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Record of Proceedings

Denton City Council Meeting Summary – September 9, 2025

City Council — Tuesday, September 9, 2025
BodyAustin, Texas
SessionCity Council
DateTuesday, September 9, 2025
StatusFILED
Video Record
0:00 / 3:22:55

Transcript — Verbatim
0:02

Good afternoon and welcome to this meeting of the Denton City Council.

0:06

Today is today's date is June, Tuesday, September 9th, 2025.

0:12

And we have a quorum, so I'll call it and it's 2 p.m.

0:15

I'll call a meeting order.

0:17

First thing on the agenda, citizens' comments on consent agenda items.

0:23

Having none takes us to request for clarification on agenda items listed on the agenda for public hearing and individual consideration.

0:31

Any clarification on agenda items listed in the agenda for public hearing and or individual consideration.

0:38

Representative from District 4.

0:40

Thank you, Mayor.

0:41

Could I have some clarification on item item U?

0:45

Union.

0:47

Please is that consent or it's gotta be, right?

0:58

Because we won't go that far.

1:00

Okay.

1:00

It is consent, yes.

1:03

I don't think there's any.

1:05

There's no, yeah, go ahead.

1:07

Uh Mayor, Councilmember Holland, there's no staff here because uh if it's on consent, we usually don't leave staff here to answer those questions, but we can get it for you and have it to you before you approve the consent agenda.

1:21

That'd be fine.

1:22

So what what's your what's your question?

1:26

I just uh it just it just seems like a lot of money, and I'd like to know what it what it does.

1:30

What do it do?

1:32

Come on, come on, you're here.

1:36

Uh this is Dustin, he's here already.

1:37

He can answer this.

1:38

I thought you were talking to me.

1:42

You answer your question.

1:48

Mayor Council Dustin Sternbeck, Chief Communications Officer.

1:51

So this would be combining several existing platforms that we already use into one contract.

1:56

So we're we're actually saving money over the long term with our uh website hosting service, uh, community sentiment survey and social media monitoring up to five years.

2:08

So it in fact is it in fact is a money saving measure?

2:12

Yes.

2:13

Okay, okay.

2:14

Thank you.

2:15

Thank you, Mayor.

2:16

Uh any other questions on individual okay.

2:20

Mayor Pro Tim.

2:22

I asked a question ahead of time of let's see, it was regarding individual consideration item A.

2:29

Um, I asked uh approximately how much in total monthly revenue do we anticipate this new facility generating at the landfill?

2:38

Um I was wanting like an actual number of how much in total, what they get to keep, what we get to keep, how much we think this would generate maybe on a monthly or annual basis.

2:54

Not as tall as Dustin.

2:55

Brenda Haney, Solid Waste Director.

2:57

Um, we don't have an exact number because we don't know how much gas we're actually going to generate and what they're gonna sell and what that revenue is gonna be.

3:04

The payout to us is a percentage base based on the amount of revenue that they will generate.

3:10

So we get at the lowest level, we get 15% of their gross revenues, and that's when they are making gross revenues of up to a half a million dollars on a monthly basis.

3:20

So that's 75,000 a month at a minimum that we will receive.

3:25

As the revenue for them increases, our percentage increases, and therefore our revenue increases.

3:30

So it goes then the next jump is from a half a million and a penny to a million, and that's 21 percent.

3:37

So that's roughly a couple hundred, two hundred and ten thousand um on a monthly basis, and then the maximum is twenty-seven percent at anything over a million dollars and a penny a month.

3:48

So I I can't give you a hard annual number because I think what it's gonna happen is we're gonna build this, they're gonna expand the gas system.

3:58

We're gonna start to bring in an increased amount of gas, and their efficiency will continue to improve, and the system will get a little more robust with some time as they continue to to uh develop the production of gas in or get the gas out of our landfill a little more efficiently.

4:14

So but it's gonna take them about nine months or so to get up and running.

4:19

So we're not really anticipating a lot in this next fiscal year, and uh and by this time next year, it'll really start to be uh moving forward.

4:27

And one follow-up question that may not be you, but um, as that revenue to the city starts to come in, will that be a separate revenue line item that we'll be able to see within the budget?

4:36

The intent will be to return it to the solid waste fund, and then we'll be able to use it for future capital projects.

4:41

Right.

4:41

Will it be called out explicitly in the budget like a line item for revenue?

4:45

Yes, probably.

4:46

Okay, that's all.

4:47

Thank you.

Discussion Breakdown — Share of Meeting
Budget Equity Analysis██████████████████████████████30%
Public Engagement██████████████████18%
Procedural████████8%
Public Safety████████8%
Fiscal Sustainability███████7%
Management and Operations███████7%
Homelessness█████5%
Solid Waste Management████4%
Community Engagement██2%
Summary of Proceedings

Denton City Council Meeting Summary – September 9, 2025

The Denton City Council met on September 9, 2025, from 2:00 PM to 7:01 PM in a combined work session and regular meeting. The council addressed a wide range of items including the fiscal year 2025-26 internal audit plan, updates to the city's inclement weather policy, the proposed FY 2025-26 budget and tax rate, a landfill gas project, and a two-minute pitch on board and commission term uniformity. Public hearings on the budget and tax rate were opened and continued to September 16, 2025.

Consent Calendar

  • Approved all consent agenda items unanimously (6-0).

Public Comments & Testimony

  • No citizens spoke during the public comment period on consent agenda items or during the public hearings on the budget and tax rate.

Discussion Items

Fiscal Year 2025-26 Internal Audit Plan

  • City Auditor Madison Roshaw presented three options for follow-up reviews and eight proposed new audit projects, ranked by public priority. After discussion, the council directed staff to pursue option two (catch-up on follow-up reviews from last year and this year) and to include three new audit projects: financial planning, vehicle management, and a reduced-scope climate resiliency audit. The council also agreed to discontinue the annual council travel and expenses compliance review, shifting those hours to other priorities. Staff will bring back a revised plan with adjusted hour allocations.

Inclement Weather Policy Update

  • Community Services Director Jesse Kent proposed administrative updates to the inclement weather policy, including designating the Denton Community Shelter as the overnight shelter, updating language to "warming and cooling stations," and adding new facilities. For temperature thresholds, staff recommended using the National Weather Service Heat Risk system (risk level 3 or higher) for heat and overnight wind chill with precipitation for cold. Council members expressed support for the wind chill/precipitation change and interest in the heat risk system, but requested additional information on the financial impact on Our Daily Bread (ODB) before finalizing. The council directed staff to proceed with the policy changes and bring back cost impact data.

FY 2025-26 Budget and Hot Funds Allocation

  • Assistant City Manager Christine Taylor presented the final budget work session, covering resident feedback, the proposed tax rate, and the general fund budget. The proposed budget is balanced at $218.8 million, with a one-cent increase in the debt service tax rate (to $0.595420 per $100 valuation), resulting in an estimated $84 annual increase on the average home. The council extensively debated the use of hotel occupancy tax (hot) funds for the ambassador program. Council members proposed reallocating the $300,000 ambassador program funding to other entities: $200,000 to Denton County, $70,000 to the Texas Veterans Hall of Fame, and $30,000 to Dog Days of Denton. After discussion, the council agreed to adopt the budget with the total hot funds expenditure of $5 million, place the $300,000 for the ambassador program into contingency, and hold a work session on September 16, 2025, to finalize the allocation. The council also directed staff to provide information on potential alternative funding sources for downtown safety services.

Landfill Renewable Natural Gas Facility (Item 3A)

  • Solid Waste Director Brenda Haney presented a 20-year agreement with Mayhill Renewables LLC (Morrow Energy) to design, build, and operate a renewable natural gas facility at the landfill. The city will receive a sliding-scale royalty (15% to 27% of gross revenues) starting at an estimated $75,000 per month. The council unanimously approved the ordinance authorizing the city manager to execute the contract.

Denton Central Appraisal District Board Nominations (Item 3B)

  • Finance Director Matt Hamilton presented the nomination process for two expiring seats on the DCAD board. Council members had questions about the incumbents' interest in reappointment and the eligibility criteria. The item was tabled to the September 30, 2025, meeting to allow for further research.

Two-Minute Pitch: Board and Commission Term Uniformity

  • Councilmember Jester requested a review of the city's volunteer boards and commissions to address quorum issues, vacancies, and streamline the nomination process. The council expressed support and directed staff to bring back a report with options for improving efficiency and engagement.

Key Outcomes

  • Approved consent agenda (6-0).
  • Directed staff to prepare the FY 2025-26 internal audit plan with catch-up follow-ups and three new projects: financial planning, vehicle management, and a reduced climate resiliency audit. Discontinued the annual council travel expense review.
  • Directed staff to update the inclement weather policy using the Heat Risk system and wind chill with precipitation, and to provide cost impact data on ODB.
  • Adopted the FY 2025-26 budget with a total hot funds expenditure of $5 million, placing $300,000 for the ambassador program into contingency pending a September 16 work session. The budget and tax rate adoption will occur on September 16, 2025, requiring a supermajority vote for the tax rate increase.
  • Approved the landfill gas project ordinance (6-0).
  • Tabled DCAD board nominations to September 30, 2025.
  • Accepted the two-minute pitch on board and commission term uniformity; staff to report back.

Meeting Transcript

Good afternoon and welcome to this meeting of the Denton City Council. Today is today's date is June, Tuesday, September 9th, 2025. And we have a quorum, so I'll call it and it's 2 p.m. I'll call a meeting order. First thing on the agenda, citizens' comments on consent agenda items. Having none takes us to request for clarification on agenda items listed on the agenda for public hearing and individual consideration. Any clarification on agenda items listed in the agenda for public hearing and or individual consideration. Representative from District 4. Thank you, Mayor. Could I have some clarification on item item U? Union. Please is that consent or it's gotta be, right? Because we won't go that far. Okay. It is consent, yes. I don't think there's any. There's no, yeah, go ahead. Uh Mayor, Councilmember Holland, there's no staff here because uh if it's on consent, we usually don't leave staff here to answer those questions, but we can get it for you and have it to you before you approve the consent agenda. That'd be fine. So what what's your what's your question? I just uh it just it just seems like a lot of money, and I'd like to know what it what it does. What do it do? Come on, come on, you're here. Uh this is Dustin, he's here already. He can answer this. I thought you were talking to me. You answer your question. Mayor Council Dustin Sternbeck, Chief Communications Officer. So this would be combining several existing platforms that we already use into one contract. So we're we're actually saving money over the long term with our uh website hosting service, uh, community sentiment survey and social media monitoring up to five years. So it in fact is it in fact is a money saving measure? Yes. Okay, okay. Thank you. Thank you, Mayor. Uh any other questions on individual okay. Mayor Pro Tim. I asked a question ahead of time of let's see, it was regarding individual consideration item A. Um, I asked uh approximately how much in total monthly revenue do we anticipate this new facility generating at the landfill? Um I was wanting like an actual number of how much in total, what they get to keep, what we get to keep, how much we think this would generate maybe on a monthly or annual basis. Not as tall as Dustin. Brenda Haney, Solid Waste Director. Um, we don't have an exact number because we don't know how much gas we're actually going to generate and what they're gonna sell and what that revenue is gonna be. The payout to us is a percentage base based on the amount of revenue that they will generate. So we get at the lowest level, we get 15% of their gross revenues, and that's when they are making gross revenues of up to a half a million dollars on a monthly basis. So that's 75,000 a month at a minimum that we will receive. As the revenue for them increases, our percentage increases, and therefore our revenue increases. So it goes then the next jump is from a half a million and a penny to a million, and that's 21 percent. So that's roughly a couple hundred, two hundred and ten thousand um on a monthly basis, and then the maximum is twenty-seven percent at anything over a million dollars and a penny a month. So I I can't give you a hard annual number because I think what it's gonna happen is we're gonna build this, they're gonna expand the gas system.

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