June 24, 2019 REGULAR MEETING OF THE CITY COUNCIL OF THE
CITY OF NEDERLAND
4:30 p.m. 7urse 24, 2019
1_ MEETING
The meeting was called to order at 4:30 p.m. by Mayor Albanese at the Nederland City
Office Building, 207 N. 12`^ Street, Nederland, Texas. See attached for quorum.
The following statement was posted:
"1.11125 DANT TO SECTION 30.07, PENAL CODE (TRESPASS BY LICENSE HOLDER
WITH AN OPENLY CARRIED HANDGUN), A PERSON LICENSED UNDER
SUBCHAPTER H, CHAPTER 411, GOVERNMENT CODE (HANDGUN LICENSING
LAW), MAY NOT ENTER THIS PROPERTY WITH A HANDGUN THAT IS CARRIED
OPENLY."
2_ INVOCATION AND PLEDGE OF ALLEGIANCE
The invocation and pledge of allegiance were led by Gay Ferguson, City Clerk.
3. CONSENT AGENDA - All consent agenda items listed are considered to be routine by
the City Council and will be enacted by one motion. There will be no separate
discussion of these items unless a councilmember so requests, in which event the item
will be removed from the Consent Agenda and considered separately.
A motion was made by Councilmember Austin and seconded by Councilmember Horner
to approve the Consent Agenda Items a-e as presented. MOTION CARRIED_
Ayes: Mayor Albanese, Councilmembers Austin, Neal, Hollier, and Root.
Noes: None.
a. Minutes - June 10, 2019 regular meeting and May 8, 2019 special meeting
b. May 2019 Departmental Reports
c. Tax Assessor Collection Report - May 2019
d. Consider action regarding a request from Tommy Olesky to utilize Doornbos Park
and the Nederland Recreation Center for a cross country meet and the waiver of
associated fees.
e. Consider action regarding a request from the Nederland Independent School
District to utilize the Nederland Swimming Pool for a party for band students.
4. REGULAR AGENDA
a. A motion was made by Councilmember Horner and seconded by Mayor Pro Tem
Neal to approve a proclamation recognizing Damon West. MOTION CARRIED.
Ayes: Mayor Albanese, Councilmembers Austin, Neal, Hollier, and Root.
Noes: None_
Minutes Continued, June 24, 2019
b. A motion was made by Councilmember Austin and seconded by Mayor Pro Tern
Neal to approve a proclamation recognizing Brandon Do. MOTION CARRIED.
Ayes: Mayor Albanese, Councilmembers Austin, Neal, Hollier, and Root.
Noes: None.
c. Chris Duque, City Manager, stated a request was made by Rebecca Ward to be
placed on the agenda to discuss sewer issues at her home located at 3112
Lawrence Drive. She is unable to flush toilets during heavy rain events, but no
sewer backup has occurred. Mr. Duque said Ms. Ward was unable to come to the
meeting, but staff has been working with her on these issues and will continue to
do so. No action was necessary.
d. A motion was made by Councilmember Hollier and seconded by Councilmember
Root to approve a specific use permit for property located at 1815 Nederland
Avenue, with conditions established by the Building Official and the Planning &
Zoning Commission, for an addition to the existing non-conforming automobile
repair shop located in a C-2 (neighborhood retail) zoning district. MOTION
CARRIED.
Ayes: Mayor Albanese, Councilmembers Austin, Neal, Hollier, and Root.
Noes: None.
e. Appointments:
i. A motion was made by Mayor Pro Tern Neal and seconded by Councilmember
Austin to re-appoint Steve Gentile, Ron Minaldi, Boyd Meier and Danny
Delahoussaye to the Construction Appeals Board for terms ending June 30, 2021.
MOTION CARRIED.
Ayes: Mayor Albanese, Councilmembers Austin, Neal, Hollier, and Root.
Noes: None.
ii. A motion was made by Councilmember Hollier and seconded by Councilmember
Root to re-appoint Kirk Gillespie to the Zoning Board of Appeals and Board of
Appeals for term ending June 30, 2023. MOTION CARRIED.
Ayes: Mayor Albanese, Councilmembers Austin, Neal, Hollier, and Root.
Noes: None.
f. A motion was made by Mayor Pro Tern Neal and seconded by Councilmember
Austin to approve the renewal of the City of Nederland Premium Conversion and
Health Saving Account Contribution Plan. MOTION CARRIED.
Ayes: Mayor Albanese, Councilmembers Austin, Neal, Hollier, and Root.
Noes: None.
g. A motion was made by Councilmember Austin and seconded by Councilmember
Hollier to approve Ordinance No. 2019-19, approving the rates proposed by
CenterPoint Energy Resources Corp. dba CenterPoint Energy Entex and CenterPoint
Energy Texas Gas Company's Gas Reliability Infrastructure Program filing made on
March 28, 2019. MOTION CARRIED.
Ayes: Mayor Albanese, Councilmembers Austin, Neal, Hollier, and Root.
Noes: None.
h. A motion was made by Mayor Pro Tern Neal and seconded by Councilmember
Hollier to approve Ordinance No. 2019-20, denying the statement of intent of Texas
Service Company to increase rates to recover Hurricane Harvey response costs
with the Gulf Coast service area. MOTION CARRIED.
Minutes Continued, June 24, 2019
Ayes: Mayor Albanese, Councilmembers Austin, Neal, Hollier, and Root.
Noes: None.
i. A motion was made by Mayor Pro Tern Neal and seconded by Councilmember
Hollier to approve a bid for debris monitoring services to True North Emergency
Management, LLC. MOTION CARRIED.
Ayes: Mayor Albanese, Councilmembers Austin, Neal, Hollier, and Root.
Noes: None.
5. EXECUTIVE SESSION
The regular meeting was recessed at 5:09 p.m. by Mayor Albanese for the purpose of
conducting an Executive Session as authorized by Texas Government Code, Chapter
551.071, Consultation with City Attorney; and Chapter 551.074, Personnel - Annual
Evaluation, City Manager, Christopher Duque.
6. RECONVENE
The regular meeting was reconvened at 5:45 p.m. by Mayor Albanese.
7. APPOINTMENTS
A motion was made by Councilmember Austin and seconded by Mayor Pro Tern Neal
to approve the employment agreement between the City of Nederland and Nederland
City Manager Christopher Duque.. MOTION CARRIED.
Ayes: Mayor Albanese, Councilmembers Austin, Neal, Hollier, and Root.
Noes: None.
8. COMMUNICATION
a. Miscellaneous:
• Solid Waste is still working overtime picking up debris
• 4th of July Fireworks Extravaganza coming up next week
9. ADJOURN
There being no further business a motion was made by Mayor Pro Tern Neal and
seconded by Councilmeber Austin to adjourn the meeting at 5:52 p.m. MOTION
CARRIED.
Ayes: Mayor Albanese, Councilmembers Austin, Neal, Hollier, and Root.
Noes: None.
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Don Albanese, Mayor
City of Nederland, Texas
Minutes Continued, June 24, 2019
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CITY OF NEDERLAND
COUNCIL MEETING ATTENDANCE SHEET
NAME TITLE PRESENT ABSENT
Don Albanese Mayor V
Talmadge Austin Council Member—Ward I
Billy Neal Council Member—Ward II
Emmett Hollier Council Member—Ward III
Sylvia Root Council Member—Ward IV
Chris Duque City Manager
Gay Ferguson City Clerk
Jesse Branick City Attorney
Cheryl Dowden Director of Finance
Gary Porter Police Chief V
Terry Morton Fire Chief
Robert Woods Director of Public Works Vs/
George Wheeler Building Official
Victoria Klehn Librarian
Holly Guidry Human Resources Director
Joni Underwood Executive Secretary
Angela Fanette Parks Director V
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Do Albanese, ayor
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June 24, 2019'
Date
ALLISON NATHAN GETZ .w ';;= �, 'a TERRY WUENSCHEL
TAX ASSESSOR-COLLECTOR * CHIEF DEPUTY
TRXNS
STATE OF TEXAS
COUNTY OF JEFFERSON
I, Allison Nathan Getz, P.C.C., the Tax Assessor-Collector of Jefferson County, Texas and
also, by contract or statute, the Tax Assessor-Collector for CITY OF NEDERLAND, affirm, under
oath, that this amount $109,739.95, represents all taxes collected for CITY OF NEDERLAND
during the month of May 2019.
Vj
Allison Nathan Getz, P.C.C.
JEFFERSON COUNTY COURTHOUSE•P.O.BOX 2112 • BEAUMONT,TEXAS 77704-2112
PHONE: (409)835-8516 • FAX: (409)835-8589
ORDINANCE NO. 2019-19
AN ORDINANCE OF THE CITY COUNCIL OF THE
CITY OF NEDERLAND, TEXAS DENYING THE
STATEMENT OF INTENT OF TEXAS GAS
SERVICE COMPANY, A DIVISION OF ONE GAS
INC., TO INCREASE RATES TO RECOVER
HURRICANE HARVEY RESPONSE COSTS
WITHIN THE GULF COAST SERVICE AREA;
REQUIRING REIMBURSEMENT OF MUNICIPAL
RATE CASE EXPENSES; FINDING THAT THE
MEETING COMPLIES WITH THE OPEN
MEETINGS ACT; AND DECLARING AN
EFFECTIVE DATE
WHEREAS, on or about April 16, 2019, Texas Gas Service Company ("TGS" or
"Company")filed a Statement of Intent with the City of Nederland ("City")and with the
Texas Railroad Commission to implement a Hurricane Harvey Surcharge in the Gulf Coast
Service Area to collect$357,194 per year for two years,with an effective date of May 21,
2019;and
WHEREAS, City has exclusive original jurisdiction over the rates, operations and
services of a gas utility in areas in the municipality pursuant to the Gas Utility Regulatory
Act("GURA")Texas Utilities Code§103.001;and
WHEREAS, in order to exercise its exclusive jurisdiction and properly review the
requested rates, it was necessary for the City to suspend TGS's proposed effective date
for 90 days until August 19,2019;and
WHEREAS,the City retained the Lawton Firm, P.C. to review TGS's rate request
and make necessary rate recommendations to the City;and
WHEREAS,GURA§103.021 requires the City to"make reasonable determination
of rate base,expenses,investment,and rate of return in the municipality"when making
a rate determination;and
WHEREAS,the Lawton Law Firm recommended that the City deny the requested
Statement of Intent to implement Hurricane Harvey Surcharge. The Company requests
piecemeal rate recovery of operating expenses related to its response to Hurricane
Harvey and does not include sufficient evidence of the Company's rate base, expenses,
investment,or rate of return in the municipality as required by GURA. The City is unable
to determine that the requested recovery is just, reasonable,and in the public interest,
therefore the City lacks jurisdiction to grant the requested rate relief.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
NEDERLAND,TEXAS,THAT:
Section 1. The statements set out in the preamble to this ordinance are
adopted herein as if set forth herein.
Section 2. TGS's proposed Hurricane Harvey Surcharge is denied.
Section 3. The Company shall maintain its current rates under its currently
approved rate schedules.
Section 4. The Company shall reimburse the City's rate case expenses, as
provided by GURA§103.022(a).
Section 5. The meeting at which this ordinance was approved was in all things
conducted in strict compliance with the Texas Open Meetings Act,
Texas Government Code,Chapter 551.
Section 6. This ordinance shall become effective from and after its passage.
PASSED AND APPROVED this 24TH day of JUNE,2019.
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_!—:V =1. Don Albanese,Mayor
=v: 4 'tn= City of Nederland,Texas
- / AL_G1
ay Ferg A.n,City Clerk
City of Nederland,Texas
APPROVED AS TO FORM AND LEGALITY:
,.,
Jess• Brani ity Attorney
Ci of N z erland,Texas
ORDINANCE NO.2019-20
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
NEDERLAND, TEXAS APPROVING THE RATES PROPOSED BY
CENTERPOINT ENERGY RESOURCES CORP., d/b/a
CENTERPOINT ENERGY ENTEX AND CENTERPOINT ENERGY
TEXAS GAS ("CENTERPOINT" OR "COMPANY") COMPANY'S
GAS RELIABILITY INFRASTRUCTURE PROGRAM("GRIP")FILING
MADE WITH THE CITY ON MARCH 28,2019;FINDING THAT THE
MEETING COMPLIES WITH THE OPEN MEETINGS ACT;MAKING
OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT,
AND DECLARING AN EFFECTIVE DATE
WHEREAS, on or about March 28, 2019, CenterPoint Energy Resources Corp.,
d/b/a CenterPoint Energy Entex and CenterPoint Energy Texas Gas ("CenterPoint" or
"Company")filed an Annual GRIP adjustment for the Beaumont/East Texas Service Area
with the City of Nederland ("City") to increase gas rates in the Beaumont/East Texas
Service Area pursuant to Gas Utility Regulatory Act("GURA"),TEX.UTIL.CODE§104.301;
and
WHEREAS, City has exclusive original jurisdiction over the rates, operations and
services of a gas utility in areas in the municipality pursuant to GURA§103.001;and
WHEREAS,GURA§104.301 requires a streamlined process for the recovery of the
costs of incremental investment by a gas utility;and
WHEREAS,the Company proposed an effective date of May 27,2019,for the rate
increase;and
WHEREAS,the City suspended the proposed May 27,2019 effective date until July
10,2019;and
WHEREAS,the proposed interim rate adjustment would increase residential rates
by$1.56 per customer per month;and
WHEREAS,the City's consultant has reviewed the GRIP filing and has concluded
that the proposed GRIP rates are correctly calculated;and
WHEREAS,the reasonableness of the Company's investment will be reviewed in
CenterPoint's subsequent base rate case where all costs included in CenterPoint's GRIP
filing will be subject to refund.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
NEDERLAND,TEXAS,THAT:
Section 1. The statement and findings set out in the preamble to this
ordinance are hereby in all things approved and adopted.
Section 2. The Company's proposed GRIP rate increase is approved effective
July 10,2019.
Section 3. The meeting at which the ordinance was approved was in all things
conducted in strict compliance with the Texas Open Meetings Act,
Texas Government Code,Chapter 551.
Section 4. This Ordinance shall become effective from and after its passage.
PASSED AND APPROVED this 24TH day of JUNE,2019.
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Pay Ferg on, ity Cler
City of Nederland,
APPROVED AS TO FORM AND LEGALITY:
//' /fes/NC—
Jess: .'y Attorney
City . .,ederland,Texas