2020-11-04 Council Packet 1 of 128

A G E N D A

NOVEMBER 4, 2020 7:00P.M.

CITY OF KEMAH - CITY COUNCIL AND KEMAH PUBLIC FACILITIES CORPORATION

Council Chambers, Kemah City Hall, 1401 State Hwy 146, Kemah, VIRTUAL MEETING

Terri Gale – Mayor Teresa Vazquez-Evans Wanda Zimmer Kyle Burks Robin Collins Isaac Saldaña Council Position 1 Council Position 2 Council Position 3 Council Position 4 Council Position 5 In accordance with the Texas Open Meetings Act the agenda is posted for public information, at all times, for at least 72 hours preceding the scheduled time of the meeting on the bulletin board located on the front exterior wall of the City Hall Building, except in case of emergency meetings or emergency items posted in accordance with law.Texas Criminal and Traffic Law Handbook Penal Code Sec. 38.13 Hindering Proceedings by Disorderly Conduct. A person commits an offense if he intentionally hinders an official proceeding by noise or violent or tumultuous behavior or disturbance. Penal Code Section 42.05 Disrupting Meeting or Procession. A person commits an offense if, with intent to prevent or disrupt a lawful meeting, procession, or gathering, he obstructs or interferes with the meeting, procession, or gathering by physical action or verbal utterance.The City Council reserves the right to meet in closed session on any of the below items should the need arise and if applicable, pursuant to authorization by Title 5, Chapter 551 of the Texas Government Code.

1. Pledges

2. Prayer

3. Presentations • Miss Kemah & Miss Kemah Teen – Key to the City

4. Invitation to Address Council (State law prohibits the Mayor and members of the City Council from commenting on any statement or engaging in dialogue without an appropriate agenda item being posted in accordance with the Texas Open Meetings Law. Comments should be directed to the entire Council, not individual members. Engaging in verbal attacks or comments intended to insult, abuse, malign or slander any individual shall be cause for termination of speaking privileges and expulsion from Council Chambers. Your comments are limited to two (2) minutes.)

5. Council Members Comments and Announcements (Items of Community Interest Only)

6. Mayor’s Comments

7. City Administrator Report: • Financials • Economic Development • Events and Operations

8. CIP

2020-11-04 Council Agenda Page 1 of 3

9. Police and Emergency Management Report • Events and Operations • Emergency Services

10. Communications and Marketing Report

11. Consent Agenda The following items are considered routine by the City Council and will be enacted by one motion. There will not be a separate discussion on these items unless a Council member requests it, in which event the item will be removed from the consent agenda and discussed after the consent agenda

A. To approve the final plat for Corinthian Cove B. To approve the 2021 City of Kemah Holiday Schedule C. To approve the palm tree trimming in Kemah. D. To approve CenterPoint to upgrade all streetlights for the City of Kemah to LED Lights. E. To approve an Ordinance to repeal Ordinance 1086 – Business Registration

12. Consideration and Possible Action: to approve the Cancellation of Access Easement Agreement

13. Consideration and Possible Action: to approve a Resolution adopting a Temporary Disaster Exemption for Kemah Ad Valorem tax for qualified properties for the tax year 2020.

14. Consideration and Possible Action: to select one (or more) respondents to the 2020-2021 Marketing RFP and engagement process.

15. Consideration and Possible Action: to approve the 2019-2020 Budget Amendment

16. Consideration and Possible Action: to approve adjustment of budgeted staffing and expenditures as needed and to approve related 2020-2021 Budget Amendment.

17. Consideration and Possible Action: regarding the sale of the property behind the Shoppes of Kemah

18. Consideration and Possible Action: An Ordinance of the City of Kemah, Texas to require that any property (improved or unimproved) within the City of Kemah shall be subject to a fee for fire fighting and suppression service; the fee shall be periodically set by rate order of Galveston County Water Control District #12, finding that the fees set are reasonable, making it unlawful to fail or refuse to promptly pay said fee, providing a penalty and providing for severability.

19. Consideration and Possible Action: to revise the configuration, timing, signage, and any other aspects of the bollards, lighting, parking areas, and other safety-related changes for 6th street and the Lighthouse District

EXECUTIVE SESSION

2020-11-04 Council Agenda Page 2 of 3

The Council held a closed executive meeting pursuant to the provisions of Chapter 551 of the Texas Government code, Vernon’s Texas Codes annotated, in accordance with the authority contained in: 20. Section 551.087 – Deliberations regarding Economic Development Negotiations • Long Term Lease of the Visitor Center

OPEN SESSION

21. Consideration and Possible Action: to approve a long term lease of the Visitor Center

22. Council Member Closing Comments

23. Mayor’s Closing Comments

24.Adjourn

ONLINE: https://global.gotomeeting.com/join/359262957 PHONE: United States (Toll Free): 1 877 309 2073 United States: +1 (571) 317-3129 ACCESS CODE: 359-262-957

CERTIFICATION This is to certify that a copy of the Notice of the Regular City Council meeting for Wednesday, November 4, 2020, was posted on the bulletin board at City Hall, 1401 Highway 146, Kemah, Texas, on this the 30th day of October, 2020, prior to 7:00 p.m.

______10/30/2020______Melissa Chilcote, City Secretary Date

I certify this notice was removed by me from the Kemah City Hall bulletin board on the ____ day of ______, 2020.

2020-11-04 Council Agenda Page 3 of 3

2020-11-04 Council Packet 5 of 128

Kemah City Council Agenda Item #11A Final Plat Approval for Corinthian Cove Once form is complete and departmental clearances are obtained, this form should be forwarded to the City Secretary as soon as possible prior to the date that the item is expected to be placed on the City Council agenda.

Date requested for Council consideration: 11/04/2020 Prepared by:Jimmy/Cris Subject: Final Plat Approval for Corinthian Cove Proceeding: Consent Originating Department: Community Services Plan Reference: 17SP- or 17OP-

Texas Ethics Commission Form 1295 required? n/a If YES, is copy of Form attached? Contract Identification Number on Form:

City Attorney Review: Yes

Expenditure Required: Amount Budgeted: Appropriation Required: Source of Funds: Finance Approval: n/a

City Administrator Approval:

SUMMARY / ORIGINATING CAUSE Applicant has submitted a preliminary plat for a 1.98 acre subdivided into 2 lots at 2401 Park Ave. Lots are accessed from a private road within a 40’ access utility and drainage reserve. Owner proposes a gravel surfaced private roadway.

IMMINENT CONSEQUENCES / BENEFIT TO COMMUNITY Staff has reviewed and preliminary plat is recommended for approval with the following revisions: 1. Correct width of Reserve “A” to 40 feet. 2. Add a paragraph to dedication stating that Reserves A & B are hereby dedicated to the lot owners for the purpose of access, utility, and drainage purposes. Once approved, a final plat will be submitted to the City for approval. If there are any minor changes a final plat will be presented to Council at the next Council Meeting.

RECOMMENDATIONS Approve

ATTACHMENTS Final Plat

Page 1 of 1 2020-11-04 Council Packet 6 of 128 2020-11-04 Council Packet 7 of 128

Kemah City Council Agenda Item #11B 2021 City of Kemah Holiday Schedule

Once form is complete and departmental clearances are obtained, this form should be forwarded to the City Secretary as soon as possible prior to the date that the item is expected to be placed on the City Council agenda.

Date requested for Council consideration: 11/04/2020 Prepared by: Melissa Chilcote Subject: To approve the 2021 City of Kemah Holiday Schedule Proceeding: Consent Originating Department: Admin Plan Reference: 17SP‐ or 17OP‐

Texas Ethics Commission Form 1295 required? If YES, is copy of Form attached? Contract Identification Number on Form: City Attorney Review:

Expenditure Required: Amount Budgeted: Appropriation Required: Source of Funds: Finance Approval:

City Administrator Approval: (Walter Gant)

SUMMARY / ORIGINATING CAUSE The City Staff has the following holidays off: New Years Day, Martin Luther King Day, President’s Day, Good Friday, Memorial Day, Fourth of July, Labor Day, Veteran’s Day, Thanksgiving, and Christmas. IMMINENT CONSEQUENCES / BENEFIT TO COMMUNITY

RECOMMENDATIONS Approve the schedule ATTACHMENTS 2021 City of Kemah Holiday Schedule

Page 1 of 1 2020-11-04 Council Packet 8 of 128

2021 City of Kemah Holiday Schedule - City Hall Closures (note: Police Department does not close - holiday schedules vary)

New Year's Day Friday, January 1st

Martin Luther King Day Monday, January 18th

Presidents Day Monday, February 15th

Good Friday Thursday, April 1st (City Hall closes at Noon)

Good Friday Friday, April 2nd

Memorial Day Monday, May 31st

Fourth of July Monday, July 5th

Labor Day Monday, September 6th

Veteran's Day Thursday, November 11th

Wednesday, November 24th (City Hall closes at Thanksgiving Noon)

Thanksgiving Thursday, November 25th

Thanksgiving Friday, November 26th

Thursday, December 23rd (City Hall closes at Christmas Noon)

Christmas Friday, December 24th

Christmas Monday, December 27th 2020-11-04 Council Packet 9 of 128

Kemah City Council Agenda Item #11C Palm Tree Trimming Once form is complete and departmental clearances are obtained, this form should be forwarded to the City Secretary as soon as possible prior to the date that the item is expected to be placed on the City Council agenda.

Date requested for Council consideration: 11/04/2020 Prepared by: Cris Roth Subject: To approve the palm tree trimming in City of Kemah Proceeding: Consent Originating Department: Admin Plan Reference: 17SP‐ or 17OP‐

Texas Ethics Commission Form 1295 required? If YES, is copy of Form attached? Contract Identification Number on Form: City Attorney Review:

Expenditure Required: Amount Budgeted: Appropriation Required: Source of Funds: Finance Approval:

City Administrator Approval: (Walter Gant)

SUMMARY / ORIGINATING CAUSE The palm trees that are the responsibility of the City of Kemah to maintain, have not been properly maintained in over a year. There have been multiple complaints from concerned citizens about falling debris from the trees. It has been proposed that the Public Works staff be requested to perform these trimmings. However, the Public Works staff does not have the proper equipment, experience, training or staffing to perform this once a year let alone the twice of year to properly maintain the palm trees.

IMMINENT CONSEQUENCES / BENEFIT TO COMMUNITY Properly maintaining the health of the City’s palm trees while also providing continued service to the citizens of Kemah and visitors without disruption to the functions of Public Works.

RECOMMENDATIONS Approve the palm tree trimming ATTACHMENTS Quotes for Palm Tree Trimming

Page 1 of 1 2020-11-04 Council Packet 10 of 128 CITY OF KEMAH PUBLIC WORKS PALM TREE TRIMMING CONTACT LIST

 GARRETT’S INDUSTRIAL TREE SERVICE (832) 221‐9269  TEXAS TREE TRIMMING (832) 736‐9777 o HTTPS://TEXAS‐TREE‐TRIMMING.BUSINESS.SITE/?UTM_SOURCE=GMB&UTM_MEDIUM=REFERRAL  LEAGUE CITY TREE TRIM (281) 346‐4040 o HTTP://WWW.LCTREETRIM.COM/  TREE‐MENDUS TREE SERVICE (281) 686‐3496 o HTTP://WWW.TREEMENDUSTREESERVICE.COM/  Paul's tree Service (409) 655‐9660 o http://arboristcare.org/?utm_source=gmb&utm_medium=referral 

CITY OF KEMAH DEPARTMENT OF PUBLIC WORKS 1401 HWY 146, KEMAH, TX 77565 281‐334‐1611 2020-11-04 Council Packet 11 of 128 CITY OF KEMAH PUBLIC WORKS PALM TREE LOCATIONS

(March 2019)

List of Palm Tree locations for maintenance within Kemah, Texas

End of Courtesy Ln – 3

Cien Park – 3

End of 8th Street – 7

End of 6th Street – 5

5th Street & Bradford – 3

End of 4th Street – 2

Texas Avenue – 38

Hwy 146 – 13 (8 at 6th street, 1 at Meadow, 4 at Bay)

Hwy 2094 – 32

Hwy 518 – 33

57 Acre Park area – 15

Municipal Services Center Area (1900 Anders) – 10

Total – 164

CITY OF KEMAH DEPARTMENT OF PUBLIC WORKS 1401 HWY 146, KEMAH, TX 77565 281‐334‐1611 2020-11-04 Council Packet 12 of 128

October 21, 2020

Proposal for City of Kemah Palm Tree Maintenance

We are pleased to submit our proposal for semi-annual maintenance of all palm trees the City of Kemah oversees at $35.00 per palm tree. This set rate will include frond trimming, clean-up and disposal of all debris. Any other service needed to maintain and/or removal of palm tree will be charged an additional fee upon approval from City of Kemah.

We are a family owned local business who is licensed and bonded and we take great pride in our work. We would love the opportunity to take over this contract for the City of

Kemah. Please do not hesitate to contact me with any additional questions you may have regarding our services. We look forward to hearing from you.

Best regards,

Jonathan Little Ritchie’s Tree & Tractor Services (346) 422 - 9344

2020-11-04 Council Packet 13 of 128

quote

Garrett’s Services Date: October 12, 2020

Expiration Date: [Click to select date]

To City of Kemah

Salesperson Job Payment Terms Due Date Garrett dickerson trees #00123

Twice Three year Qty Item # Description Once a year Line Total a year price price 164 Palm tree Trimmed hauled off 42.00 42.00 1400.00 164 Palm tree Twice a year 38.00 76.00 164 Palm tree Trim twice a year for 3 years 35.00 70.00

Total Discount Subtotal 2240.00 Tax 8.25 2424.80 50%

down Total

To accept this quotation, sign here and return: ______

Thank you for your business!

Garrett’s services 3124 fm646 n rd santa fe tx 77510 Ph-832-221-9269 2020-11-04 Council Packet 14 of 128 2020-11-04 Council Packet 15 of 128 2020-11-04 Council Packet 16 of 128

Kemah City Council Agenda Item #11D LED Light upgrades from CenterPoint Once form is complete and departmental clearances are obtained, this form should be forwarded to the City Secretary as soon as possible prior to the date that the item is expected to be placed on the City Council agenda.

Date requested for Council consideration: 11/04/2020 Prepared by: Cris Roth Subject: To approve CenterPoint to upgrade all streetlights for the City of Kemah to LED Lights Proceeding: Consent Originating Department: Admin Plan Reference: 17SP‐ or 17OP‐

Texas Ethics Commission Form 1295 required? If YES, is copy of Form attached? Contract Identification Number on Form: City Attorney Review:

Expenditure Required: Amount Budgeted: Appropriation Required: Source of Funds: Finance Approval:

City Administrator Approval: (Walter Gant)

SUMMARY / ORIGINATING CAUSE The Council asked Staff to investigate ways to further enhance the safety and security of the community. An ongoing problem is the amount & frequency of street lights being burned out or non‐operational. IMMINENT CONSEQUENCES / BENEFIT TO COMMUNITY LED lighting offers enhanced visibility and safety, longevity, reduced maintenance all while greatly reducing energy consumption. Per the CenterPoint Energy conversion consultant switching the 433 street lights of Kemah to LED would save an approximate 12,195 KWH’s a month of electricity. RECOMMENDATIONS Approve the CenterPoint Agreement ATTACHMENTS LED Replacement Agreement – City of Kemah CNP RetailDelTariffBook – Streetlight Sections

Page 1 of 1 2020-11-04 Council Packet 17 of 128 CITY OF KEMAH PUBLIC WORKS LED STREET LIGHT W/CENTERPOINT ENERGY

Randy Morehead 713‐945‐6282 [email protected]

LED Conversion Consultant Angela Pindell

CITY OF KEMAH DEPARTMENT OF PUBLIC WORKS 1401 HWY 146, KEMAH, TX 77565 281‐334‐1611 2020-11-04 Council Packet 18 of 128

From: Pindell, Angela M To: Christopher Roth Subject: City of Kemah account summary Date: Tuesday, October 13, 2020 1:55:38 PM Attachments: image001.png image002.png image003.png image004.png image005.png image006.png CITY OF KEMAH ACCOUNT SUMMARY.xlsx

Hi Chris,

Pleasure speaking with you this morning. Attached is an account summary for the City of Kemah. Below is a breakdown of your savings per light type if converted to the LED equivalent.

323 100W HPS x 38 KWH’s per light= 12,274 KWH’s per month 323 45W LED x 17 KWH’s per light= 5,491 KWH’s per month Total savings= 6,783 KWH’s per month

46 150W HPS x 58 KWH’s per light= 2,668 KWH’s per month 46 95W LED x 32 KWH’s per light= 1,472 KWH’s per month Total savings= 1,196 KWH’s per month

62 250W HPS x 106 KWH’s per light= 6,572 KWH’s per month 62 115W LED x 38 KWH’s per light= 2,356 KWH’s per month Total savings= 4,216 KWH’s per month

Total monthly KWH’s savings if converted= 12,195 KWH’s a month

Please let me know if you have any questions.

Thanks, Angie Pindell Sr Service Consultant | Distrubution Projects & Lighting Design 713.945.3245 w. | 713.945.4815 f. CenterPointEnergy.com/ServiceConnect

2020-11-04 Council Packet 19 of 128

From: Pindell, Angela M To: Christopher Roth Subject: RE: City of Kemah - LED conversion Date: Tuesday, October 13, 2020 8:02:21 AM Attachments: image001.png image002.png image003.png image004.png image005.png image018.png image019.png image020.png image021.png image022.png image023.jpg CNP RetailDelTariffBook- Street LIght Sections.pdf LED Replacement Agreement - CITY OF KEMAH.pdf

Good morning Chris,

Thank you for your interest in CenterPoint Energy’s LED Street Light Conversion. CenterPoint Energy will convert existing street lights to LED for which satisfactory replacements are available. Customers will continue to pay the same monthly maintenance rates as the existing high pressure sodium, metal halide, and mercury vapor lighting. However, customers will see 40-50% reduction in energy consumption. For example, an underground 100W HPS street light costs $11.19/month to maintain and consumes 38KWH per month. The replacement underground 45W LED street light costs $11.01/month to maintain, but only consumes 17KWH per month.

CenterPoint may request recovery of the expenses associated with converting the lights to LED through either a distribution capital recovery factor application under Public Utility Commission of Texas Substantive Rule 25.243 or other rate proceeding. The exact method and duration for the recovery has not been determined, so I am unable to provide the future cost. Typically, it is a small charge applied to every customer’s bill for a defined time-period. Once the costs are collected, the charge is removed.

Attached is the revised street light section of the tariff and the LED Street Light Conversion Agreement. If you would like to proceed, please sign and return the agreement letter.

If you have any additional questions, please contact me.

Regards,

Angie Pindell Sr Service Consultant | Distrubution Projects & Lighting Design 713.945.3245 w. | 713.945.4815 f. CenterPointEnergy.com/ServiceConnect

2020-11-04 Council Packet 20 of 128

From: Morehead, Randy D Sent: Monday, October 12, 2020 3:52 PM To: Pindell, Angela M Cc: [email protected] Subject: City of Kemah - LED conversion

Angie,

Chris with the City of Kemah is interested in converting their streetlights to LED. Can you please get with him, explain the process and provide any information you have.

Thanks

Randy Morehead Service Consultant | Distribution Projects & Lighting Design 713.945.6282 | 4700 S Shaver St Bld I, # 305 , Tx 77034 CenterPointEnergy.com/ServiceConnect

2020-11-04 Council Packet 21 of 128

TARIFF FOR RETAIL DELIVERY SERVICE

CenterPoint Energy Houston Electric, LLC 1111 LOUISIANA P. O. BOX 1700 HOUSTON, TEXAS 77251

1 2020-11-04 Council Packet 22 of 128 Chapter 6: Company Specific Items Sheet No. 6.6 Page 1 of 10

CenterPoint Energy Houston Electric, LLC Applicable: Entire Service Area CNP 8020

6.1.1.1.6 LIGHTING SERVICES (Street Lighting and Miscellaneous Lighting Services)

STREET LIGHTING SERVICE

AVAILABILITY Street lighting service is available to cities, governmental agencies, real estate developers and other groups (herein referred to as Retail Customers) requesting the installation of Company- owned and maintained street lighting systems along public streets, roadways or other public access areas in accordance with Section 6.1.2.2, Construction Services, in this Tariff. Street lighting service is not applicable to privately-owned street lighting systems. Privately-owned street lighting systems may be eligible for Delivery Service under the Company’s applicable rate schedule for Secondary or Primary Service.

TYPE OF SERVICE Street lighting service consists of the installation of Company-owned street lights, fixtures, luminaires and lamps (collectively, Lamps) and (if requested by Retail Customer) ornamental standards along public streets, roadways or other public access areas in accordance with section 6 of the Company’s Construction Services Policy in Section 6.1.2.2 of this Tariff, as well as the delivery of Electric Power and Energy at Company’s standard Secondary Distribution Voltages to, and the maintenance and replacement of, such installations pursuant to the rates set forth in this Rate Schedule. If ornamental standards are not requested by Retail Customer, the Lamp installations will be mounted on the Company’s existing distribution poles, if available, and served by overhead conductors. Street lighting service will be provided at various voltages as determined by the Company. Delivery Service under this Rate Schedule is an Unmetered Service. Company will install, own and maintain the street lighting service installations provided hereunder. Company’s street lighting service is built to NESC standards. At the request of Customer and at Company's discretion, Company may build to other standards, with Customer being responsible for any difference in cost. All street Lamps, including LED Lamps, will burn out and/or dim over time, and therefore the lumens delivered by a street Lamp will vary over time and will vary from Lamp to Lamp. Company will replace burned out street Lamps, and/or make maintenance repairs during regular working hours, at its own cost and expense and will generally have the lighting service restored within 72 hours after notification by the Retail Customer, but with no adjustment of payments hereunder due to outage or varying levels of lumens. Street Lamps furnished hereunder shall operate under normal conditions from approximately thirty minutes after sunset to approximately thirty minutes before sunrise every night in the year and the assumed total time of operations will be approximately four thousand (4,000) hours each year for each light furnished.

Revision Number: 20th Effective: 04/23/20 102 2020-11-04 Council Packet 23 of 128 Chapter 6: Company Specific Items Sheet No. 6.6 Page 2 of 10

CenterPoint Energy Houston Electric, LLC Applicable: Entire Service Area CNP 8020

MONTHLY RATE

I. Transmission and Distribution Charges

The monthly charges listed in the table below cover the provision of Delivery Service to street lighting systems requested by Retail Customer and installed by Company pursuant to this Rate Schedule, including the maintenance but excluding the installation of those systems. Charges for the installation of street lighting systems are governed by the Construction Services Policy in Section 6.1.2.2 of this Tariff.

In addition to the following monthly charges per Lamp, an additional $0.89 per month will be charged for each Lamp with a break-away base if requested by Retail Customer and installed by Company.

Lamp Type Schedule Schedule Schedule Schedule Schedule Monthly Initial Lumen Watt A* B* C* D* E* KWH (Bulb

Only) Mercury Vapor 22,600 Lumen 400 $3.94 $16.37 N.A. $11.46 $10.19 150 7.800 Lumen 175 $3.46 N.A. N.A. $10.98 N.A. 69 4,200 Lumen 100 $3.48 $15.97 N.A. $11.00 N.A. 41 High Pressure Sodium Vapor 50,000 Lumen 400 $3.91 $16.35 N.A. $11.43 $10.16 160 28,000 Lumen 250 $3.80 $16.23 $8.94 $11.32 $10.05 106 15,000 Lumen 150 $3.69 $16.13 $8.83 $11.21 $9.94 58 9,500 Lumen 100 $3.67 $16.08 N.A. $11.19 $9.93 38 6,000 Lumen 70 $3.64 $16.08 N.A. $11.16 N.A. 29

Metal Halide 32,200 Lumen 400 $4.94 N.A. N.A. $17.25 $14.11 159 19,475 Lumen 250 $9.14 N.A. N.A. $16.50 $13.34 96 12,900 Lumen 175 $7.22 N.A. N.A. $14.67 $12.52 70 7,900 Lumen 100 $6.63 N.A. N.A. $14.08 $11.93 40 Light Emitting Diode (LED) 15,100 Lumen 180 $4.57 N.A. N.A. $6.05 $22.19 64 10,850 Lumen 115 $4.20 $16.66 $19.23 $11.74 $10.73 38 7,900 Lumen 95 $3.86 $16.31 $9.27 $11.39 $10.38 32 4,800 Lumen 45 $3.47 $15.93 N.A. $11.01 $10.00 17 2,000 Lumen 20 $3.47 N.A. N.A. $11.01 N.A. 8

Revision Number: 20th Effective: 04/23/20 103 2020-11-04 Council Packet 24 of 128 Chapter 6: Company Specific Items Sheet No. 6.6 Page 3 of 10

CenterPoint Energy Houston Electric, LLC Applicable: Entire Service Area CNP 8020

* DESCRIPTION OF LIGHTING CONFIGURATIONS Schedule A -one or more Lamps mounted on existing distribution poles and served by overhead conductors. Schedule B -single Lamp mounted on ornamental standard and served by overhead conductors. Limited to existing installations. Schedule C -twin Lamps mounted on ornamental standard and served by overhead conductors. Limited to existing installations. Schedule D -single Lamp mounted on ornamental standard and served by underground conductors, or decorative residential streetlights. Schedule E -twin Lamps mounted on ornamental standard and served by underground conductors.

II. Transition Charge: See Schedules TC2, TC3, SRC, and TC5

III. Nuclear Decommissioning See Rider NDC Charge:

IV. Transmission Cost Recovery See Rider TCRF Factor:

V. Other Charges or Credits:

A. Municipal Account Franchise Credit ($0.001597) per kWh (see application and explanation below)

B. Rate Case Expenses Surcharge See Rider RCE

C. Energy Efficiency Cost Recovery Factor See Rider EECRF

D. Accumulated Deferred Federal See Rider ADFIT Income Tax Credit

E. Distribution Cost Recovery Factor See Rider DCRF

F. Unprotected Excess Deferred See Rider UEDIT Income Tax

OTHER PROVISIONS Municipal Account Franchise Credit. A credit equal to the amount of franchise fees included in the Transmission and Distribution Charges will be applied to municipal accounts receiving service within the incorporated limits of such municipality which imposes a municipal franchise fee upon the Company based on the kWh within that municipality and who have signed an appropriate Franchise Agreement.

Revision Number: 20th Effective: 04/23/20 104 2020-11-04 Council Packet 25 of 128 Chapter 6: Company Specific Items Sheet No. 6.6 Page 4 of 10

CenterPoint Energy Houston Electric, LLC Applicable: Entire Service Area CNP 8020

LED Street Lamp Lumen Levels. By choosing an LED street lighting option, Retail Customer (1) acknowledges that there will be variances in lumen levels and energy consumption between individual LED Lamps and between an LED Lamp and the applicable lumen and watt levels for the Lamp set forth in the table above, and (2) agrees to not hold Company liable for any variations in LED Lamp performance.

The Initial Lumen and Watt levels shown in the table above for LED street lights reflect a target average lumen output and a target average wattage level and may not be representative of any particular LED Lamp.

The Monthly KWH level shown in the table above for LED street Lamps reflects a target average KWH level and may not be representative of any particular LED luminaire.

MISCELLANEOUS LIGHTING SERVICE

AVAILABILITY Miscellaneous Lighting Service is available in areas designated by Company with suitable locations, where permission for installation has been granted by all affected parties, and where facilities of adequate capacity and suitable voltage are adjacent to the lighting fixture(s) to be served. All new fixtures installed by Company for the provision of Miscellaneous Lighting Service must be purchased from a third-party vendor and owned by the Retail Customer or the Retail Customer’s REP (“Customer Owned Installation” or “Customer Owned Fixture”). All Customer Owned Fixtures must be approved by Company prior to installation and must conform to one of the lamp types described in the table below, except that metal halide and mercury vapor fixtures will no longer be approved by Company for installation as Customer Owned Fixtures. Existing Company owned fixtures will continue to be owned by the Company (“Company Owned Installation” or “Company Owned Fixture”). Miscellaneous Lighting Service consists of the delivery of electric power and energy to, and the installation and maintenance of lighting fixtures, as described herein. Retail Customer’s electric power and energy must be provided by the Retail Customer’s REP in accordance with Applicable Legal Authorities and the Company’s Tariff.

TYPE OF SERVICE Miscellaneous Lighting Service is provided as an Unmetered Service at Company’s standard secondary distribution voltages to Customer Owned and Company Owned Fixtures which operate automatically every night from dusk to dawn. The Company will install, make electrical connection(s), and maintain the lighting fixture(s), whether Customer Owned or Company Owned.

Charges for services shall commence on the date that the electrical connection is made.

Revision Number: 20th Effective: 04/23/20 105 2020-11-04 Council Packet 26 of 128 Chapter 6: Company Specific Items Sheet No. 6.6 Page 5 of 10

CenterPoint Energy Houston Electric, LLC Applicable: Entire Service Area CNP 8020

MONTHLY RATE

I. Transmission and Distribution Charges

In addition to the installation charges described below for Customer Owned Fixtures, the following monthly charges apply to Miscellaneous Lighting Service.

A. Only the T&D Charge below is applicable to Customer Owned Installations.

B. The T&D Charge and the Fixture Charge below are applicable to Company Owned Installations. In addition to the T&D Charge and the Fixture Charge for each lamp type in the table below, an additional charge of $2.16 per month is charged for a span of secondary which was installed exclusively for Miscellaneous Lighting Service and Retail Customer did not reimburse Company for construction cost (applies only to installations existing as of 1-1-2002).

T&D LUMEN TOTAL FIXTURE MONTHLY TYPE OF LAMP CHARGE RATING WATTAGE CHARGE1 KWH

Floodlighting/Directional Lighting

High Pressure Sodium High Pressure Sodium (150 watts) $3.39 15,000 185 $3.76 High Pressure Sodium (250 watts) $4.12 28,000 315 $4.49 High Pressure Sodium (400 watts) $3.69 50,000 475 $4.06 High Pressure Sodium (1,000 watts) $6.94 140,000 1,100 N.A.

Light Emitting Diode (LED)

Light Emitting Diode (40 watts) $3.76 $3.39 4,800 40 14 LED Alternative For 150W High Pressure Sodium

Light Emitting Diode (70 watts) $4.49 $4.12 7,900 70 24 LED Alternative For 250W High Pressure Sodium

Light Emitting Diode (100 watts) $4.06 $3.69 11,300 100 33 LED Alternative For 400W High Pressure Sodium

Light Emitting Diode (175 watts) N.A. $6.94 15,100 175 58 LED Alternative For 1,000W High Pressure

Sodium

Revision Number: 20th Effective: 04/23/20 106 2020-11-04 Council Packet 27 of 128 Chapter 6: Company Specific Items Sheet No. 6.6 Page 6 of 10

CenterPoint Energy Houston Electric, LLC Applicable: Entire Service Area CNP 8020

T&D LUMEN TOTAL FIXTURE MONTHLY TYPE OF LAMP CHARGE RATING WATTAGE CHARGE1 KWH Metal Halide

Metal Halide (175w) (no new installations) N/A $9.24 12,900 210 70

Metal Halide (250w) (no new installations) N/A $17.08 19,475 294 98

Metal Halide (400 w) (no new installations) N/A $6.96 32,200 476 159

Metal Halide (1,000w) (no new installations) N/A $13.44 104,500 1,100 367

Roadway/General Lighting

High Pressure Sodium (150 watts) $2.30 15,000 185 $2.42 61

Light Emitting Diode (95 watts) $2.42 $2.30 7,900 95 32 LED Alternative For 150W High Pressure Sodium

Guard Lighting

High Pressure Sodium (100 watts) $2.42 $2.29 9,500 120 40

Light Emitting Diode (40 watts) $2.42 $2.29 4,800 40 14 LED Alternative For 100W High Pressure Sodium

1 Applies only to Company Owned Fixtures that are Company-owned and installed prior to September 1, 2000.

II. Transition Charge: See Schedules TC2, TC3, SRC, and TC5

III. Nuclear Decommissioning See Rider NDC Charge:

IV. Transmission Cost Recovery See Rider TCRF Factor:

V. Other Charges or Credits: A. Municipal Account Franchise Credit ($0.002372) per kWh (see application and explanation below)

B. Rate Case Expenses Surcharge See Rider RCE

Revision Number: 20th Effective: 04/23/20 107 2020-11-04 Council Packet 28 of 128 Chapter 6: Company Specific Items Sheet No. 6.6 Page 7 of 10

CenterPoint Energy Houston Electric, LLC Applicable: Entire Service Area CNP 8020

C. Energy Efficiency Cost Recovery Factor See Rider EECRF

D. Accumulated Deferred Federal See Rider ADFIT Income Tax Credit

E. Distribution Cost Recovery Factor See Rider DCRF

F. Unprotected Excess Deferred See Rider UEDIT Income Tax

OTHER PROVISIONS

Municipal Account Franchise Credit. A credit equal to the amount of franchise fees included in the Transmission and Distribution Charges will be applied to municipal accounts receiving service within the incorporated limits of such municipality which imposes a municipal franchise fee upon the Company based on the kWh within that municipality and who have signed an appropriate Franchise Agreement.

Acceptable Lamp Types for Installation. For Miscellaneous Lighting Service, the Company no longer installs Customer Owned Fixtures that use mercury vapor or metal halide lighting. Only Customer Owned Fixtures using high pressure sodium or LED lighting are accepted by Company for installation. Existing mercury vapor and metal halide installations (whether Customer Owned Installations or Company Owned Installations) will be converted to the appropriate high pressure sodium or LED equivalent from time to time during the normal course of maintenance when individual lamps burn out. Mercury vapor Guard Lighting installations with 7,800 lumen lamps will be converted to 9,500 lumen high pressure sodium, at no up-front cost to the Retail Customer.

LED Lumen Levels. By choosing an LED miscellaneous lighting option, Retail Customer (1) acknowledges that there will be variances in lumen levels and energy consumption between individual LED lamps and between the an LED Lamp and the applicable lumen and watt levels for the other lamp types set forth in the table above, and (2) agrees to not hold Company liable for any variations in LED Lamp performance.

INSTALLATION AND MAINTENANCE FOR CUSTOMER OWNED FIXTURES Company will install and maintain the lighting fixture(s) served hereunder. For all Miscellaneous Lighting fixture installations except Guard Lighting fixtures, the Company will provide for each fixture the bulb and the photoelectric relay at the time of installation. Company will replace burned out lamps and make other maintenance repairs during Company’s regular working hours at Company's expense, but with no adjustment of payments hereunder due to outage. Maintenance includes replacement of burned-out lamps (bulbs) and malfunctioning photoelectric relays.

Revision Number: 20th Effective: 04/23/20 108 2020-11-04 Council Packet 29 of 128 Chapter 6: Company Specific Items Sheet No. 6.6 Page 8 of 10

CenterPoint Energy Houston Electric, LLC Applicable: Entire Service Area CNP 8020

Damages due to vandalism, storms, accidents or manufacturing defects are not included under maintenance. Generally, Company will make maintenance repairs under this tariff within 72 hours after notification by the Retail Customer or REP.

The Retail Customer will be charged a one-time fee per lighting fixture to cover the Company’s standard installation as detailed below. Standard installation consists of installing the lighting fixture on an existing wooden distribution pole and connecting service supplied from an existing or new overhead secondary conductor on the pole as detailed below. Standard installations are made during normal Company business hours. The charges below include both the labor to install and eventually remove fixtures. Any additional construction and/or cost required to provide service will be at the Retail Customer's expense, for an additional charge. Any additional facilities so required will be owned, installed and maintained by the Company.

Retail Customer or REP must purchase/provide all lighting fixtures. Only un-metered lighting fixtures meeting Company Service Standards and specifications will be allowed under this tariff. The Retail Customer or REP will own the lighting fixture.

Revision Number: 20th Effective: 04/23/20 109 2020-11-04 Council Packet 30 of 128 Chapter 6: Company Specific Items Sheet No. 6.6 Page 9 of 10

CenterPoint Energy Houston Electric, LLC Applicable: Entire Service Area CNP 8020

CUSTOMER OWNED FIXTURES One Light Two Lights Three Lights STANDARD INSTALLATION FEES per Pole per Pole per Pole

Flood Light High Pressure Sodium Installations without secondary 150w, 250w, 400w $325 $350 $405 1000w $370 $450 $550 Installations with 150 feet of secondary 150w, 250w, 400w $425 $450 $505 1000w $470 $550 $655

Light Emitting Diode Installations without secondary 40w, 100w, 180w $325 $350 $405 $370 $450 $550 Installations with 150 feet of secondary 40w. 100w, 180w $425 $450 $505 $470 $550 $655 Guard Light Installations without secondary 100w HPS $325 N/A N/A Installations with secondary 100w HPS $365 N/A N/A

Installations without secondary 100w LED $325 N/A N/A Installations with secondary 100w LED $365 N/A N/A Roadway Light Installations without secondary 150w HPS $335 N/A N/A Installations with secondary 150w HPS $375 N/A N/A

Installations without secondary 95w LED $335 N/A N/A Installations with secondary 150w HPS 95w LED $375 N/A N/A

INSTALLATION AND MAINTENANCE FOR COMPANY OWNED FIXTURES Company Owned Fixtures were installed by the Company before September 1, 2000. Company will replace burned out lamps and make other maintenance repairs during Company’s regular working hours at Company's expense, but with no adjustment of payments hereunder due to outage. Maintenance includes replacement of burned-out lamps (bulbs) and malfunctioning photoelectric relays, and damages due to vandalism, storms, accidents or manufacturing defects.

Revision Number: 20th Effective: 04/23/20 110 2020-11-04 Council Packet 31 of 128 Chapter 6: Company Specific Items Sheet No. 6.6 Page 10 of 10

CenterPoint Energy Houston Electric, LLC Applicable: Entire Service Area CNP 8020

Generally, Company will make maintenance repairs under this tariff within 72 hours after notification by the Retail Customer or REP.

EXTRAORDINARY MAINTENANCE ACTIVITIES For Customer Owned Fixtures, Company will charge Retail Customer an additional fee as detailed below for each occurrence of the extraordinary maintenance activities listed hereunder.

CUSTOMER OWNED FIXTURES EXTRAORDINARY MAINTENANCE FEE ACTIVITY FEE (1) Replace a vandalized shield $125.00 (parts and labor) (2) Make adjustments to the fixture $125.00 (labor only) (3) Replace a fixture $125.00 (labor only) (4) Relocate a fixture As Calculated (labor only)

NOTICE This Rate Schedule is subject to the Company’s Tariff and Applicable Legal Authorities.

Revision Number: 20th Effective: 04/23/20 111 2020-11-04 Council Packet 32 of 128

LED STREET LIGHT INSTALLATION AGREEMENT

This LED Street Light Installation Agreement is entered into by and between CenterPoint Energy Houston Electric, LLC (“CenterPoint” or the “Company”) and the City of Kemah (“Customer”) (collectively, the “Signatories”).

1. CenterPoint will procure and install LED luminaires and new photoelectric relays for all street lights within the Subdivision for which replacements satisfactory to the Customer and CenterPoint are commercially available (hereinafter the “Project”). A current list of satisfactory and commercially available LED luminaire replacements for existing mercury vapor, high pressure sodium, and metal halide street lights is set forth in section 6.1.1.1.6 of CenterPoint’s Tariff for Retail Delivery Service (the “Tariff”).

2. The Project shall commence within twelve months of the effective date of this agreement and shall be complete no later than one year after commencement. The Company reserves the right to change that completion date depending on the demand for LED luminaires by other retail customers to ensure an efficient and non-discriminatory deployment of LED luminaires throughout the Company’s service territory. After commencement of the Project, all new streetlights installations within the Subdivision will consist of LED luminaires satisfactory to the Customer and CenterPoint that are commercially available, unless otherwise agreed to in writing by CenterPoint and the Customer.

3. The Customer acknowledges that the Company’s ability to commence and complete the Project on the timeline set forth in paragraph 2 above is dependent upon factors such as workforce availability and vendor production constraints which could affect the commencement and completion dates. The Company will notify the Customer upon the occurrence of any event that will affect the commencement and completion dates.

4. The Customer acknowledges that CenterPoint may request recovery of the capital (including a reasonable return) and expenses associated with the Project through either a distribution capital recovery factor application under Public Utility Commission of Texas Substantive Rule 25.243 or other rate proceeding. The Customer agrees that the Project is prudent, reasonable and necessary and acknowledges that CenterPoint may request recovery by CenterPoint of all used and useful capital (including a reasonable return) and the reasonable and necessary expenses associated with the Project.

5. During the Project period, CenterPoint will work in good faith with vendors to identify satisfactory LED replacement luminaires for those street light luminaires within the Subdivision that are not currently part of the Project. As the Company and the Customer agree on additional LED replacement luminaires, the Company will seek regulatory approval of rates for those street lights not currently part of the Project, if different than the rates described in the Company’s Tariff, and following regulatory approval, if needed, will add those street lights to the Project.

6. The Signatories agree that this agreement may be executed in multiple counterparts.

7. This agreement is effective on the date it is signed by all parties.

LED Street Light Installation Agreement Page 1

2020-11-04 Council Packet 33 of 128

CENTERPOINT ENERGY HOUSTON ELECTRIC, LLC

By: Name: Title: Date:

CITY OF KEMAH

By: Name: Title: Date:

LED Street Light Installation Agreement Page 2

2020-11-04 Council Packet 34 of 128

Kemah City Council Agenda Item #11E Repealing Ordinance 1086 – Business Registration

Once form is complete and departmental clearances are obtained, this form should be forwarded to the City Secretary as soon as possible prior to the date that the item is expected to be placed on the City Council agenda.

Date requested for Council consideration: 11/04/2020 Prepared by: Melissa Chilcote Subject: Ordinance repealing Ordinance 1086 – Business Registration Proceeding: Ordinance Originating Department: Admin Plan Reference: 17SP‐ or 17OP‐

Texas Ethics Commission Form 1295 required? N/A If YES, is copy of Form attached? Contract Identification Number on Form: City Attorney Review: n/a

Expenditure Required: N/A Amount Budgeted: Appropriation Required: Source of Funds: Finance Approval: n/a

City Administrator Approval:

SUMMARY / ORIGINATING CAUSE At the October 21st meeting, City Council approved to repeal the Ordinance requiring Businesses to register every year in the City of Kemah.. IMMINENT CONSEQUENCES / BENEFIT TO COMMUNITY

RECOMMENDATIONS Approve Ordinance to repeal Ordinance 1086 ATTACHMENTS Ordinance XXXX – Repealing Ordinance 1086 – Business Registration

Page 1 of 1 2020-11-04 Council Packet 35 of 128

ORDINANCE NO. ______

AN ORDINANCE REPEALING ORDINANCE NO. 1086 OF THE CITY OF KEMAH, TEXAS, THEREBY REMOVING THE REQUIREMENT OF THE REGISTRATION OF A BUSINESS CONDUCTED IN A COMMERCIAL BUILDING OR STRUCTURE IN THE CITY OF KEMAH TEXAS.

BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF KEMAH, TEXAS THAT:

1. ORDINANCE No. 1086 (dated January 16, 2013) created the requirement of registration of a business conducted in a commercial building or structure in the City of Kemah, Texas

2. It is ordered that ORDINANCE NO. 1086 is hereby repealed.

AND IT IS SO ORDERED.

PASSED AND APPROVED THIS THE ___ DAY OF ______, 2020.

TERRI GALE, Mayor

ATTEST:

MELISSA CHILCOTE, City Secretary 2020-11-04 Council Packet 36 of 128

Kemah City Council Agenda Item #12 Cancellation of Access Easement Agreement

Once form is complete and departmental clearances are obtained, this form should be forwarded to the City Secretary as soon as possible prior to the date that the item is expected to be placed on the City Council agenda.

Date requested for Council consideration: 11/04/2020 Prepared by: Terri Gale Subject: to approve the Cancellation of Access Easement Agreement Proceeding: Consideration and Possible Action Originating Department: Admin Plan Reference: 17SP‐ or 17OP‐

Texas Ethics Commission Form 1295 required? If YES, is copy of Form attached? Contract Identification Number on Form: City Attorney Review:

Expenditure Required: Amount Budgeted: Appropriation Required: Source of Funds: Finance Approval:

City Administrator Approval: (Walter Gant)

SUMMARY / ORIGINATING CAUSE

IMMINENT CONSEQUENCES / BENEFIT TO COMMUNITY

RECOMMENDATIONS

ATTACHMENTS Cancellation of Easement Agreement Cien 5 Acre Easement

Page 1 of 1 2020-11-04 Council Packet 37 of 128

CANCELLATION OF ACCESS EASEMENT AGREEMENT

Attached hereto and incorporated herein by reference is an ACCESS EASEMENT dated April 5, 2017 by and between Margie Peterson as Grantor and City of Kemah, Texas, as Grantee. The sixty feet (60’) easement tract extends along and across a 4.928 acre tract. The easement has never been accepted by the City. Many aspects of the Agreement are executory today which means they remain to be done and have not yet been performed.

Both parties no longer wish to carry out the intents and purposes of this Agreement. Cancellation of the attached Access Easement Agreement would result in the elimination of any contractual obligation to proceed and would cancel any executory easement rights to a 60 foot right of way that City could expect from this incomplete Agreement.

Now, Therefore It Is Agreed That:

1. The attached executory Agreement is hereby cancelled. The grant of easement referred to herein is cancelled and shall not be completed or accepted by the City. 2. Each party is reinstated and restored to its status prior to executing this Agreement. 3. City relinquishes any claim, demand or cause of action it may have for specific performance of the Agreement. 4. Both parties waive any rights they may have had prior to this cancellation and release acquit and forever discharge the other party from any claim, demand or cause of action the releasing party may have against the released party for specific performance of the Agreement or for damages for the breach thereof. 5. The parties agree that since a conveyance of the Access Easement was contained in said April 5 2017 agreement, the Mayor of the City of Kemah, Texas shall execute and tender to Margie Peterson (the former Grantor) a deed without warranty to said same easement previously granted by Margie Peterson to the City but not accepted by the City. 6. The consideration for this transaction shall be the rescission and mutual benefits called for in this re-conveyance agreement. The City of Kemah, Texas has heretofore placed this matter on an agenda and has approved this action and has authorized the Mayor to sign this agreement and deed.

AGREED THIS THE _____ DAY OF ______, 2020.

GRANTOR:

MARGIE PETERSON

1

2020-11-04 Council Packet 38 of 128

STATE OF TEXAS §

COUNTY OF GALVESTON §

BEFORE ME the undersigned authority, on this day personally appeared MARGIE PETERSON, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that she executed the same for the purposes and consideration therein expressed.

Given under my hand and seal of office on this _____day of August, 2020.

NOTARY PUBLIC IN AND FOR THE STATE OF TEXAS

GRANTEE:

City of Kemah, Texas

BY: TERRI GALE, Mayor

STATE OF TEXAS §

COUNTY OF GALVESTON §

BEFORE ME the undersigned authority, on this day personally appeared TERRI GALE, Mayor, City of Kemah, Texas, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that she executed the same for the purposes and consideration therein expressed.

Given under my hand and seal of office on this this _____day of August, 2020.

NOTARY PUBLIC IN AND FOR THE STATE OF TEXAS

2

2020-11-04 Council Packet 39 of 128

TEXAS FIRST BANK

By:

Printed Name and Title

STATE OF TEXAS §

COUNTY OF GALVESTON §

BEFORE ME the undersigned authority, on this day personally appeared ______, ______on behalf of TEXAS FIRST BANK, known to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he/she executed the same for the purposes and consideration therein expressed.

Given under my hand and seal of office on this this _____day of August, 2020.

NOTARY PUBLIC IN AND FOR THE STATE OF TEXAS

3

2020-11-04 Council Packet 40 of 128 2020-11-04 Council Packet 41 of 128 2020-11-04 Council Packet 42 of 128 2020-11-04 Council Packet 43 of 128 2020-11-04 Council Packet 44 of 128 2020-11-04 Council Packet 45 of 128 2020-11-04 Council Packet 46 of 128

DEED WITHOUT WARRANTY

THE STATE OF TEXAS § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF GALVESTON §

NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON, YOU MAY REMOVE OR STRIKE ANY OR ALL OF THE FOLLOWING INFORMATION FROM ANY INSTRUMENT THAT TRANSFERS AN INTEREST IN REAL PROPERTY BEFORE IT IS FILED FOR RECORD IN THE PUBLIC RECORDS: YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER ’S LICENSE NUMBER.

That, THE CITY OF KEMAH, TEXAS, for and in consideration of the sum of TEN AND

NO/100 DOLLARS ($10.00) and other valuable consideration to the undersigned paid by the

Grantee herein named, the receipt of which is hereby acknowledged, has GRANTED,

TRANSFERRED AND CONVEYED, and by these presents does GRANT, TRANSFER AND

CONVEY, unto MARGIE PETERSON subject to the reservations hereinafter made, all of

Grantor’s undivided interest in and to the following described property located in Galveston

County, Texas, to-wit:

A sixty feet (60’) wide easement that aligns with Kipp Avenue and which extends along and across the northeastern boundary of the 4.928 acre tract whose center line is thirty feet (30’) from said northeastern boundary at all points across said tract.

TO HAVE AND HOLD the above described property and premises unto the said Grantee,

Grantee’s heirs, representatives and assigns forever. GRANTOR, for the Consideration and subject to the Reservations from Conveyance and the Exceptions to Conveyance, grants, sells, and conveys to Grantee the Property, together with all and singular the rights and appurtenances thereto in any way belonging, to have and to hold it to Grantee and Grantee’s heirs, executors, administrators and assigns forever, without express or implied warranty. All warranties that might arise by common law as well as the warranties in Section 5.023 of the Texas Property

Code (or its successor) are excluded. 2020-11-04 Council Packet 47 of 128

EXECUTED this _____ day of August, 2020.

CITY OF KEMAH, TEXAS

______TERRI GALE, Mayor THE STATE OF TEXAS §

COUNTY OF ______§

This instrument was acknowledged before me on this _____ day of August, 2020, by TERRI GALE, for the purposes and consideration therein expressed, and in the capacity therein stated. ______NOTARY PUBLIC IN AND FOR THE STATE OF TEXAS

2 2020-11-04 Council Packet 48 of 128 2020-11-04 Council Packet 49 of 128 2020-11-04 Council Packet 50 of 128 2020-11-04 Council Packet 51 of 128 2020-11-04 Council Packet 52 of 128 2020-11-04 Council Packet 53 of 128 2020-11-04 Council Packet 54 of 128

Kemah City Council Agenda Item #13 Temporary Disaster Exemption for Kemah Ad Valorem tax Once form is complete and departmental clearances are obtained, this form should be forwarded to the City Secretary as soon as possible prior to the date that the item is expected to be placed on the City Council agenda.

Date requested for Council consideration: 11/04/2020 Prepared by: Mayor Gale Subject: to approve a resolution adopting a Temporary Disaster Exemption for Kemah Ad Valorem tax for qualified properties for the tax year 2020. Proceeding: Resolution Originating Department: Admin Plan Reference: 17SP- or 17OP-

Texas Ethics Commission Form 1295 required? n/a If YES, is copy of Form attached? Contract Identification Number on Form:

City Attorney Review: n/a

Expenditure Required: Amount Budgeted: Appropriation Required: Source of Funds: Finance Approval: n/a

City Administrator Approval:

SUMMARY / ORIGINATING CAUSE

IMMINENT CONSEQUENCES / BENEFIT TO COMMUNITY

RECOMMENDATIONS

ATTACHMENTS Texas Tax Code Section 11.35 Tax Exempt Property Tax Code 11.35 Disaster damages with attachment Resolution 2020-XX – Adopting a Temporary Disaster Exemption for Kemah Ad Valorem tax for qualified properties for the tax year 2020

Page 1 of 1 2020-11-04 Council Packet 55 of 128

GovERNOR GREG ABBOTT

FILED IN THE OFFICE September OF THE 21, 2020 SECRETARY OF STATE —i-L O’CLOCK

The Honorable Ruth R. Hughs Mfft ‘ Secret— Secretary of State State Capitol Room IE.8 Austin, Texas 78701

Dear Secretary Hughs:

Pursuant to his powers as Governor of the State of Texas, Greg Abbott has issued the following:

A proclamation certifying that Tropical Storm Beta poses a threat of imminent disaster, including widespread and severe property damage, injury, and loss of life due to widespread flooding, storm surge, and damaging winds, in Aransas. Bee, Bexar, Brazoria, Calhoun, Chambers, Fort Bend, Galveston, Hardin, Harris, Jackson, Jasper. Jefferson, Jim Wells. Kenedy, Kleberg. Liberty, Live Oak, Matagorda, Nueces, Orange. Refugio, Sabine, San Augustine, San Patricio, Shelby, Travis, Victoria, and Wharton counties; and declaring a state of disaster.

The original proclamation is attached to this letter of transmittal.

Respectfully submitted,

Governor

Attachment

PosT OFFICE Box 12428 AUSTIN, TEXAS 78711 512-463-2000 (VOICE) DIAL 74-1 FoR RELAY SERVICES 2020-11-04 Council Packet 56 of 128

PROCLAMATION BY THE (!nnrzwr nff tzfr ixf1tixzz

TO ALL TO WHOM THESE PRESENTS SHALL COME:

WHEREAS, I, GREG ABBOTT, Governor of the State of Texas, do hereby certify that Tropical Storm Beta poses a threat of imminent disaster, including widespread and severe property damage, injury, and loss of life due to widespread flooding, storm surge, and damaging winds, in Aransas, Bee, Bexar, Brazoria, Calhoun, Chambers, Fort Bend, Galveston, Hardin, Harris, Jackson, Jasper, Jefferson, Jim Wells, Kenedy, Kleberg, Liberty, Live Oak, Matagorda, Nueces, Orange, Refugio, Sabine, San Augustine, San Patricio, Shelby, Travis, Victoria, and Wharton counties;

NOW, THEREFORE, in accordance with the authority vested in me by Section 418.014 of the Texas Government Code, I do hereby declare a state of disaster in the previously listed counties based on the existence of such threat.

Pursuant to Section 4 18.017 of the code, I authorize the use of all available resources of state government and of political subdivisions that are reasonably necessary to cope with this disaster.

Pursuant to Section 418.016 of the code, any regulatory statute prescribing the procedures for conduct of state business or any order or rule of a state agency that would in any way prevent, hinder, or delay necessary action in coping with this disaster shall be suspended upon written approval of the Office of the Governor. However, to the extent that the enforcement of any state statute or administrative rule regarding contracting or procurement would impede any state agency’s emergency response that is necessary to protect life or property threatened by this declared disaster, I hereby authorize the suspension of such statutes and rules for the duration of this declared disaster.

In accordance with the statutory requirements, copies of this proclamation shall be filed with the applicable authorities.

IN TESTIMONY WHEREOF, I have hereunto signed my name and have officially caused the Seal of State to be affixed at my office in the City of Austin, Texas, this the 21st day of September, 2020.

GREG ABBOTT Governor

ATTESTED BY:

RUTH R. HUGHS (YCCK Secretary of State 21 2020 2020-11-04 Council Packet 57 of 128

RESOLUTION NO.______

RESOLUTION ADOPTING EXEMPTION FOR QUALIFIED PROPERTY DAMAGED BY DISASTER PURSUANT TO SECTION 11.35 OF THE TEXAS TAX CODE.

WHEREAS, Section 11.35 (d) of the Texas Tax Code provides that the governing body of a taxing jurisdiction may adopt an exemption related to qualified property damaged by disaster; and

WHEREAS, Attached hereto is a Disaster Declaration for Tropical Storm BETA dated September 21, 2020; and

WHEREAS, The City of Kemah, Texas desires to adopt such an exemption for BETA damaged property as set forth herein.

NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF KEMAH, TEXAS that the City Council does hereby provide that in accordance with Section 11.35 of the Texas Tax Code that “qualified properties” as therein defined are entitled to an exemption from taxation, for the tax year 2020 and subsequent years, unless repealed or amended by further action, of an amount to be determined by law of the appraised value of such person’s qualified properties located within the jurisdiction. The term “qualified property” used herein shall have the meaning as defined in Section 11.35 of the Texas Tax Code, and all other provisions of that Section of the Code shall apply as therein provided.

PASSED, APPROVED AND ADOPTED this ___ day of ______, 2020.

TERRI GALE, Mayor

ATTEST:

MELISSA CHILCOTE, City Secretary

2020-11-04 Council Packet 58 of 128

GovERNOR GREG ABBOTT

FILED IN THE OFFICE September OF THE 21, 2020 SECRETARY OF STATE —i-L O’CLOCK

The Honorable Ruth R. Hughs Mfft ‘ Secret— Secretary of State State Capitol Room IE.8 Austin, Texas 78701

Dear Secretary Hughs:

Pursuant to his powers as Governor of the State of Texas, Greg Abbott has issued the following:

A proclamation certifying that Tropical Storm Beta poses a threat of imminent disaster, including widespread and severe property damage, injury, and loss of life due to widespread flooding, storm surge, and damaging winds, in Aransas. Bee, Bexar, Brazoria, Calhoun, Chambers, Fort Bend, Galveston, Hardin, Harris, Jackson, Jasper. Jefferson, Jim Wells. Kenedy, Kleberg. Liberty, Live Oak, Matagorda, Nueces, Orange. Refugio, Sabine, San Augustine, San Patricio, Shelby, Travis, Victoria, and Wharton counties; and declaring a state of disaster.

The original proclamation is attached to this letter of transmittal.

Respectfully submitted,

Governor

Attachment

PosT OFFICE Box 12428 AUSTIN, TEXAS 78711 512-463-2000 (VOICE) DIAL 74-1 FoR RELAY SERVICES 2020-11-04 Council Packet 59 of 128

PROCLAMATION BY THE (!nnrzwr nff tzfr ixf1tixzz

TO ALL TO WHOM THESE PRESENTS SHALL COME:

WHEREAS, I, GREG ABBOTT, Governor of the State of Texas, do hereby certify that Tropical Storm Beta poses a threat of imminent disaster, including widespread and severe property damage, injury, and loss of life due to widespread flooding, storm surge, and damaging winds, in Aransas, Bee, Bexar, Brazoria, Calhoun, Chambers, Fort Bend, Galveston, Hardin, Harris, Jackson, Jasper, Jefferson, Jim Wells, Kenedy, Kleberg, Liberty, Live Oak, Matagorda, Nueces, Orange, Refugio, Sabine, San Augustine, San Patricio, Shelby, Travis, Victoria, and Wharton counties;

NOW, THEREFORE, in accordance with the authority vested in me by Section 418.014 of the Texas Government Code, I do hereby declare a state of disaster in the previously listed counties based on the existence of such threat.

Pursuant to Section 4 18.017 of the code, I authorize the use of all available resources of state government and of political subdivisions that are reasonably necessary to cope with this disaster.

Pursuant to Section 418.016 of the code, any regulatory statute prescribing the procedures for conduct of state business or any order or rule of a state agency that would in any way prevent, hinder, or delay necessary action in coping with this disaster shall be suspended upon written approval of the Office of the Governor. However, to the extent that the enforcement of any state statute or administrative rule regarding contracting or procurement would impede any state agency’s emergency response that is necessary to protect life or property threatened by this declared disaster, I hereby authorize the suspension of such statutes and rules for the duration of this declared disaster.

In accordance with the statutory requirements, copies of this proclamation shall be filed with the applicable authorities.

IN TESTIMONY WHEREOF, I have hereunto signed my name and have officially caused the Seal of State to be affixed at my office in the City of Austin, Texas, this the 21st day of September, 2020.

GREG ABBOTT Governor

ATTESTED BY:

RUTH R. HUGHS (YCCK Secretary of State 21 2020 2020-11-04 Council Packet 60 of 128

TEXAS TAX CODE SECTION 11.35. TEMPORARY EXEMPTION FOR QUALIFIED PROPERTY DAMAGED BY DISASTER. (a) In this section, "qualified property" means property that: (1) consists of: (A) tangible personal property used for the production of income; (B) an improvement to real property; or (C) a manufactured home as that term is defined by Section 1201.003, Occupations Code, that is used as a dwelling, regardless of whether the owner of the manufactured home elects to treat the manufactured home as real property under Section 1201.2055, Occupations Code; (2) is located in an area declared by the governor to be a disaster area following a disaster; (3) is at least 15 percent damaged by the disaster, as determined by the chief appraiser under this section; and (4) for property described by Subdivision (1)(A), is the subject of a rendition statement or property report filed by the property owner under Section 22.01 that demonstrates that the property had taxable situs in the disaster area for the tax year in which the disaster occurred. (b) A person is entitled to an exemption from taxation by a taxing unit of a portion of the appraised value of qualified property that the person owns in an amount determined under Subsection (h). (c) Notwithstanding Subsection (b), if the governor first declares territory in a taxing unit to be a disaster area as a result of a disaster on or after the date a taxing unit adopts a tax rate for the tax year in which the declaration is issued, a person is not entitled to the exemption for that tax year unless the governing body of the taxing unit adopts the exemption in the manner provided by law for official action by the body. (d) An exemption adopted by the governing body of a taxing unit under Subsection (c) must: (1) specify the disaster to which the exemption pertains; and (2) be adopted not later than the 60th day after the date the governor first declares territory in the taxing unit to be a disaster area as a result of the disaster. (e) A taxing unit the governing body of which adopts an exemption under Subsection (c) shall, not later than the seventh day after the date the governing body adopts the exemption, notify the chief appraiser of each appraisal district in which the taxing unit participates, the assessor for the taxing unit, and the comptroller of the adoption of the exemption. (f) On receipt of an application for the exemption authorized by this section, the chief appraiser shall determine whether any item of qualified property that is the subject of the application is at least 15 percent damaged by the disaster and assign to each such item of qualified property a damage assessment rating of Level I, Level II, Level III, or Level IV, as appropriate, as provided by Subsection (g). In determining the appropriate damage assessment rating, the chief appraiser may rely on information provided by a county emergency management authority, the Federal Emergency Management Agency, or any other source the chief appraiser considers appropriate. (g) The chief appraiser shall assign to an item of qualified property: (1) a Level I damage assessment rating if the property is at least 15 percent, but less than 30 percent, damaged, meaning that the property suffered minimal damage and may continue to be used as intended; (2) a Level II damage assessment rating if the property is at least 30 percent, but less than 60 percent, damaged, which, for qualified property described by Subsection (a)(1)(B) or (C), means that the property has suffered only nonstructural damage, including nonstructural damage to the roof, walls, foundation, or mechanical components, and the waterline, if any, is less than 18 inches above the floor; (3) a Level III damage assessment rating if the property is at least 60 percent damaged but is not a total loss, which, for qualified property described by Subsection (a)(1)(B) or (C), means that the property has suffered significant structural damage requiring extensive repair due to the failure or partial failure of structural elements, wall elements, or the foundation, or the waterline is at least 18 inches above the floor; or 2020-11-04 Council Packet 61 of 128

(4) a Level IV damage assessment rating if the property is a total loss, meaning that repair of the property is not feasible. (h) Subject to Subsection (i), the amount of the exemption authorized by this section for an item of qualified property is determined by multiplying the appraised value, determined for the tax year in which the disaster occurred, of the property by: (1) 15 percent, if the property is assigned a Level I damage assessment rating; (2) 30 percent, if the property is assigned a Level II damage assessment rating; (3) 60 percent, if the property is assigned a Level III damage assessment rating; or (4) 100 percent, if the property is assigned a Level IV damage assessment rating. (i) If a person qualifies for the exemption authorized by this section after the beginning of the tax year, the amount of the exemption is calculated by multiplying the amount determined under Subsection (h) by a fraction, the denominator of which is 365 and the numerator of which is the number of days remaining in the tax year after the day on which the governor first declares the area in which the person's qualified property is located to be a disaster area, including the day on which the governor makes the declaration. (j) If a person qualifies for the exemption authorized by this section after the amount of the tax due on the qualified property is calculated and the effect of the qualification is to reduce the amount of the tax due on the property, the assessor for each applicable taxing unit shall recalculate the amount of the tax due on the property and correct the tax roll. If the tax bill has been mailed and the tax on the property has not been paid, the assessor shall mail a corrected tax bill to the person in whose name the property is listed on the tax roll or to the person's authorized agent. If the tax on the property has been paid, the tax collector for the taxing unit shall refund to the person who paid the tax the amount by which the payment exceeded the tax due. No interest is due on an amount refunded under this subsection. (k) The exemption authorized by this section expires as to an item of qualified property on January 1 of the first tax year in which the property is reappraised under Section 25.18.

Added by Acts 2019, 86th Leg., R.S., Ch. 1034 (H.B. 492), Sec. 1, eff. January 1, 2020.

2020-11-04 Council Packet 62 of 128

Kemah City Council Agenda Item #14 2020‐2021 Marketing RFP

Once form is complete and departmental clearances are obtained, this form should be forwarded to the City Secretary as soon as possible prior to the date that the item is expected to be placed on the City Council agenda.

Date requested for City Council consideration: 11/04/2020 Prepared by: Walter Gant Subject: to select one (or more) respondents to the 2020-2021 Marketing RFP and engagement process. Proceeding: Consideration and Possible Action Originating Department: Ordinance Plan Reference: 17SP‐ or 17OP‐

Texas Ethics Commission Form 1295 required? No If YES, is copy of Form attached? Contract Identification Number on Form: City Attorney Review:

Expenditure Required: Amount Budgeted: Appropriation Required: Source of Funds: Finance Approval:

City Administrator Approval: ______

SUMMARY / ORIGINATING CAUSE The staff went through each RFP and did a scoring matrix with the information below.

Company Total Score JanMar Agency 20 BlueWater Media 8 Freed Ad 12 MDR 17 High 5 9 John Manlove 10 MMI 15 DeBerry Group 14 EMRG 9 Vizion 11 Infinite 15 360° Gateway 11 RECOMMENDATIONS To choose a Marketing RFP for 2020‐2021. ATTACHMENTS Scoring Matrix

Page 1 of 1 2020-11-04 Council Packet 63 of 128

Scoring for All Applicants

Company Total Score JanMar Agency 20 BlueWater Media 8 Freed Ad 12 MDR 17 High 5 9 John Manlove 10 MMI 15 DeBerry Group 14 EMRG 9 Vizion 11 Infinite 15 360° Gateway 11 2020-11-04 Council Packet 64 of 128

JanMar Agency

Rating Meets RFP Requirements: 1‐5

Demographics 5 Understands local needs 5 Has capacity to handle our needs 5 Has worked with other cities currently 5 Total 20 2020-11-04 Council Packet 65 of 128

BlueWater Media

Rating Meets RFP Requirements: 1‐5

Demographics 3 Understands local needs 1 Has capacity to handle our needs 3 Has worked with other cities currently 1 Total 8 2020-11-04 Council Packet 66 of 128

Freed Ad

Rating Meets RFP Requirements: 1‐5

Demographics 2 Understands local needs 3 Has capacity to handle our needs 3 Has worked with other cities currently 4 Total 12 2020-11-04 Council Packet 67 of 128

MDR Advertising

Rating Meets RFP Requirements: 1‐5

Demographics 4 Understands local needs 4 Has capacity to handle our needs 4 Has worked with other cities currently 5 Total 17 2020-11-04 Council Packet 68 of 128

High Five Marketing Partners

Rating Meets RFP Requirements: 1‐5

Demographics 2 Understands local needs 2 Has capacity to handle our needs 3 Has worked with other cities currently 2 Total 9 2020-11-04 Council Packet 69 of 128

John Manlove Marketing

Rating Meets RFP Requirements: 1‐5

Demographics 2 Understands local needs 3 Has capacity to handle our needs 3 Has worked with other cities currently 2 Total 10 2020-11-04 Council Packet 70 of 128

MMI

Rating Meets RFP Requirements: 1‐5

Demographics 4 Understands local needs 3 Has capacity to handle our needs 3 Has worked with other cities currently 5 Total 15 2020-11-04 Council Packet 71 of 128

DeBerry Group

Rating Meets RFP Requirements: 1‐5

Demographics 4 Understands local needs 3 Has capacity to handle our needs 3 Has worked with other cities currently 4 Total 14 2020-11-04 Council Packet 72 of 128

EMRG

Rating Meets RFP Requirements: 1‐5

Demographics 2 Understands local needs 2 Has capacity to handle our needs 3 Has worked with other cities currently 2 Total 9 2020-11-04 Council Packet 73 of 128

Vizion

Rating Meets RFP Requirements: 1‐5

Demographics 2 Understands local needs 2 Has capacity to handle our needs 4 Has worked with other cities currently 3 Total 11 2020-11-04 Council Packet 74 of 128

Infinite

Rating Meets RFP Requirements: 1‐5

Demographics 4 Understands local needs 4 Has capacity to handle our needs 3 Has worked with other cities currently 4 Total 15 2020-11-04 Council Packet 75 of 128

360° Gateway

Rating Meets RFP Requirements: 1‐5

Demographics 3 Understands local needs 3 Has capacity to handle our needs 3 Has worked with other cities currently 2 Total 11 2020-11-04 Council Packet 76 of 128

Kemah City Council Agenda Item #15 2019-2020 Budget Amendment #2

Once form is complete and departmental clearances are obtained, this form should be forwarded to the City Secretary as soon as possible prior to the date that the item is expected to be placed on the City Council agenda.

Date requested for City Council consideration: 11/04/2020 Prepared by: Melissa Chilcote Subject: Ordinance amending budget ‐ #2 Proceeding: Consideration and Possible Action Originating Department: Administration Plan Reference: 17SP‐ or 17OP‐

Texas Ethics Commission Form 1295 required? NO If YES, is copy of Form attached? Contract Identification Number on Form: City Attorney Review: YES

Expenditure Required: Amount Budgeted: Appropriation Required: Source of Funds: Finance Approval:

City Administrator Approval:

SUMMARY / ORIGINATING CAUSE Amendments from FY20 budget include: Total Revenue Amendment: $108,817 Total Expenditure Amendment: $117,317 Net Revenues over(under) expenditures – ($8,500) RECOMMENDATIONS Authorize Budget Amendment #2 ATTACHMENTS FY 2020 Budget Amendment #2 Ordinance

Page 1 of 1 2020-11-04 Council Packet 77 of 128

ORDINANCE NO. ______

AN ORDINANCE APPROVING AND ADOPTING THE AMENDMENTS TO THE BUDGET OF THE CITY OF KEMAH, TEXAS, FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2019; MAKING APPROPRIATIONS AS REFLECTED IN SAID BUDGET; MAKING CERTAIN FINDINGS AND CONTAINING OTHER PROVISIONS RELATING TO THE SUBJECT

WHEREAS, on the 8th day of September, 2019, the Mayor filed with the City Secretary a proposed budget of the City of Kemah for the fiscal year 2019-2020, the same being from October 1, 2019, through September 30, 2020; and

WHEREAS, pursuant to notice required by law, a public hearing on the budget was held at the regular meeting place of the City Council at the City Hall on the 18th day of September, 2019, at which hearing all citizens and taxpayers of the City had the right to be heard and those who requested to be were heard; and

WHEREAS, the City Council approved the proposed budget Ordinance No. 1164 and has now made the attached changes therein as in the City Council's judgment were warranted by law and were in the best interests of the citizens and taxpayers of the City; now, therefore,

BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF KEMAH, TEXAS:

Section 1. The facts and recitals set forth in the preamble of this Ordinance are hereby found to be true and correct.

Section 2. In accordance with the statutes of the State of Texas and the Charter of the City of Kemah, the City Council hereby approves and adopts the amended budget described above as amended, a copy of which amendments are attached hereto and incorporated herein. The City Secretary is hereby directed to keep such budget as amended on file in her office as a public record.

Section 3. In support of said budget and by virtue of the adoption thereof, there are hereby appropriated out of available cash funds and out of the general and special revenues of the City the amounts set forth in said budget for the various purposes stated therein.

Section 4. The Mayor is authorized to transfer unencumbered balances, or portions thereof, from one budget account to another budget account within the same office, department, division, or agency.

PASSED, APPROVED, AND ADOPTED this ____ day of ______, 2020.

TERRI GALE, Mayor

ATTEST:

MELISSA CHILCOTE, City Secretary

2020-11-04 Council Packet 78 of 128

CITY OF KEMAH BUDGET AMENDMENTS 2019‐2020

ORIGINAL BUDGET BUDGET AS AMENDED AMENDMENTS AS A/C NUMBER DESCRIPTION AMOUNT NO. 1 NO. 2 AMENDED REVENUES 4011‐4039 Taxes 4,639,352 9,500 4,648,852 4101‐4157 Fines & Forfeitures 439,71 0 439,710 4214‐4228 Police Revenue 4,000 4,000 4307‐4312 Management Fees 170,00 0 170,000 4400‐4445 Licenses & Permits 179,70 0 57,000 236,700 4520 Insurance Reimb. 12,200 12,200 4505‐4591 Other Income 420,90 0 420,900 4600 Fire Department 101,639 101,639 4611 Cares Act/Tx Emerg. Mgmt Note 3 22,517 22,517 3005 Trans. In from Restriced Fund Balance Note 4 7,600 7,600

TOTAL REVENUES 5,955,301 108,817 6,064,118

EXPENDITURES ADMININISTRATION 1,613,978 ‐ 1,613,978 510‐8130 Inspection Fees 75,000 75,000 510‐8445 Building Maintenance Note 1 13,750 13,750 510‐9903 Cares Act/Tx Emerg. Mgme Note 3 22,517 22,517 COMMUNICATIONS 93,852 93,852 MUNICIPAL COURT 177,007 177,007 520‐8430 Technology Expense 7,600 7,600 IT DEPARTMENT 177,50 6 177,506 PUBLIC WORKS 786,40 4 786,404 530‐9400 Capital Prpject Note 2 33,725 33,725 POLICE 2,404,655 2,404,655 540‐8450 Vehicle Maint 12,200 12,200 FIRE DEPARTMENT 101,639 101,639

TOTAL EXPENDITURES 5,355,041 117,317 5,519,833

NET REVENUES OVER(UNDER) EXPENDITURES 600,260 47,475 (8,500) 544,285

Notes: 1) The amendment for Building Maintenance is to bring City Hall up to ADA requirements 2) The Capital Project in Public Works is for the repair of the Lift Station 3) Money funded for COVID‐19 Kemah's share for Galveston County 4) Transfer from the Restricted Fund Balance for Technology Fees 2020-11-04 Council Packet 79 of 128

KEMAH COMMUNITY DEVELOPMENT CORPORATION BUDGET AMENDMENTS 2019‐2020

ORIGINAL BUDGET BUDGET AS AMENDED AMENDMENTS A/C NUMBER DESCRIPTION AMOUNT #1 AMOUNT REVENUES

4035 Sales Tax 967,056 967,056 4036 Interest 8,500 8,500 4038 Shops of Kemah 92,500 92,500 4901 Trans in Fund Balance ‐ 87,000 87,000

TOTAL REVENUE 1,068,056 1,155,056 Note 1

EXPENDITURES 510‐8000 Management Fees 85,000 85,000 510‐8100 Audit 6,000 6,000 510‐8275 Training/Workshops 5,000 5,000 510‐8310 Legal Fees 10,000 10,000 510‐8425 Dues/Memberships 35,000 35,000 510‐8480 Marketing/Website 50,000 50,000 510‐8550 Business Retention 48,000 48,000 510‐8551 Community Development 33,615 33,615 510‐8552 Beautification 43,000 43,000 510‐9901 Transfer to Capital Projects 700,000 700,000

TOTAL EXPENDITURES 1,015,615 1,015,615

REVENUES OVER(UNDER)EXPENDITURES 52,441 87,000 139,441 Note 1

Note 1 The total Revenues actually received is $958,399 ($109,657 Less than budgeted). The total Expenditures is $819,111. The difference results in a Revenues (Under) expenditures of $86,647. The transfer in from fund balance of $87,000 will cover the deficit operations for the year. 2020-11-04 Council Packet 80 of 128

Kemah City Council Agenda Item #16 2020-2021 Budget Amendment #1

Once form is complete and departmental clearances are obtained, this form should be forwarded to the City Secretary as soon as possible prior to the date that the item is expected to be placed on the City Council agenda.

Date requested for City Council consideration: 11/04/2020 Prepared by: Melissa Chilcote Subject: Ordinance amending 2020‐2021 Budget ‐ #1 Proceeding: Consideration and Possible Action Originating Department: Administration Plan Reference: 17SP‐ or 17OP‐

Texas Ethics Commission Form 1295 required? NO If YES, is copy of Form attached? Contract Identification Number on Form: City Attorney Review: YES

Expenditure Required: Amount Budgeted: Appropriation Required: Source of Funds: Finance Approval:

City Administrator Approval:

SUMMARY / ORIGINATING CAUSE Amendments from FY21 budget include: For 2 additional Police Officers Total Expenditure Amendment: $183,104 Net Revenues over(under) expenditures –$183,104 RECOMMENDATIONS Authorize Budget Amendment #1 ATTACHMENTS Ordinance XXXX - FY 2021 Budget Amendment #1

Page 1 of 1 2020-11-04 Council Packet 81 of 128

ORDINANCE NO. ______

AN ORDINANCE APPROVING AND ADOPTING THE AMENDMENTS TO THE BUDGET OF THE CITY OF KEMAH, TEXAS, FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2020; MAKING APPROPRIATIONS AS REFLECTED IN SAID BUDGET; MAKING CERTAIN FINDINGS AND CONTAINING OTHER PROVISIONS RELATING TO THE SUBJECT

WHEREAS, on the 6th day of September, 2020, the Mayor filed with the City Secretary a proposed budget of the City of Kemah for the fiscal year 2020-2021, the same being from October 1, 2020, through September 30, 2021; and

WHEREAS, pursuant to notice required by law, a public hearing on the budget was held at the regular meeting place of the City Council at the City Hall and virtually on the 15th day of September, 2020, at which hearing all citizens and taxpayers of the City had the right to be heard and those who requested to be were heard; and

WHEREAS, the City Council approved the proposed budget Ordinance No. 1179 and has now made the attached changes therein as in the City Council's judgment were warranted by law and were in the best interests of the citizens and taxpayers of the City; now, therefore,

BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF KEMAH, TEXAS:

Section 1. The facts and recitals set forth in the preamble of this Ordinance are hereby found to be true and correct.

Section 2. In accordance with the statutes of the State of Texas and the Charter of the City of Kemah, the City Council hereby approves and adopts the amended budget described above as amended, a copy of which amendments are attached hereto and incorporated herein. The City Secretary is hereby directed to keep such budget as amended on file in her office as a public record.

Section 3. In support of said budget and by virtue of the adoption thereof, there are hereby appropriated out of available cash funds and out of the general and special revenues of the City the amounts set forth in said budget for the various purposes stated therein.

Section 4. The Mayor is authorized to transfer unencumbered balances, or portions thereof, from one budget account to another budget account within the same office, department, division, or agency.

PASSED, APPROVED, AND ADOPTED this ____ day of ______, 2020.

TERRI GALE, Mayor

ATTEST:

MELISSA CHILCOTE, City Secretary

2020-11-04 Council Packet 82 of 128

CITY OF KEMAH BUDGET AMENDMENTS 2020‐2021

ORIGINAL BUDGET BUDGET AS AMENDED AMENDMENTS AS A/C NUMBER DESCRIPTION AMOUNT NO. 1 NO. 2 AMENDED REVENUES 4011‐4039 Taxes 3,337,893 3,337,893 4101‐4157 Fines & Forfeitures 310,80 0 310,800 4214‐4228 Police Revenue 3,300 3,300 4307‐4312 Management Fees 90,000 90,000 4400‐4445 Licenses & Permits 173,15 0 173,150 4505‐4591 Other Income 114,00 0 114,000

TOTAL REVENUES 4,029,143 ‐ 4,029,143

EXPENDITURES ADMININISTRATION 1,020,817 ‐ 1,020,817 COMMUNICATIONS 11,250 11,250 MUNICIPAL COURT 186,61 0 186,610 IT DEPARTMENT 148,767 148,767 PUBLIC WORKS 680,958 680,958 POLICE 1,950,229 Note 1 183,104 2,133,333 FIRE DEPARTMENT ‐ ‐

TOTAL EXPENDITURES 3,998,631 ‐ 4,181,735

NET REVENUES OVER(UNDER) EXPENDITURES 30,51 2 183,104 ‐ (152,592)

Notes: 1) Addition of 2 Police Officers 2020-11-04 Council Packet 83 of 128

Kemah City Council Agenda Item #17 Sell property behind Shoppes of Kemah

Once form is complete and departmental clearances are obtained, this form should be forwarded to the City Secretary as soon as possible prior to the date that the item is expected to be placed on the City Council agenda.

Date requested for Council consideration: 11/04/2020 Prepared by: Isaac Saldaña

Subject: to approve definition and initiation of the process to sell the property behind the Shoppes of Kemah Proceeding: Consideration and Possible Action Originating Department: Admin Plan Reference: 17SP‐ or 17OP‐

Texas Ethics Commission Form 1295 required? If YES, is copy of Form attached? Contract Identification Number on Form: City Attorney Review:

Expenditure Required: Amount Budgeted: Appropriation Required: Source of Funds: Finance Approval:

City Administrator Approval: (Walter Gant)

SUMMARY / ORIGINATING CAUSE

IMMINENT CONSEQUENCES / BENEFIT TO COMMUNITY

RECOMMENDATIONS To sell the property at the appraised value ATTACHMENTS Appraisal

Page 1 of 1 2020-11-04 Council Packet 84 of 128

APPRAISAL REPORT

ON

A 1.3305 ACRE OR 57,960 SQUARE FOOT TRACT OF LAND BEING KNOWN AS RESERVE "G"OF KEMAH MARKETPLACE CITY OF KEMAH, GALVESTON COUNTY, TEXAS

FOR

THE CITY OF KEMAH, TEXAS 1401 STATE HIGHWAY 146 KEMAH, TEXAS 77565

ATTN.: NICK HABY, CFM DIRECTOR OF COMMUNITY SERVICES

DATE OF REPORT – JUNE 14, 2019 DATE OF INSPECTION – JUNE 2, 2019 EFFECTIVE DATE OF APPRAISAL – JUNE 2, 2019

BY

R.C. CHUOKE & ASSOCIATES, INC. P.O. BOX 1447 LEAGUE CITY, TEXAS 77574 2020-11-04 Council Packet 85 of 128

R.C. Chuoke & Associates, Inc.

Appraisers & Consultants P.O. Box 1447 Office‐ 281‐338‐9633 League City, Texas 77574 Fax‐ 281‐338‐9533

June 14, 2019

City of Kemah 1401 State Highway 146, Kemah, Texas 77565

Attn.: Mr. Nick Haby, CFM Director of Community Services

Dear Mr. Haby:

In accordance with your request, we have inspected the following described property for the purpose of estimating the market value in fee simple title.

BRIEF LEGAL DESCRIPTION

Known as 57,960 Square Feet out of Reserve "G", Kemah Marketplace, M. Muldoon Grant, Abst. 18, Galveston County, Texas.

The subject of this appraisal consists of 57,960 square feet of unimproved land area. The subject property does not currently have public road access. A new public bypass roadway is being constructed to the subject with an estimated completion date of 90-120 days. The Sales Comparison Approach-Vacant Land to value was developed.

The market value conclusion reached for the real estate only, with an exposure to the market as defined herein, as of June 2, 2019, with an exposure to the market of up to one year is as follows:

$520,000**

** A hypothetical condition is directly related to a specific assignment, which is contrary to what is known by the appraiser to exist on the effective date of the appraisal, but is used for the purpose of analysis. The subject property does not currently have access from a public roadway. However at the time of inspection, a new bypass road is under construction. Per agreement with the client, we are appraising the subject property based on the hypothetical condition that this roadway will be completed in a timely workmanlike manner. Should this roadway not be completed the indicated market value(s) may be negatively affected and we reserve the right to re-appraise the subject property.

1

2020-11-04 Council Packet 86 of 128

EXTRAORDINARY ASSUMPTIONS/LIMITING CONDITIONS

The value estimates within this appraisal are contingent upon the subject property, as well as the adjoining properties, being free and clear of any toxic or hazardous waste materials such as, but not limited to, lead or lead-based products. It should be noted a potential purchaser of a property with hazardous waste or dangerous materials may assume financial liability for removal of such materials. The appraiser highly recommends an inspection be performed qualified professionals to ensure there are no hazardous waste materials, mold or wood destroying pests (such as, but not limited to, termites) on the subject. The value is also contingent upon the General Assumptions and General Limiting Conditions of this report. Also, the aforementioned values stated above were represented as of the effective date of this appraisal and value estimates could change in the future.

Our analyses, opinions, and conclusions were developed, and this report has been prepared in conformity with the requirements of the Code of Professional Ethics and the Uniform Standards of Professional Appraisal Practice and the Texas Real Estate Commission.

Respectfully,

Chris Chuoke, President R.C. CHUOKE AND ASSOCIATES, INC.

HYPOTHETICAL CONDITION

A hypothetical condition is directly related to a specific assignment, which is contrary to what is known by the appraiser to exist on the effective date of the appraisal, but is used for the purpose of analysis. The subject property does not currently have access from a public roadway. However at the time of inspection, a new bypass roadway is under construction. Per agreement with the client, we are appraising the subject property based on the hypothetical condition that this roadway will be completed in a timely workmanlike manner. Should this roadway not be completed the indicated market value(s) may be negatively affected and we reserve the right to re-appraise the subject property.

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SUMMARY OF SALIENT FACTS AND CONCLUSIONS

PROPERTY APPRAISED: 57,960 square feet of land known as Reserve "G" of the Kemah Marketplace, City of Kemah, Galveston County, Texas.

DATE OF INSPECTION: June 2, 2019

EFFECTIVE DATE OF VALUE: June 2, 2019

EFFECTIVE DATE OF REPORT: June 14, 2019

LAND AREA: 57,960 square feet or 1.33 acres

SITE IMPROVEMENTS None

ZONING: No Zoning

UTILITIES AVAILABLE: All available with public water and sewer

FLOOD ZONE: Zone X-Not in 100 year floodplain

CURRENT USE: Vacant Land

HIGHEST AND BEST USE: Commercial Development

PROJECTED MARKETING PERIOD: Up to one year

VALUE ESTIMATES:

Sales Comparison Approach-Vacant Land $520,000-$9.00 PSF Cost Approach N/A Income Approach N/A Sales Comparison Approach N/A

Estimated Market Value: $520,000

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2020-11-04 Council Packet 88 of 128

Scope of Appraisal

The Uniform Standards of Professional Appraisal Practice, promulgated by The Appraisal Foundation, “Scope of Work Rule”1 requires the appraiser:

1. Identify the problem to be solved;

2. Determine and perform the scope of work necessary to develop credible assignment results; and

3. Disclose the scope of work in the report.

The Uniform Standards of Professional Appraisal Practice Standard Rule 2-2(a) requires clear and conspicuous statement of “all extraordinary assumptions and hypothetical conditions;” and “state that their use might have affected the assignment results;…”

Extraordinary Assumption “an assumption, directly related to a specific assignment, as of the effective date of the assignment results, which, if found to be false, could alter the appraiser’s opinions or conclusions.”2

1. The appraisers were not provided a survey of the property and has relied upon the Galveston Central Appraisal District records and our on-site inspection. Should a recent survey be provided later that provides additional information that contradicts what is described herein, we reserve the right to make any changes deemed necessary to the value conclusions.

Hypothetical Condition “a condition, directly related to a specific assignment, which is contrary to what is known by the appraiser to exist on the effective date of the assignment results, but is used for the purpose of analysis.”3

1. The subject property does not currently have access from a public roadway. However at the time of inspection, a new bypass roadway is under construction. Per agreement with the client, we are appraising the subject property based on the hypothetical condition that this roadway will be completed in a timely workmanlike manner. Should this roadway not be completed the indicated market value(s) may be negatively affected and we reserve the right to re-appraise the subject property.

1 Uniform Standards of Professional Appraisal Practice, 2016-2017 Edition; The Appraisal Foundation; Pages U-12 & U-13. 2 Uniform Standards of Professional Appraisal Practice, 2016-2017 Edition; The Appraisal Foundation, Page U-3. 3 Uniform Standards of Professional Appraisal Practice, 2016-2017 Edition; The Appraisal Foundation, Page U-3.

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Intended Use/User, Identification of Client, Development and Process of the Appraisal Report

The intended use of this report is to provide the client with an opinion of the fee simple, market value of the subject property for use in internal decision-making purposes. The intended user is the client, The City of Kemah, Texas only. Any other use of this report by any third party is strictly prohibited unless otherwise specified. The appraisal assignment was not based on a requested minimum valuation, a specific valuation, or the approval of a loan.

The problem to be solved in this assignment is to develop an opinion of the fee simple market value of the subject property for decision-making purposes. The development and process of the appraisal includes estimating the market value of the whole property as of the effective date of the appraisal with an estimated exposure time to the market as developed herein. The task was completed by the scope of services of the following:

1. Make an inspection of the subject property. Investigate the physical data on the subject property provided by our inspection, data provided by client, research and the Galveston County Central Appraisal District records.

2. Consider onsite improvements, if any, on the subject properties. The subject of this analysis is effectively vacant land.

3. Review deed records, data sources and MLS documents as well as had discussions with buyers, sellers and active real estate agents in the subject neighborhood with reference to sales and market activity/trends.

4. Analyze the Highest and Best Use of the subject property both “as though vacant” and “as improved” if needed.

5. Ascertain the relevant and appropriate approaches to value necessary to develop credible assignment results and develop these approaches within this report in a concise and understandable manner.

6. Reconcile the data developed to arrive at a credible opinion of market value as of the effective date of this appraisal, June 2, 2019, with an exposure time to the market as developed and reported herein. The date of inspection was June 2, 2019 and the date of this report is June 14, 2019.

7. Report the findings to the client in a narrative appraisal report format.

This is an Appraisal Report which is intended to comply with the reporting requirements set forth under Standards Rule 2-2(a) of the Uniform Standards of Professional Appraisal Practice and the Code of Professional Ethics. As such, it presents the data, reasoning, and analyses that were used in the appraisal process to develop the appraiser’s opinion of value in an appraisal format. Supporting documentation concerning the data,

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reasoning, and analyses is retained in the appraiser’s files. The appraiser is not responsible for unauthorized use of this report.

Furthermore, in accordance with a prior agreement with the client and the appraiser, this report was to include all applicable approaches that would lead the appraisers to a reasonable and supportable conclusion of value. The USPAP guidelines allow the appraisers to use applicable approaches that would conclude a reasonable value indication. The client may also request specific approaches to value to use in an appraisal assignment. However, the client is warned that the elimination of an approach to value may lessen the reliability of the final value conclusion. In this particular instance, all applicable approaches to value were considered. Only the Direct Sales Approach was used in this analysis since the subject property consists of vacant land.

The appraisal was conducted in conformity with the Ethics and Standards of The Appraisal Institute, the State of Texas, the Uniform Standards of Professional Appraisal Practice (USPAP), and guidelines requested by the client.

Market Value

The clients request was to develop an opinion as the “Market Value”4 of the subject real property, as of the effective date. Market Value is defined as follows:

“The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledge, and assuming the price is not affected by undue stimulus.”

Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby:

1. Buyer and seller are typically motivated;

2. Both parties are well informed or well advised, and each acting in what they consider their own best interest;

3. A reasonable time is allowed for exposure in the market;

4. Payment is made in terms of cash in US dollars or in terms of financial arrangements comparable thereto; and

5. The price represents a normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale.

4 Federal Deposit Insurance Corporation, Source: FDIC Regulation 12 CFR Part 34.

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Interest Valued

Fee Simple Estate5 is described as “An absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat.” The interest valued in this report is the unencumbered fee simple estate of the subject property, subject to any existing zoning, easements and deed restrictions of record as of June 2, 2019.

Effective Date of Value

June 2, 2019

Date of Report

June 12, 2019

History of the Subject Property

According to Galveston County deed records and the Galveston County Central Appraisal District, ownership of the subject property is the City of Kemah. It was transferred from Kemah Investment Partners, LLC on March 6, 2018 and recorded in the Galveston County Clerk records under File Number 2018014770. No other market transactions involving the subject property are known to the appraiser over the past three years.

Competency of the Appraiser

It is presented this report was completed by Chris Chuoke who has completed numerous appraisal assignments on properties such as the subject and has the experience and ability to complete the appraisal in a competent manner. For a more detailed description of the appraiser’s qualifications, refer to the addenda section of this appraisal.

Exposure Time on the Market

Exposure time6 may be defined as:

1. The time a property remains on the market.

2. The estimated length of time the property interest being appraised would have been offered on the market prior to the hypothetical consummation of a sale at market value on the effective date of the appraisal.”

My opinion of value is based on the reasonable exposure time period of up to one year. This period is supported by the sales included within this report as well as retained in the appraiser’s files.

5 The Dictionary of Real Estate Appraisal Terminology, Fourth Edition, Page 113, 2002. 6 The Dictionary of Real Estate Appraisal, Fifth Edition, Page 73, 2010.

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MARKET AREA ANALYSIS

Market areas are defined by “a combination of factors-e.g., physical features, the demographic and socioeconomic characteristics of the residents or tenants, the condition of the improvements (age, upkeep, ownership and vacancy rates) and land use trends.”7 The common denominator within a market area is that the social, economic, governmental and environmental forces that effect property value similarly affect these land uses. The physical boundaries of the market area should reflect the limits of influence from these forces.

The subject property is located in the northeast quadrant of Galveston County, Texas approximately 25 miles southeast of Houston's Central Business District in the City of Kemah. Galveston County is part of the Houston-Sugar Land-Baytown Metropolitan Statistical Area. The proximity of the Houston-Galveston-Freeport areas and their petrochemical, medical and industrial economic base provides the subject neighborhood with much of its employment opportunities. The economic and industrial base of the Houston- Galveston area's growth is dependent upon the Houston Ship Channel Complex. The Ship Channel was completed in 1915 and is a 52-mile shipping link to the Gulf of Mexico. In terms of tonnage, the Port of Houston ranked as the world’s 10th largest port in 2005. It ranked first in the United States in volume of foreign tonnage and second in total tonnage. In 2009, 7,700 ships called at the Port of Houston, moving 220 million short tons of cargo. Other service transportation systems linked to the Port of Houston include automobile, truck traffic and commercial freight lines, household carriers, tank truck lines and other smaller carriers. Major railroad systems operate several lines of main track out of Houston. Two major airports, Bush Intercontinental and William P. Hobby, provide the city with commercial air transportation. The Bush Intercontinental Airport began operation in 1969. It is one of the most modern air transportation facilities in the world. The Port of Galveston, while considerably smaller than the Port of Houston, is a major container port and has recently become a cruise ship hub for the central United States region. The Freeport/Lake Jackson area is a major petrochemical area with Dow Chemical facilities as the major anchor in the region.

The Houston economy is based on the petroleum and petro-chemical related industries, high-tech industry and medical industries. US petro-chemical production is highly concentrated in the Houston-Gulf Coast region, which has over 45% of the nation's basic petro-chemical manufacturing capacity and nearly 50% of its capacity for first stage derivatives. Houston has seen increases in high-tech companies moving into the area with the recent change in direction of the aerospace industry at NASA and Ellington Field. The Houston Medical complex is one of the largest in the world and growing.

Over the past 20 years the Houston Bay Area has sustained a 4 to 6 percent annual growth rate. Within a ten-mile radius the population has increased from 219,763 in 1990 to a 2010 Census estimate of 363,359. As the Houston area became saturated and the area economy diversified from the petrochemical industry into the medical and hi-tech fields, the Bay Area has experienced significant growth. The proximity to the Houston/Galveston employment centers, the existing natural recreation destinations of and

7 The Appraisal of Real Estate, 14th Edition, 2013, The Appraisal Institute; Page 166.

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Galveston Bay along with the enticement of planned development communities has made the Bay Area one of the most desirable and growing communities in the nation.

Significant development in the subject general market area is along the Interstate Highway 45 corridor southward from Beltway 8. New residential subdivisions are under development along FM 517 to the south of the subject market area in the area of the Bay Colony development along with new multi-family residential and support commercial/retail development. The Largo Mar planned development is under construction further south in the vicinity of Tanger Outlet Mall and Buc-ee’s Convenience Store. Construction has begun on an elaborate 25 acre theme park known as Adventure Pointe. Phase 1 is scheduled to include a carousel, pirate village with a Jean LaFitte’s ship and a year-round ice-skating rink. The park’s main historical reference will be fully refurbished trains. The track will rotate eight different trains.

The immediate subject neighborhood is noted for its recreational amenities such as the Kemah Boardwalk Shopping and Amusement area, the Kemah Boardwalk Marina and several small shops and restaurants. Located at the mouth of Clear Lake, a fronting , the area is a mecca for water-related activities. The recently begun widening of State Highway 146 by the Texas Department of Transportation is expected to ease the increasing traffic in the area.

Conclusion of Market Area Analysis:

In conclusion, the proximity to the Houston area and its generally stable economic base and diverse business and recreational assets gives the subject market area the advantage of a small town atmosphere and metropolitan amenities. Evidence of the growth was also apparent from the increase of new construction in the area including single-family residential subdivisions, multi-family apartment complexes, commercial/retail centers and office buildings to list a few. Again, the subject market area is experiencing an increase in values, but appears to be slowing from the previous few years. This condition is expected to continue through 2018 with ongoing development, but slowing market sectors. The general subject area economy is considered sound and the immediate subject market is expected to follow the Houston area economy. The Houston unemployment rate was 5.2% in August of 2017 down from 5.4% in August of 2016 according to the Bureau of Labor Statistics. Conversely, the Houston Metro area lost 39,787 jobs in the 12 months ending August 2017 according to the Texas Workforce Commission. According to the Partnership Update (August 2017), the City of Houston issued $10.7 billion in building permits, up 7.2% from the $10.072 billion for the previous 12 month ending August 2016. The Greater Houston Partnership also reported that Residential permit values fell 15.2%, from $1.443 Billion in July 2016 to $1.225 Billion in July 2017. Commercial building permits totaled $5.3 billion, up 16.4% from $4.55 Billion in from a year ago. The Houston Purchasing Managers Index (PMI), a short-term lending indicator for regional production, registered 58.8 in August 2017, up from 49.4 in August 2016. The International Energy Agency information estimates the daily world production of crude oil at 97.0 million barrels per day of production and the consumption at 97.7 barrels generating a deficit of 0.7 million barrels per day for the fourth quarter of 2017. Several large oil firms have stopped laying off employees and maintaining their current workforce

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since the price of oil has stabilized. According to the Greater Houston Partnership (GHP), the negative impact in the Houston and Texas economy is becoming evident and is expected to continue through early 2018 as concerns over the slowing growth in China, the looming lifting of Iranian sanctions and the high inventories of crude in the world keep prices low with the NYMEX futures market showing oil trading around $60 a barrel. This price has initiated some movement in the oil industry as far as the beginning of drilling again.

SITE DESCRIPTION

The legal description of this property is:

Known as 57,960 Square Feet out of Reserve "G", Kemah Marketplace, M. Muldoon Grant, Abst. 18, Galveston County, Texas.

The subject property is an unimproved tract of land containing +-57,960 square feet of area. The site is located off of and south of F.M. 518 just west of State Highway 146. Access to the subject tract is currently limited do to the lack of a paved roadway. However, at the time of the appraisal, the City of Kemah is constructing a new bypass road from FM 518 to State Highway 146. The subject property will have +-360 feet of frontage and access on its west line and 161 feet on it south side along this new roadway when completed. The bypass road is under construction and is expected to be completed within 90-180 days. The e major roadways in the area are State Highway 146 and F.M. 518 which are four-lane asphalt- paved roadway with a center turn lane. A survey, appraisal district map and an aerial follows. The site is not currently zoned and does not have any adverse deed restrictions per the client.

According to the Flood Insurance Rate Map. Community Panel Number 485486 0005D and 485486 0015D, dated February 16, 1983 the subject property is located in Zone C out of the 100 year flood hazard zone. The flood hazard maps are included in this report. The drainage appears adequate and the designation appears to not be detrimental.

The Galveston County Central Appraisal District plat included below identifies the subject tract. The account number is R718940. The current assessed value is $147,800 for tax year 2019.

Surrounding land uses include commercial concerns along the F.M. 518 and single family residential uses to the west.

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Area Map

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Neighborhood Map

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Survey

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CAD Plat Map

SUBJECT PROPERTY

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Flood Map

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AERIAL

Subject

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View of the subject looking from new bypass right of way looking east towards SH-146

North line of subject looking south from the Kemah Marketplace rear parking area

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View of the bypass roadway looking south from F.M. 518 towards subject

View of the bypass roadway looking east towards SH-146 from subject

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Looking south on SH-146 near proposed intersection with new bypass road

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HIGHEST AND BEST USE

Highest and Best Use - As Vacant:

Highest and Best Use may be defined as "the reasonably probable and legal use of vacant land or an improved property, that is physically possible, legally permissible, appropriately supported, financially feasible, and that results in the highest value."8 Data collected and analyzed for purposes of the Market Area Analysis, and particularly the Site Data, is useful in arriving at a final decision. The following discussion analyzes the potential highest and best use of the subject utilizing the four considerations detailed in the definition.

Legal Use: Galveston County and the City of Kemah do not subscribe to zoning for land use control. Therefore, from a legal standpoint most any use is permitted. Therefore, the most any reasonable commercial use is considered legally permissible as the market dictates.

Physically Possible Use: The subject whole property contains a total of 57,960 square feet of land that is rectangular in shape and is considered conducive to potential development. The size of the site is generally typical of other smaller commercial sites in the neighborhood. The subject, while having proximity to major roadways, is well off the major nearest roadway of F.M. 518 having limited visibility as well. However, the City of Kemah is currently extending a new access/bypass roadway from F.M. 518 to west line of State Highway 146 via a new bypass road. The subject property will have frontage and access on this roadway. The location of the subject property and the surrounding property uses would indicate commercial improvements that are a commentary use would be the most likely use. Therefore, the physically possible use of the site is to improve the site with commercial improvements as the market dictates.

Financially Feasible Use. In determining which uses are legally permissible and physically possible eliminates some uses from consideration. Those uses that meet the first two criteria are analyzed further. As long as a potential use has a value commensurate with its cost and conforms to the first two tests, the use is financially feasible. Therefore, it is our opinion the financially feasible use for the subject is to improve the site with commercial improvements as the market dictates.

Maximally Productive Use. The maximally productive use or the use that results in the highest value is typically one that is consistent with the other three criteria detailed above. Currently, it appears that the market does not differentiate between the stated uses; therefore, it is our opinion, the maximally productive use is the same as the financially feasible use of the site, is to improve the site with commercial improvements as the market dictates.

8 The Appraisal of Real Estate, 13th Edition, Page 278.

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Highest and Best Use - As Improved:

As stated previously, the subject site is considered to be unimproved.

SALES COMPARISON APPROACH-VACANT LAND

The Sales Comparison Approach is a direct approach to estimating the value of real property, as it conforms to the presumption of sale or exchange inherent in the definition of market value. The market value of a given property is estimated by a comparison of other similar properties in the same or similar vicinity which have recently sold in the open market. The sales comparison approach applies the principle of substitution since typically buyers will not purchase a property at a price higher than prices of similar property with comparable locations, characteristics and future earning capabilities. Of all the appraisal approaches, this approach is the most direct, most frequently used, the best understood and one of the most generally preferred. It is the only approach to value that directly affects supply and demand and actual trading in the market place under ideal circumstances. The Sales Comparison Approach-Vacant Land was considered applicable.

The following current listings and vacant land sales were researched and considered the best indicators of market value for the subject tract.

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LAND SALE #1

Location: 211 West 5th Street, Kemah, Texas

Date of Sale: October 25, 2017

Grantor: R. and V. Jackson III

Grantee: A. Cornelius/M.Cornelius

Recording Data: 201765213

Land Size: 0.33 Acres/14,500 Sq.Ft.

Sales Price: $145,000 or $10.00 PSF

Financing: Cash to Seller

Utilities: Available

Comments: This is are rectangular shaped tract with 100 FF on W. 5th Street in West Kemah.

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LAND SALE #:2

Location: 2021 Anders Lane, Kemah, Galveston County, Texas.

Date of Sale: November 30, 2015

Grantor: C. Washington

Grantee: J. Glandt

Recording Data: 201572020

Land Size: 0.963 Acres/41,949 Sq.Ft.

Sales Price: $300,000 or $7.15 PSF

Financing: Cash to Seller

Utilities: Available

Comments: This generally rectangular-shaped corner tract is located on the northwest corner of Anders Lane and Delesandri Lane in Kemah. Site improvements included mobile home which was removed and a small office/apartment building which has since been razed.

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LAND SALE #:3

Location: 2623 Nasa Parkway, Seabrook, TX

Date of Sale: June 20, 2017

Grantor: Walter Development Corp.

Grantee: Phicon LLC

Recording Data: 20170294453

Size: 2.10 Acres/91,476 Sq. Ft.

Utilities: All available

Sale Price: $1,500,000

Unit Price: $16.40 PSF

Financing: Cash to Seller

Highest and Best Use: Commercial

Use at Time of Sale: Vacant

Zoning: Commercial

Comments: This sale represents the sale of a property on Nasa Parkway north of Clear Lake. Purchased by adjacent land owner.

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LAND SALE #4

Location: 1729 Soloman Road, Kemah, Texas

Date of Sale: September 24, 2017

Grantor: Bruce A. Gordy

Grantee: Boardwalk Hospitality

Recording Data: 2017054178

Land Size: 2.9735 Acres/129,526 Sq.Ft.

Sales Price: $850,000 or $6.56 PSF

Financing: Cash to Seller

Utilities: Available

Comments: This is an irregular shaped tract with 200 FF on State Highway 146. Part of tract appears to include a 30 foot private road easement.

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B Miles Land 4: Henderson Road Copyright 1994-2019, MapPro Inc. The location of property arrows shown on this map are approximate only. Inaccuracies may exist on map such as missing, incorrectly drawn, or incorrectly CAUTION: addressed streets. Please report any such inaccuracy to MapPro, Inc. so that appropriate corrections can be made. Prepared by RC Chuoke @ Associates, Inc using MapPro Service. MapPro Inc., PO Box 37427, Houston, TX 77237 1-866-3MAPPRO. 2020-11-04 Council Packet 111 of 128

LAND SALES

Sale 1 Sale 2 Sale 3 Sale 4

2623 Nasa 211 W. 5th 2021 Anders 1729 Soloman Location Pkwy, Street, Kemah Ln, Kemah Rd, Kemah Seabrook

Sales Price $145,000 $300,000 $1,500,000 $850,000 Adj Sales Price $145,000 $300,000 $1,500,000 $850,000 Size (SF) 14,500 41,949 91,476 129,526 Date of Sale 10/25/2017 1/26/2016 6/20/2017 9/24/2017 Adj. Sales Price PSF $10.00 $7.15 $16.40 $6.56

Financing 0% 0% 0% 0%

Conditions of Sale 0% 0% 0% 0% A D Market Conditions 0% 0% 0% 0% J U Adj. Cash S Sales Price (PSF) $10.00 $7.15 $16.40 $6.56 T M Location 5% 5% -25% 0% E N Size/Shape -15% 0% 5% 5% T S Utilities 0% 0% 0% 0%

Frontage/Corner Infl 10% 10% 0% 10%

Misc 0% 0% 0% 0%

Total Adjustments 0% 15% -20% 15%

Adjusted Value $10.00 $8.22 $13.12 $7.55

Total Indicated Value 57,960 @ $9.00 PSF = $521,640 Rounded $520,000

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DISCUSSION OF LAND SALES

The subject tract contains 57,960 square feet of land. The vacant land sales represent the recent indicators of value in the subject market area considered comparable to the subject which we could reliably verify. The sales range in size from 14,500 square feet to 129,526 square feet with sale prices ranging from $6.46 to $16.40 per square foot. Adjustments were considered for condition of sale, market conditions, location, size, shape, utilities and floodplain.

In this particular instance a condition of sales adjustment was not required as all five sales were considered market transactions. While the general market appears to be increasing in value, no discernable increase in vacant land values was apparent and an increase in market conditions (time) was considered not applicable.

Sales #1 and #2 were considered to have an inferior locations to the subject and were given positive adjustments while Sale 3 was considered to have a superior location requiring a negative adjustments. Generally smaller tracts of land are considered to have superior values per unit based on the economies of scale where the greater number of units purchased the less per unit price paid and Sales #3 and #4 were adjusted upward for their larger sizes and Sale 1 was adjusted downward for its smaller site size. Sales #1, #2, and #3 were adjusted upward for its lack of corner influence. After adjustment the indicated values ranged from $7.55 to $13.12 per square foot. The appraiser gave greater weight to Sales #1, #2 and #4 in the final estimation of value. Based on the above analysis, I have reconciled a value of $9.00 per square foot to be applicable for the subject site. Therefore, I have concluded a market value for the subject of $521,640, rounded to:

$520,000

COST APPROACH

The Cost Approach is one of the steps in the valuation process. The indication of value derived from this approach is reached by estimating the value of the land and adding to this replacement cost of the improvements less accrued depreciation. The approach is especially persuasive when the site value is well supported and the improvements are new or suffer only minor accrued depreciation and, therefore, approximate the highest and best use of the subject site. The subject property is currently vacant land and the Cost Approach was deemed not applicable.

INCOME APPROACH

The Income approach to value is measured by an income stream whereby the present worth of future benefits can be measured. This approach is generally measured by the net income which a fully informed person is entitled to, assuming the property will produce income during its remaining useful life. Typically, when persons buy an income producing property, they purchase the real estate based on the exchange of the sum of present dollars

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for the right to receive future dollars. The subject property is currently vacant land and the Income Approach was deemed not applicable.

SALES COMPARISON APPROACH - AS IMPROVED

The Sales comparison approach is a direct approach to estimating the value of real property, as it conforms to the presumption of sale or exchange inherent in the definition of market value. The market value of a given property is estimated by a comparison of other similar properties in the same or similar vicinity which have recently sold in the open market. The sales comparison approach applies the principle of substitution since typically buyers will not purchase a property at a price higher than prices of similar property with comparable locations, characteristics and future earning capabilities. Of all the appraisal approaches, this approach is the most direct, most frequently used, the best understood and one of the most generally preferred. It is the only approach to value that directly affects supply and demand and actual trading in the market place under ideal circumstances. The subject property is effectively vacant land and the Sales Comparison Approach – As Improved is not applicable.

RECONCILIATION AND FINAL VALUE ESTIMATE:

All three approaches to value were considered applicable in arriving at a credible value estimate for the subject. The conclusion reached for each approach is as follows:

Sales Comparison Approach-Vacant Land ------$520,000 Cost Approach ------N/A Income Approach ------N/A Sales Comparison Approach-Improved Property ------N/A

When deriving a value estimate for a property, various factors from the two applicable approaches must be considered. When weighing the indicated values, the most important considerations are the strengths and weaknesses of each approach to value, the data collected within each method and the particular property being appraised.

The Sales Comparison Approach-Land deemed applicable as the subject is effectively vacant land. Based on discussions with brokers and market participants in the area, it is my opinion an exposure period to the market of up to one year is anticipated for the subject property. Therefore, in my opinion, the Market Value of the real estate of the subject properties, as of June 2, 2019, is as follows:

$520,000

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“DISCLAIMER: This document is being furnished to the recipient for the recipient’s convenience, and it is the responsibility of the recipient to assure itself that information contained herein is accurate and complete. Any reliance on the contents shall be solely at the recipient’s risk. This document is being provided to the client without any warranty or representation, expressed or implied, as to its content, its suitability for any purpose, its accuracy, truthfulness or completeness.”

Unless otherwise stated in this report, the subject property is appraised without a specific compliance survey having been conducted to determine if the property is or is not in conformance with the requirements of the Americans with Disabilities Act. The presence of architectural and communications barriers that are structural in nature that would restrict access by disabled individuals may adversely affect the property’s value, marketability or utility.

The process was to develop an opinion of value and to perform a complete appraisal report as defined by the Uniform Standards of Professional Appraisal Practice. This means that no departure from Standard Rule 1 was invoked.

R. C. Chuoke is competent to appraise the subject property, having appraised several similar properties. The educational program followed is developed by the Appraisal Foundation and the Texas Appraiser Licensing and Certification Board in order to remain abreast of current and future trends in the real estate market and the appraisal profession.

CONTINGENT AND LIMITING CONDITIONS

The value estimates within this appraisal are contingent upon the subject property, as well as the adjoining properties, being free and clear of any toxic or hazardous waste materials such as, but not limited to, lead or lead-based products. It should be noted a potential purchaser of a property with hazardous waste or dangerous materials may assume financial liability for removal of such materials. The appraiser highly recommends an inspection be performed qualified professionals to ensure there are no hazardous waste materials, mold or wood destroying pests (such as, but not limited to, termites) on the subject. The value is also contingent upon the General Assumptions and General Limiting Conditions of this report. Also, the aforementioned values stated above were represented as of the effective date of this appraisal and value estimates could change in the future.

1. This is an appraisal report, which is intended to comply with the reporting requirements set forth under Standard Rule 2-2(a) of the Uniform Standards of Professional Appraisal Practice for an Appraisal Report. As such, it may not include full discussions of the data, reasoning and analyses that were used in the appraisal process to develop the appraisers’ opinion of value. Supporting documentation concerning the data, reasoning and analyses is retained in the appraiser’s files. The information contained in this report is specific to the needs of the client and the intended use stated in this report. The appraiser is not responsible for unauthorized use of this report.

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2. No responsibility is assumed for legal or title considerations. Title to the property is assumed to be good and marketable unless otherwise stated in this report.

3. The property is appraised free and clear of any liens and encumbrances unless otherwise stated in this report.

4. Responsible ownership and competent property management are assumed unless otherwise stated in this report.

5. The information furnished by others is believed to be reliable. However, no warranty is given for its accuracy.

6. All engineering is assumed to be correct. Any plot plans and illustrative material in this report are included only to assist the reader in visualizing the property. The legal description in this report is assumed to be correct.

7. It is assumed that there are no hidden or unapparent conditions of the property, sub- soil, or structure which would render it more or less valuable. No responsibility is assumed for such condition or for arranging for engineering studies that may be required to discover them.

8. It is assumed that there is full compliance with all applicable federal, state and local environmental regulations and laws unless non-compliance is stated, defined and considered in the appraisal report.

9. It is assumed that all applicable zoning and use regulations and restrictions have been complied with, unless a non-conformity has been stated, defined and considered in this appraisal report.

10. It is assumed that all required licenses, certificates of occupancy or other legislative or administrative authority from local, state or national governmental or private entity or organization have been or can be obtained or renewed for any use on which the value estimates contained in this report are based.

11. Any sketch in this report may show approximate dimensions and is included to assist the reader in visualizing the property. Maps and exhibits found in this report are provided for reader reference purposes only. No guarantee as accuracy is expressed or implied unless otherwise stated in this report. No survey has been made for the purpose of this report.

12. It is assumed that the utilization of the land is within the boundaries or property lines of the property described and that there is no encroachment or trespass unless stated in this report.

13. The appraiser is not qualified to detect hazardous waste and/or toxic materials. Any comment by the appraiser that might suggest the possibility of the presence of such substances should not be taken as confirmation of the presence of hazardous waste and/or toxic materials. Such determination would require investigation by a qualified

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expert in the field of environmental assessment. The presence of substances such as asbestos, urea-formaldehyde foam insulation or other potentially hazardous materials may affect the value of the property. The appraisers’ value opinion is predicated on the assumption that there is no such material on or in the property that would cause a loss in value unless otherwise stated in this report. No responsibility is assumed for any environmental conditions, or for any expertise or engineering knowledge required to discover them. The appraisers’ descriptions and resulting comments are the result of routine observations made during the appraisal process.

14. Unless otherwise stated in this report, the subject property is appraised without a specific compliance survey having been conducted to determine if the property is or is not in conformance with the requirements of the Americans with Disabilities Act. The presence of architectural and communications barriers that are structural in nature that would restrict access by disabled individuals may adversely affect the property’s value, marketability or utility.

15. Any proposed improvements are assumed to be completed in a good workmanlike manner in accordance with the submitted plans and specifications.

16. The distribution, if any, of the total valuation in this report between land and improvements applies only under the stated program of utilization. The separate allocations for land and buildings must not be used in conjunction with any other appraisal and are invalid if so used.

17. Possession of this report, or a copy thereof, does not carry with it the right of publication. It may or may not be used for any purpose other than the party to whom it is addressed without the written consent of the appraiser, and in any event only with proper written qualifications and only in its entirety.

18. Neither all nor any part of the contents of this report (especially any conclusions as to value, the identity of the appraiser or the firm with which the appraiser is connected) shall be disseminated to the public through advertising, public relations, news sales or other media without prior written consent and approval of the appraiser.

We certify that, to the best of our knowledge and belief:

1. The statements of fact contained in this report are true and correct.

2. The reported analyses, opinions and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal, unbiased professional analyses, opinions and conclusions.

3. I have no present or prospective interest in the property that is the subject of this report, and we have no personal interest or bias with respect to the parties involved.

4. My engagement in this assignment was not contingent upon developing or reporting predetermined results.

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5. Our compensation is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value estimate, the attainment of a stipulated value, or the occurrence of a subsequent event directly related to the intended use of this appraisal.

6. Our analyses, opinions and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and the Uniform Standards of Professional Appraisal Practice and the Texas Appraiser Licensing and Certification Board.

7. Use of this report is subject to the requirements of the Appraisal Foundation relating to review by its duly authorized representatives.

8. Chris Chuoke is State Certified General by the Texas Appraisal Licensing and Certification Board.

9. Chris Chuoke made a personal inspection of the property that is the subject of this report.

10. No other persons provided significant professional assistance to the persons signing this report.

11. This appraisal was not based on a requested minimum valuation, a specific valuation, or the approval of a loan.

12. We have not performed any real estate appraisal functions on the subject property for the three years prior to the effective date of this appraisal.

Please call of we may be of further assistance to you in this matter.

Respectfully,

Chris Chuoke, President R.C. CHUOKE AND ASSOCIATES, INC.

Special Report Conditions, Appraiser’s Liability & Limitations and Client Agreements.

32 2020-11-04 Council Packet 118 of 128

The acceptance of this report and its use by the Client in any manner whatsoever or for any purpose is acknowledgement by the client that the designated recipient, participant or assignee has personally read the report and specifically agrees that the data herein is accurate to the best of the appraiser’s ability. This report remains the personal property of the signer and may not be transmitted or relied on by any third party without the signer’s written permission. It is agreed that the appraiser’s responsibility does not extend to any third party under any circumstances whatsoever. As an amendment to the Appraiser/Client agreement, the Client agrees to read the appraisal and agrees to notify the Appraisal firm of any objections, errors, omissions or invalid data herein within 15 days of receipt of this report and return all copies of report to appraiser for correction prior to use whatsoever. Under no circumstances shall the Company’s or any Appraiser’s liability exceed the fee actually collected for this report and then only in case of a gross error(s) which would have materially affected the appraisal’s value indication as of the date of the valuation. By acceptance of this report by the client, the client acknowledges the foregoing statements and also acknowledges that a value opinion is the product of company which produces an opinion not a provable fact. As a personal opinion, valuations may vary between Appraisers based on the same facts. The client agrees that the signer(s) of this appraisal have done so solely as employee(s) of R.C. Chuoke & Associates and not individually.

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ADDENDA 2020-11-04 Council Packet 120 of 128

APPRAISAL DISTRICT DATA Galveston CAD - Property Details Page 1 of 2

2020-11-04 Council Packet 121 of 128

Galveston CAD

Property Search Results > 718940 CITY­KEMAH for Year Tax Year: 2019 2019

Property Account Property ID: 718940 Legal Description: KEMAH MARKETPLACE RPLT (2017) ABST 18 RES G ACRES 1.3305 Geographic ID: 4361­0000­0007­000 Zoning: Type: Real Agent Code: Property Use Code: Property Use Description: Location Address: Mapsco: Neighborhood: JARBOE Map ID: 98­D Neighborhood CD: 4235 Owner Name: CITY­KEMAH Owner ID: 103405 Mailing Address: 1401 HWY 146 % Ownership: 100.0000000000% KEMAH, TX 77565 Exemptions: EX­XV

Values

(+) Improvement Homesite Value: + $0 (+) Improvement Non­Homesite Value: + $0 (+) Land Homesite Value: + $0 (+) Land Non­Homesite Value: + $147,800 Ag / Timber Use Value (+) Agricultural Market Valuation: + $0 $0 (+) Timber Market Valuation: + $0 $0 ­­­­­­­­­­­­­­­­­­­­­­­­­­ (=) Market Value: = $147,800 (–) Ag or Timber Use Value Reduction: – $0 ­­­­­­­­­­­­­­­­­­­­­­­­­­ (=) Appraised Value: = $147,800 (–) HS Cap: – $0 ­­­­­­­­­­­­­­­­­­­­­­­­­­ (=) Assessed Value: = $147,800

Taxing Jurisdiction Owner: CITY­KEMAH % Ownership: 100.0000000000% Total Value: $147,800

Entity Description Tax Rate Appraised Value Taxable Value Estimated Tax C38 CITY OF KEMAH 0.202838 $147,800 $0 $0.00

https://propaccess.trueautomation.com/clientdb/Property.aspx?prop_id=718940&year=2019 6/3/2019 Galveston CAD - Property Details Page 2 of 2

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CAD APPRAISAL DISTRICT 0.000000 $147,800 $0 $0.00 GGA GALVESTON COUNTY0.529831 $147,800 $0 $0.00 RFL CO ROAD & FLOOD 0.002067 $147,800 $0 $0.00 S16 CLEAR CREEK ISD 1.400000 $147,800 $0 $0.00 W03 WCID 12 KEMAH 0.260000 $147,800 $0 $0.00 Total Tax Rate: 2.394736 Taxes w/Current Exemptions: $0.00 Taxes w/o Exemptions: $3,539.42

Improvement / Building No improvements exist for this property.

Land

# Type Description Acres Sqft Eff Front Eff Depth Market Value Prod. Value 1 CO CO 1.3306 57960.00 0.00 0.00 $147,800 $0

Roll Value History

Year Improvements Land Market Ag Valuation Appraised HS Cap Assessed 2019 $0 $147,800 0 147,800 $0 $147,800 2018 $0 $147,800 0 147,800 $0 $147,800 2017 $0 $147,800 0 147,800 $0 $147,800

Deed History ­ (Last 3 Deed Transactions)

Deed Deed # Date Type Description Grantor Grantee Volume Page Number 1 3/6/2018 COR CORRECT OWNERSHIP CITY OF CITY­KEMAH KEMAH 2 3/6/2018 SWD SPECIAL WARRANTY DEED KEMAH CITY OF 2018014770 2018014770 2018014770 INVESTMENT KEMAH PARTNERS LLC

Tax Due Property Tax Information as of 06/03/2019

Amount Due if Paid on:

Base Base Discount / Year Taxing Taxable Base Taxes Tax Penalty & Attorney Amount Jurisdiction Value Tax Paid Due Interest Fees Due

NOTE: Penalty & Interest accrues every month on the unpaid tax and is added to the balance. Attorney fees may also increase your tax liability if not paid by July 1. If you plan to submit payment on a future date, make sure you enter the date and RECALCULATE to obtain the correct total amount due.

Questions Please Call (409) 935­1980

Website version: 1.2.2.30 Database last updated on: 6/2/2019 8:40 PM © N. Harris Computer Corporation

https://propaccess.trueautomation.com/clientdb/Property.aspx?prop_id=718940&year=2019 6/3/2019 2020-11-04 Council Packet 123 of 128

QUALIFICATIONS OF APPRAISER CHRIS CHUOKE

Chris Chuoke has been engaged in the real estate appraisal profession since 1978, he is currently president of R.C. Chuoke & Associates, Inc. The scope of work has included real estate appraisals, real estate sales, and development. Experience in real estate appraisals include light industrial properties, general commercial properties such as retail, office buildings, including convenience stores with gas sales, hotels, car washes, day care facilities, dry cleaners, multi-tenant shopping centers, office condominiums and special purpose properties including churches and marinas as well as single family houses, duplexes, and condominium/ townhouse units and apartments. Additionally there is experience in right of way appraisals and condemnation and has been approved as an expert witness in both Harris and Galveston Counties. As part of these appraisals, we have also included going-concern values where requested. Listed below are some of the clients served:

CORPORATE RELOCATION Pollo Loco Restaurants Summit Relocation Exxon/Mobil Land Management Cendant Relocation Exxon Pipeline Company Prudential Relocation South Shore Harbour Development Summit Relocation Rockwell Space Operations, Inc. CAE-Link Corporation Nisseki Chemical

BANKS GOVERNMENTAL Moody National Bank City of La Porte Community Bank Galveston County BBVA/Compass Bank City of Kemah Pearland State Bank City of League City Heritage Bank City of Webster First Bank City of Nassau Bay Texan Bank SBA Lone Star Bank City of El Lago Prosperity Bank -C. L. Texas First Bank Hometown Bank JSC Credit Union Texas Citizens Bank MORTGAGE COMPANIES First Bank Hometrust Mortgage Shell Federal Credit Union Federal Home Loan Mortgage Dow Credit Union Texas First Bank Mortgage SWBC Mortgage Corp.

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EDUCATION

Bachelor of Business Administration, 1977, University of Houston at Clear Lake

PROFESSSIONAL AFFLIATIONS

Texas Real Estate Brokers License, 1977, #216958 Certified Texas Real Estate Appraisers # TX- 1321347-G Texas Associations of Realtors National Association of Realtors Gulf Coast Board of Realtors

2020-11-04 Council Packet 125 of 128

Kemah City Council Agenda Item #18 WCID#12 Fire Fees Once form is complete and departmental clearances are obtained, this form should be forwarded to the City Secretary as soon as possible prior to the date that the item is expected to be placed on the City Council agenda.

Date requested for Council consideration: 11/04/2020 Prepared by: Subject: An Ordinance of the City of Kemah, Texas to require that any property (improved or unimproved) within the City of Kemah shall be subject to a fee for fire fighting and suppression service; the fee shall be periodically set by rate order of Galveston County Water Control District #12, finding that the fees set are reasonable, making it unlawful to fail or refuse to promptly pay said fee, providing a penalty and providing for severability. Proceeding: Ordinance Originating Department: Admin Plan Reference: 17SP- or 17OP-

Texas Ethics Commission Form 1295 required? n/a If YES, is copy of Form attached? Contract Identification Number on Form:

City Attorney Review: Yes

Expenditure Required: Amount Budgeted: Appropriation Required: Source of Funds: Finance Approval: n/a

City Administrator Approval:

SUMMARY / ORIGINATING CAUSE

IMMINENT CONSEQUENCES / BENEFIT TO COMMUNITY

RECOMMENDATIONS

ATTACHMENTS Ordinance XXXX – To require that any property (improved or unimproved) within the City of Kemah shall be subject to a fee for fire fighting and suppression service; the fee shall be periodically set by rate order of Galveston County Water Control District #12, finding that the fees set are reasonable, making it unlawful to fail or refuse to promptly pay said fee, providing a penalty and providing for severability.

Page 1 of 1 2020-11-04 Council Packet 126 of 128

ORDINANCE NO. ______

AN ORDINANCE OF THE CITY OF KEMAH, TEXAS TO REQUIRE THAT ANY PROPERTY (IMPROVED OR UNIMPROVED) WITHIN THE CITY OF KEMAH SHALL BE SUBJECT TO A FEE FOR FIRE FIGHTING AND SUPPRESSION SERVICE; THE FEE SHALL BE PERIODICALLY SET BY RATE ORDER OF GALVESTON COUNTY WATER CONTROL DISTRICT #12 AND APPROVED AS REASONABLE BY THE VOTERS OF THE DISTRICT, FINDING THAT THE FEES SET ARE REASONABLE, MAKING IT UNLAWFUL TO FAIL OR REFUSE TO PROMPTLY PAY SAID FEE, PROVIDING A PENALTY AND PROVIDING FOR SEVERABILITY.

WHEREAS, the Galveston County Water Control District #12 (hereafter “The District”) includes a fee of $______per month (as part of the water and sewer invoice to customers) for fire- fighting and suppression service protection [provided by the Kemah Volunteer Fire Department (hereafter “KVFD”)] acting as a component of the Emergency Services Board (hereafter “ESB” - a group contractually aligned for joint fire protection to The District, the City of Kemah, the City of Clear Lake Shores and Lazy Bend subdivision (an unincorporated area acting by and through its Homeowners Association for each residential or commercial property served within the boundaries of the District; and

WHEREAS, the boundaries of the ESB participants vary and some parts overlap and some parts do not overlap. All properties covered by this Ordinance are within the City of Kemah while some, but not all, are within the District and the objective herein is to achieve a fair and equal distribution of the fees among the properties that actually enjoy the fire fighting and suppression service protection; and

WHEREAS, properties that currently have connections for The District’s water service have already been receiving a monthly invoice and paying (or incurring liability for payment) for this purpose in the amount of $10.00 per residential or commercial connection. Note that a “commercial connection” unit is up to 2,500 square feet in lot size and does actually incur more than one monthly fee if the property protected is larger than 2,500 square feet. For instance a commercial connection of 10,000 square feet would incur four (4) monthly fees of $10.00 each; and

WHEREAS, a few certain properties within the City of Kemah utilize septic tanks for sanitary sewer purposes and water wells and thereby have historically quietly avoided being required to pay their fair share of the cost of fire-fighting and suppression service protection that they receive; and

WHEREAS, a few structures on properties located in the City of Kemah are beyond the boundaries of the District but have been receiving fire-fighting and suppression service protection from the ESB, the KVFD and The District; and

WHEREAS, it is the intent and scope of this Ordinance that any property (improved or unimproved) within the City of Kemah shall be subject to the fee for fire fighting and suppression service periodically set by rate order of The District and approved as reasonable by the voters of The District; at this time set and approved by The District by rate order at $10.00 per residential or commercial property measured as herein described and subject to modification by said same process if utilized. 2020-11-04 Council Packet 127 of 128

NOW THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF KEMAH, TEXAS THAT:

1. Any property (improved or unimproved) within the City of Kemah, and which does not already pay a fee for fire-fighting and suppression service to a separate utility district, shall be subject to the fee for fire-fighting and suppression service periodically set by rate order of The District and approved as reasonable by the voters of The District-at this time set and approved by The District by rate order at $10.00 per residential or commercial property measured as herein described and subject to modification by said same process if utilized. City finds that the fees so set are reasonable.

2. The owner of any property shall be responsible for the payment of these fees levied hereunder. It shall be unlawful for any owner of a property subject to this reasonable fee to fail or refuse to pay said fees when due. Any terms and conditions for time of payment and late fees, if any, set by The District under said rate order shall apply to the properties within the City of Kemah, Texas covered herein. It is agreed, anticipated and expected that the administration of the invoicing and collection of said fees shall be performed by The District at no additional cost to the City of Kemah since this action by the City of Kemah aids in the mandate of the ESB to spread the cost of fire protection and suppression services more fairly, equally and uniformly, since it shall be applied equally to all who actually enjoy the service. If enforcement action for violation of this Ordinance becomes necessary in the normal course of business of the ESB, it shall be processed and enforced by the City of Kemah in its municipal court or other proper appellate or trial de novo venues normally associated with municipal ordinance violations.

3. Any person violating or failing to comply with any other provision of this Ordinance shall, upon conviction thereof, be punishable by a fine in an amount up to the maximum permitted by law. The continuation of such violation for each successive day shall constitute a separate offense, and the person or persons allowing or permitting the continuation of the violation may be punished as provided above for each separate offense.

4. If any sentence, phrase, clause or any part of this Ordinance shall, for any reason, be held invalid, such invalidity shall not affect the remaining portions of this Ordinance, and it is hereby declared to be the intention of this City Council to have passed each sentence, phrase or clause, or part thereof, irrespective of the fact that any other sentence, phrase or clause, or part thereof, may be declared invalid.

Duly Passed and Approved on this the _____ day of November, 2020

______Terri Gale, Mayor City of Kemah, Texas ATTEST:

______Melissa Chilcote, City Secretary 2020-11-04 Council Packet 128 of 128

Kemah City Council Agenda Item #19 Lighthouse District Safety

Once form is complete and departmental clearances are obtained, this form should be forwarded to the City Secretary as soon as possible prior to the date that the item is expected to be placed on the City Council agenda.

Date requested for Council consideration: 11/04/2020 Prepared by: Mayor Gale Subject: to revise the configuration, timing, signage, and any other aspects of the bollards, lighting, parking areas, and other safety‐related changes for 6th street and the Lighthouse District Proceeding: Consent Originating Department: Admin Plan Reference: 17SP‐ or 17OP‐

Texas Ethics Commission Form 1295 required? n/a If YES, is copy of Form attached? Contract Identification Number on Form: City Attorney Review: n/a

Expenditure Required: Amount Budgeted: Appropriation Required: Source of Funds: Finance Approval: n/a

City Administrator Approval:

SUMMARY / ORIGINATING CAUSE At the Council Meeting on September 24th, the Council agreed to put more precautions in place in the Lighthouse District for safety measures as well as make this a reoccurring agenda item IMMINENT CONSEQUENCES / BENEFIT TO COMMUNITY

RECOMMENDATIONS

ATTACHMENTS

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