CITY OF LAREDO
                          CITY COUNCIL MEETING

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

                                MINUTES

      M97-R-42                                  DECEMBER 15, 1997

   I.  CALL TO ORDER

       With a 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
       JERRY BRUCE CAIN,     CITY ATTORNEY

  IV.  APPROVAL OF MINUTES

       2. City Council Meeting of November 3, 1997
          City Council Meeting of November 17, 1997

          Motion to approve.

          Moved : Cw. Montalvo
          Second: Cm. Valdez
          For:  6                       Against:  0         Abstain:  0

          Cm. Casso was not present.
          Cm. Casso joined the meeting at 5:35 p.m.

   V.  INTRODUCTORY ORDINANCES

       3. Authorizing the City Manager to execute a Lease and Specialty Retail
          Gift Shop Concession Agreement with Jesus Garcia & Associates for
          approximately 1556 square feet constituting Room 222 at the new
          airport passenger terminal located at 5210 Bob Bullock.  Lease term is
          for five (5) years. Rent includes a minimum annual guarantee of
          $8,400.00 or 10% of annual gross sales of merchandise, whichever is
          greater.

          Ordinance Introduction: City Council

       4. Authorizing the City Manager to execute an amendment to the lease
          agreement approved by Ordinance No. 93-O-029 dated March 1, 1993, with
          International Bank of Commerce and Sanchez O'Brien Oil and Gas
          Corporation, a joint venture, as Lessee, for the purpose of allowing
          Lessee to sublease its leased premises. Leased premises consist of
          approximately 26,965 square feet of land which includes 12,000 square
          feet constituting of the west portion of Hangar No. 1309 located at
          4015 North Jarvis Avenue. Lease term is for ten (10) years commencing
          March 1, 1993 and ending February 28, 2003 and may be extended for one
          (1) term of eight (8) years and two (2) months ending on April 30,
          3022. Current monthly rent is $1,338.84 and is adjusted annually
          according to changes in the Consumer Price Index and further adjusted
          by fair market appraisal on the 10th anniversary.

          Ordinance Introduction: City Council

       5. Closing as a public easement that section of the 2100 block of Hidalgo
          Street between Santa Isabel and Eagle Pass Avenues, situated in the
          Western Division, City of Laredo, Webb County, Texas and reserving the
          entire above mentioned property as a utility easement and approving
          the improvement plan whereby the Union Pacific Railroad Company has
          agreed to provide, install and maintain the improvements for the
          elimination of any and all indications that said property was
          previously a street at no cost to the City and providing for an
          effective date.

          Mr. Manuel T. Longoria who resides two blocks on the west side of
          Hidalgo spoke against the closing of the street because it would harm
          the value of his property.

          Ordinance Introduction: City Council

       6. Closing as a public easement that intersection of Gonzalez Street and
          Eagle Pass Avenue situated between the 2100 block and 2200 block of
          Gonzalez Street, situated in the Western Division, City of Laredo,
          County of Webb, Texas and upon closing of said street the City of
          Laredo will retain the entire property as a utility easement and
          hereby approving the Improvement Plan whereby the Union Pacific
          Railroad Company has agreed to provide, install and maintain the
          improvements for the elimination of any and all indications that said
          property was previously a street at no cost to the City and providing
          for an effective date.

          Ordinance Introduction: City Council

          Motion waive the regular order of business and move up items X-(a), X-
          (b), X-(d) Employee of the Year, X-(e) extra holidays, X-(f)
          presentation by Leroy Morin on the closing of certain streets, #66,
          B(1), #63, #82 and C-(1).

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

  VI.  FINAL READINGS

       Motion to waive the final reading of ordinances #97-O-296, #97-O-297,
       #97-O-298, #97-O-299, #97-O-300, #97-O-301, #97-O-302, #97-O-303, #97-O-
       304, #97-O-305, #97-O-306, #97-O-307, #97-O-308, #97-O-309, #97-O-310,
       #97-O-311, #97-O-312, #97-O-313, #97-O-314, #97-O-315, #97-O-316, #97-O-
       317, #97-O-318, #97-O-319, #97-O-320, and #97-O-321.

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

       7. 97-O-296  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.  (City Council)

                    Motion to approve Ordinance #97-O-296.

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

       8. 97-O-297  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.  (City Council)

                    Motion to approve Ordinance #97-O-297.

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

       9. 97-O-298  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.
                    (City Council)

                    Motion to approve Ordinance #97-O-298.

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

      10. 97-O-299  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%.  (City
                    Council)

                    Motion to approve Ordinance #97-O-299.

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

      11. 97-O-300  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.  (City Council)

                    Motion to approve Ordinance #97-O-300.

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

      12. 97-O-301  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.
                    (City Council)

                    Motion to table.

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

      13. 97-O-302  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.
                    (City Council)

                    Motion to table.

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

      14. 97-O-303  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.
                    (City Council)

                    Motion to approve Ordinance #97-O-303.

                    Moved : Cm. Casso
                    Second: Cw. Montalvo
                    For:  7             Against:  0         Abstain:  0 15. 97-
      O-304  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.
                    (City Council)

                    Motion to approve Ordinance #97-O-304.

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

      16. 97-O-305  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.  (City Council)

                    Motion to approve Ordinance #97-O-305.

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

      17. 97-O-306  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.  (City Council)

                    Motion to approve Ordinance #97-O-306.

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

      18. 97-O-307  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.
                    (Cecilia May Moreno)

                    Motion to amend the ordinance to exclude two tracts, the
                    Leyendecker Oil and the Airwell tracts and that the area
                    north of the highway be amended to compensate for said
                    omission on the south side.

                    Moved : Cm. Guerra

                    Jaime Flores, City Attorney, clarified if this is to amend
                    the ordinance to lessen the area of annexation?

                    Keith Selman, Planning Director, stated what he understands
                    by the motion is to take out portion and add it to the
                    northern side, so that they retain the 1,000 feet as it is
                    required under the local government code.

                    Mr. Pena stated that the introduction and public hearing was
                    held on the exact boundaries, the public hearings had the
                    exact metes and bounds and survey was done by the staff.  He
                    added that state law permits the removal of areas from
                    annexation, but to add they would have to initiate the
                    annexation process again, do public hearings, conduct
                    surveys, go back to introduction of the ordinance.  He said
                    they cannot add to that annexation without going through the
                    due process and holding public hearings.

                    Mr. Flores explained that Cm. Guerra was not on the
                    prevailing side of first reading, one of the votes that was
                    against the matter of the motion would have to be by one
                    Councilmember on the prevailing side.

                    There was no motion made from the prevailing side.

                    Dies for lack of a motion.

                    Motion to approve Ordinance #97-O-307.

                    Moved : Cm. Casso
                    Second: Cw. Montalvo
                    For:  5             Against:  0         Abstain:  2 Cm.
                                                            Bruni Cm. Valdez

      19. 97-O-308  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.
                    (City Council)

                    Motion to approve Ordinance #97-O-308.

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

      20. 97-O-309  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.
                    (City Council)

                    Motion to approve Ordinance #97-O-309.

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

      21. 97-O-310  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.  (City Council)

                    Motion to approve Ordinance #97-O-310.

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

      22. 97-O-311  Ordinance 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.  (City Council)

                    Motion to approve Ordinance #97-O-311.

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

      23. 97-O-312  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.
                    (Louis H. Bruni)

                    Motion to approve Ordinance #97-O-312.

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

      24. 97-O-313  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.  (Joe A.
                    Guerra)

                    Motion to approve Ordinance #97-O-313.

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

      25. 97-O-314  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.  (Louis H. Bruni)

                    Motion to approve Ordinance #97-O-314.

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

      26. 97-O-315  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.  (Joe A. Guerra)

                    Keith Selman, Planning Director, stated for the record that
                    the applicant states that in the event it gets to the final
                    reading, they agree to it and has conceded to the point on a
                    voluntary basis if in fact council takes that action.

                    Motion to approve the Izaguirre Tract be annexed into the
                    city limits as a R-1A zone tract and that the service plan
                    for this tract be amended to not require park land
                    dedication or a fee instead of a park land dedication.

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

      27. 97-O-316  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.
                    (Joe A.  Guerra)

                    Motion to approve Ordinance #97-O-316.

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

      28. 97-O-317  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.
                    (Mario G. Alvarado)

                    Motion to approve Ordinance #97-O-317.

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

      29. 97-O-318  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.
                    (Mario G. Alvarado)

                    Motion to approve Ordinance #97-O-318.

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

      30. 97-O-319  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 esta-blishing
                    the initial zoning. (Mario G. Alvarado)

                    Motion to approve Ordinance #97-O-319.

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

      31. 97-O-320  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).
                    (Mario G. Alvarado)

                    Motion to approve Ordinance #97-O-320.

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

      32. 97-O-321  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.  (City Council)

                    Motion to approve Ordinance #97-O-321.

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

 VII.  RESOLUTIONS

      33. 97-R-156  Directing publication of Notice of Intention To Issue City
                    of Laredo, Texas Combination Tax and Sewer Revenue
                    Certificates of Obligation Series 1998, in the principal
                    amount of $6,500,000.00 for the purpose of paying all or a
                    portion of the City's contractual obligations for
                    improvements and extensions to the City's sewer system, and
                    acquisition of land in connection therewith, and for paying
                    legal, fiscal, and engineering fees in connection with this
                    project.

                    Motion to approve Resolution #97-R-156.

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

      34. 97-R-157  Directing publication of Notice of Intention To Issue City
                    of Laredo, Texas Combination Tax and Sewer Revenue
                    Certificates of Obligation Series 1998, in the principal
                    amount of $16,500,000.00 for the purpose of paying all or a
                    portion of the City's contractual obligations for the
                    construction of drainage improvements; construction of
                    street improvements and repairs; construction of a new
                    Public Works Building; repairing and remodeling the
                    Canizalez Gym, Old Library Building, and Municipal Court
                    Building; acquisition of municipal vehicles and equipment
                    for municipal departments, together with a landfill
                    collection system, and the acquisition of land for a
                    municipal landfill, and for paying legal, fiscal,
                    architectural and engineering fees in connection with such
                    projects.

                    Motion to approve Resolution #97-R-157.

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

      35. 97-R-158  Authorizing the City Manager to accept a grant from the
                    Texas Department of Health in the amount of $192,828.00 for
                    the Tuberculosis Prevention/Control Projects of the City of
                    Laredo Health Department for the period beginning January 1,
                    1998, through December 31, 1998.

                    Motion to approve Resolution #97-R-158.

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

      36. 97-R-159  Authorizing the City Manager to accept a grant from the
                    Texas Department of Health and budget in the amount of
                    $190,332.00, for the Tuberculosis Elimination Program of the
                    City of Laredo Health Department for the period beginning
                    September 1, 1997, through August 31, 1998.

                    Motion to approve Resolution #97-R-159.

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

      37. 97-R-160  Declaring the public necessity to acquire the "Surface Only"
                    of eight parcels of land for the Lafayette Street Widening
                    Project. Said parcels being Lots 1,2,3,4, and 6, Block 881,
                    the East one-half of Lot 7, Block 879, and Lot 1 and the
                    East and West parts of Lot 2, Block 911; all situated in the
                    Western Division of the City of Laredo, Webb County, Texas;
                    and authorizing payments to persons who will be displaced as
                    a result of the acquisi-tion of those properties; and
                    further authorizing the City Attorney to institute eminent
                    domain proceedings to acquire those parcels that staff is
                    unable to acquire through negotiations due to inability to
                    agree to a purchase price, conflicts of ownership, owner
                    refusal to sell, and/or inability to locate a listed owner.

                    Motion to approve Resolution #97-R-160.

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

      38. 97-R-161  Accepting the donation of a parcel of land containing
                    16,391.01 square feet (0.37628 of an acre), more or less,
                    out and part of the approxi-mately 200' wide Tex-Mex
                    Railroad right-of-way, for the purpose of providing traffic
                    access to the area residents. Said parcel being situated
                    between Arkansas Avenue and New York Avenue, northbounding
                    Block 1705, Eastern Division, City of Laredo, Webb County,
                    Texas; more particularly described by metes and bounds.

                    Motion to approve Resolution #97-R-161.

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

      39. 97-R-162  Authorizing the City Manager to enter into a renewed
                    interlocal agreement for FY 1997-98 between the City of
                    Laredo and the County of Webb in the amount of $110,000.00,
                    for locally supported public health services to non-Laredo
                    residents of Webb County, for the period beginning October
                    1, 1997, through September 30, 1998.

                    Motion to approve Resolution #97-R-162.

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

VIII. MOTIONS

      40. Approval of bid specifications and authorization to advertise for bids
          for the following:
          a) Transmission Repairs, Annual Contract - Fleet Maintenance b) Annual
          Electrical Maintenance Contract - Transportation and Traffic Safety
          Department,
          c) Traffic signal Lamps - Transportation and Traffic Safety
             Department.

          Motion to approve.

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

      41. Approval of the selection, and authorization to negotiate engineering
          contracts to design, prepare plans and specifications for the
          following:
          1. Tinaja/Chacon Pilot Channel Improvements to Porras Engineering (FY
             1997-1998 CDBG Capital Improvements Projects),
          2. Construction of Sidewalks and Handicap Ramps on School approaches
             and other streets located within the Community Development target
             areas to WSBC Civil Engineers (FY 1997-1998 CDBG Capital
             Improvements Projects),
          3. Paving Project 61 (31 Blocks) to G.G. Salinas Engineering (FY 1997-
             1998 CDBG Capital Improvements Projects),
          4. Gallagher Street Improvements to be done In-House
             (FY 1997-1998 CDBG Capital Improvements Projects),
          5. Zacate Creek Beautification Project to Sherfey Engineering Company
             (FY 1997-1998 CDBG Capital Improvements Projects), 6. El Portal
             Riverfront Feasibility Study to Frank Architects/Sherfey
             Engineering Company (FY 1997-1998 CDBG Capital Improvements
             Projects),
          7. Guadalupe Street Extension from New York Avenue to connect to
             Arkansas Avenue to be done In-House, contingent upon the dedication
             of the necessary right-of-way,
          8. The purchase, installation and start up of a second belt filter
             press at the Southside Wastewater Treatment Plant to Camp, Dresser
             & McKee, Austin, Texas.

          Motion to approve.

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

      42. Approval of the construction plans and specifications and
          authorization to advertise for bids for following:
          1. Construction of sidewalks along Community Development Block Grant
             (CDBG) residential neighborhoods to provide safe walkways to
             connect neighborhoods to local schools with a tentative bid award
             scheduled for January 19, 1998.

          Motion to approve.

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

          Motion to reconsider the motion.

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

          Motion to do this project in-house.

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

      43. Authorizing the City Manager to solicit Requests for Proposals for the
          following:
          1. The design of 15 "Water and Wastewater Infrastructure Projects" and
             project coordination for the colonias' water and wastewater program
             from qualified engineers.
          2. The collection, packaging, transportation, and disposal services
             for two scheduled Household Hazardous Waste Collection events to be
             held in April 1998 and in November 1998 in accordance with the
             City's National Pollution Discharge Elimination System (NPDES)
             storm water requirements from qualified environmental contractors.
          3. Consulting services to assist the City in developing a proposal for
             the possible privatization of the utilities functions.  The
             consultant will assist the City in evaluating the potential for
             privatization, prepare a procurement strategy, an evaluation
             criteria, procurement documents, and potentially assist in the
             selection of a contract operations firm.

          Motion to approve.

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

      44. Approval to reject the three bids received for the Azteca Neighborhood
          Park and Paving Improvements Project since the bids are over the
          project budget, and approval for the project to be constructed by in-
          house forces. Funding is available in the Community Development Block
          Grant Fund.

          Motion to approve.

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

      45. Award of six month supply contracts to the LOW BIDDER MEETING
          SPECIFICATIONS, Arnold Oil Co. dba Lone Star Lubricants, Laredo,
          Texas, in the estimated amount of $30,991.10, for the purchase of
          lubricants for the Fleet Maintenance Division.  The bid pricing will
          be firm during this six month period and all items will be purchased
          on an as need basis. The City did receive a lower bid for some of the
          commodities from Golden West Oil, San Antonio, Texas, however this
          vendor did not submit the required specifications sheets for the
          products bid. Due to this omission, this vendor cannot be considered
          in the award process.

          Motion to approve.

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

      46. Award of a supply contract to the LOW BIDDERS, Libcon, Inc.  DBA
          Leyendecker Materials, Laredo, Texas ($1,238,450.00) 4G Asphalt DBA
          Big Buck Asphalt, Inc., Laredo, Texas ($198,325.00) Texas Fuel &
          Asphalt Co., and Inc., Corpus Christi, Texas ($19,960.00), and Gator
          Recycler, La Marque, Texas ($16,750.00), for the purchase of asphalt,
          black base, asphalt oils and emulsions, flexible base, and sand, as
          required for all city paving and construction projects. A total of
          nine vendors submitted bids for these purchases.  Authorization is
          requested to reject the sole bid for gravel from 4G Asphalt due to the
          omission of a laboratory test report and to solicit new bids.

          Motion to approve.

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

      47. Award of contract to the LOW BIDDER, National Sanitary, Laredo, Texas,
          in the amount of $23,080.00, for the purchase of 500,000 plastic bags
          for use in the City's Recycling Program. The per unit price is the
          $0.0008/bag less than the previous contract purchase. A total of four
          bids were received for this purchase. Funding is available in the
          Landfill/Recycling Trust Fund -Janitorial Materials, Recycling.

          Motion to approve.

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

      48. Award of contract to the LOW BIDDER, G.T.  Distributors, Inc., Austin,
          Texas, in the amount of $13,723.60, for the purchase of twenty-two
          pistols for the Police Department. The bid pricing is approximately 3%
          less than the previous contract purchase. These pistols will be
          delivered within sixty days. A total of three bids were received for
          this purchase.  Funding is available in the Police Trust Fund -Capital
          Outlay and Special Police Program Fund - Local Law Enforcement,
          Capital Outlay.

          Motion to approve.

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

      49. Award of a contract to the LOW BIDDER, Mission Western Wear, Mission,
          Texas, in the estimated amount of $19,260.00, for the purchase of
          footwear for Fire Department personnel.  Two boot styles and one shoe
          style have been approved for departmental use. Footwear may be
          purchased as part of the clothing allowance issued to each
          firefighter. A total of six bids were received for this purchase.
          Funding is available from the department's budget.  The bid pricing is
          the same as the previous contract period.

          Motion to approve.

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

      50. Award of a contract to the LOW BIDDER, Balch Machine Co., Inc.,
          Brownsville, Texas, in the amount of $12,500.00, to repair a 15
          million gallon, 20" Fairbanks Morse pump. This repaired pump will be
          used as a backup to three, raw water intake pumps at the Water
          Treatment Plant.  A total of two bids were received for this repair.
          Funding is available in the Utilities Department - Water Treatment
          Division.

          Motion to approve.

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

      51. Award of contract to the LOW BIDDER, Sysco Food Services, San Antonio,
          Texas, in the amount of $17,964.86 for the purchase of commercial
          restaurant equipment for the new Airport terminal.  The commercial
          equipment being purchased includes: freezers, refrigerators, a deep
          fryer, a microwave oven, a salad unit, a hot food server, and a
          dishwasher. The contract vendor will be responsible for the
          installation of this equipment.  Delivery of all items requested will
          be within four weeks.

          Motion to approve.

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

      52. Award of contract to the LOW BIDDER, Vallen Safety Supply Co., Corpus
          Christi, Texas, in the amount of $10,072.75, for the purchase of
          twenty-five pack alert devices for the Fire Department. These devices
          are installed on the air packs that warn the user that they are
          running out of air supply.  These items will be delivered within
          thirty days.

          Motion to approve.

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

      53. Award of an asbestos abatement contract to the LOWEST BIDDER, Jupe
          Company, Inc. WBE, San Antonio, Texas in the amount of $20,500.00, for
          the Asbestos and Lead Base Paint Abatement as part of the demolition
          of the units acquired for Lafayette Street Relocation Project. The
          City received a total of three (3) bids. Funding is available in the
          Community Development Block Grant Fund (CDBG).

          Motion to approve.

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

      54. Setting the date of an aerial photography as the date to define the
          existing colonia dwellings to be provided water and wastewater
          services under the Texas Water Development Board grant umbrella.  The
          cut-off date is important because the Board will compensate the City
          for water availability and infrastructure use only on the dwellings
          considered in the facility plan.  Homes constructed after this date,
          will have to pay water availability, impact, or any other fees as
          required by the City elsewhere; and authorizing the City Manager to
          solicit Requests for Proposals if the photographic services should
          exceed $10,000.00.

          Fernando Roman, Utilities Director, stated they will try to do this
          within 15-20 days.

          Motion to approve.

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

      55. Award of contract to the LOW BIDDERS:
          a) Omni Computers, Austin, Texas, in the amount of $31,350.00, for the
             purchase of twenty-two, pentium 200 MHz personal computers,
          b) Micron Electronics, Inc., Nampa, ID., in the amount of $8,409.00,
             for the purchase of three, pentium 300 MHz personal computers, and
          c) Omtex Systems, Boerne, Texas, in the amount of $3,502.00, for the
             purchase of one, pentium 300 MHz computer.

          All vendors are State of Texas - Qualified Information System vendors.
          Computers are being purchased for the following departments: City
          Attorney (2), Airport (1), C&VB (2), Bridge System (4), Water
          Administration (2), Water Treatment (1), Wastewater Treatment (1),
          Wastewater Collection (2), Risk (1), Health Benefits (2), Police (7).
          A total of nine bids were received for this purchase.  Funding is
          available in the Police Department Trust Fund -Capital Outlay and
          Utilities Department -Capital Outlay Division.

          Motion to approve.

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

      56. Authorizing the City Manager to enter into a contract with the
          providers listed below to provide physician coverage for prenatal care
          services to clients of the City of Laredo Health Department for the
          period specified on each contract.
           Provider               Program            Contract Amount
        1) Dr. Victor          Maternal and           $25,000.00
           Trevino             Child Health

        2) Dr. Carlos Cruz     Maternal and           $20,000.00
                               Child Health

        3) Dr. Ruben           Maternal and
           Bocanegra           Child Health           $14,000.00

        4) Dr. Esteban         Maternal and
           Alejo               Child Health           $14,000.00
                                              TOTAL   $73,000.00

          Motion to approve.

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

      57. Amending the third party funding contracts between the City of Laredo
          and:
          1) Lifeline of Laredo, Inc., for Fiscal Year 1996-1997 to extend the
             October 15, 1997 deadline for final payment requests to December
             20, 1997 and approving the amended budget line item expenditures,
          2) The Laredo Philharmonic Orchestra for Fiscal Year 1997-1998 to
             authorize payment of expenditures which exceed the $9,250.00, per
             quarter allocation, with cumulative payments not to exceed the
             original contract amount of $37,000.00.

          Motion to approve.

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

  IX.  CITY MANAGER'S REPORT

      58. Discussion and possible action regarding a recommendation for the City
          Council to review, and reconfigure the composition of the City of
          Laredo Street Closing/Opening and Paving Assessment Committee.

          Mayor Protem Perez announced that he and Cw. Moreno would be out of
          the Street Closing/Opening and Paving Assessment Committee and that
          Mayor Protem would be out of the Water Issues Committee.

      59. Report regarding the cost of providing fire protection to the airport.
          The cost of providing fire protection to the City's airport has risen
          over the past six years as a result of adding more personnel to the
          Airport Crash Fire Rescue (CFR) operation. Up until FY 1991-1992, the
          Airport was paying approximately 100% of the airport CFR cost.

          Florencio Pena, City Manager, made the presentation stating that they
          have been discussing the upgrading of the airport crash crew, that the
          city had left behind the dollar for dollar contribution from the
          airport fund to pay the cost of running the airport crash crew.  He
          added that FAA does not specify the number of CFR personnel required,
          it only requires that sufficient personnel be assigned to the airport
          CFR.  The airport crash crew is a mandate from FAA, it is council's
          decision, they are asking that council reconsider re-establishment,
          because there doesn't seem to be any explanation as to why that
          transfer ceased.

          Jose Luis Flores, Airport Director, stated 1997-98 cost is $522,772.00
          and the Airport is currently reimbursing $169,529.00.  This is a
          variance of $353,243.00.

          Motion to direct staff to prepare an ordinance, to charge the airport
          for the airport fire crash services, for this year go from October
          1997 to 1998, that the actual cost be reimbursed $522,772.000 and from
          now it will be the cost like it used to be prior to 1991, and that it
          be brought back to council.

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

      60. Authorizing the City Manager to approve a request from the Laredo
          Morning Times, Lessee, and Bannum Co., Sublessee, to approve plans and
          specifications to modify the existing improvements located on leased
          premises to accommodate a half-way home facility.

          Motion to table.

          Moved : Cm. Bruni
          Second: Cm. Casso
          For:  4                       Against:  3         Abstain:  0
          Cm. Bruni                     Cw. Moreno
          Cm. Casso                     Cm. Valdez
          Cm. Alvarado                  Cm. Guerra
          Cw. Montalvo

      61. Status report and possible action on proposed return to work policy
          and procedure. This policy will assist city employees to return to
          work as soon as possible after injury or illness and help reduce
          personnel costs.

          Dan Migura, Administrative Services Director, made the presentation
          before the council explaining the policy.  The policy is included in
          the agenda book for public review.

          Motion to instruct staff to proceed with the return to work policy and
          bring back to council on the first meeting of January for council
          action.

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

      62. Motion to approve the retention of the Law Firm of Bickerstaff, Heath,
          Smiley, Pollan, Kever & McDaniel, L.L.P., to provide professional
          legal services to the City of Laredo in the matter of the construction
          of the Laredo IV/Nuevo Laredo III International Bridge Project.

          Motion to approve.

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

      63. Presentation and status report on the New Main Library and Grand
          Opening Ceremonies by the Library Advisory Board and Friends of Laredo
          Public Library, Inc.

          Janice Weber, Library Director, announced that on December 8th they
          received a partial Certificate For Occupancy, they started moving on
          Friday, and they finished moving in four days.  The time required to
          get the building ready as far as computers, etc. will be about six
          weeks, they have 120-130 PCs to hook up to the network, there are many
          things that need to happen before they can open the library.  The
          Santo Nino Branch Library will in the meantime carry some of the load
          while the main library is closed.  They would like recommendations
          from council regarding the date of the Grand Opening, the master of
          ceremonies and the keynote speakers.

          Mrs. Rose Woodruff asked that if Sunday, February 1st is compatible
          with the council's schedules for the grand
          opening and wants recommendations from council for a keynote speaker.

          Mayor Protem Perez suggested that they contact Senator Judith
          Zaffirini as a keynote speaker.

          Mayor Protem Perez confirmed that February 1st would be the
          recommended day for the Grand Opening.

      64. Discussion and possible action regarding the acquisition of a Utility
          Easement from Francis Richter Farm Partners, a Texas General
          Partnership.  Said parcel being described as a thirty-foot wide
          Utility Easement containing 1.01 acres of land, more or less, in Webb
          County, Texas; with possible Executive Session for consultation with
          the City Attorney as authorized by V.T.C.A. Government Code Section
          551.072, and return to Open Session for possible action.

          Motion to go into executive session for consultation with the City
          Attorney as authorized by V.T.C.A. Government Code Section 551.072.

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

          After executive session Mayor Protem Perez announced that no formal
          action was taken.

          Motion authorizing staff to proceed to finalize negotiations with
          Francis Richter Farm Partners in exchange for the release of lien in
          the amount of $31,056.75.

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

      65. Request for Executive Session as authorized by Texas Government Code,
          Section 551.071 (1)(B), to discuss settlement offer of pending
          litigation in the case of City of Laredo vs. Pal-American dba La
          Hacienda, Cause No.  97CVQ00171-D2, 111th District Court, Webb County
          and return to open session for possible action.

          Motion to go into Executive Session as authorized by Texas

          Government Code, Section 551.071 (1)(B), to discuss

          settlement offer of pending litigation in the case of City of Laredo
          vs. Pal-American dba La Hacienda, Cause No.  97CVQ00171-D2, 111th
          District Court, Webb County.

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

          After executive session Mayor Ramirez announced that no formal action
          was taken.

          Motion to accept the settlement offer from Pal American dba La
          Hacienda Hotel in the amount of $5,278.51 for Hotel Motel Tax
          regarding pending litigation in the case of the City of Laredo vs Pal-
          American dba La Hacienda, Cause No. 97CVQOO171-D2, 111th District
          Court, Webb County, Texas.

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

      66. Request for Executive Session pursuant to Texas Government Code
          Section 551.071(1)(a)(b) to discuss pending litigation and to provide
          a status report on court ordered mediation sessions held on September
          3, 1997, and December 10, 1997, and a settlement offer in Cause No. E-
          96-2-c, styled City of Laredo v. Jacaman Investment Group Ltd., and
          return to open session for possible action.

          Motion to go into Executive Session pursuant to Texas Government Code
          Section 551.071(1)(a)(b) to discuss pending litigation and to provide
          a status report on court ordered mediation sessions held on September
          3, 1997, and December 10, 1997, and a settlement offer in Cause No. E-
          96-2-c, styled City of Laredo v. Jacaman Investment Group Ltd.

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

          After executive session Mayor Ramirez announced that no formal action
          was taken.

          Motion to instruct staff to meet with the legal staff and conclude the
          final negotiations for the settlement of this lawsuit and then report
          back to council.

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

   X.  COMMUNICATIONS

       a) Recognizing the following city of Laredo retirees for the many years
          of hard work and dedication to the citizens of our community:
          a) John Amaya (29 years) Utilities Department
          b) Juan O. Castillo (20 years) Library Department
          c) Julian Espinoza (23 years) Fleet Maintenance Division, Public Works
             Department
          d) Nicolas Hernandez (36 years) Public Works Department
          e) Gabriel E. Martinez (29 years) Police Department
          f) Jesus D. Palacios (30 years) Police Department
          g) Hector H. Zambrano (22 years) Utilities Department

          Mayor Protem Perez recognized city employees and delivered
          Certificates of Recognition.

       b) Recognizing the Health Department's Vital Statistics Staff for being
          awarded the 5-star Vital Registration and Excellence Award from the
          Texas Department of Health, Bureau of Vital Statistics for their
          outstanding job performance in the areas of: a) timeliness, b)
          rejection rate, c) quality, and d) training.

          Jerry Robinson presented the staff receiving the award who were
          Elizabeth Flores, Yael Gomez, Sylvia Chares, and Alejandra Ramirez.

       c) Dan Migura, Administrative Services Director, presented and recognized
          the Employee of the Year, Mr. Jaime F. Garcia employed by the City
          since 1984.

       d) Request by City of Rio Bravo on assistance on the following subjects:
          1) Current plans to obtain ownership of the Webb County Water
             Treatment Plant located at 515 Martha Drive in our city.  2)
             Annexation efforts of the immediate surrounding property including
             the U.I.S.D. schools in our area.

          Feliciano Garcia, Jr, Mayor of Rio Bravo, appeared before the council
          to assist help from the City of Laredo to take their water and sewer
          plant back from the County.  He asked that the help be in technical
          with management systems assistance and that they also need help on
          other issues such as fire fighting and training, and assistance on the
          police force.  Other assistance from the City of Laredo is in
          annexation process knowledge.

          Cm. Casso stated his position is that the City of Laredo is going to
          continue to grow and he would like to see the City of Rio Bravo to be
          part of the City of Laredo in the future.

          Florencio Pena, City Manager, replied that he received a call from
          Judge Mercurio Martinez and he was somewhat surprised that the item
          was on the agenda without their knowledge since they are owners of the
          water/sewer plant.  He asked that in the future, any negotiations or
          discussion held with the City of Rio Bravo, if the council wishes for
          the them to be involved in that process, council can do that.  Second,
          he said that the state law allows cities to enter into governmental
          agreements, there are many things cities can do.  Some smaller cities
          doot have planning capabilities, do not have building inspections,
          plumbing inspections, zoning, etc.  but a city like us cannot do it
          for free, there has to be a cost.  We are prohibited from doing that,
          but there is a provision in the governmental code that allows a city
          to study how or what kind of an agreement a city can enter into and
          how much it is going to cost and to see if it is feasible
          to do certain services or not.   If feasible and they are able to
          afford it that would be fine, it could be anything from assisting them
          on planning or building inspections, etc.  He said that staff could do
          a study on costs for certain services that can be provided to Rio
          Bravo at cost.  On annexation, the City of Rio Bravo is a general law
          city which doesn't give the annexation of powers that the City of
          Laredo has as a home rule city, but they do have annexation powers and
          one of the issues they would like to discuss and is a topic that would
          come up later is their desire to annex certain areas around their
          properties to help enhance their tax collections or sales tax.  The
          schools that are currently out there pay utilities and the sales tax
          goes to the county, and not to the City of Rio Bravo because it is not
          inside the City of Rio Bravo.  Things of that nature are things that
          they would like to discuss to see what the advantages and
          disadvantages would be to the city to allow them to annex.

          Mr. Pena stated there are three things that Mr. Garcia is asking 1)
          enter into a dialogue about studying how we can help them and come
          back to council with a report and 2) specifically the annexation, the
          pros and cons of allowing them to annex properties around their
          property and 3) that the water plant is currently owned by Webb County
          and any discussions regarding the water plant, that Webb County be
          involved.

          Jaime Flores, City Attorney, made a point of clarification, regarding
          annexation, he wants to make sure that what Mr.  Garcia is requesting
          and council is not understanding that he is requesting council's
          authorization to annex any of the city's extraterritorial
          jurisdiction.  That this is not an official request.

          Cm. Bruni suggested that the start dialogue with the County and work
          on the cost study.

       e) Presentation of the Mayor's Cup trophy to the City Softball Tournament
          Champions: The Utilities Department.

          John Viduarri, Assistant City Manager, announced the winner of the
          December 6th Softball Tournament as the Utilities Department.  In
          second place, the Bridge Department.

       f) Mayor Protem Perez requested that staff prepare an ordinance to
          include December 26th and January 2nd as holidays for 1997 and 1998 as
          a one time only holiday and to post meetings for Friday and Monday at
          noon.

       g) Leroy Morin spoke against the closing of Seymour, Stone, Loring, and
          Henricks at the railroad crossings adding that the citizens in the
          area need these crossings.  A petition with signatures was turned in
          to the City Secretary.

          Jesus Hernandez spoke against the closing of Seymour, Stone, Loring
          and Hendricks.

   XI.  CITY COUNCIL DISCUSSION AND PRESENTATION

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

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

       1. Discussion and possible action regarding security guard services at
          the four neighborhood recreation centers.

          John Vidaurri, Assistant City Manager, reported that during the budget
          sessions there was a motion to add security patrol in the evenings at
          the recreation centers, there was discussion about a roaming patrol
          from 10:00 p.m. until 7:00 a.m. and added that they have approximately
          $8,000 in the budget for this project.  They have a drafted contract
          agreement and are in the process of going out for competitive bids for
          the award of these services.

          Cm. Bruni stated that we need on premise security personnel present
          while the facilities are opened to take care of theft and other
          possible incidents.

          Cm. Perez requested that they schedule security officers and/or have
          police patrolling the area while the facilities are opened or for
          particular hours.

       2. Discussion and possible action regarding the appointment of two
          alternates to the South Texas Development Council.

          Motion to accept the nominations of John Viduarri and Dan Migura as
          the two alternates to the South Texas Development Council.

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

    B.  Requests by Councilmember Louis H. Bruni

       1. Status report regarding the ongoing negotiations between the City and
          the Laredo Children's Museum, with possible action.

          Ken Valls, Attorney for the Children's Museum, stated that they have
          finally arrived to a point where they have the lease agreement, the
          different parties are satisfied with it, except for the size of
          premises.  They have come to an agreement with respect to insurance,
          with respect to whose going to pay for the utilities, and with respect
          to all the things that are typically dealt with by a lease.

          The only point of contention is whether or not there will be a
          Children Museum and second, if there is, how much property will be
          leased to the Children's Museum.  He said that every other request
          made to them by the city staff or by the representatives from the
          library has been made, except for whether or not they want to place
          the Children's museum at this location and if so, the size of the
          property that it would encompass.  The projected size of the initial
          building of the Children's Museum is 24,000 sq. ft., that would be a
          tremendous gift to the city because that would be paid for by the fund
          that they created through the Children's Museum and the city would not
          have to pick up that tap.  There is no way that they can afford to
          build the building and buy the land.  So this is Laredo's opportunity
          to have a first grade Children's Museum.  They have people who are
          interested in donating funds, and people who are dedicated towards
          raising the remainder of the funds that need to be raised in order to
          place this 24,000 sq. ft. building on this site.  The amount of land
          that is not being currently used by the library is approximately 3.5
          acres which is the amount of property that they are talking about with
          respect to this lease agreement.  They have done everything they can,
          they have met with members from the library, they have prepared a site
          plan, and at this point they would like to go forward with the process
          of approving the lease or be told that they are not going to be
          allowed to put a children's museum on this location.  There is only
          one decision that needs to be made, whether or not they are going to
          have a Children's Museum at this location.

          Motion to instruct staff and the Legal Department to finalize an
          agreement with the 3-1/2 acres and bring back to council for final
          approval.

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

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

       1. Discussion and possible action on donation of City of Laredo Airport
          property to the University of Texas for the creation of a Regional
          Health Academic Center (RHAC).
          Co-sponsored by Cm. Joe A. Guerra.

          Cm. Casso stated this council is probably one of the most pro-business
          councils in a long time, they have the opportunity to create more jobs
          and to create a partnership with some of the universities, plus form a
          partnership with the local schools.  He knows there is a moratorium on
          the sale of anymore property in the airport however, he requested that
          they purchase 12 acres from the airport property and turn around and
          transfer the appraised value of what that property would be
          approximately $1.2 million from the general fund to the airport fund.
          The airport fund would have those funds for the abatement program and
          for infrastructure projects that we have been struggling to get
          additional funding from FAA.  Then we would turn around and give this
          property to the University of Texas and they would put this Regional
          Health Academic Center.  It would create approximately 220 jobs,
          within three years it would generate a payroll of $14 million and
          would totally transform that area of the airport.  It is his
          understanding that we cannot lease it to the university for 100 years,
          they have to have title, but before we can exchange title or anything
          like that, he would like to get support from council, approach FAA and
          if we have to go to Fort Worth or Dallas to try to get it done, and
          then if we get the green light, then the University of Texas could
          approach the legislation.

          Mr. Jim Kazen, Coordinator of Border Region Health Services, stated
          that it took us three years to do what it took Corpus 25 years, which
          took San Antonio 50 years to bring a four year university.  In Laredo
          at the moment we have one of the state of the art hospitals in the
          U.S., Mercy Regional Medical is going to be in the cutting edge of
          hospitals anywhere it is the only hospital that is in close proximity
          to an airport.  Next door to Mercy Hospital there is a window of
          opportunity the same one we had in 1989-90 to move through that window
          quickly, there is the chair of health and human services, Senator
          Zaffirini seating in a most powerful position to the legislation, you
          have Rep. Henry Cuellar who seats on the Finance Committee, and Dr.
          Joaquin Cigarroa who seats on the Coordinating Board which happens to
          fund medical education and recently Tony Sanchez who is appointed to
          the Border Region.  We have the stars lined up if we can move very
          quickly, there are few times in history when we can make a decision
          and that decision opens up the door to many other things, but one of
          the aspects of bringing the university of Texas Health Science Center
          to town is research.  They are talking about a diabetic research
          center as part of this presence to investigate the causes as to why
          there are more people in Laredo with certain kind of diseases than
          there are in the rest of the state for the same kinds of things.  We
          need the research, this presence would do it, a three phase program
          here which you would be instrumental in the first phase, (acquiring
          the land) 2) setting up an administrative building quickly to get the
          presence of the health science center here.  The plan is to bring the
          University of Texas not just a presence, but a health science center
          with all its resources a medical school, dental school, pharmacy
          school, graduate school and a research to Laredo.

          Motion to get in touch with FAA to initiate some type of negotiations
          for this project.

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

       2. Discussion and possible action regarding the Austin legislative
          consultant. (Co-sponsored by Mayor Pro-Tem
          Jose R. Perez, Jr., and Cm. Eliseo Valdez, Jr.)

          Cm. Perez stated he got in contact with the County Judge and they seem
          to be interested in joining the City.

          Cm. Casso said he was contacted by the private sector and they are
          willing to participate.

          He is going to initiate this and start it off, the key is to give
          staff instruction after we name who the firm that will be contracted
          with and see what the charge is going to be and then find out how much
          the city, the county, and how much the private sector is going to pay.

          Cm. Perez said to send this item to the Metro Committee so that they
          can in turn can get together and start formulating ideas and at the
          same time get the information of all the people that are interested in
          participating and then from there see what comes out.  He asked that
          Mr. Pena contact the County so that the Metro Government Committee
          meet with them as soon as possible.

          Motion to instruct staff to negotiate a contract with Mario Martinez &
          Associates and that we immediately setup some type of a meeting with
          them through the Metro Committee where they can sit down in a formal
          setting, discuss, negotiate as far as fees are concerned.

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

       3. Discussion and possible action regarding a sports complex.

          Cm. Casso said that this item was brought up in the Business Council
          and everyone was exited this project, supposedly LCC and TAMIU were
          interested in forming some type of a partnership and wanted an
          explanation as to what happened in that meeting because he was not
          there.

          Florencio Pena, City Manager, explained that council appointed an
          Economic Advisory Council.  The committee has been working in
          developing a strategic plan for Economic Development and the Business
          Council makes a big part of where that committee is involved.  He
          added that at the last meeting they discussed various goals and
          objectives and identified six major goals that they would like to
          pursue.  One of the projects discussed was the need for stadiums, a
          major facility stadium that would be used by both school districts.
          At that point Dr. Janett mentioned that if we are going to do
          something we need to move on a fast track because they are in the
          process of going into design of a sports facility at TAMIU and they
          like the idea that if it was not located within their complex, that it
          be built somewhere else and that it be built in concert with other
          projects where both school districts and the city could join venture.
          There has been talk about an area north of the airport to protect it
          from urban encroachment.  He added that LCC is already building a
          facility in their campus.

          Our situation is that there is no money for it, what the Economic
          Development Group is going to be doing is working with the Council and
          developing a bond program, possibly to be funded by the sales or
          property tax or whatever.  Funding sources have to be recommended to
          go forth with this project.

          They will be meeting the early part of January with this group and
          suggested that council give ideas as to how they want this project to
          go and how fast they want it to go.

          Cm. Casso would like see that they get together with TAMIU
          to start dialogue on ideas and see what it is they want to do, and
          maybe see if we can participate and see what council wants to do.

       4. Discussion and possible action regarding health insurance benefits for
          City of Laredo retirees, with a report from staff.

          Cm. Casso stated that he was getting complaints centering around the
          prescription and generic drugs.

          Florencio Pena, City Manager, explained that council had made some
          changes to the Retired Health Benefits by transferring a large number
          of our retirees from the City's Health Pool to TML's Pool.  Our
          understanding was that the transfer was not going to substantially
          diminish the services.  The cost was going up to some extent, but the
          services were going to be basically the same and council approved it
          and it is in effect.  It was a tremendous move on the part of the city
          and in terms of its cost, without negatively affecting the retirees,
          however they have recently learned that we have PCS and what that used
          to provide the retirees and city employees if they bought generic
          brands for $6.00 for any prescription and if they bought brand type
          prescriptions it was $12.00, that was the total pocket expense.  The
          retirees wanted that same program, as staff they did understand that,
          that was not going to be substantially different, what has happened is
          that Diversified Monumental which is TML's firm that provides the
          health benefits to the retirees has a different prescription program,
          basically theirs is $10.00 generic, but 50% when it is brand name, so
          that is substantially different from the city's.

          Dan Migura stated that on July they transferred 84 retirees over to
          TML Pool and sent letters to the retirees in September notifying them
          of change and to date, they have gotten about 27 retirees that have
          responded telling them about various concerns.  1) They were concerned
          about the card coverage, whether or not they had a card and how the
          card would work.  2) There were pharmacy issues, issues on the
          prescription coverage as well as claim turn around time.  They worked
          closely with each individual when they called, they made sure they
          received their prescriptions as needed.  Made sure the pharmacies
          covered them, as need and made sure that the cards are being
          distributed as needed.  They did not see that this was going to be a
          significant change when they changed from the PCS coverage to
          Monumental which is a diversified card, however they found that some
          retirees are experiencing difficulties, where the generic drugs are not
          available and they have to get a brand name, therefore having to pay
          50%.  When they came into the plan there were things that were
          positive and they want to make sure that council is aware that in many
          cases, some of these retirees were paying less in their premiums
          (those that had to pay).  They did not have a supplemental pool for
          retirees, there were some that did not have anything, and they were
          able to offer these retirees the supplemental pool as well as a lower
          deductible.  Under the TML Plan we have $250 deductible and under this
          new plan with Monumental there is a $200 deductible.  They have
          contacted TML and Monumental and told them the concerns and asked them
          what our options.  Currently, they are waiting for their answer and
          intend to look at that in light of the cost of trying to upgrade that
          monumental plan if necessary, make it as equitable as they can to what
          they had before and will bring it back recommendations to council
          after the health fair.

          He concluded by announcing the holding of a Health/Benefit Fair by TML
          and Monumental on January 7th employees and retirees.

    D.  Requests by Councilmember Eliseo Valdez, Jr.

       1. Discussion and possible action regarding the City's Employee Tuition
          Reimbursement Program.

          Cm. Valdez suggested that the program be modified to cover the cost of
          the books up front.

          Florencio Pena, City Manager, reported the policies were adopted in-
          house by the previous administration and they are not council approved
          policies.

          Cw. Moreno stated they never proposed that the reimbursement pay
          different for an "A" or "B" and suggested that they take a look at the
          program, see what they have right now and what the recommendations are
          and bring it back to council.

          Mr. Pena said right now they have to make a certain grade and then be
          reimbursed.  That keeps people from doing it because they do not have
          the money up-front to take the class.  He said they can make that
          amendment now, because registration will start soon for next semester.
          He said they can do the program whereas they can pay upfront, if they
          don't finish the course, the next time, they will go on the
          reimbursement program.  Instead of bringing the whole program to
          council, they can make the modifications as suggested by council, put
          it together in more detail, and will bring back the program to council
          for review.

          Cm. Valdez requested that they get together with LCC and TAMIU to come
          up with a program, an incentive or a discount program being that they
          are encouraging the employees to participate and go back to school.

          Dan Migura briefed council on the policy currently in place.

    E.  Requests by Councilmember Mario G. Alvarado

       1. Status report regarding the development of the City's Noise Ordinance.

          Jaime Flores, City Attorney, reported that the ordinance is on hold
          and will be ready by January 1st which is presently being prepared by
          Ginger Reinert.

       2. Appointing Mario Moreno to the Parks and Recreation Advisory Board.

          Motion appointing Mario Moreno to the Parks and Recreation Advisory
          Board.

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

       3. Request for a traffic signal study at the Mines Road and Inter-America
          Boulevard, with possible action.

          Luis Landin, Traffic Director, reported that the study is complete,
          the mast arms have been installed, they had problems with the median
          because they had to get permission from the state to relocate the mast
          arm.  The signal will be installed within 60 days.  There are many
          accidents in that area coming out of Inter-America into Mines Road.
          During the next three months they will have three signals installed,
          the next one coming up next month is Rancho Viejo, then Loop 20 at New
          York and Inter America within the next 60 days, TAMIU signal and
          Gale/Springfield.

       4. Report from the Laredo Police Department on the number of traffic
          accidents occurring on the Mines Road within the past twelve months,
          with possible action.

          Deputy Police Chief San Miguel reported that from January 1997 along
          IH-35 there were 155 accidents of which 46 were tractor trailers.  On
          the Mines Road he reported a total of 143 accidents which includes all
          vehicles.

          Cm. Casso wants a report as what percentage of accidents occur going
          southbound and what percentage is north, and also the number of
          fatalities.  He added that they are going to need added enforcement on
          IH-35 and on the Mines Road which are where most of the accidents are
          occurring.

 XII.  PUBLIC HEARINGS

      68. Public hearing concerning the application by Goyo and Sons Plumbing
          Contractors, Gregorio M.  Martinez, amending the Zoning Ordinance
          (Map) of the City of Laredo by authorizing the issuance of a
          Conditional Use Permit for a 100 foot communication tower on Lot 3,
          Block 1, Lam-Rick Subdivision, located at 105 Wright Way.  The
          Planning and Zoning Commission recommends approval of this Conditional
          Use Permit.

                      INTRODUCTION OF AN ORDINANCE
          Amending the Zoning Ordinance (Map) of the City of Laredo by
          authorizing the issuance of a Conditional Use Permit for a 100 foot
          communication tower on Lot 3, Block 1, Lam-Rick Subdivision, located
          at 105 Wright Way.

          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: Cm. Valdez
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction: City Council

      69. Public hearing concerning the application by Mary Hazel Diaz, amending
          the Zoning Ordinance (Map) of the City of Laredo by rezoning Lot 42,
          Block 1, El Rancho Subdivision, located on the northeast corner of the
          intersection of Loop 20 and Rancho Grande Street, from R-3 (Mixed
          Residential District) to B-1 (Limited Business 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
          Lot 42, Block 1, El Rancho Subdivision, located on the northeast
          corner of the intersection of Loop 20 and Rancho Grande Street, from
          R-3 (Mixed Residential District) to B-1 (Limited Business 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. Bruni
          Second: Cm. Valdez
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction: City Council

      70. Public hearing concerning the application by Felix Cruz III, amending
          the Zoning Ordinance (Map) of the City of Laredo by rezoning Lot 5,
          Block 179, Eastern Division, located at 3502 McDonnell Avenue, from R-
          3 (Mixed Residential District) to R-2 (Multi-Family Residential
          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
          Lot 5, Block 179, Eastern Division, located at 3502 McDonnell Avenue,
          from R-3 (Mixed Residential District) to R-2 (Multi-Family Residential
          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. Valdez
          Second: Cm. Alvarado
          For:  7                       Against:  0         Abstain:  0

          Ordinance Introduction: Cm. Valdez

      71. Public hearing concerning the application by Northwind Development,
          Ramon Diaz Barroso, amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning 36.034 acres as further described by metes and
          bounds located on the northeast corner of the intersection of IH35 and
          the Bob Bullock Loop, from AG (Agricultural District) to M-1 (Light
          Manufacturing District).  The Planning and Zoning Commission
          recommends approval of this zone change.

                      INTRODUCTION OF AN ORDINANCE
          Amending the Zoning Ordinance (Map) of the City of Laredo by rezoning
          36.034 acres as further described by metes and bounds located on the
          northeast corner of the intersection of IH35 and the Bob Bullock Loop,
          from AG (Agricultural District) to M-1 (Light Manufacturing District).

          Motion to open the public hearing.

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

          Ordinance Introduction: Cm. Guerra

      72. Public hearing concerning the application by Merlin Development Co.,
          Ltd., amending the Zoning Ordinance (Map) of the City of Laredo by
          rezoning 9.548 acres as further described by metes and bounds located
          east of McPherson Road, north of Tiara Trail, from R-O
          (Residential/Office District) to R-2 (Multi-Family Residential
          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
          9.548 acres as further described by metes and bounds located east of
          McPherson Road, north of Tiara Trail, from R-O (Residential/Office
          District) to R-2 (Multi-Family Residential District).

          Motion to open the public hearing.

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

          Ordinance Introduction: Cm. Guerra

      73. Public hearing concerning the application by David J. Cantu,
          authorizing the issuance of a Special Use Permit for above ground
          storage of flammable liquids, on Lots 4 and 5, Block 1, IH-35
          Industrial Park, located at 9001 San Dario Avenue.  The Planning and
          Zoning Commission recommends approval of this special use permit.

                      INTRODUCTION OF AN ORDINANCE
          Authorizing the issuance of a Special Use Permit for above ground
          storage of flammable liquids, on Lots 4 and 5, Block 1, IH-35
          Industrial Park, located at 9001 San Dario Avenue.

          Motion to open the public hearing.

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

          Ordinance Introduction: Cm. Guerra

      74. Public hearing concerning an ordinance creating and adopting a new
          Chapter 33 regarding Environmental Protection and adopting the
          Articles therein to include new Sections 33-1 through 33-34 thereby
          adopting a new City of Laredo Hazardous Materials Ordinance, which
          provides for a Citizen's Environmental Committee; Hazardous Materials
          Storage and Handling Permits and procedures; regulations and penalties
          for discharges, facilities, transportation vehicles; transportation
          route designations; and providing for severability; and providing for
          an effective date.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance creating and adopting a new Chapter 33 regarding
          Environmental Protection and adopting the Articles therein to include
          new Sections 33-1 through 33-34 thereby adopting a new City of Laredo
          Hazardous Materials Ordinance, which provides for a Citizen's
          Environmental Committee; Hazardous Materials Storage and Handling
          Permits and procedures; regulations and penalties for discharges,
          facilities, transportation vehicles; transportation route
          designations; and providing for severability; and providing for an
          effective date.

          Motion to open the public hearing.

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

          Ordinance Introduction: City Council

      75. Public hearing amending the City of Laredo FY 1997-98 annual budget by
          reclassifying eleven firefighters to eleven assistant drivers
          positions authorized by City Council effective January 1, 1998 and
          authorizing the City Manager to implement said budget.

                      INTRODUCTION OF AN ORDINANCE
          Amending the City of Laredo FY 1997-98 annual budget by reclassifying
          eleven firefighters to eleven assistant drivers positions authorized
          by City Council effective January 1, 1998 and authorizing the City
          Manager to implement said budget.

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

          Ordinance Introduction: City Council

      76. Public hearing to create 3 new positions as required by grant, awarded
          by the United States Environmental Protection Agency through the Texas
          Natural Resource Conservation Commission to develop a "Watershed
          Protection through Enforcement Program" for the period from November
          1, 1997 through August 31, 2000 and authorizing the City Manager to
          implement changes within the budget.

                      INTRODUCTION OF AN ORDINANCE
          Creating 3 new positions as required by grant, awarded by the United
          States Environmental Protection Agency through the Texas Natural
          Resource Conservation Commission in the amount of $161,121.00, with
          the City designating $107,414.00, in matching funds and/or in-kind
          services for a total of $268,535.00, to develop "Watershed Protection
          through Enforcement Program" for the period from November 1, 1997
          through August 31, 2000 and authorizing the City Manager to implement
          changes within the budget.

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

          Ordinance Introduction: City Council

      77. Public hearing amending Chapter 21 Offense and Miscellaneous
          Provisions, Article V. Alarm Systems of the Code of Ordinances to the
          City of Laredo.

                      INTRODUCTION OF AN ORDINANCE
          Amending Chapter 21 Offense and Miscellaneous Provisions, Article V.
          Alarm Systems of the Code of Ordinances to the City of Laredo.

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

          Ordinance Introduction: City Council

      78. Public hearing approving an amendment to the contract with the Texas
          Department of Health and budget in the amount of $190,332.00, for the
          Tuberculosis Elimination Program of the City of Laredo Health
          Department for the period beginning September 1, 1997, through August
          31, 1998.

                      INTRODUCTION OF AN ORDINANCE
          Approving an amendment to the contract with the Texas Department of
          Health and budget in the amount of $190,332.00, for the Tuberculosis
          Elimination Program of the City of Laredo Health Department for the
          period beginning September 1, 1997, through August 31, 1998 and
          increasing revenue line item no. 226-0000-323-4042 from $0 to
          $190,332.00, and increasing expenditure line item no. 226-6062 from $0
          to $190,332.00.

          Motion to open the public hearing.

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

          Ordinance Introduction: City Council

      79. Public hearing approving an amendment to the contract with the Texas
          Department of Health and budget in the amount of $192,828.00, for the
          Tuberculosis Prevention/Control Projects of the City of Laredo Health
          Department for the period beginning January 1, 1998, through December
          31, 1998.

                      INTRODUCTION OF AN ORDINANCE
          Approving an amendment to the contract with the Texas Department of
          Health and budget in the amount of $192,828.00, for the Tuberculosis
          Prevention/Control Projects of the City of Laredo Health Department
          for the period beginning January 1, 1998, through December 31, 1998
          and increasing revenue line item no. 226-0000-323-4071 from $0 to
          $192,828.00, and increasing expenditure line item no. 226-6076 from $0
          to $192,828.00.

          Motion to open the public hearing.

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

      80. Award of contract to the LOW BIDDER, Home Art, Laredo, Texas, in the
          amount of $18,790.00, for the purchase of kitchen cabinets at the Jose
          A. Flores Apartments. Bids were received on finished cabinets only,
          with the Laredo Municipal Housing Corporation maintenance staff being
          responsible for their installation. $19,800.00 is budgeted for the
          replacement of the cabinets in 15 rental units. A total of four bids
          were received for this purchase.  Funding is available in the Laredo
          Municipal Housing Corporation - buildings.

          Motion to approve.

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

      81. Accepting the terms of the Interim Construction Agreement from
          International Bank of Commerce (IBC) in the amount of $2,205,500.00
          for the construction of 50 affordable homes under the Laredo Municipal
          Housing Corporation (LMHC) Lease/Purchase Program in the Riverhills
          Subdivision, Unit 1 and authorizing the LMHC Vice President to enter
          in agreement.

          Motion to approve.

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

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

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

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

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

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

      82. Public hearing and motion to realign the following three El Metro Bus
          routes in order to increase efficiency, productivity, and on-time
          performance and allow for the proper interlink with the two new routes
          Loop 20 Shuttle and South Laredo Circulator:
          a) Route #5 Marcella
          b) Route #9 Market
          c) Route #14 Santa Rita

          Motion to open the public hearing.

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

          Gilbert Segovia, El Metro Manager, made the presentation which
          included the following changes:  to realign three existing routes and
          the other two are two new routes that had been presented to council at
          the budget workshops.

          Route #5 Marcella is proposed to be realigned by eliminating a small
          section of the route that is south of Pappas Street due to closure of
          the old K-Mart store and has resulted in very low boarding and
          alighting in this area.  This section also requires a difficult
          turning maneuver from Bartlett to Jarvis.

          Route #9 Market is proposed to be realigned further to the east to
          serve the United South High School and Los Presidentes area.  The
          section of this route that is being eliminated which is south of Palo
          Blanco St. will be realigned by eliminating a section of the route
          that is south of Pita Magana and east of Zapata Hwy.  This section is
          proposed to be served by the South Laredo Circulator.  This route is
          currently having trouble keeping time because of its length and train
          delays.

          Route #14 Santa Rita is proposed to be realigned by eliminating a
          section of the route that is south of Pita Magana and east of Zapata
          Hwy.  This section is proposed to be served by the South Laredo
          Circulator.  This route is currently having trouble keeping time
          because of its length and train delays.

          Mr. Julian Negrete, a resident from Los Obispos, stated that people in
          his neighborhood are against the change which will affect Los Obispos
          area, because they will not have a route that takes them straight
          downtown.

          Bill Cain, representing the drivers of El Metro, stated that they had
          concerns with the Santa Rita route because they think there should be
          two buses rather than having an east bus and a west bus.  He said that
          having people transfer at Zacatecas would create a big problem, it
          would overload the buses that will be coming downtwon, and it will
          create a problem with the Corpus route.  There are more people that
          use the bus on the east side than on the west side.  As far as the #9
          route, since its going where the Americas route is, he is not sure
          where the Americas route is going to go, whether they are getting rid
          of that route or is it going to be realigned because there is no
          mention of that.

          Motion to close the public hearing, table the item, and send it back
          to the Transportation Committee for recommendations.

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

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

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

  XV.  ADJOURNMENT

          Motion to adjourn.  Time: 10:12 p.m.

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

I HEREBY CERTIFY THAT THE ABOVE MINUTES CONTAINED IN PAGES 01 TO 50
ARE TRUE, COMPLETE, AND CORRECT PROCEEDINGS OF THE REGULAR CITY COUNCIL MEETING
HELD ON THE 15TH DAY OF DECEMBER, 1997.  A CERTIFIED COPY IS ON FILE AT THE CITY
SECRETARY'S OFFICE.


                                  ________________________
                                   GUSTAVO GUEVARA, JR.
                                   CITY SECRETARY