The Northlake Town Council met on Thursday, February 23, 2023.

Below is a recap of the major actions and reports from the meeting.

For a look at the full agenda packet, click here.

To watch the meeting in its entirety, click here.

To view the slide presentation, click here.

Announcement: Town awarded the Government Finance Officers Association's Certificate of Achievement for Excellence in Financial Reporting.

Staff explained that the Town has been working towards meeting the criteria for this award for three years. The Government Finance Officers Association's Certificate of Achievement for Excellence in Financial Reporting is awarded by the Government Finance Officers Association of the United States and Canada, and is the highest form of recognition in government accounting and financial reporting. 

This award acknowledges that the Town promotes transparency in financial reporting, and that it has surpassed the requirements for government accounting and reporting. The Town's audit document was distributed to three different CPAs from across the United States and over 120 criteria were reviewed. Staff explained that these standards are important to the agencies who buy our debt. With better credit ratings the Town achieves significant savings through reduced interest payments. 

The award was received for the FY 2021 Annual Comprehensive Financial Report.

Council congratulated the Finance Department for this prestigious accomplishment.

Briefing: Hillwood Industrial Proposed Development Agreement

Town Staff explained that this project encompasses a 9.6 million square foot development on approximately 884 acres that will be built out over the next 10-20 years. 77 acres are located within the Town limits and 807 acres are within the ETJ. The development will be located east of FM 156, just north of Victory Circle. There will be 18-19 buildings treated as one industrial development park.

Staff reviewed the conditions for the developer agreement. The ETJ will be annexed into the Town limits and the developer must build out all public infrastructure within the property, meeting the requirements of the Town’s Master Plan. They must also provide off-site easements and right-of-way dedications, which include the Fort Worth additional water capacity project and the Trinity River Authority regional wastewater collection project.

As an incentive, the Town will create a 25-year Tax Increment Reinvestment Zone (TIRZ), utilizing half of the tax rate for property improvements to reimburse the developer for building the public infrastructure. The Town will also create a Planned Development (PD) zoning district and create a schedule for the construction of the water and sewer infrastructure. The developer will build the interim pump stations and the Town will build the elevated storage tank. In addition, the Town will waive some of the construction fees, such as 50% of building inspections.

If the construction sales are on site, it will benefit the Town by receiving an additional 2% sales tax. 1% will go to the General Fund for operations and the 1% cumulative from the EDC and CDC will be reimbursed back to the developer. In addition, the Town will reimburse the agricultural property tax.

Staff explained that if the PD is denied and the TIRZ is not created, the Town must disannex the property. The TIRZ reimbursement will be capped at the cost of the public infrastructure, and if the Town cannot provide water and sewer infrastructure according to schedule, the TIRZ will be extended. 

Staff added that the Town will be responsible for the elevated storage tank, the additional water capacity from Fort Worth, and increasing the Catherine Branch Wastewater Treatment Plant capacity. Staff reported that the Town is still in negotiations with the City of Justin to try to partner on a regional line. 

The developer will be responsible for the interim water booster pump, all the infrastructure through the property, a third bridge over Catherine Branch Creek to help with transportation, a paved road over FM 156, and additional traffic signals.

Council requested an estimated total cost of the infrastructure that the Town could expect to be reimbursed from this project. Staff estimated between $45M and $50M in base costs, which does not include financing and inflation.

Staff reviewed other critical infrastructure pieces the Town will need to have in place for the build out. Staff confirmed that the TRA and water improvements projects are on track and underway. 

Briefing: Andale Construction HA5™ Asphalt Treatment

Public Works Staff explained that HA5^TM is an asphalt preservation product that is recommended for preventative maintenance on the roadways at Florence Road south of Robson Ranch, and within Phase 1 of the Highlands development. The project is estimated to cost the Town approximately $208,829.40 with 50% coming out of the street budget and the remainder coming from the General Fund. Staff stated that although this project was not budgeted for this year, it would be an alternative to the Florence Road CIP project, which is currently on hold.

Staff explained that HA5^TM is a high-density mineral bond composed of a blend of ultra-dense, angular-shaped fine aggregates. The combination of specific polymers combat oxidation by deflecting ultra-violet rays. This pavement surface treatment extends the road life by blocking UV light and moisture that could potentially seep into the asphalt. This treatment would lower long-term costs by reducing the effects of cracking.

HA5^TM extends pavement life by preserving the asphalt binder, it reduces cracking and raveling and there is no loose aggregate or grainy residue on the surface after installation.

Staff presented core sample comparison images of Slurry, Chip Seal and HA5^TM taken from the Mojave Desert region. 

Staff reviewed the phasing of the project if approved. With a 24 hour curing time, staff would try to eliminate as much inconvenience to the residents as possible.

Representative reviewed the process of notifying residents.

Staff explained that these particular roadways were selected because the HA5^TM would extend the longevity of the aging roads in this area, ultimately saving the town from having to rebuild, keeping failure at a minimum. Staff confirmed that the City of Hurst has used this product, and that the color of the material will be similar to freshly paved asphalt. 

Staff described the process of applying HA5^TM in comparison to utilizing a slurry seal. 

Representative stated that there is a 5 year warranty on this product.

Briefing: FiscalYear 2022-2023 Digital Budget Book

Staff shared that the 2022-2023 Digital Budget book is now available for residents to view online. This online application has interactive data, charts and graphs, and provides an overview of the Town's strategic plan. It contains summary pages for department funds and capital projects, and it offers additional financial transparency and accountability for the Town in an easily digestible format. 

Staff presented a few example pages of the Digital Budget Book to Council. A Council Goal was reviewed, showing the strategic initiatives that the goal is tied to, along with some of the data, performance metrics and a detailed overview. 

Staff described the Budget Brief page as a high-level budget overview and explained that this is where residents can get a quick look at what the Town is doing with taxpayer dollars, including funds, grants, staffing and capital projects.

Staff reviewed the General Fund page, explaining that the charts give residents an easy way to see how funds are tracking. They can view revenues and expenditures by category and department, as well as view line item breakdowns within different categories.

Staff stated that a new addition to this year's digital budget book is the Capital Improvement Program. This feature gives residents an easy way to look through the projects by type, view funding and a breakdown of the costs associated with Town projects.

Residents can view the 2023 Budget Book by clicking here.

Public Input:

To view public input, please go to Item 3 of the Town Council meeting video here.

Consent Items:

A. Consider approval of the Town Council Meeting Minutes for February 9, 2023.

B. Consider a Resolution of the Town of Northlake, Texas, approving and authorizing the Town Manager to execute an Interlocal Agreement with Denton County Auditor and Denton County Sheriff's Office to provide maintenance and operational support for dispatch software on Police in-car computers.

C. Consider a Resolution of the Town of Northlake, Texas, approving an Escrow Agreement and a Cost Sharing Agreement between the Town of Northlake and Northlake Municipal Management District No. 1 (MMD No.1).

All consent items approved by Council.

Action Items:

A. Consider a Resolution of the Town of Northlake, Texas, approving and authorizing the Town Manager to execute an agreement/contract with Halff Associates, for Preliminary Design and Construction Plans of the Catherine Branch Wastewater Treatment Plant Expansion, in an amount not to exceed $416,900.

Staff explained this resolution expedites the wastewater treatment plant expansion and that funding for this project comes from the partnership with developers of the Foster and Buchanan tract. 

Approved by Council.

B. Consider a Resolution of the Town of Northlake, Texas, approving and authorizing the Town Manager to execute a development agreement with Petrus Investment, L.P., for the development of the proposed Hillwood Industrial Park Concept.

Council explained that the Town can either pay for the infrastructure or require the developer to pay for it. The infrastructure that the developer will build will not only serve their project, but also serve the properties around it. Council explained that the TIRZ incentivizes the developer to attract profitable companies in order to pay off their costs sooner, and added that this model works because it puts all the risk on the developer. 

Approved by Council.

C. Consider a Resolution of the Town of Northlake, Texas, appointing a member to the Comprehensive Land Use Plan Steering Committee.

Staff stated that Thomas Lott from the Board of Adjustments has been recommended to the Comprehensive Land Use Plan Steering Committee. 

Approved by Council.

D. Consider a Resolution of the Town of Northlake, Texas, approving and authorizing the Town Manager to execute an agreement/contract with Retail Street Advisors, for a feasibility study to develop a mixed use master plan for the Chadwick Farms commercial frontage referred to as Chadwick Commons, in an amount not to exceed $75,000; and approving the Northlake Community Development Corporation Board of Directors and Northlake Economic Development Corporation Board of Directors recommendation to fund 50% of the cost ($18,750 from each board respectively).

Staff explained that the developer feels that in order to move forward with a retail development in the Chadwick Commons, they need to include multi-family housing in the project. The Town would prefer a heavy commercial presence at this location. The developers have requested a feasibility study.

Council expressed the importance of the study to prove that retail is viable and to determine what types of retail businesses could potentially be attracted to this location. 

Staff stated that this study isn’t entirely about the sports venue, but that the study will benefit the Town even if the sports facility is not approved by voters in May. 

Staff confirmed that the study will evaluate the whole market. 

Approved by Council.

The Town Council convened into Executive Session with no anticipated action items.

Meeting was adjourned.

Associate Pastor Brandon McClure from the Tribes Church opened the Town Council meeting in prayer.