On the agenda: Flower Mound meeting — surveillance camera (Aug 6)

AGENDA
FLOWER MOUND TOWN COUNCIL REGULAR MEETING AND WORK SESSION; TOWN
OF FLOWER MOUND FIRE CONTROL, PREVENTION, AND EMERGENCY MEDICAL
SERVICES DISTRICT SPECIAL MEETING; AND CRIME CONTROL AND PREVENTION
DISTRICT SPECIAL MEETING
August 6, 2012
FLOWER MOUND TOWN HALL, 2121 CROSS TIMBERS ROAD
FLOWER MOUND, TEXAS
6:00 P.M.
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An agenda information packet is available online at www.flower-mound.com/AgendaCenter

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All pagers and cell phones must be turned off in the Council Chambers.
A.

CALL BRIEFING SESSION TO ORDER

B.

BRIEFING SESSION
1.
2.
3.
4.

Town Council Boards and Commissions Subcommittee/Liaison Reports
Discuss Consent and Regular Items
Request Future Agenda Items
Update and status report related to the Town’s mosquito control program

C.

ADJOURN BRIEFING SESSION

D.

CALL MEETING TO ORDER

E.

INVOCATION

F.

PLEDGE OF ALLEGIANCE TO THE AMERICAN FLAG AND TO THE TEXAS FLAG
“Honor the Texas flag; I pledge allegiance to thee, Texas, one state under God, one
and indivisible.”

G.

PUBLIC PARTICIPATION
Please fill out an "Appearance Before Town Council" form in order to address the Council and turn the form in prior to Public
Participation, or by 6:10 p.m. to Town Secretary Theresa Scott. Speakers are normally limited to three minutes. Time limits can be
adjusted by the Chair as to accommodate more or fewer speakers.
The purpose of this item is to allow the public an opportunity to address the Town Council on issues that are not the subject of a
public hearing. Any item requiring a public hearing will allow the public to speak at the time that item appears on this agenda as
indicated as a "Public Hearing." Items that are the subject matter jurisdiction of the Town Council include Town policy and legislative
issues. Issues regarding daily operational or administrative matters should first be dealt with at the administrative level by calling Town
Hall at 972-874-6000 during business hours.

Town Council Meeting Agenda
August 6, 2012
Page 2
H.

ANNOUNCEMENTS
This item allows members of the Town Council to make brief announcements relating to any of the following matters: (1) expressions
of thanks, congratulations, or condolence; (2) information regarding holiday schedules; (3) recognition of a public official, public
employee, or a resident; (4) a reminder about an upcoming event organized or sponsored by the Town; (5) information regarding a
social, ceremonial, or community event organized or sponsored by an entity other than the Town; and (6) announcements involving an
imminent threat to the public health and safety. Comments by Council Members on other matters are not permitted unless they have
been timely placed on the agenda in advance of the Town Council meeting.

I.

J.

1.

Announce recent and upcoming civic and social events.

2.

Mayor to provide factual update about the Morriss Road/Gerault Road roadway
improvement project and comment on issues surrounding the project, including
construction of the FM 2499 flyover, project funding, right-of-way acquisition,
road construction issues, and project budget.

3.

Mayor to discuss limiting the technical detail required for Planning and Zoning
Commission and Town Council staff reports.

TOWN MANAGER’S REPORT
1.

Update and status report related to capital improvement projects.

2.

Feedback report from developers and consultants regarding development
regulations and best practices.

3.

Lakeside DFW Project Update.

4.

Discussion of Matrix developed from the May 22, 2012 Town Council
meeting.

5.

Discuss Council Communications (CC).
a. CC 27-12: Living Local program logo selection
b. CC 28-12: Environmental Services Quarterly Reports

CONSENT AGENDA - Consent Items
This agenda consists of non-controversial or "housekeeping" items required by law. Items may be removed from the
Consent Agenda by any Councilmember by making such request prior to a motion and vote on the Consent Agenda.

1.

Consider approval of the minutes from a regular meeting of the Town Council
held on June 18, 2012.

2.

Consider approval of an ordinance establishing the 2012 certified appraisal roll.

3.

Consider accepting the submission of the certified collection rate of 100
percent for the fiscal year beginning October 1, 2012, and ending September
30, 2013.

4.

Consider accepting the submission of the notice of an effective tax rate of
$0.453947 per $100 assessed valuation and a rollback tax rate of $0.468651
per $100 assessed valuation for the fiscal year beginning October 1, 2012,
and ending September 30, 2013.

Town Council Meeting Agenda
August 6, 2012
Page 3

K.

5.

Consider proposing a maximum tax rate of $0.4497 per $100 valuation for the
fiscal year beginning October 1, 2012, and ending September 30, 2013;
scheduling the August 20, 2012, public hearing on the budget; and scheduling
the September 17, 2012, adoption of said budget and tax rate; with each
meeting to be held at 6:00 PM, at Town Hall, located at 2121 Cross Timbers
Road.

6.

Town Council acting as the Board of Directors for the Town of Flower Mound
Fire Control, Prevention, and Emergency Medical Services District to schedule
a public hearing for August 20, 2012, on the Flower Mound Fire Control,
Prevention, and Emergency Medical Services District budget and to schedule a
meeting for September 17, 2012, to take action on the proposed budget; with
each meeting to be held at 6:00 PM, at Town Hall, located at 2121 Cross
Timbers Road.

7.

Town Council acting as the Board of Directors for the Town of Flower Mound
Crime Control and Prevention District to schedule a public hearing for August
20, 2012, on the Flower Mound Crime Control and Prevention District budget
and to schedule a meeting for September 17, 2012, to take action on the
proposed budget; with each meeting to be held at 6:00 PM, at Town Hall,
located at 2121 Cross Timbers Road.

8.

Consider approval of an Interlocal Cooperation Agreement with Denton County
for the assessment and collection of ad valorem taxes for the period beginning
October 1, 2012, and ending September 30, 2013, subject to renewal for an
additional one-year term; and authorization for the Mayor to execute same on
behalf of the Town.

9.

Consider approval of a resolution authorizing the adoption of an amendment to
the Town of Flower Mound’s Program Years 2010-2014 Strategic Plan for
Housing and Community Development, an amendment to the Town’s
Residential Anti-Displacement and Relocation Assistance Plan, and approval of
the Program Year 2012 Action Plan, which is required under Flower Mound’s
Community Development Block Grant; and authorization for the Mayor to
execute same on behalf of the Town and submit to the U.S. Department of
Housing and Urban Development.

10.

Consider approval of a Professional Services Agreement with Gateway
Planning Group, Inc. to provide consultant services regarding mixed use
developments; and authorization for the Mayor to execute same on behalf of
the Town.

REGULAR ITEMS
11.

Consider approval of an ordinance amending the fee for inspections outside of
normal working hours.

Town Council Meeting Agenda
August 6, 2012
Page 4

L.

12.

Consider approval of an ordinance authorizing the issuance of the Town of
Flower Mound, Texas, Certificates of Obligation, Series 2012, in the amount
of $7,105,000 and resolving other matters incident and related thereto.

13.

Consider approval of the award of Bid No. 72-12-B, to John Burns
Construction Company of Texas, Inc., for the construction of the Twin Coves
Park Sewer System project, in the amount of $180,820.00; and authorization
for the Mayor to execute same on behalf of the Town.

14.

Consider approval of a Professional Services Agreement with RJN Group, Inc.,
to provide professional services for the 2012 Phase I Sanitary Sewer
Evaluation Survey project, in the amount of $314,616.00; and authorization
for the Mayor to execute same on behalf of the Town.

WORK SESSION
15.

Receive presentation from Sawko & Burroughs, P.C. regarding the Town’s
delinquent tax collections and discuss contract for delinquent tax collections.

M.

COORDINATION OF CALENDARS AND FUTURE AGENDAS/MEETINGS

N.

CLOSED MEETING
The Town Council to convene into a closed meeting pursuant to Texas Government
Code Chapter 551, including, but not limited to, Sections 551.087, 551.072,
551.074, and 551.071 to discuss matters relating to consultation with Town
Attorney, pending litigation, real property, personnel, and economic development
negotiations as follows:
a. Discuss and consider economic development incentives.
b. Discuss and consider acquisition and/or lease of real property for municipal
purposes and all matters incident and related thereto.
c. Discuss and consider appointments to the Animal Services Board, Board of
Adjustment, Oil and Gas Board of Appeals, Community Development Corporation,
Environmental Conservation Commission, Parks, Arts and Library Services Board,
Public Arts Committee, Planning & Zoning Commission, SMARTGrowth
Commission, Tax Increment Reinvestment Zone Number One (TIRZ #1), and
Transportation Commission.
d. Consultation with the Town Attorney regarding legal issues associated with meet
and confer negotiations pursuant to Chapter 142 of the Texas Local Government
Code, including negotiation ground rules, and all matters incident and related
thereto.
e. Discuss personnel items.

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TOWN COUNCIL MEETING
AGENDA ITEM NO: 1
August 8, 2012
[ X] CONSENT ITEM

[ ] REGULAR ITEM

FROM:

Theresa Scott, Town Secretary

THROUGH:

Harlan Jefferson, Town Manager

[ ] WORK SESSION ITEM

PRESENTER: Theresa Scott, Town Secretary
ITEM:

Consider approval of the minutes from a regular meeting of the Town
Council held on June 18, 2012.

[ ] Ordinance
I.

[ ] Resolution

[X ] Motion

[ ] Direction

SUMMARY:
The Town Council held a regular meeting on June 18, 2012.

II.

BACKGROUND INFORMATION:
N/A

III.

FISCAL IMPACT:
N/A

IV.

LEGAL REVIEW:
N/A

V.

ATTACHMENTS:
1. Draft minutes.

VI.

RECOMMENDED MOTION OR ACTION:
Move to approve the minutes from a regular meeting of the Town Council held
on June 18, 2012.

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THE FLOWER MOUND TOWN COUNCIL REGULAR MEETING HELD ON THE 18TH DAY OF
JUNE, 2012, IN THE FLOWER MOUND TOWN HALL, LOCATED AT 2121 CROSS
TIMBERS ROAD IN THE TOWN OF FLOWER MOUND, COUNTY OF DENTON, TEXAS AT
6:00 P.M.
The Town Council met in a regular meeting with the following members present:
Tom Hayden
Kendra Stephenson
Mark Wise
Bryan Webb
Steve Dixon
Jean Levenick

Mayor
Mayor Pro Tem
Deputy Mayor Pro Tem
Councilmember Place 2
Councilmember Place 4
Councilmember Place 5

constituting a quorum with the following members of the Town Staff participating:
Harlan Jefferson
Theresa Scott
Terrence Welch
Kent Collins
Chuck Springer
Gary Sims
Doug Powell
A.

Town Manager
Town Secretary
Town Attorney
Assistant Town Manager
Assistant Town Manager/CFO
Executive Director of Community Services
Director of Development Services

CALL BRIEFING SESSION TO ORDER
Mayor Hayden called the briefing session to order at 6:02 p.m.

B.

BRIEFING SESSION

1.

Town Council Boards and Commissions Subcommittee Reports
Councilmember Levenick reported attending the Parks, Arts, and Library Services
(PALS) Board meeting on June 7th, at which time they toured Heritage Park, and
later was provided an update on the skate park, amphitheater, and playground,
followed by a presentation on the Draft Library Master Plan from Sue Compton,
Library Director.
Councilmember Webb reported attending the Environmental Conservation
Commission (ECC) meeting on June 5th. He noted the main item for discussion at
that meeting was the request for a tree removal permit for Ridge Bluff Estates.
Mayor Pro Tem Stephenson reported attending the following meetings:
1. Planning & Zoning on June 11th: She noted during that meeting there were
a few replats, and one plat was vacated. In addition, a group from the
Franklin Hills Subdivision was in attendance for the purpose of expressing
concerns regarding build-out of neighboring properties and water levels.
She indicated having informed the group that Town staff was in the

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process of conducting an inventory of all of the subdivisions that don’t
currently conform to the water line standards.
2. Go Team meetings for the Lakeside DFW Project: She announced having
attended this meeting with Councilmember Wise and that progress is being
made. She noted the developers are preparing for a workshop with Town
Council sometime before mid-July. The developers have three areas in
which they would like to get policy direction prior to moving forward:
Lakeside Parkway, parkland dedication, and tree mitigation. She noted
they are still discussing these areas with Town staff, and they are not
going to wait until they get that direction but they did want to make sure
Council was in agreement on those areas.
Councilmember Wise reported attending the Go Team meeting and indicated he
had nothing further to add from what Mayor Pro Tem Stephenson presented.
2.

Discuss Consent and Regular Items
Councilmember Dixon requested items 7, 9, 10, and 14 be pulled from Consent.

3.

Request Future Agenda Items
Councilmember Webb requested a future item for discussion on the issue of drug
issues in the community, which could include all members of the community,
such as police, schools, churches, and other non-profits, as well as the business
community through the Chamber, to take a look at the issue.
Mayor Hayden commented that perhaps it’s an item that can be talked about
during the upcoming planning session.
Councilmember Dixon asked that as the budget process moves forward he would
like consideration be given to replace the current audience chairs with more
comfortable chairs for residents to sit in.

4.

Discuss property tax and other related collection services for the Town.

This item discussed at the end of Item G.
C./D. ADJOURN BRIEFING SESSION AND CALL REGULAR MEETING TO ORDER
Mayor Hayden adjourned the briefing session and called the regular meeting to
order at 6:09 p.m.
E.

INVOCATION
Chaplain Mike Liles gave the invocation.

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PLEDGE OF ALLEGIANCE TO THE AMERICAN FLAG AND THE TEXAS FLAG
Mayor Hayden led the pledges.

G.

PRESENTATIONS

1.

National Parks and Recreation Month Proclamation.
Mayor Hayden presented Kate Schneider, Manager of the Community Activity
Center, with a Proclamation recognizing National Parks and Recreation Month.

2.

Christian Community Action Request to Reduce Impact and Building Permit Fees
Ron Batts, President, Christian Community Action (CCA), 200 South Mill St,
Lewisville, TX
Mr. Batts petitioned Council members for a reduction of fees associated with
permit and impact fees, estimated at approximately $35,000, under the auspices
of the 380 Agreement, and in conjunction with the CCA collection center
currently under construction in the Lakeside Business District. He pointed out that
it’s his understanding that the 380 Agreement was created to stimulate and
boost the local economy. He noted their project would do that by creating 50
new jobs when it opens, generating almost $1 million in wages in its first year. In
addition, they will be purchasing approximately $200,000 of support items
needed to run the center from within the Flower Mound community. He noted the
return on investment from a non-profit perspective goes back to investors being
members of the community. Funds raised are returned back to the community. He
indicated this past year CCA returned over $164,000 in services directly to the
residents of Flower Mound. He noted to put it in perspective $35,000 is enough
to feed 1,400 families of four for a month.
Mayor Hayden asked Mr. Jefferson for clarification as to the fees going forward.
Mr. Jefferson stated the total fees are approximately $43,500, of which $1,888
is for plan review fees (which they’ve already paid), building inspection fees of
$6,000, drainage inspection fees of $2,308, and the largest portion being impact
fees at $33,309.
Mayor Hayden pointed out the incentive agreements associated with the 380
Agreement begins with taxable value. He asked Mr. Batts if he knew the taxable
value of the project. Mr. Batts indicated he did not.
Bob Day, Christian Community Action, 200 South Mill St, Lewisville, TX
Mr. Day pointed out they are non-profit so there wouldn’t be a taxable value, and
for that reason they were turned down for incentives.
Mr. Batts pointed out the return on investment is in the way of community
services.

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Councilmember Dixon indicated being in favor of the Town doing everything
possible to mitigate the fees. As such, he stated having corresponded with the
Town Attorney to inquire what can be done. He asked Mr. Welch to expand upon
the statutory requirements related to impact fees to the Town in this situation.
Mr. Welch commented there is an agreement with LNR that goes through certain
requirements for impact fee reductions and other fee waivers. Under the impact
fee statue there are some issues as to what can and can’t be done. He stated
there are four to five issues associated with this type of request.
Mayor Hayden indicated Council will discuss later as caution needs to be
exercised in this situation given the precedence that could be set going forward
for future non-profits.
3.

Presentation by Fort Wildflower Steering Committee to provide an update
regarding the Fort Wildflower community built playground
Amy Weidner, 2725 Ponderosa Pine Dr, Flower Mound
Ms. Weidner expressed appreciation for the opportunity to be part of the Fort
Wildflower project. She provided a status update with regard to fundraising, food,
volunteers, tools and materials, and marketing. She also identified what the
current needs are.
Mayor Hayden asked if something could be put into the utility bills to promote the
selling of the bricks and pickets.
Ms. Weidner noted it was already an insert.
Her presentation is as follows:

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Mayor Hayden asked Ms. Weidner how much money do they anticipate raising.
Ms. Weidner stated if they sell every component on the current list, it equates to
$114,000. If they sell every picket it equates to $5,000 more. She noted it
would be fantastic to get $100,000 as that would allow for some of the extra
things.
Councilmember Dixon asked for clarification regarding her reference to signage
and if she was referring to what is placed in the medians around Town, etc.
She responded yes, and they are being worked on now.
He further inquired when are the signs scheduled to be completed and up.
She responded within the next few weeks.
With regard to the need for trucks, Councilmember Dixon indicated there are
several realtors in Town with trucks that might be willing to assist in that area.
Deputy Mayor Pro Tem Wise asked about the need for a login ID when opting to
purchase a brick from the Fort Wildflower website.
Ms. Weidner indicated there is not a designated portal for the project so it’s using
the Town’s Community Activity Center activities page.
Mayor Hayden asked if there was anything else that could be done by Council to
assist in the fundraising.
Mayor Pro Tem Stephenson suggested a dunking booth at Independence Fest. In
addition, she offered to make follow up phone calls to businesses that have been
solicited. She asked if there are any components of the playground itself that
were given a “no” answer that it can’t be done. She further commented that she
received feedback that a component that was missing from the project is sun
shade, and the concern of sun sensitively associated with some medications. She
asked if this was discussed for consideration now or in the future as an add-on
based on funding received.
Mr. Sims noted the park was moved to the new location to take advantage of the
shade. He noted there is shade from sunrise to 11 am, and again from 2:30
through sunset. He mentioned it is planned to bring the topic of shading the park
to the Community Development Corporation (CDC) for funding. He noted
currently it’s not feasible under the existing budget. He stated the PALS Board is
very supportive of getting shade on all of the playgrounds.
Mayor Hayden asked what happens if funding falls short. Mr. Sims noted the
purpose of the fundraising is to raise additional funds to do things such as the
rubberized surface, surveillance cameras, and other nice amenities that were not
in the base budget.

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Mayor Pro Tem Stephenson pointed out that perhaps some type of contest could
be done that the kids might like, along with setting up a booth at Kroger.
Ms. Weidner noted there will be a raffle at some point and she has been gathering
some of those items already such as free house cleaning, and restaurant
certificates.
Mayor Hayden indicated Council is willing to assist in the efforts and will be in
contact with her as to ideas they come up with to do so.
4.

Discuss property tax and other related collection services for the Town.
Mr. Jefferson noted this item is in response to a letter received from Chuck Elsey
of Elsey & Elsey, Attorneys at Law, located in Flower Mound. Mr. Elsey
submitted a proposal to perform delinquent tax collection services for the Town
as well as miscellaneous collections. Mr. Jefferson reported that since 1985 the
Town has utilized Sawko & Burroughs for delinquent tax collection, municipal
court collection, utility billing, and delinquent collection activity related to the
alarm permit. He noted in the past the contract terms have been two years, and
now they are on a month-to-month basis, and the Town would need to provide
30 days’ notice to terminate the contract, keeping in mind there is a six month
roll out period to collect on any accounts in their possession. For that reason,
effectively it’s a seven month notice period before accounts could actually move.
He noted traditionally new delinquent collection accounts are turned over on July
1st to a delinquent tax collection attorney, with the last 20 – 30 years having a
July 1st effective date. Effectively the target would be July 1, 2013 if there is a
desire to pursue a request for proposal. Mr. Jefferson stated he met with Mr.
Elsey and he understands the time frames and what occurs traditionally.
Councilmember Dixon stated “one of the things we do in Flower Mound is Shop
Flower Mound first and when there is an opportunity to use a business in Town,
the Town should be leaders in this. If there is a law firm in Town that has the
know-how and expertise to do delinquent collections for the Town, he would
prefer to use a Flower Mound business.”
Councilmember Levenick asked what caused the contract to change from two
years to month-to-month.
Mr. Jefferson responded it was at Councils direction to shift to a month-to-month
basis.
Councilmember Levenick asked if the company the Town is utilizing now has
given any indication that they want to discontinue the contract.
Mr. Jefferson responded no.
Councilmember Webb asked if there a cost involved should the Town engage

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with a different law firm.
Mr. Jefferson responded no, in relation to delinquent tax collection. Furthermore
he noted the way the state law is written is that the fees are paid by the
delinquent taxpayer.
Councilmember Webb asked if the Town has any measurements as to the
effectiveness of the current firm.
Mr. Jefferson responded that the overall delinquent tax collection rates over a
course of ten years ranges from 99.46% – 99.97%. He noted the Town has one
of the better collection rates in Denton County.
Deputy Mayor Pro Tem Wise commented he shares Councilmember Dixon’s
thoughts in that if there is an opportunity to keep the business in Flower Mound,
it should be looked at. He asked what would be included in the request for
proposal, such as a charge of 20% that goes to the attorney and questioned if
there is any monetary benefit that comes to the Town such as a sharing of the
20% by giving 5% to the Town.
Mr. Jefferson stated that would be an opportunity for those participating to be
creative and they have the option to propose that type of recommendation.
Mayor Hayden suggested if there are questions relating to changing, then the
current firm should be invited to come before Council and at that time if it is
decided to make a change it should be open to everybody and not just one firm or
individual.
Mr. Jefferson pointed out that the “Burroughs” in Sawko & Burroughs is the
current Mayor of the City of Denton.
Mr. Jefferson questioned if it is Council’s direction to have Mr. Burroughs come in
now with a presentation, and then give direction, or if Council was ready now to
offer direction to staff.
Mayor Hayden stated it is Council’s desire to have Mr. Burroughs come in, offer a
presentation, have a discussion at that time, ask questions, and discuss whether
there is a need to change given there is a high rate of success.
H.

PUBLIC PARTICIPATION
Kathy B. O’Keefe, 3004 Oxford Ct, Flower Mound, TX 75028
Ms. O’Keefe announced having started an organization called “Winning the
Fight”, and the program is designed to educate the public on drug and alcohol
use.

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Will Travis, 575 Orchid Hill, Copper Canyon, TX
Mr. Travis, Denton County Sheriff Elect, expressed interest in working with the
Flower Mound Police Department when he takes office January 1st. He also
offered his commitment to address the drug issues in schools.
Jane Foster, 5108 Peaceful Cove, Flower Mound, TX 75028
Ms. Foster announced she is the Chairman for the Flower Mound Chamber and
they were accredited on June 6th. She further announced as of today there are
7,000 Chambers of Commerce nationwide and only 233 are accredited. This
honor puts the Chamber among the top 3% of the Chambers nationwide. She
noted the benefits of accreditation and identified the process taken to attain it.
I.

ANNOUNCEMENTS

1.

Announce recent and upcoming civic and social events.
Deputy Mayor Pro Tem Wise and Councilmember Webb offered a reminder
regarding the Town’s Independence Fest event on July 4th and announced
festivities associated with that event.
Councilmember Dixon congratulated the Chamber of Commerce for their
accreditation achievement.
Councilmember Levenick announced that this Friday at 10:00 a.m. the Seniors in
Motion are having a “movie and a meal with your grandchildren” event, and they
will be showing the Muppet movie.
Mayor Hayden offered the following announcements:
3. From June 23 – July 7th one of the largest youth baseball tournaments is
coming to Flower Mound, with over 10,000 visitors expected. He noted
it’s a great opportunity for the business community and restaurants in
particular.
4. Offered sympathy on behalf of Council for the loss of Dustin Malcom, IT
Director for the Town.
5. He noted the use of drugs in schools is important to Council and it will be
a focus for Council to seek ways to deter the use of drugs in schools.

2.

Mayor to update Council on meeting with church leaders.
Mayor Hayden stated having recently visited with 16 representatives from faith
based organizations in Flower Mound. The purpose of the meeting was to
discuss things that could be done in Town with regard to improving older
neighborhoods. There was discussion about these organizations working with the
Town by adopting a neighborhood and doing tasks that would freshen up or
rehab neighborhoods. Furthermore, he stated it has the potential of being an
ongoing project.

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TOWN MANAGER’S REPORT
1. Update and status report related to capital improvement projects (CIP)
West Windsor and Wichita Trail CIP projects:
Mr. Jefferson announced contractors are mobilized on the West Windsor project
as well as Wichita Trail and anticipate the West Windsor project to be complete in
June of 2013. He noted there are limited opportunities for delays other than
inclement weather.
He noted in The Weekly Briefing last week Council was made aware of the
Transportation Commission’s recommendations with regard to the renaming of
West Windsor as it connects with 2499, and that recommendation should be
forthcoming on the July 16th Town Council agenda for consideration.
With regard to Wichita Trail, there have been minimal complaints regarding the
detour.
Questions from Governing Body:
Morriss Road
Councilmember Levenick inquired as to the number of accidents that have
occurred at the corner of Morriss Road and FM 1171 prior to the construction.
She commented getting feedback from the public that the road is aligned so
poorly it’s difficult at times to tell what lane you’re supposed to be in. She
commented the medians and intersection in general aren’t marked very well.
Mr. Jefferson responded a report can be provided, and it would also include the
cause of the accident for comparison purposes.
Wichita Trail
With regard to Wichita Trail, Councilmember Levenick indicated she travels this
road and over the weekend there have been people going eastbound now when
it’s closed to eastbound traffic on the westbound side, and this might be
something the police should look out for, especially at the onset of construction
traffic.
Construction Signs
Councilmember Dixon questioned if there have been discussions about reducing
the current 4’ x 8’ informational construction signs since there is consensus by
Council that the council member names are not needed on the sign.
Mr. Jefferson responded the dimensions are 8’ x 5’ currently, with a plan to
implement new smaller 5’ x 3’ signs without the council member’s name starting
with the West Windsor and Wichita Trail projects.
There was consensus that the direction from Council is for exclusion of council
member names on all road construction signs going forward and not necessarily

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for existing signs that are soon to come down such as Morriss Road and Flower
Mound Road.
Bike Lanes
Mayor Hayden expressed an interest in having bike lanes along FM 1171 from
Shiloh to 35W.
Mr. Jefferson stated Matt Hotelling, Town Traffic Engineer, will be discussing
that later in tonight’s meeting.
2. Discuss Council Communications
a.

Council Communication (CC) No. 24-12: Green Waste
Mr. Jefferson suggested Council may want to discuss this item during the
upcoming joint Work Session with the Environmental Conservation Commission
(ECC).
Deputy Mayor Pro Tem Wise asked if this topic was included in the most recent
citizen survey, and if so, what the results were.
Mr. Jefferson indicated the two previous surveys provided wording regarding
green waste, and 76% of the residents supported the green waste program in
2009, and that percentage dropped down to 70% in 2011. He noted the
difference is in 2009 the question was asked “how interested in the Town
pursuing options of green waste (diverting green waste from the landfill).” In the
2011 survey a similar question was asked and the $1.82 figure was noted to
make sure residents understand there is a cost associated with the question. He
noted both survey results were favorable and can be found on the Town’s web
site.

K.

CONSENT ITEMS
Councilmember Dixon moved to approve by consent Items 1, 2, 3, 4, 5, 6, 8, 12,
13, and 15. Deputy Mayor Pro Tem Wise seconded the motion. Each item, as
approved by consent, is restated below along with the approved
recommendation, and if applicable, the Ordinance or Resolution caption for each,
for the record.

1.

Consider approval of the minutes from a regular meeting of the Town Council
held on May 21, 2012.
RECOMMENDATION: Move to approve of the minutes from a regular meeting of
the Town Council held on May 21, 2012.

2.

Consider approval of the minutes from a special meeting of the Town Council
held on May 22, 2012.

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RECOMMENDATION: Move to approve the minutes from a special meeting of the
Town Council held on May 22, 2012.
3.

Consider approval of cancelling the September 3, 2012, regular meeting of the
Town Council and calling a special meeting on September 4, 2012.
RECOMMENDATION: Move to approve cancelling the September 3, 2012, regular
meeting of the Town Council and calling a special meeting on September 4, 2012

4.

Consider approval of a Professional Services Agreement with Fugro Consultants,
Inc., to provide geotechnical and material testing services associated with the
Post Oak Park project, in the amount of $32,356.00; and authorization for the
Mayor to execute same on behalf of the Town.
RECOMMENDATION: Move to approve a Professional Services Agreement with
Fugro Consultants, Inc., to provide geotechnical and material testing services
associated with the Post Oak Park project, in the amount of $32,356.00; and
authorization for the Mayor to execute same on behalf of the Town.

5.

Consider approval of Change Order No. 2 for a contract reduction of $519.65;
final acceptance of the Dixon Lane Landscape and Irrigation Improvements
project; authorization for final payment to Denali Construction Services, LLC, in
the amount of $17,828.54; and authorization for the Mayor to execute same on
behalf of the Town.
RECOMMENDATION: Move to approve Change Order No. 2 for a contract
reduction of $519.65; final acceptance of the Dixon Lane Landscape and
Irrigation Improvements project; authorization for final payment to Denali
Construction Services, LLC, in the amount of $17,828.54; and authorization for
the Mayor to execute same on behalf of the Town.

6.

Consider approval of Change Order No. 4 for a contract reduction of $40,145.37;
final acceptance of the Dixon Lane (Crestside Dr. to FM 2499) project;
authorization for final payment to JRJ Paving, LP., in the amount of
$156,845.31; and authorization for the Mayor to execute same on behalf of the
Town.
RECOMMENDATION: Move to approve Change Order No. 4 for a contract
reduction of $40,145.37; final acceptance of the Dixon Lane (Crestside Dr. to FM
2499) project; authorization for final payment to JRJ Paving, LP., in the amount
of $156,845.31; and authorization for the Mayor to execute same on behalf of
the Town.

Item 7 pulled from Consent by Councilmember Dixon.
8.

Consider approval of a Professional Services Agreement with Teague Nall and
Perkins Inc., to provide professional engineering design services associated with

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the 2013 Street Reconstruction projects, in the amount of $205,500.00; and
authorization for the Mayor to execute same on behalf of the Town.
RECOMMENDATION: Move to approve a Professional Services Agreement with
Teague Nall and Perkins Inc., to provide professional engineering design services
associated with the 2013 Street Reconstruction projects, in the amount of
$205,500.00; and authorization for the Mayor to execute same on behalf of the
Town.
Items 9 and 10 pulled from Consent by Councilmember Dixon.
11.

Consider approval of Change Order No. 5 for the construction of the Garden Ridge
Boulevard Phase III project, amending the contract with JRJ Paving, L.P., for a
decrease in the amount of $16,336.22; final acceptance of the project;
authorization of final payment to the contractor, JRJ Paving, L.P., in the amount
of $246,278.44; and authorization for the Mayor to execute same on behalf of
the Town.
RECOMMENDATION: Move to approve Change Order No. 5 for the construction
of the Garden Ridge Boulevard Phase III project, amending the contract with JRJ
Paving, L.P., for a decrease in the amount of $16,336.22; final acceptance of the
project; authorization of final payment to the contractor, JRJ Paving, L.P., in the
amount of $246,278.44; and authorization for the Mayor to execute same on
behalf of the Town.

12.

Consider approval of a resolution approving and authorizing publication of notice
of intention to issue Certificates of Obligation, Series 2012, in the principal
amount not to exceed $7,105,000.
RECOMMENDATION: Move to approve a resolution approving and authorizing
publication of notice of intention to issue Certificates of Obligation, Series 2012,
in the principal amount not to exceed $7,105,000.
RESOLUTION NO. 06-12
A RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF FLOWER MOUND,
TEXAS, APPROVING AND AUTHORIZING PUBLICATION OF NOTICE OF
INTENTION TO ISSUE CERTIFICATES OF OBLIGATION.

13.

Consider approval of the award of RFP No. 20-12-A Merchant Card Services to
Paymentech, LLC, in the estimated annual amount of $107,080; and
authorization for the Mayor to execute same on behalf of the Town.
RECOMMENDATION: Move to approve the award of RFP No. 20-12-A Merchant
Card Services to Paymentech, LLC, in the estimated annual amount of $107,080;
and authorization for the Mayor to execute same on behalf of the Town.

Item 14 pulled from Consent by Councilmember Dixon.

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Consider approval of the award of Best Value Bid No. 68-12-A Twin Coves Park
Landscape Maintenance Program to ValleyCrest Landscape Maintenance, at the
unit prices bid, in the estimated annual amount of $43,848; and authorization for
the Mayor to execute same on behalf of the Town.
RECOMMENDATION: Move to approve the award of Best Value Bid No. 68-12-A
Twin Coves Park Landscape Maintenance Program to ValleyCrest Landscape
Maintenance, at the unit prices bid, in the estimated annual amount of $43,848;
and authorization for the Mayor to execute same on behalf of the Town.

VOTE ON MOTION
AYES: Wise, Dixon, Stephenson, Webb, Levenick
NAYS: None.
L.
7.

REGULAR ITEMS
Consider approval of the award of Bid No. 13-12-B, to Northstar Construction,
Inc., for the construction of the Post Oak Park project, in the amount of
$1,063,797.25; and authorization for the Mayor to execute same on behalf of
the Town.
Staff Presentation:
Mr. Collins gave a presentation outlining the location of the project, with Skillern
Rd on the west side of the park property and Flower Mound Road to the North
end. He noted the award would include the base bid as well as all 14 of the
alternates, with the substantial completion being in 240 calendar days, and the
final completion in 270 calendar days. He demonstrated on a map an area
highlighted in orange that falls within the heading of the bid alternates and is
included in the project. He pointed out the trails that are decomposed granite and
natural trails. The entries will include stone columns, and other elements being a
boardwalk, nature trails, playground area, observation areas, two picnic areas,
small picnic shelter, a pond, on-site parking, and an extension of the Town’s eight
feet wide hike and bike trail. He noted all of the elements identified in the master
plan for the park have been incorporated. The project will also include a rehab for
the damn pond due to some structural concerns, with $150,000 set aside in the
budget to include a study and rehab of the damn.
Mayor Hayden asked what is the size of the pond and if it will be stocked.
Mr. Collins responded its a few acres, and it could potentially be stocked.
Deputy Mayor Tem Wise asked what is the anticipated time frame for completion
of the project.
Mr. Collins noted its 270 days out.
Councilmember Dixon moved to approve the award of Bid No. 13-12-B, to
Northstar Construction, Inc., for the construction of the Post Oak Park project, in
the amount of $1,063,797.25; and authorization for the Mayor to execute same
on behalf of the Town. Councilmember Webb seconded the motion.

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VOTE ON MOTION
AYES: Levenick, Webb, Stephenson, Dixon, Wise
NAYS: None.
9.

Consider approval of Amendment No. 5 to the FY 2011-2012 Capital
Improvement Program.
Staff Presentation
Mr. Collins provided a presentation identifying the items associated with the
proposed amendment:
 An amendment to the Colony Street reconstruction project in which
$75,000 is proposed to be moved into the current fiscal year so design
can begin on that project. Originally it was shown to start design on next
fiscal year and this will allow the Town to move forward on that project
sooner. $450,000 would remain on that project in the next fiscal year.
 Post Oak Park is included and the proposed amendment of almost
$320,000 to that project was approved last week by the Community
Development Corporation (CDC) last week.
 $50,000 for skate park improvements, and he noted staff did meet with
the PALS Board recently and walked the site and reached an agreement
with the proposed location.
 Water and waste water projects:
o FM 407 12” water line and the budget has been reallocated to
come out of the Tax Increment Reinvestment Zone (TIRZ) budget,
as recommended by the TIRZ Board
o The Gerault collector is a waste water collector project with the
$1 million construction project to be moved out a year, with the
design to be kept in this fiscal year
o Upper Timber Creek Interceptor Phase I project - about $500,000 in
impact fees will be used to offset some of the debt sale on that
project
o In the waste water treatment plant, phase III project, a delay of one
year is anticipated and there is an ongoing phase II rehab project
that will go through the end of this year allowing the project to
move out one fiscal year
Mr. Collins concluded by stating the changes within the general fund reflects an
increase of $452,795, and a decrease in the amount of $4,385,000 in the utility
fund.
Councilmember Dixon inquired as to what was the actual component piece of the
skate park construction that increased the cost by $50,000.
Mr. Collins responded it’s the design process itself as it involved engaging the
skating community and the award is more than what was budgeted for that
project.
Mayor Hayden inquired as to where the increase in the amount of $319,000 was

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coming from for Post Oak Park because the CIP states the money comes from
other sources and the dedicated sales tax, however, the packet indicates the
General Fund.
Mr. Collins responded the summary and background information highlights the
increase in budget to fund the entire park construction and the CDC total project
budget of $1.4 million, which comes from the dedicated sales tax, which is a
general fund revenue source.
Mayor Hayden questioned what is being subtracted out of that fund.
Mr. Collins responded nothing is being subtracted. He noted that the CDC is in
the process of proposing CIPs and they are not budgeting every dollar estimated
to come in as there is a need for additional funding for projects as they come
through so there is a creation of unallocated revenue within the Parks CIP.
Mr. Springer responded that there is a budgeted amount for the CIP each year but
the actual amount of sales tax revenue received is used as a base budget figure.
He added, the sales tax revenue for the last few years has been exceeding what
was budgeted in that fund so there is excess that can be used for a project. In
addition, every time a project is complete and there are funds available due to the
project coming in under budget, those funds are transferred and available for
other projects. Currently savings from those projects is being transferred to those
funds and when the final dollars are done, if there are any remaining from what
was budgeted, it would go back in as showing available.
Mayor Hayden asked for clarification as to if in a fiscal year there has been a
balance in the 4B for the last year.
Mr. Springer responded correct.
Mayor Hayden asked if it is reasonable to assume similar is occurring in other
districts such as Police, Fire, and Streets?
Mr. Springer noted the Parks and Street Maintenance are all for capital projects,
so whatever is available from the prior year is rolled forward. For the Fire District
there is a fund balance, however, in the budget proposal there is a need to
transfer money to the general fund as that grant reduces (due to balancing out
the loss of the SAFER Grant). For the Police there are some funds available, and
the budget is based on expenditures equal to revenues in the Crime District.
Mayor Hayden commented that when going through the budget process he might
want to inquire about unallocated funds.
Mr. Springer noted there will be a page on each of the budget sheets that shows
this information.
Councilmember Dixon asked for clarification in relation to approved TIRZ funds

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and item number three under water, in that it’s $557,000 worth of TIRZ funds
that was approved. He indicated being unaware of what the priorities were for
that Board and questioned if this is still a priority.
Mayor Hayden responded, given he was on the TIRZ Board at the time, noting a
lot of it was infrastructure and going forward Waketon Road will be discussed. He
also mentioned there needs to be a discussion related to a long term plan for use
of TIRZ funding.
Councilmember Dixon confirmed that the $557,000 is all to be spent within the
TIRZ, given the area noted on 407 is a short section of the TIRZ District.
Mr. Collins clarified that with regard to priorities it would be Chinn Chapel first,
and the water line is second. Everything else was set aside for the time being at
the last meeting.
Mayor Hayden commented that TIRZ had carried forward a balance and almost all
of the TIRZ funding is being utilized for Chinn Chapel and Dixon Road projects.
Mr. Springer clarified the revenue received this year will still be available when
the Council is budgeting for next year, however bids are not in for Chinn Chapel
yet. The revenues received this year plus next fiscal years revenues will be
available in the fund during the budgeting process, which is approximately $3.2 $3.3 million.
Mayor Hayden asked if $3.2 million is what is coming in one fiscal year.
Mr. Springer responded two fiscal years.
Mr. Jefferson commented that Waketon would have been the next road,
however, there is not a big demand for it now and there was agreement to not
realign Waketon without the input of the property owner, as they would need to
be a part of that process, so it will depend on when that area develops.
Everything else has been put on hold until new priorities are established.
Mayor Hayden confirmed that there is a little over $3 million that is going to be
available that is not appropriated for projects starting next year.
Mr. Jefferson confirmed that is correct.
Deputy Mayor Pro Tem Wise moved to approve Amendment No. 5 to the FY
2011-2012 Capital Improvement Program. Councilmember Dixon seconded the
motion.
VOTE ON MOTION
AYES: Wise, Dixon, Stephenson, Webb, Levenick
NAYS: None.

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Consider approval of the First Amendment to the Professional Services Agreement
with Leathers & Associates, Inc., to provide construction services and playground
components for the community built playground within The Heritage Park of
Flower Mound Phase 1 project, in the amount of $200,503.03; and authorization
for the Mayor to execute same on behalf of the Town.
Staff Presentation:
Mr. Sims provided a presentation identifying the location and history of the
playground project to date. He noted there are 61 components associated with
the playground.
Deputy Mayor Pro Tem Wise commented the first picture shown depicted the
skate park to the north and asked if the skate park had moved.
Mr. Sims responded yes, it has moved several times. He provided background
information related to the reasoning for varying locations over a period of a few
years.
Mayor Pro Tem Stephenson stated on the 19th (the day of the reception for Fort
Wildflower) she thought that was a 60% design review.
Mr. Sims responded it was.
Mayor Pro Tem Stephenson questioned if it now being considered the final design.
Mr. Sims responded the project is now at 100% design and it didn’t change that
significantly. He noted the direction received was to change the front entrance
resulting in the water tower feature becoming a cistern that complements the
train in the playground element. He also pointed out an area that was a concrete
sidewalk, which is now going to be made out of the same material as the rest of
the playground.
Mayor Pro Tem Stephenson asked if the steering committee had an opportunity to
review the final plans and if they were in agreement with the changes.
Mr. Sims responded, yes, and that’s why the water tower changed. He pointed
out some of the other changes such as the front area of the playground will have
a fort look instead of a castle.
Mayor Pro Tem Stephenson noted there was some past discussion regarding
fence height and she asked for clarification to make sure that height remained at
the recommended height.
Mr. Sims responded there was some debate about the fence height; however, in
the end the recommendation of Leathers was adopted given they build hundreds
of playgrounds across the nation. He pointed out the additional cost on the
agenda item is to increase the contract to purchase some of the construction
materials such as the upright posts, and all of structural materials to build all the

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elements of the park. He further added the materials are made out of recycled
plastic with wood fiber and includes a 25-year life and very low maintenance.
Councilmember Levenick asked for an explanation regarding the funding of the
playground in relation to the Town’s portion and that of the Steering Committee,
and more specifically what is the percentage the Town is putting in and what is
the community contributing.
Mr. Sims responded the Town’s budget on the project is $300,000 and the
Steering Committee is hoping to raise money for a rubberized surface in as many
areas as possible (as some children would have a tendency to put the wood chips
in their mouth). Areas targeted for the rubberized surface include the swing sets
and slides as those are the areas that are the most difficult to keep cushioning
material. The committee is also seeking funding for surveillance cameras.
Ms. Levenick clarified that anything above $300,000 is coming from donations
within the community.
Mr. Sims responded yes.
Mayor Hayden asked for clarification that funding is coming from 4B.
Mr. Sims responded yes.
Councilmember Webb moved to approve the First Amendment to the Professional
Services Agreement with Leathers & Associates, Inc., to provide construction
services and playground components for the community built playground within
The Heritage Park of Flower Mound Phase 1 project, in the amount of
$200,503.03; and authorization for the Mayor to execute same on behalf of the
Town. Deputy Mayor Pro Tem Wise seconded the motion.
VOTE ON MOTION
AYES: Wise, Dixon, Stephenson, Webb, Levenick
NAYS: None.
14.

Consider approval of the award of CSP No. 16-12-A Development Services
Software Solution to CRW Systems, Inc., in the amount of $484,760; and
authorization for the Mayor to execute same on behalf of the Town.
Staff Presentation:
Mr. Springer provided a presentation identifying the item is primarily for a new
computer system program to be used mainly for the land tracking system, code
enforcement, building permits, and development applications. It would replace
their existing system that was purchased many years ago. He noted funding for
this came at the end of the last fiscal year in that $920,000 was transferred to
the vehicle and technology replacement fund for upgrades of several computer
systems, with this being the largest one and originally budgeted for $525,000. He

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noted staff has gone through two reviews of the software and recommend the
program upgrades. He noted it would give applicants the ability to do permit
applications on line, as well as the ability to go in and request inspections on line,
see the status on line and see status of development application on line – all of
those capabilities would be an improvement as to what is being done now.
Councilmember Dixon indicated he had some questions for Doug Powell, Director
of Development Services. He announced being pleased with the proposed
enhancements, and more specifically being able to track permit and development
applications, track code complaints, customers having access to live data,
allowing the opportunity for the Town to accept money on line for permits, ability
to review plans electronically. He questioned if it offers even more.
Mr. Powell responded it’s a huge step forward and the new system has a lot of
features that will help both staff and customers. He stated having gone through
the process a few years ago and it was identified as the best system for Flower
Mound then, and still is. For development applications, he noted the program will
allow staff the option of providing a code to applicants that will enable them to
electronically view information as soon as it’s posted. Building inspectors field
crews will be able to put comments into the system from the site instead of
having to now drive back to the office and download the information at the end of
the day. Mr. Powell noted the conversion process would take the remainder of the
year to get it up and running.
Councilmember Webb also expressed being pleased with the program and asked,
given the transition involved, does it mean it will be up and running in early 2013.
Mr. Powell responded yes, that is the intent.
Councilmember Webb asked for clarification that once a project is underway the
customer can request an inspection?
Mr. Powell responded yes.
Councilmember Webb then asked if there is an ability to utilize the program for
staffing requirements and load balance to address the availability of staff for those
customers.
Mr. Powell noted the Town’s mapping system will be integrated with the data,
allowing code enforcement and inspection staff to schedule their day more
efficiently. He noted it will also provide reporting functions to identify how long
reviews are taking.
Councilmember Dixon pointed out this is yet another example that the Town is
serious about improving customer service for both clients (developers) and
citizens.
Mayor Pro Tem Stephenson commented that the Property Standards Committee
is expected to come in on July 16th and she recognizes they will want to talk
about code enforcement. She commented it might be beneficial to understand at
that time the benefit of the software program in relation to code enforcement and
some of the issues they might have. She believed this could help in knowing
what area of Town coverage is being made, and requested to have staff available

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at that time to discuss this.
Mr. Jefferson indicated staff is prepared to discuss this and there is a feature
allowing residents to call in and obtain a status on a code violation, in addition to
being able to review the status. He pointed out that the path to review the
software started in 2008 with a tour to Farmer’s Branch, which included a review
of their software. He noted it’s taken a few years to analyze the software and
secure the funding for the program.
Mayor Pro Tem Stephenson stated it would be good to know if there was going
to be a feature within the software that will allow the public to see the coverage
area of code enforcement violations and identify when the Town is being
proactive versus reactive.
Deputy Mayor Pro Tem Wise moved to approve the award of CSP No. 16-12-A
Development Services Software Solution to CRW Systems, Inc., in the amount of
$484,760; and authorization for the Mayor to execute same on behalf of the
Town. Councilmember Dixon seconded the motion.
VOTE ON MOTION
AYES: Levenick, Webb, Stephenson, Dixon, Wise
NAYS: None.
16
.

Consider approval of the modification of a commercial lease agreement with The
Atrium at FM, dated 10/1/07 for suites 2275, 2280, and 2330, including the addition
of suite 2274 originally included in a lease dated 7/1/09, for a new lease to expire on
9/30/17; and authorization for the Mayor to execute same on behalf of the Town.
Staff Presentation
Mr. Springer provided a presentation offering historical background information,
including square footage, associated costs, analysis of options in 2007 and 2012,
followed by a recommendation from Town staff.
His presentation is as follows:

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Councilmember Dixon asked for clarification that the only two exits within the
agreement would be if the current Town Hall is expanded or a new Town Hall is built.

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Mr. Springer responded that is correct (in terms of a shorter lease).
Mayor Pro Tem Stephenson asked for clarification as to whether or not it’s specific to
a building being physically built or if the Town purchased a different building.
Mr. Springer responded it means if there is a move to a Town Hall type facility then
the Town could get out of the lease (e.g. purchased or refurbished option).
Councilmember Levenick asked if everything is in good working order at the Atrium.
She commented “it’s like a maze there” so questioned if there was a need for any
updates.
Mr. Springer responded that in 2007 there were upgrades done in the area of
carpeting, air conditioning, etc. so it’s a functional and quality environment.
Councilmember Levenick asked for confirmation that there is nothing that came up
since the last renewal that needs to be included in the lease.
Mr. Springer indicated no, as staff has been working with the building owner
regarding any issues that have arisen.
Councilmember Levenick stated it would be her preference for the Atrium employees
to have more space and wished there was something else that could be done.
Mayor Hayden asked what happens in the event the Town reaches the point when
the lease is up - does the Town go on a month-to-month schedule, and what would
be the rate?
Mr. Springer responded yes, it would be month–to–month, and it could change the
rate as the Town doesn’t have an agreement that sets the rate once a month-tomonth time frame is set. The building owner would set the rate and an agreement
would need to be entered upon by the Town for that rate.
Mayor Hayden commented he is of the opinion to consider alternatives that can be
pursued as the current building is not the most aesthetically pleasing and he’s heard
comments from development staff.
Councilmember Webb asked for clarification with regard to the date that the current
lease expires.
Mr. Springer replied September 30th.
Councilmember Webb asked if this means Council has a little time to kick the tires on
this, and Mayor Hayden followed the question by asking when Council would need to
approve the item.
Mr. Springer noted once September was reached the Town would be going month-tomonth.

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Mayor Hayden questioned if would be acceptable to table the item tonight to allow
time to consider alternatives, and to bring up the item again in either August or the
first of September.
Mr. Springer stated it would probably be acceptable; however, there is some lease
terms in the area of renewal that would need to be reviewed.
Mayor Pro Tem Stephenson questioned if there was a new building that came on line
in Flower Mound that hasn’t already been looked at or considered? She wanted to
make sure they are not holding it open just for the sake of holding it open.
Mayor Hayden commented that he gets asked frequently “what are you going to do
to revitalize Parker Square – what are you going to do to move things forward.” He
said one of the things that could be done is, if Parker Square is an alternative, and
considering cost effectiveness. He noted when Parker Square was looked at five
years ago rates were $27 a square foot, and now, with some negotiation, there may
be an opportunity at Parker Square. “In that case you’re helping Parker Square and
it’s a nicer place for Town employees to work.” It’s also a place where there is an
opportunity for staff to go eat lunch and it will help the businesses in that area. He
stated all of that needs to be considered and perhaps there are other places in Town.
He added, “if we can get something that is fairly close in cost, all alternatives should
be considered before just going ahead with the Atrium.”
Mayor Pro Tem Stephenson commented that the option of Parker Square was
reviewed. She questioned Mayor Hayden if the intent is to explore if there was more
room with regard to lease rates or if he just wanted to take a look at it.
Mayor Hayden stated that perhaps there is someone that could negotiate on the
Town’s behalf because it shows $15.50 a square foot, and again that’s all in and at
the other it was $16/$17 a square foot, and noted there are things such as moving
costs, but if you amortize that over a period of time, then weigh the benefit to Parker
Square and Town employees. He further added, “you’ve spent time at the Atrium last
week, is that where you want to spend 40 hours a week.”
Mayor Pro Tem Stephenson commented she wants to understand the reasoning for
leaving this item open.
Mayor Hayden asked of Mr. Springer if he visited with any leasing representatives or
if he was going by public domain type of information only, or did discussions occur
related to finish out, and other types of things.
Mr. Springer responded that is correct, and some of it is based on the issues the
Town has had before in that there was significant concerns with regard to parking
needs. For example, in reviewing the situation with the community college of NCTC
the parking has become even more of a concern. He noted the Town would need
between 150 to 175 parking spaces, and be believed the aspect of who owns the
parking would be an issue as well. He added the cost of relocation and finish out is
also an issue.

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Mayor Hayden commented that cost needs to be amortized over five years. He stated
he believes Council should look at in more detail to see if it’s possible. He reiterated it
should be looked at because he thinks about the vacancies in Parker Square and how
it would promote traffic at the center. He noted there is a significant change in cost
at $27 a square foot to $15.15, and now if those numbers are more in line it should
be considered.
Councilmember Webb stated he would like more time to have it reviewed more in
depth, for example, “with regard to parking issues and all the town vehicles, is it
necessary to move the entire operation from the Atrium or could some of the groups
make a shift and leave behind more operational type of groups, and if we could be
talking about having groups that interact with customers more, that might be an
opportunity.”
Mayor Hayden stated there does need to be a discussion about the efficiencies of
having everyone under one roof, including Town Hall and the Atrium meaning Council
should be talking about a long term plan as the Town continues to grow.
Mayor Hayden noted if there are concerns, there is an opportunity to postpone voting
on this to a later time.
Councilmember Dixon indicated he is prepared to table the item. He gave the example
of when looking for a single family residence and how realtors use the MLS and it
searches for all the available home listings and the public can search on their own
through various portals. He noted it’s his understanding the program of Xcelligent is
equivalent to the MLS in for commercial listings, and as such what is available is
posted. So basically that means the Town looked at the MLS listing for the
commercial space in Town, however, that might not have picked up some other
space that might not be listed on that system that could be explored. For that reason
he indicated it is his preference to table the item indefinitely so the Town is not
committed to a specific time.
Mayor Hayden inquired of Mr. Welch, Town Attorney, should it be tabled to a date
certain or indefinitely.
Mr. Welch responded you can table it indefinitely until you have information to bring
it back as long as it’s before September 30th.
Councilmember Dixon moved to postpone indefinitely the approval of the modification
of a commercial lease agreement with The Atrium at FM, dated 10/1/07 for suites
2275, 2280, and 2330, including the addition of suite 2274 originally included in a
lease dated 7/1/09, for a new lease to expire on 9/30/17; and authorize the Mayor to
execute same on behalf of the Town. Councilmember Levenick seconded the motion.

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Discussion on the Motion:
Councilmember Levenick indicated when the item comes forward again she would like to
know what the cost would be for a month-to-month rate if there is a need to extend the
time beyond September.
Councilmember Webb indicated it would be satisfactory if that information could come
forward in the way of a Council Communication later this week.
VOTE ON THE MOTION
AYES: Wise, Dixon, Stephenson, Webb, Levenick
NAYS: None.
17. MPA 03-12 – Amendments to Transportation, Parks and Trails Master Plans to
enhance pedestrian and bicycle accommodations
Public Hearing
Public Hearing to consider a request to amend the Master Plan (MPA 03-12) to
enhance pedestrian and bicycle accommodations by amending certain provisions of
Section 5.0, "Parks & Trails Plan," and Section 7.0, "Thoroughfare Plan," of the
Town's Master Plan, and to consider adopting an ordinance providing for said
amendment. (The Planning and Zoning Commission recommended approval by a
vote of 6 to 0 at its May 14, 2012, meeting.)
Mayor Hayden opened Items 17 and 18 simultaneously at 8:34 p.m.
Staff Presentation:
Mr. Collins provided a presentation introducing the items and noted the focus of the
items is to amend the Town’s regulations and thoroughfare plan, as well as the
parks and trails master plan to improve bicycle and pedestrian accommodations. He
stated there are also proposed amendments to the Town’s Land Development
Regulations and Master Plan in the way of clean up, basically bringing the plans up
to date with the current conditions. He turned the presentation over to Matt
Hotelling, the Town’s Traffic Engineer.
Mr. Hotelling provided background information citing meetings that occurred with
the Transportation Commission in 2011, and at the Town Council Strategic
Planning Session in January 2011, in addition to various work sessions thereafter.
He also pointed out the PALS Board was included in the process. His presentation
referenced examples of the difference between a shared lane versus that of a
dedicated lane for bicyclists. He noted that with regard to the draft Thoroughfare
Plan there is an addition of bike lanes within the area to the west for Canyon Falls,
and discussions with the Canyon Falls developers have transpired and bike lanes
are already included in the infrastructure plans that have been submitted. Some of
the items that changed is the road collector cross section which has a five foot
shoulder and now one of the better uses of that outside shoulder would be to
dedicate it to a bike lane to allow pavement markings and needed signage. Another

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cross section option that was reviewed to have a bike lane is the greenway rural
arterial. Other changes include High Road being included as a rural collector. He
noted those are the major changes to the thoroughfare plan. In addition, there are
some text amendments to reflect current conditions.
For the Flower Mound Trails Master Plan he pointed out the shared lanes and
dedicated bike lanes, as well as various connection points. He noted it’s his
understanding that TxDOT has plans to include a 14’ outside curb lane for Sections
two and three of FM 1171 from Shiloh to the western end of Town.
Mayor Hayden expressed safety concerns given the speed on FM 1171.
Mr. Hotelling noted a Federal Highway Program is triggering state highway projects
to include bicycle lanes and pedestrian accommodations.
Mayor Hayden asked what type of barrier would be in place between the cyclist
and vehicle.
Mr. Hotelling indicated it would be a pavement stripe.
Mayor Hayden asked if bumpers could be used.
Mr. Hotelling indicated it could be, however, bicyclist don’t necessary like rumble
strips due to navigation issues.
Mayor Hayden asked what kind of discussion was there at the Transportation
Commission and PALS meetings.
Mr. Hotelling responded the main focus of those groups was to have the lanes
clean and clear so bicyclist can remain on the far side reducing the tendency to ride
into the main lanes.
Councilmember Levenick asked how enforceable, if at all, would use of the bike
lanes be.
Mr. Hotelling responded the bicyclist can still legally use the full lane if they choose
to.
Mr. Hotelling continued his presentation by pointing out some of the housekeeping
items associated with the parks and trails such as grouping trail names by
similarity, such as those with wildflower names. The plan was also updated to note
there are 34 miles of hike and bike trails.
With regard to the Land Development Regulations (LDR). Mr. Hotelling noted it’s
because of the information being changed in the Master Plan that requires a change
in the LDR. There were some definitions added as well as design criteria changes as
a result of the new bike lanes.

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Councilmember Webb asked for clarification with regard to the change identified for
High Road.
Mr. Hotelling clarified that in the Master Plan there is a list of roads that are
classified as scenic or country roads, and all of the country roads that are listed in
the Master Plan are rural collectors except for High Road. For that reason the
proposed changes went through the process and it was recommended to be a
collector.
Mayor Hayden opened the Public Hearing at 8:53 p.m. for Item 17 and 18.
Public Participation
No one spoke in favor or against either of the items.
Mayor Hayden closed the Public Hearing at 8:53 p.m.
Deputy Mayor Pro Tem Wise moved to approve an amendment to the Master Plan
to enhance pedestrian and bicycle accommodations by amending certain provisions
of Section 5.0, “Parks & Trails Plan,” and Section 7.0, “Thoroughfare Plan,” of the
Town’s Master Plan and to adopt an ordinance providing for said amendment.
Councilmember Levenick seconded the motion.
ORDINANCE NO. 20-12
AN ORDINANCE OF THE TOWN COUNCIL OF THE TOWN OF FLOWER MOUND,
TEXAS, AMENDING SECTION 5.0 PARKS AND TRAILS PLAN AND SECTION 7.0
THOROUGHFARE PLAN OF THE MASTER PLAN BY AMENDING ORDINANCE NO.
24-01, IN PART, WHICH ADOPTED THE MASTER PLAN, THROUGH THE
AMENDMENT OF SECTION 5.0 PARKS AND TRAILS PLAN BY REVISING THE
NUMBER OF MILES OF MULTI-USE TRAILS, BY DESIGNATING ADDITIONAL
TRAILS AS REGISTERED WITH THE NATIONAL RECREATION TRAILS, ADDING
PROVISIONS REGARDING TRAIL MARKERS, AMENDING THE REQUIREMENTS
REGARDING EXPANSION OF THE TRAIL SYSTEM, ADDING FIVE-FOOT AND
EIGHT-FOOT-WIDE BIKE LANES AND SHARED LANES TO THE TRAIL SYSTEM
AND BY REVISING THE NAMED TRAIL SEGMENTS ON THE PARKS AND TRAILS
MAP; BY AMENDING SECTION 7.0 THOROUGHFARE PLAN BY REVISING THE
ANALYSIS OF FUTURE CONDITIONS PROVISIONS, AMENDING LISTED
ROADWAYS, DELETING PROPOSED CROSS SECTIONS FOR SUBURBAN AND
RURAL MINOR ARTERIALS, ADDING PROVISIONS REGARDING LOCAL CLUSTER
DEVELOPMENT PROPOSED CROSS SECTIONS, ADDING SEGMENTS FOR URBAN
MINOR ARTERIAL WITH BIKE LANE AND RURAL COLLECTOR AND REMOVING
THE WORDING REFERENCING THE LOCATION OF THE RAILROAD GRADE
CROSSING LOCATION NEAR STONECREST ROAD AND US 377; REPEALING ALL
CONFLICTING ORDINANCES; PROVIDING A SEVERABILITY CLAUSE; PROVIDING
FOR PUBLICATION; AND PROVIDING AN EFFECTIVE DATE.

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VOTE ON THE MOTION
AYES: Levenick, Webb, Stephenson, Dixon, Wise
NAYS: None.
18. LDR 01-12 - Amendments to the Land Development Regulations to enhance
pedestrian and bicycle accommodations
Public Hearing
Public Hearing to consider a request to amend the Land Development Regulations
(LDR 01-12) relative to enhancing pedestrian and bicycle accommodations by
amending, in whole or in part, certain provisions of Section 74-3, "Definitions," and
Section 90-311, "Street Design Standards," of the Code of Ordinances and by
amending certain provisions of the Town's Engineering Design Criteria and
Construction Standards Manual through Chapter 32 of the Code of Ordinances.
(The Planning and Zoning Commission recommended approval by a vote of 6 to 0
at its May 14, 2012, meeting.)
Deputy Mayor Pro Tem Wise moved to approve an amendment to the Land
Development Regulations relative to enhancing pedestrian and bicycle
accommodations by amending, in whole or in part, certain provisions of Section 743, "Definitions," and Section 90-311, "Street Design Standards," of the Code of
Ordinances and by amending certain provisions of the Town's Engineering Design
Criteria and Construction Standards Manual through Chapter 32 of the Code of
Ordinances and to adopt an ordinance providing for said amendment.
Councilmember Webb seconded the motion.
ORDINANCE NO. 21-12
AN ORDINANCE OF THE TOWN COUNCIL OF THE TOWN OF FLOWER MOUND,
TEXAS, AMENDING THE CODE OF ORDINANCES OF THE TOWN OF FLOWER
MOUND, TEXAS, BY AMENDING SUBPART B, CHAPTER 74 OF THE CODE OF
ORDINANCES, ENTITLED “GENERAL PROVISIONS,” THROUGH THE AMENDMENT
OF SECTION 74-3, “DEFINITIONS,” BY ADDING A DEFINITION FOR THE PHRASE
“STREET, ARTERIAL (MINOR WITH BIKE LANE)”; BY AMENDING CHAPTER 90 OF
THE CODE OF ORDINANCES, ENTITLED “SUBDIVISIONS,” THROUGH THE
AMENDMENT OF SECTION 90-311, “STREET DESIGN STANDARDS,” BY
AMENDING SUBPARAGRAPH A THEREOF, BY ADDING THE CLASSIFICATION OF
“URBAN MINOR ARTERIAL WITH BIKE LANE” STREETS INTO THE EMBEDDED
TABLE; BY THE AMENDMENT OF VOLUME I, “DESIGN CRITERIA,” OF THE
TOWN’S “ENGINEERING DESIGN CRITERIA AND CONSTRUCTION STANDARDS”
BY AND THROUGH SECTION 32-3, “ENGINEERING DESIGN CRITERIA AND
CONSTRUCTION STANDARDS--AMENDMENTS,” BY THE AMENDMENT OF
VOLUME I, “DESIGN CRITERIA,” THROUGH THE AMENDMENT OF PART B,
“TECHNICAL
STANDARDS,”
BY
AMENDING
SECTION
I,
“STREET
IMPROVEMENTS,” THROUGH THE AMENDMENT OF SUBSECTION A, “STREET
CLASSIFICATION,” BY THE AMENDMENT OF PARAGRAPH NO. 1, ENTITLED
“DEFINITIONS,” BY INSERTING DEFINITIONS FOR THE PHRASES “URBAN MINOR
ARTERIAL WITH BIKE LANE” AND “URBAN MINOR ARTERIAL UNDIVIDED” AND
BY THE AMENDMENT OF PARAGRAPH NO. 2, “STANDARD DESIGN CRITERIA,”

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BY ADDING THE CRITERIA FOR “URBAN MINOR ARTERIAL WITH BIKE LANE”
STREETS INTO THE EMBEDDED TABLE, THROUGH THE AMENDMENT OF
SUBSECTION C, “GEOMETRIC DESIGN URBAN COLLECTOR,” BY AMENDING
PARAGRAPH NO. 1, “ROADWAY DESIGN PARAMETERS,” BY ADDING THE
CRITERIA FOR “URBAN MINOR ARTERIAL WITH BIKE LANE” STREETS IN THE
EMBEDDED TABLE; BY THE AMENDMENT OF VOLUME I, “DESIGN CRITERIA,”
AND VOLUME II, “CONSTRUCTION STANDARDS,” OF THE TOWN’S
“ENGINEERING DESIGN CRITERIA AND CONSTRUCTION STANDARDS” BY
AMENDING THE INDEX OF STANDARD PAVEMENT DETAILS ENTITLED “STREETS
CONSTRUCTION STANDARDS” IMMEDIATELY FOLLOWING THE CONCLUSION OF
SUBSECTION H, “PAVEMENT CONSTRUCTION,” IN VOLUME I AND SITUATED
ALSO AT THE BEGINNING OF VOLUME II TO IDENTIFY THE STANDARD PAVING
DETAIL FOR THE “URBAN MINOR ARTERIAL WITH BIKE LANE” STREET SECTION
AS ST-1, SHEET NO. 5, AND RE-LETTERING EXISTING SHEET NOS. 5 THROUGH
11 AS SHEET NOS. 6 THROUGH 12, RESPECTIVELY, AND AMENDING THE
REVISION DATE FOR THE “GREENWAY RURAL ARTERIAL,” “RURAL
COLLECTOR,” AND “INTERSECTION JOINT SPACING” DETAIL SHEETS WITH A
REVISION DATE OF “APRIL, 2012;” BY THE AMENDMENT OF VOLUME II,
“CONSTRUCTION STANDARDS,” OF THE TOWN’S “ENGINEERING DESIGN
CRITERIA AND CONSTRUCTION STANDARDS” BY THE INSERTION OF NEW OR
REPLACEMENT STREET SECTIONS FOR AN “URBAN MINOR ARTERIAL WITH BIKE
LANE,” “GREENWAY RURAL ARTERIAL,” “RURAL COLLECTOR,” AND
“INTERSECTION JOINT SPACING;” REPEALING ALL CONFLICTING ORDINANCES,
ORDERS, AND RESOLUTIONS; PROVIDING A SEVERABILITY CLAUSE; PROVIDING
FOR A PENALTY; PROVIDING FOR PUBLICATION; AND PROVIDING AN EFFECTIVE
DATE.
VOTE ON THE MOTION
AYES: Wise, Dixon, Stephenson, Webb, Levenick
NAYS: None.
M.

COORDINATION OF CALENDARS AND FUTURE AGENDAS/MEETINGS
Mayor Hayden announced that the July 2nd meeting has been cancelled and the
next regularly scheduled meeting will be July 16th, with a work session this
Thursday.
Mayor Pro Tem Stephenson indicated she will be arriving late for the Thursday
work session due to a family commitment.

N./O. CLOSED/OPEN MEETING
The Town Council convened into a closed meeting at 8:58 p.m. on June 18,
2012, pursuant to Texas Government Code Chapter 551, including, but not
limited to, Sections 551.087, 551.072, 551.074, and 551.071 to discuss
matters relating to consultation with Town Attorney, pending litigation, real
property, personnel, and economic development negotiations and reconvened into

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an open meeting at 10:49 p.m. on June 18, 2012, to take action on the items as
follows:
a. Discuss and consider deployment of security personnel and
implementation of devices.
No action taken.
b.

Discuss and consider economic development incentives.
No action taken.

c.

Discuss and consider acquisition and/or lease of real property for
municipal purposes and all matters incident and related thereto.
No action taken.

d.

Discuss and consider appointments to the Animal Services Board, Board
of Adjustment, Oil and Gas Board of Appeals, Community Development
Corporation, Environmental Conservation Commission, Parks, Arts and
Library Services Board, Public Arts Committee, Planning & Zoning
Commission, SMARTGrowth Commission, Tax Increment Reinvestment
Zone Number One (TIRZ #1), and Transportation Commission.

Councilmember Levenick moved to appoint Claudio Forest to the Planning and
Zoning Commission, Alternate, Place 8, with a term expiring September 30,
2012. Councilmember Webb seconded the motion.
VOTE ON THE MOTION
AYES: Levenick, Webb, Stephenson, Dixon, Wise
NAYS: None.
P.

ADJOURN REGULAR MEETING
Mayor Hayden adjourned the meeting at 10:50 p.m. on Monday, June 18, 2012,
and all were in favor.
TOWN OF FLOWER MOUND, TEXAS
_____________________________________
THOMAS E. HAYDEN, MAYOR

ATTEST:
_______________________________________
THERESA SCOTT, TOWN SECRETARY

Page 38 of 246

TOWN COUNCIL MEETING
AGENDA ITEM NO: 2
August 6, 2012
[X] CONSENT ITEM

[ ] REGULAR ITEM

[ ] WORK SESSION ITEM

FROM:

Tammy Wilson, Director of Accounting and Budget

THROUGH:

Harlan Jefferson, Town Manager
Chuck Springer, Assistant Town Manager/CFO

PRESENTER: Chuck Springer, Assistant Town Manager/CFO
ITEM:

Consider approval of an ordinance establishing the 2012 certified
appraisal roll.
[X] Ordinance

I.

[ ] Resolution

[ ] Motion

[ ] Direction

SUMMARY:
Approval of the certified appraisal roll is an annual process required by the Texas
Property Tax Code. The Town will also be required to approve the tax roll after
the rate is set. The roll lists all the taxable property and values within the Town
limits for 2012.

II.

BACKGROUND INFORMATION:
There are three main parts to the property tax system. First, the Denton Central
Appraisal District (DCAD) and the Tarrant Appraisal District (TAD) set the value
of the property in our Town’s limits each year. Second, the Appraisal Review
Boards (ARB) settle any disagreements between the taxpayers and the DCAD or
the TAD about the value of any property under protest. Third, the Town
decides how much money it will need to spend to provide services to taxpayers.
This determines the total amount of taxes that will need to be collected.
The preliminary appraisal was provided by the DCAD and the TAD in mid May
and the certified appraisal roll was provided in late July. The Chief Appraisers
certify the appraisal rolls that allow the Town to calculate and submit the
effective and rollback tax rates.
The total taxable value on the 2012 appraisal roll including estimated values
under protest is $6,925,339,487. Once the tax rate is approved, the Town will
be able to calculate its 2012 tax levy (i.e., property tax revenue). These funds
will be used to cover operating and maintenance expenses as well as debt
service. On September 19, 2005, an ordinance was approved establishing a Tax
Increment Reinvestment Zone (TIRZ). Approximately $247,893,474 of the 2012
appraisal roll is the incremental difference between the 2005 and 2012
appraised value of properties in the TIRZ.

Page 39 of 246

III.

FISCAL IMPACT:
N/A

IV.

LEGAL REVIEW:
Meredith Ladd, of Brown & Hofmeister, L.L.P., has reviewed and approved as to
form the proposed ordinance.

V.

ATTACHMENTS:
1. Ordinance

VI.

RECOMMENDED MOTION OR ACTION:
Move to approve an ordinance establishing the 2012 certified appraisal roll.

Page 40 of 246

Attachment 1

TOWN OF FLOWER MOUND, TEXAS
ORDINANCE NO.______
AN ORDINANCE OF THE TOWN OF FLOWER MOUND, TEXAS, APPROVING
THE 2012 APPRAISAL ROLL; REPEALING CONFLICTING ORDINANCES;
PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, the Denton Central Appraisal District (DCAD) and the Tarrant
Appraisal District (TAD) prepare the certified appraisal rolls and rolls under
protest of the taxable property in the Town of Flower Mound, Texas (Town);
and
WHEREAS, the Town uses the certified appraisal rolls and rolls under
protest received from the DCAD and TAD to calculate the tax rate and rollback
tax rate applicable to taxable property in the Town; and
WHEREAS, approval by the Town of the certified appraisal roll is required
by state law as an integral part of the Town’s ability to levy and collect property
taxes.
NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE
TOWN OF FLOWER MOUND, TEXAS, THAT:
SECTION 1
All of the above premises are hereby found to be true and correct
legislative and factual determinations of the Town and they are hereby approved
and incorporated into the body of this Ordinance as if copied in their entirety.
SECTION 2
The Town Council hereby approves the 2012 appraisal roll of the Town,
in the amount of $6,925,339,487 assessed valuation, based on the certified
appraisal rolls and rolls under protest as approved by the Appraisal Review
Board of the DCAD and the TAD.
SECTION 3
Any and all ordinances, resolutions, rules, regulations, policies, or
provisions in conflict with the provisions of this Ordinance are hereby repealed
and rescinded to the extent of the conflict herewith.

Page 41 of 246

Attachment 1

ORDINANCE NO.

PAGE 2
SECTION 4

If any section, paragraph, sentence, clause, phrase, or word in this
Ordinance, or application thereof by any persons or circumstances is held invalid
in any court of competent jurisdiction, such holding shall not affect the validity
of the remaining portions of this Ordinance; and, the Town Council hereby
declares it would have passed such remaining portions of this Ordinance despite
such invalidity, which remaining portions shall remain in full force and effect.
DULY PASSED, APPROVED, AND ADOPTED BY THE TOWN COUNCIL OF
THE TOWN OF FLOWER MOUND, TEXAS, BY A VOTE OF _____ TO _____, ON
THIS 6th DAY OF AUGUST, 2012.
APPROVED:

___
_____
Thomas E. Hayden, MAYOR
ATTEST:
___________________________________________
Theresa Scott, TOWN SECRETARY
APPROVED AS TO FORM AND LEGALITY:

____________________________________
Terrence S. Welch, TOWN ATTORNEY

Page 42 of 246

TOWN COUNCIL MEETING
AGENDA ITEM NO: 3
August 6, 2012
[X] CONSENT ITEM

[ ] REGULAR ITEM

[ ] WORK SESSION ITEM

FROM:

Tammy Wilson, Director of Accounting and Budget

THROUGH:

Harlan Jefferson, Town Manager
Chuck Springer, Assistant Town Manager/CFO

PRESENTER: Chuck Springer, Assistant Town Manager/CFO
ITEM:

Consider accepting the submission of the certified collection rate of 100
percent for the fiscal year beginning October 1, 2012, and ending
September 30, 2013.
[ ] Ordinance

I.

[ ] Resolution

[X] Motion

[ ] Direction

SUMMARY:
Ad valorem tax collection revenue is divided between the General Fund (for
operation and maintenance), the Debt Service Fund (for payment of principal and
interest on debt obligations), and the Tax Increment Reinvestment Zone (TIRZ)
Fund. The Town’s current rate of collection of ad valorem taxes is expected to
meet or exceed 100 percent. The total collections include the current taxes,
delinquent taxes, penalties, and interest.

II.

BACKGROUND INFORMATION:
The purpose of this agenda item is to certify that the anticipated collection rate
used for the General Fund, Debt Service Fund, and the TIRZ Fund is 100 percent
for the 2012-2013 fiscal year, which is one of the steps required by state law
to establish the 2012-2013 tax rate. The collection rate includes the current
taxes, delinquent taxes, penalties, and interest. The attachment contains the
Town’s collection rate for the last ten fiscal years.
Chapter 26 of the Property Tax Code requires municipalities to adopt an
estimated collection rate to comply with truth-in-taxation laws in adopting their
tax rates. The laws have two purposes: 1) to make taxpayers aware of tax rate
proposals; and 2) to allow taxpayers, in certain cases, to roll back or limit a tax
increase.

III.

FISCAL IMPACT:
N/A

Page 43 of 246

IV.

LEGAL REVIEW:
N/A

V.

ATTACHMENTS:
1. Property Tax Collections – Last Ten Fiscal Years

VI.

RECOMMENDED MOTION OR ACTION:
Move to accept the submission of the certified collection rate of 100 percent for
the fiscal year beginning October 1, 2012, and ending September 30, 2013.

Page 44 of 246

Attachment 1

TOWN OF FLOWER MOUND, TEXAS
PROPERTY TAX COLLECTIONS
LAST TEN FISCAL YEARS

Year Ended
September 30

Percent of
Current Levy
Collected

Total Collections
as Percent of Tax Levy

2002
2003
2004
2005
2006
2007
2008
2009
2010
2011

98.74%
99.11%
99.20%
99.42%
99.42%
99.46%
99.28%
99.17%
99.49%
99.57%

100.16%
100.56%
100.17%
100.80%
100.08%
100.34%
100.32%
100.15%
100.31%
100.11%

Page 45 of 246

TOWN COUNCIL MEETING
AGENDA ITEM NO: 4
August 6, 2012
[X] CONSENT ITEM

[ ] REGULAR ITEM

[ ] WORK SESSION ITEM

FROM:

Tammy Wilson, Director of Accounting and Budget

THROUGH:

Harlan Jefferson, Town Manager
Chuck Springer, Assistant Town Manager/CFO

PRESENTER: Chuck Springer, Assistant Town Manager/CFO
ITEM:

Consider accepting the submission of the notice of an effective tax rate
of $0.453947 per $100 assessed valuation and a rollback tax rate of
$0.468651 per $100 assessed valuation for the fiscal year beginning
October 1, 2012, and ending September 30, 2013.
[ ] Ordinance

I.

[ ] Resolution

[X] Motion

[ ] Direction

SUMMARY:
State law requires municipalities to submit to their governing boards and publish
in a local newspaper a notice showing their effective and rollback tax rates and
the notice-and-hearing limit for the upcoming fiscal year. The effective tax rate
allows the public to evaluate the relationship between taxes for the current
fiscal year and the upcoming fiscal year. This rate will produce the same amount
of tax revenue if applied to the same properties in both years. The rollback rate
is the highest tax rate the Town can set before taxpayers can start rollback
procedures.

II.

BACKGROUND INFORMATION:
All taxing units that levied property taxes in 2011 and intend to levy them in
2012 must calculate an effective tax rate and a rollback tax rate. Although the
actual calculation is more detailed, the Town’s effective tax rate is generally
equal to the prior year’s taxes divided by the current taxable value of properties
that were also on the tax roll in the prior year.
The effective tax rate enables the public to evaluate the relationship between
taxes for the current year and taxes that a proposed tax rate would produce if
applied to the same properties taxed in both years.
The rollback rate calculation is split into two separate components: an operating
and maintenance rate and a debt rate. The rollback rate calculation allows
municipalities to raise 108 percent of the operating and maintenance money
raised in the prior year, plus the necessary debt rate.

Page 46 of 246

State law also requires municipalities to publish the effective and rollback tax
rates, and to hold two public hearings if the proposed tax rate exceeds the lower
of the effective or rollback tax rate. Because the Town’s proposed tax rate of
$0.4497 is lower than the effective tax rate of $0.453947 and the rollback rate
of $0.468651 the Town will not hold public hearings on the tax rate.
III.

FISCAL IMPACT:
N/A

IV.

LEGAL REVIEW:
N/A

V.

ATTACHMENTS:
1. 2012 Property Tax Rates in the Town of Flower Mound

VI.

RECOMMENDED MOTION OR ACTION:
Move to accept the submission of the notice of an effective tax rate of
$0.453947 per $100 assessed valuation and a rollback tax rate of $0.468651
per $100 assessed valuation for the fiscal year beginning October 1, 2012, and
ending September 30, 2013.

Page 47 of 246

Attachment 1

2012 Property Tax Rates in Town of Flower Mound
This notice concerns 2012 property tax rates for the Town of Flower Mound. It
presents information about three tax rates. Last year's tax rate is the actual rate
the taxing unit used to determine property taxes last year. This year's effective
tax rate would impose the same total taxes as last year if you compare properties
taxed in both years. This year's rollback tax rate is the highest tax rate the taxing
unit can set before taxpayers can start tax rollback procedures. In each case these
rates are found by dividing the total amount of taxes by the tax base (the total
value of taxable property) with adjustments as required by state law. The rates are
given per $100 of property value.
LAST YEAR'S TAX RATE:
Last year's operating taxes

$22,508,712

Last year's debt taxes

$8,474,354

Last year's total taxes

$30,983,066

Last year's tax base

$6,889,718,883

Last year's total tax rate

0.449700 /$100

THIS YEAR'S EFFECTIVE TAX RATE:
Last year's adjusted taxes (after subtracting taxes on lost property)

$30,028,255

÷ This year's adjusted tax base (after subtracting value of new property)

$6,614,924,060

= This year's effective tax rate

0.453947 /$100

THIS YEAR'S ROLLBACK TAX RATE:
Last year's adjusted operating taxes (after subtracting taxes on lost

$21,535,374

property and adjusting for any transferred function, tax increment
financing, and/or enhanced indigent health care expenditures)
÷ This year's adjusted tax base

$6,614,924,060

= This year's effective operating rate

0.325557 /$100

x 1.08 = this year's maximum operating rate

0.351601 /$100

+ This year's debt rate

0.117050 /$100

= This year's rollback rate

0.468651 /$100

STATEMENT OF INCREASE/DECREASE
If the Town of Flower Mound adopts a 2012 tax rate equal to the effective tax rate of $0.453947
per $100 of value, taxes would decrease compared to 2011 taxes by $966,785.
SCHEDULE A - UNENCUMBERED FUND BALANCES
The following estimated balances will be left in the unit's property tax accounts at the end of the
fiscal year. These balances are not encumbered by a corresponding debt obligation.
Type of Property Tax Fund

Balance

General Fund

$9,730,021

Debt Service Fund

$450,300

Page 48 of 246

Attachment 1
SCHEDULE B - 2012 DEBT SERVICE
The unit plans to pay the following amounts for long-term debts that are secured by property
taxes. These amounts will be paid from property tax revenues (or additional sales tax revenues, if
applicable).

Description of Debt

Principal or
Contract Payment
to be Paid from
Property Taxes

Interest to be
Paid from
Property
Taxes

Other
Amounts
to be Paid

Total
Payment

General Obligation, Series 2003

$165,000

$108,670

$0

$273,670

General Obligation, Series 2004

$225,000

$163,194

$0

$388,194

General Obligation, Series 2005 - A

$340,000

$270,869

$0

$610,869

General Obligation Refunding, Series 2005

$1,835,000

$977,913

$0

$2,812,913

General Obligation, Series 2006

$305,000

$295,056

$0

$600,056

General Obligation, Series 2007

$365,000

$366,013

$0

$731,013

General Obligation Refunding, Series 2009

$495,000

$115,700

$0

$610,700

General Obligation Refunding, Series 2010

$675,000

$164,738

$0

$839,738

Certificates of Obligations, Series 2003

$45,000

$30,840

$0

$75,840

Certificates of Obligations, Series 2004

$20,000

$15,169

$0

$35,169

Certificates of Obligations, Series 2005

$35,000

$27,434

$0

$62,434

Certificates of Obligations, Series 2006

$235,000

$227,188

$0

$462,188

Certificates of Obligations, Series 2007

$135,000

$135,304

$0

$270,304

Certificates of Obligations, Series 2008

$80,000

$75,026

$0

$155,026

Certificates of Obligations, Series 2009

$135,000

$127,786

$0

$262,786

Certificates of Obligations, Series 2010

$125,000

$90,743

$0

$215,743

$0

$0

$10,000

$10,000

$5,215,000

$3,191,643

Administration and Arbitrage Fees
Total required for 2012 debt service
- Amount (if any) paid from funds listed in Schedule A

$8,416,643
$614,500

- Amount (if any) paid from other resources

$0

- Excess collections last year
= Total to be paid from taxes in 2012

$0
$7,802,143

+ Amount added in anticipation that the unit will collect
only 100% of its taxes in 2012
= Total Debt Levy

$0
$7,802,143

This notice contains a summary of actual effective and rollback tax rates' calculations. You can
inspect a copy of the full calculations at P.O. Box 90223, Denton, TX 76202.
Name of person preparing this notice: Steve Mossman
Title: Denton County Tax Assessor Collector
Date Prepared: July 31, 2012

Page 49 of 246

TOWN COUNCIL MEETING
AGENDA ITEM NO: 5
August 6, 2012
[X] CONSENT ITEM

[ ] REGULAR ITEM

[ ] WORK SESSION ITEM

FROM:

Tammy Wilson, Director of Accounting and Budget

THROUGH:

Harlan Jefferson, Town Manager
Chuck Springer, Assistant Town Manager/CFO

PRESENTER: Chuck Springer, Assistant Town Manager/CFO
ITEM:

Consider proposing a maximum tax rate of $0.4497 per $100 valuation
for the fiscal year beginning October 1, 2012, and ending September 30,
2013; scheduling the August 20, 2012, public hearing on the budget;
and scheduling the September 17, 2012, adoption of said budget and tax
rate; with each meeting to be held at 6:00 PM, at Town Hall, located at
2121 Cross Timbers Road.
[ ] Ordinance

I.

[ ] Resolution

[X] Motion

[ ] Direction

SUMMARY:
The purpose of this agenda item is to consider proposing a maximum tax rate of
$0.4497 per $100 valuation for FY 2012-2013, scheduling the August 20,
2012, public hearing on the budget, and scheduling the September 17, 2012,
adoption of the FY 2012-2013 budget and tax rate.

II.

BACKGROUND INFORMATION:
Chapter 26 of the Property Tax Code requires municipalities to comply with
truth-in-taxation laws in adopting their tax rates. The laws are designed to
make taxpayers aware of tax rate proposals and to allow taxpayers, in certain
cases, to roll back or limit a tax increase.
The Town Council must take a record vote on the maximum tax rate to be
considered for the upcoming fiscal year. The adopted tax rate may not exceed
this maximum rate.
The Town is required to hold two public hearings on the tax rate and publish a
notice in the newspaper, on TV, and web site before adopting a tax rate that
exceeds $0.453947 (the lower of the rollback rate or the effective tax rate).
Because the Town is proposing a maximum tax rate of $0.4497 which is lower
than the effective tax rate, the Town will not hold public hearings on the tax
rate or publish a notice this year.
Section 9.06 of the Town Charter requires the Town Council to fix the time and
place of the public hearing on the budget and to publish a notice in the official

Page 50 of 246

newspaper of the Town, as required by law. This public hearing is in addition to
the tax rate public hearings required by the State Property Tax Code.
III.

FISCAL IMPACT:
Proposed Revenue:

$30,940,172 in property tax revenue.

Proposed Receipts/Collections:

Account No./Description
100-4105 Property Taxes
110-4105 Property Taxes
308-4105 Property Taxes

Amount
$22,062,254
7,763,141
1,114,777

Once the proposed tax rate is applied to the
Town’s 2012 taxable value, it will produce
appropriate revenue to fund expenditures of
the General Fund, Debt Service Fund, and
TIRZ #1 Fund.
Finance Review by:
IV.

Chuck Springer, Assistant Town Manager/CFO

LEGAL REVIEW:
N/A

V.

ATTACHMENTS:
N/A

VI.

RECOMMENDED MOTION OR ACTION:
Move to propose a maximum tax rate of $0.4497 per $100 valuation for the
fiscal year beginning October 1, 2012, and ending September 30, 2013;
schedule the August 20, 2012, public hearing on the budget; and schedule the
September 17, 2012, adoption of said budget and tax rate; with each meeting
to be held at 6:00 PM, at Town Hall, located at 2121 Cross Timbers Road.

Page 51 of 246

TOWN COUNCIL MEETING
AGENDA ITEM NO: 6
August 6, 2012
[X] CONSENT ITEM

[ ] REGULAR ITEM

[ ] WORK SESSION ITEM

FROM:

Tammy Wilson, Director of Accounting and Budget

THROUGH:

Harlan Jefferson, Town Manager
Chuck Springer, Assistant Town Manager/CFO

PRESENTER: Chuck Springer, Assistant Town Manager/CFO
ITEM:

Town Council acting as the Board of Directors for the Town of Flower
Mound Fire Control, Prevention, and Emergency Medical Services District
to schedule a public hearing for August 20, 2012, on the Flower Mound
Fire Control, Prevention, and Emergency Medical Services District budget
and to schedule a meeting for September 17, 2012, to take action on the
proposed budget; with each meeting to be held at 6:00 PM, at Town
Hall, located at 2121 Cross Timbers Road.
[ ] Ordinance

I.

[ ] Resolution

[X] Motion

[ ] Direction

SUMMARY:
The purpose of this agenda item is to schedule the August 20, 2012, public
hearing on the Town of Flower Mound Fire Control, Prevention, and Emergency
Medical Services District (Fire District) budget and schedule the September 17,
2012, adoption of the FY 2012-2013 Fire District budget.

II.

BACKGROUND INFORMATION:
At the March 3, 2008, Town Council meeting, the Town Council acting as the
Board of Directors for the Fire District, adopted alternative budget procedures
for the Fire District to follow similar procedures and dates to the Town’s annual
budget.
Section 9.06 of the Town Charter requires the Town Council to fix the time and
place of the public hearing on the budget and to publish a notice in the official
newspaper of the Town, as required by law.

III.

FISCAL IMPACT:
N/A

IV.

LEGAL REVIEW:
N/A

Page 52 of 246

V.

ATTACHMENTS:
N/A

VI.

RECOMMENDED MOTION OR ACTION:
Town Council acting as the Board of Directors for the Town of Flower Mound
Fire Control, Prevention, and Emergency Medical Services District move to
schedule a public hearing for August 20, 2012, on the Flower Mound Fire
Control, Prevention, and Emergency Medical Services District budget, and
schedule a meeting for September 17, 2012, to take action on the proposed
budget; with each meeting to be held at 6:00 PM, at Town Hall, located at
2121 Cross Timbers Road.

Page 53 of 246

TOWN COUNCIL MEETING
AGENDA ITEM NO: 7
August 6, 2012
[X] CONSENT ITEM

[ ] REGULAR ITEM

[ ] WORK SESSION ITEM

FROM:

Tammy Wilson, Director of Accounting and Budget

THROUGH:

Harlan Jefferson, Town Manager
Chuck Springer, Assistant Town Manager/CFO

PRESENTER: Chuck Springer, Assistant Town Manager/CFO
ITEM:

Town Council acting as the Board of Directors for the Town of Flower
Mound Crime Control and Prevention District to schedule a public hearing
for August 20, 2012, on the Flower Mound Crime Control and Prevention
District budget and to schedule a meeting for September 17, 2012, to
take action on the proposed budget; with each meeting to be held at
6:00 PM, at Town Hall, located at 2121 Cross Timbers Road.
[ ] Ordinance

I.

[ ] Resolution

[X] Motion

[ ] Direction

SUMMARY:
The purpose of this agenda item is to schedule the August 20, 2012, public
hearing on the Town of Flower Mound Crime Control and Prevention District
(Crime District) budget and schedule the September 17, 2012, adoption of the
FY 2012-2013 Crime District budget.

II.

BACKGROUND INFORMATION:
At the March 3, 2008, Town Council meeting, the Town Council acting as the
Board of Directors for the Crime District, adopted alternative budget procedures
for the Crime District to follow similar procedures and dates to the Town’s
annual budget.
Section 9.06 of the Town Charter requires the Town Council to fix the time and
place of the public hearing on the budget and to publish a notice in the official
newspaper of the Town, as required by law.

III.

FISCAL IMPACT:
N/A

IV.

LEGAL REVIEW:
N/A

Page 54 of 246

V.

ATTACHMENTS:
N/A

VI.

RECOMMENDED MOTION OR ACTION:
Town Council acting as the Board of Directors for the Town of Flower Mound
Crime Control and Prevention District move to schedule a public hearing for
August 20, 2012, on the Flower Mound Crime Control and Prevention District
budget, and schedule a meeting for September 17, 2012, to take action on the
proposed budget; with each meeting to be held at 6:00 PM, at Town Hall,
located at 2121 Cross Timbers Road.

Page 55 of 246

TOWN COUNCIL MEETING
AGENDA ITEM NO: 8
August 6, 2012
[X] CONSENT ITEM

[ ] REGULAR ITEM

[ ] WORK SESSION ITEM

FROM:

Tammy Wilson, Director of Accounting and Budget

THROUGH:

Harlan Jefferson, Town Manager
Chuck Springer, Assistant Town Manager/CFO

PRESENTER: Chuck Springer, Assistant Town Manager/CFO
ITEM:

Consider approval of an Interlocal Cooperation Agreement with Denton
County for the assessment and collection of ad valorem taxes for the
period beginning October 1, 2012, and ending September 30, 2013,
subject to renewal for an additional one-year term; and authorization for
the Mayor to execute same on behalf of the Town.
[ ] Ordinance

I.

[ ] Resolution

[X] Motion

[ ] Direction

SUMMARY:
The Town has contracted through interlocal agreement with Denton County for
the assessment and collection of ad valorem taxes since 1994. The interlocal
agreement for October 1, 2012, through September 30, 2013, is being
presented for Town Council consideration.

II.

BACKGROUND INFORMATION:
Since 1994, the Town has maintained an interlocal cooperation agreement that
allows the Denton County Tax Assessor-Collector's office to serve as tax
assessor-collector for the Town. In essence, this agreement authorizes the
County to perform all acts necessary and proper to assess and collect taxes,
penalties, interest, and attorney's fees on behalf of the Town. The estimated
cost of $20,199 is expected to be paid to Denton County for fiscal year 20122013 for these services. As of June 30, 2012, 99.43 percent of the current
taxes have been collected compared to 99.22 percent on June 30, 2011.
This agreement is subject to renewal for an additional one-year term at the
discretion of the Denton County Commissioner's Court and the Town Council of
the Town of Flower Mound, unless terminated by written notice by either party.

Page 56 of 246

III.

FISCAL IMPACT:
Proposed Expenditure:

$20,199

Proposed Funding:

Account No./Description
100-565-5420-511
Contractual Services

Amount
$20,199

Sufficient funds will be available in this
account subject to and upon approval of the
Fiscal Year 2012-2013 Budget.
Finance Review by:
IV.

Chuck Springer, Assistant Town Manager/CFO

LEGAL REVIEW:
Meredith Ladd, of Brown & Hofmeister, LLP, has reviewed and approved, as to
form, the attached Interlocal Cooperation Agreement.

V.

ATTACHMENTS:
1. Interlocal Cooperation Agreement – Tax Collections

VI.

RECOMMENDED MOTION OR ACTION:
Move to approve an Interlocal Cooperation Agreement with Denton County for
the assessment and collection of ad valorem taxes for the period beginning
October 1, 2012, and ending September 30, 2013, subject to renewal for an
additional one-year term; and authorize the Mayor to execute same on behalf of
the Town.

Page 57 of 246

Attachment 1

INTERLOCAL COOPERATION AGREEMENT - TAX COLLECTION

THIS AGREEMENT is made and entered into this
August

6th

day of

, 2012, by and between DENTON COUNTY, a political subdivision of the

State of Texas, hereinafter referred to as “COUNTY,” and, the City/Town of FLOWER
MOUND, Denton County, Texas, also a political subdivision of the State of Texas,
hereinafter referred to as “MUNICIPALITY.”
WHEREAS, COUNTY and MUNICIPALITY mutually desire to be subject to
the provisions of V.T.C.A. Government Code, Chapter 791, the Interlocal Cooperation
Act, and V.T.C.A., Tax Code, Section 6.24 and 25.17 and;
WHEREAS, MUNICIPALITY has the authority to contract with the COUNTY
for the COUNTY to act as tax assessor and collector for MUNICIPALITY and
COUNTY has the authority to so act;
NOW THEREFORE,

COUNTY and MUNICIPALITY, for

and in

consideration of the mutual promises, covenants, and agreements herein contained, do
agree as follows:
I.
The effective date of this Agreement shall be the 1st day of October, 2012. The
term of this Agreement shall be for a period of one year, from October 1, 2012, to and
through September 30, 2013. This Agreement shall be automatically renewed for an
additional one (1) year term at the discretion of the COUNTY and MUNICIPALITY,
unless written notice of termination is provided by the terminating party to the other party
prior to one hundred-fifty (150) days of the expiration date of the current term of the
Agreement.

Page 1 of 11

Page 58 of 246

Attachment 1

II.
For the purposes and consideration herein stated and contemplated, COUNTY
shall provide the following necessary and appropriate services for MUNICIPALITY to
the maximum extent authorized by this Agreement, without regard to race, sex, religion,
color, age, disability, or national origin:
1.

COUNTY, by and through its duly qualified tax assessor-collector, shall

serve as tax assessor-collector for MUNICIPALITY for ad valorem tax collection for tax
year 2012, and each tax year for the duration of this Agreement. COUNTY agrees to
perform all necessary ad valorem assessing and collecting duties for MUNICIPALITY
and MUNICIPALITY does hereby expressly authorize COUNTY to do and perform all
acts necessary and proper to assess and collect taxes for MUNICIPALITY. COUNTY
agrees to collect base taxes, penalties, interest, and attorney’s fees.
2.

COUNTY agrees to prepare and mail all tax statements; provide monthly

collection reports to MUNICIPALITY; prepare tax certificates; develop and maintain
both current and delinquent tax rolls; meet the requirements of Section 26.04 of the Texas
Tax Code; and to develop and maintain such other records and forms as are necessary or
required by State law, rules, or regulations.
3.

COUNTY further agrees that it will calculate the effective tax rates and

rollback tax rates for MUNICIPALITY and that such calculations will be provided at no
additional cost to MUNICIPALITY. The information concerning the effective and
rollback tax rates will be published in the form prescribed by the Comptroller of Public
Accounts of the State of Texas, and as required by Section 26.04 of V.T.C.A. Tax Code.
MUNICIPALITY shall notify tax assessor-collector at least 7 days before

Page 2 of 11

Page 59 of 246

Attachment 1

MUNICIPALITY wishes publication of forms specified in this section. It is understood
and agreed by the parties that the expense of publication shall be borne by
MUNICIPALITY and that COUNTY shall provide MUNICIPALITY’S billing address
to the newspaper publishing the effective and rollback tax rates.
4.

COUNTY agrees, upon request, to offer guidance and the necessary forms

for posting notices of required hearing and quarter-page notices as required by Sections
26.05 and 26.06 of V.T.C.A. Tax Code, if MUNICIPALITY requests such 7 days in
advance of the intended publication date.

MUNICIPALITY must approve all

calculations and notices before publication may proceed. The accuracy and timeliness of
all required notices are the responsibility of MUNICIPALITY.
5.

Should MUNICIPALITY vote to increase its tax rate above the rollback

tax rate the required publication of notices shall be the responsibility of
MUNICIPALITY.
6.

COUNTY agrees to develop and maintain written policies and procedures

of its operation. COUNTY further agrees to make available full information about the
operation of the County Tax Office to MUNICIPALITY, and to promptly furnish
written reports to keep MUNICIPALITY informed of all financial information affecting
it.
7.

MUNICIPALITY agrees to promptly deliver to COUNTY all records

that it has accumulated and developed in the assessment and collection of taxes, and to
cooperate in furnishing or locating any other information and records needed by
COUNTY to perform its duties under the terms and conditions of this Agreement.

Page 3 of 11

Page 60 of 246

Attachment 1

8.

COUNTY

agrees

to

allow

an

audit

of

the

tax

records

of

MUNICIPALITY in COUNTY’S possession during normal working hours with at least
48 hours advance, written notice to COUNTY. The expense of any and all such audits
shall be paid by MUNICIPALITY. A copy of any and all such audits shall be furnished
to COUNTY.
9.

If required by MUNICIPALITY, COUNTY agrees to obtain a surety

bond for the County Tax Assessor/Collector. Such bond will be conditioned upon the
faithful performance of the Tax Assessor/Collector’s lawful duties, will be made payable
to MUNICIPALITY and in an amount determined by the governing body of
MUNICIPALITY.

The premium for any such bond shall be borne solely by

MUNICIPALITY.
10.

COUNTY agrees that it will place at least a quarter-page advertisement in

newspapers serving Denton County in January, 2013, as a reminder that delinquent tax
penalties will apply to all assessed taxes which are not paid by January 31, 2013. The
advertisements will be printed in each paper between January 5th and January 25th.
11.

COUNTY agrees that it will post to a secure website collection reports for

MUNICIPALITY listing current taxes, delinquent taxes, penalties and interest on a daily
basis through September 30, 2013. County will provide monthly Maintenance and
Operation (hereinafter referred to as “MO”), and Interest and Sinking (hereinafter
referred to as “IS”) collection reports; provide monthly recap reports; and provide
monthly attorney fee collection reports.

Page 4 of 11

Page 61 of 246

Attachment 1

12.

MUNICIPALITY retains its right to select its own delinquent tax

collection attorney and COUNTY agrees to reasonably cooperate with the attorney
selected by MUNICIPALITY in the collection of delinquent taxes and related activities.
13.

MUNICIPALITY will provide COUNTY with a copy of their current tax

collection attorney contract on or before each February 1st. Also MUNICIPALITY will
provide COUNTY with notice of any change in collection attorney on or before the
effective date of the new collection attorney contract.
III.
COUNTY hereby designates the Denton County Tax Assessor/ Collector to act
on behalf of the County Tax Office and to serve as Liaison for COUNTY with
MUNICIPALITY. The County Tax Assessor/Collector, and/or his/her designee, shall
ensure the performance of all duties and obligations of COUNTY; shall devote sufficient
time and attention to the execution of said duties on behalf of COUNTY in full
compliance with the terms and conditions of this Agreement;

and shall provide

immediate and direct supervision of the County Tax Office employees, agents,
contractors, subcontractors, and/or laborers, if any, in the furtherance of the purposes,
terms and conditions of this Agreement for the mutual benefit of COUNTY and
MUNICIPALITY.
IV.
COUNTY accepts responsibility for the acts, negligence,

and/or omissions

related to property tax service of all COUNTY employees and agents, sub-contractors
and /or contract laborers, and for those actions of other persons doing work under a
contract or agreement with COUNTY to the extent allowed by law.

Page 5 of 11

Page 62 of 246

Attachment 1

V.
MUNICIPALITY accepts responsibility for the acts, negligence, and/or
omissions of all MUNICIPALITY employees and agents, sub-contractors, and/or
contract laborers, and for those of all other persons doing work under a contract or
agreement with MUNICIPALITY to the extent allowed by law.
VI.
MUNICIPALITY

understands

and

agrees

that

MUNICIPALITY,

its

employees, servants, agents, and representatives shall at no time represent themselves to
be employees, servants, agents, and/or representatives of COUNTY.

COUNTY

understands and agrees that COUNTY, its employees, servants, agents, and
representatives shall at no time represent themselves to be employees, servants, agents,
and/or representatives of MUNICIPALITY.
VII.
For the services rendered during the 2012 tax year, MUNICIPALITY agrees to
pay COUNTY for the receipting, bookkeeping, issuing, and mailing of tax statements as
follows:
1.

The current tax statements will be mailed by October 10th or as soon

thereafter as practical. The fee for this service will be a rate not to exceed Sixty-seven
Cents ($.67) per statement. In order to expedite mailing of tax statements the
MUNICIPALITY must adopt their 2012 tax rate by September 25, 2012. Failure of the
MUNICIPALITY to adopt a tax rate by September 25, 2012 will cause delay in timely
mailing of tax statements. Pursuant to Texas Property Tax Code §26.05 if the
MUNICIPALITY does not adopt a tax rate by September 30th the tax rate will be set at

Page 6 of 11

Page 63 of 246

Attachment 1

the lower of the effective tax rate calculated for that year or the tax rate adopted by the
MUNICIPALITY for the preceding tax year. Notwithstanding the provisions of the Tax
Code, if MUNICIPALITY fails to deliver the adopted tax rates (M&O and I&S) to the
Tax Assessor Collector by September 25, 2012, it may cause a delay in the publication
and release of tax statements.
2.

COUNTY will mail an additional notice during the month of March

following the initial mailing provided that MUNICIPALITY has requested such a notice
on or before February 28th. The fee for this service will be a rate not to exceed Sixtyseven Cents ($.67) per statement.
3.

At least 30 days, but no more than 60 days, prior to April 1st, and

following the initial mailing, COUNTY shall mail a delinquent tax statement meeting the
requirements of Section 33.11 of the Texas Property Tax Code to the owner of each
parcel having delinquent taxes. The fee for this service will be a rate not to exceed Sixtyseven Cents ($0.67) per statement.
4.

At least 30 days, but no more than 60 days, prior to July 1st, and following

the initial mailing, COUNTY will mail a delinquent tax statement meeting the
requirements of Section 33.07 of the Texas Property Tax Code to the owner of each
parcel having delinquent taxes. The fee for this service will be a rate not to exceed Sixtyseven Cents ($0.67) per statement.
5.

For accounts which become delinquent on or after June 1st, COUNTY

shall mail a delinquent tax statement meeting the requirements of Section 33.08 of the
Texas Property Tax Code to the owner of each parcel having delinquent taxes.

Page 7 of 11

Page 64 of 246

Attachment 1

6.

In event of a successful rollback election which takes place after tax bills

for MUNICIPALITY have been mailed, MUNICIPALITY agrees to pay COUNTY a
programming charge of $5,000.00. COUNTY will mail corrected statements to the
owner of each parcel. COUNTY will charge a fee for this service will be a rate not to
exceed Sixty-seven Cents ($0.67) per statement. When a refund is required per Property
Tax Code Section 26.07 (g), COUNTY will charge a $.25 processing fee per check, in
addition to the corrected statement mailing costs. Issuance of refunds, in the event of a
successful

rollback

election,

will

be

the

responsibility

of

the

COUNTY.

MUNICIPALITY will be billed for the refunds, postage and processing fees.
7.

MUNICIPALITY understands and agrees that COUNTY will bill

MUNICIPALITY following each mailing for which charges are permitted. Payment is
due upon receipt of the statement. If MUNICIPALITY fails to pay COUNTY for
mailing fees by the 61st day after billing, COUNTY will withhold the billed amount from
collections to satisfy the debt by authority of Section 6.27 of the Texas Property Tax
Code.
8.

MUNICIPALITY further understands and agrees that COUNTY (at its

sole discretion) may increase or decrease the amounts charged to MUNICIPALITY for
any renewal year of this Agreement, provided that COUNTY gives written notice to
MUNICIPALITY sixty (60) days prior to the expiration date of the initial term of the
Agreement. Collection rates are established annually by a survey of costs conducted by
the County Budget Office. The collection rate for each year is approved by County
Commissioners’ Court. All entities are assessed the same per parcel collection rate.

Page 8 of 11

Page 65 of 246

Attachment 1

VIII.
COUNTY agrees to remit all taxes, penalties, and interest collected on
MUNICIPALITY’s behalf and to deposit such funds into the MUNICIPALITY’s
depositories as designated:
1.

For deposits of tax, penalties, and interest, payment shall be by wire

transfer or by check sent by mail to MUNICIPALITY’s depository accounts only, and
segregated into the appropriate MO and IS accounts.
2.

If MUNICIPALITY uses the same depository as COUNTY, the deposits

of tax, penalty and interest shall be by deposit transfer.
3.

In anticipation of renewal of this Agreement, COUNTY further agrees

that deposits will be made daily through September 30, 2013. It is expressly understood,
however, that this obligation of COUNTY shall not survive termination of this
Agreement, whether by termination by either party or by failure of the parties to renew
this Agreement.
IX.
In the event of termination, the withdrawing party shall be obligated to make such
payments as are required by this Agreement through the balance of the tax year in which
notice is given.

COUNTY shall be obligated to provide services pursuant to this

Agreement, during such period.
X.
This Agreement represents the entire agreement between MUNICIPALITY and
COUNTY and supersedes all prior negotiations, representations, and/or agreements,
either written or oral. This Agreement may be amended only by written instrument

Page 9 of 11

Page 66 of 246

Attachment 1

signed by the governing bodies of both MUNICIPALITY and COUNTY or those
authorized to sign on behalf of those governing bodies.
XI.
Any and all written notices required to be given under this Agreement shall be delivered
or mailed to the listed addresses:
COUNTY:
County Judge of Denton County
110 West Hickory
Denton, Texas 76201
Telephone 940-349-2820

MUNICIPALITY:
The City/Town of Flower Mound
2121 Cross Timbers Road
Flower Mound, Texas 75028
Telephone: 972-874-6000
Contact: Harlan Jefferson
XII.
MUNICIPALITY hereby designates Chuck Springer, Assistant Town Manager/CFO,
to act on behalf of MUNICIPALITY, and to serve as Liaison for MUNICIPALITY to
ensure the performance of all duties and obligations of MUNICIPALITY as stated in
this Agreement. MUNICIPALITY’s designee shall devote sufficient time and attention
to the execution of said duties on behalf of MUNICIPALITY in full compliance with the
terms and conditions of this Agreement; shall provide immediate and direct supervision
of the MUNICIPALITY employees, agents, contractors, subcontractors, and/or laborers,
if any, in the furtherance of the purposes, terms and conditions of this Agreement for the
mutual benefit of MUNICIPALITY and COUNTY.

Page 10 of 11

Page 67 of 246

Attachment 1

XIII.
In the event that any portion of this Agreement shall be found to be contrary to
law, it is the intent of the parties that the remaining portions shall remain valid and in full
force and effect to the extent possible.
XIV.
The undersigned officers and/or agents of the parties are the properly authorized
officials and have the necessary authority to execute this agreement on behalf of the
parties. Each party hereby certifies to the other that any resolutions necessary for this
Agreement have been duly passed and are now in full force and effect.
Executed in duplicate originals this, ___________ day of ______________ 2012.
COUNTY

MUNICIPALITY

Denton County
110 West Hickory
Denton, Texas 76201

City/Town of Flower Mound
2121 Cross Timbers Road
Flower Mound, Texas 75028

BY:___________________________
Honorable Mary Horn
Denton County Judge

BY:__________________________
Name: Thomas E. Hayden
Title: Mayor

ATTEST:

ATTEST:

BY:___________________________
Cynthia Mitchell
Denton County Clerk

BY:__________________________
Name: Theresa Scott
Title: Town Secretary

APPROVED FORM AND CONTENT:

APPROVED AS TO FORM:

_______________________________
Steve Mossman
Denton County
Tax Assessor/Collector

_____________________________
John Feldt
Denton County
Assistant District Attorney

Page 11 of 11

Page 68 of 246

TOWN COUNCIL MEETING
AGENDA ITEM NO: 9
August 6, 2012
[X] CONSENT ITEM

[ ] REGULAR ITEM

[ ] WORK SESSION ITEM

FROM:

Adrienne Lothery, Budget and Grants Manager

THROUGH:

Harlan Jefferson, Town Manager
Chuck Springer, Assistant Town Manager/CFO

PRESENTER: Adrienne Lothery, Budget and Grants Manager
ITEM:

Consider approval of a resolution authorizing the adoption of an
amendment to the Town of Flower Mound’s Program Years 2010-2014
Strategic Plan for Housing and Community Development, an amendment
to the Town’s Residential Anti-Displacement and Relocation Assistance
Plan, and approval of the Program Year 2012 Action Plan, which is
required under Flower Mound’s Community Development Block Grant;
and authorization for the Mayor to execute same on behalf of the Town
and submit to the U.S. Department of Housing and Urban Development.
[ ] Ordinance

I.

[X] Resolution

[ ] Motion

[ ] Direction

SUMMARY:
Flower Mound’s Program Years 2010-2014 Strategic Plan for Housing and
Community Development and Residential Anti-Displacement and Relocation
Assistance Plan were approved by the Town Council on July 19, 2010, and
accepted by the U.S. Department of Housing and Urban Development (HUD) on
October 1, 2010. HUD’s Community Development Block Grant (CDBG) Program
requires that CDBG funds be spent on persons of low and moderate income
levels. When Town staff originally designed the 2010-2014 Strategic Plan, plans
were made to continue work in the Sunrise Circle Estates neighborhood, which
neighborhood qualified at the time for CDBG area-benefit funding. HUD has
recently made available updated census data that no longer reflects the Sunrise
Circle Estates neighborhood (Census Tract 0203.03 Block Group 3) as being
eligible for area-benefit funding due to the fact it no longer meets the threshold
for percentage of low and moderate income residents. On January 19, 2012, a
Council Communication was prepared and sent to Town Council to receive
direction for approval to finish the Sunrise Circle Project with funds from the
Street Maintenance-Sales Tax fund and to proceed with designing a new project
for CDBG funds. Plan Year 2011 CDBG funds will be the last CDBG funds spent
on Sunrise Circle and the final phase of work is expected to be complete by
December 2012. This Amendment #1 to the 2010-2014 Strategic Plan
incorporates a Residential Rehabilitation Program into the Plan. The Amendment
#1 to the Residential Anti-Displacement and Relocation Assistance Plan includes
updated language that clarifies the intent of the original document per
recommendation by HUD staff. The Program Year 2012 Action Plan specifies

Page 69 of 246

that CDBG funds for Plan Year 2012 will be used for planning and
administration, to subsidize Town-wide transit service for the Town’s elderly and
severely disabled adults, and to start a Residential Rehabilitation Program to
improve permanent residential structures which, upon completion, will be
occupied by low and moderate income households.
II.

BACKGROUND INFORMATION:
During 2002, HUD recognized Flower Mound as an Entitlement Municipality
having a population exceeding 50,000 and awarded our jurisdiction a
Community Development Block Grant. The law defines the primary objective of
the Program as “the development of healthy communities by providing decent
housing and a suitable living environment and expanding economic
opportunities, principally for persons of low and moderate income.”
Since that time, HUD has awarded the Town $2,223,823 in CDBG funding. In
January 2012, HUD notified Flower Mound that our jurisdiction’s PY (Plan Year)
2012-13 allocation is $185,975. In order to receive CDBG funding, the law
requires the Town to prepare and maintain a Consolidated Plan declaring how
CDBG funds will be used. The Consolidated Plan includes both a five-year
Strategic Plan and an annual Action Plan for each of the five years. When
developing the Consolidated Plan the Town must identify all of its housing and
community development needs, obtain citizen input, and then craft a strategy
for meeting those needs.
Each year Flower Mound sets out in detail which annual activities it will carry
out and how much money (including CDBG funds) will be spent on them in order
to achieve the identified strategic goals. The Town’s CDBG Advisory Committee
evaluates available information and considers citizen input prior to making a
recommendation to the Town Council as to how CDBG funds can be used most
effectively.
Flower Mound’s currently approved Program Years 2010-2014 Strategic Plan for
Housing and Community Development specifies that during Program Years
2010-2014 CDBG funds will be used for planning and administration, to
subsidize Town-wide transit service for the Town’s elderly and severely disabled
adults, and to continue construction of street improvements for the Sunrise
Circle Estates neighborhood located in Census Tract 0203.03 Block Group 3, an
area that formerly qualified to be served under the grant. Amendment #1
incorporates the new Residential Rehabilitation Program into the Consolidated
Plan and updates language that clarifies the intent of the original Residential
Anti-Displacement and Relocation Assistance Plan.
The proposed Program Year 2012 Action Plan specifies that CDBG funds will be
used for planning and administration ($30,000), to subsidize Town-wide transit
service for the Town’s elderly and severely disabled adults ($20,000), and to
start a Residential Rehabilitation Program to improve permanent residential

Page 70 of 246

structures ($135,975) which, upon completion, will be occupied by low and
moderate income households.
III.

FISCAL IMPACT:
N/A

IV.

LEGAL REVIEW:
Edwin P. Voss, Jr. of Brown & Hofmeister, L.L.P., has reviewed the
attachments as to form and legality.

V.

ATTACHMENTS:
1. Draft resolution
2. Amendments to the 2010-2014 Strategic Plan for Housing and Community
Development and the Residential Anti-Displacement and Relocation
Assistance Plan
3. Proposed Program Year 2012 Action Plan for Housing and Community
Development

VI.

RECOMMENDED MOTION OR ACTION:
Move to approve a resolution authorizing the adoption of an amendment to the
Town of Flower Mound’s Program Years 2010-2014 Strategic Plan for Housing
and Community Development, an amendment to the Town’s Residential AntiDisplacement and Relocation Assistance Plan, and approval of the Program Year
2012 Action Plan, which is required under Flower Mound’s Community
Development Block Grant; and authorize the Mayor to execute same on behalf
of the Town and submit to the U.S. Department of Housing and Urban
Development.

Page 71 of 246

Attachment 1
TOWN OF FLOWER MOUND, TEXAS
RESOLUTION NO. _____________
A RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF FLOWER MOUND, TEXAS,
ADOPTING AN AMENDMENT TO THE TOWN OF FLOWER MOUND’S PROGRAM YEARS
2010-2014 STRATEGIC PLAN FOR HOUSING AND COMMUNITY DEVELOPMENT, AN
AMENDMENT TO THE RESIDENTIAL ANTI-DISPLACEMENT AND RELOCATION PLAN,
AND THE PROGRAM YEAR 2012 ACTION PLAN UNDER THE TOWN’S COMMUNITY
DEVELOPMENT BLOCK GRANT.
WHEREAS, an Amendment to the Program Years 2010-2014 Strategic Plan, an
Amendment to the Residential Anti-Displacement and Relocation Assistance Plan, and the
Program Year 2012 Action Plan must be adopted by the Town of Flower Mound in
fulfillment of the requirements of the Housing and Community Development Act of 1974,
as amended, the National Affordable Housing Act of 1990, as amended and the Stewart B.
McKinney Act of 1987, as amended; and
WHEREAS, the Amendment to the Program Years 2010-2014 Strategic Plan, the
Amendment to the Residential Anti-Displacement and Relocation Assistance Plan, and the
Program Year 2012 Action Plan have been made available for public review and comment
for a 30 business day period; and
WHEREAS, the Flower Mound Community Development Block Grant Advisory
Committee held a public hearing to allow for public comments regarding the Amendment to
the Program Years 2010-2014 Strategic Plan, the Amendment to the Residential AntiDisplacement and Relocation Assistance Plan, and the Program Year 2012 Action Plan; and
WHEREAS, the Town Council of the Town of Flower Mound has determined that it
is in the best interest of the residents of the Town to adopt the Amendment to the Program
Years 2010-2014 Strategic Plan, the Amendment to the Residential Anti-Displacement and
Relocation Assistance Plan, and the Program Year 2012 Action Plan in order to comply
with the requirements of the Housing and Community Development Act of 1974, as
amended, the National Affordable Housing Act of 1990, as amended, and the Stewart B.
McKinney Act of 1987, as amended, and to authorize the Mayor to execute said report on
behalf of the Town of Flower Mound.
NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF
FLOWER MOUND, TEXAS, THAT:
SECTION 1
All of the above premises are hereby found to be true and correct legislative and
factual findings of the Town of Flower Mound, and they are hereby approved and
incorporated into the body of this Resolution as if copied in their entirety.

Page 72 of 246

RESOLUTION NO. _____

Page 2

SECTION 2
The Town of Flower Mound’s Amendment to the Program Years 2010-2014
Strategic Plan, the Amendment to the Residential Anti-Displacement and Relocation
Assistance Plan, and the Program Year 2012 Action Plan for Housing and Community
Development are hereby adopted.
SECTION 3
The Mayor is authorized to execute the Amendment to the Program Years 20102014 Strategic Plan, the Amendment to the Residential Anti-Displacement and Relocation
Assistance Plan, and the Program Year 2012 Action Plan for Housing and Community
Development on behalf of the Town and submit the foregoing plans to the U.S.
Department of Housing and Urban Development.
SECTION 4
This Resolution shall become effective on and after its date of adoption.
DULY PASSED AND APPROVED BY THE TOWN COUNCIL OF THE TOWN OF
FLOWER MOUND, TEXAS, ON THIS THE 6thDAY OF August, 2012.
APPROVED:

___________________________________
Thomas E. Hayden, MAYOR
ATTEST:
___________________________________
Theresa Scott, TOWN SECRETARY
APPROVED AS TO FORM AND LEGALITY:
_____________________________________
Terrence S. Welch, TOWN ATTORNEY

Page 73 of 246

Attachment 3

TOWN OF FLOWER MOUND
PROGRAM YEAR 2012
ONE-YEAR ACTION PLAN
For Housing and Community Development

Prepared for the U. S. Dept. of Housing and Urban Development

Page 74 of 246

2012 ANNUAL ACTION PLAN
PROGRAM YEAR 3
TABLE OF CONTENTS
STANDARD FORM F424: CDBG Application
EXECUTIVE SUMMARY
Goals & Accomplishments
CITIZEN PARTICIPATION PLAN
RESOURCES
ANNUAL OBJECTIVES
DESCRIPTION OF ACTIVITIES
GEOGRAPHIC DISTRIBUTION/ALLOCATION PRIORITIES
ANNUAL AFFORDABLE HOUSING GOALS
PUBLIC HOUSING
HOMELESS AND SPECIAL NEEDS
BARRIERS TO AFFORDABLE HOUSING
OTHER ACTIONS
Actions that will address obstacles to meeting
Underserved needs
Foster and maintain affordable housing
Lead-based paint
Reduce the number of poverty level families
Institutional Structure
Monitoring
Coordination between public and private agencies
Coordination between local and regional
transportation agencies
Program income
HOME
HOPWA
ESG
CERTIFICATIONS
CITIZEN PARTICIPATION COMMENTS

2
4
6
7
9
10
12
14
15
16
16
17
18
19
19
20
21
21
22
22
23
23
23
23
24-34
35

ATTACHMENTS
MAPS

Qualifying Areas of Low and Moderate Income Census Block Groups
In Flower Mound
Area Thoroughfares
Census Block Groups in Flower Mound
Sunrise Circle Estates (Census Tract 0203.03, Block Group 3)
Flower Mound in the DFW Metroplex

PLAN YEAR 2011 STATUS REPORT FOR ANALYSIS OF IMPEDIMENTS TO
FAIR HOUSING CHOICE

Page 75 of 246

SF 424
The SF 424 is part of the CPMP Annual Action Plan. SF 424 form
fields are included in this document. Grantee information is linked
from the 1CPMP.xls document of the CPMP tool.

SF 424
Complete the fillable fields (blue cells) in the table below. The other items are pre-filled with values from the
Grantee Information Worksheet.
Date Submitted
Applicant Identifier
Type of Submission
#B-12-MC-48-0042
Date Received by state
State Identifier
Application
Pre-application
Date Received by HUD
Federal Identifier
Construction
Construction
Non Construction
Non Construction
Applicant Information
Jurisdiction: Town of Flower Mound
UOG Code: TX481824 FLOWER MOUND
2121 Cross Timbers Rd.
Organizational DUNS: 02-794-1160
Organizational Unit: Financial Administration
Flower Mound
Texas
Department: Financial Services
75028
U.S.A.
Division:
Employer Identification Number (EIN):
County: Denton
75-1366210
Program Year Start Date (10/01)
Applicant Type:
Specify Other Type if necessary:
Local Government: Township
Specify Other Type
U.S. Department of
Program Funding
Housing and Urban Development
Catalogue of Federal Domestic Assistance Numbers; Descriptive Title of Applicant Project(s); Areas Affected by
Project(s) (cities, Counties, localities etc.); Estimated Funding
Community Development Block Grant

14.218 Entitlement Grant

CDBG Project Titles: Residential Rehabilitation Program;
Description of Areas Affected by CDBG Project(s)
Town-wide Transportation
Program is Town-wide.
$CDBG Grant Amount $185,975
$Additional HUD Grant(s) LeveragedDescribe
$Additional Federal Funds Leveraged-0-

$Additional State Funds Leveraged-0-

$Locally Leveraged Funds -0-

$Grantee Funds Leveraged-0-

$Anticipated Program Income-0-

Other (Describe)-0-

Total Funds Leveraged for CDBG-based Project(s)$185,975
Home Investment Partnerships Program

14.239 HOME

HOME Project Titles

Description of Areas Affected by HOME Project(s)

$HOME Grant Amount

$Additional HUD Grant(s) Leveraged Describe

$Additional Federal Funds Leveraged

$Additional State Funds Leveraged

$Locally Leveraged Funds

$Grantee Funds Leveraged

SF 424

2

Version 2.0

Page 76 of 246

$Anticipated Program Income

Other (Describe)

Total Funds Leveraged for HOME-based Project(s)
Housing Opportunities for People with AIDS

14.241 HOPWA

HOPWA Project Titles

Description of Areas Affected by HOPWA Project(s)

$HOPWA Grant Amount

$Additional HUD Grant(s) Leveraged Describe

$Additional Federal Funds Leveraged

$Additional State Funds Leveraged

$Locally Leveraged Funds

$Grantee Funds Leveraged

$Anticipated Program Income

Other (Describe)

Total Funds Leveraged for HOPWA-based Project(s)
Emergency Shelter Grants Program

14.231 ESG

ESG Project Titles

Description of Areas Affected by ESG Project(s)

$ESG Grant Amount

$Additional HUD Grant(s) Leveraged

Describe

$Additional Federal Funds Leveraged

$Additional State Funds Leveraged

$Locally Leveraged Funds

$Grantee Funds Leveraged

$Anticipated Program Income

Other (Describe)

Total Funds Leveraged for ESG-based Project(s)
Congressional Districts of:
Applicant Districts 26
Project Districts 26
Is the applicant delinquent on any federal debt? If
“Yes” please include an additional document
explaining the situation.
Yes
No

Is application subject to review by state Executive Order
12372 Process?
Yes
This application was made available to the
state EO 12372 process for review on DATE
No
Program is not covered by EO 12372
N/A
Program has not been selected by the state
for review

Person to be contacted regarding this application
First Name: Adrienne
Middle Initial: E
Last Name: Lothery
Title: Budget & Grants Manager
Phone: 972-874-6040
Fax: 972-874-6460
email: Adrienne.lothery@flowerGrantee Website: www.flower-mound.com Other Contact: Monica Vasquez
mound.com
Signature of Authorized Representative
Date Signed

SF 424

3

Version 2.0

Page 77 of 246

EXECUTIVE SUMMARY
This Annual Action Plan for Program Year 3 is a part of the Town of Flower Mound's five-year
Consolidated Plan for Housing and Community Development. In addition to identifying
activities funded by the U. S. Department of Housing and Urban Development (HUD), the
Plan also identifies other actions Flower Mound will take to meet the strategic objectives of
the Consolidated Plan. This document includes an Application for Federal Assistance,
identifies both federal and non-federal resources expected to be available for use in the
upcoming year, and describes the activities to be undertaken using these resources.
Required certifications are also included.
Since becoming an entitlement community, Flower Mound has expended $1,834,775.23 (as
of March 31, 2012) of the $2,223,823.00 HUD awarded the Town. Flower Mound expended
$1,570,365.13 toward providing fire protection water, sewer and street improvements in
the Sunrise Circle Estates neighborhood (Census Tract 0203.03 Block Group 3), $9,910.46
on a neighborhood revitalization project, $72,096.42 to provide Town-wide transit service
for the Town’s elderly and disabled, and $182,403.22 for planning and administration
services. In Program Year 2008, the Town received $57,499 through the American
Recovery and Reinvestment Act of 2009, which was used for minor home repairs to improve
the quality of owner-occupied housing for Flower Mound’s low and moderate-income
residents.
Flower Mound also leveraged Community Development Block Grant funding with other
resources to address the housing and community development needs of the neighborhoods
we serve. Accomplishments in attaining the goals and objectives for housing, homeless,
non-housing community development, anti-poverty, and non-homeless special needs are as
follows:


Housing – To foster and maintain affordable housing, Flower Mound leveraged funds
through collaboration with affordable housing agencies in Denton County, provided
tax relief to elderly and disabled homeowners, fostered a balanced tax base,
provided additional local job opportunities through economic development, and
served as a referral source. The Town used Recovery Act funds to carry out a Minor
Home Repair Program benefiting our community’s low and moderate-income
residents.
In addition, the Town is starting a Residential Rehabilitation Program
designed to expand the supply of decent, safe, sanitary and affordable housing, to
correct health and safety hazards in deteriorated housing and to extend the useful
life of existing housing units.



Homeless – To address the needs of homeless persons, Flower Mound passed a
Proclamation to educate the public about hunger and the homeless population, to
recognize the efforts that the members of the Denton County Homeless Coalition
members are taking to address these vital issues, and to encourage support for all
those who provide resources and services to the hungry and homeless, partnered
with agencies having the resources to provide temporary shelter and supportive
services, developed and maintained a Citizen Participation Plan and a Residential
Anti-Displacement and Relocation Assistance Plan, served as a referral source,
sponsored job-related workshops, and granted General Funds to service provider
agencies. The Town’s Grants Coordinator/Accountant is participating in drafting the
Denton County Homeless Coalition’s ten year plan to end homelessness.



Non-housing Community Development – Flower Mound uses CDBG funds to carry out
planning and program administration activities, to continue work on the Town’s

4

Page 78 of 246

multi-year goals to implement water, sewer and street improvements in the Sunrise
Circle Estates neighborhood (Census Tract 0203.03 Block Group 3), and to subsidize
Town-wide transportation for the Town’s elderly and disabled. Flower Mound also
carried out economic development activities without using CDBG funds. In order to
complete the Sunrise Circle Estates neighborhood project, Town Council approved
the use of funds from the Street Maintenance-Sales Tax Fund on January 19, 2012.


Anti-poverty – To reduce the number of persons living below the poverty level,
Flower Mound partnered with resource providers, maintained public awareness, and
sponsored training and employment workshops.



Non-homeless Special Needs – On a continuing basis, Flower Mound staff maintains
an awareness of the level of need, partners with service providers, leverages funding
for services, and maintains the exempted amount of the appraised value of residence
homesteads for senior and disabled households.

During the coming year, Flower Mound will leverage Community Development Block Grant
funding with resources provided by our General Fund, residents, churches, lending
institutions, area service providers, and other Federal and State agencies, to help create a
viable community that provides decent housing, a suitable living environment, and
economic opportunities for its low and moderate-income citizens.

5

Page 79 of 246

The following table shows Flower Mound’s goals and objectives for Program Year 2012, the
third of five years in the Town’s 2010-2014 Consolidated Plan:
CUMMULATIVE AND ANNUAL GOALS AND OBJECTIVES
PROGRAM YEARS 2010 - 2014
Goal

Objectives/Outcomes

Housing

Increase the opportunity for low and moderate
income homeowners in Flower Mound through
collaboration with the Denton County Housing
Finance Corporation and other lending institutions
(10 referrals over a five-year period).
Assist low and moderate income homeowners in
Flower Mound with the rehabilitation of their singlefamily, owner-occupied houses in order to expand
the supply of decent, safe, sanitary and affordable
housing, to correct health and safety hazards in
deteriorated housing and to extend the useful life of
existing housing units.
Participate in the county-wide Continuum of Care
planning process each year (Town staff attend at
least 10 meetings over a five-year period).
Serve as a referral source for individuals and
families with children at imminent risk of becoming
homeless. (Refer 10 persons over a five-year
period).
Carry out planning and program administration
activities (up to 20% of CDBG grant expenditures).

Homeless

Non-Housing
Community
Development

Antipoverty
Non-homeless
Special Needs
(housing and
suppportive
services)

Provide transportation services to elderly and
disabled. (Objective is a suitable living environment.
(50 persons over a five-year period)(Outcome is
availability/accessibility).
Foster a balanced tax base by supporting the
Chamber of Commerce in efforts to provide business
and retention development programs to increase the
number of businesses locating in Flower Mound (50
new businesses over a five-year period).
Provide quality infrastructure improvements in the
Sunrise Circle Estates neighborhood, including
improvement and provision of an adequate fire
protection water system, sewer system and streets
(multi-year project: 533 water/sewer, 533 streets).
(Objective is a suitable living environment. Outcome
is availability/accessibility).
Support training and employment activities provided
by the library (200 persons over a five-year period).
Facilitate affordable housing for disabled and senior
citizens by maintaining the exempted amount of
appraised value of residence homesteads at
$100,000 (8,790 households over a five-year
period).

6

Cumulative
Accomplishments
to Date
2 referrals as of
February 2012.

PY 2012
Objective

Five-year
Objective

2 referrals in
Plan Year 2012.

10 referrals.

0 rehabilitations as of
February 2012.

1 rehabilitation
in Plan Year
2012.

4 rehabilitations.

15 meetings
attended as of
February 2012.
1 referral as of
February 2012.

2 meetings in
Plan Year 2012.

10 meetings.

2 referrals in
Plan Year 2012.

10 referrals.

7.66% of total CDBG
expenditures as of
March 2012.
35 persons as of
February 2012.

<=20% of
CDBG
expenditures.
10 persons in
Plan Year 2012.

<=20% of CDBG
expenditures.

140 businesses as of
February 9, 2012.

10 new
businesses in
Plan Year 2012.

50 new
businesses.

0 persons (multi-year
project).

533 persons
(multi-year
project) in Plan
Year 2012.

533 persons.

141 persons as of
February 2012.
4,086 households as
of February 2012.

40 persons in
Plan Year 2012.
1,758
households in
Plan Year 2012.

200 persons.

50 persons.

8,790 households.

Page 80 of 246

CITIZEN PARTICIPATION
Citizen input is important when a community is deciding on areas and projects that will be
served with the limited resources available for its low and moderate-income residents.
Flower Mound adopted a Citizen Participation Plan that reflects HUD’s regulatory
requirements and describes a process that is followed to ensure citizen participation in
CDBG planning. Significant aspects of Flower Mound’s citizen participation process include
public hearings and input obtained through surveys, at community meetings, and during
public comment periods.
Efforts were made to broaden public participation in the development of the annual plan,
including outreach to minorities and non-English speaking persons, as well as persons with
disabilities by advertising public notices and holding public hearings in easily accessible
locations. The public hearing for the 2012 Annual Action Plan was held at Flower Mound’s
Town Hall on June 12, 2012, which is easily accessible to all Town citizens, including the
disabled. Notice of the public hearing and opportunity to comment were posted in the
Denton Record Chronicle, on the Denton Record Chronicle and Town websites, at the Town’s
administrative offices, and at the Flower Mound Public Library. All meeting notices and the
Town website noted that translation services were available upon request, and that persons
with disabilities would be accommodated upon request. In order to ensure that low and
moderate income persons as well as minorities and non-English speaking persons, and
persons with disabilities had the opportunity to participate in the Citizen Participation
process, public copies were placed at the Flower Mound Public Library and at Town Hall.
Both of these buildings are accessible to persons with mobility limitations.
When developing the 2010-2014 Consolidated Plan for Housing and Community
Development, in order to encourage the participation of all residents, the Town made
available to citizens, public agencies, and other interested parties information that included
the amount of assistance the jurisdiction expected to receive (including grant funds and
program income) and the range of activities that would be undertaken, including the
estimated amount that would benefit persons of low and moderate income.
The Citizen Participation Plan requires the Town to post public notices that were published in
the newspaper and on the Town web page to ensure that interested groups, agencies,
organizations, and individuals were involved in the development of the Consolidated Plan.
Signs announcing the public hearings were posted at public buildings and facilities and a
notice of public hearings was mailed to area agencies and service organizations. In addition,
a copy of the Consolidated Plan was placed for public viewing at the Library and at Town
Hall. Copies of the Plan were provided to citizens and groups who request it. These
requirements were designed especially to encourage participation by low and moderate
income persons, particularly those living in areas where CDBG funds are proposed to be
used, and by residents of predominantly low and moderate income neighborhoods. The
Town will take whatever actions are appropriate to encourage the participation of all its
citizens, including minorities and non-English speaking persons, as well as persons with
disabilities.
In addition, citizen surveys were conducted during the consolidated planning process. A
Town-wide survey was mailed to 3,000 randomly selected Flower Mound households, and a
second CDBG survey was placed on the Town website for 60 days. Citizens identified the
highest level of need as infrastructure services, including street improvements. Following
these issues in successive order are, Aging Neighborhoods, Economic Development, and
Natural Gas Exploration. Respondents identified growth and traffic as the two biggest issues
facing Flower Mound over the next several years.

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Input was obtained from Flower Mound’s Community Outreach Committee which includes
service providers of low and moderate income persons, minorities, non-English speaking
persons, and persons with disabilities. Community Outreach Committee meetings are held
quarterly. The Town partners with the neighboring City of Lewisville to hold these meetings.
Denton County Friends of the Family, PediPlace, Texas Department of State Health Services,
Christian Community Action, Glen Oaks Hospital, Hope for the Hungry, Camp Summit, and
Habitat for Humanity are just a few of the agencies that attend regularly that provide health
services, social and fair housing services (including those focusing on services to children,
elderly persons, persons with disabilities, persons with HIV/AIDS and their families, and
homeless persons). Information from these meetings plays an integral role in the
development of the Plan.
Another source of information for the 2012 Annual Action Plan was the Denton County
Homeless Coalition. The Coalition serves as a catalyst for developing and providing needed
services to homeless individuals and families and those who are at risk for homelessness in
the county, as well as the Continuum of Care for Denton County. It is comprised of
representatives from housing and social service providers, non-profit organizations, local
government entities including the Cities of Denton and Lewisville, and the Town of Flower
Mound, school districts, law enforcement agencies, ministries, healthcare services, homeless
persons and other concerned county residents and is overseen by the Steering Committee,
which serves as the governing body for the Denton County Homeless Coalition.
Representatives from Flower Mound regularly attend the Steering Committee monthly
meetings to stay informed on opportunities to assist homeless individuals, persons of low
and moderate income, elderly persons, persons at risk of homelessness, persons with
disabilities, and persons with HIV/AIDS and their families in order to be able to assist them
in locating services including affordable housing, health and social service opportunities,
victim services, veterans’ services, employment opportunities, educational opportunities,
etc.
Town Grant Administration staff meets on a regular basis with representatives from the
Cities of Denton and Lewisville and area service providers who are members of the Denton
County Homeless Coalition in order to increase coordination efforts and streamline
information. Staff support is provided to the Coalition by Flower Mound, Lewisville, and
Denton. Currently, the Coalition is working on the 10-Year Plan to end homelessness, which
is a joint effort among the Cities of Denton and Lewisville, the Town of Flower Mound, and
other area service providers to end homelessness.
Flower Mound does not receive HOPWA funding.
The Denton Housing Authority serves as the administrator of the Section 8 Housing Choice
Voucher Program for Denton County. Town staff remains in contact with Section 8 staff in
order to remain informed on local public housing opportunities, needs, activities, and
planned programs for persons of low and moderate income. According to the Denton
Housing Authority, there are no plans for public housing in Flower Mound at this time.
All information and comments received were taken into consideration by the Town’s
Community Development Block Grant Advisory Committee when developing the plan. Once
the 2012 Annual Plan was drafted, it was placed on the Town’s website, at the Library, and
at Town Hall. Citizens were provided 30 business days to comment. No comments were
received.

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RESOURCES
The Town of Flower Mound is currently an entitlement community for HUD’s Community
Development Block Grant (CDBG) Program. The Town's 2012 anticipated CDBG allocation is
$185,975. No program income is expected to be received during the year. Flower Mound
first began receiving CDBG funding in Fiscal Year 2002. Annual allocations received to date
are as follows: $173,000, $235,007, $250,930, $241,514, $219,708, $220,304, $216,181,
$222,702, $241,498, and $202,979. Federal resources from HUD that are expected to be
available during the coming year to address the priority needs and specific objectives
identified in the Consolidated Plan include those received by the Denton Housing Authority.
This entity is funded by HUD and offers Section 8 rental assistance, a homeownership
program, and family self-sufficiency through the Denton County area.
The following additional resources are expected to be made available to address the Town’s
identified housing and community development needs:


The Town of Flower Mound has budgeted $162,373 in General Funds for community
support agencies in the social services category. Many of these agencies provide
services to homeless and low-income adults and children. In addition, General Funds
are used to improve neighborhoods with concentrations of low and moderate-income
persons and families, to deliver water, sewer, and street services to low and
moderate income areas not currently served with grant funds, and to encourage
economic development. Flower Mound's Library offers free access to downloadable
audio books, provides the public with free Internet access to all job related websites,
and offers job search workshops.



The Christian Community Action Agency (CCA) offers Flower Mound’s low and
moderate-income residents 30 services in six main program areas including family
assistance, food distribution, healthcare, vocational training, affordable housing, and
seasonal programs for children and seniors. Flower Mound’s churches and citizens
regularly contribute cash, food, clothing and toys to this agency. Church members,
Town staff, and other residents also donate their time in response to the special
needs of clients. CCA projects their agency will spend over $50,000 on qualifying
Flower Mound residents during the coming year. In addition, one Flower Mound
church partners with the Town and Service Programs for Aging Needs to offer a
"Meals on Wheels" program.



Other agencies providing funding include the Texas Comptroller’s Office, which
awarded the Town a $2,200 grant to be used to help prevent alcohol/tobacco use by
minors, the Texas State Library and Archives Commission, which awarded the Town
$13,000 to purchase equipment, and the Texas State Energy Conservation Office,
which awarded the Town $37,088.80 to help provide Flower Mound’s Fleet Services
Division with an E-85 alternative fuel tank that will further the Town’s efforts use
cleaner fuel sources.



Street Maintenance Sales Tax Funds are being used to fund a portion of the final
phase of the Sunrise Circle Estates Project. The final phase consists of paving the
remaining 2,600 feet of Sunrise Circle. The completed project includes new concrete
streets replacing the existing asphalt paving and curb and gutter to allow for
improved drainage in the neighborhood and new driveway approaches. Upon
completion of construction, there will be no remaining paving and associated storm
sewer improvements necessary in the Flower Mound portion of the subdivision. Town

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Council approved the use of funds from the Street Maintenance-Sales Tax Fund on
January 19, 2012 to complete this project.
ANNUAL OBJECTIVES
For a comprehensive summary of all annual objectives, please see the chart in the
Executive Summary section on page 6. Housing priorities and objectives Flower Mound
hopes to achieve during the next year include starting a Residential Rehabilitation Program,
leveraging funds to supplement scarce resources, facilitating the availability of affordable
housing for disabled and senior citizens, and fostering a balanced tax base:


Leveraging funds - The Town collaborates with the Denton County Homeless
Coalition, the Denton Housing Authority, the Denton County Housing Finance
Corporation, and local lending agencies. This collaboration is dedicated to providing
those services needed to increase the number of low and moderate-income residents
who become homeowners and to increasing available rental assistance for Flower
Mound residents. During the next year, Flower Mound will continue to liaison with
those service providers who are established to provide the necessary resources for
affordable housing.



Residential Rehabilitation Program – Assist low and moderate income homeowners in
Flower Mound with the rehabilitation of their single-family, owner-occupied houses in
order to expand the supply of decent, safe, sanitary and affordable housing, to
correct health and safety hazards in deteriorated housing and to extend the useful
life of existing housing units.

In order to meet the needs of homeless persons, Town staff participates in the Denton
County Homeless Coalition to maintain awareness of the level of need and to partner with
community agencies that have the resources to provide the necessary services. More
information on the Town’s plan for the investment and use of available resources and oneyear goals for reducing and ending homelessness can be found in the Homeless and Special
Needs section on page 16.


Participate in the county-wide Continuum of Care planning process each year



Serve as a referral source for individuals and families with children at imminent risk
of becoming homeless.

More information on the activities that will take place during the next year regarding
antipoverty activities can be found in the Reduce the number of poverty-level families
section on page 20. Specific objectives relating to antipoverty are:


Support training and employment activities provided by the library.

Special needs populations include 5.6% of the total population who are elderly, and 6.5% of
the total population who are persons with disabilities. Priorities and specific objectives
Flower Mound hopes to achieve for this sub-population are as follows:


Affordable housing for the disabled and senior citizens – In 2006, the Town increased
the exempted amount of appraised value of residence homesteads of the disabled
and individuals 65 years of age or older to $100,000. During 2012, this increase will
affect approximately 2,135 property accounts. The total revenue loss of the Town
generated by the homestead exemptions will be approximately $936,387.70.

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However, this is money the Town is willing to give up for its disabled and senior
residents who are living on a fixed income and may have trouble paying more taxes.
Flower Mound's priority non-housing community development needs eligible for assistance
include (a) planning/administration; (b) public facility and improvements; and (c) public
services. Economic development activities will also be carried out without using CDBG
funding. Citizen input, research and analysis to identify service level weaknesses and areas
of need, and Town Council goals and priorities provided the basis for assigning a high
priority need for planning and administration; completing street improvements in the
Sunrise Circle Estates neighborhood by the end of the calendar year; and subsidized
transportation for the Town's elderly and severely disabled:


Planning/administration - Planning and program administration costs include contract
administration, publication of public notices, software for the Residential
Rehabilitation Program, salaries, office equipment and supplies, planning,
monitoring, and all other related expenses.



Fostering a balanced tax base - The current ratio of assessed residential taxable
values compared with assessed commercial taxable values is 78.97% residential to
19.84% commercial. The Town's Land Use Plan projects a build out percentage of
assessed residential taxable value to assessed commercial taxable value that is 64%
residential to 36% commercial. In 2011, 92 new businesses opened, creating
additional job opportunities for Flower Mound residents. Nature’s Best, a major
supplier of organic and health food products, opened a 305,000 square-feet regional
distribution center in Flower Mound. The company moved into the building in May
2011 and created 35 new jobs.



During the next year, Town staff will continue working closely with the Chamber of
Commerce to provide business and retention development programs with incentives
for economic development. This will help to ensure an increase in the number of
businesses locating to Flower Mound and result in a more balanced tax base and
increased local employment opportunities.



Public facility and improvements – Street improvements in the Sunrise Circle Estates
neighborhood, located in Census Tract 0203.03 Block Group 3. Due to newly
released HUD census data, the Sunrise Circle Estates neighborhood will no longer be
eligible for area-benefit CDBG funding. This project is anticipated to be completed by
the end of the calendar year using funds from the Street Maintenance-Sales Tax
Fund and remaining unspent CDBG funds from prior years.
o



Citizen surveys indicate a high level of need for water, sewer, and street
improvements in Flower Mound. The Sunrise Circle Estates neighborhood is
occupied by approximately 130 persons or 39 families and has below standard
streets and storm drainage. Census 2000 data used to originally qualify this
project indicate the neighborhood is 8% minority and 44% low and moderate
income. This was well above the Town's 36% minimum requirement identified by
HUD. The project will include new concrete streets to replace the existing asphalt
paving, curb and gutter to allow for improved drainage in the neighborhood and
new driveway approaches.

Public services - Subsidized Town-wide transit service for the Town's elderly who are
65 years and older and severely disabled adults, who are 21 years and older.

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o

Flower Mound does not currently have public transportation. This is a Town-wide
project to be carried out within the boundaries of the Town of Flower Mound,
Denton County, Texas. Approximately ten (10) known special needs persons will
be served. Town General Funds will be used to subsidize the service for those
riders who are not CDBG project participants.

DESCRIPTION OF ACTIVITIES
Many of the activities included in the goals and objectives in the previous section and on the
chart in the Executive Summary section on page 6 do not utilize CDBG funds. This section
describes all CDBG-funded programs and activities that will take place during the program
year to address the priority needs and specific objectives identified in the strategic plan
include the following:


Residential Rehabilitation Program ($135,975): The Town is starting a Residential
Rehabilitation Program in Plan Year 2012. The Town-wide Program is based upon
cumulative gross annual income(s) (as determined using CDBG Technical Guide for
Determining Income) to be carried out within the boundaries of the Town of Flower
Mound, Denton County, Texas. The goals of the Program are to expand the supply of
decent, safe, sanitary and affordable housing, to correct health and safety hazards in
deteriorated housing and to extend the useful life of existing housing units. In
addition to direct rehabilitation costs, the budgeted amount of $135,975 includes
Program administration and delivery costs, such as developing an internal cost
estimate and onsite progress inspections. This is to assist with the daily operations of
the Program.
Priority Need: Housing
Objective Number: DH3-(1) CD4.d.
Objective Category: Decent Housing
Outcome Category: Affordability
Project ID: 0004
HUD Matrix Code: 14A (Rehab; Single-Unit Residential)
CDBG Citation: 570.202
Type of Recipient: Housing Units
CDBG National Objective: LMH
Start Date: 10/01/2012
Completion Date: 09/30/2013
Performance Indicator: Number of owner-occupied units rehabilitated
Annual Units: 1
Units upon Completion: 1
Funding Sources: CDBG



Planning and Program Administration ($30,000): Administration costs of the CDBG
Program, including contract administration, publication of public notices, and
software for the Residential Rehabilitation Program, salaries, office equipment and
supplies, planning, monitoring, and all other related expenses.
Priority Need: Planning/Administration
Objective Number: CD4.a.
Objective Category: N/A
Outcome Category: N/A
Project ID: 0001
HUD Matrix Code: 21A (General Program Administration)

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CDBG Citation: 570.206 (a) (1)
Type of Recipient: None
CDBG National Objective: N/A
Start Date: 10/01/2012
Completion Date: 09/30/2013
Performance Indicator: N/A
Annual Units: N/A
Units upon Completion: N/A
Funding Sources: CDBG


Sunrise Circle Estates (As of March 31, 2012, $402,576.96 of unspent CDBG funds
allocated to Flower Mound from Plan Years 2010 and 2011) - Provide street
improvements in the Sunrise Circle Estates neighborhood located in Census Tract
0203.03 Block Group 3. Flower Mound anticipates completing construction of street
improvements for Sunrise Circle Street by the end of December 2012.
The
completed project includes new concrete streets replacing the existing asphalt paving
and curb and gutter to allow for improved drainage in the neighborhood and new
driveway approaches. Upon completion of construction, there will be no remaining
paving and associated storm sewer improvements necessary in the Flower Mound
portion of the subdivision. Town Council approved the use of funds from the Street
Maintenance-Sales Tax Fund on January 19, 2012 to complete this project. No Plan
Year 2012 funds will be used. Remaining unspent CDBG funds from prior plan years
as well as funds from the Street Maintenance-Sales Tax Fund will be used to
complete this project.
Priority Need: Public Facility & Improvements
Objective Number: SL1-(1) CD4.b.
Objective Category: Suitable Living Environment
Outcome Category: Availability/Accessibility
Project ID: 0002
HUD Matrix Code: 03K (Street Improvements)
CDBG Citation: 570.201 (c)
Type of Recipient: None
CDBG National Objective: 570.208(a) (1) Low-Mod Area Benefit
Start Date: 10/01/2011
Completion Date: 09/30/2012
Performance Indicator: People
Annual Units: Multi-year project
Units upon Completion: 533 people
Funding Sources: CDBG



Town-wide Transit Service ($20,000) - Subsidize the increase in cost in Town-wide
transit service for the number of Town's elderly who are 65 years and older and
severely disabled adults who are 21 years and older. The Town will contract with
Special Programs for Aging Needs to provide the service. Flower Mound General
Funds will be used to provide services for those riders who are not CDBG project
participants.
Priority Need: Public Services
Objective Number: SL1-(2) CD4.c.
Objective Category: Suitable Living Environment
Outcome Category: Availability/Accessibility
Project ID: 0003

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HUD Matrix Code: 05 (Public Services- General)
CDBG Citation: 570.201(e)
Type of Recipient: Sub recipient
CDBG National Objective: 570.208(a)(2)(A) Low-Mod Limited Clientele Benefit
Start Date: 10/01/2012
Completion Date: 09/30/2013
Performance Indicator: People
Annual Units: 10
Units upon Completion: 10
Funding Sources: CDBG
GEOGRAPHIC DISTRIBUTION/ALLOCATION PRIORITIES
To the extent that limited funds are available, the Town of Flower Mound makes every effort
to ensure that all its citizens of low and moderate-income benefit from these programs.
During the year, assistance will be directed to:


Residential Rehabilitation Program – This is a Town-wide program based upon
cumulative gross annual income(s) (as determined using CDBG Technical Guide for
Determining Income) to be carried out within the boundaries of the Town of Flower
Mound, Denton County, Texas. Approximately one home will be rehabilitated during
the first year of the program.



Sunrise Circle Estates - This residential neighborhood is located on the far west side
of Town bordered by Stonecrest Road on the west and State Highway 377 on the
east. Assistance will be directed to Census Tract 0203.03 Block Group 3. A map of
the area is included as an attachment.



Town-wide Transportation - This is a Town-wide project to be carried out within the
boundaries of the Town of Flower Mound, Denton County, Texas. Approximately 10
Flower Mound elderly, 65 years and older, and severely disabled adults, 21 years and
older, will receive services. A map of the Town boundaries is attached.

Due to newly released HUD census data, Flower Mound will no longer be able to qualify the
Sunrise Circle Estates neighborhood (Census Tract 0203.03 Block Group 3) to spend CDBG
funds on. In order to complete the water, sewer, and street improvements that the Town
has been constructing in this neighborhood, Town Council approved the use of funds from
the Street Maintenance-Sales Tax Fund on January 19, 2012. Combined with the remaining
unspent CDBG funds from prior years, plans are in place to complete the Sunrise Circle
Estates project. Staff anticipates this project be completed by the end of calendar year
2012. While no Plan Year 2012 CDBG funds will be spent on Sunrise Circle, work will be
completed in Plan Year 2012, which is why the project has been included in the Plan Year
2012 Action Plan.
The annual plan development process included research and analysis, consultation with
public and private agencies, and citizen participation:


Research and analysis - Socioeconomic data, census data, geographic information
and other relevant quantitative information were researched and analyzed. Data
sources include Flower Mound's previous and Program Year 2005-2011 Housing and
Community Development Plans; Town policies, practices, procedures, and reports
involving housing and housing-related activities, Flower Mound's Master Plan
(amended in 2011), North Central Texas Council of Governments, U. S. Bureau of

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the Census, Texas Workforce Commission, Denton County Central Appraisal District,
and the U. S. Department of Housing and Urban Development.


Consultation with public and private agencies - The Town consulted with (1) housing
service agencies, including Denton Affordable Housing Agency and Denton County
Housing Finance Corporation, (2) social service agencies, including Denton County
Friends of the Family, Children's Advocacy Center for Denton County, PediPlace,
Communities in Schools of North Texas, Hope, Inc., Youth and Family Counseling,
the YMCA, Boys and Girls Clubs of North Texas, and the Christian Community Action
Agency, (3) health and lead-based paint services, including the Texas Department of
State Health Services, and the Department of Assistive and Rehabilitative Services,
(4) homeless services, including the Salvation Army and the Denton County
Homeless Coalition, (5) adjacent governments, including the cities of Denton and
Lewisville, (6) organizations that provide housing and supportive services to special
needs populations, including Special Programs for Aging Needs, and Day Stay for
Adults, and (7) metro planning agencies, including United Way.



Citizen participation – See details in the Citizen Participation section on pages 7 and
8.

ANNUAL AFFORDABLE HOUSING GOALS
The Town of Flower Mound’s Residential Rehabilitation Program will begin in Plan Year 2012.
The program is designed to expand the supply of decent, safe, sanitary and affordable
housing, to correct health and safety hazards in deteriorated housing, and to extend the
useful life of existing housing units. In order to be eligible for the Residential Rehabilitation
Program, the cumulative gross annual income(s) (as determined using CDBG Technical
Guide for Determining Income) for all persons age 18 years and over, occupying the
residence must not exceed 80% of the county’s median income as published annually by the
U.S. Department of Housing and Urban Development (HUD).
Because this is the first year of the Residential Rehabilitation Program, the goal for total
number of rehabilitations in PY 2012 will be one home. If enough funds remain after the
first home’s rehabilitation is complete, staff will consider rehabilitating a 2nd home.
In addition to the Residential Rehabilitation Program, the Town is in constant contact with
service providers who provide the necessary resources for low and moderate income
persons, minorities, non-English speaking persons, and persons with disabilities to obtain
affordable housing including:


The Denton County Housing Finance Corporation is a not-for-profit corporation
created pursuant to the Texas Housing Finance Corporation Act. This agency assists
families with low and moderate incomes to obtain below market interest rate
mortgage loans and down payment assistance through local lenders. State Revenue
Mortgage Bond financing and Community Investment Funds through the Federal
Home Loan Bank Board are among the loan products available for low income
families and/or first-time homebuyers. Representatives from local banks are invited
to and often attend the Community Outreach Committee meetings.



Flower Mound has numerous lending institutions, including national branches of
some of the largest banks in the nation. As such, their Community Reinvestment Act
commitment to low and moderate-income applications, specifically minorities,
females, and those in neighborhoods historically redlined, exceeds that of smaller

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lenders. Their commitment includes utilizing below-market-rate loans and in some
cases, down-payment assistance that can be used in any sector of Flower Mound.
Bank representatives are invited to and often attend Flower Mound’s Community
Outreach Committee.
PUBLIC HOUSING
Flower Mound currently has no public housing.
HOMELESS AND SPECIAL NEEDS
Sources of Funds - The Town of Flower Mound participates in the Denton County Homeless
Coalition which received a consolidated $609,336 Continuum of Care Grant award in
December 2011 from the U. S. Department of Housing and Urban Development. These
funds will be used to continue providing transitional and permanent supportive housing to
qualifying Denton County residents. The Salvation Army and the Christian Community
Action Agency also offer homeless services to the Flower Mound area. In 2005, Flower
Mound’s Town Council passed a resolution appointing the Grants Manager as the Town’s
representative to the Denton County Homeless Coalition and further authorizing the Town’s
participation in the development of a 10-year plan to end chronic homelessness. In 2011,
Flower Mound’s Town Council passed a resolution to educate the public about hunger and
the homeless population; to recognize the efforts that the Denton County Homeless
Coalition members are taking to address these vital issues; and to encourage support for all
those who provide resources and services to the hungry and homeless. These resolutions
reinforce Flower Mound’s commitment to participate in efforts to assist the homeless and
potentially homeless in our community.
Homelessness - The Town's strategy to address the needs of homeless and the needs of
persons who are not homeless but require supportive help is to identify and partner with
those community agencies that have the resources to provide the necessary services, to
maintain an awareness of the level of need, and to address specific needs as they are
identified. Flower Mound has made substantial efforts to identify and locate chronically
homeless. A member of the Town’s Grants Administration staff is actively participating in
the Continuum of Care’s the writing of the next 10-year plan to end chronic homelessness.
In 2011 the Denton County Homeless Coalition conducted a count of homeless persons
throughout Denton County. No homeless were identified during the counts or through other
resources. Potential obstacles to completing these action steps include a reduction in
funding available to the Denton County Homeless Coalition, the Salvation Army, and the
Christian Community Action Agency.
Chronic Homelessness - Flower Mound Staff will continue to participate in the Denton
County Homeless Coalition over the next year. This network of providers serves as a
catalyst for developing and providing needed services to those individuals and families who
are homeless or at risk of homelessness in the county. Barriers to achieving this would
include a lack of funding sources available to the Coalition.
Homelessness Prevention - The Town will serve as a referral source for individuals and
families with children at imminent risk of becoming homeless. Town staff will identify and
contact providers who offer the services needed by the individuals and families.
Discharge Coordination Policy - The Denton County Homeless Coalition’s inquiry into current
discharge policies of area institutions raised awareness that current discharge policies are
widespread and varies significantly. To increase visibility and support for a countywide

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approach to coordinated discharge practices, the Coalition’s steering committee decided to
include discharge planning as a component of Denton County’s ten-year plan to end chronic
homelessness.
Housing and Supportive Service Needs of Persons who are not homeless - Special needs
populations include 5.6% of the total population who are elderly, and 6.5% of the total
population who are persons with disabilities. Priorities and specific objectives Flower Mound
hopes to achieve for this sub-population are as follows:


The Town provides a $100,000 homestead exemption for those disabled who have
been declared "disabled" by the Social Security Administration and are unable to
work. Our goal is to maintain this exemption.



All public buildings are constructed with handicapped access and will continue to be
maintained.



Town-wide transportation service funded by the Town and CDBG is provided for the
Town's elderly who are 65 years old and older and severely disabled adults who are
21 years old and older on a call-in basis and is handicapped accessible. Based on
available funding, the Town plans to continue to offer this service.
Flower Mound increased the exempted amount of the appraised value of residence
homesteads of individuals 65 years of age or older to $100,000. Our goal is to
maintain this exemption.





Town staff will continue to liaison with agencies providing services which meet the
needs of this population.

Flower Mound General Funds, CDBG, Texas Department of Transportation, Health and
Human Services, and other state and federal funds are expected to be available to be used
to address these needs for the period covered by the Annual Plan.
BARRIERS TO AFFORDABLE HOUSING
During 2010, Flower Mound conducted an Analysis of Impediments to Fair Housing Choice.
In February 2012, the Fair Housing Committee met and prepared a Status Report which
serves as an annual update to the Analysis of Impediments to Fair Housing Choice
(Attached). No overt barriers to fair housing choice were identified in the analysis or status
report. However, the report did note that the Town will benefit by certain activities to help
ensure that unanticipated barriers do not develop.
To address the identified issues and ensure that unanticipated barriers do not develop in the
future, the Town will benefit by:


The SMARTGrowth Commission continuing its periodic review of development criteria
to help mitigate the ill effects of overcrowding and congestion, including
overburdened infrastructure, facilities, and services;



The Fair Housing Committee continuing its routine review of the Town’s zoning and
subdivision ordinances, building codes and impact fees; and when necessary,
bringing any potential impediments to the attention of management and the Town
Council;

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

The Economic Development Department working closely with the Chamber of
Commerce to provide business and retention development programs with incentives
for economic development.



The Financial Services Department continuing to foster partnerships with community
agencies established to provide the necessary resources for affordable housing.
Services should be targeted to those areas where larger percentages of low and
moderate-income families reside and to identified populations in need of services
such as the elderly, youth, and female householders living below the poverty level
with children and no husband present.



The Community Services Department ensuring that residents living in those Census
Tracts with a high percentage of poverty level incomes are made aware of job
training and job search workshop opportunities at the Library.

OTHER ACTIONS
Actions that will address obstacles to meeting underserved needs
To address obstacles to meeting underserved needs during the next year, Flower Mound will
use CDBG funds for planning and administration, housing rehabilitation, and public services:
a) $30,000 - To provide for the use of planning and program administrative costs.
Activities will include conducting contract administration, publication of public
notices, software for the Residential Rehabilitation Program, salaries, office
equipment and supplies, planning, monitoring, and all other related expenses.
b) $135,975 - To provide for a housing rehabilitation program. The program is designed
to expand the supply of decent, safe, sanitary and affordable housing, to correct
health and safety hazards in deteriorated housing and to extend the useful life of
existing housing units. Grants are available to achieve cost-effective repairs for lowincome households within the Town of Flower Mound. In addition to direct
rehabilitation costs, the budgeted amount of $135,975 includes Program
administration and delivery costs, such as developing an internal cost estimate and
onsite progress inspections. This is to assist with the daily operations of the Program.
c) $20,000 - To provide for community services and social service’s needs. CDBG funds
will be used to subsidize call-in transportation services to the Town's elderly over the
age of 65 and severely handicapped adults over the age of 21 on a Town-wide basis.
Special Programs for Aging Needs (SPAN) will continue to be the Town’s provider.
Flower Mound General Funds will be used to provide services for those riders who are
not CDBG project participants.
Federal, state, and local resources expected to be made available to address the needs
identified in the plan are discussed in detail above in the Executive Summary. In addition to
private lending institutions, Flower Mound General Funds, area service providers, and
federal and state grants, the Denton Housing Authority is funded by HUD and offers Section
8 rental assistance, homebuyer’s club and family self-sufficiency for the Denton County
area. Flower Mound is also a member of the Denton County Homeless Coalition. The
Coalition received a consolidated $609,336 Continuum of Care Grant award in December
2011 from the U. S. Department of Housing and Urban Development to continue the
provision of transitional and permanent supportive housing, and to continue the provision of
Denton County’s Homeless Management Information System.

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Foster and maintain affordable housing
Housing priorities and objectives Flower Mound hopes to achieve during the next year
include starting a Residential Rehabilitation Program, leveraging funds to supplement scarce
resources, facilitating the availability of affordable housing for disabled and senior citizens,
and fostering a balanced tax base:


Residential Rehabilitation Program - Based on citizen input and direction from Town
Council, Flower Mound is starting a Residential Rehabilitation Program. The program
is designed to assist low and moderate income homeowners in Flower Mound with
the rehabilitation of their single-family, owner-occupied houses in order to expand
the supply of decent, safe, sanitary and affordable housing, to correct health and
safety hazards in deteriorated housing and to extend the useful life of existing
housing units.



Leveraging funds - The Town collaborates with the Denton County Homeless
Coalition, the Denton Housing Authority, the Denton County Housing Finance
Corporation, and local lending agencies. This collaboration is dedicated to providing
those services needed to increase the number of low and moderate-income residents
who become homeowners and to increasing available rental assistance for Flower
Mound residents. During the next year, Flower Mound will continue to liaison with
those service providers who are established to provide the necessary resources for
affordable housing.



Affordable housing for the disabled and senior citizens – In 2006, the Town increased
the exempted amount of appraised value of residence homesteads of the disabled
and individuals 65 years of age or older to $100,000. During 2012, this increase will
affect approximately 2,135 property accounts. The total revenue loss of the Town
generated by the homestead exemptions will be approximately $936,387.70.
However, this is money the Town is willing to give up for its disabled and senior
residents who are living on a fixed income and may have trouble paying more taxes.



Fostering a balanced tax base - The current ratio of assessed residential taxable
values compared with assessed commercial taxable values is 78.97% residential to
19.84% commercial. The Town's Land Use Plan projects a build out percentage of
assessed residential taxable value to assessed commercial taxable value that is 64%
residential to 36% commercial. In 2011, 92 new businesses opened, creating
additional job opportunities for Flower Mound residents. Nature’s Best, a major
supplier of organic and health food products, opened a 305,000 square-feet regional
distribution center in Flower Mound. The company moved into the building in May
2011 and created 35 new jobs.



During the next year, Town staff will continue working closely with the Chamber of
Commerce to provide business and retention development programs with incentives
for economic development. This will help to ensure an increase in the number of
businesses locating to Flower Mound and result in a more balanced tax base and
increased local employment opportunities.

Lead-based paint
The Town of Flower Mound currently has one housing activity which is carried out through
the Community Development Block Grant. The Town of Flower Mound has no housing
activities which are carried out through programs such as HOME, Emergency Shelter Grant

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or Housing Opportunities for Persons with AIDS. In 2003, the Town formed a Lead-based
Paint Task Force to determine what activities need to be undertaken to reduce any existing
or potential lead-based paint hazards and ensure compliance with the Lead-based Paint
Hazard Reduction Act of September 15, 2000. During the year, the Task Force (a)
researched and analyzed Flower Mound's ordinances, laws, regulations, public policies,
practices, procedures, records and reports for any references to lead-based paint; (b)
identified the locations of the 859 houses in Flower Mound built before 1978; and (c)
obtained and developed educational materials about the dangers of lead-based paint. These
materials were made available for public access at Town Hall and posted on the Town's
website. Based on Task Force recommendations, the Town's Environmental Services
Division is identified as Flower Mound's point of contact for lead-based paint issues. This
Division will continue to maintain and update the supply of educational materials available
at Town Hall, as well as information on the Town website. For the Residential Rehabilitation
Program, occupants of units constructed prior to 1978 will receive proper notification of
Lead-Based Paint (LBP) hazards and all projects will be subject to implementation of the
Federal Lead Based Paint Regulations in accordance with the most recently published CDBG
grant management manual chapter on Lead-Based Paint.
Reduce the number of poverty-level families
Flower Mound's actions to reduce the number of poverty level families during the next year
include economic development, tax exemptions for the disabled and senior citizens,
leveraging resources, and serving as a referral source:


Economic development – Despite the fact that 3.1% of Flower Mound families live
below the poverty level, the Town’s December 2011 unemployment rate of 5.4% is
lower than Denton County’s 6.3%, the State’s 7.2%, and the Nation’s rate of 8.3%.
Flower Mound’s lower rate can be attributed to the Town’s proximity to numerous
major employers and educational institutions throughout the Dallas-Fort Worth area.
However, within Town limits, only 19.84% of the tax base is commercial. While
Flower Mound’s property, county and school taxes are among the lowest in the
surrounding area, 78.97% of the Town’s tax base is comprised of residential
development placing a disproportionate tax burden on homeowners. Community
efforts during the past few years have resulted in an increase in commercial
properties in Flower Mound. During the next year, Town staff will continue to work
closely with the Chamber of Commerce to provide business and retention
development programs with incentives for economic development. This will help to
ensure a continuing increase in the number of businesses locating in Flower Mound
and result in increased local employment opportunities.



Tax exemptions for the disabled and senior citizens - In 2011, the Town maintained
the exempted amount of the appraised value of residence homesteads of the
disabled and individuals 65 years of age or older at $100,000. During the next year,
our goal is to maintain the exemption.
During the year, this increase will affect
approximately 2,135 property accounts. The Town’s total revenue loss generated by
the homestead exemptions will be approximately $936,387.70. However, this is
money the Town is willing to give up for its disabled and senior residents who are
living on a fixed income and may have trouble paying more taxes.



Leveraging resources - Town staff will continue to liaison with community agencies
established to provide the necessary resources for affordable housing and other
needed services. These include the Denton Housing Authority which offers rental
assistance and self-sufficiency training; the Denton Workforce Center/Texas

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Workforce Commission which offers training and supportive services leading to
employment; the Texas Department of Housing and Community Affairs; and the
Denton County Housing Finance Corp. which offers homebuyer assistance. Other
service providers offering an array of needed services include the Christian
Community Action Agency, Day Stay for Adults, PediPlace, Children's Advocacy
Center, and Denton County Friends of the Family, Youth and Family Counseling, the
Salvation Army, Services Program for Aging Needs, and Court Appointed Special
Advocate of Denton County. In addition, the Town will continue to participate in the
Denton County Homeless Coalition.


Serving as a referral source - To help ensure those citizens needing services are
aware of available providers, Town staff will maintain established links to service
providers on the Town website. In addition, the Town will continue to post
information about available job training and job search workshop opportunities on
the Town's website, in the local newspaper, at the library, and on the Town's cable
television station.

These actions will assist in reducing the poverty level of Flower Mound families by increasing
local employment opportunities, reducing homeowner costs for senior citizens and the
disabled, and providing a referral network for those families seeking rental and other
assistance.
Institutional Structure
During the next year, the Town’s Budget & Grants Manager will continue to maintain open
communication with Town departments, Town citizens, public and private housing
programs, service agencies, and the U. S. Department of Housing and Urban Development
in order to gather information related to the following:


Progress on accomplishing activities, programs and projects specified in the
Consolidated Plan and 2012 Action Plan;



Proposals for new activities, programs and projects to be implemented which were
not specified in the Consolidated Plan;



Any changes in housing or community development needs; and,



Assistance needed to improve housing and community development activities,
including the preparation of grant applications.

In addition, Flower Mound will continue to expand membership in its Community Outreach
Committee.
This will help to increase citizen input and ensure effective, ongoing
relationships with those agencies that provide the necessary resources. The Community
Outreach Committee, the CDBG Advisory Committee, and the Fair Housing Committee will
continue to work together to help ensure that the primary objectives of the Community
Development Block Grant are carried out in Flower Mound.
Monitoring
The Town of Flower Mound has responsibility for overall Community Development Block
Grant performance and the Consolidated Plan compliance, including the performance of its
sub recipients. Flower Mound developed written monitoring procedures and guidelines
which incorporate the program and financial requirements set forth in HUD's regulations and

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its "Basically CDBG" handbook. The Budget & Grants Manager will conduct desk monitoring
of projects and activities undertaken with CDBG program funds, including sub recipients and
requirements involving the timeliness of expenditures. The Town Engineer will monitor
construction contract bidding, contracting and construction in the Sunrise Circle Estates
neighborhood funded with CDBG program funds. For construction-related projects in the
Sunrise Circle Estates neighborhood, the Town Engineer will ensure that the Davis-Bacon
Act and other Federal labor standards and regulations are met by the prime contractor and
all subcontractors. Weekly payroll reports of employee wage records and payments will be
monitored. On-site employee interviews will be conducted to verify compliance with the
Davis-Bacon Act. Minority business outreach will be conducted by sending local minority
contractors notices of bid requests. All construction contracts will include a Section 3
Certification as well as certification regarding lobbying and a certification regarding
debarment. Section 3 compliance by contractors will be monitored for projects over
$100,000. Rehabilitation program representatives are primarily responsible to assure that
the program is implemented in compliance with state and federal regulations in a timely and
responsible manner. This includes developing accurate and professional files, work writesups and contract documents. During and after completion of construction, the contractor’s
work is monitored for code compliance by the Building Inspector and for quality by the
Housing Specialist.
Flower Mound will coordinate with and provide support to other entities that either directly
or indirectly help in accomplishing Consolidated Plan goals locally. Organizations having
contractual agreements with Flower Mound will be monitored as outlined above. Other
entities contributing to Consolidated Plan endeavors, but not receiving CDBG funds from the
Town, will be supported and encouraged as appropriate. Town staff will participate in
coordination efforts among local health and social service providers to help further
Consolidated Plan goals and objectives.
Coordination between public and private agencies
During the next year, Flower Mound will continue to share information and leverage funds
with area public and private housing, health, and social service agencies. This will help to
ensure that access to needed services is available. Town staff will continue to liaison with
the Denton County Housing Authority, the Denton County Housing Finance Corporation, and
area lenders. Town staff will serve as a referral source to families with low and moderate
incomes to assist them in obtaining rental assistance or below market interest rate
mortgage loans and down payment assistance through local lenders. Additionally, the Town
will continue to maintain the links to housing rights, access groups, and other service
providers on the Flower Mound website. Town staff will continue to participate in the
Denton County Homeless Coalition and the drafting of its next ten year plan to end
homelessness. This organization includes a network of public and private housing, health,
and social service representatives throughout Denton County. The Coalition also applies for
and receives grants to serve Denton County's homeless and near-homeless population.
Flower Mound will also continue to expand its Community Outreach Committee, to identify
needs where gaps exist and areas where services overlap. In addition, Town staff will
continue to attend and participate in HUD-sponsored activities which are informative and
offer a ready network of Community Development Block Grant representatives and advisors.
Coordination between local and regional transportation agencies
In order to better coordinate the Town’s housing strategy with local and regional
transportation planning agencies to ensure to the extent practicable that residents of
affordable housing have access to public transportation, the Town contracts with Special

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Programs for Aging Needs (SPAN) to provide local transportation for Town citizens who are
age 65 or older and citizens with verifiable disabilities that prevent them from driving. SPAN
is a nonprofit organization that serves as an advocate to elderly persons and provides
certain core services, which enable seniors to remain in their home and/or be active as
possible. The core services SPAN provides are transportation, congregate meals served at
senior centers, home-delivered meals delivered to home-bound frail elderly, and emergency
response. SPAN currently operates the transit system in rural Denton County which includes
commuter express and demand response service.
Program Income
No program income is expected to be received during the year.
Flower Mound received no program income in Plan Year 2011.
Flower Mound does not expect to receive any proceeds from Section 108 loan guarantees.
Flower Mound does not expect to receive any surplus funds from any urban renewal
settlements for community development and housing activities.
Flower Mound does not expect any grant funds to be returned to the line of credit for which
the planned use has not been included in a prior statement or plan.
Flower Mound does not expect any income from float-funded activities.
Flower Mound does not expect any income from urgent need activities.
Flower Mound estimates that 84% of CDBG funds will be used for activities that benefit
persons of low and moderate income, while the remaining 16% of CDBG funds will be used
for Planning and Administration Activities.
HOME/ American Dream Down payment Initiative (ADDI)
Flower Mound does not receive HOME or ADDI funding.
Housing Opportunities for People with AIDS
Flower Mound does not receive HOPWA funding.
Emergency Shelter Grants (ESG)
Flower Mound does not receive ESG funding.

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CPMP Non-State Grantee
Certifications

Many elements of this document may be completed
electronically, however a signature must be manually applied and the document
must be submitted in paper form to the Field Office.
This certification does not apply.
This certification is applicable.
NON-STATE GOVERNMENT CERTIFICATIONS
In accordance with the applicable statutes and the regulations governing the consolidated
plan regulations, the jurisdiction certifies that:
Affirmatively Further Fair Housing -- The jurisdiction will affirmatively further fair housing, which means it
will conduct an analysis of impediments to fair housing choice within the jurisdiction, take appropriate actions to
overcome the effects of any impediments identified through that analysis, and maintain records reflecting that
analysis and actions in this regard.
Anti-displacement and Relocation Plan -- It will comply with the acquisition and relocation requirements of
the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended, and
implementing regulations at 49 CFR 24; and it has in effect and is following a residential antidisplacement and
relocation assistance plan required under section 104(d) of the Housing and Community Development Act of
1974, as amended, in connection with any activity assisted with funding under the CDBG or HOME programs.
Drug Free Workplace -- It will or will continue to provide a drug-free workplace by:
1. Publishing a statement notifying employees that the unlawful manufacture, distribution, dispensing,
possession, or use of a controlled substance is prohibited in the grantee's workplace and specifying the
actions that will be taken against employees for violation of such prohibition;
2. Establishing an ongoing drug-free awareness program to inform employees about –
a. The dangers of drug abuse in the workplace;
b. The grantee's policy of maintaining a drug-free workplace;
c. Any available drug counseling, rehabilitation, and employee assistance programs; and
d. The penalties that may be imposed upon employees for drug abuse violations occurring in the
workplace;
3. Making it a requirement that each employee to be engaged in the performance of the grant be given a copy
of the statement required by paragraph 1;
4. Notifying the employee in the statement required by paragraph 1 that, as a condition of employment under
the grant, the employee will –
a. Abide by the terms of the statement; and
b. Notify the employer in writing of his or her conviction for a violation of a criminal drug statute
occurring in the workplace no later than five calendar days after such conviction;
5. Notifying the agency in writing, within ten calendar days after receiving notice under subparagraph 4(b)
from an employee or otherwise receiving actual notice of such conviction. Employers of convicted
employees must provide notice, including position title, to every grant officer or other designee on whose
grant activity the convicted employee was working, unless the Federal agency has designated a central
point for the receipt of such notices. Notice shall include the identification number(s) of each affected
grant;
6. Taking one of the following actions, within 30 calendar days of receiving notice under subparagraph 4(b),
with respect to any employee who is so convicted –
a. Taking appropriate personnel action against such an employee, up to and including termination,
consistent with the requirements of the Rehabilitation Act of 1973, as amended; or
b. Requiring such employee to participate satisfactorily in a drug abuse assistance or rehabilitation
program approved for such purposes by a Federal, State, or local health, law enforcement, or other
appropriate agency;
7. Making a good faith effort to continue to maintain a drug-free workplace through implementation of
paragraphs 1, 2, 3, 4, 5 and 6.

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Anti-Lobbying -- To the best of the jurisdiction's knowledge and belief:
8. No Federal appropriated funds have been paid or will be paid, by or on behalf of it, to any
person for influencing or attempting to influence an officer or employee of any agency, a Member
of Congress, an officer or employee of Congress, or an employee of a Member of Congress
in connection with the awarding of any Federal contract, the making of any Federal grant, the making of
any Federal loan, the entering into of any cooperative agreement, and the extension,
continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or
cooperative agreement;
9. If any funds other than Federal appropriated funds have been paid or will be paid to any
person for influencing or attempting to influence an officer or employee of any agency, a Member of
Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with
this Federal contract, grant, loan, or cooperative agreement, it will complete and submit Standard FormLLL, "Disclosure Form to Report Lobbying," in accordance with
its instructions; and
10. It will require that the language of paragraph 1 and 2 of this anti-lobbying certification be
included in the award documents for all subawards at all tiers (including subcontracts, subgrants,
and contracts under grants, loans, and cooperative agreements) and that all
subrecipients shall certify and disclose accordingly.
Authority of Jurisdiction -- The consolidated plan is authorized under State and local law (as applicable) and
the jurisdiction possesses the legal authority to carry out the programs for which it is seeking funding, in
accordance with applicable HUD regulations.
Consistency with plan -- The housing activities to be undertaken with CDBG, HOME, ESG, and HOPWA funds
are consistent with the strategic plan.
Section 3 -- It will comply with section 3 of the Housing and Urban Development Act of 1968, and
implementing regulations at 24 CFR Part 135.

08/06/2012
Signature/Authorized Official

Date

Thomas E. Hayden
Name
Mayor
Title
2121 Cross Timbers Rd.
Address
Flower Mound, TX. 75028
City/State/Zip
972-874-6070
Telephone Number

25

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This certification does not apply.
This certification is applicable.

Specific CDBG Certifications
The Entitlement Community certifies that:
Citizen Participation -- It is in full compliance and following a detailed citizen participation plan that satisfies
the requirements of 24 CFR 91.105.
Community Development Plan -- Its consolidated housing and community development plan identifies
community development and housing needs and specifies both short-term and long-term community
development objectives that provide decent housing, expand economic opportunities primarily for persons of
low and moderate income. (See CFR 24 570.2 and CFR 24 part 570)
Following a Plan -- It is following a current consolidated plan (or Comprehensive Housing Affordability
Strategy) that has been approved by HUD.
Use of Funds -- It has complied with the following criteria:
11. Maximum Feasible Priority - With respect to activities expected to be assisted with CDBG funds, it certifies
that it has developed its Action Plan so as to give maximum feasible priority to activities which benefit low
and moderate income families or aid in the prevention or elimination of slums or blight. The Action Plan
may also include activities which the grantee certifies are designed to meet other community development
needs having a particular urgency because existing conditions pose a serious and immediate threat to the
health or welfare of the community, and other financial resources are not available);
12. Overall Benefit - The aggregate use of CDBG funds including section 108 guaranteed loans during program
year(s) 2012, 2
,2
, (a period specified by the grantee consisting of one, two, or three specific
consecutive program years), shall principally benefit persons of low and moderate income in a manner that
ensures that at least 70 percent of the amount is expended for activities that benefit such persons during
the designated period;
13. Special Assessments - It will not attempt to recover any capital costs of public improvements assisted with
CDBG funds including Section 108 loan guaranteed funds by assessing any amount against properties
owned and occupied by persons of low and moderate income, including any fee charged or assessment
made as a condition of obtaining access to such public improvements.
However, if CDBG funds are used to pay the proportion of a fee or assessment that relates to the capital
costs of public improvements (assisted in part with CDBG funds) financed from other revenue sources, an
assessment or charge may be made against the property with respect to the public improvements financed
by a source other than CDBG funds.
The jurisdiction will not attempt to recover any capital costs of public improvements assisted with CDBG
funds, including Section 108, unless CDBG funds are used to pay the proportion of fee or assessment
attributable to the capital costs of public improvements financed from other revenue sources. In this case,
an assessment or charge may be made against the property with respect to the public improvements
financed by a source other than CDBG funds. Also, in the case of properties owned and occupied by
moderate-income (not low-income) families, an assessment or charge may be made against the property
for public improvements financed by a source other than CDBG funds if the jurisdiction certifies that it lacks
CDBG funds to cover the assessment.
Excessive Force -- It has adopted and is enforcing:
14. A policy prohibiting the use of excessive force by law enforcement agencies within its jurisdiction against
any individuals engaged in non-violent civil rights demonstrations; and
15. A policy of enforcing applicable State and local laws against physically barring entrance to or exit from a
facility or location which is the subject of such non-violent civil rights demonstrations within its jurisdiction;

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Compliance With Anti-discrimination laws -- The grant will be conducted and administered in conformity
with title VI of the Civil Rights Act of 1964 (42 USC 2000d), the Fair Housing Act (42 USC 3601-3619), and
implementing regulations.
Lead-Based Paint -- Its activities concerning lead-based paint will comply with the requirements of part 35,
subparts A, B, J, K and R, of title 24;
Compliance with Laws -- It will comply with applicable laws.

08/06/2012
Signature/Authorized Official

Date

Thomas E. Hayden
Name
Mayor
Title
2121 Cross Timbers Rd.
Address
Flower Mound, TX. 75028
City/State/Zip
972-874-6070
Telephone Number

27

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This certification does not apply.
This certification is applicable.
OPTIONAL CERTIFICATION
CDBG

Submit the following certification only when one or more of the activities in the action
plan are designed to meet other community development needs having a particular
urgency as specified in 24 CFR 570.208(c):
The grantee hereby certifies that the Annual Plan includes one or more specifically identified CDBGassisted activities, which are designed to meet other community development needs having a
particular urgency because existing conditions pose a serious and immediate threat to the health or
welfare of the community and other financial resources are not available to meet such needs.

Signature/Authorized Official

Date

Name
Title
Address
City/State/Zip
Telephone Number

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This certification does not apply.
This certification is applicable.

Specific HOME Certifications
The HOME participating jurisdiction certifies that:
Tenant Based Rental Assistance -- If the participating jurisdiction intends to provide tenant-based rental
assistance:
The use of HOME funds for tenant-based rental assistance is an essential element of the participating
jurisdiction's consolidated plan for expanding the supply, affordability, and availability of decent, safe,
sanitary, and affordable housing.
Eligible Activities and Costs -- it is using and will use HOME funds for eligible activities and costs, as
described in 24 CFR § 92.205 through 92.209 and that it is not using and will not use HOME funds for
prohibited activities, as described in § 92.214.
Appropriate Financial Assistance -- before committing any funds to a project, it will evaluate the project in
accordance with the guidelines that it adopts for this purpose and will not invest any more HOME funds in
combination with other Federal assistance than is necessary to provide affordable housing;

Signature/Authorized Official

Date

Name
Title
Address
City/State/Zip
Telephone Number

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This certification does not apply.
This certification is applicable.

HOPWA Certifications
The HOPWA grantee certifies that:
Activities -- Activities funded under the program will meet urgent needs that are not being met by available
public and private sources.
Building -- Any building or structure assisted under that program shall be operated for the purpose specified in
the plan:
1.

For at least 10 years in the case of assistance involving new construction, substantial rehabilitation, or
acquisition of a facility,

2.

For at least 3 years in the case of assistance involving non-substantial rehabilitation or repair of a building
or structure.

Signature/Authorized Official

Date

Name
Title
Address
City/State/Zip
Telephone Number

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This certification does not apply.
This certification is applicable.
ESG Certifications
I,
, Chief Executive Officer of Error! Not a valid link., certify that the local
government will ensure the provision of the matching supplemental funds required by the
regulation at 24 CFR 576.51. I have attached to this certification a description of the
sources and amounts of such supplemental funds.
I further certify that the local government will comply with:
1. The requirements of 24 CFR 576.53 concerning the continued use of buildings for which
Emergency Shelter Grants are used for rehabilitation or conversion of buildings for use
as emergency shelters for the homeless; or when funds are used solely for operating
costs or essential services.
2. The building standards requirement of 24 CFR 576.55.
3. The requirements of 24 CFR 576.56, concerning assurances on services and other
assistance to the homeless.
4. The requirements of 24 CFR 576.57, other appropriate provisions of 24 CFR Part 576,
and other applicable federal laws concerning nondiscrimination and equal opportunity.
5. The requirements of 24 CFR 576.59(b) concerning the Uniform Relocation Assistance
and Real Property Acquisition Policies Act of 1970.
6. The requirement of 24 CFR 576.59 concerning minimizing the displacement of persons
as a result of a project assisted with these funds.
7. The requirements of 24 CFR Part 24 concerning the Drug Free Workplace Act of 1988.
8. The requirements of 24 CFR 576.56(a) and 576.65(b) that grantees develop and
implement procedures to ensure the confidentiality of records pertaining to any
individual provided family violence prevention or treatment services under any project
assisted with ESG funds and that the address or location of any family violence shelter
project will not be made public, except with written authorization of the person or
persons responsible for the operation of such shelter.
9. The requirement that recipients involve themselves, to the maximum extent practicable
and where appropriate, homeless individuals and families in policymaking, renovating,
maintaining, and operating facilities assisted under the ESG program, and in providing
services for occupants of these facilities as provided by 24 CFR 76.56.
10. The requirements of 24 CFR 576.57(e) dealing with the provisions of, and regulations
and procedures applicable with respect to the environmental review responsibilities
under the National Environmental Policy Act of 1969 and related authorities as specified
in 24 CFR Part 58.

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11. The requirements of 24 CFR 576.21(a)(4) providing that the funding of homeless
prevention activities for families that have received eviction notices or notices of
termination of utility services will meet the requirements that: (A) the inability of the
family to make the required payments must be the result of a sudden reduction in
income; (B) the assistance must be necessary to avoid eviction of the family or
termination of the services to the family; (C) there must be a reasonable prospect that
the family will be able to resume payments within a reasonable period of time; and (D)
the assistance must not supplant funding for preexisting homeless prevention activities
from any other source.
12. The new requirement of the McKinney-Vento Act (42 USC 11362) to develop and
implement, to the maximum extent practicable and where appropriate, policies and
protocols for the discharge of persons from publicly funded institutions or systems of
care (such as health care facilities, foster care or other youth facilities, or correction
programs and institutions) in order to prevent such discharge from immediately
resulting in homelessness for such persons. I further understand that state and local
governments are primarily responsible for the care of these individuals, and that ESG
funds are not to be used to assist such persons in place of state and local resources.
13. HUD’s standards for participation in a local Homeless Management Information
System (HMIS) and the collection and reporting of client-level information.
I further certify that the submission of a completed and approved Consolidated Plan with
its certifications, which act as the application for an Emergency Shelter Grant, is authorized
under state and/or local law, and that the local government possesses legal authority to
carry out grant activities in accordance with the applicable laws and regulations of the U. S.
Department of Housing and Urban Development.

Signature/Authorized Official

Date

Name
Title
Address
City/State/Zip
Telephone Number

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This certification does not apply.
This certification is applicable.

APPENDIX TO CERTIFICATIONS
Instructions Concerning Lobbying and Drug-Free Workplace Requirements
Lobbying Certification
This certification is a material representation of fact upon which reliance was placed when this transaction was
made or entered into. Submission of this certification is a prerequisite for making or entering into this
transaction imposed by section 1352, title 31, U.S. Code. Any person who fails to file the required certification
shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure.
Drug-Free Workplace Certification
1. By signing and/or submitting this application or grant agreement, the grantee is providing the certification.
2. The certification is a material representation of fact upon which reliance is placed when the agency awards
the grant. If it is later determined that the grantee knowingly rendered a false certification, or otherwise
violates the requirements of the Drug-Free Workplace Act, HUD, in addition to any other remedies available
to the Federal Government, may take action authorized under the Drug-Free Workplace Act.
3. Workplaces under grants, for grantees other than individuals, need not be identified on the certification. If
known, they may be identified in the grant application. If the grantee does not identify the workplaces at
the time of application, or upon award, if there is no application, the grantee must keep the identity of the
workplace(s) on file in its office and make the information available for Federal inspection. Failure to
identify all known workplaces constitutes a violation of the grantee's drug-free workplace requirements.
4. Workplace identifications must include the actual address of buildings (or parts of buildings) or other sites
where work under the grant takes place. Categorical descriptions may be used (e.g., all vehicles of a mass
transit authority or State highway department while in operation, State employees in each local
unemployment office, performers in concert halls or radio stations).
5. If the workplace identified to the agency changes during the performance of the grant, the grantee shall
inform the agency of the change(s), if it previously identified the workplaces in question (see paragraph
three).
6. The grantee may insert in the space provided below the site(s) for the performance of work done in
connection with the specific grant: Place of Performance (Street address, city, county, state, zip code)
Check if there are workplaces on file that are not identified here. The certification with regard to the drugfree workplace is required by 24 CFR part 21.

Place Name

7.

Street

City

County

State

Zip

Definitions of terms in the Nonprocurement Suspension and Debarment common rule and Drug-Free
Workplace common rule apply to this certification. Grantees' attention is called, in particular, to the
following definitions from these rules: "Controlled substance" means a controlled substance in Schedules I
through V of the Controlled
Substances Act (21 U.S.C. 812) and as further defined by regulation (21 CFR 1308.11 through
1308.15); "Conviction" means a finding of guilt (including a plea of nolo contendere) or imposition of
sentence, or both, by any judicial body charged with the responsibility to determine violations of the
Federal or State criminal drug statutes; "Criminal drug statute" means a Federal or non-Federal criminal
statute involving the manufacture, distribution, dispensing, use, or possession of any controlled substance;
"Employee" means the employee of a grantee directly engaged in the performance of work under a grant,
including:
a. All "direct charge" employees;

33

Page 107 of 246

b.
c.

all "indirect charge" employees unless their impact or involvement is insignificant to the performance
of the grant; and
temporary personnel and consultants who are directly engaged in the performance of work under the
grant and who are on the grantee's payroll. This definition does not include workers not on the payroll
of the grantee (e.g., volunteers, even if used to meet a matching requirement; consultants or
independent contractors not on the grantee's payroll; or employees of subrecipients or subcontractors
in covered workplaces).

Note that by signing these certifications, certain documents must completed, in use, and on file for verification.
These documents include:
1. Analysis of Impediments to Fair Housing
2. Citizen Participation Plan
3. Anti-displacement and Relocation Plan

08/06/2012
Signature/Authorized Official

Date

Thomas E. Hayden
Name
Mayor
Title
2121 Cross Timbers Rd.
Address
Flower Mound, TX. 75028
City/State/Zip
972-874-6070
Telephone Number

34

Page 108 of 246

CITIZEN COMMENTS
Citizens will be provided 30 business days to comment on the One-Year Action
Plan. During the comment period a copy of the Plan will be posted on the Town
web page at www.flower-mound.com, at the Town Library, 3030 Broadmoor
Lane, and at Town Hall, 2121 Cross Timbers Road. A Public Hearing will be
held at Town Hall on June 12, 2012. Public notices announcing the Hearing
were issued two weeks prior to the Hearing date. Information about the Public
Hearing was published in the Denton Record-Chronicle, on the Denton Record
Chronicle’s website, posted at Town Hall, and on the Town’s website. No
comments were received.

35

Page 109 of 246

Qualifying Areas in Flower Mound

0203.032

0217.461

0203.072

Qualifying Areas in Flower Mound

Qualifying Block Groups
020303, Block Group 2

Data provided by
FM Grants Dept.
Map produced by
FM GIS Section.
________________
_______________

NAD 1983 State Plane
(Zone 4202)
Texas North Central
Lambert Conformal Conic

Contact Information
(972) 874-6058,
6057 or 6056
[email protected]

0

²
0.3

0.6

April 2012

1.2

020307, Block Group 2
Information Technology

021722, Block Group 1
021746, Block Group 1

GIS
1.8
Miles

Town Boundary

Qualifying Areas in Flower Mound

0217.221

ArcMap\CommunityAffairs\Grants\Community Development Block Grant\QualifyingAreasInFlowerMound

Page 110 of 246

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GARDEN RIDGE

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Area Thoroughfares

LONG PRAIRIE

OLD SETTLERS

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TIM
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BRI DLE

RED ROCK

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SHILOH

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FLOWER MOUND FL OW

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PA

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April 2012

Information Technology

L

Area Thoroughfares

Contact Information
972) 874-6058,
6057 or 6056
[email protected]

NAD 1983 StatePlane
(Zone 4202)
Texas North Central
Lambert Conformal Conic

SIM MONS

MCKA MY C RE

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FM Street Dept.
Map produced by
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JUSTIN

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SHILOH

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JUSTIN

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377

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Area Thoroughfares

Page 111 of 246

Census Block Groups in Flower Mound
0203.091

0217.191

0217.192

0215.053
0217.201

0217.471

0217.202

0217.462

0203.032
0217.491
0217.461

0217.492

0203.072

0217.211

0217.175
0217.212

0217.472
0217.481

0217.222

0217.482

0203.071

0217.221

0203.053

0217.512
0217.502

0217.511

0217.521

0217.251
0217.252

0217.261

Qualifying Areas in Flower Mound

Data provided by
FM Grants Dept.
Map produced by
FM GIS Section.
________________
_______________
Contact Information
(972) 874-6058,
6057 or 6056
[email protected]
0

NAD 1983 State Plane
(Zone 4202)
Texas North Central
Lambert Conformal Conic

²

April 2012

0.5

1

Information Technology

0217.271

2
Miles

0217.241
0217.262

0217.231

0217.243
0217.291

0217.272

0217.282

0203.054
1137.032

GIS

0217.421

0217.292

0217.532
0217.531

0217.423

0217.242

0217.501

0217.522

0217.174

Qualifying Areas in Flower Mound

Sunrise Circle

0200.002

ArcMap\CommunityAffairs\Grants\Community Development Block Grant\CensusBlockGroupsinFlowerMound.mxd

Page 112 of 246

Sunrise Circle

Data provided by
FM Street Dept.
Map produced by
FM GIS Section.
_______________
________________
Contact Information
972) 874-6058,
6057 or 6056
[email protected]

NAD 1983 StatePlane
(Zone 4202)
Texas North Central
Lambert Conformal Conic

²

Streets
Information Technology

April 2012

0

GIS

0.05

0.1

Town Boundary

Sunrise Circle Estates
0.2
Miles

OAKRIDGE

SUNRISE
Sunrise Circle Estates

UNNAMED

77

Sunrise Circle

SMOOT

Sunrise Circle

HW
Y3

STONECREST

Western Pump Station Addition

ArcMap\CommunityAffairs\Grants\Community Development Block Grant\SunriseCircle

Page 113 of 246

Flower Mound
the DFW
Metroplex
TemplateinGuide
- font arial,
size 16

Aubrey

Denton
Frisco

Corinth
Argyle

Flower Mound

Coppell

Southlake

North Richland Hills

Bedford

Euless

Carrollton Addison Richardson
Farmers Branch

Grapevine

Colleyville

Plano

Lewisville

Irving
Mesquite

Dallas
Fort Worth

Grand Prairie

Data provided by
FM Street Dept.
Map produced by
FM GIS Section.
_______________
________________

DFW Metroplex

Contact Information
(972) 874-6058,
6057 or 6056
[email protected]

0

2.5

NAD 1983 State Plane
(Zone 4202)
Texas North Central
Lambert Conformal Conic

²
5

April 2012

Information Technology

GIS

10
Miles

ArcMap\CommunityAffairs\Grants\CommunityDevelopmentBlock Grant\DFWMetroplex

DFW Metroplex

Arlington

Page 114 of 246

Flower Mound Block Groups
0203.091

0217.192

0215.053
0217.201

0217.462

0217.491
0217.461

0217.492

0203.072

MORRISS RD

0203.032

0217.481

0203.071
0217.512
0217.502

0217.211

0217.175
0217.212

0217.222

0217.482
CROSS
TIMBER

0203.053

0217.202

0217.472

0217.511

0217.521

0217.501

0217.522

0217.221

S RD

0217.251

LONG PRAIRIE RD

HWY 377

0217.471

0217.242

0217.292

0

0.5

²
1

April 2012

Information Technology

0203.054
1137.032

GIS

2
Miles

0217.272

0217.282

RD

Contact Information
972) 874-6058,
6057 or 6056
[email protected]

NAD 1983 StatePlane
(Zone 4202)
Texas North Central
Lambert Conformal Conic

0217.271

LT
GERAU

Flower Mound Block Groups

Data provided by
FM GIS Dept.
Map produced by
FM GIS Section.
________________
_______________

0217.423
0217.421

0217.231
0217.241
0217.252
0217.243
0217.262
0217.291
0217.261

0217.532
0217.531

0217.174

Flower Mound Block Groups

0217.191
JUSTIN RD

0200.002

ArcMap\CommunityAffairs\Grants\Community Development Block Grant\FlowerMoundBlockGroups

Page 115 of 246

ANALYSIS OF IMPEDIMENTS TO FAIR HOUSING CHOICE
Town of Flower Mound, Texas
Status Report for Program Year 2011
Background
The Fair Housing Act, Section 104(b) (2), requires that recipients of Community
Development Block Grant funds certify to the Secretary of the
U. S. Department of Housing and Urban Development (HUD) that they are
affirmatively furthering fair housing. The Act defines fair housing choice as the
ability of persons, regardless of race, color, religion, sex, handicap, familial
status, or national origin, of similar income levels to have available to them the
same housing choices. The certification specifically requires grantees (Flower
Mound) to conduct a fair housing analysis, develop a fair housing plan, take
appropriate actions to overcome the effects of any impediments identified and
maintain records on the analysis, plan and actions. The grantee (Flower Mound)
must report to HUD on its actions to affirmatively further fair housing in the
annual performance report for its Consolidated Plan.
On July 19, 2010, the Town Council approved Flower Mound’s Consolidated
Plan for Housing and Community Development for Program Years 2010-2014.
This Plan was subsequently accepted by HUD, and includes an Analysis of
Impediments (AI) to Fair Housing Choice. The analysis examines a wide array of
issues, in order to identify and address any impediments to fair housing choice
within the Town of Flower Mound. The research and analysis for the AI Report
was conducted by Flower Mound’s Fair Housing Committee, which includes
representatives from the Town’s Financial Services, Building and Inspection
Services, Infrastructure Services, and Planning Services Departments.
While the analysis did not reveal any overt barriers to fair housing choice, the
report did identify several areas that may lead to unanticipated barriers in the
future. There is implicit recognition that:
1. Even though no barriers to fair housing choice were identified, the Town
recognizes that, in specific cases, zoning can create barriers. To guard
against this, the Town created a Strategically Managed and Responsible
Town Growth (SMARTGrowth) Commission, to review development
criteria and to ensure barriers do not occur in the future. In addition, the
Fair Housing Committee reviews Town policies, zoning, and ordinances,
to further verify that impediments to fair housing are not occurring;
2. As the Town population increases, the need for goods and services, as
well as jobs and a balanced property and sales tax base will also
increase;

Page 116 of 246

3. Town residents may not have easy access to fair housing information and
organizations; and,
4. To effectively facilitate affordable housing, resources must be available
and targeted to the specific need.
Each year the Fair Housing Committee meets to review the status of the Report
and determine if activities are being carried out as identified, or if any corrections,
changes, or additions to planned actions need to be made. To date, the
Committee has found that recommended activities are being carried out and no
changes are necessary. Each year the Committee’s Status Report is
incorporated into Flower Mound’s Annual Plan for the next year, which is
approved by the Town Council and accepted by HUD. The latest report was
incorporated into Flower Mound’s Program Year 2011 Annual Plan, which was
approved by the Town Council on July 18, 2011.
Status Report for Program Year 2011
During February 2012, the Fair Housing Committee conducted its annual review
of the status of the Analysis of Impediments to Fair Housing Choice Report.
Following are the identified activities, along with recent actions taken:
1.

Flower Mound’s SMARTGrowth Commission and/or Planning and Zoning
Commission continued their periodic review of development criteria to
help mitigate the ill effects of overcrowding and congestion, including
overburdened infrastructure, facilities, schools, and services.
Actions Taken:
 The Planning and Zoning Commission met regularly throughout the
year. The members used Flower Mound’s SMARTGrowth criteria
to ensure growth does not occur at the expense of environmental
quality, community character, or quality of life to the Town’s
residents. Commission members followed residential density
criterion and the Town’s Master Plan when reviewing residential
development requests, which allowed for a wide range of housing
opportunities.


The SMARTGrowth Commission also met throughout the year.
During 2011, the committee held four work sessions where the
members were given updates on the following components of
Town’s SMARTGrowth Program: the transportation component;
the Adequate Public Facilities component relative to park land,
access to trailheads or public recreation areas, and public
schools; the Adequate Public Infrastructure component of the

Page 117 of 246

including, but not limited to, water supply, water pumping capacity,
wastewater treatment capacity, wastewater lift station pumping
capacity, and wastewater interceptor capacity; and the Fire and
EMS components, in conjunction with the ten year anniversary of
the SMARTGrowth program.

2.



The SMARTGrowth Traffic Analysis is a comparison of the capacity
of surrounding roadways to the traffic generated by a proposed
development; when a roadway improvement has been made, the
improvements directly affect the results of the SMARTGrowth
analysis. All thoroughfare roadway improvement projects
constructed within the Town provide for improved roadway capacity
(ability to handle cars). Some additional recent projects include
Dixon, Garden Ridge, Spinks, Flower Mound Road,
Morriss/Gerault, and Kirkpatrick.



The Federal Bureau of Investigation (FBI) recently published the
annual “Crime in the United States” report, which identified
numerous favorable crime statistics for Flower Mound when
compared to cities of similar population within the State of Texas
and the nation. Most notably, the Town ranked state-wide as having
the fewest violent crimes, property crimes, and total reported
crimes within the Town’s population category, based upon the
overall number of reported crimes per resident. When compared
nationwide, Flower Mound was recognized as having the fifthlowest rate of property crimes and the sixth-lowest rate of violent
crimes and total reported crimes within the appropriate population
category, based upon the overall number of reported crimes per
resident. Based on the FBI report data, Flower Mound has the
lowest ranking in the State of Texas categories of Crime Rate per
Population, Total Reported Crime, Violent Crime, and Property
Crime.



In November 2010, Rainier Medical Investments broke ground on a
three-story, 84,000-square-foot, premium medical office building
attached to Texas Health Presbyterian Hospital in Flower Mound.

The Fair Housing Committee will continue its routine review of the
Town’s zoning and subdivision ordinances, building codes and impact
fees; and when necessary, bring any potential impediments to the
attention of management and the Town Council.
Actions Taken:


The Town’s Planning Services Division is represented on the Fair
Housing Committee. This Division reviews, administers and

Page 118 of 246

enforces Town codes and regulations pertaining to the
development of commercial and residential property through the
planning and zoning process. During the year, no impediments
were identified that needed to be brought to the attention of
management and the Town Council.

3.



The Town’s Building and Inspection Services Division is
represented on the Fair Housing Committee. This Division reviews
building codes and enforces building, electrical, plumbing and
mechanical code regulations within Flower Mound. Permits are
required before performing any new construction or any addition,
alteration or repair of existing buildings, structures, plumbing,
electrical or mechanical work. During the year, no impediments
were identified that needed to be brought to the attention of
management and the Town Council.



The Infrastructure Services Department is represented on the Fair
Housing Committee. This Department reviews impact fees and
provides planning, design review, implementation, quality control
and maintenance for the Town’s infrastructure system and
improvement projects. During the year, no impediments were
identified that needed to be brought to the attention of
management and the Town Council.

The Economic Development Department will work closely with the
Chamber of Commerce to provide business and retention development
programs, with incentives for economic development. This will help to
ensure an increase in the number of businesses locating in Flower
Mound and result in a more balanced tax base and increased local
employment opportunities.
Actions Taken:


The Town is a Diamond-level member of the Flower Mound
Chamber of Commerce, the highest level of membership the
Chamber offers and the only member at that level. Each year, the
Chamber hosts a luncheon featuring the Mayors of Flower Mound,
Lewisville and Highland Village providing a “State of the Cities”
address for the area businesses. The Chamber partners with the
Town, as well as neighboring Chambers, on a number of annual
events, such as “Unity in Communities.” Each year the Flower
Mound and Lewisville Area Chambers of Commerce and the
Highland Village Business Association honor the three Mayors,
along with area non-profit organizations that serve our
communities.

Page 119 of 246

4.



North Central Texas College held a dedication and grand opening
ceremony in January 2011 for its new Flower Mound campus. This
will bring affordable public higher education opportunities to Flower
Mound.



In January 2011, Kohler expanded its Flower Mound presence by
temporarily leasing 150,000 additional square-feet at Lakeside
Parkway in addition to their original 650,000 square-feet at Garden
Ridge Boulevard.



In May 2011, Wal-Mart neighborhood market applied for a permit to
occupy the anchor space in Lake Forest Plaza.



Flower Mound’s $100,000 homestead exemption for disabled and
senior citizens remains in effect, offering an opportunity for more
affordable housing.



Flower Mound issued 18 new commercial building permits during
the most recently ended fiscal year, and sales tax increased 5.8
percent over the prior fiscal year.



Nature’s Best, a major supplier of organic and health food products,
opened a 305,000 square-feet regional distribution center in Flower
Mound. Based in Brea, California, Nature’s Best is the country’s
largest privately-held distributer of health goods and related
products. The Flower Mound location is the company’s first fullservice distribution center outside of California. The company
moved into the building in May 2011 and created 35 new jobs.

The Community Relations Department and Financial Services
Department will continue to foster partnerships with community agencies,
which are established to provide the necessary resources for affordable
housing.
Services will be targeted to those areas where larger
percentages of low and moderate-income families reside, and to
populations identified as needing services, such as the elderly, youth,
and single householders living below the poverty level with children and
no spouse present.
Actions Taken:


Finance staff continues to serve as Flower Mound’s representative
to the Denton County Homeless Coalition. During the year, the
Grants Coordinator participated in multiple Coalition meetings with
area low and moderate-income service providers.

Page 120 of 246

5.



Flower Mound recently partnered with AARP Tax Aide to ensure
local seniors are receiving all the deductions and credits they are
entitled to on their taxes this year. Any resident 50 years of age or
older can utilize this free service throughout the tax season.



The Town of Flower Mound expanded Special Programs for Aging
Needs (SPAN) transportation services to include trips to a place of
employment for Flower Mound residents who are eligible to utilize
the service. The on-demand transit service is available for Flower
Mound residents who are age 65 or older, and/or who have
verifiable disabilities that prevent them from driving.



Flower Mound leveraged CDBG and general funds, to subsidize
transportation services for 23 elderly and disabled Town residents
during the year, who took 813 one-way rides during Fiscal Year
2010-2011.



Flower Mound’s Community Outreach Committee is chaired by
Finance staff and continues to meet quarterly. The Committee
includes 34 members, who represent church, private sector,
banking, and social service agencies. Many of these members
provided services to Flower Mound residents during the year. One
of the members, the Christian Community Action Agency, provided
$40,880.10 for living expenses, clothing, medical, and
transportation to qualifying Flower Mound families needing
assistance in 2011.

The Community Services Department will ensure that residents living in
those Census Tracts with a high percentage of poverty-level incomes are
made aware of job training and job search workshop opportunities at the
Library.
Actions Taken:


The Flower Mound Public Library offered a workshop that related to
computer literacy and job searching. The workshop focused on
writing resumes, interviewing for jobs, and doing online job
searches. Approximately 16 people attended these programs.
Notices about these programs were posted at the Library, on the
Town’s and Library’s websites and in local papers. The Library
estimates that it assists approximately 700 individuals each year
with job-related searches.



The Library also subscribed to three online databases that related
to the whole job searching process. These databases were
available both onsite and remotely 24/7. There were approximately

Page 121 of 246

3,619 sessions on these databases during the year. The Library
continued to purchase new books that relate to resume writing,
interviewing, testing and staring a small business.
6.

The Community Development Block Grant Advisory Committee will
consider incorporating Home Improvement and Minor and Emergency
Home Repair Projects into Flower Mound’s Consolidated Plan for
Housing and Community Development as funds become available. This
would provide CDBG grant resources to those low and moderate-income
homeowners living in housing that needs repair.
Actions Taken:


After learning that the Sunrise Circle Project will no longer be
eligible for spending CDBG funds on after Program Year 2011 due
to newly released census data from HUD, the Community
Development Block Grant Advisory Committee has decided to
amend Flower Mound’s Consolidated Plan for Housing and
Community Development and design a Residential Rehabilitation
Program. This will provide CDBG grant resources to those low and
moderate-income homeowners living in housing that needs repair.

Conclusion:
The activities identified in Flower Mound’s July 19, 2010, AI Report are
being carried out. These activities help to ensure that that Flower Mound
continues to offer fair housing choice to its low and moderate-income
residents. Therefore, no “mid-course” corrections, changes, or additions
to planned actions need to be made at this time. The Fair Housing
Committee will conduct its next status review in February 2013.

Page 122 of 246

Attachment 2

TOWN OF FLOWER MOUND
AMENDMENTS TO THE
2010-2014 STRATEGIC PLAN FOR HOUSING
AND COMMUNITY DEVELOPMENT AND THE
RESIDENTIAL ANTI-DISPLACEMENT AND
RELOCATION ASSISTANCE PLAN

Prepared for the U. S. Dept. of Housing and Urban Development

Page 123 of 246

AMENDMENTS TO
THE TOWN OF FLOWER MOUND’S
2010-2014 CONSOLIDATED PLAN
FOR HOUSING AND COMMUNITY DEVELOPMENT
I. A summary of the amendments to the Town of Flower Mound’s Program
Years 2010-2014 Strategic Plan for Housing and Community
Development under the Community Development Block Grant follows:
A. To incorporate a Residential Rehabilitation Program into the 20102014 Strategic Plan beginning in Plan Year 2012. The goals of the
Program are to expand the supply of decent, safe, sanitary and
affordable housing, to correct health and safety hazards in deteriorated
housing and to extend the useful life of existing housing units.
B. To conclude CDBG funding of the Sunrise Circle Project. Due to newly
released HUD census data, Flower Mound will no longer be able to
qualify the Sunrise Circle Estates neighborhood (Census Tract
0203.03 Block Group 3) as eligible for area-benefit CDBG funding.
II. Wording in the Town of Flower Mound’s Program Year 2010-2014
Strategic Plan is revised as follows:
A. Program Years 2010-2014 Strategic Plan, Executive Summary


Previous language: “Specific objectives Flower Mound hopes to
achieve over the next five years include (Housing):




Increasing the opportunity for low and moderate-income
homeowners in Flower Mound through collaboration with the
Denton County Housing Finance Corporation and other lending
institutions (10 households over a five-year period).

Revised language (Change is noted in bold): “Specific Objectives
Flower Mound hopes to achieve over the next five years include
(Housing):


Increasing the opportunity for low and moderate-income
homeowners in Flower Mound through collaboration with the
Denton County Housing Finance Corporation and other lending
institutions (10 households over a five-year period).



Assist low and moderate income homeowners in Flower
Mound with the rehabilitation of their single-family, owneroccupied houses in order to expand the supply of decent,
safe, sanitary and affordable housing, to correct health and
1

Page 124 of 246

safety hazards in deteriorated housing and to extend the
useful life of existing housing units.

Priority
Need Area
Housing



Priority
Need Area
Housing

Previous language: Following is a summary of Flower Mound’s
goals and objectives during Program Years 2010-2014:
Goal
Increase the
opportunity for low
and moderate
income
homeowners in
Flower Mound
through
collaboration with
the Denton County
Housing Finance
Corporation and
other lending
institutions (10
referrals over a
five-year period).

Annual
Objective
2 referral

Performance
Measure
referrals

5-Year
Objective
10 referrals

Revised language (Change is noted in bold): Following is a
summary of Flower Mound’s goals and objectives during Program
Years 2010-2014:
Goal
Increase the
opportunity for low
and moderate
income
homeowners in
Flower Mound
through
collaboration with
the Denton County
Housing Finance
Corporation and
other lending
institutions (10
referrals over a
five-year period).
Assist low and
moderate income
homeowners in
Flower Mound
with the
rehabilitation of
their singlefamily, owneroccupied houses
in order to
expand the
supply of decent,
safe, sanitary and

Annual
Objective
2 referral

Performance
Measure
referrals

5-Year
Objective
10 referrals

1 rehabilitation

Rehabilitations

4 rehabilitations

2

Page 125 of 246

affordable
housing, to
correct health
and safety
hazards in
deteriorated
housing and to
extend the useful
life of existing
housing units.

B. Program Years 2010-2014 Strategic Plan, General Questions




Previous language for Response 1: To the extent that limited funds
are available, the Town of Flower Mound makes every effort to
ensure that all its citizens of low and moderate income benefit from
these programs. During the next five years, assistance will be
directed to the following geographic areas:


Sunrise Circle Estates – This residential neighborhood is
located on the far west side of Town bordered by Stonecrest
Road on the west and State Highway 377 on the east.
Assistance will be directed to Census Tract 0203.03 Block
Group 3. Attachment 3 includes a map of the area.



Citywide Transportation – This is a citywide project to be carried
out within the boundaries of the Town of Flower Mound, Denton
County, Texas. Approximately 200 Flower Mound elderly, 65
years and older, and severely disabled adults, 21 years and
older, will receive services. Attachment 3 includes a map of the
Town boundaries.

Revised language for Response 1: (Change is noted in bold): To
the extent that limited funds are available, the Town of Flower
Mound makes every effort to ensure that all its citizens of low and
moderate income benefit from these programs. During the next five
years, assistance will be directed to the following geographic areas:


Residential Rehabilitation Program – This is a Town-wide
program based upon cumulative gross annual income(s)
(as determined using CDBG Technical Guide for
Determining Income) to be carried out within the
boundaries of the Town of Flower Mound, Denton County,
Texas. Approximately one home will be rehabilitated during
the first year of the program.



Sunrise Circle Estates - This residential neighborhood is located
on the far west side of Town bordered by Stonecrest Road on
the west and State Highway 377 on the east. Assistance will be
3

Page 126 of 246

directed to Census Tract 0203.03 Block Group 3. A map of the
area is included as an attachment.






Town-wide Transportation - This is a town-wide project to be
carried out within the boundaries of the Town of Flower Mound,
Denton County, Texas. Approximately 200 Flower Mound
elderly, 65 years and older, and severely disabled adults, 21
years and older, will receive services. Attachment 3 includes a
map of the Town boundaries.

Previous language for Response 2:
The investments were
allocated to these areas based upon citizen input, staff research
and analysis to identify service level weaknesses and areas of
need, and Town Council goals and priorities:


Sunrise Circle Estates - Citizen surveys indicate a high level of
need for water, sewer, and street improvements in this area of
Flower Mound. Twenty-seven percent of Flower Mound’s
geographic area does not have fire protection water service,
forty-nine percent does not have sewer services, and nineteen
percent of the roads are not paved to city standards. Town
statistics show this neighborhood is occupied by approximately
130 persons or 39 families who are without fire protection water
and sewer services. Census 2000 data indicate that this
Census Tract is 8% minority and 44% low and moderate
income.
This is well above the Town’s 36% minimum
requirements as identified by HUD. The families are currently
served by a small water supply corporation system that does not
have the capacity to produce fire flows from its water wells.
Streets are not paved to city standards. This is a multi-year
project, with an estimated completion date of 2025.



Citywide Transportation - Flower Mound currently has no public
transportation system. To ensure that the Town’s elderly and
severely handicapped adults have access to transportation, it is
essential to provide for this service on a call-in basis. Rides will
be subsidized for those elderly, who are 65 years and older, and
severely disabled adults, who are 21 years and older.

Revised language for Response 2 (Changes noted in bold): The
investments were allocated to these three areas based upon newly
released HUD census data, citizen input, staff research and
analysis to identify service level weaknesses and areas of need,
and Town Council goals and priorities:

4

Page 127 of 246



Residential Rehabilitation Program - Based on citizen input
and direction from Town Council, Flower Mound is starting
a Residential Rehabilitation Program. The program is
designed to assist low and moderate income homeowners
in Flower Mound with the rehabilitation of their singlefamily, owner-occupied houses in order to expand the
supply of decent, safe, sanitary and affordable housing, to
correct health and safety hazards in deteriorated housing
and to extend the useful life of existing housing units.



Sunrise Circle Estates - Citizen surveys indicate a high level of
need for water, sewer, and street improvements in Flower
Mound. 38% of the Town’s buildable area does not have fire
protection water service, 56% does not have sewer
services, and 19% of the roads are not paved to Town
standards. Census 2010 data indicate that Census Tract
0203.03, block group 3 has a population that is 25% low and
moderate income. Based on this data, this area no longer
qualifies for CDBG area-benefit funding. This is below the
Town’s 36% minimum requirements as identified by HUD.
Streets are being paved to Town standards. Drainage
Improvements in the Sunrise Circle Estates neighborhood
were completed, which provided for improved drainage for
the Sunrise Circle subdivision area. This project is
anticipated to be completed in December 2012.



Town-wide Transportation - Flower Mound currently has no
public transportation system. To ensure that the Town's elderly
and severely handicapped adults have access to transportation,
it is essential to provide for this service on a call-in basis. Rides
will be subsidized for those elderly, who are 65 years and older,
and severely disabled adults, who are 21 years and older.

C. Program Years 2010-2014 Strategic Plan, Specific Housing Objectives


Previous language for Response 1: During the next five years,
CDBG funding is committed to providing quality infrastructure
improvements in the Sunrise Circle Estates neighborhood. If
additional funding becomes available, Flower Mound will consider
incorporating Home Improvement and Minor and Emergency Home
Repair projects into the Town's Consolidated Plan. Flower Mound
also plans to leverage funds to supplement scarce resources.
During the next five years, Flower Mound will continue to liaison
with those service providers, who are established to provide the
necessary resources for affordable housing. Our housing objective
is to:

5

Page 128 of 246





III.

Increase the opportunity for low and moderate-income
homeowners in Flower Mound through collaboration with the
Denton County Housing Finance Corporation and other lending
institutions (10 households referred over a five-year period).

Revised language for Response 1 (Change is noted in bold):
During the next five years, CDBG funding is committed to
providing a Town-wide Residential Rehab Program and
providing quality infrastructure improvements in the Sunrise Circle
Estates neighborhood. Flower Mound also plans to leverage funds
to supplement scarce resources. During the next five years, Flower
Mound will continue to liaison with those service providers, who are
established to provide the necessary resources for affordable
housing. Our housing objective is to:


Increase the opportunity for low and moderate-income
homeowners in Flower Mound through collaboration with the
Denton County Housing Finance Corporation and other lending
institutions (10 households referred over a five-year period).



Assist low and moderate income homeowners in Flower
Mound with the rehabilitation of their single-family, owneroccupied houses in order to expand the supply of decent,
safe, sanitary and affordable housing, to correct health and
safety hazards in deteriorated housing and to extend the
useful life of existing housing units (4 rehabs over a fiveyear period of 2010-2014).

Wording in the Town of Flower Mound’s Residential Anti-displacement
and Relocation Assistance Plan is revised as follows:
A. Program Years 2010-2014 Residential Anti-displacement
Relocation Assistance Plan, Minimize Displacement


and

Previous language: Consistent with the goals and objectives of
activities assisted under the Act, the Town of Flower Mound will
take the following steps to minimize the direct and indirect
displacement of persons from their homes:


Coordinate code enforcement with rehabilitation and housing
assistance programs.



Evaluate housing codes and rehabilitation standards in
reinvestment areas to prevent undue financial burdens on
established owners and tenants.

6

Page 129 of 246





Stage rehabilitation of apartment units to allow tenants to
remain in the building/complex during and after the
rehabilitation, working with empty units first.



Arrange for facilities to house persons who must be relocated
temporarily during rehabilitation.



Adopt policies to identify and mitigate displacement resulting
from intensive public investment in neighborhoods.



Adopt policies which provide reasonable protections for tenants
faced with conversion to a condominium or cooperative.



Adopt tax assessment policies, such as deferred tax payment
plans, to reduce impact of increasing property tax assessments
on lower income owner-occupants or tenants in revitalizing
areas.



Establish counseling centers to provide homeowners and
tenants with information on assistance available to help them
remain in their neighborhood in the face of revitalization
pressures.



Where feasible, give priority to rehabilitation of housing, as
opposed to demolition, to avoid displacement.



If feasible, demolish or convert only dwelling units that are not
occupied or vacant occupiable dwelling units (especially those
units which are “lower-income dwelling units” (as defined in 24
CFR 42.305).



Target only those properties deemed essential to the need or
success of the project.

Revised language: Consistent with the goals and objectives of
activities assisted under the Act, the Town of Flower Mound will
take the following steps to minimize the direct and indirect
displacement of tenants from their homes:


Coordinate code enforcement with rehabilitation and housing
assistance programs.



Evaluate housing codes and rehabilitation standards in
reinvestment areas to prevent undue financial burdens on
established owners and tenants.

7

Page 130 of 246



Stage rehabilitation of apartment units to allow tenants to
remain in the building/complex during and after the
rehabilitation, working with empty units first.



Arrange for facilities to house tenants who must be relocated
temporarily during rehabilitation.



Adopt policies to identify and mitigate displacement resulting
from intensive public investment in neighborhoods.



Adopt policies which provide reasonable protections for tenants
faced with conversion to a condominium or cooperative.



Adopt tax assessment policies, such as deferred tax payment
plans, to reduce impact of increasing property tax assessments
on lower income owner-occupants or tenants in revitalizing
areas.



Establish counseling centers to provide homeowners and
tenants with information on assistance available to help them
remain in their neighborhood in the face of revitalization
pressures.



Where feasible, give priority to rehabilitation of housing, as
opposed to demolition, to avoid displacement.



If feasible, demolish or convert only dwelling units that are not
occupied or vacant occupiable dwelling units (especially those
units which are “lower-income dwelling units” (as defined in 24
CFR 42.305).



Target only those properties deemed essential to the need or
success of the project.

8

Page 131 of 246

TOWN COUNCIL MEETING
AGENDA ITEM NO: 10
AUGUST 6, 2012
[ X ] CONSENT ITEM

[ ] REGULAR ITEM

[ ] WORK SESSION ITEM

FROM:

Doug Powell, AICP, Executive Director of Development Services

THROUGH:

Harlan Jefferson, Town Manager
Kent Collins, P.E., Assistant Town Manager

PRESENTER: Doug Powell, AICP, Executive Director of Development Services
ITEM:

Consider approval of a Professional Services Agreement with Gateway
Planning Group, Inc., to provide consultant services regarding mixed-use
developments; and authorization for the Mayor to execute same on
behalf of the Town.

[ ] Ordinance
I.

[ ] Resolution

[ X ] Motion

[ ] Direction

SUMMARY:
The Professional Services Agreement sets forth the services, and basis of
compensation for the review of mixed-use development applications by Gateway
Planning.

II.

BACKGROUND INFORMATION:
During the adoption of the Town’s mixed-use regulations, the need for outside
consulting services was discussed as a necessary part of the review of a mixeduse project. Gateway Planning is the firm that helped draft the mixed-use
regulations and has already provided consulting services for the review of the
Canyon Falls mixed-use proposal.
This agreement will authorize Gateway Planning to provide the consulting
services for mixed-use applications. The Town’s regulations require that for
each project a scope and fee is to be developed by the Town’s consultant,
based on the size and complexity of the project. The agreed upon fee will be
paid by the applicant; it is not expected that any Town funds will be expended
as part of this review process.

III.

FISCAL IMPACT:
N/A

Page 132 of 246

IV.

LEGAL REVIEW:
Terry Welch, of Brown & Hofmeister, L.L.P., has reviewed the Professional
Services Agreement as to form and legality.

V.

ATTACHMENT:
1. Professional Services Agreement

VI.

RECOMMENDED MOTION OR ACTION:
Move to approve the Professional Services Agreement with Gateway Planning
Group, Inc., to provide consultant services regarding mixed use developments;
and authorize the Mayor to execute same on behalf of the Town.

Page 133 of 246

TOWN COUNCIL MEETING
AGENDA ITEM NO: 11
August 6, 2012
[

] CONSENT ITEM

[ X ] REGULAR ITEM

[ ] WORK SESSION ITEM

FROM:

Edith Marvin, P.E., Town Engineer

THROUGH:

Harlan Jefferson, Town Manager
Kent Collins, P.E., Assistant Town Manager

PRESENTER: Kent Collins, P.E., Assistant Town Manager
ITEM:

Consider approval of an ordinance amending the fee for inspections
outside of normal working hours.
[ X ] Ordinance

I.

[ ] Resolution

[ ] Motion

[ ] Direction

SUMMARY:
When any contractor working after hours needs engineering inspection services,
the current ordinance requires that the contractor pay the overtime rate for the
inspector. The Engineering Division is requesting to replace the existing process
by establishing a flat fee for working outside of normal working hours. The
proposed amendment to Appendix A, Fee Schedule, Chapter 32, includes
setting a flat rate inspection fee for inspections occurring on weekdays, outside
of the hours of 7:00 a.m. to 4:00 p.m. and on Saturdays or emergency work on
Sundays.

II.

BACKGROUND INFORMATION:
Currently, all work requiring engineering inspection that is performed outside of
regular working hours requires payment of overtime by the contractor. The
payment is based upon the hours worked, with set minimums of two hours on
weekdays and four hours on weekends. This practice often leads to complaints
regarding inspectors covering multiple projects while working after hours,
calculation of the payment, etc. This item is being brought forward to address
contractor and developer concerns about the current fee policy, and establish a
clear fee and expectation for what is to be paid to the Town. The new policy
would eliminate the idea that a contractor or developer is paying the salary of
the inspector, or paying to have them on their job, but is rather paying a fee to
cover any expenses associated with working overtime. The proposed fee was
calculated based upon historical averages for the payment of after-hours work.
This proposed fee is consistent with other flat rate fees paid by users.

III.

FISCAL IMPACT:
N/A

Page 134 of 246

IV.

LEGAL REVIEW:
Alan D. Lathrom, of Brown & Hofmeister, L.L.P., has reviewed this ordinance as
to form and legality.

V.

ATTACHMENTS:
1. Appendix A, Fee Schedule, Chapter 32, Section 32-3 Redline
2. Ordinance

VI.

RECOMMENDED MOTION OR ACTION:
Move to approve an ordinance amending the fee for inspections outside of
normal working hours.

Page 135 of 246
Attachment 1

Subpart B - LAND DEVELOPMENT REGULATIONS
APPENDIX A - FEE SCHEDULE

APPENDIX A - FEE SCHEDULE
Chapter 30. Emergency Services.
Code Section Number Description
30-32(b)
A service fee of $25.00 for incorrect permit number given in alarm notification.
30-33
A fee of $50.00 for each other false alarm occurring after the third false alarm within said preceding 12-month
period and $75.00 for each false alarm occurring after the seventh false alarm with said preceding 12-month
period.
30-34
Financial institution indicator panel installation fee of $100.00.
30-53
Alarm permit fee: $35.00 for residential permit; $50.00 for commercial permit.
30-92
Emergency ambulance service fees:
(a)
A fee of $400.00 for residents of the town and $500.00 for nonresidents shall be charged per trip, per person for basic life support
(BLS) treatment and transportation by emergency ambulance to a full service hospital facility in response to a request received by the fire
department for emergency medical services.
(b)
A fee of $500.00 for residents of the town and $600.00 for nonresidents shall be charged per trip, per person for advanced life support I
(ALSI) treatment and transportation by emergency ambulance to a full service hospital facility in response to a request received by the fire
department for emergency medical services.
(c)
A fee of $600.00 for residents of the town and $700.00 for nonresidents shall be charged per trip, per person for advanced life support
II (ALSII) treatment and transportation by emergency ambulance to a full service hospital facility in response to a request received by the fire
department for emergency medical services.
(d)
A fee of $100.00 shall be charged per response for emergency treatment with no transport in response to a request received by the fire
department for emergency medical services.
(e)

An additional fee of $10.00 shall be charged per loaded mile.

(f)
The foregoing fees have been established based, in part at least, on the centers for Medicare and Medicaid services (CMS) rates,
which rates are the reimbursement rates for ambulance fees set by Medicare. When the CMS rate for advanced life support, level 2
ambulance service ("ALS 2") is increased the town's fee for providing advanced life support II ("ALSII") treatment and transportation
ambulance service shall be increased from the then current fee amount by a similar amount and rounded up to the next higher ten-dollar
increment. All other fee amounts for ambulance services shall be similarly increased from the then current fee in an amount proportionate to
the ALSII increase and rounded up to the next higher ten-dollar increment. Any such increase shall become effective on the first day of the
next fiscal year (October 1) of the Town of Flower Mound, and the foregoing fee schedule revised accordingly.
(Ord. No. 68-99, § 1, 11-1-1999; Ord. No. 86-04, § 2, 10-18-2004; Ord. No. 01-07, § 3, 1-18-2007; Ord. No. 32-09, § 4, 9-8-2009; Ord. No.
62-10, § 4, 10-4-2010)

Chapter 32. Engineering.
Code Section Number Description
32-3
Flat Rate Inspection Fee to work outside of normal working hours (charged in addition to the usual inspection
fee(s) for the work inspected):
Weekdays outside of the hours of 7:00 a.m. to 4:00 p.m....…………...……………………………………………...……….…………...……...…. $90
Saturdays (and Sunday emergency work)…………………….………………………...…………………………………………………………….. $180

Chapter 34. Environment.
Code Section Number Description
34-95
Administrative fee for work services:
A charge, which shall be known as the "administrative fee for work services," shall be made against each lot or tract of land, and the owner
thereof, whose lot or tract of land is found in violation, pursuant to sections 34-31 et seq., and causes the Town of Flower Mound to do or have
done work, to a lot or tract of land necessary to obtain compliance with such sections. Such administrative fee shall be $150.00. A separate
$150.00 administrative fee shall be assessed for each violation causing work to be done.

Page 1 of 1

Flower Mound, Texas, Code of Ordinances

Page 136 of 246
Attachment 2

TOWN OF FLOWER MOUND, TEXAS
ORDINANCE NO. ______________
AN ORDINANCE OF THE TOWN OF FLOWER MOUND, TEXAS, AMENDING THE
CODE OF ORDINANCES OF THE TOWN OF FLOWER MOUND BY AMENDING
APPENDIX A “FEE SCHEDULE” THROUGH THE ADDITION OF A NEW CHAPTER
32, “ENGINEERING,” BY ADDING A NEW SECTION 32-3 RELATIVE TO THE
CHARGES FOR “FLAT RATE INSPECTION FEE TO WORK OUTSIDE OF NORMAL
WORKING HOURS”; REPEALING ALL CONFLICTING ORDINANCES; PROVIDING A
SEVERABILITY CLAUSE, PROVIDING A PENALTY CLAUSE; AND PROVIDING FOR
PUBLICATION AND AN EFFECTIVE DATE.
WHEREAS, the Town of Flower Mound is a home rule municipal corporation
organized and existing by virtue of the Constitution and laws of the State of Texas
and by its Home Rule Charter adopted November 3, 1981; and
WHEREAS, the Town of Flower Mound possesses all the rights, powers, and
authorities possessed by all home rule municipalities to regulate the fees for
services provided; and
WHEREAS, the Town of Flower Mound charges additional fees to offset the
increased costs of program administration and performing Town-provided
engineering inspections requested to be performed outside of normal working
hours, 7:00 a.m. to 4:00 p.m., based upon the inspector’s overtime pay rate with
a minimum charge of two hours on weekdays and four hours on weekends; and
WHEREAS, from time to time more than one project might require that an
engineering inspection be performed on work during the same time period outside
of normal working hours which resulted in the Town of Flower Mound collecting
fees for overtime work from multiple projects for the same block(s) of inspector
time; and
WHEREAS, questions have been raised regarding the propriety of collecting
additional fees for inspections performed outside of normal working hours from
multiple projects for the same block(s) of inspector time; and
WHEREAS, the Town of Flower Mound desires to modify the additional fees
for inspections performed outside of normal working hours to avoid being overcompensated for the costs associated with such inspections by changing the
method of recovering such expenses from an hourly rate, with a minimum charge,
to a flat fee.

Page 137 of 246
Attachment 2

ORDINANCE NO. _____________

PAGE 2

NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE
TOWN OF FLOWER MOUND, TEXAS, THAT:
SECTION 1
All of the above premises are hereby found to be true and correct legislative
and factual findings of the Town of Flower Mound and they are hereby approved
and incorporated into the body of this Ordinance, as if copied in their entirety.
SECTION 2
From and after the effective date of this Ordinance, Appendix A, “Fee
Schedule,” is hereby amended by the adoption of a new fee structure identified as
Chapter 32, “Engineering,” Section 32-3 “Flat Rate Inspection Fee to work outside
of normal working hours (charged in addition to the usual inspection fee(s) for the
work inspected),” to read as set out in the following chart.
“Chapter 32. Engineering.
Code Section Number
32-3

Description
Flat Rate Inspection Fee to work outside of
normal working hours (charged in addition to
the usual inspection fee(s) for the work
inspected):

Weekdays outside of the hours of 7:00 a.m. to 4:00 p.m.
Saturdays (and Sunday emergency work)

$90
$180”

SECTION 3
This Ordinance shall be cumulative of all provisions of ordinances of the
Town of Flower Mound, Texas, except where the provisions of this Ordinance are
in direct conflict with the provisions of such ordinances, in which event the
conflicting provisions of such ordinances are hereby repealed. In this regard, the
second sentence of Paragraph IV.B.1.b. of the Town of Flower Mound Design
Criteria and Construction Standards, Design Criteria (Volume I of II) conflicts with
this Ordinance and is hereby repealed,
SECTION 4
If any section, subsection, clause, phrase or provision of this Ordinance and
the Code, or the application thereof to any person or circumstance, shall to any
extent be held by a court of competent jurisdiction to be invalid, void or
unconstitutional, the remaining sections, subsections, clauses, phrases or

Page 138 of 246
Attachment 2

ORDINANCE NO. _____________

PAGE 3

provisions of this Ordinance and the Code, or the application thereof to any person
or circumstances, shall remain in full force and effect and shall in no way be
affected, impaired or invalidated.
SECTION 5
Any person, firm, or corporation who violates any provision of this Ordinance
as adopted by the Town Council of the Town of Flower Mound shall be deemed
guilty of a misdemeanor and, upon conviction thereof, shall be punished by a fine
as provided in Section 1-13 of the Code of Ordinances of the Town of Flower
Mound. Each day any such violation or violations exist shall constitute a separate
offense and shall be punishable as such.
SECTION 6
This Ordinance shall take effect and be in full force on and after August 6,
2012, and its publication as provided by the laws of the State of Texas and the
Home Rule Charter of the Town of Flower Mound, Texas.
DULY PASSED, APPROVED AND ADOPTED BY THE TOWN COUNCIL OF THE
TOWN OF FLOWER MOUND, TEXAS, BY A VOTE OF _______ TO ________, ON
THIS THE ______ DAY OF ______________________, 2012.

_______________________________________
Thomas E. Hayden, MAYOR
ATTEST:

___________________________________________
Theresa Scott, TOWN SECRETARY
APPROVED AS TO FORM AND LEGALITY:

___________________________________________
Terrence S. Welch, TOWN ATTORNEY

Page 139 of 246

TOWN COUNCIL MEETING
AGENDA ITEM NO: 12
August 6, 2012
[ ] CONSENT ITEM

[ X ] REGULAR ITEM

[ ] WORK SESSION ITEM

FROM:

Julie Taylor, Director of Treasury Operations

THROUGH:

Harlan Jefferson, Town Manager
Chuck Springer, Assistant Town Manager/CFO

PRESENTER: Chuck Springer, Assistant Town Manager/CFO
ITEM:

Consider approval of an ordinance authorizing the issuance of the Town of
Flower Mound, Texas, Certificates of Obligation, Series 2012, in the
amount of $7,105,000 and resolving other matters incident and related
thereto.
[ X ] Ordinance

I.

[ ] Resolution

[ ] Motion

[ ] Direction

SUMMARY:
At the Town Council meeting on June 18, 2012, the Town Council authorized
the publication of notice to issue Certificates of Obligation, Series 2012, (the
“Certificates”) in the principal amount not to exceed $7,105,000. The Financial
Services staff and First Southwest Company request that the Town Council
approve the attached ordinance authorizing the issuance of the Certificates.

II.

BACKGROUND INFORMATION:
During the FY 11-12 annual budget process, the Town Council was presented a
Capital Improvement Program (CIP) to be funded in part by the issuance of
certificates of obligation. The $7,105,000 Certificates of Obligation, Series
2012, will pay for the contractual obligations incurred for construction of water
and wastewater utility projects.
On October 17, 2011, the Town Council approved a reimbursement resolution
for an amount not to exceed $12,565,000 for waterworks and wastewater
system projects, in accordance with the FY 11-12 CIP. On November 21, 2011,
February 6, 2012, and June 18, 2012, the Town Council approved FY 11-12 CIP
Amendments No. 1 through No. 3 to modify funding sources and move project
start dates to future years, thus reducing the proposed FY 11-12 debt issuance
from $12,565,000 to $7,105,000.
The $7,105,000 in Certificates of Obligation, Series 2012, will pay for the
contractual obligations incurred for water improvements ($1,940,000) and
wastewater system projects ($5,165,000) as included on the following table:

Page 140 of 246

Water Projects:
Bakersfield Park Water Line
Timber Creek Road 20-Inch Water Line
Valley Ridge Blvd. 20-Inch Water Line
Waketon Elevated Storage Tank Rehabilitation
Water System Leak Detection & Repair
Total Water Improvements

$

320,000
500,000
220,000
850,000
50,000

$ 1,940,000

Wastewater Projects:
Gerault Collector
Town-Wide Lift Station Auxiliary Power Upgrades
Upper Timber Creek Interceptor Phase 1
Wellington Interceptor

$

150,000
600,000
1,995,000
2,420,000

Total Wastewater Improvements

$ 5,165,000

Total Debt for Water and Wastewater System

$ 7,105,000

The issuance of the Certificates will be held as a competitive sale with bids being
accepted by First Southwest Company until 10:00 a.m. on August 6, 2012.
Bids are accepted by mail, phone, fax, hand-delivery, or electronically, with
results presented at the August 6, 2012, Town Council meeting.
The Certificates began accruing interest on August 1, 2012 (the Dated Date),
which the Town will receive upon delivery of the funds on September 5, 2012.
The Bank of New York Trust Company, N.A., will serve as the Paying
Agent/Registrar for the Certificates. The preliminary official statement, which
discloses details related to issuance of the Certificates and the Town, is available
in the Financial Services Department for review.
III.

IV.

FISCAL IMPACT:
Proposed Expenditure:

$7,105,000

Proposed Funding:

Principal and interest of the Certificates of
Obligation, Series 2012, will be paid by the
Utility Fund.

Budget Transfer/
Amendment Required:

N/A

Finance Review by:

Chuck Springer, Assistant Town Manager/CFO

LEGAL REVIEW:
The Town’s Bond Counsel, Fulbright & Jaworski, LLP, prepared the attached
ordinance and it has been reviewed and approved as to form by Alan Lathrom of
Brown & Hofmeister, LLP.

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V.

ATTACHMENTS:
1. Draft Ordinance authorizing the issuance of Town of Flower Mound, Texas,
$7,105,000 Certificates of Obligation, Series 2012
2. Draft Paying Agent/Registrar Agreement

VI.

RECOMMENDED MOTION OR ACTION:
Move to approve an ordinance authorizing the issuance of the Town of Flower
Mound, Texas, Certificates of Obligation, Series 2012, in the amount of
$7,105,000 and resolving other matters incident and related thereto.

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Attachment 1

ORDINANCE NO. _____
AN ORDINANCE authorizing the issuance of “TOWN OF FLOWER MOUND,
TEXAS, CERTIFICATES OF OBLIGATION, SERIES 2012”; providing
for the payment of said certificates of obligation by the levy of an ad
valorem tax upon all taxable property within the Town and a limited
pledge of the net revenues derived from the operation of the Town’s
waterworks and sewer system; providing the terms and conditions of such
certificates and resolving other matters incident and relating to the
issuance, payment, security, sale and delivery of said certificates of
obligation, including the approval and execution of a Paying
Agent/Registrar Agreement and the approval and distribution of an
Official Statement pertaining thereto; and providing an effective date.
WHEREAS, the Town Council of the Town of Flower Mound, Texas, has heretofore
determined that certificates of obligation should be issued in the maximum principal amount not
to exceed $7,105,000 for the purpose of paying contractual obligations to be incurred for
authorized needs and purposes, to wit: (i) constructing waterworks and sewer system
improvements and extensions, including the acquisition of land and rights-of-way therefor and
(ii) professional services rendered in connection with the acquisition, construction and financing
of such projects; and
WHEREAS, a “Notice of Intention to Issue Town of Flower Mound, Texas, Certificates
of Obligation” was duly published in The Denton Record-Chronicle, a newspaper hereby found
and determined to be of general circulation in the Town of Flower Mound, Texas, on June 22,
2012 and June 29, 2012, the date of the first publication of such notice being not less than thirtyone (31) days prior to the tentative date stated therein for the passage and adoption of this
Ordinance; and
WHEREAS, no petition protesting the issuance of such certificates of obligation and
bearing valid petition signatures of at least 5% of the qualified voters of the Town, has been
presented to or filed with the Mayor, Town Secretary or any other official of the Town on or
prior to the date of the passage of this Ordinance; and
WHEREAS, the Town Council hereby finds and determines that all of the certificates of
obligation described in such notice should be issued and sold at this time in the amount and
manner as hereinafter provided;
NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN
OF FLOWER MOUND, TEXAS:
SECTION 1: Authorization – Designation – Principal Amount – Purpose. Certificates
of obligation of the Town shall be and are hereby authorized to be issued in the aggregate
principal amount of $_______________, to be designated and bear the title “TOWN OF
FLOWER MOUND, TEXAS, CERTIFICATES OF OBLIGATION, SERIES 2012” (hereinafter
referred to as the “Certificates”), for the purpose of paying contractual obligations to be incurred
for authorized needs and purposes, to wit: (i) constructing waterworks and sewer system
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improvements and extensions, including the acquisition of land and rights-of-way therefor and
(ii) professional services rendered in connection with the acquisition, construction and financing
of such projects, pursuant to authority conferred by and in conformity with the Constitution and
laws of the State of Texas, including Texas Local Government Code, Subchapter C of Chapter
271, as amended.
SECTION 2: Fully Registered Obligations - Authorized Denominations - Stated
Maturities - Interest Rates - Date. The Certificates are issuable in fully registered form only;
shall be dated August 1, 2012 (the “Certificate Date”) and shall be in denominations of $5,000 or
any integral multiple thereof (within a Stated Maturity) and the Certificates shall become due and
payable on March 1 in each of the years and in principal amounts (the “Stated Maturities”) and
bear interest at the per annum rates in accordance with the following schedule:
Year of
Stated Maturity

Principal
Amount

Interest
Rate(s)

2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025
2026
2027
2028
2029
2030
2031
2032
The Certificates shall bear interest on the unpaid principal amounts from the Certificate
Date at the rates per annum shown above in this Section (calculated on the basis of a 360-day
year of twelve 30-day months). Interest on the Certificates shall be payable on March 1 and
September 1 of each year, commencing March 1, 2013, until maturity or prior redemption.
SECTION 3: Terms of Payment-Paying Agent/Registrar. The principal of, premium, if
any, and the interest on the Certificates, due and payable by reason of maturity, redemption or
otherwise, shall be payable only to the registered owners or holders of the Certificates
(hereinafter called the “Holders”) appearing on the registration and transfer books maintained by
the Paying Agent/Registrar and the payment thereof shall be in any coin or currency of the

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United States of America, which at the time of payment is legal tender for the payment of public
and private debts, and shall be without exchange or collection charges to the Holders.
The selection and appointment of The Bank of New York Mellon Trust Company, N.A.,
Dallas, Texas, to serve as Paying Agent/Registrar for the Certificates is hereby approved and
confirmed. Books and records relating to the registration, payment, transfer and exchange of the
Certificates (the “Security Register”) shall at all times be kept and maintained on behalf of the
Town by the Paying Agent/Registrar, as provided herein and in accordance with the terms and
provisions of a “Paying Agent/Registrar Agreement”, substantially in the form attached hereto as
Exhibit A, and such reasonable rules and regulations as the Paying Agent/Registrar and the
Town may prescribe. The Mayor and Town Secretary are authorized to execute and deliver such
Paying Agent/Registrar Agreement in connection with the delivery of the Certificates. The
Town covenants to maintain and provide a Paying Agent/Registrar at all times until the
Certificates are paid and discharged, and any successor Paying Agent/Registrar shall be a
commercial bank, trust company, financial institution or other entity qualified and authorized to
serve in such capacity and perform the duties and services of Paying Agent/Registrar. Upon any
change in the Paying Agent/Registrar for the Certificates, the Town agrees to promptly cause a
written notice thereof to be sent to each Holder by United States Mail, first class postage prepaid,
which notice shall also give the address of the new Paying Agent/Registrar.
Principal of and premium, if any, on the Certificates, shall be payable at the Stated
Maturities or the redemption thereof only upon presentation and surrender of the Certificates to
the Paying Agent/Registrar at its designated offices initially in East Syracuse, New York, or,
with respect to a successor Paying Agent/Registrar, at the designated offices of such successor
(the “Designated Payment/Transfer Office”). Interest on the Certificates shall be paid to the
Holder whose name appears in the Security Register at the close of business on the Record Date
(the fifteenth day of the month next preceding each interest payment date) and shall be paid by
the Paying Agent/Registrar (i) by check sent United States Mail, first class postage prepaid, to
the address of the Holder recorded in the Security Register or (ii) by such other method,
acceptable to the Paying Agent/Registrar, requested by, and at the risk and expense of, the
Holder. If the date for the payment of the principal of or interest on the Certificates shall be a
Saturday, Sunday, a legal holiday, or a day when banking institutions in the city where the
Designated Payment/Transfer Office of the Paying Agent/Registrar is located are authorized by
law or executive order to close, then the date for such payment shall be the next succeeding day
which is not such a Saturday, Sunday, legal holiday, or day when banking institutions are
authorized to close; and payment on such date shall have the same force and effect as if made on
the original date payment was due.
In the event of a non-payment of interest on a scheduled payment date, and for thirty (30)
days thereafter, a new record date for such interest payment (a “Special Record Date”) will be
established by the Paying Agent/Registrar, if and when funds for the payment of such interest
have been received. Notice of the Special Record Date and of the scheduled payment date of the
past due interest (which shall be 15 days after the Special Record Date) shall be sent at least
five (5) business days prior to the Special Record Date by United States Mail, first class postage
prepaid, to the address of each Holder appearing on the Security Register at the close of business
on the last business day next preceding the date of mailing of such notice.

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SECTION 4: Redemption.
(a)
Optional Redemption. The Certificates having Stated Maturities on
March 1, 2023 and thereafter, shall be subject to redemption prior to maturity, at the option of
the Town, in whole or in part in principal amounts of $5,000 or any integral multiple thereof
(and if within a Stated Maturity by lot by the Paying Agent/Registrar), on March 1, 2022 or on
any date thereafter at the redemption price of par plus accrued interest to the date of redemption.
(b)
Exercise of Redemption Option. At least forty-five (45) days prior to an
optional redemption date for the Certificates (unless a shorter notification period shall be
satisfactory to the Paying Agent/Registrar), the Town shall notify the Paying Agent/Registrar of
the decision to redeem Certificates, the principal amount of each Stated Maturity to be redeemed,
and the date of redemption therefor. The decision of the Town to exercise the right to redeem
Certificates shall be entered in the minutes of the governing body of the Town.
(c)
Selection of Certificates for Redemption. If less than all Outstanding
Certificates of the same Stated Maturity are to be redeemed on a redemption date, the Paying
Agent/Registrar shall treat such Certificates as representing the number of Certificates
Outstanding which is obtained by dividing the principal amount of such Certificates by $5,000
and shall select the Certificates to be redeemed within such Stated Maturity by lot.
(d)
Notice of Redemption. Not less than thirty (30) days prior to a redemption
date for the Certificates, a notice of redemption shall be sent by United States mail, first class
postage prepaid, in the name of the Town and at the Town’s expense, to each Holder of a
Certificate to be redeemed in whole or in part at the address of the Holder appearing on the
Security Register at the close of business on the business day next preceding the date of mailing
such notice, and any notice of redemption so mailed shall be conclusively presumed to have been
duly given irrespective of whether received by the Holder.
All notices of redemption shall (i) specify the date of redemption for the Certificates,
(ii) identify the Certificates to be redeemed and, in the case of a portion of the principal amount
to be redeemed, the principal amount thereof to be redeemed, (iii) state the redemption price,
(iv) state that the Certificates, or the portion of the principal amount thereof to be redeemed, shall
become due and payable on the redemption date specified, and the interest thereon, or on the
portion of the principal amount thereof to be redeemed, shall cease to accrue from and after the
redemption date, and (v) specify that payment of the redemption price for the Certificates, or the
principal amount thereof to be redeemed, shall be made at the Designated Payment/Transfer
Office of the Paying Agent/Registrar only upon presentation and surrender of the Certificates. If
a Certificate is subject by its terms to prior redemption and has been called for redemption and
notice of redemption has been duly given as hereinabove provided, such Certificate (or the
principal amount thereof to be redeemed) shall become due and payable and interest thereon
shall cease to accrue from and after the redemption date therefor; provided moneys sufficient for
the payment of such Certificate (or of the principal amount thereof to be redeemed) at the then
applicable redemption price are held for the purpose of such payment by the Paying
Agent/Registrar.

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(e)
Conditional Notice of Redemption. With respect to any optional
redemption of the Certificates, unless moneys sufficient to pay the principal of and premium, if
any, and interest on the Certificates to be redeemed shall have been received by the Paying
Agent/Registrar prior to the giving of such notice of redemption, such notice may state that said
redemption is conditional upon the receipt of such moneys by the Paying Agent/Registrar on or
prior to the date fixed for such redemption, or upon the satisfaction of any prerequisites set forth
in such notice of redemption; and, if sufficient moneys are not received, such notice shall be of
no force and effect, the Town shall not redeem such Certificates and the Paying Agent/Registrar
shall give notice, in the manner in which the notice of redemption was given, to the effect that
the Certificates have not been redeemed.
SECTION 5: Registration - Transfer - Exchange of Certificates - Predecessor
Certificates. The Paying Agent/Registrar shall obtain, record and maintain in the Security
Register the name and address of each and every owner of the Certificates issued under and
pursuant to the provisions of this Ordinance or, if appropriate, the nominee thereof. Any
Certificate may be transferred or exchanged for Certificates of other authorized denominations
by the Holder, in person or by his duly authorized agent, upon surrender of such Certificate to
the Paying Agent/Registrar for cancellation, accompanied by a written instrument of transfer or
request for exchange duly executed by the Holder or by his duly authorized agent, in form
satisfactory to the Paying Agent/Registrar.
Upon surrender of any Certificate (other than the Initial Certificate authorized in Section
8 hereof) for transfer at the Designated Payment/Transfer Office of the Paying Agent/Registrar,
the Paying Agent/Registrar shall register and deliver, in the name of the designated transferee or
transferees, one or more new Certificates, executed on behalf of, and furnished by, the Town, of
authorized denominations and having the same Stated Maturity and of a like aggregate principal
amount as the Certificate or Certificates surrendered for transfer.
At the option of the Holders, Certificates (other than the Initial Certificate authorized in
Section 8 hereof) may be exchanged for other Certificates of authorized denominations and
having the same Stated Maturity, bearing the same rate of interest and of like aggregate principal
amount as the Certificates surrendered for exchange upon surrender of the Certificates to be
exchanged at the Designated Payment/Transfer Office of the Paying Agent/Registrar. Whenever
any Certificates are so surrendered for exchange, the Paying Agent/Registrar shall register and
deliver new Certificates, executed on behalf of, and furnished by the Town, to the Holder
requesting the exchange.
All Certificates issued upon any transfer or exchange of Certificates shall be delivered at
the Designated Payment/Transfer Office of the Paying Agent/Registrar, or sent by United States
mail, first class postage prepaid, to the Holder and, upon the registration and delivery thereof, the
same shall be valid obligations of the Town, evidencing the same obligation to pay, and entitled
to the same benefits under this Ordinance, as the Certificates surrendered in such transfer or
exchange.
All transfers or exchanges of Certificates pursuant to this Section shall be made without
expense or service charge to the Holder, except as otherwise herein provided, and except that the
Paying Agent/Registrar shall require payment by the Holder requesting such transfer or exchange

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of any tax or other governmental charges required to be paid with respect to such transfer or
exchange.
Certificates canceled by reason of an exchange or transfer pursuant to the provisions
hereof are hereby defined to be “Predecessor Certificates,” evidencing all or a portion, as the
case may be, of the same obligation to pay evidenced by the new Certificate or Certificates
registered and delivered in the exchange or transfer therefor. Additionally, the term
“Predecessor Certificates” shall include any mutilated, lost, destroyed, or stolen Certificate for
which a replacement Certificate has been issued, registered and delivered in lieu thereof pursuant
to Section 25 hereof and such new replacement Certificate shall be deemed to evidence the same
obligation as the mutilated, lost, destroyed, or stolen Certificate.
Neither the Town nor the Paying Agent/Registrar shall be required to issue or transfer to
an assignee of a Holder any Certificate called for redemption, in whole or in part, within 45 days
of the date fixed for the redemption of such Certificate; provided, however, such limitation on
transferability shall not be applicable to an exchange by the Holder of the unredeemed balance of
a Certificate called for redemption in part.
SECTION 6: Book-Entry-Only Transfers and Transactions.
Notwithstanding the
provisions contained in Sections 3, 4 and 5 hereof relating to the payment and transfer/exchange
of the Certificates, the Town hereby approves and authorizes the use of “Book-Entry-Only”
securities clearance, settlement and transfer system provided by The Depository Trust Company,
a limited purpose trust company organized under the laws of the State of New York (“DTC”), in
accordance with the operational arrangements referenced in the Blanket Issuer Letter of
Representations by and between the Town and DTC (the “Depository Agreement”).
Pursuant to the Depository Agreement and the rules of DTC, the Certificates shall be
deposited with DTC who shall hold said Certificates for its participants (the “DTC Participants”).
While the Certificates are held by DTC under the Depository Agreement, the Holder of the
Certificates on the Security Register for all purposes, including payment and notices, shall be
Cede & Co., as nominee of DTC, notwithstanding the ownership of each actual purchaser or
owner of each Certificate (the “Beneficial Owners”) being recorded in the records of DTC and
DTC Participants.
In the event DTC determines to discontinue serving as securities depository for the
Certificates or otherwise ceases to provide book-entry clearance and settlement of securities
transactions in general, or in the event the Town decides to discontinue use of the system of book
entry transfers through DTC, the Town covenants and agrees with the Holders of the Certificates
to cause Certificates to be printed in definitive form and issued and delivered to DTC
Participants and Beneficial Owners, as the case may be. Thereafter, the Certificates in definitive
form shall be assigned, transferred and exchanged on the Security Register maintained by the
Paying Agent/Registrar and payment of such Certificates shall be made in accordance with the
provisions of Sections 3, 4 and 5 hereof.
SECTION 7: Execution - Registration. The Certificates shall be executed on behalf of
the Town by the Mayor under its seal reproduced or impressed thereon and countersigned by the
Town Secretary. The signature of said officers on the Certificates may be manual or facsimile.

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Certificates bearing the manual or facsimile signatures of said individuals who are or were the
proper officers of the Town on the Certificate Date shall be deemed to be duly executed on
behalf of the Town, notwithstanding that such individuals or any of them shall cease to hold such
offices prior to the delivery of the Certificates to the initial purchaser(s), and with respect to
Certificates delivered in subsequent exchanges and transfers, all as authorized and provided by
Texas Government Code, Chapter 1201, as amended.
No Certificate shall be entitled to any right or benefit under this Ordinance, or be valid or
obligatory for any purpose, unless there appears on such Certificate either a certificate of
registration substantially in the form provided in Section 9(c), manually executed by the
Comptroller of Public Accounts of the State of Texas or his or her duly authorized agent, or a
certificate of registration substantially in the form provided in Section 9(d), manually executed
by an authorized officer, employee or representative of the Paying Agent/Registrar, and either
such certificate duly signed upon any Certificate shall be conclusive evidence, and the only
evidence, that such Certificate has been duly certified, registered and delivered.
SECTION 8: Initial Certificate(s). The Certificates herein authorized shall be initially
issued either (i) as a single fully registered certificate in the total principal amount shown in
Section 1 hereof with principal installments to become due and payable as provided in Section 2
hereof and numbered T-1, or (ii) as multiple fully registered certificates, being one certificate for
each year of maturity in the applicable principal amount and denomination and to be numbered
consecutively from T-1 and upward (hereinafter called the “Initial Certificate(s)”) and, in either
case, the Initial Certificate(s) shall be registered in the name of the initial purchaser(s) or the
designee thereof. The Initial Certificate(s) shall be the Certificates submitted to the Office of the
Attorney General of the State of Texas for approval, certified and registered by the Office of the
Comptroller of Public Accounts of the State of Texas and delivered to the initial purchaser(s).
Any time after the delivery of the Initial Certificate(s), the Paying Agent/Registrar, pursuant to
written instructions from the initial purchaser(s), or the designee thereof, shall cancel the Initial
Certificate(s) delivered hereunder and exchange therefor definitive Certificates of authorized
denominations, Stated Maturities, principal amounts and bearing applicable interest rates for
transfer and delivery to the Holders named at the addresses identified therefor; all pursuant to
and in accordance with such written instructions from the initial purchaser(s), or the designee
thereof, and such other information and documentation as the Paying Agent/Registrar may
reasonably require.
SECTION 9: Forms.
(a)
Forms Generally. The Certificates, the Registration Certificate of the
Comptroller of Public Accounts of the State of Texas, the Registration Certificate of Paying
Agent/Registrar, and the form of Assignment to be printed on the Certificates, shall be
substantially in the forms set forth in this Section with such appropriate insertions, omissions,
substitutions, and other variations as are permitted or required by this Ordinance and may have
such letters, numbers, or other marks of identification (including identifying numbers and letters
of the Committee on Uniform Securities Identification Procedures of the American Bankers
Association) and such legends and endorsements (including insurance legends in the event the
Certificates, or any maturities thereof, are purchased with bond insurance and any reproduction
of an opinion of counsel) thereon as may, consistently herewith, be established by the Town or

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determined by the officers executing such Certificates as evidenced by their execution thereof.
Any portion of the text of any Certificates may be set forth on the reverse thereof, with an
appropriate reference thereto on the face of the Certificate.
The Certificates, including the Initial Certificate(s), shall be typewritten, printed,
lithographed, or photocopied, or produced in any other similar manner, all as determined by the
officers executing such Certificates as evidenced by their execution.
(b)

Form of Definitive Certificate.

REGISTERED
NO. ________

REGISTERED
$___________
UNITED STATES OF AMERICA
STATE OF TEXAS
TOWN OF FLOWER MOUND, TEXAS
CERTIFICATE OF OBLIGATION
SERIES 2012

Certificate Date:
August 1, 2012

Interest Rate:

Stated Maturity:
March 1, ___

CUSIP No.:

Registered Owner:
Principal Amount: __________________________ DOLLARS
The Town of Flower Mound (hereinafter referred to as the “Town”), a body corporate
and municipal corporation in the Counties of Denton and Tarrant, State of Texas, for value
received, acknowledges itself indebted to and hereby promises to pay to the Registered Owner
named above, or the registered assigns thereof, on the Stated Maturity date specified above the
Principal Amount stated above (or so much thereof as shall not have been paid upon prior
redemption) and to pay interest on the unpaid principal amount hereof from the interest payment
date next preceding the “Registration Date” of this Certificate appearing below (unless this
Certificate bears a “Registration Date” as of an interest payment date, in which case it shall bear
interest from such date, or unless the “Registration Date” of this Certificate is prior to the initial
interest payment date, in which case it shall bear interest from the Certificate Date) at the per
annum rate of interest specified above computed on the basis of a 360-day year of twelve 30-day
months; such interest being payable on March 1 and September 1 of each year, commencing
March 1, 2013, until maturity or prior redemption of this Certificate. Principal of this Certificate
is payable at its Stated Maturity or redemption to the registered owner hereof upon presentation
and surrender at the Designated Payment/Transfer Office of the Paying Agent/Registrar
executing the registration certificate appearing hereon, or its successor; provided, however, while
the Certificate is registered to Cede & Co., the payment of principal upon a partial redemption of
the principal amount may be accomplished without presentation and surrender of this Certificate.
Interest is payable to the registered owner of this Certificate (or one or more Predecessor
Certificates, as defined in the Ordinance hereinafter referenced) whose name appears on the
“Security Register” maintained by the Paying Agent/Registrar at the close of business on the
“Record Date”, which is the fifteenth day of the month next preceding each interest payment date
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and interest shall be paid by the Paying Agent/Registrar by check sent United States Mail, first
class postage prepaid, to the address of the registered owner recorded in the Security Register or
by such other method, acceptable to the Paying Agent/Registrar, requested by, and at the risk and
expense of, the registered owner. If the date for the payment of the principal of or interest on the
Certificates shall be a Saturday, Sunday, a legal holiday, or a day when banking institutions in
the city where the Designated Payment/Transfer Office of the Paying Agent/Registrar is located
are authorized by law or executive order to close, then the date for such payment shall be the
next succeeding day which is not such a Saturday, Sunday, legal holiday, or day when banking
institutions are authorized to close; and payment on such date shall have the same force and
effect as if made on the original date payment was due. All payments of principal of, premium,
if any, and interest on this Certificate shall be without exchange or collection charges to the
owner hereof and in any coin or currency of the United States of America which at the time of
payment is legal tender for the payment of public and private debts.
This Certificate is one of the series specified in its title issued in the aggregate principal
amount of $_________, to be designated and bear the title “TOWN OF FLOWER MOUND,
TEXAS, CERTIFICATES OF OBLIGATION, SERIES 2012” (hereinafter referred to as the
“Certificates”), for the purpose of paying contractual obligations to be incurred for authorized
needs and purposes, to wit: (i) constructing waterworks and sewer system improvements and
extensions, including the acquisition of land and rights-of-way therefor and (ii) professional
services rendered in connection with the acquisition, construction and financing of such projects,
under and in strict conformity with the Constitution and laws of the State of Texas, particularly
Texas Local Government Code, Subchapter C of Chapter 271, as amended, and pursuant to an
ordinance adopted by the Town Council of the Town (herein referred to as the “Ordinance”).
The Certificates having Stated Maturities on and after March 1, 2023 may be redeemed
prior to their Stated Maturities, at the option of the Town, in whole or in part in principal
amounts of $5,000 or any integral multiple thereof (and if within a Stated Maturity by lot by the
Paying Agent/Registrar), on March 1, 2022, or on any date thereafter, at the redemption price of
par, together with accrued interest to the date of redemption.
At least thirty (30) days prior to a redemption date, the Town shall cause a written notice
of such redemption to be sent by United States Mail, first class postage prepaid, to the registered
owners of each Certificate to be redeemed at the address shown on the Security Register and
subject to the terms and provisions relating thereto contained in the Ordinance. If a Certificate
(or any portion of its principal sum) shall have been duly called for redemption and notice of
such redemption duly given, then upon the redemption date such Certificate (or the portion of its
principal sum to be redeemed) shall become due and payable, and, if moneys for the payment of
the redemption price and the interest accrued on the principal amount to be redeemed to the date
of redemption are held for the purpose of such payment by the Paying Agent/Registrar, interest
shall cease to accrue and be payable from and after the redemption date on the principal amount
redeemed.
In the event a portion of the principal amount of a Certificate is to be redeemed and the
registered owner is someone other than Cede & Co., payment of the redemption price of such
principal amount shall be made to the registered owner only upon presentation and surrender of
such Certificate to the Designated Payment/Transfer Office of the Paying Agent/Registrar, and a
new Certificate or Certificates of like maturity and interest rate in any authorized denominations
provided by the Ordinance for the then unredeemed balance of the principal sum thereof will be
issued to the registered owner, without charge. If a Certificate is selected for redemption, in

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whole or in part, the Town and the Paying Agent/Registrar shall not be required to transfer such
Certificate to an assignee of the registered owner within forty-five (45) days of the redemption
date therefor; provided, however, such limitation on transferability shall not be applicable to an
exchange by the registered owner of the unredeemed balance of a Certificate redeemed in part.
With respect to any optional redemption of the Certificates, unless moneys sufficient to
pay the principal of and premium, if any, and interest on the Certificates to be redeemed shall
have been received by the Paying Agent/Registrar prior to the giving of such notice of
redemption, such notice may state that said redemption is conditional upon the receipt of such
moneys by the Paying Agent/Registrar on or prior to the date fixed for such redemption, or upon
the satisfaction of any prerequisites set forth in such notice of redemption; and, if sufficient
moneys are not received, such notice shall be of no force and effect, the Town shall not redeem
such Certificates and the Paying Agent/Registrar shall give notice, in the manner in which the
notice of redemption was given, to the effect that the Certificates have not been redeemed.
The Certificates are payable from the proceeds of an ad valorem tax levied, within the
limitations prescribed by law, upon all taxable property in the Town and are additionally payable
from and secured by a lien on and limited pledge of the Net Revenues (as defined in the
Ordinance) of the Town’s combined waterworks and sewer system (the “System”), such lien and
pledge being limited to the amount of $1,000 and being junior and subordinate to the lien on and
pledge of the Net Revenues of the System securing the payment of “Prior Lien Bonds”
(identified and defined in the Ordinance) now outstanding and hereafter issued by the Town. In
the Ordinance, the Town reserves and retains the right to issue Prior Lien Bonds while the
Certificates are outstanding without limitation as to principal amount but subject to any terms,
conditions or restrictions as may be applicable thereto under law or otherwise, as well as the
right to issue additional obligations payable from the same sources as the Certificates and,
together with the Certificates, equally and ratably secured by a parity lien on and pledge of the
Net Revenues of the System.
Reference is hereby made to the Ordinance, a copy of which is on file in the Designated
Payment/Transfer Office of the Paying Agent/Registrar, and to all the provisions of which the
Holder by the acceptance hereof hereby assents, for definitions of terms; the description of and
the nature and extent of the tax levied for the payment of the Certificates; the Net Revenues of
the System pledged to the payment of the principal of and interest on the Certificates; the nature
and extent and manner of enforcement of the limited pledge; the terms and conditions relating to
the transfer or exchange of this Certificate; the conditions upon which the Ordinance may be
amended or supplemented with or without the consent of the Holders; the rights, duties, and
obligations of the Town and the Paying Agent/Registrar; the terms and provisions upon which
the tax levy and the liens, pledges, charges and covenants made therein may be discharged at or
prior to the maturity of this Certificate, and this Certificate deemed to be no longer Outstanding
thereunder; and for the other terms and provisions contained therein. Capitalized terms used
herein and not otherwise defined have the meanings assigned in the Ordinance.
This Certificate, subject to certain limitations contained in the Ordinance, may be
transferred on the Security Register only upon its presentation and surrender at the Designated
Payment/Transfer Office of the Paying Agent/Registrar, with the Assignment hereon duly
endorsed by, or accompanied by a written instrument of transfer in form satisfactory to the
Paying Agent/Registrar duly executed by, the registered owner hereof, or his duly authorized
agent. When a transfer on the Security Register occurs, one or more new fully registered
Certificates of the same Stated Maturity, of authorized denominations, bearing the same rate of

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interest, and of the same aggregate principal amount will be issued by the Paying
Agent/Registrar to the designated transferee or transferees.
The Town and the Paying Agent/Registrar, and any agent of either, may treat the
registered owner hereof whose name appears on the Security Register (i) on the Record Date as
the owner entitled to payment of interest hereon, (ii) on the date of surrender of this Certificate as
the owner entitled to payment of principal hereof at its Stated Maturity or its redemption, in
whole or in part, and (iii) on any other date as the owner for all other purposes, and neither the
Town nor the Paying Agent/Registrar, or any agent of either, shall be affected by notice to the
contrary. In the event of a non-payment of interest on a scheduled payment date, and for
thirty (30) days thereafter, a new record date for such interest payment (a “Special Record Date”)
will be established by the Paying Agent/Registrar, if and when funds for the payment of such
interest have been received. Notice of the Special Record Date and of the scheduled payment
date of the past due interest (which shall be 15 days after the Special Record Date) shall be sent
at least five (5) business days prior to the Special Record Date by United States Mail, first class
postage prepaid, to the address of each Holder appearing on the Security Register at the close of
business on the last business day next preceding the date of mailing of such notice.
It is hereby certified, recited, represented and covenanted that the Town is duly organized
and legally incorporated under and by virtue of the Constitution and laws of the State of Texas;
that the issuance of the Certificates is duly authorized by law; that all acts, conditions and things
required to exist and be done precedent to and in the issuance of the Certificates to render the
same lawful and valid obligations of the Town have been properly done, have happened and
have been performed in regular and due time, form and manner as required by the Constitution
and laws of the State of Texas, and the Ordinance; that the Certificates do not exceed any
constitutional or statutory limitation; and that due provision has been made for the payment of
the principal of and interest on the Certificates by the levy of a tax and a pledge of the Net
Revenues of the System as aforestated. In case any provision in this Certificate or any
application thereof shall be invalid, illegal, or unenforceable, the validity, legality, and
enforceability of the remaining provisions and applications shall not in any way be affected or
impaired thereby. The terms and provisions of this Certificate and the Ordinance shall be
construed in accordance with and shall be governed by the laws of the State of Texas.
IN WITNESS WHEREOF, the Town Council of the Town has caused this Certificate to
be duly executed under the official seal of the Town as of the Certificate Date.
TOWN OF FLOWER MOUND, TEXAS

COUNTERSIGNED:

Mayor

Town Secretary
(TOWN SEAL)
(c)
Form of Registration Certificate of Comptroller of Public Accounts to
appear on Initial Certificate(s) only.

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REGISTRATION CERTIFICATE OF
COMPTROLLER OF PUBLIC ACCOUNTS
(
(
(
(

OFFICE OF THE COMPTROLLER
OF PUBLIC ACCOUNTS
THE STATE OF TEXAS

REGISTER NO. ______________________

I HEREBY CERTIFY that this Certificate has been examined, certified as to validity and
approved by the Attorney General of the State of Texas and duly registered by the Comptroller
of Public Accounts of the State of Texas.
WITNESS my signature and seal of office this ____________________ .

_______________________________________
Comptroller of Public Accounts
of the State of Texas

(SEAL)
(d)
Certificates only.

Form of Certificate of Paying Agent/Registrar to appear on Definitive

REGISTRATION CERTIFICATE OF PAYING AGENT/REGISTRAR
This Certificate has been duly issued and registered under the provisions of the
within-mentioned Ordinance; the certificate or certificates of the above entitled and designated
series originally delivered having been approved by the Attorney General of the State of Texas
and registered by the Comptroller of Public Accounts, as shown by the records of the Paying
Agent/Registrar.
The designated office of the Paying Agent/Registrar located in East Syracuse, New York,
is the Designated Payment/Transfer Office for this Certificate.
THE BANK OF NEW YORK MELLON
TRUST COMPANY, N.A., Dallas, Texas,
as Paying Agent/Registrar
Registration Date:

By: __________________________________
Authorized Signature

____________________________

(e)

Form of Assignment.
ASSIGNMENT

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FOR VALUE RECEIVED the undersigned hereby sells, assigns, and transfers unto (Print
or typewrite name, address, and zip code of transferee:) _________________________________

(Social Security or other identifying number: ________________________________________)
the within Certificate and all rights thereunder, and hereby irrevocably constitutes and appoints
____________________________ attorney to transfer the within Certificate on the books kept
for registration thereof, with full power of substitution in the premises.
DATED: ___________________________

__________________________________
NOTICE:
The signature on this
assignment must correspond with the
name of the registered owner as it appears
on the face of the within Certificate in
every particular.

Signature guaranteed:
___________________________________

(f)
The Initial Certificate(s) shall be in the form set forth in paragraph (b) of
this Section, except that the form of a single fully registered Initial Certificate shall be modified
as follows:
REGISTERED:
NO. T-1

REGISTERED:
$________
UNITED STATES OF AMERICA
STATE OF TEXAS
TOWN OF FLOWER MOUND, TEXAS,
CERTIFICATE OF OBLIGATION
SERIES 2012

Certificate Date: August 1, 2012
Registered Owner:

______________________

Principal Amount:

DOLLARS

The Town of Flower Mound (hereinafter referred to as the “Town”), a body corporate
and municipal corporation in the Counties of Denton and Tarrant, State of Texas, for value
received, acknowledges itself indebted to and hereby promises to pay to the Registered Owner
named above, or the registered assigns thereof, the above stated Principal Amount on March 1 in
each of the years and in principal installments in accordance with the following schedule:

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YEAR

PRINCIPAL
INSTALLMENTS

INTEREST
RATE

(Information to be inserted from schedule in Section 2 hereof).
(or so much thereof as shall not have been redeemed prior to maturity) and to pay interest on the
unpaid Principal Amount from the interest payment date next preceding the “Registration Date”
of this Certificate appearing below (unless this Certificate bears a “Registration Date” as of an
interest payment date, in which case it shall bear interest from such date, or unless the
“Registration Date” of this Certificate is prior to the initial interest payment date, in which case it
shall bear interest from the Certificate Date) at the per annum rate(s) of interest specified above
computed on the basis of a 360-day year of twelve 30-day months; such interest being payable
on March 1 and September 1 of each year, commencing March 1, 2013, until maturity or prior
redemption of this Certificate. Principal installments of this Certificate are payable at the year of
maturity or on a redemption date to the registered owner hereof by The Bank of New York
Mellon Trust Company, N.A., Dallas, Texas (the “Paying Agent/Registrar”), upon presentation
and surrender at its designated offices in East Syracuse, New York, or, with respect to a
successor paying agent/registrar, at the designated office of such successor (the “Designated
Payment/Transfer Office”). Interest is payable to the registered owner of this Certificate whose
name appears on the “Security Register” maintained by the Paying Agent/Registrar at the close
of business on the “Record Date”, which is the fifteenth day of the month next preceding each
interest payment date hereof and interest shall be paid by the Paying Agent/Registrar by check
sent United States Mail, first class postage prepaid, to the address of the registered owner
recorded in the Security Register or by such other method, acceptable to the Paying
Agent/Registrar, requested by, and at the risk and expense of, the registered owner. If the date
for the payment of the principal of or interest on the Certificates shall be a Saturday, Sunday, a
legal holiday, or a day when banking institutions in the city where the Designated
Payment/Transfer Office of the Paying Agent/Registrar is located are authorized by law or
executive order to close, then the date for such payment shall be the next succeeding day which
is not such a Saturday, Sunday, legal holiday, or day when banking institutions are authorized to
close; and payment on such date shall have the same force and effect as if made on the original
date payment was due. All payments of principal of, premium, if any, and interest on this
Certificate shall be without exchange or collection charges to the owner hereof and in any coin or
currency of the United States of America which at the time of payment is legal tender for the
payment of public and private debts.
SECTION 10: Definitions. For purposes of this Ordinance and for clarity with respect to
the issuance of the Certificates herein authorized, and the levy of taxes and appropriation of Net
Revenues therefor, the following words or terms, whenever the same appear herein without
qualifying language, are defined to mean as follows:
(a)
The term “Additional Certificates” shall mean tax and revenue obligations
hereafter issued under and pursuant to the provisions of Texas Local Government Code,
Subchapter C of Chapter 271, or other law and payable from ad valorem taxes and additionally
payable from and secured by a lien on and pledge of the Net Revenues of the System on a parity
with and of equal rank and dignity with the lien and pledge securing the payment of the
Certificates.
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(b)
The term “Certificate Fund” shall mean the special Fund created and
established under the provisions of Section 11 of this Ordinance.
(c)
The term “Certificates” shall mean the “Town of Flower Mound, Texas,
Certificates of Obligation, Series 2012” authorized by this Ordinance.
(d)
The term “Collection Date” shall mean, when reference is being made to
the levy and collection of annual ad valorem taxes, the date the annual ad valorem taxes levied
each year by the Town become delinquent.
(e)
The term “Fiscal Year” shall mean the twelve month period ending on
September 30 of each year.
(f)
The term “Net Revenues” shall mean the gross revenues of the System,
less the expense of operation and maintenance, including all salaries, labor, materials, interest,
repairs and extensions necessary to render efficient service; provided, however, that only such
repairs and extensions, as in the judgment of the Town Council, reasonably and fairly exercised,
are necessary to keep the System in operation and render adequate service to the Town and the
inhabitants thereof, or such as might be necessary to meet some physical accident or condition
which would otherwise impair the security of any obligations payable from and secured by a lien
on the Net Revenues of the System, shall be deducted in determining “Net Revenues”.
(g)
The term “Outstanding” when used in this Ordinance with respect to
Certificates means, as of the date of determination, all Certificates theretofore issued and
delivered under this Ordinance, except:
(1)
those Certificates canceled by the Paying Agent/Registrar or
delivered to the Paying Agent/Registrar for cancellation;
(2)
those Certificates deemed to be duly paid by the Town in
accordance with the provisions of Section 24 hereof; and
(3)
those Certificates that have been mutilated, destroyed, lost, or
stolen and replacement Certificates have been registered and delivered in lieu
thereof as provided in Section 25 hereof.
(h)
The term “Prior Lien Bonds” shall mean all bonds including the
outstanding “Town of Flower Mound, Texas, Waterworks and Sewer System Revenue
Refunding Bonds, Series 2005”, or other similar obligations now outstanding and hereafter
issued that are payable from and secured by a lien on and pledge of the Net Revenues of the
System, which is prior in right and claim to the lien on and pledge of the Net Revenues securing
the payment of the Certificates.
(i)
The term “System” shall mean the Town’s combined waterworks and
sewer system, including all properties (real, personal or mixed and tangible or intangible) owned,
operated, maintained and vested in the Town for the supply, treatment and distribution of treated
water for domestic commercial, industrial and other uses and the together with all future
additions, extensions replacements and improvements thereto.
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SECTION 11: Certificate Fund. For the purpose of paying the interest on and to provide
a sinking fund for the payment, redemption and retirement of the Certificates, there shall be and
is hereby created a special account on the books of the Town to be designated “SPECIAL 2012
TAX AND REVENUE CERTIFICATE OF OBLIGATION FUND,” and all moneys deposited
to the credit of such account shall be kept and maintained in a banking fund maintained at the
Town’s depository. The Mayor, Mayor Pro Tem, Deputy Mayor Pro Tem, Town Manager,
Assistant Town Manager, Assistant Town Manager/CFO or Town Secretary, individually or
collectively, are hereby authorized and directed to make withdrawals from the Certificate Fund
sufficient to pay the principal of and interest on the Certificates as the same become due and
payable, and, shall cause to be transferred to the Paying Agent/Registrar from moneys on deposit
in the Certificate Fund an amount sufficient to pay the amount of principal and/or interest falling
due on the Certificates, such transfer of funds to the Paying Agent/Registrar to be made in such
manner as will cause immediately available funds to be deposited with the Paying
Agent/Registrar on or before the last business day next preceding each interest and principal
payment date for the Certificates.
Pending the transfer of funds to the Paying Agent/Registrar, money in the Certificate
Fund may, at the option of the Town, be invested in obligations identified in, and in accordance
with the provisions of the Town’s Investment Policy as the same may be amended from time to
time and the “Public Funds Investment Act” relating to the investment of “bond proceeds”;
provided that all such investments shall be made in such a manner that the money required to be
expended from said Fund will be available at the proper time or times. All interest and income
derived from deposits and investments in said Certificate Fund shall be credited to, and any
losses debited to, the said Certificate Fund. All such investments shall be sold promptly when
necessary to prevent any default in connection with the Certificates.
SECTION 12: Tax Levy.
To provide for the payment of the “Debt Service
Requirements” on the Certificates being (i) the interest on said Certificates and (ii) a sinking
fund for their redemption at maturity or a sinking fund of 2% (whichever amount shall be the
greater), there shall be and there is hereby levied, within the limitations prescribed by law, for
the current year and each succeeding year thereafter while said Certificates or any interest
thereon shall remain Outstanding, a sufficient tax on each one hundred dollars’ valuation of
taxable property in said Town, adequate to pay such Debt Service Requirements, full allowance
being made for delinquencies and costs of collection; said tax shall be assessed and collected
each year and applied to the payment of the Debt Service Requirements, and the same shall not
be diverted to any other purpose. The taxes so levied and collected shall be paid into the
Certificate Fund. The Town Council hereby declares its purpose and intent to provide and levy a
tax legally and fully sufficient to pay the said Debt Service Requirements, it having been
determined that the existing and available taxing authority of the Town for such purpose is
adequate to permit a legally sufficient tax in consideration of all other outstanding indebtedness.
The amount of taxes to be provided annually for the payment of the principal of and
interest on the Certificates shall be determined and accomplished in the following manner:
(a)
Prior to the date the Town Council establishes the annual tax rate and
passes an ordinance levying ad valorem taxes each year, the Town Council shall determine:

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(1)
The amount on deposit in the Certificate Fund after (a) deducting
therefrom the total amount of Debt Service Requirements to become due on
Certificates prior to the Collection Date for the ad valorem taxes to be levied and
(b) adding thereto the amount of the Net Revenues of the System appropriated
and allocated to pay such Debt Service Requirements prior to the Collection Date
for the ad valorem taxes to be levied.
(2)
The amount of Net Revenues of the System, and any other lawfully
available revenues which are appropriated and to be set aside for the payment of
the Debt Service Requirements on the Certificates between the Collection Date
for the taxes then to be levied and the Collection Date for the taxes to be levied
during the next succeeding calendar year.
(3)
The amount of Debt Service Requirements to become due and
payable on the Certificates between the Collection Date for the taxes then to be
levied and the Collection Date for the taxes to be levied during the next
succeeding calendar year.
(b)
The amount of taxes to be levied annually each year to pay the Debt
Service Requirements on the Certificates shall be the amount established in paragraph (3) above
less the sum total of the amounts established in paragraphs (1) and (2), after taking into
consideration delinquencies and costs of collecting such annual taxes.
SECTION 13: Limited Pledge of Net Revenues. The Town hereby covenants and agrees
that, subject to the prior lien on and pledge of the Net Revenues of the System to the payment
and security of Prior Lien Bonds, the Net Revenues of the System in the amount of $1,000 are
hereby irrevocably pledged, equally and ratably, to the payment of the principal of and interest
on the Certificates, and the limited pledge of $1,000 of the Net Revenues of the System herein
made for the payment of the Certificates shall constitute a lien on the Net Revenues of the
System until such time as the Town shall pay all of such $1,000, after which time the pledge
shall cease. Furthermore, such lien on and pledge of the Net Revenues securing the payment of
the Certificates shall be valid and binding and fully perfected from and after the date of adoption
of this Ordinance without physical delivery or transfer or transfer of control of the Net Revenues,
the filing of this Ordinance or any other act; all as provided in Chapter 1208 of the Texas
Government Code.
Section 1208, Texas Government Code, applies to the issuance of the Certificates and the
pledge of the Net Revenues of the System granted by the Town under this Section 13, and such
pledge is therefore valid, effective and perfected. If Texas law is amended at any time while the
Certificates are Outstanding such that the pledge of the Net Revenues of the System granted by
the Town under this Section 13 is to be subject to the filing requirements of Chapter 9, Texas
Business and Commerce Code, as amended, then in order to preserve to the registered owners of
the Certificates the perfection of the security interest in said pledge, the Town agrees to take such
measures as it determines are reasonable and necessary under Texas law to comply with the
applicable provisions of Chapter 9, Texas Business and Commerce Code, as amended, and
enable a filing to perfect the security interest in said pledge to occur.

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SECTION 14: Revenue Fund. The Town hereby covenants and agrees that so long as the
pledge of the Net Revenues is made to the payment of the Certificates all revenues derived from
the operation of the System shall be kept separate and apart from all other funds, accounts and
moneys of the Town, and all such revenues shall be deposited as collected into the “Town of
Flower Mound, Texas, Waterworks and Sewer System Revenue Fund” (heretofore created and
established and hereinafter called the “Revenue Fund”). All moneys deposited to the credit of
the Revenue Fund shall be pledged and appropriated to the extent required for the following
purposes and in the order of priority shown, to wit:
First:
To the payment of the reasonable and proper operating and
maintenance expenses as defined herein or required by statute to be a first charge
on and claim against the gross revenues of the System.
Second:
To the payment of all amounts required to be deposited in the
special Funds created and established for the payment, security and benefit of
Prior Lien Bonds in accordance with the terms and provisions of any ordinance
authorizing the issuance of Prior Lien Bonds.
Third:
To the payment, equally and ratably, of the limited amounts
required to be deposited in the special funds and accounts created and established
for the payment of the debt service requirements of the Certificates (the
Certificate Fund) and Additional Certificates.
Any Net Revenues remaining in the Revenue Fund after satisfying the foregoing
payments, or making adequate and sufficient provision for the payment thereof, may be
appropriated and used for any other Town purpose now or hereafter permitted by law.
SECTION 15: Deposits to Certificate Fund. Subject to the provisions of Section 13
hereof, the Town hereby covenants and agrees to cause to be deposited in the Certificate Fund
from the pledged Net Revenues of the System in the Revenue Fund, the amount of Net Revenues
of the System pledged to the payment of the Certificates.
The Town covenants and agrees that the amount of pledged Net Revenues of the System
($1,000), together with other lawfully available revenues appropriated by the Town for payment
of the debt service requirements on the Certificates and ad valorem taxes levied, collected, and
deposited in the Certificate Fund for and on behalf of the Certificates, will be an amount equal to
one hundred percent (100%) of the amount required to fully pay the interest and principal due
and payable on the Certificates. In addition, any surplus proceeds from the sale of the
Certificates not expended for authorized purposes shall be deposited in the Certificate Fund, and
such amounts so deposited shall reduce the sums otherwise required to be deposited in said Fund
from ad valorem taxes and the Net Revenues of the System.
SECTION 16: Security of Funds. All moneys on deposit in the Funds for which this
Ordinance makes provision (except any portion thereof as may be at any time properly invested)
shall be secured in the manner and to the fullest extent required by the laws of Texas for the
security of public funds, and moneys on deposit in such Funds shall be used only for the
purposes permitted by this Ordinance.

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SECTION 17: Special Covenants. The Town hereby further covenants as follows:
(1)
It has the lawful power to pledge the Net Revenues of the System
supporting this issue of Certificates and has lawfully exercised said powers under
the Constitution and laws of the State of Texas, including said power existing
under Texas Government Code, Chapter 1502 and Texas Local Government
Code, Sections 271.041, et seq.
(2)
Other than for the payment of the Prior Lien Bonds and the
Certificates, the Net Revenues of the System are not pledged to the payment of
any debt or obligation of the Town or of the System.
SECTION 18: Issuance of Prior Lien Bonds and Additional Certificates. The Town
hereby expressly reserves the right to hereafter issue Prior Lien Bonds, without limitation as to
principal amount but subject to any terms, conditions or restrictions applicable thereto under law
or otherwise, and also reserves the right to issue Additional Certificates which, together with the
Certificates, shall be secured by a parity lien on and pledge of the Net Revenues of the System.
SECTION 19: Application of Prior Lien Bonds Covenants and Agreements. It is the
intention of this governing body and accordingly hereby recognized and stipulated that the
provisions, agreements and covenants contained herein bearing upon the management and
operations of the System, and the administering and application of revenues derived from the
operation thereof, shall to the extent possible be harmonized with like provisions, agreements
and covenants contained in the ordinances authorizing the issuance of the Prior Lien Bonds, and
to the extent of any irreconcilable conflict between the provisions contained herein and in the
ordinances authorizing the issuance of the Prior Lien Bonds, the provisions, agreements and
covenants contained therein shall prevail to the extent of such conflict and be applicable to this
Ordinance but in all respects subject to the priority of rights and benefits, if any, conferred
thereby to the holders of the Prior Lien Bonds. Notwithstanding the above, any change or
modification affecting the application of revenues derived from the operation of the System shall
not impair the obligation of contract with respect to the pledge of revenues herein made for the
payment and security for the Certificates.
SECTION 20: Further Procedures. Any one or more of the Mayor, Mayor Pro Tem,
Deputy Mayor Pro Tem, Town Manager, Assistant Town Manager, Assistant Town
Manager/CFO and Town Secretary are hereby expressly authorized, empowered and directed
from time to time and at any time to do and perform all such acts and things and to execute,
acknowledge and deliver in the name and on behalf of the Town all agreements, instruments,
certificates or other documents, whether mentioned herein or not, as may be necessary or
desirable in order to carry out the terms and provisions of this Ordinance and the issuance of the
Certificates. In addition, prior to the initial delivery of the Certificates, the Mayor, Mayor Pro
Tem, Deputy Mayor Pro Tem, Town Manager, Assistant Town Manager, Assistant Town
Manager/CFO, or Bond Counsel to the Town are each hereby authorized and directed to approve
any changes or corrections to this Ordinance or to any of the documents authorized and approved
by this Ordinance: (i) in order to cure any ambiguity, formal defect, or omission in the Ordinance
or such other document; or (ii) as requested by the Attorney General of the State of Texas or his
representative to obtain the approval of the Certificates by the Attorney General and if such

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officer or counsel determines that such changes are consistent with the intent and purpose of the
Ordinance, which determination shall be final. In the event that any officer of the Town whose
signature shall appear on any document shall cease to be such officer before the delivery of such
document, such signature nevertheless shall be valid and sufficient for all purposes the same as if
such officer had remained in office until such delivery.
SECTION 21: Notices to Holders Waiver. Wherever this Ordinance provides for notice
to Holders of any event, such notice shall be sufficiently given (unless otherwise herein
expressly provided) if in writing and sent by United States Mail, first class postage prepaid, to
the address of each Holder appearing on the Security Register at the close of business on the
business day next preceding the mailing of such notice.
In any case where notice to Holders is given by mail, neither the failure to mail such
notice to any particular Holders, nor any defect in any notice so mailed, shall affect the
sufficiency of such notice with respect to all other Certificates. Where this Ordinance provides
for notice in any manner, such notice may be waived in writing by the Holder entitled to
receive such notice, either before or after the event with respect to which such notice is given,
and such waiver shall be the equivalent of such notice. Waivers of notice by Holders shall be
filed with the Paying Agent/Registrar, but such filing shall not be a condition precedent to the
validity of any action taken in reliance upon such waiver.
SECTION 22: Cancellation. All Certificates surrendered for payment, redemption,
transfer, exchange, or replacement, if surrendered to the Paying Agent/Registrar, shall be
promptly canceled by it and, if surrendered to the Town, shall be delivered to the Paying
Agent/Registrar and, if not already canceled, shall be promptly canceled by the Paying
Agent/Registrar. The Town may at any time deliver to the Paying Agent/Registrar for
cancellation any Certificates previously certified or registered and delivered which the Town
may have acquired in any manner whatsoever, and all Certificates so delivered shall be promptly
canceled by the Paying Agent/Registrar. All canceled Certificates held by the Paying
Agent/Registrar shall be returned to the Town.
SECTION 23: Covenants to Maintain Tax-Exempt Status.
(a)
Definitions. When used in this Section, the following terms have the
following meanings:
“Closing Date” means the date on which the Certificates are first
authenticated and delivered to the initial purchasers against payment therefor.
“Code” means the Internal Revenue Code of 1986, as amended by all
legislation, if any, effective on or before the Closing Date.
“Computation Date” has the meaning set forth in Section 1.148-1(b) of
the Regulations.
“Gross Proceeds” means any proceeds as defined in Section 1.148-1(b) of
the Regulations, and any replacement proceeds as defined in Section 1.148-1(c) of
the Regulations, of the Certificates.
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“Investment” has the meaning set forth in Section 1.148-1(b) of the
Regulations.
“Nonpurpose Investment” means any investment property, as defined in
Section 148(b) of the Code, in which Gross Proceeds of the Certificates are
invested and which is not acquired to carry out the governmental purposes of the
Certificates.
“Rebate Amount” has the meaning set forth in Section 1.148-1(b) of the
Regulations.
“Regulations” means any proposed, temporary, or final Income Tax
Regulations issued pursuant to Sections 103 and 141 through 150 of the Code,
and 103 of the Internal Revenue Code of 1954, which are applicable to the
Certificates. Any reference to any specific Regulation shall also mean, as
appropriate, any proposed, temporary or final Income Tax Regulation designed to
supplement, amend or replace the specific Regulation referenced.
“Yield” of (1) any Investment has the meaning set forth in Section 1.148-5
of the Regulations and (2) the Certificates has the meaning set forth in Section
1.148-4 of the Regulations.
(b)
Not to Cause Interest to Become Taxable. The Town shall not use, permit
the use of, or omit to use Gross Proceeds or any other amounts (or any property the acquisition,
construction or improvement of which is to be financed directly or indirectly with Gross
Proceeds) in a manner which if made or omitted, respectively, would cause the interest on any
Certificate to become includable in the gross income, as defined in Section 61 of the Code, of the
owner thereof for federal income tax purposes. Without limiting the generality of the foregoing,
unless and until the Town receives a written opinion of counsel nationally recognized in the field
of municipal bond law to the effect that failure to comply with such covenant will not adversely
affect the exemption from federal income tax of the interest on any Certificate, the Town shall
comply with each of the specific covenants in this Section.
(c)
No Private Use or Private Payments. Except as permitted by Section 141
of the Code and the Regulations and rulings thereunder, the Town shall at all times prior to the
last Stated Maturity of Certificates:
(1)
exclusively own, operate and possess all property the acquisition,
construction or improvement of which is to be financed or refinanced directly or
indirectly with Gross Proceeds of the Certificates, and not use or permit the use of
such Gross Proceeds (including all contractual arrangements with terms different
than those applicable to the general public) or any property acquired, constructed
or improved with such Gross Proceeds in any activity carried on by any person or
entity (including the United States or any agency, department and instrumentality
thereof) other than a state or local government, unless such use is solely as a
member of the general public; and

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(2)
not directly or indirectly impose or accept any charge or other
payment by any person or entity who is treated as using Gross Proceeds of the
Certificates or any property the acquisition, construction or improvement of
which is to be financed or refinanced directly or indirectly with such Gross
Proceeds, other than taxes of general application within the Town or interest
earned on investments acquired with such Gross Proceeds pending application for
their intended purposes.
(d)
No Private Loan. Except to the extent permitted by Section 141 of the
Code and the Regulations and rulings thereunder, the Town shall not use Gross Proceeds of the
Certificates to make or finance loans to any person or entity other than a state or local
government. For purposes of the foregoing covenant, such Gross Proceeds are considered to be
“loaned” to a person or entity if: (1) property acquired, constructed or improved with such Gross
Proceeds is sold or leased to such person or entity in a transaction which creates a debt for
federal income tax purposes; (2) capacity in or service from such property is committed to such
person or entity under a take-or-pay, output or similar contract or arrangement; or (3) indirect
benefits, or burdens and benefits of ownership, of such Gross Proceeds or any property acquired,
constructed or improved with such Gross Proceeds are otherwise transferred in a transaction
which is the economic equivalent of a loan.
(e)
Not to Invest at Higher Yield. Except to the extent permitted by Section
148 of the Code and the Regulations and rulings thereunder, the Town shall not at any time prior
to the final Stated Maturity of the Certificates directly or indirectly invest Gross Proceeds in any
Investment (or use Gross Proceeds to replace money so invested), if as a result of such
investment the Yield from the Closing Date of all Investments acquired with Gross Proceeds (or
with money replaced thereby), whether then held or previously disposed of, exceeds the Yield of
the Certificates.
(f)
Not Federally Guaranteed. Except to the extent permitted by Section
149(b) of the Code and the Regulations and rulings thereunder, the Town shall not take or omit
to take any action which would cause the Certificates to be federally guaranteed within the
meaning of Section 149(b) of the Code and the Regulations and rulings thereunder.
(g)
Information Report. The Town shall timely file the information required
by Section 149(e) of the Code with the Secretary of the Treasury on Form 8038-G or such other
form and in such place as the Secretary may prescribe.
(h)
Rebate of Arbitrage Profits. Except to the extent otherwise provided in
Section 148(f) of the Code and the Regulations and rulings thereunder:
(1)
The Town shall account for all Gross Proceeds (including all
receipts, expenditures and investments thereof) on its books of account separately
and apart from all other funds (and receipts, expenditures and investments
thereof) and shall retain all records of accounting for at least six years after the
day on which the last outstanding Certificate is discharged. However, to the
extent permitted by law, the Town may commingle Gross Proceeds of the
Certificates with other money of the Town, provided that the Town separately

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accounts for each receipt and expenditure of Gross Proceeds and the obligations
acquired therewith.
(2)
Not less frequently than each Computation Date, the Town shall
calculate the Rebate Amount in accordance with rules set forth in Section 148(f)
of the Code and the Regulations and rulings thereunder. The Town shall maintain
such calculations with its official transcript of proceedings relating to the issuance
of the Certificates until six years after the final Computation Date.
(3)
As additional consideration for the purchase of the Certificates by
the Purchasers and the loan of the money represented thereby and in order to
induce such purchase by measures designed to insure the excludability of the
interest thereon from the gross income of the owners thereof for federal income
tax purposes, the Town shall pay to the United States from the general fund, other
appropriate fund, or if permitted by applicable Texas statute, regulation or opinion
of the Attorney General of the State of Texas, the Certificate Fund, the amount
that when added to the future value of previous rebate payments made for the
Certificates equals (i) in the case of a Final Computation Date as defined in
Section 1.148-3(e)(2) of the Regulations, one hundred percent (100%) of the
Rebate Amount on such date; and (ii) in the case of any other Computation Date,
ninety percent (90%) of the Rebate Amount on such date. In all cases, the rebate
payments shall be made at the times, in the installments, to the place and in the
manner as is or may be required by Section 148(f) of the Code and the
Regulations and rulings thereunder, and shall be accompanied by Form 8038-T or
such other forms and information as is or may be required by Section 148(f) of
the Code and the Regulations and rulings thereunder.
(4)
The Town shall exercise reasonable diligence to assure that no
errors are made in the calculations and payments required by paragraphs (2) and
(3), and if an error is made, to discover and promptly correct such error within a
reasonable amount of time thereafter (and in all events within one hundred eighty
(180) days after discovery of the error), including payment to the United States of
any additional Rebate Amount owed to it, interest thereon, and any penalty
imposed under Section 1.148-3(h) of the Regulations.
(i)
Not to Divert Arbitrage Profits. Except to the extent permitted by Section
148 of the Code and the Regulations and rulings thereunder, the Issuer shall not, at any time
prior to the earlier of the Stated Maturity or final payment of the Certificates, enter into any
transaction that reduces the amount required to be paid to the United States pursuant to
Subsection (h) of this Section because such transaction results in a smaller profit or a larger loss
than would have resulted if the transaction had been at arm’s length and had the Yield of the
Certificates not been relevant to either party.
(j)
Elections. The Town hereby directs and authorizes the Mayor, Mayor Pro
Tem, Deputy Mayor Pro Tem, Town Manager and Assistant Town Manager/CFO, either or any
combination of them to make elections permitted or required pursuant to the provisions of the
Code or the Regulations, as they deem necessary or appropriate in connection with the

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Certificates, in the Certificate as to Tax Exemption or similar or other appropriate certificate,
form or document.
SECTION 24: Satisfaction of Obligations of Town. If the Town shall pay or cause to be
paid, or there shall otherwise be paid to the Holders, the principal of, premium, if any, and
interest on the Certificates, at the times and in the manner stipulated in this Ordinance, then the
pledge of taxes levied under this Ordinance and the Net Revenues of the System (to the extent
such limited pledge of Net Revenues shall not have been discharged or terminated by prior
payment of principal of or interest on the Certificates) and all covenants, agreements, and other
obligations of the Town to the Holders shall thereupon cease, terminate, and be discharged and
satisfied.
Certificates or any principal amount(s) thereof shall be deemed to have been paid within
the meaning and with the effect expressed above in this Section (“Defeased Certificates”) when
(i) money sufficient to pay in full such Certificates or the principal amount(s) thereof at maturity
or the redemption date therefor, together with all interest due thereon, shall have been
irrevocably deposited with and held in trust by the Paying Agent/Registrar, or an authorized
escrow agent, or (ii) Government Securities shall have been irrevocably deposited in trust with
the Paying Agent/Registrar, or an authorized escrow agent, which Government Securities have
been certified by an independent accounting firm to mature as to principal and interest in such
amounts and at such times as will insure the availability, without reinvestment, of sufficient
money, together with any moneys deposited therewith, if any, to pay when due the principal of
and interest on such Certificates, or the principal amount(s) thereof, on and prior to the Stated
Maturity thereof or (if notice of redemption has been duly given or waived or if irrevocable
arrangements therefor acceptable to the Paying Agent/ Registrar have been made) the redemption
date thereof. At such time as Certificates shall be deemed to be Defeased Certificates hereunder,
as aforesaid, such Certificates and the interest thereon shall no longer be secured by, payable
from, or entitled to the benefits of, the taxes or revenues levied and pledged as provided in this
Ordinance, and such principal and interest shall be payable solely from such money or
Government Securities. Notwithstanding any other provision of this Ordinance to the contrary, it
is hereby provided that any determination not to redeem the Defeased Certificates that is made in
conjunction with the payment arrangements specified in (i) or (ii) above in this paragraph shall
not be irrevocable, provided that in the proceedings providing for such payment arrangements,
the Town: (1) expressly reserves the right to call the Defeased Certificates for redemption;
(2) gives notice of the reservation of that right to the registered owners of the Defeased
Certificates immediately following the making of the payment arrangements; and (3) directs that
notice of the reservation be included in any redemption notices that it authorizes. The Town
covenants that no deposit of moneys or Government Securities will be made under this Section
and no use made of any such deposit which would cause the Certificates to be treated as
“arbitrage bonds” within the meaning of Section 148 of the Internal Revenue Code of 1986, as
amended, or regulations adopted pursuant thereto.
Any moneys so deposited with the Paying Agent/Registrar, or an authorized escrow
agent, and all income from Government Securities held in trust by the Paying Agent/Registrar, or
an authorized escrow agent, pursuant to this Section which is not required for the payment of the
Certificates, or any principal amount(s) thereof, or interest thereon with respect to which such
moneys have been so deposited shall be remitted to the Town or deposited as directed by the
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Town. Furthermore, any money held by the Paying Agent/Registrar for the payment of the
principal of and interest on the Certificates and remaining unclaimed for a period of three (3)
years after the Stated Maturity, or applicable redemption date, of the Certificates such moneys
were deposited and are held in trust to pay shall upon the request of the Town be remitted to the
Town against a written receipt therefor. Notwithstanding the above and foregoing, any
remittance of funds from the Paying Agent/Registrar to the Town shall be subject to any
applicable unclaimed property laws of the State of Texas.
The term “Government Securities” as used herein, means (i) direct noncallable
obligations of the United States of America, including obligations the principal of and interest on
which are unconditionally guaranteed by the United States of America, (ii) noncallable
obligations of an agency or instrumentality of the United States, including obligations
unconditionally guaranteed or insured by the agency or instrumentality and on the date of their
acquisition or purchase by the Town are rated as to investment quality by a nationally recognized
investment rating firm not less than AAA or its equivalent, (iii) noncallable obligations of a state
or an agency or a county, municipality, or other political subdivision of a state that have been
refunded and on the date of their acquisition or purchase by the Town, are rated as to investment
quality by a nationally recognized investment rating firm not less than AAA or its equivalent,
and (iv) any other then authorized securities or obligations that may be used to defease
obligations such as the Certificates under the then applicable laws of the State of Texas.
SECTION 25: Mutilated, Destroyed, Lost, and Stolen Certificates. In case any
Certificate shall be mutilated, or destroyed, lost or stolen, the Paying Agent/Registrar may
execute and deliver a replacement Certificate of like form and tenor, and in the same
denomination and bearing a number not contemporaneously outstanding, in exchange and
substitution for such mutilated Certificate, or in lieu of and in substitution for such destroyed,
lost or stolen Certificate, only upon the approval of the Town and after (i) the filing by the
Holder thereof with the Paying Agent/Registrar of evidence satisfactory to the Paying
Agent/Registrar of the destruction, loss or theft of such Certificate, and of the authenticity of the
ownership thereof and (ii) the furnishing to the Paying Agent/Registrar of indemnification in an
amount satisfactory to hold the Town and the Paying Agent/Registrar harmless. All expenses
and charges associated with such indemnity and with the preparation, execution and delivery of a
replacement Certificate shall be borne by the Holder of the Certificate mutilated, or destroyed,
lost or stolen.
Every replacement Certificate issued pursuant to this Section shall be a valid and binding
obligation, and shall be entitled to all the benefits of this Ordinance equally and ratably with all
other Outstanding Certificates; notwithstanding the enforceability of payment by anyone of the
destroyed, lost, or stolen Certificates.
The provisions of this Section are exclusive and shall preclude (to the extent lawful) all
other rights and remedies with respect to the replacement and payment of mutilated, destroyed,
lost or stolen Certificates.
SECTION 26: Ordinance a Contract - Amendments. This Ordinance shall constitute a
contract with the Holders from time to time, be binding on the Town, and shall not be amended
or repealed by the Town so long as any Certificate remains Outstanding except as permitted in

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this Section and Section 33 hereof. The Town, may, without the consent of or notice to any
Holders, from time to time and at any time, amend this Ordinance in any manner not detrimental
to the interests of the Holders, including the curing of any ambiguity, inconsistency, or formal
defect or omission herein. In addition, the Town may, with the written consent of Holders
holding a majority in aggregate principal amount of the Certificates and Additional Certificates
then Outstanding, amend, add to, or rescind any of the provisions of this Ordinance; provided
that, without the consent of all Holders of Outstanding Certificates, no such amendment,
addition, or rescission shall (1) extend the time or times of payment of the principal of, premium,
if any, and interest on the Certificates, reduce the principal amount thereof, the redemption price,
or the rate of interest thereon, or in any other way modify the terms of payment of the principal
of, premium, if any, or interest on the Certificates, (2) give any preference to any Certificate over
any other Certificate, or (3) reduce the aggregate principal amount of Certificates required to be
held by Holders for consent to any such amendment, addition, or rescission.
SECTION 27: Sale of Certificates. Pursuant to a public sale for the Certificates, the bid
submitted by ___________________ (herein referred to as the “Purchasers”) is declared to be
the best bid received producing the lowest true interest cost rate to the Town, and the sale of the
Certificates to said Purchasers at the price of par and accrued interest to the date of delivery is
hereby determined to be in the best interests of the Town and is approved and confirmed.
Delivery of the Certificates to the Purchasers shall occur as soon as possible upon payment being
made therefor in accordance with the terms of sale. The Initial Certificate shall be registered in
the name of the Purchasers.
SECTION 28: Official Statement. The use of the Preliminary Official Statement by the
Purchasers in connection with the public offering and sale of the Certificates is hereby ratified,
confirmed and approved in all respects. The final Official Statement, which reflects the terms of
sale (together with such changes approved by the Mayor, Mayor Pro Tem, Deputy Mayor Pro
Tem, Town Manager, Assistant Town Manager, Assistant Town Manager/CFO or Town
Secretary, individually or collectively), shall be and is hereby in all respects approved and the
Purchasers are hereby authorized to use and distribute said final Official Statement, dated August
__, 2012 in the reoffering, sale and delivery of the Certificates to the public. The Mayor and
Town Secretary are further authorized and directed to manually execute and deliver for and on
behalf of the Town copies of said Official Statement in final form as may be required by the
Purchasers, and such final Official Statement in the form and content manually executed by said
officials shall be deemed to be approved by the Town Council and constitute the Official
Statement authorized for distribution and use by the Purchasers.
SECTION 29: Proceeds of Sale. The proceeds of sale of the Certificates, excluding the
accrued interest and the amount to be used to pay the costs of issuing the Certificates, shall be
deposited in a fund maintained at a depository bank of the Town. Pending expenditure for
authorized projects and purposes, such proceeds of sale may be invested in authorized
investments and any investment earnings realized shall be expended for such authorized projects
and purposes or deposited in the Certificate Fund as shall be determined by the Town Council.
Accrued interest received from the Purchasers as well as any surplus proceeds of sale of the
Certificates, including investment earnings, remaining after completion of all authorized projects
or purposes shall be deposited to the credit of the Certificate Fund.

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SECTION 30: Control and Custody of Certificates. The Mayor of the Town shall be and
is hereby authorized to take and have charge of all necessary orders and records pending the sale
of the Certificates, the investigation by the Attorney General of the State of Texas, including the
printing and supply of definitive Certificates, and shall take and have charge and control of the
Initial Certificate pending the approval thereof by the Attorney General and its registration
thereof by the Comptroller of Public Accounts.
Furthermore, the Mayor, Mayor Pro Tem, Deputy Mayor Pro Tem, Town Manager,
Assistant Town Manager, Assistant Town Manager/CFO and Town Secretary individually or
collectively, are hereby authorized and directed to furnish and execute such documents and
certifications relating to the Town and the issuance of the Certificates, including a certification as
to facts, estimates, circumstances and reasonable expectations pertaining to the use and
expenditure and investment of the proceeds of the Certificates as may be necessary for the
approval of the Attorney General and their registration by the Comptroller of Public Accounts.
In addition, such officials, together with the Town’s financial advisor, bond counsel and the
Paying Agent/Registrar, are authorized and directed to make the necessary arrangements for the
delivery of the Initial Certificate(s) to the initial purchasers.
SECTION 31: Bond Counsel’s Opinion. The Purchasers’ obligation to accept delivery of
the Certificates is subject to being furnished a final opinion of Fulbright & Jaworski L.L.P.,
Dallas, Texas approving the Certificates as to their validity, said opinion to be dated and
delivered as of the date of delivery and payment for the Certificates. An executed counterpart of
said opinion shall accompany the global certificates deposited with The Depository Trust
Company or a reproduction thereof shall be printed on the definitive Certificates in the event the
book-entry-only system shall be discontinued.
SECTION 32: CUSIP Numbers. CUSIP numbers may be printed or typed on the
definitive Certificates. It is expressly provided, however, that the presence or absence of CUSIP
numbers on the definitive Certificates shall be of no significance or effect as regards the legality
thereof and neither the Town nor attorneys approving said Certificates as to legality are to be
held responsible for CUSIP numbers incorrectly printed or typed on the definitive Certificates.
SECTION 33: Continuing Disclosure Undertaking.
(a)
Definitions. As used in this Section, the following terms have the
meanings ascribed to such terms below:
“MSRB” means the Municipal Securities Rulemaking Board.
“Rule” means SEC Rule 15c2-12, as amended from time to time.
“SEC” means the United States Securities and Exchange Commission.
(b)

Annual Reports.

The Town shall provide annually to the MSRB (1) within six months after the end of
each fiscal year, beginning in or after 2012, financial information and operating data with respect
to the Town of the general type included in the Official Statement and described in Exhibit B
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hereto, and (2) if not provided as part of such financial information and operating data, audited
financial statements of the Town, when and if available. Any financial statements so provided
shall be prepared in accordance with the accounting principles described in Exhibit B hereto, or
such other accounting principles as the Town may be required to employ from time to time
pursuant to state law or regulation, and audited, if the Town commissions an audit of such
statements and the audit is completed within the period during which they must be provided.
If the Town changes its fiscal year, it will notify the MSRB of the change (and of the date
of the new fiscal year end) prior to the next date by which the Town otherwise would be required
to provide financial information and operating data pursuant to this Section.
The financial information and operating data to be provided pursuant to this Section may
be set forth in full in one or more documents or may be included by specific reference to any
documents available to the public on the MSRB’s internet web site or filed with the SEC.
(c)

Notice of Certain Events.

The Town shall provide notice of any of the following events with respect to the
Certificates to the MSRB in a timely manner and not more than ten (10) business days after
occurrence of the event:
(1)

Principal and interest payment delinquencies;

(2)

Non-payment related defaults, if material;

(3)
difficulties;

Unscheduled draws on debt service reserves reflecting financial

(4)
difficulties;

Unscheduled draws on credit enhancements reflecting financial

(5)
perform;

Substitution of credit or liquidity providers, or their failure to

(6)
Adverse tax opinions, the issuance by the Internal Revenue Service
of proposed or final determinations of taxability, Notices of Proposed Issue (IRS
Form 5701-TEB), or other material notices or determinations with respect to the
tax status of the Certificates, or other material events affecting the tax status of the
Certificates;
(7)

Modifications to rights of holders of the Certificates, if material;

(8)

Certificate calls, if material, and tender offers;

(9)

Defeasances;

(10) Release, substitution, or sale of property securing repayment of the
Certificates, if material;
(11)

Rating changes;

(12) Bankruptcy, insolvency, receivership, or similar event of the
Town, which shall occur as described below;

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(13) The consummation of a merger, consolidation, or acquisition
involving the Town or the sale of all or substantially all of its assets, other than in
the ordinary course of business, the entry into of a definitive agreement to
undertake such an action or the termination of a definitive agreement relating to
any such actions, other than pursuant to its terms, if material; and
(14) Appointment of a successor or additional trustee or the change of
name of a trustee, if material.
For these purposes, any event described in the immediately preceding subsection (c)(12)
is considered to occur when any of the following occur: the appointment of a receiver, fiscal
agent, or similar officer for the Town in a proceeding under the United States Bankruptcy Code
or in any other proceeding under state or federal law in which a court or governmental authority
has assumed jurisdiction over substantially all of the assets or business of the Town, or if such
jurisdiction has been assumed by leaving the existing governing body and officials or officers in
possession but subject to the supervision and orders of a court or governmental authority, or the
entry of an order confirming a plan of reorganization, arrangement, or liquidation by a court or
governmental authority having supervision or jurisdiction over substantially all of the assets or
business of the Town.
The Town shall notify the MSRB, in a timely manner, of any failure by the Town to
provide financial information or operating data in accordance with Subsection (b) of this Section
of this Ordinance by the time required by such Section.
(d)

Filings with the MSRB.

All financial information, operating data, financial statements, notices and other
documents provided to the MSRB in accordance with this Section shall be provided in an
electronic format prescribed by the MSRB and shall be accompanied by identifying information
as prescribed by the MSRB.
(e)

Limitations, Disclaimers, and Amendments.

The Town shall be obligated to observe and perform the covenants specified in this
Section for so long as, but only for so long as, the Town remains an “obligated person” with
respect to the Certificates within the meaning of the Rule, except that the Town in any event will
give the notice required by Subsection (c) of this Section of any Certificate calls and defeasance
that cause the Town to be no longer such an “obligated person.”
The provisions of this Section are for the sole benefit of the Holders and beneficial
owners of the Certificates; and, nothing in this Section, express or implied, shall give any benefit
or any legal or equitable right, remedy, or claim hereunder to any other person. The Town
undertakes to provide only the financial information, operating data, financial statements, and
notices which it has expressly agreed to provide pursuant to this Section. Except as expressly
provided within this Section, the Town does not undertake to provide any other information,
whether or not it may be relevant or material to a complete presentation of the Town’s financial
results, condition, or prospects; nor does the Town undertake to update any information provided
in accordance with this Section or otherwise. Furthermore, the Town does not make any

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representation or warranty concerning such information or its usefulness to a decision to invest in
or sell Certificates at any future date.
UNDER NO CIRCUMSTANCES SHALL THE TOWN BE LIABLE TO THE
HOLDER OR BENEFICIAL OWNER OF ANY CERTIFICATE OR ANY OTHER PERSON,
IN CONTRACT OR TORT, FOR DAMAGES RESULTING IN WHOLE OR IN PART FROM
ANY BREACH BY THE TOWN, WHETHER NEGLIGENT OR WITHOUT FAULT ON ITS
PART, OF ANY COVENANT SPECIFIED IN THIS SECTION, BUT EVERY RIGHT AND
REMEDY OF ANY SUCH PERSON, IN CONTRACT OR TORT, FOR OR ON ACCOUNT
OF ANY SUCH BREACH SHALL BE LIMITED TO AN ACTION FOR MANDAMUS OR
SPECIFIC PERFORMANCE.
No default by the Town in observing or performing its obligations under this Section
shall constitute a breach of or default under this Ordinance for purposes of any other provision of
this Ordinance.
Nothing in this Section is intended or shall act to disclaim, waive, or otherwise limit the
duties of the Town under federal and state securities laws.
Notwithstanding anything herein to the contrary, the provisions of this Section may be
amended by the Town from time to time to adapt to changed circumstances resulting from a
change in legal requirements, a change in law, or a change in the identity, nature, status, or type
of operations of the Town, but only if (1) the provisions of this Section, as so amended, would
have permitted an underwriter to purchase or sell Certificates in the primary offering of the
Certificates in compliance with the Rule, taking into account any amendments or interpretations
of the Rule to the date of such amendment, as well as such changed circumstances, and (2) either
(a) the Holders of a majority in aggregate principal amount (or any greater amount required by
any other provision of this Ordinance that authorizes such an amendment) of the Outstanding
Certificates consent to such amendment or (b) a Person that is unaffiliated with the Town (such
as nationally recognized bond counsel) determines that such amendment will not materially
impair the interests of the Holders and beneficial owners of the Certificates. The provisions of
this Section may also be amended from time to time or repealed by the Town if the SEC amends
or repeals the applicable provisions of the Rule or a court of final jurisdiction determines that
such provisions are invalid, but only if and to the extent that reservation of the Town’s right to
do so would not prevent underwriters of the initial public offering of the Certificates from
lawfully purchasing or selling Certificates in such offering. If the Town so amends the
provisions of this Section, it shall include with any amended financial information or operating
data next provided pursuant to subsection (b) of this Section an explanation, in narrative form, of
the reasons for the amendment and of the impact of any change in the type of financial
information or operating data so provided.
SECTION 34: Benefits of Ordinance. Nothing in this Ordinance, expressed or implied, is
intended or shall be construed to confer upon any person other than the Town, the Paying
Agent/Registrar, and the Holders, any right, remedy, or claim, legal or equitable, under or by
reason of this Ordinance or any provision hereof, this Ordinance and all its provisions being
intended to be and being for the sole and exclusive benefit of the Town, the Paying
Agent/Registrar and the Holders.

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SECTION 35: Inconsistent Provisions. All ordinances, orders, or resolutions, or parts
thereof which are in conflict or inconsistent with any provision of this Ordinance are hereby
repealed to the extent of such conflict and the provisions of this Ordinance shall be and remain
controlling as to the matters contained herein.
SECTION 36: Governing Law. This Ordinance shall be construed and enforced in
accordance with the laws of the State of Texas and the United States of America.
SECTION 37: Effect of Headings. The Section headings herein are for convenience only
and shall not affect the construction hereof.
SECTION 38: Severability. If any provision of this Ordinance or the application thereof
to any circumstance shall be held to be invalid, the remainder of this Ordinance or the
application thereof to other circumstances shall nevertheless be valid, and this governing body
hereby declares that this Ordinance would have been enacted without such invalid provision.
SECTION 39: Construction of Terms. If appropriate in the context of this Ordinance,
words of the singular number shall be considered to include the plural, words of the plural
number shall be considered to include the singular, and words of the masculine, feminine or
neuter gender shall be considered to include the other genders.
SECTION 40: Incorporation of Findings and Determinations.
The findings and
determinations of the Town Council contained in the preamble hereof are hereby incorporated by
reference and made a part of this Ordinance for all purposes as if the same were restated in full in
this Section.
SECTION 41: Public Meeting. It is officially found, determined, and declared that the
meeting at which this Ordinance is adopted was open to the public and public notice of the time,
place, and subject matter of the public business to be considered at such meeting, including this
Ordinance, was given, all as required by Texas Government Code, Chapter 551, as amended.
SECTION 42: Effective Date. In accordance with the provisions of Texas Government
Code, Section 1201.028, as amended, this Ordinance shall be in force and effect from and after
its passage on the date shown below and it is so ordained.
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PASSED AND ADOPTED, this August 6, 2012.
TOWN OF FLOWER MOUND, TEXAS

(Town Seal)

Mayor

ATTEST:

Town Secretary

APPROVED AS TO FORM:

Town Attorney

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EXHIBIT A
PAYING AGENT/REGISTRAR AGREEMENT

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EXHIBIT B
DESCRIPTION OF ANNUAL FINANCIAL INFORMATION
The following information is referred to in Section 33 of this Ordinance.
Annual Financial Statements and Operating Data
The financial information and operating data with respect to the Town to be
provided annually in accordance with such Section are as specified (and included in the
Appendix or under the headings of the Official Statement referred to) below:
(1)
Financial information of the general type included in the Official Statement as
Appendix B, but for the most recently concluded fiscal year.
(2)
The information included under Tables 1 through 6 and 8 through 15 of the
Official Statement.
Accounting Principles
The accounting principles referred to in such Section are generally those
described in Appendix B to the Official Statement, as such principles may be changed from time
to time to comply with state law or regulation.

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Attachment 2

PAYING AGENT/REGISTRAR AGREEMENT
THIS AGREEMENT is entered into as of August 6, 2012 (this “Agreement”), by and
between The Bank of New York Mellon Trust Company, N.A., Dallas, Texas, a banking
association duly organized and existing under the laws of the United States of America (the
“Bank”) and the Town of Flower Mound, Texas (the “Issuer”),
RECITALS
WHEREAS, the Issuer has duly authorized and provided for the issuance of its “Town of
Flower Mound, Texas Certificates of Obligation, Series 2012” (the “Securities”), dated August 1,
2012, such Securities scheduled to be delivered to the initial purchasers thereof on or about
September 5, 2012; and
WHEREAS, the Issuer has selected the Bank to serve as Paying Agent/Registrar in
connection with the payment of the principal of, premium, if any, and interest on said Securities
and with respect to the registration, transfer and exchange thereof by the registered owners
thereof; and
WHEREAS, the Bank has agreed to serve in such capacities for and on behalf of the
Issuer and has full power and authority to perform and serve as Paying Agent/Registrar for the
Securities;
NOW, THEREFORE, it is mutually agreed as follows:
ARTICLE ONE
APPOINTMENT OF BANK AS PAYING AGENT AND REGISTRAR
Section 1.01 Appointment. The Issuer hereby appoints the Bank to serve as Paying
Agent with respect to the Securities, and, as Paying Agent for the Securities, the Bank shall be
responsible for paying on behalf of the Issuer the principal, premium (if any), and interest on the
Securities as the same become due and payable to the registered owners thereof; all in
accordance with this Agreement and the “Authorizing Document” (hereinafter defined). The
Issuer hereby appoints the Bank as Registrar with respect to the Securities and, as Registrar for
the Securities, the Bank shall keep and maintain for and on behalf of the Issuer books and
records as to the ownership of said Securities and with respect to the transfer and exchange
thereof as provided herein and in the Authorizing Document.
The Bank hereby accepts its appointment, and agrees to serve as the Paying Agent and
Registrar for the Securities.
Section 1.02 Compensation. As compensation for the Bank’s services as Paying
Agent/Registrar, the Issuer hereby agrees to pay the Bank the fees and amounts set forth in
Annex A attached hereto.
In addition, the Issuer agrees to reimburse the Bank upon its request for all reasonable
expenses, disbursements and advances incurred or made by the Bank in accordance with any of

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the provisions hereof (including the reasonable compensation and the expenses and
disbursements of its agents and counsel).
ARTICLE TWO
DEFINITIONS
Section 2.01 Definitions. For all purposes of this Agreement, except as otherwise
expressly provided or unless the context otherwise requires:
“Acceleration Date” on any Security means the date on and after which
the principal or any or all installments of interest, or both, are due and payable on
any Security which has become accelerated pursuant to the terms of the Security.
“Authorizing Document” means the resolution, order, or ordinance of the
governing body of the Issuer pursuant to which the Securities are issued, as the
same may be amended or modified, including any pricing certificate related
thereto, certified by the secretary or any other officer of the Issuer and delivered
to the Bank.
“Bank Office” means the designated office of the Bank at the address
shown in Section 3.01 hereof. The Bank will notify the Issuer in writing of any
change in location of the Bank Office.
“Financial Advisor” means First Southwest Company.
“Holder” and “Security Holder” each means the Person in whose name a
Security is registered in the Security Register.
“Person” means any individual, corporation, partnership, joint venture,
association, joint stock company, trust, unincorporated organization or
government or any agency or political subdivision of a government.
“Predecessor Securities” of any particular Security means every previous
Security evidencing all or a portion of the same obligation as that evidenced by
such particular Security (and, for the purposes of this definition, any mutilated,
lost, destroyed, or stolen Security for which a replacement Security has been
registered and delivered in lieu thereof pursuant to Section 4.06 hereof and the
Authorizing Document).
“Redemption Date”, when used with respect to any Security to be
redeemed, means the date fixed for such redemption pursuant to the terms of the
Authorizing Document.
“Responsible Officer”, when used with respect to the Bank, means the
Chairman or Vice-Chairman of the Board of Directors, the Chairman or
Vice-Chairman of the Executive Committee of the Board of Directors, the
President, any Vice President, the Secretary, any Assistant Secretary, the
Treasurer, any Assistant Treasurer, the Cashier, any Assistant Cashier, any Trust
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Officer or Assistant Trust Officer, or any other officer of the Bank customarily
performing functions similar to those performed by any of the above designated
officers and also means, with respect to a particular corporate trust matter, any
other officer to whom such matter is referred because of his knowledge of and
familiarity with the particular subject.
“Security Register” means a register maintained by the Bank on behalf of
the Issuer providing for the registration and transfers of Securities.
“Stated Maturity” means the date specified in the Authorizing Document
the principal of a Security is scheduled to be due and payable.
Section 2.02 Other Definitions.
The terms “Bank,” “Issuer,” and “Securities
(Security)” have the meanings assigned to them in the recital paragraphs of this Agreement.
The term “Paying Agent/Registrar” refers to the Bank in the performance of the duties
and functions of this Agreement.
ARTICLE THREE
PAYING AGENT
Section 3.01 Duties of Paying Agent. As Paying Agent, the Bank shall pay, provided
adequate collected funds have been provided to it for such purpose by or on behalf of the Issuer,
on behalf of the Issuer the principal of each Security at its Stated Maturity, Redemption Date or
Acceleration Date, to the Holder upon surrender of the Security to the Bank at the following
address:
First Class/Registered/Certified

Express Delivery/Courier

By Hand Only

The Bank of New York
Mellon Trust Company, N.A.
Global Corporate Trust
P.O. Box 396
East Syracuse, NY 13057

The Bank of New York
Mellon Trust Company, N.A.
Global Corporate Trust
111 Sanders Creek Pkwy.
East Syracuse, NY 13057

The Bank of New York Mellon
Trust Company, N.A.
Global Corporate Trust
Corporate Trust Window
101 Barclay Street, 1st Floor East
New York, NY 10286

As Paying Agent, the Bank shall, provided adequate collected funds have been provided
to it for such purpose by or on behalf of the Issuer, pay on behalf of the Issuer the interest on
each Security when due, by computing the amount of interest to be paid each Holder and making
payment thereof to the Holders of the Securities (or their Predecessor Securities) on the Record
Date (as defined in the Authorizing Document). All payments of principal and/or interest on the
Securities to the registered owners shall be accomplished (1) by the issuance of checks, payable
to the registered owners, drawn on the paying agent account provided in Section 5.05 hereof,
sent by United States mail, first class postage prepaid, to the address appearing on the Security
Register or (2) by such other method, acceptable to the Bank, requested in writing by the Holder
at the Holder’s risk and expense.
Section 3.02 Payment Dates. The Issuer hereby instructs the Bank to pay the principal
of and interest on the Securities on the dates specified in the Authorizing Document.
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ARTICLE FOUR
REGISTRAR
Section 4.01 Security Register - Transfers and Exchanges. The Bank agrees to keep
and maintain for and on behalf of the Issuer at the Bank Office books and records (herein
sometimes referred to as the “Security Register”) for recording the names and addresses of the
Holders of the Securities, the transfer, exchange and replacement of the Securities and the
payment of the principal of and interest on the Securities to the Holders and containing such
other information as may be reasonably required by the Issuer and subject to such reasonable
regulations as the Issuer and the Bank may prescribe. All transfers, exchanges and replacements
of Securities shall be noted in the Security Register.
Every Security surrendered for transfer or exchange shall be duly endorsed or be
accompanied by a written instrument of transfer, the signature on which has been guaranteed by
an officer of a federal or state bank or a member of the National Association of Securities
Dealers, such written instrument to be in a form satisfactory to the Bank and duly executed by
the Holder thereof or his agent duly authorized in writing.
The Bank may request any supporting documentation it feels necessary to effect a
re-registration, transfer or exchange of the Securities.
To the extent possible and under reasonable circumstances, the Bank agrees that, in
relation to an exchange or transfer of Securities, the exchange or transfer by the Holders thereof
will be completed and new Securities delivered to the Holder or the assignee of the Holder in not
more than three (3) business days after the receipt of the Securities to be cancelled in an
exchange or transfer and the written instrument of transfer or request for exchange duly executed
by the Holder, or his duly authorized agent, in form and manner satisfactory to the Paying
Agent/Registrar.
Section 4.02 Securities. The Issuer shall provide additional Securities when needed to
facilitate transfers or exchanges thereof. The Bank covenants that such additional Securities, if
and when provided, will be kept in safekeeping pending their use and reasonable care will be
exercised by the Bank in maintaining such Securities in safekeeping, which shall be not less than
the care maintained by the Bank for debt securities of other governments or corporations for
which it serves as registrar, or that is maintained for its own securities.
Section 4.03 Form of Security Register. The Bank, as Registrar, will maintain the
Security Register relating to the registration, payment, transfer and exchange of the Securities in
accordance with the Bank’s general practices and procedures in effect from time to time. The
Bank shall not be obligated to maintain such Security Register in any form other than those
which the Bank has currently available and currently utilizes at the time.
The Security Register may be maintained in written form or in any other form capable of
being converted into written form within a reasonable time.
Section 4.04 List of Security Holders. The Bank will provide the Issuer at any time
requested by the Issuer, upon payment of the required fee, a copy of the information contained in
the Security Register. The Issuer may also inspect the information contained in the Security
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Register at any time the Bank is customarily open for business, provided that reasonable time is
allowed the Bank to provide an up-to-date listing or to convert the information into written form.
The Bank will not release or disclose the contents of the Security Register to any person
other than to, or at the written request of, an authorized officer or employee of the Issuer, except
upon receipt of a court order or as otherwise required by law. Upon receipt of a court order and
prior to the release or disclosure of the contents of the Security Register, the Bank will notify the
Issuer so that the Issuer may contest the court order or such release or disclosure of the contents
of the Security Register.
Section 4.05 Return of Cancelled Securities. The Bank will, at such reasonable
intervals as it determines, surrender to the Issuer, all Securities in lieu of which or in exchange
for which other Securities have been issued, or which have been paid.
Section 4.06 Mutilated, Destroyed, Lost or Stolen Securities. The Issuer hereby
instructs the Bank, subject to the provisions of the Authorizing Document, to deliver and issue
Securities in exchange for or in lieu of mutilated, destroyed, lost, or stolen Securities as long as
the same does not result in an overissuance.
In case any Security shall be mutilated, destroyed, lost or stolen, the Bank may execute
and deliver a replacement Security of like form and tenor, and in the same denomination and
bearing a number not contemporaneously outstanding, in exchange and substitution for such
mutilated Security, or in lieu of and in substitution for such mutilated, destroyed, lost or stolen
Security, only upon the approval of the Issuer and after (i) the filing by the Holder thereof with
the Bank of evidence satisfactory to the Bank of the destruction, loss or theft of such Security,
and of the authenticity of the ownership thereof and (ii) the furnishing to the Bank of
indemnification in an amount satisfactory to hold the Issuer and the Bank harmless. All
expenses and charges associated with such indemnity and with the preparation, execution and
delivery of a replacement Security shall be borne by the Holder of the Security mutilated,
destroyed, lost or stolen.
Section 4.07 Transaction Information to Issuer. The Bank will, within a reasonable
time after receipt of written request from the Issuer, furnish the Issuer information as to the
Securities it has paid pursuant to Section 3.01, Securities it has delivered upon the transfer or
exchange of any Securities pursuant to Section 4.01, and Securities it has delivered in exchange
for or in lieu of mutilated, destroyed, lost, or stolen Securities pursuant to Section 4.06.
ARTICLE FIVE
THE BANK
Section 5.01 Duties of Bank. The Bank undertakes to perform the duties set forth
herein and agrees to use reasonable care in the performance thereof.
Section 5.02 Reliance on Documents, Etc.
(a)
The Bank may conclusively rely, as to the truth of the statements and correctness
of the opinions expressed therein, on certificates or opinions furnished to the Bank.

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(b)
The Bank shall not be liable for any error of judgment made in good faith by a
Responsible Officer, unless it shall be proved that the Bank was negligent in ascertaining the
pertinent facts.
(c)
No provisions of this Agreement shall require the Bank to expend or risk its own
funds or otherwise incur any financial liability for performance of any of its duties hereunder, or
in the exercise of any of its rights or powers, if it shall have reasonable grounds for believing that
repayment of such funds or adequate indemnity satisfactory to it against such risks or liability is
not assured to it.
(d)
The Bank may rely and shall be protected in acting or refraining from acting upon
any resolution, certificate, statement, instrument, opinion, report, notice, request, direction,
consent, order, bond, note, security or other paper or document believed by it to be genuine and
to have been signed or presented by the proper party or parties. Without limiting the generality
of the foregoing statement, the Bank need not examine the ownership of any Securities, but is
protected in acting upon receipt of Securities containing an endorsement or instruction of transfer
or power of transfer which appears on its face to be signed by the Holder or an agent of the
Holder. The Bank shall not be bound to make any investigation into the facts or matters stated in
a resolution, certificate, statement, instrument, opinio