By Jerry Morgan, Reporter

COMANCHE -- A lengthy agenda was on the table at the County Commissioners Court as they began their regular semi-monthly meeting on Monday, August 12.

The Court has been working on the County's annual budget since their last regular meeting and talk about the budget dominated the pre-meeting chatter. Reinvestment zones and tax abatements dominated the meeting discussion, however, as many topics, big and small, were considered.

Judge James Arthur was still suffering from a loss of voice, and had his court coordinator, Sherry Ward, present to speak for him. All four Commissioners were present, Garry Steele, Kenneth Feist, Bobby Schuman and Jimmy Dale Johnson.

Other county officials present at various times included County Clerk Ruby Lesley, County Auditor Joey Boswell, Sheriff Jeff Lambert, Justice of the Peace Bill Koenig, County Attorney Charles Williams, County Treasurer Billy Ruth Rust and Emergency Services Coordinator Ray Helberg.

Emergency Management Board Meeting Requirements

Bobby Schuman commented that there had not been regular County Emergency Board meetings. He noted that the Mayors of DeLeon, Comanche and Gustine did not know what was happening since the governing Board on which they are members has not had any regular meetings.

Ray Helberg responded noting that the legally required annual meeting had been held. He added that he regularly attended the City Council meetings in the three cities and tried to keep the city officials informed of Emergency Management matters. He noted the Mayors and city officials have been provided copies of all communications from the state emergency management office.

Garry Steele commented that once a year meetings were not sufficient for the Mayors to have any significant involvement in the County Emergency Management efforts, and that DeLeon Mayor Danny Owen, in particular, had requested more frequent Board meetings, and in particular, a meeting to review the budget before it is acted upon by the Commissioners.

Judge Arthur commented, as best he could, that the county was following the legal requirements.

Ray Helberg discussed his plans for holding a budget review meeting with the County Emergency Management Board.

The Commissioners discussed the need for additional meetings. It was noted that the Board could act and plan as many meetings as it desired.

A copy of the interlocal agreement between the county and the three incorporated municipalities was circulated and discussed.

It was noted that the County Judge and City Mayors have some personal legal responsibility for emergency management.

Garry Steele commented, "I guess it's been discussed. I have nothing else."

No formal action was taken.

Commissioners Meeting Seating Arrangements

Kenneth Feist requested a seating arrangement where he could sit facing the courtroom gallery rather than with his back to the audience as at present.

Judge Arthur volunteered to sit at the judge's bench, thus leaving room for Feist to sit at the end of the Commissioners table.

After some light-hearted discussion in which other Commissioners agreed with the request, Judge Arthur relocated to the County Judge's bench and Commissioners Feist and Steele relocated to the ends of the Commissioners table.

Bid Opening for Sheriffs Pickup

After a break to await the 10:00 a.m. scheduled bid opening and public hearing, the Commissioners Court reconvened and two bids for a pickup were opened. They were for a Sheriff’s Office pickup to replace the one lost in recent flooding.

Both bids were for 2008 models with four wheel drive and extended cabs. Both were from separate Bayer dealerships based in Comanche.

Sherry Ward read that the Chevrolet 1500 model was bid at $23,343 plus tax, title and license. The Ford F150 model was bid at $22,853 plus ttl. The details of the bid pickups' equipment were read to the Commissioners.

Sheriff Lambert commented that the bids were based on specifications he had issued, and that they were not optioned beyond the needs for their mission.

Bobby Schuman noted that at the previous pickup bid opening there had been a larger difference in cost between the two competing brands, and then questioned whether it was right for the Commissioners to be choosing between bids from dealerships with common ownership.

Joey Boswell responded that the request for bids had been properly advertised and that these were the bids received, adding that he didn't see anything wrong with the situation. Both he and Judge Arthur noted that the law required the acceptance of the lowest qualified bid.

Garry Steele made a motion, seconded by Kenneth Feist to accept the Bayer Ford Mercury bid, and the vote of approval was unanimous.

Public Hearing on County Reinvestment Zone

The next item was a required public hearing concerning the establishment of a reinvestment zone for the entire county with the exception of the three incorporated cities.

Ruby Lesley was asked to speak about the matter. She noted that reinvestment zones were required by law to be established prior to the granting of any property tax abatements. She added that they could be for specific properties and areas, or that a single zone could be established for all unincorporated areas of a county. She noted that the public hearing notice was for a countywide zone.

Bobby Schuman pointed out that even though a countywide zone was being considered, that each individual request for tax abatement would still have to be individually approved.

Garry Steele noted that by creating a countywide reinvestment zone that going through the formalities of establishing individual zones for each approved tax abatement requests presented in the future would be eliminated.

Joey Boswell asked County Attorney Charles Williams what he had found in his research on the subject.

Williams stated that he had talked with other county officials where windfarms had been established and that they had reported good experience with them. He confirmed that the establishment of a reinvestment zone did not require that any tax abatement must be granted.

Williams stated that reinvestment zones were required by the State Comptroller’s office in order that they be informed of all property tax abatements granted. He said the legal requirements were that the Commissioners must find that the proposed abatement situations are feasible, beneficial and attract employment or investment.

Williams pointed out that if a countywide reinvestment zone were to be established, that any like kind business would, if granted tax abatement, be entitled to the same abatement terms as earlier granted. He again noted that there was no requirement that any abatement be granted, even though a reinvestment zone had been established.

Williams concluded that he didn't believe this requirement would be a problem, in that the county would want to treat similar type businesses the same way in any event.

Two men, William Coats from RES American, an Austin-based windfarm development company, and Wes Jackson with Cummings Westlake, a property tax consulting firm in Houston, were present to speak regarding the reinvestment zone and related tax abatement request. They fielded numerous questions from the Commissioners regarding the proposed Roadrunner Windfarm project to be located in southwest Comanche County and in the northern and eastern portions of Mills and Brown Counties.

The men noted that each windmill generator would occupy a space, including access roads, averaging around one and one half acres. Each would generate electricity sufficient to serve around 1,500 homes.

One individual in the audience stated that he favored the windfarm, and then commented that his only question about the project was whether it would hurt the scenic and hunting values of adjoining landowners.

John Dudley spoke regarding a high profile conflict regarding the King and Kennedy ranches in south Texas, noting that much of it seems to stem from ancient rivalries between the neighboring ranches rather than from the particulars of the proposed wind farms.

Garry Steele reiterated his support for a countywide reinvestment zone.

Judge Arthur stated that he needed a motion to that effect and Bobby Schuman offered one. Garry Steele seconded and the vote of approval was unanimous.

Ruby Lesley had a map of the zone and commented that it included approximately 940 square miles of area, including all unincorporated land in the county.

Tax Abatement Request for Roadrunner Windfarm

The next agenda item concerning the approval of a tax abatement application from the Roadrunner Windfarm consumed the largest time portion of the Commissioners meeting.

Roadrunner was requesting a five year, 60% property tax abatement for the wind electrical power generation equipment they hope to install along hilltops in southwestern Comanche County. After five years the requested abatement will be 40% for another five years, and thereafter the windfarm equipment would be fully taxable.

The tax abatement agreement calls for a minimum investment by Roadrunner of $425 million. The actual investment is projected to be higher than that amount, however.

County Auditor Joey Boswell made an approximate calculation of the potential property tax effect on all county taxpayers if the abatement was granted and the windfarm project was completed.

Even with the 60% abatement for five years, the project would increase the taxable property in the county by $170 million, a 30% increase over the 2007 Comanche County total taxable value of $563 million.

State law does not allow any taxing authority to increase net property tax revenues by more than 8% in any given year without being subject to a tax rollback election. Even if the county raised its taxes the maximum allowable amount, there would be an approximate 22% first year reduction in property taxes for all county taxpayers, according to Boswell's calculations. Further reductions in county taxes would be in store in years 6 and 11 as the tax abatements expire.

Property tax consultant Wes Jackson stated that the wind farm project should have a minimum useful life of 25 years, and likely much longer than that. He noted that there would likely be upgrades to the turbines as the initial generating equipment wears out and more efficient upgrades become available. He also stated that because of cost increases for wind turbines, that it is possible that their market valuations could increase with time.

Windfarm developer William Coats stated that an important part of the windfarm project would be a 15-25 year power purchase agreement with electric utilities which would guarantee a market for the electricity produced for the minimum life of the project. He added that the market is "hungry" for renewable electrical power at the present time and anticipates little problem negotiating the power purchase agreements.

Coats stated that other areas of the state further north and west have better wind, however, they do not have adequate electrical transmission lines to carry the existing generation. Comanche County, on the other hand, has less wind potential, but has ample transmission lines available to serve the state's population centers where the demand exists.

The windfarm is anticipated to be constructed during the 2009 year and would go on the property tax rolls for the first time in 2010. A six to nine month construction period is projected.

Charles Williams reported that Nolan County had been very pleased with how the wind farm developers worked with the county to upgrade the county roads to enable them to move the heavy equipment into place.

Wes Jackson reminded the Commissioners that the tax abatement terms being requested were consistent with those being granted in other Texas counties. He noted that without the tax abatements that the Comanche County project would suffer in competition with other areas. He cited an example of where a project planned to be located in both Erath and Eastland counties had been significantly altered when one county granted abatements and one did not.

William Coats said that they had approximately 75% of the needed Comanche County sites already under lease.

Charles Williams reported that stipulations that local contractors be used to the greatest extent possible had been important in other counties he had contacted, and then asked Coats for his opinion on that.

Coats responded that the use of local contractors was very important to them and that they had already contacted a county road contractor company and gave them the right of first right of refusal on project work. He added that even if it costs the company a bit more to get the work done locally, that they favored local area contractors and would be willing to have language specifying such in the abatement agreement.

Bobby Schuman made a motion to approve the tax abatement agreement subject to the local contractor provisions being included.

Judge Arthur declared a second recess for the language to be inserted into the agreement.

As the meeting resumed, Jimmy Dale Johnson expressed concern that the Commissioners were presented with an abatement agreement and being asked to approve it on the same day.

Judge Arthur expressed concern that the county might lose another important development if they drug their feet in approving the abatement agreement.

A discussion followed regarding the various county officials that had read the agreement and approved it, including Charles Williams, Ruby Lesley and Joey Boswell.

Garry Steele asked what was the downside to approving the agreement if the project completely fell apart.

Jimmy Dale Johnson said he just didn't want to see the county get "out-traded".

Steele responded that he agreed, but he also didn't want to see the county get "left behind" either.

Charles Williams was again asked if he had any concerns or problems with the proposed agreement and he said he did not.

Garry Steele then seconded Schuman's motion to approve the agreement. The vote of approval was unanimous.

Other Business

In other business, the Commissioners:

• Approved an upgrade of the copier in the County Judge’s office and the transfer of the old copier to the County Emergency Management office.

•Approved a request by Justice of the Peace Bill Koenig to upgrade the salary of a clerk in his office to that of a regular secretarial position. Koenig noted that recent legislation increasing the dollar limits on items handled in small claims court will greatly increase his office’s workload beginning in September.

• Acknowledged an order from the District Court setting a public hearing date for the annual budget for the County Auditor and District Court Reporter offices.

• Voted unanimously to re-appoint Buryl Conger as the Comanche Public Library's representative to the Big Country Library System.

• Voted unanimously to purchase an additional copy of the Texas Transportation Code for use by the Commissioners and that the law book be kept in Garry Steele's office. The approximate $40 cost will be covered out of the Law Library Fund.

• Voted unanimously to approve the adoption of the retirement plan for county employees for fiscal year 2008. Billy Ruth Rust noted that the cost for the coming fiscal year will decline slightly, from $9.16 to $8.98.

• Voted unanimously on a recommendation by Ruby Lesley to consolidate the 16 county voting precincts into 8 voting locations for the November 6, 2007, State Constitutional Amendment election.

There will be three voting locations in Comanche for six precincts, one location in DeLeon for two precincts, one location in Sidney for two precincts and two locations in Gustine for four precincts. A request to the U.S. Department of Justice to move early voting to the Courthouse basement was also reported by Lesley.

• Agreed to postpone discussion of issuing Certificates of Obligation for the purchase of road building equipment during the budget workshop to be held after lunch that same day.

 

For all the De Leon news, articles and columns:

Subscribe to the De Leon Free Press