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HomeMy WebLinkAboutAgenda CC 08.12.2014 WorkshopNotice of Meeting of the Governing Body of the City of Georgetown, Texas AUGUST 12, 2014 The Georgetown City Council will meet on AUGUST 12, 2014 at 3:00 P.M. at the Council Chambers at 101 E. 7th St., Georgetown, Texas The City of Georgetown is committed to compliance with the Americans with Disabilities Act (ADA). If you require assistance in participating at a public meeting due to a disability, as defined under the ADA, reasonable assistance, adaptations, or accommodations will be provided upon request. Please contact the City Secretary's Office, least four (4) days prior to the scheduled meeting date, at (512) 930-3652 or City Hall at 113 East 8th Street for additional information; TTY users route through Relay Texas at 711. Policy Development/Review Workshop - A Interim Municipal Utility District (MUD) Policy Update -- Micki Rundell, Chief Financial Officer and Andrew Spurgin, Planning Director B Presentation and direction to staff on developing a resolution to initiate the expansion of the Downtown Overlay District and Downtown Tax Increment Reinvestment Zone to support continued public and private investment in the District -- Matt Synatschk, Historic Planner and Laurie Brewer, Assistant City Manager C Planning Department Study and Business Plan - - Andrew Spurgin, Planning Director D Public Hearing on the proposed 2014 Property Tax Rate -- Micki Rundell, Chief Financial Officer E Discussion and possible direction regarding suggested Unified Development Code (UDC) amendments to include in the 2014-2016 UDC amendment process -- Valerie Kreger, AICP, Principle Planner and Andrew Spurgin, AICP, Planning Director F Staff presentation and overview of the draft Operating Agreement for the Georgetown Art Center, between Georgetown Art Works and the City of Georgetown -- Eric Lashley, Library Director and Laurie Brewer, Assistant City Manager Executive Session In compliance with the Open Meetings Act, Chapter 551, Government Code, Vernon's Texas Codes, Annotated, the items listed below will be discussed in closed session and are subject to action in the regular session. G Sec. 551.071: Consultation with Attorney - Advice from attorney about pending or contemplated litigation and other matters on which the attorney has a duty to advise the City Council, including agenda items - Discussion regarding a Settlement Agreement between CTSUD, City of Leander, and City of Georgetown related to CTSUD CCN 11590 TCEQ Docket 2014-0437-UCR. - - Bridget Chapman, City Attorney, Jim Briggs, General Manager of Utilities and Glenn Dishong, Utilities Director - Wolf Ranch/Hillwood - Airport Issues - Aero Centex Sec. 551.087: Deliberation Regarding Economic Development Negotiations - Project NAFTA Adjournment Certificate of Posting I, Jessica Brettle, City Secretary for the City of Georgetown, Texas, do hereby certify that this Notice of Meeting was posted at City Hall, 113 E. 8th Street, a place readily accessible to the general public at all times, on the _____ day of _________________, 2014, at __________, and remained so posted for at least 72 continuous hours preceding the scheduled time of said meeting. __________________________________ Jessica Brettle, City Secretary City of Georgetown, Texas August 12, 2014 SUBJECT: Interim Municipal Utility District (MUD) Policy Update -- Micki Rundell, Chief Financial Officer and Andrew Spurgin, Planning Director ITEM SUMMARY: The purpose of this workshop item is to provide presentation and recommendations to City Council and elicit feedback relative to the following 4 items: 1. Review the City's area of jurisdiction, growth predictions and role in shaping the direction of the 130 square mile area contained in the extraterritorial jurisdiction (ETJ); 2. Review existing MUD creation criteria codified in the UDC, describe experience with existing MUDs and outline issues for Council discussion in this workshop; 3. Describe pending and expected MUD applications that have been or that are anticipated to be filed with the City to provide context for the issues discussed in the workshop; and 4. Propose recommendations that would be codified to guide future administration of requested MUDs. Action items will be docketed for Council at later meetings pursuant to any direction received in this workshop. Such items may include: 1. Establishment of appropriate criteria for MUD requests; 2. Updated application submittal requirements and fees; and 3. A sector-based work program. This item was previously scheduled for the July 22, 2014 but was moved to August 12 to facilitate additional time for budget related discussions. The attached summary memo has been updated since that time and therefore a redline version has been included to indicate updates. FINANCIAL IMPACT: None, policy discussion only. Follow up items may have fiscal or resource impacts. SUBMITTED BY: Micki Rundell and Andrew Spurgin ATTACHMENTS: Ultimate boundary map Summary memo - clean Summary memo - redline Cover Memo Item # A ±0 3,100 6,200 9,300 12,4001,550 Feet 1 inch = 12,3 48 f eet Lege nd map.GTO WN .U ltimateBndry CITY_NAME ET J Rivers Streets Name GEOR GETOW N Attachment number 1 \nPage 1 of 1 Item # A 1 MEMORANDUM   Date:  July 22, 2014, with revision for August 12, 2014    To:    Mayor and City Council    Through:  Paul E. Brandenburg, City Manager    From:  Micki Rundell, Chief Financial Officer and Andrew Spurgin, Planning Director    Subject: Municipal Utility District (MUD) Issues      The purposes of this memo and workshop are as follows:       First, to provide background on the City’s area of jurisdiction, growth predictions and  City Council’s role in shaping this direction through extraterritorial jurisdiction (ETJ)  management.     Second, to provide a general overview of the City’s existing MUD creation policy (which  was originally adopted in 2006 and is codified in Chapter 13.10 of the Unified  Development Code (UDC)), describe existing MUDs in the City’s jurisdiction, and  briefly describe the issues that are the focus of this workshop.       Third, to describe currently pending and expected MUD applications that have been or  are anticipated to be filed with the City to provide context for discussion of the issues  addressed in this memo.     Finally, to propose adoption of specific recommendations that would be codified either  in amendments to Chapter 13.10 of the UDC or the Development Manual (as  appropriate).    Section I  BACKGROUND    The City of Georgetown currently has approximately 52 square miles of City Limits and 130  square miles of ETJ, cumulatively 182 square miles. The ETJ, by operation of law, is the area  intended for urbanization and ultimately annexation by the City and therefore must be planned  in a manner to allow for the future extension of city services in an efficient manner, for example  Attachment number 2 \nPage 1 of 21 Item # A 2 with water lines that will allow safe fire flows.  The Georgetown 2030 Comprehensive Plan was  prepared to as a guidance tool as the City heads toward a forecasted population of 101,000  inside City Limits in anticipation of future annexations.      A September 24, 2013 City Council workshop included a population allocation exercise to  account for roughly 21,000 new residential units assuming existing development trends  yielding 5 single family dwelling units per acre and 24 multi‐family units per acre continue at  the existing 80:20 ratio, meaning roughly 3,520 acres of addition territory is necessary to annex  to the city limits.  The Council was split into 2 workgroups to map out potential locations for  the new development, which in turn led to discussion among Council on the need for an  appropriate update to City annexation and MUD policies.      Alternatives to the need to house 50,000 additional population without annexation of 3,520  acres would be to allow more dense residential development, such as multifamily and/or allow  more “infill” development on vacant tracts abutting existing neighborhoods.  Staff believes that  the strategies of increased density and infill alone are not viable alternatives to housing 50,000  additional residents when considered in the context of recent policy discussions with City  Council on the location and scale of multifamily and when considered with community  sentiments over recent proposals to establish “infill” development on tracts abutting existing  neighborhoods.  The Planning Department will bring forward an updated Annexation Plan to  allow additional City Council consideration on the location and timing of future annexations  programs, at that time a formal updated MUD policy will be brought forward to better consider  disposition of the 130 square mile ETJ.       Section II  EXISTING UDC CHAPTER 13.10 AND EXISTING MUDS    A. CHAPTER 13.10 – Chapter 13.10 of the UDC, adopted in 2006, is entitled “Creation of  Special Districts” and has the following six sections:    Section 13.10.010 – Purpose and Intent  Section 13.10.020 – Definitions  Section 13.10.030 – Prerequisites to Consent to Creation of a District  Section 13.10.040 – Staff Analysis  Section 13.10.050 – Conditions to the City’s’ Consent to Creation of a District  Section 13.10.060 – City Operations Compensation Fee    A copy of Chapter 13.10 is attached to this memo as Attachment 1.  The particular sections that  are the subject of this workshop are Sections 13.10.030, .040, and .050.     B. SECTION 13.10.030 “PREREQUISITES” – Section 13.10.030 of the UDC sets forth two  threshold issues for the City Council to evaluate prior to the creation of a MUD:      (1) whether the area proposed to be included in a MUD is in an area that the City  intends to annex (i.e., whether the area is within the City’s “”ultimate city limits  boundary” [shown with red line in map below]); and   Attachment number 2 \nPage 2 of 21 Item # A 3   (2) whether the City intends to provide water and wastewater services to the area  within 4 ½ years.      If the answer to both questions (1) and (2) is “no,” then the City Council may consider a  MUD creation petition for the area and can allow MUD formation where otherwise feasible,  practicable, necessary and a benefit to the land.  If the answer to either question (1) or (2) is  “yes,” then the City Council is not to consent to creation of a MUD “unless the applicant  demonstrates unique factors that justify its creation.”  If such “unique factors” are present,  then the City Council can either enter into a Consent Agreement with the applicant setting forth  the terms and conditions upon which the MUD can be created, or annex the area into the City  limits and provide services consistent with other areas of the City similarly situated.      Application of the two threshold criteria specified in Section 13.10.030 was intended at  the time of its adoption to discourage creation of MUDs unless the area proposed to be included  in the MUD is outside of or on the fringes of the City’s “ultimate annexation area,” and/or there  are “unique factors that justify its creation.”  Nonetheless, since the adoption of Section  13.10.030, the City received several MUD creation petitions and has granted all of them.     The table below identifies the MUDs whose creation the City has consented to (or not  objected to, if created by the State Legislature) and briefly describes the Section 13.10.030 factors  as applied to those MUDS:        Attachment number 2 \nPage 3 of 21 Item # A 4 MUD Name Answer to  Question 1  Answer to  Question 2  Unique factors that justify [MUD] creation  3 B & J MUD No  No (n/a – Removed from Georgetown ETJ and  jurisdiction in 2007 and legislatively created in  2007.)  MUD 15  (Tera Vista)  No  ‐ prior  to adoption  of Ultimate  City Limit  Boundary  No Allowed for completion of Round Rock’s Terra  Vista subdivision; completion of off‐site utility  infrastructure including 18” water line on  Westinghouse Road, two lift stations and force  main to Master Plan size. Provided fire station site  and school site.  MUD 23  (Oaks at San  Gabriel)  No No Conservation subdivision standards; hike and  bike trails; public park improvements; pedestrian  bridges spanning the Middle San Gabriel;  enhanced landscaping, fencing, and roadway  standards; sewer main along western property  boundary constructed at no cost to the City;  expansion of the Cimarron Hills Wastewater  Treatment Plant to 450,000 gpd and provision of  land for new water quality pond.   MUD 25  (Water Oak)  Yes Yes Facilitated construction and financed 85% of  regional wastewater line west of IH‐35 and  extension to the west; facilitated construction of a  planned roadway and bridge connecting SH 29 to  Leander Road; designed with conservation  subdivision principles including 30% overall open  space and planned City parkland for South Fork  trail; civic uses include sites for 2 Fire Stations and  a school site;  agreed to build master plan water  line connecting SH 29 and Leander.  MUD 26  (Cimarron  Hills)  Yes No Created to replace existing but inadequate PID.   Facilitated construction of non‐discharge  wastewater treatment plant to serve Cimarron  Hills and adjacent Oaks at San Gabriel.    However, as is discussed more below, questions have arisen as to whether these are the proper  threshold questions to MUD creation and if so, what “unique factors” might City Council  consider important enough to justify MUD creation even when the threshold analysis would  indicate otherwise.    C. SECTION 13.10.040 “STAFF ANALYSIS” – Section 13.10.040 requires the staff to conduct a  detailed utility, land use, traffic, and financial analysis of a MUD, but several of the current  applicants do not provide this information at all or do not provide it early enough in the process  to enable staff to conduct any meaningful review or to convey any detailed information to the  City Council about the proposed MUD.  Some MUD applicants have even argued that they  cannot provide the submittal documents required by the UDC because they have no  development plan and are merely seeking the MUD as an entitlement and speculative tool.  Attachment number 2 \nPage 4 of 21 Item # A 5   D. SECTION 13.10.050 “CONDITIONS” – Section 13.10.050 describes the terms and conditions  that are to be included in a MUD consent agreement.  This section is quite detailed on financial  matters, but is much less detailed on other issues.      Section III  EXISTING AND ANTICIPATED MUD APPLICATIONS     There has been a significant uptick in the number of applicants who have submitted or  expressed interest in submitting MUD creation petitions seeking the City’s consent to creation  of a MUD.  Since the September 24, 2013 City Council workshop, staff has been approached by  developers of at least 15 different projects seeking to establish a MUD or expand existing MUDs  on to additional territory. These proposals have ranged in size from as small as 100 acres with  300 dwelling units to as large as 1,700 acres with 4,000 dwelling units and have differing  degrees of complexity related to infrastructure, desired amenities, and financial structure.     Based on feedback from discussion with City Council, staff will proceed with a work  program using a sector approach to allow balanced growth with no one direction of the City  receiving the bulk of resources. Three sectors are proposed: Southwest – which is west of  Interstate 35 and to the south of the North Fork of the San Gabriel River and Lake Georgetown;  Northwest – which is west of Interstate 35 and to the north of the North Fork and Lake  Georgetown; and East which is east of Interstate 35.        Attachment number 2 \nPage 5 of 21 Item # A 6 The tables below summarize the existing and anticipated MUD applications, and the  map below show the location of the various sectors:     Location  Existing MUD Applications Anticipated MUD Applications  Southwest  Sector  Wolf Ranch (Hillwood)  Crescent Bluff & Chapman  3 new MUDs  Major amendments to 1 existing MUD   Expansion to 1 existing MUD  Northwest  Sector  Parmer Ranch 2 new MUDs  Eastern  Sector  Woodhull 2 new MUDs  Expansion to 1 existing MUD     Preliminary analysis of some of these applications indicates that, under the existing  MUD policy, MUD creation would not be approved in the absence of “unique factors that  justify [MUD] creation.”  However, some of the applications for new MUDs are not clear on just  what “unique factors” might “justify [MUD] creation” under Section 13.10.030.  Also, some  applicants have not provided information necessary for the staff to perform the analysis  required by section 13.10.040 to facilitate City review of the proposal, and some applicants have  resisted acceptance of the standard financing conditions in Section 13.10.050 that City Council  has expressed an interest in both seeing and understanding.  Nonetheless, based on comments  made at the prior workshops on this topic and the continuing discussions between staff and  City Council on MUD‐related items, staff has not rejected or stopped processing any of the  MUD applications because staff has sensed that the current City Council it receptive to MUD  creation provided unique circumstances exist.  If that is the case, applicants and the staff need  additional guidance and clarification so that the current and anticipated applications can be  processed in a fair and consistent manner.      Therefore, in light of the large number of MUD creation petitions that have been or are  anticipated to be filed seeking the City Council’s consent to creation of a MUD, this workshop  provides an opportunity for the City Council to revisit its existing MUD policy as codified in  Section 13.10 and determine whether it still accurately reflects the City’s MUD policy, and to  review the application administration procedures to determine whether it provides an adequate  framework for analyzing the petitions and the merits of each proposed district.      Section IV  RECOMMENDATIONS    Following up on the current context outlined above, and in light of the number of applications  currently pending, staff requests guidance on certain specific topics and suggests that the  existing policy be amended along the lines generally described below:    RECOMMENDATION 1:  Retain the two threshold questions under Section 13.10.030.  o MUDs are an appropriate tool to allow urban level density neighborhoods in locations  supported by the 2030 Comprehensive Plan but that are outside of the ultimate city  boundary where the City may annex in the future and where the City cannot provide  water and wastewater service within 4 ½ years.  Attachment number 2 \nPage 6 of 21 Item # A 7     RECOMMENDATION 2:  If the UDC criteria that limits eligible location for MUDs is not a  desirable policy, provide examples of “unique factors justifying [MUD] creation” to guide  determinations made under Section 13.10.030.  o Consistent with past Council actions, require the construction of specific regional  infrastructure improvements consistent with the City’s comprehensive plan and master  plans and that are beneficial to the City.  Examples include:   The construction of the South San Gabriel Interceptor as part of the Water Oaks  agreements opened up the land in Georgetown’s southwest quadrant for  development well ahead of the time that the City could have done so in the absence  of those agreements.     Cimarron Hills Wastewater Treatment Plant, built as PID and MUD allowed  expansion as part of the Oaks at San Gabriel agreements.    The contemplated bridge and parkway connection of Water Oak linking Hwy 29 and  Leander Road, as there is currently no north‐south connection between Ronald  Reagan Blvd and Interstate 35.   Conservation subdivision design that clusters development in low impact areas and  maintains existing topography, scenic views, natural drainage flows and wildlife  habitat.   Regional trail connections, off‐site, to link gaps in the City and County trail system.    RECOMMENDATION 3:  Require applicants to submit information with the MUD creation  petition that would allow the staff to perform the level City Council has directed during  consideration of several recent MUD petitions.  o In addition to the items already listed in Section 13.10.040 and the information required  to determine compliance with Section 13.10.050, in order to assist boards, commissions  and the City Council with understanding the financing related aspects, require  applications to submit the following:  o A detailed project pro‐forma with assumptions of different tax rates and  homes at various price points,   o A  marketing study completed within the previous six months of the date  the petition indicating project feasibility based on regional market  absorption rates that indicates projections in residential units per year for  specific years of the development. The marketing study should include  all proposed uses within the MUD  o A clear and understandable comparing MUDfinanced development  tonon‐MUD financed development should also be included in these  submittals including projections of municipal property tax generation.    o A copy of the petitioner’s financial statement and a detailed description  of the petitioner’s experience with MUDs. If petititioner and developer  are the not the same, provide documentation explaining the relationship  between the petitioner and developer.  o Documentation that all lien holders consent to the formation of the  proposed MUD.  Attachment number 2 \nPage 7 of 21 Item # A 8 o To streamline processing of MUD petitions, allow staff to defer comprehensive review  and consideration of applications until a complete application and all supporting  materials are submitted.   o Increase the application fee to a sum to allow for adequate cost recovery and that is  commensurate with staffing and workload impacts necessary for evaluating MUD  petitions and negotiating and drafting MUD Consent Agreements and any related  agreements.    RECOMMENDATION 4:  Require MUD Petitions to be reviewed by a cross‐departmental  “MUD Petition Review Team” comprised, at a minimum, of members of the planning  department, utility department, finance department, parks department, public safety  departments, and legal department.  MUD creation will impact many City departments so  they should have an opportunity to weigh in during the process.  o A standing committee structure would allow for consistency in review and oversight  over regional impacts beyond the boundaries of a particular MUD.    RECOMMENDATION 5:  Require development in a MUD to exceed UDC land use and  development standards (not just meet UDC standards or be less than minimum UDC  standards), and address the land use provisions in the Consent Agreement or related  agreement:      a. Prohibit all age‐restricted development; provided, however, that one section or phase of  a development may be considered for age‐restricted development if it does not exceed  10% of the net developable land area and 10% of the total housing units within the  MUD.  b. Prohibit certain other land uses such as Correctional Facility; Personal Services  Restricted as defined the Unified Development Code, Chapter 16, of Title 7 of the  Georgetown City Code of Ordinances, and others as determined by City Council.  c. Require at least 20% of overall net developable land area to be used for commercial,  office, industrial or related employment (nonresidential) uses, unless located in Low  Density Residential in the City’s Future Land Use Plan in which case a neighborhood‐ serving commercial site shall be included.   d. Require at least 30% of the proposed land use area to be used for commercial/retail uses  and to be developed within the first 5 years of the first building permit within the MUD.   i. All efforts should be made to exclude this commercial/retail land area from the MUD  in favor of full‐purpose annexation, or a Strategic Partnership Agreement (SPA)  should be required allowing the City to collect sales taxes from the area.  ii. The Strategic Partnership Agreement should provide that the City is entitled to  receive up to 100% of the sales taxes collected, and that none of those taxes should be  shared with the MUD unless special circumstances exist.  iii. City should retain site plan review to current City standards for uses other than one‐  and two‐family residential uses.  Attachment number 2 \nPage 8 of 21 Item # A 9 e. Require workforce housing to be provided through a homebuyers club that includes  programs such as down payment assistance, preferred sales pricing, subsidized  insurance premiums, ongoing financial counseling and homeowner maintenance  training. The homebuyers club shall be open to all current City of Georgetown,  Williamson County or Georgetown Independent School District employees.  f. Require public school location(s) to be provided, if desired by the applicable School  District. Location(s) of school sites should be in a central, walkable location to minimize  travel along or across a collector or arterial roadway identified in the Overall  Transportation Plan (OTP).  g. Require a land use plan to be attached to the Consent Agreement, and require major  amendments to a MUD land use plan shall require review by the Planning & Zoning  Commission and City Council.   h. Require gross impervious cover to be kept below the maximums allowed by the UDC.   i. Require tree preservation to exceed minimum UDC standards.  Where a site contains  little existing tree coverage, require at least two trees of 3” caliper or greater on every  single family lot and provide park and open space areas to increase gross tree canopy  coverage to 40% coverage upon tree maturity.  j. Require compliance with all water quality and water conservation ordinances with no  adverse impacts to the watershed including a preliminary plan indicating existing  facilities, proposed facilities and any improvements planned in the occupied site, spring  and stream protection zones established by the December 20, 2013 water quality  ordinance  k. Require protection and conservation of features unique to site such as clusters of trees,  archaeological sites, springs, the natural floodplain, recharge and karst features and  historic farm and ranch complexes.   l. Require higher standards for architectural design. For example, homes with front  porches at minimum 8 foot depth, 3‐sides stone, stone veneer or brick masonry,  variation in floor plans, and embellished architectural treatment and masonry façades  on homes facing street intersection corners or major streets.    m. Require submittal and City Council approval of a pattern book with a visual  representation of the architectural styles of buildings including cornice lines, roof  profiles, finish materials, windows and ornamentation   n. Require landscaping along any roadways identified in the Overall Transportation Plan  commensurate to that required for Scenic/Natural Gateways as identified in Unified  Development Section 4.13.  o. Require Signage consistent with UDC provisions.  p. Require innovative or non‐conventional subdivision design, such as conservation  subdivision design, housing diversity, vertical mixed use, and/or traditional  neighborhood development (TND).  Attachment number 2 \nPage 9 of 21 Item # A 10   RECOMMENDATION 6:  Require development in a MUD to exceed UDC parkland  requirements (not just meet UDC standards or be less than UDC standards), and address  parkland provisions in the Consent Agreement:    a. Require a park or series of parks open to the general public within the MUD in the size  and location approved by the Parks and Recreation Board.  b. Require installation and maintenance of park facilities improvements.   c. Require maintenance access to be provided.  a. Require connections to regional trail network and adjacent uses such as schools.   b. Require regional trail network to be a minimum of 10 feet in width.  c. Require usable trailheads with off‐street parking and ADA compliant trails.  d. Require financial contributions to regional park facilities such as Westside Park or Garey  Park (depending on the location of the MUD).   e. Prohibit roads through parkland in a manner that subtracts from net usable park land.  f. Require provision of security and maintenance program.  g. Require protection and perpetuation of unique features on a particular site that should  be maintained as open space whether for environmental, conservation or scenic views.    RECOMMENDATION 7:  Require applicants to address provision of public safety services,  and address public safety matters in the Consent Agreement:      a. Require MUD to provide facilities to enhance public services and optimize locations of  service delivery.    b. Require donation of land to City or ESD (as applicable) for new fire station or other  public safety facility as determined by the City.  c. If the City provides fire protection services to the MUD, require payment of Fire SIP fee  (or similar fee) to fund fire station construction and operations.  d. Require roadway design to enhance access and reduce response times to existing  developed properties located outside of the MUD.    e. If located outside of the City Limits, then the MUD consent agreement may, at the City’s  discretion, include an interlocal agreement (“ILA”) to contract with the City of  Georgetown for fire, police, and solid waste services on terms acceptable to the City.   RECOMMENDATION 8:  Require applicants to address transportation issues and include  transportation provisions in the Consent Agreement:    Attachment number 2 \nPage 10 of 21 Item # A 11 a. Require completion of a Traffic Impact Analysis (TIA) and construction and/or funding  of both on‐ and off‐site improvements identified in the TIA, including roadways  identified in the City’s Overall Transportation Plan (OTP).  b. Require dedication of right‐of‐way, inclusion of bike lanes, sidewalks, and aesthetically‐ pleasing streetscapes consistent with the OTP.  c. Require residential subdivisions to be designed with increased connectivity, reduced  cul‐de‐sacs, short block lengths, additional stub outs to neighbors except where  developed as a conservation subdivision pursuant to Chapter 11 of the UDC.  d. Require creative stormwater management and water quality solutions to be provided  such as low impact development (“LID”) to minimize any downstream impacts.  e. Require adequate street lighting for vehicle and pedestrian safety.  f. An ETJ MUD shall provide a maintenance program approved by the City’s  Transportation Department that is consistent with City standards and appropriate  consultation with the County Engineer.  RECOMMENDATION 9:  Require applicants to address utility issues, and include those  utility service provisions in the Consent Agreement:    a. Require all utility facilities that service the MUD to be consistent with the Utilities  Master Plan.    b. Require the MUD the City to be the water, sewer and electric service provider unless the  area is within another entity’s certificated service area, or the City chooses not to require  those services to be provided by the City.  c. Require the cost to relocate any existing utility infrastructure to be borne by the  developer and/or MUD, not the City.  d. Limit cost‐sharing on MUD off‐site improvements to only those circumstances where  the necessity for the improvement is so great that limited CIP funds are appropriate for  overall system wide improvements that benefit multiple properties (i.e., regional  improvements that the City can afford to participate in).   e. Address water and wastewater rates.  Generally, rates for in‐City MUD customers  should be the same as the rates for other in‐City customers, and the rates for ETJ MUDs  customers should be the same as for other out of City customers.   f. Require specific water conservation techniques that will be used to minimize demand  levels including xeriscaping, low impact development (“LID”), rainwater harvesting,  grey water reuse and other strategies in consultation with GUS.    g. Require all MUDs and their residents, whether in the City or in the ETJ, to comply with  City of Georgetown water conservation and drought contingency plan‐related  ordinances.  Attachment number 2 \nPage 11 of 21 Item # A 12 h. For all MUDS, require impact fees to be assessed at the time of final plat approval.  For  ETJ MUDS, require payment of impact fees at the time the final plat is approved. For in‐ City MUDS, require payment of impact fees no later than the time of building permit  issuance.  However, utility capacity reservation shall not occur until impact fees are  paid.   i. Address rates, treatment capacity, utility and other easements necessary for City  services, capacity for dwelling units, gallons per day usage for water and wastewater,  water, wastewater and electric infrastructure, permitting and design, and fiscal surety.    RECOMMENDATION 10:  Require applicants to specify the amount of debt they intend to  issue, the purpose of the debt, and the debt service schedule, and include those financial  provisions in the Consent Agreement:      a. Require a maximum bond issuance amount and schedule so that an opportune time for  annexation can be calculated.    b. For an in‐city MUD, limit debt issuance to “hard costs” associated with on and off‐site  water and wastewater and possibly, depending on the financial analysis, for roads. An  ETJ MUD may also issue debt for the hard costs of parks and trails facilities that will be  open to the general public.  Debt shall not be issued for “soft costs” such as design and  engineering work, landscaping, signage, maintenance nor private amenities.      c. To the extent possible, debt should be structured to retire nonresidential lands first so  they can be annexed, if an ETJ MUD.   Where multiple are MUDs are established for a  large project, nonresidential lands should be included in the first MUD created.    d. Require all City property and land to be exempted from all MUD taxes, assessments,  charge, fees and fines of any kind.    e. A table summarizing the overlapping tax rate of all existing taxing entities (city, county,  school district, MUD, ESD, etc) and the proposed MUD tax, demonstrating the total  anticipated tax rate over the life of the MUD.    RECOMMENDATION 11:  Address future municipal annexation of the MUD.    a. A date certain for annexation of the District shall be established in its creation  documents. Upon reaching that date certain, the City retains the right to extend the  annexation date or deny the annexation.  The date of annexation set with the District  creation shall be indicated in a disclosure statement to buyers of all properties within the  District.  Buyers shall be provided with the District’s pro‐forma in an easy‐to‐read,  understandable format that explains to the buyer that they are buying into an obligated  property and are made aware that the taxes and assessments are not imposed by the  City of Georgetown and were the choice of the developer.     b. Allow the City to set rates for water and/or sewer services for land that is in the MUD at  the time of annexation that are different from rates charged to other areas of the City  Attachment number 2 \nPage 12 of 21 Item # A 13 consistent with the provisions of Section 54.016(h) of the Water Code to compensate city  for assumption of MUD debt.    c. This section shall apply to a District created as an ETJ MUD that is annexed into the city  limits. At the City’s option, a “limited district” may be continued in existence after  annexation to maintain amenities or services beyond what the City typically provides  for neighborhoods similarly situated. In such cases an ETJ MUD shall enter into a SPA  stating conditions on which MUD will be converted to a limited district that will  continue to exist following full purpose annexation. Concurrently with the MUD’s  confirmation election, the MUD shall hold election on proposition to levy an O&M tax  per Section 49.107 of the Water Code to provide funds to operate the limited district  following full purpose annexation by the city; the MUD shall have no right to issue  bonds until proposition to levy an O&M tax is approved.      Section V  NEXT STEPS    After receiving direction from Council on the above recommendations, staff will determine    whether revisions to the UDC, Development Manual or both are required to implement the  approved recommendations and will bring those amendments forward to Planning and Zoning  Commission and City Council.  Staff will continue to update the sector‐based work program     Section VI  RECOMMENDATION    Staff recommends that City Council direct staff to bring forward for action at a future Council  meeting the following items:  1. Establish appropriate criteria for “unique factor” MUD requests and amend UDC  accordingly;  2. Enhance application submittal requirements and adjust the Development Manual  accordingly;  3. Update the MUD application fee; and  4. Establish a sector‐based work program that can be updated and shared with Council on  an ongoing basis.      Attachment number 2 \nPage 13 of 21 Item # A 14 Attachment 1 Section 13.10 Creation of Special Districts 13.10.010 Purpose and Intent To provide for the prudent use of political subdivisions that are created pursuant to Article III,  Section 52, and/or Article XVI, Section 59, of the Texas Constitution and that are authorized by  law to provide water, wastewater, drainage, and other services (“districts”), in order to allow  development within the City’s corporate boundaries and extraterritorial jurisdiction that is  generally consistent with the City’s Comprehensive Plan.   This section is intended to be equitably applied to the creation of, inclusion of land within, and  operation of all proposed districts, while allowing flexibility necessary to address unique factors  that may arise with respect to each proposed district.   Prior to considering whether to consent to or support the creation of a district, the City  will consider whether the City is able to provide water and/or wastewater service to the  area proposed to be included in the district and whether such area is within the City’s  projected ultimate city limit boundary.   The standards established in this section are intended to carry out the following purposes:   • Encourage quality development;   • Protect the water quality within all watersheds of the City;   • Protect the water quality of the City’s drinking water sources;   • Allow the City to enforce land use and development regulations consistent with the  City’s comprehensive plan;   • Provide for construction of infrastructure consistent with City standards and City  inspection of such infrastructure;   • Provide notice to residents of the district that the City may annex the district at some  future time;   • Facilitate cost‐effective construction of infrastructure to serve the area within the district,  including police and fire stations, that is consistent with City standards and plans, so  that the potential financial burden on the citizens of Georgetown will be reduced, in the  event of annexation of such land by the City;   • Provide for extension of water and wastewater lines that will serve future growth in the  City and its extraterritorial jurisdiction consistent with the City’s regional utility  planning.   • Establish guidelines for reasonable conditions to be placed on;   • Issuance of bonds by the district; and   • The City’s consent to creation of the district, including conditions consistent with the  City’s water and sewer bond ordinances regarding creation of districts that might  otherwise detrimentally compete with the City’s utility systems;   • Establish guidelines for other mutually beneficial agreements by the City and the  Attachment number 2 \nPage 14 of 21 Item # A 15 district;   • Provide a procedural framework for responding to an application seeking the City’s  consent to the creation of a district; and     13.10.020 Definitions A. Bond. Instrument, including a bond, note, certificate of participation or other instrument  evidencing a proportionate interest in payments due to be paid by an issuer or other  type of obligation that: (1) is issued or incurred by an issuer under the issuer’s  borrowing power; without regard to whether it is subject to annual appropriation; and  (2) is represented by an instrument issued in bearer or registered form or is not  represented by an instrument but the transfer of which is registered on books  maintained for that purpose by or on behalf of the issuer.   B. Certificate of convenience and necessity (CCN). A permit issued by the Texas  Commission on Environmental Quality (“TCEQ”) authorizing a specified utility to be  the retail water or sewer service provider in a specified area.  C. City Council. City Council of the City of Georgetown. D. Consent agreement. An agreement between the City and owners and developers of  land in a proposed district which, if agreed to, shall be attached to the consent  resolution adopted by the City Council.   E. Consent resolution. A resolution approved by the City Council setting forth terms of  its consent to creation of a district.   F. Consent to creation of a district. Authorization for the owners of land in a proposed  district to initiate proceedings to create a district as provided by law.   G. District. A municipal utility district (“MUD”), water control and improvement district  (“WCID”), flesh water supply district (“FWSD”), or similar political subdivision created  to provide water, sewer or drainage utility services, roads, or other services allowed by  law to a specified area, pursuant to Article III, Section 52, and/or Article XVI, Section 59,  of the Texas Constitution.   H. Extraterritorial jurisdiction (ETJ). Unincorporated area generally extending two miles  from the City limit, excluding other incorporated municipalities and their ETJ, in which  the City has the authority to annex property, as determined in accordance with Chapter  42 of the Local Government Code.   I. Strategic partnership agreement. An agreement between the City and a district  addressing the relationship between the City and the district, including limited purpose  annexation of commercial areas and other matters pursuant to Section 43.0751 of the  Local Government Code.   J. TCEQ.  The Texas Commission on Environmental Quality or its successor.  13.10.030 Prerequisites to Consent to Creation of a District A. Before the City Council consents to creation of a district, the following issues shall be  considered in accordance with this chapter:   Attachment number 2 \nPage 15 of 21 Item # A 16 1 If applicable, whether the area proposed for inclusion in the district meets criteria for  annexation set out in the City’s annexation policy and is within the City’s projected  ultimate city limit boundary; and   2 Whether the City will provide water and/or wastewater services to the land within  the proposed district at a reasonable cost and will commence construction of  facilities necessary to serve the land within 2 years and substantially complete such  construction within 4½ years after submittal of the petition pursuant to the City’s  policies on the extension of utility services.     B. If the determination on both issues 1 and 2 above is negative, then before consenting to  the creation of a district, the City Council shall consider further whether the creation of  the district is feasible, practicable, necessary for the provision of the proposed services  and would be a benefit to the land, and therefore warrants the City’s consent, consistent  with the other considerations in this policy.  C. If the determination on either of the two issues is affirmative, then the City Council shall  not consent to creation of the district unless the applicant demonstrates that unique  factors justify its creation. If appropriate under the circumstances, the City shall:  1. Commence negotiations with the owners of at least 50 percent of the land in the  proposed district and a majority of the qualified voters concerning the City’s  provision of water and wastewater services, upon receipt of a petition submitted by  such persons in accordance with Local Government Code, Section 42.042; or   2. Commence proceedings to annex the land in the proposed district.  13.10.040 Staff Analysis Upon receipt of an application seeking the City’s consent to creation of a district and after a  preliminary determination of the prerequisites in Section 13.10.030, City staff shall analyze  the proposed development and its potential impact on facilities and services.  The applicant  shall provide the following preliminary information relative to the land proposed to be  included in the district, if available:   A. Engineering report showing:   1 Preliminary water availability study, including copies of any proposed contracts;   2 Preliminary wastewater treatment availability, including copies of any proposed  contracts;   3 Preliminary drainage study; and   4 Preliminary road study for any roads proposed to be reimbursed by bonds.   B. Preliminary cost estimates for water, wastewater, drainage or road facilities or projects,  and any other proposed district facilities to be reimbursed or paid for by the issuance of  district bonds;   C. Master development plan showing general layout of proposed land uses; major streets  and roads; water, wastewater, and drainage facilities; and any other district facilities;   D. Information concerning provision of firefighting and law enforcement services;   Attachment number 2 \nPage 16 of 21 Item # A 17 E. Estimated buildout schedule by year with estimated assessed valuations in the district;   F. Estimated ultimate amount of bonds to be issued by the district, ultimate debt service  requirements, and projected district tax rate;   G. District boundary and vicinity map;   H. Traffic study identifying potential impacts on:   1 The City’s road system serving the land proposed to be included in the district, if all  or any portion of the land is located within the City or within two miles of the City’s  boundaries; and   2 The county’s road system, this traffic study is in addition to any traffic studies  required by the City’s subdivision regulations in connection with submittal of  subdivision plats;   3. If all or any portion of the proposed district is located outside the City’s boundaries,  proof that the applicant has provided the following information by certified mail to  the Williamson County Judge and each member of the Commissioners Court:  the  name, acreage, and location of the proposed district, buildout schedule, estimated  population on total buildout, and map of the area;   4. Such other information as City staff may reasonably require to analyze the need for  the proposed facilities and the development’s potential impact; and   5. Any proposed City consent agreements.  13.10.050 Conditions to City’s Consent to Creation of a District If the City Council elects to consent to the creation of or inclusion of land within a district,  then it shall impose the following requirements as conditions of the City’s consent, and  such requirements shall be stipulated in the consent resolution and/or other ancillary  agreement, unless the City Council determines that requirements are not appropriate with  regard to a specific district.   A. All water, wastewater, drainage, and road infrastructure and facilities as well as any  other infrastructure or facilities to be reimbursed or paid for by the issuance of district  bonds, shall be designed and constructed to City standards, including without limitation  fire flow standards and utility and road design, construction and installation standards,  in accordance with plans and specifications that have been approved by the City.  In the  event of a conflict between City water and wastewater standards and standards imposed  by the CCN holder for the proposed district, City standards shall prevail, unless  otherwise agreed by the City.   B. The City shall have the right to inspect all facilities being constructed by or on behalf of  the district and to charge inspection fees consistent with the City’s inspection fee  schedule, as amended from time to time.   C. Bonds, including refunding bonds issued by the district, shall, unless otherwise agreed  to by the City, comply with the following requirements, provided such requirements  do not generally render the bonds unmarketable:   Attachment number 2 \nPage 17 of 21 Item # A 18 1. Maximum maturity of 20 years for any one series of bonds;   2. Interest rate that does not exceed 2% above the highest average interest rate reported  by the Daily Bond Buyer in its weekly “20 Bond Index” during the one month period  preceding the date notice of the sale of such bonds is given;   3. The bonds shall expressly provide that the district shall reserve the right to redeem  bonds at any time subsequent to the tenth (10th) anniversary of the date of issuance,  without premium. No variable rate bonds shall be issued by a district without City  Council approval; and   4. Any refunding bonds of the district must provide for a minimum of 3% present  value savings and that the latest maturity of the refunding bonds may not extend  beyond the latest maturity of the refunded bonds unless approved by the City  Council.   D. The City shall require the following information with respect to bond issuance:   1. At least 30 days before issuance of bonds, except refunding bonds, the district’s  financial advisor shall certify in writing that the bonds are being issued within the  existing economic feasibility guidelines established by the TCEQ for districts  issuing bonds for water, sewer, or drainage facilities in the county in which the  district is located and shall deliver the certification to the City Secretary, and the  City.  2. At least 30 days before the issuance of bonds, the district shall deliver to the City  Secretary, and the City Manager notice as to:  a. The amount of bonds being proposed for issuance;  b. The projects to be funded by such bonds; and  c. The proposed debt service tax rate after issuance of the bonds.  d. If the district is not required to obtain TCEQ approval of the issuance of the  bonds (other than refunding bonds), the district shall deliver such notice to the  City Secretary, and the City Manager at least 60 days prior to issuing such bonds.  Within 30 days after the district closes the sale of a series of bonds, the district  shall deliver to the City Secretary, and the City Manager a copy of the fi nal  official statement for such series of bonds. If the City requests additional  information regarding such issuance of bonds, the district shall promptly  provide such information at no cost to City. E. The purposes for which a district may issue bonds shall be restricted to the purchase,  construction, acquisition, repair, extension and improvement of land, easements, works,  improvements, facilities, plants, equipment, and appliances necessary to:   1. Provide a water supply for the district for municipal uses, domestic uses, and  commercial purposes;   2. Collect, transport, process, dispose of and control all domestic, industrial or  communal wastes from the district whether in fluid, solid, or composite state;   3. Gather, conduct, divert, and control local storm water or other local harmful excesses  of water in the district; and   Attachment number 2 \nPage 18 of 21 Item # A 19 4. Pay organization and administrative expenses, operation expenses during  construction, cost of issuance, interest during construction, and capitalized interest.   5. If appropriate in a particular district, the City may consent to issuance of bonds for  purchase, construction, acquisition, repair, extension, or improvement of fi re  stations, roads, and/or other capital improvements that are mutually agreed upon by  the City Council and the applicant.   F. The district shall contain sufficient acreage to assure the economic viability of the district  but no more acreage than can feasibly be annexed at one time. In general, a district is not  expected to include less than 200 acres or more than 500 acres.   G. Development within the district shall be consistent with the City’s Comprehensive Plan.   H. No district shall include land in more than one city’s Extraterritorial Jurisdiction.   I. The City and the owners of all land in the proposed district shall reach agreement on the  terms of a development agreement pursuant to Local Government Code, Section  212.171, et seq. to extend the City’s planning authority over land included in the district  by providing for approval of a development plan, authorizing enforcement by the City  of land use and development regulations, and including other lawful terms and  considerations the parties consider appropriate. The development agreement shall  include provisions relating to the following matters:   1. Land use plan reflecting all approved land uses and residential densities;   2. Compliance with City construction Codes, including permit requirements;   3. Compliance with City and other applicable stormwater and water quality  regulations;   4. Development standards comparable to City zoning regulations; and   5. Dedication and development of park land, open space, and trails.   The above list is not intended to be exhaustive.  It is expected that the parties will  cooperate to identify those matters unique to the district that may be addressed in a  development agreement.   J. At least 30 days before issuance of bonds, the district shall certify in writing that the  district is in full compliance with the consent resolution approved by the City Council  and, to the extent such agreements impose requirements on the district, with the consent  agreement, strategic partnership agreement and all other agreements executed by the  City and the district, and shall deliver the certification to the City Secretary, and the City  Manager.   K. No land within the district shall be allowed, at any time in the future, to  incorporate, join in an incorporation, or be annexed into any incorporated city other  than the City of Georgetown.   L. No land shall be annexed by the district without prior City Council approval.   M. The district shall not construct or install infrastructure or facilities to serve areas outside  the district or sell or deliver services to areas outside the district without prior City  Council approval.   Attachment number 2 \nPage 19 of 21 Item # A 20 N. After creation of the district, and unless otherwise expressly authorized by the consent  agreement or development agreement, no district shall be converted into another type of  district, consolidated with another district, divided into two or more new districts or  seek additional governmental powers that were beyond its statutory authority at the  time the district was created, without prior City Council approval.   O. If allowed by law, the City may annex any commercial development within the district  for limited purposes pursuant to Local Government Code, Section 43.0751, and may  impose a sales and use tax within the area annexed for limited purposes. If limited  purpose annexation is not allowed by law, then the City may not consent to inclusion  of commercial retail areas within the district. The City may consider sharing tax  receipts with the district, provided the district’s share is used to finance infrastructure,  retire bond debt or for other purposes acceptable to the City.   P. The district shall not issue any bonds other than those authorized by the consent  agreement without City Council approval.   Q. The district shall file a notice in the real property records of all counties in which the  district is located stating that the City has authority to annex the district. The parties  may attach a form of such notice to the consent agreement or development  agreement.   R. The district shall send a copy of the order or other action setting an ad valorem tax rate  to the City Secretary, and the City Manager within 30 days after district adoption of the  rate.   S. The district shall, send a copy of its annual audit to the City Secretary, and the City  Manager within 30 days after approval.  T.  The City shall encourage the district to maintain a debt service structure that will ensure  that the district’s taxes are maintained at a rate at least equal to the City’s tax rate, to the  extent feasible.  U.  The district shall provide copies of any material event notices filed under applicable  federal securities laws or regulations to the City Secretary, and the City Manager within  30 days after filing such notices with the applicable federal agency.   V. Construction of capital improvements such as fire stations and recreational amenities  shall be encouraged.  W. Sharing of fire stations, recreational amenities, and other capital improvements by the  City and the district shall be encouraged..   X. If construction or expansion of a wastewater treatment facility is proposed to serve the  district, the plant design shall conform to all applicable state and federal permitt ing and  design standards. In addition, any wastewater discharge shall be permitted to meet  effluent limitations no less stringent than 5‐5‐2‐1 (5 parts per million {“ppm”}  biochemical oxygen demand; 5 ppm total suspended solids; 2 ppm nitrogen; and 1 ppm  phosphorus) or the current limits in permit(s) held by the City, whichever is strictest.   The City reserves the right to protest any wastewater treatment facility permit  application or amendment.   Y. The board of directors of the district and landowners within the district shall assist the  City in annexing one or more areas as reasonably necessary for the City to connect areas  Attachment number 2 \nPage 20 of 21 Item # A 21 to the City that are outside the district and that the City intends to annex in the  foreseeable future.   Z. The City shall require the district to complete a traffic impact analysis pursuant to  Section 12.05 of this Code.   AA. The City may agree not to annex and dissolve the district any earlier than the fi  rst to occur of:  (i) extension of water, sanitary sewer, and drainage facilities to serve  90% of the land within the district; or (ii) 15 years after creation of the district.  The  contract between the City and the district may provide that the City may set rates for  water and/or sewer services for property that was within the district that vary from  those for other properties within the City in order to compensate the City for  assumption of district obligations upon annexation, in compliance with any statutory  requirements applicable to such an agreement.   BB.    The consent agreement and ancillary documents shall include terms  providing for the district to be fully developed and ready for full purpose  annexation by the City within a reasonable time period.   CC. The applicant shall reimburse the City for expenses incurred by the City in  connection with the City’s consent to formation of the district, including but not limited  to professional fees incurred in connection with negotiation and preparation of the  consent resolution, consent agreement, development agreement, strategic partnership  agreement, and related documents.   13.10.060 City Operations Compensation Fee A fee shall be assessed for each residential unit within the district equal to the proportion of  City operations attributed to serving residents of the district. The fee shall be calculated as  follows:   B = Total General Fund budget for the fiscal year in which the consent application is filed.    P = The estimated population of the City at the time the consent application is filed.    H = The estimated average household size within the City at the time the consent application is  filed.  D = The percentage of City services used by district residents.  This percentage shall be adopted  by the City annually as a part of the City’s budget adoption process.    Y = Number of years of duration of the district.  R = Discount rate.  This rate shall be adopted by the City annually as a part of the city’s budget  adoption process.  PV = Present Value. City Operations Compensation Fee = PV(R,Y,‐((B /(P /H)) * D))   Example: B = $24,000,000  P = 41,000  H = 2.8  D = 15%   Y = 20     R = 6%   Fee = $2,819.92  Attachment number 2 \nPage 21 of 21 Item # A MEMORANDUM   Date:  July 22, 2014, with revision for August 12, 2014    To:    Mayor and City Council    Through:  Paul E. Brandenburg, City Manager    From:  Micki Rundell, Chief Financial Officer and Andrew Spurgin, Planning Director    Subject: Municipal Utility District (MUD) Issues      The purposes of this memo and workshop are as follows:       First, to provide background on the City’s area of jurisdiction, growth predictions and  City Council’s role in shaping this direction through extraterritorial jurisdiction (ETJ)  management.     Second, to provide a general overview of the City’s existing MUD creation policy (which  was originally adopted in 2006 and is codified in Chapter 13.10 of the Unified  Development Code (UDC)), describe existing MUDs in the City’s jurisdiction, and  briefly describe the issues that are the focus of this workshop.       Third, to describe currently pending and expected MUD applications that have been or  are anticipated to be filed with the City to provide context for discussion of the issues  addressed in this memo.     Finally, to propose adoption of specific recommendations that would be codified either  in amendments to Chapter 13.10 of the UDC or the Development Manual (as  appropriate).    Section I  BACKGROUND    The City of Georgetown currently has approximately 52 square miles of City Limits and 130  square miles of ETJ, cumulatively 182 square miles. The ETJ, by operation of law, is the area  intended for urbanization and ultimately annexation by the City and therefore must be planned  in a manner to allow for the future extension of city services in an efficient manner, for example  with water lines that will allow safe fire flows.  The Georgetown 2030 Comprehensive Plan was  Attachment number 3 \nPage 1 of 21 Item # A prepared to as a guidance tool as the City heads toward a forecasted population of 101,000  inside City Limits in anticipation of future annexations.      A September 24, 2013 City Council workshop included a population allocation exercise to  account for roughly 21,000 new residential units assuming existing development trends  yielding 5 single family dwelling units per acre and 24 multi‐family units per acre continue at  the existing 80:20 ratio, meaning roughly 3,520 acres of addition territory is necessary to annex  to the city limits.  The Council was split into 2 workgroups to map out potential locations for  the new development, which in turn led to discussion among Council on the need for an  appropriate update to City annexation and MUD policies.      Alternatives to the need to house 50,000 additional population without annexation of 3,520  acres would be to allow more dense residential development, such as multifamily and/or allow  more “infill” development on vacant tracts abutting existing neighborhoods.  Staff believes that  the strategies of increased density and infill alone are not viable alternatives to housing 50,000  additional residents when considered in the context of recent policy discussions with City  Council on the location and scale of multifamily and when considered with community  sentiments over recent proposals to establish “infill” development on tracts abutting existing  neighborhoods.  The Planning Department will bring forward an updated Annexation Plan to  allow additional City Council consideration on the location and timing of future annexations  programs, at that time a formal updated MUD policy will be brought forward to better consider  disposition of the 130 square mile ETJ.       Section II  EXISTING UDC CHAPTER 13.10 AND EXISTING MUDS    A. CHAPTER 13.10 – Chapter 13.10 of the UDC, adopted in 2006, is entitled “Creation of  Special Districts” and has the following six sections:    Section 13.10.010 – Purpose and Intent  Section 13.10.020 – Definitions  Section 13.10.030 – Prerequisites to Consent to Creation of a District  Section 13.10.040 – Staff Analysis  Section 13.10.050 – Conditions to the City’s’ Consent to Creation of a District  Section 13.10.060 – City Operations Compensation Fee    A copy of Chapter 13.10 is attached to this memo as Attachment 1.  The particular sections that  are the subject of this workshop are Sections 13.10.030, .040, and .050.     B. SECTION 13.10.030 “PREREQUISITES” – Section 13.10.030 of the UDC sets forth two  threshold issues for the City Council to evaluate prior to the creation of a MUD:      (1) whether the area proposed to be included in a MUD is in an area that the City  intends to annex (i.e., whether the area is within the City’s “”ultimate city limits  boundary” [shown with red line in map below]); and   Attachment number 3 \nPage 2 of 21 Item # A   (2) whether the City intends to provide water and wastewater services to the area  within 4 ½ years.      If the answer to both questions (1) and (2) is “no,” then the City Council may consider a  MUD creation petition for the area and can allow MUD formation where otherwise feasible,  practicable, necessary and a benefit to the land.  If the answer to either question (1) or (2) is  “yes,” then the City Council is not to consent to creation of a MUD “unless the applicant  demonstrates unique factors that justify its creation.”  If such “unique factors” are present,  then the City Council can either enter into a Consent Agreement with the applicant setting forth  the terms and conditions upon which the MUD can be created, or annex the area into the City  limits and provide services consistent with other areas of the City similarly situated.      Application of the two threshold criteria specified in Section 13.10.030 was intended at  the time of its adoption to discourage creation of MUDs unless the area proposed to be included  in the MUD is outside of or on the fringes of the City’s “ultimate annexation area,” and/or there  are “unique factors that justify its creation.”  Nonetheless, since the adoption of Section  13.10.030, the City received several MUD creation petitions and has granted all of them.     The table below identifies the MUDs whose creation the City has consented to (or not  objected to, if created by the State Legislature) and briefly describes the Section 13.10.030 factors  as applied to those MUDS:        Attachment number 3 \nPage 3 of 21 Item # A MUD Name Answer to  Question 1  Answer to  Question 2  Unique factors that justify [MUD] creation  3 B & J MUD No  No (n/a – Removed from Georgetown ETJ and  jurisdiction in 2007 and legislatively created in  2007.)  MUD 15  (Tera Vista)  No  ‐ prior  to adoption  of Ultimate  City Limit  Boundary  No Allowed for completion of Round Rock’s Terra  Vista subdivision; completion of off‐site utility  infrastructure including 18” water line on  Westinghouse Road, two lift stations and force  main to Master Plan size. Provided fire station site  and school site.  MUD 23  (Oaks at San  Gabriel)  No No Conservation subdivision standards; hike and  bike trails; public park improvements; pedestrian  bridges spanning the Middle San Gabriel;  enhanced landscaping, fencing, and roadway  standards; sewer main along western property  boundary constructed at no cost to the City;  expansion of the Cimarron Hills Wastewater  Treatment Plant to 450,000 gpd and provision of  land for new water quality pond.   MUD 25  (Water Oak)  Yes Yes Facilitated construction and financed 85% of  regional wastewater line west of IH‐35 and  extension to the west; facilitated construction of a  planned roadway and bridge connecting SH 29 to  Leander Road; designed with conservation  subdivision principles including 30% overall open  space and planned City parkland for South Fork  trail; civic uses include sites for 2 Fire Stations and  a school site;  agreed to build master plan water  line connecting SH 29 and Leander.  MUD 26  (Cimarron  Hills)  Yes No Created to replace existing but inadequate PID.   Facilitated construction of non‐discharge  wastewater treatment plant to serve Cimarron  Hills and adjacent Oaks at San Gabriel.    However, as is discussed more below, questions have arisen as to whether these are the proper  threshold questions to MUD creation and if so, what “unique factors” might City Council  consider important enough to justify MUD creation even when the threshold analysis would  indicate otherwise.    C. SECTION 13.10.040 “STAFF ANALYSIS” – Section 13.10.040 requires the staff to conduct a  detailed utility, land use, traffic, and financial analysis of a MUD, but several of the current  applicants do not provide this information at all or do not provide it early enough in the process  to enable staff to conduct any meaningful review or to convey any detailed information to the  City Council about the proposed MUD.  Some MUD applicants have even argued that they  cannot provide the submittal documents required by the UDC because they have no  development plan and are merely seeking the MUD as an entitlement and speculative tool.    Attachment number 3 \nPage 4 of 21 Item # A D. SECTION 13.10.050 “CONDITIONS” – Section 13.10.050 describes the terms and conditions  that are to be included in a MUD consent agreement.  This section is quite detailed on financial  matters, but is much less detailed on other issues.      Section III  EXISTING AND ANTICIPATED MUD APPLICATIONS     There has been a significant uptick in the number of applicants who have submitted or  expressed interest in submitting MUD creation petitions seeking the City’s consent to creation  of a MUD.  Since the September 24, 2013 City Council workshop, staff has been approached by  developers of at least 15 different projects seeking to establish a MUD or expand existing MUDs  on to additional territory. These proposals have ranged in size from as small as 100 acres with  300 dwelling units to as large as 1,700 acres with 4,000 dwelling units and have differing  degrees of complexity related to infrastructure, desired amenities, and financial structure.     Based on feedback from discussion with City Council, staff will proceed with a work  program using a sector approach to allow balanced growth with no one direction of the City  receiving the bulk of resources. Three sectors are proposed: Southwest – which is west of  Interstate 35 and to the south of the North Fork of the San Gabriel River and Lake Georgetown;  Northwest – which is west of Interstate 35 and to the north of the North Fork and Lake  Georgetown; and East which is east of Interstate 35.        The tables below summarize the existing and anticipated MUD applications, and the  map below show the location of the various sectors:     Attachment number 3 \nPage 5 of 21 Item # A Location  Existing MUD Applications Anticipated MUD Applications  Southwest  Sector  Wolf Ranch (Hillwood)  Crescent Bluff & Chapman  3 new MUDs  Major amendments to 1 existing MUD   Expansion to 1 existing MUD  Northwest  Sector  Parmer Ranch 2 new MUDs  Eastern  Sector  Woodhull 2 new MUDs  Expansion to 1 existing MUD     Preliminary analysis of some of these applications indicates that, under the existing  MUD policy, MUD creation would not be approved in the absence of “unique factors that  justify [MUD] creation.”  However, some of the applications for new MUDs are not clear on just  what “unique factors” might “justify [MUD] creation” under Section 13.10.030.  Also, some  applicants have not provided information necessary for the staff to perform the analysis  required by section 13.10.040 to facilitate City review of the proposal, and some applicants have  resisted acceptance of the standard financing conditions in Section 13.10.050 that City Council  has expressed an interest in both seeing and understanding.  Nonetheless, based on comments  made at the prior workshops on this topic and the continuing discussions between staff and  City Council on MUD‐related items, staff has not rejected or stopped processing any of the  MUD applications because staff has sensed that the current City Council it receptive to MUD  creation provided unique circumstances exist.  If that is the case, applicants and the staff need  additional guidance and clarification so that the current and anticipated applications can be  processed in a fair and consistent manner.      Therefore, in light of the large number of MUD creation petitions that have been or are  anticipated to be filed seeking the City Council’s consent to creation of a MUD, this workshop  provides an opportunity for the City Council to revisit its existing MUD policy as codified in  Section 13.10 and determine whether it still accurately reflects the City’s MUD policy, and to  review the application administration procedures to determine whether it provides an adequate  framework for analyzing the petitions and the merits of each proposed district.      Section IV  RECOMMENDATIONS    Following up on the current context outlined above, and in light of the number of applications  currently pending, staff requests guidance on certain specific topics and suggests that the  existing policy be amended along the lines generally described below:    RECOMMENDATION 1:  Retain the two threshold questions under Section 13.10.030.  o MUDs are an appropriate tool to allow urban level density neighborhoods in locations  supported by the 2030 Comprehensive Plan but that are outside of the ultimate city  boundary where the City may annex in the future and where the City cannot provide  water and wastewater service within 4 ½ years.      Attachment number 3 \nPage 6 of 21 Item # A RECOMMENDATION 2:  If the UDC criteria that limits eligible location for MUDs is not a  desireabledesirable policy, provide examples of “unique factors justifying [MUD] creation”  to guide determinations made under Section 13.10.030.  o Consistent with past Council actions, require the construction of specific regional  infrastructure improvements consistent with the City’s comprehensive plan and master  plans and that are beneficial to the City.  Examples include:   The construction of the South San Gabriel Interceptor as part of the Water Oaks  agreements opened up the land in Georgetown’s southwest quadrant for  development well ahead of the time that the City could have done so in the absence  of those agreements.     Cimarron Hills Wastewater Treatment Plant, built as PID and MUD allowed  expansion as part of the Oaks at San Gabriel agreements.    The contemplated bridge and parkway connection of Water Oak linking Hwy 29 and  Leander Road, as there is currently no north‐south connection between Ronald  Reagan Blvd and Interstate 35.   Conservation subdivision design that clusters development in low impact areas and  maintains existing topography, scenic views, natural drainage flows and wildlife  habitat.   Regional trail connections, off‐site, to link gaps in the City and County trail system.    RECOMMENDATION 3:  Require applicants to submit information with the MUD creation  petition that would allow the staff to perform the level City Council has directed during  consideration of several recent MUD petitions.  o In addition to the items already listed in Section 13.10.040 and the information required  to determine compliance with Section 13.10.050, in order to assist boards, commissions  and the City Council with understanding the financing related aspects, require  applications to submit the following:  o a A detailed project pro‐forma with assumptions of different tax rates and  homes at various price points,   o as wellA a marketing study completed within the previous six months of  the date the petition indicating project feasibility based on regional  market absorption rates that indicates projections in residential units per  year for specific years of the development. The marketing study should  include all proposed uses within the MUD.   o A clear and understandable presentation comparing of MUD financed  development toversus non‐MUD financed development should also be  included in these submittals including projections of municipal property  tax generation.    o A copy of the petitioner’s financial statement and a detailed description  of the petitioner’s experience with MUDs. If petititioner and developer  are the not the same, provide documentation explaining the relationship  between the petitioner and developer.  o Documentation that all lien holders consent to the formation of the  proposed MUD.  o To streamline processing of MUD petitions, allow staff to defer comprehensive review  and consideration of applications until a complete application and all supporting  materials are submitted.   Attachment number 3 \nPage 7 of 21 Item # A o Increase the application fee to a sum to allow for adequate cost recovery and that is  commensurate with staffing and workload impacts necessary for evaluating MUD  petitions and negotiating and drafting MUD Consent Agreements and any related  agreements.    RECOMMENDATION 4:  Require MUD Petitions to be reviewed by a cross‐departmental  “MUD Petition Review Team” comprised, at a minimum, of members of the planning  department, utility department, finance department, parks department, public safety  departments, and legal department.  MUD creation will impact many City departments so  they should have an opportunity to weigh in during the process.  o A standing committee structure would allow for consistency in review and oversight  over regional impacts beyond the boundaries of a particular MUD.    RECOMMENDATION 5:  Require development in a MUD to exceed UDC land use and  development standards (not just meet UDC standards or be less than minimum UDC  standards), and address the land use provisions in the Consent Agreement or related  agreement:      a. Prohibit all age‐restricted development; provided, however, that one section or phase of  a development may be considered for age‐restricted development if it does not exceed  10% of the net developable land area and 10% of the total housing units within the  MUD.  b. Prohibit certain other land uses such as Correctional Facility; Personal Services  Restricted as defined the Unified Development Code, Chapter 16, of Title 7 of the  Georgetown City Code of Ordinances, and others as determined by City Council.  c. Require at least 20% of overall net developable land area to be used for commercial,  office, industrial or related employment (nonresidential) uses, unless located in Low  Density Residential in the City’s Future Land Use Plan in which case a neighborhood‐ serving commercial site shall be included.   d. Require at least 30% of the proposed land use area to be used for commercial/retail uses  and to be developed within the first 5 years of the first building permit within the MUD.   i. All efforts should be made to exclude this commercial/retail land area from the MUD  in favor of full‐purpose annexation, or a Strategic Partnership Agreement (SPA)  should be required allowing the City to collect sales taxes from the area.  ii. The Strategic Partnership Agreement should provide that the City is entitled to  receive up to 100% of the sales taxes collected, and that none of those taxes should be  shared with the MUD unless special circumstances exist.  iii. City should retain site plan review to current City standards for uses other than one‐  and two‐family residential uses.  e. Require workforce housing to be provided through a homebuyers club that includes  programs such as down payment assistance, preferred sales pricing, subsidized  insurance premiums, ongoing financial counseling and homeowner maintenance  Attachment number 3 \nPage 8 of 21 Item # A training. The homebuyers club shall be open to all current City of Georgetown,  Williamson County or Georgetown Independent School District employees.  f. Require public school location(s) to be provided, if desired by the applicable School  District. Location(s) of school sites should be in a central, walkable location to minimize  travel along or across a collector or arterial roadway identified in the Overall  Transportation Plan (OTP).  g. Require a land use plan to be attached to the Consent Agreement, and require major  amendments to a MUD land use plan shall require review by the Planning & Zoning  Commission and City Council.   h. Require gross impervious cover to be kept below the maximums allowed by the UDC.   i. Require tree preservation to exceed minimum UDC standards.  Where a site contains  little existing tree coverage, require at least two trees of 3” caliper or greater on every  single family lot and provide park and open space areas to increase gross tree canopy  coverage to 40% coverage upon tree maturity.  j. Require compliance with all water quality and water conservation/drought restriction  ordinances with no adverse impacts to the watershed including a preliminary plan  indicating existing facilities, proposed facilities and any improvements planned in the  occupied site, spring and stream protection zones established by the December 20, 2013  water quality ordinance.  k. Require protection and conservation of features unique to site such as clusters of trees,  archaeological sites, springs, the natural floodplain, recharge and karst features and  historic farm and ranch complexes.   l. Require higher standards for architectural design. For example, homes with front  porches at minimum 8 foot depth, 3‐sides stone, stone veneer or brick masonry,  variation in floor plans, and embellished architectural treatment and masonry façades  on homes facing street intersection corners or major streets.    m. Require submittal and City Council approval of a pattern book with a visual  representation of the architectural styles of buildings including cornice lines, roof  profiles, finish materials, windows and ornamentation   n. Require landscaping along any roadways identified in the Overall Transportation Plan  commensurate to that required for Scenic/Natural Gateways as identified in Unified  Development Section 4.13.  o. Require Signage consistent with UDC provisions.  p. Require innovative or non‐conventional subdivision design, such as conservation  subdivision design, housing diversity, vertical mixed use, and/or traditional  neighborhood development (TND).    RECOMMENDATION 6:  Require development in a MUD to exceed UDC parkland  requirements (not just meet UDC standards or be less than UDC standards), and address  parkland provisions in the Consent Agreement:    Attachment number 3 \nPage 9 of 21 Item # A a. Require a park or series of parks open to the general public within the MUD in the size  and location approved by the Parks and Recreation Board.  b. Require installation and maintenance of park facilities improvements.   c. Require maintenance access to be provided.  a. Require connections to regional trail network and adjacent uses such as schools.   b. Require regional trail network to be a minimum of 10 feet in width.  c. Require usable trailheads with off‐street parking and ADA compliant trails.  d. Require financial contributions to regional park facilities such as Westside Park or Garey  Park (depending on the location of the MUD).   e. Prohibit roads through parkland in a manner that subtracts from net usable park land.  f. Require provision of security and maintenance program.  g. Require protection and perpetuation of unique features on a particular site that should  be maintained as open space whether for environmental, conservation or scenic views.    RECOMMENDATION 7:  Require applicants to address provision of public safety services,  and address public safety matters in the Consent Agreement:      a. Require MUD to provide facilities to enhance public services and optimize locations of  service delivery.    b. Require donation of land to City or ESD (as applicable) for new fire station or other  public safety facility as determined by the City.  c. If the City provides fire protection services to the MUD, require payment of Fire SIP fee  (or similar fee) to fund fire station construction and operations.  d. Require roadway design to enhance access and reduce response times to existing  developed properties located outside of the MUD.    e. If located outside of the City Limits, then the MUD consent agreement may, at the City’s  discretion, include an interlocal agreement (“ILA”) to contract with the City of  Georgetown for fire, police, and solid waste services on terms acceptable to the City.   RECOMMENDATION 8:  Require applicants to address transportation issues and include  transportation provisions in the Consent Agreement:    a. Require completion of a Traffic Impact Analysis (TIA) and construction and/or funding  of both on‐ and off‐site improvements identified in the TIA, including roadways  identified in the City’s Overall Transportation Plan (OTP).  b. Require dedication of right‐of‐way, inclusion of bike lanes, sidewalks, and aesthetically‐ pleasing streetscapes consistent with the OTP.  Attachment number 3 \nPage 10 of 21 Item # A c. Require residential subdivisions to be designed with increased connectivity, reduced  cul‐de‐sacs, short block lengths, additional stub outs to neighbors except where  developed as a conservation subdivision pursuant to Chapter 11 of the UDC.  d. Require creative stormwater management and water quality solutions to be provided  such as low impact development (“LID”) to minimize any downstream impacts.  e. Require adequate street lighting for vehicle and pedestrian safety.  f. An ETJ MUD shall provide a maintenance program approved by the City’s  Transportation Department that is consistent with City standards and appropriate  consultation with the County Engineer.  RECOMMENDATION 9:  Require applicants to address utility issues, and include those  utility service provisions in the Consent Agreement:    a. Require all utility facilities that service the MUD to be consistent with the Utilities  Master Plan.    b. Require the MUD the City to be the water, sewer and electric service provider unless the  area is within another entity’s certificated service area, or the City chooses not to require  those services to be provided by the City.  c. Require the cost to relocate any existing utility infrastructure to be borne by the  developer and/or MUD, not the City.  d. Limit cost‐sharing on MUD off‐site improvements to only those circumstances where  the necessity for the improvement is so great that limited CIP funds are appropriate for  overall system wide improvements that benefit multiple properties (i.e., regional  improvements that the City can afford to participate in).   e. Address water and wastewater rates.  Generally, rates for in‐City MUD customers  should be the same as the rates for other in‐City customers, and the rates for ETJ MUDs  customers should be the same as for other out of City customers.   f. Require specific water conservation techniques that will be used to minimize demand  levels including xeriscaping, low impact development (“LID”), rainwater harvesting,  grey water reuse and other strategies in consultation with GUS.    g. Require all MUDs and their residents, whether in the City or in the ETJ, to comply with  City of Georgetown water conservation and drought contingency plan‐related  ordinances.  h. For all MUDS, require impact fees to be assessed at the time of final plat approval.  For  ETJ MUDS, require payment of impact fees at the time the final plat is approved. For in‐ City MUDS, require payment of impact fees no later than the time of building permit  issuance.  However, utility capacity reservation shall not occur until impact fees are  paid.   Attachment number 3 \nPage 11 of 21 Item # A i. Address rates, treatment capacity, utility and other easements necessary for City  services, capacity for dwelling units, gallons per day usage for water and wastewater,  water, wastewater and electric infrastructure, permitting and design, and fiscal surety.    RECOMMENDATION 10:  Require applicants to specify the amount of debt they intend to  issue, the purpose of the debt, and the debt service schedule, and include those financial  provisions in the Consent Agreement:      a. Require a maximum bond issuance amount and schedule so that an opportune time for  annexation can be calculated.    b. For an in‐city MUD, limit debt issuance to “hard costs” associated with on and off‐site  water and wastewater and possibly, depending on the financial analysis, for roads. An  ETJ MUD may also issue debt for the hard costs of parks and trails facilities that will be  open to the general public.  Debt shall not be issued for “soft costs” such as design and  engineering work, landscaping, signage, maintenance nor private amenities.      c. To the extent possible, debt should be structured to retire nonresidential lands first so  they can be annexed, if an ETJ MUD.   Where multiple are MUDs are established for a  large project, nonresidential lands should be included in the first MUD created.    d. Require all City property and land to be exempted from all MUD taxes, assessments,  charge, fees and fines of any kind.    d.e. A table summarizing the overlapping tax rate of all existing taxing entities (city, county,  school district, MUD, ESD, etc) and the proposed MUD tax, demonstrating the total  anticipated tax rate over the life of the MUD.    RECOMMENDATION 11:  Address future municipal annexation of the MUD.    a. A date certain for annexation of the District shall be established in its creation  documents. Upon reaching that date certain, the City retains the right to extend the  annexation date or deny the annexation.  The date of annexation set with the District  creation shall be indicated in a disclosure statement to buyers of all properties within the  District.  Buyers shall be provided with the District’s pro‐forma in an easy‐to‐read,  understandable format that explains to the buyer that they are buying into an obligated  property and are made aware that the taxes and assessments are not imposed by the  City of Georgetown and were the choice of the developer.     b. Allow the City to set rates for water and/or sewer services for land that is in the MUD at  the time of annexation that are different from rates charged to other areas of the City  consistent with the provisions of Section 54.016(h) of the Water Code to compensate city  for assumption of MUD debt.    c. This section shall apply to a District created as an ETJ MUD that is annexed into the city  limits. At the City’s option, a “limited district” may be continued in existence after  annexation to maintain amenities or services beyond what the City typically provides  for neighborhoods similarly situated. In such cases an ETJ MUD shall enter into a SPA  Attachment number 3 \nPage 12 of 21 Item # A stating conditions on which MUD will be converted to a limited district that will  continue to exist following full purpose annexation. Concurrently with the MUD’s  confirmation election, the MUD shall hold election on proposition to levy an O&M tax  per Section 49.107 of the Water Code to provide funds to operate the limited district  following full purpose annexation by the city; the MUD shall have no right to issue  bonds until proposition to levy an O&M tax is approved.      Section V  NEXT STEPS    After receiving direction from Council on the above recommendations, staff will determine    whether revisions to the UDC, Development Manual or both are required to implement the  approved recommendations and will bring those amendments forward to Planning and Zoning  Commission and City Council.  Staff will continue to update the sector‐based work program     Section VI  RECOMMENDATION    Staff recommends that City Council direct staff to bring forward for action at a future Council  meeting the following items:  1. Establish appropriate criteria for “unique factor” MUD requests and amend UDC  accordingly;  2. Enhance application submittal requirements and adjust the Development Manual  accordingly;  3. Update the MUD application fee; and  4. Establish a sector‐based work program that can be updated and shared with Council on  an ongoing basis.      Attachment number 3 \nPage 13 of 21 Item # A Attachment 1 Section 13.10 Creation of Special Districts 13.10.010 Purpose and Intent To provide for the prudent use of political subdivisions that are created pursuant to Article III,  Section 52, and/or Article XVI, Section 59, of the Texas Constitution and that are authorized by  law to provide water, wastewater, drainage, and other services (“districts”), in order to allow  development within the City’s corporate boundaries and extraterritorial jurisdiction that is  generally consistent with the City’s Comprehensive Plan.   This section is intended to be equitably applied to the creation of, inclusion of land within, and  operation of all proposed districts, while allowing flexibility necessary to address unique factors  that may arise with respect to each proposed district.   Prior to considering whether to consent to or support the creation of a district, the City  will consider whether the City is able to provide water and/or wastewater service to the  area proposed to be included in the district and whether such area is within the City’s  projected ultimate city limit boundary.   The standards established in this section are intended to carry out the following purposes:   • Encourage quality development;   • Protect the water quality within all watersheds of the City;   • Protect the water quality of the City’s drinking water sources;   • Allow the City to enforce land use and development regulations consistent with the  City’s comprehensive plan;   • Provide for construction of infrastructure consistent with City standards and City  inspection of such infrastructure;   • Provide notice to residents of the district that the City may annex the district at some  future time;   • Facilitate cost‐effective construction of infrastructure to serve the area within the district,  including police and fire stations, that is consistent with City standards and plans, so  that the potential financial burden on the citizens of Georgetown will be reduced, in the  event of annexation of such land by the City;   • Provide for extension of water and wastewater lines that will serve future growth in the  City and its extraterritorial jurisdiction consistent with the City’s regional utility  planning.   • Establish guidelines for reasonable conditions to be placed on;   • Issuance of bonds by the district; and   • The City’s consent to creation of the district, including conditions consistent with the  City’s water and sewer bond ordinances regarding creation of districts that might  otherwise detrimentally compete with the City’s utility systems;   • Establish guidelines for other mutually beneficial agreements by the City and the  Attachment number 3 \nPage 14 of 21 Item # A district;   • Provide a procedural framework for responding to an application seeking the City’s  consent to the creation of a district; and     13.10.020 Definitions A. Bond. Instrument, including a bond, note, certificate of participation or other instrument  evidencing a proportionate interest in payments due to be paid by an issuer or other  type of obligation that: (1) is issued or incurred by an issuer under the issuer’s  borrowing power; without regard to whether it is subject to annual appropriation; and  (2) is represented by an instrument issued in bearer or registered form or is not  represented by an instrument but the transfer of which is registered on books  maintained for that purpose by or on behalf of the issuer.   B. Certificate of convenience and necessity (CCN). A permit issued by the Texas  Commission on Environmental Quality (“TCEQ”) authorizing a specified utility to be  the retail water or sewer service provider in a specified area.  C. City Council. City Council of the City of Georgetown. D. Consent agreement. An agreement between the City and owners and developers of  land in a proposed district which, if agreed to, shall be attached to the consent  resolution adopted by the City Council.   E. Consent resolution. A resolution approved by the City Council setting forth terms of  its consent to creation of a district.   F. Consent to creation of a district. Authorization for the owners of land in a proposed  district to initiate proceedings to create a district as provided by law.   G. District. A municipal utility district (“MUD”), water control and improvement district  (“WCID”), flesh water supply district (“FWSD”), or similar political subdivision created  to provide water, sewer or drainage utility services, roads, or other services allowed by  law to a specified area, pursuant to Article III, Section 52, and/or Article XVI, Section 59,  of the Texas Constitution.   H. Extraterritorial jurisdiction (ETJ). Unincorporated area generally extending two miles  from the City limit, excluding other incorporated municipalities and their ETJ, in which  the City has the authority to annex property, as determined in accordance with Chapter  42 of the Local Government Code.   I. Strategic partnership agreement. An agreement between the City and a district  addressing the relationship between the City and the district, including limited purpose  annexation of commercial areas and other matters pursuant to Section 43.0751 of the  Local Government Code.   J. TCEQ.  The Texas Commission on Environmental Quality or its successor.  13.10.030 Prerequisites to Consent to Creation of a District A. Before the City Council consents to creation of a district, the following issues shall be  considered in accordance with this chapter:   Attachment number 3 \nPage 15 of 21 Item # A 1 If applicable, whether the area proposed for inclusion in the district meets criteria for  annexation set out in the City’s annexation policy and is within the City’s projected  ultimate city limit boundary; and   2 Whether the City will provide water and/or wastewater services to the land within  the proposed district at a reasonable cost and will commence construction of  facilities necessary to serve the land within 2 years and substantially complete such  construction within 4½ years after submittal of the petition pursuant to the City’s  policies on the extension of utility services.     B. If the determination on both issues 1 and 2 above is negative, then before consenting to  the creation of a district, the City Council shall consider further whether the creation of  the district is feasible, practicable, necessary for the provision of the proposed services  and would be a benefit to the land, and therefore warrants the City’s consent, consistent  with the other considerations in this policy.  C. If the determination on either of the two issues is affirmative, then the City Council shall  not consent to creation of the district unless the applicant demonstrates that unique  factors justify its creation. If appropriate under the circumstances, the City shall:  1. Commence negotiations with the owners of at least 50 percent of the land in the  proposed district and a majority of the qualified voters concerning the City’s  provision of water and wastewater services, upon receipt of a petition submitted by  such persons in accordance with Local Government Code, Section 42.042; or   2. Commence proceedings to annex the land in the proposed district.  13.10.040 Staff Analysis Upon receipt of an application seeking the City’s consent to creation of a district and after a  preliminary determination of the prerequisites in Section 13.10.030, City staff shall analyze  the proposed development and its potential impact on facilities and services.  The applicant  shall provide the following preliminary information relative to the land proposed to be  included in the district, if available:   A. Engineering report showing:   1 Preliminary water availability study, including copies of any proposed contracts;   2 Preliminary wastewater treatment availability, including copies of any proposed  contracts;   3 Preliminary drainage study; and   4 Preliminary road study for any roads proposed to be reimbursed by bonds.   B. Preliminary cost estimates for water, wastewater, drainage or road facilities or projects,  and any other proposed district facilities to be reimbursed or paid for by the issuance of  district bonds;   C. Master development plan showing general layout of proposed land uses; major streets  and roads; water, wastewater, and drainage facilities; and any other district facilities;   D. Information concerning provision of firefighting and law enforcement services;   Attachment number 3 \nPage 16 of 21 Item # A E. Estimated buildout schedule by year with estimated assessed valuations in the district;   F. Estimated ultimate amount of bonds to be issued by the district, ultimate debt service  requirements, and projected district tax rate;   G. District boundary and vicinity map;   H. Traffic study identifying potential impacts on:   1 The City’s road system serving the land proposed to be included in the district, if all  or any portion of the land is located within the City or within two miles of the City’s  boundaries; and   2 The county’s road system, this traffic study is in addition to any traffic studies  required by the City’s subdivision regulations in connection with submittal of  subdivision plats;   3. If all or any portion of the proposed district is located outside the City’s boundaries,  proof that the applicant has provided the following information by certified mail to  the Williamson County Judge and each member of the Commissioners Court:  the  name, acreage, and location of the proposed district, buildout schedule, estimated  population on total buildout, and map of the area;   4. Such other information as City staff may reasonably require to analyze the need for  the proposed facilities and the development’s potential impact; and   5. Any proposed City consent agreements.  13.10.050 Conditions to City’s Consent to Creation of a District If the City Council elects to consent to the creation of or inclusion of land within a district,  then it shall impose the following requirements as conditions of the City’s consent, and  such requirements shall be stipulated in the consent resolution and/or other ancillary  agreement, unless the City Council determines that requirements are not appropriate with  regard to a specific district.   A. All water, wastewater, drainage, and road infrastructure and facilities as well as any  other infrastructure or facilities to be reimbursed or paid for by the issuance of district  bonds, shall be designed and constructed to City standards, including without limitation  fire flow standards and utility and road design, construction and installation standards,  in accordance with plans and specifications that have been approved by the City.  In the  event of a conflict between City water and wastewater standards and standards imposed  by the CCN holder for the proposed district, City standards shall prevail, unless  otherwise agreed by the City.   B. The City shall have the right to inspect all facilities being constructed by or on behalf of  the district and to charge inspection fees consistent with the City’s inspection fee  schedule, as amended from time to time.   C. Bonds, including refunding bonds issued by the district, shall, unless otherwise agreed  to by the City, comply with the following requirements, provided such requirements  do not generally render the bonds unmarketable:   Attachment number 3 \nPage 17 of 21 Item # A 1. Maximum maturity of 20 years for any one series of bonds;   2. Interest rate that does not exceed 2% above the highest average interest rate reported  by the Daily Bond Buyer in its weekly “20 Bond Index” during the one month period  preceding the date notice of the sale of such bonds is given;   3. The bonds shall expressly provide that the district shall reserve the right to redeem  bonds at any time subsequent to the tenth (10th) anniversary of the date of issuance,  without premium. No variable rate bonds shall be issued by a district without City  Council approval; and   4. Any refunding bonds of the district must provide for a minimum of 3% present  value savings and that the latest maturity of the refunding bonds may not extend  beyond the latest maturity of the refunded bonds unless approved by the City  Council.   D. The City shall require the following information with respect to bond issuance:   1. At least 30 days before issuance of bonds, except refunding bonds, the district’s  financial advisor shall certify in writing that the bonds are being issued within the  existing economic feasibility guidelines established by the TCEQ for districts  issuing bonds for water, sewer, or drainage facilities in the county in which the  district is located and shall deliver the certification to the City Secretary, and the  City.  2. At least 30 days before the issuance of bonds, the district shall deliver to the City  Secretary, and the City Manager notice as to:  a. The amount of bonds being proposed for issuance;  b. The projects to be funded by such bonds; and  c. The proposed debt service tax rate after issuance of the bonds.  d. If the district is not required to obtain TCEQ approval of the issuance of the  bonds (other than refunding bonds), the district shall deliver such notice to the  City Secretary, and the City Manager at least 60 days prior to issuing such bonds.  Within 30 days after the district closes the sale of a series of bonds, the district  shall deliver to the City Secretary, and the City Manager a copy of the fi nal  official statement for such series of bonds. If the City requests additional  information regarding such issuance of bonds, the district shall promptly  provide such information at no cost to City. E. The purposes for which a district may issue bonds shall be restricted to the purchase,  construction, acquisition, repair, extension and improvement of land, easements, works,  improvements, facilities, plants, equipment, and appliances necessary to:   1. Provide a water supply for the district for municipal uses, domestic uses, and  commercial purposes;   2. Collect, transport, process, dispose of and control all domestic, industrial or  communal wastes from the district whether in fluid, solid, or composite state;   3. Gather, conduct, divert, and control local storm water or other local harmful excesses  of water in the district; and   Attachment number 3 \nPage 18 of 21 Item # A 4. Pay organization and administrative expenses, operation expenses during  construction, cost of issuance, interest during construction, and capitalized interest.   5. If appropriate in a particular district, the City may consent to issuance of bonds for  purchase, construction, acquisition, repair, extension, or improvement of fi re  stations, roads, and/or other capital improvements that are mutually agreed upon by  the City Council and the applicant.   F. The district shall contain sufficient acreage to assure the economic viability of the district  but no more acreage than can feasibly be annexed at one time. In general, a district is not  expected to include less than 200 acres or more than 500 acres.   G. Development within the district shall be consistent with the City’s Comprehensive Plan.   H. No district shall include land in more than one city’s Extraterritorial Jurisdiction.   I. The City and the owners of all land in the proposed district shall reach agreement on the  terms of a development agreement pursuant to Local Government Code, Section  212.171, et seq. to extend the City’s planning authority over land included in the district  by providing for approval of a development plan, authorizing enforcement by the City  of land use and development regulations, and including other lawful terms and  considerations the parties consider appropriate. The development agreement shall  include provisions relating to the following matters:   1. Land use plan reflecting all approved land uses and residential densities;   2. Compliance with City construction Codes, including permit requirements;   3. Compliance with City and other applicable stormwater and water quality  regulations;   4. Development standards comparable to City zoning regulations; and   5. Dedication and development of park land, open space, and trails.   The above list is not intended to be exhaustive.  It is expected that the parties will  cooperate to identify those matters unique to the district that may be addressed in a  development agreement.   J. At least 30 days before issuance of bonds, the district shall certify in writing that the  district is in full compliance with the consent resolution approved by the City Council  and, to the extent such agreements impose requirements on the district, with the consent  agreement, strategic partnership agreement and all other agreements executed by the  City and the district, and shall deliver the certification to the City Secretary, and the City  Manager.   K. No land within the district shall be allowed, at any time in the future, to  incorporate, join in an incorporation, or be annexed into any incorporated city other  than the City of Georgetown.   L. No land shall be annexed by the district without prior City Council approval.   M. The district shall not construct or install infrastructure or facilities to serve areas outside  the district or sell or deliver services to areas outside the district without prior City  Council approval.   N. After creation of the district, and unless otherwise expressly authorized by the consent  Attachment number 3 \nPage 19 of 21 Item # A agreement or development agreement, no district shall be converted into another type of  district, consolidated with another district, divided into two or more new districts or  seek additional governmental powers that were beyond its statutory authority at the  time the district was created, without prior City Council approval.   O. If allowed by law, the City may annex any commercial development within the district  for limited purposes pursuant to Local Government Code, Section 43.0751, and may  impose a sales and use tax within the area annexed for limited purposes. If limited  purpose annexation is not allowed by law, then the City may not consent to inclusion  of commercial retail areas within the district. The City may consider sharing tax  receipts with the district, provided the district’s share is used to finance infrastructure,  retire bond debt or for other purposes acceptable to the City.   P. The district shall not issue any bonds other than those authorized by the consent  agreement without City Council approval.   Q. The district shall file a notice in the real property records of all counties in which the  district is located stating that the City has authority to annex the district. The parties  may attach a form of such notice to the consent agreement or development  agreement.   R. The district shall send a copy of the order or other action setting an ad valorem tax rate  to the City Secretary, and the City Manager within 30 days after district adoption of the  rate.   S. The district shall, send a copy of its annual audit to the City Secretary, and the City  Manager within 30 days after approval.  T.  The City shall encourage the district to maintain a debt service structure that will ensure  that the district’s taxes are maintained at a rate at least equal to the City’s tax rate, to the  extent feasible.  U.  The district shall provide copies of any material event notices filed under applicable  federal securities laws or regulations to the City Secretary, and the City Manager within  30 days after filing such notices with the applicable federal agency.   V. Construction of capital improvements such as fire stations and recreational amenities  shall be encouraged.  W. Sharing of fire stations, recreational amenities, and other capital improvements by the  City and the district shall be encouraged..   X. If construction or expansion of a wastewater treatment facility is proposed to serve the  district, the plant design shall conform to all applicable state and federal permitt ing and  design standards. In addition, any wastewater discharge shall be permitted to meet  effluent limitations no less stringent than 5‐5‐2‐1 (5 parts per million {“ppm”}  biochemical oxygen demand; 5 ppm total suspended solids; 2 ppm nitrogen; and 1 ppm  phosphorus) or the current limits in permit(s) held by the City, whichever is strictest.   The City reserves the right to protest any wastewater treatment facility permit  application or amendment.   Y. The board of directors of the district and landowners within the district shall assist the  City in annexing one or more areas as reasonably necessary for the City to connect areas  to the City that are outside the district and that the City intends to annex in the  foreseeable future.   Attachment number 3 \nPage 20 of 21 Item # A Z. The City shall require the district to complete a traffic impact analysis pursuant to  Section 12.05 of this Code.   AA. The City may agree not to annex and dissolve the district any earlier than the fi  rst to occur of:  (i) extension of water, sanitary sewer, and drainage facilities to serve  90% of the land within the district; or (ii) 15 years after creation of the district.  The  contract between the City and the district may provide that the City may set rates for  water and/or sewer services for property that was within the district that vary from  those for other properties within the City in order to compensate the City for  assumption of district obligations upon annexation, in compliance with any statutory  requirements applicable to such an agreement.   BB.    The consent agreement and ancillary documents shall include terms  providing for the district to be fully developed and ready for full purpose  annexation by the City within a reasonable time period.   CC. The applicant shall reimburse the City for expenses incurred by the City in  connection with the City’s consent to formation of the district, including but not limited  to professional fees incurred in connection with negotiation and preparation of the  consent resolution, consent agreement, development agreement, strategic partnership  agreement, and related documents.   13.10.060 City Operations Compensation Fee A fee shall be assessed for each residential unit within the district equal to the proportion of  City operations attributed to serving residents of the district. The fee shall be calculated as  follows:   B = Total General Fund budget for the fiscal year in which the consent application is filed.    P = The estimated population of the City at the time the consent application is filed.    H = The estimated average household size within the City at the time the consent application is  filed.  D = The percentage of City services used by district residents.  This percentage shall be adopted  by the City annually as a part of the City’s budget adoption process.    Y = Number of years of duration of the district.  R = Discount rate.  This rate shall be adopted by the City annually as a part of the city’s budget  adoption process.  PV = Present Value.  City Operations Compensation Fee = PV(R,Y,‐((B /(P /H)) * D))   Example: B = $24,000,000  P = 41,000  H = 2.8  D = 15%   Y = 20     R = 6%   Fee = $2,819.92  Attachment number 3 \nPage 21 of 21 Item # A City of Georgetown, Texas August 12, 2014 SUBJECT: Presentation and direction to staff on developing a resolution to initiate the expansion of the Downtown Overlay District and Downtown Tax Increment Reinvestment Zone to support continued public and private investment in the District -- Matt Synatschk, Historic Planner and Laurie Brewer, Assistant City Manager ITEM SUMMARY: Staff is requesting direction to proceed with an expansion of the Downtown Overlay District to include existing city properties and private properties requesting to be added to the District. The expansion of the District would expand the Downtown TIRZ boundaries to match the district. Staff is also requesting direction to extend the duration of the TIRZ for continued funding of capital projects in the Downtown Overlay District. The purpose of the proposed resolution for this item is to initiate the process to expand the District and the TIRZ, allowing new properties access to the Mixed Use – Downtown (MU-DT) zoning, which is restricted to properties located within the district boundaries. Should City Council direct staff to develop the proposed Resolution, staff will initiate the expansion process consistent with state and city land use regulations. FINANCIAL IMPACT: If Council approves the forthcoming resolution, the project will have notification costs and effect the tax increment received by the Downtown TIRZ. Based on Council direction, more formal financial estimates will be provided when the proposed resolution is submitted for review on August 26th. SUBMITTED BY: Matt Synatschk/jd Cover Memo Item # B City of Georgetown, Texas August 12, 2014 SUBJECT: Planning Department Study and Business Plan - - Andrew Spurgin, Planning Director ITEM SUMMARY: The FY2014 budget funded a study of the Planning Department to objectively identify strengths and weaknesses in the Department including business processes, technology, municipal policies relevant to long- range planning, budget and staffing. The study also discusses the housing coordinator and planning functions of the Downtown & Community Services Division as well as aspects of GUS relative to the planning and development process. The draft 200-page report makes 94 recommendations. The executive summary and background sections of the study have been attached to this agenda item. The consultant retained for this study will participate in the presentation of this item. FINANCIAL IMPACT: The study was a funded line item in the approved FY2014 budget. SUBMITTED BY: Andrew Spurgin, Planning Director ATTACHMENTS: Executive Summary and Background Cover Memo Item # C Georgetown, Texas 1 Zucker Systems Review of Planning Department Georgetown, Texas Executive Summary, Background and Purpose By Zucker Systems Paul Zucker, President Mary Blais, Planning Director 3038 Udall St. San Diego, CA 92106 (619) 260-2680 www.zuckersystems.com paul@zuckersystems.com May, 2014 Attachment number 1 \nPage 1 of 14 Item # C Georgetown, Texas 2 Zucker Systems Attachment number 1 \nPage 2 of 14 Item # C Georgetown, Texas 3 Zucker Systems I. EXECUTIVE SUMMARY A. BACKGROUND This study was initiated by the Planning Director for a Review of the Planning Department.   B. KEY PRIORITY AREAS This report includes 94 recommendations for improving the Georgetown Planning Department  and related functions. While all the recommendations are important, we believe there are six  key areas or groupings that need the highest priority as follows: 1. ORGANIZATION Findings The functions of the Community Development Department were split up among the  Planning Department, Utility Division, and Assistant City Manager. This moved the  planning function from Division status to Department status and placed the  Planning Director directly under the City Manager. This has allowed the City  Manager to participate more in decision making on planning issues. However, if the  current organization structure suffered a break down or if the City Manager did not  aggressively support planning, then we believe the planning function could be  deemphasized and it may not be able to play its role in the City’s desire to be “A  City of Excellence.”  Recommendations If the current structure is to remain, then the Planning Department should have  better recognition in the new organizational structure. To do so we recommend:   Eleven specific actions to recognize the importance of planning,  Recommendation 2;   Changes to the Interlocal Agreement with Williamson County,  Recommendations 46 and 48;   Changes to the MUD policies, Recommendations 49 and 50; and    Review of CIP projects by the Planning Commission, Recommendation 62.  2. PERFORMANCE STANDARDS Findings While the Planning Department has performance standards, they do not cover all  appropriate areas, in some cases too long of timelines exist, and are not well  monitored.   Attachment number 1 \nPage 3 of 14 Item # C Georgetown, Texas 4 Zucker Systems Recommendations We suggest specific new performance standards in Recommendations 90 and 91.  3. LONG RANGE PLANNING Findings The City has an excellent Comprehensive Plan and Unified Development Code.  However, there are a few missing elements and both documents need a number of  improvements. These two documents are essential in the City’s desire to be a “City  of Excellence.”  Recommendations  Establish a monthly long‐range planning meeting, Recommendation 22;    Have at least one full time long range Planner, Recommendation 27;   Up‐date the Annexation Policy, Recommendations 42 and 43; and   Up‐date the Comprehensive Plan, Recommendations 44 and 45.  4. DEVELOPMENT PROCESS Findings While the City’s development process works reasonably well, we believe it can work  even better to satisfy customers and meet the City’s goal.   Recommendations We suggest:   Empowering planners to be true project managers, Recommendation 24;   Reclassify Water Utility Engineer to Development Engineer and provide focus to  the development process, Recommendation 32; and    Re‐establish a Development Review Committee for complex projects,  Recommendations 83, and 87.   5. TECHNOLOGY Findings There is a rapidly moving national trend to have the development process paperless  and Internet based. This will be essential if Georgetown is to be competitive in the  marketplace. The City has begun some work in this area with the MyPermitsNow  program but it may not be sufficient in the longer time frame.   Attachment number 1 \nPage 4 of 14 Item # C Georgetown, Texas 5 Zucker Systems Recommendations  Planning should actively participate in all software discussions,  Recommendation 33;    A provision should be made for on‐line project submittals, Recommendation 68;  and    A consultant should be hired to review the City’s current software and efficiency,  Recommendation 34.   6. BUDGET AND STAFFING Findings There is a shortage of planning staff for long‐range planning and with current and  anticipated increase in development activity; there will be a shortage of current‐ planning staff.   Recommendations  Revenue beyond that anticipated in the budget should be made available to  supplement planning staff, Recommendation 17;   The planning staff should include at least one full time long‐range planner,  Recommendation 27; and    Staff should be increased by one Current Planner, Recommendation 25.  Attachment number 1 \nPage 5 of 14 Item # C Georgetown, Texas 6 Zucker Systems II. BACKGROUND AND PURPOSE A. THE CONTRACT This study was initiated by the Planning Director for a Review of the Planning Department.   The RFP for the study was issued November 20, 2013.  Zucker Systems submitted a proposal on  December 18, 2013 and was selected for the work on January 9, 2014. A purchase order was  completed on January 15, 2014.  Zucker Systems staff spent time in Georgetown on February 12,  13, and March 25, 26 and 27.   B. BACKGROUND The Planning Department functions were reorganized effective October 1, 2012 with some  Department functions moving to Georgetown Utilities Services (GUS) and others moving to the  Downtown & Community Services Division to enable a more focused team of Planners on  current planning issues and to allow the City Manager to become more involved with the  development process, with a personal touch. Since hiring a new Planning Director in October,  2012 the Department has undertaken a number of enhancements to improve customer service,  outreach to development stakeholders, improved avenues of communication, and utilized new  technology.  In the area of customer service the Department created a customer service program consisting  of: staff standard operation procedures (SOP), a customer bulletin process, and required  customer service training of all staff. Outreach with development stakeholders was also  conducted at the City Manager’s monthly development breakfast, the Chamber of Commerce  Development Alliance and both the Austin Homebuilders Association and the local  Georgetown Homebuilders Association.  The Department initiated new techniques to examine workload and performance. Previously  the Department was graded on annual measures such as percentage of staff recommendations  approved by City Council and area of land annexed, which were not necessarily reflective of  either staff workload or performance. On a weekly basis the Department now tracks walk‐in  traffic, application submittals, plat recordation and on a monthly basis examines telephone  traffic and application trends compared to prior years.  The Department undertook a switch from the legacy “InCode” system to the paperless  MyPermitNow system that allows customers to submit PDF files rather than printing large  format plans, allows multiple reviewers to conduct their reviews simultaneously without  waiting for paper plans to be routed from one staff to the next and in the future MyPermitNow  should allow online submittals. As part of this technical conversion, all business processes were  flowcharted and hence the flowcharts and related materials were made available for use by  stakeholders to better understand the development process.  Attachment number 1 \nPage 6 of 14 Item # C Georgetown, Texas 7 Zucker Systems The Department increased efforts to document determinations and communicate policies and  procedures with customers through published Code Interpretations and Customer Bulletins,  which have all been posted online. A Development Guide was created to provide an easy  reference tool tailored to readers unfamiliar with the area or who have never gone through the  development process.  The Department also took a hard look at a particular Unified Development Code (UDC)  provision relative to “abandonment” that was communicated to the Director through a group  convened by the City Manager. This provision was viewed as punitive and was a disincentive  to reuse and repurpose vacant buildings. The updated interpretation and related customer  bulletin on “abandonment” was well received by Georgetown stakeholders and will further  reduce the number of items that need to be considered by the Zoning Board of Adjustment.   In late 2012, the City also moved to twice monthly Planning & Zoning Commission meetings to  offer assistance with development approval timelines. This was viewed as something the City  could offer without the need to amend ordinances or other policies and as a way to facilitate the  development process. In 2013, a School District liaison seat was also added to the Commission  to ensure there is dialogue between the District and the City as new residential development  occurs. To further School District awareness of development matters the Department also  instituted a notification process on rezoning cases to the District.   A series of City Council workshops have been held to update annexation and Municipal Utility  District (MUD) policies in consideration of completion of the annexation plan and due to the  number of requests for new MUDs that were coming in. In a collaborative effort with Finance,  Utilities, Legal, Transportation and other city departments this future annexation policy is  under study with a comprehensive examination of impacts across Department lines and as a  tool to implement the City of Excellence goals.   Finally, the Department has also supported the interdepartmental efforts to assist the City  through new federal and state mandates including the listing of the Georgetown Salamander,  an ordinance to reduce household water consumption, and efforts to comply with the MS4  storm water requirements.  The accomplishments since 2012 are all worthwhile efforts toward making the Department  more responsive to customers and City Council priorities. This study was initiated by the  Planning Director for a Review of the Planning Department. The purpose of this study is to  further analyze and identify issues that can be considered for continuous process improvement,  engaging long range planning in a broader context of urban affairs and maintaining a  responsive and effective development review process.   C. STUDY METHODOLOGY Zucker Systems used a proprietary well‐tested, integrated methodology for this study, as  shown in Figure 1. We brought our extensive experience to the study, worked closely with staff,  and solicited input and observations from customers and policy makers. The methodology is  built on interrelating records, observations, and interviews. Each is necessary for valid studies.  National research has shown that each one of these three—if relied upon exclusively—can be  Attachment number 1 \nPage 7 of 14 Item # C Georgetown, Texas 8 Zucker Systems subject to substantial error. For example, record systems are often found to be as high as 50% in  error, or the wrong things are measured. We used observations and interviews to verify  records. Records and interviews were used to verify observations. Records and observations  were used to verify interviews. Each group of people, shown in Figure 1, was an important part  of the process.  Figure 1 Methodology Overview Specific activities conducted for this study included the following:   One customer focus group of seven people;   A mail survey to 127 applicants for Planning approvals;   A short questionnaire completed by 10 staff;   A long questionnaire completed by 5 staff;   One‐on‐one interviews with staff, the Mayor, City Manager, Assistant City  Manager, and Assistant City Attorney;    Meeting with three GIS staff;   Meeting with three staff regarding MyPermitNow;   Review of reports, policies and data; and    Interview with Chairpersons of Planning and Zoning Commission, Historic and  Architectural Review Commission and Zoning Board of Adjustment.   D. FINDINGS AND RECOMMENDATIONS This assessment found many exemplary features within the Planning Department as well as a  number of areas where improvement is possible.   Areas of Strength  Uses an electronic submittal and online permit tracking system (e.g.,  MyPermitNow) which is a best practice;  Operational Analysis Recommendation and Action Plan Customers Observations Records Interviews Consulting Experience City Staff Policy Makers Attachment number 1 \nPage 8 of 14 Item # C Georgetown, Texas 9 Zucker Systems  Established a customer service program and promotes customer service in all  Department communications;    Published Application Review Calendars, flow charts and timelines to help  applicants approximate when to submit formal applications in order to make  agenda deadlines and gauge overall processing timeframes for various  application types, which is a best practice;   Holds Pre‐application meetings prior to accepting a formal submittal, which is a  best practice, when structured appropriately;   Published a UDC Development Manual and, more recently, a Development  Guide, which is an easy to understand, comprehensive reference guide for  navigating the Unified Development Code (UDC), planning application and  development review processes, which is a best practice;    Planning staff in the Department, including the Director and Principal Planners,  are AICP certified;    Good 2030 Plan; and    Good Unified Development Code.  Opportunities for Improvement Problem areas and opportunities for improvement are described throughout this  report. What we consider to be six key areas, or themes, are discussed in the  Executive Summary, the first chapter in this report.  Table 1 summarizes the 94 recommendations and opportunities for improvement  made throughout this study. To assist the reader, each summarized recommendation  is cross‐referenced to the page on which the supporting text appears. Although all of  these recommendations are important, each was given a priority number in order to  help the City with implementation. There are 28 priority number one  recommendations, 40 priority number two recommendations and 26 priority number  three recommendations. We assume that existing staff will implement many of the  recommendations and the cost, except for new staffing, generally should be  absorbed through greater efficiency.   To further help the City and departments in implementation, we have also coded all  the recommendations. “Phase One Actions” are recommendations, which we believe  should be completed in the first nine months. “Phase Two Actions” we believe  should be completed within 18 months.   There are 63 Phase One Action recommendations. Some of these are given priority 1,  2 or 3. However, that does not mean that only the priority 1 recommendations  should be addressed. There are 31 Phase Two Action recommendations. The  departments should develop a detailed implementation plan with time targets for  these recommendations.   Attachment number 1 \nPage 9 of 14 Item # C Georgetown, Texas 10 Zucker Systems For each recommendation, we also indicate a responsible party for implementation.   While the above priorities and action schedules should help the City with its implementation  plan, it is essential to initially focus on the six key priorities discussed in the Executive  Summary.   Table 1  Table of Recommendations  # Recommendation Responsibility  Pr i o r i t y   Ph a s e  On e   Ac t i o n s   Ph a s e  Tw o   Ac t i o n s   1.  Agree on an implementation plan Planning Director and City  Manager  1 X   ORGANIZATIONAL OVERVIEW  2.  Adopt 11 organizational changes for the Planning  Department  Planning Director and City  Manager  1 X   ORGANIZATIONAL ISSUES  3.  Replace Community Development Department  signage Planning Director  3 X   4.  Remodel to include a variety of features as listed Planning Director and GUS  Division  2 X   5.  Expand the Planning Department counter Planning Director and GUS  Division  2 X   6.  Purchase computer for Permitting and  Inspections function GUS Division  2 X   7.  Planning Department to be involved in building  remodel  Planning Director and GUS  Division  2 X   8.  Email customer surveys Planning Director    2  X  9.  Add features to MyPermitNow Planning Director and IT  2 X   10.  Purchase scanning equipment Planning Director    2 X      Fees/Financial Issues  11.  Update Planning Application Fee schedule Planning Director  2  X  12.  Create escrow account to assure fee payments Planning Director and  Finance  2 X   13.  Create a development fee calculator Planning Director  3  X  14.  Update Planning application fees annually Planning Director  3  X  15.  Attach fee to building permit for Comprehensive  Plan Planning Director and GUS  3  X  16.  Fee payment available on‐line Planning Director and IT  3  X  17.  Use increase of revenue over budget to add  resources to Planning Department  Planning Director and  Finance  1 X   Attachment number 1 \nPage 10 of 14 Item # C Georgetown, Texas 11 Zucker Systems # Recommendation Responsibility  Pr i o r i t y   Ph a s e  On e   Ac t i o n s   Ph a s e  Tw o   Ac t i o n s      Other Items  18.  Modify MyPermitNow for file storage Planning Director and IT  2  X     Meetings/Communication  19.  Define purpose for all meetings Planning Director  2 X   20.  Discuss mission in staff meetings Planning Director  2 X   21.  Meetings with Housing, Historic Preservation and  Urban Forester to be decision meetings  Planning Director and  relevant functions  2 X   22.  Establish monthly long‐range planning meeting Planning Director and  related functions  1 X   23.  Create bi‐weekly meeting to coordinate  development City Manager  1 X   24.  Empower planners to be project managers Planning Director and City  Manager  1 X      Staffing  25.  Add one Current Planner Planning Director  1 X   26.  Create a current planner staffing model Planning Director  3  X  27.  Long‐range planner to be 100% on long‐range  planning Planning Director  1 X   28.  Housing Coordinator and Historic District Planner  to be supervised by Planning Director  Planning Director and  Assistant City Manager  2 X   29.  Refine role of Project Coordinator City Manager  2 X   30.  Give Urban Forester access to Planning’s L:/drive Planning Director  2 X   31.  Delegate some tree‐related inspections to  building inspectors Parks Department and GUS  3 X     32.  Reclassify Water Utility Engineer to Development  Engineer GUS  1 X      Technology  33.  Planning to participate in all permitting software  decisions Planning Director and IT  1 X   34.  Hire a consultant to review permitting software Planning Director and IT  1 X   35.  Expand webpage to include listed additions Planning Director  3  X     Training  36.  Have 2% of personnel budget and 5% staff time  for training Planning Director 6 7 2 X   37.  Conduct training sessions re development review Planning Director 6 7 2 X   38.  Conduct training for customer service and  MyPermitNow Planning Director 6 7 2 X   Attachment number 1 \nPage 11 of 14 Item # C Georgetown, Texas 12 Zucker Systems # Recommendation Responsibility  Pr i o r i t y   Ph a s e  On e   Ac t i o n s   Ph a s e  Tw o   Ac t i o n s   39.  Conduct supervisor and leadership training Planning Director  2 X   40.  Cross train current and long‐range planners Planning Director  3  X     Work Program  41.  Prepare annual work plan Planning Director  1 X   POLICY ISSUES     Annexation  42.  Update Annexation Policy Planning Director  1  X  43.  Include Annexation Policy in work plan Planning Director  1 X      Comprehensive Plan  44.  Update 2030 Plan Planning Director  1  X  45.  Update Land Use element of 2030 Plan Planning Director  1  X     Interlocal Agreement  46.  Amend Interlocal Agreement with Williamson  County  Planning Director and City  Council  1  X  47.  Planning Director to be lead staff for Interlocal  Agreement Planning Director  2  X  48.  Include Interlocal Agreement in work plan Planning Director  1 X      MUD Policy  49.  Adopt MUD policy consistent with  Comprehensive Plan City Council  1 X   50.  MUD policy to establish a review team City Manager  1 X   51.  Amend UDC re MUD policy Planning Director  2  X     UDC  52.  Amend UDC re Administrative Variances Planning Director  2  X  53.  Correct fencing and pergola standards in UDC Planning Director  3  X  BOARDS AND COMMISSIONS     Historic and Architectural Review Commission  54.  Agree on packets Planning Director and  Historic District Planner  3 X   55.  Bi‐annual study session with HARC and City  Council Assistant City Manager  3  X  56.  Brief HARC on Council meetings Assistant City Manager  2 X   57.  Change title on staff reports Assistant City Manager  3 X   58.  Assistant City Manager to sign staff reports Assistant City Manager  3 X   59.  Develop staff report template Assistant City Manager  2 X   Attachment number 1 \nPage 12 of 14 Item # C Georgetown, Texas 13 Zucker Systems # Recommendation Responsibility  Pr i o r i t y   Ph a s e  On e   Ac t i o n s   Ph a s e  Tw o   Ac t i o n s   60.  Have professional recommendation on staff  reports Assistant City Manager  2 X   61.  Expand training for HARC members Assistant City Manager  3  X     Planning & Zoning Commission  62.  P&Z to review CIP City Manager  1 X   63.  Bi‐annual study session with P&Z and City Council Planning Director  3  X  64.  Revise staff report re recommendations Planning Director  3 X   65.  Expand training for P&Z members Planning Director  2  X  66.  Create policy and procedures manual for all  application types Planning Director  2  X     Zoning Board of Adjustment  67.  Dissolve ZBA and transfer functions to P&Z City Council  2 X   PROCESS ISSUES  68.  Provide for on‐line plan submittals MPN designers  1  X  69.  Do not require pre‐application conferences for  Administrative CDC’s Planning Director  3 X   70.  Amend UDC re Pre‐application Conceptual  Reviews Planning Director  3  X  71.  Revise bulletins and flow charts re UDC changes Planning Director  3  X  72.  Reject incomplete applications Planning Director  2 X   73.  Same intake staff for all applications Planning Director  3 X   74.  Charge fee for pre‐application conference Planning Director  3  X  75.  Schedule pre‐applications online Planning Director  3  X  76.  Revise pre‐application submittal checklist Planning Director  3  X  77.  Principal Planner to chair all pre‐application  conferences Planning Director  2 X   78.  Reduce the number of applications that require  pre‐application Planning Director  3  X  79.  Modify pre‐application conference form Planning Director  3  X  80.  Key decision makers to attend pre‐applications Planning Director and  relevant other functions  1 X   81.  Create pre‐application comment worksheet Planning Director  1 X   82.  Establish application submittal days Planning Director  2 X      Development Review Committee (DRC)  83.  Re‐establish DRC function Planning Director  1 X   Attachment number 1 \nPage 13 of 14 Item # C Georgetown, Texas 14 Zucker Systems # Recommendation Responsibility  Pr i o r i t y   Ph a s e  On e   Ac t i o n s   Ph a s e  Tw o   Ac t i o n s   84.  Create DRC schedule Planning Director  2 X   85.  Determine which applications should go to DRC Planning Director  2 X   86.  Current‐planning Principal Planner to proactively  manage DRC meetings Planning Director  2 X   87.  Assigned planner to lead DRC discussion Planning Director  1 X   88.  Post DRC agenda on website Planning Director  2 X   89.  Create discussion checklist for DRC  Planning Director  2 X      Performance Standards  90.  Set new performance standards for  Administrative Applications Planning Director  1 X   91.  Set new performance standards for all processes Planning Director  1 X   EMPLOYEE PERCEPTIONS  92.  Conduct employee retreat re Questions 8, 11, 12  and 17. Planning Director  2 X   93.  Establish annual employee training program Planning Director  2 X   CUSTOMER PERCEPTIONS  94.  Staff to review Questions 8, 11, and 16 and  respond to customer needs Planning Director  2 X   Attachment number 1 \nPage 14 of 14 Item # C City of Georgetown, Texas August 12, 2014 SUBJECT: Public Hearing on the proposed 2014 Property Tax Rate -- Micki Rundell, Chief Financial Officer ITEM SUMMARY: The Texas Tax Code requires the City Council to hold two public hearings on the proposed tax rate prior to adoption if the proposed rate exceeds the current effective tax rate. The 2014 proposed tax rate of $0.4350 exceeds the effective rate of $0.42344 by 2.7%. The increase is required to pay the operating costs of the new Public Safety Operations and Training Center, expand policy services and various other new city programs to enhance city services to the community. The Council is not required to adopt this rate; however, this is the maximum rate the Council may consider. Currently, Council is considering a slightly lower rate of $0.4340, which is 2.5% over the effective rate. An overview of the tax calculation and related General Fund revenue and expenditure information will also be provided at the hearing and was reviewed with Council at budget workshops held on July 14, 15, 23 and 29. The proposed 2014/15 Annual Budget workbook are available for public review at the Public Library, located at 808 Martin Luther King or at City Hall located at 113 E. 8th Street. The information is also available on the City's website. SPECIAL CONSIDERATIONS This public hearing and the hearing scheduled for Tuesday, August 19 fulfill the requirements of the Texas Local Government Code, Section 102.006 providing for public comment on the proposed 2014/15 Annual Budget and for adoption of the City's 2014 tax rate. Both are scheduled for first reading at the August 26, 2014 regular Council meeting. ATTACHMENTS One page tax rate and budget summary FINANCIAL IMPACT: The City Manager's proposed 2014/15 Budget is $234.1 million, and has been reviewed and adjusted by Council at its July meetings. SUBMITTED BY: Becky Huff ATTACHMENTS: Tax rate budget summary Cover Memo Item # D CITY OF GEORGETOWN 2014/15 Proposed Annual Budget & Tax Rate Summary Property Tax Rates What is the proposed tax rate?  Notice proposed tax rate is $0.435 per $100 valuation, but the City Council’s recommended rate is slightly less at $0.434, which is $0.005 or ½ cent lower than last years’ adopted tax rate of $0.4395 How will it impact me?  The Notice Rate of $0.435 rate is 2.7% above the effective tax rate, which is the rate required to raise the same amount of tax revenues as last year for existing property. The recommended rate of $0.434 is 2.49% greater than the effective rate.  For the average existing City homeowner, the annual increase is $50.79, or $4.24 per month, based on the Council’s recommended rate of $0.434. This assumes a 7.4% increase in home value to last year’s average homeowner. Other revenues such as sales taxes are also increasing, why doesn’t the city just use that money to offset the impact to average homeowners?  Yes, sales tax revenue and other revenues have increased which pays for most new programs and services. However, a small increase in property tax revenues is needed to fund the demands for our growing city. 2014/15 Proposed Budget What is included in the Proposed 2014/15 Annual Budget? The 2014/15 Proposed Annual Budget of $231 million represents significant efforts toward meeting the Council’s vision for Georgetown as the City of Excellence, including:  Nine new fire fighters and two transitional response vehicles (TRV’s) to provide a Fire-based Paramedic Program. This proposed program is paid from fees and will not impact the General Fund.  Three new officers in Police to establish a new Crime Deployment Unit to rapidly respond to crime issues as they are identified.  Completion and operations of the new 76,000 square foot, state of the art Public Safety Operations and Training Complex (PSOTC), scheduled to open in December 2014.  Investment of $7.9 million in new Downtown, Sidewalk, Parks and City Facility Capital Projects: o Downtown parking will be addressed including a new paved lot at the corner of Eighth & MLK Streets, across from the Georgetown Library, and $400,000 to study options for design of a downtown parking garage. o Downtown Master Plan for Downtown West Phase I, including Municipal Court, for $1.7 million. o Significant efforts in Parks including upgrading VFW Park, constructing a Splash Pad in the southeast part of Georgetown, and designing on the next phase of the River Trails. o Sidewalks will be constructed on Second Street and 11th Street.  Expand hours at the Georgetown Recreation Center to include Sundays.  Infrastructure investment of $22.9 million in Utilities and $12.1 million in Transportation, including the final $4.3 million needed to fund the widening of FM 1460, expected to start in February 2015 with a 2 year construction time.  Continued efforts to maintain competitive, low electric rates for the City’s customers, with power supplies that include both wind and solar energy.  No rate increases in Water, Wastewater & Electric. A $0.50 increase to pass through cost increases from TDS is included for Sanitation.  Add 2 positions in Conservation to implement the water conservation programs needed to make best use of the City’s water supplies. Council invites input from the community at the two public hearings on the tax rate scheduled for August 12th & August 19 and a public hearing on the overall budget on August 26. For more information, please go to www.georgetown.org. Attachment number 1 \nPage 1 of 1 Item # D City of Georgetown, Texas August 12, 2014 SUBJECT: Discussion and possible direction regarding suggested Unified Development Code (UDC) amendments to include in the 2014-2016 UDC amendment process -- Valerie Kreger, AICP, Principle Planner and Andrew Spurgin, AICP, Planning Director ITEM SUMMARY: Background: Establishing and approving a list of suggested amendments to consider to the Unified Development Code (UDC) is the first step in the biennial UDC review process. Over the next couple of years this listed group of items will serve as a “to do list” for staff to work from to draft potential text changes and updates to the UDC for City Council consideration. Between 2012 and 2013 City Council reviewed the existing UDC amendment process. The changes were to separate proposed amendments to the UDC into different groups for purposes of processing. One of those was a “general” group of amendments put into a list to be approved by City Council. The potential amendments from that list would be reviewed by an appointed committee, with public input, over a two year period. The Unified Development Code Advisory Committee (UDCAC) was created in November of 2013, first appointments made in March 2014, with the primary responsibility of reviewing and making recommendations regarding UDC amendments included as part of the General Amendments List. The UDCAC also reviews and makes recommendations on the General Amendments List itself. The proposed General Amendments List was considered by the UDCAC on July 1st followed by Planning & Zoning Commission review and recommendation on August 5th. City Council has final consideration and action on the General Amendments List. The list of requested General Amendments (see Exhibit 1) consists of items requested by city staff, items requested by the public, and items requested by members of the UDCAC. The list is grouped by topics generally following the chapters of the UDC with the specific amendments list separately followed by a description, a corresponding UDC chapter or section reference, and the role of the requesting party (staff, public, or UDCAC). This list does not include any amendments that will be prepared/ reviewed outside of the General Amendment review process, such as Executive Amendments (incorporation of recently adopted ordinances, etc.) or those approved by City Council to be reviewed separately from the standard review process (review of historic related processes and requirements, etc.). The 2014-2016 list of requested amendments is lengthy at 68 items. The majority are items identified by staff, resulting from experiences applying the UDC where clarification or even simplification is needed or where the UDC does not reflect actual practice. Also, staff has found that certain regulations have become difficult to meet or are not producing the intended results. The public requested three amendments either through applications, staff contact, or public meeting input. The public amendment requests include creating a new district that would accommodate a “micro lot” residential product or reducing the required Planned Unit Development (PUD) district size; allowing Contractor Services Limited and General and Office Warehouse uses in the General Commercial (C-3) district; and limiting uses in the Downtown Overlay in order to create a transition zone adjacent the Old Town Overlay. Two items resulted from UDCAC discussion including removal/increasing of the 25,000 square foot building limitation in the Local Commercial (C-1) district, and reduction of the required setbacks in the Industrial (IN) district. The new UDC amendment process discussed with City Council sets out that the General Amendments List will be reviewed and adopted by City Council every two years, with adoption of the UDC amendments themselves following the same schedule. While not codified into the UDC yet at this time, the increase from a once a year UDC update to a once every two year update was intended to reduce the frequency of UDC changes the public and staff must track. A contributing factor to the number of requested amendments with this review cycle is the fact that the last group of amendments, excepting special out-of-cycle amendments such as the recent multifamily revisions, was completed in March of 2012. The UDCAC expressed concern Cover Memo Item # E at their July 1st meeting with having all items on the proposed amendment list wait the two year period for City Council adoption, and recommended items be allowed to be expedited and brought forward periodically during the cycle as they are needed and completed. With this said, staff is requesting to process and bring forward UDC revisions addressing some of the current amendment requests in an earlier time frame than the proposed two years in order to address some items that need a more timely review. These first items could coincide with other UDC amendments not included in the General Amendments List, such as the Executive Amendments and/or “Emergency” historic amendments that will be brought to the Planning & Zoning Commission and City Council in the upcoming months. The items that the staff feels are in need of the earlier review cycle are marked on the list of requested General Amendments (Exhibit 1) with a star. By timing the potential adoption of these early items with the other forthcoming amendments, there would not be an additional update of the UDC beyond what would have otherwise occurred. The goal today is to review the list of suggested amendments and discuss any amendments that should be added, removed or modified. Pending feedback from City Council at this workshop, the proposed General Amendments List for the 2014-2016 review period will be presented for final action at the August 26th City Council meeting. Unified Development Code Advisory Committee Recommendation: At their July 1st, 2014, meeting, the UDCAC recommended unanimously (7-0) approval of the proposed list. There were three citizens in attendance. Planning and Zoning Commission Recommendation: At their August 5th, 2014, meeting, the P&Z recommended unanimously (7-0) approval of the proposed list as presented. There were no speakers for the item. FINANCIAL IMPACT: - SUBMITTED BY: Valerie Kreger ATTACHMENTS: Exhibit 1 - 2014-2016 UDC General Amendment LIst Exhibit 2 - Current Pending Executive Amendments Powerpoint Presentation Cover Memo Item # E Requested General Amendments for the 2014-2016 Review Period General Topic Requested Amendment Amendment Description UDC Section Requester 1 Update the requirements of the Pre-application Process to reflect updates in current practice.Update the requirements of the Pre-application Process to reflect updates in current practice. 3.02.010 Staff 2 Update the provisions related to the Development Manual process to reflect updates in current practice.Update the provisions related to the Development Manual process to reflect updates in current practice. 1.11 Staff 3 Create a process to address requests for vesting determinations. Vesting claims have been presented to the city occasionally over the past few years, but with no defined procedures for addressing. These requests will likely increase over the next few years as the city has adopted new regulations that will apply to some existing developments. Chapter 3 Staff 4 Review the Planned Unit Development (PUD) Development Plan requirements for review. There is a very detailed list of items to be included in the Development Plan required for consideration of a PUD. Not all of these details are always needed or applicable. Staff proposes we look at this list and consider whether all are needed or appropriate.3.06 & 4.06 Staff 7 Create a UDC section acknowledging the city’s current annexation process.Formalize existing process, in keeping with State Law and the City Charter. Chapter 3 Staff 8 Review the criteria for approval used when evaluating rezoning requests. Assist P&Z and City Council with consistent approval criteria lessen subjectivity and potential for challenge of arbitrary or unreasonable findings.3.06.030 Staff 10 Consider withholding or limiting approval on applications when the property owner has unresolved City Code violations. Existing language in Chapter 15 is unclear if additional entitlements may be withheld for violations of City Code, even when there is a serious life, health, safey violation on a property.15.03.040 Staff 13 Reconsider the current three acre minimum PUD size requirement. Consider smaller PUDs in certain circumstances or consider various levels of requirements and/or scrutiny based on size. Chapter 4 Staff 15 Reconsider how the current Gateway Overlay districts are being used. Currently, the Gateway Overlay districts only provide for additional landscaping along the frontages of these roads. Staff would like to explore utilizing these districts to address other issues that have presented over the last couple of years such as land uses or design.4.13 Staff Consider allowing small scale residential cottage product by-right, something with "micro lots", maybe just in an infill situation or allow for small residential PUDS.Chapter 5 Public Reconsider allowing "Contractor Services Limited", "Contractor Services General", and "Office Warehouse" Specific Uses in the C-3 zoning district.Chapter 5 Public Requested General Amendments 9 Update the Site Plan provisions to provide clarity regarding revisions and to reflect updates in the process. Update the Site Plan provisions to provide clarity regarding revisions, as there is some confusion regarding when something should be handle as an Amendment to a Site Plan or a Minor Site Plan, and to reflect updates in the process including Site Plans incorporating Construction Plans. Application Processes and Requirements Review the Special Use Permit (SUP) Conceptual Site Plan requirements for review. There is a very detailed list of items to be included on the Conceptual Site Plan required for consideration of an SUP. Not all of these details are needed or applicable to all types of SUPs. Staff proposes we look at this list and consider whether all are needed or appropriate. 3.07 Staff Expand development agreement language establishing clear requirements and processes. Upcoming policies for procedures and consideration of special districts and development agreements are anticipated and would require UDC amendments to implement.3.2 Staff Staff3.09 Land Uses Staff is regularly presented with questions regarding the possibility of allowing different uses in districts they are not otherwise allowed in and would like to address some of these through the public process in the next round of updates to the UDC. Examples include allowing stand-alone medical offices in the Industrial district and whether recreational vehicles (RVs) should be allowed as primary quarters in the Agriculture district. For larger tracts, consider a preliminary process such as a concept plan that creates long-term expectations for utilities, transportation, public facilities, parks, etc. without requiring plat-level engineering and detail. Consider minimum acreage sizes for preliminary plats and/or concept plans. Protect street connectivity between subdivisions by having more global plans. 3.08.070 Staff Staff Staff StaffChapter 5 StaffChapter 5 The existing minimum acreage sizes for Industrial and Business Park present challenges in certain areas where the zoning would be appropriate. Reconsider when and if the minimum size is appropriate.7.03 Staff Zoning/ Overlay Districts Review Courthouse View Protection Overlay district requirements for clarity and completeness. The Courthouse View Overlay provisions should be reviewed to make sure they are complete, that there are no missing steps, and that the specifics of how to apply this overlay are clear.4.12 Subdivision/ Platting 5 6 11 12 14 Review current exemptions to platting requirements for clarity.Update subdivision language to reflect case law, attorney general opinions and correct confusion between 3.08.020 and 3.08.010 E relative to division of land for the purposes sale versus division of land for development.3.08.020 Review and update Preliminary Plat phasing provisions based on experience. 17 Consider updating the list of Specific Uses in Chapter 5 to include various uses that are not currently listed. 18 Consider changes to the zoning districts various Specific Uses may be permitted in. Over time new uses are presented to staff that are not specifically addressed in the UDC. Examples include self-service machines (ice) and storage yards.   16 Consider whether the minimum acreage size for Industrial and Business Park zoning should be lessened. Page 1of 4 Attachment number 1 \nPage 1 of 4 Item # E General Topic Requested Amendment Amendment Description UDC Section Requester Reconsider the 25,000 square foot building limitation for retail and medical uses in the C-1 zoning district. Chapter 5 UDCAC 21 Acknowledge mobile food trailers as a use within the UDC and outline appropriate regulations governing.Mobile food trailers have increased in popularity and the city’s codes should be updated to address them. 3.11 & 5.08 Staff 22 Review the current accessory dwelling unit regulations regarding garage apartment rental. Accessory dwelling units have become more and more popular and accepted in other cities around the area and country. Staff has been approached many times by citizens interested in having a garage apartment either for personal reasons such as elder care or for rental purposes. Clarification is needed regarding what may constitute rental as well as a fresh look at the concerns or challenges of the rental of accessory dwelling units. 5.02.020.B Staff 23 Review provisions and definitions related to Sexually Oriented Businesses (SOB) for consistency with the City’s Code of Ordinances. The City Code of Ordinances has provisions governing SOBs in addition to the UDC’s provisions. Some of the regulations within each document are inconsistent with each other and need clarification and revision.5.04 & 16.04 Staff 24 Provide better clarification regarding when a use is considered an accessory use and when it is considered an additional primary use. There has been some question in the past when more than one use is proposed on the same property or with the same business as to whether the use should be treated as an accessory use to the primary use or whether it should be handled as another primary use on the property. Also, clarity with regards to the standards that the accessory use must adhere to should be provided as well. 5.01.020 Staff 28 Review and update Conservation Subdivision standards to encourage usage. Update conservation subdivision section to relax restrictions and incentivize its use. Consider in light of salamander listing and water conservation ordinance standards.11.06 Staff Consider reducing the required setbacks in the Industrial District. Chapter 7 UDCAC 31 Address pedestrian connectivity between building entry and public sidewalk.Ensure that buildings that are open to the public have reasonable, direct pedestrian access from the street / sidewalk. 7.04.040.E Staff 32 Clarify how setbacks are applied when right-of-way is dedicated or reserved. Review setback provisions to ensure the requirements are clear as to where the setback is measured from when right-of-way is to be dedicated or reserved with a new development.7.03.030.B Staff 33 Provide more alternative site design options through the Administrative Exception process. The Administrative Exception process has successfully provided opportunities for alternative flexibility in certain aspects of the development process. Consider if there are additional provisions that could fall under the Administrative Exception purvue to allow for more flexible solutions. Chapter 7 Staff 35 Review current requirements for screening of mechanical equipment for options or exceptions.There are difficulties in applying the screening requirements in every situation. More exemptions or options are needed. 8.04.070.C Staff Nonresidential Standards Land Uses, Cont'd Residential Standards Review the current accessory structure requirements for clarity and consider adding exceptions. Staff has run into some challenges applying and interpreting the residential accessory structure requirements, particularly with regard to the height and size limitations.6.06.010 Review the list of features currently allowed within the setbacks on residentially zoned properties to determine if additional features should be allowed. Reconsider setback features, including certain patios in front yards which many homeowners are seeking. Also, consider features in light of water conservation requirements. Clarification of driveway placement in setbacks, including circular drives.6.05 Revise Housing Diversity standards and separate attainability (affordability) separate from diversity. 26 27 37 Landscaping Clarify application and calculation of landscaping requirements. Based on experience with the provisions, staff has recognized the need to clarify the application of the street yard landscaping requirements to projects located a great distance from the street as well as phased projects since, as written street yard landscaping applies to yards defined by buildings, not areas. Additionally, clarification is needed regarding what areas are to be included or not included in various landscape calculations. 8.04.030 Review current nonresidential landscaping requirements with regard to the city’s water conservation efforts. Consider updates to the nonresidential landscaping requirements to address the ongoing drought conditions and incorporate provisions to address water conservation efforts.8.04 36 Allow development standard alternatives that will incentivize work force housing without requiring a variety of housing types and expand incentives to include multifamily housing.6.07.020 25 29 Clarify applicability of and consider expanding exemptions to building design standards. Review the applicability of the nonresidential building design requirements for clarity and reconsider exemptions to the section, including revising the exemption related to industrial uses in the Industrial District. StaffChapter 5 StaffChapter 5 Staff Staff Staff Staff7.04 Staff Staff7.05.010 Staff Staff Chapter 7 Portions of the section regarding lighting requirements for nonresidential developments are subjective or vague. Additional clarity is needed. 20 Reconsider some of the limitations applied to specific uses. 30 Review required setbacks for districts and consider expanding what may be allowed in the setbacks, particularly regarding parking. Review required setbacks for nonresidential district to determine if they are still appropriate in all cases, particularly when adjacent to other nonresidential districts or within the same development. Also consider expanding what features may be allowed in the setbacks and when, particularly regarding parking. 19 Add or amend standard conditions of approval for Special Use Permits required for specific uses. Staff proposes adding standard conditions of approval to Special Use Permits that currently do not have any and possibly refining some of the conditions for those that do in order to provide better direction to applicants. Based on experience applying certain limitations listed within Chapter 5, some need further clarification or need to be reconsidered. These include civic use street access restrictions and building size limitations for retail and medical uses.      34 Provide more specification regarding current lighting requirements. Page 2of 4 Attachment number 1 \nPage 2 of 4 Item # E General Topic Requested Amendment Amendment Description UDC Section Requester 39 Reconsider the residential fence street setback requirements and/or consider grandfathering allowances for replacement of existing fences. The street setback requirement for residential fences has created issues in existing neighborhoods where fence lines are not consistent and locational conflicts when replacing existing fences.8.07 Staff 40 Consider additional alternative parking space design options. Consider updating the parking space design options to allow for alternative designs that have been considered since the last update to this section.9.03.020 Staff 41 Review the paved surfaces currently approved for parking lots and consider additional surfaces. Consider an updated review of the materials or products that may be acceptable to meet the requirements for paved surfaces for parking lots.Chapter 9 Staff 42 Consider expanding the roadway types on which high profile monument signs may be located. High Profile Monument signs are currently allowed only on I-35, 195 and 130. Other regional roadways that will be high-speed with expanded rights-of-way (e.g. 29 west, 1460, Bypass/Sam Houston) may also warrant taller, architecturally sound identification signage. 10.06 Staff 43 Clarify application of maximum sign area in Table 10.06.010. The current language in Table 10.06.010 has caused some applicants to believe the maximum sign area is per sign, with no limit on the number of signs.10.06.010 Staff 45 Consider increasing Subdivision Entry Sign size and height on major thoroughfares The City’s subdivision entry sign regulations require small entry signs. On high-speed major thoroughfares (SH 29, 2243, 195, etc.) large residential subdivisions are asking for taller and larger signage for identification.10.06 Staff 47 Reconsider maximum height for monument signs when landscaping is incorporated.Consider allowing an increase in maximum height permitted for monument signs when landscaping is incorporated at the base. 10.06 Staff 48 Update UDC regarding temporary signs for open house and model homes as may be necessary now that they are being enforced. Updates to the regulations governing Temporary Off-Premise Signs for Open Houses and Model Homes may be necessary to address any changes in current city operations since the regulations were written.10.07.050 Staff Impervious Coverage 49 Consider bonuses for rain collection and other non-runoff alternatives.Explore new alternatives and waivers for residential and non-residential for rain collection, etc. Chapter 11 Staff 50 Update the UDC based on the pending updates to the Overall Transportation Plan.Update various provisions of the UDC as may be necessary based on pending updates to the Overall Transportation Plan. Chapter 12 Staff 54 Review access requirements on numbered county roads. Review access requirements on numbered county roads to determine if any additional provisions should be considered. 13.04.030 Staff 55 Address naming policies related to private streets and drives internal to multi-tract developments. Consider applying the city’s street naming requirements for public streets to private driveways/streets that serve more than one internal tract in order to address 911 issues identifying emergency locations.12.03 & 12.04 Staff Fences Consider additional exceptions to fence height and assign Administrative Exception action to the Building Official. Expand the built-in exceptions for fence height to additional circumstances to allow more flexibility for residential fences. Additionally, the Building Official should be authority on further exceptions to fence standards as permits for fences are handled directly through the Inspections Department. 8.0738 Parking Signs Review temporary banner regulations to update event banner provisions, address temporary banner approval, and consider subdivision banners. Review temporary banner regulations to update event banner provisions as they are no longer allowed across streets, to address temporary banner approval downtown, and to consider internal subdivision banners.10.07 Consider updates to address whether various attention seeking devices or structures are signage, including subdivision entry features. Provide some clarification as to when certain features or devices should be considered signage and to what extent. More and more residential subdivisions (and some non-residential) are seeking to identify their development through architectural features and monuments (e.g. stone towers, windmills, cisterns, walls, etc.). Additionally, there are regularly new methods of attracting attention to a location that have been presented to staff that need clarification within the code as to whether it is signage or not. 10.03 When implementing new OTP (pending) and Fire Code (approved), consider new standard, alternative and contextual street cross sections that account for public safety needs, traffic requirements and needs of private property in relation to public streets. Also, there are current inconsistencies between current OTP design standards and the current UDC design standards. Additionally, the city’s standards should be reviewed against Williamson County’s standards to address inconsistencies, especially related to any HB 1445 Agreement issues or potential updates. Chapter 12, Sections 13.04, 11.06 Review sidewalk extension and design provisions.Review sidewalk extension and design provisions and consider updates as may be necessary regarding upcoming Sidewalk Master Plan and Public Facility Access Audit. Additionally, the residential sidewalk fund provisions should be reviewed.12.02 Transportation Review and consider updates to the City’s provisions related to connectivity (subdivision access points) between neighboring developments. Connectivity (subdivision access points) is extremely important to the function of our public safety and transportation network. In process, design, and implementation, the City has not received adequate connection points and homeowners complain when streets are connected. We need to globally reconsider the ratio, design, locations, and exemption process to protect traffic movement, public safety access and ability to use street facilities as planned. Chapter 12 Clarify what triggers the requirement for a Traffic Impact Analysis (TIA) and when an appeal may be made and review the improvements that are considered or required. The City needs to ensure we are adequately preparing for future roadways with plats, dedications and reservations. Clarification is needed regarding when Traffic Impact Analyses are required and appealed, and how right-of-way is being planned to implement the City’s Overall Transportation Plan, for example, adequate intersection right-of-way. Chapter 12 Consider updates to street standards to address current and pending inconsistencies between different agencies and documents. 51 52 53 Staff Staff   56 44 46 Staff Staff Staff Staff Staff  Page 3of 4 Attachment number 1 \nPage 3 of 4 Item # E General Topic Requested Amendment Amendment Description UDC Section Requester 58 Remove the Georgetown Utility System Advisory Board from the approval process for allowing septic systems during. Currently, a request to utilize a septic system in lieu of tying on to a public wastewater system must go to the Georgetown Utility System Advisory Board for recommendation prior to City Council consideration. This amendment would remove this recommendation step and instead send these requests directly to City Council. 13.06.030.A.4 Staff Special Districts 60 Review special district procedures and approval criteria The City is currently reconsidering its policy on special districts in light of an overwhelming number of requests and unique situations. Update 13.10 to reflect new policies and procedures.13.10 and 3.20 Staff 61 Refine the UDC regulations regarding abandonment of a nonconforming situation.Based on experiences with the provisions, staff would like to provide better clarity regarding the determination of abandonment. 14.01.060 Staff 62 Refine the UDC regulations regarding expansion of a nonconforming structure. Consider refining provisions applicable to the expansion of buildings that do not conform to current requirements for clarification and flexibility.14.04.080 Staff Alternative Energy/ Green Building Provisions 65 Update codes to provide provisions for green building strategies and ensure regulations do not unintentionally prohibit such strategies The UDC should be reviewed to ensure there are not unintentional barriers to utilization of sustainable energy, such as requiring solar energy panels to be screened.Various Staff 66 Update various provisions of the UDC as may be necessary based on updates to the Downtown Master Plan.Update various provisions of the UDC as may be necessary based on updates to the Downtown Master Plan. Various Staff 67 Consider adding limitations to certain uses to create a "transition zone" between the Downtown and Old Town overlays. Consider adding limitations to certain uses along the edge of the Downtown Overlay that are adjacent to residential uses outside the overlay to create a "transition zone" between the Downtown and Old Town overlays.Chapter 5 Public Zucker Systems Study 68 Update various provisions of the UDC as may be necessary based on a pending recommendations from the consultant’s study of city operations. Update various provisions of the UDC as may be necessary based on a pending recommendations from the consultant’s study of city operations.Various Staff A subcommittee of the Parks & Recreation Board has been created that is tasked with reviewing and providing recommended changes regarding the city’s parkland provisions and policies.13.05 Utilities Review and update of Chapter 13 provisions related to water and wastewater improvements and extension requirements. General review of language regarding utility improvements which have not been updated in some time, including extension policy for plats and site plans. Review for updates, clarification of current policy and terminology. Includes Rural Residential Subdivision criteria and standards. Also, update any regulations affecting provision of water in order to implement any changes that may result from the potential merger with Chisholm Trail Special Utility District. Chapter 13 Staff Staff Staff currently receives requests for determination of nonconforming status, particularly abandonment status, and the process for this determination should be clarified and included in the UDC.Chapter 14 Definitions Revise various definitions for clarity or add new definitions as needed. Staff has come across several definitions that need clarity or definitions that are needed to provide clarity in other sections of the UDC. Examples include clarification of street yard definition and consideration of the current contractor services, limited definition. In addition this would include any revisions to definitions needed for other revisions made to the UDC. Chapter 16 Staff Staff 57 59 63 64 Nonconforming Define process for determining nonconforming status and consider if there are additional existing situations to exempt. Parkland Update provisions governing parkland dedication based on forthcoming recommendations by the Parks & Recreation Board subcommittee review. Downtown Master Plan Page 4of 4 Attachment number 1 \nPage 4 of 4 Item # E Category Amendment Amendment Description Chapter/Section Emergency Amendments Certificates of Design Compliance/HARC Review Review and amend development standards, rules, and procedures that affect properties located in a Historic Overlay District and/or listed on the Historic Resource Survey (Resolution #052714-N)Chapters 2, 3, 4 & 16 UDC Advisory Committee and Amendment Process Update as may be needed to incorporate reference to the new Unified Development Code Advisory Committee and update the UDC Text Amendment to reflect changes in the process (Ordinance #2013-51)Chapters 2 & 3 Water Conservation Ordinance Update as may be necessary to remove any conflicts between the UDC and the recently updated Water Conservation (Ordinance #2014-23)Chapter 8 Edwards Aquifer Water Quality Regulations Update water quality regulations to reflect recently adopted stormwater treatment requirements for properties located over the Edwards Aquifer (Ordinance #2013-59)Chapter 11 Williams Drive Special Area Plan Overlay District Update to reflect the removal of the Williams Drive Special Area Plan Overlay District (Ordinance #2014-14) Section 4.07 Previously Approved Amendments Update to reflect provisions of previously approved UDC amendments that were not updated in previous text revisions. Various Unlisted Use – Event Facility Classification of Event Facility as a separate Specific Use in Table 5.04.010, including applicable limitations and definitions (11/2012)Sections 5.04 & 16.02 Fence Height (Residential) Clarification of circumstances in which the maximum residential fence height may be increased (6/2013) Section 8.07.040.B.4.b Outdoor Living Areas (Residential)Clarification of UDC provisions applicable to residential outdoor living areas, including patios, pergolas and outdoor kitchens (8/2013)Section 6.05.020 Private Streets Clarification of situations in which private streets may be allowed within rural residential subdivisions (10/2013) Section 13.04.020 Nonconforming Abandonment Clarification of UDC provisions applicable to utilization of nonconforming structures and sites determined to be abandoned per Section 14.04.060 (11/2013)Chapter 14 Standard Tolerance Determination that a standard tolerance of 6-inches is acceptable without approval of an Administrative Exception for any minimum setback or maximum height listed in Chapters 5, 6, 7 or 8 (3/2014)Section 3.16 Setback Internal to a Project Determination that abutting properties with similar zoning districts that are part of a multi-lot unified development may be developed as if it were one (1) property with regard to setbacks (7/2014)Chapter 7 Incorporation of Recently Adopted Ordinances Ratification of Published Director Interpretations Executive Amendments Attachment number 2 \nPage 1 of 1 Item # E Unified Development Code 2014-2016 General Amendments List August 12, 2014 Attachment number 3 \nPage 1 of 9 Item # E Amendment Process •UDC Advisory Committee - City Council appointed 7 member committee; established November 2013; Appointed March 2014 •Amendment Types •General Amendments – placed on a list approved by City Council; reviewed by Committee •Executive Amendments - legal requirements, code codifications, or Council emergency designation; excluded from committee review •Two year update cycle for General Amendments; Executive Amendments handled as necessary •Council direction of off-cycle General Amendment requests 2 Attachment number 3 \nPage 2 of 9 Item # E General Amendment List •First step in biennial UDC amendment process •Serves as “to-do list” for Unified Development Code Advisory Committee (UDCAC) over next two years •Includes things such as discretionary modifications, changes to existing policies, new procedures or requirements •Does not include Executive amendment changes triggered by ordinance adoptions, legal requirements, director interpretations, or City Council “emergency” direction •Can include amendments identified by staff, the public, the UDCAC, P&Z, or City Council 3 Attachment number 3 \nPage 3 of 9 Item # E Staff Identified Amendments •Update various processes to reflect current practice or address needed changes (#1, 2, 3, 6, 7, 8, 10, 56, 58, 60, 63) •Reconsider current review criteria or minimum requirements for various applications or processes (#4, 5, 8, 13, 14, 16, 60) •Clarify application of various sections or requirements (#9, 11, 24, 25, 32, 34, 36, 43, 46, 52, 61, 62) •Update land use charts to acknowledge new or unlisted uses and consider what districts uses are allowed in (#17, 18, 21) •Review limitations or restrictions placed on certain land uses (#19, 20, 21, 22, 23) 4 Attachment number 3 \nPage 4 of 9 Item # E Staff Identified Amendments Cont’d. •Consider increasing flexibility/expanding allowances regarding various requirements (#26, 29, 30, 33, 35, 38, 40, 41, 42, 45, 47, 49, 62) •Review various requirements or sections for needed changes (#12, 31, 39, 44, 48, 53, 54, 55, 64, 65) •Examine certain provisions to see if they are accomplishing intent or to encourage utilization (#12, 15, 27, 28, 37, 51, 59) •Consider updates based on recommendations from separately adopted plans or review groups (#37, 50, 56, 57, 59, 66, 68) 5 Attachment number 3 \nPage 5 of 9 Item # E Public Requested Amendments •The public requested three amendments either through applications, staff contact, or public meeting input: •Create a new district to accommodate a “micro lot” residential product or reduce the minimum required Planned Unit Development (PUD) district size (#17) •Allow Contractor Services, both Limited and General, and Office Warehouse uses in the General Commercial (C-3) district (#18) •Limit uses in the Downtown Overlay in order to create a transition zone adjacent to the Old Town Overlay (#67) 6 Attachment number 3 \nPage 6 of 9 Item # E UDCAC Requested Amendments •Two items resulted from UDCAC discussion: •Remove/increase the 25,000 square foot building limitation in the Local Commercial (C-1) district (#20) •Reduce the required setbacks in the Industrial (IN) district (#30) 7 Attachment number 3 \nPage 7 of 9 Item # E Timing of Amendments •New process calls for two year cycle •Last group of amendments adopted March of 2012 •UDCAC concerned with timing, recommended items be allowed to be expedited as needed •Staff requests addressing some of the current amendment list in an earlier time frame •Coincide with upcoming Executive Amendments and/or “emergency” historic amendments 8 Attachment number 3 \nPage 8 of 9 Item # E Questions… 9 Attachment number 3 \nPage 9 of 9 Item # E City of Georgetown, Texas August 12, 2014 SUBJECT: Staff presentation and overview of the draft Operating Agreement for the Georgetown Art Center, between Georgetown Art Works and the City of Georgetown -- Eric Lashley, Library Director and Laurie Brewer, Assistant City Manager ITEM SUMMARY: On May 28, 2013 Council approved a one-year Operating Agreement between Georgetown Art Works (GAW) and the City of Georgetown, for operation of the Georgetown Art Center, located at 816 S. Main Street. The Art Center opened in July 2013. During the past year Georgetown Art Works satisfied the City that their organization can meet the requirements of the Operating Agreement. City staff and the executive board of GAW have worked together to produce a draft three-year Operating Agreement for their continued management of the Art Center. The new Operating Agreement includes increased accountability for GAW: requirements of monthly written reports that will be reviewed by the Georgetown Arts and Culture Board, an annual meeting between the GAW executive board and the Arts and Culture Board, and in the second year, submission of a strategic plan to the Arts and Culture Board. The revised agreement also gives GAW flexibility to choose which two nights during each month that the facility will be open, establishes a clear policy about serving alcohol in the Art Center, and requires GAW to play the cost of utilities to the first floor of the building. (During the first year of operation the City paid the utilities.) FINANCIAL IMPACT: The cost to the City of operation of the Georgetown Art Center will be reduced by GAW paying for the utilities. However, the City will still be responsible for all repairs and maintenance to the building. GAW provides its own housekeeping. SUBMITTED BY: Lawren Weiss ATTACHMENTS: redline operating agreement 8-4-14 Cover Memo Item # F STATE OF TEXAS § § COUNTY OF WILLIAMSON § OPERATING AGREEMENT THIS OPERATING AGREEMENT is made the day of __________________, _______, by and between the CITY OF GEORGETOWN, a Texas home-rule municipal corporation (“City”) and ___________________________, a non-profit corporation (“Operator”). For and in consideration of the mutual covenants and agreements herein contained, it is mutually agreed as follows: 1. Space Provided. City hereby agrees to provide space to Operator in the Old Fire Station #1 located at 103 W. 9th Street, Georgetown, Williamson County, Texas, as shown in Exhibit “A” (the “Space Provided”), attached to this Agreement and incorporated by reference. 2. Operating Term. The Term of this Operating Agreement shall be for one yearthree years, beginning on September 1, 2014 and ending on August 31, 2017 (the “Term”). 3. Use of Property. The Operator will utilize the Space Provided to operate an art center to benefit the City of Georgetown area according to the requirements shown in Exhibit “B” (the “Operating Requirements”), attached to this Agreement and incorporated by reference. No other use of the Space Provided shall be permitted by the Operator without expressed written permission by the City. The City shall maintain approval over the use of the Space Provided at all times. Operator’s use of the Space Provided is nonexclusive. 4. Prohibited Use. Operator may not use or permit any part of the Space Provided to be used for: (a) any activity that is a nuisance or is offensive, noisy, or dangerous; or (b) any activity that violates any applicable law, regulation, ordinance, governmental order, or this Operating Agreement. 5. Revenue. All revenue from the operation of the gift shop in the Art Center and art classes offered by the Operator, and further described in Exhibit B, shall be retained Attachment number 1 \nPage 1 of 10 Item # F by the Operator and shall be used only to pay for the operating costs and expenses of the Art Center. 6. Non-Discrimination. Operator will operate the art center without discriminating against any person or class of persons and will seek participation by all interested members of the public. 7. Oversight. The Georgetown Arts and Culture Board shall provide oversight to the art center. Each month Operator will provide a report that includes door count, name of exhibit, number of classes and class attendance, number of volunteer hours, monthly revenue, and attendance of artist reception. income, expenses, number of visitors, number of students enrolled in classes, name of artist who was featured in the gallery, date of artist reception and number of people who attended. 8. Utilities. Operator shall be liable to pay the electric and water costs incurred in the operation of the art center during the Term of this Agreement. 9. Meeting Space. City shall provide meeting space for scheduled public meetings of Operator at no cost. 10. Improvements. If Operator desires to make any improvements to the Space Provided, Operator must request and receive the City’s written approval prior to construction or implementation of any proposed improvements. Operator shall be liable to pay all costs of any improvement. The City assumes no financial responsibility or obligation for payment of the cost of any improvements. Any improvements to the Space Provided made by Operator shall remain and become property of the City at the end of an Operating Term. 11. Insurance. Operator will provide insurance written by companies licensed to conduct business in the State of Texas. Operator shall keep in full force and effect during a Operating Term of this Operating Agreement insurance in the amounts and types included on the sample Insurance Certificate attached as Exhibit “C” and incorporated by reference. The insurance policies will name the City, its officers, officials, employees and volunteers as additional insureds. All insurance policies shall be subject to the examination and approval of City for sufficiency as to form, content, form of protection, coverage and insurance company. Operator shall furnish a Certificate of Insurance to City evidencing compliance with the required insurance requirements at the time Operator delivers the executed Operating Agreement to City. Operator agrees to provide a copy of any insurance policy on Comment [SM1]: Eric—Please confirm this. I replaced the existing language with the language from the Exhibit, but make sure you don’t want the old items with the items from Exhibit B. Attachment number 1 \nPage 2 of 10 Item # F the City’s request. All insurance policies shall provide that the insurance coverage shall not be canceled or materially changed without a minimum of thirty (30) days’ advance notice in writing to the City. Operator’s failure to timely comply with the insurance requirements shall be cause for termination of the Operating Agreement. 12. Indemnity. City, its officers, officials, employees and volunteers, shall not be liable to Operator, its directors, officers, officials, employees, members, customers, volunteers, agents or representatives, for any damage caused by negligence of Operator, its directors, officers, officials, employees, members, customers, volunteers, agents or representatives. Operator assumes all liability and responsibility for loss, damages, claims, injuries, lawsuits, judgments or causes of action of any type. Operator releases, fully indemnifies, holds harmless and agrees to defend City, its officers, officials, employees and volunteers, from any and all liability, loss damages, claims, injuries, lawsuits, judgments or causes of action of any type. 13. Default. Operator’s violation of any provision of this Operating Agreement shall constitute a default. Operator shall have thirty (30) days from the receipt of a notice of default to cure the default. If the Operator fails to cure the default the City may immediately terminate this Operating Agreement. 14. Notices. Notices or other correspondence concerning this Operating Agreement shall be in writing and are effective when mailed, hand-delivered, or transmitted by facsimile or electronic transmission as follows: To City: To Operator: City Manager ______________________________ 113 E. 8th Street ______________________________ Georgetown, Texas 78626 ______________________________ T: 512.930.3723 T: ____________________________ F: 512.930.3622 F: ____________________________ Email: paul.brandenburg@georgetown.org E-mail: ________________________ 15. Access by City. City may enter the Space Provided at any time for any purpose. 16. Condition of Property. Operator has inspected the Space Provided and accepts the Space Provided in its present condition “AS IS” unless expressly provided otherwise in this Operating Agreement. City has made no express or implied warranties as to Attachment number 1 \nPage 3 of 10 Item # F the condition or permitted use of the Space Provided. At the time this Operating Agreement ends, Operator will surrender the Premises in the same condition as when received, normal wear and tear excepted. Operator will not cause damage to the Space Provided and will not cause or allow hazardous materials or environmental contaminants on the Space Provided. If Operator leaves any personal property in the Space Provided after expiration of an Operating Term, City may, at its sole option: (1) require Operator, at Operator's expense, to remove the personal property within ten (10) after written notice to Operator; or (2) retain such personal property as forfeited property. 17. Records. Operator shall provide a complete copy of its Articles of Incorporation, Bylaws and/or other governing documents with the executed Operating Agreement. Operator shall provide an annual independent audit, including a complete accounting of all funds received and all funds disbursed, no later than the first day of October during any Operating Termreport as required by Exhibit B to this agreement. In addition, City shall be entitled to inspect and copy Operator’s records concerning or related to the art center upon request with reasonable notice. 18. Entire Agreement. This Operating Agreement constitutes the sole and only agreement of the parties, and supersedes any prior understandings or written or oral agreements between the Parties, concerning the subject matter of this Operating Agreement. There are no verbal or written representations, understandings, stipulations, agreements or promises pertaining to this Operating Agreement that are not incorporated in this Operating Agreement. If a provision of this Operating Agreement shall be held to be invalid, illegal or unenforceable, such invalidity, illegality or unenforceability shall not affect any other provision of this Operating Agreement and this Operating Agreement shall be construed and interpreted as if such invalid, illegal or unenforceable provisions had not been included. All exhibits referenced in this Operating Agreement are attached and incorporated by reference for all purposes. 19. Applicable Law. This Operating Agreement shall be construed and interpreted in accordance with Texas law. The parties agree that this Operating Agreement is performable in Williamson County, Texas. 20. Amendment. This Operating Agreement may not be modified or amended except in writing signed by the City and Operator. Attachment number 1 \nPage 4 of 10 Item # F 21. Non-Assignment. Operator shall not assign or transfer any right or interest in the Operating Agreement, in whole or in part, without prior written approval of the City. Operator shall not sublease or rent out any part of the premises without prior written consent of the City. This Operating Agreement shall bind the parties, and their respective legal representative, successors, and permitted assigns. 22. No Third-Party Beneficiaries. This Operating Agreement shall not be construed as affording any rights or benefits to anyone other than City and Operator. EXECUTED this day of _______________, 2014. _______________________________________ By: ___________________________________ Name: ________________________________ Title: __________________________________ STATE OF TEXAS § § ACKNOWLEDGMENT COUNTY OF WILLIAMSON § This instrument was acknowledged before me on this the _____ day of __________, 2012, by _____________________________, a person known to me in his capacity as _______________________________________ of the _________________________________________. _______________________________________ Notary Public – State of Texas Attachment number 1 \nPage 5 of 10 Item # F City of Georgetown, Texas By: _____________________________ Dale Ross, Mayor ATTEST: ________________________________ Jessica Brettle, City Secretary APPROVED AS TO FORM: ________________________________ Bridget Chapman, Acting City Attorney STATE OF TEXAS § ACKNOWLEDGMENT COUNTY OF WILLIAMSON § This instrument was acknowledged before me on this the _____ day of __________, 20124, by Dale Ross, a person known to me in his capacity as Mayor of the City of Georgetown, Texas. _______________________________________ Notary Public – State of Texas Attachment number 1 \nPage 6 of 10 Item # F EXHIBIT “A” Plan provided courtesy Gary Wang/Wang Architects Attachment number 1 \nPage 7 of 10 Item # F EXHIBIT “B” OPERATING REQUIREMENTS During the Operating Term of the Operating Agreement, Operator shall be responsible for: A. Providing space for an exhibition gallery, instructional space, meeting facilities, and a gift shop. Secondary functions may include but are not limited to: oversight of outdoor sculpture installations, art installations in a pocket park, instructional programs for pre-schoolers, summer camps and after school art programs; coordination of advertising space for the local arts community such as local galleries, the Palace Theatre, the Georgetown Symphony Society, Southwestern University, and the Georgetown ISD; and other arts and culture related activities such as small musical performances, when space is available. The Operator shall be allowed to rent the Space Provided or a portion thereof for meetings or other events consistent with the uses outlined above to third parties. Such rentals shall be subject to all applicable Operating Requirements contained in the Agreement and specifically this Exhibit. B. Hours of operation shall be Tuesday through Saturday, 10 a.m. to 6 p.m. and Sunday 1 p.m. to 5 p.m. (44 hours per week). The art center shall be open an additional two evenings per month for a minimum of 2 hours per for a total of 180 hours per month. C. The gallery of the art center shall have between six and ten major shows per year. A reception for the featured artist(s) shall be held with each exhibit. D. Operator shall have a gift shop in the art center and revenue from the shop shall be used to pay operating costs of the art center. E. Operator shall provide art classes for children and adults. Revenue from class registrations shall be used to pay operating costs of the art center. F. Operator shall provide all equipment to operate an art center, which may include: a. Cash register b. Moveable walls for art display c. Flat screen television d. DVD player e. Desktop photocopier f. Stereo g. Coffee pot Attachment number 1 \nPage 8 of 10 Item # F h. Folding chairs and tables i. Information board j. Office supplies k. Art supplies l. Easels m. Safe n. Storage cabinet o. Office furniture p. Gift shop display cases q. Postage r. People counter for main entrance s. Public address system G. Operator will provide all regular housekeeping of the premises, including restrooms, gift shop, instructional space, and gallery space. H. Operator shall include a member from the Arts and Culture Board or the library administration as a non-voting attendee at all meetings of the Operating Board. I. Alcohol Policy. If the Operator sells alcohol, or leases the premises to a sublessee who will serve alcohol, the Operator shall receive prior written approval by the City. Whenever alcohol is served on the premises, the Operator and its lessee are subject to all state and federal laws and regulations, including the Texas Alcoholic Beverage Code. J. Monthly Reports. The Operator shall provide the City with monthly written reports with information that includes: door count, name of exhibit, number of classes and class attendance, number of volunteer hours, monthly revenue and expenses, and attendance of artist receptions and other special events. K. Annual Report. The annual report shall provide totals for the information compiled in monthly reports and a list of milestones for the upcoming yearshall present a strategic plan to the City of Georgetown Arts and Culture Board by the end of the first year of the term of this Agreement. The Georgetown Arts and Culture Board and the Executive Director of Georgetown Arts Works will hold an annual meeting to discuss the annual report. Attachment number 1 \nPage 9 of 10 Item # F EXHIBIT “C” INSURANCE REQUIREMENTS Minimum insurance limits for Operator to provide throughout the operating term of this Operating Agreement, at the Operator’s expense are as follows: Minimum liability for damage claims through public use or arising out of accidents or injuries occurring in or around the described premises, - $100,000.00 per person each occurrence, - $300,000.00 accident each occurrence, - $100,000.00 property damage each occurrence. The Operator also shall obtain insurance to cover the Operator’s property including equipment located in the Space Provided. Attachment number 1 \nPage 10 of 10 Item # F City of Georgetown, Texas August 12, 2014 SUBJECT: Sec. 551.071: Consultation with Attorney - Advice from attorney about pending or contemplated litigation and other matters on which the attorney has a duty to advise the City Council, including agenda items - Discussion regarding a Settlement Agreement between CTSUD, City of Leander, and City of Georgetown related to CTSUD CCN 11590 TCEQ Docket 2014-0437-UCR. - - Bridget Chapman, City Attorney, Jim Briggs, General Manager of Utilities and Glenn Dishong, Utilities Director - Wolf Ranch/Hillwood - Airport Issues - Aero Centex Sec. 551.087: Deliberation Regarding Economic Development Negotiations - Project NAFTA ITEM SUMMARY: FINANCIAL IMPACT: N/A SUBMITTED BY: Cover Memo Item # G