[1. Call to Order: The City Council of the City of Sachse will hold a special meeting on Monday, July 29, at 6:00 p.m. to consider the following items of business:] [00:00:05] I'D LIKE TO WELCOME EVERYONE OUT TO THE SACHSE SPECIAL CITY COUNCIL MEETING TONIGHT. TODAY IS MONDAY, JULY 29TH, 2024. THE TIME MRS. GRANGER. 6 P.M.. THE TIME IS 6 P.M. WE ARE CALLED TO ORDER. NEXT ITEM ON THE AGENDA IS ITEM TWO. [2. Discuss the Fiscal Year 2024-2025 Preliminary Budget.] DISCUSS THE FISCAL YEAR 2024-2025 PRELIMINARY BUDGET. MISS NASH, AND BEFORE I GO TO MISS NASH, I WOULD LIKE TO SAY THAT COUNCIL HAS GOTTEN A COPY OF THEIR BUDGETS AND IT IS DIVIDED UP INTO SECTIONS. SO WHAT WE'D LIKE TO DO TONIGHT IS WE'LL GO SECTION AT A TIME. SO IF YOU COULD HOLD THOSE QUESTIONS UNTIL WE GET TO THE END OF THAT SECTION, THEN WE'LL GO OVER THOSE. AND THEN ONCE THAT SECTION IS DONE WE'LL GO TO THE NEXT SECTION. THEY'LL DO THEIR PRESENTATION. AND THEN WE CAN DO QUESTIONS. AND YOU KIND OF GET THE FEELING THERE. SO SO WITH THAT MISS NASH. ALL RIGHT. MAYOR AND COUNCIL AND THE PUBLIC, WELCOME TO OUR SPECIAL CITY COUNCIL MEETING TO TALK SPECIFICALLY ABOUT THE BUDGET. AND THIS WILL BE BROKEN UP INTO SEVERAL SECTIONS TONIGHT. DAVID BALDWIN, OUR FINANCE DIRECTOR, WILL ACTUALLY GIVE THE FIRST PRESENTATION. BUT AS WE END EACH SECTION IT WILL GIVE EVERYBODY AN OPPORTUNITY TO ASK ANY QUESTIONS SO YOU DON'T HAVE TO WAIT UNTIL THE END OF THE 82 SLIDE DECK. SO WITH THAT, I'LL GO OVER THE OVERVIEW SLIDE QUICKLY. LET'S SEE IF I CAN DO IT DAVID. THERE WE GO DAVID BALDWIN, OUR FINANCE DIRECTOR WILL GIVE THE FINANCIAL UPDATE. I'LL HAVE LAUREN ROSE, OUR ASSISTANT CITY MANAGER, COME UP AND TALK ABOUT THE CITY COUNCIL'S STRATEGIC PRIORITIES THAT WE DISCUSSED EARLIER IN 2024. AND THEN I'LL REALLY WALK THROUGH A LARGE PART OF THE PRELIMINARY BUDGET, INCLUDING THE BASE BUDGETS, WHICH IS REALLY OUR DAILY OPERATIONS BUDGETS AND WHAT IS ENTAILED IN THOSE. I'LL TALK ABOUT THE CAPITAL IMPROVEMENT PLAN AND PROJECTS THAT WE PLAN TO DO UPCOMING. BUT JUST AS A REMINDER, WE'LL GO THROUGH THE CALENDAR. WE DON'T PRESENT THE ACTUAL CIP TO THE COUNCIL UNTIL AUGUST, BUT THIS WILL GIVE YOU KIND OF A SNEAK PREVIEW OF THE PROJECTS THAT WE'RE LOOKING AT AND WHAT WE'RE TALKING ABOUT FROM A POLICY PERSPECTIVE. SOME COMPENSATION UPDATES AND TALK ABOUT THAT SPECIFICITY. AS YOU KNOW, THAT'S ALWAYS MY NUMBER ONE SUPPLEMENTAL REQUEST IN THE BUDGET IS TO TALK ABOUT EMPLOYEE COMPENSATION. THE SUPPLEMENTAL REQUEST SPECIFICALLY WILL GO INTO THE DETAILS OF THOSE WHAT FOLKS REQUESTED, WHAT ITEMS MOVED FORWARD AND WHAT ONES DID NOT, AND WHAT WE'RE RECOMMENDING THERE AND THEN REALLY A SUMMARY AND TALKING ABOUT WHAT OUR BUDGET PROCESS NEXT STEPS ARE. BECAUSE AS YOU ALL KNOW, THIS IS THE FIRST MEETING OF MANY THAT WE'RE GOING TO HAVE OVER THE NEXT TWO MONTHS TO TALK ABOUT THE 24-25 OPERATING BUDGET. AND SO WITH THAT, I'LL TURN IT OVER TO DAVID TO TALK ABOUT OUR FINANCIAL UPDATE. HELLO, MR. BALDWIN. HELLO, MAYOR COUNCIL. SO I'LL BE PROVIDING THE FINANCIAL UPDATE AS PART OF THE BUDGET PROCESS. THE BUDGET PROCESS DOESN'T BEGIN TONIGHT WITH THE WITH THE JULY COUNCIL WORKSHOP. IT BEGAN IN MARCH WITH WITH STAFF BEGINNING AN INTERNAL BUDGET KICKOFF. IT INCLUDED ON JUNE 3RD WAS EARLY CITIZEN INPUT PROVIDED TO COUNCIL AT THAT COUNCIL MEETING. ON JUNE 11TH, THE MAYOR HELD A BUDGET TOWN HALL, AND NOW WE'RE HERE TONIGHT TO TO MID-JULY. AS PART OF THE FINANCIAL UPDATE I'LL SPEAK TO THE GENERAL FUND REVENUE REVIEW HOW THINGS ARE LOOKING TO DATE. WE'LL GIVE A CURRENT YEAR UPDATE AS PART OF THE FINANCIAL REVIEW WE WE GIVE A THREE YEAR OUTLOOK FOR THE GENERAL FUND AND UTILITY FUND. WE'LL LOOK AT OUR CURRENT FUND BALANCE IN THE GENERAL FUND AND SPEAK TO DEBT CAPACITY. SO AS THE FIRST PART OF THAT, LET'S TAKE A LOOK AT OUR GENERAL FUND REVENUES. THE PIE CHART HERE SHOWS OUR TOTAL GENERAL FUND REVENUES. THIS IS FROM FISCAL YEAR 23 COLLECTIONS FOR FISCAL YEAR 23 COLLECTIONS WERE $25.5 MILLION. AND AS YOU CAN SEE, THE LARGEST PART OF THE OF THE PIE IS PROPERTY TAXES. PROPERTY TAXES ARE 58%. OUR NEXT LARGEST PIECE OF THAT PIE IS SALES TAX AT 12% AND FRANCHISE FEE AT 8%. THOSE THREE TAXES MAKE UP 78% OF OUR TOTAL GENERAL FUND REVENUE TAX BASE. NOW, OVER THE YEARS, THE PROPERTY TAX PROPERTY TAX PERCENTAGE OF THE TOTAL HAS GONE FROM 62% IN 2017 TO A LOW OF 57% IN 2022. AGAIN, CURRENTLY IT'S JUST 1% HIGHER THAN THAT LOWEST LOW AT 58%. SALES TAX HAS INCREASINGLY BECOME A LARGER PART OF THE OF THE BUDGET. IT'S GONE FROM 9% IN 2017, GREW TO 10% IN 2021, AND NOW 12% OF THE BUDGET HERE IN 2023. [00:05:07] MOVING ON TO OUR LATEST CLOSED PERIOD, WHICH IS JUNE. OUR FISCAL YEAR FOR THE BUDGET IS OCTOBER 1ST THROUGH SEPTEMBER 30TH. SO WHEN WE SHOW ACTUALS THROUGH THE END OF JUNE, THAT 75% THROUGH OUR YEAR, THREE QUARTERS OUT OF THE FOUR QUARTERS IN OUR YEAR. SO WE'D LOOK AT LOOK AT THESE REVENUES AND EXPENDITURES, AND IF EVERYTHING WAS EVENLY SPREAD ACROSS EACH MONTH, THEN OUR ACTIVITY, WE'D EXPECT TO BE AT 78 OR 75% THROUGH THIS POINT. PROPERTY TAX REVENUES, HOWEVER, ARE SHOWING AT 99% OF THE TOTAL BUDGETED. THAT'S BECAUSE RECEIPTS PEAK IN DECEMBER AND JANUARY. NOW THEY DO CONTINUE TO TRICKLE IN, BUT THE MAJORITY OF THOSE HAVE BEEN RECEIVED. SALES TAX REVENUES ARE TRENDING ABOUT 6% OVER OUR PRIOR YEAR, SO GOOD NEWS HEALTHY STORY THERE. AND CURRENTLY COLLECTING AT 83 OR 81%. FRANCHISE REVENUE IS RIGHT ABOUT AT TARGET WHERE WE'D EXPECT IT. THERE IS AN ANOMALY THERE THAT 38% COLLECTED FOR LICENSES AND PERMITS. AND THAT'S, I'LL NOTE, THE SMALLEST OF OUR REVENUE CATEGORIES IN THIS IN THIS TABLE HERE. SO THOSE LOW CORRECT COLLECTIONS ARE DUE TO THE TIMING OF ANTICIPATED RESIDENTIAL AND COMMERCIAL CONSTRUCTION. WE STILL ANTICIPATE THE COMPLETION OF PROJECTS, HOWEVER IT'S JUST TIMING THAT'S THAT'S GETTING AT US AND WE EXPECT THOSE THOSE PROJECTS THAT WOULD INFLUENCE THE LICENSES, LICENSE AND PERMIT LINE ITEM TO COME IN EITHER LATER THIS YEAR OR IN THE YEARS TO COME. OTHER REVENUES ARE AT 91% SO A VERY STRONG STORY THERE. AND THAT'S DUE TO HIGH INTEREST EARNINGS AND INSURANCE RECOVERY REVENUE. SO OVERALL A STRONG PICTURE. WE HAVE REVENUES AT 90% OF THE TOTAL AT THIS POINT IN THE YEAR AND EXPENDITURES TRENDING AT 74%, JUST A LITTLE LESS THAN 1% UNDER BUDGET WHERE WE MIGHT EXPECT IT AT THIS POINT IN THE YEAR. ASSESSED PROPERTY VALUES. THESE PROPERTY VALUES IS KIND OF FOR THE WHOLE BIG PICTURE OF PROPERTY VALUES. SO IT INCLUDES TIF, IT INCLUDES THE FREEZE VALUE OF PROPERTY, AND WE'RE SEEING STRONG GROWTH. SO THE AVERAGE OVER THIS PERIOD OF TIME IS 12% GROWTH YEAR OVER YEAR. AND AS A POINT OF NOTE, WE DID GET INFORMATION FROM THE DALLAS COUNTY TAX OFFICE, OUR CURRENT ASSESSED VALUE IS $4.6 BILLION, WHICH IS ANOTHER YEAR OF 12% GROWTH. SO GOOD NEWS STORY ON ASSESSED VALUES. IN DALLAS COUNTY, COMMERCIAL REPRESENTS 81% OF THE OF THE TOTAL. IN COLLIN COUNTY, COMMERCIAL PROPERTIES REPRESENT 92% OF THE OF THE TOTAL. OVERALL THOSE THOSE COUNTIES COMBINED. COMMERCIAL IS 85% OF THE OF THE TOTAL PROPERTY TAX. LOOKING AT SALES TAX RECEIPTS MORE SPECIFICALLY, YOU SEE THEM OVER THE YEARS. THE DIFFERENT COLORING HERE IS BASED ON THE FUND THAT'S RECEIVING THE SALES TAX. THE GENERAL FUND COLLECTS 1% ECONOMIC ECONOMIC DEVELOPMENT CORPORATION 0.5%, AND STREET MAINTENANCE AND MUNICIPAL DEVELOPMENT AT A QUARTER PERCENT. SO BY COLOR, THEY'RE SHOWING THERE. OUR GROWTH FROM 2021 WAS 16%, 18% GROWTH IN SALES TAX COLLECTIONS THE FOLLOWING YEAR FROM 22 TO 23 8%. AND RIGHT NOW THROUGH THIS PERIOD WE'RE COLLECTING WE'RE TRENDING AT 6% COLLECTIONS OVER THE PRIOR YEAR. FOR OUR AND SO FOR OUR PROJECTION, WE'RE PROJECTING 6% GOING ON THROUGH THE END OF THE YEAR. LOOKING AT A THREE YEAR PROJECTION OF OUR GENERAL FUND OPERATIONS, WE SEE REVENUE ASSUMPTIONS OR THAT TAXABLE VALUES CONSERVATIVELY WERE SHOWING GROWTH AT 4% ANNUALLY. SALES TAX. WE'RE SEEING THAT THAT INCREASE IN SALES TAX EACH YEAR. HOWEVER IT WAS DECLINING A BIT. AND SO WE'RE PROJECTING 5% ANNUAL GROWTH GOING OUT IN SALES TAX AND ALL OTHER REVENUES GROWING AT 3% EXCEPT EXPENSE ASSUMPTIONS ARE SHOWN IN THE IN THE BLUE LINE THERE. I'M SORRY, IN THE GREEN LINE THERE. AND THAT IS EXCLUDING ANY SUPPLEMENTAL REQUESTS IN FISCAL YEAR 25, SO IT'S JUST THAT OPERATING BASE BUDGET. HEALTH EXPENSE IS ESTIMATED TO BE 10% ANNUALLY, AND OVERALL COSTS ARE ANTICIPATED TO BE 4% ANNUALLY. [00:10:01] ONE MIGHT ASK ABOUT THAT GROWTH RATE ON HEALTH INSURANCE AND MIGHT PROJECT SOMETHING HIGHER OR LOWER. WE DO HAVE HAVE A HEALTH INSURANCE FUND THAT HOLDS KIND OF SOME PADDING, A SHOCK ABSORBER AS YOU WILL. AND SO THAT WOULD ALLOW US TO TO OFFSET ANY, ANY SIGNIFICANT OR UNEXPECTED INCREASES IN THE HEALTH INSURANCE OR IN THE HEALTH EXPENSE. BECAUSE WE'RE A SMALL BOOK OF BUSINESS, WE'RE A SMALL CITY. WE ARE PRONE TO SOMETIMES TO TO INCREASES OR DECREASES IN THAT RATE. MOVING TO THE GENERAL FUND BALANCE, THIS IS SHOWING SO THAT BIG BLUE AREA IS THE UNRESTRICTED ENDING FUND BALANCE AT $16 MILLION IN 2022, DROPPING DOWN TO ABOUT $8.5 MILLION ESTIMATED FOR THE END OF THIS FISCAL YEAR. THAT DROP IS DUE TO THE GUIDANCE FROM COUNCIL FROM THE NOVEMBER 2022 COUNCIL MEETING, WHERE WE INTENTIONALLY, IN THE BUDGET, DREW DOWN GENERAL FUND BALANCE, AND THAT WAS TO FUND WOODBRIDGE PARKWAY. AND SO $2.6 MILLION IS SET ASIDE FOR FUNDING FOR THAT. THERE'S A CONTRIBUTION FOR HERITAGE PARK. HERITAGE PARK, OF COURSE, WILL BE WILL HAVE THE OPENING CEREMONY, I'LL SAY IN FALL 2024. MONEY WAS SET ASIDE FOR A PUBLIC WORKS PARKS FACILITY, AND SO THERE WILL BE AN AUGUST DISCUSSION TO COUNCIL ON THAT UPCOMING. AND THE SCREENING WALL IS IS A COMPLETED PROJECT. SO THAT'S THE REASON FOR THE DROP. AND THEN GOING FORWARD, THE ESTIMATE IN FOR 2025 IS THAT THE FUND BALANCE IS RIGHT THERE IN THE MIDDLE BETWEEN OUR CURRENT POLICY THAT RESERVES SHOULD BE BETWEEN 25 TO 35% OF THE FUTURE YEARS EXPENDITURES. LOOKING AT THE UTILITY FUND. AGAIN, EXPENDITURES, YOU WOULD EXPECT TO BE APPROXIMATELY AT 75% THROUGH THIS POINT IN THE YEAR. WATER REVENUE APPEARS LOW, HOWEVER, THAT REVENUE IS SEASONAL. AND SO WE YOU KNOW, THOSE REVENUES PEAK IN THE SUMMER. SO NO ALARM THERE. SEWER REVENUE IS TRENDING WELL, AS IS DRAINAGE REVENUE. OTHER REVENUES ARE HIGH. AND THAT'S BECAUSE WE HAVE STRONG INTEREST EARNINGS IN THIS HIGH INTEREST RATE MARKET. AND EXPENDITURES ARE RIGHT WHERE YOU'D EXPECT THEM RIGHT AROUND 75%. LOOKING NOW AT THE THREE YEAR PROJECTION FOR THE UTILITY FUND, THESE NUMBERS ARE PROVIDED BY NEW GEN STRATEGIES AND SOLUTIONS THEY'RE OUR RATE CONSULTANT. THEY'LL BE BACK THEY'LL BE HERE AT COUNCIL ON AUGUST 19TH FOR THAT MEETING TO PRESENT THE RATE STUDY THAT WAS FUNDED IN THE PRIOR BUDGET. WE CONCLUDED OUR PRIOR FIVE YEAR SET OF RATES, AND NOW THEY'RE DOING THE ANALYSIS FOR OUR 25 AND FUTURE RATES. AND SO THEIR ANALYSIS, I'LL JUST LET THE CAT OUT OF THE BAG TO A SMALL EXTENT. IT'S SHOWING WATER RATES, GROWTH RATES OF 7% AND SEWER RATES A GROWTH RATE OF 2%. EXPENSE ASSUMPTIONS. SO EXCLUDING CIP. EXCLUDING SUPPLEMENTAL REQUESTS AND ONE TIME TRANSFERS TO THE UTILITY FUND THAT WAS RECENTLY CREATED. THE ASSUMPTION IS THAT NORTH TEXAS MUNICIPAL WATER DISTRICT RATES WILL GROW BY 5.6% IN 2025, INCREASE TO 9% IN 2026 AND 12% IN 2027. GARLAND SEWER HAS A RATE INCREASE OF 4.5% IN 2025, AND THEN THE ASSUMPTION IS THAT THAT RATE INCREASE WILL GROW TO 5% AND REMAIN THERE ANNUALLY. GARLAND, HOWEVER, ALSO CHARGES US BASED OFF OF ACTIVITY THE CONSUMPTION. AND SO WE'RE ESTIMATING THAT INCLUDING [INAUDIBLE] CONSUMPTION THAT, THAT GARLAND GROWTH RATE, THAT CHARGE, THAT EXPENSE TO OUR FUND WILL BE 6% ANNUALLY. AND SO THAT GAP BETWEEN REVENUES AND EXPENDITURES, THAT'S FUNDS AVAILABLE FOR FOR CAPITAL PROJECTS, FOR VEHICLE REPLACEMENT. MOVING ON TO THE TAX RATE HISTORY, IT'S A GOOD NEWS STORY. WE HAVE OUR M&O RATE AS THAT FIRST COLUMN NEXT TO THE FISCAL YEAR. AND YOU CAN SEE OVER THE YEARS OUR M&O RATE HAS HAS GONE DOWN SIGNIFICANTLY. AND THAT'S WHY OUR TOTAL RATE SHOWING TWO COLUMNS OVER IS DECREASING AS OUR I&S RATE IS MAINTAINED. AND PER OUR POLICY, THE THE DEBT SERVICE COMPONENT SHOULD NOT EXCEED 35%. AND WE'RE WITHIN THAT THAT BOUNDARY. LOOKING AT DEBT CAPACITY IN THAT GREEN LINE AT THE TOP, IT SHOWS THE DEBT LEVY. [00:15:03] AND THAT IS TAKING THE EXISTING 0.194207 RATE AND MULTIPLYING THAT BY THE TAXABLE VALUE. SO IT TRENDS THAT GREEN LINE GOING IN THE FUTURE THEN THAT THAT GRAY AREA IS THE OUTSTANDING OUTSTANDING DEBT PRINCIPAL AND INTEREST. SO AS OUTSTANDING DEBT PRINCIPAL AND INTEREST GOES DOWN, THE DEBT CAPACITY, WHICH IS SHOWN AS THAT BLUE LINE INCREASES AS WE GO OUT. SO WHY IS THE THE DEBT CAPACITY OR WHY IS THE DEBT CAPACITY INCREASING OR OUTSTANDING DEBT DECREASING. THAT'S BECAUSE WE HAVE SOME DEBT THAT'S ROLLING OFF. SO HILLTOP SECURITIES CAME AND PRESENTED IN SEPTEMBER OF OF LAST YEAR, THAT'S OUR FINANCIAL ADVISOR. AND THEY STATED THAT TO AVOID INTEREST AND PROVIDE ADDITIONAL ADDITIONAL DEBT CAPACITY, WE COULD PAY OFF OR REDEEM THE 2019 TAX NOTES AND 2021 TAX NOTES. SO THOSE BEING REMOVED SHOWS THE INCREASE IN DEBT CAPACITY. AND THEN THE REMAINING ISSUANCES ARE SHOWN BELOW. AND THAT CONCLUDES THE FINANCIAL UPDATE. THANK YOU, MR. BALDWIN. QUESTIONS FOR STAFF ON THIS FIRST SECTION. MR. LINDSEY. THANKS FOR THE PRESENTATION ON THAT LAST SLIDE THERE. SO THE DEBT CAPACITY THAT IS SHOWN, IT'S BASED ON OUR CURRENT DEBT RATE, IS THAT CORRECT? CORRECT. SO BY POLICY WE TRULY HAVE ADDITIONAL DEBT CAPACITY. IF WE'RE GOING TO THE JUST THE RATE WHERE IT'S WHAT'S 6535 ON THERE, WE COULD TECHNICALLY INCREASE THE THE DEBT SERVICE RATE TO STAY WITHIN OUR POLICY. YES. WE COULD. YES. SO WHAT WOULD OUR TRUE LIKE DEBT CAPACITY BE? I KNOW WE'VE SEEN THIS, LIKE, BEFORE, THE BOND PRESENTATIONS AND STUFF LIKE THAT. WHAT'S OUR ACTUAL AMOUNT THAT WE COULD BY POLICY AND BY LAW EXTEND OR DEBT UP TO? WHAT'S THE AREA OF THAT WHITE? SO RIGHT NOW WE'RE MAXED OUT AT THIS RATE. AND THEN IN 2025, THAT'S PENDING THE CITY MANAGER'S PROPOSED BUDGET OF SETTING A RATE. MIGHT MIGHT DECREASE THE I&S RATE, MIGHT INCREASE THE AMOUNT OF OF DEBT PER, PER COUNCIL ACTION. [INAUDIBLE] I'M NOT SURE I'M FULLY UNDERSTANDING YOUR. YEAH. IT SEEMS LIKE RIGHT NOW IF WE IF WE WERE TO INCREASE HYPOTHETICALLY INCREASE THE, THE I&S RATE, WE WOULD BE ABLE TO TAKE ON ADDITIONAL DEBT, LIKE LET'S JUST SAY, HYPOTHETICALLY, $20 MILLION OF ADDITIONAL DEBT IMMEDIATELY. SO I'M JUST TRYING TO FIGURE OUT THE, THE YEAR OVER YEAR, THE I GUESS THE WIDE AREA THAT'S THERE IS THAT ADDITIONAL DEBT THAT COULD BE TAKEN ON EACH YEAR OR? YES, IN EACH YEAR, THE DALLAS COUNTY TAX OFFICE LOOKS AT THE DEBT THAT THAT WE'RE SHOWING FOR THE FOLLOWING YEAR, DEBT APPROVED BY COUNCIL, FOR INSTANCE, IN THE GRAY AREA. AND THEY CALCULATE OUR OUR NECESSARY RATE BASED ON THE DEBT, AS WE DO NOT HAVE DEBT BECAUSE IT ROLLS OFF OUR RATE THEORETICALLY COULD REDUCE OR IF THERE WAS OTHER DEBT, OTHER COUNCIL ACTIONS THAT THAT LED TO THE ISSUANCE OF DEBT THAT WOULD MAINTAIN THE EXISTING RATE. OKAY. SO UNDER THE EXISTING RATE IN 2029 IS ABOUT WHERE IT GOES ABOVE WATER. SO IF I'M UNDERSTANDING THIS GRAPH CORRECTLY IN 2029, WE COULD TAKE ON ADDITIONAL DEBT WITH KEEPING THE SAME RATE THAT WE HAVE CURRENTLY. YES. CORRECT. YEAH. OKAY. BUT IF WE CHOSE TO INCREASE THE RATE THAT GREEN LINE IS, IS UP TO THE MAXIMUM THAT THAT WE COULD INCREASE THE I&S RATE TO? YEAH. PER OUR POLICY. PER, PER OUR POLICY. SO THERE'S THERE'S QUITE A BIT OF OF WIDE AREA THERE OKAY. CORRECT. OKAY. THANK YOU. OTHER QUESTIONS FOR STAFF ON THIS SECTION? ALL RIGHT. WELL, MR. BALDWIN, I WANT TO SAY THANK YOU. THAT WAS A GREAT PRESENTATION. OH, YOU GOT ONE. I DIDN'T SEE YOU. OH, WELL, THERE YOU GO. I SEE IT NOW. ALL RIGHT, GO AHEAD, MR. MILLSAP. OKAY, JUST A COUPLE OF ON GENERAL FUND. YOUR SLOT ON GENERAL FUND. YOU'RE TALKING ABOUT LICENSE AND PERMITS YOU SAID 38% YOU'RE SAYING THAT YOU EXPECT IT TO COME LATER THIS YEAR SINCE WE'RE RUNNING A LITTLE BIT LOWER THAN AVERAGE FOR THE REST OF THE PERCENTAGES, OR YOU SAID, OR IT MIGHT COME IN YEARS TO COME. [00:20:01] IF IT'S YEARS TO COME, WOULDN'T THAT BE ON THAT YEAR'S BUDGET INSTEAD OF THIS YEAR'S? AND WE'D WIND UP BEING SHORT? HOW DID WHAT DO YOU MEAN BY IF WE DON'T GET WHAT WE'RE ANTICIPATING NOW, YOU SAY IT MAY COME IN YEARS TO COME. WHAT'S THAT GOING TO DO WITH THIS YEAR'S BUDGET FOR? YES, LICENSES AND PERMITS SHOWING AT 38%, COLLECTED RIGHT NOW. WE BUDGETED THE ANTICIPATED DEVELOPMENT ACTIVITY THAT COULD HAPPEN. THINGS THAT WE'RE AWARE OF IN IN DEVELOPMENT SERVICES, WE WANTED TO ANTICIPATE THAT WE'RE SO FIRST OF ALL, I'D LIKE TO POINT OUT THAT THE EXPENDITURES IN DEVELOPMENT SERVICES ARE LARGELY TIED TO THE REVENUE RECEIVED. SO IF WE DON'T GET PERMIT ACTIVITY, WE LARGELY DON'T SPEND THE ACTIVITY. SO THERE'S AN OFFSET THERE. SO WE'D RATHER BUDGET THIS ACTIVITY TO HAPPEN. AND IF IT DOESN'T HAPPEN, THEN WE WON'T HAVE YOU KNOW, OUR, OUR INSPECTOR, PROFESSIONAL SERVICES FEES. SO WHAT I WAS SAYING IS THAT THERE IS STILL BUDGET AVAILABLE. WE STILL WERE JUST WAITING FOR THE WORD GO FROM DEVELOPERS TO MOVE FORWARD SO THAT ACTIVITY COULD HAPPEN IN THIS FISCAL YEAR. IF NOT, WE STILL EXPECT THAT ACTIVITY TO HAPPEN AND WE WOULD RE BUDGET IT. WE WOULD BUDGET IT AGAIN IN FISCAL YEAR 25, WHICH WE HAVE DONE. OKAY. ACTUALLY ONE SECOND. FRANK, LET ME YEAH, I WANT TO CLARIFY SOMETHING ON THAT, JUST ON THE LICENSES AND PERMITS, LIKE DAVID SAID. BUT I JUST WANT TO MAKE SURE EVERYBODY IN THE PUBLIC UNDERSTANDS. SO WE HAVE OUTS WE USE AN INSPECTION SERVICE THAT'S A THIRD PARTY SERVICE. AND SO THAT IS BUILT INTO THIS LICENSES AND PERMITS. SO IF THIS NUMBER GOES DOWN THEN WE WILL NOT EXPEND AS MUCH ON THE EXPENDITURE SIDE. SO IT'S A LEVER SITUATION. SO IF THIS NUMBER WE REDUCE THIS NUMBER WE'RE NOT GOING TO BE EXPENDING AS MUCH IN DEVELOPMENT SERVICES AS AN OFFSET BECAUSE THAT REVENUE IS AN OFFSET NUMBER. OKAY. YES. THAT'S SORT OF WHAT I WAS OKAY ASKING ABOUT. OKAY. SALES TAX RECEIPTS. YOU'RE PROJECTING 6% GROWTH THROUGH JULY. WHAT ARE YOU EXPECTING, THEN THROUGH JULY? WHAT ARE YOU EXPECTING FOR YEAR, YEAR TO YEAR OVERALL? ARE YOU STILL EXPECTING 6% FOR THE ENTIRE YEAR GROWTH IN? YES. SO FISCAL YEAR 24 OVER FISCAL YEAR 23 WE'RE PROJECTING 6% GROWTH. OKAY. ANOTHER ONE ON THE GENERAL FUND BALANCE. HERITAGE PARK BALANCE, YOU KNOW, WE ALLOCATED MONIES IS THE HERITAGE PARK AMOUNT OF MONEY THAT WAS ALLOCATED. IS THAT THE MONEY THAT WE USE TO PAY FOR THE PARKING THAT WAS ANTICIPATED, THAT THE STATION WAS GOING TO PAY FOR IT, AND THE CONTRACT THAT WENT OUT AS HUDSON BOULEVARD WIDENING THAT AMOUNT OF MONEY IN THAT CONTRACT, $1.9 MILLION, AS I REMEMBER, IN THAT RANGE. PART OF THAT WERE IN IT. IT SAID IT INCLUDED PARKING AT THE HERITAGE PARK. IS THAT THIS MONEY OR IS THAT IN ADDITION TO THAT AMOUNT OF MONEY THAT WAS SPENT IN ADDITION TO. SO THAT INCLUDES THAT AMOUNT. AND THESE ARE THE FUNDS THAT WILL EVENTUALLY BE REIMBURSED TO THE CITY FROM TIRZ NUMBER TWO. OKAY. BUT WE HAD TO FRONT THE MONEY OKAY. AND SO WE'LL GET REIMBURSED FOR THIS. THIS IS THE FULL $1.7 MILLION. OKAY, SIR. THAT'S IT. MAYOR PRO TEM FRANKS. SLIDE 11. I'M NOT SPEAKING LOUDER THAN NORMAL, AND I'M NOT EVEN CLOSE TO MY MICROPHONE. BUT I DON'T THINK ANYBODY'S EVER HAD A HARD TIME OF HEARING ME. SO ONE OF THESE NUMBERS IS NOT CORRECT, IN MY OPINION. I'M NOT A MATHEMATICIAN OR A STATISTICIAN. THE REVENUE BUDGETED 521 ACTUAL $2.6 MILLION 104%. THAT DOESN'T ADD UP TO ME. I WOULD AGREE THAT THAT LOOKS OKAY. ALL RIGHT. SO WITH THAT BEING SAID, DOES THAT CHANGE IS THE BUDGETED ACTUAL NUMBERS, ARE THEY CORRECT OR IS IT JUST THE PERCENTAGE WRONG OR DOES THAT CHANGE ANYTHING ELSE BELOW THAT? I BELIEVE IT'S ALL ME WITH THAT $2.6 MILLION NUMBER, BUT THAT IS CORRECT. NO, I BELIEVE THAT'S THE ERROR. OKAY, OKAY. YEAH WE ARE. LET'S SEE. AS OF APRIL, THE UTILITY FUND FOR OVERALL REVENUES WAS AT 56%, AND YOU WOULD EXPECT IT TO BE AT 58%. SO EVERYTHING WAS TRENDING RIGHT ALONG. [00:25:02] YEAH. ACTUALLY, I. LET ME GET BECAUSE IF THAT $2.6 IS NOT CORRECT, THEN IT AFFECTS THE TOTAL REVENUE TOTAL OPERATION AND THE TOTAL SURPLUS OR DEFICIT. YEAH. LET ME TAKE A QUICK LOOK OKAY. THANKS. REVENUES COMING IN AS IT SHOULD BE. I'LL FIND OUT WHERE THE ISSUE IS. I WAS CERTAINLY HOPING THE PERCENTAGE WAS WRONG, BUT THAT'S OKAY. BUT WE KNOW YOU'RE GOOD AT MATH NOW, RIGHT? MR. PRESTENBERG. YES. MAYOR PRO TEM FRANKS TOOK ONE OF MY QUESTIONS THERE, BUT WHERE IS ON THE GENERAL FUND REVENUES SLIDE NUMBER FIVE. WHERE DO THE UTILITY FUND'S REVENUES FALL? LIKE THE WATER, SEWER, ALL THAT STUFF. WHAT WOULD THAT FALL UNDER? IN A PIE CHART THAT'S NOT SHOWN. IT'S A SEPARATE FUND. IT IS LITERALLY THE UTILITY FUND. AND THIS IS LITERALLY THE GENERAL FUND OKAY. SO BECAUSE I WAS I WAS AT FIRST I WAS THINKING, WOW, $2 MILLION FOR WHERE IS THAT GOING TO HIT HERE? BUT YEAH THAT MAKES SENSE. ALL RIGHT. THANK YOU. THAT'S ALL I HAVE. OTHER QUESTIONS FOR THIS SECTION. MR. LINDSEY JUST SINCE WE'RE STILL HERE ON ON SLIDE 14, AFTER LOOKING AT THE SLIDE, I DO UNDERSTAND A LITTLE BETTER. SO I CAN MAYBE PHRASE MY QUESTION BETTER. SO I FINALLY RECOGNIZE THAT THE BLUE LINE IS JUST REALLY THE GRAY LINE TURNED UPSIDE DOWN. I DIDN'T REALLY CATCH THAT AT FIRST IF I UNDERSTAND IT. SO IN 2025, BASICALLY WE'VE GOT ABOUT WAS THAT $2.75 MILLION THAT WE CAN USE TO SERVICE THE DEBT? IS THAT IS THAT A CORRECT WAY OF SAYING THAT TO SERVICE OUR DEBT PAYMENT, WE? YOU COULD THEORETICALLY, YES. SO THERE'S A GAP THERE. SO IF YOU IF WE WERE TO MAINTAIN THE EXISTING DEBT RATE, WE COULD DEFEASE AS WE DID BEFORE WITH TAX NOTES, WE COULD PAY EARLY, PAY OFF OTHER DEBTS. THAT WOULD REQUIRE SETTING THE 0.194207 RATE IN 2025. YEAH. SO JUSTIFYING THAT RATE WOULD BRING IN REVENUE THAT YOU COULD USE TO PAY OFF THESE THESE ISSUANCES. OKAY. AND I GUESS THE QUESTION I WAS REALLY TRYING TO GET TO THAT I DON'T BELIEVE IS ADDRESSED IN THIS SLIDE THOUGH. BUT I'LL JUST STILL ASK IN CONTEXT, THIS IS HOW MUCH MONEY EACH YEAR THAT WE HAVE TO PAY DOWN OUR DEBT, HOW MUCH WE HAVE TO MAKE OUR MORTGAGE PAYMENT, IF YOU WILL. BUT THAT'S BASED ON THE THE CURRENT RATE, THE ONE POINT, THE 1.94207 RATE ON THERE. SO THEORETICALLY WE COULD INCREASE THAT RATE. WE WOULD HAVE ADDITIONAL MONEY TO PAY FOR OUR DEBT. SO SOMEWHERE THERE'S AN ACTUAL DEBT CAPACITY. AND SO IT'S A TOTAL NUMBER LIKE RIGHT NOW IT CAN CONCEIVABLY LET'S JUST SAY IT'S WE HAVE THE ABILITY TO RUN OUT RIGHT NOW AND SPEND ANOTHER $40 MILLION. AND THAT WOULD BE OVER A 30 YEAR PERIOD. AND WE WOULD HAVE THE X NUMBER OF DOLLARS WITHIN OUR I&S RATE THAT WE COULD INCREASE IT TO COVER THAT DEBT. SO THAT NUMBER THAT JUST MADE UP PULLED OUT OF THIN AIR THOUGH. BUT WHAT IS THAT NUMBER? DO WE HAVE ANY IDEA OF WHAT OUR ACTUAL DEBT CAPACITY IS? IF WE WERE TO JUST GO OUT AND MAX UP THE CREDIT CARD, IF YOU WILL. I THINK I MAY COVER THAT IN MY PORTION OF THE PRESENTATION. IF YOU WANT TO PUT A LITTLE ASTERISK NEXT TO PERFECT. ALL RIGHT, I APPRECIATE IT. I'M NOT SUGGESTING WE RUN OUT AND MAX UP THE CREDIT CARD. I JUST TRY TO FIGURE OUT WHERE'S OUR ACTUAL SPENDING LIMIT AND HOW FAR ARE WE AWAY FROM OUR SPENDING LIMIT? SO THANK YOU. OR AS OLD SCHOOL WOULD SAY, DOG EAR THAT PAGE. YES. OKAY. OTHER QUESTIONS FOR STAFF ON THIS SECTION. WE'RE ABOUT TO GO INTO THE NEXT ONE. SO OBVIOUSLY WE COULD ALWAYS COME BACK IF WE FORGET SOMETHING. SO DON'T WORRY THERE. LAST CALL. ALL RIGHT. FRANKS ON THAT. HELLO, MISS ROSE. HELLO. I PROMISE THEY'RE NOT GOING FAR, SO. GOOD EVENING, MAYOR AND COUNCIL LAUREN ROSE. TONIGHT, I'M GOING TO TELL YOU A LITTLE BIT ABOUT THE STORY BEHIND YOUR BUDGET. WE TALK ABOUT THE BUDGET BEING A COMMUNICATIONS TOOL FOR GOVERNMENT NERDS LIKE MYSELF, IT'S IT IS THAT. BUT IT CAN BE A LITTLE HARD TO DIGEST. SO MY PORTION OF THE PRESENTATION TONIGHT IS GOING TO TELL YOU ALL THE STORY AND TELL THE PUBLIC THE STORY BEHIND THE BUDGET THAT WE'RE PROPOSING HERE TONIGHT. SO QUICK OVERVIEW, AS WE ALWAYS DO, WE'RE GOING TO TALK ABOUT WHAT WE DISCUSSED AT YOUR STRATEGIC PLANNING RETREAT BACK IN FEBRUARY. AND THEN WE'RE GOING TO TALK ABOUT THE PRIORITIES THAT WE IDENTIFIED THROUGH THAT PROCESS AND THROUGH THAT CONVERSATION AND THE FEEDBACK THAT YOU PROVIDED AND HOW THOSE HAVE LED INTO THE BUDGET THAT WE'RE PROPOSING HERE TONIGHT. SO WE'LL TALK ABOUT INFRASTRUCTURE, RISING COST DUE TO INFLATION POST COVID. WE'LL TALK ABOUT THE PARKS AND PUBLIC WORKS FACILITY, AND WE'LL TALK ABOUT THE WAR FOR TALENT AND COMPENSATION AND THEN OF COURSE, WRAP IT UP WITH THE BUDGET CLIMATE. [00:30:04] SO TO RECAP THAT STRATEGIC PLANNING RETREAT DURING THAT TIME, YOU ALL ACKNOWLEDGED THAT THERE WERE SEVERAL COMPETING BUT STILL IMPORTANT PRIORITIES FOR THE COMMUNITY. AS WITH ANY COMMUNITY, THERE'S NOT JUST ONE PRIORITY. OFTENTIMES, WE'RE COMPETING FOR LIMITED FUNDS, AND EVERYTHING'S VERY IMPORTANT. SO WHAT YOU'RE SEEING IS REALLY A SHIFTING IN EVEN GREATER FOCUS ON INFRASTRUCTURE. WE REALLY KICKED THAT OFF WITH THE BOND 2021 PROCESS. BUT WE'RE SEEING AN EVEN GREATER NEED AS WE'RE DIGGING INTO ALL OF THAT. AND THEN ALSO FINALLY IDENTIFYING A SOLUTION FOR THAT PUBLIC WORKS FACILITY THAT'S LOCATED ON SACHSE ROAD, BUT THEN ALSO THE LESSER KNOWN FACILITY, WHICH IS THE PARKS FACILITY ON STATE HIGHWAY 78, WHICH IS NOT QUITE AS BAD BUT IS NOT IN GREAT SHAPE ITSELF AND IS SITTING ON PRETTY VALUABLE LAND ON STATE HIGHWAY 78. SO WE WANT TO COME UP WITH A SOLUTION FOR THAT. IN ADDITION, IN STAFF'S PROFESSIONAL RECOMMENDATION, WE WOULD ALSO RECOMMEND THAT YOU CONSIDER THE WAR FOR TALENT CONVERSATION THAT WE'VE HAD OVER THE YEARS FOLLOWING COVID AND COMPENSATION AND SOME OF THE STRATEGIES THAT WE'VE IMPLEMENTED IN THE LAST TEN YEARS, CERTAINLY TO TO BE THAT THIRD PRIORITY. SO THE RESULT HERE AND THE STORY YOU'RE GOING TO HEAR IN OUR PROPOSED BUDGET IS A PROPOSAL THAT FOCUSES ON THESE THREE MAJOR AREAS. ALL RIGHT. LET'S TALK INFRASTRUCTURE. SO WE KNOW HERE IN SACHSE THAT WE HAVE EXPENSIVE INFRASTRUCTURE NEEDS THAT REALLY HAVE NOT BEEN ADDRESSED FOR ONE REASON OR ANOTHER OVER TIME. AS I ALLUDED TO PREVIOUSLY, WE REALLY KICKED THAT PROCESS OFF WITH THE BOND 2021 PROGRAM, AND WE'VE SEEN SOME GOOD SUCCESS FROM THAT, AND THAT'S WELL UNDERWAY. BUT WE ARE SEEING INFRASTRUCTURE FAILURES ACROSS THE COMMUNITY, WHETHER YOU'RE AN OLDER PARTS OF TOWN OR EVEN SOME OF OUR MORE RECENTLY DEVELOPED PARTS OF TOWN, AS WE HAVE ACCUMULATED DEPRECIATION FOR MAJOR DEVELOPMENTS LIKE WOODBRIDGE THAT WERE PUT IN 25, 30 YEARS AGO THAT ARE STARTING TO DECLINE. AND UNFORTUNATELY WITH THAT STUFF, IT TENDS TO DECLINE ALL AT THE SAME TIME. SO THAT'S AN INTERESTING SET OF CHALLENGES, RIGHT? AS THOSE ARE BEGINNING TO AGE. THESE NEEDS RUN THE GAMUT SO YOU HAVE RESIDENTIAL STREETS, ALLEYS, UTILITIES, COLLECTORS AND MAJOR THOROUGHFARES. SO IT'S NOT LIMITED TO JUST ONE TYPE OF STREET EITHER. AND AGAIN WE STARTED TO ADDRESS THESE IN BOND 2021. BUT CERTAINLY THERE'S MORE WORK THAT COULD BE DONE. AND COUNCIL MEMBER LINDSEY, I THINK THIS MIGHT GET TO YOUR POINT HERE IN JUST A SECOND ABOUT FUTURE CAPACITY. SO WHAT WE'RE RECOMMENDING HERE IS A MULTI-TIERED, MULTIYEAR APPROACH TO CONTINUE BEING PRETTY AGGRESSIVE ON THIS INFRASTRUCTURE. SO ONE OF THE FIRST THINGS WE'D LIKE TO RECOMMEND IS AN ACCELERATION OF THE BOND 2021 PROGRAM AND A COMPLIMENTARY CIP. SO WE'D LIKE TO SELL DEBT EARLIER THAN ORIGINALLY ANTICIPATED, AND WE WOULD PROPOSE A REQUEST FOR COUNCIL AUTHORIZATION ON THAT SALE AT THE SEPTEMBER 16TH MEETING. THIS WOULD ALLOW US TO COMMENCE WORK SOONER THAN ANTICIPATED ON WEST CREEK, WILLIFORD, AND OTHER NEIGHBORHOOD PACKAGES. WHEN WE SET OUT TO DO THE BOND PROGRAM ORIGINALLY, WE DIDN'T WANT TO OVERCOMMIT AND BITE OFF MORE THAN WE CAN CHEW. BUT BUT NOW THAT THE PROGRAM IS WELL UNDERWAY, WE FEEL LIKE WE DO HAVE THE AVAILABILITY TO TAKE ON THESE PROJECTS AND ACCELERATE THE PROGRAM. YOU WILL ALSO SEE A CIP PROPOSAL THAT WORKS IN TANDEM WITH THIS ACCELERATION, AND THE PUBLIC WORKS TEAM HAS ALREADY BEGAN TO IDENTIFY CERTAINLY RESIDENTIAL STREETS, BUT WE ARE ALSO AWARE OF SOME PRETTY BIG COLLECTORS AND THOROUGHFARES THAT COULD BE GOOD CANDIDATES FOR A FUTURE BOND PROPOSITION. BUT THIS STRATEGY, WHAT IT DOES IS IT HELPS US TACKLE THAT DEBT A LITTLE BIT FASTER AND POSITIONS US NICELY FOR A BOND 2028 PROGRAM. AND AS I ALLUDED TO, WE'VE BEGUN THE PROCESS OF IDENTIFYING PROJECTS FOR THAT. WE'VE IDENTIFIED ALREADY ABOUT $9.3 MILLION IN RESIDENTIAL STREETS. AND AND WE ANTICIPATE HAVING A CAPACITY WORKING WITH OUR FINANCIAL ADVISOR OF ABOUT $28 MILLION TOTAL WITH THE CURRENT I&S RATE. SO YOU WERE HITTING THE NAIL ON THE HEAD. YOU JUST GOT IT TO A FEW SLIDES BEFORE WE DID. SO THAT LEAVES US WITH SOME CAPACITY TO TACKLE SOME PROJECTS, LIKE A BLACKBURN/INGRAM, FOR EXAMPLE. SO THE NEXT STEPS, I'M GOING TO TELL YOU SORT OF WHAT WE'RE THINKING AND WHAT YOU'RE GOING TO SEE FROM US. WE'LL RETURN AT THE SEPTEMBER 16TH CITY COUNCIL MEETING TO AUTHORIZE THE SALE OF DEBT TO ACCELERATE THE BOND 2021 PROGRAM. THAT IS NOT ANYTHING NEW OTHER THAN SLIDING IT FORWARD A COUPLE OF YEARS AND LETTING US GET STARTED ON SOME THINGS FASTER. WE WILL ALSO PRESENT A COMPREHENSIVE CIP PROPOSAL THAT WORKS IN CONNECTION WITH THIS ACCELERATED PLAN. AND THEN WE WILL ALSO COME BACK AND PRESENT A LIST OF BOND 2028 PROJECTS IN THE PROPOSED BUDGET FOR COUNCIL'S CONSIDERATION AS WELL. [00:35:01] SO THAT IS ON THE INFRASTRUCTURE FRONT. SHIFTING GEARS TO THAT SECOND PRIORITY, THE PUBLIC WORKS AND PARKS FACILITY. YOU ALL REVIEWED A COUPLE OF OPTIONS RELATIVE TO THIS FACILITY AND THE OPPORTUNITY TO COMBINE THE FUNCTIONS BECAUSE THEY ARE SO SIMILAR INTO ONE FACILITY, TAKING IT OFF STATE HIGHWAY 78, MOVING IT TO THAT SPOT ON SACHSE ROAD, AND MAXIMIZING THE UTILITY OUT OF THAT BUILDING. IN PRIOR CONVERSATIONS, WE HAVE SET ASIDE UNRESERVED FUND BALANCE OVER THE YEARS TO TRY TO TACKLE THAT, AND AT ONE POINT, WE HAD HOPED THAT THIS WOULD BE SUFFICIENT TO PAY FOR THAT OUT OF FUND BALANCE. BUT UNFORTUNATELY, THE REALITY THAT WE ALL KNOW VERY WELL IS THAT RISING COSTS HAVE MADE THAT NOT REALLY A FEASIBLE OPTION FOR US. BUT WE ARE WORKING WITH SOME LIMITATIONS. SOME OF YOU MAY RECALL THAT WE INHERITED THOSE BUILDINGS, THEY WEREN'T ORIGINALLY DESIGNED TO BE PARKS AND PUBLIC WORKS FACILITIES. I BELIEVE THE PARKS FACILITY WAS AT ONE TIME A FIRE STATION FOR US. SO WE MAKE IT WORK, BUT WE HAVE REALLY OUTGROWN THE SPACE, AND NOW WE HAVE EQUIPMENT THAT'S SITTING OUT ON STATE HIGHWAY 78, AND IT'S EXPOSED TO THE ELEMENTS, AND IT'S REALLY NOT BIG ENOUGH FOR WHAT WE NEED. AND THEN THE PUBLIC WORKS FACILITY, WELL, THAT'S KIND OF A ISSUE IN AND OF ITSELF. THAT BUILDING HAS REALLY DECLINED OVER THE YEARS. I'VE GOT SOME PHOTOS HERE FROM SOME OF THE MORE RECENT STORMS THAT HAVE COME THROUGH. YOU CAN SEE IT DOESN'T IT DOESN'T HOLD WATER VERY WELL. AND IT'S REALLY JUST NOT SERVING THE NEEDS OF OUR EMPLOYEES OVER THERE. IT'S A ROUGH FACILITY. THEY DO A LOT OF DIRTY WORK OUT THERE, BUT EVEN STILL, IT'S IT'S BECOMING DIFFICULT TO MANAGE WITH THE CURRENT CONDITIONS OVER THERE. IDEALLY, WE'D ALSO LIKE TO GET THAT PARKS FACILITY BACK INTO A LITTLE BIT MORE PRODUCTIVE USE, THAT'S PRETTY PRIME REAL ESTATE LOCATED ON STATE HIGHWAY 78. AND RIGHT NOW THAT'S TAX EXEMPT BECAUSE IT'S A CITY FACILITY. SO WE ENVISION SOME POTENTIAL THERE. AND IT'S IMPORTANT TO NOTE THAT ONE OF THE THINGS WE TALKED ABOUT DURING THE STRATEGIC PLANNING RETREAT WAS THE POTENTIAL TO PHASE IN THE PROJECT, AND THAT'S LOOKING LIKE THAT MIGHT BE MORE OF A REALITY GIVEN THE COST. HERE'S SOME PHOTOS, NOT VERY MANY PEOPLE GO OUT TO THE PUBLIC WORKS FACILITY, SO THEY MAY NOT KNOW, BUT JUST SOME OF THE CONDITIONS. YOU CAN SEE LOTS OF LEAKING ANYTIME THERE'S A BAD WEATHER EVENT, DRYWALL SEPARATION, CRACKS IN THE WINDOWS. THAT FINAL PHOTO IT'S A LITTLE HARD TO SEE FROM THIS PERSPECTIVE, BUT SOMETIMES IT'S A BIT LIKE WALKING INTO A FUN HOUSE OVER THERE BECAUSE IT'S SHIFTED AROUND A LITTLE BIT, SO IT'S A LITTLE BIT OF A WARPED PERSPECTIVE. AND THEN OF COURSE, WE'VE GOT THE THE PARKS FACILITY AS WELL, MAKING USE OF THAT SPACE. BUT YOU CAN SEE IT'S NOT IDEAL FOR THE TYPES OF ACTIVITIES THAT WE HAVE GOING ON. THEY'VE HAD TO BE PRETTY CREATIVE WITH SOME STORAGE SOLUTIONS OVER THERE, BUT EVEN STILL, WE'RE NOT REALLY ABLE TO FIT OUR EQUIPMENT IN THERE. SO NEXT STEPS RELATIVE TO THIS IS AGAIN, OUR ORIGINAL PLAN WAS TO COVER THE COST OF THE FACILITIES WITH SAVINGS, BUT THAT'S JUST NOT POSSIBLE. WHAT OUR RECOMMENDATION IS, IS TO USE A PORTION OF THE SAVINGS SORT OF AS A DOWN PAYMENT, AND THEN USE THOSE IN COMBINATION WITH SOME COS THAT ARE SPECIFICALLY DESIGNED FOR WATER SEWER USES WHICH IS A VERY NICHE SET OF REVENUE BONDS FOR US. AND WE HAVE THE CURRENT CAPACITY WITHIN OUR EXISTING I&S RATE TO ACCOMPLISH THIS. AGAIN, COUNCILMAN LINDSEY TO YOUR POINT, WE HAVE THE CAPACITY THERE. BUT WE HAVE THE CAPACITY TO DO NOT ONLY THIS ACCELERATE THE BOND 2021 PROGRAM AND START TO PREPARE FOR A BOND 2028 ISSUANCE. AND AGAIN, THIS IS AN OPPORTUNITY TO USE A VERY SPECIFIC REVENUE STREAM TO DO SO. SO WHAT YOU'LL SEE FROM US IS WE ALREADY HAVE MONEY SET ASIDE IN THAT UNRESERVED FUND BALANCE ACCOUNT TO FUND THIS. BUT WE'RE GOING TO COME TO YOU ALL AT AN AUGUST MEETING WITH A DESIGN PROPOSAL TO DESIGN THE FACILITY AND REALLY START TO UNDERSTAND WHAT THE COSTS ARE GOING TO BE ASSOCIATED WITH THAT AND GET THAT PROCESS GOING, BECAUSE IT'LL TAKE WE EXPECT A PRETTY CONSIDERABLE AMOUNT OF TIME TO GET THAT FACILITY DESIGNED. IN THE INTERIM, WE'LL CONTINUE WORKING WITH OUR FINANCIAL ADVISOR TO PLAN FOR THE FUTURE DEBT ISSUANCE. BUT THIS HAS BEEN A PART OF THE CONVERSATION ALL ALONG AS WE'VE BEEN TALKING DEBT CAPACITY WITH HIM, AND HE'S BEEN RUNNING DIFFERENT SCENARIOS FOR US, AND THEN WE WILL RETURN TO YOU ALL IN EARLY SUMMER 2025 TO TALK ABOUT BUILDING OPTIONS AND THAT PLAN DEBT ISSUANCE. SO THAT IS THE PUBLIC WORKS AND PARKS COMBINED FACILITY. [00:40:03] OKAY. SHIFTING OVER TO THAT THIRD PRIORITY, THE WAR FOR TALENT AND COMPENSATION. AS YOU KNOW, WE'VE TALKED TO YOU ALL MANY TIMES OVER THE YEARS, CERTAINLY FOLLOWING COVID, ABOUT THE CHANGING CLIMATE RELATIVE TO TALENT IN THIS INDUSTRY. WE'VE MADE A CONCERTED EFFORT TO MAINTAINING OUR TARGETED GOAL OF BEING IN THE MIDPOINT OF THE MARKET OF OUR COMPARATOR CITIES, IN TERMS OF COMPENSATION. WE HAVE A PRETTY COMPETITIVE MARKET TO KEEP UP WITH, THOUGH. SO WE'VE ALSO INTRODUCED A LOT OF LOW COST, HIGH REWARD BENEFITS TO HELP BE A LITTLE BIT MORE COMPETITIVE. SOME EXAMPLES OF THAT IS THE DRESS FOR YOUR DAY DRESS CODE, THE COMPRESSED WORK SCHEDULE, THE FAMILY CARE LEAVE, AND A VARIETY OF OTHER PROGRAMS, THE CULTURE COMMITTEE TO TRY TO MEET EMPLOYEES WHERE THEY ARE AND OFFER SOME INTANGIBLE BENEFITS AS WELL. WE'VE MADE SOME REALLY GREAT STRIDES. BUT YOU KNOW, IT'S PRETTY DIFFICULT TO KEEP PACE WITH THE MARKET, PARTICULARLY IN DFW. AND I WANT TO CLARIFY THAT OUR TARGETED PHILOSOPHY IS TO BE THE MIDPOINT OF THE MARKET OF OUR COMPARATOR CITIES, NOT THE MIDPOINT OF THE MARKET OF DFW, BECAUSE THOSE ARE TWO VERY DIFFERENT THINGS. AND IT'S ALSO IMPORTANT TO NOTE THAT IT'S ALMOST BEEN TEN YEARS SINCE WE'VE DONE A FULL COMPENSATION STUDY. BEST PRACTICES SUGGEST THAT YOU DO THOSE AROUND EVERY FIVE YEARS. HOWEVER, FIVE YEARS FOR US WOULD HAVE PUT US RIGHT IN THE MIDDLE OF COVID, AND THAT WAS NOT AN APPROPRIATE TIME TO BE MEASURING THE MARKET ON WHAT THEY WERE DOING SO WE POSTPONED THAT. AND IT'S A GOOD POINT TO BRING UP IS JUST THE REALITY CHECK OF THE WORLD THAT WE LIVE IN COMING OUT OF COVID AND THE SHIFTS THAT WE'VE SEEN IN THE MARKET IN THE WAR FOR TALENT. SOME OF OUR COMPARATOR CITIES CHOSE TO BE EXTREMELY AGGRESSIVE IN THEIR MARKET ADJUSTMENTS IN THE TACTICS THAT THEY USE TO ATTRACT EMPLOYEES. SOME CITIES BEGAN ISSUING COMPENSATION UPDATES TWICE A YEAR, ACCELERATING THE MARKET EVEN FURTHER. AND FOUR YEARS LATER, WE HAVE THIS COMPOUNDING EFFECT WHERE YOU HAVE CITIES THAT WERE VERY, VERY AGGRESSIVE. YOU HAVE CITIES THAT ARE DOING MULTIPLE ADJUSTMENTS THROUGHOUT THE YEAR PARTICULARLY IN PUBLIC SAFETY AND WHETHER THEY'RE IN OUR COMPARATOR CITY MIX OR NOT, THEY DRAG THE MARKET FORWARD REGARDLESS. AND IT IS IMPORTANT TO NOTE THAT DFW, THE METROPLEX, IS ONE OF THE MOST AGGRESSIVE MARKETS IN THE COUNTRY, BUT CERTAINLY IN THE STATE OF TEXAS WHEN IT COMES TO COMPENSATION, PARTICULARLY FOR PUBLIC SAFETY. JUST AS A REFERENCE POINT, I'M GOING TO CATCH UP WITH MY NOTES HERE, BUT JUST AN IDEA OF WHAT SOME OF THE OTHER CITIES ARE DOING AS A CONTEXTUAL REFERENCE. WYLIE DID A MID-YEAR COMPENSATION CORRECTION GIVEN IN APRIL OF 2024, AND IT AVERAGED 18% FOR GENERAL GOVERNMENT EMPLOYEES AND 10% FOR PUBLIC SAFETY. THAT'S RIGHT DOWN THE ROAD. ROWLETT, THEY DID 6% FOR PD WITH STEPS, DETENTION STAFF AND DISPATCH STAFF, 5.7% FOR FIRE DEPARTMENT STEPS AND GENERAL GOVERNMENT. AND FRISCO, WHICH IS NOT TYPICALLY IN OUR MARKET BUT DOES TEND TO PULL THE MARKET FORWARD. THEY HAVE A REALLY INTERESTING STRATEGY, AND IT SPEAKS TO KIND OF THE MID-YEAR ADJUSTMENTS. THEY BUDGET ABOUT 3 TO 4% EACH BUDGET CYCLE, AND THEN THEY COME BACK TO COUNCIL IN NOVEMBER AFTER THE BUDGET IS APPROVED ONCE THEY'VE SEEN WHAT ALL THE OTHER CITIES ARE DOING, AND THEY ACTUALLY MAKE THEIR RECOMMENDATION AND THEY IMPLEMENT THAT IN JANUARY. SO THAT IS VERY UNCOMMON. BUT YOU'RE STARTING TO SEE THOSE TYPES OF TACTICS DEPLOYED JUST TO KEEP UP WITH EACH OTHER. SO OUR NEXT STEPS, WHAT YOU'LL SEE FROM US IS YOU'LL SEE A COMPENSATION PROPOSAL THAT IS A LITTLE BIT MORE DETAILED FOLLOWING IN THIS PRESENTATION. THAT INCLUDES A 3% COLA FOR EMPLOYEES NOT RECEIVING A MARKET INCREASE IN AVERAGE OF 4.5%, MARKET ADJUSTMENT FOR SWORN PUBLIC SAFETY PLUS ANNIVERSARY STEPS, AND A 50% CORRECTION ADJUSTMENT BASED ON THE MARKET MIDPOINT FOR EMPLOYEES WHO ARE MORE THAN 10% OUT OF THE MARKET. WE DID A SAMPLING OF EMPLOYEES AND DETECTED THAT SOME OF OUR EMPLOYEES, NOT ONLY ARE THEY NOT IN THE MIDPOINT OF THE MARKET, BUT THEY'RE MORE THAN 10% OFF THE MIDPOINT OF THE MARKET, AND WE USE THAT AS A THRESHOLD FOR IF YOU ARE OUTSIDE OF THIS REALM, THEN WE'RE GOING TO DO A 50% CORRECTION. SO FOR EXAMPLE, IF YOU HAVE AN EMPLOYEE WHO IS 24% OFF MARKET, THEY WOULD BE GETTING A 12% ADJUSTMENT. THAT'S JUST TO KEEP UP WITH HOW FAR OFF THE MARKET THEY ARE AT THIS POINT IN THE BUDGET PROCESS. AND THEN THE OTHER THING YOU'LL SEE FROM US IS THAT WE'LL BE SUBMITTING A COMPENSATION STUDY AS A SUPPLEMENTAL IN THE BUDGET PROCESS. [00:45:01] SO IT'S BEEN TEN YEARS SINCE WE LAST DID IT. IT IS TIME TO BRING IN A CONSULTANT TO LOOK AT EVERYTHING FROM JOB CLASSIFICATION TO PAY BAND TO DISTRIBUTION TO JOB DESCRIPTIONS. AND LOOK AT WHERE SACHSE STANDS RELATIVE TO OUR COMPENSATION STRATEGY. IF THIS ITEM IS APPROVED, STAFF RECOMMENDS WORKING VERY AGGRESSIVELY ON THIS ONE JUST TO KEEP PACE WITH ALL THE CHANGES THAT ARE GOING TO BE MADE DURING THE BUDGET PROCESS. AND WE'D LIKE TO ONBOARD THE CONSULTANT VERY QUICKLY IN THE LATE FALL AND GET THE PROCESS ROLLING SO IT'S READY FOR THE NEXT BUDGET CYCLE. OKAY. BUDGET CLIMATE. SO WE REALIZED THAT REVENUES ARE MORE LIMITED THAN THEY HAVE BEEN IN RECENT YEARS, AS WE APPROACH BUILD OUT, THIS IS TO BE ANTICIPATED. THIS IS WHAT HAPPENS TO EVERY CITY THAT GOES THROUGH A CYCLE OF HIGH GROWTH. AND THEN THE GROWTH DRIES UP AND THEN YOU BECOME A MAINTENANCE AND OPERATION CITY. SO WE ARE GEARING UP FOR THAT. WE ARE ALSO VERY SENSITIVE TO THE IMPACTS ON THE PUBLIC AND THE TAX RATE, BUT WE ARE IN NEED OF MAJOR CAPITAL ITEMS THAT WOULD CONSUME A LOT OF OUR BUDGET SURPLUS. SO WE HAVE LOOKED AT SOME INTERESTING AND ALTERNATIVE FUNDING SOURCES. AND YOU ALWAYS WANT TO BE CAREFUL WHEN YOU SAY INTERESTING IN A BUDGET PRESENTATION AND WHAT THAT MIGHT MEAN, BUT JUST LOOKING AT DIFFERENT WAYS OF FUNDING THINGS. SO WHAT WE'RE PROPOSING IS TO MIRROR PRIOR STRATEGIES THAT WE'VE DONE WITH FIRE APPARATUS AND USING TAX NOTES TO ACQUIRE SOME OF THAT EQUIPMENT, AND THEN REBUILDING THAT BASE BACK INTO THE VERF. AND THESE ARE FOR ITEMS THAT WERE NOT PREVIOUSLY CONTEMPLATED WHEN THE VERF WAS ORIGINALLY SET UP, BUT WOULD BE EXCELLENT CANDIDATES BECAUSE OF THEIR USEFUL LIFE SCHEDULE. THIS STRATEGY, AGAIN, WOULD HELP THE CITY MAINTAIN ITS CURRENT I&S RATE NEEDED FOR OTHER INFRASTRUCTURE ITEMS AND HELPS US ACQUIRE MAJOR EQUIPMENT WITHOUT IMPACTING OPERATING REVENUES. SO WHAT YOU WILL SEE IS YOU WILL SEE US WORKING WITH OUR FINANCIAL ADVISOR TO PREPARE FOR THE ISSUANCE OF TAX NOTES FOR THE ACQUISITION OF GENERATORS. THE RECENT STORMS, AS WE KNOW, BROUGHT INTO QUESTION THE USE OF THOSE PIECES OF EQUIPMENT. AND THEY ARE ABOUT AS OLD AS THE FACILITIES ARE HERE. THEY'RE VERY, VERY, VERY EXPENSIVE, AND THEY TAKE A LONG TIME TO ACQUIRE. SO WE FEEL LIKE TAX NOTES WOULD BE AN APPROPRIATE USE TO ACQUIRE THESE PIECES OF EQUIPMENT. AND THEN WE WOULD ROLL FUNDING AND PLANNING FOR THOSE INTO THE FUTURE, BACK INTO THE VERF SO WE WOULDN'T HAVE TO NECESSARILY DEPLOY THE STRATEGY IN THE FUTURE. AND IF APPROVED AND ONCE ACQUIRED, LIKE I SAID, THESE WOULD BE BUILT BACK INTO THE VERF LIKE WE'RE DOING RIGHT NOW FOR THE FIRE APPARATUS THAT WE'VE PURCHASED USING THIS MECHANISM PREVIOUSLY. AND WITH THAT, I'D BE HAPPY TO ANSWER ANY QUESTIONS THAT YOU ALL HAVE. THANK YOU, MISS ROSE. MISS BUHLER, THANK YOU FOR THAT PRESENTATION. CAN WE TALK ABOUT THE PUBLIC WORKS AND PARKS FACILITY? YES. IS THIS JUST A CONSIDERATION TO RESERVE FUND BALANCE FOR THIS FUTURE PROJECT SINCE WE DON'T HAVE ANY KIND OF NUMBERS AND THAT WILL ALL COME NEXT YEAR? OR DO YOU HAVE SOME NUMBERS, SOME ROUGH ESTIMATE NUMBERS ON HOW MUCH THE FACILITY IS IN THE BALLPARK OF AND HOW MUCH OF SAVINGS VERSUS DEBT? SO YOU ALL HAVE ALREADY RESERVED THE FUNDS IN THE UNRESERVED FUND BALANCE THAT DAVID SHOWED A COUPLE SLIDES AGO. SO THERE ARE FUNDS AVAILABLE FOR THE DESIGN, AND WE WOULD LIKE TO HAVE A FULL DESIGN BEFORE WE START TALKING ABOUT ESTIMATES ON WHAT COSTS ARE, BECAUSE RIGHT NOW IT'S JUST SPECULATION. AND THIS WILL GIVE US A REALLY GOOD IDEA OF WHAT THE ACTUAL COST OF THE BUILDING WOULD BE. HOW MUCH IS THE DESIGN? WE'RE EXPECTING ABOUT $1 MILLION. OKAY. THANK YOU. BEAR IN MIND, THIS WILL BE ABOUT A 27,000 SQUARE FOOT FACILITY AS A REFERENCE POINT. MISS ROSE, YOU TALKED ABOUT THE MARKET ADJUSTMENTS FOR EMPLOYEES AND HIRING NEW CONSULTANTS IF WE DO APPROVE THIS, AND I THINK I UNDERSTOOD WHAT YOU WERE SAYING. BUT FROM A TIMING STANDPOINT, YES THAT WOULD REALLY BE POTENTIALLY AN EFFECT IN THE NEXT YEAR'S BUDGET AS OPPOSED TO THIS, THESE PROPOSED INCREASES. IS THAT CORRECT? THAT'S AN EXCELLENT POINT. SO THE PROPOSED RECOMMENDATIONS WE HAVE FOR COMPENSATION IN THIS BUDGET WOULD BE TO KIND OF PREPARE FOR WHAT'S COMING. AND THE COMPENSATION STUDY WOULD BE A FULL RECOMMENDATION THAT WOULD BE READY FOR NEXT YEAR'S BUDGET. I JUST JUST WANT TO CLARIFY THAT. YES, SIR. OKAY. THANK YOU, MR. LINDSEY. I APPRECIATE YOUR PRESENTATION AS WELL. AND DEFINITELY I COMMEND THE OUR EXECUTIVE STAFF FOR TRYING TO FIND WAYS TO TO INCREASE EMPLOYEE HAPPINESS ON THERE. I KNOW MONEY'S NOT EVERYTHING. IT'S DEFINITELY, DEFINITELY ONE OF THE PREVALENT FACTORS. [00:50:01] BUT I'M GLAD WE HAVE A GOOD PLACE TO WORK AND IT'S GOOD TO HEAR GOOD EMPLOYEE MORALE. BUT THE ONE QUESTION I HAD WAS ON REVENUE BOND. SO ENLIGHTEN ME ON THAT ONE AS WELL. IS, IS THAT JUST KIND OF LIKE A TAX NOTE OR DOES THAT REQUIRE AN ELECTION AS WELL? BECAUSE I HEAR THE WORD BOND IN THERE. YEAH. SO THIS WOULD BE CERTIFICATES OF OBLIGATION OKAY. FOR WATER SEWER OKAY. SO THOSE SHOULD JUST BE ISSUED WITH THE AUTHORITY OF THE COUNCIL. AND THEY'RE NOT BACKED BY PROPERTY TAX OR BACKED BY THE REVENUE COMING IN FROM THE UTILITY FUNDS. IT'S A VERY SPECIFIC REVENUE STREAM THAT WE HAVEN'T UTILIZED HEAVILY HERE IN THE PAST. BUT BECAUSE OF THE SPLIT NATURE OF THIS BUILDING AND BECAUSE WATER SEWER FUNCTIONS WOULD OCCUR IN THIS BUILDING, OUR FINANCIAL ADVISOR HAS ADVISED THAT THIS WOULD BE A POTENTIAL FUNDING STREAM FOR US. OKAY. THANK YOU. YOU'RE WELCOME. [INAUDIBLE] MR. PRESTENBERG. YES. FIRST OFF, YOU SAID THE PUBLIC WORKS BUILDING DOES NOT HOLD WATER WELL, I THINK IT HOLDS IT WELL. IT JUST DOESN'T KEEP IT OUT. MAYBE IT RETAINS IT TOO WELL. THERE YOU GO. YOU TALKED ABOUT OUR COMPARATIVE CITIES FOR TALENT COMPENSATION. JUST WHERE ARE WE IN OUR COMPARATIVE STUDIES? ARE WE MIDDLE, BOTTOM, THIRD CURRENTLY IN OUR CURRENT? ARE WE DEAD LAST? SO IT DEPENDS. IT DEPENDS ON THE JOB RIGHT. IT DEPENDS IF YOU'RE TALKING AVERAGE I GUESS. I'M WE'RE I'LL TALK ABOUT IT LATER. GINA'S GOING TO PROVIDE A LOT MORE. THERE'S A WHOLE SECTION ON COMPENSATION, SO I WOULD BE JUMPING WAY AHEAD. OKAY. I'M NOT ASKING ABOUT NECESSARILY NUMBERS. I JUST WAS CURIOUS. JUST FOR GIGGLES, I GUESS. ARE WE REALLY LOW OR ARE WE? YOU KNOW, I THINK AFTER CORRECTIONS ARE MADE, WE TEND TO BE WITHIN THE MIDDLE OF THE HUNT, BUT USUALLY WITHIN THE LOWER PORTION OF THE MIDDLE OF THE HUNT. RIGHT. BUT WITH SOME OF THE CHANGES THAT HAPPENED THROUGHOUT THE YEAR, IT DOES END UP BEING TO WHERE WE SLIDE TO THE BOTTOM, BUT IT REALLY VARIES BASED ON POSITIONS. YEAH. AND SHE HAS A SLIDE THAT WILL SHOW YOU JUST HOW MUCH WE JUMP AROUND BASED ON POSITIONS WITHIN THE CITY. OKAY. ALL RIGHT. THANK YOU. MAYOR PRO TEM FRANKS. MAYBE A LITTLE BIT TOO SOON, BUT WE'RE GOING TO TALK ABOUT IT LATER. I THINK YOU JUST MENTIONED, MY CONCERN WITH THE COMPENSATION IS THE COUNCIL'S GOAL AS A WHOLE IS TO BE AT THAT MIDPOINT. AND WE ALWAYS FAIL IMMEDIATELY BECAUSE AS SOON AS WE IMPLEMENT IT, WE'RE BACK UNDERNEATH THAT BECAUSE SOMEONE ELSE HAS CAUGHT UP TO US. SO I WOULD LIKE TO MAYBE CHANGE THE PHILOSOPHY THIS YEAR AND AIM A LITTLE BIT HIGHER THAN MIDWAY, BECAUSE IMMEDIATELY WE'RE AGAINST THE WALL ALREADY. THANK YOU. OTHER QUESTIONS FOR MISS ROSE ON THIS SECTION. MR. MILLSAP. I WAS LOOKING FOR YOU THIS TIME. OKAY. ON YOUR PUBLIC WORKS SLIDE NUMBER 27, STAFF WILL DO THE FOLLOWING. COME TO THE CITY COUNCIL IN AUGUST WITH A DESIGN PROPOSAL FOR THE FACILITY USING EXISTING FUNDS. WHO'S GOING TO DO THE DESIGN? I'M SORRY, I DID NOT HEAR YOUR QUESTION. YEAH. YOUR STATEMENT, NUMBER ONE STATEMENT THERE SAYS YOU'RE COME TO THE CITY COUNCIL IN AUGUST WITH A DESIGN PROPOSAL FOR THE FACILITY USING EXISTING FUNDS. WHO'S GOING TO DO DESIGN FIRST? WE'RE RECOMMENDING RON HOBBS. OKAY. MY QUESTION THERE IS, HAVE WE THOUGHT ABOUT USING SOMEBODY ELSE'S NOT NOTORIOUS FOR DESIGNING RELATIVELY EXPENSIVE BUILDINGS? WE CERTAINLY CAN IF THAT'S AND ALSO USING EXISTING FUNDS WHAT ARE WHAT'S THE AMOUNT OF EXISTING FUNDS AND WHAT CRITERIA WILL BE GIVING HIM IN THE WHAT INFORMATION WILL BE GIVING HIM OR INSTRUCTION WILL BE GIVING HIM IN USE OF THIS EXISTING FUNDS? THIS IS A MONEY. YOU CAN ONLY HAVE THIS MUCH TO DESIGN AND ANTICIPATED COST OF A BUILDING, BECAUSE THE REST OF IT'S GOING TO BE USED FOR INFRASTRUCTURE OR WHAT? HOW DO WE DO THAT? MISS NASH IS GOING TO TAKE THAT QUESTION TO THAT. SO WHAT WE HAVE DONE PRELIMINARILY, IS WE HAVE GIVEN HIM ESSENTIALLY A WORK PROGRAM THAT SAYS BASED ON WHAT OUR NEEDS ARE FOR THE FACILITY, FOR THE PARKS SIDE OF THINGS AND FOR THE PUBLIC WORKS SIDE. WHAT IS IT THAT WE NEED FOR THIS FACILITY TO BE OPTIMAL FOR THE LIFE OF A VERY LONG LIFE, OF A BUILDING, FUTURE BUILDOUT, ETC.? AND SO WHAT HE DOES WITH THAT IS AND ESSENTIALLY WHAT WE'VE COME UP WITH IS ABOUT 27,000FT² FOR THE COMBINED BUILDINGS OF BOTH PUBLIC WORKS AND PARKS. THEN HE GOES BACK AND CREATES A PROGRAM AND SAYS, BASED ON THAT, HERE IS WHAT A DESIGN FEE WOULD BE. AND THAT'S CUSTOMARY AND STANDARD IN ARCHITECTURE, BETWEEN 8 AND 10% OF WHAT THEY THINK COULD POTENTIALLY BE THE ULTIMATE BUILD OUT OF A BUILDING, BUT THEY CHARGE YOU THAT AND THEN THEY SPEND PROBABLY WHAT HE'S TELLING US IS GOING TO TAKE ABOUT A YEAR TO DESIGN THE FACILITY AND THEN COME BACK AND BE ABLE TO [00:55:02] TELL US HOW WE WOULD BE ABLE TO CONSTRUCT THIS, IF WE WOULD DO IT ALL AT ONE TIME, IF WE WOULD DO IT MODULARLY. BECAUSE YOU ALREADY HAVE TWO EXISTING FACILITIES, WOULD YOU HAVE ONE CONTINUE TO WORK IN ONE FOR A WHILE WHILE YOU BUILD PART, THEN YOU BUILD THE SECOND PART, YOU COULD BUILD IT IN THREE PARTS. AND WE'VE TALKED ABOUT ALL OF THOSE POSSIBILITIES, BUT THAT'S WHY WE WANT TO HAVE HIM COME BACK IN AUGUST WITH A PROPOSAL AND KIND OF OUTLINE FOR YOU ALL, BASICALLY WHAT THAT WORK PROGRAM IS AND WHAT WE'VE PROPOSED TO PUT IN THAT BUILDING. AND THEN THAT WOULD BE A DISCUSSION FOR US TO HAVE ABOUT WHAT YOU ALL WANT TO DO MOVING FORWARD RELATIVE TO THAT. BUT THE HARD PART WITH FIGURING OUT A PRICE FOR A SPECIFIC PRICE FOR THE BUILDING IS WE REALLY NEED TO GET INTO THE DETAILS OF THE DESIGN, WE NEED TO START DESIGNING IT. NOW, IF THERE'S DIRECTION, WHETHER OR NOT YOU KNOW, THERE IS AN AMOUNT OF MONEY THAT YOU WANT TO SPEND ON THIS FACILITY OR A LOT OF THAT'S GOING TO DEPEND ON SIZE AND WHAT'S INCLUDED IN IT. AND SO IF YOU WANT TO BUILD A MUCH SMALLER FACILITY YOU KNOW, MAY OR MAY OR MAY NOT MEET THE SET OF NEEDS FOR THE LONG TERM. BECAUSE WHEN WE TALKED ABOUT THIS INITIALLY, WE TALKED ABOUT THAT WE WANTED TO BUILD THIS BUILDING AND KIND OF BE DONE, NOT HAVE TO BUILD ANOTHER ONE, MAYBE REHABILITATE IT, WHATEVER, BUT THAT THIS WOULD BE FOR THE ULTIMATE BUILD OUT OF THE COMMUNITY. BUT THESE ARE ALL CERTAINLY ITEMS AND POLICY DISCUSSIONS THAT WE CAN HAVE WHEN WE BRING THAT ITEM BACK TO YOU GUYS IN AUGUST. YEAH I WOULD JUST PIGGYBACK ON MR. MILLSAP QUESTION, AND GOING BACK TO THE CORE OF THIS ISSUE IS WHETHER IT'S MR. HOBBS OR SOMEONE ELSE THAT'S ULTIMATELY UP TO COUNCIL. ABSOLUTELY, YEAH. OKAY, SO WE COULD TALK ABOUT THAT. OKAY. LET'S TALK ABOUT IT BEFORE WE DO IT I DON'T SEE ANYBODY ELSE IN THE QUEUE. ANY OTHER QUESTIONS? WE CAN ALWAYS COME BACK BEFORE WE MOVE ON, ANY OTHER QUESTIONS FOR MISS ROSE? ALL RIGHT. SEEING NONE. THANK YOU MISS ROSE. [INAUDIBLE] ALL RIGHT, SO I'M BACK UP HERE TO SPEAK TO THE YEAR TO DATE UTILITY FUND. YEAR TO DATE SLIDE. THAT'S SLIDE 11. I'M AFRAID TO GO BACK 22 SLIDES AND LOSE OUR PLACE GET EVERYONE DIZZY. BUT THAT OTHER REVENUE LINE, THE 104% I IF I DID IT RIGHT, I WOULD HAVE PUT 504%. BUT IT'S AN INCORRECT NUMBER AS THE ACTUAL. SO THIS SLIDE EXCLUDES CAPITAL PROJECT FUNDING. LET'S GO AHEAD AND GO BACK OKAY FOR THE PUBLIC I THINK ALL THE WAY TO 11. YEAH I'M SITTING HERE WITH MY CLICKER. YOU MAY BE FASTER UP THERE, BUT I'LL JUST. I THOUGHT YOU COULD JUST PUNCH IN THE NUMBER OF THE SLIDE. WELL IT'S NOT. THERE YOU GO. THANK YOU. OKAY. THE OTHER REVENUE LINE THAT ACTUALS NUMBER ON OTHER REVENUE THERE IS A REVENUE SOURCE WHICH IS A TRANSFER IN FROM ANOTHER FUND FOR CAPITAL PROJECT ACTIVITY. I REMOVED $2 MILLION FROM THE BUDGETED AMOUNT, TURNING $2.5 MILLION INTO $521,000. I DID NOT REMOVE $1.5 MILLION FROM THAT $2.6 MILLION NUMBER. AND SO THE $2.6 NUMBER THERE SHOULD BE $1,127,274. THE PERCENT SHOULD SHOW 216% GROWTH, AND THE REVENUE SHOWING THERE AT THAT PERCENTAGE AT LEAST, IS CORRECT AT 74%. SO ALL IS WELL. IT'S ME INCORRECTLY OR NOT REMOVING JUST ONE PORTION OF ONE TIME REVENUE. WHY DO WE GO FROM $521,000 BUDGETED REVENUE TO $1.1 MILLION. IT'S DUE TO INTEREST. WE BUDGETED $250,000 TO THE UTILITY FUND. SO FAR WE'VE COLLECTED $837,000. OKAY, SO TO MAKE THIS CLEAR, THE BUDGETED AMOUNT OF OTHER REVENUE IS STILL 521. THAT'S CORRECT. CORRECT. ACTUAL IS 1.127274. CORRECT FOR 216% CORRECT OKAY. SO THAT CHANGES THE ACTUAL NUMBER FOR THE TOTAL REVENUE. YES. THE TOTAL REVENUE ACTUAL NUMBER BECOMES $12,367,532. DID I GET AHEAD OF YOU? WERE YOU HEADING THERE NEXT? WHAT'S THAT? DID I GET AHEAD OF YOU, WERE YOU HEADING THERE NEXT? NO, NO, I'M FOLLOWING YOU. SO THEN THE TOTAL OPERATING EXPENDITURES, I WOULD ASSUME, ARE STILL $10,280,196. CORRECT. SO THAT AFFECTS OUR DEFICIT THEN TO. I DID NOT DO THAT MATH, BUT YES, IT REDUCES IT BY $1.5 MILLION. OKAY. I HAVE A CALCULATOR. THAT'S WHERE YOUR MATH COMES IN. IT'S APPROXIMATELY $200 MILLION, GIVE OR TAKE. [01:00:03] SAY THAT ONE MORE TIME. IT'S ABOUT $2 MILLION $2,087,000 OKAY. ARE YOU OKAY MAYOR PRO TEM FRANKS. WELL, LET ME REPHRASE THAT. ARE YOU OKAY WITH THE ANSWER? YES. THANK YOU. OKAY. ALL RIGHT. THANK YOU, MR. BALDWIN. OKAY, BACK TO MISS NASH WHEN SHE GETS TO THE SLIDE. NOW DAVID'S FLIPPING FOR ME. THERE WE GO. THANK YOU DAVID. ALL RIGHT, SO NOW WE'LL TALK ABOUT THE PRELIMINARY BUDGET. SO I'LL JUST DO A QUICK OVERVIEW OF THE BUDGET CALENDAR. I'LL GO INTO THE BASE BUDGETS THE THE CIP, AT LEAST AT A HIGH LEVEL, TALK ABOUT COMPENSATION, AND THEN WE'LL TALK A LITTLE BIT ABOUT SUPPLEMENTAL REQUESTS. MIC] ALL RIGHT, SO JUST GIVING YOU ALL AN OVERVIEW OF WHAT THE BUDGET CALENDAR IS GOING TO LOOK LIKE, REALLY ESSENTIALLY FOR THE REST OF THIS BUDGET PROCESS IS SOME KEY DATES HERE. SO YOUR NEXT REGULAR CITY COUNCIL MEETING IS MONDAY, AUGUST THE 5TH, AND DALLAS COUNTY WILL SUBMIT THE COMPLETED NO NEW REVENUE AND VOTER APPROVAL TAX RATE WORKSHEETS TO THE ENTITIES. YOU, WE WILL BE SHIFTING GEARS THAT NIGHT AND REALLY TALKING NECESSARILY NOT ABOUT BUDGET BUT OTHER THINGS ON A REGULAR AGENDA. BUT JUST THIS IS AN ITEM JUST TO LET YOU KNOW THAT THAT'S AN IMPORTANT CHECKPOINT WITH US RELATIVE TO THIS INFORMATION. SO WHILE WE'RE GOING THROUGH EVERYTHING TONIGHT OF THE BUDGET, REMEMBER, THIS REALLY IS SORT OF A HIGH LEVEL LOOK AND A WORKSHOP OF OUR OUR BEST NUMBERS TO THIS POINT. WE ONLY JUST GOT OUR FINAL TAX NUMBERS FOR CERTIFIED ROLLS ON JULY 25TH. SO IT IS IT IS THE RACE THE RACE IS ON WHEN IT COMES TO PUTTING EVERYTHING TOGETHER TO BE ABLE TO GIVE YOU ALL THIS SUBMITTED BUDGET FOR THIS WORKSHOP AT THIS MEETING. BUT UNDERSTANDING WHY THIS IS IMPORTANT IS WE'RE GOING TO CONTINUE TO BE WORKING ON THOSE NUMBERS AS DALLAS COUNTY CONTINUES TO GO THROUGH ALL OF OUR TAX RATE WORKSHEETS THROUGH AUGUST THE 5TH. AUGUST THE 8TH, WE WILL HAVE A MUNICIPAL DEVELOPMENT DISTRICT MEETING, AND THAT'S OUR MDD BOARD. AND THEY WILL APPROVE THEIR FINAL BUDGET AT THEIR MEETING THEN THE BUDGET TOWN HALL MEETING. THE SECOND ONE, AS WAS REFERENCED EARLIER, THE MAYOR HAD A TOWN HALL MEETING ON JUNE 11TH. WE'LL HAVE ANOTHER ONE ON AUGUST THE 13TH TO GET PUBLIC INPUT ON THE BUDGET. AUGUST 15TH WILL BE THE REGULAR SACHSE EDC MEETING, AND THEY WILL APPROVE THEIR FINAL BUDGET AS WELL. AS, YOU KNOW, THEY'VE SEEN IT SEVERAL TIMES OVER THE LAST FEW MONTHS IN PREPARATION FOR THEIR FINAL APPROVAL. AND I AM REQUIRED BY THE CHARTER BY AUGUST 15TH TO GIVE THIS THE MY PROPOSED BUDGET TO THE COUNCIL AND THAT IT'S AVAILABLE TO THE PUBLIC AT THAT TIME. MONDAY, AUGUST 19TH, YOU WILL HAVE ANOTHER CITY COUNCIL MEETING WHERE WE WILL AGAIN GO OVER A HIGHER LEVEL VERSION OF THIS BUDGET PRESENTATION, SINCE YOU WILL HAVE ALREADY HEARD THIS VERSION. WE WILL SCHEDULE PUBLIC HEARINGS, THE RECORD VOTE ON THE MAXIMUM TAX RATE TO CONSIDER, DISCUSS THE BUDGET, PRESENT THE NO NEW REVENUE RATE, THE VOTER APPROVAL TAX RATE, AND THE CERTIFIED APPRAISAL TAX RULES. SO AGAIN, THAT'S, YOU KNOW, CERTAINLY IN ANOTHER THREE WEEKS FROM NOW THAT WE WILL BE DOING THAT. ON AUGUST 20TH, WE WILL POST THE NOTICE OF PUBLIC HEARING AND THE EXPLANATION OF TAX RATES ON THE CITY WEBSITE, AS REQUIRED BY LAW, AND ON AUGUST 27TH PUBLISH THE NOTICE OF PUBLIC HEARING. TUESDAY, SEPTEMBER THE 3RD, THE DAY AFTER LABOR DAY, YOU WILL HAVE CITY COUNCIL MEETING TO HOLD YOUR PUBLIC HEARING ON THE BUDGET BUDGET DISCUSSION AND SET THE DATE FOR ADOPTION AND THEN YOUR NEXT REGULAR CITY COUNCIL MEETING ON SEPTEMBER 16TH, AGAIN HOLDING THE PUBLIC HEARING ON THE TAX RATE, ADOPTING THE BUDGET, RATIFYING THE TAX RATE IN THE BUDGET, AND APPROVING THE PROPOSED TAX RATE. SO REALLY WHAT I'LL GO OVER IN THIS SECTION NOW IS THE BASE BUDGET AS WE TALK ABOUT THAT REALLY IT IS THE PRIOR YEAR BUDGET LESS ANY ONE TIME ITEMS AND CAPITAL PROJECT FUNDING AND THE COST OF ESSENTIALLY CONTINUING EXISTING SERVICE LEVELS. SO SOMETIMES WHAT YOU WILL SEE IN THESE EXPENDITURE LINE ITEMS IS WE WILL HAVE EXISTING CONTRACTS THAT COSTS WILL GO UP. AND SO YOU WILL SEE THAT REFLECTED IN SOME OF THESE OR OTHER EXISTING COSTS FOR THINGS THAT WE ARE DOING THE COSTS ARE RISING. [01:05:08] AND SO YOU WILL SEE THOSE REFLECTED IN THESE BUDGETS. WE DON'T LIST THOSE AS SUPPLEMENTAL REQUESTS BECAUSE AGAIN, THESE ARE JUST THE COST OF EXISTING LEVELS OF SERVICE THAT WE ARE CONTINUING TO WANT TO FUND. THE SUPPLEMENTAL REQUESTS ARE DIFFERENT AND THAT THOSE ARE REQUESTS FOR ADDITIONAL BUDGET, ADDITIONAL BUDGET, SORRY, RELATIVE TO ANY KIND OF ENHANCEMENTS OF PROGRAMS OR SERVICE ENHANCEMENTS OR ANY LARGE ONE TIME ITEMS. SO THAT'S THE LIST OF SUPPLEMENTAL REQUESTS THAT ARE SEPARATE AND APART FROM OUR BASE BUDGET. SO LET'S TALK ABOUT WHAT THE GENERAL FUND ASSUMPTIONS WERE IN THIS BASE BUDGET. SO YOU HEARD LAUREN ROSE TALK SPECIFICALLY ABOUT WHAT YOU ALL MENTIONED THROUGH THE STRATEGIC PLANNING PROCESS AS THINGS THAT WERE IMPORTANT TO YOU RELATIVE TO PREPARATION OF THE BUDGET. AND WE TOOK THAT INFORMATION, AND WE HAVE BEEN WORKING OVER THE LAST SEVERAL MONTHS TO COME UP WITH WHAT YOU'RE ESSENTIALLY GOING TO SEE THROUGHOUT THE NEXT SEVERAL SLIDES. AND SO WHAT THIS ASSUMES ON THE REVENUE SIDE IN TERMS OF PROPERTY TAXES, AS DAVID MENTIONED, OUR CERTIFIED VALUES ARE AT $4.64 BILLION, AND IT ASSUMES A TAX RATE OF 0.650416. THAT IS THE CURRENT TAX RATE OF THE CITY OF SACHSE. SO MY RECOMMENDATION THROUGH THIS IS THAT WE MAINTAIN THE CURRENT TAX RATE. SALES TAX IS GROWING, AS DAVID SAYS, BUT WE ARE BUDGETING CONSERVATIVELY. OUR FRANCHISE FEES ARE STEADY. WE TALKED TO ADHERE ABOUT LICENSES OF PERMITS AND THAT WE ARE ANTICIPATING SOME DELAYS ON PROJECTS, ESSENTIALLY BECAUSE WE'RE IN AN INFLATIONARY CAPITAL MARKET AND SOME PROJECTS HAVE JUST BEEN DELAYED. BUT AS I SAID, IT'S IT'S A LEVER SITUATION ON SOME OF THESE THINGS. IF WE DON'T HAVE AS MUCH ON THE PERMIT SIDE, WE DO HAVE SOME WAYS TO BALANCE IT OUT ON THE EXPENDITURE SIDE RELATIVE TO PLAN, REVIEW AND OTHER THINGS. EXPENDITURES. REALLY, WHAT WE STICK WITH ARE TWO VERY IMPORTANT ASSUMPTIONS, AS THE COUNCIL HAS ALWAYS WANTED FOR US TO MAINTAIN THE QUALITY SERVICES THAT WE WILL CONTINUE TO PROVIDE AND MANAGE A MINIMAL BASE BUDGET GROWTH DESPITE INFLATION. SO I THINK THAT WHAT IS SUBMITTED HERE ACCOMPLISHES BOTH BOTH OF THOSE THINGS. SOME FURTHER ASSUMPTIONS, AS WE'VE ALREADY TALKED ABOUT, ARE GROWTH IS CERTAINLY LEVELING OFF, BUT WE DO CONTINUE TO HAVE INFILL AND FUTURE DEVELOPMENTS AT FIFTH STREET, WOODBRIDGE CORNERS AND OF COURSE, WHAT WE HAVE GOING ON IN THE PRESIDENT GEORGE BUSH TURNPIKE AREA. BUT ALSO THAT CONTINUED PLANNING AND PREPARING FOR AN EXIT FROM THE HIGH GROWTH PHASE BY RESPONDING TO THE NEEDS EXPRESSED BY BOTH OUR RESIDENTS AND THE CITY COUNCIL. SO THIS IS JUST A DIFFERENT LENS ON WHICH DAVID SHOWED YOU THE REVENUE EARLIER, EXCEPT WE'RE SHOWING YOU WHAT WE'RE SUGGESTING AS OUR PRELIMINARY BUDGET FOR 24-25. SO YOU CAN SEE SOME MINOR CHANGES HERE. CERTAINLY AN INCREASE INCREASE IN OUR GROWTH AND PROPERTY TAXES BY ABOUT 9% IS WHAT WE'VE BUILT INTO OUR BUDGET BASED ON THE INFORMATION WE'VE BEEN GIVEN FROM BOTH APPRAISAL DISTRICTS. A HEALTHY INCREASE IN SALES TAX, CERTAINLY CONSERVATIVE, BUT WE STILL BELIEVE THAT WE'LL HAVE A HEALTHY INCREASE. FRANCHISE FEES. A SLIGHT REDUCTION THERE. CERTAINLY A MODEST IMPROVEMENT IN OUR LICENSES AND PERMITS. FEES WITH A SLIGHT INCREASE, COURT FINES AS WELL. INTEREST. WE CONTINUE TO DO WELL THERE AND HAVE BUDGETED FOR THAT IN OUR PRELIMINARY BUDGET FOR 24-25 AND AS WELL AS SOME OF OUR OTHER REVENUES, FOR A TOTAL OF OVERALL, AN INCREASE OF REVENUE OF ABOUT 9%, ALMOST $2.5 MILLION. SO WHEN YOU LOOK AT OUR GENERAL FUND DEPARTMENTAL SUMMARIES, THE DIFFERENCES OFTEN BETWEEN OUR OPERATING BUDGETS AND OUR PRELIMINARY BUDGET FOR 24-25, SOME OF THIS HAS A LOT OF THIS HAS TO DO WITH SOME OF THE PERSONNEL CHANGES OVER LAST YEAR'S BUDGET TO THIS YEAR'S BUDGET, WITH, YOU KNOW, RAISES AND THINGS LIKE THAT FROM LAST YEAR TO THIS YEAR BECAUSE ALL OF THAT HAS TO FEED IN. AND SO YOU'LL SEE SOME GROWTH IN THOSE LINE ITEMS IN PARTICULAR. IN TERMS OF AREAS TO NOTE, I WOULD SAY THAT ONE POINT WHERE YOU'LL SEE COMBINED SERVICES, SINCE THAT CAN BE A LITTLE BIT OF A CONFUSING LINE ITEM, IT'S 11% INCREASE. WE HAD TO INCREASE OUR GENERAL LIABILITY AND PROPERTY INSURANCE. AND I'LL GO INTO THAT A LITTLE MORE SPECIFICALLY IN A LATER SLIDE, BUT THAT'S WHY YOU SEE THAT INCREASE THERE. CERTAINLY DEVELOPMENT SERVICES THAT HAS AN INCREASE BECAUSE WE ARE USING CONTRACT INSPECTORS FROM BUREAU VERITAS. BUT AGAIN, IF THE LICENSES AND PERMITS SPECIFICALLY DON'T GO UP, THEN THAT NUMBER DOESN'T NECESSARILY GO UP AS WELL. [01:10:09] THAT NUMBER WOULD BE REDUCED BECAUSE WE WOULDN'T USE THAT CONTRACT. SAME WITH BASICALLY THE OTHER INCREASES THAT YOU SEE IN HERE, THE OTHER LARGE INCREASE THAT YOU SEE PARTICULARLY RELATIVE TO SACHSE FIRE RESCUE IS WE HAD A VEHICLE AND EQUIPMENT REPLACEMENT FUND TRANSFER FOR THE FIRE APPARATUS, A $370,000 PLUS THE INCREASE IN PERSONNEL COSTS FROM LAST YEAR, SO OF $256,000. BUT I WANTED YOU TO KNOW THAT NOT ALL OF THAT WENT TO SALARIES, PART OF THAT IS THE VEHICLE AND EQUIPMENT REPLACEMENT FUND. AND THEN IN FINANCE, WE HAD SOME SOFTWARE LICENSING COST INCREASES, OUR PROPERTY APPRAISAL SERVICE INCREASES THAT CAME IN AND WE HAD SOME YOU KNOW, PERSONNEL AND OTHER THINGS THAT ARE BAKED INTO THAT. BUT THE 10% MOSTLY IS BECAUSE OF TWO KEY CONTRACTS THAT WE'VE SEEN INCREASES IN. AND ALL OF THIS IS WITHIN YOUR DETAIL, WITHIN YOUR BUDGET BOOKS. IN THESE LINE ITEMS, HUMAN RESOURCES, WE'VE DONE A SLIGHT REDUCTION IN THAT LINE ITEM BECAUSE WE HAVE MOVED PAYROLL SOFTWARE AND BASICALLY PAYROLL, MOVING THAT OVER TO FINANCE AND HAVE HAD A REDUCTION THERE AS A RESULT OF THAT. AND YOU'LL LOOK HERE AND I'M JUST LOOKING DOWN AT SOME OF MY OTHER THINGS. NOTHING SPECIFICALLY LARGE OF NOTE RELATIVE TO ANY OF THESE LINE ITEMS THAT I WOULD SPECIFICALLY CALL OUT. NEIGHBORHOOD SERVICES, THAT DALLAS HOUSEHOLD HAZARDOUS WASTE SERVICE CHARGE. WE ACTUALLY MADE THAT MOVE OVER THERE AND THAT'S WHY YOU SEE A 16% INCREASE. RECREATION. WE ON I'M LOOKING PROGRAM COSTS AND SERVICES. WE HAD SOME REVENUE OFFSETS RELATIVE TO SOME SPECIAL EVENTS AND PROGRAMS FOR RED, WHITE AND BLUE BLAST AND SOME OTHER ITEMS THERE. AND I DON'T SEE ANY OTHER THINGS IN HERE OF MAJOR NOTE OTHER THAN THAT. SO OVERALL, WHEN YOU LOOK AT OUR REVENUES WE'RE LOOKING AT ABOUT A 9% GROWTH TO THE BASE BUDGET. BUT ALSO OUR OPERATING EXPENDITURES AT ABOUT 7%. SO OVERALL, YOU'RE SEEING THAT CHANGE IN NUMBER OF ABOUT $259,564. IN TERMS OF OUR UTILITY FUND ASSUMPTIONS, WE TALKED ABOUT THIS A LITTLE BIT EARLIER RELATIVE TO AT THE BEGINNING OF THE PRESENTATION, THAT OUR WATER RATES WILL INCREASE BY ABOUT 7%, AS OUR SEWER RATES WILL INCREASE AT ABOUT 2%. JUST AS A REMINDER TO THE PUBLIC, THE NORTH TEXAS MUNICIPAL WATER DISTRICT SELLS US WATER. AND SO WE PASS THAT INCREASE ON TO OUR RESIDENTS. AND WITH SEWER GARLAND TREATS OUR SEWER. AND SO WE PASS THAT ALONG AS WELL SO YOU'LL SEE THAT ON THE EXPENDITURE SIDE, WITH OUR WHOLE WHOLESALE WATER RATE INCREASES AND OUR SEWER TREATMENT RATE INCREASES. IN TERMS OF THE UTILITY FUND REVENUE, ONE OF THE THINGS THAT I DO WANT TO JUST HIT PAUSE ON, ON THIS ONE IS JUST A REMINDER. DAVID DID MENTION THIS IN HIS PRESENTATION THAT WE DID HAVE OUR OUR STUDY DONE ON OUR WATER AND SEWER RATES. IT'S BEEN FIVE YEARS AGAIN SO IT WAS TIME TO DO OUR, OUR STUDY, AND WE INCLUDED THE ASSUMPTIONS AND THE RATES FOR THE PURPOSES OF THIS PRESENTATION. BUT THE CONSULTANT WILL ACTUALLY COME IN ON AUGUST 19TH AND GO THROUGH ALL OF THE SPECIFICS RELATIVE TO THIS. AND SO THIS IS US BUILDING THOSE RATES IN NOW WITH HER BEING ABLE TO DO A COMPLETE A FULL PRESENTATION AT YOUR AUGUST 19TH CITY COUNCIL MEETING. BUT WHAT YOU CAN SEE OVERALL IS THAT REVENUES HERE, WE WOULD HAVE A GROWTH IN REVENUE BETWEEN OUR 23-24 AMENDED BUDGET AND OUR PRELIMINARY 24-25 BUDGET OF ABOUT 10%. AND THEN WHEN YOU LOOK AT THE EXPENDITURE SIDE AND YOU LOOK AT THE DIFFERENT AREAS THAT WE HAVE UTILITY ADMINISTRATION, WATER OPERATIONS, SEWER OPERATIONS AND DRAINAGE, WHICH I'LL REFER TO IN JUST A MOMENT, REALLY A MODEST INCREASE IN TERMS OF THAT SIDE OF 3%. SO JUST A COUPLE REMINDERS ON THIS. WE DO HANDLE THE UTILITY FUND DIFFERENT BECAUSE WE ARE REQUIRED TO, WITH THEIR ACCOUNTING TO HANDLE IT DIFFERENTLY THAN WE DO THE GENERAL FUND. SO WHAT YOU'LL SEE WITH THE 23-24 OPERATING BUDGET IS THAT IT EXCLUDES THE ONE TIME SUPPLEMENTALS AND CAPITAL PROJECT FUNDING, AND THE [01:15:06] 24-25 PRELIMINARY BUDGET EXCLUDES OUR ONE TIME TRANSFER TO THE UTILITY VERF, BUT DRAINAGE, THE STORMWATER UTILITY FEE THAT WE CHARGE ALL OF OUR RESIDENTS, ALL OF THOSE EXPENDITURES ARE CAPITAL PROJECT FUNDED SO WE DON'T REFLECT THAT IN HERE. AND THAT WILL BE DISCUSSED AS PART OF OUR CAPITAL PROJECT FUNDING IN THE PROPOSED BUDGET THAT I'LL TALK ABOUT CIP IN AUGUST. SO WE DON'T REFLECT IT IN THIS BECAUSE WE DON'T USE ANY OF THAT MONEY FOR OPERATIONS THAT'S ONLY USED FOR CAPITAL PROJECTS. SO AGAIN, IN SUMMARY, YOU HAVE OUR REVENUES PROJECTED GROWTH AT ABOUT 10% OR OPERATING EXPENSES AT ABOUT 3% OVERALL. SO LET'S MOVE OVER TO THE DEBT SERVICE ASSUMPTIONS. SO IN THIS AGAIN NO CHANGE IN THE TAX RATE IS BEING PROPOSED. THOSE ARE THE ASSUMPTIONS IN WHICH WE BUILT THIS. AND YOU'LL SEE IN THE COMING SLIDES WHAT'S REFLECTED IT REFLECTS THE FACT THAT WE DID NOT RAISE THAT RATE. SO REMEMBER WHEN WE DO DEBT SERVICE IT'S WE DO HAVE THE TAXABLE VALUE LESS OUR CONTRIBUTION, OUR TAX INCREMENT REINVESTMENT ZONES ONE, TWO AND THREE OF ABOUT $3.7 BILLION OF VALUE AND THE CERTIFIED VALUE OF $4.64 BILLION. THEN AGAIN, THE FREEZE VALUE IS $620 MILLION AND THE TIRZ VALUES OF $459 MILLION. SO OUR TAXABLE VALUE IN TOTAL, ONCE YOU TAKE OUT ALL OF THOSE CONTRIBUTIONS, ABOUT $3.7 BILLION, BUT AGAIN RECOMMENDING WE STAY WITH OUR CURRENT DEBT SERVICE RATE. SO IN DOING THAT, WHEN YOU LOOK AT THE SUMMARY HERE, OUR REVENUE WILL BE SLIGHTLY HIGHER IN THIS FUND. AND THEN OF COURSE WE WILL HAVE OUR DEBT SERVICE PAYMENTS. BUT THEY ARE REDUCED BECAUSE WE ARE DOING SOME REFUNDINGS WHICH WE'LL TALK ABOUT HERE IN THE NEXT SEVERAL SLIDES. IN TERMS OF ECONOMIC DEVELOPMENT, WHICH YOU'LL SEE HERE AT A HIGH LEVEL IS CERTAINLY A REVENUE INCREASE BECAUSE SALES TAX IS UP. THE OPERATING EXPENSES I'LL TALK A LITTLE BIT ABOUT HERE. I LOST MY SPOT. CURRENTLY, AS YOU KNOW, OVER THE LAST COUPLE OF YEARS SINCE I HAVE TAKEN OVER AS CEO OF THE EDC THE, THE PHILOSOPHY HAS BEEN, LET'S TRY TO KEEP OUR OPERATING EXPENDITURES AS LOW AS POSSIBLE, SO THAT WE CAN CONTINUE TO ADD TO THE FUND BALANCE OF THE EDC, TO BE ABLE TO PAY FOR PROJECTS AND BE ABLE TO USE IT AS FUNDING FOR INCENTIVES. AND SO WHAT YOU'LL SEE HERE, WITH THAT PRELIMINARY BUDGET NUMBER OF $2,155,463, THE MAJOR DIFFERENCE THERE IN THAT CHANGE HAS TO DO WITH ASSUMING FUNDING ALL INCENTIVES WITHIN THE OPERATING BUDGET. SO YOU HAVE TO BE ABLE TO ACCOUNT FOR PAYING FOR THOSE INCENTIVES, AND IT HAS TO BE DONE THROUGH THE OPERATING EXPENDITURES WITHIN THAT BUDGET. AND SO THE EDC HAS TO BE AN ALL ENCOMPASSING FUND, AND IT ALL HAS TO HAPPEN WITHIN THAT FUND. UNLIKE THE GENERAL FUND, WHEN WE HAVE CAPITAL PROJECTS, WE PUT IT IN A SEPARATE FUND. SO ALL OF THOSE INCENTIVES AND ALL OF THOSE THINGS THAT WILL BE COMING DUE ARE COMING FORTH IN THAT $2,155,463. SO A BIG PORTION OF THAT, LIKE I SAID, $935,000 IS RELATIVE TO INCENTIVES. AND SO WHEN YOU TAKE THE DELTA OF THAT, THAT'S WHERE YOU SEE WHERE IT IS AN INCREASE TO THE BUDGET. BUT THE MAJORITY OF THAT IS THE INCENTIVES THAT NEED TO BE BUDGETED FOR, SUCH AS THE BUNKER HILL RETAIL PROJECT DUTCH BROTHERS, PROJECT RUBY, PROJECT YOSEMITE, AND THOSE ARE THE MAJOR PROJECTS THAT ARE INCLUDED IN THAT. AND I'M GOING TO LET DAVID GET UP AND TALK NOW ABOUT THE GENERAL FUND REVENUE ALLOCATIONS IN DETAIL. WELCOME BACK. THANK YOU. ALL RIGHT. SO FOR THE VERF FUND IT'S NOW DESIGNATED, THERE'S A DIFFERENCE BETWEEN A GENERAL VERF WHICH IS GENERAL FUND TYPE VEHICLES AND A UTILITY VERF. NEW GEN CAME HERE AND DID A PRESENTATION AND RECOMMENDED THAT THE UTILITY FUND THAT'S VEHICLE REPLACEMENT FUNDS BE SEPARATED TO CREATE A SPECIFIC UTILITY FUND VERF. SO I'M GOING TO PRESENT THAT UTILITY FUND VERF. BUT ALSO NOW THE VERF, AS YOU KNEW IT BEFORE, IS NOW CALLED THE GENERAL VERF. SO ALSO PRESENTED TO COUNCIL PREVIOUSLY WAS A DISCUSSION ABOUT THE COST OF VEHICLES. [01:20:02] WE ALL YOU KNOW CAN CAN THOSE IN THE MARKET TO PURCHASE KNOW THAT VEHICLE COSTS HAVE HAVE INCREASED ANY OF US DEALING WITH INSURANCE. YOU KNOW FOR A LITTLE BUMPER A LITTLE FENDER BENDER KNOW THAT PARTS COSTS HAVE INCREASED. AND SO THAT MEANS THAT WE NEED TO INCREASE OUR FUNDING FOR FUTURE REPLACEMENT OF VEHICLES. SOME VEHICLES ARE REPLACED EVERY 20 YEARS, OTHERS EVERY 10, 7. AND SO WE SHIFT WE MOVE ALL OF THOSE REVENUES OVER TO A FUND WHERE IT'S NOT TOUCHED AND FUNDS CAN BE AVAILABLE FOR FUTURE REPLACEMENT. SO MONEY COMING FROM THE GENERAL FUND TRANSFERRING TO THIS GENERAL VERF FUND IS WHAT I'M GOING TO SPEAK ABOUT NOW. DEVELOPMENT SERVICES SHOWS A $10,000 INCREASE, THAT'S 67%. SO IT LOOKS LARGE, BUT IT'S JUST THE GENERAL CATCH UP OF THE FUND BALANCE THAT WE HAD IN THE VERF. THAT WAS JUST LOW PER THE CURRENT, EXCUSE ME, PER THE CURRENT COST OF VEHICLES. FOR FIRE RESCUE. THAT INCREASE THAT WE'VE ALLUDED TO A FEW TIMES IS $370,000. IF YOU RECALL, THERE WERE TAX NOTES YEARS BACK, BACK, AND I BELIEVE THOSE PAID FOR A PUMPER, AN AMBULANCE AND A BRUSH TRUCK. NOW THAT WE HAVE THOSE VEHICLES OR WE'LL BE GETTING THEM SOON, WE NEED TO PREPARE FOR THE NEXT REPLACEMENT. AND SO THAT'S THIS INCREASE IN CONTRIBUTIONS TO THE VERF SO THAT WE CAN PURCHASE IT WITH EXISTING FUNDS IN THE FUTURE. INFORMATION TECHNOLOGY IS INCREASING OVER $40,000, THAT'S 30%. AND THAT'S DUE TO APPROVALS IN THE PRIOR BUDGET PROCESS. WE RECENTLY UPGRADED OUR COUNCIL CONFERENCE ROOMS, SECURITY CAMERAS. THERE WERE MANY THINGS IN THE PRIOR BUDGET THAT REQUESTED VERF REPLACEMENT FUNDING, AND THIS NOW REFLECTS THAT. MOVING ON TO SLIDE TWO FOR THE GENERAL VERF, NOW IT'S JUST ANOTHER SET OF DEPARTMENTS, BY PERCENTAGE PARKS LOOKS LIKE A LARGE INCREASE AT 25%. AGAIN, IT'S JUST CATCH UP FUNDING $3,000 JUST SO THAT WE START SETTING ASIDE AND HAVE MORE FUNDS AVAILABLE FOR WHAT OUR REPLACEMENT VEHICLE REPLACEMENT MODEL SAYS THAT WE NEED FOR FUTURE REPLACEMENTS. POLICE SHOWS A $95,000 INCREASE, OR 45%, AND THAT'S TO RECENT RADIO REPLACEMENT RADIO ACQUISITIONS THAT WERE BROUGHT TO COUNCIL. THERE WAS ANYWAY, SO IT REFLECTS REPLACEMENT FOR THAT. AND THEN THE LAST THING I'LL SPEAK TO IS THE INTEREST INCOME. AGAIN WE'RE SEEING HIGH INTEREST RATES AND SO WE DID AN ANALYSIS ON REFLECTING THAT CONSISTENTLY ACROSS OUR VARIOUS FUNDS, LOOKING AT THE ESTIMATED FUND BALANCE AND THE ESTIMATED FUTURE INTEREST EARNING OR INTEREST RATE TO GIVE US SPECIFIC EARNINGS AS A BUDGET. SO HERE'S THE OVERALL LOOK. THIS EXCLUDES SCHEDULED REPLACEMENTS FROM THE CURRENT 24-25 BUDGET BOOK THAT YOU'LL FIND REQUESTED REPLACEMENTS IN IN THE TABS IN YOUR BINDER. HOWEVER, LOOKING AT THE PRIOR YEAR, WE SEE THAT THREE DEPARTMENTS HAD BUDGET FOR REPLACEMENTS. IT HAD A NORMAL CYCLE OF COMPUTER REPLACEMENTS. POLICE HAD THAT RADIO REPLACEMENT AND RECREATION PURCHASED A FORD EXPLORER FOR THEIR PURPOSES. MOVING ON NOW TO THE UTILITY VERF. IT SAYS THAT THIS IS THE ALLOCATIONS CONTINUED. THIS IS ALL IN ONE SLIDE. SO IT'S NOT CONTINUED. BUT FOR THE UTILITY VERF SPECIFICALLY THE UTILITY FUND TRANSFERRING MONEY TO NOW A NEW FUND. IT SHOWS IT SHOWS THE 24-25 TRANSFERS. SO THERE WAS ABOUT $1.1 MILLION THAT WAS MOVED FROM THE UTILITY FUND TO, TO THE, TO THE UTILITY VERF FUND JUST TO REPRESENT PRIOR MONEY THAT IF THIS FUND WAS CREATED A LONG TIME AGO, THAT'S THE BALANCE THAT WOULD HAVE BEEN NEEDED IN THE UTILITY FUND. AND THEN THERE'S ADDITIONAL FUNDS FOR WHAT THE RATE MODEL SAYS NEEDS TO BE TRANSFERRED. SO THAT'S ALL OF THE THE AMOUNTS SHOWING THERE AND INTEREST INCOME OF $15,000, FOR A TOTAL OF $1.5 MILLION SCHEDULED IN 2025 TO BE IN THE UTILITY VERF FUND. AND WITH THAT, I'LL HAND IT BACK TO GINA. CAN YOU TELL US MORE ABOUT WHAT THE AUCTION PROCEEDS AND GRANTS ARE IN THE GENERAL VERF AND THE UTILITY VERF? CAN YOU REFERENCE A SLIDE, PLEASE? SLIDE 52. OKAY. 52 FOR THE GENERAL RESERVE INTEREST INCOME AUCTION PROCEEDS. SO AS WE REPLACE A VEHICLE, WE PUT IT OUT ON AUCTION, IT'S AN ONLINE AUCTION. WE DO GET FUNDS AVAILABLE FOR THAT. [01:25:02] SO IT'S JUST THAT VEHICLE THAT HAS BEEN REPLACED. WE DON'T KEEP IT IN OUR IN OUR FLEET. MAINTENANCE COSTS ARE INCREASING. THERE'S A REASON WHY WE CHOSE TO GET RID OF IT. AND SO SO THAT'S WHY IT'S AUCTIONED OFF AND THAT'S THOSE PROCEEDS. OKAY. JUST RECOUPING FUNDS. I'M SORRY. JUST RECOUPING FUNDS FROM THE OLDER VEHICLE. CORRECT. IT'S OUR ESTIMATE OF WHAT THOSE VEHICLES WILL RECOUP WHEN THEY ARE SOLD. OKAY. THANK YOU. MAYOR PRO TEM FRANKS, SLIDE 43. SO THE PRESENTATION. EXCUSE ME. IN OUR PACKET. IT FEELS LIKE YOU'RE ON THE RIGHT SLIDE. NO. YOU'RE CORRECT. OH, YES. OKAY I'M LOOKING AT THE NUMBERS ON MY. SO THE PACKET THAT WE GOT HAS DIFFERENT NUMBERS THAN THE PRESENTATION. GOT IT OKAY. THAT'S NOT ACCURATE. THE PERCENTAGE IS DIFFERENT. [INAUDIBLE] SO THE OPERATING EXPENSE IS $26,452,286 ON THE PACKET THAT WE GOT. AND IT'S $26,902,286 ON THE PRESENTATION. SO WHAT WAS UPDATED WHEN, BECAUSE IT'S AN 8% GROWTH ON THE PACKET AND 7% GROWTH ON THE PRESENTATION. GO AHEAD, MISS GREEN. I WAS JUST GOING TO SAY THE BUDGET PRESENTATION WAS IN THE PACKET. WE DID HAVE A FEW PAGES THAT WERE UPDATED WITH TYPOS AND AND A COUPLE CATCHES, BUT I'M NOT SURE THAT THIS WAS ONE OF THE PAGES. ACTUALLY, I CAN SPEAK. I'M CERTAIN IT WAS AN UPDATE, BUT I JUST WANTED TO VERIFY THAT IT WAS AN UPDATE. YOU BET. I CAN SPEAK TO THAT. SO ON SLIDE 42. 42? YES. SO SLIDE 42 ON THAT STREET LINE. WHAT WAS INITIALLY GIVEN TO COUNCIL AND I BELIEVE IS IN THE AGENDA PACKET AND HAS SINCE BEEN UPDATED, WAS I BELIEVE IT WAS AN ADDITIONAL $450,000 MORE THAN WHAT YOU'RE SEEING HERE FOR STREETS. SO IN THIS SLIDE, WE'RE TRYING TO SHOW THE GENERAL FUND OPERATING BUDGET BETWEEN YEARS. ONE OF THE OPERATING EXPENSES IS $450,000 FOR STREETS AND SIDEWALKS. IN 2025, I LET'S SEE, WAS IT 24 OR 25? BUT I REMOVED I THINK I REMOVED CAPITAL CHARGES FROM THE 23-24 BUDGET AND I SHOULD HAVE LEFT IN OPERATING COSTS, SOMETHING THAT WAS PREVIOUSLY IN THE GENERAL FUND, THAT NOW WE SET A POLICY TO JUST MOVE $450,000 EVERY YEAR TO THE CIP SO THAT CORY COULD BETTER MANAGE ACROSS YEARS THE REPLACEMENT OF SIDEWALKS. SO $450,000 IN THIS SLIDE IS EXCLUDED FROM THE 23-24 BUDGET, I BELIEVE. YEAH, IT'S FUNNY HOW I CATCH A 1% DIFFERENCE, BUT NOT A 31% DIFFERENCE. OKAY. THANK YOU. YOU BET. MR. MILLSAP. OKAY. SLIDE 52. IN YOUR YOUR POLICE EXPLANATION THE 45%. YOU STATED THAT PART OF THAT THAT EXPERIENCE IS FOR RADIOS. CORRECT. OKAY. NOW WE'VE ALREADY PURCHASED THE RADIOS. CORRECT. AND NOW WE NEED TO NOW BUILDING IN THE COST OF THEM IN THIS YEAR'S NEXT YEAR'S BUDGET. CORRECT. NEW COSTS, CORRECT QUANTITIES. NOW WE NEED TO SET ASIDE FOR FUTURE REPLACEMENT OKAY. SO WE BASICALLY BOUGHT THEM ON CREDIT CARD AND WE'RE JUST NOW PAYING FOR THEM IN VERY SIMPLE TERMS. THIS IS TO PAY TRICKLE BY TRICKLE A LITTLE BIT BY BIT FOR FUTURE RADIOS. SO WE'RE BUILDING UP A FUND. OKAY. YEAH. YEAH OKAY. FOR NEXT TIME. THAT'S LIKE GOOD OLE ANALOGY TO HELP OUT. SO. OKAY. I KNOW MISS NASH WAS GOING TO GO INTO CIP. ANY QUESTIONS ON WHAT WE JUST TALKED ABOUT WE CAN ALWAYS COME BACK, BUT IF NOT, WE'RE GOING TO GO INTO THE CIP PRESENTATION. OKAY. MISS NASH. CHANGING GEARS. OKAY. YEP. [01:30:03] OKAY. ALL RIGHT. SO FOR THE 24-25 CAPITAL IMPROVEMENT PLAN AS WE AS I SORT OF ALLUDED TO ALREADY, REALLY THE FOCUS AND THE GOALS IS INFRASTRUCTURE, ROADS AS WE'RE TRYING TO MOVE THROUGH TO ACCOMPLISH MORE FASTER, THAT'S WHAT WE'RE TRYING TO DO. AND SO THE STRATEGY HERE WOULD BE TO ACCELERATE THE BOND PROPOSITION 2021 PROJECTS. SO THE PRIOR PLAN WAS WE WOULD DO THE FINAL FUNDING TRANCHE FOR BOND 2021 IN 2028. AND WITH OUR REVISED PLAN, WE ARE ABLE TO DO FINAL FUNDING IN 2026. AND SO WHAT WE WOULD THEN BE ABLE TO DO IS ADD BOND PROPOSITION 2028 WITH NO INCREASE TO THE I&S PROPERTY TAX RATE. SO THIS IS THE SCHEDULE OF WHAT WE DID RELATIVE TO BOND 2021. AND SO YOU'LL SEE HERE WHAT WAS AUTHORIZED. AND THEN BY FISCAL YEAR WHAT WAS PROJECTED TO DO RELATIVE TO IF WE STUCK WITH THE ORIGINAL PLAN. BUT IF WE ACCELERATE EVERYTHING WHICH YOU CAN SEE IS THAT SACHSE ROAD PHASE THREE, WE WOULD BE ABLE TO ACCELERATE THAT BY TWO YEARS. MOVE WILLIFORD BOTH DESIGN AND CONSTRUCTION INTO THE FY 25 NUMBERS. AND THEN THE NEIGHBORHOOD PACKAGES COMBINE ALL OF THOSE AND PUSH THOSE ESSENTIALLY INTO FY 25. AND WHEN WE SAY FY 25, IT'S 25-26, NOT TO BE CONFUSED WITH 24-25, BECAUSE I KNOW SOMETIMES THAT CAN BE CONFUSING. SO THAT'S ESSENTIALLY WHAT THE RECOMMENDATION IS RELATIVE TO THE ACCELERATION OF THE BOND 2021 PROGRAM. AND TO BE ABLE TO BE ABLE TO GET THOSE EXISTING PROJECTS DONE AND FUNDED, OR AT LEAST FUNDED AND MOSTLY COMPLETED BY FY 28. SO JUST AS A REMINDER THE NEIGHBORHOOD PACKAGES FOR THE 24-25 STREETS AND ALLEYS. THIS IS THE LIST. AND I KNOW WE'VE TALKED FOR MANY MONTHS ABOUT WHICH WOULD BE THE BEST ONES TO DO, BUT THIS IS THE LIST THAT HAS HAS BEEN DERIVED TO USE THE FUNDS FOR THE BOND PROPOSITION 21 NEIGHBORHOOD PACKAGES. SO THAT WOULD BE SEVENTH STREET FROM JEWEL EAST TO SALIMAN, SEVENTH STREET FROM LILY TO BRYAN, ALBERTA CIRCLE, CEDAR CREEK AND CEDARBROOK ALLEY'S INDUSTRIAL DRIVE AND PARK LANE, JEWEL ALLEY, RIDGEVIEW DRIVE FROM SOUTH RIDGE TO HIGH RIDGE, RUSTIC RIDGE COURT, AND THE RUSTIC RIDGE COURT ALLEY WOULD BE CONSIDERED TO BE USED FOR THAT NEIGHBORHOOD. PACKAGE FUNDS FROM THE 2021 BOND. THIS IS A LIST OF THE POTENTIAL PROJECTS THAT WE TALKED ABOUT, THE INITIAL OVER $9 MILLION IN PROJECTS THAT COULD BE INCLUDED IF YOU ALL WANT TO MOVE FORWARD WITH A BOND 2028 FOR STREETS AND ALLEYS. AND SO THIS IS A LIST OF THOSE PROJECTS WHICH I WON'T READ TO YOU, BUT YOU CAN SEE HERE IT'S A VERY EXTENSIVE LIST MIXED OF STREETS, ALLEYS. THERE ARE CERTAIN STREETS WHERE YOU'LL SEE NUMBERS BEHIND THEM. THAT'S WHERE IT WOULD BE DONE BETWEEN THAT, THAT HOUSE NUMBER, BETWEEN THOSE TWO HOUSE NUMBERS SPECIFICALLY. BUT THEN THERE ARE SOME OTHER THINGS THAT YOU'LL SEE ON HERE, LIKE COUNTRY CLUB ROAD AT HIGHWAY 78, PUTTING IN A SIGNAL BY THE SPECS AND BY THE WOODBRIDGE VILLAS APARTMENTS, PUTTING IN A SIGNAL THERE AT HIGHWAY 78 AND COUNTRY CLUB. AND LIKE I SAID, SPECIFICALLY ALLEYS AND THEN OTHER STREETS LISTED HERE. AND YOU CAN SEE AT THE BOTTOM WHAT WE'VE ALSO PUT HERE IS MORE TO BE ADDED. THIS IS JUST A START. AND CERTAINLY WE HAVE THE DEBT CAPACITY AS WE TALKED ABOUT, TO BE ABLE TO DO MORE THAN THIS. AS WELL AS THE DISCUSSION ABOUT BLACKBURN INGRAM. SO YOU WOULD CHOOSE TO DO SO. BUT THIS WOULD BE IF YOU MOVED FORWARD WITH PUTTING BOND 2028 ON A BALLOT. AGAIN SOME POTENTIAL NON RESIDENTIAL STREETS WOULD BE BLACKBURN INGRAM. AND THEN REALLY A MUCH MORE SIGNIFICANT UPGRADE TO WOODBRIDGE PARKWAY. AS YOU KNOW WE HAVE TRIED WITH COLLIN COUNTY TO WORK WITH A PARTNERSHIP WITH THEM WITH THEIR TRANSPORTATION FUNDS HAVEN'T HAD MUCH LUCK. AND HONESTLY WE'VE BEEN PRETTY LOW ON THE LIST WHEN THEY COME OUT WITH THE AWARDS OF WHO THEY DID GIVE FUNDS TO BECAUSE THEY RANK IT IN ORDER. AND WE'RE JUST WE'RE NOT MAKING IT HIGH ENOUGH UP ON THE LIST THAT WE THINK IT'S PROBABLY TIME TO START PLANNING TO PAY FOR IT OURSELVES. THAT WE LIKELY IS NOT ARE NOT GOING TO GET ASSISTANCE. [01:35:05] SO I'LL PAUSE HERE, BECAUSE I KNOW THAT WAS A WHOLE LOT IN A VERY LITTLE. MOVING IT UP TO 25-26. CAN I SPEAK TO THAT? YEAH. SO ACTUALLY THIS IS PROPOSING ACCELERATING TO THE FISCAL YEAR SHOWING THERE IS THE SO TALKING ABOUT THE 24-25 BUDGET. SO AS IT SHOWS IN THAT CHART, IT'S TALKING ABOUT THE 24 AND IT'S SHOWING 25. SO THIS IS TALKING ABOUT COUNCIL ACTION IN SEPTEMBER. IT'S TALKING ABOUT FUNDS RECEIVED AT THE END OF 2024, IN THE MONTH OF OCTOBER, THAT IS FISCAL YEAR 25 TO HAVE FUNDING AVAILABLE IN THIS BUDGET. OKAY. BUT IN 2025, CORRECT. 25, NOT 26, 25. OKAY. AND THEN THE FOLLOWING YEAR SO WE TYPICALLY ISSUE EVERY TWO YEARS. THE DIFFERENCE IS TO OUR FINANCIAL CONSULTANT WE'RE ISSUING IN 2024 SO THOSE ARE CALLED SERIES 2024 BONDS. HOWEVER TO US BECAUSE OUR FISCAL YEAR STARTS OCTOBER 1ST, THIS IS FISCAL YEAR 25. TWO YEARS LATER TO OUR FINANCIAL CONSULTANT HE'S ISSUING 2026 BONDS TO US THAT'S ALSO FISCAL YEAR 26. SO TWO YEARS BACK TO BACK GETTING FUNDS, IT'S ESCALATED TO BE IN THIS CURRENT BUDGET IN THE PROPOSED BUDGET YOU MIGHT SEE THESE THIS ESCALATION. OKAY. THAT WAS MY FIRST QUESTION. MY SECOND ONE WAS I WALKED ALMOST EVERY STREET IN SACHSE IN MAY. WE COUNCIL MEMBER FRANKS DID AS WELL. BROOKE VIEW DRIVE THE STREET. I ONLY SEE THE ALLEY ON THIS LIST OR WE FIXING THAT ALREADY. WAS THAT COVERED IN SOMETHING THAT WE'RE ALREADY DOING? BECAUSE THAT WAS BY FAR THE WORST STREET I WALKED BY LIKE A LOT. SO SOME OF IT WE'RE TRYING TO GET MONEY FROM DALLAS COUNTY WITH CDBG GRANT. AND SO THAT'S PROBABLY WHY THAT'S NOT ON HERE. BUT WE CAN CERTAINLY LOOK AT THAT. AND AGAIN THIS IS ALL PACER DRIVEN. SO THESE MAY CHANGE A LITTLE BIT BASED ON AS THINGS GET BETTER OR WORSE. I WAS JUST HOPING IT WASN'T LISTED BECAUSE WE'VE ALREADY ACCOUNTED FOR IT. YES, WE ARE TRYING TO GET MONEY FROM DALLAS COUNTY ON IT, BUT AGAIN, WE CAN CERTAINLY ADD AND TAKE THINGS OFF THIS LIST AS NEEDED. SO I JUST WANT TO PUT THAT ON A STAR BECAUSE THAT STREET WAS REALLY BAD. WE GOT THAT CATCH ALL BULLET [INAUDIBLE] AND MR. BALDWIN, JUST ONE QUICK QUESTION BACK ON FISCAL YEARS AND ALL THAT JUST FOR OUR AUDIENCE THAT MAY NOT BE QUITE FAMILIAR WITH WHEN WE SAY FISCAL YEAR 24. CAN YOU JUST GIVE THOSE EXACT DATES ON WHERE THAT FALLS FOR SOMEONE THAT MAY NOT KNOW? YOU BET MAYOR. SO OF COURSE, CALENDAR YEAR FROM JANUARY TO DECEMBER, THAT'S CALENDAR YEAR. AND OFTEN IF YOU JUST SEE A NUMBER OR A YEAR, THAT'S WHAT WE'RE TALKING ABOUT. BUT BECAUSE OUR, OUR BUDGET OR OUR OUR YEAR FOR CITY PURPOSES IS SHIFTED A LITTLE DIFFERENTLY BEGINNING OCTOBER 1ST OF A YEAR AND ENDING SEPTEMBER 30TH, THAT WE CALL OUR FISCAL YEAR. SO IT DOESN'T QUITE MATCH UP TO THE CALENDAR. IT'S IT'S OFF BY A QUARTER. SO, FOR EXAMPLE, IF SOMEONE DIDN'T KNOW WHAT FISCAL YEAR 24 MEANT, THOSE DATES ARE. FISCAL YEAR 24 IS FROM OCTOBER 1ST, 2023 TO SEPTEMBER 30TH, 2024. YEAH, I JUST WANTED TO MAKE THAT POINT BECAUSE SOMETIMES PEOPLE CAN GET THOSE NUMBERS IN THE WRONG ORDER. SO I JUST WANT TO MAKE SURE THAT FOR EVERYBODY WATCHING, WHEN WE SAY FISCAL YEAR 24, IT'S THE NUMBER BEHIND IT. IN ESSENCE, THIS BUDGET YEAR IS FROM OCTOBER. SO THE COUNCIL ACTION LEADING UP ALL THIS WHOLE BUDGET PROCESS IS ADOPTION IN SEPTEMBER AND THEN THIS BUDGETED FISCAL YEAR THAT WE'RE TALKING ABOUT WOULD BEGIN OCTOBER 1ST, 2024 AND GO TO SEPTEMBER 30TH, 2025. YEAH, RIGHT. BUT WHAT THE MAYOR IS SAYING FOR PURPOSES OF THIS, WHEN YOU LOOK AT THIS SLIDE THAT I HAVE ON THE SCREEN, THE YEAR THAT'S LISTED THERE IS THE ENDING YEAR OF THAT FISCAL YEAR, CORRECT? YEAH, THAT'S WHAT I WAS GETTING AT. GOTCHA. BECAUSE THAT'S, THAT'S I JUST DIDN'T WANT THERE TO BE ANY CONFUSION ON SOMEONE LOOKING AT THIS. OKAY. SO THAT THAT GOES BACK TO YOUR QUESTION. OKAY. OKAY, COOL. ALL RIGHT. THANK YOU, MR. BALDWIN. THANK YOU. MR. LINDSEY [INAUDIBLE] LET'S SEE THE PAGE 59 THERE ALL THE PROJECTS. [01:40:01] OKAY. SO. YEAH. OOPS. IT'S BACK BOND. YEAH. RIGHT THERE. SO WE TALKED ABOUT COST SHARING LIKE FROM COLLIN COUNTY AND SO FORTH. BUT I NOTICED ONE OF THOSE SIGNALS IS 78. IS THERE ANY COST SHARING OPPORTUNITY WITH 78. AND MY UNDERSTANDING RIGHT NOW THOSE ARE ALL TRAFFIC SIGNALS THAT ARE OWNED BY TXDOT AND MAINTAINED SO, THEY'LL LET YOU BUY ONE, THEY'LL LET YOU BUY ONE OKAY. AND THEN DO THEY TAKE OVER OWNERSHIP OF IT LIKE YES, WE COUNT LIKE DEED IT OVER. OR SOMETIMES YOU CAN DO A SHARED OWNERSHIP AND YOU CONTROL. IT JUST DEPENDS. BUT IN THIS CASE IT WOULD MOST LIKELY BE EXACTLY LIKE WHAT WE HAVE WITH WOODBRIDGE PARKWAY AND ALL OF OUR OTHER ONES ON 78, WHERE THEY WOULD DO ALL THE TIMING FOR US, BUT WE WOULD PAY FOR IT, PAY FOR THE SIGNAL, AND THEN TURN IT OVER TO THEM. OKAY. WE COULD BE FORTUNATE THAT THEY MIGHT HAVE SOME FUNDS AVAILABLE, BUT I'M NOT HOLDING MY BREATH. RIGHT. WHAT A DEAL. WE PAID FOR IT AND THEY TAKE IT OVER THEY MAINTAIN IT THOUGH. AND THEY HAVE ALL OF THOSE, YOU KNOW, THEY HAVE ALL OF THOSE ENGINEERS AND TECHNICIANS THAT WE DON'T AND THAT THEY'RE PAYING TO TAKE CARE OF ALL THAT. YEAH, I GUESS IT WOULD AT LEAST BE A LITTLE CHEAPER. I'M LEARNING A LITTLE BIT ABOUT TRAFFIC LIGHTS INSTEAD OF AN EIGHT PHASE. IT WOULD BE JUST A 6 PHASE BECAUSE IT'S A THREE WAY INTERSECTION. SO THERE'S AT LEAST A LITTLE SAVINGS THERE. YES. ALL RIGHT. THE 2028 DATE JUST SCARES ME FOR A BOND ELECTION. YOU KNOW, I JUST, I WE MOVED HERE IN 2004, AND MY KIDS ARE ALREADY RAISED IN THROUGH SCHOOL. IT'S BEEN 20 YEARS. AND SACHSE ROAD, MERRITT ROAD THOSE NEED TO BE EXPANDED WHENEVER WE MOVED HERE. I LOOK AT 2028 THAT'S REALLY I MEAN, LET'S TALK ABOUT LIKE FISCAL YEAR. YOU KNOW, IT'S IT'S KIND OF THE SAME CONCEPT. WE SAY BOND 2028. THAT'S NOT JANUARY 2028. THAT'S END OF 2028. SO I MEAN REALISTICALLY THAT'S THAT'S 2029 BEFORE VOTERS ARE EVEN DECIDING. SO SOMEBODY'S PUTTING A KID INTO HIGH SCHOOL RIGHT NOW THAT'S STARTING THIS 2024 SCHOOL YEAR. THEY WILL ALREADY HAVE BEEN GRADUATED BEFORE WE EVEN GET AROUND TO. WE WERE LIKE, HEY, YOUR STREET SUCKS, BUT WE'RE GOING TO MAKE YOU WAIT UNTIL YOUR KID GRADUATES HIGH SCHOOL. AND REALISTICALLY, BEFORE WE ACTUALLY TURN DIRT ON THAT ROAD, WE'RE TALKING ABOUT A KID STARTING IN MIDDLE SCHOOL RIGHT NOW IN THE SIXTH GRADE AND GRADUATING HIGH SCHOOL BEFORE WE SOLVE ANY OF THESE PROBLEMS. SO MY POINT EARLIER WITH DEBT CAPACITY IS I REALLY WE'RE SO FIXATED ON THE INTEREST AND SINKING RATE THAT WE CURRENTLY HAVE. AND IT'S IT'S GREAT TO BE ABLE TO SAY, HEY, WE HADN'T RAISED THE RATE, YOU KNOW, BUT THE LANGUAGE ON THE BALLOT SAID WE MADE A TAX INCREASE BECAUSE WE DID MAKE A TAX INCREASE BECAUSE YOU'RE MULTIPLYING INCREASED VALUATIONS AGAINST A RATE. THAT RATE HASN'T CHANGED. BUT PEOPLE ARE PAYING MORE. BUT WE'RE STUCK ON THIS RATE. AND THERE'S A LOT OF STUFF THAT WE NEED TO GET DONE. MY MY SUSPICION IS, IS BY 2028, WE'LL HAVE A WHOLE NOTHER LIST OF, OF ONES THAT WILL BE WAITING ANOTHER 4 OR 5 YEARS FOR. SO TO ME, IT'S LIKE WE REALLY NEED TO DO ONE OF TWO THINGS. WE NEED TO EITHER LOOK AT OUR DEBT CAPACITY AND GO BACK TO THE VOTERS AND SAY, WE NEED TO INCREASE THE I&S RATE, AND WE NEED TO GET SOME MORE THINGS DONE SOONER. I RECOMMENDED THAT IN THE PAST. BUT THAT WAS, YOU KNOW, DURING THE COVID YEARS WHICH IT WAS IT WAS HARD TO GET MATERIALS. WE'RE ALSO IN I THINK YOU HAD A FANCY WORD FOR IT THOUGH. BUT MY LAYMAN TERM IS DFW IS BUILDING LIKE CRAZY, AND IT'S HARD TO GET RESOURCES TO COME BUILD IN SACHSE GOVERNMENT PROJECTS AREN'T AREN'T VERY LUCRATIVE RIGHT NOW. PRIVATE SECTOR ONES ARE. BUT SURELY BY NOW THE MARKET'S SHIFTED A LITTLE BIT TO WHERE IF WE HAD THE MONEY THIS TIME AROUND, MAYBE WE'D BE ABLE TO DO MORE. SO EITHER WE INCREASE THAT RATE AND WE GO TO THE OR WE FIRST, OF COURSE, GO TO THE VOTERS AND SAY, HEY, HERE'S A LIST OF PROJECTS. ARE YOU FOR INCREASING THE RATE SO THAT WE CAN PAY FOR THESE AND WE GET THEM DONE? THE OTHER THING THAT I LOOK AT TOO IS OUR REGULAR M&O RATE THE MAINTENANCE AND OPERATIONS, AND PRETTY MUCH ALL THE MONEY WE TAKE IN, WE'RE, THEY'RE USING IT JUST TO PAY FOR OUR OPERATIONS, JUST TO MAINTAIN BASIC CITY SERVICES. WE DO A FEW THINGS, WE FIX A FEW SIDEWALKS AND SO FORTH LIKE THAT. WE'VE GOT THE STREET MAINTENANCE TAX, WHICH IS GREAT BECAUSE THAT'S A SALES TAX THAT GOES RIGHT INTO FIXING OUR STREETS. BUT FOR THE MOST PART, OUR GENERAL FUND AND THE MONEY WE GET FROM PROPERTY TAX AND SO FORTH JUST GOES TO KEEPING THE LIGHTS ON, WHICH WE DO AN ABSOLUTELY WONDERFUL JOB OF DOING. IT'S WE'RE ONE OF THE BEST CITIES, BUT NOWHERE REALLY IN OUR BUDGET ARE WE COVERING THE AMOUNTS THAT WE NEED TO TO MAKE MEANINGFUL PROGRESS? SO, YOU KNOW, WE WE LOOK AT, YOU KNOW, EVERY PENNY OF THE THE PROPERTY TAX I KNOW THIS IS COMING UP. IT GENERATES ABOUT $361,000. SO IF WE, YOU KNOW, HYPOTHETICALLY TOOK $0.04 OF IT, YOU KNOW, THAT WOULD GENERATE A MILLION AND A HALF DOLLARS A YEAR. BY 2028, WE WOULD ALREADY HAVE $6 MILLION INTO THIS, $9 MILLION PAID OFF. AND A LOT OF THESE, I KNOW, LIKE SIGNALS, THEY REQUIRE DESIGN. THEY REQUIRE GOING OUT AND AND DOING A BUNCH OF LEGWORK. [01:45:01] I WOULD LIKE TO THINK MOST OF THESE PROJECTS ARE ARE WHAT OUR FEDERAL GOVERNMENT CALLED IT, ONE TIME, SHOVEL READY JOBS. LIKE, IF WE HAD THE MONEY TODAY, WE COULD GO OUT AND WE COULD FIX THAT BROOK VIEW DRY VALLEY THAT WE WOULDN'T NEED TO SPEND A YEAR FIRST IN DESIGN. IF WE HAD THE MONEY TODAY, WE COULD GO FIX IT. SO I WOULD JUST REALLY LOVE TO SEE US TAKE ONE OF THOSE TWO PATHS OF EITHER RAISING OUR M&O RATE OR SAYING THAT WE'RE NOT NECESSARILY EVEN RAISING IT, BUT LOOKING AT IT AND SAYING, HEY, WE'RE GOING TO DEDICATE $0.03 OR $0.04 TO IT, OR WE'RE GOING TO GO TO THE VOTERS AND WE'RE GOING TO PUT IN FRONT OF THE VOTERS OPPORTUNITY TO INCREASE THE I&S RATE. AND IF IT FAILS IN 2025, WHICH WOULD PROBABLY BE THE MOST NEXT REALISTIC TIME TO DO IT, WE CAN BRING IT BACK IN 2028, SO THAT'S MY OPINION. MAYOR PRO TEM FRANKS. NO I'M DONE. OKAY. MRS. BUHLER. WELL, THAT WAS A LOT TO FOLLOW, BUT I'M HAPPY TO SEE ALL THAT. I'M HAPPY TO SEE THESE PROJECTS PUSHED UP BECAUSE I THINK WE'VE SEEN BOND PROJECT AFTER BOND, BOND PROJECT AFTER THE NEXT OUR PRICES ARE INCREASING. SO ON THAT NOTE, THAT SMALL NOTE, I'M HAPPY TO SEE THESE MOVED UP SO WE CAN START MAKING MORE PROGRESS. OKAY. THANK YOU. OTHER QUESTIONS ON THIS SECTION. AND AGAIN, WE CAN ALWAYS COME BACK AT THE END WITH THAT, I BELIEVE MISS NASH IS GOING TO NOW DO OUR COMPENSATION UPDATE. IT'S ALL YOURS. ALL RIGHT. JUST A REMINDER FOR THE CITY COUNCIL, BUT ALSO JUST SOME INFORMATION FOR THE PUBLIC. IF YOU IF YOU DON'T HAVEN'T FOLLOWED US AND OUR COMPENSATION PHILOSOPHY, CERTAINLY OVER THE LAST NINE YEARS. WE REALLY LOOK AT COMPENSATION AS TWO PARTS OF A WHOLE BALANCED COMPENSATION. YOU'RE LOOKING AT WHAT IS THE MARKET THAT WE TALK ABOUT. AND MARKET IS REALLY WHAT IS WHAT IS OUR TARGET OF OUR COMPARATOR CITIES. AND WHAT WE'VE SAID IS OUR TARGET OF THE MARKET IS MIDPOINT. AND THAT'S WHERE WE REALLY WOULD LIKE TO BE. AND WE TRY WE HAVE WORKED VERY HARD OVER THE LAST SEVERAL YEARS, ALTHOUGH AS POINTED OUT, WE'VE STRUGGLED TO EVEN GET CLOSE TO MAINTAINING TOWARDS THE MIDDLE OF THE COMPARATOR CITIES THAT WE WANT TO BE CLOSE TO RELATIVE TO MARKET VALUE OF OUR SALARIES. BUT AT THE BOTTOM LINE, OUR GOAL REALLY IS WE WANT TO EFFECTIVELY RECRUIT, RECRUIT AND RETAIN TALENT. AND THE BEST WAY TO DO THAT IS TO BE ABLE TO STAY COMPETITIVE WITHIN THE MARKET. THEN THERE'S THE SECOND PIECE OF IT, WHICH IS REALLY COST OF LIVING ADJUSTMENTS, AND THOSE ARE THE IN-GRADE ADJUSTMENTS AND IT'S TRYING. THE GOAL HERE IS REALLY TO TRANSITION OUR EXISTING EMPLOYEES THROUGH THE RANGE OF THEIR PAY GRADE. BUT THE GOAL ALSO IS MAKING SURE THAT WE REDUCE COMPRESSION, MEANING THAT THOSE THAT HAVE BEEN HERE LONGER MAINTAIN AND MOVE HEALTHILY THROUGH THE PAY GRADES AND WE DON'T BRING NEWER PEOPLE IN AT AS CLOSE OF A SALARY AS THOSE WHO HAVE HAVE SPENT LONGER TIME HERE. AND SO IT'S REALLY SORT OF ALMOST TWO THINGS WORKING AGAINST EACH OTHER IN A LOT OF WAYS WHEN YOU HAVE THOSE TWO VARIABLES. BUT THE IDEA IS IF YOU DO A GOOD JOB OF REALLY MARKET INCREASES, WHICH IS MOVING THOSE WHOLE PAY RANGES RELATIVE TO THE MARKET, PLUS MOVING PEOPLE WITH COST OF LIVING ADJUSTMENTS THROUGH THEIR PAY GRADES EFFECTIVELY, THAT YOU WOULD HAVE BALANCED COMPENSATION. AND THAT'S, YOU KNOW, CERTAINLY WHAT WE HAVE STRIVED TO DO OVER THE LAST NINE YEARS SINCE I'VE BEEN HERE. NOW, IF YOU LOOK HERE, THIS IS THE LIST OF CITIES THAT WE HAVE USED AS OUR COMPARATORS OVER THE YEARS. AND I THINK WHAT IS DEFINITELY TO TO BE LOOKED AT, IF YOU ALL WERE TO ALLOW US TO MOVE FORWARD ON A COMPENSATION STUDY, IS TO TAKE A GOOD, HARD LOOK AT WHO WE COMPARE OURSELVES TO. AND BUT I THINK AN IMPORTANT POINT THAT WAS RAISED BY MISS ROSE EARLIER IS EVEN IF WE DON'T USE THESE CITIES NECESSARILY, THEY WILL INFLUENCE THE MARKET IN SOME WAY BECAUSE THE LEADERS FOLKS WILL END UP FOLLOWING THEM, AND SOMEHOW IT DOES END UP TRICKLING DOWN. BUT YOU SEE IN HERE, A LOT OF THESE ARE OUR NEIGHBORS, WHICH IS IMPORTANT BECAUSE, YOU KNOW, WHEN THEY'RE RIGHT NEXT DOOR AND THEY CAN LITERALLY DRIVE A COUPLE OF MINUTES AND, YOU KNOW, MAKE MORE MONEY. YOU KNOW, PEOPLE GENERALLY WILL DO THAT OR IF THEY HAVE BETTER, BETTER BENEFITS OR THOSE KINDS OF THINGS. SO BUT THESE CURRENTLY ARE OUR COMPARATOR CITIES ON THIS LIST. SO BASED ON WHAT WE HAVE DONE RELATIVE TO OUR COMPARATOR CITY MARKET ANALYSIS, THESE ARE THE CORRECTIONS THAT I'M RECOMMENDING THAT WE MAKE RELATIVE TO COMPENSATION FOR THE NEXT FISCAL YEAR. SO WHEN WE LOOK AT SWORN PUBLIC SAFETY, WHICH IS THE MAJORITY OF OUR POSITIONS IN THE CITY, IS THAT WE WOULD APPLY A 50% CORRECTION BASED ON OUR MIDPOINT [01:50:08] OF MARKET TARGET TO THE PAY PLANS. AND SO NOT DOING 100% CORRECTION TO GET US TO THE MIDPOINT, BUT A 50% CORRECTION. SO THIS WOULD AVERAGE TO BE ABOUT A 4% PAY PLAN ADJUSTMENT FOR POLICE AND FIRE SWORN OR I'M SORRY, FIRE SWORN POSITIONS. AND THEN ABOUT AN AVERAGE OF 5% PAY PLAN ADJUSTMENT TO POLICE POSITIONS. SO WE MADE THIS CHANGE LAST YEAR WHERE EMPLOYEES WOULD RECEIVE THEIR STEP INCREASE ON THEIR ANNIVERSARY DATE. AND THAT WOULD BE IN ADDITION TO THESE SHIFTS IN THE PAY PLAN. SO LIKE I SAID, THE TOP ONE IS THE MARKET ADJUSTMENT. THE SECOND ONE IS THE COST OF LIVING OR THE STEP PLAN MOVING THROUGH THE PLAN. AND THOSE EMPLOYEES WOULD THEN NOT RECEIVE THE COLA. THEY WOULD GET A STEP INCREASE, BUT THEY WOULD NOT THEN GET ANYTHING ADDITIONAL ON TOP OF THAT, BECAUSE WE'RE TRYING TO MAKE THE 50% CORRECTION HERE. ON NON-SWORN, APPLYING A 50% CORRECTION BASED ON OUR MIDPOINT OF THE MARKET TARGET TO EMPLOYEES, THERE ARE ANY MORE THAN 10% OUT OF MARKET. I THINK WE HAVE 14 POSITIONS THAT WE HAVE FOUND THAT ARE ABOUT 10% OUT OF MARKET SPECIFIC POSITIONS, AND WE WANT TO MAKE A 50% CORRECTION, NOT 100%. AND THEN OUR NON-SWORN COST OF LIVING ANY EMPLOYEES WHO ARE NOT SWORN PUBLIC SAFETY, THEY WOULD GET A 3% COST OF LIVING ADJUSTMENT IN GRADE. SO AGAIN PUBLIC SAFETY LOOKING AT 4% FOR FIRE AND AN AVERAGE OF 5% FOR POLICE. AND THEN THOSE SPECIFIC POSITIONS THAT WE NEED TO MAKE ADJUSTMENTS FOR AND THEN ANYBODY ELSE NON-SWORN WOULD GET A COST OF LIVING OF 3%. SO A TOTAL IMPACT TO THE GENERAL FUND OF $745,051, AND THE TOTAL IMPACT TO ALL FUNDS WOULD BE $838,695. SO COUNCILMAN PRESTENBERG YOU ASKED THIS QUESTION EARLIER, THIS HOPEFULLY IS A SLIDE THAT CAN HELP KIND OF ADDRESS SOME OF THAT. SO YOU CAN SEE HERE THIS IS AN EXAMPLE OF FIRE POSITIONS AND OUR RANKING THEREOF. SO IF YOU LOOK AT THE TOP ON A FIREFIGHTER AND EMT YOU WOULD SEE THAT WE CURRENTLY RANK SEVENTH OF OUR COMPARATOR CITIES, AND WE WOULD BE MOVING UP TO SIXTH. RELATIVE TO THAT, THOSE CITIES THAT YOU SEE AT THE BOTTOM, WE SAY NO MATCH. IT'S BECAUSE THE WAY THAT THEY CLASSIFY THOSE POSITIONS IS, HAS A DIFFERENT TITLE THAN THE WAY WE DO IT. I THINK IN THOSE CASES, JANA, THEY DO NOT THOSE CITIES DO NOT DO EMTS. AND SO THAT'S WHY WE DON'T HAVE A MATCH. SO AS OPPOSED TO IN THE BOTTOM LEFT CORNER, WHEN YOU SEE FIREFIGHTER PARAMEDIC, THOSE CITIES DO HAVE THOSE POSITIONS. AND SO YOU CAN SEE CURRENTLY RIGHT NOW WITH OUR FIREFIGHTER PARAMEDICS, WE ARE NINTH. AND WITH THIS MAKING THIS A MARKET JUST MARKET ADJUSTMENT, WE WOULD BE MOVED UP TO SEVENTH. WHEN YOU LOOK AT FIREFIGHTER RECRUIT AGAIN, WHEN YOU SEE A NO MATCH, IT MEANS THEY DON'T DO THAT IN THOSE CITIES. AND YOU CAN SEE WITH THAT, IF WE MAKE THESE ADJUSTMENTS, WE WOULD MOVE FROM FOURTH TO THIRD. A DRIVER ENGINEER, WE WOULD STAY THE SAME. AND WITH OUR LIEUTENANT, WHICH THEY CLASSIFY AS CAPTAINS IN THOSE CITIES. AND WE RECOMMEND THAT RECLASSIFICATION THROUGH THIS PROCESS WE WOULD MOVE FROM TENTH TO SEVENTH. WHEN YOU LOOK ON THE POLICE SIDE, WHEN YOU LOOK AT POLICE RECRUIT MOVING FROM SIXTH TO FOURTH, SERGEANT FROM 11TH TO SEVENTH OFFICER FROM TENTH TO SEVENTH AND POLICE LIEUTENANT, WE WOULD NOT MAKE ANY MOVEMENT THERE. SO I WANTED TO GIVE YOU AN EXAMPLE OF PROOF OF CONCEPT ON HOW THESE THINGS CAN WORK IN OUR FAVOR WHEN WE MAKE THESE TYPES OF CHANGES. SO, AS SOME OF YOU RECALL BACK IN 2019 WITH OUR MAINTENANCE TECHNICIAN POSITIONS WE GAVE A 7.5% MARKET ADJUSTMENT PLUS A 3% COST OF LIVING. AND THIS CLASSIFICATION HAS CONTINUED TO RECEIVE VARYING COST OF LIVING INCREASES ANNUALLY. AND OVER THE LAST FIVE YEARS, WE'VE MANAGED TO RETAIN THAT MARKET POSITION. AND WE'RE FOUR OUT OF TWELVE. AND WE'VE HAD SOME REALLY GOOD LUCK WITH THIS AND HAVE HAD MUCH REDUCED TURNOVER IN THOSE POSITIONS BY KEEPING AN EYE TO THAT AND MAKING SURE THAT WE'VE KEPT IT HIGHER UP IN THE MARKET. JUST CHANGING GEARS JUST A LITTLE BIT, BECAUSE THIS DOES HAVE TO DO WITH COMPENSATION RELATIVE TO OUR PROPERTY LIABILITY WORKER'S COMPENSATION INSURANCE. OUR GENERAL LIABILITY INSURANCE IS INCREASING BY 23%, AND OUR REAL PROPERTY INSURANCE IS ALSO INCREASING BY 15%. [01:55:03] ON A POSITIVE NOTE, OUR WORKERS COMPENSATION INSURANCE COVERAGE IS DECREASING BY 22%. THIS REALLY HELPED US OUR WE'VE HAD A DECREASE IN CLAIMS AND AN EXISTING HIGH CLAIMANT HAVE NOW FALLEN OFF THAT THREE YEAR LOOKBACK PERIOD THAT THEY DO WHEN THEY DO THAT INSURANCE COVERAGE. AND SO THAT IS REALLY POSITIVE IN OUR FAVOR TO HAVE THAT 22% DECREASE. SO I WILL STOP THERE BECAUSE I KNOW COMPENSATION IS A BIG IS A BIG BITE, AND SEE IF YOU HAVE ANY QUESTIONS THERE. THANK YOU MISS NASH, ASK QUESTIONS, MISS HOWARTH. I'M LOOKING AT THIS COMPARATOR CITY LIST AND COPPELL'S ON THERE TWICE, AND I'M ASSUMING ONE OF THOSE IS SUPPOSED TO BE ROWLETT. IS THAT WHO'S MISSING? YES. YEAH, THEY CHANGED THEIR LOGO. THEY CHANGED IT TO, SAY, A COUPLE. YEAH. IT IS. OKAY. OKAY. I THOUGHT IT WAS WEIRD THAT ROWLETT WASN'T ON THE LIST. YEAH. I'VE ALWAYS HAD CONCERNS ABOUT THIS LIST OF COMPARATOR CITIES, KNOWING THE TAX BASE AND THE SALES TAX REVENUE OF SOME PLACE LIKE COPPELL THAT, YOU KNOW, WE COLLECT $5 MILLION IN SALES TAX AND THEY COLLECT ABOUT $130 MILLION A YEAR IN SALES TAX THAT WE'RE KIND OF AN APPLES AND ORANGES SITUATION. BUT THEN AS I LOOK AT THESE RANKINGS AND WHERE WE'RE FALLING, I WOULD EXPECT COPPELL AND PROSPER AND SOME OF THESE TOWNS TO JUST BLOW US OR ALLEN TO BLOW US OUT OF THE WATER, BECAUSE THERE'S SO MUCH BIGGER THAN WE ARE. THEIR REVENUES ARE SO MUCH HIGHER AND IT DOESN'T LOOK AS [INAUDIBLE] IT DOESN'T LOOK AS DIRE IN THESE LISTS AS I THOUGHT IT WOULD HAVE, SOME OF THEM, YOU KNOW, MURPHY DOESN'T PAY ANYONE. ROCKWELL DOESN'T PAY. SO I'M NOT. MAYBE I'M A LITTLE LESS CONCERNED THAN I WAS AN HOUR AGO, BUT I DO THINK WE NEED TO. I'D LOVE TO SEE A LIST WHERE WE COULD SUBSTITUTE A COUPLE OF THESE PEOPLE WHO'S, LIKE, MAYBE WITH FORNEY OR SOMEONE WHERE THEIR SIZE AND TAX BASE LOOKS MORE LIKE US. BECAUSE COPPELL IS OUR SIZE AND POPULATION AND OUR SIZE AND GEOGRAPHY, THEY ARE NOT THE SIZE WE ARE IN TAX BASE. AND I'D LIKE TO MAYBE TAKE ONE OF THESE GIANT REVENUE PEOPLE AND SUBSTITUTE IN SOMEBODY THAT REALLY LOOKS LIKE US FROM A TAX BASE. I DON'T HAVE A RECOMMENDATION BECAUSE I DON'T KNOW WHO THAT WOULD BE, BUT AT LEAST ONE OF THESE BIG ONES MAYBE PROSPER OR SOMEBODY. I THINK THAT'S SOMETHING THAT'S A HUGE PHILOSOPHICAL DISCUSSION THAT FROM A POLICY PERSPECTIVE, THAT YOU ALL WOULD HAVE AN OPPORTUNITY TO TALK ABOUT AS PART OF DOING A FULL BORE COMPENSATION STUDY THAT I'VE REQUESTED FOR NEXT YEAR. I DO THINK THAT'S AN OPPORTUNITY FOR YOU ALL TO TAKE A LOOK AT YOU KNOW, TO STEAL YOUR QUOTE MAYOR, YOU KNOW, WHAT KIND OF CITY DO YOU WANT TO BE AND WHAT KIND OF CITY DO YOU WANT TO LOOK LIKE? AND I THINK THAT'S AN OPPORTUNITY FOR YOU ALL TO WEIGH IN AND SAY, THESE ARE THE CITIES THAT WE WOULD LIKE TO START COMPARING TO, BUT MAKING SURE THAT WE'RE USING REALLY GOOD DATA AND INFORMATION FROM THEM, AND KIND OF A THOROUGH ANALYSIS TO MAKE SURE, AS WE'RE GOING THROUGH THAT PROCESS, THAT YOU HAVE THE OPPORTUNITY TO REALLY DIG DEEP INTO THAT INFORMATION TO DECIDE WHAT IT IS THAT YOU WANT MOVING FORWARD FROM A POLICY PERSPECTIVE. OKAY. I'D BE INTERESTED IN DOING THAT. DID YOU WANT TO ADD SOMETHING, MISS ROSE? NO, I'M JUST GETTING READY FOR THE NEXT QUESTION. MISS BUHLER, I HAD A QUESTION ON THE PROPERTY AND LIABILITY INSURANCE COVERAGE ON THE INCREASE. IS THERE SOMETHING PARTICULAR? WAS IT THE STORM? IS IT CLAIMS. CAN YOU ACCOUNT FOR THE INCREASE IN THAT? YOU WANT ME TO ANSWER THAT? I THINK ANYBODY IN INSURANCE PROBABLY COULD GOOD EVENING MAYOR AND COUNCIL. ON THE PROPERTY SIDE ITS RISK POOL WIDE. THERE'S BEEN SO MANY CLAIMS IN TEXAS THAT THEY RAISE THE ENTIRE POOL BY 15% ON THE PROPERTY SIDE. AND UNFORTUNATELY, AS YOU ALL KNOW, WE'VE HAD A VERY, VERY STORMY SPRING. AND SO I WOULD ANTICIPATE SOMETHING SIMILAR NEXT YEAR. OKAY. THANK YOU. MR. LINDSEY. YEAH. MY QUESTION WAS ALSO AROUND INSURANCE ON THERE. SO IT'S JUST AND YOU MAY HAVE ALREADY SORT OF ANSWERED IT THOUGH, BUT RIGHT NOW, RIGHT NOW WE USE TML, RIGHT. FOR INSURANCE. IS IT POSSIBLE OR IS THERE ANY OTHER OPTIONS. ARE WE ABLE TO SHOP THAT RIGHT AROUND. LIKE WHAT WE DO WITH HEALTH INSURANCE? SO THE ANSWER TO THAT IS THEORETICALLY, YES. BUT TML ALWAYS COMES OUT AHEAD OF THE GAME BECAUSE THEIR FOCUS, THEIR, THEIR ONLY FOCUS IS GOVERNMENT. AND SO I ACTUALLY DON'T KNOW OF ANY OTHER CITIES WHO USE ANY OTHER VENDOR. ALL RIGHT. GOOD TO KNOW. AND SUPPOSEDLY THEY'RE DOING IT AT COST. LIKE THERE'S IT'S PART OF THE IT'S PART OF A RISK POOL. YES. AND THERE'S NOT A COMMERCIAL. ALL THE MEMBERS ENTER THE RISK POOL. [02:00:02] ALL THE FUNDS GO INTO THE POOL AND THEN THEY GO OUT TO PAY CLAIMS. AND SO UNFORTUNATELY, IF ANY PART OF THE POOL HAS A BAD YEAR, IT IMPACTS EVERYBODY. YEAH. YEAH. ALL RIGHT. AND MY ONLY OTHER COMMENT ABOUT INSURANCE WAS YEAH, THAT'S A FABULOUS JOB ON LOWERING THAT EXPERIENCE MOD I WORK IN COMMERCIAL INSURANCE, SO THAT'S A THAT'S DEFINITELY A HECK OF A DECREASE. SO YAY THAT WE GOT I'LL MAKE A COMMENT ON THAT. SO SUSTAINABILITY OF THAT EXPERIENCE MODIFIER IS PROBABLY NOT LIKELY BUT WE'LL ENJOY IT FOR THIS YEAR. YEAH I CAN LIVE WITH SOME POSITIVE NEWS. OTHERWISE, IN THE SECTION I DEFINITELY APPRECIATE EVERYTHING WITH KEEPING UP WITH THE SALARY RATES. THEY'RE STILL NOT PROBABLY WHERE I'D LIKE TO SEE THEM, BUT I THINK THEY'RE AT LEAST WHERE WE CAN. AT LEAST WE'RE FOCUSING ON THE RETENTION. LIKE WE MENTIONED WITH THE MAINTENANCE TECHS. I MEAN, IT'S SO IMPORTANT THAT THE PEOPLE THAT WERE RECRUITING AND THE PEOPLE THAT WERE TRAINING, IF WE'RE NOT RETAINING THEM, WE JUST PAID FOR ALL THEIR TRAINING SO THAT THEY CAN GO TO FRISCO AND FRISCO TAXPAYERS GET A FAVOR FROM US. SO ANYTHING THAT WE CAN DO TO KEEP THOSE SALARIES COMPATIBLE I'M DEFINITELY ALL FOR. THANK YOU. I THINK MISS NASH HAD A FOLLOW UP TO ONE OF YOUR QUESTIONS. OH, YEAH. COUNCILMAN LINDSEY YOU HAD A GOOD POINT ABOUT HAVE YOU IS THERE A WAY THAT WE COULD GO WITH A DIFFERENT INSURANCE PROVIDER? AND I HAVE BEEN WITH A LARGE CITY WHERE WE WERE SELF-INSURED, AND SO WE COULD GO OUT AND WE COULD GO OUT FOR BID AND, AND CHOOSE OUR PROVIDER. I KNOW THE CITY OF RICHARDSON DOES THAT. WHEN I WAS IN ARLINGTON, THAT'S WHAT WE DID IT. LARGE CITIES ARE ABLE TO DO THAT BECAUSE OF THE AMOUNT OF FUNDS THEY CAN PUT ASIDE AS SELF-INSURED FOR STOP LOSS THAT CITIES OUR SIZE COULD NOT WE WOULDN'T BE ABLE TO DO. WE'RE BETTER WITH SAFETY IN NUMBERS WITH A LARGER RISK POOL. AWESOME. THANK YOU. MR. MILLSAP. JUST A COUPLE COMMENTS ON THE COMPARATOR CITIES. I THINK LOOKING AT THESE, WE'VE USED THESE FOR A LONG TIME, BUT WE NEED TO AS WE'RE GETTING MORE MATURE, FILLED OUT OUR GROWTH LIMITATIONS ARE THERE BECAUSE WE PHYSICALLY ARE OUT OF SPACE. SO AT ONE TIME WE'RE IT'S JUST LIKE, SORT OF IN A PUBLIC SCHOOL SYSTEM FOOTBALL TEAM, ARE YOU 4A OR 2A OKAY, WE'RE ALL CONSIDERED WE'RE ALL HERE AS THEY HAVE ROOM TO GROW WE DON'T. SO WE MAY NEED TO CHANGE OUR COMPARATIVE CITIES TO CITIES MORE COMPARED TO US, BECAUSE AT SOME POINT THEY CAN CONTINUE TO GROW. WELL, WE CAN'T FINANCIALLY KEEP UP WITH THOSE CITIES. SO WE'RE GOING TO BE BACK IN THE COMPETITIVE MARKET. SO I THINK WE NEED AS WE'RE FILLING OUT FASTER THAN SOME OF US WANT TO ADMIT, WE PROBABLY NEED TO START THINKING ABOUT THAT NOW AS ANOTHER EXAMPLE, AS YOU GET OLDER AND MATURE AND YOU GET READY TO RETIRE, IT'S A LITTLE LATE TO WORRY ABOUT CAN YOU AFFORD TO RETIRE WHEN YOU GET FORCED TO RETIREMENT AGE? AND WE'RE REACHING THAT FAST THAT THAT AREA VERY FAST THAT A LOT OF PEOPLE DON'T, DON'T WANT TO ADMIT. SO WE NEED TO START MAKING PLANS BEFORE YOU GET THERE. THEY'RE GOING TO WAIT TILL THE DOORKNOB HITS YOU WHERE YOU REALLY DON'T WANT IT TO, AND YOU CAN'T DO ANYTHING ABOUT IT. BUT WE CAN START MAKING THOSE PLANS SO WE MAY NOT BE COMPARING OURSELVES TO REALISTIC THINGS. AND I THINK THAT WOULD BE A GOOD DISCUSSION AT SOME POINT TO REVAMP THIS BACK AND TAKE THESE CITIES NOT JUST ECONOMIC BASED POPULATION. NOW, WHAT IS THEIR POTENTIAL GROWTH POTENTIAL? AND THAT'S SOMETHING WE HAVE TO START THINKING ABOUT MORE THAN THESE OTHER CITIES DO. OKAY, OKAY. ANY OTHER QUESTIONS ON THIS SECTION? ALL RIGHT THEN WE'RE GOING TO GO TO SUPPLEMENTAL REQUEST. OH YOU GOT ONE. OH THERE WE GO. MR. PRESTENBERG SO JUST ON THE THE SWORN FIRE RANKINGS AND WHATNOT, I DON'T KNOW HOW. WELL, THIS IS NUMBER 65. OKAY. LIKE FIREFIGHTER RECRUIT. I MEAN, WHEN IT SAYS NO MATCH, IS IT THESE OTHER CITIES JUST DON'T. THEY DON'T HAVE THAT IN THEIR PAY PLAN. THEY DON'T DO FIREFIGHTER RECRUITS. THEY JUST COME STRAIGHT IN AS A OKAY. WELL, I MEAN, ARE WE SEEING A HIATUS OF OF EMPLOYEES TO. NO. SO SO WHAT HAPPENS WITH US IS THAT IN ORDER FOR US TO BETTER ATTRACT FOLKS WE HAVE OFFERED THE FIREFIGHTER RECRUIT AND THE FIREFIGHTER EMT WHERE WE CAN HELP THEM GO THROUGH SCHOOLING AND GET TO EMT AND THEN BE ABLE TO GET THEIR EDUCATION AND THEN MOVE TO PARAMEDIC. SOME CITIES DON'T EVEN ALLOW THAT. THEY JUST GO STRAIGHT YOU HAVE TO BE A FIREFIGHTER PARAMEDIC WHEN YOU WALK IN THE DOOR. AND SO THIS JUST GIVES US AN OPPORTUNITY FOR A BIGGER POOL OF CANDIDATES. BECAUSE WHEN WE'RE TRYING TO COMPETE FOR THE SAME CANDIDATES AS SOME OF THESE OTHER COMMUNITIES AND WE DON'T PAY WHAT THEY PAY IF WE'RE SAYING, BUT WE'LL TAKE YOU IN AT ONE OF THESE OTHER LEVELS. IT GIVES US AN OPPORTUNITY TO GET SOMEBODY AND GROW THEM RIGHT. [02:05:01] WHERE THEY CAN'T STEP IN THOSE ROLES IN ALLEN, COPPELL OR MURPHY OR WHERE BECAUSE THEY DON'T TAKE THEM. AND DO WE LIKE I KNOW IN SEVERAL COMPANIES I WORKED IN, YOU KNOW, YOU GET TUITION AID OR REIMBURSEMENT OR SOMETHING LIKE THAT. THERE'S A, HEY, WE CAN DO THIS, BUT THERE'S ALSO A COMMITMENT THAT'S BEEN GIVEN BY THE EMPLOYEE OR BY THE FIREFIGHTER OR WHATNOT. DO WE DO THAT AS WELL, THAT IF WE'RE GOING TO PUT YOU THROUGH THIS TRAINING? YES. WE ASK THAT YOU STAY, BUT WE CAN'T BY LAW REQUIRE THAT YOU STAY. NOW ON OUR TUITION REIMBURSEMENT PROGRAM FOR COLLEGE. WE DO TELL WE DO HAVE A RULE THAT IF YOU DON'T STAY A CERTAIN AMOUNT OF TIME, YOU HAVE A PRO RATA SHARE YOU HAVE TO PAY BACK. BUT WHEN IT COMES TO THESE PROGRAMS, WE DON'T WE DON'T DO THAT BECAUSE WE'RE TRYING TO BE COMPETITIVE AND GET FOLKS HERE. RIGHT. BUT IF WE'RE ONE OF THE FEW CITIES THAT ALLOWS YOU TO EVEN TRAIN AND LEARN ON OJT, BASICALLY IS WHAT THIS IS, RIGHT? RIGHT. THAT'S INSANELY VALUABLE TO TO THEM. SO I WOULD THINK THAT WOULD ALLOW SOME LOYALTY OR WHATNOT AND THAT IF THERE COULD BE SOME EXPENSES THAT COULD BE PASSED ON, I DON'T WANT TO SEE THAT. I WANT THEM TO STAY. BUT IF ANYWAY, I'D LIKE TO SEE IF THERE'S ANYTHING WE COULD DO ON THAT TO MAKE SURE WE HAVE THE COMMITMENT OF THE NEW EMPLOYEE WHO WANTS TO LEARN, GET ALL THE GREAT TRAINING BY OUR LEADERSHIP HERE, AND THEN YOU KNOW THAT THEY WANT TO STAY, RIGHT? AND ALSO, YOU KNOW, I KNOW WE'RE TALKING ABOUT CHANGING SALARY RANGES OR WHATNOT, BUT HAVE WE LOOKED AT JUST ONE TIME RETENTION BONUSES OR WHATNOT? BECAUSE WHATEVER WE IMPLEMENT TODAY, LET'S JUST SAY TODAY THAT HITS OUR BUDGET FOR THE REST OF ETERNITY UNTIL THEY RETIRE. RIGHT? SO WE DON'T KNOW WHAT THE MARKET'S GOING TO LOOK LIKE NEXT YEAR. WE DON'T KNOW IF INTEREST RATES ARE GOING TO GO DOWN IF COVID 2.0 IS COMING DOWN OR DOWN, WHATEVER IT MIGHT BE. AND I WOULD HATE TO MAKE THIS HUGE PUSH FOR, YOU KNOW, HUGE SALARY INCREASES. AND THEN SOMETHING HAPPENS, I'D LIKE TO MAYBE SEE HOW THAT LOOKS DOWN THE LINE. NOT OPPOSED TO IT. JUST SAYING ARE THERE HAVE WE LOOKED AT OTHER AVENUES OF HEY, IF WE DID A $10,000 BONUS FOR EVERYONE, YOU KNOW, THAT WOULD LOOK LIKE THIS FROM A BUDGET PERSPECTIVE, BUT IT WOULDN'T LOCK US INTO FISCAL YEAR 26 OF PAYING THE SAME INCREASE, PLUS WHATEVER THE NEXT CATCH UPS GOING TO BE, YOU KNOW, DOWN THE DOWN THE ROAD, RIGHT? WE ONLY OFFER THOSE ONE TIME SALARY ADJUSTMENTS FOR THOSE THAT ARE TOPPED OUT OF THEIR CURRENT SALARY, AND IT'S ONLY 1%. WE'VE ACTUALLY LOOKED AT DOING MORE INSTEAD OF JUST 1%, BECAUSE IT'S IT'S NOT VERY MUCH MONEY, AS YOU CAN IMAGINE WHEN YOU'VE TOPPED OUT. YEAH. WE HAVE NOT TRADITIONALLY LOOKED AT THAT BECAUSE IT WOULD PUT US FARTHER AND FARTHER BACK IN THE MARKET IF WE GAVE THOSE ONE TIMES PLUS WITH A ONE TIME. AS YOU KNOW, THE PERCENTAGE THAT YOU'RE TAXED AT, AT THAT IS VERY HIGH. AND SO THE ACTUAL VALUE OF WHAT YOU'RE GETTING OUT OF THAT IS, IS NOT AS IT LOOKS GOOD WHEN YOU TELL SOMEBODY THEY HAVE THAT MUCH, BUT HOW MUCH IT'S TAXED AT, IT TAKES A SIGNIFICANT CHUNK OUT OF IT. INITIALLY IT DOES, BUT THEN WHEN YOU FILE YOUR TAXES, YOU SOMETIMES GET A LOT OF THAT BACK. BUT YEAH, I UNDERSTAND YOU GET TAXED AT A 40% RATE VERSUS A 15 OR 20. RIGHT. AND EVENTUALLY YOU GET THAT BACK. BUT YEAH. OKAY. I JUST WANT TO MAKE SURE WE'RE LOOKING AT OTHER AVENUES TO KEEP PEOPLE HERE, BUT NOT ALSO BREAKING FUTURE BANKS DOWN THE ROAD. THAT'S ALL. OTHER QUESTIONS FOR THE COMPENSATION STUDY. ALL RIGHT. HEARING NONE. NOW WE WILL MOVE ON TO SUPPLEMENTAL REQUESTS. MISS NASH AND MISS ROSE, I DON'T KNOW WHO'S GOING FIRST. I'M GOING TO TAKE IT OFF. OKAY? YOU'RE GONNA TAKE IT OFF. OKAY, GREAT. YEAH. ALL RIGHT. GOOD EVENING. MAYOR AND COUNCIL. SUPPLEMENTAL REQUEST AS MISS NASH ALLUDED TO EARLIER WHAT WHAT ARE SUPPLEMENTAL REQUESTS? THEY ARE PROGRAMMATIC ENHANCEMENTS, SERVICE ENHANCEMENTS, OR ONE TIME ITEMS. SO IT'S PRETTY SMALL GROUP. AND YOU'LL SEE HOW THESE FIT IN. SO YOU'LL SEE 17 REQUESTS AT $2.7 MILLION FOR THE GENERAL FUND, ONE REQUEST AT $42,000 FOR THE UTILITY FUND. THE EDC HAS TWO REQUESTS AT $26,000, AND THE VERF HAS SEVEN REQUESTS AT $502,000. I WANT TO POINT OUT HERE WHAT YOU CAN'T SEE THROUGH THIS PROCESS IS THIS REALLY STARTS IN MARCH WHEN DEPARTMENTS ARE SUBMITTING THEIR REQUESTS AND THEY THIS YEAR, THEY GOT THE LUCKY BENEFIT OF GETTING TO WORK WITH A TEAM OF REVIEWERS THAT CONSISTED OF ME, DAVID BALDWIN AND OUR INTERNAL SERVICES TEAM, WHO WENT THROUGH EVERY SINGLE SUPPLEMENTAL REQUEST AND ASKED A LOT OF QUESTIONS, AND WE PAIRED SOME BACK. WE, FOR TIMING PURPOSES, MADE RECOMMENDATIONS THAT WE REVISIT THESE ITEMS IN A FUTURE YEAR. WE ALSO IDENTIFIED A LOT OF OPPORTUNITIES FOR COLLABORATION, SO WE HAD MANY MORE REQUESTS THAN WHAT YOU'LL SEE HERE. [02:10:05] THE LIST JUST GOT WHITTLED DOWN SIGNIFICANTLY, SO, I THINK IT'S AN UNSPOKEN PART OF THIS PROCESS THAT NOT EVERYBODY GETS TO SEE. BUT IT STARTS PRETTY EARLY AND WE START WHITTLING THINGS DOWN FROM THAT POINT FORWARD. SO WE'LL TALK GENERAL FUND SUPPLEMENTALS FIRST, AND I WANT TO POINT OUT BEFORE ANYBODY ELSE JUMPS TO IT, THERE IS A DIFFERENCE HERE ON THE COMPENSATION NUMBER THAT WAS PRESENTED, AND THAT IS DUE TO A 2% VACANCY FACTOR. SO ON A PRIOR SLIDE, YOU ALL SAW $745,000, I BELIEVE. AND THIS IS SHOWING $730,000. SO THAT IS DUE TO BUDGETING FOR A 2% VACANCY FACTOR. AND IF ANYBODY HAS ANY QUESTIONS ABOUT THAT DAVID CAN SPEAK TO THAT MORE SPECIFICALLY. SO THAT IS OUR COMPENSATION PROPOSAL. AND THEN WE ALSO HAVE AN UNDER COMBINED SERVICES WE HAVE AN ADMINISTRATIVE VEHICLE WHICH WOULD BE SPLIT WITH THE EDC. ON THE CMO IT SIDE, WE ARE ASKING FOR SOME VIRTUAL SERVER REPLACEMENTS AND A REPLACEMENT PHONE SYSTEM. ON THE CITY SECRETARY SIDE, WE ARE LOOKING AT DOING A LASER FICHE EXPANSION. FIRE RESCUE HAS ASKED FOR SELF-CONTAINED BREATHING APPARATUS, EPOC READERS AND NXS HOSTS ON THE AMBULANCES AND A STATION ONE KITCHEN CABINET COUNTERS. REMODEL REQUEST. HR WAS DENIED, WHICH WAS DENIED. YES, AND I SHOULD. I SHOULD ALSO POINT OUT. THANK YOU, MISS NASH. YOU'LL SEE WHERE THE AMOUNT WAS REQUESTED, THE AMOUNT THAT WAS RECOMMENDED FOR THE GENERAL FUND FUNDING. AND THEN WE HAVE AN ADDITIONAL CATEGORY HERE, WHICH IS THE RECOMMENDED DEBT FUNDING CATEGORY, WHICH WILL SHOW UP IN JUST A MOMENT. BUT YOU CAN SEE THAT NOT ALL THE REQUESTS THAT WERE SUBMITTED ULTIMATELY WERE RECOMMENDED FOR FUNDING. IN HR YOU SEE THAT WE HAVE A COMPENSATION AND CLASSIFICATION STUDY THAT WE'VE ALLUDED TO A COUPLE OF TIMES IN THIS PRESENTATION. FOR LEISURE SERVICES AND FACILITY MAINTENANCE YOU HAVE A GENERATOR REPAIR AT FIRE STATION NUMBER ONE AT $15,000 FROM OPERATING REVENUE. AND THEN WE ARE RECOMMENDING DEBT FOR THE GENERATOR REPLACEMENT AT POLICE AND FIRE, RESPECTIVELY. THAT'S THE USE OF THOSE TAX NOTES THAT WE REFERENCED. FOR LEISURE SERVICES ON PARKS. WE ARE REQUESTING FORD F-350 CREW CAB, TORO MASTER MOWER AND LANDSCAPE TRAILER. THIS IS A COMBO REQUEST BECAUSE IF WE WERE TO REQUEST THE TRUCK WITHOUT THE TRAILER OR THE TRAILER WITHOUT THE MOWER, IT WOULDN'T MAKE SENSE, SO THIS IS A COMBINED PACKAGE. ON LEISURE SERVICES RECREATION. YOU WILL SEE THAT THERE WAS A REQUEST SUBMITTED FOR AN OUTDOOR CHRISTMAS TREE REPLACEMENT THAT'S TO REPLACE THE TREE THAT IS AT THE CITY CAMPUS DURING THE CHRISTMAS EVENT. AND THEN YOU WILL ALSO SEE A REQUEST FOR CAMPUS HOLIDAY DECORATION REPLACEMENTS. NOTED THERE IS A ZERO WITH AN ASTERISK NEXT TO IT, WHAT WE DID INSTEAD HERE IS WE ADDED $5,000 TO THE BASE BUDGET FOR ANNUAL HOLIDAY DECORATION REPLACEMENT, SO WE CAN START CHIPPING AWAY AT THAT PERIODICALLY EACH YEAR INSTEAD OF DOING ONE WHOLESALE REPLACEMENT AT ONCE. YOU WILL SEE THAT POLICE REQUESTED A CERTIFIED OFFICER AND THAT PUBLIC WORKS AND STREETS. THE SIDEWALK REPLACEMENT FUNDING. YOU'LL SEE $50,000 LISTED THERE. FINAL SLIDE FOR GENERAL FUND. YOU'LL SEE OUR TOTAL FUNDED SUPPLEMENTAL REQUESTS, THE $2.6 MILLION REQUESTED WITH THE REVENUE OFFSETS. AND YOU'LL SEE THE BREAKDOWN THERE. THAT LEAVES US WITH $42,944 REMAINING. WE DO HAVE SOME UNFUNDED SUPPLEMENTAL REQUESTS, AND I'M GOING TO LET MISS NASH SPEAK TO THOSE BRIEFLY. MAYOR AND COUNCIL SO AS LAUREN ALLUDED TO, WE STARTED THIS PROCESS WITH, I THINK, OVER 40 SUPPLEMENTAL REQUESTS, AND THOSE WERE WHITTLED DOWN TO THE ONES THAT YOU ACTUALLY SAW IN THESE PREVIOUS SLIDES. BUT I WANT TO SPECIFICALLY RESPOND TO THE UNFUNDED SUPPLEMENTAL REQUESTS, BECAUSE I INEVITABLY GET ASKED BY ONE OF YOU, WELL, WHAT THINGS DO YOU NOT RECOMMEND MOVING FORWARD WITH? AND AS I SAID, YOU KNOW, LAUREN STATED ABOUT THE CAMPUS HOLIDAY DECORATIONS AND THE OUTDOOR CHRISTMAS TREE. CERTAINLY I KNOW THAT YOU ALL SUPPORT THE CHRISTMAS EXTRAVAGANZA AND ALL THE THINGS THAT WE DO AROUND THAT, BUT GIVEN WHERE WE ARE WITH THE BUDGET, REALLY, WE UNDERSTAND THAT WE DO NEED TO REPLACE SOME OF THE THINGS THAT WE HAVE THAT ARE AGING WITH TIME, OR THEY BOUGHT THINGS THAT MAYBE WEREN'T COMMERCIAL GRADE TO ADD, BUT THAT THOSE TEND TO FALL APART A LOT SOONER. AND WHAT WE'RE RECOMMENDING IS JUST ADDING SOME MONEY TO THE BASE BUDGET EVERY YEAR TO DO REPLACEMENTS, BUT THAT THIS ISN'T THE TIME FOR US TO BE ABLE TO DO THE WHOLESALE [02:15:05] REPLACEMENTS OF EVERYTHING. ON STATION ONE, THE KITCHEN CABINETS AND COUNTERS. THIS REALLY NEEDS TO GO INTO A BIGGER DISCUSSION RELATIVE TO A BOND WITH REDOS AT STATION TWO, REDOS AT STATION ONE, AND I WOULD RATHER MAKE THAT MORE OF A COMPREHENSIVE LOOK AND DISCUSSION WRAPPED INTO A BOND PACKAGE, RATHER THAN DOING A REPLACEMENT OF SOMETHING LIKE THIS RIGHT NOW, I THINK THERE'S THERE'S BIGGER THINGS THAT WE CAN PUT TOGETHER RELATIVE TO THAT TO MAKE A MORE IMPACTFUL MEANINGFUL CHANGE TO THAT FACILITY. AND IN TERMS OF THE CERTIFIED POLICE OFFICER, THIS IS A DISCUSSION CHIEF SYLVESTER AND I HAVE HAD AT LENGTH. HE IS NOT HERE THIS EVENING, BUT I WANT YOU ALL TO UNDERSTAND THAT THIS IS A DECISION THAT HE AND I MADE TOGETHER IN CONVERSATIONS THAT REALLY, IT IS MUCH MORE IMPORTANT TO US TO BE ABLE TO PAY THE OFFICERS THAT WE HAVE INSTEAD OF ADDING OFFICERS NUMBERS TO WHAT WE HAVE EXISTING. AND SO THAT WAS THE DECISION THAT WE BOTH CAME TO BASED ON WHERE HE'S AT WITH HIS FOLKS. AND WE'RE IN AGREEMENT ON THAT MOVING FORWARD. SO THOSE WERE THE UNFUNDED SUPPLEMENTAL REQUESTS THAT I WANTED TO BE ABLE TO EXPLAIN IN A LITTLE MORE DETAIL. ALL RIGHT. MOVING ON TO THE UTILITY FUND SUPPLEMENTALS. HERE, YOU JUST HAVE THE UTILITY FUNDS PORTION OF THE COMPENSATION PACKAGE AT $42,411. EDC FUND SUPPLEMENTALS. AGAIN, YOU HAVE THEIR COMPENSATION COMPONENT, AND THEN YOU HAVE THE ADMINISTRATIVE VEHICLE SPLIT THAT IS TO REPLACE THE 2010 FORD FUSION THAT THE EDC CURRENTLY DRIVES TO MAKE FOR AN ADMINISTRATIVE POOL CAR THAT'S SHARED AMONGST THE ADMINISTRATIVE TEAM. AND YOU CAN SEE THEIR PORTION OF THAT VEHICLE THERE. AND THEN YOU CAN SEE THE FUNDED SUPPLEMENTAL REQUEST. GENERAL FUND VERF SCHEDULED. THESE ITEMS WERE APART OF THE VERF BUT WERE REQUESTED AS PART OF THE SUPPLEMENTAL REQUEST PROCESS. SO A LOT OF THE STUFF IS PRETTY PREDICTABLE BECAUSE IT'S ON A CYCLICAL REPLACEMENT SCHEDULE. SO YOU'VE GOT COMPUTER REPLACEMENT CYCLE TWO. VERY EXCITING. IN FIRE RESCUE, WE'VE GOT A TAHOE VEHICLE THAT WE'RE REPLACING. AND THEN FOR LEISURE SERVICES AND FACILITY MAINTENANCE, WE HAVE TWO HVAC FOR THE PUBLIC SAFETY BUILDING AND THE LIBRARY AT $30,000. THOSE WERE PLANNED FOR AS PART OF THE REPLACEMENT SCHEDULE. AND PARKS, WE'VE GOT A TORO MASTER, A TORO Z MASTER 4000 SERIES. I'M LEARNING ALL KINDS OF THINGS ABOUT MOWING MODELS THAT I'D NEVER DREAMED OF. AND THEN IN POLICE, WE'VE GOT THE REPLACEMENT OF THE TWO TAHOE PATROL VEHICLES. UTILITY VERF. WE'VE GOT THE JOHN DEERE SKID STEER LOADER, LEARNED A LOT ABOUT THAT TOO. AND YOU CAN SEE WHERE THAT REQUEST IS BEING RECOMMENDED. ANY QUESTIONS ABOUT THE SUPPLEMENTAL REQUEST? MISS BUHLER. WHY IS THE ADMINISTRATIVE VEHICLE SPLIT WITH EDC? WHY IS THAT NOT UNDER THE VERF OR THE EDC FUNDS? WHY ARE WE DOING THAT UNDER THE GENERAL FUND? DO YOU WANT TO ANSWER? YOU WANT TO TAKE A STAB AT THAT SPLIT ON. IS IT BECAUSE THE EDC FUNDS ARE IN A DEFICIT? SO WHY IS THE EDC? WHY IS IT SPLIT WITH WITH THE GENERAL FUND? AND WHY IS IT NOT IN THE VERF? YEAH WHY ARE WE DOING THE VEHICLE? EDC AS ITS OWN GROUP THAT IS JUST FUNDED, YOU KNOW, JUST A ONE TIME LUMP SUM. THAT VEHICLE WAS PURCHASED AROUND 2009-2010. IT'S UP FOR REPLACEMENT EDC HAS NOT BEEN SETTING ASIDE FOR THEIR ONE VEHICLE X AMOUNT PER YEAR FOR THE LAST, YOU KNOW, 14 YEARS OR SOMETHING. AND SO THE IDEA IS THAT THIS VEHICLE WILL BE SHARED BETWEEN ADMINISTRATIVE DEPARTMENTS AND THE EDC. WHAT'S SHOWING THERE IS A $46,000 COST SPLIT, SO PURCHASED IN THE GENERAL FUND OR IN THE GENERAL FUND AS A SUPPLEMENTAL. AND THEN HALF OF THAT IS REVENUE COMING FROM EDC TO THE GENERAL FUND. AND THEN EDC ALSO SHOWS THEIR OWN SINCE THAT THE VEHICLE BEING REPLACED IS ALL THEIRS, THEY GET THE AUCTION PROCEEDS FULLY TO THEMSELVES. GOING FORWARD THOUGH, LET'S SET THIS ASIDE NOW THAT IT HAS A GENERAL FUND FLAVOR TO IT, AND IT'S 50% USED BY ADMINISTRATIVE STAFF IN THE GENERAL FUND. WE'VE SAID, LET'S GO AHEAD AND PUT IT IN THE GENERAL VERF GOING FORWARD. AND SO WE'LL THEN SPLIT THOSE VERF CONTRIBUTIONS 50/50 IN THE FUTURE. [02:20:06] PERFECT. THANK YOU. MY NEXT QUESTION IS, WHY IS THE POLICE GENERATOR SO MUCH MORE THAN FIRE? YEAH. I HAVE A VERY LENGTHY SHEET EXPLAINING THAT, BUT I THINK THOSE THREE WITH ONE LARGE GENERATOR. THE ONE GENERATOR THE FIRE DEPARTMENT IS JUST ONE GENERATOR THAT IS NEEDED. SO IT WOULD BE LIKE ONE THIRD OF WHAT THE POLICE GENERATOR IS USED FOR. OKAY. FAIR ENOUGH. THANK YOU. MY NEXT ONE. I'M VERY EXCITED TO SEE THE REPLACEMENT OF THE LIBRARY HVAC BECAUSE THEY ARE WORKING ON IT AND IT'S DRIPPING EVERY TIME I GO THERE. I GUESS. OH, COMPENSATION AND CLASSIFICATION STUDY. YOU ALL HAVE DONE IN-DEPTH RESEARCH INTO PAY STRUCTURE LAST TWO YEARS. WHAT VALUE WILL COME OUT OF A $67,000 STUDY THAT Y'ALL HAVEN'T ALREADY DONE IN THE LAST TWO YEARS? I'LL ANSWER THAT QUESTION. I THINK A COUPLE OF THINGS. I THINK ONE IS IMPORTANT, EVERY DECADE TO HAVE AN INDEPENDENT THIRD PARTY COME IN AND DO A COMPLETE ANALYSIS OF ALL OF YOUR WORK. I THINK IT'S VALUABLE TO THE EMPLOYEES BECAUSE THEY CAN SEE THAT AND FEEL LIKE THERE'S NO BIAS THERE, THAT YOU HAVE AN INDEPENDENT REVIEW. I THINK THAT'S ONE. I THINK TWO, THAT THEY CAN BRING FORTH SOME IDEAS AND CONCEPTS RELATIVE TO BEING A LITTLE MORE CREATIVE WITH SOME OF THIS IN THE FUTURE. IF THAT'S SOMETHING THAT WE'RE LOOKING TO DO RELATIVE TO STRUCTURES AND EVEN SOME OF OUR CLASSIFICATIONS AND PAY BANDS AND CAN TALK ABOUT WITH SOME OF WHAT THEIR OTHER CLIENTS HAVE DONE AND SOME SUGGESTIONS ON MAYBE LOOKING AT A LITTLE BIT DIFFERENTLY. BUT I THINK ALSO THEY HAVE A LOT OF GOOD DATA RELATIVE TO CHOOSING OF COMPARATOR CITIES. SO I THINK IT'S ALL OF THOSE THINGS AND HAVING THAT DETAILED THIRD PARTY ANALYSIS TO REALLY GO THROUGH POSITION BY POSITION, AND BECAUSE THEY HAVE THEIR OWN SETS OF DATA, BECAUSE THEY DO THIS OTHER PLACES, I THINK WE CAN GET A REALLY GOOD ROBUST PRODUCT. AGAIN, THAT IS SEPARATE AND APART FROM WHAT OUR ALTHOUGH VERY GOOD SMALL HR DEPARTMENT DOES, IN ADDITION TO THEIR DAY TO DAY JOB, I THINK IT'S IMPORTANT TO GET A THIRD PARTY REVIEW. OKAY. THANK YOU. MR. LINDSEY. YEAH. MY FIRST TWO QUESTIONS COUNCILWOMAN BUHLER HAD WERE WERE THE EXACT SAME. BUT ON THE SECOND QUESTION, I DIDN'T QUITE UNDERSTAND THE ANSWER ON THERE. IT'S WITH THE GENERATORS, THE SCREEN THAT WE'RE LOOKING AT. SO I THOUGHT THAT THE PUBLIC SAFETY BUILDING AS A WHOLE HAD A SINGLE GENERATOR COMPLEX, AND MAYBE THAT'S MULTIPLE UNITS, BUT IS THAT WHOLE BUILDING POLICE AND FIRE ALL POWERED TO TOGETHER OFF OF THAT GENERATOR? IT IS SEPARATED WITH MULTIPLE GENERATORS. THE ONE THAT NEEDS TO BE REPLACED AT THE FIRE DEPARTMENT PORTION IS A BACKUP GENERATOR JUST FOR THE FIRE SIDE. AND THEN ON THE PD SIDE, THERE'S THREE GENERATORS THAT ALL NEED TO BE 2 ARE OPERATING NOW AND IT'S KEEPING IT AFLOAT, BUT ALL THREE NEED TO BE REPLACED WITH ONE LARGE GENERATOR. IS THAT DOES THAT HELP YOU? OKAY, YEAH. SO ON THE POLICE SIDE, THAT ALSO POWERS DISPATCH. YES AS WELL. SO SOMEWHERE THERE'S ANOTHER GENERATOR, JUST THAT WING FOR THE FIRE ADMIN SIDE OR. NO. NO OKAY. THAT'S RIGHT. OKAY. SO THE ACTUAL FIRE STATION BEHIND IT, THAT'S ON ITS OWN SEPARATE GENERATOR. YES, SIR. EVEN THOUGH IT'S SORT OF THE SAME BUILDING. OKAY, I NEVER REALIZED THAT, BUT ACTUALLY. YEAH. AROUND THE SIDE. YES. THANK YOU. YEP. AS FAR AS THE GENERATOR, I. OKAY. ALL RIGHT. THE LEAD TIME ON THE GENERATORS IS PRETTY SIGNIFICANT. SO. YEAH, WE'RE TRYING TO GET AHEAD OF THINGS. THANK YOU. CLOSE ENOUGH. MR. MILLSAP. IF YOU HAVE THREE AND ONE OF THEM GOES OUT, YOU CAN AT LEAST LIMP ALONG. AND SO I'M NOT SURE THAT I AM ENTHUSED ABOUT GOING FROM 3 TO 1 NOT BECAUSE OF THE PRICE, BUT I THINK MY GENERAL CONTENT OF MY [02:25:04] SHOP. I'D RATHER HAVE THREE AIR COMPRESSORS THAN ONE BIG ONE, BECAUSE IF IT GOES OUT, WE'RE OUT OF BUSINESS. IF ONE OF THEM GOES OUT, I HAVE THREE AT LEAST I'M TWO THIRDS STILL OPERATIONAL. SO THAT IS SOMETHING I THINK WE NEED TO TO ALSO BE AWARE OF OR ABSOLUTELY GIVE IT MORE CONSIDERATION. I CAN MAKE A COMMENT ON THAT. I DO KNOW THAT THE SMALLER GENERATORS THAT WE HAVE ARE BECOMING OBSOLETE, THAT THEY DO GO INTO THE LARGER GENERATORS, BUT WE CAN ABSOLUTELY LOOK AT ABSOLUTELY LOOK AT SOMETHING AS FAR AS HAVING A BACKUP TO THE MAIN GENERATOR, IS THAT KIND OF WHAT YOU'RE ASKING IN THE FUTURE? WELL, IF YOU DO THAT, IF YOU'RE GOING TO GO TO ONE GENERATOR AND HAVE A BACKUP FOR IT, THEN THIS DOLLARS IS GOING TO HAVE TO GO UP SIGNIFICANTLY. AND I'M NOT SURE I'M READY TO DO THAT. YEAH, I THINK WE LOOK AT ALL OPTIONS WHEN WE GET READY TO ORDER. THE CURRENT GENERATORS ARE OBSOLETE. ANYTHING YOU BUY TODAY IS OBSOLETE BY THE TIME YOU GET IT INSTALLED. BUT YEAH, BUY SMALLER ONES UP TO DATE ONES. BUT I JUST I JUST NOT REALLY ENTHUSED ABOUT HAVING ONE. AND YOU'RE OUT OF BUSINESS AND I UNDERSTAND THAT. SO THAT'S JUST MY COMMENT ON THAT. ANOTHER QUESTION MIGHT ASK THOUGH, IS ON YOUR JUST GENERALLY YOUR JOHN DEERE SKID STEER LOADER, YOU REQUESTED $85,000, BUT THE NET REQUEST IS 75. SO WE'RE TAKING THE EXISTING PIECE OF EQUIPMENT AND AUCTIONING IT OFF OR HAVE AUCTIONED IT OFF. AND THEN WE HAVE THE PROCEEDS TO OFFSET THAT COST. OKAY. SO WE'RE USING THAT AUCTION AS A PAY THE DIFFERENCE OKAY. OKAY. PRESTENBERG. YES. REAL QUICK WHEN WE DO STUDIES OR WHEN WE DO BUILDING DESIGNS AND WHATNOT, DO WE GET MULTIPLE QUOTES FOR THESE? LIKE WHEN WE'RE ASKING SOMEONE TO DO A COMPENSATION STUDY FOR US, ARE WE JUST GOING TO OUR PREFERRED VENDOR OR ARE WE GOING TO MULTIPLE. NO, NO, NO, THIS IS AN AVERAGE OF WE HAD JENNA SURVEYED THE MARKET AND GOT QUOTES FROM NUMBER PEOPLE. AND THIS WAS THE AVERAGE I ASSUME. SO JUST WANT TO MAKE IT SURE. IT'S IT'S WELL KNOWN THAT IT'S NOT ONE PERSON THAT WE'RE GOING TO CORRECT. YEAH. THANK YOU. ALL RIGHT. ANY OTHER QUESTIONS ON THIS SECTION? HEARING NONE. WE'RE I SEE SUMMARY. IS THAT CORRECT? SO LIGHT AT THE END OF THE TUNNEL. I DIDN'T WANT TO GET TOO EXCITED. YEAH. I BELIEVE YOU'RE UP, MR. BALDWIN. OKAY. COUNCIL MEMBER PRESTENBERG. YES. ON PAGE 199 OF THE PACKET, OUT OF 302 PAGES, I THINK IT SHOWS THE HUMAN RESOURCES REQUEST, AND IT SHOWS THE AVERAGE OF POSSIBLE QUOTES, SO MORE DETAIL THERE. AND TO THAT POINT WE'VE JUST FOCUSED ON THE FIRST, YOU KNOW, 80 SLIDES, WHICH IS WHAT, 40 PAGES OF A 302 PAGE BOOK. SO ALL THROUGHOUT THERE IS MORE DETAIL ON THE REQUESTS, BACKUP DETAIL QUOTES, THINGS LIKE THAT THAT YOU MIGHT BE LOOKING FOR IS ALL IN THE OTHER LARGE PORTION OF THIS BIG BINDER. ALL RIGHT, SO I'VE BEEN UP HERE MANY TIMES, AND EVERY SLIDE I HAVE HAS A DIFFERENT ASTERISK. AND MOST OF THOSE ASTERISKS SAY THAT SUPPLEMENTALS ARE EXCLUDED. SOMETHING ELSE IS EXCLUDED. SO WE FIGURED WE'D SEND ME UP HERE TO KIND OF SUMMARIZE IT ALL, BUT FINALLY HAVE A DIFFERENT ASTERISK AT THIS TIME, SAYS SUPPLEMENTALS ARE INCLUDED. SO WHAT DOES EVERYTHING LOOK LIKE IF WE HAVE THE BASE BUDGET STILL EXCLUDING CIP SO THAT. OH. THANK YOU. THERE WE GO. THERE WE GO. SO WHAT DO THESE FUNDS LOOK LIKE IF WE HAVE THE BASE BUDGET STILL EXCLUDING CIP, BUT NOW ADD ALL OF THESE SUPPLEMENTAL REQUESTS, THE PORTION THAT WAS RECOMMENDED. FOR THE GENERAL FUND, IT LEAVES US WITH $42,000 AND CHANGE OF SURPLUS, SO WE ARE ABLE TO AFFORD IT WITHIN EXISTING REVENUES. FOR THE UTILITY FUND IT LEAVES US WITH A BALANCE OF $2.9 MILLION. NOW AGAIN, FOR THE UTILITY FUND THIS ADDS THE VERF REQUEST. IT ADDS THE UTILITY VERF REQUEST, IT ADDS THE COMPENSATION, BUT IT DOES NOT YET LAYER IN THE CIP PLAN. SO THAT WOULD BE IN THE CITY MANAGER'S PROPOSED BUDGET. AND THAT'S WHY THE UTILITY FUND SHOWS EVEN AFTER THE SUPPLEMENTALS A LARGE SURPLUS. FOR DEBT SERVICE, WE SHOWED YOU THE THE REVENUES GENERATED FROM OUR CURRENT I&S RATE. WE SHOWED YOU SLIDES FOR POSSIBLE DEBTS THAT WE COULD THAT WE COULD ENTER INTO. [02:30:05] AND SO THIS IS JUST SHOWING HALF THE PICTURE. SO TO SOME EXTENT COUNCIL MEMBER LINDSEY'S QUESTION OF WELL HOW MUCH CAPACITY IS THERE FOR DEBT. THERE'S SOME OF YOUR ANSWER RIGHT RIGHT THERE, $2.6 MILLION. EDC SHOWS THEIR REVENUES AND THEN EXPENDITURES EXCEED EXCEED REVENUES. AND AS MISS NASH SPOKE TO, IT'S THERE'S A LOT OF INFRASTRUCTURE GRANTS IN THAT BUDGET. SO YES, IN ONE YEAR IT DOES. EXPENDITURES DO EXCEED REVENUES. HOWEVER, THE FUND BALANCE AT THE END OF FISCAL YEAR 23 WAS $5.6 MILLION. SO THERE ARE FUNDS AVAILABLE TO TAKE THAT THAT DIP. AND IT JUST DRAWS DOWN FUND BALANCE A LITTLE BIT. THE GENERAL VERF WITH WITH THE REPLACEMENTS STILL HAS A REMAINING BALANCE OR FUNDING THAT CAN THAT STILL GOES TO THE ENDING FUND BALANCE OF $1.4 MILLION. AND IN THE NEW FUND, THE UTILITY VERF WITH THE TRANSFERS IN AND THE SMALL ONE SKID STEER REPLACEMENT, IT HAS ALSO $1.4 MILLION. SO IT'S NOT A TYPO. THOSE ARE TWO VERY SIMILAR NUMBERS IN UTILITY OR IN THE VERF FUNDS. MOVING TO THE NEXT SLIDE AND REALLY, TO WRAP IT ALL UP, I WON'T GO THROUGH THIS MUCH MORE AS WE'VE GONE THROUGH THE CALENDAR MANY TIMES, BUT SUFFICE IT TO SAY, AFTER THIS DATE, THERE'S MUCH MORE BUDGET CONVERSATION COMING FROM THE THE BUDGET TOWN HALL, AND THEN WE'LL BE IN FRONT OF COUNCIL ONCE THE PROPOSED BUDGET IS SUBMITTED ON AUGUST 15TH, PRESENTED ON THE 19TH, AND THEN THE CALENDAR CONTINUES THROUGH THE END OF SEPTEMBER. WITH THAT, IF THERE ARE ANY REMAINING QUESTIONS. WELL, WE'RE ABOUT TO FIND OUT. THANK YOU, MR. BALDWIN, I APPRECIATE IT. THANK YOU. QUESTIONS FROM COUNCIL TO STAFF AND MISS MISS BUHLER. IF I HAVE QUESTIONS ON JUST GENERAL FUND BUDGET, DO YOU WANT ME TO ASK THEM NOW OR DO YOU WANT ME TO? OKAY. NOW'S THE TIME. LET'S DO THIS. IN THE GENERAL FUND REVENUE. THIS IS PAGE 74, THE BUDGET WORKSHEET. IT SAYS IRRIGATION PERMITS. MISS BUHLER I'M SORRY, ARE THE NUMBER YOU'RE YOU REFERENCE, THE SLIDES OR THE PAGE? IT'S IN THE BUDGET WORKSHEET. IT'S NOT OH, THE BUDGET WORKSHEETS OKAY. PAGE 74 OF 302 NOW GETS INTO ANOTHER SECTION WHICH IS THE GENERAL FUND WORKSHEET SHOWING DETAIL NO. OH. AND TOWARDS THE BOTTOM OF THAT PAGE IT SHOWS IRRIGATION PERMITS. YES. IRRIGATION PERMITS. THERE IS A BIG JUMP. IS THAT HAVE TO DO WITH THE BACKFLOW? CHANGE IN POLICY. THIS YEAR, I THINK. IT WENT FROM $11,800 AND IT'S GOING TO JUMP UP TO $30,000. I BELIEVE IT IS IT IS MORE THAT IN 2023 OUR ACTIVITY WAS LOW. SO IF YOU SEE IN 21-22, TOTAL ACTIVITY WAS $28,300 AND THEN 23 ACTIVITY WAS $14,000. AND THEN SO FAR THROUGH JUNE WE'RE AT $12,000. SO MAKES SENSE. YEAH. SPECIFICALLY, I DON'T HAVE IT OTHER THAN JUST TO TRY AND BE MORE REALISTIC WITH THE NEXT BUDGET, GIVEN OUR HISTORY. OKAY. NEXT, ON PAGE 76, I NOTICED THE SRO PROGRAM INCREASED BY $100,000. DOES THAT MEAN WE'RE GETTING A NEW SRO? I BELIEVE I BELIEVE A LOT OF IT'S DUE TO SALARY INCREASE. OFF THE TOP OF MY HEAD, I'M TRYING TO RECALL IF IT HAS TO DO WITH AN ADDITIONAL POSITION SIMPLY DUE TO DUE TO SALARY INCREASES. NO. IT'S OKAY. AGAIN, MISS BUHLER YOU'RE TALKING ABOUT AN SRO. YOU'RE TALKING ABOUT THE YEAR BUDGET OF $400,000. YEAH. [02:35:11] CHRISTMAS ORNAMENTS. DO WE MAKE $25,000 IN REVENUE? NO. CHRISTMAS ORNAMENTS. OH YOU GUYS ARE CATCHING EVERYTHING. THAT'S AN EXTRA ZERO BECAUSE I'M IMPRESSED. I'M GOING TO START SELLING CHRISTMAS ORNAMENTS MYSELF. YEAH. SHOULD SHOULD BE $2,500. SO BETWEEN NOW THE PRELIMINARY BUDGET AND IN TWO WEEKS THE PROPOSED BUDGET WE'LL MAKE THESE CHANGES. AND SINCE YOU GUYS KEEP CATCHING EVERYTHING, LET ME TELL YOU, FROM MARCH TO NOW WE THERE'S A LOT GOING ON. OUR BUDGET STAFF IN FINANCE IS THESE TWO PEOPLE RIGHT HERE, THESE MYSELF AND ONE OTHER. AND AT THE SAME TIME, WE'RE TALKING DEBT WITH A FINANCIAL CONSULTANT AND THE CITY MANAGER'S OFFICE. FINAL DECISIONS OF SUPPLEMENTALS ARE BEING MADE. WE'RE GETTING INFORMATION FROM THE DALLAS AND COLLIN COUNTY TAX OFFICE AND WORKING WITH YOU KNOW, WITH A CONSULTANT ON THAT. IT IS COMING SO FAST AND IT ALL COMES AT ONE DEADLINE. AND SO A LOT OF THESE THINGS I DID IN MAY AND THEN SOME OF THEM I DIDN'T HAVE A CHANCE TO REVISIT. SO AFTER TODAY, IT'S A DEEP BREATH AND A SIGH OF RELIEF. AND WE HAVE TWO WEEKS TO PUT TOGETHER A BUDGET. THAT'S LARGELY WHAT YOU'RE SEEING HERE. AND SO THIS IS THIS IS WHEN WE'RE GOING TO CATCH ALL OF THAT. SO WITH THAT REVENUE REDUCTION, DOES THAT CAUSE A PROBLEM, $22,500 REDUCTION? HOWEVER, I'VE LOOKED AT CABLE TV FRANCHISE FEE REVENUES. WE BUDGETED $175,000 THAT VERY EASILY THAT SHOULD BE AT $200,000. AND AGAIN, THAT WAS LAST REVISITED IN MAY. SO THERE'S A NEARLY EQUAL OFFSET. OKAY. WELL THANK YOU KNOW I THINK YOU ALL DO A GREAT JOB. I COULDN'T IMAGINE PUTTING 300 PAGES OF NUMBERS. I'M JUST REALLY WISHING WE GET ANOTHER SRO AND MORE CHRISTMAS TREE AND REVENUE AND ORNAMENT REVENUE TOO. THANK YOU. OTHER QUESTIONS ON THIS? WELL, REALLY, ALL THE SECTIONS WE'VE DISCUSSED, I SHOULD SAY. THANK YOU. MRS. BUHLER. MISS NASH WILL ADDRESS THE COUNCIL AT THIS TIME. YES, MISS BUHLER, I'LL GET YOU AN ANSWER TO THAT QUESTION THAT YOU HAD ABOUT THE SRO PROGRAM, AND I'LL SHARE IT WITH THE WHOLE COUNCIL. ONE OF THE THINGS I JUST WANT TO MAKE CERTAIN, AS DAVID SAID, THERE'S A LOT OF INFORMATION IN HERE. AND YOU HAVE, AS YOU CAN SEE WITH THE BUDGET PROCESS, NEXT STEPS HERE AND KIND OF WHAT OUR NEXT MEETINGS ARE. YOU HAVE A LOT OF TIME BETWEEN NOW AND THE NEXT MEETING, WHEN I PRESENT AGAIN TO COUNCIL ON AUGUST 19TH. PLEASE, PLEASE, IF YOU HAVE ANY QUESTIONS ABOUT ANY OF THIS, PLEASE LET ME KNOW. I'M HAPPY TO DIG DEEPER AND GET YOU ANY INFORMATION THAT YOU'RE LOOKING FOR, ANY QUESTIONS THAT YOU HAVE RELATIVE TO THIS. SO WE CAN BE BEST PREPARED FOR AUGUST 19TH. AND IF YOU WANT TO ASK ME THAT QUESTION BEFORE AND GIVE ME TIME TO PREP, I CAN PREP IT AND HAVE IT READY FOR THE PUBLIC AND SHARE THAT INFORMATION SO WE CAN BE AS PREPARED AS POSSIBLE. SO ASK AWAY LIKE DAVID SAID, THERE'S A LOT IN HERE AND WE'RE PROPOSING SOME VERY DIFFERENT THINGS THAN WE EVER HAVE BEFORE. SO I CERTAINLY WANT TO MAKE SURE IF THERE IS INTEREST IN INFORMATION OR THINGS LIKE THAT, THAT WE'RE BEST PREPARED AS POSSIBLE FOR AUGUST 19TH. SO THANK YOU VERY MUCH FOR YOUR TIME AND YOUR PATIENCE TONIGHT AND FOR SITTING THROUGH 80 PLUS SLIDES. YEAH. AND LISTENING TO US DRONE ON. SO I JUST WANT TO TAKE THIS OPPORTUNITY. THANK YOU, MISS NASH. TAKE THIS OPPORTUNITY TO THANK OUR STAFF, ESPECIALLY MR. BALDWIN AND HIS STAFF. AS HE MENTIONED, THE ONE THING I'D LIKE TO EXCUSE ME, I ALWAYS TALK ABOUT WHEN WE TALK ABOUT THIS ITEM EVERY YEAR IS A PRELIMINARY. THAT'S WHAT WE'RE TALKING ABOUT TONIGHT'S PRELIMINARY AND A LOT OF GREAT DISCUSSION. AND IT'S FUNNY BECAUSE I WAS JOKING WITH MISS NASH BEFORE THE MEETING THAT WE DON'T ALWAYS GET TO SEE ALL OF OUR STAFF IN ONE MEETING. SO NICE TO KNOW THEY ALL STILL GET ALONG AND CAN SIT NEXT TO EACH OTHER AND NOT ARGUE AND FIGHT AND ALL THAT. BUT IT'S A IT'S A VERY INVOLVED PROCESS. AND I THINK WE'VE HEARD A LOT OF GREAT COMMENTS TONIGHT, AND QUITE FRANKLY, WE'VE HEARD SOME YOU KNOW, COMMENTS FROM DIFFERENT SIDES OF ARGUMENTS, IF YOU WILL. AND I ALWAYS THINK THAT'S HEALTHY. AND IT ALL COMES DOWN TO AS MISS NASH SAID, MY FAVORITE THING TO SAY IS WHAT KIND OF CITY DO YOU WANT TO LIVE IN? AND THIS IS HOW WE DO THAT. YOU KNOW, I FEEL LIKE THAT AS COUNCIL MEMBERS, THE ONE OF THE MOST IMPORTANT, IF NOT THE MOST IMPORTANT THING WE DO IS THIS RIGHT HERE IS SET OUR BUDGET BECAUSE EVERYTHING ELSE TRICKLES DOWN FROM THAT. SO AGAIN, I WANT TO TAKE THIS OPPORTUNITY TO SAY THANK YOU TO STAFF. GOT A LOT, A LOT A LOT OF ROAD LEFT TO HOE BUT WE'RE GOING TO GET THERE. AND AGAIN, I WOULD EMPHASIZE WHAT MISS NASH SAID, THAT IF YOU HAVE QUESTIONS, IF YOU HAVE STUFF FOR MISS NASH OR AND SHE NEEDS TO FIND OUT THROUGH STAFF, JUST GET LET HER KNOW WHAT YOU NEED. AND THAT WAY WHEN WE TALK ABOUT THIS AGAIN, WE CAN HAVE EVEN BETTER DISCUSSIONS. SO I APPRECIATE COUNCIL'S PATIENCE TONIGHT ON DISCUSSING THIS ITEM. [02:40:04] WITH THAT, IF THERE'S NO OTHER QUESTIONS, WE'LL MOVE ON. NEXT ITEM ON THE AGENDA IS ITEM THREE, RECEIVE AN UPDATE ON THE CWD STORM DEBRIS CLEANUP, MRS. [3. Receive an Update on the CWD Storm Debris Cleanup.] NASH. MAYOR AND COUNCIL, AS PROMISED FROM YOUR LAST CITY COUNCIL REGULAR CITY COUNCIL MEETING BACK IN JUNE THAT WE WOULD COME BACK WITH AN UPDATE ON STORM DEBRIS CLEANUP. AND LOGAN THATCHER, I THINK HAS PROBABLY LIVED HIS WHOLE LIFE THE LAST TWO MONTHS TALKING ABOUT STORM DEBRIS CLEANUP AND TALK TO MANY, MANY, MANY, MANY RESIDENTS THROUGH SACHSE AND TRYING TO HELP THEM MAKE SURE THAT THEY GET THEIR DEBRIS CLEANED UP. AND SO HE'S GOT AN UPDATE FOR YOU TONIGHT ON THAT. JASON ROEMER IS HERE FROM OUR FEARLESS VICE PRESIDENT HERE TO TO BACK HIM UP WITH ANY OF THE INFORMATION SPECIFICALLY FROM CWD. BUT JUST TO GIVE YOU AN UPDATE AND OUR RECOMMENDATIONS ON NEXT STEPS. HELLO, MR. THATCHER. GOOD EVENING, MAYOR AND COUNCIL. I'D LIKE TO GIVE YOU AN OVERVIEW. BRIEFLY TALK ABOUT THE STORM OVERVIEW, THE CWD STORM DEBRIS COLLECTION PLAN, WHAT WE DID FOR COMMUNICATION, CURRENT UPDATE AND THE NEXT STEPS, AND THEN WE'LL OPEN IT UP FOR QUESTIONS. REAL QUICK AS YOU KNOW, THE MORNING OF MAY 28TH, CITY OF SACHSE EXPERIENCED SEVERE WEATHER CONDITIONS THAT CAUSED WIDESPREAD DAMAGE THROUGHOUT THE CITY. THE SEVERITY AND THIS STORM WAS ACCOMPANIED BY INTENSE THUNDERSTORMS AND SEVERE WINDS LED TO DOWNED POWER LINES, NUMEROUS BROKEN TREES. RESULTED IN DISRUPTION OF SERVICES AND NECESSITATED EXTENSIVE CLEANUP EFFORTS. THE IMPACTS IN SACHSE WERE DISPARATE. SOME NEIGHBORHOODS WERE HEAVILY IMPACTED, WHILE OTHERS SAW LITTLE TO NO DAMAGE, AND THE STAFF WAS ABLE TO IMPLEMENT A PLAN WITH CWD BEGINNING SATURDAY, JUNE 1ST. IT COMMENCED ON SATURDAY, JUNE 1ST. RESIDENTS WERE INVITED TO PLAY STORM DEBRIS AT THE FRONT OF THEIR CURBS, WITH NO LIMITS ON THE PLACE OF THE SIZE, ROLL OFF DUMPSTERS WERE ALSO PROVIDED AT WHITT ELEMENTARY AND HERITAGE PARK, AND THOSE WERE EMPTIED EVERY OTHER DAY, MONDAY, WEDNESDAY AND FRIDAY COLLECTION. RESIDENTS ALSO HAD THE ABILITY TO DO DIRECT DROP OFFS AT HINTON LANDFILL FOR FREE, AS PART OF THE CITY'S SETTLEMENT AGREEMENT WITH THE CITY OF GARLAND. GOING INTO THE COMMUNICATION, WE'VE BEEN COMMUNICATING WEEKLY ON OUR SACHSE SCENE NEWSLETTER ON THE WEBSITE AND SOCIAL MEDIA POSTING OUT THE STORM DEBRIS COLLECTION. AND I JUST WANT TO THANK ESSER FOR HELPING US WITH THAT WEEKLY. CURRENT UPDATE AS OF TODAY, SINCE JUNE 3RD, CWD HAS SPENT OVER 155 MAN HOURS AND COLLECTED OVER 1400 TONS OF MATERIAL FROM THE CURB. THEY HAVE COMPLETED 84 ROLL OFF HAULS AT HERITAGE PARK AND WHITT ELEMENTARY LOCATIONS. WE FINISHED USING WHITT AS A LOCATION JUST AS WE'VE BEEN CONTINUING OR GETTING CLOSER UP TO SCHOOL, AND WE'VE ALSO CONSOLIDATED TO ONE CONTAINER AT HERITAGE AS THE PROJECT IS NEAR COMPLETION. ALSO, DUE TO THE FACT THAT SOME OF THOSE ROLL OFF CONTAINERS WERE NOT BEING SEEN AS COMPLETELY FILLED, AND SO WE JUST DIDN'T SEE THE NEED FOR NEEDING ALL OF THOSE AT HERITAGE. AS YOU KNOW, CWD HAS UTILIZED A TRANSFER TRAILER HERE LOCATED OUTSIDE IN THE CITY HALL PARKING LOT TO OFFLOAD THE BRUSH, AND THIS HAS HELPED SAVE TIME BY NOT HAVING TO MAKE MULTIPLE TRIPS TO THE LANDFILL. AND WE'VE REALLY SEEN THAT THAT'S REALLY SPED UP THE PROCESS. SO CURRENT UPDATE AS AS WELL AS YOU CAN SEE THAT MAP, EVERYTHING IN BLUE IS BEEN SWEPT BY THE CITY OR BY CWD? CWD IS CURRENTLY IN THAT WEDNESDAY YELLOW ZONE, WHICH IS THAT RED ZONE HIGHLIGHTED THERE IN THAT MAP. ABOUT 60% OF THAT AREA IS COMPLETED, AND WE'VE ACTUALLY PROBABLY HAVE MORE UPDATED NUMBERS AS OF TODAY. BUT THIS IS THE LAST ZONE FOR THE COMPLETED SWEEP OF THE CITY AND IS EXPECTED TO BE DONE BY BY WEDNESDAY, THIS WEDNESDAY, JULY 31ST. AND THAT WILL COMPLETE THE STORM DEBRIS COLLECTION SERVICE. ALSO TO JUST TO NOTE, THEY'VE IN ORDER TO SPEED UP THE PROCESS, THEY WERE ABLE TO GET SOME ADDITIONAL RESOURCES AND GET SOME CONTRACTOR TRUCKS YOU MAY HAVE BEEN ABLE TO SEE THOSE. AND THEY'VE ALSO RESURFACED SOME OF THE MONDAY YELLOW SECTION AND AS WELL SOME OF THE STREETS IN THE FRIDAY BLUE, THOSE WERE AREAS THAT WERE SERVICED VERY EARLY ON LIKE EARLY JUNE. AND JUST BECAUSE THEY'VE, YOU KNOW, BEEN PUTTING MORE OUT, WE'VE BEEN ABLE TO GO BACK AND AND GET SOME OF THOSE THAT WEREN'T ABLE TO PUT OUT DEBRIS RIGHT AWAY. SO NEXT STEPS ON JUNE 17TH, 2024, YOU MAY RECALL THAT THE CITY COUNCIL AUTHORIZED CITY MANAGER NOT TO EXCEED SPENDING OF $300,000. [02:45:04] CWD WAS ABLE TO ADD THOSE ADDITIONAL RESOURCES, AS I MENTIONED, TO HELP SPEED UP THAT PROCESS. AND ONCE THAT REMAINDER OF WEDNESDAY, YELLOW IS COMPLETED BY WEDNESDAY, THE TOTAL COST FOR THE COLLECTION WILL BE, IN FACT, $300,000. SO CITY STAFF RECOMMENDS RETURNING BACK TO REGULAR SERVICE IN THE MONTH OF AUGUST. RESIDENTS WOULD HAVE THE FOLLOWING OPTIONS IF THEY STILL HAVE REMAINING BRUSH. THEY COULD TAKE THE MATERIAL TO THE ROLL OFF CONTAINER AT HERITAGE PARK FOR THE MONTH OF AUGUST, AND THE CITY WOULD COMMIT TO KEEPING THAT ONE ROLL OFF CONTAINER IN THE HERITAGE PARK PARKING LOT FOR THE MONTH OF AUGUST. TWO PLACE MATERIAL OUT ON THE NEXT CWD BULK BRUSH DAY FOR THEIR, SCHEDULED SCHEDULED DAY FOR THEIR PICKUP, BUT THEY WOULD HAVE TO MEET THEIR PROGRAM GUIDELINES, BUNDLING AND THE SIZE REQUIREMENTS. OR THREE THEY COULD PAY CWD OR A THIRD PARTY FOR STORM DEBRIS REMOVAL. AT THIS TIME, I CAN ANSWER ANY QUESTIONS. AND WE ALSO HAVE, AS MENTIONED, JASON ROEMER, TO ANSWER ANY QUESTIONS IF YOU HAVE FOR HIM AS WELL. THANK YOU, MR. THATCHER. QUESTIONS FOR STAFF OF COURSE YOU DO. MR. PRESTENBERG? NO QUESTIONS. JUST WANT TO GIVE ACCOLADES THAT Y'ALL KNOCKED OUT OF THE PARK. I THINK THIS IS A GREAT PARTNERSHIP HERE. AND IT SHOWS WHEN WE ALL WORK TOGETHER WHAT WE CAN ACCOMPLISH. AND I MEAN, ALL THE STUFF THAT WE SAW ON THE ROADS FOR THE LAST TWO MONTHS IS GONE. AND I REALLY APPRECIATE ALL THE WORK FROM THE STAFF AND FROM CWD. THANK YOU, MISS HOWARTH. SO REGULAR BULK FOR AUGUST WILL BE BACK ON. SO IF ANYBODY ASKS THEY CAN JUST FOLLOW THE CALENDAR, CORRECT. OKAY. THANK YOU. AND ALL THE OTHER GUIDELINES THAT GO WITH IT. MISS BUHLER, I AGREE THIS HAS BEEN A TREMENDOUS EFFORT BETWEEN STAFF AND CWD, SO THANK YOU FOR GETTING THIS TAKEN CARE OF. I'M REALLY LOOKING FORWARD TO THAT COMMUNICATION TO OUR RESIDENTS THAT THEY NEED TO WAIT TILL THEIR NEXT BULK DAY, BECAUSE MY NEIGHBORHOOD WAS ONE THAT WAS SERVICED TWICE AND TODAY THERE'S MORE OUT ALREADY. SO I'M REALLY LOOKING FORWARD TO SEE HOW WE COMMUNICATE THAT, THAT THIS ISN'T AN ENDLESS PUT YOUR TRASH OUT EVERY DAY. WE NEED TO GO BACK TO GUIDELINES SO WE CAN CLEAN UP OUR CITY. THANK YOU. THERE WILL BE FOLLOWING COMMUNICATION WITH ESSER TO GET THAT PLAN. MR. LINDSEY. WELL, SINCE WE HAD A FEW QUESTIONS, I'LL THROW IN MINE. HOW DID WE GET LUCKY ENOUGH? JUST SYLVESTER IS NOT HERE, SO I'LL PICK ON HIM. WE. WE NEED AN ANIMAL SHELTER FOR $5 MILLION UP TO $5 MILLION. WE SPEND EXACTLY $5 MILLION. WE MIGHT NEED $300,000 FOR TRASH. AND WE MAGICALLY LAND ON $300,000. SO DID DID IT JUST GET TO A POINT WHERE THAT THAT WAS CAPPED AT AND CWD JUST WENT AHEAD AND DID AN ADJUSTMENT? HOW DID WE GET TO THAT? HOW DID WE PREDICT THAT NUMBER SO WELL? WE HAD TO STOP. I MEAN, WE KNEW WE HAD A $300,000 LIMIT AND WE ACTUALLY SLIGHTLY EXCEEDED IT AND CWD SAID THEY'D BE WILLING TO JUST GO AHEAD AND HONOR THAT. AND SO THAT'S WHAT WE'RE STICKING WITH. AND WE AGREED WHEN WE MET TODAY THAT KEEPING THAT ROLL OFF OUT FOR ONE MORE MONTH IS A SHOW OF GOOD WILL TO OUR RESIDENTS, THAT YOU CAN STILL HAVE THAT IN PLACE FOR ONE MORE MONTH IF YOU NEED TO DRAG SOME STUFF AND PUT IT IN THERE SINCE WE'RE PUTTING THIS IN PLACE EFFECTIVE IN AUGUST, AND MAYBE SOME PEOPLE STILL HAVE SOME THINGS, WE HAVE THAT OPPORTUNITY THAT IF YOU HAVE SOMEBODY THAT HAS A TRUCK THAT CAN LUG IT UP HERE, YOU CAN DO THAT, BUT THAT WE JUST HAVE TO STOP AT SOME POINT. WE KIND OF HIT THE THRESHOLD AND, AND NOW WE WOULD JUST BE GOING BACK AGAIN AND AGAIN AND AGAIN AND TO THE POINT THAT LOGAN MADE, WE WE DID GO BACK TO THOSE FOLKS THAT WE WENT AND PICKED UP THAT FIRST WEEK. BUT IF YOU GO BACK AND RECALL TWO MONTHS AGO, THOSE WERE AREAS WHERE TREES WERE BLOCKING ROADS AND THERE WERE SAFETY PROBLEMS. AND SO WE HAD TO PULL THOSE RIGHT AWAY. AND THEN THOSE PEOPLE DIDN'T HAVE A CHANCE TO GET THE THINGS OUT OF THEIR YARD THAT EVERYBODY ELSE WAS FORTUNATE TO GET BECAUSE YOU KNOW, THEY DIDN'T HAVE A TREE IN THEIR FRONT YARD THAT FELL INTO THE STREET. AND SO YOU KNOW, THAT'S THAT'S KIND OF HOW WE ENDED UP BEING ABLE TO MAKE THIS DECISION AND SAY, OKAY, I THINK THIS IS A GOOD CLEAN BREAK, BUT I APPRECIATE THE PARTNERSHIP WITH CWD BECAUSE THEY HAVE BEEN IN COMMUNICATION WITH US EVERY SINGLE DAY ON THIS, AND THEY HAVE VERY DETAILED SPREADSHEETS DOWN TO THE NUMBER OF WHO PICKED UP WHAT, WHEN AND HOW, AND WE WILL BE SUBMITTING ALL OF THAT TO FEMA IN THE HOPES THAT WE CAN GET SOME REIMBURSEMENT. BUT THEY'VE BEEN A GREAT PARTNER ON THIS, AND JASON WOULDN'T TELL YOU. SO I'M TELLING YOU, THEY DID GO OVER AND THEY SAID, HEY, WE'RE GOING TO HONOR THAT. WE JUST WE WE BUT WE WANT SOME THAT CLOSURE OF GETTING THIS LAST YELLOW AREA DONE, THAT WE'RE DONE. AND THAT'S AND THAT'S A GOOD BREAKING POINT. OKAY. AND WE DIDN'T JUST STOP. I MEAN WE WERE ABLE TO COMPLETE THE CITY. IF WE STILL HAD MONEY LEFT WE WOULD KEEP, YOU KNOW, PROBABLY GOING AROUND AND TO FINISH THAT. [02:50:05] WELL, WE DID HAVE MONEY TONIGHT. IF WE DID HAVE THAT LEFT, I WAS GOING TO COME BACK TO YOU AND SAY, WHAT DO YOU WANT TO DO? YEAH. OKAY. SINCE YOU AUTHORIZED THAT DO YOU DID YOU WANT TO STOP OR DID YOU WANT TO KEEP GOING [INAUDIBLE]. WE'RE IN A PERFECT POSITION. THANK YOU. SO FOR COVERING THOSE THE OVERAGES, IT DEFINITELY DOES A LOT TO, FOR US TO REALLY VALUE RELATIONSHIP. I KNOW YOUR PEOPLE WORKED EXTREMELY HARD. I MEAN, ESPECIALLY DURING THOSE FIRST FEW DAYS, EVERY DAY OF THE WEEK. I MEAN, JUST AMAZING SHUFFLING RESOURCES AROUND ON THERE, JUST I'M ECSTATIC TO KNOW THAT WE ARE COMPLETE ON WEDNESDAY. SO THANK YOU, THANK YOU, THANK YOU. DID YOU WANT TO ADDRESS THE COUNCIL? YES. YES, MAYOR MAYOR COUNCIL. JASON ROEMER, VICE PRESIDENT, COMMUNITY WASTE DISPOSAL. JUST TO CLEAR UP A FEW THINGS. SO THE $300,000 THAT IT WAS CAPPED AT DIDN'T JUST MAGICALLY FALL THERE AS AS MISS NASH ALLUDED TO. WE'RE FINISHING THE WEDNESDAY YELLOW. WE EXPECT THAT TO BE DONE BY EARLY AFTERNOON TOMORROW. SO BUDGETING THE HOURS TODAY AND TOMORROW, IT WOULD ACTUALLY COME OUT TO ABOUT 322,000. THAT WAS, AS MISS NASH ALLUDED TO WE'RE GOING TO EAT THAT. I STOOD BEFORE YOU SAID WE CAN DO THIS INITIAL SWEEP. I DID BELIEVE THERE MIGHT BE SOME LEFTOVER AMOUNTS IN THERE TO GO BACK. WE WERE ABLE TO GO BACK TO A FEW OF THE MONDAY YELLOW AREAS, BUT NOT COMPLETE IT IN ITS ENTIRETY, SO I DID WANT TO BE CLEAR ABOUT THAT IN CASE CALLS DO COME IN AND THEY WILL COME IN THAT WE WEREN'T ABLE TO COMPLETELY RE SWEEP THAT ENTIRE MAP. AGAIN, WE'RE ALL LOOKING AT THESE NUMBERS EVERY DAY. I'VE GOT A KIND OF PRINTOUT OF THE SPREADSHEET I SENT THE LARGEST FILE EMAIL I'VE EVER ACCUMULATED, BUT ALMOST A DAILY LIST OF THE LANDFILL TICKETS. THE DRIVERS HOURS WORK DOWN TO THE TENTH OF A TON. SO WE'VE REPORTED THAT AND ALL KEEPING IN MIND THE COST. AND OVER THIS TWO MONTH PERIOD WE'VE PICKED UP, WE ESTIMATE ABOUT 24,000YD³. THE HOURS AND TONS WE'VE WORKED ON A HISTORICAL AVERAGE WOULD EQUATE TO TWO MONTHS WORK WE DID THIS YEAR IS SIX MONTHS WORK IN THE PRIOR YEARS. SO THAT'S JUST THE SCALE OF THE OPERATION THAT WENT INTO THIS. WE HAD TO HIRE CONTRACTORS, WHICH COVERED ABOUT 25% OF THE HOURS USED IN SACHSE, AND THAT'S AT A LOSS TO US. WE'RE BASICALLY THEN OPERATING AT LITERALLY COST OR JUST BELOW. BUT THE JOB HAD TO GET DONE AS A PARTNER. SO I JUST WANT TO MAKE YOU AWARE OF SOME OF THOSE DETAILS. I'M HAPPY TO ANSWER ANY QUESTIONS. THANK YOU, MR. ROEMER. WE HAD A QUESTION FROM MR. MILLSAP PREVIOUSLY. DID YOU STILL HAVE? I DON'T REALLY HAVE A QUESTION. I JUST WANTED TO SAY THAT ACTUALLY, THANK YOU VERY MUCH, BECAUSE I THINK YOU GUYS HAVE WAY DONE MORE THAN WHAT I WOULD HAVE EXPECTED ANYWAY. THERE ARE AREAS THAT STILL HAVE DEBRIS OUT AS AN EXAMPLE, AND I DON'T KNOW WHAT WE'RE GOING TO DO ABOUT IT. BUT AS AN EXAMPLE, THERE WAS A TREE BLOWN OVER IN THE PARKING MEDIAN ON BUNKER HILL. NOW, PART OF ONE SIDE OF BUNKER HILL IS GARLAND'S, AND ONE SIDE'S OURS, SO I DON'T KNOW WHO NEEDS TO TAKE IT OUT SPEAKERS]. AND THAT HADN'T BEEN ADDRESSED YET. AND AND IT'S NOT THAT IT'S LEANING AT ABOUT A 45 DEGREE ANGLE AND IT'S LEANING IN ANOTHER TREE. AND IF ROOTS DIDN'T BREAK OFF SO THE LIMBS AREN'T ALL DEAD, SO YOU REALLY DON'T NOTICE IT IF YOU DON'T NOTICE IT, THAT TREE TRUNKS GROWING IN THE WRONG DIRECTION. YEAH. OKAY. AND THROW IT ON THE GARLAND. GIVE IT TO GARLAND. YEAH. I YOU KNOW, I JUST WANT TO SAY AGAIN, IT'S KIND OF DOESN'T REALLY DO IT JUSTICE, BUT SAY THANK YOU TO JASON AND THE WHOLE CWD TEAM. I'VE SEEN THEM WHEN I'VE BEEN OUT LOOKING AT STUFF IN THE CITY, SEEING THEM SINCE DAY ONE OUT THERE IN MR. LINDSEY REFERRED TO IT. I KNOW IN THE BEGINNING THEY WERE OUT THERE ON SUNDAYS AND SO REALLY APPRECIATE THAT. AND LIKE I SAID, YOU KNOW, THE PARTNERSHIP IS WHAT IS GREAT. YOU KNOW, THIS IS A WE'VE NEVER FACED A CHALLENGE LIKE THIS BEFORE FROM A WEATHER STANDPOINT. AND, YOU KNOW, LIKE I'VE SAID IN THE VERY BEGINNING, IT'S, YOU KNOW, THE 25 YEARS I'VE BEEN HERE, WE HAVEN'T HAD A STORM LIKE THAT TO THAT WIDESPREAD. AND I WOULD ARGUE THAT IT PROBABLY WAY FURTHER BACK THAN THAT. WE'VE HAD SOMETHING LIKE THAT. SO IT'S CERTAINLY NOT WHEN THE CITY WAS DEVELOPED AS IT IS. SO IT'S AGAIN, I WOULD ECHO MY FELLOW COUNCIL MEMBERS TO SAY THANK YOU, BUT ALSO I WANT TO SAY THANK YOU NOT JUST TO CWD, BUT TO STAFF. LOGAN YOU KNOW, YOU'RE STILL STANDING, SO YOU SURVIVED. BUT YOU KNOW, LOGAN DID TAKE A LOT OF BRUNT OF IT. ESTHER, WHO'S IN THE AUDIENCE AUDIENCE, HAS DONE A GREAT JOB WITH COMMUNICATION. YOU KNOW, COMMUNICATIONS. LIKE ANYTHING ELSE. SOME PEOPLE CAN THINK IT'S GREAT AND SOME PEOPLE THINK IT'S NOT ENOUGH. SO IT'S A VERY CHALLENGING JOB. AND WHILE LOGAN HAD TO TAKE THE PHONE CALLS, ESTHER HAD TO DO THE ONLINE STUFF. SO, YOU KNOW, SOME OF THOSE COMMENTS WERE CHALLENGING FOR SURE. BUT JUST WANT TO SAY THANK YOU TO EVERYBODY. YOU KNOW, THIS COMMENT WAS MADE BACK ON JUNE 17TH THAT WE GOT STOPPED SOMETIME. AND WE ARE AND BUT I THINK WE'RE ACTUALLY STOPPING AT A VERY GOOD PLACE. SO WE'RE GOING TO HAVE SOME OPTIONS FOR OTHER PEOPLE TO DROP OFF IF THEY HAVEN'T DONE IT YET. [02:55:04] SO IT'S JUST A GREAT JOB BY EVERYBODY. AND SO I JUST WANT TO SAY THANK YOU VERY MUCH. ALL RIGHT. OTHER QUESTIONS FROM COUNCIL ABOUT THIS ITEM? HEARING NONE. THANK YOU, MR. THATCHER. NEXT UP ON THE AGENDA IS ADJOURNMENT. THE TIME MISS GRANGER 8:55 P.M.. WE ARE ADJOURNED AT 8:55 P.M.. * This transcript was compiled from uncorrected Closed Captioning.