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

                                    MINUTES

       M97-R-06                                  FEBRUARY 18, 1997

   I.  CALL TO ORDER

       With a quorum present Mayor Saul N. Ramirez, Jr. called the meeting to
       order.

  II.  PLEDGE OF ALLEGIANCE

       Mayor Saul N. Ramirez, Jr. led in the Pledge of Allegiance.

 III.  ROLL CALL
       IN ATTENDANCE:
       SAUL N. RAMIREZ, JR., MAYOR
       JOSE R. PEREZ,        COUNCILMEMBER, DISTRICT I
       LOUIS H. BRUNI,              "     , DISTRICT II
       ALFONSO I. "PONCHO" CASSO,   "     , DISTRICT III
       CECILIA MAY MORENO,          "     , DISTRICT IV
       ELISEO VALDEZ, JR.,          "     , DISTRICT V
       JOE A. GUERRA,               "     , DISTRICT VI
       MARIO GEORGE ALVARADO,       "     , DISTRICT VII
       CONSUELO "CHELO" MONTALVO,   "     , DISTRICT VIII
       FLORENCIO PENA, III,  CITY MANAGER
       JERRY BRUCE CAIN,     ASST. CITY MANAGER

       ABSENCES:

       GUSTAVO GUEVARA, JR., CITY SECRETARY

  IV.  APPROVAL OF MINUTES

       2.  City Council Meeting of January 27, 1997
           City Council Meeting of February 3, 1997

           Motion to approve.

           Moved :  Cm. Perez
           Second:  Cm. Valdez
           For:  8                      Against:  0         Abstain: 0

   V.  INTRODUCTORY ORDINANCES

       3. Ordinance authorizing the City Manager to execute a lease with the
          State of Texas General Services Commission on behalf of University of
          Texas Health Science Center at San Antonio for 317 square feet of
          office space at the City of Laredo Health Complex located at 2600
          Cedar St.
          1) Lease term will be from December 1, 1996, through August 31, 1997,
          2) Monthly rental cost of $335.88 which includes the cost of
             utilities and janitorial services.

          Ordinance Introduction:  City Council

       4. Authorizing the granting of an access and utility easement over, upon
          and across a 0.25 acre tract of land located in Porcion 24, Laredo,
          Webb County, Texas as conveyed to the City of Laredo in Volume 427,
          page 390, Webb County deed records to LAR-TEX Telephone Company,
          Inc., for a term of 15 years, for the purposes of providing telephone
          service and electrical power to their leased premises at the City of
          Laredo Water Tower Site on Mines Road; and authorizing the City
          Manager to execute said easement effectuating same, 0.25 acre tract
          is more particularly described by metes and bounds.

          Ordinance Introduction:  City Council

      5.  Approving license, NOAA License Number 97-ABF-201 for real property
          at the Laredo International Airport between the City of Laredo, as
          Grantor and the United States of America, acting thru the U.S.
          Department of Commerce, National Oceanic and Atmospheric
          Administration, as Grantee.  The proposed license is for the
          installation, operation, maintenance, repair, replacement and removal
          of an Automated Surface Observing System (ASOS) equipment at the
          airport at the sole cost and expense of the government.  The license
          is effective beginning February 28, 1997 for a period of 15 years
          unless terminated earlier by mutual agreement.  Authorizing the City
          Manager to execute said license with the government.

          Ordinance Introduction:  City Council

  VI.  FINAL READINGS

       Motion to waive the final reading of ordinances #97-O-043, #97-O-044,
       and #97-O-045.

       Moved :  Cm. Perez
       Second:  Cm. Valdez
       For:  8                          Against:  0         Abstain:  0

       6. 97-O-043  Ordinance authorizing the Interim City Manager to execute a
                    lease with Texas Migrant Council (CCMS) for approximately
                    883 square feet of office space constituting Suite No. 5 of
                    Building #134 located at 4603 Maher Avenue.
                    1) Lease term is for ten (10) months commencing February 1,
                       1997 and ending November 30, 1997 and may be extended
                       for two (2) terms of one (1) year each ending November
                       30, 1998 and November 30, 1999.
                    2) Monthly rent shall be $679.91 and will be adjusted
                       annually during the primary and extension terms of this
                       lease according to changes in the Consumer Price Index.
                       (City Council)

                    Motion to approve Ordinance #97-O-043.

                    Moved :  Cm. Perez
                    Second:  Cm. Alvarado
                    For:  8             Against:  0         Abstain:  0

       7. 97-O-044  Ordinance authorizing the City Manager to execute two
                    leases with Southwestern Bell Mobile Systems for an antenna
                    installation lease at the water tanks located on McPherson
                    Avenue and at the Laredo International Airport.
                    1) Terms of the leases are for fifteen (15) years
                       commencing on February XX, 1997 and ending February XX,
                       2012.
                    2) Annual rent shall be $7,200.00 payable in advance, and
                       will be adjusted annually during the term of the lease
                       according to changes in the consumer price index,
                       providing for effective date. (City Council)

                    Motion to approve #97-O-044.

                    Moved :  Cm. Perez
                    Second:  Cm. Alvarado
                    For:  8             Against:  0         Abstain:  0

       8. 97-O-045  Ordinance amending the City of Laredo's 1996-1997 annual
                    budget by increasing estimated revenues and appropriations
                    in the General Fund by $4,004.00 and authorizing the
                    Interim City Manager to implement said budget, providing
                    for publication and effective date.  (City Council)

                    Motion to approve Ordinance #97-O-045.

                    Moved :  Cm. Perez
                    Second:  Cm. Alvarado
                    For:  8             Against:  0         Abstain:  0

 VII.  RESOLUTIONS

       9. 97-R-017  Authorizing the Interim City Manager of the City of Laredo
                    to accept an grant from the Texas Council for the
                    Humanities in the amount of $5,000.00 and authorizing the
                    Interim City Manager to execute the necessary documents.

                    Motion to approve Resolution #97-O-017.

                    Moved :  Cm. Perez
                    Second:  Cm. Alvarado
                    For:  8             Against:  0         Abstain:  0

      10. 97-R-018  Accepting a grant from the Texas Department of Health in
                    the amount of $125,730.00 for the Immunization Action Plan
                    Project of the City of Laredo Health Department for the
                    period beginning January 1, 1997, through December 31,
                    1997; and authorizing the Interim City Manager to execute
                    the contract.

                    Motion to approve Resolution #97-R-018.

                    Moved :  Cw. Montalvo
                    Second:  Cm. Alvarado
                    For:  8             Against:  0         Abstain:  0

      11. 97-R-019  Endorsing the City's partnership with Laredo Community
                    College in developing and submitting an EPA Environment
                    Education Grant application; pledging matching funds not to
                    exceed $10,000.00 to be used for the construction of models
                    of the Water and Wastewater Treatment Plants. Authorizing
                    the City Manager to execute a memorandum of understanding
                    with Laredo Community College with regard to said matching
                    funds for the proposed project.

                    Motion to approve Resolution #97-R-019.

                    Moved :  Cw. Montalvo
                    Second:  Cm. Alvarado
                    For:  8             Against:  0         Abstain:  0

      12. 97-R-020  Accepting a grant from the Texas Natural Resource
                    Conservation Commission through the South Texas Development
                    Council in the amount of $59,795.00, with the City
                    designating $21,823.00, in matching funds and/or in-kind
                    services for a total of $81,623.00, to develop and
                    implement one Household Hazardous Waste Collection and
                    Proper Disposal Program Event. The event is scheduled for
                    April 19, 1997, and authorizing the Interim City Manager to
                    execute all documents related thereto.

                    Motion to approve Resolution #97-R-020.

                    Moved :  Cm. Guerra
                    Second:  Cm. Alvarado
                    For:  8             Against:  0         Abstain:  0

      13. 97-R-021  Declaring the public necessity to acquire through
                    donations, six parcels of land as permanent drainage
                    easements for the Willow Chacon Drainage Improvements
                    Project. Said parcels being situated in Block 1566, Eastern
                    Division, City of Laredo, Webb County, Texas; and more
                    particularly described as follows:
                    Parcel 1 - Being the surface only of a 1,389.00 sq.  ft.
                    tract of land, more or less, being out of and a part of the
                    north 1/3 of Lot No. 3, Block No. 1566, Eastern Division,
                    as per the City of Laredo, Webb County, Texas; and being
                    generally described below and more particularly described
                    by metes and bounds.
                    Parcel 2 - Being the surface only of a 926.00 sq.  ft.
                    tract of land, more or less, being out of and a part of the
                    middle 1/3 of Lot No. 3, Block No.  1566, Eastern Division,
                    as per the City of Laredo original land grant, recorded in
                    Volume 7, Page 15, plat records of Webb County, Texas.
                    Parcel 3 - Being the surface only of a 926.00 sq.  ft.
                    tract of land, more or less, being out of and a part of the
                    south 1/3 of Lot No. 3, Block No. 1566, Eastern Division,
                    as per the City of Laredo original land grant, recorded in
                    Volume 7, Page 15, plat records of Webb County, Texas.
                    Parcel 4 - Being the surface only of a 926.00 sq.  ft.
                    tract of land, more or less, being out of and a part of Lot
                    No.  10, Block No. 1566, Eastern Division, as per the City
                    of Laredo original land grant, recorded in Volume 7, Page
                    15, plat records of Webb County, Texas.
                    Parcel 5 - Being the surface only of a 1,157.50 sq.  ft.
                    tract of land, more or less, being out of and a part of Lot
                    No.  11, Block No. 1566, Eastern Division, as per the City
                    of Laredo original land grant, recorded in Volume 7, Page
                    15, plat records of Webb County, Texas.
                    Parcel 5 - Being the surface only of a 1,157.50 sq.  ft.
                    tract of land, more or less, being out of and a part of Lot
                    No.  11, Block No. 1566, Eastern Division, as per the City
                    of Laredo original land grant, recorded in Volume 7, Page
                    15, plat records of Webb County, Texas.
                    Parcel 6 - Being the surface only of a 1,620.50 sq.  ft.
                    tract of land, more or less, being out of and a part of Lot
                    No.  12, Block 1566, Eastern Division, as per the City of
                    Laredo original land grant, recorded in Volume 7, Page 15,
                    plat records of Webb County, Texas.

                    Motion to approve Resolution #97-R-021.

                    Moved :  Cm. Perez
                    Second:  Cm. Valdez
                    For:  8             Against:  0         Abstain: 0

      14. 97-R-022  Authorizing the City of Laredo to intervene before the
                    Public Utility Commission of Texas in Docket No. 16995,
                    Central Power and Light Company's Integrated Resource Plan
                    filing and request for approval of new power supplies; and
                    authorizing participation with other cities through a
                    steering committee; and authorizing recovery of Cities rate
                    case expenses.

                    Cm. Valdez wanted a clarification on the statement where it
                    says that approval of this proposal may ultimately increase
                    rates.

                    Mr. Bruce Miller Earle, Chairman of the Telecommunications
                    Commission, stated that basically this is an ongoing
                    process on their review of the utilities, finding what rate
                    schedules have been put forward.  What is charged vs. what
                    the consumer is getting.

                    Cm. Guerra said he had a concern with a sentence in this
                    resolution which tells us that approval of CPL's proposal
                    may ultimately increase rates paid by residents of the City
                    of Laredo and wanted Mr.  Earle to explain this.

                    Mr. Earle explained that from time to time the utilities'
                    requests before the Utilities Commission a right to
                    increase their rates from one mechanism to another, but he
                    does not have a clear answer as to what this could entail.
                    He added that they are building good relations with them
                    expressing the concerns that we have and PUC relates to us
                    on what the quality of services are that we receive here,
                    at the border, as compared to other parts.

                    Mayor Ramirez stated he had received correspondence in
                    regards to that and in essence, what they are doing is
                    increasing their plant capacity by expanding their
                    production in the valley and in order for them to be able
                    to do that, they have to notify everybody within the system
                    that they are expanding their plant capacity anywhere
                    within the system and solicit from PUC a request to be able
                    to pay for that improvement, so this might have an impact
                    on our rates.

                    Florencio Pea, City Manager, explained that this would
                    authorize us to join with other cities to challenge and to
                    work with CP&L to determine whether or not the rate
                    adjustments that they might be asking for are something we
                    can live with and the cost we will incur.

                    Motion to approve Resolution #97-O-022.

                    Moved :  Cm. Perez
                    Second:  Cm. Alvarado
                    For:  8             Against:  0         Abstain:  0

VIII.  MOTIONS

      15. Approving an employment contract between the Laredo City Council and
          the City Manager of the City of Laredo.

          Cm. Perez asked that item B(ii) of the contract include that the City
          Manager be entitled to payment of 3 months' severance pay instead of
          the 9 months' severance.

          Mr. Pea stated that this contract follows the previous City
          Manager's contract, the item was added because council wanted him to
          be evaluated at the end of six months.  He added there are four areas
          that are different from the previous City Manager's contract.

          Cm. Casso clarified that what Mr. Pea would rather take is the nine
          month severance pay than to return to his old job.

          Motion to approve employment contact between the Laredo City Council
          and the City Manager of the City of Laredo, as presented.

          1. This agreement shall be subject to all the provisions of the
             Charter of the City of Laredo and to all amendments to it.

          2. This agreement is for an indefinite term.

          3. This agreement may be terminated at any time by the City of Laredo
             pursuant to Section 3.15 of the Charter which provides that the
             City Manager may be removed at the will and pleasure of the City
             Council by the vote of a majority of all Council Members qualified
             and serving.

          4. This agreement may be terminated by Florencio Pea, III upon the
             giving of notice, in writing, to the City Council at least 60 days
             before the effective date of said notice of termination.

          5. The following salary and related benefits shall be provided to Mr.
             Pea.
             A.   (i) His salary shall be $95,000 per annum.  City Council
                      agrees to increase said base salary and/or other benefits
                      in such amounts and to such extent as it may determine
                      that it is desirable to do so on the basis of an annual
                      salary review.
                 (ii) He shall receive a car allowance of $500.00 per month.
                (iii) He shall participate in the same pension plan as is
                      provided to non-civil service employees, namely, the
                      Texas Municipal Retirement System, under the same terms
                      and conditions as are provided to non-civil service
                      employees of the City.
                 (iv) The City shall pay an amount equivalent to 5% of the
                      annual salary specified in (A) (i) above to Mr. Pea's
                      current pension plan with the International City
                      Management Association.
                 (v)  He shall be entitled to the same vacation and sick leave
                      as are currently provided to non-civil service employees
                      of the City, except that on termination of this
                      agreement, the total which may be accumulated shall be as
                      provided in (C) (i) below.  For accrual of vacation and
                      sick leave purposes, credit for service rendered to the
                      City from 1982 to 1989 shall be provided.
                 (vi) He shall be entitled to the same health insurance
                      benefits as are provided to non-civil service employees
                      of the City.
             B.   (i) In the event of termination of this agreement pursuant to
                      either Paragraph 3 or 4 above, he shall be entitled to
                      payment for his combined vacation and sick leave, which
                      he may have accumulated, for up to, but no more than, 90
                      work days.
                 (ii) In the event of termination of this agreement pursuant to
                      Paragraph 3 above, he shall be entitled to payment of 9
                      months' severance pay, unless and except if such
                      termination at the will and pleasure of the Council
                      should be for reason or reasons of malfeasance in office
                      or commission of a felony or an offense involving moral
                      turpitude, then this provision shall not apply.
             C.   (i) Hours of work:  It is recognized that the employee must
                      devote additional time outside normal office hours to
                      business of the City of Laredo.  To that end the employee
                      will be allowed to take compensatory time off as he shall
                      deem appropriate during normal office hours, provided,
                      however, that a record of the time off is kept for the
                      review of the City Council.
                 (ii) Dues and subscriptions:  The employer agrees to budget
                      and to pay the professional dues and subscriptions of the
                      employee necessary for his continued participation in
                      those national, regional, state and local associations
                      and organizations that are necessary and desirable for
                      his continued professional participation, growth and
                      advancement and for the good of the employer subject,
                      however, to the proviso that if there should be municipal
                      budget reductions due to adverse economic conditions at
                      any time, then a pro rata reduction would apply hereto.
               (iii)  Professional Development: The employer hereby agrees to
                      budget and to pay for the registration, travel and
                      subsistence expense of the employee for professional and
                      official travel, meetings, local business luncheons,
                      conferences and other occasions adequate to continue the
                      professional development of the employee and to
                      adequately pursue necessary official and other functions
                      for the employer subject, however, to the proviso that if
                      there should be municipal budget reductions due to
                      adverse economic conditions at any time, then a pro rata
                      reduction would apply hereto.

          6. It is agreed by and between the City Council and Mr. Pea that the
             City Council shall conduct an evaluation of performance and pay 6
             months from the effective date of this agreement, and thereafter,
             such evaluations shall be done not less frequently than once a
             year.

          7. This agreement shall take effect as and from February 15, 1997,
             the date on which Mr. Pea will assume the office of City Manager
             of the City of Laredo.
 
             Moved :  Cm. Casso
             Second:  Cm. Bruni
             For:  8                       Against:  0         Abstain: 0

      16. Approval of bid specifications and authorization to advertise for
          bids for pharmaceutical services and home health nursing care
          provided to the clients of the City of Laredo Health Department's
          HIV/AIDS Ryan White Project and HIV/AIDS Social Services Project.
          Bids will be received on March 11, 1997 with a tentative bid award
          for March 17, 1997.

          Motion to approve bid specifications and authorize to advertise for
          bids for pharmaceutical services and home health nursing care.

          Moved :  Cm. Casso
          Second:  Cm. Bruni
          For:  8                       Against:  0         Abstain:  0

      17. Approval of bid specifications and authorization to advertise for
          bids for the following:
          a) voice and data installation - New Main Library,
          b) furniture - New Main Library,
          c) equipment - New Main Library
          Bids will be received on March 24, 1997 with a tentative bid award
          for April 3, 1997.

          Motion to approve bid specifications and authorize to advertise for
          bids.

          Moved :  Cm. Casso
          Second:  Cm. Bruni
          For:  8                       Against:  0         Abstain:  0

      18. Refund of property taxes in various amount to the following
          individuals or companies:
          a.  Cindy Boudloche in the amount of $620.38 as a result of an over-
              payment,
          b.  Shiloh Heights LTD in the amount $1,071.76, as a result of a
              clerical error,
          c.  Michael and Theresa Powell in the amount of $524.50, as a result
              of a double payment.

          Motion to refund property taxes.

          Moved :  Cm. Casso
          Second:  Cm. Bruni
          For:  8                       Against:  0         Abstain:  0

      19. Award of contract to the Low Bidder, U.S. Rental, Laredo, Texas, in
          the amount of $11,474.92, for the purchase of one trailer mounted,
          diesel trash pump for use by the Utilities Department -Water
          Distribution Division.  This pump is used to clear water and debris
          from repair and construction job sites. The city received a total of
          six bids for this equipment. Funding is available in the Department's
          capital outlay budget.

          Motion to award contract to the low bidder, U.S. Rental.

          Moved :  Cm. Perez
          Second:  Cm. Bruni
          For:  8                       Against:  0         Abstain:  0

      20. Award of contract to the Low Bidder, Laidlaw Environmental Services,
          Inc., San Antonio, Texas in the amount of $47,122.08, for two
          collection events for the collection, processing, packing and
          disposal of Household Hazardous Waste Collection and Proper Disposal
          Program. The City received a total of three bids for this service.
          The proposed dates for the collection events are April 19 and
          November 15, 1997.

          Motion to award contract to Laidlaw Environmental.

          Moved :  Cm. Perez
          Second:  Cm. Bruni
          For:  8                       Against:  0         Abstain:  0

      21. Award of contract to the Low Bidder, Royal Treat Carwash, Laredo,
          Texas, in the estimated amount of $26,000.00, for furnishing car wash
          services for the City's automotive fleet.  Bids were requested on car
          wash service with and without inside vacuum.  The City received a
          total of two bids for this service. The bid pricing is approximately
          38% higher than the previous contract period.  All services are
          secured on an as need basis.

          Motion to award contract to Royal Treat Carwash.

          Moved :  Cm. Perez
          Second:  Cm. Bruni
          For:  8                       Against:  0         Abstain:  0

      22. Award of three year uniform rental contract to the Low Bidder, Cintas
          Corporation, San Antonio, Texas, in the yearly amount of $108,784.00,
          for providing industrial uniform rental and laundry service.
          Industrial uniforms are used by the Public Works, Parks and
          Recreation, Water and Wastewater Utility, Civic Center, Traffic
          Safety, Airport, and Utilities Collection departments.  This contract
          will require the contract vendor to provide eleven sets of uniforms
          and provide weekly laundry service. Staff also requested bids for the
          outright purchase of industrial uniforms, however, staff is
          requesting authorization to reject these bids.  Previously the city
          purchased three to four sets of uniforms for most of these employees
          and provided no laundry service. It has been determined that
          providing these employees with commercial laundry service would be
          more beneficial to our service employees and eliminate any potential
          health hazards. The City received a total of three bids for this
          service.  Funding is available in the respective department's
          budgets.

          Motion to approve.

          Moved :  Cm. Perez
          Second:  Cm. Bruni
          For:  8                       Against:  0         Abstain:  0

      23. Award of contract to the Low Bidder, Promaxima Manufacturing,
          Houston, Texas, in the amount of $18,000.00, for the purchase and
          installation of three universal gym weight systems at the Farias,
          N.E. Hillside, and Tarver Recreation Centers.  The contract vendor
          will install these seven station weight systems within thirty days.
          Funding is available from the Parks and Recreation capital outlay
          account.  Bid pricing is currently being requested on a twelve
          station weight system for the Cigarroa Recreation Center. This center
          has a larger weight room and the appropriate size system will be
          installed at this location. The Laredo Independent School District
          contributed an additional $50,000.00, to increase the size of the
          multi-purpose at the Cigarroa Recreation Center.

          Motion to approve.

          Moved :  Cm. Perez
          Second:  Cm. Guerra
          For:  8                       Against:  0         Abstain:  0

      24. Approval of change order no. 5, an increase of $22,487.50, for the
          balance of quantities actually constructed in place, acceptance of
          the project, and approval of payment in the amount of $153,837.67,
          for the 36 Inch Diameter Water Line Project from the Jefferson Water
          Plant to F.M. 1472 Water Tower at Mines construction contract with
          McLean Construction Company, Inc.  Killeen, Texas.  Also, approval to
          retain $50,000.00, pending final acceptance of the Cathodic Protec-
          tion for the water line.  Current construction contract amount is
          $2,252,420.90.  Funding is available in the Waterworks System Fund.

          Motion to table for the next regular meeting.

          Moved :  Cm. Perez
          Second:  Cm. Alvarado
          For:  8                       Against:  0         Abstain:  0

      25. Approval of change order no. 1, a decrease of $1,900.00, for the
          balance of quantities actually constructed in place, and acceptance
          of the Roof Repairs at the El Mercado Buildings Project and approval
          of final payment in the amount of $20,100.00, to American Contracting
          Corporation, Laredo, Texas. Final construction contract amount is
          $20,100.00.  Funding is available in Mercado Fund.

          Motion to approve.

          Moved :  Cm. Perez
          Second:  Cm. Guerra
          For:  8                       Against:  0         Abstain:  0

      26. Approval of change order no. 2, a net decrease of $98.05 (includes an
          increase of $234,067.85, and a decrease of $234,165.90) for balance
          of quantities thus far installed in the project and to add 49 working
          days to the contract time to the construction contract with H.B.
          Zachry Company, San Antonio, Texas for the Laredo International
          Airport Passenger Terminal & Related Airside/Landside Improvements
          Phase B.  Current construction amount is $11,107,731.31.  Funding is
          available in Airport Construction Fund.

          Motion to approve.

          Moved :  Cm. Perez
          Second:  Cm. Guerra
          For:  8                       Against:  0         Abstain:  0

      27. Approval of the release of $72,600.00, approximately 60% of the
          retainage of the construction contract of the West Laredo Overpass
          with Concho Construction Company, Garland, Texas, and acceptance of
          the bridge and approach portions of the project as outlined in
          Paragraph C.7.12 of the project contract documents.  Current
          construction contract amount is $2,517,931.70, and current remaining
          retainage is $48,402.68.

          Motion to approve.

          Moved :  Cm. Perez
          Second:  Cm. Alvarado
          For:  8                       Against:  0         Abstain:  0

      28. Approval of change order no. 2, an increase of $8,366.61, for
          additional work and to add 30 calendar days to the construction
          contract with Concho Construction Company, Inc., Garland, Texas, for
          the West Laredo Overpass. Current construction contract amount is
          $2,526,298.31. Funding is available in the West Laredo Overpass -
          Improvements Other Than Building.

          Motion to approve.

          Moved :  Cm. Perez
          Second:  Cm. Alvarado
          For:  8                       Against:  0         Abstain:  0

      29. Approval of amendment no. 2, an increase of $15,840.00 for
          an additional 36 working days of inspection services to the Resident
          Project Representative contract with Hickey & Associates, Inc.,
          Laredo, Texas, for the New Laredo Airport Passenger Terminal in
          compliance with Federal Aviation Administration (FAA) Requirements.
          The additional days are being increased to coincide with the general
          contractor's schedule which also has approved contract extensions.
          New contract amount is $247,624.80.  Funding is available in
          Inspection Fees.

          Motion to approve.

          Moved :  Cm. Perez
          Second:  Cm. Alvarado
          For:  8                       Against:  0         Abstain: 0

      30. Authorizing the Interim City Manager to submit a grant to the Texas
          State Library for MURL (Major Urban Resource Library) SFY 1998 in the
          amount of $22,046.00 for audio visual materials and the execution of
          any and all documents resulting from such submission.

          Motion to approve.

          Moved :  Cm. Perez
          Second:  Cm. Alvarado
          For:  8                       Against:  0         Abstain:  0

      31. Authorizing the Interim City Manager to submit a grant application to
          the Office of National Drug Control Policy in the amount of
          $48,540.00 for first year funding of the Multi-Agency Major
          Organization Investigation Task Force for the period of October 1,
          1996 through September 30, 1997. This grant will pay the overtime,
          travel, equipment and supplies for two Laredo Police Officers.

          Motion to approve.

          Moved :  Cm. Perez
          Second:  Cm. Alvarado
          For:  8                       Against:  0         Abstain:  0

      32. Authorizing the Interim City Manager to enter into and execute an
          interlocal government agreement between the City of Laredo and the
          County of Webb to provide funding for the Meals on Wheels Program at
          a cost of $18,750.00 and the Elderly Nutrition Program at a cost of
          $25,000.00; contract term for 12 months commencing retroactively on
          October 1, 1996; providing for severability and effective date.

          Motion to approve.

          Moved :  Cm. Perez
          Second:  Cm. Alvarado
          For:  8                       Against:  0         Abstain:  0

  IX.  CITY COUNCIL DISCUSSION AND PRESENTATION

      33. Discussion and possible action regarding possible partial settlement
          agreement in Cause No. C-95-00259-02 styled Jacaman Investment Group,
          LTD., John S. Jacaman Cattle Company, LTD., John Jacaman and Laura
          Jacaman Sanchez v. City of Laredo, with possible Executive Session
          pursuant to Section 551.074 (A) (B) of the Texas Government Code.

          Ray Rodriguez, Asst. City Attorney, was requesting that this item be
          tabled.

          Motion to table for the next Regular Council Meeting.

          Moved :  Cm. Perez
          Second:  Cm. Valdez
          For:  8                       Against:  0         Abstain:  0

   X.  COMMUNICATIONS

          None.

  XI.  CITY COUNCIL DISCUSSION AND PRESENTATION

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

    A.  Requests by Mayor Saul N. Ramirez, Jr.

       1.  Recognizing U.S. Marine Sgt. Cruz Vargas for his valiant and
           unselfish efforts in stopping and rendering aid to four accident
           victims on U.S.  Highway 359.

           Mr. Bill Swisher read a letter of appreciation from the U.S.  Dept.
           of Immigration and Naturalization Border Patrol to Sgt. Cruz Vargas
           who provided first aid to four victims of a traffic accident.  He
           added that there were four marines instead of one who were present
           and who stood out and beyond the call of duty and was requesting
           that three additional certificates of "Outstanding Citizens Awards"
           be prepared for these three Marines that were involved in this
           rescue, Sgt. Cruz M. Vargas, Corporal Luis D. Sencion, Lance
           Corporal Eduardo Jimenez, and Lance Corporal Jose A. Garcia.

           At this time recognition and presentation of "An Outstanding Citizen
           Award" was presented by Mayor Ramirez on behalf of the City of
           Laredo.

       2.  Discussion and possible action concerning approval of the terms set
           forth in the February 13, 1997, letter from Webb County Judge
           Mercurio Martinez, Jr., concerning providing fire, Hazmat and EMS
           protection to the unincorporated areas of Webb County.

           David Cortez, Webb County Commissioner, was before council and asked
           that they consider the letter sent by Webb County proposing an
           amended contract for fire, hazardous material response and emergency
           medical services as proposed and setforth.  He added they are very
           concerned and that the stability in the county is very important.

           Florencio Pea, City Manager, stated that at the present time they
           are on target to establish the industrial districts effective March
           16th.  They sent out over 100 notices to property owners that
           effective March 16th they must come in with a contract or we would
           cease services.  The process would take a substantial amount of
           administrative work and they feel that this proposal is something
           they can look at.

           On item "A" they are asking for a six year proposal and that he
           feels that a three year would be something they could work with.

           Item "B" has two elements to it, one is to repeal the industrial
           district ordinance and there is no need to repeal because it would
           be of no force and effect and they do not think it is necessary.

           Mayor Ramirez stated he received calls from property owners out
           there that they just want to have some certainty from one day to the
           next, that they will not have to be scrambling around to negotiate
           something with the city, and if we can advise them that until they
           hear from the city officially, that everything is null and void
           subject to our continued contract with the county and subject to
           them cancelling or expiring.

           Cm. Casso pointed out that the original contract was for
           $400,000.00, they established the industrial districts, now the
           county is coming back with $500,000.00 which is what the city
           originally wanted, however there are some stipulations on items A-D
           that he thinks they should send it back to the Metro Committee to
           discuss, further negotiate and then bring back to council at our
           next council meeting because there are several things that he is not
           in agreement with.

           Mayor Ramirez stated that the proposal from the county is to still
           provide fire service to the county, they will not discontinue
           service as of March 16th.  If they do not come to terms, discussion
           needs to take place on how they are going to handle the mechanics of
           advising property owners that they are no longer responsible to
           contract with the city as a result of this agreement.   Also, the
           lessor terms and conditions that the committee would like to look
           at, which are not of concern, but need to be reviewed.  He asked
           that a committee meeting be posted to discuss this issues, that the
           county be advised of this meeting, and that this item be brought
           back on March 3rd.

           Several issues need to be discussed with the committee such as the
           six year term, the industrial districts, notifications, prepare the
           contract or documentation that needs to be executed with terms and
           stipulations.

           Cm. Bruni stated they will set up a meeting with the county at their
           earliest convenience, discuss this issue and bring back a
           recommendation.

           Motion to table the item, send back to the Metro Committee for
           further negotiations, and bring back on March 3rd meeting for
           definite action.

           Moved :  Cm. Casso
           Second:  Cm. Bruni
           For:  8                      Against:  0         Abstain: 0

       3.  Presentation by Reverend Jan Garza of the Calvary Center, Inc.,
           concerning their request for funding assistance from the City with
           possible action.

           Motion to table this item for March 3rd.

           Moved :  Cm. Perez
           Second:  Cm. Guerra
           For:  8                      Against:  0         Abstain:  0

    B.  Requests by Councilmember Louis H. Bruni

       1.  Discussion and possible action requiring developers to obtain a
           special use permit for all future retention ponds and status report
           on the ordinance requiring the concrete lining of all future
           retention ponds.

           Cm. Bruni stated for the record that the ordinance that he wanted
           staff to prepare is not to concrete line all of the retention ponds,
           he just wants the part of the retention pond, the dam part that has
           the pressure points from the water it is holding back.  He wants
           some input from the Engineering staff on where it would have to be
           concreted because it does not make sense to put concrete lining on
           the bed, just where the pressure is.  He added that District II is
           expanding to the east and has a lot of creeks in that area and would
           like to have some kind of control on future retention ponds that are
           built in District II.  The way the ordinance is written right now,
           council does not even know when they are put in, or contemplated on
           being put in.  He would like to see that these retention ponds go
           through Planning and Zoning to require a special use permit, that
           way he would be informed of what is going on at District II.
           Mayor Ramirez stated that the permits have to be city wide, when
           they establish them, but because there are a great number of creeks
           in his districts and most permits would be requested from his
           district he said it is a valid request.  He added that they are also
           working on the Flood Plain re-designation from FEMA, they have
           addressed the down river improvements, but they will be addressing
           the ones up creek.  He said that Cm. Bruni's request is a valid
           request and one that council should support and endorse by way of a
           motion.

           Mr. Del Trautman stated this is a big issue and expressed concern
           over the construction of retention ponds.  He added that this has to
           be addressed as an overall problem, not only as a district problem.

           Florencio Pea, City Manager, clarified if the motion is to
           immediately develop specifications for concrete lining retention
           ponds, and incorporate it into our zoning process, plus the use of
           land for retention ponds.  He stated this requires research because
           it is not the traditional zoning kind of an issue and needs a legal
           opinion.

           Motion to have control over future retention ponds built in District
           II, that they develop specifications for concrete lining retention
           ponds only on pressure points and that special use permits be
           required in order that council is aware of these retention ponds
           being built.

           Moved :  Cm. Bruni
           Second:  Cm. Casso
           For:  8                      Against:  0         Abstain:  0

       2.  Status report on several fires that occurred on the Union Pacific
           Railroad right-of-way on IH 35 at the 12 mile marker with possible
           action.

           Chief Mike Garza, Fire Department, stated that they are talking
           about two specific days, the first fire occurred on January 16th.
           In this incidence they had a fire at approximately the 12-mile
           marker and this fire was bounded on the west side by the railroad
           tracks.  They had one unit, for a few hours extinguishing this fire,
           the origin of the fire was not determined.  On January 31st they had
           a series of fires that occurred alongside the railroad tracks and
           the first one occurred around the intersection of Mines Road and the
           railroad tracks, a second call came in of another fire at
           approximately the 8-mile marker, and again along side the railroad
           tracks and the third fire occurring approximately at the 11-mile
           marker.  In all the fires they had four units and one tanker
           extinguishing these fires.  The cause of these fires is also
           undetermined.

           He explained that every once in a while they get reports of the
           train, that as it passes by it sometimes has trouble with the wheels
           whereby they get locked and whereby the resulting sparks set off
           fires in the surrounding vegetation.  Also they had a report from
           one of the captains who reported that it seemed that individuals
           possibly illegal immigrants aboard the train had been setting or
           throwing off some devices possibly as the train is moving northward
           causing these fires.

           Cm. Bruni stated that one of the fires that he witnessed was on the
           12-mile marker near the fuel farms and since the city has an
           interlocal agreement to provide fire services to the county and
           certain industrial parks.  He was wondering if it had continued to
           spread and the fire department had not reacted so promptly, are
           there any fire breaks that would have cause this fire to remain on
           the Union Pacific Railroad vs. continuing its prevailing wind
           pattern up to the southeast and would have gone into this particular
           area.

           Mr. Garza stated that in some locations there are natural fire
           breaks, they did look at some areas around 12-13 mile marker and
           there are no breaks on a particular area towards the east where
           vegetation was high and in a type of location where it can be taken
           care of.  Some places have no breaks at all depending on the amount
           of vegetation.

           Mayor Ramirez asked that Chief Garza contact the Union Pacific
           Safety Office and check with them to see what they have for fire
           breaks or other options such as berms whereby they can help the Fire
           Department by stopping the fire from crossing over to where they are
           able to respond to a fire after it is called in.  Also, what kind of
           method can be used to have them report fires as quickly as possible
           so we can respond on a timely manner.

    C.  Requests by Councilmember Alfonso "Poncho" Casso

       1.  Discussion and possible action regarding the County of Webb removing
           the George Washington Statue from City Hall and the City of Laredo
           giving a commission to an artist to design a bronze statue of an
           Eagle commemorating all the Veterans of Laredo to be placed at the
           entrance of City Hall.
           (Co-sponsored by Councilmember Louis H.  Bruni)

           Cm. Casso wants to know when they are going to remove the statue and
           wants council to consider supporting two ideas (1) the artist
           rendition of an eagle which he presented in drawing and which he
           would outside of City Hall where the George Washington statue is now
           and (2) another statue facing the county honoring Santos Benavides
           since he has never been honored and was a reformer.

           Mayor Ramirez stated that they should go out and get public
           discussions and stick to our policy of wanting to get monies from
           the private sector.  He suggested that we go out and see if there is
           private interest first to finance it and make it known that we are
           interested in putting up a statue.

           Cm. Casso stated that it is a good idea to get the private sector
           involved and maybe there could be some monies from the hotel-motel
           to help.

           Cm. Perez wants to pursue the Mayor's suggestion about the other
           statues in the airport terminal in conjunction with this project.

           Mayor Ramirez stated they will look for private sector support
           first.

           Hector Farias of the Battle of Laredo Committee explained that they
           will stage a re-enactment of Civil War where Santos Benavides and
           the regimen defeated the Union Army in 1864.  He extended an
           invitation to council to this re-enactment.

           Margarita Ariaza representing the Webb County Heritage Foundation
           spoke of biographical information on Santos Benavides and asked the
           council support the proposition of putting a Santos Benavides statue
           in front City Hall.

           Mr. William Swisher stated he is working with the Re-enactment
           Committee and asked support on their proposition.

           Motion to replace the George Washington Statue as soon as possible,
           with an eagle statue to honor Laredo War Veterans and put a statue
           of Santos Benavides on the north side facing Webb County because he
           was a political reformist.  That the airport terminal statues be
           pursued in conjunction with this project looking to see if there is
           private sector support for financing of these projects or other
           financing options, first.

           Moved :  Cm. Bruni
           Second:  Cm. Casso
           For:  8                     Against:  0         Abstain:  0

       2.  Discussion and possible action to rescind ordinance #95-O-170 which
           concerns encroachment agreements.

           Cm. Casso stated he has a situation in his district where two
           families are fighting over an encroachment agreement, this has been
           going on for months and he does not know what to do about it.  He
           added it seems they were pointing the fingers at the previous City
           Attorney and wants to get to the bottom of this situation.

           Marina Sukup, Planning Director, explained that she is familiar with
           the case.  In this particular case, they researched it and there
           were pieces of buildings that were in a right-of-way or an easement.
           The history is that one of the parties had made an application for
           an abandonment of an alley way subsequently, the attorney for the
           other party which is the estate, applied to Mr. Sosa the previous
           City Attorney for an encroachment agreement which Mr. Sosa
           apparently drew up and had signed, pursuant to an authorization by
           the council.  They used to bring two or three of these encroachments
           before council and council got tired of seeing these encroachment
           agreements on the agenda.  They have never done it with an alley, in
           this particular case there were improvements on an alley and the
           improvements were and are still under discussion by the parties.

           Cm. Casso wanted feedback from the Legal Staff.

           Ray Rodriguez, Assistant City Attorney, stated they did receive a
           call from the attorney today that the parties are settling the
           matter, but in essence the legal staff would recommend is we come
           back with another ordinance and tighten it up and have council bless
           each one.  Basically it's a system of checks and balances where they
           need a term, and it is terminable at the will of the city, he added
           what they drew up did not have those provisions.

           Motion to rescind ordinance #95-O-170 which concerns encroachment
           agreements and come back with another ordinance.

           Moved :  Cm. Casso
           Second:  Cm. Bruni
           For:  8                      Against:  0         Abstain:  0

       3.  Status report on the VAQ 94 commercial billboard located at the
           intersection of North Merida Drive and Loop 20, with possible
           action.

           Motion to table indefinitely.

           Moved :  Cm. Casso
           Second:  Cm. Bruni
           For:  8                      Against:  0         Abstain:  0

    D.  Requests by Councilmember Joe A. Guerra

       1.  Presentation by former Mayor Aldo Tatangelo concerning property
           taxes and the way they are used to fund school districts.

           Mr. Aldo Tatangelo was before council to talk about property taxes
           being replaced by sales tax, but his request was not written as he
           had requested.  He said that the city of Laredo has enjoyed the
           sales tax and it has been in effect 20 years.  The sales tax when it
           started was 1% and the ad valorem tax was 32 cents when it started,
           now it is 55.7 and the valuation of properties has gone up four or
           five times more meaning that people who own property are not assured
           of what the intent of the homestead act is.  He added that taxes are
           a big burden.  The sales tax has grown every year, we collect more
           from sales tax than we collect from the ad valorem tax.  Some
           residents have their houses paid for, but their taxes are not paid
           they owe three or more years and their children will inherit that
           debt, and that is not the intent.  He thinks it would be prudent for
           the city to take this seriously.  He will be talking about this when
           the governor comes to voice his concern.  He asked that public
           hearings be done on this issue and believes that the time has come
           that sales tax should replace ad valorem tax.

           Mayor Ramirez stated that it is a good idea for the elderly, they
           have tried to increase the exemption which is not enough.  They do
           need to provide to redesign the formulas for ad valorem taxes or
           perhaps look at other ways of taxation besides ad valorem.  There
           will be four neighborhood meetings at the recreation centers and at
           that time they will be discussing the parks master plan and they
           should include discussions about taxes to see how citizens feel and
           get citizen input.

    E.  Requests by Councilmember Mario G. Alvarado

       1.  Recognition presentation for Habitat for Humanities Volunteers.

           Motion to table for March 3rd.

           Moved :  Cm. Alvarado
           Second:  Cm. Bruni
           For:  8                      Against:  0         Abstain:  0

       2.  Presentation to Guerra Communications for their community
           involvement with the "Toys for Tejanitos Project."

           Motion to table for March 3rd.

           Moved :  Cm. Alvarado
           Second:  Cm. Bruni
           For:  8                      Against:  0         Abstain:  0

       3.  Discussion and possible action on an update regarding traffic count
           study for a traffic signal at Mines Road and Ranch Viejo area.

           Luis Landin, Traffic Director, submitted copies of the completed
           traffic signal warrant studies as requested by Cm.  Alvarado and
           elaborated on it.  He said that on Rancho Viejo the count indicates
           that a traffic signal is warranted, however at this time no funds
           are available to install a traffic signal and this signal has to be
           approved by TxDot because it is on FM 1472.  They plan to request
           monies on the new budget to install a traffic signal at Rancho
           Viejo.  The report indicates that the signal is merited, the cost is
           approximately $45,000.00 and he intends to request funds on the next
           budget for this signal.

           Mayor Ramirez stated with the process on line, it would be about 90-
           120 days to get these signals.

           Cm. Alvarado was concerned that this area does not qualify for CDBG
           monies, it is a capital improvement project, we do have $288,000 on
           the back burner, and added that we also need to realize the amount
           of traffic and truck traffic.

           Cm. Perez asked that Mr. Pea take into consideration all the
           previous requests for traffic counts that council has made.

           Mr. Landin stated they will comply with instructions or directives,
           come back to council to present them whether they are merited or
           not.

           Mr. Pea stated that as soon as they complete the traffic service
           areas they will be providing the actual figures, where there is a
           greater need in terms of volume, they can put a report together and
           the cost estimates.

       4.  Request for a study and recommendation by the Traffic and
           Transportation Committee regarding the extension of the Anna Truck
           Route to Flecha Lane.

           Cm. Alvarado wants this item to be placed on the next agenda, that
           it be sent to the appropriate committee so that they can start
           dialogue and start working out some efforts.  He added that this
           item needs to be placed on a fast track because we are looking at
           the Fourth Bridge and traffic from Colombia and we need to work this
           out to get relief on the traffic congestion that exists in that
           area.

           Motion to request for a study and recommendation by the Traffic and
           Transportation Committee regarding the extension of the Anna Truck
           Route to Flecha Lane, plus cost estimates.

           Moved :  Cm. Alvarado
           Second:  Cm. Guerra
           For:  8                      Against:  0         Abstain:  0

 XII.  PUBLIC HEARINGS

      35. Public hearing approving an amendment to the contract with the Texas
          Department of Health and budget in the amount of $125,730.00, for the
          Immunization Action Plan Project of the City of Laredo Health
          Department for the period beginning January 1, 1997, through December
          31, 1997; and increasing revenue line item 226-0000-323-4056 from $0
          to $125,730.00, and expenditure line item 226-6058 from $0 to
          $125,730.00.

                          INTRODUCTION OF AN ORDINANCE
          Ordinance approving an amendment to the contract with the Texas
          Department of Health and budget in the amount of $125,730.00 for the
          Immunization Action Plan Project of the City of Laredo Health
          Department for the period beginning January 1, 1997, through December
          31, 1997; and increasing revenue line item 226-0000-323-4056 from $0
          to $125,730.00, and expenditure line item 226-6058 from $0 to
          $125,730.00.

          Motion to open the public hearing.

          Moved :  Cw. Montalvo
          Second:  Cw. Moreno
          For:  8                       Against:  0         Abstain:  0

          There was no pubic input.

          Motion to close the public hearing and introduce.

          Moved :  Cw. Montalvo
          Second:  Cm. Perez
          For:  8                       Against:  0         Abstain:  0

          Ordinance Introduction:  City Council

      36. Public hearing amending the City of Laredo's 1996-1997 annual budget
          by increasing estimated revenues and appropriations in the General
          Fund by $5,000.00 and authorizing the Interim City Manager to
          implement said budget.

                          INTRODUCTION OF AN ORDINANCE
          Ordinance amending the City of Laredo's 1996-1997 annual budget by
          increasing estimated revenues and appropriations in the general fund
          by $5,000.00 and authorizing the Interim City Manager to implement
          said budget, providing for publication and effective date.

          Motion to open the public hearing.

          Moved :  Cm. Perez
          Second:  Cw. Moreno
          For:  8                       Against:  0         Abstain:  0

          There was no public input.

          Motion to close the public hearing and introduce.

          Moved :  Cm. Perez
          Second:  Cm. Guerra
          For:  8                       Against:  0         Abstain:  0

          Ordinance Introduction:  City Council

      37. Public hearing amending the City of Laredo Annual Budget for 1996-
          1997 for the special revenue fund "Mineral Leases Fund" to account
          for the drilling and special use permits fees.  Drilling Permits line
          item will be increased by $4,000.00 and Special Use Permits by
          $400.00 and the Reserve Appropriation line item by $4,400.00.

                          INTRODUCTION OF AN ORDINANCE
          Ordinance amending the City of Laredo Annual Budget for fiscal year
          1997 for mineral leases fund to account for the drilling and special
          use permits fees.  Increasing drilling permits fees by $4,000.00,
          special use fees by $400.00 and reserve appropriations by $4,400.00.

          Motion to open the public hearing.

          Moved :  Cm. Perez
          Second:  Cm. Guerra
          For:  8                       Against:  0         Abstain:  0

          There was no public input.

          Motion to close the public hearing and introduce.

          Moved :  Cm. Perez
          Second:  Cm. Casso
          For:  8                       Against:  0         Abstain:  0

          Ordinance Introduction:  Cm. Perez

      38. Public hearing concerning an ordinance amending the City of Laredo's
          1996-1997 Annual Budget in the amount of $59,795.00, for a grant
          awarded by the Texas Natural Resource Conservation Commission through
          the South Texas Development Council to develop and implement one
          Household Hazardous waste Collection and Proper Disposal Program
          Event, and authorizing the Interim City Manager to implement said
          budget.

                          INTRODUCTION OF AN ORDINANCE
          Ordinance amending the City of Laredo's 1996-1997 Annual Budget in
          the amount of $59,795.00, for a grant awarded by the Texas Natural
          Resource Conservation Commission through the South Texas Development
          Council to develop and implement one Household Hazardous waste
          Collection and Proper Disposal Program Event, and authorizing the
          Interim City Manager to implement said budget.

          Motion to open the public hearing.

          Moved :  Cm. Perez
          Second:  Cm. Montalvo
          For:  8                       Against:  0         Abstain:  0

          There was no public input.

          Motion to close the public hearing and introduce.

          Moved :  Cm. Perez
          Second:  Cm. Bruni
          For:  8                       Against:  0         Abstain: 0

          Ordinance Introduction:  City Council

XIII.  MOTION TO RECESS AND CONVENE AS THE LAREDO MUNICIPAL HOUSING CORPORATION

       Motion to recess as City Council and convene as The Laredo Municipal
       Housing Corporation.

       Moved :  Cm. Perez
       Second:  Cw. Montalvo
       For:  8                          Against:  0         Abstain:  0

      39. Authorization to reject the sole bid submitted by Aranda Iron Works
          Inc., Laredo, Texas, in the amount of $162,746.73, for the
          installation of security fencing at the Tomas Flores Apartments, and
          approval of new bid specifications for the purchase of the fence
          materials only.  This project has been identified in the 1997 Capital
          Improvement Project Budget.  Approximately 2,265 linear feet will be
          installed around the perimeter of this apartment complex. The bid
          submitted by Aranda Iron Works, Inc., is approximately 80% over the
          allocated budget for this project.  Staff is proposing purchasing the
          materials needed and constructing the fence with temporary or
          contract employees.

          Mayor Ramirez asked if they were going to rebid the item or look for
          alternatives.

          Mr. Pea answered that they will look for alternatives and see if
          they can contract or do it inhouse.

          Motion to reject the sole bid submitted by Aranda Iron Works Inc. and
          approval of new bid specifications for the purchase of the fence
          materials only.

          Moved :  Cm. Perez
          Second:  Cm. Bruni
          For:  8                       Against:  0         Abstain:  0

          Motion to adjourn as The Laredo Municipal Housing Corporation and
          convene as the City Council.

          Moved :  Cm. Perez
          Second:  Cm. Alvarado
          For:  8                      Against:  0         Abstain:  0

 XIV.  ADJOURNMENT

          Motion to adjourn.

          Moved :  Cm. Perez
          Second:  Cm. Bruni
          For:  8                       Against:  0         Abstain:  0

          Adjournment time:  7:30 P.M.

I HEREBY CERTIFY THAT THE ABOVE MINUTES CONTAINED IN PAGES 01 TO 27
ARE TRUE COMPLETE AND CORRECT PROCEEDINGS OF THE REGULAR CITY COUNCIL MEETING
HELD ON THE 18TH DAY OF FEBRUARY, 1997.  A CERTIFIED COPY IS
ON FILE AT THE CITY SECRETARY'S OFFICE.

                                  ________________________
                                   GUSTAVO GUEVARA, JR.
                                   CITY SECRETARY