CITY OF LAREDO
                                CITY COUNCIL MEETING

                                CITY COUNCIL CHAMBERS
                                 1110 HOUSTON STREET
                                    LAREDO, TEXAS
                                      5:30 P.M.

                                       AGENDA

       A97-R-36                                               OCTOBER 20, 1997

   I.  CALL TO ORDER
  II.  PLEDGE OF ALLEGIANCE
 III.  ROLL CALL
  IV.  APPROVAL OF MINUTES

       2. City Council Meeting of September 15, 1997
          Special City Council Meeting of September 27, 1997
          Special City Council Meeting of September 29, 1997
          City Council Meeting of October 6, 1997

   V.  INTRODUCTORY ORDINANCES

       3. Authorizing the City Manager to grant a license to Grande River
          Communications, Inc., for the use of a telecommunications PVC Conduit on
          Juarez Lincoln International bridge and on 1000 square feet of City right-
          of-way on the XXXXX block of San Francisco Avenue and the River Bank for a
          term of five (5) years with an annual rent of $10,000.00 plus a fee of
          $4.00 a square feet for the occupation of the City of Laredo Right-of-Way.

       4. Amending Section 6-66 (c) titled "Special Permits" for large livestock and
          wild animals, of Chapter 6, Animals and Fowl, of the Code of Ordinances of
          the City of Laredo; thereby specifically clarifying the said subsection so
          that the Health Director has the final authority to grant or deny a
          special permit independent of whether abutting and adjacent neighbors
          consent to or oppose the special permit; providing for severability; and
          providing for an effective date and publication.

  VI.  FINAL READINGS

       5. 97-O-235  Authorizing the City Manager to execute all necessary documents
                    associated with a public sale to convey the "Surface Only" of a
                    3.0183 acre tract of non-aeronautical use land (approximately
                    131,480 square feet) being a part of Block No. 21-Subdivision
                    Plat of Laredo Airport and located at the Laredo International
                    Airport, together with improvements located thereon and subject
                    to that lease agreement as amended between the City of Laredo,
                    as Lessor and Pacific Southwest Bank, as Lessee, and being more
                    particularly described by metes and bounds to Commerce Bank for
                    the purchase price of $1,492,000.00. Said tract of land is
                    located at the 2100 Block of Saunders Street. (City Council)

       6. 97-O-246  Authorizing the City Manager to execute an agreement providing
                    for possible reimbursement of part of the cost of constructing a
                    sanitary sewer line incurred by Camilo Prada. (City Council)

       7. 97-O-247  Ordinance granting a license to Grande River Communications,
                    Inc., to erect, construct, maintain, and operate a wire
                    telecommunications system pursuant to the City of Laredo's Wire
                    Telecommunications System licensing Ordinance No. 96-O-185.
                    (City Council)

       8. 97-O-248  Ordinance granting a license to GST Telecom Texas, Inc. to
                    erect, construct, maintain, and operate a wire
                    telecommunications system pursuant to the City of Laredo's Wire
                    Telecommunications System licensing Ordinance No. 96-O-185.
                    (City Council)

       9. 97-O-249  Ordinance amending Section 2-5, titled "City Council Meetings,"
                    of the code of ordinances of the City of Laredo, thereby
                    limiting the number of discussion items that may be placed on a
                    City Council Meeting Agenda by each councilmember to four (4);
                    providing severability; and providing for an effective date.
                    (City Council)

      10. 97-O-250  Ordinance authorizing the issuance of a Special Use Permit for
                    Gas Extraction on 5.0 acres out of Porcion 35, as further
                    described by metes and bounds, located east of Highway 83 and
                    south of Southgate Boulevard, known as the Zachry No. 3 Well.
                    Providing for publication and effective date.  (Jose Perez,Jr.)

      11. 97-O-251  Ordinance amending Ordinance No. 94-O-077, authorizing the
                    issuance of Special Use Permit for gas extraction facility on
                    Lot 1, Block 1, Plantation Centre Subdivision, Unit 1, located
                    on the northeast corner of the intersection of McPherson Road
                    and Del Mar Boulevard, amending Section 3, (1), by changing the
                    distance requirement for placement of structures near the well-
                    head from 250 feet to 100 feet; providing for publication and
                    effective date.  (Joe A. Guerra)

      12. 97-O-252  Ordinance amending the City of Laredo FY 1997-98 Annual Budget
                    to increase the revenues by an amount of $2,000,000.00 received
                    from the Federal Aviation Administration Grant Offer No. 3-48-
                    0136-20 and appropriating $2,222,223.00, comprising of the
                    $2,000,000.00, grant plus the local match of $222,223.00, to the
                    Airport Capital Outlay/Improvements other than Buildings account
                    for the purpose of purchasing four passenger boarding bridges
                    for the new airport passenger terminal and to acquire a portion
                    of the Runway Protection Zone to Runway 35L. The local match to
                    the grant is available in the Airport new passenger terminal
                    reserve account line item.  (Louis H. Bruni)

      13. 97-O-253  Ordinance approving an amendment to the contract with the Texas
                    Department of Health and budgets in the amount of $492,000.00,
                    for the Maternal and Child Health (MCH) Program and $146,000.00
                    for the (Community) Health Education Project (total $638,000.00)
                    of the City of Laredo Health Department for the period beginning
                    September 1, 1997, through August 31, 1998; and increase revenue
                    line item 226-0000-323-4034 from $0 to $492,000.00, and 226-000-
                    323-4069 from $0 to $146,000.00, and expenditure line item 226-
                    6065 from $0 to $492,000.00 and 226-6066 from $0 to $146,000.00.
                    (City Council)

      14. 97-O-254  Ordinance approving an amendment to the contract with the Texas
                    Department of Health and budgets in the amount of $42,000.00,
                    for the Chronic Disease Prevention Program, Breast and Cervical
                    Cancer Control Project, of the City of Laredo Health Department
                    for the period beginning September 1, 1997, through August 31,
                    1998; and increase revenue line item 226-0000-323-4055 from $0
                    to $42,000.00, and expenditure line item 226-6068 from $0 to
                    $42,000.00.    (City Council)

      15. 97-O-255  Ordinance approving amending the City of Laredo's 1997-1998
                    Annual Budget in the amount of $330,110.00.  The Department of
                    Justice will provide $297,099.00, and the City will match
                    $33,011.00, for the first year of funding. This supplemental
                    award is under the "Universal Hiring" Grant for the COPS Ahead
                    Grant which will fund the salaries and fringe benefits of ten
                    police officers for a period of three years.  The total amount
                    of the grant is $750,000.00, with the City's match being
                    $407,650.00, for a three year period (August 1, 1997 through
                    July 31, 2000).  (City Council)

      16. 97-O-256  Ordinance amending the City of Laredo's 1997-1998 Annual Budget
                    in the amount of $98,391.00, for an agreement with the Drug
                    Enforcement Administration for the funding of an HIDTA
                    Intelligence Unit for the period of October 1, 1997 and ending
                    September 30, 1998.  (City Council)

 VII.  RESOLUTIONS

      17. 97-R-120  Authorizing participation by the City of Laredo with other Texas
                    cities in the Texas Coalition of Cities for franchised utility
                    issues; naming a representative to the steering committee;
                    authorizing payment of a participation fee and providing an
                    effective date.

      18. 97-R-121  Authorizing the City Manager to accept a grant from the Texas
                    Department of Health in the amount of $200,000.00 for the
                    restructured La Familia Health Care Project (previously known as
                    the Diabetic/Hypertension Education Project) of the City of
                    Laredo Health Department for the period beginning September 1,
                    1997, through August 31, 1998.

      19. 97-R-122  Accepting a grant from the Texas Department of Health in the
                    amount of $1,516,584.00 to operate the Women, Infants, and
                    Children (WIC) Program, and to issue approximately $8,460,000.00
                    in federal food vouchers by the City of Laredo Health Department
                    for the period beginning October 1, 1997, through September 30,
                    1998.

      20. 97-R-123  Urging the United States Congress to amend the $12.00,
                    International Arrival and the $12.00, International Departure
                    Aviation Excise Tax levied on international air travelers to
                    exempt United States airports located on the Mexican and
                    Canadian borders from collecting said tax.

      21. 97-R-124  Authorizing the acceptance of a donation of the "surface only"
                    of lot number 47-A, in Block Number 2, of the Eastwoods
                    Subdivision, Phase, III, a Subdivision in the City of Laredo,
                    Webb County, Texas, as per plat of said subdivision recorded in
                    Volume 17, Page 19, Webb County plat records for use as a city
                    park from Big O Development, L.C., a Texas Limited Liability
                    Company.

      22. 97-R-125  Authorizing the issuance of a Drilling permit to drill and
                    operate a natural gas well on 5.0 acres out of Porcion 35, as
                    further described by metes and bounds, located east of Highway
                    83 and south of Southgate Boulevard, known as Zachry No. 3 Well.

      23. 97-R-126  Supporting the designation of the Rio Grande/Rio Bravo as an
                    American Heritage River.

      24. 97-R-127  Authorizing staff to negotiate and execute a Right of Entry and
                    Possession instrument, the right to enter upon an approximately
                    sixty-two-acre parcel of land owned by Fasken Ltd., a Texas
                    Limited Partnership, for the construction of the Laredo
                    Northwest International Bridge. Said sixty-two-acre parcel and
                    to be further described on a certified document at a later date.

VIII.  MOTIONS

      25. Approval of the construction plans and specifications and authorization to
          advertise for bids for the Laredo International Bridge No. 1 Pavement
          Reconstruction at Approaches, Phase I with tentative award on December 1,
          1997. Funding is available in the Bridge System Import Lot.

      26. Approval of bid specifications and authorization to advertise for bids for
          the following:
          a) Public Works Materials - Annual Contract
          b) Restaurant Equipment - Airport Terminal
          c) Vehicles: Police Department (8), Airport (1), Bridge (4), Utilities -
             Water Billing (2), Civic Center (1)
          Funding is available in the respective Department's operating budget. A
          tentative bid award is set for November 17, 1997.

      27. Authorization to advertise for Request for Proposal (RFPs) for consulting
          engineering services to design and prepare plans and specifications for a
          belt filter press to be added to the South Laredo Wastewater Treatment
          Plant.

      28. Award of annual supply contract to the LOW BIDDER, Thomas Petroleum,
          Laredo, Texas, in the estimated amount of $900,000.00, for the purchase of
          transport loads of unleaded fuel and low sulfur diesel fuel, and tank
          wagon loads of low sulfur diesel and unleaded fuel, for the City of
          Laredo's fleet. The bid price unleaded fuel is $0.003 cents less than the
          previous year and $0.0015 cents more for diesel fuel.  A total of two bids
          were received on purchase.

      29. Award of an annual contract to the LOW BIDDER, TREADCO, Inc., Laredo,
          Texas, in the estimated amount of $11,480.00, for providing tire recapping
          services for the Fleet Maintenance Division. The Fleet Maintenance
          Division has been recapping tires used on the refuse and dump trucks with
          good results. New tires can be recapped two to three times therefore
          extending the usefulness of the core tire. Each tire sent for recapping is
          inspected and repaired as needed prior to the recapping process. A total
          of three bids were received for these services. The bid pricing is
          approximately 5% less than the previous contract period. Funding is
          available in the Fleet departments maintenance budget.

      30. Award of a construction contract to the LOWEST BIDDER, Cantu-American
          Construction Co., Inc., Laredo, Texas, in the amount of $133,000.00, for
          the Laredo Health Department Canopy for Perimeter of the W.I.C. Building
          located at 2600 Cedar Avenue. Funding is available in the Health Fund.

      31. Approval of change order no. 1, an increase of $985.00, acceptance of the
          Willow/Chacon Drainage Improvements, and approval of final payment in the
          amount of $13,616.50, to Ramex Construction Company, Inc., Laredo, Texas.
          The original contract amount was $103,995.00. This change order will bring
          the contract total to $104,980.00.  Funding is available in Community
          Development Willow/Chacon Drainage Project.

      32. Approval of change order no. 1, a decrease of $13,532.20, acceptance of
          the 18 Inch Diameter Sanitary Sewer Main along Bustamante Street from
          Meadow Avenue to East San Francisco at Zacate Creek, and approval of final
          payment in the amount of $74,928.35 to BRH Garver, Inc., Houston, Texas.
          The original contract amount was $742,983.00. This change order will bring
          the contract total to $729,450.80. Funding is available in EDA
          Airport/Medical Park Improvements Other Than Building.

      33. Approval to release two and one half percent of the five percent retainage
          of the items that are one hundred percent (100%) complete and accepted in
          the amount of $360,724.96 to Don Krueger Construction Company, Victoria,
          Texas in conjunction with the Laredo International Airport New Passenger
          Terminal Project.  The total contract amount is $15,087,145.00.  Funding
          is available in the Retainage Payable.

      34. Approval of a contract with Texas Department of Transportation - Ads in
          the amount of $16,800.00, for the purchase of a 1/2 page, 4 color
          advertisement in the "1998 Texas State Travel Guide." The Laredo
          Convention and Visitors Bureau Board recommends approval of this contract.

      35. Authorizing a lease purchase contract, in the amount of $391,888.05, from
          the LOW BIDDER, DSI Consulting, McAllen, Texas, for the purchase of a new
          AS/400 computer. This computer will replace the current system which
          maintains the City's financial and operational software requirements. The
          software packages currently installed includes: governmental accounting,
          budget, purchasing, payroll, utility billing, miscellaneous receivables,
          fleet maintenance, fixed assets, and the Health Department's medical
          software. The term of the lease purchase contract shall be for a 5 year
          period and will be financed by IBM Credit at an effective interest rate of
          5.85%.

      36. Authorizing the City Manager to enter into contracts with the providers
          listed below to provide professional health care services to clients of
          the City of Laredo Health Department for the period of September 1, 1997,
          through August 31, 1998.
                          Provider             Program           Contract Amount
          1) Dr. Victor Trevino         Maternal & Child Health     $35,000.00
          2) Dr. Antonio                Maternal & Child Health     $20,000.00
             Salinas/Carlos Cruz
          3) Mercy Reg. Medical Ctr.    Maternal & Child Health     $50,000.00
                                        Breast and Cervical
                                        Cancer Control Project      $50,000.00
          4) Dr. Winder Vasquez         TB                          $20,000.00
          5) Dr. Benson Huang           TB                          $20,000.00
          6) Dr. Maurice Click          ADM./HIV                    $25,000.00
                                                                   $215,000.00

      37. Authorizing the City Manager to sell to Holt Company of Texas three motor
          graders under the guaranteed re-purchase program for $115,000.00, each and
          using the proceeds to go out for bids to purchase two new larger 140H
          motor graders.

  IX.  CITY MANAGER'S REPORT

      38. Requesting authorization to direct the Laredo Affordable Housing
          Corporation to allow the Laredo Builders Association an opportunity to
          review the construction plans for the Los Obispos Housing Project and to
          prepare bid specifications in such a way so as to allow general
          contractors and/or subconstractors to bid on the project. Any significant
          change to construction specifications will be brought back to City Council
          for approval.

      39. Request for Executive Session pursuant to Texas Local Government Code
          551.071 to consult with legal counsel regarding contemplated litigation
          regarding 1st and 14th Amendment Constitutional issues arising from an
          application for a Special Use Permit for a sexually oriented business.

   X.  COMMUNICATIONS

  XI.  CITY COUNCIL DISCUSSION AND PRESENTATION

      40. Requests by Mayor and City Councilmembers for discussion and presentation.

    A.  Requests by Mayor Pro Tem Jose R. Perez, Jr.

       1. Announcing an invitation by our Sister City of Cienega de Flores' Mayor
          Homero Quiroga to his "Tercer Informe del Gobierno Municipal de Cienega de
          Flores," to be held on Thursday October 30, 1997, at 8:00 p.m. This will
          be his last official act as Mayor and consequentlty he would like to
          invite the Mayor and City Council to this event.

    B.  Requests by Councilmember Louis H. Bruni

       1. Status report on the FAR PART 150 Noise Abatement project with possible
          action.

       2. Status report on the reconstruction of Runway 17L/35R with possible
          action.

       3. Discussion and possible action on IH-35 congestion at the Lincoln Juarez
          Bridge with possible short term solutions to the congestion problem, until
          the completion of the new Fourth International Bridge.  (Co-sponsored by
          Councilman Mario G. Alvarado)

       4. Request by UISD to have district campuses included in metro government
          committee review of traffic circulation around schools with possible
          action.  (Co-sponsored by Cm. Eliseo Valdez, Jr. and Cm. Joe A. Guerra)

    C. Requests by Councilmember Alfonso "Poncho" Casso

       1. Discussion and possible action regarding the procurement of the proper
          equipment to combat fires in the county and status report on the airport
          crash truck.

       2. Discussion and possible action regarding the Metro paratransit lift
          program and the FTA Grant Application (project #tx-90-x406-0) for the
          purchase of eight buses, and five paratransit vans.

       3. Status report on the staging area for the elimination of the trailer
          congestion on IH35.

       4. Discussion and possible action regarding the Canizales Boxing Gym on
          Guadalupe Street. (co-sponsored by Cm. Joe A. Guerra)

    D.  Requests by Councilmember Cecilia May Moreno

       1. Discussion and possible action regarding a request to have staff look at
          increasing the illumination at the intersection of Ash and Springfield
          Streets, and for a 3 block radius from said intersection.

       2. Discussion and possible action regarding the Health Department's mosquito
          spraying program to include a schedule of spraying times and places.
          Additionally, what other programs are in place to eliminate other animals
          such as opossums, etc.?

    E.  Requests by Councilmember Eliseo Valdez Jr.

       1. Status report regarding the drainage and erosion problems along the fence
          which borders the eastern section of the Hidden Meadows Subdivision fence.

       2. Status report regarding the recommendation on a special sewer rate for
          elderly individuals on fixed incomes.

       3. Status report regarding a staff recommendation on a safe crossing area for
          children to use while walking to Alma Pierce Elementary School along
          Springfield Avenue.

       4. Status report regarding the development of the City's "Snowbird"
          attraction plan.

    F.  Requests by Councilmember Joe A. Guerra

       1. Request by the BEST Organization to discuss their concerns about the
          service being provided by El Metro and El Lift with possible action.

       2. Update on the drainage problems along Mann Road (at Laredo Manor) with
          possible action.

    G.  Requests by Councilmember Mario G. Alvarado

       1. Discussion and possible action on reviving the Youth Advisory Council.

       2. Presentation by the Red Ribbon Coalition.

    H.  Requests by Councilmember Consuelo "Chelo" Montalvo

       1. Discussion and possible action regarding the naming of a three member Ad
          Hoc Committee to review the ongoing operations at the City's El Metro
          Transit System.

 XII.  PUBLIC HEARINGS

      41. Public hearing providing interested citizens an opportunity to comment on
          the City's proposed change in the use of the South Laredo Community Center
          from a social service facility to administrative office space for the
          Parks and Recreation Department in compliance with the Community
          Development Block Grant regulations cited in 24 CFR 570.505;
          and approval of a Motion to convert the South Laredo Community Center from
          a social service facility to administrative office space for the Parks and
          Recreation Department and to reimburse the Community Development Block
          Grant Program for the purchase and rehabilitation of the facility at the
          appraised fair market value of $440,000.00, to be amortized over a 20 year
          period to allow for 240 monthly payments of $1,833.33.

      42. Public hearing for the voluntary annexation of ten tracts of land totaling
          491.1278 acres, more or less, and the unilateral annexation of three
          tracts of land totaling 1,286.5786 acres, more or less, for a total of
          1,777.7064 acres, as required by Section 43.052 of the Texas Local
          Government Code.

          Tracts proposed for voluntary annexation are as follows:
       a) Tract  3: Killam Industrial Park Tract - 10.6253 acres, more or less.
                    Petitioner: Killam Industrial Development Partnership, LTD.
       b) Tract  4: Hurd Tract - 17.8736 acres, more or less.  Petitioner: Hurd
                    Urban Development, LLC c) Tract 5: Salinas Tract - 8.0 acres,
                    more or less.
                    Petitioner: Gerardo G. Salinas, Manager Village Heights, LTD.
       d) Tract  6: Izaguirre Tract - 8.0668 acres, more or less.
                    Petitioner: Tomas L. Izaguirre
       e) Tract  7: Killam/Loop 20 Tract - 15.7203 acres, more or less.
                    Petitioner: Killam Oil Company
       f) Tract  9: Haynes Tract - 4.6808 acres, more or less.
                    Petitioner: Richard E. Haynes
       g) Tract 10: Southern Development Tract - 95.7986 acres, more or less.
                    Petitioner: A.R. Sanchez Jr.
       h) Tract 11: Garcia Tract - 265.2185 acres, more or less.
                    Petitioner: E.G. Ranch, LTD
       i) Tract 12: Newman Tract - 35.1439 acres, more or less.
                    Petitioner: Newman Investment Company
       j) Tract 13: Ramos Tract - 30.0 acres, more or less.
                    Petitioner: Dr. Oscar Ramos

          Tracts proposed for unilateral annexation are as follows:
       k) Tract 1a: Unitec Industrial Park Tract - 362.173 acres, more or less.
                    Petitioner: City of Laredo
       l) Tract 1b: I.H. 35 Tract - 190.2584 acres, more or less.
                    Petitioner: City of Laredo
       m) Tract 2:  Bridge IV Tract - 181.2177 acres, more or less.
                    Petitioner: City of Laredo
       n) Tract 8a: Highway 359 Tract - 61.7122 acres, more or less.
                    Petitioner: City of Laredo
       o) Tract 8b: Highway 359/Landfill Tract - 490.8365 acres, more or less.
                    Petitioner: City of Laredo

      43. Public hearing to receive citizen input on the feasibility of establishing
          a truck staging area in North Laredo to contain commercial trucks
          transporting cargo into Mexico, via Bridge II.  Additionally, informing
          the public regarding the complete reconstruction of Saunders Avenue
          (Highway 59) from Ejido Avenue to Interstate 35 and how it will impact
          cargo as well as passenger traffic during the next 18 months.

      44. Public hearing authorizing the issuance of a Special Use Permit for a
          sexually oriented business, on Lot 9, Block 1, Tejas Industrial Park, Unit
          V, located at 8307 San Lorenzo Drive.

                            INTRODUCTION OF AN ORDINANCE
          Authorizing the issuance of a Special Use Permit for a sexually oriented
          business, on Lot 9, Block 1, Tejas Industrial Park, Unit V, located at
          8307 San Lorenzo Drive, providing for publication and effective date.

      45. Public hearing approving an amendment to the contract with the Texas
          Department of Health and budget in the amount of $1,516,584.00 to operate
          the Women, Infants, and Children (WIC) Program, and to issue approximately
          $8,640,000.00, in federal food vouchers by the City of Laredo Health
          Department for the period beginning October 1, 1997, through September 30,
          1998.

                            INTRODUCTION OF AN ORDINANCE
          Approving an amendment to the contract with the Texas Department of Health
          and budget in the amount of $1,516,584.00 to operate the Women, Infants,
          and Children (WIC) Program, and to issue approximately $8,640,000.00, in
          federal food vouchers by the City of Laredo Health Department for the
          period beginning October 1, 1997, through September 30, 1998; and
          increasing revenue line item for the WIC Program 226-0000-323-4037 from $0
          to $1,516,584.00, and expenditure line item 226-6071 from $0 to
          $1,516,584.00.

      46. Public hearing approving an amendment to the contract with the Texas
          Department of Health and budget in the amount of $200,000.00, for the
          restructured La Familia Health Care Project (previously known as the
          Diabetic/Hypertension Education Project) of the City of Laredo Health
          Department for the period beginning September 1, 1997, through August 31,
          1998.

                            INTRODUCTION OF AN ORDINANCE
          Approving an amendment to the contract with the Texas Department of Health
          and budget in the amount of $200,000.00, for the restructured La Familia
          Health Care Project (previously known as the Diabetic/Hypertension
          Education Project) of the City of Laredo Health Department for the period
          beginning September 1, 1997, through August 31, 1998; and increase revenue
          line item 226-0000-323-4036 from $0 to $200,000.00, and expenditure line
          item 226-6063 from $0 to $200,000.00.

XIII.  RECESS AND CONVENE AS THE LAREDO MASS TRANSIT BOARD

      47. Award of an annual supply contract in the estimated amount of $400,000.00,
          to the LOW BIDDERS, Thomas Petroleum, Laredo, Texas, for the purchase of
          transport loads of low sulfur diesel fuel and tank wagon loads of unleaded
          fuel for the El Metro fleet. The bid price for unleaded fuel is $0.0015
          cents more than the previous year and $0.0030 cents more for diesel fuel.
          A total of two bids were received for this purchase.

      48. Motion to waive all bus fare collection on November 28, 1997, as
          participation in the City of Laredo's co-sponsoring the HEB Feast of
          Sharing. This action will introduce new riders to El Metro. Based on
          Thanksgiving Day 1995 revenues of $2,350.00 and HEB's contribution of
          $1,000.00, the estimated forgone revenue will be approximately $1,300.00.

      49. Motion to exercise a contract option to purchase an additional 8 Nova
          coaches for the total price of $2,499,128.00 ($312,391.00 each) contingent
          upon approval of Federal Transit Administration grant amendment.

 XIV.  RECESS AND CONVENE AS THE LAREDO MUNICIPAL HOUSING CORPORATION

 50. 97-RMH-118  Authorization from the Laredo Municipal Housing Corporation (LMHC)
                 Board of Directors to accept and implement the Annual factor
                 increase offered from the Laredo Housing Authority -Section 8
                 Housing Assistance Payment Program.  The U.S.  Department of
                 Housing and Urban Development (HUD) allows landlords to increase
                 the Section 8 rents by the annual factor increase percentages which
                 are as follows: 2.6% for rents ranging from $310.00 -$349.00 and
                 2.3% for rents ranging from $350.00-$419.00.  The rents being
                 proposed are still lower than comparably sized apartments
                 throughout our community. HUD pays the difference of the rent
                 charged by landlords, meaning that this proposed increase will not
                 affect the current rent being paid by Section 8 participants.  In
                 addition, Section 8 participants are only responsible for paying
                 rent based on 30% of their income.  The revenues generated from the
                 rental rate increase will be used to assist in funding the
                 necessary LMHC Capital Improvement Projects (CIP) and operational
                 costs. The Section 8 Annual Factor increase will be implemented to
                 all Section 8 contracts as they are renewed at both the Jose A.
                 Flores Apartments and Tomas Flores Apartments.

  XV.  ADJOURNMENT

THIS NOTICE WAS POSTED AT THE MUNICIPAL GOVERNMENT OFFICES, 1110 HOUSTON STREET,
LAREDO, TEXAS, AT A PLACE CONVENIENT AND READILY ACCESSIBLE TO THE PUBLIC AT ALL
TIMES. SAID NOTICE WAS POSTED ON FRIDAY, OCTOBER 17, 1997 AT 5:30 P.M.

                                  ________________________
                                   GUSTAVO GUEVARA, JR.
                                   CITY SECRETARY

           A-97-R-36(S)                                 OCTOBER 20, 1997

                              SUPPLEMENTAL AGENDA

  IX.  CITY MANAGER'S REPORT

       A.  Consideration and action to develop a program to address the drop-off and
           traffic congestion problem at L.I.S.D. Schools.

THIS NOTICE WAS POSTED AT THE MUNICIPAL GOVERNMENT OFFICES, 1110 HOUSTON STREET,
LAREDO, TEXAS, AT A PLACE CONVENIENT AND READILY ACCESSIBLE TO THE PUBLIC AT ALL
TIMES.  SAID NOTICE WAS POSTED ON FRIDAY, OCTOBER 17, 1997 AT 5:30 P.M.


                                   ________________________
                                   GUSTAVO GUEVARA, JR.
                                   CITY SECRETARY