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Home My WebLink AboutCC 2026-06-08 Minutes MINUTES OF THE WORK SESSION AND REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF NORTH RICHLAND HILLS, TEXAS HELD IN THE CITY HALL 4301 CITY POINT DRIVE JUNE 8, 2026 WORK SESSION The City Council of the City of North Richland Hills, Texas met in work session on the 8th day of June at 5:30 p.m. in the Council Workroom prior to the 7:00 p.m. regular City Council meeting. Present: Jack McCarty Mayor Cecille Delaney Place 1 Brianne Goetz Place 2 Matt Blake Place 4 Billy Parks Place 5 Russ Mitchell Place 6 Kelvin Deupree Mayor Pro Tem, Place 7 Absent: Danny Roberts Place 3 Staff Members: Paulette Hartman City Manager Trudy Lewis Assistant City Manager Caroline Waggoner Assistant City Manager Alicia Richardson City Secretary/Chief Governance Officer Bradley A. Anderle City Attorney CALL TO ORDER Mayor McCarty called the meeting to order at 5:30 p.m. 1. DISCUSS ITEMS FROM REGULAR CITY COUNCIL MEETING. City Council had no questions for staff. 2. FISCAL YEAR 2027 BUDGET BACKGROUND &CONTEXT. Director of Budget and Research Chase Fosse provided background and context for the development of the Fiscal Year 2027 budget, including an overview of all operating, capital, enterprise, and special revenue funds. The presentation outlined recent trends in tax rates and fund balances, highlighted the long-term General Fund forecast, and emphasized the increasing pressures of rising costs and service needs. Council was briefed on baseline revenue and expenditure projections, potential deficits in future years June 08, 2026 City Council Meeting Minutes Page 1 of 9 under current assumptions, and the impacts of various cost drivers such as street maintenance, health care, fleet sustainability, and transit funding. Upcoming steps in the budget process were also reviewed, including future work sessions, receipt of certified property values, and the submission and review of the proposed FY 2027 budget. 3. FISCAL YEAR 2027 CAPITAL PROJECTS & LONG-TERM DEBT MANAGEMENT STRATEGY. The City Council received a joint presentation by Director of Budget and Research Chase Fosse and Assistant City Manager Trudy Lewis. The City Council received a presentation on the Fiscal Year 2027 Capital Projects and Long-Term Debt Strategy, outlining proposed investments totaling $20.17 million across streets, utilities, parks, facilities, technology, and fleet needs. Staff reported that all proposed Fiscal Year 2027 projects, except a portion of fleet replacements, will be funded through outside sources and operational reserves without the need for additional debt issuance. The presentation also reviewed the City's long-range capital planning, existing debt capacity, and the recommended issuance of Certificates of Obligation to support essential fleet replacements. City Council was briefed on recent tax-rate reduction actions (decreased by 13% since 2020), exemptions (senior/disabled and homestead) and the continued strategy to utilize cash whenever possible while maintaining debt within the City's financial capacity. City Manager Paulette Hartman informed City Council they will receive a presentation by the 2025 Capital Program Advisory Committee on their recommendations for the 2026 bond election at their June 22 meeting. FUTURE AGENDA ITEM(S) Council member Parks requested an item be placed on a future work session to discuss data centers. There being no opposition, an item will be placed on a future agenda. Council member Mitchell requested an item be placed on a future work session to discuss regulations and uses for residential driveways as it pertains to code enforcement. There being no opposition, an item will be placed on a future agenda. City Manager Paulette Hartman informed City Council that staff will review current regulations and how they are enforced. CITY MANAGER REPORT City Manager Paulette Hartman informed City Council that Provident, a business, that is proposing a data center on the former Santander property at 5201 Rufe Snow Drive is scheduling an informational meeting on June 23 to be held at the Grand Hall at 6:30 p.m. for NRH residents who would like to learn about their proposal. June 08, 2026 City Council Meeting Minutes Page 2 of 9 EXECUTIVE SESSION 1. SECTION 551.071: CONSULTATION WITH CITY ATTORNEY TO SEEK ADVICE ABOUT PENDING OR CONTEMPLATED LITIGATION OR ON A MATTER IN WHICH THE DUTY OF THE ATTORNEY TO THE GOVERNMENTAL BODY UNDER THE TEXAS DISCIPLINARY RULES OF PROFESSIONAL CONDUCT OF THE STATE BAR OF TEXAS CLEARLY CONFLICTS WITH THE OPEN MEETINGS ACT - (1) JESSIE GOODFELLOW V. CITY OF NORTH RICHLAND HILLS, ET AL, CAUSE NO. 352-366545-25; AND (2) BANK OF THE WEST V. G.Q. ENTERPRISES CORP., ET AL, CAUSE NO. 141-376075-26. 2. SECTION 551.087: DELIBERATION REGARDING COMMERCIAL OR FINANCIAL INFORMATION THAT THE GOVERNMENTAL BODY HAS RECEIVED FROM A BUSINESS PROSPECT THAT THE GOVERNMENTAL BODY SEEKS TO HAVE LOCATE, STAY, OR EXPAND IN OR NEAR THE TERRITORY OF THE GOVERNMENTAL BODY AND WITH WHICH THE GOVERNMENTAL BODY IS CONDUCTING ECONOMIC DEVELOPMENT OR DELIBERATION OF THE OFFER OF A FINANCIAL OR OTHER INCENTIVE TO SUCH A BUSINESS PROSPECT (1) NORTHEAST CORNER OF BOULEVARD 26 & HARWOOD ROAD, (2) EZ STREETS EMPOWERMENT ZONE AND (3) 8021 AND 8029 MAIN STREET. Mayor McCarty announced at 6:41 p.m. that the City Council would adjourn into Executive Session as authorized by Chapter 551, Texas Government Code, specifically, Section 551.071: Consultation with City Attorney to seek advice about pending or contemplated litigation or on a matter in which the duty of the attorney to the governmental body under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas clearly conflicts with the Open Meetings Act - (1) Jessie Goodfellow v. City of North Richland Hills, et al, Cause No. 352-366545-25; and (2) Bank of the West v. G.Q. Enterprises Corp., et al, Cause No. 141-376075-26 and Section 551.087: Deliberation regarding commercial or financial information that the governmental body has received from a business prospect that the governmental body seeks to have locate, stay, or expand in or near the territory of the governmental body and with which the governmental body is conducting economic development or deliberation of the offer of a financial or other incentive to such a business prospect (1) Northeast Corner of Boulevard 26 & Harwood Road, (2) EZ Streets Empowerment Zone and (3) 8021 and 8029 Main Street. Executive Session began at 6:45 p.m. and concluded at 6:48 p.m. Mayor McCarty announced at 6:48 p.m. that City Council would convene to the regular City Council meeting. June 08, 2026 City Council Meeting Minutes Page 3 of 9 REGULAR MEETING A. CALL TO ORDER Mayor McCarty called the meeting to order June 8, 2026 at 7:03 p.m. Present: Jack McCarty Mayor Cecille Delaney Place 1 Brianne Goetz Place 2 Matt Blake Place 4 Billy Parks Place 5 Russ Mitchell Place 6 Kelvin Deupree Mayor Pro Tem, Place 7 Absent: Danny Roberts Place 3 Staff Members: Paulette Hartman City Manager Alicia Richardson City Secretary/Chief Governance Officer Bradley A. Anderle City Attorney A.1 INVOCATION Council member Parks gave the invocation. A.2 PLEDGE Council member Parks led the Pledge of Allegiance to the United States and Texas flags. A.3 SPECIAL PRESENTATION(S)AND RECOGNITION(S) There are no items for this category. A.4 PUBLIC COMMENTS There were no requests to speak from the public A.5 REMOVAL OF ITEM(S) FROM CONSENT AGENDA No items were removed from the consent agenda. B. CONSIDER APPROVAL OF CONSENT AGENDA ITEMS APPROVED June 08, 2026 City Council Meeting Minutes Page 4 of 9 A MOTION WAS MADE BY COUNCIL MEMBER GOETZ, SECONDED BY COUNCIL MEMBER DELANEY TO APPROVE THE CONSENT AGENDA ITEMS AS PRESENTED. MOTION TO APPROVE CARRIED 6-0. B.1 APPROVE THE MINUTES OF THE MAY 26, 2026 CITY COUNCIL MEETING. C. PUBLIC HEARINGS C.1 ZC26-0159 PUBLIC HEARING AND CONSIDERATION OF A REQUEST FROM SMITHFIELD STATION LLC FOR A SPECIAL DEVELOPMENT PLAN FOR MOTORCYCLE SALES AT 7801 BRANDI PLACE, BEING 1.47 ACRES DESCRIBED AS LOT 1, BLOCK 2, BARLOUGH ADDITION. (WITHDRAWN FROM CONSIDERATION BY APPLICANT) WITHDRAWN Mayor McCarty announced that the applicant withdrew the application and that no action was required by City Council. THIS SPECIAL DEVELOPMENT PLAN WAS WITHDRAWN. C.2 ZC26-0165, ORDINANCE NO. 3958, PUBLIC HEARING AND CONSIDERATION OF A REQUEST FROM FOUND IT ELECTRONICS & VIDEO GAMES FOR A SPECIAL USE PERMIT FOR A SECONDHAND GOODS DEALER AT 6238 RUFE SNOW DRIVE, BEING 3.23 ACRES DESCRIBED AS LOT 5R, BLOCK 1, NORTHLAND SHOPPING CENTER ADDITION. APPROVED Mayor McCarty opened the public hearing for ZC26-0165, Ordinance No. 3958. Director of Planning Cori Reaume informed City Council the applicant is requesting a special use permit for 3.23 acres located at 6238 Rufe Snow Drive. The area is designated on the Comprehensive Land Use Plan as retail commercial and the current zoning is C-1, commercial. Ms. Reaume provided site photos of the property. Applicant Dawn Jackson, Found It Electronics & Video Games, 345 College Street South, Keller, Texas presented request and shared that she is moving her business from Watauga to North Richland Hills. Ms. Reaume presented staff's report. The Planning and Zoning Commission, at their May June 08, 2026 City Council Meeting Minutes Page 5 of 9 7, 2026 meeting, recommended approval with a vote of 6-0. There being no forms submitted, Mayor McCarty asked if there was anyone in the audience wishing to speak in favor or against the item to come forward. There being no one wishing to speak, Mayor McCarty closed the public hearing. A MOTION WAS MADE BY MAYOR PRO TEM DEUPREE, SECONDED BY COUNCIL MEMBER BLAKE TO APPROVE ORDINANCE NO. 3958. MOTION TO APPROVE CARRIED 6-0. C.3 ZC26-0160 PUBLIC HEARING AND CONSIDERATION OF A REQUEST FROM SANDLIN HOMES LLC FOR A ZONING CHANGE FROM AG (AGRICULTURAL), R-2 (SINGLE-FAMILY RESIDENTIAL), R-3 (SINGLE-FAMILY RESIDENTIAL), AND C-2 (COMMERCIAL) TO RI-PD (RESIDENTIAL INFILL PLANNED DEVELOPMENT) AT 6803, 6809, 6813, 6821, AND 6825 SMITHFIELD ROAD, AND 6744, 6746, 6748, AND 6800 HEWITT STREET, BEING 7.494 ACRES DESCRIBED AS TRACTS 2B, 2E, 3B, 3B1, AND 3A1 B, MCCOMAS SURVEY, ABSTRACT 1040; LOTS 1 R AND 2, BLOCK 4, MOLLIE B COLLINS ADDITION; LOT 1, BLOCK 1, MIRANDA ADDITION; AND A PORTION OF LOT 1, BLOCK 1, BUZAN ADDITION. (POSTPONED. WILL BE RESCHEDULED AFTER A RECOMMENDATION IS RECEIVED FROM THE PLANNING &ZONING COMMISSION) Mayor McCarty announced there is no action required by City Council, because the Planning and Zoning Commission has not provided a recommendation. C.4 TR26-03, ORDINANCE NO. 3959, PUBLIC HEARING AND CONSIDERATION REGARDING CITY-INITIATED TEXT AMENDMENTS TO SECTION 118, ZONING, OF THE NORTH RICHLAND HILLS CODE OF ORDINANCES, REGARDING DEVELOPMENT STANDARDS FOR NONRESIDENTIAL PLANNED DEVELOPMENT DISTRICTS. APPROVED Mayor McCarty opened the public hearing for TR26-03, Ordinance No. 3959. Director of Planning Cori Reaume presented proposed text amendments to Section 118-493 of the City's Code of Ordinances. There being no forms submitted, Mayor McCarty asked if there was anyone in the audience wishing to speak in favor or against the item to come forward. There being no one wishing to speak, Mayor McCarty closed the public hearing. June 08, 2026 City Council Meeting Minutes Page 6 of 9 A MOTION WAS MADE BY COUNCIL MEMBER BLAKE, SECONDED BY COUNCIL MEMBER PARKS TO APPROVE TR26-03,ORDINANCE NO.3959. MOTION TO APPROVE CARRIED 6-0. C.5 CONDUCT A PUBLIC HEARING AND CONSIDER ORDINANCE NO. 3960, ADOPTING THE FISCAL YEAR 2026 REVISED OPERATING BUDGET AND AMENDING THE FISCAL YEAR 2026 CAPITAL PROJECTS BUDGET. APPROVED Mayor McCarty opened the public hearing for Ordinance No. 3960. City Council received a presentation from Director of Budget and Research Chase Fosse. The ordinance adopts the revised operating budget for Fiscal Year 2026 and amends the capital projects budget for Fiscal Year 2026. The revised capital projects budget includes six additional projects and five existing projects with funding changes. Mr. Fosse informed City Council of an error in Attachment A that was corrected to read Fiscal Year 2026 instead of Fiscal Year 2027. There being no forms submitted, Mayor McCarty asked if there was anyone in the audience wishing to speak in favor or against the item to come forward. There being no one wishing to speak, Mayor McCarty closed the public hearing. A MOTION WAS MADE BY COUNCIL MEMBER PARKS, SECONDED BY COUNCIL MEMBER GOETZ TO APPROVE ORDINANCE NO. 3960, ADOPTING THE FISCAL YEAR 2026 REVISED OPERATING BUDGET AND AMENDING THE FISCAL YEAR 2026 CAPITAL PROJECTS BUDGET. MOTION TO APPROVE CARRIED 6-0. D. PLANNING AND DEVELOPMENT There were no items for this category. E. PUBLIC WORKS There were no items for this category. F. CITIZENS PRESENTATION Lee Quick, 5717 Southern Hills Drive, expressed her concerns with the data center at the corner of Wuliger Way and Browning Drive. June 08, 2026 City Council Meeting Minutes Page 7 of 9 G. GENERAL ITEMS G.1 CONSIDER THE AWARD OF RFQ 26-011 - TOURISM ADVERTISING AND MARKETING AGENCY TO FLAT FIVE MARKETING, LLC AND AUTHORIZE THE CITY MANAGER TO EXECUTE THE RELATED PROFESSIONAL SERVICES AGREEMENT. APPROVED City Council received presentation from Director of Economic Development Craig Hulse. A MOTION WAS MADE BY COUNCIL MEMBER BLAKE, SECONDED BY COUNCIL MEMBER DELANEY TO APPROVE THE AWARD OF TOURISM ADVERTISING AND MARKETING AGENCY RFQ 26-011 TO FLAT FIVE MARKETING, LLC AND AUTHORIZE THE CITY MANAGER TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT IN AN AMOUNT NOT TO EXCEED$521,000. MOTION TO APPROVE CARRIED 6-0. G.2 CONSIDER RESOLUTION NO. 2026-036, ADOPTING THE CITY'S FUND BALANCE AND RESERVE POLICY AND PROVIDING AN EFFECTIVE DATE. APPROVED City Council received presentation from Director of Budget and Research Chase Fosse. A MOTION WAS MADE BY COUNCIL MEMBER GOETZ, SECONDED BY MAYOR PRO TEM DEUPREE TO APPROVE RESOLUTION NO. 2026-036. MOTION TO APPROVE CARRIED 6-0. H. EXECUTIVE SESSION ITEMS - CITY COUNCIL MAY TAKE ACTION ON ANY ITEM DISCUSSED IN EXECUTIVE SESSION LISTED ON WORK SESSION AGENDA There was no action necessary as a result of the executive session. I. INFORMATION AND REPORTS 1.1 ANNOUNCEMENTS Council member Mitchell reviewed upcoming events and recognized city employees Ranee Michael, Jordan Morgan, Travis Bertram and David Peck in the Police June 08, 2026 City Council Meeting Minutes Page 8 of 9 Department for receiving a kudos from a member of the public. J. ADJOURNMENT Mayor McCarty adjourned the meeting at 7:45 p.m. Jack McC-rtY, Mayor '?/ ATTEST: �4CLIJI �®,,® j e- ° s e e a� Alicia Richardson 1?�0 °e•® �llS �.°e° 7 City Secretary/Chief Govern rfifier �,,, June 08, 2026 City Council Meeting Minutes Page 9of9