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12. Regular Meeting August 11, 2003 Page 10 water service .... this approval does not relate to water service to the remainder of the Property ... and Mr. Thomaides seconded the motion, which passed unanimously. Mr. O'Leary stated the expectation is that some time in the near the future property owner would request voluntary annexation. The council then voted unanimously for adoption of the Resolution. Mayor Habingreither introduced for consideration Item 25, removed from the consent agenda, approval to waive audit and insurance requirements for Nosotros La Gente's CDBG funding. Ms. Narvaiz moved for approval and Mr. Mihalkanin seconded the motion. Ms. Narvaiz stated rather than making an exception every year, she would rather the wording change to waive audit and insurance requirements for funding under a certain amount. The Council then voted unanimously for approval to waive audit and insurance requirements for Nosotros La Gente's CDBG funding. Mayor Habingreither introduced for consideration Item 26, removed from the consent agenda, approval of expenditure in the amount of $3,894.60 from the Tourist Account for the purchase of 2,500 City lapel pins. Ms. Narvaiz moved to approve the expenditure in the amount of $3,894.60 and Mr. Montoya seconded the motion. Mr. Mihalkanin moved to amend the expenditure in the amounts of $1,947.30 from Tourist Account and $1,947.30 from Council Related line item, and Mr. Taylor seconded the motion. On roll call the following vote was recorded: AYE: Narvaiz, Mihalkanin, Habingreither, Montoya, Taylor and Diaz. NAY: Thomaides. ABSTAIN: None. On roll call the following vote was recorded: AYE: Narvaiz, Mihalkanin, Habingreither, Montoya, Taylor and Diaz. NAY: Thomaides. ABSTAIN: None. Mayor Habingreither introduced a discussion regarding presentation and discussion of effective, rollback and proposed FY2004 property tax rate. Mr. 0'Leary stated it is required by State Law to provide a presentation on the effective, rollback and proposed FY 2004 property tax rate. Rodney Gonzales, Director of Finance, stated if the tax rate exceeds the lower of the rollback tax rate or 103 percent of the effective tax rate, additional steps will be needed to approve the tax rate. He stated if not, the Council will only need to schedule a tax rate adoption. Mr. Gonzales reviewed the 2002 annual appraised value comparison of Single-Family residences. He stated this does not exceed the 103 percent.