer does not segregate the Recyclable Materials from the remainder of the Residential Waste. (d) Recycling Containers: (i) Contractor shall provide one (1) Recycling Container to each Residential Unit within 180 days of approval of this Agreement. Recycling Containers shall be placed by the Customer of a Residential Unit in a location that is readily accessible to Contractor and its collection equipment, not to exceed three (3) feet from the curb or edge of the travel portion of the street, road or alley, and not to be located in a manner that will block the driveway or mailbox or otherwise inhibit proper servicing. The City shall aid Contractor in resolving problems of Cart location by the Customer. Customers shall not overload Carts, and the Carts shall be loaded such that the lids shall close securely. (ii) Recycling containers furnished by the Contractor hereunder shall remain the property of Contractor, and the Customer will have no interest in these containers. The recycling containers shall remain at the location of the Residential Unit where delivered by Contractor. The Customer shall be responsible for all loss or damage to the containers, except for normal wear and tear or for loss or damage resulting from Contractor’s handling of the equipment. Any container removed from a Residential Unit shall be deemed lost, and Contractor shall be entitled to compensation by the City therefor. The Customer shall not overload (by weight or volume) a Polycart or a recyclable container, and shall use each only for its proper and intended purpose. Additional Carts or recyclable containers are available for residential Customers at an additional charge to be paid by the Customer. In the event a Cart or recyclable container should be lost or damaged, Contractor agrees to replace such lost or damaged Cart or recyclable container with a new one, at a cost equal to Contractor’s actual cost for such item.. (iii) Contractor will comply with the City’s Ordinance on Yard Trimmings Recycling set forth in Chapter 3, Section 3-5-13 of the City’s Code of Ordinances. (iv) Contractor shall present to the City one or more options for recycling at Multi-Family or Mixed Use units not later than April 1, 2009. MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 8 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc 5.02. Commercial and Industrial Collection: Contractor shall have the exclusive right to collect and transport Commercial Waste and Industrial Waste from the Commercial Units and Industrial Units, respectively, utilizing Dumpsters, Compactors or Roll Off Bins, at such frequency as shall be reasonably requested by such Commercial Unit Customer or Industrial Unit Customer. The Dumpster, Compactor or Roll Off Bin shall be located on a concrete pad to accommodate equipment and at a location reasonably acceptable to Contractor. Contractor may, at its sole option, require Commercial Customers and Industrial Customers to enter into individual contracts with Contractor, subject to the terms of this Agreement. Upon notification from the City, Contractor shall be required to replace any commercial and industrial containers that are no longer in acceptable condition for their intended purpose. 5.03. Unusual Accumulations Collection: Contractor shall have no obligation to collect Unusual Accumulations, and may charge for the collection of any Unusual Accumulations in accordance with the rates set forth in Schedule "A." 5.04. Special Waste: Contractor is not required to accept, transport or manage any Special Waste, unless it is specifically identified in a written agreement between Contractor and Customer. Contractor may collect, and will have the right to impose, a surcharge for the transportation and disposal of Special Waste, depending on the quantities and any physical characteristics of the Special Waste and any special handling, regulatory compliance or increased concern for worker safety or environmental protection occasioned by the material. 5.05. Unacceptable Waste: Contractor shall not be obligated to collect Unacceptable Waste. Title to Unacceptable Waste shall not pass to Contractor, and liability for any unacceptable Waste shall remain with the generator of such Waste. 6. COLLECTION OPERATION: 6.01. Hours of Operation: Collection of Residential Waste shall begin no earlier than 7:00 A.M. and shall generally not extend beyond 7:00 P.M. No collection Collection of Commercial Waste and Industrial Waste shall be collected at such hours as may be determined by Contractor. No collection shall be made on Sunday, unless requested by a Customer and agreed to by Contractor and City. 6.02. Routes of Collection: Collection routes shall be established by the Contractor as reasonably approved by City. City shall provide Contractor with maps of the City containing sufficient detail for Contractor to design collection routes. Contractor shall provide to the City route maps for approval by the City, which approval shall not be unreasonably withheld. 6.03. Holidays: The following shall be holidays for purposes of this Agreement: New Year's Day Memorial Day Independence Day MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 9 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc Labor Day Thanksgiving Day Christmas Day Contractor may decide to observe any or all of the above-mentioned holidays by suspension or collection service on the holiday, but the Contractor shall be responsible for providing make-up collection for residential routes that occur on specified holidays. Make-up days shall be the next business day following the holiday. 6.04. Complaints: Customer complaints shall be directed by the City to Contractor, and Contractor shall promptly resolve such complaint based on the nature of the complaint. Contractor shall be responsible for maintaining a log of complaints based on the information provided to Contractor by the City, and shall provide the City, on a monthly basis, with copies of all complaints indicating the date and hour of the complaint, nature of the complaint, and the manner and timing of its resolution. Any alleged missed pickups will be investigated and, if such allegations are verified, Contractor shall arrange for collection on the next business day after receipt of such complaint. If the missed pickup is a result of Customer related acts or omissions, the City shall take appropriate action to cause such Customer to subsequently properly set out such Waste. 6.05. Collection Equipment: Contractor, at its sole cost and expense, agrees to furnish, all trucks, equipment, machines, and labor which are reasonably necessary to adequately, efficiently, and properly collect and transport garbage from Customers serviced by Contractor in accordance with this Agreement. Collection of Solid Waste shall be made using sealed packer-type trucks, and such equipment shall not be allowed to leak nor scatter any waste within the limits of the City nor while in route to the Disposal Site. All motor vehicles used in performance of the obligations herein created shall be clearly marked with the Contractor's name, telephone number and unit number legible from 150 feet. No advertising shall be permitted on vehicles. All collection equipment shall be maintained in a first class, safe, and efficient working condition throughout the term of this Agreement. Such vehicles shall be maintained and painted as often as necessary to preserve and present a well-kept appearance, and Contractor shall have a regular preventative maintenance program. City may inspect Contractor’s vehicles at any time to insure compliance of equipment with this Agreement. Vehicles are to be washed on the inside and sanitized with a suitable disinfectant and deodorant a minimum of once a month. Such vehicles shall be washed and painted or repainted as often as necessary to keep them in a neat and sanitary condition. 6.06. Disposal: The Contractor shall deliver Waste collected to a duly permitted Disposal Site operated in compliance with rules stipulated by the TCEQ and/or the U.S. Environmental Protection Agency. 6.07. Spillage: The Contractor shall not be responsible for scattered Refuse unless the MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 10 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc same has been caused by Contractor, in which case all scattered Refuse shall be picked up immediately by Contractor. 6.08. Vicious Animals: Employees of the Contractor shall not be required to expose themselves to the dangers of vicious animals in order to accomplish Refuse collection service. Contractor shall immediately notify the City, in writing, of such condition and of his inability to make collection. 6.09. Protection From Scattering: Each vehicle shall be equipped with a cover which may be net with mesh not greater than one and one-half (1-1/2) inches, or tarpaulin, or fully enclosed metal top to prevent leakage, blowing or scattering of refuse onto public or private property. Such cover shall be kept in good order and used to cover the load going to and from the Disposal Site, during loading operations, or when parked if contents are likely to be scattered. Vehicles shall not be overloaded so as to scatter Refuse. 6.10. Point of Contact. All dealings and contacts between Contractor and the City shall be directed between the Municipal Marketing Director of Contractor, or such other individual identified by Contractor, and the Contract Administrator designated by the City. 7. LICENSE AND TAXES: Contractor shall obtain at its sole expense all licenses and permits required by the City and the State, and shall maintain same in full force and effect. 8. BILLING: (a) City shall provide billing and bill collection services for Residential Units during the term of this Agreement. Contractor shall provide billing and bill collection services for services rendered to Commercial and Industrial Units. Within thirty (30) days of the end of each month during which collection services are provided by Contractor hereunder, Contractor shall submit to the City an invoice setting forth sums due by the City to Contractor for services rendered under this Agreement to Residential Units for the prior month. Invoices sent to Commercial Units and Industrial Units by Contractor shall be paid within thirty (30) days after receipt of such Customer. In addition, the City shall remit to the Contractor payment for services rendered by Contractor to Residential Unit Customers within thirty (30) days after receipt of invoice. Past due invoices shall bear interest at the highest rate permitted by law. (c) The City shall be entitled to receive a fifteen percent (15%) franchise fee (the "Franchise Fee") for all services rendered by Contractor hereunder to Residential Units, Commercial Units and Industrial Units. Contractor shall pay the City the Franchise Fee based on payments actually received from collection and disposal of Residential Waste, Commercial Waste and Industrial Waste, to be paid by Contractor within thirty (30) days after the last day of the month of Contractor’s receipt of such payment. MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 11 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc 9. MODIFICATION TO RATES: 9.01 CPI Adjustment . (a) Base Rates charged by Contractor for services to Residential Units will remain fixed as set forth on Schedule "A" and will not be adjusted for changes in the CPI (as hereinafter defined), until November 1, 2010. Commencing on Novmeber 1, 2010 and continuing annually on each anniversary date of the Commencement Date of this Agreement, Base Rates for Residential services shall be adjusted by the same percentage as the Consumer Price Index, Dallas/Fort Worth Region for All Urban Consumers, less energy, Not Seasonally Adjusted, Base Period December 1983 = 100 (published by the United States Bureau of Labor Statistics, Consumer Price Index) (the “C.P.I.”) shall have increased during the preceding twelve months. In the event the U.S. Department of Labor, Bureau of Labor Statistics ceases to publish the C.P.I., the parties hereto agree to substitute another equally authoritative measure of change in the purchasing power of the U.S. dollar as may be then available so as to carry out the intent of this provision. Contractor agrees to cap this CPI adjustment at a maximum of six percent (6%) for any single year. (b) Base Rates for Commercial Unit and Industrial Unit Roll-Off Bin services will increase by two percent (2%) on November 1, 2009. Beginning November 1, 2010, adjustments to the Base Rates for these Commercial Unit and Industrial Unit Roll-Off Bin services will be made pursuant to the terms of Section 9.01(a) above. Contractor agrees to cap this CPI adjustment for Commercial Unit and Industrial Unit Roll-Off Bin services at a maximum of six percent (6%) for any single year. 9.02 Fuel Adjustment. Annually, on each November 1 of this Agreement, the Base Rates shall be subject to a fuel surcharge as follows: The diesel fuel price shall be as determined by reference to the Energy Information Administration of the US Department of Energy (“EIA/DOE”)’s Weekly Retail On Highway Diesel Prices for the Gulf Coast. The EIA/DOE currently publishes these prices on their website at the following location: http://tonto.eia.doe.gov/oog/info/wohdp/diesel.asp. When, according to the EIA/DOE index, diesel fuel ranges between $3.75 to $4.25 per gallon, Contractor will not be entitled to an additional fuel surcharge. The determination of the average price of diesel fuel from the aforesaid website shall be made on the first Monday prior to September 1 of the subject year (or the first business day thereafter if such Monday is a Federal Holiday), and shall represent the 12-month diesel fuel average from September of the preceding year through August of the current year. If the one-year average is outside the range stated above, Contractor shall adjust the rates by one percent (1%) for each twenty-five cents ($0.25) per gallon that fuel prices MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 12 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc have changed. 9.03 Additional Adjustments. Contractor shall also be entitled to an increase in Base Rates from time to time during the term of this Agreement, and upon thirty (30) days' written notice to the City, for increases in the Contractor’s costs, due to changes in federal, state or local laws, rules or regulations, and increases in taxes, tariffs or surcharges. Documentation of such increases shall be submitted to the City at its request. 10. CITY'S OBLIGATIONS: The City agrees to perform all obligations required of the City pursuant to the terms of this Agreement, including, but not limited, the following: (a) The City shall designate the Contract Administrator, who shall communicate City decisions to Contractor on a timely basis from time to time as required under this Agreement; (b) When applicable, the City shall notify Contractor of Customers to be added or dropped from Contractor services, or of any change in Customer service and shall require all Residential Unit, Commercial Unit, and Industrial Unit Customers to utilize Contractor’s services pursuant to this Agreement; (c) The City shall timely inform Contractor of complaints made by Customers; (d) The City shall work with Contractor in good faith to resolve complex Customer service issues; and (e) The City will cooperate with Contractor to educate Customers to encourage, promote and obtain proper Waste disposal as required by this Agreement, including educating Residential Unit Customers to assure proper and timely set out, and proper recycling techniques to minimize contamination. 11. COMPLIANCE WITH LAWS: Contractor, its officers, agents, employees, contractors, and subcontractors, shall abide by and comply with all existing laws and laws which may be enacted by the federal, state, and local governments. It is expressly agreed that nothing in this Agreement shall be construed in any manner to abridge the right of City to pass or enforce necessary police and health regulation for the protection of its inhabitants. It is further agreed and understood that, if the City calls the attention of Contractor to any such violations on the part of the Contractor, its officers, agents, employees, contractors, or subcontractors, then Contractor shall immediately desist from such activity and correct such violation. 12. OFFICE: Contractor shall maintain an office or such other facility through which it may be MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 13 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc contacted by telephone without charge. Such office shall be equipped with sufficient telephones and shall have a responsible person in charge between the hours of 8:00 a.m. and 5:00 p.m., Monday through Friday. 13. ENFORCEMENT: City grants unto Contractor the right to seek an injunction against any third party which is believed to be infringing on the rights of Contractor to this Agreement, including Contractor's exclusive franchise rights granted herein. By granting this right to Contractor, the City in no way reduces its right or obligation to enforce this Agreement or any other City ordinance relating to the collection and disposal of Waste. Furthermore, Contractor shall have all rights and remedies available to it under Texas law to collect delinquent payment of fees by City and/or Commercial Unit and Industrial Unit Customers. The City agrees to take all steps necessary and permitted by law to require Customers to comply with the terms of this Agreement. 14. TRANSFERABILITY OF AGREEMENT: Other than by operation of law, no assignment of the Agreement or any right accruing under the Agreement shall be made in whole or in part by the Contractor without the express written consent of the City, which consent shall not be unreasonably withheld. Upon the assignment, the assignee shall assume the liability of the Contractor. Notwithstanding anything contained herein to the contrary, Contractor shall be permitted to assign this Agreement to an affiliate of Contractor without the City's consent. 15. LANDFILL CAPACITY: Contractor shall have and maintain during the term hereof, adequate disposal capacity for the City’s needs. 16. TERMINATION: Except as otherwise provided herein, if either party defaults in the performance of any of the covenants or conditions contained herein, and fails to cure such default within thirty (30) days after the non-defaulting party has given the defaulting party written notice of such default (or if such default is of a nature that it cannot be cured within such thirty (30) day period, the defaulting party fails to commence the curing of such default within such thirty (30) day period, and fails to thereafter diligently pursue the curing thereof) (the "Cure Period"), the non- defaulting party may: (a) terminate this Agreement as of any date which the non-defaulting party may select, provided said date is at least thirty (30) days after the expiration of the Cure Period; (b) cure the default at the expense of the defaulting party; and/or (c) have recourse to any other right or remedy to which it may be entitled by law, including, but not limited to, the right to all damages or losses suffered as a result of such termination. In the event either party waives default by the other party, such waiver shall not be construed or determined to be a continuing waiver of the same or any subsequent breach or default. 17. ARBITRATION: MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 14 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc The parties shall endeavor to settle all disputes under, or relating to, this Agreement by amicable negotiations. Except as otherwise provided herein, any claim, dispute, disagreement or controversy that arises among the parties under or relating to this Agreement that is not amicably settled shall be submitted to mediation. If the parties remain unable to resolve the controversy through mediation, then the claim, dispute, disagreement or controversy shall be resolved by binding arbitration administered by the American Arbitration Association under its Commercial Arbitration Rules as follows: (a) An arbitration may be commenced by any party to this Agreement by the service of a written request for arbitration (“Request for Arbitration”) upon the other party. Such Request for Arbitration shall summarize the controversy or claim to be arbitrated. (b) The arbitration shall be heard in Dallas, Texas, before an arbitration panel comprised of three (3) arbitrators. Upon initiation of a Request for Arbitration by either party hereto, each party, within fifteen (15) days of the date of the Request for Arbitration, shall select an arbitrator. The arbitrators selected by the claimant and respondent shall, within ten (10) days of their appointment, select a third neutral arbitrator. In the event the two arbitrators are unable to agree upon a third arbitrator, then the American Arbitration Association (“AAA”) shall appoint the third neutral arbitrator. Prior to commencement of hearings, each of the arbitrators appointed shall provide an undertaking of impartiality. In determining the appropriate background of the third arbitrator, the first two arbitrators shall give due consideration to the issues to be resolved. (c) All attorneys’ fees and costs of the arbitration shall in the first instance be borne by the respective party incurring such costs and fees, but the arbitrator shall have the discretion to award costs and/or attorneys’ fees as the arbitrator deems appropriate under the circumstances. (d) Judgment on the award rendered by the arbitrator may be entered in any court having jurisdiction thereof. 18. FORCE MAJEURE: The performance of this Agreement may be suspended and the obligations of either party excused in the event of and during the period that such performance is prevented or delayed by a Force Majeure occurrence. "Force Majeure" shall mean: (a) Any actual or threatened act of God, including hurricanes, tornadoes, landslides, lightning, earthquakes, weather conditions, fire, flood, explosion, sabotage or similar occurrence, acts of a public enemy, extortion, war, blockade or insurrection, riot, civil disturbance, strike or other labor disturbances, governmental actions or regulations, governmental requests or requisitions for national defense, or breakdown or injury to, or shortage in, facilities used for the handling, processing or transportation of Solid Waste or any other cause beyond the reasonable control of either party; (b) The order or judgment of any federal, State, or local court, administrative agency MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 15 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc or governmental body (excluding decisions of federal courts interpreting federal tax laws, and decisions of State courts interpreting State tax laws) if it is not also the result of the willful misconduct or negligent action or inaction of the party relying thereon; provided that neither the contesting in good faith of any such order or judgment nor the failure to so contest shall constitute or be construed as a measure of willful misconduct or negligent action or inaction of such party; (c) The suspension, termination, interruption, denial, or non-renewal of any permit or approval essential to the operation of the Contractor; or (d) A Change in Law. "Change in Law" means (i) the adoption, promulgation, or modification or reauthorization after the date of this Agreement of any law, regulation, order, statute, ordinance, rule or binding judicial or administrative ruling that was not adopted, promulgated, modified or reissued on or before the date of this Agreement, or (ii) the imposition of any material conditions in connection with the issuance, renewal, or modification of any permit, license, registration, notice of intent or approval after the date of this Agreement, which in the case of either (a) or (b) establishes requirements affecting a party’s operation under this Agreement more burdensome than the requirements that are applicable to such party and in effect as of the date of this Agreement. A change in any federal, State, county, or other tax law or workers compensation law shall not be a Change of Law. However, in the event that a federal, State or local entity imposes a fee, charge or tax after the date of this Agreement that applies to a party’s operations per se, such fee, charge or tax shall be treated as a Change in Law. 19. EVIDENCE OF INSURANCE: Contractor shall procure and maintain for the duration of the Agreement, with a carrier reasonably acceptable to City, insurance against claims for injuries to persons or damages to property, which may arise from or in conjunction with the performance of the work hereunder by the Contractor, its agents, representatives, employees, or subcontractors. The policy or policies shall name the City as an additional insured, subject to Contractor's indemnities set forth herein, and shall contain a clause that the insurer will not cancel or decrease the insurance coverage without first giving the City thirty (30) days notice in writing. The cost of such insurance shall be borne by the Contractor and a Certificate of Insurance evidencing that such insurance has been procured and is in force will be forwarded to the City before commencement of work hereunder. Minimum Limits of Insurance: Type Coverage Per Occurrence Minimum Aggregate Minimum Workers Compensation As required by law and shall cover all employees including drivers. As required by law. Comprehensive & General Public Liability $1,000,000 $1,000,000 Property Damage $1,000,000 $1,000,000 MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 16 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc Comprehensive Auto Liability Bodily Injury $1,000,000 Comprehensive Auto Liability- Property Damage $500,000 20. INDEMNITY: The Contractor shall indemnify City against any claims, actions, or suits, including court costs and reasonable attorneys’ fees, to the extent caused by Contractor’s negligent or willful misconduct in providing the services required by this Agreement. Upon obtaining knowledge of any matter giving rise to possible indemnification, the City shall notify the Contractor immediately. The Contractor shall have the right to defend or contest any such claim or demand in the name of the City. The City shall provide such cooperation in connection therewith as the Contractor may reasonably request and shall make available to the Contractor or its representatives all records and other materials reasonably required in such defense. So long as the Contractor is contesting or defending any such claim or demand in good faith, no amount shall be deemed to be due hereunder unless the City has been required by order of any court to pay any sum arising from the subject matter of the suit. 21. OWNERSHIP: Title to Waste shall pass to Contractor when placed in Contractor’s collection vehicle. Title to Unacceptable Waste shall remain with the generator of such Unacceptable Waste. 22. SEVERABILITY: Should any portion of this Agreement be deemed invalid or unenforceable to any extent, the parties hereto agree that such provision shall be amended to the minimum extent necessary to make such provision enforceable, and the remainder of this Agreement shall not be affected thereby. 23. PRIOR AGREEMENTS: This Agreement contains the entire agreement between the parties hereto with respect to the matter set forth herein and supersedes any existing agreement between the parties with respect to the matters contained herein. No provision of any other document, including any request for proposal, shall be deemed incorporated herein, it being the intent of the parties that this Agreement sets forth the full agreement of the parties with respect to the services described herein. No change, alteration or amendment will be binding on either party unless set forth in a document duly executed by all parties hereto. 24. RECORDS: MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 17 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc City and Contractor agree to maintain at their respective places of business adequate records relating to the performance of their respective duties under this Agreement. Such records shall be made available at any time during reasonable business hours for inspection by the other party, at the inspecting party’s expense, and upon reasonable advance notice; provided, however, only records directly relating to this Agreement and necessary to substantiate invoicing must be disclosed to the other party. Additionally, within ninety (90) days of the end of each Agreement year, Contractor shall provide the City with a statistical report identifying the number of homes serviced in the previous contract year, and providing data on the volume of garbage, recycling, and yard trimmings collected. 25. ATTORNEY’S FEES AND VENUE: In the event suit is filed by either party as a result of the performance or non-performance of the terms set forth in this Agreement, notwithstanding the provisions of Chapter 271 of the Texas Local Government Code, the prevailing party shall recover it attorney fees and court costs, with venue of any such action to be in Denton County, Texas. 26. NOTICES: All notices or other communications required or permitted to be given pursuant to this Agreement shall be in writing and shall be considered as properly given (i) if mailed by first class United States mail, postage prepaid, registered or certified with return receipt requested, (ii) by delivering same in person to the intended addressee, (iii) by delivery to an independent third party commercial delivery service for same day or next day delivery and providing for evidence of receipt at the office of the intended addressee, or (iv) by prepaid telegram, telex, or facsimile to the addressee. Notice so mailed shall be effective upon its deposit with the United States Postal Service or any successor thereto; notice sent by such a commercial delivery service shall be effective upon delivery to such commercial delivery service; notice given by personal delivery shall be effective only if and when received by the addressee; and notice given by other means shall be effective only if and when received at the office or designated place or machine of the intended addressee. Notwithstanding anything contained herein to the contrary, any notice of default under this agreement must be both (i) mailed by Certified Mail, Return Receipt Requested and (ii) faxed to the alleged defaulting party to constitute proper notice hereunder. For purposes of notice, the addresses of the parties shall be as set forth below; provided, however, that either party shall have the right to change its address for notice hereunder to any other location within the continental United States by the giving of thirty (30) days' notice to the other party in the manner set forth herein. If to the City, at: Clay Phillips City of Coppell P.O. Box 9478 Coppell, Texas 75011 If to the Contractor at: Waste Management of Texas, Inc. 1600 C South Railroad Lewisville, Texas 75067 MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 18 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc with a copy to: Waste Management of Texas, Inc. 9708 Giles Lane Austin, Texas 78754 Attn: Senior Legal Counsel; and CT Corporation System 350 North St. Paul Street Dallas, Texas 75201 or such other addresses as the parties may hereafter specify by written notice delivered in accordance herewith. 27. DISCRIMINATION PROHIBITED: Contractor, in the execution, performance, or attempted performance of this Agreement, shall not discriminate against any person or persons because of sex, race, religion, color, or national origin. Contractor must be an equal opportunity employer. 28. APPROPRIATION; SOVEREIGN IMMUNITY: The City hereby agrees and acknowledges that the non-appropriation provisions set forth in the Texas Constitution and Local Government Code are not applicable to this Agreement due to the nature of the services rendered by Contractor hereunder, and the City will not use such statute as a defense to payment hereunder. In addition, the City and Contractor acknowledge that this Agreement is subject to the provisions of Chapter 271 of the Texas Local Government Code, specifically including §§ 271.151 through 271.160 of that Code, and including the attorney’s fees provisions of §271.159. Subject to the agreements and modifications of the parties herein with respect to the City’s waiver of immunity to suit, both parties agree that governmental or sovereign immunity is not a defense to suit or liability to enforce the terms of this Agreement, including actual, consequential and lost profit damages resulting from the City’s breach of this Agreement, and Contractor shall be entitled to sue the City for the City’s breach of this Agreement and collect all actual, consequential and/or lost profit damages arising from such breach. The parties further agree that the City waives the right to assert sovereign immunity in a breach of contract action involving the parties, and that all contractual damages, including recovery of consequential damages and/or loss profit, shall be available in litigation between the parties with the recovery of attorneys’ fees provided by TCPRC §38.01, et seq. 29. STORM DEBRIS: Contractor and City understand and agree that also, in the event of a hurricane, tornado, major storm, natural disaster, Contractor shall have no obligation under this Agreement to collect any storm debris resulting therefrom, except as set forth in Article 30(b) below. 30. OTHER SERVICES: MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 19 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc (a) Contractor agrees to provide $12,000.00 to the City each year that the Agreement is in effect to support the community. Contractor agrees to make these funds available each year in one lump sum or split into multiple sums for multiple events, at the City’s discretion. (b) Contractor will provide up to $15,000.00 of waste collection services, at no cost to the City, during each Agreement year to assist the City in cleaning up and recovering from local natural disasters such as, flood, damaging winds, and other acts of God. If the City does not use any of the $15,000.00 in services available during an Agreement year, then the Contractor will issue a check to the City in the amount of $15,000.00. If the City uses only a portion of the $15,000.00 in services, then Contractor will issue a check to the City for the difference between the $15,000.00 and the amount actually used for such services. (c) Contractor shall provide to the City, at no additional cost to the City: (i) Waste collection and disposal services utilizing Dumpsters to all City owned facilities. In the event that the City becomes the owner or operator of a waste water treatment plant during the Term of this Agreement, waste from such facility is excluded; however, the City and Contractor agree to work cooperatively to negotiated mutually acceptable rates for such waste disposal; (ii) twelve (12) Roll-Off Container pulls per Agreement year, for City sponsored events and activities. City will pay for any pulls over twelve, at a 25% discount off the then-current rate schedule as reflected in Schedule A; The City may access the landfill for disposal of acceptable waste materials utilizing their own resources to a maximum of 450 cubic yards per Agreement year. Any waste material delivered to the landfill by the City in City owned or leased vehicles in excess of this amount shall pay the then posted gate rate less 10%. (d) Recycling Rebate: As an incentive to increase recycling within the City, Contractor shall pay to the City, on a monthly basis, a recycling rebate (the “Recycling Rebate”) equal to $14.00 (adjusted annually for CPI pursuant to Section 9.01 above) per ton of Recyclable Materials collected by Contractor under this Agreement for each ton in excess of 29 pounds per Residential Unit serviced by Contractor under this Agreement per month. The actual average volume of Recycable Materials per Residential Unit per month (the “Actual Average Volume”) shall be determined by (i) the total tonnage of Recyclable Materials collected by Contractor under this Agreement during such month, (ii) divided by the number of Residential Units serviced by Contractor under this Agreement for such month. The difference between the Actual Average Volume per month, minus 29 pounds, shall be (i) converted to tons, and (ii) multiplied by $14.00 per ton to determine the monthly Recycling Rebate payable by Contractor to the City. An example of such Recycling Rebate calculation is attached hereto as Schedule ___ and incorporated herein. The $14.00 per ton rebate is based on the Official Board Markets’ Yellow Sheets in effect on the Commencement Date of this Agreement. MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 20 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc (e) Residents of the City shall be entitled to free disposal once per month at Contractor’s DFW landfill located in Lewisville, Texas. The user of the service must present a valid driver’s license and water bill dated within the preceding sixty (60) days with the same address. The residential user may not use the free dumping privilege for disposal of non- residential or commercial waste. Contractor shall have the right to refuse any loads under the free dumping privilege which violate any rules established by Contractor. (f) For residents of the City that are handicapped or require special service, Contractor shall provide a refuse collection program that will aid in their needs. Handicapped persons will be required to contact the City. The City shall determine whether the resident qualifies for handicapped or special service. Contractor and the City will coordinate such program with the removal of the Residential Waste from their home. Contractor’s employees shall not be required to enter any gated areas for collection of Residential Waste from handicapped residents. EFFECTIVE AS OF THE ____ DAY OF _____________, 2008. CITY: CONTRACTOR: CITY OF COPPELL, TEXAS WASTE MANAGEMENT OF TEXAS, INC. _________________________________ _____________________________________ BY: ____________________________ BY: Mayor __________________________ ITS: ATTEST: _________________________________ City Secretary, City of Coppell, Texas APPROVED: _________________________________ City Attorney MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 21 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc SCHEDULE “A” Base Rates CITY OF COPPELL SOLID WASTE PRICING SCHEDULE MUNICIPAL SOLID WASTE COLLECTION AND TRANSPORTATION AGREEMENT - Page 22 C:\temp\XPgrpwise\Coppell Contract 9-17-08.doc Commencement of contract● No changes● Education6 months● Provide 95-gallon Recycling Carts70% of residents surveyed would prefer to collect recyclable materials in carts rather than the bins - with those carts provided by the vendor● Increase household participation rate for recycling from 50% to 65%● Increase landfill diversion rate from 11% to 20%47% of residents surveyed would prefer a 95-gallon cart; 29% would prefer a 64-gallon cart● Increase recycling rebates from Waste Management10 months● Evaluate the diversion rate of recyclables12 months● Evaluate the program for every other week pick-up / and if necessary, move forward 58% of residents surveyed said that a rate reduction would be required to go to once a week pick-up● Maintain Recycling Rates ● Reduce EmissionsCost reductionCommencement of contract● Education ● Increase participation rate● Increase landfill diversion rate from 8% to 12%Recycling MilestonesYard Trimming Milestones GoalsS lid W t Mil tDate Actions Supporting DataDate Actions Goals Commencement of contract● No changes● Educate Residents12 months● Provide 95-gallon carts with two times a week pick-up73% of residents surveyed agreed that carts are an efficient way to store trash● Reduce waste going to landfill71% of residents surveyed agreed that using the carts would help eliminate blowing trash and minimize the attraction of animals● Minimize attraction of animals ● Be in compliance with Storm Water Management Plan ● Minimize litter in alleys 18 months● 95 gallon cart with once a week pick-up72% of residents surveyed agreed they would not support once a week trash pick up unless the savings were significant● Environmentally Friendly ● Less truck damage to streets, alleys and right-of ways82 % of residents surveyed agree that most importantly the city ensures the best service at the best price.Cost ReductionDate Actions Supporting Data GoalsSolid Waste Milestones SCHEDULE “A” CITY OF COPPELL RESIDENTIAL SOLID WASTE RATE SCHEDULE EFFECTIVE NOVEMBER 1, 2008 The rates listed cover a variety of service options for the City of Coppell. These rates are guaranteed through October 31, 2009. Rates are stated as a monthly charge and include a 15% franchise fee to the City. After October 31, 2009, the rates will be modified based upon the terms and conditions of the Municipal Solid Waste Collection and Transportation Agreement. CURRENT SERVICE OF TWICE PER WEEK BAG COLLECTION OF TRASH, ONCE PER WEEK 18-GALLON BIN COLLECTION OF RECYCLING AND ONCE PER WEEK COLLECTION OF YARD TRIMMINGS………………$14.86 OPTIONS: A. ONCE PER WEEK 96-GALLON CART COLLECTION OF TRASH, ONCE PER WEEK 18-GALLON BIN COLLECTION OF RECYCLING, AND ONCE PER WEEK COLLECTION OF YARD TRIMMINGS…………$13.10 B. TWICE PER WEEK 96-GALLON CART COLLECTION OF TRASH, ONCE PER WEEK 18-GALLON BIN COLLECTION OF RECYCLING, AND ONCE PER WEEK COLLECTION OF YARD TRIMMINGS…$17.56 C. ONCE PER WEEK 96-GALLON CART COLLECTION OF TRASH, ONCE PER WEEK 64-GALLON CART COLLECTION OF RECYCLING, AND ONCE PER WEEK COLLECTION OF YARD TRIMMINGS…………$14.20 D. TWICE PER WEEK BAG COLLECTION OF TRASH, ONCE PER WEEK 64-GALLON CART COLLECTION OF RECYCLING, AND ONCE PER WEEK COLLECTION OF YARD TRIMMINGS……………………….$15.92 E. ONCE PER WEEK 96-GALLON CART COLLECTION OF TRASH, EVERY OTHER WEEK 64-GALLON CART COLLECTION OF RECYCLING, AND ONCE PER WEEK COLLECTION OF YARD TRIMMINGS…………$13.20 F ONCE PER WEEK 96-GALLON CART COLLECTION OF TRASH, ONCE PER WEEK 96-GALLON CART COLLECTION OF RECYCLING, AND ONCE PER WEEK COLLECTION OF YARD TRIMMINGS…………$14.35 G ONCE PER WEEK 96-GALLON CART COLLECTION OF TRASH, EVERY OTHER WEEK 96-GALLON CART COLLECTION OF RECYCLING, AND ONCE PER WEEK COLLECTION OF YARD TRIMMINGS…………$13.25 WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: Police October 14, 2008 7 ✔ PROCLAMATION Consider approval of a Proclamation naming the week of October 23 through October 31, 2008 as RED RIBBON WEEK, and authorizing the Mayor to sign. Along with other Metrocrest cities, the City of Coppell, through its representatives, has participated in the Metrocrest Red Ribbon Campaign Committee's efforts to combat alcohol & drug abuse in our communities. It is our desire to present a uniformed and visible commitment toward a drug-free community, particularly during the Texas Red Ribbon Week, October 23 - 31, 2008. Members of the Police Department as well as various school and city officials will attend a Red Ribbon breakfast on October 24th to gear up for the event. McGruff and Coppell Police Officers will make visits to the elementary schools in Coppell. Red Ribbons have been distributed and will be worn to promote the week and all city owned vehicles will display red ribbons. Therefore, submitted herewith is a proclamation for consideration by City Council to proclaim October 23 - 31, 2008 as RED RIBBON WEEK. Staff recommends approval. )Red Ribbon Week Proclamation WHEREAS, tobacco, alcohol, and other drug use has reached epidemic stages in the United States, with the 15-24 year old age group dying at a rate which is higher than that of any other age group; and WHEREAS, in an effort to combat the continuing demand for drugs in our country, it is imperative that our community launch a visible, unified prevention education effort directed toward both youth and adult age groups; and WHEREAS, Texans’ War on Drugs is sponsoring the Red Ribbon Campaign all across our State during Red Ribbon Week, October 23 through October 31, 2008, to offer Texans the opportunity to demonstrate their commitment to drug-free lifestyles; and WHEREAS, individuals and groups in business, government, law enforcement, education, religious institutions, athletic and service organizations, and others will demonstrate their commitment to drug-free, healthy lifestyles by wearing and displaying Red Ribbons during Red Ribbon Week; and WHEREAS, the Coppell Police Department desires to present a uniformed and visible commitment toward a drug-free community, particularly during the Texas Red Ribbon Week, and plan to involve all segments of our community: schools, churches, businesses and industry, media, and City employees. NOW, THEREFORE, I, Douglas N. Stover, Mayor of the City of Coppell, do hereby proclaim the week of October 23 through October 31, 2008 as “Red Ribbon Week” in the City of Coppell, Dallas County, Texas. The Mayor and City Council call on all citizens to join in this worthwhile campaign toward a drug-free community. IN WITNESS THEREOF, I have set my hand and caused the seal of the City of Coppell to be affixed this ___________ day of October 2008. ____________________________________ Douglas N. Stover, Mayor ATTEST: ____________________________________ Libby Ball, City Secretary WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: ȱ City Manager October 14, 2008 8 ✔ PROCLAMATION Consider approval of a proclamation proclaiming the month of October as Breast Cancer Awareness Month, and authorizing the Mayor to sign. Staff recommends approval. !Breast Cancer Awareness Month-1AR PROCLAMATION WHEREAS, this year nearly 182,460 new cases of breast cancer will be diagnosed among women in the United States and approximately 40,480 women in the U.S. die from the disease; and WHEREAS, one in eight women born today will be diagnosed with breast cancer at some time in their lives and approximately 450 men in the U.S. will die from the disease this year; and WHEREAS, every woman is at risk, as nearly 90 percent of all women diagnosed with breast cancer have no family history or known risk factors; and WHEREAS, there is no known cause of non-inherited breast cancer and there is no prevention; and WHEREAS, breast cancer costs this country more than $6 billion each year in medical costs and lost productivity, and it costs families much more; and WHEREAS, mammography does not prevent or cure breast cancer – it can only detect it earlier. Earlier detection followed by treatment increases the odds of living longer and when breast cancer is not diagnosed earlier, it is more deadly and expensive to treat. NOW, THEREFORE, I, Douglas N. Stover, Mayor of the city of Coppell, do hereby proclaim the month of October 2008 as “National Breast Cancer Awareness Month” IN WITNESS THEREOF, I have set my hand and caused the seal of the city of Coppell to be affixed this ___________ day of October 2008. _____________________________________ Douglas N. Stover, Mayor ATTEST: _______________________ Libby Ball, City Secretary WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: ȱ ȱ ȱ City Manager October 14, 2008 9 ✔ PRESENTATION Presentation by City Staff regarding Coppell Environmental Management System. Members of City staff will present to Council an update regarding the implementation of the EMS. The staff has been working with TCEQ and Culture Technologies as one of eleven selected communities in Texas. !Environmental AGENDA REQUEST FORM DATE: October 14, 2008 ITEM #: 10 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 WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: City Secretary October 14, 2008 11/A ✔ PROCEDURAL Consider approval of minutes: September 23, 2008 October 2, 2008. Minutes of the City Council meetings held on September 23, 2008 and October 2, 2008. Staff recommends approval. %minutes cm092308 Page 1 of 10 MINUTES OF SEPTEMBER 23, 2008 The City Council of the City of Coppell met in Regular Called Session on Tuesday, September 23, 2008 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 Marvin Franklin, Mayor Pro Tem Tim Brancheau, Councilmember (late arrival) Jayne Peters, Councilmember Brianna Hinojosa-Flores, Councilmember (late arrival) Marsha Tunnell, Councilmember Billy Faught, Councilmember Karen Hunt, 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. B. Section 551.074, Texas Government Code - Personnel Matters. cm092308 Page 2 of 10 1. Appointment of Municipal Judge and Alternate Judges. C. Section 551.087, Texas Government Code – Economic Development Negotiations. 1. ED Prospects East and West of Beltline/Denton Tap and south of Bethel Road. Councilmembers Brancheau and Hinojosa-Flores arrived before convening into Executive Session. Mayor Stover convened into Executive Session at 5:38 p.m. as allowed under the above-stated article. Mayor Stover adjourned the Executive Session at 6:06 p.m. and opened the Regular Session. WORK SESSION (Open to the Public) 3. Convene Work Session A. Discussion regarding Board/Commission Orientation B. Review of Service Organization Funding Request Process. C. Discussion of Agenda Items. RECEPTION FOR BOARD / COMMISSION / COMMITTEE MEMBERS IN ATRIUM FROM 6:00 PM TO 7:00 PM. REGULAR SESSION (Open to the Public) 4. Convene Regular Session. 5. Invocation. Monsignor Leon Duesman of St. Ann Catholic Church led those present in the Invocation. 6. Pledge of Allegiance. Mayor Stover led those present in the Pledge of Allegiance. 7. Consider approval of an Ordinance appointing a Presiding Municipal Judge and Alternate Municipal Judges of the cm092308 Page 3 of 10 Coppell Municipal Court of Record No. 1 of the City of Coppell; and authorizing the Mayor to sign. Action: Councilmember Peters moved to approve Ordinance No. 2008-1208 appointing a Presiding Municipal Judge and Alternate Municipal Judges of the Coppell Municipal Court of Record No. 1 of the City of Coppell; and authorizing the Mayor to sign. Mayor Pro Tem Franklin seconded the motion; the motion carried 7-0 with Mayor Pro Tem Franklin and Councilmembers Brancheau, Peters, Hinojosa-Flores, Tunnell, Faught, and Hunt voting in favor of the motion. 8. Swearing in of Municipal Judge and Alternate Municipal Judges. Mayor Stover swore in Marian Moseley as Municipal Judge and Terry Landwehr and Kim Nesbitt as Alternate Judges. 9. Swearing in of newly appointed Board / Commission / Committee members. Mayor Stover swore in the newly appointed Board/Commission members who were present. 10. Consider approval of a proclamation proclaiming the week of October 5th through 11th, 2008, as Fire Prevention Week, and authorizing the Mayor to sign. Mayor Stover read the proclamation for the record and presented the same to Chief Richardson and Deputy Chief Oates. Action: Councilmember Hinojosa-Flores moved to approve a proclamation proclaiming the week of October 5th through 11th, 2008, as Fire Prevention Week, and authorizing the Mayor to sign. Councilmember Faught seconded the motion; the motion carried 7-0 with Mayor Pro Tem Franklin and Councilmembers cm092308 Page 4 of 10 Brancheau, Peters, Hinojosa-Flores, Tunnell, Faught, and Hunt voting in favor of the motion. 11. Consider approval of a proclamation proclaiming "National Night Out" on Tuesday, October 7, 2008, and providing City Council Support and endorsement of National Night Out festivities and authorizing the Mayor to sign. Mayor Stover read the proclamation for the record and presented the same to Officer R.J. Harr, McGruff and The Knight. Action: Mayor Pro Tem Franklin moved to approve a proclamation proclaiming "National Night Out" on Tuesday, October 7, 2008, and providing City Council Support and endorsement of National Night Out festivities and authorizing the Mayor to sign. Councilmember Hunt seconded the motion; the motion carried 7-0 with Mayor Pro Tem Franklin and Councilmembers Brancheau, Peters, Hinojosa-Flores, Tunnell, Faught, and Hunt voting in favor of the motion. 12. Citizens' Appearances There was no one signed up to speak under this item. CONSENT AGENDA 13. Consider approval of the following consent agenda items: A. Consider approval of minutes: September 9, 2008. B. Consider approval of an Ordinance amending the Code of Ordinances by amending Article 1-10, "Rules, Times and Procedures for Conducting City Council Meetings," Section 1-10-4, "Types of Meetings," Subsecton 1-10-4.1, "Regular Meetings," cm092308 Page 5 of 10 to provide for regular scheduled meeting of the City Council; and authorizing the Mayor to sign. C. Consider approval of an agreement with the Chaucer Estates Homeowners Association with regard to maintenance of a pond contained within the subdivision common area; and authorizing the City Manager to execute any necessary documents. D. Consider approval of a bid award for Illuminated Street Signs (Bid # Q-0908-04) to Consolidated Traffic Controls, Inc. in the amount of $155,016.00 for 6-foot and 8-foot lighted street signs for various intersections, as budgeted; and authorizing the City Manager to sign and execute any necessary documents. E. Consider approval of a professional services agreement with Brinson Benefits, Inc. for benefit consulting services and other health and wellness related services in the amount of $118,028 and authorizing the City Manger to sign. F. Consider approval of a contract for the renewal of the Dallas County Health Services Agreement, effective October 1, 2008 through September 30, 2009, in the amount of $3,131.00 and authorizing the mayor to sign. Action: Councilmember Tunnell moved to approve Consent Agenda Items A, B carrying Ordinance No. 2008-1209, and C, D, E and F. Councilmember Peters seconded the motion; the motion carried 7-0 with Mayor Pro Tem Franklin and Councilmembers Brancheau, Peters, Hinojosa-Flores, Tunnell, Faught, and Hunt voting in favor of the motion. 14. Consider approval of a Resolution approving the revised Notice of Intention to issue Combination Tax and Revenue Certificates of Obligation and authorizing the Mayor to sign. cm092308 Page 6 of 10 Mayor Pro Tem Franklin left the meeting during the reading of this item. Presentation: Jennifer Miller, Director of Finance, made a presentation to the Council. Action: Councilmember Peters moved to approve Resolution No. 2008-0923.1 approving the revised Notice of Intention to issue Combination Tax and Revenue Certificates of Obligation and authorizing the Mayor to sign. Councilmember Hinojosa-Flores seconded the motion; the motion carried 6-0 with Councilmembers Brancheau, Peters, Hinojosa-Flores, Tunnell, Faught, and Hunt voting in favor of the motion. 15. Consider approval of awarding bid RFP#0093 City of Coppell Medical Plan Stop Loss Insurance to Aetna Signature Administrators in the amount of $341,786 and authorizing the City Manager to sign. Presentation: Jim Witt, City Manager, made a presentation to the Council. Action: Councilmember Tunnell moved to approve awarding bid RFP#0093 City of Coppell Medical Plan Stop Loss Insurance to Aetna Signature Administrators in the amount of $341,786 and authorizing the City Manager to sign. Councilmember Peters seconded the motion; the motion carried 6-0 with Councilmembers Brancheau, Peters, Hinojosa-Flores, Tunnell, Faught, and Hunt voting in favor of the motion. 16. Consider approval of a professional services agreement with United Medical Resources (UMR) to provide third party health claim administration for the City of Coppell Health Benefit Plan in the amount of $147,893 and authorizing the City Manager to sign. cm092308 Page 7 of 10 Presentation: Jim Witt, City Manager, made a presentation to the Council. Action: Councilmember Hunt moved to approve a professional services agreement with United Medical Resources (UMR) to provide third party health claim administration for the City of Coppell Health Benefit Plan in the amount of $147,893 and authorizing the City Manager to sign. Councilmember Brancheau seconded the motion; the motion carried 6-0 with Councilmembers Brancheau, Peters, Hinojosa-Flores, Tunnell, Faught, and Hunt voting in favor of the motion. 17. Consider approval of the Annual Report from the Coppell Education Development Corporation. Presentation: Jim Witt, City Manager, made a presentation to the Council. Action: Councilmember Hunt moved to approve the Annual Report from the Coppell Education Development Corporation. Councilmember Brancheau seconded the motion; the motion carried 6-0 with Councilmembers Brancheau, Peters, Hinojosa-Flores, Tunnell, Faught, and Hunt voting in favor of the motion. 18. Mayor and Council Reports. A. Report by Mayor Stover regarding the Bond Rating. B. Report by Mayor Stover regarding Hurricane Ike Assistance. C. Report by Councilmembers Brancheau and Faught regarding GrapeFest Mayoral Grape Stomp. A. Mayor Stover congratulated the staff and elected officials of Coppell on receiving an AAA rating from Standards and Poor. This is the highest rating and makes Coppell one of eight cities in Texas with this honor. cm092308 Page 8 of 10 B. Mayor Stover gave appreciation to the Coppell Firefighters who provided assistance to Houston and Galveston with Hurricane Ike. Two groups of seven went to South Texas to provide relief. C. Councilmembers Brancheau and Faught had the pleasure and honor of representing the City of Coppell for the third year in a row at the GrapeFest Mayoral Grape Stomp. Dressed as The Grape Busters, they won the award for the Best Costume. 19. Council Committee Reports. A. Carrollton/Farmers Branch ISD/Lewisville ISD – Tunnell B. Coppell ISD – Peters and Hinojosa-Flores. C. Coppell Seniors – Brancheau and Faught. D. Dallas Regional Mobility Coalition – Peters. E. DFW Airport Board – Peters. F. International Council for Local Environmental Initiatives (ICLEI) – Brancheau G. Metrocrest Hospital Authority – Tunnell. H. Metrocrest Medical Foundation – Hunt. I. Metrocrest Medical Services – Hinojosa-Flores. J. Metrocrest Social Service Center – Hunt. K. North Texas Council of Governments – Peters. L. NTCOG/Regional Emergency Management – Franklin. M. North Texas Commission – Franklin. N. Senior Adult Services – Faught. A. Councilmember Tunnell announced CFBISD and LISD have set their tax rates and will be operating with a deficit budget. College Night will be held at Ranchview High School on 10/2 and Homecoming will be on 10/3. Finally, LISD reported 50,000 students this year. B. Councilmember Peters said the Grand Opening for the New Tech High School was held on 9/21 and was well attended. College Night will be 9/23 at the UNT Coliseum, and there will be no school for CISD students on 10/10 and 10/13. C. Councilmember Faught informed Council that the Potluck Luncheon will be held on 9/24 with entertainment from the Country Rhythm Makers. The 1st Annual Craft Sale will be held on 9/27. cm092308 Page 9 of 10 D. Councilmember Peters stated that SH 121 Tollway opened and is now complete from Coppell to Frisco. The Dallas North Tollway is open to Highway 380. E. Councilmember Peters attended the 1st Board Meeting in early September and attended the re-opening of Founder’s Plaza with City Manager Jim Witt. F. Councilmember Brancheau reported a Networking Luncheon with neighboring cities held in Denton. The City of Coppell will host the next luncheon in January. The State Conference will be held in March 2009 with the World Conference scheduled for June 2009 in Edmonton. G. Councilmember Tunnell said Metrocrest Hospital Authority is working with Baylor and Methodist about buying into syndicate at Trinity Hospital in Carrollton. H. Councilmember Hunt reported the Stetson and Turquoise Gala at Austin Ranch was well attended and a great success. I. Councilmember Hinojosa-Flores announced the resignation of the Board President. The next meeting will be 10/2. J. Councilmember Hunt reported that Metrocrest Social Services has been busy assisting the shelters with Hurricane Ike evacuees. K. Nothing to report. L. Councilmember Hunt spoke for Mayor Pro Tem Franklin and said that the summer meeting was canceled, so the next meeting will be in October. M. Councilmember Hunt also reported for Mayor Pro Tem Franklin that the luncheon is scheduled for 9/29. N. Councilmember Faught announced Project Lifesaver has now been enacted and was paid for by the Town of Addison. The Geico Golf Tournament is scheduled for 10/13 and the Addison Bookworm Bash is scheduled for 11/7 & 8. At this time, Mayor Stover reconvened into Work Session. WORK SESSION (Open to the Public) 1. Convene Work Session B. Discussion regarding Board/Commission Orientation C. Review of Service Organization Funding Request Process. D. Discussion of Agenda Items. cm092308 Page 10 of 10 Mayor Stover reconvened into Work Session at 8:27 p.m. as allowed under the above-stated article. Mayor Stover adjourned the Work Session at 8:52 p.m. and opened the Regular Session. REGULAR SESSION (Open to the Public) 20. Necessary action resulting from Work Session. There was no action necessary under this item. 21. Necessary action resulting from Executive Session. Presentation: Bob Hager, City Attorney, read the proposed motion. Action: Councilmember Brancheau moved to authorize the City Manager to enter into and execute on behalf of the City of Coppell, Texas, a settlement agreement with CB Parkway Business Center VI, Ltd. and Tramell Crow 43, Ltd. in cause number CC-0515940-C and cause number 05-07-00331 CV to settle said eminent domain proceedings for the payment of one-half of the awarded attorneys fee claim and dismissal with prejudice of all claims in said proceedings. Councilmember Faught seconded the motion; the motion carried 6-0 with Councilmembers Brancheau, Peters, Hinojosa-Flores, Tunnell, Faught, and Hunt 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 MINUTES OF OCTOBER 2, 2008 The City Council of the City of Coppell met in Special Called Session on Thursday, October 2, 2008, at 6:00 p.m. in the Fire Trainning Room of Fire Station #3, 133 Parkway Boulevard and City Council Chambers of Town Center, 255 Parkway Boulevard, Coppell, Texas. The following members were present: Doug Stover, Mayor Marvin Franklin, Mayor Pro Tem Tim Brancheau, Councilmember Jayne Peters, Councilmember Brianna Hinojosa-Flores, Councilmember Marsha Tunnell, Councilmember Billy Faught, Councilmember Karen Hunt, Councilmember Also present were City Manager Jim Witt, City Secretary Libby Ball and City Attorney Robert Hager. WORK SESSION (Open to the Public) 1. Convene Work Session A. Board/Commission Orientation. The Board/Commission Orientation was held in the Fire Training Room of Fire Station #3 after which Mayor and Council convened Executive Session in the 2nd Floor Conference Room of Town Center. 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 cm100208 Page 1 of 2 District Court; and City of Coppell, et al vs. City of Dallas, et al in the 101st District Court. Mayor Stover convened into Executive Session at 6:58 p.m. as allowed under the above-stated article. Mayor Stover adjourned the Executive Session at 7:45 p.m. and opened the Special Session. SPECIAL SESSION (Open to the Public) 3. Necessary action resulting from Executive Session. Mayor Pro Tem Franklin moved to approve Resolution # 2008-1002.1 approving a Settlement Agreement, Purchase and Sale Agreement, and North Lake Water Supply Planning Agreement, and authorize the Mayor and/or City Manager to sign; and authorizing any minor non-material or non-substantive alterations after approval by the City Attorney. Councilmember Peters seconded the motion; the motion carried 7-0 with Mayor Pro Tem Hinojosa-Flores and Councilmembers Brancheau, Peters, Tunnell, Faught, 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 cm100208 Page 2 of 2 WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: City Secretary October 14, 2008 11/B ✔✔ PROCEDURAL Consider approval of Amended Minutes of the March 11, 2008 Council Meeting to correct condition number one to Item No. 9 regarding Arbor Manors. The minutes were prepared with condition one being as submitted on the Agenda Request Form. When the plat was presented for signature it was discovered it did not match the minutes and after listening to the tapes of the meeting it was determined that condition one was modified during the Planning Director's presentation. The motion indicated the conditions as stated by the Planning Director. The correction appears on Page 5 showing the removed items with strikeout and the added items with shading. Staff recommends approval. MINUTES OF MARCH 11, 2008 The City Council of the City of Coppell met in Regular Called Session on Tuesday, March 11, 2008 at 6:00 p.m. in the City Council Chambers of Town Center, 255 Parkway Boulevard, Coppell, Texas. The following members were present: Doug Stover, Mayor Mayor Pro Tem Brianna Hinojosa-Flores Tim Brancheau, Councilmember Jayne Peters, Councilmember Billy Faught, Councilmember Bill York, Councilmember Councilmembers Marvin Franklin and Marsha Tunnell were absent from the meeting. 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. Mira Mar vs. City of Coppell B. Section 551.072, Texas Government Code - Deliberation regarding Real Property. cm031108 Page 1 of 15 1. Purchase of real property east of Denton Tap and north of Beltline. C. Section 551.087, Texas Government Code – Economic Development Negotiations. 1. ED Prospects East and West of Beltline/Denton Tap and south of Bethel Road. Mayor Stover convened into Executive Session at 6:14 p.m. as allowed under the above-stated article. Mayor Stover recessed the Executive Session at 7:03 p.m. and opened the Regular Session. WORK SESSION (Open to the Public) 3. Convene Work Session A. Discussion regarding Budget Calendar. B. Discussion of Agenda Items. Due to time constraints, Work Session was not held. REGULAR SESSION (Open to the Public) 4. Convene Regular Session. 5. Invocation. Pastor Rod Collver of Living Hope Church 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 under this item. cm031108 Page 2 of 15 CONSENT AGENDA 8. Consider approval of the following consent agenda items: A. Consider approval of minutes: February 26, 2008. B. Consider approval of amending the minutes of the February 12, 2008 Council Meeting to correct the Ordinance number for Consent Agenda Item F from 91500-A-491 to Ordinance No. 2008-1191. C. Consider approval of awarding RFP #0092, and enter into an agreement with DFW Multimedia, Inc., DFW Video, in the amount of $65,500, as budgeted, for video production services, and authorizing the City Manager to sign. D. Consider approval of an Interlocal Agreement between the City of Coppell and the North Central Texas Council of Governments for the cooperative purchasing for TMRS actuarial shared services, and authorizing the City Manager and the Mayor to sign all appropriate documents. E. Consider approval of a nine-month extension to the expiration date (December 12, 2008) of the Alexander Court, Lots 1-29, Block A, Preliminary Plat, to allow the subdivision of 29 single-family lots and two common area lots on 18.5 acres of property located at the northwest corner of Bethel and Denton Tap Roads. F. Consider approval of an Ordinance for Case No. PD- 221R4-HC, Duke Lesley Addition, zoning change from PD-221-HC (Planned Development-221- Highway Commercial) to PD-221R4-HC (Planned Development-221 Revision 4- Highway Commercial) to allow two oversized Monument Signs to be located in the medians of Dividend Drive and Point West Boulevard (one at each location) and authorizing the Mayor to sign. cm031108 Page 3 of 15 G. Consider approval of a Right of Way Use Agreement between the City of Coppell and Duke Realty, LP for the installation of monument signs in the right-of- way of Dividend Drive and Point West Boulevard; and authorizing the City Manager to sign. H. Consider approval of an Ordinance for Case No. PD- 227R-SF-12, Bellacere Addition, zoning change from PD-227-SF-12 (Planned Development-227- Single Family-12) to PD-227R-SF-12 (Planned Development-227 Revised-Single Family-12), to allow: realignment of the mutual access/fire lane easement; reconfiguration of the common area lot; relocation of the garage access on Lot 4; and construction of four single-family homes on 1.961 acres of property, located along the north side of Sandy Lake Road, approximately 150 feet east of Summer Place Drive and authorizing the Mayor to sign. Action: Councilmember Peters moved to approve Consent Agenda Items A, B, C, D, E, F carrying Ordinance No. 91500-A-491 and G and H carrying Ordinance No. 91500-A-492. Councilmember Faught seconded the motion; the motion carried 5-0 with Mayor Pro Tem Hinojosa-Flores and Councilmembers Brancheau, Peters, Faught and York voting in favor of the motion. 9. PUBLIC HEARING: Consider approval of the Arbor Manors, Replat, a replat to revise the previously approved subdivision to eliminate a 4,800-square-foot common area lot and to incorporate this area into an enlarged and reconfigured five lots, allowing the development of 73 single-family homes and 10 common area open spaces on approximately 25.15 acres of property located south of Sandy Lake Road and west of Denton Tap Road. cm031108 Page 4 of 15 Presentation: Gary Sieb, Director of Planning, made a presentation to the Council. Matthew Alexander, representing the 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 the Arbor Manors, Replat, a replat to revise the previously approved subdivision to eliminate a 4,800-square-foot common area lot and to incorporate this area into an enlarged and reconfigured five lots, allowing the development of 73 single-family homes and 10 common area open spaces on approximately 25.15 acres of property located south of Sandy Lake Road and west of Denton Tap Road., subject to the following conditions: 1) Delineate a 58 40-foot front yard setback and a 30-foot rear yard setback on lots 1-5, Block E; and 2) Add a 15-foot setback on Lot 24, Block A. Councilmember Brancheau seconded the motion; the motion carried 5-0 with Mayor Pro Tem Hinojosa-Flores and Councilmembers Brancheau, Peters, Faught and York voting in favor of the motion. 10. PUBLIC HEARING: Consider approval of Case No. S-1245-TC, DeVine Cellars, a zoning change request from TC (Town Center) to S- 1245-TC (Special Use Permit-1245-Town Center), to allow the operation of a 2,272-square-foot retail/convenience store and restaurant, located in the Town Center Addition, along the east side of Denton Tap Road north of Town Center Blvd. cm031108 Page 5 of 15 Presentation: Gary Sieb, Director of Planning, made a presentation to the Council. Jean Dahl, 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: Mayor Pro Tem Hinojosa-Flores moved to close the Public Hearing and approve Case No. S-1245-TC, DeVine Cellars, a zoning change request from TC (Town Center) to S-1245-TC (Special Use Permit- 1245-Town Center), to allow the operation of a 2,272-square-foot retail/convenience store and restaurant, located in the Town Center Addition, along the east side of Denton Tap Road north of Town Center Blvd., subject to the following conditions: 1) The development shall be in accordance with the Site Plan, Floor Plan and Sign Elevations; and 2) Hours of operation shall be limited to 10 a.m. to 10 p.m. Monday through Thursday, until 12 a.m. on Friday and Saturday, and between noon and 6 p.m. on Sunday. Councilmember Peters seconded the motion; the motion carried 5-0 with Mayor Pro Tem Hinojosa-Flores and Councilmembers Brancheau, Peters, Faught and York voting in favor of the motion. 11. PUBLIC HEARING: Consider approval of Case No. PD-223R-C, Chase Bank (Kimbel Addition), a zoning change request from PD-223- C (Planned Development-223-Commercial) to PD-223R-C (Planned Development-223 Revised-Commercial) to attach a revised Detail Site Plan to allow the development of a 3,889-square-foot bank with three drive-thru lanes on 0.70 acres of property, located at the southeast corner of MacArthur Boulevard and Village Parkway. cm031108 Page 6 of 15 Presentation: Gary Sieb, Director of Planning, made a presentation to the Council. Alen Hinkley, 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 Peters moved to close the Public Hearing and approve Case No. PD-223R-C, Chase Bank (Kimbel Addition), a zoning change request from PD-223-C (Planned Development-223- Commercial) to PD-223R-C (Planned Development-223 Revised- Commercial) to attach a revised Detail Site Plan to allow the development of a 3,889-square-foot bank with three drive-thru lanes on 0.70 acres of property, located at the southeast corner of MacArthur Boulevard and Village Parkway with awnings, subject to the following conditions: 1) Indicate the locations for the proposed Purple Wintercreeper on the plan; and 2) Engineering Comments: a) If lime stabilization is not going to be used for the paving, a waiver request must be submitted by the engineer along with the geotechnical report and the thickness of concrete increased by 1"; b) The retaining wall is in conflict with the sanitary sewer on the east side of the project. The engineered retaining wall design will need to be submitted to Engineering Department during the plan review process; and c) It appears that a full set of construction plans was submitted with the DRC information. These plans should not be considered submission for engineering approval. Plans for review should not be submitted until approval from Planning and/or City Council is granted. Councilmember Faught seconded the motion; the motion failed 1-4 with Councilmember Peters voting in favor of the motion and cm031108 Page 7 of 15 Mayor Pro Tem Hinojosa-Flores and Councilmembers Brancheau, Faught and York voting against of the motion. Councilmember Faught moved to close the Public Hearing and approve Case No. PD-223R-C, Chase Bank (Kimbel Addition), a zoning change request from PD-223-C (Planned Development-223- Commercial) to PD-223R-C (Planned Development-223 Revised- Commercial) to attach a revised Detail Site Plan to allow the development of a 3,889-square-foot bank with three drive-thru lanes on 0.70 acres of property, located at the southeast corner of MacArthur Boulevard and Village Parkway without awnings, subject to the following conditions: 1) Indicate the locations for the proposed Purple Wintercreeper on the plan; and 2) Engineering Comments: a) If lime stabilization is not going to be used for the paving, a waiver request must be submitted by the engineer along with the geotechnical report and the thickness of concrete increased by 1"; b) The retaining wall is in conflict with the sanitary sewer on the east side of the project. The engineered retaining wall design will need to be submitted to Engineering Department during the plan review process; and c) It appears that a full set of construction plans was submitted with the DRC information. These plans should not be considered submission for engineering approval. Plans for review should not be submitted until approval from Planning and/or City Council is granted. Councilmember York seconded the motion; the motion carried 4-1 with Mayor Pro Tem Hinojosa-Flores and Councilmembers Brancheau, Faught and York voting in favor of the motion and Councilmember Peters voting against. At this time, Items 15 & 16 were considered. Please see Items 15 & 16 for the minutes. 12. PUBLIC HEARING: Consider approval of Case No. S-1238R-C, Kegs N Cellar, a zoning change request from S-1238-C (Special Use Permit- 1238-Commercial) to S-1238R-C (Special Use Permit-1238 Revised-Commercial) to allow an additional 23-square- cm031108 Page 8 of 15 foot attached sign on the west elevation in addition to the two existing attached signs for the 2,850-square-foot convenience/retail store located at 777 S. MacArthur Blvd., #413. Presentation: Gary Sieb, Director of Planning, made a presentation to the Council. Gordon Pratt, 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 Faught moved to close the Public Hearing and approve Case No. S-1238R-C, Kegs N Cellar, a zoning change request from S-1238-C (Special Use Permit-1238-Commercial) to S-1238R-C (Special Use Permit-1238 Revised-Commercial) to allow an additional 23-square-foot attached sign on the west elevation in addition to the two existing attached signs for the 2,850-square- foot convenience/retail store located at 777 S. MacArthur Blvd., #413. Councilmember Brancheau seconded the motion; the motion carried 5-0 with Mayor Pro Tem Hinojosa-Flores and Councilmembers Brancheau, Peters, Faught and York voting in favor of the motion. 13. PUBLIC HEARING: Consider approval of two text amendments to the Coppell Zoning Ordinance; Sec. 12-29-3.3 adding “(P) Signs which advertise or refer to the sale or consumption of alcoholic beverages by words or symbols” to types of signs are specifically prohibited, and Sec. 12-29-4.3(A)i, requiring individually mounted letters in the industrial districts. Presentation: Gary Sieb, Director of Planning, made a presentation to the Council. cm031108 Page 9 of 15 Public Hearing: Mayor Stover opened the Public Hearing and asked for those persons who signed up to speak. A. Gordon Pratt, 630 Oakbend, spoke against the proposal. EXECUTIVE SESSION (Closed to the Public) Convene Executive Session Section 551.071, Texas Government Code - Consultation with City Attorney. Mayor Stover convened into Executive Session at 8:43 p.m. as allowed under the above-stated article. Mayor Stover adjourned the Executive Session at 8:52 p.m. and opened the Regular Session. REGULAR SESSION (Open to the Public) Action: Councilmember Faught moved to close the Public Hearing and approve two text amendments to the Coppell Zoning Ordinance; Sec. 12-29-3.3 adding “(P) Signs which advertise or refer to the sale or consumption of alcoholic beverages by words or symbols” to types of signs are specifically prohibited, and Sec. 12-29-4.3(A)i, requiring individually mounted letters in the industrial districts. Councilmember York seconded the motion; the motion carried 5-0 with Mayor Pro Tem Hinojosa-Flores and Councilmembers Brancheau, Peters, Faught and York voting in favor of the motion. 14. PUBLIC HEARING: Consider approval of an application by Chesapeake Energy to allow drilling and production from a horizontal well on property located north of Bethel Road, west of the proposed extension of Creekview Drive, on the Fellowship Church Property. cm031108 Page 10 of 15 Presentation: Marcie Diamond, Assistant Director of Planning, made a presentation to the Council. Craig Overcash, Martin Johnson and Laura Binkley, representing the applicant, addressed the Council. Larry Hulsey, consultant to the City, addressed questions from the Council. Public Hearing: Mayor Stover opened the Public Hearing and asked for those persons who signed up to speak. A. Jack Clark, 718 Beal Lane, spoke in favor of the landscape screening and complimented Chesapeake’s business practices. Action: Councilmember Brancheau moved to close the Public Hearing and approve an application by Chesapeake Energy to allow drilling and production from a horizontal well on property located north of Bethel Road, west of the proposed extension of Creekview Drive, on the Fellowship Church Property, subject to the following conditions: 1) Production Phase Site Plan being revised to include site plan (location) and elevations (heights, colors, etc.) of all equipment/facilities. 2) Construction Site Notice will be required to be submitted to the city, and be posted on the property prior to issuance of a tree removal permit or a grading permit for this property. 3) Revise pipeline route to not be within the R.O.W. for Bethel Road or Creekview Drive (90 degree crossings would be permitted). 4) Rectify the inconsistencies with location of the well pad site in the grading and erosion control plan and other drawings submitted. 5) Tree removal permit is required prior to the removal of any trees. A fee in the amount of $149,900 will be due to the City cm031108 Page 11 of 15 of Coppell Reforestation and Natural Areas fund at the time the tree removal permit is pulled. However, if the trees can be planted and preserved as originally envisioned, then the fees would be reduced to $82,750 and the city would be assured a visually appealing landscape buffer around this use. 6) Submit a bond in the amount of $10,000 to assure the installation, long term maintenance, and replacement of the required 33 Evergreen trees (Austrian Pines or Red Cedar trees, a minimum of eight feet in height when planted) as required along the perimeter of the well pad site. Councilmember Peters seconded the motion; the motion carried 5-0 with Mayor Pro Tem Hinojosa-Flores and Councilmembers Brancheau, Peters, Faught and York voting in favor of the motion. 15. Consider approval of Bid Number Q-1207-02, and resulting contract, from Meridian Commercial, L.P., in the amount of $4,506,000.00, for construction of the Coppell Community/Senior Center, and authorizing the City Manager to sign. Presentation: Brad Reid, Director of Parks and Recreation, made a presentation to the Council. Jeff Bulla, architect, addressed the Council. Tom Garding, 927 Moonlight Cove, spoke on behalf of the Seniors and expressed their gratitude. Action: Councilmember Peters moved to approve Bid Number Q-1207-02, and resulting contract, from Meridian Commercial, L.P., in the amount of $4,506,000.00, for construction of the Coppell Community/Senior Center, and authorizing the City Manager to sign. Councilmember York seconded the motion; the motion carried 5-0 with Mayor Pro Tem Hinojosa-Flores and Councilmembers Brancheau, Peters, Faught and York voting in favor of the motion. cm031108 Page 12 of 15 16. Consider approval of Change Order No. One to Meridian Commercial, L.P., to reduce the contract for construction of the Coppell Community/Senior Center by $391,801.00, bringing the total contract to $4,114,199.00. Presentation: Brad Reid, Director of Parks and Recreation, made a presentation to the Council. Action: Councilmember Faught moved to approve Change Order No. One to Meridian Commercial, L.P., to reduce the contract for construction of the Coppell Community/Senior Center by $391,801.00, bringing the total contract to $4,114,199.00. Mayor Pro Tem Hinojosa-Flores seconded the motion; the motion carried 5-0 with Mayor Pro Tem Hinojosa-Flores and Councilmembers Brancheau, Peters, Faught and York voting in favor of the motion. 17. Consider approval of a Change Order to close Bethel Road from Freeport Parkway east to the east property line of the Hard Eight Restaurant and Bethel Road from Freeport Parkway west approximately 1,800 feet for specific reconstruction activities; providing for liquidated damages and an early completion incentive; and authorizing the City Manager to sign. Presentation: Ken Griffin, Director of Engineering and Public Works, made a presentation to the Council. Action: Councilmember York moved to approve a Change Order to close Bethel Road from Freeport Parkway east to the east property line of the Hard Eight Restaurant and Bethel Road from Freeport Parkway west approximately 1,800 feet for specific reconstruction activities; providing for liquidated damages and an early completion incentive; and authorizing the City Manager to sign. cm031108 Page 13 of 15 Councilmember Peters seconded the motion; the motion carried 5-0 with Mayor Pro Tem Hinojosa-Flores and Councilmembers Brancheau, Peters, Faught and York voting in favor of the motion. 18. Consider approval of a contract between the city of Coppell and Stewart Enterprises to build a funeral home at Rolling Oaks Cemetery, and authorizing the Mayor to sign. Presentation: Jim Witt, City Manager, made a presentation to the Council. Action: Councilmember Peters moved to approve a contract between the city of Coppell and Stewart Enterprises to build a funeral home at Rolling Oaks Cemetery, and authorizing the Mayor to sign. Mayor Pro Tem Hinojosa-Flores seconded the motion; the motion carried 5-0 with Mayor Pro Tem Hinojosa-Flores and Councilmembers Brancheau, Peters, Faught and York voting in favor of the motion. 19. Mayor and Council Reports. A. Report by Mayor Stover regarding Metroplex Mayors Meeting. B. Report by Mayor Stover regarding Community Egg Hunt, Saturday, March 22, 11:00 a.m. at Wagon Wheel Park. C. Report by Mayor Stover regarding New Tech High registration. A. Mayor Stover reported on his attendance at the Metroplex Mayor’s Meeting. Speaker Dan Petty gave updates on NTC and air quality and transportation concerns. B. Mayor Stover announced the Community Egg Hunt Saturday, March 22 at Wagon Wheel Park. The event starts promptly at 11:00 a.m. C. Mayor Stover spoke of the New Tech High School. The district received 344 student applications by the deadline, and 40 additional applications following the deadline. Mayor Stover and Mayor Pro Tem Hinojosa-Flores drew 145 names from a lottery system. Mayor Stover commended everyone who worked on the project. cm031108 Page 14 of 15 20. Necessary action resulting from Work Session. There was no action necessary under this item. 21. Necessary action resulting from Executive Session. Councilmember York moved to approve Resolution No. 2008- 0311.1 providing for and consenting to the exercise of eminent domain as authorized by the city council of the city of Coppell, Texas; providing for the acquisition by eminent domain of property commonly referred to as 461 Bethel Road within the municipal boundaries of the city of Coppell, Dallas County, Texas; declaring a public necessity exists and finding a public use and purpose for the welfare and convenience of the citizens, requires the taking and acquiring of property for the expansion of roadway, that certain tract which will be burdened with the roadway expansion is situated in the James A. Simmons Survey, Abstract No. 1296, tract 16, located on the south line of Bethel Road, approximately 300 feet west of Coppell Road, and containing a total of 0.55 (+/-) acres of land; providing for an offer to purchase the utility easement for just compensation and if such offer is refused, authorizing counsel to institute necessary proceedings in condemnation to acquire the property for utility purposes; and authorizing the Mayor to sign. Councilmember Brancheau seconded the motion; the motion carried 5-0 with Mayor Pro Tem Hinojosa-Flores and Councilmembers Brancheau, Peters, Faught 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 cm031108 Page 15 of 15 WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: ȱ Engineering October 14, 2008 11/C ✔ CONTRACT/BID or PROPOSAL Consider approval of awarding Buy Board Quote #23-399 to Gomez Floor Covering, Inc. in the amount of $155,281.21 as provided for in the Infrastructure Maintenance Fund (IMF); and authorizing the City Manager to sign and execute any necessary documents. The Buy Board quote to Gomez Floor Covering, Inc. in the amount of $155,281.21 is to provide an epoxy/urethane flooring system upgrade to the bay floors at Fire Stations 1, 2, & 3, as well as the Fleet Services bay for a total of 14,600 square feet of concrete surface. The product recommended to and selected by the City of Coppell is a Duraflex coating system. This system is chemical resistant, heavy duty flooring designed to provide years of protection against the heavy truck traffic and maintenance activities performed in these bays, as well as provide slip resistant surface to employees. The specifications were prepared by Duraflex Manufacturer and require a certified Duraflex applicator to perform this improvement which is included in the pricing. Funds are available in the Infrastructure Maintenance Fund for this project. Staff recommends approval and will be available to answer any questions. #FS Bay Floors MEMORANDUM DATE: October 2, 2008 TO: Sheri Moino, Facilities Manager FROM: Eric Greaser, Deputy Chief of Support Services RE: Duraflex Application for Fire Station Bay Floors Sheri, thanks for all of your efforts pursuing a floor application that will meet our needs well into the future. Although the contracted pricing has presented well above the budgeted funding slated for this project, the fire department recognizes the product to be a superior choice for several key reasons. First and foremost is the fact that this product is tested and proven in fire service apparatus bays throughout North America. The product is designed specifically for the intended application. The finish has been engineered to be stain resistant and able to withstand the extreme environments of oil, grease, and gasoline. The existing product that was installed at Station #1, although a durable application, was not able to provide the stain resistance that was expected. The other major concern was the inconsistency in the slip resistant texture that was applied. The product that we are seeking with this contract has proven applications that address all of our concerns with a warranty to support their claims. In short, we hope to obtain a quality product that is stain resistant and can provide the safety of an evenly applied slip resistant surface. The other factor that will be important in this application is the down time of our facilities during the process. It is my understanding that a faster curing hardener with this product will speed the amount of time that service is reduced at the facility. Thanks again for your help and please contact me for further review of the project. cc: Kevin Richardson, Fire Chief U:\Pcrocker\CCAGENDA\2008\19 Oct 14th\#FS Bay Floors - 2 Specs.doc SECTION 09705 CHEMICAL RESISTANT RESINOUS FLOORING PART 1 GENERAL 1.01 SECTION INCLUDES A. Provide labor and materials for a seamless, heavy duty, abrasion and chemical resistant, epoxy/urethane flooring system, including surface preparation, primers, and finish coats. 1.02 RELATED SECTIONS A. Concrete - Division 3 B. Thermal & Moisture Protection - Division 7 1.03 ACCEPTABLE MANUFACTURERS AND INSTALLERS A. DUR-A-FLEX INC 1-800-253-3539 B. Manufacturer approved Installer, who has technical qualifications, currently approved in writing, and facilities to install specified systems. 1.04 DELIVERY, STORAGE AND HANDLING A. Deliver material to job site in clean, clearly labeled containers and inspect prior to start of job. B. Store material in a dry, enclosed area protected from the elements. Keep temperature of storage area between 60o and 90o F. 1.05 ENVIRONMENTAL REQUIREMENTS A. Cure new concrete no less than 14 days under good conditions. B. Verify that substrate is properly equipped with vapor barriers and perimeter drains. C. Verify supply of adequate utilities, including electric, water, heat (between 60o and 90o F.) and lighting of no less than 80 ft candles measured at floor surface. D. Free work area of other trades during, and for a period of 24 hours, after floor installation. E. Protect finished floor from damage by subsequent trades. 1.06 WARRANTY A. Submit a one year warranty against defects in material and workmanship upon substantial completion of installation. PART 2 PRODUCTS 2.01 PRODUCT DESCRIPTION A. POLY-CRETE SLB with DURA-GLAZE SHOP-FLOOR and ARMOR TOP Multiple Component, Seamless, Heavy Duty, Chemical Resistant, Urethane /Epoxy Floor System as manufactured by DUR-A-FLEX INC. 1-800-253-3539. U:\Pcrocker\CCAGENDA\2008\19 Oct 14th\#FS Bay Floors - 2 Specs.doc 2.02 PHYSICAL PROPERTIES Physical Property Test Method Result Hardness (Shore D) ASTM D-2240 75-80 Compressive Strength ASTM D-695 17,500 psi ASTM C-579 12,500 psi Tensile Strength ASTM D-638 4,000 psi ASTM C-307 2,600 psi Tensile Elongation ASTM D-638 7.50% Flexural Strength ASTM D-790 6,250 psi ASTM C-580 4,500 psi Flexural Modulus of Elasticity ASTM D-790 6.2 × 105 Linear Shrinkage ASTM D-2566 0.02% Coefficient of Linear Expansion ASTM D-696 2 × 10-5 Bond Strength to Concrete ASTM D-4541 400 psi substrate fails Indentation ML D-3134 .025 MAX Impact Resistance ML D-3134 Pass Water Absorption ASTM D-570 0.04% Heat Resistance Limitation 140°F - 200°F Flammability ASTM D-570 Self Extinguishing Flame Spread/NFPA 101 ASTM E-84 Class A Abrasion Resistance ASTM C-501 CS17 Wheel 1000 GM Load 1000 Cycles 10 mg loss Coefficient of Friction ASTM D-2047 Standard Slip-Resistant 0.9 Orange Peel 0.8 2.03 PRODUCT MIXING A. Mix on site with manufacturer supplied mix and measure apparatus to ensure a timely, accurate mix ratio and minimize waste. PART 3 EXECUTION 3.01 PREPARATION A. Create a surface profile with a steel shot blast machine and dust-free diamond grinders for edges. B. Verify that surface is dry and perfectly clean, free of all oil, grease, detergent film , etc. 3.02 INSTALLATION A. Adhere strictly to manufacturer's current written instructions. B. Apply POLY-CRETE SLB by ½ v notched squeegee at nominal 1/8” allow to cure. C. Broadcast non skid aggregate to excess, and allow to cure. D. Sweep up excess aggregate. E Apply 15 mil topcoat of pigmented DUR-A-GLAZE SHOP FLOOR and allow to cure. F. Apply 2-3 mil performance topcoat of Armor Top with a quality non-shed roller, and allow to cure 3.03 DETAILS A. Thoroughly route and vacuum moving cracks and joints, then fill with POLY-CRETE SL. B. Pre-patch non-moving surface deviations with POLY-CRETE SL or POL-CRETE WR and POLY- CRETE TF primer C. "Key in" all drains, edges and transition points according to manufacturers instructions. . END OF SECTION 9/29/2008 Contact : Phone #: Fax #: Project: CATALOG PRICING Quantity Unit Item Description Price Per Total YD 4.30$ -$ YD 2.00$ -$ YD 2.50$ -$ YD 0.50$ -$ 1624 YDS 10.00$ 16,240.00$ YDS 36.00$ -$ YDS 5.40$ -$ 45 KITS 79.10$ 3,559.50$ 27 UNITS 1,235.53$ 33,359.31$ 260 1.5 GAL 127.39$ 33,121.40$ 390 GAL 165.16$ 64,412.40$ 40 BGS 33.09$ 1,323.60$ Total 152,016.21$ P&P Bond Cost 3,265.00$ Fire station #1 3,610 sqft Fire station #2 3,480 sqft Fire station #3 3,480 sqft Fleet Services 4,030 sqft TOTAL SIZE 14,600 sqft Remove existing coatings in Facilities Garage and Fire staions, Prepare concrete, provide and install Dur-A-Flex Dur-A-Crete SL with Armor Top top coat as per specs, square footage of 14,600 sqft. Install 4" line striping and lettering to Facilities garage to match existing x. 3) Replacement of Floor Covering Damaged by Others, 4) Substrate affected by Moisture, 5) Bonding, 6) Major Floor Prep, 7) Leveling of Floors, 8) Waxing, Mopping & Cleaning, 9) Generator Rental (3 phase 480/240 power must be available) EXCLUSIONS PHONE: 214-905-1901 1162 SECURITY DR. DALLAS, TEXAS 75247 FAX: 214-905-1904 972-462-5152 VENDOR CONTRACT# 465 QUOTE #:23-399 CONTRACT # 241-06 Fire Stations and Fleet Services Epoxy Floor CUSTOMER: CITY OF COPPELL Sheri Moino INSTALL VINYL TILE 96 OZ JOINT SEALANT/ DEEP TAN 15 GALLON EPOXY FLOOR PRIMER 1) Overtime Labor, 2) Protection of Finished Floor Coverings, INSTALL CERAMIC TILE 50 LB QUARTZ SAND DESERT STORM CHEMICAL RESISTANT URETHANE- ARMOR- TOP TOPCOAT FURNITURE MOVING REMOVAL OF TRASH FLOOR PREP INSTALL CARPET DEMO CARPET DUR-A-FLEX FUR-A-CRETE SL- WESTCOAT EPOXY BUY BOARD DISCOUNTED ITEMS BELOW WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: ȱ Engineering October 14, 2008 11/D ✔ CONTRACT/BID or PROPOSAL Consider approval of awarding Bid/Contract #Q-0908-03 Water Meters for the purchase of water meters in the following manner: Series #100 to Municipal Water Works, L.P., Series #300 to ACT Pipe Supply, Series #400 to Mainline Supply Company, and Series #500 to Metron Farnier for a combined estimated total of $185,739 as budgeted; and authorizing the City Manager to sign and execute any necessary documents. Award of Bid/Contract #Q-0808-03 to the selected vendors will provide the sources needed for yearly replacement of water meters and for new commercial meters as needed. Funds are budgeted in the Utility Operations budget, Water Meters, for this contract. Staff recommends award of the bid to the selected vendors. #Water Meter Bid MEMORANDUM Date: September 4, 2008 To: Ken Griffin, P.E., Director of Public Works From: Glenn D. Hollowell, P.E., Assistant Director of Public Works RE: Water Meter Bids Ken: On September 2, 2008, we opened bids for our annual water meter contract. We had five bidders who submitted quotes for various items in the bid. I have reviewed the bids and consulted with Jerod Anderson and Chad Beach on the award of the bid. We have disqualified B2O Inc. based upon past performance and contract problems including double billing, incomplete order filling and later deliveries. I recommend that all of the #0100 series meters be awarded to Municipal Water Works, L.P. of Royse City for the estimated amount of $28,676.00, the #0300 series meters be awarded to ACT Pipe Supply of Dallas for the estimated amount of $15,388.00, the #0400 series meters be awarded to Mainline Supply Company of Dallas for the estimated amount of $30,525.00 and the #0500 series meters be awarded to Metron Farnier of Boulder Colorado for the estimated of $111,150.00. Metron Farnier was the only bidder to meet the performance specifications for the #0500 series meters. A bid tabulation is provided. If you have any questions or concerns regarding this matter, do not hesitate to contact me. Bid #Q-0808-03 Water MetersItem # Item P C Qty Unit Prod Code Price Total Notes P C Price Total Notes P C Price Total Notes Prod Code Price Total Notes Prod Code Price Total NotesQ-0808-03-1-01 #0100 5/8" x 3/4" 500 each PM-02 ECONO II W/ETR-EN 66.64 33320 PERFORMANCE METER 30 15000 0 0 PM-02XPP 60.81 30405Performance Econo II w/ETR Encoder SwitchV0G02821 68.4 34200Q-0808-03-1-02 #0100- 1" 20 each PM-07 ECONO II W/ETR-EN 114.03 2280.6 PERFORMANCE METER 89 1780 0 0 PM-07 XPP 95.56 1911.2 ditto V0K02721 115.75 2315Q-0808-03-1-03 #0100- 1 1/2" 20 each PM-09 ECONO II W/ETR-EN 239.09 4781.8 PERFORMANCE METER 186.9 3738 0 0 PM-09F XPP 211.74 4234.8 ditto W0N02911 231.5 4630Q-0808-03-1-04 #0100- 2" 25 each PM-12 ECONO II W/ETR-EN 378.62 9465.5 PERFORMANCE METER 326.32 8158 0 0 PM-12F XPP 340.95 8523.75 ditto W0P02911 315.75 7893.75Q-0808-03-1-05 #0300- 3" 1 each PMCB W/PMSB W/ETR-EN 1969 1969 PERFORMANCE METER 0 0 0 0PCM-03 2287.52 2287.52Performance Bronze Compound w/Bronze Strainer Attached & ETR Encoder Switches Bolts/Gaskets furnishedZ0R02011 2315 2315Q-0808-03-1-06 #0300- 4" 1 each PMCB W/PMSB W/ETR-EN 2983 2983 PERFORMANCE METER 0 0 0 0 PCM-4B XPP 2914.66 2914.66 ditto Z0S02011 3157.8 3157.8Q-0808-03-1-07 #0300- 6" 1 each PMCB W/PMSB W/ETR-EN 4823 4823 PERFORMANCE METER 0 0 0 0 PCM-6B XPP 2516.81 2516.81 ditto Z0T02011 5775.75 5775.75Q-0808-03-1-08 #0300- 8" 1 each PMCB W/PMSB W/ETR-EN 5613 5613DOES NOT MEET ALL BRONZE SPEC. The Turbine Strainer and bypass will be bronze but the unit will have a steel epoxy coated spacer to make up laying length.0 0 0 0 PCM-8B XPP 3651.5 3651.5 dittoQ-0808-03-1-09 #0400- 4" 1 each N/A 0 0 0 0 0 0 PFS 4 x 2 x 3/4 XPP 7995 7995Performance Fire Service Compound; UL approvedPQSP2031 3789.4 3789.4Q-0808-03-1-10 #0400- 6" 2 each N/A 0 0 0 0 0 0 PFS 6 x 2 x 3/4 XPP 11975 23950 ditto PQTR2031 5578.8 11157.6Q-0808-03-1-11 #0400- 8" 2 each N/A 0 0 0 0 0 0 PFS 8 X 4 X 1XPP 13725 27450 ditto PQUS2021 7789.4 15578.8Q-0808-03-1-12 #0500- 5/8" x 3/4" 500 each N/A 0 0 79.25 39625 140 70000PMF-03 XPP 168.95 84475Performance Residential Fire Service Meter; 3/4 SL W/ETR Encoder Switch no valves will be furnished with meterQ-0808-03-1-13 #0500- 1" 20 each N/A 0 0 117.1 2342 380 7600 PMF-07XPP 228.9 4578 dittoQ-0808-03-1-14 #0500- 1 1/2" 20 each N/A 0 0 551 11020 675 13500 PMF-09F XPP 315.2 6304ditto; furnished w/Bolts & GasketsQ-0808-03-1-15 #0500- 2" 25 each N/A 0 0 859.11 21477.75 975 24375 PMF-12 F XPP 419.75 10493.75 dittoQ-0808-03-1-16 #0500- 3" 1 each N/A 0 0 1344 1344 1595 1595PMT-03 XPP W/STR 814.61 814.61Performance Turbine Meter w/Strainer Epoxy Coated Cast Iron w/ETR Encoder Switch; NOT UL approved (Fire Service Strainer not available on 3" Meters);Regular Strainer OS&Y Gate Valves if required add $1675.00 (2 Valves)Q-0808-03-1-17 #0500- 4" 1 each N/A 0 0 1729.1 1729.12 2695 2695PMT-04 XPP W/STR 1039.15 1039.15ditto;Regular strainer; OS&Y Gate Valves if required add $1859.00 (2 Valves)Q-0808-03-1-18 #0500- 6" 1 each N/A 0 0 3159 3159.01 3400 3400 PMT-06 XPP W/STR 1736.77 1736.77ditto; add $2407.00 for OS&Y Gate Valves if requiredQ-0808-03-1-19 #0500-6"* 2 each N/A 0 0 0 0 4185 8370 PFS 6 x 2 x 3/4 XPP 11975 23950 same spec as #0400Q-0808-03-1-20 #0500- 8"* 2 each N/A 0 0 0 0 4995 9990 PFS 8 x 4 x 1 XPP 13725 27450 same spec as #0400MAINLINE SUPPLY COMPANYACT Pipe Supply MUNICIPAL WATER WORKS Metron-Farnier b2oBid Q-0808-03 Water Meters WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: PLANNING October 14, 2008 11/E ✔ ORDINANCE Consider approval of an Ordinance for Case No. PD–234-H, Lot 1, Block A, Wilson-Kirkland-Minyard Addition, zoning change from H (Historic) to PD-234-H (Planned Development-234-Historic) to allow the relocation of a 1,100-square-foot house and a 600-square-foot replica of the Minyard’s drug store on 0.27 acres of property located at the southeast corner of W. Bethel Road and S. Coppell Road and authorizing the Mayor to sign. On August 21, 2008, the Planning Commission unanimously recommended approval of this zoning change (6-0). Commissioners Frnka, Shute, Haas, Sangerhausen, Shipley and Kittrell voted in favor, none opposed. On September 9, 2008 Council unanimously approved this zoning change (6-0). Staff recommended APPROVAL. @PD-234-H, WKMA ORD, 1-AR (con) 1 TM 31182.2.000 AN ORDINANCE OF THE CITY OF COPPELL, TEXAS ORDINANCE NO. ________ AN ORDINANCE OF THE CITY OF COPPELL, TEXAS, AMENDING THE COMPREHENSIVE ZONING ORDINANCE AND MAP OF THE CITY OF COPPELL, TEXAS, AS HERETOFORE AMENDED, BY GRANTING A CHANGE IN ZONING FROM H (HISTORIC) TO PD-234- H (PLANNED DEVELOPMENT-234-HISTORIC) TO ALLOW THE RELOCATION OF THE 1,100-SQUARE- FOOT HISTORICAL BUILDING, TO WIT, KIRKAND HOUSE AND A 600-SQUARE-FOOT REPLICA OF THE MINYARD’S GROCERY STORE ON PROPERTY LOCATED AT THE SOUTHEAST CORNER OF W. BETHEL ROAD AND S. COPPELL ROAD AND BEING MORE PARTICULARLY DESCRIBED IN EXHIBIT “A” ATTACHED HERETO AND INCORPORATED HEREIN; PROVIDING FOR THE APPROVAL OF THE SITE/LANDSCAPING PLAN AND ELEVATIONS, ATTACHED HERETO AS EXHIBITS “B” AND “C”; PROVIDING FOR DEVELOPMENT REGULATIONS; PROVIDING A REPEALING CLAUSE; PROVIDING A SEVERABILITY CLAUSE; PROVIDING A SAVINGS CLAUSE; PROVIDING A PENALTY OF FINE NOT TO EXCEED THE SUM OF TWO THOUSAND DOLLARS ($2,000.00) FOR EACH OFFENSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Planning and Zoning Commission and the governing body of the City of Coppell, Texas, in compliance with the laws of the State of Texas and pursuant to the Comprehensive Zoning Ordinance of the City of Coppell, have given requisite notices by publication and otherwise, and after holding due hearings and affording a full and fair hearing to all property owners generally, and to all persons interested and situated in the affected area and in the vicinity thereof, the said governing body is of the opinion that Zoning Application No. PD-234-H should be approved, and in the exercise of legislative discretion have concluded that the Comprehensive Zoning Ordinance and Map should be amended. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS: 2 TM 31182.2.000 SECTION 1. That the Comprehensive Zoning Ordinance and Map of the City of Coppell, Texas, duly passed by the governing body of the City of Coppell, Texas, as heretofore amended, be and the same is hereby amended by granting a change in zoning from H (Historic) to PD-234-H (Planned Development-234-Historic) to allow the relocation of the 1,100-square-foot Kirkland House and a 600-square-foot replica of the Minyard’s grocery store on property located at the southeast corner of W. Bethel Road and S. Coppell Road and as described in Exhibit “A” attached hereto and made a part hereof for all purposes. SECTION 2. That the Planned Development for office and museum uses is hereby approved subject to the following development regulations: A. Front yard setback of the Kirkland House exceeds 25 feet (measured from back of proposed curb). B. Ten-foot perimeter landscaping area is not being completely provided on the south property line and will be provided elsewhere on site. C. Kirkland House shall be renovated and maintained to its historical elements. D. That the Minyard’s building shall be maintained in its current elevations, façade and use as a museum; no sale of merchandise or retail use shall be permitted. SECTION 3. That the property shall be developed and used in accordance with the H (Historic) development standards under the Coppell Zoning Ordinance, except as 3 TM 31182.2.000 amended in the development regulations set forth in Section 2, as indicated on the Site/Landscaping Plan and Elevations, attached hereto as Exhibits “B” and “C”; and made a part hereof for all purposes, are hereby approved. SECTION 4. That the above property shall be used for office and museum uses and for the purpose provided for by the Comprehensive Zoning Ordinance of the City of Coppell, as heretofore amended, and as amended herein. SECTION 5. That the development of the property herein shall be in accordance with building regulations, zoning ordinances, and any applicable ordinances except as may be specifically altered or amended herein. SECTION 6. 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 not in conflict with the provisions of this ordinance shall remain in full force and effect. SECTION 7. That 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 unconstitutional, illegal or invalid, and shall not affect the validity of the Comprehensive Zoning Ordinance as a whole. SECTION 8. An offense committed before the effective date of this ordinance is governed by prior law and the provisions of the Comprehensive Zoning Ordinance, as amended, in effect when the offense was committed and the former law is continued in effect for this purpose. 4 TM 31182.2.000 SECTION 9. That any person, firm or corporation violating any of the provisions or terms of this ordinance shall be subject to the same penalty as provided for in the Comprehensive Zoning Ordinance of the City of Coppell, as heretofore amended, and upon conviction shall be punished by a fine not to exceed the sum of Two Thousand Dollars ($2,000.00) for each offense; and each and every day such violation shall continue shall be deemed to constitute a separate offense. SECTION 10. That this ordinance shall take effect immediately from and after its passage and the publication of its caption, 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 ___________________, 2008. APPROVED: _____________________________________ DOUGLAS N. STOVER, MAYOR ATTEST: _____________________________________ LIBBY BALL, CITY SECRETARY APPROVED AS TO FORM: _________________________________ ROBERT E. HAGER, CITY ATTORNEY (REH/cdb) [reviewed & revised only 09/18/08] SHEET 2 OF 21 A001 COPPELL, TEXASSITE PLAN / LANDSCAPEPLANWILSON-KIRKLAND-MINYARDADDITION WILLIAM PECK &A S S O C I A T E S I N C.A R C H I T E C T S Lewisville, Tx (972) 221-1424Sheet Number: Date: Scale: Drawn: Job: REVISIONS DATEThese plans are intended to provide the basic construction information necessary tosubstantially complete this structure. These construction documents must be verified andchecked by the builder or person in authority of this project. Any discrepancy, error, and/ oromissions, if any, are to be brought to the attention of the Designer prior to any constructionor purchases being made. It is recommended that the owner or builder obtain completeengineering services for: foundation, HVAC, and structural, prior to construction of any kind.NOTE: All Federal, state, and Local codes, ordinances, and restrictions take precedenceover any part of these construction documents which may conflict with same, and must bestrictly obeyed and followed before and during construction.THESE CONSTRUCTION DOCUMENTS AND THERE USE, ARE THE PROPERTY OFWILLIAM PECK & ASSOCIATES, INC. AND ARE NOT TO BE TRACED, REUSED ORREPRODUCED IN ANY WAY, BY ANY MEANS, WITHOUT THE EXPRESSED WRITTENPERMISSION OF WILLIAM PECK & ASSOCIATES, INC.. ALL RIGHTS RESERVED08-27-08 08-12-08 B.R.G. SITE PLAN / LANDSCAPE PLAN WILSON - KIRKLAND - MINYARD RELOCATION SITE APPLICANT : MINDI HURLEY ,ECONOMIC DEVELOPMENT CITY OF COPPELL 255 PARKWAY BLVD. COPPELL, TEXAS 75019 PHONE: 972-304-3677 FAX: 972-304-3673 ARCHITECT : BILL PECK WILLIAM PECK & ASSOCIATES INC. 105. W. MAIN ST. LEWISVILLE ,TX 75057 PHONE: 972-221-1424 FAX- 972-221-0388 N 13'-10"39'-11 3/4"17'-5 1/2"9'-0"18'-0"24'-0"18'-0"33'-4"16'-11 3/4"30'-0"8'-0"3'-0"169 sq ft R=635.00' L=28.82' DELTA=02°36'00" CB=N86°41'51"W CH=28.81' EXIST. F.H. WALKWAYS TO BE LIGHTED INCONSPICUOUSLY WALKWAYS TO BE DECOMPOSED GRANITE WALKWAYS TO BE DECOMPOSED GRANITE N 87°22'59"W 187.42' N 88°01'51" W 86.00'S01°31'01"W138.00'N 88°01'51"W 73.24'S00°27'20"W219.20'N01°31'01"E217.46'182.87'130.44'58.37'25.01' 61.00'12.24'S46°44'35"W 35.22'LOT 2 0.566ACRES LOT 1 0.265 ACRES BETHEL ROAD MINYARD'S PROPOSED LOCATION 600 SQ. FT. FUTURE SITE FOR RESTROOMS 169 SQ. FT. EXISTING WINDMILL APPROX. LOCATION PARKING KIRKLAND HOUSE PROPOSED LOCATION 1,150 SQ.FT. VAN ACCESSIBLE LEVEL W/ PAVEMENT S. COPPELL ROADLE LE VTX BO LO LE RO RO RORO RO BO BO LE ROW DEDICATION PD-108R6-HPD-108R8-H 195.32'23.88'N 85°25'51"E 56.81' S 87°53'22"E 183.34' APPROX. LOCATION OF EXISTING STRUCTURE APPROX. LOCATION OF EXISTING STRUCTURE APPROX. LOCATION OF EXISTING STRUCTURE RAMP 1:12 SLOPE EXISTING TREE TO REMAIN RAMP 1:12 SLOPE LANDING WALKWAYS TO BE LIGHTED INCONSPICUOUSLY CV CV SITE DATA TABLE EXISTING ZONING : HISTORIC PROPOSED ZONING : PLANNED DEVELOPMENT 234-HISTORIC PROPOSED USE : OFFICE & MUSEUM KIRKLAND HOUSE : 1,150 SQ. FT. , 25' HIGH MINYARD STORE : 600 SQ. FT. , 17' HIGH REQUIRED PARKING : 1:300 FOR OFFICE; 5 FOR MUSEUM PROVIDED PARKING : 6 SPACES ( INCLUDING 1 HANDICAP) PROPOSED LOT COVERAGE : 14.7% FAR ; .147:1 MATERIALS LIST TYPEQTY.SIZE 2 5 3 2 1 2 14 20 LIVE OAKS BUR OAKS LACE BARK ELMS VITEX RED OAKS CHINESE VIBURNUM SPIRAEA ( ANTHONY WATERER) DWARF BURFORD HOLLIES 45 GAL. CONT. GROWN 45 GAL. CONT. GROWN 45 GAL. CONT. GROWN 45 GAL. CONT. GROWN 20 GAL. 25 GAL. 5 GAL. SPACED 3' O.C. 5 GAL. SPACED 3' O.C. LANDSCAPE AREA & TREE CALCULATIONS PERIMETER 3961 SQ.FT. REQUIRED 2924 SQ. FT. PROVIDED TREES 9 REQUIRED 9 PROVIDED ELSEWHERE W/N SITE ( NOT ALL LOACTED W/N PERIMETER) INTERIOR 300 SQ.FT. REQUIRED 300 SQ. FT. PROVIDED TREES 2 REQUIRED 2 PROVIDED NONVEHICULAR 1,495 SQ.FT. REQUIRED 3413 SQ. FT. PROVIDED TREES 1 REQUIRED 1 PROVIDED PD CONDITIONS 1.) FRONT YARD SETBACK EXCEEDS 25 FEET (MEASURED FROM BACK OF CURB) 2.)TEN-FOOT PERIMETER LANDSCAPING AREA IS NOT BEING COMPLETLY PROVIDED ON THE SOUTH PROPERTY LINE AND WILL BE PROVIDED ELSEWHERE LEGEND LACE BARK ELMS PROPOSED W/ BETHEL ROAD IMPROVMENTS PROPOSED OVERSTORY ON-SITE TREES FOUNDATION PLANTING ACCENT TREE EXISTING TREE TO BE REMOVED SCALE: 1' = 1'-0"4 SKETCH # 3 SCALE: 1" = 20'1 1st FLOOR SCALE: 1' = 1'-0"2 SITE PLAN FRONT SCALE: 1' = 1'-0"3 SITE PLAN CORNER A-101COPPELL, TEXASFLOOR PLAN & ELEVATIONSWILSON-KIRKLAND-MINYARDADDITION WILLIAM PECK &A S S O C I A T E S I N C.A R C H I T E C T S Lewisville, Tx (972) 221-1424Sheet Number: Date: Scale: Drawn: Job: REVISIONS DATEThese plans are intended to provide the basic construction information necessary tosubstantially complete this structure. These construction documents must be verified andchecked by the builder or person in authority of this project. Any discrepancy, error, and/ oromissions, if any, are to be brought to the attention of the Designer prior to any constructionor purchases being made. It is recommended that the owner or builder obtain completeengineering services for: foundation, HVAC, and structural, prior to construction of any kind.NOTE: All Federal, state, and Local codes, ordinances, and restrictions take precedenceover any part of these construction documents which may conflict with same, and must bestrictly obeyed and followed before and during construction.THESE CONSTRUCTION DOCUMENTS AND THERE USE, ARE THE PROPERTY OFWILLIAM PECK & ASSOCIATES, INC. AND ARE NOT TO BE TRACED, REUSED ORREPRODUCED IN ANY WAY, BY ANY MEANS, WITHOUT THE EXPRESSED WRITTENPERMISSION OF WILLIAM PECK & ASSOCIATES, INC.. ALL RIGHTS RESERVED08-27-08 08-12-08 W1026'-0"2'-0"W1006'-0"2'-0"W1016'-0"2'-4"D101W1106'-0"2'-4"D100W1096'-0" 2'-4"W1086'-0" 2'-4" W107 2'-4"6'-0"D109 D105 W1032'-4" 6'-0"W1062'-0" 6'-0"W1042'-0" 6'-0"W1052'-4" 6'-0" D103 D102 D106 D107D108 D104 EXISTING WOOD COLUMN TO BE PAINTED. COLOR TO BE DETERMINED UPON PAINT ANALYSIS NEW ARCHITECTURAL SHINGLES EXISTING HORIZONTAL SIDING TO BE PAINTED. COLOR TO BE DETERMINED UPON PAINT ANALYSIS EXISTING TRIM TO BE PAINTED.COLOR TO BE DETERMINED UPON PAINT ANALYSIS NEW FRONT PORCH TO BE CONSTRUCTED OF KILN DRIED TUNGUE AND GROVE AND PAINTED. COLOR TO BE DETERMINED UPON PAINT ANALYSIS NEW ARCHITECTURAL SHINGLES EXISTING SIDING TO BE PAINTED.COLOR TO BE DETERMINED UPON PAINT ANALYSIS NEW RAMP AND HAND RAIL TO BE CONSTRUCTED FROM TREX. NEW RAILING TO BE CONSTRUCTED OF WOOD AND PAINTED. COLOR TO BE DETERMINED UPON PAINT ANALYSIS EXISTING SIDING PAINTED. COLOR TO BE DETERMINED UPON PAINT ANALYSIS NEW PORCH TO BE CONSTRUCTED OF WOOD AND PAINTED. COLOR TO BE DETERMINED UPON PAINT ANALYSIS NEW ARCHITECTURAL SHINGLES NEW ARCHITECTURAL SHINGLES NEW ARCHITECUTURAL SHINGLES EXISTING SIDING TO BE PAINTED. COLOR TO BE DETERMINED UPON PAINT ANALYSIS SCALE: 1/4" = 1'-0"A 1st FLOOR PLAN 0 2' 4'8' SCALE: 3/16" = 1'-0"B Front SCALE: 3/16" = 1'-0"D RIGHT SCALE: 3/16" = 1'-0"E BACK SCALE: 3/16" = 1'-0"C LEFT NOT TO SCALEHFRONT RIGHT NOT TO SCALEGFRONT LEFT NOT TO SCALEFBACK LEFT NOT TO SCALEEBACK RIGHT A-201 COPPELL, TEXASNORTH & EASTELEVATIONS WILSON-KIRKLAND-MINYARDADDITION WILLIAM PECK &A S S O C I A T E S I N C.A R C H I T E C T S Lewisville, Tx (972) 221-1424Sheet Number: Date: Scale: Drawn: Job: REVISIONS DATEThese plans are intended to provide the basic construction information necessary tosubstantially complete this structure. These construction documents must be verified andchecked by the builder or person in authority of this project. Any discrepancy, error, and/ oromissions, if any, are to be brought to the attention of the Designer prior to any constructionor purchases being made. It is recommended that the owner or builder obtain completeengineering services for: foundation, HVAC, and structural, prior to construction of any kind.NOTE: All Federal, state, and Local codes, ordinances, and restrictions take precedenceover any part of these construction documents which may conflict with same, and must bestrictly obeyed and followed before and during construction.THESE CONSTRUCTION DOCUMENTS AND THERE USE, ARE THE PROPERTY OFWILLIAM PECK & ASSOCIATES, INC. AND ARE NOT TO BE TRACED, REUSED ORREPRODUCED IN ANY WAY, BY ANY MEANS, WITHOUT THE EXPRESSED WRITTENPERMISSION OF WILLIAM PECK & ASSOCIATES, INC.. ALL RIGHTS RESERVED08-27-08 08-12-08 B.R.G. EXISTING WHITE SIDING 1 2 3 4 SCALE: 3/8" = 1'-0"1 FRONT ELEVATION SCALE: 3/8" = 1'-0"2 RIGHT ELEVATION SCALE: 3/8" = 1'-0"3 BACK ELEVATION SCALE: 3/8" = 1'-0"4 LEFT ELEVATION SCALE: 3/16" = 1'-0"5 FLOOR PLAN SCALE: 1' = 1'-0"6 MINYARDS FL SCALE: 1' = 1'-0"7 MINYARDS FR SCALE: 1' = 1'-0"8 MINYARDS BL SCALE: 1' = 1'-0"9 MINYARDS BR WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: PLANNING October 14, 2008 11/F ✔ ORDINANCE Consider approval of an Ordinance for Case No. S-1247-SF-12, T-Mobile (First Assembly of God Church), zoning change from SF-12 (Single Family-12) to S-1247-SF-12 (Special Use Permit-1247-Single Family-12), to allow wireless communication antennas to be mounted inside a proposed 70-foot high bell tower and a 20’×20’ equipment cabinet at the base, located at 200 S. Heartz Road and authorizing the Mayor to sign. On August 21, 2008, the Planning Commission unanimously recommended approval of this zoning change (6-0). Commissioners Frnka, Shute, Haas, Sangerhausen, Shipley and Kittrell voted in favor, none opposed. On September 9, 2008 Council unanimously approved this zoning change (6-0). Staff recommended APPROVAL. @S-1247-SF-12, T-M ORD, 1-AR (con) 1 TM 31181.2.000 AN ORDINANCE OF THE CITY OF COPPELL, TEXAS ORDINANCE NO. ________ AN ORDINANCE OF THE CITY OF COPPELL, TEXAS, AMENDING THE COMPREHENSIVE ZONING ORDINANCE AND MAP OF THE CITY OF COPPELL, TEXAS, AS HERETOFORE AMENDED, BY GRANTING A CHANGE IN ZONING FROM SF-12 (SINGLE FAMILY-12) TO S-1247-SF-12 (SPECIAL USE PERMIT-1247-SINGLE FAMILY-12), TO ALLOW WIRELESS COMMUNICATION ANTENNAS TO BE MOUNTED INSIDE A 70-FOOT HIGH BELL TOWER AND A 20’×20’ EQUIPMENT CABINET CONSTRUCTED AT THE BASE, ON PROPERTY LOCATED AT 200 S. HEARTZ ROAD,, AND BEING MORE PARTICULARLY DESCRIBED IN EXHIBIT “A” ATTACHED HERETO AND INCORPORATED HEREIN; PROVIDING FOR THE APPROVAL OF THE OVERALL SITE PLAN, TOWER PLAN, TOWER ELEVATION, AND PHOTO SIMULATION OF PROPOSED TOWER, ATTACHED HERETO AS EXHIBITS “B”, “C”, “D” AND "E", RESPECTIVELY; PROVIDING FOR SPECIAL CONDITIONS; PROVIDING A REPEALING CLAUSE; PROVIDING A SEVERABILITY CLAUSE; PROVIDING A SAVINGS CLAUSE; PROVIDING A PENALTY OF FINE NOT TO EXCEED THE SUM OF TWO THOUSAND DOLLARS ($2,000.00) FOR EACH OFFENSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Planning and Zoning Commission and the governing body of the City of Coppell, Texas, in compliance with the laws of the State of Texas and pursuant to the Comprehensive Zoning Ordinance of the City of Coppell, have given requisite notices by publication and otherwise, and after holding due hearings and affording a full and fair hearing to all property owners generally, and to all persons interested and situated in the affected area and in the vicinity thereof, the said governing body is of the opinion that Zoning Application No. S-1247-SF-12 should be approved, and in the exercise of legislative discretion have concluded that the Comprehensive Zoning Ordinance and Map should be amended. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS: SECTION 1. That the Comprehensive Zoning Ordinance and Map of the City of Coppell, Texas, duly passed by the governing body of the City of Coppell, Texas, as heretofore amended, be and the same is hereby amended to grant a change in zoning from SF-12 (Single Family-12) to S-1247- SF-12 (Special Use Permit-1247-Single Family-12), to allow the location and maintenance of wireless communication antennas to be constructed within a 70-foot high bell tower and a 20’×20’ equipment cabinet constructed at the base, on property located at 200 S. Heartz Road and being 2 TM 31181.2.000 more particularly described in Exhibit “A” attached hereto and made a part hereof for all purposes, subject to special conditions. SECTION 2. That the Special Use Permit for wireless communication antennae is hereby approved, subject to the following special conditions: A) That the site shall be developed in accordance with the regulations and Exhibits “B” through “E”, respectively, incorporated in Section 3 of this ordinance. B) That the bell tower, antennas and equipment cabinet shall be maintained for structural integrity and exterior compatibility with the existing structure. C) That the bell element of the tower shall be a non functioning bell and shall not omit any audible elements. SECTION 3. That the Overall Site Plan, Enlarged Tower Plan, Tower Elevation, and Photo Simulation of Proposed Tower, attached hereto as Exhibits “B”, “C”, "D", and “E” respectively, and made a part hereof for all purposes, are hereby approved. SECTION 4. That the above property shall be used only in the manner and for the purpose provided for by the Comprehensive Zoning Ordinance of the City of Coppell, as heretofore amended, and as amended herein. SECTION 5. That the development of the property herein shall be in accordance with building regulations, zoning ordinances, and any applicable ordinances except as may be specifically altered or amended herein. SECTION 6. 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 not in conflict with the provisions of this ordinance shall remain in full force and effect. SECTION 7. That 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 3 TM 31181.2.000 be unconstitutional, illegal or invalid, and shall not affect the validity of the Comprehensive Zoning Ordinance as a whole. SECTION 8. An offense committed before the effective date of this ordinance is governed by prior law and the provisions of the Comprehensive Zoning Ordinance, as amended, in effect when the offense was committed and the former law is continued in effect for this purpose. SECTION 9. That any person, firm or corporation violating any of the provisions or terms of this ordinance shall be subject to the same penalty as provided for in the Comprehensive Zoning Ordinance of the City of Coppell, as heretofore amended, and upon conviction shall be punished by a fine not to exceed the sum of Two Thousand Dollars ($2,000.00) for each offense; and each and every day such violation shall continue shall be deemed to constitute a separate offense. SECTION 10. That this ordinance shall take effect immediately from and after its passage and the publication of its caption, 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 ___________________, 2008. APPROVED: _____________________________________ DOUGLAS N. STOVER, MAYOR ATTEST: _____________________________________ LIBBY BALL, CITY SECRETARY APPROVED AS TO FORM: _________________________________ ROBERT E. HAGER, CITY ATTORNEY (REH/cdb 9/22/089/18/08) 200SOUTHHEARTZROADCOPPELL,TEXAS75019CITYOFCOPPELL 200SOUTHHEARTZROADCOPPELL,TEXAS75019CITYOFCOPPELL 200SOUTHHEARTZROADCOPPELL,TEXAS75019CITYOFCOPPELL WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: Finance October 14, 2008 12 ✔ ORDINANCE Consider approval of an ordinance authorizing the issuance of City of Coppell, Texas combination tax and revenue Certificates of Obligation, SERIES 2008A, in the principal amount of $20,000,000.00 approving an official statement, authorizing the execution of a purchase agreement, making provisions for the security thereof, and ordaining other matters relating to the subject and authorizing the Mayor to sign. The Certificates of Obligation Bonds are being issued for the acquisition of the land know as North Lake, to be used in part for the water system improvements including storage facilities and pumping station and in part for the future municipal improvements, facilities and and purposes and for paying legal, fiscal and engineering fees in connection thereof. Staff recommends approval of the issuance of the Certificates of Obligation, Series A. $CO08A-1AR 1 ORDINANCE NO. 2008-____ ORDINANCE AUTHORIZING THE ISSUANCE OF CITY OF COPPELL, TEXAS COMBINATION TAX AND REVENUE CERTIFICATES OF OBLIGATION, SERIES 2008A, IN THE PRINCIPAL AMOUNT OF $20,000,000, APPROVING AN OFFICIAL STATEMENT, AUTHORIZING THE EXECUTION OF A PURCHASE AGREEMENT, 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, Series 2008A, (“Certificates of Obligation”) in the maximum amount of $20,000,000, for the acquisition of approximately 360 acres, together with the acquisition of approximately 115 acres from the proceeds of the City’s Combination Tax and Revenue Certificates of Obligation, Taxable Series 2008B, being a total of approximately 475 acres all out of a tract of land of approximately 940 acres known as North Lake property owned by Luminant, being located east of south Beltline, south of east Beltline, west of Valley Ranch Road being located in Irving and north of Hackberry Road, to be used in part for water system improvements including storage facilities and pumping station and in part for future municipal improvements, facilities and purposes, 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, together with the City of Coppell, Texas Combination Tax and Revenue Certificates of Obligation, Series 2008B, in the principal amount of $6,500,000, being authorized concurrently herewith; and WHEREAS, the City Council has heretofore, on the 12th day of August, 2008, 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 August 15, 2008, August 22, 2008, September 12, 2008 and September 19, 2008; 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: 2 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 $20,000,000, for the acquisition of approximately 360 acres, together with the acquisition of approximately 115 acres from the proceeds of the City’s Combination Tax and Revenue Certificates of Obligation, Taxable Series 2008B, being a total of approximately 475 acres all out of a tract of land of approximately 940 acres known as North Lake property owned by Luminant, being located east of south Beltline, south of east Beltline, west of Valley Ranch Road being located in Irving and north of Hackberry Road, to be used in part for water system improvements including storage facilities and pumping station and in part for future municipal improvements, facilities and purposes, 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 2008A", 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, 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 October 1, 2008, in the denomination and aggregate principal amount of $20,000,000, numbered R-1, payable in annual installments of principal to the initial registered owner thereof, to-wit: SOUTHWEST SECURITIES, 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. 3 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: FORM OF INITIAL CERTIFICATE OF OBLIGATION NO. R-1 $20,000,000 UNITED STATES OF AMERICA STATE OF TEXAS COUNTIES OF DALLAS AND DENTON CITY OF COPPELL, TEXAS COMBINATION TAX AND REVENUE CERTIFICATE OF OBLIGATION, SERIES 2008A 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 SOUTHWEST SECURITIES 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 TWENTY MILLION 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 2010 $1,055,000 2020 $1,050,000 2011 1,055,000 2021 1,050,000 2012 1,055,000 2022 1,050,000 2013 1,055,000 2023 1,050,000 2014 1,055,000 2024 1,050,000 2015 1,055,000 2025 1,050,000 2016 1,055,000 2026 1,050,000 2017 1,055,000 2027 1,050,000 2018 1,055,000 2028 1,050,000 2019 1,055,000 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: 4 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, _____% maturity 2017, _____% maturity 2027, _____% maturity 2018, _____% maturity 2028, _____% maturity 2019, _____% with said interest being payable on August 1, 2009, and semiannually on each February 1 and August 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 $20,000,000, for the acquisition of approximately 360 acres, together with the acquisition of approximately 115 acres from the proceeds of the City’s Combination Tax and Revenue Certificates of Obligation, Taxable Series 2008B, being a total of approximately 475 acres all out of a tract of land of approximately 940 acres known as North Lake property owned by Luminant, being located east of south Beltline, south of east Beltline, west of Valley Ranch Road being located in Irving and north of Hackberry Road, to be used in part for water system improvements including storage facilities and pumping station and in part for future municipal improvements, facilities and purposes, and for paying legal, fiscal, and engineering fees in connection with such projects. 5 ON FEBRUARY 1, 2018, 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. 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. 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. 6 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, 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 7 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 October 1, 2008. ____________________________ _________________________ 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 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 8 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 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 9 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 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, 10 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 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. 11 __________________________ 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 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 12 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 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 13 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 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. 14 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 2008A INTEREST RATE MATURITY DATE DATE OF ORIGINAL ISSUE CUSIP NO. October 1, 2008 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 October 1, 2008, 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 August 1, 2009, and semiannually on each February 1 and August 1 thereafter; except that if the date of authentication of this Certificate of Obligation is later than July 15, 2009, 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 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 15 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 October 1, 2008, authorized in accordance with the Constitution and laws of the State of Texas in the principal amount of $20,000,000, for the acquisition of approximately 360 acres, together with the acquisition of approximately 115 acres from the proceeds of the City’s Combination Tax and Revenue Certificates of Obligation, Taxable Series 2008B, being a total of approximately 475 acres all out of a tract of land of approximately 940 acres known as North Lake property owned by Luminant, being located east of south Beltline, south of east Beltline, west of Valley Ranch Road being located in Irving and north of Hackberry Road, to be used in part for water system improvements including storage facilities and pumping station and in part for future municipal improvements, facilities and purposes, and for paying legal, fiscal, and engineering fees in connection with such projects. ON FEBRUARY 1, 2018, 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. 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 16 written notice of redemption is mailed and if due provision for 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 rate, in any denomination or denominations in any integral multiple of $5,000 as requested in writing by the appropriate registered owner, 17 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) 18 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 U.S. Bank, National Association 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 Fund") is hereby created solely for the benefit of the Certificates of Obligation, 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 19 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). 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. 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 20 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 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. 21 (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 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 22 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: (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 23 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, 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. 24 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 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 2008, financial information and operating data with respect to the Issuer of the general type included in the final Official Statement authorized by Section 19 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; 25 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 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 26 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: "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 AND USE OF NET PREMIUM. (a) The Initial Certificate of Obligation is hereby sold and shall be delivered to SOUTHWEST SECURITIES (the "Underwriter") for cash for the price of $____________, being the par value thereof, plus a reoffering premium of $_________, less an Underwriter’s discount of $_________, plus accrued interest (accrued interest to be deposited into the Interest and Sinking Fund) to the date of delivery pursuant to the terms and provisions of a Purchase Agreement with the Underwriter. It is hereby officially found, determined, and declared that the Initial Certificate of Obligation has been sold pursuant to the terms and provisions of a Purchase Agreement in substantially the form attached hereto as Exhibit B, which the Mayor of the Issuer is hereby authorized and directed to execute and deliver and which the City Secretary of the issuer is hereby authorized and directed to attest. It is hereby officially found, determined, and declared that the terms of this sale are the most advantageous reasonably obtainable. The Initial Certificate of Obligation shall be registered in the name of SOUTHWEST SECURITIES. Section 19. APPROVAL OF OFFICIAL STATEMENT. The Issuer hereby approves the form and content of the Official Statement relating to the Certificates of Obligation and any addenda, supplement or amendment thereto, and approves the distribution of such Official Statement in the reoffering of the 27 Certificates of Obligation by the Underwriter in final form, with such changes therein or additions thereto as the officer executing the same may deem advisable, such determination to be conclusively evidenced by his execution thereof. The Preliminary Official Statement, dated October 6, 2008, is hereby approved and deemed final as of its date, as required by SEC Rule 15-2-12, and the distribution and use of the Preliminary Official Statement prior to the date hereof is hereby ratified and confirmed. Section 20. 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 bonds shall be so rebated and not considered as interest earnings for the purpose of this Section. Section 21. 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. ---------- EXHIBIT A DESCRIPTION OF ANNUAL FINANCIAL INFORMATION The following information is referred to in Section 17 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: 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. EXHIBIT B PURCHASE AGREEMENT THE PURCHASE AGREEMENT IS OMITTED AT THIS POINT AS IT APPEARS ELSEWHERE IN THE TRANSCRIPT. WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: Finance October 14, 2008 13 ✔ ORDINANCE Consider approval of an ordinance authorizing the issuance of City of Coppell, Texas combination tax and revenue Certificates of Obligation, Taxable SERIES 2008B, in the principal amount of $6,500,000.00 approving an official statement, authorizing the execution of a purchase agreement, making provisions for the security thereof, and ordaining other matters relating to the subject and authorizing the Mayor to sign. The Certificates of Obligation Bonds are being issued for the acquisition of the land know as North Lake, to be used in part for the water system improvements including storage facilities and pumping station and in part for the future municipal improvements, facilities and and purposes and for paying legal, fiscal and engineering fees in connection thereof. Staff recommends approval of the issuance of the Certificates of Obligation, Series B. $CO08B-1AR 1 ORDINANCE NO. 2008-____ ORDINANCE AUTHORIZING THE ISSUANCE OF CITY OF COPPELL, TEXAS COMBINATION TAX AND REVENUE CERTIFICATES OF OBLIGATION, TAXABLE SERIES 2008B, IN THE PRINCIPAL AMOUNT OF $6,500,000, APPROVING AN OFFICIAL STATEMENT AUTHORIZING THE EXECUTION OF A PURCHASE AGREEMENT, 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, Taxable Series 2008B, (“Certificates of Obligation”) in the maximum amount of $6,500,000, for the acquisition of approximately 115 acres, together with the acquisition of approximately 360 acres from the proceeds of the City’s Combination Tax and Revenue Certificates of Obligation, Series 2008A; being a total of approximately 475 acres all out of a tract of land of approximately 940 acres known as NorthLake property owned by Luminant, being located east of south Beltline, south of east Beltline, west of Valley Ranch Road being located in Irving and north of Hackberry Road, to be used in part for water system improvements including storage facilities and pumping station and in part for future municipal improvements, facilities and purposes, 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, together with the City of Coppell, Texas Combination Tax and Revenue Certificates of Obligation, Series 2008A, in the principal amount of $20,000,000, being authorized concurrently herewith; and WHEREAS, the City Council has heretofore, on the 12th day of August, 2008, 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 August 15, 2008, August 22, 2008, September 12, 2008 and September 19, 2008; and WHEREAS, the City Council by Resolution of September 23, 2008 approved, ratified and affirmed such published Notice of Intention to issue Certificates of Obligation; 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 2 to be issued and delivered, in the aggregate principal amount of $6,500,000, for the acquisition of approximately 115 acres, together with the acquisition of approximately 360 acres from the proceeds of the City’s Combination Tax and Revenue Certificates of Obligation, Series 2008A; being a total of approximately 475 acres all out of a tract of land of approximately 940 acres known as NorthLake property owned by Luminant, being located east of south Beltline, south of east Beltline, west of Valley Ranch Road being located in Irving and north of Hackberry Road, to be used in part for water system improvements including storage facilities and pumping station and in part for future municipal improvements, facilities and purposes, 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, TAXABLE SERIES 2008B", 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, 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 October 1, 2008, in the denomination and aggregate principal amount of $6,500,000, numbered R-1, payable in annual installments of principal to the initial registered owner thereof, to-wit: MORGAN KEEGAN & COMPANY, INC., 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 $6,500,000 UNITED STATES OF AMERICA STATE OF TEXAS COUNTIES OF DALLAS AND DENTON CITY OF COPPELL, TEXAS COMBINATION TAX AND REVENUE CERTIFICATE OF OBLIGATION, TAXABLE SERIES 2008B 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 MORGAN KEEGAN & CO., INC. 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 SIX MILLION FIVE HUNDRED 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 2010 $345,000 2020 $340,000 2011 345,000 2021 340,000 2012 345,000 2022 340,000 2013 345,000 2023 340,000 2014 345,000 2024 340,000 2015 345,000 2025 340,000 2016 345,000 2026 340,000 2017 345,000 2027 340,000 2018 340,000 2028 340,000 2019 340,000 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: 4 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, _____% maturity 2017, _____% maturity 2027, _____% maturity 2018, _____% maturity 2028, _____% maturity 2019, _____% with said interest being payable on August 1, 2009, and semiannually on each February 1 and August 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 $6,500,000, for the acquisition of approximately 115 acres, together with the acquisition of approximately 360 acres from the proceeds of the City’s Combination Tax and Revenue Certificates of Obligation, Series 2008A; being a total of approximately 475 acres all out of a tract of land of approximately 940 acres known as NorthLake property owned by Luminant, being located east of south Beltline, south of east Beltline, west of Valley Ranch Road being located in Irving and north of Hackberry Road, to be used in part for water system improvements including storage facilities and pumping station and in part for future municipal improvements, facilities and purposes, and for paying legal, fiscal, and engineering fees in connection with such projects. ON FEBRUARY 1, 2018, 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 5 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. 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. 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, 6 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, 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 7 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 October 1, 2008. ____________________________ _________________________ 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 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 8 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 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 9 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. To the extent required by the Code and the Regulations, since the Certificates of Obligation are deemed “taxable”, it shall be the duty of the Paying Agent/Registrar, on behalf of the Issuer, to report to the owners of the Certificates of Obligation and the Internal Revenue Service (i) the amount of “reportable payments”, if any, subject to backup withholding during each year and the amount of tax withheld, if any, with respect to payments of the Certificates of Obligation and (ii) the amount of interest or amount treated as interest on the Certificates of Obligation and required to be included in gross income of the owner thereof. (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 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 10 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 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 11 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 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. 12 (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 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, 13 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 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. 14 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, TAXABLE SERIES 2008B INTEREST RATE MATURITY DATE DATE OF ORIGINAL ISSUE CUSIP NO. October 1, 2008 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 October 1, 2008, 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 August 1, 2009, and semiannually on each February 1 and August 1 thereafter; except that if the date of authentication of this Certificate of Obligation is later than July 15, 2009, 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 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 15 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 October 1, 2008, authorized in accordance with the Constitution and laws of the State of Texas in the principal amount of $6,500,000, for the acquisition of approximately 115 acres, together with the acquisition of approximately 360 acres from the proceeds of the City’s Combination Tax and Revenue Certificates of Obligation, Series 2008A; being a total of approximately 475 acres all out of a tract of land of approximately 940 acres known as NorthLake property owned by Luminant, being located east of south Beltline, south of east Beltline, west of Valley Ranch Road being located in Irving and north of Hackberry Road, to be used in part for water system improvements including storage facilities and pumping station and in part for future municipal improvements, facilities and purposes, and for paying legal, fiscal, and engineering fees in connection with such projects. ON FEBRUARY 1, 2018, 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. 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 16 written notice of redemption is mailed and if due provision for 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 rate, in any denomination or denominations in any integral multiple of $5,000 as requested in writing by the appropriate registered owner, 17 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) FORM OF PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE 18 (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 U.S. Bank, National Association 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. 19 Section 8. TAX LEVY. A special Interest and Sinking Fund (the "Interest and Sinking Fund") is hereby created solely for the benefit of the Certificates of Obligation, 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). 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. 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. 20 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 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 21 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 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 22 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. TAX EXEMPTION. The Issuer does not intend to issue Certificates of Obligation authorized by this Ordinance in a manner such that the Certificates of Obligation would constitute obligations described in Section 103(a) of the Internal Revenue Tax Code of 1986. 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 2008, 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 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: 23 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 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. 24 (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: "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 16. SALE OF CERTIFICATES OF OBLIGATION AND USE OF NET PREMIUM. (a) The Initial Certificate of Obligation is hereby sold and shall be delivered to MORGAN KEEGAN & CO., INC. (the "Underwriter") for cash for the price of $____________, being the par value thereof, plus a reoffering premium of $_________, less an Underwriter’s discount of $_________, plus accrued interest (accrued interest to be deposited into the Interest and Sinking Fund) to the date of delivery pursuant to the terms and provisions of a Purchase Agreement with the Underwriter. It is hereby officially found, determined, and declared that the Initial Certificate of Obligation has been sold pursuant to the terms and provisions of a Purchase Agreement in substantially the form attached hereto as Exhibit B, which the Mayor of the Issuer is hereby authorized and directed to execute and deliver and which the City Secretary of the issuer is hereby authorized and directed to attest. It is hereby officially found, determined, and declared that the terms of this sale are the most advantageous reasonably obtainable. The Initial Certificate of Obligation shall be registered in the name of MORGAN KEEGAN & CO., INC. Section 17. APPROVAL OF OFFICIAL STATEMENT. The Issuer hereby approves the form 25 and content of the Official Statement relating to the Certificates of Obligation and any addenda, supplement or amendment thereto, and approves the distribution of such Official Statement in the reoffering of the Certificates of Obligation by the Underwriter in final form, with such changes therein or additions thereto as the officer executing the same may deem advisable, such determination to be conclusively evidenced by his execution thereof. The Preliminary Official Statement, dated October 6, 2008, is hereby approved and deemed final as of its date, as required by SEC Rule 15-2-12, and the distribution and use of the Preliminary Official Statement prior to the date hereof is hereby ratified and confirmed. Section 18. 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 bonds shall be so rebated and not considered as interest earnings for the purpose of this Section. Section 19. 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. ---------- 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: 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. EXHIBIT B PURCHASE AGREEMENT THE PURCHASE AGREEMENT IS OMITTED AT THIS POINT AS IT APPEARS ELSEWHERE IN THE TRANSCRIPT. WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: Finance October 14, 2008 14 ✔ RESOLUTION Consider approval of a resolution to deny the proposed increase in rates and charges requested by Oncor Electric Delivery Company LLC, providing that the rates and charges of the said company be denied, providing for notice hereof to said company and authorizing Mayor to sign. Staff recommends approval of this resolution to deny Oncor's proposed rate and charges increase, and requires Oncor to maintain their current rate structure in the city of Coppell. Based on our rate consultants findings, Oncor's requested increase in rates and charges cannot be substantiated by their evidence. These proposed changes would increase the transmission and distribution rates by 17.6% for residential, 9.1% for commercial and 5.8% for street lighting. According to Oncor, this proposed increase in rates and charges would increase the average annual residential bill by approximately $60. Oncor has indicated they will appeal the cities denial to increase rates and charges to the Public Utility Commission. The cities and Oncor have scheduled additional meetings to seek a possible settlement to avoid litigation before the PUC. Staff recommends approval. $TXU-1AR 816 Congress Avenue, Suite 1900 Austin, Texas 78701 Telephone: (512) 322-5800 Facsimile: (512) 472-0532 www.lglawfirm.com Ms. Doyle’s Direct Line: (512) 322-5820 Email: kdoyle@lglawfirm.com M E M O R A N D U M TO: Members of the Oncor Cities Steering Committee With Original Jurisdiction FROM: Geoffrey M. Gay Kristen Doyle Thomas Brocato DATE: September 29, 2008 RE: ACTION NEEDED BY NOVEMBER 6, 2008 – Denying Oncor's Requested Rate Increase The Executive Committee of the Oncor Cities Steering Committee ("Steering Committee") met last Thursday to hear recommendations from the attorneys and consultants working on Oncor's proposed $275 million rate increase and to discuss final action to be taken at the city level. Based upon the information provided by the consultants, the Executive Committee members approved a motion recommending that all Steering Committee members with original jurisdiction take action to DENY Oncor's requested $275 million rate increase. The attached documents (model resolution and staff report, list of Steering Committee members and supporting documents) will accomplish this objective. Please place the resolution denying Oncor's requested increase on your city council's agenda for consideration and action on or before November 6, 2008. Note that because the city will not be setting new rates (only maintaining existing rates), final action by resolution should be sufficient. If you are unable to meet the November 6th deadline for action, please contact me as soon as possible. The Company will appeal the final actions taken by cities to the Public Utility Commission, where the appeals will be consolidated with the pending docket created by the PUC for the Company's request, Docket No. 35717. Testimony by the Steering Committee will be filed on November 26, 2008. A hearing on the merits is scheduled to begin on January 13, 2009. A final order from the Commission is expected on or before June 26, 2009. In addition to the projected annual residential rate impact of approximately $60 for the Company's rate request, the Company has recently received approval from the PUC to collect $27 annually from residential customers through a surcharge that will be in place for the next 11 years to pay for advanced metering. This is on top of a projected increase to annual rates paid by all ERCOT customers of $70 - $100 beginning as early as 2010 to pay for the build-out of transmission lines to transport energy generated by wind from West Texas to the rest of the ERCOT market. If you have any questions, please feel free to contact Geoffrey (512/322-5875, ggay@lglawfirm.com), Kristen (512/322-5820, kdoyle@lglawfirm.com) or Thomas (512/322-5857, tbrocato@lglawfirm.com). MODEL STAFF REPORT ***ACTION MUST BE TAKEN TO DENY THE REQUESTED RATE INCREASE ON OR BEFORE NOVEMBER 6, 2008*** PURPOSE Oncor Electric Delivery Company ("Oncor" or "the Company") filed an application on or about June 27, 2008 with cities retaining original jurisdiction seeking to increase system-wide transmission and distribution rates by $275 million. (Until last year, Oncor was known as TXU Electric Delivery Company.) The Company asks the City to approve a 17.6% increase in residential rates, a 9.1% increase in commercial rates, and a 5.8% increase in street lighting rates. According to Oncor, annual rates would increase by approximately $60 for an average residential customer. Oncor's request has been assigned Public Utility Commission Docket No. 35717. The resolution denies the Company's requested rate increase and requires that the Company's current rates be maintained for all customers within the City. DISCUSSION The City, pursuant to § 33.001 of the Public Utility Regulatory Act, has exclusive original jurisdiction over the electric rates charged by the Company. In accordance with that authority, the City lawfully suspended the August 8th effective date for 90 days to review the Company's requested rate increase. The City's review of Oncor's rate increase request is coordinated by the Oncor Cities Steering Committee ("Steering Committee"). The City is a member of the 145-city Steering Committee. The Steering Committee has been the primary public interest advocate before the Public Utility Commission, the Courts, and the Legislature on electric utility regulation matters for the last 20 years. To conduct the review and any necessary litigation of Oncor's requested rate increase, the Executive Committee of the Steering Committee retained lawyers and consultants with expertise in regulatory rate making issues. Legal efforts are being directed by Geoffrey Gay, Kristen Doyle and Thomas Brocato with the law firm of Lloyd Gosselink Rochelle & Townsend. All reasonable consulting and legal fees incurred by the Steering Committee are reimbursable by the Company. The major components underlying Oncor's requested $275 million increase include an increase for depreciation expense ($131 million), a substantial increase to the Company's storm reserve ($81 million) and additional costs for pension and post retirement benefits ($36 million). Based upon the analysis of the Company's filing and review of discovery responses, the Steering Committee's consultants have determined that the Company's increase cannot be substantiated by evidence. In particular, Steering Committee experts have identified problems with the evidence offered by the Company supporting its requested rate of return, cash working capital, depreciation expense, consolidated taxes, federal income taxes, storm damage reserve and pension and post retirement benefits. The preliminary analysis indicates that Cities will likely be proposing cumulative reductions to the Company's requested rate increase in excess of $200 million. In addition, Cities' experts will file testimony regarding the rate design and cost allocation proposals made by Oncor. The action taken by the City to deny Oncor's rate increase will be appealed by the Company to the Public Utility Commission ("PUC") of Texas. The appeals of all individual city actions will be consolidated into the current proceeding at the PUC, Docket No. 35717. The Steering Committee is already actively involved in Docket No. 35717 and will file testimony challenging the Company's support for the rate increase. The hearing regarding Oncor's requested rate increase will begin January 13, 2009 and is expected to last three weeks. In an effort to avoid litigation if at all possible, parties to the proceeding have scheduled meetings with the Company to investigate the possibility of settlement. Explanation of "Be It Resolved" Paragraphs: Section 1. This section finds that the new rates proposed by the Company to be unreasonable and denies Oncor's request to increase rates. Section 2. This section requires Oncor to continue to charge its existing transmission and distribution rates to customers within the City. Section 3. The Company will reimburse the Steering Committee for its reasonable rate case expenses. Legal counsel and consultants approved by the Executive Committee of the Steering Committee will submit monthly invoices that will be forwarded to Oncor for reimbursement. No individual city incurs liability for payment of rate case expenses by taking action to deny the Company’s rate increase. Section 4. This section recites that the resolution was passed at a meeting that was open to the public and that the consideration of the resolution was properly noticed. Section 5. This section provides that both Oncor and Steering Committee counsel will be notified of the City’s action by sending a copy of the approved and signed resolution to certain designated individuals. Oncor Cities Steering Committee Addison Allen Alvarado Andrews Anna Archer City Argyle Arlington Bedford Bellmead Belton Benbrook Big Spring Beverly Hills Breckenridge Bridgeport Brownwood Buffalo Burkburnett Burleson Caddo Mills Cameron Canton Carrollton Cedar Hill Celina Centerville Cleburne Colleyville Collinsville Coahoma Comanche Commerce Coppell Copperas Cove Corinth Crowley Dallas Dalworthington Gardens De Soto DeLeon Denison Duncanville Early Eastland Edgecliff Village Euless Everman Fairview Farmers Branch Fate Flower Mound Forest Hill Fort Worth Frisco Frost Gainesville Garland Glenn Heights Grand Prairie Granger Grapevine Gunter Haltom City Harker Heights Heath Henrietta Hewitt Highland Park Honey Grove Howe Hurst Hutto Iowa Park Irving Jolly Josephine Justin Kaufman Keller Kerens Lake Worth Lakeside Lamesa Lewisville Lindale Little Elm Little River Academy Malakoff Mansfield McKinney Mesquite Midland Midlothian Murchison Murphy Nacogdoches New Chapel Hill North Richland Hills O’Donnell Oak Leaf Oak Point Odessa Ovilla Palestine Pantego Paris Plano Prosper Pottsboro Ranger Rhome Richardson Richland Hills River Oaks Roanoke Robinson Rockwall Rosser Rowlett Sachse Saginaw Seagoville Sherman Snyder Southlake Springtown Stephenville Sulphur Springs Sunnyvale Sweetwater Temple Terrell The Colony Tyler University Park Venus Waco Watauga Waxahachie White Settlement Wichita Falls Willow Park Woodway Wylie RESOLUTION NO. _ ______ A RESOLUTION OF THE CITY OF COPPELL, TEXAS FINDING THAT ONCOR ELECTRIC COMPANY’S REQUESTED INCREASES TO ITS ELECTRIC TRANSMISSION AND DISTRIBUTION RATES AND CHARGES WITHIN THE CITY SHOULD BE DENIED; FINDING THAT THE CITY'S REASONABLE RATE CASE EXPENSES SHALL BE REIMBURSED BY THE COMPANY; FINDING THAT THE MEETING AT WHICH THIS RESOLUTION IS PASSED IS OPEN TO THE PUBLIC AS REQUIRED BY LAW; REQUIRING NOTICE OF THIS RESOLUTION TO THE COMPANY AND LEGAL COUNSEL. WHEREAS, pursuant to § 33.001 of the Public Utility Regulatory Act ("PURA"), the City has exclusive original jurisdiction over the electric rates, operations, and services provided within city limits; WHEREAS, on or about June 27, 2008, Oncor Electric Delivery Company ("Oncor" or "Company"), pursuant to PURA §§ 33.001 and 36.001 filed with the City of Coppell ("City") a Statement of Intent to increase electric transmission and delivery rates by $275 million on a system-wide basis within its service area effective August 8, 2008; and WHEREAS, pursuant to PURA § 36.108, the City lawfully suspended the August 8, 2008, effective date by resolution to provide time to study the reasonableness of the Company's application to increase rates; and WHEREAS, the City is a member of the Oncor Cities Steering Committee (Steering Committee) and has cooperated with 145 similarly situated city members to conduct a review of the Company’s application, to hire and direct legal counsel and consultants, to prepare a common response to the filing, to negotiate with the Company and to direct any necessary litigation appealing final city action; and WHEREAS, the City, in a reasonably noticed meeting that was open to the public, considered the Company’s application; and WHEREAS, the consultants who were retained by the Steering Committee to evaluate the merits of the Company’s application have determined that the Company’s requested $275 million increase in revenues for its transmission and distribution system is not supported by evidence; and WHEREAS, PURA § 33.023 provides that reasonable costs incurred by cities in ratemaking activities are to be reimbursed by the regulated utility. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS: 1. That the rates proposed by Oncor Electric Delivery Company, to be recovered through its electric transmission and distribution rates charged to customers located within the City limits, are hereby found to be unreasonable and shall be denied. 2. That the Company shall continue to charge its existing rates for transmission and distribution services to customers within the City. 3. That the City’s reasonable rate case expenses shall be reimbursed by Oncor. 4. That it is hereby officially found and determined that the meeting at which this Resolution is passed is open to the public as required by law and the public notice of the time, place, and purpose of said meeting was given as required. 5. A copy of this Resolution shall be sent to Oncor, care of Debra Anderson, Oncor Electric Delivery Company, 1601 Bryan St., Suite 23-055C, Dallas, Texas 75201 and to Geoffrey Gay, General Counsel to the Oncor Cities Steering Committee, at Lloyd Gosselink Rochelle & Townsend, P.C., P.O. Box 1725, Austin, Texas 78767-1725. PASSED AND APPROVED, this the ______ day of __________, 2008. APPROVED: ATTEST: _____________________________ ___________________________ Douglas N. Stover, Mayor Libby Ball, Secretary WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: PLANNING October 14, 2008 15 ✔ PUBLIC HEARING Consider approval of Case No. S-1248-C, Papa Murphy’s, a zoning change request from C (Commercial) to S-1248-C (Special Use Permit-1248-Commercial), to allow a 1,226-square-foot grocery take-out, to be located at 612 E. Sandy Lake Road. The following P&Z conditions remain outstanding: 1. Grease trap determination will be made by the Building Official. 2. Signage for this building (color, size font, etc.) will be determined by the first application approval for a sign permit. 3. Contact Larry Redick at (972) 323-8917 to discuss electric service requirements. On September 18, 2008, the Planning Commission unanimously recommended approval of this zoning change (5-0), subject to the above-stated conditions. Commissioners Frnka, Shute, Haas, Sangerhausen, and Kittrell voted in favor, none opposed. Staff recommended APPROVAL. @01 S-1248-C, Papa Murphy's, 1-AR ITEM # 4 Page 1 of 3 CITY OF COPPELL PLANNING DEPARTMENT STAFF REPORT S-1248-C, Papa Murphy’s P&Z HEARING DATE: September 18, 2008 C.C. HEARING DATE: October 14, 2008 STAFF REP.: Gary L. Sieb, Director of Planning LOCATION: 612 East Sandy Lake Road SIZE OF AREA: 1,226 square feet CURRENT ZONING: C (Commercial) REQUEST: A zoning change to S-1248-C (Special Use Permit-1248- Commercial), to allow a 1,226-square-foot grocery take-out. APPLICANT: LEASEE: OWNER: DS and TC Management Family Video David Simmons Lance France 4206 N. W. 12th Street 2500 LeHigh Ave. Camas, WA. 98607 Glenview, Il. 60026 (360) 314-8482 (214) 215-7430 No Fax No Fax REPRESENTING CASE: Rockford Construction Michael Mattice or Alan Ricord 5540 Glenwood Hills Pkwy., S.E. Grand Rapids, MI. 49512 (616) 481-8847 Fax: (616) 285-8003 ITEM # 4 Page 2 of 3 HISTORY: A site plan and minor plat permitting a one story, 13,000 square foot retail/office building was approved for this site in November of 2006. This 1200 square foot request would occupy a portion of the approved building. TRANSPORTATION: Sandy Lake Road is a C4D, four-lane, concrete divided thoroughfare built to standard within a 100 foot right-of-way. SURROUNDING LAND USE & ZONING: North-Single-family residential; Austin Place, (PD-130-SF-7) South-Sandy Lake Plaza Retail Center; R (Retail) East –Dental office; C (Commercial) West –Two story medical office building; C (Commercial) COMPREHENSIVE PLAN: The Comprehensive Plan, as amended, shows the property as suitable for neighborhood retail uses. DISCUSSION: This property was approved for a 13,000 square foot, one story retail/office building in 2006. Subsequent to that approval, Family Video purchased the property and the building is now under construction. Family Video will occupy approximately 5,700 square feet of the building, and the rest is proposed to be leased out to a variety of users. The first lease is for a 1200 square foot Papa Murphy’s take-out, bake it yourself pizza parlor, and would be a first for the city. This is not a restaurant in the classical sense as nothing is eaten on site. An individual would order a custom made pizza, employees would prepare the pie, and the individual would pick it up, take it home, and bake it in the residence. That being the case, this use is more like a mini-grocery than a restaurant. Parking, therefore, would be provided based upon grocery store requirements of one parking space for each 200 square feet of space, rather then restaurant requirements of one to 100. This applicant is required to provide 6 spaces. In addition, restaurants generally require a 750 gallon grease interceptor. In that this use appears to not be a restaurant, the final decision regarding the grease trap will be made by the Building Official, and is a condition of approval of this request. ITEM # 4 Page 3 of 3 Signage for this use is limited to 17 square feet, as 17 feet is the length of this lease space facing a public street. The sign submitted is within that limitation and the applicant is aware that the design of this sign will determine the signage for the rest of the center. This request, with certain conditions, warrants staff support as the use is compatible with what was envisioned here. One condition relates to signage and recognition by the building owner that all signage shall be similar in color, design, font style, and so forth, and be in compliance with our sign ordinance. RECOMMENDATION TO THE PLANNING AND ZONING COMMISSION: Staff is recommending APPROVAL of this request with the following conditions: 1. Grease trap determination will be made by the Building Official. 2. Signage for this building (color, size font, etc.) will be determined by the first application approval for a sign permit. 3. Contact Larry Redick at (972) 323-8917 to discuss electric service requirements. ALTERNATIVES: 1. Recommend approval of the request 2. Recommend disapproval of the request 3. Recommend modification of the request 4. Take under advisement for reconsideration at a later date ATTACHMENTS: 1. Site Plan (Sheet SP-1) 2. Elevations (Sheet A 4.1) 3. Papa Murphy Floor Plan (Sheet A0) 4. Papa Murphy Signage (AD Art Sheet) 5. Elevations of Signage (2 smaller sheets) 1 CONCEPTUAL DRAWING ONLY: ALL RIGHTS RESERVED: SALES: DATE: DESIGNER:TJV FILENAME: 03-0311r1 Revision Date Description SALES APPROVAL CUSTOMER APPROVAL LANDLORD APPROVAL Dimensions are approximate & may change due to Construction factors or exact field conditions. Colors Shown areas close as printing will a l l o w ; a l w a y s F o l l o w w r i t t e n s p e c i f i c a t i o n s . This design has been created for you in connection With a project being planned for you by ADART. It may not be shown to anyone outside your Organization, and may not be reproduced In any manner without prior consent. 2609 SAGEBRUSH DRIVE SUITE 204 FLOWER MOUND, TEXAS 75028 T.800.675.6353 F.469.322.1915 612 E SANDY LAKE RD COPPELL, TX Doug Head 7/28/08 PAGE OF 2 R1/TJV/9-5-08/chg letter style 17'-0" store front PROPOSED SOUTH ELEVATION SCALE: 3/8”=1’-0” 12'-4"11"LETTER LAYOUT SCALE: 1”=1’-0”12'-0"8"CONSTRUCTION RETURN DEPTH RETURN COLOR TRIM CAP FACES ILLUMINATION ACRYLIC COLOR ELECTRICAL ALUMINUM - .40 RETURNS AND .63 BACKS 5” WHITE 1” WHITE JEWLITE TRIM CAP LEXAN WHITE LED WHITE REMOTE LETTER SECTION N.T.S. MINIMUM (2) ¼" DIAMETER WEEP HOLES IN LOW POINTS OF EACH LETTER. INSTALL IN ACCORDANCE W/NEC POWER CABLE THROUGH ½" DIAMETER FLEXIBLE METALLIC CONDUIT. ACRYLIC FACES. 5" 1" JEWELITE FACE RETAINERS .050" THICK ALUMINUM RETURNS LIGHT-EMITTING DIODE STRIP PS3 POWER SUPPLY INSIDE GAL. METAL BOX BEHIND WALL AS REQUIRED 17 SQUARE FT TOTAL ALL WHITE LETTER CONSTRUCTION WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: PLANNING October 14, 2008 16 ✔ PUBLIC HEARING Consider approval of Case No. PD-235-O, Denton Creek @ Sandy Lake Addition, Lot 2, Block A, a zoning change request from SF-12 (Single Family-12) to PD-235-O (Planned Development District 235-Office), to allow the construction of a two-story, 11,632-square-foot office building on 0.83 acres of property located on the north side of Sandy Lake Road, approximately 600 feet west of Starleaf Road. The following P&Z conditions remain outstanding: 1. Contact Larry Redick (972-323-8917) to discuss electric service requirements. 2. Tree removal permit required prior to start of construction. 3. Removal of landscaping and retrofitting of irrigation of proposed left turn needs to be coordinated with Parks Operation Manager. 4. Remove note #1 under “Requested Variances…” from Site Plan. 5. Rephrase Note #2 on Site Plan. 6. Remove “Of” from Elevation Sheet. 7. The property owners must build a six-foot screening wall along the west and north property lines when/if property is sold. On September 18, 2008, the Planning Commission unanimously recommended approval of this zoning change (5-0), subject to the above-stated conditions. Commissioners Frnka, Shute, Haas, Sangerhausen, and Kittrell voted in favor, none opposed. Staff recommended APPROVAL. @02 PD-235-0, DC @ SLA, L2, BA, 1-AR ITEM # 5 Page 1 of 3 CITY OF COPPELL PLANNING DEPARTMENT STAFF REPORT PD-235-O, Denton Creek @ Sandy Lake Addition, Lot 2, Block A P&Z HEARING DATE: September 18, 2008 C.C. HEARING DATE: October 14, 2008 STAFF REP.: Gary L. Sieb, Director of Planning LOCATION: North side of Sandy Lake Road, west of Starleaf Road SIZE OF AREA: .83 acres of property CURRENT ZONING: S-12 (Single Family-12) REQUEST: A zoning change to PD-235-O (Planned Development District 235-Office), to allow the construction of a two-story, 11,632-square-foot office building. APPLICANT: Owner : Engineer: “Raj” Akula Gonzalez/Schneeberg 109 Woodland Court 660 N. Central Coppell, Texas 75019 Suite 250 (732) 925-6110 or Plano, TX. 75074 Fax: (972) 241-4439 (972) 516-8855 Fax: (972) 516-8901 HISTORY: There has been no development history on the subject parcel although this property was flooded in 1990. TRANSPORTATION: Sandy Lake Road is a C4D four-lane, concrete, divided improved roadway with median contained within an approximate 90 foot right-of-way. ITEM # 5 Page 2 of 3 SURROUNDING LAND USE & ZONING: North-Vacant land and flood plain; City of Carrollton South –St. Joseph retirement community; PD-114R-SF-7 East –Single family residences; SF-12 West-Vacant; SF-12 COMPREHENSIVE PLAN: The Comprehensive Plan, as amended, shows this land to be suitable for neighborhood retail uses (which includes office). DISCUSSION: This is a somewhat unusual case in that the requested zoning has a direct relationship to a single family home to be built upon a lot immediately west of this proposed Planned Development office request. Specifically, the applicant in this case to develop a two story, 11,600 square foot office building, is also the owner of the single-family lot next door. The plan is to build the residence and the office building and have a common driveway between the two. In that way, the applicant can live next door to his office and have a common access to both uses. Generally, staff discourages this type of development in that we prefer to segregate office uses from residential uses, especially with regard to traffic circulation patterns. In this case, however, since the same owner owns both lots and desires to have his office next door to his home, we can support the request. In addition, because this development is only two lots, we do not feel the addition of a common drive will create any traffic problem. To enhance the division between the office drive and the residential connector, the applicant has agreed to construct a grass-crete drive between them, thus creating a visual and physical transition between the two. Also, in straight zoning, office uses must physically screen from residential uses. As you examine the exhibits prepared for this case you will note that a landscape screen rather than a solid masonry screen is being proposed for the common lot line between the residence and the office. Hence, another reason for the PD office request. Both buildings will be constructed of similar materials lending a sense of compatibility between the two uses. Although an unusual request, we can support the application because of the additional efforts the owner has exercised in developing his plan. Those efforts include the utilization of similar building materials, sensitivity in site ITEM # 5 Page 3 of 3 planning two generally somewhat incompatible uses, respect for adjacent uses, and the grass-crete drive, among others. RECOMMENDATION TO THE PLANNING AND ZONING COMMISSION: Staff is recommending APPROVAL of this request subject to the following conditions: 1. Contact Larry Redick (972-323-8917) to discuss electric service requirements. 2. Tree removal permit required prior to start of construction. 3. Removal of landscaping and retro-fitting of irrigation of proposed left turn needs to be coordinated with Parks Operation Manager. 4. Remove note #1 under “Requested Variances…” from Site Plan. 5. Rephrase Note #2 on Site Plan. 6. Place on landscape plan same legend (for pavers and grass-crete) shown on Site Plan. 7. Remove “Of” from Elevation Sheet. 8. Include elevations and gate detail for dumpster surround on Landscape Plan (Sheet L2). ALTERNATIVES: 1. Recommend approval of the request 2. Recommend disapproval of the request 3. Recommend modification of the request 4. Take under advisement for reconsideration at a later date ATTACHMENTS: 1. Site Plan (Sheet C3) 2. Tree Survey (Sheet T1) 3. Building Elevations (Two Sheets not numbered) 4. Landscape Plan (Sheet L1) 5. Landscape Details (Sheet L2) WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: PLANNING October 14, 2008 17 ✔ PRESENTATION Consider approval of the Denton Creek @ Sandy Lake Addition, Lots 1 & 2, Block A, Minor Plat, to allow the construction of a single-family home on Lot 1 and a two-story office building on Lot 2, on 2.3 acres of property located on the north side of Sandy Lake Road, approximately 600 feet west of Starleaf Road. The following P&Z condition remains outstanding: 1. Contact Larry Redick (972-323-8917) regarding electric service requirements. On September 18, 2008, the Planning Commission unanimously recommended approval of this minor plat (5-0), subject to the above-stated condition. Commissioners Frnka, Shute, Haas, Sangerhausen, and Kittrell voted in favor, none opposed. Staff recommended APPROVAL. @03 DC @ SLA, Lts 1 & 2, BA, MP, 1-AR ITEM # 6 Page 1 of 2 CITY OF COPPELL PLANNING DEPARTMENT STAFF REPORT Denton Creek @ Sandy Lake Addition, Lots 1 & 2, Block A, Minor Plat P&Z HEARING DATE: September 18, 2008 C.C. HEARING DATE: October 14, 2008 STAFF REP.: Gary L. Sieb, Director of Planning LOCATION: North side of Sandy Lake Road, west of Starleaf Road SIZE OF AREA: 2.36 acres of property CURRENT ZONING: SF-12 (Single Family-12) REQUEST: A minor plat to allow the construction of a single-family home on Lot 1 and a two-story office building on Lot 2. APPLICANT: Owner: Engineer: “Raj” Akula Gonzalez/Schneeberg 109 Woodland Cove 660 N. Central Coppell, Texas 75019 Suite 250 (972) 241-4698 Plano, TX. 75074 Fax: (972) 241-4439 (972) 516-8855 Fax: (972) 516-8901 HISTORY: There has been no development history on the subject parcel although this property was flooded in 1990. TRANSPORTATION: Sandy Lake Road is a C4D four-lane, concrete, divided, improved roadway with median contained within an approximate 90 foot right-of-way. ITEM # 6 Page 2 of 2 SURROUNDING LAND USE & ZONING: North-Vacant land and flood plain; City of Carrollton South –St. Joseph retirement community; PD-114R-SF-7 East-Single-family residences; SF-12 West-Vacant; SF-12 COMPREHENSIVE PLAN: The Comprehensive Plan, as amended, shows this land to be suitable for neighborhood retail uses (which includes office). DISCUSSION: As a companion piece to the zoning change discussed earlier, this minor plat basically legally delineates the applicant’s request to develop the property with the requested uses and warrants approval subject to some minor conditions. RECOMMENDATION TO THE PLANNING AND ZONING COMMISSION: Staff is recommending APPROVAL of this minor plat with the following conditions: 1. Contact Larry Redick (972-323-8917) regarding electric service requirements. 2. Label the base flood elevation on the flood plain. ALTERNATIVES: 1. Recommend approval of the request 2. Recommend disapproval of the request ATTACHMENTS: 1. Minor Plat document WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: PLANNING October 14, 2008 18 ✔ PUBLIC HEARING Consider approval of Case No. PD-162R-MF-2, Gunner Subdivision, Lots 1 & 2, Block A, a zoning change request from PD-162-MF-2 (Planned Development District 162 – Multifamily-2) to PD-162R-MF-2 (Planned Development District 162- Revised – Multi-family-2) to allow the conversion of a portion of the existing leasing office/amenity area into three residential units, to add garages/storage areas, and to reconfigure parking spaces, on 37.8 acres of property located 1717 and 1721 Belt Line Road. The following P&Z conditions remain outstanding: 1. Ensure all trees affected by the parking lot revisions are replaced and verify there is a tree at the end of each parking row. 2. Contact Larry Redick at 972-323-8917 to discuss electric service requirements. On September 18, 2008, the Planning Commission unanimously recommended approval of this zoning change (5-0), subject to the above-stated conditions. Commissioners Frnka, Shute, Haas, Sangerhausen, and Kittrell voted in favor, none opposed. Staff recommended APPROVAL. @04 PD-162R-MF-2, GS, L1&2, BA, 1-AR ITEM # 7 Page 1 of 3 CITY OF COPPELL PLANNING DEPARTMENT STAFF REPORT PD-162R-MF-2, Gunner Subdivision, Lots 1 & 2 Block A P&Z HEARING DATE: September 18, 2008 C.C. HEARING DATE: October 14, 2008 STAFF REP.: Matt S. Steer, City Planner LOCATION: 1717 & 1721 Belt Line Road SIZE OF AREA: 37.8 acres of property CURRENT ZONING: PD-162-MF-2 (Planned Development District 162 – Multifamily-2) REQUEST: A zoning change to PD-162R-MF-2 (Planned Development District 162- Revised – Multi-family-2) to allow the conversion of a portion of the existing leasing office/amenity area into three residential units, to add garages/storage areas, and to reconfigure parking spaces. APPLICANT: Owner: Architect: Terry Chapman Ryan Lee Williams Asset Management Gary B. Coursey & Associates One Overton Park Overlook I 3625 Cumberland Blvd, Suite 430 2849 Paces Ferry Rd, Suite 220 Atlanta, GA 30339 Atlanta, GA 30339 Phone: (678) 589-7770 Phone: (678) 391-7755 Fax: (678) 589-7771 Fax: (770) 432-2773 HISTORY: A zoning change to PD-162-MF-2 was approved September 9, 1997, for this existing apartment complex, consisting of 600 apartment units. ITEM # 7 Page 2 of 3 TRANSPORTATION: East Belt Line Road is a PD6, six-lane divided major arterial thoroughfare built within a 120-foot wide right- of-way. SURROUNDING LAND USE & ZONING: North: Railroad and multifamily residential; A and MF-2 South: Grapevine Creek and single-family residential; City of Irving East: vacant; LI West: office, landscaping center, self-storage warehouse; LI COMPREHENSIVE PLAN: The Comprehensive Plan shows the property as suitable for high density residential land use. DISCUSSION: This is a multipart request encompassing changes to both the Carrington and St. Marin Apartments. These are currently owned and managed by the same group (Williams Asset Management); and therefore, only one leasing office is needed, giving rise to this request. On the east property, or the Carrington side, the applicant wishes to convert the leasing office, game room, library and weight room, to three living units and retain the weight room on the south end. A two bay garage is proposed to the north of the building in the existing parking area. The exterior of the garage will match the existing garages within the complex. The parking area is proposed to be reconfigured to restripe the adjacent section and to add one additional space to compensate for the one parking space lost due to the proposed construction. On the property to the west, or the St. Marin side, the applicant is proposing to construct a six-bay garage and reconfigure the parking area on the north side of Building 19. Three parking spaces will be added to compensate for the three lost due to the proposed construction. The architectural materials of the proposed garage/storage area will match that of the complex. All and all, staff has no objection to these requests as long as the trees that are affected due to the parking lot revisions will be replaced. Therefore, staff is recommending approval subject to this condition. ITEM # 7 Page 3 of 3 RECOMMENDATION TO THE PLANNING AND ZONING COMMISSION: Staff is recommending APPROVAL of PD-162R2-MF-2, Lots 1 & 2, Block A, Gunner Subdivision subject to the following conditions: 1. Ensure all trees affected by the parking lot revisions are replaced and verify there is a tree at the end of each parking row. 2. Contact Larry Redick at 972-323-8917 to discuss electric service requirements. ALTERNATIVES: 1. Recommend approval of the request 2. Recommend disapproval of the request 3. Recommend modification of the request 4. Take under advisement for reconsideration at a later date ATTACHMENTS: 1. Site Plan Amendment (2 pages) 2. Existing and Proposed Floor Plan (2 pages) 3. Exterior garage elevations (2 pages) WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: PLANNING October 14, 2008 19 ✔ PRESENTATION Consider approval of the Lesley Retail Addition, Blocks A & B, & Dividend Drive, Preliminary Plat, to establish property boundaries and the alignment of Dividend Drive on 28.142 acres of property located on the east side of S. Belt Line Road, north of Hackberry Drive. The following P&Z condition remains outstanding: 1. Contact Jeff Curry at 972-888-1330 to discuss easement requirements. On September 18, 2008, the Planning Commission unanimously recommended approval of this preliminary plat (5-0), subject to the above-stated condition. Commissioners Frnka, Shute, Haas, Sangerhausen, and Kittrell voted in favor, none opposed. Staff recommended APPROVAL. @05 LRA, Blks A&B & Dvd Dr, PP, 1-AR ITEM # 8 Page 1 of 2 CITY OF COPPELL PLANNING DEPARTMENT STAFF REPORT Lesley Retail Addition, Blocks A & B & Dividend Drive Preliminary Plat P&Z HEARING DATE: September 18, 2008 C.C. HEARING DATE: October 14, 2008 STAFF REP.: Matt S. Steer, City Planner LOCATION: East side of S. Belt Line Road, north of Hackberry Drive SIZE OF AREA: 28.14 acres of property CURRENT ZONING: A (Agricultural) REQUEST: Preliminary plat approval to establish property boundaries and the alignment of Dividend Drive. APPLICANT: Owner: Engineer; Hackbelt 27 Partners, L.P. Pacheco Koch Todd Jones Jack Evans, P.E. 5605 N. MacArthur Blvd. 8350 N. Central Expressway 10th Floor Suite 1000 Irving, TX 75038 Dallas, TX 75206 Phone: (972) 819-3965 Phone: (972) 235-3031 Fax: (972) 819-3644 Fax: (972) 235-9544 HISTORY: This property is currently vacant and has never been platted. TRANSPORTATION: South Belt Line Road is a P6D, major thoroughfare built to standard in a l20-foot right-of-way. ITEM # 8 Page 2 of 2 SURROUNDING LAND USE & ZONING: North – vacant; City of Dallas South – vacant; City of Irving East – vacant; City of Dallas West – vacant, office and vacant; PD-222-LI (Planned Development-222-Light Industrial), PD-221R-HC (Planned Development-221-Revised-Highway Commercial), and PD-221R3-HC (Planned Development-221-Revision 3-Highway Commercial) COMPREHENSIVE PLAN: The Coppell Comprehensive Master Plan, as amended, shows the property as suitable for freeway office uses. DISCUSSION: This is a straight-forward case, proposing the 90-foot wide dedication of land for the extension of Dividend Drive from South Belt Line Road to the east city limit line approximately 600 feet in length (1.29 acres). The road will be initially constructed with a temporary turn around at the east end and will eventually be extended into the City of Dallas. The general location of a median opening is depicted and will be finalized when the adjacent properties are developed. The remaining 27 acres are proposed as two blocks; Block A, to the north of the proposed Dividend extension and Block B to the south. Currently, no lot lines are depicted as it is unknown at this time how many pad sites will be developed, and how they will be configured. RECOMMENDATION TO THE PLANNING AND ZONING COMMISSION: Staff is recommending APPROVAL of Lesley Retail Addition, Blocks A & B and Dividend Drive Preliminary Plat, subject to the following condition: 1. Contact Jeff Curry at 972-888-1330 to discuss easement requirements. ALTERNATIVES: 1. Recommend approval of the request 2. Recommend disapproval of the request ATTACHMENTS: 1. Preliminary Plat WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: PLANNING October 14, 2008 20 ✔ PRESENTATION Consider approval of the Dividend Drive (Lesley Retail Addition), Final Plat, to establish a 90-foot wide right-of-way for the extension of Dividend Drive from S. Belt Line Road to the Coppell/Dallas City Limit Line, containing 1.286 acres of property located approximately 1,434 feet north of Hackberry Drive. The following P&Z conditions remain outstanding: 1. Include recording information of off-site temporary access easement prior to filing. 2. Contact Jeff Curry at 972-888-1330 to discuss easement requirements. On September 18, 2008, the Planning Commission unanimously recommended approval of this final plat (5-0), subject to the above-stated conditions. Commissioners Frnka, Shute, Haas, Sangerhausen, and Kittrell voted in favor, none opposed. Staff recommended APPROVAL. @06 Dividend Dr (LRA), FP, 1-AR ITEM # 9 Page 1 of 2 CITY OF COPPELL PLANNING DEPARTMENT STAFF REPORT Dividend Drive (Lesley Retail Addition), Final Plat P&Z HEARING DATE: September 18, 2008 C.C. HEARING DATE: October 14, 2008 STAFF REP.: Matt S. Steer, City Planner LOCATION: Approximately 1,434 feet north of Hackberry Drive SIZE OF AREA: 1.286 acres of property CURRENT ZONING: A (Agricultural) REQUEST: A final plat to establish a 90-foot wide right-of-way for the extension of Dividend Drive from South Belt Line Road to the Coppell/Dallas city limit line. APPLICANT: Owner: Engineer; Hackbelt 27 Partners, L.P. Pacheco Koch Todd Jones Jack Evans, P.E. 5605 N. MacArthur Blvd. 8350 N. Central Expressway 10th Floor Suite 1000 Irving, TX 75038 Dallas, TX 75206 Phone: (972) 819-3965 Phone: (972) 235-3031 Fax: (972) 819-3644 Fax: (972) 235-9544 HISTORY: This property is currently vacant and has never been platted. TRANSPORTATION: South Belt Line Road is a P6D, major thoroughfare built to standard in a l20-foot right-of-way. ITEM # 9 Page 2 of 2 SURROUNDING LAND USE & ZONING: North – vacant; A (Agricultural) South – vacant; A (Agricultural) East – vacant; City of Dallas West – Dividend Drive; PD-221R4-HC (Planned Development- 221-Revision 4-Highway Commercial) COMPREHENSIVE PLAN: The Coppell Comprehensive Master Plan, as amended, shows the property as suitable for freeway office uses. DISCUSSION: This is a straight-forward case, proposing the 90-foot wide dedication of land for the extension of Dividend Drive from South Belt Line Road to the east city limit line approximately 600 feet in length (1.29 acres). The road will be initially constructed with a temporary turn around at the east end and will eventually be extended into the City of Dallas. The general location of a median opening is depicted on the preliminary plat and will be finalized when the adjacent properties are developed. RECOMMENDATION TO THE PLANNING AND ZONING COMMISSION: Staff is recommending APPROVAL of Dividend Drive (Lesley Retail Addition) Final Plat, subject to the following conditions: 1. Retitle plat to “Dividend Drive (Lesley Retail Addition) Final Plat”. 2. Include recording information of off-site temporary access easement prior to filing. 3. Contact Jeff Curry at 972-888-1330 to discuss easement requirements. ALTERNATIVES: 1. Recommend approval of the request 2. Recommend disapproval of the request ATTACHMENTS: 1. Final Plat WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: ȱ ȱ City Secretary October 14, 2008 21 ✔ PROCEDURAL Consider appointments of Youth Advisors to the Parks and Recreation Board. These positions were re-advertised after the close of Boards and Commission applications. Parks and Recreation recommend the appointments of Alesa Hiller and Taylor Mays. Staff recommends appointments of Alesa Hiller and Taylor Mays. %bdappt-1AR WORK SESSION CONSENT REGULAR DEPT: DATE: ITEM #: AGENDA REQUEST FORM ITEM TYPE: ITEM CAPTION: GOAL(S): EXECUTIVE SUMMARY: FINANCIAL COMMENTS: RECOMMENDED ACTION: ACTION TAKEN BY COUNCIL: ȱ City Manager's Office October 14, 2008 22 ✔✔ PROCEDURAL Consider appointments to the Coppell Economic Development Foundation for a one year term. Each year, City Council appoints five members from the Economic Development Committee to serve one-year terms on the Foundation. The current make-up of the Coppell Economic Development Foundation includes Gary Roden, Bill Rohloff, Dornell Reese, Bradley Snyder and one vacant seat. The Economic Development Committee met on October 1, 2008 to discuss the Coppell Economic Development Foundation, and their recommendations for the 2008 - 2009 term are Bill Rohloff, Gary Roden, Dornell Reese, Bradley Snyder and Ken Luttmer. Consider appointments to the Coppell Economic Development Foundation for a one year term. !CEDF member appointments - 1AR AGENDA REQUEST FORM DATE: October 14, 2008 ITEM #: 23 MAYOR AND COUNCIL REPORTS A. Report by Mayor Stover regarding State Election Candidate Forum Event. B. Report by Mayor Stover regarding Oaktoberfest on October 18th. C. Report by Mayor Stover regarding National Night Out D. Report by Mayor Stover regarding Metroplex Mayors’ Meeting. Agenda Request Form - Revised 09/02 Document Name: %mayorreport AGENDA REQUEST FORM DATE: October 14, 2008 ITEM #: 24 NECESSARY ACTION RESULTING FROM WORK SESSION Agenda Request Form - Revised 02/04 Document Name: %necessaryactionwork AGENDA REQUEST FORM DATE: October 14, 2008 ITEM #: 25 NECESSARY ACTION RESULTING FROM EXECUTIVE SESSION Agenda Request Form - Revised 09/02 Document Name: %necessaryactionexec CERTIFICATE OF AGENDA ITEM SUBMISSION Council Meeting Date: October 14, 2008 Department Submissions: Item No. 7 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 Item Nos. 11/C and 11/D were placed on the Agenda for the above- referenced City Council meeting by the Engineering Department. I have reviewed the Agenda Requests (and any backup if applicable) and hereby submit these items to the City Council for consideration. ____________________ Engineering Department Item Nos. 11/E, 11/F, 15, 16, 17, 18, 19 and 20 were placed on the Agenda for the above-referenced City Council meeting by the Planning Department. I have reviewed the Agenda Requests (and any backup if applicable) and hereby submit these items to the City Council for consideration. ____________________ Planning 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)