CITY OF LAREDO
                          CITY COUNCIL MEETING

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

                                MINUTES

       M97-R-20                                      JUNE 16, 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,                "     , DISTRICT V
       JOE A. GUERRA,                "     , DISTRICT VI
       CONSUELO MONTALVO,            "     , DISTRICT VIII
       FLORENCIO PENA, III,   CITY MANAGER
       JAIME L. FLORES,       CITY ATTORNEY

       ABSENCES:

       MARIO ALVARADO, COUNCILMEMBER, DISTRICT VII
       GUSTAVO GUEVARA, JR.,  CITY SECRETARY

       Note:  Cm. Alvarado was excuse from today's absence at a
              previous meeting. (June 2, 1997)

  IV.  APPROVAL OF MINUTES

       2.  City Council Meeting of May 19, 1997
           City Council Meeting of May 27, 1997
           COPS Workshop May 29, 1997
           Motion to approve.

           Moved : Cm. Perez
           Second: Cm. Bruni
           For:  6                     Against:  0         Abstain:  0
           (Cw. Moreno was not present.)

           Motion to waive the rules of order and move items #31,
           37.A(1)(2), #25, XI.B(1), E(4), C(1), #51, and 28.

           Moved : Cm. Perez
           Second: Cm. Bruni
           For:  7                      Against:  0         Abstain:  0
           (Cw. Moreno came in at 5:45 p.m.)

           Motion to waive the rules and move item XI.A(3)(4).

           Moved : Cm. Valdez
           Second: Cm. Guerra
           For:  7                      Against:  0         Abstain:  0

   V.  INTRODUCTORY ORDINANCES

       3.  Authorizing the City Manager to execute all necessary
           documents to effectively convey the "Surface Only" of Lot 2,
           Block 2165-A, Eastern Division, as per replat recorded in
           Volume 16, Page 93, of the Webb County Plat Records, City of
           Laredo, County of Webb, Texas, also known to be located on
           the 2400 block of Diaz Street to Jesus Javier Martinez and
           providing for an effective date.  Said property is being
           sold to the highest bidder as accepted by City Council
           pursuant to public sale of this property on May 28, 1997.

           Ordinance Introduction: City Council

       4.  Authorizing the City Manager to execute all necessary
           documents to effectively convey fee simple title to Cesar J.
           Cabello and Amparo A.  Cabello for the sale of the "Surface
           Only" of a 0.3543 of an acre (15,433.46 square feet) tract
           of land being out of and a part of the former Martin Avenue
           between Laredo and Guadalupe Streets, also known as the 1200
           block of Martin Avenue and providing for effective date.
           Said property being sold to the highest bidder as accepted
           by City Council pursuant to public sale of this property on
           May 28, 1997.

           Ordinance Introduction: City Council

  VI.  FINAL READINGS

       Motion to waive the final reading of ordinance #97-O-108,
       #97-O-127, and #97-O-128.

       Moved : Cm. Perez
       Second: Cm. Bruni
       For:  7                          Against:  0         Abstain:  0

       5. 97-O-108  Ordinance authorizing the adoption of the following
                    rates to be charged by EL METRO for public parking
                    at the Laredo Transit Center, 1300 Farragut Street,
                    Laredo, Texas, and for miscellaneous fees related
                    to contract parking.
                    * The rate for daily parking shall be $.75 per
                      hour, or portion thereof, subject to a daily
                      maximum of $6.00.
                    * The contract parking rate shall be $40.00 per
                      month.  $25.00 shall be charged for the initial
                      month of a contract if it begins on or after the
                      16th day of the month.  Otherwise, no proration
                      of the monthly rate shall apply at either the
                      beginning or end of a contract term.
                    * In addition to the rate for contract parking, the
                      following fees shall apply:
                      a. Refundable key deposit: $10.00
                      b. Replacement charge for damaged key $10.00
                      c. Replacement charge for lost key $25.00
                    This ordinance provides for publication and an
                    August 1, 1997 effective date.
                    (As amended)  (City Council)

                    Motion to approve Ordinance #97-O-108.

                    Moved : Cm. Perez
                    Second: Cw. Moreno
                    For:  7             Against:  0         Abstain:  0

       6. 97-O-127  Ordinance authorizing the City Manager to execute
                    all necessary documents to effectively convey fee
                    simple title to Marcel C. Notzon, II and wife Nora
                    Lee Notzon for the sale at fair market value of
                    "The Surface Only" of certain properties described
                    as being 0.3542 of an acre (15,432 square feet)
                    more or less of a tract of land out of the former
                    South Buena Vista Avenue between Chacota and Tinaja
                    Streets, also known as the 2600 block of South
                    Buena Vista Avenue; and a 0.3542 of an acre (15,432
                    square feet) more or less of a tract of land out of
                    the former Chacota Street between South Buena Vista
                    and Tapeyste Avenues, also known as the 1800 block
                    of Chacota Street, situated in the Eastern
                    Division, City of Laredo, Webb County, Texas,
                    providing for an effective date.  (City Council)

                    Motion to approve Ordinance #97-O-127.

                    Moved : Cm. Perez
                    Second: Cw. Moreno
                    For:  7             Against:  0         Abstain:  0

       7. 97-O-128  Ordinance authorizing the abandonment and vacating
                    of a 17.7 wide alley dedicated for public use in
                    Block 893, Eastern Division, City of Laredo, Webb
                    County, Texas, which traverses the middle of said
                    block from east to west through its entire length,
                    and abuts the north side of Lots 7, 8, 9, 10, 11,
                    and 12, and abuts the south side of Lots 1, 2, 3,
                    4, 5, and 6, and providing for the reversion of the
                    public's interest in said alley to the abutting
                    landowners, and providing for an effective date.
                    (City Council)

                    Motion to approve Ordinance #97-O-128.

                    Moved : Cm. Perez
                    Second: Cw. Moreno
                    For:  7             Against:  0         Abstain:  0

 VII.  RESOLUTIONS

       8. 97-R-061  Resolution authorizing the City Manager to accept a
                    grant from the Governor's Office for funding of
                    personnel and direct operating expenses for a
                    Multi-Agency Narcotics Task Force in the amount of
                    $711,562.00, with the City designating $370,905.00
                    in matching funds for a total of $1,082,467.00 for
                    the period beginning June 1, 1997 and ending May
                    31, 1998 and authorizing the City Manager to sign
                    any and all documents pertaining to this grant
                    application. This will be the 11th year of funding
                    for this grant.

                    Motion to approve Resolution #97-R-O61.

                    Moved : Cm. Perez
                    Second: Cm. Bruni
                    For:  7             Against:  0         Abstain:  0

       9. 97-R-062  Resolution authorizing the City Manager to submit
                    an application to the Federal Aviation
                    Administration to request that the Laredo
                    International Airport continue to participate in
                    the Military Airport Program (MAP) for a subsequent
                    five year period beyond FY 1997.  The Military
                    Airport Program provides grant assistance to
                    participating airports for conversion and capacity
                    related projects.  Laredo International Airport,
                    formerly Laredo Air Force Base is an eligible
                    airport first approved for MAP participation during
                    1993. The City's application requests $96.4 million
                    funding assistance over a five-year period.

                    Motion to approve Resolution #97-R-062.

                    Moved : Cm. Perez
                    Second: Cw. Moreno
                    For:  7             Against:  0         Abstain:  0


      10. 97-R-063  Resolution authorizing the City Manager to submit
                    an application to the Texas Natural Resource
                    Conservation Commission for a grant in the amount
                    of $49,922.07, for continuation of the City of
                    Laredo's used oil collection and recycling program
                    for the period from October 1, 1997 through
                    September 30, 1998.

                    Motion to approve Resolution #97-R-063.

                    Moved : Cm. Perez
                    Second: Cm. Guerra
                    For:  7             Against:  0         Abstain: 0

      11. 97-R-064  Resolution expressing the position of the City
                    Council that the current membership on the Laredo
                    Urban Transportation Study Metropolitan Planning
                    Organization Policy Committee remain as it
                    currently exists.

                    Motion to approve Resolution #97-R-064.

                    Moved : Cm. Perez
                    Second: Cm. Valdez
                    For:  7             Against:  0         Abstain:  0
      12. 97-R-065  Declaring the public necessity to acquire the
                    "Surface Only" of twenty parcels of land for the
                    Lafayette Street widening project. Said parcels
                    being Lot 5, Block 881; Lots 1, 2, 3 and 4, Block
                    882; Lots 7, 8, 9, 10, 11, and 12, Block 908; Lots
                    7, 8, 9, 10, 11, and 12, Block 909; the South 46.29
                    feet of Lots 7 and 8, and all of Lots 9 and 10,
                    Block 910; all situated in the Western Division of
                    the City of Laredo, Webb County, Texas; and
                    authorizing payments to persons who will be
                    displaced as a result of the acquisition of those
                    properties.

                    Motion to approve Resolution #97-R-065.

                    Moved : Cm. Perez
                    Second: Cm. Bruni
                    For:  7             Against:  0         Abstain:  0

VIII.  MOTIONS

      13. Authorizing the City Manager to submit an Advancing Community
          Policing Grant Application to the U.S. Department of Justice/
          Office of Community Oriented Policing Services in the amount
          of $250,000.00, for the period of September 1, 1997 through
          August 31, 1998.

          Mr. Pena stated they are basically asking for one civilian,
          not three officers and the rest is all equipment.
          Motion to approve.

          Moved : Cm. Perez
          Second: Cw. Montalvo
          For:  7                       Against:  0         Abstain:  0

      14. Appointing the members of the City of Laredo/Webb County
          Criminal Justice Committee to serve as the Advisory Board for
          the Local Law Enforcement Block Grant Program.  This
          committee consists of representatives from the Laredo Police
          Department; Laredo Independent School District, United
          Independent School District; the Texas Department of Human
          Services; the District Attorney's Office; Sheriff's
          Department; Community Supervision Corrections Department;
          Juvenile Probation Department; and County Commissioner's
          Court. The board will make nonbinding recommendations for the
          proposed use of funds received under this program and there
          must be at least one public hearing regarding the use of
          these funds.

          Motion to approve.

          Moved : Cm. Perez
          Second: Cw. Montalvo
          For:  7                       Against:  0         Abstain:  0

      15. Approval of bid specifications and authorization to advertise
          for bids for the following:
          a) safety footwear - all departments
          b) janitorial equipment - Airport Department
          A tentative bid award is scheduled for
          July 21, 1997.

          Motion to approve.

          Moved : Cm. Perez
          Second: Cw. Montalvo
          For:  7                       Against:  0         Abstain:  0

      16. Approve the bid specifications for the proposed public sale
          of two approximate 3.0 acres tracts of Airport Fund non-
          aeronautical use land located at the Laredo International
          Airport and authorizing the City Manager to solicit bids from
          the public.  The subject property is bounded by Saunders Hwy
          59 on the south, Bartlett to the east, San Pedro to the north
          and the new Mercy Regional Medical Center Hospital to the
          west.  The appraised value of Tract No. 1 is $1,484,000.00
          and $918,000.00, for Tract No. 2.

          Motion to approve.

          Moved : Cm. Bruni
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

      17. Authorization to advertise for Request for Proposals (RFPs)
          to provide Professional Engineering and/or Surveying Services
          for Cells 9 and 10 of the City of Laredo Type I Landfill
          located on Texas Highway 359 and to include engineering
          design, preparation of plans and specifications with cost
          estimates, construction quality assurance, boundary and
          topographic surveying as required for compliance with the
          Texas Natural Resource Conservation Commission's Subtitle D
          Requirements of 30 TAC 330 Municipal Solid Waste Regulations.

          Motion to approve.
          Moved : Cm. Bruni
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

      18. Authorizing the City Manager to request proposals from
          financial institutions interested in providing permanent
          mortgage financing of up to $40,000.00, per unit to
          qualifying low income homebuyers for the Los Obispos
          Affordable Housing Project, Phase I which consists of the
          construction of 50 single family units.

          Motion to approve.

          Moved : Cm. Bruni
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

      19. Award of contract to the LOW BIDDER, Pumps Unlimited Inc.,
          Co., San Antonio, Texas, in the amount of $22,274.00, for the
          purchase of one submersible sewage pump for the Utilities
          Department.  This replacement pump will be installed at the
          Zacate Creek Wastewater Treatment Plant's bifilter pump
          station.  Delivery is expected within sixteen weeks. Funding
          is available in the Utilities Department - Wastewater
          Treatment Division. A total of 3 bids were received.

          Motion to approve.

          Moved : Cm. Bruni
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

      20. Award of contract to the LOW BIDDER, Chaparral Ford, Inc.,
          Devine, Texas, in the amount of $47,811.00, for the purchase
          of one 1/2 ton extended cab truck ($23,111.74) for the Public
          Works Department and one truck ($24,699.85) for the Risk
          Management Fund.  These vehicles will be equipped with CNG
          bi-fuel fueling systems. Funding is available in the
          department's capital outlay budget. Delivery is anticipated
          within ninety days.  A total of 3 bids were received for the
          1/2 ton Extended Cab Truck and a total of 3 bids were
          received for the truck.

          Motion to approve.

          Moved : Cm. Bruni
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

	   21. Award of contract to the LOW BIDDER, Unisource, Corpus
          Christi, Texas, in the amount of $23,500.00, for the purchase
          of 500,000 plastic bags for use in the City's Recycling
          Program.  The per unit price is the $0.002/bag less than the
          previous contract purchase. A total of five bids were
          received.  Funding is available in the Landfill/Recycling
          Trust Fund budget.

          Motion to approve.

          Moved : Cm. Perez
          Second: Cm. Valdez
          For:  7                       Against:  0         Abstain:  0

      22. Award of contract to the LOW BIDDER MEETING SPECIFICATIONS,
          Industrial International, Inc., Helotes, Texas, in the
          estimated amount of $56,926.00, for the purchase of
          approximately eighty fire hydrants for use by the Utilities
          Department in construction and replacement projects. The bid
          pricing will be fixed for the six month contract period and
          all hydrants will be purchased on an as need basis. The bid
          pricing is approximately 8% higher than the previous contract
          period. Funding is available in the Utilities Department -
          Water Transmission/Distribution Division Account. A total of
          3 bids were received.

          Motion to approve.

          Moved : Cm. Perez
          Second: Cm. Valdez
          For:  7                       Against:  0         Abstain:  0

      23. Award of contract to Micron Electronics Inc., Namp, Idaho, a
          State of Texas Qualified Information System Vendor, in the
          amount of $43,678.00, for the purchase of twenty four
          personal computers for the Police Department's Financial Task
          Force. State grant funding will be used to purchase these
          computers. This purchase is contingent upon authorization
          from the HIDTA Director. Staff is recommending purchasing
          these computers through the State of Texas - Catalogue
          Purchase Program.  Funding is available in the Financial Task
          Force 1996-1997 Grant - Capital Outlay.

          Motion to approve.

          Moved : Cm. Perez
          Second: Cm. Valdez
          For:  7                       Against:  0         Abstain:  0

	   24. Award of a contract to Danny R. Anderson Consultants, Inc.,
          Laredo, Texas, for an amount not to exceed $45,805.00 to
          provide Laboratory, Sampling and Testing Services of
          materials for quality control for the Laredo International
          Airport Passenger Terminal and Related Airside/Landside
          Improvements Phase "C" which includes access road, parking
          lots, concrete drives, brick pavers, sanitary sewer and water
          system, irrigation, landscaping, and site lighting.  Funding
          is available in Inspection Fees Account.

          Motion to approve.

          Moved : Cm. Perez
          Second: Cm. Valdez
          For:  7                       Against:  0         Abstain:  0

      25. Selection of seven (7) Professional Architectural/
          Engineering (A/E) contracts and authorization for the City
          Manager to negotiate professional Architectural/Engineering
          fees to provide surveying, design and preparation of plans
          and specifications for the City of Laredo Capital
          Improvements Projects for the FY 96-97 as follows:
          1. Fire Fighting Facility to Mejia Engineering Company.
             Funding is available in Fire Training Facility Fund
             Engineering Fees Account.
          2. International Bridge No. 1 Pavement Reconstruction at
             Approaches, Phase I to Foster Engineering. Funding is
             available in Bridge Fund Construction Project Import Lot
             Line Item.
          3. Construction of sidewalks along Community Development
             Block Grant (CDBG) Residential Neighborhood to connect to
             local schools to G.G. Salinas Engineering Company.
             Funding is available in Community Development Fund Street
             Improvements Sidewalk Line Item.
          4. Relocation of utilities and/or adjustments in conjunction
             with Texas Department of Transportation's proposed
             widening of U.S. 59 between San Dario and Ejido to Porras
             Engineering. Funding is available in Water Fund 94
             Construction Bond Utility Relocation TxDOT.
          5. 16-Inch water line on Highway 359 for the anticipation of
             the New Fire Training Facility and for water services to
             the colonias to WSBC Civil Engineers. Funding is available
             in Water Fund 97 Construction Bond Line Extension Fire
             Training Facility.
          6. Construction of a facility to house the Department of
             Public Works and other City Departments to Sepulveda &
             Associates, Inc.  Funding is available in the General Fund
             Building Rehabilitation.
          7. Roof repairs at the Center for the Arts Building to Design
             Group International. Funding is available in the General
             Fund Reserve Appropriation Account.

          Motion to approve.

          Moved : Cm. Perez
          Second: Cm. Bruni
          For:  7                       Against:  0         Abstain: 0

          (Note:  Cm. Guerra voted in favor on all items, except in
                  item 2 where he abstained.)

      26. Approval of change order no. 1, an increase of $10,223.50, to
          the construction contract with Brothers Paving, Laredo,
          Texas, for Parking Lot Improvements for Three Neighborhood
          Centers (Cigarroa, Northeast-Hillside and Tarver) for
          additional construction work in conjunction with the
          relocation of the south parking lot of the Tarver
          Recreational Center to the rear (west side) of the
          recreational building in order to provide additional green
          space for recreational use by the City and Laredo Independent
          School District (LISD).  Original contract was for
          $100,451.60. This change order will bring the total to
          $110,675.10. Funding is available in Recreation Centers -
          Improvements Other Than Building Account. Change order no. 1
          is a 50% - 50% cost sharing project with Laredo Independent
          School District.

          Motion to approve.

          Moved : Cm. Perez
          Second: Cw. Montalvo
          For:  7                       Against:  0         Abstain:  0

      27. Approval of change order no. 2, a decrease of $1,782.28, for
          the balance of quantities actually constructed in place and
          to add 6.5 blocks that were originally recommended for
          reconstruction and instead were recycled and resurfaced for
          continuity of construction and to extend their service life
          five (5) to ten (10) years, for a final total of 144.00
          blocks, acceptance of the 1996-1997 Street Recycling Project,
          and approval of final payment in the amount of $39,852.81 to
          Cutler Repaving, Inc., Lawrence, Kansas. Original contract
          was for $257,803.04. This change order will bring the total
          to $267,047.84. Funding is available in Capital Improvements
          Fund.

          Motion to approve.

          Moved : Cm. Perez
          Second: Cm. Montalvo
          For:  7                       Against:  0         Abstain:  0

  IX.  CITY MANAGER'S REPORT

      28. Status report by the City Council appointed Ad Hoc Economic
          Development Committee regarding recommendations on how to
          proceed regarding the development of a strategic economic
          development plan for the city of Laredo, with possible
          action.

          Mr. Jerry Schwebel, representing the committee, briefed
          council and explained that they have gathered and put an
          enormous amount of information to put together a strategic
          plan.  These members have been working with the City Manager
          and Richard Perez.  They discussed the process and decided
          that to accomplish this particular mission, it was important
          to incorporate other key members from throughout the
          community to assist them in the effort.  They invited members
          from the Laredo Business Council and Mr. Pena appointed those
          members to include Dennis Nixon, Gary Jacobs, Ben Evert,
          Larry Norton, Dr. Ramon Dovalina, Dr. Charles Jennett from
          TAMIU, J.J. Maloy, Frank Leach, Robert Calton, Robert
          Sepulveda, Miguel Conchas, in addition Webb County will be
          joining with Mercurio Martinez and Carlos Villarreal.

          The process is inclusive, they have begun the process by
          seeking TAMIU's technology and Economic Development Division,
          and the assistance of CP&L as they develop the plan.  The
          process will consist of putting together focus groups that
          will discuss major issues relevant to our efforts to expand
          jobs, improve quality of life, and plan the economic growth
          of the City, this is the most important task which will
          require input from all sectors of the community.  They have
          the tools and the individuals to present to council by fall a
          set of recommendations that council may consider in the
          adoption of an effective plan for economic development.

          Mayor Ramirez stated that during the budget process we need
          to look at what kind of commitment we are going to have as a
          City Council for Economic Development.  We need to invest
          money now, in the range of $350,000.00 to $500,000.00 for
          this coming year to make Economic Development a reality in
          our city.

          Cm. Alvarado wants a big effort placed to improve our work
          force opportunities.

      29. Presentation regarding the Community Oriented Policing
          Services Program (COPS), with possible action.

          Motion to reschedule a workshop Thursday, July 10, 1997 at
          5:30 at Council Chambers.

      30. Staff report regarding the status of approved and funded
          traffic signals, and a presentation of the priority of
          warranted traffic signals which are not funded.

          Mr. Roberto Murillo, Traffic Engineer, stated they had
          prepared a priority list based on the accidents, school
          proximity, 24-hour traffic volumes on major street, posted
          speed limit on major street and classified those.  The
          accidents being the number one criteria to be utilized.
          The list is as follows:

          Intersection                          Estimated Cost

          1. Canones/U.S. 83                    $55,000.00
          2. Loop 20/New York                   $45,000.00
          3. Loop 20/University Drive           $45,000.00
          4. Gale/Springfield                   $45,000.00
          5. International/Sta. Maria           $45,000.00
          6. Buena Vista/U.S. 59                $45,000.00

          Mayor Ramirez suggested that these be presented during the
          Capital Improvements Plan for the five year program and at
          at that time that council proceed accordingly.

          It was suggested by several Councilmembers the intersections
          mentioned plus other three be included to the list such as
          (Masterson/U.S. 83, Del Mar/Loop 20, McPherson/Loop 20) and
          that a moratorium be declared on these.

          Motion to set a moratorium on the traffic listing study
          presented and to include Del Mar/Loop 20, McPherson/Loop 20
          and Masterson/U.S. 83 on this year's CIP.

          Moved : Cm. Valdez
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

      31. Report providing a status report on the Laredo Northwest
          International Bridge (Bridge IV).

          Note:  This item was taken in conjunction with item #37.A(1)
                 and #37.A(2).

      32. Declaring the "Surface Only" of a 0.44900 of an acre tract of
          land, more or less, as surplus property and authorizing City
          staff to advertise the public sale or exchange of said tract
          of land out of the Freddie Benavides Recreational Complex,
          said tract being situated in the Eastern Division and being
          more particularly described by metes and bounds with possible
          Executive Session for deliberation regarding real property as
          authorized by Section 551.072 of the Texas Government Code.
          Award of bids for sale or for property exchange will be
          presented for City Council consideration at the meeting of
          July 21, 1997.

          Note: There was no need for executive session on this matter.

          Motion to approve.

          Moved : Cm. Perez
          Second: Cm. Bruni
          For:  7                       Against:  0         Abstain: 0

      33. Report requesting approval of the projects proposed to be
          funded by the U.S. Department of Housing and Urban
          Development through the 23rd Action Year Community
          Development Block Grant (CDBG), the 1997 HOME Investment
          Partnerships Program (HOME), and the 1997 Emergency Shelter
          Grant (ESG) for the purpose of identifying them in the 1997
          Consolidated Plan.  The projects are as follows:

          23rd Action Year Community Development Block Grant
          ($4,372,000)
           1. Administration . . . . . . . . . . . $  561,825
           2. House Rehab Admin. . . . . . . . . . $  132,276
           3. Housing Rehab Loan Program . . . . . $  350,000
           4. Code Enforcement . . . . . . . . . . $  254,830
           5. Graffiti Removal Program . . . . . . $   34,100
           6. Lafayette Widening Project Phase I . $1,600,000
           7. Gallagher Street Improvements  . . . $  110,000
           8. Guadalupe Street Improvements. . . . $   50,000
           9. Zacate Creek Beautification  . . . . $  300,000
          10. El Portal Riverfront
              Feasibility Study  . . . . . . . . . $   23,000
          11. School Approaches Sidewalk Program . $  307,296
          12. Paving Project 60 Grants . . . . . . $   27,673
       *  13. Tinaja/Chacon Creek Pilot Channel
              Phase I Engineering  . . . . . . . . $   35,000
          14. Paving Project 60  . . . . . . . . . $  400,000
      **  15. Downtown Sidewalk
              Curb Construction  . . . . . . . . . $  119,000
          16. Paving Project 61 Engineering  . . . $   40,000
          Park Improvements
          17. East Martin Field Improvements . . . $    3,000
          18. Benavides Softball Complex
              Irrigation System  . . . . . . . . . $   10,000
          19. Health Department Toddler Park . . . $    6,000
          20. Los Dos Laredo Park Improvements . . $    4,000
          21. Zacate Creek Park
              Soccer Field Improvements  . . . . . $    4,000

          HOME Investment Partnerships Program 1997 Grant -$1,192,000
           1. Downpayment Assistance . . . . . . . $  700,000
           2. New Construction . . . . . . . . . . $  200,134
           3. Community Housing Development
              Organizations. . . . . . . . . . . . $ 178,800
           4. Administration . . . . . . . . . . . $ 113,066 Estimated
          HOME Program Income - $2,000,300
           1. New Construction . . . .  . . . . .  $1,600,300
           2. Substantial Rehabilitation . . . .  $  100,000
           3. Downpayment Assistance . . . . . .  $  300,000
          Emergency Shelter Grant - $115,000
           1. Homeless Prevention  . . . . . . .  $   34,500
           2. Shelter Rehabilitation . . . . . .  $   79,920
           3. Administration . . . . . . . . . .  $      580
          * It is important to note that Paving Project 60 is estimated
            to cost $912,000.00.  Of the 24 blocks scheduled to be
            paved, 22 are CDBG eligible. In order to award a contract
            in Fiscal year 1997-1998, the project may need to be broken
            down into two phases.  Phase II would be programmed for
            Fiscal Year 1998-1999. A list of streets scheduled for
            paving is attached.
          **Paving Project 61 is estimated to cost $784,000.00, with an
            engineering cost of approximately $78,000.00. Of the 28
            blocks scheduled to be paved, 24 are CDBG eligible.  Staff
            propose that $40,000.00, in CDBG funds and $40,000.00, in
            non-CDBG funds be allocated in Fiscal Year 1997-1998 for
            engineering.  Construction of this project would be
            scheduled for Fiscal Year 1998-1999.

          Erasmo Villarreal of Community Development reported on the
          projects and was asking that council concur with the
          recommendations made so they can proceed to finish the
          document, incorporate it into the document, then allow a
          30-day comment period, a public hearing to be held and then
          come before council on the first meeting of August for actual
          adoption of a plan to submit to HUD.

          Cm. Perez was concerned with the projects outlined, he said
          last year there was a project (the diversion of the channel)
          where staff recommended that this project was no longer
          needed.  He said that when council defers a project there is
          a reason for deferring, we were going to look at all the
          enhancements of the area within the past two years.  There
          was much emphasis on these culverts that would take the water
          from that area, but the fact is that nature is funny, those
          culverts will be stuck with debri.  We know we have crews to
          take care of them, the city cannot really come up and
          maintain those culverts, and every time it rains he will get
          at least a call from the residents fearing the flood areas
          and for us to take away that project is like taking away
          their security.  He was asking that we need the plan and
          offer some kind of relief for these residents.

          Mayor Ramirez stated that in substitution of the project
          mentioned, they have Tinaja/Chacon Creek Pilot Channel.  He
          questioned, why only Phase I Engineering for $35,000.00 when
          we are estimating it is a $350,000.00 project?  Why are we
          not funding it this year to get it done this year to provide
          relief?  He also questioned if staff is sure that on item #6
          we are going to be committed to $1.6 million this fiscal year
          for the widening of Lafayette?  Are we going to expand that
          money next year, the $1.6 million?  He added that the relief
          needs to be provided this year.

          Cm. Perez stated his project was fully funded last year.

          Mayor Ramirez stated that what Mr. Villarreal is saying is
          that the most practical solution is item #13 and that council
          should consider funding it fully.

          Cw. Moreno said she thinks that they should divide the
          widening project into a two year program.

          Motion to divide the widening project into a two year program
          (item #6, the Lafayette Widening Project).

          Moved : Cw. Moreno
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

          Cw. Moreno stated that in reference to the sidewalks projects
          some district have certain needs, but these money is
          generated by everybody and everybody has the same needs.

          Mayor Ramirez said two things need to be done, that whole
          blocks be done especially within the CD areas to start
          getting sidewalks around the houses, and that mailboxes be
          included in the sidewalk program.

          Cm. Bruni expressed that District II has only a small area of
          CDGB and was concern that there has been no monies spent in
          that area, that finally District II is getting $50,000.00 to
          fix the right-of-way of Tex-Mex and pave it.  His concern was
          that his district does not get any money.

          Cm. Casso was concerned with the $1.6 million funds that will
          be allocated for the Lafayette widening and expressed that
          his district needs sidewalks.

          Mayor Ramirez suggested that staff start pulling out all the
          blocks with the mapping system that don't have sidewalks,
          start looking at them as whole blocks, start paving them, and
          start with districts that are contiguous so that way we start
          at the borders/boundaries of the districts and work inwards
          to put the sidewalks so that both districts start to get the
          impact initially and then develop them.

          Cm. Bruni stated he did not receive information he requested
          as to the breakdown by districts of money spent in each
          district in streets and projects.

          Mr. Villarreal stated he broke it down by projects in the
          last five years, he had the totals and a report was given and
          presented to Council.

          Motion that the money that has been freed be allocated so
          that we fund the Tinaja Creek Project Phase I and that the
          additional money be divided for sidewalks in District II,
          III, and IV.

          Moved : Cw. Moreno
          Second: Cm. Bruni
          For:  7                       Against:  0         Abstain:  0

          Mr. Villarreal concluded by saying he will put these
          recommendations into place and finish the plan, put the plan
          for comment for 30 days and come back to council for public
          hearing on all the changes on the second meeting of July and
          come back in August for final adoption.

      34. Discussion and possible action regarding setting a date of
          Saturday, July 26, 1997, from 9:00 am -1:00 pm as the date
          for the 1997-1998 Aid to Other Agencies Presentations to be
          held at the City Council Chambers.

          Motion to set up July 19, 1997 from 9:00 am - 1:00 as the
          date for the 1997-1998 Aid to Other Agencies Presentations to
          be held at the City Council Chambers.

          Moved :  Cm. Montalvo
          Second:  Cm. Bruni
          For:  7                       Against:  0         Abstain:  0

      35. Discussion and possible action regarding setting a date of
          June 24, 1997, to receive a report from the City's airline
          consultant regarding the City's efforts to secure jet
          service.

          Motion to schedule an informal presentation by the
          consultants on July 7, 1997 and a formal presentation
          before City Council on the same date.

      36. Consideration and action regarding unilateral annexation of
          certain properties to be effective December 31, 1997. The
          three general areas of properties are as follows:
          a) Unitec Industrial Park, including a 1000' wide strip along
             I.H. 35 from the Union Pacific Port of Laredo up to the
             southern boundary of Unitec,
          b) Highway 359 strip of underdeveloped properties to the
             terminus of the road improvements planned for Highway 359
             (approximately 3.48 miles east of Loop 20), and
          c) Various "donut hole" areas throughout the City.

          Mr. Keith Selman, Planning Director, made the presentation.

          (Cm. Perez, Cm. Guerra, Cm. Valdez stepped out. - 8:45 p.m.)

          Motion to proceed with item A & B and eliminate item C.

          Moved : Cw. Moreno
          Second: Cm. Casso
          For:  7                       Against:  0         Abstain:  0

   X.  COMMUNICATIONS

          Cw. Moreno wants the Outer Loop subject brought back as an
          item for discussion.

          Mayor Ramirez thinks it should be brought up in phases and
          for staff to prepare a summary of the work done to this
          point.

          Cw. Moreno also wants the issue of retirees medical benefits
          be brought up.

          Mr. Pena stated that before next council meeting there should
          be a meeting of the committee, so they can present this issue
          at the July 7th meeting.

  XI.  CITY COUNCIL DISCUSSION AND PRESENTATION

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

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

       1. Presentation by Nuevo Laredo Municipal Officials regarding
          the status of their progress on International Bridge III
          (Bridge IV).

          Sr. Marcos Alejandro Garcia, Presidente Municipal del
          Ayuntamiento de Nuevo Laredo and Architecto Jose L. Morales
          were before City Council to make a presentation and
          summarized the status of the construction on the Mexican
          side:

                             PROJECT UPDATE

          * Project execution of the bridge structure
          1 - 100% realized by the SCT, Secretaria de Comunicaciones y
          Transportes of Mexico; sent to the Laredo City Government for
          translation inot english and to study it.

          *Project execution of access roads
          1 - Bridge access (construction of 5.5 kilometers, 4 lane
          highway) project fully developed, 100% by SCT.
          2 - Access road MEX-2 (construction of 32.2 kilometers, 4
          lane highway, with two overpasses and one crossroad) project
          100% developed by SCT.
          3 - Airport accesses (widening from 7 meters to 12 meters of
          18.5 kilometers of the actual access road to the airport).
          Project fully developed, 100% by the Government of the State
          of Tamaulipas and the City Government of Nuevo Laredo.

          * Project execution of the Border Port
          1 - Under development by the State Government of Tamaulipas
          and the CABIN, Natioal Commission of Public Building
          Appraisals.  It is actually 90% developed and is expected to
          be finished in July of 1997.
          2 - Border Port:  The technical and economic proposals for
          the development of the study are already received and are
          expected to be executed in 8 weeks after June 30th.

          * Partial Development Plan
          1 - On March 14, 1997 the City Council of Nuevo Laredo
          approved the first state regarding theuse of the land.
          2 - The document and plans of theuse of the land were
          delivered to the Government of the State of Tamaulipas for
          its approval and authorization, so it could be later
          published in the Official State Newspaper and entered in the
          Public Records Registry.

          * Right-of-way and construction of the Port
          1 - On March 13, 1997 and agreement was signed between the
          authorities of Nuevo Laredo and the owners fo the land where
          the Port will be located.

          * Concession
          1 - Granted by the SCT on the 30th of July of 1996 by the
          Government of the State of Tamaulipas.
          2 - At this moment, the legal decision of the State
          Government is pending its decision to forward the concession
          to the Municipal Government.

          * Works in progress
          1 - Highway access to the bridge on route MEX 2, under
          construction by the SCT.

          Description:
                    32 kilometers long
                     4 lanes on two bodies
                    12 meters wide
                    Hidraulic concrete, 28 centimeters thick

          Crossroads:
                    On level surface, on road MEX 2, Nuevo Laredo -
          Piedras Negras.
                    Overpasses:  on raod NL-1, Nuevo Laredo - Anahuac.
                    On road MEX-2, Nuevo Laredo - Reynosa.

          First State:  2 lanes, one body, west side.
                    Crossroads:
                    Nuevo Laredo - Piedras Negras (MEX-2) partial
                    Nuevo Laredo - Anahuac (NL-1) 2 lanes, one body
                    Nuevo Laredo - Reynosa (MEX-2), complete.

                    Cost:  $146,500 (on bid)
                    Construction start:  December 30, 1996
                    Completion:  August 31, 1997
                    Starts:  October 1997
                    Actual advance:  5%, February 1997.

       2. Discussion and possible action requesting a status report on
          the progress of Laredo's Bridge IV.

          Florencio Pena, City Manager, briefed Council on the status
          of advancements.  It is proposed to use ISTEA funds for the
          financing, working with TxDot as well as federal government
          to finance approximately $13.5 million.  He added that
          instead of a tri-party agreement it appears it will only be a
          bi-party agreement with the state.  The financing with the
          state has a few areas that concern the city and has to do
          with the transfer of operating funds.  Mr. Peter Tart, the
          bond counsel, is working with TxDot to work out the
          differences.  He added that with the exception of that issue,
          it seems that all other matters pertaining to the financing
          of the bridge do not appear to have a problem.  They are
          going to their second draft by the first part of August,
          1997.

          On the design, council awarded a contract to SCA and the
          first task was to conduct a survey of the land for the
          location, approximately 100 acres, and they have submitted a
          survey map.  The survey is substantially complete, we should
          get the final metes and bounds by the end of this week.
          There are two property owners involved in this exchange of
          land.  The legal staff has prepared the deed to allow for the
          transfer to happen.  Mr. Pena will be having a meeting this
          week with the property owners to discuss how the deed
          exchange can occur.  The goal is to have these property deeds
          by the end of August.  He wants to discuss with Council the
          desire to proceed with the final design of the structure
          itself.  They authorized the engineering firm to meet with
          the Mexican side in designing the bridge to see if we could
          reduce possibly some over-design issues.  They have done that
          and agreed on the design and does not appear to be an over-
          design on it.

          The next step is to authorize the engineer to proceed
          interpreting those plans into the English language and
          finalizing the final design.  They are going to negotiate
          what that cost is going to be.  He advised council to begin
          the negotiation with the engineering firm and that we make
          certain that we have the land in our possession before we
          proceed to spend any large amounts of money in this project.
          It will take approximately 3-4 months to get the design
          prepared for the bridge, however until we have the land
          he would not recommend to proceed with that contract.

          He added that on the re-alignment issue, Council opted to
          realign the road that would intersect the Fourth
          International Bridge, as a result of that TxDot required an
          environmental study be to conducted.  We have been working
          with Parsons since July or August and the goal for them was
          to finish the assessment by March, 1997 and they did not meet
          the deadline.  There were other factors and it appears that
          it will be finished until the end of this month which makes
          it two or three months behind on the assessment.

          Erasmo Villarreal, Community Development, explained that the
          Environmental Assessment was behind because the alignment of
          the roads.  An additional alignment came out which is a
          fourth type of alignment on this area and that was not
          originally included in the study so they had to amend their
          contract to amend Phase II.  Everything on this environmental
          assessment, on all alignments from 3464 and 1,000 ft. south
          should be totally completed.  The firm has completed the
          archaeological, noise study, and traffic studies.  Some
          studies have been submitted to TxDot for their review and
          comments.  Currently documents still pending completion which
          should be completed by the end of this months are the major
          investment study.  Still pending is the determination for the
          alternative comparison given that all factors have been
          analyzed on the environmental assessment study.  He explained
          the process procedures that the environmental study is
          submitted to Transportation and Federal Highway Commission
          there is a 30-day comment period, public hearing must be held
          on this environmental assessment.  They are estimating by the
          time this process takes place and reviews are done by both
          agencies and the process is ended, they anticipate that this
          process will by completed by the end of August.

          Mr. Pena stated that this environmental assessment is on the
          re-alignment, not the bridge and TxDot will be the body
          that will be deciding the alignment issue.  They are hoping
          not to get significant impact and that Texas Department of
          Transportation will rule on the issue of re-alignment.  He
          added that the property in question is the right-of-way issue
          which is the same property owner that owns the majority of
          the land at the bridge.  There have been discussion regarding
          his concerns that if certain alignment issues are not the way
          he has requested, he in fact will not be donating the land at
          the bridge head.

          Mayor Ramirez stated that Council has gone on record
          supporting the new alignment, that is the position of council
          and it has not changed.  There is no reason why the delay of
          deeds or the exchange of deeds should not take place.

          Mr. Pena stated the primary conditions that were needed in
          order for the U.S. to agree to the exchange of diplomatic
          notes as follows:

          1) Provide them with financial proposal.
          2) That we determine who the operator of the bridge is.
          3) That the right-of-way and the land on the bridge be
             donated or that the City have possession of it.
          4) That a construction package be provided to them which
             would show a timeline of the design, contracting, opening
             of bids, and award of contract.

          He added that if they get the four items done by September
          there is no reason why the diplomatic notes cannot be
          exchanged.  The right-of-way needs to be resolved, as far as
          diplomatic action, the action required is the approval of the
          diplomatic notes.

          Motion to reaffirm the position of the City Council as it
          relates to the right-of-way necessary for the access road to
          the facility itself, to instruct staff to proceed to
          negotiate the price for the translation for this bridge
          and to proceed with this translation as soon as possible.

          Moved : Cm. Perez
          Second: Cw. Montalvo
          For:  7                      Against:  0         Abstain:  0

          Cm. Casso wants staff to provide Council with a timeline
          regarding environmental assessment, public hearings, right-
          of-way, construction timeline, the exchange of the diplomatic
          notes and then after that get together with the Mexican
          counterparts and have them provide their timelines to put
          them together to see where we are at.

          Mr. Pena stated that assuming that everything is complete,
          approved and everything works well the dates will be
          somewhere between December 1997 optimisticly and in the worst
          case scenario by July 1998.
          Mayor Ramirez stated that the translation of the bridge
          structure has to take place anyway, plus that we proceed in
          commitments to have the property because the environmental
          assessment has been cleared for 100 acres.  What has not been
          cleared is the right-of-way between IH-35 and the Mines Road
          and he does not think that the property owners would have any
          problems in stipulating in the deeding of the property that
          it would only be subject to change as a result of a
          environmental assessment that shows a significant impact that
          would not allow us to proceed with construction in that
          right-of-way.

          Cm. Valdez stated that he has the impression that we are
          far behind compared to the Mexican Counterparts in
          construction and that he would like a timeline schedule side
          by side to see what needs to be done so that we can catch up
          to make sure we are approaching the start up date at the same
          time.

       3. Presentation by the Laredo Delegation regarding the
          President's Summit on America's Future held in Philadelphia
          from April 26-30, 1997, and their ongoing activities, with
          possible action.

          Mr. Jose Luis Gutierrez, Executive Director of Communities in
          Schools, announced he was appointed President for the South
          Texas International Summit Committee representing Laredo in
          the South Texas area.  He submitted Council information
          packet put together by the organization that participated in
          the gathering of information.  When they went to the summit
          they went strong and unified delegation, worked closely
          together, met 13 or 14 times a day, and when they showed up
          to the President's Summit out of 100 cities invited they were
          the only city that had a packet and information together.  In
          the last few weeks they have been called by the State of
          Texas that want to use them as a showcase in the Texas State
          Summit.  They are planning a retreat, scheduled for June
          28th.  He was before Council asking for commitment in being
          there and for financial support.

          Rose Mary Welch stated the Summit is organized on the
          proposition that America's young people must have access
          to five fundamental resources that can help them lead
          healthy, fulfilling and productive lives:

          1. An ongoing Relationship with a Caring Adult: Mentor,
             Tutor, Coach.
          2) Safe places and structured activities during non-school
             hours to learn and grow.
          3. Marketable skills through effective education.
          4. A healthy start
          5. An opportunity to give back.

          Mayor Ramirez said they look forward to committing themselves
          not only verbally, but financially and making sure that this
          obligation is met in developing one of the first mentor
          programs for this initiate.

       4. Congratulating 18 year old Oscar J. Leal, Jr., for his
          exemplary academic and military accomplishments.

          Recognition was made to Oscar J. Leal, Jr., for his exemplary
          academic and military accomplishments, son of Mrs. Sylvia
          Rodriguez and recently graduate from U.S. Marines.  At age 18
          he has been promoted as Lance Corporal in the U.S. Marines.
          He was recognized because he is a fine example of not just
          what he can do, but what Mrs. Rodriguez as a single parent
          has done in raising her son and creating a good citizen
          representing the community.

    B.  Requests by Councilmember Jose R. Perez

       1. Presentation by Hector Farias on developing a landfill in
          partnership with the City and private enterprises, with
          possible action.

          Mr. Hector Farias introduced Mr. Carlos Mejia who made a
          presentation and proposal to the City.  He said the project
          is that of a South Texas Regional Waste Management Project.
          The project would be to construct a new state-of-the art
          sanitary landfill to be constructed south of La Salle County
          between Encinal and Cotulla.  The proposal is to form a
          public/private partnership between the City to join the
          city's needs and advance the quality of waste management and
          environment in the border region.  The team is lead by a
          local firm Farias & Farias, Inc. who have joined with CES
          Environmental Projects, Inc. and have invited Mejia Engineer
          to be the local firm, they are in the process of establishing
          an office at La Posada.

          Mr. Jim Barker, President of CES Environmental Projects,
          Inc., the Principal Partner, Project Developer and Manager,
          explained the problems facing Laredo on the depletion of
          landfill capacity.  The rapid growth and urban population and
          use of landfill sludge disposal is shortening the expected

          life of the City's landfill and the rapidly rising cost of
          landfill.

          The proposal to the City as a partner in the project, the
          City would close its landfill and replace it with a transfer
          station, and dispose of all municipal solid waste (MSW) and
          water and wastewater treatment sludge at the new landfill,
          which is outside the Rio Grande watershed and easily
          accessible from Interstate Highway 35 or the Union Pacific
          Railroad.

          In return for a long-term commitment by the City of the waste
          generated within Laredo and delivered from other sources to
          the new transfer station, the Project will:

          1) Discount disposal fees and share project revenues with the
             City.
          2) Enter into a contract that provides for 20 years of
             disposal service for a fixed price that escalates annually
             based on the CPI, and that gives the City up to 20
             additional years through four 5-year extension options.
          3) Build the new transfer station on City-owned land near the
             existing MRF.

          The project includes a new landfill designed to meet or
          exceed RCRA Subtitle D standards, one or more transfer
          stations, and potential railhaul from the north, south and
          east.  He spoke of the site location, 525 acres of
          undeveloped land within 100 kilometers of the Rio Grande
          River, north of the northern edge of the Rio Grande
          watershed.

          He explained the financing, the project will be privately
          owned and operated.  The debt portion of Project financing
          may include industrial development bonds or NADBank loans.
          However, there will be no public obligation for the debt.
          Disposal fees, the "gate fee" at the new landfill will be
          set at market rates for private landfills that conform to
          Subtitle D standards.  However, the Project will charge the
          City deeply discounted rates for waste and sludge it delivers
          under long-term contract MSW:  $35 per ton and Sludge $25
          per cubic yard.  For outside waste delivered to the city's
          new transfer station from sources outside Laredo, the user
          fee charged by the City would be set so that the City would
          received net revenues of $20 per ton after paying
          transportation and transfer operating costs and landfill fee.

          He also explained the revenue sharing, the economic
          objective, the project primary roles and responsibilities,
          the advantages such as cost, secure disposal capacity,
          insulation from regulation, protection of the Rio Grande,
          land use, environmental leadership, leverage of private
          industry, municipal jobs, and recycling.

          They were requesting that council pass a resolution that
          supports the project as described and establish a committee
          to negotiate, within a specific time frame, a letter of
          intent to enter into a contract that reflects, and is
          consistent with, the substance of the foregoing presentation
          and proposal.

          Cw. Montalvo asked if they had the approval of the residents
          of the area and questioned in reference to the transporting
          to the site.

          Mr. Barker stated there are no residents in the immediate
          vicinity, there are no residents within two miles of the
          site.  The waste is trucked in large trailers, then you
          either do it in vehicles of your own or you would more likely
          contract with someone to deliver the waste to the site.

          Cm. Casso stated if the bottom line is to close the our
          landfill, replace it with a transportation, what is the cost?
          Then they want us to dispose of the MSW and transfer to this
          new landfill outside the Rio Grande Watershed which is
          accessible through IH-35 or the railroad, what will that cost
          be to the city, the advantages and disadvantages of this
          project.

          Mayor Ramirez stated we need a further analysis on cost
          comparison.

          Mr. Pena stated that in the area of solid waste the city has
          been very progressive since 1988 when we acquired the 200
          acres, the city has an application pending with TNRCC
          regarding vertical expansion of our landfill to extend the
          life of the landfill 20 years more.  Our cost to run the
          landfill now is $17 a ton, they are proposing to do it at $35
          a ton, but if you add the cost of transporting and operating
          transfer facility you are talking about adding a least $10 a
          ton which in total is $45 per ton compared to our $17 per
          ton.  We are currently in compliance and we have a long term
          plan for the use of that facility.

          Mayor Ramirez stated that they should not close the door to
          this idea.  There needs to be further analysis as it relates
          to cost comparison.  There is also the question of the
          longevity that we have currently and the investment of the
          current facility.  There is a great deal of analysis that
          need to take place on our part for a complete commitment of
          shutting down our operations and shifting our entire
          solidwaste disposal to such a facility.

          Cw. Moreno asked that we also invite other options besides
          the one presented, other alternatives on how we would be part
          of a regional facility.

          Motion to proceed with meeting with these individuals and
          discussing the finer points of services and costs related to
          those services so that at the time of our budget workshops we
          can consider it in greater detail and proceed at that time as
          to what kind of commitment and endorsement this Council will
          be prepared to take at that time; to amend that Southern
          Sanitation be invited into the discussions; and that we put
          into it a 90 day day timeline.

          Moved : Cm. Guerra
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

          Second to the motion agrees to amend.

       2. Status report regarding the night illumination on Sierra
          Vista/Los Obispos area, with possible action.

          Roberto Murillo, Traffic Engineer, reported that they did a
          survey of those areas, they looked at five phases in Los
          Obispos, and identified 22 lights that they feel are needed
          in the area.  Most of those are at cul-de-sacs, he did
          approach the Legal and Planning Departments regarding the
          current ordinance with stipulates 300 feet and of all those
          identified, only two were over 300 feet, however they have
          started to get many calls on the cul-de-sacs on the old
          neighborhood and subdivisions because of the way the lights
          were placed (placed within 300 ft.).

          They now have a new system whereby the Traffic Department
          reviews all subdivision plans for compliance of the street
          lighting before they are approved.

          He added that on the case of Los Obispos the legal staff said
          they might be able to take action against the developers on
          two lights that are over 300 feet.  The rest are within the
          requirements according to the ordinance.

          He said Sierra Vista is so illuminated that they found one
          extra light and identified two or three that are out and have
          been already reported to CP&L, so no additional lights are
          needed there.

          They estimate about $2,500 per street light depending on
          location and from where the power is coming from.

          Mayor Protem Perez asked if there is a Homeowners Association
          that can be contacted and advised or that the citizens
          request for those installations since they do not meet the
          criteria.

          Mr. Pena stated there are only two or three that do not meet
          the requirements and they can proceed against the developer.
          They will research with legal to see what legal action can be
          taken against those developers.

          Mr. Murillo suggested that maybe it would be possible to
          amend the ordinance to indicate the cul-de-sac requirements.

          Mr. Pena said that besides the cul-de-sacs requirements,
          that they might also see lumins on minor collectors which
          might need to be upgraded, they will go back and review the
          ordinance to make the necessary changes.

    C.  Requests by Councilmember Louis H. Bruni

       1. Status report regarding Airport Projects to include
          a. Runway 17L/35R Reconstruction
          b. Runway 17L/35R Extension
          c. Noise abatement program implementation
          d. New Airport Passenger Terminal
             with possible action.

          Jose Flores, Airport Director, updated Council on the four
          projects.

          a. Runway 17L/35R is about 88% complete, they expect to be
             using the runway sometime in October, 1997.

          b. On Runway 17L/35R Extension, they have already started the
             process by doing the engineering for that section of the
             work.  They started with the land acquisition project on
             114 acres, land acquisition is pending condemnation
             proceedings hopefully that will be resolved soon, and they
             can apply for federal assistance so that the runway can be
             extended by additional 2,000 ft.  This in particular has
             noise abatement benefits to noise impacted residential
             homes on the south end of the airport.

          c. The noise abatement is in place and they have installed
             airfield signs to encourage the pilot to employ the take-
             off procedures.  They are encouraging aircraft that when
             they depart the runway 17R to 17L to where upon reaching
             elevation to make turn southeasterly directions which
             would put them away from commercial development, and over
             other compatible areas such as the lake.  They are
             proposing that runway 14 be preferentially used as well,
             over the gulf course where there is no residential impact.
             They are encouraging pilots to use FAA advisory circular
             procedures.  Shifting commercial and military operations
             from our primary runway 17R.

             All of the recommendations are in place, with the
             exception of some of them that are impacted by the runway
             reconstruction, so by October they will fully implement
             all the noise abatement recommendations.

          d. On the new passenger terminal they are getting "punch list
             phase" which means the building is substantially complete,
             the architects will be coming in and see what is missing
             so that it will be corrected.  As part of that same
             project they will be having a groundbreaking ceremony
             tomorrow (June 17th) for the parking lot and access road
             to facility.

          Cm. Bruni wanted to know on item (b) when will they see that
          extension, going out for bids and completed.

          Mr. Flores said that is subject to the FAA funding, that
          could be within a year or two from happening which is under
          negotiations, first they have to do acquisition of property,
          it is underway by the legal staff.

          Cm. Bruni wants the noise abatement program in effect for
          residents and that they notify the residents that will be
          impacted by notifying them through flyers that these funds
          will be existing to try and alleviate and resolve their
          problems on noise abatement.

       2. Status report regarding the creek cleaning crew established
          in the FY 1995-1996 Annual Budget to include when the crew
          was hired, how many members are in the crew, how many creeks
          were cleaned on an annual basis before this crew was
          established and how many are cleaned now, and the number of
          creeks they have cleaned to date to include those located in
          District II, with possible action.

          Joe Guerra, Public Works Directors, stated that Public Works
          is responsible for 60 miles of creeks, 341 acres of
          easements, and 743 acres of major creeks.  They try to clean
          all the creeks they can.  In 1994/95 they had five people on
          the creeks and went ahead and added another creek in 1995/96.
          In 1997 they have 13 people and one supervisor, 2 heavy
          equipment operators, 3 drivers, and 7 laborers.  One of the
          biggest problems that they sometimes encounter is that there
          is no way they can get the equipment in some of the creeks
          because there is 10-12 foot easement and there is no way to
          get in there so they have to be done by hand.  He has
          submitted a report to council on the creeks that have been
          cleaned in the last seven months.

          Motion to move item D(2) and E(2) at this time.

          Moved : Cm. Casso
          Second: Cm. Bruni
          For:  7                       Against:  0         Abstain:  0

          Cm. Bruni asked in reference to the creek in Townlake.

          Mr. Guerra stated that it will be concrete lined or storm
          drained this coming year.   On Chacon Creek from Arkansas
          going to Gustavus by the bridge, he stated that it is not
          dedicated and it is not the city's.

          Cm. Bruni suggested that they contact the owners and that it
          be cleaned.

          Cm. Valdez spoke on his item E(2) on concrete lining of the
          creek located north of Hillside Road.  He suggested that they
          break this into phases and tackle the problem.  He said that
          we took the responsibility of doing International Blvd. and
          other streets where there were associations before.

          Motion to proceed with preparing the cost estimates to buy
          smaller equipment if necessary to deal with the smaller
          creeks as well as the possibility of establishing a cost
          analysis of concrete lining the smaller creeks down at the
          bottom setting the base such as it was done with Zacate
          Creek, phasing them, and that this include all the small
          creeks in the city.

          Moved : Cm. Valdez
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

          Cm. Casso spoke on item D(2), he said where Seymour ends
          behind the church on the right hand side there is a creek and
          wants to know who owns that creek.  There is a drainage
          problem there and something needs to be done about it and
          that it needs to be cleaned.

       3. Status report on the Chacon Creek Interceptor, with possible
          action.

          Fernando Roman, Utilities Director, stated the project is on
          target with the schedule set.  He pointed out that they had
          intended to complete their right-of-way acquisition in
          October of this year.  CDA has informed that they have
          contacted 17 out of 23 landowners with whom they are
          negotiating, but they think it can be done by August.

          There is another significant date associated with the
          environmental study, the finding of no significant impact as
          CPA calls it, which they are expecting by October.  If it
          comes to them in October, then they will be able to bid this
          project in November or December.  They have identified the
          project into different phases, by the time it is finish will
          be about $15.3 million.  The have on hand a mixture of EPA
          and city funds, they have $9.8 million so they have decided
          to break it into different phases, and have identified five
          phases.

          He added that Phase I can be paid in its entirety, it's from
          the southside wastewater plant to the most critical junction,
          Milk and Ejido where the Larga Vista sewer line and all the
          359 development will occur.  They have the monies, it is just
          a matter of getting to the bidding date.

          Phase II is between $500,000 and $1 million, that would be a
          42" segment that would take them to the next important
          junction which is where Colonias are going to come in.
          Approximately where the Tex-Mex comes into play, they don't
          have the monies, they will have some EPA funds left over from
          the first phase, but will have to issue some additional
          obligations.

          Phase III will take them all the way to the Inner Loop and
          Hwg. 59 which is the original scope, that is approximately
          $2.5 to $5 million.  The are scheduled to arrive Highway 59
          on September of 1999.

          Phase IV would be going all the way to the north end of the
          East Corridor to meet their obligations.  That will be about
          $1.7 million and Phase V is getting all the lift stations
          eliminated (the crucial ones are the 21" line on District II
          creating some of the overflows) the rest of the lift stations
          they can wait and do them at the end, do them in-house with
          money from the project or contract them out.

       4. Discussion and possible action on implementing the Data
          International Network Weather Center (DTN).

          Mr. Bruce Earle Miller, Chairman of the Cable Commission,
          stated that the weather patterns have changed and Cw. Bruni
          brought it to their attention that they needed to be looking
          at some sort of a way to get a reliable weather prediction
          information for bad storms that roam through the area.  While
          this system has nothing to do with air traffic control and
          radar, they have found a company called DTN (Data
          Transmission Network Corporation) which is a commodities
          provider, they have stock market, data reports and found out
          that they mirrored some of the satellites that the NOAA
          Weather Satellites have that cover the face of the earth for
          gathering information.  They have put together a package that
          they offer for media for television/radio and they have no
          problem licensing a municipality.

          This is a device that would give us the possibility to have
          regional data updated every 15 minutes.  Hourly national
          radar summary that gives information on the height, direction
          and intensity of storm cells and satellite cloud maps of US/
          Canada/Mexico, Pacific and Atlantic Ocean regions and South
          America basically for a one time fee of $318.00 plus shipping
          and handling of $49.00.  This company provides a VGA color
          monitor and a control panel that lets access all the
          different satellite maps that are available.

          Where we live is a unique situation, Mexican/US Border
          and this company gives us the access to track information
          coming from Mexico if a storm is heading this way or if
          something is heading off in the gulf.  It is an affordable
          system, they charge $68.00 for this system, once the service
          is implemented after the service is on-line you can expand
          the pages and get other information for something like $45.00
          a quarter.  They do have a trial period that is available.

          Larry Dovalina, Civic Center Director, stated that since the
          Police Department has a 9-1-1 dispatcher, the excellent
          location would be at their communications room.  Once the
          telecommunications building is up and running they can easily
          transfer the dish over and have it beam back through the
          access channels and through the city's internal network.

          Motion to go instruct staff to proceed and get the detail
          information, the necessary costs into effect and see if it is
          an item that is unique to this particular company or whether
          it would have to be bid out and that it be brought to council
          for action at our second meeting in July.

          Moved : Cm. Perez
          Second: Cm. Bruni
          For:  7                       Against:  0         Abstain:  0

    D.  Requests by Councilmember Alfonso "Poncho" Casso

       1. Request for Executive Session pursuant to Section 551.074 of
          the Texas Government Code dealing with personnel matters to
          discuss the Interim Police Chief's and City Manager's
          decision as it relates to a personnel matter.

          Motion to go into Executive Session pursuant to Section
          551.074 of the Texas Government Code dealing with personnel
          matters to discuss the Interim Police Chief's and City
          Manager's decision as it relates to a personnel matter.

          Moved : Cm. Perez
          Second: Cm. Guerra
          For:  6                       Against:  0         Abstain:  0

          Note:  Cw. Moreno did not participate in Executive Session.

          After Executive Session Mayor Ramirez announced that no
          formal action was taken, no discussions were had in relation
          to any specifics and dealt in general terms on personnel
          matters.

       2. Discussion and possible action regarding the drainage at the
          arroyo located at the end of Seymour.

          Item taken in conjunction with item Cm. Bruni's item C(2).

       3. Discussion and possible action regarding the animal health
          control department and how it interfaces with the police
          department.

          Cm. Casso stated that he placed this item on the agenda
          because he received a call from a person that was bitten by a
          dog.  It turned out the dog was not vaccinated and now she
          has to go through a serious of vaccinations.  It is his
          understanding that if you have the dog quarantined, she does
          not have to go through that painful process, but she says she
          had no response from Police or the Animal Health Control and
          she wasn't getting any answers.  The ordinance should be
          enforced, the owner should have been cited as a stray dog,
          and the lady should have been helped out so that she doesn't
          have to go through the rabies vaccination process.  The case
          number is #9713614 and wants to know the process.

          Jerry Robinson, Health Director, answered that the Animal
          Control is part of the Health Department and explained that
          they receive cases that have occurred through many sources,
          one is the Police Department.

          Victor Oliveros of the Health Department, explained that this
          case happened on June 4th and the procedures taken, report
          process, that dog was put under observation, the lady was
          advised that the animal was o.k. and she did not have to
          undergo treatment.  The physician was also advised, and from
          the part of the Health Department, the owner of the animal
          was given a citation for an unvaccinated dog.  The dog has
          been declared to be dangerous, the owners have been sent a
          letter notifying them of the fact, to obtain a $100,000.00
          insurance policy and to register the animal as dangerous,
          and keep it under secure confinement.  They have not received
          an answer yet from the owners of the animal.  The lady
          indicated that she was seeking other damages and was told
          that it would have to be a civil case.

       4. Discussion and possible action regarding wrecker service
          towing charges.

          Cm. Casso requested that this item be tabled.

    E.  Requests by Councilmember Eliseo Valdez Jr.

       1. Status report with possible action regarding the development
          and implementation of the notification process when a staff
          person visits a site which reports a complaint or concern.

          Mr. Pena stated they are considering using a form which would
          be used by Code Enforcement, waterworks employees, or any
          employee that is asked to go to a residence to answer
          questions or take some kind of action.  Unfortunately on some
          occasions people are not there so this form will be used to
          notify them who they can call, who dropped by, the time and
          the phone number they can call to follow-up.  They plan to
          pass these forms out to all the departments.

       2. Discussion and possible action regarding the concrete lining
          of the creek located north of Hillside Road and along the
          Northeast Hillside Recreation Center and the park, as well as
          the lining of the creek bottoms in the smaller creek areas
          north of Gale and Calle del Norte, or the possible purchase
          of equipment which will allow the cleaning of the bottoms of
          these creeks. A cost estimate is also requested to determine
          the cost to clean the creeks vs. the cost to concrete line
          them.

          This item was discussed together with C(2).

       3. Discussion and possible regarding the demolition of the
          abandoned homes located at the 500 and 600 Blocks of San
          Pedro as well as throughout District V.

          Cm. Valdez stated that it should be the 700 block instead of
          the 600 Block of San Pedro.  He received a report that it
          would be taken care of and the house would be torn down in
          two or three weeks.  He wanted to know what the procedure is
          on abandoned houses because there are several houses in
          District V.

          Mr. Benny Salinas pointed the procedures, first identify
          them, red tag them, go to the tax roles to see who the owner
          is, notify them, give them 30 days to respond, if they do not
          respond then they schedule it for the Standard Building Board
          Meeting, make a presentation, and also notify the property
          owner if they want to be present with their lawyers.  At that
          time the board will make a determination on whether the
          structure can be rehabed or it has to be demolished.  If it
          can be rehabed, they give them time to be bring it up to
          standard.

          On the house of the 700 Block of San Pedro, it has gone to
          the Standard Building Board and they sent that with a list of
          other houses to CDA.  Once the house is removed they put a
          lien against that property to recover the expenses incurred.

          As to the other structure on the 500 Block of San Pedro they
          just identified that today, because they did not have it on
          their records yet.

       4. Presentation by Wesley Boyd and Bob Kulick regarding the
          Laredo League for Family Fun and their annual 4th of July
          Celebration, with possible action to support this community
          endeavor.  (Co-sponsored by Cm. Guerra)

          Mr. Wesley Boyd and Mr. Kulick made the presentation.  They
          thanked the council for their previous support and invited
          the council and public to Family Fun and their July 4th
          Celebration and were asking for support from the community
          and City Council.

    E.  Requests by Councilmember Mario G. Alvarado

       1. Discussion and possible action requesting that the Laredo
          Police Department implement Senate Bill No. 267/House Bill
          No. 1379. This legislation allows for public notification of
          sex offenders when they come back into our community after
          being released from prison.

          Motion to table.

          Moved : Cm. Guerra
          Second: Cm. Valdez
          For:  7                       Against:  0         Abstain:  0

 XII.  PUBLIC HEARINGS

      38. Public hearing concerning the application by Jean Salinas
          amending the Zoning Ordinance (Map) of the City of Laredo by
          rezoning Lots 30 and 31, Block 12, Las Americas Subdivision,
          Unit II, located at 2018 and 2020 Durango Avenue, from R-1
          (Single Family Residential District) to R-2 (Multi-Family
          District). The Planning and Zoning Commission recommends
          approval of this zone change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning Lots 30 and 31, Block 12, Las Americas
          Subdivision, Unit II, located at 2018 and 2020 Durango
          Avenue, from R-1 (Single Family Residential District) to R-2
          (Multi-Family District); providing for an effective date and
          publication.

          Motion to open the public hearing.

          Moved : Cw. Montalvo
          Second: Cm. Valdez
          For:  7                       Against:  0         Abstain:  0

          Mr. Keith Selman of the Planning Department made the
          presentation.

          Mr. Ron Whitehawk representing the applicant asked that
          council concur with staff and P&Z recommendations.

          Motion to close the public hearing, concur with P&Z, and
          introduce the ordinance.

          Moved : Cm. Perez
          Second: Cm. Bruni
          For:  6                       Against:  0         Abstain:  0
          (Cm. Casso was temporarily out.)

          Ordinance Introduction:  Cm. Perez

      39. Public hearing concerning the application by Paulino and Rosa
          Vigil amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning 15.57 acres, as further described by metes
          and bounds, located southwest of the intersection of Santa
          Barbara Street and Avenida Los Presidentes, from R-1 (Single
          Family Residential District) to R-1A (Single Family Reduced
          Area District).  The Planning and Zoning Commission
          recommends approval of this zone change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning 15.57 acres, as further described by metes
          and bounds, located southwest of the intersection of Santa
          Barbara Street and Avenida Los Presidentes, from R-1 (Single
          Family Residential District) to R-1A (Single Family Reduced
          Area District); providing for an effective date and
          publication.

          Motion to open the public hearing.

          Moved : Cm. Perez
          Second: Cm. Bruni
          For:  7                       Against:  0         Abstain:  0

          Mr. Keith Selman of the Planning Department made the
          presentation.

          Motion to close the public hearing, concur with P&Z
          recommendation, and introduce the ordinance.

          Moved : Cm. Perez
          Second: Cm. Bruni
          For:  6                       Against:  0         Abstain: 0
          (Cm. Casso was temporarily out.)

          Ordinance Introduction: Cm. Perez

      40. Public hearing concerning the application by Jacaman
          Investment Group, LTD, amending the Zoning Ordinance (Map) of
          the City of Laredo by rezoning 10.670 acres, as further
          described by metes and bounds, located west of the Bob
          Bullock Loop and directly north of the Laredo International
          Airport from R-1 (Single Family Residential District) to
          M-1 (Light Manufacturing District).  The Planning and Zoning
          Commission recommends approval of this zone change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning 10.670 acres, as further described by
          metes and bounds, located west of the Bob Bullock Loop and
          directly north of the Laredo International Airport from R-1
          (Single Family Residential District) to M-1 (Light
          Manufacturing District); providing for an effective date and
          publication.

          Motion to open the public hearing.

          Moved : Cm. Perez
          Second: Cm. Bruni
          For:  7                       Against:  0         Abstain:  0

          Mr. Keith Selman of Planning made the presentation.

          Motion to close the public hearing, concur with P&Z, and
          introduce the ordinance.

          Moved : Cm. Bruni
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction: Cm. Bruni

      41. Public hearing concerning the application by Jacaman
          Investment Group, LTD, amending the Zoning Ordinance (Map)
          of the City of Laredo by rezoning 108.4 acres, as further
          described by metes and bounds, located east of the Bob
          Bullock Loop and directly north of Lake Casa Blanca,  from
          AG (Agricultural District) to R-1 (Single Family Residential
          District). The Planning and Zoning Commission recommends
          approval of this zone change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning 108.4 acres, as further described by metes
          and bounds, located east of the Bob Bullock Loop and directly
          north of Lake Casa Blanca,  from AG (Agricultural District)
          to R-1 (Single Family Residential District); providing for an
          effective date and publication.

          Motion to open the public hearing.

          Moved : Cm. Perez
          Second: Cm. Bruni
          For:  7                       Against:  0         Abstain:  0

          Mr. Carlos Mejia representing the prospective buyer was
          present to answer any questions.

          Mr. Jesus Ponce questioned if this land connected to the
          lawsuit that has been filed against the city for
          water/wastewater.

          Mayor Ramirez stated it is and they have partially negotiated
          the settlement.

          Motion to close the public hearing, concur with P&Z
          recommendation, and introduce the ordinance.

          Moved : Cm. Bruni
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction:  Cm. Bruni

      42. Public hearing concerning the application by Blackstone
          Dilworth, amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning 67.7 acres as further described by metes
          and bounds, located west of McPherson Road, north of the Bob
          Bullock Loop from AG (Agricultural District) to M-1 (Light
          Manufacturing District).  The Planning and Zoning Commission
          recommends approval of this zone change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning 67.7 acres as further described by metes
          and bounds, located west of McPherson Road, north of the Bob
          Bullock Loop from AG (Agricultural District) to M-1 (Light
          Manufacturing District); providing for an effective date and
          publication.

          Motion to open the public hearing.

          Moved : Cm. Perez
          Second: Cm. Montalvo
          For:  7                       Against:  0         Abstain:  0

          Mr. Keith Selman made the presentation before council.

          Mr. Carlos Mejia representing the prospective buyer was
          present to answer any questions.

          Motion to close the public hearing, introduce the ordinance
          and concur with P&Z.

          Moved : Cm. Guerra
          Second: Cm. Valdez
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction:  Cm. Guerra

      43. Public hearing concerning the application by Armandina
          Villarreal, amending the Zoning Ordinance (Map) of the City
          of Laredo by rezoning Lot 10, Block 864, Western Division,
          located at 1518 Burnside Street from B-1 (Limited Business
          District) to R-3 (Mixed Residential District). The Planning
          and Zoning Commission recommends approval of this zone
          change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning Lot 10, Block 864, Western Division,
          located at 1518 Burnside Street from B-1 (Limited Business
          District) to R-3 (Mixed Residential District); providing for
          an effective date and publication.

          Motion to open the public hearing.

          Moved : Cw. Montalvo
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

          Mr. Keith Selman of Planning made the presentation.


          Motion to close the public hearing, introduce the ordinance
          and concur with P&Z recommendation.

          Moved : Cm. Perez
          Second: Cw. Montalvo
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction:  Cm. Perez

      44. Public hearing concerning the application by Refugio
          Hinojosa, Oscar Hinojosa, Eduardo Hinojosa, and Carlos
          Hinojosa, amending the Zoning Ordinance (Map) of the City of
          Laredo by revoking a Special Use Permit for a manufactured
          housing park, Ordinance No. 93-O-200 on 21.5921 acres out of
          Porcion 19, Abstract 591, as further described by metes and
          bounds, located west of FM 1472, across from the old
          municipal airport. The Planning and Zoning Commission
          recommends approval of the revocation of this Special Use
          Permit.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by revoking a Special Use Permit for a manufactured
          housing park, Ordinance No. 93-O-200 on 21.5921 acres out of
          Porcion 19, Abstract 591, as further described by metes and
          bounds located west of FM 1472, across from the old municipal
          airport; providing for an effective date and publication.

          Motion to open the public hearing.

          Moved : Cm. Bruni
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

          Mr. Keith Selman made the presentation.

          Mr. Ron Whitehawk, on behalf of the Killam Development,
          stated that this item and the next one are the same parcel of
          land and perhaps should be heard together.  He asked that
          council approve the zone change request.

          Motion to close the public hearing; concur with P&Z
          recommendation to revocate the special use permit, and
          introduce the ordinance.

          Moved :  Cm. Bruni
          Second:  Cm. Perez
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction:  Cm. Bruni

      45. Public hearing concerning the application by Refugio
          Hinojosa, Oscar Hinojosa, Eduardo Hinojosa, and Carlos
          Hinojosa, amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning 21.5921 acres out of Porcion 19, Abstract
          591, as further described by metes and bounds located west of
          FM 1472, across from the old municipal airport, from M-1
          (Light Manufacturing District) to R-1 (Single Family
          Residential District).  The Planning and Zoning Commission
          recommends denial of the zone change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning 21.5921 acres out of Porcion 19, Abstract
          591, as further described by metes and bounds located west of
          FM 1472, across from the old municipal airport, from M-1
          (Light Manufacturing District) to R-1 (Single Family
          Residential District); providing for an effective date and
          publication.

          Motion to open the public hearing.

          Moved : Cm. Perez
          Second: Cw. Montalvo
          For:  7                       Against:  0         Abstain:  0

          Mr. Keith Selman of Planning made the presentation.

          Mr. Ron Whitehawk representing the Killam Investment Company
          made the presentation and asked that council override P&Z
          Commission and staff recommendation and allow the original
          development pattern to be expressed on this tract of land.

          Motion to close the public hearing, override P&Z, and
          introduce an ordinance changing the zoning from M-1 to R-1.

          Moved : Cm. Bruni
          Second: Cw. Moreno
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction: Cm. Bruni

      46. Public hearing concerning the application by Gateway
          Community Health Center amending the Zoning Ordinance (Map)
          of the City of Laredo by rezoning Lot 8 and the north 1/2 of
          Lot 6, Block 485, Western Division, located at 309 Park
          Street from B-1 (Limited Business District) to R-O
          (Residential/Office District). The Planning and Zoning
          Commission recommends approval of the zone change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning Lot 8 and the north 1/2 of Lot 6, Block
          485, Western Division, located at 309 Park Street from B-1
          (Limited Business District) to R-O (Residential/Office
          District); providing for an effective date and publication.

          Motion to open the public hearing.

          Moved : Cm. Perez
          Second: Cm. Valdez
          For:  7                       Against:  0         Abstain:  0

          Motion to close the public hearing, concur with P&Z
          recommendation, and introduce the ordinance.

          Moved : Cm. Montalvo
          Second: Cm. Bruni
          For:  6                       Against:  0         Abstain:  0
          (Cm. Perez stepped out momentarily - 9:55 p.m.)

          Ordinance Introduction: Cw. Montalvo

      47. Public hearing concerning the application by Ricardo
          Benavides amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning Lot 1A Block 681, Western Division,
          located at 2302 Iturbide Street from R-2 (Multi-Family
          District) to R-O (Residential/Office District). The Planning
          and Zoning Commission recommends approval of this zone
          change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning Lot 1A Block 681, Western Division,
          located at 2302 Iturbide Street from R-2 (Multi-Family
          District) to R-O (Residential/Office District). The Planning
          and Zoning Commission recommends approval of this zone
          change; providing for an effective date and publication.

          Motion to open the public hearing.

          Moved : Cm. Bruni
          Second: Cw. Moreno
          For:  6                      Against:  0         Abstain:  0
          (Cm. Perez was not present.)

          Motion to close the public hearing, concur with P&Z, and
          introduce the ordinance.

          Moved : Cw. Montalvo
          Second: Cm. Bruni
          For:  6                       Against:  0         Abstain:  0
          (Cm. Perez was not present.)

          Ordinance Introduction: Cw. Montalvo

      48. Public hearing amending Section 24-62 of the Laredo Land
          Development Code relating to districts and boundaries;
          Section 24-82 relating to the permitted dimensions for on-
          premise and off-premise freestanding signs. This ordinance
          deletes the prohibition for on-premise freestanding signs
          within 350 feet of residential districts. The Planning and
          Zoning Commission recommends approval of this ordinance.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending Section 24-62 of the Laredo Land
          Development Code relating to districts and boundaries;
          Section 24-82 relating to the permitted dimensions for on-
          premise and off-premise freestanding signs; providing for
          publication and effective date; providing for an effective
          date and publication.

          Motion to open the public hearing.

          Moved : Cm. Valdez
          Second: Cm. Guerra
          For:  7                       Against:  0         Abstain:  0

          Mr. Keith Selman of the Planning Department made the
          presentation.  He said that what this will basically do is
          delete the 350 ft. and the 150 ft. prohibition on
          freestanding signs from a Residential District and will limit
          very large on-premise signs to highways and expressways.

          Mr. Ron Whitehawk on behalf of various members of the sign
          industry asked that council support the Planning Commission
          recommendation as it stands.

          Mr. Herb Scobey, General Manager of Lamar Advertising, asked
          that council accept the P&Z/staff changes to this ordinance.

          Mr. Max Watts, P.B. Newman Investment, stated that this
          proposed change will affect them and are in great support of
          these changes.

          Mr. Raul Guzman asked that council follow staff's
          recommendation on this matter.

          Mr. Javier de Anda, partner with B.P. Newman Investment,
          spoke in favor of staff's recommendations.

          Mr. Arnold Cisneros, from IBC, was in support of the change
          and asked that council follow P&Z's recommendation.

          Cm. Bruni had a concern with the 15 ft. on off-premises
          signs on B-4 and M-1 which is not acceptable to him and
          wanted the 15 ft. increased.

          Motion to close the public hearing and introduce the
          ordinance in its present form.

          Moved : Cm. Guerra
          Second: Cm. Valdez
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction: Cm. Guerra

      49. Public hearing amending the City of Laredo's 1996-1997 budget
          in the amount of $20,479.00 for additional salary and fringe
          benefit costs for six task force investigators in the Multi-
          Agency Financial Disruption Task Force awarded by the Office
          of National Drug Control Policy for the period of July 1,
          1996 and ending June 30, 1997.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the City of Laredo's 1996-1997 budget in
          the amount of $20,479.00 for additional salary and fringe
          benefit costs for six task force investigators in the Multi-
          Agency Financial Disruption Task Force awarded by the Office
          of National Drug Control Policy for the period of July 1,
          1996 and ending June 30, 1997; providing for publication and
          effective date.

          Motion to open the public hearing.

          Moved : Cw. Montalvo
          Second: Cm. Guerra
          For:  7                       Against:  0         Abstain:  0

          Motion to close the public hearing and introduce.

          Moved : Cm. Guerra
          Second: Cm. Valdez
          For:  6                       Against:  0         Abstain:  0
          (Cm. Perez stepped out momentarily - 10:05 p.m.)

          Ordinance Introduction: Cm. Guerra

      50. Public hearing amending City of Laredo's 1996-1997 budget in
          the amount of $1,082,467.00.  Of this amount, $711,562.00 is
          grant funds, with the City designating $370,905.00 in
          matching funds for a grant from the Criminal Justice Division
          for Multi-Agency Narcotics Task Force for the period of June
          1, 1997 through May 31, 1998 and authorizing the City Manager
          to sign any and all documents pertaining to this grant
          application.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending City of Laredo's 1996-1997 budget in the
          amount of $1,082,467.00.  Of this amount, $711,562.00 is
          grant funds, with the City designating $370,905.00 in
          matching funds for a grant from the Criminal Justice Division
          for Multi-Agency Narcotics Task Force for the period of June
          1, 1997 through May 31, 1998 and authorizing the City Manager
          to sign any and all documents pertaining to this grant
          application; providing for publication and effective date.

          Motion to open the public hearing.

          Moved : Cm. Guerra
          Second: Cm. Valdez
          For:  6                       Against:  0         Abstain:  0
          (Cm. Perez stepped out. 10:05)

          Motion to close the public hearing and introduce.

          Moved : Cw. Montalvo
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction:  Cw. Montalvo

      51. Public hearing to receive public comment regarding the Chacon
          Creek Flood Protection Project. This project is being made
          possible through a grant from the Texas Water Development
          Board. The grant will fund a study to prepare hydrological
          and hydraulic data for the submittal of a Letter of Map
          Revision (LOMR) to the Federal Emergency Management Agency
          which will establish a stormwater information database
          identifying hydraulic structures in the floodplain, develop a
          Flood Protection Plan including proposed regulations for
          structural improvements, and will provide the City with a
          computer model to plan the scheduled maintenance of stream
          beds and structures; and to amend the City of Laredo's 1996-
          97 annual budget in the amount of $325,000.00, for a grant
          awarded by the Texas Water Development Board to develop a
          Flood Protection Plan for the Chacon Watershed; the
          composition of the $325,000.00, is $260,000.00 from the Texas
          Water Development Board, $42,500.00 Webb County, ($17,500
          cash and $25,000.00 in-kind), $5,000.00 from Webb County
          Drainage District No. 1 and $17,500 from the City of Laredo.
          The City will also provide $25,000.00 in in-kind services.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the City of Laredo's 1996-97 annual budget
          in the amount of $325,000.00, for a grant awarded by the
          Texas Water Development Board to develop a Flood Protection
          Plan for the Chacon Watershed; the composition of the
          $325,000.00, is $260,000.00 from the Texas Water Development
          Board, $42,500.00 Webb County, ($17,500 cash and $25,000.00
          in-kind), $5,000.00 from Webb County Drainage District No. 2
          and $17,500 from the City of Laredo.

          Motion to open the public hearing.

          Moved : Cm. Perez
          Second: Cw. Moreno
          For:  7                       Against:  0         Abstain:  0

          Raj Guntnur of the Engineering Department made the
          presentation.  This is a public hearing process which is a
          required part of the grant program.  The program name is
          Chacon Flood Protection Plan or Storm Water Master Plan.
          Participants of this project are the City, Webb County, Webb
          County Drainage District 1, and Texas Water Development
          Board.  The total project is $350,000.00. The whole project
          has been phased in three phases:

          1) The analysis of the existing land uses based on the
             hydrology/hydraulics, once these are analysis are
             completed they can delineate the new flood plain/flood
             risk within the Chacon area.
          2) Ultimate Condition Analysis based on 20 year future plan.

          3) Interim Condition Analysis to see what are the drainage
             problems in Chacon Creek watershed.

          They will then recommend what are the top priorities based on
          that.  They are looking at 12 months to complete the project.

          Mr. Joe Gonzalez, representing residents of the area, stated
          that back in 1985 Council committed themselves to building a
          deferment canal leading to Chacon Creek and this canal was
          going to be built on the south side of Southgate
          Neighborhood.  He wants to make sure that the City's
          intention of building the diversion channal project does go
          through on the next fiscal year, and that there be an item
          for discussion and action.

          Mr. Pena stated that the engineering staff today are of the
          opinion that such facility is no longer needed, that it's not
          something that will help address the drainage problems.
          There is another project being proposed for approximately
          $3 million that is downstream of Southgate and it will be
          discussed later in the agenda.

          Motion to close the public hearing and introduce.

          Moved :  Cm. Perez
          Second:  Cw. Moreno
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction:  City Council

      52. Public hearing approving an amendment to the City of Laredo's
          Annual Budget in the amount of $24,000.00, for the Chronic
          Disease Prevention Program, Breast and Cervical Cancer
          Control Project (BCCCP), of the City of Laredo Health
          Department for the period beginning July 1, 1996, through
          June 30, 1997.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance approving an amendment to the budget in the amount
          of $24,000.00, for the Chronic Disease Prevention Program,
          Breast and Cervical Cancer Control Project, of the City of
          Laredo Health Department for the period beginning July 1,
          1996, through June 30, 1997; and increase revenue line item
          226-0000-323-4055 from $41,500.00 to $65,500.00, and
          expenditure line item 226-6045 from $41,500.00, to
          $65,500.00.

          Motion to open the public hearing.

          Moved : Cm. Perez
          Second: Cw. Montalvo
          For:  7                       Against:  0         Abstain:  0

          Motion to close the public hearing and introduce the
          ordinance.

          Moved : Cm. Montalvo
          Second: Cm. Perez
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction: Cw. Montalvo

      53. Public hearing establishing parking meter zones and
          associated parking meter rates for different parking areas
          within the Central Business District and authorizing the
          removal of several existing parking meters in outlying areas
          of the Central Business District, rescinding all previous
          conflicting ordinances, and providing for publication and
          effective date.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance establishing parking meter zones and associated
          parking meter rates for different parking areas within the
          Central Business District and authorizing the removal of
          several existing parking meters in outlying areas of the
          Central Business District, rescinding all previous
          conflicting ordinances, and providing for publication and
          effective date.

          Motion to open the public hearing.

          Moved : Cm. Perez
          Second: Cw. Montalvo
          For:  7                       Against:  0         Abstain:  0

          Mr. Roberto Murillo, Traffic Engineer, made the presentation
          stating they had several concerns regarding the parking
          availability by downtown merchants and customers.

          Mr. Larry Dovalina, C&V Director, stated that the general
          suggestion came from merchants and it was developed as a
          package where they were talking about increasing the fees in
          parking meters and keeping the fees at a parking structure at
          a lower level than what had been proposed.

          Motion to close the public hearing and introduce.

          Moved : Cm. Perez
          Second: Cm. Guerra
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction: Cm. Perez

      54. Public hearing amending Ordinance 86-O-226 and Article VIII,
          Stopping, Standing or Parking of Chapter 19, Motor Vehicles
          and Traffic Division 3, Violations, Penalties, Section 19-355
          of the Code of Ordinances amending minimum penalities for
          violations of Article VIII of Chapter 19 of the Code of
          Ordinances, providing for publication and effective date.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending Ordinance 86-O-226 and Article VIII,
          Stopping, Standing or Parking of Chapter 19, Motor Vehicles
          and Traffic Division 3, Violations, Penalties, Section 19-355
          of the Code of Ordinances amending minimum penalities for
          violations of Article VIII of Chapter 19 of the Code of
          Ordinances, providing for publication and effective date.

          Motion to open the public hearing.

          Moved : Cm. Perez
          Second: Cm. Moreno
          For:  7                       Against:  0         Abstain:  0

          Mr. Luis Landin and Mr. Roberto Murillo of the Traffic
          Department made the presentation.

          Cw. Moreno wanted to know what rate of collection do we have,
          and what percentage is outstanding.

          Mr. Murillo stated that about 60% of the collection rate.

          Mr. Jesus Ponce was opposed to the penalties/fines imposed.

          Motion to close the public hearing and introduce.

          Moved : Cm. Guerra
          Second: Cm. Valdez
          For:  7                       Against:  0         Abstain: 0

          Ordinance Introduction: Cm. Guerra

      55. Public hearing amending Ordinance No. 88-O-006, as amended by
          Ordinance No. 89-O-131 which established fares for fixed
          route transit service and for EL METRO ID cards.
          A. The base adult fare will increase from sixty cents ($0.60)
             to seventy-five cents ($0.75).
          B. The fare for children of ages 5 to 11 will remain
             unchanged at 25 cents ($0.25)
          C. The fare for children under 5 years of age will continue
             to be free of charge.
          D. The fare for students will increase from thirty-five cents
             ($0.35) to fifty cents ($0.50).
          E. During peak hours on Monday through Friday (except
             holidays), the peak fare for seniors and persons with
             disabilities will increase from ten cents ($0.10) to fifty
             cents ($0.50).
          F. During off-peak hours, and on Saturdays, Sundays, and
             holidays, the fare for seniors and persons with
             disabilities, and possessing a valid ID card, will
             increase from zero ($0.0) to twenty-five cents ($0.25).
          G. The fare for express route service will increase from
             sixty cents ($0.60) to one dollar ($1.00).
          H. The charge for an initial or replacement EL METRO ID card
             will remain unchanged at $2.00
          I. An initial EL LIFT ID card will continue to be free of
             charge.
          J. The charge for a replacement EL LIFT ID card will continue
             to be $2.00.
          The ordinance provides for publication and an October 1, 1997
          effective date.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending Ordinance No. 88-O-006, as amended by
          Ordinance No. 89-O-131 which established fares for fixed
          route transit service and for EL METRO ID cards.
          A. The base adult fare will increase from sixty cents ($0.60)
             to seventy-five cents ($0.75).
          B. The fare for children of ages 5 to 11 will remain
             unchanged at 25 cents ($0.25)
          C. The fare for children under 5 years of age will continue
             to be free of charge.
          D. The fare for students will increase from thirty-five cents
             ($0.35) to fifty cents ($0.50).
          E. During peak hours on Monday through Friday (except
             holidays), the peak fare for seniors and persons with
             disabilities will increase from ten cents ($0.10) to fifty
             cents ($0.50).
          F. During off-peak hours, and on Saturdays, Sundays, and
             holidays, the fare for seniors and persons with
             disabilities, and possessing a valid ID card, will
             increase from zero ($0.0) to twenty-five cents ($0.25).
          G. The fare for express route service will increase from
             sixty cents ($0.60) to one dollar ($1.00).
          H. The charge for an initial or replacement EL METRO ID card
             will remain unchanged at $2.00
          I. An initial EL LIFT ID card will continue to be free of
             charge.
          J. The charge for a replacement EL LIFT ID card will continue
             to be $2.00.
          The ordinance provides for publication and an October 1, 1997
          effective date.

          Motion to open the public hearing.

          Moved : Cm. Perez
          Second: Cw. Montalvo
          For:  7                       Against:  0         Abstain:  0

          Gilbert Segovia, Transit Director, was present to answer any
          questions.

          Motion to amend the ordinance, that D, E, F remain as is.

          Moved : Cm. Perez
          Second: Cw. Moreno
          For:  5                       Against:  0         Abstain:  0
          (Cm. Casso and Cm. Bruni were out at this time - 10:30 p.m.)

          Motion to close the public hearing and introduce with the
          amendment.

          Moved : Cm. Perez
          Second: Cm. Valdez
          For:  5                       Against:  0         Abstain:  0

          Ordinance Introduction: Cm. Perez

      56. Public hearing amending Ordinance No. 89-O-122, which
          established fares for paratransit transportation service on
          the EL LIFT system.
          The fare for a one-way trip shall increase from $0.75 to
          $1.50. This ordinance provides for publication and an October
          1, 1997 effective date.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending Ordinance No. 89-O-122, which established
          fares for paratransit transportation service on the EL LIFT
          system.   The fare for a one-way trip shall increase from
          $0.75 to $1.50. This ordinance provides for publication and
          an October 1, 1997 effective date.

          Motion to open the public hearing.

          Moved : Cm. Perez
          Second: Cw. Moreno
          For:  5                      Against:  0         Abstain:  0
          (Cm. Bruni and Cm. Casso were not present.)

          There was no public input.

          Motion to amend to increase fares from $.75 to $1.00.

          Moved : Cm. Perez
          Second: Cm. Valdez
          For:  5                       Against:  0         Abstain:  0
          (Cm. Bruni and Cm. Casso were not present.)

          Motion to close the public hearing and introduce the
          ordinance as amended.

          Moved : Cm. Perez
          Second: Cw. Montalvo
          For:  5                       Against:  0         Abstain:  0
          (Cm. Bruni and Cm. Casso were not present.)

          Ordinance Introduction: Cm. Perez

      57. Public hearing continuing the City of Laredo's Juvenile
          Curfew Ordinance No. 94-O-142 as amended by Ordinance No. 96-
          O-030 for an additional three (3) years starting July 18,
          1997 until July 18, 2000 in accordance with 370.002 of the
          Texas Local Government Code; which mandates that before the
          third anniversary of the date of adoption of a juvenile
          curfew ordinance the municipality needs to review the
          ordinance's effect on the community and on problems the
          ordinance was intended to remedy, conduct public hearings on
          the need to continue the ordinance and abolish, continue or
          modify the ordinance; providing for severability; providing
          for an effective date and publication.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance continuing the City of Laredo's Juvenile Curfew
          Ordinance No. 94-O-142 as amended by Ordinance No. 96-O-030
          for an additional three (3) years starting July 18, 1997
          until July 18, 2000 in accordance with 370.002 of the Texas
          Local Government Code; providing for severability; providing
          for an effective date and publication.

          Motion to open the public hearing.

          Moved : Cm. Perez
          Second: Cm. Guerra
          For:  5                       Against:  0         Abstain:  0
          (Cm. Bruni and Cm. Casso were not present - 10:30 p.m.)

          Cm. Guerra wants to know if this ordinance is really working.

          Agustin Dovalina, Interim Chief of Police, stated it is
          working very effectively.

          Deputy Chief San Miguel pointed the statistics for August,
          1994 to December 1994 which showed 694 citations issued, from
          January to December there were 513 citations.  In 1996 they
          had total of 800, 1997 to this point there are 345 however,
          they do have special details working on it and they feel it
          is effective.

          Motion to close the public hearing and introduce.

          Moved : Cm. Perez
          Second: Cm. Valdez
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction: Cm. Perez


XIII.  MOTION TO RECESS AND CONVENE AS THE LAREDO MASS TRANSIT BOARD

       Motion to recess as City Council and convene as The Laredo Mass
       Transit Board.

       Moved : Cm. Perez
       Second: Cm. Guerra
       For:  7                          Against:  0         Abstain:  0

      58. 97-RT-064 Resolution authorizing the City Manager to accept
                    and execute amendment #1 fiscal year 1996-1997
                    Public Transportation Fund Grant from the Texas
                    Department of Transportation (Project No. URB 9701
                    (22) 2), increasing the original amount of
                    $543,787.00, by $27,462.00, for an amended amount
                    of $571,249.00; and providing for grant funds to be
                    deposited in the Mass Transit Department accounts.

                    Motion to approve Resolution #97-RT-064.

                    Moved : Cm. Perez
                    Second: Cm. Guerra
                    For:  7             Against:  0         Abstain:  0

      59. Affirming the emergency purchase of a new Series 92 Detroit
          Diesel engine from Stewart & Stevenson Services, Corpus
          Christi, Texas, for $12,500.00.  The purchase was
          necessitated by the major failure of a 1992 bus engine, which
          had accumulated over 250,000 miles.  The engine bears a one-
          year warranty.  The engine is available only through
          authorized Detroit Diesel dealers and was, therefore, a sole
          source procurement.

          Motion to approve.

          Moved : Cm. Perez
          Second: Cm. Guerra
          For:  7                       Against:  0         Abstain: 0

      60. Acknowledging the receipt of no proposals to lease the ground
          floor of the east tower of the Laredo Transit Center, and
          authorizing the General Manager to seek a tenant(s) to enter
          into a negotiated lease for this space.

          Motion acknowledging the receipt of no proposals to lease the
          ground floor of the east tower of the Laredo Transit Center
          and authorizing the General Manager to seek a tenant(s) to
          enter into a negotiated lease for this space.

          Moved : Cm. Perez
          Second: Cm. Guerra
          For:  7                       Against:  0         Abstain:  0

      61. Approval of change order #1 in the amount of $7,601.06, to
          Star Data Systems, San Antonio, Texas, for providing
          additional data communication cabling and fiber optic
          provisions for the Laredo Transit System Center's
          telecommunication and data cabling system.  The original
          contract award was for $47,444.00 this change order will
          bring the total contract amount to $55,045.06. Funding is
          available in Transit System - Section 3 Grant, Inter-Modal
          Transit Center.

          Motion to approve.

          Moved : Cm. Perez
          Second: Cm. Guerra
          For:  7                       Against:  0         Abstain:  0

          Motion to adjourn as The Laredo Mass Transit Board and
          convene as The Laredo Municipal Housing Corporation.

          Moved : Cm. Perez
          Second: Cw. Montalvo
          For:  7                       Against:  0         Abstain:  0

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

      62. Award of contract to the LOW BIDDER, Sames Motor Co., Laredo,
          Texas, in the amount of $22,300.00, for the purchase of one
          cargo van and Chaparral Ford, Inc., Devine, Texas, in the
          amount of $20,512.61 for the purchase of one 1/2 ton truck.
          These vehicles will be equipped with CNG bi-fuel fueling
          systems.  Funding is available in the department's capital
          outlay budget.  Delivery is anticipated within ninety days. A
          total of 3 bids were received for the cargo van and a total
          of 3 bids were received for the 1/2 ton truck.

          Motion to approve.

          Moved : Cm. Perez
          Second: Cw. Montalvo
          For:  7                       Against:  0         Abstain:  0

      63. Approval of plans and specifications prepared by Turner,
          Hickey & Associates, Inc., and authorization to advertise for
          bids from general contractors for the construction of 50
          units of affordable housing for the Lease/Purchase Program
          located in Riverhills Subdivision, Unit I.  The final plans
          and specifications include ten (10) different floor plans and
          fourteen (14) front elevations (facades).

          Mr. John Hickey made the presentation.

          Motion to approve.

          Moved : Cm. Perez
          Second: Cw. Montalvo
          For:  7                       Against:  0         Abstain:  0

          Motion to adjourn as the Laredo Municipal Housing
          Corporation.

          Moved : Cm. Valdez
          Second: Cw. Moreno
          For:  7                       Against:  0         Abstain:  0

  XV.  ADJOURNMENT

          Motion to adjourn.

          Moved : Cm. Bruni
          Second: Cw. Montalvo
          For:  7                       Against:  0         Abstain:  0

I HEREBY CERTIFY THAT THE ABOVE MINUTES CONTAINED IN PAGES O1 TO 51
ARE TRUE COMPLETE, AND CORRECT PROCEEDINGS OF THE CITY COUNCIL MEETING
HELD ON THE 16TH DAY OF JUNE, 1997.   A CERTIFIED COPY IS ON FILE AT
THE CITY SECRETARY'S OFFICE.


                                  ________________________
                                   GUSTAVO GUEVARA, JR.
                                   CITY SECRETARY