CITY OF LAREDO

             CITY COUNCIL ANNUAL BUDGET WORKSHOP
              ON THE PROPOSED FY 1998-99 BUDGET

                           M98-W-34
                       August 12, 1998
                          5:30 P.M.


                           MINUTES



  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

      Motion to reconvene as the City Council Annual Budget
      Workshop on the proposed FY 1998-99 Budget.

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

 IV.  PROPOSED CAPITAL IMPROVEMENT PROGRAM 1998-2003

      Florencio Pena, City Manager, opened the workshop by
      informing everyone that the annual budget is the most
      important responsibility of the City Council.  He further
      stated that staff had worked very hard for the last four
      months to put this budget together.

      The budget is broken into two parts:

      1. Capital Improvement Program
      2. Operating Budget

      Mr. Pena then stated that the FY1998-99 Annual Budget
      Workshops would be opened with the city's financial advisor
      who would inform Council of the city's debt.

      A.  Presentation by Estrada & Hinojosa - Noe Hinojosa

          1.  Overview of the City's Debt Position

              The Tax General Obligation Debt Requirement include
              all of the debt issued by the city with a pledge or
              collateral of property taxes.  The city is good for
              issuing debt for water, sewer, airport, and other
              enterprises with property taxes as collateral but
              being self supported or paid by these enterprises.

              The City of Laredo has a good investment grade
              rating of A by all three rating agencies of Fisch,
              Standard and Poors and Moody.

              Certificates of Obligation issued in January and
              February 1998:

                     $ 6,415,000           Sewer
                      16,160,000           General Purpose
                       1,430,000           Airport

              The Property Tax Backed Debt Service for 1998 was
              $16,661,866.79, by subtracting the Self Supporting
              Debt of $9,329,611.39, a total Net Debt Service of
              $7,332,255.20 which is paid exclusively by the levy
              of a property tax.  In 1999 the Debt Service
              Requirement will be $7,683,473.60.

          2.  Debt Service Fund

                   TOTAL DEBT OUTSTANDING AS OF 10/01/98

                                        Subsidy         Total

          Tax Support    70,498,103   8,050,199.85   78,548,303.28
      Self Supporting    82,241,897  (8,050,199.85)  74,191,696.72
        Total TS & SS   152,740,000           0.00  152,740,000.00

        Water Revenue     9,905,000
        Sewer Revenue     7,770,000
        Revenue Debt     16,985,000 (existing)
        Revenue Debt     65,135,000 (proposed)
               Total     99,795,000

          Total Debt    252,535,000

              Motion to have Mrs. Phyllis Colon, Tax-Assessor
              Collector, present information on the Appraisal Roll
              for FY 1998-99.

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

              Phyllis Colon, Tax-Assessor Collector, informed
              Council of the effective tax rate for the year.  The
              taxable value of all property in the City of Laredo
              for 1998 is $4,073,722,461.00 compared to
              $3,794,030,215.00 in 1997.  The property tax rate
              per $100.00 value was 0.5399.30 for both 1997 and
              1998.  The difference on the tax levy is due to
              annexation and growth.

      B.  Proposed Capital Improvement (CIP) 1999-2003 - Keith
          Selman, Planning Director

          1.  General Construction Projects
          2.  Street Fund
          3.  Drainage Fund
          4.  Capital Improvement Fund
          5.  Enterprise Fund

          Keith Selman, Planning Director, made a presentation on
          the proposed capital improvements program.

          Motion to direct staff to allocate an approximate
          $15,000.00 for the right-of-way acquisition of Calle Del
          Norte and West and Calle Del Norte and Springfield
          Avenue.

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

          Motion to allocate an additional $50,000.00 to the Speed
          Hump Pilot Program to include placing of speed humps on
          Buena Vista Avenue behind Nixon High School and Plum
          Street between McClelland Street and Meadow Avenue.

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

          Motion to amend and add sidewalks on both sides from
          Lyon Street to Clark Boulevard on Malinche Avenue.

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

          Motion to allocate $250,000.00 from CDBG (Community
          Development Block Grant) surplus for acquisition and
          cleaning of Chacon Creek.

          Moved : Cm. Galo
          Second: Cw. Moreno
          For:  7             Against: 1          Abstain: 0
                              Cw. Montalvo

          Motion to consider initiating the process of a bridge
          toll increase to:

                         Auto from $1.35 to $1.50
                   Pedestrian from $ .35 to $ .50

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

  V.  ADJOURNMENT

      Motion to adjourn.

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

      Adjournment time:  9:38 P.M.

      I hereby certify that the above minutes contained in pages
      01 to 04 are true, complete, and correct proceedings of the
      City Council Annual Budget Workshop on the Proposed FY 1998-
      99 Budget held on the 12th day of August of 1998.



                              _______________________________
                                   Gustavo Guevara, Jr.
                                      City Secretary







                          CITY OF LAREDO

                CITY COUNCIL ANNUAL BUDGET WORKSHOP
                 ON THE PROPOSED FY 1998-99 BUDGET

                             M98-W-34
                          AUGUST 13, 1998
                             5:30 P.M.


                              MINUTES



  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.  PROPOSED ANNUAL BUDGET FY 1998-99

      C.  FY1998-99 Recommended Budget - Florencio Pena, III, City
          Manager

          1.  Ad Valorem Tax Rate
          2.  Major Budget Goals & Issues
          3.  Consolidated Budget Summary
          4.  Federal Fund Revenues
          5.  General Fund Expenditures Summary
              a.  Personnel Pay Plan Proposal
              b.  Capital Outlay


          Florencio Pena, City Manager, opened the second of four
          of the annual budget workshops by informing Council of
          the 1998 Appraisal Roll information as follows:

                  1998 APPRAISAL ROLL INFORMATION

          TOTAL APPRAISED VALUE             $ 4,765,987,974.00
          TOTAL TAXABLE VALUE                 4,073,722,461.00

          NUMBER OF ACCOUNTS                  65,168

                      1998 EFFECTIVE TAX RATE

          Total 1998 taxable value on the   $ 4,073,722,461.00
          1998 certified appraisal roll

          1998 effective tax rate                  0.534631

          1998 effective maintenance and           0.334051
          operation rate

          1998 rollback maintenance and            0.360775
          operation rate

          Total 1998 debt to be paid with         7,771,564
          property taxes and additional
          sales tax revenue

          1998 debt tax rate                       0.188072

          1998 rollback tax rate                   0.548847

          1997 TOTAL TAX RATE ($100)               0.539930

          Cm. Bruni stated that he wanted to correct Mayor Flores
          on the comment she had made about the City of Laredo
          having lost a whole taxing year on UNITEC.  He went on
          to explain that this had occurred due to UNITEC not
          wanting to get annexed because they were receiving city
          services without having to pay city taxes.  Cm. Bruni
          further informed Mayor Flores that this was a selling
          tool for the developers when selling these properties.

          Mayor Flores accepted Cm. Bruni's explanation.

          Florencio Pena, City Manager, then continued with his
          presentation and stated that Laredo remains the fastest
          growing Metropolitan area city in Texas and second
          fastest growing in the United States and informed
          Council of the Goals for FY 1998-99.

          Goals for FY 1998-99 are:

          -Keep pace with rapid growth and the associated demand
           for municipal services.
          -Improve the quality of life for the citizens of Laredo.
          -Guard against a fluctuating economy.

          Heberto Ramirez, Budget Officer, gave information on the
          Consolidated Budget, Operating Funds, and Capital
          Projects Fund.

          Motion to provide a rational breakdown of the
          administrative cost between the General Fund and Solid
          Waste Fund and develop a five (5) year plan to phase in
          the sewer sludge to the Solid Waste Fund.

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

          Dan Migura, Administrative Services Director, made his
          presentation to Council on the proposed salary plan.

          Mayor Flores requested that Mr. Migura have a separate
          workshop on the proposed salary plan with several
          options.  The workshop was scheduled for Wednesday,
          September 2, 1998.

      D.  Fire Department - Tomas Ramirez, Fire Chief

          1.  Fire Prevention and Suppression
          2.  EMS
          3.  Hazardous Material

          Tomas Ramirez, Fire Chief, made his presentation to
          Council.

      E.  Police Department - Agustin Dovalina, Police Chief

          1.  Police Operations
          2.  Civilian Operations
          3.  Federal Grant Funding
          4.  Community Oriented Police Program
          5.  911 Program

          Agustin Dovalina, Police Chief, made his presentation to
          Council.

          Motion to initiate a COPS Program in District VI and
          District II, this to be done at the time that additional
          funds are available and supported by crime statistics.

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

  V.  ADJOURNMENT

      Motion to adjourn.

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

      Adjournment time: 10:30 P.M.

      I hereby certify that the above minutes contained in pages
      01 to 04 are true, complete and correct proceedings of the
      City Council Annual Budget Workshop on the Proposed FY 1998-
      99 Budget held on the 13th day of August of 1998.



                              ______________________________
                                   Gustavo Guevara, Jr.
                                      City Secretary












































                          CITY OF LAREDO

                CITY COUNCIL ANNUAL BUDGET WORKSHOP
                 ON THE PROPOSED FY 1998-99 BUDGET

                             M98-W-34
                          AUGUST 14, 1998
                             5:30 P.M.


                              MINUTES



  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.  PROPOSED ANNUAL BUDGET FY 1998-99

      F.  Public Works - Joe Guerra, Public Works Director

          1.  Public Works Operations
          2.  Solid Waste and Municipal Landfill
          3.  Fleet Management Fund
          4.  Street Recycling and Street Reconstruction
          5.  New Operations Center (EDA)

          Joe Guerra, Public Works Director, made his presentation
          to Council

      G.  Parks, Education, and Recreation - John Vidaurri,
          Director

          1.  Parks Operations
          2.  Recreation Center Operations
          3.  City Cemetery Operations

          John Vidaurri, Director of Parks, Education, amd
          Recreation made his presentation to Council.

      H.  Health Department - Jerry Robinson, Director

          1.  Health Department Revenues and Expenditures

          Jerry Robinson, Health Department Director, made his
          presentation to Council.

      I.  Other General Fund Budgets

          1.  Laredo Development Foundation

              Frank Leach made a presentation to Council for the
              Laredo Development Foundation.

              Motion to increase Laredo Development Foundation
              funding to $185,000 with a one (1) year contract (to
              be drafted).

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

          2.  Animal Protective Society

              Isabel Mendez made a presentation to Council for the
              Animal Protective Society.

              Motion to approve $120,000 as requested for the
              Animal Protective Society.

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

          3.  Third Party Funding

              Motion to approve $5,000 as requested for the Crime
              Stoppers Schools Program.

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

              Motion to table additional requests for Third Party
              Funding for Saturday, August 15, 1998.

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

          4.  All Other General Fund Departments - Upon Request by
              City Council

              Motion to increase the Computer Specialist in the
              City Secretary's office to 30 hours per week.

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

  V.  ADJOURNMENT

      Motion to adjourn.

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

      Adjournment time:  10:03 P.M.

      I hereby certify that the above minutes contained in pages
      01 to 03 are true, complete and correct proceedings of the
      City Council Annual Budget Workshop on the Proposed FY 1998-
      99 Budget held on the 14th day of August of 1998.



                              ______________________________
                                   Gustavo Guevara, Jr.
                                      City Secretary


























                          CITY OF LAREDO

                CITY COUNCIL ANNUAL BUDGET WORKSHOP
                 ON THE PROPOSED FY 1998-99 BUDGET

                             M98-W-34
                          AUGUST 15, 1998
                             5:30 P.M.


                              MINUTES



  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.  PROPOSED ANNUAL BUDGET FY 1998-99

      J.  Utilities Department - Fernando Roman, Utilities
          Director

          1.  Water Fund revenues and Expenditures
          2.  Wastewater Fund Revenues and Expenditures

              Fernando Roman, Utilities Director, made his
              presentation to Council.

      K.  NPDES - Rogelio Rivera, City Engineer

          1.  NPDES Revenues and Expenditures

              Riazul Mia, Environmental Manager with Engineering
              made a presentation to Council.

              Motion to adjust storm water fees for commercial
              accounts.

              Accounts from less than 10,000 sq. ft.      $ 7.00
              Accounts from 10,001 to 40,000 sq. ft.       20.00
              Accounts greater than 40,000 sq. ft.         40.00

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

      L.  Traffic & Bridge - Luis Landin, Traffic & Bridge
          Director

          1.  Bridge Fund Revenues and Expenditures
          2.  Parking Meter Fund Revenues and Expenditures

              Luis Landin, Traffic & Bridge Director made his
              presentation to Council.

      M.  Airport Fund - Jose Luis Flores, Airport Director

          1.  Airport Fund Revenues and Expenditures

              Jose Luis Flores, Airport Director, made his
              presentation to Council.

              Cindy Collazo, Community Development Director,
              requested that Council consider approving three (3)
              temporary positions for the Noise Abatement Program.

              Motion to approve three (3) temporary positions for
              the Noise Abatement Program.

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

      N.  El Metro - Gilberto Segovia, El Metro Director

          1.  El Metro Operations

              Gilberto Segovia, El Metro Director, made his
              presentation to Council.

      O.  Hotel-Motel, CV & B, and Civic Center -Larry Dovalina,
          Assistant City Manager

          1.  Hotel-Motel Revenues and Expenditures
          2.  Convention & Visitor's Bureau Revenue and
              Expenditures
          3.  Civic Center Revenues and Expenditures

              Larry Dovalina, Assistant City Manager, made his
              presentation to Council.
      P.  Other Funds

          1.  Health and Benefits Fund
          2.  Risk Management Fund
          3.  Minerals Fund
          4.  Veterans Field Fund
          5.  Mercado Fund
          6.  Public Access Fund

              Dan Migura, Administrative Services Director,
              briefly explained the Health and Benefits Plan for
              city employees.  He further stated that the Pay Plan
              will be discussed with Council at a future date.

              Florencio Pena, City Manager, informed Council that
              a Public Hearing is scheduled for Tuesday,
              September 8, 1998, so it would benefit
              administrative services to have a Salary Plan
              Workshop before that date.  He then stated that the
              workshop would be set for Wednesday, September 2,
              1998 to discuss a Salary Plan and Budget Recaps.

              Motion to allocate $25,000 Capital Outlay from
              Hotel/Motel for Access Channel equipment purchase.

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

              Motion to establish a budget line for a reserve for
              the purchase of the new Appraisal District Office
              for the amount of $89,000 subject to a presentation
              and approval of the plans by the City of Laredo.

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

              Motion to approve the following Third Party Funding
              Agencies:

                  Avance, Inc.                          $15,000
                  Children's Int'l Advocacy Center       50,000
                  Laredo League for Family Fun           10,000

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

              Motion to increase the amount of request to the
              Society of Martha Washington by $5,000 for
              production and funding of $3,000 for L.I.F.E. Downs
              and that Council finds valid public purpose in order
              to have legal authority.


              Moved : Cm. Galo
              Second: Cm. Guerra
              For:  8              Against: 1          Abstain: 0
                                   Cw. Montalvo

              Legal authority exists either under specific
              statutory or by a finding of valid public purpose
              exception to the Texas Constitution prohibition of
              Article III, Sec. 52, for all of the third party
              agency requests approved by Council on August 14 and
              15, 1998.

  V.  ADJOURNMENT

      Motion to adjourn.

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

      Adjournment time: 3:32 P.M.

      I hereby certify that the above minutes contained in pages
      01 to 04 are true, complete and correct proceedings of the
      City Council Annual Budget Workshop on the Proposed FY 1998-
      99 Budget held on the 15th day of August 1998.



                              ______________________________
                                   Gustavo Guevara, Jr.
                                      City Secretary