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Regular Meeting October 2, 2007 Page 8 Narvaiz stated she feels Staff should provide outlines and options and then bring them back to the Council. She also thanked Mr. Carson for his input. Mayor Narvaiz stated she was moving up Item #29, discussion. Mayor Narvaiz introduced a discussion regarding FM 110 Project and direction to Staff. Mr. O'Leary stated Hays County is headed for a decision that would give the City an opportunity to procure the Pass - Through Financing Funds allocated for FM 110 to the County. The County Commissioners at their September 24th meeting indicated they would make their final decision about this at their October 9th meeting. In anticipation that the City will have an opportunity to obtain the State allocated funds for the FM 110 Project, he would like the Council to begin analyzing the funding requirements of the Project. Dan Wegmiller, First Southwest, provided a preliminary financial analysis on current assessed value, growth projections and highlights of the cost of construction. He stated the CIP issues included in the spreadsheet are conservative estimates on the high end. Mayor Narvaiz asked Mr. Wegmiller to explain the INS tax rate and how it would affect our financial picture. Mr. Wegmiller stated lowering tax rate rather than keeping the same, is not the best way to manage the tax rate. He stated this project does incorporate what the City has been doing about planning for the future. Mr. O'Leary stated the City will need to wait to see what the County will do with this project. Mr. Thomaides stated he is interested in being part of the negotiation process since he has the experience with the Transportation Advisory Board and the Wonder World Drive Extension project. The Council agreed by consensus that Mr. Thomaides will work along with Mayor Narvaiz and Staff on this project. Mayor Narvaiz introduced for consideration Item #16, removed from the consent agenda, adoption of an Ordinance on third and final reading, the caption which was read as follows: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN MARCOS, TEXAS AMENDING SECTION 2.566 OF THE CITY CODE TO INCREASE THE PURCHASING AUTHORITY OF THE CITY MANAGER; AND INCLUDING PROCEDURAL PROVISIONS. Mr. Guerrero moved for adoption of Ordinance on third and final reading, and Mr. Thomaides seconded the motion. Mr. Guerrero moved to amend Subsection C to read. . . The city manager or designee is authorized to determine the purchase method for goods and services that provides the best value to the City in accordance with state law, and Mr. Thomaides seconded the motion. Mr. Jones stated he supports Mr. O'Leary having the authority to approve items under $50,000.00, but with his leaving the City he is not comfortable with this. Mr. O'Leary stated most Cities are amending their City Manager's authority to the maximum at $50,000.00. Mr. Guerrero stated he has the same concerns, but this amendment is within the law. The Council then voted unanimously for the amendment. On roll call for adoption of the Ordinance on third and final reading, the following vote was recorded: