Loading...
CP 2021-09-14CFI LL Tuesday, September 14, 2021 City of Coppell, Texas Meeting Agenda City Council 5:30 PM WES MAYS BRIANNA HINOJOSA-SMITH Mayor Mayor Pro Tem CLIFF LONG JOHN JUN Place 1 Place 5 DON CARROLL BIJU MATHEW Place 3 Place 6 KEVIN NEVELS MARK HILL Place 4 Place 7 MIKE LAND City Manager 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Council Chambers Notice is hereby given that the City Council of the City of Coppell, Texas will meet in Regular Called Session at 5:30 p.m. for Executive Session, Work Session will follow immediately thereafter, and Regular Session will begin at 7:30 p.m., to be held at Town Center, 255 E. 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: 1. Call to Order 2. Executive Session (Closed to the Public) 1st Floor Conference Room Section 551.072, Texas Government Code - Deliberation regarding Real Property. A. Discussion regarding alignment for Silver Line Trail located between Southwestern Boulevard and east Belt Line Road rail crossing. B. Discussion regarding real property located south of East Belt Line Road City of Coppell, Texas Page 1 Printed on 9/10/2021 City Council Meeting Agenda September 14, 2021 and east of South Belt Line Road. Section 551.071, Texas Government Code - Consultation with City Attorney. C. Seek Legal Advice from City Attorney regarding zoning ordinance and accessory structures. D. Seek Legal Advice from City Attorney regarding House Bill 1927. E. Seek Legal Advice from City Attorney regarding drainage channel program. Section 551.087, Texas Government Code - Economic Development Negotiations. F. Discussion regarding economic development prospects located west of Belt Line Road and south of Dividend Road. 3. Work Session (Open to the Public) 1st Floor Conference Room A. Discussion regarding agenda items. B. Discussion regarding FY 21-22 Work Plan. C. Discussion regarding employee medical insurance renewals. D. Discussion regarding Trinity River Authority Agreement and Dallas County Health Services Agreement. E. Discussion regarding American Rescue Plan Funds. Attachments: FY 2021-2022 Work Plan.pdf Employee Benefits Renewal Memo.pdf DQHHS Memo.pdf TRA Memo.pdf ARP Memo.pdf ARE Spending Plan.pdf ARPA FAQ°s.pdf Regular Session 4. Invocation 7:30 p.m. 5. Pledge of Allegiance 6. Citizens' Appearance Proclamations 7. Consider approval of a Proclamation naming the month of September "National Preparedness Month," and authorizing the Mayor to sign. Attachments: 2021 Preparedness Month Prodamation.pdf City of Coppell, Texas Page 2 Printed on 9/10/2021 City Council Meeting Agenda September 14, 2021 8. Consent Agenda A. Consider approval of minutes: August 24, 2021. Attachments: CM 2021-08-24. df B. Consider approval and adoption of the City of Coppell Investment Policy. Attachments: Memo - Investment PalicV.pdf 2021 Investment PalicV.pdf Ceriificate.pdf C. Consider approval of a Resolution approving a negotiated settlement between the Atmos Cities Steering Committee (ACSC) and Atmos Energy, Mid -Tex Division regarding the company's 2021 Rate Review Mechanism Filing; and authorizing the Mayor to sign. Attachments: ATMOS Memo 2021.pdf 2021 Atmos Mid -Tex RRM Resolution.pdf 2021 Atmos Mid -Tex RRM Resolution Attachments.pdf 2019 FAQs RE ATMOS RRM.pdf D. Consider award of Bid No. Q-0921-02 to High Production Construction for landscape plant material replacements at nine (9) city facilities and medians, not to exceed $85,212.00, as budgeted in Special Revenue Fund, and authorizing the City Manager to sign all necessary documents. Attachments: Memo.pdf Bid Tab.pdf Bid Packet.pdf End of Consent Agenda 9. PUBLIC HEARING: Consider approval of a zoning change request from PD -217R3 -C (Planned Development -217 Revision 3 -Commercial) to PD -217R4 -C (Planned Development -217 Revision 4 -Commercial) to approve a Conceptual Site Plan for the vacant Lot 5R and a Detail Site Plan for the conversion of the existing Doggie Wonderland into a Chess Club and learning center with additional parking spaces proposed located on 1.13 acres of land between Vanbebber Drive and Bethel School Road, approximately 300 -ft west of Denton Tap Road, being represented by Daniel Parrish, DP Designs & Development, LLC. Attachments: City Council Memo.pdf Staff Report.pdf Site Plan.pdf Landscape Plan & Tree SurveV.pdf City of Coppell, Texas Page 3 Printed on 9/10/2021 City Council Meeting Agenda September 14, 2021 Buildinq Elevation Photos.pdf 10. PUBLIC HEARING: Consider approval of PD -213R6 -H, Live/Work, Lost Creek Addition, Lot 27, Block 1, a zoning change request from PD -213R2 -H (Planned Development -213 Revision 2 - Historic) to PD -213R6 -H (Planned Development -213 Revision 6 - Historic) to attach a Detail Site Plan for five, two-story 4,500 -square -foot (3,000 square foot air conditioned) live/work buildings and a common parking area on 0.71 acres of property located at the northeast corner of S. Coppell Road and Heath Lane, at the request of Chris Collins, being represented by Greg Frnka, GPF Architects LLC. Attachments: City Council Memo.pdf Staff Report.pdf Site Plan.pdf Tree Survey.pdf Landscape Plan.pdf Floor Plan.pdf Elevations.pdf Rendering.pdf Color board.pdf 11. Consider approval of a Resolution in support of Metrocrest Services Capital Campaign; and authorizing the Mayor to sign. Attachments: Memo - Metrocrest Capital Campaign Resolution.pdf Metrocrest Services Capital Campaign Resolution.pdf 12. City Manager Reports - Project Updates and Future Agendas 13. Mayor and Council Reports Report by the City Council on recent and upcoming events. 14. Public Service Announcements concerning items of community interest with no Council action or deliberation permitted. 15. Necessary Action from Executive Session 16. Adjournment Wes Mays, Mayor City of Coppell, Texas Page 4 Printed on 9/10/2021 City Council Meeting Agenda September 14, 2021 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 September, 2021, at Ashley Owens, City Secretary PUBLIC NOTICE - STATEMENT FOR ADA COMPLIANCE AND OPEN CARRY LEGISLATION 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 seventy-two (72) hours — three (3) business days ahead of the scheduled program, service, and/or meeting. To make arrangements, contact Kori Allen, ADA Coordinator, or other designated official at (972) 462-0022, or (TDD 1 -800 -RELAY, TX 1-800-735-2989). City of Coppell, Texas Page 5 Printed on 9/10/2021 C',P FE L File ID: 2021-5890 Version: 1 File Name: Northlake City of Coppell, Texas Master File Number: 2021-5890 Type: Agenda Item Reference: 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Executive Session In Control: City Council File Created: 09/07/2021 Final Action: Title: Discussion regarding alignment for Silver Line Trail located between Southwestern Boulevard and east Belt Line Road rail crossing. Notes: Sponsors: Attachments: Contact: Drafter: Related Files: History of Legislative File Enactment Date: Enactment Number: Hearing Date: Effective Date: Ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: Text of Legislative File 2021-5890 Title Discussion regarding alignment for Silver Line Trail located between Southwestern Boulevard and east Belt Line Road rail crossing. Summary City of Coppell, Texas Page 1 Printed on 9/10/2021 C',P FE L File ID: 2021-5904 Version: 1 File Name: Northlake City of Coppell, Texas Master File Number: 2021-5904 Type: Agenda Item Reference: 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Executive Session In Control: City Council File Created: 09/10/2021 Final Action: Title: Discussion regarding real property located south of East Belt Line Road and east of South Belt Line Road. Notes: Sponsors: Attachments: Contact: Drafter: Related Files: History of Legislative File Enactment Date: Enactment Number: Hearing Date: Effective Date: Ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: Text of Legislative File 2021-5904 Title Discussion regarding real property located south of East Belt Line Road and east of South Belt Line Road. Summary City of Coppell, Texas Page 1 Printed on 9/10/2021 C',P FE L File ID: 2021-5892 Version: 1 File Name: Exec - carports City of Coppell, Texas Master File Number: 2021-5892 Type: Agenda Item Reference: 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Executive Session In Control: City Council File Created: 09/07/2021 Final Action: Title: Seek Legal Advice from City Attorney regarding zoning ordinance and accessory structures. Notes: Sponsors: Attachments: Contact: Drafter: Related Files: History of Legislative File Enactment Date: Enactment Number: Hearing Date: Effective Date: Ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: Text of Legislative File 2021-5892 Title Seek Legal Advice from City Attorney regarding zoning ordinance and accessory structures. Summary City of Coppell, Texas Page 1 Printed on 9/10/2021 City of Coppell, Texas C',P FE L File ID: 2021-5891 Version: 1 File Name: Exec - carry w/o permit Master File Number: 2021-5891 Type: Agenda Item Reference: 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Executive Session In Control: City Council File Created: 09/07/2021 Final Action: Title: Seek Legal Advice from City Attorney regarding House Bill 1927. Notes: Sponsors: Attachments: Contact: Drafter: Related Files: History of Legislative File Enactment Date: Enactment Number: Hearing Date: Effective Date: Ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: Text of Legislative File 2021-5891 Title Seek Legal Advice from City Attorney regarding House Bill 1927. Summary City of Coppell, Texas Page 1 Printed on 9/10/2021 C',P FE L File ID: 2021-5893 Version: 1 File Name: Exec - Drainage City of Coppell, Texas Master File Number: 2021-5893 Type: Agenda Item Reference: 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Executive Session In Control: City Council File Created: 09/08/2021 Final Action: Title: Seek Legal Advice from City Attorney regarding drainage channel program. Notes: Sponsors: Attachments: Contact: Drafter: Related Files: History of Legislative File Enactment Date: Enactment Number: Hearing Date: Effective Date: Ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: Text of Legislative File 2021-5893 Title Seek Legal Advice from City Attorney regarding drainage channel program. Summary City of Coppell, Texas Page 1 Printed on 9/10/2021 C',P FE L File ID: 2021-5877 Version: 1 City of Coppell, Texas Master File Number: 2021-5877 Type: Agenda Item Reference: File Name: exec - eco dev w of belt line, s of dividend 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Executive Session In Control: City Council File Created: 08/30/2021 Final Action: Title: Discussion regarding economic development prospects located west of Belt Line Road and south of Dividend Road. Notes: Sponsors: Enactment Date: Attachments: Enactment Number: Contact: Hearing Date: Drafter: Effective Date: Related Files: History of Legislative File ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: Text of Legislative File 2021-5877 Title Discussion regarding economic development prospects located west of Belt Line Road and south of Dividend Road. Summary Strategic Pillar Icon: ireate III'; iusiiness wind Illininovatioin Modes City of Coppell, Texas Page 1 Printed on 9/10/2021 C',P FE L File ID: 2021-5864 Version: 1 City of Coppell, Texas Master File Number: 2021-5864 Type: Agenda Item Reference: File Name: WKS Annual Holiday Lighting Contract 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Work Session In Control: City Council File Created: 09/07/2021 Final Action: Title: A. Discussion regarding agenda items. B. Discussion regarding FY 21-22 Work Plan. C. Discussion regarding employee medical insurance renewals. D. Discussion regarding Trinity River Authority Agreement and Dallas County Health Services Agreement. E. Discussion regarding American Rescue Plan Funds. Notes: Sponsors: Attachments: FY 2021-2022 Work Plan.pdf, Employee Benefits Renewal Memo.pdf, DCHHS Memo.pdf, TRA Memo.pdf, ARP Memo.pdf, ARP Spending Plan.pdf, ARPA FAQ's.pdf Contact: Drafter: Related Files: History of Legislative File Enactment Date: Enactment Number: Hearing Date: Effective Date: Ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: Text of Legislative File 2021-5864 Title A. Discussion regarding agenda items. B. Discussion regarding FY 21-22 Work Plan. C. Discussion regarding employee medical insurance renewals. D. Discussion regarding Trinity River Authority Agreement and Dallas County Health Services Agreement. E. Discussion regarding American Rescue Plan Funds. Summary City of Coppell, Texas Page 1 Printed on 9/10/2021 Master Continued (2021-5864) City of Coppell, Texas Page 2 Printed on 9/10/2021 Icon Goal Work Plan Objective Responsibility Pillar 1: Perpetuate a Learning Environment Establish Coppell as a laboratory of learning Continue to work with educational entities on a city-related projects All Enhance the collaboration/coordination between Parks/Library for educational DQ/JC/HC programs i F FM WIM I i Engage Allies Ambassadors in developing neighborhood events and promoting National Night Out. VC/DB Explore options to adapt programs for greater accessibility DQ/JC Evaluate feasibility of implementing a community engagement effort that ,j Promote Socialization and Community Cohesiveness focuses on community input, civic engagement training, cultivating and creating TL new community partnerships, and volunteer management. Explore the development of a Youth Allies Program in partnership with CISD VC biller I Enhance the Unique "Community Oasis" Experience Ul�lllll�//� aao, r /� Develop a "sense of neighborhood" at an appropriate scale Engage Allies Ambassadors in developing neighborhood Allies groups for service projects, neighborhood beautification and/or welcome neighbors program. VC g � j Join the Neighborhood Engagement &Revitalization Alliance NERA MH Research hosting a Neighborhood Summit MH Host one block party per year MH Implement a Neighborhood Sign Topper program MH Icon Goal Work Plan Objective Responsibility Establish programs to protect the Work with the FOARD Task Force to establish the unique character of each unique character of single family community oasis node MH home community oasis nodes Explore refit and refurbishment of Implement the Neighbors Helping Neighbors program MH Explore potential incentive programs that address the future changes and needs MH VMS older housing stock related to housing in Coppell. aging in place) that maintain high Conduct joint meeting with CC & FOARD MH Present recommendations from the FOARD Task Force to City Council to get standard of living while reducing footprint direction on housing options to pursue MH Support the Old Town area and Explore potential dining options in Old Town MH concept Evaluate applicability/feasibility of TIF as stimulus for redevelopment MH Develop plan for a business incubator. MH Explore future trends in retail and re- Host roundtable with retail developers to discuss future trends and discover purposing commercial areas conditions needed to create a ripe environment for redevelopment including MH items such as parking requirements and signage. Evaluate different economic development models JM/MH/KT Encourage redevelopment of'hot Explore partnering with Arts Center and local arts groups to create pop-up arts JC spots' along commercial/retail and culture experiences in 'hot spots' Engage the community to identify desired uses and ideas to be included in a corridors as major creativity zones creativity zone MH Work with the Host meeting/roundtable with developers to discuss the future of the area MH commercial/warehouse district on Hold focus groups with existing businesses to learn what they are considering future Version 2.0 for future operations - particulalry post-COVID MH Icon Goal::1 Work Plan Objective =Responsibility Pillar 6: Implement Innovative Transportation Networks Build Coppell's transportation system Continue exploring autonomous routes and alternate modes to connect to connect with regional systems business hubs with regional connectors such as the DART Silver Line KC Create new modes of connectivity Explore opportunities to permit or enhance the use of alternative modes on between community oasis pockets, existing on -road and off-road links KC recreations and community nodes. Pillar 7: Apply Smart City Approach to Resource Management iu Wji Explore Internal and External Data collection/Data visibility JA IV ^� Build backbone of Smart Operating Systems for all resource management Research the concept of a virtual twin city JA Continue implementation EAM KC �u�NrripandF�i� of As a fiduciary, the City will ensure that there are adequate financial Explore systems to evaluate City services for efficiency and effectiveness KT/DQ resources to support City services. City Services will be provided in a manner that ensures high levels of Finalize format of biannual community survey and conduct community survey TL customer satisfaction Continue reconstruction of Belt Line between LBJ and Southwestern KC City Infrastructure will be well- Continue implementation of water system redundancy project KC maintained and consistent with the Council's value proposition. Start reconstruction of Sandy Lake Lift Station KC The City will maintain a quality Select Consultant to complete Compensation/Classification study for the HR/TL workforce to serve the community organization. Select Consultant to present Allyship training for City Staff. I HR/VC rCOPPELL �r4I'll '14 MEMORANDUM To: Mayor and City Council From: Justin Vaughn, Assistant Director of Administration and Human Resources Through: Vivyon Bowman, Director of Administration and Human Resources Date: September 14, 2021 Reference: Overview of Employee Benefit Renewals Introduction: The purpose of this work session item is to update the Council on various Employee Benefit annual renewals that are set to go into effect on October 1, 2021. Background: The City of Coppell is responsible for managing a Self -Insurance fund that provides funding for employee benefits including medical and dental claims, stop loss insurance, transplant insurance, third party claims administration, life, accidental death, and disability insurance as well as benefits consulting services. The goal of the City to provide competitive benefits while managing the workforce to mitigate large claims through the City's Wellness Program. The City typically considers renewal contracts for the above-mentioned products on an annual basis. The purpose of this item is to provide an overview of these products and how they function to support the employees and help to manage the City's employee benefit program. The insurance renewal products/services discussed will be presented to Council on the September 28th, 2021 agenda for approval. Legal Review: This item does not require legal review. Fiscal Impact: These costs have been budgeted in the City's Self Insurance Fund. Recommendation: No Council action is required on this item at this time. MEMORANDUM To: Mayor and City Council From: Mindi Hurley, Director of Community Development Date: September 14, 2021 Reference: Dallas County Health and Human Service Contract Update Introduction: The purpose of this work session item is to update the Council on the Interlocal Agreement for coordinated Health Services between the City of Coppell and Dallas County Health and Human Services. Background: Under this interlocal agreement, Dallas Human and Health Services shall offer our residents the following services: Tuberculosis Control Services; Sexually Transmitted Disease Control Services; Communicable Disease Control Services; and Laboratory Services. The County also agrees to provide to the City, per state and federal law, the following public health services: immunizations; child health care, high-risk infant case management; and home visits. The County uses "a sliding -scale fee" based on the residents' ability to pay for these services, and the City pays $3,131,00 per year, which is the agreed-upon amount for the City's share of the total cost of the Program less federal and state funding. Analysis: This agreement has been in existence for over 25 years, and the City is billed by the County monthly. The billing amount has remained the same for over 15 years. Legal Review: N/A Fiscal Impact: The fiscal impact of this Agenda item should not exceed $3,131.00. Recommendation: No Council action is required on this item at this time. 1 MEMORANDUM To: Mayor and City Council From: Mindi Hurley, Director of Community Development Date: September 14, 2021 Reference: Trinity River Authority Contract Update Introduction: The purpose of this work session item is to update the Council on the upcoming Trinity River Authority contract. Background: The City of Coppell contracts with Trinity River Authority for industrial inspection services, industrial sampling services, and analytical services. This contract enables the city to comply with all applicable state and federal laws, including the Clean Water Act and the General Pretreatment Regulations. Under this contract, Trinity River Authority performs all industrial user survey activities, notifies industrial users required to complete the Industrial User Survey Form, permits industrial users, and inspects permitted facilities as needed. Trinity River Authority also performs sampling services and classifies and documents all of the required discharge practices of industrial users. Analysis: The contract amount for FY'21-22 is estimated to be $9,500.00, which is the same dollar amount as FY'20-22. All expenses incurred by the Environmental Health Division for inspections and sampling are charged back to the industry. Legal Review: This item does not require legal review. Fiscal Impact: The fiscal impact of this Agenda item, if needed, should not exceed $9,500.00. Recommendation: No Council action is required on this item at this time. 1 MEMORANDUM To: Mayor and City Council From: Mike Land, City Manager Date: September 14, 2021 Reference: Proposed uses of American Rescue Plan (ARP) funds. The City of Coppell is receiving $10,263,541 in funding because of the Federal Government's ARP funding formula. On August 23, 2021 the City received $5,131,770. The remaining balance is scheduled to be sent to the City about this same time next year. The funds may not be used to offset a reduction in net tax revenue caused by a change in law, regulation, or administrative interpretation; and recipients may not use funds as non -Federal match where prohibited. In addition, funds may not be used to service debt, satisfy a judgment or settlement, or contribute to a "rainy day" fund. There are general guidelines on what the funds can be used for. A set of these uses as they apply to local governments are among other things include the following categories: 1) Negative economic impact resulting from Covid-19, 2) Premium Pay for public safety/first responders, 3) Extent of Revenue Loss on Government Services, and 4) Infrastructure Investments including water, sewer and broadband. For those interested, here is the link to the regulations - htttas://www.federalreRister.Rov/documents/2021/05/17/2021-10283/coronavirus-state-and-local- fiscal-recovery-funds. Also attached is a FAQ document provided by the Treasury Department. The Federal Government is constantly updating the guidelines as the funds are being used by other governmental entities throughout the country and questions arise. We have reviewed the proposed uses with the City Attorney and our auditors to make sure that the proposed expenditures are consistent with the published regulations and guidelines. There are other guardrails in place on the use of the funds though entities are given a wide berth to expend the funds. I Proposed expenses under the Negative Economic Impact of Covid-19 category include fitness equipment replacement in the CORE, enhanced trail amenities, renovations to restrooms throughout the City, resurfacing of Pickleball/Tennis courts, drainage work in the Town Hall Community Garden, soft trail enhancements, and refurbishing practice fields which will include adding necessary components to incorporate a recreation oriented cricket field combined with a soccer practice field at Wagon Wheel Park. Under the Extent of Revenue Loss category, there is greater flexibility of potential uses. Planned expenditures include infrastructure maintenance and pay-as-you-go capital cost. One of the primary recommendations is to make a one-time payment to employees who were on the payroll and not on probation as of March 31, 2020 equal to 3.5% for Public Safety employees, consistent with the adopted step plan, and 3% for the balance of city employees. In the current 20/21 Fiscal Year budget, there were no step plan increases for public safety or pay increases for any employees. This one-time payment would occur this fiscal year, prior to September 30, 2021. Planned expenditures for the Infrastructure Investment category at the present time include funds to complete the Sandy Lake Lift Station project. All in all, the above listed projects total approximately $4 million out of the $10.2 million the City will be receiving. Time is on our side with the eventual expense of these funds. We have until December 31, 2026 to expend them. Keep in mind that these additional dollars should be spent on one-time expenditures and not used to offset or supplement any ongoing expenses. With the Council's support of these planned expenditures, staff will move forward. 2 City of Coppet 1, Texas ARPA Proposed &pendltures AS of September 10, 2021 Negative Economic Imp,d - COVID-19 Trail Amenities Package Renovate Wagon Wheel Park 4-pl11 Reshooms Renovate Wagon Wheel Park Field{ Reshooms Renovate MacArthur Park R11-111Renovate Andy Brown Cenhal Park Reshooms Renovate Tennis Center Reshooms Resurfacing or Plckleball /Tennis Courts (4 PB & S Tennis Shade/Patio Restroom addition to TC Courtyard Area Addition of Tennis and Plckleball courts HH Community Garden Drainage Main Pavillon Restroom Renovation Columbarlum Reshoom Renovation Office Reshooms Renovation Office Building Contra¢ed repairs and soft hall malnte .ante of CNP and GPVS Park Refurbish S Grass practice areas and adding recreation amenitles Behavioral Healthcare Needs Payroll/Benefits m patted lndushles Rebut l ding Public Sector Capacity Staff Accountant (31/2 Years) Extent cf Revenue Loss on Government Services Reduced lnfrashucture funding from General Fund Lump Sum -20-21 Raises to those employed on 0331-20 InfrartruRure Investments in Water. Sewer, and Broadband Sandy Lake Lift Station Due to blocked machines, machines that were—11able had more use than usual. Also, the amount of cleaning that took place on the welght machines has caused several of them to start to rust. Increased hall patron usage as a result of could. Project would add amenitles such as hall strlpl ng, shaded benches and exercise equipment. Increased park patron usage asa result of covl d. Would Il ke to add touchless toilets, sl nks, and "'Pd ispensers. Increased park patron usage asa result of could. Would Il ke to add touchless toilets, sl nks, and soap dispensers. Increased park patron usage asa result of cool d. Would Il ke to add touchless toilets, sl nks, and "'Pd ispensers. ncreased park patron usage as a result of tout d. Would Il ke to add touchless toilets, sl nks, and soap dispensers. The reshooms proved to often not be able to support proper social distancing guldllnes. Due t. [he increased and consls[ent level f usage In programs/services, the courts experienced greater than usual wear and tear....especlally the PB ourts, the was the last of the courts to be resurfaced The PB a readesperately needed shade for participants this summer. Particlpantswerewlthoutadequetshadingandconvlenentnearbywater, provlded some safety concerns regarding cooling and rest. CouldImpact has been Tennlsand Plcklball are more popular than ever. Weoften ra n out of space to accomodate the demand from folks. Com muhty Garden volunteers worked through the pandemic to address the needs of the Metrocrest food pantry. The Town Hall location expedenced setbacks due to the area flooding In seasons of heavy rains. Addressing this drat nage — would encourage continued community involvement that addresses pandemic related community needs. Heavy hafflc due to uptick In serJlces during and after could. Would like to add touchless toilets, sl nks, and soap dispensers Heavy hafflc due to uptick In serJlces during and after could. Would like to add touchless toilets, sl nks, and soap dispensers Heavy hafflc due to uptick In serJlces during and after could. Would like to add touchless toilets, sl nks, and soap dispensers. Touchless hand sanitj,— In offices and common areas. Heavy pandemic use, there are some a real that we a bit m Vicky for the Frlends/staffmacc— Refurbish practice areas due to high hafflc use on them. Aerate, top -dress and apply organic materials, adding a pitch and turf for cricket on a shared practice field Mental Health/Substance Abuse Treatment - Crlsls I nterventlon/Hotlines- Services to promote access to Social Services Public Health/Safety - Human Smices- Slmllar Employees COVID mitigation/prevention measures to enable safe resumption of tourism, t—el and hospitality services IM No raises for employees a re within the current 20/21 adopted Budget AS OF JULY 19, 2021 Coronavirus State and Local Fiscal Recovery Funds Frequently Asked Questions AS OF JULY 19, 2021 This document contains answers to frequently asked questions regarding the Coronavirus State and Local Fiscal Recovery Funds (CSFRF / CLFRF, or Fiscal Recovery Funds). Treasury will be updating this document periodically in response to questions received from stakeholders. Recipients and stakeholders should consult the lln1etJ m F;i n aI 13...u. Ie., for additional information. • For overall information about the program, including information on requesting funding, please see ..1J...:.//h 1�.e...11..e .su, : v/poi cy.... s ueslco on ✓Trus/ ss st nce....iso ....st te....ioc i.... and tribal g�oyernments ....... ....... • For general questions about CSFRF / CLFRF, please email ° L ll�'„V��� ILS„ ,. „ .g ✓ • Treasury is seeking comment on all aspects of the Interim Final Rule. Stakeholders are encouraged to submit comments electronically through the Federal eRulemaking Portal (htt s:// w. e ui . tions.g o /docurnent/"ll ll : AS 131 .2021 0008 0002 on or before Jul ..............f..............................................................................................................................................................................................................................................................................................................................................) Y 16, 2021. Please be advised that comments received will be part of the public record and subject to public disclosure. Do not disclose any information in your comment or supporting materials that you consider confidential or inappropriate for public disclosure. Questions added 5/27/21: 1.5, 1.6, 2.13, 2.14, 2.15, 3.9, 4.5, 4.6, 10.3, 10.4 (noted with "[5/27]") Questions added 6/8/21: 2.16, 3.10, 3.11, 3.12, 4.7, 6.7, 8.2, 9.4, 9.5, 10.5 (noted with "[6/8]") Questions added 6/17/21: 6.8, 6.9, 6.10, 6.11 (noted with "[6/17]") Questions added 6/23/21: 1.7, 2.17, 2.18, 2.19, 2.20, 3.1 (appendix), 3.13, 4.8, 6.12 (noted with "[6/23]") Question added 6/24/21: 2.21 (noted with "[6/24]") Questions added 7/14/21: 1.8, 3.14, 3.15, 4.9, 4.10, 4.11, 4.12, 6.13, 6.14, 6.15, 6.16, 6.17, 10.3 updated (noted with "[7/14]") Answers to frequently asked questions on distribution of funds to non -entitlement units of local government (NEUs) can be found in this ]F' AQ -.-q pplement, which is regularly updated. 1. Eligibility and Allocations 1.1. Which governments are eligible for funds? 1 AS OF JULY 19, 2021 The following governments are eligible: • States and the District of Columbia • Territories • Tribal governments • Counties • Metropolitan cities • Non -entitlement units, or smaller local governments 1.2. Which governments receive funds directly from Treasury? Treasury will distribute funds directly to each eligible state, territory, metropolitan city, county, or Tribal government. Smaller local governments that are classified as non - entitlement units will receive funds through their applicable state government. 1.3. Are special-purpose units of government eligible to receive funds? Special-purpose units of local government will not receive funding allocations; however, a state, territory, local, or Tribal government may transfer funds to a special-purpose unit of government. Special-purpose districts perform specific functions in the community, such as fire, water, sewer or mosquito abatement districts. 1.4. How are funds being allocated to Tribal governments, and how will Tribal governments find out their allocation amounts?' $20 billion of Fiscal Recovery Funds was reserved for Tribal governments. The American Rescue Plan Act specifies that $1 billion will be allocated evenly to all eligible Tribal governments. The remaining $19 billion will be distributed using an allocation methodology based on enrollment and employment. There will be two payments to Tribal governments. Each Tribal government's first payment will include (i) an amount in respect of the $1 billion allocation that is to be divided equally among eligible Tribal governments and (ii) each Tribal government's pro rata share of the Enrollment Allocation. Tribal governments will be notified of their allocation amount and delivery of payment 4-5 days after completing request for funds in the Treasury Submission Portal. The deadline to make the initial request for funds is June 21, 2021. The second payment will include a Tribal government's pro rata share of the Employment Allocation. There is a $1,000,000 minimum employment allocation for Tribal governments. In late -June, Tribal governments will receive an email notification to re-enter the Treasury Submission Portal to confirm or amend their 2019 employment numbers that were submitted to the Department of the Treasury for the CARES Act's Coronavirus Relief Fund. To receive an Employment Allocation, including the minimum employment allocation, Tribal governments must confirm employment numbers by July ' The answer to this question was updated on July 19, 2021. 2 AS OF JULY 19, 2021 23, 2021. Treasury will calculate employment allocations for those Tribal governments that confirmed or submitted amended employment numbers by the deadline. In August; Treasury will communicate to Tribal governments the amount of their portion of the Employment Allocation and the anticipated date for the second payment. 1.5. My county is a unit of general local government with population under 50,000. Will my county receive funds directly from Treasury? [5/27] Yes. All counties that are units of general local government will receive funds directly from Treasury and should apply via the .n.n..e..,l?2Ltal. The list of county allocations is available hefe. ............................ 1.6. My local government expected to be classified as a non -entitlement unit. Instead, it was classified as a metropolitan city. Why? [5/27] The American Rescue Plan Act defines, for purposes of the Coronavirus Local Fiscal Recovery Fund (CLFRF), metropolitan cities to include those that are currently metropolitan cities under the Community Development Block Grant (CDBG) program but also those cities that relinquish or defer their status as a metropolitan city for purposes of the CDBG program. This would include, by way of example, cities that are principal cities of their metropolitan statistical area, even if their population is less than 50,000. In other words, a city that is eligible to be a metropolitan city under the CDBG program is eligible as a metropolitan city under the CLFRF, regardless of how that city has elected to participate in the CDBG program. Unofficial allocation estimates produced by other organizations may have classified certain local governments as non -entitlement units of local government. However, based on the statutory definitions, some of these local governments should have been classified as metropolitan cities. 1.7. In order to receive and use Fiscal Recovery Funds, must a recipient government maintain a declaration of emergency relating to COVID-19? [6/23] No. Neither the statute establishing the CSFRF/CLFRF nor the Interim Final Rule requires recipients to maintain a local declaration of emergency relating to COVID-19. 1.8. Can non-profit or private organizations receive funds? If so, how? [7/14] Yes. Under section 602(c)(3) of the Social Security Act, a State, territory, or Tribal government may transfer funds to a "private nonprofit organization ... , a Tribal organization ... , a public benefit corporation involved in the transportation of passengers or cargo, or a special-purpose unit of State or local government." Similarly, section 603(c)(3) authorizes a local government to transfer funds to the same entities (other than Tribal organizations). The Interim Final Rule clarifies that the lists of transferees in sections 602(c)(3) and 603(c)(3) are not exclusive, and recipients may transfer funds to constituent units of government or private entities beyond those AS OF JULY 19, 2021 specified in the statute. A transferee receiving a transfer from a recipient under sections 602(c)(3) and 603(c)(3) will be considered to be a subrecipient and will be expected to comply with all subrecipient reporting requirements. The ABPA does not authorize Treasury to provide CSFRF/CLFRF funds directly to non- profit or private organizations. Thus, non-profit or private organizations should seek funds from CSFRF/CLFRF recipient(s) in their jurisdiction (e.g., a State, local, territorial, or Tribal government). 2. Eligible Uses — Responding to the Public Health Emergency / Negative Economic Impacts 2.1. What types of COVID-19 response, mitigation, and prevention activities are eligible? A broad range of services are needed to contain COVID-19 and are eligible uses, including vaccination programs; medical care; testing; contact tracing; support for isolation or quarantine; supports for vulnerable populations to access medical or public health services; public health surveillance (e.g., monitoring case trends, genomic sequencing for variants); enforcement of public health orders; public communication efforts; enhancement to health care capacity, including through alternative care facilities; purchases of personal protective equipment; support for prevention, mitigation, or other services in congregate living facilities (e.g., nursing homes, incarceration settings, homeless shelters, group living facilities) and other key settings like schools; ventilation improvements in congregate settings, health care settings, or other key locations; enhancement of public health data systems; and other public health responses. Capital investments in public facilities to meet pandemic operational needs are also eligible, such as physical plant improvements to public hospitals and health clinics or adaptations to public buildings to implement COVID-19 mitigation tactics. 2.2. If a use of funds was allowable under the Coronavirus Relief Fund (CRF) to respond to the public health emergency, may recipients presume it is also allowable under CSFRF/CLFRF? Generally, funding uses eligible under CRF as a response to the direct public health impacts of COVID-19 will continue to be eligible under CSFRF/CLFRF, with the following two exceptions: (1) the standard for eligibility of public health and safety payrolls has been updated; and (2) expenses related to the issuance of tax -anticipation notes are not an eligible funding use. 2.3. If a use of funds is not explicitly permitted in the Interim Final Rule as a response to the public health emergency and its negative economic impacts, does that mean it is prohibited? M AS OF JULY 19, 2021 The Interim Final Rule contains a non-exclusive list of programs or services that may be funded as responding to COVID-19 or the negative economic impacts of the COVID-19 public health emergency, along with considerations for evaluating other potential uses of Fiscal Recovery Funds not explicitly listed. The Interim Final Rule also provides flexibility for recipients to use Fiscal Recovery Funds for programs or services that are not identified on these non-exclusive lists but which meet the objectives of section 602(c)(1)(A) or 603(c)(1)(A) by responding to the COVID-19 public health emergency with respect to COVID-19 or its negative economic impacts. 2.4. May recipients use funds to respond to the public health emergency and its negative economic impacts by replenishing state unemployment funds? Consistent with the approach taken in the CRF, recipients may make deposits into the state account of the Unemployment Trust Fund up to the level needed to restore the pre - pandemic balances of such account as of January 27, 2020, or to pay back advances received for the payment of benefits between January 27, 2020 and the date when the Interim Final Rule is published in the Federal Register. 2.5. What types of services are eligible as responses to the negative economic impacts of the pandemic? Eligible uses in this category include assistance to households; small businesses and non- profits; and aid to impacted industries. Assistance to households includes, but is not limited to: food assistance; rent, mortgage, or utility assistance; counseling and legal aid to prevent eviction or homelessness; cash assistance; emergency assistance for burials, home repairs, weatherization, or other needs; internet access or digital literacy assistance; or job training to address negative economic or public health impacts experienced due to a worker's occupation or level of training. Assistance to small business and non -profits includes, but is not limited to: • loans or grants to mitigate financial hardship such as declines in revenues or impacts of periods of business closure, for example by supporting payroll and benefits costs, costs to retain employees, mortgage, rent, or utilities costs, and other operating costs; • Loans, grants, or in-kind assistance to implement COVID-19 prevention or mitigation tactics, such as physical plant changes to enable social distancing, enhanced cleaning efforts, barriers or partitions, or COVID-19 vaccination, testing, or contact tracing programs; and • Technical assistance, counseling, or other services to assist with business planning needs 2.6. May recipients use funds to respond to the public health emergency and its negative economic impacts by providing direct cash transfers to households? AS OF JULY 19, 2021 Yes, provided the recipient considers whether, and the extent to which, the household has experienced a negative economic impact from the pandemic. Additionally, cash transfers must be reasonably proportional to the negative economic impact they are intended to address. Cash transfers grossly in excess of the amount needed to address the negative economic impact identified by the recipient would not be considered to be a response to the COVID-19 public health emergency or its negative impacts. In particular, when considering appropriate size of permissible cash transfers made in response to the COVID-19 public health emergency, state, local, territorial, and Tribal governments may consider and take guidance from the per person amounts previously provided by the federal government in response to the COVID crisis. 2.7. May funds be used to reimburse recipients for costs incurred by state and local governments in responding to the public health emergency and its negative economic impacts prior to passage of the American Rescue Plan? Use of Fiscal Recovery Funds is generally forward looking. The Interim Final Rule permits funds to be used to cover costs incurred beginning on March 3, 2021. 2.8. May recipients use funds for general economic development or workforce development? Generally, not. Recipients must demonstrate that funding uses directly address a negative economic impact of the COVID-19 public health emergency, including funds used for economic or workforce development. For example, job training for unemployed workers may be used to address negative economic impacts of the public health emergency and be eligible. 2.9. How can recipients use funds to assist the travel, tourism, and hospitality industries? Aid provided to tourism, travel, and hospitality industries should respond to the negative economic impacts of the pandemic. For example, a recipient may provide aid to support safe reopening of businesses in the tourism, travel and hospitality industries and to districts that were closed during the COVID-19 public health emergency, as well as aid a planned expansion or upgrade of tourism, travel and hospitality facilities delayed due to the pandemic. Tribal development districts are considered the commercial centers for tribal hospitality, gaming, tourism and entertainment industries. 2.10. May recipients use funds to assist impacted industries other than travel, tourism, and hospitality? Yes, provided that recipients consider the extent of the impact in such industries as compared to tourism, travel, and hospitality, the industries enumerated in the statute. For example, nationwide the leisure and hospitality industry has experienced an 0 AS OF JULY 19, 2021 approximately 17 percent decline in employment and 24 percent decline in revenue, on net, due to the COVID-19 public health emergency. Recipients should also consider whether impacts were due to the COVID-19 pandemic, as opposed to longer-term economic or industrial trends unrelated to the pandemic. Recipients should maintain records to support their assessment of how businesses or business districts receiving assistance were affected by the negative economic impacts of the pandemic and how the aid provided responds to these impacts. 2.11. How does the Interim Final Rule help address the disparate impact of COVID-19 on certain populations and geographies? In recognition of the disproportionate impacts of the COVID-19 virus on health and economic outcomes in low-income and Native American communities, the Interim Final Rule identifies a broader range of services and programs that are considered to be in response to the public health emergency when provided in these communities. Specifically, Treasury will presume that certain types of services are eligible uses when provided in a Qualified Census Tract (QCT), to families living in QCTs, or when these services are provided by Tribal governments. Recipients may also provide these services to other populations, households, or geographic areas disproportionately impacted by the pandemic. In identifying these disproportionately -impacted communities, recipients should be able to support their determination for how the pandemic disproportionately impacted the populations, households, or geographic areas to be served. Eligible services include: • Addressing health disparities and the social determinants of health, including: community health workers, public benefits navigators, remediation of lead paint or other lead hazards, and community violence intervention programs; • Building stronger neighborhoods and communities, including: supportive housing and other services for individuals experiencing homelessness, development of affordable housing, and housing vouchers and assistance relocating to neighborhoods with higher levels of economic opportunity; • Addressing educational disparities exacerbated by COVID-19, including: early learning services, increasing resources for high -poverty school districts, educational services like tutoring or afterschool programs, and supports for students' social, emotional, and mental health needs; and • Promoting healthy childhood environments, including: child care, home visiting programs for families with young children, and enhanced services for child welfare -involved families and foster youth. 7 AS OF JULY 19, 2021 2.12. May recipients use funds to pay for vaccine incentive programs (e.g., cash or in-kind transfers, lottery programs, or other incentives for individuals who get vaccinated)? Yes. Under the Interim Final Rule, recipients may use Coronavirus State and Local Fiscal Recovery Funds to respond to the COVID-19 public health emergency, including expenses related to COVID-19 vaccination programs. See 31 CFR 35.6(b)(1)(i). Programs that provide incentives reasonably expected to increase the number of people who choose to get vaccinated, or that motivate people to get vaccinated sooner than they otherwise would have, are an allowable use of funds so long as such costs are reasonably proportional to the expected public health benefit. 2.13. May recipients use funds to pay "back to work incentives" (e.g., cash payments for newly employed workers after a certain period of time on the job)? [5/27] Yes. Under the Interim Final Rule, recipients may use Coronavirus State and Local Fiscal Recovery Funds to provide assistance to unemployed workers. See 31 CFR 35.6(b)(4). This assistance can include job training or other efforts to accelerate rehiring and thus reduce unemployment, such as childcare assistance, assistance with transportation to and from a jobsite or interview, and incentives for newly employed workers. 2.14. The Coronavirus Relief Fund (CRF) included as an eligible use: "Payroll expenses for public safety, public health, health care, human services, and similar employees whose services are substantially dedicated to mitigating or responding to the COVID-19 public health emergency." What has changed in CSFRF/CLFRF, and what type of documentation is required under CSFRF/CLFRF? [5/27] Many of the expenses authorized under the Coronavirus Relief Fund are also eligible uses under the CSFRF/CLFRF. However, in the case of payroll expenses for public safety, public health, health care, human services, and similar employees (hereafter, public health and safety staff), the CSFRF/CLFRF does differ from the CRF. This change reflects the differences between the ARPA and CARES Act and recognizes that the response to the COVID-19 public health emergency has changed and will continue to change over time. In particular, funds may be used for payroll and covered benefits expenses for public safety, public health, health care, human services, and similar employees, including first responders, to the extent that the employee's time that is dedicated to responding to the COVID-19 public health emergency. For administrative convenience, the recipient may consider a public health and safety employee to be entirely devoted to mitigating or responding to the COVID-19 public health emergency, and therefore fully covered, if the employee, or his or her operating unit or division, is primarily dedicated (e.g., more than half of the employee's time is dedicated) to responding to the COVID-19 public health emergency. Recipients may use presumptions for assessing whether an employee, division, or operating unit is primarily dedicated to COVID-19 response. The recipient should AS OF JULY 19, 2021 maintain records to support its assessment, such as payroll records, attestations from supervisors or staff, or regular work product or correspondence demonstrating work on the COVID-19 response. Recipients need not routinely track staff hours. Recipients should periodically reassess their determinations. 2.15. What staff are included in "public safety, public health, health care, human services, and similar employees"? Would this include, for example, 911 operators, morgue staff, medical examiner staff, or EMS staff? [5/27] As discussed in the Interim Final Rule, funds may be used for payroll and covered benefits expenses for public safety, public health, health care, human services, and similar employees, for the portion of the employee's time that is dedicated to responding to the COVID-19 public health emergency. Public safety employees would include police officers (including state police officers), sheriffs and deputy sheriffs, firefighters, emergency medical responders, correctional and detention officers, and those who directly support such employees such as dispatchers and supervisory personnel. Public health employees would include employees involved in providing medical and other health services to patients and supervisory personnel, including medical staff assigned to schools, prisons, and other such institutions, and other support services essential for patient care (e.g., laboratory technicians, medical examiner or morgue staff) as well as employees of public health departments directly engaged in matters related to public health and related supervisory personnel. Human services staff include employees providing or administering social services; public benefits; child welfare services; and child, elder, or family care, as well as others. 2.16. May recipients use funds to establish a public jobs program? [6/8] Yes. The Interim Final Rule permits a broad range of services to unemployed or underemployed workers and other individuals that suffered negative economic impacts from the pandemic. That can include public jobs programs, subsidized employment, combined education and on-the-job training programs, or job training to accelerate rehiring or address negative economic or public health impacts experienced due to a worker's occupation or level of training. The broad range of permitted services can also include other employment supports, such as childcare assistance or assistance with transportation to and from a jobsite or interview. The Interim Final Rule includes as an eligible use re -hiring public sector staff up to the government's level of pre -pandemic employment. "Public sector staff' would not include individuals participating in a job training or subsidized employment program administered by the recipient. 2.17. The Interim Final Rule states that "assistance or aid to individuals or businesses that did not experience a negative economic impact from the public health emergency would not be an eligible use under this category." Are recipients 0 AS OF JULY 19, 2021 required to demonstrate that each individual or business experienced a negative economic impact for that individual or business to receive assistance? [6/23] Not necessarily. The Interim Final Rule allows recipients to demonstrate a negative economic impact on a population or group and to provide assistance to households or businesses that fall within that population or group. In such cases, the recipient need only demonstrate that the household or business is within the population or group that experienced a negative economic impact. For assistance to households, the Interim Final Rule states, "In assessing whether a household or population experienced economic harm as a result of the pandemic, a recipient may presume that a household or population that experienced unemployment or increased food or housing insecurity or is low- or moderate -income experienced negative economic impacts resulting from the pandemic." This would allow, for example, an internet access assistance program for all low- or moderate -income households, but would not require the recipient to demonstrate or document that each individual low- or - moderate income household experienced a negative economic impact from the COVID- 19 public health emergency apart from being low- or -moderate income. For assistance to small businesses, the Interim Final Rule states that assistance may be provided to small businesses, including loans, grants, in-kind assistance, technical assistance or other services, to respond to the negative economic impacts of the COVID- 19 public health emergency. In providing assistance to small businesses, recipients must design a program that responds to the negative economic impacts of the COVID-19 public health emergency, including by identifying how the program addresses the identified need or impact faced by small businesses. This can include assistance to adopt safer operating procedures, weather periods of closure, or mitigate financial hardship resulting from the COVID-19 public health emergency. As part of program design and to ensure that the program responds to the identified need, recipients may consider additional criteria to target assistance to businesses in need, including to small businesses. Assistance may be targeted to businesses facing financial insecurity, with substantial declines in gross receipts (e.g., comparable to measures used to assess eligibility for the Paycheck Protection Program), or facing other economic harm due to the pandemic, as well as businesses with less capacity to weather financial hardship, such as the smallest businesses, those with less access to credit, or those serving disadvantaged communities. For example, a recipient could find based on local data or research that the smallest businesses faced sharply increased risk of bankruptcy and develop a program to respond; such a program would only need to document a population or group -level negative economic impact, and eligibility criteria to limit access to the program to that population or group (in this case, the smallest businesses). In addition, recognizing the disproportionate impact of the pandemic on disadvantaged communities, the Interim Final Rule also identifies a set of services that are presumptively eligible when provided in a Qualified Census Tract (QCT); to families and individuals living in QCTs; to other populations, households, or geographic areas 10 AS OF JULY 19, 2021 identified by the recipient as disproportionately impacted by the pandemic; or when these services are provided by Tribal governments. For more information on the set of presumptively eligible services, see the Interim Final Rule section on Building Stronger Communities through Investments in Housing and Neighborhoods and FAQ 2.11. 2.18. Would investments in improving outdoor spaces (e.g. parks) be an eligible use of funds as a response to the public health emergency and/or its negative economic impacts? [6/23] There are multiple ways that investments in improving outdoor spaces could qualify as eligible uses; several are highlighted below, though there may be other ways that a specific investment in outdoor spaces would meet eligible use criteria. First, in recognition of the disproportionate negative economic impacts on certain communities and populations, the Interim Final Rule identifies certain types of services that are eligible uses when provided in a Qualified Census Tract (QCT), to families and individuals living in QCTs, or when these services are provided by Tribal governments. Recipients may also provide these services to other populations, households, or geographic areas disproportionately impacted by the pandemic. These programs and services include services designed to build stronger neighborhoods and communities and to address health disparities and the social determinants of health. The Interim Final Rule provides a non -exhaustive list of eligible services to respond to the needs of communities disproportionately impacted by the pandemic, and recipients may identify other uses of funds that do so, consistent with the Rule's framework. For example, investments in parks, public plazas, and other public outdoor recreation spaces may be responsive to the needs of disproportionately impacted communities by promoting healthier living environments and outdoor recreation and socialization to mitigate the spread of COVID-19. Second, recipients may provide assistance to small businesses in all communities. Assistance to small businesses could include support to enhance outdoor spaces for COVID-19 mitigation (e.g., restaurant patios) or to improve the built environment of the neighborhood (e.g., facade improvements). Third, many governments saw significantly increased use of parks during the pandemic that resulted in damage or increased maintenance needs. The Interim Final Rule recognizes that "decrease[s to] a state or local government's ability to effectively administer services" can constitute a negative economic impact of the pandemic. 2.19. Would expenses to address a COVID-related backlog in court cases be an eligible use of funds as a response to the public health emergency? [6/23] The Interim Final Rule recognizes that "decrease[s to] a state or local government's ability to effectively administer services," such as cuts to public sector staffing levels, can constitute a negative economic impact of the pandemic. During the COVID-19 public 11 AS OF JULY 19, 2021 health emergency, many courts were unable to operate safely during the pandemic and, as a result, now face significant backlogs. Court backlogs resulting from inability of courts to safely operate during the COVID-19 pandemic decreased the government's ability to administer services. Therefore, steps to reduce these backlogs, such as implementing COVID-19 safety measures to facilitate court operations, hiring additional court staff or attorneys to increase speed of case resolution, and other expenses to expedite case resolution are eligible uses. 2.20. Can funds be used to assist small business startups as a response to the negative economic impact of COVID-19? [6/23] As discussed in the Interim Final Rule, recipients may provide assistance to small businesses that responds to the negative economic impacts of COVID-19. The Interim Final Rule provides a non-exclusive list of potential assistance mechanisms, as well as considerations for ensuring that such assistance is responsive to the negative economic impacts of COVID-19. Treasury acknowledges a range of potential circumstances in which assisting small business startups could be responsive to the negative economic impacts of COVID-19, including for small businesses and individuals seeking to start small businesses after the start of the COVID-19 public health emergency. For example: • A recipient could assist small business startups with additional costs associated with COVID-19 mitigation tactics (e.g., barriers or partitions; enhanced cleaning; or physical plant changes to enable greater use of outdoor space). • A recipient could identify and respond to a negative economic impact of COVID- 19 on new small business startups; for example, if it could be shown that small business startups in a locality were facing greater difficult accessing credit than prior to the pandemic, faced increased costs to starting the business due to the pandemic, or that the small business had lost expected startup capital due to the pandemic. • The Interim Final Rule also discusses eligible uses that provide support for individuals who have experienced a negative economic impact from the COVID- 19 public health emergency, including uses that provide job training for unemployed individuals. These initiatives also may support small business startups and individuals seeking to start small businesses. 2.21. Can funds be used for eviction prevention efforts or housing stability services? [6/24] Yes. Responses to the negative economic impacts of the pandemic include "rent, mortgage, or utility assistance [and] counseling and legal aid to prevent eviction or homelessness." This includes housing stability services that enable eligible households to maintain or obtain housing, such as housing counseling, fair housing counseling, case management related to housing stability, outreach to households at risk of eviction or promotion of housing support programs, housing related services for survivors of 12 AS OF JULY 19, 2021 domestic abuse or human trafficking, and specialized services for individuals with disabilities or seniors that supports their ability to access or maintain housing. This also includes legal aid such as legal services or attorney's fees related to eviction proceedings and maintaining housing stability, court -based eviction prevention or eviction diversion programs, and other legal services that help households maintain or obtain housing. Recipients may transfer funds to, or execute grants or contracts with, court systems, non- profits, and a wide range of other organizations to implement these strategies. 3. Eligible Uses — Revenue Loss 3.1. How is revenue defined for the purpose of this provision? [appendix added 6/23] The Interim Final Rule adopts a definition of "General Revenue" that is based on, but not identical, to the Census Bureau's concept of "General Revenue from Own Sources" in the Annual Survey of State and Local Government Finances. General Revenue includes revenue from taxes, current charges, and miscellaneous general revenue. It excludes refunds and other correcting transactions, proceeds from issuance of debt or the sale of investments, agency or private trust transactions, and revenue generated by utilities and insurance trusts. General revenue also includes intergovernmental transfers between state and local governments, but excludes intergovernmental transfers from the Federal government, including Federal transfers made via a state to a locality pursuant to the CRF or the Fiscal Recovery Funds. Tribal governments may include all revenue from Tribal enterprises and gaming operations in the definition of General Revenue. Please see the appendix for a diagram of the Interim Final Rule's definition of General Revenue within the Census Bureau's revenue classification structure. 3.2. Will revenue be calculated on an entity -wide basis or on a source -by -source basis (e.g. property tax, income tax, sales tax, etc.)? Recipients should calculate revenue on an entity -wide basis. This approach minimizes the administrative burden for recipients, provides for greater consistency across recipients, and presents a more accurate representation of the net impact of the COVID- 19 public health emergency on a recipient's revenue, rather than relying on financial reporting prepared by each recipient, which vary in methodology used and which generally aggregates revenue by purpose rather than by source. 3.3. Does the definition of revenue include outside concessions that contract with a state or local government? 13 AS OF JULY 19, 2021 Recipients should classify revenue sources as they would if responding to the U.S. Census Bureau's Annual Survey of State and Local Government Finances. According to the Census Bureau's Government Finance and .Em anent 1 "i�.�ss�ilc .�t�on �n .�n�u .�i the following is an example of current charges that would be included in a state or local government's general revenue from own sources: "Gross revenue of facilities operated by a government (swimming pools, recreational marinas and piers, golf courses, skating rinks, museums, zoos, etc.); auxiliary facilities in public recreation areas (camping areas, refreshment stands, gift shops, etc.); lease or use fees from stadiums, auditoriums, and community and convention centers; and rentals from concessions at such facilities." 3.4. What is the time period for estimating revenue loss? Will revenue losses experienced prior to the passage of the Act be considered? Recipients are permitted to calculate the extent of reduction in revenue as of four points in time: December 31, 2020; December 31, 2021; December 31, 2022; and December 31, 2023. This approach recognizes that some recipients may experience lagged effects of the pandemic on revenues. Upon receiving Fiscal Recovery Fund payments, recipients may immediately calculate revenue loss for the period ending December 31, 2020. 3.5. What is the formula for calculating the reduction in revenue? A reduction in a recipient's General Revenue equals: nt Max { [Base Year Revenue* (1+Growth Adjustment)( 2�] - Actual General Revenuet ; 01 Where: Base Year Revenue is General Revenue collected in the most recent full fiscal year prior to the COVD-19 public health emergency. Growth Adjustment is equal to the greater of 4.1 percent (or 0.041) and the recipient's average annual revenue growth over the three full fiscal years prior to the COVID-19 public health emergency. n equals the number of months elapsed from the end of the base year to the calculation date. Actual General Revenue is a recipient's actual general revenue collected during 12 -month period ending on each calculation date. Subscript t denotes the calculation date. 14 AS OF JULY 19, 2021 3.6. Are recipients expected to demonstrate that reduction in revenue is due to the COVID-19 public health emergency? In the Interim Final Rule, any diminution in actual revenue calculated using the formula above would be presumed to have been "due to" the COVID-19 public health emergency. This presumption is made for administrative ease and in recognition of the broad-based economic damage that the pandemic has wrought. 3.7. May recipients use pre -pandemic projections as a basis to estimate the reduction in revenue? No. Treasury is disallowing the use of projections to ensure consistency and comparability across recipients and to streamline verification. However, in estimating the revenue shortfall using the formula above, recipients may incorporate their average annual revenue growth rate in the three full fiscal years prior to the public health emergency. 3.8. Once a recipient has identified a reduction in revenue, are there any restrictions on how recipients use funds up to the amount of the reduction? The Interim Final Rule gives recipients broad latitude to use funds for the provision of government services to the extent of reduction in revenue. Government services can include, but are not limited to, maintenance of infrastructure or pay -go spending for building new infrastructure, including roads; modernization of cybersecurity, including hardware, software, and protection of critical infrastructure; health services; environmental remediation; school or educational services; and the provision of police, fire, and other public safety services. However, paying interest or principal on outstanding debt, replenishing rainy day or other reserve funds, or paying settlements or judgments would not be considered provision of a government service, since these uses of funds do not entail direct provision of services to citizens. This restriction on paying interest or principal on any outstanding debt instrument, includes, for example, short-term revenue or tax anticipation notes, or paying fees or issuance costs associated with the issuance of new debt. In addition, the overarching restrictions on all program funds (e.g., restriction on pension deposits, restriction on using funds for non-federal match where barred by regulation or statute) would apply. 3.9. How do I know if a certain type of revenue should be counted for the purpose of computing revenue loss? [5/27] As discussed in FAQ #3.1, the Interim Final Rule adopts a definition of "General Revenue" that is based on, but not identical, to the Census Bureau's concept of "General Revenue from Own Sources" in the Annual Survey of State and Local Government Finances. 15 AS OF JULY 19, 2021 Recipients should refer to the definition of "General Revenue" included in the Interim Final Rule. See 31 CFR 35.3. If a recipient is unsure whether a particular revenue source is included in the Interim Final Rule's definition of "General Revenue," the recipient may consider the classification and instructions used to complete the Census Bureau's Annual Survey. For example, parking fees would be classified as a Current Charge for the purpose of the Census Bureau's Annual Survey, and the Interim Final Rule's concept of "General Revenue" includes all Current Charges. Therefore, parking fees would be included in the Interim Final Rule's concept of "General Revenue." The Census Bureau's Government Finance and Employment Classification manual is available hefe. ............................ 3.10. In calculating revenue loss, are recipients required to use audited financials? [6/8] Where audited data is not available, recipients are not required to obtain audited data. Treasury expects all information submitted to be complete and accurate. See 31 CFR 35.4(c). 3.11. In calculating revenue loss, should recipients use their own data, or Census data? [6/8] Recipients should use their own data sources to calculate general revenue, and do not need to rely on published revenue data from the Census Bureau. Treasury acknowledges that due to differences in timing, data sources, and definitions, recipients' self-reported general revenue figures may differ somewhat from those published by the Census Bureau. 3.12. Should recipients calculate revenue loss on a cash basis or an accrual basis? [6/8] Recipients may provide data on a cash, accrual, or modified accrual basis, provided that recipients are consistent in their choice of methodology throughout the covered period and until reporting is no longer required. 3.13. In identifying intergovernmental revenue for the purpose of calculating General Revenue, should recipients exclude all federal funding, or just federal funding related to the COVID-19 response? How should local governments treat federal funds that are passed through states or other entities, or federal funds that are intermingled with other funds? [6/23] In calculating General Revenue, recipients should exclude all intergovernmental transfers from the federal government. This includes, but is not limited to, federal transfers made via a state to a locality pursuant to the Coronavirus Relief Fund or Fiscal Recovery Funds. To the extent federal funds are passed through states or other entities or intermingled with other funds, recipients should attempt to identify and exclude the 16 AS OF JULY 19, 2021 federal portion of those funds from the calculation of General Revenue on a best-efforts basis. 3.14. What entities constitute a government for the purpose of calculating revenue loss? [7/14] In determining whether a particular entity is part of a recipient's government for purposes of measuring a recipient's government revenue, recipients should identify all the entities included in their government and the general revenue attributable to these entities on a best-efforts basis. Recipients are encouraged to consider how their administrative structure is organized under state and local statutes. In cases in which the autonomy of certain authorities, commissions, boards, districts, or other entities is not readily distinguishable from the recipient's government, recipients may adopt the Census Bureau's criteria for judging whether an entity is independent from, or a constituent of, a given government. For an entity to be independent, it generally meets all four of the following conditions: • The entity is an organized entity and possesses corporate powers, such as perpetual succession, the right to sue and be sued, having a name, the ability to make contracts, and the ability to acquire and dispose of property. • The entity has governmental character, meaning that it provides public services, or wields authority through a popularly elected governing body or officers appointed by public officials. A high degree of responsibility to the public, demonstrated by public reporting requirements or by accessibility of records for public inspection, also evidences governmental character. • The entity has substantial fiscal independence, meaning it can determine its budget without review and modification by other governments. For instance, the entity can determine its own taxes, charges, and debt issuance without another government's supervision. • The entity has substantial administrative independence, meaning it has a popularly elected governing body, or has a governing body representing two or more governments, or, in the event its governing body is appointed by another government, the entity performs functions that are essentially different from those of, and are not subject to specification by, its creating government. If an entity does not meet all four of these conditions, a recipient may classify the entity as part of the recipient's government and assign the portion of General Revenue that corresponds to the entity. To further assist recipients in applying the forgoing criteria, recipients may refer to the Census Bureau's bulli rrlual Sll 1�F 1.1e � r rlion,v- 20.17 �"�Frr,sv,s° (a�`��`�a��a�Frrrmenls publication, which lists specific entities and classes of entities classified as either independent (defined by Census as "special purpose governments") or constituent (defined by Census as "dependent agencies") on a state -by -state basis. Recipients should note that the Census Bureau's lists are not exhaustive and that Census classifications are based on an analysis of state and local statutes as of 2017 and subject to the Census Bureau's judgement. Though not included in the Census Bureau's publication, state 17 AS OF JULY 19, 2021 colleges and universities are generally classified as dependent agencies of state governments by the Census Bureau. If an entity is determined to be part of the recipient's government, the recipient must also determine whether the entity's revenue is covered by the Interim Final Rule's definition of "general revenue." For example, some cash flows may be outside the definition of "general revenue." In addition, note that the definition of general revenue includes Tribal enterprises in the case of Tribal governments. Refer to FAQ 3.1 (and the Appendix) for the components included in General Revenue. 3.15. The Interim Final Rule's definition of General Revenue excludes revenue generated by utilities. Can you please clarify the definition of utility revenue? [7/14] As noted in FAQs 3.1 and 3.9, the Interim Final Rule adopts a definition of "general revenue" that is based on, but not identical to, the Census Bureau's concept of "General Revenue from Own Sources" in the Annual Survey of State and Local Government Finances. Recipients should refer to the definition of "general revenue" included in the Interim Final Rule. See 31 CFR 35.3. If a recipient is unsure whether a particular revenue source is included in the Interim Final Rule's definition of "general revenue," the recipient may consider the classification and instructions used to complete the Census Bureau's Annual Survey. According to the Census Bureau's (iovernment Finance and..........................l�ry�nent 1 "i��ss�ilc �t�on n a..nual., utility revenue is defined as "[g]ross receipts from sale of utility commodities or services to the public or other governments by publicly -owned and controlled utilities." This includes revenue from operations of publicly -owned and controlled water supply systems, electric power systems, gas supply systems, and public mass transit systems (see pages 4-45 and 4-46 of the manual for more detail). Except for these four types of utilities, revenues from all commercial -type activities of a recipient's government (e.g., airports, educational institutions, lotteries, public hospitals, public housing, parking facilities, port facilities, sewer or solid waste systems, and toll roads and bridges) are covered by the Interim Final Rule's definition of "general revenue." If a recipient is unsure whether a particular entity performing one of these commercial -type activities can be considered part of the recipient's government, please see FAQ 3.14. 4. Eligible Uses — General 4.1. May recipients use funds to replenish a budget stabilization fund, rainy day fund, or similar reserve account? No. Funds made available to respond to the public health emergency and its negative economic impacts are intended to help meet pandemic response needs and provide immediate stabilization for households and businesses. Contributions to rainy day funds IN AS OF JULY 19, 2021 and similar reserves funds would not address these needs or respond to the COVID-19 public health emergency, but would rather be savings for future spending needs. Similarly, funds made available for the provision of governmental services (to the extent of reduction in revenue) are intended to support direct provision of services to citizens. Contributions to rainy day funds are not considered provision of government services, since such expenses do not directly relate to the provision of government services. 4.2. May recipients use funds to invest in infrastructure other than water, sewer, and broadband projects (e.g. roads, public facilities)? Under 602(c)(1)(C) or 603(c)(1)(C), recipients may use funds for maintenance of infrastructure or pay -go spending for building of new infrastructure as part of the general provision of government services, to the extent of the estimated reduction in revenue due to the public health emergency. Under 602(c)(1)(A) or 603(c)(1)(A), a general infrastructure project typically would not be considered a response to the public health emergency and its negative economic impacts unless the project responds to a specific pandemic -related public health need (e.g., investments in facilities for the delivery of vaccines) or a specific negative economic impact of the pandemic (e.g., affordable housing in a Qualified Census Tract). 4.3. May recipients use funds to pay interest or principal on outstanding debt? No. Expenses related to financing, including servicing or redeeming notes, would not address the needs of pandemic response or its negative economic impacts. Such expenses would also not be considered provision of government services, as these financing expenses do not directly provide services or aid to citizens. This applies to paying interest or principal on any outstanding debt instrument, including, for example, short-term revenue or tax anticipation notes, or paying fees or issuance costs associated with the issuance of new debt. 4.4. May recipients use funds to satisfy nonfederal matching requirements under the Stafford Act? May recipients use funds to satisfy nonfederal matching requirements generally? Fiscal Recovery Funds are subject to pre-existing limitations in other federal statutes and regulations and may not be used as non-federal match for other Federal programs whose statute or regulations bar the use of Federal funds to meet matching requirements. For example, expenses for the state share of Medicaid are not an eligible use. For information on FEMA programs, please see,he„,. 4.5. Are governments required to submit proposed expenditures to Treasury for approval? [5/27] 19 AS OF JULY 19, 2021 No. Recipients are not required to submit planned expenditures for prior approval by Treasury. Recipients are subject to the requirements and guidelines for eligible uses contained in the Interim Final Rule. 4.6. How do I know if a specific use is eligible? [5/27] Fiscal Recovery Funds must be used in one of the four eligible use categories specified in the American Rescue Plan Act and implemented in the Interim Final Rule: a) To respond to the public health emergency or its negative economic impacts, including assistance to households, small businesses, and nonprofits, or aid to impacted industries such as tourism, travel, and hospitality; b) To respond to workers performing essential work during the COVID-19 public health emergency by providing premium pay to eligible workers; c) For the provision of government services to the extent of the reduction in revenue due to the COVID-19 public health emergency relative to revenues collected in the most recent full fiscal year prior to the emergency; and d) To make necessary investments in water, sewer, or broadband infrastructure. Recipients should consult Section II of the Interim Final Rule for additional information on eligible uses. For recipients evaluating potential uses under (a), the Interim Final Rule contains a non-exclusive list of programs or services that may be funded as responding to COVID-19 or the negative economic impacts of the COVID-19 public health emergency, along with considerations for evaluating other potential uses of Fiscal Recovery Funds not explicitly listed. See Section II of the Interim Final Rule for additional discussion. For recipients evaluating potential uses under (c), the Interim Final Rule gives recipients broad latitude to use funds for the provision of government services to the extent of reduction in revenue. See FAQ #3.8 for additional discussion. For recipients evaluating potential uses under (b) and (d), see Sections 5 and 6. 4.7. Do restrictions on using Coronavirus State and Local Fiscal Recovery Funds to cover costs incurred beginning on March 3, 2021 apply to costs incurred by the recipient (e.g., a State, local, territorial, or Tribal government) or to costs incurred by households, businesses, and individuals benefiting from assistance provided using Coronavirus State and Local Fiscal Recovery Funds? [6/8] The Interim Final Rule permits funds to be used to cover costs incurred beginning on March 3, 2021. This limitation applies to costs incurred by the recipient (i.e., the state, local, territorial, or Tribal government receiving funds). However, recipients may use Coronavirus State and Local Fiscal Recovery Funds to provide assistance to households, businesses, and individuals within the eligible use categories described in the Interim 20 AS OF JULY 19, 2021 Final Rule for economic harms experienced by those households, businesses, and individuals prior to March 3, 2021. For example, • Public Health/Negative Economic Impacts — Recipients may use Coronavirus State and Local Fiscal Recovery Funds to provide assistance to households — such as rent, mortgage, or utility assistance — for economic harms experienced or costs incurred by the household prior to March 3, 2021 (e.g., rental arrears from preceding months), provided that the cost of providing assistance to the household was not incurred by the recipient prior to March 3, 2021. • Premium Pay — Recipients may provide premium pay retrospectively for work performed at any time since the start of the COVID-19 public health emergency. Such premium pay must be "in addition to" wages and remuneration already received and the obligation to provide such pay must not have been incurred by the recipient prior to March 3, 2021. • Revenue Loss — The Interim Final Rule gives recipients broad latitude to use funds for the provision of government services to the extent of reduction in revenue. The calculation of lost revenue begins with the recipient's revenue in the last full fiscal year prior to the COVID-19 public health emergency and includes the 12 -month period ending December 31, 2020. However, use of funds for government services must be forward looking for costs incurred by the recipient after March 3, 2021. • Investments in Water, Sewer, and Broadband — Recipients may use Coronavirus State and Local Fiscal Recovery Funds to make necessary investments in water, sewer, and broadband. See FAQ Section 6. Recipients may use Coronavirus State and Local Fiscal Recovery Funds to cover costs incurred for eligible projects planned or started prior to March 3, 2021, provided that the project costs covered by the Coronavirus State and Local Fiscal Recovery Funds were incurred after March 3, 2021. 4.8. How can I use CSFRF/CLFRF funds to prevent and respond to crime, and support public safety in my community? [6/23] Under Treasury's Interim Final Rule, there are many ways in which the State and Local Fiscal Recovery Funds ("Funds") under the American Rescue Plan Act can support communities working to reduce and respond to increased violence due to the pandemic. Among the eligible uses of the Funds are restoring of public sector staff to their pre - pandemic levels and responses to the public health crisis and negative economic impacts resulting from the pandemic. The Interim Final Rule provides several ways for recipients to "respond to" this pandemic -related gun violence, ranging from community violence intervention programs to mental health services to hiring of public safety personnel. Below are some examples of how Fiscal Recovery Funds can be used to address public safety: • In all communities, recipients may use resources to rehire police officers and other public servants to restore law enforcement and courts to their pre -pandemic levels. 21 AS OF JULY 19, 2021 Additionally, Funds can be used for expenses to address COVID-related court backlogs, including hiring above pre -pandemic levels, as a response to the public health emergency. See FAQ 2.19. • In communities where an increase in violence or increased difficulty in accessing or providing services to respond to or mitigate the effects of violence, is a result of the pandemic they may use funds to address that harm. This spending may include: o Hiring law enforcement officials — even above pre -pandemic levels — or paying overtime where the funds are directly focused on advancing community policing strategies in those communities experiencing an increase in gun violence associated with the pandemic o Community Violence Intervention (CVI) programs, including capacity building efforts at CVI programs like funding and training additional intervention workers o Additional enforcement efforts to reduce gun violence exacerbated by the pandemic, including prosecuting gun traffickers, dealers, and other parties contributing to the supply of crime guns, as well as collaborative federal, state, and local efforts to identify and address gun trafficking channels o Investing in technology and equipment to allow law enforcement to more efficiently and effectively respond to the rise in gun violence resulting from the pandemic As discussed in the Interim Final Rule, uses of CSFRF/CLFRF funds that respond to an identified harm must be related and reasonably proportional to the extent and type of harm experienced; uses that bear no relation or are grossly disproportionate to the type or extent of harm experienced would not be eligible uses. • Recipients may also use funds up to the level of revenue loss for government services, including those outlined above. Recognizing that the pandemic exacerbated mental health and substance use disorder needs in many communities, eligible public health services include mental health and other behavioral health services, which are a critical component of a holistic public safety approach. This could include: Mental health services and substance use disorder services, including for individuals experiencing trauma exacerbated by the pandemic, such as: - Community-based mental health and substance use disorder programs that deliver evidence -based psychotherapy, crisis support services, medications for opioid use disorder, and/or recovery support - School-based social -emotional support and other mental health services Referrals to trauma recovery services for crime victims. Recipients also may use Funds to respond to the negative economic impacts of the public health emergency, including: • Assistance programs to households or populations facing negative economic impacts of the public health emergency, including: 22 AS OF JULY 19, 2021 - Assistance to support economic security, including for the victims of crime; - Housing assistance, including rent, utilities, and relocation assistance; - Assistance with food, including Summer EBT and nutrition programs; and - Employment or job training services to address negative economic or public health impacts experienced due to a worker's occupation or level of training. Assistance to unemployed workers, including: - Subsidized jobs, including for young people. Summer youth employment programs directly address the negative economic impacts of the pandemic on young people and their families and communities; - Programs that provide paid training and/or work experience targeted primarily to (1) formerly incarcerated individuals, and/or (2) communities experiencing high levels of violence exacerbated by the pandemic; - Programs that provide workforce readiness training, apprenticeship or pre - apprenticeship opportunities, skills development, placement services, and/or coaching and mentoring; and - Associated wraparound services, including for housing, health care, and food. Recognizing the disproportionate impact of the pandemic on certain communities, a broader range of services are eligible in those communities than would otherwise be available in communities not experiencing a pandemic -related increase in crime or gun violence. These eligible uses aim to address the pandemic's exacerbation of public health and economic disparities and include services to address health and educational disparities, support neighborhoods and affordable housing, and promote healthy childhood environments. The Interim Final Rule provides a non -exhaustive list of eligible services in these categories. These services automatically qualify as eligible uses when provided in Qualified Census Tracts (QCTs), low-income areas designated by HUD; to families in QCTs; or by Tribal governments. Outside of these areas, recipient governments can also identify and serve households, populations, and geographic areas disproportionately impacted by the pandemic. Services under this category could include: Programs or services that address or mitigate the impacts of the COVID-19 public health emergency on education, childhood health and welfare, including: o Summer education and enrichment programs in these communities, which include many communities currently struggling with high levels of violence; o Programs that address learning loss and keep students productively engaged; o Enhanced services for foster youths and home visiting programs; and o Summer camps and recreation. • Programs or services that provide or facilitate access to health and social services and address health disparities exacerbated by the pandemic. This includes Community Violence Intervention (CVI) programs, such as: o Evidence -based practices like focused deterrence, street outreach, violence interrupters, and hospital-based violence intervention models, complete with 23 AS OF JULY 19, 2021 wraparound services such as behavioral therapy, trauma recovery, job training, education, housing and relocation services, and financial assistance; and, o Capacity -building efforts at CVI programs like funding more intervention workers; increasing their pay; providing training and professional development for intervention workers; and hiring and training workers to administer the programs. Please refer to Treasury's Interim Final Rule for additional information. 4.9. May recipients pool funds for regional projects? [7/14] Yes, provided that the project is itself an eligible use of funds and that recipients can track the use of funds in line with the reporting and compliance requirements of the CSFRF/CLFRF. In general, when pooling funds for regional projects, recipients may expend funds directly on the project or transfer funds to another government that is undertaking the project on behalf of multiple recipients. To the extent recipients undertake regional projects via transfer to another government, recipients would need to comply with the rules on transfers specified in the Interim Final Rule, Section V. A recipient may transfer funds to a government outside its boundaries (e.g., county transfers to a neighboring county), provided that the recipient can document that its jurisdiction receives a benefit proportionate to the amount contributed. 4.10. May recipients fund a project with both ARP funds and other sources of funding (e.g., blending, braiding, or other pairing funding sources), including in conjunction with financing provided through a debt issuance? [7/14] Cost sharing or matching funds are not required under CSFRF/CLFRF. Funds may be used in conjunction with other funding sources, provided that the costs are eligible costs under each source program and are compliant with all other related statutory and regulatory requirements and policies. The recipient must comply with applicable reporting requirements for all sources of funds supporting the CSFRF/CLFRF projects, and with any requirements and restrictions on the use of funds from the supplemental funding sources and the CSFRF/CLFRF program. Specifically, • All funds provided under the CSFRF/CLFRF program must be used for projects, investments, or services that are eligible under the CSFRF/CLFRF statute, Treasury's Interim Final Rule, and guidance. See 31 CFR 35.6-8; FAQ 4.6. CSFRF/CLFRF funds may not be used to fund an activity that is not, in its entirety, an eligible use under the CSFRF/CLFRF statute, Treasury's Interim Final Rule, and guidance. For example, o CSFRF/CLFRF funds may be used in conjunction with other sources of funds to make an investment in water infrastructure, which is eligible under the CSLFRF statute, and Treasury's Interim Final Rule. o CSFRF/CLFRF funds could not be used to fund the entirety of a water infrastructure project that was partially, although not entirely, an eligible use under Treasury's Interim Final Rule. However, the recipient could use CSFRF/CLFRF funds only for a smaller component project that does 24 AS OF JULY 19, 2021 constitute an eligible use, while using other funds for the remaining portions of the larger planned water infrastructure project that do not constitute an eligible use. In this case, the "project" under this program would be only the eligible use component of the larger project. • In addition, because CSFRF/CLFRF funds must be obligated by December 31, 2024, and expended by December 31, 2026, recipients must be able to, at a minimum, determine and report to Treasury on the amount of CSFRF/CLFRF funds obligated and expended and when such funds were obligated and expended. 4.11. May Coronavirus State and Local Fiscal Recovery Funds be used to make loans or other extensions of credit ("loans"), including loans to small businesses and loans to finance necessary investments in water, sewer, and broadband infrastructure? [7/141 Yes. Coronavirus State and Local Fiscal Recovery Funds ("Funds") may be used to make loans, provided that the loan is an eligible use and the cost of the loan is tracked and reported in accordance with the points below. See 31 CFR 35.6. For example, a recipient may use Coronavirus State and Local Fiscal Recovery Funds to make loans to small businesses. See 31 CFR 35.6(b)(6). In addition, a recipient may use Funds to finance a necessary investment in water, sewer or broadband, as described in the Interim Final Rule. See 31 CFR 35.6(e). Funds must be used to cover "costs incurred" by the recipient between March 3, 2021, and December 31, 2024, and Funds must be expended by December 31, 2026. See Section III.D of the Interim Final Rule; 31 CFR 35.5. Accordingly, recipients must be able to determine the amount of Funds used to make a loan. For loans that mature or are forgiven on or before December 31, 2026, the recipient must account for the use of funds on a cash flow basis, consistent with the approach to loans taken in the Coronavirus Relief Fund. o Recipients may use Fiscal Recovery Funds to fund the principal of the loan and in that case must track repayment of principal and interest (i.e., "program income," as defined under 2 CFR 200). o When the loan is made, recipients must report the principal of the loan as an expense. o Repayment of principal may be re -used only for eligible uses, and subject to restrictions on timing of use of funds. Interest payments received prior to the end of the period of performance will be considered an addition to the total award and may be used for any purpose that is an eligible use of funds under the statute and IFR. Recipients are not subject to restrictions under 2 CFR 200.307(e)(1) with respect to such payments. • For loans with maturities longer than December 31, 2026, the recipient may use Fiscal Recovery Funds for only the projected cost of the loan. Recipients may estimate the subsidy cost of the loan, which equals the expected cash flows associated 25 AS OF JULY 19, 2021 with the loan discounted at the recipient's cost of funding. A recipient's cost of funding can be determined based on the interest rates of securities with a similar maturity to the cash flow being discounted that were either (i) recently issued by the recipient or (ii) recently issued by a unit of state, local, or Tribal government similar to the recipient. Recipients that have adopted the Current Expected Credit Loss (CECL) standard may also treat the cost of the loan as equal to the CECL-based expected credit losses over the life of the loan. Recipients may measure projected losses either once, at the time the loan is extended, or annually over the covered period. Under either approach for measuring the amount of funds used to make loans with maturities longer than December 31, 2026, recipients would not be subject to restrictions under 2 CFR 200.307(e)(1) and need not separately track repayment of principal or interest. Any contribution of Fiscal Recovery Funds to a revolving loan fund must follow the approach described above for loans with maturities longer than December 31, 2026. In other words, a recipient could contribute Fiscal Recovery Funds to a revolving loan fund, provided that the revolving loan fund makes loans that are eligible uses and the Fiscal Recovery Funds contributed represent the projected cost of loans made over the life of the revolving loan fund. 4.12. May funds be used for outreach to increase uptake of federal assistance like the Child Tax Credit or federal programs like SNAP? [7/14] Yes. Eligible uses to address negative economic impacts include work "to improve efficacy of programs addressing negative economic impacts, including through use of data analysis, targeted consumer outreach, improvements to data or technology infrastructure, and impact evaluations." See 31 CFR 35.6(b)(10). Of note, per the CSFRF/CLFRF V1',ep �� ng Q!jidance,, allowable use of funds for evaluations may also include other types of program evaluations focused on program improvement and evidence building. In addition, recipients may use funds to facilitate access to health and social services in populations and communities disproportionately impacted by the COVID-19 pandemic, including benefits navigators or marketing efforts to increase consumer uptake of federal tax credits, benefits, or assistance programs that respond to negative economic impacts of the pandemic. See 31 CFR 35.6(b)(12). 5. Eligible Uses — Premium Pay 5.1. What criteria should recipients use in identifying essential workers to receive premium pay? Essential workers are those in critical infrastructure sectors who regularly perform in- person work, interact with others at work, or physically handle items handled by others. 26 AS OF JULY 19, 2021 Critical infrastructure sectors include healthcare, education and childcare, transportation, sanitation, grocery and food production, and public health and safety, among others, as provided in the Interim Final Rule. Governments receiving Fiscal Recovery Funds have the discretion to add additional sectors to this list, so long as the sectors are considered critical to protect the health and well-being of residents. The Interim Final Rule emphasizes the need for recipients to prioritize premium pay for lower income workers. Premium pay that would increase a worker's total pay above 150% of the greater of the state or county average annual wage requires specific justification for how it responds to the needs of these workers. 5.2. What criteria should recipients use in identifying third -party employers to receive grants for the purpose of providing premium pay to essential workers? Any third -party employers of essential workers are eligible. Third -party contractors who employ essential workers in eligible sectors are also eligible for grants to provide premium pay. Selection of third -party employers and contractors who receive grants is at the discretion of recipients. To ensure any grants respond to the needs of essential workers and are made in a fair and transparent manner, the rule imposes some additional reporting requirements for grants to third -party employers, including the public disclosure of grants provided. 5.3. May recipients provide premium pay retroactively for work already performed? Yes. Treasury encourages recipients to consider providing premium pay retroactively for work performed during the pandemic, recognizing that many essential workers have not yet received additional compensation for their service during the pandemic. 6. Eligible Uses — Water, Sewer, and Broadband Infrastructure 6.1. What types of water and sewer projects are eligible uses of funds? The Interim Final Rule generally aligns eligible uses of the Funds with the wide range of types or categories of projects that would be eligible to receive financial assistance through the Environmental Protection Agency's Clean Water State Revolving Fund (CWSRF) or Drinking Water State Revolving Fund (DWSRF). Under the DWSRF, categories of of gibie pn include: treatment, transmission and distribution (including lead service line replacement), source rehabilitation and decontamination, storage, consolidation, and new systems development. Under the CWSRF, categories of elgibie pn�?� include: construction of publicly - owned treatment works, nonpoint source pollution management, national estuary program projects, decentralized wastewater treatment systems, stormwater systems, water 27 AS OF JULY 19, 2021 conservation, efficiency, and reuse measures, watershed pilot projects, energy efficiency measures for publicly -owned treatment works, water reuse projects, security measures at publicly -owned treatment works, and technical assistance to ensure compliance with the Clean Water Act. As mentioned in the Interim Final Rule, eligible projects under the DWSRF and CWSRF support efforts to address climate change, as well as to meet cybersecurity needs to protect water and sewer infrastructure. Given the lifelong impacts of lead exposure for children, and the widespread nature of lead service lines, Treasury also encourages recipients to consider projects to replace lead service lines. 6.2. May construction on eligible water, sewer, or broadband infrastructure projects continue past December 31, 2024, assuming funds have been obligated prior to that date? Yes. Treasury is interpreting the requirement that costs be incurred by December 31, 2024 to only require that recipients have obligated the funds by such date. The period of performance will run until December 31, 2026, which will provide recipients a reasonable amount of time to complete projects funded with Fiscal Recovery Funds. 6.3. May recipients use funds as a non-federal match for the Clean Water State Revolving Fund (CWSRF) or Drinking Water State Revolving Fund (DWSRF)? Recipients may not use funds as a state match for the CWSRF and DWSRF due to prohibitions in utilizing federal funds as a state match in the authorizing statutes and regulations of the CWSRF and DWSRF. 6.4. Does the National Environmental Policy Act (NEPA) apply to eligible infrastructure projects? NEPA does not apply to Treasury's administration of the Funds. Projects supported with payments from the Funds may still be subject to NEPA review if they are also funded by other federal financial assistance programs. 6.5. What types of broadband projects are eligible? The Interim Final Rule requires eligible projects to reliably deliver minimum speeds of 100 Mbps download and 100 Mbps upload. In cases where it is impracticable due to geography, topography, or financial cost to meet those standards, projects must reliably deliver at least 100 Mbps download speed, at least 20 Mbps upload speed, and be scalable to a minimum of 100 Mbps download speed and 100 Mbps upload speed. Projects must also be designed to serve unserved or underserved households and businesses, defined as those that are not currently served by a wireline connection that reliably delivers at least 25 Mbps download speed and 3 Mbps of upload speed. AS OF JULY 19, 2021 6.6. For broadband investments, may recipients use funds for related programs such as cybersecurity or digital literacy training? Yes. Recipients may use funds to provide assistance to households facing negative economic impacts due to Covid-19, including digital literacy training and other programs that promote access to the Internet. Recipients may also use funds for modernization of cybersecurity, including hardware, software, and protection of critical infrastructure, as part of provision of government services up to the amount of revenue lost due to the public health emergency. 6.7. How do I know if a water, sewer, or broadband project is an eligible use of funds? Do I need pre -approval? [6/8] Recipients do not need approval from Treasury to determine whether an investment in a water, sewer, or broadband project is eligible under CSFRF/CLFRF. Each recipient should review the Interim Final Rule (IFR), along with the preamble to the Interim Final Rule, in order to make its own assessment of whether its intended project meets the eligibility criteria in the IFR. A recipient that makes its own determination that a project meets the eligibility criteria as outlined in the IFR may pursue the project as a CSFRF/CLFRF project without pre -approval from Treasury. Local government recipients similarly do not need state approval to determine that a project is eligible under CSFRF/CLFRF. However, recipients should be cognizant of other federal or state laws or regulations that may apply to construction projects independent of CSFRF/CLFRF funding conditions and that may require pre -approval. ............................................. "lean " `,.iter For water an sewer projects, the IFR refers tot e EPA n� Viten an State Revolving Funds (SRFs) for the categories of projects and activities that are eligible for funding. Recipients should look at the relevant federal statutes, regulations, and guidance issued by the EPA to determine whether a water or sewer project is eligible. Of note, the IFR does not incorporate any other requirements contained in the federal statutes governing the SRFs or any conditions or requirements that individual states may place on their use of SRFs. 6.8. For broadband infrastructure investments, what does the requirement that infrastructure "be designed to" provide service to unserved or underserved households and businesses mean? [6/17] Designing infrastructure investments to provide service to unserved or underserved households or businesses means prioritizing deployment of infrastructure that will bring service to households or businesses that are not currently serviced by a wireline connection that reliably delivers at least 25 Mbps download speed and 3 Mbps of upload speed. To meet this requirement, states and localities should use funds to deploy broadband infrastructure projects whose objective is to provide service to unserved or underserved households or businesses. These unserved or underserved households or businesses do not need to be the only ones in the service area funded by the project. 29 AS OF JULY 19, 2021 6.9. For broadband infrastructure to provide service to "unserved or underserved households or businesses," must every house or business in the service area be unserved or underserved? [6/17] No. It suffices that an objective of the project is to provide service to unserved or underserved households or businesses. Doing so may involve a holistic approach that provides service to a wider area in order, for example, to make the ongoing service of unserved or underserved households or businesses within the service area economical. Unserved or underserved households or businesses need not be the only households or businesses in the service area receiving funds. 6.10. May recipients use payments from the Funds for "middle mile" broadband projects? [6/17] Yes. Under the Interim Final Rule, recipients may use payments from the Funds for "middle -mile projects," but Treasury encourages recipients to focus on projects that will achieve last -mile connections—whether by focusing on funding last -mile projects or by ensuring that funded middle -mile projects have potential or partnered last -mile networks that could or would leverage the middle -mile network. 6.11. For broadband infrastructure investments, what does the requirement to "reliably" meet or exceed a broadband speed threshold mean? [6/17] In the Interim Final Rule, the term "reliably" is used in two places: to identify areas that are eligible to be the subject of broadband infrastructure investments and to identify expectations for acceptable service levels for broadband investments funded by the Coronavirus State and Local Fiscal Recovery Funds. In particular: • The IFR defines "unserved or underserved households or businesses" to mean one or more households or businesses that are not currently served by a wireline connection that reliably delivers at least 25 Mbps download speeds and 3 Mbps of upload speeds. • The IFR provides that a recipient may use Coronavirus State and Local Fiscal Recovery Funds to make investments in broadband infrastructure that are designed to provide service to unserved or underserved households or businesses and that are designed to, upon completion: (i) reliably meet or exceed symmetrical 100 Mbps download speed and upload speeds; or (ii) in limited cases, reliably meet or exceed 100 Mbps download speed and between 20 Mbps and 100 Mbps upload speed and be scalable to a minimum of 100 Mbps download and upload speeds. The use of "reliably" in the IFR provides recipients with significant discretion to assess whether the households and businesses in the area to be served by a project have access to wireline broadband service that can actually and consistently meet the specified thresholds of at least 25Mbps/3Mbpsi.e., to consider the actual experience of current 30 AS OF JULY 19, 2021 wireline broadband customers that subscribe to services at or above the 25 Mbps/3 Mbps threshold. Whether there is a provider serving the area that advertises or otherwise claims to offer speeds that meet the 25 Mbps download and 3 Mbps upload speed thresholds is not dispositive. When making these assessments, recipients may choose to consider any available data, including but not limited to documentation of existing service performance, federal and/or state -collected broadband data, user speed test results, interviews with residents and business owners, and any other information they deem relevant. In evaluating such data, recipients may take into account a variety of factors, including whether users actually receive service at or above the speed thresholds at all hours of the day, whether factors other than speed such as latency or jitter, or deterioration of the existing connections make the user experience unreliable, and whether the existing service is being delivered by legacy technologies, such as copper telephone lines (typically using Digital Subscriber Line technology) or early versions of cable system technology (DOCSIS 2.0 or earlier). The IFR also provides recipients with significant discretion as to how they will assess whether the project itself has been designed to provide households and businesses with broadband services that meet, or even exceed, the speed thresholds provided in the rule. 6.12. May recipients use Funds for pre -project development for eligible water, sewer, and broadband projects? [6/231 Yes. To determine whether Funds can be used on pre -project development for an eligible water or sewer project, recipients should consult whether the pre-proj ect development use or cost is eligible under the Drinking Water and Clean Water State Revolving Funds (CWSRF and DWSRF, respectively). Generally, the CWSRF and DWSRF often allow for pre -project development costs that are tied to an eligible project, as well as those that are reasonably expected to lead to a project. For example, the DWSRF aiiows for planning and evaluations uses, as well as numerous pre -project development costs, including costs associated with obtaining project authorization, planning and design, and project start-up like training and warranty for equipment. Likewise, the CWSRF.a..1 I o..ws for broad pre -project development, including planning and assessment activities, such as cost and effectiveness analyses, water/energy audits and conservation plans, and capital improvement plans. Similarly, pre -project development uses and costs for broadband projects should be tied to an eligible broadband projector reasonably expected to lead to such a project. For example, pre -project costs associated with planning and engineering for an eligible broadband infrastructure build -out is considered an eligible use of funds, as well as technical assistance and evaluations that would reasonably be expected to lead to commencement of an eligible project (e.g., broadband mapping for the purposes of finding an eligible area for investment). 31 AS OF JULY 19, 2021 All funds must be obligated within the statutory period between March 3, 2021 and December 31, 2024, and expended to cover such obligations by December 31, 2026. 6.13. May State and Local Fiscal Recovery Funds be used to support energy or electrification infrastructure that would be used to power new water treatment plants and wastewater systems? [7/14] The EPA's Overviev� ol. 1 lean Water State 11e�✓o ving Fun [�Iic b lities describes eligible energy-related projects. This includes a "[p]ro rata share of capital costs of offsite clean energy facilities that provide power to a treatment works." Thus, State and Local Fiscal Recovery Funds may be used to finance the generation and delivery of clean power to a wastewater system or a water treatment plant on a pro -rata basis. If the wastewater system or water treatment plant is the sole user of the clean energy, the full cost would be considered an eligible use of funds. If the clean energy provider provides power to other entities, only the proportionate share used by the water treatment plant or wastewater system would be an eligible use of State and Local Fiscal Recovery Funds. 6.14. How should states and local governments assess whether a stormwater management project, such as a culvert replacement, is an eligible project for State and Local Fiscal Recovery Funds? [7/14] FAQ 6.7 describes the overall approach that recipients may take to evaluate the eligibility of water or sewer projects. For stormwater management projects specifically, as noted in the EPA's Overview of Clean Watt Stints 11evolvin�..:ll�und .l. Iiaib lities, "Stormwater projects must have a water quality benefit." Thus, to be eligible under CSFRF/CLFRF, stormwater management projects should be designed to incorporate water quality benefits consistent with the goals of the Clean Water Act. °a;qm.. al of"the Clean Winter Act. 6.15. May recipients use Funds for road repairs and upgrades that occur in connection with an eligible water or sewer project? [7/14] Yes, recipients may use State and Local Fiscal Recovery Funds for road repairs and upgrades directly related to an eligible water or sewer project. For example, a recipient could use Funds to repair or re -pave a road following eligible sewer repair work beneath it. However, use of Funds for general infrastructure projects is subject to the limitations described in FAQ 4.2. Water and sewer infrastructure projects are often a single component of a broader transportation infrastructure project, for example, the implementation of stormwater infrastructure to meet Clean Water Act established water quality standards. In this example, the components of the infrastructure project that interact directly with the stormwater infrastructure project may be funded by Fiscal Recovery Funds. 6.16. May Funds be used to build or upgrade broadband connections to schools or libraries? [7/14] 32 AS OF JULY 19, 2021 As outlined in the IFR, recipients may use Fiscal Recovery Funds to invest in broadband infrastructure that, wherever it is practicable to do so, is designed to deliver service that reliably meets or exceeds symmetrical upload and download speeds of 100 Mbps to households or businesses that are not currently serviced by a wireline connection that reliably delivers at least 25 Mbps download speed and 3 Mbps of upload speed. Treasury interprets "businesses" in this context broadly to include non-residential users of broadband, including private businesses and institutions that serve the public, such as schools, libraries, healthcare facilities, and public safety organizations. 6.17. Are eligible infrastructure projects subject to the Davis -Bacon Act? [7/14] The Davis -Bacon Act requirements (prevailing wage rates) do not apply to projects funded solely with award funds from the CSFRF/CLFRF program, except for C SFRF/CLFRF -funded construction projects undertaken by the District of Columbia. The Davis -Bacon Act specifically applies to the District of Columbia when it uses federal funds (CSFRF/CLFRF funds or otherwise) to enter into contracts over $2,000 for the construction, alteration, or repair (including painting and decorating) of public buildings or public works. Recipients may be otherwise subject to the requirements of the Davis - Bacon Act, when CSFRF/CLFRF award funds are used on a construction project in conjunction with funds from another federal program that requires enforcement of the Davis -Bacon Act. Additionally, corollary state prevailing -wage -in -construction laws (commonly known as "baby Davis -Bacon Acts") may apply to projects. Please refer to FAQ 4.10 concerning projects funded with both CSFRF/CLFRF funds and other sources of funding. Treasury has indicated in its Interim Final Rule that it is important that necessary investments in water, sewer, or broadband infrastructure be carried out in ways that produce high-quality infrastructure, avert disruptive and costly delays, and promote efficiency. Treasury encourages recipients to ensure that water, sewer, and broadband projects use strong labor standards, including project labor agreements and community benefits agreements that offer wages at or above the prevailing rate and include local hire provisions, not only to promote effective and efficient delivery of high-quality infrastructure projects, but also to support the economic recovery through strong employment opportunities for workers. Using these practices in construction projects may help to ensure a reliable supply of skilled labor that would minimize disruptions, such as those associated with labor disputes or workplace injuries. Treasury has also indicated in its reporting guidance that recipients will need to provide documentation of wages and labor standards for infrastructure projects over $10 million, and that that these requirements can be met with certifications that the project is in compliance with the Davis -Bacon Act (or related state laws, commonly known as "baby Davis -Bacon Acts") and subject to a project labor agreement. Please refer to the Reporting and Compliance Guidance, page 21, for more detailed information on the reporting requirement. 33 AS OF JULY 19, 2021 7. Non -Entitlement Units (NEUs) Answers to frequently asked questions on distribution of funds to NEUs can be found in this ]F' _s pplement, which is regularly updated. 8. Ineligible Uses 8.1. What is meant by a pension "deposit"? Can governments use funds for routine pension contributions for employees whose payroll and covered benefits are eligible expenses? Treasury interprets "deposit" in this context to refer to an extraordinary payment into a pension fund for the purpose of reducing an accrued, unfunded liability. More specifically, the interim final rule does not permit this assistance to be used to make a payment into a pension fund if both: (1) the payment reduces a liability incurred prior to the start of the COVID-19 public health emergency, and (2) the payment occurs outside the recipient's regular timing for making such payments. Under this interpretation, a "deposit" is distinct from a "payroll contribution," which occurs when employers make payments into pension funds on regular intervals, with contribution amounts based on a pre -determined percentage of employees' wages and salaries. In general, if an employee's wages and salaries are an eligible use of Fiscal Recovery Funds, recipients may treat the employee's covered benefits as an eligible use of Fiscal Recovery Funds. 8.2. May recipients use Fiscal Recovery Funds to fund Other Post -Employment Benefits (OPEB)? [6/8] OPEB refers to benefits other than pensions (see, e.g., Qg., Ml e al. � un1lEg Sta..ndu.rds.B.Q.41 ," lather Post ]En ptomeent .Bene its"). Treasury has determined that Sections 602(c)(2)(B) and 603(c)(2), which refer only to pensions, do not prohibit CSFRF/CLFRF recipients from funding OPEB. Recipients of either the CSFRF/CLFRF may use funds for eligible uses, and a recipient seeking to use CSFRF/CLFRF funds for OPEB contributions would need to justify those contributions under one of the four eligible use categories. 9. Reporting On June 17, 2021, Treasury released Guidance_ ll�'„���p�ent ccol��Hance and 11.e ..... ........ ....... ll espons a i t es i:or the Coron ✓irus St ate a nd ll oc� t I iscal 11..ecovery Funds. Recipients should consult this guidance for additional detail and clarification on recipients' compliance and reporting responsibilities. A users' guide will be provided with additional information on how and where to submit required reports. 34 AS OF JULY 19, 2021 9.1. What records must be kept by governments receiving funds? Financial records and supporting documents related to the award must be retained for a period of five years after all funds have been expended or returned to Treasury, whichever is later. This includes those which demonstrate the award funds were used for eligible purposes in accordance with the ABPA, Treasury's regulations implementing those sections, and Treasury's guidance on eligible uses of funds. 9.2. What reporting will be required, and when will the first report be due? Recipients will be required to submit an interim report, quarterly project and expenditure reports, and annual Recovery Plan Performance Reports as specified below, regarding their utilization of Coronavirus State and Local Fiscal Recovery Funds. Interim reports: States (defined to include the District of Columbia), territories, metropolitan cities, counties, and Tribal governments will be required to submit one interim report. The interim report will include a recipient's expenditures by category at the summary level and for states, information related to distributions to non -entitlement units of local government must also be included in the interim report. The interim report will cover activity from the date of award to July 31, 2021 and must be submitted to Treasury by August 31, 2021. Non -entitlement units of local government are not required to submit an interim report. Quarterly Project and Expenditure reports: State (defined to include the District of Columbia), territorial, metropolitan city, county, and Tribal governments will be required to submit quarterly project and expenditure reports. This report will include financial data, information on contracts and subawards over $50,000, types of projects funded, and other information regarding a recipient's utilization of award funds. Reports will be required quarterly with the exception of non -entitlement units, which will report annually. An interim report is due on August 31, 2021. The reports will include the same general data as those submitted by recipients of the Coronavirus Relief Fund, with some modifications to expenditure categories and the addition of data elements related to specific eligible uses. The initial quarterly Project and Expenditure report will cover two calendar quarters from the date of award to September 30, 2021 and must be submitted to Treasury by October 31, 2021. The subsequent quarterly reports will cover one calendar quarter and must be submitted to Treasury within 30 days after the end of each calendar quarter. Non -entitlement units of local government will be required to submit the project and expenditure report annually. The initial annual Project and Expenditure report for non - entitlement units of local government will cover activity from the date of award to September 30, 2021 and must be submitted to Treasury by October 31, 2021. The subsequent annual reports must be submitted to Treasury by October 31 each year. Recovery Plan Performance Reports: States (defined to include the District of Columbia), territories, metropolitan cities, and counties with a population that exceeds 250,000 35 AS OF JULY 19, 2021 residents will also be required to submit an annual Recovery Plan Performance Report to Treasury. This report will include descriptions of the projects funded and information on the performance indicators and objectives of each award, helping local residents understand how their governments are using the substantial resources provided by Coronavirus State and Local Fiscal Recovery Funds program. The initial Recovery Plan Performance Report will cover activity from date of award to July 31, 2021 and must be submitted to Treasury by August 31, 2021. Thereafter, the Recovery Plan Performance Reports will cover a 12 -month period and recipients will be required to submit the report to Treasury within 30 days after the end of the 12 -month period. The second Recovery Plan Performance Report will cover the period from July 1, 2021 to June 30, 2022 and must be submitted to Treasury by July 31, 2022. Each annual Recovery Plan Performance Report must be posted on the public -facing website of the recipient. Local governments with fewer than 250,000 residents, Tribal governments, and non -entitlement units of local government are not required to develop a Recovery Plan Performance Report. Please see the �'uuidance on ll ecipient Compliance and B epoltino ll1'.esponsibiiities for more information. 9.3. What provisions of the Uniform Guidance for grants apply to these funds? Will the Single Audit requirements apply? Most of the provisions of the Uniform Guidance (2 CFR Part 200) apply to this program, including the Cost Principles and Single Audit Act requirements. Recipients should refer to the Assistance Listing for detail on the specific provisions of the Uniform Guidance that do not apply to this program. The Assistance Listing will be available on beta. SAM.gov. 9.4. Once a recipient has identified a reduction in revenue, how will Treasury track use of funds for the provision of government services? [6/8] The ARPA establishes four categories of eligible uses and further restrictions on the use of funds to ensure that Fiscal Recovery Funds are used within the four eligible use categories. The Interim Final Rule implements these restrictions, including the scope of the eligible use categories and further restrictions on tax cuts and deposits into pensions. Reporting requirements will align with this structure. Consistent with the broad latitude provided to recipients to use funds for government services to the extent of the reduction in revenue, recipients will be required to submit a description of services provided. As discussed in IFR, these services can include a broad range of services but may not be used directly for pension deposits, contributions to reserve funds, or debt service. Recipients may use sources of funding other than Fiscal Recovery Funds to make deposits to pension funds, contribute to reserve funds, and pay debt service, including during the period of performance for the Fiscal Recovery Fund award. 36 AS OF JULY 19, 2021 For recipients using Fiscal Recovery Funds to provide government services to the extent of reduction in revenue, the description of government services reported to Treasury may be narrative or in another form, and recipients are encouraged to report based on their existing budget processes and to minimize administrative burden. For example, a recipient with $100 in revenue replacement funds available could indicate that $50 were used for personnel costs and $50 were used for pay -go building of sidewalk infrastructure. In addition to describing the government services provided to the extent of reduction in revenue, all recipients will also be required to indicate that Fiscal Recovery Funds are not used directly to make a deposit in a pension fund. Further, recipients subject to the tax offset provision will be required to provide information necessary to implement the Interim Final Rule, as described in the Interim Final Rule. Treasury does not anticipate requiring other types of reporting or recordkeeping on spending in pensions, debt service, or contributions to reserve funds. These requirements are further detailed in the guidance on reporting requirements for the Fiscal Recovery Funds available he. e. 9.5. What is the Assistance Listing and Catalog of Federal Domestic Assistance (CFDA) number for the program? [6/81 The AssistanceList ng for the Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) was published May 28, 2021 on SAM.gov. This includes the final CFDA Number for the program, 21.027. The assistance listing includes helpful information including program purpose, statutory authority, eligibility requirements, and compliance requirements for recipients. The CFDA number is the unique 5 -digit code for each type of federal assistance, and can be used to search for program information, including funding opportunities, spending on usaspending.gov, or audit results through the Federal Audit Clearinghouse. To expedite payments and meet statutory timelines, Treasury issued initial payments under an existing CFDA number. If you have already received funds or captured the initial CFDA number in your records, please update your systems and reporting to reflect the final CFDA number 21.027. Recipients must use the final CFDA number for all financial accounting, audits, subawards, and associated program reporting requirements. To ensure public trust, Treasury expects all recipients to serve as strong stewards of these funds. This includes ensuring funds are used for intended purposes and recipients have in place effective financial management, internal controls, and reporting for transparency and accountability. Please see T easuu .y's Interim Fimfl 11,.uuie and the Guidance n 11ecipient Compliance and „.p.„ ng ll,sponsiaiiities for more information. 37 AS OF JULY 19, 2021 10. Miscellaneous 10.1. May governments retain assets purchased with Fiscal Recovery Funds? If so, what rules apply to the proceeds of disposition or sale of such assets? Yes, if the purchase of the asset was consistent with the limitations on the eligible use of funds. If such assets are disposed of prior to December 31, 2024, the proceeds would be subject to the restrictions on the eligible use of payments. 10.2. Can recipients use funds for administrative purposes? Recipients may use funds to cover the portion of payroll and benefits of employees corresponding to time spent on administrative work necessary due to the COVID-19 public health emergency and its negative economic impacts. This includes, but is not limited to, costs related to disbursing payments of Fiscal Recovery Funds and managing new grant programs established using Fiscal Recovery Funds. 10.3. Are recipients required to remit interest earned on CSFRF/CLFRF payments made by Treasury? [5/27, updated 7/14] No. CSFRF/CLFRF payments made by Treasury to states, territories, and the District of Columbia are not subject to the requirement of the Cash Management Improvement Act and Treasury's implementing regulations at 31 CFR part 205 to remit interest to Treasury. CSFRF/CLFRF payments made by Treasury to local governments and Tribes are not subject to the requirement of 2 CFR 200.305(b)(8)—(9) to maintain balances in an interest-bearing account and remit payments to Treasury. Moreover, interest earned on CSFRF/CLFRF payments is not subject to program restrictions. Finally, States may retain interest on payments made by Treasury to the State for distribution to NEUs that is earned before funds are distributed to NEUs, provided that the State adheres to the statutory requirements and Treasury's guidance regarding the distribution of funds to NEUs. Such interest is also not subject to program restrictions. Among other things, States and other recipients may use earned income to defray the administrative expenses of the program, including with respect to NEUs. 10.4. Is there a deadline to apply for funds? [5/27] The Interim Final Rule requires that costs be incurred by December 31, 2024. Direct recipients are encouraged to apply as soon as possible. For direct recipients other than Tribal governments, there is not a specific application deadline. Tribal governments do have deadlines to complete the application process and should visit r trees u1 v/ °al�ll 11..V „ll;°���aa1 for guidance on applicable deadlines. AS OF JULY 19, 2021 Non -entitlement units of local government should contact their state government for information on applicable deadlines. 10.5. May recipients use funds to cover the costs of consultants to assist with managing and administering the funds? [6/81 Yes. Recipients may use funds for administering the CSFRF/CLFRF program, including costs of consultants to support effective management and oversight, including consultation for ensuring compliance with legal, regulatory, and other requirements. 11. Operations 11.1. How do I know if my entity is eligible? The Coronavirus State and Local Fiscal Recovery Funds American Rescue Plan Act of 2021 set forth the jurisdictions eligible to receive funds under the program, which are: • States and the District of Columbia • Territories • Tribal governments • Counties • Metropolitan cities (typically, but not always, those with populations over 50,000) • Non -entitlement units of local government, or smaller local governments (typically, but not always, those with populations under 50,000) 11.2. How does an eligible entity request payment? Eligible entities (other than non -entitlement units) must submit their information to the 1"ne sun Su n i�ssion Por i. Please visit the Coronavirus State and Local Fiscal .l��ecower L'u�md weVf�site for more informatio,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,°,,,,,,,,,,,,,,,,,e., n on the submission process. 11.3. I cannot log into the Treasury Submission Portal or am having trouble navigating it. Who can help me? If you have questions about the Treasury Submission Portal or for technical support, please email covid-et el.'tts�u,ppo���),t�e����u� ov. 11.4. What do I need to do to receive my payment? All eligible payees are required to have a DUNS Number previously issued by Dun & Bradstreet All eligible payees are also required to have an active registration with the System for Award Management (SAM) (.ps //...:s.i...p✓). 39 AS OF JULY 19, 2021 And eligible payees must have a bank account enabled for Automated Clearing House (ACH) direct deposit. Payees with a Wire account are encouraged to provide that information as well. More information on these and all program pre -submission requirements can be found on the ,oron�mvirus State acid Local Fiscal recover l�+ thud well)site. ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, Y,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,.............................., 11.5. Why is Treasury employing id.me for the Treasury Submission Portal? ID.me is a trusted technology partner to multiple government agencies and healthcare providers. It provides secure digital identity verification to those government agencies and healthcare providers to make sure you're you — and not someone pretending to be you — when you request access to online services. All personally identifiable information provided to ID.me is encrypted and disclosed only with the express consent of the user. Please refer to ID.me Contact Support for assistance with your ID.me account. Their support website is h 1 .s..-//h�I.....:.�..,me. 11.6. Why is an entity not on the list of eligible entities in Treasury Submission Portal? The ARPA statute lays out which governments are eligible for payments. The list of entities within the Treasury Submission Portal includes entities eligible to receive a direct payment of funds from Treasury, which include states (defined to include the District of Columbia), territories, Tribal governments, counties, and metropolitan cities. Eligible non -entitlement units of local government will receive a distribution of funds from their respective state government and should not submit information to the Treasury Submission Portal. If you believe an entity has been mistakenly left off the eligible entity list, please email :L:�'.:1113 i),treasuu� t. v. 11.7. What is an Authorized Representative? An Authorized Representative is an individual with legal authority to bind the government entity (e.g., the Chief Executive Officer of the government entity). An Authorized Representative must sign the Acceptance of Award terms for it to be valid. 11.8. How does a Tribal government determine their allocation? Tribal governments will receive information about their allocation when the submission to the Treasury Submission Portal is confirmed to be complete and accurate. 11.9. How do I know the status of my request for funds (submission)? Entities can check the status of their submission at any time by logging into "J.."Le...a.sun".y Su�amission 2o..rl � .. ......................................................................................................................... M AS OF JULY 19, 2021 11.10. My Treasury Submission Portal submission requires additional information/correction. What is the process for that? If your Authorized Representative has not yet signed the award terms, you can edit your submission with in the into 'I "' " ' " r " ea " s u , Ey_5LhDjj�i��. If your Authorized Representative has signed the award terms, please email ..SL F.13...Pgtr��a�uEyZgy to request ..... ........ ..... . .. .. .. assistance with updating your information. 11.11. My request for funds was denied. How do I find out why it was denied or appeal the decision? Please check to ensure that no one else from your entity has applied, causing a duplicate submission. Please also review the list of all eligible entities on the .0 o r o 12 a..Xi r I I s Stag and Local Fiscal Rgcover Futid wellmite, ................................................................................................................................................................................... Y ........................................................................................................ If you still have questions regarding your submission, please email .S........L.F...11I.1...3.....2!)1r�easU�1.( ov.. 11.12. When will entities get their money? Before Treasury is able to execute a payment, a representative of an eligible government must submit the government's information for verification through theTreasuly .S. uh m i ss o..n 2 of!al.. The verification process takes approximately four business days. If any errors are identified, the designated point of contact for the government will be contacted via email to correct the information before the payment can proceed. Once verification is complete, the designated point of contact of the eligible government will receive an email notifying them that their submission has been verified. Payments are generally scheduled for the next business day after this verification email, though funds may not be available immediately due to processing time of their financial institution. 11.13. How does a local government entity provide Treasury with a notice of transfer of funds to its State? For more information on how to provide Treasury with notice of transfer to a state, please email .S.........1....,dre.........................u.......nd..s.C ) tr e o.........v.✓.. 41 AS OF JULY 19, 2021 Appendix: Interim Final Rule Definition of General Revenue Within the Census Bureau Classification Structure of Revenue I '1�'M "11,11, *While Tribal Enterprise Revenue is not within the scope ofthe Census Bureau's Annual Survey of State and Local Government Finances, Tribal govermennts may include enterprise revenue in calculating revenue loss under the Interim Final Rule. Source: fCti Annual dICJf:°;/Of �t��rtt��: �CC16�L,UQ,�t�iaUVP:f TI CCIt.Ci�, �'IC1AT16;%5 42 C',P FE L File ID: 2021-5883 Version: 1 City of Coppell, Texas Master File Number: 2021-5883 Type: Agenda Item Reference: File Name: National Preparedness Month 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Proclamations In Control: Fire File Created: 09/07/2021 Final Action: Title: Consider approval of a Proclamation naming the month of September "National Preparedness Month," and authorizing the Mayor to sign. Notes: Sponsors: Attachments: 2021 Preparedness Month Proclamation. pdf Contact: Drafter: Related Files: History of Legislative File Enactment Date: Enactment Number: Hearing Date: Effective Date: Ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: Text of Legislative File 2021-5883 Title Consider approval of a Proclamation naming the month of September "National Preparedness Month," and authorizing the Mayor to sign. Summary The Coppell Fire Department and the City of Coppell uses National Preparedness to Month to encourage Coppell citizens to prepare for emergencies and disasters. Fiscal Impact: There is no fiscal impact of this Agenda item. Staff Recommendation: The Fire Department recommends approval. Strategic Pillar Icon: Sustainable Government City of Coppell, Texas Page 1 Printed on 9/10/2021 Master Continued (2021-5883) City of Coppell, Texas Page 2 Printed on 9/10/2021 PROCLAMATION WHEREAS, each year Texas experiences a variety of emergencies and natural disasters that pose significant dangers to communities, such that it is vital for all Texans to remain prepared for any disaster; and WHEREAS, it is imperative that all individuals and communities work together to develop preparedness plans which can help minimize the impact of disaster in Coppell and beyond; and WHEREAS, individuals and families are encouraged to develop and practice emergency plans to protect their household and property by taking time to create a communication strategy, financial plan, build a three-day disaster preparedness kit, and sign up for emergency alerts; and WHEREAS, Coppell's Fire Department and Emergency Management staff strive to increase public awareness of the need to prepare for emergencies and disasters; and WHEREAS, all Coppell residents are empowered to stay prepared today, which ensures a better and safer tomorrow for Coppell and the state of Texas. NOW, THEREFORE, I, Wes Mays, as Mayor of the City of Coppell do hereby proclaim the month of September 2021 as: "NATIONAL PREPAREDNESS MONTH" in the City of Coppell, Texas, and encourage all families and businesses to develop their own emergency preparedness plans, thereby creating a safer and more prepared Coppell. IN WITNESS WHEREOF, I have hereunto set my signature and the seal of the City of Coppell, this 14'h day of September 2021. Wes Mays, Mayor ATTEST: Ashley Owens, City Secretary C',P FE L File ID: 2021-5884 Version: 1 File Name: Minutes: August 24 City of Coppell, Texas Master File Number: 2021-5884 Type: Agenda Item Reference: Title: Consider approval of minutes: August 24, 2021. Notes: Sponsors: Attachments: CM 2021-08-24.pdf Contact: Drafter: Related Files: History of Legislative File 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Consent Agenda In Control: City Council File Created: 09/07/2021 Final Action: Enactment Date: Enactment Number: Hearing Date: Effective Date: Ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: Text of Legislative File 2021-5884 Title Consider approval of minutes: August 24, 2021. Summary City of Coppell, Texas Page 1 Printed on 9/10/2021 C'I -L Tuesday, August 24, 2021 WES MAYS Mayor CLIFF LONG Place 1 DON CARROLL Place 3 KEVIN NEVELS Place 4 MIKE LAND City Manager City of Coppell, Texas Minutes City Council 5:30 PM 255 E. Parkway Boulevard Coppell, Texas 75019-9478 BRIANNA HINOJOSA-SMITH Mayor Pro Tem JOHN JUN Place 5 BIJU MATHEW Place 6 MARK HILL Place 7 Council Chambers Present 8 - Wes Mays -,Cliff Long;Brianna Hinojosa-Smith;Don Carroll -,Kevin Nevels;John Jun;Biju Mathew and Mark Hill Also present were Deputy City Managers Vicki Chiavetta and Traci Leach, City Attorney Bob Hager, and City Secretary Ashley Owens. The City Council of the City of Coppell met in Regular Called Session on Tuesday, August 24, 2021 at 5:30 p.m. in the City Council Chambers of Town Center, 255 Parkway Boulevard, Coppell, Texas. 1. Call to Order Mayor Wes Mays called the meeting to order, determined that a quorum was present and convened into the Work Session at 5:31 p.m. 2. Work Session (Open to the Public) 1st Floor Conference Room A. Discussion regarding agenda items. B. Discussion regarding Draft Social Media Policy. C. Annual Vector Control Program Update. D. Procurement 101 Presentation. E. Atmos 2021 Rate Review Mechanism Filing Presentation. Presented in Work Session City of Coppell, Texas Page 1 City Council Minutes August 24, 2021 Regular Session Mayor Wes Mays adjourned the Work Session at 7:03 p.m. and reconvened into the Regular Session at 7:30 p.m. 3. Invocation 7:30 p.m. Rolando Carizales with Mundo de Fe gave the invocation. 4. Pledge of Allegiance Mayor Wes Mays and the City Council led those present in the Pledge of Allegiance. 5. Citizens' Appearance Mayor Wes Mays asked for those who signed up to speak: 1) Thomas Burrows, 138 Wynnpage, spoke in regards to code issues. 6. Consent Agenda A. Consider approval of minutes: August 10, 2021. A motion was made by Councilmember Biju Mathew, seconded by Councilmember Kevin Nevels, that Consent Agenda Items A and B be approved. The motion passed by an unanimous vote. B. Consider approval of a Resolution of the City of Coppell authorizing an Interlocal Agreement with the Coppell Independent School District (CISD) for School Resource Officer (SRO) protection services for the school year 2021-2022; and authorizing the Mayor to sign. A motion was made by Councilmember Biju Mathew, seconded by Councilmember Kevin Nevels, that Consent Agenda Items A and B be approved. The motion passed by an unanimous vote. Enactment No: RE 2021-0824.1 End of Consent Agenda 7. CITIZENS' AGENDA ITEM: Consider option to connect the trail system through Magnolia Park because the City Council is looking to approve a project to do this very soon. Members of the Magnolia Park Homeowners' Association made a presentation to City Council. No action was taken by City Council. City of Coppell, Texas Page 2 City Council Minutes August 24, 2021 8. City Manager Reports - Project Updates and Future Agendas City Manager Mike Land gave the following project updates: Grapevine Springs Park Dredging & Wall Repairs — dredging operation is underway, should be completed in about 30 days. The diversion wall contractor should be ready for a concrete pour by the end of this week. They battled high water in the creek most of last week due to the rain. Airline Drive — Sidewalk and landscaping work continues. The project is still on track for completion by the end of August. Cambria/Wise Way — The northern lane pavement is nearing completion. The southern lane subgrade prep is beginning. Intersection Improvement Project — Signal work completion is required at Parkway and Southwestern in order to complete the turn lanes that are in progress. Bike and pedestrian access is being maintained during construction. Demolition is beginning at Sandy Lake and Denton Tap. There is little -to -no impact to peak -period traffic flow associated with this project because work and staging is occurring in the median or parkway, not in the travel lanes. Stream G-6 — Gabion Basket installation continues, the project is approximately 40% complete. Belt Line — Work expected to commence late September or early October. 9. Mayor and Council Reports Report by the City Council on recent and upcoming events. City of Coppell Administrative Offices will be closed on Monday, September 6th, in observation of Labor Day. Participate in local government and give back to the community by serving on one of the City of Coppell's Boards or Commissions. The City is seeking passionate individuals to be a part of Boards and Commissions that help guide development, future needs, regulations, and more for Coppell. Applications will be accepted online at coppelltx.gov/boards now through September 13, 2021. 10. Council Committee Reports concerning items of community involvement with no Council action or deliberation permitted. A. Report on Dallas Regional Mobility Coalition - Councilmember Don Carroll B. Report on Woven Health Clinic - Councilmember Mark Hill C. Report on Metrocrest Services - Councilmember Biju Mathew Councilmember Don Carroll reported that the DRMC August meeting was routine in nature and consisted of agency reports. City of Coppell, Texas Page 3 City Council Minutes August 24, 2021 Councilmember Mark Hill reported that Woven Clinic is seeing a significant increase in COVID-19 patients, mainly 30 to 50 year olds, over 90% of those patients are unvaccinated. Woven has seen an increased demand for the COVID-19 vaccine. Woven recently opened their second clinic in North Carrollton. Woven has also expanded their mental health services, and will be holding a virtual awards ceremony and fundraiser on Friday, November 12th, featuring the theme "Changing the Future for Mental Health Care". For more information please visit wovenhealth.org Councilmember Biju Mathew reported that Metrocrest Services is experiencing a surge in their food pantry usage. With school starting and students at home with remote learning, groceries are needed. Metrocrest is also in need of volunteers to work the pantry and resale store. Metrocrest Services CEO Tracy Eubanks has been promoting the "Let's Roll North Texas" Toilet Paper Challenge. For more information please visit metrocrestservices.org. 11. Public Service Announcements concerning items of community interest with no Council action or deliberation permitted. Nothing to report. 12. Necessary Action from Executive Session There was no Executive Session. 13. Adjournment There being no further business before the City Council, the meeting was adjourned at 8:41 p.m. Wes Mays, Mayor ATTEST: Ashley Owens, City Secretary City of Coppell, Texas Page 4 C',P FE L File ID: 2021-5880 Version: 1 City of Coppell, Texas Master File Number: 2021-5880 Type: Agenda Item Reference: File Name: Annual Investment Policy Adoption for FY 2022 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Consent Agenda In Control: Finance File Created: 09/04/2021 Final Action: Title: Consider approval and adoption of the City of Coppell Investment Policy. Notes: Sponsors: Attachments: Memo - Investment Policy.pdf, 2021 Investment Policy.pdf, Certificate.pdf Contact: Drafter: Related Files: Enactment Date: Enactment Number: Hearing Date: Effective Date: History of Legislative File ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: Text of Legislative File 2021-5880 Title Consider approval and adoption of the City of Coppell Investment Policy. Summary See attached memorandum. Fiscal Impact: There is no fiscal impact resulting from approval of this agenda item. Staff Recommendation: The Finance Department recommends approval. Strategic Pillar Icon: Sustainable Government City of Coppell, Texas Page 1 Printed on 9/10/2021 I T v C0FP'E1-11dL,_L rM, A h MEMORANDUM To: Mayor and City Council From: Kimberly Tiehen, Assistant Director of Finance Via: Jennifer Miller, Director of Finance Date: September 14, 2021 Reference: Consider approval and adoption of the City of Coppell Investment Policy 2040: Sustainable City Government Introduction: As required by the Texas Public Funds Investment Act, the written Investment Policy must be reviewed and adopted on an annual basis by the governing body. Analysis: Changes to the Public Funds Investment Act made during the 2021 Legislative Session did not affect the City of Coppell's Investment Policy. In addition, the Finance Department reviewed the policy and recommends no changes. Furthermore, the investment policy has been reviewed by the Government Treasurers' Organization of Texas (GTOT) Review Committee to ensure it meets the requirements of the Texas Public Funds Investment Act. The investment policy originally received the Certificate of Distinction Award on July 10, 2001 and has subsequently been recertified on a biannual basis. The current Certification of Investment Policy is effective for a two-year period ending August 31, 2022. The GTOT has indicated our policy meets the criteria set forth in the investment policy review checklist and is an excellent example of a comprehensive written investment policy. Legal Review: This agenda item was reviewed by legal counsel during the Council packet review process. Fiscal Impact: There is no fiscal impact resulting from approval of this agenda item. Recommendation: The Finance Department recommends approval. INTRODUCTION The purpose of this document is to set forth specific investment policy and strategy guidelines for the City of Coppell in order to achieve the goals of safety, liquidity, yield, and public trustfor all investment activity. The City Council of the City of Coppell shall review its investment strategies and policy not less than annually. This policy serves to satisfy the statutory requirement of Chapter 2256, Texas Government Code as amended, to define, adopt and review a formal investment strategy and policy. INVESTMENT STRATEGY The City of Coppell maintains portfolios utilizing four specific investment strategy considerations designed to address the unique characteristics of the fund groups represented in the portfolios: A. Investment strategies for operating funds and commingled pools containing operating funds have as their primary objective to assure that anticipated cash flows are matched with adequate investment liquidity. The secondary objective is to create a portfolio structure which will experience minimal volatility during economic cycles. This may be accomplished by purchasing high quality, short -to -medium-term securities which will complement each other in a laddered or barbell maturity structure. The dollar weighted average maturity of 365 days or less will be calculated using the stated final maturity date of each security. B. Investment strategies for debt service funds shall have as the primary objective the assurance of investment liquidity adequate to cover the debt service obligation on the required payment date. Securities purchased shall not have a stated final maturity date that exceeds the debt service payment date, or funds shall be maintained in an investment pool to be available for debt service payments. C. Investment strategies for debt service reserve funds shall have as the primary objective the ability to generate a dependable revenue stream to the appropriate debt service fund from securities with a low degree of volatility. Securities should be of high quality and, except as may be required by the bond ordinance specific to an individual issue, of short to intermediate-term maturities. Volatility shall be further controlled through maturity and quality range, without paying premium, if at all possible. Such securities will tend to hold their value during economic cycles. D. Investment strategies for special projects or special purpose fund portfolios will have as their primary objective to assure that anticipated cash flows are matched with adequate investment liquidity. These portfolios should include at least 10% in highly liquid securities to allow for flexibility and unanticipated project outlays. The stated final maturity dates of securities held should not exceed the estimated project completion date. INVESTMENT POLICY I. SCOPE This investment policy applies to all financial assets of the City of Coppell. This policy includes all funds listed and accounted for in the City's Comprehensive Annual Financial Report (CAFR) and include: * General Fund * Special Revenue Funds * Debt Service Funds * Capital Projects Funds * Proprietary Funds * Trust and Agency Funds * Component Units H. OBJECTIVES The City of Coppell shall manage and invest its cash with four objectives, listed in order of priority: Safety, Liquidity, Yield, and Public Trust. The safety of the principal invested always remainsthe primary objective. All investments shall be designed and managed in a manner responsive to the public trust and consistent with State and Local law. The City shall maintain a comprehensive cash management program that includes collection of accounts receivable, vendor payment in accordance with invoice terms, and prudent investment of available cash. Cash management is defined as the process of managing monies in order to insure maximum cash availability and maximum yield on short-term investment of pooled idle cash. Safety The primary objective of the City's investment activity is the preservation of capital in the overall portfolio. Each investment transaction shall be conducted in a manner to avoid capital losses, whether they are from securities default or erosion of market value. Liquidity The City's investment portfolio shall be structured such that the City is able to meet all obligations in a timely manner. This shall be achieved by matching investment maturities with forecasted cash flow requirements and by investing in securities with active secondary markets. Yield The City's cash management portfolio shall be designed with the objective of regularly exceeding the average rate of return on three-month U.S. Treasury Bills. The investment program shall seek to augment returns above this threshold consistent with risk limitations identified herein and prudent investment policies. Pnhlir Tmet All participants in the City's investment process shall seek to act responsibly as custodians of the public trust. Investment officials shall avoid any transaction that might impair public confidence in the City's ability to govern effectively. III. RESPONSIBILITY AND CONTROL Investment Committee An Investment Committee, consisting of the City Manager, Deputy City Manager, the Director of Finance, and Assistant Director of Finance, shall meet at least quarterly to determine operational strategies and to monitor results. The Investment Committee shall include in its deliberation such topics as: performance reports, economic outlook, portfolio diversification, maturity structure, potential risk to the City's funds, authorized brokers and dealers, annually adopt the qualified bidders list, and the target rate of return on the investment portfolio. Delegation of Authority and Training Authority to manage the City's investment program is derived from a resolution of the City Council. The Director of Finance, the Assistant Finance Director and the Chief Accountant are designated as the investment officers of the City and are responsible for investment decisions and activities. The Director of Finance shall establish written procedures for the operation of the investment program, consistent with this investment policy. The investment officers shall attenda training session not less than once in a two-year period that begins on the first day of the City's fiscal year and consists of the two consecutive fiscal years after that date, and receive not less than 8 hours of training approved by the governing body relating to the officer's responsibility under the Act. The investment officers must also receive 10 hours of training within 12 months after taking office or assuming duties. This training must include education in investment controls, security risks, strategy risks, market risks, diversification of investment portfolio and compliance with the Texas Public Funds Investment Act. Sources of authorized independent training are those sponsored by: • Government Finance Officers Association (G.F.O.A.) • Government Finance Officers Association of Texas (G.F.O.A.T.) 3 • Government Treasurers Organization of Texas (G.T.O.T.) • University of North Texas - Center for Public Management • Texas Tech - Center for Professional Development • TEXPO — Alliance of Texas Treasury Associations • Texas Municipal League • Any online training (affiliated with Texas Municipal League) Internal Controls The Director of Finance is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the entity are protected from loss, theft or misuse. The internal control structure shall be designed to provide reasonable assurance that these objectives are met. The concept of reasonable assurance recognizes that (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation costs and benefits require estimates and judgements by management. Accordingly, the Director of Finance shall establish a process in conjunction with the annual financial audit to assure compliance with policies and procedures. The internal controls shall address the following points: A. Control of collusion. B. Separation of transaction authority from accounting and record keeping. C. Custodial safekeeping. D. Avoidance of physical delivery securities. E. Clear delegation of authority to subordinate staff members. F. Written confirmation for telephone (voice) transactions for investments and wire transfers. G. Development of a wire transfer agreement with the depository bank or third party custodian. Pmrlenre The standard of prudence to be applied by the investment officer shall be the "prudent investor" rule, which states: "Investments shall be made with judgment and care, under circumstances then prevailing, which persons of prudence, discretion and intelligence exercise in the management of their own affairs, not for speculation, but for investment, considering the probable safety of their capital as well as the probable income to be derived." In determining whether an investment officer has exercised prudence with respect to an investment decision, the determination shall be made taking into consideration: A. The investment of all funds, or funds under the City's control, over which the officer had responsibility rather than a consideration as to the prudence of a single investment. B. Whether the investment decision was consistent with the written investment policy of the City. 4 The investment officer, acting in accordance with written procedures and exercising due diligence, shall not be held personally responsible for a specific security's credit risk or market price changes, providing that these deviations are reported immediately and that appropriate action is taken to control adverse developments. Ethics and Conflicts of Interest City staff involved in the investment process shall refrain from personal business activity that could conflict with the proper execution of the investment program, or which could impair the ability to make impartial investment decisions. City staff shall disclose to the City Manager any material financial interests in financial institutions that conduct business with the City and they shall further disclose positions that could be related to the performance of the City's portfolio. City staff shall subordinate their personal financial transactions to those of the City, particularly with regard to timing of purchases and sales. An investment officer of the City who has a personal business relationship with an organization seeking to sell an investment to the City shall file a statement disclosing that personal business interest. An investment officer who is related within the second degree by affinity or consanguinity to an individual seeking to sell an investment to the City shall file a statement disclosing that relationship. A statement required under this subsection must be filed with the Texas Ethics Commission and the governing body of the entity. IV. REPORTING Quarterly Reporting The Director of Finance shall submit a signed quarterly investment report that is in compliance with this policy and the Texas Public Funds Investment Act and summarizes current market conditions, economic developments and anticipated investment conditions. The report shall summarize investment strategies employed in the most recent quarter, and describe the portfolio in terms of investment securities, maturities, risk characteristics, and shall explain the total investment return for the quarter. Annual Report Within 90 days of the end of the fiscal year, the Director of Finance shall present an annual report on the investment program and investment activity. This report may be presented along with the Comprehensive Annual Financial Report to the City Manager and City Council. Meth nds, The quarterly investment report shall include a succinct management summary that provides a clear picture of the status of the current investment portfolio and transactions made over the last quarter. This management summary will be prepared in a manner that will allow the City to ascertain whether investment activities during the reporting period have conformed to the investment policy. The reports shall be formally reviewed at least annually by an independent auditor, if investments are other than those offered by the City's depository. The portfolio shall be marked to market monthly. The market value of the securities is to be provided by the City's depository or by a third -party valuation service. The report will be provided to the City Manager and City Council. The report will include the following: A. A listing of individual securities (investment position) held at the end of the reporting period. B. Unrealized gains or losses resulting from appreciation or depreciation by listing the beginning and ending book and market value of securities for the period. C. Additions and changes to the market value during the period. D. Average weighted yield to maturity of portfolio on entity investments as compared to applicable benchmark. E. Listing of investment by maturity date. F. The percentage of the total portfolio each type of investment represents. G. Statement of compliance of the City's investment portfolio with State Law and the investment strategy and policy approved by the City Council. H. Prepared and signed by the investment officers. L Fully accrued interest for the period. J. States account or fund for each investment. V. INVESTMENT PORTFOLIO The City shall pursue an active versus a passive portfolio management philosophy. That is, securities may be sold before they mature if market conditions present an opportunity for the City to benefit from the trade. The investment officer will routinely monitor the contents of the portfolio, the available markets, and the relative value of competing instruments, and will adjust the portfolio accordingly. Investments Assets of the City of Coppell may be invested in the following instruments; provided, however, that at no time shall assets of the City be invested in any instrument or security not authorized for investment under the Act, as the Act may from time to time be amended. Authorized A. Obligations, including letters of credit, of the United States of America, its agencies and instrumentalities (including Government Sponsored Enterprises). B. Direct obligations of the State of Texas or its agencies and instrumentalities. C. Other obligations, the principal of and interest on which are unconditionally guaranteed by the State of Texas or United States of America. 6 D. Obligations of the State, agencies thereof, Counties, Cities, and other political subdivisions of any state having been rated as investment quality by a nationally recognized investment rating firm and having received a rating of not less than "A" or its equivalent. E. Interest-bearing banking deposits that are guaranteed or insured by the Federal Deposit Insurance Corporation or the National Credit Union Share Insurance Fund or its successor F. Interest-bearing banking deposits other than those described by (E) above if: (1) the funds invested in the banking deposits are invested through: (i) a broker with a main office or branch office in Texas that has been approved by the investment committee or (u) a depository institution with a main office or branch office in Texas that the investment committee approves; (2) the broker or depository institution selected as described by (1) above arranges for the deposit of the funds in the banking deposits in one or more federally insured depository institutions, regardless of where located, for the City of Coppell's account; (3) the full amount of the principal and accrued interest of the banking deposits is insured by the United States or an instrumentality of the United States; and (4) the City of Coppell appoints as it's custodian of the banking deposits issuedfor the City's account: (i) the depository institution selected as described by (1) above; (u) A custodian must be approved by the City and be: (a) a state or national bank that: - is designated by the comptroller as a state depository; - has its main office or a branch office in this state; and - has a capital stock and permanent surplus of $5 million or more (b) the Texas Treasury Safekeeping Trust Company; (c) a Federal Reserve Bank or a branch of a Federal Reserve Bank; (d) a federal home loan bank; or (e) a financial institution authorized to exercise fiduciary powers that is designated by the comptroller as a custodian; or (in) a clearing broker dealer registered with the Securities and Exchange Commission and operating under Securities and Exchange Commission Rule 156-3. G. Certificates of Deposit of state and national banks with a branch in Texas, guaranteed or insured by the Federal Deposit Insurance Corporation, collateralized or secured by obligations described in A through D above or in accordance with Chapter 2257 or in any other manner provided by law, which are intended to include all direct agency or instrumentality issued mortgage backed securities rated AAA by at least one nationally recognized rating agency and that have a market value of not less than the principal amount of the certificates. H. Fully collateralized direct repurchase agreements with a defined termination date secured by obligations of the United States or its agencies and instrumentalities. These shall be pledged to the City of Coppell, held in the City's name, and deposited at the time the investment is made with the City or with a third party selected and approved by the City. 7 Repurchase agreements must be purchased through a primary government securities dealer, as defined by the Federal Reserve, or a bank domiciled in Texas. A Master Repurchase Agreement must be signed by the bank\dealer prior to investment in a repurchase agreement. All repurchase agreement transactions will be on a delivery versus payment basis. Securities received for repurchase agreements must have a market value greater than or equal to 105 percent at the time funds are disbursed. L Local government investment pools in accordance with the conditions prescribed in Section 2256.016 and that have been authorized by the governing body by rule, ordinance or resolution. The investment pool must maintain a rating no lower than AAA or AAA -M by at least one nationally recognized rating service. Investment in such pools shall be limited to 75% of the City's entire portfolio, with no more than 25% of the entire portfolio invested in any one authorized pool. J. No-load money market mutual funds that are registered and regulated by the Securities and Exchange Commission and complies with Federal Securities and Exchange Commission Rule 2a-7, promulgated under the Investment Company Act of 1940; have a dollar weighted average stated maturity of 90 days or less; maintain a net asset value of $1 for each share; investments are exclusive in obligations approved by the PFIA; continuously rated as to investment quality by at least one nationally recognized investment rating firms of not less than AAA or its equivalent; and provide a prospectus and other information as described in Section 2256.014(a)(2) of the PFIA. Total investment in all money market mutual funds shall not exceed 50% of the portfolio. Ratings shall be monitored using nationally recognized financial information sources, including actions published on rating agency websites. Any investment currently held that does not meet the guidelines of this policy, but was authorized at the time of purchase, shall be exempted from the requirements of this policy and investment officers shall not be required to liquidate the investment. At maturity or liquidation, such monies shall be reinvested only as provided by this policy. II Not Authorized The City's authorized investments options are more restrictive than those allowed by State law. State law specifically prohibits investment in the following investment securities. A. Obligations whose payment represents the coupon payments on the outstanding principal balance of the underlying mortgage backed security collateral and pays no principal. B. Obligations whose payment represents the principal stream of cash flow from the underlying mortgage-backed security collateral and bears no interest. C. Collateralized mortgage obligations that have a stated final maturity date of greater than 10 years. D. Collateralized mortgage obligations the interest rate of which is determined by an index that adjusts opposite to the changes in a market index. 8 Holding Period The City of Coppell intends to match the holding periods of investment funds with liquidity needs of the City. In no case will the average maturity of investments of the City's operating funds exceed one year. The maximum final stated maturity of any investment shall not exceed five years. Investments in all funds shall be managed in such a way that the market price losses resulting from interest rate volatility would be offset by coupon income and current income received from the volume of the portfolio during a twelve-month period. Risk and Diversification The City of Coppell recognizes that investment risks can result from issuer defaults, market price changes or various technical complications leading to temporary illiquidity. Risk is controlled through portfolio diversification which shall be achieved by the following general guidelines; A. Risk of issuer default is controlled by limiting investments to those instruments allowed by the Act, which are described herein. B. Risk of market price changes shall be controlled by avoiding overconcentration of assets in a specific maturity sector, limitation of average maturity of operating funds investments to one year, and avoidance of overconcentration of assets in specific instruments other than U.S. Treasury Securities and insured or Collateralized Certificates of Deposits. C. Risk of illiquidity due to technical complications shall be controlled by the selectionof securities dealers as described herein. D. All prudent measures will be taken to liquidate an investment that is downgraded to less than our minimum stated required rating. VI. SELECTION OF BANKS AND DEALERS Depository At least every five (5) years a Depository shall be selected through the City's banking services procurement process, which shall include a formal request for proposal (RFP). In selecting a depository, the credit worthiness of institutions shall be considered, and the Director of Finance shall conduct a comprehensive review of prospective depository bank's credit characteristics and financial history. Certificates of Deposit Banks seeking to establish eligibility for the City's competitive certificate of deposit purchase program shall submit for review annual financial statements, evidence of federal insurance and other information as required by the Director of Finance. 9 Qualified Representatives Investment officials shall not knowingly conduct business with any firm with whom public entities have sustained losses on investments. All qualified representatives shall provide the City with references from Public entities they are currently serving. All financial institutions and qualified representatives who desire to become qualified bidders for investment transactions must supply the following as appropriate: - audited financial statements - proof of Financial Industry Regulatory Authority (17MRA) certification - proof of state registration - completed broker/dealer questionnaire - Certification of having read the City's investment policy signed by a qualified representative of the organization. - Acknowledgement that the organization has implemented reasonable procedures and controls in an effort to preclude imprudent investment transactions conducted between the entity and the organization that are not authorized by the entity's investment policy. The investment officers are precluded from purchasing an investment from a representative who has not delivered the written certification An annual review of the financial condition and registration of qualified bidders will be conducted by the Director of Finance. Competitive Bids Competitive quotes must be taken from at least three (3) qualifying financial institutions or broker/dealers for any investment transaction involving an individual security. Investment transactions should include written confirmation of offers on the Investment Bid Tabulation form. VIL SAFEKEEPING AND CUSTODY Insurance or Collateral All deposits and investments of City funds other than direct purchases of U.S. Treasuries or Agencies shall be secured by pledged collateral. In order to anticipate market changes and provide a level of security for all funds, the collateralization level will be 105% of market value of principal and accrued interest on the deposits or investments less an amount insured by the FDIC or FSLIC. Evidence of the pledged collateral shall be maintained by the Director of Finance or a third -party financial institution. The City's Depository Agreement shall specify the acceptable investment securities for collateral, the substitution or release of investment securities, ownership of securities, and the method of valuation of securities. Repurchase agreements shall be documented by a 10 specific agreement noting the collateral pledge in each agreement. Collateral shall be reviewed monthly to assure that the market value of the pledged securities is adequate. Safekeeping Agreement Collateral pledged to secure deposits and investments, and investment securities purchased by the City shall be held by a safekeeping institution in accordance with the Safekeeping Agreement. The Safekeeping Agreement clearly defines the procedural steps for gaining access to the collateral should the City of Coppell determine that the City's funds are in jeopardy. The safekeeping institution, or Trustee, shall be the Federal Reserve Bank or an institution not affiliated with the firm pledging the collateral. The safekeeping agreement shall include the signatures of authorized representatives of the City of Coppell, the firm pledging the collateral, and the Trustee. Collateral Defined The City of Coppell shall accept only the following securities as collateral: A. FDIC insurance coverage. B. Obligations of the United States of America, its agencies and instrumentalities. C. Obligations, the principal and interest on which, are unconditionally guaranteed or insured by the State of Texas. D. A bond of the State of Texas or of a county, city or other political subdivision of the State of Texas having been rated as investment grade (investment rating no less than "A" or its equivalent) by a nationally recognized rating agency with a remaining maturity of thirty (30) years or less. Sub ect to Audit All collateral shall be subject to inspection and audit by the Director of Finance or the City's independent auditors. Delivery vs. Pam Treasury Bills, Notes, Bonds and Government Agencies' securities shall be purchased using the delivery vs. payment method. That is, funds shall not be wired or paid until verification has been made that the correct security was received by the Trustee. The security shall be held in the name of the City or held on behalf of the City. The Trustee's records shall assure the notation of the City's ownership of or explicit claim on the securities. The original copy of all safekeeping receipts shall be delivered to the City. 11 VIII. INVESTMENT POLICY ADOPTION The City of Coppell's investment policy shall be adopted annually by the City Council. The policy shall be reviewed for effectiveness on an annual basis by the Investment Committee and any modifications will be recommended for approval to the City Council. 12 GLOSSARY of COMMON TREASURY TERMINOLOGY Agencies: Federal agency securities. Ask: The price at which securities are offered. Bid: The price offered for securities. Broker: A broker brings buyers and sellers together for a commission paid by the initiator of the transaction or by both sides. In the money market, brokers are active in markets, in which banks buy and sell money, and in interdealer markets. Certificate of Deposit (CD): A time deposit with a specific maturity evidenced by a certificate. Large -denomination CD's are typically negotiable. Collateral: Securities, evidence of deposit or other property that a borrower pledges to secure repayment of loan. Also refers to securities pledged by a bank to secure deposits of public monies. Comprehensive Annual Financial Report (CAFR): The official annual report for the City of Coppell. It includes combined statements and basic financial statements for each individual fund and account group prepared in conformity with GAAP. It also includes supporting schedules necessary to demonstrate compliance with finance -related legal and contractual provisions, extensive introductory material, and a detailed Statistical Section. Coupon: The annual rate of interest that a bond's issuer promises to pay the bondholder on the bond's face value Dealer: A dealer, as opposed to a broker, acts as a principal in all transactions, buying and selling for his own account. Debenture: A bond secured only by the general credit of the issuer. Delivery versus Payment: There are two methods of delivery of securities: delivery versus payment and delivery versus receipt Delivery versus payment is delivery of securities with an exchange of money for the securities. Delivery versus receipt is delivery of securities with an exchange of a signed receipt for the securities. Discount Securities: Non-interest bearing money market instruments that are issued at adiscount and redeemed at maturity for full face value, such as U.S. Treasury bills. Diversification: Dividing investment funds among a variety of securities offering independent returns. 13 Federal Credit Agencies: Agencies of the Federal government set up to supply credit to various classes of institutions and individuals, such as Savings and Loans, small business firms, students, farmers, farm cooperatives, and exporters. Federal Deposit Insurance Corporation (FDIC): A federal agency that insures bank deposits, currently up to $100,000 per deposit. Federal Funds Rate: The rate of interest at which Fed funds are traded. This rate is currently set by the Federal Reserve through open -market operations. Federal Home Loan Banks (FHLB): The institutions that regulate and lend to savings and loan associations. The Federal Home Loan Banks play a role analogous to that played by the Federal Reserve Banks vis-a-vis member commercial banks. Federal National Mortgage Association (FNMA): FNMA, like GNMA, was chartered under the Federal National Mortgage Association Act in 1938. FNMA is a federal corporation working under the auspices of the Department of Housing and Urban Development, H.U.D. It is the largest single provider of residential mortgage funds in the United States. Fannie Mae, as the corporation is called, is a private stockholder -owned corporation. The corporation's purchases include a variety of adjustable mortgages and second loans in addition to fixed-rate mortgages. FNMA's securities are also highly liquid and are widely accepted. FNMA assumes and guarantees that all security holders will receive timely payment of principal and interest. Federal Open Market Committee (FOMC): Consists of seven members of the Federal Reserve Board and five of the twelve Federal Reserve Bank Presidents. The President of the New York Federal Reserve Bank is a permanent member while the other Presidents serve on a rotating basis. The Committee periodically meets to set Federal Reserve guidelines regarding purchases and sales of Government Securities in the open -market as a means of influencing the volume of bank credit and money. Federal Reserve System: The central bank of the United States created by Congress and consisting of a seven -member Board of Governors in Washington, D.C., 12 regional banks and commercial banks that are members of the system. Government National Mortgage Association (GNMA or Ginnie Mae): Securities guaranteed by GNMA and issued by mortgage bankers, commercial banks, savings and loan associations, and other institutions. Security holder is protected by full faith and credit of the U.S. Government. Ginnie Mae securities are backed by FHA, VA or FMHM mortgages. The term pass-throughs is often used to describe Ginnie Maes. • Government Sponsored Enterprises: a financial services corporation created by the United States Congress. Examples include the following: Federal Home Loan Banks (FHLB), Federal National Mortgage Association (Fannie Mae), Federal Home Loan Mortgage Corporation (Freddie Mac), Federal Farm Credit Banks (FCB), and Federal Agricultural Mortgage Corporation (Farmer Mac) 14 Liquidity: A liquid asset is one that can be converted easily and rapidly into cash without a substantial loss of value. In the money market, a security is said to be liquid if the spread between bid and asked prices is narrow and reasonable size can be done at those quotes. Market Value: The price at which a security is trading and could presumably be purchased or sold. Master Repurchase Agreement: To protect investors, many public investors will request that repurchase agreements be preceded by a master repurchase agreement between the investor and the financial institution or dealer. The master agreement should define the nature of the transaction, identify the relationship between the parties, establish normal practices regarding ownership and custody of the collateral securities during the term of the investment, provide remedies in the case of default by either party and clarify issues of ownership. The master repurchase agreement protects the investor by eliminating the uncertainty of ownership and hence, allowing investors to liquidate collateral if a bank or dealer defaults during the term of the agreement. Maturity: The date upon which the principal or stated value of an investment becomes due and payable. Money Market: The market in which short-term debt instruments (bills, commercial paper, bankers' acceptances) are issued and traded. Open Market Operations: Purchases and sales of government and certain other securities in the open market by the New York Federal Reserve Bank as directed by the FOMC in order to influence the volume of money and credit in the economy. Purchases inject reserves into the bank system and stimulate growth of money and credit; sales have the opposite effect. Open market operations are the Federal Reserve's most important and most flexible monetary policy tool. Portfolio: Collection of securities held by an investor. Primary Dealer: A group of government securities dealers that submit daily reports of market activity and positions and monthly financial statements to the Federal Reserve Bank of New York and are subject to its informal oversight. Primary dealers include Securities and Exchange Commission (SEC) registered securities broker-dealers banks and a few unregulated firms. Prudent Person Rule: An investment standard. Investments shall be made with judgment and care, under circumstances then prevailing, which persons of prudence, discretion and intelligence exercise in the management of their own affairs, not for speculation, but for investment, considering the probable safety of their capital as well as the probable income to be derived. Rate of Return: The yield obtainable on a security based on its purchase price or its current market price. This may be the amortized yield to maturity on a bond or the current income return. Repurchase Agreement (RP of REPO): A holder of securities sells these securities to an investor with an agreement to repurchase them at a fixed price on a fixed date. The security "buyer" in effect lends the "seller" money for the period of the agreement, and their terms of the agreement are structured to compensate him for this. 15 Government Treasurers' Organization of Texas Certification of Investment Policy Presented to the City of Copped for developing an investment policy that meets the requirements of the Public Funds Investment Act and the standards for prudent public investing established by the Government Treasurers' Organization of Texas. . .:L!a Government Treasurers' Organization of Texas President Investment Policy Review committe For the two-year period ending August 31, 2022 C',P FE L File ID: 2021-5866 Version: 1 File Name: Atmos RRM 8/24/21 City of Coppell, Texas Master File Number: 2021-5866 Type: Agenda Item Reference: 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Consent Agenda In Control: City Council File Created: 08/17/2021 Final Action: Title: Consider approval of a Resolution approving a negotiated settlement between the Atmos Cities Steering Committee (ACSC) and Atmos Energy, Mid -Tex Division regarding the company's 2021 Rate Review Mechanism Filing; and authorizing the Mayor to sign. Notes: Sponsors: Attachments: ATMOS Memo 2021.pdf, 2021 Atmos Mid -Tex RRM Resolution.pdf, 2021 Atmos Mid -Tex RRM Resolution Attachments.pdf, 2019 FAQs RE ATMOS RRM.pdf Contact: Drafter: Related Files: History of Legislative File Enactment Date: Enactment Number: Hearing Date: Effective Date: Ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: Text of Legislative File 2021-5866 Title Consider approval of a Resolution approving a negotiated settlement between the Atmos Cities Steering Committee (ACSC) and Atmos Energy, Mid -Tex Division regarding the company's 2021 Rate Review Mechanism Filing; and authorizing the Mayor to sign. Summary Fiscal Impact: [Enter Fiscal Impact Statement Here] Staff Recommendation: [Enter Staff Recommendation Here] City of Coppell, Texas Page 1 Printed on 9/10/2021 Master Continued (2021-5866) Strategic Pillar Icon: Sustainable Government City of Coppell, Texas Page 2 Printed on 9/10/2021 MEMORANDUM To: Mayor and City Council From: Vicki Chiavetta, Deputy City Manager Date: September 14, 2021 Reference: Consider approval of a Resolution approving a negotiated settlement between the Atmos Cities Steering Committee (ACSC) and Atmos Energy, Mid -Tex Division regarding the company's 2021 Rate Review Mechanism Filing; and authorizing the Mayor to sign. Introduction: The City, along with 171 other Mid -Texas cities served by Atmos Energy Corporation, Mid -Tex Division ("Atmos Mid -Tex" or "Company"), is a member of the Atmos Cities Steering Committee ("ACSC"). In 2007, ACSC and Atmos Mid -Tex settled a rate application filed by the Company pursuant to Section 104.301 of the Texas Utilities Code for an interim rate adjustment commonly referred to as a GRIP filing (arising out of the Gas Reliability Infrastructure Program legislation). That settlement created a substitute rate review process, referred to as Rate Review Mechanism ("RRM"), as a substitute for future filings under the GRIP statute. Since 2007, there have been several modifications to the original RRM Tariff. The most recent iteration of an RRM Tariff was reflected in an ordinance adopted by ACSC members in 2018. On or about April 1, 2021, the Company filed a rate request pursuant to the RRM Tariff adopted by ACSC members. The Company claimed that its cost -of -service in a test year ending December 31, 2020, entitled it to additional system -wide revenues of $43.4 million. Application of the standards set forth in ACSC's RRM Tariff required Atmos to reduce its request to $40.5 million, $29.3 million of which would be applicable to ACSC members. ACSC's consultants concluded that the system -wide deficiency under the RRM regime should be $22.34 million instead of the claimed $40.5 million. The amount of the $22.34 million deficiency applicable to ACSC members would be $16.8 million. After the Company reviewed ACSC's consultants' report, ACSC's Executive Committee and the Company negotiated a settlement whereby the Company would receive an increase of $22.78 million from ACSC Cities, but with a two-month delay in the Effective Date until December 1, 2021. This should save ratepayers approximately $3.8 million. The Executive Committee recommends a settlement at $22.78 million. The Effective Date for new rates is December 1, 2021. ACSC members should take action approving the Resolution before October 1, 2021. PROOF OF REVENUES Atmos generated proof that the rate tariffs attached to the Resolution will generate $22.78 million in additional revenues from ACSC Cities. That proof is attached as Attachment 1 to this memo. ACSC consultants have agreed that Atmos' Proof of Revenues is accurate. BILL IMPACT The impact of the settlement on average residential rates is an increase of $1.28 on a monthly basis, or 2.2 percent. The increase for average commercial usage will be $4.03 or 1.61 percent. A bill impact comparison is attached as Attachment 2. SUMMARY OF ACSC'S OBJECTION TO THE UTILITIES CODE SECTION 104.301 GRIP PROCESS ACSC strongly opposed the GRIP process because it constitutes piecemeal ratemaking by ignoring declining expenses and increasing revenues while rewarding the Company for increasing capital investment on an annual basis. The GRIP process does not allow any review of the reasonableness of capital investment and does not allow cities to participate in the Railroad Commission's review of annual GRIP filings or allow recovery of Cities' rate case expenses. The Railroad Commission undertakes a mere administrative review of GRIP filings (instead of a full hearing) and rate increases go into effect without any material adjustments. In ACSC's view, the GRIP process unfairly raises customers' rates without any regulatory oversight. In contrast, the RRM process has allowed for a more comprehensive rate review and annual evaluation of expenses and revenues, as well as capital investment. RRM SAVINGS OVER GRIP While residents outside municipal limits must pay rates governed by GRIP, there are some cities served by Atmos Mid -Tex that chose to remain under GRIP rather than adopt RRM. Additionally, the City of Dallas adopted a variation of RRM which is referred to as DARR. When new rates become effective on December 1, 2021, ACSC residents will maintain a slight economic monthly advantage over GRIP and DARR rates. See Attachment 3. EXPLANATION OF `BE IT ORDAINED" PARAGRAPHS: 1. This section approves all findings in the Resolution. 2. This section adopts the RRM rate tariffs and finds the adoption of the new rates to be just, reasonable, and in the public interest. 3. This section makes it clear that Cities may challenge future costs associated with gas leaks like the explosion in North Dallas or the evacuation in Georgetown. 4. This section finds that existing rates are unreasonable. Such finding is a necessary predicate to establishment of new rates. The new tariffs will permit Atmos Mid -Tex to recover an additional $22.78 million from ACSC Cities. 5. This section approves an exhibit that establishes a benchmark for pensions and retiree medical benefits to be used in future rate cases or RRM filings. 6. This section approves an exhibit to be used in future rate cases or RRM filings regarding recovery of regulatory liabilities, such as excess deferred income taxes. 7. This section requires the Company to reimburse the City for expenses associated with review of the RRM filing, settlement discussions, and adoption of the Resolution approving new rate tariffs. 8. This section repeals any resolution or ordinance that is inconsistent with the Resolution. 9. This section finds that the meeting was conducted in compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. 10. This section is a savings clause, which provides that if any section is later found to be unconstitutional or invalid, that finding shall not affect, impair, or invalidate the remaining provisions of this Resolution. This section further directs that the remaining provisions of the Resolution are to be interpreted as if the offending section or clause never existed. 11. This section provides for an effective date upon passage. December 1, 2021 represents a two- month delay in the Effective Date established by the RRM tariff. 12. This section directs that a copy of the signed Resolution be sent to a representative of the Company and legal counsel for ACSC. CONCLUSION The Legislature's GRIP process allowed gas utilities to receive annual rate increases associated with capital investments. The RRM process has proven to result in a more efficient and less costly (both from a consumer rate impact perspective and from a ratemaking perspective) than the GRIP process. Given Atmos Mid-Tex's claim that its historic cost of service should entitle it to recover $43.4 million in additional system -wide revenues, the RRM settlement at $22.78 million for ACSC Cities reflects substantial savings to ACSC Cities. Settlement at $22.78 million (plus $3.8 million of additional savings due to the two-month delay) is fair and reasonable. The ACSC Executive Committee consisting of city employees of 18 ACSC members urges all ACSC members to pass the Resolution before October 1, 2021. New rates become effective December 1, 2021. LEGAL REVIEW This was reviewed by the Attorney for ACSC and the City Attorney. RECOMMENDATION Staff recommends approval. 3 Attachment 1 to Staff Memo 2021 RRM Proof of Revenues Z OE N N N N N W a H D = U M LU LU LU H CO W N U CL W w 0 Lu LU (� U ~ W 0 LL W W W O Z LL Q N U 00 } d CO LU a H U � 7 m E U U U) m IL 0 M 00 00 (0 61) r O O O O � N O) (f) Il- (fl O V (O O 00 (O V O) (f) U) I� 00 � ONO N O M (� N ER N 2) 00 00 N `°N0)00000 EFT EFT EFT EFT EFT ER ER ER 0 M 00 00 (0 61) O V 00 O) d I� V L I� V C 02 0) 0) N f0 0) ER ER N 2) N OL 2) 2) d R `°N0)00000 O r- r- V 0000 NNS 00 O O O) M N (h l!i 00U) O O) (1) V N 00 (0 U) of O > O 0 (!� O W (0 N ((O V N (O 00 O) O)(f) (0 � V I- M r- M N ONO � (h (fl V � Q Q Q � (� V E rn L E rn ER EFT EFT EFT EFT 00 O) (f) N V(O N 00 00 (0 N V O) O U) 00 (h r- O) N O) m N O 00 O -- V (h O) (h (h N -- I: 00 00 00 N N V 00 00 O) � O LO U (" N O (0 M N (O (O N N ONO 0) O r- O 00 O) N (0 O) I- M N OO (O m N V O NV (h r- V V N O 00 r- 00 O) 00 O O) N 00 N N W V O M N (O (o m (O (h O v o m W 0 � N I- m 00 N N N N V M. O O O O O O O Q9 Q9 Q9 Q9 Qc� N(o ao N N N N N N N O (O V V m O O O 0000 0 M 00 00 (0 61) d L N 0) N 0) C 02 0) 0) N f0 0) R LL N �� N 2) N OL 2) 2) d R N 2) O O t H 2)0) H m O > U.2 � U.2 �� ~U.o 0 0 m R � Q � rn v � Q Q Q � (� � d' E rn L E rn (0 E E E rn (� d N O tl) 0) Ci N E O N 0) U N L O u) u) u) 0) U N N W C 'a C> y 7 0 0) �p C> 7 0 0) �p C C C> 7 7 0 0 0 0) �p f0 N U U Of U U Of U U U U Of U N m V (!) (O I- 00 O) O N M V LO (0 1- 00 O) ON M V N N N N N Attachment 2 to 2021 RRM Staff Report Bill Impact Z LU 0 N XN Wr (n M W m LU � ' m p Z U) Lu U CLUL 2 z }0E Z w J W LU J X zma Lu Lu Lu } H O <U) LU LU as N LO LO m 0 O O N O N O LO ~ CO a O N V m 00 y N LO N 0)N LO L N 0)N L U (6 (6 -O U U U (6 (6 'O U m m -O EA II II II EA II EA O O L(7 O N I— 1— (0 O co Lq (0 (0 co I— N = CO 00 O O O 00 O N O 6ck 6ck 6ck o X X X X 0) LO LL LL LL LLLO U U U U U U N N N LO LO LO V V V 000 NC:) ~ ~ ~ N M Q m (6 Q m N (6 Q m N t N N 0)N R N N N 0)N L U (6 (6 -O U (6 (6 -O U U (6 (6 'O U m m -O LO LO M 0 O O 00 00 0 N O I— 1— LO Lq U .� of of O O N I� LO LO Co, M, _ N U U (6 (D O -a N LO LO E UD LL O Co H N M E UD LL O Cl) H E UD LL O Co F-- N C N N N C N N N C N N 0 'O 'O 'O7 O O U O a` L4 L4 II II II II O O O I— O N O O co I— O co I— N CO 0000 O O O O O X X X X O LL LL LL LLO U U U U U U N N N LO LO LO V V Na- CDmo000 LO O N Ln N O LO LO O V (7 (7 L(7 00 IL(7 O y LCO (7 L(7 i N N U EA EA EA II II II II co O 1- O co co O O co O O O O O X X X X O N LL LL LL co U U U N U U U LO LO LO N N N co co co co co co (7 0 O O 1—CD I -M �I�II LO I� N � O `0CD co a-01— M`�INII LO V LO CO00 LO II II II II ch O NOcco N (0 (0 I— N 00 00 O O O O O 61� 61� 61� o POKAKM�m 0o O LL LL LL co U U U N U U U LO LO LO N N N co co co co co co ~ ~ ~ ~ M Q m (6 Q m (6 Q CO (6 Q m N t N N 0)N w N N N 0)N w U (6 (6 -O U (6 (6 -O V U (6 (6 'O U m m -O N N U .� C) C O U .� O Lq U .� of of O U .� Ir o O 06 N U U (6 LL (D O _ N U U (6 (D O M N U U LL (6 (D O _ N U U LL (6 (D O E UD LL O Co H E UD LL O Co H M E UD LL O Cl) H E UD LL O Co F-- C N N 0 _0 'O 'O 'O C N N N C N N N C N N 0 'O 'O 'O7 O U L4 L4 D N m O O O N C7 V L0 (0 I� 00 O O N CO V LOO N N N N N N N I-- 00 O O � N CO V LO N N N co ('7 co co co co J Z a) O LO LO (0 00 V O V LO LO O V LO O r- V c7 LO ' (7 T (c) N 00 I-- 0) O V c) CO O I— 1— L U II II II II II II I— V c7 LO O Ln V LO N 00 O (0 (0 c7 V CO O LO LO I— O O O O 1- O O EA EA EA EA EA 0 X X X X X X II II II II II II O O LO O c7 00 N 00 co 0 0 co V c7O LO LO 1- O O O O 1— O O EA EA EA EA EA 0 X X X X X X O LO LO co co O LO LO O LO (0 V O V CO LO ' V I- c7 y N 00 O m L O (0 I� � O ('� O L U Gq 6a 6a II II II II II I— V c7 O LO V LO 00 O (0 c7 V c7 O LO I� O O O O 1- O O EA EA EA EA 0 X X X X X LO O O co lco co I— LO CO LO (0 V O I— ,TIO O LO V O N O (0 00 I— CO m CG 16' II II II II II O O O co 00 00 co (0 co V c7 O LO 1- O O O O 00 O O (A (A (A (A 0 I�o O (0 O LO O (0 O O r R L U m m m m m O m m m m m O LO O O (0 00 O N m m m m 1— —OO I— LO 00 V LO O I— 00 V O I— CO V O N N -a LO V I— O O LO V y O (0 00 CO O I— 00 N (0 N O CDMmm O O mm O O O O O O O L O� �� a O 1— 1— Lo LO O O O II II II II II II O O LO O c7 00 N 00 co 0 0 co V c7O LO LO 1- O O O O 1— O O EA EA EA EA EA 0 X X X X X X O LO LO co co O LO LO O LO (0 V O V CO LO ' V I- c7 y N 00 O m L O (0 I� � O ('� O L U Gq 6a 6a II II II II II I— V c7 O LO V LO 00 O (0 c7 V c7 O LO I� O O O O 1- O O EA EA EA EA 0 X X X X X LO O O co lco co I— LO CO LO (0 V O I— ,TIO O LO V O N O (0 00 I— CO m CG 16' II II II II II O O O co 00 00 co (0 co V c7 O LO 1- O O O O 00 O O (A (A (A (A 0 I� o (0 V LO O N 'COD II rop a) a> a> Xa> a> a> X a> a> a> Xcm cm cm < a> a> a> X o m m m Q m o m m m Q m o m m m in t . m m mEM m � 0 .o 0 o m � .o 0 o m � .o 0 o m � .o 0 o m of of o06 �� o06 rn � o06 � o06 rn �U U D- D- D-C)U r D- D- D-C)D- D- 0-U m o E E E E U U ILL o E E E E U U. LL o v E E E E U ILL o E E E E U ILL o 0 0 0 0 U H o 0 0 0 co H o 0 0 0 CO H o 0 0 0 U H in 0 0 c 0 n c c c 0 n c c c 0 m n c c c 0 0 0 0 Z) 0 0 0 0 0 0. 0 0 0 -a U U U U of of � U U U U of of � U U U U of � U U U U of of Cal col— 00 0) O � NCO V LO CO I— 00 MCD � N c7 V LO (0 I— 00 0) O � N c7 V LO (O I— 00 O O � N CO V LO co co co co V V V V V V V V V V LO Ln LO LO LO LO LO LO LO LO (0 O 000000001— 1— 1— 1— V O 00 co O (0 (0 m m m m m O m m m m m O m m m m (0 m m m m 1— —OO CDMmm O O mm O O O O O O O I— 1— 1— O� �� O� 1— O 1— 1— Lo LO O O O LO LO O O O LO LO O O LO LO O O - - - - N V V - - - - = N V V - - - = N V - - - = N V I� o (0 V LO O N 'COD II rop a) a> a> Xa> a> a> X a> a> a> Xcm cm cm < a> a> a> X o m m m Q m o m m m Q m o m m m in t . m m mEM m � 0 .o 0 o m � .o 0 o m � .o 0 o m � .o 0 o m of of o06 �� o06 rn � o06 � o06 rn �U U D- D- D-C)U r D- D- D-C)D- D- 0-U m o E E E E U U ILL o E E E E U U. LL o v E E E E U ILL o E E E E U ILL o 0 0 0 0 U H o 0 0 0 co H o 0 0 0 CO H o 0 0 0 U H in 0 0 c 0 n c c c 0 n c c c 0 m n c c c 0 0 0 0 Z) 0 0 0 0 0 0. 0 0 0 -a U U U U of of � U U U U of of � U U U U of � U U U U of of Cal col— 00 0) O � NCO V LO CO I— 00 MCD � N c7 V LO (0 I— 00 0) O � N c7 V LO (O I— 00 O O � N CO V LO co co co co V V V V V V V V V V LO Ln LO LO LO LO LO LO LO LO (0 O 000000001— 1— 1— 1— Attachment 3 to 2021 RRM Staff Report RRM Monthly Savings Over GRIP and DARR Rates ATMOS ENERGY CORP., MID-TEX DIVISION RESIDENTIAL AVERAGE BILL COMPARISON (EXCLUDING GAS COSTS) ACSC DARR ATM ENVIRONS Settled Settled Filing Filing Customer Charge $20.85 $23.80 $27.68 $25.90 Monthly Ccf [1] 45.2 52.7 45.2 45.2 Consumption Charge $0.27979 $0.19526 $0.14846 $0.18653 Average Monthly Bill $33.50 $34.09 $34.39 $34.33 -$0.60 -$0.89 -$0.83 [1] Recognizes that average normal usage for Dallas residential customers is greater than Mid -Tex average. RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, APPROVING A NEGOTIATED SETTLEMENT BETWEEN THE ATMOS CITIES STEERING COMMITTEE ("ACSC") AND ATMOS ENERGY CORP., MID-TEX DIVISION REGARDING THE COMPANY'S 2021 RATE REVIEW MECHANISM FILING; DECLARING EXISTING RATES TO BE UNREASONABLE; ADOPTING TARIFFS THAT REFLECT RATE ADJUSTMENTS CONSISTENT WITH THE NEGOTIATED SETTLEMENT; FINDING THE RATES TO BE SET BY THE ATTACHED SETTLEMENT TARIFFS TO BE JUST AND REASONABLE AND IN THE PUBLIC INTEREST; APPROVING AN ATTACHED EXHIBIT ESTABLISHING A BENCHMARK FOR PENSIONS AND RETIREE MEDICAL BENEFITS; APPROVING AN ATTACHED EXHIBIT REGARDING AMORTIZATION OF REGULATORY LIABILITY; REQUIRING THE COMPANY TO REIMBURSE ACSC'S REASONABLE RATEMAKING EXPENSES; DETERMINING THAT THIS RESOLUTION WAS PASSED IN ACCORDANCE WITH THE REQUIREMENTS OF THE TEXAS OPEN MEETINGS ACT; ADOPTING A SAVINGS CLAUSE; DECLARING AN EFFECTIVE DATE; AND REQUIRING DELIVERY OF THIS RESOLUTION TO THE COMPANY AND THE ACSC'S LEGAL COUNSEL. WHEREAS, the City of Coppell, Texas ("City") is a gas utility customer of Atmos Energy Corp., Mid -Tex Division ("Atmos Mid -Tex" or "Company"), and a regulatory authority with an interest in the rates, charges, and services of Atmos Mid -Tex; and WHEREAS, the City is a member of the Atmos Cities Steering Committee ("ACSC"), a coalition of similarly -situated cities served by Atmos Mid -Tex ("ACSC Cities") that have joined together to facilitate the review of, and response to, natural gas issues affecting rates charged in the Atmos Mid -Tex service area; and WHEREAS, ACSC and the Company worked collaboratively to develop a Rate Review Mechanism ("RRM") tariff that allows for an expedited rate review process by ACSC Cities as a substitute to the Gas Reliability Infrastructure Program ("GRIP") process instituted by the Legislature, and that will establish rates for the ACSC Cities based on the system -wide cost of serving the Atmos Mid -Tex Division; and WHEREAS, the current RRM tariff was adopted by the City in a rate ordinance in 2018; and WHEREAS, on about April 1, 2021, Atmos Mid -Tex filed its 2021 RRM rate request with ACSC Cities based on a test year ending December 31, 2020; and WHEREAS, ACSC coordinated its review of the Atmos Mid -Tex 2021 RRM filing through its Executive Committee, assisted by ACSC's attorneys and consultants, to resolve issues identified in the Company's RRM filing; and WHEREAS, the Executive Committee, as well as ACSC's counsel and consultants, recommend that ACSC Cities approve an increase in base rates for Atmos Mid -Tex of $22.78 million applicable to ACSC Cities with an Effective Date of December 1, 2021; and WHEREAS, ACSC agrees that Atmos' plant -in-service is reasonable; and WHEREAS, with the exception of approved plant -in-service, ACSC is not foreclosed from future reasonableness evaluation of costs associated with incidents related to gas leaks; and WHEREAS, the two month delayed Effective Date from October 1 to December 1 will save ACSC ratepayers approximately $3.8 million off new rates imposed by the attached tariffs (Exhibit A); and WHEREAS, the attached tariffs (Exhibit A) implementing new rates are consistent with the recommendation of the ACSC Executive Committee, are agreed to by the Company, and are just, reasonable, and in the public interest; and WHEREAS, the settlement agreement sets a new benchmark for pensions and retiree medical benefits (Exhibit B); and 2557/33/8275501 2 WHEREAS, the settlement agreement establishes an amortization schedule for regulatory liability prepared by Atmos Mid -Tex (Exhibit C); and WHEREAS, the RRM Tariff contemplates reimbursement of ACSC's reasonable expenses associated with RRM applications; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS: Section 1. That the findings set forth in this Resolution are hereby in all things approved. Section 2. That, without prejudice to future litigation of any issue identified by ACSC, the City Council finds that the settled amount of an increase in revenues of $22.78 million for ACSC Cities represents a comprehensive settlement of gas utility rate issues affecting the rates, operations, and services offered by Atmos Mid -Tex within the municipal limits arising from Atmos Mid-Tex's 2021 RRM filing, is in the public interest, and is consistent with the City's authority under Section 103.001 of the Texas Utilities Code. Section 3. That despite finding Atmos Mid-Tex's plant -in-service to be reasonable, ACSC is not foreclosed in future cases from evaluating the reasonableness of costs associated with incidents involving leaks of natural gas. Section 4. That the existing rates for natural gas service provided by Atmos Mid -Tex are unreasonable. The new tariffs attached hereto and incorporated herein as Exhibit A, are just and reasonable, and are designed to allow Atmos Mid -Tex to recover annually an additional $22.78 million from customers in ACSC Cities, over the amount allowed under currently approved rates. Such tariffs are hereby adopted. 2557/33/8275501 3 Section 5. That the ratemaking treatment for pensions and retiree medical benefits in Atmos Mid-Tex's next RRM filing shall be as set forth on Exhibit B, attached hereto and incorporated herein. Section 6. That subject to any future settlement or decision regarding the balance of Excess Deferred Income Tax to be refunded to ratepayers, the amortization of regulatory liability shall be consistent with the schedule found in Exhibit C, attached hereto and incorporated herein. Section 7. That Atmos Mid -Tex shall reimburse the reasonable ratemaking expenses of the ACSC in processing the Company's 2021 RRM filing. Section 8. That to the extent any resolution or ordinance previously adopted by the Council is inconsistent with this Resolution, it is hereby repealed. Section 9. That the meeting at which this Resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 5 51. Section 10. That if any one or more sections or clauses of this Resolution is adjudged to be unconstitutional or invalid, such judgment shall not affect, impair, or invalidate the remaining provisions of this Resolution, and the remaining provisions of the Resolution shall be interpreted as if the offending section or clause never existed. Section 11. That consistent with the City Ordinance that established the RRM process, this Resolution shall become effective from and after its passage with rates authorized by attached tariffs to be effective for bills rendered on or after December 1, 2021. Section 12. That a copy of this Resolution shall be sent to Atmos Mid -Tex, care of Chris Felan, Vice President of Rates and Regulatory Affairs Mid -Tex Division, Atmos Energy Corporation, 5420 LBJ Freeway, Suite 1862, Dallas, Texas 75240, and to Thomas Brocato, 2557/33/8275501 4 General Counsel to ACSC, at Lloyd Gosselink Rochelle & Townsend, P.C., 816 Congress Avenue, Suite 1900, Austin, Texas 78701. DULY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, BY A VOTE OF TO , ON THIS THE DAY OF , 2021. Wes Mays, Mayor ATTEST: Ashley Owens, City Secretary APPROVED AS TO FORM: Robert E. Hager, City Attorney 2557/33/8275501 5 Exhibit A to 2021 RRM Resolution or Ordinance Mid -Tex Tariffs Effective December 1, 2021 MID-TEX DIVISION ATMOS ENERGY CORPORATION RRC Tariff No: RATE SCHEDULE: R — RESIDENTIAL SALES APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF EFFECTIVE DATE: Bills Rendered on or after 12/01/2021 PAGE: Application Applicable to Residential Customers for all natural gas provided at one Point of Delivery and measured through one meter. Type of Service Where service of the type desired by Customer is not already available at the Point of Delivery, additional charges and special contract arrangements between Company and Customer may be required prior to service being furnished. Monthly Rate Customer's monthly bill will be calculated by adding the following Customer and Ccf charges to the amounts due under the riders listed below: Charge Amount Customer Charge per Bill $ 20.85 per month Rider CEE Surcharge $ 0.05 per month' Total Customer Charge $ 20.90 per month Commodity Charge — All Ccf $0.27979 per Ccf Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated in accordance with Part (a) and Part (b), respectively, of Rider GCR. Weather Normalization Adjustment: Plus or Minus an amount for weather normalization calculated in accordance with Rider WNA. Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated municipality. Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX. Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s). Agreement An Agreement for Gas Service may be required. Notice Service hereunder and the rates for services provided are subject to the orders of regulatory bodies having jurisdiction and to the Company's Tariff for Gas Service. 'Reference Rider CEE - Conservation and Energy Efficiency as approved in GUD 10170. Surcharge billing effective July 1, 2021. MID-TEX DIVISION RRC Tariff No: ATMOS ENERGY CORPORATION RATE SCHEDULE: C — COMMERCIAL SALES APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF EFFECTIVE DATE: Bills Rendered on or after 12/01/2021 PAGE: Page Application Applicable to Commercial Customers for all natural gas provided at one Point of Delivery and measured through one meter and to Industrial Customers with an average annual usage of less than 30,000 Ccf. Type of Service Where service of the type desired by Customer is not already available at the Point of Delivery, additional charges and special contract arrangements between Company and Customer may be required prior to service being furnished. Monthly Rate Customer's monthly bill will be calculated by adding the following Customer and Ccf charges to the amounts due under the riders listed below: Charge Amount Customer Charge per Bill $ 56.50 per month Rider CEE Surcharge $ 0.01 per month' Total Customer Charge $ 56.51 per month Commodity Charge — All Ccf $ 0.12263 per Ccf Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated in accordance with Part (a) and Part (b), respectively, of Rider GCR. Weather Normalization Adjustment: Plus or Minus an amount for weather normalization calculated in accordance with Rider WNA. Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated municipality. Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX. Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s). Agreement An Agreement for Gas Service may be required. Notice Service hereunder and the rates for services provided are subject to the orders of regulatory bodies having jurisdiction and to the Company's Tariff for Gas Service. 1 Reference Rider CEE - Conservation and Energy Efficiency as approved in GUD 10170. Surcharge billing effective July 1, 2021. MID-TEX DIVISION RRC Tariff No: ATMOS ENERGY CORPORATION RATE SCHEDULE: I — INDUSTRIAL SALES APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF EFFECTIVE DATE: Bills Rendered on or after 12/01/2021 PAGE: Application Applicable to Industrial Customers with a maximum daily usage (MDU) of less than 3,500 MMBtu per day for all natural gas provided at one Point of Delivery and measured through one meter. Service for Industrial Customers with an MDU equal to or greater than 3,500 MMBtu per day will be provided at Company's sole option and will require special contract arrangements between Company and Customer. Type of Service Where service of the type desired by Customer is not already available at the Point of Delivery, additional charges and special contract arrangements between Company and Customer may be required prior to service being furnished. Monthly Rate Customer's monthly bill will be calculated by adding the following Customer and MMBtu charges to the amounts due under the riders listed below: Charge Amount Customer Charge per Meter $ 1,054.75 per month First 0 MMBtu to 1,500 MMBtu $ 0.4330 per MMBtu Next 3,500 MMBtu $ 0.3171 per MMBtu All MMBtu over 5,000 MMBtu $ 0.0680 per MMBtu Gas Cost Recovery: Plus an amount for gas costs and upstream transportation costs calculated in accordance with Part (a) and Part (b), respectively, of Rider GCR. Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated municipality. Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX. Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s). Curtailment Overpull Fee Upon notification by Company of an event of curtailment or interruption of Customer's deliveries, Customer will, for each MMBtu delivered in excess of the stated level of curtailment or interruption, pay Company 200% of the midpoint price for the Katy point listed in Platts Gas Daily published for the applicable Gas Day in the table entitled "Daily Price Survey." Replacement Index In the event the "midpoint" or "common" price for the Katy point listed in Platts Gas Daily in the table entitled "Daily Price Survey" is no longer published, Company will calculate the applicable imbalance fees utilizing a daily price index recognized as authoritative by the natural gas industry and most closely approximating the applicable index. MID-TEX DIVISION ATMOS ENERGY CORPORATION RRC Tariff No: RATE SCHEDULE: I — INDUSTRIAL SALES APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF EFFECTIVE DATE: Bills Rendered on or after 12/01/2021 PAGE: Agreement An Agreement for Gas Service may be required. Notice Service hereunder and the rates for services provided are subject to the orders of regulatory bodies having jurisdiction and to the Company's Tariff for Gas Service. Special Conditions In order to receive service under Rate I, Customer must have the type of meter required by Company. Customer must pay Company all costs associated with the acquisition and installation of the meter. MID-TEX DIVISION RRC Tariff No: ATMOS ENERGY CORPORATION RATE SCHEDULE: T — TRANSPORTATION APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF EFFECTIVE DATE: Bills Rendered on or after 12/01/2021 PAGE: Application Applicable, in the event that Company has entered into a Transportation Agreement, to a customer directly connected to the Atmos Energy Corp., Mid -Tex Division Distribution System (Customer) for the transportation of all natural gas supplied by Customer or Customer's agent at one Point of Delivery for use in Customer's facility. Type of Service Where service of the type desired by Customer is not already available at the Point of Delivery, additional charges and special contract arrangements between Company and Customer may be required prior to service being furnished. Monthly Rate Customer's bill will be calculated by adding the following Customer and MMBtu charges to the amounts and quantities due under the riders listed below: Charge Amount Customer Charge per Meter $ 1,054.75 per month First 0 MMBtu to 1,500 MMBtu $ 0.4330 per MMBtu Next 3,500 MMBtu $ 0.3171 per MMBtu All MMBtu over 5,000 MMBtu $ 0.0680 per MMBtu Upstream Transportation Cost Recovery: Plus an amount for upstream transportation costs in accordance with Part (b) of Rider GCR. Retention Adjustment: Plus a quantity of gas as calculated in accordance with Rider RA. Franchise Fee Adjustment: Plus an amount for franchise fees calculated in accordance with Rider FF. Rider FF is only applicable to customers inside the corporate limits of any incorporated municipality. Tax Adjustment: Plus an amount for tax calculated in accordance with Rider TAX. Surcharges: Plus an amount for surcharges calculated in accordance with the applicable rider(s). Imbalance Fees All fees charged to Customer under this Rate Schedule will be charged based on the quantities determined under the applicable Transportation Agreement and quantities will not be aggregated for any Customer with multiple Transportation Agreements for the purposes of such fees. Monthly Imbalance Fees Customer shall pay Company the greater of (i) $0.10 per MMBtu, or (ii) 150% of the difference per MMBtu between the highest and lowest "midpoint" price for the Katy point listed in Platts Gas Daily in the table entitled "Daily Price Survey" during such month, for the MMBtu of Customer's monthly Cumulative Imbalance, as defined in the applicable Transportation Agreement, at the end of each month that exceeds 10% of Customer's receipt quantities for the month. MID-TEX DIVISION ATMOS ENERGY CORPORATION RRC Tariff No: RATE SCHEDULE: T — TRANSPORTATION APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF EFFECTIVE DATE: Bills Rendered on or after 12/01/2021 PAGE: Curtailment Overpull Fee Upon notification by Company of an event of curtailment or interruption of Customer's deliveries, Customer will, for each MMBtu delivered in excess of the stated level of curtailment or interruption, pay Company 200% of the midpoint price for the Katy point listed in Platts Gas Daily published for the applicable Gas Day in the table entitled "Daily Price Survey." Replacement Index In the event the "midpoint" or "common" price for the Katy point listed in Platts Gas Daily in the table entitled "Daily Price Survey" is no longer published, Company will calculate the applicable imbalance fees utilizing a daily price index recognized as authoritative by the natural gas industry and most closely approximating the applicable index. Agreement A transportation agreement is required. Notice Service hereunder and the rates for services provided are subject to the orders of regulatory bodies having jurisdiction and to the Company's Tariff for Gas Service. Special Conditions In order to receive service under Rate T, customer must have the type of meter required by Company. Customer must pay Company all costs associated with the acquisition and installation of the meter. MID-TEX DIVISION ATMOS ENERGY CORPORATION RIDER: WNA — WEATHER NORMALIZATION ADJUSTMENT APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF EFFECTIVE DATE: Bills Rendered on or after 12/01/2021 PAGE: Provisions for Adiustment The Commodity Charge per Ccf (100 cubic feet) for gas service set forth in any Rate Schedules utilized by the cities of the Mid -Tex Division service area for determining normalized winter period revenues shall be adjusted by an amount hereinafter described, which amount is referred to as the "Weather Normalization Adjustment." The Weather Normalization Adjustment shall apply to all temperature sensitive residential and commercial bills based on meters read during the revenue months of November through April. The five regional weather stations are Abilene, Austin, Dallas, Waco, and Wichita Falls. Computation of Weather Normalization Adjustment The Weather Normalization Adjustment Factor shall be computed to the nearest one-hundredth cent per Ccf by the following formula: (HSFi x (NDD-ADD) ) WNAFi = Ri (BLi + (HSFi x ADD) ) Where i = any particular Rate Schedule or billing classification within any such particular Rate Schedule that contains more than one billing classification WNAFi = Weather Normalization Adjustment Factor for the ith rate schedule or classification expressed in cents per Ccf Ri = Commodity Charge rate of temperature sensitive sales for the ith schedule or classification. HSFi = heat sensitive factor for the ith schedule or classification divided by the average bill count in that class NDD = billing cycle normal heating degree days calculated as the simple ten-year average of actual heating degree days. ADD = billing cycle actual heating degree days. Bli = base load sales for the ith schedule or classification divided by the average bill count in that class The Weather Normalization Adjustment for the jth customer in ith rate schedule is computed as: WNA; = WNAF; x q;j Where q;j is the relevant sales quantity for the jth customer in ith rate schedule. MID-TEX DIVISION ATMOS ENERGY CORPORATION RIDER: WNA — WEATHER NORMALIZATION ADJUSTMENT APPLICABLE TO: ALL CUSTOMERS IN THE MID-TEX DIVISION UNDER THE RRM TARIFF EFFECTIVE DATE: Bills Rendered on or after 12/01/2021 PAGE: Base Use/Heat Use Factors Weather Normalization Adiustment (WNA) Report On or before June 1 of each year, the company posts on its website at atmosenergy.com/mtx-wna, in Excel format, a Weather Normalization Adjustment (WNA) Report to show how the company calculated its WNAs factor during the preceding winter season. Additionally, on or before June 1 of each year, the company files one hard copy and an Excel version of the WNA Report with the Railroad Commission of Texas' Gas Services Division, addressed to the Director of that Division. Residential Commercial Base use Heat use Base use Heat use Weather Station Ccf Ccf/HDD Ccf Ccf/HDD Abilene 11.88 0.1459 85.39 0.6996 Austin 10.34 0.1452 194.82 0.9398 Dallas 15.21 0.1915 148.19 1.0986 Waco 10.63 0.1373 130.39 0.7436 Wichita 12.63 0.1398 109.17 0.5803 Falls Weather Normalization Adiustment (WNA) Report On or before June 1 of each year, the company posts on its website at atmosenergy.com/mtx-wna, in Excel format, a Weather Normalization Adjustment (WNA) Report to show how the company calculated its WNAs factor during the preceding winter season. Additionally, on or before June 1 of each year, the company files one hard copy and an Excel version of the WNA Report with the Railroad Commission of Texas' Gas Services Division, addressed to the Director of that Division. Exhibit B to 2021 RRM Resolution or Ordinance Mid -Tex 2021 Benchmark for Pensions and Retiree Benefits J w CL CL Q N Z W 0 N N U N > 0 0 M LL W N W atm 0 W - W U m W (0 UC)Z } WZ W LLI LU W W W No Lu ~ H F W F- 0 H Z Q N Z O N Z W CL C a) R (n O 7 H 'a Q C � a) � CL 0 0 CL a E m _ w ; C L x y > R a'm a a_ MU N x W C R 0a O N C a u Q C � a) � w; E a O O r= aria a0 y > W m d N R R �a N O .r a) O CL u Q C O a) C O J Z m o O O r- (C m N O— (R m o (0 7 O vr- ui ER ER C O N N N I- N N r- (,) N 0) N N N m ER ER ER ( a) N '6 0 00 M m N Q O O) LO LO U 3 � w o Q W ul O O ao O ao O M (I U 0) O NDN 0) m m a)d a) a) U Q N m � � > N V O V) O V V) (O (O co V co m 2 a) j Q Q o vov m 0 0 LL a - V O E -E m a) ER ER ER ER (`6 Y >O O o 0 o NN m a) N LL O O U) U) L l C VO v O V v 6 1- 0) m 0) m d O o N N — a) o s c m vi fF) ffi ffi fR O O- (OA N o > Q ((O o ((O o 00 00 o o (Oi (Oi =; (1) o rn 1-01- N — N 1- LO 0) u 0) E Y m w a) m -2 E m o 0 a) �T�� Vi Vi Vi Vi U __ Ul `O m '- N 0 @ O -r3 � m \ U S _ N O E V m a) O a) � o°o xN H m m M N .N 7 'r -o U — O N N (6 O ON E O Q O- C m m s (6 m a) U Q m d} a) U t t m H O N O (6 U U) N U) C J w a) X O C a) UO) �j _ (Yi d a)ami m 7 O ami E Y LL m N WI w a) > o_ a) ul U :53 m a) O E o Q d u) m a) 7 a) 0 � U o N U Q m d a) J a) a) a) O — m Q U U 3V E _ U Ul 3 U N U) m U D C C Q u o +�-' a) O W Q Q a) J m Q m >+ w m a) (n Q w E I x c ate) x aw) 0= i a) °) s a) m M 0 w a a U N 0 o D CL E m m m m a) a) U U Oa 7 U 06 O HHRH .� z(h (h V N (O W O) O V (O W O) O Nm N N N N Exhibit C to 2021 RRM Resolution or Ordinance Mid -Tex 2021 Schedule for Amortization for Regulatory Liability ATMOS ENERGY CORP., MID-TEX DIVISION RATE BASE ADJUSTMENTS TEST YEAR ENDING DECEMBER 31, 2020 AMORTIZATION OF REGULATORY LIABILITY Total Total Beginning Protected & Protected & Line Year Ended Beginning Protected Ending Protected Unprotected Unprotected Ending Unprotected Unprotected Unprotected No. Dec. 31 Protected Balance Amortization Balance Balance Amortization Balance Amortization Balance (a) (b) (c) (d) (e) (f) (g) (h) (i) 1 2017 (3) $ - $ - $ (51,477,654) $ - $ - $ 343,746,535 $ - $ 292,268,881 2 2018 (51,477,654) 494,977 (50,982,677) 343,746,535 (3,513,868) 340,232,667 (3,018,891) 289,249,991 3 2019 (50,982,677) 1,979,910 (49,002,767) 340,232,667 (14,057,872) 326,174,795 (12,077,963) 277,172,028 4 2020 (49,002,767) 1,979,910 (47,022,857) 326,174,795 (13,988,908) 312,185,886 (12,008,999) 265,163,029 5 2021 (47,022,857) 3,464,842 (43,558,015) 312,185,886 (26,390,127) 285,795,760 (22,925,284) 242,237,745 6 2022 (43,558,015) 1,979,910 (41,578,105) 285,795,760 (60,167,528) 225,628,231 (58,187,619) 184,050,126 7 2023 (41,578,105) 1,979,910 (39,598,195) 225,628,231 (60,167,528) 165,460,703 (58,187,619) 125,862,508 8 2024 (39,598,195) 1,979,910 (37,618,286) 165,460,703 (60,167,528) 105,293,175 (58,187,619) 67,674,889 9 2025 (37,618,286) 1,979,910 (35,638,376) 105,293,175 (60,167,528) 45,125,646 (58,187,619) 9,487,270 10 2026 (35,638,376) 1,979,910 (33,658,466) 45,125,646 (45,125,646) (0) (43,145,737) (33,658,466) 11 2027 (33,658,466) 1,979,910 (31,678,556) (0) 0 1,979,910 (31,678,556) 12 2028 (31,678,556) 1,979,910 (29,698,647) - - 1,979,910 (29,698,647) 13 2029 (29,698,647) 1,979,910 (27,718,737) - - 1,979,910 (27,718,737) 14 2030 (27,718,737) 1,979,910 (25,738,827) - - 1,979,910 (25,738,827) 15 2031 (25,738,827) 1,979,910 (23,758,917) - - 1,979,910 (23,758,917) 16 2032 (23,758,917) 1,979,910 (21,779,007) - - 1,979,910 (21,779,007) 17 2033 (21,779,007) 1,979,910 (19,799,098) - - 1,979,910 (19,799,098) 18 2034 (19,799,098) 1,979,910 (17,819,188) - - 1,979,910 (17,819,188) 19 2035 (17,819,188) 1,979,910 (15,839,278) - - 1,979,910 (15,839,278) 20 2036 (15,839,278) 1,979,910 (13,859,368) - - 1,979,910 (13,859,368) 21 2037 (13,859,368) 1,979,910 (11,879,459) - - 1,979,910 (11,879,459) 22 2038 (11,879,459) 1,979,910 (9,899,549) - - 1,979,910 (9,899,549) 23 2039 (9,899,549) 1,979,910 (7,919,639) - - 1,979,910 (7,919,639) 24 2040 (7,919,639) 1,979,910 (5,939,729) - - 1,979,910 (5,939,729) 25 2041 (5,939,729) 1,979,910 (3,959,820) - - 1,979,910 (3,959,820) 26 2042 (3,959,820) 1,979,910 (1,979,910) - - 1,979,910 (1,979,910) 27 2043 (1,979,910) 1,979,910 0 - - 1,979,910 0 28 29 Revenue Related Tax Factor See WP F-5.1 6.79 30 Revenue Related Taxes on Annual Amortization Amortization * Tax Factor $ 3,949,355 31 Amortization Including Revenue Related Taxes Amortization + Taxes $ 62,136,973 32 33 Notes: 34 1. The annual amortization of the protected balance is a 26 year recovery period based on the Reverse South Georgia Method. The annual amortization of the unprotected balance is 5 years. 35 2. The Regulatory Liability is recorded to FERC Accounts 253 and 242, Sub Account 27909. 36 3. This is the final Mid -Tex liability balance fling the Fiscal Year 2018 tax return. July 21, 2021 FREQUENTLY ASKED QUESTIONS REGARDING ACSC HISTORY AND THE RRM RATEMAKING PROCESS What is the role of Cities in ratemakinLy? Cities have historically exercised original jurisdiction over the level of gas rates charged within their boundaries. Generally, gas distribution utilities have filed rate cases at the City level and have only gone to the Railroad Commission of Texas ("RCT" or "Commission") with an appeal of City action or when they could not reach a settlement with Cities. If a utility and Cities reach an agreement, the utility may then file a case at the RCT to implement the same rates approved by Cities in areas outside municipal boundaries. Once a case is at the RCT, the Commission Staff generally expects Cities to intervene and do most of the discovery, cross-examination, briefing, and sponsor opposing witnesses. There is no consumer advocate at the RCT. If Cities do not participate in hearings at the RCT, the request of a regulated utility is likely to be rubber-stamped. How and why was the Atmos Cities Steering Committee created? The Atmos pipeline and distribution systems were built, owned, and operated by Lone Star Gas ("LSG'), which maintained over 200 rate jurisdictions until it sold its assets to Texas Utilities ("TXU") in the late 1990's. That meant that many Cities had their own unique distribution rates and that individual Cities had to process rate cases at the local level. LSG-Pipeline served all 200 -plus distribution systems, and pipeline rates were set by the RCT. From the early 1980's through the late 1990's, LSG filed no pipeline or system -wide rate cases at the RCT. When LSG was finally brought before the RCT to show cause why its rates should not be reduced, approximately 80 Cities intervened and created an ad hoc group known as the Steering Committee of Cities Served by Lone Star. In Gas Utilities Division ("GUM) docket number 8664, three separate groups of Cities and a number of independent Cities (jointly the "Aligned Cities") participated and coordinated their efforts to oppose the rate increase. TXU purchased the LSG assets in the late 1990's and immediately commenced consolidating 200 -plus ratemaking jurisdictions into regions. As regional cases were filed, Cities within each region created an ad hoc committee to form a common strategy and negotiating position. Once TXU had aggregated the Cities into five or six jurisdictions, each with a different rate, Texas Utilities Gas Company filed a system -wide case to bring all of the old LSG territory under one common rate. The different City regional committees then united and formed the Allied Coalition of Cities ("ACC"). While the gas utility assets were owned and controlled by TXU, the coalition transformed itself from an ad hoc group that came together only in response to rate filings by the utility into a permanent standing coalition. In Gas Utilities Docket ("GUM) No. 9400 in 2004, TXU's request for a $61.6 million system -wide increase was aggressively opposed by ACC. Cities achieved disallowances of $42.9 million of a regulatory asset and $87.8 million of capitalized gas utility plant. The company received only a $2.01 million increase. Unhappy with that result, TXU decided that owning a gas system was neither as fun nor as profitable as the deregulated electric system, and they sold the system to Atmos Energy Corporation ("Atmos" or "Company"). ACC was then transformed into the Steering 2557/28/7898547 1 Committee of Cities Served by Atmos and then renamed Atmos Cities Steering Committee to obtain an easy to remember acronym, "ACSC." What is the Atmos Cities Steering Committee? ACSC is a coalition of 175 Cities that unite in common purpose to address gas utility rate and franchise issues related to Atmos Energy Corporation. Its objectives are to: (1) ensure that gas utility rates charged to Cities and their residents are fair and reasonable; (2) maintain safe and reliable gas utility service; (3) protect cities' original jurisdiction over rates and services; (4) maintain reasonable franchise revenue for cities; and (5) promote sound ratemaking policies in the public interest. Cities join the permanent standing committee by passing a resolution and agreeing to support the work of ACSC through modest occasional per capita assessments that support ongoing administrative and legislative advocacy and all expenses where Cities are not entitled to reimbursement. Each member City designates a representative to ACSC. Member representatives may volunteer to serve on the ACSC Executive Committee. The Executive Committee sets policy, hires legal counsel and consultants, directs litigation, establishes a legislative agenda, sets assessments on members as needed, and meets quarterly with Atmos executives. The Settlement Committee is directly involved in negotiating resolution of contested matters with Atmos executives. The list of current members is attached. What is the benefit of membership in ACSC? One hundred seventy Cities speaking as one voice is much more effective in advocacy before the Railroad Commission and legislature than any one City or multiple small groups of Cities. The legislature has given gas utilities a right to an annual increase in rates. Resources (both financial and human) of individual Cities are conserved by membership in ACSC. Additionally, membership enhances institutional memory of ratemaking issues, public policy debates, and right-of- way and franchise fee battles. What has ACSC accomplished? ACSC has been instrumental in saving consumers from paying hundreds of millions of unreasonable gas utility costs. This advocacy helps taxpayers and the Texas economy. ACSC is involved in the legislative process to make sure consumers and taxpayers are represented on gas utility matters. ACSC advocates for reasonable rates and safe and reliable service. ACSC has maintained a watchful eye on the process to ensure that provisions that could harm the interest of gas utility ratepayers are excluded from the legislation. ACSC has also resolved a major issue involving franchise fees. In 2010, Atmos unilaterally, without notice, ceased inclusion of franchise fees in the calculations of gross receipts regardless of whether specific franchises included such payments. Several Cities were willing to pursue the matter through litigation. However, counsel for ACSC was able to negotiate a resolution that allowed each member City to determine whether it desired an increase in franchise fee payments based on inclusion of franchise fees in the calculation of gross receipts. If a City opted for inclusion of fee -on - fee revenues, it had the further option of retroactive payments back to the point in time that Atmos decided to curtail fee -on -fee payments. Each member had these options regardless of the wording of 2557/28/7898547 2 the then -valid franchise agreement. This resolution spared significant litigation costs and anxiety and was only possible because of the clout of the ACSC membership. One of the most significant accomplishments of ACSC occurred in 2007 via a settlement of the then -pending, system -wide rate case. Approximately 50 ACSC City representatives showed up in Arlington for a meeting with Atmos executives who were shocked at the vocal opposition to Atmos' practices, the unfairness of annual Gas Reliability Infrastructure Program ("GRIP") rate filings that precluded City and citizen review, and the Company's lack of coordination with Cities. That meeting led to the creation of the Rate Review Mechanism ("RRM') process and improved ongoing communications between the Company and ACSC. In 2010, these improved communications between ACSC and the Company led to a workable solution to the need to replace steel service lines in a manner that accommodated Cities' needs to control their rights-of-way, while moderating the rate impact and focusing first on the riskiest service lines based on leak repair histories. This compromise precluded a more onerous (from a City and consumer perspective) program threatened by the RCT. What is an RRM case? The concept of an RRM proceeding emerged as a three-year experimental substitute for GRIP cases as part of the settlement of Atmos Mid-Tex's 2007 system -wide rate case. In 2003, the Texas Legislature added Section 104.301, Interim Adjustment for Changes in Investment, to the Gas Utility Regulatory Act. While not identified as such in the law, § 104.301 was referred to as the Gas Reliability Infrastructure Program or GRIP. The GRIP adjustments allowed gas companies to recover changes to invested capital without a review of whether increased revenues or declining expenses offset the invested capital costs. Both Atmos Pipeline and Atmos Mid -Tex filed GRIP cases as soon as the RCT adopted rules to implement the interim adjustments. As explained below, it quickly became apparent that the GRIP adjustments were terrible public policy. As an alternative to GRIP, ACSC entered into a negotiated agreement with Atmos in 2007 to establish the RRM process. Unlike GRIP, the RRM provided for an annual review of all portions of Mid-Tex's cost of service. It fixed an authorized rate of return on equity for the three-year period at 9.6% (which was less than what the RCT would have authorized) and set caps on the extent to which expenses or investments could increase from one year to the next. More importantly, it allowed Cities to make a comprehensive evaluation of all aspects of the utility's businessinvestment, operation and maintenance expenses, and revenues—unlike GRIP that only allows consideration of changes to invested capital. Why is RRM superior to GRIP? GRIP cases guarantee a one-sided, rubber-stamp approval of the utility's rate request. ACSC attempted to participate in the first two GRIP proceedings filed by both Atmos Pipeline and Atmos Mid -Tex at the RCT. Not only were Cities' motions to intervene denied, but also, ACSC's comments were ignored. At the City level, ACSC consultants determined that Atmos was not only including items such as artwork, chairs, computers, and meals in interim rate adjustments that were allegedly intended to promote pipeline safety, but the Company was also over -earning its previously authorized rate of return. ACSC attacked the Commission's rule in court because it denied City participation, denied a hearing on a contested matter, and denied Cities' recovery of any expenses 2557/28/7898547 3 associated with resisting GRIP rate increases. In 2011, the Texas Supreme Court upheld the Commission's rule implementing the GRIP statute. Cities have contended that the GRIP process is terrible public policy since it authorizes what would, from the perspective of a history of public interest regulation, be regarded as unlawful piecemeal ratemaking. GRIP allows rates to increase if the utility's invested capital net of depreciation increases year -over -year. An increase in rates is mandated under GRIP if investment increases, even if increasing revenues and declining expenses more than offset the costs associated with increased investment. The RRM process negotiated by ACSC solves the piecemeal ratemaking problem by providing for a comprehensive review of Atmos' expenses and revenues. Furthermore, the RRM process benefitted ACSC by: (1) allowing Cities' participation that would be denied under GRIP; (2) allowing Cities to recover, at utility shareholders' expense, all their ratemaking costs; and (3) avoiding both litigation and RCT jurisdiction. The legislature has functionally authorized annual increases in gas utility rates through the GRIP process. Since consumers are otherwise stuck with annual rate increases, it is better to have Cities participate in the comprehensive RRM process than be unable to participate in a piecemeal process. What has been the history of the RRM efforts? A total of thirteen RRM filings have been made by the Company. These filings all resulted in settlements at the City level, except for the 2014 filing, which the ACSC Cities denied. The Company appealed the denial to the RCT, and ACSC was ultimately able to settle that proceeding before it reached the stage of a final RCT order. The results of these filings from a system -wide perspective are as follows (continued on next page): RRM Filing Year Atmos Request ACSC Settlement 91 2008 $33.5 million $20 million 92 2009 $20.2 million $2.6 million 93 2010 $70.2 million $27 million 94 2011 $15.7 million $6.6 million 95 2013 $22.7 million $16.6 million 96 2014 $45.7 million $43.8 million 97 2015 $28.8 million $22.8 million 98 2016 $35.4 million $29.6 million 99 2017 57.4 million $48 million 910 2018 $27.4 million $24.9 million 911 2019 $54.1 million $48.7 million 912 2020 $136.3 million $124.3 million 913 2021 $40.5 million $31.5 million Unable to reach agreement to perpetuate the original RRM terms, Atmos filed a traditional rate case with Cities in 2012 (GUD No. 10170), which was then appealed to the Railroad Commission. A final order in that case was entered in December 2012. The ratemaking decisions of the Commission then became the basis of renewal negotiations on the RRM process. The renewed RRM included some modifications that enhanced the original RRM process. Among these modifications were: 2557/28/7898547 4 • A limit on the percentage of increase to be included in the monthly customer charge; • A prohibition against capital post-test year adjustments; • A time limit for known and measurable adjustments to operating and maintenance expenses; • A guaranteed reduction in the Company's requested increase of at least $3 million annually; and • A limitation on the amount of equity in the Company's capital structure. ChanLyes to the RRM process As noted in a communication to ACSC in May 2017, the rate of return on equity ("ROE") embedded in the RRM process between 2013 and 2017 of 10.5% is excessive by at least 100 basis points, based upon a reasonable rate of return that reflects the market conditions in which the Company, and its parent Atmos Energy, operates. Because this ROE cannot be altered except by (1) changing the terms of the RRM tariff, or (2) a Commission order coming out of a new rate case, ACSC informed the Company that the 2017 RRM will be the last filing by the Company under the current tariff. Atmos agreed to renegotiate the terms and conditions of a revised RRM tariff in 2017. In February and March 2018, ACSC adopted a new RRM tariff ordinance that implemented new procedures and criteria for the RRM process. The revised RRM tariff reduced the allowed ROE from 10.5% to 9.8% and captured the reduced federal income tax rate of 21%. The new tariff expanded Cities' review period from three months to five months. It also required Atmos Mid -Tex to accept ACSC's position regarding incentive compensation related to Atmos' Shared Services Unit. The 2019 RRM filing is the second under the new tariff. When must Cities approve new rates? ACSC's Tariff Ordinance adopted around March 2018 declares that new rates become effective October I't of each year. Due to Covid the rate increases were delayed in 2020 and 2021 until December 1 of each year. The deadline for city action remained at October 1 under the RRM tariff in those years. While it is preferable that ordinances or resolutions adopting new tariffs are passed before the end of September, there is no adverse consequence if final action cannot take place until sometime in October. The only thing that will frustrate new rates becoming effective on October 1 (or December 1 in 2020 and 2021) is City action that specifically denies the increase. What would happen if a City Council denies the RRM rate increase? Atmos would either appeal the denial to the Railroad Commission or initiate imposition of GRIP rates or both. Rates for residents of that City would be higher than rates of other ACSC member residents. Rate case expenses (both the City and Company) associated with litigation at the Railroad Commission would likely be surcharged back to the City that denied the increase. If you have other questions please contact Thomas Brocato at (512) 322-5857 and/or tbrocato@lglawfirm.com (512) 322-5832. 2557/28/7898547 5 City of Coppell, Texas C',P FE L File ID: 2021-5878 Version: 1 File Name: Landscape Replacement Master File Number: 2021-5878 Type: Agenda Item Reference: 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Consent Agenda In Control: Parks and Recreation File Created: 09/01/2021 Final Action: Title: Consider award of Bid No. Q-0921-02 to High Production Construction for landscape plant material replacements at nine (9) city facilities and medians, not to exceed $85,212.00, as budgeted in Special Revenue Fund, and authorizing the City Manager to sign all necessary documents. Notes: Sponsors: Attachments: Memo.pdf, Bid Tab.pdf, Bid Packet.pdf Contact: Drafter: Related Files: History of Legislative File Enactment Date: Enactment Number: Hearing Date: Effective Date: Ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: Text of Legislative File 2021-5878 Title Consider award of Bid No. Q-0921-02 to High Production Construction for landscape plant material replacements at nine (9) city facilities and medians, not to exceed $85,212.00, as budgeted in Special Revenue Fund, and authorizing the City Manager to sign all necessary documents. Summary See attached memo. Fiscal Impact: Funds are available in the Tree Preservation Special Revenue Fund for this contract. Staff Recommendation: City of Coppell, Texas Page 1 Printed on 9/10/2021 Master Continued (2021-5878) The Parks and Recreation Department recommends approval. Strategic Pillar Icon: Sustainable Government City of Coppell, Texas Page 2 Printed on 9/10/2021 T H K C. 1 T Y 0 F COPPEL ' L MEMORANDUM To: Mayor and City Council From: John Elias, Park Projects Manager Via: Jessica Carpenter, Director of Parks and Recreation Date: September 14, 2021 Reference: Consider award of Bid No. Q-0921-02 to High Production Construction, for landscape plant material replacements at (9) City facilities and medians, not to exceed $85,212.00, as budgeted in a Special Revenue Fund, and authorizing the City Manager to sign all necessary documents. 2040: Pillar 0: Foundation of Sustainable Government Goal 3: City Infrastructure will be Well -Maintained General Information: • In February of 2021, a historic severe winter event resulted in extensive damage to existing landscapes throughout the City of Coppell and the North Texas Region. • Bid No. Q-0421-02 for Landscape Replacements at (9) City facilities and medians. • Bid Opening 8/31/2021 • Four (4) bids received. Introduction: Beginning February 9' and continuing through February 19th, 2021, the City of Coppell and the North Texas Region endured a historic winter weather event that consisted of nearly 232 consecutive hours at or below freezing at DFW Airport. The severe weather event is remembered more for the power grid issues and frozen pipes, but it resulted in massive damage to existing landscapes throughout the City of Coppell as well. Parks staff estimated that nearly 6,000 shrubs, 4,000 ornamental grasses and 40 trees were lost in the extreme cold. I Analysis: Parks staff went through the process of evaluating the existing landscapes at city facilities, parks, and medians. It was determined that most of the damaged landscapes were at the following locations: • Art Center • Life Safety Park • Old Town Parking Lot • Andy Brown West Park • Andy Brown East Park • Rolling Oaks Memorial Center • CORE Parking Lot • Denton Tap Road Medians • Sandy Lake Road Medians As a part of the evaluation process staff has determined what plant material was dead and needed to be replaced, what plant material should be left alone to potentially regenerate back, as well as some plant material that could be eliminated and not replaced at all. A bid was pulled together focusing on replacing shrubs in high priority areas at (9) City facilities and medians (listed above). An alternate bid was included in the bid to supply and install (113 5) 1 -gallon ornamental grasses at the Art Center, Life Safety Park, Rolling Oaks Memorial Center and the Andy Brown Parks. The ornamental grasses were bid as an alternate due to limited availability. The Texas nursery industry was hit hard as well in the weather event, taking out most of the ornamental grass crops. Most ornamental grasses are being sourced out of state at considerable higher costs. Parks staff has a plan to refurbish the ornamental grasses in the spring and early summer of 2022. Staff also has a plan for replacing trees this fall/winter. On August 13, 2021, the City of Coppell advertised Bid No. Q-0921-02 for landscape plant material replacements at nine (9) City facilities and medians. The bid opening was held August 31, 2021, the City received four (4) bids. Based on best value, lowest base bid, strong references, and successful work with the city, it is our recommendation that High Production Construction be awarded Bid No. Q-0921-02 with the alternate bid for landscape plant material replacements at (9) city facilities and medians. High Production Construction (HPC) has a good history working with the City of Coppell. They were the landscape contractor for the Rolling Oaks Memorial Center Phase II Expansion and are currently the landscape maintenance vendor for Rolling Oaks. The City contracted with AALC for a number of years for Mowing Services, but the City recently changed to a new vendor with the most recent RFB for Mowing Services. Based upon past experience with these vendors and the factors mentioned above, we recommend awarding this contract to HPC. Legal Review: Procurement Services has reviewed the documents and determined that this is an appropriate method of contracting with this firm. 2 Total Base Bid Alternate Bid • High Production Construction $85,212.00 $67,960.00 $17,252.00 • Tenly Landscape Construction $96,723.15 $81,094.00 $15,628.95 • Landscape Professionals $167,995.82 $151,001.00 $16,994.82 • AALC $80,101.50 $68,865.00 $11,236.50 Based on best value, lowest base bid, strong references, and successful work with the city, it is our recommendation that High Production Construction be awarded Bid No. Q-0921-02 with the alternate bid for landscape plant material replacements at (9) city facilities and medians. High Production Construction (HPC) has a good history working with the City of Coppell. They were the landscape contractor for the Rolling Oaks Memorial Center Phase II Expansion and are currently the landscape maintenance vendor for Rolling Oaks. The City contracted with AALC for a number of years for Mowing Services, but the City recently changed to a new vendor with the most recent RFB for Mowing Services. Based upon past experience with these vendors and the factors mentioned above, we recommend awarding this contract to HPC. Legal Review: Procurement Services has reviewed the documents and determined that this is an appropriate method of contracting with this firm. 2 Fiscal Impact: The total fiscal impact is $85,212.00. Special Revenue Fund (Tree Preservation Fund) budget includes funding for this contract. Recommendation: The Parks and Recreation Department recommends approval of this item. City of Coppell BID #Q -B92-2 Parks Land I, Replacement Plant Materials -"As R-d"Bid tabulation 8/31/2021 HIGH PRODUCTION TENLVLANDSCAPE LANDSCAPE CONSTRUCTION AALC, INC. CONSTRUCTION PROFESSIONALS Total Pay Item No. Ul Tuscan Slue Rosemary (ROsmarin Ls offtialis'Tuscan Slue') This work includes the pocket planting, mulching and 60 day warranty of (77) 3 Gallon Tuscan Slue Rosemar, Location: Denton Tap Road Median. $1,536.00 $1,851.85 $1,894.20 $3,391.04 Item No, 42 JPay Dwarf Burford Holly (Ile. comutab,r ordii'PygmW) This work includes the pocket planting, mulching and 60 day warranty of (375) 3 Gallon Dwarf Burford Holl, Location: Old Town Parking Lot. $7,294.00 $8,133.751 $9,000.001 $11,824.50 PayItem No. U3 Red yucca (Hesperaloe pa"iflora): This work includes the pocket planting, mulching and 60 day warranty of (68) 3 Gallon Red yucca. Location: Life Safety Park. $1,323.00 $1,555.16 $1,632.00 $2,275.96 Pay Item No, 44 Dwarf Glossy Abelia (Abelia x. grandiflora) This work includes the pocket planting, mulching and 60 day warranty of (65) 3 Gallon Dwarf Glossy Abelia, Location: CORE Parking Lot, Art Center and Rolling Oaks Memorial Center. $1,265.00 $1,409.851 $1,430.001 $2,048.60 Item No, US Dwarfyaupon Holly (Ilex vont t1rL1'Nana') JPay This work includes the pocket planting, mulching and 60 day warranty of (192) 3 Gallon Dwarf yaupon Holly. Location: Art Center, Life Safety Park, ABW Park and ABE Park. $3,735.00 $3,939.84 $4,224.00 $6,054.18 Pay Item No, U6 Gulf Muhly Grass (Muhlenbergia capilla,is): This work includes the pocket planting, mulching and 60 day warranty of (188) 3 Gallon Gulf Muhly Grass, Location: Art Center and Life Safety Park. $3,845.00 $4,077.721 $4,136.001 $6,426.23 No, 41 JPIYIt— Compact Nandina (Nandina d—,da'Compacta') This work includes the pocket planting, mulching and 60 day warranty of (217) 3 Gallon Compact Nandina, Location: AeW Park and AeE Park. $4,330.00 $4,643.80 $5,316.00 $7,530.57 Pay Item No, US Harbor Dwarf Nandina (Nandina domcsdca'Harbor Dwarf) This work includes the pocket planting,mulching and 60 day warranty of (1161) 3 Gallon Harbor Dwarf Nandina, Location: Sandy Lake Road Medians and Denton Tap Road Medians. $23,743.00 $25,867.08 $27,283.20 $51,129.78 Item No, 49 JPay Loropetalu m(Loropetalum chinense) This work includes the pocket planting, mulching and 60 day warranty of (54) 3 Gallon Loropetalum. Location: Rolling Oaks Memorial Center. $1,050.00 $1,171.26 $1,188.00 $1,997.63 Pay Item No. L30 Au t,mn Sage (Salvia greggii "Red') This work includes the pocket planting, mulching and 60 day warranty of (1020) 3 Gallon ALtumn Sage, Location: Rolling Sandy Lake Road Medians $19,839.00 $22,848.001 $24,990.00 $41,326.60 TOTAL $67,960.00 $68,865.44 $81,094.20 $151,001.00 Pay Item No. 11(Altemate) Mexican Feather Grass(Nassella tenuissims) This work includes the pocket planting, mulching and 60 day warranty of (1135) 1 Gallon Mexican Feather Grass. Location: Rolling Oaks Memorial Center, Art Center, Life Safety Park, AeW Park an d AeE Park. $17,252.00 $11,236.50 $15,628.95 $16,994.82 NO OTHER COSTS OR FEES WILL BE PAID OTHER THAN THE ABOVE STATED PRICING. ALL PRICING IS TO REMAIN FIRM FOR THE CONTRACT PERIOD. BID #Q-0921-02 Landscape Replacement Material T H E C 1 T Y - O F COPPELL �T o INVITATION TO BID INSTRUCTIONS/ SPECIFICATIONS FOR CITY OF COPPELL Landscape Replacement Bid No. Q-0921-02 PER THE CITY OF COPPELL SPECIFICATIONS AT THE CITY OF COPPELL TOWN CENTER PROCUREMENT SERVICES DEPARTMENT OPENING DATE: TUESDAY, AUGUST 31,2021,2:00 p.m. CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 BID #Q-0921-02 Landscape Replacement Material T H E C 1 T Y - O F COPPELL �T o INVITATION TO BID Return Bid To: City of Coppell Procurement Services Department 255 Parkway Blvd. Coppell, Texas 75019 The enclosed Invitation to Bid and accompanying Specifications with Bid Sheets are for your convenience in bidding the enclosed referenced products and/or services for the City of Coppell. Sealed bids shall be received no later than: 2:00 p.m., Tuesday, August 31, 2021, CST at: 255 Parkway Blvd, Coppell, TX 75019. PRE-BID MEETING A Pre -Bid meeting, which includes a virtual environment, will be held at 2:00 p.m., CST, Tuesday, August 24, 2021, at the City of Coppell, 255 Parkway Blvd, Coppell, TX 75019. Pre -Bid meeting — August 24, 20212: 00 p.m. Join Zoom https://us02web.zoom.us/webinar/register/W 6v o au vett® w Bid Open — August 31, 20212: 00 p.m. Join Zoom tt se//us web.zaam.us/we i r/rea ister/WN rY1SnFDzRzePu6sT3HsV0 Please reference Bid No. Q-0921-02 Landscape Replacement, in all correspondence pertaining to this bid and affix this number to outside front of bid envelope for identification. All bids shall be to the attention of the Procurement Services Department. The City of Coppell appreciates your time and effort in preparing a bid. Please note that all bids must be received at the designated location by the deadline shown. Bids received after the deadline will be returned unopened and shall be considered void and unacceptable. Bid opening is scheduled to be held at 255 Parkway Boulevard, Coppell, Texas. You are invited to attend. Awards should be made approximately three weeks following the bid opening date. To obtain results, or if you have any questions, please contact the Procurement Services Department at 972-304- 3698. CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 2 BID #Q-0921-02 Landscape Replacement Material T H E C 1 T Y - O F COPPELL �T o #Q-0921-02 Landscape Replacement Closing Date & Time: Tuesday, August 31, 2021 @ 2:00 p.m. (CST) Solicitation Schedule Dates Bid Issued 08/13/21 Pre -Bid Conference 08/24/21 — 2:00 p.m. Sealed Bids Due to the Cit 08/31/21 — 2:00 p.m. All times and dates are CST. Vendor Inquiries Questions related to this Bid should be submitted via www.bidsvnc.com Contact with anv Dersonnel of the Citv. other than the Procurement Services staff or via Bidsvnc. reaardina this Reauest for Proaosal may be arounds for elimination from the selection process ANY QUESTIONS concerning this Request for Proposal and Specifications can be directed to the Procurement Services Department at 972-304-3698. CITY OF COPPELL • PURCHASING DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 3 BID #Q-0921-02 Landscape Replacement Material INVITATION TO BID INSTRUCTIONS/TERMS OF CONTRACT BID No. Q-0921-02 By order of the City Council of the City of Coppell, Texas, sealed bids will be received for: Landscape Replacement Material TO PROVIDE for a contract for services commencing within thirty (30) days approximately after the date of the award. The City of Coppell reserves the right to extend this contract, as it deems to be in the best interest of the city. ITIS UNDERSTOOD that the City Council of the City of Coppell, Texas reserves the right to reject any and/or all bids for any/or all products and/or services covered in this bid request and to waive informalities or defects in bids or to accept such bids as it shall deem to be in the best interests of the City of Coppell. BIDS MUST BE submitted on the pricing forms included for that purpose in this packet. Bids shall be placed in a sealed envelope and marked clearly on the outside as shown below. FACSIMILE TRANSMITTALS SHALL NOT BE ACCEPTED! SUBMISSION OF BIDS: Sealed bids shall be submitted no later than, 2:00 p.m., Tuesday, August 31, 2021 to the address as follows: City of Coppell Procurement Services Department 255 Parkway Blvd. Coppell, Texas 75019 PUBLIC NOTICE STATEMENT FOR ADA COMPLIANCE CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 4 BID #Q-0921-02 Landscape Replacement Material 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 request for these services forty-eight (48) hours ahead of the scheduled program, service and/or meeting. To make arrangements, contact Kori Allen, ADA Coordinator or another designated official at (972) 462-0022, or (TDD 1 -800 -RELAY, TX 1-800-735-2989). CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 5 BID #Q-0921-02 Landscape Replacement Material FUNDING: Funds for payment have been provided through the City of Coppell budget approved by the City Council for this fiscal year only. State of Texas statutes prohibit the obligation and expenditure of public funds beyond the fiscal year for which a budget has been approved. Therefore, anticipated orders or other obligations that may arise past the end of the current fiscal year shall be subject to budget approval. LATE BIDS: Bids received in the City of Coppell Procurement Services Department after submission deadline will be considered void and unacceptable. The City of Coppell is not responsible for lateness or non-delivery of mail, carrier, etc., and the date/time stamp in the Procurement Services Department shall be the official time of receipt. ALTERING BIDS: Bids cannot be altered or amended after submission deadline. Any interlineation, alteration, or erasure made before opening time must be initialed by the signer of the bid, guaranteeing authenticity. WITHDRAWAL OF BID: A bid may not be withdrawn or canceled by the Bidder without the permission of the City for a period of ninety (90) days following the date designated for the receipt of bids, and Bidder so agrees upon submittal of their bid. SALES TAX: The City of Coppell is exempt by law from payment of Texas State Sales Tax and Federal Excise Tax. Bidder shall include any sales taxes from concession sales of taxable items on City property in the total price of the sale and shall be responsible to report and pay such taxes in a timely manner. BID AWARD: The City reserves the right to award any combination of the sections as is deemed in the best interest of the City. The City also reserves the right to not award one or none of the sections. CONTRACT: This bid, when properly accepted by the City of Coppell, shall constitute a Contract equally binding between the successful Bidder and the City. No different or additional terms will become a part of this Contract with the exception of Change Orders. CHANGE ORDERS: No oral statement of any individual shall modify or otherwise change, or affect the terms, conditions or Specifications stated in the resulting Contract. All Change Orders to the Contract will be made in writing by the City's Purchasing Agent. IF DURING THE life of the Contract, the successful Bidder's net prices to other customers for items awarded herein are reduced below the Contracted price, it is understood and agreed that the benefits of such reduction shall be extended to the City of Coppell. A PRICE redetermination may be considered by the City only at the anniversary date of the Contract and shall be substantiated in writing (i.e., Manufacturer's direct cost, postage rates, Railroad Commission rates, Wage/Labor rates, etc.). The Bidder's past history of honoring Contracts at the bid price will be an CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 6 BID #Q-0921-02 Landscape Replacement Material important consideration in the evaluation of the lowest and best bid. The City reserves the right to accept or reject any/all of the price redetermination as it deems to be in the best interest of the City. DELIVERY.• all delivery and freight charges (F.O.B. City of Coppell) are to be included in the bid price. DELIVERY TIME: Bids shall show number of days required to place goods ordered at the City's designated location. Failure to state delivery time may cause bid to be rejected. Successful Bidder shall notify the Procurement Services Department immediately if delivery schedule cannot be met. If delay is foreseen, successful Bidder shall give written notice to the Procurement Services Department. The City has the right to extend delivery time if reason appears valid. Successful Bidder must keep the Procurement Services Department advised at all times of the status of the order. CONFLICT OF INTEREST: No public official shall have interest in this Contract, in accordance with Vernon's Texas Codes Annotated, Local Government Code Title 5. Subtitle C, Chapter 171. DISCLOSURE OF CERTAIN RELATIONSHIPS Effective January 1, 2006, Chapter 176 of the Texas Local Government Code requires that any vendor or person considering doing business with a local government entity disclose in the Questionnaire Form CIQ, the vendor or person's affiliation or business relationship that might cause a conflict of interest with a local government entity. By law, this questionnaire must be filed with the records administrator of the City of Coppell not later than the 7' business day after the date the person becomes aware of facts that require the statement to be filed. See Section 176.006, Local Government Code. A person commits an offense if the person violates Section 176.006, Local Government Code. An offense under this section is a Class C misdemeanor. ETHICS: The Bidder shall not offer or accept gifts of anything of value nor enter into any business arrangement with any employee, official or agent of the City of Coppell. EXCEPTIONS/SUBSTITUTIONS: All bids meeting the intent of this Invitation to Bid will be considered for award. Bidders taking exception to the Specifications, or offering substitutions, shall state these exceptions in the section provided or by attachment as part of the bid. In the absence of such, a list shall indicate that the Bidder has not taken exceptions and shall hold the Bidder responsible to perform in strict accordance with the Specifications of the Invitation. The City of Coppell reserves the right to accept any and all, or none, of the exception(s)/ substitution(s) deemed to be in the best interest of the City. ADDENDA: Any interpretations, corrections or changes to this Invitation to Bid and Specifications will be made by addenda. Sole issuing authority of addenda shall be vested in the City of Coppell Procurement Services Department. Addenda will be mailed to all who are known to have received a copy of this Invitation to Bid. Bidders shall acknowledge receipt of all addenda. CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 7 BID #Q-0921-02 Landscape Replacement Material DESCRIPTIONS: Any reference to model and/or make/manufacturer used in bid Specifications will be made by addenda. Sole issuing authority of addenda shall be vested in the City's Procurement Services Department. Bidders shall acknowledge receipt of all addenda. BID MUST COMPLY with all federal, state, county, and local laws concerning these types of service(s). DESIGN, STRENGTH, QUALITY of materials must conform to the highest standards of manufacturing and engineering practice. All items supplied against credit must be new and unused, unless otherwise specified, in first-class condition and of current manufacturer. MINIMUM STANDARDS FOR RESPONSIBLE PROSPECTIVE BIDDERS: A prospective Bidder must affirmatively demonstrate Bidder's responsibility. A prospective Bidder must meet the following requirements: 1. Have adequate financial resources, or the ability to obtain such resources as required. 2. be able to comply with the required or proposed delivery schedule. 3. have a satisfactory record of performance. 4. have a satisfactory record of integrity and ethics. 5. be otherwise qualified and eligible to receive an award. The City may request representation and other information sufficient to determine Bidder's ability to meet these minimum standards listed above. REFERENCES: The City requests Bidder to supply, with this Invitation to Bid, a list of at least three (3) references where like products and/or services have been supplied by their firm. Include name of firm, address, telephone number and name of representative. BIDDER SHALL PROVIDE with this bid response, all documentation required by this Invitation to Bid. Failure to provide this information may result in rejection of bid. SUCCESSFUL BIDDER SHALL defend, indemnify and save harmless the City of Coppell and all its officers, agents and employees from all suits, actions, or other claims of any character, name and description brought for or on account of any injuries or damages received or sustained by any person, persons, or property on account of any negligent act or fault of the successful Bidder, or of any agent, employee, subcontractor or supplier in the execution of, or performance under, any Contract which may result from bid award. Successful Bidder indemnifies and will indemnify and save harmless the City from liability, claim or demand on their part, agents, servants, customers, and/or employees whether such liability, claim or demand arise from event or casualty happening or within the occupied premises themselves or happening upon or in any of the halls, elevators, entrances, stairways or approaches of or to the facilities within which the occupied premises are located. Successful Bidder shall pay any judgment with costs which may be obtained against the City growing out of such injury or damages. In addition, CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 8 BID #Q-0921-02 Landscape Replacement Material Contractor shall obtain and file with Owner City of Coppell a Standard Certificate of Insurance and applicable policy endorsement evidencing the required coverage and naming the owner City of Coppell as an additional insured on the required coverage. WAGES: Successful Bidder shall pay or cause to be paid, without cost or expense to the City of Coppell, all Social Security, Unemployment and Federal Income Withholding Taxes of all such employees and all such employees shall be paid wages and benefits as required by Federal and/or State Law. TERMINATION OF CONTRACT: This Contract shall remain in effect until Contract expires, delivery and acceptance of products and/or performance of services ordered or terminated by either party with a thirty (30) day written notice prior to any cancellation. The successful Bidder must state therein the reasons for such cancellation. The City of Coppell reserves the right to award canceled Contract to next lowest and best Bidder as it deems to be in the best interest of the City of Coppell. TERMINATION FOR DEFAULT: The City of Coppell reserves the right to enforce the performance of this Contract in any manner prescribed by law or deemed to be in the best interest of the City in the event of breach or default of this Contract. The City of Coppell reserves the right to terminate the Contract immediately in the event the successful Bidder fails to: 1. Meet schedules: 2. defaults in the payment of any fees; or 3. otherwise perform in accordance with these Specifications. Breach of Contract or default authorizes the City of Coppell to exercise any or all of the following rights: The City may take possession of the assigned premises and any fees accrued or becoming due to date. 2. the City may take possession of all goods, fixtures and materials of successful Bidder therein and may foreclose its lien against such personal property, applying the proceeds toward fees due or thereafter becoming due. In the event the successful Bidder shall fail to perform, keep or observe any of the terms and conditions to be performed, kept or observed, the City shall give the successful Bidder written notice of such default; and in the event said default is not remedied to the satisfaction and approval of the city within two (2) working days of receipt of such notice by the successful Bidder, default will be declared and all the successful Bidder's rights shall terminate. Bidder, in submitting this bid, agrees that the City of Coppell shall not be liable to prosecution for damages in the event that the City declares the Bidder in default. CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 9 BID #Q-0921-02 Landscape Replacement Material NOTICE: Any notice provided by this bid (or required by law) to be given to the successful Bidder by the City of Coppell shall conclusively deemed to have been given and received on the next day after such written notice has been deposited in the mail in the City of Coppell, Texas by Registered or Certified Mail with sufficient postage affixed thereto, addressed to the successful Bidder at the address so provided; provided this shall not prevent the giving of actual notice in any other manner. PATENTS/COPYRIGHTS: The successful Bidder agrees to protect the City of Coppell from claims involving infringement of patents and/or copyrights. CONTRACT ADMINISTRATOR: Under this Contract, the City of Coppell may appoint a Contract Administrator with designated responsibility to ensure compliance with Contract requirements, such as but not limited to, acceptance, inspection and delivery. The Contract Administrator will serve as liaison between the City of Coppell Purchasing Department (which has the overall Contract Administration responsibilities) and the successful Bidder. PURCHASE ORDER: A Purchase Order(s) shall be generated by the City of Coppell to the successful Bidder. The Purchase Order number must appear on all itemized invoices and packing slips. The City of Coppell will not be held responsible for any orders placed/delivered without a valid current Purchase Order number. PACKING SLIPS or other suitable shipping documents shall accompany each special order shipment and shall show: (a) name and address of successful Bidder, (b) name and address of receiving department and/or delivery location, (c) Purchase Order number, and (d) descriptive information as to the item(s) delivered, including product code, item number, quantity, number of containers, etc. INVOICES shall show all information as stated above, shall be issued for each Purchase Order and shall be mailed directly to the City of Coppell Finance/Accounts Payable Department, 255 Parkway Blvd., Coppell, Texas 75019. PAYMENT will be made upon receipt and acceptance by the City of Coppell for any item(s) ordered and receipt of a valid invoice, in accordance with the State of Texas Prompt Payment Act, Article 601f V.T.C.S. Successful Bidder(s) required to pay subcontractors within ten (10) days. ITEMS supplied under this Contract shall be subject to the City's approval. Items found defective or not meeting Specifications shall be picked up and replaced by the successful Bidder at the next service date at no expense to the City of Coppell. If item is not picked up within one (1) week after notification, the item will become a donation to the City for disposition. SAMPLES: When requested, samples shall be furnished free of expense to the City of Coppell. WARRANTY. Successful Bidder shall warrant that all items/services shall conform to the proposed Specifications and/or all warranties as stated in the Uniform Commercial Code and be free from all defects in material, workmanship and title. A copy of the warranty for each item being bid must be CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 10 BID #Q-0921-02 Landscape Replacement Material enclosed. Failure to comply with the above requirements for literature and warranty information could cause bid to be rejected. REMEDIES: The successful Bidder and the City of Coppell agree that both parties have all rights, duties and remedies available as stated in the Uniform Commercial Code. VENUE: This Agreement will be governed and construed according to the laws of the State of Texas. This Agreement is performable in the City of Coppell, Texas. ASSIGNMENT: The successful Bidder shall not sell, assign, transfer or convey this Contract, in whole or in part, without prior written consent of the City of Coppell. SPECIFICATIONS and model numbers are for description only. Bidder may bid on description only. Bidder may bid on alternate model but must clearly indicate alternate model being bid. Bidder must enclose full descriptive literature on alternate item(s). SILENCE OF SPECIFICATION: The apparent silence of these Specifications as to any detail or to the apparent omission of a detailed description concerning any point, shall be regarded as meaning that only the best commercial practices are to prevail. All interpretations of these Specifications shall be made on the basis of this statement. Each insurance policy to be furnished by successful Bidder shall include, by endorsement to the policy, a statement that a notice shall be given to the City of Coppell by Certified Mail thirty (30) days prior to cancellation or upon any material change in coverage. BID NOTIFICATION: City of Coppell utilizes the following procedures for notification of bid opportunities: www.bidsync.com and the Coppell Citizens Advocate. These are the only forms of notification authorized by the city. Coppell shall not be responsible for receipt of notification and information from any source other than those listed. It shall be the vendor's responsibility to verify the validity of all bid information received by sources other than those listed. EMPLOYMENT ELIGIBILITY VERIFICATION: The Immigration Reform and Control Act of 1986 (IRCA) makes it illegal for employers to knowingly hire or recruit immigrants who do not possess lawful work authorization and requires employers to verify their employees' work eligibility on a U.S. Department of Justice form I-9. The contractor/vendor warrants that contractor/vendor is in compliance with IRCA and will maintain compliance with IRCA during the term of the contract with the city. Contractor/vendor warrants that contractor/vendor has included or will include a similar provision in all written agreements with any subcontractors engaged to perform services under this contract. ENVIRONMENTALLY PREFERABLE PRODUCTS AND SERVICES: Bidders are encouraged to offer Energy Star, GreenSeal, EcoLogo and/or EPEAT certified products. The city also encourages bidders to offer products and services that are produced or delivered with minimal use of virgin materials CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 11 BID #Q-0921-02 Landscape Replacement Material and maximum use of recycled materials and reduce waste, energy usage, water utilization and toxicity in the manufacture and use of products. ANY QUESTIONS concerning this Invitation to Bid, and Specifications should be directed to the Procurement Services Department at 972-304-3698. CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 12 BID #Q-0921-02 Landscape Replacement Material COOPERATIVE PURCHASING As permitted under Government Code, Title 7, Chapter 791.025, other governmental entities may wish to cooperatively purchase under the same terms and conditions contained in this contract (piggyback). Each entity wishing to piggyback must have prior authorization from the City of Coppell and Contractor. If such participation is authorized, all purchase orders will be issued directly from and shipped directly to the entity requiring supplies/services. The City of Coppell shall not be held responsible for any orders placed, deliveries made, or payment for supplies/services ordered by these entities. Each entity reserves the right to determine their participation in this contract. IS YOUR FIRM WILLING TO ALLOW OTHER GOVERNMENTAL ENTITIES TO UTILIZE THIS CONTRACT, IF AWARDED, UNDER THE SAME TERMS AND CONDITIONS? YES NO CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 13 BID #Q-0921-02 Landscape Replacement Material CERTIFICATIONS AND REPRESENTATIONS M/WBE STATUS IS CERTIFIED AS A: (CHECK ONE, IF APPLICABLE) DISADVANTAGED BUSINESS ENTERPRISE MINORITY-OWNED BUSINESS ENTERPRISE WOMEN -OWNED BUSINESS ENTERPRISE PLEASE ATTACH OFFICIAL DOCUMENTATION FROM THE STATE OF TEXAS OR OTHER QUALIFIED CERTIFICATION AGENCY OF M/WBE STATUS OF YOUR COMPANY WITH THIS BID/PROPOSAL. *****NOTE***** THIS DATA IS REQUESTED FOR INFORMATIONAL PURPOSES ONLY AND WILL NOT AFFECT THE PROPOSAL AWARD. (SUBMISSION OF THIS INFORMATION IS NOT A REQUIREMENT.) CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 14 BID #Q-0921-02 Landscape Replacement Material IMPLEMENTATION OF HOUSE BILL 1295 Certificate of Interested Parties (Form 1295): In 2015, the Texas Legislature adopted House Bill 1295, which added section 2252.908 of the Government Code. The law states that a governmental entity or state agency may not enter into certain contracts with a business entity unless the business entity submits a disclosure of interested parties to the governmental entity or state agency at the time the business entity submits the signed contract to the governmental entity or state agency. The law applies only to a contract of a governmental entity or state agency that either (1) requires an action or vote by the governing body of the entity or agency before the contract may be signed or (2) has a value of at least $1 million. The disclosure requirement applies to a contract entered into on or after January 1, 2016. The Texas Ethics Commission was required to adopt rules necessary to implement that law, prescribe the disclosure of interested parties form, and post a copy of the form on the commission's website. The commission adopted the Certificate of Interested Parties form (Form 1295) on October 5, 2015. The commission also adopted new rules (Chapter 46) on November 30, 2015, to implement the law. The commission does not have any additional authority to enforce or interpret House Bill 1295. The form may be obtained and completed at https://www. ethics.state.tx.us/whatsnew/elf—info—form 1295. htm *Please note that this form must be completed once the contract is awarded and before contract is executed. CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 15 BID #Q-0921-02 Landscape Replacement Material CITY OF COPPELL TX PROCUREMENT SERVICES HOUSE BILL 89 VERIFICATION (Person name), the undersigned representative of (Company or Business name) (hereafter referred to as company) being an adult over the age of eighteen (18) years of age, do hereby depose and verify under oaththat the company named -above, under the provisions of Subtitle F, Title 10, Government Code Chapter 2270: 1. Does not boycott Israel currently; and 2. Will not boycott Israel during the term of the contract the above-named Company, business or individual with the City of Coppell acting by and through City ofCoppell. Pursuant to Section 2270.001, Texas Government Code: 1. `Boycott Israel" means refusing to deal with, terminating business activities with, or other wisetaking any action that is intended to penalize, inflict economic harm on, or limit commercial relations specifically with Israel, or with a person or entity doing business in Israel or in an Israeli -controlled territory, but does not include an action made for ordinary business purposes; and 2. "Company" means a for profit sole proprietorship, organization, association, corporation,partnership, joint venture, limited partnership, limited liability partnership, or any limited liability company, including a wholly owned subsidiary, majority-owned subsidiary, parentcompany or affiliate of those entities or business associations that exist to make a profit. REPRESENTATIVE CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 16 BID #Q-0921-02 Combanv Name: Address: Fax Number: Contact Person: E-mail Address: Landscape Replacement Material Company Information CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 17 BID #Q-0921-02 Landscape Replacement Material BID #Q-0921-02 PARKS LANDSCAPE REPLACEMENT (SCOPE OF WORK) TWO COPIES MUST BE RETURNED TO THE PROCUREMENT SERVICES DEPARTMENT NO LATER THAN 2:00 p.m., TUESDAY, AUGUST 31, 2021, CST CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 18 BID #Q-0921-02 Landscape Replacement Material BEST VALUE BID EVALUATION PROCEDURES A. The City shall award a contract to the responsible bidder providing the best value for the PARKS LANDSCAPE REPLACEMENT. This is NOT a low bid solicitation based on price alone. All bidders must provide documentation and information requested in this solicitation to determine the best value outlined in "B" below. B. Pursuant to the Texas Local Government Code, § 252.043, Award of Contract, "Best Value" will be determined by considering: (1) the purchase price, (2) the reputation of the bidder and of the bidder's goods or services, (3) the quality of the bidder's goods or services, (4) the extent to which the goods or services meet the municipality's needs, (5) the bidder's past relationship with the municipality, (6) the impact on the ability of the municipality to comply with laws and rules relating to contracting with historically underutilized businesses and nonprofit organizations employing persons with disabilities, (7) the total long-term cost to the municipality to acquire the bidder's goods or services, and (8) any relevant criteria specifically listed in the request for bids or proposals. CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 19 BID #Q-0921-02 Background Landscape Replacement Material Due to the 2021 severe winter weather event in February 2021, the City of Coppell is seeking to replace landscape plant material. Scope of Work There are currently nine (9) city facilities, listed below, included in this Scope of Work. Requirements • The plant material replacements will be "pocket -planted", meaning there will be no tilling or prep work, just planting. • Vendor will mulch everything that is planted. • A 60 -day warranty is required for all the plant material. • Vendors will be supplied with the type, size, and quantity of plant material to be planted at each location. • Vendor must indicate availability of materials on bid form. • The contractor will have (60) days to complete the project. • NO OTHER COSTS OR FEES WILL BE PAID OTHER THAN THE ABOVE STATED PRICING. ALL PRICING IS TO REMAIN FIRM FOR THE CONTRACT PERIOD. The City will accept alternate bids to supply and install one (1) gallon plant material as well. City Facilities 1. Coppell Arts Center: 505 Travis St. 2. Life Safety Park: 820 S. Coppell Rd. 3. Coppell Old Town Parking Lot: 768 W. Main Street 4. Andrew Brown West Park: 363 N. Denton Tap Rd. 5. Andrew Brown East Park: 260 E. Parkway Blvd. 6. Rolling Oaks Memorial Center: 400 S. Freeport Parkway 7. CORE Parking Lot: 234 E. Parkway Blvd. 8. Denton Tap Road Medians (North Coppell/Hwy 121 area) CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 20 BID #Q-0921-02 Landscape Replacement Material 9. Sandy Lake Road Medians (East of MacArthur Blvd.) Contractor's Employees 1. Contractor will require all employees to report to work in clean uniforms in good conditions including shirt, pants, and OSHA approved safety vest. Uniforms shall have the contractor's name in a manner clearly identifiable to the public. Contractor must ensure that employees properly always wear uniform items. 2. Contractor's employees must always be courteous to the public while at the work site. 3. Contractor shall remove any personnel that is incompetent or endangers persons or property. 4. Contractor's employees will not consume/possess alcohol or use/possess any illegal drugs or be under the influence of such while on City property and/or carrying on the requirement of this contract. Contractor's employees will not use tobacco products while on Park property. The contractor shall immediately remove any such employee from the work site. 5. Conflicts, or potential conflicts due to required work and public use of a location, shall be reported to the City contact/Alternate. 6. Notification to contractor of complaints shall be in writing if time and circumstance permits. Otherwise, notification shall be verbal or by telephone, and shall be confirmed in writing as soon as possible. 7. All vehicles used by the contractor will be identified with company name or logo, conspicuously displayed on door panels. Professionally done hand lettering, magnetic signs, or pressure sensitive decals may be used to comply with this specification. 8. All vehicles utilized under this contract will be clean, free of mud, dirt, and grime, without noticeable rust spots and faded paint serviceable, and shall comply with safety standards required by the State of Texas. CITY OF COPPELL • PROCUREMENT SERVICES DEPARTMENT • 255 PARKWAY BOULEVARD • COPPELL, TEXAS 75019 Page 21 JPIV Item No, L-1 Tuscan Blue Rosemary 1ROSmari—of d.]jt'Tuscan Blue') 77 Thls work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of (77) 3 Gal Ion Tuscan Blue Rosemary. --tion: Denton Tap Road Media,. JPIV Item No, L-2 Dwarf Burford Hdly (Ilex cornu[, burfordii'Pygmy) 375 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of (3]5) 3 Gallon Dwarf Burford Holly. Location: Ol d Town Pa rking let. Pay Item No. L-3 Red Yucca ( Hesper,loe p,rvlflora): 68 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of (68) 3 Gal Ion Red Yucca. --tion: Life Safety Park JPIV Item No, L-4 Dwarf Glossy Abell, (Abell, x. gr,ndlfi—) 65 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of (65) 3 Gal Ion Dwarf Glossy Abell.. Location: CORE Parking Lot, Art Center and Rolll ng Oaks Memorial Center. Pay Item No, L-5 Dwarf Yaupon HoilY (Ilex vomitoria'Nana') 192 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of ( 192) 3 Gallon Dwarf Yaupon Holly, Location: Art Center, Llfe Safety Park, ABW Park and ABE Park Pay Item No. L-6 Gulf Muhl" Grass (Muhlenbergi, c.plli.,ith: 188 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of ( 188) 3 Gallon Gulf Muhl"Grass. Location: Art Center and Life Safety Park, Pay Item No, L -J Compact Nandina (Nandina 1 217 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of (217) 3 Gallon Compact Nandina. Location: ABW Park and ABE Park JPIV Item No, L-1 Harbor Dwarf Nandina (Nandi.. domestica'Harbor Dwarf') 1161 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of (1161) 3 Gallon Harbor Dwarf Nandina. --tion: Sandy Lake Road Medians and Denton Tap Road Medians. Pay Item No. L-9 Loropet,lum ( Loropet,lum chlnense) 54 Thls work 1 "Jude, the pocket planting, mulchl ng and 60 day warranty of (54) 3 Gal Ion Lompet, lum. Location: R,] 11 ug Oaks Memorial Center. Pay Item No. L-10 Autumn Sage (Salvia eggii "Red') 1020 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of ( 1020) 3 Gallon Autumn Sage. --tion: Rolling Sandy lake Road Medl,ns TOTAL Pay Item No. A-1 (J Mexican Feather Grass (N.SSel1, te-item,) 1135 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of ( 1135) 13,11Mexican Feather Gra,. Location: R,111,g Oaks Memorial Center, Art Center, Llfe Safety Park, ABW Park and ABE Park. NO OTHER COSTS OR FEES )ME BE PAID OTHER Tlf N THE ABOVE STATED PRICING. ALL PRICING IS TO REMAIN FIRM FOR THE CONTRACT PERIOD. Availability Total Qty Unit Price Total (Y/N)-Lead Time JPIV Item No, L-1 Tuscan Blue Rosemary 1ROSmari—of d.]jt'Tuscan Blue') 77 Thls work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of (77) 3 Gal Ion Tuscan Blue Rosemary. --tion: Denton Tap Road Media,. JPIV Item No, L-2 Dwarf Burford Hdly (Ilex cornu[, burfordii'Pygmy) 375 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of (3]5) 3 Gallon Dwarf Burford Holly. Location: Ol d Town Pa rking let. Pay Item No. L-3 Red Yucca ( Hesper,loe p,rvlflora): 68 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of (68) 3 Gal Ion Red Yucca. --tion: Life Safety Park JPIV Item No, L-4 Dwarf Glossy Abell, (Abell, x. gr,ndlfi—) 65 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of (65) 3 Gal Ion Dwarf Glossy Abell.. Location: CORE Parking Lot, Art Center and Rolll ng Oaks Memorial Center. Pay Item No, L-5 Dwarf Yaupon HoilY (Ilex vomitoria'Nana') 192 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of ( 192) 3 Gallon Dwarf Yaupon Holly, Location: Art Center, Llfe Safety Park, ABW Park and ABE Park Pay Item No. L-6 Gulf Muhl" Grass (Muhlenbergi, c.plli.,ith: 188 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of ( 188) 3 Gallon Gulf Muhl"Grass. Location: Art Center and Life Safety Park, Pay Item No, L -J Compact Nandina (Nandina 1 217 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of (217) 3 Gallon Compact Nandina. Location: ABW Park and ABE Park JPIV Item No, L-1 Harbor Dwarf Nandina (Nandi.. domestica'Harbor Dwarf') 1161 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of (1161) 3 Gallon Harbor Dwarf Nandina. --tion: Sandy Lake Road Medians and Denton Tap Road Medians. Pay Item No. L-9 Loropet,lum ( Loropet,lum chlnense) 54 Thls work 1 "Jude, the pocket planting, mulchl ng and 60 day warranty of (54) 3 Gal Ion Lompet, lum. Location: R,] 11 ug Oaks Memorial Center. Pay Item No. L-10 Autumn Sage (Salvia eggii "Red') 1020 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of ( 1020) 3 Gallon Autumn Sage. --tion: Rolling Sandy lake Road Medl,ns TOTAL Pay Item No. A-1 (J Mexican Feather Grass (N.SSel1, te-item,) 1135 This work 1 ncludes the pocket planting, mulchl ng and 60 day warranty of ( 1135) 13,11Mexican Feather Gra,. Location: R,111,g Oaks Memorial Center, Art Center, Llfe Safety Park, ABW Park and ABE Park. NO OTHER COSTS OR FEES )ME BE PAID OTHER Tlf N THE ABOVE STATED PRICING. ALL PRICING IS TO REMAIN FIRM FOR THE CONTRACT PERIOD. ABE Art Center Ott ^U4Y�INuu��N1�fNIY�IUII D" 01n.. Nri qeW rG G G o✓ �v if�'J1911�ii`Sva.lootnimouh'<ruN1Y�(f�hY� ;; WMIwwGu r 1 maa �✓ 4� � ; O � ,�„ � 4NYirp, ,. i � ^' rI�D1+1r1i rl�„ rC„ �x �z �,,,�a �. ,mn,r.Rrti�•�rmro� , „ „� l ��. 7 a d' i i t � ayorl �, f ell AIN '11111/1/11,11,11,11,11 AMOV / r% r�/jam/i ai Keay d'�J�1 H b rPWarf Nandina r -Harb Dwarf) Sandy Lake , Life Safety Park C® 600 l , (& E' Ll ( L", 11) i9 r I emmill'i" uios %k s 6 ff ION� D f N �idig IPF/ „l ,,,, , ,moi, i � > , r r ,-, r; i✓>/i, � r. � � � , P ii /r o r �� � � ,��f �/r��// ` !/ ,� ✓sir r ,�, r Ur����rr %�'A ��a1➢ II�V� �% ���1 d �� Y!aia ��A� o ell�k�I� City of Coppell, Texas C',P FE L File ID: 2021-5857 Version: 2 File Name: Chess Club PD -217R3 -C Master File Number: 2021-5857 Type: Agenda Item Reference: 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Public Hearing In Control: City Council File Created: 08/10/2021 Final Action: Title: PUBLIC HEARING: Consider approval of a zoning change request from PD -217R3 -C (Planned Development -217 Revision 3 -Commercial) to PD -217R4 -C (Planned Development -217 Revision 4 -Commercial) to approve a Conceptual Site Plan for the vacant Lot 5R and a Detail Site Plan for the conversion of the existing Doggie Wonderland into a Chess Club and learning center with additional parking spaces proposed located on 1.13 acres of land between Vanbebber Drive and Bethel School Road, approximately 300 -ft west of Denton Tap Road, being represented by Daniel Parrish, DP Designs & Development, LLC. Notes: Sponsors: Attachments: City Council Memo.pdf, Staff Report.pdf, Site Plan.pdf, Landscape Plan & Tree Survey.pdf, Building Elevation P hotos. pdf Contact: Drafter: Related Files: History of Legislative File Ver- Acting Body: sion: Date: Action: Sent To 1 Planning & Zoning 08/19/2021 Approved Commission Enactment Date: Enactment Number: Hearing Date: Effective Date: Due Date: Return Result: Date: Pass Text of Legislative File 2021-5857 Title PUBLIC HEARING: Consider approval of a zoning change request from PD -217R3 -C (Planned Development -217 Revision 3 -Commercial) to PD -217R4 -C (Planned Development -217 Revision 4 -Commercial) to approve a Conceptual Site Plan for the vacant Lot 5R and a Detail Site Plan for the City of Coppell, Texas Page 1 Printed on 9/10/2021 Master Continued (2021-5857) conversion of the existing Doggie Wonderland into a Chess Club and learning center with additional parking spaces proposed located on 1.13 acres of land between Vanbebber Drive and Bethel School Road, approximately 300 -ft west of Denton Tap Road, being represented by Daniel Parrish, DP Designs & Development, LLC. Summary Staff Recommendation: Staff is recommending approval of this agenda item. Strategic Pillar Icon: City of Coppell, Texas Page 2 Printed on 9/10/2021 T H E • C I T V' @ F COFFELL � � r MEMORANDUM To: Mayor and City Council From: Mindi Hurley, Director of Community Development Date: September 14, 2021 Reference: Public Hearing: Consider approval of a zoning change request from PD -217R3 -C (Planned Development -217 Revision 3- Commercial) to PD -217R4 -C (Planned Development -217 Revision 4- Commercial) to approve a Conceptual Site Plan for the vacant Lot 5R and a Detail Site Plan for the conversion of the existing Doggie Wonderland into a Chess Club and learning center with additional parking spaces proposed located on 1.13 acres of land between Vanbebber Drive and Bethel School Road, approximately 300 -ft west of Denton Tap Road. 2040: Create Business & Innovation Nodes Executive Summary: This property was originally constructed for La Petite Daycare in August 1984 and operated as a child daycare under various names until 2004. In 2007, PD -217-C (Planned Development -217 -Commercial) was approved to allow for the conversion to a pet day care/boarding/spa on 0.637 acres known today as Doggie's Wonderland. Various proposals to expand the dog daycare (2009 and 2018) were approved, lots were platted but development plans were not acted upon. With this request, the existing Doggie Wonderland is proposed to be converted into a chess club and learning center, offering tutoring for children. Introduction: This change in use to a chess club and tutoring service requires additional parking. Nine additional parking spaces are proposed to be constructed north of the existing building. The existing parking 16 spaces are proposed to remain, and a variance was granted with the previous PD to allow the existing configuration (8'6"x 18'). A variance was also granted for the side yard setback for the existing building. Nothing is currently proposed for Lot 5, but the lot lines for Lot 4R and 5, will be amended to reflect the change in property lines due to the need to provide additional parking for Lot 4R. A concept plan is shown for Lot 5 to illustrate the possible construction and parking layout in the future. A Detail Site Plan will be required for the development of this lot, including any required screening between Lot 5 and the adjacent properties. This new use and site layout for Lot 4R will also see the removal of much of the existing fencing and dog playground equipment. This area will be reorganized to include the additional parking spaces as well as additional trees and landscaping. The applicant is requesting to leave the existing basketball court in place, which is located at the northeast corner of the site. The site will be replatted and a dumpster agreement will be put in place for the lots. There is no proposed access to this site from Vanbebber Dr. The area to the north of the building, outside of the additional parking area, will have grass and additional trees planted. More trees are proposed along the eastern perimeter and at the end of the parking islands. All of the existing trees (8 overstory trees and 6 Crepe Myrtles) on site are proposed to remain. In all, the site is proposed to be 39% landscaped, exceeding the 30% required by ordinance. The applicant is not proposing to make any changes to the existing building besides signage. Staff recommends that any proposed signage meet city ordinance requirements. Analysis: Staff received two inquiries about the request which centered around speeding along Vanbebber Dr., and trash at the carwash, and not in opposition to the Doggie Wonderland property conversion. Staff contacted the Coppell Police Department and Coppell Environmental Health to investigate these items. After City staff looked into these items, no violations were found. The Planning and Zoning Commission asked about the proposed operations of the chess club. The applicants indicated that the chess club will provide chess lessons for children and would potentially host some tournaments. Currently people are travelling to other cities in the metroplex for instruction and tournaments. Tournaments times would be spaced to accommodate parking on site. Nine parking spots are being added to the site, for a total of 25. The facility itself is proposed to be open from 9am-9pm every day, with the majority of activity occurring in the latter part of the day after school and on weekends. On August 19, 2021, the Planning and Zoning Commission unanimously recommended APPROVAL (6-0) of PD - 217R4 -C, subject to the following conditions: 1. A replat will be required to subdivide the lots and to provide any necessary easements. 2. Submit draft dumpster agreement for City Attorney review. This shall be filed with the plat. 3. All proposed signage shall comply with ordinance requirements. 4. Revise the plans to show access to the dumpster for the adjoining lots. Legal Review: City attorney is reviewing the dumpster agreement. Fiscal Impact: None Recommendation: The Planning and Zoning Commission recommended APPROVAL of the PD request subject to staff conditions listed above. Attachments: 1. PZ Staff Report 2. Site Plan 3. Landscape Plan & Tree Survey 4. Building Elevation Photos CITY OF COPPELL PLANNING DEPARTMENT STAFF REPORT CASE No.: PD -217R4 -C, Coppel Chess Club (Formerly Doggie's Wonderland) P&Z HEARING DATE: August 19, 2021 C.C. HEARING DATE: September 14, 2021 STAFF REP.: Mary Paron-Boswell, AICP, Sr. Planner LOCATION: South side of Vanbebber Drive and north side of Bethel School Road, approximately 300' east of Denton Tap Road SIZE OF AREA: 1.13 acres CURRENT ZONING: PD -217R3 -C (Planned Development District -217 Revision 3 - Commercial) REQUEST: A zoning change request from PD -217R3 -C (Planned Development -217 Revision 3- Commercial) to PD -217R4 -C (Planned Development -217 Revision 4 - Commercial) to approve a Conceptual Site Plan for the vacant Lot 5R and a Detail Site Plan for the conversion of the existing Doggie Wonderland into a Chess Club and learning center with additional parking spaces proposed. APPLICANT: OWNER (Lot 4R) OWNER (LOT 5) Coppell Realty Investment, LLC Ganesan, LLC Christopher Lu Suresh Suruliraj 2008 E Peters Colony Rd 7268 Ridgepoint Dr. Carrollton, TX. 75007 Irving, TX 75063 (214) 641-6450 (469) 235-2108 suresh.ganesan(e ,gmail.com CONSULTANT DP Designs & Development, LLC PO Box 681 Cedar Hill, TX 75106 (214) 675-9175 daniel e(a*-designs.co HISTORY: This property was originally constructed for La Petite Daycare in August 1984. In January 1999, the ownership changed to the Sterling Academy Daycare and operations ceased in July 2004. In 2007, PD -217-C (Planned Development -217 - Commercial) was approved to allow for the conversion to a pet day care/boarding/spa on 0.637 acres. The plat for Lot 4 was approved on July 10, 2007. Subsequently, the site was renovated and reopened operations. In 2009, redevelopment plans requested an 11,688 -square -foot expansion to the pet care ITEM # 6 Page 1 of 4 outdoor play area, located on the vacant property to the north fronting Vanbebber Drive (Lot 5). This proposed expansion of the outdoor play area did not occur. In February of 2018, Council approved a PD amendment to allow a new building that would have a kennel area, pet wash and bakery on the current Lot 5. Lot six had a conceptual site plan attached. Later that year, the request was again modified to construct a new Doggie Wonderland on Lot 5 and convert the existing Doggie Wonderland into the rescue kennel and self -serve pet wash. This plan was not acted upon. HISTORIC COMMENT: This property has no historical significance. TRANSPORTATION: Bethel School Road is designated on the Thoroughfare Plan as a two-lane collector street, built within a 60 -foot right-of-way. Vanbebber is a two-lane residential street within a 50 -foot right-of-way. SURROUNDING LAND USE & ZONING North: Credit Union (PD -257R -C); Residential (SF -7) South: Post Office (C) East: Church (SF -7) West: Convenience Store & Gas Station (C); Retail with Drive-Thru (PD -268-C) COMPREHENSIVE PLAN: Coppell 2030, A Comprehensive Master Plan, shows this property as appropriate for Neighborhood Center Retail. These areas would provide for retail, restaurants, office, civic and institutional primarily intended to serve nearby neighborhoods. DISCUSSION: Site Plan & Parking The plans approved in 2018 to build a new Doggie's Wonderland and convert the existing Doggie's Wonderland into a rescue kennel and pet wash facility did not materialize. The property has since undergone new ownership. With this request, the existing Doggie Wonderland is proposed to be converted into a chess club and learning center, offering tutoring for children. This change in use requires additional parking. Nine additional parking spaces are proposed to be constructed north of the existing building. The existing parking spaces are proposed to remain and a variance was granted with the previous PD to allow the existing configuration (8'6"xl8'). A variance was also granted for the side yard setback for the existing building. Nothing is currently proposed for Lot 5, but the lot lines for Lot 4R and 5, will be amended to reflect the change in property lines due to the need to provide additional parking for Lot 4R. A concept plan is shown for Lot 5 to illustrate the possible construction and parking layout in the future. A Detail Site Plan will be required for the development of this lot, including any required screening between Lot 5 and the adjacent properties. This new use and site layout for Lot 4R will also see the removal of much of the existing fencing and dog playground equipment. This area will be reorganized to ITEM # 6 Page 2 of 4 include the additional parking spaces as well as additional trees and landscaping. The applicant is requesting to leave the existing basketball court in place, which is located at the northeast corner of the site. This is currently not reflected in the plans but based on preliminary observation, the basketball court appears to be located outside of the proposed parking area. Staff will require the plans to be updated to reflect this change and recalculate the overall landscape area, which currently is approximately 42% of the site. Replatting & Documents: The property is required to replatted to create the lot configuration as illustrated on the Site Plan. The previous PD indicated that Lots 4R, 5 and 6 would share a dumpster. This is still the plan and the draft agreement will need to be reviewed by staff and filed at the County at the time of the replat. The plan will need to reflect an access point or pedestrian gate for Lots 5 and 6 to access the dumpster as there is currently a screening wall separating the different lots. The previous plan also allowed for shared parking, this is no longer required with this configuration. Each lot will stand alone in terms of parking. Landscaping: The area to the north of the building, outside of the additional parking area, will have grass and additional trees planted. More trees are proposed along the eastern perimeter and at the end of the parking islands. All of the existing trees (8 overstory trees and 6 Crepe Myrtles) on site are proposed to remain. In all, the site is proposed to be 42% landscaped, exceeding the 30% required by ordinance. Even with the most recent proposed change to the site plan to have the basketball court area remain (not currently shown), the site will be heavily landscaped. Staff will require that the landscape plan and calculations be updated. Screening, Elevations & Signage: An existing masonry wall screens the eastern perimeter. This screening wall wraps around the northern portion of Lot 4R to the western border. Shrubs line the western perimeter. The concept plan needs to be updated to show a required screening wall along Lot 5R for any future development. The applicant is not proposing to make any changes to the existing building besides signage. Staff recommends that any proposed signage meet city ordinance requirements. RECOMMENDATION TO THE PLANNING AND ZONING COMMISSION: Staff is recommending APPROVAL of the request subject to the following PD conditions: 1. A replat will be required to subdivide the lots and to provide any necessary easements. 2. Submit draft dumpster agreement for City Attorney review. This shall be filed with the plat. 3. All proposed signage shall comply with ordinance requirements. 4. Revise all plans to reflect the basketball court remaining and update the landscape calculations accordingly. 5. Revise the plans to show access to the dumpster for the adjoining lots. 6. Revise the landscape plans to add a note that all required landscaping shall be irrigated. ITEM # 6 Page 3 of 4 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 2. Landscape Plan & Tree Survey 3. Photos ITEM # 6 Page 4 of 4 -- --- 7,��ett I ; —tNs• ----- ID IoT I — M, s 8 3007 E X4626 - b 0 1107 -� -- 1 l I I �1O1-Raw` 01 E111MEwT Oo0=EO IL,1-1 �; CONSTRUCTION NOTES cox�rercrov sr.u�v0�sn'a[E sxcNu��0iEssvvL— IININI 11 21 ��0 Pw �,fi a�a o F� :s— �� � 11O,ox�w.wmuao n,�o �w �o - — r z a w-- - I t3< s o0i aooa Site Plan Norddake W oodland Center Addition Lot 4R-1 and 5R, Block A SITE PLAN LANDSCAPE DATA TABLE PER "TER LIT 11ELOCAA TOTAL ATE zn,oPPEI 1.1ACREa VAN BEBBER DRIVE LANDSCAPEAREAS amETea yANoeCAP No eeou eeo aeomoeo eeou eeo aeoaoeo i .ao.. aeoaeery .. ,a ,a ,�aa3 3 41 w�PaoPEar E,�L. ,o ,o �a3 3 N TERORLENoaCAPN L_ ,o ('I 3 Ao. DSD RaPnoeP, aC�45) - PROJECT ia5^S� LINTERIOR A, NINCATICTLEDLENoaCRENC AREAS LAIEI (14 TITALE TE AREA 1EIT' a(LI TGNACAPwoomATEo . TREE LE.ENDo CA i 1 51° o -E UrUwEur S,,U, (PHASE») mu (s) ANNLE1 OR LOT 5R, BLOCK 3 coi. eye uPE �.aM o Ec Mo AREA AREAS — r LANDSCAPE AREAS > L . ".a.P ---1 _LL AT a nnAsorvrty I ly .IA.1 _LL ALorvc PROPERTv LINE LANDSCAPE DATA TABLE ee A11 11AE1 ASKINo 1 Rm ETERLANoecAP N Ro w � i woQ w w o Z aow o Z aJ ED w ED aaN ASCAPE 9RED OA TRARD RED (rot U 3H Cai. B aOAK (5) 3 CAL of D y' �a I INTERIOR LN sl LANDIIA TREES ToNl DIED PER RANo() los• � E'"� BAREA I oRAee LANDSCAPETOP AREAS E BETHEL SCHOOL ROAD PROPOSED SITE PLAN 0 Z 11 3 CRA L­,� `nEM'LE °,a-,- (6) LANDSCAPE AREAS R�oR Noa P�NR 4!N Il SF ,Ea INTERIOR L.XIS FING LANDSCAPE N CEH CVLAR LANo6CARNO AREA RE GUILD IIVG 1 uiv No ouiv ,nova LOT 4R-1, BLOCK To REnn AiN 1 onAo[x LANosCAPDTAA N SAENNNoCATEo Axa .e.o,.E=.E A LEE �.•t1`•�� ��u`r i� 103 oTAE RACENis ARE NEE eLoR TAE AREA , 102 BLANDSCAPE NOTES III N1 ITIONG D,KCLI_L 100 ' ° 101 1 TO REMARK (5) CAPE E AT E —E1SEEoe AwAAO Nv,vrev I . PLANT MATERALTAAT NEE EIALLEE REPLACEow TAm LOEemuAR ED "T" PECAN ALLLAN ACAPEA �` ALLLAN AN, AREAe eAALLeE RRDATED. TREE PLANTING DETAIL ci rva E"TNG EVERGREEN TREES To REMAIN (a) 777_o 1 07 " To reEnnAN NON vEe ARE AREAS ELANDSCAPE AREAS ��ru„ n �„ , L1.0 120 E Bethel School Road C',P FE L File ID: 2021-5859 Version: 2 City of Coppell, Texas Master File Number: 2021-5859 Type: Agenda Item Reference: File Name: Lost Creek Addition Live/Work 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Public Hearing In Control: City Council File Created: 08/10/2021 Final Action: Title: PUBLIC HEARING: Consider approval of PD -213R6 -H, Live/Work, Lost Creek Addition, Lot 27, Block 1, a zoning change request from PD -213R2 -H (Planned Development -213 Revision 2 - Historic) to PD -213R6 -H (Planned Development -213 Revision 6 - Historic) to attach a Detail Site Plan for five, two-story 4,500 -square -foot (3,000 square foot air conditioned) live/work buildings and a common parking area on 0.71 acres of property located at the northeast corner of S. Coppell Road and Heath Lane, at the request of Chris Collins, being represented by Greg Frnka, GPF Architects LLC. Notes: Sponsors: Enactment Date: Attachments: City Council Memo.pdf, Staff Report.pdf, Site Plan.pdf, Enactment Number: Tree Survey.pdf, Landscape Plan.pdf, Floor Plan.pdf, Elevations.pdf, Rendering.pdf, Color board.pdf Contact: Hearing Date: Drafter: Effective Date: Related Files: History of Legislative File Ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: 1 Planning & Zoning 08/19/2021 Approved Commission Text of Legislative File 2021-5859 Title PUBLIC HEARING: Consider approval of PD -213R6 -H, Live/Work, Lost Creek Addition, Lot 27, Block 1, a zoning change request from PD -213R2 -H (Planned Development -213 Revision 2 - Historic) to PD -213R6 -H (Planned Development -213 Revision 6 - Historic) to attach a Detail Site Plan for five, two-story 4,500 -square -foot (3,000 square foot air conditioned) live/work buildings and a City of Coppell, Texas Page 1 Printed on 9/10/2021 Master Continued (2021-5859) common parking area on 0.71 acres of property located at the northeast corner of S. Coppell Road and Heath Lane, at the request of Chris Collins, being represented by Greg Frnka, GPF Architects LLC. Summary Staff Recommendation: Staff is recommending approval of PD -213R6 -H, Live/Work, Lost Creek Addition. Strategic Pillar Icon: City of Coppell, Texas Page 2 Printed on 9/10/2021 MEMORANDUM To: Mayor and City Council From: Mindi Hurley, Director of Community Development Date: September 14, 2021 Reference: PUBLIC HEARING: PD -213R6 -H, Live/Work, Lost Creek Addition, Lot 27, Block 1, a zoning change request from PD -213R2 -H (Planned Development -213 Revision 2 — Historic) to PD - 213R6 -H (Planned Development -213 Revision 6 — Historic) to attach a Detail Site Plan for five, two-story 4,500 -square -foot (3,000 square foot air conditioned) live/work buildings and a common parking area on 0.71 acres of property located at the northeast corner of S. Coppell Road and Heath Lane, at the request of Chris Collins, being represented by Greg Fmka, GPF Architects LLC. 2040 Pillars: Enhance the Unique "Community Oasis" Experience & Create Business & Innovation Nodes Executive Summary: The applicant is proposing to construct five speculative live/work units and one common area parking lot. The interior floorplan will be finalized with the retention of a buyer. Approximately half or more of the ground floor will need to be dedicated to work area, while the upper floor will serve as a living area. Each unit is proposed to contain approximately 3,000 square feet of air-conditioned space, a covered front porch, a two -car garage and has the potential for a covered second story porch. The one -foot and seven -foot side yard setbacks between the units, as proposed, is typical of a "zero lot line" development. A private maintenance, access, utility, and drainage easement is proposed between the units. This will allow the lot owners to access & maintain the sides their respective units as well as provide access from the rear parking to the front. The reason for the Planned Development request is to allow for specific conditions unique to this project. These conditions include: 1. Allowing for the live/work land use, with the stipulation that no more than one unit shall be allowed to be a high parking generator (1 space per 175 square feet). This includes uses such as medical & dental office and chiropractor. 2. An eight -foot -high fence being allowed in lieu of a six-foot screening wall. 3. A minimum five-foot side yard setback be allowed on the northernmost property in lieu of the typical 10' perimeter. 4. A one -foot perimeter landscape strip be allowed on the eastern property line in lieu of the 10' typical perimeter. 5. Garages shall only be used for the parking of vehicles, no workspace. 6. Screening of second floor patio area is required to reduce the sight lines to the adjacent residences to the east. Introduction: Live/work uses at the proposed location are compliant with the 2030 Coppell Comprehensive Master Plan. Analysis: There are a total of 43 parking spaces proposed: - 11 on -street parking spaces on Coppell Road, - 10 garage parking spaces for the residents - 15 spaces behind the garages - 7 shared spaces on a common area lot, accessed from the driveway on Hearth at the rear of the units. Originally, 44 were shown, but one of the on -street parking spaces on S Coppell Road has been removed due to visibility concerns discussed at the Planning and Zoning Commission Meeting. The required parking, as indicated on the Site Plan, shows two scenarios: 1. 5 professional offices only (1 parking space per 300 sq. ft.) + 2 garage parking per residence = 35 total parking spaces required 2. 1 medical office (1 parking space per 175 sq. ft.) and 4 professional offices (1 parking space per 300 sq. ft.) + 2 garage parking per residence = 39 total parking spaces required The proposed landscaping area exceeds the 30% minimum area required. There are 18 trees (Escarpment Live Oak, Lacebark Elm, Cedar Elm) that are proposed be added. The total tree mitigation required for the site is $1,968. The proposed front building elevations are similar, and three of the five units have upstairs balconies. The southernmost building has a wrap-around porch because it has dual frontages. All the buildings are to be constructed of horizontal siding using traditional paint colors from the Sherwin Williams palette. The elevations of the building are in compliance with the Old Town Design Guidelines. Legal Review: N/A Fiscal Impact: None Recommendation: On August 19, 2021, the Planning & Zoning Commission (6-0) recommended approval of PD -213R6 -H, subject to the following conditions: 1. There may be additional comments during the building permit and detailed engineering review. 2. A replat will be required to subdivide the lots and to provide easements. 3. Submit draft HOA documents for City Attorney review. These shall be filed with the plat. 4. An exception be granted to allow an eight -foot wood fence in lieu of a six-foot brick wall on the eastern property line. 5. An exception be granted to allow 1' perimeter landscaping on the east property line and 5' on the northern property line. 6. No more than one unit shall be a high parking generator (1 space per 175 square feet). This includes uses such as medical & dental office, veterinary clinic, and chiropractor. 7. Garages shall only be used for the parking of vehicles, no workspace. 8. Screening of second floor patio area is required to reduce the sight lines to the adjacent residences to the east. Attachments: 1. Staff Report 2. Site Plan 3. Tree Survey 4. Landscape Plan 5. Floor Plan 6. Elevations 7. Rendering 8. Color Board CITY OF COPPELL PLANNING DEPARTMENT STAFF REPORT CASE No.: PD -213R6 -H, Live/Work Lost Creek Addition, Lot 27, Block 1 P&Z HEARING DATE: August 19, 2021 C.C. HEARING DATE: September 14, 2021 STAFF REP.: Matthew Steer, AICP, Development Services Administrator LOCATION: NEC of S. Coppell Road & Heath Lane SIZE OF AREA: 0.71 acres CURRENT ZONING: PD -213R2 -H (Planned Development District -213 Revision 2 - Historic) REQUEST: A zoning change request from PD -213R2 -H (Planned Development -213 Revision 2 — Historic) to PD -213R6 -H (Planned Development -213 Revision 6 — Historic) to attach a Detail Site Plan for five, two-story 4,500 -square -foot (3,000 square foot air conditioned) live/work buildings and a common parking area. APPLICANT: Applicant Architect Chris Collins, Christopher Realty Group Greg Frnka, GPF Architects, LLC. 564 S. Coppell Road 549 E. Sandy Lake, Suite 100 Coppell, TX. 75019 Coppell, TX. 75019 (214) 477-0320 (972) 304-9988 chriscollinskkww.com affnkaaanfarchitects.com HISTORY: In April of 2002, Council accepted the Old Coppell Master Plan as a guide for development of the subject property. In March 2011, Coppell 2030- A Comprehensive Master Plan was adopted by Council, which incorporated the concepts of the Old Coppell Master Plan. The subject property was part of a rezoning in 2007, that established 25 townhome lots to the east and commercial/office/retail on this lot. In November 2015, Council approved the Lost Creek Phase 11 Live/work units across Heath Lane from this request, which consisted of 3 live/work units. Subsequently, during the construction of the units, a request for a revision to the Planned Development zoning to allow a variance to the requirement to build a screening wall on the east property line of that lot was denied. A six-foot brick wall has since been constructed. ITEM # 8 Page I of 4 In August 2018, Council approved a zoning change request to allow two live/work units to the north of this property on McNear and S Coppell Road. A variance to the wall requirement was approved in that instance. HISTORIC COMMENT: This property has no historical significance. TRANSPORTATION: Coppell Road is a C21J, concrete two-lane undivided street with curb and gutter contained within a 60 -foot right-of-way. Heath Lane is a concrete residential street with curb and gutter contained within a 50 -foot right-of-way. No parking is allowed along the segment of Heath Lane abutting this property. SURROUNDING LAND USE & ZONING: North: commercial building; "H", Historic South: three live/work units; Planned Development -213R4 -H East: single family residences: Planned Development -213R2 -H West: retail (Robertson Pools); Planned Development -216-H COMPREHENSIVE PLAN: Coppell 2030, A Comprehensive Master Plan, shows this property as appropriate for Old Coppell Historic District uses. DISCUSSION: The applicant is proposing to construct five speculative live/work units and one common area parking lot. The interior floorplan will be finalized with the retention of a buyer. Approximately half or more of the ground floor will need to be dedicated to work area, while the upper floor will serve as a living area. Each unit is proposed to contain approximately 3,000 square feet of air-conditioned space, a covered front porch, a two -car garage and has the potential for a covered second story porch. The one -foot and seven -foot side yard setbacks between the units, as proposed, is typical of a "zero lot line" development. A private maintenance, access, utility and drainage easement is proposed between the units. This will allow the lot owners to access & maintain the sides their respective units. Parking: There are a total of 44 parking spaces proposed: - 12 on -street parking spaces on Coppell Road, - each lot will have a two -car garage for the occupants and three dedicated parking spaces located behind each of the garages, and - seven shared parking spaces on a common area lot, accessed from the driveway on Heath at the rear of the units. The development was parked at the most intensive use (1:175 sf), thereby allowing for the most flexibility of uses. Staff will require the plans be updated to include the parking data on the Site Data Table of the Site Plan. Replatting & HOA Documents: The property is required to replatted to create the five live/work lots and one common area X lot for shared parking. The on -street parking spaces along Coppell Road will require a portion of the lot to be dedicated as a parking and sidewalk easement which will need to be shown on the plat. A homeowners' association (HOA) will be required for the maintenance of the common area and landscape ITEM # 8 Page 2 of 4 islands on Coppell Road. Draft HOA documents are required to be submitted to the city for review. These will need to be filed at the time of the replat. Tree Survey/Landscaping: Two of the three existing trees on site are proposed to be removed: 20" Pecan and 26" Eastern Red Cedar. The third tree, a 17" pecan at the end of the drive is proposed to be preserved. The total tree mitigation required for the site is $1,968. There are 18 trees (Escarpment Live Oak, Lacebark Elm, Shumard Oak) that are proposed be added. Black basalt gravel is proposed between the units, as it will be heavily shaded. Staff is recommending that additional detail be provided for the northernmost and southernmost parking islands along S. Coppell Road, and this is listed as a condition of approval. The overall development is meeting the total area requirements of the Landscaping Section of the Zoning Ordinance that calls for 30% landscape area; however, the typical 15' front yard landscape area is not being provided on S Coppell Road. A more urban streetscaping is proposed along this area consisting of angled parking, a 7' wide sidewalk, two street -lamps, landscape islands and five overstory trees. The applicant is requesting a reduction in a portion of the eastern perimeter landscaping (one feet wide versus 10 feet wide) to accommodate the 24' drive aisle. The applicant is also requesting a reduction from 10 feet to 5 feet wide on the northern property line (5' side yard setback shown) for the live/work unit. Because this is an irregularly shaped lot, staff can support the proposed reductions. Screening: An eight -foot fence (board on board with trim cap) is proposed along the eastern property line in lieu of the required six-foot masonry wall. The proposed eight - foot wooden fence will provide additional privacy to the residence to the east from the parking area than will a six-foot wall and staff can support this request. The southern terminus of the fence is at the 15' front yard setback line. Elevations: The proposed front building elevations are similar, and three of the five units have upstairs balconies. The southernmost building has a wrap-around porch because it has dual frontages. All the buildings are to be constructed of horizontal siding using traditional paint colors from the Sherwin Williams palette. Each building will have one main color of either a shade of blue, brown, light olive, brown/red or grey and each will have white for the trim. A gabled roof with asphalt shingles is shown on each of the units. The rear elevation will contain a hip roof to cover a large outdoor 2nd floor space and garage door. The garage doors are proposed to be made of architectural insulated metal with lites (window panels) at the top and are painted to compliment the field color. The south side elevations of each unit will have windows and the north side of each of the units (except the end unit) will not have windows. There are dormers on most visible units to break up the expanse of the roofs. Staff is requesting more details on the doors and windows to ensure compliance with the Historic District Design Guidelines, and this is listed as a condition within the recommendation. ITEM # 8 Page 3 of 4 Signage: Staff recommends that any proposed signage meet the Historic District requirements. A color board has been provided and a photo of it attached. It shows the paint colors proposed for the siding and trim and depicts the stone and shingles to be used. RECOMMENDATION TO THE PLANNING AND ZONING COMMISSION: Staff is recommending APPROVAL of the request subject to the following PD conditions: 1. There may be additional comments during the building permit and detailed engineering review. 2. A replat will be required to subdivide the lots and to provide easements. 3. Note on Site Plan that the HOA shall be responsible for maintenance of the common area lot, the landscape islands on Coppell Road and the perimeter fencing. 4. Submit draft HOA documents for City Attorney review. These shall be filed with the plat. 5. All proposed signage shall comply with ordinance requirements. 6. Add required/provided parking data to the Site Data table. 7. Add an overstory tree to the southernmost and northernmost landscape islands and include more detail on the plans for these areas 8. Extend the proposed fire lane/mutual access easement to incorporate the western 25' turning radius. 9. Revise all plans to reflect the correct property lines as depicted on the Site Plan. 10. Include more details on the elevations related to the doors and windows to ensure compliance with the Historic District Design Guidelines. 11. An exception be granted to allow an eight -foot wood fence in lieu of a six-foot brick wall on the eastern property line. 12. An exception be granted to allow 1' perimeter landscaping on the east property line and 5' on the northern property line. 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 2. Tree Survey 3. Landscape Plan 4. Floor Plan 5. Elevations 6. Color Board ITEM # 8 Page 4 of 4 A,JHED�� EXISTING ZONING LLE Ess e3eFCARACEDRCHN j/ PD -216-H 0 ROORDCONDrtaNED A1EA1 D)A L / j / L I IFF h F— O EXc DRAIN J EXC 5S J MANHOLE O U EXISTING ZONING NEI IIPEIAL'HISTORIC BLDG 5 J GARAGE trl D/ D ,�,..EgNp BLDG 4 C _iiulr_ ENANCE E1 BLDG 3 All YRADE EASE PRIVATEIANNTENANCE. DRwNACE, AICrESS AND p / U /n i1 BLDG 1 J NAVA j1 SITE PLAN sale: 1". EXISTING ZONING ON HEATH LANE NORTH H NE. ANO �KINHaLLowEL A N E R4 Parking Summary MAXIMUM BU SNESS OCCUPANCY -507 OF BLDG AREA _ — PROFESSIONAL OFFICE: 1500IF/300 IF PER SPACE = 5 SPACES X 5 BIT = 25 SPACES REQUIRED RESIDENTIAL COMPONENT - 2 SPACES PER UNIT X 5 BLDGS = 10 SPACES REQUIRED TOTAL35 SPACES RECUIRED 43 SPACES PROVIDED WITH ONE MEDICAL OFFICE: 1500 SF /1,75 SF PER SPACE 9 SPACES REQUIRED 4 BUILDINGAT 5 SPACES EACH = 20 SPACES RESIDENTIAL COMPONENT - 2 SPACES PER UNIT X 5 BLDGS = 10 SPACES REQUIRED TOTAL ASPACESREST 43 SPACES PROVIDED BI TO El 0 Site Data EXISTING ZONING PD- 213R2 -H PROPOSEDZONING: PD -213R6 -H PROPOSED USE: 5 LIVE / WORK UNI75 AND ONE COMMON AREA LOT FOR PARKING SQUARE F007AGES FOR EACH BUILDING: CONDITIONED AREA. 3,000 IF 2 CAR GARAGE: 600 SF COVERED FRONT PORCH: 200 IF COVEREDSIDE PORCH: 100 SF OPTIONAL COVERED PATIO ON LEVEL 2: UP TO AGO SF BUILDING HEIGHT: 34'-6" TO RIDGE 28-0' TO CENTERLINE OF ROOF EXISTING ZONING FEN SITE AREA: 30.862 IF, 0.71 ACRE PD -213R2-14 LOT COVERAGE INCLUDING PORCHES: 0266 I FINE PICE FLOOR AREA RATIO: 0.344 Site Plan 560 S. COPPELL ROAD, BEING LOT 27, BLOCK 1, OF LOST CREEK ADDITION, AN ADDITION TO THE CITY OF COPPELL. DALLAS. COUNTY. TEXAS. ACCORDING TO THE PLAT THEREOF RECORDED UNDER DOCUMENT NUMBER 20080103717, PLAT RECORDS, DALLAS COUNTY. TEXAS. 00/21/2021 BY BID SURVEYING, LEWAVILLE, TEXAS 75029 OWNER /APPLICANT CHRIS COLLINS 566 5. COPPELL ROAD COPPELL. TX 75019 _ E��scO 1n ARCHITECT:s 4w,com 20 549 E.R SHANDY LAKEC ROAD, SUITE 100 COPPELL, TEXAS 75019 TEL 972-824-7966 gN,FR1XqoTD,,hF, t —,Y Planned Development Conditions 1, 8BOARD ON BOARD FENCE WITH TRIM CAP PROPOSED IN LIEU OF THE REQUIRED 6' - B' BRICK SCREENING WALL ON THE EA5IERN PROPERTY LINE. - --- 2. 1' PERIMETER LANDSCAPING PROPOSEDIN LIEU OF THE 10' RE OF IRED ON THE EASTERN PROPERTY LINE, THERE ARE IN AL ORTORTREES P A ED ° THIS AREA,VEWHESRE 1Y TREE PER 40'SIS REQUIREDOC 3. ALLOW 5' PERIMETER LANDSCAPE SCREENING ON NORTH -y ------ PROPERTY LINE. 4. THE LOTS TO HAVE 1' SETBACK ON ONE SIDE WITH 7' SETBACK ON THE OTHER SIDE. ALL HOME OCCUPANTS SHALL BE GRANTED ACCESS BETWEEN THE HOUSES. 5. THE HOA SHALL BE RESPONSIBLE FOR MAINTENANCE OF THE OFMON AREA LOT, THE LANDSCAPE ISLANDS ON CDPPELL __ v ROAD AND THE PERIMf TER FENCING, 6. ALL PROPOSED SIGNAGE SHALL COMPLY AITH ORDINANCE @FR Ex REQUIREMENTS. 7 NO MORE AN E D GEN ERATORH(1 SPACEUPER 175 SOUAREHFEET)ARTHII INCLUDES USED SUCH AS MEDICAL AND DENTAL OFFICE, VETERINARY CLINIC, AND CHIROPRACTOR. SHALL NEI 11 IS ' D TO'N 'SS 9. SCREENING OF SECOND FLOOR PATIO AREA IS REQUIRED TO REDUCE SIGHT LINES TO THE ADJACENT RESIDENCES TO THE LLE Ess e3eFCARACEDRCHN j/ cPRA64 ROORDCONDrtaNED A1EA1 D)A L / j / L i1 BLDG 1 J NAVA j1 SITE PLAN sale: 1". EXISTING ZONING ON HEATH LANE NORTH H NE. ANO �KINHaLLowEL A N E R4 Parking Summary MAXIMUM BU SNESS OCCUPANCY -507 OF BLDG AREA _ — PROFESSIONAL OFFICE: 1500IF/300 IF PER SPACE = 5 SPACES X 5 BIT = 25 SPACES REQUIRED RESIDENTIAL COMPONENT - 2 SPACES PER UNIT X 5 BLDGS = 10 SPACES REQUIRED TOTAL35 SPACES RECUIRED 43 SPACES PROVIDED WITH ONE MEDICAL OFFICE: 1500 SF /1,75 SF PER SPACE 9 SPACES REQUIRED 4 BUILDINGAT 5 SPACES EACH = 20 SPACES RESIDENTIAL COMPONENT - 2 SPACES PER UNIT X 5 BLDGS = 10 SPACES REQUIRED TOTAL ASPACESREST 43 SPACES PROVIDED BI TO El 0 Site Data EXISTING ZONING PD- 213R2 -H PROPOSEDZONING: PD -213R6 -H PROPOSED USE: 5 LIVE / WORK UNI75 AND ONE COMMON AREA LOT FOR PARKING SQUARE F007AGES FOR EACH BUILDING: CONDITIONED AREA. 3,000 IF 2 CAR GARAGE: 600 SF COVERED FRONT PORCH: 200 IF COVEREDSIDE PORCH: 100 SF OPTIONAL COVERED PATIO ON LEVEL 2: UP TO AGO SF BUILDING HEIGHT: 34'-6" TO RIDGE 28-0' TO CENTERLINE OF ROOF EXISTING ZONING FEN SITE AREA: 30.862 IF, 0.71 ACRE PD -213R2-14 LOT COVERAGE INCLUDING PORCHES: 0266 I FINE PICE FLOOR AREA RATIO: 0.344 Site Plan 560 S. COPPELL ROAD, BEING LOT 27, BLOCK 1, OF LOST CREEK ADDITION, AN ADDITION TO THE CITY OF COPPELL. DALLAS. COUNTY. TEXAS. ACCORDING TO THE PLAT THEREOF RECORDED UNDER DOCUMENT NUMBER 20080103717, PLAT RECORDS, DALLAS COUNTY. TEXAS. 00/21/2021 BY BID SURVEYING, LEWAVILLE, TEXAS 75029 OWNER /APPLICANT CHRIS COLLINS 566 5. COPPELL ROAD COPPELL. TX 75019 _ E��scO 1n ARCHITECT:s 4w,com 20 549 E.R SHANDY LAKEC ROAD, SUITE 100 COPPELL, TEXAS 75019 TEL 972-824-7966 gN,FR1XqoTD,,hF, t —,Y Planned Development Conditions 1, 8BOARD ON BOARD FENCE WITH TRIM CAP PROPOSED IN LIEU OF THE REQUIRED 6' - B' BRICK SCREENING WALL ON THE EA5IERN PROPERTY LINE. - --- 2. 1' PERIMETER LANDSCAPING PROPOSEDIN LIEU OF THE 10' RE OF IRED ON THE EASTERN PROPERTY LINE, THERE ARE IN AL ORTORTREES P A ED ° THIS AREA,VEWHESRE 1Y TREE PER 40'SIS REQUIREDOC 3. ALLOW 5' PERIMETER LANDSCAPE SCREENING ON NORTH -y ------ PROPERTY LINE. 4. THE LOTS TO HAVE 1' SETBACK ON ONE SIDE WITH 7' SETBACK ON THE OTHER SIDE. ALL HOME OCCUPANTS SHALL BE GRANTED ACCESS BETWEEN THE HOUSES. 5. THE HOA SHALL BE RESPONSIBLE FOR MAINTENANCE OF THE OFMON AREA LOT, THE LANDSCAPE ISLANDS ON CDPPELL __ v ROAD AND THE PERIMf TER FENCING, 6. ALL PROPOSED SIGNAGE SHALL COMPLY AITH ORDINANCE @FR Ex REQUIREMENTS. 7 NO MORE AN E D GEN ERATORH(1 SPACEUPER 175 SOUAREHFEET)ARTHII INCLUDES USED SUCH AS MEDICAL AND DENTAL OFFICE, VETERINARY CLINIC, AND CHIROPRACTOR. SHALL NEI 11 IS ' D TO'N 'SS 9. SCREENING OF SECOND FLOOR PATIO AREA IS REQUIRED TO REDUCE SIGHT LINES TO THE ADJACENT RESIDENCES TO THE Y e�® meeeneaaw.ioxxmea °„ � � �"-� � — - ` acnes. "`"omzoxeaxosreuvea uwww �nnoewm�w c — — � � onunvaxce .ne .nee .nwrc wnn me .ean eossmu „� m.....= uxF me are a uaaweo.o wexo xro me wnoz nom rorE PRO „� Mw�a.zw. z d"�•— --- �\in wnoneEoenerneaemaeivE We enion wenwe<w.re owriews Ex oxacsw xc ...a.»•.r....,... [[rxm[cr cxc 00 a ,M w�,„¢a h enoneneamvm — d .re wuow�xoa apneas w.eo°e.re �m�nnm.n z Luo •.. n„�eee� �nnm.nrEne� � a �x � enm��mff o 0 g e � a LU L .r W s B ° .......• enn�nnne.nea .nffnx.m�n .�meeroenmeRR �n.�x�nxa ernron„�eex s� � e�ennnrom n„. ,n.w, mW...�..�uF.n�n.x.er�Pox�n�nnxwn.ne�nn�.e x a�sxa°zoxx� _ HEA,H LANE x 0.xff. xE�x ��a.�xx�ax� •.•x, �x TREE •••x•�°• °°°• °°° x^°� PRESERVATION PLAN •.e.x.� s,•.. ,max _ �.,,•.a „max •� .A snee<xxmne,. L1.01 S -E LANDSCAPE PLAN LI.02 Y e� PRO ao-a,sx .. mom.. �..�wm ........ L Yz ao4 x. x wo u: CL � a� B J� j -� ....fin. 0 i� s REo��REo Ro��oEo o,���xo PARnNOAR�a- sass „�s� �, a�s�.�,x. .� P n, n L n N e oN E R Noa1PE 1.1s PER�ME,ERAREAa n,n�� anaa�� AREA PLAN .S—E EA snee<N�mne,. L1.03 "i I Pil L � xnoelr�nlrrlix� a, I I ..o�a�®, /3�sxnue sync x�nxo ren ..�.. �_ HIM mfflmfflmfflmffl—I I I- lh.1 LANDSCAPE SPECS AND DETAILS Sh.. -- 1-1.04 % PRO r M V IN NNOM VV Ml M LU Oo................... Lu UMM _j Lu .... . . .... M' .. .... ........ ....... "i I Pil L � xnoelr�nlrrlix� a, I I ..o�a�®, /3�sxnue sync x�nxo ren ..�.. �_ HIM mfflmfflmfflmffl—I I I- lh.1 LANDSCAPE SPECS AND DETAILS Sh.. -- 1-1.04 BLDGS 2 & 4 FLOOR PLAN LEVEL 1 BLDGS 2 & 4 FLOOR PLAN LEVEL 2 SC3I2: 1/8"=V_0 -- BLDG 1 FLOOR PLAN LEVEL 1 BLDG 1 FLOOR PLAN LEVEL 2 SC3I2: 1/8" = y.0" GPF z uw <0 O J o LU Lu 0 0 o Nw J r�, BLDG 5 FLOOR PLAN LEVEL 1 BLDG 5 FLOOR PLAN LEVEL 2 Scale: 1/8"=V_0 -- BLDG 3 FLOOR PLAN LEVEL 1 BLDG 3 FLOOR PLAN LEVEL 2 Scale: 1/8" = y.0" GPF z uw <0 O J o LU Lu 0 0 o Nw J ...........EXTERIOR MATERIALS TF] DING AND IFIMS CEMENT DEAD BORED LAP SIDING WITH 5" SPAGIN "e WINDOWS: WHITE VINYL OR FIBERGLASS IECC ENERGY COMPLIANT, LIGHT GRAY TINT DOORS WOOD, PAINTED TO MATCH TRIM STONE ACCENTS vr000 P. ROOF SHINGLES: GAF WEATHERED WOOD Typ. A Typ. B Typ. C PA NTS BUILDING 1 FIELD COLOR PT -1: SHERWIN WILLIAMS SW 1110 TURKISH TILE GlLD I N Co�.'I' PPT_'� SHE, WIN WILLIA A S-141 WILLOW TREE BlIHD AA F�EELLDD Go WINDOW TYPES DOOR TYPES BUILDING a FIELD COLORPT—a: SHERWIN WILLIAMS SW 1591 RBD BARN BUILDING 5 FIELD AS LORPT—R SHERWIN WILLIAMS SW 1081 CITYSCAPE sale: 1/2" 1'-0" scale: 1/2-l'- ALL TRIMS, SOFFITS, RAILINGS PT -6: SHERWIN WILLIAMS SW 1510 EGRET WHITE GARAGE DOORS INSULATED METAL PANEL STANDING SEAM ROOF: GALVALUME COLOR (SILVER–GRAY) �j/7 EM OVERALL STREET VIEW WEST ELEVATION No Scale GPF z U cWc J G Q 0,A? O J o GG W LLI 0 0 o Ln W J GPF I u 11 1 11 11 1 11 11 1 11 11 El El 0000 BLDG 1 WEST ELEVATION BLDG 1 EAST ELEVATION S..I.: 1/4" V-D" S..I.: 1/4" IW' FTTI - - - - - - - - - - HIM BLDG 1 SOUTH ELEVATION S..I.: 1/4" = V-D" GPF FHM mum BLDGS 2 & 4 WEST ELEVATION BLDGS 2 & 4 EAST ELEVATION S..I.: 1/4" V -D" S..I.: 1/4" IW' 11 111 11 111 lill Hill lill Hill III Hill III 11111 111 Hill IIII IIII 111 11 11 1 11 11 111 11 111 11 11111 111 11111 lill 11111 1 111 11 111 11 111 11 111 1 LLLLU LLLUL=LLWL=LLWL= L=L- Ltu IIEP - H ------- E -- ---- 00 BLDGS 2 & 4 SOUTH ELEVATION S..I.: a/4"_ V -D" GPF GPF 0000 LH- BLDGS 3 WEST ELEVATION BLDGS 3 EAST ELEVATION S..I.: 1/4" V -D" S..I.: 1/4" IW' lul Mill �0 0 0 00 WH BLDG 3 SOUTH ELEVATION S..I.: 1/4" = V -D" GPF GPF lI 11 111111 Mill 11 Mill 11 ..... . .... 0000 BLDG 5 WEST ELEVATION 51,11: 1/4" 1'-0" BLDG 5 EAST ELEVATION 1/4" 1'-0" lul -- - - - - - - - - - - BLDG 5 SOUTH ELEVATION S..I.: 1/4" = V -D" GPF GPF -,•m;;mmmm mmm 0,•mm D :mm, Dmm m'm"imn...... ni'm'niim m'm"'m'i'mmmn"m"m"m"mmmimnmmmmmmmm"m"m"m"m"m"mmmmmmmimnmmmmimni'm'ni'm'nmmimnimnm mm�mm�mm�mm�mmmmnnnn mmmmmmmmmmn■----- mmmmmmmmmmmmmmmmmmmmmmm■nm■nm■nm■nmmmmmm mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm mmmmn■mn■mmmmmmmmmn■mn■mn■mmmmmmmmmmmmmmmn mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmn mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm mmmmmmmmmmmmmmmmmmmmmmnnnnnnmmmmm■nm■nmmmmmmmmi mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm..�..�.�.mmmmmmm.�.�..�.mmmmmmm......�mmmmmmmmmmmmm mmnnnmm�mmnnnnnnnnnnnnmm�mm�mm�mm�mm�mmmmnnnnnnmm�mm�mm�mmmmnnnnnnnnnnnnmm�mm�i : mmmmmmmmmmn■mn■mmmmmmmmmmmmmmmmmn■mn■mmmmmmmmmn■mn■mn■mmmmmmmmm nnnmmmm mmmm mmn ME• mmmmmm 111 mmmmmm mmmmmm � mm°�imn�imnm� mn■01mimmmni mmmmmm mmmmmmmmmmnnnn mmmm mmmmmmmmmmmmn n■mn mmn■mn■mmmmmnm n• mmmmmm■ ��• mmmmmmmmmmmmm■ p1 mmmmmmi p1 mmmmmmmmmmmmmi mmmmmm mmmmmmmmmmmmmn � m��imn�imnm� � mmmmmmm�imn�imn�imm mn°°mimmm�nn mnmmmmmin��mmm�mm� mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm IDI IDI IDI IDI IDI= IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII ■ GPF C',P FE L File ID: 2021-5894 Version: 1 City of Coppell, Texas Master File Number: 2021-5894 Type: Agenda Item Reference: File Name: Metrocrest Capital Campaign 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Agenda Ready In Control: City Council File Created: 09/08/2021 Final Action: Title: Consider approval of a Resolution in support of Metrocrest Services Capital Campaign; and authorizing the Mayor to sign. Notes: Sponsors: Attachments: Memo - Metrocrest Capital Campaign Resolution.pdf, Metrocrest Services Capital Campaign Resolution.pdf Contact: Drafter: Related Files: History of Legislative File Enactment Date: Enactment Number: Hearing Date: Effective Date: Ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: Text of Legislative File 2021-5894 Title Consider approval of a Resolution in support of Metrocrest Services Capital Campaign; and authorizing the Mayor to sign. Summary Fiscal Impact: [Enter Fiscal Impact Statement Here] Staff Recommendation: [Enter Staff Recommendation Here] Strategic Pillar Icon: City of Coppell, Texas Page 1 Printed on 9/10/2021 Master Continued (2021-5894) 11::::�osteiir ain Illunelllusiiive Cornirnurfl-ty 11::::41brlIc ®I ha the 1-fty Oasls' FuhAp (Wnwd lu,-., Cireate I';3iusiiness and InnovaHon Nodes Appy MaN IResource Managemmyt Sustainable Government City of Coppell, Texas Page 2 Printed an 9WW21 MEMORANDUM To: Mayor and City Council From: Vicki Chiavetta, Deputy City Manager Date: September 14, 2021 Reference: Consider approval of a Resolution in support of Metrocrest Services Capital Campaign; and authorizing the Mayor to sign. Introduction: For over fifty years, Metrocrest has provided programs designed to foster independence and help end poverty in the Quad Cities of Addison, Carrollton, Coppell and Farmers Branch. For Coppell, Metrocrest Services is the primary resource for individuals, families and seniors who are in crisis and need housing, employment or food stability. Because Metrocrest has experienced a significant increase in the need for services over the past two years, the non-profit organization is undergoing a capital campaign to raise $12,700,000 to build a new Center for Community Support. This new facility will allow Metrocrest to focus on expanding their client services and community engagement to meet the growing needs of the community. Metrocrest Services approached the Quad Cities to request that between the four cities, they commit $2,000,000 to fund the capital campaign. Coppell has been asked to provide $80,000, an amount that is based on the 4% of clients who live in Coppell. Our contribution will also be used to meet 70% of their total campaign goal of $12,700,000 by October 30, 2021. Legal Review: The City Attorney has reviewed the agreement. Fiscal Impact: Funding for the Metrocrest Capital Campaign will be from the Assigned General Fund, Fund Balance. Recommendation: Staff recommends approval of the resolution. RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, APPROVING FUNDING FOR THE SUPPORT OF METROCREST SERVICES BUILDING OUR FUTURE CAPITAL CAMPAIGN IN THE AMOUNT OF $80,000; AND, PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, Metrocrest Services serves individuals, families and seniors for the Coppell Community who are in crisis and need housing, employment or food stability; and WHEREAS, Metrocrest Services has provided programs for fifty years that lead to self- sufficiency, foster independence and help end poverty in Addison, Carrollton, Coppell, Farmers Branch and The City of Dallas in Denton County; and WHEREAS, Metrocrest Services has experienced a 155% increase in individuals served since 2019, resulting in their main facility no longer being able to support the growing needs of its clients and community; and WHEREAS, Metrocrest plans to increase capacity and improve services and programs through the construction of a new Center for Community Support that will focus on expanded client services and community engagement; and WHEREAS, Metrocrest Services has embarked on a Building Our Future capital campaign to raise $12,700,000 to fund the Center for Community Support; and WHEREAS, the City of Coppell desires to support the Building Our Future capital campaign and provide funding in the amount of $80,000; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, THAT: SECTION 1. The City Council of the City of Coppell, Texas, hereby approves funding Metrocrest Services Building Our Future capital campaign for $80,000. SECTION 2. This Resolution shall become effective immediately upon its passage. DULY RESOLVED AND ADOPTED by the City Council of the City of Coppell, Texas, on the day of September, 2021 APPROVED: WES MAYS, MAYOR ATTEST: ASHLEY OWENS, CITY SECRETARY APPROVED AS TO FORM: ROBERT HAGER, CITY ATTORNEY City of Coppell, Texas C',P FE L File ID: 2021-5885 Version: 1 File Name: Mayor and CC Reports Master File Number: 2021-5885 Type: Agenda Item Reference: 255 E. Parkway Boulevard Coppell, Texas 75019-9478 Status: Mayor and Council Re po its In Control: City Council File Created: 09/07/2021 Final Action: Title: Report by the City Council on recent and upcoming events. Notes: Sponsors: Attachments: Contact: Drafter: Related Files: History of Legislative File Enactment Date: Enactment Number: Hearing Date: Effective Date: Ver- Acting Body: Date: Action: Sent To: Due Date: Return Result: sion: Date: Text of Legislative File 2021-5885 Title Report by the City Council on recent and upcoming events. Summary City of Coppell, Texas Page 1 Printed on 9/10/2021