May 16, 2023 City Council

[A. CALL TO ORDER]

[00:00:05]

>> WELCOME TO THE CITY COUNCIL MEETING FOR TUESDAY, MAY 16, 2023. MRS. HILBRICH, PLEASE CALL ROLL.

>> COUNCILMAN DELAGARZA? >> PRESENT.

>> COUNCILMAN CROCKER? >> HERE.

MAYOR PRO TEM YOUNG? >> HERE.

MAYOR BAUKNIGHT? >> HERE.

>> IF EVERYONE WILL PLEASE RISE FOR THE PLEDGES FOLLOWED BY A

MOMENT OF SILENCE. >> I PLEDGE ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA, AND TO THE REPUBLIC FOR WHICH IT STANDS, ONE NATION, UNDER GOD, INDIVISIBLE WITH LIBERTY AND JUSTICE FOR ALL. HONOR THE TEXAS FLAG.

I PLEDGE ALLEGIANCE TO THEE, TEXAS.

ONE STATE UNDER GOD, ONE AND INDIVISIBLE.

>> THANK YOU. GOOD EVENING.

[1. Announcements/Reminders:]

>> GOOD EVENING. I SURE DO.

I WOULD LIKE TO START BY RECOGNIZING AND ACKNOWLEDGING THAT YESTERDAY, WE HAD THE PRIVILEGE OF HAVING OUR DEPUTY-CHIEF CHUCK YOUNG SWORN IN AS OUR POLICE CHIEF.

I KNOW HE IS IN THE BACK TRYING TO HIDE.

OBVIOUSLY, CONGRATULATIONS TO HIM.

AS I MENTIONED YESTERDAY, IT HAS BEEN ROUGHLY 20 YEARS SINCE OUR POLICE DEPARTMENT AND OUR CITY PROMOTED AN INTERNAL CANDIDATE TO CHIEF. SO IT IS OBVIOUSLY A VERY BIG DEAL. WE KNOW THE DEPARTMENT IS VERY EXCITED. I KNOW CHUCK IS AS WELL.

WE LOOK FORWARD TO THAT. AND THANK YOU, BY THE WAY, FOR ALL OF YOU ATTENDING. PERFECT ATTENDANCE.

FOR ATTENDING YESTERDAY'SSTER MOANY.

THANK YOU. >> I WANT TO SAY WE ARE VERY PROUD TO HAVE YOU AS OUR CHIEF. CHIEF YOUNG.

WE KNOW YOU WILL DO A WONDERFUL JOB.

I WANT TO THANK MR. GARZA FOR HIS PROCESS IN SELECTING THE POLICE CHIEF. INCLUDING SO MANY PEOPLE TO PROVIDE FEEDBACK AND COMMENTS. I HAVE NO DOUBT THAT WE HAVE THE BEST CANDIDATE AVAILABLE OUT THERE FOR OUR POLICE CHIEF AND LOOK FORWARD TO CONTINUING TO WORK WITH YOU.

>> NO PRESSURE. (LAUGHTER).

>> A FEW OTHER ANNOUNCEMENTS AS WELL.

CITYWIDE, THE CITY OFFICES WILL BE CLOSED ON MONDAY, MAY 29 IN OBSERVANCE OF MEMORIAL DAY. GARBAGE AND WASTE WILL BE COLLECTED AS NORMAL. OFFICES WILL REOPEN ON TUESDAY, MAY 30. WE HAVE WITHIN GETTING A LOT OF QUESTIONS SURROUNDING THE LEVELS OF THE RIVER AT THE PARKS DEPARTMENT. WE DO EXPECT THE RIVER TO CREST THIS EVENING AT ROUGHLY 29 FEET. THIS WILL MEAN THAT THE MAJORITY OF THE PARK WILL STAY CLOSED. SO THE PARK EMPLOYEES CAN ASSESS THE SITUATION. WE HAVE ALSO BEEN GETTING A LOT OF QUESTIONS ABOUT MOSQUITO-SPRAYING.

WHICH ALSO FALLS UNDER THE PURVIEW OF PARKS DEPARTMENT.

AND THEY WILL BEGIN SPRAYING THIS FRIDAY.

TYPICALLY, THERE IS A LITTLE BIT OF A LAG BETWEEN WHEN IT RAINS IN THE SPRING-- WE WANT TO MAKE SURE WHEN WE SPRAY, IT IS ACTUALLY EFFECTIVE AND WHEN THEY ARE OUT.

ON BEHALF OF THE MUNICIPAL COURT, THEY WILL HOST A CAR SEAT INSPECTION FROM 1:00 TO 4:00 P.M. ON FRIDAY, MAY 26 AT THE CHILDREN'S DISCOVERY MUSEUM. DURING THEIR SUPER SUMMER BASH.

FOR MORE INFORMATION OR TO REGISTER, WE ASK THE PUBLIC TO VISIT VICTORIATX. ORG/CARSEAT. WE WOULD LIKE TO REMIND RESIDENTS THEY CAN SHARE INFORMATION ABOUT THEIR TRANSPORTATION NEEDS AND PRIORITIES FOR THE ACTIVE TRANSPORTATION MASTER PLAN. THAT SURVEY AVAILABLE AT VICTORIA-- TEXAS.GOV. THE DEADLINE IS AT THE END OF THE MONTH. ON BEHALF OF THE LIBRARY, WE ARE APPROACHING THE BUSIEST TIME OF THE SEASON FOR THE LIBRARY.

THAT IS THE SUMMER. NO SURPRISE.

THEY WILL HOST THEIR ANNUAL SUMMER KICKOFF CELEBRATION ON SATURDAY, JUNE 3 FROM 10:30 TO 1:30 P.M.

FOR MORE INFORMATION ON ALL EVENTS RELATED TO THE LIBRARY, THE PUBLIC CAN VISIT THE VICTORIA PUBLIC LIBRARY.ORG.

THE LIBRARY BOOK SALE IS SA BIG ONE GOING ON RIGHT NOW.

THAT WILL RUN THROUGH SATURDAY, MAY 20.

WE INVITE THOSE INTERESTED TO GO AND SUPPORT THE FRIENDS AND BY DEFAULT, THE LIBRARY AS WELL. THE POLICE DEPARTMENT CONTINUES TO HAVE A SLEW OF COMMUNITY EVENTS.

THEY WILL HOST A SUMMER BASH ON THURSDAY, MAY 25 FROM 2:00 TO 5:00 P.M. FOR MORE INFORMATION ON ALL OF THEIR EVENTS, THE PUBLIC CAN VISIT VICTORIATEXAS.GOV.

[00:05:03]

THAT IS ALL I GOT. (LAUGHTER) ALL RIGHT.

THANK YOU. >> THANK YOU FOR THAT.

[3. Items from Council:]

ITEMS FROM COUNCIL. >> I HAVE SOME.

>> YES, SIR. >> COULD WE HAVE AN UPDATE ON THE STATUS OF BEN JORDAN BETWEEN SAM HOUSTON --

>> ABSOLUTELY. KEN?

(LAUGHTER). >> USUALLY, JAN TAKES CARE OF ME

IN THAT MANNER. >> THE CONTRACTORS ARE WORKING OUT THE INSTALLING THE STORM SEWER FOR THE GARDENS.

THE THREE SPOTS THEY HAD BOXES TO INSTALL OVER THE LARGE STORM SEWER. AS THE RAIN HAPPENED, IT STARTED GETTING ALONG THE EDGE OF THE ROAD.

TODAY WE HAVE RE-STRIPED IT TO PUSH THAT TRAFFIC AWAY FROM THAT EDGE AND PUSH IT ALL THE WAY TO THE SHOULDER.

WE NEED SOME MORE BARRICADES AND SIGNAGE TO SLOW THOSE DRIVERS DOWN A LITTLE BIT. WE ARE EXPECTING IT TO COMPLETELY BE READY TO BE RESTRIPED, GET THE ROAD OPENED UP TO TWO-WAY. BUT WE JUST BASICALLY, WERE USING THAT SHOULDER ON THE NORTH SIDE-- THE SOUTH SIDE OF THE ROAD AS ONE OF THE LANES AND KEEPING AWAY FROM THAT EDGE

WHERE THE STORM SEWERS ARE. >> AT THIS POINT, KEN, CORRECT ME IF I'M WRONG, THE PERMANENT FIX WILL HAVE TO WAIT UNTIL THE STORMWATER I.N.S. INSTALLATION IS COMPLETE.

>> YES. THAT IS WHY WE PUSHED IT OVER, TO GET THAT TRAFFIC OUT OF THE WAY.

SAFE FOR THE DRIVERS. SAFE FOR THE CONTRACTOR WORKING

OUT THERE. >> THANK YOU.

>> OKAY. >> DR. YOUNG HAD ONE ITEM FROM COUNCIL. FOR ME TO GO BACK TO NUMBER TWO TO DO EMPLOYEE AND PUBLIC RECOGNITIONS.

I'M GOING TO HONOR THAT REQUEST. (LAUGHTER).

>> THAT IS KIND OF IMPORTANT. >> THEN YOU WILL COME BACK.

>> YES. LY COME BACK TO FINISH UP.

>> THAT IS PART OF YOUR MAYOR PRO TEM DUTIES.

SO THANK YOU. JAN USUALLY HAS THAT.

[a. Motorcycle Safety and Awareness Month. Jeff Bauknight, Mayor]

>> YES, SHE DOES. >> THE FIRST ITEM IS THE MOTORCYCLE SAFETY AND AWARENESS MONTH PROCLAMATION.

WHEREAS TODAY'S SOCIETY IS FINDING MORE CITIZENS INVOLVED IN MOTOR CYCLING ON THE ROADS OF OUR COUNTRY, AND WHEREAS MOTORCYCLISTS ARE THEREFORE UNPROTECTED AND MORE PRONE TO INJURY OR DEATH IN A CRASH, WHEREAS CAMPAIGNS HAVE HELPED INFORM RIDERS AND MOTORCYCLISTS ALIKE ON MOTORCYCLE SAFETY ISSUES TO REDUCE MOTORCYCLE-RELATED RISKS, INJURIES, AND MOST OF ALL, FATALITIES.

THROUGH A COMP HENCE I APPROACH FOR MOTORCYCLE SAFETY, TO BECOME AWARE OF MOTORCYCLISTS, REGARDING THEM WITH THE SAME RESPECT AS ANY OTHER VEHICLE TRAVELING THE HIGHWAYS OF THIS COUNTRY, AND AS THE RESPONSIBILITY OF RIDERS AND MOTORCYCLISTS ALIKE TO OBEY ALL TRAFFIC AND SAFETY RULES.

IT IS IMPORTANT TO URGE ALL CITIZENS OF THE COMMUNITY TO BECOME AWARE OF THE INHERENT DANGER INVOLVED IN OPERATING A MOMOTE PSYCH AND FOR RIDERS AND MOTORCYCLISTS ALIKE TO GIVE THEM THE SAFETY THEY DESERVE. WE URGE ALL CITIZENS TO DO THEIR PART TO INCREASE SAFETY AND WAY WARENESS IN OUR COMMUNITY.

(APPLAUSE). >> I WOULD LIKE TO THANK THE CITY OF VICTORIA YET AGAIN FOR RECOGNIZING MAY AS MOTORCYCLE AWARENESS MONTH. THANK YOU.

(APPLAUSE). >> WHEREAS EMERGENCY MEDICAL

[b. EMS Week Proclamation. Jeff Bauknight, Mayor]

EMERGENCY MEDICAL TECHNICIANS, PARAMEDICS, EMERGENCY MEDICAL

DISPATCHERS,. >> ER, POLICE OFFICERS, EDUCATORS, ADMINISTRATORS, HOSPITAL NURSES, EMERGENCY NURSES, PHYSICIANS, TRAINED MEMBERS OF THE PUBLIC AND OTHER OUT-OF-OFFICE MEDICAL CARE PROVIDERS AND WHEREAS THE MEMBERS OF THE EMERGENCY MEDICAL SERVICES TEAM, WHETHER CAREER OR VOLUNTEER ENGAGE IN THOUSANDS OF HOURS OF SPECIALIZED TRAINING AND CONTINUING EDUCATION TO ENHANCE THEIR LIFE-SAVING SKILLS. WHEREAS IT IS IMPORTANT-- APPROPRIATE TO RECOGNIZE THE VALUE AND THE ACCOMPLISHMENTS OF THE EMERGENCY MEDICAL SERVICE PROS VIEDERS BY DESIGNATING EMERGENCY MEDICAL SERVICES WEEK. I DO PROCLAIM THE WEEK OF MAY 21-27, 2023 AS EMERGENCY MEDICAL SERVICES WEEK.

WITH E.M.S. WEEK THEME BEING E.M.S. WEEK.

WHERE EMERGENCY CARE BEGINS, I ENCOURAGE THE COMMUNITY TO

[00:10:03]

>> THANK YOU, MAYOR AND COUNCIL FOR THIS PRONG PROCLAMATION.

S WE HAVE AN OUTSTANDING E.M.S. SYSTEM.

THANKS TO THE FIREFIGHTER AND E.M.S.-- GOES WAY BACK SETTING THAT EXAMPLE, THAT GREAT E.M.S. SYSTEM LEGACY FOR US.

THANK YOU FOR THE PROCLAMATION. (APPLAUSE).

[c. National Police Week and Peace Officers' Memorial Day Proclamation. Je...]

>> OKAY. THE LAST PROCLAMATION IS FOR NATIONAL POLICE WEEK AND PEACE OFFICERS MEMORIAL DAY.

WHEREAS ON OCTOBER 1, 1962, THE CONGRESS OF THE UNITED STATES OF AMERICA HAS DESIGNATED THE WEEK OF MAY 15 TO BE DEDICATED NATIONAL POLICE OFFICERS WEEK AND MAY 15 OF EACH YEAR TO BE NATIONAL PEACE OFFICERS MEMORIAL DAY.

WHEREAS THE LAW ENFORCEMENT OFFICERS ARE THE GUARDIANS OF LIFE AND PROPERTY, DEFENDERS OF THE INDIVIDUAL RIGHT TO BE A FREE CITIZEN, WARRIORS IN THE WAR AGAINST CRIME, AND DEDICATED TO THE PRESERVATION OF LIFE, LIBERTY, AND THE PURSUIT OF HAPPINESS. IT IS KNOWN THAT 225 LAW ENFORCEMENT OFFICERS WERE KILLED IN THE LINE OF DUTY NATIONWIDE IN 2022. 35 FROM THE STATE OF TEXAS.

33 LAW ENFORCEMENT OFFICERS HAVE LOST THEIR LIVES IN 2023 NATIONWIDE THUS FAR. AND WHEREAS THE CITY OF VICTORIA DESIRES TO HONOR THE VALOR, SERVICE, AND DEDICATION OF THESE BRAVE OFFICERS AND ALL LAW ENFORCEMENT OFFICERS, WHO HAVE PAID THAT ULTIMATE SACRIFICE. NOW THEREFORE, I JEFF BAUKNIGHT, MAYOR OF THE CITY OF VICTORIA, TEXAS DO HEREBY PROCLAIM THE WEEK OF MAY 16-22, 2023 AS NATIONAL POLICE OFFICERS WEEK.

AND MAY 15, AS NATIONAL POLICE OFFICERS MEMORIAL DAY.

I CALL UPON ALL CITIZENS IN THE COMMUNITY TO ESPECIALLY HONOR AND SHOW THEIR SINCERE APPRECIATION FOR LAW ENFORCEMENT AND CORRECTIONS OFFICERS FOR THEIR COMMUNITY BY DEED, REMARK, AND ATTITUDE BY EXPRESSING THEIR THANKS TO THE MEN AND WOMEN WHO PROTECT OUR LOVED ONES, PROPERTY, AND GOVERNMENT AGAINST ALL THOSE WHO VIOLATE THE LAW. (APPLAUSE).

>> THANK YOU, MAYOR AND COUNCIL. CITY MANAGER.

THE POLICE MEMORIAL CEREMONY IS GOING TO BE A DAILY ON PLAZA THURSDAY. 9:00 A.M.

WE WILL BE HONORING THOSE THAT HAVE GONE BEFORE US AND DIED IN THE LINE OF DUTY. LIKE WAS MENTIONED.

THERE HAVE BEEN SEVERAL IN THE STATE OF TEXAS THIS PAST YEAR.

AND I DO REMEMBER FOUR OF THOSE ARE FROM GUNFIRE.

I HOPE TO SEE EVERYBODY THEN. THANK YOU.

>> THANKS, CHIEF. (APPLAUSE).

>> ALL RIGHT. MR. GARZA, DO YOU HAVE ANYTHING ELSE IN PUBLIC AND EMPLOYEE RECOGNITIONS?

>> NO, SIR. >> WE WILL GO BACK TO ITEMS FROM COUNCIL. NONE? NO. ALL RIGHT.

[4. Citizen Communication:]

MR. MICHAEL VONDEROFF TONIGHT. (LAUGHTER).

>> YOU HAVE TO TELL THEM ABOUT THE --

>> OH, YES. I'M TRYING TO COPY THE CITY MANAGER. I USE HAND SANITIZER LIKE HE DOES. YOU KNOW, SO I CAN LOOK COOL LIKE HIM. YOU KNOW.

I WANT TO THANK DEPUTY YOUNG FOR HIS PROMOTION TO CHIEF OF POLICE AND BY HIRING INTERNALLY, HE DON'T HAVE TO BE TRAINED.

CHIEF ARRADONDO ALREADY TRAINED HIM.

HE WON'T BE STARTING FROM SCRATCH.

HE WILL ALREADY KNOW EVERYTHING. ALSO WANT TO THANK HIM.

HE IS THE ONE THAT DROVE THE POLICE CHIEF THROUGH THE TRAILER PARK LOOKING AT ALL THOSE POTHOLES.

AND THE TRAILER PARK OWNERS STILL HASN'T FIXED THEM.

HE HAS DEEP POCKETS. THERE IS NO REASON HE CAN'T FIX THEM. IT LOOKS LIKE A SWAMP, AND YOU KNOW, SOMEONE NEEDS TO DRAIN THE SWAMP.

MAYBE THE FIRE-FIGHTING TEAM CAN GET A PUMP AND DRAIN IT AND JUST BILL HIM. SEND IT TO HIS LAW FIRM.

SO HE CAN TAKE CARE OF IT. HE KNOWS IT NEEDS DONE.

AND ALSO I WANT TO THANK CODE ENFORCEMENT FOR MAKING ROUNDS.

THEY USUALLY MAKE ROUNDS TO THE TRAILER PARK EVERY WEEK.

CLEANING IT UP. THEY WON'T FIX IT ON THEIR OWN.

YOU KNOW, THAT IS THE WAY IT IS. AND THE APPRAISALS.

A TRAILER PARK HOUSE BURNT DOWN, AND THEY APPRAISED IT AT 70% OF ITS ORIGINAL VALUE. BECAUSE THERE IS A FEW, YOU KNOW, STUDS HANGING THERE. IT IS ALMOST 100%.

YOU CAN STILL LIVE THERE. YOU KNOW? I MEAN, EVEN THOUGH IT IS BURNED DOWN.

YOU KNOW, THERE IS SOME STUDS THERE.

SET UP A TENT THERE. YOU KNOW? AND ALSO, ONE OF THE COMMENTS WAS, WELL, WE HAVE BEEN OVER CHARGING PEOPLE, YOU KNOW, UNDERVALUING PROPERTY TOO MUCH.

NOW WE ARE GOING TO OVERVALUE IT.

THAT IS LIKE SAYING, WELL, I HAVE BEEN TREEING MY SON TOO GOOD FOR THREE YEARS, SO I'M GOING TO TREAT HIM LIKE CRAP THE NEXT THREE YEARS. KIND OF EVEN IT UP.

[00:15:01]

BUT THAT IS THE TOP PERSON. YOU KNOW, AT THE APPRAISAL UNIT.

I DON'T UNDERSTAND THAT. AND I WISH-- I DON'T KNOW IF YOU KNOW IT. THE CITY MAYOR OF DALLAS, AS HE WAS LEAVING, HE SUED THE APPRAISAL DISTRICT.

YOU KNOW? AS HE WAS LEAVING.

YOU KNOW, TOOK THEM TO COURT. I HOPE IT DON'T COME TO.

THAT AND THEY CAN GET IT RIGHT. IF YOU ARE EVER ON A DATE AND YOU DON'T KNOW WHAT TO SAY, JUST SAY HIGH APPRAISALS.

THAT IS A CONVERSATION YOU CAN TALK FOR HOURS ABOUT.

THEY REALLY NEED TO GET IT TOGETHER.

I DON'T KNOW THE ANSWER. I HAVEN'T HEARD NOTHING FROM THE INTERNAL AUDIT THAT WAS SUPPOSED TO BE DONE ON MAY 1.

AND ALSO, HAPPY BELATED MOTHER'S DAY FOR EVERYONE.

HAVE A GOOD DAY. THANK YOU.

>> THANK YOU. WITH THAT, WE WILL CLOSE THE CITIZENS COMMUNICATION. I MUST JUMBLE UP A LITTLE BIT OF THINGS ON THE AGENDA. WE ARE GOING TO HAVE OUR NEW

[3. Victoria Central Appraisal District Appraisal Process Report. Keri Wic...]

AND THEN AFTER SHE IS DONE, WE ARE GOING TO HAVE GILBERT REYNA, OUR CHIEF FINANCIAL OFFICER ALSO GAVE PRESENTATION.

WE CAN KIND OF PUT THE TWO PIECES TOGETHER.

A LOT OF THIS, Y'ALL ALREADY KNOW.

AS FAR AS WHAT MR. REYNA IS GOING TO DO.

I WANTED THE PUBLIC TO BE ABLE TO REFER TO IT AFTER TONIGHT.

JUST SO THEY COULD SEE THE PART WE ARE RESPONSIBLE FOR.

>> GOOD EVENING, MAYOR AND COUNCIL MEMBERS.

AGAIN, MY NAME IS KERI WICKLIFFE.

I'M THE CHIEF APPRAISER FOR THE CENTRAL APPRAISAL DISTRICT.

I KIND OF WANTED TO GIVE Y'ALL AN UPDATE ON WHERE WE ARE AND KIND OF WHAT I HAVE BEEN SEEING SINCE I TOOK THE POSITION.

SO SINCE I TOOK THE POSITION, I THINK IT WAS THE FIRST THREE WEEKS, WE FOUND $7 MILLION IN BBP ERRORS FROM 2022 THAT WERE CORRECTED. WE IMMEDIATELY COMMUNICATED THAT WITH BOTH THE COLLECTOR AND WITH THE ENTITIES INDIVIDUALLY SO THEY COULD MAKE PLANS. ONE WAS GOING TO REQUIRE A REFUND. ONE WAS NOT.

BECAUSE THE TAX PAYER HAD NOT PAID.

WE DID GET THAT TAKEN CARE OF. WE DID SEE A MARKET TREND UPWARD IN THIS LAST YEAR. AND SO I THINK THAT IS ONE OF THE THINGS THAT IS CONFUSING TO A TAXPAYER WHEN YOU ARE LOOKING AT SALES TODAY. WE ARE STUCK USING-- WE ARE NOT STUCK BUT WE ARE ASKED TO USE BY THE STATE, SALES BETWEEN JANUARY 1 OF THE PREVIOUS YEAR. IT WOULD BE 2022 FOR THIS YEAR.

UP TO JANUARY 21, 2023. IT IS OUR POLICY THAT WE TRY TO TRACK THE SALES THROUGH APRIL 1 OF 2023 SO IF THE MARKET IS TRENDING DOWNWARD, WE CAN ACCOUNT FOR THAT AND GIVE TAXPAYERS THAT BENEFIT. WHAT WE SAW WHEN I DID A PAIRED SALES ANALYSIS WAS IN RESIDENTIAL.

DEPENNING ON THE TYPE OF HOME AND THE LOCATION, WE WERE SEEING ANYWHERE FROM A 20% TO 60% INCREASE WITH AN AVERAGE AT 40%.

IF YOU ARE TALKING WHAT WE CALL BRICK AND STICK.

THAT WAS 20% TO 40%. THE BOARD OF REALTORS HAD PREVIOUSLY REPORTED THAT THEY SAW A 35.8% INCREASE.

WE WERE PRETTY CLOSE TO WHAT THEY WERE SEEING.

THEY WERE LOOKING AT 12 MONTHS. WE WERE, AGAIN, TRYING TO GATHER THAT NEXT THREE MONTHS TO MAKE SURE IF IT WAS COMING DOWN WE COULD FOLLOW THAT TREND FOR THE TAXPAYERS.

SOME OTHER BIG THINGS THAT HAVE BEEN GOING ON.

AS MANY KNOW, THERE WERE MEETINGS THAT WERE RESCHEDULED THIS WEEK. THAT WAS AN OPEN MEETINGS ISSUE.

WE FAILED TO POST AGENDA. OUR AGENDA HAD SOME CHANGES AT THE LAST MINUTE. SO THE OFFICE MANAGER WAS FOCUSED ON GETTING THOSE OUT SO THEY WERE CORRECT.

BECAUSE IN THAT MEETING, WE ARE DISCUSSING THE IAAF SCOPE.

I DIDN'T WANT IT TO BE DELAYED ANY LONGER.

HOWEVER, IT DOES END UP BEING A BENEFIT BECAUSE WHAT WE LEARNED AFTER NOTICES WERE DROPPED WAS THAT THERE WAS AN ISSUE WITH LAND. AND IT WAS ACTUALLY A BOARD MEMBER WHO SAID HEY, SOMETHING IS AMISS WITH SOME LARGE ACREAGE STUFF. CAN YOU ANSWER THE QUESTIONS? AND IT CAUSED US TO DEEP-DIVE IT.

I HIRED A CONSULTANT. IT TOOK ME TWO WEEKS TO FIND SOMEBODY THAT WOULD COME NOW. IT TOOK HER ABOUT A WEEK TO SHOW UP. AND SHE HAS BEEN WORKING ON THIS INFORMATION SINCE THEN. WHEN I LEFT THE OFFICE, THEY HAD RE-EVALUATED THE CITY DOWNTOWN LAND, AND THEY ARE LOOKING AT THE RURAL LAND LARGE ACREAGE TRACKS TONIGHT.

WE INTEND TO HAVE ALL OF THOSE VALUES CORRECTED AND SENT OUT.

THERE IS A HICCUP IN THE WAY THE TAX CODE ALLOWS ME TO DO IT SINCE THE ROLL WAS GIVEN. I HAD TO ASK THEIR PERMISSION TO CORRECT IT. THEY GAVE ME THAT LAST WEDNESDAY. MY GOAL IS TO HAVE THOSE PRESENTED TO THE ARB AND THE CORRECTED BOARD ORDERS AS WHAT IT IS GOING TO LOOK LIKE. GOING OUT TO CITIZENS.

THERE WILL BE SOME LANGUAGE ON THOSE ORDERS THAT SAYS YOU CAN STILL PROTEST THAT NEW VALUE. I CAN'T SEND A NEW NOTICE ONCE THE ROLL GOES TO THE ARB. WE ARE LOOKING AT APPROXIMATELY BASED OFF OF WHAT THEY HAD AT 4:30, 7,500 ACCOUNTS.

>> IS THAT GOING TO BE COUNTY-WIDE OR IN THE CITY IN.

>> COUNTY-WIDE. FROM WHAT WE CAN SEE RIGHT NOW.

[00:20:01]

WE DID DO AN INVESTIGATION ON HOW THAT CAME TO BE.

UNFORTUNATELY, A COMPUTER IS A COMPUTER.

IT LOOKS FOR WHAT YOU TELL IT TO LOOK FOR.

WHAT IT LOOKS FOR IN ERRORS IS THIS A TRUE NUMBER? DOES IT MATCH THE EXEMPTIONS APPLIED DOES THE STATE CODE MATCH? IT DOESN'T SAY, HEY, WAIT A MINUTE. THAT LOOKS REALLY WEIRD.

WHY WAS IT THIS NUMBER LAST YEAR AND THIS NUMBER THIS YEAR? THAT IS AN ODD PERCENTAGE. WE ARE IN THE PROCESS OF BUILDING WHAT I CALL MONITORS IN THE SYSTEM.

WE BUILT ONE AFTER ONE OF THE BPP ERRORS.

AND IT TRACKS IT EVERY 30 SECONDS.

IT UPDATES. I CAN OPEN IT AT ANY POINT IN TIME IN THE DAY AND SEE WHAT HAPPENED.

WHERE WE ARE. WHAT THE CHANGES WERE.

WHICH ACCOUNT IT AFFECTS. I CAN START INVESTIGATING BEFORE THAT INFORMATION EVER MAKES IT OUT PUBLICLY.

SO WE CAN GET IT CORRECTED BEFORE THE TAXPAYERS RECEIVE MISINFORMATION. I WOULD SAY SOME OF THE BIGGEST MISCONCEPTIONS OR MISNOMERS THAT I SEE AS FAR AS THE APPRAISAL SYSTEM GOES IS-- MY FAVORITE IS THE ENTITIES TELL ME WHAT THEY NEED THE VALUE TO BE. THAT IS NOT TRUE.

I TOLD A GENTLEMAN TODAY THE WAY THIS CYCLE KICKS OFF, WE DO OUR VALUES. ONCE OUR VALUES ARE DONE, IT GOES TO THE ENTITY. SO THEY CAN LOOK AT THEIR BUDGETS AND MAKE THE CHANGES NECESSARY TO TAX RATES OR OTHER INFORMATION THAT THEY NEED TO LOOK AT.

ONCE IT GOES THROUGH THE ENTITIES AND THEY SET THEIR TAX RATE, IT GOES TO THE COLLECTOR WHO ISSUES THE BILL.

AND SHE DOES THE COLLECTION. THERE IS NO BACKWARDS CONVERSATION HAPPENING. THAT IS NOT TRUE.

I THINK THE OTHER MISNOMERS THAT I HAVE HEARD THIS SEASON ARE WE NEVER INSPECT THE PARCELS. WE ACTUALLY PHYSICALLY INSPECTED 25,399 PARCELS IN THE COUNTY OF 62,000 PARCELS.

WE DO TRY TO SEE AT LEAST A THIRD.

WE ARE SHORT-STAFFED. WHEN I RUN AN OPERATION SURVEY WHICH WE DO FOR THE STATE EACH YEAR, IT SAYS HOW MANY EMPLOYEES DO YOU HAVE. HOW MUCH DO YOU PAY? HOW MANY CLERKS DO YOU HAVE? DISTRICTS OUR SIZE ARE CARRYING 12 APPRAISERS. I HAVE EIGHT INCLUDING MYSELF.

AND THAT IS COUNTING THE LAND CONSULTANT AS WELL WHO LONG-TERM, I DON'T KNOW IF SHE WILL STAY ON STAFF.

SHE HAS AGREED TO STAY UNTIL THIS IS CORRECTED FOR THIS PROTEST SEASON AND THROUGH THE FALL.

TO HELP US CORRECT THE LAND, CHECK THE TABLES, VERIFY THE DATA GOING INTO THEM AND THE ALLOCATIONS OF SUCH AND TO JUST GO OVER OUR LAND SALES THAT WE ARE RECEIVING IN EVERY DAY.

THE GENTLEMAN THAT SPOKE BEFORE SAID IT HAS BEEN UNDERVALUED.

THERE IS LAND IN DOWNTOWN THAT WAS ON FOR $800.

YOU CAN'T BUY A LOT FOR $800. THAT PART IS TRUE.

WHILE IDEALLY, YOU WOULD MOVE IT UP A LITTLE AT A TIME EACH YEAR, WE DON'T HAVE THE DATA. WE DON'T WANT TO MOVE IT ON ARBITRARY INFORMATION. WE WANT TO MOVE IT ON FACTS.

THAT IS THE THING. THAT IS WHY SOME NEIGHBORHOODS INCREASE IN VALUES AND OTHERS DON'T.

IF THERE IS NO CONFIRMED SALES, AND THIS IS A NONDISCLOSURE STATE SO I'M AT THE MERCY OF TAXPAYERS TO PROVIDE THAT DATA TO ME. IF I DON'T HAVE SALES DATA, I CAN'T ARBITRARILY MOVE A NEIGHBORHOOD.

WE DO TRY TO USE THE LEGAL BINDS SO IF IT IS LAKE FOREST, WE TRY TO LOOK AT LAKE FOREST ONLY. SAME WITH COUNTRY CLUB.

SAME WITH WOODWAY. OBVIOUSLY, WHEN YOU GET INTO THE COUNTY, IT IS DIFFERENT. THIS IS THE FIRST YEAR THOSE NEIGHBORHOODS ARE-- WELL, THOSE QUADRANTS OF THE COUNTY HAVE BEEN NEIGHBORHOODED. WE DID IT BY SCHOOL DISTRICT.

AND THE NORTHWEST, NORTHEAST, SEPARATE FROM INDUSTRIAL AND BLOOMINGTON BECAUSE THEY ALL DO SELL DIFFERENTLY.

YOU KNOW, WHEN THE APPRAISERS ARE WORKING ON YOUR VALUE, WE ARE WORKING OFF THE BEST DATA WE HAVE AT THE TIME NOTICES DROP.

AND SO IF YOU BRING IN SALES DATA, WE ARE GOING TO LOOK AT IT. WE WILL CONSIDER IT.

WE ARE GOING TO THROW IT INTO THE SYSTEM AND SAY, HEY, WHAT MAKES SENSE? THE OTHER THING IS WE DO ALL OF OUR INSPECTIONS FROM THE EXTERIOR OF THE PARCEL.

IF YOU HAVE MOLD INSIDE, I CAN'T SEE THAT.

SO I WOULD INVITE PEOPLE TO BRING US PHOTOS.

IF YOU HAVE ALREADY HAD A BID GIVEN TO YOU.

BECAUSE YOU NEED TO FIX A SEWER LINE OR WHATEVER, BRING THAT AS WELL. THAT IS HELPFUL INFORMATION THAT YOU CAN'T SEE WHEN YOU DO THE EXTERIOR INSPECTION.

OF THE PARCEL. THE PROTEST DEADLINE WAS MONDAY, MAY 15. UNLESS YOU RECEIVED A CORRECTED NOTICE. SO IF YOU GOT SOMETHING AFTER THAT APRIL 15 TIMELINE AT THE BOTTOM OF THE NOTICE, IT IS GOING TO BE THEIR NEW DEADLINE DATE.

JUST LIKE WITH THESE CORRECTIONS THAT WILL PUSH OUT FOR THE APPROXIMATELY 7,500 ACCOUNTS, ONES IT GOES IN THE MAIL, THEY HAVE 30 DAYS TO LET US KNOW, YES, I WANT TO PROTEST IT OR NO, I'M OKAY WIT. THEN WE WILL CLOSE IT OUT AT THAT CORRECTED LOWER VALUE. THAT IS THE ONE THING THE 7,500 ACCOUNTS THAT WILL BE CORRECTED WILL NOT INCREASE IN VALUE.

IT WILL BE DECREASES AS PRESCRIBED BY THE CODE.

SO THAT IS GOOD NEWS. WE ARE-- WE WERE SUPPOSED TO START HEARINGS TODAY. THOSE WILL START THURSDAY.

[00:25:02]

FIVE DAYS A WEEK. THREE PANELS.

WE ARE GOING TO WHAT WE CALL A QUEUING SYSTEM.

IT IS HOW WE RAN EVERYTHING BEFORE COVID.

AND IT IS ACTUALLY WHERE WE BOOK SIX PEOPLE FOR AN HOUR AND A HALF AND RUN OUTLY THE MULTIPLE BOARDS.

INSTEAD OF BEING TIED TO A SINGLE PANEL, IF YOU SHOW UP AND PANEL A IS AVAILABLE, I'M NOT GOING TO MAKE YOU WAIT FOR PANEL B. I'M GOING THE TAKE YOU INTO PANEL A AND WE WILL GO DOWN THE ROAD.

WE ARE INTEGRATING SOME OTHER THINGS I HAVE TAKEN FROM DALLAS AT CONFERENCE WHICH IS AN EXPEDITED HEARING PROCEDURE.

THE TAXPAYER CAN READ ALL THE THINGS THAT GET READ TO THEM AS SOON AS THEY START THE HEARING. SIGN OFF ON THAT, SKIP THAT PROCESS AND HAVE AN ADDITIONAL FIVE MINUTES FOR THEIR EVIDENCE EXCHANGE. THAT KIND OF FREES UP THE TIMELINE A LITTLE BIT. WE ARE GOING TO OFFER, IF THEY CHECKED, A FULL-PANEL PROTEST. YOU CAN COME IN, AND IF IT IS BUSY AND THE FULL PANELS ARE BOOKED, YOU CAN CHECK OFF AND SIGN OFF THAT YOU WOULD RATHER HAVE A SINGLE PANEL IF YOU WOULD LIKE TO MOVE FASTER. SO WE ARE TRYING TO WORK ON THINGS TO MAKE IT EASIER FOR THE TAXPAYERS TO GET IN AND OUT OF THE OFFICE AND COLLECT DATA. THERE WERE SOME ISSUES WITH THE ON-LINE PORTAL. EVERY COUNTY HAD THEM.

APPARENTLY, THE SOFTWARE DIDN'T UPDATE.

THEY FORGOT TO SEND US A FLAG THAT SAYS HEY, AT MIDNIGHT, WE ARE UPDATING. THAT IS WHAT KEPT SOME PEOPLE FROM BEING ABLING TO ON-LINE PROTEST.

WE DID ADDRESS THAT. THEY GOT EMAILS FROM ALL THE COUNTIES THEY SERVICED. AND THE BIGGEST THING I CAN TELL TAXPAYERS, I GET EMAILS AND PHONE CALLS PRETTY CONSISTENTLY RIGHT NOW. ABOUT THE ENVIRONMENT AND THE OFFICE HAS CHANGED. I DON'T KNOW WHAT YOUR PREVIOUS EXPERIENCE WAS. I WOULD INVITE YOU TO COME TO THE OFFICE AND HAVE A CONVERSATION.

IT IS NOT US VERSUS YOU. OUR NUMBERS ARE NOT SET IN STONE. WE ARE ALWAYS WELCOMING INFORMATION AND DATA. AND YOU KNOW, IF WE CAN USE THAT INFORMATION TO ASSIST THE TAXPAYER, WE ARE GOING TO.

BUT EVERYBODY IN THAT OFFICE, THE MENTALITY IS RIGHT NOW WE ARE HERE TO SERVICE THE PUBLIC. WE ARE BOUND BY LAWS THAT SOMETIMES DON'T MAKE A LOT OF SENSE.

AS LONG AS WE CAN WORK WITHIN THE LAWS, WE ARE HAPPY TO DO.

WE MAILED 45,000-- 45,574 NOTICES THIS YEAR PRIOR TO THIS CORRECTION SENT OUT. WE WILL HAVE MAILED 52 AND SOME CHANGE. YOU KNOW, WE WORK VERY HARD TO TRY TO GET IT RIGHT. AND I KNOW THERE ARE SOME PEOPLE THAT SAY WE ARE AVOIDING THE AUDIT.

I'M NOT. YOU CAN ASK ANYBODY THAT HAS WORKED WITH ME. I'M, LIKE, OKAY, LET'S DO IT.

ALL IT IS GOING TO DO IS PROVE WHAT I HAVE ALREADY FOUND.

THE INTERIM CHIEF AND AS CHIEF. I'M SHORT-STAFFERRED.

I'M LACKING TECHNOLOGY. I'M LACKING IN JUST THE CAPABILITY TO DO WHAT BIGGER DISTRICTS ARE.

I HAVE ALREADY BEEN IN COMMUNICATION WITH DISTRICTS LARGER THAN US AND OUR SIZE TO WORK ON TRAINING FOR THE FALL.

SEND THE APPRAISERS THERE. LET THEM SEE HOW OTHERS ARE DOING IT. THE LAND CONSULTANT THAT WE HAVE RIGHT NOW ACTUALLY WORKED FOR OUR SOFTWARE COMPANY PREVIOUSLY.

SO SHE IS GOING TO DO SOME TRAINING SO WE CAN UTILIZE THE SOFTWARE TO ITS FULL POTENTIAL. MY PREDECESSOR USED TO SAY WE HAVE A BMW, AND WE ARE PUSHING IT LIKE A BUICK.

I'M, LIKE, WHY. SO WE ARE AWARE OF SOME OF THE DEFICIENCIES. WE ARE WORKING TO CORRECT THOSE.

IT JUST TAKES TIME. SO I WOULD SAY PLEASE BE PATIENT. WE ARE HAVING OUR BOARD MEETING TOMORROW AT 4:00. I INVITE ANYBODY THAT WANTS TO COME. I THINK IT SHOULD BE A PRETTY QUICK ONE. BECAUSE WE ARE COVERING SOME FINAL THINGS. I DID SPEAK WITH IAAO.

THEY WEREN'T AVAILABLE THE FIRST OF MAY ANYWAYS.

SOMEBODY HAD DOUBLE-BOOKED SOMEBODY.

I HAVE BEEN IN CONSTANT COMMUNICATION WITH THEM EVERY WEEK AS WE HAVE GONE THROUGH THE SCOPE AND ANY CHANGES THAT WE HAVE NEEDED. ONCE WE GET THAT LINED OUT, WE WILL BE PRETTY STRAIGHT FORWARD. I WOULD TELL PEOPLE NONE OF THE GROUP IN THE CIRCLE OF THE PROPERTY TAX SYSTEM ARE TRYING TO STEAL FROM YOU OR BACK-DOOR DEAL TO GET MONEY TO PROVIDE FUNDS FOR STREETS, FIRE, ALL OF THESE THINGS.

WE ARE JUST WORKING WITHIN THE PROPERTY TAX SYSTEM AS IT IS OUTLINED BY LEGISLATURES. AS ANYTHING, THEY WORK TO IMPROVE IT EVERY YEAR. I BELIEVE THERE IS 122 PROPERTY TAX BILLS GOING THROUGH THE SYSTEM RIGHT NOW.

I'M HAPPY TO ANSWER ANY QUESTIONS I MAY HAVE MISSED.

>> I HAVE A QUESTION. WHEN YOU SAID THAT Y'ALL INSPECTED 25,OF THE 62,000 PROPERTIES, AND IT IS FROM THE EXTERIOR, CAN YOU EXPLAIN HOW THAT INSPECTION OCCURS? IS IT GOING TO A SITE AND LOOKING AT IT? IS IT AN AERIAL FLYOVER? WHEN YOU SAY YOU INSPECT IT,

WHAT IS THE A METHOD? >> INSPECTED IS PHYSICALLY ON THE GROUND. SORRY.

[00:30:02]

SO WE WILL USE THAT TO IDENTIFY THINGS ON THE TRACK.

IF YOU LOCK YOUR GATE, THEY ARE NOT GOING THROUGH THAT GATE.

IF IT SAYS NO TRESPASSING, THEY ARE NOT GOING IN.

IF IT IS PURPLE PAINT, THEY ARE NOT GOING IN.

THEY ARE GOING TO MAIL YOU A LETTER SO THEY CAN TRY TO GET IT CORRECTED AND A CORRECT SET OF INFORMATION.

THEY DO USE IPADS NOW. WE LOOK AT THAT AERIAL MAP.

WE DO PULL UP TO THE PROPERTY, GET OUT, KNOCK ON THE DOOR, DOUBLE-CHECK, YOU KNOW, IC-6-- I SEE SIX STRUCTURES HERE.

I SEE SIX STRUCTURES ON THE GROUND.

HEY, WAIT, THAT IS OFF. IF YOU APPRAISE LONG ENOUGH, YOU CAN EYEBALL THAT IS NOT SIX FEET.

IT IS FOUR FEET. THEY WILL PULL A TAPE AND PHYSICALLY MEASURE THE STRUCTURES IF THERE IS ANY QUESTION ABOUT A SIZE ISSUE, AND THEN THEY RECONDITION EVERYTHING. AND THEN THEY WILL GO IN AND LOOK FOR IF IT'S BEEN LISTED, WE WILL TRY TO LOOK AT LISTING PHOTOS TO MAKE SURE, YOU KNOW, IF IT IS A 1960S NEVER UPDATED AND IT SOLD, WE WANT TO MAKE SURE OUR INFORMATION REFLECTS THAT AS WELL. AND THEN IF THERE IS ANY SELLER'S DISCLOSURES ON-LINE THAT, WE ARE REVIEWING THOSE AS WELL FOR FOUNDATION OR OTHER STRUCTURAL ISSUES REQUIRED TO BE

DISCLOSED. >> OKAY.

THANK YOU. >> IS THERE A NEW TARGET DATE ON

THE IAAO AUDIT AT THIS POINT? >> I THINK TOMORROW WILL BE A GOOD GAUGE ON. THAT SHE SAID AS SOON AS WE HAVE THAT SCOPE, I NEED TO GET THAT TO HER SIGNED.

THEN WE HAVE TO PAY HER, AND I THINK THE BUDGET AMENDMENT WENT OUT. THE ENTITIES HAVE UNTIL JUNE 3 TO DISPUTE IT. I HAVEN'T GOTTEN A DISPUTE.

I WOULD ASSUME FIRST OF JUNE AT THE LATEST.

THAT SHE WOULD BE HERE. I HAVE BEEN IN COMMUNICATION WITH HER ABOUT GETTING US THE PART WE CAN DO BY OURSELVES BEFORE SHE ARRIVES WHICH IS THE QUESTIONNAIRE.

WE WILL START THAT PROCESS. EVEN THOUGH WE ARE WAITING ON EVERYBODY TO HAVE THEIR LAST SAY.

AT THIS POINT, I WOULD SAY NOBODY IS DISPUTED.

I CAN'T FORESEE THAT IT WOULD HAVE BEEN DISPUTED.

>> WE RECEIVED THAT NOTIFICATION TONIGHT.

I GOT IT FROM MS. SANDOVAL'S SECRETARY OF THE BOARD.

I DON'T ANTICIPATE THERE WOULD BE ANY DISPUTE FROM UP HERE.

FOR THAT BUDGET AMENDMENT. >> I HAVE HAD A COUPLE OF ENTITIES CALL ME AND ASK ME FOR THE BREAKDOWN.

NOBODY HAS BEEN, LIKE, OH, MY GOSH, THAT IS CRAZY.

LIKE I SAID, I THINK IT IS PRETTY STRAIGHT FORWARD AFTER

TOMORROW NIGHT. >> OKAY.

>> CAN I TALK, PROCEDURALLY? >> YES.

THERE CAN BE DISCUSSION. >> OKAY.

I JUST WANT TO ADD AS A BOARD MEMBER THAT WHEN WE MADE THE BUDGET AMENDMENT, IT WAS DONE AS A WORST-CASE SCENARIO.

SO WE WOULDN'T HAVE TO COME BACK AND DO OTHER BUDGET AMENDMENTS.

YOU KNOW, WE ARE NOT REALLY EXPECTING IT TO BE THAT LARGE A

NUMBER. >> ABSOLUTELY.

IT WILL WORK JUST LIKE THE REST OF THE BUDGET.

ANYTHING WE DON'T SPEND WILL GET PUSHED BACK TO THE ENTITIES.

AT THE END. >> WOULD YOU BE ALL RIGHT TO SIT AROUND FOR MR. REYNA'S PRESENTATION?

>> ABSOLUTELY. >> JUST IN CASE IT JOGS SOME

OTHER QUESTIONS? >> ABSOLUTELY.

>> I HAVE ONE, ACTUALLY THAT I THINK COULD HELP WITH THE TRANSITION IN BETWEEN PRESENTATIONS.

IF YOU CAN DESCRIBE THE PROCESS THAT YOU UNDERTAKE IN PROVIDING THE TAX ROLLS TO THE CITY OR TO REALLY ANY ENTITY.

>> OKAY. I MEAN, TO GET THE VALUES WHERE WE START IS WE LOOK AT LAND SALES.

WE CALL IT COSTING. WHAT WOULD IT COST YOU TO BUILD IT NEW? HOW OLD IS THE STRUCTURE DEPRECIATED OUT? BASED ON A STANDARD AGE.

THEN WE LOOK AT THE CONDITION WHICH WE WILL ADD ADDITIONAL CONDITION TO IT. TO SET THE VALUES FOR EACH TYPE OF PROPERTY. ONCE WE DO ALL OF THAT, WE LOOK AT SALES. THOSE SALES THEN WILL PUSH THE COST STRUCTURES ON TOP OF IT. THAT IS USUALLY THE NEIGHBORHOOD FACTOR. PEOPLE SEE THAT ON THEIR CARD.

WHEN THEY COME GET A PROPERTY CARD.

THAT IS THE ONLY PLACE YOU CAN SEE IT.

I INVITE EVERYBODY, IF YOU ARE NOT SURE.

COME ASK FOR A CARD. IT HAS MORE INFORMATION THAN THE STANDARD STATE NOTICE. THE LAYOUT ON THE NOTICE IS NOT GOOD. THEN WHEN WE FINISH ALL OF THOSE NUMBERS, WE RUN RATIO STUDIES TO SEE IS THIS RIGHT OR WRONG? WHAT NEEDS TO BE CHANGED? WE DO THAT TWO OR THREE TIMES BEFORE WE EVER PUSH THEM OUT TO PRELIMINARIES.

ONCE WE FINALIZE, WHEN WE GET READY TO MAIL NOTICES, WE WILL DROP THOSE FIRST. THEN WE SEND A COPY OF THE PRELIMINARY ROLL TO THE ENTITY SO THEY CAN TRACK IT.

THE CITY IS ONE OF MY FEW THAT ACTUALLY TRIES TO GET IT CONSISTENTLY SO THEY CAN MONITOR WHAT'S GOING ON.

I INVITE ALL OF THEM TO GET THEM AS CONSISTENTLY AS POSSIBLE.

AND THEN THE REAL PROPERTY GOES OUT MAY 15.

THE BUSINESS-PERSONAL WON'T GO OUT UNTIL MAY 31.

SOME COMMENTS HAVE BEEN OTHER ACCOUNTS AREN'T CHANGED.

BECAUSE THEY HAVEN'T BEEN NOTICED YET.

LIKE PIONEER, CATERPILLAR, THOSE ARE IN A DIFFERENT CATEGORY.

THEY GO OUT AT A LATER TIME PERIOD.

IT IS VERY CONFUSING TO LOOK AT THE SITE IF YOU DON'T HAVE

[00:35:02]

THEN WE START YOUR HEARINGS. WE DO 97 DAYS OF HEARINGS.

AND WE WILL FINALIZE ON THE 21ST.

WE PUSH THOSE CERTIFIED ROLLS. THAT IS WHAT THE ENTITIES THEN USE TO START SETTING THEIR BUDGET.

>> WHICH WE GET IN JULY. >> YES.

YOU GET JULY 25. WELL, HOPEFULLY, BEFORE THEN.

NO LATER THAN JULY 25. >> SO THEN ONCE WE GET THEM, THEN WE DO OUR THING. RIGHT, GILBERT?

>> AND I WILL SAY THAT THOSE REGULAR UPDATES ARE BENEFICIAL BECAUSE MR. REYNA IS TYPICALLY SHARING THOSE WITH US AS WE GET THROUGH OUR BUDGETING SESSIONS IN THE SUMMER.

>> RIGHT. >> WE KNOW BY THE TIME WE ARE IN AUGUST, WE ARE NOT AS SURPRISED. WE KIND OF KNOW WHAT WE ARE

LOOKING AT. >> RIGHT.

>> CORRECT. FOR THE BENEFIT OF, YOU KNOW, THE PUBLIC TUNING IN, YOU KNOW, WE, OF COURSE, PUT TOGETHER A DRAFT BUDGET THAT GETS PRESENTED IN JUNE.

OBVIOUSLY, THERE IS SOME ASSUMPTIONS THAT ARE MADE LEADING UP TO THAT PREPARATION OF THE DRAFT BUDGET.

WHICH DIRECTLY TIES TO, YOU KNOW, US HAVING ACCESS TO

PRELIMINARY INFORMATION. >> CORRECT.

>> YOU ARE RIGHT. THERE AREN'T ANY MAJOR SURPRISES. THE PROCESS FOR US FORMALLY, YOU KNOW, STARTS THE FIRST MEETING IN AUGUST WHEN I FORMALLY PROPOSE THE BUDGET. TECHNICALLY, I PROPOSE THE BUDGET. THE TAX RATE AFTER WE RECEIVE CERTIFIED APPRAISALS AT THE END OF JULY.

THERE IS A WHOLE PROCESS THAT GOES INTO FIGURING THAT OUT.

[1. Truth-in-Taxation Calculation and Senate Bill 2 Overview. Gilbert P. R...]

GILBERT WILL WALK US THROUGH. >> THANK YOU, MS. WICKLIFFE.

HI. HOW ARE YOU? (LAUGHTER) NOW, I'M GOING TO REITERATE.

I ASKED MR. REYNA TO GIVE THIS PRESENTATION.

I KNOW HE HAS GIVEN IT TO US A NUMBER OF TIMES.

IT MIGHT JOG Y'ALL FOR SOME QUESTIONS OR SOMETHING.

MY MAIN AUDIENCE FOR THIS HAS BEEN THE CITIZENS OF VICTORIA TO MAKE SURE THEY UNDERSTAND WHAT OUR TASK IS UP HERE AND WHAT WE ARE RESPONSIBLE FOR WHEN IT COMES TO THE TAX RATE AND THEN HOW IT FITS IN WITH THE APPRAISAL.

OKAY. JUST A BACKDROP.

>> THANK YOU, MAYOR. I'M HAVING SOME SINUS ISSUES.

I APOLOGIZE AHEAD OF TIME IF I WALK AWAY COUGHING OR ANYTHING ELSE. A COUPLE OF POINTS BEFORE I START. LET'S START LAST WEEK.

EVERY WEEK IS GOING TO CHANGE. YOU KNOW, I STARTED MY CALCULATIONS A WEEK AGO. I LIKE TO SEE A TREND.

HOW THESE NUMBERS FALL OUT. SHE DOES GET A CALL FROM ME ONCE IN A WHILE. I DO ASK A LOT OF QUESTIONS.

BUT SHE IS A STUDENT. SHE ANSWERS THEM.

IT IS PRETTY CLEAR-FORWARD. HER JOB IS VERY CHALLENGING.

WITH THAT SAID, I WANT TO TALK ABOUT THE TRUTH IN TAXATION, THE SENATE BILL WHICH WE WENT OVER A FEW YEARS AGO OR LAST YEAR.

I PLAN TO KEEP IT VERY, VERY HIGH-LEVEL.

AND FOR THOSE DEPARTMENTS THAT HAVE OTHER POWER POINTS, YOU ARE GOING TO BEAT ME. DON'T WORRY ABOUT IT.

OKAY? ANYWAY, FIRST OF ALL, THE TRUE TAXATION IS AN 80-PAGE CALCULATION WORK SHEET.

HERE ARE THE INSTRUCTIONS. IT IS PRETTY THICK.

I'M TRYING TO KEEP IT WAY UP HERE.

AND WE WON'T GET INTO THE WEEDS OR ANYTHING LIKE THAT.

I HAVE BEEN DOING THIS FOR, I WOULD SAY, 28 YEARS.

EVERY YEAR IS STILL A CHALLENGE. YOU THINK YOU KNOW SOMETHING YOU DON'T. THERE IS ALWAYS SOMETHING NEW.

WHERE IS MY CLICKER? THANK YOU VERY MUCH.

TRUTH OF TAXATION. THIS IS A CONCEPT EMBODYING THE TEXAS CONSTITUTION THAT REQUIRES ENTITIES TO MAKE AWARE TO TAXPAYERS WHERE OUR TAX PROPOSALS ARE.

AND AFFORD THE TAXPAYER AN OPPORTUNITY TO LIMIT THE PROPOSAL OR APPROVE THE TAX INCREASES.

SEVERAL DIFFERENT NOTICES AND EVERYTHING ELSE.

I'LL GET INTO IT. IF YOU GO OVER A CERTAIN AMOUNT, YOU HAVE TO DO CERTAIN THINGS. SENATE BILL TWO, WAS PASSED BY THE TEXAS LEGISLATION IN 2019. SB-2 MADE SOME CHANGES ON THE VERBAGE. INSTEAD OF CALLING IT AN APPLE, IT IS CALLED A BANANA. WITH THE SAME MEANING.

WHAT MAKES THE BIG DIFFERENCE HERE, ON THE CALCULATION OF THE TRUTH TAXATION, THERE IS A BIG PART WHICH I WILL GO OVER AND EXPLAIN TO YOU WHAT THAT BIG DIFFERENCE IS.

WE WERE TALKING ABOUT THIS A WHILE AGO.

WHO IS INVOLVED IN DEVELOPING THE TRUTH TAXATION CALCULATION? KERI IS RIGHT. THERE IS NO BACKGROUND GOING ON OR ANYTHING ELSE. THE APPRAISAL IS REQUIRED BY LAW. TO COME UP WITH A CALCULATION OF APPRAISALS. THEY HAVE TO FOLLOW CERTAIN RULES. ONCE THAT IS DONE, AS WAS MENTIONED, JULY 25, BY JULY 25, THE REPORT, THE CERTIFIED REPORT

[00:40:06]

MYSELF, THE CITY OF VICTORIA. AND ALSO IT ALL GOES TO THE TAX ASSESSOR. ACTUALLY, IF YOU ARE SEEING THIS, I APOLOGIZE. WHAT IS UP THERE ON THE WEBSITE.

I COULDN'T FIND ONE. ANYWAY, WE DO OUR CALCULATIONS SEPARATE. ONCE IT IS DONE, WE RECONCILE IF THERE IS ANY DIFFERENCE. IT DOESN'T GO TO PRINT OR NOTICE UNTIL WE BOTH AGREE TO THE NUMBER ITSELF.

MAKE SURE WE ALL ARE ON THE SAME PAGE.

EVERYTHING IS A CYCLE. WE USE THE SAME NUMBERS.

NOTHING DIFFERENCE. >> THAT TRUTH IN TAXATION CALCULATION IS NOT JUST THE CITY OF VICTORIA THAT HAS TO DO THAT.

BUT THE COUNTY AS WELL. >> THE COUNTY DOES IT.

>> THE SCHOOLING DISTRICT IS DIFFERENT.

>> THE SCHOOL IS A TAD DIFFERENT.

SHE DOES THOSE AS WELL. SOME OF THE WATER DISTRICTS MIGHT HAVE A TWIST TO IT. I DON'T THINK THERE IS ANY SM SMALL-- BLOOMINGINGTON MIGHT HAA DIFFERENT TAB.

ANYWAY, OTHER THAN THAT, EACH ONE HAS THE CERTAIN RULES THEY FOLLOW WITHIN THE TRUTH TAXATION.

>> THE ASHLEY YOU ARE TALKING ABOUT IS ASHLEY HERNANDEZ.

>> THAT IS CORRECT. >> ONE POINT TO MAKE IS WHILE SHE SITS ON THE BOARD, SHE IS A NON-VOTING MEMBER OF THE BOARD.

>> THAT IS CORRECT. >> SHE IS THERE FOR INFORMATION.

SHE IS AN ELECTED OFFICIAL. >> OKAY.

ANY OTHER QUESTIONS? >> NO.

>> ALL RIGHT. ALL RIGHT.

LET'S TALK ABOUT THE FOUR KEY TERMINOLOGY OF THE TRUTH TAXATION. THE OLD TERMINOLOGY WHICH I STILL LIKE TO THIS DATE, YOU HAVE THE EFFECTIVE TAX RATE.

NOW IT IS CALLED THE NO NEW RATE TACK TAX RATE.

THEN YOU HAVE THE EFFECTIVE M AND O TAX RATE.

LAST YEAR, YOU HAD THE ROLL-BACK TAX.

NOW IT IS CALLED VOTER'S APPROVAL TAX RATE.

THAT MAKES SENSE. THAT IS PROBABLY THE BEST IMENT IMPROVEMENT THERE. THE LAST ITEM IS NEW.

UNUSED INCREMENT TAX RATE. I GET THAT.

LY EXPAND ON THAT IN A MINUTE. ALL RIGHT.

NO NEW REVENUE TAX RATE. BASICALLY, IT WILL GENERATE APPROXIMATELY THE SAME AMOUNT OF REVENUE AS LAST YEAR.

I MEAN TO SAY APPROXIMATELY. BECAUSE IT IS NOT GOING TO BE THE SAME. AS-- I WILL PROBABLY REPEAT THIS AGAIN. WHEN I GET THOSE EFFECTIVE TAX RATES ON JULY 25, IT IS A CERTAIN NUMBER.

BY THE TIME I GET THE FOLLOWING YEAR, THE SAME NUMBER BUT A DIFFERENT DATE. THIS IS NOTHING ON THE APPRAISAL DISTRICT. IT WILL BE A DIFFERENT NUMBER.

WHY IS THAT? GREAT QUESTION.

AT THAT DATE, IT STOPS. YOU MIGHT STILL KNOW, YOU ARE ALLOWED TO GIVE THOSE NUMBERS OUT AS A CERTAIN LEVEL EVALUATION. I'M NOT SURE WHAT THE PERCENTAGE IS. 95%.

THEY ARE GOOD. YOU CAN ALLOW THOSE TO GO OUT.

THERE IS STILL A PORTION OF THEM THAT ARE STILL BEING PROTESTED.

YOU HAVE SOME CHANGES THROUGHOUT THAT TIME.

YOU MIGHT HAVE SOME SUPPLEMENT CHANGES.

ERRORS. STUFF LIKE THAT.

SO MY NEXT CERTIFIED VALUE THAT WAS CERTIFIED LAST YEAR, IT WILL BE DIFFERENT. NO CHANGE.

EVERY YEAR IS THE SAME THING. THAT IS JUST ALWAYS THE DEAL.

AND THE LOGIC BEHIND THAT, IT WILL CATCH UP.

THERE IS A TIMING DIFFERENCE. IT MIGHT NOT CATCH UP RIGHT AWAY, BUT EVENTUALLY, IT WILL. YOU HAVE A ROLLING THING GOING HERE. OKAY.

THE NEW RATE WILL GENERATE THE SAME AMOUNT OF REVENUE FOR THE GENERAL FUND. AND MAINTENANCE AND OPERATION.

VOTERS APPROVE A TAX RATE. ON THE SB-2, THE VOTER-APPROVED TAX RATE CANNOT EXCEED-- OVER THE PROPOSED TAX RATE CANNOT EXCEED THE VOTER-APPROVED TAX RATE.

IF IT DOES, IT HAS TO BE ABELECTION THAT DOES IT.

VOTERS HAVE TO APPROVE THAT. THE OLD LAW, THE TAXPAYERS HAD TO DO A PETITION TO GET IT ON THE VOTER LIST.

TO GO TO A VOTE. DOES THAT MAKE SENSE? IT IS A BIG DIFFERENCE. THE UNUSED INCREMENT TAX RATE.

WELL, THERE IS A DIFFERENCE BETWEEN THE VOTER'S-APPROVED TAX RATE AND THE TAX RATE THAT IS PASSED.

SO IN OTHER WORDS, SAYING THE 2020 TAX ROLL, WHICH IS THE

[00:45:04]

WE ADOPTED THE TAX RATE OF 61.15.

THAT MEANS YOU HAVE A VARIANCE OF .0093.

WHAT THE LAW ALLOWS YOU TO DO NOW IS TAKE THAT NUMBER AND USE IT NEXT YEAR AS A CARRYOVER. IN YOUR CALCULATION.

DOES THAT MAKE SENSE? THAT IS THE NEW LAW.

LET ME TELL YOU ABOUT THE OLD LAW.

THE OLD LAW, YOU WERE ALLOWED TO GO UP 8%.

FLAT. PERIOD.

END OF STORY. NO CARRYOVER.

USE IT OR DON'T USE IT. THAT IS IT.

YOU ARE DONE. THAT IS THE OLD LAW.

AND AGAIN, THE 3%, THEY CAME UP WITH THIS YEAR IS BECAUSE THEY WANT TO TRY TO ALLOW ENTITIES WHICH MAKES A LOT OF SENSE, YOU HAVE INFLATION FACTORS. IF SOMEBODY TOLD YOU THAT YOU HAD THE SAME DOLLAR TODAY THAT WOULD BE THE SAME TOMORROW, I WOULD LIKE TO KNOW WHO THAT IS. IT DOESN'T WORK THAT WAY.

THE LEGISLATION ALLOWED US TO ADJUST FOR INFLATION.

THAT IS THE WHOLE LOGIC BETWEEN THE 3.5%.

EXCUSE ME A MINUTE. >> I THINK IT IS IMPORTANT TO REITERATE THAT THE STATE LEGISLATURE, LEGISLATORS' PASSAGE OF SB-2 WAS THE STATE'S WAY OF TRYING TO MINIMIZE IMPACT ON TAXPAYERS BY DROPPING THAT PERCENTAGE FROM 8% TO #.5%.

AND BY ALSO REQUIRING A MANDATORY ELECTION IF YOU GO ABOVE THAT. VERSUS BEFORE AS GILBERT MENTIONED, IT WAS 8%. BUT IT WAS A PETITION TRIGGER, NOT AN AUTOMATIC ELECTION. SO THAT WAS THE STATE'S WAY OF SAYING THIS IS HOW WE ARE GOING TO ENSURE THAT THAT IS CONTROLLED OR LIMITED TO SOME EXTENT.

OBVIOUSLY, JUST LIKE EVERYTHING ELSE, THERE IS PROS AND CONS WITH THAT. RIGHT?

>> I WOULD HAVE TO SAY THAT THEY DID MAKE IT MORE PRO-TAXPAYER THAN THE PRIOR LAW. THAT IS A GIVEN.

THAT WAS THE MAIN OBJECTIVE. TRYING TO DO IT.

THERE IS STILL SOME CLEANING UP TO DO.

ALL RIGHT. LET ME SHOW YOU HOW THIS INCEMENT TAX RATE WORKS. LET'S SEE.

2020, THE FIRST YEAR WE HAD THIS LAW IN PLACE.

YOU FIRST FIGURE OUT THE NUMBER. .3625.

THE LOU ALLOWS YOU TO GO UP 3.5%.

.0126. YOU DON'T HAVE ANY CARRYOVER BECAUSE THIS IS THE FIRST YEAR THAT IT STARTED.

YOU HAVE ZERO. YOU CALCULATE YOUR TAX RATE.

NOW YOU HAVE 24.57. YOU TAKE THOSE FOUR THUMBBERS IN THE FIRST ROW, AND YOU ADD IT UP.

THOSE NUMBERS IS YOUR VOTER'S APPROVAL TAX RATE.

IN THIS CASE, IT IS 62.08. WE PROPOSE A TAX RATE OF $61.15.

WE HAVE A LEFTOVER OF .0093. THAT NUMBER, BY LAW NOW, YOU ALLOW IT TO CARRYOVER TO THE NEXT TAX ROLL YEAR.

THEN YOU GO THROUGH THE SAME CALCULATION.

IN '21, THERE IS 90.0092 LEFT. THAT TRANSLATE IS THAT WE USED UP A .01. OKAY? TAX ROLL '22, OUR FISCAL YEAR '23, THE SAME CALCULATION IS DONE. OOPS.

OKAY. I'M DONE.

ANY OTHER QUESTIONS? (LAUGHTER) COME ON.

THAT WAS QUICK. THAT WAS UNINTENTIONAL BUT I LIKED IT. OKAY.

>> I BET YOU CAN'T DO THAT AGAIN IF YOU WANTED TO.

(LAUGHTER). >> LAST ROW.

THE SAME THING. I HAD A CARRYOVER OF .0092.

I ALSO DID THE CALCULATION 3.5 WITH THAT PARTICULAR TAX ROLL.

THE NO NEW REVENUE M & O TAX RATE.

YOU CALCULATE THAT TAX RATE. YOU END UP WITH 55.95.

THIS PAST YEAR, WE DID A 55.82. WE HAVE .0013 LEFT.

NOW, WHAT HAPPENS NOW? THE RULE STATES YOU HAVE A THREE-YEAR MONEY MUM USE FOR THIS CARRYOVER.

USE US OR LOU USE IT OR LOSE IT. IN OTHER WORDS, OFFER THREE-YEAR LOOKBACK. THE NEXT-- I DID IT AGAIN.

HOW DO YOU LIKE THAT? >> YEAH, GOOD JOB.

GOOD JOB. GO BACK TO THAT SLIDE REAL QUICK, THOUGH. IT IS IMPORTANT TO CONVEY THAT-- BECAUSE WE OBVIOUSLY GO THROUGH THE PROPOSED TAX RATE EVERY YEAR. IT IS IMPORTANT FOR THE PUBLIC TUNING IN TO GET A FEEL FOR WHAT OUR CONVERSATIONS HAVE BEEN

[00:50:01]

HENCE, WHY WE HAVE NEVER REALLY GOTTEN UP TO THE VOTER APPROVAL TAX RATE AT YOUR DIRECTION TO NOT DO THAT.

I THINK IT IS IMPORTANT THAT THE PUBLIC UNDERSTAND THAT THOSE ARE VERY INTENTIONAL DISCUSSIONS AND CONVERSATIONS THAT WE HAVE DURING OUR OWN PROCESS TO GET THAT DIVIDANCE-- GUIDANCE FROM

YOU ON HOW WE APPROACH THAT. >> I'LL TAKE IT A LITTLE FURTHER BACK. I KNOW YEARS BEFORE, WE ALWAYS HAD A TENDENCY TO DO THE EFFECTIVE TAX RATE.

THERE WAS NO GROWTH. WE HAD ALL THESE NEEDS.

BUT THEY HAD AN END BALANCE THERE.

I THINK A AIR THE STATEMENT A FAIR STATEMENT FOR MR. GARZA, WE HAVE DONE A TREMENDOUS AMOUNT OF WORK WITH MORE RESOURCES.

THAT PLAYS OUT. PLUS YOUR P.A. PAYROLL PROGRAM.

WE IMPLEMENTED THAT IN THE PAST FEW YEARS.

LET ME GO BACK TO THE LAST ONE HERE.

I LEFT OFF ON THE CARRYOVER. WE HAVE THREE YEARS.

ON THE THIRD YEAR, WHICH IS GOING TO BE THIS COMING TAX ROLL IN 2023, OUR FISCAL YEAR '24, WE HAVE .0013 TO USE.

IF NOT, IT GOES AWAY. THEN THE NEXT CYCLE STARTS BACK ON ZERO. IT REPEATS ITSELF.

NOW, THE NUMBERS I HAVE BEEN LOOKING AT-- LET ME GO BEFORE.

THAT I'M NOT GOING TO TOUCH THIS.

I'LL MESS IT UP. ON THAT COLUMN OF THE PROPOSED TAX RATE, I DIDN'T TOUCH IT, FOLKS.

YOU DID. STOP IT.

(LAUGHTER) OBJECTS PROPOSED TAX RATE, YOU CAN TELL ROW 20, '21, YOUR TAX RATE WILL ALWAYS DROP. WHY? YOUR TAX APPRAISED VALUE HAS GONE UP.

I'LL SHOW YOU THAT AND MORE IN A MINUTE.

FROM '19 TO '20 TAX ROLL, WE WENT UP 8%.

THE FOLLOWING WENT UP BY ALMOST 11%.

THE FOLLOWING WENT UP BY-- NO. 8 AND THEN 11.

THE LARGER YOUR TAX APPRAISER VALUES GO, YOU HAVE AN INNERS HAVE RELATIONSHIP. YOUR TAX RATE WILL DROP.

BECAUSE YOU DON'T NEED ALL OF THAT.

I GUESS WHAT I'M SAYING IS THAT EVEN THOUGH WE ARE A FEW MONTHS STILL AWAY FROM COMING UP WITH A TAX RATE, I'M PRETTY CONFIDENT, YOU KNOW, AND WITH YOUR LEADERSHIP AND EVERYTHING WE HAVE DONE IN THE PAST, WE ARE GOING TO HAVE A PRETTY SOUND NUMBER. IT IS GOING TO BE PRUDENT FOR EVERYBODY, IT IS NOT GOING TO TAKE ANY EXTRA DOLLARS OUT.

BECAUSE IF YOU HAVE A HIGHER VALUE, YOU WILL HAVE A SMALLER TAX DOLLAR. SO THAT IT WON'T BE THAT BIG OF A NUMBER. EVENTUALLY.

NOW, IT MIGHT BE A DOLLAR MORE OR TWO, BUT SOMETHING DIFFERENT.

DOES THAT MAKE SENSE? OKAY.

I'M GOING TO EXTRAPOLATE THESE NUMBERS AND MAKE IT INTO DOLLARS. PEOPLE UNDERSTAND THE DOLLARS TAX RATE. WHAT I'M GOING TO DO, I WANT TO TAKE THAT COLUMN WITH 3.5. M & O, THE AMOUNT YOU CAN GO OVER. I WANT TO USE THE UNUSED PORTION. I'M GOING TRANSLATE ALSO THE UNUSED INCREMENT TAX INTO DOLLARS.

AND THIS IS WHAT WE HAVE. HERE I TOOK THE 3.5%.

THE TAX RATE. AND TRANSLATED IT INTO THE DOLLARS. THE WERE RESPONDING CORRESPONDING TAX RATE FOR'M OF THOSE YEARS.

I DID THE SAME THING FOR THE CARRYOVER.

IF YOU ADD THOSE TWO NUMBERS, LIKE 2020, FOR EXAMPLE.

WE DIDN'T USE UP-- WE HAD THE UNUSED INCREMENT TAX RATE THAT WE DIDN'T TOUCH. WE DIDN'T HIT THE TAXPAYER.

WE USED ONLY $124. >> $124,000.

>> DOLLARS SOUND BETTER. (LAUGHTER).

>> TAX ROLL '21. WE HAD $479,000 AND A 3.5% INCREASE FOR THE M & O ONLY. THE CARRYOVER, $378,000.

THAT IS $857K. THAT YEAR, WE LEFT $340,000 ON THE TABLE, AND WE ONLY USED $483.

WHAT FOR? YOU WILL RECALL THAT IS THE FIRST YEAR THE PAY PROGRAM WAS IMPLEMENTED.

2022, THE M AND O, 3.5% IS $515,000.

THE CARRYOVER EFFECT IS $415. ADD THOSE NUMBERS UP.

YOU HAVE $930,000. EXTRA.

[00:55:01]

YES, MA'AM. WE DID.

WE USED 871. AGAIN, WE HAD A $1.3 MILLION PAY PROGRAM IN '23, AS YOU WILL RECALL.

WHICH INCLUDES, AGAIN, PUBLIC SAFETY AND EVERYBODY ELSE IN THE CITY. DOES THAT MAKE SENSE? ON THE BOTTOM, I WANT TO SHOW YOU THE TAX ROLL.

YOU KNOW, EACH YEAR. THE INCREMENT.

1%. 9%.

EVERY TIME IT GOES UP, THAT TAX RATE WILL BE SMALLER.

ANY QUESTIONS? GOOD.

ALL RIGHT. LET'S TAKE IT FROM THE TAXPAYER POINT OF VIEW. I MEAN BY THAT, SOMETIMES THEY LOOK AT THAT EFFECTIVE TAX RATE. YOU KNOW, HOW DOES THAT REALLY WORK? MY TAX SHOULDN'T GO UP IF I USE THIS NUMBER. RIGHT? I PUT SOME NUMBERS TO IT. I WANT TO SHOW YOU THE TOTAL DOLLARS. AND THEN I WILL BRING IT DOWN TO-- WE WILL RUN THROUGH THE NUMBERS.

THE '22 TAX ROLL ARE ACTUAL NUMBERS.

THE '23 IS WHAT'S HAPPENING NOW. THE NUMBERS ARE QUALIFYING.

THEY COULD BE HIGHER. YOUR TAX RATE WOULD BE LOWER.

I'M USING AS AN EXAMPLE: THE OVERALL EFFECT IS GOING TO BE THE SAME, NO MATTER IF THAT NUMBER GOES UP AND UP AND UP.

OKAY? SO IN '22, I HAD A TAX VALUE OF $1.5 BILLION. MY TAX RATE FOR THAT YEAR WAS .5582. THE NO NEW TAX REVENUE SIDE OF IT, AGAIN, THIS DOES NOT INCLUDE THE 3.5 IN THERE.

PUT THAT ASIDE. THE TAX VALUE IS THE SAME.

HOWEVER, THE NO NEW TAX REVENUE IS 54.61.

IT WILL BE DIFFERENT. IT WOULD BE LESS.

BECAUSE THE WAY IT IS CALCULATED, YOU TAKE THE CURRENT VALUE OF NEW CERTIFIED NUMBERS. YOU SUBTRACT ALL IMPROVEMENTS FROM THAT. YOU DIVIDE IT BY LAST YEAR'S REMEDY. THAT COMES UP TO THIS NUMBER.

SO IT IS 54.61. YOU MULTIPLY WITH THAT.

EVERY HUNDRED. YOU GET 24.7.

YES, IT IS SMALLER THAN THE TOTAL REVENUE.

IT IS INTENDED TO BE THAT WAY. BECAUSE IT IS TO TELL TAXPAYERS HOW MUCH MONEY ARE WE BRINGING ABOVE THE EFFECTIVE RATE? AND AGAIN, AS YOU WILL RECALL, WE HAD A PAY PROGRAM.

THAT IS THE ONLY REASON THAT IS UP.

ABOUT $500,000. $500,000.

IN '23, I SAID, LET'S TAKE A WHACK AT THIS.

I USE 15%. THAT LEAST YOU 5.2 BILLION.

I USE THE TAX RATE OF .489. .49.

IT CAN STILL GO FURTHER DOWN. THIS IS THE SPUR OF THE MOMENT.

WITHOUT DOING HEAVY CALCULATION. THE LOGIC IS THERE.

IT WOULD GENERATE $25.4 MILLION. ON THE NO NEW TAX AND RUNNING IT OUT THROUGH THE CALCULATION, YOU STILL HAVE A $5.2 BILLION TAX RATE. YOU CALCULATE THE NEW TAX RATE.

THE NUMBER I HAVE UP THERE. $5.2 BILLION.

NEW IMPROVEMENTS. DIVIDED BY LAST YEAR'S 24.5.

I GET THAT 47.92. THAT IS THE NO NEW TAX RATE.

MULTIPLY THAT WITH THAT NEW TAX VALUE, YOU GET $24.9 MILLION.

SAME LOGIC. IF YOU COMPARE YEAR TO YEAR, I WILL GO-- I WILL BE INCREASING MY REVENUE OVERALL.

MY NO NEW TAX VALUE WILL INCREASE.

PEOPLE THINK WELL, I SHOULDN'T BE GOING UP BECAUSE OF THE NEW TAX RATE. THAT IS IMPOSSIBLE.

THE REASON WHY IS TO HAVE THE CALL... THIS IS HOW THE CALCULATION IS DONE. THE TAX APPRAISED VALUE CONSISTS OF A GROUP OF VALUES ALTOGETHER. AS A SUM.

I HAVE RESIDENTIALS. COMMERCIAL.

INDUSTRIAL. LAND.

EVERYTHING AS A ONE LUMP SUM. IF I HAD ONE HOUSE, THAT WOULD BE TRUE EVERY TIME. I HAVE TONS AND TONS OF DIFFERENT VALUES ADDING UP. TO COME UP WITH THAT NO NEW REVENUE TAX RATE. THE LOGIC IS TRUE TO A POINT WHEN WE PUT THE NUMBER IT TO, IT WILL NEVER BE ZERO.

[01:00:02]

THE VALUES ARE DIFFERENT. EVERYTHING ELSE.

DOES THAT MAKE SENSE TO YOU ALL? I'LL SHOW YOU MORE IN A MINUTE.

LET'S TAKE A HOUSE. IN '# 2, I TOOK $150,000 HOUSE.

I DON'T MEAN TO UPSET PEOPLE. THAT IS AN EASY NUMBER FOR ME.

APPRAISED VALUE, $150. TA, $137.

OKAY? NO NEW EFFECTIVE TAX RATE.

I WILL BE PAYING $# 19. OKAY.

THAT MAKES SENSE. IT IS LOWER THAN THE OTHER.

NOW, LET'S GO TO '23MENT WITH THE SAME TYPE OF TAX RATE.

AND APPLY THE SAME CATEGORIES AND SAME CALCULATION.

THIS TIME, I INCREASED THE VALUE OF THE HOUSE BY THE SAME 15%.

BOTTOM LINE, IF YOU COMPARE THE NO NEW REVENUE TAX RATE, LAST YEAR YOU PAY $819. THIS YEAR, I'M GOING TO PAY $727. $827.

THAT IS A $7 INCREASE. YES, IT CAN GO UP.

BECAUSE THE WAY THE CALCULATION IS DONE.

I DON'T KNOW WHAT ELSE, WITHOUT ME GETTING IN THERE AND SHOWING STEP BY STEP, BUT IT IS GOING TO HAPPEN.

>> IT MAY BE EIGHT. >> ACTUALLY, IT IS 7.2 SOMETHING. IT IS LESS THAN A DOLLAR.

>> FAIR ENOUGH. >> THE OTHER POINT IS IT IS NEVER GOING TO GET TO ZERO. IF YOU TAKE THE VARIANCE, IT FOLLOWS THE SAME TREND. AS YOUR TAX APPRAISED VALUES.

IF ANYTHING, YOU WALK AWAY WITH THE LOGIC ABOUT THE NO NEW REVENUE TAX RATE. THERE IS A PURPOSE FOR IT.

YES, I AGREE. TO LET TAXPAYER KNOW THE DIFFERENCE BETWEEN WHAT THE CITY IS PLANNING TO SET AND WHAT T THE-- WHAT THEY COULD USE TO BRIBRING IN THE SAME REVENUE AS LALAST YEAR. IT MIGHT BE A LITTLE MORE.

BECAUSE THEY HAVE IMPROVEMENTS. IT IS NEVER INTENDED TO SAY, OH, YOU WILL PAY ZERO. THE SAME LEVEL.

IT WAS NEVER INTENDED TO DO. THAT I WILL WANT TO MAKE THAT

CLEAR. >> ANOTHER TAKE-AWAY, TOO, IT IS IMPORTANT FOR THE PUBLIC TO REALIZE THAT IS WHEN WE HAVE THESE CONVERSATIONS, AS GILBERT MENTIONED, YOU KNOW, WE ARE TALKING ABOUT THE SUM AMOUNT, YOU KNOW, OF EVERYTHING PUT TOGETHER. RIGHT? WHEN WE MAKE THESE DECISIONS AROUND PERCENTAGES AND DIFFERENT THINGS, IT IS AT A BIG-PICTURE LEVEL.

WE DON'T GET INTO HOW WE TREAT RESIDENTIAL VERSUS-- TAX RATE-WISE. RIGHT? AND DISTINGUISH WITH OTHER ENTITIES.

RIGHT? I THINK IT IS JUST IMPORTANT, YOU KNOW, FOR FOLKS TO UNDERSTAND AT WHAT LEVEL WE HAVE

THESE CONVERSATIONS. >> RIGHT.

AND IF YOU HAD A PROPERTY THAT APPRAISED AT 30% HIGHER, IT CHANGES ALL THIS. RIGHT? BECAUSE IT DOESN'T MATTER. WE ARE GOING TO LOWER OUR TAX RATE. IT WILL NEVER MATCH THAT BIG OF AN INCREASE. WE ARE LOOKING AT THAT TOP LINE NUMBER OF A 15% INCREASE. IF YOU HAD A 30% INCREASE, IT I-

>> AGAIN, I GUESS ANOTHER WAY TO SAY IT IS THAT NO NEW REVENUE TAX RATE IS GOOD FOR THAT YEAR. WINDOW.

THAT IS IT. ONCE YOU START GOING TO ANOTHER WINDOW, FORGET THAT ONE. IT WILL GO UP.

IT WILL BE A DIFFERENT NEW NUMBER NOW TO COMPARE TO YOUR PROPOSED TAX RATE. MAKE SENSE?

>> >> IT IS ALSO IMPORTANT TO POINT OUT THAT NO NEW REVENUE AND ALL THE CALCULATIONS ARE BASED ON THE SAME PROPERTY. ANY IMPROVEMENTS THAT HAPPENED BETWEEN LAST YEAR AND THIS YEAR ARE CALCULATED DIFFERENTLY.

CORRECT? >> ON THE NO NEW REVENUE TAX

RATE? >> RIGHT.

>> WELL, THE NEW IMPROVEMENTS ARE TAKEN OUT.

IN THE CALCULATION. >> IN OTHER WORDS, IF THE ROLL HAS-- SAY THE ROLL DIDN'T CHANGE AT ALL.

>> OH, GOTCHA. >> THE ONLY THING THAT CAUSED IT

TO CHANGE WAS ALL NEW THINGS. >> ABSOLUTELY CORRECT.

>> THAT DOESN'T GET CRAMMED INTO THIS PROCESS.

SOMEBODY THAT STARTED WITH A VACANT LOT LAST YEAR, AND NOW HAS A HOUSE. THEY ARE GOING TO PAY A HIGHER

TAX ON IT. >> CORRECT.

ABSOLUTELY. >> THAT IS PART OF THE WHOLE

CALCULATION. >> CORRECT.

>> I WANT TO MAKE SURE PEOPLE UNDERSTAND THAT.

>> ABSOLUTELY. BECAUSE I ADDED NEW IMPROVEMENTS, MY NEW TAX WILL BE SLIGHTLY HIGHER: I HAD NEW IMPROVEMENTS IN THE VALUE. IN A UTOPIAN WORLD, WHERE NOTHING CHANGES, DOLLAR FOR DOLLAR, YOU DON'T NEED EXTRA

[01:05:04]

MONEY, IT IS A FABULOUS IDEA. >> ONE THING TO POINT OUT, I THINK, IS THAT NEW VALUE THAT IS COMING ON THE TAX ROLLS, RIGHT? THAT IS WHERE YOU WILL SEE AN INCREASE IN A CITY OR COUNTY BUDGET BECAUSE, YOU KNOW, WE HAVE PUT A LOT OF FOCUS ON ECONOMIC DEVELOPMENT FOR THAT REASON.

SO WE CAN TRY AND GET THIS RATE DOWN.

WE WILL BRING IN NEW REVENUE. >> THAT IS AN EXCELLENT POINT.

>> IT IS PART OF THE CONVERSATION WE HAVE UP HERE ON WHERE TO SET THE TAX RATE. AND WE HAVE TO TAKE INTO ACCOUNT

THAT MONEY, TOO. >> AND TO TAKE THAT A STEP FURTHER, THOUGH, THAT GETS-- WE GET THE BENEFIT OF THAT FOR THE FIRST YEAR. THE YEAR AFTER THAT, IT IS ALREADY IN THE ROLL FROM THE PRIOR YEAR.

>> YES. CORRECT.

>> IT IS NOT A SITUATION OF OH, I HAVE IMPROVED AND NOW I HAVE TO PAY HIGHER TAXES FROM NOW ON ON THAT.

>> RIGHT. ABSOLUTELY.

A GOOD EXAMPLE. ON THE CONVERSATION Y'ALL ARE HAVING. IN '23, WE HAD THE NEW CAP.

THE FIRST ABATEMENT CAME OFF. WE HAD IMPROVEMENTS.

IF YOU LOOK AT YOUR BUDGET. WE HAD OVER $686,000 OF NEW MONEY FOR NEW IMPROVEMENTS. THAT WASN'T REALLY PASSED ON TO THAT NO NEW TAX RATE. SO THE POINT IS AS YOUR ECONOMIC BASE GROWS, EVERYBODY SHOULD GO DOWN.

THAT IS ALL I HAVE, FOLKS. THANK YOU.

>> I'M SURE THIS WILL GENERATE SOME MORE QUESTIONS.

>> I'LL LEAVE YOU WITH MY FAVORITE FACT THAT I LOVE TO TALK ABOUT WHEN TALKING ABOUT PROPERTY TAX REVENUE.

WHICH, OF COURSE, IS THAT ON THE GENERAL FUND SIDE, AS YOU KNOW, PUBLIC SAFETY POLICE, FIRE AND MUNICIPAL COURT TAKE UP 58-60% OF THE GENERAL FUND. IT IS A REALITY OF OURS.

THAT THE MONEY THAT MAKES IT INTO OUR GENERAL FUND FROM THE M & O SIDE IS NOT SUFFICIENT ALONE TO COVER FOR POLICE AND FIRE.

I THINK IT IS IMPORTANT FOR THE PUBLIC TO REALIZE AND UNDERSTAND THAT, YOU KNOW, A, WE'VE GOT A DIVERSE SET OF REVENUE SOURCES.

RIGHT? BUT B, THIS PERCEPTION THAT SOMEHOW WE ARE JUST SWIMMING IN CASH AND ALL THESE THINGS.

IT IS JUST NOT CORRECT. >> FOR FULL TRANSPARENCEY, I

HAVE TO SAY THIS. >> IT IS ALL GOOD.

DON'T WORRY ABOUT IT. I KNOW THE PUBLIC WILL LISTEN TO THIS. IF THEY GO BACK AND LOOK AT THE BUDGET. OH, IT IS HIGH.

WELL, DON'T FORGET, THE PAST TWO YEARS, WE HAVE BEEN VERY AGGRESSIVE AND DOING THIS BOND REDUCTION PROGRAM EL.

NOT WAITING TO FOR THEM TO MATURE.

IT IS LIKE PAYING A MORTGAGE OFF A LITTLE EARLIER.

THAT IS ALL IT IS. IN THE PAST TWO YEARS, WE DID CLOSE TO A MILLION DOLLARS IN BOND REDEMPTION.

THAT HAS AN IMPACT ON THE CASH COMING IN.

YOUR DEBT TAX RATE WILL DROP. THERE IS A HUGE BENEFIT IN DOING THAT PROGRAM. IT IS ONE, YOU PAY OFF YOUR DEBT. TWO, WE HAVE A LOT OF IMPROVEMENTS TO GO DOWN THE ROAD.

YOU WANT TO HAVE THE CAPACITY AND USE IT IN THE RIGHT PLACE.

NOT TOO OVERAGGRESSIVE EITHER. THAT IS IT.

>> THANK YOU FOR MENTIONING THAT.

PEOPLE NEED TO UNDERSTAND THAT. >> ALL RIGHT.

THANK YOU SO MUCH FOR THOSE PRESENTATIONS.

MS. WICKLIFFE AND MR. REYNA. I APPRECIATE YOU GOING THROUGH THAT. AND WITH THAT, WE WILL GO BACK UP TO ITEMS FOR THE PUBLIC HEARINGS.

[1. An ordinance approving a budget amendment to the FY23 budget in the am...]

>> ITEM C-1 IS AN ORDINANCE APPROVING A BUDGET AMENDMENT TO THE '23 BUDGET IN THE AMOUNT OF $284,304.70 TO COVER THE COST OF PAID TIME OFF, PAYOUT PLAN FOR APPLICABLE CITY EMPLOYEES.

>> CHERYL HAS A BRIEF PRESENTATION ON THIS ITEM.

I THINK I HAVE A CHANCE TO BRIEF ALL OF YOU MINUS DR. YOUNG.

THIS MIGHT SEEM NEW TO YOU, DR. YOUNG.

I APOLOGIZE. >> GOOD EVENING, MAYOR.

MEMBERS OF COUNCIL. THANK YOU FOR HAVING ME THIS EVENING. I HAVE, AGAIN, A PRIVILEGE TO TALK TO YOU ABOUT A PROGRAM THAT WE WANT TO PROVIDE TO A CERTAIN GROUP OF OUR POPULATION, WHEN IT COMES TO OUR NEW PAID TIME OFF POLICY. SO JUST TO GIVE YOU BACKGROUND.

WE ADOPTED A PAID TIME-OFF POLICY EFFECTIVE DECEMBER 1, 2022. WE UPDATED THAT POLICY FROM TWO SEPARATE POLICIES. ONE BEING SICK.

ONE BEING VACATION. WE COMBINED THOSE AND MADE IT A

[01:10:01]

THAT WAS SORT OF THE BACKGROUND BEHIND MOVING IN THIS DIRECTION.

OBVIOUSLY, DURING COVID, WE RECOGNIZE THAT THERE WAS A NEED TO REEVALUATE SOME POLICIES, AND THIS PAID TIME-OFF WAS ONE OF THOSE. PREVIOUS PROVISIONS, VERY HIGH-LEVEL. BUT THERE WAS TWO DIFFERENT COMPONENTS. ONE WAS EMMOI EASY HIRED AFTER JANUARY 1, 1998. IN SICK LEAVE, THEY WOULD RECEIVE A MAXIMUM 1,40 HOURS. THEN ALSO ON VACATION ACCRUAL, IT WAS BASED ON YEARS OF SERVICE.

IT RANGED ANYWHERE FROM 40 TO 160 HOURS.

BASED ON YEARS OF SERVICE THAT YOU HAD.

EMPLOYEES HIRED BEFORE JANUARY 1, 1998 ACCUMULATED SICK LEAVE WITHOUT LIMIT. WE SILL HAVE SOME OF THOSE ON THE BOOKS. AND THEY WERE ACCUMULATING SICK LEAVE, NO LIMIT IDENTIFIED. 48 HOURS STILL APPLIED FOR THE FAMILY SICK LEAVE. AND THEN VACATION ACCRUAL WAS BASED, AGAIN, ON YEARS OF SERVICE.

THEIR ACCRUAL WAS ACTUALLY HIGHER THAN THE AFTER JANUARY 11998 GROUP. THAT RANGED FROM 168 HOURS TO 240 HOURS. WE DID HAVE VACATION CARRYOVER LIMITS THAT WERE APPLIED UPON YEARS OF SERVICE.

DEPENDING ON YEARS OF SERVICE, YOU GOT SO MANY HOURS TO ROLL OVER AND VACATION EVERY YEAR. THEN WE HAD DIFFERENT ACCRUAL AMOUNTS. THERE WAS DIFFERENT GROUPS.

DIRECTORS HAVE DIFFERENT ACCRUALS.

FIRE CERTIFIED, POLICE CERTIFIED.

DIFFERENT AMOUNTS. OUR CURRENT POLICY PROVISION TRIES TO CLEAN SOME OF THAT UP. AND MAKE IT MORE UNIVERSAL ACROSS ALL CITY. CARRYOVER LIMIT.

WE MAXED OUT AT THE 1,040 HOURS. THAT WAS OUR SICK MAX AMOUNT.

THAT CERTIFIED FIRE AMOUNT IS BASED ON THEIR HOURS THAT THEY WORK. EMPLOYEES ACCRUE TIME BASED UPON YEARS OF SERVICE STILL APPLIED. THE HOURS ARE 176 TO 256 HOURS.

WE DID KEEP THE BEFORE 1998 EMPLOYEES IN THERE.

THEY ACCRUE UP TO THAT 336 HOURS.

IT IS A GOOD NOTE RIGHT HERE AT THIS POINT, TO LET YOU KNOW THAT WHEN WE MOVED TO THIS POLICY, WE DIDN'T CHANGE THE ACCRUAL AMOUNTS. WE WANTED TO KEEP THOSE INTACT.

AND NOT TAKE AWAY ANYTHING FROM THE EMPLOYEES.

WE COMBINED THOSE ACCRUALS THAT THEY WERE GETTING FOR BOTH SICK AND VACATION. WE PUT THOSE TOGETHER AS ONE SUM AND ONE ACCRUAL RATE. THE DIFFERENT ACCRUAL AMOUNTS ARE STILL IN PLACE FOR DIRECTORS OF FIRE CERTIFIED, POLICE CERTIFIED. NOW THE EMPLOYEES HAD THE FLEXIBILITY TO UTILIZE THE PAID TIME-OFF AS NEEDED.

SUBJECT TO, OK, SUPERVISOR APPROVAL, DEPARTMENT STAFFING NEEDS, AND ESTABLISHED DEPARTMENTAL PROCEDURES.

SO WITH THAT SAID, TONIGHT'S BUDGET AMENDMENT THAT WE ARE REQUESTING IS RECOGNIZING 42 EMPLOYEES THAT HAVE EXCESS OF THAT NOW 1040 THAT THE POLICY IDENTIFIES AS OUR MAXIMUM.

THE YEARS OF SERVICE RANGED FROM 15 YEARS ALL THE WAY UP TO 43 YEARS OF SERVICE. AND SO AS I MENTIONED, IN THE MEMO TO COUNCIL ABOUT THIS ITEM, I THINK THEIR YEARS OF SERVICE PLUS THE AMOUNT OF TIME THAT THEY HAVE ON THE BOOKS REALLY TELLS THE STORY ABOUT THIS POPULATION IN THAT THEY HAVE BEEN DEDICATED. THEY HAVE MANAGED THEIR SICK AND VACATION IN A WAY THAT THEY HAVE REALLY BEEN HERE MEETING THE EXPECTATIONS OF THE POSITION THAT THEY HAVE FOR THE CITY AND PROVIDING THE SERVICE THAT THEY NEED.

WE WANT TO PROVIDE THEM WITH SOME KIND OF CASH OUT SO THEY DON'T LOSE A LARGE AMOUNT OF TIME BECAUSE WE MOVED TO THIS POLICY. SO WE ARE PROPOSING UP TO A CASH-OUT OF FIVE WEEKS PAYOUT. WHICH IS 200 HOURS.

18 WILL RECEIVE THE MAX OF THE 200 HOURS.

24 WOULD RECEIVE ALL PAYOUT OF THEIR CURRENT HOURS IN EXCESS.

THAT RANGES FROM 21 HOURS UP TO 191 HOURS.

WE WILL PROVIDE AN OPTION AS WELL FOR EMPLOYEES TO DONATE SOME OF THE TIME THAT THEY MIGHT HAVE REMAINING TACH CASH-OUT TO GO TO OUR CATASTROPHIC LEAVE POLICY.

SO I WANTED TO DRAW YOUR ATTENTION TO THE LARGEST DEPARTMENT REPRESENTATIVE WITH THIS PAYOUT OF THE 42.

14 INDIVIDUALS COMING FROM OUR POLICE DEPARTMENT.

WE HAVE SENIORITY, ESPECIALLY IN THE HIGHER LEVELS.

14 OF THOSE 42 ARE COMING FROM THAT ONE DEPARTMENT.

OUTSIDE OF THAT, I WILL ANSWER ANY QUESTIONS YOU MIGHT HAVE.

>> HOW DID YOU COME UP WITH THE FIVE WEEKS?

>> WE TRIED TO JUST LOOK AT OUR OVERALL HOURS.

[01:15:02]

WE WENT UP AS HIGH AS SIX WEEKS, 7 WEEKS.

WE CAME BACK, AND I THINK LANDED ON FIVE WEEKS BECAUSE IT IS THE SET 200 HOURS. WE KNEW WE WERE GOING TO IMPACT THE LARGER GROUP WITH THAT AMOUNT AND PAY OUT THE MAJORITY OF THEIR TIME. AND SO THAT IS WHERE WE LANDED.

>> WAS THERE A COMMITTEE THAT OVERSAW THAT?

>> NO, SIR. THAT WAS BETWEEN H.R. AND CITY MANAGER'S OFFICE WITH REGARDS TO LOOKING INTO THAT.

WE ALSO WANTED TO MAKE SURE THAT WE WERE-- WE KNEW WE COULDN'T PAY OUT A LOT OF THE HOURS. BECAUSE WE HAVE ONE INDIVIDUAL THAT HAS WELL OVER 2,000 HOURS. WE ALSO WANTED TO MAKE SURE THAT WE RECOGNIZE THOSE INDIVIDUALS AND WANTED THAT MONETARY VALUE TO ALSO SHOW THAT. WITH REGARD TO WHERE WE LANDED.

>> ONE OF THE GOOD THINGS ABOUT WHERE WE LANDED WITH THIS UPDATED POLICY IS THAT NOW IT'S GOT THIS CAP THAT EVERYBODY IS AWARE OF VERSUS BEFORE, THERE WAS JUST SOME ELEMENT OF UNLIMITEDNESS WITH SOME EMPLOYEES.

I THINK HAVING THIS CAP, I THINK JUST HELPS.

WE ALSO HAVE THAT CATASTROPHIC LEAVE POOL POLICY.

AND SO I THINK THAT JUST HELPS MANAGE THE PROGRAM BETTER.

WE DEFINITELY DO NOT ANTICIPATE HAVINGST, YOU KNOW, ANNUAL TO RECURRING LEAVE PROGRAMS. THAT IS NOT WHERE WE ARE HEADED.

WE WANT TO BE CLEAR THAT OUR INTENTION ISN'T TO DO SOMETHING

LIKE THIS ON A RECURRING BASIS. >> I HAVE A QUESTION.

FOR MR. LOFFGREN. AND THIS IS BASED ON YOUR EXPERIENCE. IN A LARGER CORPORATION.

PAID TIME OFF CAPPED AT 1,40 HOURS IS 26 WEEKS.

RIGHT? IS THAT NORMAL?

IN THE PRIVATE SECTOR? >> IT IS NORMAL.

USUALLY, IT CAN'T CARRY OVER. LIKE IT HAS BEEN CARRIED OVER

FOR YEARS AND YEARS. >> RIGHT.

IF YOU ARE GETTING TWO HOURS PER WEEK, RIGHT?

>> MOST COMPANIES -- >> CAN YOU TALK INTO THE MIC A

LITTLE WETTER? >> IT DEPENDS HOW MANY YEARS YOU WORKED FOR THE COMPANY. HOW MUCH YOU ACCRUE EVERY YEAR.

IF YOU WORKED FIVE YEARS, YOU MAY ACCRUE AT A HIGHER RATE.

FOR TEN YEARS, YOU MAY ACCRUE AT A HIGHER RATE.

THERE IS ALWAYS A CAP. YOU CAN'T CARRY IT OVER.

IF YOU DON'T TAKE IT, YOU LOSE IT.

>> RIGHT. BUT THIS POLICY DOESN'T ALLOW

FOR THAT. >> THE NEW POLICY, BUT MY QUESTION IS THE 18 PEOPLE. I WOULD LIKE TO KNOW HOW MANY HOURS YOU ARE TALKING THAT THESE 18 PEOPLE ARE GOING TO LOSE.

ONE PERSON HAS 2,000? >> YES, SIR.

>> THE NEW POLICY IS FINE. I'M WORRIED ABOUT THE 18 PEOPLE.

>> ON THE NEW POLICY, RIGHT? THERE IS A CARRYOVER PROVISION.

YOU CAN KEEP CARRYING IT OVER UNTIL YOU ACCUMULATE 1,040

HOURS. >> I THINK THAT IS TOO HIGH.

>> I DO, TOO. I'M USED TO USE IT OR LOSE IT.

YOU CAN CARRY OVER ONE YEAR'S WORTH.

BUT NOT 26 WEEKS. >> SOME COMPANIES YOU CAN'T

CARRY IT OVER. >> RIGHT.

>> OR YOU HAVE UNTIL THE NEXT YEAR AND IT HAS TO BE GONE.

YOU CAN CARRY IT ALL OVER FOR THE NEXT YEAR.

YOU NEED TO USE IT UP BEFORE YOU HAVE ACCUMULATED THAT FOR THE NEXT YEAR. AND SOME LET YOU CARRY OVER TWO YEARS. THERE NEEDS TO BE A CAP ON THAT.

PEOPLE NEED TO TAKE THEIR VACATIONS.

I MEAN, A PERSON WHO HAS 2,000 NEEDS TO TAKE SOME VACATION.

(LAUGHTER). >> THIS IS ABOVE AND BEYOND

VACATION. >> IT IS NOT JUST VACATION NOW.

IT IS SICK HOURS. >> YES.

THAT PERSON WHO HAD OVER 2,000 HOURS WAS IN THAT UNLIMITED TIME THAT THEY ACCRUED. OVER YEARS, THAT JUST KEPT

BUILDING AND KEPT BIDDING. >> CORRECT.

OBVIOUSLY, IT MAKES SENSE TO HAVE A CAP.

RIGHT? VERSUS UNLIMITED PROCESS.

WE CAN AGREE ON THAT CONCEPT. >> RIGHT.

>> WHAT THE MAYOR IS GETTING AT, IS AROUND THE AMOUNT.

PER SE. CURRENTLY, OR AT LEAST UNDER THE PREVIOUS POLICY, WE DIDN'T NECESSARILY ALLOW FOR, YOU KNOW, CARRYING OVER OF HOURS. I WAS TECHNICALLY, I GUESS, THE ONLY PERSON THAT COULD APPROVE THE CARRYOVER OF HOURS.

AND OFTENTIMES, OUR DEPARTMENT, BECAUSE OF BEING SHORT-STAFFED CAN'T TAKE THE TIME OFF. AS YOU SUGGEST.

THERE ARE INSTANCES WHERE, YOU KNOW, 911 DISPATCH IS THE PERFECT EXAMPLE. WHEN WE STRUGGLE WITH VACANCIES, THESE EMPLOYEES MAKE A REQUEST TOO ME THAT I ALLOW FOR THEM TO CARRIE OVER SOME LEAVE. THEY COULDN'T TAKE IT.

THEY HAVE TO COVER SHIFTS. THEY WORK IN AN ENVIRONMENT WHERE TAKING TIME OFF IS NOT AN OPTION.

RIGHT? ESPECIALLY WHEN WE ARE

[01:20:02]

THIS NEW POLICY, AS YOU SUGGESTED, MAYOR, WOULD ALLOW THE HOURS, IN ESSENCE, TO CONTINUE TO ACCRUE UNTIL YOU REACHED THE CAP. ONCE YOU GET TO THE CAP, THEN THERE IS NO ACCRUAL. THERE IS NO CARRYOVER.

THERE IS NO NOTHING. YOU ARE AT THE CAP, AND THAT IS IT. YOU STOP.

>> THERE WAS NO CAP. WHEN THERE WAS NO CAP, IT WAS

TOO HIGH OR TOO LOW. >> THAT IS THE QUESTION I'M ASKING. 26 WEEKS OF ACCRUED TIME IS --

>> THAT IS TOO HIGH. >> MAYOR, ONE OF THE REASONS WE LANDED ON THE 1040 AT OUR MAX WAS BECAUSE THAT WAS CURRENTLY WHAT WE HAVE AS A MAX FOR SICK LEAVE.

PLUS THERE IS ANOTHER PROVISION IN THE POLICY THAT ALLOWS UP TO A SIX-MONTH MARK, IF YOU WILL, IF AN INDIVIDUAL IS UNABLE TO COME TO WORK, IS INCAPACITATED OR WHATEVER THE CASE MIGHT BE.

THEN THERE IS A CAVEAT IN THERE THAT WE WOULD TRY TO WORK WITH THAT EMPLOYEE AS MUCH AS WE CAN. THIS 1040 ALLOWED THAT COMPONENT TO COME INTO PLAY. AS WELL AS NOT CHANGE THAT MAX

SICK TIME. >> DOES FMLA COME INTO PLAY?

>> IT DOES. IT IS UNPAID.

>> RIGHT. >> YEAH.

>> I'M JUST LOOKING AT IT FROM A PRIVATE SECTOR STANDPOINT.

>> THE CAP NEEDS TO BE ONLY SO MANY WEEKS THAT YOU CARRY OVER.

YOU CAN'T KEEP SIX MONTHS. >> CURRENTLY, I THINK THIS IS SOMETHING WE CAN TAKE TO ONE OF THE POLICY-- TAKE TO OUR NEXT

QUARTERLY WORK SESSION. >> YES.

>> YES. A GOOD IDEA.

>> SHORT ANSWER, YES. >> I WOULD LIKE THAT.

>> FROM WHAT I GATHER, TO MAKE SURE I'M CLEAR, REALLY THE CONVERSATION IS AROUND THE CAP, AND WE CAN FOCUS ON PROVIDING SCENARIOS FOR THAT DISCUSSION, YOU KNOW, ON THE CAP.

NOW, KEEP IN MIND THAT IF WE DO LOWER THIS CAP, NOW WE WILL HAVE A WHOLE SLEW OF OTHER EMPLOYEES THAT NOW HAVE LEAVE ON THE BOOKS. THAT WOULD BE ABOVE THE NEW CAP IF THERE IS A NEW REDUCED CAP. SO THEN IT WOULD OPEN THE DOOR FOR US TO THEN-- IT WOULD BEHOOVE US TO THEN HONOR AND RECOGNIZE THOSE SAME EMPLOYEES IF THERE IS A LOWER CAP.

ON THE UP TO FIVE WEEKS. IF WE ARE DOING THIS NOW.

RIGHT? FOR CONSISTENCY SAKE.

I WOULD ASK THAT AS YOU THINK THROUGH THESE OPTIONS AND THESE SCENARIOS, THAT YOU KEEP IN MIND THAT LOWERING THE CAP IS GOING TO, IN ESSENCE, LEAD TO A WHOLE OTHER GROUP OF EMPROI EASY THAT WE WILL HAVE A CONVERSATION ABOUT, PAYING SOME LEAVE, TOO.

TO BE FAIR TO EMPLOYEES. >> WE NEED TO LOOK AT IT IN

TOTALITY. >> WE DO.

BUT IF THE CAP IS TOO HIGH, YOU WILL HAVE THE SAME PROBLEM DOWN

THE ROAD. >> YUP.

>> WELL, IF THE CAP-- REMEMBER THAT UNDER THE NEW POLICY, REGARDLESS OF WHAT THE CAP IS, THERE IS NO UNLIMITED ACCRUAL.

AND THERE HAS BEEN A FEW OTHER CHANGES THAT WE HAVE IMPLEMENTED TO OTHER POLICIES THAT I THINK WILL HELP PROVIDE SOME CONTEXT.

I'LL JUST BRIEFLY MENTION THEM. BECAUSE I THINK IT WILL HELP YOU AS YOU THINK THROUGH THIS LEADING UP TO A BIGGER DISCUSSION. WE DO HAVE, WE USED TO CALL IT A

TERMINAL LEAVE POLICY. >> TERMINAL PAY.

>> I HATED THE NAME. THAT SOUNDS HORRIBLE.

IN ESSENCE, THIS WAS THE POLICY TO DETERMINE HOW MANY HOURS WERE PAID OUT WHEN AN EMPLOYEE RETIRED OR LEFT THE ORGAN ORGANIZATION. OBVIOUSLY, NOT WHEN TERMINATED.

THAT POLICY HAD A CERTAIN AMOUNT OF HOURS.

I THINK IT WAS 190. >> WELL, YEAH.

IT DEPENDED ON YOUR-- YOU COULD GET UP TO 80 HOURS.

WITH ONE YEAR OF SERVICE. IF YOU HAD THAT IN THE --

>> ULTIMATELY, IT COULD GET UP A LITTLE BIT.

THAT IS IT. IT WAS KIND OF CAPPED.

>> YES. >> SO THROUGH DIFFERENT CONVERSATIONS AND SURVEY AND WHATNOT, EMPLOYEES FELT IT WAS NOT FAIR THAT OUR LONGER TENURED EMPLOYEES THAT COULD ACCRUE MORE HOURS WOULD GET PAID OUT THE SAME AMOUNT OF HOURS AS SOMEBODY THAT HAS BEEN HERE FIVE YEARS, LET'S SAY.

WE UPDATED THE POLICY TO REFLECT THE TIERED SYSTEM TO, IN ESSENCE, RECOGNIZE LONGER TENURED EMPLOYEES.

THAT THEY HAVE MORE HOURS TO BE PAID OUT.

WE ALSO, AS PART OF THAT NOW DO NOT ALLOW AND REQUIRE THAT THE LAST DAY, PHYSICALLY THAT, PERSON HAS IN THE OFFICE IS THEIR LAST DAY ON THE JOB. PREVIOUSLY, ESM PLOY EASY COULD, YOU KNOW BE, GONE FOR A MONTH BEFORE THEY ARE OFF THE BOOKS.

I MEAN, THAT IS NOT FAIR TO OUR ORGANIZATION.

SO WE CLEAN THAT UP. WE ALSO CREATED THE TERMINAL LEAVE POLICY, I SHOULD SAY, IN GENERAL.

SO MY POINT IS THAT BY ADDRESSING SOME OF THESE OTHER POLICIES, WE HAVE NOW CREATED OPTIONS.

FOR EMPLOYEES. NOW EVERY YEAR, WHEN WE GO THROUGH BENEFIT RENEWAL, AT THE END OF THE CALENDAR YEAR, EMPLOYEES HAVE THE OPTION TO LUMP-SUM AN AMOUNT OF HOURS TO THE CATASTROPHIC LEAVE POOL OR HAVE IT THROUGHOUT THE YEAR.

BE SENT TO THE CATASTROPHIC LEAVE POOL.

YOU HAVE TO CONTRIBUTE HOURS TO IT.

IN ORDER TO BENEFIT. IT BEHOOVES EMPLOYEES TO GIVE SOME HOURS TO THAT POOL IF THEY WANT TO BENEFIT FROM IT.

[01:25:04]

ON HOW THAT PROGRAM IS MANAGED. BECAUSE WHEN SICK LEAVE POLICY IS FIRST COMING OUT, IT BECAME A POPULARITY CONTEST.

RIGHT? THAT EMPLOYEE THAT EVERYBODY LIKED, EVERYBODY WANTED TO DONATE HOURS TO THEM.

AND THE EMPLOYEE THAT NOBODY LIKED, NOBODY DONATED HOURS TO THEM. NOW EVERYBODY DONATES TO A POOL.

PEOPLE APPLY TO THE POOL. MY POINT IS EMPLOYEES HAVE OPTIONS ON WHAT TO DO WITH THE HOURS.

THAT WOULD NOT LEAD US INTO BEING IN THE SAME SCENARIO AGAIN. BECAUSE NOW EMPLOYEES HAVE THE OPTION OF DONATING LEAVE. THEY HAVE THE OPTION OF GETTING SOME OF IT PAID OUT WHEN THEY LEAVE.

BASED OFF OF YEARS OF SERVICE. OR HAVE THE OPTION TO TAKE IT.

AND USE IT. >> AS LONG AS THEY HAVE THE OPTION TO GET PAID OUT. YOU CAN STILL MAINTAIN THE CAP.

LIKE, IF I ACCRUE TOO MANY HOURS...

>> RIGHT. WE ARE NOT SUGGESTING A POLICY

THAT PAYS OUT LEAVE. >> IF YOU DON'T TAKE IT.

>> WELL, I GUESS LET ME BACK UP. WHEN YOU LEAVE THE ORGANIZATION, YES. IF YOU ARE SUGGESTING PAYING OUT LEAVE LIKE WE ARE NOW, THAT IS NOT WHERE WE ARE HEADED.

WE ARE NOT TRYING TO ESTABLISH, LIKE, AN ANNUAL LEAVE BUYBACK PROGRAM. WE ARE ACTUALLY TRYING TO STAY

AWAY FROM THAT. >> CURRENTLY, WHEN SOMEBODY TERMINATES THEIR EMPLOYEES, THEY GET PAID HOW MUCH NO MATTER HOW MANY EXTRA HOURS THEY HAVE? THE PERSON THAT HAS 2,000 HOURS HOURS, THEY STILL GET PAID THAT CERTAIN AMOUNT.

IT IS CAPPED. THE AMOUNT OF HOURS THEY GET PAID IS CAPPED. THEY DON'T GET PAID FOR THE

WHOLE 2,000 HOURS. >> THAT IS CORRECT.

SO UNDER OUR TERMINAL PAY POLICY, IT WAS 96 HOURS MAX FOR SICK. AND 96 HOURS FOR VACATION.

THAT WAS WHAT THE CASH-OUT WAS. WE UPDATED THE POLICY.

NOW WE REFER TO IT AS SEPARATION PAY.

RATION IS PAY GOES BASED OFF YEARS OF SERVICE.

THOSE THAT HAVE 25 YEARS OR MORE WILL GET A TOTAL OF 312 HOURS PAID OUT IF THEY HAVE THAT. SEEFER ROW ZERO TO FIVE YEARS

RECEIVES NOTHING. >> NO MATTER HOW MANY HOURS THEY

HAVE. >> NO MATTER HOW MANY HOURS.

NO, SIR. >> BUT GOOD DISCUSSION.

AND AT YOUR SUGGESTION, MAYOR, WE WILL BRING IT UP FOR

CONVERSATION. >> OKAY.

DOES THAT MEAN THAT WE CAN'T VOTE ON IT TONIGHT?

>> NO. THIS, WE CAN VOTE ON.

>> OKAY. >> WE GOT OFF INTO A SEPARATE DISCUSSION ON POLICY THAT LED TO THIS.

BUT -- >> IT HAS ANOTHER READING

ANYWAY. >> SO YES.

WE CAN ENTERTAIN MOTIONS. >> AND IT HAS A PUBLIC HEARING,

I THINK. >> YES.

THANK YOU. (LAUGHTER) IF THERE IS NO MORE QUESTIONS, MS. MARTHILJOHNI WILL GO INTO A PUBLIC HEARING.

PLEASE RISE UP TO THE PODIUM IF YOU WISH TO SPEAK FOR OR AGAINST THIS ITEM. SEEING NO ONE, WE WILL CLOSE THE PUBLIC HEARING AND ENTERTAIN A MOTION.

>> I MOVE WE ADOPT C-1. >> SECOND.

>> ALL RIGHT. WE HAVE A MOTION AND A SECOND.

DO WE HAVE ANY FURTHER DISCUSSION ON THIS ONE?

>> I WOULD LIKE TO THANK THE EMPLOYEES THAT ARE IMPACTED BY THIS. IT IS-- IT SHOWS THEIR DEDICATION TO THEIR JOB, TO THE CITY, TO THE WHOLE.

REALLY ALL THE CITIZENS. I JUST PERSONALLY APPRECIATE THOSE THAT ARE IMPACTED BY THIS AND ARE-- HAVE AGREED TO IT.

>> I WOULD LIKE TO SAY SOMETHING, TOO.

IT IS A COMPLICATED ISSUE. IT DEPENDS IF WE DON'T HAVE FULL EMPLOYMENT, IT IS HARD. I APPRECIATE THE PEOPLE THAT KEEP WORKING AND DON'T TAKE THEIR VACATION PAY.

IT IS HARD FOR THEM TO TAKE THEIR VACATION PAY.

I'M SURE THEY SPEND A LOT OF TIME THINKING ABOUT.

THIS TO H.R. AND TO THE CITY MANAGER, THEY BELIEVE THAT THIS IS THE BEST ALTERNATIVE TO TAKE CARE OF SOMETHING.

I THINK WE NEED TO REALLY LOOK AT IT.

BUT I UNDERSTAND IT IS A COMPLICATED ISSUE.

IT WILL BE GOOD IF WE CAN DISCUSS IT MORE.

>> YEAH. I DO THINK PER MY CONVERSATION WITH THE MAYOR ON THIS TOPIC THIS MORNING, I DO THINK IT IS APPROPRIATE FOR COUNCIL TO HAVE THIS FROM A PHILOSOPHICAL STANDPOINT. OBVIOUSLY, A CITY MANAGER, I HAVE, YOU KNOW, MY RESPONSIBILITIES AND PURVIEW AROUND HOW I CHOOSE TO MANAGE, YOU KNOW, OUR EMPLOYEES.

FROM A PHILOSOPHICAL STANDPOINT, IT WOULD BE HELPFUL FOR ME TO GET A FEEL FOR WHERE COUNCIL LIES ON TOPICS LIKE THIS.

AND TOPICS SUCH AS DO WE WANT TO BE COMPETITIVE WITH PRIVATE SECTOR? IS THAT OUR PRIORITY? OR IS OUR PRIORITY TO BE COMPETITIVE WITH OTHER CITIES WHICH IS WHERE WE ARE LOSING POLICE OFFICERS AND FIREFIGHTERS TO. I THINK THAT PHILOSOPHICAL, BIG-PICTURE LEVEL, HAS TO BE PART OF THE CONVERSATION.

>> YUP. >> OKAY.

ALL THOSE IN FAVOR, SAY AYE. >> AYE.

>> THOSE OPPOSED, SAME SIGN. MOTION CARRIES.

ITEM C-2. >> ITEM C-2 IS AN ORDINANCE

[01:30:02]

[2. An ordinance authorizing a variance to Section 14-10(B) of City Code f...]

TO ALLOW FOR THE SALE OF ALCOHOL.

>> GOOD EVENING, MAYOR AND COUNCIL.

I HAVE A SHORT PRESENTATION FOR YOU.

THE ORDINANCE BEFORE YOU TONIGHT WOULD AUTHORIZE THE VARIANCE TO SECTION 14-10B TO ALLOW FOR THE SALE OF ALCOHOL AT NORTH LAURENT STREET WHERE THE NEW MR. GETTY'S IS PROPOSED TO OPEN.

THE FRANCHISE OWNER HAS SENT A LETTER ASKING FOR THE VARIANCE.

THE PROCESS OF THIS TYPE OF VARIANCE IS SLIGHTLY DIFFERENT THAN THE VARIANCES THAT YOU NORMALLY SEE WHEN WE PASS BY RESOLUTION. THIS ONE WE PASS BY ORDINANCE BECAUSE WE ARE ASKING FOR A VARIATION TO THE CITY CODE, AND THE PROCESS IS THAT WE-- YOU KNOW, FOR DRIVEWAYS, SETBACKS, ALL THOSE THINGS, IT IS SPECIFIED IN THE CITY CODE.

THIS ONE IS NOT. THE PROCESS THAT WE HAVE HAD IN PLACE FOR SEVERAL YEARS IS FOR PERSON TO WRITE A LETTER.

ASKING FOR THE VARIANCE. FOR THAT SPECIFIC SECTION OF CITY CODE. WE ASK THEM IF THEY CAN GET LETTERS OF SUPPORT FROM THE SURROUNDING BUSINESSES, ANYTHING LIKE THAT, THAT WOULD BE IMPACTED BY THE VARIANCE, TO GET THAT, IF THEY CAN. SO THE APPLICANT IN THIS CASE DID WRITE A LETTER. AND DELIVERED IT TO MY OFFICE.

ASKING FOR A VARIANCE. OF THIS PARTICULAR SECTION OF THE CITY CODE. SO THE FRANCHISEE, IT IS AGAIN LOCATED AT NORTH LAURENT. THE OLD DUNLAP'S LOCATION.

IF YOU ARE FAMILIAR WITH THAT. THE VARIANCE WOULD BE CONDITIONED TO ALLOW THAT THE LIQUOR SALE BE SPECIFIED.

SEVERAL YEARS AGO, WE ACTUALLY SPECIFY ONE OWNER: IF IT CHANGES HANDS OR LOCATIONS, WE MAY NOT WANT A BAR OR SOMETHING COMING INTO THAT LOCATION AND AUTOMATICALLY GETTING THE VARIANCE. IT IS LOCATED LESS THAN 300 FEET FROM A CHILD CARE FACILITY. IN 2016, WE CHANGED HOW WE MEASURE FOR LIQUOR LICENSES. WHEN SOMEONE COMES TO MY OFFICE TO HAVE ME SIGN OFF ON THE PAPERWORK, OUR DEVELOPMENT SERVICES DEPARTMENT PROVIDES THAT MEASUREMENT FOR ME.

WE SERCHTD WE SEND A REQUEST OVER TO THEM.

THEY SEND US A REPORT. TELLING US WHETHER IT PASSED OR NOT. IN THIS CASE, IT DID NOT PASS.

SECTION OF THE CITY CODE, DEFINES CHURCHES, HOSPITALS,, SCHOOLS AND CHILD CARE FACILITIES.

THE DAY CARE CENTER IS DEFINED BY THE TEXAS HUMAN RESOURCES CODE. I DID PROVIDE THAT DEFINITION FOR YOU. I DID RESEARCH THIS LOCATION.

IT DOES MEET THIS DEFINITION. IT IS A FULLY LICENSED DAY CARE FACILITY. IT IS LOCATED, ACTUALLY, ON THE SAME EXACT PROPERTY AS THE BUILDING.

SO BECAUSE THE PROPERTY IS REALLY JUST SEPARATED BY AZALEA STREET. THE MEASUREMENT IS EXPLAINED, HOW WE DO THE MEASUREMENT. IN SECTION C OF THE CITY CODE.

YOU SEE THIS MAP. THE BIG RED OUTLINE.

THAT IS ALL ONE PIECE OF PROPERTY.

THE YELLOW BUILDING THERE ON THE LEFT IS THE PROPOSED LOCATION FOR THE BUSINESS. AND THE SMALL ONE ON THE RIGHT IS A DAY CARE. THEY ARE ON THE SAME PROPERTY.

TECHNICALLY, IT IS ZERO FEET. PROPERTY LINE.

THE PROPERTY LINE. THEY ARE ON THE SAME PROPERTY.

IF YOU MEASURE FROM THE BACK OF ONE PROPERTY TO THE BACK OF THE OTHER, IT IS ACTUALLY 320 FEET APART.

>> YOU MEASURE FROM THE BACK DOOR EVEN, OF THE PROPOSED LOCATION TO THE FRONT DOOR OF THE DAY CARE, IT IS ACTUALLY 788 FEET APART. THE NEXT PICTURE INDICATES WHERE CRANE ELEMENTARY SCHOOL IS. THE MEASUREMENT ACROSS AZALEA STREET. THE FRONT DOOR OF THE SCHOOL IS WAY FAR AWAY FROM THE FRONT DOOR OF MR. GETTY'S.

THE OTHER YELLOW BUILDING THAT IS SLIGHTLY BELOW THE RED OUTLINED FLAT IS A CHURCH. THERE IS THE CHURCH MEASUREMENT THAT COMES INTO PLAY. THAT IS MEASURED DIFFERENTLY.

IT IS FRONT DOOR TO FRONT DOOR. THAT IS HOW IT IS OUTLINED IN OUR CODE AS WELL AS STATE REGULATION.

THAT MEASUREMENT IS 465 FEET. THEY MEET THE STANDARD FOR THAT ALREADY. IT IS A LITTLE CONFUSING.

IF YOU HAVE ANY QUESTIONS ON THE MEASUREMENT, JULIE AND RICK ARE BOTH HERE TO HELP ME WITH. THAT I RELY ON THEIR DEPARTMENT TO DO THAT FOR ME. AND WE ALSO HAVE MR. ZAPATA

[01:35:01]

CAUSE ANY TROUBLE. >> THANK YOU, MS. HILBRICH.

DO YOU HAVE ANY QUESTIONS FOR MS. HILBRICH, ANYBODY? NO. AT THIS TIME, I WOULD LIKE TO OPEN UP THE PUBLIC HEARING FOR ITEM C-2.

>> MAYOR? COUNCIL? MAY NAME IS MR. ZAPATA. WE ARE SO EXCITED TO BRING GETTY'S PIZZA BACK TO VICTORIA. OUR RESTAURANT WILL BE-- WILL SERVE AN ALL YOU CAN EAT BUFFET ALL DAY LONG.

7 DAYS A WEEK. WE WILL HAVE A STATE-OF-THE-ART GAME ROOM THAT WILL ENTERTAIN THE ENTIRE FAMILY.

WE WILL HAVE THREE DINING AREAS. A CARTOON ROOM FOR THE CHILDREN.

A FAMILY ROOM FOR THE ENTIRE FAMILY TO DINE IN.

AND WE WILL HAVE A SPORT ROOM FOR THOSE WHO LOVE TO WATCH SPORTS. THE COMMUNITY HAS REQUESTED THAT WE SERVE ALCOHOL. BEER AND WINE.

I GUESS THERE IS A LOT OF PEOPLE IN OUR COMMUNITY THAT ENJOY HAVING BEER OR WINE WHILE THEY EAT THEIR PIZZA.

WE ARE HOPING YOU TAKE THIS INTO CONSIDERATION.

I THINK IT IS A GOOD THING FOR THE COMMUNITY.

WE FEEL THAT WE WILL STEB BEST PIZZA IN TOWN.

HONESTLY. WE ARE SO EXCITED TO BE BRINGING MR. GETTY'S BACK. THANK YOU-FOR-YOUR CONSIDERATION. DOES ANYONE HAVE ANY QUESTIONS?

>> ALL RIGHT. >> ALL RIGHT, THANK YOU.

>> ANYBODY ELSE? AT THIS TIME, WE WILL CLOSE THE PUBLIC HEARING. AND ENTERTAIN ANY MOTION.

>> MOTION TO APPROVE. >> SECOND.

(LAUGHTER). >> SEE YOU THERE.

(LAUGHTER). >> JUST PIZZA WITH BEER.

>> ALL RIGHT, KAVANAUGH. NO.

I THINK IT IS WONDERFUL. WE ARE VERY EXCITED FOR YOU.

THANK YOU SO MUCH FOR BELIEVING IN VICTORIA.

MOST OF US GREW UP WITH MR. GETTY'S.

AND TAKING KIDS THERE. EVERYBODY IS EXCITED FOR IT.

THANK YOU ALL. ANY FURTHER DISCUSSION?

ALL THOSE IN FAVOR, SAY AYE. >> AYE.

>> THOSE OPPOSED, SAME SIGN. ALL RIGHT.

MOTION CARRIES. >> OKAY.

[D. Consent Agenda:]

>> ALL RIGHT. CONSENT AGENDA.

>> THE ADOPTION OF MINUTES OF THE REGULAR MEETING ON MAY 2, 202. A RESOLUTION FOR RIVERSIDE GOLF COURSE. A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE A CONTRACT WITH UNDERGROUND PLANET ART STUDIO LLC FOR THE INSTALLATION OF TWO MURALS AT LAURENT STREET UNDERSTOOD PASS, NOT TO EXCEED $115,000.

ITEM D-4 IS A RESOLUTION APPROVING AN AMENDMENT TO AS MANIER THE AGREEMENT WITH NEWEDGE SERVICES LLC FOR THE IMPLEMENTATION COST TO ADD ENVIRONMENTAL SERVICES.

TO OUR CITYWORKS SYSTEM IN THE AMOUNT OF $59,067.

A RESOLUTION OF THE CITY OF VICTORIA, TEXAS FINDING THE AAP TEXAS INCORPORATED APPLICATION TO AMEND ITS DISTRIBUTION COST RECOVERY FACTORS TO INCREASE RATES WITHIN THE CITY SHOULD BE

DENIED. >> DO WE ACCEPT THE CONSENT

AGENDA AS READ? >> LY SECOND.

>> THE MOTION AS PRESENTED. ALL THOSE IN FAVOR, SAY AYE.

>> AYE. >> THOSE OPPOSED, SAME SIGN.

[1. Authorize an application to the Texas Department of Transportation (Tx...]

>> A RESOLUTION AUTHORIZING AN APPLICATION TO THE TEXAS DEPARTMENT OF TRANSPORTATION, TRANSPORTATION ALTERNATIVE PROGRAM FOR THE DOWNTOWN MAIN AND STATE AND SIDEWALK CONNECTIVITY AND ADA UPGRADE PROJECT TO IMPROVE DOWNTOWN SIDEWALKS AND AN ESTIMATED AMOUNT OF $3,340,086.

AND COMMITTING TO THE REQUIRED LOCAL MATCH AMOUNT OF AN

ESTIMATED $6 # 8,157. >> GOOD EVENING, KRP MAYOR AND COUNCIL. BEFORE I TALK SPECIFICALLY ABOUT THIS PROJECT, AND THEN THE NEXT PROJECT, I WANTED TO GIVE YOU A BROAD OVERVIEW OF THE APPLICATION PROCESS FOR THIS PROJECT. THESE PROJECTS.

IT IS A LITTLE DIFFERENT THAN A LOT OF THEM.

WHAT WE DO IS INITIALLY, WE FILL OUT A PRELIMINARY APPLICATION.

IT IS INCREDIBLY BRIEF. IT GIVES A DESCRIPTION, A MAP, AND A BUDGET. A COUPLE OF OTHER DETAILS.

THEN THOSE GET SENT OFF TO TXDOT.

THEN THEY SELECT THEM FOR A DETAILED APPLICATION.

THAT IS WHERE WE ARE NOW. THE RESOLUTION AUTHORIZING THE

[01:40:01]

THE EXISTING CONCRETE SIDEWALKS WILL BE REMOVED AND REPLACED WITH THE BRICK PAVERS MATCHING WHAT'S ALREADY DOWNTOWN.

A COUPLE OF IMPORTANT THINGS ABOUT THIS PROJECT IS IT IS GOING TO UPGRADE THE ADA RAMPS, AND SO THE PORTION ALONG-- COMING DOWN MAIN STREET AND THEN ACROSS ON STAYTON PROVIDES CONNECTIVITY WHICH IS ONE OF THE THINGS THAT TEXASDOT IS LOOKING FOR IN THEIR PROJECT. THEY ARE LOOKING FOR CONNECTIVITY. PARTICULARLY, TRANSPORTATION ALTERNATIVES. THE PORTION THAT GOES ACROSS AND WILL CONNECT TO U.S. BUSINESS 59 OVER THERE WHICH IS MOODY STREET, THERE ARE FUTURE IMPROVEMENTS PLANNED THERE BY TXDOT. THAT WILL PROVIDE CONNECTIVITY FROM MAIN STREET OVER TO MOODY ALONG STAYTON.

THAT IS ONE OF THE IMPORTANT THINGS.

ABOUT THIS PARTICULAR PROJECT. IT ALSO PROVIDES FUTURE CONNECTIVITY TO RIVERSIDE PARK AND PUBLIC SAFETY HEADQUARTERS THAT INCLUDES MUNICIPAL COURT. THE CITY MATCH COMMITMENT ON THIS PARTICULAR PROJECT IS $668,157.

DO YOU HAVE ANY QUESTIONS ABOUT THIS PROJECT?

>> THE ONES ALONG MAIN STREET, ARE THEY GOING TO MATCH OUR

PAVERS AND ALL OF THAT STUFF IN. >> YES.

THEY ALL WILL. STAYTON AS WELL.

>> AS MUCH AS POSSIBLE. YES.

>> YEAH. >> AND THESE, IF I REMEMBER CORRECTLY, SPECIFICALLY, THESE TWO STREETS ARE PART OF UPGRADING IN THE DOWNTOWN MASTER PLAN.

THESE SIDEWALKS ARE GOING TO BE UPDATED AS PART OF THAT PLAN.

IS THAT CORRECT? >> MAIN STREET SPECIFICALLY,

YES. >> OKAY.

STAYTON ALSO? >> NOT TO THIS LEVEL OF SPECIFICITY. THIS CAME ABOUT MORE SO AROUND JUST US THINKING ABOUT, YOU KNOW, CONNECTIVITY TO THE PARK.

>> RIGHT. >> IT IS THE CONNECTIVITY OF THE

STAYTON PORTION. >> STAYTON TAKES YOU OBVIOUSLY INTO THE PUMP HOUSE. WE WERE THINKING AHEAD.

THAT IS A GOOD PATH, YOU KNOW, IN THAT DIRECTION.

THEN ALSO, I APOLOGIZE IF YOU MENTION THIS, KATY.

WE WERE AWARE THAT THEY ARE IMPROVING SIDEWALKS ON MOODY STREET. FROM STAYTON ON.

SO IT WAS ALSO ANOTHER REASON WHY STAYTON WAS A GOOD CHOICE.

FOR THAT. >> WHEN YOU SAY FROM STAYTON ON.

>> TO WHERE? >> TOWARDS MAIN.

THEY HAD LEFTOVER FUNDS FROM THE EXISTING ADA SIDEWALK PROJECT THEY WERE DOING ON RIO GRANDE. THEY ARE GOING TO APPLY THOSE TO GOING THE OPPOSITE DIRECTION. AND KEN, YOU CAN CORRECT ME IF

I'M WRONG. >> HE HAD A QUICK-- THAT IS CORRECT. I WANT TO POINT OUT ON STAYTON, IT WASN'T BRICK PAVERS. WE WERE GOING TO PUT THE CONCRETE SIDEWALKS BACK. WE WANTED MAIN STREET TO BE THE

PAVER TO FOLLOW THROUGH. >> YEAH.

I'M CORRECT ABOUT TXDOT LOOPING THAT SIDEWALK ALL THE WAY TO STAYTON. RIGHT?

>> YES. THAT IS CORRECT.

>> THANK YOU. >> SEE, THAT PART HASN'T EVEN-- THAT LEVEL OF SPECIFICITY ISN'T IN THE PRELIMINARY APPLICATION.

I AM GOING TO PUT IT IN. >> WHERE IS THE $670,000 COMING

FROM? >> THAT IS A GILBERT QUESTION.

>> THAT IS A GILBERT QUESTION. >> GOOD QUESTION.

>> THAT IS A DARN EXCELLENT GREAT QUESTION.

RIGHT NOW THE MAIN STREET HAD THAT ACCOUNTED FOR IN A '24CIP WITH THE FUNDS COMING FROM THE GENERAL FUND.

I BELIEVE. YES.

IF IT IS APPROVED. THAT IS BEING PROPOSED.

>> IF APPROVED. AND WE HAVE TO USE IT.

DOES THAT PUSH OUT ANOTHER CIP PROJECT?

>> NO. >> I WILL MAKE SURE OF THAT.

NO, NO. THAT DEFINITION IS RIGHT HERE IN

MY HEAD. >> AND SHORTLY, WHEN KEN PROVIDES THE UPDATE ON THE CIP FOR '24, THERE ARE OTHER REASONS THAT IT IS CAUSING SOME PROJECTS TO SHIFT.

>> NOT THIS. IT WAS SOMETHING ELSE.

>> I KNOW. JUST IN GENERAL.

BIG PICTURE. >> OKAY.

I WILL SAY I LIKE THE IDEA OF THIS ONE.

BECAUSE OF THE MAIN STREET PORTION.

>> RIGHT. >> AND GETTING THE REST OF THE ENTRANCE. TO MAIN STREET DONE.

[01:45:02]

>> YES. WELL, THE OTHER ONE WAS SLIGHTLY DIFFERENT. IT WAS A COMPLETELY DIFFERENT FUNDER: BUT YES. THE EDA.

YES. THERE WAS A LOT MORE TO IT.

WHEN WE APPLIED TO THE EDA. THAT WENT FURTHER DOWNTOWN.

THIS IS ONLY GOING TO COMMERCIAL STREET.

>> RIGHT. >> IT IS NOT GOING ALL THE WAY.

THERE WERE OTHER CROSS STREETS THAT WERE INCLUDED IN THAT.

>> RIGHT. YEAH.

THAT LARGE PROJECT, I THINK, INCLUDED ALL SORTS OF THINGS.

LIKE TAKING UTILITY UNDERGROUND. >> YES.

>> I DON'T THINK THIS INCLUDES THAT.

>> NO. I DON'T THINK SO.

NO. >> THE SCOPE WAS A LITTLE MORE.

>> YEAH. >> HOW MUCH WAS THE TOTAL GRANT

AGAIN? >> THIS ONE?

>> THAT YOU ARE APPLYING FOR? >> YEAH.

>> THIS PROJECT IS 3,340,786. >> WHEN WE APPLIED FOR THE

GRANT, THAT WAS OVER $5 MILLION. >> OUR MATCH IS 20%.

>> YES. >> ALL RIGHT.

ANY MOTIONS? >> I MOVE WE ADOPT THIS ITEM.

>> I SECOND IT. >> WE HAVE A MOTION AND SECOND.

IS THERE ANY FURTHER DISCUSSION ON THIS ONE?

ALL THOSE IN FAVOR, SAY AYE. >> AYE.

>> THOSE OPPOSED, SAME SIGN. MOTION CARRIES.

[2. Authorize an application to the Texas Department of Transportation (Tx...]

ITEM E-2. >> A RESOLUTION AUTHORIZING AN APPLICATION FOR THE TEXAS DEPARTMENT OF TRANSPORTATION TRANSPORTATION ALTERNATIVES PROGRAM FOR THE VICTORIA MAIN STREET TRAIL AND SIDEWALK PROJECT ALONG BOTH SIDES OF MAIN STREET FROM TROPICAL DRIVE TO BUSINESS 59, RIO GRANDE.

AN ESTIMATED AMOUNT OF $6,571,433 AND COMMITTING TO THE REQUIRED LOCAL MATCH AMOUNT, AN ESTIMATED $1,314,286.

>> OKAY. SO THIS MAP IS SUPER TINY BECAUSE THIS IS A VERY LONG SIDEWALK.

THE PROPOSAL IS TO PUT SIDEWALKS ALONG BOTH SIDES OF MAIN STREET FROM TROPICAL DRIVE WHICH IS EFFECTIVELY THE INTEREST OF WEST HIGH SCHOOL ALL THE WAY DOWN TO BUSINESS 59.

WHAT THAT IS GOING TO ENTAIL, FIRST OF ALL, THE GREEN SIDE, THE WEST SIDE IS GOING TO BE A TEN-FOOT MULTIUSE SIDEWALK.

THE SIDEWALK ON THE OTHER SIDE OF MAIN STREET WILL BE FIVE FEET WIDE. THERE ARE LIMITATIONS WITH THE WRRLD COMING THROUGH. THAT IS PART OF THE REASON WHY THAT IS NOT GOING TO BE MULTIUSE ALSO.

IN ADDITION TO IT IS MUCH MORE EXPENSIVE.

WE ARE GOING TO HAVE TO PUT A LOT OF INCREASED SAFETY SIGNALIZES CROSSINGS. WE ARE GOING TO HAVE TO WIDEN THE BRIDGE. TO ALLOW FOR WALKING ON BOTH SIDES OF THE BRIDGE OVER SPRING CREEK.

THESE ARE SOME OF THE REASONS WHY IN ADDITION TO JUST VOLUME OF CONCRETE, IT IS GOING TO BE A MUCH MORE EXPENSIVE PROJECT.

AND SO ALSO IMPROVING THE HANDY CAP ACCESSIBILITY.

AND THE CONNECTIVITY AND SAFETY HERE.

BECAUSE THE KIDS WALKING FROM WP WEST HIGH SCHOOL ARE KIND OF WALKING IN THE GRASS. THEY DON'T HAVE THE SAFER CROSSINGS. AND THESE ARE ALL THINGS THAT THIS PROJECT WOULD PROVIDE. IN ADDITION TO, OBVIOUSLY, THE TRANSPORTATION ALTERNATIVES OF PUTTING THE MULTIUSE SIDEWALK ON THE ONE SIDE. YOU CAN RIDE A BIKE OR WALK.

>> TELL ME AGAIN HOW THIS PARTICULAR PROJECT-- THIS WAS PICKED BY TXDOT? IS THAT WHAT I HEARD YOU SAY

EARLIER? >> I MEAN, TXDOT SUPPORTS IT.

>> YES. >> THAT IS THE BETTER WAY TO

THINK OF IT. >> IT IS ON THEIR SYSTEM.

I MEAN, IT IS OUR PROPOSAL BECAUSE IT INCREASES SAFETY.

PARTICULARLY AROUND WEST HIGH SCHOOL.

IT PROVIDES CONNECT I HAVE THE BY.

>> I THINK EWHEN WE APPLIED FOR THIS PROGRAM LAST TIME, I THINK WE LEARNED SOME LESSONS. RIGHT? SO WE APPLIED FOR SIDEWALKS LEADING UP TO-- WHAT WAS IT?

>> THERE WAS STROAMAN AND O'CONNOR.

>> WHEN WE DIDN'T RECEIVE THOSE GRANTS, WE REALIZED WE WERE AIMING TOO LOW IN TERMS OF QUANTITY.

A LOT OF THE GRANTS WERE A HIGHER AMOUNT.

WE ALSO PRETTY MUCH RECEIVED CONFIRMATION TO WHAT WE ALREADY THOUGHT. THAT THE PROGRAM WOULD PRIORITIZE SIDEWALK IMPROVEMENTS ON, YOU KNOW, TXDOT NETWORKS.

RIGHT? VERSUS RESIDENTIAL STREET.

SO WHEN STAFF WAS LOOKING AT PROJECTS THAT WOULD HAVE THE BUDGET SIZE THAT HISTORY WOULD SHOW GETS AWARDED AND SPECIFICALLY LOOKING AT STREETS THAT ARE TXDOT STREETS, THIS ONE EASILY STOOD OUT. HENCE, WE APPROACHED TXDOT ABOUT IT. ULTIMATELY, IT IS OUR PROJECT.

TXDOT SUPPORTED. WE ARE TRYING TO BE MORE COMPETITIVE BY MAKING IT THIS WAY.

I WILL SAY THAT THIS WAS ALSO A GOOD PROJECT BECAUSE OF THE PUBLIC SAFETY HEADQUARTER BUILDING.

[01:50:01]

I THINK THAT WON'T NECESSARILY SCORE AS BROWNIE POINTS.

I DO THINK IT IS A BEN FETE THAT WE HAVE IN IMPROVEMENT OF PEDESTRIAN TRAFFIC ALONG THIS CORRIDOR, WHERE THAT BUILDING

WILL BE. >> I'M ALSO STRUCK BY THE TEN-FOOT SIDE. THIS IS A MAJOR ROAD, AND WE REALLY DON'T WANT BICYCLISTS ON THE ROADWAY ITSELF.

THEY CAN'T BE ON THE SIDEWALK LEGALLY UNLESS IT IS A

CONJUNCTIVE USE SIDEWALK. >> EXACTLY.

>> WHICH IS WHAT THE TEN FEET IS ALL ABOUT.

THIS GIVES US SOME ACCESS TO THE PARK.

IT GIVES US ACCESS TO THE SCHOOL.

IT DOES GIVE US ACCESS TO PUBLIC SAFETY.

>> YES, MA'AM. >> IT IS A LOT MORE THAN I EVER THOUGHT OF. IT IS REALLY A BIG STRETCH.

BUT ACTIVE TRANSPORTATION WHICH BASICALLY MEANS MANPOWER IS REALLY GETTING MUCH MORE OF A LOOK.

MUCH MORE BOMB LAR. MUCH MORE POPULAR.

THE CITY IS DOING THINGS TO IMPROVE OUR CONNECTIVITY.

THIS IS ONE OF THEM. >> WHEN IS THE SCHEDULE TO BE

AWARDED? >> THAT SHOULD BE APPROXIMATELY OCTOBER. OF THIS FISCAL YEAR.

>> AND THE REASON I'M STANDING UP HERE, I WANT TO CORRECT MYSELF. I'M EMBARRASSED.

THIS IS GOING TO BE AN ERROR. BUT I HAVE THIS ONE IN '24.

>> OKAY. >> THE OTHER ONE IS DOWN THE ROAD TO. MAKE SURE THAT IS CLEAR.

BECAUSE OF PUBLIC SAFETY. THE SCHOOL AND EVERYTHING ELSE.

IT WAS HIGH PRIORITY. THEY WERE FAVORING THIS A LITTLE MORE. MAKE SURE IT IS CLEAR THAT I

CORRECTED MY MISTAKE. >> CAN SOMEONE REMIND ME WHY WE DON'T HAVE A SIDEWALK FROM TROPICAL TO THE LOOP?

>> I REALLY DON'T KNOW. >> THE ANSWER YOU ARE LOOKING FOR IS THE SCHOOL DISTRICT DIDN'T INCLUDE IT IN THEIR PLAN.

RIGHT? >> I CAN ANSWER THAT.

BACK WHEN THE SCHOOL WAS BUILT, A LOT OF THE SIDEWALKS WEREN'T PUT IN OPEN SECTIONS. AT THAT TIME, THAT PART OF MAIN

STREET WAS AN OPEN SECTION. >> OPEN DITCH.

>> OPEN DITCH. >> IT IS NOT NOW?

>> IT IS NOW, BUT NOW WE ARE ENFORCING THE RULES OF GETTING SIDEWALKS IN PLACES EVERYWHERE. WHICH INCLUDES OPEN SECTIONS.

BUT IT IS A BIG CHANGE. IIT HAS HELPED.

>> YEAH. CURRENTLY, OUR CODE AND I'M ASSUMING THIS IS GOING TO GET CLEANED UP.

FROM MY UNDERSTANDING, CURRENTLY, OUR CODE DOES ALLOW FLEXIBILITY ON THE PLANNING DIRECTOR, TO EITHER REQUIRE OR NOT REQUIRE SIDEWALKS. AND SO FROM MY UNDERSTANDING, I

KNOW IT WASN'T YOU. >> YEAH.

NO. I WAS INSTRUCTOR AT THE TIME.

>> THAT IS THE WAY THE CODE IS. RIGHT?

>> SO WE HAVE A LOT OF LEGACIES. WE HAVE SIDEWALK COVENANT AGREEMENTS WHERE COUNCIL AT THE TIME, CAN ANY TIME COME BACK AND SAY, YOU NEED TO INSTALL A SIDEWALK.

BUT NOW WE ACTUALLY TAKE AN ENGINEERING APPROACH.

WE RELY ON THE ENGINEERS ON STAFF WHENEVER THERE IS A-- WHEN A PROPERTY IS BEING DEVELOPED. IF THE SIDEWALK CAN FIT BEHIND THE DITCH, IF IT CAN BE ENGINEERED, THEN WE REQUIRE THE

SIDEWALK. >> I HAVE TO SAY BACK ON THE ACTIVE TRANSPORTATION, THAT YOU KNOW, WHEN YOU ARE IN THE CAR, YOU DON'T REALLY CARE IF THERE IS A SIDEWALK OR NOT.

WHEN YOU ARE WALKING SOMEWHERE AND YOU ARE HAPPILY WALKING DOWN THE SIDEWALK AND THEN SUDDENLY, THERE IS A BIG SECTION WITHOUT A SIDEWALK THAT MAY BE GRASS, IF YOU ARE LUCKY OR IT MAY BE GRAVEL, THEN THERE IS ANOTHER SIDEWALK FURTHER UP.

THAT MAKES YOU LESS MOTIVATED TO EXERCISE OR IF YOU ARE IN THE SITUATION WHERE YOU DON'T HAVE A CAR, AND YOU HAVE TO WALK, IT MAKES US MUCH LESS SAFE FOR YOU TO BE ABLE TO DO THAT.

>> THIS SECTION HAS LONG BEEN TALKED ABOUT WITH OUR DISTRICT.

BECAUSE WE SEE A LOT OF THE CATTLE PASS.

A LOT OF STUDENTS WALKING AND CROSSING UNDER THE LOOP.

CAMPUSES HAVE EXEMPTIONS WHERE EVERYONE IS ALLOWED TO RIDE THE BUS. KIDS WILL BE KIDS.

WE SEE QUITE A LOT OF WALKERS. IT HAS LONG BEEN A WISHLIST TO BE ABLE TO GET THEM TO BE ABLE TO MORE SAFELY WALK.

ESPECIALLY THOSE NEIGHBORHOODS. THE TRAILER PARKS BEHIND CONTE.

WE SEE A LOT OF KIDS WALKING IN THAT DIRECTION.

>> IS THERE EXISTING RIGHT OF WAY THAT WOULD SUPPORT THIS ON

BOTH SIDES? >> YES.

THERE IS SOME TIGHT SPACES ON THE RAILROAD SIDE.

THAT IS THE OTHER GREAT THING ABOUT TXDOT SUPPORTING THIS.

RIGHT NOW, THEY ARE PROPOSING TO DO ALL THE DESIGN AND CONSTRUCTION. THERE ARE SOME IFFY AREAS.

[01:55:01]

ALL THE CROSSINGS. IT IS NOT JUST THE PEDESTRIAN CROSSINGS UNDER THE LOOP. LIKE RED RIVER, CRESTWOOD, ALL OF THOSE CROSSINGS WILL HAVE THOSE ELEMENTS.

WE SEE A LOT OF PEOPLE, THE CROSS COUNTRY TEAM.

A LOT OF RUNNERS FROM COLLEGE PARK.

THEY CROSS OVER MAIN STREET AT RED RIVER TO GO RUN IN THE PARK.

ANY GIVEN DAY, I DRIVE UP AND DOWN MAIN STREET, LIKE, SIX TIMES A DAY. ANY GIVEN DAY, I WILL SEE PEOPLE TRYING TO CROSS THERE. THIS PROJECT WILL ALSO HAVE ALL OF THOSE PEDESTRIAN ELEMENTS TO HELP MAKE IT SAFER TO CROSS THE

STREET. >> I'M JUST THINKING ABOUT-- THERE IS-- BETWEEN CRESTWOOD AND, I GUESS, THE PUBLIC SAFETY HEADQUARTERS IN THERE, THERE IS A ROW OF HOUSES IN THERE.

YOU KNOW, JUST UP FROM THE RADIO STATION.

THAT SEEMS REALLY TIGHT TO ME IF WE ARE TALKING TEN FEET ON THAT SIDE. THOSE ARE FAIRLY SMALL FRONT YARDS. ARE WE TAKING TEN FEET OF THOSE

PEOPLE'S YARDS? >> NO.

I DON'T BELIEVE-- WE MAY NEED A COUPLE OF FEET ON RIGHT-OF-WAY ACQUISITION. WE HAVEN'T DONE THE FULL SURVEYING AND THE DESIGN YET. IN PRELIMINARY LOOKS, THERE DOESN'T SEEM TO BE A HUGE AMOUNT OF RIGHT WAY NECESSARY TO

ACQUIRE AT ALL. >> HAS ANYBODY DONE AN EVALUATION IN TERMS OF PROJECTED USE? I MEAN, I KNOW WE ARE HAVING A HARD TIME GETTING PEOPLE TO RESPOND TO OUR EXISTING SIDEWALK SURVEY NOW.

ABOUT WILL THEY USE THEM OR NOT. HAVE WE ASKED PEOPLE? HAVE WE GONE OUT AND LOOKED AT, HEY, IS THIS THING GOING TO GET USED? I HAVE MY DOUBTS.

I HAVE TO BE HONEST WITH YOU. >> WE ARE ACTUALLY DOING THE MASTER PLAN RIGHT NOW. THERE IS A LATENT DEMAND ANALYSIS. ESSENTIALLY, IF YOU BUILD IT, THEY WILL COME. THERE IS A BUILT-UP DEMAND IN OUR COMMUNITY. ACCORDING TO THAT EXISTING

CONDITIONS AND ANALYSIS SURVEY. >> WE THINK THEY WILL, IF IT IS

THERE. >> YES.

>> I JUST HAD A QUESTION. I MEAN, I KNOW YOU KEEP TALKING ABOUT ALL THESE KIDS THAT WALK FROM WEST.

WHERE ARE THEY GOING? I TAKE MY CHILD TO WEST EVERY MORNING. OFTENTIMES, WE WILL PICK THEM UP. I DON'T SEE THE VOLUME OF

WALKERS FROM THERE. >> I MEAN, I CAN'T SAY THAT IT IS A HUGE VOLUME. THERE ARE-- THE PATHS IN THE SIDEWALK THAT DO SUGGEST-- I THINK THEY ARE WALKING MORE TOWARDS THE TRAILER PARK BEHIND OFF CONTE, IN THAT NEIGHBORHOOD.

>> OR THE TEXAN. WHICH HAS A SIDEWALK.

>> SADLY, IT IS A LITTLE BIT OF IF YOU BUILD IT, THEY WILL COME.

>> THAT HASN'T PROVED OUT ON CRESTWOOD.

>> GILBERT SAID THAT THE CIP WON'T BE AFFECTED.

>> THEY ARE WAITING FOR THE LAST PHASE.

>> YES. >> THEY CAN'T GET ALL THE WAY

THROUGH. >> CUTTING THROUGH.

>> I SEE PEOPLE WALKING. >> I HAVE SOME GRAVE CONCERNS ABOUT THE VOLUME THAT IS GOING TO BE USED.

WE LIVE IN SOUTH TEXAS. WE ARE NOT A WALKABLE CITY, UNFORTUNATELY. MAYBE IN SMALL POCKETS.

>> RIGHT. >> I DON'T KNOW ABOUT A LONG STRETCH OF THAT. I DON'T SEE PEOPLE WALKING FROM

THE VERY NORTH SIDE. >> WE CAN'T GET THEM TO CROSS THE RIO GRANDE AT AN INTERSECTION WE PUT IN.

>> A $250,000 LIGHT. >> I LOOK AT IT TOO FROM THE STANDPOINT OF YOU KNOW, IF WE ARE TALKING ABOUT $1.# MILLION, THERE IS HIGHER PRIORITIES FOR THAT SAME MONEY.

IN MY MIND. IN OTHER PROJECTS AND PARTS OF THE CITY. THAN FOR A SIDEWALK ON BOTH

SIDES OF THE STREET. >> FOR 20 PEOPLE TO USE.

>> FOR 20 PEOPLE TO USE, YEAH. I JUST DON'T THINK PEOPLE ARE GOING TO USE IT. I JUST DON'T SEE IT.

>> I THINK IT IS A NICE WANT, BUT I THINK OUR NEEDS OUTWEIGH THAT. FROM A $1.3 MILLION.

>> THAT IS A BETTER WAY TO SAY WHAT I WAS THINKING.

>> I'M GOING TO ASK GILBERT AGAIN.

>> I WILL SIMPLY ADD-- I'M SORRY.

GO AHEAD, SIR. >> IS THERE A CIP PROJECT THAT IS GOING TO SUFFER OR BE POSTPONED IN OCTOBER, 2024?

>> WELL, I LIKE IT. OKAY? I DISAGREE WITH THESE OTHER PEOPLE.

OKAY? I AGREE WITH JAN.

BUILD IT AND THEY WILL COME. WE DON'T HAVE ANYTHING FOR PEOPLE TO USE A BIKE ANYWHERE. AND THIS IS AN OPPORTUNITY TO GIVE PEOPLE-- AND YOU ARE LEVERAGING $1.3.

YOU ARE GETTING $6.5 MILLION. I MEAN, WE NEED TO THINK-- EVERYBODY SAYS WE DON'T WALK. WELL, RIGHT NOW, THERE IS NOT A LOT OF PLACES TO WALK OR A LOT OF PLACES TO RIDE YOUR BIKE.

I THINK IT WOULD BE GREAT TO HAVE THIS ALONG THERE.

YOU ARE TALKING ABOUT YOU CAN GET TO THE PARK.

I THINK IT IS GREAT. >> GILBERT, CAN WE TRY AGAIN?

>> S IS SHORT-SIDED TO THINK THAT WE SHOULD HAVEN'T ANYTHING

[02:00:03]

VICTORIA. >> I THINK MOST OF THE PEOPLE ALONG THE SIDEWALK ARE CLOSE ENOUGH TO THE PARK THEY CAN GET THERE ANYWAY. IF YOU LOOK AT WHERE THE ACTUAL HOUSES ALONG THAT SIDEWALK ARE. MOST OF THEM ARE VERY NEAR THE

PARK ALREADY. >> GILBERT, CAN WE TRY AGAIN WITH THAT QUESTION? FOR THE THIRD TIME?

>> IF I REMEMBER CORRECTLY, MR. GARZA GAVE ME TWO ANSWERS.

ONE, IT IS IN THE CIP, '24. THE OTHER SIDE OF THE ANSWER I GAVE YOU IS THAT THAT COULD BE USED SOMEWHERE ELSE, TOO.

SO I'M NOT GOING TO TRY TO PICK EITHER SIDE.

THERE IS $1.3 MILLION. THAT IS THE COUNCIL' DECISION,

HOW THEY WANT TO USE THAT MONEY. >> I THINK WE ALSO NEED TO THINK ABOUT THE POPULATION. YOU ARE TALKING ABOUT THE KIDS.

YOU ARE BUILDING THIS FOR THE FUTURE GENERATIONS, AND I'M SORRY. BUT OUR KIDS AREN'T DOING A LOT OF WALKS. THEY ARE INSIDE PEOPLE.

AND THEY JUST STAY ON THEIR ELECTRONIC DEVICES.

NOW, IF WE COULD FIGURE OUT HOW TO GET AN ELECTRONIC DEVICE TO DRIVE DOWN THIS SIDEWALK, YOU MIGHT BE ABLE TO GET THEM OUT.

UNTIL THEN, YOU ARE NOT GOING TO BE USING THIS SIDEWALK.

>> I DON'T KNOW TOO MANY PARENTS THAT WILL LET THEIR CHILDREN GO NORTH OF MOCKINGBIRD WHERE IT GETS TO 50 AND 55 MILES AN HOUR.

TO GO RIDE YOUR BIKE OUT THERE. GET OFF THE SCREEN.

>> WE LET THEM RIDE THE BIKES AS IT IS RIGHT NOW DOWN THE STREET.

>> THE WORLD'S LONGEST PUB CRAWL.

(LAUGHTER). >> LOOKING AT THE PRICE OF THE SIDEWALK. I MEAN, I THINK $1.3 IS NOT GOING TO GET US A SIDEWALK FROM WEST TO RIO GRANDE EVER.

>> WELL, IT IS A $6.5 MILLION. >> REMEMBER, SHE MENTIONED ADA IMPROVEMENTS AT THE INTERSECTIONS AND ALSO THE PEDESTRIAN LIGHTING. YOU KNOW, IT IS NOT JUST HAVING THE TRAFFIC LIGHT. IT IS HAVING THE WALK AND DON'T-WALK SIGNS THAT WE ARE STARTING TO SEE COMING UP THERE.

THEY ARE NOT BEING USED YET. IT IS ALL OF THOSE IMPROVEMENTS AS WELL. AND THAT MAY BE SOMETHING THAT WE SHOULD BE LOOKING AT. AND YOU ARE RIGHT.

A LOT OF PEOPLE DON'T WALK. I THINK IT IS A COMBINATION.

>> SOME PEOPLE HAVE NO CHOICE. >> I MEAN, BUILD IT AND THEY WILL COME. I WOULD SUPPORT IT.

>> I WOULD RATHER CHIP-SEAL THE NEIGHBORHOOD.

>> I MOVE TO ADOPT. I MOVE TO ADOPT THIS.

>> I SECOND. I SECOND.

>> ALL RIGHT. WE HAVE A MOTION AND A SECOND.

ON THE TABLE. TO APPROVE THIS IEM.

ANY FURTHER DISCUSSION? >> I WOULD JUST SAY THIS.

YOU KNOW, THE BEST PART ABOUT THAT IN MY MIND, WAS THE SIDEWALK AT WEST HIGH SCHOOL. YOU KNOW, WE TALKED ABOUT THE GRANT THAT WE WANT TO ADD SIDEWALKS HERE.

WE TALKED ABOUT NORTH STREET. WE WANT TO IMPROVE THAT STREET AND THOSE SIDEWALKS BECAUSE-- I'M ALL ABOUT IMPROVING SIDEWALKS AROUND SCHOOLS. I THINK THAT IS IMPORTANT.

YOU KNOW, OBVIOUSLY, WEST HIGH SCHOOL AND THE BUILDING THE SIDEWALK, THAT MAY BE A DISCUSSION FOR ANOTHER DAY.

PROBABLY SHOULD HAVE BEEN. HAVING SAID THAT, MY OBJECTION IS NOT THAT IT IS SIDEWALKS BY THE SCHOOLS.

IT IS JUST THE TOTALITY OF THE PROJECT AND PRIORITIES THAT I THINK THE CITY COULD BETTER USE THOSE FUNDS ELSEWHERE.

AT THIS POINT IN TIME. I LIKE THE IDEA.

I LIKE THE CONCEPT. I KNOW IT IS HIP AND TRENDY RIGHT NOW. PRIORITIES SAY WE COULD DO

BETTER THINGS WITH THAT MONEY. >> WELL-SAID, MR. CROCKER.

>> ALL RIGHT. ALL THOSE IN FAVOR, SAY AYE.

>> AYE. >> THOSE OPPOSED?

>> AYE. >> MOTION FAILS TO BE APPROVED.

>> I WOULD LIKE A ROLL CALL VOTE, PLEASE.

>> OKAY. WELL, I'LL TELL YOU RIGHT NOW.

>> ONE, TWO, THREE. >> NO.

I WOULD LIKE TO KNOW. EVERYBODY WILL VOTE.

>> MR. DELAGARZA SAID YES. MOTION FAILS TO CARRY.

THAT IS IT FOR ACTIONABLE ITEMS. WE WILL GO INTO CITY MANAGER'S

[2. Grant Activity Update. Katy Connally, Grant Administrator]

MS. CONNALLY. YOU ARE STILL UP.

>> YES. YES.

THANK YOU FOR THE OPPORTUNITY TO UPDATE YOU ON THE CITY AND OUR ACTIVITIES. FIRST, GREAT NEWS.

WE ARE FULLY STAFFED. I HAVE A COUPLE OF STAFF MEMBERS

[02:05:02]

THIS PAST MARCH, WE WELCOMED ROBERT STRICT.

HE HAS BEEN HELPING IN DEVELOPING GRANT APPLICATIONS.

>> GO BACK TO. THAT I'M SORRY.

I DIDN'T GET MY SCREEN TURNED OVER QUICK ENOUGH.

>> YES, MA'AM. >> THANK YOU.

>> JUST GENERALLY, OUR GRANT ACTIVITY SINCE THE CITY HIRED AN ON-STAFF GRANT ADMINISTRATOR IS AN OVERALL VOLUME OF $40 MILLION, INCLUDING PENDING AND CURRENT GRANTS, COMPLETED PROJECTS AND DONATIONS AND OTHER SPECIAL REVENUE.

SO TONIGHT I'M GOING TO GIVE AN UPDATE ON THE PENDING APPLICATIONS, THE CURRENT AWARDS, AND I'M GOING THE TALK A LITTLE BIT ABOUT PROJECTS IN DEVELOPMENT, REVIEW SOME COMPLETED AWARDS AND TALK ABOUT WHERE WE GO FROM HERE.

SO ON THE PENDING SUMMARY, APPLICATIONS ON THIS SLIDE HAVE BEEN SUBMITTED WHICH IS WHY THE MAIN STREET AND DOWNTOWN SIDEWALKS IS ON HERE. BECAUSE I HAVE SUBMITTED THE PRELIMINARY APPLICATION. ALTHOUGH THAT IS NOT COMPLETE YET. THESE INCLUDE AN APPLICATION TO THE OFFICE OF THE GOVERNOR TO GET SPECIALLY SIZED RIFLE-RESISTANT FOR OFFICERS. I WAS RECENTLY ADVISED BY KAYLA MASSEY WHO DID THE MAJORITY OF THE WORK IN DEVELOPING THIS APPLICATION, THAT THIS APPLICATION WILL BE RECOMMENDED FOR FUNDING BY THE GRANT REVIEW PANEL ON JUNE 2.

WE APPLIED ANOTHER COVID DISASTER DECLARATION.

ONE IS THE MICROWAVE REPLACEMENT PROJECT.

THE OTHER IS THE. ASR WELL.

I HAVEN'T HEARD SPECIFICALLY ABOUT THE RADIO REPLACEMENT.

MAYBE MIKE COULD MAKE A CALL. I DON'T KNOW.

THIS IS STILL IN PROCESS. THIS MAY TAKE A FEW MORE MONTHS BEFORE ANY NOTIFICATIONS. ALSO, THE FIRE DEPARTMENT SUBMITTED AN APPLICATION TO F FEMA.

ASSISTANCE TO FIREFIGHTERS GRANT FOR A NEW MOBILE COMMAND

VEHICLE. >> IS THAT TO REPLACE THE ARE.

STLAVMENT WE HAVE? >> I BELIEVE SO.

I BELIEVE IT IS INCREDIBLY COLD. >> ... INCREDIBLY OLD.

YES. I THINK TRACY TOLD ME IT IS WAY

OVER 20 YEARS OLD. >> YEAH.

>> THE PRELIMINARY APPLICATIONS ARE LISTED HERE.

RECENTLY, WE ALSO SUBMITTED THE BOAT RAMP AND KAYAK TAKEOUT POINT ON MAY 1. WE HAD TALKED ABOUT THAT JUST A COUPLE OF WEEKS AGO. I HAVE ANOTHER SLIDE ON THAT AS WELL. FOR THE ESR WELL, FEMA IS REVIEWING IT. IT IS A $6.3 MILLION PROJECT WITH THE CITY'S MATCH AT $1.9 MILLION.N.

I THINK WE SHOULD HEAR SOMETHING ABOUT THIS IN THE THIRD QUARTER OF THIS YEAR. AND JUST BRIEFLY, TO TALK ABOUT WHAT IT IS. THIS PROJECT STORES WATER FOR USE DURING DROUGHT. WATER THAT WE MAY HAVE ACCUMULATED, SAYINGS OVER THE LAST FEW DAYS.

OR WEEKS. SO WHAT THAT DOES IS IT TAKES WATER THAT WE GOT IN EXCESS WHEN IT IS RAINING AND STORES IT FOR WHEN WE DON'T HAVE AS MUCH. WE TALKED ABOUT THIS ALREADY.

SO I'LL KIND OF SKIP THIS. AND GO ON TO THE NEXT ONE.

UNLESS ANYBODY HAD FURTHER COMMENTS OR QUESTIONS.

OKAY. I'M GOING TO-- YES.

OKAY. I JUST WANTED TO HIGHLIGHT AGAIN ABOUT THIS PROJECT. AND KIND OF SHOW THE PICTURES AGAIN OF THE TOP TWO OF THE CURRENT BOAT RAMP AREA.

AND THE BOTTOM TWO THAT SHOWED THE KAYAK TAKEOUT POINT.

THE GRANT REQUESTS PLANNING WHICH IS NEEDED TO COMPLETE ENGINEERING. THIS WILL GIVE IT MORE ROOM FOR THAT. THEY WILL BE ABLE TO SPREAD OUT THE GRADE A LITTLE BIT. WE NEED THE ENGINEERING ON THAT TO SEE WHAT IMPACT THAT IS GOING TO HAVE GOING INTO THE RIFF.

AND THAT IS PART OF WHAT THE GRANT IS FOR.

I ALSO WANT TO SAY HERE, WE SUBMIT GRANT APPLICATIONS, A LOT OF PEOPLE ARE INVOLVED. A BIG THANK YOU TO JASON ALFARO.

ROBERTSTRICTION. ROBERT STRICT.

IT IS A TEAM EFFORT TO PUT TOGETHER A GRANT APPLICATION.

AND EVERYBODY WORKED REALLY HARD ON GETTING THIS ONE DONE.

THIS IS A CURRENT SUMMARY OF OUR CURRENTLY AWARDED AND IN-PROGRESS GRANTS. SOME OF THESE YOU WILL

[02:10:01]

ON THE FLOOD BUYOUT PROGRAM, WE HAVE COMPLETED THE PURCHASE OF THREE PROPERTIES. FOUR MORE IN PROGRESS.

NOW WE ARE GETTING TO HIRING DEMOLITION ON THE STRUCTURES ON THE PROPERTIES THAT HAVE BEEN PURCHASED.

THE OPERATION LONE STAR FUNDS BORDER SECURITY ACTIVITIES IS IN THE PROCESS OF PURCHASING THE SPECIALIZED EQUIPMENT.

THE GRANT ALSO FUNDS POLICE OFFICER SALARIES, OVERTIME, AND FUEL. THAT IS $772,000.

WE GET THE RENEWALS ON THE SELECTIVE TRAFFIC ENFORCEMENT GRANTS. AND THE MOTOR VEHICLE CRIME PREVENTION FROM THE DMV EVERY YEAR.

WE HAVE GOTTEN THOSE AGAIN THIS YEAR FOR P.D.

LAST ON THE LIST IS THE LOCAL BORDER SECURITY PROGRAM.

WE GOT $10,000. WE ARE BUYING SOME REPLACEMENT

RADIOS FOR. >> DWVMENT THAT FUNDING.

>> OKAY. WE ARE GETTING VERY CLOSE TO COMPLETING THE DUCK POND PROJECT.

THIS IS AN UPDATED PICK CHU OF IT.

IT REALLY MATCHES ALMOST EXACTLY THE INITIAL DRAWINGS WE GOT BACK YEARS AGO. WHEN WE GOT THAT DONE.

ON THIS PROJECT. I KNOW EVERYBODY IS GOING TO BE EXCITED. WE HAVE PURCHASED THE GAZEBO AND FISHING PIER. THOSE THINGS WILL BE GOING IN REALLY SOON. THERE IS SOME ADDITIONAL PARKING AND SIDEWALKING THAN BEING WORKED ON.

THE CONTRACTOR IS FINISHING UP WITH LIGHTING.

ALL THAT GOOD STUFF. PICNIC TABLES.

WE WILL BE READY FOR RIBBON-KUFTING BEFORE WE KNOW IT. THE OTHER THING NEARING COMPLETION. PRETTY CLOSE.

THE FLOOD GATES AND PUMP STATIONS.

ACTUALLY, I THINK IT MAY BE CLOSER AT THIS POINT NOW TO ABOUT 65% TO 70%. WHAT WE ARE WAITING ON NOW IS THE-- I MEAN, THEY ARE STILL WORKING ON SOME OF THE ACTUAL FLOOD GATE SITES AND PUMP STATIONS.

WE ARE GOING TO BE PUTTING GENERATORS NEXT TO THOSE PUMP STATIONS. AND I WANTED TO SAY THAT THE PHOTO ON THE RIGHT IS ONE OF THE FLOOD GATES THAT REPLACED THE OLD MECHANICAL ONES. AND IT IS ENORMOUS.

ACTUALLY, IT DWARFS THE FRONT-LOADER CATERPILLAR MACHINE. AND YOU KIND OF CAN'T TELL FROM THIS PHOTO. IT IS PRETTY IMPRESSIVE.

THAT ONE IS ALMOST FINISHED. THEN I WANT TO TALK ABOUT, IN ADDITION TO APPLYING FOR COMPETITIVE GRANTS, THE CITY RECEIVES QUITE A BIT OF FUNNING FROM DONATIONS, ALLOCATIONS, AND OTHER SPECIAL REVENUES. AND SO I WANTED TO SAY A SPECIAL THANK YOU, ESPECIALLY TO DONATIONS THAT WE GET.

WHICH ARE LISTED ON THE RIGHT SIDE.

THE 100 CLUB. THE TRACEY FOUNDATION.

THERE IS A FUND-RAISER FOR AGILITY EQUIPMENT FOR THE DOG PARK. WE GET USUALLY EVERY YEAR, WE GET MONEY, I BELIEVE, FOR SMOKE DETECTORS.

SO THANK YOU FOR THOSE DONATIONS.

OH, YEAH. ALLOCATION.

LAST WEDNESDAY, THE EXECUTIVE COMMITTEE OF THE BOARD OF THE GOLDEN CREST REGIONAL PLANNING COMMISSION APPROVED A RESOLUTION TO SUBMIT THE MOD THAT WILL RESULT IN THE CITY'S ALLOCATION AT $19.5 MILLION. AND THEN ONCE THAT IS ACCEPTED BY THE GLO, THE COG IS GOING TO BE OUT OF IT.

WE WILL BE TALKING DIRECTLY TO THE GLO ABOUT OUR NEXT STEPS IN TERMS OF PREPARING APPLICATIONS FOR THE PROJECTS THAT WE WANT TO SUBMIT. JUST TO REVIEW, BECAUSE WE TALKED ABOUT THIS RECENTLY, TOO. THESE ARE SOME PROJECTS THAT ARE UNDER CONSIDERATION. THE 911 CENTER PORTION OF THE PUBLIC SAFETY HEADQUARTERS. THE DRAINAGE PROJECTS.

THE RECOMMENDATIONS. THOSE ARE SOME THINGS THAT WE HAVE BEEN TALKING ABOUT. AND THEN IN DEVELOPMENT, SO I WANTED TO SAY THAT IN TERMS OF DEVELOPMENT, WE HAVE A FEW THINGS WE HAVE BEEN TALKING ABOUT REPLACING THE AUTOMATIC METER-READERS. POTENTIALLY, A NEW WATER TOWER.

RECREATIONAL TRAILS. OTHER DRAINAGE PROJECTS.

RECYCLING OUTREACH PROJECT. THESE ARE SOME THINGS WE TALKED ABOUT IN TERMS OF DEVELOPING FOR POTENTIAL GRANT FUNDING.

AS PART OF THE GRANT PROCESS AND WORKING WITH MY STAFF RIGHT NOW, ON GUIDANCE AND TRAINING TO HELP DEVELOP GRANT PROJECTS AND

[02:15:01]

THAT IS PART OF WHAT I'M TRYING TO INCORPORATE INTO OUR PROCESS HERE. SO THAT WE ARE READY WHEN GRANT OPPORTUNITIES COME AVAILABLE FOR THE KIND OF THINGS WE WANT TO APPLY FOR. COMPLETED PROJECTS.

WE FINISHED THE INSTALLATION OF THE EMERGENCY GENERATORS AT P.D.

AND THE COMMUNITY CENTER. ALONG WITH INSTALLING THE PROTECTIVE WINDOW FILM ON THE LIBRARY.

AND THEN THE HUMANITIES TEXAS GRANT PAID FOR THE DESIGN OF THAT OUTDOOR SPACE AT THE LIBRARY.

AND WE FINISHED THE GREEN RIBBON PROJECT.

WHICH IS LOOKING BEAUTIFUL. SO GOING FORWARD, AS I MENTIONED, WE ARE WORKING TO PROVIDE WRITTEN GUIDANCE AND FORMS AND TRAINING TO HELP CITY STAFF IN DEVELOPING PROJECTS IN ADVANCE OF GRANT FUNDING OPPORTUNITIES.

ALONG WITH PROVIDING OTHER WRITTEN PROCEDURES AND FOR PRE-AWARD AND POST-AWARD CLOSEOUT ACTIVITIES FOR CLARITY AND CONSISTENCY. WE WILL TALK TO EACH DEPARTMENT ABOUT FUTURE GRANT PROJECTS AND PROGRAMS. THE CITY'S COMPREHENSIVE PLAN AND MASTER PLANS AND STRATEGIC PLANNING. WE ARE WORKING TO GET TRACKING SOFTWARE TO PROVIDE UP-TO-THE MINUTE DASHBOARD INFORMATION.

FOR GRANT STAFF AND EXECUTIVE LEADERSHIP, ALONG WITH PROPOSAL DEVELOPMENT RESOURCES, ACCOUNTING FUNCTIONS, REPORTS, AND TRACKING FOR GRANT-SEEKING ACTIVITIES.

SO THIS IS THE CONTACT INFORMATION FOR EVERYBODY IN THE GRANT OFFICE. DID YOU HAVE ANY MORE QUESTIONS FOR ME? NO?

OKAY. >> THANK YOU.

>> THANK YOU. >> ALL RIGHT.

[4. FY 2024 Capital Improvement Plan (CIP) Update. Ken Gill, Director of P...]

THIS IS ABOUT AN HOUR PRESENTATION.

>> PERFECT. WE WERE HOPING IT WAS AN HOUR

AND A HALF. >> I'M NOT GOING TO TOP KATY'S.

THAT WAS GOOD. >> TOP GILBERT.

>> I'M NOT GOING THE TOUCH THAT ONE EITHER: I COULD.

HE IS NOT HERE NOW. HE IS NOT HERE.

SO YES. REAL QUICK.

I'M GOING TO GO OVER KIND OF SOME UPDATE ON THE 2024 PRO PROJECTS. SOME OF THE ONES THAT ARE CHANGING SIGNIFICANTLY. DROPPING IN, DROPPING OUT.

PRESENT PROPOSED CHANGES WITH THE RESIDENTIAL STREET PROGRAM FOR 2024. AIRLINE ROAD.

THE OVERLAY PROJECT. THE ANTHONY ROAD PROJECT.

IN 2024. AND THEN HOW WE MOVE FORWARD WITH THE EVALUATION OF RESIDENTIAL STREETS.

IN THE 2024 BOOK, THIS WAS THE ORIGINAL SHEET ON THE RESIDENTIAL. WHEN YOU WENT TO THAT 2024 YEAR, AND THE FIRST PROJECT WAS RESIDENTIAL, YOU FLIPPED TO THAT PAGE. THIS WAS WHAT WAS IN THAT SHEET.

THIS SHOWS THE IMPROVEMENT DESCRIPTION THAT WAS RECOMMENDED THROUGH THE STREET ASSESSMENT PROGRAM.

THESE ARE ALL THE STREETS. THE TOP ONES.

THE REST OF THEM WERE THICK OVERLAY.

THOSE STREETS DOWN BELOW ARE ON THAT MAP.

EXCEPT FOR THE SEAL COAT. I LEFT THOSE OUT.

THOSE ARE LARGER SUBDIVISIONS. THIS IDENTIFIES THOSE AREAS THAT WERE THICK OVERLAY. IT IS PRIMARILY RIGHT ACROSS FROM PATTY WILDER. AVENUE C, AVENUE D.

YOU WILL SEE COMMERCIAL WAS ON THERE.

AND SOME OTHER ONES. ONE OF THE CHANGES THAT WE WANT TO MAKE REVISED IS-- I'LL GO OVER THE BOTTOM PART FIRST.

THAT IS WHAT I WAS TALKING ABOUT.

CONTINUE WITH THAT NEIGHBORHOOD. THOSE ARE GOING TO NEED RECONSTRUCTION. WE WENT WITH OUR COMPANY THAT LOOKS AT THOSE STREETS BEFORE. WE WENT OUT THERE AS A PRELIMINARY LOOK. DROVE THROUGH THOSE STREETS.

SOME OTHERS. THEY LOOKED AT THEM AND SAID, MAN, THIS CURB AND GUTTER IS REALLY IN BAD SHAPE.

JUST REDOING THAT SURFACE IS NOT GOING TO MAKE AN IMPROVEMENT TO THOSE STREETS. THAT IS RECOMMENDING RECONSTRUCTION. BASICALLY, REPLACING THAT CURB AND GUTTER. KIND OF DOING A NORTH HEIGHTS.

ONE OF THE THINGS THAT WAS IN THERE WAS POWER STREET AND COMMERCIAL STREET. WE LISTED THEM IN THE BEGINNING

[02:20:05]

WE ARE PICKING UP THOSE SAME STREETS.

THIS KEEPS THAT BUDGET AS CLOSE AS WE CAN.

WE ARE GOING TO OPTIMIZE WHETHER IT IS RECONSTRUCTION, SOME OF THOSE STREETS, WE MAY BE ABLE TO RECLAIM AND SEAL.

IT IS JUST GETTING IN THERE REALLY DIVING DEEP INTO THEM.

BUT THIS IS OUR FIRST, YOU KNOW, REVISION.

WHAT WE WANT TO DO. I'M GOING TO GO BACK TO THAT OTHER SLIDE AND TALK ABOUT THE TOP SECTION.

IN 2024, WE HAVE ALL OF THOSE NEIGHBORHOODS LISTED FOR THIS.

THIS YEAR, ON THE 2023 PROJECT, WE ARE ACTUALLY SEEING THE QUANTITIES OF POINT REPAIRS. SOME OF THE LEVEL-UP QUANTITIES ARE LOWER. STILLIBLE THE.

STILL ABLE TO COMPLETE THESE PROJECTS.

QUEEN CITY, CASTLE HILLS. DEER CHASE.

A LOT OF THOSE. THEY ARE ALL DONE.

WE ARE ABLE TO QUANTIFY THE QUANTITIES EXCEPT F-- KNOWING TT WE WILL HAVE ABOUT A $400,000 REDUCTION, WE WANT TO ADD BACK IN COLONY CREEK AND DUDLEY AND SAN SANCHEZ.

INTO THIS YEAR'S NOW, THAT IS KEY POINT I WANT TO MAKE FOR JOSEPHINE. THIS WILL BE BROUGHT AS A CHANGE ORDER. WE ARE NOT JUST GOING TO ROLL IT IN AND DO THEM. WE ARE GOING TO BRING IT BACK AS A CHANGE ORDER SO THAT Y'ALL HAVE-- YOU KNOW, WE ARE CHANGING THE SCOPE OF THE '23 PROJECTS. THE NEXT ONE IS-- I'LL ASK ANY QUESTIONS. ANSWER ANY QUESTIONS ABOUT

THOSE. >> BACK UP FOR A SECOND.

YOU WERE TALKING ABOUT STAYTON BEING INCLUDED.

IS THAT MAIN STREET THAT IS NORTH-SOUTH?

>> IT IS THE STAYTON STREET RIGHTIT IS HARD TO DESCRIBE.

RIGHT THERE ACROSS FROM PATTY WELDER.

NEAR GEORGE STREET. A LITTLE SHORT PIECE.

THERE IS NO CURB AND GUTTER ON THAT SECTION.

SEE ON THAT MAP WHERE THAT NEIGHBORHOOD IS IN GREEN? IT IS NOT SHADED. STAYTON RUNS ON THE VERY NORTH END. BY NORTH STREET.

>> OKAY. BY NORTH STREET.

>> THAT WASN'T INCLUDED IN THE ORIGINAL.

WHAT WE WANT TO DO IS INCLUDE THAT ONE.

PICK UP THAT WHOLE AREA. IF THAT MAKES SENSE.

>> OKAY. I THINK I SEE WHERE YOU ARE.

>> STAYTON BUT IT IS NOT BLUE? >> IT IS BLUE.

IT IS IN BLUE. WE GO BACK.

THAT ONE IS NOT SHOWN. SEE THE GREEN?

THAT ONE STREET IS NOT IN THERE. >> BETWEEN LAURENT --

>> IF I HAD A POINTER. RIGHT.

KEEP GOING UP. >> OH.

THAT IS SAY THETON. ONE DOWN.

PARALLEL TO NORTH STREET. >> ONE DOWN FROM NORTH.

>> YEAH. IT IS NOT INCLUDED ON THE NEXT

SLIDE. >> RIGHT.

LOOK AT THE CURSOR. >> THIS WAS THE ORIGINAL.

GO TO THE BLUE ONE. >> RIGHT THERE.

THAT IS STAYTON. >> SO IT JOGS?

>> YES. OR DISAPPEARS?

>> AND THEN THAT IS WHERE I WANT TO PICK UP.

THAT WHOLE NEIGHBORHOOD. >> I WAS LOOKING AT THAT LONGER SECTION OF STAYTON THERE. THAT SAYS STAYTON.

>> GOT IT. I'LL ANSWER ANY OTHER QUESTIONS.

LIKE I SAID, WE WILL BRING BACK THOSE NEIGHBORHOODS THAT WE LIKE TO PICK UP THIS YEAR. GET THOSE OUT OF THE WAY.

WE HAVE ALREADY TALKED TO THE CONTRACTOR.

THEY ARE WILLING TO CHANGE-ORDER IT IN.

THEY WILL GET TO THEM LATER IN THIS YEAR.

THEY ARE STILL IN THE PRICE RANGE THAT THEY CHEMOKEEP THE

SAME PRICES. >> CAN-- FOR THEM TO ADD DUDLEY AND SANCHEZ ON THERE, DOES THAT MEAN THEY ARE WORKING AROUND

THERE? >> NO.

THEY WILL COME BANG IN. RIGHT NOW, THEY WILL FINISH UP THE PROJECT THAT THEY HAVE RIGHT NOW.

THE STREETS AND THE NEIGHBORHOODS.

AUGUST, SEPTEMBER. THEY WILL DO A COMPLETE MOVE-IN.

AND MOVE N INTO DUDLEY, SANCHEZ, COLONY CREEK.

THEY WILL BRING BACK IN THE COMPANY THAT DOES ON NIX.

RIGHT AFTER THAT. IT WILL BE A COMPLETE NEW

MOVE-IN. >> OKAY.

>> I HAVE A QUESTION ABOUT WILL HEARD.

[02:25:02]

>> YES, SIR. >> THAT WAS A SUCCESS.

WELL, IT IS NOT COMPLETELY DONE. >> RIGHT.

STILL HAS THE ON EX. >> WE COULD USE THAT PROCESS ON SOME OTHER STREETS. IT WOULD BE A LOWER COST TO REDO

A STREET. >> YES.

>> I THINK EVERYBODY IN THE COUNCIL, NEEDS TO SEE THAT STREET. I MEAN, IT WOULD HAVE BEEN GOOD IF YOU SAW IT BEFORE. IT WAS A PATCHWORK QUILT BEFORE.

IN FACT, I ALWAYS THOUGHT DERRY ROAD WAS THE WORST STREET.

IT WAS WERE THAN DERRY ROAD. >> WE HAVE TALKED ABOUT THOSE STREETS THAT YOU DON'T SEE A LOT OF TRAFFIC BUT SERVE, YOU KNOW,

THIS IS A WAY TO GET THEM DONE. >> THEY ARE HARD TO INCLUDE IN A

BIGGER SUBDIVISION PROJECT. >> RIGHT.

>> YES. IF YOU WILL SEE ON THIS SHEET--

>> EL IS DOWN THERE THAT DO. >> RIGHT.

SEAL ON THIS SHEET? I HAVE SOME OF THEM LISTED AS RECLAIMED SEAL. THEY ARE OPEN SECTIONS.

THE ACTUAL BASE IS FINE. THE SURFACE IS GONE.

WE WANT TO USE EVERY AVAILABLE MEANS TO JUST OPTIMIZE.

THE NEXT ONE WE WANT TO TALK ABOUT IS AIRLINE ROAD.

AN OVERLAY. BETWEEN BEN JORDAN AND SAM HOUSTON. AS WE ARE EXPERIENCING CONDITIONS WITH OUR CAST IRON WATER LINE PIPE, THIS ONE HAS A 12-INCH CAST IRON RIGHT UNDER ONE OF THE LANES.

WE WANT TO PUSH THIS ONE BACK UNTIL WE GET THAT 12-INCH CAST IRON WATER LINE REPLACED. ESTIMATE ON THAT, WE HAVE A ROUGH NUMBER OF ABOUT $1.2 MILLION.

WE HAVE TO GET THAT REPROGRAMMED INTO THE CIP.

WE DO NOT WANT TO SPEND A LOT OF MONEY IN FIXING WATER BREAKS ON IT. THE OTHER ONE WE WANT TO PUSH BACK IS THE ANTHONY ROAD OVERLAY.

BETWEEN RIO GRANDE AND LONE TREE ROAD.

THE REASON WE WANT TO PUSH THIS BACK, WE WANT TO FINISH LONE TREE DRAINAGE PROJECT. FINISH THE DRAINAGE.

THE PROJECT ITSELF. THEN WE COME BACK IN AS WE DO THE STREETS. THERE WILL BE TRUCK TRAFFIC.

CONSTRUCTION TRAFFIC. LET'S WAIT UNTIL ALL OF THAT IS DONE. THIS WILL BE THE FINAL ONE TO WRAP UP THAT AREA. WE WANT TO WAIT UNTIL THOSE PROJECTS GET COMPLETE. AND THEN AS WE MOVE FORWARD, THE EVALUATION OF '25 AND '26 IS THIS, AS I HAVE MENTIONED BEFORE, THE STREET ASSESSMENT DID NOT LOOK AT ALL THE SOIL CONDITIONS OR DRAINAGE FEATURES. WE WANT TO CONTINUE TO USE OUR CONSULTANT THAT COMES IN AND DOES SOIL TESTING.

I HAVE DONE A PRELIMINARY REVIEW.

I WANT TO DIVE DEEP TO LOOK AT THEM.

AND EVEN GET THAT FLOOD ACE. THEY HAVE COME DOWN AND DONE REVIEWS WITH US. AS WE DRIVE AROUND AND SAY, YES, YOU ARE ON THE RIGHT TRACK. OR THIS ONE IS MARGINAL.

GET THAT AHEAD OF TIME SO WE DON'T KEEP CHANGING THINGS RIGHT ATAT THE LAST MINUTE. THIS WAY, WE WILL KNOW IN THE NEXT TWO YEARS. GILBERT IS DOING HARD WORK TO BUDGET THEM. THERE WILL BE SOME POSSIBLE EXTRA FUNDING THAT MAY MOVE THESE PROJECTS TO THE '24 WINDOW YEAR. IT IS JUST BALANCING ACT OF TRYING TO GET THESE PROJECTS IN. THE GOAL IS TO GET EVERYTHING THAT WAS SUBMITTED IN THAT CIP BOOK, TO GET IN THAT WINDOW OF

'26. >> JUST TO BE CLEAR, WHEN YOU SAY THE WINDOW, IT IS FROM '24 TO ACCOUNT 26.

>> THE LAST OF THE WINDOW. IT WAS A FIVE-YEAR CIP.

IT IS, YES. AND THAT'S IT.

>> I HAVE A COMMENT. THE LAST SECTION OF NORTH

HEIGHTS THAT WAS JUST COMPLETED. >> YES.

>> VERY NICE. >> THANK YOU.

IT DUD COME DPS IT DID COME OUT WELL.

IT WAS SYSTEMATICALLY DONE OVER 7 YEARS.

EVERYBODY PERSEVERED. IT WAS GOOD.

I WANT TO SAY ONE THING ABOUT THE FLAP GATES.

THOSE DUCK BILL THINGS ARE GREAT.

EVERY YEAR,D TO HAVE TO GO OUT BEFORE THE RIVER GOT UP, PUT OUR CREWS OUT THERE IN THE MIDDLE OF A FIELD AND TRY TO POP

[02:30:03]

THAT IS ALL I GOT. THANK YOU.

[5. Fiscal Year 2021–2022 Annual Comprehensive Financial Report. Wesley Ja...]

>> ALL RIGHT. WE GOT FISCAL YEAR 2021.

2022, FINANCIAL STATEMENT AUDIT BY MR. JANE S.E.C.

JAYNESEK JANECEK. THANK YOU FOR YOUR PATIENCE.

>> GOOD EVENING, MAYOR AND COUNCIL.

THE CITY GOES THROUGH A FINANCIAL STATEMENT AUDIT EVERY YEAR. AND RECENTLY, WE WRAPPED UP COMPLETION OF THE AUDIT FOR OUR FISCAL YEAR ENDING SEPTEMBER 0, 2022. WE HAVE POSTED A COPY OF THE REPORT TO OUR WEBSITE. AND WE HAVE SENT OUT COPIES TO THE APPROPRIATE AGENCIES THIS MONTH TO COMPLY WITH ALL FILING REQUIREMENTS. WE WILL GIVE YOU AN OVERVIEW OF THE AUDIT PROCESS AND SOME RESULTS OF THE AUDIT.

>> OKAY. GOOD EVENING.

MAYOR AND COUNCIL MEMBERS. LIKE I SAID, LIKE WESLEY SAID, MY NAME IS MELISSA TERRY, I'M A CPA AND A PARTNER WITH THE FIRM.

I'M HERE TO PRESENT THE RESULTS OF THE CITY'S FISCAL YEAR ENDED SEPTEMBER 30, 2022 AUDIT. SO THE OVERVIEW OF THE PRESENTATION WILL BE-- WE WILL GO OVER THE AUDIT PROCESS.

THE REQUIRED COMMUNICATIONS, THE AUDIT RESULTS, PROVIDE YOU SOME FINANCIAL HIGHLIGHTS. AND THEN TAKE ANY QUESTIONS.

THE ENGAGEMENT TEAM CONSISTS OF MYSELF, THE SENIOR MEMBERS OF THE ENGAGEMENT TEAM CONSISTS OF MYSELF AND ELIZABETH, ANOTHER CPA IN THE FIRM. WE WORK EXTENSIVELY IN GOVERNMENTAL KTING AND AUDITING. FOR MANY YEARS, WE RECEIVED THE REQUIRED AMOUNT OF CP HOURS REQUIRED BY THE ASCPA AND THE GAO, THE GOVERNMENTAL ACCOUNTABILITY OFFICE.

OUR FIRM ALSO P PAR PARTICIPATES IN THE PEER REVIEW PROGRAM.

WE RECEIVE A PEER REVIEW EVERY THREE YEARS.

IT IS COMING UP THIS FALL. WHICH INVOLVES APPLYING QUALITY CONTROL PROCEDURES TO CERTAIN AUDIT ENGAGEMENTS WHICH ARE SELECTED BY THE PEER REVIEW FIRM THAT COMES IN TO ENSURE OUR AUDITS ARE CONDUCTED PROPERLY. ENGAGEMENT TIMELINE.

WE PRETTY MUCH BEGIN THE AUDIT AND START PLANNING THE AUDIT AT THE COMPLETION OF THE PREVIOUS AUDIT.

SO AS WE FINISH THIS AUDIT, WE WILL SUBMIT AN ENGAGEMENT LETTER WHICH THEN WILL BE PRESENTED TO YOU ALL AND CAN BE READ AND SUCH AND PROVIDES ALL THE PROCEDURES THAT WE WILL DO IN PERFORMING THE AUDIT. OUR AUDIT PLANNING BEGINS IN ABOUT THE MONTH OF SEPTEMBER. OUR FIELD WORK IS NORMALLY IN NOVEMBER, DECEMBER, THROUGH JANUARY.

AND THEN WE ISSUE THE AUDIT. THIS YEAR WE ISSUED THE AUDIT REPORT ON APRIL 12, 2023. THAT IS THE DATE OF THE AUDIT OPINION. AS YOU KNOW, THE REPORT THAT THE CITY RECEIVES OR ISSUES IS NOT YOUR STANDARD AUDIT REPORT.

IT IS CALLED AN ANNUAL COMPREHENSIVE FINANCIAL REPORT, AND THAT IS BECAUSE AS Y'ALL HAVE FOR MANY YEARS, YOU SUBMIT TO RECEIVE THE GFOA AWARD WHICH SHOWS THE EXCELLENT FINANCIAL MANAGEMENT PROCESS THAT THE CITY DOES.

HAS. WE ARE REQUIRED TO COMMUNICATE MANY THINGS TO THE COUNCIL. ONE, BEING JUST TO ADDRESS THE RESPONSIBILITY OF THE FINANCIAL STATEMENTS.

THE FINANCIAL STATEMENTS ARE THE RESPONSIBILITY OF THE CITY OF VICTORIA. AND OUR RESPONSIBILITY IS TO EXPRESS AN OPINION ON THOSE FINANCIAL STATEMENTS.

AS THE CITY HAS IN THE PREVIOUS YEARS, HAS RECEIVED AN UNMODIFIED OR A CLEAN OPINION. THAT IS THE HIGHEST FORM OF ASSURANCE THAT WE CAN GIVE AS AUDITORS, CPAS THAT THE FINANCIAL STATEMENTS OF THE CITY ARE MATERIALLY CORRECT.

IN ADDITION, WE HAVE ALSO NOTED IN OUR COMMUNICATIONS TO COUNCIL THAT THERE WERE NO FRAUDS, IRREGULARITY, OR ILLEGAL ACTS NOTED. NO SIGNIFICANT DEFICIENCIES.

OR WEAKNESSES. BECAUSE THE CITY EXPENDS GREATER

[02:35:03]

AND THEN THOSE COMMUNICATION WHICH IS ARE FOUND IN THE AUDIT SECTION OF THE ANNUAL COMPREHENSIVE FINANCIAL REPORT, WE NOTED NO COMPLIANCE IN THAT COMMUNICATION.

ALSO WE ARE REQUIRED TO COMMUNICATE TO THE COUNCIL THAT THERE WERE NO SIGNIFICANT ESTIMATES EMBODIED IN THE FINANCIAL STATEMENTS. WE ENCOUNTER NO SIGNIFICANT DIFFICULTIES IN PERFORMING THE AUDIT.

WE WERE NOT AWARE OF ANY MANAGEMENT CONSULTING WITH OTHER ACCOUNTANTS FOR A SECOND OPINION.

NOR WERE THERE ANY INDEPENDENCE ISSUES.

WE RECEIVED MANAGEMENT REPRESENTATIONS ON THOSE COMMUNICATIONS, AND THERE WERE NO UNCORRECTED MISSTATEMENTS TO REPORT. IN ADDITION, WE ARE ALSO REQUIRED TO REPORT TO YOU THAT THERE WAS AN ADOPTION OF A NEW ACCOUNTING AND REPORTING STANDARD DURING FISCAL YEAR '22.

AND THIS WAS THE NEW LEASE ACCOUNTING STANDARD ISSUED BY THE GOVERNMENT ACCOUNTING STANDARDS BOARD: THIS STANDARD WAS TO MORE ACCURATELY PORTRAY THE LEASE OBLIGATIONS.

AND INCREASE THE USEFULNESS OF THE GOVERNMENTAL FINANCIAL STATEMENTS. BY REVIEWING THE FINANCIAL STATEMENTS AND A STATEMENT IN THAT POSITION AS WELL AS THE BALANCE SHEET, THERE WERE TWO NEW LINE ITEMS WHICH WERE CALLED RIGHT TO USE LEASE ASSETS AND LEASE LIABILITIES.

THOSE ARE TRADITIONALLY WHAT THEY WERE CALLED, OPERATING LEASES. NO LONGER WILL YOU HAVE OPERATING LEASES. THEY ARE EITHER RIGHT-TO-USE LEASES OR ALSO OR JUST FINANCE PURCHASES IS WHAT WE CALL THEM.

SO IN SUMMARY, THE CITY RECEIVED AS MENTIONED BEFORE, AN UNMODIFIED OPINION. AS YOU HAVE RECEIVED IN THE PAST. AND THERE WERE NO MANAGEMENT COMMENTS. I'M GOING TO HIGHLIGHT THE THREE OF THE MAJOR FUNDS OF THE CITY. HERE.

AND SO FIRST, AS PRESENTED, THE GENERAL FUND.

SECOND, CHARTS. THE WATER FUND.

AND THIRD, THE ENVIRONMENTAL SERVICES FUND.

IN THE GENERAL FUND, GENERAL FUNDS FUND BALANCE.

DECREASE BY $2.3 MILLION. THE WATER FUND SAW AN INCREASE OF $3.5 MILLION. IN ITS NET POSITION.

THE ENVIRONMENTAL SERVICES FUND SAW AN INCREASE OF A LITTLE OVER A MILLION DOLLARS. JUST TO MAKE A STATEMENT, THE $2.3 MILLION DECREASE IN THE GENERAL FUND BALANCE WAS A BUDGETED-- WAS EXPECTED IN THE BUDGET.

THERE WAS AN INCREASE IN TRANSFERS FOR CAPITAL PROJECTS IN THE FISCAL YEAR. ANOTHER THING TO NOTE, THE GENERAL FUNDS FUND BALANCE AS OF SEPTEMBER 30, 2022, REPRESENTED 43% OF THE GENERAL FUNDS TOTAL EXPENDITURES.

THE CITY'S MINIMAL FUND BALANCE POLICY IS AT 25%.

YOU ARE EXCEEDING YOUR POLICY. ANOTHER THING TO NOTE, AS YOU SEE ON THE BOTTOM, THERE IS A DIFFERENCE FROM BETWEEN THE NET POSITION AND THE WORKING CAPITAL.

PENSION, LIABLE. THE ACCOUNTING FOR THE LEASES BEGINNING IN THIS FISCAL YEAR. AS WELL AS THE LONG-TERM

COMPENSATED ABSENCES. >> WE WANTED TO ADD THIS SLIDE THIS YEAR ON THE WORKING CAPITAL FOR THE WATER FUND AND ENVIRONMENTAL SERVICES FUND: YOU WON'T FIND THESE BALANCES WITHIN THE ACT. THESE WILL BE THE BALANCES YOU SEE WHEN WE GO THROUGH THE BUDGET PROCESS.

AS NOTED ON THE PREVIOUS SLIDE, YOU SAW A NET POSITION IN THE WATER FUND OF $95 MILLION. THE BULK OF THAT IS FIXED ASSETS. THEN THAT BALANCE ON THOSE FIXED ASSETS, BUT REALLY, WHEN YOU LOOK FROM A CASH PERSPECTIVE, AND WHAT'S AVAILABLE FOR FUNDING TO START THE FISCAL YEAR, THESE WORKING CAPITAL NUMBERS ARE WHAT WE ARE GOING TO BE LOOKING AT FOR EACH OF THOSE ENTERPRISE FUNDS.

>> SO HERE. THE WORKING CAPITAL FOR THE WATER FUND HAD AN INCREASE OF $1.15 MILLION FROM SEPTEMBER 3, 2021 TO '22. THEN THE ENVIRONMENTAL SERVICES WORKING CAPITAL SAW AN INCREASE OF .62 MILLION OVER '21.

[02:40:08]

WHERE T THERE WERE ALL INCREASES IN THE THREE-YEAR PERIOD.

THE FIRST WAS THE PROPERTY TA TAXES, SALES TAX, FRANCHISE TAX, WATER SALES, AND SOLID WASTE COLLECTIONS.

THIS SLIDE, SHOWS THE DECREASES IN ALL EXPENDITURES.

EXPENSES OF THE GENERAL FUND, THE WATER FUND AND THE ENVIRONMENTAL SERVICES IN COMPARISON WITH THE PRIOR YEAR.

AS WELL. SO FOLLOWING THE OPINION LETTER, THE FIRST OPINION LETTER IN THE-- THERE IS A SECTION CALLED THE MANAGEMENT DISCUSSION AND ANALYSIS.

THIS PROVIDES AN OVERVIEW OF THE CITY'S FINANCIAL ACTIVITIES FOR THE DISCALL YEAR, 2022. IT ALSO PROVIDES FINANCIAL HIGHLIGHTS, OTHER ECONOMIC DATA. TO ASSESS THE FINANCIAL CONDITION OF THE CITY. WE RECOMMEND ANYONE TO READ THIS SECTION OF THE REPORT. IT PROVIDES ANY EXPLANATIONS AND EXPLAINS THE INCREASES AND DECREASES.

THERE ARE REQUIREMENTS, WHEN WE DRAFT THE MANAGEMENT DISCUSSION ANALYSIS, WE ARE REQUIRED TO INCLUDE A LOT OF EXPLANATIONS.

FOR THE CITY THAT SUBMITS TO THE GFOA, THERE IS GFOA REVIEWERS THAT REVIEW THAT. YOU KNOW, YOU CAN'T JUST SAY GENERAL FUNDS, FUND BALANCE INCREASE.

YOU HAVE TO SAY WHY IT INCREASED.

AND THEN IF IT DECREASED, AS WELL AS THE WATER FUNDS AND SUCH. THERE IS BUDGETARY INFORMATION IN THERE. WHILE AMENDMENTS WERE DONE.

AND THEN THE FINAL THING WHICH IS VERY INTERESTING.

THE ECONOMIC FACTORS IN NEXT YEAR'S BUDGETS AND RATES.

THERE IS A LENGTHY SECTION THAT KIND OF EXPLAINS WHAT IS ANTICIPATED WHEN THE CITY'S ACTIVE ACTIVITIES-- UP AND COMING IN THE FISCAL YEAR. THAT PROVIDES BOND AGENCIES TO KNOW WHAT'S HAPPENING IN THE CITY OF VICTORIA.

I'M OPEN TO ANY QUESTIONS. I APPRECIATE Y'ALL HAVING ME HERE TONIGHT. AND I APPRECIATE THE CITY'S COOPERATION DURING THE PROCESS. I MEAN, WE SAY IT IS ABOUT A TEN-MONTH PROCESS. THIS AUDIT.

WE APPRECIATE THEIR COOPERATION DURING THIS TIME.

>> THANK YOU. PROBABLY FELT LIKE TEN MONTHS

WAITING TO DO THE PRESENTATION. >> IT IS GOOD INFORMATION.

I LIKE TO HEAR IT. >> YOU TRY TO SKIP A SECTION OF THE MEETING. DIDN'T YOU?

>> I DID. >> WELL, THANK YOU.

AND MR. JANECEK, THANK YOU FOR GETTING UP AND TALK ABOUT THAT WORKING CAPITAL. I WAS GETTING READY TO PULL OUT THE DRAINAGE STUDY AND START REELING OUT THE PROJECTS FOR $90

MILLION. >> YEAH.

>> DO WE HAVE ANY FURTHER QUESTIONS? THANK YOU Y'ALL. ANY OTHER COMMENTS TONIGHT?

* This transcript was compiled from uncorrected Closed Captioning.