Sep 09, 2025 Special City Council

[A. CALL TO ORDER]

[00:00:11]

>>> GOOD EVENING, EVERYONE, WELCOME TO A SPECIALLY CALLED MEETING OF CITY COUNCIL FOR TUESDAY, SEPTEMBER 9TH. PLEASE

CALL THE ROLL. >> YES, SIR. COUNCILMAN DELAGARZA ? CANCEL MAN KIDDER? COUNCILWOMAN BUTLER ? SCOTT?

YOUNG ? LOFGREN ? >> 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. PLEASE BE SEATED.

ALL RIGHT. WELCOME, EVERYONE, AGAIN, IT'S A SPECIALLY CALLED MEETING, AND WE WILL JUMP INTO OUR AGENDA. STARTING WITH ITEM B1. MR. DELAGARZA? ANYTHING THIS EVENING? ALL RIGHT. GREAT ANSWER.

[4. Citizen Communication:]

SEE YOU. DOING WELL. THANKS. >> JAMES COLLINS, PRESIDENT THANK YOU FOR EVERYONE WHO MADE THE VOTE TONIGHT FOR THE CITY BUDGET INCLUDING A PAY PLAN THAT PUTS VICTORIA ON BETTER FOOTING TO RETAIN POLICE OFFICERS AS POSSIBLE. SPECIFICALLY I WOULD LIKE TO THANK THE MAYOR WHO PROMISED TO MAKE COMPENSATION A PRIORITY. I WOULD ALSO LIKE TO THANK COUNCILMAN RICKY DELAGARZA, COUNCILWOMAN APRIL BUTLER, FOR YOUR SUPPORT OF THOSE WHO SERVE VICTORIA , YOU HAVE BEEN UNWAVERING. THANK YOU, CANCEL MAN LOFGREN, COUNCILMEN DELAGARZA , AND COUNCILWOMAN BUTLER. THANK YOU TO COUNCILMAN SCOTT, KIDDER. THANK YOU, CITY MANAGER GARR IS THAT, FOR PRIOR NOTORIOUS I -- PRIORITIZING -- TIME TO HAVE CONVERSATIONS WITH US AS THIS PLAN DEVELOPED. AND THANK YOU TO-- YOUNG PUSHING FORWARD IN MEETINGS WITH ALL OF YOU IN THE COMMUNITY.-- RECOGNIZES THE VITAL ROLL YOUR POLICE OFFICERS PLAY, THE TREND TO YOUR OFFICERS PLAY . EAGER CADETS TO OUR ACADEMY AND EFFECTIVE LICENSED PERSONNEL.

AND AS WE MOVE FORWARD LET'S KEEP THIS MOMENTUM. MAY GOD

BLESS YOU. >> THANK YOU, MR. COLLINS. THAT

[1. Budget Public Hearing. Wesley Janecek, Finance Director]

WILL BEGIN WITH ITEM C 1. >> ITEM C 1 IS A PUBLIC BUDGET

HEARING. >> VERY GOOD. THEN I WILL OPEN THE PUBLIC HEARING ON ITEM C1, WHICH IS ON THE PROPOSED BUDGET.

IF THERE IS ANYONE WHO WISHES TO ADDRESS COUNSEL ON THIS ITEM

[2. Public Hearing on the 2025-2026 City of Victoria Tax Rate. Wesley Jane...]

>> 2025-2026 VICTORIA CITY TAX RATE.

>> I WILL OPEN THE PUBLIC HEARING ON ITEM C2 IF THERE IS ANYONE WHO WISHES TO ADDRESS THE COUNSEL ON THIS MATTER. SEEING

[1. Adoption of Minutes of the regular meeting held on September 2, 2025. ...]

>> ADOPTION OF THE REGULAR MINUTES OF THE MEETING HELD ON

SEPTEMBER 2ND, 2025. >> I HAVE A MOTION AND A SECOND.

[1. Water System Review Subcommittee Update . Duane Crocker, Mayor]

WE WILL JUMP DOWN BEFORE WE GET TO ACTION ITEMS WE WILL GO TO OUR WORK SESSION. SO WE WILL BEGIN WITH ITEM G1, WHICH IS A WATER SYSTEM REVIEW SUBCOMMITTEE UPDATE. MR. GARZA, YOU HAVE SOME

[00:05:03]

INFORMATION FOR US? >> GOOD EVENING, MAYOR AND COUNCIL . THIS UPDATE IS SPECIFICALLY FOCUSED ON THE SOLUTION AND THE NEXT STEPS THAT HAVE BEEN IN THE WORKS SINCE THE NOTICES WE EXPERIENCED, SO I AM LITERALLY GOING TO JUMP RIGHT INTO IT UM-- LAST MONTH THE SOLUTIONS FOCUSED AROUND PEOPLE PROCESS EQUIPMENT TECHNOLOGY AND THINGS OF THAT SORT . SO I WANT TO SHARE WITH YOU AN UPDATE ON WHERE WE ARE ON EACH OF THOSE ITEMS. I WILL BEGIN BY-- IT'S NOT WORKING, JAMES-- OKAY, THANK YOU. UM-- I AM GOING TO BEGIN EACH OF THESE SECTIONS BY SHOWING YOU THE SAME SLIDE I SHARED LAST MONTH AS A STARTING POINT. LAST MONTH UNDER THIS CATEGORY WE TALKED ABOUT THE NEED TO IMPROVE THE OVERSIGHT AND MANAGEMENT OF THE PLANT. WE DISCUSSED CHALLENGES DUE TO SHORT STAFFING AND KEY VACANCY WE HAVE IN SURFACE WATER TREATMENT PLANT MANAGER. THE PERMANENT LONG-TERM SOLUTION THAT WE ARE EMBARKING ON RELATED TO THE DAILY OVERSIGHT IS REALLY JUST CHANGING WHERE WE PLACE THE RESPONSIBILITY OF THE SURFACE WATER TREATMENT PLANT. ON THE LEFT I KNOW IT'S HARD TO SEE, BUT ON THE LEFT IT SHOWS WHAT PREVIOUSLY THE ORGANIZATIONAL CHART LOOK. IN ESSENCE WE HAVE MAINTENANCE MANAGERS THAT REPORT TO THE PUBLIC WORKS DIRECTOR AND THE SURFACE WATER TREATMENT PLANT REPORTS TO ONE OF THOSE OPERATION MAINTENANCE MANAGERS WHICH IS A UTILITY CENTRIC MANAGER. THIS CREATES AN EXTRA STEP IF YOU WILL, BETWEEN THE SURFACE WATER TREATMENT PLANT AND PUBLIC WORKS LEADERSHIP. AND SO THE CHANGE WE THINK WILL MAKE A BIG DIFFERENCE IS TAKING ADVANTAGE OF A RECENT REORGANIZATION THAT HAD NOTHING TO DO WITH THE BOW WATER NOTICES-- REPORT DIRECTLY TO THE ASSISTANT DIRECTOR IN ADDITION TO HAVING THAT UTILITY CENTRIC OPERATIONS MANAGER REPORT DIRECTLY TO PUBLIC WORKS LEADERSHIP WE THINK THIS REALLY IMPROVES THE LINES OF OVERSIGHT AND COMMUNICATION BETWEEN MANAGEMENT AT THE PLANT AND PUBLIC WORKS LEADERSHIP BASICALLY ELIMINATING A LEVEL.

UM-- THIS CREATES AN OPPORTUNITY FOR PUBLIC WORKS LEADERSHIP TO IMPROVE UPON THE COLLABORATION THAT IS REQUIRED BETWEEN THE SURFACE WATER TREATMENT PLANT, AND THE DIVISION-- YOU RECALL DURING THE OVERVIEW LAST MONTH WE EXPRESSED HOW-- DIVISION IS CRITICAL TO BACKFILL WHEN WE ARE SHORT STAFFED AT THE SURFACE WATER TREATMENT PLANT. WE IDENTIFIED THAT COLLABORATION NEEDS IMPROVEMENT . BY PLACING THOSE WHO REPORT DIRECTLY TO LEADERSHIP WE KNOW THIS WILL MAKE A DIFFERENCE. AND THIS IS POSSIBLE BECAUSE OF THE PEOPLE. WE KNOW THAT GREG WHO WAS OUR OPERATION MANAGER IS CRITICAL TO THIS. WE ARE ALSO IN THE PROCESS OF DOING AN INTERNAL PROMOTION-- TO THAT VACANT OPERATIONS MANAGER POSITION BOTH WE FEEL EXTERNALLY CONFIDENT AND HAVE A HIGH LEVEL OF TRUST IN THOSE INDIVIDUALS TO ENSURE THERE IS ADEQUATE COLLABORATION AND ADEQUATE OVERSIGHT OF THE SURFACE WATER TREATMENT PLANT. AS A RELATES TO THE VACANCIES WE TALKED LAST MONTH ABOUT THE IMPORTANCE OF CROSS TRAINING .

I'LL GET TO THAT IN A LATER SITE WHEN I PROVIDE OVERVIEW AND WHERE WE ARE WITH TRAINING. WE DISCUSSED LAST MONTH THE NEED TO THINK CREATIVELY ABOUT HOW WE SUPPLEMENT STAFF DUE TO THE VACANCIES AT THE SURFACE WATER TREATMENT PLANT . WHAT WE'VE REALIZED SINCE LAST MONTH IS THAT RATHER THAN FOCUSING ON TRYING TO CREATE SOME KIND OF AUXILIARY BENCH OF INDIVIDUALS TO HELP WHENEVER WE ARE SHORT STAFFED WE REALIZED THAT BECAUSE OF THE IMPORTANCE OF THE WORK THAT SURFACE TREATMENT, MEANING THEY ARE SAMPLING THAT NECESSITATES A LOT OF UNDERSTANDING OF HOW TO DO IT AND KEEPING UP WITH THE BEST PRACTICES ON HOW TO DO IT. RATHER THAN BACKFILLING THROUGH SOME EXTERNAL MECHANISM THE VACANCIES AT THE SURFACE WATER TREATMENT PLANT WE WANT TO FOCUS ON USING THE UTILITIES DIVISION WHOM OUR EMPLOYEES WE CAN HOLD ACCOUNTABLE , PROPERLY TRAINED, ETC., WE CAN USE THEM TO FILL THE VACANCIES AT THE SURFACE WATER TREATMENT PLANT AND FOCUS ON THINGS THEY DO . THE UTILITIES DIVISION FOCUSES ON ADDRESSING WATER LEAKS, BREAKS, AS WELL AS SUPPLEMENTING SURFACE WATER TREATMENT PLANT. WE WOULD RATHER HAVE FOLKS TAKING SAMPLES BE OUR INDIVIDUALS WHO NO-- WHO WE TRUST. YOU RECALL SEVERAL ONCE AGO THERE WAS A CONTRACT REPRESENTED ON WHERE WE DID THAT, SO EXPECT TO SEE MORE OF

[00:10:11]

THE ABSENCE OF STANDARD OPERATING PROCEDURES YOU ARE RELYING ON EXPERIENCE. ON AVERAGE CURRENTLY THE SURFACE WATER TREATMENT OPERATORS HAVE ONLY BEEN WITH US FOR AN AVERAGE OF THREE OR FOUR YEARS. SO, WE NEED TO BE INTENTIONAL WITH RETAINING OUR EXPERIENCED FOLKS, BECAUSE THEY ARE CRITICAL TO ENSURING THAT THE KNOWLEDGE IS PASSED DOWN AND CRITICAL TO THE EXERCISE WE ARE CURRENTLY UNDER WHICH IS CREATING THOSE FORMALIZED STANDARD OPERATING PROCEDURES. ALL IN ALL $207,000.

I WANT TO DRAW YOUR ATTENTION TO THE TABLE ON THE RIGHT. I WILL WALK YOU THROUGH THAT IN A LITTLE BIT. WHAT YOU SEE ON THE LEFT IS JUST EXAMPLE OF SOME OF THE POSITIONS. WE HAVE ROUGHLY 90 POSITIONS THAT ARE UTILITY CENTRIC FUNDED POSITIONS. WHAT YOU SEE ARE POSITIONS WE ARE SEEING THE VACANCIES, AND THAT OF COURSE PLEASE MAINTENANCE WORKER POSITIONS, MAINTENANCE OPERATORS , ETC. WHAT YOU SEE IN THE COLUMN FOR ORIGINAL IS ALREADY INCLUDED IN THE BUDGET AND WAS ALREADY PART OF THE RECOMMENDATION THAT CAME FROM THE COMPENSATION COMMITTEE. AND SO WE ALREADY WERE SUGGESTING 87% INCREASE TO THE MAINTENANCE WORKER POSITION. WE WERE ALREADY RECOMMENDING A PAID BUMP OF ANYWHERE FROM 2%-A PERCENT FOR EQUIPMENT OPERATOR AND SO FORTH.

OPERATOR POSITIONS AT THE SURFACE WATER TREATMENT PLANT AND THE WASTEWATER TREATMENT FACILITIES THAT RECOMMENDATION WAS SLIM TO NONE. SOME OF THAT DRIVEN BY THE MARKET DATA, UM-- AND SO I KNOW WHEN WE MET WITH THE COMPENSATION COMMITTEE YESTERDAY THEY HAD SOME QUESTIONS ABOUT THE MARKET DATA, AND WE CERTAINLY HAVE MARKET DATA THAT SUGGESTS THAT WHAT WE ARE CURRENTLY PAYING FOR THOSE POSITIONS FALLS WITHIN THE RANGE OF WHAT THE MARKET DATA SUGGESTS, HOWEVER, WE STILL HAVE VACANCIES, RIGHT? SO CLEARLY BEING AT MARKET IN THE MARKET RANGE IN THOSE POSITIONS ISN'T ENOUGH TO ATTRACT AND RETAIN FOR THOSE POSITIONS. SO THAT'S SOMETHING TO BE MINDFUL OF. ON THE RIGHT-HAND SIDE UNDER THE UPDATED COLUMN YOU SHOW WHAT THE NEW TOTAL PERCENTAGE INCREASES ARE FOR THOSE POSITIONS. UTILITY MAINTENANCE WORKER WE ARE RECOMMENDING BEING MORE AGGRESSIVE. CURRENTLY THAT POSITION STARTS OFF AT $3000 PER YEAR. WE ARE NOW RECOMMENDING BE MORE AGGRESSIVE CHANGING THAT TO $38,000 PER YEAR, A 15% PAY BUMP, SO ON SO FORTH. ON THE RANGES, THE RANGES DEPENDS ON THE INDIVIDUAL UM-- SOME INDIVIDUALS HAVE BEEN WITH US LONGER OVER THE COURSE OF THE YEARS HAVE ALREADY RECEIVED ADJUSTMENTS, AND SO ADJUSTING THEM IS NOT AS COSTLY AS ADJUSTING SOMEBODY THAT HASN'T BEEN WITH US AS LONG AND NECESSITATES A LONGER GAP TO

[00:15:04]

THE MORE AGGRESSIVE RECOMMENDATION HAS THAT RANGING FROM 2%-12%. THERE IS ONE INDIVIDUAL'S -- I THINK LORENZO DESERVES IT. LORENZO HAS BEEN WITH OUR PLANT LITERALLY OVER 50 YEARS. HE LOOKS 35, BUT HE'S BEEN WITH US FOR OVER 50 YEARS.

HE IS A GREAT GUY. BUT, LOSING SOMEBODY WHO HAS BEEN WITH US FOR 50 YEARS WOULD BE DETRIMENTAL TO THAT OPERATION.

HE PLAYS A CRITICAL ROLL IN ENSURING THAT FOLKS AT THE REGIONAL WASTEWATER TREATMENT PLANT ARE UP TO SPEED WITH WHAT THEY NEED TO DO. HIS EXPERIENCE IS DECEIVING WHEN WE LOOK AT IT.

SOME OF YOU MAY RECALL THE CITY TOOK OVER THE REGIONAL TREATMENT FACILITY FROM GBRA. IT WILL SHOW HE HAS BEEN WITH US 28-25 YEARS, BUT HE HAS BEEN WITH THE RENT 25 YEARS BEFORE WE TOOK OVER. IN HIS INSTANCE RIGHT, HE COULD RETIRE TOMORROW. SO WE WANT TO BE INTENTIONAL WITH ENSURING WHEN WE KEEP SOMEONE LIKE LORENZO. PROPOSING A GOOD PAY BUMP FOR HIM WOULD ACHIEVE US KEEPING HIM AROUND. AND SO THAT IS ONE EXAMPLE OF A SPECIFIC INDIVIDUAL WHO IS OF HIGH VALUE FOR US. TO PREVENT FROM RETIRING WE NEED TO BE AGGRESSIVE WITH THAT AND BE INTENTIONAL WITH THAT. SO SOME OF THE RECOMMENDED POSITIONS THAT EVER SUPERVISOR OR CREW LEADER AND ABOVE THAT WE ARE TRYING TO BE MORE AGGRESSIVE WITH WERE INTENDED FROM A RETENTION STANDPOINT.

>> SO, I WILL MOVE ON FROM THAT ASPECT OF IT. BUT HAPPY TO ANSWER ANY QUESTIONS AT ANY POINT RIGHT AWAY. ANY QUESTIONS ON THAT? OKAY. IF YOU ARE WONDERING, I FORGOT TO MAKE THIS POINT. WHERE IS THAT $207,000 COMING FROM? WE HAD A BRIEF CONVERSATION BEFORE THE MEETING THAT KEEP IN MIND THIS IS UTILITIES DIVISION. OUR UTILITIES DIVERSION IS FUNDED BY RATEPAYERS, NOT TAXPAYERS. THOSE ARE TWO DIFFERENT THINGS. LATER WHEN I GO THROUGH THE PRESENTATION GIVING YOU AN OVERVIEW OF THE PROPOSED BUDGET I HAVE A VERY SPECIFIC SLIDE I WANT TO REFERENCE TO SPECIFICALLY SHOW YOU WHERE THAT $207,000 IS COMING FROM. BASICALLY IT'S COMING FROM WORKING CAPITAL IN THE UTILITY FUND. AGAIN I WILL SHOW YOU MORE SPECIFICALLY WHERE THAT IS IDENTIFIED IN MY BUDGET PRESENTATION. MOVING ON TO THE PEOPLE AND PROCESS SECTION. THIS SLIDE WE INCLUDED LAST MONTH AND WHERE WE TALKED ABOUT OUR TEXAS OPTIMIZATION PROGRAM . WITH TEXAS UTILITIES AND ENVIRONMENTAL MIKE HAS BEEN DOING A GREAT JOB AND OVERSIGHT WITH ASSISTANCE OF THE SURFACE WATER TREATMENT PLANT IN ABSENCE OF HAVING A MANAGER UM-- HE HAS ALSO DONE A GREAT JOB IN CONDUCTING EVALUATIONS AND RECOMMENDATIONS AROUND OUR GENERAL OPERATING PROCEDURES AS WELL AS OUR EMPLOYEES. EVERY EMPLOYEE IS DIFFERENT IN HOW THEY APPROACH THE JOB, AND THEIR LEVEL OF TRAINING, SO HE HAS BEEN VERY SPECIFIC WITH RECOMMENDATIONS ON WHICH INDIVIDUAL EMPLOYEE NEEDS TO GET TO THE LEVEL WE NEED TO BE. HE HAS PROVIDED TRAINING ON CAPTURING RESIDUALS FOR FIELD TESTING HAS PROVIDED TESTING ON PROPER CALIBRATION. THAT OBVIOUSLY IS VERY IMPORTANT. THE ABSENCE OF HAVING STANDARD OPERATING PROCEDURES, WE HAVE REALIZED IT CREATES OPPORTUNITIES FOR THINGS JUST BEING DONE DIFFERENTLY AMONGST OPERATORS, AND IT'S IMPORTANT , AND HE IS HELPING US DO THAT ACROSS THE BOARD. THE PARTNERSHIP HAS ALREADY KICKED OFF. SO THERE HAS BEEN A COUPLE TRAININGS THAT HAVE BEEN COMPLETED. THE TEAM FROM TC Q BASED OUT OF HOUSTON, THEY HAVE PROVIDED TWO TRAININGS. THOSE ARE THE ONES ON THE LEFT. THOSE HAVE FOCUSED ON ENSURING THEY PROVIDE SOME GUIDANCE ON HOW WE ANALYZE DATA, TRIGGERS PROCESS CONTROL, FLUSHING, MODERATING, REPORTING. THINGS THAT MIGHT

[00:20:03]

SO THAT HAS BEEN A REALLY NEAT THING THAT HAS COME FROM THIS OPPORTUNITY WITH THE TEXAS OPTIMIZATION PROGRAM. THEY ARE PLANNING ON COMING BACK NEXT WEEK AS WELL AS NEXT MONTH TO DO ADDITIONAL TRAINING. THAT IS SCHEDULED IN THE BOOKS. IN THE OCTOBER 4TH TRAINING, AND YOU CAN SEE IN PARENTHESES, WE WANT TO INCORPORATE EMPLOYEES FROM OUR WASTEWATER TREATMENT PLANTS, BECAUSE IT IS IMPORTANT THAT WE LEARN FROM WHAT HAPPENED AT THE SURFACE WATER TREATMENT PLANT AND APPLY ENSURING WE HAVE ADEQUATE REPORTING, NOT ONLY AT THE SURFACE WATER TREATMENT PLANT, AT THE WASTEWATER TREATMENT PLANTS AS WELL. SO THEY WILL BEGIN TO PARTICIPATE IN THESE TRAININGS AS WELL.

>> ON THE TOPIC PROCESS, EQUIPMENT AND TECHNOLOGY, WE SHARED IDEAS ON HOW TO JUST IMPROVE IN THESE CATEGORIES. SO WE TALKED ABOUT AUTOMATED FLUSHES. I HAVE AN UPDATE FOR YOU ON THAT. WE TALKED ABOUT THE NEED FOR MODERNIZATION OF SOFTWARE WE USE BECAUSE OF THE MANUAL PROCESS THAT HAS EXISTED ON HOW WE TRACK SAMPLING DATA. WE OBSERVED THE DATA IS TRAPPED IN A NOTEBOOK. AND UNLESS YOU ARE FLIPPING THROUGH THE NOTE IT CAN BE DIFFICULT TO TRACK TRENDS. SO WE WANT TO USE SOFTWARE TO DO THAT. WE TALKED ABOUT HOW LANDSCAPE CAN ACHIEVE SOME OF THESE ELEMENTS. I WANT TO PROVIDE AN UPDATE ON THE AUTO FLASHERS. BUT, WE DID ORDER AND RECEIVE AN ADDITIONAL 12 AUTO FLASHERS THAT WERE INSTALLED SHORTLY AFTER RECEIVED AUGUST 25TH. THEY ARE OUT IN THE SYSTEM . THAT IS THE MAP ON THE LEFT.

SO YOU WILL NOTICE THE BLUE OR EXISTING AUTO FLASHERS WE HAVE, AND THE RED ORANGE COLOR ARE THE NEW ONES. HE WILL NOTICE THERE IS A THEME THAT THEY ARE BEING PLACED AT THE X REMEDIES OF THE SYSTEM FOR THE MOST PART, BECAUSE WE KNOW THOSE ARE THE AREAS OF THE LOWEST CONSUMPTION, SO WE WANT TO BE MORE INTENTIONAL WITH THAT. IN ADDITION TO INSTALLING THEM THERE HAS BEEN AN S.O.P.-- ANY ISSUE THAT MIGHT TAKE PLACE. OUR I.T. GUY IS WORKING ON A SOLUTION THAT COULD HELP BRIDGE THE GAP AND HEAVY INFORMATION GETS COMMUNICATED. SO THEY ARE WORKING ON A MAKESHIFT SOLUTION THAT COULD POTENTIALLY ADD A MONITOR TO THE AUTOMATED FLUSHES THAT COULD SEND DATA SO IT DOES NOT MANUALLY HAVE TO BE CHECKED. IT COULD BE-- IT COULD BE DONE REMOTELY . ONE OF THE THINGS THAT ALSO HAS BEEN RELEASED OVER THE COURSE OF LAST MONTH AND A HALF IS WITH THE INCREASED FREQUENCY OF SAMPLING. YOU MAY RECALL I WAS MENTIONING THAT WE HAVE GONE AWAY FROM WEEKLY TESTING OF CHLORINE RESIDUALS AT WATER TOWER IS TO DAILY UM-- THAT HAS BEEN CHANGED TO ACTUALLY TWICE PER DAY. AND SO STAFF HAS BEGUN BEING MORE AGGRESSIVE WITH HOW OFTEN THEY SAMPLE. WITH THAT THERE HAS BEEN A REALIZATION THAT TAKES UP A LOT OF STAFF TIME. AND SO ONE OF THE OPPORTUNITIES THAT STAFF IS IN THE PROCESS OF LOOKING INTO IS ADDING SOME CHLORINE ANALYZERS AT OUR WATER TOWERS AS WELL AS WATER PLANT THREE WHICH WOULD BASICALLY HELP FACILITATE THE SAMPLING WITHOUT IT NEEDING TO BE AN INDIVIDUAL GOING TO EACH OF THOSE SITES. THE MAP SHOWS YOU THE LOCATION OF WATER TOWERS AND PLANT THREE TO GIVE YOU A SENSE OF WHERE THOSE CHLORINE ANALYZERS ARE LOOKING TO BE INSTALLED. THEY HAVE NOT BEEN ORDERED. WE ARE WORKING ON THAT PAT-- BUT HAVING THE ANALYZERS WILL HELP SIGNIFICANTLY. ON THE SOFTWARE MODERNIZATION FRONT I HAVE GOOD NEWS AS IT RELATES TO THE DATA.

LAST MONTH WE SHARED HOW IT HAS BEEN ONE OF THE PROJECTS THAT

[00:25:06]

THAT SOFTWARE WOULD ALLOW PUBLIC WORKS LEADERSHIP TO BASICALLY ESTABLISH PARAMETERS TO WHERE THE SYSTEM COULD AUTOMATICALLY CREATE A WORK ORDER TO SEND IT TO STAFF IF SOMETHING WAS OUT OF , OUT OF SYNC. VERY GOOD ENHANCEMENT ON THE SOFTWARE FRONT. SO AGAIN JUST HAVING BETTER OVERSIGHT AND NOT JUST RELYING ON THE HUMAN ELEMENT. THAT'S IN THE WORKS. WE DON'T HAVE AN ESTIMATED TIMELINE OF COMPLETION ON THAT. IN THE MEANTIME STAFF CONTINUES TO WEAN ON UTILIZING SHARED FILES. SO THE PUBLIC WORKS LEADERSHIP CAN ACCESS THE RESULTS OF THE SAMPLING DATA WITHOUT PHYSICALLY GOING TO THE PLAN AND FLIPPED THROUGH A BOOK. AND OF COURSE NEXT STEPS VERY SIMILAR TO THE STEPS WE SHARED LAST MONTH, BECAUSE WE WANT TO PRIORITIZE PROCESS IMPROVEMENTS. WE ARE FOCUSED ON THE IMPLEMENTING OF THE RECOMMENDATIONS THAT HAVE COME FORWARD FROM TEXAS ENVIRONMENTAL AND OTHERS AS WELL AS OF COURSE THE RECOMMENDATIONS ON THE SOFTWARE THAT WE HAVE DECIDED ON AND ARE WORKING ON IN DEVELOPMENT. I KNOW ONE OF THE BIGGEST PIECES IS THE CREATION OF A FINAL REPORT. THAT IS SOMETHING WE WILL HAVE TO PARTNER WITH EVERY COMMUNICATIONS DEPARTMENT ON, BECAUSE THEY HAVE THE EXPERTISE TO PUT A NICE DOCUMENT TOGETHER.

SO I THINK WE ARE FINALLY AT THAT POINT WERE WE WILL BE ENGAGING WITH THEM TO HAVE THEM HELP PUT THAT TOGETHER FOR US. I AM HAPPY TO ANSWER QUESTIONS YOU MIGHT HAVE, OR IF MEMBERS OF THE SAID SUBCOMMITTEE WOULD LIKE TO ADD ANYTHING--

>> I WILL JUST SAY THANK YOU FOR THAT UPDATE, MR. GARZA. THIS HAS BEEN A COMPREHENSIVE OVERVIEW. AND IN DOING THAT AS MR. GARZA MENTIONED-- WHAT OTHER DEPARTMENTS CAN WE LOOK AT UPGRADING THROUGH THIS PROCESS AS YOU MENTIONED MAKE SURE S.O.P. IS AT THE WASTEWATER TREATMENT, THAT WE ARE LOOKING AT THAT AS WELL. I THINK COMING OUT OF THIS IN MY OPINION I THINK THE COMMITTEE HAS DONE A THOROUGH JOB OF IDENTIFYING WITH THE ISSUES WERE NOT ONLY WITH THE ISSUES THAT LED TO THE BULL WATER NOTICES, BUT THE ISSUES AND CHALLENGES WE HAVE IN TERMS OF IMPROVEMENTS, AND I THINK THE SOLUTIONS THAT HAVE BEEN IDENTIFIED AND BROUGHT TO US BOTH BY STAFF, BY THIRD PARTIES, I THINK HAS BEEN OUTSTANDING IN TERMS OF ADDRESSING THOSE ISSUES. SO I THINK WE ARE DEFINITELY ON TRACK IN THE RIGHT DIRECTION. HOPEFULLY WE CAN GET ALL THIS IMPLEMENTED AND MOVE FORWARD. SO -- THANK YOU, MISS SCOTT -- MR. SCOTT AND MISS

BUTLER. ANY OTHER QUESTIONS? >> HOW DO I FOLLOW THAT WITH JUST REGULAR QUESTIONS FLUSHES, THE DAVE WATER MIXERS, THE SOFTWARE, THOSE ENCUMBERED

[00:30:01]

IN THE '26 BUDGET SO WE KNOW? >> SO FAR THEY HAVE BEEN

ENCUMBERED IN FISCAL YEAR '25. >> OKAY, I JUST WANTED TO KNOW IF WE WOULD BE LOOKING AT THAT FOR '26.

>> AT THIS TIME THERE IS NOTHING SPECIFIC WE ARE AWARE OF. YOU MENTIONED TO BE AUTOMATED MIXERS. THAT IS SOMETHING STAFF WILL LOOK INTO AS WELL. THAT MIGHT BE AN ELEMENT THAT WOULD NEED TO COME FORWARD. BUT KEEP IN MIND EVERY YEAR THE UTILITY OPERATION HAS MONEY ALREADY SET ASIDE FOR MAINTENANCE ISSUES OR WHAT ARISES THROUGHOUT THE YEAR. FOR EXAMPLE HOW WE WERE ABLE TO REQUIRE THESE FLASHERS WAS SIMPLY TAPPING INTO A BUDGET LINE ITEM THEY HAVE , THAT THEY TAP INTO THROUGHOUT THE YEAR WHEN ISSUES ARISE. WITH THE BEGINNING OF A NEW FISCAL YEAR, IT'S A FRESH OF MONEY IF YOU WILL , THAT THEY COULD POTENTIALLY ACCESS. IF THE COST OF SOMETHING IS JUST TOO EXTRAVAGANT THAT WE THINK MIGHT NOT BE PRUDENT TO TAP INTO THAT MONEY . LET'S SAY SOMETHING COMES UP, THAT'S A CONVERSATION WE CAN HAVE, BUT AT THIS TIME THERE IS NOTHING SPECIFIC WE

KNOW OF. >> I KNOW YOU MENTIONED A FINAL REPORT AND NEEDING TO PULL THAT TOGETHER WITH MEDICATIONS, IS THERE AN ESTIMATED TIMELINE OR WHEN THAT CAN BE EXPECTED?

>> OUR FOCUS IS FINALIZING THE BUDGET, COMMUNICATIONS DEPARTMENT IS FOCUSED ON DEVELOPING A FLYER AND JUST FOCUSED ON ROLLING THAT OUT, BUT I SUSPECT IT COULD BE SOMETHING

THAT COULD TAKE A MONTH OR TWO. >> I THINK AS PART OF THAT REPORT WE AT LEAST WANT MORE CLARITY ON THE IMPLEMENTATION OF THE DATA AND WHAT THAT MAY LOOK LIKE. WE DON'T NECESSARILY HAVE TO GET INTO THE NITTY-GRITTY, THAT WILL BE PART OF THE ONGOING. BUT WE NEED A CLEAR PICTURE TO PLUG IN THERE, SO THAT WILL BE PART OF THE PROCESS AS WELL.

>> I SUSPECT THERE WILL BE ELEMENTS IN THAT REPORT THAT HIT ON OTHER THINGS LIKE OUR ACTUAL INFRASTRUCTURE, AND JUST THINGS WE KNOW WE NEED TO CONTINUE TO LOOK AT BUT WEREN'T NECESSARILY THE DRIVING FACTORS OF WHAT HAPPENED. CLEARLY THE DRIVING FACTORS WERE THE PEOPLE, THE PROCESS, THAT'S BEEN OUR FOCUS OF THESE UPDATES, BUT THERE HAS BEEN FOR STATIONS ON SOME OVERARCHING CHALLENGES WE HAVE IN OUR SYSTEM. AS AN EXAMPLE EVER WATER PLANT-- OUR WATER TOWER NUMBER THREE IS OUR OLDEST WATER TOWER , AND THAT WATER TOWER IS THE SOURCE OF MANY OF OUR RESIDUAL CHALLENGES UM-- WHICH CAN BE MITIGATED BY SIMPLY STAYING ON TOP OF IT, BUT IF WE KNOW THAT WATER TOWER IS A SOURCE OF A CHALLENGE FOR US, THEN IT PROBABLY BEHOOVES US TO EXPLORE A LONG-TERM SOLUTION THAT ADDRESSES THAT, RIGHT? BUT THEN, BUT THAT LEADS INTO A MORE HOLISTIC CIP CENTRIC CONVERSATION THAT IS A LITTLE MORE BROADER THAN THE LOW HANGING FRUIT ELEMENTS THAT CAN IMPROVE THE OPERATION JUST TO

GIVE YOU AN EXAMPLE. >> VERY GOOD. ANY OTHER

QUESTIONS? >> I WOULD LIKE TO THANK THE COMMITTEE. I THINK IT'S IMPRESSIVE, THAT AGGRESSIVENESS YELL HAVE TAKEN ON THIS. I AM SURE THE CITIZENS OF VICTORIA APPRECIATE IT. MY CONSTITUENTS HAVE VOICED THEIR APPRECIATION.

THANK YOU FOR GETTING YOUR VOICES IN ON THIS.

[1. An ordinance approving and adopting a budget for the Fiscal Year begin...]

>> THANK YOU VERY MUCH. ALL RIGHT. WE WILL JUMP BACK THEN INTO ACTION ITEMS. WE WILL GO TO ITEM D1.

>> ORDINANCE APPROVING AND ADOPTING A BUDGET FOR FISCAL YEAR-- E1 OCTOBER 1ST 2025 AND THE TOTAL AMOUNT OF 255 MILLION-- $255,286,194 THIS ITEM IS ON FIRST AND SECOND READING.

>> I WILL KEEP IT GOING. YOU WILL GET TO HEAR A LOT FROM ME I SUPPOSE. I THOUGHT IT WOULD BE APPROPRIATE TO PROVIDE A HOLISTIC OVERVIEW OF THE BUDGET. WE NORMALLY DON'T AT THIS PARTICULAR VOTE GO THROUGH IT, AND HAS A GREAT LEVEL OF DETAIL AS I KIND OF WANT TO, BUT THERE WERE CHANGES FROM THE PROPOSED TAX RATE TO WHAT THE FINAL TAX RATE IS. WE HAVE MADE SOME OTHER CHANGES, SO I THOUGHT IT WOULD BE APPROPRIATE TO WALK YOU THROUGH AN OVERVIEW IN ANTICIPATION OF THE VOTE ON BOTH THOSE THINGS TONIGHT. THE OVERALL BUDGET AS A REFRESHER IS

[00:35:02]

THE $207,000 IS COMING FROM. >> ONE OF THE THINGS I KNOW ALWAYS STICKS OUT AND RIGHTFULLY SO, IS WHY IS THERE A DIFFERENCE BETWEEN THE REVENUE BUDGET AND THE EXPENDITURE BUDGET? SO I JUST WANT TO PROVIDE A BRIEF RECAP OF THAT. WE KNOW THAT DELTA STEMS FROM BASICALLY UTILIZING SOME EXCESS CASH WE HAVE, AND WE ALWAYS PRIORITIZE, AND WE NEED TO UTILIZE THIS CASH FOR ONE-TIME EXPENDITURES. SO, THAT IS WHAT WE HAVE DONE HERE.

THAT'S AN OVERVIEW OF WHERE THAT'S COMING FROM. EVERY YEAR WE HAVE SAVINGS FOR LACK OF A BETTER WORD, BECAUSE WE DON'T ALWAYS EXPAND -- EXPEND ALL THE MONEY WE THINK WE ARE GOING TO EXPEND, SO THAT LEADS TO ANY FISCAL YEAR TO BE ABLE TO DO ONE TIME EXPENDITURES. SO THIS IS REFLECTIVE OF THAT. THE PROPOSED BUDGET OF $255 MILLION AS AN INCREASE OF ROUGHLY $61 MILLION COMPARED TO THE FISCAL YEAR OF THE 25 BUDGET THAT IS MAINLY DRIVEN BY CIP, BY OF COURSE THE HISTORIC PAY PROGRAM I WILL WALK YOU THROUGH HERE IN A BIT AS WELL AS A HISTORIC INVESTMENT IN VEHICLES. AND IF WE COULD JUST HOLISTICALLY SUMMARIZE WHAT THE BUDGET STORY IS ALL ABOUT FOR FISCAL YEAR 26 IT WOULD BE THOSE CATEGORIES. SO THOSE ARE THE ONES I WANT TO FOCUS ON.

>> ONE OF THOSE ELEMENTS IS A $79 MILLION CIP PROGRAM. I WON'T NECESSARILY WALK YOU THROUGH THESE CHANGES REFLECTED ON THIS LINE BUT WE DID DISTRIBUTE A SUMMARY OF WHAT THAT $79.25 MILLION IS INCLUSIVE OF, AND AS WE SUMMARIZE UP ABOVE IT'S INCLUSIVE OF $17 MILLION FOR RESIDENTIAL STREETS. IT'S INCLUSIVE OF $9 MILLION FOR DRAINAGE. IT MILLION DOLLARS FOR THOROUGHFARE STREETS AND SO ON. ONE OF THE DRIVING FACTORS WE PLAN PROVIDING AN UPDATE FOR YOU AT AN UPCOMING COUNCIL MEETING.

WE ARE IN THE DIVINE-- DESIGN PHASE OF THAT PROJECT. WE ARE EXCITED TO SHOW YOU THE LATEST AND GREATEST. BUT AS MENTIONED ONE OF THE DRIVING FACTORS ON THE DIFFERENCE BETWEEN FUSS-- FISCAL YEAR '25 AND 26 THE SHOWCASES IN FISCAL YEAR 25 THAT BUDGETED CIP WAS $40 MILLION. SO YOU SEE THE DIFFERENCE COMPARED TO FISCAL YEAR '26. THIS SLIDE HIGHLIGHTS HOW MORE AGGRESSIVE WE HAVE BEEN OVER THE LAST FIVE YEARS AS A RELATES TO STREETS.

WE KNOW THAT'S A BIG PRIORITY FOR YOU AND THE PUBLIC. SO IT'S VERY EXCITING FOR US TO SEE THE INCREASED INVESTMENT IN STREETS AS WELL AS THE INCREASED INVESTMENT IN FACILITIES SUCH AS THE PUBLIC SAFETY HEADQUARTER BUILDING CAPTURED IN FISCAL YEAR

'24. >> THE PAY PROGRAM IS ALSO PART OF A BIG STORY FOR FISCAL YEAR '26. ADJUSTED BY THAT $207,000.

BACK IN AUGUST. 5.5 WAS 5.3-ISH. WE UPDATED THESE SLIDES TO REFLECT THAT ADDITIONAL $207,000. YOU SEE ON THE TOP PART I SHOULD SAY OF THE TABLE, HOW THE PAY PROGRAM ITSELF IS ROUGHLY 3.8. THE PUBLIC SAFETY ELEMENT OF IT IS ROUGHLY 70%.

AND THEN WE GO ON TO HITTING ON SOME OF THE NEW POSITIONS WE PROPOSED. I KNOW THAT ON THE NEW POSITIONS PART I KNOW THAT WITH

[00:40:04]

>> WE ALSO MENTIONED THAT WE WERE DOING AN HISTORIC INVESTMENT IN FLEET. AND SO THIS HIGHLIGHTS THAT. OVER $6 MILLION FOR PUBLIC SAFETY RELATED ACQUISITIONS, THAT INCLUDES NINE POLICE VEHICLES, FOUR AMBULANCES, BUMPERS, RUSH TRUCK BUCKET TRUCK FOR PUBLIC WORKS, THREE AUTOMATED TRUCKS FOR ENVIRONMENTAL SERVICES DEPARTMENT.

>> ON THE REVENUE SIDE THOUGHT IT WOULD BE APPROPRIATE TO UPDATE ALL OF THE USUAL SLIDES WITH THE UPDATED TAX RATE. SO THIS IS AN UPDATED TABLE THAT REFLECTS THE LATEST TAX RATE, SORRY, WRONG SLIDE. THIS IS A REFRESHER ON OUR VALUES, WHICH YOU MAY RECALL DECREASED OVERALL , AND WE SAW SOME INCREASE ON COMMERCIAL BUT SAW A DECREASE IN RESIDENTIAL OF 4.3%. YOU MAY RECALL THAT THE REALITY OF BEING HAVING A NEGATIVE NT AV SIMPLY TO GENERATE THE AMOUNT OF REVENUE FROM LAST YEAR. SO, THIS IS THE ONE I WAS REFERRING TO WHICH UPDATES IT WITH THE 4790.

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

-4.3% DECREASE IN VALUATION. >> I LEFT THIS SLIDE IN TO SHOW WHAT OTHER ENTITIES ARE DOING JUST TO FOCUS ON THE FACT THAT ONE OF THE BIGGEST DRIVING FACTORS WAS THE LACK OF NEW IMPROVEMENTS. I AM NOT NECESSARILY GOING TO TALK TOO MUCH ABOUT IT, BECAUSE WE TALKED A LOT ABOUT IT. BUT I THINK IT'S IMPORTANT TO KNOW THAT WAS ONE OF THE BIGGEST DIFFERENCES BETWEEN OUR APPRAISED VALUES AND OF OTHER ENTITIES IN THE COUNTY.

THIS SLIDE SIMPLY REFLECTS THE UPDATED TAX RATE ALL THE WAY TO THE RIGHT. BUT I THINK IT IS A GOOD OPPORTUNITY TO REMIND YOU THAT THE LAST TIME CITY COUNCIL WAS PUT IN A POSITION TO INCREASE THE TAX RATE ALSO CAME AT A TIME WHEN WE HAD A NEGATIVE TREND 12. TREND 12 AND NEW IMPROVEMENTS AS WELL. ON THE SALES TAX SIDE WE AT THE BOTTOM RIGHT WE ADJUSTED OUR SALES TAX THIS WAS 500,000 SO WE ADJUSTED IT TO NOT BE AS CONSERVATIVE WITH THIS AS A WAY TO FILL THE GAP WITH BY NOT APPROVING THE

[00:45:02]

>> THIS IS AN OVERVIEW OF OUR GENERAL FUND. I WON'T SPEND TOO MUCH TIME ON THIS TO DO TO THE PROPOSED PAY PROGRAMS SINCE ROUGHLY 70% OF THAT IS GOING TO PUBLIC SAFETY PERSONNEL, WHICH AGAIN ARE IN OUR GENERAL FUND. I ALWAYS THINK IT'S IMPORTANT TO HIGHLIGHT UM-- THIS SLIDE, BECAUSE IT REALLY HELPS EXPLAIN WHY WE ARE NOT IN THE POSITION A LOT OF CITIES ARE IN. AND IT ALSO HELPS EXPLAIN HOW HER CONSERVATIVE APPROACH NOT ONLY DOES IT HELP SHIELD US FROM HAVING TO MAKE REDUCTIONS IN SERVICE LIKE OTHER COMMUNITIES ARE HAVING TO DO, BUT IT ALSO INTENTIONALLY SETS US UP TO HAVE THAT EXCESS CASH THAT I TALKED ABOUT EARLIER TO UTILIZE FOR ONE-TIME EXPENDITURES. ALL OF THAT IS INTERCONNECTED, BECAUSE YOU COULD SAY THAT'S GREAT WE HAVE A CUSHION HERE, BUT IT'S TOO BIG OF A CUSHION. LET'S USE THAT CASH FOR SOMETHING. OKAY. BUT THEN THAT IS NOT GOING TO HELP THE CAUSE IN CREATING EXCESS CASH TO FOLLOW, RIGHT? EVERYTHING IS CONNECTED. SO THIS BASICALLY SHOWS ON THE RIGHT-HAND SIDE ON THE RIGHT MOST COLUMN OR BAR THAT A MINIMUM RESERVE IS $16.7 MILLION, AND WE ARE ESTIMATING ENDING IT $20 MILLION. BASICALLY OVER $3 MILLION IN WIGGLE ROOM SHOULD ANYTHING ARISE THROUGHOUT THE FISCAL YEAR. BUT, AGAIN, LEAVING THAT WIGGLE ROOM IS US INTENTIONALLY ENSURING WE HAVE ACCESS CASH GOING INTO FISCAL YEAR '27 FOR ONE-TIME EXPENDITURES WE WILL NEED TO MAKE IN THAT YEAR. ON THE UTILITY FUND THIS HAS BEEN ADJUSTED TO REFLECT THAT 207,000. THE ORIGINAL RECOMMENDATION ON THE EXPENDITURE SIDE SHOWED 42.2-ISH. THAT'S BEEN ADJUSTED 42.4 BECAUSE OF THAT ADDITION OF THE $207,000. AND WHERE THAT MONEY IS COMING FROM, IS FROM THAT EXCESS CASH . AND SO THIS PARTICULAR SLIDE, BACK IN AUGUST 5TH SHOWED AN ESTIMATED WORKING CAPITAL BALANCE OF OVER $10 MILLION. THAT NOW SHOWS 9.8. SO WE TOOK MONEY FROM OUR WORKING CAPITAL TO FUND THE $207,000.

AND, IF YOU ARE WONDERING YOU KNOW, WELL, THAT'S CONCERNING, YOU KNOW, BECAUSE THAT IS NOT RECURRING REVENUE, YOU WOULD BE CORRECT. WE NEED TO MAKE SURE WE ACCOUNT FOR THOSE INCREASES AS PART OF THE UTILITY RATE STUDY THAT WE ARE READY ARE IN THE WORKS FOR. AND WE BASICALLY UTILIZED SOME OF THIS EXCESS WORKING CAPITAL TO BREACH THE GAP BETWEEN NOW AND WHENEVER THE

UTILITY RATE STUDY TAKES PLACE. >> I WANT TO CLARIFY IF YOU LOOK AT OUR OPERATING EXPENSE THERE IS STILL AN EXCESS RECURRING REVENUE OF $2.1 MILLION, SO REALLY THE ADDITIONAL 207,000 IS COVERED BY RECURRING REVENUE. IT'S JUST WE USE MORE EXCESS WORKING CAPITAL OR GO TOWARDS THE ONE-TIME EXPENSES. WHEN YOU SAW THAT SLIDE ON THE USAGE THAT IS WHY THAT NUMBER WENT UP DUE

TO THAT. >> GOT IT. THANK YOU, WESLEY.

>> ON THE ENVIRONMENTAL SERVICES, THIS IS JUST TO HIGHLIGHT THE BIGGEST THING INCLUDED IN THIS BUDGET IS OF COURSE, THE NEW GARBAGE TRUCKS. AND, OF COURSE, THE FACT THAT THIS FUND , DARRELL, AND KRISTI, ARE HELPING FUND NEW AMBULANCES.

WHAT? IT IS NOT DARRELL'S ANYMORE? ALL RIGHT. BUT, THAT DELTA OF ALMOST $3 MILLION IS BECAUSE OF THOSE EXPENDITURES IN TREND 12 -- F.L.E.E.T.-- SHOWCASES OUR FUND BALANCE IN OUR HEALTH FUND WHICH HAS REBOUNDED PRETTY SIGNIFICANTLY

[00:50:02]

AND SO WE ARE EXCITED ABOUT THAT, AS THAT IS AN ENHANCEMENT TO BENEFITS. ON THE HOTEL TAX SIDE, THERE'S NO REAL CHANGE IN THIS COMPARED TO WHAT WE SHOWED AUGUST 5TH. BUT AS A REFRESHER, THIS BUDGET IS ROUGHLY $3 MILLION, WHICH REFLECTS AN INCREASE OF ROUGHLY 1 MILLION MAINLY DUE TO A TRANSFER -- PROJECT. -FEST IS COMING UP, I HOPE YOU PLAN TO ATTEND. AND WE ARE ALSO ACCOUNTING FOR $130,000, THAT OF COURSE GOES TOWARDS OUR PARTNER AGENCIES. AND YOU WILL BE HEARING MORE ABOUT THAT ACTUALLY NEXT WEEK. THIS IS THE SAME SLIDE TO SHOW WE ARE BEGINNING MORE AGGRESSIVE ON THE HOTEL SIDE. YOU'LL NOTICE WITH THE BLUE ARROW IS ON THE BOTTOM WE ARE ESTIMATING AN INCREASE IN OUR HOTEL TAX REVENUE. AND AGAIN ALL IN ALL IT'S A $255 MILLION BUDGET ON THE EXPENSE SIDE I THINK IT'S IMPORTANT TO ALSO REMIND YOU THERE ARE SOME THINGS THAT ARE VERY CRITICAL TO OUR FINANCIAL POSITION THAT WE NEED TO CONTINUE TO WORK ON. IT'S AT OUR COUNCIL WORKSHOP AT THE END OF THIS MONTH WE WILL PROVIDE YOU AN UPDATE ON THE STORMWATER UTILITY IMPLEMENTATION THAT WE BELIEVE IS VERY CRITICAL, JUST LONG-TERM TO NOT ONLY IMPROVE THE SERVICES WE OFFER FOR DRAINAGE, BUT ALSO TO HELP CREATE CASH FLOW IN THE GENERAL FUND AND UTILITY FUND. WE WILL PROVIDE YOU AN UPDATE IN ADDITION WE KNOW WE ARE GOING THROUGH A WATER STUDY THAT WE ARE INTENTIONALLY GOING TO DELAY THE PRESENTATION OF, BECAUSE WE DON'T WANT TO CONFUSE COUNCIL AS WE TALK ABOUT THE STORMWATER UTILITY, OR WE TALK ABOUT THE RATE STUDY THAT I MENTIONED EARLIER. WE REALLY NEED TO PRIORITIZE THAT. THAT WATER STUDY, THE WATER STUDY I'M REFERRING TO IS EVALUATING WHAT OUR OPTIONS ARE FOR WATER USES . THE WATER RATE STUDY IS AN EXERCISE WE HAVEN'T GONE THROUGH IN SEVEN YEARS. THAT IS JUST LOOKING AT OUR RATES. IN ORDER TO SUCCESSFULLY GO THROUGH WATER RATE STUDY WE NEED TO DEVELOP A LIST OF CIP PROJECTS.

WE NEED TO DEVELOP WHAT THAT IS FOR PERSONNEL FOR THE CONSULTANT TO CAPTURE ALL THAT. SO WE DON'T WANT TO CONFUSE THE WATER STUDY VISIBILITY STUDY-- HAVE US PRIORITIZE ON THE STORMWATER UTILITY AND THE WATER RATE CONVERSATION. PUBLIC SAFETY HAD COURT A BUILDING IN THE MOVING OF THE MUNICIPAL OF COURSE WE WILL LEAVE THE BUILDING WE ARE IN NOW VACANT, SO WE CONTINUE TO LOOK AT THE REMODEL FOR THAT SO WE CAN MOVE SOME DEPARTMENTS BACK OVER HERE TO THIS MAIN CAMPUS IF YOU WILL . IN NOVEMBER WE HAVE THAT FIRE CIVIL SERVICE COLLECTIVE BARGAINING ELECTION ON THE BALLOT. ALLISON AND I HAVE BEEN WORKING WITH AN OUTSIDE COUNCIL WE ARE SCHEDULING TO COME BEFORE YOU TO PROVIDE AN UPDATE ON WHAT DOES IT MEAN TO BE CIVIL SERVICE.

WHAT ARE THE APPLICATIONS OF HAVING COLLECTIVE BARGAINING? I THINK IT'S IMPORTANT EVERYONE BE EDUCATED ON WHAT THE IMPLICATIONS OF THAT ARE, SO THAT YOU CAN MAKE A DECISION FOR YOURSELF AS WELL IS THE PUBLIC WHETHER PEOPLE THINK THAT IS A GREAT IDEA OR NOT. MORE THAN LIKELY THAT WILL HALF -- MORE THAN LIKELY THAT WILL TAKE PLACE IN A SPECIAL COUNCIL MEETING BECAUSE WE HAVE A LOT OF THINGS WE NEED TO TALK TO YOU ABOUT AT THE QUARTERLY WORKSHOP. IN OCTOBER WE WANT TO KEEP IT SHORT INTENTIONALLY BECAUSE OF NATIONAL NIGHT OUT. SO WE BEGIN

[00:55:03]

WE HAD DISCUSSIONS WITH THEM YESTERDAY ON WHAT IS THAT NEXT THING YOU WANT TO FOCUS ON, WHICH CENTERS AROUND PTO . THE ROOF REPLACEMENT CONVERSATION , I WILL HAVE AN UPDATE ON THAT FOR YOU IN THE EXECUTIVE SESSION. I HAVE NO IDEA WHY THIS CAME UP BLUE. YOU WILL RECEIVE AN UPDATE ON THE LATEST ON OUR LANDFILL CONTRACT AND THAT RFP PROCESS. WE ARE BEGINNING TO DEVELOP THAT RFP. SO YOU WILL RECEIVE AN UPDATE ON THAT. THERE IS ALSO SOLID WASTE RATES HERE WE DON'T WANT TO FORGET ABOUT.

THE SOLID WASTE RATES HAVE NOT BEEN INCREASED IN DECADES. SO IT NECESSITATES A CONVERSATION AROUND THAT. SO THERE IS A LOT BASICALLY IN A NUTSHELL THERE'S A LOT OF WORK LEFT TO BE DONE THROUGH THE STUDIES AND ASSESSMENTS THAT COULD REALLY PLAY A PIVOTAL ROLL IN THE FINANCIAL POSITION THE CITY FINDS ITSELF IN IN THE NEXT FIVE YEARS. SO IT WILL BE A BUSY YEAR, BUT IT'S AN OPPORTUNITY FOR US TO JUST CHANGE THE COURSE OF OUR ORGANIZATION AND OUR COMMUNITY THROUGH THOSE EXERCISES, SO I LOOK FORWARD TO THAT. AND OF COURSE THE TIMELINE, I DON'T KNOW WHY IT TURNED BLUE. JAMES? THE CALENDAR HAVING THOSE FINAL VOTES TONIGHT. AND OF COURSE WHAT'S LEFT IN THE BUDGET PROCESS IS TO PREPARE FOR IMPLEMENTATION ON OCTOBER 1ST. I WOULD BE HAPPY TO ANSWER ANY QUESTIONS YOU MIGHT

HAVE. >> ANY QUESTIONS? NO? WE APPRECIATE THE UPDATE. THANK YOU VERY MUCH. DID YOU HAVE A

QUESTION? >> I MIGHT HAVE MISSED IT.

APOLOGIES IF I DID. WHAT'S THE TOTAL TAX REVENUE THIS TAX RATE GENERATES COMPARED TO LAST YEAR? I THINK THERE WAS A SLIDE--

>> WESLEY CAN PROBABLY ANSWER THAT OFF THE TOP OF HIS HEAD.

>> NO PRESSURE, WESLEY. >> 70 OVERALL. IT'S ON THAT

SIDE. >> THANK YOU.

>> ANY OTHER QUESTIONS? OKAY. THEN WE ARE AT ITEM D 1 THAT IS AN ORDINANCE APPROVING AND ADOPTING A BUDGET AS PROPOSED AS AMENDED, WHICH IS THE $255,286,194 .

>> I'LL MAKE A MOTION TO APPROVE THE BUDGET WITH THE AMENDMENT RECOMMENDED BY STAFF.

>> SECONDED. >> SECONDED.

[2. Ratify Property Tax. Wesley Janecek, Finance Director]

>> ANY DISCUSSION ON THE MOTION? ALL IN FAVOR SAY AYE. ALL

OPPOSED? AND E1 PASSES. >> E2 IS A RESOLUTION RATIFYING

THE PROPERTY TAX. >> I MOVE WE ADOPT. WE HAVE A

MOTION AND A SECOND. >> YOU DON'T HAVE TO READ THAT

ONE? >> NOT FOR THE PROPERTY TAX. DO

WE HAVE TO DO THIS ONE? >> THIS IS TO RATIFY-- SO I HAVE A MOTION AND A SECOND TO RATIFY THE PROPERTY TAX. IS THERE ANY DISCUSSION ON THAT ITEM? THIS IS A HOOP WE HAVE TO JUMP THROUGH

[3. An ordinance setting the Tax Rate for the 2025 tax year at a total of ...]

>> E3 IS ON A SECOND AND THIRD READING. ORDINANCE SETTING THE TAX RATE FOR 2025 TAX YEAR TOTAL OF 0.4790 PER $100 OF

PROPERTY VALUATION. >> I MOVE THAT THE PROPERTY TAX RATE BE INCREASED BY THE ADOPTION OF A TAX RATE OF 0.4790 WHICH IS EFFECTIVELY A 1.7% INCREASE IN THE TAX RATE.

>> DO I HAVE A SECOND? >> I SECOND.

>> I HAVE A MOTION AND A SECOND. IS THERE ANY DISCUSSION ON THIS ITEM? SEEING NONE. ALL IN FAVOR SAY AYE. ANY OPPOSED? IT APPEARS

[01:00:01]

MR. GARZA, WESLEY, GILBERT, THANK YOU FOR THE TIME YOU YOU PUT INTO IT AS WELL. I KNOW WE THREW SOME CURVEBALLS. WE

APPRECIATE THAT. >> THANK YOU.

>> I WILL ECHO THAT THIS WAS MUCH DIFFERENT THAN IN YEARS PAST. BUT I THINK IT WILL WORK FOR OUR COMMUNITY. WE APPRECIATE ALL THE DISCUSSION WE HAD APPEAR. THE THOUGHTFUL DISCUSSION, AND I APPRECIATE STAFF'S INVOLVEMENT IN WORKING

IN THIS UPCOMING YEAR. >> VERY GOOD. LET'S MOVE ON. WE

[4. Consideration of an appeal of the Building Standards Commission's orde...]

WILL CONSIDER ITEM E4. >> ITEM E4 IS CONSIDERATION OF AN APPEAL OF THE BUILDING STANDARD COMMISSION'S ORDER TO DEMOLISH THE STRUCTURE AT 2606 PORT LAVACA DRIVE.

>> YOU SEE A PICTURE OF WHAT THE PROPERTY LOOKED BACK AUGUST 4TH.-- TABLE THE ITEM TO GIVE THE PROPERTY OWNER TIME TO MAKE THE NECESSARY REPAIRS, AND I AM HAPPY TO SHARE WITH YOU A PICTURE OF WHAT IT LOOKS LIKE. THE ROOF HAS BEEN REPAIRED. AND THEN THERE HAS BEEN SUBSTANTIAL CLEANUP AND REPAIRS ON THE INSIDE AS WELL. CEILING GRID, AND OF COURSE A LOT OF THE OLD EQUIPMENT HAS BEEN REMOVED, SO I CAN HAPPILY REPORT IT IS NO LONGER A SUBSTANDARD BUILDING, AND STAFF RECOMMENDS COUNCIL

OVERTURN THE ORDER. >> THAT LOOKS FANTASTIC.

>> THANK YOU FOR THE UPDATE. THAT IS A BIG DIFFERENCE

ABSOLUTELY. >> ALL RIGHT. WITH THAT, THEN, ARE THERE ANY MOTIONS WITH RESPECT TO ITEM E4? AND JUST TO BE CLEAR, I KNOW WE ALWAYS DO THIS, AND MISS LACEY IS LAUGHING AT ME AS WE SPEAK. SO, WHAT IS BEFORE THE COUNCIL IS TO CONSIDER THE APPEAL . AND SO OUR MOTION WOULD BE EITHER TO UPHOLD THE APPEAL TO DEMOLISH OR OVERTURN THE DECISION TO

DEMOLISH, IS THAT CORRECT? >> YES EXCEPT IT IS TO UPHOLD THE ORDER TO DEMOLISH OR OVERTURN THE ORDER TO DEMOLISH.

>> THANK YOU. >> DO WE MAKE A MOTION TO OVERTURN? I MAKE A MOTION TO OVERTURN

>> I SECOND. >> WE HAVE A MOTION TO OVERTURN, ORDER TO DEMOLISH, SECOND. DISCUSSION ON THIS ITEM?

>> I WAS JUST GOING TO SAY

>> PLEASE COME UP. >> GOOD EVENING, MAYOR AND COUNCIL. MY FATHER AND I JUST WANT TO THANK YOU GUYS FOR GIVING US SOME TIME AND HOPEFULLY YOU GUYS ARE UM-- NOT SURPRISED BUT HAPPY WITH WHAT YOU GUYS SEE. I HAVE A FEW MORE PICTURES, BUT I SENT THEM KIND OF LATE, BUT I THINK THAT VICTOR WILL SUFFICE WHAT WE HAVE DONE WITH IT, AND WE LOOKED INTO DOING MORE BUSINESS INVENTORY AND PAYING TAXES TO Y'ALL.

LAUGHTER ] >> IT LOOKS GREAT. WE APPRECIATE YOUR INVESTMENT IN OUR COMMUNITY.

>> ALL RIGHT. WITH THAT I THINK WE NEED TO VOTE. ALL IN FAVOR

[H. Executive Sessions:]

[01:05:02]

IN EXECUTIVE SESSION AFTER THAT. >> THE CITY COUNCIL WILL RECESS FOR SEPTEMBER 9TH,

* This transcript was compiled from uncorrected Closed Captioning.