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134 Regular Meeting October 12, 1998 Page 7 this project. The Council directed for Mr. Gilley contact TxDOT to find out what kind of schedule they have for this project. Mayor Moore introduced the City Manager's Report. Mr. Gilley stated there is a continuation to resolve the water loss issue. There is an ongoing concern for this matter and we would like to remind the Council this is not something that staff has just started work on but rather there has been much time spent in resolving this issue. Mr. Gilley stated there has not been dramatic reductions at this point. Mayor Moore introduced the City Attorney's Report. Mr. Taylor had no report at this meeting. Mayor Moore introduced the City Council's Report. Ms. Hughson stated she met with the San Marcos Arts Council last Wednesday and she will have an amendment to propose for the next Council Meeting. Ms. Hughson asked Mr. Gilley to give the Council a report on the gentleman's concern regarding Parker Drive. Ms. Hughson stated the Citizens Review Commission's recommendations need to be addressed as soon as possible and Staff needs to be given direction. Ms. Hughson asked when the Council will change to the 7:00 o'clock meeting time. Mr. Gilley stated the report will be given to the Council at the next Council Meeting. Mr. Doiron stated he would like a copy of the CARTS Report promised to the Council when Mr. Barrett gave the CARTS report last month. Mayor Moore stated the NLC Committee Meeting on Telecommunications held in San Jose, California gave a great deal of information on electric deregulation, affordable housing and infrastructure. Mr. Cox stated at the NLC Committee Meeting he attended there was a proposal by the National Council of Governors that has asked Congress to amend legislation that would affect the ability of local governments to borrow from state entities, such as our water bonds, in addition to charging an interest rate, to also be charged a surcharge, and the committee asked cities to lobby against this proposal. Mr. Cox stated there is a measure that is related to a specific user charge being set aside to fund parks through state governments. As a result of the balanced budget negotiations, a decision was made that it would be withheld even though it is a specific user fee. The committee recommended to NLC that they oppose the proposal. Mr. Cox stated the issues brought up in regard to Environmental Justice has to do with the application of the Civil Rights Act to EPA records and how EPA is struggling to measure impact on minorities. Mr. Cox stated other issues discussed regarding electrical deregulation and in Tucson, Arizona they are using water from the Colorado River called the Central Arizona Project. Mr. Hernandez stated that Paul Mayhew will serve as Chair for CVB and Mr. Hernandez will serve as Vice Chair. Ms. Victoria Singer has resigned as Director and Mr. Neighbors has been directed to advertise for a new Director. Mr. Doiron moved to adjourn at 11:30 p.m. into Executive Session pursuant to the Government Code, Section 551.071, to discuss pending litigation (Gonzales vs. City of San Marcos) and matters where the City Attorney's ethical duty to the City clearly conflicts with Government Code Chapter 551 (development incentive agreements - Civic Center area, Medical Center area; Wonder World Drive/RR area); and Sections 551.072 and 551.073, to discuss purchase real property (Schulle Canyon area), and an addendum Section 551.071, to seek the City Attorney's advice regarding pending litigation (SWTSU property taxes), and Mr. Mihalkanin seconded the motion, which passed unanimously. Mr. Mihalkanin moved to reconvene from Executive Session at 12:19 a.m. and Mr. Moseley seconded the motion, which passed unanimously. Mayor Moore introduced Item 10.13.(1), adoption of an Ordinance on third and final reading, the caption which reads as follows: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN MARCOS, TEXAS, ANNEXING TO THE CITY A TRACT OF LAND CONTAINING 152.18 ACRES, MORE OR LESS, LOCATED ADJACENT TO THE 1100-1300 BLOCKS OF CLOVIS BARKER ROAD AND THE 1100-1200 BLOCKS OF CIVIC CENTER LOOP; APPROVING A SERVICE PLAN FOR THIS TRACT; PROVIDING FOR PUBLICATION AND DECLARING AN EFFECTIVE DATE.