Apr 08, 2025 City Council Regular Meeting

>> YES, SIR. I BELIEVE YOU'RE NEXT, IF YOU DON'T MIND COMING FORWARD.

>> MY NAME IS DAVID SIMMERS, I'M JUST SPEAKING AS A CONCERNED CITIZEN TODAY.

IF JASON HERRICK WERE TO BECOME MAYOR, IT COULD RAISE SIGNIFICANT CONCERNS REGARDING CONFLICTS OF INTEREST, PARTICULARLY IN LIGHT OF THE PREVIOUS $750,000 PAYMENT FROM THE AMARILLO ECONOMIC DEVELOPMENT CORPORATION TO THE RANGE, A NONPROFIT ORGANIZATION LED BY HERRICK.

THIS PAYMENT WAS IDENTIFIED AS AN ANOMALY IN A CITY AUDIT, HIGHLIGHTING PROCEDURAL IRREGULARITIES, AND A LACK OF DOCUMENTED POLICIES GOVERNING SUCH EXPENDITURES.

MY QUESTION AT THIS POINT ABOUT THAT IS THAT, HAS THERE BEEN ANYONE INVITED IN FROM THE OUTSIDE TO INVESTIGATE IT, THAT HAS LEGAL POWERS TO DO SOMETHING ABOUT THAT, SUCH AS THE ATTORNEY GENERAL OF THE STATE OF TEXAS OR SUCH AS THE FBI? AS MAYOR, HERRICK WOULD HAVE OVERSIGHT RESPONSIBILITIES OVER ENTITIES LIKE THE AEDC, WHICH HAD PREVIOUSLY AUTHORIZED SUBSTANTIAL FUNDS TO HIS OWN ORGANIZATION.

THIS DUAL ROLE COULD LEAD TO THE POTENTIAL CONFLICTS. IS THIS STILL WORKING?

>> YES, SIR. WE APOLOGIZE FOR THAT, THEY'RE TRYING TO FIX IT IN THE BACK.

>> DO I NEED TO CHANGE? NO, HERE IT IS.

>> DESPITE WHAT MY GOOD FRIEND, JAMES SKANK SAYS, BACK AWAY FROM THE MICROPHONE JUST A COUPLE OF INCHES, YOU'LL BE GREAT. GO RIGHT THERE.

>> THIS DUAL ROLE COULD LEAD TO THE POTENTIAL CONFLICTS BETWEEN PERSONAL INTERESTS AND PUBLIC DUTIES, RAISING QUESTIONS ABOUT IMPARTIALITY IN DECISION-MAKING PROCESSES.

SUCH CONCERNS HAVE PRECEDENT.

FOR INSTANCE, THE DUAL ROLES OF THE AEDC PRESIDENT KEVIN CARTER, AGAIN, HE'LL HAVE A DUAL ROLE, ALSO SERVES AS SECRETARY OF THE RANGE'S BOARD.

HAVE THESE BEEN SCRUTINIZED FOR POTENTIAL CONFLICTS OF INTEREST? THE SITUATION UNDERSCORES THE IMPORTANCE OF STRINGENT ETHICAL GUIDELINES, AND TRANSPARENT MEASURES TO PRESENT CONFLICTS OF INTERESTS IN PUBLIC OFFICE.

IMPLEMENTING CLEAR POLICIES CAN ENSURE THAT PUBLIC OFFICIALS ACT IN THE BEST INTERESTS OF THE COMMUNITY, MAINTAINING TRUST AND INTEGRITY IN GOVERNMENTS.

MY QUESTION IS THIS.

KNOWING WHAT THE COUNCIL KNOWS, KNOWING WHAT THE CITY KNOWS, AND THAT THIS POTENTIAL EXISTS, IS IT INCUMBENT ON THE CITY TO RUN SOME TYPE OF PUBLIC NOTICE AS TO THIS IS THE POTENTIAL OUTCOME? THANK YOU VERY MUCH.

[00:50:08]

>> THANK YOU, MR. SIMMERS FOR BEING HERE.

WE APOLOGIZE FOR THE AUDIO DIFFICULTIES THERE.

DO I HAVE ANYONE ELSE HERE WHO WOULD LIKE TO OFFER COMMENT? YES, SIR.

>> NEVER SEEN THE MICROPHONE OVERUSED.

WAY TO GO, DAVID. IS THIS ON? IT DOESN'T SOUND LIKE I'M PLAYING.

>> I THINK SO. CAN YOU HEAR HIM OKAY OUT THERE, EVERYBODY?

>> IS IT WORKING?

>> NOPE.

>> NO, IT IS. YES, STAY ON THAT SIDE.

GO BACK OVER THERE. YEAH, THAT'S EVEN BETTER.

>> DON'T TAKE MY TIME. [OVERLAPPING]

>> NO. WE'LL START YOUR TIME OVER.

BUT YOU GOT A PROMISE TO SPEAK DIRECTLY INTO THE MICROPHONE. [LAUGHTER]

>> OKAY. I'M HERE. THANK YOU VERY MUCH.

>> THAT'S JUST SKANK. THANK YOU FOR SPEAKING.

[OVERLAPPING]

>> I WANT TO JUST SPEAK FOR A MINUTE.

WE'VE GOT A SITUATION GOING ON IN THIS CAMPAIGN AND THINGS, AND JUST NEED TO TALK ABOUT HOW WE GOT HERE.

BACK IN 2015, THE LITTLE SHAKE UP STARTED RANDY BURKETT GOT ELECTED, AND HE WAS INTERRUPTING SOME STATUS QUO.

ANYBODY THAT GOES BACK THROUGH OUR CHARTER AND REALIZES WHO WAS RUNNING THIS CITY, IT WAS A FEW PEOPLE FROM A DOWNTOWN TYPE OF, I USE THAT.

THERE WERE FEW ELITES THAT CONTINUED TO GET THEMSELVES ELECTED, IN A PITIFUL MAYOR ELECTION WHERE YOU COULD GET 11,000 VOTES AND YOU COULD BECOME MAYOR.

THINGS HAVE CHANGED.

[NOISE] 2017, GINGER NELSON AND THE CREW OF THAT GROUP CAME IN, AND THEY WERE SPONSORED BY BASICALLY AMARILLO MATTERS AND A GROUP OF ELITES, AND THEY WALKED IN AND TOOK IT OVER.

2021, COLE STANLEY WAS ELECTED TO PLACE 1, AND ALL OF A SUDDEN, AS I ALWAYS WATCH IT, BECAUSE PEOPLE KNOW I'M OBSERVING THIS MOST EVERY TIME, AND I FOLLOW IT VERY CLOSE.

YOU WERE BEGINNING A CERTAIN AMOUNT OF RESISTANCE AGAINST SOME OF THE STATUS QUO OF THE 4-1 VOTE OR 5-0 VOTE, AND FOUND OBJECTION TO IT BY PEOPLE.

THEN THIS GROUP CAME IN, A COMPLETE REGIME CHANGE.

THINGS CHANGED COMPLETELY.

ONE OF MY FAVORITES, NO ROPES BACK OVER IN THE OLD BUILDING.

THEN COMPLETE TRANSPARENCY.

YOU GUYS WERE SO TRANSPARENT, YOU COULDN'T TALK ENOUGH IN FRONT OF US.

THAT'S WHY WE HAD SOME OF THOSE MARATHON MEETINGS WHEN YOU WERE DISCUSSING THINGS OVER AND OVER, AND IT TOOK US THREE HOURS TO GET OUT OF THE WORK SESSION.

I APPRECIATED THAT STUFF.

GOOD COMMON SENSE PLANS AND ACTIONS WERE PUT IN PLACE, THE BUDGET WAS TAKEN CARE OF, AND I'M ONLY DOWN TO 20.

IMPROVEMENTS TOOK SHAPE. NOW, ELECTION TIME AGAIN, AND OUT COME THE LONG KNIVES.

THEY COME OUT WITH OUTLANDISH CLAIMS ABOUT WHAT YOU GUYS HAVE BEEN DOING.

WERE THOSE FOLKS NOT WATCHING WHAT WAS HAPPENING? BECAUSE YOU GUYS WERE DOING THE WORK OF THIS CITY, AND I GOT TO GIVE YOU KUDOS ON THAT.

I SAW IT EVERYDAY.

WHAT I SEE IS THIS GROUP, THEY WANT BACK IN.

THE DOWNTOWN ELITES AND THE AMARILLO MATTERS GROUP, THEY WANT BACK IN TO CONTINUE THEIR SELF-SERVING WAYS OF CRONY CAPITALISM.

IF YOU DON'T KNOW WHAT THAT MEANS, LOOK IT UP, PLEASE.

ONLY TWO CHANGES IN THIS COUNCIL NEED TO HAPPEN.

NATURALLY, WE NEED TO REPLACE MY FRIEND JOSH OVER HERE, AND TIM REID WILL BE A GOOD SPOT FOR THAT.

I BELIEVE WE NEED TO REPLACE PLACE 4 OVER HERE, WHERE LESS IS AT WITH LEIF KERTIS.

HE'S FRESH, NEW, AND HE'S A BUSINESSMAN WITH GOOD INSIGHT. THANK YOU.

>> THANK YOU, MR. SKANK, FOR SPEAKING.

DO I HAVE ANYONE ELSE HERE WHO WOULD LIKE TO OFFER PUBLIC COMMENT TODAY?

>> OKAY. WE'LL CLOSE PUBLIC COMMENT, MOVE INTO OUR DISCUSSION ITEMS. THANK YOU TO EVERYONE WHO VOICE YOUR OPINIONS HERE TODAY, WE APPRECIATE EACH ONE OF YOU.

I'M GOING TO HAVE TO TAKE AN ITEM UP OUT OF ORDER, JUST TO GET BOND COUNSEL AND A FEW OTHER THINGS TAKEN CARE OF, WE'RE NEARING OUR DEADLINE OF FIVE O'CLOCK.

IF YOU'LL LOOK ON YOUR AGENDA, IT'S ITEM 10A.

[10.A. CONSIDERATION OF ORDINANCE NO. 8189]

WE'RE GOING TO GO AHEAD AND PULL THAT ONE UP FOR CONSIDERATION.

LET ME GET THERE.

I BELIEVE IT'S STEVEN ADAMS,

[00:55:02]

AND IS IT MRS. STORRS? ARE YOU GOING TO RUN THIS ONE? IF YOU'LL GO AHEAD AND WALK US INTO THAT.

>> YES. THANK YOU, MAYOR AND COUNCIL.

WE APPRECIATE YOU ALL BEING WILLING TO MOVE THIS ITEM UP ON THE AGENDA TODAY.

I'M GOING TO TURN IT OVER TO STEVEN ADAMS WITH SPECIALIZED PUBLIC FINANCE.

HE IS OUR FINANCIAL ADVISOR.

WE ALSO HAVE BOB DRANSFIELD, WHO IS OUR BOND COUNSEL.

WE ARE GOING TO GO OVER A SALE OF SOME CERTIFICATES OF OBLIGATION THAT OCCURRED EARLIER TODAY.

THIS IS SOMETHING THAT HAS BEEN NOTICED IN THE NEWSPAPER FOR TWO CONSECUTIVE WEEKS.

I'M SURE STEVEN IS GOING TO GO OVER SOME OF THAT, AND IT'S BEEN POSTED ON THE CITY'S WEBSITE TO ALERT OUR CITIZENS THAT THIS WOULD BE TAKEN UP FOR CONSIDERATION AT TODAY'S MEETING.

WITH THAT, I'LL TURN IT OVER TO STEVEN.

>> THANK YOU, LAURA. AS LAURA MENTIONED, AT A COUNCIL MEETING AND I BELIEVE FEBRUARY, THE COUNCIL AUTHORIZED THE NOTICE IN THE NEWSPAPER, AND WE HAD THE TIMING THAT WE'D COME BACK TODAY AND TAKE THE ACTUAL BIDS.

WE'VE HAD A VERY VOLATILE MARKET, AND THAT CONTINUED ALSO IMPACTING THE BOND MARKET, WHICH IS WHY WE'RE ASKING YOU TO MOVE THIS UP TODAY.

WE WERE PLANNING ON SELLING AT 9:00 IN THE MORNING, WE MOVED OUR SALE BACK TO 11:30, SO BIDDERS COULD UNDERSTAND WHAT THE MARKET IS DOING TODAY, AND SO WE'RE ASKING YOU TO MOVE THIS UP BECAUSE YOU HAVE AN OFFER ON THE TABLE TO BUY YOUR BONDS UP UNTIL THE TIME YOU APPROVE IT.

RECALL THAT WE HAVE SEVERAL ITEMS, SOME WITH THE SEVEN-YEAR LIFE, THAT'S HEAVY EQUIPMENT, SOME WITH 10-YEAR LIFE, AND THAT'S LIGHTING IN A HYDRO VAC, IN A MINI EXCAVATOR.

WE HAVE PROJECTS WITH 20-YEAR LIFE, GOLF PUMP STATIONS, 25-YEAR LIFE, WHICH ARE LIGHTING PROJECTS, AND 30-YEAR LIFE, WHICH ARE PARKING LOTS, AND WE'VE STRUCTURED THIS BOND SALE WHERE IT GOES EACH ITEM HAS BONDS MATURING FOR THE ASSOCIATED AMOUNTS OF THEIR LIFE.

WE'LL SHOW YOU THAT IN A LITTLE BIT.

WE DID RECEIVE SIX BIDS FOR THE CERTIFICATES THIS MORNING.

THE WINNING BID WAS FROM FROST BANK AT 4.33%.

I THINK IN FEBRUARY, WE SHOWED THE COUNCIL 4.3%.

SINCE THAT TIME, RATES HAVE COME UP AND DOWN PRETTY DRAMATICALLY, BUT ROUGHLY WHERE WE WERE THEN.

THEY'LL PROBABLY CONTINUE TO BE A VOLATILE MARKET UNTIL WE GET A FEW THINGS NEGOTIATED AT THE FEDERAL LEVEL, WITH OTHER COUNTRIES AND THOSE TYPES OF THINGS.

WE DID RECEIVE A AAA BOND RATING, WHICH HELPS QUITE A BIT IN VOLATILE MARKETS.

WE HAD OTHER CITIES IN TEXAS THAT HAD DEBT ISSUANCES THAT WERE NOT THIS HIGHLY RATED THAT ACTUALLY PULLED THEIR DEBT TODAY AND DIDN'T SELL IT, WHICH IS WHY WE MOVED OURS BACK TO MAKE SURE THAT WE UNDERSTOOD THE MARKET BEFORE WE TOOK THIS BID.

IF YOU DO AWARD THIS, WE WILL CLOSE ON MAY 8, 2025, AND THE COUNCIL HAS THE OPTION TO REDEEM THESE BONDS ON FEBRUARY 15, 2035.

JUST SHOWING YOU THE BIDDERS, FROST BANK WAS THE WINNING BID, AS WE MENTIONED AT 4.33%.

YOU SEE THE LOW BID, OR THE HIGH INTEREST RATE BID WAS 4.65%.

THAT'S 30 BASIS POINTS.

FOR AAA BONDS, THAT'S A WIDE RANGE, AND IT'S JUST BECAUSE THE VOLATILITY THAT WE'VE BEEN SEEING ABOUT LAST WEEK IN THE FINANCIAL MARKETS.

THE NEXT PAGE. THIS IS THE TOTAL DEBT SERVICE OF THE COS, AND YOU CAN SEE THAT IT STARTS DECLINING AS WE GO DOWN THE MATURITY LIST, AS THE USEFUL LIFE OF THESE PROJECTS ARE REALIZED.

THEN THIS NEXT PAGE IS JUST THE INDEPENDENT BREAKDOWN OF EACH OF THE USEFUL LIVES, WHICH WENT INTO THE OVERALL DEBT SERVICE SCHEDULE THAT YOU SEE.

THIS IS JUST THE HISTORICAL INTEREST RATES, AND EVEN THOUGH WE'VE HAD A LOT OF VOLATILITY, YOU CAN STILL SEE THAT WE'RE AT RELATIVELY LOW INTEREST RATES.

WE WERE LOWER DURING THE COVID ERA, AND A FEW TIMES BEFORE THAT, BUT ROUGHLY BETWEEN 2001 AND TODAY, WE ARE IN A TRADING RANGE AND MUCH LOWER RATES THAN YOU CAN SEE BACK IN THE 1960S.

ONE THING THAT I WOULD LIKE TO COMMENT ON, I BELIEVE LAURA ASKED ME TO CLARIFY THIS.

WE ARE PAYING THESE BONDS WITH I&S PROPERTY TAXES OR M&O PROPERTY TAXES, DEPENDING ON HOW THE BUDGET IS LATER THIS YEAR.

BUT THERE IS ALSO A $1,000 PLEDGE OF THE WATER AND WASTEWATER SYSTEM, WHICH IS REQUIRED TO SELL FOR CASH. WHAT DO I MEAN BY THAT?

[01:00:01]

YEARS AND YEARS AGO, CITIES COULD SELL CERTIFICATES OF OBLIGATION, AND JUST HAND THEM TO CONTRACTORS FOR PAYMENT.

WE'RE SELLING THEM FOR CASH.

WE HAVE TO PLEDGE A REVENUE SOURCE, ACCORDING TO STATE LAW, TO SELL FOR CASH, AND SO THAT IS A VERY SMALL PLEDGE.

IT'S VERY COMMON IN THE STATE.

IT'S APPROVED BY THE ATTORNEY GENERAL NUMEROUS TIMES EVERY YEAR, JUST TO ANSWER.

I BELIEVE THERE MIGHT HAVE BEEN A QUESTION ABOUT THAT.

THEN FINALLY, WE DO RECOMMEND THAT YOU AWARD THE $15,435,000 COMBINATION TAX AND REVENUE CERTIFICATES OF OBLIGATION, SERIES 2025 TO FROST BANK.

MAYOR, I'D BE GLAD TO ANSWER ANY QUESTIONS THAT YOU OR THE COUNCIL HAVE.

>> WE MAY JUST HAVE A FEW.

COUNCIL, YOU HAVE ANY QUESTIONS FOR BOND COUNSEL?

>> NOW, I APPRECIATE THE EXPLANATION ON THE REVENUE BOND PIECE.

WHENEVER WE GO OUT FOR REVENUE BONDS, IS THERE A PLEDGE SIMILAR TO THAT, HOW YOU'RE HAVING TO DO FOR THE I&S SIDE?

>> WHEN WE SELL, FOR EXAMPLE, WATER AND SEWER REVENUE BONDS, THERE'S NO TAX PLEDGE WHATSOEVER.

>> OKAY.

>> IT IS ONLY A PLEDGE OF THE WATER AND SEWER REVENUES, AND IT DOESN'T GO AWAY.

ONCE YOU MAKE THIS SMALL PAYMENT, THAT PLEDGE CAN GO AWAY ON THESE.

>> PERFECT. THANK YOU.

>> COUNCIL MEMBER CRAFT, DID YOU GET THE BREAKOUT THAT YOU WERE CURIOUS ABOUT, ABOUT WHAT'S BEING PLEDGED FROM WATER AND SEWER, WHAT'S BEING PLEDGED FROM GENERAL FUND?

>> NO. THE WATER AND SEWER PIECE IS, LIKE YOU SAID, JUST A PLACEHOLDER ON SINCE IT'S A PLEDGE.

AT THE BREAKOUT, I WAS CURIOUS ABOUT THE EQUIPMENT STUFF, AND IT'S ON THIS DEAL THAT HE GAVE OUT, SO WE'RE GOOD.

>> OKAY. ANY OTHER QUESTIONS FOR BOND COUNSEL? NO? THANK YOU FOR BEING HERE, SIR.

WE APPRECIATE YOU. WELL, YOU KNOW WHAT? BEFORE YOU STEP DOWN.

>> YEAH.

>> WHAT ARE THOSE BONDS TRENDING TO? WHAT DID IT LOOK LIKE THIS COULD DO WITH EVERYTHING YOU'VE SEEN IN THE MARKETS, AND EVERYTHING FLOODING INTO THOSE TREASURIES, WHAT'S YOUR PROJECTION OVER THE NEXT MONTH?

>> WELL, THERE'S GOING TO BE A LOT OF VOLATILITY UNTIL SOME OF THESE QUESTIONS AND NEGOTIATIONS ABOUT TARIFFS ARE WORKED OUT.

I FEEL LIKE IF YOU GO OUT A YEAR FROM NOW, THERE'S GOING TO BE A LOT OF THINGS SETTLED.

WE'LL KNOW A LOT MORE ABOUT TARIFF SITUATION, THE FEDERAL BUDGET, AND MANY OTHER THINGS.

WHAT IS THE FED GOING TO DO IN REACTION TO ALL THESE? ALL THESE THINGS ARE CAUSING A LOT OF VOLATILITY IN THE FINANCIAL MARKETS.

THERE'S GOING TO BE DAYS WHEN RATES ARE HIGHER, RATES ARE LOWER.

FROM NOW, IT MAY BE SIX MONTHS, IT MAY BE SIX WEEKS.

THERE'S NO WAY FOR ME TO KNOW, BUT I THINK THERE'S GOING TO BE A LOT OF VOLATILITY UNTIL THESE THINGS GET WORKED OUT.

THEN I THINK AFTER THAT, HOPEFULLY WE'LL HAVE SMOOTH SAILING.

>> OKAY. MAYBE AS COUNCIL MOVES FORWARD, WE WOULD CONTINUE TO LOOK AT PROJECTS, CONTINUE TO GET ALL OF OUR HOMEWORK DONE, AND THEN TRY TO BE OPPORTUNISTIC IN WHEN WE WOULD EXECUTE THOSE ISSUANCES? IS THAT WHAT YOU'RE THINKING?

>> I THINK THAT'S RIGHT.

I THINK, STILL, THOUGH, THE MAIN DRIVER OF WHEN YOU SELL DEBT IS WHEN YOU NEED THE PROJECTS.

BECAUSE NOBODY CAN REALLY PROJECT INTEREST RATES PER SE, SO WE TRY TO FIND OUT WHEN YOU NEED THE PROJECTS, WHEN CAN YOU SPEND THE MONEY? BECAUSE YOU HAVE TO SPEND IT WITHIN A COUPLE OF YEARS PURSUANT TO FEDERAL TAX LAW.

LET'S WAIT UNTIL YOU ACTUALLY NEED THE MONEY AND THEN TRY TO TIME IT MORE TOWARDS THAT RATHER THAN TRYING TO GAUGE A MARKET.

>> RIGHT. THANK YOU. COUNCILMAN TIPPS?

>> NO.

>> THANK YOU. APPRECIATE YOU BEING HERE.

>> SURE. WE HAVE ONE ORDER ITEM LATER, SO WE'LL BE HERE.

>> DO WE HAVE ANY QUESTIONS FOR MRS. STORRS ON ANY OF THIS, COUNCIL?

>> YES, I DO.

>> ALL THESE ITEMS WE HAVE LISTED HERE, LIKE LIGHTS, GOLF CART, PUMPS.

ARE THESE NEEDS, OR THEY WANTS? WHEN YOU GET RIGHT DOWN TO IT, WE'RE TO A POINT OF NEEDING TO FINANCE NEEDS.

I WANT TO MAKE SURE WHEN WE'RE FINANCING OR WE'RE USING COS OR WHATEVER, THAT THESE ITEMS ARE ABSOLUTELY NEEDED BECAUSE I KNOW WE GOT A WASTEWATER PLANT COMING UP, AND I DON'T SEE SPENDING MONEY ON WANTS AT THIS POINT IN TIME.

THAT'S MY QUESTION.

ARE THESE NEEDS OR WANTS?

>> YES, SIR, AND I'LL BRIEFLY SPEAK ON THAT, BUT I THINK MICHAEL KASHUBA, OUR PARKS DIRECTOR COULD ALSO COME UP AND SPEAK ON THAT A LITTLE BIT.

AS FAR AS THE LIGHTING PROJECTS THERE'S A LOT OF I WOULD SAY NEEDS TO ADDRESS LIGHTING IN OUR PUBLIC SPACES IN THE PARKS.

[01:05:05]

ONE, JUST SO WE CAN CONTINUE TO USE THOSE PARKS, AND ALSO IT HELPS FROM A PUBLIC SAFETY STANDPOINT.

WE HAVE HAD COUNCILS INVEST IN SOME PARKS LIGHTING OVER THE LAST FEW YEARS AND HAVE HAD A REALLY GOOD RESPONSE FROM OUR COMMUNITY, AND WE HAVE SEEN SOME OF THE PUBLIC SAFETY CONCERNS GO DOWN SOME IN THOSE AREAS.

SOME OF THE LIGHTING PROJECTS THAT ARE BEING ADDRESSED WITH THESE DOLLARS ARE HITTING SOME OF OUR BIG AREA PARKS.

THOMPSON PARK IS ONE.

IT'S ALSO ONE THAT WE DO HAVE A LOT OF PUBLIC SAFETY CONCERNS ON, AND I BELIEVE JOHN STIFF IS ONE OF THE OTHER ONES THAT WE DO HAVE A LOT OF ACTIVITY IN THAT PARK AS WELL.

ON THE PARKING LOTS AREA, WE HAVE SEEN EVEN SOME SAFETY CONCERNS IN OUR LOCAL PARKS RELATED TO PARKING.

WE FACILITATE A LOT OF ACTIVITIES ON THE WEEKENDS, WHETHER IT'S SPORTING EVENTS, WORKING WITH SOME OF OUR PARTNERS ACROSS THE COMMUNITY, AND THEN OTHER TYPE OF COMMUNITY EVENTS GOING ON, AND THERE'S NOT SUFFICIENT PARKING AT SEVERAL OF OUR LOCATIONS, AND WE HAVE SEEN CHALLENGES WHERE NO PARKING AREAS HAVE BEEN UTILIZED BY OUR CITIZENS BECAUSE THERE'S NOWHERE ELSE TO PARK.

THAT CAN CREATE TRAFFIC PROBLEMS AND POTENTIALLY PUBLIC SAFETY ISSUES? WE'RE TRYING TO ADDRESS SOME OF THAT BY HELPING PUT MORE SUFFICIENT PARKING SPACES IN OUR PARKS AREA.

WHEN WE LOOK AT THE PUMPS RELATED TO THE GOLF COURSE, THAT'S AN ABSOLUTE NEED.

THOSE ARE WORN OUT.

IT'S MY UNDERSTANDING, AND I'M TALKING FROM MICHAEL. MICHAEL, YOU COME ON UP.

THEY'RE WORN OUT, AND WE'RE NEEDING TO REPLACE THOSE IN ORDER TO PROPERLY SERVICE OUR GOLF COURSES.

THEN, MICHAEL, DID YOU WANT TO ADD IN ON ANY OF THAT?

>> NO I WOULD JUST SAY WITH THE GOLF COURSES, WHAT WE'VE SEEN IS WE'VE ACTUALLY HAD PUMPS GO DOWN AND MOTORS GO DOWN AND SIGNIFICANT PORTIONS OF ONE OF THE GOLF COURSES ACTUALLY SAW DAMAGE BECAUSE THOSE PUMPS WERE DOWN.

A LOT OF THOSE HAVE LIVED PAST LIFE EXPECTANCY.

IF WE DON'T REINVEST IN THOSE PUMPS, THEN WE'RE MORE LIKELY TO FACE SIGNIFICANT DAMAGE BECAUSE THOSE PUMPS ARE RUNNING PRIMARILY IN THE SUMMER WHEN IT'S HOT, SO WHEN THEY GO DOWN, WE START TO SEE PRETTY SIGNIFICANT DAMAGE ON THOSE GOLF COURSES PRETTY FAST.

THOSE HAVE LIVED PAST THE LIFE EXPECTANCY.

A LOT OF THE SOFTWARE, A LOT OF THE HARDWARE IS ACTUALLY OBSOLETE, SO WE CAN'T EVEN FIND PEOPLE TO COME WORK ON IT.

THE GOLF COURSE, THE PUMP STATIONS DEFINITELY NEEDED.

LIGHTING IS SUCH AN IMPORTANT PART OF PEOPLE'S EXPERIENCE IN A PARK SPACE.

WE'VE GOT A LOT OF PEOPLE THAT WORK THROUGH THE DAY AND THEN AT NIGHT THEY WANT TO GO USE THE PARK, AND IF IT'S PITCH BLACK LIKE THE SAN VOLLEYBALL COURTS, THE SKATE PARK, THAT PARK IS PRETTY MUCH USELESS IN THOSE EVENING HOURS.

WE WANT TO BE ABLE TO PROVIDE PUBLIC SAFETY.

WE WANT TO PROVIDE THOSE RECREATIONAL OPPORTUNITIES FOR PEOPLE TO GET AND USE THOSE SPACES.

LIKE LAURA SAID, WE'VE RUN INTO A BUNCH OF ISSUES WITH PARKING AND ENFORCEMENT.

WE'VE HAD CARS TOWED, WE'VE HAD A BUNCH OF TICKETS WRITTEN IN THE LAST YEAR.

JUST BECAUSE OF THE PARKING AND NO PARKING, PARKING IN PLACES THAT PEOPLE SHOULDN'T BE AND JUST THE OVERALL CONGESTION IT'S CREATING.

WE'RE LOOKING AT SOME OTHER OPTIONS TO RELIEVE SOME OF THAT, BUT THAT IS A KEY PART OF SOME OF THAT TRAFFIC FLOW.

>> ONE THING I WANTED TO ADD AS A REMINDER TO COUNCIL ON ALL THE PARKS PROJECTS, SO THAT'S EVERYTHING EXCEPT FOR THE $4 MILLION AND VARIOUS EQUIPMENT THAT'S LISTED UNDER A SEVEN YEAR LIFE.

THOSE ARE ALL INCLUDED IN YOUR CURRENT YEAR APPROVED OPERATING BUDGET.

THOSE DOLLARS, MICHAEL AND HIS TEAM HAVE LOOKED TO FIND THE MOST EFFICIENT WAY TO UTILIZE THOSE DOLLARS TO PUT MONEY BACK INTO THE PARKS, WITHOUT AFFECTING OR COMING BACK AND ASKING FOR MORE MONEY FROM COUNCIL.

IT'S ALREADY BEEN APPROVED BY THIS COUNCIL IN THE CURRENT ONGOING OPERATING BUDGET WITHOUT AFFECTING A TAX RATE FURTHER FROM THIS POINT.

THEN ON THE EQUIPMENT THAT'S A DISCUSSION THAT WE'LL HAVE.

IT'LL BE HOWEVER, COUNCIL DECIDES TO ADDRESS THAT IN THIS UPCOMING BUDGET BECAUSE THE FIRST PAYMENT WON'T BE MADE UNTIL THE NEXT FISCAL YEAR.

>> HOW MUCH WILL THIS RAISE TAXES IF WE USE AT ALL?

>> ARE YOU SPEAKING ON THE ENTIRE DEBT SERVICE OR JUST ON THE EQUIPMENT PIECE?

>> THE ENTIRE DEBT.

>> OH, THE ENTIRE DEAL.

IN THE BEGINNING, IT'S 1.7 MILLION ANNUALLY AND RIGHT NOW ONE PENNY GETS US APPROXIMATELY THAT JUST A LITTLE LESS THAN THAT $0.01 ON THE TAX RATE.

ONE PENNY ON THE TAX RATE.

YES, SIR. YEAH.

>> THAT'S ALL WE GOT. THANK YOU.

>> SO TO CLARIFY AND THEN I'LL GO TO COUNCILMAN KRAFT.

CURRENTLY IN OUR TAX RATE AND THEN THERE WAS AN AMOUNT THAT YOU SAID WAS NOT IN THE TAX RATE.

>> YES, SIR. OF THE $16.2 MILLION THAT WE'RE LOOKING TO FUND WITH THIS DEBT ISSUANCE TO THESE PROJECTS?

[01:10:03]

ALL OF IT EXCEPT FOR $4 MILLION IS ALREADY INCLUDED IN THE BUDGET IN THE CURRENT TAX RATE AS WELL.

IN THIS NEXT BUDGET YEAR, WE WILL WORK WITH COUNCIL TO DETERMINE IF THEY WANT TO REDUCE SOMETHING THAT'S ALREADY FUNDED THROUGH THE TAX RATE TO PAY FOR THE REMAINING FOUR MILLION, OR IF THEY WANT TO POTENTIALLY INCREASE TAXES.

>> OKAY. MR. KASHUBA, CAN YOU GIVE MISS CHAPPEL AN UPDATE ON HER LIGHTS TO THE VOLLEYBALL COURT AND THE ETA?

>> YEAH. SO THE SAND VOLLEYBALL COURTS AND A LOT OF THE OLD EXISTING LIGHTS AND JOHN STIFF BECAME A SAFETY HAZARD.

WE ACTUALLY HAD TO TURN A LOT OF THOSE LIGHTS OFF.

THE ONLY LIGHTS THAT REALLY THAT ARE FUNCTIONING IN THE PARK AT NIGHT ARE THOSE ATHLETIC LIGHTS THAT COUNCIL APPROVED AND THEN HAVE BEEN INSTALLED.

THAT PARK IS VERY DARK AT NIGHT.

IF COUNCIL APPROVES THE DEBT ISSUANCE AND THE PROJECT THAT'S ON YOUR AGENDA, WE WOULD START WORKING WITH THE VENDOR RIGHT AWAY, START WORKING ON ENGINEER DRAWINGS.

IF IT'S ANYTHING LIKE THE PREVIOUS PROJECTS WE'VE DONE, WE WOULD BE BREAKING DIRT VERY QUICKLY.

WE WANT TO MOVE AS FAST AS WE CAN.

WE'VE HAD GREAT SUCCESS WITH OBVIOUSLY THE VENDOR WE'VE PROVIDED BEFORE, AND THEY'VE DONE IT IN A VERY TIMELY MANNER.

AS SOON AS WE GET THE BLESSING, WE'LL START WORK WITH THE VENDOR AND GET GOING AS SOON AS WE CAN.

BREAKING GROUND, I WOULD SAY, PROBABLY IN A COUPLE OF MONTHS.

>> THANK YOU, COUNCILMAN KRAFT.

>> NO, I WAS JUST VERIFYING THAT THAT WAS COMING OUT OF THE PARKS AND I TO PAY THAT DEBT SERVICE PAYMENT.

>> YES.

>> BUT THE 4 MILLION THE HEAVY EQUIPMENT PIECE AS TO BE SOMETHING ELSE, DIDN'T IT?

>> THE FOUR MILLION IN HEAVY EQUIPMENT IS, AND I'M GOING TO PUNT TO DONNY, MAYBE A LITTLE BIT, BUT I BELIEVE WE'VE GOT SOME TRASH TRUCKS THAT ARE BEING FUNDED THROUGH THAT, AND THEN SOME OTHER HEAVY EQUIPMENT.

I CAN'T REMEMBER IF THERE WERE STREET SWEEPERS OR ANYTHING IN IT.

I'LL LET DONNY WEIGH IN IF HE REMEMBERS.

>> THAT'S JUST VARIOUS HEAVY EQUIPMENT ALL ACROSS THE FLEET THAT WE'VE IDENTIFIED AS THE MOST NEEDED AT THIS POINT IN TIME.

WE'RE PRETTY FAR BEHIND AS FAR AS GETTING BACK UP TO SPEED ON OUR HEAVY EQUIPMENT REPLACEMENT.

THIS IS THE BEGINNING OF THAT PROCESS.

>> THERE WAS SOMETHING ELSE IN HERE A WHILE BACK WHEN THEY'RE LIKE AT THE GAZEBO OR SOMETHING THAT WE HAD DISCUSSED? YEAH. THAT'S OUT.

>> THAT'S CORRECT.

>> I DON'T HAVE ANY MORE QUESTIONS.

>> ANY FURTHER QUESTIONS, COUNCIL? OKAY. MS. STORES, EXPLAIN ONE MORE TIME, REAL QUICK.

YES. YOU'RE GETTING AN APPROVAL OF THIS.

THIS WAY, WE CAN LOCK IN THAT GOOD INTEREST RATE THAT WE'RE LOOKING FOR, TO ISSUE AN AMOUNT OF DEBT THAT'S ALREADY BEEN BUILT IN TO THE CURRENT YEAR'S BUDGET, EVEN THOUGH YOU'RE NOT PAYING FOR IT TILL NEXT YEAR?

>> YES. IT CAN BE ALL OF IT OTHER THAN THE $4 MILLION WE'LL HAVE TO MAKE DECISIONS ON DURING THIS UPCOMING YEAR.

>> FOUR MILLION IF COUNCIL CHOSE TO PAY CASH FOR THAT, WE COULD CHOOSE TO DO CASH FUNDING.

THAT WAY, WE DON'T HAVE ANY EFFECTUATION ON THE TAX RATE.

>> THEN THAT WOULD BE CONSIDERED A CIP PROJECT AT THAT TIME.

WE DO HAVE CIP MONIES THAT WE COULD CHOOSE TO PUT OVER TO THAT.

BUT THEN COUNCIL WOULD WEIGH THAT MAYBE ON LIKE STREET REPAIR OR SOMETHING ELSE THAT YOU'D BE PUTTING MONEY INTO.

>> OKAY. GREAT. THANK YOU, GUESS.

WITH THAT DISCUSSION, ITEM 10A IS UP FOR CONSIDERATION, COUNCIL.

>> I MOVE TO ADOPT ORDINANCE NUMBER 8189 AS PRESENTED.

>> I HAVE A MOTION AND A SECOND ON 10A.

DO I HAVE ANY FURTHER DISCUSSION? ALL IN FAVOR. PLEASE SAY AYE.

>> AYE.

>> ANY OPPOSED? ITEM 10A PASSES.

THANK YOU ALL FOR LETTING US JUMP OUT OF ORDER.

I THINK WE'RE DOING OKAY HERE FOR A LITTLE BIT.

WE'RE GOING TO PUSH UNTIL WE TAKE A RECESS.

WE'RE GOING TO JUMP BACK TO ITEM TEN OR 8A.

[8.A. Review agenda items for regular meeting and attachments]

DO I HAVE ANYTHING, COUNCIL, YOU NEED TO PULL OFF FOR A REVIEW?

>> NO.

>> I'M GOING TO JUMP INTO 8B.

[8.B. Municipal Utility Districts (MUDs)]

MUNICIPAL UTILITY DISTRICTS.

THIS IS A MUD.

AND ALIA VINCENT, I THINK, IF YOU DON'T MIND STEPPING UP TO ONE OF THOSE TWO MICROPHONES, SHE'S OUR ATTORNEY THAT WE HAVE HIRED.

INTERESTINGLY ENOUGH, YOU DON'T WORK FOR THE CITY, DO YOU?

>> NO.

>> YOU'RE AN OUTSIDE ATTORNEY.

>> NO, I'M NOT AN EMPLOYEE.

I WAS TRYING TO CONFIRM YOUR QUESTION.

>> WE ENGAGED WITH YOU AS AN OUTSIDE ATTORNEY THAT HAS EXPERTISE IN A CERTAIN AREA.

THESE ARE CALLED MUDS.

AS YOU HEAR US TALK ABOUT A MUD POLICY, COUNCIL CAME TOGETHER AND SAID, YOU KNOW, THE WAY WE'RE GROWING RIGHT NOW IS NOT AS BENEFICIAL AS IT NEEDS TO BE FOR OUR FUTURE.

IF YOU WOULD, GIVE US A LITTLE BIT ABOUT YOURSELF, THE ATTORNEY FIRM YOU WORK FOR, AND MAYBE HOW WE ENGAGED WITH YOU.

>> SURE. THANK YOU VERY MUCH. CAN YOU HEAR ME OKAY? YES. MY NAME IS ALIA VINCENT.

I'M WITH THE LAW FIRM, ALAN BOON HUMPHREYS ROBINSON.

WE SPECIALIZE IN WORKING IN PUBLIC LAW, PUBLIC INFRASTRUCTURE.

WE WORK A GREAT DEAL IN THIS SPACE OF GOVERNMENTAL ENTITIES WHOSE FUNCTION IS TO BE ABLE TO BUILD AND FINANCE PUBLIC INFRASTRUCTURE.

[01:15:04]

A LOT OF WHAT I'VE HEARD TODAY IS A COMMON STORY THAT WE'RE SEEING ACROSS THE STATE.

THE STATE DEMOGRAPHER SAYS HAVE MORE THAN 01,500 PEOPLE COMING TO THE STATE EVERY SINGLE DAY.

OUR POPULATION IS INCREASING BY THAT MUCH EVERY SINGLE DAY.

THE GROWTH THAT YOU'RE SEEING IN YOUR AREA, BOTH WITHIN THE CITY, AND, OF COURSE, IN THE REGION OUTSIDE OF THE CITY, IT'S A PRETTY COMMON SITUATION.

I'D SAY IT'S A GOOD PROBLEM TO HAVE, RIGHT HERE IN THE STATE OF TEXAS, PEOPLE WANT TO COME HERE.

BUT THE PUBLIC INFRASTRUCTURE TO SERVE THOSE NEEDS MUST BE BUILT AND MUST BE BUILT TO QUALITY THAT IT CAN LAST AND MUST BE PAID FOR.

A VERY COMMON TOOL THAT MANY CITIES CONSIDER, AND MANY DEVELOPERS CONSIDER IS TO USE A MUNICIPAL UTILITY DISTRICT TO PROVIDE THAT FUNCTION.

BEFORE I DIVE INTO A LITTLE BIT ABOUT A PROPOSED POLICY, OUR FIRM WAS ASKED BY THE CITY OF AMARILLO TO CONSULT WITH THE CITY AND CITY STAFF OVER THE LAST SEVERAL MONTHS TO CONSIDER WHAT YOUR NEEDS ARE, TO CONSIDER WHAT GROWTH AND DEVELOPMENT LOOKS LIKE, AND TO WORK WITH YOUR STAFF TO BE ABLE TO PROPOSE A POLICY.

NOW, TODAY'S POLICY IS REALLY FOCUSED ON GROWTH OUTSIDE OF THE CORPORATE LIMITS IN THE EXTRATERRITORIAL JURISDICTION IN THE ETJ.

THIS POLICY WOULD REALLY BE GEARED TOWARDS PROVIDING PREDICTABILITY, CERTAINTY, AND CONSISTENCY.

TODAY, I'LL BE HERE TO GO OVER THE MAJOR CONCEPTS IN THIS POLICY AND THEN TO ANSWER ANY QUESTIONS THAT YOU HAVE.

OF COURSE, THIS IS NOT AN ACTION ITEM FOR TODAY.

IT'S JUST DISCUSSION.

COUNCIL, I BELIEVE YOU HAVE IN FRONT OF YOU THE PROPOSED POLICY DRAFT, AND IT DOES HAVE PAGE NUMBERS ON THE BOTTOM.

SO OCCASIONALLY, AS I GO THROUGH THESE, I MIGHT REFERENCE A PAGE NUMBER.

BIG PICTURE WITH RESPECT TO MUNICIPAL UTILITY DISTRICTS, WE REALLY START WITH THE CITY'S OBJECTIVES.

THE CITY'S OBJECTIVES, IF YOU LOOK ABOUT HALFWAY THROUGH ON PAGE ONE, WE START WITH THE PRINCIPLE HERE.

THE IDEA THAT DEVELOPMENT IN THE ETJ NEEDS TO OCCUR ON A SELF SUPPORTING BASIS.

THAT THE MUD OR THE DEVELOPMENT WITHIN THE BOUNDARIES OF THAT MUD SHOULD BE PAYING THE FULL COST OF PAYING FOR THE CONSTRUCTION AND THE OPERATION OF THE PUBLIC INFRASTRUCTURE THAT'S NECESSARY TO SERVE THAT MUD WITHOUT HAVING TO BE SUBSIDIZED BY THE CITY'S EXISTING TAXPAYERS.

THIS IS REALLY THE PRINCIPLE THAT WE'RE STARTING WITH, AND YOU'LL SEE THIS PLAY OUT IN SEVERAL PLACES IN THE DOCUMENT.

A MUNICIPAL UTILITY DISTRICT, I KNOW THAT THOSE ON COUNCIL HAVE ALREADY SOME FAMILIARITY TO THIS, BUT FOR THOSE WHO MAY BE HAVEN'T HEARD ABOUT THAT BEFORE, THIS IS A GOVERNMENTAL ENTITY, A POLITICAL SUBDIVISION OF THE STATE OF TEXAS, AND IT IS CREATED OVER A SPECIFIC GEOGRAPHIC BOUNDARY WITH SPECIFIC LIMITED POWERS, CORE FUNCTIONS TO PROVIDE WATER INFRASTRUCTURE, WASTEWATER INFRASTRUCTURE, DRAINAGE, ROADS, PARKS.

THESE ARE CORE FUNCTIONS OF THESE TYPES OF DISTRICTS.

THEY ARE MANAGED BY A BOARD OF DIRECTORS THAT IS ELECTED BY THE PROPERTY OWNERS WITHIN THE MUD ITSELF.

THE MUD CAN BE CREATED EITHER BY ADOPTION OF A BILL BY THE TEXAS LEGISLATURE OR BY ORDER OF THE TEXAS COMMISSION ENVIRONMENTAL QUALITY.

FOLLOWING A PETITION AND CONSENT PROCESS.

AND WE'RE GOING TO TALK ABOUT THAT TODAY BECAUSE THE PETITION AND THE CONSENT PROCESS IS REALLY WHERE THE CITY OF AMARILLO CAN MAKE CLEAR YOUR INTENTIONS AS TO HOW AND WHEN YOU WILL THEN APPROVE CREATION OF MUDS.

ONE THING I DO WANT TO NOTE ALSO ON PAGE ONE, SO THIS IS A POLICY THAT COULD BE AMENDED BY CITY COUNCIL. AS NEEDED.

ALSO, THE CONSENT TO THE CREATION OF THE DISTRICT REMAINS IN THE HANDS OF COUNCIL.

SO YOU WOULD, IF YOU WANT TO MOVE FORWARD WITH ADOPTING THIS POLICY, THREE YEARS FROM NOW, YOU HAVE AN APPLICATION COME ALONG.

THAT CITY COUNCIL IS LOOKING AT THE POLICY, EVALUATING WHETHER THE POLICY CRITERIA ARE MET, AND THEN DECIDING WHETHER TO VOTE YES OR NO AT THAT TIME.

LET ME JUST MOVE FORWARD A LITTLE BIT HIGH LEVEL.

SO BEGINNING ON PAGE ONE, WE HAVE SOME CONDITIONS FOR CITY CONSENT OF, AGAIN, THESE EXTRA TERRITORIAL JURISDICTION MUDS.

THOSE ARE THOSE MUDS THAT ARE OUTSIDE OF THE CITY LIMITS.

WE HAVE THE CONCEPT HERE THAT AS PART OF THIS PROCESS, THERE WOULD BE A DEVELOPMENT AGREEMENT WITH THE DEVELOPER.

THERE WOULD BE A FORM OF STRATEGIC PARTNERSHIP AGREEMENT THAT'S ATTACHED AS AN EXHIBIT.

THERE WOULD BE A UTILITY AGREEMENT SPECIFIC TO HOW THE UTILITIES WOULD BE STRUCTURED.

I'M NOT GOING TO GO INTO THAT AND REALLY FINE DETAIL AT THIS POINT, BUT WE HAVE A NUMBER OF AGREEMENTS THAT WOULD DOCUMENT THAT RELATIONSHIP UP FRONT.

ON PAGE TWO, SOME HIGHLIGHTS HERE, THE PUBLIC INFRASTRUCTURE PLANS NEED TO BE PREPARED AND

[01:20:03]

REVIEWED BY THE CITY IN COMPLIANCE WITH THE CITY'S DEVELOPMENT REGULATIONS.

ONE OF THE THINGS WE'RE TRYING TO DO HERE IS ENSURE THAT IF THE CITY EVER CHOOSES TO ANNEX THAT LAND, THAT YOU ARE INHERITING PUBLIC INFRASTRUCTURE THAT'S HIGH QUALITY.

AGAIN, THE INFRASTRUCTURE WOULD HAVE TO MEET THOSE STANDARDS.

THE LAND WOULD ALSO HAVE TO COMPLY WITH THE LAND USE AND DEVELOPMENT STANDARDS OF THE CITY'S REGULATIONS.

>> NOW, ITEM 8 ON PAGE 2 FOR THE COUNCIL, I JUST WANT TO HIGHLIGHT THIS.

WE ARE PROPOSING THAT IT BE THE CITY'S POLICY THAT ANY MUD THAT IS CREATED IN THE ETJ SHOULD NOT BE DISSOLVED UNTIL THE TIME THAT IT HAS RETIRED ALL OF ITS OUTSTANDING BONDED INDEBTEDNESS, SO THAT THE CITY IS NOT INHERITING ANY OF THAT OUTSTANDING DEBT.

WE HAVE SOME OPPORTUNITIES HERE FOR THE CITY TO REALLY CONSIDER HOW YOU WANT TO INCENTIVIZE RESIDENTIAL DEVELOPMENT.

ROOFTOPS FOR HOUSING THAT IS A REASONABLE PRICE IS CRITICAL IN A GROWING AREA.

WE HAVE AN OPPORTUNITY FOR YOU TO CONSIDER HOW YOU WOULD STRUCTURE EITHER CREATING MUDS SOLELY OVER RESIDENTIAL AREAS OR PERHAPS SOME OTHER OPTIONS, BUT REALLY INCENTIVIZING THAT.

WE WOULD PROPOSE A PETITION PROCESS ON PAGE 3.

THE PETITION PROCESS LARGELY IS DRIVEN BY A LOT OF STATUTORY REQUIREMENTS IN CHAPTER 54 OF THE TEXAS WATER CODE.

BUT WE ALSO HAVE SOME ADDITIONAL SUGGESTIONS THAT WE WOULD MAKE.

ONE IS THAT YOU HAVE A PRE-APPLICATION MEETING.

ANYONE WHO WANTS TO SUBMIT AN APPLICATION TO CREATE A MUD WOULD FIRST COME TO THE STAFF, HAVE A MEETING, UNDERSTAND THE INS AND OUTS OF ALL OF THIS.

ITEM 2 ON PAGE 3 IS THAT WE DO PROPOSE A SMALL APPLICATION FEE.

JUST TO ENSURE THAT FOLKS WHO ARE GOING TO BE SUBMITTING THAT APPLICATION, AND OF COURSE, THERE WILL BE SOME STAFF TIME ASSOCIATED WITH THAT, THAT THEY HAVE SOME SKIN IN THE GAME AND THAT THEY'RE SERIOUS, $1 FEE THAT WE HAVE SEEN OTHER CITIES CHOOSE TO CHARGE A SOMEWHERE IN THE $500 RANGE ENOUGH TO BE A COMMITMENT, THAT THEY'RE SERIOUS, BUT NOT SO MUCH THAT YOU'RE DISINCENTIVIZING DEVELOPMENT.

THAT CURRENTLY IS A BLANK, BUT THAT WOULD BE A RECOMMENDATION.

THE PETITION, IF YOU LOOK DOWN ON THREE, THERE ARE A NUMBER OF ITEMS THAT WOULD BE LAID OUT IN THAT PETITION.

WHAT NEXT? THEY TURN IN A PETITION, THEY TURN IN THEIR FEE, STAFF BEGINS TO GO THROUGH THEIR PROCESS.

ON PAGE 4, WE WOULD HAVE A NOTICE OF PETITION PROCESS AND A PUBLIC HEARING PROCESS.

THE STAFF AND THE CONSULTANTS WOULD ASSESS THE APPLICATION AS IT CAME IN, MAKE SURE THAT IT COMPLIES WITH ALL OF THE TEXAS WATER CODE REQUIREMENTS AND THEN MAKE A RECOMMENDATION TO CITY COUNCIL.

THE CITY COUNCIL CAN THEN DETERMINE WHETHER TO CONDUCT A PUBLIC HEARING TO CONSIDER THAT PETITION.

OF COURSE, YOU SEE FURTHER ON PAGE 4, SOME ADDITIONAL PARAMETERS AROUND WHAT WOULD BE PRESENTED AS CITY COUNCIL WOULD BRING THAT FORWARD.

NOW, I DO WANT TO NOTE AT THE BOTTOM OF PAGE 4.

IF YOU WANT TO MOVE THROUGH THE PROCESS OF FORMALLY APPROVING YOUR CONSENT, YOU DO THAT IN THE FORM OF A RESOLUTION.

THE REASON IT MATTERS IS THAT ANY LAND THAT'S IN YOUR ETJ OVER WHICH A DISTRICT IS GOING TO BE CREATED NEEDS THAT CITY CONSENT, EITHER TO BE CREATED BY THE TCQ, THE TEXAS COMMISSION ON ENVIRONMENTAL QUALITY OR TO BE ABLE TO CONFIRM THE CREATION, EVEN IF IT WAS LEGISLATIVELY CREATED.

THAT CITY CONSENT IS A REALLY IMPORTANT STEP IN THE FORM OF A RESOLUTION.

WE HAVE SOME PROPOSED FINDINGS AT THE BOTTOM OF PAGE 4 AND INTO PAGE 5 THAT REALLY COME BACK TO PRINCIPLES AGAIN, THAT THE CITY COUNCIL AT THAT TIME IS FINDING THAT THE PROPOSED MUD WOULD NOT ADVERSELY AFFECT EXISTING CITY FACILITIES OR THE USE OF THOSE FACILITIES.

ON THE NEXT PAGE, TOP OF PAGE 5, THAT YOU FIND THAT IT WILL NOT INCREASE THE CITY'S TAXES OR UTILITY RATES OR ADVERSELY IMPACT THE CITY'S FINANCING OR BOND RATING.

REMEMBER, THESE ARE STANDALONE ENTITIES.

IF THEY ARE ISSUING DEBT TO PAY FOR OR REIMBURSE FOR PUBLIC INFRASTRUCTURE, THAT IS THEIR DEBT ISSUANCE, NOT THE CITIES.

BUT IT IS VERY IMPORTANT, I THINK TO GO THROUGH THIS PROCESS OF ASSURING YOURSELVES, THE CITY COUNCIL, AT THE TIME THAT THERE IS NOT A NEGATIVE IMPACT.

LASTLY, THAT THE POLICY CONDITIONS HAVE BEEN PROVIDED FOR IN THE CONSENT RESOLUTION AND THE DEVELOPMENT AGREEMENT AND THE UTILITY AGREEMENT.

SOME ADDITIONAL MATTERS HERE.

FINANCIAL LIMITATIONS AND PERFORMANCE STANDARDS.

WE'VE TALKED A LITTLE BIT ABOUT DEBT ISSUANCE TODAY.

MUNICIPAL UTILITY DISTRICTS ARE RIGOROUSLY OVERSEEN BY THE TEXAS COMMISSION ON ENVIRONMENTAL QUALITY AND EVERY BOND ISSUANCE THAT THEY

[01:25:04]

WOULD EVER BE PERMITTED TO MAKE WOULD HAVE TO BE APPROVED BY THE TEXAS ATTORNEY GENERAL'S OFFICE.

THERE'S A VERY INVOLVED PROCESS IN THIS, BUT THIS LAYS OUT SOME INFORMATION ABOUT FINANCIAL PROCESS AND LIMITATIONS.

ALSO SOME POTENTIAL PROVISIONS THAT YOU CAN CONSIDER WHEN YOU ARE CONSIDERING THAT CONSENT RESOLUTION.

A LOT OF TIMES THOSE RELATE TO THE LENGTH OF THE MATURITIES OF DEBT, A MAXIMUM DEBT SERVICE THAT WOULD BE PERMITTED OVER THE STANDARD ISSUANCE RATE AT THAT TIME.

BUT JUST FOCUSED ON ENSURING THAT THE MUDS ARE PERMITTED TO ISSUE DEBT UNDER THE STATE RULES, BUT THAT THERE ARE SOME SAFETY PARAMETERS AROUND THOSE AS WELL TO MAKE SURE THAT IT'S DONE FAIRLY.

ON PAGE 7, WE HAVE SOME DOCUMENTATION ABOUT MUD GOVERNANCE AND TRANSPARENCY.

LOT OF DISCUSSION ABOUT TRANSPARENCY TODAY, SO YOU WOULD WANT TO MAKE SURE THAT MUDS THAT YOU CONSENT TO THE CREATION OF ARE ALSO BEING TRANSPARENT.

THAT IF THEY HAVE A WEBSITE, THEY'RE POSTING AGENDAS AND MINUTES ON THOSE WEBSITES.

WE'RE ALSO PROPOSING THAT THE CITY HAVE THE RIGHT TO APPOINT A NON-VOTING EX-OFFICIO MEMBER TO THE BOARDS OF MUDS WHEN THEY'RE CREATED.

WE ALSO SPEAK A LITTLE BIT HERE ABOUT ENSURING REASONABLE COORDINATION AND TRANSPARENCY BETWEEN CITY STAFF AND THE DEVELOPER AND THE MUD.

UTILITY RATES.

NEXT, ON PAGE 7, UTILITY RATES.

THERE WILL BE A UTILITY AGREEMENT BETWEEN THE DISTRICT AND THE.

CITY AND THAT WOULD RELATE TO THE PROVISION OF SERVICES.

THIS DOCUMENT REFLECTS RETAIL WATER AND WASTEWATER SERVICES, SO THAT WOULD MEAN THE CITY ACTUALLY PROVIDING RETAIL WATER AND WASTEWATER SERVICES TO MUDS AND ITS ETJ AND WE'LL TALK ABOUT RATES TO ENSURE THAT THAT'S FAIR HERE IN A MOMENT.

BUT THE WAY THIS WOULD WORK IS THAT UTILITY AGREEMENT WOULD DESCRIBE IN VERY EXPLICIT DETAIL HOW THAT WOULD WORK AND THE MUD OR THE DEVELOPER ON BEHALF OF THE MUD WOULD CONSTRUCT ALL WATER AND WASTEWATER FACILITIES NECESSARY TO PROVIDE WATER AND WASTEWATER SERVICE TO THE LAND WITHIN THE BOUNDARIES OF THE MUD.

THE BURDEN OF PAYING FOR THAT WATER AND WASTEWATER INFRASTRUCTURES ON THE DISTRICT/ DEVELOPER, ALL WATER AND WASTEWATER FACILITIES CONSTRUCTED BY THE MUD, SUBJECT TO PLAN REVIEW BY THE CITY, SUBJECT TO INSPECTION BY THE CITY AND THIRD-PARTY INDEPENDENT INSPECTION WILL END UP BEING OWNED, OPERATED, AND MAINTAINED BY THE CITY SINCE YOU ARE PROVIDING RETAIL SERVICE.

THAT'S WHY IT'S STRUCTURED IN THE MANNER THAT YOU SEE HERE.

ON THE NEXT PAGE, PAGE 8.

YOU WOULD BE PROVIDING RETAIL SERVICE, BUT YOU'RE PROVIDING IT OUTSIDE OF THE CITY LIMITS.

IN THIS CASE, WE ARE RECOMMENDING A 150% RATE TO BE CHARGED TO THOSE CUSTOMERS WITHIN THE MUD THAT ARE OUTSIDE OF YOUR CORPORATE LIMITS TO ENSURE, AGAIN, THAT YOU HAVE THAT BALANCE, THAT THE MUD IS SELF-SUPPORTING AND THAT YOU'RE NOT HAVING A SUBSIDY BY YOUR CURRENT RATEPAYERS WITHIN THE CITY.

FURTHER ON ON PAGE 8, WE HAVE SOME DISCUSSION ABOUT ADDITIONAL SERVICES, TRASH SERVICE.

TRASH SERVICE IS REALLY A HUGE DEAL AND SO WE HAVE A LITTLE BIT ABOUT THAT.

AGAIN, PROPOSING 150% RATE TO THE RATE THAT'S NORMALLY CHARGED TO THOSE WITHIN YOUR CITY'S CORPORATE LIMITS.

THE CITY WOULD NOT PROVIDE FIRE POLICE OR EMS SERVICES UNLESS THERE'S A SEPARATE WRITTEN AGREEMENT BETWEEN THE CITY AND THE DISTRICT AT THAT TIME.

CONTINUING ON ON PAGE 8, ROAD DRAINAGE AND PARKS.

I MENTIONED AT THE BEGINNING THAT BEYOND WATER AND WASTEWATER, OTHER CORE FUNCTIONS OF A DISTRICT INCLUDE ROADS, DRAINAGE PARKS.

HERE WE HAVE SOME PROVISIONS THAT THE DEVELOPER WILL CAUSE THESE FACILITIES TO BE BUILT TO CITY STANDARDS.

AGAIN, I THINK THAT'S A REALLY IMPORTANT POSITION FOR THE CITY TO HOLD AND THAT THE DEVELOPER WOULD AGREE THAT ROADS LOCATED WITHIN THE MUD WOULD BE OWNED BY THE MUD AND MAINTAINED BASED ON A MAINTENANCE AGREEMENT ACCEPTABLE TO THE CITY.

ALSO DRAINAGE, THAT THE DRAINAGE FACILITIES WOULD BE OWNED BY THE MUD AND MAINTAINED PURSUANT TO A MAINTENANCE AGREEMENT.

WE ALSO HAVE WITH RESPECT TO PARKS, THAT THE DEVELOPER WOULD CAUSE A MUD TO DEVELOP A PARK MASTER PLAN TO MEET CITY STANDARDS AND THAT THE MUD WOULD OWN AND MAINTAIN THAT MUD TO STANDARDS, AGAIN, AGREED TO BETWEEN THE CITY AND THE MUD.

NOW, AT THE BOTTOM OF PAGE 8, WE DO HAVE A PROVISION HERE REGARDING AN OBLIGATION FOR THE DEVELOPER TO SUBMIT A PETITION, REQUESTING THE CITY TO CREATE A PUBLIC IMPROVEMENT DISTRICT FOR THE LIMITED PURPOSE OF MAINTAINING THOSE MUD OWNED FACILITIES, INCLUDING DRAINAGE AND PARKS.

IF AND WHEN THAT MUD EVER GOES AWAY,

[01:30:04]

THE CITY CHOOSES TO ANNEX THAT MUD IN THE FUTURE.

AGAIN, THAT'S STRICTLY AT THE CITY'S OPTION.

IF THAT OCCURS, THEN IT WOULD BE THE PUBLIC IMPROVEMENT DISTRICTS OBLIGATION TO LEVY AN ASSESSMENT TO PAY TO MAINTAIN THOSE FACILITIES.

I THINK THAT'S AN IMPORTANT PROVISION TO KEEP IN PLACE TO ENSURE LONG TERM QUALITY AND UPKEEP OF THOSE FACILITIES AND AGAIN, WITHOUT PUTTING THAT BURDEN ON YOUR CURRENT CITY RESIDENTS.

THEN LASTLY, ON PAGE 9, WE HAVE A LITTLE MORE DETAIL WITH RESPECT TO THE STRATEGIC PARTNERSHIP AGREEMENT.

AGAIN, THAT WOULD BE AN EXHIBIT TO THE DEVELOPMENT AGREEMENT THAT WOULD BE ONE OF THE CONDITIONAL DOCUMENTS.

THE STRATEGIC PARTNERSHIP AGREEMENT IS AN EXTREMELY IMPORTANT DOCUMENT TO ENSURE THAT THE CITY HAS LONG-TERM ABILITY TO CONTROL YOUR OWN DESTINY WITH RESPECT TO WHETHER OR NOT TO ANNEX THAT MUD IN THE FUTURE AND IN THIS CASE, THERE ARE SOME PROVISIONS HERE REGARDING WHEN THE CITY WOULD DO THAT.

REALLY, THAT'S TO ENSURE THAT THE UPFRONT INFRASTRUCTURE COSTS ARE PAID FOR AND RETURNED AND REIMBURSED BEFORE THAT FUTURE ANNEXATION MIGHT OCCUR.

ALSO, WE DO HAVE A NOTE HERE REGARDING THAT THE CITY WOULD NOT BE REQUIRED TO SHARE ITS SALES TAX REVENUE IN THE EVENT IT HAS SOME SALES TAX COLLECTION OVER LIMITED PURPOSE ANNEXATIONS OVER THE AREA SUBJECT TO THIS AGREEMENT.

LOTS OF TECHNICALITIES THERE TRYING TO KEEP THAT BIG PICTURE, BUT I'D LIKE TO GO AHEAD AND STOP AND JUST HEAR FROM THE MAYOR AND THE COUNCIL, IF YOU HAVE ANY QUESTIONS FOR ME.

>> LEAH, THAT'S A GOOD PRESENTATION. I KNOW.

WE CAN GET IN THE WEEDS IN THE MUD, BUT YOU DID A GOOD JOB OF GIVING US A GOOD DIRECTION.

COUNSEL, YOU HAVE QUESTIONS FOR HER BEFORE I GET TO GO.

>> GO AHEAD, LESLEY.

>> A COUPLE OF QUESTIONS. AT THE ETJ IF WE MOVE FORWARD WITH THIS, ONLY THE ETJ, WHICH IS 1 MILE OUTSIDE OF THE CITY LIMITS SURROUNDING ALL THE CITY LIMITS?

>> YES. THAT'S CORRECT.

SINCE WE REDUCED IT TO 1 MILE.

>> THAT'S NORTH. I MEAN, IT COULD BE ANYWHERE.

ANY PROJECT COULD GO ANYWHERE.

>> AS THE CITY LIMITS GROWS, THE MILE EXTENDS. YES.

>> THEN THE BUILDERS AND DEVELOPERS IN THESE AREAS ARE AGREEING TO BUILD TO OUR STANDARDS FOR WATER, SEWER AND ROADS.

WHAT'S THE ADVANTAGE FOR THEM? WHY WOULD THIS CAUSE DEVELOPMENT TO OCCUR THAT WOULD NOT OCCUR RIGHT NOW? WHAT IS THE DEVELOPERS, WHAT DO THEY GET OUT OF THIS?

>> I THINK THAT'S A GREAT QUESTION, AN IMPORTANT QUESTION.

ONE THING THAT'S IMPORTANT FOR COUNSEL TO KNOW, I KNOW YOU'RE AWARE OF THIS ALREADY, BUT THERE ARE PROVISIONS UNDER TEXAS LAW TODAY THAT DO ALLOW LANDOWNERS TO REMOVE THEMSELVES FROM YOUR ETJ.

IT'S A QUESTION OF HOW CAN THIS BE WIN WIN FOR BOTH.

LET ME START WITH THE CITY.

ONE OF THE BENEFITS OF UTILIZING A POLICY LIKE THIS AND HAVING REALLY GOOD CONTROL AND QUALITY ON MUDS WITHIN YOUR ETJ IS THAT BY WORKING THROUGH THIS, YOU ACTUALLY KEEP THAT LAND WITHIN YOUR ETJ, AS OPPOSED TO HAVING DEVELOPERS OPT OUT AND IT GIVES YOU THE OPPORTUNITY IN THE FUTURE, SHOULD YOU CHOOSE TO, TO POTENTIALLY ANNEX THAT LAND AND HAVE THAT ADD TO YOUR TAXABLE VALUE OF THE CITY AND IT ALLOWS YOU TO ENSURE THAT WHAT'S OUT THERE IS BUILT TO THE STANDARDS THAT YOU WANT IT TO BE BUILT TO.

RESPECT TO THE DEVELOPERS, IF YOU THINK ABOUT HOW, IF A DEVELOPER CAN HAVE A DISTRICT EITHER WAY, THEY EITHER STAY IN THE ETJ AND WORK WITH YOU AND NEED TO GET YOUR CONSENT OR THEY JUST OPT OUT AND THEY JUST GO CREATE THEIR OWN DISTRICT, THE BIG DIFFERENCE IN MY MIND IS THAT YOU HAVE SOME REALLY IMPORTANT, VALUABLE CITY SERVICES, THEY NEED.

WATER AND SEWER SERVICE IS TREMENDOUSLY IMPORTANT, YOU CAN'T BUILD HOUSES WITHOUT WATER AND SEWER SERVICE.

WHILE IT IS POSSIBLE TO GO AND BUILD THOSE TYPES OF FACILITIES ON YOUR OWN AS OPPOSED TO PURCHASING THEM THROUGH A CITY, IT'S NOT USUALLY A PREFERRED PATHWAY, AND IT CERTAINLY TAKES A LOT MORE TIME, WHICH DELAYS THE ABILITY TO BUILD THOSE ROOFTOPS.

IN THIS CASE, I WOULD SAY THE BIGGEST DRAW TO A DEVELOPER TO PARTICIPATE AND WORK WITH YOU IS THE ABILITY TO HAVE RETAIL WATER AND WASTEWATER SERVICES, AS WELL AS TRASH SERVICES, OF COURSE, AS A BONUS, BUT THOSE WATER AND WASTEWATER SERVICES REALLY ARE THE CORE.

>> I GUESS THE OTHER ADVANTAGE FOR US IS WE'RE CHARGING THEM 1.5 TIMES THAT WE'RE CHARGING THE REGULAR RESIDENTS FOR WATER AS LONG AS THEY'RE OUTSIDE THE CITY LIMIT.

>> CORRECT. THAT 150%, AGAIN, REALLY WORKING WITH STAFF IS MEANT TO RECOGNIZE THAT THEY SHOULD BE PAYING THAT ADDITIONAL SHARE TO KEEP IT A LEVEL PLAYING FIELD INSTEAD OF BEING SUBSIDIZED.

>> THEN ALSO WITH THE MUNICIPAL UTILITY DISTRICT, AS I REMEMBER,

[01:35:06]

THIS ALSO ALLOWS THE DEVELOPERS TO USE A DIFFERENT TYPE OF FUNDING OR MAKE THEM AVAILABLE FOR A DIFFERENT TYPE OF FUNDING THAT THEY WOULD NOT BE OTHERWISE.

>> SEE, YOU'RE REMEMBERING A LOT OF THE DETAIL ON THIS. YOU'RE DOING GREAT.

>> I'M TRYING TO REMEMBER THEM.

>> THAT'S WONDERFUL. THE USE OF A MUNICIPAL UTILITY DISTRICT FROM A DEVELOPERS STANDPOINT ALLOWS THEM TO CREATE A FINANCING VEHICLE FOR THE PAYMENT OF PUBLIC INFRASTRUCTURE THAT AT THE END OF THE DAY, MAKE SURE THAT LOTS ARE CHEAPER AND HOUSES ARE CHEAPER.

THAT'S REALLY WHAT IT DOES.

IF YOU'RE BUILDING, LET'S SAY YOU'RE BUILDING ON 200 ACRES, YOU'RE BUILDING A BUNCH OF HOUSES, YOU NEED TO BUILD A BUNCH OF WATER LINES, A BUNCH OF SEWER LINES, A BUNCH OF ROADS, ALL OF THAT INFRASTRUCTURE MUST BE BUILT, PERIOD.

IT'S JUST A QUESTION HOW IT'S GOING TO BE BUILT.

OPTION 1 WITHOUT A DISTRICT IS THAT THE DEVELOPER IS PAYING FOR ALL OF THAT UP FRONT AND THEY'RE GOING TO BUILD ALL OF THE COSTS OF THAT INTO THE PRICE OF THE LOT INTO THE PRICE OF THE HOUSE.

WHAT THAT RESULTS IN IS SIGNIFICANTLY HIGHER HOUSING PRICES.

THE ALTERNATIVE IS TO USE A MUNICIPAL UTILITY DISTRICT WHERE IT'S A PUBLIC PRIVATE PARTNERSHIP, IF YOU WANT TO THINK ABOUT IT THAT WAY.

WHERE THE DEVELOPER ADVANCES ALL OF THE COSTS FOR THE PUBLIC INFRASTRUCTURE.

THE DEVELOPER PAYS FOR THAT, BUT THEN THEY HAVE THE ABILITY TO GET PAID BACK BY THE DISTRICT.

WHEN THEY HAVE BUILT ENOUGH TAXABLE VALUE ON THE GROUND, ENOUGH ROOFTOPS.

THERE'S SOME REALLY STRINGENT ECONOMIC FEASIBILITY RULES THAT THE TCQ REQUIRES.

BUT THE DISTRICT WHEN THE TIME IS RIGHT AND SAY, LET'S SAY $10 MILLION WORTH OF TAXABLE VALUE HAS BEEN BUILT.

THEN THE DISTRICT CAN GO TO THE TCQ, ASK PERMISSION TO ISSUE $1,000,000 WORTH OF BONDS.

IT'S A 10-1 VALUE TO DEBT RATIO STANDARD.

THEN THEY CAN GO TAX EXEMPT BONDS AND THEY CAN PAY THAT DEVELOPER BACK, REIMBURSE THEM IN LUMP SUM AND THEN SPREAD THE COST OF THAT DEBT OVER THE 25 YEARS OR 30 YEARS THAT THE BONDS ARE OUTSTANDING.

THAT ALLOWS THE UPFRONT HOUSING PRICE TO BE SIGNIFICANTLY CHEAPER.

IN SOME CASES, WE'VE SEEN THAT HOUSING PRICE TO BE AS MUCH AS $150,000 LESS THAN IT WOULD BE WITH AT MUD.

>> THEN SO BUT THEN THOSE LIVING IN THE HOMES IN THE MUD ARE THEN PAYING A FEE.

>> DO THEY PAY THE DEVELOPER? DOES THAT GO THROUGH PRATT, OR HOW IS THAT PAID?

>> THEY WOULD BE PAYING A TAX DIRECTLY TO THE MUD.

THAT WOULD BE THE APPRAISAL DISTRICT WOULD SET THE VALUE ON THE HOMES.

THE TAX RATE WOULD BE ADOPTED BY THE DISTRICT BOARD.

REMEMBER, IT'S A GOVERNING BOARD THAT'S ELECTED BY THOSE WHO LIVE IN THE COMMUNITY.

EVERY YEAR, LIKE WHAT YOU DO, THEY WOULD GO THROUGH THE PROCESS OF LEVYING THE TAX.

THEY WOULD DO THE NOTICE, THE PUBLICATION, THEY WOULD LEVY THE TAX.

THEN THE APPRAISAL DISTRICT WOULD SEND OUT THE BILL FOR THAT, ALONG WITH ANY OTHER TAXES THAT THEY OWE.

THOSE INDIVIDUALS WOULD PAY THAT ALONG WITH THE COUNTY TAX THEY WOULD PAY, THE SCHOOL DISTRICT THEY WOULD PAY.

ONE THING THAT'S REALLY IMPORTANT, THOUGH, IS THAT ANYONE WHO WOULD PURCHASE WITHIN THE DISTRICT IS GIVEN REALLY EXPLICIT NOTIFICATION UP FRONT TWICE IN THE PURCHASE PROCESS TO MAKE THEM AWARE THAT THEY ARE PURCHASING WITHIN A DISTRICT, WHAT ITS MAXIMUM RATES COULD BE, AND WHAT ITS MAXIMUM DEBT ISSUANCES COULD BE AS WELL.

FOLKS WHO ARE CHOOSING TO MOVE INTO THOSE COMMUNITIES ARE VOTING WITH THEIR FEET, TO MOVE INTO THEM, AND GENERALLY ARE VERY SATISFIED THAT THEY HAVE NEW AND VERY QUALITY FACILITIES, AND THEY ARE PAYING DIRECTLY FOR THAT.

THE WAY WE LIKE TO TALK ABOUT THAT IS THAT THE GROWTH IS PAYING FOR ITSELF, AS OPPOSED TO OLDER DEVELOPMENTS OR LONG-TIME CITY RESIDENTS BEARING THE BURDEN OF PAYING FOR GROWTH OUTSIDE.

>> WHAT'S THE PROTECTION TO THE MUNICIPALITY FROM HAVING EIGHT OR 10 OF THESE, AND THEN HALF OF THEM GO BUST HALFWAY THROUGH, OR THEY DON'T FOLLOW THROUGH, OR THEY'RE NOT FINANCIALLY CAPITALIZED ENOUGH TO DO THAT, OR WHAT ARE THE PROTECTIONS SO THAT WE DON'T HAVE THE CITY SURROUNDED WITH THOSE TYPES OF THINGS?

>> I'M HAPPY TO SAY THAT MUNICIPAL UTILITY DISTRICTS ARE EXTREMELY HEAVILY REGULATED.

THERE HAVE BEEN VERY STRINGENT RULES PUT IN PLACE REALLY SINCE THE EARLY 1980S.

SINCE THAT TIME, WE HAVE NOT SEEN BANKRUPTCIES OF MUNICIPAL UTILITY DISTRICTS? MUNICIPAL UTILITY DISTRICTS REQUIRE THE RISK TO BE CARRIED BY THE DEVELOPER.

WHAT HAPPENS WITH MUNICIPAL UTILITY DISTRICTS IS THAT THEY WILL NOT MAKE REIMBURSEMENTS BACK TO THE DEVELOPER UNTIL THE DEVELOPER HAS DELIVERED ON BUILDING THE VALUE.

YOU WILL NOT HAVE A SCENARIO WHERE A MUD COULD ISSUE, CALL THEM RAW DIRT BONDS, BONDS BASED ON A PRETTY PICTURE OR A PLAN FOR WHAT A COMMUNITY COULD BE.

THEY IN FACT, HAVE TO BUILD THOSE SECTIONS BEFORE THEY CAN BEGIN TO GET THE MONEY BACK.

[01:40:03]

ALSO, WITHIN THE CONDITIONS THAT WE ARE PROPOSING IN YOUR POLICY, THE FOLKS WHO ARE GOING TO BE ABLE TO MEET YOUR CRITERIA ARE GOING TO BE THE SERIOUS DEVELOPERS WITH GOOD CAPITALIZATION WHO ARE PREPARED TO FUND NOT ONLY THE CAPITAL COSTS, BUT THE OPERATIONS OF THESE DISTRICTS FOR MANY YEARS UP FRONT.

>> THEN FROM THE CITY'S PERSPECTIVE, WE'RE NOT COLLECTING PROPERTY TAX.

THAT'S SOMETHING THAT WE'RE MISSING OUT ON BECAUSE PROPERTY TAX IS OBVIOUSLY A MAJOR SOURCE OF OUR INCOME.

THIS DEVELOPMENT IS GOING ON, BUT ARE WE MISSING OUT BECAUSE IT'S NOT IN THE CITY, OR DO WE WANT TO TRY TO ANNEX IT? DOES IT REALLY MATTER? HOW DOES THAT FACTOR INTO USING MORE PROPERTY TAX OR GAINING IT? ARE WE LOSING SOMETHING OR ARE WE POTENTIALLY GAINING SOMETHING?

>> WELL, THERE'S A FINE BALANCE YOU HAVE TO HAVE THERE, BECAUSE AS WE HAVE A LOT OF HOMES, ROOFTOPS COMING IN, WE HAVE TO START LOOKING AT FIRE PROTECTION, OF FIRE STATIONS, POLICE COVERAGE.

THERE'S A LOT OF COSTS THAT COME WITH THAT, SO WE HAVE TO START BALANCING IS THE GROWTH BEING ANNEXED, DOES IT COVER THE EXPANDED COSTS WE HAVE TO LOOK AT? THERE'S A BALANCE THERE.

THE BIG THING FOR AMARILLO IS SALES TAX.

AS LEGISLATURE CONTINUES TO WORK AGAINST PROPERTY TAX, WE HAVE TO BECOME MORE DEPENDENT ON SALES TAX.

ONE OF THE BIG DRAWS ABOUT THIS POLICY FOR MUDS IS THAT IT ATTRACTS PEOPLE TO LIVE NEAR AMARILLO.

WE WOULD LOVE TO HAVE THEM WITHIN AMARILLO, OF COURSE.

BUT AS LONG AS THEY'RE SHOPPING IN AMARILLO, THAT'S A WIN FOR US.

WE DO NEED TO ATTRACT PEOPLE COMING TO AMARILLO TO SHOP HERE, SPEND THEIR SALES TAX HERE.

WHILE IT'S ALWAYS PRUDENT TO TRY TO ANNEX LAND FOR THE PROPERTY TAX, I SAY IT'S MORE ADVANTAGEOUS FOR US RIGHT NOW TO AT LEAST GET IT BUILT, AND THEN THEY'RE SHOPPING HERE IN AMARILLO.

IF THAT ANSWERS YOUR QUESTION.

>> THEN ONE OTHER QUESTION.

AS I HEAR IT, SETTING THE STANDARDS AND THE EXPECTATION IS REALLY IMPORTANT TO MAKE SURE THAT WE'RE ALL CLEAR, AND WE DON'T FORGET TO PUT SOMETHING THAT WE NEED IN THERE, AND THEY SAY WE'VE GOT A PROBLEM.

WHAT IS THE BIGGEST AREA THAT THESE AGREEMENTS MISS SOMETIMES THAT WIND UP BEING DETRIMENTAL TO THE MUNICIPALITY? WHAT IS THE MOST COMMON ONE? OR IS THERE ONE THAT YOU SAY WE NEED TO REALLY TO PROTECT THE MUNICIPALITY? WE NEED TO MAKE SURE THAT THESE STANDARDS ARE CLEAR AND WHAT THOSE MAY BE.

>> WELL, I WOULD SAY THAT MUNICIPAL UTILITY DISTRICTS HAVE BEEN USED ACTIVELY FOR MORE THAN 50 YEARS WITHIN THE STATE.

A LOT OF THE PRACTICING HAS ALREADY BEEN DONE.

YOU WILL NOT BE THE GUINEA PIG IN WORKING WITH MUNICIPAL UTILITY DISTRICTS.

THERE ARE THOUSANDS OF THEM WITHIN THE STATE WORKING QUITE SUCCESSFULLY.

THE ONE THING I WOULD SAY IS NO ONE HAS A CRYSTAL BALL ABOUT WHAT CHANGES WILL OCCUR IN FUTURE LEGISLATIVE SESSIONS OR EVEN IN THIS LEGISLATIVE SESSION, FOR THAT MATTER.

THAT'S WHY WE TRIED TO KEEP THIS POLICY AS ROBUST AS WE COULD MAKE IT, GIVEN THE INFORMATION WE HAVE TODAY, BUT WITH FLEXIBILITY TO COUNSEL TO AMEND THE POLICY IN THE FUTURE, IF NEW INFORMATION COMES TO LIGHT, IF THERE'S A LAW CHANGE, AND ALSO ULTIMATELY FOR THE COUNCIL AT THAT MOMENT IN TIME, WHEN A PETITION IS BEING CONSIDERED TO APPROVE THE RESOLUTION WITH THE CONSENT AND THAT DOCUMENT, IF THERE'S SOMETHING THAT'S HOT OFF THE PRESSES, THEN WE'D ADD THAT IN BECAUSE THAT WOULD BE SOMETHING THAT WOULD BE RELEVANT AND NOT KNOWN AT THIS TIME.

BUT I FEEL QUITE CONFIDENT THAT THE STRUCTURE THAT WE PUT FORWARD WILL BE EXTREMELY RELIABLE FOR YOU.

>> COUNCILMAN SIMPSON, YOU HAD A LOT OF GOOD QUESTIONS. I APPRECIATE IT.

IT'S A COMPLEX UNDERSTANDING, AND IT'S DIFFERENT THAN WHAT WE'VE DONE IN THE PAST.

OTHER COUNCIL QUESTIONS.

>> WE DISCUSSED EARLIER ABOUT BUILDING TO THE CITY STANDARDS.

IS THAT JUST THE INFRASTRUCTURE PIECE, OR IS THAT GOING TO BE LIKE BUILDING A HOME, YOU BUILD THAT TO CITY STANDARDS AS WELL?

>> THAT'S A GREAT QUESTION.

IT WAS REALLY ABOUT WHETHER EVERYTHING WOULD BE BUILT TO STANDARDS OR NOT.

ON PAGE 2, ITEM 3, WE HAVE THAT LAND USE AND DEVELOPMENT OF THE LAND WITHIN THE MUD IS REQUIRED TO FOLLOW THE CITY PROCESSES AND COMPLY WITH THE CITY'S REGULATIONS.

I THINK IT'S BROADER THAN THE INFRASTRUCTURE.

>> CURRENTLY, THIS MAY BE A QUESTION FOR FLOYD.

ANYBODY THAT GETS CITY WATER THAT'S INSIDE OUR ETJ CURRENTLY, DO THEY HAVE TO BUILD TO THE CITY STANDARDS?

>> THAT IS THAT'S A CRITERIA INCLUDED IN THE RESOLUTION FOR OUTSIDE THE CITY SERVICE THAT WE CURRENTLY USE. YES.

>> COUNCILMAN SIMPSON, IF YOU ARE COUNCILMAN KRAFT, I APOLOGIZE, IF YOU WERE CONCERNED, MAYBE ON THE QUALITY OF THE HOME BUILDS.

LIKE BUILDING RIGHT OUTSIDE OF THE CITY LIMITS AND BUILDING, LET'S SAY, BAR DOMINIUM STYLE, METAL BUILDINGS OR MUD HOUSES, THINGS LIKE THAT.

[01:45:04]

CAN YOU SPEAK TO THAT IN WHAT WE COULD DO IN OUR MUD POLICY SINCE YOU ARE CONTROLLING THIS, OR FUTURE COUNSEL WILL CONTROL THIS? YOU COULD MAYBE PUT A SECTION IN THAT STRATEGIC AGREEMENT THAT SPEAKS TO NOT ONLY INFRASTRUCTURE AND SERVICES, BUT ALSO HOUSING QUALITY AND TYPE, SO THAT COVENANTS AND RESTRICTIONS HAVE TO MEET CERTAIN CRITERIA?

>> I THINK ANY LANGUAGE LIKE THAT WE PUT IN THE DEVELOPMENT AGREEMENT.

I LIKE HOW THIS LANGUAGE IS PRETTY BROAD AND GENERIC, BUT I MIGHT ASK CITY STAFF, THIS BROAD LANGUAGE THAT WE HAVE, WHAT DOES IT MEAN IN THE REAL WORLD? [LAUGHTER]

>> SPECIFICALLY, THE LANGUAGE FOR LAND USE AND DEVELOPMENT OF THE LAND WITHIN THE MUD IS REQUIRED TO FOLLOW THE CITY PROCESSES AND COMPLY WITH CITY REGULATIONS.

THAT JUST PRETTY MUCH ENCOMPASSES YOUR SUBDIVISION, YOUR SPECIFICATIONS, AND YOUR REQUIREMENTS WITHIN WATER AND UTILITIES, STREETS, DRAINAGE.

ALL YOUR SUBDIVISION PROCESSES APPLY UNDER THAT STATEMENT.

BEYOND THAT, THEN WE ALSO HAVE IN HERE, THE REQUIREMENTS WITHIN THE POLICY DEVELOPMENT MANUAL APPLY.

AGAIN, JUST A SECOND LEVEL OF MAKING THE POLICY DEVELOPMENT.

LAND USE IS SOMETHING THAT IS A LITTLE BIT BEYOND WHAT YOU'RE ALLOWED TO UNDER THE ETJ CURRENT LAW, THAT WITHOUT THIS AGREEMENT.

YES, IT WOULD LAND IN THE AGREEMENT THAT THAT IS REINFORCED.

>> THAT'S AN EXCELLENT POINT.

BY COOPERATING IN THIS MANNER AND HAVING THE OPPORTUNITY TO DO A DEVELOPMENT AGREEMENT, IT GIVES YOU THE OPPORTUNITY TO PUT REQUIREMENTS IN PLACE THAT YOU WOULD NOT OTHERWISE HAVE THE ABILITY TO PUT IN PLACE IN THE ETJ.

>> PART OF THE REASON FOR THAT IS GIVEN THIS DOES CONTEMPLATE THE IDEA OF ANNEXATION IN THE FUTURE THIS DEVELOPMENT WILL BE BUILT TO THE STANDARDS THAT YOU WOULD EXPECT WITHIN CITY LIMITS, WHETHER IT'S SETBACKS, WHETHER IT'S THE TYPE OF HOUSING THAT GOES IN THERE.

WE HAVE REGULATIONS WITHIN CITY LIMITS.

WE WOULD BE QUESTIONING WHETHER WE WANT TO ANNEX SOMETHING IF IT'S NOT BUILT TO CERTAIN STANDARDS, THAT THEN WE HAVE TO THEN PROTECT, MAINTAIN, PUBLIC SAFETY, AND SO FORTH.

THAT'S WHY WE TRY TO ENFORCE THOSE AS PART OF THIS DEVELOPMENT HERE.

>> I GUESS IT'S MORE OF A DIRECT QUESTION THAT WILL HELP ME UNDERSTAND THIS.

SAY WE HAVE A COMMERCIAL BUILDING THAT WANTS TO COME AND BUILD INSIDE OUR CURRENT ETJ.

THEY'RE NOT GOING TO BE PART OF A MUD, BUT THEY'RE GOING TO PAY US FOR CITY WATER AND SEWER.

WITH THEM BEING IN THAT ETJ, THEY DON'T TECHNICALLY HAVE TO FOLLOW OUR INSPECTION STANDARDS OR ANYTHING LIKE THAT.

THEY'RE TECHNICALLY JUST A COMMERCIAL BUSINESS INSIDE THE COUNTY.

WOULD THAT BE ACCURATE STATEMENT?

>> TWO POINTS TO THAT. THE COMMERCIAL COMPONENT OF THIS IS TO ANNEX IMMEDIATELY.

[OVERLAPPING]

>> YES. IT'S AN OPTION.

>> THAT'S THE OPTION TO ANNEX THE COMMERCIAL IMMEDIATELY.

INSTEAD OF GOING INTO THE MUD, THE COMMERCIAL PIECES CAN BE ANNEXED UNDER THIS POLICY, WHICH WOULD BE DETERMINED UNDER THE FINAL AGREEMENT.

BUT AS FAR AS LAND USE AND DEVELOPMENT, WE CAN ENFORCE THOSE.

WHEN IT COMES TO CODE ENFORCEMENT, THEY'LL HAVE TO MAINTAIN COMPLIANCE WITH PLUMBING CODE AND THOSE TYPES OF CODES FOR THE PUBLIC WATER SYSTEM.

BUT AS FAR AS BUILDING INSPECTION, THIS DOESN'T GO TO THAT LEVEL.

NOW, IN A CERTAIN SCENARIO, UNDER WATER CODE, IT WILL, LIKE CUSTOMER SERVICE INSPECTION, THEY HAVE TO HAVE THAT FOR THE WATER SYSTEM.

THERE'S A COMPONENT OF BILLING INSPECTION THAT APPLIES UNDER WATER CODE, BUT THE BILLING INSPECTION ITSELF IS NOT AT THE SAME LEVEL.

>> THOSE WOULD BE COUNTY STANDARDS.

>> CORRECT. COUNCILMAN KRAFT, IF I COULD, I THINK YOU'RE GETTING TO AN EXAMPLE OF IF SOUTH GEORGIA HAS WATER, BUT IT'S OUTSIDE THE CITY LIMITS.

SOMEBODY WANTS TO GO BUILD A BIG METAL BUILDING, BUT PAY FOR SEWER AND WATER VERSUS PUTTING A WELL AND SEPTIC IN.

THEY CAN DO THAT. THEY'RE PAYING ONE AND A HALF TIMES THE RATE.

BUT THEY'RE BUILDING TO COUNTY STANDARDS.

THEY'RE NOT BUILDING TO CITY STANDARDS.

IN IT BEING JUST A PLOT OF LAND THAT THEY'RE PUTTING A METAL BUILDING ON, THEY'RE NOT NECESSARILY UNDERNEATH A MASTER DESIGN, LIKE A MASTER PLAN.

WHAT THIS DOES IS IT GIVES US A GREATER WAY TO PLAN AND BUILD TO A HIGHER STANDARD OUTSIDE THE CITY LIMITS.

ONE THING THAT IS KEY IS WE ARE REQUESTING AND PUTTING IN THIS POLICY THAT COMMERCIAL PROPERTIES ARE ANNEXED ON THE FRONT END WHILE THE RESIDENTIAL PROPERTIES REMAIN AS TO PART OF THE OVERALL MUD.

THAT WAY, THE COMMERCIAL PROPERTY COMES IN, SO THOSE SALES TAXES COME IN, BUT ALSO PROPERTY TAXES, YES.

>> LET ME CLARIFY THAT. IT PROVIDES THE COUNCIL THE OPTION TO INCLUDE AN IMMEDIATE ANNEXATION OF COMMERCIAL.

THAT WOULD BE SOMETHING AT COUNCIL'S DIRECTION STAFF NEGOTIATES IN THAT AGREEMENT AND BINDS TO YOU.

[01:50:03]

>> THAT'S ON PAGE 9, ITEM 2.

IT'S THE SECOND PARAGRAPH UNDER STRATEGIC PARTNERSHIP AGREEMENT.

THAT'S WHY I SAID IT'S AN OPTION.

THE CITY MAY ELECT TO INCLUDE PROVISIONS IN THAT STRATEGIC PARTNERSHIP AGREEMENT.

THIS IS A FAIRLY RARELY USED PROVISION OF CHAPTER 43, BUT IT WOULD GIVE THE OPTION THE ABILITY TO HAVE ANY COMMERCIAL PORTIONS FULLY ANNEXED, BUT STILL BE WITHIN THE MUD.

>> TO GO BACK TO IT, GAS STATION IS GOING TO CONVENIENCE STORE, GOING TO GO ON THE CORNER.

YOU HAVE THE OPTION, BUT NOT THE OBLIGATION TO GO AHEAD AND ANNEX THAT PROPERTY IN, BUT THEN WITH THAT, IT'S PART OF THAT MASTER PLAN DESIGN.

YOU'RE ABLE TO SEE WHAT THE HOUSING IS, 03,000 HOMES, ONE SECTION OF LAND, SO MANY ACRES OF COMMERCIAL.

THEN WE ARE REQUESTING, AGAIN, SALES TAX ON THE FRONT END.

WHATEVER THE PORTION IS THAT'S REMAINING, I KNOW MOST OF THESE COULD BE OBLIGATED TO COUNTY AS WELL.

DOES THAT ANSWER THAT QUESTION?

>> IT DOES. I GUESS JUST MY ONLY CONCERN IS IF WE'RE GOING TO REQUIRE A MUD THAT'S UTILIZING CITY SERVICES SUCH AS WATER, SEWER, TRASH, THAT THEY'RE GOING TO HAVE TO BE HELD TO THIS STANDARD.

BUT THEN WE HAVE SOMEONE THAT'S JUST BUILDING IN THE ETJ, THAT'S A PART OF A MUD THAT'S GETTING CITY WATER SEWER.

DO THEY HAVE TO BUILD THOSE SAME STANDARDS AS WELL? YOU SEE WHAT I'M SAYING? IT'S ALMOST A DOUBLE STANDARD.

>> ONE THING I WOULD SAY IS YOUR CHOICE TO DELIVER WATER AND SEWER SERVICE IN THE ETJ IS YOUR CHOICE TO MAKE.

YOU DON'T HAVE TO DO IT.

YOU DON'T HAVE AN OBLIGATION TO PROVIDE THOSE SERVICES OUT THERE.

IF THERE'S SOMEONE WHO'S NOT WILLING TO FOLLOW THIS AND NOT WILLING TO DO A DISTRICT, YOU COULD SAY THAT YOU'RE NOT WILLING TO PROVIDE THOSE SERVICES.

I DID WANT TO MENTION ONE THING BECAUSE I FEEL LIKE THIS HAS BEEN A GREAT LINE OF QUESTIONS, COUNCIL MEMBER, ON PAGE 4, WITH THAT PETITION, THERE'S A LITTLE BIT OF DISCUSSION UNDER ITEM 2 ABOUT WHAT THEY HAVE TO PROVIDE.

2B IS THEY HAVE TO PRESENT A PRELIMINARY CONCEPT PLAN, INCLUDING PROPOSED LAND USE FOR COMMERCIAL AND OR RESIDENTIAL PURPOSES.

AT THE VERY BEGINNING, YOU'RE GOING TO HAVE A CLEAR HANDLE ON WHAT IT IS THAT THEY WANT TO BUILD, AND THEN YOU CAN MAKE THOSE CHOICES ABOUT HOW YOU WANT TO HANDLE COMMERCIAL IF THEY HAVE ANY.

>> I'LL JUST FOLLOW UP WITH YOU, FLOYD, AFTER THE MEETING BECAUSE I THINK WHERE I'M AT WITH THIS IS IT'S NOT NECESSARILY THE MUD.

I THINK THE MUD IS A GREAT THING.

I THINK IT'S GOING TO BE A GREAT TOOL.

IT'S JUST IF WE HAVE DEVELOPERS, PEOPLE THAT WANT TO BUILD THEIR BUSINESSES OUTSIDE CITY LIMITS IN THE ETJ, THEY'RE GETTING CITY, WATER, SEWER, AND THEY'RE PAYING ONE HALF TIMES THE RATE, BUT THEY DON'T HAVE TO NECESSARILY FOLLOW CITY CODE, CITY STANDARDS, WHEREAS IN A MUD, WE WOULD WANT THAT BECAUSE THE FUTURE OF ANNEXATION.

I THINK THAT WOULD JUST BE A QUESTION FOR ME OFFLINE ABOUT EXISTING CITY POLICY WITH DEVELOPMENT.

>> DOES THAT MAKE SENSE?

>> YES. I UNDERSTAND.

>> IF I COULD COME INTO THAT WITH A MUD POLICY, IT ALSO MAYBE HELPS US IMPROVE ON EXISTING POLICIES, BECAUSE NOW WE'RE HELPING TO WORK AND PARTNER WITH THOSE DEVELOPERS.

WHY WOULD THAT ENTITY NOT BE WANTING TO BECOME PART OF THE MUD IF THEY'RE ADJACENT TO IT, OR WHAT SPECIFIC IS DIFFERENT ABOUT THEM IN THE DESIRE OF US TO NOT BECOME LANDLOCKED. GO AHEAD.

>> WELL, I WAS JUST GOING TO SAY, TOO, BECAUSE I'VE HAD THIS QUESTION, I THINK WITH ANDREW BEFORE IS ON THE EDC STUFF IS LIKE IF WE'RE GOING TO DO AN EDC DEAL IN ETJ, THEY DON'T HAVE TO NECESSARILY FOLLOW CITY CODES AND STANDARDS TO GET SOMETHING LIKE THAT.

THAT'S JUST WHERE I'M TRYING TO BALANCE THOSE LINES BETWEEN A MUD JUST INSIDE THE ETJ AND THEN POSSIBLE FUTURE BUSINESSES THAT WANT TO COME IN OUR ETJ.

>> I AGREE. THAT DIFFERENCE LANDS IN THE BUILDING PERMIT AND THE BILLING INSPECTION PROCESS.

>> I GOT.

>> COUNCILMAN TIPPS

>> IS THE MUD LIMITED TO THE ETJ? CAN YOU GO BEYOND THAT, OR IS THAT THE BOUNDARY?

>> THE FOCUS ON THIS POLICY IS WHAT TO DO IN YOUR ETJ.

MUDS CAN BE CREATED INSIDE OF A CITY'S CORPORATE LIMITS, REQUIRES CITY CONSENT, OF COURSE.

THEY CAN BE CONSTRUCTED WITHIN AN ETJ, REQUIRES CITY CONSENT, OR THEY CAN BE UNINCORPORATED OUTSIDE OF THE ETJ, AND THEY DON'T REQUIRE YOUR CONSENT AT ALL.

THEY CAN BE BUILT DEVELOPED OVER ANY OF THOSE AREAS.

>> IF IT'S OUTSIDE THE ETJ, THE ISSUE OF ANNEXATION WOULD COME UP OF, SINCE WE CAN'T ANNEX OTHER THAN RIGHT NEXT TO CORPORATION, UNTIL WE GOT UP TO A BUTT UP TO THAT, THAT COULD NEVER BE ANNEX.

>> THIS DOESN'T FOCUS ON OUTSIDE OF THE ETJ BECAUSE YOU DON'T HAVE ANY AUTHORITY OUTSIDE OF YOUR ETJ? AGAIN, IF THERE IS LAND OUTSIDE OF YOUR ETJ,

[01:55:02]

THAT'S NOT UNDER YOUR AUTHORITY, OR IF THERE'S LAND IN YOUR ETJ THAT THEY DON'T WANT TO BE IN YOUR ETJ, THEN THEY REMOVE THEMSELVES BY SENDING A PETITION TO THE CITY, AND THEN THEY'RE OUTSIDE OF YOUR ETJ WITH NO AUTHORITY.

THE DYNAMICS OF HOW THE LAWS HAVE CHANGED IN THAT AREA, I THINK, REALLY CAUSE A REAL, NEED TO BE THOUGHTFUL ABOUT HOW TO ENGAGE IN THE LAND WITHIN THE ETJ IN A WAY THAT IS FAIR TO THE CITY, BUT ENCOURAGES ENGAGEMENT, AS OPPOSED TO JUST OPTING OUT.

>> ALONG THE LINES MUD IS NOT NECESSARILY AN AGREEMENT TO ANNEX.

I KNOW WE'VE TALKED ABOUT THIS, BUT I THINK IT'S GOOD TO TALK ABOUT WHY WOULD THE DEVELOPER EVENTUALLY REQUEST ANNEXATION VERSUS CONTINUING TO RUN THE DISTRICT, COLLECT THOSE FEES AND DOING THAT TIME?

>> THE STRATEGIC PARTNERSHIP AGREEMENT IS REALLY THE KEY TOOL HERE.

THE STRATEGIC PARTNERSHIP AGREEMENT BETWEEN THE DISTRICT AND THE CITY ESTABLISHES UP FRONT THAT IT IS AT THE CITY'S OPTION, WHETHER TO ANNEX OR NOT.

THIS IS CRITICAL. WITHOUT THE STRATEGIC PARTNERSHIP AGREEMENT, THE CITY IS NOT THE ONE THAT PROACTIVELY GETS TO CHOOSE THAT.

IN FACT, THERE HAS TO BE AN ELECTION INTERNAL TO THE DISTRICT BEFORE IT COULD BE ANNEXED.

THIS PRESERVES THE USE OF THE STRATEGIC PARTNERSHIP AGREEMENT IN THE WAY WE'RE SUGGESTING, PRESERVES THE CITY'S ABILITY FOR IT TO BE YOUR CHOICE.

NOW, YOU SEE THAT THERE ARE SOME FAIRNESS STANDARDS.

THE DEVELOPER NEEDS TO BE PAID BACK, AT LEAST 95% SO THAT THEY ARE GETTING MADE WHOLE FOR THE PUBLIC INFRASTRUCTURE THAT THEY ADVANCE THE COSTS OF.

BUT IN THIS SITUATION, THEY'RE NOT MAKING THE ASK, THEY'RE NOT DECIDING TO MAKE THE ASK.

THEY MIGHT COME TO YOU AND SAY, 'WHAT DO YOU THINK WE'D REALLY LOVE IT IF YOU ANNEXED US," BUT IT WOULD BE YOUR CHOICE TO MAKE.

>> THAT'S A GREAT QUESTION.

>> YOU'RE GOOD, COUNCILMAN. JUST TO GO BACK HERE, I THINK IT'S REALLY IMPORTANT TO DRILL IN ON.

I DON'T WANT TO SKIP OVER IT AND THINK WE UNDERSTAND IT.

THE CITY HAS THE OPTION, BUT NOT THE OBLIGATION, WHICH MEANS THE MUD NO LONGER HAS THE ASK.

WE'RE ALL UNDERSTANDING THAT.

ONCE THEY HIT THAT 95% PAYDOWN ON THOSE BONDS, THEN THEY'VE BEEN PAID BACK, AND THOSE PROPERTIES HAVE VALUE WITHIN THE CORPORATE CITY LIMITS.

WE, AS A CITY, COULD SEE THE BENEFIT IN GROWING OUR TAX BASE.

HAVING MORE PROPERTY TAXES AS A WHOLE TO TAKE CARE OF CITY INFRASTRUCTURE.

WE NEED GROWTH TO PAY FOR GROWTH, NOT EXISTING PROPERTIES TO GO OUT AND FUND SPECULATIVE GROWTH.

THAT'S WHAT HAPPENS RIGHT NOW.

IF WE GO BACK AND RECIRCLE THIS, TYPICALLY, YOU HAVE A 70/30.

YOU'VE GOT A DEVELOPER WHO'S OUTSIDE, AND I'LL TELL YOU, THE BIG BENEFIT FOR A DEVELOPER HERE IS CALLED DENSITY.

WHAT WE'RE NOT TALKING ABOUT IS DENSITY.

IF I'M THE DEVELOPER AND I OWN A SECTION OF LAND, I CAN DO A DEVELOPMENT RIGHT NOW WITHOUT DEALING WITH ANYTHING ON JUST WELL SEPTIC BAR DITCHES AND CHEAP ROADS AND I BURDEN THE COUNTY WITH THAT.

BUT MY DENSITY MIGHT BE ONE ACRE MINIMUMS, PROBABLY MORE LIKE 2-5 ACRES.

I'M BUILDING 20% OF THE HOUSING THAT I COULD BUILD.

IN ORDER TO GET THAT DENSITY, WHAT I'VE GOT TO DO IS I'VE GOT TO GET OFF WELL AND SEPTIC BECAUSE THOSE WELLS HAVE TO BE 100 FEET, 150 FEET APART OR 300 FEET AND 100 FEET FROM THE SEPTIC.

THAT GETS YOU TO THE PLACE TO WHERE OUR RESOURCE IS OUR CUSTOMER BASE.

WE DO WANT TO GROW OUR CUSTOMER BASE FOR SEWER, WATER, AND TRASH USERS.

ESPECIALLY AT 150%.

NOW, WE DON'T WANT THE DEVELOPER COMING TO US SAYING, "HEY, WE NEED $30 MILLION OF YOUR MONEY MR. CITY COUNCIL ON THIS $100 MILLION DEVELOPMENT." WHY DO WE NOT WANT TO DO THAT? BECAUSE WE DON'T WANT TO FRONT $30 MILLION FOR A FIRE STATION AND FOR AN ARTERIAL ROAD AND ALL OF THE UPSIZING FOR THE WATER LINES AND SEWER LINES, AND THEN TURN AROUND AND DEVELOPMENT DOESN'T GO.

NOW WE'VE MISSPENT THAT $30 MILLION.

WE TRANSFER ALL THAT RISK OVER TO THE DEVELOPER.

BUT WE DO IT IN A WAY WHERE IF HE HAS TO DO A MUD OUTSIDE OF OUR CITY LIMITS, HE'S GOT TO GO BUILD A WASTEWATER TREATMENT PLANT.

HE'S GOT TO GO BUILD A WATER TREATMENT PLANT.

WE NOW HAVE A MUTUAL AGREEMENT HERE WHERE WE CAN PROVIDE THOSE SERVICES BETTER THAN HE CAN.

HE DOESN'T WANT TO COLLECT THE WATER BILL AT THE END OF EVERY MONTH, EITHER.

NOW WE'RE MAINTAINING CONTROL.

WE'RE ALSO MAINTAINING THOSE LINES.

WHAT WE DON'T WANT TO DO IS WE DON'T WANT TO BURDEN A FUTURE CITY COUNCIL 10 YEARS DOWN THE ROAD, WHERE YOU'VE GOT 11,500 HOMES OUT THERE,

[02:00:01]

AND THE MUD DISTRICT DIDN'T TAKE CARE OF ANY OF THE INFRASTRUCTURE.

NOW YOU CAN'T ADOPT THEM WITHOUT GOING IN AND REPLACING EVERYTHING.

THIS WAY, WE'RE CONTROLLING THE WATER AND THE SEWER, THE TRASH, THOSE SERVICES.

WE'RE COST REVENUING ON ALL OF THOSE SERVICES.

THEN OUR MAIN RISK AT THIS POINT IS STREET REPAIR, STREET UPDATES.

TELL US ABOUT STRATEGIC PARTNERSHIP AGREEMENT.

CAN WE PUT ANYTHING IN THERE OF A CERTAIN LEVEL OF MAINTENANCE THAT HAS TO BE DONE FOR THOSE ROADS?

>> LET ME FIND THE RIGHT PAGE HERE, BECAUSE THE ROADS AND THE DRAINAGE AND THE PARKS ARE REALLY QUITE IMPORTANT.

ON PAGE 8, SO WHAT WE TRIED TO PUT IN HERE IS THAT IN ADDITION TO BEING RESPONSIBLE FOR BUILDING THE ROADS, DRAINAGE PARKS, THAT THERE BE A LONG-TERM MAINTENANCE OBLIGATION FOR THOSE.

ON PAGE 8 IN THAT SECTION, THEY WOULD BE REQUIRED TO ENTER INTO A MAINTENANCE AGREEMENT ACCEPTABLE TO THE CITY.

THAT'S SOMETHING THAT I REALLY WOULD FOCUS ON PUTTING IN THE DEVELOPMENT AGREEMENT, POTENTIALLY REFERENCING IN THE UTILITY AGREEMENT.

BUT THAT'S WHERE IT'S DOING THE WORK.

WE'RE GOING TO HAVE A FEW DIFFERENT AGREEMENTS.

WE'RE GOING TO HAVE A SUITE OF AGREEMENTS HERE AND WE'RE DEFINITELY GOING TO BUILD THAT IN THE PID CREATION.

I DON'T WANT TO SKIP THAT.

LET'S SAY THE CITY LATER ON DECIDES TO ANNEX THE MUD, I THINK THAT IT'S VERY IMPORTANT THAT THE FACILITIES THAT THEY BUILT, THE DRAINAGE, THE PARKS, THAT THAT'S NOT BECOMING A CITY BURDEN.

THAT'S WHY WE ARE PROPOSING THAT THERE BE A SUBMISSION TO CREATE A PID AND THAT THE ASSESSMENT THAT THE PID LEVY WOULD OCCUR AFTER THAT ANNEXATION, BUT THEY WOULD THEN HAVE A STREAM OF REVENUE WHERE THE PID COULD PAY FOR THE MAINTENANCE OF THOSE FACILITIES THAT ARE NOT TAKEN ON BY THE CITY, NOT OWNED BY THE CITY, BUT NEED TO BE PAID FOR AND NEED TO BE KEPT UP.

THAT'S WHERE THE USE OF THE PID CAN BE REALLY A GOOD COMPLIMENT TO A FUTURE ANNEXATION BY THE CITY TO ENSURE THAT THAT DOES NOT BECOME AN EXPENSE ON YOUR BUDGET.

>> I APPRECIATE ALL THE ADDITIONAL EXPLANATION.

LET ME PAUSE FOR JUST A SECOND.

WITH THAT, DO WE HAVE ANY OTHER FOLLOW UP QUESTIONS, ANYTHING OR DID THAT FURTHER CLARIFY WHERE WE WERE? GOOD. I THINK YOU'RE SAYING IT VERY WELL, AND IT IS CLEAR.

I SEE THE BENEFIT FOR THE DEVELOPER BECAUSE I LIVE OVER ON THAT SIDE.

I UNDERSTAND HOW HARD IT CAN BE TO GO AND PUT IN $100 MILLION DEVELOPMENT AND THEN GIFT ALL OF THAT TO THE CITY.

THIS GIVES AN OPPORTUNITY FOR THAT DEVELOPER TO BORROW BONDS, HAVE A SMALL TAX RATE THAT ALLOWS THOSE TO BE PAID BACK.

THE COST IS STILL COMPETITIVE BELOW MARKET.

BECAUSE YOU ARE GETTING THOSE CITY SERVICES THAT ARE TAKEN CARE OF.

IT'S A HYBRID MUD.

IT'S NOT YOUR TYPICAL MUD THAT'S GOING 20, 30 MILES OUTSIDE OF TOWN.

THEY'RE DOING THEIR OWN THING.

THERE ARE STILL THINGS WE NEED TO THINK THROUGH IN THESE AGREEMENTS, SPECIFICALLY THE STRATEGIC AGREEMENT.

BUT I THINK OVERALL AS A TEMPLATE, THIS LAYS OUT A PATH FORWARD.

I KNOW I'VE BEEN WORKING ON THIS FOR OVER A YEAR.

I THINK, FLOYD, DID YOU REACH OUT TO ALEA A YEAR AGO?

>> YES. THEY'VE BEEN ENGAGED A LITTLE OVER A YEAR ON THE PROPERTY.

>> YOU GUYS HAVE BEEN WORKING ON THIS FOR A WHILE.

I ALSO KNOW YOU'VE ENGAGED WITH ANOTHER DEVELOPER THAT'S HERE IN TOWN.

YOU'VE SEEN SOME OF THE PUSH AND PULL ON WHAT THAT DEVELOPER IS ASKING FOR, AND YOU'RE NOT NECESSARILY TRYING TO MEET THEIR DEMANDS HERE, YOU'RE MEETING COUNSEL'S POLICY.

THIS BECOMES A TAKE IT OR LEAVE IT FOR NOT JUST ONE DEVELOPER WHO'S TRYING TO DO BUSINESS WITH THE CITY.

THIS BECOMES A TEMPLE FOR ALL DEVELOPERS.

I THINK THEY'LL JUMP ON IT, BECAUSE I THINK IT ALLOWS FOR GREATER DENSITY, A WORKING RELATIONSHIP ON THE UPFRONT COST, WHERE YOU DO HAVE TO FOLLOW THESE RULES.

THERE IS SOME INSURANCE AT THE STATE LEVEL WITH TCEQ AND GUIDANCE.

THERE'S SOME INSURANCE ON THE BONDING LEVEL, WHERE IF SOMEBODY DOES GO BELLY UP, THEN WHAT WE'RE LOOKING AT AT THAT POINT IN TIME IS AN OVERALL MARKET COLLAPSE BECAUSE EVERYTHING HAS STOPPED AT THAT POINT.

WE CAN'T FORESEE THAT, BUT WE CAN GIVE OURSELVES THE BEST POSSIBLE ROAD TO DRIVE DOWN AS WE MOVE FORWARD AND GROW.

IF WE DO NOTHING, WE WILL CONTINUE TO GROW THE WAY WE'RE GROWING.

WE'LL CONTINUE TO LANDLOCK OURSELVES NORTH, SOUTH, EAST, AND WEST, WITH DEVELOPERS THAT WILL PUT IN ONE ACRE TWO ACRE, FIVE ACRE TRACKS.

THEY'LL DO STRIP CENTERS OFF OF BAR DITCHES AND CULVERTS, AND THEY'LL CONTINUE TO BUILD THE COUNTY.

MEANWHILE, THEY'LL PUT WELL AND SEPTIC IN THAT PUMPS THOSE WELLS ON THE SOUTH SIDE OF TOWN BASICALLY TO A LOW PRESSURE.

WE SIT ON THE I HOPE I SAY IT RIGHT,

[02:05:02]

WE'RE THE LARGEST WATER RESERVE RIGHTS, AT LEAST UP IN THIS AREA, SIR?

>> CITY OF AMARILLO IS THE THIRD LARGEST WATER RIGHTS HOLDER IN THE STATE OF TEXAS AND PRIMO.

>> THIRD LARGEST WATER RIGHTS HOLDER.

THOSE ARE OUR NEIGHBORS TO THE SOUTH.

WE'RE GOING TO TAKE THEM WATER SERVICE ONE DAY DEPENDING ON HOW THINGS REPLENISH.

BUT IN THE EVENT THAT WE PUT THIS MUD POLICY IN, WE START BUILDING THAT INFRASTRUCTURE, WE START PARTNERING WITH THOSE, AND THERE'S A GREAT DETERRENT NOT TO GROW LIKE THAT ANYMORE.

NOW, SOME PEOPLE WANT TO LIVE OUT OF TOWN.

THEY DON'T WANT THEIR NEIGHBOR FIVE FEET FROM THEM.

I LIKE THAT. THAT'S GREAT.

THERE'S PLENTY OF THOSE DEVELOPMENTS THAT ARE STILL GOING TO HAPPEN.

BUT WHEN YOU ARE RIGHT UP NEXT TO OUR LAST SIDEWALK AND CURVE, WE WANT TO GIVE YOU EVERY OPPORTUNITY TO PARTNER WITH A CITY THAT'S EASY TO DO BUSINESS WITH, AND I THINK YOU'VE DONE A GREAT JOB OF PUTTING THIS TOGETHER.

>> THANK YOU SO MUCH. AS THE MAYOR MENTIONED, WE HAVE TALKED WITH A DEVELOPER WHO'S INTERESTED.

I WANT TO BE EXPLICIT THAT WE DO NOT REPRESENT THEM.

[LAUGHTER] BUT I ALSO WANT TO NOTE THEY'RE NOT THE LAST DEVELOPER.

IN HAVING A POLICY, IT DOES GIVE YOU AN OPPORTUNITY NOT ONLY TO EDUCATE YOURSELVES AND TO BE FAIR IN THE WAY THAT YOU'RE INTERACTING WITH THE DIFFERENT DEVELOPERS, BUT TO GIVE THEM MORE OF A ROADMAP ABOUT WHAT YOUR STANDARDS ARE SO THAT THE PROCESS CAN BE EXPEDITED..

THANK YOU FOR THE OPPORTUNITY.

>> REALLY LIKE IT. ANY FURTHER QUESTIONS FOR MISS VINCENT.

>> I WILL, MAYOR, JUST ECHO A COUPLE OF THINGS YOU SAID, AND MAYBE ADD.

THE THING I SEE AS POSITIVES ON THIS IS WE'RE STEADYING THE STANDARD.

THIS COMMUNITY IS FILLED WITH TOO MANY ONE OFFS THAT HAVE BEEN DONE OVER THE YEARS, AND YOU GO THROUGH IT AND YOU SEE DIFFERENT THINGS THAT HAVE BEEN BUILT, AND SOMETIMES THE DEALS WORKED OUT WHERE THEY'RE NOT PUTTING SIDEWALKS IN HERE OR THERE OR WHATEVER.

THE OTHER THING I THINK IT ENCOURAGES LARGER DEVELOPMENT, LIKE YOU WERE SAYING, THERE'S AN INCENTIVE TO DO THAT, THE SCALE IT, WHICH WE NEED, PARTICULARLY IF WE'RE GOING TO GROW.

IT MEETS THE NEED FOR AFFORDABLE HOUSING THAT IS A CHALLENGE THESE DAYS, AND MAYBE LAST BUT NOT LEAST, WHETHER THE RISK IS SHIFTING FROM THE TAXPAYERS TO THE DEVELOPERS, BECAUSE THEY'RE HAVING MORE SKIN IN THE GAME TO BE ABLE TO DO THIS, AND I THINK THAT'S A FAIR THING TO ASK THEM, THEY'RE GETTING SOME BENEFITS OUT OF THAT.

I THINK IT'S A WIN WIN ALL THE WAY AROUND, BUT ESPECIALLY FOR TAXPAYERS, BECAUSE NOW WE DON'T HAVE TO FRONT ALL THAT MONEY, THEY'RE DOING IT, AND WE'RE DOING IT IN A WAY THAT WORKS FOR EVERYONE. I APPRECIATE IT.

>> YES. THANK YOU. YES, FLOYD.

>> MAYOR AND COUNSEL, ONE QUESTION.

PAGE 3, THE BLANK.

B. ARE YOU OKAY IF WE PUT 500 IN THAT BLANK?

>> I THINK YOU PUT $1,000 IN THERE, AND THAT'S FINE.

YOU'RE NOT COMING TO THE CITY TO SIT DOWN AND TALK ABOUT A 3,000 HOME DEVELOPMENT, NOT FIXING TO EMBARK IN $100,000 FLOOD STUDY AND MASTER SET OF PRINTS.

I THINK IT'S GOOD TO HAVE $1,000 IN THERE.

COUNSEL, YOU WANT TO ADVISE DIFFERENTLY? OKAY WITH $1,000 FEE?

>> GOOD WITH THAT. YES.

>> I DO WANT THAT DETERRENT THAT WAY.

STAFF RESOURCES AREN'T BEING UTILIZED FOR A SMALL LITTLE ONE SINGLE STREET 10 HOUSE UNIT IS WHAT WE'RE NOT NECESSARILY FASHIONING THIS FOR.

THANK YOU GUYS FOR HANGING IN THERE WITH ME.

THANK YOU FOR A GREAT JOB.

WE WILL ASK YOU TO BRING THIS BACK, STAFF.

APRIL 22ND FOR A VOTE.

WE'LL PUT THIS IN PLACE.

IF WE NEED ANYTHING FURTHER, WE'LL REACH OUT THROUGH STAFF TO YOU.

>> THANK YOU VERY MUCH.

>> GREAT JOB. THANKS FOR HANGING IN THERE WITH ME.

IT'S ALREADY A LITTLE AFTER FIVE.

WE'RE GOING TO TAKE A RECESS, 10 MINUTES.

BE BACK IN HERE. WE MAY NEED TO TAKE A FEW OTHER THINGS OUT OF ORDER ON OUR DISCUSSION.

WE'LL TAKE A RECESS. THANK YOU.

>> WE'RE GOING TO HAVE TO WORK OUT OF ORDER HERE.

IT'S BEEN SAID THAT I TALKED TOO MUCH, AND I'M TAKING TOO LONG.

WE DO HAVE A COUPLE OF INDIVIDUALS THAT ARE NEEDING TO GET TO A FLIGHT.

WHAT WE'RE GOING TO DO IS WE'RE GOING TO CHANGE UP THE ORDER.

WE'RE GOING TO GO TO ITEM 10B NEXT SO THAT WE CAN TAKE CARE OF THAT.

THEN RIGHT AFTER 10B, I'M GOING TO MOVE MR. FAIRLEY UP ON ITEM 8H TO TALK TO US ABOUT THE ADC.

THEN WE'LL GO BACK TO DISCUSSION.

[10.B. CONSIDERATION OF RESOLUTION NO. 04-08-25-1]

MS. LAURA STORES, IF YOU DON'T MIND TELLING US WHERE WE'RE AT ON 10B.

>> THANK YOU, MAYOR AND COUNCIL.

WE APPRECIATE YOU LETTING US BRING THIS ONE UP A LITTLE EARLIER IN THE AGENDA AS WELL.

THIS ITEM 10B IS CONSIDERATION OF A RESOLUTION TO ISSUE A NOTICE OF INTENTION TO ISSUE ADDITIONAL CERTIFICATES OF OBLIGATION.

WE'VE GOT STEVEN ADAMS HERE TO WALK THROUGH A PRESENTATION OF WHAT THAT WOULD LOOK LIKE.

THEN WE ALSO HAVE DONNY HOOPER AVAILABLE TO TALK ABOUT WHAT WE WOULD PLAN TO USE THIS DEBT ISSUANCE FOR.

THIS IS A DEBT ISSUANCE SPECIFICALLY FOR STREET PROJECTS.

WITH THAT, I'LL GO AHEAD AND TURN IT OVER TO STEVEN, AND WE CAN DO THE PRESENTATION.

>> I'LL ADD REAL QUICK TO THIS. THIS IS ACTUALLY TIED TO YOUR 8G ITEM AS WELL.

WE MAY COMBINE A COUPLE OF THE TWO HERE BY DOING THIS.

[02:10:04]

>> WE CAN DEFINITELY DO THAT.

>> THANK YOU, MAYOR AND MEMBERS OF COUNCIL.

ALSO, BOB DRANSFIELD IS HERE WITH NORTON ROSE FULBRIGHT, IF YOU HAVE ANY QUESTIONS REGARDING LEGALITY.

AGAIN, BEFORE YOU CAN SELL CERTIFICATES OF OBLIGATION, LIKE WE DID EARLIER TODAY, HAS TO BE PUBLISHED IN THE NEWSPAPER TWO TIMES ON THE SAME DAY OF THE WEEK AND WEEKS ONE AFTER THE OTHER.

THEN YOU CAN'T ACTUALLY SELL THEM UNTIL 45 DAYS AFTER THE PUBLICATION AND DURING THAT TIME, THERE IS A RIGHT TO PETITION AN ELECTION.

WE RAN CERTIFICATES TO FUND A DEPOSIT FOR STREET IMPROVEMENTS IN THE AMOUNT OF 11,865,000.

WE DID A 10-YEAR AMORTIZATION.

THE AVERAGE ANNUAL DEBT SERVICE IS ABOUT 1.445 MILLION A YEAR.

I THINK THAT'S ROUGHLY UNDER 1% ON THE TAX RATE, IF YOU WERE TO PAY IT OUT OF THE I&S TAXES.

WE BASED IT ON THE MARKET AS OF TODAY. YOU SEE.

THIS IS A LOWER INTEREST RATE THAN YOU GOT BECAUSE THIS IS ONLY TEN YEARS AND WE SOLD 30 YEARS, BUT IT IS CORRECT FOR A 10-YEAR BOND.

WE HAVE THIS TO SELL ON JUNE 10, IF YOU START THE PUBLICATION PROCESS TODAY, AND THEN WE WOULD CLOSE ON JULY THE 10TH.

AS YOU CAN SEE, THE CONSTRUCTION FUND DEPOSIT IS 11,865,000.

WE ESTIMATED COST OF ISSUANCE OF 95,000, AND SO A 10-YEAR LEVEL DEBT SERVICE OF 1.443 MILLION.

THEN THE TIMING, IF YOU AUTHORIZE US TO MOVE AHEAD, WE WOULD DO A FIRST PUBLICATION ON APRIL THE 18TH, A SECOND PUBLICATION ON APRIL THE 25TH.

WE WOULD AGAIN, HAVE TO GET RATINGS, AND WE WOULD DO A COMPETITIVE SALE AT 9:00 AM.

THE MORNING OF JUNE 10, BRING IT TO CITY COUNCIL THAT AFTERNOON FOR AN AWARD.

THEN CLOSE AFTER THE ATTORNEY GENERAL ISSUES AN OPINION ON THE BONDS, SO THAT TAKES ABOUT 30 DAYS, SO WE CLOSE ON JULY THE 10TH.

THAT'S ALL WE HAVE FOR OUR PART OF THE PRESENTATION.

I UNDERSTAND WE'RE GOING TO HAVE SOME PEOPLE FROM THE CITY TALK ABOUT THE ACTUAL STREETS.

>> I'LL HAND THIS OVER TO DONNY HERE IN JUST A SECOND, BUT I ALSO WANTED TO LET COUNCIL KNOW THAT WE HAD A TOTAL OF $20 MILLION IN STREET PROJECTS THAT YOU ALL APPROVED IN THE CURRENT YEARS CAPITAL IMPROVEMENT PLAN, AND ALL OF THAT WAS PLANNED TO COME THROUGH A DEBT ISSUANCE TO HAVE BOND PROCEEDS TO FUND ALL OF THAT.

WE HAD THOSE PROJECTS SPLIT UP INTO TWO DIFFERENT TYPE PROJECTS.

ONE IS FOR THIS ONE, AND ONE IS FOR THE REMAINING JUST UNDER EIGHT MILLION DOLLARS.

I'LL PASS IT OVER TO DONNY TO TALK A LITTLE BIT ABOUT WHAT THIS PORTION OF THOSE PROJECTS WOULD COVER.

>> THANK YOU, LAURA. MAYOR, COUNCIL, THIS IS IN REFERENCE TO MAINTENANCE PROJECTS, AND, OF COURSE, WE'RE APPROVING THE CIP.

WE HAVE A MAP THAT WANT TO SHOW YOU HERE, AND I DON'T WANT TO SPEND A LOT OF TIME ON THIS BECAUSE WE'RE GOING TO BE ABLE TO COME BACK TO YOU AT SOME POINT IN TIME AND ACTUALLY TALK ABOUT EACH OF THESE DIFFERENT TYPES OF TREATMENTS AND WHAT OUR PLAN IS FOR WHAT THIS MONEY WOULD BE USED FOR.

THERE'S THREE DIFFERENT TREATMENTS. ONE OF THOSE WILL BE A MICROSURFACE TREATMENT.

THAT'S ALL THE STREETS THAT ARE LISTED IN BLUE ON THERE.

THAT'S ABOUT 3.25 MILES OF FULL WIDTH STREETS OR 9.89 MILES OF LANE MILES OF STREETS.

BASICALLY, WHAT THE MICROSURFACE PROCESS IS, ITS PURPOSE IS TO RESTORE THE TEXTURE OF A STREET, MAYBE SOLVE SOME MINOR CRACKS, PROTECT THE PAVEMENT FROM OXIDATION, WATER INFILTRATION, THINGS LIKE THAT.

THAT PROCESS IS SOMETHING WE'VE USED VERY SUCCESSFULLY.

AGAIN, I COULD GIVE YOU A COMPLETE LIST.

MAYBE YOU CAN PUT THAT IN THE MANAGER'S REPORT THIS WEEK OR SOMETHING FOR SAKE OF TIME TO GIVE YOU THOSE OR WOULD CERTAINLY BE ABLE TO ANSWER SOME QUESTIONS IF YOU HAD THEM AT THE END OF THAT.

THE SECOND TYPE OF TREATMENT IS IN THE GREEN.

THAT'S OUR CAPE SEALS.

CAPE SEAL INCORPORATES SOME MICROSURFACE IN THAT AS WELL.

BUT IT'S A TWO-STEP PROCESS THAT ACTUALLY HAS A CHIP SEAL THAT'S FOLLOWED BY THE MICROSURFACE.

THIS IS TO ADDRESS SURFACE DISTRESS, CRACKS, IMPROVES THE RIDE QUALITY AS WELL.

THE SAME AS THE MICROSURFACE DOES.

THAT IS ABOUT 5.69 MILES OF FULL WIDTH STREETS OR ABOUT 25 LANE MILES OF STREETS THERE.

THEN YOU LOOK AT THE MILL AND OVERLAY PROJECTS.

THAT'S ABOUT 7.3 MILES OF FULL WIDTH STREETS OR 39.49 MILES OF LANE MILES, IF YOU WILL.

I CAN HELP YOU WITH THE DIFFERENCE OF THOSE.

[02:15:01]

I THINK WE ALL ARE PRETTY ACCUSTOMED TO WHAT THAT IS.

IT'S A TOTAL OF ABOUT ROUGHLY 17 MILES OF FULL WIDTH STREETS OR ABOUT 75 LANE MILES IS WHAT THIS MAP ENCOMPASSES HERE OF THE THREE DIFFERENT TYPES OF TREATMENT.

OF COURSE, EVERYBODY KNOWS THE MILL AND FILL IS WHERE WE ACTUALLY GO IN AND TAKE OFF THE TOP SURFACE OF THE ASPHALT AND REPLACE THAT.

IT'S A MORE EXTENSIVE TREATMENT THAN THE OTHER TWO TREATMENTS THAT ARE IN THERE AS WELL.

KEEP IN MIND THAT THE STREETS THAT ARE LISTED ON THIS PLAN ARE JUST FOR THE PLANNING PURPOSES ONLY.

WE DON'T REALLY KNOW HOW THE BIDS ARE GOING TO COME IN BY THE TIME WE GET TO THAT POINT, WHAT INFLATIONARY FACTORS GOING TO PLAY INTO THAT.

THERE IS A POSSIBILITY THAT WE COULD ADD SOME STREETS TO THIS OR WE COULD ACTUALLY HAVE TO TAKE AWAY SOME OF THE STREETS DEPENDING ON HOW THOSE NUMBERS GO.

ONE THING I'LL MENTION AS WELL, TO THE MONEY IS NOT TIED TO THIS LIST OF STREETS.

THIS IS JUST A SMALLER PORTION OF A LARGER LIST THAT WE HAVE.

AS GRAYSON MENTIONED, ITEM 8G TALKS ABOUT THE COMPREHENSIVE STREET UPDATE THAT WE GAVE YOU BACK IN FEBRUARY.

PART 2 OF THAT TODAY IS TO TALK A LITTLE BIT ABOUT THE FUNDING.

IT'S REALLY THE SAME THING THAT WE'RE DOING HERE, BUT IT'S FOR FUTURE PROJECTS THAT WE'RE GOING TO BE TALKING ABOUT DURING BUDGET TIME.

THERE'S A LOT OF UNKNOWNS AS FAR AS WHAT WE WOULD ACTUALLY BE ABLE TO PUT ON THE GROUND AND GET DONE OUT THERE, BUT I WANT TO POINT OUT GEORGIA STREET IN PARTICULAR.

YOU CAN SEE THERE'S THREE DIFFERENT TYPES OF TREATMENTS THAT ARE HAPPENING ON GEORGIA STREET THAT GOES ALL THE WAY FROM 45TH, ALL THE WAY BACK UP TO, I BELIEVE, PAST THE BOULEVARD.

THAT'S A LONG STRETCH OF ABOUT FIVE MILES JUST ROUGHLY WHEN I WAS CALCULATING THAT BEFORE THE MEETING, THAT'S GOING TO GET REPAIRED.

THEN YOU ADD GEORGIA AS WELL, WHEN YOU GET DOWN TO THE FARMERS AND SOUTH OF THAT, THAT IS GOING TO BE INCLUDED LATER IN A SEPARATE PROJECT.

WE'RE GOING TO HAVE A GREAT BIG PORTION OF GEORGIA THAT'S GOING TO BE COMPLETED.

THOSE TWO SECTIONS THAT ARE BETWEEN FARMERS AND 45TH ARE SOME OF THE MOST, I SAY RECENT.

IT'S BEEN A WHILE SINCE THEY HAVE BEEN DEVELOPED, BUT IN THE PCI RATINGS, THEY SCORED VERY WELL.

ONE OTHER THING I MIGHT ADD TO YOU, THE WAY THAT THESE STREETS WERE SELECTED, ALAN HARDER AND JACKSON SAHARA WENT OUT AND SPENT A LOT OF TIME.

IT'S BEEN ABOUT A YEAR AGO WHERE THEY STARTED THEIR PROCESS OF GOING THROUGH THE ASSESSMENT REPORT THAT WE HAD, LOOKING AT ALL THE NUMBERS, THE PCIS THAT WE HAD, AND THEN ACTUALLY GOING ON THE STREETS AND VERIFYING THOSE CONDITIONS BECAUSE THEY CHANGED VERY RAPIDLY.

THEN THEY CAME UP WITH THIS LIST BASED ON THAT, OF WHAT THEY THOUGHT THEY COULD GET DONE WITH THE MONEY.

ONCE THE MONEY RAN OUT, WE CUT THE LIST OFF.

DO WE HAVE THE ABILITY TO ADD STREETS? CERTAINLY, THERE'S MORE AFTER THAT, AND WE'LL TALK A LITTLE BIT ABOUT SOME OF THAT IN ITEM 8G AS WE GO THROUGH THAT, OF WHAT WE'RE LOOKING AT AS FAR AS FUTURE PROJECTS AND HOW WE PLAN TO APPROACH THAT.

ALL THIS REALLY IS AN ENCOMPASSING CONVERSATION BECAUSE EVEN WHEN WE WERE TALKING ABOUT THE MUDS, JUST A MOMENT AGO, HAVING A FULL COMPREHENSIVE PLAN IN PLACE, AND THIS IS PART OF THAT.

THIS IS STEP 1 OF THAT AND STARTING TO ROLL INTO THAT ITEM 8G WE'RE GOING TO TALK ABOUT ABOUT HOW WE PLAN ON ADDRESSING OUR MAINTENANCE NEEDS FOR DECADES TO COME WITH YOUR PARTICIPATION OBVIOUSLY IN THAT AND ESPECIALLY WHEN WE GET TO BUDGET TIME.

THAT'S REALLY MY PORTION OF IT.

I KNOW THEY'VE GOT PLANES TO CATCH, AND I JUST WANT TO GIVE YOU A HIGHLIGHT OF THAT.

IF THERE'S ANYTHING IN PARTICULAR YOU WANT TO KNOW OFFLINE ABOUT ANY OF THESE STREETS AND SEGMENTS.

I KNOW THAT MAP IS HARD TO READ.

I'D BE GLAD TO DISCUSS IT WITH YOU, AND I CAN TAKE ANY QUESTIONS IF YOU HAVE THEM.

>> WE MAY HAVE A FEW.

MR. HOOPER, SO THAT'S REALLY GOOD.

I KNOW WE COULD COME BACK IN 8G, BUT WE MAY TAKE CARE OF IT ALL RIGHT HERE, AND I THINK WE'RE GOOD TO MOVE.

BUT THEN JUST TO DRILL IN MS. STORES, THIS IS THE MILLION TWO THAT WE HAD BUILT INTO THE TAX RATE FROM TWO YEARS AGO THAT WE STILL HAVE NOT UTILIZED?

>> COUNCIL HAS UTILIZED THE FULL CAPACITY OF WHAT'S AVAILABLE ON THE TAX RATE AT THIS POINT.

TWO YEARS AGO, COUNCIL HAD APPROVED A RATE THAT WAS JUST SLIGHTLY LOWER THAN THE MAXIMUM AMOUNT TO FUND THIS.

IN THIS CURRENT YEAR, THE MAXIMUM TAX RATE WAS ACCOUNTED FOR.

THIS ISSUANCE THOUGH, IF COUNCIL DECIDES TO MOVE FORWARD WITH IT, IT WILL NOT COME ON UNTIL NEXT YEAR'S BUDGET, AND SO THE TAX RATE WILL BE SET BY COUNCIL THIS SUMMER, AND COUNCIL CAN MAKE THAT CHOICE IF THEY WANT TO USE PART OF THAT EXISTING TAX RATE TO GO AHEAD AND COVER THIS FROM A COUPLE OF YEARS AGO.

>> IF YOU WOULD, JUST EXPLAIN REAL QUICK, SO WE HAD OUR ISSUE WHERE WE WERE READY TO DO THE DEBT ISSUANCE FOR 12 MILLION OR WHATEVER IT WAS.

WE WERE TOLD WE COULDN'T DO THAT, SO WE HAD THAT AMOUNT OF MONEY BUILT INTO THE TAX RATE, THAT WE'RE NOT TALKING ABOUT ANY TAX RATE INCREASE TO BUILD THIS INTO THE PROGRAM.

THAT AMOUNT OF MONEY WENT WHERE?

>> AT THAT YEAR, COUNCIL HAD CHOSEN NOT TO CAPTURE THAT PORTION OF THE TAX RATE.

[02:20:04]

COUNCIL HAD CHOSEN A TAX RATE THAT WAS BELOW THE MAXIMUM, KNOWING THAT IF WE ISSUED DEBT THAT YEAR, IT WOULD ROLL ONTO THE FOLLOWING YEAR'S TAX RATE.

THEN WHEN IT GOT CAPTURED, IT WAS ALMOST ESSENTIALLY GIVING A TAX BREAK FOR A YEAR.

IN THIS YEAR, THE MAXIMUM TAX RATE WAS DECIDED ON BY COUNCIL.

AS THIS DEBT ISSUANCE COMES FORWARD, AND THE FIRST ANNUAL DEBT SERVICE PAYMENTS COME ON, COUNCIL CAN CHOOSE THIS SUMMER IF THEY WANT TO GO AHEAD AND PAY THIS DEBT SERVICE OUT OF THE EXISTING TAX RATE THAT'S ON THE O&M SIDE OR IF THEY WANT TO TRULY ADJUST THE TAX RATE UP TO PAY FOR ANY OF THIS FROM THE INS SIDE, IF THAT MAKES SENSE.

>> THAT DOES, BECAUSE I THINK WE COULD REACH BACK, POTENTIALLY UP TO THREE YEARS. THAT MAKES SENSE.

THIS IS KEY THAT WE REMEMBER THE VISION THAT WAS GIVEN BY COUNCIL AT THAT TIME.

WE'RE NOT GOING TO GO FIND $100 MILLION WORTH OF CASH THAT WE CAN GO OUT AND PUT INTO THESE ROADS OVER THE NEXT FIVE, SIX YEARS TO GET CAUGHT UP.

WE NEED TO PUT A PLAN TOGETHER WHERE WE'RE PUTTING 10, 12, $14 MILLION WORTH OF ROAD REPAIRS IN.

I'M VERY PLEASED TO HEAR THAT THIS IS 17 MILES WORTH OF ROAD REPAIRS.

I KNOW IT'S NOT ALL THERE AS FAR AS A FULL MILL AND OVERLAY, BUT YOU'VE GOT 7.3 MILES OF MILL AND OVERLAY.

I THINK YOU'RE BALANCING THE BUDGET VERY WELL, I THINK YOU'RE MAXIMIZING THE OUTPUT.

WE OBVIOUSLY HAVE ALL OF THESE NEEDS.

I THINK WE'VE SEEN THEM GET MUCH WORSE.

I'M NOT SAYING THAT WE COULD HAVE AVOIDED EVERYTHING HAD WE BEEN WORKING ON THIS TWO YEARS AGO.

WE WOULDN'T HAVE BECAUSE WE STILL HAVE DEGRADATION, BUT THEN WE'VE SEEN FLOODS, AND WE'VE SEEN SNOW AND WE'VE HAD ALL SORTS OF WEATHER CONDITIONS THAT HAVE CONTINUED TO DETERIORATE THIS.

THIS IS COUNCIL'S PATH FORWARD, HOPEFULLY,10 YEARS FROM NOW.

I JUST WANT TO REITERATE, WE PUT THIS IN THE BUDGET, WE FUND IT, AND WE DO IT YEAR IN AND YEAR OUT FOR 10 YEARS.

WE NOW HAVE A MAINTENANCE BUDGET BUILT INTO THAT TAX RATE.

AS OUR PROPERTY VALUES GO UP, WE'RE NOT GOING TO BORROW 11.4, WE'RE GOING TO BORROW 12, 13, $14 MILLION, AND IT WILL BE FUNDED BY THOSE CURRENT TAXES.

I THINK THIS IS JUST ONCE AGAIN, PUSHING FORWARD WITH THIS.

I WISH WE COULD HAVE DONE IT PREVIOUS, BUT IT IS A GOOD DIRECTION.

WE ARE GOING TO BORROW OUR WAY OUT OF THIS PROBLEM.

I THINK IT JUST TO MAINTAIN.

IN YOUR OPINION, WOULD THIS GET US TO A GOOD MAINTENANCE LEVEL, BUT NOT REALLY CATCH UP? WE'RE STILL GOING TO SEE DETERIORATION.

WHAT'S OUR STREET RATING? I THINK 6%?

>> I THINK THAT WE CAN NEVER PREDICT WHAT'S GOING TO HAPPEN WITH THE WEATHER OR THINGS LIKE THAT IN THE FUTURE, SO IT'S HARD TO TIE IT TO A SPECIFIC PCI.

BUT OUR ANALYZATION OF THIS IS THAT IF WE CAN GET ON THIS PLAN, AND THAT'S REALLY, AGAIN, WHAT AG IS ALL ABOUT IS STAYING ON THIS PLAN, CONTINUING IT FOR DECADES TO COME, WE THINK WE CAN SEE A 74 PCI EASILY WITH THAT AFTER OUR ANALYSIS, WHICH IS A VERY HEALTHY PCI FOR STREETS.

IT'S GOING TO TAKE SOME TIME TO GET THERE, AND WE'RE GOING TO HAVE TO GET THE PROGRAM ROLLING AND MOVING.

THIS IS A HUGE START TOWARD THAT, ABSOLUTELY.

>> I ONLY SPEAK FOR MYSELF.

I DON'T SPEAK FOR COUNCIL ON THIS, BUT I THINK WITH OUR INTERMITTENT SOLUTION, WHERE WE SAID, GO OUT AND FIND A COUPLE CONTRACTORS, PUT THEM OUT THERE, GIVE THEM $2.5 MILLION CONTRACTS, HAVE THEM GO DO LARGE REPAIRS.

I KNOW YOU GUYS HAVE LOOKED INTO THAT. I'VE LOOKED INTO IT.

I THINK WE'VE SEEN SOME GOOD SURFACES THAT HAVE BEEN REPAIRED.

I THINK COUNCIL WOULD LOOK AT EXISTING BUDGETS THAT WE STILL HAVE THAT WE WOULD TRY TO REPLENISH SOME OF THOSE MONEYS.

THIS IS A GREAT PLAN, BUT I THINK IF WE COULD DO MORE, THIS COUNCIL WOULD LOOK AT A MILLION, TWO MILLION DOLLARS LET CONTRACT OVER THE SUMMER SO THAT WE DON'T TURN INTO A FALL WINTER ISSUE AGAIN.

TWO QUESTIONS. ONE, CAN YOU USE THAT MONEY? IF YOU CAN, LET US START TAKING THOSE STEPS TOWARDS PUTTING THAT MONEY IN YOUR HANDS.

THEN TWO, WHAT'S OUR ETA ON THIS IF WE PUSH IT THROUGH HERE TODAY?

>> QUESTION NUMBER 1, WE'RE NEVER GOING TO TURN DOWN MONEY FOR STREET REPAIRS, CERTAINLY.

>> MR. HARDER IS GOING TO HAVE A PRESENTATION FOR YOU ON 8F ABOUT THE STREET PATCHING PROGRAM.

GIVE YOU AN UPDATE ON THAT OR WHERE WE'RE AT, HOW MUCH WE HAVE LEFT IN THAT CONTRACT.

I THINK THOSE QUESTIONS WILL PROBABLY BE BETTER ANSWERED THERE.

AS FAR AS THIS IS CONCERNED, I WANT TO MENTION ONE THING THAT WE'VE TALKED ABOUT AS A TEAM AS WELL, THAT AGAIN, WE DON'T WANT TO START ISSUING DEBT, WE DON'T WANT TO START TALKING ABOUT THE MONEY OF A CONSTRUCTION OF PROJECTS UNTIL WE'RE READY TO GO FOR THAT.

EVEN JUST A FEW WEEKS AGO, LAURA CAME TO ME AND SAID, ARE WE READY FOR THIS, YET? WELL, WE WERE STILL FINISHING UP THE PLANS FOR THIS PROJECT.

WE'RE READY NOW, AND WE THINK AS SOON AS WE CAN GET THAT MONEY, WHICH WE WERE TARGETING FOR JUNE, I THINK IS [OVERLAPPING]

>> IT'LL BE IN EARLY JULY.

>> JUNE, JULY, THAT WE'RE GOING TO BE MORE THAN READY TO GO FOR THAT.

WITH THE HOPE THAT MOVING FORWARD, IT WON'T BE JUNE OR JULY.

WE'RE GOING TO BE READY FOR THIS MORE IN ADVANCE LIKE IN APRIL AND MAY.

[02:25:03]

AGAIN, THAT'S PART OF THE CATCH UP OF THIS, BUT WE SHOULD BE READY TO GO BY JULY AND HAVE THE FULL PROJECT READY TO GO.

>> AGAIN, FOR CLARIFICATION, TOO, THIS IS YEAR 1 OF A SERIES OF BOND ISSUANCES.

THIS IS THE FIRST YEAR, THE SAME THING NEXT YEAR, NEXT YEAR.

EVENTUALLY, THEY'LL START REVOLVING.

WHEN THIS ONE GOES OFF, WE'LL PICK IT UP AGAIN, AND WE'LL KEEP ON GOING.

WHILE WE HAVE A LIST OF STREETS IDENTIFIED, WE MAY NOT GET TO ALL OF THOSE AS DONNY SAID, THEN THE NEXT YEAR, OR THE NEXT YEAR, AND SO WE'RE LOOKING AT ABOUT $12 MILLION A YEAR ROUGHLY, AND HELP US GET BACK ON TRACK TO TRY AND MAINTAIN THAT 74, 75 PCI OVER TIME.

BECAUSE, AS YOU SAID EARLIER, WE'RE NOT GOING TO BE ABLE TO FIND $100 MILLION JUST TO DO EVERYTHING ONE TIME, WHERE IT IS A LITTLE BIT AT A TIME EVERY YEAR AND GET INTO A PROGRAM OF ISSUING DEBT TO PAY FOR LONG-TERM MAINTENANCE.

>> DOVETAILING ON THAT.

WHAT HAPPENED PREVIOUSLY WAS WE BORROWED $90 MILLION.

WE PUT IT OUT, $30, $40 MILLION, WENT AND GOT EXPENDED, AND THEN THINGS LAGGED.

THERE WAS A FORGETFULNESS OF WHERE WE'RE AT IN THE CONSTRUCTION PROCESS.

THIS COUNCIL, IF YOU WOULD ENTERTAIN IT, I WOULD LOVE TO HAVE AN ACCOUNTABILITY PIECE AND A TRANSPARENCY PIECE WITH OUR PUBLIC.

WHAT WE CAN DO IS WE CAN REALLY START THE FLAGSHIP OF RAISING THAT UP.

LET'S START SHOWING, YOU ISSUED US 11.8 MILLION DOLLARS, HERE'S WHAT WE'VE DONE SO FAR IN THE FIRST QUARTER.

THESE ARE THE STREETS. HERE'S THE RECEIPTS.

HERE'S HOW MUCH WE HAVE LEFT TO GO SO THAT OUR PUBLIC IS SEEING NOT ONLY THE ORANGE CONES OUT THERE THAT THEY'RE HAVING TO DRIVE AROUND, BUT WHICH STREETS DID WE NOT GET TO AND WHERE DID THEY GO? BECAUSE I THINK ONCE WE AS COUNSEL DO OUR JOB, WE SAY, HERE'S YOUR RESOURCES, THERE'S A TENDENCY TO STEP BACK FOR A COUPLE OF YEARS UNTIL YOU HIT A POTHOLE.

THEN YOU REALIZE, MAN, I DON'T KNOW IF WE'RE GETTING ALL THOSE.

CAN WE HAVE SOMETHING IN PLACE? DO WE ARE READY?

>> MAYOR, ACTUALLY, I'M GLAD YOU BROUGHT THAT UP BECAUSE SOMETHING THAT WE'VE TALKED ABOUT AS A STAFF ON MY SIDE, IS THE FACT THAT WE'VE GOT TO BE I'D SAY A LITTLE BIT MORE.

WE'VE GOT TO BE A LOT MORE PROACTIVE IN THE WAY THAT WE HAVE ALL OF THE TOOLS WE NEED TO PRESENT EVERYTHING THAT WE'RE DOING TO THE PUBLIC ON A REGULAR BASIS.

HEY, WE'RE STARTING WORK ON THIS STREET.

THIS IS A PART OF THIS PROJECT, BLAH, BLAH BLAH.

WE CAN GO THROUGH THAT AND DO THAT.

WE PLAN TO BE A LITTLE MORE PROACTIVE IN OUR APPROACH AS FAR AS ANNOUNCING TO THE PUBLIC WHAT WE'RE DOING, WHERE WE'RE DOING IT, WHY WE'RE DOING IT THERE, GIVING UPDATES, BEING MORE OF A POSITIVE IN FRONT OF THOSE STREETS BECAUSE I THINK THAT WE RECOGNIZED THAT.

ONE OTHER THING I MENTIONED TO AND TAGS ON THE WHAT GRAYSON WAS SAYING IS THAT YOU MENTIONED A MOMENT AGO THAT I WISH WE COULD HAVE DONE THIS TWO YEARS AGO.

I REALLY FEEL LIKE THE TWO YEARS GAVE US TIME OR AT LEAST THE PAST SIX MONTHS, SEVEN MONTHS HAS GIVEN US TIME TO REALLY COME UP WITH A GOOD PLAN GOING FORWARD.

IF YOU DON'T HAVE A GOOD PLAN, YOU NEVER GOING TO EXECUTE VERY WELL.

I THINK WE HAVE A VERY GOOD PLAN IN PLACE, INCLUDING THOSE COMMUNICATION PIECES YOU JUST TALKED ABOUT.

>> I AGREE WITH YOU. I THINK YOU DO HAVE A GOOD PLAN.

I WOULD LOVE TO SEE THE BUY DOWN, SO YOU CAN SEE THE 11.8.

AS THE EXPENSES COME DOWN, YOU SEE THE NEXT YEAR THAT COMES ON.

WE CAN IDENTIFY THOSE PROJECTS.

EVEN IF THEY DON'T HIT IN THAT CALENDAR YEAR, YOU KNOW THAT WHEN THAT PROJECT'S TAKING PLACE, IT WAS FUNDED LAST YEAR, AND COUNCIL NEVER FALLS BEHIND THE EIGHT BALL.

>> YES, SIR. WE'VE ALSO BEEN MEETING INTERNALLY AS A STAFF.

IN FACT, LAURA AND HER TEAM, WE JUST MET LAST WEEK, AND IT'S A REGULAR MEETING THAT WE HAVE WHERE WE DISCUSS ALL OF THE ABOVE, AS FAR AS THE THINGS YOU'RE TALKING ABOUT, THE FINANCES, WHAT'S COMING ON, WHAT'S GOING ON, HOW WE'RE MANAGING ALL THAT, THOSE HAVE BEEN VERY PRODUCTIVE AS WELL.

WE'RE SEEING A LOT OF THINGS THAT ARE CHANGING WITH THIS LEADERSHIP TEAM THAT I'M EXCITED ABOUT WHERE WE'RE GOING.

>> GIVEN THESE ARE MORE MAINTENANCE PROJECTS.

THIS IS NOT A CAPITAL PROJECT.

THIS IS NOT A FULL DEPTH REPLACEMENT.

THAT'S GOING TO BE A SEPARATE TRACK FROM THIS.

IS THIS YOUR MILL NOVAE, YOUR CHIP SILLS, THOSE KIND OF THINGS.

THOSE DO LEND THEMSELVES TO A MUCH MORE IMMEDIATE RESPONSE TIME OR RETURN AROUND, SO THAT'LL BE MY EXPECTATION TO MY STAFF.

I KNOW WHEN I PROMOTED DONNY HOOPER UP TO ACN, THIS IS THE TOP PRIORITY WAS TO GIVE US A PLAN, LOOKING AT PROP 1, LOOKING AT THE MAINTENANCE OF THE PCI, AND SO FORTH.

I THINK HE AND HIS TEAM HAVE DONE AN EXCELLENT JOB OF GIVING US A VERY FEASIBLE, DOABLE PLAN FOR THE NEXT DECADES TO COME.

>> I AGREE. WE'LL TRY TO GET YOU ON THAT PLANE.

WE'RE LOOKING FORWARD TO THAT CAPITAL PROJECT FOR OCH STREET.

I KNOW IT'S COMING. LET'S START OVER HERE, AND THEN I'LL COME BACK TO YOU, SIR.

>> WE'RE LOOKING AT THIS 12 MILLION ROUGHLY, MAYBE AN EXTRA MILLION HERE AND THERE, IF WE GIVE IT TO YOU.

WHEN YOU LOOK AT OUR CAPABILITIES, IF WE SAID, WAIT A MINUTE, WE'RE GOING TO DO TWO MILLION, AND YOU'RE GOING TO GET 24 MILLION, CAN YOU DO THAT MUCH IN A YEAR OR AS WHEN WEATHER AND ALL THOSE TYPES OF THINGS OR AS 12 MILLION PRETTY GOOD TARGET NUMBER FOR THE CAPACITY THAT WE HAVE TO DO THESE PROJECTS?

>> THAT'S A GREAT QUESTION.

I WOULD SAY THAT THE ANSWER TO ALL THE ABOVE IS YES, BUT AT THE SAME TIME, YOU HAVE TO CONSIDER WHAT THE PUBLIC WOULD

[02:30:01]

TOLERATE WHEN IT COMES TO ALL THAT CONSTRUCTION THAT'S GOING AT ONE TIME.

BECAUSE THIS IS MAINTENANCE, AND SO MAINTENANCE MOVES A LOT QUICKER THAN SOME OF THE OTHERS.

YOU'RE PULLING BARRICADES AND YOU'RE DOING THINGS.

WHAT WE DID IS WENT THROUGH AND LOOKED AT THAT TARGET NUMBER THAT WE HAD THE 11.865 MILLION AND SAID, WHAT CAN WE DO WITH THAT? AGAIN, AS I MENTIONED EARLIER, I DON'T KNOW THAT WE WOULD EVER TURN DOWN THE OPPORTUNITY TO DO MORE.

I JUST THINK WE WOULD HAVE TO EVALUATE THAT MORE HOLISTICALLY, AND HOW'S IT AFFECTING THE PUBLIC AND DO WE HAVE ENOUGH SEASON TO GET IT DONE AS THE OTHER THING? DO WE HAVE ENOUGH TIME WITH WEATHER TO GET THE MAINTENANCE ITEMS? THESE MAINTENANCE ITEMS ARE TIED TO TEMPERATURES.

THEY'RE TOUGH TO DO THESE PROJECTS IN THE WINTER.

NOW, POTHOLE PATCHING AND THINGS LIKE THAT IS THE WHOLE SEPARATE TOPIC WE CAN, ROAD CONSTRUCTION, WHICH IS THE OTHER 7.9 MILLION THAT LAURA TALKED ABOUT.

WE COULD PROBABLY DO MORE OF THAT AS WELL, BECAUSE IT'S NOT AS TIED TO A SEASON.

>> I WOULD JUMP IN REAL QUICK, TOO.

THAT WAS ONE OF MY CONCERNS.

MY LOOKING AT PROP 1 AND SO FORTH, IS I WANT US TO TAKE A BABY STEP HERE AND NOT GO FOR THE $20, $30 MILLION, JUST SO WHAT WE KNOW THAT WE CAN INTERNALLY AND WITH OUR EXTERNAL CONSULTANTS HIT 12 MILLION.

THEN IF WE GET INTO A GOOD RHYTHM, DONNY'S GOT A COUNTER MAPPED OUT FOR THE YEAR, WE SHOULD BE HERE BY THIS POINT, THEN HERE BY THIS POINT.

IF WE GET INTO A GOOD RHYTHM, AND WE FEEL THAT WE HAVE CAPACITY TO TAKE ON A $14, $16 MILLION, THEN WE CAN DO THEM.

BUT THIS FIRST YEAR, I WANT TO BE A LITTLE CONSERVATIVE AND DO WHAT WE SAFELY CAN DO INTERNALLY.

>> GREAT QUESTION.

>> EXCUSE ME. I KNOW I MENTIONED BEFORE, WHEN WE START THESE PROJECTS AND WE'RE USING COS AND EVERYTHING, I WOULD LIKE TO SEE US PUT A DASHBOARD ON THE CITY WEBSITE THAT PEOPLE CAN ACTUALLY GO AND THEY CAN SEE THIS PROJECT STARTS ON THIS DATE, IT'S SUPPOSED TO END, AND THEY GO IN THERE ON A DAILY BASIS AND SEE WHAT WE'RE DOING.

I THINK THAT'S VERY IMPORTANT BECAUSE AFTER THE 2016 BOND ISSUE, WE'VE LOST A LOT OF CREDIBILITY.

BECAUSE WE GOT LOST IN THAT PROCESS AND I THINK IT'LL HELP US KEEP UP WITH WHERE WE'RE AT.

PLUS IT'LL HELP THE CITIZENS KNOW WHAT'S GOING ON.

I JUST WOULD LIKE TO SUGGEST THAT.

>> COMMENT ON THAT, WE'VE ALREADY STARTED WORKING TOWARD DESIGNING A DASHBOARD FOR THAT.

WE HAD SOME CONVERSATIONS WITH JERRY DANFORTH TWO WEEKS AGO OR SO, AND WE WERE TALKING ABOUT JUST EXACTLY WHAT IT'S PART OF THAT COMMUNICATION PROGRAM, GETTING IT OUT, SOCIAL MEDIA, GETTING IT OUT IN THE MEDIA, HOWEVER WE CAN DO THAT SO THAT THE PUBLIC CAN BE AWARE OF WHAT WE'RE DOING.

>> OTHER QUESTIONS ON THIS SIDE?

>> MAN, DONNY, KEEP TURNING THE SHIP.

YOU'RE DOING GOOD. IT'S JUST A BIG SHIP.

>> IT TAKES A TEAM TO DO IT. THANK YOU.

>> WELL, YOU GOT A GOOD TEAM. MISS STORRS, DO YOU HAVE ANYTHING ELSE?

>> NO, SIR.

>> I THINK THAT WRAPS US UP ON ITEM 10B. UP FOR A MOTION.

>> MOVE TO ADOPT RESOLUTION NUMBER 4-8-25-1.

>> MOTION IN A SECOND. ALL IN FAVOR, PLEASE, SAY AYE.

>> AYE [OVERLAPPING]

>> ANY OPPOSED? MOTION PASSES.

WE HAVE SUCCESSFULLY COMPLETED ALL OF OUR NON-CONSENT ITEMS AND WE'RE GOING TO GO BACK TO DISCUSSION.

[8.H. Amarillo Economic Development Corporation Board of Director appointments]

MR. FAIRLEY, I SEE THAT YOU ARE THE CHAIR TEMPORARILY OF YOUR BOARD ON THE AEDC.

ITEM 8H, I'M GOING TO MOVE UP HERE AND ASK MR. FAIRLEY TO COME FORWARD AND MAYBE WALK US INTO THIS ITEM SO THAT HE CAN GET TO HIS NEXT APPOINTMENT, AND THEN WE'LL GO BACK THROUGH THE OTHER DISCUSSION ITEMS. THANK YOU FOR WAITING. I KNOW I TOLD YOU FOUR O'CLOCK, SO WE DIDN'T QUITE MAKE IT.

IF YOU WANT TO GO AHEAD AND JUST WALK US INTO YOUR TEMPORARY BOARD CONDITION, WHERE YOU'RE AT, STATUS WISE, MAYBE WHERE YOU'RE AT IN THE SEARCH FOR YOUR NEW DIRECTOR, CEO, AND THEN ANY PREFERENCES OR ANY OTHER TOPICS YOU'D LIKE TO GIVE US HERE FOR DISCUSSION.

>> I WAS GOING TO SAY, YOU'RE GOING TO HAVE TO TELL ME WHAT YOU WANT ME TO TALK ABOUT.

THAT'S GOOD. WE HAVE AN RFP READY.

>> REAL QUICK, STEPHANIE, CAN YOU GET THAT MICROPHONE TURNED UP FOR US A LITTLE BIT OR IN THE BACK? YOU'RE GOOD AT THAT ONE. I THINK WE JUST DIDN'T HAVE IT LIVE.

>> [INAUDIBLE] TOO SHORT. THIS IS FANCY.

>> GO RIGHT AHEAD, SIR.

>> WE HAVE AN RFP READY, THANKS TO DOUG NELSON, TO GO OUT.

WE HAVEN'T SENT IT. IT'S BEEN READY FOR I THINK A COUPLE OF WEEKS, MAYBE.

COULD I SAY JUST WHAT I FEEL WOULD BE THE BEST ORDER OF THINGS? I FEEL LIKE WE NEED TO APPOINT A PERMANENT BOARD NEXT.

[02:35:01]

HERE'S WHY.

WE COULD SEND THAT THING OUT WHENEVER WE WANT.

DOUG THINKS THAT WE'LL HAVE RESPONSES BACK WITHIN TWO WEEKS, IT'LL GO PRETTY FAST.

BUT MY THOUGHT IS THAT WHEN WE HIRE A VENDOR PROBABLY DURING THE PROCESS, BUT IF NOT, IMMEDIATELY AFTER WE HIRE A SEARCH FIRM, THEY'RE GOING TO LOOK AT US AND SAY, WHAT DO YOU WANT? WHO DO YOU WANT US TO GO FIND? WHAT SHOULD THEY LOOK LIKE? HOW DO YOU WANT THEM TO KNOW? I FEEL LIKE WE NEED THE PERMANENT BOARD TO MAKE SOME DECISIONS ABOUT THOSE THINGS BEFORE WE DO THAT.

I HAVE SOME THOUGHTS ABOUT A NEW DIRECTION FOR THE AEDC.

IT'S NOT DRAMATIC, BUT IT'S A NEW DIRECTION.

OF COURSE, I'LL JUST BE ONE OF FIVE IF I'M STILL ON THERE.

I FEEL LIKE WE GOT TO DECIDE THAT BECAUSE YOU GOT TO DECIDE THAT, AND THEN UNTIL YOU KNOW THAT, YOU DON'T KNOW WHAT YOU WANT.

DO WE WANT SOMEONE SIMILAR TO WHO WE'VE HAD IN THE PAST, OR WOULD WE GO A DIFFERENT WAY? I'M FEELING LIKE I'M GOING TO BE THINKING GOING A DIFFERENT WAY.

BUT WHATEVER WAY WE GO AND WHATEVER THE BOARD DECIDES, TO ME, WE'VE GOT TO AGREE ON THAT DIRECTION, AND THEN THAT'LL DICTATE WHAT KIND OF PERSON WE WANT, AND THEN WE SHOULD FIND A VENDOR AND THEY'LL GO FIND THAT PERSON FOR US.

THAT'S THE ORDER I WOULD PROPOSE.

I THINK THE NEXT THING THE AEDC NEEDS TO DO, THE AEDC BOARD IS TO SIT DOWN AND HAVE A SERIOUS DISCUSSION ABOUT THE DIRECTION OF THE AEDC GOING FORWARD IN LIGHT OF JUST THE THINGS THAT HAVE BEEN DISCUSSED AND TALKED ABOUT OVER THE LAST 90, 100, 20 DAYS.

WE COULD GO AHEAD AND DO THAT WITH THE BOARD WE HAVE.

BUT KNOWING THAT BOARD IS ABOUT TO CHANGE, MY THOUGHT IS THAT WE WAIT AND DO THAT UNTIL WE HAVE THE PERMANENT BOARD, AND THEN THAT BOARD WILL AGREE.

I DON'T THINK THAT TAKES FOREVER, BUT I THINK IT'S A MONTH OR SO.

I THINK THEY HAVE A LOT OF THINGS TO BE BROUGHT UP ON.

THEN I THINK WE'LL KNOW, THIS IS A LEADER WE NEED, LET'S GO FIND THEM.

>> REAL GOOD. COUNSEL, WE PUT IT UP FOR A DISCUSSION AND AN ACTION ITEM LAST TIME.

I BROUGHT IT BACK THIS TIME AS JUST A DISCUSSION ITEM.

WE BROUGHT OUR BOARD CHAIR IN JUST TO RETHINK THIS.

IF WE STILL WANT TO STAY ON THE PATH THAT WE'RE ON, WHICH IS, LEAVE THE TEMPORARY BOARD WHERE THEY'RE AT, UNTIL AFTER THE ELECTION CYCLE, ON BOARD NEW COUNCIL, THEN REVISIT THIS, COULD BE MIDDLE OF SUMMER BY THEN, YOU'RE THEN PLACING THE BOARD AFTER YOU'VE SELECTED YOUR SEARCH FIRM, AND YOUR SEARCH FIRM IS TRYING TO GET FEEDBACK FROM THE TEMPORARY BOARD AT THAT TIME.

YOU HAVE THE NEW BOARD PLACE THAT STILL HAS TO ONBOARD AND FIGURE OUT HOW TO HIRE THEIR DIRECTOR AT THE SAME TIME.

ONE OF THE MOST DIFFICULT THINGS THAT WE WALKED THROUGH IN TRYING TO FIND MR. PATH. I'M THANKFUL THAT WE DIDN'T HAVE YOU IN THE MIDDLE OF A RUNOFF WHILE I WAS HIRING A SEARCH FIRM AND ALSO ASKING YOU WHO YOU MIGHT WANT TO LOOK AT LESS AS WHO WOULD BE YOUR CITY MANAGER ALL AT THE SAME TIME.

IF YOU THINK ABOUT IT, YOU HAD TIME TO ONBOARD.

WE HAD SOME STEPS THAT WE TOOK.

I KNOW I WAS OUTVOTED, SO TO SPEAK, AND WE DIDN'T HAVE CONSENSUS LAST TIME TO MOVE FORWARD WITH ANYTHING.

I'M JUST PUTTING IT IN FRONT OF YOU ONE MORE TIME, GIVING YOU THE OPPORTUNITY TO RETHINK IT, IF YOU WANTED TO.

MY PREFERENCE WOULD BE TO PLACE A PERMANENT BOARD AT THE NEXT COUNCIL MEETING, KNOWING THAT MR. FAIRLEY COULD GO AHEAD AND CALL A SPECIAL MEETING IF YOU NEED TO, OR RIGHT AFTER THAT MEETING, GO AHEAD AND HAVE YOUR MEETING READY TO ANNOUNCE AND SELECT YOUR SEARCH FIRM.

THEN YOU WOULD BE IN APRIL, NOT JUNE, JULY, SOMEWHERE IN THERE.

THAT'S ABOUT A THREE MONTH AVERAGE HERE, DIFFERENCE IN A LEARNING CURVE THAT I THINK YOU'RE GOING TO HAVE.

WHAT I'M MAPPING OUT FOR YOU IS IT'S LIKE A SIX MONTH DELAY POTENTIAL.

IF WE JUST REMAIN REALLY POLITE AND GENTLEMANLY ABOUT THIS SAYING, WE DON'T WANT TO HURT ANYBODY'S FEELINGS, WE DON'T WANT IT TO LOOK A CERTAIN WAY.

MAYBE THERE'S SOME OPTICS INVOLVED.

I DON'T REALLY CARE WHAT THE OPTICS LOOK LIKE.

I WANT TO DO WHAT'S BEST FOR THE ORGANIZATION.

THE AEDC NEEDS TO BE MOVED FORWARD IN A STRATEGIC BUSINESS PLAN.

ONCE AGAIN, THAT IS WHAT'S MISSING IN THIS VISION THAT YOU'RE LAYING OUT, MR. FAIRLEY.

I'D LIKE TO SEE YOU WITH A PERMANENT BOARD, WHETHER YOU'RE ON IT OR OFF OF IT, WORKING TOWARDS THAT.

COUNSEL, I'VE GIVEN YOU MY PITCH THERE, AND I GLADLY LISTEN TO YOU ONCE AGAIN IF YOU WANT TO GO A DIFFERENT DIRECTION.

>> I WOULD SAY WITH THE INFORMATION WE FOUND OUT TODAY, LET'S GO AHEAD,

[02:40:04]

AT THE NEXT MEETING, GO AHEAD AND DO A PERMANENT BOARD PLACEMENT.

>> AT LEAST WILLING TO LOOK AT IT IN THE NEXT ONE.

NOT NECESSARILY ANYBODY'S GOT A VOTE ON IT TODAY, BUT YOU'D BE WILLING TO LOOK AT PERMANENT PLACEMENT OF THOSE BOARD OF DIRECTORS. COUNCILMAN.

>> I'M NOT OPPOSED TO THAT, LIKE I SAID LAST MEETING.

I JUST SOON GET OFF AS QUICK AS I CAN, JUST THE WEIRD CONFLICT. I'M GOOD WITH THAT.

>> WHERE ARE YOU AT, COUNCILMAN?

>> I DON'T KNOW WHERE YOU'RE GETTING SIX MONTHS FROM.

>> RUNOFF.

>> WHO?

>> I'M JUST SAYING IF THERE IS A RUNOFF, I THINK THAT THAT'S WHAT [OVERLAPPING]

>> LET ME CLARIFY, BECAUSE I KNOW I WAS TALKING FAST AND MAYBE DIDN'T EXPLAIN MYSELF THOROUGHLY.

IF OUR HOLDUP TO HIRE A SEARCH FIRM IS, WE DON'T WANT TO PLACE A PERMANENT BOARD UNTIL AFTER THE ELECTION, YOU'RE TALKING ABOUT AN ELECTION IN MAY, A POTENTIAL RUNOFF IN JUNE, THEN YOU HAVE THIS BOARD SELECTED.

AT THAT TIME, THEN THEY'RE GOING TO HIRE THE FIRM, AND THEN YOU HAVE THAT NEW BOARD THERE, THE PERMANENT BOARD THAT HAS AN ONBOARDING TIME, SO YOU'RE NOT GOING TO PUSH THAT SEARCH FIRM NEAR AS HARD IF YOU JUST GOT PLACED IN THAT SEAT.

>> I'M WILLING TO DISCUSS IT THE NEXT MEETING?

>> APPRECIATE YOU BEING WILLING TO HEAR IT.

NOT ASKING FOR ANY VOTES, JUST WANT TO KNOW IF YOU GUYS ARE WILLING TO HEAR IT.

>> NOTHING'S CHANGED FROM ME FROM TWO WEEKS AGO.

I THOUGHT WE HAD REACHED CONSENSUS TWO WEEKS AGO THAT WE WERE GOING TO WAIT.

I DO THINK REALLY WHAT WE'RE TALKING ABOUT, NOW WHETHER IT WOULD TAKE SIX MONTHS, I DON'T KNOW.

OF COURSE, THIS IS A MESS OF OUR OWN CREATION, BECAUSE WE DID HAVE A TARGET TO PLACE A PERMANENT BOARD MONTHS AGO, BUT THE NEXT THING, APRIL AND MAY IS AROUND HERE.

BUT TO ME, THERE'S NO DOUBT THAT THE AEDC IS THE TOP ISSUE IN THE ELECTION.

I SAY, LET'S LET THE VOTERS HAVE THEIR SAY, AND THEN WHOEVER'S GET ELECTED CAN MOVE FORWARD AS THEY PLEASE.

BUT I DON'T THINK WE'RE WAITING THREE MORE WEEKS.

WE'RE LOOKING AT MAY 13TH.

I DON'T SEE WHY ONE OF THE FIRST.

IF IT'S IMPORTANT, THIS COUNCIL CAN HIT THE GROUND RUNNING.

THERE COULD BE ONE NEWS PERSON UP HERE, COULD BE FOUR, COULD BE SOMEWHERE IN BETWEEN.

BUT I THINK WE CAN RUN AND CHEW GUM AT THE SAME TIME.

I THINK WE NEED TO LET THE VOTERS HAVE THEIR SAY ON WHAT IS THE MOST IMPORTANT ISSUE IN THE ELECTION.

>> I AGREE WITH AND RESPECT YOUR POINT OF VIEW IN WHAT COUNSEL WANTED TO DO LAST TIME.

I KNOW I WAS THE ODD MAN OUT AND WILLING TO JUST LET IT GO THAT DIRECTION, I THINK.

I'D LIKE TO HEAR FROM MR. FAIRLEY ONCE MORE WITH HEARING WHAT THIS BODY IS NOW TELLING YOU.

MAP OUT FOR US TWO DIFFERENT OPTIONS.

GIVE ME THE ONE WHERE NEXT COUNCIL MEETING, THE 22ND, WE PLACE A PERMANENT BOARD, WHAT THAT DOES FOR YOU.

GIVE ME THE OTHER ONE WHERE IT'S JUNE BEFORE YOU GET A PERMANENT BOARD.

IS THERE ANY COMPROMISE IN BETWEEN? WOULD YOU FEEL COMFORTABLE HAVING A SEARCH FIRM SELECTED WITH THIS TEMPORARY BOARD IF WE DECIDE NOT TO PLACE PERMANENT?

>> HEY, MAYOR, CAN I COMMENT REAL QUICK? HERE'S MY CONCERN, THAT WHERE I WAS THE LAST TIME.

LET'S SAY IF THERE IS A RUNOFF, AND IF WE DO AGREE TO WAIT UNTIL, WHICH I THINK WE DISCUSSED THIS A LITTLE BIT LAST TIME, IF WE AGREE TO WAIT TILL EVERYBODY IS PLACED UP HERE ON THIS COUNCIL, THEN WE ARE LOOKING AT JULY.

I WOULD ASK YOU, WHAT DO YOU SEE IN THAT? IF WE AGREE THAT THAT IS THE BEST PATH FORWARD, DO WE WANT TO WAIT TILL JULY, WHICH I DON'T? WHEN WAS IT? WHEN IS IT? AFTER THE RUNOFF?

>> SIX WEEKS AFTER.

>> SIX WEEKS. DO WE WANT TO WAIT THAT LONG BEFORE WE MOVE FORWARD OVER HERE WITH THE AEDC? THAT WOULD BE MY BIG CONCERN.

>> I JUST THINK WE OUGHT TO GIVE THE CITIZENS A CHANCE TO VOTE AND THE CITIZENS' VOTE SHOULD BE HEARD.

ONCE IT'S HEARD, THEN I THINK WE'RE READY TO MOVE FORWARD.

>> NO, I HEAR THAT.

>> I UNDERSTAND THAT, AND IN A PERFECT WORLD.

BUT WE'VE GONE SEVERAL MONTHS, EVERYTHING SEEMS TO BE GOING OKAY, THINGS SEEM TO BE GOING WELL, WE'RE STILL RECRUITING BUSINESS, DOING THOSE TYPES OF THINGS.

I DON'T WANT TO RUSH A SELECTION OF ANYONE JUST FOR THE SAKE OF RUSHING IT TO SAY, WE'RE GOING TO DO IT QUICKLY.

WE'RE REBUILDING A LOT OF THINGS OVER THERE, AND IT'S GOING TO TAKE TIME TO BE ABLE TO DO THAT. BUT I DON'T KNOW.

LET'S LET THE VOTERS SPEAK, AND THEN ONCE WE HEAR FROM THEM THEN WE CAN MOVE FORWARD.

I THINK IF THE FUTURE COUNSEL, WHOEVER THAT MAY BE, GETS TO WORK ON IT QUICKLY, I DON'T THINK IT WOULD TAKE THAT LONG TO GET IT ACCOMPLISHED.

[02:45:03]

>> AGAIN, JUST HAVING A HEALTHY DISCUSSION HERE?

>> SURE.

>> BUT I DON'T FEEL LIKE WE'RE RUSHING.

LIKE YOU SAID, WE'VE HAD THESE CANDIDATES UP FOR MONTHS.

I THINK WE'VE ALL INTERVIEWED THOSE THAT HAVE BEEN WILLING TO BE INTERVIEWED, SPENT TIME WITH.

I THINK WE'VE ALL HAVE AN IDEA OF WHO WE WOULD PUT FORWARD, I DON'T FEEL LIKE THAT'S RUSHING.

BUT YOU FEEL LIKE IT IS RUSHING IF WE JUST HURRY UP AND DO IT.

>> I HEAR WHAT YOU'RE SAYING.

>> I'M FEELING THAT WE HAVE AN ELECTION, AND THE VOTERS HAVE A CHANCE TO VOTE.

THERE MAY BE SOME DIFFERING OPINIONS OUT THERE.

BUT I THINK WE SHOULD HEAR FROM THE CITIZENS AND WHAT THEY HAVE TO SAY, AND WILL GIVE US A CLEAR DIRECTION.

I DON'T KNOW WHAT THE OUTCOME IS GOING TO BE, BUT I DO FEEL WE OWE IT TO THE CITIZENS TO LET THEM VOTE ON WHAT IS ONE OF THE MOST IMPORTANT ISSUES, IF NOT THE MOST TALKED ABOUT ONE IN THESE CAMPAIGNS.

LET THEM BE HEARD, AS WE ALWAYS TRY TO DO, AND WE ALWAYS SAY THAT WE WANT TO DO.

THEN ONCE WE'VE HEARD FROM WHAT THEY HAVE TO SAY THEN I THINK THIS COUNCIL WILL BE EQUIPPED TO MOVE FORWARD.

>> I WOULD SAY IN AGREEING WITH YOU THAT WE DON'T WANT TO EVEN INSINUATE THAT WE'RE ANY WAY RESTRICTING YOUR VOTE WHEN YOU'RE VOTING FOR YOUR NEXT COUNCILMAN OR MAYOR.

THAT IS THE GOVERNING OVERSIGHT OF THIS BODY.

THOSE VOTES ARE GOING TO BE COUNTED, AND THE NEXT COUNCIL CAN REMOVE ANYONE THAT THEY WOULD LIKE.

IN THE INSTANCE THAT LET'S SAY I NOMINATE MR. FAIRLEY TO BE BOARD CHAIR FOR THE NEXT YEAR, I'M NOT HERE IN THREE WEEKS, THAT'LL BE THE NEXT MAYOR'S OPPORTUNITY TO REMOVE HIM AND TO APPOINT HIS BOARD CHAIR.

THOSE AUTHORITIES ARE IN NO WAY RESTRICTED BY MOVING FORWARD NOW.

HOWEVER, IF I WAS PLACED ON THE AEDC AS A VOLUNTEER COMING INTO THAT ROLE, I WOULD GREATLY APPRECIATE SOMEBODY ELSE WHO'S ALREADY BEEN THROUGH THIS AND IN THE MIDDLE OF THIS MESS, AS YOU CALL IT, GO ON AHEAD AND TAKE THE INITIATIVE.

GO AHEAD AND PUT THE SEARCH FIRM IN PLACE.

GO ON AHEAD AND GET IN THE CANDIDATES LISTED, SO THAT WHILE I'M TRYING TO LEARN THE OPEN MEETINGS ACT AND UNDERSTAND THE NEW VISION FOR THE AEDC, I'VE GOT LEADERSHIP.

I THINK IF I'VE HEARD ANYTHING IN THIS CAMPAIGN CYCLE, IT HAS BEEN THE DESIRE FOR GOOD LEADERSHIP, AND I THINK THAT'S WHAT THIS IS HERE TODAY.

I NEED STRONG LEADERS THAT ARE WILLING TO PUT THEMSELVES OUT THERE REGARDLESS OF THE OPTICS.

MR. FAIRLEY, WHAT DO YOU SAY ON EITHER ONE OF THOSE, AND IS THERE SOMEWHERE IN THE MIDDLE HERE THAT WE CAN WORK TOGETHER ON?

>> YEAH, I HAVE MAYBE AN IDEA.

COULD I ASK A QUESTION? IF THERE'S A RUNOFF IN A SEAT, WHAT HAPPENS?

>> EXISTING COUNCIL MEMBER STAYS IN THAT SEAT FOR THE SIX WEEKS UNTIL THE RUNOFF VOTES ARE CANVASSED.

>> I HAVE AN IDEA THAT I DIDN'T HAVE BEFORE I WALKED IN.

THE FIRST THING I'LL SAY IS THE AEDC IS NOT THE TOP ISSUE IN THIS ELECTION.

I HAVE POLLING THAT'S A WEEK OLD, THE AEDC IS NOT TOP THREE.

IT'S THE CHATTER BOX.

BY THE WAY, THE PUBLIC IS VERY HAPPY WITH THIS COUNCIL'S DIRECTION ON THE AEDC.

I WOULD BE VERY HAPPY TO SHOW YOU THAT.

ONE OF THE MOST CREDIBLE POLLING FIRMS IN THE COUNTRY.

BUT THE AEDC DIDN'T DECIDE IN THIS ELECTION.

BUT HOW ABOUT THIS? HERE'S MY THOUGHT ABOUT THE AEDC WHEN I GOT HERE, IS WE'RE JUST IN A HOLDING PATTERN, AND IT'S NOT A HEALTHY PLACE FOR AN ORGANIZATION.

SOMETIMES YOU JUST HAVE TO BE BECAUSE YOU GUYS DID THIS IN NOVEMBER WHEN THE FOLKS LEFT. I'LL STOP THERE.

BUT WHEN THEY LEFT, YOU GUYS MADE THE TEMPORARY BOARD.

WE RAN INTO THINGS NO ONE KNEW ABOUT, NO ONE COULD HAVE CONTEMPLATED IN THE LAST THREE OR FOUR MONTHS, SO IT'S TAKEN LONGER THAN WE THOUGHT.

I'LL TELL YOU, I DON'T THINK A MINUTE HAS BEEN WASTED.

BUT NOW IN MY OPINION, WE NEED TO CONSIDER WHAT DIRECTION WE'RE GOING TO GO BECAUSE I THINK WE SHOULD GO A NEW DIRECTION.

IT'S NOT THE END OF THE WORLD IF WE HOLD.

IT'S NOT HEALTHY FOR IT, IT'S NOT GREAT FOR IT, IT'S NOT WHAT I WOULD DO, BUT IT'S ALSO THE SKY ISN'T FALLING. HOW ABOUT THIS? HOW ABOUT YOU GUYS MEET NEXT WEEK AND YOU HAVE THE DISCUSSION TO PICK A PERMANENT BOARD, AND THEN WE LET THE ELECTION HAPPEN, AND THEN YOU WOULD BE READY THE WEEK AFTER THE ELECTION TO GIVE LESS HIS POINT.

THE THING I DON'T LIKE ABOUT THE DISCUSSION IS IT'S MAKING THIS MORE POLITICAL, IS WHAT WE'RE DOING.

WE'RE WAITING ON AN ELECTION.

[02:50:01]

BUT YOU COULD DO THE WORK BECAUSE I THINK PICKING SOMEONE FRANKLY IS GOING TO BE INTERESTINGLY CHALLENGING.

JUST PICKING FOUR PEOPLE, AND YOU GUYS CAN'T TALK ABOUT IT BEFOREHAND, AND EVERYONE'S GOING TO, I GUESS, COME WITH THEIR LIST.

THAT TO ME IS JUST WOULD BE DIFFICULT.

BUT UNFORTUNATELY, THAT'S WHERE WE ARE BECAUSE FOUR PEOPLE RESIGN.

BUT WHAT IF YOU GUYS MET NEXT TIME AND DID YOUR PICKING AND THEN WAITED TO APPOINT THEM SO THAT YOU WERE READY AFTER THE ELECTION AND THE MEETING AFTER THE ELECTION, BECAUSE MY DATA SAYS WE'RE GOING TO HAVE ONE NEW CITY COUNCILOR.

THAT MAY BE IN A RUNOFF SEAT.

BUT WE COULD HAVE THESE FIVE PEOPLE.

BUT WE'LL SEE.

HAVE YOU GUYS DO THE WORK AND GET READY.

BE AT THE START LINE SO THAT IF THESE FIVE PEOPLE ARE HERE AFTER THE ELECTION, THEN YOU CAN IN THE NEXT MEETING SAY, HEY, WE ARE READY, LET'S GO.

THEN IF IT'S NOT, IF THERE'S A BIG SWAPPERU, THEN THEY CAN WAIT AND SEE WHAT HAPPENS.

BUT I WOULD SAY, DO THE HARD WORK, MAKE PROGRESS, GET READY, AND THEN YOU DON'T HAVE TO PULL THE TRIGGER TOO AFTER THE ELECTION.

THEN WE'RE READY, WE'RE NOT WASTING TIME.

>> LET ME ASK CITY SECRETARY.

I CAN'T SEE HER AROUND THE MARVEL, BUT I'M ASSUMING SHE'S THERE.

WHAT IF WE VOTED APRIL 22ND TO PLACE PERMANENT BOARD MEMBERS? YOU NOTICE THOSE INDIVIDUALS, YOU GET CONFIRMATION BACK, THEY'RE WILLING TO SERVE.

YOU GET THEM THROUGH THEIR OPEN MEETINGS ACT HANDBOOK, THINGS LIKE THAT.

HOW LONG DOES THAT NORMALLY TAKE BEFORE THEY GO TO ATTEND THEIR FIRST MEETING?

>> IF WE WERE TO APPOINT THEM APRIL 22ND, MAYOR, THEY COULD JOIN THE MAY MEETING.

THEY HAVE TO COMPLETE THEIR OPEN MEETINGS ACT TRAINING WITHIN, I BELIEVE IT'S 60 OR 90 DAYS OF TAKING OFFICE.

HERE'S A POTENTIAL COMPROMISE JUST FOLLOWING THE LEAD OF OUR BOARD CHAIR HERE.

WE PUT IT ON APRIL 22ND AS AN ACTION ITEM.

WE GO AHEAD AND BRING WHO WE'D LIKE TO PLACE AS THEIR PERMANENT BOARD.

WE COULD VOTE THAT THROUGH WITH THE CAVEAT OR THE CONSIDERATION THAT THOSE INDIVIDUALS DON'T GET TO THAT SEAT UNTIL THE MAY MEETING, AND YOU COULD PUSH THE MAY MEETING UNTIL AFTER, WHAT IS IT? MAY 10TH, THAT THE VOTES ARE CANVASSED OR 12TH?

>> MAY 13TH.

>> MAY 13TH. OR YOU GO AHEAD AND YOU HAVE YOUR MEETING EARLY MAY, KNOWING THAT THAT IS GOING TO BE THE TEMPORARY BOARD'S MEETING STILL REGARDLESS OF WHO IS PLACED, AND THAT NEW BOARD DOESN'T START UNTIL JUNE.

BUT THEN YOU'RE TAKING ACTION WITH SEARCH FIRM, WHICH IS REALLY WHAT I'M PUSHING FOR HERE.

I KNOW WE'RE TALKING ABOUT ELECTION AND THINGS LIKE THAT, BUT THAT'S NOT THE GOAL.

THE GOAL HERE IS TO GET A SEARCH FIRM HIRED THAT CAN GO OUT THERE AND START ATTRACTING THESE AT THE POTENTIAL BEST HIRING SEASON RIGHT NOW.

THERE'S A TON OF VOLATILITY.

EVERYTHING'S CHANGING, AND I DON'T WANT TO BE BEHIND WHEN YOU GUYS ARE AT THE STARTING LINE WITH EVERYTHING THAT'S GOING ON WITH TARIFFS AND TRADE AND ALL THE MANY DIFFERENT CONDITIONS THAT WE'RE SEEING IN THE MARKET.

COUNCILMAN SIMPSON, IN AN EFFORT TO TRY TO WORK ALONGSIDE YOU, WHAT DO YOU THINK ABOUT THAT POTENTIAL?

>> WELL, THE SCENARIO THAT YOU MENTIONED ABOUT, WELL, THIS COUNCIL COULD HAVE REPLACE A BOARD AND THE NEXT ONE CAN COME OUT AND I REALLY DON'T THINK THAT'S A HEALTHY THING TO BE THINKING THROUGH.

JUST AS WE TRY TO MOVE FORWARD AND THEN WHATEVER HAPPENS AND A GROUP WANTS TO CHANGE IT, I DON'T THINK WE NEED TO BE SETTING THE PRECEDENT WHERE EVERY TWO YEARS A NEW COUNCIL COMES IN AND SAYS, WELL, IT'S TIME TO CHANGE THE AEDC.

I WOULD JUST SAY THIS.

I WOULD NOT MIND HAVING A DISCUSSION AT LOOKING AT THIS LIST OF PEOPLE THAT WE WANT TO NARROW DOWN, BUT I WOULD NOT BE IN FAVOR OF AN ACTION ITEM UNTIL AFTER THE ELECTION.

I WOULD BE GLAD TO HAVE A DISCUSSION AND LET EVERYBODY TALK ABOUT THOSE THAT, AS I SAID BEFORE, I PROBABLY TRY TO TALK TO ABOUT DOZEN OR SO OF THOSE ON THERE.

IF SOMEONE ELSE WANTS TO PRESENT SOMEONE THAT I HAVEN'T TALKED TO, I'VE ALWAYS SAID, I WANT TO MAKE SURE THAT I'M TALKING TO WHOEVER WE MAY BE CONSIDERED, AND SINCE WE DON'T KNOW THE NAMES AND HAVEN'T KNOWN THE NAMES.

BUT I DON'T MIND DISCUSSING IT AT THE 22ND.

I THINK THAT WOULD BE A GOOD DISCUSSION FOR US TO HAVE, BUT I WOULD NOT WANT TO HAVE AN ACTION ITEM UNTIL THE VOTERS HAVE A CHANCE TO HAVE THEIR SAY.

>> VERY WELL. ANY OTHER DISCUSSION FROM YOU GUYS? I'M GOING TO DO WHAT I FEEL I'M HEARING COUNCIL TELL ME AND WHAT I THINK IS IN THE BEST INTEREST OF THE ENTITY.

I AM GOING TO MOVE FORWARD WITH APRIL 22 ACTION ITEM BECAUSE I DON'T THINK IT'S HEALTHY TO HAVE JUST ANOTHER DISCUSSION THAT DOESN'T GO ANYWHERE.

THE ONLY REASON I PUT THIS ON HERE TODAY WAS IN ONE LAST ATTEMPT TO TRY TO TAKE ACTION ON THIS BECAUSE I KNOW IT TO BE THE RIGHT THING TO DO.

I WOULD ASK STAFF TO GO AHEAD AND PUT THAT ON,

[02:55:02]

AND WE WILL HEAR THE DISCUSSIONS AT THAT TIME.

WE'LL SEE WHAT HAPPENS, BUT THAT WOULD BE MY REQUEST.

MR. FAIRLEY, I APPRECIATE YOU BEING HERE, SIR.

>> YES, SIR. THANK YOU GUYS.

>> THANK YOU. WE'RE GOING TO MOVE BACK TO 8C, NURSE NAVIGATOR.

[8.C. Nurse Navigation program update]

ALL I HAVE IS AMR SO WHOEVER WOULD LIKE TO PRESENT, PLEASE COME FORWARD AND WALK US INTO THIS ITEM.

>> GOOD EVENING, MAYOR.

>> AFTERNOON, SIR.

>> COUNCIL MEMBERS. I'M WILL HENDON, REGIONAL DIRECTOR FOR GLOBAL MEDICAL RESPONSE, WHICH IS THE PARENT COMPANY OF AMERICAN MEDICAL RESPONSE THAT OPERATES HERE IN YOUR COMMUNITY, IS AMARILLO MEDICAL SERVICES.

VERY BRIEFLY, WE PROBABLY WON'T BE HERE LONG, IN ABOUT 2-3 MINUTES, MAYBE FIVE.

BUT WE'LL GO OVER THESE STATISTICS AND GIVE YOU GUYS AN OPPORTUNITY TO ASK ANY QUESTIONS YOU MAY HAVE.

AS WE STARTED NURSE NAVIGATION, WHICH IS A BRANCH PROGRAM OFF OF YOUR 911 SERVICE OPERATING DIRECTLY OUT OF THE COM CENTER.

GIVEN OUR COMMUNITY AN OPPORTUNITY TO RECEIVE THE APPROPRIATE CARE THROUGH APPROPRIATE RESOURCE ALLOCATION IS PUTTING IT BLUNTLY.

YOU HAVE REALLY THOSE FIVE STRATEGIC POINTS THAT ARE UNDERNEATH THE COMMUNITY BENEFITS, REDUCING UNNECESSARY FIRE AND EMS RESPONSE, WHICH REALLY, FOR US STRATEGICALLY IS EVERYTHING WE'RE TRYING TO ACCOMPLISH.

WE'RE TRYING TO MAINTAIN AN AT READY STATE AT ALL TIMES FROM A PUBLIC SAFETY STANDPOINT.

NUMBER 2, REDUCE THOSE UNNECESSARY EMERGENCY DEPARTMENT COSTS FOR THE CALLERS.

ALLEVIATE SOME OF THE OVERCROWDING THAT OCCURS IN THE EMERGENCY DEPARTMENTS AT BOTH HOSPITALS.

WE'RE GOING TO APPROVE ON AMBULANCE AVAILABILITY, WHICH I'VE COVERED.

THEN OBVIOUSLY FINDING THOSE APPROPRIATE RESOURCES, AGAIN, THE APPROPRIATE RESOURCE CLINICAL ALLOCATION FOR THE CALLER.

YOU CAN SEE ON THE SIDE OVER THERE WHO THE REFERRAL DESTINATIONS ARE.

THIS WAS A PRETTY BIG STRATEGIC COLLABORATION AMONGST ALL THE STAKEHOLDERS IN THE COMMUNITY TO ARRIVE AT.

WHO WOULD BE THOSE ALTERNATE DESTINATIONS FOR TRANSPORT? WHO WOULD BE THE REFERRAL SITES IN THE EVENT THAT WE'RE NOT GOING TO ACTIVATE AN AMBULANCE TO GO TO THIS PERSON'S SPECIFIC ADDRESS? WE DID HAD 9,209 EMS 911 CALLS THAT WENT THROUGH OUR SYSTEM IN THE LAST 90 DAYS, WHICH IS ON PACE FOR PRETTY MUCH WHAT WE'VE DONE FOR THE LAST CLOSE TO 10 YEARS.

WE'RE ABOUT 40,000 RESPONSES.

411, 4.4% TRANSFERRED OVER TO THE NURSE NAVIGATION HOTLINE.

>> OUT OF THOSE, WE HAD 411 NURSE NAVIGATION CALLS.

THE 157 OF THOSE CALLS WERE NAVIGATED OUT OF THE ACTUAL EMS SYSTEM, SO AN AMBULANCE WAS NOT SENT TO THAT LOCATION.

EIGHTY-SEVEN OF THOSE 21% WERE TREATED FROM THEIR HOMES, 77 WERE TREATED WITH SELF-CARE, 10% WITH SOME VIRTUAL CARE, TELEMEDICINE, SOMETHING LIKE THAT.

THEN 70 OF THOSE CALLS, 5% WERE DIRECTED TO COMMUNITY CARE RESOURCES SUCH AS AN URGENT CARE OR PROVIDED SOME LIFT OR UBER TO BE ABLE TO VISIT THOSE LOCATIONS.

THE AVOIDED ED VISIT IS WORTH ABOUT $2,250.

THE COMMUNITY NET BENEFIT RIGHT NOW TO THE CITY OF AMARILLO IS $58,725.

KOHLER SATISFACTION, 67% DIDN'T REALLY KNOW WHERE ELSE TO GET CARE.

OBVIOUSLY, THE EDUCATION IS ALWAYS AN ISSUE OF GETTING THIS STUFF OUT TO THE GENERAL PUBLIC.

CHANGE IS ALWAYS DIFFICULT, IRRESPECTIVE OF WHAT LEVEL.

25% PERCEIVED IT WAS A LIFE-THREATENING EMERGENCY, AND 8% HAD NO OTHER OPTION AS FAR AS TRANSPORTATION.

OF COURSE, WE ALWAYS DEFAULT TO WHAT THE CALLER NEEDS OR IF THERE'S A PROVIDER ON SCENE, SUCH AS A PHYSICIAN.

THEY SAY THAT THEY NEED AN AMBULANCE, THERE'S NO QUESTIONING THAT. WE SHOW UP TO THE SCENE.

WE SCORED 4.7 OUT OF FIVE, 100% OF THE FOLKS THAT ENGAGED IN NURSE NAVIGATION.

ACTUALLY, WE SURVEYED THEM, BUT ONLY 20% ACTUALLY ANSWERED US.

THAT BRINGS US TO THE CONCLUSION OF THE ITEMS I HAVE FOR DISCUSSION AND CERTAINLY ANSWER ANY QUESTIONS YOU HAVE.

>> COUNCILMAN KRAFT, YOU GET ANYTHING?

>> NO, I APPRECIATE THE DATE, SIR, AND THIS IS ONLY A COUPLE OF MONTHS WORTH OF DATA SINCE IT ROLLED OUT PRIOR.

>> YEAH, RIGHT OUT 90 DAYS. YES, SIR.

>> PERFECT. WELL, WE APPRECIATE IT.

THANK YOU FOR ALL YOU GUYS ARE DOING.

>> YES, SIR. THANK YOU GUYS FOR THE OPPORTUNITY.

>> COUNCILMAN TIPS, DID YOU HAVE ANYTHING? HEY, THANK YOU FOR THE PRESENTATION, AND WE LOOK FORWARD TO GETTING YOU BACK TO CONTINUE TO WALK US OUT ON HOW THIS IS HELPING.

>> OH, CALL MANY TIMES I LIVE HERE.

>> REALLY GOOD. THANK YOU SIR.

>> MY PLEASURE.

>> APPRECIATE IT. MOVING ON TO ITEM 8D.

[8.D. Traffic update - 45th and Soncy]

WE HAVE A TRAFFIC UPDATE ON 45TH AND SONCY.

MR. HARDER, IS THIS YOU?

>> YES, SIR. IF IT'S NOT, THIS IS AWKWARD.

>> YOU ARE ALAN HARDER THOUGH?

>> YES SIR. I APPRECIATE THAT. THANK YOU, MAYOR AND COUNCIL.

I'M HERE TO GIVE YOU TODAY A TRAFFIC UPDATE REGARDING THE SIGNALIZED INTERSECTION AT 45TH AND SONCY.

[03:00:04]

BEFORE I GET STARTED ON THIS, I JUST WANT YOU INTRODUCED.

WE HAVE OUR TRAFFIC ENGINEERING CONSULTANT, HARON FERNANDO, WORKS FOR KIMLEY-HORN, IS HERE WITH US JOINING US TODAY.

HIS FIRM IS THE ONE THAT PERFORMED THE EVALUATION. I'M GOING TO TALK ABOUT.

I'M GOING TO GIVE A SUMMARY OF THIS INTERSECTION.

I'M GOING TO GO OVER THE ENGINEERING EVALUATION THAT WAS PERFORMED.

RECOMMENDATIONS THAT WE RECEIVED FROM OUR CONSULTANT AND NEXT STEPS.

AS YOU ALL KNOW, I PROVIDED A PRESENTATION ON MARCH 11, JUST GOING OVER THE YELLOW CHANGE INTERVAL, RED CLEARANCE INTERVAL FOR SIGNALIZED INTERSECTIONS, HOW THE CITY OF AMARILLO CALCULATES THOSE ACCORDING TO THE MANUAL ON UNIFORM TRAFFIC CONTROL DEVICES, WHICH WE COMMONLY REFER TO AS THE MUTCD.

STAFF WAS ASKED TO EVALUATE THE TIMING AT THE 45TH AND SONCY INTERSECTION SPECIFICALLY.

WE ENGAGED A TRAFFIC ENGINEERING CONSULTANT, KIMLEY-HORN, TO GIVE US AN INDEPENDENT EVALUATION THAT'S SEPARATE FROM CITY STAFF TO LOOK AT THE DATA, TO LOOK AT THE FACTS THAT ARE THERE AND PROVIDE THEIR OWN OPINIONS AND RECOMMENDATIONS.

RECEIVED THAT EVALUATION LAST WEEK.

I'M HERE TODAY TO PRESENT THE RESULTS OF THAT.

THE EVALUATION, AS I MENTIONED, WAS THE YELLOW AND RED CLEARANCE INTERVALS AT THE INTERSECTION OF 45TH AND SONCY.

THEY EVALUATED EXISTING CONDITIONS, WHICH INCLUDED TRAFFIC VOLUME, CRASH HISTORY, INTERSECTION, GEOMETRY, MEANING HOW MANY LANES ARE THERE, HOW WIDE IS THE INTERSECTION? THEY PERFORMED A CRASH RATE ANALYSIS, WHICH I'LL DEFINE AND TALK ABOUT ON THE NEXT SLIDE.

LOOKED AT COORDINATED TIMING.

THAT WOULD BE WHERE YOU HAVE MULTIPLE SIGNALS IN A ROW.

SOMETIMES, IT'S BETTER TO TRY TO COORDINATE THOSE SO THAT THEY CHANGE SEQUENTIALLY.

JUST ONE THING TO POINT OUT ON THAT, BEFORE WE GET TO THE RECOMMENDATIONS, THE NEAREST SIGNALIZED INTERSECTIONS TO 45TH AND SONCY ARE ABOUT 0.6 MILES AWAY TO THE NORTH AND THEN 1 MILE AWAY TO THE SOUTH.

NOT VERY CLOSE TOGETHER, WHERE COORDINATED TIMING WOULDN'T NECESSARILY BE VERY EFFECTIVE.

CLEARANCE INTERVAL ANALYSIS.

THAT'S WHERE THEY ACTUALLY EVALUATE THE TIMING FOR THE YELLOW INTERVAL AND THE RED CLEARANCE INTERVAL, AND THEN THEIR ACTUAL RECOMMENDATIONS. CRASH RATE.

CRASH RATE DEFINITION IS INTERSECTION-RELATED CRASHES PER MILLION OF VEHICLES ENTERING AN INTERSECTION.

LOOKING BACK OVER THE PAST 3.5 YEARS, 45TH AND SONCY INTERSECTION HAS A CRASH RATE OF 0.06.

TO GIVE YOU AN IDEA OF WHAT THAT MEANS, IT MEANS FOR EVERY MILLION VEHICLES THAT ENTER THE INTERSECTION, THERE IS ABOUT 0.06 CRASHES.

AROUND 43,000 VEHICLES ENTER THAT INTERSECTION PER DAY.

PUT IT IN PERSPECTIVE, LOOKING AT DATA FROM TXDOT IN SOME OTHER STATES.

IT'S NOT UNCOMMON TO SEE CRASH RATES AS HIGH AS 0.4, 0.5.

THERE IS NO STANDARD GOAL, IDEALLY ZERO IS THE GOAL.

THERE IS NO SERINO THRESHOLD, BUT 0.06 IS A RELATIVELY LOW CRASH RATE WHEN COMPARED TO OTHER SIGNALIZED INTERSECTIONS.

THE CLEARANCE INTERVAL ANALYSIS, WHAT THEY FOUND, KIM HORN FOUND THAT THE CITY OF AMARILLO IS USING CALCULATIONS BASED ON THE TEXAS MUTCD LATEST ADDITION.

OUR CONSULTANT ANALYSIS UTILIZED GUIDELINES FROM AN INSTITUTE OF TRANSPORTATION ENGINEERS PUBLICATION THAT WAS DATED MARCH OF 2020, WHICH ACTUALLY USE A SLIGHTLY DIFFERENT EQUATION.

WHAT THEY FOUND WAS A RECOMMENDED DECREASE IN THE YELLOW CHANGE INTERVAL AND RED CLEARANCE INTERVAL FOR THROUGH LANES.

WHAT THAT MEANS IS THAT CURRENTLY, WITH THE CALCULATIONS THE CITY PERFORMS, OUR INTERVALS ARE ACTUALLY HIGHER THAN WHAT THE CONSULTANT WOULD RECOMMEND.

WE'RE PROVIDING MORE TIME FOR TRAFFIC TO GO THROUGH THE INTERSECTION ON THE THROUGHS.

HOWEVER, THEY'RE RECOMMENDING AN INCREASE IN THE CHANGE INTERVAL AND THE RED CLEARANCE INTERVAL FOR LEFT TURN RENT LANES.

THE REASON FOR THAT DIFFERENCE IS THAT THE NEWER STANDARDS THAT THE CONSULTANT WAS USING OR THE NEWER GUIDELINES REALLY TAKE INTO ACCOUNT VERY SLOW TURNING SPEEDS FOR THAT LEFT-HAND TURN, WANT TO PROVIDE MORE TIME THERE FOR THAT.

THE RECOMMENDATIONS WERE TO MODIFY SIGNAL TIMING PARAMETERS TO REFLECT LATEST INDUSTRY GUIDANCE.

AGAIN, I WANT TO POINT OUT, EVEN THOUGH THERE ARE NEWER GUIDELINES AS OF 2020, THE CITY OF AMARILLO IS STILL USING THE LATEST EDITION OF THE MUTCD, AND SO IT'S NOT NECESSARILY THAT WHAT WE ARE USING IS OUTDATED.

IT'S JUST DIFFERENT FROM WHAT OUR CONSULTANT IS USING.

THEN THEY ASKED US TO EVALUATE THE BENEFIT OF TIMING SIGNALS ALONG SONCY ROAD TO IMPROVE COORDINATION AND REDUCE THE NEED TO STOP AND START.

WE HAD DISCUSSED THIS WITH THEM AFTER THEY SENT THIS IN, AND TRYING TO COORDINATE SIGNALS IS SOMETHING THAT OUR TRAFFIC DEPARTMENT DOES IN MANY LOCATIONS.

SOMETIMES SOMEWHAT EFFECTIVELY, DOWNTOWN WOULD BE A GOOD EXAMPLE OF THAT, WHERE THERE AREN'T A LOT OF DRIVEWAYS COMING INTO THE ROAD.

YOU CAN TIME WHEN THE SIGNAL NEEDS TO CHANGE SO THAT VEHICLES CAN GO THROUGH IT.

IN A SITUATION LIKE ON SONCY, WHERE THE NEAREST INTERSECTION IS 0.6 MILES AWAY, THERE'S A LOT OF DRIVEWAYS.

THERE'S REALLY NOT A GOOD WAY TO TIME THAT.

VEHICLE SPACE OUT, THEY SLOW DOWN.

YOU CAN'T REALLY TIME IT PERFECTLY.

ALSO, ANYTIME THAT YOU TRY TO TIME SIGNALS IN ONE DIRECTION, THERE ARE COMPROMISES THAT HAVE TO BE MADE.

THAT CREATES CONFLICTS IN THE OTHER DIRECTION.

SOMETHING WE HAVE LOOKED AT ARE DEFINITELY OPEN TO,

[03:05:01]

BUT OUR CONSULTANT EVEN ACKNOWLEDGED IN THEIR REPORT, MAY NOT BE POSSIBLE JUST BASED ON THE SEPARATION OF THE INTERSECTIONS THERE.

NEXT STEPS FOR US AS SONCY IS TXDOT RIGHT AWAY, ANY CHANGES THAT WE WOULD PROPOSE TO MAKE THERE NEED TO BE REVIEWED AND APPROVED BY OUR PARTNERS AT TXDOT.

THAT'S THE PROPOSED NEXT STEPS THAT WE ACTUALLY SIT DOWN WITH THEM, LOOK AT THESE PROPOSED CHANGES AND JUST DETERMINE, IS THIS IN THE BEST INTEREST OF THE PUBLIC? IS THIS SOMETHING THAT THE STATE WOULD BE WILLING TO APPROVE? WITH THAT, I'LL ASK IF YOU HAVE ANY QUESTIONS.

>> COUNCILMAN. THANK YOU FOR THE STUDY.

THANK YOU FOR REACHING OUT ON THAT.

EVEN THE LEFT HAND OR LEFT TURNING LANE.

THAT WOULD GO BACK TO TXDOT THAT RECOMMENDATION?

>> YES. ANY RECOMMENDATION FOR A CHANGE THERE, WE WOULD NEED TO REVIEW WITH TXDOT AND SEEK THEIR APPROVAL SINCE IS THEIR RIGHT AWAY.

>> HOW MUCH WOULD YOU REDUCE THE GAP OR THE TIME ACROSS THE INTERSECTION BY? WHAT WAS THAT?

>> THE SPECIFIC NUMBERS IN A TABLE, GENERALLY ON THE LEFT TURNS, YOU'D BE, AND I APOLOGIZE, THAT THE LEFT TURNS WOULD BE INCREASING OVERALL ABOUT 1.5 SECONDS.

THAT'S FOR THE COMBINED YELLOW AND RED.

THE REDUCTION WOULD BE ON THE THROUGH LANE, SO WHERE WE'RE OVERLY CONSERVATIVE WOULD BE A REDUCTION OF ABOUT A HALF-SECOND.

>> COUNSEL, YOU WANT TO DO NOTHING, OR YOU WANT TO GO AHEAD AND HAVE HIM SEND IT TO TXDOT?

>> WHAT IS THAT? YOU SAID THAT THE, I DON'T KNOW WHAT THE RATE WAS.

THE CRASH RATE ANALYSIS WAS 0.06.

IS THERE ANY WAY TO COMPARE THAT AT ALL? BECAUSE YOU SAID THERE IS NO STANDARD.

ULTIMATELY, WE'D WANT ZERO, BUT IS 0.06, IS THAT EXTREMELY LOW?

>> IT IS RELATIVELY LOW. LOOKING AT OTHER INTERSECTIONS ACROSS THE CITY, I MENTIONED DURING THE LAST PRESENTATION, WE LOOK AT CRASH RATES EVERY YEAR, AND THE 10 HIGHEST INTERSECTIONS.

WE GO AND EVALUATE THOSE TIMES.

MAKE SURE NOTHING'S CHANGED THAT WE NEED TO EVALUATE.

SOME OF THE OTHER INTERSECTIONS WE SAW WERE AROUND THE 0.3-0.4 RANGE.

THIS IS RELATIVELY LOW COMPARED TO OTHER INTERSECTIONS.

>> IT'S EXTREMELY LOW, NOT TOP 10, PROBABLY NOT TOP 20.

>> THAT'S RIGHT.

>> I'D LIKE TO KNO, W OUT OF THAT 0.06, WHAT'S THE FATALITY? YOU LOOK AT 0.06, BUT THERE'S A LOT OF PEOPLE KILLED AT THAT INTERSECTION.

>> ABSOLUTELY. IN THE TIME PERIOD ANALYZED, THERE WAS ONE FATAL ACCIDENT THERE THAT RESULTED IN TWO FATALITIES.

>> BUT THERE'S BEEN HOW MANY IN THE LAST YEAR? YOUR 0.06 TELLS ME THERE'S NOT MANY, BUT THE ONES WE'RE HAVING ARE CRITICAL. THEY'RE KILLING PEOPLE.

>> THAT'S RIGHT. THERE WAS ONE INCIDENT IN THAT INTERSECTION LAST SUMMER THAT RESULTED IN TWO FATALITIES IN ONE INCIDENT.

DONNY, CORRECT ME IF I'M WRONG, YOU PRESENTED ON THIS LAST TIME.

>> THAT WAS THE ONE THAT WAS THERE.

THERE WAS ANOTHER ONE AT A DIFFERENT SIGNAL ON SONCY AS WELL THAT HAD A FATAL.

>> IN YOUR OPINION, I'M SORRY.

>> IS OUR SPEED TOO HIGH ALL THE WAY ON SONCY? WE CUT BACK TO SPEED ON THE NORTH END MAYBE WE NEED TO CUT SPEED BACK ON THE SOUTH END?

>> WELL, THE ACCIDENT THAT OCCURRED AT THAT INTERSECTION THAT HAD THE TWO FATALITIES IN IT WAS RELATED TO EXTREME HIGH SPEED AND DISREGARDING OF A RED LIGHT.

IT WAS A PRETTY BAD ACCIDENT THAT OCCURRED THERE.

NOW THE ONE AT LEGENDS.

I DON'T REMEMBER ALL THE DETAILS ON THAT, BUT SOMETIMES, ONE OF THE OTHER THINGS THAT WE EVALUATE, AND I KNOW THAT OUR CONSULTANT WILL BE GLAD TO COME UP AND TALK ABOUT SOME OF THE STUFF.

THIS IS WHAT HE DOES EVERY DAY, BUT YOU CAN'T KEEP PEOPLE FROM SPEEDING WHEN YOU CHANGE THE SPEED LIMIT SIGNS.

I WISH THAT WE COULD.

BUT UNFORTUNATELY, THAT ACCIDENT THAT OCCURRED WITH THE TWO FATALITIES WAS RELATED TO THAT.

>> BUT IF WE CHANGE THE SPEED LIMIT AND THEN SEND POLICE OUT TO ENFORCE IT, IT'LL SLOW IT DOWN.

>> THEY ARE ENFORCING IT, JUST AS CHIEF JOHNSON HAD REPORTED A COUPLE OF MEETINGS AGO AS WELL.

BUT I JUST DON'T KNOW THAT YOU'RE EVER GOING TO BE ABLE TO, LIKE YOU SAID, THAT CRASH FACTOR THAT HE'S LOOKING AT WE WOULD LOVE IT TO BE ZERO.

THAT'S WHAT WE WOULD LOVE FOR IT TO BE.

WE DO EVERYTHING THAT WE CAN AS FAR AS OUR ABILITIES ARE CONCERNED TO MAKE IT THAT.

IT'S THE HUMAN DECISIONS THAT ARE CAUSING THAT NUMBER TO GO UP.

>> DO WE KNOW HOW MANY OF THE 0.06 OR HOSPITALIZATION OR HOW MANY PEOPLE ARE INJURED?

>> THERE WERE THREE INCIDENTS THAT RESULTED IN INJURIES DURING THAT JUST OVER THREE-YEAR PERIOD.

IT WAS THREE ACCIDENTS THAT RESULTED IN INJURIES.

I SAY INJURIES, ONE OF THOSE BEING THE WRECK THAT WAS FATAL.

>> I WOULD SAY. WHEN WE LOOK AT THE STATISTICS, WHEN YOU LOOK AT MY OFFICES RIGHT THERE AT 34TH AND WESTERN, IT'S A CRAZY ONE.

>> YES SIR.

IF WE LOOK AT INJURIES THERE, THEY'RE WAY HIGHER THAN WHAT THEY ARE AT THIS ONE.

I WOULD SAY THAT THE REASON FOR IT IS SPEED, TO YOUR POINT, REGARDLESS OF WHETHER WE REDUCED THE SPEED LIMIT OR NOT.

[03:10:01]

I THINK ONE FACTOR IS WE'VE GOT A MILE BETWEEN WHAT YOU SAY A HILLSIDE AND SONCY OR HILLSIDE AND 45TH.

WE CAN MAKE SPEED LIMIT 30, BUT THAT'S NOT GOING TO CHANGE THOSE FATALITIES THAT HAPPENED.

THAT GUY WAS GOING THAT FAST BECAUSE HE WAS GOING THAT FAST.

HE IS RECKLESS.

SPEED LIMIT DIDN'T MATTER.

I WOULD SAY, IF WE PATROL OR WE DO WHATEVER, THERE'S MANY OTHER INTERSECTIONS.

I WOULD LIKE THEM ALL TO BE ZERO.

BUT THERE'S MANY OTHER INTERSECTIONS THAT I THINK THAT IT WOULD BE A BETTER USE OF RESOURCES TO SAY, HEY, POST THEM THERE BECAUSE WE'RE RUNNING RED LIGHTS, WE'RE SPEEDING, WE'RE DOING THIS.

THIS IS NOT THE ONE THAT WE WOULD DO.

IN MY OPINION BASED ON THE FACTS THAT WE HAVE HERE, THERE'S MANY MORE THAT SPEED AND RUNNING THE RED LIGHTS AND DOING ALL THAT ARE WAY WORSE THAN THIS ONE.

>> YES, SIR. THE INSTANCES THAT YOU MENTIONED, COUNSELMAN SHERMAN THAT YOU ASKED ABOUT THE OTHER INJURIES.

THE ONE THAT WAS FATALITY, THE RESULT OF THAT WAS FAILURE TO CONTROL SPEED OR I SHOULD SAY THE CAUSE.

THE OTHER TWO THAT RESULTED IN INJURIES WERE INFLUENCE OF ALCOHOL IN BOTH CIRCUMSTANCES.

>> YOU LOOKED AT THAT ONE INTERSECTION, DID WE LOOK AT COMPARISON, FOR INSTANCE, 34TH IN WEST?

>> NO, SIR. WE REALLY FOCUSED ON THIS ONE INTERSECTION SINCE THAT'S WHERE THE COMPLAINT WAS ABOUT.

>> BECAUSE TO GET US AN OVERALL PICTURE, I THINK WE NEEDED TO RUN THE AVERAGE OF WHAT WE'RE DOING CITYWIDE.

NOW, I DON'T SAY WE NEED TO RUN; YOU CAN PICK AND CHOOSE WHERE YOU WANT AND WHAT NEIGHBORHOOD.

>> COUNCILMAN, I THINK RELATED TO ACCIDENTS AND RELATED TO INJURIES, FATALITIES, THINGS LIKE THAT.

WE HAVE THAT DATA.

AS FAR AS INTERSECTION CRASHES, IF THAT'S WHAT YOU'RE TALKING ABOUT.

>> I WOULD LIKE TO SEE THAT PLEASE.

>> I THINK THE PRESENTATION WE GAVE ON THAT- I THINK THAT WAS THE ONE THAT YOU WERE NOT AT, AND I CAN CERTAINLY SHARE THAT WITH YOU AND GIVE YOU ALL OF THAT DATA IN PERSON IF YOU WOULD LIKE.

>> I WOULD APPRECIATE IT.

>> ABSOLUTELY.

>> JUST TO ANSWER YOUR QUESTION. I WOULDN'T BE OPPOSED TO GIVING AT THE TXDOT.

>> COUNCILMAN SIMPSON, DO YOU HAVE ANYTHING?

>> I THINK WITH THREE FATALITIES AND IT BEING TXDOT ROADWAY WHERE WE HAVE THAT PARTNER.

BEFORE WE GO AND WE DO A FULL STUDY ON MULTIPLE INTERSECTIONS AND LOOKING AT OTHER RESOURCES THAT WE WOULD EXPEND.

MAYBE YOU BRING THAT PARTNER TO THE TABLE AND SEE WHAT THEY THINK. WHO KNOWS? MAYBE THEY HAVE OTHER INTERSECTIONS THAT THEY'D LIKE TO LOOK AT AT THE SAME TIME, AND WE COULD COLLABORATE WITH THEM ON JUST TXDOT INTERSECTIONS THAT ARE INSIDE CITY LIMITS START THERE.

>> ALAN, IF YOU DON'T MIND INTERRUPTING YOU TO, I MIGHT MENTION TOO, AND I THINK WE DON'T DO A GOOD JOB OF EXPLAINING WHAT OUR TRAFFIC ENGINEERING DEPARTMENT DOES.

MAYBE THAT'S SOMETHING THAT WE NEED TO LET YOU KNOW DURING THE BUDGET PROCESS OF HOW MANY OF THESE INTERSECTIONS WE STUDY EACH AND EVERY YEAR.

HOW MANY OF THE CORRIDORS WE STUDY AS FAR AS TRANSITION TIMING? THAT'S WHAT THEY DO ALL DAY LONG.

IT'S NOT LIKE WE SAT AND WAIT FOR SOMETHING TO COME UP, AND I SAY, WELL, WE NEED TO GO STUDY THAT.

WE'RE PRETTY MUCH KEEPING AN EYE ON THE MAIN CORRIDORS YEAR-ROUND.

I THINK DURING BUDGET, WE NEED TO PROBABLY REMEMBER THAT SO WE CAN GIVE YOU A BETTER IDEA OF THE THINGS THAT WE'RE DOING ON A REGULAR BASIS.

>> WE'VE GOT A CITIZEN HERE THAT BROUGHT THIS TO US.

IN THAT STUDY, IF YOU HAVE THAT DATA, THAT MATERIAL, I THINK IF WE CAN POST THAT, WE CAN SHARE THAT, NOT NECESSARILY JUST BRINGING IT TO COUNSEL AND BUDGET.

I THINK IF WE HAVE SOME GOOD STATISTICS THAT WE'D LIKE TO SHARE, IF WE CAN PRESENT THAT IN A WAY, I WOULDN'T BE A POST OF THAT, EITHER.

BUT I THINK THE DIRECTION HERE WOULD BE TO TXDOT AND SEE WHAT THEIR LEAD WOULD BE.

>> APPRECIATE THAT.

>> THANK YOU, GUYS. ITEM 8E,

[8.E. Service center complex remodel]

MR. DANFORTH, YOU'RE FINALLY UP.

SERVICE CENTER COMPLEX REMODEL.

>> I THOUGHT YOU JUST REMODELED IT?

>> MAYOR, WE'VE BEEN DOING A LOT OF REMODELING OUT THERE.

I APPRECIATE YOU LETTING US BRING THIS TO YOU.

GRAYSON FELT IT WAS IMPORTANT TO GIVE YOU A REFRESHER, AND I AGREE WITH HIM WHOLEHEARTEDLY TAKING A LOOK AT THIS BECAUSE THIS IS TIED INTO SEVERAL DIFFERENT THINGS THAT CAUSED US TO NEED TO DO THIS.

THE PURPOSE FOR THE REMODEL IS TO PROVIDE A MORE EFFICIENT, MODERN, COMFORTABLE SPACE FOR THE WATER DISTRIBUTION DEPARTMENT AS WELL AS WASTEWATER COLLECTION.

KEEP IN MIND THAT THE BUILDING THAT WE'RE GOING TO BE TALKING ABOUT IS 85,000 SQUARE FEET.

IT'S THE BIG DOG THAT'S OUT THERE AT THE SERVICE CENTER.

RELOCATION OF THE DRAINAGE DEPARTMENT TO THE FORMER WATER WASTEWATER DISTRIBUTION COLLECTION OFFICES.

WE'RE GOING TO RECAPTURE THAT SPACE AND MOVE A DEPARTMENT INTO THAT.

THE PROJECT ALIGNS WITH THE RECOMMENDATIONS ON THE SPACE STUDY THAT WAS DONE BY GUERNSEY BACK IN 2020, AND THIS IS BASICALLY THE FOURTH LEG ON THE STOOL OF THAT WHOLE SPACE STUDY AND INCREASING

[03:15:01]

THE EFFICIENCY OF THOSE DEPARTMENTS THAT OPERATE OUT OF THE SERVICE CENTER.

THE GOAL IS TO ENSURE ALL DEPARTMENTS HAVE ADEQUATE SPACE FOR CURRENT AND FUTURE NEEDS.

THAT'S THE REASON I BRING UP THAT 85,000 SQUARE FEET.

IN THAT BUILDING, AS WE GO FORWARD, UNDERSTAND THAT A LOT OF THAT IS THE STAGING, AS DONNY REFERENCED BACK WHEN WE WERE TALKING ABOUT SNOW REMOVAL.

THE STREETS DEPARTMENTS ABLE TO STAGE AND PREP FOR THAT.

THE WATER DEPARTMENT STAGE IS INSIDE THAT BUILDING AND PREPS FOR IT, RELOADING, WORKING, AND MAINTAINING INVENTORY ALL TAKE PLACE IN THAT STRUCTURE THAT WE CURRENTLY UTILIZE NOW THAT WE DIDN'T HAVE AVAILABLE TO US TWO YEARS AGO.

THE CURRENT CONDITION OF THE OFFICES OVER THERE.

THE MECHANICAL ELECTRICAL PLUMBING IS ALL OBSOLETE, AND YOU'LL SEE SOME PHOTOS HERE IN A LITTLE BIT.

IT NO LONGER MEETS CURRENT ENERGY STANDARDS AS WELL AS THE AREA IS HOT.

IT DOES REQUIRE ASBESTOS ABATEMENT WITHIN THAT FACILITY.

WE HAVE ASBESTOS IN THE FLOOR, IN THE CEILING, AND ACTUALLY IN THE DRY WALL INSIDE THE STRUCTURE.

THE RESTROOMS DO NOT COMPLY WITH ADA STANDARDS.

THE ENTRANCE DOES NOT COMPLY WITH ADA STANDARDS, AND THE CURRENT CONDITION OF THE OFFICE IS OUTDATED AND REQUIRES RENOVATIONS.

AS WE GO THROUGH THESE SLIDES, I'LL HIGHLIGHT SOME OF THESE.

WHEN WE DID THE CONCRETE ON THE EXTERIOR OF THE BUILDING, YOU'LL NOTICE THAT WE LEFT OUT THIS AREA KNOWING THAT THIS WAS COMING.

THERE WAS NO REASON FOR US TO GO UP TO THE BUILDING KNOWING THAT THAT RAMP ON THE EXTERIOR OF THE BUILDING DID NOT MEET ANY ADA STANDARDS OR ANY ACCESSIBILITY STANDARDS THAT WE CURRENTLY FALL UNDER.

THIS IS AN OVERHEAD LOOK.

A LOT OF THIS CONSTRUCTION AND DESIGN ON THIS BUILDING WAS DONE IN SUCH A MANNER AS TO ENHANCE THE SAFETY AND OPERATIONS OF THAT FACILITY.

THE TALLER SECTION OF THE BUILDING ON THE RIGHT HAND SIDE IS WHERE THE TRAFFIC DEPARTMENT WORKS OUT OF, STREETS DEPARTMENTS OVER THERE.

THE LARGER SECTION OVER TO THE WEST WOULD BE WASTEWATER COLLECTION AND WATER.

ALL OF THE MOVEMENT OUT OF THAT BUILDING COMES IN THE FRONT SIDE AND EXITS OUT THE BACK.

WE NO LONGER TRY TO TAKE THAT TRAFFIC DOWN THROUGH THE NEIGHBORHOOD.

WE TAKE THAT TRAFFIC OUT THE BACK ONTO THE FRONTAGE ROAD AND THEN COME AROUND OUT OF THAT.

RIGHT TO THE FAR RIGHT OF THAT PICTURE OR MY RIGHT WOULD BE THE NEW FUEL ISLANDS THAT YOU GUYS CAME OUT FOR THE RIBBON CUTTING ON.

YOU CAN SEE THE WAY THAT WE'VE DESIGNED ALL OF THAT IS TO ELIMINATE AS MUCH CROSS CONNECTION ON TRAFFIC AS WE CAN BECAUSE ALL OF THIS IS POTENTIALLY HEAVY EQUIPMENT GOING THROUGH THAT AREA.

THIS IS THE CONDITION OF THE SOME OF THE MECHANICAL SYSTEMS IN THERE.

THIS WAS INSTALLED BACK IN THE EARLY '70S, DOESN'T MEET ANY CURRENT ENERGY STANDARDS.

WE CAN'T EVEN GET REPLACEMENT PARTS FOR THIS.

THE SAME IS THE CASE WITH THE HVAC.

WE PUT A NEW ROOF ON THAT BUILDING AT THE VERY BEGINNING OF THIS BECAUSE THAT BUILDING WAS LEAKING LIKE A SIEVE BACK IN THE DAY WHEN WE TOOK IT OVER.

WE ACTUALLY DID A FOAM ROOF ON THAT TO INCREASE THE ENERGY EFFICIENCY OF THAT BUILDING.

WE'VE GOT A EIGHT INCH THICK FOAM ROOF ON THE TOP OF THAT BUILDING RIGHT NOW.

THIS IS THE RESTROOM FACILITY.

IF YOU'LL NOTICE THE DIVIDER WALL, THE PROXIMITY TO THE SINKS AND THAT LOVELY SINK AREA THERE THAT, WE'VE GOT SOME STAFF THAT CANNOT FIT IN THERE TO WASH THEIR HANDS.

LET'S JUST PUT IT THAT WAY. THIS IS ANOTHER OF THE RESTROOM FACILITIES IN THERE.

OF COURSE, NONE OF THAT MEETS ADA.

THIS IS WHAT THAT SPACE LOOKS LIKE.

WE'RE LOOKING AT DEMOLITION OF THAT SPACE, ASBESTOS ABATEMENT, AND THEN NEW CONSTRUCTION.

THE NEED FOR THE CHANGE, THE DRAINAGE DEPARTMENT IS MOVING AS A RESULT OF THE LAND EXCHANGE WITH POTTER COUNTY, WHICH YOU GUYS VOTED ON THREE MEETINGS BACK.

THAT'S ON THE LINE AVENUE PROPERTY.

THAT DRAINAGE DEPARTMENT WILL MOVE INTO WATER AND WASTEWATERS AREA.

WATER AND WASTEWATER WILL MOVE INTO THIS BUILDING.

DRAINAGE DEPARTMENT REQUIRES ADDITIONAL OFFICE SPACE AND AN EXPANDED SHOP AREA.

THAT SPACE IS AVAILABLE, SO WE DON'T HAVE TO REMODEL ALL THAT.

WATER DISTRIBUTION AND WASTEWATER COLLECTION HAS OUTGROWN ITS CURRENT OFFICE SPACE.

RIGHT NOW, WE HAVE CUBICLES ON TOP OF CUBICLES BECAUSE THOSE ARE BIG DEPARTMENTS.

THERE'S JUST NOT ENOUGH SPACE IN THERE FOR THE STAFF.

ENHANCED WORKFLOW BY RELOCATING WATER DISTRIBUTION TO THE SAME BUILDING WHERE ALL THEIR EQUIPMENT IS AND EVERYTHING THAT THEY'RE WORKING OFF OF.

HERE'S THE PROPOSED LAYOUTS.

IT'S ACTUALLY A TWO STORY STRUCTURE.

WE HAVE THE FIRST STORY AND THE SECOND STORY THAT ALLOWS US TO GET THE ADDITIONAL OFFICE SPACE,

[03:20:03]

AND ALSO ALLOWS US FOR SOME POTENTIAL GROWTH WITHIN THAT AREA WITHOUT US HAVING TO COME BACK IN THE NEXT FIVE YEARS TO SAY, WE NEED TO DO MORE.

IT ALLOWS US TO UPGRADE THE RESTROOMS AND EVERYTHING IN THAT FACILITY TO BE ABLE TO ACCOMMODATE THE AMOUNT OF STAFF THAT WE'LL BE USING THIS.

THIS, WE COVERED THE RELOCATION TO THE NEWLY RENOVATED SPACE IS 7,700 SQUARE FEET OF OFFICE SPACE.

CURRENTLY, THEY OCCUPY AROUND 4,000 SQUARE FEET.

THE BENEFITS ONCE AGAIN IS IN IMPROVED WORK FLOW.

THE DRAINAGE DEPARTMENT IS MOVING INTO A BUILDING INTO THEIR SPACE, THEIR CURRENT SPACE RIGHT NOW AS FAR AS OFFICE SPACE IS AROUND 1,500 SQUARE FEET, SO YOU CAN SEE THEY'LL BE MOVING INTO AN AREA WHERE ONCE AGAIN, WE DON'T HAVE TO COME BACK AND TALK ABOUT EXPANSION.

CONCLUSION TO ALL THIS, AND CALL TO ACTION IS REALLY TO GET YOU UP TO SPEED ON THIS, ASK ME ANY QUESTIONS YOU'VE GOT WITH REGARDS TO THIS, AND THEN BRING THIS BACK AS AN ACTION ITEM FOR THE NEXT COUNCIL MEETING.

>> I ASKED THIS QUESTION, BUT I THINK IT'LL BE GOOD TO GET IN THE PUBLIC.

WHY DOES IT MAKE SENSE, JERRY? WHEN WE'VE GOT EXTRA SPACE HERE, WHY DOES IT MAKE SENSE TO RENOVATE THAT? CAN YOU EXPLAIN.

>> ABSOLUTELY. WHEN WE TALK ABOUT OPERATIONS, REALLY, WE'RE TALKING ABOUT STAFF THAT'S IN TRUCKS, HEAVY EQUIPMENT THAT'S IN TRUCKS.

WHEN WE'RE TALKING ABOUT OFFICE STAFF, THAT OFFICE STAFF IS STRICTLY TO SUPPORT THOSE GUYS IN THE TRUCKS DOING THE WORK.

THAT'S REALLY WHAT IT AMOUNTS TO.

AS FAR AS UTILITIES GO, YES, THEY'RE HERE IN THIS BUILDING ALREADY.

THE UTILITIES DEPARTMENT EXISTS ON THE FIRST FLOOR.

THEIR SUPPORT STAFF IS HERE IN THIS BUILDING.

WE'RE UTILIZING THIS BUILDING FOR IT.

BUT WHAT THAT IS, THAT'S BASICALLY WHEN YOU'RE LOOKING AT IT, YOU'RE LOOKING AT A CONSTRUCTION AND MAINTENANCE GROUP AND THEY NEED TO OPERATE TOGETHER.

>> ANY FURTHER QUESTIONS, COUNCIL?

>> WHAT WAS YOUR BUDGET, SIR?

>> EXCUSE ME?

>> WHAT WAS YOUR BUDGET?

>> ACTUALLY, WE'RE IN BUDGET.

ALL OF THE DEPARTMENTS THAT ARE INVOLVED IN THIS HAVE BEEN SAVING MONEY, EXPECTING THIS.

THIS WAS SOMETHING WE LOOK FORWARD AT.

WHEN IN 2020, WE VISITED WITH DEPARTMENT, SAID THIS IS OUR ESTIMATED NUMBERS GOING FORWARD.

THE MONEY'S COMING OUT OF WATER AND SEWER, MONEY'S COMING OUT OF STREETS.

ALL OF THEM COLLABORATIVELY COMING TOGETHER WITHIN THEIR OPERATIONS HAVE BEEN ABLE TO SAVE THIS IN THEIR ENI ACCOUNTS TO BE ABLE TO MOVE FORWARD WITH THIS.

>> YOU FOUND THE FUNDING IN EXISTING BUDGETED ITEMS.

>> EXACTLY.

>> WHAT WAS YOUR GUESS ON THIS TOTAL PROJECT COST?

>> INITIALLY, WE'VE GOT AN ESTIMATE FROM OUR CONTRACTOR.

I DON'T MIND SAYING THIS.

WHEN WE GOT OUR FIRST ESTIMATE ON THIS, HE CAME BACK AT US WITH $2.5 MILLION TO DO THIS PROJECT.

WE IMMEDIATELY SAID, WELL, THAT DON'T FIT WITHIN OUR BUDGET.

LET'S DO SOME VE. LET'S DO SOME VALUE ENGINEERING IN ESSENCE.

LET'S LOOK AT WHAT MODIFICATIONS WE CAN GET.

WHEN WE COME BACK TO YOU, WE'RE GOING TO BE TALKING ABOUT A MILLION AND NINE.

THAT GETS US WITHIN THAT BUDGET FOR THAT A CONSTRUCTION PROJECT.

>> THEN WHAT'S THE TURNAROUND TIME? HOW LONG BEFORE YOU WOULD START THAT?

>> THE MINUTE YOU GUYS GIVE US THE OKAY ON THIS, THIS IS ACTUALLY A BUY BOARD CONTRACTOR THAT GAVE US THE PRICING ON THAT, SO WE CAN EXECUTE THAT CONTRACT WITHIN A WEEK AFTER THAT AND HAVE HIM WORKING THAT WEEK.

THE CONTRACTOR IS PREPARED AND READY TO GO.

>> YOU SAID YOU GOT AN ABATEMENT TO DO?

>> YES. ASBESTOS ABATEMENT.

>> WHAT WAS THE BUDGETED AMOUNT FOR THAT LINE ITEM? DO YOU REMEMBER?

>> FOR THAT, WE'RE RIGHT AT 45,000.

BECAUSE WE'VE GOT A LOT OF DEMO THAT GOES WITH THE ABATEMENT, OBVIOUSLY WHEN YOU'RE TAKING IT OFF THE DRIVEWAY.

>> IF COUNCIL WAS WILLING TO LOOK AT IT, HOW MUCH VALUE ENGINEERING CAN YOU DO FROM THE 1.9? THAT'S STILL $246 A SQUARE FOOT?

>> BUT IF YOU TAKE INTO THE FACT THAT WE'RE DOING DEMOLITION AND ABATEMENT AND DOING ADA ACCESS, ACTUALLY, WE COME IN FOR NEW CONSTRUCTION NUMBERS BELOW 210.

>> EXISTING SHELLS STAY THE SAME, NOTHING EXTERIOR OR OTHER THAN ADA?

>> NO. WE HAVE SOME WORK THAT WILL HAVE TO TAKE PLACE ON THE FRONT SIDE JUST BECAUSE ADA AFFECTS IT.

>> A LARGE PART OF THE BUDGET OR NOT SO MUCH?

>> NOT SO LARGE.

>> I THINK FOR ME, I WOULD PROBABLY LOOK AT, I DEFINITELY THINK THAT WE ARE LOOKING AT NEEDS VERSUS WANTS.

I KNOW COUNCILMAN SHERLYN, HE'S NOT LISTENING TO ANY OF MY WANTS RIGHT NOW.

I DON'T BRING HIM A $1.9 MILLION BUDGET AT 240 BUCKS A FOOT.

[03:25:03]

BUT I'LL BRING HIM $100 A SQUARE FOOT BUDGET AT, I NEED THIS, AND THIS IS WHERE WE WOULD IMPROVE.

I THINK THAT IF YOU GUYS WALK THAT SAME ROAD WITH US, I THINK WE'RE AGREEABLE IN THAT.

BUT I THINK FOR ME, IT'S JUST LOOKING AT THAT AMOUNT OF SQUARE FOOTAGE.

I UNDERSTAND PROXIMITY IS IMPORTANT.

YOU NEED TO STAY OVER THERE.

BUT MY TENDENCY WOULD BE TO PUSH THIS OFF UNTIL WE GET THROUGH SOME OTHER CORE SERVICES, AND THEN COME BACK TO THIS.

IT IS NICE THAT YOU'RE NOT ASKING ME TO GO FIND IT IN THE BUDGET.

YOU'RE TELLING ME YOU FOUND IT.

>> LET ME REMIND YOU, THIS IS TIED TO THAT LAND SWAP WITH POTTER COUNTY.

WE'RE DOING THE ADDITIONAL BUILD WITH POTTER COUNTY.

THAT CONTRACT AT THE END OF JULY, WE'VE AGREED TO TURN THAT PROPERTY OVER TO POTTER COUNTY.

I DON'T HAVE A LOCATION TO MOVE DRAINAGE TO UNLESS I START ON THIS PROJECT NOW.

THE OTHER THING IS, AS I UNDERSTAND WHERE YOU'RE COMING FROM ON SQUARE FOOTAGE COSTS, JUST LIKE YOU AND I HAVE DISCUSSED IN THE PAST.

THIS IS A LITTLE BIT DIFFERENT BECAUSE WE'RE BUILDING COMMERCIAL RESTROOMS IN THIS FACILITY.

WE'RE ACTUALLY HAVING TO GO IN THERE AND REPLACE A BUNCH OF UNDERGROUND CAST IRON PIPE, WHICH MEANS WE'RE SAW CUT AND CONCRETE SLABS OUT AND REPLACING ALL OF THAT CAST IRON PIPE TO BUILD THOSE FACILITIES AS WELL.

>> WOULD YOU BE WILLING TO ENTERTAIN OR LOOK AT, LIKE, THE PIPE BURSTING ON THAT PROJECT?

>> WE ACTUALLY TALKED ABOUT EVEN POTENTIALLY DOING THAT IN HOUSE TO SEE IF THAT WAS FEASIBLE, BUT IT WAS NOT FEASIBLE WITH WHAT WE HAVE THERE IN THAT LOCATION.

WE DID A LOT OF VE ON THE FRONT SIDE OF THIS.

LIKE I SAID, WE CAME BACK WITH ALMOST WELL, OVER A HALF MILLION DOLLAR WORTH OF VES OFF WHAT IT WOULD HAVE JUST BEEN AS A STRAIGHT BID.

>> COUNCIL, YOU GUYS WILLING TO HEAR IT WHEN HE BRINGS IT BACK OR YOU WANT TO PUSH BACK ON THIS FOR JUST A MINUTE? THIS IS THE FIRST WE'VE HEARD OF A DEADLINE.

KEEP IN MIND, WE'RE NOT UNDER A DEADLINE LIKE YOU ARE, AND WE WANT TO BE ON THE SAME TEAM, BUT WE DIDN'T KNOW ABOUT IT.

IN PUSHING THIS THING FORWARD, I DON'T THINK THE TIMING NEEDS TO QUALIFY A NEED.

BUT IF IT'S CREATING A NEED, WHAT ARE OUR OTHER OPTIONS?

>> I DON'T HAVE A PLACE TO RELOCATE DRAINAGE, TOO.

LIKE I SAID, WE'VE BEEN DEALING WITH THIS LOOKING AT THE SCOPE SINCE THE BEGINNING WHEN GUERNSEY LOOKED AT IT, WHAT CAN WE DO? WHERE DO WE NEED TO MOVE PEOPLE TO? WHERE DO WE PICK UP OUR EFFICIENCIES? WE'RE OBVIOUSLY PICKING UP A LOT OF THOSE EFFICIENCIES RIGHT NOW WITH JUST THE NEW FUELING CENTERS THAT WE'VE GOT OVER THERE AND OPERATIONAL.

WE'VE PICKED UP A LOT OF EFFICIENCIES, JUST MOVING INTO THAT BUILDING.

ALL OF THIS, LIKE I SAID, THIS IS THE FOURTH LEG ON THE STOOL TO FINISH THAT NORTH SECTION OF THE SERVICE CENTER PROJECT UP.

>> CASH BE BLUNT. HOW COULD WE DIDN'T KNOW ABOUT THIS? LIKE THIS DEADLINE STUFF?

>> WELL, AS FAR AS THE DEADLINE GOES, AND A LOT OF THAT WAS IN THAT LEASE AGREEMENT WITH POTTER COUNTY THAT WAS BROUGHT BEFORE COUNCIL.

>> WELL, I'LL CHIME IN A LITTLE BIT.

WE'VE BEEN WORKING ON THIS PROJECT IN SOME FASHION SINCE FORD, WHEN DID WE TAKE THAT BUILDING OVER, DO YOU REMEMBER FROM GPM?

>> 2021.

>> '21, WE STARTED TO TRY TO FIND A PURPOSE FOR THAT.

THEN WE HAD SOME ISSUES WITH DRAINAGE UTILITY GROWING OUT OF THE FACILITY THAT THEY'RE IN NOW ON LINE AVENUE, AND THAT'S A VERY OLD BUILDING, IF YOU'VE EVER BEEN OVER THERE.

THEY HAVE A LOT OF EQUIPMENT THAT'S EXPOSED TO WEATHER.

WE WERE BEGINNING THE MASTER PLAN OF THIS SEVERAL YEARS AGO.

WHAT ELEVATED THAT WAS THE POTTER COUNTY LAND SWAP, AND THEN WE HAD TO START REALLY LIGHTING A FIRE AND SAYING, WELL, WHAT ARE WE GOING TO DO WITH DRAINAGE? WHERE ARE WE GOING TO PUT THEM? THERE WAS AN ORIGINAL PLAN AND DISCUSSION ABOUT PUTTING DRAINAGE UTILITY IN THE SERVICE CENTER NORTH ALONG WITH UTILITIES AND STREETS ALL IN ONE BUILDING.

THAT WAS THE FIRST MASTER PLAN.

ONCE WE STARTED GOING DOWN THAT ROAD, WE REALIZED PRETTY QUICKLY THAT DRAINAGE WOULDN'T FIT IN THERE WITH UTILITIES FOR THEM TO BE ABLE TO OPERATE THAT.

YOU HAVE TO UNDERSTAND THAT, AND I'M GOING TO SPEAK OFF THE TOP OF MY HEAD.

ALLEN THROW A PENCIL AT ME IF I GET IT WRONG, DRAINAGE UTILITY HAS, LIKE, THREE OFFICE STAFF.

REST OF THAT ENTIRE DEPARTMENT IS OPERATIONAL STAFF THAT DRIVES HEAVY EQUIPMENT.

THEY HAVE A PLACE TO GET WORK ORDERS, GET THEIR EQUIPMENT, LOADED UP, DO THEIR WORK, HAVE THEIR CONCRETE MIXER OUTSIDE, ALL THOSE LITTLE OPERATIONAL THINGS.

UTILITIES IS EVEN LARGER.

THEY HAD TO HAVE A PLACE TO WORK OUT OF, TOO.

BUT THIS WAS SOMETHING THAT WE'VE BEEN WORKING ON IN THE BACKGROUND TO BRING TO COUNCIL.

BUT AGAIN, IT JUST GOT ELEVATED WHEN WE STARTED ENTERTAINING THE LAND SWAP THAT WE JUST REALLY HAVE TO START MOVING PRETTY QUICK ON THIS.

>> PART OF THIS TOO, THE STAFF IDENTIFIED THE FUNDING TO PAY FOR THIS AS WELL.

SO THEY'VE BEEN WORKING US FOR SOME TIME.

[03:30:01]

BUT WHEN I SAW THIS, I SAID, LET'S BRING IT TO THE COUNCIL DISCUSSION, BUT STAFF, KNOWING THAT WE HAD DEADLINE COMING UP HERE, THEY IDENTIFIED THE FUNDING AS THEY'RE WORKING ON THIS.

I THINK THAT WAS PART OF IT AS WELL.

>> THE FUNDING WAS NOT JUST IDENTIFIED LIKE RECENTLY.

WE'VE BEEN WORKING ON THAT FOR YEARS.

>> I UNDERSTAND THAT. IT'S JUST LIKE, WAS IT IDENTIFIED LIKE IN THE CIP OR ANYTHING, LIKE IN OUR EXISTING BUDGET.

YOU KNOW HOW WE HAVE, WHERE ENI IS IN AGO.

IT'S GOING TO SUPPORT THESE PROJECTS.

>> I DON'T REMEMBER IF I KNOW WE TALKED ABOUT IT IN CIP DISCUSSIONS.

I DON'T KNOW THAT IT NEVER MADE THE ONE YEAR FUNDING LIST.

>> BUT I'M PRETTY SURE IT WAS LISTED IN CIPS, NOT NECESSARILY THE ONES THAT YOU CAME TO YOU.

>> THE FIVE YEAR PLAN.

>> THE FIVE YEAR PLAN. PREVIOUSLY, I CAN LOOK.

>> WELL, THE SHORT ANSWER TO YOUR QUESTION IS, THAT'S THE REASON WE'RE HERE TODAY IS TO BRING YOU UP TO SPEED ON IT.

>> I GOT YOU.

>> OTHER QUESTIONS, COUNCIL?

>> MAN, I GUESS THE BEST DIRECTION I COULD GIVE YOU, WOULD LIKE TO SEE IT COME BACK WITH SOMETHING PRICE PER SQUARE FOOT A LITTLE BIT MORE COMPETITIVE OR EXPLANATION IN THOSE LINE ITEM BREAKOUTS, WHERE RIGHT NOW YOU KNOW THIS PER SQUARE FOOT AVERAGE IS NEVER A GOOD WAY TO DO BUSINESS.

NOT FAIR FOR YOU TO NOT HAVE SOME THINGS LISTED, BUT LET'S SAY WE'RE PUTTING ALL NEW WINDOWS IN THIS BUILDING, AND I JUST DON'T KNOW IT.

MAYBE WE DON'T NEED THOSE WINDOWS TO GET THESE NICE RESTROOMS. I WANT TO BE ABLE TO SHOW THAT EVEN THOUGH STAFF WENT AND FOUND, A BUDGET, AND FOUND FUNDING FOR IT.

THAT'S NOT REALLY THE VISION OF THIS COUNCIL.

WE'RE LOOKING FOR A ZERO BUDGET LINE OUT OF MOVING FORWARD, NOT A FUND BALANCE LEFTOVER AT THE END OF EACH YEAR.

THIS COUNCIL CONTINUES TO PUSH FOR, WE WANT TO HELP YOU GUYS.

WE WANT TO KNOW THAT WE'RE PUTTING THE MONEY WHERE YOU NEED IT.

IT'S HARDER FOR US TO FEEL WE'RE DOING OUR JOB IF YOU'RE OUT THERE FINDING THE MONIES IN YOUR OWN BUDGET.

NOW, WE APPRECIATE THAT, BUT I THINK THAT THAT'S SOMETHING THAT I'M HEARING MY COLLEAGUE HERE TO MY RIGHT PUSH BACK ON.

LET'S DO THIS.

I DON'T THINK WE'VE LOST ANYTHING.

I THINK YOU BROUGHT A DISCUSSION ITEM, BRING A PRESENTATION.

LET'S GO THROUGH THOSE LINE ITEM BUDGETS.

LET'S MAKE SURE WE'RE SPENDING THE MONEY LIKE WE NEED TO.

>> MAYOR STANLEY, I'M A LITTLE NERVOUS DOING THAT METHOD BECAUSE I'M HESITANT TO SHARE A CONTRACTOR'S COST IN A PUBLIC FORUM IN A SCENARIO LIKE THIS.

I UNDERSTAND THE SQUARE FOOTAGE, BUT FOR INSTANCE, MILL WORK, ONE CONTRACTOR CAN GET IT FOR ONE PRICE, ONE CAN GET IT FOR ANOTHER PRICE.

WE HAVE DONE THAT.

THE WINDOWS IS A GOOD EXAMPLE, THE ORIGINAL DESIGN.

ADD WINDOWS ALL THROUGHOUT THAT FACILITY.

BASICALLY CUT THOSE OUT.

>> LET ME TRY TO BE AN ADVOCATE FOR YOU THEN.

SHARE THE PLANS WITH ME AND THE SCOPE OF WORK.

>> SURE.

>> LET ME LOOK AT IT. I CAN DO A CURSORY REVIEW OF IT.

IF I'M HERE WITH YOU AT THE NEXT PRESENTATION, SAYING, THAT'S WHAT I CHARGE.

THEN I THINK THAT'S HELPFUL TO YOU.

>> I'LL BE COMFORTABLE DOING THAT.

>> THEN IF NOT, THEN I WOULD VOLUNTEER.

HERE'S WHERE I THINK WE WOULD LIKE TO BE IN OUR NEEDS LIST.

THEN WE DO WANT TO WORK ALONGSIDE OF STAFF? NO FAIR TO STAFF TO GO AND DO ALL THIS WORK, AND I'LL SHOOT IT DOWN.

I'M DEFINITELY NOT DOING THAT.

BUT THE DEADLINE THAT'S IMPOSED, I THINK, IS MORE OF THAT GOOD COMMUNICATION BETWEEN TEAMMATES HERE.

LET'S TRY TO WORK TOWARDS MORE UPDATES IN ADVANCE.

THANK YOU, SIR. ITEM 8F AND 8G.

[Items 8.F. & 8.G.]

CAN WE RUN THOSE TOGETHER AT THIS POINT, MR. HOOPER?

>> WE COULD PROBABLY.

I THINK IF MR. PATH AGREES TO IT, I THINK WITH 8G, WE PRETTY MUCH TALKED ABOUT, I HAVE A PRESENTATION, BUT I THINK WE TALKED ABOUT ALL THE ITEMS IN THERE.

IT WAS REALLY RELATED TO THE FUTURE PLANNING, JUST AS WE'RE ISSUING THE DEBT FOR THE 11.865 MILLION.

IT'S THE SAME CONVERSATION WE HAD TALKING ABOUT THE FINANCING PIECES OF THAT.

I THINK WE'VE ALREADY DONE THAT, IF IT'S OKAY TO FORGO.

>> I THINK IF WE HAVE FURTHER QUESTIONS, WE COULD ASK SPECIFICS.

>> ABSOLUTELY. I THINK IT WOULD BE VALUABLE TO DO THE STREET PATCHING UP DATE, SINCE ALLEN HAS PREPARED THAT TO GIVE YOU AN IDEA OF WHERE WE'RE AT WITH THOSE CONTRACTS NOW, IF YOU WOULD ENTERTAIN THAT.

>> SORRY. I DIDN'T MEAN TO BE PRESUMPTIVE.

>> I THINK IT'S YOU, MR. HARDER.

>> THANK YOU, SIR. AGAIN, ALAN HARDER, PUBLIC WORKS DIRECTOR, MAYOR COUNCIL.

APPRECIATE. HERE TO GIVE AN UPDATE ON THE STREET PATCHING CONTRACTS THAT WERE MENTIONED EARLIER.

IF YOU RECALL, WE AWARDED TWO CONTRACTS EACH FOR $2.5 MILLION IN OCTOBER 8TH OF 2024.

DURING A PRESENTATION THAT I GAVE Y'ALL AT THAT TIME, I SAID THAT I WOULD COME BACK WITH AN EVALUATION OF THOSE CONTRACTS IN SIX MONTHS.

TODAY IS SIX MONTHS.

THAT IS WHY I'M HERE TODAY.

I'M GOING TO GO OVER THE PROJECT HISTORY, INCLUDING FUNDING, SCOPE OF WORK.

THE CONTRACTS THEMSELVES AND EXECUTION, OUR CURRENT CONTRACT STATUS, THE WORK THAT'S BEEN COMPLETED TO DATE,

[03:35:02]

AN EVALUATION OF THAT WORK WITH A COMPARISON TO SIMILAR WORK PERFORMED BY CITY STAFF, AND A RECOMMENDATION FOR A PATH FORWARD.

ONE THING I DID WANT TO POINT OUT, DONNY TALKED ABOUT IT EARLIER TOO, IS A RECOMMENDATION, BUT AS YOU MENTIONED, NEVER OPPOSED TO MORE FUNDING FOR STREETS.

STAFF WAS REQUESTED TO EXPLORE THE POSSIBILITY OF UTILIZING CONTRACTORS FOR PATCHING REPAIRS.

DURING THIS YEAR'S BUDGET, SIX MILLION DOLLARS WAS ALLOCATED TO THE STREET DEPARTMENT.

A MILLION OF WHICH HAS PURCHASED THREE DURAPATCHER POTHOLE TRUCKS AND THREE EMULSION STORAGE TANKS.

AS YOU ALL KNOW, WE ARE DOING DEMONSTRATIONS WITH YOU OF THOSE THREE NEW TRUCKS THIS WEEK.

MAYOR GOT AN OPPORTUNITY TO SEE THAT YESTERDAY.

CURRENTLY, THE TIMELINE JUST FOR IMPLEMENTATION.

I WANTED TO SAY THAT HERE PUBLICLY IS THAT THOSE WOULD BE BEGIN WORKING IN ALLEYS IN MAY OF THIS YEAR.

WE'VE BEEN TRAINING WITH THEM AT THE SERVICE CENTER.

YOU'RE GOING TO GET TO SEE A DEMONSTRATION, REMAINDER OF THE COUNCIL TOMORROW.

I'M VERY EXCITED FOR THAT.

AS WITH ANY NEW TOOL, THERE'S A LEARNING CURVE, AND SO WE WANT TO ENSURE THAT WE'RE TRAINING WITH THOSE, THEN WE PUT THEM IN ALLEYS, PRACTICE SOME MORE WITH THEM IN AN AREA WHERE THEY'RE NEEDED, AND THEN EVENTUALLY GET THEM OUT ON THE STREETS AND START WORKING POTHOLES.

THEN THE REMAINDER OF THE FUND, FIVE MILLION DOLLARS WAS ALLOCATED FOR GENERAL REPAIRS TO STREETS.

WE PUT FORWARD A STREET PATCHING CONTRACT THAT INCLUDED ASPHALT PAVEMENT PATCHING, CRACK SEALING, AND BRICK PAVEMENT REPAIR.

CONTRACTS WERE AWARDED ON OCTOBER 8TH, TO ADVANCE PAVEMENT MAINTENANCE, AND LA FULLER AND SUNS CONSTRUCTION FOR $2.5 MILLION APIECE.

NO S TO PROCEEDS WERE ISSUED ON NOVEMBER 1ST OF LAST YEAR.

WORK WAS ASSIGNED AND HAS BEEN ASSIGNED FROM EXISTING SERVICE REQUESTS AND THEN IDENTIFIED NEEDS, AS WELL AS NEW SERVICE REQUESTS THAT ARE REPORTED OR IDENTIFIED.

CONTRACTORS WERE CHOSEN FOR DIFFERENT REPAIRS, REALLY BASED ON BID PRICING AND AVAILABILITY TO PERFORM THE WORK.

ONE OF THE CONTRACTORS WAS MORE COMPETITIVE ON LARGER REPAIR AREAS.

THE OTHER CONTRACTOR HAD MORE COMPETITIVE PRICING ON SMALLER AREAS.

THAT'S GENERALLY HOW THE WORK HAS BEEN DIVIDED UP.

NOW, I MENTIONED BEFORE THAT WE WERE DOING ASPHALT PAVEMENT PATCHING, CRACK SEALING, AND BRICK PAVEMENT REPAIR.

THIS WINTER, VERY HARSH WINTER, A LOT OF SNOW EVENTS, A LOT OF EXTREMELY COLD WEATHER HAVE CAUSED QUITE A FEW POTHOLES TO APPEAR, AND SO IT'S REALLY NECESSITATED TO FOCUS ON ASPHALT PAVEMENT PATCHING, AND YOU'LL SEE THAT'S BEEN THE PRIMARY POINT OF THE CONTRACT.

CONTRACT STATUS, ADVANCED PAVEMENT MAINTENANCE HAS INVOICED $2.48 MILLION TO DATE.

THEIR CONTRACT IS EFFECTIVELY COMPLETE, 99.4% COMPLETE.

THERE MIGHT BE ONE MORE SMALL PATCH THAT WE COULD GET OUT OF THAT CONTRACT.

LA FULLER AND SONS HAS INVOICED $1.3 MILLION, AND SO THEY'RE JUST OVER 53% COMPLETE AS OF TODAY.

WORK COMPLETED TO DATE.

ASPHALT PAVEMENT PATCHING, A TOTAL BETWEEN BOTH CONTRACTORS OF $3.7 MILLION.

THAT'S 21,000 SQUARE YARDS OF PAYMENT PATCH, WHICH EQUATES TO ABOUT THREE LANE MILES.

THAT'S ONE LANE, THREE MILES LONG OF PAVEMENT THAT'S BEEN PATCHED THROUGH A COMBINATION OF, LARGER AREAS WHERE YOU TRULY DO GET A LANE WIDTH FOR HUNDREDS OF FEET, AND EVEN ALL THE WAY DOWN TO VERY SMALL POTHOLE PATCHES IN JUST SMALL ISOLATED AREAS.

THEN CRACK CEILING, THERE WAS CRACK CEILING PERFORMED FOR $119,000.

THAT ACCOMPLISHED 84,500 SQUARE YARDS OF CRACK CEILING, THAT IS 12 LANE MILES OF STREETS THAT WERE CRACK SEALED, AND THOSE WERE ARTERIAL STREETS AS A PART OF THESE CONTRACTS.

GETTING INTO THE EVALUATION, WE WANTED TO LOOK AT APPLES TO APPLES COMPARISON OF THE PRICE THAT WE PAY FOR CONTRACT LABOR VERSUS WHAT OUR STREET DIVISION IS ABLE TO DO.

LOOKED AT UNIT COSTS THAT INCLUDE DIRECT AND INDIRECT COSTS.

THAT'S THINGS LIKE TRAFFIC CONTROL, MOBILIZATION, LABOR, MATERIALS, EQUIPMENT, ADMINISTRATION OF CONTRACTS, VERSUS THE STREET DIVISION ADMINISTRATION OF THE DEPARTMENT, AND OTHER INCIDENTALS THAT I DON'T HAVE LISTED OUT THERE.

SO LOOKING AT CONTRACTED WORK, AND AGAIN, THIS IS NOT ONE CONTRACTOR IN PARTICULAR.

THIS IS JUST LOOKING AT THE TOTAL AMOUNT OF WORK DONE AND THE COST THAT'S BEEN PAID FOR.

IT'S ABOUT $176 PER SQUARE YARD FOR ASPHALT PATCHING.

CRACK SEALING ENDS UP BEING ABOUT $1.41 PER SQUARE YARD, AND THAT WAS JUST USING THE NUMBERS THAT I PRESENTED ON THE PREVIOUS SLIDE.

COMPARING THAT TO OUR STREET DIVISION.

I LOOKED AT THEIR LAST FISCAL YEAR, THEIR ASPHALT PATCHING PROGRAM.

SO FY23-24, THEY PATCH ABOUT 75,800 SQUARE YARDS OF PAVEMENT WITH A BUDGET OF $4.8 MILLION FOR THAT SPECIFIC PROGRAM.

WHAT THAT EQUATES OUT TO IS ABOUT $63.65 PER SQUARE YARD.

THAT'S NOT JUST AGAIN, THAT'S ALL DIFFERENT PATCHES, VERY SMALL AREAS ALL THE WAY UP TO THE LARGER LONGER RUNS.

RECOMMENDATION IS THAT WE KEEP GOING WITH THE CONTRACT THAT WE HAVE, EXHAUST THE REMAINING FUNDS IN BOTH THE PATCH AND CONTRACTS, AND TO PRESENT A COMPLETE EVALUATION OF PROGRAM COSTS AND EFFICIENCIES DURING THE UPCOMING BUDGET DISCUSSIONS.

TODAY, I REALLY JUST WANTED TO LOOK AT JUST IMMEDIATE COST EVALUATION.

BUT I THINK THERE'S SOMETHING TO BE DISCUSSED WHEN IT COMES TO EFFICIENCIES AND THINGS LIKE THAT AS WELL THAT REALLY WOULD LEND THEMSELVES TO A LONGER DISCUSSION.

WITH THAT, I'LL ASK IF ANYONE HAS ANY QUESTIONS.

[03:40:02]

>> QUESTIONS, COUNCIL.

>> I DO. HERE WOULD BE MY QUESTION.

SOMEWHAT OF A PILOT PROGRAM, WE WERE MOVING OUR GUYS INTO THE ALLEYS TO CATCH UP IN ALLEYS.

WE WERE JUST PUTTING OUT, LET'S TRY $2.5 MILLION.

WE HAVE THE MONEY. LET'S JUST GO SEE HOW THESE SMALL PATCHES, MEDIUM, LARGE PATCHES CAN GO.

IT LOOKS IF WE'RE AVERAGING $176 A SQUARE YARD, OVERALL.

IT LOOKS LIKE WE'RE HIGHLY INEFFICIENT IN ONE AREA, AND WE MAY BE HITTING OUR NUMBER SOMEWHERE ELSE, TO GET A REAL TOP QUALITY PAVING SURFACE.

LET'S HOPE THAT THESE ARE, I KNOW THEY'RE SMOOTH.

I KNOW DRIVABILITY HAS BEEN REALLY GOOD.

I WOULD HOPE LONGEVITY IS GOOD AS WELL.

THEY LOOK WELL DONE.

ARE WE TESTING THEM AS THEY'RE GOING? DO WE HAVE GOOD DATA COMING BACK.

>> NO, WHEN YOU'RE DOING PATCHING, THERE REALLY WE CAN'T HOLD THEM TO THE SAME STANDARDS YOU WOULD FOR A BRAND NEW PAVEMENT WHERE YOU'RE TESTING DENSITY AND THINGS LIKE THAT.

IN THE SPECS WE WROTE IN, IT'S A VISUAL INSPECTION, AND THESE WERE BASED ON TEXTOT SPECS TO ENSURE THAT IT'S A TIGHT SEALED SURFACE.

I'LL SAY THIS, AND I WANT TO SPEAK TO THE CONTRACTORS BENEFIT.

I'VE BEEN VERY HAPPY WITH THE WORK THAT THEY'VE DONE.

THERE'S NO CONCERNS FOR ME ABOUT THE QUALITY OF WORK.

I THINK THAT IT SHOWS.

I THINK WE'VE GOTTEN GOOD COMPLIMENTS BACK FROM THE PUBLIC AND FROM OTHERS IN REGARDS TO THE WORK BEING DONE.

NO CONCERNS ABOUT QUALITY THERE, VERY HAPPY WITH THE PRODUCT BEING DONE, THE TIMELINESS OF RESPONSE.

>> THAT BEING SAID, IF WE DON'T HAVE, SOME DATA TO LOOK AT THEIR TESTING AND THEIR QUALITY, YOU VISUALLY INSPECTED, PERSONALLY INSPECTED.

WE'VE GOT OTHER STAFF THAT'S OVERSEEING.

HERE WOULD BE MY QUESTION.

WOULD YOU GUYS, I LIKE WHERE DONNY'S AT.

I LIKE HIS PLAN, 17 MILES FOR $11 MILLION IN ONE FORM OR FASHION OF REPAIR DEPENDING ON CONDITION IS MUCH BETTER.

THAT'S A FOUR LANE MILE, CORRECT? DONNY. THAT'S 17 FOR LANE.

>> SEVENTEEN, WELL, IT DEPENDS.

SOME WERE FIVE LANE, SOME WERE TWO LANES, SOME WERE FOUR LANES.

THAT'S WHY THERE'S A SEPARATE NUMBER FOR LANE MILES VERSUS F.

>> BUT IF WE SAID THAT AVERAGE IS A FOUR LANE MILE, THAT'S 17 FOR LANE MILES.

>> LIKE, 75 LANE MILES.

>> WE'RE JUST NOT GETTING THE VALUE THAT WE'RE LOOKING AT HERE.

I'M CURIOUS IF COUNCIL WOULD WANT TO, AND YOU GUYS WOULD RECOMMEND, DO WE GO BACK TO THIS PROGRAM AND THIS TEMPORARY STATUS, WHERE MAYBE WE COULD DO THIS ONE MORE ROUND BEFORE YOU GET YOUR NEW PROGRAM REALLY IMPLEMENTED? WHAT I WOULD SAY IS IS MAYBE THE LARGER PATCHES ARE THE ONES THAT ARE PAYING OFF BECAUSE YOU'VE GOT TRAFFIC CONTROL, SET UP, TEAR DOWN? DO WE WANT TO LET ANOTHER COUPLE MILLION DOLLAR OUT, PUT IT BACK UP FOR ANY CONTRACTOR TO BID ON AGAIN? JUST SPECIFICALLY NEGOTIATE IT TO, WHAT WOULD WE PAY PER SQUARE YARD ON SOMETHING LIKE THAT? NOW THAT WE HAVE SOME NUMBERS, IF IT'S COSTING US 65 A SQUARE YARD TO DO IN HOUSE, DO WE LOOK AT PUTTING THOSE GUYS BACK OUT IN THE STREETS, OR DO WE LOOK AT $100 AVERAGE, AND WE MAKE AN OFFER AND JUST SEE IF WE HAVE ANY CONTRACTORS ARE WILLING TO GO LARGE REPAIR FOR THAT?

>> I THINK IN MY OPINION, AND I'LL LET ALLEN SPEAK TO IT, HE'S REALLY BEEN LOOKING AFTER THIS PROGRAM A LOT, BUT IN MY OPINION, AS I SAID BEFORE, I DON'T THINK WE EVER WANT TO TURN DOWN AN OPPORTUNITY TO CREATE MORE REPAIRS, MORE WORK BEING DONE IN THE STREETS.

I JUST FEEL WE REALLY NEED TO GET FINISHED WITH THIS CONTRACT AND GET A FULL EVALUATION OF WHERE WE'RE AT, BECAUSE THERE'S STILL ANOTHER 50% LEFT TO GO ON ONE SIDE OF THAT CONTRACT.

BUT WITH THAT SAID, I THINK WITH EVERYTHING THAT WE DO, I TRY TO BASE ALL OF OUR DECISIONS ON REAL DATA.

WHAT DID WE REALLY GET DONE? THERE'S A LOT THAT GOES INTO THAT, PRESENTS YOU SOMETHING THAT YOU CAN TAKE A BITE OUT OF AND DECIDE WHAT YOU WANT TO DO AS A COUNCIL.

BUT I THINK THAT WOULD FALL INTO YOUR LAP AS A COUNSEL.

IF YOU WANTED US TO ENTERTAIN THAT, WE CERTAINLY WOULDN'T TURN YOU DOWN FOR IT.

>> I AGREE WITH DONNY. I DID WANT TO ADDRESS ONE THING.

I HEARD YOU SAY, MAYOR. I JUST WANT TO MAKE SURE I UNDERSTOOD.

YOU KIND OF WERE TALKING ABOUT WHAT WE'RE PAYING PER SQUARE YARD FOR THIS PATCHING CONTRACT VERSUS MR. HOOPER'S PRESENTATION ON ABOUT WHAT IT WOULD COST PER LANE MILE, TWO VERY DIFFERENT PRODUCTS.

THAT'S WHY WHEN I LOOKED IN EVALUATION, I LOOKED AT THE PATCHING OF THE CONTRACTOR VERSUS WHAT THE CITY CREWS DO.

THE CONTRACT THAT MR. HOOPER WAS DISCUSSING WAS REALLY FOR SURFACE TREATMENTS.

NOW, THE MILLEN OVERLAY WOULD BE A LOT CLOSER TO THIS, BUT, THE MICRO-SURFACING, THE CAPE SEAL, VERY DIFFERENT PRODUCT THAN GOING IN, REMOVING PAVEMENT AND PATCHING THAT.

>> WE ALSO HAVE NOT RECEIVED THE BIDS ON THAT YET, WHERE WE HAVE BIDS THAT WE CAN ACTUALLY LOOK AT NOW.

THOSE ARE ESTIMATES VERSUS ACTUAL NUMBERS.

>> YOU HAVE 1,00.5 LEFT ON THE EXISTING CONTRACT WITH ONE OF THE CONTRACTORS.

COUNCIL, WOULD YOU GUYS WANT TO TAKE A MILLION-AND-HALF OUT OF YOUR WORKING BUDGET ON YOUR ONE TIME EXPENDITURES, PUSH IT BACK OUT THERE AND MAKE ANOTHER OFFER FOR A MILLION-AND-HALF AND JUST SPECIFICALLY STEER IT TOWARDS THOSE LARGE REPAIRS,

[03:45:03]

KNOWING THAT ANYTHING WE DO HERE OVER THE SUMMER MONTHS IS GOING TO CATCH US UP, EVEN EVEN IN A MILLION-AND-HALF DOLLARS? IT'S JUST SITTING THERE IN A BANK ACCOUNT, SO TO SPEAK.

I'D RATHER PUT IT IN THE STREETS EVERY OPPORTUNITY I GET.

WHAT DOES COUNCIL SAY ABOUT? THAT IDEA OR A DIFFERENT IDEA.

>> DO I GO BACK, DONNY, DO WE HAVE THE CAPACITY OR DO THE CONTRACTORS THAT WE'RE DEALING WITH, DO THEY HAVE THE CAPACITY TO DO THAT? IS THIS SOMETHING THAT IF WE DID THIS IN THIS BUDGET CYCLE, IS IT SOMETHING THAT WE WOULD SEE REAP THE BENEFITS FROM?

>> CONTRACTOR WOULD HAVE TO ANSWER THE CONTRACTOR QUESTION OBVIOUSLY, BUT I THINK WE HAVE THE CAPACITY TO DO THAT.

WE HAD, SO CLARIFY SOMETHING ABOUT POTHOLES THAT IS ALWAYS A DISCUSSION, THAT WE'RE REALLY BEHIND ON POTHOLES.

WE'RE REALLY NOT. POTHOLES OCCUR.

THERE WAS ONE THAT OCCURRED TODAY. I PROMISE.

SOMEWHERE OUT THERE, THERE'S A POTHOLE THAT OCCURRED TODAY.

WE HAD A PRETTY ROUGH WINTER WHEN WE HAD, ESPECIALLY THAT PERIOD WHERE WE HAD THE FREEZING TEMPERATURES WITH A LITTLE MOISTURE THAT GETS IN THOSE CRACKS.

TAKES A LITTLE BIT OF TIME, AND THEY POP OUT.

WE'RE NOT BEHIND ON THEM AS MUCH AS THERE'S ALWAYS GOING TO BE WORK THERE IN ANY CITY ANYWHERE IN AMERICA TO DO POTHOLE PATCHING.

DO I THINK WE HAVE THE CAPACITY TO TAKE ON ANOTHER CONTRACT? ABSOLUTELY.

>> WELL, AND I'M NOT SO MUCH I DON'T KNOW IF MAYOR WAS GOING IN THIS DIRECTION.

I'M NOT SO MUCH CONCERNED ABOUT POTHOLES.

WE GOT THREE MACHINES THAT ARE GOING TO DO A PRETTY GOOD JOB ON THOSE.

I'M HOPING. I'M THINKING LARGER REPAIR.

>> WELL, ABSOLUTELY.

WE CALL THEM LARGER PATCHING REPAIRS.

SAY PATCHING SET OF POTHOLES.

>> THAT'S WHAT I'M TALKING ABOUT, WHAT I WOULD LIKE TO SEE [INAUDIBLE].

>> WE HAVE THAT. THE BEAUTY OF WHAT WE HAVE NOW IS A PLAN BEFORE YOU THAT WE JUST SHOWED YOU EARLIER WITH THE 11.865 MILLION THAT TELLS US WHERE WE'RE GOING TO BE.

WE KNOW WHERE WE'RE NOT GOING TO BE, AND WE HAVE SOME AREAS THAT WE COULD CERTAINLY USE THAT ON TO.

WE ALSO HAVE TO CONSIDER IN THERE THE PLANS FOR RECONSTRUCTION AND ALL THOSE DIFFERENT THINGS.

BUT I THINK MY ANSWER WOULD BE, YEAH, THERE'S DEFINITELY CAPACITY TO DO IT WHETHER THE CONTRACTORS CAN BID ON IT OR BE WILLING TO BID ON IT. THAT'S NOT UP TO ME.

>> I THINK YOU COULD THROW OUT A $2 MILLION CONTRACT OUT OF YOUR WORKING BUDGET, WHICH YOU HAVE.

NOBODY HAS IDENTIFIED A BETTER NEED THAN THIS RIGHT NOW.

IT'S ONE-TIME EXPENSE MONEY.

WE SET IT ASIDE FOR A REASON.

I THINK IF YOU PUSHED A $2 MILLION CONTRACT OUT THERE, BUT WE LET STAFF DIRECT IT A LITTLE BIT BETTER.

NOW YOU KNOW WHERE YOU'RE GETTING MORE BANG FOR YOUR BUCK.

PROXIMITY MATTERS.

MAYBE THEY CAN SET UP TRAFFIC AND DO TWO LARGE REPAIRS IN ONE LANE OR MOVE OVER BECAUSE THEY'RE WORKING ON THE SAME STREETS.

BUT WE NEED TO GET OUT OF YOUR WAY.

WE'RE TOO INVOLVED IN WHAT YOU'RE DOING. I LOVE YOUR PLAN.

WE'RE GOING TO GET OUT OF YOUR WAY, BUT RIGHT NOW, WE'VE GOT A SHORT WINDOW OF TIME. WE'VE GOT A LITTLE MONEY.

YOU'RE NOT TELLING US NO.

I'D LOVE TO PUSH IT TO YOU FOR A $2 MILLION CONTRACT IF COUNSEL WOULD LET ME.

>> WE WOULDN'T SAY NO TO 15.

>> [LAUGHTER] COUNSEL, IS IT TWO OR 15 MILLION THAT YOU'D LIKE TO SEE MOVED OVER? DOES ANYBODY HAVE A PROBLEM WITH THAT AND LETTING THEM NEGOTIATE THAT CONTRACT A LITTLE BIT TIGHTER, LIMIT IT FROM THOSE SMALL REPAIRS, WHICH YOU CAN TELL YOU'RE PROBABLY NOT GETTING A GOOD VALUE ON.

TRY TO GET THOSE LARGER REPAIRS IDENTIFIED AND GET THAT KICKED BACK OUT FOR SUMMERTIME.

>> ABSOLUTELY AND THE BEAUTY OF THAT IS BECAUSE WE'VE GONE THROUGH THIS BEFORE.

WE HAVE THOSE DOCUMENTS, AND IT'D BE VERY EASY TO GET THAT ADVERTISED BACK OUT AND TURNED AROUND A LOT QUICKER THAN WE DID LAST TIME WHEN WE HAD TO GENERATE IT FROM SCRATCH.

>> WE DON'T HAVE AN ACTION ITEM, BUT WHATEVER YOU NEED FROM COUNSEL, BRING US SOMETHING BACK FOR LET'S JUST SAY, 2 MILLION RIGHT NOW.

>> DO YOU WANT US TO BRING THAT BACK AT THE NEXT MEETING I'M ASSUMING?

>> BE READY FOR US 22ND IF YOU'RE READY.

>> ABSOLUTELY.

>> THAT'S GOOD. THANKS.

>> THANK YOU. APPRECIATE IT, ALAN.

DID WE HAVE ANY OTHER QUESTIONS FOR MR. HOOPER ON HG? I FEEL LIKE WE COVERED THAT PRETTY WELL.

WE'RE GOING TO MOVE OUT OF F AND G. WE'RE INTO ITEM 8(I).

[8.I. Request future agenda items and reports from City Manager.]

DO I HAVE ANY FUTURE AGENDA REQUEST ITEMS?

>> YES, SIR, MAYOR. I DO HAVE TWO.

ONE IS I'D LIKE FOR US ON THE 22ND MEETING, AND I THINK MAYBE WE'RE EQUIPPED TO DO THIS TO PUT THE ATTORNEY PROTOCOLS ON AS AN ACTION ITEM.

I THINK THE CITY MANAGER HAS GIVEN US A DRAFT OF THOSE THAT FOLLOWED THE FEEDBACK THAT HE GOT FROM THE LAST MEETING, SO I'D LIKE TO REQUEST THAT THAT BE ON THE AGENDA FOR.

>> YEAH, I DON'T SEE ANY REASON WHY WE WOULDN'T BE READY FOR THAT.

I KNOW GRAYSON SENT THOSE OUT TO EVERYBODY, AND SO I SHOULD HAVE HAD TIME TO READ THEM AND UNDERSTAND THEM.

>> I'D ALSO LIKE TO ONCE AGAIN COME BACK AND ASK COUNSEL TO CONSIDER HONORING THE REQUEST THAT WE RECEIVED AT THE LAST MEETING TO HAVE THOSE THAT HAVE HAD EXPERIENCE WITH THE ADC HAVE A REPRESENTATIVE TO COME HERE AND TALK TO US.

I THINK IF WE'RE PUTTING THE AGENDA ON THE NEXT AGENDA TO HAVE ADC BOARD APPOINTEES, I DON'T SEE ANY DOWNSIDE IN ALLOWING THAT GROUP WHO'S BEEN PART OF IT FOR MANY YEARS TO HAVE SOME TIME TO SHARE THEIR VIEWPOINT.

>> I'VE HAD A LITTLE TIME TO CONSIDER IT,

[03:50:02]

SO HERE'S WHERE I WOULD AGREE WITH YOU.

I DON'T THINK THIS IS THE FORUM FOR IT.

IN FRONT OF COUNCIL, IT SIDESTEPS AND GOES OVER OUR EDC BOARD.

AS A STATUS UPDATE, I DO KNOW THAT MR. FAIRLEY ENGAGED WITH THOSE INDIVIDUALS THAT MADE THAT REQUEST, LLOYD BROWN AND A FEW OTHERS.

HE'S VOLUNTEERED TO SCHEDULE A MEETING TO MEET WITH THEM.

INDIVIDUALLY I VOLUNTEERED TO MEET WITH THEM.

NOW THEY HAVEN'T REACHED OUT TO ME PERSONALLY, AND I UNDERSTAND THAT IT MAY BE BETTER FOR THEM TO TRY TO MEET WITH MR. FAIRLEY FIRST.

BUT HERE'S WHAT I WOULD SAY.

I WOULDN'T BE WILLING TO PUT IT ON AN AGENDA ITEM AND BRING IT IN HERE BECAUSE I DON'T THINK IT REPRESENTS THE DECORUM FOR THE TAXPAYER AND THE BUSINESS OF THE CITY.

WE'RE CONDUCTING A BUSINESS MEETING.

THIS WOULD BE AN OPINION MEETING AND THEY'RE WANTING TO HAVE THEIR VOICE HEARD.

I THINK THAT'S A TOWN HALL.

WHAT I WOULD OFFER IS IF COUNSEL WANTED TO, PERHAPS WE CAN DO IT IN A PRIVATE LOCATION AND NOTICE IT, OR WE DO IT IN A PUBLIC LOCATION WITH COUNSEL AND STAFF SUPPORT, A TOWN HALL WHERE THE MEDIA CAN COME AND WE COULD FACILITATE SOMETHING LIKE THAT SEEMS MORE APPROPRIATE TO ME THAN A COUNCIL MEETING WHERE WE'VE GOT STAFF THAT IS HAVING TO SIT AND TAKE THEIR TIME AWAY FROM THEIR JOB TO GO THROUGH THAT.

SPECIFICALLY BECAUSE IT IS THE EDC, AND IT'S NOT EVEN PART OF STAFF'S ROLE.

IT'S OUR OVERSIGHT. IT'S NOT THEIRS.

GRAYSON DOESN'T MANAGE THE AEDC.

>> WELL, I WOULD COUNTER THAT WHEN MR. FAIRLEY CAME OVER HERE, HE PRESENTED SOME FACTS, BUT THERE WERE SOME OPINIONS BUT THAT AS WELL.

WE'VE OPENED THE CHAMBERS TO HAVE A PERSON'S OPINION WHO HAS HAD SOME EXPERIENCE WITH THE EDC.

I DON'T KNOW WHAT ALL THEY WANT TO COME SAY.

I THINK THEY HAVE THEIR FACTS THAT THEY WANT TO PRESENT AND SOME OTHER BACKGROUND THAT COULD PROVIDE MORE COMPLETE STORY.

ONE THING I REALLY APPRECIATE ABOUT YOU, MAYOR IS I DON'T RECALL YOU EVER NOT ALLOWING A COUNCIL MEMBER TO PLACE AN ITEM ON THE AGENDA.

I'VE APPRECIATED THAT, EVEN IF IT'S JUST ONE PERSON THAT'S WANTING ON THAT.

AGAIN, I WOULD ASK THAT WE DO THAT.

I GUESS IF I'M THE ONLY ONE OR IF YOU DON'T FEEL THEN, I GUESS THE PROTOCOL WOULD BE IF ANOTHER COUNCIL MEMBER WOULD SUPPORT ME ON THAT, THEN WOULD YOU BE WILLING TO PUT THAT ON THE AGENDA?

>> YEAH, SO I'LL MAKE THE OFFER AGAIN.

ONE, I DON'T KNOW WHAT I'M BEING REQUESTED TO DO.

AS YOU CAN TELL, THEY JUST SAID, WE WOULD LIKE OUR OPPORTUNITY TO COME AND TALK TO Y'ALL.

WE DO NOT FACILITATE THOSE TYPE OF REQUESTS FOR ANY CITIZEN OR COUNCIL MEMBER.

IF I HAD A COUNCIL MEMBER THAT SAID, HEY, I JUST WANT TO TALK ABOUT STREETS, AND WE JUST PUT A GENERAL STREETS REQUEST ON.

WE WOULDN'T HAVE YOU RUNNING THE PRESENTATION WHERE STAFF DOESN'T UNDERSTAND WHAT THEY'RE BEING ASKED OR DIRECTED TO DO.

I DO WANT TO STAY WITHIN THE DECORUM OF RUNNING A BUSINESS MEETING.

I DEFINITELY DON'T WANT TO RELINQUISH THE CONTROL OF THE MEETING BECAUSE I HAVE THE RESPONSIBILITY.

IF THAT MEETING GOES WRONG, IT'S ON ME.

I UNDERSTAND THAT HERE, AND I THINK THAT IS THE LEADERSHIP ROLE THAT I MAINTAIN.

IN A DIFFERENT FORUM LIKE A TOWN HALL, I DON'T HAVE TO RUN THAT MEETING.

I WOULD OFFER, AGAIN, OUTSIDE OF OUR NEW CHAMBER, WOULD BE GLAD TO HELP FACILITATE AND MAKE MYSELF AVAILABLE FOR A TOWN HALL.

NOW, IF COUNSEL WANTS TO GO AND RESEARCH THIS, AND YOU GUYS WANT TO GO AND SEE WHAT SPECIFICALLY WHAT THEY LIKE TO TALK ABOUT, WHAT DATA ARE THEY BRINGING? WHAT WOULD BE THE ASK? WHY WOULD THEY BE IN FRONT OF COUNSEL? IF THEY CAN IDENTIFY THOSE THINGS, I'M GREAT TO LISTEN TO.

BUT I WOULDN'T BE WILLING TO PUT SOMETHING ON THE AGENDA WITHOUT THE FORESIGHT OF KNOWING WHAT'S THE REQUEST? BECAUSE WE HAVE A LOT OF PEOPLE THAT WANT TO OFFER, HEY, THESE ARE THE THINGS I'D LIKE TO SEE CHANGED IN THE CITY.

I TAKE A LOT OF THESE REQUESTS EVERY WEEK.

I TRY NOT TO SIT DOWN WITH THAT INDIVIDUAL UNLESS I KNOW I CAN PARTNER WITH THEM AND THEY'RE WILLING TO GET IN AND DO THE WORK WITH ME.

I'M WILLING TO SIT DOWN WITH THOSE INDIVIDUALS TO LISTEN TO WHAT THEY HAVE TO SAY AND TO ENTERTAIN A REQUEST, BUT I HAVEN'T BEEN PRESENTED WITH AN ASK.

>> WELL, AND I APPRECIATE THAT.

I'M NOT REALLY CONCERNED ABOUT DECORUM BECAUSE I THINK YOU'VE DONE A GOOD JOB AT HANDLING DECORUM.

IF WE CAN HAVE 15 HOURS OF CONVERSATION IN THIS CHAMBER ABOUT THE MOST CONTROVERSIAL ISSUE THAT THIS NATION FACES IN DECORUM.

I'M NOT REALLY CONCERNED ABOUT THAT.

I THINK WE COULD DO THAT, AND I THINK THESE ARE INDIVIDUALS AND PEOPLE THAT I THINK WOULD FOLLOW THAT RULE AND I THINK WANT TO BE ABLE TO SHARE INFORMATION.

AGAIN, I'D PUT FORWARD THE REQUEST.

IF ANY OTHER COUNCIL MEMBER WOULD JOIN ME IN DOING THAT, THEN WOULD YOU BE WILLING TO ADD THAT TO THE AGENDA?

>> I'LL GO BACK. I AM WILLING TO ALLOW YOU AND COUNSEL, WHOMEVER YOU WOULD WORK WITH OR JUST YOU INDIVIDUALLY,

[03:55:02]

PUT TOGETHER A PROPOSAL OF WHAT YOU'RE ASKING ME TO PUT ON THE AGENDA.

ITEMIZE IT, SCOPE IT.

LET'S PUT SOMETHING TOGETHER THERE.

I'LL ALWAYS ENTERTAIN IT, ESPECIALLY IF IT'S CONCERNING CITY BUSINESS, AND WE CAN FACILITATE IT HERE.

RIGHT NOW, I DON'T SEE THAT AS AN OPPORTUNITY, SO I'M NOT WILLING TO MAKE A COMMITMENT THAT I DON'T KNOW WHAT I'D BE COMMITTING.

>> FAIR ENOUGH. THANK YOU.

>> YES, SIR. COUNCILMEN.

>> I JUST BELIEVE WE NEED TO KNOW WHAT'S GOING TO BE DISCUSSED BEFORE.

BECAUSE IF YOU ALLOW THAT, YOU HAVE TO ALLOW ANYBODY ELSE THAT COMES IN AND WANTS TO TALK.

I THINK WE NEED TO KNOW WHAT THEY'RE TALKING ABOUT AND WHY.

>> YEAH, SPECIFICALLY, IF YOU GO BACK TO MR. FAIRLEY'S PRESENTATION, I REQUESTED HIM TO DO A GOOD JOB.

NOW, I DIDN'T SEE THE PROPOSAL OR THE PRESENTATION PRIOR TO THE MEETING BECAUSE I DIDN'T WANT TO HAVE ANY SPECIFIC KNOWLEDGE OTHER THAN I DID HAVE HIM TELL ME WHAT WE NEEDED TO NOTICE THE PUBLIC.

IT WAS ALL VERY SPECIFIC TO 15 YEARS OF HISTORY ON PERFORMANCE WITH A METRIC OF HOW MANY JOBS REALIZED.

IF YOU WERE BRINGING SOMETHING BACK, SAYING JOBS AREN'T THE ONLY WAY WE CALCULATE ECONOMIC GROWTH AND STIMULUS, WE WANT TO LOOK AT THE SEVENFOLD STIMULUS AROUND THE INTANGIBLES, LET'S SAY HOUSING AND WHATNOT.

THEN I THINK THAT'S SOMETHING YOU COULD KEEP SPECIFIC IF WE WERE GOING TO PUT THIS ON.

>> JAY THANK YOU.

>> THANK YOU. ANYTHING ELSE? YES, SIR.

>> NO, [INAUDIBLE].

>> WE'LL GET THAT AS A FUTURE REQUEST ITEM.

THAT WRAPS UP ITEM 8(I).

WE ARE NOW GOING TO MOVE INTO OUR CONSENT AGENDA.

[9. Consent Items]

SAFER STREETS, IF ANYONE WOULD HELP ME LOCATE THAT ITEM.

WHERE'S MISS EMILY KOHLER WHEN YOU NEED HER? YES, MA'AM. DO YOU KNOW WHAT ITEM THAT IS?

>> IS 9D.

>> NINE D. I HAVE A REQUEST TO PULL ITEM 9D JUST TO EXPLAIN THE GRANT PROCESS ONCE AGAIN AND WHERE WE'RE AT IN THAT.

I WOULD ASK IF COUNSEL IS COMFORTABLE.

WE WILL LABOR HERE JUST A LITTLE BIT LONGER.

I THINK IF ANYTHING ELSE NEEDS TO BE PULLED OFF, DO YOU GUYS WANT TO PULL ANYTHING ELSE? I'D ASK FOR A MOTION WITH 9D REMOVED?

>> I'M MAKING A MOTION TO ACCEPT THE CONSENT AGENDA LESS ITEM 9D.

>> MOTION IN A SECOND. ALL IN FAVOR, PLEASE SAY AYE.

>> AYE.

>> ANY OPPOSE? MOTION PASSES. ITEM 9D.

[9.D. CONSIDERATION OF ORDINANCE NO. 8188]

MS. KOHLER, WOULD YOU BE OKAY IF WE CALL ON YOU JUST TO BE THE SUBJECT MATTER EXPERT ON THIS AND SPECIFICALLY TO MRS. GREEN, I THINK THE CONCERN IS, ARE WE ACCEPTING SOMETHING THAT WE DON'T KNOW EXACTLY WHAT IT IS? DO YOU MIND JUST TO VERY BRIEFLY WALK US THROUGH? THIS PUTS US IN A POSITION TO APPLY FOR GRANTS?

>> YEAH, I'M HAPPY TO DO THAT.

I THINK OUR FIRST QUESTION WAS WHO DECIDED THE PROJECTS, SO JUST A QUICK RECAP ON THAT.

THE PROJECTS ARE DEVELOPED THROUGH THE STUDY OF THE CRASH DATA.

WE CREATED THE HIGH INJURY NETWORK AS PART OF THE PLANNING PROCESS, AND THEN THE COMMUNITY ENGAGEMENT IS OVERLAID WITH THE DATA.

THEN THOSE PROJECTS ARE PRIORITIZED.

WE TALKED ABOUT THIS A LOT AT THE LAST MEETING, BUT THE PLANNING PROCESS HAD AN INCREDIBLE AMOUNT OF COMMUNITY ENGAGEMENT, AND SO WE FEEL LIKE THESE PROJECTS HAVE BEEN WELL-VETTED.

THE INTENT IS THAT, EVEN THOUGH WE'RE JUST SHOWING 16 PROJECTS, THAT MANY OF THESE ARE STRATEGIES AND IMPROVEMENTS THAT IF THEY'RE SUCCESSFUL, WE CAN IMPLEMENT THEM IN OTHER PARTS OF OUR CITY.

THAT'S THE ANSWER TO THE FIRST QUESTION.

IT IS A PLAN, WHAT IS DESIGNED TO DO IS TO IDENTIFY PROJECTS WE DON'T KNOW HOW WE'RE GOING TO PAY FOR ALL OF THESE YET, BUT WHEN FUNDING OPPORTUNITIES ARISE, THEN WE ARE READY AND WE CAN BE COMPETITIVE.

THE SHEET THAT SHE WAS REFERRING TO WITH THE LIST AND THE ONES THAT SHOW EITHER WE'VE BEEN AWARDED OR WE'RE PURSUING FUNDING, THE STRATEGY IS PRIMARILY GOING TO BE THE WE WOULD BE PURSUING STATE AND FEDERAL GRANT FUNDS THROUGH TEXTO OR THROUGH SPECIFIC SAFETY GRANT PROGRAMS. WE WOULD BE LEVERAGING OUR CIP.

TYPICALLY, THESE PROGRAMS REQUIRE A 20% LOCAL MATCH WITH AN 80% FEDERAL OR STATE PARTICIPATION.

THE SAFER SPEEDS FOR SCHOOLS, I CAN JUST RUN THROUGH THESE.

THE ONE THAT WE'VE BEEN AWARDED.

THAT'S A FEDERAL SAFETY PROGRAM.

THE NEXT TWO PHASE 1 AND 2 INTERSECTION IMPROVEMENTS.

[04:00:04]

WE EXPECT TO PURSUE FUNDING THROUGH THE MPO, THE CATEGORY 7 SURFACE TRANSPORTATION, THE AMARILLO HIGH SCHOOL PROJECT.

THAT IS A HIGHWAY SAFETY IMPROVEMENT PROGRAM THAT'S THROUGH TEXTO, BUT THOSE ARE FEDERAL PASS THROUGH FUNDS.

THEN THE LAST ONE THAT HAS A STAR NEXT TO IT, THE SOUTHWEST SIX GATEWAY PROJECT.

WE ARE HOPING TO PURSUE THE TEXTO TRANSPORTATION ALTERNATIVES PROGRAM, WHICH IS THE ONE WE USED TO FUND THE BARRIO STREETSCAPE IMPROVEMENT PROJECT.

THE BREAKDOWN IS 80/20 WITH THE CITY PROVIDING A 20% MATCH.

>> THAT'S REALLY GOOD. THANK YOU.

COUNSEL, DO YOU ALL HAVE ANY QUESTIONS ON THIS? I KNOW YOU GUYS MAY NOT HAVE.

IS THERE ANYTHING WITH ACCEPTING THESE GRANT MONIES THAT'S GOING TO DO ANYTHING OTHER THAN MAYBE PUT A SPEED CUSHION IN FRONT OF A SCHOOL? MAYBE HELP US GET A BIKE LANE, SIDEWALKS THAT NEED TO BE FOR WALK-ABILITY TO AND FROM SCHOOL.

IS THERE ANYTHING IN THERE THAT YOU FEEL LIKE YOU GOT TO READ BETWEEN THE LINES OR MAYBE IT'S IN THE DARK IN ANY WAY?

>> NO. THERE ARE NO STRINGS ATTACHED TO THIS.

THIS IS A WAY FOR AMARILLO TO DO MORE NEEDED INFRASTRUCTURE AND PUBLIC IMPROVEMENTS.

I JUST WE HAVE TO PURSUE IT THROUGH A SAFETY, LIKE USE SAFETY AS OUR WAY TO ACCESS THOSE FUNDS.

>> I APPRECIATE YOU COMING BACK.

>> YEAH. OF COURSE.

>> THANK YOU. WOULD REQUEST A MOTION ON ITEM D?

>> [INAUDIBLE].

>> MOTION AND A SECOND ON 9D.

ALL IN FAVOR PLEASE SAY AYE.

>> AYE.

>> ANY OPPOSED?

>> ONE MORE MOTION TO ADJOURN, PLEASE.

>> MAKE MOTION TO ADJOURN.