CITY OF LAREDO
                          CITY COUNCIL MEETING
                                M98-R-26
                              JUNE 22, 1998
                                5:30 P.M.


   I. CALL TO ORDER

      With a quorum present Mayor Elizabeth G. Flores called the meeting
      to order.

  II. PLEDGE OF ALLEGIANCE

      Mayor Elizabeth G. Flores led in the Pledge of Allegiance.

 III. ROLL CALL
      IN ATTENDANCE:
      Elizabeth G. Flores,                  Mayor
      Alfredo Agredano,                     Councilmember, District I
      Louis H. Bruni,                       Councilmember, District II
      John C. Galo,                         Councilmember, District III
      Cecilia May Moreno,                   Councilmember, District IV
      Eliseo Valdez, Jr.,                   Councilmember, District V
      Joe A. Guerra,                        Councilmember, District VI
      Mario G. Alvarado,                    Councilmember, District VII
      Consuelo "Chelo" Montalvo,            Councilmember, District VIII
      Gustavo Guevara, Jr.,                 City Secretary
      Florencio Pena, III,                  City Manager
      Jaime L. Flores,                      City Attorney

  IV. FINAL READINGS

      Motion to waive the final readings of Ordinances #98-0-157,
      #98-0-159, #98-0-160, #98-0-162, #98-0-163, #98-0-164, #98-0-165,
      #98-0-166, #98-0-167, #98-0-168.

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

      2. 98-O-157  Ordinance amending Chapter 2, Article II, Division 6,
                   of the Code of Ordinances of the City of Laredo,
                   entitled pay administration, by amending Section
                   2.87.7(d)(15)(c), thereby adopting a revised pay
                   schedule increasing all steps in all grades in the
                   pay schedule by one and one-half percent (1 1/2%)
                   with a revised effective date of implementation of
                   May 31, 1998.  (City Council)

                   Motion to approve Ordinance #98-0-157.

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

      3. 98-O-159  Ordinance approving and authorizing the execution of
                   a 40'x 40' permanent equipment and access easement
                   with Southwestern Bell Telephone located along Foster
                   Avenue at the Laredo International Airport.
                   Authorizing the City Manager to execute all necessary
                   documents of conveyance effectuating same.  Said
                   equipment and access easement is more particularly
                   described by metes and bounds.  (City Council)

                   Motion to approve Ordinance #98-0-159.

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

      4. 98-O-160  Ordinance authorizing the City Manager to execute a
                   lease renewal with the State of Texas General
                   Services Commission on behalf of the Texas Department
                   of Health, Public Health Region 11, for 2,025 square
                   feet of office space at the City of Laredo Health
                   Complex located at 2600 Cedar Street.
                   a. lease renewal term will be from September 1, 1998,
                      through August 31, 1999;
                   b. no rental cost, lessee will pay a sum in the
                      amount of $770.42 per month for electricity and
                      janitorial services.  (City Council)

                   Motion to approve Ordinance #98-0-160.

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

      5. 98-O-162  Ordinance authorizing the waiver of parking fees at
                   the Laredo Transit Center for patrons at the garage
                   between 7:00 P.M. and 11:00 P.M. on Thursday, June
                   25, 1998, subject to a $100 contribution by the
                   Laredo Philharmonic Orchestra (L.P.O.).  The parking
                   fees will be waived in order to support the L.P.O.'s
                   Mozart Opera Gala Festival, a community event, in
                   downtown Laredo.  (City Council)

                   Motion to approve Ordinance #98-0-162.

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

      6. 98-O-163  Ordinance amending the Zoning Ordinance (Map) of the
                   City of Laredo by authorizing the issuance of a
                   Conditional Use Permit for a paint and body shop on
                   Lot 6 and the east 1/2 of Lot 5, Block 894, Eastern
                   Division, located at 1619 Market Street.
                   (John C. Galo)

                   Motion to approve Ordinance #98-0-163

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

      7. 98-O-164  Ordinance amending the Parks and Recreation
                   Department 97-98 budget to reflect the hiring of five
                   additional seasonal employees (four lifeguards and
                   one pool supervisor). This amendment to the budget
                   will be necessary to accommodate a proposed inter-
                   local agreement between the City of Laredo and Laredo
                   Community College. This agreement between the Parks
                   and Recreation Department and Laredo Community
                   College for use of the LCC swimming pool stipulates
                   the various responsibilities of each entity and
                   allows for the swimming pool to be staffed with
                   seasonal employees paid by the City for use by the
                   general public. The financial impact to the budget
                   for the 1997-1998 fiscal year for the additional
                   seasonal employees would be $3,164.00. (City Council)

                   Motion to approve Ordinance #98-0-164.

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

      8. 98-O-165  Ordinance amending the contract with the Texas
                   Department of Health and budget revision in the
                   amount of $46,440.00 in additional funds for "Los Dos
                   Laredos" TB Binational Project of the City of Laredo
                   Health Department and extension of grant period
                   through December 31, 1998.  (City Council)

                   Motion to approve Ordinance #98-0-165.

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

      9. 98-O-166  Ordinance amending the City of Laredo's 1997-1998
                   Annual Budget in the amount of $12,950.00 for the
                   purchase of a canine, canine maintenance, training
                   and safe for the Financial Disruption Task Force for
                   the period of January 1, 1998 and ending December 31,
                   1999.  (City Council)

                   Motion to approve Ordinance #98-0-166.

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

     10. 98-O-167  Ordinance amending the City of Laredo's 1997-1998
                   Annual Budget in the amount of $46,094.00 from Laredo
                   Community College for implementing the Stormwater
                   Management and Ecology Demonstration Park.
                   (City Council)

                   Motion to approve Ordinance #98-0-167.

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

     11. 98-O-168  Ordinance amending the City of Laredo Code of
                   Ordinances, Chapter 17 LIBRARY, Article 1, IN
                   GENERAL, to include a new section entitled "Fines and
                   Fees for Library Services." This will allow for the
                   collection of overdue fines, lost or damaged library
                   materials, copier vending fees, microfilm copier
                   fees; and new fees associated with new services at
                   the library such as: fee-based database searches, the
                   use of meeting rooms, computer printouts, pen and
                   pencil vending machines, audio-visual equipment use,
                   and security, custodial and media technician services
                   at the Laredo Public Library, providing for
                   publication and effective date. (City Council)

                   Motion to approve Ordinance #98-0-168.

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


   V. RESOLUTIONS

     12. 98-R-094  Amending the City of Laredo's 1997-1998 annual budget
                   in the amount of $115,168.00 for the Criminal Justice
                   Division Grant from the Office of the Governor. The
                   Office of the Governor is contributing $78,172.00
                   with the City designating $36,996.00 in matching
                   funds. These funds for the Domestic Violence grant
                   under the Violence Against Women Act (VAWA) is for
                   the period of June 1, 1998 through May 31, 1999.

                   Motion to approve Resolution #98-R-094.

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

     13. 98-R-095  Adopting the list of capital improvement projects to
                   be submitted to the South Texas Development Council
                   (STDC) for incorporation in the Overall Economic
                   Development Program Plan (OEDP) to be provided to the
                   U.S. Department of Commerce, Economic Development
                   Administration (EDA) for potential funding
                   consideration and authorizing the City Manager to
                   submit a follow-up grant application as may be
                   directed by EDA.  Projects named include:
                   1. El Portal Riverfront Development Project
                   2. Water and wastewater infrastructure along FM 1472
                      (Mines Road) from the Pan American Industrial Park
                      to the Santa Isabel Creek Bridge.

                   Motion to approve Resolution #98-R-095

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

     14. 98-R-096  Appointing the nominee, David Garza, of District I,
                   Council member Alfredo Agredano to the Parks and
                   Recreation Advisory Board.

                   Motion to approve Resolution #98-R-096.

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

     15. 98-R-097  Replacing the City Manager, Florencio Pea III, with
                   Mayor Elizabeth G.  Flores to the Interim Board for
                   the Designation of the Rio Grande as an American
                   Heritage River.

                   Motion to approve Resolution #98-R-097.

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

     16. 98-R-098  Appointing the nominee, Olga Gentry, of District III
                   Council member John C. Galo to the Library Board.

                   Motion to approve Resolution #98-R-098.

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

     17. 98-R-099  Appointing the nominee, Leroy Morin, of District III
                   Council member John C. Galo to the Parks and
                   Recreation Advisory Board.

                   Motion to approve Resolution #98-R-099.

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

     18. 98-R-101  Authorizing the City Manager to accept a grant
                   application to the Governor's Office for funding of
                   personnel and direct operating expenses for a Multi-
                   Agency Narcotics Task Force in the amount of
                   $758,249.00 with the City designating $294,166.00 in
                   matching funds for a total of $1,052,415.00 and
                   authorizing the City Manager to sign any and all
                   documents pertaining to this grant application.

                   Motion to approve Resolution #98-R-101.

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


  VI. MOTIONS

     19.  Approval of bid specifications and authorization to advertise
          for request for proposals (RFP) for the Institutional Network
          equipment to support a data, voice and video network over the
          City's fiber optic network. A tentative bid award date is
          scheduled for August 23, 1998.

          Motion to approve.

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

     20.  Authorizing the award of a consultant services contract to
          John J. Kane, AICP in the amount of $10,000.00 plus expenses
          for preparation of an application to the U.S. Department of
          Housing and Urban Development (HUD) for Round II Designation
          as an Urban Empowerment Zone (EZ).

          Cm. Galo requested to be given an overview of the empowerment
          zone and what the $10,000 plus expenses would cover.

          Cindy Collazo, Community Development Director, informed Cm.
          Galo that this is Round II of the Empowerment Zone.  At this
          point, they are looking at funding 15 enterprises and 5 as
          rural.  This is a $100,000,000 award, at a rate of $10,000,000
          for ten years.

          Eligibility criteria for these empowerment zones are:

              -must be an urban area, not to exceed 20 square miles in
               total land.
              -must have a continuous boundary or consist of not more
               than three non-continguous parcels which means a poverty
               rate of not less than 25% for 90% of the census track.
              -poverty rate for at least 50% of the census track must be
               at 35%.
              -population must be at least 50, but not less than
               200,000.
              -area must be one of persuasive poverty, employment and
               general distress.  Area is located within the
               jurisdiction of the unit or units of general local
               government.  Cannot be the central business district
               unless the poverty rate is 35% of each track.

          Mrs. Collazo further explained that the $10,000 were the
          consultant fees to be paid to Mr. John J. Kane and the plus
          expenses would cover his travel expenses to come to Laredo.

          Motion to approve.

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

     21.  Award of contract to the SOLE BIDDER, American Appraisal
          Associates, Houston, Texas, in the amount of $39,800.00, for
          performing a fixed asset valuation. The fixed assets to be
          included in this project include capital improvements,
          machinery, and equipment, and office furniture and equipment.
          American Appraisal has extensive experience in conducting
          these types of asset valuations.

          Motion to approve.

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


 VII. CITY MANAGER'S REPORT

     22.  Presentation by Traffic Department on City Street Striping
          Program for Fiscal Year 1997-1998.

          Roberto Murillo, Traffic Engineer, stated that the report is
          in the package given to Council in the agenda book.  A full
          report is available for public viewing and review in the
          agenda book which also includes staff and equipment available
          in the City Secretary's Office.

     23.  Presentation by Public Works Department on Creek Cleaning
          Efforts throughout the City.

          Motion to include item B(2) with this item for discussion.

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

          Oscar Medina, Assistant Public Works Director, stated that he
          included in the council's package the different portions of
          information.

          These lists are available in the agenda book for public
          viewing and review in the City Secretary's Office.

          Cm. Valdez stated that a discussion concerning the concrete
          lining of some of the smaller creeks, such as the one north of
          Gale and north of Calle del Norte which was part of the
          McPherson Acres Drainage Project.

          Cm. Guerra requested to have included in the project of
          concrete lining the creek along St. James close to Calle del
          Norte and the creek between La Mansion and the Coastal
          Maverick Market.

          Cindy Collazo, Community Development Director, reported that a
          map was being presented to Council to designate the areas
          along Chacon Creek that indicate that all, except for a few
          exceptions, are privately owned.  The city does own some
          intersections.  She further stated that if Council wished to
          establish a clean-up project, it could be set up in phases.

          Florencio Pena, City Manager, concurred with Mrs. Collazo and
          recommended that it be done in phases since this is a project
          of major undertaking.

          Cm. Galo asked to know about ownership from the river to the
          Meadow Bridge?  Can letters be sent to these owners to enforce
          Cleanup?

          Mrs. Collazo stated that staff would do research to establish
          ownership and letters would be mailed out.

     24.  Discussion and possible action regarding the construction of
          the Farias Elementary School Student Drop-off/Pick up Area
          Improvements Project.  This is a cost sharing project between
          the City of Laredo and Laredo Independent School District
          (LISD). Funding is available 1998 C.O. Issue School Drop-offs.

          Florencio Pea, Manager, reported that L.I.S.D.  had met
          earlier and had tabled the item because of being unsure of
          some issues.  Bids received came in at $120,000 over our
          budget so staff has decided that the project could be done in
          house to reduce the cost.  He further stated that L.I.S.D.
          would be required to put up an additional $40,000 and city to
          put in $20,000 of in-kind on labor force.

          Mr. Pena recommended that Council approve the project to be
          done in house pending L.I.S.D.'s decision.  Staff will report
          outcome at next scheduled meeting on July 6th.

          Rogelio Rivera, Director of Engineering, stated that he had
          attended the L.I.S.D. meeting and basically they needed more
          time to review.  Of major concern to the board is off-street
          parking that parents will still continue to use as opposed to
          using the drop-off and pick-up area.

          Motion to proceed to amend the budget to add $20,000 and the
          project be done in-house contingent of the LISD approval of
          their budget amendment, and to reject the two bids received.


          Moved : Cm. Alvarado
          Second: Cm. Bruni
          For:  7                       Against:  0         Abstain:  1
                                                            Cw. Moreno

VIII. COMMUNICATIONS

      None due to audio difficulty.

  IX. CITY COUNCIL PRESENTATION AND DISCUSSION

      25. Requests by Mayor and City Council members for presentation
          and discussion.

      A.  Requests by Council member Louis H. Bruni

          1. Status report on the deficiency of the Detention Pond at
             the Del Mar Junction owned by Mr. Del A. Trautmann,
             Trautmann Investment Properties Ltd., with possible action.

             Cm. Bruni introduced a video showing the condition of the
             detention pond at the Del Mar Junction.  He also read a
             letter dated September 18, 1997, addressed to Foster
             Engineering from the City of Laredo Engineering Department,
             Environmental Division.  The letter read as follows:

                 "Dear Mr. Sepulveda (employee for Foster Engineering):

                  Upon receiving the submitted plans and a site visit by
                  the Environmental Engineer it is noticed that the
                  retention pond at the Del Mar Junction site was not
                  built according to design.  The outlet structure was
                  not completed and the city's concern is the failure of
                  the retention pond and the downstream flooding
                  problems.  Also, for the public safety the retention
                  pond should have a fence around it.

                  Please take the necessary steps to construct the
                  outlet and fence it at your earliest convenience.  If
                  you have any questions regarding this matter, please
                  feel free to call.

                  Thank you for your assistance.

                  Sincerely,

                  Rogelio Rivera, P.E.
                  City Engineer"

             The letter was carbon copied to Mr. Del A. Trautmann of
             Trautmann Investment Properties Ltd.  A second notice was
             sent on February 11, 1998.

             Cm. Bruni further stated that when Mr. Trautmann had made
             his presentation to Council to address the issue of the
             retention pond he had failed to say that he had not
             complied with the city ordinance and that he was in
             violation of the law.

             Cm. Bruni continued to inform Council that he was glad that
             everyone had seen on the video what the pond looks like and
             that it has not been finished.  The letter of credit was
             returned to Mr. Trautmann so now the city may have to build
             the pond or see how the developer will pay for the
             construction.

             A letter addressed to Mr. Rogelio Rivera from Mr. Jay
             Trautmann was read by Cm. Bruni:

                  "I am aware of the situation regarding the detention
                   location at Del Mar and of the two pending issues in
                   the construction of the spillway and the fencing of
                   the pond.

                   I have spoken to Mr. Louis Bruni the Councilman for
                   the district in which the Del Mar Junction is located
                   and have discussed giving us 45 days to complete the
                   problems that exist.

                   I apologize for the delay."

                   Signed, Mr. Jay Trautmann.

             Cw. Montalvo asked what had happened to the letter of
             credit, why had it been sent back to the developer?

             Florencio Pena, City Attorney, stated that the developer
             had completed a substantial part of the development with
             the exception of the spillway and the fence.  The drainage
             portion of the project was approximately $170,000, so the
             developer had requested that the letter of credit be
             reduced to $33,000, which was the amount that was needed to
             complete the spillway and the fence.

             Mr. Pea further explained that when a developer files a
             plat to do a subdivision it is required that they put up
             letter of credit for all public improvements that they are
             required to do.  When they finish the improvements, the
             letter of credit is released.

             Staff and Mr. Pena have discussed evaluation of the general
             practice of releasing or reducing letters of credit when a
             substantial part of the improvements have been completed
             and will come back to Council with a recommendation.

             Del Trautmann stated that he represented part ownership of
             the Del Mar Junction and Mr. Jay Trautmann, Cm. Bruni's
             friend, owns as much as he does and is as much responsible
             as he is in terms of this project.  He added that he had no
             intention of misleading Council when he had made his
             presentation of what retention was and what it was not.
             Further stating that in spite of what Cm. Bruni thought or
             tried to imply that he had done, it was all a mistake.  It
             is a continuous misrepresentation of his property and his
             projects on Cm. Bruni's behalf.  It is interesting to know
             that Cm. Bruni picked to cite his name out on the project
             and not his cousin's, who is Cm. Bruni's friend.  He added
             that this should be kept on an equal basis because it was
             starting to get really ugly.

             Cm Bruni responded by stating that the reason that Mr. Jay
             Trautmann's name was not mentioned was because his name did
             not appear on the communication or the letter that he had
             received.

             Mr. Trautmann continued to explain why the completion of
             the spillway had come to a halt.  Also, stated that their
             engineering firm had submitted to the City's Engineering
             Department another design for the spillway because of a 36
             inch pipe that is needed and is on order.  So the project
             should be finalized in two weeks from this coming Monday
             (July 13th).

          2. Status report on the construction violation of a Retention
             Pond at Lago Del Mar Ltd. owned by Mr. Del A. Trautmann,
             Trautmann Investment Properties Ltd. (Citation #92-0153),
             with possible action.

             Cm. Bruni while showing a video reported that on the
             eastern part of the property there was what appeared to be
             a retention pond and added that Mr. Del Trautmann had
             informed Council that this was not a pond but had excavated
             because he needed some field dirt on the western part of
             the property.  Cm. Bruni explained that Mr. Trautmann had
             been cited for this.  Also pointing out that on the western
             part there was a pond that Mr. Trautmann had not gotten
             final approval on but went ahead and constructed anyway.

             Mr. Trautmann had come to the City's Engineering Department
             to get a permit to aerate some land, which the city had
             given him.

             Cm. Bruni read Citation No. 92-0153:

             Citation to Mr. Del A. Trautmann, 1201 Del Mar-Eastern
             Part-Lago Del Mar.  Violation of Chapter 11, Section 3-1,
             a, b, & c.

                         City of Laredo Subdivision Ordinance

                 Failure to submit construction plans and specifications
                 to the City Engineer prior to commencement of construc-
                 tion on Unit 5 of the Lago Del Mar Subdivision located
                 in the vicinity of Country Club Drive and S. of Del Mar
                 Boulevard.


             Cm. Bruni then requested to know what staff has done about
             this citation.

             Cm. Bruni then read from a report of a water sample that
             accumulates South of Del Mar Boulevard from the Laredo
             Country Club run off that drains.  The analysis shows that
             the water is extremely brackish as evidenced by its
             conductivity of 6,090 millimeters per liter of water.
             Also, the water sample showed some Fecal Coliform bacteria.

             Jaime L. Flores, City Attorney, informed Cm. Bruni that the
             developer had been cited and had answered in court through
             his attorney, Steve A. Whitworth.  Case is set for pre-
             trial conference at Municipal Court.

             Cm. Bruni then requested to know what the findings were on
             the retention pond being built on the western part of the
             property?

             Florencio Pea, City Manager, stated that staff from the
             engineering department had visited the site and had
             informed him that the excavation is being done to dry out
             the soil which is consistent with the permit that was
             requested by the developer.

             Steve Whitworth stated that a citation has been issued, a
             plea of not guilty has been answered, and the matter is
             pending before Municipal Court.  May I remind everyone that
             in this country we are presumed innocent until proven
             guilty.  We are not here to try this case before a Kangaroo
             Court that Cm. Bruni has tried to put on.  The facts will
             show that we have a valid defense.  We have permission from
             the city to do grading, which we are doing.  A citation was
             subsequently entered and we stopped doing what we were
             doing until we got permission to proceed.  This is not the
             forum to try this matter it has been referred to Municipal
             Court.  With all due respect to this Council this should
             not be dealt into any further.  We will put up our case at
             the appropriate time.

             Cm. Bruni stated that in closing he would like to state
             that unfortunately Mr. Whitworth thought he is above the
             law and that he could do whatever he wants and then come
             and intimidate Council and tell us legally what we can and
             cannot do.  We are not picking on Mr. Whitworth or Mr.
             Trautmann we just want all the laws and all the ordinance
             to apply to all the developers.

             Mr. Del Trautmann stated that Cm. Bruni continued to call
             him a liar and that he had to take exception to that.  He
             further stated that he has worked with the city for many
             years and had always tried to do a good job but Cm. Bruni
             continues his attacks and that questions his integrity.
             The only thing he was asking from Cm. Bruni was to let
             staff and department heads do their jobs.  He then added
             that Council should take into consideration what is going
             on and not to become part of the masquerade that Cm. Bruni
             had to undermine his brother-in-law.

             Cw. Montalvo asked Mr. Trautmann that if in fact he had
             worked with city staff for many years, why was it then that
             he would not comply with the rules that the city had?

             Del Trautmann responded by saying that he had indeed always
             complied with the city's rules and had gone beyond the
             scope of most development criteria.

             Cm. Galo stated that if the developer had not gotten final
             plat approval they will have to fill in the retention pond
             and re-grade all their surface.  As far as hauling the
             water off, he thought the developer was doing the city a
             favor.  This would avoid the water going downstream, if in
             fact it is contaminated.

             Cm. Bruni stated that what really concerned him was that
             every time he would bring up an issue of someone not
             abiding by city's ordinances or breaking the law (as the
             citation I read before), I am told that it is a personal
             vendetta.  Mr.  Whitworth is a master of mirrors and smoke
             screens so he comes up here and says that this is a
             personal vendetta and that I am breaking the law because I
             do not like him.  I want this Council to know that this is
             not the case, this issues are very serious to me as they
             are to the constituents of District II.  Further stating
             that everyone should stick to the issues and not bring in
             personalities.

             Mr. Whitworth stated that Cm. Bruni should practice what he
             preaches.  He added that he did not want to make this a
             personal match between Cm. Bruni and himself and had tried
             to stick to issues but that the remarks were so outrages,
             so off-the-wall, and so false.  Mr. Whitworth further
             stated that Council knew what motivated Cm. Bruni when it
             pertains to his conduct and his involvement in various
             ventures.

             Mayor Flores thanked Mr. Whitworth and stated that Council
             is very concerned that all ordinances are abided by and
             that this was the only thing of interest to them.

             Cm. Bruni thanked Mayor Flores for her comment and further
             stated that Council was here to enforce all ordinances.

          3. Status report on the upper Zacate Creek Master Drainage
             Study, with possible action.

             Cm. Bruni referred to a newspaper article that had appeared
             in the Laredo Morning Times on Monday, June 22, 1998, which
             read as follows:

                 "In city action Cm. Bruni has listed three items that
                  all relate to detention ponds owned by Mr. Del
                  Trautmann at the Del Mar Junction and Lago Del Mar
                  area of the Upper Zacate Creek Water Shed.  The re-
                  visiting of this issue follows last week's City
                  Council action to rescind the moratorium on detention
                  ponds until the completion of the Upper Zacate Creek
                  Drainage Project."

             Cm. Bruni stated for the record and for the Laredo Morning
             Times reporters that there was never a moratorium on
             retention ponds, never, ever, ever was there a moratorium
             on retention ponds.  We can have legal counsel verify that
             and also the city manager.  There was a motion made to look
             into the possibility and then have staff come back to
             Council with their findings.  I repeatedly made that point
             clear last Monday but somehow it got lost somewhere.
             Obviously the reporter failed to hear it and some council
             members also failed to hear it.  He then proceeded to ask
             that staff present information on the status of the report
             of the drainage project.

             Rogelio Rivera, City Engineer, reported that on Friday,
             June 19, 1998, at 4:00 p.m. he had received the six RFP's
             that were submitted for this project.  It will now be
             forwarded to the Contract Review Committee.

             Cm. Bruni asked Mr. Rivera how soon after the Contract
             Review Committee reviews the RFP's will we be able to award
             the contract?

             Mr. Rivera responded that possibly at the 2nd meeting in
             July.

             Cm. Bruni once again asked Mr. Rivera how long after the
             award would it come back before Council?  Would it be six
             months?

             Mr. Rivera responded that it was more like nine months to
             have the contract completed.

             Cm. Bruni stated that for the people watching the Public
             Access Channel, City Council, and the people in the
             audience, this is a very important issue in District II
             because we are talking about an area that produces so much
             run off and is an undeveloped area.  It certainly will be
             in the best interest and the safety of the citizens of
             District II that we study this carefully and make the
             appropriate and wise decision on what to do in terms of
             where these retention ponds should go.  He further stated
             that he was a firm believer that things should be done
             right when the opportunity is there to develop in virgin
             country.  Let us do it right and not be intimidated by
             developers that want to develop their land and move on.

             This area would be a beautiful area for the City of Laredo,
             not only for District II.  By building a regional detention
             facility we could incorporate baseball diamonds, soccer
             fields, and a beautiful park area.  That is my goal, and I
             think that all my colleagues would agree with me that this
             must be an orderly development in order to make Laredo a
             better place to live for our children and for the people
             who visit our city.  That is the purpose why I advocate and
             put this issues before City Council and not for any other
             reason as some people are led to believe--what I want is
             for this area to look pretty and resemble other areas in
             our community, somewhat like what Cm.  Alvarado's area
             will be having in the Father McNaboe Park.

      B.  Requests by Council member John C. Galo

          1. Discussion and possible action on the on-street parking
             around La Pulga (400 Block of Guadalupe), Ruth B. Cowl
             (1220 N. Malinche Avenue), Homeline Hospice Care
             (1115 Chihuahua).

             Cm. Galo reported that he had gotten complaints from
             residents in that area stating that people that visit La
             Pulga park their cars by their driveways and in some cases
             blocking their view.  Also, some people are freelancing in
             front if residents' yards.  Basically what Cm. Galo was
             requesting is that the police department enforce the
             parking regulations.

          2. Report from staff on cleanup of Chacon Creek with possible
             action.

             This item was discussed in item #23.

          3. Update of the cleanup of the basketball courts in Three
             Points Park as well as re-striping of the courts.

             John Vidauri, Director of Parks & Recreation, reported that
             the basketball nets were put up on Wednesday, June 17,
             1998.  The paint has been ordered to do the re-striping for
             3-Points Park, Ochoa Park, Chaparral Park, Las Brisas
             Northeast, and Del Mar.

             In regards to the pigeon problem this needs a long term
             solution.  We understand that parks and recreation is
             responsible for animal control within the park area and
             have been informed by animal control that they respond to
             issues outside of park areas.  Mr. Pena has instructed
             staff to work on this issue.

             The clean up work of the area has been initiated.  We are
             organizing our parks crews into north crews and south crews
             in hope of better managing our park system and should see
             some improvement soon.

          4. Status Report on the possibility of creating a recreation
             area at the new Parks and Recreation Depot (Old Armory).

             Cm. Galo asked if it was possible to leave some land aside
             and designate it for the neighborhood children to use as a
             playground, perhaps put up some swing sets in the future
             for them to have there.

             John Vidauri stated that the engineering department was in
             the process of working on a siding and grading plan in the
             back of the building for storing our equipment.  As soon as
             we have this plan in place we will report back to Council.


   X. PUBLIC HEARINGS

     26.  Public hearing amending Sections 24.63, 24.65.15 and 24.65.16
          of the Laredo Land Development Code by allowing for the
          storage of hazardous materials, incidental to transportation
          and storage, in M-1 (Light Manufacturing Districts) and
          storage and handling of hazardous materials in M-2 (Heavy
          Manufacturing Districts).  The Planning and Zoning Commission
          recommends approval of this amendment.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending Sections 24.63, 24.65.15 and 24.65.16 of
          the Laredo Land Development Code by allowing for the storage
          of hazardous materials, incidental to transportation and
          storage, in M-1 (Light Manufacturing Districts) and storage
          and handling of hazardous materials in M-2 (Heavy
          Manufacturing Districts).

          Motion to open the public hearing.

          Moved : Cm. Bruni
          Second: Cw. Moreno
          For:  8                   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:  1         Abstain:  0
                                    Cm. Galo

          Ordinance Introduction: City Council

     27.  Public hearing regarding an application by Guillermo Garza
          amending the Zoning Ordinance (Map) of the City of Laredo by
          rezoning the north 1/3 of Lot 5, and the north 1/3 of the east
          56.56 feet of Lot 6, Block 1021, Eastern Division, located at
          3316 S. Buena Vista Avenue, 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
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning the north 1/3 of Lot 5, and the north 1/3
          of the east 56.56 feet of Lot 6, Block 1021, Eastern Division,
          located at 3316 S. Buena Vista Avenue, from R-3 (Mixed
          Residential District) to B-1 (Limited Business District).

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the
          ordinance.

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

          Ordinance Introduction: Cm. Agredano

     28.  Public hearing regarding an application by Arguindegui Oil
          Co., amending the Zoning Ordinance (Map) of the City of Laredo
          by rezoning 10.7286 acres, as further described by metes and
          bounds, located on SH359 east of the Bob Bullock Loop, from R-
          1 (Single Family Residential District) to M-1 (Light
          Manufacturing District). The Planning and Zoning Commission
          recommends approval of B-4 on the site.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning 10.7286 acres, as further described by
          metes and bounds, located on SH359 east of the Bob Bullock
          Loop, from R-1 (Single Family Residential District) to M-1
          (Light Manufacturing District).

          Motion to open the public hearing.

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

          Alfonso Arguindegui asked that council reconsider the zoning
          change to an M-1 instead of a B-4 and overturn the
          recommendation from the P&Z.

          Motion to close the public hearing and override the P&Z
          recommendation of a B-4 and approve an M-1 zone change and
          introduce the ordinance.

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

          Ordinance Introduction: Cm. Agredano

     29.  Public hearing regarding an application by Santa Fe
          Development, L.C., R. Hachar amending the Zoning Ordinance
          (Map) of the City of Laredo by rezoning 11.6087 acres, as
          further described by metes and bounds, located on the
          southwest corner of the intersection of Orango Boulevard and
          River Front Road, from R-3 (Mixed Residential District) to
          R-1-MH (Single Family Manufactured Housing District).  The
          Planning and Zoning Commission recommends approval of this
          zone change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning 11.6087 acres, as further described by
          metes and bounds, located on the southwest corner of the
          intersection of Orango Boulevard and River Front Road, from R-
          3 (Mixed Residential District) to R-1-MH (Single Family
          Manufactured Housing District).

          Motion to open the public hearing.

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

          There was not public input.

          Motion to close the public hearing and introduce the
          ordinance.

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

          Ordinance Introduction: Cm. Agredano

     30.  Public hearing regarding an application by Julian Del Bosque
          amending the Zoning Ordinance (Map) of the City of Laredo by
          rezoning Lot 11, Block 229, Eastern Division, located at 1619
          Cedar Avenue, from B-1 (Limited Business District) to B-3
          (Community Business District).  The Planning and Zoning
          Commission recommends denial of this zone change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning Lot 11, Block 229, Eastern Division,
          located at 1619 Cedar Avenue, from B-1 (Limited Business
          District) to B-3 (Community Business District).

          Motion to open the public hearing.

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

          Mr. Julian Del Bosque was asking the zone change request for
          the purpose of providing a car wash.

          Cm. Galo made a motion to approve a conditional use permit for
          a period of 6 months as a hand car wash and that the applicant
          concurs to amend the application.

          Motion to table the item.

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

          Mr. Del Bosque was told that the item was tabled because legal
          counsel will have to research on the matter of issuing a
          conditional permit.

     31.  Public hearing regarding an application by Carmen Sawyer and
          Maria Garcia amending the Zoning Ordinance (Map) of the City
          of Laredo by rezoning Lots 3A and 4A, Block 243, Eastern
          Division, located at 1718 Springfield Avenue, from R-3
          (Mixed Residential District) to B-1 (Limited Business
          District).  The Planning and Zoning Commission recommends
          denial of this zone change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning Lots 3A and 4A, Block 243, Eastern
          Division, located at 1718 Springfield Avenue, from R-3 (Mixed
          Residential District) to B-1 (Limited Business District).

          Motion to open the public hearing.

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

          Carmen Sawyer, property owner, asked the zone change to rent
          her house to a Beauty Salon.  She said that some of the
          complaints were that there is not enough parking spaces.

          Mrs. Hermelinda Arnold stated that she had 17 letters of
          opposition to the zone change due to traffic problems and
          they fear increased zone change to business and increase in
          taxes.  She gave the letters of opposition to the City
          Secretary.

          Mr. Jose Arnold of 313 Galveston spoke against the zone change
          for fear of commercial-business zone.

          Motion to close the public hearing and concur with P&Z to deny
          the zone change request.

          Moved : Cm. Galo
          Second: Cm. Alvarado
          For:  5                  Against:  3         Abstain:  0
                                   Cm. Bruni
                                   Cm. Valdez
                                   Cm. Guerra

     32.  Public hearing regarding an application by Maria Guadalupe
          Vasquez amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning Lot 1, Block 126, Eastern Division, located
          at 3619 Monterrey Avenue, from R-3 (Mixed Residential
          District) to B-1 (Limited Business District).  The Planning
          and Zoning Commission recommends denial of this zone change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning Lot 1, Block 126, Eastern Division, located
          at 3619 Monterrey Avenue, from R-3 (Mixed Residential
          District) to B-1 (Limited Business District).

          Motion to open the public hearing.

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

          Maria Guadalupe Vasquez, petitioner, spoke in favor of the
          zone change request.

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

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

          Ordinance Introduction: Cm. Valdez

     33.  Public hearing regarding an application by Ruben Sandoval
          amending Ordinance no. 98-O-120 authorizing the issuance of a
          Special Use Permit for a mini-storage, on Lot 1, Block 1,
          Crownridge Subdivision, located at 602 Shiloh Drive by
          changing the name of the person to whom the Special Use Permit
          is issued.  The Planning and Zoning Commission recommends
          approval of this Special Use Permit.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending Ordinance no. 98-O-120 authorizing the
          issuance of a Special Use Permit for a mini-storage, on Lot 1,
          Block 1, Crownridge Subdivision, located at 602 Shiloh Drive
          by changing the name of the person to whom the Special Use
          Permit is issued.

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the
          ordinance.

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

          Ordinance Introduction: Cm. Guerra

     34.  Public hearing regarding an application by Corona Development
          L.C. and Ada U. Medina, Attorney in Fact, amending the Zoning
          Ordinance (Map) of the City of Laredo by rezoning Lot 5, Block
          8, Crownridge Subdivision, Unit I, located at 510 Shiloh
          Drive, from R-2 (Multi-Family Residential District) to B-3
          (Community Business District).  The Planning and Zoning
          Commission recommends approval of this zone change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning Lot 5, Block 8, Crownridge Subdivision,
          Unit I, located at 510 Shiloh Drive, from R-2 (Multi-Family
          Residential District) to B-3 (Community Business District).

          Motion to open the public hearing.

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

          Ordinance Introduction: Cm. Guerra

     35.  Public hearing regarding an application by Carlos Quintanilla
          and Hector Navarro amending the Zoning Ordinance (Map) of the
          City of Laredo by rezoning 15.764 acres, as further described
          by metes and bounds, located at east of FM1472 at the World
          Trade Center Loop, from AG (Agricultural District) to M-1
          (Light Manufacturing District).  The Planning and Zoning
          Commission recommends approval of this zone change.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the Zoning Ordinance (Map) of the City of
          Laredo by rezoning 15.764 acres, as further described by metes
          and bounds, located at east of FM1472 at the World Trade
          Center Loop, from AG (Agricultural District) to M-1 (Light
          Manufacturing District).

          Motion to open the public hearing.

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

          Ordinance Introduction: Cm. Alvarado

     36.  Public hearing amending Section 24.63.2 of the Laredo Land
          Development Code to allow the location of political campaign
          headquarters in certain zoning districts.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending Section 24.63.2 of the Laredo Land
          Development Code to allow the location of political campaign
          headquarters in certain zoning districts.

          Motion to open the public hearing.

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

          There was not public input.

          Motion to close the public hearing and introduce the
          ordinance.

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

          Ordinance Introduction: City Council

     37.  Public hearing amending the City of Laredo's 1997-1998 annual
          budget in the amount of $115,168.00 for the Criminal Justice
          Division Grant from the Office of the Governor. The Office of
          the Governor is contributing $78,172.00 with the City
          designating $36,996.00 in matching funds. These funds for the
          Domestic Violence grant under the Violence Against Women Act
          (VAWA) is for the period of June 1, 1998 through May 31, 1999.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending the City of Laredo's 1997-1998 annual
          budget in the amount of $115,168.00 for the Criminal Justice
          Division Grant from the Office of the Governor. The Office of
          the Governor is contributing $78,172.00 with the City
          designating $36,996.00 in matching funds. These funds for the
          Domestic Violence grant under the Violence Against Women Act
          (VAWA) is for the period of June 1, 1998 through May 31, 1999.

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the
          ordinance.

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

          Ordinance Introduction: City Council

     38.  Public hearing amending City of Laredo's 1997-1998 budget in
          the amount of $1,052,415.00. Of this amount, $758,249.00 is
          grant funds, with the City designating $294,166.00, in
          matching funds for a grant from the Criminal Justice Division
          for Multi-Agency Narcotics Task Force for the period of June
          1, 1998 through May 31, 1999 and authorizing the City
          Manager to sign any and all documents pertaining to this grant
          application.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending City of Laredo's 1997-1998 budget in the
          amount of $1,052,415.00. Of this amount, $758,249.00 is grant
          funds, with the City designating $294,166.00, in matching
          funds for a grant from the Criminal Justice Division for
          Multi-Agency Narcotics Task Force for the period of June 1,
          1998 through May 31, 1999 and authorizing the City Manager to
          sign any and all documents pertaining to this grant
          application.

          Motion to open the public hearing.

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

          Ordinance Introduction: City Council

     39.  Public hearing amending City of Laredo FY 1997-98 Annual
          Budget by creating three (3) Civil Engineer I positions to
          assist with project management and in-house project quality
          control. These positions will be funded from the 1998 bond
          projects, for approximately one month for a total of
          $11,250.00 including benefits, and authorizing the City
          Manager to implement said budget.

                      INTRODUCTION OF AN ORDINANCE
          Ordinance amending City of Laredo FY 1997-98 Annual Budget by
          creating three (3) Civil Engineer I positions to assist with
          project management and in-house project quality control. These
          positions will be funded from the 1998 bond projects, for
          approximately one month for a total of $11,250.00 including
          benefits, and authorizing the City Manager to implement said
          budget.

          Motion to open the public hearing.

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

          There was no public input.

          Motion to close the public hearing and introduce the
          ordinance.

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

          Ordinance Introduction: City Council

  XI. ADJOURNMENT

          Motion to adjourn.

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

          Adjournment time: 8:00 p.m.


         I hereby certify that the above minutes contained in Pages 01
         to 24 are true, complete, and correct proceedings of the City
         Council Meeting held on the 22nd day of June, 1998.  A
         certified copy is on file at the City's Secretary's Office.



                                          _________________________
                                            Gustavo Guevara, Jr.
                                               City Secretary