File #: 15-073A3    Name: City-Initiated Annexation - Final Action
Type: Ordinance Status: Approved
In control: City Council Regular Meeting
On agenda: 5/5/2015 Final action: 5/5/2015
Title: Consider/Discuss/Act on a Request by the City of McKinney to Annex Less Than 675 Acres of Land Generally Located at and Around the Intersection of Laud Howell Parkway (F.M. 543 Connector), Trinity Falls Parkway (F.M. 543) and Central Expressway (U.S. Highway 75) into the City of McKinney's Corporate Limits, and Accompanying Ordinance
Attachments: 1. Location Map and Aerial Exhibit, 2. Comprehensive Plan Maps, 3. Proposed Annexation Ordinance, 4. Exhibit A - Location Map, 5. Exhibit B - Metes and Bounds Description, 6. Exhibit C - Service Plan, 7. PowerPoint Presentation
Title
Consider/Discuss/Act on a Request by the City of McKinney to Annex Less Than 675 Acres of Land Generally Located at and Around the Intersection of Laud Howell Parkway (F.M. 543 Connector), Trinity Falls Parkway (F.M. 543) and Central Expressway (U.S. Highway 75) into the City of McKinney's Corporate Limits, and Accompanying Ordinance
 
Summary
COUNCIL GOAL:      Direction for Strategic Growth
 
MEETING DATE:      May 5, 2015
 
DEPARTMENT:       Planning
 
CONTACT:              Michael Quint, Director of Planning
 
RECOMMENDED CITY COUNCIL ACTION:      
·      Approve the proposed annexation.
 
ITEM SUMMARY:  
·      The City of McKinney has initiated involuntary annexation proceedings for approximately 675 acres of land generally located at and around the intersection of Laud Howell Parkway (F.M. 543 Connector), Trinity Falls Parkway (F.M. 543) and Central Expressway (U.S. Highway 75).
 
·      The subject property, if annexed, will be zoned "AG" - Agricultural District.
 
·      The subject property is currently located within the Extraterritorial Jurisdiction (ETJ) of the City of McKinney. The purpose of the ETJ is to promote and protect the general health, safety and welfare of persons residing in and adjacent to the municipalities. The Subdivision Ordinance applies to properties within the ETJ; the Zoning Ordinance does not.
 
·      In accordance with the Texas Local Government Code, the City Council will consider the proposed annexation at the following dates and times:
 
o      April 6, 2015 at 5:30 pm Special City Council Meeting - 1st Public Hearing
o      April 7, 2015 at 6 pm Regular City Council Meeting - 2nd Public Hearing
o      May 5, 2015 at 6 pm Regular City Council Meeting - Final Action
 
·      All of the meetings indicated above will occur in the City Council Chambers located within McKinney's City Hall at 222 N. Tennessee St., McKinney, TX 75069.
 
BACKGROUND INFORMATION:  
·      Annexation and City Services.
 
o      In accordance with the Texas Local Government Code §43.052(h)(1), a municipality may involuntarily annex land that is not reflected on a municipal annexation plan if the area contains fewer than 100 separate tracts of land on which one or more residential dwellings are located on each tract.
 
o      The subject property that is proposed to be annexed is minimally populated.
 
o      The McKinney Fire Department currently provides fire and medical emergency services in this area.  Currently, police response is from Collin County.  The Texas Local Government Code §43.056 stipulates that police and fire services must be provided immediately upon annexation.
 
o      The Texas Local Government Code §43.056 stipulates that solid waste collection must be provided immediately upon annexation.
 
o      The subject property is located within both the McKinney Independent School District and Melissa Independent School District.  McKinney ISD and Melissa ISD have been informed of the proposed annexation.
 
o      Full municipal services shall be provided in accordance with the attached service plan.
 
FINANCIAL SUMMARY:  
·      Annexation of additional property has financial implications for the City.
 
·      Although the ultimate developer of the subject property will be responsible for upgrading roads and extending utilities as development occurs, the long-term maintenance of these facilities will be the City's responsibility.
 
·      The ISO rating determines insurance rates in McKinney.  Availability of water resources in proposed annexed areas have impacts on ISO ratings.
 
·      An ISO rating is based on a 105 point system:
 
o      40 points for water system (supply, distribution, fire flow, hydrants, maintenance, etc.)
o      50 points for evaluation of the Fire Department itself
o      10 points for alarm systems
o      5 points for code enforcement, plan review, etc.
 
·      The effects of additional annexation on ISO ratings are cumulative.  The City's current ISO rating is 1 on a scale of 1 to 10, with 1 being the best and 10 being the worst. The latest evaluation was conducted in 2014. An ISO rating of 1 is required to be evaluated every 4 years.
 
·      The Fire Department has indicated that the proposed annexation request may have the potential for a negative impact upon the City's ISO rating due to extended response time to citizens living within the area to be annexed or due to the current water supply and roadway infrastructure to the property which may impact firefighting capabilities.
 
·      Annexed parcels are subject to City property tax.  The subject property may currently have an agricultural valuation classification with Collin Appraisal District (CAD).  An AG exemption is given to properties in active agricultural uses, which allows the property to have a lower appraisal value and thus, lower taxes.  When property with an AG exemption is developed, it is subject to rollback taxes for each of the previous five years.  As such, when the subject property is going to be developed, the property owner would be required to pay County, ISD, and City taxes which had been exempted during that five-year period.  
 
BOARD OR COMMISSION RECOMMENDATION:
·      N/A