CITY OF LAREDO
                          CITY COUNCIL MEETING

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

                                MINUTES

       M97-R-41                                 DECEMBER 1, 1997

   I.  CALL TO ORDER

       With a quorum present Mayor Protem Jose R. Perez, Jr., called the meeting
       to order.

  II.  PLEDGE OF ALLEGIANCE

       Mayor Protem Perez led in the Pledge of Allegiance.

 III.  ROLL CALL
       IN ATTENDANCE:
       JOSE R. PEREZ, JR.,  COUNCILMEMBER, DISTRICT I
       LOUIS H. BRUNI,             "     , DISTRICT II
       ALFONSO I. "PONCHO" CASSO,  "     , DISTRICT III
       CECILIA MAY MORENO,         "     , DISTRICT IV
       ELISEO VALDEZ, JR.,         "     , DISTRICT V
       JOE A. GUERRA,              "     , DISTRICT VI
       MARIO G. ALVARADO,          "     , DISTRICT VII
       CONSUELO "CHELO" MONTALVO,  "     , DISTRICT VIII
       GUSTAVO GUEVARA, JR., CITY SECRETARY
       FLORENCIO PENA,       CITY MANAGER
       JAIME L. FLORES,      CITY ATTORNEY

       Motion to move up items X-(a), C(1), D(1), and D(2)

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

  IV.  APPROVAL OF MINUTES

       2. City Council Meeting of October 20, 1997
          City Council Meeting of October 27, 1997

          Motion to approve.

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

   V.  INTRODUCTORY ORDINANCES

       3. Authorizing the City Manager to execute an agreement providing
          possible reimbursement for part of the cost of constructing a 356
          foot, 8" sanitary sewer line and a 400 foot, 8" water line incurred by
          Laredo National Bank. Both lines will be located on Chacota Street
          close to Hwy 83 and the easement in the west boundary of the Zacatecas
          Fire Station.

          Ordinance Introduction: City Council

       4. Authorizing the City Manager to execute all necessary documents of
          conveyance to grant an easement to Southwestern Bell Telephone Company
          for the purpose of placing telephone apparatus cabinets, concrete
          pads, anchors, buried telephone conduits and cables, aerial cable and
          all appurtenances thereto, as may be required by grantee from time to
          time.  Said easement being out of the Mines Road Fire Station plat in
          Porcion 20, Webb County, Texas; being generally described below, and
          providing for an effective date:
          Being a 20-foot by 20-foot Southwestern Bell Telephone easement out of
          Mines Road Fire Station plat and being out of Porcion 20, Abstract 48,
          Bautista Garcia, original grantee, recorded in Volume 10, Page 40, map
          records of Webb County, Texas.

          Ordinance Introduction: City Council

       5. Ordering and proclaiming a Special City Election to be held on
          Saturday, January 17, 1998, designating polling places, designating
          the Run-Off date, and providing for publication.

          Ordinance Introduction: City Council

       6. Authorizing and allowing, under the act governing the Texas Municipal
          Retirement System, "Updated Service Credits" in said system on an
          annual basis for service performed by qualifying members of such
          system who at the effective date of the allowance are in the
          employment of the City of Laredo; providing for increased prior and
          current service annuities for retirees and beneficiaries of deceased
          retirees of the City; providing for increased municipal contributions
          to the current service annuity reserve at retirement of the employees
          of the City; and establishing an effective date for the ordinance.
          This ordinance will allow for the upgrading of the City's contribution
          to the employees pension plan from the current 7.5% to 10%.

          Ordinance Introduction: City Council

       7. Authorizing the City Manager to execute all necessary documents to
          effectively convey fee simple title to NBC Bank, Laredo N.A.  and
          Sofia Benavides, for the sale of the "Surface Only", at its fair
          market value, of certain city property described as the former south
          one-half section of Jarvis Avenue between Cleveland and Blaine
          Streets.  Said parcel being situated in the Eastern Division of the
          City of Laredo, Webb County, Texas and hereby approving the submitted
          improvement plans which are in compliance with Section 10 of the
          Street Closing/Sales Policy Handbook as approved per Resolution No.
          97-R-140; and providing for an effective date.

          Ordinance Introduction: City Council

       8. Authorizing the City Manager to execute a Lease with Duty Free
          International, Inc. d/b/a UETA of Texas, Inc., for a Specialty Duty
          Free Retail Shop Concession for approximately 1,254 square feet
          constituting suite number 223 on the second (2nd) floor of the airport
          passenger terminal located at 5210 Bob Bullock.  Lease term is for
          five (5) years commencing on the day the new airport passenger
          terminal opens for business and will terminate five (5) years
          thereafter. Minimum annual rent guarantee of $25,000.00 or ten (10%)
          percent of annual gross revenues, whichever is greater.

          Ordinance Introduction: City Council

       9. Authorizing the City Manager to execute a License with The Laredo
          National Bank for a License and Automated Teller Machine Concession
          for approximately 100 square feet in the downstairs lobby area of the
          airport passenger terminal located at 5210 Bob Bullock Loop. License
          term is for five (5) years commencing on the first day the new airport
          passenger terminal opens for business and will terminate five (5)
          years thereafter.  Minimum annual rent guarantee of $7,200.00.

          Ordinance Introduction: City Council

      10. Authorizing the City Manager to execute a License with In-Ter-Space
          Services, Inc. d/b/a/ Interspace Airport Advertising for a License and
          Advertising and Display/Hotel Panel Concession at the new airport
          passenger terminal for the purpose of providing advertising and hotel
          courtesy phones.  License term is for five (5) years commencing on the
          day the new airport passenger terminal opens for business and
          terminating five (5) years thereafter and may be extended for an
          additional five (5) years based on Licensee successfully fulfilling
          the performance criteria. Minimum annual rent guarantee is $1,000.00
          or thirty (30%) percent of annual gross revenues, whichever is
          greater.

          Ordinance Introduction: City Council

      11. Authorizing the City Manager to execute a Lease and Restaurant
          Concession Agreement with Carlos Bella d/b/a Villa Laredo Restaurant
          for approximately 1,116 square feet constituting suite number 101 on
          the first (1st) floor of the airport passenger terminal located at
          5210 Bob Bullock Loop.  Lease term is for five (5) years commencing on
          the first day the new airport passenger terminal opens for business
          and ending five (5) years thereafter. Rent shall be a minimum annual
          guarantee of $16,800.00 plus a performance guarantee in the same
          amount.

          Ordinance Introduction: City Council

  VI.  FINAL READINGS
       Motion to waive the final reading of ordinances #97-O-277, #97-O-278,
       #97-O-279, #97-O-280, #97-O-281, #97-O-282, #97-O-283, #97-O-284, #97-O-
       285, #97-O-286, #97-O-287, #97-O-288, #97-O-289 #97-O-290, #97-O-291,
       #97-O-293, #97-O-294, and #97-O-295.

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

      12. 97-O-277  Authorizing the City Manager to enter into a lease agreement
                    with St. Patrick's Church for the use of Veterans Field to
                    conduct and promote a religious conference.
                    1) Lease term is for 3 (three) days commencing on December
                       12, 1997 and ending December 14, 1997.  2) Total rent
                       will be $3,000.00.
                       (City Council)

                    Motion to approve Ordinance #97-O-277.

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

      13. 97-O-278  Authorizing the issuance of a Special Use Permit for above
                    ground storage of flammable liquids, on Lot 13, Block 2,
                    Tex-Mex Industrial Park, located on the northwest corner of
                    the intersection of Andy Ramos Road and Aguila Azteca Drive.
                    (Jose R. Perez Jr.)

                    Motion to approve Ordinance #97-O-278.

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

      14. 97-O-279  Amending the Zoning Ordinance (Map) of the City of Laredo by
                    rezoning Lots 29, 30, 43, 44, 45, and 46, El Rancho
                    Subdivision, located on the south side of SH 359, east of
                    Wildcat, from R-3 (Mixed Residential District) to B-3
                    (Community Business District).  (Jose R. Perez)

                    Motion to approve Ordinance #97-O-279.

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

      15. 97-O-280  Amending the Zoning Ordinance (Map) of the City of Laredo by
                    authorizing the issuance of a Conditional Use Permit for a
                    pawn shop on Lots 7, 8, 9, and 10, Block 926, Eastern
                    Division, located at 1718 Guadalupe Street.  (Alfonso
                    "Poncho" Casso)

                    Motion to approve Ordinance #97-O-280.

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

      16. 97-O-281  Amending the Zoning Ordinance (Map) of the City of Laredo by
                    rezoning Lot 1, Block 354, Eastern Division, located at 302
                    E. Lyon Street from R-3 (Mixed Residential District) to B-1
                    (Limited Business District). (Jose R. Perez)

                    Motion to approve Ordinance #97-O-281.

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

      17. 97-O-282  Amending the Zoning Ordinance (Map) of the City of Laredo by
                    rezoning Lot 5, Block 665, Eastern Division, located at 1220
                    E. Bustamante Street from R-3 (Mixed Residential District)
                    to B-1 (Limited Business District).  (Eliseo Valdez Jr.)

                    Motion to approve Ordinance #97-O-282.

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

      18. 97-O-283  Amending the Zoning Ordinance (Map) of the City of Laredo by
                    rezoning 6.9741 acres, as further described by metes and
                    bounds, located on Molly Drive, south of Shiloh Drive, from
                    AG (Agricultural District to R-1A (Single Family Reduced
                    Area District).  (Joe A.Guerra)

                    Motion to approve Ordinance #97-O-283.

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

      19. 97-O-284  Amending the Zoning Ordinance (Map) of the City of Laredo by
                    rezoning 2,800 square feet as further described by metes and
                    bounds, located on the west frontage road of I.H. 35, north
                    of the Bob Bullock Loop, from AG (Agricultural District) to
                    B-4 (Highway Commercial District).  (Mario G. Alvarado)

                    Motion to approve Ordinance #97-O-284.

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

      20. 97-O-285  Amending Ordinance No. 97-O-108, Section 1, dated June 16,
                    1997, to add a $10.00 overnight parking fee to the
                    established schedule of fees at the Laredo Transit Center.
                    (City Council)

                    Motion to approve #97-O-285.

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

      21. 97-O-286  Ordinance transferring Restricted Fund Balance to
                    Unrestricted Fund Balance and amending the City of Laredo's
                    FY 1997-1998 Public Access Channel Fund Balance to
                    appropriate from the Unreserved Fund Balance $375,000.00, as
                    a reserve appropriation for the awarding of a contract for
                    the construction of a new Telecommunications Building; and
                    authorizing the City Manager to implement said annual
                    budget.  (City Council)

                    Motion to approve #97-O-286.

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

      22. 97-O-287  Amending the City of Laredo FY 1997- 1998 Annual Budget in
                    the amount of $22,046.00 for a grant awarded by Texas State
                    Library - Major Urban Resource Library (MURL) program for
                    CD-ROM materials for the period beginning October 1, 1997
                    and ending September 30, 1998.  (City Council)

                    Motion to approve #97-O-287.

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

      23. 97-O-288  Amending the City of Laredo FY 1997-1998 Annual Budget in
                    the amount of $17,983.00 for a grant awarded by the
                    University of Texas Health Science Center at San Antonio for
                    the South Texas/Border Region Health Professional Education
                    Initiative for health related materials.  (City Council)

                    Motion to approve Ordinance #97-O-288.

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

      24. 97-O-289  Amending the City of Laredo's 1997-1998 annual budget in the
                    amount of $277,757.00, for the Local Law Enforcement Block
                    Grant from the U.S.  Department of Justice for the first
                    year of funding for this grant for the period of October 1,
                    1997, through September 30, 1999, and authorizing the City
                    Manager to implement said budget.  (City Council)

                    Motion to approve Ordinance #97-O-289.

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

      25. 97-O-290  Approving an amendment of a contract with the Texas
                    Department of Health and two-year budget in the amount of
                    $450,000.00, for the continuation of the Children's Health
                    Insurance pilot Project of the City of Laredo Health
                    Department for the period beginning December 1, 1997,
                    through August 31, 1999; and increase revenue line item 226-
                    0000-323-4074 from $0 to $235,000.00 each fiscal year and
                    expenditure line item 226-6075 from $0 to $225,000.00, each
                    fiscal
                    year.    (City Council)

                    Motion to approve Ordinance #97-O-290.

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

      26. 97-O-291  Approval of an amendment to the contract with the Texas
                    Department of Health and Budget in the amount of
                    $415,388.00, in funds and $31,200.00, in State direct
                    assistance for comprehensive public health services
                    programming of the City of Laredo Health Department for the
                    period beginning September 1, 1997, through August 31, 1998,
                    and increasing revenue line item no. 226-0000-323-4033 from
                    $0 to $415,388.00, and increasing expenditure line item no.
                    226-6067 from $0 to $415,388.00.
                    (City Council)

                    Motion to approve Ordinance #97-O-291.

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

      27. 97-O-293  Approval of an amendment to the contract with the Texas
                    Department Health and Budget in the amount of $11,400.00,
                    for the Border Area Survey facilitated by the City of Laredo
                    Health Department for the period beginning September 1,
                    1997, through August 31, 1998, and increasing revenue line
                    item no. 226-0000-323-4075 from $0 to $11,400.00, and
                    increasing expenditure line item no. 226-6074 from $0 to
                    $11,400.00.  (City Council)

                    Motion to approve #97-O-293.

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

      28. 97-O-294  Approval of an amendment to the contract with the Texas
                    Department Health and Budget in the amount of $125,000.00,
                    and in-kind match of $58,388.00, for the School-Based Health
                    Project of the City of Laredo Health Department for the
                    period beginning September 1, 1997, through August 31, 1998.
                    (City Council)

                    Motion to approve #97-O-294.

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

      29. 97-O-295  Approval of an amendment to the contract with the Texas
                    Department Health and Budget in the amount of $13,000.00,
                    for the Maternal and Child Health Program of the City of
                    Laredo Health Department for the period beginning September
                    1, 1996, through August 31, 1997; and reducing revenue line
                    item no.  336-0000-323-4069 from $121,667.00, to
                    $108,667.00, and reducing expenditure line item no. 226-6043
                    from $121,667.00, to $108,667.00; and increasing revenue
                    line item no. 226-0000-323-4034 from $492,000.00, to
                    $505,000.00, and expenditure line item no. 226-6042 from
                    $492,000.00, to $505,000.00.  (City Council)

                    Motion to approve Ordinance #97-O-295.

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

 VII.  RESOLUTIONS

      30. 97-R-119  Opposing Section 110 of the Illegal Immigration Reform and
                    Immigrant Responsibility Act of 1996 that requires that an
                    automated entry-exit control system be implemented at
                    inspection points as a means of tracing the issuance and
                    expiration of visas and urging state and federal officials,
                    border mayors, trade related organizations, and other
                    interested parties to join with the City in opposing the
                    implementation of this law.

                    Motion to approve Resolution #97-R-119.

                    Moved : Cm. Bruni
                    Second: Cm. Valdez
                    For:  6             Against:  1         Abstain: 0 Cm.
                                        Guerra

      31. 97-R-153  Authorizing the City Manager to enter into an Inter-
                    Jurisdictional Agreement with the communities along the Rio
                    Grande for the purpose of working in partnership to secure
                    the designation of the Rio Grande/Rio Bravo as an American
                    Heritage River.

                    Motion to approve Resolution #97-R-153.

                    Moved : Cm. Bruni
                    Second: Cm. Valdez
                    For:  6             Against:  1         Abstain: 0 Cm.
                                        Guerra

      32. 97-R-154  Reducing the City's health contribution from $151.05 per
                    employee per month to $121.00 per employee per month with an
                    effective date of January 1, 1998. This adjustment in the
                    City's contribution rate will not change the employees'
                    health benefits and will allow the city to increase the city
                    pension contribution rate.

                    Motion to approve Resolution #97-R-154.

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

VIII. MOTIONS

      33. Approval of construction plans and authorization to advertise for bids
          for the extension of a wrought iron fence south along Meadow Avenue at
          the City of Laredo Cemetery. A tentative bid award is scheduled for
          January 5, 1998.

          Motion to approve.

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

      34. Approval of bid specifications and authorization to advertise for bids
          for Roof Repairs to Building J at the Jefferson Street Water Treatment
          Plant. A tentative bid award is scheduled for January 5, 1998.

          Motion to approve.

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

      35. Award of a four month office supply contract to the LOW BIDDER,
          Executive Office Supply, Laredo, Texas, for providing general office
          supplies for all city departments. This contract is based on lowest
          bid submitted for forty-eight general office supply items most
          commonly used by all city departments.  In addition, a percentage
          discount will be offered from the vendor's current catalog for general
          office supplies not specifically listed on the city's bid list. All
          items will be purchased on an as needed basis. A total of four bids
          were received for this contract. The contract pricing is approximately
          3% less than the previous contract.

          Motion to approve.

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

      36. Award of contract to the LOW BIDDER, Sames Motor Co., Laredo, Texas,
          in the amount of $156,800.00, for the purchase of eight, replacement
          police package sedans. Delivery of these vehicles is expected within
          sixty to ninety days and all units will be assigned to the Police
          Patrol division.  A total of two bids were received for this purchase.
          Funding for this purchase is available in the Police Trust Fund
          Budget.  The bid pricing is 2% higher than the previous contract
          pricing.

          Motion to approve.

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

      37. Award of contract to the LOW BIDDER, U.S. Filter, McAllen, Texas, in
          the amount of $45,359.20, for the purchase of the various components
          that are to be utilized for the upgrade of the McPherson Lift Station.
          This lift station collects wastewater from most the developments north
          of Del Mar Boulevard and east of Andrew Lane and pumps it to the North
          Laredo Wastewater Plant. This upgrade will increase the pump capacity.
          A total of two bids were received for this purchase.  Funding is
          available in the Utilities Department -Wastewater Fund.

          Motion to approve.

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

      38. Award of a construction contract to the LOW BIDDER, Ramex Construction
          Company, Inc., Laredo, Texas, in the amount of $205,728.00, for the
          Laredo International Bridge No. 1 Pavement Reconstruction at
          Approaches, Phase I Project. A total of two bids were received for
          this project. Funding is available in the Bridge System Construction
          Project/Import Lot.

          Motion to approve.

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

      39. Approval of amendment no. 1, an increase of $13,750.00, to the
          engineering contract with Foster Engineering Company, Laredo, Texas,
          for Project Resident Inspection Services to include inspection during
          the off-peak hours particularly at night and on weekends for the
          Laredo International Bridge No.  1 Pavement Reconstruction at
          Approaches, Phase I Project. The original construction contract amount
          was $20,401.95. This change order brings the total contract amount to
          $34,151.95.  Funding is available in the Bridge System Construction
          Project/Import Lot.

          Motion to approve.

          Moved : Cm. Bruni
          Second: Cm. Guerra
          For:  6                       Against:  0         Abstain: 1 Cm.
                                                            Guerra

      40. Award of a construction contract to the LOWEST BIDDER, Pete Gallegos
          Paving, Inc., Laredo, Texas, in the amount of $80,850.00 for the
          Construction of Sidewalks at B.P. Newman Elementary School. The
          funding for this construction contract is as follows:
          a) H.B. Zachry Company             $5,500.00
          b) Capital Aggregates, LTD         $2,000.00
          c) Sonat Exploration Company      $15,712.50
          d) United Ind. School Dist.       $25,000.00
          e) City of Laredo                 $32,212.50
                                            $80,850.00
          Motion to approve.

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

      41. Approval of the selection of B.W. Zimmerman & Associates, Harrisburg,
          PA, and authorization to negotiate an engineering contract to provide
          engineering services for the Toll System Upgrade and Electronic Toll
          Collection Implementation to include conceptual plan, design,
          construction implementation, system testing phases for three of the
          existing international bridges and the proposed fourth bridge. Funding
          is available in the Bridge System Construction Project/Toll Plaza
          Improvements.

          Motion to approve.

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

      42. Approval of change order no. 2, an increase of $923.00 for the balance
          of quantities actually constructed in place, acceptance of the Parking
          Lot Improvements for Three Neighborhood Centers (Cigarroa, Northeast-
          Hillside and Tarver) and approval of the final payment in the amount
          of $11,990.51 to Brothers Paving, Laredo, Texas. The original
          construction contract amount was $100,451.60. This change order brings
          the total contract amount to $111,598.10.  Funding is available in the
          Recreation Centers Improvements Other Than Building and in the
          Community Development 22nd Action Year Construction
          Projects/Recreation Centers.

          Motion to approve.

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

      43. Approval of amendment no. 1, an increase of $2,955.00, to the
          engineering contract with Frank Architects, Inc., Laredo, Texas, for
          additional design revisions as required to re-bid the Azteca
          Neighborhood Park and Paving Improvements.  The original engineering
          contract amount was $13,500.00. This change order brings the total
          contract amount to $16,455.00.  Funding is available in the Community
          Development 22nd Action Year C.D. Project Azteca Park.

          Motion to approve.

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

      44. Authorizing the City Manager to submit two grant applications to the
          Texas Department of Health for continuation of the HIV/AIDS Ryan White
          ($265,525.00), along with the Health and Social Services Project
          ($95,483.00), and the Housing Opportunities for Persons with AIDS
          (HOPWA) Project ($70,176.00) of the City of Laredo Health Department.

          Motion to approve.

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

      45. Setting January 5, 1998, as the date for a Public Hearing to receive
          comments on the proposed Land Use Assumptions for the development of
          Water and Sewer Impact Fees; and to introduce an ordinance to adopt
          the Land Use Assumptions.

          Motion to approve.

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

  IX.  CITY MANAGER'S REPORT

      46. Presenting a status report on the progress of the Santa Isabel Water
          Well with possible action.

          Fernando Roman, Utilities Director, stated that the project is almost
          finished, the plant has been started up in a manual mode and is
          producing water, they have been testing and running the computers to
          be in full production.  They are still lacking some training on the
          part of the manufacturer of the main brains, but they are able to run
          the facility automatically or manually so there is the potential of
          producing the water.

          He advised council that they are still working on the request that
          they have from residents of the area for a water point.  The county
          has indicated that they would like to participate when they finish the
          relocation of the original water point from the existing location on
          the Mines Road.  They said that when monies are available they will
          consider funding this project.  He proposed to cost out the project,
          come up with a full proposal as to what it would cost to put up a
          water point, then approach the county with a possible partition of the
          cost so that it can be funded jointly.

      47. Update on the status of the Colonias Facility Plan and financial
          application.

          Fernando Roman stated they have turned all the environmental documents
          to the Historical Commission and the other regulatory agencies, they
          were hoping they would finish the review by December 1st, but they
          have not finished which means that they will go to Finance Committee
          in January.  This would put us in a situation to get the funds in mid
          or latter part of February once the board formally meets somewhere on
          the consent agenda.  He presented the schedule of activities for the
          colonias program as follows, but it is subject to change depending on
          whether they actually go to the Finance Committee or not.

          Dec. 1  Define individual projects from facility plan.
          Dec. 8  Prepare request for proposals and Council Communication for
                  project design and program management.
          Dec. 15 Obtain authorization from Council to issue RFP's
          Jan. 2  Financial application submitted to Texas Water Development
                  Board, once environmental documents are cleared by other
                  agencies.
          Jan. 16 Receive proposals from engineering firm for project design and
                  program management.
          Feb. 2  Select program manager, assign design projects to engineering
                  firms.
          Feb. 19 TWDB awards design and construction funds.
          Mar  2  Council awards engineering contract.
          Jun-Sep Project design completed.
          Aug-Nov Award bids.
          Sep-Dec Construction kick-off.
          Aug99-Dec99 Delivery of services.

      48. Status report regarding the implementation of the City of Laredo's FAR
          PART 150 Airport Noise Compatibility Program.

          Joe Flores, Airport Director, updated Council on what they have been
          doing for the past 30 days.  He stated that on October 28th they met
          with FAA Officials in Washington to request funding for the FAR PART
          150, they are looking at this program that is estimated to cost
          anywhere from $35 million to $50 million when it is finished.  On
          November 20, 1997 staff attended an FAA sponsored "FAR PART 150 Land
          Acquisition Conference" in Orlando Florida.  They are attending
          conferences to learn more about the program, so that when funding does
          happen they will be in a better position to implement the program.
          Information flyers regarding Laredo's FAR PART 150 were mailed to
          noise impacted residents the week of November 24th.  After visiting
          with FAA in Washington and FAA in the Southwest Region Officials, they
          are optimistic that FAA funding will be made available to the City and
          that this may happen within the next three to six months.  It looks
          favorable for the City to secure funding so they can start the
          implementation program.  This is an 80% federal/20% local program.
          They are also working with the Congressional delegation to gain their
          support in helping us with FAA to try to secure the funding.  The
          Congressional Delegation has been very supportive.

          Cm. Bruni questioned if all the flyers have been sent to
          people to the south and east of the airport?   He asked if the
          daytime/nighttime levels have increased?  Also, the health issue on
          the aviation fuels?  Last, he asked for the status on the negotiations
          for the extension of the runway to the north that is on litigation
          right now.

          Mr. Flores answered that the flyers have been sent, the sound levels
          have increase, on the factor of health that is another factor in the
          request for funding to FAA.  Not only are they saying they have
          concerns about noise, but also fuel, smell and vibration of
          structures, it is a total package that hopefully when they do have the
          funding they will start the implementation process and address
          multiple issues.

          Mr. Pena said that on the matter of land acquisition, that matter is
          in litigation and they can place the item at the next council meeting.

          Ms. Marta Garcia spoke before the council complaining about the noise
          from the planes adding that they need help due to the unbearable
          noise.

          Cm. Bruni stated that they had instructed the City Manager to look
          into the possibility of having the tower manned 24-hours a day.  Also,
          the status of the TARDIS System, which is not operating yet.  He wants
          to encourage staff to put this on a fast track, and have
          communications with FAA and with the necessary funding people that
          they need to talk too, to see if we can get some funding as soon as
          possible.  He asked that this item be placed on the first meeting of
          the month so they can have a follow-up.

          Mr. Richard Flynn spoke on noise abatement and said that if noise
          continues it will have an impact on the progress of the city and
          property values will descend.

          Mr. Pena stated that they received 100% funding from the federal
          government to operate the tower, basically the funding is until
          midnight, so between midnight and 8:00 a.m.  there is no coverage.

          Cm. Bruni asked that they get the cost because freight airliners are
          going in there without a tower and he thinks that is an unnecessary
          risk and it should be manned 24-hours a day.  He asked that staff get
          back to council on this issue on the first meeting of the month.

          Joe Flores stated that they have asked FAA to extend the hours on the
          tower, they have been providing them with additional justification
          reports and will get a cost estimate.  In reference to the TARDIS
          System, they have a Memorandum of Understanding that is being
          circulated within FAA for the implementation operation of TARDIS
          System.

      49. Status report regarding the Bridge Task Force Ad Hoc Committee meeting
          held on November 24, 1997.

          Florencio Pena, City Manager, gave the six points recommenda-tions
          from the committee as follows:

          1 - Open Bridge I with the same hours as Bridge II, from 8:00 a.m. to
              12 midnight.
          2 - Extension of Lafayette to connect to Anna Truck Route and
              designate it as a truck route.
          3 - Provide funding for personnel for additional police to provide
              enforcement on IH-35.
          4 - Deletion of Scott Street as a Truck Route.
          5 - Implementation of a staging area at River Drive Mall area with the
              necessary personnel to man the holding truck area.
          6 - Initiate a dialogue with Nuevo Laredo authorities to create a
              remote staging area to reduce congestion at the Nuevo Laredo
              Import Lot.

          George Johnson spoke against using the Lafayette overpass bridge for
          trucks and requested to leave Lafayette as it is.  He turned in a
          petition with 188 signatures in opposition.

          Mr. Luis Landin, Traffic Director, stated they had some dialogue with
          the management of River Drive Mall and was informed that they can
          establish the temporary staging area there to relieve congestion at
          IH-35.

          Cw. Montalvo stated this is a preliminary report, they will be meeting
          on December 10th and will be reviewing all the comments from the
          committee and at that time they will take 90 days to come up with a
          solution and a plan.

          Enrique De La Garza requested from council to leave Scott Street open
          to trucks.

          Michael Landeck stated that the problem is the bottleneck at customs
          in Nuevo Laredo, they are the ones that should remove all these
          problems, we should ask them to increase the number of inspectors,
          increase the number of inspection stations, but most of all, the issue
          of a staging area.  He added that

          we ask the Mexican counterparts to come with a staging area in Nuevo
          Laredo.

          Aldo Tatangelo spoke against opening the Lafayette overpass to truck
          traffic.

   X.  COMMUNICATIONS

    a. Acknowledging the members of the inaugural Laredo Employee Leadership
       Development Program.

          MEMBERS                   DEPARTMENT
          Linda Cantu               Fire
          Arnulfo Cisneros          Tax
          Horacio De Leon           Community Development
          Elizabeth Henry           City Manager's
          Randall Kippenbrock       Public Works
          Alejandro Labrada         Engineering
          Oscar Medina              Public Works
          Adrian Montemayor         Utilities
          Armando R. Moreno         Public Works
          Lynn Nava                 Parks
          Luis Perez-Garcia         Fire
          Ricardo Rangel            Fire
          Berta Rivera              Traffic and Bridge
          Donna Rose                Health
          Elizabeth Trevino         Airport

          Mayor Protem Perez recognized the individuals present while Dan
          Migura, Administrative Services Director, explained the program, the
          projects, and the workshops that these individuals were involved
          during their one year training.

    b. Mayor Protem Perez announced that the official swearing in ceremony for
       the HUD Assistant Secretary for Community Planning and Development, Saul
       N. Ramirez, Jr., will take place on Friday December 19, 1997 at 2:00.
       Official invitations will be mailed out and anyone who is interested in
       attending should call the Mayor's office so she can make reservations and
       secure the lowest possible air fares.  He concluded by saying that it is
       important to have a good standing at this function and encouraged
       Councilmembers and staff members to attend.

    c. Cm. Guerra read a letter addressed to him signed by Melissa L.  Guerra
       concerning an issue that he previously brought to the attention of the
       City Council and the Traffic Director.  Mrs.  Guerra was requesting a
       traffic light for the residents of Belmont Plaza.  She states that it has
       become increasingly difficult to exit the subdivision at peak hours
       (mornings/ evenings) and says that the light should be located at the
       Encino Street exit towards Mann Road.

       Cm. Guerra instructed staff to bring a status report on this traffic
       light for the next meeting.

       Mr. Landin stated they have been studying Encino, they took traffic
       counts, will be getting the results soon and will bring them before City
       Council.

  XI.  CITY COUNCIL DISCUSSION AND PRESENTATION

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

    A.  Requests by Councilmember Louis H. Bruni

       1. Status report regarding all railroad crossings throughout the City,
          with possible action.

          Cm. Bruni stated he has been receiving numerous calls complaining
          about the trains blocking intersections, but also about the quality of
          the intersections themselves.  He noticed that 90% of the
          intersections are very deteriorated, the prefabricated panels are also
          getting deteriorated, and are no longer as smooth as they used to be.
          There is disregard about how Tex-Mex and Union Pacific are meeting
          their corporate obligation to fix these crossings.   He questioned if
          any of the recommendations of the Highway Rail Plan have been
          implemented because there were numerous recommendations made
          concerning light signals and automated gates in several crossings.  He
          wants a status report as to where we are and if there are any
          litigations because the problems are worse and the intersections are
          getting more deteriorated.  He thinks that we need to start dialoguing
          and invite UP and Tex-Mex representatives and have some meaningful
          dialogue with them.  He wants to know what the responsibility of
          Public Works is and how close they can get to the particular rail in
          terms of asphalt and in terms of fixing the pot holes.  Where the
          obligation comes in from Tex-Mex and Union Pacific to fix those
          particular problems?

          Cm. Casso said there was a derailment in his district and wants to
          know what happened because he never got feedback.

          Keith Selman, Planning Director, stated that he met with the railroad
          companies.  He thinks that the meeting was very productive because
          many issues were raised.  He thinks everyone around the table sensed
          and had a feel that there were many crossings that needed to be dealt
          with, some needed to be closed which is where they are right now.  He
          said there will be a Street Closing Committee meeting tomorrow and
          they will address those crossings that were referenced.

          Cm. Bruni added that included in the discussions they suggest other
          alternatives of moving some of the rails west and shifting the hours
          of operation.

          Keith Selman addressed the grade separation on Loop 20 and said that
          is planned to coincide with the construction of the bridge and 3464.

          Florencio Pena, City Manager, pointed out that it is the railroads who
          are responsible to maintain the right-of-ways and we need to get them
          to fix them.

          Joe Guerra, Public Works Director, said they had several meetings with
          railroad representatives from Omaha and they went ahead and fixed
          Sanchez crossing and Zaragoza.  They own 16' from the center of the
          outside track on each side of the tracks, they have 19 tracks, and
          that is their responsibility to fix them.  The city has paved Aldama,
          but it's the railroads responsibility.  He believes that we should not
          pay for that, they use the railroad and they have to maintain them.

          Cm. Bruni instructed staff to tell the railroad companies to fix the
          crossings and that they need to start working with the city.

          Mr. Pena spoke in regards to the derailment, he was told
          that there was a diesel spill and that the Water Utilities Department
          reacted to the call and contained the diesel spill, what caused it he
          cannot say.  He heard that it was a line that had just been repaired.
          He added that they need to set up a meeting every month on an ongoing
          basis with the railroad companies until they have all the issues
          addressed.  They will be meeting with them and will have dialogue with
          them.

       2. Status report regarding the on-going construction on I.H. 35, with
          possible action.

          Cm. Bruni wants to know how long it has been since IH-35 has been in a
          construction mode?  When TxDOT awarded the contract?  To who the
          contract was awarded, and when are they finally going to finish the
          construction?

          Florencio Pena, City Manager, reported that staff will talk to the
          local District Engineer and express council's concerns.

          Cm. Bruni requested a report from staff and a list of every project
          that Price Construction is doing for the city and
          for TxDOT.  He said they are too busy and are asking for a continuance
          on IH-35 and does not think it is proper and fair because it is
          another problem that adds on to the congestion of IH-35.  He added
          that they were granted 60 days, they were supposed to have finished
          the project by December 1st and have not finish.

    B.  Requests by Councilmember Alfonso I. "Poncho" Casso

       1. Discussion and possible action regarding the employee pay raise
          scheduled for April 1998.

          Cm. Casso asked what financial impact it would have on the budget if
          they were to move the pay raise from April to January.

          Florencio Pena, City Manager, reminded council that the pay raise that
          was proposed on the budget is to be funded by salary balances.  They
          have to make certain that they have almost $800,000 in salary balance
          closeouts so that they can pay for the salary increase for this year.
          For next year, the $800,000 has to be paid for because it has to be
          budgeted and $800,000 is equivalent to 1/2 cent taxes.  He mentioned
          as part of the budget that the original bond program provided for a
          .09 cent increase for operations, that has never happened, the opening
          of three new fire station in the next three years.  The opening of a
          fire training facility, the opening of four recreation centers, and
          the opening of the library is going to have an impact equivalent to 2
          1/2 cents of taxes over the next three years.  There has been a need
          to upgrade the pay plan which council did, this year staff has been
          asked and they will be presenting to City Council a plan of efficiency
          improvements in various departments.

          Heberto Ramirez, Budget Officer, said they budgeted 5% for merit
          increases upon anniversary date that totals about $800,000+ when they
          looked at doing the 5%, the 2 1/2% and
          2 1/2% (the last 2 1/2%) is until the next fiscal year.  In doing so
          they were going to have to come up with an additional $1,100,000 to
          cover the pay plan so what they have to do is come up with salary
          savings which they are doing so right now.  If they want to move the 2
          1/2 from April to January it will cost an additional $400,000 over and
          above
          what they are having to come up with already.   He said that the
          salary savings will come about the whole year, come April they are
          going to be short, but they will be making it up as they closeout
          salary balances for the rest of the year.  They will have to monitor
          every month to see if they are on schedule.

          Cm. Casso stated he only wants to make sure that in April we are going
          to meet the 2 1/2% increase.

       2. Discussion and possible action regarding the salary structure for the
          Laredo Police Department.

          Cm. Casso said he had spoken to Police Chief Dovalina about hiring
          more college educated officers and he had answered some of the
          questions he had.  He understands we have a program that reimburses
          tuition if they continue to go to school and pay them more if they
          have a college degree.  He wants to know how we are doing in terms of
          loosing officers to INS and Customs and if those figures have gone
          down.  We were loosing many officers, obviously we were nothing more
          than a training ground for other different agencies, has it tapered
          down or not?

          Chief Dovalina replied that, yes, it has tapered down, they have lost
          four or five officers in the last year as opposed to previous years
          when they lost up to 10-15 officers at once to Customs, INS, and
          Border Patrol.

          Cw. Moreno wants a count of how many officers have a college degree
          and how it compares to last year and the year before.

          Cm. Casso asked what is it that they are going to need for next year
          so they start looking at it right now.  Instead of waiting until
          October, 1998 in terms of what we are going to do to keep up with the
          population growth, because we are behind in the number of officers we
          have.  He wants a plan to be brought forth plus information on what
          Cw. Moreno's request to see what the cost will be.  He wants
          recommend-ations because council wants to beef up the Police
          Department and at the same time raise the standards level and make
          sure that we do not loose officers to other agencies.

    C.  Requests by Councilmember Joe A. Guerra
       1. Presentation by Ale Arreguin on matters concerning hiring practices,
          and the type and level of services being provided by the Building
          Services Department, with possible action.

          Alex Arreguin, representing the Property Owners Defense League, stated
          that the homeowners have not received first class service from the
          city.  As an example, there is an inspector who had no experience in
          any particular field and we are getting second and third rate service
          due to lack of qualifications.  The City has to fix these
          requirements, we won't get those qualified because we are not paying
          enough and people that qualify make more money working on the outside.
          A solution is to take the building inspectors out of the city budget,
          they city would save about $500,000 a year.  The other option is if
          the salaries are raised up which means that they have to add close to
          $200,000.00 to the budget.  Whereas now, the city has to spend the
          $500,000.00 and needs to add another $200,000.00 to attract qualified
          individuals.  He added that if the city does it the way the Federal
          Government and the State is doing the same thing that the city is
          doing as far as construction inspections, they are spending zero
          dollars to do the service.  He added that the state also practices
          these services and this concept, if it works fine for both entities at
          no cost to them and no cost to taxpayers, yet we are doing the same
          service costing us $500,000.00 whereas if it is done as the state and
          federal government does it you end up saving money and the taxpayers
          get better service.   He suggested that an Ad Hoc Committee be setup
          to lay a foundation for this method to be brought back to council for
          approval so that they can start saving monies and wants council to
          support this idea.

          Florencio Pena, City Manager, said that staff will continue to meet
          with Mr. Arreguin and if an agreement is reached then we will come
          back to council for implementation.  We are in compliance with state
          laws, with our ordinance, the inspectors are doing their job, he
          personally has not heard any complaints, they have been meeting
          regularly with the Builders Association to make certain that we are
          providing the best service possible.  The issue that possibly merits
          some discussion is the idea of privatizing, as they have been
          discussing privatizing many other functions.  They will compare,
          review and if feasible, the council is taking the position that if it
          is something they can do they will investigate it.

          Motion to send Mr. Arreguins recommendations to the Ordinance Review
          Committee for review and recommendations.

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

    D.  Requests by Councilmember Mario G. Alvarado

       1. Presentation by George Johnson on the annual migration of Paisanos
          passing south through the Laredo Ports during the holiday and the
          economic boost which they provide for the local economy, with possible
          action.

          Mr. George Johnson said he is a business person along the IH-35
          corridor and wanted to remind council of the large number of Paisanos
          going into Mexico and back to the U.S.
          He asked that we allow the paisanos to come into Laredo and perhaps
          with the cooperation of the City Traffic Department the merchants can
          then direct them out to the Colombia Bridge.  He asked they do not
          place signs or flashing billboards telling them not to come into town.
          What we want to do is welcome them, we want them to come in, because
          we need the influx of business at this time of the year.  He asked
          that they not be routed around Laredo and asked for some assistance on
          welcoming them.

          Larry Dovalina stated that there is a committee that will be meeting
          on Wednesday to deal with this situation that Mr.  Johnson is talking
          about.

       2. Request by the Laredo Summit Executive Committee for City funds to
          help cover the costs of conference materials and expenses for the
          South Texas International Summit scheduled for January 8 & 9, 1997.

          Jose Luis Gutierrez, from Communities In Schools, asked for financial
          assistance from the council.

          Motion to authorize the City Manager to provide funding in the amount
          of $10,000 from the Parks & Recreation Budget, figure out the
          mechanics as to how it will be done, to negotiate whether there is
          need for a contract and to work out the details for providing the
          $10,000.

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

    E.  Requests by Councilmember Consuelo "Chelo" Montalvo

       1. Acknowledging the hard work and commitment put forth by the Vietnam
          Memorial Wall Steering Committee members.

          Cw. Montalvo publicly thanked different institutions that contributed
          to the memorial wall on November 11th as follows: Laredo National
          Bank, City of Laredo, Frank Vida, International Bank of Commerce,
          Southwest Motor Transport, Laredo Chamber of Commerce, LareDos, The
          Haynes Family, American GI Forum, Laredo Vet Center, Laredo/County
          Sheriff's Department, El Ma¤ana, KBDR, The Laredo Morning Times, and
          Laredo Independent School District.

          Cw. Montalvo proceeded to thank and present awards to Vietnam Veterans
          as follows:  Virgil Haynes, Conrado Hein, Jr., J.J.  Haynes, Sheriff
          Juan Garza, Bill Swisher, Andy Cobos, John Puig, Frank Vida, Guillermo
          Castillo, Ramiro Rodriguez, Elmer Buckley, Jose M. Martinez, Luis
          Landin, Larry Dovalina, Felix Garcia, Jorge Haynes, J.C. Martinez,
          Lucy Cardenas, Eloy Ramirez, Jr., M. Guerra, Abdalio Guerrero, Marcos
          Alvarado, and Joaquin Romero, Jr.

 XII.  PUBLIC HEARINGS

      51. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 265.2185 acres, located in
          Porcion 33, Abstract 84, as further described by metes and bounds,
          specifically the Garcia Tract, providing for the effective date of the
          ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

                       INTRODUCTION OF AN ORDINANCE
          Altering and extending the boundary limits of the City of Laredo,
          annexing additional territory of 265.2185 acres, located in Porcion
          33, Abstract 84, as further described by metes and bounds,
          specifically the Garcia Tract, providing for the effective date of the
          ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

          Motion to open the public hearing.

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

          Keith Selman, Planning Director, made the presentation.

          Edward Garza, Crane Engineering, presented a site plan to the council
          on the development of the 265.2185 acres.  They feel that because they
          are adhering to the current City of Laredo Long Range Plan they think
          that an AG zone is appropriate.

          Motion to close the public hearing and introduce the ordinance as R-1
          and as recommended by staff.

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

          Ordinance Introduction: City Council

      52. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 61.7122 acres, located in
          Porcion 31 as further described by metes and bounds, specifically the
          Highway 359 Tract, providing for effective date of the ordinance,
          adopting a Service Plan for the annexed territory, and establishing
          the initial zoning.

                      INTRODUCTION OF AN ORDINANCE
          Altering and extending the boundary limits of the City of Laredo,
          annexing additional territory of 61.7122 acres, located in Porcion 31
          as further described by metes and bounds, specifically the Highway 359
          Tract, providing for effective date of the ordinance, adopting a
          Service Plan for the annexed territory, and establishing the initial
          zoning.  Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the ordinance.

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

          Ordinance Introduction: City Council

      53. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 484.7607 acres, located in
          Porciones 31 and 32 as further described by metes and bounds,
          specifically the Highway 359/Landfill Tract, providing for the
          effective date of the ordinance, adopting a Service Plan for the
          annexed territory, and establishing the initial zoning.

                      INTRODUCTION OF AN ORDINANCE
          Altering and extending the boundary limits of the City of Laredo,
          annexing additional territory of 484.7607 acres, located in Porciones
          31 and 32 as further described by metes and bounds, specifically the
          Highway 359/Landfill Tract, providing for the effective date of the
          ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

          Motion to open the public hearing.

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

          Keith Selman, Planning Director, made the presentation.

          Ron Whitehawk, representing Frank Leyendecker, presented a petition to
          the Mayor and City Council with four (4) signatures opposing the
          annexation pending annexation of their property into the city limits
          for the following reasons:
          1. The taxes on our properties will be increased with no increase of
             practical benefit to our businesses.  This increase in taxes will
             cause an economic strain on our businesses, especially since it was
             not anticipated, and therefore not budgeted for.
          2. We will be subject to City rules and regulations on our properties,
             which was the reason we chose to locate our businesses outside of
             the City limits.
          They therefore ask the City Council to enter into a contract with
          them, so that they may remain outside of the city limits for the next
          three years.  This period of time will give them an opportunity to
          prepare financially and operationally for annexation.

          He said that the positives do not exist, the three properties in
          particular, Trans Texas, Leyendecker Oil and Airwell are existing
          developed industrial sites, they asked that staff change in the
          recommendation to council that Airwell and Leyendecker Oil come in as
          M-1 properties if they are to be annexed.  They also ask on behalf of
          Trans Texas that the same courtesy be extended to them since they are
          an existing operation located immediately next to Leyendecker Oil.
          He added that the petition asks that a grace period be extended to
          these properties so they can adjust their budgets so they will not be
          faced with city taxes, city regulations, and they can come into the
          city in a more gradual phase with enough time where they can adjust
          their operations and adjust their own budgets so they can absorb the
          cost of being part of the city.

          Frank Leyendecker said he owns 10 acres and that they will be burdened
          and will take them several years to make the adjustment.

          Ron Whitehawk asked who is going to get the M-1, because when it was
          introduced Trans Texas was not scheduled to get an M-1.

          Mr. Selman stated that they have been made aware and apparently are
          aware that they can make application for rezoning without any fees or
          anything within 60 dyas of annexatioon

          Motion to close the public hearing and introduce the ordinance with
          the M-1 consideration.

          Moved : Cw. Moreno
          Second: Cw. Montalvo
          For:  3                       Against:  2         Abstain:  2
          Cm. Casso                     Cm. Guerra          Cm. Valdez
          Cw. Moreno                    Cm. Alvarado        Cm. Bruni Cw.
          Montalvo

          Ordinance Introduction: Cw. Moreno

      54. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 4.6808 acres, located in
          Porcion 31, as further described by metes and bounds, specifically the
          Haynes Tract, providing for the effective date of the ordinance,
          adopting a Service Plan for the annexed territory, and establishing
          the initial zoning.

                       INTRODUCTION OF AN ORDINANCE
          Altering and extending the boundary limits of the City of Laredo,
          annexing additional territory of 4.6808 acres, located in Porcion 31,
          as further described by metes and bounds, specifically the Haynes
          Tract, providing for the effective date of the ordinance, adopting a
          Service Plan for the annexed territory, and establishing the initial
          zoning.

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the ordinance.

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

          Ordinance Introduction: City Council

      55. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 89.2252 acres, located in
          Porciones 31 and 32, as further described by metes and bounds,
          specifically the Southern Development Tract, providing for the
          effective date of the ordinance, adopting a Service Plan for the
          annexed territory, and establishing the initial zoning.

                      INTRODUCTION OF AN ORDINANCE
          Altering and extending the boundary limits of the City of Laredo,
          annexing additional territory of 89.2252 acres, located in Porciones
          31 and 32, as further described by metes and bounds, specifically the
          Southern Development Tract, providing for the effective date of the
          ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the ordinance.

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

          Ordinance Introduction: City Council

      56. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 35.1439 acres, located in
          Porciones 36 and 37, as further described by metes and bounds,
          specifically the Newman Tract, providing for the effective date of the
          ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

                       INTRODUCTION OF AN ORDINANCE
          Altering and extending the boundary limits of the City of Laredo,
          annexing additional territory of 35.1439 acres, located in Porciones
          36 and 37, as further described by metes and bounds, specifically the
          Newman Tract, providing for the effective date of the ordinance,
          adopting a Service Plan for the annexed territory, and establishing
          the initial zoning.

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the ordinance.

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

          Ordinance Introduction: City Council

      57. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 23.904 acres, located in
          Porcion 32, Abstract 296, as further described by metes and bounds,
          specifically the Ramos Tract, providing for the effective date of the
          ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

                       INTRODUCTION OF AN ORDINANCE
          Laredo, annexing additional territory of 23.904 acres, located in
          Porcion 32, Abstract 296, as further described by metes and bounds,
          specifically the Ramos Tract, providing for the effective date of the
          ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

          Motion to open the public hearing.

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

          Ron Whitehawk, representing Dr. Oscar Ramos, spoke in favor of the
          zone change request.

          Motion to close the public hearing and introduce the ordinance.

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

          Ordinance Introduction: City Council

      58. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 15.7203 acres, located in
          Porcion 28, Abstract 24, and Porcion 29, Abstract 3086 as further
          described by metes and bounds, specifically the Killam/Loop 20 Tract,
          providing for the effective date of the ordinance, adopting a Service
          Plan for the annexed territory, and establishing the initial zoning.

                       INTRODUCTION OF AN ORDINANCE
          Altering and extending the boundary limits of the City of Laredo,
          annexing additional territory of 15.7203 acres, located in Porcion 28,
          Abstract 24, and Porcion 29, Abstract 3086 as further described by
          metes and bounds, specifically the Killam/Loop 20 Tract, providing for
          the effective date of the ordinance, adopting a Service Plan for the
          annexed territory, and establishing the initial zoning.

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the ordinance.

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

          Ordinance Introduction: Cm. Bruni

      59. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 362.173 acres, located in
          Porcion 12, Abstract 278, Porcion 13, Abstract 51, and Porcion 14,
          Abstract 56 as further described by metes and bounds, specifically the
          Unitec Industrial Park Tract, providing for the effective date of the
          ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

                       INTRODUCTION OF AN ORDINANCE
          Altering and extending the boundary limits of the City of Laredo,
          annexing additional territory of 362.173 acres, located in Porcion 12,
          Abstract 278, Porcion 13, Abstract 51, and Porcion 14, Abstract 56 as
          further described by metes and bounds, specifically the Unitec
          Industrial Park Tract, providing for the effective date of the
          ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the ordinance.

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

          Ordinance Introduction: Cm. Guerra

      60. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 8.0044 acres, located in
          Porcion 22, Abstract 277, as further described by metes and bounds,
          specifically the Salinas Tract, providing for the effective date of
          the ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

                       INTRODUCTION OF AN ORDINANCE
          Altering and extending the boundary limits of the City of Laredo,
          annexing additional territory of 8.0044 acres, located in Porcion 22,
          Abstract 277, as further described by metes and bounds, specifically
          the Salinas Tract, providing for the effective date of the ordinance,
          adopting a Service Plan for the annexed territory, and establishing
          the initial zoning.

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the ordinance.

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

          Ordinance Introduction: Cm. Bruni

      61. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 8.0669 acres, located in
          Porcion 23, Abstract 283, as further described by metes and bounds,
          specifically the Izaguirre Tract, providing for the effective date of
          the ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

                       INTRODUCTION OF AN ORDINANCE
          Altering and extending the boundary limits of the City of Laredo,
          annexing additional territory of 8.0669 acres, located in Porcion 23,
          Abstract 283, as further described by metes and bounds, specifically
          the Izaguirre Tract, providing for the effective date of the
          ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

          Motion to open the public hearing.

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

          Keith Selman, Planning Director, stated that the applicant has
          requested a non-dedication and he assumes that it is park space
          although they do not specify park space.  He said that if the
          applicant is not prepared to dedicate park space, that staff does not
          recommend that the property be annexed.  You cannot impose the
          provision on them if they don't agree to it and they do not recommend
          favorably to the annexation of the tract, if the property owner is not
          willing to dedicate a park space during the development phase.

          Ron Whitehawk, representing Tomas Izaguirre, was requesting that they
          come as an R-1A as opposed to R-1.  The piece of property is less than
          eight (8) acres, it is badly shaped, it is less than 200 ft. wide and
          about 14 feet long, the only way the property can be developed is with
          a strip down the middle and a cul-de-sac at the end of that street,
          the property to the immediate south is already developed and platted.
          The ability to get across street is not there, the only thing he can
          do is run a cul-de-sac street down the middle.  That is a platting
          issue, not an annexation issue.  They are asking that council not
          impose a park dedication requirement or a fee requirement.  The basis
          for the appeal that there not be that park dedication or monetary
          equivalent is because the property is too small, it is less than eight
          acres, it would only be 1/2 an acre park land required, and that will
          not be a serviceable park to the city.

          They are asking that he be relieved of the obligation and duty to
          provide 1/2 an acre or monies in lieu of 1/2 park land and that he be
          allowed to come in an R-1A which would give him more flexibility as
          far as laying out a subdivision design, the depth of the land on
          either side is not going to meet the city normal requirements and he
          would have to ask for
          variances.

          Motion to close the public hearing, introduce the ordinance as
          presented by staff and Planning & Zoning Commission, go with the
          annexation process and let the applicant work out the details with
          staff on the park land dedication and bring back to council for final
          reading.

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

          Ordinance Introduction: Cm. Guerra

      62. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 190.6392 acres, located in
          Porciones 13, 14, 15, and 16 as further described by metes and bounds,
          specifically the I.H. 35 Tract, providing for the effective date of
          the ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

                       INTRODUCTION OF AN ORDINANCE
          Altering and extending the boundary limits of the City of Laredo,
          annexing additional territory of 190.6392 acres, located in Porciones
          13, 14, 15, and 16 as further described by metes and bounds,
          specifically the I.H. 35 Tract, providing for the effective date of
          the ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the ordinance.

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

          Ordinance Introduction: Cm. Guerra

      63. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 181.2177 acres, located in
          Porcion 19, Abstract 47, and Porcion 20, Abstract 48  as further
          described by metes and bounds, specifically the Bridge IV Tract,
          providing for the effective date of the ordinance, adopting a Service
          Plan for the annexed territory, and establishing the initial zoning.

                       INTRODUCTION OF AN ORDINANCE
          Altering and extending the boundary limits of the City of Laredo,
          annexing additional territory of 181.2177 acres, located in Porcion
          19, Abstract 47, and Porcion 20, Abstract 48 as further described by
          metes and bounds, specifically the Bridge IV Tract, providing for the
          effective date of the ordinance, adopting a Service Plan for the
          annexed territory, and establishing the initial zoning.

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the ordinance.

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

          Ordinance Introduction: Cm. Alvarado

      64. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 10.6253 acres, located in
          Porcion 18, Abstract 21, and Abstract 591 as further described by
          metes and bounds, specifically the Killam Industrial Park Tract,
          providing for the effective date of the ordinance, adopting a Service
          Plan for the annexed territory, and establishing the initial zoning.

                       INTRODUCTION OF AN ORDINANCE
          Altering and extending the boundary limits of the City of Laredo,
          annexing additional territory of 10.6253 acres, located in Porcion 18,
          Abstract 21, and Abstract 591 as further described by metes and
          bounds, specifically the Killam Industrial Park Tract, providing for
          the effective date of the ordinance, adopting a Service Plan for the
          annexed territory, and establishing the initial zoning.

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the ordinance.

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

          Ordinance Introduction: Cm. Alvarado

      65. Public hearing altering and extending the boundary limits of the City
          of Laredo, annexing additional territory of 17.8736 acres, located in
          Porcion 19, Abstract 591, as further described by metes and bounds,
          specifically the Hurd Tract, providing for the effective date of the
          ordinance, adopting a Service Plan for the annexed territory, and
          establishing the initial zoning.

                       INTRODUCTION OF AN ORDINANCE
          Altering and extending the boundary limits of the City of Laredo,
          annexing additional territory of 17.8736 acres, located in Porcion 19,
          Abstract 591, as further described by metes and bounds, specifically
          the Hurd Tract, providing for the effective date of the ordinance,
          adopting a Service Plan for the annexed territory, and establishing
          the initial zoning.

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the ordinance.

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

          Ordinance Introduction: Cm. Alvarado

      66. Public hearing concerning the application by Fasken Estate, Norbert
          Dickman amending the Zoning Ordinance (Map) of the City of Laredo by
          rezoning 2,800 square feet as further described by metes and bounds
          located on the west frontage road of IH-35, north of the Bob Bullock
          Loop, from AG (Agricultural District) to B-4 (Highway Commercial
          District).  The Planning and Zoning Commission recommends approval of
          this zone change.

                       INTRODUCTION OF AN ORDINANCE
          Amending the Zoning Ordinance (Map) of the City of Laredo by rezoning
          2,800 square feet as further described by metes and bounds located on
          the west frontage road of IH-35, north of the Bob Bullock Loop, from
          AG (Agricultural District) to B-4 (Highway Commercial District).

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the ordinance.

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

          Ordinance Introduction: Cm. Alvarado

      67. Public hearing approving an amendment to the contract with the Texas
          Department of Health and Budget revision in the amount of an
          additional $26,837.00, for the Immunization Action Plan Project of the
          City of Laredo Health Department for the period beginning January 1,
          1997, through December 31, 1997.

                       INTRODUCTION OF AN ORDINANCE
          Approving an amendment to the contract with the Texas Department of
          Health and Budget revision in the amount of an additional $26,837.00,
          for the Immunization Action Plan Project of the City of Laredo Health
          Department for the period beginning January 1, 1997, through December
          31, 1997; and revenue line item 226-0000-323-4056 from $123,696.00 to
          $150,533.00, and expenditure line item 226-6058 from $123,696.00 to
          $150,533.00.

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the ordinance.

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

          Ordinance Introduction: City Council

XIII.  MOTION TO RECESS AND CONVENE AS THE LAREDO MUNICIPAL HOUSING CORPORATION
       Motion to recess as City Council and convene as The Laredo Municipal
       Housing Corporation.

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

      68. 97-RMH-152  Approval of Program Guidelines for the implementation of
                      the Laredo Municipal Housing Corporation Lease/Purchase
                      Program. These guidelines include program requirements
                      governing eligibility for participants to become
                      homeowners after completing home buyer's education and
                      credit counseling.

                      Motion to approve.

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

      69. Award of contracts and amounts to the following low bidders for the
          construction of fifty (50) affordable homes under the Laredo Municipal
          Housing Corporation (LMHC) Lease/Purchase Program in the Riverhills
          Subdivision, Unit I.


        Firm                     Trade                     Amount
   1) MG Builders          Grading and Concrete          $  375,030.00 2)
   Evergreen
       Landscaping         Landscaping                   $   21,565.00 3)
   Quiroga
       Construction        Brick                         $  186,576.00
   4) E.Q. Construction    Carpentry and Roofing         $  667,281.00
   5) E.Q. Construction    Cabinets                      $   72,446.00
   6) MG Builders          Gypsum/Insulation             $  108,063.00 7) Rio
   Grande Floor
       Covering            Flooring                      $   57,596.00
   8) Manfred Homes        Paint                         $   83,710.00
   9) Gil Soto Homes Inc.  Clean-up                      $    8,750.00 10)
  Sunbelt Air
       Conditioning, Inc.  HVAC                          $  107,700.00 11) J.M.
  General
       Construction        Electrical                    $  111,574.00 12)
  Orozco's Plumbing
       and Sons            Plumbing                      $  194,250.00
          TOTAL                                          $1,994,541.00

          Motion to approve.

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

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

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

 XIV.  ADJOURNMENT

          Motion to adjourn.

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

          Adjournment time: 9:20 p.m.

I HEREBY CERTIFY THAT THE ABOVE MINUTES CONTAINED IN PAGES 01 TO 42
ARE TRUE, COMPLETE, AND CORRECT PROCEEDINGS OF THE REGULAR CITY COUNCIL MEETING
HELD ON THE 1ST DAY OF DECEMBER, 1997.  A CERTIFIED COPY IS ON FILE AT THE CITY
SECRETARY'S OFFICE.


                                  ________________________
                                   GUSTAVO GUEVARA, JR.
                                   CITY SECRETARY