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09-24-1996 (City Council) Agenda Packet AGENDA WYLIE CITY COUNCIL Wylie Municipal Complex September 24, 1996 7:00 p.m. CALL TO ORDER INVOCATION - Rev. Mona Bailey, Cornith Presbyterian Church PLEDGE OF ALLEGIANCE PRESENTATION Presentation of Plaque to Claude Causey, Wylie Fire Department ACTION ITEMS 1. Consider and Act Upon Approving a Resolution Declaring the Week of September 30- October 4, 1996 as "Wylie Pirate Spirit Week" 2. Consider and Act Upon Approving a Resolution Declaring the Week of October 6 - 12, 1996 as "Fire Prevention Week" 3. Consider and Act Upon Awarding A Contract for Audit Services for Fiscal Year 1995- 1996 to Pattillo, Brown & Hill, L.L.P. 4. Hold Public Hearing, Consider and Act Upon Approving an Ordinance Adopting a Budget and Appropriating Resources for Fiscal Year 1997, Beginning October 1, 1996 and Ending September 30, 1997 5. Consider and Act Upon Approving an Ordinance Fixing the Tax Rate/Levy for 1996 and for the Fiscal Year 1996-1997 6. Second Public Hearing for the Annexation of 47.21 Acres Located in the Richard Newman Survey, Abstract No. 1072 in Dallas County, Texas and owned by C. J. and Hortense Thomsen 7. Consider and Act Upon Approving an Ordinance Annexing 47.21 Acres Located in the Richard Newman Survey, Abstract No. 1072 in Dallas County, Texas and owned by C. J. and Hortense Thomsen STAFF REPORTS CITIZEN PARTICIPATION EXECUTIVE SESSION 8. Hold Executive Session Under 551.075 Conference With Employees To Receive Information and Question Employees Regarding Pending Litigation, City of Parker v. City of Wylie, Cause No. 219.458.96, District Court of Collin County, Texas 219 Judicial District Posted on this the 20th day of September at 5:00 p.m. THE WYLIE MUNICIPAL COMPLEX IS WHEELCHAIR ACCESSIBLE. SIGN INTERPRETATION OR OTHER SPECIAL ASSISTANCE FOR DISABLED ATTENDEES MUST BE REQUESTED 48 HOURS IN ADVANCE BY CONTACTING THE CITY SECRETARY'S OFFICE AT 442-8100 OR TDD 442-8170 wylie City Council #1 Agenda Communication for September 24, 1996 Resolution Declaring the Week of Sept. 30-Oct. 4, 1996 • Pirate Spirit Week Issue Consider and act upon approving a resolution declaring the week of September 30-October 4, 1996 as "Wylie Pirate Spirit Week". Background The week of September 30 -October 4, 1996 is the week of Homecoming at Wylie High School. The Wylie I.S.D. has requested the City of Wylie to declare this week as "Pirate Spirit Week" with a resolution which sets out some of the homecoming activities. Financial Consideration N/A Legal Consideration N/A Staff Recommendation Staff recommends approval of the resolution. Attachments Resolution .VPIALVvX- (11 7-itio\L 6er-0/4 Prepared By Rev. ed by Fin ce City Manager Approval RESOLUTION NO. A RESOLUTION OF THE CITY OF WYLIE, TEXAS DECLARING THE WEEK OF SEPTEMBER 30 - OCTOBER 4, 1996 AS WYLIE PIRATE WEEK Whereas, the Wylie Homecoming Week has been established by the Wylie Independent School District as the week of September 30 - October 4, 1996, and Whereas, the City of Wylie supports the Wylie I.S.D.'s youth and teen programs, and Whereas, the Homecoming dance is held on October 4, 1996 and the Bonfire is held on September 30th and are sure to encourage school spirit as well as community pride, and Whereas, the official mascot of the Wylie I.S.D. is the "Pirate". Now, therefore be it resolved by the City of Council of the City of Wylie, Texas that the week of September 30 - October 4, 1996 is hereby declared: WYLIE PIRATE SPIRIT WEEK and all adults and students are encouraged to have a fun and safe homecoming! DULY PASSED AND APPROVED on this the 24th day of September, 1996. Jim Swartz, Mayor Susan Shuler, City Secretary WylieIII City c 111 ouncil #2 agenda Communication for September 24. 1996 ResolutIN SI ion Declaring the Week of October 6-12 as Fire Prevention Week Issue Consider and act upon approving a resolution declaring the week of October 6-12 as Fire Prevention Week. Background Fire Prevention Week has not been statistically documented however, experience has taught us that education is the best way safeguard our children. Even a very young child can be taught the principles of fire safety. Throughout Fire Prevention Week our goal is to reach as many children as possible to teach these fire prevention principles, how to survive in a fire and methods of escape. A child with this knowledge is empowered and quickly learns that he has an important role in fire prevention. The Fire Department has scheduled many events during Fire Prevention Week. The popular poster contest event in which third and fourth grade students complete posters representing a fire prevention theme will be held again and judged by City officials. This year's theme is "Test Your Smoke Dector". The first, second and third place winners from each grade will be featured on a morning news program during the week of October 6-12, 1996. Last year Channel 5 featured the posters, but to date no definite confirmation has been set. Other news stations have been approached as a possibility to air the posters on their programs. The winning posters will be displayed at City Hall during the month of October. Fire prevention will be taught in the schools that week as well, the activities are as follows: Preschoolers will be visited by a fire engine. They will be taught to recognize firefighters as well as learn basic rules for surviving in a fire. Kindergarten and first graders will tour a fire engine, receive fire prevention literature, see "Sparky, the Fire Dog", watch a puppet show, see a firefighter in bunker gear, learn about 911 and see a video. Second and third graders will see a video, learn about 911, receive coloring books, tour a fire engine and see "Sparky". Fourth graders will watch a video, learn stop, drop and roll, learn about the 911 system, tour a fire engine, and see a firefighter in bunker gear. All grade levels will see a demonstration by "Rhoadie" the City of Plano's arson detection dog. The entire month of October will include home inspections, upon request, to help occupants identify dangers in the home. Fire station tours are being offered and an "Open House" is scheduled for October 12th for children and adults to get a closer look at the fire equipment and enjoy refreshments with the Fire Department personnel. Financial Consideration Fire prevention week and its educational materials are funded by donations from local merchants. Each year the National Safety Council solicits funds on behalf of the Wylie Fire Department to buy coloring books, puzzles, stickers and other educational materials. Last year the department was able to purchase Sparky the Fire Dog and the puppets for the puppet show with these same funds. Legal Consideration N/A Staff Recommendation Staff recommends approval of this resolution. Attachment Resolution Fire Prevention Week Activities and Schedules Prepared By Revi d by Fi nce City Manager Approval RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WYLIE, TEXAS, DECLARING THE WEEK OF OCTOBER 6-12, 1996 AS FIRE PREVENTION WEEK IN WYLIE, ENCOURAGING THE COMMUNITY TO PARTICIPATE IN FIRE PREVENTION ACTIVITIES AND ENDORSING THE FIRE PREVENTION ACTIVITIES TAKING PLACE WHEREAS, October 6-12, 1996 will be designated as Fire Prevention Week in recognition of the need for fire safety and prevention training in the community, and WHEREAS, Fire Departments nationwide are providing and promoting fire prevention and fire safety activities, and WHEREAS, the Wylie Fire Department will be providing fire safety and prevention training in all grade levels as well as in the community during the week of October 6-12, 1996, and WHEREAS, some of these activities will include a poster contest, literature distribution, home inspection, fire escape & rescue demonstrations, an Open House at the Wylie Fire Station, and a fire safety and prevention video presentation, and WHEREAS, the Wylie City Council supports and endorses these activities. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF WYLIE, THAT: SECTION 1. The week of October 6-12, 1996 is hereby declared Fire Prevention Week and the month of October is hereby declared: Fire Prevention and Safety Month SECTION 2. That all citizens and residents are hereby encouraged to participate in fire prevention and safety activities and awareness programs available during Fire Prevention Week. SECTION 3. That the City Council of the City of Wylie does hereby endorse and support all activities proposed for Fire Prevention Week. DULY PASSED AND APPROVED on this the 24th day of September, 1996. Jim Swartz, Mayor Susan Shuler, City Secretary WYLIE FIRE DEPARTMENT FIRE PREVENTION POSTER CONTEST BEGINNING DATE: SEPTEMBER 23, 1996 COMPLETION DATE: OCTOBER 2, 1996 JUDGING : OCTOBER 2, 1996 . RULES: THE POSTERS MUST BE NO BIGGER THAN 11" X 14" AND MUST BE ON A FIRE PREVENTION SUBJECT. THE THEME FOR THIS YEAR IS "TEST YOUR SMOKE DETECTOR." THE FOLLOWING INFORMATION MUST BE INCLUDED ON THE BACK OF EACH POSTER. FULL NAME: SCHOOL: GRADE: AGE: THE POSTER CONTEST IS FOR THIRD AND FOURTH GRADE STUDENTS. THE FIRST, SECOND, AND THIRD PLACE WINNERS FROM EACH GRADE WILL HAVE THEIR POSTERS FEATURED ON A MORNING NEWS PROGRAM. PLEASE ALLOW THE STUDENTS TO TAKE THE POSTERS HOME TO WORK ON THEM. WYLIE FIRE DEPARTMENT FIRE PREVENTION WEEK OCTOBER 6-12, 1996 SUMMIT DAYCARE MONDAY - OCTOBER 7, 1996 35 KIDS BIRMINGHAM ELEMENTARY TUESDAY- OCTOBER 8, 1996 PRE-K AND KINDERGARTEN= 132 1ST GRADE= 132 2ND GRADE = 132 3RD GRADE = 132 4TH GRADE= 132 TOTAL- 670 KIDS HARTMAN ELEMENTARY WEDNESDAY- OCTOBER 9, 1996 PRE K AND KINDERGARTEN = 103 1ST GRADE= 72 2ND GRADE = 91 3RD GRADE = 70 4TH GRADE= 71 TOTAL- 397 KIDS AKIN ELEMENTARY THURSDAY- OCTOBER 10, 1996 KINDERGARTEN= 106 1ST GRADE = 112 2ND GRADE = 100 3RD GRADE= 117 4TH GRADE = 103 TOTAL- 528 KIDS FRIDAY- OCTOBER 11, 1996 WE WILL SCHEDULE DAYCARES AS THEY CALL IN OPEN HOUSE AT THE FIRE STATION. SATURDAY- OCTOBER 12, 1996 WYLIE FIRE DEPARTMENT FIRE PREVENTION WEEK ACTIVITIES PRESCHOOLERS-WILL BE VISITED BY A FIRE ENGINE AND ENCOURAGED TO RECOGNIZE FIREFIGHTERS, LEARN BASIC RULES FOR SURVIVING IN A FIRE. KINDERGARTEN AND FIRST GRADE- TOUR A FIRE ENGINE, RECEIVE FIRE PREVENTION LITERATURE, SEE"SPARKY", WATCH A PUPPET SHOW, SEE A FIREFIGHTER IN BUNKER GEAR, LEARN ABOUT 911, AND SEE A VIDEO. SECOND AND THIRD GRADE- SEE A VIDEO, LEARN ABOUT 911, RECEIVE COLORING BOOKS, TOUR A FIRE ENGINE, AND SEE"SPARKY". 4TH GRADE -WATCH A VIDEO, LEARN STOP,DROP AND ROLL, LEARN ABOUT THE 911 SYSTEM, TOUR A FIRE ENGINE, AND SEE A FIREFIGHTER IN BUNKER GEAR ALL GRADE LEVELS WILL SEE A DEMONSTRATION BY "RHOADIE"THE CITY OF PLANO'S ARSON DETECTION DOG. HARTMAN ELEMENTARY FIRE PREVENTION DAY SCHEDULE WEDNESDAY- OCTOBER 9, 1996 8:00 -9:00 2ND GRADE 9:00 - 10:00 PRE-K AND KINDERGARTEN 10:00 - 11:00 4TH GRADE 11:00 - 12:00 LUNCH 12:00 - 1:00 1ST GRADE 1:00 - 2:00 3RD GRADE 2:00 - 3:00 AFTERNOON PRE-K AKIN ELEMENTARY FIRE PREVENTION DAY SCHEDULE THURSDAY- OCTOBER 10, 1996 8:00 - 9:00 KINDERGARTEN 9:00 - 10:00 1ST GRADE 10:00 - 11:00 3RD AND 4TH GRADE (GOVE POD) 11:00 - 12:30 LUNCH 12:30 - 1:30 2ND GRADE 1:30 - 2:30 3RD AND 4TH GRADE (KELLY POD) BIRMINGHAM ELEMENTARY FIRE PREVENTION DAY SCHEDULE TUESDAY- OCTOBER 8, 1996 8:10 -9:10 KINDERGARTEN 9:20 - 10:20 2ND GRADE 10:30 - 11:30 3RD GRADE 11:30 - 12:10 LUNCH 12:15 - 1:15 1ST GRADE 1:30 - 2:30 4THGRADE Wylie City Council #3 Agenda Communication for September 24, 1996 Contract for Audit Services for Fiscal Year 1995-1996 Issue Consider and act upon awarding a contract for audit services to Pattillo, Brown & Hill, L.L.P. for Fiscal Year 1995-96. Background An audit involves the examination of the City's general purpose financial statements in order to provide reasonable assurance that the City's financial condition is accurately stated. The audit also addresses the City's internal control structure and compliance with various policies, laws and regulations. One of the products of the audit is the Comprehensive Annual Financial Report (CAFR). The purpose of the CAFR is to provide the City Council, management, staff, bond rating agencies, and the public a detailed source of information reflecting the City's financial condition. Included in the CAFR are the following sections: Introductory, Financial, and Statistical. The "Independent Auditors' Report" is the statement of opinion regarding the Financial Section of the CAFR. The other CAFR sections are provided as supplemental information for interested parties. Another management tool resulting from an audit is the management letter. The management letter is a report from the auditors that highlights major items of interest to Council, citizens, and management. The contents of the past five year's management letters are included in summarized form as an attachment to this communication. The comments (see Attachment D) from a management letter may result in improvements such as the change in the "Fund Accounting" procedures as shown in fiscal years 1990-91 through 1992-93. The comments may also be reminders such as the "Investments" comment in fiscal year 1994-95. The City is required to engage independent outside auditors annually (see "Legal Requirements"), In 1991 a Request for Proposal (RFP) for audit services was completed and the audit firm of Rutledge Crain & Company, PC was selected. Rutledge Crain & Company, PC has audited the past five fiscal years, beginning with Fiscal Year 1990-91. It is recommended that municipalities schedule audit firms on a three to five year rotation. Therefore, a Request for Proposal (RFP) was issued for the selection of a new audit firm. Proposals were received from four audit firms on August 26, 1996. A selection committee, comprised of four staff members from the City Manager and Finance departments, was established. After the technical proposals were evaluated by the selection committee, the sealed dollar cost bids were opened and added to the technical evaluation results. All four firms were interviewed by the selection committee on September 16, 1996. After careful deliberation, the selection committee has chosen to recommend the audit firm of Pattillo, Brown & Hill, L.L.P. to perform the audit for September 30, 1996, with the option of auditing each of the four subsequent fiscal years. Legal Considerations Section 13 of the City Charter requires an annual outside audit of the City's financial statements. In addition, the Federal Government requires a single audit of all the City's federal grants. The same audit firm will be completing the annual audits required for the Wylie Economic Development Corporation (WEDC) and the "4B" Parks and Recreation Facilities Development Corporation. Financial Considerations The estimated cost of audit services for Fiscal Year 1995-1996 is $14,195 as represented in the proposal (includes WEDC estimate of$995). The 1996-97 Finance Department budget includes $17,000 for audit fees. The Fiscal Year 1994-95 audit cost was $14,500. The invoiced fee will be based on actual time spent on the audit plus expenses. Significant additional costs must be approved by the City in advance. Staff Recommendations The staff recommends the City Council approve the City Manager to engage in a contract for audit services as proposed by Pattillo, Brown & Hill, L.L.P. for Fiscal Year 1995-96. Attachments Attachment A - Dollar & Technical Proposals from Pattillo, Brown & Hill, L.L.P. Attachment B - Engagement Letter from Pattillo, Brown & Hill, L.L.P. Attachment C - Summary of Audit Cost Estimates Submitted by Audit Firms Attachment D - Summary Comparison of Audit Management Letters la'AL k‘i „u2k-e.W. trnAiks2,. C.e&A;A• Prepared by Revi ed by Fina ce City Manager Approval Attachment A SEALED DOLLAR COST FEE ESTIMATE PROPOSAL FOR CITY OF 'MEW, TEXAS FOR PROFESSIONAL AUDITING SERVICES FOR THE YEAR ENDED SEPTEMBER 30, 1996 Attachment A DOLLAR COST PROPOSAL Name of Firm: Pattillo, Brown & Hill, L.L.P. Certification that the person signing this proposal is entitled to represent the Firm, engaged to submit the bid, and authorized to sign a contract with the City of Wylie, Texas. So Certified Name: James Curry, CPA, CGFM Title: Audit Manager Signature: , Total all-inclusive maximum price for the 1996 engagement: $14,195 Total all-inclusive maximum price for subsequent engagements for the next four years: 1997 $14,195 1998 $14,195 1999 $14,195 2000 $14,195 Attachment A City of Wylie Request for Proposals Annual Financial Audit APPENDIX F Part 1 SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE 1996 FINANCIAL STATEMENTS Standard Quoted Hourly Hourly Hours Rates Rates Total Partners 15 $ 110 $ 75 $ 1,125 Managers 40 $ 60 $ 50 $ 2.000 Supervisory staff 115 $ 40 $ 35 $ 4.025 Staff 175 $ 30 $ 26 $ 4,550 Other (specify): $ $ $ - Subtotal $ 11,700 Total for services described in Section II E of the RFP (detail on subsequent pages) $ 995 Out-of-pocket expenses: Meals and lodging $ 1.000 Transportation $ 500 Other (specify): $ - Total all-inclusive maximum price for 1996 audit $ 14,195 Note: The rate quoted should not be presented as a general percentage of the standard hourly rate or as a gross deduction from the total all-inclusive maximum price. Attachment A City-of Wylie Request for Proposals Annual Financial Audit APPENDIX F Part 2 SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE 1996 FINANCIAL STATEMENTS COMBINING SCHEDULE - ALL SERVICES DESCRIBED IN RFP SECTION II E Nature of Service to be Provided Total Price Schedule Investment policy and Public Funds Investment Act Compliance $ 0 Appendix F Part 3 Single Audit for Federal Financial Assistance 0 Appendix F Part 3 Wylie Economic Develop Corporation (WEDC) Annual Report 995 Appendix F Part 3 NOTE: The investment policy and Public Funds Investment Act Compliance and Single Audit for Federal Financial Assistance are integral parts of the Audit of the 1996 Financial Statements and are not billed as separate engagements. Attachment A City of Wylie Request for Proposals Annual Financial Audit APPENDIX F Part 3 SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE 1996 FINANCIAL STATEMENTS SUPPORTING SCHEDULE - REPORT ON COMPLIANCE WITH INVESTMENT POLICY AND PUBLIC FUNDS INVESTMENT ACT Standard Quoted Hourly Hourly Hours Rates Rates Total Partners $ $ $ Managers $ $ $ Supervisory staff $ $ $ Staff $ $ $ Other (specify): $ $ $ Subtotal $ Out-of-pocket expenses: Meals and lodging $ Transportation $ Other (specify): $ Total price for report on compliance with Investment Policy and Public Funds Investment Act. $ 0 Note: The rate quoted should not be presented as a general percentage of the standard hourly rate or as a gross deduction from the total all-inclusive maximum price. Attachment A City of Wylie Request for Proposals Annual Financial Audit APPENDIX F Part 3 SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE 1996 FINANCIAL STATEMENTS SUPPORTING SCHEDULE FOR SINGLE AUDIT - FEDERAL FINANCIAL ASSISTANCE Standard Quoted Hourly Hourly Hours Rates Rates Total Partners $ $ $ Managers $ $ $ Supervisory staff $ $ $ Staff $ $ $ Other (specify): $ $ $ Subtotal $ Out-of-pocket expenses: Meals and lodging $ Transportation $ Other (specify): $ Total price for Single Audit - Federal Financial Assistance $ 0 Note: The rate quoted should not be presented as a general percentage of the standard hourly rate or as a gross deduction from the total all-inclusive maximum price. -Attachment A City-of Wylie Request for Proposals Annual Financial Audit APPENDIX F Part 3 SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE 1996 FINANCIAL STATEMENTS SUPPORTING SCHEDULE FOR WYLIE ECONOMIC DEVELOPMENT CORPORATION ANNUAL REPORT Standard Quoted Hourly Hourly Hours Rates Rates Total Partners 2 $ 110 $ 75 $ 150 Managers 5 $ 60 $ 50 $ 250 Supervisory staff 17 $ 40 $ 35 $ 595 Staff $ $ $ - Other (specify): $ $ $ - Subtotal $ 995 Out-of-pocket expenses: Meals and lodging $ - Transportation $ - Other (specify): $ - Total price for Wylie Economic Development Corporation Report $ 995 Note: The rate quoted should not be presented as a general percentage of the standard hourly rate or as a gross deduction from the total all-inclusive maximum price. Attachment A CITY OF WYLIE, TEXAS TECHNICAL PROPOSAL AUDIT PROPOSAL RFP INDEPENDENT AUDITORS AUGUST 26, 1996 PATTII LO, BROWN& HILL, L.L.P. 200 WEST HIGHWAY 6, SUITE 300 WACO, TEXAS 76712 TELEPHONE NUMBER: 817/772-4901 CONTACT: B. STEVEN BOSTICK RONNIE W. CRAWFORD HAL M. WHITAKER JAMES C. CURRY Attachment A TABLE OF CONTENTS Page Number Letter of Transmittal 1 - 2 Mandatory Criteria . 3 - 4 Profile of Firm 5 - 7 Partner, Supervisory and Staff Qualifications and Experience 8 Resume Qualifications 9 - 12 Similar Engagements With Other Government Entities 13 - 14 Scope of Work and Audit Approach 15 - 19 EDP Software and System 20 Additional Information Proposer Guarantees 21 Proposer Warranties 22 Peer Review Report 23 Attachment A PATTILLO, BROWN & HILL, L.L.P. CERTIFIED PUBLIC ACCOUNTANTS Providing Services Since 1923 RONNIE W.CRAWFORD,CPA,CFP AMERICAN PLAZA FRANK L WILCOX,CPA(DEC'D) VINCE PALASOTA,CPA 200 WEST HIGHWAY 6,SUITE 300 R.D.PAT7TLLO,CPA(RET.) B.STEVEN BOSTICK,CPA,CFE P.O.BOX 20725 RODNEY L BROWN,CPA(RET.) HAL M.WHTTAKER,CPA WACO,TEXAS 76702-0725 WALTER H.HILL,JR..CPA(RET.) JAMES C.CURRY,CPA,CGFM (817)772-4901 NANCY HENRY POTTS,CPA FAX(817)772.4920 AFFILIATE OFFICE: BROWNSVILLE OFFICE(210)54477)8 August 26, 1996 City of Wylie, Texas Purchasing Department 2000 Highway 78 North Wylie, Texas 75098 We are pleased to have the opportunity to submit the accompanying proposal to serve the City of Wylie, Texas, as independent auditors for the fiscal year ending September 30 1996, as well as consideration for the following four years. Our audit will be performed in accordance with generally accepted auditing standards as set forth by the American Institute of Certified Public Accountants,the standards for financial audits set forth in the U.S. General Accounting Office's Government Auditing Standards (1994), and the provisions of U.S. Office of Management and Budget(OMB)Circular A-128,Audits of State and Local Governments and all requirements of your proposal. The Comprehensive Annual Financial Report shall be prepared in accordance with the most recently issued Governmental Accounting and Financial Reporting Principles (GAFR), as promulgated by the Governmental Accounting Standards Board (GASB) of the Financial Accounting Foundation. 1. All persons assigned to your audit, including staff, will have experience in auditing city • governments. 2. We have extensive experience in governmental audits, as indicated in our list of references. Members of our Firm (and your audit team) are members of the (1) Association of Government Accountants, (2)Government Finance Officers Association of Texas, and (3) the Texas Society of CPAs Government Accounting Standards Committee. In addition to the personnel listed in the attached resumes, the Firm also has available approximately fifty (50) additional personnel in its local office. 3. We have been a member of the AICPA for over 25 years and are a member of the AICPA SECPS. as well as the PCPS Peer Review quality control sections. We have recently completed our review and received the highest rating for our audit quality controls and are subject to these reviews every three years. 4. We conform to all requirements of the "Yellow Book" on Government Auditing Standards published by the Comptroller General of the United States (1994). -1- Attachment A 5. We are independent in regard to the City of Wylie, Texas, as defined by generally accepted auditing standards, as well as the U. S. General Accounting Office's Government Auditing Standards (1988) and (1994). 6. All work will be completed in accordance with the performance specifications outlined in your request for proposal and on the timetable included in your RFP. A tentative and preliminary copy of our report will be made available for your review prior to our production of the final report. At the time of presentation, we will discuss the final audit report and management letter with the members of the City Council. Additionally, we commit to the City of Wylie to provide the flexibility and manpower to meet your needs for staffing on a timely basis. A sealed envelope is enclosed with this proposal that contains the all- inclusive fee for which the City's audit shall be done. The following persons are authorized to conduct contract negotiations for Pattillo, Brown & Hill, L.L.P. They may be reached by telephone at (817) 772-4901: Ronnie W. Crawford, Managing Partner B. Steven Bostick, Partner in Charge - Audit Department Hal M. Whitaker, Partner - Systems Analyst James C. Curry, Senior Manager in Charge - Governmental Practice We appreciate your consideration of our Firm as your auditors in the coming years and look forward to discussing our merits further with you. This proposal is a firm offer for ninety days. Yours truly, PATTILLO, BROWN & HILL, L.L.P. James C. Curry, CPA, CGFM JCC/dw If this proposal is acceptable, please indicate your acceptance below. ACCEPTED BY: Signature Date Title -2- Attachment A 112ANDATORY CRITERIA MANDATORY CRITERIA Attachment A a. Independence -licensed to Practice in Texas We are independent in regard to the City of Wylie, Texas, as defined by generally accepted auditing standards, as well as the U.S. General Accounting Office's Government Auditing Standards (1994). We have had no professional relations involving the City of Wylie or its subcontractors during the past five (5) years. Pattillo, Brown & Hill, L.L.P. is licensed to practice public accountancy by the State of Texas. All persons assigned to supervisory positions in your audit will be CPAs licensed to practice in Texas. b. Continuing Professional Education Our Firm's professional personnel have received adequate continuing professional education within the preceding two (2) years to meet the Government Auditing Standards 1994 revision. c. Conflict of Interest Our Firm has no conflict of interest with regard to the City of Wylie and perform no other work for the City of Wylie. d. Request for Proposal We have adhered to the instructions in your request for proposal on preparing and submitting this proposal. e. Ouality Review We have received the highest rating of the SEC Practice Section of the AICPA. This section has the highest evaluating criteria of all AICPA member groups and includes reviews of governmental entities. A copy of our report is attached. Our latest review was performed by a member of the AICPA Auditing Standards Board and included review of governmental audits. -3- Attachment A f. Audit Work Standards Our Firm has a record of quality work which can be confirmed through discussions with our references. We do not have a record of substandard audit work. Additionally, we are not and have not been subject to any action. g. Compliance All persons assigned to your audit, including staff, will have experience in auditing city governments. For a more detailed description of individual experience, please see the section titled "Partner, Supervisory and Staff Qualifications and Experience". h. Certificates of Achievement Our Firm has many clients who receive the Certificate of Achievement for Excellence in Financial Reporting and in all cases where we have been associated with the application, the certificate has been awarded. -4- Attachment A FIRM QUALIFICATIONS AND EXPERIENCE Attachment A PROFILE OF THE FIRM Profile of Pattti'o, Brown & H L.L.P. Pattillo, Brown & Hill, L.L.P. was founded in Waco in 1923 and has been in continuous existence since that time. We are a regional certified public accounting firm with offices in Dallas, Brownsville, and Waco with over fifty (50) professional personnel. It is our goal to provide personalized services of the highest quality to our clients. We have earned a reputation for professional excellence through our demonstration of quality work and sound financial advice. Our personnel have devoted many years developing knowledge in auditing, accounting and consulting services as more fully described in the following section on technical qualifications. We have a Firm concentration area in governmental auditing and take pride in our technical expertise, client relations and our performance reputation. We are a member of the AICPA SECPS Peer Review quality control section, and, accordingly, comply with professional standards and all requirements of the new "Yellow Book" of Governmental Auditing Standards published in 1994 by the Comptroller General of the United States. Summary of Technical Qualifications Our clients include approximately 100 governmental organizations, as is evidenced by the partial listing included in this proposal. It is noteworthy that our workpapers have been examined in connection with several of these "Single Audits" by representatives of grant and/or cognizant agencies. In all circumstances, our supporting workpapers have earned excellent reviews and, in one case, our programs were photocopied by the reviewing auditors to be used as a guide for other auditors. Additionally, many of our clients have elected to pursue the Certificate of Achievement for Excellence in Financial Reporting. In all instances, where we have been associated with this pursuit, the GFOA has awarded the entity the certificate. Our Firm is heavily involved in governmental auditing and our personnel are supported in this through our involvement in professional training and membership in the Association of Government Accountants, the Government Finance Officers Association of Texas, associate members of the Texas Municipal League as well as several governmental committees of the TSCPA. In both the governmental and commercial areas, Pattillo, Brown & Hill, L.L.P. has proven the experience and knowledge to handle large engagements. Our audit clients include such nationally recognized names as Big Red, Inc., Dealers Electrical Supply Co. and Texas Farm Bureau. These entities are competing in the national and international market places. Our experiences with these entities provide our Firm the ability necessary to perform large governmental audits on a timely and efficient basis. At Pattillo, Brown & Hill, L.L.P., we possess the expertise and manpower necessary to complete your audit on a timely basis. The qualifications and experience of the key persons to your engagement are discussed below. -5- Attachment A Personnel Qualifications and Experience Pattillo, Brown & Hill, L.L.P. includes members with excellent professional qualifications, as evidenced by the following: • One former member served on the Texas State Board of Public Accountancy • One former member is past president of the Texas Society of CPAs • Several members are past chairmen and several are current chairmen or members of Committees of the Texas Society of CPAs, including the Society's Government Accounting Standards Committee • Members are heavily involved in continuing professional education programs sharpening technical skills • Our Firm includes members of the Association of Government Accountants, the Government Finance Officers Association of Texas and the Texas Municipal League In keeping with our obligation for quality service, we require our professional employees to complete a minimum of qualifying continuing professional education credits annually. We also encourage our personnel to pursue their certification as accountants and then to become actively involved in local and state professional organization activities. Included as supporting information is a schedule of resumes covering the qualifications of proposed staff, including partners, managers and senior accountants who are expected to be used in the performance of this engagement. Each • of the resumes indicates the individual's position in our Firm, including the education, years and type experience. All assigned personnel in key positions are licensed to practice accounting in the State of Texas. We also confirm, we, as a firm, and individually, are independent with respect to the City of Wylie. -6- Attachment A -- We are a full service accounting firm as indicated in the graph below: 41 PATTILLO : .,. .BROWN Sa .$IL ': 04anz4t Qn (4 Ofces} Resource Management, inc :: Consultn Affiliate :::; MPIN.Ngig Computer and F .naucial gervices Individual Audit Accounting Employee and. and Benefits Corporate fax Departmennt Bookkeeping Consulting . Commercial Governaetita ::< Audit :giNg S..e.tvices ::services ;.:;: Specialtypecialt :: As can be seen from the chart above, both governmental auditing and computer consultation are concentration areas for our Firm. We use Toshiba and Compaq desktop computers and IBM or IBM clone personal computers in our practice areas. -7- Attachment A PARTNER, SUPERVISORY AND STAFF QUALIFICATIONS AND EXPERIENCE Attachment A SUMMARY OF EXPERIENCE Persons assigned to your audit will have experience with budgets up to almost $300 million and entities with populations approximating 300,000. Following are the personnel assigned to the audit and their related responsibilities. Resumes for supervisory personnel are attached. Years Government Name Position Audit Experience B. Steven Bostick Audit Partner 15 James C. Curry Senior Audit Manager 9 Jennifer Manning Audit Senior 3 Melinda Reyna Audit Assistant 2 In addition to the personnel listed in the attached resumes, the Firm also has available approximately fifty (50) additional personnel in its local office. These personnel possess a variety of experience including in-charge or supervisory positions on the following audits: Council of Governments - 3 Heart of Texas Council of Governments Brazos Valley Development Council Central Texas Economic Development District County Governments - 23 Bastrop Grimes Montgomery Bosque Henderson Orange Cameron Hood Pecos Denton Jasper Robertson Ellis Leon Tyler Fannin Limestone Williamson Freestone McLennan Wood Gillespie Medina City Governments - 18 Town of Flower Mound City of Fredericksburg City of Bellmead City of Hearne City of Belton City of Kerrville City of Brady City of Lacy-Lakeview City of Caldwell City of Live Oak City of Copperas Cove City of Northcrest City of Corinth City of Palestine City of Fairfield City of San Benito City of Forest Hill City of Thornton Approximately 50 other governmental entities No person assigned to your audit would have less than 2 years experience or served on less than 8 government audits. All persons assigned to your audit will have a thorough knowledge of fund accounting and its application to municipal government. -8- Attachment A RESUME QUALIFICATIONS Attachment A B. STEVEN BOSTICK, CPA, CGFM Audit Partner Governmental Experience Heart of Texas Council of Governments Grayson County Brazos Valley Development Council Williamson County Town of Flower Mound University of Mary Hardin-Baylor Cameron County City of Palestine Denton County City of Bellmead Montgomery County Jasper County Educational Background BBA Accounting Baylor University MBA Business Administration Baylor University Adjunct Professor University of Mary Hardin-Baylor 1996 Thirty-eighth County Auditors' Conference (20 Hours) 1995 TAC Post Legislative Conference 1995 Advanced Auditing Efficiency 1995 Rio Grande Valley NAPM Conference (20 hours) 1995 Thirty-seventh County Auditors' Conference (20 hours) 1994 Summer Governmental Advanced Auditing - 1 day 1994 Thirty-sixth County Auditors' Conference (20 hours) 1993 Thirty-fifth County Auditors' Conference (18 hours) 1993 Summer Governmental Audit Training I - 1 day 1993 Summer Governmental Audit Training II - 1 day 1993 Summer Governmental Audit Training III - 1 day 1992 Summer Audit Training - Angel Fire, New Mexico (41.5 hours), 21 governmental hours 1992 Thirty-fourth County Auditors' Conference (18 hours) 1991 Summer Audit Training - Cloudcroft, New Mexico - 24 governmental hours 1990 Summer Audit Training - Salado, Texas - Basic staff training - 16 governmental hours Professional Organizations American Institute of Certified Public Accountants Texas Society of Certified Public Accountants Government Finance Officers Association of Texas TSCPA Accounting and Auditing Standards Committee -9- Attachment A JAMES C. CURRY, CPA, CGFM Senior Audit Manager Governmental Experience Heart of Texas Council of Governments Henderson County City of Caldwell McLennan County Appraisal District Town of Flower Mound City of Fairfield City of Brady Williamson County Limestone County Montgomery County Wood County City of Palestine Educational Background BA Business Administration Baylor University Certified Government Finance Officer (1995) 1996 Thirty-eighth County Auditors' Conference (20 hours) 1996 TML Annual Conference 1995 TAC Post Legislative Conference 1995 Advanced Auditing Efficiency 1995 Rio Grande Valley NAPM Conference (20 hours) 1995 Thirty-seventh County Auditors' Conference (20 hours) 1994 Thirty-sixth County Auditors' Conference (20 hours) 1994 Summer Governmental Advanced Auditing - 1 day 1993 Thirty-fifth County Auditors' Institute (18 hours) TML Annual Conference - 1/2 day 1993 Summer Governmental Audit Training I - 1 day 1993 Summer Governmental Audit Training II - 1 day Certificate of Educational Achievement in Governmental Accounting and Auditing (64 hours - 1993) 1992 Thirty-fourth County Auditors' Institute (18 hours) 1992 Summer Audit Training - Angel Fire, New Mexico (41.5 hours), 21 governmental hours Professional Organizations American Institute of Certified Public Accountants Texas Society of Certified Public Accountants Institute of Management Accountants Government Finance Officers Association of Texas Government Finance Officers Association of the United States and Canada (GFOA) Special Review Committee of GFOA TSCPA Governmental Accounting and Auditing Standard Committee -10- Attachment A JENNIFER MANNING, CPA Audit Supervisor Governmental Experience Cameron County Denton County City of Fairfield Midway I.S.D. City of San Benito Ellis County Grimes County Town of Flower Mound City of Live Oak Heart of Texas C.O.G. Jasper County East Texas C.O.G. Educational Background BBA Accounting University of Mary Hardin-Baylor 1996 Thirty-eighth County Auditors' Institute (20 hours) 1995 Advance Audit Training for Supervision (32 hours) 1995 Thirty-seventh County Auditors' Institute (15.5 hours) 1994 Intermediate Governmental Accounting (12 hours) 1994 Summer Audit Training (45 hours, 4.2 instructor credit hours), 17.1 governmental hours 1994 Texas School District Accounting and Auditing Update 1994 Introduction to Texas School District Accounting and Auditing 1994 Thirty-sixth County Auditors' Institute (14 hours) 1993 Thirty-fifth County Auditors' Institute (18 hours) 1993 Summer Governmental Auditing Training I - 1 day 1993 Summer Governmental Auditing Training II - 1 day 1993 Summer Governmental Auditing Training III - 1 day Professional Organizations American Institute of Certified Public Accountants Texas Society of Certified Public Accountants Texas Association of School Business Officials -11- Attachment A MELINDA REYNA, CPA Audit Assistant Governmental Experience City of Corinth Denton County Johnson County MHMR Midway I.S.D. City of Hearne Ellis County Grimes County . City of Fredericksburg City of Brady Heart of Texas C.O.G. Montgomery County East Texas C.O.G. Educational Background BBA Accounting Baylor University 1996 Summer Supervisor's Training (8 hours) 1996 Summer Audit Training (40 hours) 1996 Thirty-eighth County Auditors' Institute (20 hours) 1996 Texas School District Accounting and Audit Update (8 hours) 1995 Thirty-seventh County Auditors' Institute (15.5 hours) 1995 Summer Government Audit (9.5 hours) 1994 Summer Audit Training (17.1 governmental hours) -12- Attachment A SIMILAR ENGAGEMENTS WITH OTHER GOVERNMENT ENTITIES Attachment A SUMMARY OF FIRM'S PRIOR AUDITING AND TECHNICAL ASSISTANCE EXPERIENCE Below is a sample of single audits within the last five years with federal reporting situations similar to City of Wylie, Texas. Please feel free to contact any of the below mentioned references as you so desire. Fiscal Year-End/ CAFR Audit/Partner (Total Hours) Years Performed Prepared by: Contact * Denton County September 30 Client James Wells B. Steven Bostick 7 years Denton, Texas (728 hours) 817/565-8575 * City of Kerrville September 30 Auditor Dane Tune B. Steven Bostick 2 years Kerrville, Texas (715 hours) 210/257-8000 * Town of Flower Mound September 30 Client Linda Truitt B. Steven Bostick 4 years Flower Mound, Texas (675 hours) 214/539-6006 City of Caldwell January 31 Auditor Bill Broaddus • Hal M. Whitaker 20 years Caldwell, Texas (435 hours) 409/567-3271 City of Fredericksburg September 30 Auditor Brad Kott B. Steven Bostick 2 years Fredericksburg, Texas (310 hours) 210/997-7521 * These entities received their Certificate for Excellence in Financial Reporting. -13- Attachment A PATTILLO, BROWN & HILL, L.L.P. Recent Governmental Auditing Experience 1994 and 1995 Audits Fiscal Years Only Government Entity Audits Counties (23) Cities (18) School districts (11) Government districts (5) Not-for-profit entities (18) State or Federal programs (41) Other Relevant Experience Public utilities (3) Airports (2) International Bridge Audits (2) Retirement Fund or Plan Audits (14) Personnel Personnel assigned to governmental audits 20 Minimum annual governmental CPE 50 hours Percent of personnel CPAs 70% + -14- Attachment A SCOPE OF WORK AND AUDIT APPROACH Attachment A SCOPE OF WORK AND AUDIT APPROACH Audit Approach We will make an organization-wide financial audit in regard to the general purpose financial statements and combining statements and perform work necessary to provide an "in-relation-to" report on other schedules. A management letter detailing our suggestions for improvement of internal controls and efficiency of operations will be issued immediately upon completion of our audit. Our audit will be conducted in accordance with generally accepted auditing standards established by the American Institute of Certified Public Accountants, as included in "Statements on Auditing Standards" and AICPA Industry Audit Guide "Audits of State and Local Governmental Units", the standards for financial and compliance audits contained in the United States General Accounting Office's "Government Auditing Standards" (1994 revision), the Office of Management and Budget's "Major Compliance Features of Programs Administered by State and Local Governments" (the approved compliance supplement), the Single Audit Act of 1984 (Public Law 98-502),Vernon's Texas Codes Annotated, Local Government Code, and the Office of Management and Budget's Circular A-128. Our audit programs are a combination of standardized programs from Practitioners' Publishing Company and AICPA audit programs that are customized for each client by our governmental audit department. We will apply such tests of your accounting records and account balances as are necessary for us to express an opinion regarding the conformance of our financial statements with generally accepted accounting principles and compliance with applicable regulatory standards and law, as stated in this paragraph. Accordingly, our audit will be an integrated audit and shall encompass the entirety of your financial operations. 4 i The financial statement audit will be to determine whether (1) the financial statements present fairly the financial position, results of operations, and cash flows or changes in financial positions in accordance with generally accepted accounting principles, and (2) whether the City of Wylie, Texas, has complied with the laws and regulations for those transactions and events that may have a material effect on the financial statements. The financial related audit also includes determining (1) whether financial reports and related items are fairly presented, (2) whether financial information is presented in accordance with established or stated criteria, including Statement 1 of the Governmental Accounting Standards Board (GASB) and the Government Finance Officers Association (GFOA) publication "Governmental Accounting, Auditing, and Financial Reporting" and (3) whether the City has adhered to specific financial compliance requirements. We anticipate issuing the following reports: 1. A report on the fair presentation of the financial statements in conformity with generally accepted accounting principles. 2. A report on the internal control structure based on the auditors' understanding of the control structure and assessment of control risk. -15- Attachment A 3. A report on compliance with laws and regulations based on an audit of financial statements performed in accordance with government auditing standards. 4. An "in-relation-to" report on the Schedule of Federal Financial Assistance. 5. A report on the internal control structure used in administering federal financial assistance programs (this report may be combined with report number 2). 6. A report on the Schedule of State Financial Assistance. 7. A report on compliance with specific requirements applicable to major federal financial assistance programs. 8. A report on compliance with specific requirements applicable to nonmajor federal financial assistance programs (this report may be combined with report number 7). 9. A report on compliance with general requirements for both major and nonmajor federal financial assistance programs. We will also select statistical samples of disbursements of the City on an organizational-wide basis. The samples will be selected randomly from the population of all checks of all City bank accounts. Sample sizes are normally limited to 60 payroll transactions and 60 other transactions as higher sample sizes statistically do not provide significantly higher levels of reliance on the sample chosen. Additional samples of transactions of federal programs are required in varying degrees by OMB Circular A-128, based on levels of federal funding. Such sample sizes typically are smaller due to the limited scope of the population and are selected on a judgmental basis. All transactions, however, selected for testing in any area of our audit work will be tested for compliance with laws and regulations applicable to that transaction. Determination of laws and regulations applicable to transactions selected by transaction tests • and those which will require additional audit test work, will be determined in accordance with the American Institute of Certified Public Accountant's "Statement on Auditing Standards" and the GAO's "Government Auditing Standards" (1994 revision). Analytical procedures will be performed on significantly all areas of the City's financial statements. The complexity of such procedures will be to the extent we consider necessary in the circumstances of the various areas. The complexity should not effect estimated time for the engagement as we plan for substantial amounts of the information required in the analytical review to be compiled from schedules described in your request for proposals. We will use our personal computers to compile information and perform calculations necessary for this review whenever possible. -16- Attachment A As a part of the audit of the general purpose financial statements, the annual audit will also include obtaining an understanding of the City's internal control structure and reporting any reportable conditions relating to the internal control structure that comes to our attention. To comply with Office of Management and Budget Circular A-128, a study and evaluation of the internal control structure will include internal accounting and administrative controls. Also, the review of the control structure will include all major federal financial assistance programs or 50% of all federal programs if expenditures for major programs are less than 50% of total federal program expenditures. Any material weakness noted during our study and evaluation of internal accounting and administrative controls will be reported. As part of the audit of the general purpose financial statements transactions, records pertaining to federal and state programs will also be tested for material compliance with federal and state laws, rules and regulations, and all instances of noncompliance will be reported to the City of Wylie, Texas. While we will be assisting you in preparing the financial statements, the City of Wylie, Texas, is ultimately responsible for the fair presentation of the financial statements, and ensuring that the financial statements render a full and proper account of the activities of the City. The City further acknowledges that it is responsible for ensuring that its funds are handled properly and in compliance with laws and regulations, but also for achieving the purposes for which the funds are authorized. Pattillo, Brown &Hill, L.L.P. accepts responsibility for ensuring that the audit is conducted by personnel who collectively have the necessary skills, that independence is maintained, that applicable standards are followed in conducting the audit, that the Firm has an appropriate internal quality control system in place, and maintains participation in an external quality control review program. We plan to review the reports and audit workpapers of the prior auditor in connection with our planning and risk assessment phase of the audit. We will also perform an in-depth analysis of controls and procedures of the City. In accordance with Pattillo, Brown & Hill, L.L.P.'s policy, we will not charge the City for this work in a multi-year engagement. We plan to concentrate on auditing the City's records rather than attempting to force the City records into "our" format. No person assigned to your audit would have less than 2 years experience or served on less than 8 government audits. All persons assigned to your audit will have a thorough knowledge of fund accounting and its application to municipal government. They will all have a background in governmental accounting education and operation. Steve Bostick, CPA, CGFM, will be the partner in charge of the audit. James C. Curry, CPA, CGFM, will be the manager and Jennifer Manning, CPA, the senior in charge of the day-to- day audit in the field. All of the aforementioned personnel are familiar with the activities and accounting procedures associated with a City's operations. (See Resumes in this proposal) -17- Attachment A As a part of the quality control to be associated with our audit, we will, among other things, use the following approach: 1. Our workpapers will be subject to continuous review beginning at the senior level and progressing through the manager to final review by a partner at the end of fieldwork. The financial statements will be cross-referenced to supporting statements and schedules within the report, to footnotes and to the related audit workpapers. It will be proved in all respects before being released for printing. 2. We will determine that the financial statements are in accordance with generally accepted accounting principles applied on a consistent basis and that all material disclosures have been made. 3. All working papers will be systematically organized and referenced. They will be in sufficient detail to facilitate review by the City and/or cognizant state or federal audit agencies. Any weaknesses in internal accounting control or needed improvements in accounting procedures will be summarized in the workpapers and presented in the form of a management letter at the close of the engagement. We will review a draft of the management letter with the Audit Committee of the Council and the City Mayor prior to releasing it. Pattillo, Brown & Hill, L.L.P. has a system of quality control for its accounting and auditing practice that requires of its staff a minimum of 20 hours per year and a total of 80 hours every two years of continuing professional education. Additionally, for all staff responsible for planning, directing, and conducting substantial portions of the fieldwork, or reporting on this audit engagement, the Firm requires that 40 of the 80 hours be in subjects directly related to the government environment and to government auditing. Management Letter As noted above, we will issue a management letter at the close of the engagement. The management letter will discuss points noted in the accounting and fiscal management of the City which may include suggestions for efficiency in operations as well as system controls. All points will be discussed with personnel prior to their incorporation into the letter. Each department will also be provided a draft of each item relating to their department prior to final development of the management letter. -18- Attachment A Detail of Specific Assignments Within the Audit Team The following descriptions detail the specific responsibilities of each member of your audit team. Partners - 15 hours Engagement Partner: B. Steven Bostick, CPA, CGFM The partner assigned to your audit team is responsible for the overall administration of the audit and final review and approval of all reports and workpapers. The partner has primary responsibility for scheduling and presentation. In addition, the partners oversee the manager who is directly responsible for your engagement. Managers - 40 hours Engagement Manager: James C. Curry, CPA, CGFM The manager has secondary responsibility for your engagement. All scheduling of fieldwork and presentations are made by the manager. The manager will perform certain compliance and control testing and directly supervise the federal grant compliance area. The manager is also responsible for staff assignments and budget control. Senior Accountants - 115 hours Senior Audit Supervisor - in-charge: Jennifer Manning, CPA The senior accountant is directly responsible for planning and directing the fieldwork during the engagement. In addition, they are responsible for supervising all staff accountants assigned to your engagement as well as performing each on higher risk areas of greater difficulty. Staff Accountants - 175 hours Experienced Staff Accountant: Melinda Reyna, CPA Working under close supervision, staff accountants execute audit assignments in the areas of cash, receivables, inventory, fixed assets, payroll, and expense analyses and other areas varying with experience and ability. Percent of nine of Each Team Member to Be Spent on Project Substantially all audit work will be performed in the field at your location. Segregation of Engagement We estimate that approximately 40% of the total work on the engagement will be performed on an interim basis. This time will include planning, internal control, compliance and limited substantive testing. The remainder of the work, which will include primarily substantive testing and report preparation in addition to required compliance testing, will be performed during the "final" period. A detail of the description of our audit procedures is included elsewhere in this response. -19- Attachment A EDP SOFTWARE AND SYSTEMS Attachment A EDP SOFTWARE AND SYSTEMS 1. We are familiar with and have experience in auditing systems using a variety of financial application software. 2. We currently use in our audit practice IBM compatible Toshiba and Compaq portable computers. Our auditing software is CLR's ACE Fund for governmental applications and PPC Software -Perfect Balance for commercial and enterprise applications. 3. Pattillo, Brown & Hill, L.L.P. has an excellent reputation for EDP and Computer consulting and control reviews. We have developed significant resources in the areas of computer applications and system analysis to provide a wide range of services to our clients. These significant projects are evidence of this commitment to serve: • City of Caldwell - computer financial system installation assistance (1993) • Denton County - review of bail bond controls and processing (1992) review of third- party administrator and self insurance plan (1993) • Grayson County - review of control procedures and operation in twelve (12) county offices (1992) • RTC Dallas Metroplex - review of cash processing controls and procedures for billion dollar processing organization(1992) • Pecos County - review operations and controls of county owned enterprise funds (1992) • Freestone County - review of procedures and controls in the Office of the Treasurer (1993) • Limestone County - review of private jail operations (1993) • Leon County - review of procedures and controls of six (6) county offices (1995) • Montgomery County - review of procedures used to monitory collateral pledged by depositories (1996) • Johnson County MHMR - internal control systems analysis (1994) • Point Isabel I.S.D. - review of control procedures and operations in the Tax Assessor/Collector's office (1996) A computer consultant will be assigned to your audit to aid in technical areas of system controls and procedures. All personnel assigned will be familiar with computerized accounting systems and controls. All experienced personnel receive training specifically in these areas during their development and progression (see resumes). -20- Attachment A ADDITIONAL INFORMATION Attachment A City of Wylie Request for Proposals Annual Financial Audit APPENDIX D PROPOSER GUARANTEES The proposer certifies it can and will provide and make available, at a minimum, all services set forth in Section II, Nature of Services Required. Signature of Official: ‘).;-<.. _ Name (typed): James C. Curry. CPA. CGFM Title: Audit Manager Firm: Pattillo. Brown & Hill. L.L.P. Date: ii,7 .dat' 22, /7 9 -21- Attachment A City of Wylie Request for Proposals _ Annual Financial Audit APPENDIX E PROPOSER WARRANTIES A. Proposer warrants that it is willing and able to obtain an errors and omissions insurance policy providing a prudent amount of coverage for the willful or negligent acts, or omissions of any officers, employees or agents thereof. B. Proposer warrants that it will not delegate or subcontract its responsibilities under an agreement without the prior written permission of the City of Wylie. C. Proposer warrants that all information provided by it in connection with this proposal is true and accurate. Signature of Official: d4. Name (typed): James C. Curry, CPA. CGFM Title: Audit Manager Firm: Pattillo. Brown & Hill, L.L.P. Date: 404z- 2 Z, /996 -22- EE3 Attachment A EUBANK es, BETTS A Professional Limited Liability Company CERTIFIED PUBLIC ACCOUNTANTS 3820 Interstate 55 North / Post Office Box 16090 / Jackson,Mississippi 39236-6090 Phone(601)987-4300 / Fax(601)987-4314 September 27, 1995 To the Partners . Pattillo, Brown & Hill, L.L.P. We have reviewed the system of quality control for the accounting and auditing practice of Pattillo, Brown & Hill, L.L.P. (the firm) in effect for the year ended March 31, 1995.• Our review was conducted in conformity with standards for peer reviews promulgated by the peer review committee of the SEC practice section of the AICPA Division for CPA Firms (the section). We tested compliance with the firm's quality control policies and procedures and with the membership requirements of the section to the extent we considered appropriate. These tests included the application of the firm's policies and procedures on selected accounting and auditing engagements In performing our review, we have given consideration to the general characteristics of a system of quality control as described in quality control standards issued by the AICPA. Such a system should be appropriately comprehensive and suitably designed in relation to the firm's organizational structure, its policies, and the nature of its practice. Variance in individual performance can affect the degree of compliance with a firm's prescribed quality control policies and procedures. Therefore, adherence to all policies and procedures in every case may not be possible. As is customary in a peer review, we are issuing a letter under this date that sets forth comments related to certain policies and procedures or compliance with them. None of these matters were considered to be of sufficient significance to affect the opinion expressed in this report. • In our opinion, the system of quality control for the accounting and auditing practice of Pattillo, Brown & Hill, L.L.P. in effect for the year ended March 31, 1995, met the objectives of quality control standards established by the AICPA, and was being complied with during the year then ended to provide the firm with reasonable assurance of conforming with professional standards. Also, in our opinion, the firm was in conformity with the membership requirements of the section in all material respects. EUBANK & BETTS, PLLC MEMBERS • American Institute • Mississippi Society •Division for CPA Firms SEC • Tax Division of the •CPA Associates International,Inc. of Certified Public of Certified Public and Private Companies American Institute of with Associated Offices in Accountants Accountants Practice Sections Certified Public Accountants Principal U.S.and International Cities 09-19-1996 04=30PM FROM PATTILLO BROWN & HILL TO 19'724428105 P.02 PATIILLO, BROWN & HELL, L.L.P. afflMMEDPUMACAccoUNL0113 Progkffisg Services since 1923 RANNJ6 .CRAWpokD.CPA,CEP AA4ERJ AN PLAZA FRANC L WILCOX CPA(DEC'W VINCH P >• A.CPA 200 WANT HIGHWAY 6,SUflE 300 5.D.PATX .L0 CPA MET.) A. • : SOSTXX,CPA,cie P.O.1'1;f)1C 20f25 RODNEY I.-8= WN.CPA CRE ) HAL IL '', . CPA WACO.nMB 767tr2.0725 WALTER5 MILL,JR.,CPA(88C) JAM .CORRY,CPA,COPM (217)772-4901 NANCY g o r'Y POTT8,CPA FAX e27)7 .442d AEFEiATE OFHCB SROWNSVQLB OE'CE!$10)344-717S September 19, 1996 1 I 'ty of Wylie, Texas tention: Pamela Gidney Assistant Finance Director 00 Highway 78 North ylie, Texas 75098 I onorabie Mayor and City Council: We are pleased to confirm our understanding of the services we are to rovide for City of Wylie, Texas, as independent auditors for the year ended eptember 30, 1996. We will audit the general purpose financial statements of ity of Wylie, Texas, as of and for the year ended September 30, 1996. Our audit will be a Single. Audit conducted in accordance with generally accepted auditing standards; the standards for financial audits contained in 4ove.rnment Auditing Standards, issued by the Comptroller General of the United $rates; the Single Audit Act of 1984; and the provisions of OMB Circular A-128, Audits of State and Local Governments," and will include tests of the accounting ecords of City of Wylie, Texas, and other procedures we consider necessary to nable us to express an unqualified opinion that the financial statements are airly presented, in all material respects, in conformity with generally accepted accounting principles and to report on the Schedule of Federal Financial .ssistance and on City of Wylie, Texas' compliance with laws and regulations and "ts internal controls as required for a Single Audit. If our opinion is other an unqualified, we will fully discuss the reasons with you in advance. If, for ny reason, we are unable to complete the audit, we will not issue a report as result of this engagement. Our procedures will include tests of documentary evidence supporting the jtransactions recorded in the accounts, and may include tests of the physical !existence of inventories, and direct confirmation of receivables and certain !other assets and liabilities by correspondence with selected individuals, (creditors, and financial institutions. We will request written representations !from your attorneys as part of the engagement, and they may bill you for !responding to this inquiry. At the conclusion of our audit, we will also request certain written representations from you about the financial statements and related matters. 09/19/96 16:44 TX/RX NO.2972 P.002El 09-19-1996 04=30PM FROM PATTILLO BROWN & HILL TO 19724428105 P.03 City of Wylie, Texas September 19, 1996 Page 2 • An audit includes examining on a test basis, evidence supporting the iou is and disclosures in the financial statements; therefore, our audit will i volve ,judgment about the number of transactions to be examined and the areas t be tested. Also, we will plan and perform the audit to obtain reasonable a surance about whether the financial statements are free of material m4.sstatement. As required by the Single Audit Act of 1984, our audit will include :tests of transactions related to federal assistance programs for c mpliance with applicable laws and regulations. However, because of the concept ok reasonable assurance and because we will not perform a detailed examination of all transactions, there is a risk that material errors, irregularities, or illegal acts, including fraud or defalcations, may exist and not be detected by mt. We will advise you, however, of any matters of that nature that come to our a tention, and we will include such matters in the reports required for a Single it. Our responsibility as auditors is limited to the period covered by our a dit and does not extend to matters that might arise during any later periods 4 fbr which we are not engaged as auditors. 1 We understand that you will provide us with the basic information required for our audit and that you are responsible for the accuracy and completeness of that information. We will advise you about appropriate accounting principles and eir application and will assist in the preparation of your financial itatements, but the responsibility for the financial statements remains with you. is responsibility includes the maintenance of adequate records and related l ternal control structure policies and procedures, the selection and application of accounting principles, and the safeguarding of assets. Our audit is not specifically designed and cannot be relied on to disclose deportable conditions, that is, significant deficiencies in the design or peration of the internal control structure. However, during the audit, if we ecome aware of such reportable conditions or ways that we believe management ractices can be improved, we will communicate them to you in a separate letter. Our fees for these services will be based on the actual time spent at our standard hourly rates, plus travel and other out-of-pocket costs such as report iroduction, typing, postage, etc. Our standard hourly rates vary according to xhe degree of responsibility involved and the experience level of the personnel assigned to your audit. We estimate the fee for our work to be approximately 0_4,19S. This estimate is based on anticipated cooperation from your personnel and the assumption that unexpected circumstances will not be encountered during he audit. If significant additional time is necessary, we will discuss it with ou and arrive at a new fee estimate before we incur the additional costs. In the event that our actual fee should be less than the amount stated above, you will be billed accordingly. 09/19/96 16:44 TX/RX NO.2972 P.003 11 09-19-1996 04:31PM FROM PATTILLO BROWN & HILL TO 19724422105 P.04 City of Wylie, Texas September 19, 1996 Page 3 We appreciate the opportunity to be of service to City of Wylie, Texas, and believe this letter accurately summarizes the significant terms of our engagement. If you have any questions, please let us know. If you agtee with tile terms of our engagement as described in this letter, please sign the enclosed ccbpy and return it to us. Yours truly. PATTILLO, BROWN & HILL, L.L.P. James C. Curry, CPA, CGFEI JcC/dw Enclosure RESPONSE: This letter correctly sets forth the understanding of City of Wylie, Texas. Signature If Title Date TOTAL P.04 09/19/96 16:44 TX/RX NO.2972 P.004 ■ Attachment C City of Wylie, Texas Summary of Audit Cost Estimates Submitted by Audit Firms Estimated Cost Total Estimated Estimated Firm Hours City WEDC Cost Pattillo, Brown & Hill, L.L.P. 369 $13,200 $995 $14,195 Brosowske, Mares, Smothermon & Co., P.C. 299 $14,000 $1,000 $15,000 Doll & Karahal & Company, P.C. 295 $14,260 $940 $15,200 Weaver & Tidwell, L.L.P. 317 $15,810 $930 $16,740 Attachment D • CITY OF WYLIE,TEXAS SUMMARY COMPARISON OF AUDIT MANAGEMENT LETTERS • • FOR THE YEARS FY91,FY92,FY93,FY94,FY95 FY91 FY92 --_ _._ FY93__ FY94 FY95 • /FUND ACCTG: Too many funds are !FUND ACCTG: Approx.10 funds have ./FUND ACCTG: Encourage !n/a I n/a being used(approx.25). Recommend I been closed or consolidated. Encourage !consolidation of Util.Constr.&Impact :elimination of unneeded funds. Closed !elimination of more funds later. Will ;funds into Utility Operating fund. All funds approx.10 funds,reviewing others to !eliminate more if appropriate. 'are combined to the extent possible. Utility •close. 1 Constr&Impact will not be combined with U i/EDP SYSTEM: Antiquated,UB doesn't I/EDP SYSTEM: Installation in process& 1/EDP SYSTEM: Further training is ,n/a I n/a interface with GL.Encourage purchase of I should be in use soon. New modules were apparently needed. Additional training has I j I updated system. New system purchase is installed,others will come soon. I been received. ! Ip�ed I/UTILITY FUND SOFTWARE: I n/a 1n/a n/a I n/a !Suggest EDP system with hand-held meter • , j reading capability. New software will have j rca��''----._ _. t _ _. _..._. .____. .i . /ACCOUNTING: Recon of Deposits& 'n/a In/a n/a n/a Utility Recbls at least monthly. New EDP system should be able to handle Iinformation needed for timely recon. New I software should make acctg,recons. ipossible .-.__ --i I/CASH: Too Many Bank Cash accounts. /CASH: Pooled Cash hasn't been 4-CASH: Pooled Cash didn't reconcile to I n/a 11 n/a Begin a Pooled Cash System. This will be I implemented as of 9/30/92 but is being done!bank(-110,000 off)- System problem& considered when possible. i in FY93. Should be complete by next audit.I staff inexperienced with pooled cash ';concept. System problem fixed&staff is I familiar with pooled cash now. • 1___-_ --! n/a n/a n/a !n/a '/INVESTMENTS: Reminder that policy is needed for next year.Investment policy is being revised. 1/BUDGETING: The budget for Debt in/a n/a '!n/a JI n/a Svc Fund S/B maintained thru DSF not I General Fund. Will be corrected. _.-__ -. -._---_._ ..._-__--- • i._._.-__ ____ ___._-. .._..._ -..� ......_._ ___.____ ____._ I. FIXED ASSETS: Inventory, tag items, FIXED ASSETS: Inventory, tag items, &IFIXED ASSETS: Inventory, tag items I FIXED ASSETS: Inventory, tag items, i n/a Iprepare sub.ledger,&do periodic j do periodic inventories. Module was I prepare sub.ledger,&do periodic ',prepare sub.ledger,&do periodic j 1 inventories. Will.be considered. 'purchased with new software system. I inventories. Module was purchased with !inventories. Will try to learn more about the I 1 !new software system. II i software we have to better track the fixed I assets. I_ -, /FINANCIAL REPORTING: Acctg n/a i n/a ',n/a n/a system is cumbersome&outdated,gives ! Igreat deal of acctg.detail but not in clear, s I !concise format Will be revised ifpossibie. _._ _._ -__- -___, i n/a /CASH DISBURSEMENTS: Dating cks I n/a n/a l n/a 9/30/92 which were written later,as a • I method of accruing. Method was necessary • but will be handled more appropriately next ',year. .INVENTORY: Valuation is based on an /INVENTORY: Valuation method was not �.n/a !INVENTORY: Valuation is based on an INVENTORY: Valuation is based on an ' • estimate of replacement value. Should use i estimate of replacement value. Should use !estimate of replacement value. Should use consistent. Should use a GAAP method. accepted valuation method such as FIFO or I GAAP method. Staff agrees computerized 1 GAAP method. Costs involved will be Method used will be consistent with GAAP moving average cost. Staff agrees j system is needed for accurate tracking. Will I compared to benefits resulting& &inventories in Gen Fund are to be computerized system is needed for accurate j price according to GAAP. ,recommendations will be made. I reduced/closed. •-__ _.-_.. --.. __ __1 -. ---._.-.. .._------ ------ ------ ------_._._ _ -.__-..._ __------�- -----. ____.__. .._.__. __�____ ------ _.----- - ---._._.__. _• • 'n/a I/MUNICIPAL COURT: Partial n/a n/a 1n/a ' • I payments should be accurately accounted • for&reconciled to G/L. Also,State Court • , "Payable didn't match subsequent payment. `Finance staff will be available to help Court I. ..n/a -"SALES TAX PAYABLE: Amount in n/a '_n/a I n/a G/L didn't match subsequent payment. G/L 1 .__... _._ ___- s/b reconciled tore_port_monthlY_,_�eed. _._. __.____ .-._._._-__- 1_ jn/a n/a 1 UTILfTY RECON: Water&Sewer 1 UTILITY RECON: Water&Sewer 1/UTILITY RECON: Water&Sewer 1 Receivables&Revenues s/b reconciled I Receivables&Revenues s/b reconciled 1 Receivables&Revenues s/b reconciled !regularly. Had some system problems,too. I regularly. Additional training of new staff is I regularly. Recon of rev has been done. System problems have been fixed&recon 'recommended. Recon of Utility will be in 1 Reconciliation process will be a part of ___ �isbeiiig.done___._-, ---__---_"--.__place�b endo> ear,_,—._----_ .. ___y`monthi�close_forUB_ n/a -1--_-_- n/a. /TAXES RECEIVABLE: s/b using ri/a In/a !.accrual basis all year. Record revenue when levied This is being done now. n/a n/a COMPONENT UNIT: Though DCW is a COMPONENT UNIT: Though DCW is a I/COMPONENT UNIT: Recommend that separate legal entity,it still should be set up separate legal entity,it still should be set up 1 city process AP&PR for WEDC(DCW), i based on govfl GAAP. Use City standard C based on govfl GAAP. Use City standard C thereby reducing redundant accounting for I of Accts.Chart is being prepared.Staff will j of A. Implementation has been discussed I WEDC activity. City Staff handles AP&PR be available to help._. - with DCW&is underway. -"now _ -... _-_- _.. n/a n/a I"DEPOSITORY CONTRACT: A current!n/a n/a I depository contract should be on file. This I I _.___.._.liras been done (_...____. 1--------- ___.....___ _._- 'n/a ".- n/a... 'in/a I/SUPERVISORY REVIEW:Recommend In/a 1 review of JEs by supervisor.This is being '• ;done now. i,_ 'n/a i n/a 'n/a /IMPACT FEES: Reminder to watch 10 'n/a !yr forfeiture time period for Impact fees not j -_ used. All$S are less than 5 years old. _._. ._--.-- n/a n/a 'n/a -"ASSESSMENTS REC'BL: Reconcile to n/a GL&attempt to collect. These are being i collected _ _._+..._ __._._-- ..____.-- n/a n/a n/a n/a I/CHANGE IN ACCTG PRINCIPLE: ., Note of change in principle is agreed with by 1 auditors.This is just a note.Staff prepared .._____- _ __._. __.(the calculation&en 1 n/a n/a n/a j IGASB: City should choose between GASB or FASB. GASB will be 1 pronouncement of choice for Wylie. __ Black Type =Management Letter Comment by Auditor's I=Issue Completed Red Type=Staff's Response Wylie City Council #4 Agenda Communication for September 24, 1996 Public Hearing and Approval of Operating Budget for Fiscal Year 1996-1997 Issue Hold a public hearing, consider and act upon an ordinance of the City of Wylie, adopting a budget and appropriating resources for Fiscal Year 1997, beginning October 1, 1996 and ending September 30,1997. Background The General Fund includes a tax rate increase of one cent which will generate additional revenues of approximately $39,000. This tax rate increase will be used to help support the additional debt service requirements from the sale of$1,500,000 in new Street Bonds (Phase II of the 1995 Bonds). There are no water or sewer rate increases included in the Utility Fund budget for Fiscal Year 1996-97. The attached summary of all operating and capital funds includes the budgets for the Wylie Economic Development Corporation and the Parks and Recreation Facilities Development Corporation. Financial Considerations For all budgeted funds, the projected totals for revenues and expenditures are $12,543,460 and $13,815,720 respectively. Projected expenditures will be $1,272,260 greater than budgeted revenues for all funds. The $1,272,260 spending in excess of revenues is due to expenditures of bond monies for capital projects and there is no deficit spending in the City's operating funds. The General Fund expenditures are $780 greater than revenues and this will result in a decrease to fund balance by that amount. The Utility Fund will have a modest increase in fund balance (working capital) of $50,930. Legal Considerations Article 7, Section 3(D) of the Home Rule Charter states that if the city fails to adopt the budget by the twenty-seventh day of September, the amounts appropriated for operation during the current fiscal year shall be deemed adopted for the ensuing fiscal year on a month to month basis. A tax rate ordinance for the Fiscal Year 1996-1997 must be adopted to support this budget. Staff Recommendation It is recommended that the City Council adopt the Fiscal Year 1996-1997 budget as presented. Attachments Budget ordinance and summary -)r\lr\Of1Q— C.A414.41 Prepared by Revi d by Fina ce Approved by ORDINANCE NO. AN ORDINANCE OF THE CITY OF WYLIE, ADOPTING A BUDGET AND APPROPRIATING RESOURCES FOR FISCAL YEAR 1997, BEGINNING OCTOBER 1, 1996 AND ENDING SEPTEMBER 30, 1997; REPEALING ALL CONFLICTING ORDINANCES; CONTAINING A SEVERABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE WHEREAS, the City Manager and staff have prepared and filed with the City Secretary a proposed Budget for operation of the City during for Fiscal Year 1997; and, WHEREAS, the proposed budget appears to be in a form and substance which fully complies with all applicable provisions of the City Charter and State law; and, WHEREAS, the proposed budget has been available for public inspection and review; and, WHEREAS, the City Council has this date conducted a public hearing to receive input from the citizens of the City concerning the content of the budget; and, WHEREAS, the Council having considered the proposed budget at length, and having provided input into its preparation, has determined that the proposed budget, and the revenues and expenditures therein contained, is in the best interest of the City and therefore desires to adopt the same by formal action; NOW, THEREFORE, BE IT ORDAINED BY THE GOVERNING BODY OF THE CITY OF WYLIE, TEXAS, as follows: SECTION I That the proposed budget of the revenue of the City and the expenses of conducting the affairs thereof, as summarized in the attached Exhibit A and fully incorporated herein by reference, be, and the same hereby is, completely adopted and approved as the Budget for the City for Fiscal Year 1997. SECTION II That the sum of THIRTEEN MILLION EIGHT HUNDRED FIFTEEN THOUSAND SEVEN HUNDRED TWENTY DOLLARS ($13,815,720) is hereby appropriated out to the General, Community Park, Wylie Economic Development Corp., Debt Service, 4B Debt Service, Street, 4B Capital Projects, Service Center, Utility, Utility Construction and Fleet Replacement Funds for payment of Operation Expenses and Capital Outlay of the operation and administration of the City according to the various purposes and intents therein described. SECTION III That specific authority is hereby given to the City Manager to transfer appropriations budgeted from an account classification or activity to another within any individual department or activity; and to transfer appropriations form designated appropriations to any individual department or activity as provided in the City Charter. SECTION IV Should any paragraph, sentence, sub-divisions, clause, phrase or section of this ordinance be adjudged or held to be unconstitutional, illegal or invalid the same shall not affect the validity of this ordinance as a whole or any part or provision thereof, other than the part or parts as declared to be invalid, illegal, or unconstitutional. SECTION V This ordinance shall be in full force and effect from and after its adoption by the City Council pursuant to law and the City Charter. SECTION VI That all other ordinances and code provisions in conflict herewith are hereby repealed to the extent of any such conflict or inconsistency. DULY PASSED AND APPROVED by the City Council of the City of Wylie, Texas, this 24th day of September, 1996. Jim Swartz Mayor ATTEST: Susan Shuler City Secretary NOTICE OF PUBLIC HEARING AND BUDGET SUMMARY FOR FY'97 CITY OF WYLIE, TEXAS 1-4 NOTICE IS HEREBY GIVEN, pursuant to Article VII Section 3, of the Wylie City Charter, that the Wylie City Council will conduct a public hearing on the proposed City G budget for Fiscal Year 1996 on the 24th day of September, 1996, at 7:00 p.m. in the Council Chambers of the Wylie Municipal Complex, 2000 SH 78 North, Wylie, Texas. Copies of the proposed budget are available for inspection by the public at the Rita and Truett Smith Library, the City Secretary's Office and the City Manager's Office, during Wregular business hours. The following is a General Summary of the budget which has been proposed. SUMMARY OF REVENUES,EXPENDITURES AND CHANGES IN FUND BALANCE ALL OPERATING AND CAPITAL FUNDS FISCAL YEAR 1996-97 BUDGET SPECIAL REVENUE FUNDS DEBT SERVICE FUNDS CAPITAL PROJECT FUNDS PROPRIETARY FUNDS GENERAL COMMUNITY WYLIE ECON. PARKS,REC. DEBT 4B DEBT STREET 4B CAPITAL SERVICE UTILITY UTILITY FLEET TOTAL FUND PARK DEVELOP COR AND LIBRARY SERVICE SERVICE FUND PROJECTS CENTER FUND CONSTRUCTION REPLACEMENT ALL FUNDS BEGINNING BALANCES $1,011,600 ($2,130) $766,280 $149,580 $101,920 $153,350 $500,000 $1,016,480 $16,610 $998,100 $830,660 $170,390 $5,712,840 REVENUES: Ad Valorem Taxes 2,141,030 0 0 0 580,330 0 0 0 0 0 0 2,721,360 Non-property Taxes 543,950 0 271,500 271,980 0 0 0 0 0 0 0 1,087,430 Franchise Fees 562,500 0 0 0 0 0 0 0 0 0 0 562,500 Licenses and Permits 135,000 0 0 0 0 0 0 0 0 0 0 135,000 Intergovernmental 70,500 0 0 0 0 0 0 500,000 0 0 150,000 0 720,500 Service Fees 485,300 28,000 0 0 0 0 0 0 0 2,784,500 0 147,350 3,445,150 Court Fees 220,000 0 0 0 0 0 0 0 0 0 0 220,000 Interest&Miscellaneous Income 108,600 0 10,630 3,750 5,000 7,500 40,000 31,250 3,000 62,800 10,000 282,530 Bond Proceeds 0 0 0 0 0 0 1,500,000 0 0 0 1,200,000 0 2,700,000 TOTAL REVENUES 4,266,880 28,000 282,130 275,730 585,330 7,500 1,540,000 531,250 3,000 2,847,300 1,350,000 157,350 11,874,470 Transfers From Other Funds 250,000 0 0 0 0 138,990 0 85,000 150,000 45,000 0 0 668,990 TOTAL AVAILABLE RESOURCES 5,528,480 25,870 1,048,410 425,310 687,250 299,840 2,040,000 1,632,730 169,610 3,890,400 2,180,660 327,740 18,256,300 EXPENDITURES: General Government 1,716,240 0 0 0 0 0 0 0 0 0 0 13,000 1,729,240 Public Safety 1,566,960 0 0 0 0 0 0 0 0 0 0 70,000 1,636,960 Urban Development 209,340 0 0 0 0 0 0 0 0 0 0 0 209,340 Streets 569,380 0 0 0 0 0 0 0 0 0 0 20,000 589,380 Community Services 360,740 23,000 0 50,000 0 0 0 0 0 0 0 0 433,740 Utilities 0 0 0 0 0 0 0 0 0 1,533,690 0 0 1,533,690 Debt Service 0 0 0 0 621,810 138,990 0 0 0 957,680 0 0 1,718,480 Capital Projects 0 0 0 0 0 0 1,540,000 1,543,110 150,000 0 1,780,660 0 5,013,770 Market Reserve 0 0 0 0 0 0 0 0 0 0 0 0 0 Economic Development 0 0 282,130 0 0 0 0 0 0 0 0 0 282,130 TOTAL EXPENDITURES 4,422,660 23,000 282,130 50,000 621,810 138,990 1,540,000 1,543,110 150,000 2,491,370 1,780,660 103,000 13,146,730 Transfers to Other Funds 95,000 0 0 223,990 0 0 0 0 0 350,000 0 0 668,990 ENDING FUND BALANCE $1,010,820 $2,870 $766,280 $151,320 565,440 $160,850 $500,000 $89,620 $19,610 $1,049,030 $400,000 $224,740 $4,440,580 Total Revenues $12,543,460 Net Decrease(Increase)in Fund Balance 1,272,260 Total Appropriable Funds - $13,815,720 $13,815,720 • PI Inn!inn7 1nVA 'Wylie city council # Agenda Communication for September 24. 1996 Approval of Ordinance Establishing the Tax Rate/Levy for .1996 Issue Consider and act upon an ordinance establishing the tax rate/levy for 1996 and for the Fiscal Year 1996-1997 Budget. The proposed FY 96-97 tax rate is for sixty-six and one-half cents ($0.665) per $100 of assessed value. Background The proposed tax rate is $0.665 (cents) an increase of one cent ($0.01) from the previous fiscal year rate of$0.655. Based on the current tax values, the proposed increase will generate approximately $39,000 in new revenue. On September 10, 1996 a public hearing was held on the new tax rate being proposed. No public comment was received at that meeting. Attached are copies of tax notices published in the Wylie News on August 7, 1996, August 28, 1996 and September 18, 1996. These notices along with the public hearings already held and this meeting tonight will satisfy the "Truth-in-Taxation" laws and the City's Charter. Legal Considerations Article 7, Section 3 (D) states the levy of property tax normally approved as part of the budget adoption will be set such that the tax rate for the budgeted year shall equal the tax rate of the current fiscal year. The adopted Fiscal Year 1996-1997 budget requires the support of this ordinance. Financial Considerations This tax ordinance will generate new levies of $2,062,360 to the General Fund and $559,000 to the Debt Service Fund. The revenue generated from Ad Valorem taxes is the primary service funding of the General Fund and represents approximately 50% of total General Fund Revenues. Board/Commission Recommendation None Staff Recommendation The staff is requesting that the City Council adopt the proposed 1996 Tax Rate and Levy Ordinance as submitted. Attachments Tax ordinance. August 7, 1996 tax notice in Wylie News August 28, 1996 tax notice in Wylie News September 18, 1996 tax notice in Wylie News ae 2 4,tae 'Thdk( (Ii#11 ; 4 Prep Y red b Rev' ed by Fi nce Approved by ORDINANCE NO. AN ORDINANCE FIXING THE TAX RATE AND LEVY IN AND FOR THE CITY OF WYLIE, TEXAS UPON ALL TAXABLE PROPERTY IN SAID CITY OF WYLIE, TEXAS, FOR THE PURPOSE OF PAYING THE CURRENT EXPENSES OF SAID CITY OF THE FISCAL YEAR ENDING SEPTEMBER 30, 1997, AND FOR THE FURTHER PURPOSE OF CREATING A SINKING FUND TO RETIRE THE PRINCIPAL AND INTEREST OF THE BONDED INDEBTEDNESS OF SAID CITY; PROVIDING FOR A LIEN ON ALL REAL AND PERSONAL PROPERTY TO SECURE PAYMENT OF TAXES DUE THEREON; CONTAINING A SEVERABILITY CLAUSE; REPEALING ALL ORDINANCES AND PARTS THEREOF IN CONFLICT HEREWITH; AND PROVIDING FOR AN EFFECTIVE DATE WHEREAS, the City Council has this date, by way of Ordinance duly passed, adopted a Budget for operation of the City for fiscal year 1997; and, WHEREAS, the aforesaid Ordinance anticipates and requires the levy of an ad valorem tax on tangible taxable property in the City of Wylie; and, WHEREAS, it is necessary to levy such an ad valorem tax at a given rate to generate revenues sufficient to meet projected expenses; and, WHEREAS, the City has fully and timely complied with all notice and other requirements relative to the adoption of a tax rate for fiscal year 1997; and, WHEREAS, notice of the proposed tax rate, as well as the effective tax rate has been published as required by law and the City has received no formal protest thereof; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE WYLIE, TEXAS, as follows: SECTION I There is hereby levied for the fiscal year 1997 upon all real property situated within the corporate limits of said City of Wylie, Texas, and upon all personal property which was owned within the corporate limits of said City of Wylie, Texas, on the first day of January, A.D., 1996, except so much thereof as may be exempt by the Constitution of laws of the State of Texas, a total tax of Sixty-six and one-half cents (0.6650), on each One Hundred ($100.00) Dollars of assessed valuation on all of said property which said total tax herein so levied shall consist and be comprised of the following components: 1 a) An ad valorem tax of and at the rate of Fifty Two and Three Hundred Nineteen One thousandths cents (0.52319) on each One Hundred Dollars ($100.00) of assessed valuation of said taxable property is hereby levied for the general city purposes and to pay the current operating expenses of said City of Wylie, Texas, for the fiscal year ending September, 30, 1997 which tax, when collected shall be appropriated to and for the credit of the General Fund of said City of Wylie, Texas. b)An ad valorem tax of and at the rate of Fourteen and One Hundred Eighty-One thousandth cents (0.14181) on each One Hundred ($100.00) of assessed valuation of said taxable property is hereby levied for the purpose of creating an Interest and Sinking Fund with which to pay the interest and retire the principal of the valid bonded indebtedness, capital lease payment, and related fees of the City of Wylie, now outstanding and such tax when collected shall be appropriated and deposited in and to the credit of the Interest and Sinking Fund of the said City of Wylie, Texas for the fiscal year ending September 30, 1997. SECTION III The City of Wylie shall have a lien on all taxable property located in the City of Wylie to secure the payment of taxes, penalty interest, and all costs of collection, assessed, and levied hereby. SECTION IV Taxes are payable in McKinney, Texas at the Office of the Tax-Assessor Collector of Collin County. The City shall have available all the rights and remedies provided by law for the enforcement of the collection of taxes levied under this ordinance. SECTION V That the tax roll presented to the City Council, together with any supplements thereto, be and same are hereby accepted and approved. SECTION VI Should any paragraph, sentence, sub-division, clause, phrase or section of this ordinance be adjudged or held to be unconstitutional, illegal or invalid the same shall not affect the validity of this ordinance as a whole or any part or provision thereof, other than the part or parts as declared to be invalid, illegal, or unconstitutional. 2 SECTION VII This ordinance shall be in full force and effect from and after its adoption by the City Council and publication of its caption as the law and the City Charter provide in such cases. SECTION VIII That all other ordinances and code provisions in conflict herewith are hereby repealed to the extent of any such conflict or inconsistency and all other provisions of the Wylie City Code not in conflict herewith shall remain in full force and effect. SECTION IX The repeal of any ordinance, of parts thereof, by the enactment of this Ordinance, shall not be construed as abandoning any action now pending under or by virtue of such ordinance; nor shall it have the effect of discontinuing, abating, modifying or altering any penalty accruing or to accrue, nor as effecting any rights of the municipality under any section or provisions of any ordinances at the time of passage of this ordinance. DULY PASSED AND APPROVED by the City Council of the City of Wylie, Texas, this 24th day of September, 1996. By Jim Swartz Mayor ATTEST: Susan Shuler City Secretary 3 NOTICE OF EFFECTIVE TAX RATE 1996 PROPERTY TAX RATES IN CITY OF WYLIE ' This notion concerns 1996 property tax rates for City of Wylie.It pea<ots infotm.tioo about`((.onw three tax `.`..omit I s tax art • .. rate Is the actual rate the taxing unit used b d.tamioo propeay tot last yeas.Thies year's the sm.total taxes a let year U you mmpn properi"a taxed in both Yes".This yar's rollback lit no.Is the hlgbet _ - tu rota the taxing unit e.o set b.fon taxpayer can start too rollback proo.toea.I.s��a uind bonedby bystate law. . log tb•total amount of taxa by the tax base(the total raise of tuablo property)with s41u+ ..q Tbn rotas are given per 5I00 of property talon. - LAST YEAR'S TAX RATE: $l.uE396 - W t year's operating taxes 1545.7215% - Wt y no'a debt taxes 53 45311 • Last yeti%total tun 53S2394,311 • Last yeara tit hoe OA3600 - - • Last year's u ra te(par S100) • THIS YEAR'S EFFECTIVE TAX RATE: - List year's djnted taxes 52390.E44 • L - (dt subtracting tut on Ines progeny) .. .. / Tide years baud tax base _ _ .:5379})1319 - - (.fler subtracting of new property)(a This yours effective to rate(par S100) _ a 1.03.maximum nu male.unit publishes .0.641JI entices and bold.bearing.(per S 100) THIS YEAR'S ROLLBACK TAX tear(after subtracthat tame - , • Last year's djns operating SI.i46.093 on Ion property and adjusting for trsesf..ed fueatics) 5379,333319 / This year's adjuasd tuba. 135,519 Ilia year's year i.ffutiU operating rate(per S 100) 032602 - a 1.0E.this yes?.maximum operating cute(p.$100) ..- • This year's debt rate(per S 100) 0.140.141E1 111 - - . This year's tollbok rate(Per S 100) SCHEDULE A UNENCUMBERED FUND BALANCES Tbe following admaad balms..will ba loft In the unit's p opeety tax co. ouns at thet and of the focal yac Thee balums are not atxurnbered by a mrreapoodiot debt tsbtit%tioa TYPE OF PROPERTY TAX FUND BAV1NCE - `.SL0I1.600 • - - Mddensrnon ons 5101.910. _ Interest t Sinking SCHEDULE B - 1996 DEBT SERVICE Thesalt plans to pay the following amount.for long-harm m debts that e &Nosed by property taxes.Thum.mounts will bar " paid from property tax revenues(or dditlonal Was tax reverie.U spplicab4). • _a PRINCIPAL OR 1MIERESTTO j - _ CONTRACT PAYMENT BE PAID - DESCRIPTION TO BE PAID FROM FROM PROPERTY OTHER AMOUNTSBE TOTAL .PAYMENT OP DEBT PROPERLY TAXFS • • - - . C.tlfionte of Obligation- 526.270 27333 SO '329.603 Seri.II Cartifi at.of Obligation-Series 90 S39.I13 53.645 SO S77,160 - • • - Tu RefundingSO S200.160 Bond.-Senn 97 S90.160 511400 - . Central Obiiga0aa S45.345 $tE,170 SO S133.515 BonadsS.tia 93 Cataract Obligation- SO $101,730 Ss..93 S105.000 S3,730 Coorraet Obligation- 525.000 SIS330 SO 540330 ... Sodas 95 Comb TuAR.r - - - Coot of Obligation- SO • � SO 370,000 Series 96 • S6I0,635 Totalnquised for 1996 debt settee - $54000 Amount(if ray)pal from fords listed onSchsdnla A PO Eaca.collections Wt year 5374430 _ .ToW m be p.ld ham taxes In 1996 - ♦Amount added in anticipation that the unit will SO collect only only 1oo.aos of its Naas in 1996 SO .Tbw Debt Levy - of actual effective nod rollback tax rues' •a •lanoo Ym seer inspect a copy of the CWl -This notice moon co 1434•summary calculations n 1434 N.Central Expressway,Rite 116,►14Kinney,Ton 15070. _ Nana of Arran PeaPaf1nE this mtion:Kenneth L Masts CPA Tide Tax Musaor Collector seer.. D.N prepared:Autuat 11.1996 } PUBLISHED IN THE WYILE NEWS ON AUGUST 7, 1996 NOTICE • OF VOTE ON TAX RATE THE CITY OF WYLIE CONDUCTED A PUBLIC HEARING ON A PROPOSAL TO INCREASE YOUR PROPERTY TAX BY 5.65 PERCENT ON TUESDAY, SEPTEMBER 10, 1996 AT 7:00 P.M. THE CITY OF WYLIE CITY COUNCIL IS SCHEDULED TO VOTE ON THE TAX RATE AT A PUBLIC MEETING TO BE HELD ON TUESDAY, SEPTEMBER 24, 1996 AT 7:00 P.M. AT WYLIE MUNICIPAL COMPLEX, 2000 HWY 78 NORTH, WYLIE, TEXAS PUBLISHED IN THE WYLIE NEWS ON SEPTEMER 18, 1996 ( "" vim-+ .+...... • _.._. l_ v-iot Notice of Public Hearing on Tax Increase The City of Wylie will hold a-public hearing on a proposal to increase total tax rev- enues from properties on the tax roll in 1995 by 5.65 percent. Your individual taxes may increase at a greater or lesser rate, or even decrease, depending on the change in the taxable value of your property in relation to the change in taxable value of all other I property. • The public hearing will be held on Tuesday, September 10, 1996 at 7:00 P.M. at Council Chambers,Wylie Municipal Complex, 2000 Hwy. 78 North,Wylie, Texas. I FOR the proposal: Mayor Jim Swartz, Council Members - Reta Allen, Joel I Scott,John Mondy,J.C.Worley,Cleo Adams,Wanda Sparks AGAINST the proposal: PRESENT and not voting: ABSENT: The statement above shows the percentage increase the proposed rate represents over - the effective tax rate that the unit published on Wednesday, August 7, 1996. The fol- lowing table compares taxes on an average home in this taxing unit last year to taxes proposed on the average home this year.Again,your individual taxes may be higher or lower, depending on the taxable value of your property. Last Year This Year Average home value $70,376 $74,249 General exemptions available (amount available on the average home, not including senior citizen's or disabled person's exemptions) $ 0 $ 0 Average taxable value $70,376 $74,249 Tax rate (per $100) 0.65500 0.66500 * Tax $460.96 $493.76 UNDER THIS PROPOSAL TAXES ON THE AVERAGE HOME WOULD INCREASE BY $32.80 OR 7.12 PERCENT COMPARED WITH LAST YEAR'S TAXES. COMPARING TAX RATES WITHOUT ADJUSTING FOR CHANGES IN PROPERTY VALUE, THE TAX RATE WOULD INCREASE.BY $0.01000 • PER $100 OF TAXABLE VALUE OR 1.53 PERCENT COMPARED TO LAST YEAR'S TAX RATE. THESE TAX RATE FIGURES ARE NOT ADJUSTED FOR CHANGES IN THE TAXABLE VALUE OF PROPERTY. 13-1 t-c. *Corrected copy PTTRT.TST-TF.T) TN THE WYLIE NEWS ON AUGUST 28. 1996 Wylie City Council #6&7 Agenda Communication for September 24, 1996 Public Hearing and Approval of Ordinance Onnexating the Thomsen Property Issue Second public hearing and consider and act upon and ordinance for the annexation of 47.21 acres located in the Richard Newman Survey, Abstract No. 1072 in Dallas County, Texas and owned by C. J. and Hortense Thomsen. Background A petition for voluntary annexation from C. J. and Hortense Thomsen has been received in the City Secretary's office. The property is located in the Richard Newman Survey, in Dallas County, Texas and is in Wylie's ETJ, one-half mile or less in width and is vacant and without residents. If Council grants the petition, it shall, by ordinance annex said land as part of the corporate limits of the city. Two public hearings will be held before the petition will be considered for annexation. The first public hearing was held September 10, 1996 and no public comment was received. Financial Considerations The current market value of this property is currently being determined by Dallas County. The land is agricultural exempt. Legal Consideration The Home Rule Charter states that an owner or owners of land contiguous with and adjacent to the city limits may, by petition in writing to the City Council, request said land to be annexed. Local Government Code 43.052, Annexation Hearing Requirements, states the governing body must conduct two public hearings at which persons interested in the annexation are given the opportunity to be heard. Local Government Code 43.053, Period of Completion for Annexation, states the annexation of an area must be completed within 90 days after the date of the governing body institutes the annexation proceedings or those proceedings are void. Staff Recommendations N/A Attachments Ordinance and Service Plan Petition by C. J. & Hortense Thomsen Map of the Area /2 ) TR-AL a- (h614 Prepared By Rev' ed by Fi nc City Mgr. Approval CITY OF WYLIE, TEXAS ORDINANCE NO. AN ORDINANCE ANNEXING A 47.21 ACRE TRACT OF LAND, MORE OR LESS, SITUATED IN THE RICHARD NEWMAN SURVEY, ABSTRACT NO. 1072, DALLAS COUNTY, TEXAS; PROVIDING THAT THE OWNERS AND INHABITANTS OF THE ABOVE-DESCRIBED TRACT OF LAND SHALL BE ENTITLED TO THE RIGHTS AND PRIVILEGES OF OTHER CITIZENS OF WYLIE AND BE BOUND BY THE ACTS AND ORDINANCES NOW IN EFFECT AND HEREINAFTER ADOPTED; PROVIDING FOR A PENALTY FOR A VIOLATION OF THIS ORDINANCE AND COMPREHENSIVE ZONING ORDINANCE NO. 91- 24, CHAPTER 12, EXHIBIT "A" OF WYLIE'S CODE OF ORDINANCES; PROVIDING FOR REPEALING, SAVINGS AND SEVERABILITY CLAUSES; PROVIDING FOR AN EFFECTIVE DATE OF THIS ORDINANCE; AND PROVIDING FOR THE PUBLICATION OF THE CAPTION HEREOF. WHEREAS, the City Council of the City of Wylie, Texas ("City Council") under the authority of Section 43.021, Local Government Code and City of Wylie, Texas' ("Wylie") Home Rule Charter, investigated and determined that it would be advantageous and beneficial to Wylie and its inhabitants to annex the below-described property (the "Property") to Wylie; and WHEREAS, prior to conducting the public hearings required under Section 43.052, Local Government Code, the City Council also investigated and determined that the Property is within the extraterritorial jurisdiction of Wylie and is adjacent and contiguous to the existing city limits of Wylie; and WHEREAS, before the publication of the notice of the first public hearing regarding the annexation of the Property, the City Council directed the appropriate persons to prepare a service plan that provides for the extension of full municipal services to the Property to be annexed; and ORDINANCE ANNEXING 47.21 ACRES, CITY OF WYLIE, DALLAS COUNTY, TEXAS-Page 1 09/18/96/8:28am\L•mbox8\wylie\annex\thomsen.ord WHEREAS, the City Council finds that the service plan has been prepared in full compliance with Section 43.056, Local Government Code, and has been made available for public inspection and was available for explanation to the inhabitants of the Property at the public hearings; and WHEREAS, the City Council finds that the field notes close the boundaries of the Property being annexed; and WHEREAS, the City Council has conducted at least two (2) public hearings at which persons interested in the annexation were given an opportunity to be heard regarding the proposed annexation and the proposed service plan; and WHEREAS, the City Council finds the public hearings were conducted on or after the fortieth (40th) day but before the twentieth (20th) day before the date of institution of the annexation proceedings; and WHEREAS, the City Council finds it has completed the annexation process within ninety (90) days after the City Council instituted annexation proceedings; and WHEREAS, the City Council finds that all legal notices, hearings, procedures and publishing requirements for annexation have been performed and completed in the manner and form set forth by law. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF WYLIE, TEXAS: SECTION 1: The Property described as follows and all public streets, roadways and alleyways located within or contiguous to the same is hereby annexed to Wylie, to- wit: ORDINANCE ANNEXING 47.21 ACRES, CITY OF WYLIE, DALLAS COUNTY, TEXAS-Page 2 09/18/96/8:28am\I:mbox8\wylie\annex\thomsen.ord the Property situated in Dallas County, Texas, being all of a called 47.21 acre tract of land, more or less, in the Richard Newman Survey, Abstract No. 1072, Dallas County, Texas. Said tract is more particularly described in Exhibit "A" attached hereto and incorporated herein for all purposes. SECTION 2: The Service Plan for the Property is attached hereto as Exhibit "B" and made a part hereof for all purposes. SECTION 3: That from and after the passage of this Ordinance, the Property shall be a part of Wylie, and the inhabitants thereof shall be entitled to all the rights and privileges of all of the citizens of Wylie and shall be bound by all of the ordinances and regulations enacted pursuant to and in conformity with the City Charter and the laws of the State of Texas. SECTION 4: That the official map and boundaries of Wylie are hereby amended to include the Property as part of the City of Wylie, Texas, and that a certified copy of this Ordinance shall be filed in the county clerk's office of Collin County, Texas. SECTION 5: It shall be unlawful for any person, firm or corporation to make use of the Property in some manner other than as authorized by this Ordinance and Comprehensive Zoning Ordinance No. 91-24, Chapter 12, Exhibit A, and any amendments thereto; and it shall be unlawful for any person, firm or corporation to construct on the Property any building that is not in conformity with the permissible use under this Ordinance and Comprehensive Zoning Ordinance No. 91-24, Chapter 12, Exhibit A, and any amendments thereto. SECTION 6: Any person, firm or corporation who violates any provision of this Ordinance and Comprehensive Zoning Ordinance No. 91-24, Chapter 12, Exhibit A, and any amendments thereto, shall be deemed guilty of a misdemeanor and upon ORDINANCE ANNEXING 47.21 ACRES, CITY OF WYLIE, DALLAS COUNTY, TEXAS-Page 3 09/18/96/8:28am\1:mbox8\wylie\annex\thomsen.ord conviction shall be fined a sum not exceeding Two Thousand and 00/100 Dollars ($2000.00), and each and every day such violation continues shall be considered a separate offense; provided, however, such penal provision shall not preclude a suit to enjoin such violation. SECTION 7: Should any part or portion of this Ordinance, or the use created herein or under Comprehensive Zoning Ordinance No. 91-24, Chapter 12, Exhibit A, and any amendments thereto, be declared unconstitutional or invalid by a court of competent jurisdiction, it is expressly provided that any and all remaining portions shall remain in full force and effect. SECTION 8: All ordinances in conflict with this Ordinance are repealed to the extent they are in conflict, and any remaining portions of the conflicting ordinance shall remain in full force and effect. SECTION 9: The caption of this Ordinance shall be published in accordance with the law and the City Charter of Wylie and shall be effective immediately upon its passage and publication. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF WYLIE, TEXAS on this 24th day of September, 1996. JIM SWARTZ, Mayor ORDINANCE ANNEXING 47.21 ACRES, CITY OF WYLIE, DALLAS COUNTY, TEXAS-Page 4 09/18/96/8:28am\l:mbox8\wylie\annex\thomsen.ord ATTESTED TO AND CORRECTLY RECORDED BY: SUSAN SHULER City Secretary DATE OF PUBLICATION: ,Wylie News ORDINANCE ANNEXING 47.21 ACRES, CITY OF WYLIE, DALLAS COUNTY, TEXAS-Page 5 09/18/96/8:28am\1:mbox8\wylie\annex\thomsen.ord EXHIBIT A PBSJSJ\JOB\9513100\LG\ANNEX.LGL LEGAL DESCRIPTION 47.21 ACRES BEING a tract of land out of the RICHARD NEWMAN SURVEY, Abstract No. 1072 in Dallas County, Texas and being part of a 411 acre tract of land described in deed to C.J. Thomsen, recorded in Volume 78045, Page 4135 of the Deed Records of Dallas County, Texas and being more particularly described as follows: BEGINNING at a point for the intersection of the northeast right-of-way line of Sachse Road (100' ROW at this point) and the north line of Dallas County,from which the southeast corner of the beforementioned 411 acre tract of land bears North 45°02'46" East, 514.38 feet; THENCE with said northeast right-of-way line, the following courses and distances to wit: South 45°02'46" West, a distance of 54.33 feet to a 1/2" iron rod found for corner; •North 87°55'14" West, a distance of 27.68 to a 5/8" iron rod found with a yellow plastic cap stamped "NELSON CORP" (hereinafter called 5/8" iron rod found); South 45°31'03" West, a distance of 338.72 feet to a 5/8" iron rod found for corner; South 46°13'42" West, a distance of 1230.10 feet to a 3/8" iron rod found for the beginning of a tangent curve to the right, having a central angle of 14°47'00", a radius of 666.34 feet and a chord bearing and•distance of South 53°44'12" West, 171.45 feet; Southwesterly, with said curve, an arc distance of 171.93 feet to a 5/8" iron rod found for corner; South 61°07'42" West, a distance of 0.80 feet to a 5/8" iron rod found for the beginning of a tangent curve to the left, having a central angle of 14°21'58",a radius of 653.29 feet and a chord bearing and distance of South 53°56'43" West, 163.38 feet; Southwesterly, with said curve, an arc distance of 163.80 feet to a point in the center of a the main tributary of Muddy Creek; THENCE leaving the northeast right-of-way line of Sachse Road and with said center of Muddy Creek, the following courses and distances to wit: North 28°20'14" West, a distance of 54.80 feet to a point for corner; North 11°39'46" East, a distance of 155.00 feet to a point for corner; North 76°35'14" West, a distance of 49.00 feet to a point for corner; South 41°09'46" West, a distance of 131.00 feet to a point for corner; North 46°35'14" West, a distance of 191.00 feet to a point for corner; North 31°39'46" East, a distance of 215.00 feet to a point for corner; North 08°02'14" West, a distance of 296.00 feet to a point for corner; North 22°39'46" East, a distance of 160.00 feet to a point for corner; North 16°39'46" East, a distance of 210.00 feet to a point for corner; North 43°09'46" East, a distance of 290.00 feet to a point for corner; North 03°20'14" West, a distance of 210.00 feet to a point for corner; North 52°39'46" East, a distance of 240.00 feet to a point for corner; North 13°39'46" East, a distance of 140.00 feet to a point for corner; North 01°39'46" East, a distance of 139.00 feet to a point for corner; North 47°54'46" East, a distance of 35.12 feet to a point in the north line of Dallas County; THENCE with the said north line of Dallas County, South 89°29'42" East, a distance of 1724.17 feet to the POINT OF BEGINNING and containing 47.21 acres of land. Bearing system based on the bearing of North 53°04'39" East between the Texas Department of Transportation Monuments No. 31 and No. 33 of the horizonal control for the improvements to State Highway No. 78, based on the North Central Zone of the Texas State Plane Coordinate System. June 27, 1998 1:18 EXHIBIT B CITY OF WYLIE, TEXAS SERVICE PLAN FOR ANNEXED AREA ANNEXATION ORDINANCE NO.: DATE OF ANNEXATION ORDINANCE: ACREAGE ANNEXED: _ ACRES SURVEY, ABSTRACT & COUNTY: Municipal Services to the acreage describe above shall be furnished by or on behalf of the City of Wylie, Texas, at the following levels and in accordance with the following schedule: A. POLICE SERVICE 1. Patrolling, responses to calls and other routine police services, within the limits of existing personnel and equipment and in a manner consistent with any of the methods of the City of Wylie, Texas, extends police service to any other area of the municipality, will be provided within sixty (60) days of the effective date of the annexation ordinance. 2. As development and construction commence in this area, sufficient police personnel and equipment will be provided to furnish this area the maximum level of police services consistent with the characteristics of topography, land utilization and population density within the area as determined by the city Council within two (2) years from the effective date of the annexation ordinance, or upon commencement of development within the area, whichever occurs later. 3. Upon ultimate development of the area, the same level of police services will be provided to this area as are furnished throughout the City. B. FIRE SERVICES 1. Fire protection and emergency ambulance equipment by the present personnel and the present equipment of the Fire Department, within the limitations of available water and distances from existing fire stations, and in a manner consistent with any of the methods of the City of Wylie, Texas, extends fire service to any other Page 1 ` area of the municipality, will be provided to this area within sixty (60) days of the effective date of the annexation ordinance. 2. As development and construction commence in this area, sufficient fire and emergency ambulance equipment will be provided to furnish this area the maximum level of police services consistent with the characteristics of topography, land utilization and population density within the area as determined by the City Council within two (2) years from the effective date of the annexation ordinance, or upon commencement of development within the area, whichever occurs later. 3. Upon ultimate development of the area, the same level of fire and emergency ambulance services will be provided to this area as are furnished throughout the City. C.- 'ENVIRONMENTAL HEALTH AND CODE ENFORCEMENT SERVICES 1. Enforcement of the City's environmental health ordinances and regulations, including but not limited to, weed and brush ordinances, junked and abandoned vehicle ordinances and animal control ordinances, shall be provided within this area sixty (60) days of the effective date of the annexation ordinance. These ordinances and regulations will be enforced through the use of existing personnel. Complaints of ordinance or regulation violations within this area will be answered and investigated within sixty (60) days of the effective date of the annexation ordinance. 2. Inspection services, including the review of building plans, the issuance of permits and the inspection of all buildings, plumbing, mechanical and electrical work to ensure compliance with City codes and ordinances will be provided within sixty (60) days of the effective date of the annexation ordinance. Existing personnel will be used to provide these services. 3. The City's zoning, subdivision, sign and other ordinances shall be enforced in this area beginning within sixty (60) days of the effective date of the annexation ordinance. 4. All inspection services furnished by the City of Wylie, but not mentioned above, will be provided to this area beginning within sixty (60) days of the effective date of the annexed ordinance. 5. As development and construction commence in this area, sufficient personnel will be provided to furnish this area the, same level of Environmental Health and Code Enforcement Services as are furnished throughout the City_ Page 2 D. PLANNING AND ZONING SERVICES The planning and zoning jurisdiction of the City will extend to this area within sixty (60) days of the effective date of the annexation ordinance. City planning will thereafter encompass this property, and it shall be entitled to consideration for zoning in accordance with the City's Comprehensive Zoning Ordinance and Comprehensive Plan. E. PARK AND RECREATION SERVICES 1. Residents of this property may utilize all existing park and recreational services, facilities and sites throughout the City, beginning within sixty (60) days of the effective date of the annexation ordinance. • ‘2. Additional facilities and sites to serve this property and its residents will be acquired, developed and maintained at locations and times provided by applicable plans, policies and programs and decisions of the City of Wylie. This property will be included in all plans for providing parks and recreation services to the City. 3. Existing parks, playgrounds, swimming pools and other recreational facilities within this property shall, upon dedication to and acceptance by the City, be maintained and operated by the City of Wylie, but not otherwise. F. SOLID WASTE COLLECTION 1. Solid waste collection shall be provided to the property in accordance with existing City policies, beginning within sixty (60) days of the effective date of the annexation ordinance. Residents of this property utilizing private collection services at the time of annexation shall continue to do so until it becomes feasible because of increased density of population to serve the property municipally. Commercial refuse collection services will be provided to any business located in the annexed area at the same price as presently provided for any business customer within the City of Wylie, upon request. 2. As development and construction commence in this property and population density increases to the property level, solid waste collection shall be provided to this property in accordance with the current policies of the City as to frequency, changes and so forth. 3. Solid waste collection shall begin within sixty (60) days of the effective date of the annexation ordinance. Page 3 ■ G. STREETS 1. The City of Wylie's existing policies with regard to street maintenance, applicable throughout the entire City, shall apply to this property beginning within sixty (60) days of the effective date of the annexation ordinance. Unless a street within this property has been constructed or is improved to the City's standards and specifications, that street will not be maintained by the City of Wylie. 2. As development, improvement or construction of streets to City standards commences within this property, the policies of the City of Wylie with regard to participation in the costs thereof, acceptance upon completion and maintenance after completion, shall apply. 3. The same level of maintenance shall be provided to streets within this property which have been accepted by the City of Wylie as is provided to City streets throughout the City. 4_ Street lighting installed on streets improved to City standards shall be maintained by either TU Electric or Collin County Co-Op in accordance with current City policies. H. WATER SERVICES 1. Connection to existing City water mains for water service for domestic, commercial and industrial use within this property will be provided in accordance with existing City policies. Upon connection to existing mains, water will be provided at rates established by City ordinances for such service throughout the City_ 2. As development and construction commence in this property, water mains of the City will be extended in accordance with provisions of the Subdivision Ordinance and other applicable ordinances and regulations. City participation in the costs of these extensions shall be in accordance with the applicable City ordinances and regulations. Such extensions will be commenced within two (2) years from the effective date of the annexation ordinance and substantially completed with four and one-half (4%) years after that date. 3. Water mains installed or improved to City standards which are within the annexed area and are within dedicated easements shall be maintained by the City of Wylie beginning within sixty (60) days of the effective date of the annexation ordinance. 4. Private water lines within this property shall be maintained by their owners in accordance with existing policies applicable throughout the City_ Page 4 U • I. SANITARY SEWER SERVICES 1. Connections to existing City sanitary sewer mains for sanitary sewage service in this area will be provided in accordance with existing City policies. Upon connection, sanitary sewage service will be provided at rates established by City ordinances for such service throughout the City. 2. Sanitary sewage mains and/or lift stations installed or improved to City standards, located in dedicated easements, and which are within the annexed area and are connected to City mains will be maintained by the City of Wylie beginning within sixty (60) days of the effective date of the annexation ordinance. 3. As development and construction commence in this area, sanitary sewer mains of the City will be extended in accordance with provisions of the Subdivision Ordinance and other applicable City ordinances and regulations_ Such extensions will be commenced within two (2) years from the effective date of the annexation ordinance and substantially completed within four and one-half(4%) years after that date. J. MISCELLANEOUS 1. Any facility or building located within the annexed area and utilized by the City of Wylie in providing services to the area will be maintained by the City commencing upon the date of use or within sixty (60) days of the effective date of the annexation ordinance, whichever occurs later. 2. General municipal administration and administrative services of the City shall be available to the annexed area beginning within sixty (60) days of the effective date of the annexation ordinance. Page 5 U LANDOWNER ANNEXATION PE 1TI-ION TO THE MAYOR AND GOVERNING BODY OF THE CITY OF WYLIE,TEXAS,A GENERAL LAW MUNICIPALITY: The undersigned owner of the hereinafter described tract of land,which is vacant and without residents,hereby petitions your Honorable Body to extend the present city limits so as to include as part of the City of Wylie,Texas(Local Government Code §43.028)the following described territory,to wit: See attached The undersigned certifies that the above described land is contiguous and adjacent to the City of Wylie, is not more than one-half(1/2)mile in width,is vacant and without residents and on which fewer than three qualified voters reside. C. J. en Hortense Thomsen THE STATE OF TEXAS § COUNTY OF 4a § Before me,the undersigned authority,on this day personally appeared C.J.Thomsen and Hortense Thomsen,known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same for the purposes and consideration therein expressed. Given under my hand and seal of office,this 3/I Ge..- day of 1996. Notary Public in-- /and for the State of Texas ":. Printed Name:/V/I-Aid? Commission Expires: 2/3 9 J U L 1 0 1996 SACHS PBSJ#J\J0B19513100\LG\ANNEX.LGL LEGAL DESCRIPTION 47.21 ACRES BEING a tract of land out of the RICHARD NEWMAN SURVEY, Abstract No. 1072 in Dallas County, Texas and being part of a 411 acre tract of land described in deed to C.J. Thomsen, recorded in Volume 78045, Page 4135 of the Deed Records of Dallas County, Texas and being more particularly described as follows: BEGINNING at a point for the intersection of the northeast right-of-way line of Sachse Road (100' ROW at this point) and the north line of Dallas County,from which the southeast corner of the beforementioned 411 acre tract of land bears North 45°02'46" East, 514.38 feet; THENCE with said northeast right-of-way line, the following courses and distances to wit: South 45°02'46" West, a distance of 54.33 feet to a 1/2" iron rod found for corner; -North 87°55'14" West, a distance of 27.68 to a 5/8" iron rod found with a yellow plastic cap stamped "NELSON CORP" (hereinafter called 5/8" iron rod found); South 45°31'03" West, a distance of 338.72 feet to a 5/8" iron rod found for corner; South 46°13'42" West, a distance of 1230.10 feet to a 3/8" iron rod found for the beginning of a tangent curve to the right, having a central angle of 14°47'00", a radius of 666.34 feet and a chord bearing and distance of South 53°44'12" West, 171.45 feet; Southwesterly, with said curve, an arc distance of 171.93 feet to a 5/8" iron rod found for corner; South 61°07'42" West, a distance of 0.80 feet to a 5/8" iron rod found for the beginning of a tangent curve to the left, having a central angle of 14°21'58",a radius of 653.29 feet and a chord bearing and distance of South 53°56'43" West, 163.38 feet; Southwesterly, with said curve, an arc distance of 163.80 feet to a point in the center of a the main tributary of Muddy Creek; THENCE leaving the northeast right-of-way line of Sachse Road and with said center of Muddy Creek, the following courses and distances to wit: North 28°20'14" West, a distance of 54.80 feet to a point for corner; North 11°39'46" East, a distance of 155.00 feet to a point for corner; North 76°35'14" West, a distance of 49.00 feet to a point for corner; South 41°09'46" West, a distance of 131.00 feet to a point for corner; North 46°35'14" West, a distance of 191.00 feet to a point for corner; North 31°39'46" East, a distance of 215.00 feet to a point for corner; North 08°02'14" West, a distance of 296.00 feet to a point for corner; North 22°39'46" East, a distance of 160.00 feet to a point for corner; North 16°39'46" East, a distance of 210.00 feet to a point for corner; North 43°09'46" East, a distance of 290.00 feet to a point for corner; North 03°20'14" West, a distance of 210.00 feet to a point for corner; North 52°39'46" East, a distance of 240.00 feet to a point for corner; North 13°39'46" East, a distance of 140.00 feet to a point for corner; North 01°39'46" East, a distance of 139.00 feet to a point for corner; North 47°54'46" East, a distance of 35.12 feet to a point in the north line of Dallas County; THENCE with the said north line of Dallas County, South 89°29'42" East, a distance of 1724.17 feet to the POINT OF BEGINNING and containing 47.21 acres of land. Bearing system based on the bearing of North 53°04'39" East between the Texas Department of Transportation Monuments No. 31 and No. 33 of the horizonal control for the improvements to State Highway No. 78, based on the North Central Zone of the Texas State Plane Coordinate System. June 27, 1998 1:18 CITY OF WYLIE N8755'14 W 27.68' S89'29'42"E 1724.17' N4754'46"E 35.12' UNINCORPORATED . - N01'39'46"E 139.00' Off• N13'39'46"E 140.00' 'S,A,, N52'39'46"E 240.00' �7 C.) �4r O Q" Q Q G O U NO3'20.14"W 210.00' J. �� �O 4 43'09'46"E 290.00 N. OO�Q GF, [�v 4'7.21 ACRES J�� o cL V LEWIS RHODES 210.00' �0 44 60.00' QQ4 LARRY MARTINEZ 9 6.00' �Nt 0 y"' R� 215.00'ti VICTOR BRISENO JUAN MARTINEZ EARL LEDBETTER q R=666.3446"W 131.00' ` 14'47'00L=171.93' ERNEST CASTILLO 35'14W 49.00' B=55344'12 . 46E 155.00' C 171.45' i4W 54.80' 07'42"W 0.80' R=653.29' •=14'21'5B" L 163.80' CB S53'56'43"W C=1• .38' FETE MARTINEZ PUBLIC HEARING NOTICE The City Council of the City of Wylie, Texas will hold a Public Hearing on Tuesday, September 24, 1996 at 7:00 p.m. in the City Council Chambers in the Wylie Municipal Complex located at 2000 Highway 78 North, to consider approval of annexation of property owned by C. J. and Hortense Thomsen and further described as follows: 47.21 acres located in the Richard Newman Survey, Abstract No. 1072 in Dallas County, Texas As an interested property owner, you are encouraged to attend this meeting or notify the City Council of your feelings regarding this matter in writing by returning the form below. RE: Annexation of C. J. and Hortense Thomsen Property Return this form to : Susan Shuler, City Secretary 2000 Hwy. 78 N Wylie, Texas 75098 "\ I am in favor of the request for the reasons listed below �❑ I am opposed to the request for the reasons listed below 1. 2. 3. Signature tr , Printed Nam J 0 ( g,,v r1 (E i2 Address .2- Vd / ri4 Cxs/' 1(A