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City Council voted Tuesday, June 3, to expand public notification requirements for zoning cases from 200 to 300 feet, while also approving changes to the city's investment policy and authorizing participation in new investment pools.
The zoning notification amendment, requested by Councilmember Roger Neal, aims to increase public awareness and engagement in the zoning process after previous cases where residents just outside the 200-foot boundary were not notified of nearby developments.
"When I served on planning and zoning and even afterwards, there were a few cases of residents just outside that zone of 200 feet and didn't necessarily get the appropriate notification," Neal said.
The amendment updates Article 6 of the city's Comprehensive Zoning Ordinance to require mailed notices to property owners within 300 feet of any zoning request, compared to the current 200-foot state minimum. Deputy Director of Planning Sarah Bergman said the change would result in modest cost increases for mailing supplies, postage and staff time.
"We run a couple of test cases, looking at 200 versus 300 [feet and are] confident that we could accommodate this increase with a slight budget adjustment," Bergman said.
Research showed that 12 of 16 surrounding municipalities stick to the 200-foot state requirement, though larger cities like Fort Worth (300 feet), Dallas (200-400 feet depending on acreage) and Garland (400 feet) use expanded boundaries. Colleyville has the largest radius at 500 feet.
Neal suggested adding flexibility for staff to notify institutions like schools or hospitals that fall just outside the 300-foot boundary, but Mayor Terry Lynne cautioned against discretionary notification policies.
"I don't think it would be wise or a good business practice to give staff the flexibility or discretion" for case-by-case decisions, Lynne said. "If for some reason, something is missed, then that opens up the opportunity for legal challenges and other possible issues."
The Planning and Zoning Commission recommended approval of the amendment on May 12. The council voted to approve the ordinance by a vote of 4-1.
In other business, the council unanimously approved Resolution 2025-069 adopting a new city investment policy and authorized participation in two investment pools - TexSTAR and the Local Government Investment Cooperative.
Interim Director of Finance LeeAnn Huddleston and Greg Warner from Hilltop Securities presented the investment policy, which is required to be reviewed annually under the Public Funds Investment Act. Warner said Hilltop made only minor housekeeping updates to the policy.
Councilman Omar Roman raised concerns about the selection process for Hilltop as the city's investment advisor, noting it appeared to bypass the competitive process outlined in the investment policy.
"My understanding is that in the selection process of determining who's going to be our investment advisor, the investment policy dictates that it's supposed to be done through a competitive process," Roman said.
Huddleston explained that the arrangement was an interim measure due to unexpected staffing changes in the Finance Department, with four different staff members leaving in a short period.
"With the changes that we had in the Finance Department, with the change of about four different staff members in a very short period of time, I asked the city manager if we could expand our agreement with Hilltop," Huddleston said. "We didn't believe we had the time available. We needed to get the money under management."
Warner said Hilltop manages funds for approximately 50 similar Texas entities and has extensive experience with public funds subject to state investment laws. The firm's management fee is four basis points, or 0.04 percent, which would cost the city an estimated $50,000-$60,000 annually on its $146 million portfolio.
The investment pools offer different risk profiles — TexSTAR invests only in U.S. Treasury and agency obligations, while LOGIC includes commercial paper and corporate obligations with slightly higher risk and yield. Both are rated AAA by Standard & Poor's.
The council also considered but ultimately denied a resolution supporting a Texas Department of Transportation grant application for a trail project along Inwood Road. The project would have required an estimated $800,000 city match.
Councilman Roman opposed the item, saying the council wasn't given adequate opportunity to assess priorities and collaborate on project selection.
"It's not that I don't like the project," Roman said. "I don't like that we weren't given an opportunity to assess what projects were meaningful and critical to our residents."
The denial came as the city faces budget constraints for the upcoming fiscal year, with officials indicating they expect a challenging budget season ahead.
