Members of the Houston City Council approved materials Monday needed for two capital improvement projects and learned that the city may receive federal funds for fire department equipment upgrades.

The news came during a regular meeting of the council at Houston City Hall.

The council accepted a $10,004 bid for concrete culverts for Lilly Avenue, which will run from Holder Drive to West Highway 17. The low bid came from Dura-Kast of Springfield.

A $27,065 low bid from Scurlock will purchase concrete culverts for the Village Trail, a walking venue under construction in Houston.

In other matters, members:

-Approved a request from Joan Smith to operate a package store near Brushy Creek Road and North U.S. 63. Under the city’s ordinance, the license was available for such a business. It will know as “S & S Package.”

-Approved the first reading of a 2010 budget document. Final approval comes Dec. 21.

-Authorized a personnel policy that allows the city to tap funds for its transportation program.

-Heard that concrete work began Monday on a new stretch of the Village Trail near the Houston Memorial Airport. The work is under contract to Maggi Construction Co. of Rolla. The award of the money comes from the federal Recovery Act.

-Learned that it looks favorable that the city will receive about $44,000 in Homeland Security funds that can be used to purchase radios and air tank filling equipment for the fire department. Administrator Larry Sutton attended a regional meeting where the funds were recently divvied up.

-Heard that recycling is up in Houston, which will receive a boost when a new commercial center opens on East Highway 17.

-Learned that the city’s health insurance coverage will jump 18 percent. That’s 4 percent better than expected but still has an adverse affect on the city’s 2010 budget, Sutton said.

-Heard replacement of a pavilion at Pine Lawn Cemetery is complete. High winds in May destroyed a structure. The city expected to receive about $54,345 in aid to pay for storm damage.

-Appointed Jerry Elliott to the Houston Park Board.

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