Aug 27, 2024 City Council Special Meeting

[1. Call to Order]

[00:00:06]

HER WORK SESSION.

NOTICED AT 11:00 HERE FOR OUR BUDGET.

SO APPRECIATE EVERYONE HERE BEING HERE TODAY THAT READY TO TAKE THIS THING FORWARD TO THE NEXT STEP, I WOULD ASK MISS CITY SECRETARY, DO YOU HAVE EVERYTHING READY TO GO ON YOUR END? YES, SIR. OKAY, WE'RE LIVE STREAMED, RIGHT? EVERYBODY'S ABLE TO CLUE IN.

WE REALLY LIKE DOING IT THAT WAY.

MR. CITY MANAGER, DO YOU HAVE ANYTHING YOU NEED BEFORE MAYBE WE HAND IT OVER TO MRS. STORRS? OKAY.

MRS STORRS. YOU'RE UP.

[2. City Council Budget Workshop]

THANK YOU FOR MEETING WITH US AGAIN.

WE'VE BEEN HARD AT WORK THE LAST FEW WEEKS TRYING TO FINALIZE A FEW THINGS.

FOR DISCUSSION TODAY, WE'VE GOT.

MY UNDERSTANDING IS WE HAVE THREE HOURS AND WE HAVE A LOT OF GROUND TO COVER, SO WE TRIED TO PROVIDE SOME THOROUGH EXPLANATIONS AND SOME HANDOUTS SO YOU COULD ALL FOLLOW ALONG AS WE GO.

WE IF YOU'LL REMEMBER, WE ENDED LAST BUDGET REVIEW KIND OF WITH A WORKING BUDGET SCHEDULE.

WE HAD ONE FOR ONGOING AND WE HAD ONE FOR ONE TIME.

AND SO WE HAVE TAKEN THAT AND I THINK STEPHANIE'S GOING TO PULL THAT UP ON THE SCREEN HERE IN JUST A LITTLE BIT.

WE'RE GOING TO WE'RE GOING TO REALLY PROBABLY CAMP OUT THERE MOST OF OUR TIME TODAY.

AND SO ALL I DID WAS I PUT THIS COMPARISON SIDE BY SIDE.

SO IF YOU LOOK AT YOU HAVE A PAGE THAT WE HANDED OUT THAT'S HAS TWO SIDE BY SIDE COLUMNS.

YOU HAVE YOUR ONGOING WORKING BUDGET AND YOUR ONE TIME WORKING BUDGET, AND YOU'VE GOT YOUR ORIGINAL.

THAT'S WHAT WE COVERED PREVIOUSLY.

AND THEN YOU'VE GOT A REVISED COLUMN.

AND AGAIN, PLEASE NOTE THIS IS ALL SUBJECT TO CHANGE BASED ON Y'ALL'S DIRECTION THAT YOU GIVE US TODAY.

THIS WAS JUST KIND OF WHERE WE WERE LANDING ON A FEW THINGS.

AND FROM A RECOMMENDATION STANDPOINT OVER THE LAST SEVERAL WEEKS AND SO ON.

THIS I DID WANT TO START BECAUSE WE DO HAVE SOME I WANTED TO LET RICH GUYON KIND OF GO OVER A COUPLE OF ITEMS BECAUSE I KNOW HE'S GOT A CONFLICT THAT HE NEEDS TO LEAVE FOR HERE IN JUST A LITTLE BIT.

SO I WANTED TO KIND OF SKIP DOWN AND TALK IF Y'ALL ARE OKAY WITH THAT AND JUST TALK ABOUT A COUPLE OF BRIEF THINGS, AND THEN WE'LL JUMP RIGHT BACK INTO BECAUSE PROBABLY MEET AND CONFER WILL BE THE BIG TOPIC FOR TODAY.

SO IF MAYOR IF YOU'RE OKAY WITH THAT I'D LIKE TO WORK WITH LET.

RICH LET YOU DRIVE.

OKAY. PERFECT. SO ON YOUR WORKING BUDGET YOU'LL SEE ABOUT SIX LINES DOWN THERE IS 277,000 ADDED BACK INTO YOUR WORKING BUDGET RELATED TO ARPA FUNDING FOR LIBRARY POSITIONS.

AND SO THAT IS THOSE THOSE ARE THOSE DIGITAL NAVIGATORS THAT WE DISCUSSED.

THEY WERE POSITIONS PUT IN THE LIBRARY BUDGET.

WHAT I HAVE DONE HERE IS PUT THE FUNDING SOURCE IN WITH THOSE POSITIONS.

AS A REMINDER, THE PLAN HAD BEEN TO UTILIZE SOME OF THE ARPA BROADBAND FUNDING TO FUND THESE POSITIONS AS LONG AS WE COULD.

ONCE THE FUNDING HAS RUN OUT, THEN WE WILL EITHER HAVE OUTSIDE FUNDING OR THESE POSITIONS WILL BE ELIMINATED.

I WOULD LIKE RICH TO GO OVER REAL QUICK, BECAUSE I DIDN'T HAVE A GREAT EXPLANATION FOR YOU ALL AT THE LAST BUDGET REVIEW, AND I THINK RICH CAN EXPAND UPON THAT A WHOLE LOT MORE.

SO RICH, IF YOU DON'T MIND.

YEAH, SURE. SO THE MONEY WAS APPROVED AS PART OF THE BROADBAND PROJECT, AND THE MISSION I WAS GIVEN FROM THE START WITH BROADBAND WAS TO GET PEOPLE CONNECTED, TEACH THEM HOW TO USE IT. IN FACT, EVEN IN THE PRESS CONFERENCE THE DAY WE THAT COUNCIL APPROVED THE AT&T DEAL, I ACTUALLY STARTED SPEAKING ABOUT IT THEN.

BUT THE GOAL WAS NEVER TO BUILD A HUGE WORKFORCE DEVELOPMENT PROGRAM AND THEN THE CITY FUND THAT THE GOAL WAS JUST TO SEED THAT IN LIBRARY, AND THEN GO WITH PARTNERS TO GET OTHER GRANTS TO SUSTAIN AND GROW IT.

THAT'S BEEN REALLY SUCCESSFUL.

WE'VE GOTTEN A LOT OF ATTENTION ON, ON, ON THIS KIND OF WORKFORCE DEVELOPMENT IN THE AGE OF AI.

AND NOW NOW WE'VE GOT LOCAL, STATE AND AND NATIONAL LEVEL PARTNERS THAT ARE JOINING US TO DO JOINT GRANT APPLICATIONS TO EXTEND EXTEND THE PROGRAM.

THERE WAS A NONPROFIT FORMED.

I'M SITTING ON THE BOARD AS A NON-VOTING MEMBER WITH REGION 16, AMARILLO AREA FOUNDATION FOR DIGITAL WORKFORCE DEVELOPMENT.

THAT'S WHERE THE FUNDING WOULD FLOW THROUGH, WITH THE GOAL REALLY BEING THAT THEY WOULD THE CITY WOULD PARTICIPATE AS A JOINT APPLICANT FOR THOSE GRANTS, BUT THE FUNDING WOULD FLOW, FLOW THROUGH THEM.

AND IDEALLY THOSE POSITIONS WOULD LEAVE THE CITY AND THEY WOULD STILL REPORT AND WORK WITH THE LIBRARY, BUT NOT SIT UNDER THE CITY'S UMBRELLA.

IT WAS SEATED IN THE LIBRARY FOR A COUPLE OF REASONS.

ONE, THE COMMUNITIES THAT THESE PROGRAMS SERVE SEE THE LIBRARY AS A TRUSTED KNOWLEDGE CENTER.

BUT JUST AS IMPORTANTLY, BECAUSE OF THE HARRINGTON LIBRARY CONSORTIUM, IT ALLOWS FOR ALL THE PROGRAMS AND TRAINING THAT ARE BEING BUILT TO BE EXPORTED TO 26 OF THE

[00:05:07]

WE ALSO KIND OF EXTENDED THAT MANDATE.

WE CHANGED IT A LITTLE BIT WHEN WHEN COUNCIL APPROVED, WHEN THIS COUNCIL ACTUALLY APPROVED THE DIGITAL DIGNITY, RIGHTS AND PRIVACY RESOLUTION IN SECTION FIVE.

ONE OF THE MANDATES THAT THAT CAME WITH THAT WAS EDUCATIONAL PROGRAMS TO TEACH OUR RESIDENTS HOW TO PROTECT THEMSELVES AND THEIR RIGHTS ONLINE.

SO ALL OF THAT CONTENT AND THOSE CONCEPTS AND PRACTICES HAVE BEEN BAKED IN TO THE PROGRAM.

SO FOR EXAMPLE IN IN THE SENIORS CLASS, THEY START WITH A WORKSHEET AND WALK THROUGH, YOU KNOW, WHAT DATA ARE YOU SHARING ON WHAT PLATFORM AND HOW TO PROTECT YOURSELF AS YOU DO THOSE THINGS.

IN THE END OF SEPTEMBER, WE ACTUALLY LAUNCH WHAT WE'RE CALLING THE SILVER SURFERS PROGRAM FOR SENIORS IN PARTNERSHIP WITH THE ACTS COMMUNITY CENTER, AMARILLO AREA FOUNDATION, THE INSTITUTE OF DESIGN OUT OF CHICAGO, DELL UNIQUE PRION DIGITAL RIGHTS HOUSE, AND OTHERS.

WE STARTED WITH THE SENIORS TO BUILD THE MODEL.

AND THEN THAT WILL INFORM OTHER PROGRAMS LIKE THE WORK THAT WE WOULD DO AT TRANSFORMATION PARK, THE WORK WE WOULD DO THROUGH THE PLACE WITH OUR REFUGEE COMMUNITIES.

AND THERE'S, LIKE I SAID, THERE'S BEEN A TON OF INTEREST.

AND THE REASON THAT, LIKE THE INSTITUTE OF DESIGN IS INTERESTED IS BECAUSE WHEN WE TESTED EMMO, ONE OF THE THINGS THAT CAME OUT OF OUR SENIOR GROUP KIND OF SURPRISED US, AND IT WAS THAT THEY WOULDN'T STOP TALKING TO HER.

THEY WERE TALKING TO EMMA LIKE A COMPANION.

SO AS PART OF THE DIGITAL NAVIGATOR PROGRAM, WE WE SEEDED THIS IDEA OF WHAT IF WE TRAIN THESE SENIORS AND THEN ACTUALLY WORK WITH OUTSIDE AGENCIES, OBVIOUSLY TO FUND IT AND HOUSE IT.

THE CITY DOESN'T NEED TO. HOUSE SOMETHING LIKE THAT.

AND THEY DESIGNED THEIR OWN COMPANION TO TO GIVE THEM ACCESS TO SERVICES AND THINGS THAT THEY MAY NEED.

THERE'S A LOT OF INTEREST IN, IN THAT AND THE IMPACT THAT THAT COULD HAVE ON SOCIETY.

SO THAT'S KIND OF THE THE PROGRAM IN A NUTSHELL.

IT WAS NEVER MEANT TO BE SOMETHING THAT WE SPUN UP AND THEN MAINTAINED.

IT WAS MEANT TO SEED THIS PROGRAM AND THEN AND THEN PUT THE ONUS BACK ON US TO GO FIND OTHER REVENUE TO KEEP IT GOING.

IS THIS THE BEST PLACE TO PUT THAT MONEY? I MEAN, THAT'S NOT THAT'S ACTUALLY NOT MY DECISION TO MAKE.

ALL OF A SUDDEN IT SHOWS UP IN OUR BUDGET AND WE DIDN'T KNOW ANYTHING ABOUT THIS EXCESS MONEY.

AND MY QUESTION WAS FROM THE BEGINNING IS HOW DID IT GET FROM ARPA TO LIBRARIES? AND LAST YEAR WE ACTUALLY CUT THE LIBRARY BUDGET BUT ACTUALLY INCREASED.

AND I HAVE A PROBLEM WHEN WE CUT A BUDGET.

AND THEN I SEE IT COME YEAR TO DATE THIS YEAR AND WE SPEND MORE THAN WE ALLOTTED.

I JUST LIKE TO KNOW HOW DO WE SPEND MORE WITHOUT GETTING APPROVAL? IT WAS APPROVED AND I WHO APPROVED IT, COUNCIL APPROVED IT WHEN? WHEN THEY APPROVED THE BROADBAND BUDGET AND WHEN THEY ASSIGNED.

WHEN WAS THAT? THAT WAS BEFORE THIS COUNCIL.

THAT WAS THE PREVIOUS COUNCIL THAT APPROVED IT.

THESE ARE FOR DOLLARS THAT YOU'RE PUTTING INTO THREE POSITIONS.

YES THEY WERE. THAT WAS APPROVED AS PART OF BROADBAND.

THAT WAS THOSE THREE POSITIONS WERE PLACED THEN.

NO, NO, THEY WEREN'T A POSITION.

THE MISSION WAS GIVEN TO ME TO GO GET PEOPLE CONNECTED AND THEN TEACH THEM HOW TO USE IT.

AND THAT'S WHAT WE DID.

I BUILT I BUILT A PROGRAM AS I, AS I WAS TOLD TO DO.

THERE WAS A, A COUNCIL COMMITTEE THAT WAS APPOINTED TO GIVE ME DIRECTION ON HOW ON HOW TO HOW TO GO FORWARD.

AND THAT COMMITTEE SAID, GO CONNECT PEOPLE AND THEN TEACH THEM HOW TO BUILD THAT.

I JUST NEVER I MEAN, FRANKLY, I'VE BEEN AN EXECUTIVE FOR 20 YEARS.

I'VE NEVER GONE TO A COUNCIL TO ASK PERMISSION TO TO HIRE PART TIME STAFF.

SO IF MAYBE I'M MISINTERPRETING EXPECTATIONS, WE'RE TALKING 277,000 FOR PART TIME STAFF.

YES, SIR. AND HOW LONG DOES THAT LAST? THAT LASTS ABOUT A YEAR AND A HALF.

TWO YEARS? WELL, THEY'RE GETTING PAID GOOD, AREN'T THEY? FOR PART TIME. WELL, IT'S NOT JUST THAT.

IT'S ALSO IT'S ALSO EQUIPMENT.

WE UPGRADED THE CONNECTIVITY FOR THE LIBRARIES THAT THAT HAS SOME EQUIPMENT TO HAVE LABS TO BE ABLE TO TEACH PEOPLE IN.

THERE'S OTHER THINGS THAT GO INTO THAT.

YOU DIDN'T THINK YOU NEEDED TO COME AND TALK TO US ABOUT IT BEFOREHAND, OR.

I WAS GIVEN A MANDATE, SIR.

I WAS TOLD WHAT TO DO.

COUNCIL? NO.

BY PREVIOUS COUNCIL. OKAY.

PREVIOUS COUNCIL GAVE YOU A MANDATE? THEY DID. AND WHY ARE WE JUST NOW DOING IT NOW THEN? WE'VE BEEN DOING IT.

WE'VE BEEN WE'VE BEEN BUILDING THIS FOR A LONG TIME.

WELL I HADN'T SEEN 277 IN LAST YEAR'S BUDGET FOR THAT.

IT WAS THERE. IT WAS ACTUALLY SITTING IN THE IT WAS SITTING IN THE BROADBAND BUDGET.

BROADBAND BUDGET.

RIGHT. BUT WE'RE NOT USING IT FOR BROADBAND, ACTUALLY.

THE GRANT ALLOWS THE GRANT ALLOWS BROADBAND AND DIGITAL LITERACY.

THOSE ARE THE TWO THINGS THAT IT CAN BE USED FOR.

RUN THE BROADBAND BUDGET DOWN FOR ME.

[00:10:02]

WHAT WAS THE TOTAL AMOUNT THAT YOU WERE GIVEN? WHAT'S THE TOTAL AMOUNT YOU'VE SPENT? NET SAVINGS.

AND THEN HOW DID YOU IMPROVE THAT BUSINESS MODEL? GETTING IT OUT FROM UNDERNEATH THE CITY AND INTO THESE OTHER STAKEHOLDERS? SURE. SO SO FAR WE SPENT $2 MILLION WITH AT&T.

WE ACTUALLY. SO WE STARTED THIS, OH GOSH, YEARS AGO WHEN COUNCIL CAME TO US DURING COVID AND SAID, LOOK, WE HAVE A CONNECTIVITY PROBLEM IN OUR CITY.

ABOUT HALF OF OUR CITY DID NOT HAVE BROADBAND.

SO WE RAN THROUGH, NO KIDDING.

80 DIFFERENT FINANCIAL MODELS WE LOOKED AT.

DO DO WE RUN OUR OWN BROADBAND AS A UTILITY OR DO WE PARTNER WITH OUTSIDE AGENCIES? NONE OF IT WAS SUSTAINABLE.

I COME FROM THAT SIDE OF THE HOUSE, AND I KNOW THE EXPENSES AND WHAT IT TAKES TO RUN THAT KIND OF OPERATION.

AND FRANKLY, JUST FROM A CUSTOMER SERVICE STANDPOINT, RUNNING SOMETHING LIKE THAT IS VERY EXPENSIVE.

SO IN THE END, WHAT WE ENDED UP DOING IS WE CONTRIBUTED 2 MILLION TO AT&T.

THEY BROUGHT ANOTHER 24 MILLION OF FEDERAL FUNDING TO TO DO THE ACTUAL BROADBAND CONNECTIVITY.

ON TOP OF THAT, WE BUILT A WIRELESS NETWORK OFF OF OUR TOWERS, OUR WATER TOWERS THAT WILL BE LIGHTING UP ALL THE PARKS AND PUBLIC SPACES AND ACTUALLY SAVING US SOME MONEY, BECAUSE NOW WE CAN LIGHT UP OUR OWN BUILDINGS AND GET OFF THE MONTHLY CHARGES THAT THAT WE'RE PAYING FOR SOME OF OUR CONNECTIVITY.

WE ALSO ESTABLISHED HOTSPOTS IN ALL OF THE LIBRARIES FOR EMERGENCY NEED CHROMEBOOKS FOR FOR RESIDENTS TO CHECK OUT WITHIN THE LIBRARIES. AND THEN DIGITAL LITERACY WAS A PIECE OF THAT.

WE'VE TAKEN SOME OF THE MONEY TO ESTABLISH A PROGRAM TO TEACH PEOPLE HOW TO TO WORK ONLINE.

THIS WAS JUST ALWAYS A PART OF THAT.

WE JUST HADN'T GOTTEN TO THE POINT THAT WE WERE READY, BECAUSE WE TOOK ABOUT 11 MONTHS AND JUST STUDIED BECAUSE WE NEEDED TO KNOW WHAT DO PEOPLE NEED TO LEARN? AND WE WANTED WE DIDN'T WANT TO JUST THROW MONEY AT THE PROBLEM.

WE ACTUALLY WANTED TO BUILD A PROGRAM THAT DID MORE THAN JUST TOLD PEOPLE HOW TO DO EMAIL.

WE WANTED TO BUILD A WORKFORCE DEVELOPMENT PROGRAM, AND WHAT WE FOUND WAS THAT'S DIFFERENT DEPENDING ON WHO YOU TALK TO.

SO THE SENIORS ACTUALLY HAVE VERY DIFFERENT NEEDS, AND IT'S THINGS THAT I WOULDN'T HAVE THOUGHT OF.

WE ACTUALLY STARTED WORKING WITH SENIORS AND FOUND OUT IT'S SIMPLE THINGS LIKE HOW DO I USE A COUPON? RIGHT. IT'S WHERE THE NEEDS OF LIKE OUR REFUGEE POPULATION OR FOR EXAMPLE, THE FOLKS AT TRANSFORMATION PARK, THAT'S MUCH MORE VERY FUNDAMENTAL WORKFORCE DEVELOPMENT. THINGS LIKE HOW TO USE OFFICE AND HOW TO USE MICROSOFT PRODUCTS.

SO WE'VE SPENT ABOUT 11 MONTHS WITH PARTNERS, ACTUALLY STUDYING AND KIND OF GETTING AN IDEA OF HOW WE DO THAT.

THE OTHER THING THAT WE LEARNED IN BROADBAND IS THIS DOES NOT WORK IN EVERY COMMUNITY.

EVEN OUTSIDE OF AMARILLO, I DRIVE THE RIGHT TRUCK WHEN I PULL UP IN MY 90, YOU KNOW, MY 99 SILVERADO.

EVERYONE'S HAPPY TO SEE ME UNTIL I STEP OUT, AND THEN I DON'T WEAR THE RIGHT BOOTS.

I DON'T SPEAK THE RIGHT WAY.

THAT GETS AMPLIFIED WHEN YOU START LOOKING ACROSS COMMUNITIES IN AMARILLO.

AND THAT'S WHY THE DIGITAL NAVIGATORS, THE IDEA WAS WE TRAIN THE TRAINER, THEY BECOME THE TRAINERS, AND WE'RE SOURCING THEM.

SO OUR SENIOR TRAINERS ARE SENIORS AND OUR OUR AFGHANI TRAINERS WOULD BE AFGHANI SO THAT THEY HAVE ACCESS TO THOSE COMMUNITIES.

AND IT DOES A COUPLE OF THINGS.

ONE, WE ARE UPLIFTING THE WORKFORCE, BUT IT ALSO GIVES OUR CITY A COMMUNICATION CHANNEL INTO, INTO COMMUNITIES THAT WE TYPICALLY HAVEN'T BEEN ABLE TO TOUCH.

SO IF I COULD DIRECT YOU BACK TO WAS THE TOTAL THE TOTAL ASK OR THE TOTAL ORIGINAL AMOUNT? WAS IT 6 MILLION? LESS. I THINK IT WAS FIVE SOMETHING.

YEAH. OKAY. AND THEN HOW MUCH DID YOU SPEND? WE'VE SPENT ALL BUT ABOUT.

YEAH. THE 270.

ABOUT FIVE.

I THINK WE STILL HAVE A CONTRACT FOR MAINTENANCE OF THE THE WATER TOWERS THAT WILL THAT WILL COME UP.

SO WE'LL END UP SPENDING EVERY PENNY.

SO YOU WERE GIVEN, LET'S CALL IT $5.5 MILLION UNDER YOUR DIRECTION.

GO AND DO.

PREVIOUS COUNCIL DIRECTED YOU YOU YOU BROUGHT BACK THESE DELIVERABLES.

YOU'VE YOU'VE PRODUCED THOSE THINGS, YOU'VE CHECKED THEM OFF THE LIST, AND THEN YOU'VE CREATED SOME LEVEL OF SUSTAINABILITY WITH ONGOING PARTNERS THAT ARE CURRENTLY GETTING RURAL BROADBAND FUNDING AND THINGS LIKE THAT FROM THE STATE.

AND THEN THIS IS THE $300,000 YOU'VE GOT LEFT.

SO THIS IS YOUR RECOMMENDATION OF WHERE TO PUT IT.

AND SO WHERE I'M HEARING COUNCILMAN SCHERLEN HIT A STICKING POINT IS HE FEELS LIKE MAYBE YOU'VE ALREADY CONTRACTED THESE POSITIONS.

YOU HAVEN'T YET.

I'M NOT. THEY'RE PART. THEY'RE PART TIME POSITIONS.

THEY'RE NOT CONTRACTED.

BUT I WOULD CAVEAT THAT WE'VE BEEN TALKING TO PARTNERS ABOUT THIS FOR TWO YEARS.

SO WE HAVE WE HAVE A LAUNDRY LIST OF PARTNERS THAT IF WE DECIDE TO GO A DIFFERENT WAY, I'LL HAVE TO LET THEM KNOW THAT'S BEEN DEFUNDED AND WE'LL HAVE TO START SEARCHING.

COUNCILMAN ISSUE IS, IS HE FEELS LIKE HE'S BEING BROUGHT A BUDGET THAT, YOU KNOW, HEY, TELL US WHAT YOU'D LIKE TO DO, BUT WE'VE ALREADY DONE IT.

YOU KNOW, WE'VE WE'VE WE'VE KIND OF GOT SOME THINGS.

SO I STILL HAVE SOME CONCERNS ON, YOU KNOW, ARE WE FUNDING NEW POSITIONS THAT WE'RE GOING TO HAVE TO BUILD INTO THE GENERAL FUND?

[00:15:06]

YOU'RE TASK INITIATED.

THAT'S WHEN THIS TURNS OVER, YOUR POSITION GOES AWAY.

WE WOULD TRY TO GROW YOU INTO ANOTHER POSITION OR YOU LOOK ELSEWHERE.

RIGHT. WE WOULD LOOK ELSEWHERE FOR FUNDING.

THAT'S WHY. THAT'S WHY THEY'RE PART TIME.

WE DIDN'T WANT TO ENGAGE AND GET PEOPLE ON BOARD WORKING FULL TIME AND DEPENDENT ON THE POSITION.

IT GIVES US AN OPPORTUNITY TO TO MOVE FORWARD WHILE I HAVE.

WE'RE OUT FOR THREE GRANTS RIGHT NOW, TWO OF THEM WITH WITH BIG NATIONAL PARTNERS, BOTH NONPROFIT AND PRIVATE SECTOR, SO THAT WE COULD FUND THIS GOING FORWARD. BUT THE INTENT WAS NEVER LET'S BUILD A BIG PROGRAM AND THEN CREATE POSITIONS THAT THE CITY HAS TO FUND.

COUNCILMAN WHERE ARE YOU AT ON THIS? AFTER A LITTLE BIT OF ADDITIONAL INFO, I'M CONSIDERING IT.

HEY RICH, CAN I ASK A QUESTION? SURE. WHAT'S THE DEMAND FOR THIS? I MEAN, IS IT UNKNOWN? I MEAN, DO YOU HAVE PEOPLE COMING IN SAYING, HEY, I NEED SOME HELP WITH THIS HUGE.

IT'S HUGE. IT IS HUGE.

IN FACT, THERE'S A LOT OF PRESSURE ON US TO MOVE FASTER, BUT WE'VE KIND OF KEPT OUR FOOT ON THE BRAKE BECAUSE WE WANTED TO RUN IT THROUGH THE SENIORS FIRST TO LEARN THE LESSONS WE NEED TO LEARN. BUT KNOW THE DEMAND IS MASSIVE.

DO THEY COME TO THE LIBRARY? I MEAN, DO THESE PEOPLE COME TO THE LIBRARY ASKING FOR RESOURCES? AND WE'RE LIKE, HEY, WE DON'T HAVE THEM? IS THAT I MEAN, SO WE'RE ALREADY SEEING ASKS FOR THIS AND WE JUST DO A LITTLE BIT OF BOTH, BUT TO DEFER SOME OF THAT COST.

THAT'S WHY WE'RE WORKING WITH A LOT OF PARTNERS.

SO FOR EXAMPLE, AMARILLO AREA FOUNDATION WAS ABLE TO GET A GRANT FROM AT&T.

AND THEY'RE USING THAT MONEY TO BUILD OUT A SPACE WITHIN THE ACT'S COMMUNITY CENTER THAT WILL BE FOCUSED ON THE SENIORS.

SO THEN WHAT WE DO IS WE ACTUALLY CREATE THE CONTENT AND AND WE'LL JUST SHOW UP AT THE FACILITY.

AT&T JUST FUNDED A LEARNING CENTER AT THE MAVERICK CLUB.

SO THEY HAVE HIGH SPEED BROADBAND AND STATE OF THE ART EQUIPMENT NOW.

AND ONCE AGAIN, WE DON'T HAVE WE'RE NOT GOING TO FUND THAT.

WE'RE JUST GOING TO COME IN AND HELP THEM BUILD THE CONTENT AND DELIVER IT TO THE KIDS.

SO A LOT OF THAT IS HAPPENING.

SO THE COST, THE WHOLE IDEA WAS IF WE PLANT THE SEED, THE INVESTMENT WILL COME.

AND THAT'S WHAT WE'RE SEEING. SO THE THE IDEA FROM HERE IS WE DON'T FUND IT ANYMORE.

WE JUST USE THE SEED THAT WE HAVE, AND THEN WE START DRAWING DOLLARS FROM PRIVATE SECTOR AND OTHER GRANTS.

OKAY. SO AGAIN, THE ARPA I MEAN THIS IS WHAT WE'VE GOT LEFT.

WE'VE GOT TO USE IT SOMEWHERE.

I THINK TO WHAT COUNCILMAN IS SAYING IS IF IS THIS THE BEST USE YOU KNOW FOR IT? BUT WHAT I HEAR YOU SAYING IS THERE IS A DEMAND.

IT IS VERY CLEAR TO WHAT MAYOR STATED THAT THIS IS A TEMPORARY SEASONAL, UNLESS IT CAN BE FUNDED THROUGH GRANTS OR OTHERWISE.

WE'RE NOT PUTTING THEM IN THE BUDGET.

NO, WE'RE NOT PUTTING PERMANENT POSITIONS OR ANYTHING LIKE THAT.

NO WE'RE NOT. AND THE INTERESTING THING IS, LIKE THE INSTITUTE OF DESIGN ACTUALLY REACHED OUT TO US BECAUSE BECAUSE IT'S SUCH A UNIQUE APPROACH TO WORKFORCE DEVELOPMENT IN THE AGE OF AI THAT THEY WANT TO THEY THEY WANT TO SEND PHD STUDENTS TO HELP US DO THIS AND THEN TO DO THE RESEARCH AND, YOU KNOW, TO MEASURE THE IMPACT.

AND THERE'S OPPORTUNITIES FOR RESEARCH GRANTS AND ALL KINDS OF OTHER FUNDING THAT ARE THAT ARE COMING UP.

SO WE JUST USE THIS AS A SEED TO DRAW INTEREST, AND WE'RE GETTING IT ON A GLOBAL SCALE.

SO I THINK THIS COULD GROW INTO SOMETHING VERY, VERY BIG.

OKAY. AND THEN THE THE POOL OF PEOPLE THAT WE CHOOSE FROM, LIKE YOU SAID, WE HAVE STUDENTS THAT MAY BE FULFILL THESE POSITIONS OR I MEAN, IS THERE A A LEVEL? I MEAN, DO YOU HAVE ARE YOU SO FAR DOWN THE ROAD THAT YOU KNOW HOW WE'RE GOING TO VET THESE PEOPLE TO LIKE FOR SURE? FOR SURE. LIKE, I MEAN, THIS IS MY COMMUNITY.

I HAVE CANDIDATES THAT ARE ALREADY DOING AI WORK THAT WANT TO COME IN AND DO THIS KIND OF TEACHING, AND THEN WE'RE STARTING TO REACH OUT TO FOLKS, AND I CAN'T NAME DROP NAMES YET BECAUSE BUT SOME OF THE COMPANIES IN THE AREA THAT ARE THAT ARE CONCERNED ABOUT THEIR WORKFORCE.

SO AS AS ROBOTICS TAKE OFF, THINK ABOUT LINE WORKERS.

YOU KNOW, THAT THAT MY CONCERN IS IN FIVE YEARS, A LOT OF THOSE JOBS ARE GOING TO BE REPLACED.

SO THIS IS AN OPPORTUNITY TO WORK WITH THEM NOW AND START GIVING SKILL SETS SO THAT WE DON'T HAVE AN UNEMPLOYMENT PROBLEM.

AS AS AUTOMATION BECOMES MORE AND MORE.

OKAY. SO YOU SEE THIS AS JUST LIKE WITH THE DIGITAL HUMAN I MEAN WE'RE ON THE CUTTING EDGE AMARILLO TEXAS, WE ARE CUTTING EDGE.

YOU SEE THIS AS KIND OF A SEED THAT ALSO KIND OF CARRY ON WITH THAT OF LIKE, AS UNUSUAL AS IT IS, THIS WEST TEXAS TOWN, I MEAN, WE'RE GOING TO BE PUSHING FORWARD AND DOING THINGS THAT OTHERS AREN'T. THEREFORE, WE'RE WE'RE GETTING TRACTION FOR GRANTS AND ATTENTION AND THAT KIND OF THING THAT OTHERS.

AND IT'S NOT JUST THE FACT THAT WE'RE ON THE CUTTING EDGE.

IT'S THE FACT THAT IN THE PANHANDLE WE DO THINGS A LITTLE DIFFERENTLY.

YOU KNOW, WHEN I TAKE CALLS FROM OTHER CITIES, IT'S SOMETIMES IT'S ABOUT TECHNOLOGY, BUT MOST OF THE TIME IT'S HOW IN THE WORLD ARE YOU GETTING EDUCATION AND NONPROFIT AND, AND PRIVATE SECTOR ALL IN THE SAME ROOM DOING THESE THINGS TOGETHER.

SO WHEN WE GO, FOR EXAMPLE, ONE OF THE GRANTS THAT WE'RE PUTTING IN ITS CITY OF AMARILLO, AMARILLO AREA FOUNDATION WE'RE WORKING WITH THE ADELE GRANT WRITER CONNECTED NATION IS JUMPING ON.

SO WE HAVE THIS. WE'RE NOT JUST IT'S NOT JUST ONE ENTITY THAT'S THAT'S APPLYING FOR THESE THINGS.

[00:20:03]

AND THEN WE HAVE A GOVERNANCE STRUCTURE THAT'S PUT IN PLACE THAT THAT GIVES US TREMENDOUS CREDIBILITY.

OKAY. THANK YOU, MAYOR AND COUNCIL, ON A MAYBE A SIDE NOTE IF IF SOME OF THE HEARTBURN MAYBE WITH THESE POSITIONS IS WHAT IF THEY SOMEHOW GET ABSORBED INTO THE OVERALL GENERAL FUND BUDGET IN THE FUTURE? KIND OF. MAYBE UNINTENTIONALLY.

I GUESS WHAT WE COULD DO IS WE COULD ACTUALLY SET THESE POSITIONS OUT IN A SPECIAL REVENUE FUND WHERE ALL THEY HAVE IS THE FUNDING FROM THE ARPA REVENUE DOLLARS, AND ONCE IT'S DEPLETED, THAT'S IT.

THERE'S NO MORE FUNDING UNLESS THERE'S SOME SORT OF LIKE AN OUTSIDE FUNDING SOURCE.

AND NOW THEY WOULD STILL BE HOUSED IN OUR LIBRARIES, BUT THEY WOULDN'T BE IN THE LIBRARY BUDGET.

THEY WOULD BE IN A SEPARATE AND APART BUDGET THAT BASICALLY THEY'RE THERE UNTIL THE FUNDING RUNS OUT.

WOULD THAT I DON'T KNOW IF THAT MIGHT HELP EASE SOME OF THE CONCERNS ON THIS, BUT I WANTED TO THROW THAT OUT AS AN OPTION AS WELL.

HEY, I APPRECIATE THAT.

COUNCIL, LET'S WEIGH IN ON THIS BEFORE WE GET INTO LOGISTICS.

IS THIS SOMETHING WE'D LIKE TO TAKE STAFF'S RECOMMENDATION ON, OR DO YOU GUYS WANT TO PULL THIS AMOUNT BACK AND LOOK ELSEWHERE? THIS IS LIMITED.

RESTRICTED FUNDING.

SO IT ONLY HAS SO MANY PLACES IT CAN GO, AND THIS FUNDING HAS TO BE FULLY ENCUMBERED BY DECEMBER 31ST THIS YEAR AND SPENT BY DECEMBER 31ST OF 2026. AND AS YOU MENTIONED, IT'S VERY RESTRICTED BASED ON THE TREASURY.

YOU GOT PLENTY OF TIME, BUT NOT A LOT OF PLACES FOR IT.

AND THEN YOU'RE LOOKING AT A MULTI-MILLION DOLLAR WORKING BUDGET.

IN ADDITION TO THAT.

SO I DON'T WANT YOU TO FEEL LIKE THIS IS THE ONLY MONIES, BUT WE'RE GLAD TO TO LISTEN IF YOU WANT TO DIRECT NOW THE OUR OPPORTUNITY.

OTHERWISE, I THINK WE WOULD BE LOOKING WITH STAFF'S RECOMMENDATION ON THIS AMOUNT AND KEEP GOING DOWN THE LIST.

ANY DISCUSSION? YEAH, I LIKE IT.

I MEAN, ESPECIALLY THE PROPOSAL YOU JUST PUT FORTH, LAURA, TO, YOU KNOW, KEEP IT, SEPARATE IT OUT.

AND THEN FUTURE COUNCILS, I GUESS AT LEAST THEN WE'D HAVE SOME DATA TO SAY.

HOW HOW DID THIS WORK? RIGHT. AT THE END OF THAT FUNDING AND THEN FUTURE COUNCILS CAN DECIDE.

IS THIS WORTH IT? IS THIS SOMETHING WE MAYBE WE WANT TO BRING INTO THE BUDGET? OR IF GRANT FUNDING IS THERE, WE JUST CONTINUE TO JUST GET IT AND FUND IT.

I DON'T THINK IT'S A BAD IDEA WITH MONEY THAT WE WERE GOING TO HAVE TO SPEND SOMEWHERE BECAUSE IT DEVELOPS THE WHOLE COMMUNITY.

IN MY OPINION, IT'S A GOOD OPINION.

ANY OTHER DISCUSSION? NO, I'M NOT OPPOSED TO IT.

I WOULD SUGGEST PUTTING IT AS A PLACEHOLDER UNTIL WE MOVE THROUGH THIS BUDGET TODAY.

SO PICK IT UP AT THE END OR BACK AT VOTING DAY.

MRS STORRS.

AND AS A REMINDER, THIS HAS A NET ZERO EFFECT ON YOUR GENERAL FUND BUDGET.

SO IF YOU DECIDE NOT TO PROCEED ON IT, IT DOESN'T AFFECT YOUR WORKING BUDGET IF YOU DECIDE TO PROCEED WITH IT.

THIS WAS JUST PUTTING THE REVENUE SOURCE BACK IN THERE TO MAKE YOUR GENERAL FUND WHOLE.

COUNCILMAN SCHERLEN ANYTHING YOU WANT TO ADVISE ON THIS ONE? I'M GOOD WITH WHERE WE'RE AT RIGHT NOW.

I SAY WE KEEP RUNNING THE LIST AND THEN WE'LL COME BACK TO IT.

ALL RIGHT, SO WHILE WE HAVE RICH HERE, THE NEXT ONE I WANT TO JUMP OVER TO THE ON ON THIS SAME IT'S UP ON THE SCREEN BUT ON THIS SAME WORKING BUDGET.

KIND OF WORKING DOCUMENT.

LET'S JUMP OVER TO THE ONE TIME WORKING BUDGET REAL QUICK.

I WANTED TO JUST BRIEFLY TALK ABOUT PUBLIC HEALTH FUNDING.

SO AND LET ME BACK UP JUST A LITTLE BIT ON YOUR HANDOUT.

SO YOU'VE GOT A SPREADSHEET, RIGHT, THAT OUTLINES EVERYTHING.

AND THEN THERE IS A WORD DOCUMENT THAT SAYS BUDGET REVIEW SCHEDULE.

AUGUST 27TH, 2024 AT THE TOP.

THAT GIVES YOU SOME MORE NARRATIVE INTO WHAT KIND OF WE'RE GOING TO TALK ABOUT TODAY, JUST FOR YOUR REFERENCE.

SO ON YOUR PUBLIC HEALTH FUNDING I JUST WANTED TO VERY BRIEFLY TALK ABOUT THIS.

I'VE TALKED WITH CASEY STOUGHTON, AND SHE DOES FEEL CONFIDENT THEY CAN GET THE WOMEN'S HEALTH CLINIC GOING WITH THE MILLION DOLLARS.

SHE IS STILL TRYING TO IRON OUT THE DETAILS WITH OUR COMMUNITY PARTNERS.

IT WILL HAVE TO BE A PARTNERSHIP WITH SOME OTHER COMMUNITY ORGANIZATIONS.

I KNOW TEXAS TECH IS CERTAINLY GOING TO BE A BIG ONE INVOLVED ON THAT.

AND SHE SAID SHE WOULD LIKE TO BRING MORE DETAILS TO YOU ALL AT A FUTURE COUNCIL MEETING, BUT SAID THE $1 MILLION WOULD BE ABLE TO GET IT UP OFF THE GROUND.

NOW, OUR RECOMMENDATION IS TO SHIFT THAT OVER ON TO THE ONGOING FUNDING SIDE FOR AT LEAST THE NEXT FEW YEARS.

AND THE REASON FOR THAT IS CASEY MENTIONED THAT IF THE CITY INVESTS INTO A SERVICE LIKE THIS, THAT GIVES US THE ABILITY TO GO OUT AND SEEK GRANT FUNDING.

SO THEY WANT TO SEE THAT INITIAL INVESTMENT COMING THROUGH.

AND THEN SHE THINKS SHE'S VERY CONFIDENT SHE CAN GO OUT AND GET GRANT FUNDING, BUT SHE'S GOT TO HAVE THAT INITIAL INVESTMENT FOR A FEW YEARS.

[00:25:02]

AND SO RICH IS OVER PUBLIC HEALTH.

AND SO I WANTED HIM TO BE ABLE TO HEAR THIS PORTION OF IT.

BUT AGAIN, CASEY SAID SHE'S STILL IRONING OUT THOSE DETAILS, BUT SHE'S VERY EXCITED.

SHE SAID THE PARTNERS HERE IN THE COMMUNITY ARE VERY EXCITED.

IF THIS IS SOMETHING THAT COULD GO THROUGH BEFORE YOU JUMP IN ON THE DETAILS OF IT, BECAUSE I WANT TO MAKE SURE THAT THE CONCEPT AND THE VISION IS STILL GOING THE DIRECTION THAT I THINK THIS COUNCIL IS MOVING.

SO IMPROVED INFANT OUTCOMES, DELIVERIES, SONOGRAMS, HEALTH AND WELLNESS AND PRENATAL CARE POST DELIVERY CARE NOURISHMENT, ALL OF THOSE THINGS.

ARE WE STILL WE SEE A GAP BETWEEN FEDERALLY FUNDED SERVICES WHERE WE MAY HAVE A WAITING LIST.

RIGHT. WE RAN OUT OF CAR SEATS.

WE'LL GET YOU ON THE LIST A MONTH FROM NOW.

THIS WOULD BE SOMETHING WHERE WE WOULD BE ABLE TO FILL IN SO WE WOULDN'T HAVE A TIME ISSUE OR A CONSTRAINT THERE.

BUT THEN ALSO WE WOULD WE WOULD BE PUSHING THIS TO A WOMEN'S HEALTH CLINIC.

SO NOT JUST PREGNANT, BUT WOMEN'S HEALTH CLINIC, BUT IT WOULD FACILITATE THOSE KEY DELIVERABLES THAT I JUST REFERENCED.

RIGHT. THAT THAT IS THE TARGET.

AND WE EVEN TALKED ABOUT ENGAGING THE INNOVATION TEAM ON THIS AS WELL, BECAUSE THEY'RE VERY EXPERIENCED WITH WORKING WITH PARTNERS OUTSIDE OF THE CITY AND JUST HELPING RUN RUN THAT PROCESS.

BECAUSE TO TO LAURA'S POINT, THERE'S AN OPPORTUNITY, ONCE WE GET THAT SEED PLANTED, TO ACTUALLY PULL IN PARTNERS AND EXPAND THE OPERATION AND WHAT WE CAN PROVIDE.

AND IN TALKING WITH CASEY, I THINK WITH THE MILLION DOLLAR FUNDING, IT WOULD GET PRE PRENATAL CARE WITH THE CAPABILITY TO THEN AS I GUESS AS A FEMALE DETERMINED THEY WERE PREGNANT.

PUBLIC HEALTH COULD DO ALL OF, LIKE, COULD HELP WITH ALL OF THE ENROLLMENT AND DO A SMOOTH HANDOFF TO TEXAS TECH TO DO THE TRUE PRENATAL PIECE.

FOR THE TIME BEING, THE GOAL WILL BE IN THE LONG TERM TO GET THE PRENATAL PIECE DONE AT THE WOMEN'S HEALTH CLINIC, BUT IT WOULD DO ALL OF THE PRE PRENATAL AND THE SMOOTH HANDOFF AND TRANSITION, BECAUSE MY UNDERSTANDING IS THAT'S WHERE SOME OF THE CHALLENGES RUN INTO IS JUST HOW DO YOU KNOW IF YOU'RE ELIGIBLE, WHAT ALL DO YOU HAVE TO DO IN ORDER IN ORDER TO BECOME ELIGIBLE.

AND SO PUBLIC HEALTH WOULD WORK WITH THOSE INDIVIDUALS TO HELP GET THEM ENROLLED AND DO THAT.

CLEAN HANDOFF OVER TO TEXAS TECH FOR THE MEANTIME.

AS THE PROGRAM WOULD GROW, THAT WOULD BE THE LONG TERM GOAL IS TO GET THE PRENATAL STUFF DONE, BUT IT WOULD BE THE FULL RANGE OF WOMEN'S HEALTH CARE.

ALL EXISTING FACILITIES.

NO NEW FACILITIES. NO NEW FACILITIES AT THIS POINT? YES. THAT'S CORRECT.

SO IF YOU WERE TO LOOK AT IT, HE'S JUST SMILING BACK THERE.

IF YOU WERE TO LOOK AT A FACILITY OR SOMETHING LIKE THAT, IMPROVEMENT, REMODEL ADDITIONS, WHATEVER, YOU'D BE LOOKING AT GRANT FUNDING FOR SOMETHING LIKE THAT.

WHERE? OH, LET US INVEST IN YOUR YOUR FACILITY.

OKAY. AND SO COUNCIL, JUST JUST HEARING THAT I DON'T WANT TO BE MINDFUL OF YOUR TIME, AND I'M NOT TRYING TO CUT A PRESENTATION SHORT.

I ALSO AM TRYING TO PREVENT US FROM HAVING A PRESENTATION THAT SAYS, WELL, WE DON'T HAVE THIS READY, SO WE'LL DO THIS AGAIN.

SO SO LET'S NOT TALK THROUGH ANYTHING THAT WE DON'T NEED TO.

SO COUNCIL WHERE ARE YOU GUYS AT ON THIS PIECE.

WELL SO I'VE GOT A QUESTION IN THAT YOU SAID THE SMOOTH HANDOFF.

YOU'RE TALKING ABOUT MEDICAID AS WELL HELPING THEM GUIDE THEM THROUGH THE MEDICAID APPLICATION.

OKAY. YES BECAUSE THAT'S A HUGE NEED.

IT'S A HUGE THING. AND THE OTHER YOU KNOW, WE'RE LOOKING AT SOME OTHER THINGS.

SO I MET WITH CHRIS AND QUIGLEY THAT RUNS TRANSIT AND STARTED TALKING THROUGH SOME IDEAS.

I THINK YOU AND I DISCUSSED MAYOR WITH, YOU KNOW, CAN WE GET GRANT FUNDING FOR TRANSPORT, EVEN CAN WE CAN WE HELP GET THOSE, THOSE EXPECTANT MOTHERS TO PUBLIC HEALTH? BECAUSE THAT'S A BIG PROBLEM AS WELL.

SO, YOU KNOW, WE'RE TRYING TO BE INNOVATIVE IN OUR IN OUR THINKING AND DO SOME THINGS THAT MAY BE A LITTLE BIT OUT OF THE BOX.

YEAH. THE ONLY THING I THINK WHAT MAYOR'S GETTING TO IS I THINK WE'D WANT TO BE WORKING HAND IN HAND ON THIS DEAL AS IT PROGRESSES.

JUST SO IT'S IT'S THE VALUES AND THE THINGS THAT WE'RE PUSHING AND THE HELP FOR THIS MUCH NEEDED GAP.

I THINK THAT THAT THAT'S MY ONLY CONCERN.

I THINK CASEY'S DOING MRS STOUGHTON IS DOING A GREAT JOB OF THIS.

AND RICH, I LIKE THE WAY YOU APPROACH ALL THESE BECAUSE IT IS VERY BUSINESS MINDED.

WE DON'T REPLICATE DUPLICATE OF SERVICE.

IF TEXAS TECH HAS A $1.6 MILLION GRANT THAT THEY'RE THEY'RE FUNCTIONING IN, AND WE CAN CREATE AN ENTRY POINT TO THAT CATCH

[00:30:03]

BUT I THINK WE'RE GOING IN A GOOD DIRECTION ON THIS.

WE WOULD LIKE FOR YOU TO PUT IT TOGETHER, BUT DON'T PUT IT IN THE OVEN.

YOU KNOW, LET'S GET ALL THE INGREDIENTS AND THEN MAKE SURE WE'VE GOT EVERYTHING IN THERE THAT WE WANT.

GOT IT. COUNCIL, WHERE ARE YOU AT ON THIS ONE? GOOD. YEAH I, I AGREE.

LORD, JUST REAL QUICK. YES.

NOT TRYING TO GET OFF TOPIC HERE ON THIS SPREADSHEET.

IF I'M READING THIS RIGHT. REMAINING ONGOING WORKING BUDGET IS ONLY 1.1 MILLION.

YES. SO THAT IS AFTER ALL, THOSE THINGS ARE FUNDED OR ADDED BACK IN THAT ARE ABOVE THAT.

WE'RE GOING TO GO OVER ALL OF THOSE TODAY, AND WE'RE GOING TO GO REAL QUICKLY AFTER WE GET THROUGH.

THESE ARE SOME OF THE MORE IN-DEPTH DISCUSSION ITEMS, BUT WE'RE GOING TO GO VERY QUICKLY THROUGH A LOT OF THIS.

BUT YES, THAT WOULD UNLESS YOU ALL DECIDE TO MAKE SOME FURTHER CHANGES TO WHAT'S LISTED THERE.

THE BOTTOM LINE WOULD BE THERE WOULD BE ABOUT 1.1 MILLION LEFT IN REMAINING ONGOING WORKING BUDGET THAT YOU ALL COULD EITHER FURTHER ALLOCATE OR LEAVE AS IS AND TALK ABOUT IT MID-YEAR, AND THEN POTENTIALLY ANOTHER MILLION DOLLARS IN ONE TIME WORKING BUDGET.

SAME ON THAT.

YOU COULD EITHER ALLOCATE IT TODAY OR BRING IT BACK MID-YEAR.

SO FOR INSTANCE, ON THIS PUBLIC HEALTH ITEM, WE WERE WANTING TO TRY TO CONFIRM WITH YOU GUYS THAT THE MILLION DOLLARS, THE MARKS, LIKE SHE CAN GET IT DONE.

WE WILL BRING FULL DETAILS BACK AND LET YOU ALL MAKE DECISIONS ABOUT IT.

WE'RE JUST TRYING TO GET BUDGETS SQUARED AWAY BECAUSE SHE'LL PROBABLY BRING A PRESENTATION MAYBE SEPTEMBER 10TH, AND YOU'LL HAVE FIRST READING OF YOUR BUDGET ON SEPTEMBER 10TH. SO WE WERE WANTING TO MAKE SURE WE GOT YOU SOME INFORMATION, GET YOU COMFORTABLE THAT THE MILLION WOULD WORK, BUT WE PROBABLY NEED TO PUT IT IN ONGOING BECAUSE WE'LL NEED IT FOR THE NEXT SEVERAL YEARS.

AND THEN AT SOME POINT IT'LL BE FREED UP, OR MAYBE IT'LL BE TAPERED DOWN OVER THE NEXT SEVERAL YEARS.

THAT WAS MY QUESTION. SO WE WANT THE WHAT WE'RE LOOKING AT IS PUTTING IT INTO ONGOING SO THAT WE DO HAVE THE FUNDING SO THAT IT'S MORE STABLE FOR THE GRANT AND THAT IT'S NOT JUST A ONE TIME THING THAT WE ACTUALLY MOVE IT OVER INTO A PERMANENT.

YES. AND A LOT OF THOSE GRANT APPLICATIONS, THEY WANT TO SEE WHERE IT'S EARMARKED IN YOUR BUDGET.

OKAY. YOU KNOW WHAT I MEAN. AND SO AND USUALLY YOU WILL GET YOU WILL GET MORE GRANT FUNDING WHEN THEY SEE THAT STABLE INVESTMENT ESPECIALLY FROM A LOCAL GOVERNMENT.

YEAH. GOOD. GREAT QUESTION.

RICH. ANYTHING ELSE FROM YOU ON THIS ONE? NO, I DON'T THINK SO.

I THINK WE'LL DO EXACTLY AS YOU SAID.

WE'LL WE'LL GET IT. WE'LL GET IT MIXED.

READY TO BAKE. I WOULD LIKE TO MAKE SURE THE MINUTES DO RECOGNIZE.

I WENT 33 MINUTES INTO THE MEETING BEFORE MY FIRST ANALOGY, SO THAT'S PRETTY GOOD.

IT'S A GOOD ONE THOUGH. YEAH, BUT DON DID CATCH THAT.

SO MISS LAURA, YOU KEEP DRIVING.

OKAY. ALL RIGHT. NEXT ITEM.

RICH. THANK YOU. I THINK THAT GETS MOST OF RICH'S ITEMS IF HE NEEDS TO SNEAK OUT AT SOME POINT.

SO LET'S START THEN AT THE TOP OF THE LIST.

AS A REMINDER, WE STARTED WITH THE 13 MILLION IN ONGOING WORKING BUDGET DOLLARS THAT HAD BEEN IDENTIFIED.

SO THAT TOP ITEM THERE IS RELATED TO APD AND AFD RAISES.

WE HAD ESTIMATED TO TRY TO GET THE ENTRY LEVEL SALARY FOR A POLICE OFFICER.

WE WERE TRYING TO GET IT UP TO THAT $70,000 SPOT.

AND SO IN ORDER TO DO THAT, THAT WAS A $9,700 RAISE.

AND SO COUNCIL, MAYOR AND COUNCIL HAD SAID, WELL, WHAT IF WE DID THAT ACROSS THE BOARD FOR APD AND AFD SO IT WOULD TAPER DOWN THE INCREASE AS YOU GO FORWARD? I'M SORRY, AS YOU GO UP IN THE STEPS.

SO WE PRICED THAT OUT AND IT WAS ABOUT $8 MILLION.

THAT IS WHAT WE TOOK BACK TO BOTH YOUR POLICE ASSOCIATION AND YOUR FIRE ASSOCIATIONS THROUGH MEET AND CONFER.

AND SO THAT YOU ALSO HAVE ANOTHER HANDOUT AT YOUR SPOT THERE THAT SAYS MEET AND CONFER.

2024 AND ANDREW AND I CAN KIND OF WALK YOU ALL THROUGH THIS.

WE'VE CERTAINLY GOT REPRESENTATIVES FROM BOTH OF THOSE ASSOCIATIONS HERE.

DO WANT TO QUICKLY SAY THAT ALL OF OUR DISCUSSIONS HAVE GONE VERY WELL WITH BOTH ASSOCIATIONS.

I THINK THEY WERE EVERYTHING WAS VERY PRODUCTIVE.

REALLY APPRECIATE THE TEAMS INVOLVED WITH THAT.

SO WE PRESENTED THIS IDEA OF THIS $9,700 ACROSS THE BOARD TO BOTH POLICE AND FIRE, AND IT WAS VERY WELL RECEIVED.

THERE WAS A COUNTER PROPOSAL THAT CAME BACK FROM EACH AND ESSENTIALLY WHAT THEY WERE ASKING FOR IS THEY LIKE THE 9700.

BUT, YOU KNOW, COULD WE ADDRESS SOME OF THE CHALLENGES THEY'RE HAVING IN THEIR STEPS? SO THEY BROUGHT US BACK SOME INFORMATION.

AND LET ME GO BACK TO THIS PAGE HERE.

SO THE TOP OF IT JUST KIND OF REMINDS YOU OF THE ORIGINAL PROPOSALS THAT WERE BROUGHT FORTH BY POLICE AND FIRE.

[00:35:02]

DURING OUR BUDGET WORKSHOP, WE HAD IDENTIFIED ABOUT 8 MILLION IN ORDER TO DO THE $9,700 INCREASE.

SO NOW LET'S BREAK IT APART BETWEEN THE FIRE ASSOCIATION AND THE POLICE ASSOCIATION.

SO FIRE WOULD LIKE TO ADD IN STEP SIX THROUGH TEN FOR THEIR FIREFIGHTER RANK.

NOW THAT WOULD COST ABOUT AN ADDITIONAL 240,000.

THEY FEEL LIKE THAT WOULD BE A VERY GOOD CHANGE FOR THEIR OVERALL STRUCTURE.

SO THAT WOULD THAT WOULD BRING THEIR REQUEST, INCLUDING THE 9700, UP BY ABOUT $240,000.

THEY ALSO TALKED ABOUT HOW IMPORTANT THE ANNUALLY BUYBACK PROGRAM HAD BEEN TO THEIR GROUP, AND SO THEY ACTUALLY PROPOSED A CHANGE TO IT ON THEIR END.

THEY WANTED INSTEAD OF IT BEING THE WAY IT'S BEEN SET THE LAST FEW YEARS, IS IF YOU HAVE OVER TEN YEARS OF SERVICE WITH THE CITY, YOU COULD SELL BACK UP TO A WEEK OF ANNUAL LEAVE. WHAT FIRE HAD PROPOSED IS INSTEAD OF THE YEARS OF SERVICE, THEY WOULD REALLY LIKE TO DO IT BASED ON A MINIMUM NUMBER OF HOURS.

SO WHAT THEY'RE TRYING TO DO IS THEY WANT THEY'D RATHER HAVE PEOPLE AT WORK WORKING INSTEAD OF THEM TAKING THE TIME OFF, BUT THEY WANT TO ESSENTIALLY REWARD THOSE THAT DECIDE TO COME INTO WORK, GO AHEAD AND LET THEM CASH OUT.

SOME OF THAT LEAVE AS LONG AS THEY HAVE A MINIMUM NUMBER OF HOURS IN THEIR BANK.

SO WHAT WE DID IS WE TALKED THROUGH IT AND IT WILL IT'S GOING TO COME IN AT ABOUT $150,000.

AND SO THAT WITH THOSE TWO COUNTER OFFERS FROM THE FIRE ASSOCIATION.

THAT WOULD BE AN ADDITIONAL COST OF ABOUT $390,000.

SO NEXT LET'S TALK ABOUT THE POLICE ASSOCIATION REAL QUICK.

SO THEY WERE KIND OF WANTING TO GO IN THE OPPOSITE DIRECTION.

THEY WERE WANTING TO REDUCE DOWN TO FIVE STEPS WITHIN THEIR RANKS, AND THEN THEY WANTED TO ADJUST FOR SOME COMPRESSION ISSUES THAT WOULD BE CREATED IF YOU REDUCE THE STEPS DOWN TO FIVE.

AND CURRENTLY THERE ARE HOW MANY STEPS IS IT? TEN. IT'S TEN IN THE IN THE POLICE OFFICER.

AND SO THIS WOULD CONSOLIDATE IT FROM TEN STEPS DOWN TO FIVE STEPS.

SO THEY BROUGHT BACK THIS COUNTER PROPOSAL.

AND IT IT DOES DO A FLAT INCREASE.

BUT IT DOES RANGE A LITTLE BIT FROM ABOUT $9,100 ON THE LOWEST INCREASE, UP TO ABOUT 14,000 ON THE HIGHEST INCREASE DEPENDING ON RANK.

AND AGAIN, IT WAS REALLY TO ADDRESS COMPRESSION.

AND IT WASN'T NECESSARILY LIKE THE LOWEST RANKS GOT THE HIGHER AMOUNTS OR THE HIGHEST RANKS GOT THE HIGHEST AMOUNT.

IT WASN'T ANY OF THAT. IT REALLY WAS.

IT KIND OF STAGGERED AMONGST THE STEPS IN THE RANKS JUST TO REALLY DEAL WITH THAT COMPRESSION.

THE PERCENTAGE INCREASES ON THEIR END RANGED FROM A LITTLE OVER 6.5% TO JUST A LITTLE OVER 16%.

THAT WOULD COST JUST OVER $500,000.

TO WHAT WE HAD ORIGINALLY PRICED OUT WITH THAT $9,700 INCREASE.

THEY ALSO TALKED ABOUT HOW IMPORTANT IT WAS TO HAVE THAT ANNUAL LEAVE BUYBACK PROGRAM.

THEY ARE RECOMMENDING THAT WE ALLOW ANNUAL LEAVE OR SICK LEAVE TO BE CONVERTED FOR AN ESTIMATED COST OF ABOUT 200,000 IS WHAT WE'RE LOOKING AT.

AND SO I'LL GO THROUGH THOSE IN JUST A SECOND ON THIS, ON YOUR SPREADSHEET, UP ON THE SCREEN, ON YOUR WORKING BUDGET.

SO THEY'VE GOT THE 500,000 FOR COMPRESSION ISSUES IN THE RANKS AND THEN ABOUT 200,000 FOR THE ANNUAL LEAVE BUYBACK.

THEY ALSO HAD A COUPLE OF ITEMS AND THEY SAID THIS WAS CERTAINLY LOWER PRIORITY.

THOSE ARE THEIR TOP TWO REQUESTS.

COUNTER REQUESTS ARE THE PAY, THE STEPS AND THE COMPRESSION ISSUES, ALONG WITH THE ANNUAL LEAVE AND SICK LEAVE BUYBACK.

THEY DID HAVE A FITNESS PAY PROGRAM FOR AN ESTIMATED COST OF 157,000 THAT THEY THINK WOULD BE VERY PRODUCTIVE FOR THEIR TEAM. RIGHT NOW IT'S KIND OF A TIME OFF INCENTIVE.

THEY ALSO WOULD LIKE TO LOOK AT MAYBE INCREASING THE FIELD TRAINING OFFICER PROGRAM.

PAY FOR ABOUT $150,000 WOULD BE THE ESTIMATE ON THAT.

SO THE ADDITIONAL COST OF ALL OF THAT WOULD BE ABOUT 507,000.

SO ON THEIRS ABOUT JUST A LITTLE OVER 700,000.

SO 704,000 APPROXIMATELY IS IS THEIR TOP PRIORITY ON THEIR COUNTEROFFER OF ADDITIONAL AMOUNTS?

[00:40:05]

AND SO WITH THOSE COMBINED AMOUNTS THIS WOULD BRING THE THE COUNTEROFFER FROM BOTH OF THE ASSOCIATIONS WITH POLICE'S MAIN PRIORITIES WOULD BE JUST A LITTLE OVER $1 MILLION.

SO LET'S GO TO YOUR SPREADSHEET SO YOU CAN KIND OF AND I APOLOGIZE, I AM OBVIOUSLY A NUMBERS PERSON.

WE TRIED TO PROVIDE NARRATIVE AND NUMBERS.

I CERTAINLY VIEW ALL OF THIS EASIER FROM THE NUMBERS STANDPOINT.

SO I'M GOING TO WALK YOU ALL THROUGH THAT AS WELL.

SO UP ON YOUR SCREEN HERE OR ON YOUR PAGE HERE YOU'LL SEE OUR ORIGINAL ESTIMATE WAS 8 MILLION.

SO WE WERE GOING TO DECREASE YOUR WORKING BUDGET BY $8 MILLION.

SO NOW WITH THE COUNTER PROPOSALS, WITH THE CHANGES IN THE STEPS AND THE COMPRESSION ISSUES, THAT WOULD COST ABOUT 8.8 MILLION, SO ABOUT $800,000 MORE.

MRS STORRS.

CAN YOU EXPAND ON THAT BEFORE WE GO TO THE NEXT STEP? YES. YOU'RE SHOWING 9.4 OVER ON THE NARRATIVE, AND THEN ON THIS ONE YOU'RE TAKING IT TO 8.8.

SO SO WHAT ARE YOU NOT INCLUDING AS A STAFF RECOMMENDATION THERE.

YES. SO THIS IS ONLY THE 8.8 IS ONLY FOR THE PAY CHANGES, NOT ANY INCENTIVES AND NOT ANNUAL LEAVE BUYBACK.

SO IT'S JUST THE STEP CHANGES AND DEALING WITH ANY COMPRESSION ISSUES THAT WAS CREATED ON THAT.

IF YOU WILL GO DOWN YOUR LIST HERE ON THIS WORKING BUDGET, IF YOU'LL GO DOWN TO LET ME COUNT DOWN TO IT. IT'S ABOUT MIDWAY DOWN THE THE SCREEN THERE, STEPHANIE.

THERE'S A LINE ITEM RIGHT IN THE MIDDLE OF YOUR WORKING BUDGET THAT SAYS ELIMINATE ANNUAL LEAVE BUYBACK INCENTIVE.

WE HAD TARGETED ELIMINATING THE FULL MILLION DOLLARS THAT'S BUDGETED FOR THE ANNUAL LEAVE BUYBACK INCENTIVE BETWEEN THE TWO, BETWEEN POLICE AND FIRE.

IT COMES TO ABOUT 350,000.

OH, I DON'T THINK STEPHANIE'S IN HERE ANYMORE.

AND SO WE ARE RECOMMENDING THAT WE LEAVE HALF A MILLION IN THERE.

SO THAT WOULD BE 350,000 FOR POLICE AND FIRE, AND THEN POTENTIALLY 150,000 FOR YOUR CIVILIANS, BECAUSE YOUR CIVILIANS HAVE BEEN PARTICIPATING IN THIS PROGRAM AS WELL FOR THE LAST COUPLE OF YEARS.

BUT THEIR COST TO DO THIS ANNUALLY, BUYBACK IS AT A LOWER AMOUNT THAN WHAT IT IS ON POLICE AND FIRE.

SO ALL WE'VE INCLUDED ON YOUR WORKING BUDGET HERE, MAYOR, TO YOUR POINT IS JUST YOUR THE RAISES, THE COUNTER PROPOSALS FOR THE STEP CHANGES AND THE COMPRESSION AND THE ANNUAL LEAVE BUYBACK.

THERE IS AN ADDITIONAL THANK YOU ANDREW.

307,000 THAT POLICE WOULD LIKE YOU ALL TO CONSIDER.

BUT IT IS NOT IT.

IT WAS THEIR NEXT PRIORITY.

AND SO WE DID NOT INCLUDE IT ON THIS WORKING BUDGET.

BUT WE CAN ABSOLUTELY ADD IT BACK IN.

AND THOSE OTHER INCENTIVES.

DID YOU ALREADY TALK ABOUT THOSE OR WILL YOU.

THAT'D BE THE FITNESS PAY PROGRAM AT 157 AND THE FIELD TRAINING OFFICER AT 150.

SO THAT'S WHERE YOU'RE ADDING UP TO THE 377.

YES. SO WHERE'S THE 225 FOR THE FIRE STAFFING MODEL.

IS THAT INCLUDED IN THE 8.8.

SO THAT IS THAT'S A GREAT POINT TOO.

THERE'S THE ONE OF THE ITEMS THAT CAME ABOUT ON MEET AND CONFER RELATED TO FIRES THEY WANT TO BUILD IN A STAFFING MODEL. AND IT'S IT'S SIMPLY A FORMULA THAT HELPS THEM DETERMINE HOW MANY POSITIONS THEY NEED TO PROPERLY COVER MINIMUM STAFFING, TAKING INTO ACCOUNT ANNUAL LEAVE AND SICK LEAVE THAT'S BEEN WORKED IN MORE RECENT TIME PERIODS.

WE'VE BEEN TRYING THIS KIND OF ON A PILOT BASIS FOR THE LAST YEAR OR SO.

IT DOES BRING DOWN SOME OF THEIR OVERTIME PAY.

IT IS NOT A DOLLAR FOR DOLLAR.

BRINGING IT DOWN THOUGH.

IT DOES HELP RELIEVE THEIR OVERTIME.

IT ALSO HAS HELPED ON MORALE FROM THE TEAM THERE OVER AT THE FIRE DEPARTMENT.

SO WE HAD ANDREW AND I HAD KIND OF TALKED ABOUT THIS.

RIGHT NOW WE'RE IN GOOD SHAPE, BUT AS SOON AS FIRE STATION 14 COMES ON, WE WOULD NEED TO STAFF AN ADDITIONAL 13 POSITIONS.

AND IN ORDER TO DO THAT, THAT'S GOING TO BE A REALLY HARD THING TO DO IN ONE YEAR.

SO WE PUT AN OPTION ON YOUR NARRATIVE HERE TO POTENTIALLY START KIND OF PARTIALLY FUNDING THOSE OVER THE NEXT FEW YEARS.

YOUR FIRE STATION 14.

WE'RE GOING TO TALK ABOUT THAT IN A MINUTE TOO.

IT SHOULD BE BUILT IN ABOUT THE NEXT 18 MONTHS, 18 MONTHS.

AND SO WE WOULD BE AT A REALITY IF COUNCIL WOULD LIKE TO TRY TO CONTINUE TO MEET THE STAFFING MODEL THAT

[00:45:02]

WE WOULD WE WOULD RECOMMEND TRYING TO STAIR STEP INTO THAT OVER THE NEXT COUPLE OF BUDGETS.

SO THERE'S AN OPTION ON YOUR NARRATIVE.

IT'S NOT ON YOUR SPREADSHEET, BUT THERE'S AN OPTION ON YOUR NARRATIVE TO START FUNDING SOME ADDITIONAL FIREFIGHTER POSITIONS.

AND WE HAD JUST SAID MAYBE THREE THIS YEAR THAT WOULD BE ABOUT 225,000.

SO BEFORE WE WE GO ANY FURTHER, I JUST WANT COUNCIL TO HAVE A GOOD UNDERSTANDING.

YOU HAVE IDENTIFIED THE 13 MILLION IN ADDITIONAL PROPERTIES THAT CREATE REVENUES.

THAT'S PART OF THAT.

PREVIOUS YEARS PASS THROUGH THAT, THAT CAME INTO THIS YEAR'S BUDGET.

A LOT OF IT WAS COMING FROM YOUR PROPERTY TAX AND YOUR SALES TAX AND A LITTLE BIT FROM YOUR INTEREST OR ACTUALLY QUITE A BIT FROM YOUR INTEREST INCOME.

BUT WE'RE GOING TO TALK ABOUT THAT A LITTLE BIT MORE HERE IN A SECOND TOO.

THEN YOU HAVE YOUR ONE TIME FUNDING OF THE 3 MILLION.

THAT'S PROBABLY WHERE SOME OF THOSE MONIES CAME FORWARD.

SO RIGHT IN THE IN THE BUDGET WORKSHOP VERY PRODUCTIVE.

WE IDENTIFIED A FEW OTHER MECHANISMS THAT COULD FREE UP SOME MONIES.

SO AS AN EXAMPLE, ONE OF OUR OPTIONS WAS PAYMENT IN LIEU OF TAX, MAYBE FROM FROM NONE OF THOSE MONIES ARE CONSIDERED IN THESE DOLLAR FIGURES.

THEY ARE. YES.

IF YOU WOULD COME, IF YOU'LL COME DOWN TO ABOUT A THIRD OF THE WAY DOWN ON YOUR WORKING BUDGET, YOU'LL SEE DRAINAGE FUNDING OF 1.3 3 MILLION.

THAT'S PAYMENT IN LIEU OF PROPERTY TAX, PAYMENT IN LIEU OF FRANCHISE FEE AND UNRESTRICTED INTEREST INCOME COMING OVER FROM DRAINAGE.

I APOLOGIZE. I'M LOOKING AT THAT AS AN EXPENDITURE.

I DIDN'T REALIZE YOU HAD REVENUES.

SO THE POSITIVES ARE ADDING BACK TO YOUR WORKING BUDGET.

THE NEGATIVES ARE DEPLETING YOUR WORKING.

SO IF THAT MAKES SENSE. YES.

SO YOU'RE PLUGGING IN POSITIVE AND NEGATIVE OVER HERE ON THE LEFT TO ARRIVE AT THAT REMAINING BALANCE.

YES, SIR. OKAY.

DO YOU DID YOU CONSIDER THE THE WAY WE CALCULATE RESERVES IN IN ANY OF THESE AS WELL? SO WE DID.

WE'RE STILL WORKING THROUGH THAT.

THAT'S KIND OF A MORE COMPREHENSIVE PROJECT THAT WE'RE WORKING ON.

I THINK THE CITY MANAGER WANTS TO WIN THIS ONE.

WE HAD A CONVERSATION WITH OUR FINANCIAL ADVISORS TRYING TO GET ME UP TO SPEED ON THAT.

I'VE TASKED THEM WITH STUDYING THIS FOR US AND GIVING THEM SOME BEST PRACTICES.

LOOKING AT THREE MONTHS, TWO MONTHS, FOUR MONTHS.

AND BECAUSE WE TALKED TO THEM ABOUT THE IDEA OF DO WE HAVE THREE MONTHS RESERVE AND BOTH GENERAL AND THESE OTHER FUNDS? AND DOES THAT MEAN WE HAVE SIX MONTHS RESERVE IN ONE OF THOSE FUNDS? AND SO TALKING ABOUT THAT, I'VE, I'VE ASKED THEM FOR A MORE ROBUST POLICY.

AND WE HAVE WE HAVE A WE HAVE A PIECE THAT WORKS.

BUT I'VE ASKED THEM FOR MORE OF A NARRATIVE BASED ONE THAT HELPS EXPLAIN WHY RESERVES EXIST, WHY WHY WE WE'RE DOING EXIST.

WE'RE GETTING MORE TIME FOR THAT.

AND IN ORDER TO DEVELOP THAT.

SO IF WE WERE TO SO MY RECOMMENDATION IS THAT, THAT IF WE WERE TO IMPLEMENT A CHANGE IN THE POLICY THAT MAY FREE UP MONEY MID-YEAR, AND THAT WE CAN THEN REVISIT WITH THE COUNCIL SAYING, HEY, SINCE WE MADE A POLICY CHANGE THAT THAT FREED UP AVAILABLE ONE TIME MONEY BECAUSE IT'S ONE TIME BECAUSE ONCE YOU ONCE YOU FREE UP THAT RESERVE, IT'S YOU DON'T YOU DON'T HAVE IT EVERY YEAR. SO BUT THAT COULD BE A ONE TIME THING WE COULD PUT TO SOMETHING ELSE MID-YEAR.

SO I, I AM INTERESTED IN IN GETTING THAT.

WHO'S OUR FINANCIAL ADVISOR.

WHAT'S THEIR NAMES. IT'S STEVEN ADAMS AND PAUL JASON WITH SPECIALIZED PUBLIC FINANCE.

OKAY. BOND COUNCIL AS WELL.

BOND COUNSEL IS NORTON ROSE FULBRIGHT.

THAT'S BOB. TWO DIFFERENT, TWO DIFFERENT TYPES OF THINGS THAT THEY WORK TOGETHER, BUT THEY'RE TWO DIFFERENT SPECIALTIES.

AND I WOULD WANT TO MAKE SURE THAT WE WERE LOOKING AT IT IS YEAR OVER YEAR.

IF WE ARE CALCULATING I WOULD CALL THEM INTERDEPARTMENTAL INTER-DEPARTMENTAL TRANSFERS, BUT THAT'S PROBABLY NOT THE RIGHT TERM IF WE'RE OVERHEADING OURSELVES IN A YEAR AFTER YEAR BASIS.

SO IF WE HAVE SOMETHING IN THE GENERAL FUND THAT IS BEING EXPENSED IN THE GENERAL FUND BUT BILLED TO AN ENTERPRISE, WOULD WE NOT BE ABLE TO CALCULATE THAT UNDERNEATH THAT GENERAL FUND, NOT A ONE TIME EXPENDITURE? I THINK YOU MIGHT BE REFERRING TO THE THE RESERVES IN OUR INTERNAL SERVICE FUNDS LIKE IT AND FLEET INSURANCE ALL THOSE AGAIN YOU IF YOU WERE TO REMOVE THOSE RESERVES IT WOULD STILL JUST BE ONE TIME FUNDING.

WE JUST WOULDN'T BE ADDING TO.

AND YOU INCREMENTALLY ADD TO RESERVES EACH YEAR AS YOUR OPERATING BUDGETS GROW.

IT'S SMALL AMOUNTS THAT'S BUILT UP OVER TIME.

AND SO IF WE WERE TO REMOVE THOSE RESERVES, YOU COULD ABSOLUTELY SPEND THOSE ONE TIME AND THEN YOU WOULD NEVER ADD TO THEM IN THE FUTURE.

SO THERE REALLY WOULDN'T BE ANY KIND OF YEAR OVER YEAR.

WHAT I'VE ASKED THEM TO DO IS I'VE ASKED HIM AGAIN, JUST GIVEN THESE ARE THE EXPERTS.

I'VE SAID, GO, GIVE US, GIVE US BEST PRACTICES, A GOOD ROBUST POLICY.

AND THEN THAT'S A TEMPLATE THAT THEN I THINK WE CAN GO BACK WITH AND FINE TUNE SPECIFICS LIKE THIS, I BELIEVE.

SO THAT'S THAT'S WHAT WE'RE WORKING ON WITH THEM RIGHT NOW.

[00:50:02]

AND YOU DO EVALUATE AND WEIGH DIFFERENT PRIORITIES BASED ON OTHER FUNDING THAT MAY BE AVAILABLE.

SO I'M TRYING TO MAKE SURE THAT IT'D BE A DIFFERENT SCENARIO IF WE'RE LOOKING AT $250,000 FOR, LET'S SAY, THIS FIRE REQUEST THE STAFFING MODEL. IF YOU HAVE 3 OR $4 MILLION SITTING HERE, THAT MAY BE OKAY.

WE THINK THAT'S GOOD FOR NOW.

IF YOU HAVE 800,000 THERE.

I DON'T KNOW. LET'S HOLD OFF.

SO SO WE HAD GIVEN YOU GUYS SEVERAL THINGS ALL SORTS OF STUFF.

FUND BALANCE RELATED.

FLEET FINANCE.

I KNOW WE TALKED ABOUT EARLIER HEALTH CARE SAVINGS.

ALL ALL IN HERE.

YES. AND SO WE'RE GOING TO GO THROUGH ALL OF THOSE TODAY.

I WILL SAY WHILE WE'RE TALKING ABOUT RESERVES, IF YOU LOOK OVER TO THE RIGHT HAND OF YOUR PAGE AND I APOLOGIZE, WE DON'T HAVE IT ON THE SCREEN RIGHT NOW.

BUT IF YOU LOOK ON THE RIGHT HAND SIDE ON UNDER YOUR ONE TIME WORKING BUDGET, WE HAD TARGETED 2 MILLION IN EXCESS RESERVES.

WE THAT WE COULD UTILIZE AS ONE TIME SPENDING.

WE CAN EASILY BRING THAT NUMBER TO 3.5 MILLION.

AND SO THAT'S ADJUSTED OVER THERE ON YOUR EXCESS RESERVES AMOUNT.

AND SO THAT WOULD BE ONE TIME SPENDING.

BUT WE DID LOCATE MORE THAT WE COULD UP THAT FOR SOME ONE TIME SPENDING.

THIS IS FUNDING BEYOND OUR CURRENT POLICY.

THAT IS CORRECT. SO THIS IS JUST EXCESS RESERVES UNDER CURRENT POLICY.

THAT'S CORRECT. THEN WE WOULD GET AN EVALUATION OF WELL, IF YOU CHANGE TO THIS POLICY WHICH MATCHES BEST PRACTICE ELSEWHERE IN THE STATE, YOU MAY HAVE, YOU KNOW, 3.5, YOU KNOW, OH ONE OR WHATEVER.

YEAH, 3.7 OR SOMETHING LIKE THAT.

YEAH. SO YEAH, THOSE ARE THE KIND OF THINGS THAT I'M AFRAID WE WON'T BE ABLE TO GET DONE IN TIME FOR THE BUDGET PROCESS, BUT MID-YEAR YOU BRING THAT BACK.

SO SO COUNCIL SHOULD EXPECT TO HAVE OUR TYPICAL LIKE WE'RE PROJECTING FLAT OR WE'RE PROJECTING CONSERVATIVE.

SO HOPEFULLY WE'RE GOING TO HAVE SOME ADDITIONAL MONIES THERE ANYWAY JUST IN CURRENT BUDGET.

BUT THEN ALSO WE'VE GOT SOME TECHNIQUES THAT MAY THAT MAY HELP IN THE WAY IN WHICH WE'RE WE'RE BALANCING THIS BUDGET THAT WE MAY HAVE SOME FUNDING THERE MID-YEAR POTENTIALLY.

YEAH. AND MY GOAL WITH, WITH THIS KIND OF A POLICY IS THIS, THIS WILL GUIDE, GUIDE FUTURE COUNCILS AS WELL BECAUSE RESERVES THAT'S A THAT'S A MAPPING PROCESS.

THAT'S THAT'S A PLANNING PROCESS.

AND SO THIS WILL HOPEFULLY THIS COUNCIL NEXT COUNCIL FUTURE COUNCILS WILL HAVE THAT IN MIND.

SO THAT WE CAN WE CAN WE CAN KEEP WE CAN.

THAT'S OUR THAT'S OUR PLAN.

THAT'S OUR ROADMAP GOING FORWARD AS WE BALANCE THE REST OF THE BUDGET.

BUT OKAY, SO TO BE CLEAR, WHAT WE'RE SHOWING OVER HERE ON THE RIGHT SIDE, THAT'S EXCESS OVER OUR EXCESS.

CORRECT. THAT'S EXCESS OVER OUR MINIMUM RESERVE POLICY THAT'S IN PLACE RIGHT NOW WHICH IS A 90 DAY OPERATING RESERVE.

YES. OKAY. GREAT. THAT WOULD HAVE CAME ABOUT BECAUSE WE HAD EITHER GOOD SALES TAX OR WE HAD WE HAD EXPENDITURES THAT DIDN'T COME THROUGH.

SO WE CAME IN UNDER BUDGET.

IT'S JUST A MIXTURE OF ALL THAT THE NET COMES IN.

WE HAVE MORE THAN WE NEED FOR OUR MINIMUM POLICY.

SURE. OKAY. THANK YOU.

THESE EXCESS RESERVES ARE ACTUALLY COMING FROM YOUR YOUR HEALTH INSURANCE AND RISK MANAGEMENT FUNDS BECAUSE WE'VE SEEN GOOD PERFORMANCE THE LAST COUPLE OF YEARS.

NOW, THAT MAY NOT STAY THE CASE, BUT THIS LEAVES THEIR MINIMUM RESERVES AND ALLOWS YOU ALL TO CAPTURE THOSE THAT EXCESS AMOUNT AS ONE TIME SPENDING.

THANK YOU. OKAY, MAYOR DO YOU WANT ME TO JUST KEEP GOING DOWN THE LIST? DO YOU WANT TO CONTINUE TALKING ABOUT MEET AND CONFER, OR DO YOU WANT TO CIRCLE BACK TO MEET AND CONFER? WHAT WOULD YOU LIKE TO DO THERE? COUNSEL, DO Y'ALL WANT TO BRING, MEET AND CONFER BACK AFTER WE DISCUSS ALL EXPENDITURES THAT ARE RECOMMENDED BY STAFF.

OR DO YOU WANT TO PRIORITIZE THAT ONE? PUT THE BUDGET TOGETHER ON THAT AND THEN WORK THE THE REMAINING BUDGET? I MEAN, I WOULD SAY WE NEED TO COME BACK AND LOOK AT IF WE'RE GOING TO CONSIDER THE WHOLE COUNTER.

I THINK WE'VE GOT TO COME BACK AND LOOK.

OKAY. WOULD BE MY OPINION.

SO JUST RECAP ON THIS REAL FAST.

YES. ON THE 8.8 WHAT WAS IT AGAIN THAT'S NOT INCLUDED IN THIS.

IT WAS THE.

THREE. JUST 307,000 ON THE POLICE SIDE.

307 ON THE POLICE SIDE.

AND THEN IF Y'ALL WOULD WANTED TO LOOK AT PUTTING ANY ADDITIONAL FIREFIGHTERS IN TO HELP WITH THE STAFFING MODEL.

THOSE ARE THE TWO THINGS THAT ARE NOT INCLUDED RIGHT NOW ON THIS WORKING BUDGET LIST.

OKAY. OKAY, THEN LET'S LET'S RUN THROUGH THE REST OF THE LIST HERE.

WE'RE DOING PRETTY GOOD ON TIME.

OKAY, GREAT. AND THEN LET'S COME BACK TO MEET AND CONFER.

OKAY. AND I THINK A LOT OF THE REST OF THESE, MOST OF THE REST OF THESE ARE GOING TO GO A LOT FASTER.

WE HIT SOME OF THE BIG TALKING POINTS FIRST.

THE NEXT ITEM DOWN ON YOUR ONGOING WORKING BUDGET IS YOUR CIVILIAN RAISES OF $2.5 MILLION.

AND SO THAT IS IS A GOOD CONFIRMED NUMBER.

[00:55:02]

AND AGAIN, REMEMBER THIS IS JUST YOUR GENERAL FUND.

AND THEN WITH THAT IT WOULD BE A 2% AMOUNT THAT COULD BE PAID OUT BASED ON PERFORMANCE, SO IT COULD BE LESS THAN 2%, IT COULD BE A LITTLE BIT MORE THAN 2%, BUT ESSENTIALLY ITS DIRECTOR WOULD BE GIVEN A 2% AMOUNT TO ALLOCATE OUT BASED ON PERFORMANCE AMONGST THEIR EMPLOYEES. SO 2% COLA AND 2% PERFORMANCE.

THE NEXT ITEM DOWN IS ACTUALLY ADDING BACK INTO YOUR WORKING BUDGET.

THAT WAS REDUCING YOUR LEGAL FEES.

AND REMEMBER WE LEFT 250,000 IN THAT PROFESSIONAL ACCOUNT FOR LEGAL RELATED TO YOUR OUTSIDE ATTORNEY THAT YOU ALL HAD BEEN WORKING WITH.

SO THAT AMOUNT IS AT 250 FOR THE YEAR, FOR THE BUDGET FOR NEXT YEAR.

THE INTELLIGENT LIAISON POSITION, WE CONFIRMED WE CAN GET THAT POSITION ON BOARD FOR 150, NOT TO EXCEED 150,000.

I WOULD SAY WITH BENEFITS ON YOUR PUBLIC WORKS, WE WERE ABLE TO REDUCE THOSE PROFESSIONAL FEES, WHICH ADDS BACK ALMOST 100,000.

IT ADDS BACK 99,000 INTO YOUR WORKING BUDGET HERE ON YOUR LIBRARY POSITIONS.

IF WE LEAVE THEM IN THE GENERAL FUND, THIS WOULD ADD 277,000 BACK INTO YOUR WORKING BUDGET FROM THOSE ARPA DOLLARS.

THE 50,000 WE'RE REDUCING DOWN, THAT'S THE ANNUAL AMOUNT THAT EVERYONE SOUNDED GOOD WITH FOR FUNDING FOR THE BRIDGE.

YOUR INDEPENDENCE DAY PLUS ONE EVENT WE'RE GOOD AT THE $125,000.

SO AGAIN, THAT WOULD COME OUT OF YOUR WORKING BUDGET.

IT WOULD GO DOWN.

ALL RIGHT. SO THE NEXT ONE IS ONE WE WILL CAMP ON FOR JUST A MINUTE.

WE HAVE A LEGAL DUMPING PROGRAM.

SO IT WAS SUPPOSED TO BE PAID FOR OUT OF YOUR WORKING BUDGET.

SO THAT MEANS IT WOULD BE COMING OUT OF YOUR GENERAL FUND DOLLARS, YOUR PROPERTY TAX.

SALES TAX AT 1.1 MILLION.

DONNIE'S GOT SOME INFORMATION.

IT WAS HANDED OUT TO YOU ALL ON THIS BULK WASTE OPTIONS.

WE'RE GOING TO GO OVER THAT IN JUST A SECOND.

I'M GOING TO SKIP RIGHT TO THE END.

WE'RE OH, Y'ALL DON'T HAVE BULK.

DONNIE, DID YOU GET THAT? HOLDING IT FOR THE DISCUSSION.

OH, THERE WE GO. OH. THANK YOU.

THANKS, STEPH. SORRY.

THEY ARE COMING YOUR WAY.

WE ARE RECOMMENDING THAT THAT BE FUNDED THROUGH AN INCREASE ON THE COMMERCIAL RATES INSTEAD.

SO INSTEAD OF COMING OUT OF YOUR PROPERTY TAX OR SALES TAX, WE WE'RE RECOMMENDING THERE'S THREE OPTIONS.

DONNIE IS GOING TO GO OVER.

BUT WE'RE RECOMMENDING ON EACH OF THOSE THREE OPTIONS THAT INSTEAD THEY COME OUT OF AN INCREASE TO YOUR COMMERCIAL FUNDING.

SO, DONNIE, YOU WANT TO WALK US THROUGH THIS? YEAH, SURE. AND ONE OF THE THINGS WE DID IN LOOKING AT THE BUDGET WORK SESSIONS AND ALL THE DISCUSSIONS THAT TOOK PLACE, WE PAID ATTENTION.

WE HEARD SEVERAL TIMES DURING THAT DISCUSSION THAT THERE WAS A NEED FOR US TO EVALUATE WHETHER OR NOT WE COULD PROVIDE A SERVICE WITHIN OUR OWN STAFF OR HIRE OUT CONTRACTUAL SERVICES TO DO THAT WORK.

SO WE WENT BACK AND WE REALLY PUT OUR NOSE TO THE GRIND.

ESPECIALLY TALKING TO STAFF.

TALKED ABOUT IT WITH THE MANAGEMENT TEAM AS WELL, TO COME UP WITH SOME OPTIONS THAT WE THINK WOULD GIVE YOU AN ACHIEVEMENT AS FAR AS ILLEGAL DUMPING IS CONCERNED AND ANY OF THESE OPTIONS THAT YOU TAKE. AND I'LL START WITH OPTION NUMBER ONE TO TALK ABOUT THAT.

WE WENT BACK AND REDUCED OR ELIMINATED THE BRUSH SITE MODIFICATIONS AND CONVENIENCE CENTER BUILD.

AND I MIGHT NOTE ON HERE TOO THERE'S A CORRECTION.

IT'S IT'S CORRECT ON ON THE SCREEN UP THERE.

BUT THERE'S TWO POSITIONS HERE YOU SEE THAT HAVE NUMBER THREE BY THEM.

THERE'S ACTUALLY TWO OF THOSE POSITIONS.

I'LL TALK ABOUT THAT IN JUST A SECOND.

BUT WE ELIMINATED THINGS THAT COUNCIL HAD ASKED US TO ELIMINATE FROM THAT OPTION.

NUMBER ONE, WE CAME BACK AND ADDED THE LPR CAMERAS, OUR TWO NEW POSITION FOR CODE ENFORCEMENT OFFICERS AND VEHICLES FOR THEM, AND $800,000 FOR CONTRACTORS.

SO THIS OPTION NUMBER ONE IS REALLY A COMPREHENSIVE PROGRAM THAT TAKES CARE OF THE ENFORCEMENT PIECE.

I KNOW THERE WAS SOME CONCERN ABOUT THAT ENFORCEMENT AS WELL.

AND WE STARTED IT'S INTERESTING THAT WE STARTED RECEIVING PHONE CALLS ALMOST IMMEDIATELY AT SOLID WASTE RIGHT AFTER WE HAD OUR BUDGET WORKSHOPS.

PEOPLE CALLING AND SAYING, HEY, WE DIDN'T PUT THIS HERE.

AND SO YOU HAVE TO THINK ABOUT THAT AS YOU MOVE FORWARD, ABOUT WHAT'S GOING TO HAPPEN ONCE WE PUT THIS INTO PLACE, IF WE GO WITH SOMETHING THAT HAS AN ENFORCEMENT PIECE WITH IT. I THINK IT IS GOING TO GENERATE A LOT OF CONCERN FROM THE CITIZENS.

IF YOU LOOK AT OPTION NUMBER TWO, THAT'S TWO A, THAT WOULD BE A AND BY THE WAY, THAT FIRST INCREASE ON PAGE NUMBER ONE IS ABOUT A 14% INCREASE TO THE COMMERCIAL RATE.

OPTION TWO A IS ABOUT AN 11.8% INCREASE.

AND THIS WOULD BE NO ENFORCEMENT COMPONENT HERE.

THERE IS A SOLID WASTE SERVICE COMPONENT THAT COMES INTO THIS WHERE WE WOULD HANDLE IT IN-HOUSE, BUT WE COULD ALSO HAVE CONTRACTUAL SERVICES FOR OFF ROUTE REQUESTS.

SO WHAT WE DID IS WE DESIGNED A TEAM, TWO TEAMS THAT WOULD GO THROUGH AND START AT ONE END OF THE CITY AND GO TO THE OTHER, AND THEY WOULD JUST CLEAN EVERY EVERYTHING THAT THEY

[01:00:01]

WE ADDED THE PIECE IN THERE FOR OFF ROUTE REQUESTS FOR CONTRACTORS ACTORS FOR SUCH THINGS AS HOMELESS CAMPS THAT WE RUN INTO WHERE WE HAVE CLEANUP THAT IS A LITTLE BIT BEYOND OUR MEANS. WE ALSO HAVE AREAS THAT IF WE'RE WORKING IN, LET'S JUST SAY QUADRANT NUMBER ONE, AND WE HAVE A BUNCH OF EXPEDITED REQUESTS IN QUADRANT FOUR.

WE NEED TO BE ABLE TO SEND SOMEONE THERE TO TO TAKE CARE OF THOSE REQUESTS.

SO OPTION TWO TAKES CARE OF THAT.

IT HAS A LITTLE BIT OF THE CONTRACTUAL COMPONENT, AS WELL AS AN INTERNAL PROGRAM THAT WE WOULD MAINTAIN FROM HERE FORWARD UNTIL ANOTHER COUNCIL WOULD DECIDE TO DO SOMETHING DIFFERENT. THAT'S ABOUT AN 11.8% INCREASE.

OPTION TWO B IS ABOUT A 630 K INCREASE.

THIS WAS WHAT STAFF WOULD RECOMMEND.

THERE IS NO ENFORCEMENT COMPONENT.

IT EXPANDS OUR CITY SOLID WASTE SERVICES TO CLEAN THE ALLEYS.

AND THERE'S NO CONTRACTORS INVOLVED WITH THIS AT ALL.

IT'S TWO REAR LOADERS, TWO BOOM TRUCKS, TWO FRONT LOADERS WITH CLAMSHELLS AND SIX EQUIPMENT OPERATORS THAT WOULD JUST START FROM ONE END AND WORK TO THE OTHER AND START BACK OVER WHEN THEY GET TO THE OTHER END.

BY THE WAY, ON OUR ON OUR POLYCARP PROGRAM.

WHENEVER WE IMPLEMENT THAT, WHICH IS A WHOLE SEPARATE ITEM TO TALK ABOUT, IT IS GOING TO FREE UP A COUPLE OF REAR LOADERS FOR US THAT WE COULD GO AND TAKE CARE OF EXPEDITED REQUESTS THAT ARE IN OTHER AREAS TO THE CITY.

SO THOSE ARE OUR THREE OPTIONS.

YOU JUST LOOK ON THE LAST PAGE, IT JUST KIND OF SHOWS YOU THE TOTAL DOLLAR AMOUNT OF EACH OF THOSE AND WHAT THOSE INCREASES WOULD LOOK LIKE.

SO I CAN ANSWER ANY QUESTIONS IF YOU HAVE THEM.

BUT AGAIN WE STAFF WOULD RECOMMEND OPTION NUMBER THREE.

I THINK THAT'S THE MOST EFFICIENT FOR US TO DO.

AND IT'S ALSO THE MOST SUSTAINABLE FOR A LONG PERIOD OF TIME.

IF WE PUT THAT SERVICE IN PLACE, WE'RE GOING TO BE ABLE TO MAINTAIN THAT FROM HERE UNTIL WHENEVER.

AND ALSO WE TALKED ABOUT AN EDUCATIONAL COMPONENT IN THAT AS WELL, THAT WE COULD START EDUCATING OUR CITIZENS AS WE'RE PICKING THIS STUFF UP, THAT IT IS BETTER.

WE STILL WANT TO MAINTAIN OUR FRONT YARD COLLECTION PROGRAM AS WELL.

AND THIS WILL PROVIDE US EVERY TIME WE GO TO THESE LOCATIONS THAT IT REPETITIVE, BECAUSE WE'LL BE COLLECTING THE DATA THAT WE COULD SEND THEM SOMETHING SAYING, HEY, MIGHT BE BETTER IF YOU STICK THAT OUT FRONT.

WE CAN COMBINE BOTH THOSE SERVICES TO DO THE WORK.

DONNY, WHAT WAS THE OTHER THING THAT WE WERE GOING TO INCREASE FEES FOR ON SOLID WASTE? POLYCARP. THAT WOULD BE TAKING THE BAGGED ROOT COLLECTIONS THAT ARE LEFT ON OUR HAND COLLECTION ROOTS AND TURNING THOSE INTO POLYCARP ROOTS.

IS THAT INCLUDED IN THE ON THIS RATE INCREASE OR.

IT'S NOT ON THIS ONE. IT'S SEPARATE.

AND WE WE BROKE THAT OUT AND ADDED SOME COMMERCIAL COMPONENT TO THAT AS WELL.

WE DID LIKE A 7525 SPLIT HEAVY ON RESIDENTIAL.

AND THAT'S A GREAT QUESTION JOSH, IF YOU ALL ON YOUR NARRATIVE PAGE THAT SAYS THE BUDGET REVIEW SCHEDULE, IF YOU WANT TO FLIP TO THE VERY BACK ALMOST TOWARDS THE BOTTOM THERE, THAT'S WHERE WE OUTLINE WHAT WE'RE RECOMMENDING ON THE POLYCARP SUPPLEMENTAL REQUEST.

AS A REMINDER, IT WAS $1.7 MILLION.

WE HAD ORIGINALLY REQUESTED THAT IT COME OUT OF THE RESIDENTIAL FUNDING ONLY, BUT THIS RECOMMENDATION IS 75% RESIDENTIAL FUNDING AND 25% COMMERCIAL FUNDING, SO IT WOULD BE A 7% INCREASE ON THE RESIDENTIAL SIDE AND A ALMOST 5.5% INCREASE ON THE COMMERCIAL SIDE.

IT'S ABOUT $1.46 A MONTH ON THE RESIDENTIAL SIDE PER MONTH.

DONNY, I KNOW WHEN WE FIRST DISCUSSED THIS IN THE BUDGET MEETING, YOU WERE PRETTY ADAMANT THAT YOU WANTED THE RESIDENTIAL SHOULD PAY FOR RESIDENTIAL.

WHY THE SWITCH? BECAUSE WE HAD THAT DISCUSSION.

REMEMBER, WE WERE LIKE, WELL, LET'S JUST GET IT ALL IN THE COMMERCIAL BECAUSE WE'RE NOT COMPETITIVE.

AND WHAT YOU BROUGHT UP A GOOD POINT GOING WELL RESIDENTS, THEY'RE THE ONES BENEFITING.

SO MAYBE WE SHOULD KEEP THAT COST THERE.

WHY THE SWITCH. WE THINK WELL THERE WERE PLENTY OF DISCUSSIONS THAT WE HAD ABOUT THIS, AND WE THINK WE HAVE A LITTLE BIT OF ROOM IN THE COMMERCIAL SIDE TO, TO INCREASE THOSE RATES A LITTLE BIT.

AND I'M GLAD YOU BROUGHT THAT UP.

WE DID GO BACK AND LOOK AT AND WE COULDN'T GET THE RATES.

I TRIED TO GET THEM. I DID AS YOU ASKED.

TRIED TO GET THEM FAILED ON THAT.

BUT WHAT I DID IS I WENT TO SOME OTHER CITIES THAT HAVE SIMILAR SERVICES TO WHAT WE HAVE AND EVALUATED SEVERAL OF THOSE.

AND WE ARE WE ARE BEHIND BY ABOUT 14%, 12 TO 14%, DEPENDING ON WHAT YOU LOOK AT IF YOU GET INTO THE METROPLEX.

I MEAN, YOU COULD THEY GET REALLY, REALLY, REALLY HIGH.

BUT WICHITA FALLS, LUBBOCK, PLACES LIKE THAT, WE WERE WE WERE BEHIND ON THOSE RATES.

SO WE JUST FELT LIKE WE HAD A LITTLE BIT OF WIGGLE ROOM THERE TO PUSH SOME OF THAT TO THE COMMERCIAL SIDE.

OKAY. THANK YOU.

AND HOW LONG DOES IT TAKE? YOU KNOW, YOU SAID IN A COUPLE OF THESE OPTIONS TO MOVE FROM ONE SIDE OF THE CITY TO THE OTHER SIDE.

I MEAN, ESTIMATES.

I MEAN, I KNOW IT'S I MEAN, IT'S ALMOST IMPOSSIBLE, BUT I MEAN, IS THAT A 12 MONTH CYCLE? IS THAT A 24 MONTHS? LIKE, HOW LONG WOULD IT TAKE THEM TO GET THROUGH THE WHOLE CITY IF WE HAD THIS IMPLEMENTED? THAT'S A GREAT QUESTION. AND WE THINK THAT WE CAN PROBABLY DO IT 2 TO 3 TIMES PER YEAR.

OH, WOW. HOWEVER, AGAIN, THAT JUST DEPENDS ON HOW MUCH REGENERATION WE HAVE.

YOU KNOW, WE SEE THAT THERE ARE SEVERAL, I PROBABLY SAY ABOUT FIVE AREAS THAT WOULD REALLY BE HEAVY ON THOSE LOADS THAT WE WOULD SPEND THE MAJORITY OF THE TIME IN.

IT DEPENDS ON HOW MUCH REGENERATION WE HAVE AND HOW QUICKLY WE CAN MOVE THAT.

[01:05:02]

SO THAT'S TWO HAND OPERATORS THAT ARE PICKING THIS STUFF UP AND PUT IT IN THE WAY THAT WE BUILT THIS IS THAT WE HAVE SEVERAL PIECES PLATOONING UP AND DOWN THOSE ALLEYS THAT ARE WORKING TOGETHER, THE HAND COLLECTION, PEOPLE ARE PULLING IT OUT AS QUICKLY AS THEY CAN IF IT'S TOO HEAVY FOR THEM.

WE HAVE A PIECE OF EQUIPMENT THAT CAN DRAG IT OUT.

WE HAVE A KNUCKLEBOOM TRUCK THAT CAN GRAB IT AND GO.

WE THINK WITH THAT MODEL AND I'VE RUN THIS MODEL BEFORE IN A DIFFERENT CITY AND IT WORKS REALLY WELL.

YOU CAN MOVE THROUGH THOSE ALLEYS PRETTY QUICK.

SO WE TOOK THE TIME FRAME THAT WE SPENT DURING THE PILOT, HOW MUCH IT TOOK TO DO EACH OF THOSE AND PROJECTED THAT OUT, AND MAYBE WE CAN DO IT.

I THINK COMFORTABLY, I CAN SAY WE COULD DO IT TWICE.

WE'RE HOPING WE WOULD TARGET THAT.

WE'D BE ABLE TO HIT EVERYTHING THREE TIMES A YEAR.

IS THIS BASED ON REPORTING FROM OR IS IT JUST WE'RE UP AND DOWN EVERY ALLEY NO MATTER WHAT? OR IS IT BASED ON REPORTING FROM OUR OUR TRASH PICKUP GUYS OR.

I MEAN, WHAT WE WOULD START AT ONE END AND GO TO THE OTHER FOCUSING ON THOSE.

YES. EVERY ALLEY.

WOW. EVERY ALLEY. AND I THINK WE'RE GOING TO FIND THROUGH TIME THAT THERE'S GOING TO BE PLACES THAT WE'RE NOT GOING TO HAVE TO VISIT AND OTHERS WE'RE GOING TO HAVE TO VISIT MORE.

SO. OKAY. BUT I THINK THAT YOU WOULD IF YOU'RE GOING TO PROVIDE THE SERVICE AND YOU'RE GOING TO CHARGE THE RATE, I THINK YOU HAVE TO HAVE TO HAVE TO PROVIDE IT FOR THE ENTIRE CITY. GOOD LORD.

JUST SO I'M UNDERSTANDING THIS.

YES. IT'S EITHER FEE INCREASE OR MONEY OUT OF OUR REMAINING ON ONGOING WORKING BUDGET.

YES, SIR. THAT'S CORRECT.

AND I THINK WE WERE DEFINITELY ON THE CARDS.

WE WERE LOOKING AT TRYING TO PAY THAT OUT OF OUR WORKING BUDGET.

SO DO YOU HAVE THAT BUILT INTO YOUR FEE INCREASE ON THE POLY CARTS? WE HAD ORIGINALLY PROPOSED THAT AS A FULLY RESIDENTIAL INCREASE.

AND THEN I THINK COUNCIL SAID COME BACK AND WELL, AND THEN IT WAS SAID, WELL, WHAT ABOUT ONLY COMMERCIAL AND THEN COME BACK WITH SOME OTHER OPTIONS.

AND THAT'S WHERE WE'RE MAKING A RECOMMENDATION ON A 7525.

SO 75 FROM COMMERCIAL AND 25 FROM 75 FROM RESIDENTIAL.

I'M SORRY, 75 FROM RESIDENTIAL AND 25 FROM COMMERCIAL.

SO I'M NOT SEEING THE DOLLAR 64 INCREASE ON THIS NARRATIVE FOR THE BULK WASTE.

YEAH, I'M JUST PULLING UP OUR OUR RATE CALCULATIONS THAT WE DID.

AND THAT WOULD JUST BE FOR YOUR STANDARD ONE FAMILY RESIDENT.

THAT'S WHERE THE DOLLAR 46 OR 1752 A YEAR CAME FROM.

I GUESS WHAT I'M SEEING IS THE POLY CART SUPPLEMENTAL IS 1.7.

AND THAT'S IN THE TWO INCREASES 7525 RESIDENTIAL, COMMERCIAL.

BUT THEN THIS MILLION DOLLARS IF WE CHOSE TO DO THIS.

IS THAT COMING OUT OF OUR WORKING BUDGET? DO YOU HAVE THAT ALREADY TAKEN OUT OF OUR WORKING BUDGET? WE TOOK IT OUT OF YOUR WORKING BUDGET THERE, ON YOUR SCREEN THERE.

WE ZEROED IT OUT.

YEAH. SO COUNCILMAN CRAFT.

YOU'RE YOU'RE SAYING IT RIGHT? THEY'VE GOT THEM SPLIT SEPARATE.

SO PART OF THE WORKING BUDGET.

BUT THEN IF YOU WANTED TO TAKE NO INCREASES TO THE POLYCARP RECOMMENDATION, YOU COULD LOOK AT OTHER FUNDING.

ARE YOU THINKING NO INCREASE TO THE NO, I WAS NO, I WAS JUST ASKING THE QUESTION BECAUSE THEY HAD ON THEIR LEGAL DUMPING PROGRAM ON THE SPREADSHEET.

IT'S EITHER WE FUNDED OUT OF OUR WORKING BUDGET, OR WE INCORPORATE HIS RATE INCREASE TO FUND THAT.

THAT'S WHAT I WAS JUST VERIFYING.

YEAH. THE CURRENT PROPOSAL FROM STAFF IS ALL RATE INCREASE.

THERE'S NOT ANYTHING THAT YOU PRESENTED TODAY WITH WITH A WORKING BUDGET THAT'S AN OPTION.

BUT AGAIN, WE'VE WE'VE ZEROED THAT OUT.

EVERYTHING YOU HAVE FROM THE POLYCARP TO 75.4 AND THEN THE THEN THE, THE THIS PROGRAM HERE IS OPTION TWO A WHICH WE DON'T SHOW THAT WE DON'T SHOW THAT AS AN AMOUNT ON THIS ON THE SHEET HERE.

RIGHT. BUT THAT'S THAT'S OUR OPTIONS.

THERE WOULD BE A RATE INCREASE FOR THAT OPTION TWO A OR TWO B OR TWO A OR ONE.

SO CAN I ASK THAT WOULD BE ON THE COMMERCIAL SIDE.

CAN I ASK WHAT THE CURRENT ENFORCEMENT IS FOR ILLEGAL DUMPING, HOW MANY POSITIONS AND WHAT'S OUR PROCESS ALREADY? WE DON'T HAVE POSITIONS ASSIGNED TO THAT.

SO OUR CODE ENFORCEMENT, JUST THE CITY MARSHAL'S OFFICE, I WOULD SAY, AS NEEDED.

RIGHT. CITY MARSHAL DOESN'T PUT A TAG ON THE DOOR.

HEY, YOU GOT TO HAUL THIS WITHIN 30 DAYS, OR ELSE WE'LL HAVE TO HAUL IT FOR YOU.

NO, SIR. OKAY. AND THAT'S GENERALLY FROM CONVERSATIONS WITH PREVIOUS COUNSEL OR, YOU KNOW, IT'S REALLY KIND OF TYPICAL IN ANY CITY THAT IF YOU DIDN'T DIDN'T SEE HIM PUT IT THERE, IT'S REALLY DIFFICULT TO ENFORCE IF IT'S IN THEIR YARD.

THAT'S ONE THING. BUT EVEN IN THE ALLEYS, IT'S IT IS KIND OF HARD TO PROVE WHO DID THAT WITHOUT PROOF, WITHOUT CAMERAS OR WITNESSES FILING STATEMENTS.

AND IF WE WERE TO ENFORCE, THEN YOU WOULD BE LOOKING AT, BASED ON WHAT I'D HEARD PREVIOUS FROM COUNSEL WAS YOU KNOW, WE GO THROUGH THE ALLEY, WE HAUL IT, WE NOTICE THEM. HEY, WE HAULED IT THIS TIME.

NO. NO CONSEQUENCE.

BUT THEN THE TRASH IMMEDIATELY ENDS UP BACK THERE AGAIN.

THEN HERE'S THE BILL.

AND THEN WE WOULD POTENTIALLY LOOK AT A FORGIVENESS OF, OKAY, THIS COULD BE FORGIVEN BECAUSE IT'S OBVIOUSLY NOT YOURS.

THAT'S ALL CONSTRUCTION DEBRIS OR WHATEVER, OR IT'S NOT FORGIVEN.

AND THEN WE HAVE KIND OF THE SAME THING.

WE DEAL WITH THE WEED LIENS, WHICH IS REALLY DIFFICULT IN BULK WAYS BECAUSE YOU BECOME VERY SELECTIVE IN YOUR ENFORCEMENT.

[01:10:09]

YOU EITHER HAVE TO ENFORCE IT ON THAT PROPERTY OR YOU DON'T.

SO IT BECOMES A MAJOR ADMINISTRATIVE COUNCIL FORGIVENESS WAIVER PROCESS.

AND BECAUSE ONE THING IT'S ALSO IT'S KIND OF IT'S KIND OF HEAVY AGAINST THOSE WHO HAVEN'T HAD THE DUMPSTER BEHIND THEIR PROPERTY.

LIKE FOR INSTANCE, MY PROPERTY, THE DUMPSTER HAPPENS TO BE BEHIND MY PROPERTY, WHEREAS MY NEIGHBOR IS NOT BEHIND THEIRS.

AND SO SO IT ENDS UP KIND OF THOSE END UP BEING THE TARGETS AS THIS IS BEHIND YOUR PROPERTY, BECAUSE THE DUMPS USUALLY APPEAR RIGHT NEXT TO THE DUMPSTER.

IT'S INTERESTING THAT YOU SAID THAT WE DID HAVE SOME CALLS THAT CAME IN TO SOLID WASTE THAT SAID, IF YOU'RE GOING TO DO THIS, WE WANT OUR DUMPSTER MOVED.

WE DON'T WANT BEHIND OUR HOUSE ANYMORE.

SO THAT WAS SOME OF THE FEEDBACK WE RECEIVED.

OKAY. SO THE THE ISSUE WOULD BE HERE.

DO WE ENCOURAGE ILLEGAL DUMPING BY CLEANING THESE ALLEYS.

AND SO LIKE IS THE THOUGHT PROCESS WITH ZERO ENFORCEMENT AND ADDITIONAL FUNDING.

ALL WE'RE DOING IS TEACHING OUR OUR CITIZENS THAT WE, YOU KNOW, WE'RE YOUR CLEANING LADY.

I THINK OUR EDUCATION PIECE WOULD BE THAT WE HAVE A FRONT YARD COLLECTION PROGRAM THAT WE WOULD RATHER USE.

YOU KNOW, WE HAD 23,000 OF THOSE COLLECTIONS LAST YEAR, AND WE WOULD RATHER POINT EVERYBODY TO THAT.

BUT IF IT'S IN THE ALLEY, WE'RE GOING TO CLEAN IT UP.

I THINK PART OF THE THING TOO IS, OH, THEY'RE GOING TO PAY FOR IT ANYWAYS.

AND SO IT SINCE THEY'RE DOING THIS, THEY'RE GOING TO BE CHARGED TO THE RATES BECAUSE RIGHT NOW IT'S HAPPENING RIGHT NOW.

AND SO I DON'T THERE IS AN ARGUMENT.

YOU SAID IT COULD INCREASE IT.

BUT AT THE SAME TIME IT'S ALREADY HAPPENING.

SO IT'S EITHER IT'S EITHER WE CLEAN IT UP OR WE LEAVE IT AND RIGHT, WE'RE NOT GOING TO LEAVE IT.

QUESTION IS, DO WE HAUL IT AND THEN KIND OF GIVE THE WARNING AND THEN TRY ENFORCEMENT AND WHAT YOU'LL, WHAT YOU'LL PROBABLY SEE IS YOU KNOW, MY GUESS WOULD BE WELL OVER HALF OF A LOT OF THIS IS IS KIND OF YOUR SLUMLORD POPULATION THAT THEY THEY HAVE A RENTAL PROPERTY.

SOMEBODY LEAVES THEM A MESS, SO THEY JUST DRAG IT OUT AND LEAVE IT IN THE BACK.

AND THAT THESE ARE CHRONIC.

THAT IT'S NOT THE THE SWEET OLDER LADY THAT LIVES BY HERSELF, THAT HAULED THE MATTRESS OUT TO THE ALLEY AND THREW IT OVER HER FENCE AND DIDN'T CARE TO GET IT HAULED OFF.

THAT'S NOT HER.

SO I THINK THAT A CERTAIN LEVEL OF ENFORCEMENT ON, ON YOU KNOW, KIND OF OUR, OUR LANDLORD POPULATION MIGHT BE THE NEXT STEP IF WE CONTINUE TO SEE THIS.

SO I THINK IF COUNCIL WAS TO LOOK AT THIS AND SAY, LET'S GO WITH STAFF'S RECOMMENDATION, ROCK THROUGH THIS FOR ANOTHER YEAR, LET'S SEE IF IT'LL LEVEL OFF WITH A GREATER LEVEL OF CLEANLINESS AROUND THE CITY.

THEN WE'RE DOING OKAY.

BUT IF IT GETS WORSE, THEN I THINK WE LEAVE OURSELVES AS A COUNCIL.

NO, NO OTHER OPTION OTHER THAN TO ENFORCE.

IF I MIGHT OFFER SOME HISTORICAL I HAD A CONVERSATION WITH AN EMPLOYEE OF SOLID WASTE FOR 30 YEARS.

HE'S RETIRED WHO RAN THIS PROGRAM BEFORE.

AND HE SAID IT WAS VERY SUCCESSFUL THAT THEY JUST DIDN'T HAVE THE BLIGHT THAT THEY HAVE IN THE ALLEYS NOW.

AND THAT'S BASICALLY WHAT THEY DID, IS THEY RAN THE ALLEYS AND PICKED IT ALL UP.

SO YOU KNOW, I WANTED TO KIND OF PICK HIS BRAIN A LITTLE BIT TO SEE WHAT KIND OF SUCCESS THEY HAD BEFORE.

AND IT WAS IT WAS IT WAS GOOD.

YOU KNOW, MAYBE THERE'S A WAY FOR THE REPEAT OFFENDERS THAT WE COME UP WITH SOME TYPE OF FLIER TO PUT ON THERE THAT SAID, LISTEN, YOU KNOW, AND REITERATE THAT THE BEST CHOICE IS TO BRING IT OUT FRONT.

WE HAVE A PROGRAM ON THE REPEAT OFFENDERS.

I MEAN, BECAUSE WE DON'T HAVE THE TIME OR THE PERSONNEL TO DO THIS FOR EVERYBODY, BUT THE ONE THAT'S REPEAT, MAYBE WE DO GO PUT DOOR KNOCKERS UP AND DOWN BOTH SIDES OF THAT STREET TO SAY WE DID THIS.

IT'S ILLEGAL.

YOU KNOW, PLEASE JUST KEEP IN MIND OUR PROGRAMS THAT WE DO HAVE AVAILABLE THAT WE WILL DO THIS.

AND I THINK MAYBE ALONG THE LINES OF WHAT WE WERE THINKING, AND I THINK OUR ORDINANCE WOULD STILL ALLOW IT IF WE SAW SOMETHING THAT WAS REPETITIVE AND HORRENDOUS THAT WE COULD TAKE CARE OF IT VIA THE ORDINANCE.

THIS THIS IS UNDER THE ASSUMPTION THAT IF WE IF WE'RE ABLE TO IDENTIFY PRETTY REASONABLY, WE THINK SOMEONE IS THE PERSON THAT FALLS RIGHT BACK INTO CITY MARSHAL'S OFFICE CURRENTLY.

AND SO IF WE A LOT OF THIS IS JUST WE JUST CAN'T TELL.

AND BUT IF WE HAVE A FEELING THAT THIS IS COMING FROM THIS PERSON THAT FALLS RIGHT BACK INTO CURRENT CITY MARSHAL'S OFFICE.

OKAY. WHAT ARE WE DOING WITH THE ALLEYS THAT WE'VE REMOVED THE DUMPSTERS IN THAT THEY'RE DIRT ALLEYS.

I MEAN, ARE WE DO WE DRIVE DOWN THOSE THINGS? DO WE? I MEAN, BECAUSE NOW THAT WE'VE THEY'VE BECOME A PLACE OF JUST NO MAN'S LAND, ARE WE EVER TAKING A LOOK AT THOSE? LIKE WHAT? WHAT ARE WE DOING WITH THOSE? ARE YOU TALKING ABOUT THE ALLEYS THAT IN 17 WERE KIND OF REMOVED TO WHERE WE REPLACED THEM WITH POLY CARTS, BUT WE STILL HAVE A DIRT ALLEY BACK THERE.

SO WE'VE GOT WEEDS. WE'VE GOT POSSIBLY TRASH.

WHAT ARE WE DOING WITH THOSE? ANYTHING? WELL, THE MARSHAL'S OFFICE WOULD STILL BE INSPECTING ANY COMPLAINTS THAT CAME THROUGH ON THOSE LOCATIONS, BUT SOME OF THOSE WERE DEDICATED EASEMENTS THAT YOU CAN'T EVEN GET A VEHICLE DOWN.

BUT I MEAN, THEY CAN I MEAN, I KNOW SEVERAL I HAVE TO GO TAKE PICTURES OF OCCASIONALLY OF BACK OF HOUSES AND THAT KIND OF DEAL.

YEAH. I'M JUST CURIOUS WHAT WE DO WITH THOSE JUST PROBABLY WANT TO SPEAK ABOUT THE UTILITY SIDE OF IT, TOO.

SO DONNY HIT THE NAIL ON THE HEAD.

MOST OF THOSE ARE DEDICATED EASEMENTS, NOT DEDICATED ALLEYS.

[01:15:02]

RIGHT. AND WHILE YOU COULD DRIVE IN THEM, THEY WEREN'T SIZED CORRECTLY FOR THAT EQUIPMENT.

THEY'RE NOT SIZED FOR THE EQUIPMENT FOR MAIN BREAK REPAIRS AND THOSE.

BUT MOST OF THOSE ARE DEDICATED EASEMENTS.

AND THERE ARE TWO BIG SUBDIVISIONS THAT IT'S NOT DEDICATED TO EASEMENT OR AT ALL.

SO THIS WOULD FALL INTO THE THE CITY MARSHALL REALM OF WEED AND OTHER CONTROLS.

I WOULD I WOULD SAY, TOO, THAT IF IT'S A DEDICATED EASEMENT, IT'S PART OF THEIR BACKYARD.

AND SO SO WE ENFORCE FROM THE RIGHT OF WAYS.

AND SO IF IT'S A RIGHT OF WAY, THEN THAT'S ENFORCEMENT TERRITORY BECAUSE THAT'S PART OF THE IT'S UP AGAINST THE RIGHT OF WAY.

BUT IF IT'S AN EASEMENT IT'S ACTUALLY TECHNICALLY THEIR BACKYARD EXTENSION OF THAT.

AM I SAYING THAT RIGHT DONNIE.

YEAH I MEAN AND WE STILL WE WOULD INVEST.

THE ANSWER IS YES WE, WE WOULD, WE WOULD GO.

LET ME MAKE IT SHORT. YES WE WOULD STILL AND IT'S COMPLAINT DRIVEN FOR ITEMS LIKE THAT.

SO THE ANSWER IS YES WE WOULD STILL INVESTIGATE THOSE THINGS.

OKAY GREAT.

THANK YOU. SO WHAT WERE OUR RATE INCREASES LAST YEAR PERCENTAGE WISE TO RESIDENTIAL AND COMMERCIAL.

YOU GOT ME ON THAT ONE.

GIVE ME JUST A SECOND AND I'LL LOOK THAT UP AND GET THAT BECAUSE.

BECAUSE LAST YEAR WE WERE WE INCREASED THE RESIDENTIAL TO PAY FOR THE DUMPSTER PROGRAM.

CORRECT? CORRECT. I THINK SO, YEAH.

AND THEN WE INCREASE COMMERCIAL.

WAS THAT TO PAY FOR ANYTHING SPECIFICALLY SUPPLEMENT THE DUMPSTER PROGRAM OR JUST I WISHED I HAD THAT DATA IN FRONT OF ME.

I WOULD RATHER WAIT TILL LAURA HAS IT UP ON HERS.

I WASN'T HERE DURING THE BUDGET PROCESS LAST YEAR, SO IT'S.

WELL, MY THINKING IS JUST GOING BACK AND LOOKING AT THIS BECAUSE I DON'T REMEMBER WHAT THE RESIDENTIAL INCREASE WAS, BUT, YOU KNOW, LOOKING AT HOW WE'RE DIVIDING THIS UP.

I MEAN, IF THERE'S STILL MORE ELASTICITY IN WHAT WE'RE CHARGING IN THE COMMERCIAL, YOU KNOW, IS THERE ENOUGH THERE TO BE ABLE TO LET THEM PAY FOR MORE OF THIS AND NOT HAVE ANOTHER WHATEVER INCREASE AGAIN, TO RESIDENTIAL CUSTOMERS FOR THIS PROGRAM? AND I MAY BE INCORRECT, BUT I THINK THAT THE DUMPSTER INCREASE WAS ON THE COMMERCIAL SIDE LAST YEAR I THINK.

SO I'LL HAVE IT IN A SECOND.

AND THEN ON THE ON THE MONEY TO PAY FOR THE ILLEGAL DUMPING.

DUMPING THAT'S COMING FROM WHERE AGAIN, THE I GUESS WHICHEVER PLAN WE CHOOSE TO FUND THAT IS ALSO FACTORED INTO A RATE INCREASE.

CORRECT. AND WE HAD IT RECOMMENDED TO BE ON THE COMMERCIAL SIDE.

SO THE COMMERCIAL WOULD BE 5.4.

THAT'S JUST FOR THE POLY CART.

SO. SO I JUST UNDERSTOOD THAT DIFFERENTLY, THAT THE WORKING BUDGET THAT COUNCIL HAD WOULD FUND THE ILLEGAL DUMPING AND NO RATE INCREASES FUNDING.

THAT NO RATE INCREASE IS JUST THE POLY CARTS.

NO. CURRENTLY THE WAY THAT THE WAY THAT WE'VE WE'VE PROPOSED IT IS ON ON YOUR ON YOUR LANDSCAPE SHEET THERE.

WE CURRENTLY SHOW THAT THE LEGAL DUMPING HALFWAY DOWN IS ZERO FOR IS OUR PROPOSAL RIGHT NOW.

SO THAT WOULD BE A RATE INCREASE NOT PART OF YOUR WORKING BUDGET.

AND COUNCIL MEMBER SIMPSON IN THE CURRENT YEAR, WE INCREASE SOLID WASTE RATES BY 8% TO THE RESIDENTIAL CUSTOMERS, AND THAT WAS ON AVERAGE ABOUT $1.07 PER MONTH.

AND THAT WAS FOR THE DEDICATED DUMPSTER REPLACEMENT PROGRAM.

AND THEN WHEN DID WE INCREASE WHAT WE INCREASED COMMERCIAL LAST YEAR.

WE DID NOT INCREASE COMMERCIAL.

LAST YEAR IT WAS JUST ON THE RESIDENTIAL SIDE.

YEAH, WE HAD SAID WE WERE GOING TO FOR THE RESIDENTIAL.

THERE WERE RESIDENTIAL DUMPSTERS.

WE WEREN'T PUTTING ANYTHING ON THE COMMERCIAL SIDE, I BELIEVE, SO THAT THE USERS ARE PAYING FOR THOSE AND IT WAS NEEDED.

YEAH. AND IT WAS A LONG TERM LOOK, IF WE DIDN'T DO IT, I THINK WE WERE GOING TO BE REALLY FAR BEHIND.

THIS TIME, THIS GO ROUND, YOU SAID WE'RE WE'RE MOVING COMMERCIAL UP 5%.

WE'RE STILL, ON AVERAGE, 14, 15% BELOW MARKET.

IT'S 12 TO 14.

YOU WOULD BE 10% BELOW MARKET IF YOU INCREASE IT 5%.

PRETTY CLOSE. YEAH. AND AND THOSE HAVE SO MANY VARIABLES TO IT THAT IT'S REALLY HARD TO COMPARE APPLES TO APPLES WITH RATES WITH OTHER CITIES.

BUT SO JUST TO CLARIFY, THE BULK WASTE IS ON THE COMMERCIAL SIDE.

THE POLYCARP PROGRAM IS 75% RESIDENTIAL, 25% COMMERCIAL.

YEAH. SO REAL QUICK, COUNCILOR, JUST IF YOU WERE TO CHOOSE OPTION, SAY TWO A WHICH IS WHICH? I'M SORRY TWO B. GOODNESS.

OPTION TWO B. FROM THIS OR OPTION THREE ON HERE IT WOULD BE $630,000 MORE OR 8%.

YOU ADD THAT TO THE 5.4% FOR THE FOR THE COMMERCIAL FOR THE POLY CARDS.

AND SO IT WOULD BE A PLUS FOUR B, ABOUT 12.4% OR 13.4%.

SO YOU'RE INCREASING THAT COMMERCIAL RATE UP TO BASICALLY MARKET.

OR WE'RE STILL BELOW CLOSER CLOSER BUT STILL BELOW OKAY.

[01:20:02]

SO 13.4 FOR COMMERCIAL FOR BOTH PROGRAMS. MAYOR AND COUNCIL I'D RECOMMEND WE KEEP GOING THROUGH THIS.

TRY TO PUSH ALL THE WAY THROUGH THE REST OF THESE ITEMS TO AT LEAST HEAR THEM.

I'M NOT SURE. I KNOW WE'RE WORKING AT 2:00 EXEC AND THEN 3:00 COUNCIL.

WE'D LIKE TO GIVE YOU AS MUCH DIRECTION AS WE COULD HERE TODAY.

AND I KNOW LUNCH IS BACK THERE, SO IT IS 1220.

DO WE WANT TO TRY TO EAT AND TALK AT THE SAME TIME? YES. OR DO DO WE THINK WE CAN GET DONE.

DO WE THINK WE CAN GET DONE AT 130 AND TAKE A 30 MINUTE LUNCH BREAK? CAN CAN YOU BE DONE IN AN HOUR IF WE KEEP PUSHING OR DO WE NEED TO PUSH ALL THE WAY UP TO TWO? WELL, I CAN BE DONE EASILY IN AN HOUR, BUT IF IT'S WHETHER Y'ALL CAN MAKE DECISIONS AND GIVE US DIRECTION, I CAN CERTAINLY.

I MEAN, IF Y'ALL WANT TO EAT WHILE WE'RE WORKING, I CAN CERTAINLY GO THROUGH MINE WHILE Y'ALL ARE EATING.

IF Y'ALL IF THAT WORKS.

JUST TO MAKE SURE WE HAVE TIME, WE COULD BREAK FOR MAYBE TEN MINUTES.

Y'ALL COULD GRAB. I DON'T KNOW IF Y'ALL ARE COMFORTABLE WITH THAT, BUT YOU COULD EAT WHILE LISTENING.

ANYBODY WANT TO DIRECT THAT? I KNOW IT CAN BE A LONG DAY IN HERE IF WE IF WE END UP SKIPPING LUNCH FOR EVERYONE.

SO WE GOOD TO STOP FOR A SECOND.

YEAH. LET'S STOP.

OKAY. WHY DON'T WE RECESS, GRAB FOOD, EVERYBODY HEAD OUT HERE AS SOON AS WE CAN.

AND THEN DO WE HAVE ENOUGH TO FEED EVERYONE OR DO WE NOT? WE'VE GOT LUNCH FOR 2020, SO WE'LL I WON'T I WON'T GIVE AWAY FOOD BECAUSE LAST TIME I THINK I GAVE DONS AWAY AND HE DIDN'T GET TO EAT.

SO WE'LL WE'LL COME BACK IN TEN, PLEASE.

RECESS. FREE TO CHEW AND TALK AND YOU KNOW, TAKE A DRINK AND EVERYTHING ELSE AS WE HAVE A A VERY PROFESSIONAL CASUAL MEETING.

LAURA, WILL YOU TELL COUNCIL AGAIN THE TIME FRAME THAT YOU NEED TO WORK UNDER AND WHAT YOU WOULD LIKE IN DIRECTION FROM US, AND THEN THAT WAY, IF WE DON'T GET ALL THE WAY THROUGH THIS BY 2:00, WE WE KNOW WHERE WE'RE GOING NEXT.

YES, MAYOR, THAT'S A GREAT IDEA.

SO YOU WILL HAVE TWO UPCOMING VOTES.

WELL, I SAY THAT AT TWO DIFFERENT COUNCIL MEETINGS, THERE'S GOING TO BE ABOUT FIVE VOTES, BUT YOU WILL HAVE TO DO A FIRST AND SECOND READING ON YOUR BUDGET AND A FIRST AND SECOND READING ON YOUR PROPERTY TAX RATE.

THOSE WILL BE DONE ON SEPTEMBER 10TH AND SEPTEMBER 17TH.

ON SEPTEMBER 17TH, WE WILL HAVE PUBLIC HEARINGS FOR BOTH THE PROPERTY TAX AND THE PROPERTY TAX RATE AND THE BUDGET.

SO WE'LL INVITE MEMBERS OF THE COMMUNITY TO SPEAK AT THAT POINT IN TIME AS WELL.

I WILL BE POSTING NOTICES ABOUT THOSE PUBLIC HEARINGS IN THE NEWSPAPER PROBABLY MID NEXT WEEK.

AND ON THE CITY'S WEBSITE, THAT'S TO MEET STATE LAW REQUIREMENTS.

THOSE POSTINGS ARE GOING TO BE BASED ON THE ONLY VOTE YOU ALL HAVE DONE SO FAR, WHICH IS THE NOT TO EXCEED TAX RATE.

AND THAT WAS THE VOTER APPROVAL TAX RATE OF THAT 38.72 $0.03, WHICH WAS A LITTLE HIGHER THAN WHAT WE HAD TALKED ABOUT AT BUDGET REVIEW.

SO THE NOTICES WILL BE BASED ON THAT TAX RATE, BECAUSE THAT'S THE HIGHEST Y'ALL CAN GO UP TO.

BUT THEN ON SEPTEMBER 10TH AND ON SEPTEMBER 17TH, YOU'LL DO YOUR VOTING ON YOUR BUDGET AND YOUR TAX RATE.

AND YOU CAN GO AS HIGH AS THAT VOTER APPROVAL TAX RATE OR ANYTHING BELOW THAT, WHICH WILL BE JUST FINE.

SO WE ARE GOING TO NEED SOME DIRECTION.

HONESTLY, THE ITEMS ON THE THE SPREADSHEET THAT WAS HANDED OUT AND THE ITEMS WHICH IS IN CONJUNCTION WITH THE ITEMS THAT ARE ON THIS NARRATIVE PAGE, THAT'S REALLY WHAT WE'RE LOOKING FOR, SOME GUIDANCE FROM COUNCIL ON.

IF WE DON'T MAKE IT ALL THE WAY THROUGH THIS, WE'LL NEED SOME GUIDANCE.

WE WILL PROBABLY BRING THE BUDGET AS RECOMMENDED.

BUT IF YOU ALL WANT TO MAKE A CHANGE, YOU HAVE ACTUALLY UP UNTIL THE 17TH TO MAKE A CHANGE, YOU WILL JUST HAVE TO MAKE SURE YOU MAKE THAT CHANGE PRIOR TO THAT FINAL VOTE.

DOES THAT HELP? I'M SORRY.

I WOULD SAY WE REALLY NEED THE MEET AND CONFER DIRECTION, BECAUSE CONCURRENTLY, WE'RE GOING TO BE GOING WITH THE UNIONS SO THEY CAN DO THEIR VOTE ON A TENTATIVE AGREEMENT FOR YOU ALL TO VOTE ON IN SEPTEMBER.

SO. OKAY.

ALL RIGHT. ARE WE READY TO KEEP MOVING? WOULD YOU MIND TAKING US THROUGH THE LIST? WE'LL WE'LL HOLD OUR QUESTIONS.

OKAY. LET'S SEE IF WE CAN GET ALL THE WAY THROUGH THE LIST, GO BACK AND HIT ANY QUESTIONS COUNCIL WOULD HAVE, AND THEN STEP BACK OVER TO MEET AND CONFER.

OKAY, THAT SOUNDS GREAT.

AND COUNCIL, IF Y'ALL WANT.

I MEAN, I'M OPEN TO QUESTIONS AS WE GO ALONG OR IF YOU WANT TO JOT THEM DOWN AND WE CAN CIRCLE BACK TO THEM, THAT WILL BE JUST FINE AS WELL.

SO ON YOUR SPREADSHEET WE HAD JUST COVERED THE ILLEGAL DUMPING PROGRAM.

THE NEXT ITEM DOWN IS YOUR DRAINAGE FUNDING.

[01:25:02]

THAT WAS 1.3 MILLION, AND THAT'S COMING IN THE FORM OF PAYMENT IN LIEU OF PROPERTY TAX PAYMENT IN LIEU OF FRANCHISE FEE AND INTEREST INCOME, UNRESTRICTED INTEREST INCOME FROM YOUR DRAINAGE FUND.

WE HAVE GONE BACK AND TRIPLE CHECKED THOSE NUMBERS AND THAT IS GOOD.

SO WE'RE CONFIRMING THAT 1.3 COULD BE ADDED BACK INTO YOUR WORKING BUDGET.

THE NEXT ITEM DOWN IS A.

WE WERE ASKED TO ELIMINATE UP TO 1.1 MILLION RELATED TO UNFILLED POSITIONS I HANDED OUT WHILE Y'ALL WERE GRABBING FOOD, A REPORT THAT SAYS ACTUAL VERSUS FILLED POSITION UP AT THE TOP.

AND THIS IS A A LISTING OF OUR CURRENT YEAR BUDGETED POSITIONS VERSUS WHAT WAS FILLED AS OF AUGUST 22ND, 2024. THERE IS A COUNT VARIANCE AND A PERCENT VARIANCE.

SO I JUST REAL QUICKLY WANT TO GO THROUGH.

WE HAVE IDENTIFIED 1.1 MILLION IN SAVINGS THAT WE WOULD RECOMMEND IN ELIMINATION OF SOME POSITIONS.

WE'VE TALKED ABOUT A FEW OF THESE BEFORE.

BUT THIS IS THE RECOMMENDATION COMING FROM STAFF.

AND I THINK WE'LL JUST NEED CONFIRMATION FROM COUNCIL IF THEY'RE GOOD WITH THE $1.1 MILLION NUMBER.

SO WE'RE LOOKING WE WOULD LOOK TO ELIMINATE TWO TELECOMS SHIFT SUPERVISORS IN EAC.

THOSE ARE NOT CURRENTLY FILLED.

THEY DON'T KNOW THAT THEY WILL BE FILLED IN THIS NEXT YEAR.

THAT'S SOMETHING THAT HAS TO BE THEY HAVE TO TRAIN PEOPLE INTO.

WE WOULD ALSO RECOMMEND ELIMINATING ONE EMERGENCY COMMUNICATION SPECIALIST IN EAC.

THEY ARE HEAVILY UNDERSTAFFED IN THAT AREA AT THIS POINT RIGHT NOW.

BUT WE WOULD LOOK AT ADDING A THOSE POSITIONS BACK IN FUTURE YEARS IF THEY GOT TO A POINT WHERE THEY WERE FULLY STAFFED IN THOSE AREAS.

WE HAD DISCUSSED PREVIOUSLY ELIMINATING TWO DEPUTY COURT CLERKS IN OUR MUNICIPAL COURT DEPARTMENT.

THAT IS STILL CONFIRMED.

WE WOULD MOVE FORWARD WITH THAT.

IN OUR CAPITAL PROJECTS AND DEVELOPMENT ENGINEERING DEPARTMENT, IT IS ACTUALLY SPLIT BETWEEN OUR GENERAL FUND AND OUR WATER AND SEWER FUND.

AND SO WE'RE WE'RE ACTUALLY RECOMMENDING ELIMINATING THREE POSITIONS THAT COULD POTENTIALLY BE OUTSOURCED AS NEEDED FOR PROJECT WORK, AND THAT COST WOULD BE CHARGED TO THE PROJECT INSTEAD OF TO THE GENERAL FUND.

AND POTENTIALLY SOME TO THE WATER AND SEWER FUND.

AND SO THERE'S SAVINGS ON THAT AREA IF WE THOSE ARE ALL VACANT POSITIONS RIGHT NOW.

IF THEY GO, WE GOT TO A POINT.

WE HAD SOME CAPACITY ISSUES AND WE COULD HIRE THOSE IN.

WE WE WOULD LOOK AT BRINGING THOSE BACK IN A FUTURE BUDGET.

BUT IF WE NEEDED CAPACITY IN THIS UPCOMING YEAR, WE WOULD RECOMMEND OUTSOURCING THOSE SERVICES AND CHARGING THEM DIRECTLY TO THE CAPITAL PROJECTS.

IN YOUR STREETS DEPARTMENT, WE WOULD LOOK AT ELIMINATING TWO UTILITY WORKERS.

IN YOUR SOLID WASTE DEPARTMENT, WE'D LOOK AT ELIMINATING FOR UTILITY WORKERS.

THESE ARE ALL VACANT POSITIONS RIGHT NOW AND HARD TO FILL POSITIONS.

AND IN YOUR POLICE DEPARTMENT.

WE HAD DISCUSSED PREVIOUSLY ABOUT ELIMINATING TWO SERGEANT POSITIONS.

WE IF ANYTHING, WE WOULD SAY WE WOULD SHIFT THOSE DOWN TO BE AN OFFICER, BUT WE'RE HAVING TROUBLE HIRING OFFICERS RIGHT NOW TO.

THIS CAME FROM A RECOMMENDATION FROM OUR CHIEF.

WE WOULD LOOK TO PUT THESE POSITIONS BACK IN A FUTURE YEAR.

ONCE WE GOT TO A POINT THAT WE WERE ABLE TO FILL POSITIONS.

BUT AT THIS POINT, WE ARE DOWN.

IF YOU'LL LOOK ON YOUR REPORT THAT WE HANDED OUT, WE'RE DOWN ABOUT 32 POSITIONS IN POLICE RIGHT NOW.

SO THAT WOULD BE TWO.

AND THEN WE WOULD LOOK TO ELIMINATE ONE DEPUTY CITY MARSHAL.

AND WE HAD DISCUSSED THAT ONE PREVIOUSLY AS WELL.

SO IT WOULD BE A TOTAL OF 19 POSITIONS IN OUR GENERAL FUND ALONE THAT WE WOULD LOOK TO ELIMINATE AT THIS POINT IN TIME.

AND THEN WE WERE ALSO LOOKING TO TRIM BACK THE OVERTIME BUDGET IN OUR ANIMAL MANAGEMENT AND WELFARE OPERATION BY ABOUT 20,000.

AND THOSE 19 POSITIONS, PLUS THE OVERTIME AND ANIMAL MANAGEMENT.

WELFARE WOULD GET US TO $1,003,000.

SO JUST A LITTLE BIT OVER THAT AMOUNT THERE.

SO IF YOU HAVE QUESTIONS, AS YOU LOOK AT THIS REPORT, I'D BE MORE THAN HAPPY TO ANSWER THAT AS WELL.

WE TRY TO SEPARATE IT BY GENERAL FUND GRANTS AND THEN WATER AND SEWER, AIRPORT DRAINAGE, THOSE KIND OF AREAS.

THE NEXT ITEM DOWN ON YOUR WORKING BUDGET IS YOUR TMRS COLA OPTION.

WE HAD DISCUSSED AT THE END OF BUDGET REVIEW LAST TIME ABOUT PUTTING THE FULL 70% BACK IN AT A COST OF $3.9 MILLION.

AND I DO WANT TO SAY THAT WAS SOMETHING THAT WAS HEAVILY SUPPORTED BY YOUR POLICE ASSOCIATION AS WELL.

THEY'RE ACTUALLY THE ONES THAT HELPED CARRY SOME LEGISLATION FORWARD WITH FOR PRICE'S OFFICE AND CLEAT TO GET AN OPTION FOR US TO EVEN LOOK AT IT.

[01:30:08]

WE HAVE TILL 2026.

YES. SO WE HAVE ONE MORE BUDGET CYCLE TO LOOK AT THIS.

WHAT WAS THE AMOUNT FOR THE 50%? THE AMOUNT FOR THE 50%.

GIVE ME JUST A SECOND.

WAS JUST A SECOND.

IT WAS $1.9 MILLION.

SO THERE WOULD BE A $2 MILLION NET THERE IF WE DID 50% INSTEAD OF 70 THIS YEAR, AND YOU WOULD STILL BE ABLE TO DO THE ADDITIONAL 20% INCREASE NEXT YEAR.

WE COULD LOOK AT IT NEXT YEAR.

YES. OKAY. DEPENDING ON FUNDING.

YES, SIR. THANK YOU.

OKAY. SO THE NEXT ITEM UNDER THAT IS WE TALKED ABOUT THIS EARLIER DURING MEET AND CONFER, ELIMINATING THE ANNUAL LEAVE BUYBACK INCENTIVE.

WE HAD EARMARKED $1 MILLION IN BUDGET.

WE HAD GONE OVER THE TWO OPTIONS THAT POLICE AND FIRE PRESENTED FOR A TOTAL COST OF 350,000.

AND THEN OUR ASKING IF WE COULD LEAVE 150,000 IN TO SUPPORT ANNUAL LEAVE BUYBACK PROGRAM FOR CIVILIANS.

SO THAT WOULD STILL CREATE HALF $1 MILLION BACK INTO THE WORKING BUDGET.

THE NEXT ITEM DOWN IS YOUR PHARMACY PLAN.

SO WE HAD TALKED ABOUT TRYING TO IDENTIFY $2 MILLION IN SAVINGS RELATED TO YOUR PHARMACY PLAN.

I'VE BEEN WORKING HEAVILY WITH OUR CITY MANAGER ON THIS, AND WE'VE BEEN WORKING WITH HUB.

WE DO HAVE AS OF LAST WEEK, WE HAVE A NEW SUBCOMMITTEE THAT WAS FORMED TO KIND OF HELP US WITH SOME INSURANCE OPTIONS.

AND SO WE HAVE OUR FIRST MEETING SCHEDULED FOR NEXT WEEK.

AND HUB HAS BEEN FINE TUNING, FINE TUNING OUR EXISTING CONTRACT NEGOTIATION ON PHARMACY AND CONTINUING TO LOOK AT OTHER OPTIONS.

AND SO WE'RE WANTING TO DIVE INTO THAT DEEPER WITH THE SUBCOMMITTEE NEXT WEEK, GET SOME DIRECTION FROM OUR SUBCOMMITTEE AND THEN BRING THAT BACK TO COUNCIL.

AND THEN WHAT WE WOULD RECOMMEND IS REMOVING THE SAVINGS FROM THE WORKING BUDGET AND BRINGING THOSE BACK MID YEAR AS WE START TO ACTUALLY ACHIEVE THOSE SAVINGS.

SO PART OF THAT TOO IS WE CAN WE CAN PRICE THINGS OUT LOOKING BACKWARDS.

BUT WE IT'S HARD TO ANTICIPATE GOING FORWARD BECAUSE IF YOU HAVE PEOPLE THAT GET ON CERTAIN NEW DRUGS, THOSE KIND OF THINGS, YOUR COSTS CAN CHANGE.

SO I KNOW TALKING HEAVILY WITH GRAYSON ON THIS, HE HAD RECOMMENDED IT WOULD PROBABLY BE GOOD FOR US TO TALK MORE ABOUT THIS MID-YEAR, NOT TRY TO HANG OUR HATS ON IT AT THIS POINT, BUT WORK WITH OUR SUBCOMMITTEE, FIND THE BEST OPTIONS, AND THEN BRING THOSE SAVINGS BACK AS WE START TO ACHIEVE THOSE.

THE NEXT ONE DOWN IS WE HAD TALKED ABOUT OUR COMMUNITY DEVELOPMENT DEPARTMENT HOUSING INSIDE OF THE NEW DAY CENTER THAT'S LOOKING TO BE BUILT OUT THERE AT TRANSFORMATION PARK.

SO WE HAVE MET WITH A COUPLE OF THE MEMBERS AND THE GROUP WORKING WITH THE THE GUY ON SANDERS RESOURCE CENTER, THE GROUP THAT'S CONSTRUCTING THE DAY CENTER OUT THERE.

AND WE HAVE TALKED ABOUT A FEW DIFFERENT ARRANGEMENTS WITH THEM.

IF YOU GO TO YOUR NARRATIVE PAGE, WE ACTUALLY PRESENTED THREE DIFFERENT OPTIONS THAT COUNCIL COULD CONSIDER.

THE FULL FINANCING OPTION IS 400, APPROXIMATELY 421,000 OVER A TEN YEAR PERIOD.

WE COULD LOOK AT DOING A PARTIAL FINANCING.

SO A LITTLE BIT UP FRONT AND A LITTLE BIT LONG TERM.

KEEP GOING. OKAY. I'M SORRY.

SORRY. NO. IT'S OKAY.

AND AND WHAT WE HAD EARMARKED HERE IN THE BUDGET, POTENTIALLY AS AN OPTION.

THIS COULD LOOK LIKE ANYTHING.

BUT WE HAD SAID YOU COULD PUT MAYBE 1.3 MILLION DOWN TO SAVE ON SOME OF THAT INTEREST EXPENSE, AND THEN ONLY HAVE TO PAY ABOUT 270,000 OVER THE TEN YEAR PERIOD ON AN ANNUAL BASIS, FREEING UP SOME OF THAT ONGOING FUNDING IN YOUR WORKING BUDGET.

THE THIRD OPTION, THERE IS A FULL CASH FUNDING AMOUNT AT JUST UNDER $3.6 MILLION.

AND AGAIN, THAT WOULD FREE UP ALL OF THE ONGOING BUDGET DOLLARS ASSOCIATED WITH IT, AND IT WOULD SAVE ON INTEREST EXPENSE OVER THE TEN YEAR PERIOD.

SO THOSE ARE THE THREE OPTIONS, THE ONES WE BUILT INTO YOUR SPREADSHEET HERE WAS THE BLENDED OPTION, BUT WE COULD CERTAINLY LOOK AT ANY OF THOSE OPTIONS AS WELL TO MAKE SURE WE'RE SEEING THIS RIGHT OVER HERE ON THE REVISED ONGOING WORKING BUDGET.

YES. YOU ONLY HAVE THE 270 YES DEDUCTED.

YOU DON'T HAVE ANY ADDITIONAL PAY DOWN OR FUNDING OUT OF THE ONGOING ON THE ON OUT OF THE ONGOING.

NO. IF YOU'LL SHIFT OVER TO THE RIGHT HAND SIDE TO THE ONE TIME AND IT'S THE THIRD FROM THE LAST ONE THERE YOU'LL SEE UPFRONT CASH OPTION FOR CDD OFFICER COMMUNITY DEVELOPMENT OFFICES. THAT'S WHERE THAT BLENDED VERSION COMES IN.

SO SO IS THAT HOW YOU GET TO THE 270 NUMBER.

[01:35:03]

YES, THAT'S JUST AN OPTION.

SO WE COULD DO THE 421 ONGOING.

ACTUALLY YOUR 270 COULD GO DOWN TO ZERO.

IF WE COULD FREE UP ENOUGH ONE TIME FUNDING TO PAY THE FULL CASH AMOUNT.

SO THIS WAS JUST AN OPTION.

THAT WAS SO THE THE LEASE AS IT PRODUCED THE DRAFT.

IT IS IN THE WORKS.

AND SO ONCE WE KNOW WHICH DIRECTION COUNCIL WOULD LIKE TO GO ON THAT WE PLAN TO TRY TO BRING THAT LEASE BACK TO CITY COUNCIL TO LOOK AT ON SEPTEMBER 10TH, SEPTEMBER 10TH, WHICH WOULD BE KIND OF RIGHT IN CONJUNCTION WITH YOUR BUDGET.

AND RIGHT NOW, IF NOTHING IMPROVES, IT'S 420,000 A YEAR.

YES, SIR. OKAY.

FOR FULL FINANCING? YES. OKAY.

YES, SIR. OKAY.

THE NEXT ITEM DOWN, WATER AND SEWER INTEREST EARNINGS.

SO WE HAD IDENTIFIED ABOUT $3.5 MILLION THAT WE FELT WAS UNRESTRICTED INTEREST EARNINGS IN YOUR WATER AND SEWER FUND THAT COULD POTENTIALLY COME BACK OVER TO THE GENERAL FUND. WE'VE BEEN RERUNNING AND RELOOKING AT INTEREST INCOME NUMBERS VERY HEAVILY OVER THE LAST FEW WEEKS, ESPECIALLY WITH ALL THE TALKS OF THE FED'S CUTTING RATES THIS NEXT MONTH.

I'VE TALKED WITH SOME OUTSIDE FINANCIAL ADVISORS, AND THEY HAVE RECOMMENDED WHATEVER OUR INTEREST PROJECTIONS ARE FOR THIS YEAR, TO REDUCE THEM BY AT LEAST 20% INTO NEXT YEAR.

SO WITH THAT, I, I WOULD LIKE TO PULL THIS NUMBER DOWN TO ABOUT 2.8 MILLION WITH THE HOPE THAT IT COULD COME IN STRONGER THAN THAT.

AND IF IT CAME IN STRONGER THAN THAT, WE WOULD PULL IT OVER.

BUT PLEASE NOTE THAT IF INTEREST RATES DO START TRENDING DOWN, WE'VE GOT THIS OVER ON THE ONGOING BUDGET SIDE, THAT NUMBER COULD KIND OF DWINDLE DOWN A LITTLE BIT UNTIL WE GET TO A FLAT RATE ON ON INTEREST RATES FROM THE FEDS.

OUR NEXT ITEM ON DOWN IS THE PARAMEDIC TRAINING PROGRAM IN OUR FIRE DEPARTMENT.

SO THAT WAS SOMETHING THAT COUNCIL MEMBER CRAFT HAD BROUGHT UP AT OUR LAST BUDGET REVIEW.

WE WORKED WITH THE FIRE CHIEF, AND HE DID CONFIRM THAT THAT THEIR ANNUAL NEED FOR THAT PROGRAM, IT HAD COME FROM ARPA FUNDING.

UP THROUGH THE END OF THIS YEAR.

AND THEY WOULD GREATLY APPRECIATE HAVING HALF $1 MILLION IN EACH YEAR TO CONTINUE THAT PARAMEDIC TRAINING PROGRAM GOING FORWARD.

AND THE HALF $1 MILLION NUMBER WAS SPOT ON THAT THEY DID CONFIRM THAT THAT WAS CORRECT.

SO WE LEFT THAT IN THERE AT THAT $500,000 AMOUNT.

ALL RIGHT. SO FLEET FINANCING.

I WANT TO HAND OUT A PAGE REAL QUICK.

I'M GOING TO GET ANDREW TO HELP ME HAND THIS OUT REAL QUICK.

LET ME THANK YOU.

SO DONNIE AND I HAVE BEEN WORKING FOR SEVERAL WEEKS.

WE HAVE. WE BROKE THIS THING SEVERAL TIMES.

I'LL BE HONEST. WHAT I'M HANDING OUT TO YOU IS STILL PARTIALLY BROKEN, BUT I'LL WALK YOU THROUGH IT.

BUT WE HAD COMPLETELY.

WE COMPLETELY BROKE THE FINANCING, THE FULL FINANCING OPTION THROUGH A LEASE FROM A GENERAL FUND STANDPOINT.

WHEN WE WERE FIRST LOOKING AT IT.

SO WE HAD TO GO BACK AND FORTH AND KIND OF TALK ABOUT SOME DIFFERENT OPTIONS.

SO WHAT YOU HAVE ON THIS PAGE HERE IS THIS IS ACTUALLY AN EIGHT YEAR LOOK OUT.

WE'RE TRYING TO GO OUT QUITE A WAYS.

SO LET ME WALK YOU THROUGH KIND OF THE ASSUMPTIONS FIRST.

SO YOU'LL SEE IT STARTS WITH THIS UPCOMING YEAR'S BUDGET AT THE VERY TOP ON UNDER THE DATE WHERE IT SAYS 2024 2025, YOU'LL SEE THAT TEN JUST UNDER $10.2 MILLION NUMBER.

DO YOU ALL SEE THAT? THAT WOULD BE WHAT WE ISSUE IN DEBT.

SO EACH ONE OF THOSE YEARS AND I APOLOGIZE, I HAVE MISSED THE LABEL ON THAT ON THAT ROW.

THAT'S THE AMOUNT WE WOULD LOOK TO ISSUE DEBT FOR THROUGH A TAX NOTE EACH OF THOSE EIGHT YEARS.

AND SO WHAT HAPPENS IS YOUR TAX NOTE INSTRUMENT CANNOT GO OUT ANY FURTHER THAN SEVEN YEARS.

SO YOU WOULD HAVE TO CONTINUE TO PUT THE TAX RATE IN PLACE ON THE DEBT SERVICE SIDE OF YOUR TAX RATE TO FUND THIS BY YEAR EIGHT.

YOU ALREADY HAVE IT IN PLACE SO YOU CAN REFUND EVERYTHING WITHOUT TOUCHING YOUR TAX RATE AGAIN.

SO IT TAKES SEVEN YEARS IN A ROW OF FUNDING THIS TO GET IT FULLY STABILIZED AND THE PROGRAM BUILT FOR COUNCILS GOING FORWARD AFTER THAT.

SO DOWN BELOW I WANTED JUST TO NOTE AGAIN WE ARE ONLY LOOKING AT GENERAL FUND.

WE FEEL CONFIDENT WE CAN MAKE IT WORK IN ALL OF OUR OTHER FUNDS.

GENERAL FUND WAS THE HARD ONE TO FIGURE OUT HOW TO MAKE IT WORK, SO WE WERE HOPING TO GET KIND OF SOME DIRECTION FROM COUNCIL ON THIS.

SO THAT TOP LINE HERE AND I AM SO SORRY.

I KNOW I HAVE CRYPTIC ABBREVIATIONS HERE, BUT THAT'S DEPARTMENT REQUEST WITH A 5% GROWTH FACTOR.

SO WHAT THIS MEANS THAT 17.8 MILLION IS WHAT WE HAVE BUILT INTO YOUR GENERAL FUND BUDGET, AS IT IS RIGHT NOW, IN WHAT THEY'RE PAYING OVER TO FLEET

[01:40:07]

SO THAT INCLUDES FUEL OIL CHANGES, TIRES, ALL MAINTENANCE AND ALL REPAIRS.

WE'RE PAYING 17.8 MILLION.

ABOUT HALF OF THAT IS GOING TO REPLACEMENT ONLY SO ABOUT $8.9 MILLION.

SO WHAT I'VE DONE IS I'VE GROWN IT BY 5% EACH YEAR OF THE EIGHT YEARS GOING FORWARD.

SO IT'S COMPOUNDING 5% EACH YEAR, WHICH I FEEL IS A REASONABLE GROWTH RATE THAT THE GENERAL FUND COULD SUSTAIN EACH YEAR.

SO DOWN BELOW IN THAT BOTTOM SECTION, ALL IT'S DOING IS WE'RE SAYING WE WOULD HAVE TO SPEND $5.3 $3 MILLION IN 2024 2025 TO FUND THAT $10.2 MILLION IN DEBT SERVICE.

OKAY. SO WE WOULD ISSUE DEBT.

WE'D GET $10 MILLION.

WE'D HAVE TO PAY 5.3 THAT YEAR FOR IT TO LEASE THE REST OF YOUR FLEET.

IT WOULD TAKE ABOUT 798,000.

THAT WOULD FREE UP APPROXIMATELY 2.8 MILLION FOR THAT YEAR.

NOW YOU'VE GOT TO WALK THIS THING FORWARD BECAUSE IT STARTS KIND OF COMPOUNDING UPON ITSELF.

THE PLAN I'M SORRY, AS IT'S BUILT HERE, THE PLAN AS IT'S BUILT HERE.

AND I'M LOOKING OVER AT DONNY TO MAKE SURE I'M SAYING THIS CORRECTLY, IS WE WOULD HAVE THE ENTIRE GENERAL FUND FLEET.

SO THAT'S EVERYTHING FROM ALL YOUR POLICE CARS, ALL YOUR TRASH TRUCKS, ALL YOUR FIRE VEHICLES, EVERYTHING.

PICKUP TRUCKS, EVERYTHING WOULD BE FULLY REPLACED WITHIN A SIX YEAR PERIOD AND WE'D BE ON A FULL REPLACEMENT SCHEDULE.

NOW, POLICE CARS WOULD BE ABOUT ON A THREE YEAR REPLACEMENT SCHEDULE.

THEY'D BE ON THE LEASING OPTION WHERE YOUR FIRE TRUCKS ARE ON A WHOLE SEPARATE LEASING OPTION, AND THEY HAVE A LONGER LIFE.

THEY'RE ABOUT A SEVEN YEAR LIFE.

THEN YOU'VE GOT LIKE JUST YOUR REGULAR TRUCKS AND SEDANS.

THOSE THINGS WOULD BE ON A SEVEN YEAR REPLACEMENT LIFE.

SO THIS GETS YOUR ENTIRE FLEET TURNED OVER AND FULLY REPLACED AND FUNCTIONING PROPERLY WITHIN A SIX YEAR PERIOD.

NOW, AS YOU WALK FORWARD, YOU'LL NOTICE IN YEAR 2829 IT IT BREAKS WITH THESE ASSUMPTIONS.

RIGHT. SO WE ACTUALLY WOULD NEED TO PUT MORE FUNDING INTO IT.

HOWEVER, DONNIE AND I HAVE TALKED A LOT ABOUT THIS.

THERE ARE NO ASSUMPTIONS BUILT IN HERE FOR EFFICIENCIES OF HAVING NEWER VEHICLES OR FOR REPAIR COSTS GOING DOWN BECAUSE WE NO LONGER HAVE 15, 20, 25 YEAR OLD VEHICLES AND EQUIPMENT.

WE'VE GOT NEWER THINGS THAT ARE UNDER WARRANTY AND ARE MORE FUEL EFFICIENT IN CERTAIN CASES, RIGHT.

AND ARE OPERATING AT A HIGHER LEVEL AND A MORE EFFICIENT LEVEL.

AND SO IN 28, 29, WE THINK WE WOULD PROBABLY START REALIZING SOME OF THOSE SAVINGS.

AND THEN ALSO WE ARE WE WOULD LOOK TO KIND OF CHANGE THE MODEL JUST SLIGHTLY IN THOSE LATTER YEARS TO SPREAD IT MAYBE A LITTLE BIT DIFFERENT, SO WE COULD STAY WITHIN THAT 5% GROWTH TO THE GENERAL FUND EACH YEAR.

SO YOUR NET SAVINGS WOULD START IN THE FIRST COUPLE OF YEARS.

I WOULD NOT RECOMMEND THAT WE BUILD THAT INTO ONGOING SAVINGS.

SO INTO YOUR ONGOING WORKING BUDGET, I WOULD RECOMMEND INSTEAD SHIFT THAT OVER INTO YOUR ONE TIME WORKING BUDGET.

AND YOU CAN AND YOU CAN GET THAT SAVINGS.

AND I HAVE IT HERE ON ON YOUR WORKING BUDGET AT 2.5, IF YOU LOOK TO THE FAR RIGHT.

YEP. RIGHT THERE. STEPHANIE'S ON THE SCREEN RIGHT THERE.

I'VE GOT IT AT 2.5.

WE COULD PROBABLY GO UP TO THAT 2.8, BUT I WAS TRYING TO GIVE US A LITTLE BIT OF WIGGLE ROOM JUST BECAUSE THESE ARE VERY, VERY PRELIMINARY NUMBERS AT THIS POINT.

AND I KNOW THAT WE HAD TALKED PREVIOUSLY ABOUT, HEY, CAN WE GET A 1.5 MILLION SAVINGS BACK TO THE GENERAL FUND ONGOING DOING THIS? WELL, IF WE KEPT OUR FLEET AT THE AGE IT IS AND NOT REPLACING THEM ON A TIMELY BASIS, WE MIGHT COULD.

BUT TO GET EVERYTHING WHERE IT'S BEING REPLACED, WHEN IT NEEDS TO BE REPLACED, I THINK IT'S GOING TO CREATE SOME SAVINGS IN THE FIRST FEW YEARS, AND THEN WE'RE GOING TO BE BREAKING ABOUT EVEN WITH WHAT OUR ANNUAL FUNDING AMOUNT WAS.

SO YOU'VE GOT TWO THINGS IN HERE.

YOU'D BE ISSUING DEBT AND THEN YOU'D BE LEASING.

SO DONNY, DO YOU WANT TO JUST BRIEFLY TELL US WHAT'S THE BIG STUFF? THAT'S WHAT'S THE MAIN STUFF REAL QUICK.

OH. I'M SORRY. YES. DO YOU HAVE IT PLANNED OUT ON THE INSIDE OF THE TAX RATE? YOU KNOW, SAY THAT PLAN WENT THROUGH AT THE END OF ONCE THIS IS INCORPORATED.

HOW MANY PENNIES THAT WOULD AFFECT ON THE TAX RATE? YES. SO RIGHT NOW YOU'RE GETTING ABOUT 1.6 MILLION ON YOUR I'M SORRY, 1.6 PER PENNY.

[01:45:01]

SO YOU COULD DO IT A COUPLE OF WAYS.

YOU COULD LOWER YOUR O&M BY THE 3.3.

KNOWING YOU'RE GOING TO PUT IT ON YOUR INS, OR YOU DO POTENTIALLY HAVE 3.3 PENNIES OR $5.3 MILLION, THAT COULD BE FREED UP ON YOUR OPERATING AND MAINTENANCE SIDE OF YOUR PROPERTY TAX.

THAT WOULD BE US PUTTING IT IN EVERY SINGLE YEAR FOR THE NEXT X AMOUNT OF YEARS.

YES. SO IT STARTS AT ABOUT 3.3 PENNIES AND THEN IT DOES INCREASE UP.

WELL, AND THERE'S A GROWTH ASSUMPTION IN THERE AS WELL.

BUT I THINK IT GETS UP CLOSER TO ABOUT I THINK IT'S ABOUT FOUR PENNIES IN TOTAL.

WAS IT? WELL, NO.

I THINK IT'S GOING TO STAY.

YEAH, CLOSER TO ABOUT THREE AND A HALF PENNIES.

TO FULLY FUND THE PROGRAM OVER THE LONG TERM.

SO JUST A ROUGH GUESS HERE.

SO IF YOU DID, CAN YOU GIVE ME AN ESTIMATE IF JUST, SAY, $0.40 AS A TAX RATE? TODAY, IF THIS IF THIS DEBT PLAN WENT THROUGH, WHAT WOULD IT LOOK LIKE AT YEAR EIGHT? I'D HAVE TO WORK ON THAT.

AND IT WOULD BE FULL OF A LOT OF ASSUMPTIONS, BECAUSE I'D HAVE TO ASSUME WHAT YOUR APPRAISED VALUES ARE GOING TO DO OVER THAT TIME PERIOD, AND HOW MUCH NEW PROPERTY IS GOING TO COME ON AND WHAT EFFECT IT WOULD HAVE ON YOUR PROPERTY TAX RATE.

BUT I COULD TRY TO WORK WITH OUR FINANCIAL ADVISORS, MAYBE, AND COME UP WITH SOME SORT OF AN ASSUMPTION.

I DO NOT HAVE THAT FOR YOU TODAY THOUGH.

OKAY, I THINK I KNOW FOR ME IT'S JUST I'D BE CURIOUS TO SEE WHAT THAT WOULD LOOK LIKE.

OKAY. SORRY, DONNIE.

I DIDN'T MEAN TO CUT YOU OFF.

OH. YOU DIDN'T. WHAT WOULD YOU LIKE TO HEAR FROM ME? AND I'LL BE GLAD TO. DONNIE, WILL YOU TELL THEM WHAT ALL WE'RE KIND OF LOOKING AT DOING? LEASING ON? YEAH.

OKAY, SO WE WE WENT THROUGH SEVERAL MODELS, AS LAUREN MENTIONED, TO TRY TO FIGURE OUT HOW WE COULD MATCH ALL THESE PIECES, MIX THEM UP.

THE THING THAT MADE THE MOST SENSE TO US IS TO LEASE ALL OF THE WHITE FLEET.

AND WHEN I SAY WHITE FLEET, THAT MEANS ANYTHING FROM LIKE A ONE TON TRUCK DOWN ALL THE WAY DOWN TO A SEDAN OR A PICKUP HALF TON, ETC.

AND IT ALSO INCLUDES SOME THINGS LIKE OUR GRASS RIGS FOR THE FIRE DEPARTMENT AND THINGS LIKE THAT.

THEN ON THE LEASING SIDE OF IT, IT'S EVERYTHING THAT'S PRETTY, I'M SORRY.

ON THE PURCHASING SIDE OF THAT, IT'S EVERYTHING THAT'S PRETTY MUCH HEAVY EQUIPMENT, WHICH WE HAVE A LOT OF THAT.

THERE'S ALSO A LEASING MECHANISM THAT THE FIRE DEPARTMENT HAS WORKED ON AS WELL FOR THEIR LARGE, EXPENSIVE ITEMS LIKE THEIR LADDER TRUCKS AND THEIR ENGINES.

THAT IS BUILT INTO THIS LEASING MODEL AS WELL.

SO WHITE FLEET AND FIRE THE POLICE MODEL WOULD BE A THREE YEAR MODEL ON THEIRS.

SO SOME OF THOSE ENGINES HAVE 20 YEAR LIVES ON THOSE OR SORRY, LADDER TRUCKS.

SO THOSE ARE EXTENDED ON OUT PAST THIS MODEL THAT WE HAVE HERE.

BUT THIS WOULD GET US TO WHERE THE GREATEST THING FOR US IS THAT WE'RE GOING TO BE IN EQUIPMENT THAT IS NEW AND RUNNING.

THE AVERAGE AGE OF OUR FLEET RIGHT NOW IS 18 YEARS.

AND AS LAURA MENTIONED, I THINK WE WOULD, YOU KNOW, TAKE 3 TO 4 YEARS TO START TO SEE SOME OF THOSE EFFICIENCY SAVINGS.

BUT EVERY WELL, I THINK 100% OF THE VEHICLES THAT WE WOULD BE PUTTING IN OUR FLEET WOULD BE MORE EFFICIENT MORE FUEL EFFICIENT AND JUST MORE EFFICIENT IN GENERAL, WHICH PUTS US OUT THERE DOING MORE WORK AND PROVIDING MORE SERVICES.

GO AHEAD. IN YOUR ESTIMATION, WHAT DO YOU SEE? AND I KNOW IT'S A COMPLETE GUESS, DONNY.

SO YOUR EFFICIENCIES, YOU KNOW, WHEN WE WENT THROUGH BUDGET, WE DID TAKE A LOOK AT, YOU KNOW, WHAT WE'RE SPENDING ON THE THE REPAIR OF KEEPING OUR FLEET, YOU KNOW, IN SERVICE IN YOUR ESTIMATION, LET'S JUST SAY YEAR FOUR.

WHAT DO YOU THINK THE EFFICIENCIES WE'RE GOING TO FIND THERE JUST IN MAINTENANCE? I MEAN, MAYOR AND I HAD THIS DISCUSSION JUST ABOUT TWO HOURS AGO, AND I DON'T KNOW THAT WE CAN PUT A NUMBER TO THAT.

I JUST WE'RE GOING TO SEE SOME SAVINGS.

WE ARE LEASING COMPANIES THAT I TALKED TO SAID THAT THEY REALLY CAN'T GIVE US A NUMBER BECAUSE IT JUST DEPENDS ON, YOU KNOW, WHAT TYPE OF EQUIPMENT YOU'RE RUNNING.

BUT WE'RE GOING TO SEE WE'RE GOING TO SEE SOME SAVINGS.

AND I JUST WISH THAT I COULD PUT A NUMBER TO THAT AND I CAN'T.

WELL, WHAT ARE OUR EXPENSES? ROUGHLY WHAT THAT WE'RE SPENDING RIGHT NOW FOR MAINTENANCE AND REPAIRS AND THAT TYPE DEAL.

I WOULD HAVE TO GO BACK AND GET THAT NUMBER FOR YOU OVERALL, TO TELL YOU WHAT THAT IS, I CAN GO BACK TO THE EXAMPLE I USED BEFORE.

WE HAD A TRASH TRUCK THAT COST US $140,000 TO PURCHASE IT.

WE SPEND $240,000 IN MAINTENANCE ON IT SO FAR IN ITS LIFE, AND IT'S A VERY OLD TRUCK.

SO IF YOU JUST TAKE THAT AND LOOK AT THE SAVINGS YOU WOULD SEE ON THAT IN OUR CONVERSATION EARLIER, I WAS WILLING TO GUESS, AND I WOULD LIKE TO BRING A NUMBER IN JUST FOR BUDGETARY PURPOSES.

YOU SAID OUR AVERAGE FLEET VEHICLE LIFE IS 18 YEARS, AND WE'RE GOING TO CUT THAT TO SEVEN.

AND SO I THINK IT'S CONSERVATIVE TO ESTIMATE INEFFICIENCIES IN NO DOWNTIME WITH A LEASE YOU KNOW, ISSUE OR WITH A LEASE CONTRACT AND THEN MAINTENANCE AND REPAIR, I THINK WE COULD ESTIMATE $1 MILLION NET REALIZED SAVINGS.

[01:50:01]

AND WE COULD WE COULD IMPLEMENT THIS PROGRAM STEP OUT ON WHAT WE LOOK, WHAT WE WOULD ASSUME AND WOULD LOOK TO BE THE WAY FORWARD.

I THINK THIS IS SOMETHING THAT MOST MUNICIPALITIES ARE GOING TO DEAL WITH WHEN A, YOU KNOW, A LADDER TRUCK GOES FROM $750,000 TO 1.4 MILLION, YOU KNOW, OVER THE LAST FIVE YEARS.

SO WE'RE ALSO ESTIMATING AND CALCULATING ALL THESE NUMBERS AT A HIGH INTEREST RATE.

YOU KNOW. SO, I MEAN, RIGHT NOW, INTEREST RATES ARE AS HIGH AS IT'S BEEN TOLERABLE.

AND WE'RE LOOKING AT THESE CONTINUING TO COME DOWN, HOPEFULLY SO NO ONE KNOWS WHAT THE FUTURE HOLDS.

BUT I THINK IF IF WE ARE BUDGETING WITH THOSE VARIABLES, WE'RE VERY, VERY CONSERVATIVE AND WE'RE SHOWING NO NET REALIZED GAIN.

AND I THINK YOU COULD ESTIMATE $1 MILLION.

MRS STORRS YOU YOU THINK THAT'S TOO CONSERVATIVE? YOU WANT TO MOVE THAT MILLION UP? NO. IF YOU HAD SAID IN THE NEXT FEW YEARS, MAYBE NOT THIS CURRENT YEAR'S BUDGET.

WELL, I THINK YOU'RE GOING TO I DON'T THINK YOU'RE GOING TO REALIZE IN THIS NEXT FISCAL YEAR MAINTENANCE AND REPAIR.

BUT I THINK IN THE NEXT TWO AND THREE, WE WOULD BE ABLE TO LOOK BACK AND SAY, HEY, WHEN COUNCIL IMPLEMENTED THIS, WE'VE NOW SEEN $1 MILLION, YOU KNOW, OVER THE LAST YEAR.

I THINK THAT'S ABSOLUTELY REASONABLE.

IT'S JUST HARD TO KIND OF GAUGE WHERE THAT NUMBER IS GOING TO FALL.

AND I WILL TELL YOU ON THE DEBT SIDE.

WHAT WE'RE LOOKING AT ON THESE DEBT ISSUANCES OVER A SIX YEAR PERIOD WITH THE TRUE INTEREST COST THAT THEY BUILT IN WAS ABOUT THREE AND A HALF TO 3.76% INTEREST, SO COULD POTENTIALLY GO DOWN A LITTLE BIT FROM THERE.

BUT I THINK THEY'RE ALREADY KIND OF FACTORING IN IF INTEREST RATES START PULLING BACK A LITTLE BIT.

AND PART OF THIS TOO IS I KNOW WE'RE ALL WE'RE ALL I KNOW ALL OF US.

WE'RE ALL EAGER TO TRY TO SEE THE SAVINGS THIS YEAR IN THE BUDGET.

BUT SOME SOMETIMES YOU HAVE TO MAKE DECISIONS KNOWING THAT THE NEXT YEAR YOU REAP THAT OR YOU'RE MAKING A DECISION TO BENEFIT FUTURE COUNCILS.

AND SO WE MAY NOT SEE IT THIS UPCOMING FISCAL YEAR, BUT, YOU KNOW, YOU'RE PLANTING A SEED SO THAT THE FOLLOWING YEARS YOU'VE GOT IT.

SO ONE OTHER THING WE MIGHT NOTE TOO, IS THAT WE'VE TALKED ABOUT THIS EARLIER, IS THAT WE WE'RE NOT GOING TO SEE THE COST OF EQUIPMENT GO DOWN.

WE KNOW THAT WE'VE SEEN A 30% INCREASE THEREABOUTS AND SOME OF THAT EQUIPMENT OVER THE PAST FEW YEARS.

SO THAT'S ANOTHER THING THAT'S GOING TO HAPPEN AS WE MOVE THROUGH THIS PLAN IS THE COST OF EQUIPMENT IS GOING TO GO UP.

THERE'S A LITTLE BIT OF AN INFLATIONARY FACTOR BUILT INTO THIS, BUT I DON'T KNOW THAT IT WOULD.

WE JUST DON'T KNOW WHAT THE FUTURE HOLDS SAVINGS VERSUS COST EXPENSE.

SO AS WE AS WE PAUSE HERE ON THIS ONE, COUNSEL, IS THERE ANY REASON TO PULL THIS ONE BACK OR HOLD ON TO THIS ONE? BECAUSE I REALLY FEEL LIKE WE COULD PROBABLY GIVE DIRECTION ON THIS SINCE IT'S IT'S A NET ZERO.

YOU HAVE A 2.5 MILLION ONE TIME YOU KNOW, THAT WILL FLOW OVER TO THE RIGHT HAND SIDE.

IS EVERYONE ON COUNSEL STILL COMFORTABLE WITH TRYING TO REDUCE THAT CAPITAL OUTLAY AND IMPLEMENT A FUND OR FINANCING OPTION? LEASE FINANCE OPTION? YES. YEAH.

I'M NOT OPPOSED TO IT. I'M JUST CURIOUS AS TO WHAT WHAT IT COULD END UP DOING TO OUR TAX RATE.

SO AND HONESTLY, THE MORE I'M THINKING ABOUT THAT, IT'S A REALLY GOOD QUESTION.

IT'S REALLY UP TO COUNSEL WHAT THEY WANT IT TO DO.

THE TAX RATE, BECAUSE WE COULD BUILD IT IN WHERE IT DOESN'T AFFECT THE TAX RATE, YOU KNOW.

SO WHAT WE WOULD DO IS BECAUSE WE'VE ALREADY WE ALREADY HAVE TAX RATES SET FOR THIS FOR THIS COMING YEAR.

SO IN THE NEXT YEAR WE WOULD SO WE WOULD START THIS FINANCING PLAN IN THIS UPCOMING YEAR.

BUT WE WOULD DO IT IN KIND OF IN THE MID PART OF THE YEAR.

SO THE DEBT SERVICE WOULDN'T HIT TILL THE NEXT YEAR.

AND SO NEXT BUDGET SEASON WE WOULD BE SAYING, HEY YOU'RE GOING TO HAVE YOUR YOUR PROPERTY TAX RATE.

WE'RE SHIFTING ABOUT THREE AND A HALF CENTS LET'S SAY OVER INTO YOUR INS SIDE.

DO YOU WANT TO REDUCE DOWN YOUR O&M SIDE, OR DO YOU WANT TO LEAVE YOUR OWN MS SIDE FLAT AND CAPTURE IT? SO THAT'S THAT'S THE DECISIONS THAT WE COULD BE LOOKING AT IN THIS NEXT BUDGET SEASON.

SO CONTINUE.

CORRECT. BECAUSE WE'RE ISSUING DEBT EVERY YEAR.

YES. AND SO THE WAY THEY HAVE IT BUILT OUT IS THEY'VE TRIED TO MAKE IT WHERE IT'S LEVEL FUNDING.

AND SO REALLY IT HOVERS RIGHT ABOUT NOW.

THIS WILL ACTUALLY GO DOWN FROM A PENNY STANDPOINT.

AS LONG AS YOUR APPRAISED VALUES KEEP GOING UP, IT'LL HOVER RIGHT ABOUT THREE AND 3.33 AND A HALF PENNIES THROUGH THE LIFE OF THIS WHOLE THING.

SO THEY HAVE A BIGGER UPFRONT PAYMENT.

AND THEN AS THE OTHER DEBT SERVICES COME ON, THEY'RE THEY'RE TAPERING IT OUT.

SO IT'S KIND OF LEVEL DEBT SERVICE FUNDING THROUGH THIS WHOLE THING.

SO IT'S NOT YOUR BUILDING INTO IT.

THEY'RE THEY HAVE IT STRUCTURED.

OUR FINANCIAL ADVISORS STRUCTURED IT WHERE IT WAS LEVEL I MEAN ESSENTIALLY LEVEL.

IT GOES UP A LITTLE BIT BECAUSE I THINK IT GOES FROM 5.3 WHAT TO 7 MILLION.

[01:55:04]

AND THEY'RE DOING THAT BY I GUESS EXAMINING FUTURE DEBT PAYMENTS.

AND AS THEY FLUCTUATE GOING DOWN, YOU SEE SOME SAVINGS AS ONE OF THE THINGS THAT FINANCIAL ADVISORS THEY CAN THEY CAN PLAN OUT A NEXT 1520 YEARS BY LOOKING AT, OKAY, YOU'RE GOING TO BE DROPPING YOUR TAX RATE IN THIS ONE HERE.

SO THIS IS THE TIME TO INCREASE THAT ONE.

SO YOU HAVE A NET ZERO CHANGE THERE.

SO THAT'S THAT'S WHAT THEY CAN DO TO HELP YOU MAP THOSE THINGS OUT TO KEEP THEM.

NET ZERO I MEAN LET ME ASK YOU A QUESTION BECAUSE THIS ALSO WOULD GOES DOWN TO THE NEXT ONE WITHIN $1 MILLION ADDITIONAL REVENUE.

BUT WHAT I HEAR YOU SAYING, WE'RE LOOKING AT A PHILOSOPHY WHERE IF WE'RE ISSUING DEBT ON THE INS SIDE, WE'RE REDUCING THE PROPERTY TAX INCREASE ON THE OPERATIONS AND MAINTENANCE SIDE TO CORRESPOND WITH IT.

LIKE WE LIKE WE ATTEMPTED TO DO THIS YEAR, IF THAT'S WHAT COUNCIL CHOOSES TO DO.

YES. MY QUESTION IS, IS DOES THAT BECOME PROBLEMATIC FROM THE FACT OF AS YOU'RE LOOKING AT SO THE LEGISLATURE HAS KIND OF DECIDED, YOU KNOW, WHERE IT USED TO BE, 8.5%.

YOU COULD GO UP. THEY KIND OF CAPPED IT AT 3.5% BEFORE YOU NEED VOTER APPROVAL.

YES. AND EVERYBODY SEEMS TO CONSENSUS WITH THAT.

I MEAN, AND I UNDERSTAND THE IDEA OF, YOU KNOW, TRYING TO KEEP THE PROPERTY TAXES AT A MINIMUM AND IF YOU'RE ISSUING THE DEBT.

BUT MY CONCERN WOULD BE, IS THERE IS THERE SOMETHING, AN UNINTENDED CONSEQUENCE THAT WOULD COME UP FURTHER DOWN THE ROAD WHERE, WHERE BECAUSE YOU CAN ONLY GET SO MUCH OUT OF THAT PROPERTY TAX. AND IT'S OUR MOST PRIZED RESOURCE OF, YOU KNOW, FLEXIBILITY.

YOU KNOW, I MEAN WE'VE GOT THE SALES TAX TOO.

BUT IF YOU START TAKING THESE MILLIONS AND MILLIONS OUT, IT'S JUST LESS OF THE 3.5% THAT YOU COULD GET IN THE LONGER TERM.

AND WHILE YES, WE'RE WE'RE DOING THINGS RIGHT NOW AND, YOU KNOW, TO TRY TO KEEP PROPERTY TAXES LOWER, IS THERE THE POTENTIAL THAT THAT'S GOING TO HAVE SOME SOME UNINTENDED CONSEQUENCES, MAYBE NOT NEXT YEAR OR THE YEAR AFTER THAT.

BUT IF YOU KEEP DOING THAT FOR A LONGER PERIOD OF TIME, YOUR ABILITY TO TO GET WHAT YOU CAN, THAT THAT SEEMS TO BE PALATABLE TO THE LEGISLATURE AND THE VOTERS, REALLY, YOU'RE JUST LIMITING THE AMOUNT OF MONEY THAT YOU CAN GET ON THAT INCREASE.

IT COULD COMPOUND OVER TIME.

YEAH, I WOULD AGREE. YES.

OBVIOUSLY IF YOU ONLY LOOK AT TEXAS, IF THAT'S YOUR ONLY SCOPE, THEN PEOPLE WILL SAY THAT YOU DON'T HAVE ENOUGH YEARS.

YOU DON'T HAVE ENOUGH YEARS TO TO DETERMINE THAT.

BUT AGAIN I MY FIRST JOB IS MY SECOND JOB WAS IN NEBRASKA.

THEY DID THIS 25 YEARS AGO.

SO WHEN I WAS THERE, THEY HAD ALREADY HAD 20 YEARS OF THIS HAVING HAPPENED BACK IN LIKE 1999 OR SOMETHING LIKE THAT.

AND SO I KNOW THE CITY I SERVED IN, WE WERE UP AGAINST THAT WALL.

WE HAD SOME VERY CONSERVATIVE DECISIONS MADE PRIOR TO MY ARRIVAL.

AND SO WE KEPT THE TAX RATE LOWER.

AND AND SO WE WERE WE WERE NOT KEEPING UP AS, AS A CITY.

AND THAT WAS NOT NOT JUST US THAT WAS ACROSS THE STATE.

AND SO A LOT OF ENTITIES THAT WHO HAD TRIED TO KEEP THEIR TAXES LOW, NOT NOT REACHING THAT FULL VALUE THAT YOU CAN ACHIEVE, THE LEGISLATURE SAID, YOU CAN DO THIS, IT'S OKAY.

BUT BUT CHOOSING TO GO UNDER THAT, THEY WERE RUNNING INTO WALLS BECAUSE AGAIN, PRIVATE SECTOR, THEY'RE NOT BOUND BY THE SAME RULES.

SO FUEL PRICES, INSURANCE PRICES, EVERYTHING THOSE GO UP, THEY DON'T HAVE LIMITS LIKE 3.5%.

THEY CAN GO UP 10%. THEY WANT TO.

SO THAT THAT IS A VERY REALISTIC AND IN MY EXPERIENCE, PROVEN RISK BY MY EXPERIENCE IN NEBRASKA.

YEAH, I JUST IT NEEDS TO BE SOMETHING I THINK WE THINK ABOUT AS WE'RE GOING THROUGH THIS AGAIN.

I THINK EVERYBODY UP HERE WANTS TO KEEP TAXES TO A MINIMUM.

BUT I JUST THINK WHEN YOU LOOK AT THAT PROPERTY TAX IS IT IS IT IS COULD IT BE HAMPERING US LONGER TERM WHERE COSTS GO UP, EXPENSES GO UP, THINGS THAT WE NEED TO DO GO UP AND THAT WE'RE SAYING, WOW, IF WE HAD TAKEN A CONSISTENT 3.5%, COULD WE, YOU KNOW, COULD WE BE ABLE TO AFFORD THESE THINGS OR WHAT ARE OUR OTHER RESOURCES TO BE ABLE TO FUND THINGS? AND I'M NOT SAYING ONE'S RIGHT AND ONE'S WRONG.

I'M JUST SAYING YOU HAVE TWO THINGS THAT, YOU KNOW, THE POTENTIAL OF NOT BEING ABLE TO TO TO GET THAT INCREASE ON A REGULAR BASIS.

COULD THAT HURT YOU DOWN TIME IF YOU'RE NOT TAKING THAT? I THINK THAT IS A VERY VALID POINT TO BRING UP.

AND TO YOUR POINT, THAT 3.5%, AGAIN, IS ONLY ON THE O&M SIDE OF YOUR TAX RATE.

SO RIGHT NOW WE'RE A LITTLE OVER $0.31 ON OUR OWN O&M SIDE OF THE TAX RATE.

SO YOU DROP IT DOWN THREE THREE AND A HALF PENNIES.

THAT'S SQUEEZING THAT REVENUE.

YOU CAN GET OUT OF THAT YEAR OVER YEAR EVEN MORE.

SO NOW ALSO KEEP IN MIND WE TALKED ABOUT THIS AND IT'S BEEN A YEAR FROM THE STATE STANDPOINT.

BUT YOU DO RIGHT NOW HAVE A THREE YEAR LOOK BACK PERIOD WHERE IF YOU FOREGO SOME OF THAT O&M SIDE OF THAT RATE, YOU CAN GO BACK AND RECAPTURE THAT, WHICH IS WHAT HAPPENED ON OUR VOTER APPROVAL TAX RATE THIS YEAR, BECAUSE WE DIDN'T CAPTURE ALL OF IT LAST YEAR FOR THE EXACT SAME PURPOSE.

SO WE HAVE THE OPTION TO CAPTURE IT THIS YEAR, WHICH WILL HELP IN THE FUTURE.

[02:00:03]

SO BUT YOU'RE EXACTLY RIGHT BECAUSE AND TO GRAYSON'S POINT, COSTS ARE GOING TO CONTINUE TO GO UP.

BUT WE WILL BE CONSTRAINED TO THAT 3.5% ON WHATEVER O&M SIDE OF THE TAX RATE COUNCILS CHOOSE TO GO WITH.

THANK YOU. OH, NO.

KEEP GOING. OKAY. ALL RIGHT.

SO NEXT ITEM DOWN IS THE JAIL CONTRACT.

SO WE STILL HAD IT IN THE BUDGET AT $2 MILLION.

THAT'S BEEN RENEGOTIATED AT THAT 1.8.

SO THAT ADDS 200,000 BACK INTO YOUR WORKING BUDGET.

OKAY. SO PARK CIP WE HAVE ANOTHER HANDOUT FOR YOU REAL QUICK.

AND I'VE GOT MICHAEL KASHUBA HERE TO HELP ANSWER QUESTIONS.

AND MY UNDERSTANDING IS I THINK JOSH CRAFT MIGHT BE ABLE TO HELP WITH SOME OF THIS.

I THINK HE SET DOWN A LITTLE BIT TOO WITH MICHAEL AND WENT OVER SOME OF THESE OPTIONS.

THIS IS FROM PARKS, SO IT'S NICE AND COLORFUL AND EASY TO LOOK AT.

SO THANK YOU.

MICHAEL, YOU WANT TO COME UP TO THE PODIUM SO YOU CAN KIND OF JOIN IN ON THE CONVERSATION HERE? SO WHAT WE LOOKED AT IS HAVING $500,000.

I THINK COUNCIL MEMBER CRAFT HAD BROUGHT THAT UP.

YOU KNOW, COULD WE LOOK AT MAYBE PUTTING AN ADDITIONAL $500,000 INTO ONGOING FUNDING FOR PARKS? AND SO WE TASKED MICHAEL KASHUBA AND HIS TEAM WITH COMING UP WITH SOME IDEAS ON THAT.

AND HE TOOK IT A STEP FURTHER AND EVEN CAME UP WITH SOME OTHER IDEAS.

WHETHER WE DO CASH FUNDING FOR PROJECTS OR POTENTIALLY LOOK AT A DEBT ISSUANCE WITH SOME OF THAT ONGOING FUNDING TO BRING MORE BANG FOR THE BUCK TO THOSE ADDITIONAL DOLLARS GOING THROUGH.

SO WHAT MICHAEL'S GOT ON HERE IS KIND OF A FULL SCALE OF PROJECTS THAT COULD BE DONE.

NOW, WE'VE GOT A COUPLE OF THINGS.

IF YOU'LL REMEMBER BACK, WE HAVE PARKS ANY FUNDING ANNUALLY AND THAT'S WHAT WE WOULD RECOMMEND THIS 500,000 GOING TO.

SO HE'S GOT A COLUMN FOR THAT.

THEN HE'S GOT A COLUMN FOR THOMPSON FUNDING.

WHAT THAT THOMPSON FUNDING IS, IF YOU'LL REMEMBER, WE HAVE A LITTLE BIT OF BOND PROCEEDS LEFT FROM THE THOMPSON POOL CONSTRUCTION.

HERE IS MICHAEL'S RECOMMEND MICHAEL'S TEAMS RECOMMENDATION FOR THAT REMAINING BOND FUNDING.

THEN THE NEXT ITEM OVER IS WE'VE GOT SOME ARPA FUNDING THAT'S COMING FROM OUR NEIGHBORHOOD PLANS.

AND SO HE'S GOT SOME PROJECTS LISTED THERE THAT ARE IN THE NEIGHBORHOOD PLANS ARE RECOMMENDING WE ALSO HAVE SOME GRANT FUNDING THAT IS AVAILABLE. HE'S GOING TO TALK ABOUT THAT.

AND THEN WE'VE GOT SOME NEIGHBORHOOD INITIATIVE DOLLARS THAT THEY'RE LOOKING TO PUT TOWARDS SOME PARK PROJECTS AS WELL.

AND THEN THERE'S SOME OUTSIDE FUNDING WE'RE LOOKING AT.

SO, MICHAEL, DO YOU WANT TO JUST REAL QUICKLY GO THROUGH THESE PROJECTS? THANK YOU.

THERE YOU GO. MAYOR AND COUNCIL.

WE'LL WALK THROUGH THIS VERY QUICKLY.

SO WHEN WE HAD INITIALLY PRESENTED OUR CIP LIST, LES.

SOME OF THESE PROJECTS WERE ON THERE, AND SO WE HAD TO LOOK AT SEEING IF THERE WERE OTHER FUNDING SOURCES THAT COULD POTENTIALLY COVER SOME OF THOSE PROJECTS.

SO FOR EXAMPLE, THE BONES HOOKS LIGHTING PROJECT, THE HAZEL RIGG LIGHTING PROJECT BETWEEN ARPA AND THE ENERGY EFFICIENCY GRANT, WHICH WE'RE ANTICIPATING WOULD REALLY COVER THOSE TWO PROJECTS ALMOST IN FULL.

A LITTLE BIT OF MONEY WOULD HAVE TO COME FROM THE NORTH HEIGHTS NEIGHBORHOOD ASSOCIATION.

EASTRIDGE. THAT WOULD BE THE MASTER PLAN THAT WE'RE DOING FOR THAT 18 ACRE PROPERTY OVER ON THE EAST SIDE OF EASTRIDGE.

THAT WOULD BE REIMBURSED BASICALLY THROUGH ARPA.

AND THAT MONEY THAT WE HAVE WOULD GO TO MAKE IMPROVEMENTS THERE IN THE FUTURE.

PADDLE. THIS IS A RECOMMENDATION THAT CAME FORWARD.

THE ALEX O'BRIEN FOUNDATION IS ACTUALLY WILLING TO PARTNER WITH US 50 OVER 50 ON SOME PADDLE COURTS AT THE TENNIS CENTER.

THEY'RE VERY ENTHUSIASTIC ABOUT THIS AND SOMETHING THEY ARE FEEL VERY PASSIONATE ABOUT IN MIDLAND.

WHEN THEY PUT THE COURTS AND THEY, THEY SAID THERE'S A FIVE DAY WAIT.

SO THEY'VE ACTUALLY ADDED A COUPLE MORE COURSES? MY UNDERSTANDING.

ONE OF THE CHALLENGES WE RUN INTO, WE'VE GOT ABOUT A MILLION AND A HALF IN ANY.

SO SOME OF THESE BIGGER PROJECTS THAT WE'VE LISTED NEXT, IT'S NOT POSSIBLE TO FUND OUT OF OUR CASH IN ONE YEAR.

SO WHAT WE'RE RECOMMENDING IS THOMPSON AND JOHN STIFF DOING THOSE AS DEBT FUNDED OVER TEN YEARS, SO WE COULD GO IN AND MAKE THOSE SIGNIFICANT IMPROVEMENTS TO THOSE PARKS.

AND A LOT OF THAT IS PUBLIC SAFETY.

YOU KNOW, BEING ABLE TO LIGHT THOSE PARKS UP WHERE WE CAN SEE THROUGH THEM AT NIGHT, WHERE APD CAN DRIVE THROUGH, SEE ANY KIND OF ACTIVITY, BUT ALSO PROVIDE A BETTER ENVIRONMENT FOR PEOPLE TO GO WALK AND USE THOSE PARKS AT NIGHT.

I KNOW JOHN STIFF, WE'VE GOT SAND VOLLEYBALL COURTS THAT PEOPLE CAN'T USE BECAUSE IT'S PITCH BLACK.

WE'VE GOT A LOT OF WALKING TRAILS THAT PEOPLE CAN'T USE, SO WE WOULD RECOMMEND BASICALLY DEBT FUNDING IT OVER TEN YEARS AND AND DOING THOSE PROJECTS THE ZOO THAT WOULD COME OUT OF THE THOMPSON FUNDING DO ABOUT A HALF $1 MILLION IN PROJECTS THERE, PRIMARILY CLEANING UP THE CENTER OF THAT.

[02:05:05]

JOHN STIFFS SOUTH SOCCER.

THE REASON WE PUT THAT IN PLACE IS WE'VE GOT THE FIELDS AT RICK KLEIN.

WE'VE GOT THE FIELDS NOW AT NORTH SIDE OF JOHN STIFF.

AND WHAT WE'RE SEEING IS A HUGE DEMAND FOR THOSE FIELDS.

AND SO WE WANT TO CONTINUE TO PROVIDE HIGHER LEVEL FIELDS.

BUT THE CHALLENGE IS WHEN WE'VE GOT PEOPLE JUST USING THEM, IT JUST WEARS THEM TO DIRT.

SO WE'VE GOT A LIST OF USER GROUPS THAT CONTINUE TO COME FORWARD LOOKING FOR MORE AND MORE FIELDS.

I THINK THIS BECOMES AN OPPORTUNITY IF WE CAN ADD A FEW MORE FIELDS TO START DOING BIGGER REGIONAL TOURNAMENTS WHERE WE'RE ACTUALLY HOSTING MAYBE A FOUR STATE TOURNAMENT FOR SOCCER AND THINGS LIKE THAT. SO THAT'S SOMETHING WE'RE WE'RE LOOKING AT DOWN THE ROAD.

PARK CONCRETE REPAIRS.

OBVIOUSLY THAT'S SOMETHING WE'VE BEEN DOING HEAVILY THIS YEAR.

THERE'S A HUGE DEMAND FOR IT, MAKING THOSE ADA REPAIRS AND JUST FIXING THOSE SIDEWALKS SO THAT WE DON'T HAVE TRIP HAZARDS.

ONE OF THE THINGS THAT CAME UP, WE ACTUALLY WENT AND GOT ESTIMATES ON THE POOL REPLASTERING, AND THAT CAME IN WAY HIGHER THAN WE HAD ANTICIPATED.

WE HAD ANTICIPATED ABOUT 150 PER POOL, AND THEY CAME IN OVER 400 PER POOL.

SO THAT IS A VERY SIGNIFICANT INCREASE THAT WE HAD NOT ANTICIPATED.

SO AND THEN LIKE I SAID, WE SHOW KIND OF THE DEBT FUNDED PROJECTS OVER ON THE LEFT AND WHAT THE ANTICIPATED TEN YEAR COST WAS IF WE WERE TO, TO DO DEBT SERVICE ON THOSE.

BUT I'D BE HAPPY TO ANSWER ANY QUESTIONS.

OBVIOUSLY, SOME OF THESE PROJECTS, WE'D HAVE TO MOVE PRETTY QUICKLY ON WITH THE ARPA FUNDS BEING ABLE TO MOVE THOSE, GET THOSE TO COUNCIL SO WE CAN MEET THOSE WINDOWS.

SAME THING WITH SOME OF THESE OTHER PROJECTS.

SO BE HAPPY TO ANSWER ANY QUESTIONS ON THESE.

I THINK ONE OTHER THING TO KEEP IN MIND IS HE'S GOT AN AMOUNT ON HERE TO REPLASTER SOUTHWEST AND SOUTHEAST POOL THAT HE TALKED ABOUT. IT IS A SIGNIFICANT EXPENDITURE.

AND IF THERE'S ANY THOUGHTS FROM COUNCIL TO GO A DIFFERENT DIRECTION ON EITHER OF THOSE POOLS, WE'D WANT TO DO THAT BEFORE WE REPLASTERED AND PUT SOME SIGNIFICANT CAPITAL EXPENDITURES IN THOSE AREAS.

AND JUST KEEP IN MIND, WE ALSO ANTICIPATE THAT THERE'S PROBABLY GOING TO BE SOME MECHANICAL STUFF THAT'S COMING.

WE'RE WORKING ON TRYING TO GET SOME ESTIMATES FOR THAT AS WELL.

THIS IS JUST REPLASTERING THOSE TWO POOLS.

WELL, WHAT ARE YOUR RECOMMENDATIONS ON SOUTHWEST? I KNOW THAT LAST YEAR WE WERE KICKING AROUND MAYBE CLOSING THE DOORS.

NOW WE'RE LOOKING AT MAYBE DOING A SPLASH PAD, YOU KNOW, SOME DIFFERENT RESOURCES.

AND WE LOOK AT $450,000 TO REPLASTER THAT IT'S AN OLDER POOL.

WE'VE GOT MAINTENANCE ISSUES THAT COULD PROBABLY COME UP AS WELL.

WHAT ARE STAFF RECOMMENDATIONS ON THAT BASED ON ATTENDANCE THIS YEAR? I KNOW WE WERE UP IN I THINK JUNE WAS A BIG YEAR OR A BIG MONTH.

JULY WENT WAY BACK DOWN.

CORRECT. WHAT ARE WE LOOKING AT OVER THERE? I MEAN, REALLY, IT'S UP TO COUNCIL'S DISCRETION.

BUT, YOU KNOW, WHEN WE LOOK AT IT, IF COST RECOVERY IS THE GOAL, RIGHT NOW WE'RE LOOKING AT ABOUT 30% AT SOUTHWEST, ABOUT 40% AT SOUTHEAST.

AND THOMPSON IS ABOUT 97%.

SO IF COST RECOVERY IS THE GOAL, THEN IT DOESN'T MAKE FINANCIAL SENSE.

IF IT'S QUALITY OF LIFE.

IT'S JUST A MATTER OF HOW MUCH DO WE WANT TO INVEST IN IT AT THE END OF THE DAY? YOU KNOW, THE ATTENDANCE IS IS NOT HIGH SPECIFICALLY AT SOUTHWEST.

WE TRIED THE PARK BOARD RECOMMENDATION WAS PUT SOMETHING IN THERE.

SEE IF WE CAN GET THE ATTENDANCE TO GO BACK UP.

WE SAW A LITTLE BIT OF A BUMP, BUT WE DIDN'T REALLY SEE ENOUGH TO SUBSTANTIATE YOU KNOW, THOSE TYPES OF AMENITIES, DRAWING A WHOLE BUNCH OF PEOPLE BACK.

SO IT REALLY, YOU KNOW, LONGER TERM, THE PARK MASTER PLAN TALKED ABOUT SCALING STUFF BACK STRATEGICALLY, THE FACT THAT WE HAVE TOO MANY ASSETS THAT WE CAN'T FINANCIALLY MAINTAIN OVER THE LONG HAUL.

AND SO, YOU KNOW, PUTTING SOME BIG REGIONAL SPLASH PADS WOULD POTENTIALLY SERVE SOME OF THAT NEED, BECAUSE WE'VE GOT A LOT OF SMALLER SPLASH PADS AROUND TOWN THAT ARE GOING TO HAVE TO BE CONSIDERED IN THE NEAR FUTURE, TOO, THAT ARE HITTING LIFE EXPECTANCY.

SO WE'VE GOT A LOT OF AQUATIC RELATED ITEMS THAT ARE HITTING LIFE EXPECTANCY OR PAST LIFE EXPECTANCY.

AND ALSO WE TALKED ABOUT THIS DURING THE LAST BUDGET REVIEW.

THOSE POOLS HAVE ONGOING COSTS OF ABOUT 100.

WELL, NET COST OF ABOUT 135,000 PER YEAR PER POOL.

SO NOT INCLUDING THE ANY REPAIRS OR REPLASTERING THAT KIND OF STUFF.

BUT THAT'S WHERE YOUR 30% COST RECOVERY COMES IN, RIGHT? I MEAN, ON SOUTHWEST.

OKAY. COUNCIL, I'D I'D PUSH THIS ONE DOWN A LITTLE BIT ON THE LIST, GO BACK TO MEET AND CONFER AND THEN WORK SOME OF THESE OTHER NUMBERS.

THIS WOULD BE ONE THAT WOULD BE EASY TO TACKLE.

YOU KNOW, IN OUR NEXT COUPLE MEETINGS, I WOULD SAY YES.

I THINK THE MAIN THING WE NEED TODAY IS, IS, YOU KNOW, DOES THE 500,000 SEEM REASONABLE, AND IF SO, THEN I THINK WE CAN EARMARK THAT IN THE BUDGET AND THEN CONTINUE WORKING WITH YOU ALL ON WHAT THAT PLAN LOOKS LIKE GOING FORWARD, IF THAT'S WHAT YOU NEED.

[02:10:06]

ALL RIGHT. SO THE NEXT ITEM DOWN.

THANK YOU. MICHAEL. THE NEXT ITEM DOWN IS YOUR VOTER APPROVAL TAX RATE.

SO SINCE THE STATE CONTROLLER CAME OUT WITH ANOTHER CLARIFICATION ON THE CALCULATION IT DID ALLOW FOR THE UNUSED INCREMENT FROM LAST YEAR TO BE RECAPTURED IF COUNCIL CHOOSES.

AND THAT WOULD PUT $1 MILLION BACK INTO YOUR WORKING BUDGET.

SO THAT'S HERE ON YOUR LIST.

WE TALKED A LITTLE BIT ABOUT INTEREST INCOME, AND I MENTIONED THAT I'VE BEEN WORKING WITH SOME FINANCIAL ADVISORS, SOME OUTSIDE, OUTSIDE CONSULTANTS, AND THEY'RE STATING, YOU KNOW, REALLY LOOKING AT TRYING TO PULL THOSE INTEREST INCOME NUMBERS BACK.

SO THERE'S TWO PIECES ON INTEREST INCOME THAT AFFECTS THE GENERAL FUND.

ONE IS THE INTEREST INCOME WE EARN IN THE GENERAL FUND.

THE OTHER ONE IS THE INTEREST INCOME WE EARN ON OUR CONSTRUCTION FUNDS BEFORE THEY'RE FULLY IMPLEMENTED.

WE PULL THAT INTEREST BACK INTO THE GENERAL FUND.

AND SO I RELOOKED AT THOSE NUMBERS AND I RERAN THEM.

AND I'M RECOMMENDING THAT WE LOWER THOSE INTEREST INCOME NUMBERS BY ABOUT 1.8 MILLION.

IF WE ACHIEVE MORE THAN THAT, THEN THAT JUST COMES BACK INTO YOUR BUDGET TO BE USED GOING FORWARD.

BUT I THINK THAT'S A MORE CONSERVATIVE APPROACH TO YOUR INTEREST INCOME NUMBERS.

FOR NEXT YEAR, ESPECIALLY BASED ON MORE RECENT CONVERSATIONS.

WE ALREADY TALKED ABOUT THE MILLION DOLLARS OF ONGOING FUNDING FOR PUBLIC HEALTH.

AND THEN THAT LAST ITEM ON YOUR ONGOING WORKING BUDGET WAS SOMETHING THAT CAME UP THROUGH JUST SOME VARIOUS THINGS GOING ON AT THE CITY.

WE WOULD ALWAYS APPRECIATE ADDITIONAL INTERNAL AUDIT STAFF.

THAT IS A TEAM THAT IS VERY, VERY, VERY BUSY AND DEFINITELY HAS MORE WORK THAN THEY DO.

STAFF AND ANY AMOUNT WE INVEST INTO THAT INTERNAL AUDIT TEAM, I THINK CAN COME BACK IN SAVINGS THAT WE MAY NOT EVEN REALIZE.

YOU KNOW, IT'S KIND OF LIKE INVESTING IN CYBERSECURITY IN CERTAIN IT SECURITY MECHANISMS. THIS IS INVESTING IN POTENTIALLY YOUR INTERNAL AUDIT TEAM TO HELP.

THEY LOOK AT MORE THAN JUST THE FINANCIAL ENDS OF THINGS.

THEY'RE ALSO LOOKING AT JUST OVERALL OPERATIONS AS WELL.

AND SO IF COUNCIL WOULD LIKE WE WOULD ALWAYS APPRECIATE PUTTING AN ADDITIONAL POSITION IN ON THAT TEAM.

AND THAT WOULD BE AT A COST OF 80,000.

AND THIS IS ACTUALLY A RECOMMENDATION THAT I THREW IN THE LAST MINUTE.

AFTER AFTER HAVING EXAMINED SOME OF THE EMBEZZLEMENT MATTERS AND INVOLVING AND SO TALKING TO THE FBI.

SO THIS WOULD BE A WELL WORTH PURSUIT, I BELIEVE, IN ORDER TO IN ORDER TO ADDRESS THOSE.

SO VERY IMPRESSED WITH WHAT I'M SEEING SO FAR.

BUT BUT TALKING TO THEM, THERE'S OPPORTUNITY FOR US TO DO TO DO EVEN MORE.

GO AHEAD. ALL RIGHT.

OH I'M SORRY. ALONG THOSE SAME LINES, THIS IS KIND OF OUTSIDE.

DID THE BUDGET DID WE COUNT ON REPAYING THE FED, THE GRANT MONEY? YES. THAT'S ALREADY BEEN FLOWN.

THAT'S ALREADY GONE THROUGH THE CURRENT YEAR'S BUDGET.

YES, SIR. YES.

AND THAT. THAT PAYMENT'S ALREADY BEEN MADE.

OKAY. YES. SO IF I, IF I COULD, I'M GOING TO ASK.

ARE YOU GOOD WITH.

THIS IS A GREAT OVERVIEW.

I THINK WE CAN PROBABLY GET THROUGH 7,080% OF IT HERE TODAY.

LEAVE SOME TO DEAL WITH AT THE NEXT MEETING.

OKAY. WHAT I'D LIKE TO DO.

AND UNLESS YOU'VE GOT ANYTHING ELSE YOU NEED TO GO OVER, I WAS JUST GOING TO REAL QUICKLY GO OVER THE ONE TIME ITEMS. WE'VE GONE OVER SOME OF THEM, BUT I JUST HAD A COUPLE OF OTHER UPDATES.

AND YOU'VE GOT IF YOU FLIP YOUR NARRATIVE PAGE TO THE BACK, AND THEN LOOK AT YOUR SPREADSHEET ON THE RIGHT HAND SIDE.

YOUR ONE TIME FUNDING.

AGAIN, WE RECOMMENDED SHIFTING THE PUBLIC HEALTH ONE TIME FUNDING TO ONGOING FUNDING.

SO WE'VE ZEROED IT OUT ON THE ONE TIME SIDE ANNUAL STREET FUNDING.

WE'RE GONNA PUT THAT BACK IN AT 2.5 MILLION.

APD LOCKERS IF YOU'LL REMEMBER, THAT CAPITAL PROJECT WAS PUT IN AT $1.2 MILLION, AND WE WERE ASKED TO CUT THAT BY A MILLION. WE GOT THREE DIFFERENT QUOTES IN, AND THEY'RE THERE FOR YOU ON YOUR NARRATIVE PAGE.

THIS IS YOUR MIDDLE ONE.

THERE IT IT WOULD BE A $468 MILLION AMOUNT BACK INTO YOUR WORKING BUDGET WHICH WOULD BE A TOTAL COST OF 732,000 FOR 400 LOCKERS OVER AT APD.

SO I'M CONFUSED.

THE 468 NUMBER DOESN'T REPRESENT ALL THE LOCKERS NEEDED.

THE 468 IS COVERING 400 LOCKERS, AND RIGHT NOW WE HAVE SO THE FULL BUILD OUT WAS GOING TO BE 465.

SO 400 GIVES A LITTLE ROOM FOR GROWTH BUT NOT THE FULL BUILD.

SO STAFF RECOMMENDING SPEND THE 468 FOR 400 LOCKERS.

IT'S 732.

[02:15:01]

AND SO BUT NOW WE'RE WE'RE PULLING THAT DOWN I THINK DOWN TO 4 TO 1.4.

68 IS WHAT WE WOULD GIVE BACK TO THE WORKING BUDGET FOR ONE TIME EXPENSE INSTEAD OF A MILLION BECAUSE YOU BUDGETED 1.2 MILLION.

THAT'S CORRECT. OKAY.

SO YOU'RE SPENDING $700,000 ON LOCKERS? YES. THAT'S THE THAT'S THE QUOTE THAT WE HAVE.

SO, I MEAN, I HATE TO HAVE TO GRAB THE CALCULATOR FOR THAT ONE.

HOW MUCH IS THAT PER LOCKER? JERRY. HOLD ON.

ANDREW. I HAVE MY CALCULATOR.

ANDREW'S PULLING THAT UP RIGHT NOW.

HE'S GOT THAT QUOTE BECAUSE PART OF IT'S THE LOCKERS AND PART OF IT'S THE INSTALL RELATED.

THEY'RE RIGHT OVER 1000.

1040 6400.

THEY WERE 2400 400 EACH BEFORE ORIGINALLY.

YEAH. SO THIS IS THIS IS THE ONE WITH 465 LOCKERS.

SO IT DEPENDS.

IT DEPENDS ON WHICH LEVEL WE GO.

BUT AROUND 1000, WE WON'T GET STUCK IN THE MUD ON THIS ONE HERE.

SO YOU TOOK THREE BIDS.

THIS IS ALL YOU GOT, RIGHT? WE HAVE THREE QUOTES, BUT FOR THREE DIFFERENT AMOUNTS OF LOCKERS.

THIS IS A GOVERNMENT CONTROLLED CONTRACT.

SO IT'S A CONTRACT.

IT'S ALREADY A PRE-NEGOTIATED PRICE.

OKAY MISS LAURA, GO AHEAD AND KEEP GOING THROUGH THE REST OF THOSE, OKAY? YES. THE NEXT ITEM DOWN IS THE LGC LOAN AND RETAIL FINISH OUT SPACE.

THAT WAS THE AMOUNT THAT LGC IS PAYING BACK TO THE CITY.

PLUS WHAT WE HAD EARMARKED TO PAY FOR RETAIL SPACE.

FINISH OUT THAT WE CAN RELEASE BACK TO BE REALLOCATED AS ONE TIME COST THERE.

SO THAT'S THREE FOUR 5 MILLION.

POTTER COUNTY LAND SWAP AGAIN.

THIS WAS 182,000 THAT WE HAD IDENTIFIED.

IF THE CITY COULD EXCHANGE PROPERTIES WITH POTTER COUNTY, GIVING US THE PROPERTY JUST TO THE NORTH OF THE NEW TRANSIT CENTER AND RELINQUISHING THE LAND OVER ON LINE ADAM LINE AVENUE THAT OUR DRAINAGE UTILITY TEAM IS IN AT THIS POINT.

SO IT WOULD BE A NET COST TO THE CITY OF ABOUT 182,000.

WE WENT OVER EXCESS RESERVES JUST A LITTLE WHILE AGO.

WE HAD TARGETED 2 MILLION.

AND WE CAN BRING THAT UP TO ABOUT 3.5 MILLION.

TO GO BACK INTO ONE TIME FUNDING ON YOUR CITY HALL DEMOLITION.

WE TALKED ABOUT THAT DURING BUDGET REVIEW AND KIND OF THREW OUT AN ESTIMATE ABOUT A MILLION AND A HALF.

JERRY AND HIS TEAM WENT AND GOT AN ESTIMATE, AND IT CAME IN AT 900,000, SO LOWER THAN WHAT WE HAD ANTICIPATED.

THEN DOWN BELOW THERE WOULD BE IF WE DECIDED TO DO THE BLENDED OPTION FOR THE COMMUNITY DEVELOPMENT OFFICES.

THIS IS JUST ONE OPTION THERE.

AT 1.3, AND THAT WOULD BE A $270,000 ONGOING LOAN WITH THAT 1.3.

THE FLEET FINANCING OPTION, WE WENT OVER JUST A MINUTE AGO, PRODUCING ABOUT 2.5 MILLION IN SAVINGS FOR NEXT YEAR AND THEN FIRE STATION 14.

SO I THINK WE ARE DONE WITH DESIGN AT THIS POINT AND THEY ARE NOT THERE.

I'M SORRY. LET ME LET ANDREW TALK ABOUT THIS.

SO JERRY HAS BEEN WORKING WITH THE ARCHITECTS TO DO THE DESIGN FOR THE SITE.

THE ORIGINAL BUDGETED NUMBER WAS IN THE $5 MILLION RANGE TO INCLUDE PURCHASING THE LAND, WHICH WE RECENTLY DID, AND WE WERE VERY LIMITED ON THE LAND WE COULD CHOOSE.

SO THE LAND WE ENDED UP WITH DOES HAVE SOME TERRAIN SHIFTING THAT'S GOING TO REQUIRE A RETAINING WALL WHICH IS GOING TO INCREASE THE COST OF THE PROJECT.

BUT WE DO HAVE AN OPPORTUNITY.

WE DISCUSSED WITH COUNCIL POTENTIAL GRANT LOOKING IDEAS FOR TRAINING FACILITIES FOR FIRE, IN PARTICULAR BECAUSE THEY NEED PARAMEDIC TRAINING THEIR ACADEMY.

WE HAVE THE OPPORTUNITY.

RETAINING WALLS WERE REQUIRED REGARDLESS, BUT WE HAVE THE OPPORTUNITY TO BUILD A BASEMENT WITH THIS STATION THAT WOULD ALLOW THE BASIN TO SERVE AS THE TRAINING ROOM, CLASSROOM SPACE FOR THE PARAMEDICS AND THEIR FIRE ACADEMY.

BUT WITH THAT, DOING IT ALSO AS A TWO COMPANY STATION ALSO FACTORS INTO SOME OF THE COSTS FOR THREE BAYS FOR THE GRASS RIGS AND ALL THEIR TRUCKS, AND THEN JUST A MINOR COST FOR THE ADDITIONAL ROOM SPACE FOR THAT SECOND, SECOND SHIFT OR SECOND COMPANY IN THAT STATION.

SO THESE ARE VERY PRELIMINARY NUMBERS BASED OFF WHAT THEY PROJECTED.

THEY HAD THREE CONTRACTORS WEIGH IN JUST JUST BASED ON THE INCREASED COST AND THE SCOPE OF THE SQUARE FOOTAGE AND WHAT WE'RE PROPOSING AT A VERY HIGH LEVEL.

AND THIS IS THE NUMBER THAT'S WE'RE STARTING TO HONE IN ON.

SO IT IS ABOUT AN INCREASE OF ABOUT FOUR, ALMOST $5 MILLION FOR A TWO COMPANY STATION ON THE SITE WITH THAT ADDITIONAL BASEMENT SPACE INCLUDED. GIVE US SOME TIMING ON THAT.

AS FAR AS WHEN DO YOU WHEN DO YOU THINK YOU'D REALIZE THE EXPENDITURES OF THESE FUNDS? IS IT POSSIBLE TO SPEND THESE IN THIS NEXT YEAR'S BUDGET?

[02:20:01]

SO TO ENTER INTO THE CONTRACT, WE'D HAVE TO IDENTIFY THE FUNDS.

COULD I SAY YOU HAVE SIX MONTHS DESIGN CONTRACTS, AND THEN BEFORE YOU LET THE PROJECT, WOULD YOU HAVE 2 OR 3 MONTHS BEFORE YOU START CONSTRUCTION? NINE MONTHS FROM NOW? THAT WOULD BE GENEROUS.

TYPICALLY WE GO THE PRESSURE THAT WE HAVE ON THE ARCHITECTS IS TO GET ONCE YOU GIVE ME DIRECTIONS, WE'LL GET THE DESIGNS FINISHED IN ABOUT 3 TO 4 MONTHS.

LIKE WHAT YOU'RE THINKING? AT THAT POINT IN TIME, WE'LL LET IT OUT TO BID.

THAT'S TYPICALLY A TWO MONTH PROCESS, AND AFTER THAT WE GENERALLY REQUIRE THE CONTRACTORS BIDDING TO START WITHIN TEN DAYS.

SO YOU'RE SIX MONTHS TO START.

CORRECT. SO WE'D BE HALFWAY INTO OUR YEAR BUDGETING THE FULL AMOUNT IN THIS CURRENT YEAR, SO WE'D BE SETTING IT ALL ASIDE.

IS THERE ANY RECOMMENDATION FROM STAFF TO LOOK AT THIS AS ONE TIME FUNDING BUDGETED OVER TWO SEPARATE YEARS OR WOULD RATHER GO AHEAD AND BUDGET THE FULL AMOUNT? I THINK WE HAVE TO BUDGET THE FULL AMOUNT WHEN WE CONTRACT THE PROJECT.

YOU GOT TO HAVE IT. YEAH. TO AWARD THE CONTRACT, WE NEED THE FUNDING.

WE HAVE A LITTLE OVER 3 MILLION SITTING THERE.

WE STARTED WITH OVER 5 MILLION, BUT WE ALSO HAD TO BUY THE TRUCK FOR THE STATION, SO THAT WE'RE ALSO MAKING AN ASSUMPTION THAT WE'LL HAVE ONE TIME FUNDING AVAILABLE THE NEXT FISCAL YEAR. RIGHT? CORRECT.

WE HAVE IT HERE. IT'S BETTER TO ALLOCATE IT ALL THAT WAY.

YOU'VE GOT IT. SO YOU NEED THIS 4.9 IS TOTAL COST OR THIS IS ADDITIONAL COST ADDITIONAL MILLION.

THAT'S ADDITIONAL. SO YOU'RE LOOKING AT ABOUT A 7.5 MILLION $8 MILLION $8 MILLION TURNKEY? YES. OKAY.

ANYTHING ELSE ON THAT, MR. FREEMAN? NO, SIR. OKAY.

COUNSEL, WE HAVE 15 MINUTES.

I'D LIKE TO DIRECT US BACK TO MEET AND CONFER AND GET A DISCUSSION ON THAT.

AND THEN I WOULD LIKE TO HAVE JUST AN OPPORTUNITY TO GO BACK WITH A FEW RECOMMENDATIONS FOR STAFF ON WHAT I'M SEEING IN SOME OF THE BUDGETARY ITEMS ON YOUR LIST, AS WELL AS COUNSEL MEET AND CONFER.

LET'S START WITH A REAL EASY GENERAL QUESTION.

WHAT ITEMS PLACED ON THE ADDITIONAL REQUESTED MEET AND CONFER ITEMS WOULD YOU LIKE TO DISCUSS? COUNCIL WITH ALL OF THEM.

COUNCILMAN SCHERLEN SAYS HE'S GOOD WITH ALL OF THEM.

COUNCILMAN SIMPSON, DO YOU HAVE ONE IN PARTICULAR YOU'D LIKE TO DISCUSS? 1 OR 2.

SO LET ME JUST GET THE TOTAL PRICE TAG ON ALL OF IT COMBINED THAT WE HAVEN'T CURRENTLY PUT IN OUR PROFORMA.

HERE IS HOW MUCH.

SO YOU'RE LACKING 307,000 ON THE POLICE SIDE AND 225,000 ON THE FIRE SIDE.

307. SO THE TOTAL I GUESS, WOULD BE ABOUT 9.1 MILLION IS WHAT WE'VE GOT.

9 MILLION OR 9.4 MILLION, DEPENDING ON IF THEY ACCEPT ALL THOSE.

225. OH, YES.

SO BETWEEN THE TWO OF THEM, WE'RE LOOKING FOR ALL THESE PROGRAMS. IT TAKES ABOUT 525,000 TO FUND THEM THAT WE DON'T CURRENTLY HAVE IN OUR PRO FORMA THAT WE'RE LOOKING AT.

YES. YES. OKAY.

COUNCILMAN. CRAFT.

I MEAN, I WOULD BE FINE WITH ALLOCATING, YOU KNOW, THE EXTRA 500 THEY NEED FOR THOSE.

COUNCILMAN. TIPPS.

OKAY, SO I'M A LITTLE LOST.

SO 500,000 IS ALL.

WHY AM I SEEING THE TOTAL DIFFERENCE WITH COUNTER-OFFER FOR APDS? A LITTLE OVER A MILLION AND TOTAL DIFFERENCE COUNTER-OFFER.

WE'VE ALREADY FACTORED IN THE STEP INCREASE COMPRESSION AND BUYBACK PROGRAM ON THE WORK WE'VE DONE THAT THAT'S ALREADY FACTORED IN TO.

YES. STEPHANIE, COULD YOU GO TO THE BOTTOM OF YOUR WORKING BUDGET AND JUST AT THE VERY BOTTOM BEFORE THE TOTALS AND JUST PUT IN A DO MEET AND CONFER INCENTIVES? OKAY. OKAY.

AND DO 307,000 AND THEN ONE MORE LINE ITEM FOR.

YEAH. MINUS THREE.

307. AND THEN ONE MORE LINE ITEM IN THERE FOR THREE FIREFIGHTERS AT 225,000.

AND THEN JUST SHOW COUNCIL WHAT THAT MIGHT LOOK LIKE.

WOULD THAT HELP? MAYBE 25.

OH, YEAH. I THINK IT'S GOOD TO HAVE A WORKING LIST HERE IF YOU WANT TO KEEP RUNNING POTENTIAL NUMBERS OVER THERE.

STEPHANIE, ON YOUR SCREEN.

OKAY. COUNCILMAN TIPPS BACK TO YOU.

IF YOU'RE SEEING IT CORRECTLY.

YEAH. OKAY. YEAH, THAT CLEARS IT UP.

I JUST WASN'T FOLLOWING THOUGHT.

I'M. I'M OFF.

SO LET ME ON THE.

SO THE THREE FIREFIGHTERS ARE FOR IT'S FOR A STAFFING MODEL THAT THEY'RE TRYING TO CONTINUE ON WHERE IT BASICALLY THERE'S A FACTOR.

BASED ON THE NUMBER OF MINIMUM REQUIRED POSITIONS ON ANY GIVEN SHIFT, AND IT'S A FACTOR A LITTLE BIT HIGHER THAN WHAT THE MINIMUM

[02:25:01]

SO WHETHER THAT'S SICK LEAVE OR ANNUAL LEAVE.

AND SO IT COMES IN JUST SLIGHTLY HIGHER.

AND SO WE HAD TRIED THIS ACTUALLY STARTING LAST YEAR.

AND SO BASICALLY AUTHORIZED AN OVERFILL ON THE FIRE POSITIONS TO TRY TO COMBAT THE OVERTIME, BECAUSE WHEN PEOPLE START TAKING ANNUAL LEAVE AND SICK LEAVE, THEN YOU'RE PAYING OUT OVERTIME IN ORDER TO STAFF THOSE MINIMUM REQUIREMENTS.

AND SO THEY HAVE A FORMULA THAT THEY HAVE COME UP WITH.

AND ANDREW AND I HAVE REVIEWED IT AND STEPHANIE AND A COUPLE OTHERS.

AND IT, IT WOULD BE TO OVERHIRE ESSENTIALLY WHAT THE MINIMUM REQUIREMENT IS TO ACCOUNT FOR THOSE LEAVES AMOUNTS THAT ARE TAKEN ON AN ANNUAL BASIS.

TO HELP COMBAT AGAINST THE OVERTIME AND TO HELP WITH MORALE FOR THE DEPARTMENT BECAUSE THEY HAVE TO DO CALL BACK LIKE MANDATORY CALL BACK WHEN ANYONE TAKES LEAVE IF THEY DON'T HAVE A LITTLE BIT OF A BUFFER WITH THIS ADDITIONAL STAFFING.

SO RIGHT NOW THEY ARE OVER STAFFED FROM WHAT THEIR MINIMUM POSITIONS ARE, BECAUSE WE HAD GONE AHEAD AND FUNDED THE STAFFING FOR FIRE STATION 14.

AS SOON AS 14 COMES ON NOW THEY'RE BACK TO LIKE ABSOLUTE MINIMUM STAFFING.

AND SO THE IDEA WAS IF COUNCIL WOULD LIKE TO TRY TO KEEP UP WITH THIS STAFFING MODEL, WE THINK IT WOULD BE EASIER TO STAIR STEP INTO IT KNOWING THAT 14 IS COMING INSTEAD OF TRYING TO FUND.

WAS IT 12 OR 13? 13 FIREFIGHTERS ALL AT ONE TIME? SO WE DON'T HAVE TO DO IT BY ANY MEANS.

THEY'RE OKAY THIS YEAR, BUT WE COULD BE COMING BACK NEXT YEAR.

ASKING FOR A SIGNIFICANT NUMBER, WHICH, KEEPING IN MIND, WE'RE ALSO ON THE SAME TRACK IN A COUPLE YEARS.

WE'RE ALSO ABSORBING OUR SAFER GRANT FIREFIGHTERS.

SO IF WE CAN STAIR STEP INTO BOTH OF THOSE, THAT WILL HELP IT BE MORE ACHIEVABLE.

BUT WITH THIS STAFFING MODEL, IT'S NOT A DOLLAR FOR DOLLAR, BUT WE SAVE IN THE OVERTIME.

THAT'S CORRECT. SO IT'S NOT A OVERTIME.

IT'S NOT A COMPLETE BUT IT THERE IS A REDUCTION.

BUT YES IT BRINGS YOUR OVERTIME DOWN.

RIGHT. AND THEN I THINK THE BIGGEST THING WE HEARD FROM THE FIRE DEPARTMENT IS IT HELPS WITH MORALE BECAUSE YOU KNOW, THEY'RE NOT REQUIRING PEOPLE.

IT'S MORE ON A VOLUNTEER BASIS WHO WANTS TO COME IN AND WORK THOSE CALLBACK SHIFTS? EVERYONE. GOOD COUNSEL.

YOU HAVE SOMETHING, SIR? I'LL MAKE A MOTION. NO, NO, NO.

HOLD ON. I'M READY TO GO, MAN.

YOU'RE ABOUT AN HOUR AHEAD OF SCHEDULE.

SO HERE'S HERE'S WHAT I WOULD LIKE TO PROPOSE.

WE WERE SUPER AGGRESSIVE IN OUR TMRS COLA.

PUSHING IT ALL THE WAY TO THE 70.

AND I LIKE THAT THAT WE THAT WE WERE WILLING TO LOOK AT THAT.

I THINK THAT WE ARE ON BUDGET.

WE ARE TRACKING VERY WELL.

IN BEING ABLE TO STILL REACH TO THAT 70.

BUT WE ARE WORKING AHEAD OF OUR SCHEDULE, SO WE'RE TWO YEARS IN ADVANCE IF WE PLUG THAT IN REALLY A YEAR.

SO WE HAVE A LITTLE BIT OF TIME.

I WOULD SAY WE COULD PUSH THAT FROM CURRENTLY MRS STORRS WE'RE AT 30% AND WE WOULD PUSH TO 50.

IF YOU GUYS WERE WILLING TO ENTERTAIN THIS, THAT'S GOING TO FREE UP 1.9 MILLION THIS YEAR WE WOULD THEN STRETCH AND GO AHEAD AND MEET ALL OF THE EXPECTATIONS ON THE MEET AND CONFER REQUESTS.

THAT DOES MORE FOR OUR ENTIRE PUBLIC SAFETY ELEMENT HERE THAN I THINK WE'VE EVER SEEN DONE.

OR AT LEAST IN DECADES.

WE FIXED COMPRESSION.

WE'VE GO AHEAD, SIR.

I WAS GOING TO SAY YES. IF YOU'D LIKE TO MAKE THAT CHANGE.

I WAS GONNA HAVE STEPHANIE GO AHEAD AND MAKE IT DOWN.

I THINK 1.9 WAS WAS A NEW EXPENSE, WASN'T IT? YEAH. SO IT FREES UP 2 MILLION.

2 MILLION? YEAH. FREES UP 2 MILLION.

THEN ON THE BOTTOM OF THAT WORKING BUDGET.

OKAY. AND THAT IS THAT IS AN ONGOING WORKING BUDGET COUNCIL.

JUST CHANGE THIS ONE HERE. YEAH THAT'S FINE FOR NOW.

YEAH. THE PHARMACY PLAN I DON'T I DON'T SEE THE NEED TO CUT THAT TO ZERO IN THE WAY IN WHICH THIS COUNCIL IS NOT GOING TO MOVE FORWARD WITH ZERO SAVINGS. SO I AGREE THAT YOU'RE GOING TO BE ABLE TO BRING SOMETHING BACK MID-YEAR.

BUT I'D LIKE TO KNOW SO THAT WE DON'T WAIT TILL MID-YEAR AND THEN NOT HAVE THE UNDERSTANDING OF, HEY, WE NEED TO PUT THIS SOMEWHERE IN THIS YEAR'S BUDGET.

SO I'M GOING TO ASK MRS STORRS AND CITY MANAGER IF IF WE WOULD BE GOOD TO PLUG IN 01,000,005 SOMETHING MORE CONSERVATIVE VERSUS THE 2 MILLION THERE. I WOULD EVEN SAY BACK OFF THAT.

YEAH, PROBABLY NOT 1,000,005.

STARTING IN JANUARY WOULD YOU LIKE THIS WILL START IN JANUARY? I MEAN, I YEAH, I MEAN, I MAYBE 750,000 MAYBE BECAUSE YOUR, YOUR WHOLE PLAN SAVES, BUT NOT EVERY SINGLE MEMBER IN THE PLAN IS IN THE GENERAL FUND.

YEAH. SO AND TO COUNCIL MEMBER TIPPS POINT THIS WOULDN'T GO INTO EFFECT TILL ONE ONE IN THIS NEXT YEAR.

[02:30:05]

I WOULD LIKE TO SEE SOMETHING REPRESENTED THERE.

MORE AS A GOAL SHEET.

750. 750.

I THINK THAT THAT'S PRETTY AGGRESSIVE JUST TO BE I MEAN, I THINK IT'S SAFE, BUT.

OKAY. AND THEN IF WE HAVE THOSE, THE ONLY OTHER ONE WOULD BE OUR PUBLIC HEALTH FUNDING COUNCIL.

WOULD YOU GUYS WANT TO? BECAUSE WE HAD SAID WE WOULD DO THAT UNDER ONE TIME FUND.

NOW, WHAT WE'RE BEING ASKED TO DO IS TO SHOW SOME SUSTAINABILITY AND TO BE ABLE TO GO AND QUALIFY FOR THOSE POTENTIAL GRANTS.

THAT IS SOMETHING THAT'S GOING TO HAVE TO BE SUPPORTED THROUGH GRANTS.

WE KNOW THAT WHAT WE DON'T WANT TO DO IS PROBABLY BUILD $1 MILLION OVERHEAD INTO THAT DEPARTMENT, THAT THEN FUTURE COUNCILS ARE, WELL, WE CAN'T EVER PULL THAT FUNDING BACK.

THIS IS THIS IS A NEED.

BUT WE'RE NOT GETTING THE GRANTS.

SO WOULD WE BE WOULD WE CONSIDER MAYBE 50% OF THAT BEING ONE TIME, 50% OF THAT BEING ONGOING TO SHARE THE LOAD OF THOSE THAT EXPENSE ON BOTH SIDES OF THIS LEDGER? MY QUESTION IS, WHAT DOES THAT DO FOR GRANT FUNDING? IF WE SHOW THAT, AS I WOULD IMAGINE, THAT IT DOES THE SAME.

I DON'T I DON'T KNOW THAT YOU'RE GOING TO QUALIFY FOR A GRANT BECAUSE YOU HAVE A MILLION AND YOU WOULDN'T QUALIFY FOR A GRANT BECAUSE YOU HAVE 500,000.

I MEAN, ONGOING FUNDING WOULD BE ONGOING FUNDING, CORRECT? IT DEPENDS.

IT JUST DEPENDS, BECAUSE A LOT OF THOSE GRANTS HAVE A MATCHING COMPONENT.

AND SO THAT'S OUR MATCH.

SO YOU WOULD POTENTIALLY BE ELIGIBLE FOR LARGER AMOUNTS OF GRANT FUNDING HAVING LARGER AMOUNTS OF ONGOING FUNDING.

OKAY. WHAT I, WHAT I'M ATTEMPTING TO DO IS TO EQUIP COUNCIL WITH A WORKING BUDGET.

THE ONE TIME BUDGET I THINK IS GOOD, BUT THEN ALSO THE ONGOING FUNDING I THINK IS HELPFUL AS WELL.

SO WHAT ARE WE LOOKING AT THERE BEFORE WE DO THE, THE 500.

500. IS THAT MY NUMBER 3875.

I THINK YOU SAY 3.875.

SO WE ADDED.

WE ADDED 2 MILLION RIGHT FROM THE COLA ADJUSTMENT BACK ROLLING IT BACK DOWN.

IF Y'ALL ARE WILLING TO DO THAT.

YEAH. AND THEN 750 ON THE PRESCRIPTION.

SO I'M JUST AND THEN AT 1.1, TWO, FOUR AND THEN WE BACKED OUT.

225 FOR THE FIVE FIREFIGHTERS.

YEAH. AND THEN THE 307 FOR THE EIGHT.

SO 3.3 MILLION.

AND THAT'S CONSERVATIVE.

AND WE HAVEN'T TOUCHED OUR RESERVE POLICY ON, ON ANY OF THE ONGOING.

WE'RE ASSUMING WE WOULDN'T REALIZE ANY OF THAT.

IT WOULD JUST BE ON THE ONE TIME.

WHAT DOES THAT DO TO OUR.

OH, OVER ON THE THE ONE TIME FUND? I WOULDN'T BE WILLING TO LOOK AT THAT FOR COMMUNITY DEVELOPMENT AS FAR AS THE 1.3 PAYDOWN.

I WOULD LIKE TO BE ABLE TO KEEP ALL THAT IN THERE WORKING BUDGET.

AND SO WHATEVER THE LEASE PAYMENT IS, WHATEVER THE OVERHEAD FOR THAT ENTITY IS, I MEAN, THAT'S MOVING THE ENTIRE DEPARTMENT OVER THERE.

SO YOU HAVE OPERATIONS, MAINTENANCE, YOU KNOW, PERSONNEL.

EVERYTHING STAYS REAL CLEAN IF WE HAVE A LEASE AGREEMENT.

SO I'M NOT TOTALLY SATISFIED WITH THE 421 21.

AMOUNT BECAUSE I DON'T I DON'T HAVE A LEASE TO LOOK AT.

I DON'T KNOW WHAT IT COVERS, BUT LET'S ASSUME THE 421 IN THERE.

CAN WE SWAP THE 270 FOR THE 421 STEPHANIE TO SEE WHAT THAT WOULD DO TO MY ONGOING BUDGET AND THEN COUNSEL, ARE Y'ALL COMFORTABLE WITH THAT AND NOT PUTTING ANY CASH OUT OF POCKET FOR A BUILDING PROJECT OVER THERE ON YOUR YOUR ONE TIME BUDGET? YEAH, ABSOLUTELY. AND, YOU KNOW, ONE THING WE HAVE TO KEEP IN MIND IS ON OUR ONE TIME, THIS IS CONSIDERING THAT WE ARE MOVING FORWARD WITH THE FLEET.

IF WE DON'T MOVE FORWARD WITH THE FLEET, WE'RE NOT WE'RE NOT RECOVERING THAT 2.5.

SO THAT'S MAKING THE ASSUMPTION WE ARE GOING TO MOVE FORWARD WITH.

SO I DON'T SEE ANY REASON NOT TO MOVE FORWARD WITH THAT OTHER THAN THE CAUTION OF WE DON'T WANT TO BUILD IN A, A METHOD OF, OF EVERY YEAR MOVING O&M MONIES AND RATES OVER TO INS AND DOING THAT INVOLUNTARILY WITH THE INTENT OF RAISING TAXES WITHOUT HAVING TO GET APPROVAL. SO LIKE, I KNOW WE'RE NOT TRYING TO DO THAT.

I THINK WE DON'T WANT TO SET THAT PRECEDENT IS WHAT I'M HEARING COUNSEL SAY FOR FUTURE.

SO WHATEVER WE CAN DO THAT HELPS RESTRICT THIS COUNCIL AND FUTURE COUNCILS FROM.

BUT I THINK I THINK ALL WE'RE DOING MRS STORRS IS SAYING WHAT WE HAVE THE AUTHORITY TO DO RIGHT NOW OUT LOUD, LIKE IF WE WANTED TO MOVE $100 MILLION OVER THERE, LIKE THERE'S WAYS TO TO MOVE, MAYBE NOT THAT AMOUNT OF MONEY, BUT THERE'S WAYS TO LONG TERM FINANCE DEBT THAT YOU COULD USE UNDER OPERATIONS THAT WE'RE CURRENTLY PAYING.

YES. AND THAT'S CORRECT.

AND IT'S UP TO COUNCIL BECAUSE AGAIN, YOUR VOTER APPROVAL TAX RATE IS THE 38 723.

AND NONE OF THIS WOULD BE ON THE INS FOR THIS COMING YEAR.

IT WOULD ALL BE IN THE FOLLOWING YEAR.

AND SO IT WOULD BE A DISCUSSION AT NEXT YEAR'S BUDGET.

UNLESS Y'ALL WANTED TO PREEMPTIVELY LOWER YOUR O&M AT THIS POINT IN TIME IN ANTICIPATION, MY LAST THING ON THIS AND THEN COUNCIL CAN JUMP IN THE THE $1

[02:35:10]

I WOULD LIKE TO KEEP THAT IN MY WORKING BUDGET FOR COUNCIL EARMARKED SO THAT WE CAN MOVE FORWARD INTO NEXT YEAR.

IF WE DO HAVE PAY DOWN ON STREETS AND WE WE ARE BONDABLE, THEN WE HAVE THAT AMOUNT OF MONEY TO REACH BACK AND PULL FORWARD.

YOU STILL HAVE THAT ACCOUNTED FOR? YES. SO ON YOUR ONGOING WORKING BUDGET, WE HAVE THAT 1 MILLION TOWARDS THE BOTTOM.

STEPHANIE FOR THE VOTER APPROVAL TAX RATE, IF COUNCIL ANTICIPATES REDUCING THAT ONCE THE DEBT IS ISSUED, I WOULD RECOMMEND MOVING THAT OVER TO YOUR ONE TIME SPENDING CATEGORY. AND SO WHAT I'M TRYING TO DO IS I'M TRYING TO, YOU KNOW, MAKE A SIGNIFICANT LABEL TO THAT VOTER APPROVAL TAX RATE THAT WE SPECIFIED THAT FOR STREETS.

AND I THINK WE WANT TO MAKE SURE THAT THAT DOESN'T GET EATEN UP IN MAYBE SOME OTHER PARTS OF THAT WORKING BUDGET.

OKAY. SO WE COULD I MEAN, WE COULD DO A COUPLE OF THINGS.

WE COULD SHIFT IT OVER TO THE ONE TIME WORKING BUDGET AND THEN ADD IN MORE STREET FUNDING.

SO IT'D BE LIKE 3.5 MILLION.

WE COULD DO SOMETHING LIKE THAT IF IF YOU WOULD LIKE.

I KNOW THAT IT IS.

IT'S ONGOING BECAUSE IT'S BUILT INTO THAT TAX RATE.

AVAILABLE TAX RATE, I GUESS.

AND YOU'RE GOING TO PUSH THAT FORWARD.

SO IT WOULD BE IN THE CURRENT TAX RATE.

YEAH. SO I'D SAY LEAVE IT WHERE IT IS.

I'M JUST RESTATING LIKE THAT.

THAT'S THE INTENTION OF THAT MONEY.

THIS IS WHAT YOU AND I TALKED ABOUT EARLIER.

YES. SO I CAN TALK TO YOU, LAURA, ABOUT THIS.

AND THEN WHEN WE GET THE GANTT CHART AND SOME OF THE OTHER STUFF THAT'S PRESENTED AND WHEN IT'S READY, I THINK WE COULD REFERENCE THAT EASIER, BECAUSE AS WE MOVE FORWARD, WE'RE TRYING TO MOVE THAT BUSINESS PLAN.

AND ANNUALIZE THAT.

COUNCIL WITH WHAT I'M SAYING.

WHAT DO Y'ALL WANT TO CORRECT OR CHANGE OR IMPROVE UPON? NO, I'M JUST I'M STILL CURIOUS ON THE TAX RATE FOR THAT DEBT ISSUANCE, WHAT THAT'S GOING TO LOOK LIKE.

SO MRS STORRS, CAN YOU CONFIRM THAT THIS YEAR'S TAX RATE PULLED FORWARD, THAT LET'S SAY IT'S NOT A HALF A PENNY, BUT IT WAS 2 OR 1 THIRD OF A PENNY THAT WE DIDN'T UTILIZE.

WE DIDN'T PUT IT ON THE TAX RATE FOR THAT MILLION DOLLAR DEBT ISSUANCE.

YEAH. AND IT WAS ABOUT IT WAS PROBABLY CLOSER TO TWO THIRDS OF A PENNY, TWO THIRDS OF A PENNY.

THAT'S WHAT THAT'S WHAT THAT ADDITIONAL MILLION DOLLARS IS, IS IF WE GO BACK AND RECAPTURE THAT.

SO IF WE RECAPTURE THAT, PLUS WE CAPTURE OUR 3.5% OF NON VOTER APPROVED VOTER APPROVED TAX RATE.

THEN THEN THAT IS THE AMOUNTS HER BUDGET'S REFLECTING.

THAT'S THE TOTAL REVENUES THAT YOU'VE CALCULATED FOR THIS BUDGET.

YES THE REST OF IT.

SO YOUR 3.5% IS ALL CALCULATED IN THE BUDGET PRIOR.

YOU KNOW PRIOR TO LOOKING AT ANYTHING TODAY.

BUT TO GO BACK AND CAPTURE THAT AMOUNT THAT WE, WE DIDN'T CAPTURE IN THE CURRENT YEAR THAT WOULD PRODUCE THAT, THAT ADDITIONAL MILLION DOLLARS COUNCILMAN CRAFT KNOW IT'S RIGHT HERE.

DOES THAT MAKE BETTER SENSE? YES.

NO. WELL, I UNDERSTAND ALL THAT.

MY MY QUESTION IS, SAY YEAR EIGHT.

OKAY. CAN WE JUST BE HYPOTHETICAL AND PUT IT ON THE BOARD IF WE WANT? ARE YOU TALKING FLEET? MAYBE.

WELL, JUST THIS DEBT ISSUANCE WE'RE DOING FOR.

RIGHT. SO I THINK MAYBE I'M TALKING STREETS, I APOLOGIZE.

SO LET'S TRANSITION OVER TO FLEET.

THAT'S YOUR QUESTION. IS CONCERN ON YEAR EIGHT OF THIS FLEET DEBT ISSUANCE? YEAH. BEFORE WE GO OFF INTO THIS.

SO, YOU KNOW, IF YOU JUST PUT $0.40 ON THERE FOR OUR TAX RATE AND I AND S JUST LOOKING AT I MEAN WHAT WHAT ARE THE POSSIBILITIES THAT YEAR.

EIGHT AFTER WE ISSUE THAT FINAL DEBT ISSUANCE OF WHAT THE TAX RATE COULD BE.

I MEAN, ARE WE TALKING LIKE A 20 CENT JUMP A TEN CENT JUMP.

NO. SO THE BIGGEST INCREASE TO THE TAX RATE, LET'S JUST SAY COUNCIL DECIDED TO TAKE EVERY BIT OF THE TAX RATE THAT THEY COULD, INCLUDING THIS DEBT ISSUANCE.

SO WHAT WOULD HAPPEN IN THAT SECOND COLUMN ON THIS FLEET FINANCING OPTIONS PAGE.

SO THE FIRST COLUMN, YOU WOULD BE AT 38.72 $0.03.

IN YOUR SECOND COLUMN THERE YOU WOULD ADD ESSENTIALLY I'M JUST GOING TO CALL IT CLOSE ENOUGH TO 3.3 CENTS.

SO IT'S 0.033.

SO YOU'RE NOW AT $0.42.

THE NEXT YEAR YOU WOULD GO UP MAYBE 2/10 OF A PENNY.

I MEAN IT'S BARELY ANYTHING.

THE MOST YOU GO UP TO IS ABOUT THREE AND A HALF IN TOTAL.

SO LET'S JUST BE ULTRA CONSERVATIVE AND SAY YOU WENT UP ANOTHER HALF A PENNY AT THAT POINT.

YOU'RE YOU ARE NOW AT 42.5 CENTS GOING OUT.

THAT'S YEAR EIGHT. THAT'S ALL THE WAY THROUGH YEAR EIGHT.

OKAY. NOW IT COULD IT'S GOING TO FLUCTUATE SOME ACTUALLY IF YOU HAVE HIGH GROWTH IN YOUR APPRAISED VALUES IT'S ACTUALLY GOING TO COME DOWN A LITTLE BIT MORE, BUT IT'S NOT GOING TO

[02:40:03]

THAT'S A CASE WHERE YOU COULD BRING YOUR TAX RATE UP HIGHER TO STILL CAPTURE THAT 3.5%.

AND THE ONLY LAST QUESTION I HAVE.

THANK YOU FOR DOING THAT. YES, OF COURSE THAT HELPS OUT.

AS WE GO THROUGH THESE YEARS, IF THIS PLAN GETS ENACTED, ARE YOU GUYS GOING TO TRY TO UTILIZE EXISTING DEBT AND UTILIZE THAT VERSUS JUST REISSUING THE SAME AMOUNT? SO THE PLAN THAT'S BUILT RIGHT NOW IS JUST A STANDALONE DEBT ISSUANCE WITHOUT ANYTHING ELSE.

NOW WHEN WE GET TO I BELIEVE IT'S YEAR 2027, WE HAVE SOME DEBT ROLLING OFF THAT IS PROPERTY TAX SUPPORTED.

THE CITY HALL DEBT WILL BE ROLLING OFF AT THAT POINT IN TIME.

AND I BELIEVE THAT'S ABOUT $2.5 MILLION ANNUALLY.

AND THAT WILL BE FREED UP FOR COUNCIL AT THAT POINT IN TIME, CAN EITHER ESSENTIALLY LOWER THE INS RATE BY THAT AMOUNT OR THEY COULD ISSUE DEBT FOR A STREET PROJECT OR SOME OTHER KIND OF. PROJECT AND NOT AFFECT THE TAX RATE AND HAVE A 2.5 MILLION.

DOLLAR DEBT SERVICE PAYMENT FUNDED EACH YEAR.

THANK YOU. YES.

SO IF I COULD I'M GOING TO WRAP US UP HERE IN THE NEXT COUPLE OF MINUTES.

CURRENTLY NO DIRECTION ON CITY HALL DEMOLITION COUNCIL.

DO YOU ALL WANT. TO HOLD OFF ON THAT ONE.

WE'VE GOT SOME MONTHS HERE BEFORE WE NEED TO.

COME BACK TO THAT. WE KEEP THAT IN THE WORKING BUDGET.

ANYBODY OPPOSED TO.

HOLDING THAT ONE. NOT GIVING DIRECTION TO STAFF ON CITY HALL DEMOLITION.

UNTIL WE GET OUR FULL BUDGET TOGETHER HAVE A LITTLE MORE TIME TO THINK THROUGH AND DISCUSS THAT ONE.

GIVING DIRECTION NOT TO FUND THE 1.3 MILLION FOR THE GSE PIECE TO PUT THAT OVER ON THE ONGOING COMMUNITY DEVELOPMENT BUDGET FLEET FINANCING OPTION.

DO GIVE DIRECTION ON ALL OF THAT.

PLEASE MOVE FORWARD.

THERE'S WHAT I'M HEARING.

FIRE STATION 14.

GIVE DIRECTION ON THAT 4.9 MILLION BUDGETED.

ANYTHING FROM COUNCIL ON THOSE FOUR ITEMS? STEPHANIE, CAN YOU GO OVER TO THE ONE TIME SIDE AND ZERO OUT CITY HALL APD LOCKERS? DID WE HAVE ANY ISSUES ON THAT GENTLEMAN? BEING A BY BOARD PIECE, WE'RE JUST ROLL THROUGH WITH IT.

ANNUAL STREET FUNDING.

WE ARE PUTTING THAT IN.

SO THAT IS THERE PUBLIC HEALTH.

ARE WE GOOD WITH LEAVING THAT AT A MILLION OR ARE WE TRYING TO SPLIT THAT APART? COUNCIL. I'M FINE WITH LEAVING IT.

I'M FINE WITH LEAVING IT. OKAY, SO IF NOBODY FEELS DIFFERENTLY, LET'S LEAVE IT AT THE MILLION INTERNAL AUDITS.

GOOD INTEREST INCOME IS CONSERVATIVE.

THAT'S FINE. PARKS, CIP.

DO WE DO WE SEE ANY REASON NOT TO PUSH THAT 500,000 FOR RIGHT NOW? THAT'S SOMETHING THAT'S ALWAYS EASY TO TO REEVALUATE AND MAKE A CHANGE LATER.

IF WE'RE IF WE DON'T SEE THE OUTCOME.

NOW ON THE PARKS PROJECTS AS FAR AS LIKE WHERE YOU WOULD PUT ALL THAT, I WOULD I WOULD THINK THIS COUNCIL WOULD WANT TO GET SOME ADDITIONAL INFORMATION, GO THROUGH THE POOLS AND SOME OF THE OTHER ITEMS BEFORE WE WOULD, WE WOULD DO ANY PLANS OR ANY INITIATIVES TO START AND EVEN MENTION ANY OF THOSE PROJECTS SO WE DON'T LET ANY OF THE COMMUNITY DOWN.

ANY ISSUES ON HOW WE WANT TO HANDLE THOSE PARKS PROJECTS, GENTLEMEN? BECAUSE I THINK INADVERTENTLY, BY PUTTING THAT 500 OVER THERE, YOU'RE GIVING HIM THE BUDGET HE NEEDS TO TACKLE THOSE IN THE FORM OF DEBT FUNDING.

AND SO WE WOULD WANT THOSE BROUGHT BACK.

AND THEN, YOU KNOW, MAYBE WE WOULD TAKE IT OUT OF ONE TIME FUNDS AND, YOU KNOW, LEAVE THAT 500 K FOR OTHER PROJECTS.

GRAYSON, YOU GOT ANY ISSUES OR ANYTHING YOU WANT TO TWEAK ON ANY OF THAT? AS FAR AS IT RELATES TO PARKS AND SOME OF THESE OTHER ONES? OKAY, WE'RE DOING GOOD.

I'M GOING TO PUSH JUST A LITTLE BIT FURTHER HERE TO MAKE SURE WE CAUGHT THEM ALL.

PARAMEDIC PROGRAM THAT SAYS JAKE, IS THAT IS THAT CRAFT.

YES. OKAY.

ANYBODY WANT TO VOTE AGAINST JOHN? NO. I'M KIDDING. SO THAT'S IN THERE.

THE PHARMACY PLAN WE TALKED ABOUT THE COLA.

I FEEL CONFIDENT WE CAN REACH FOR THAT NEXT 20%.

NEXT YEAR, IT'LL BE A BITE SIZE PIECE, SO I DON'T I DON'T THINK WE'RE BACKING AWAY FROM IT AT ALL.

AND WE WOULD WANT OUR COMMUNITY TO HEAR THAT.

WE'RE JUST GOING TO USE THE FULL TIMEFRAME THAT WE'VE BEEN GIVEN BY THE STATE TO GET ALL THE WAY TO THAT, THAT GOAL.

REALLY WHAT WE NEED TO DO IS COME BACK TO DONNIE.

DONNIE, CAN YOU CAN YOU PUT TOGETHER A PRESENTATION FOR US AND MORE OR LESS JUST PUT IT BACK ON US? GUYS, DO YOU WANT TO DO A RATE INCREASE OR DO YOU WANT TO FUND THIS OUT OF YOUR YOUR, YOUR WORKING BUDGET? AND THEN JUST GIVE US THE OPTION TO REALLY LOOK AT THAT AVERAGE USER.

[02:45:04]

DOES IT REALLY TURN INTO $4 A MONTH FOR SOME OF THOSE PEOPLE? AND THEN WHAT'S THE BENEFIT OF KEEPING IT OFF THAT RATE INCREASE AND TAKING IT OUT OF OUR WORKING BUDGET? AND THEN MRS STORRS, IF YOU REWORK ALL THIS AND I KNOW WE'RE CLOSE OVER THERE, BUT IT LOOKS LIKE WE'VE GOT A STEPHANIE IF YOU'LL SCROLL ALL THE WAY DOWN.

LOOKS LIKE WE'VE GOT A ONE TIME BUDGET.

WELL, WORKING BUDGET A 3.2 MILLION ONGOING.

AND THEN WHAT'S OUR ONE TIME? IS THAT 3.2. IS THAT CORRECT? AT THAT POINT I CAN'T SEE IT.

OKAY. SO $6.4 MILLION AND COUNCIL'S WORKING BUDGET.

SO PLENTY OF MONEY TO LOOK AT.

MAYBE. MAYBE WE DO A RATE INCREASE.

MAYBE WE DON'T THIS YEAR.

SO AND I WOULD MAKE A SUGGESTION, MAYBE A COMBINATION.

MAYBE IF WE TAKE WHAT WE CAN ON THE COMMERCIAL SIDE, LIKE WHAT YOU'RE SAYING.

AND THEN MAYBE WE LOOK AT THE IN THE LETTUCE FUND.

YEAH. ARE YOU TALKING SPECIFICALLY BULK WASTE OR IS THIS.

I THINK I AM TALKING BULK WASTE BECAUSE THE POLYCARP PROGRAM WE'VE ALREADY FUNDED OUT OF OUR WORKING BUDGET.

CORRECT? YEAH.

NO, THE POLYCARP IS A RATE INCREASE.

AND THAT WAS THE POTENTIAL 75, 25 SPLIT, 75 RESIDENTIAL.

THAT'S THE ISSUE I THINK WE HAD DIRECTED TO TAKE THAT OUT OF THE ONE TIME BUDGET.

WE'VE GOT IT OVER ON A RATE INCREASE.

AND THEN THE.

SO WAS THAT NOT WHAT THE DIRECTION WAS? THE DIRECTION LAST BUDGET REVIEW WAS TO TAKE THE ILLEGAL DUMPING PROGRAM OUT OF THE PROPERTY TAX RATE AND TO FUND THE WELL TO LOOK AT OPTIONS, BECAUSE WE HAD THE POLYCARP FULLY RESIDENTIAL.

THEN WE SWITCHED TO FULLY COMMERCIAL AND THEN Y'ALL SAID, COME BACK WITH A DIFFERENT OPTION.

SO I THINK ALL WE'VE GOT TO DO IS JUST GET A GOOD PRESENTATION BACK FROM YOU WITH THOSE OPTIONS AND THEN LET COUNCIL DECIDE.

YOU KNOW, I LIKE COUNCILMAN TIPPS SUGGESTION.

MAYBE WE LOOK AT WELL, YOU KNOW, THIS COMES OUT OF THE COMMERCIAL SIDE, BUT THEN WE ALSO NEED TO OFFSET THIS WITH COUNCIL WORKING BUDGET.

SO WE'RE JUST LOOKING AT AFFORDABILITY ON THOSE SMALL TICKET ITEMS THAT WE'RE ALL INCURRING MONTHLY AS WE CONTINUE TO HAVE TO PAY THOSE BILLS.

PUT SOMETHING TOGETHER. THANK YOU.

SIR. MRS. STORRS. I KNOW WE'RE OUT OF TIME.

WAS THERE ANYTHING ELSE THAT WE DIDN'T COVER? THAT YOU GUYS NEEDED DIRECTION ON HERE IN ORDER TO PUSH FORWARD TO SEPTEMBER 10TH? THE ONLY OTHER THING THAT I HAD WAS JUST REAL QUICK.

COUNCIL HAD ASKED IF WE COULD COME UP WITH A TIERED RATE FOR OUR WATER COMMERCIAL CUSTOMERS, AND WE HAVE LOOKED AT THAT FROM A FEW DIFFERENT ANGLES.

AND WE HAVE ON THE BACK OF YOUR NARRATIVE PAGE, WE HAVE A RECOMMENDATION THAT WE WOULD BASICALLY ALIGN IT WITH WHAT THE RESIDENTIAL TIER RATE STARTS WITH AND WHAT THE IRRIGATION TIERED RATE STARTS WITH.

BUT COMMERCIAL WOULD NOT HAVE AS MANY TIERS, AND SO THEIR BASE RATE FOR 3000 AND BELOW WOULD BE WHATEVER IS THEIR METER SIZE IS THEN 3000 TO 10,000 WOULD BE A FIRST TIER, WHICH IS FLAT WITH WHAT THEIR CURRENT ANYTHING ABOVE 3000 IS PAID FOR, SO NO CHANGE FOR THEM.

AT $3.95, THE NEW TIER WOULD BE ANYTHING OVER 10,000 GALLONS OR MORE WOULD BE IN THIS SECOND TIER, AND IT WOULD GO UP TO $4.52, WHICH IS APPROXIMATELY 14.5% INCREASE.

BUT THAT ALIGNS WITH THE STEP THAT'S IN PLACE ON IRRIGATION AND ON RESIDENTIAL CUSTOMERS.

AND WE LOOKED AT IT NOW IT'S WE NEED ABOUT 375,000 TO FUND THAT LINE, THAT DEBT ISSUANCE FOR THAT LINE, THAT WATER LINE EXTENSION AND THIS WOULD PROBABLY PRODUCE ABOUT.

I MEAN, IT'S REALLY HARD TO ESTIMATE BECAUSE ONCE YOU START PUTTING PEOPLE IN TEARS AT TIMES THEY CAN PULL BACK A LITTLE BIT.

IT COULD BE A LITTLE OVER $1 MILLION.

OKAY. SO IT'S MORE THAN WE NEED, BUT WATER AND SEWER CERTAINLY HAS A LOT OF UPCOMING NEEDS.

SO WE COULD LOOK AT A COMMERCIAL SIDE TIER THAT WE WOULD ASSUME WOULD FUND THE NEEDS THAT WE HAVE, THAT WE EITHER HAVE TO FUND THROUGH A RESIDENTIAL RATE INCREASE OR A COMMERCIAL RATE INCREASE, OR BOTH.

AND RIGHT NOW, YOU GUYS ARE GOING TO BRING US BACK AN OPPORTUNITY OR ARE YOU NEEDING DIRECTION ON THAT TODAY? IF Y'ALL COULD GIVE US DIRECTION, THAT WOULD BE GREAT BECAUSE WE'D BRING IT BACK.

AS A CHANGE IN YOUR ORDINANCE FOR FIRST READING ON SEPTEMBER 10TH.

COUNCIL. ANYBODY WANT TO WEIGH IN ON KEEPING THIS ON THE COMMERCIAL SIDE ONLY? I LIKE THE TIER.

I MEAN, I LIKE THE TIER RATING, AND THAT'S SOMETHING WE'VE NEVER DONE FOR THE COMMERCIAL SIDE, BUT EVERYBODY ELSE IS IN TEARS.

SO I LIKE THE COMMERCIAL SIDE TEAR.

I THINK IT'S VERY I THINK IT WORKS ALONGSIDE OF THE SYSTEM WE ALREADY HAVE.

I WON'T SAY IT'S BEST PRACTICES, BUT I THINK IT'S A PRACTICE THAT WE COULD WE COULD ADOPT.

I THINK. I DON'T LIKE OVERFUNDING THAT MEANING, EVEN THOUGH YOU COULD CHARGE THAT 14% INCREASE ON THAT COMMERCIAL TIER YOU KNOW, IF WE NEED 375

[02:50:07]

AND MAYBE AS WE GET INTO THE TIER WE WORK A LITTLE BIT BETTER ALONGSIDE THOSE COMMERCIAL USERS THAT ARE GOING TO SEE THAT INCREASE, BECAUSE IT'S THE SMALLEST INCREASE THAT THEY COULD AFFORD THAT WE NEED AT THE TIME, KNOWING THAT YOU CAN CONTINUE TO MOVE THOSE RATES ANNUALLY IF NEEDED.

SO I WOULD I WOULD ASK TO PULL THAT DOWN TO THE, THE WE COULD WE COULD CALCULATE AN ESTIMATED AMOUNT.

BUT THAT'S GOING TO IT'S GOING TO DEPEND FROM YEAR TO YEAR AND ESPECIALLY THE FIRST YEAR OF IMPLEMENTATION AS PEOPLE START, YOU KNOW, HAVING THAT NEW TIER.

I MEAN, IT'S A LITTLE BIT OF A WILD CARD, BUT WE COULD CERTAINLY PULL THAT BACK SOME TO GET CLOSER TO THAT.

375. AND THEN LET'S SEE WHAT YOU GUYS ARE COMFORTABLE WITH.

FLOYD. NO, I THINK I THINK THAT WORKS FOR THIS YEAR'S PLAN.

OBVIOUSLY, THAT PIPELINE IS PHASE ONE OF A MASTER PLAN TO ADD THE PUMP STATION, WATER TOWER AND ALL THAT.

SO THERE'S EASILY JUSTIFICATIONS FOR THOSE OTHER INCREASES IN UPCOMING YEARS.

OKAY. WE'RE A FEW MINUTES LATE TO OUR EXEC TRYING TO GET THERE.

SO WE GIVE AS MUCH TIME TO DISCUSS THAT ISSUE AS WE CAN.

COUNSEL, ARE WE GOOD WITH GOING STRAIGHT INTO EXEC OR DOES ANYBODY NEED TO TAKE A BREAK BEFORE WE WE STEP IN THERE? NO, I HAVE NO ISSUE.

OKAY. WE'RE GOING TO GO AHEAD AND ADJOURN THIS MEETING.

SO THIS WORK SESSION IS ADJOURNED.

REALLY APPRECIATE EVERYBODY FOR BEING HERE AND PARTICIPATING.

VERY, VERY GOOD JOB ON THE BUDGET STAFF.

THANK YOU ALL FOR YOUR TIME.

BRIAN.

* This transcript was compiled from uncorrected Closed Captioning.