>> GLAD YOU'RE HERE, TO YOUR CITY COUNCIL MEETING,
[1. Call to Order]
[00:00:03]
OCTOBER 14TH, I'M GOING TO GO AHEAD AND OFFICIALLY CALL US TO ORDER.THANK YOU FOR COMING, IF YOU WOULD.
WE HAVE BRADLEY SPEER HERE FROM OASIS CHURCH, WHO'S GOING TO GIVE THE INVOCATION.
IF EVERYONE WOULD PLEASE STAND AND REMAIN STANDING FOR THE PLEDGES.
>> DEAR HEAVENLY FATHER, WE THANK YOU SO MUCH FOR YOUR LOVE FOR US, AND THANK YOU FOR THE WAY THAT YOU'VE REPRESENTED THAT LOVE TO US IN SO MANY WAYS.
THANK YOU, GOD, THAT YOU HAVE HONORED US WITH YOUR HAND OF PROTECTION UPON OUR COUNTRY, UPON OUR GREAT STATE, AND UPON THE CROWN OF YOUR EARTHLY CREATION OF WHICH WE ARE BLESSED TO LIVE IN THE AMAZING CITY OF AMARILLO, TEXAS.
THANK YOU, LORD, FOR THE WAY THAT YOU HAVE HELD US, GUARDED US, AND PROTECTED US.
LORD, WE ASK YOU TO BLESS THIS CITY COUNCIL SESSION.
WE PRAY GOD THAT YOU WOULD GIVE GOODLY WISDOM AND GUIDANCE TO THESE GENTLEMEN, AS THEY TAKE ON THE BURDEN OF LEADERSHIP, AND GIVE THEM DISCERNMENT FOR THE DECISIONS SET BEFORE THEM.
WE PRAY, LORD, THAT YOU WOULD BLESS THEM AND GUARD THEM, AS THEY SERVE AMARILLO AND HER CITIZENS.
THEIR SERVICE AND THEIR SACRIFICE REMIND EACH OF US OF OUR LORD AND SAVIOR, JESUS CHRIST, WHO SERVED US ALL BY SACRIFICING HIMSELF ON THE CROSS TO DIE FOR OUR SINS.
IT'S IN THE NAME OF JESUS CHRIST THAT WE PRAY. AMEN.
>> THE FLAG OF THE UNITED STATES OF AMERICA AND TO THE REPUBLIC FOR WHICH IT STANDS, ONE NATION UNDERGOING INDIVISIBLE, WITH LIBERTY AND JUSTICE FOR ALL.
>> I PLEDGE ALLEGIANCE TO THEE, TEXAS, ONE STATE UNDER GOD, ONE AND INDIVISIBLE.
I'M GOING TO REPEAT IT. WE HAVE A FEW MORE PEOPLE SHOWING UP HERE.
IF YOU NEED A SEAT AND YOU ARE HAVING TO STAND, AND YOU WOULD LIKE TO, WE ARE GOING TO LIVE-STREAM THE ENTIRE MEETING DOWNSTAIRS, FIRST FLOOR, ROOM 1,500.
PLEASE FEEL FREE TO GO DOWN THERE.
IF YOU'RE OKAY STANDING, THAT'S GREAT AS WELL.
IF YOU HAVE SEATS AROUND YOU, PLEASE FEEL FREE TO COME AND FIND A SEAT IF YOU'D LIKE TO SIT DOWN.
AT THIS TIME, WE ARE GOING TO DO SOME PROCLAMATIONS.
[5. Proclamations]
WE HAVE THREE OF THEM.WE'LL BE READING FOR NATIONAL CHIROPRACTIC HEALTH MONTH, NATIONAL FIRST RESPONDERS DAY, AND NATIONAL CODE COMPLIANCE MONTH.
GENTLEMEN, IF Y'ALL WILL MEET ME DOWNSTAIRS HERE, WE'RE GOING TO GO AHEAD AND DO THESE PROCLAMATIONS.
>> OKAY. THE FIRST ONE IS NATIONAL CHIROPRACTIC MONTH.
IS JEREMY RAFF HERE? COME ON. YOU AND ANY CREW YOU'VE GOT. JUST YOU? OKAY. WHEREAS THE HEALTH, MOBILITY, AND QUALITY OF LIFE OF AMAL RESIDENTS ARE STRENGTHENED WHEN MUSCULOSKELETAL HEALTH IS PRIORITIZED THROUGH PREVENTION, MOVEMENT, AND EARLY CARE, AND WHEREAS DOCTORS OF CHIROPRACTIC ARE ESSENTIAL HEALTH CARE PROFESSIONALS WHO FOCUS ON THE DIAGNOSIS, TREATMENT, AND PREVENTION OF DISORDERS OF THE SPINE AND MUSCULOSKELETAL SYSTEM, EMPHASIZING A NATURAL, WHOLE PERSON APPROACH TO PATIENT CARE.
AND WHEREAS EACH OCTOBER, THE AMERICAN CHIROPRACTIC ASSOCIATION AND DOCTORS OF CHIROPRACTIC ACROSS THE NATION CELEBRATE NATIONAL CHIROPRACTIC HEALTH MONTH.
ENCOURAGING AWARENESS OF THE BENEFITS OF CHIROPRACTIC CARE AND THE IMPORTANCE OF MAINTAINING SPINAL HEALTH, AND WHEREAS THE 2025 THEME, GET STARTED WITH CHIROPRACTIC, HIGHLIGHTS THE VALUE OF BEGINNING A NON-DRUG APPROACH TO PAIN MANAGEMENT, ENCOURAGING PATIENTS TO EXPLORE SAFE, EFFECTIVE, AND EVIDENCE-BASED CHIROPRACTIC CARE AS PART OF A PROACTIVE WELLNESS PLAN.
AND WHEREAS, THE CITY OF AMARILLO RECOGNIZES THE CONTRIBUTIONS OF CHIROPRACTIC PROFESSIONALS WHO SERVE OUR COMMUNITY WITH SKILL AND COMPASSION, HELPING RESIDENTS OF ALL AGES STAY ACTIVE, REDUCE PAIN, AND LIVE HEALTHIER, MORE BALANCED LIVES.
NOW, THEREFORE, WE, MAYOR AND CITY COUNCIL OF THE CITY OF AMARILLO, TEXAS, DO HEREBY PROCLAIM THE MONTH OF OCTOBER 2025 AS NATIONAL CHIROPRACTIC HEALTH MONTH.
[00:05:05]
>> I APPRECIATE. I JUST WANT TO THANK THE GREAT CITY OF AMARILLO, AND TO ALL THE CITIZENS AND ALL THE DOCTORS OF CHIROPRACTIC THAT ARE ALL OVER THE RURAL AREA THAT WE SERVE, WESTERN OKLAHOMA, THE OKLAHOMA PANHANDLE, SOUTHERN KANSAS, AS WELL AS EASTERN NEW MEXICO.
AMARILLO IS A HUB FOR HEALTHCARE.
IT'S A HUB FOR MANY THINGS, AND WE JUST THANK THE CITY FOR ACKNOWLEDGING THAT AND APPRECIATE EVERYBODY.
>> GARY PITNER. AND FIRST RESPONDERS.
>> WHEREAS THE STRENGTH AND SAFETY OF THE CITY OF AMARILLO ARE UPHELD BY THE COURAGE, DEDICATION, AND SELFLESS SERVICE OF OUR FIRST RESPONDERS, AND WHEREAS EVERY DAY, MEN AND WOMEN IN LAW ENFORCEMENT, FIRE PROTECTION, EMERGENCY MEDICAL SERVICES, DISPATCH AND OTHER PUBLIC SAFETY ROLES, ANSWER THE CALL TO SERVE, OFTEN PLACING THEMSELVES IN HARM'S WAY TO PROTECT THE LIVES AND PROPERTY OF OTHERS, AND WHEREAS THESE INDIVIDUALS STAND READY AT ALL HOURS IN EVERY CIRCUMSTANCE TO RESPOND WITH SKILL, COMPASSION, AND COMMITMENT, BRINGING HELP AND HOPE TO THOSE IN NEED.
AND WHEREAS NATIONAL FIRST RESPONDERS DAY PROVIDES AN OPPORTUNITY FOR OUR COMMUNITY TO COME TOGETHER IN GRATITUDE AND TO RECOGNIZE THE EXTRAORDINARY CONTRIBUTIONS OF THOSE WHO SERVE ON THE FRONT LINES.
AND WHEREAS THE CITY OF AMARILLO PROUDLY HONORS THESE HEROES, PAST AND PRESENT, FOR THEIR STEADFAST DEVOTION TO DUTY, AND FOR THE PROFOUND DIFFERENCE THEY MAKE IN THE LIVES OF OUR CITIZENS.
NOW, THEREFORE, WE, MAYOR AND CITY COUNCIL MEMBERS OF THE CITY OF AMARILLO, TEXAS, DO HEREBY PROCLAIM OCTOBER 28, 2025, AS NATIONAL FIRST RESPONDERS DAY.
>> WELL, FIRST OF ALL, REPRESENTING EVERYBODY BACK HERE, AS WELL AS ALL THE FIRST RESPONDERS IN THE 26 COUNTIES UP HERE.
THIS IS ALL OF OUR FIRST RESPONDERS, OUR EMS, AND OUR FIREFIGHTERS, AS WELL.
THEY WERE ALL SUPPOSED TO COME AND SPEAK, BUT ONLY I GOT TO SHOW UP.
BUT WE REALLY WANT TO SAY THANK YOU.
THE FRIENDS OF AJ SWOPE AND THE FIRST RESPONDER MEMORIAL THAT'S GOING IN IN OUR TENTH AND POKE IS GOING TO BE AN OUTSTANDING PLACE WHERE OUR ONES THAT HAVE FALLEN CAN BE HONORED, AND THEY DON'T HAVE TO GO TO AUSTIN TO HONOR THEM.
THEY'LL HAVE THEIR OWN MEMORIAL RIGHT HERE IN THE CITY OF AMARILLO, AND WE'RE SO HAPPY.
WE'RE ALMOST THERE. WE'RE GETTING THE MONEY SO WE CAN FINALLY GET STARTED ON THAT, AND WE'VE BEEN PUSHING FOR THAT.
AND SO WE'RE HOPING BY THE 28TH THAT WE'LL HAVE THAT MONEY AND GET STARTED ON THAT.
BUT WE APPRECIATE THIS. THANK YOU VERY MUCH.
I'M PRIVILEGED TO HAVE HAD THE OPPORTUNITY TO WORK TOWARD THE CONSTRUCTION OF THE MEMORIAL OF THE 11TH AND POKE, AND I APPRECIATE, MR. MAYOR AND COUNSEL, THE OPPORTUNITY TO BE HERE AND UPDATE THE COMMUNITY VERY BRIEFLY.
IT'S BEEN A LONG, THREE-YEAR PROCESS, BUT WE'RE ALMOST THERE.
YOU KNOW, WE HAVE LOST 104 MEN AND WOMEN WHO HAVE GIVEN THEIR LIVES IN THE LINE OF DUTY SINCE WE HAD OUR BEGINNINGS IN THE TEXAS PANHANDLE, AS WE KNOW IT TO BE TODAY, BACK IN THE 1880S.
THE FIRST LOSS OF LIFE WAS A DEPUTY SHERIFF, OUT IN OLDHAM COUNTY WAS SHOT AND KILLED OUTSIDE OF A SALOON AT OLD TASCOSA, WHILE TRYING TO MAKE A GAMBLING ARREST.
AND UNFORTUNATELY, THOSE LOSSES CONTINUE.
OUR MOST RECENT LOSS HERE IN THE PANHANDLE WAS THE ASSISTANT FIRE CHIEF UP IN PERRYTON,
[00:10:01]
WHO WAS KILLED LAST YEAR WHILE ACTUALLY BATTLING A BLAZE THERE IN PERRYTON.IT BEGAN BACK IN 2022, NOT IN THIS ROOM, BUT IN THE CORRESPONDING ROOM IN THE OLD CITY HALL, WHEN THE AMARILLO CITY COUNCIL AGREED TO LEASE TO THE FRIENDS OF AJ SWOPE, A PIECE OF PROPERTY, A PARCEL OF PROPERTY AT THE CORNER OF 11TH AND POKE IN DOWNTOWN AMARILLO.
THAT WILL BE THE SPOT ON WHICH THE MEMORIAL WILL BE CONSTRUCTED.
BEAUTIFUL SETTING, AND HEAR THE CHURCH BELLS RING ON THE TOP OF THE HOUR.
AND YET IT'S STILL IN THE HEART OF OUR CITY AND IN THE HEART OF THE TEXAS PANHANDLE, BEING RIGHT THERE ON POKE.
OF THE MILLION DOLLARS THAT WE NEED, WE'VE RAISED OVER 850,000.
SO IF ANYONE WOULD LIKE TO WRITE ME A CHECK FOR THE FINAL AND ONE $150,000, I'M AVAILABLE TO RECEIVE THAT CHECK.
BUT WE ARE IN THE MIDST OF OUR FINAL PUBLIC FUNDRAISING CAMPAIGN, AND WE WOULD ENCOURAGE YOU, IF YOU HAVEN'T ALREADY AND WOULD LIKE TO GO TO TEXASPANHANDLEFIRSTRESPONDERS.ORG AND MAKE A CONTRIBUTION TO THIS VERY, VERY WORTHWHILE PROJECT.
YOU KNOW, THESE GUYS AND GALS PUT ON THESE UNIFORMS EVERY DAY FOR US.
AND UNLIKE MOST OF US, THEY KNOW THAT THERE'S A CHANCE THAT THEY MIGHT NOT RETURN HOME TO THEIR FAMILIES, AND THEY TAKE THAT CHANCE FOR US TO TAKE CARE OF THE BIG THINGS AND THE SMALL THINGS.
ONE OF THE EXAMPLES, THIS MORNING, THERE WAS A LOST CHILD IN DOWNTOWN AMARILLO.
AND I UNDERSTAND HE'S BACK WITH HIS FAMILY NOW, AND THEY'RE THERE FOR THOSE KINDS OF THINGS AND THE LARGE THINGS AS WELL.
SO THANK YOU, CITY COUNCIL, FOR YOUR SUPPORT OVER THE YEARS ON THIS PROJECT, AND THANKS TO THE COMMUNITY.
WE LOOK FORWARD TO A GROUNDBREAKING SHORTLY AFTER THE FIRST OF THE YEAR. THANK YOU.
>> WE'RE GOING TO TAKE A PHOTO.
LET'S SEE. I MIGHT NEED Y'ALL TO MAKE A ROW.
ANOTHER ROW. YES. I'M SO SORRY.
>> AND THEN SCOOT OVER JUST A LITTLE BIT THIS WAY.
>> OKAY. ONE, TWO, THREE, ONE, TWO, THREE. THANK Y'ALL.
>> THIS READY? THE CODE COMPLIANCE OFFICERS.
WE HAVE ANY CODE COMPLIANCE FOLKS HERE? [BACKGROUND].
>> ALL RIGHT. NATIONAL CODE COMPLIANCE MONTH.
CITY OF AMARILLO, AMARILLO, TEXAS CITY COUNCIL PROCLAMATION, WHEREAS CODE COMPLIANCE OFFICERS PLAY A VITAL ROLE IN KEEPING AMARILLO NEIGHBORHOODS CLEAN, SAFE, AND VIBRANT THROUGH THE FAIR AND CONSISTENT ENFORCEMENT OF CITY CODES AND ORDINANCES, AND WHEREAS THESE DEDICATED PUBLIC SERVANTS WORK DAILY TO PROTECT PROPERTY VALUES, PROMOTE PUBLIC HEALTH, AND ENHANCE THE OVERALL QUALITY OF LIFE FOR AMARILLO RESIDENTS, AND WHEREAS THEIR EFFORTS HELP PREVENT NEIGHBORHOOD DETERIORATION, ADDRESS UNSAFE CONDITIONS AND ENCOURAGE CIVIC PRIDE THROUGHOUT OUR COMMUNITY.
AND WHEREAS THE AMERICAN ASSOCIATION OF CODE ENFORCEMENT DESIGNATES OCTOBER AS NATIONAL CODE COMPLIANCE MONTH TO RECOGNIZE THE PROFESSIONALISM AND COMMITMENT OF CODE COMPLIANCE OFFICERS ACROSS THE NATION.
WHEREAS THE CITY MARSHAL'S OFFICE RESPONDS TO A WIDE RANGE OF CODE VIOLATIONS, UPHOLDING THE STANDARDS THAT CONTRIBUTE TO A CLEANER, SAFER, AND MORE VIBRANT COMMUNITY.
NOW THEREFORE, WE, MAYOR AND CITY COUNCIL MEMBERS OF THE CITY OF AMARILLO, DO HEREBY PROCLAIM THE MONTH OF OCTOBER 2025 AS NATIONAL CODE COMPLIANCE MONTH IN AMARILLO, TEXAS, AND ENCOURAGE ALL CITIZENS TO JOIN IN RECOGNIZING AND THANKING OUR CODE COMPLIANCE OFFICERS FOR THEIR DEDICATION IN KEEPING AMARILLO SAFE,
[00:15:02]
CLEAN, AND A BEAUTIFUL PLACE TO LIVE.>> GOOD AFTERNOON, EVERYONE. MAYOR, COUNCIL, STAFF, AND COMMUNITY.
THANK YOU FOR THIS PROCLAMATION, AND THANK YOU FOR THE CONTINUED SUPPORT OF OUR DEPARTMENT.
CODE ENFORCEMENT IS NOT JUST ABOUT GOING OUT AND ENFORCING CODES.
IT'S ABOUT MAKING AMARILLO SAFER, CLEANER, MORE ATTRACTIVE, AND MOST IMPORTANTLY, FOR IMPROVING OUR ECONOMIC GROWTH.
THE FOLKS YOU SEE BEHIND ME ARE A WONDERFUL GROUP OF PEOPLE.
THEY'RE THE ONES BEHIND THE SCENES AND OUT IN THE FIELD DOING ALL THE WORK.
SO BIG THANK YOU TO ALL OF THEM.
I'M GRATEFUL FOR EVERY ONE OF YOU.
>> I THINK ONCE AGAIN, SORRY, I NEED A ROW.
ONE MORE TIME. ONE, TWO, THREE. THANK YOU.
>> LADIES AND GENTLEMEN, WE ALWAYS APPRECIATE YOU LETTING US DO THAT AND TO HONOR THOSE PEOPLE THAT TAKE CARE OF EVERY ONE OF US BOTH IN AND AROUND THE CITY.
MR. CITY MANAGER, DO YOU HAVE ANY ANNOUNCEMENTS YOU NEED TO MAKE HERE TODAY? OKAY. THAT BRINGS US TO ITEM NUMBER 7.
[7. Public Comment]
THAT'S OUR PUBLIC COMMENT.BEFORE WE SET THAT UP, CAN I ASK FOR A SHOW OF HANDS? ANYONE WHO'S COME HERE, WHO'S WILLING TO SPEAK TODAY, WOULD YOU RAISE YOUR HAND? I'M NOT GOING TO DO AN ACTUAL COUNT, BUT I WOULD SAY 20-25 PEOPLE OR SO.
WE ALWAYS HAVE THE OPPORTUNITY TO HEAR FROM YOU GUYS, AND WE WANT THAT AND SO IT'S THREE MINUTES THAT WE NORMALLY DO.
THERE ARE PEOPLE THAT SHOW UP AND THEY'VE PREPARED A SPEECH, THEY'VE TYPED SOMETHING UP.
YOU DON'T EVER WANT TO HAVE SOMEBODY SHOW UP AND THEN ONLY GET TWO MINUTES AT THE MICROPHONE.
IT'S IMPORTANT THAT WE GIVE YOU YOUR TIME.
HOWEVER, WE ALSO DON'T WANT TO BE HERE FOR THE NEXT TWO, 2.5 HOURS, HOPEFULLY GOING THROUGH JUST THE PUBLIC COMMENT, PERIOD.
WE HAVE PLENTY OF PEOPLE THAT ARE HERE FOR A BUSINESS MEETING, AND I THINK WE'RE HOPING TO GET OUT OF HERE BY NINE O'CLOCK TONIGHT.
I ORDERED PIZZA ONE TIME BEFORE.
I HADN'T CALLED IT OFF YET, BUT WE WANT TO RUN AN EFFICIENT BUSINESS MEETING, BUT WE ALSO WANT TO PROVIDE A PLATFORM FOR DISCUSSION. I WOULD SAY THIS.
WE'RE GOING TO MAINTAIN OUR THREE MINUTE PERIOD, BUT WE'RE GOING TO LIMIT YOU TO YOUR THREE MINUTES.
AT THE THREE MINUTE TIME, EVEN IF YOU'RE NOT CONCLUDING WITH ALL OF YOUR COMMENTS, GO AHEAD AND WRAP IT UP AND BE HONORABLE AND RESPECTFUL OF EVERYBODY ELSE'S TIME THAT'S WAITING TO SPEAK AS WELL.
MS. CITY SECRETARY, IF YOU DON'T MIND, TO WALK US INTO PUBLIC COMMENT.
>> THANK YOU, MAYOR. THANK YOU FOR PARTICIPATING IN TODAY'S CITY COUNCIL MEETING.
YOUR INPUT AND YOUR OPINIONS ARE IMPORTANT TO US, AND WE'RE GLAD THAT YOU'RE HERE TO SHARE THEM TODAY.
AT EACH POSTED MEETING, WE INVITE OUR FELLOW COMMUNITY MEMBERS TO ADDRESS CITY COUNCIL REGARDING POSTED AGENDA ITEMS OR TOPICS RELATED TO CITY POLICY.
AS THE MAYOR STATED, EVERY SPEAKER WILL HAVE THREE MINUTES TODAY TO ADDRESS COUNCIL.
IF YOU ARE HERE TO SPEAK ON AN ITEM WITH A PUBLIC HEARING, AND WE DO HAVE ONE PUBLIC HEARING TODAY, WE WOULD ASK THAT YOU MAKE YOUR COMMENTS ON THAT ITEM EITHER DURING PUBLIC COMMENT OR THE PUBLIC HEARING, BUT NOT BOTH IN ORDER TO HELP US KEEP ACCURATE RECORDS, IT'S YOUR DECISION AT WHICH POINT YOU'D LIKE TO PROVIDE COMMENT ON THAT ITEM.
WHEN YOU COME TO THE MICROPHONE TODAY, PLEASE STATE YOUR NAME AND WHETHER OR NOT YOU LIVE WITHIN THE AMARILLO CITY LIMITS.
IF YOU ARE ADDRESSING COUNSEL ON AN AGENDA ITEM TODAY, PLEASE STATE YOUR POSITION SO THAT WE MAY REFLECT IT PROPERLY IN THE MINUTES.
IF YOU ARE SPEAKING TO AN ITEM NOT ON TODAY'S AGENDA,
[00:20:02]
PLEASE REMEMBER THAT THE TEXAS OPEN MEETINGS ACT LIMITS HOW ELECTED OFFICIALS MAY RESPOND.COUNSEL MAY RESPOND WITH STATEMENTS OF FACT.
THEY MAY ASK THAT YOUR TOPIC BE ADDED TO A FUTURE AGENDA, OR THEY MAY REFER YOUR MATTER TO THE CITY MANAGER WHO CAN HAVE STAFF STEP OUT AND VISIT WITH YOU.
AGAIN, WE ARE THANKFUL THAT YOU'RE HERE TODAY BECAUSE WE HAVE SO MANY PUBLIC COMMENTERS, WE ARE GOING TO MAKE USE OF BOTH PODIUMS TODAY.
WHILE OUR FIRST SPEAKER IS SPEAKING, WE'LL ASK OUR SECOND SPEAKER TO MAKE YOUR WAY UP TO THE OTHER PODIUM, AND THEN WE'LL ALTERNATE BACK AND FORTH.
WE'RE GOING TO START OUT WITH PAUL BURKHART..
AS PAUL BEGINS HIS COMMENTS, DAVID LZALDE, WILL HAVE YOU COME UP TO THE OTHER PODIUM.
>> MY NAME IS PAUL BURKHART, WONDERLAND AMUSEMENT PARK.
I'M HERE TO TALK ABOUT THE EVENT THAT HAS TO DO WITH EMPLOYMENT IN THE CITY.
SINCE 1970, I'VE BEEN IN THE CITY IN EACH YEAR EMPLOYING OVER 150 JOB ENTRY LEVEL PEOPLE.
DURING THAT PERIOD OF TIME, I'VE EXPERIENCED THE TURNOUT THE LIGHTS WHEN YOU LEAVE TOWN.
I THOUGHT, WHEN I GOT HERE, THIS IS A WONDERFUL PLACE TO LIVE AND FOR THE PAST 30 YEARS, I AGREE WITH THAT.
I THINK WHAT I'M LOOKING FOR IS THAT THE PEOPLE THAT ARE GOING TO PUT IN A NEW AI POWER SYSTEM, THAT WE NEED THAT KIND OF THING AND THINK ABOUT IT AT NOT NOW.
WE'RE LOOKING FOR THE THINGS IN THE FUTURE.
WE'VE IDENTIFIED WHAT IS REALLY POSSIBLE IN OUR CITY.
WE HAVE THE CENTRAL LOCATION. LOOK AT WHAT HAPPENED.
WE GOT THE BELL HELICOPTER, THE PACKING PLANS, ALL THIS KIND OF STUFF THAT HAVE TO DO WITH AGRICULTURE.
NOW, THIS IS SOMETHING NEW THAT WE HAVE, BUT WHAT DO WE HAVE BACKING IT UP? WE HAVE THE UNIVERSITY OF WEST TEXAS STATE, TEXAS A&M, TEXAS TECH, AMARILLO COLLEGE.
ALL THESE HAVE TO DO WITH WRITING AND DOING THINGS WITH COMPUTERS AND WHAT WE'RE DOING.
ALSO, WE LOOK AT THE OTHER END, THE CITY HAS THE IDEA TO PUT M-TECH, WHICH HAS TO DO WITH TRADES.
WE GOT EVERYTHING HERE IN PLACE.
ALL WE NEED TO DO IS GET THE PRODUCT THAT NEEDS THOSE THINGS.
THEN GOING BACK TO MY EXPERIENCE WITH KIDS, THESE YOUNG PEOPLE WANT TO STAY IN THEIR AREA.
I'M LOOKING FOR SOME ANY PEOPLE THAT WANT TO ONCE TO GO THROUGH SCHOOL HERE, COME BACK AND LIVE IN THIS GREAT CITY OF AMARILLO.
THAT'S WHY I SAY, PLEASE DO THINK ABOUT WHAT WE'RE DOING.
NOT WHAT'S HAPPENED IN THE PAST, BUT WHAT WE CAN DO IN THE FUTURE.
>> IS DAVID LZALDE HERE? IF NOT, JAMES TIP INGLI.
MIKE FORD. AFTER MIKE FORD, ALAN FEINGOLD, IF YOU'LL MAKE YOUR WAY TO THE OTHER PODIUM, PLEASE.
>> THIS TALL ONE? POSSIBLE TO MAKE A PARLIAMENTARY INQUIRY BEFORE THE TIME STARTS?
>> IF YOU'D LIKE TO GO AHEAD AND LET HIM SPEAK, YOU CAN STEP OVER TO THE SECRETARY AND WE CAN [OVERLAPPING]
>> I'M JUST ASKING ABOUT THE LETTER OF INTENT THAT WAS SUPPOSEDLY ISSUED.
>> NO, SIR. WE'LL ADDRESS THAT HERE LATER TODAY, THOUGH.
IS THERE A LETTER OF INTENT THAT EXISTS? APPARENTLY, IT DOES BECAUSE THE MAYOR'S SAYING SO.
>> WE'LL BE GLAD TO OFFER THAT HERE LATER IN THE MEETING, SIR DURING THE DISCUSSION.
>> WELL IT'D BE NICE TO HAVE A CONVERSATION RIGHT NOW BECAUSE I'M PREPARED TO HAVE A CONVERSATION ABOUT A LETTER OF INTENT.
THAT'S THE PURPOSE OF PUBLIC COMMENT, MR. MAYOR.
>> MR. FORD, WE APPRECIATE YOU.
HAVE A QUESTION IN TERMS OF LETTER OF INTENT.
IF THERE IS A LETTER OF INTENT, MAN, WHAT A MESS.
FERMI IS GOING TO HAVE DAMAGES.
SHAREHOLDERS ARE GOING TO HAVE DAMAGES.
SUPREME COURT JUSTICE OLIVER WINERHM, ONCE OBSERVED SOMETHING PROFOUND ABOUT HUMAN UNDERSTANDING WHEN HE SAID, "I WOULDN'T GIVE A FIG FOR SIMPLICITY ON THIS SIDE OF COMPLEXITY, BUT I GIVE MY RIGHT ARM FOR SIMPLICITY AND ON THE FAR SIDE OF COMPLEXITY." HIS WORKS SPEAK TO FUNDAMENTAL TRUTH ABOUT HOW WE MAKE IMPORTANT DECISIONS.
THERE IS A SIMPLICITY THAT COMES FROM IGNORANCE, YET FROM NOT HAVING CONFRONTED THE TRUE DIFFICULTY OF A PROBLEM.
THEN THERE'S ANOTHER SIMPLICITY,
[00:25:01]
HARDER ONE CLARITY THAT EMERGES ONLY AFTER DONE WITH DIFFICULT WORK, GENUINE UNDERSTANDING OF WHILE THE COMPLEXITIES INVOLVED.I'M ASSUMING THAT THE PEOPLE FROM FERMI, THEIR STRONG NUCLEAR TEAM THAT THEY PUT TOGETHER WOULD NOT WANT TO CITE FOUR AP 1,000 REACTORS IN A LOCATION THAT ONLY HAS 20 YEARS OF A USABLE AFTER FOR LIFE.
THE ACC, THE AIR COOL CONDENSERS THAT THEY'RE PROPOSING TO USE, EXCUSE ME, I'M HURRYING VERY QUICKLY, HAVE BEEN REJECTED BY THE SOUTHERN COMPANY, THE LAST COMPANY THAT TRIED THAT BUILT THE TWO AP 1,000 FOR GEORGIA SOUTHERN.
THE TWO EXISTING REACTORS THAT THEY HAVE AT THE SITE FOR VOGEL USED OVER 100 MILLION GALLONS PER DAY.
THEY'RE LICENSED TO UP TO GO ABOUT 127 MILLION GALLONS PER DAY.
THEY USED OVER 100 MILLION GALLONS PER DAY, ON AVERAGE, THEY USE 62 MILLION GALLONS PER DAY.
THE TWO AP 1,000 WILL USE MORE THAN THAT.
THAT'S JUST TWO. YOU'RE LOOKING AT FOUR.
IF THESE ACCS DON'T WORK, WHAT HAPPENS? ARE THEY GOING TO FALL BACK TO THAT? I HOPE YOU ASK SOME TOUGH QUESTIONS OF THESE GUYS.
WHAT I'M ASKING TO DO TODAY IS TO REJECT THE FALSE SIMPLICITY BEING OFFERED BY FERMI, AMERICA AND ITS REPRESENTATIVES, AND INSTEAD DO THE HARD WORK NECESSARY TO ACHIEVE GENUINE UNDERSTANDING BECAUSE ONCE YOU TRULY GRASP WHAT THIS WATER AGREEMENT ENTAILS AND WORK THROUGH ALL THE COMPLEXITY TO REACH CLARITY ON THE FAR SIDE, THE RIGHT DECISION BECOMES UNQUESTIONABLY CLEAR.
THANK YOU VERY MUCH.[APPLAUSE]
>> CAN WE PLEASE HAVE STEVE KIRSCH MAKE YOUR WAY TO THE EMPTY PODIUM AND MR. FEINGOLD, YOU MAY BEGIN?
>> I HAD NOT INTENDED TO ADDRESS YOU ABOUT THE FERMI PROJECT, BUT IT SEEMS TO HAVE COME UP VERY SUDDENLY.
I'M GOING TO ESSENTIALLY FURTHER THE POINT THAT MR. FORD MADE.
YOU HAVE LIMITED WATER IN THIS AREA.
THE CITY HAD SPENT ENORMOUS AMOUNTS OF TIME AND EFFORT TO ACQUIRE WATER RIGHTS IN ROBERTS COUNTY.
IF YOU INTEND TO USE ANY OF THE WATER FROM ROBERTS COUNTY TO ESSENTIALLY SUPPLEMENT THE FERMI PROJECT, THE PUBLIC NEEDS TO HAVE A DISCUSSION ABOUT THIS AND THIS ALONE.
THE AQUIFER THAT YOU HAVE AVAILABLE IS INADEQUATE FOR THE KIND OF PROJECT THAT HAS BEEN PROPOSED.
IT IS SAID, PERHAPS IT WAS INCORRECT, BUT IT WAS WRITTEN IN THE PAPER THAT THIS IS GOING TO BE A 10 GIGAWATT PROJECT.
THAT MEANS 10 ONE BILLION WATT CAPACITY NUCLEAR REACTORS.
THIS IS WAY BEYOND THE CAPABILITIES OF THIS AREA TO SUSTAIN.
IT IS PROBABLY BEYOND THE CAPABILITIES OF ANYONE IN THIS AREA TO BUILD SAFELY.
THIS PROJECT WILL HAVE MORE EFFECT ON THIS AREA THAN ANYTHING YOU'VE EVER DONE.
BEFORE YOU MAKE ANY MAJOR COMMITMENT TO A CORPORATION OR ANYONE ELSE ON BEHALF OF THIS CITY, YOU NEED TO HAVE EXTENSIVE PUBLIC DISCUSSIONS WHERE THE ONLY TOPIC IS THAT PROJECT.
YOU NEED TO HAVE AVAILABLE THE ENTIRE TIME FOR THE PUBLIC TO COME AND ADDRESS THIS AND CONSIDER THE DETAILS INVOLVED IN TRYING TO BUILD A BUNCH OF NUCLEAR REACTORS FOR THE SAKE OF ARTIFICIAL INTELLIGENCE.
I FIND THAT ARTIFICIAL INTELLIGENCE IS NOW USED QUITE OFTEN AS AN EXCUSE FOR THE LACK OF NATURAL INTELLIGENCE, AND THAT COMES MAINLY FROM THE FAILURE TO DO ADEQUATE INVESTIGATIONS OF WHAT THEY'RE GETTING INTO.
>> IS STEVE KIRSCH IN THE AUDIENCE? STEVE KIRSCH.
AS JASON MAKES HIS WAY UP, ELLIOT MCKINNEY WILL BE AFTER JASON.
ELLIOT, IF YOU'LL MAKE YOUR WAY UP TO THE OTHER PODIUM.
>> GOOD AFTERNOON. THANK YOU. I'M JASON GREEN.
I'M NOT A RESIDENT IN THE CITY OF AMARILLO.
I LIVE REAL CLOSE TO POTTER COUNTY.
[00:30:04]
FIFTH GENERATION IN THE TEXAS PANHANDLE, THIRD INTEGRATION IRRIGATED FERMI, THIRD GENERATION PANTEX.I DO NOT ACTUALLY WORK FOR PANTEX.
I WORK ON THE SITE. I HAVE A LITTLE BIT OF HISTORY WITH THE SITE OUT THERE.
I WOULD JUST LIKE TO MAKE A FEW COMMENTS TODAY THAT, AS I'VE BEEN OUT THERE THESE LAST 13 YEARS, THE HISTORY OF PANTEX AND WHY IT CAME ABOUT DURING WORLD WAR II.
IT WAS NOT THE BEST OF TIMES, BUT WE HAD A WAR TO FIGHT, AND WE'RE IN A SIMILAR SITUATION NOW, I FEEL.
THE NEXT WAR IS ALREADY GOING ON.
THIS FACILITY THAT WE'RE TALKING ABOUT BUILDING OUT HERE AND BRINGING ONLINE WILL HELP FIGHT THAT NEXT WAR.
AS A RESIDENT AND A NEIGHBOR OF THAT AREA OUT THERE, I FEEL THAT IT'S GOING TO BE GOOD FOR THE COMMUNITY, GOOD FOR THE AREA.
I'VE ALREADY MADE THE COMMENT BEFORE, WITH MULTIPLE JOBS, MEN OUT THERE, HIGHLY SKILLED JOBS, GOOD PAYING JOBS.
I THINK IT CAN BE GOOD FOR THE COMMUNITY.
IT WAS BROUGHT UP EARLIER THAT THE WATER THAT ALL OWN IN ROBERTS COUNTY UP THERE.
I WAS ON THAT BOARD OF THE GROUNDWATER DISTRICT FOR 14 YEARS.
I WAS THERE THE DAY WE VOTED POTTER AND RANDALL COUNTY IN AND THE CITY OF AMARILLO ONTO THE BOARD AS WE BROUGHT THIS WATER ON THAT WE'RE TALKING ABOUT THAT'S COMING UP OUT HERE THAT Y'ALL ARE GOING TO USE POTENTIALLY.
THAT WATER, AS I REMEMBER, YOU-ALL WANTED TO PURCHASE WATER TO HELP MAINTAIN CURRENT WATER NEEDS PLUS YOU WANTED TO PROVIDE FOR THE FUTURE OF THIS AREA.
WE'RE JUST NOT TALKING ABOUT THE CITY OF AMARILLO, WE'RE TALKING ABOUT THE WHOLE TEXAS PANHANDLE.
THERE'S GOING TO BE MULTIPLE OPPORTUNITIES FOR EVERYBODY TO BENEFIT FROM THIS, AND I'D HOPE THAT YOU WOULD HELP BRING IT FORWARD, AND BE A PART OF IT AS THIS FUTURE COMES ABOUT FOR THIS AREA. THANK YOU.
>> THANK YOU, MR. BONZER. [APPLAUSE]
>> WE CAN GET ANDREW FUENTES TO MAKE YOUR WAY TO THE EMPTY PODIUM. ELLIOT, YOU MAY BEGIN.
>> ELLIOT MCKINNEY, AMARILLO RESIDENT, AND I AM HERE IN SUPPORT OF THE WATER AGREEMENT WITH FIRME AMERICA.
REALLY, WATER IS CERTAINLY A VALUABLE ASSET AND RESOURCE THAT WE HAVE, BUT IT'S NOT IN MY MIND ALL ABOUT THE WATER IN THIS CASE, AS IT WAS JUST MENTIONED, AMARILLO AND THIS COMMUNITY HAS PLAYED A CRITICAL ROLE IN LET'S CALL IT THE DEFENSE OF OUR COUNTRY, AND I SEE IT THE SAME WAY.
THAT'S A SITUATION WE FIND OURSELVES IN TODAY.
WHERE YOU LIE ON AI, IT'S IRRELEVANT AT THIS POINT BECAUSE IT'S HERE AND IT'S COMING, AND I WOULD RATHER US AS A COMMUNITY AND A NATION BE IN FRONT OF THAT VERSUS BEHIND IN A LOT OF WAYS WE'RE PLAYING CATCH-UP TODAY.
THAT'S MY CORE POSITION ON IT.
THEN, IN TERMS OF I THINK IT'S POTENTIALLY JUST AS IMPACTFUL, BUT QUITE FRANKLY, IT'S QUITE A BIT BELOW THE REASON I JUST STATED, AND THAT'S THE ECONOMIC BENEFIT OF HAVING THIS TYPE OF DEVELOPMENT IN OUR AREA AND IN TEXAS.
THE CORE JOBS, THE TECHNOLOGY, THE ANCILLARY JOBS COULD BE SUCH THAT WE HAVEN'T SEEN HERE THAT WE JUST HAVEN'T WITNESSED.
SURE, THERE'S A BIT OF SPECULATION THERE, BUT I KNOW THAT THE MAYOR AND COUNCIL HAVE CONSIDERED STEPS AND PHASES TO THIS PLAN., WE ARE NOT MAKING I DON'T THINK WE'RE OVERREACHING ON OUR COMMITMENTS TODAY FOR WHAT'S BEING ASKED FOR.
I THINK WE'RE BEING SMART IN OUR APPROACH AND LOOKING AT IT IN PHASES.
AS SUCH, THERE'S BEEN COMMENTS ABOUT THE TECHNOLOGY AND THINGS THAT COULD COME UP THAT REDUCE THE AMOUNT OF WATER THAT WE NEED, AND I THINK THIS IS THE STEPS AND THE WAYS TO SEE THAT THROUGH.
AGAIN, I'M IN FAVOR OF THESE STEPS IN THIS PHASED APPROACH THAT WE'RE TAKING, I WOULD EMPHASIZE THAT, QUITE FRANKLY, SECOND PLACE IS NOT AN OPTION, AND FIRST PLACE IS NOT GIVEN.
WE DO NEED TO FIGHT FOR THIS IN MY OPINION.
I WOULD BE REMISS IF I DIDN'T SAY TO THE MAYOR,
[00:35:01]
THE COUNCIL, TO THE CITY.WE THANK YOU FOR THE TIME AND SERVICE THAT YOU GIVE, AND IT'S GREATLY APPRECIATED. THANK YOU.
>> WE CAN PLEASE HAVE JEFF MCGONAGAL MAKE YOUR WAY TO THE EMPTY PODIUM.
>> HELLO. MY NAME IS ANDREW FUENTES.
I'M HERE SPEAKING TODAY AGAINST THE FERMI PROJECT.
I FIND IT CONCERNING THAT AN OUTSIDE ENTITY, SUCH AS FERMI, COULD COME IN THROUGH THEIR WEALTH AND INFLUENCE AND PLAN CONSTRUCTION IN CLOSE PROXIMITY TO THE HIGHLY SECURE PANTIS FACILITY.
THESE DATA CENTERS YOU DON'T WANT THESE IN YOUR CITY.
YOU DON'T WANT THEM IN YOUR FRIEND'S TOWN.
YOU DON'T WANT THEM ANYWHERE NEAR ANYBODY, FOR THAT MATTER.
I AM REALLY CONCERNED ABOUT THE RESOURCES THAT THESE DATA CENTERS ARE PLANNING TO TAKE FROM AMARILLOANS AND TEXANS, OUR WATER.
WE'VE SEEN THROUGH OTHER DATA CENTERS THAT HAVE BEEN BUILT.
THEY GET ENERGY DEALS BEHIND CLOSED DOORS.
THEN THEY TRANSFER THOSE COSTS OVER TO THE CONSUMERS TO MAKE UP THE DIFFERENCE.
THE LOCAL RESIDENTS OF THOSE HANDS END UP PAYING HIGHER BILLS IN UTILITIES, WHILE THESE WEALTHY BILLIONAIRE CORPORATIONS GET ALL OF THOSE SAVINGS.
IT'S THAT KIND OF WEALTH AND INFLUENCE THAT SCARES ME ABOUT THIS PROJECT, AS I AM SOMEBODY WHO STRUGGLES TO MAKE THEIR MONTHLY MORTGAGE, AND HIRE UTILITIES, AND KNOWING THAT THERE'S A DATA CENTER THERE THAT'S WANTING TO CONSUME OUR RESOURCES IS DEFINITELY REALLY WORRYING TO ME.
ALSO, THESE DATA CENTERS ARE NOT GOING TO BE BRINGING THOSE JOBS THAT PEOPLE BELIEVE ARE GOING TO BE BROUGHT HERE.
THOSE DATA CENTERS ARE FAIRLY AUTONOMOUS, AND THEY REQUIRE VERY LITTLE LABOR TO OPERATE, AS WELL AS REQUIRE PERSONNEL WITH VERY SPECIFIC KNOWLEDGE, AND I DON'T SEE THOSE BRINGING WORK TO AMARILLOANS AND PEOPLE IN THE NEIGHBORING TOWNS. THAT'S IT.
WHILE CHRIS IS MAKING HIS COMMENTS, IF WE COULD GET TOM TORTORIO UP TO THE SECOND PODIUM.
>> AFTERNOON, GENTLEMEN. I'M CHRIS PITTMAN, AMARILLO RESIDENT.
FIRST ITEM I'D LIKE TO TALK ABOUT IS ITEM 8Q, I KNOW BREAKING AWAY FROM FERMI FOR A MOMENT.
THIS IS THE PEN LINK TANGLES BRONZE SUBSCRIPTION.
I WOULD LIKE TO ASK THE COUNCIL TO VOTE NO ON THIS.
THIS IS A SLIPPERY SLOPE AND WOULD EXPOSE AMARILLO TO NEW RISKS OF DATA PRIVACY INVASION, AND SETS A VERY DANGEROUS PRECEDENT.
>> THEN MOVING BACK TO 10B BACK TO FERMI.
AS I'M SURE YOU ALL KNOW, I'D RATHER BE HERE TALKING ABOUT BIKES, BUT WE'RE TALKING ABOUT WATER.
AS EVERYONE HAS ALREADY STATED, AND AS I FEEL, I'M TERRIFIED.
NEVER MIND FERMI COMING OR LEAVING.
I HAVE A FEELING THEY'RE GOING TO COME, WHETHER WE VOTE YES OR NO, THEY'LL GET THEIR WATER HOWEVER THEY WANT.
BUT WE JUST RECENTLY HAD THE CANADIAN RIVER MUNICIPAL WATER AUTHORITY COME HERE.
THEY TOLD US THAT 89% OF OUR WATER COMES FROM OUR DECLINING AQUIFER, 100% OF OUR WATER COMES FROM 60-YEAR-OLD INFRASTRUCTURE.
THAT HAS TO GO OVER DOZENS OF MILES TO GET TO US.
NOW WE'RE TALKING ABOUT LOSING POTENTIALLY EVEN MORE WATER TO A VERY WATER-THIRSTY INDUSTRY.
IT'S PUTTING ALL OF OUR EGGS IN ONE BASKET.
WHAT I'VE SHARED TODAY ON THIS PAMPHLET OR THIS HANDOUT IS A POTENTIAL SOLUTION TO HELP OFFSET SOME OF THE WATER THAT WE GET.
IT'S USING SOME TECHNOLOGY CALLED DIRECT POTABLE REUSE.
THIS IS SOMETHING THAT'S ALREADY IN USE IN SEVERAL OTHER TEXAS CITIES, EL PASO, WICHITA FALLS, ABILENE.
WHAT THIS DOES IS THIS TREATS OUR WASTEWATER TO BECOME DRINKABLE AGAIN.
WE CAN'T CONTINUE RELYING ON A SINGLE SOURCE THAT IS DECLINING, AND EVEN OUR BACKUP WATER, FLAKE MEREDITH,
[00:40:01]
HAS BEEN UNRELIABLE FOR 15 YEARS, AND FIRST HAS TO BE DILUTED BEFORE WE CAN USE IT.I UNDERSTAND WE ARE CONSIDERING BUILDING A NEW WASTEWATER TREATMENT FACILITY, I THINK THIS WOULD BE A GREAT TIME TO IMPLEMENT THIS TECHNOLOGY AT THE SAME TIME, SO WE CAN BUNDLE SOME SAVINGS.
THERE WAS ALSO A TON OF GRANT OPPORTUNITIES FOR A FACILITY LIKE THIS.
IN FACT, THIS FACILITY WAS ACTUALLY RECOMMENDED BY THE TEXAS WATER DEVELOPMENT BOARD THREE YEARS AGO AND IS ON THEIR RECOMMENDATION PLAN FOR 2040.
I JUST SUGGEST THAT WE GET A HEAD START ON THAT AND BUILDING THAT SOONER IN LIGHT OF THE OTHER FACILITIES THAT WE ARE CONTEMPLATING BUILDING.
WHEN WE ONLY GET TO BUILD HUGE WATER INFRASTRUCTURE LIKE THIS EVERY FEW DECADES, LET'S MAKE SURE THAT EVERY DROP COUNTS BY EXPLORING ALTERNATIVE SOURCES THAT ARE DROUGHT-PROOF, REDUCE DEPENDENCY ON DECLINING AQUIFERS, AND PROTECTS US AGAINST FUTURE WATER-THIRSTY INDUSTRIAL AND AGRICULTURAL PRACTICES.
I ENCOURAGE YOU TO CONSIDER A FEASIBILITY STUDY INTO DIRECT POTABLE REUSE AS AMARILLO'S PATH TO WATER INDEPENDENCE.
>> EMMA FORNER WILL BE AFTER TOM, AND TOM, YOU MAY BEGIN YOUR COMMENTS.
>> THANK YOU. I AM 150% IN FAVOR OF FERMI AND WHAT THEY CAN DO FOR OUR COMMUNITY.
THE JOB CREATION THAT THIS PROJECT WILL BRING TO OUR COMMUNITY WILL KEEP OUR CHILDREN AND OUR GRANDCHILDREN IN AMARILLO.
THEY WILL BECOME TAXPAYERS, THEY WILL BECOME VOTERS, AND THEY WILL NOT LEAVE OUR COMMUNITY.
THEY WILL GROW AMARILLO INTO ONE OF THE GREATEST CITIES IN OUR STATE AND IN OUR COUNTRY.
THIS PROJECT IS NOT JUST IMPORTANT FOR OUR COMMUNITY, OUR STATE, OUR GREAT COUNTRY, BUT IT GIVES A RARE OPPORTUNITY TO IMPACT GLOBALLY.
SELL THEM THE WATER AT A PREMIUM RATE AND PASS THAT PROFITABILITY ONTO THE CONSUMER, ONTO THE CITIZENS OF OUR GREAT COMMUNITY.
IMMERSE YOURSELF IN THIS PROJECT.
I HAVE A HIGH LEVEL OF CONFIDENCE THAT FERMI WILL IMMERSE THEMSELVES IN AMARILLO.
YOU'RE AT THE EPICENTER OF THIS AMAZING OPPORTUNITY THAT WE HAVE IN OUR COMMUNITY, IN OUR STATE, AND IN OUR COUNTRY.
SUPPORT THIS GREAT PROJECT, AND SHOW THE WORLD THAT AMARILLO, TEXAS, CAN LEAD THE WAY.
IF YOU'LL MAKE YOUR WAY UP TO THE EMPTY PODIUM, AND EMMA, YOU MAY BEGIN YOUR COMMENTS.
I'M A BIT NERVOUS, I AM OPPOSED TO THE FERMI PROJECT.
I'M VERY CONCERNED ABOUT THE WATER.
THAT IS ONE MAJOR ISSUE THAT I THINK IS NOT A GOOD IDEA.
I'VE GROWN UP HERE, I'VE LIVED HERE.
I'VE ONLY SPENT A COUPLE OF YEARS ANYWHERE ELSE.
WE'VE ALWAYS BEEN IN A DROUGHT.
I THINK THERE'S BEEN A COUPLE OF TIMES WHERE WE'VE NOT BEEN IN A DRAW, I KNOW IT'S SUPPOSED TO ASKING FOR RIGHTS TO THE AQUIFER.
BUT THAT'S ALSO CONCERNING BECAUSE THAT WATER IT'S HARD TO REPLACE, AND I JUST DON'T THINK THAT IS A LOGICAL STEP, ESPECIALLY FOR THE FUTURE.
ALSO, AI HASN'T BEEN PROVEN TO BE PROFITABLE YET.
NOWHERE THEY HAVE BEEN MAKING A PROFIT.
THEY HAVE PROMISES ON THIS TECHNOLOGY TO BE PROFITABLE IN THE FUTURE, BUT IT HAS NOT PROVEN YET.
ALSO, THERE HAVE BEEN CASES WHERE JUST RECENTLY, I REMEMBER READING A STORY ABOUT A CHILD GETTING INFORMATION FROM A CHAT BOOT AND TELLING HIM THAT IT WAS A GOOD IDEA TO KILL HIMSELF.
HE JUST SAID IT WAS FOR A STORY OR IT WASN'T IT WAS ALL THEORETICAL, AND IT WILLINGLY TOLD HIM DETAILED WAYS TO KILL HIMSELF, AND HE ENDED UP KILLING HIMSELF.
ALSO, WHAT AM I TRYING TO SAY? I'M SORRY.
I JUST THINK THE AMOUNT OF MISINFORMATION I'VE SEEN FROM AI, THE AMOUNT OF FAKE VIDEOS, JUST THE AMOUNT OF THINGS THAT THEY CAN GENERATE FROM STEALING OTHER PEOPLE'S ART,
[00:45:04]
THEY ARE TRAINING AI WITH BOOKS THAT THEY HAVEN'T, HOW DOES THAT WORK? THEY BASICALLY JUST FEED IT INFORMATION AND IT REGURGITATES WHAT IT'S LEARNED.BUT IT'S WORKING OFF OTHER PEOPLE'S WORK.
I CAN SEE IN THE FUTURE, PEOPLE WANTING THE RIGHTS AND IT'S ALREADY STARTED WHERE PEOPLE DO NOT WANT THEIR STUFF THAT THEY'VE WORKED ON TO BE USED TO TRAIN THESE AI.
WE'RE GOING TO INVEST IN SOMETHING THAT'S CREATING MORE MISINFORMATION.
I HEARD SOMEONE SAY SOMETHING ABOUT THE WAR ON THIS IS THE NEW WAR.
THAT'S CONCERNING WHENEVER IT'S ALL TECHNOLOGY.
I DON'T KNOW IF I'M MAKING SENSE, BUT IT'S JUST VERY CONCERNING WHENEVER YOU CAN'T TRUST WHAT YOU SEE OR WHAT YOU HEAR, BECAUSE PEOPLE ARE CREATING FAKE VIDEOS.
I'VE SEEN PEOPLE IN VERY POWERFUL PLACES POSE SOMETHING THAT'S NOT TRUE, AND THEY DO NOT GET CALLED OUT FOR ANYTHING. THANK YOU. SORRY.
>> THANK YOU, MA'AM. [APPLAUSE]
>> IF WE CAN GET CHASE BRIGGS TO COME UP TO THE EMPTY PODIUM.
>> GENTLEMEN, THANK YOU. MY NAME IS TODD BOYKIN.
I'M A RESIDENT OF THE CITY, BUT I'M HERE TO SPEAK ON BEHALF OF LAKE TANGLEWOOD, AND THE ENTITY THAT OWNS LAKE TANGLEWOOD IS CALLED LSIOT.
IT'S REGARDING THE FERMI ISSUE AND 10B, BUT IT'S A VERY SMALL PART OF THAT.
IT'S REGARDING WHAT WAS TERMED EARLIER, THE DIRECT POTABLE REUSE OF WATER.
THE WATER THAT'S COMING OUT OF THE HOLLYWOOD PLANT, THAT EFFLUENT, A LOT OF IT, MAYBE MOST OF IT IS ALREADY ALLOCATED TO USES THAT DO NOT INVOLVE FIRMING.
I'M TOLD TODAY AND LAKE TANGLEWOOD IS VERY APPRECIATIVE OF THIS THAT YOUR PROPOSED RESOLUTION DOES NOT INCLUDE THE USE OF ANY EFFLUENT WATER, AND WE BELIEVE THAT THAT SHOULD CONTINUE TO BE THE CASE.
TO GIVE YOU A LITTLE BIT AND GIVE THE PUBLIC A LITTLE BIT OF EDUCATION ABOUT HOW THIS WORKS, THAT EFFLUENT FLOWS OUT TO LAKE TANGLEWOOD THROUGH AN EASEMENT.
IT IS CLEANED IN LAKE TANGLEWOOD TO A GREAT DEGREE, AND THEN IT FLOWS DOWN PALADERA CANYON AND BENEFITS THE ENTIRE PANHANDLE.
THE USE OF THAT EFFLUENT BENEFITS THE ENTIRE TEXAS PANHANDLE IN A LOT OF DIFFERENT WAYS.
WE'RE HERE TO ADVOCATE THAT THAT DIRECT POTABLE REUSE NOT INVOLVE THE WATER THAT'S CURRENTLY ALLOCATED TO GO THAT DIRECTION.
THE FERMI AGREEMENTS SOUND EXCITING.
LAKE TANGLEWOOD HAS NO INTEREST IN BLOCKING THINGS, BUT THAT WATER HAS ALREADY BEEN ALLOCATED, AND I JUST WANTED THE COUNCIL AND THE PUBLIC TO UNDERSTAND THAT ISSUE. THANK YOU.
>> IF WE CAN GET KENDRA KAY SIRE TO MAKE YOUR WAY UP TO THE EMPTY PODIUM.
CHASE, YOU MAY BEGIN YOUR COMMENTS.
>> GOOD EVENING, COUNCIL MEMBERS.
THANK YOU FOR HAVING ME HERE TODAY.
I AM A STUDENT AT AMARILLO COLLEGE, GOING FOR HIS ENGINEERING.
THIS IS, ACTUALLY, TO HELP ME DO A RESEARCH PAPER ON, ACTUALLY, IMPROVING SOME THINGS.
I ALSO I'M A CITIZEN OF THIS CITY AND HAVE FAMILY WITH FARMS THAT ARE ALSO GETTING SOLAR PANELS FOR ANOTHER DATA CENTER OUTSIDE OF PAMPAS.
I'VE GOT A LITTLE BIT OF UNDERSTANDING OF HOW THIS SYSTEM ALL WORKS.
I WOULD SAY THAT, WITH OUR OGALLALA BEING DEPLETED ALMOST THREE TIMES, WHAT IT ACTUALLY GETS REFURBISHED EACH YEAR, WE LOOK INTO ALTERNATIVE SOURCES, SUCH AS I'M GOING TO MESS UP HIS NAME.
A DOCTOR AT A UT ARLINGTON IS TINKERING WITH A PROTOTYPE THAT THINKS HE CAN SOLVE THE ISSUE INSIDE OF THIS INDUSTRY WITH A BETTER GEL SOLUTION TO MAYBE HELP COOL THE SYSTEMS INSTEAD OF USING OUR NATURAL WATER.
SOMETHING THAT I AM, ACTUALLY, RESEARCHING INTO MY SCHOOL AT THE MOMENT IS MAYBE COLLECTING WATER FROM THESE SOLAR PANELS, AND MAYBE DIRECTING THAT SINCE MOST OF THIS SOLAR PANELS ARE GOING ON FLAT LAND WITH AGRICULTURE ALREADY THERE THAT ALREADY HAVE WELL SYSTEMS, AND SO FORTH IN PLACE.
INSTEAD OF LETTING THAT RAINWATER WASH OFF OR WHATNOT,
[00:50:01]
JUST LET IT GET COLLECTED AND USE THOSE PUMPS THAT ARE BEING DEMOED OUT INSTEAD TO PUMP MAYBE WATER BACK IN.THAT WAY THE OGALLALA CAN NATURALLY CLEAN IT, AND THEN BE PUMP BACK OUT AND MAYBE MAKE A DIFFERENCE IN SOME ASPECTS.
BECAUSE RIGHT NOW, THEY'RE LOOKING AT 0.3%.
BY 2030, THE WHOLE TEXAS AREA IS LOOKING AT 2.7% OF THE WATER USAGE. I YIELD MY TIME. THANK YOU.
>> THANK YOU, SIR. [APPLAUSE].
>> WE COULD HAVE, THOMAS WARREN, MAKE YOUR WAY TO THE EMPTY PODIUM.
KENDRA, YOU MAY START YOUR COMMENTS.
>> THANK YOU. HI, MY NAME IS KENDRA SIRE.
IF YOU RECOGNIZE ME FROM THE LAST TIME, I COME UP HERE TO SPEAK.
I'VE BEEN HERE SINCE 2009, FOR SURE, WHENEVER I STARTED MY FAMILY HERE.
I WANTED TO COME UP HERE AND GIVE MY REMARKS TO ECHO A LOT OF WHAT EVERYBODY ELSE IS SAYING.
BUT I ALSO WANT TO SAY THAT IT'S JUST BEEN REALLY FRUSTRATING.
I DON'T MEAN TO WHINE. BUT IT'S BEEN REALLY FRUSTRATING TO GO TO COUNCIL MEETINGS AND COMMISSIONER MEETINGS AND PANHANDLE AFTER YOU GUYS TOLD US TO GO AND DO THAT.
THEN FERMI DIDN'T EVEN SHOW UP TO THAT MEETING THIS MORNING.
THEY DIDN'T EVEN SHOW UP FOR THAT HEARING. THEY REQUESTED IT.
THEY MAILED IT. THEY BROUGHT US ALL THE WAY OUT THERE.
THERE WERE SO MANY MEMBERS OF THE COMMUNITY FROM CARSON COUNTY THAT SHOWED UP TO HEAR WHAT WAS GOING TO BE SAID.
THEY WERE EXPECTING TO LEARN MORE ABOUT IT, AND THEY DIDN'T.
THEY DIDN'T SHOW UP. THEY WEREN'T THERE.
ALL THOSE PEOPLE THAT LIVE IN THOSE NEIGHBORHOODS RIGHT ACROSS THE STREET ARE HERE TO TALK TO YOU GUYS, TO HEAR WHAT YOU HAVE TO SAY.
BUT ULTIMATELY, OVERALL, FROM EVERYONE THAT I'M SPEAKING TO, BECAUSE I DON'T KNOW HOW MUCH TIME YOU'LL SPEND SPEAKING TO ANYBODY THAT'S CONCERNED ABOUT THIS DAY-TO-DAY, BUT THE PEOPLE THAT LIVE IN THOSE NEIGHBORHOODS RIGHT ACROSS THE STREET FROM THEM, DIDN'T GET NOTICE, DIDN'T GET A HEADS UP IN THE AIR PERMITS.
THEY DON'T HAVE TO GIVE ANY NOTIFICATION TO ANYBODY BECAUSE THERE'S NO NEIGHBORHOODS ANYWHERE NEAR IT.
WELL, THESE PEOPLE SEE PEOPLE DRIVING THEIR CONSTRUCTION VEHICLES RIGHT UP TO THE SITE EVERY DAY, DIDN'T KNOW ANYTHING ABOUT IT.
ONE OF THOSE PEOPLE WHO HAVE BEEN LIVING THEIR GENERATIONS.
I CAN'T IMAGINE JUST WAKING UP AND FINDING OUT RIGHT ACROSS THE STREET SOMETHING LIKE THIS IS GOING DOWN, AND NO ONE'S SPOKEN TO ME ABOUT IT.
YOU GUYS EVEN GIVE US A LETTER OF NOTICE ON OUR STREETS WHENEVER THEY'RE GOING TO REPAVE SO THAT WE KNOW WE CAN'T USE OUR STREET FOR HOWEVER LONG THAT IS.
FOR THEM TO DO THAT, TO ALREADY HAVE CONSTRUCTION STARTED OUT THERE, TO ALREADY HAVE WATER LINES RUNNING, SEWER LINES.
ALL THESE WAREHOUSES THE BUILDING, EVERYTHING'S STARTING OUT THERE, AND IT'S TO MAKE EVERYONE FEEL LIKE THERE'S NO POINT IN ARGUING.
IT'S DISENFRANCHISING TO THE PEOPLE THAT COME HERE AND TRUST IN YOU AND PAY TAXES TO YOU, NOT TO YOU SPECIFICALLY, BUT FOR YOU GUYS TO DELVE OUT.
BUT WHAT'S THE POINT? THAT'S WHY EVERYONE KEEPS ASKING ME IS, WHAT IS THE POINT OF US EVEN SAYING ANYTHING? WE SHOULD JUST LET THEM HAVE ALL OF OUR WATER.
EVEN WHAT YOU'RE ALLOWING THEM IS JUST WAITING FOR THEM TO COME BACK AND ASK FOR MORE.
YOU JUST ALREADY SAID, YES, TO ALL OF IT.
WHY? WE SHOULD BE ABLE TO SPEAK ON THIS, AND HONESTLY, WE WERE COUNTING ON YOU GUYS JUST TO TELL THEM TO KICK ROCKS. THANK YOU.
>> THANK YOU, MA'AM. [APPLAUSE].
>> WHILE THOMAS MAKES HIS WAY UP, I WANT TO MAKE AN ANNOUNCEMENT REAL QUICK, AND THEN MISS STEPHANIE, IF YOU BRING THE OTHER SPEAKER UP.
AS PEOPLE ARE CONTINUING TO SHOW UP, WE ARE LIVE STREAMING DOWNSTAIRS IN ROOM 1,500 FOR ANYONE WHO NEEDS A CHAIR. THANK YOU.
MS. STEPHANIE, WHO IS THE NEXT ONE?
>> THOMAS TUCEK, IF YOU'LL MAKE YOUR WAY UP AND YOU CAN BEGIN.
THIS IS THE FIRST TIME I'VE BEEN THIS FAR UP IN THIS NEW CHAMBER YOU'LL HAVE, AND IT'S VERY NICE PLACE.
I'M PROBABLY ONE OF THE FEW PEOPLE NOT SPEAKING ON FERMI TODAY.
I AM HERE IN SUPPORT OF ITEM 10F, WHICH IS THE DONATION OF THE SCULPTURE FROM KING HILL.
I JUST WANTED TO PRAISE THE HILL FAMILY.
I'VE GOTTEN TO KNOW KING OVER THE LAST FEW YEARS.
WE'RE REALLY FORTUNATE TO HAVE PEOPLE LIKE KING AND HIS WIFE AND HIS FAMILY WHO HAVE REALLY BEEN ICONIC TO THIS AREA AS FAR AS THEIR CONTRIBUTIONS TO OUR ARTS LANDSCAPE.
IT'S INCREDIBLY AMAZING TO HAVE PEOPLE LIKE THAT WHO WANT TO GIVE BACK TO OUR COMMUNITY AND WANT TO MAKE DONATIONS LIKE THIS.
I DON'T THINK THIS IS GOING TO BE A CONTROVERSIAL ISSUE AT ALL, BUT I JUST WANTED TO EXPRESS MY SUPPORT FOR ACCEPTING THE SCULPTURE.
[00:55:05]
I THINK THAT HAVING PEOPLE LIKE KING HILL IN OUR COMMUNITY, IT'S A GREAT TESTAMENT TO HOW WONDERFUL AMARILLO REALLY IS.I JUST WANTED TO EXPRESS MY SUPPORT FOR THAT. THANK YOU.
>> THANK YOU, SIR. [APPLAUSE].
>> IF WE CAN GET ASHLAND MAJOR TO MAKE YOUR WAY UP TO THE PODIUM, AND THOMAS, YOU MAY BEGIN.
>> THANK YOU FOR ALLOWING US TO HAVE THIS CONVERSATION WITH YOU.
JUST DOING SOME SIMPLE MATH FROM WHAT'S BEING REPORTED 2.5 MILLION GALLONS A DAY ENDS UP TO ABOUT 912,500,000 GALLONS A YEAR.
THAT IS ENOUGH TO SUSTAIN 30,000 PEOPLE FOR A YEAR.
WHAT WE'RE ESSENTIALLY SAYING IS, WE WILL GIVE THIS ONE COMPANY THE WATER FOR 30,000 PEOPLE EVERY YEAR.
WHO KNOWS IF THEY END UP NEEDING MORE? WE NEED TO PROTECT OUR COMMUNITIES.
I'M FROM HERE, BORN HERE, RAISED HERE, ALWAYS BEEN IN DROUGHTS, ALWAYS SCARED OF WHAT'S GOING TO HAPPEN WITH OUR WATER.
THIS IS THE FIRST YEAR WE'VE HAD RAIN IN SEVEN YEARS.
COME ON. JUST DO WHAT'S RIGHT.
WE ELECTED YOU GUYS TO REPRESENT US.
BE AN EXTENSION OF US AND LISTEN TO YOUR PEOPLE WHO ARE SAYING, WE DON'T WANT THIS.
IF YOU DO WANT THIS, LET'S HAVE MORE DISCUSSION AS TO WHY WE DON'T WANT IT AND WHY YOU THINK IT IS A GOOD THING SO THAT WE CAN UNDERSTAND, BECAUSE RIGHT NOW, WE'RE NOT GETTING MUCH OF ANYTHING, AND WE DON'T UNDERSTAND WHAT'S GOING ON.
Y'ALL HAVING THESE DISCUSSIONS, AND YOU SHOULD BE LEARNING MORE EVERY TIME.
BUT JUST PLEASE INCLUDE YOUR COMMUNITY MEMBERS.
WE WANT TO KNOW, AND JUST BE PREPARED IF YOU DO APPROVE THIS, AND WE LOSE ALL OF OUR WATER. IT'S ON Y'ALL.
THAT BE YOUR LEGACY IS, TAINTING AMARILLO, GETTING RID OF IT FOR AI.
JUST PLEASE THINK ON IT. REALLY WORK TOWARDS THE CORRECT SOLUTION AND JUST KEEP US ALL INVOLVED.
THAT'S ALL I CAN ASK. THANK YOU.
>> THANK YOU, SIR. [APPLAUSE].
>> WE COULD GET, TONY VINCENT, TO MAKE YOUR WAY TO THE PODIUM, AND ASHLAND, YOU MAY BEGIN.
AS A RESIDENT OF AMARILLO AND A MOTHER OF FOUR, IT'S DEEPLY CONCERNING TO ME THAT OUR MAYOR AND CITY COUNCIL MEMBERS ARE EVEN CONTEMPLATING SIGNING OVER WATER RIGHTS TO FERMI AMERICA.
LIKE MOST TEXANS, I'VE GROWN UP WITH TIES TO THE FARMING AND RANCHING INDUSTRY.
IT'S A WAY OF LIFE THAT HAS SUSTAINED TEXANS FOR HUNDREDS OF YEARS.
IT'S A MAIN SOURCE OF REVENUE, ESPECIALLY IN THE PANHANDLE.
TO DEPLETE OUR WATER FROM THESE INDUSTRIES, IN ORDER TO SUPPLY A MAJOR CORPORATION THAT DOES NOTHING TO FEED US, BOOST OUR LOCAL ECONOMY, PROVIDE LONG TERM JOBS TO AMARILLO RESIDENTS, OR IMPROVE OUR DAILY LIVES SEEMS IMPORTANT.
WE KNOW SO FAR THAT THE CONSTRUCTION JOBS HAVE BEEN GIVEN TO A LUBBOCK CONSTRUCTION COMPANY, SO THAT'S NOT COMING FROM AMARILLO.
THE POLLUTANTS THAT THEY'LL PUT IN THE AIR AND GROUND ARE NOT ONLY HARMFUL TO THE PEOPLE THAT LIVE IN THE CLOSEST VICINITY TO THOSE, BUT IN OUTLYING AREAS AS WELL.
I WANT MY KIDS TO BREATHE CLEAN AIR.
I WANT MY KIDS TO HAVE DRINKABLE WATER.
I'VE WITNESSED WHAT THESE LARGE SCALE DATA CENTERS DO TO THE COMMUNITIES AROUND THEM AND I WANT NO PART OF IT.
THE NUMBERS THEY HAVE PROVIDED ARE NOT EVEN AN ACCURATE REPRESENTATION OF THE AMOUNTS THEY INTEND TO TAKE, WHETHER IT BE WATER, ELECTRICITY, OR NATURAL GAS.
SIGNING ON TODAY FOR 2.5 MILLION GALLONS PER DAY IS, ESSENTIALLY, SIGNING ON FOR ANY ARBITRARY NUMBER THEY THROW OUT.
AMARILLO IS NOT IN NEED OF THIS PARTICULAR INDUSTRY, AS THERE ARE MANY OTHER WAYS TO DIVERSIFY AND GROW OUR COMMUNITY WITHOUT GIVING AWAY OUR NATURAL RESOURCES. THANK YOU.
>> THANK YOU, MA'AM. [APPLAUSE].
>> IF WE COULD HAVE, ROBIN HART, MAKE YOUR WAY TO THE PODIUM, AND TONY, YOU MAY BEGIN.
>> MY NAME IS TONY VINCENT, AND I DO NOT LIVE IN AMARILLO PROPER.
I HAVE IN THE PAST, AND I LIVE NORTH OF AMARILLO NOW.
I'M A FIFTH GENERATION TEXAS PANHANDLE RESIDENT.
MY GREAT GRANDFATHER WAS KNOWN AS THE FIRST CITIZEN OF AMARILLO, TEXAS. I'M QUITE PROUD OF THAT.
I'M HERE TO SPEAK AGAINST FERMI.
THE REASON IS IS BECAUSE I UNDERSTAND THE OGALLALA AQUIFER.
[01:00:01]
MY GRANDFATHER WAS, MY GREAT GRANDFATHER WAS.THAT WATER IS NOT GOING TO LAST.
AS WE SAID, AMARILLO HAD THEIR FIRST HOMICIDE IN 1889 OR '90, AND THERE WERE NO WELLS DRILLED HERE THEN.
WE'RE 100 YEARS LATER, BASICALLY.
THE OGALLALA HAS DEPLETED, AND FOR YOU ALL TO THINK THAT WE CAN SUBSTAIN THIS FERMI INDUSTRY FOR ANOTHER 20, 30, 50 OR 100 YEARS, IS RIDICULOUS.
I KNOW THAT YOU ALL HAVE STUDIED THIS, BUT YOU DO NOT UNDERSTAND THAT IT RUNS AND IT GOES FROM THE SOUTH TO THE NORTH.
IT DOES NOT REGENERATE AND PUT ENOUGH GROUNDWATER BACK IN TO SUBSTAIN ITSELF.
I UNDERSTAND THAT THE BENEFITS THAT AMARILLO COULD RECEIVE FROM THIS BECAUSE I'M ALSO A REALTOR.
BUT I LOOK AT ALL THE NEW HOUSES THAT IS BEING BUILT FROM CANYON TO AMARILLO ALL ON WELLS.
I ASK THAT Y'ALL REALLY THINK HARDER ON THIS, GET MORE INPUT SO THAT WE DON'T RUN OUT OF WATER BECAUSE DO Y'ALL WANT TO BE THE GUYS THAT ARE KNOWN FOR DEPLETING OUR WATER? IS THAT YOUR LEGACY? I WAS ALWAYS TAUGHT TO LEAVE THINGS BETTER THAN I FOUND THEM, IF I COULD.
I HAVE A FIVE SECTION RANCH NORTH OF HERE.
THAT MY CATTLE, THEY DON'T HAVE SPRINGS, NATURAL WATER, WE HAVE SOLAR WELLS AND WINDMILLS.
I'LL BE OUT OF BUSINESS, IF WE DEPLETE OUR WATER.
I APPRECIATE YOUR TIME, BUT Y'ALL NEED TO UNDERSTAND THE SEVERITY OF THIS AND FERMI NEEDS TO UNDERSTAND THIS ALSO.
>> ROBIN HART, AND THEN AFTER ROBIN, WILL BE KEVIN HART.
HI. Y'ALL ARE PROBABLY GOING OH, BOY, SOMEBODY ELSE TO COMPLAIN ABOUT FERMI, BUT HERE I AM.
ARE YOU REALLY PAYING ATTENTION? TO WHAT EVERYONE'S SAYING, THAT WE DON'T WANT THIS IN OUR COMMUNITY.
I MAY BE A STRANGER AND NOBODY TO Y'ALL, BUT TO MY FAMILY, I'M EVERYTHING, AND TO MY FRIENDS.
I'M NOT ONLY WORRIED ABOUT THE WATER DEPLETION, I'M WORRIED ABOUT CONTAMINATION.
EVERYTHING THAT CAN BE CONTAMINATED WILL BE.
HAVE Y'ALL CHECKED UP THE SAVANNAH RIVER SITE, LIKE A SISTER PLANT TO THIS FERMI OPERATION? IF YOU HAVEN'T, YOU NEED TO.
I'M NOT GOING TO STAND UP HERE AND PREACH TO YOU ABOUT THEIRS.
WHAT ABOUT OUR WILDLIFE REFUGE ON THE PANTEX PLANT, WHICH THE FERMI PLANT IS BEING BUILT ON? WE HAD A LOT OF WILDLIFE OUT THERE, ALL KINDS OF LITTLE CRITTERS RUNNING AROUND.
WHAT'S GOING TO HAPPEN TO THEM NOW? WE LIVE RIGHT ACROSS THE STREET FROM THIS CONSTRUCTION.
WE WERE NOTIFIED NOTHING BEFORE WE SAW TRUCKS COMING DOWN THE ROAD, UNLOADING, DIGGING TRENCHES, WHATEVER.
WE HAD NO CLUE WHAT WAS GOING ON.
WE WERE TOLD SO MANY DIFFERENT STORIES.
WE DIDN'T KNOW WHICH ONE WAS RIGHT.
ANYWAY, MAKE A LONG STORY SHORT, THIS LAND WAS SUPPOSED TO GO TO OUR GRANDSON.
NOW, THE PROPERTY VALUE HAS PLUMMETED.
IF HE WANTED TO SELL AFTER OUR DEATH, IF HE WANTED TO LIVE THERE, WHATEVER THE CASE MAY BE, THIS PLANTS GOING TO BE ACROSS THE STREET.
KEVIN REBUILT OUR HOUSE FOR ME TO BE ADA COMPLIANT.
NOBODY'S GOING TO WANT TO BUY A HOUSE ACROSS THE STREET FROM PLANT THAT CRIPPLES.
WE ASKED TO HAVE A MEETING WITH OUR NEIGHBORS ALL TOGETHER AT OUR HOME WITH FERMI REPRESENTATIVES.
WE'VE BEEN TOLD THAT WE NEEDED TO MEET SEPARATELY.
WE WOULD LIKE TO HAVE FERMI REPS COME MEET WITH EACH ONE OF US THAT LIVE IN THAT LITTLE COMMUNITY TOGETHER SO WE CAN ALL HAVE THE SAME STORY.
WE ALSO WANT TO KNOW WHY WE GOT NO NOTICE.
THANK YOU. KEVIN. [BACKGROUND] THANK YOU.
[01:05:03]
[APPLAUSE] WHILE SHAWNA MAKES HER COMMENTS, WE'LL INVITE TIM BENSON UP TO THE OTHER PODIUM.
>> MY NAME IS SHANNA SULLIVAN.
THOSE WERE MY PARENTS THAT WERE JUST SPEAKING.
I'M A FIFTH-GENERATION AMARILLO RESIDENT.
THIS CITY IS MY HOME, AND NOW MY CHILDREN'S FUTURE.
THIS IS MY DAUGHTER CORLAN BESIDE ME.
HER FUTURE MATTERS AND HER WATER MATTERS.
MY CONCERN WITH THE FERMI PROJECT IS PRETTY MUCH WHAT EVERYONE ELSE SAID.
I DON'T HAVE ANY FANCY DATA OR CHARTS FOR YOU TODAY, BUT I DO HAVE SOMETHING MORE POWERFUL.
THE EMOTION AND PERSPECTIVE OF A REAL CITIZEN.
I'D LIKE TO KNOW WHY WE ARE HERE AFTER CONSTRUCTION STARTED IN AUGUST.
WHY SO MUCH SECRECY? [APPLAUSE] A PROJECT OF THIS MAGNITUDE TAKES YEARS TO COMPILE.
WHY WERE CITIZENS LEFT OUT OF THE CONVERSATION UNTIL DECISIONS WERE FINALIZED? HOW LONG AGO WAS IT THAT WE WERE IN A DEVASTATING DROUGHT? WHEN WAS LAKE MEREDITH DOWN TO 20 FEET? 2013.
WHEN DID WE HAVE THE LARGEST WILDFIRE EVER RECORDED IN OUR AREA, INCLUDING RIGHT NEAR THE FERMI CONSTRUCTION SITE? 2024. MY PARENTS LIVE DIRECTLY ACROSS THE STREET FROM THE FERMI SITE.
LITERALLY OVERNIGHT, COWS WERE REPLACED WITH HEAVY MACHINERY? NEITHER FERMI AMERICA, TEXAS TECH, THE CITY OF AMARILLO, THE CITY OF PANHANDLE, CARSON COUNTY, NO ONE TOLD THEM.
NO ONE HAD THE DECENCY TO TELL THEM ANYTHING.
HOW BAD WILL IT BE WHEN A NUCLEAR POWER PLANT IS SITTING ACROSS THE STREET? WORSE. THE MAIN ENTRANCE SHARES THEIR DRIVEWAY.
THIS IS THEIR HOME, NOT A PARKING LOT.
IT'S NOT FOR HEAVY MACHINERY, IT'S FOR OUR FUTURE.
LET'S BE CLEAR. THIS NUCLEAR POWER PLANT OFFERS NO PUBLIC BENEFIT.
ITS SOLE PURPOSE IS FOR THE AI CENTER.
THIS FACILITY WILL DRAW 5.5 MILLION GALLONS OF WATER PER DAY FROM THE OGALLALA.
WE SIMPLY DON'T HAVE THAT WATER TO SPARE.
WE ALREADY USE MORE THAN WHAT WE CAN RECUPERATE.
BEYOND CONSUMPTION, WHAT ABOUT CONTAMINATION RISKS? WHAT ABOUT NOISE AND TRAFFIC? THIS IS NOT PROGRESS.
THIS FACILITY HAS NO DIRECT PUBLIC BENEFIT.
THE CITY STATES EVERY DROP COUNTS. DOES IT REALLY? WE ALL WANT GROWTH AND INNOVATION, BUT NOT AT THE COST OF OUR CHILDREN'S FUTURE AND NOT AT THE COST OF AMARILLO'S WATER.
>> COULD WE HAVE CLAUDIA STRAVATO MAKE YOUR WAY TO THE PODIUM, AND TIM, YOU MAY BEGIN.
>> THE FIRST THING I WANT TO TALK ABOUT IS THE DOWNTOWN TIERS.
ONE OF THE REASONS WHY THE CITY IS ALWAYS OPERATING IN THE RED IS BECAUSE OF THE TIERS.
POTTER COUNTY HAS NO MONEY FOR A NEW JAIL.
OUR POLICE AND FIRE DEPARTMENT ARE NOT GETTING THE CORRECT RAISES THEY NEED.
OUR SENIOR CITIZENS ARE STILL NOT GETTING ANY HELP, BUT WE KEEP GIVING FREE TAXES TO HOTELS DOWNTOWN WITH SOME OF THEM UP TO 80-YEAR AGREEMENTS.
THE CITY IS ALSO GIVING AWAY FREE TAXES TO THE SOUTH TIER'S ROCKROSE DEVELOPMENT.
WHY NOT SET UP A TIERS IN PLEASANT VALLEY WHERE IT'S NEEDED, OR BETTER YET, WHY NOT LET THE TAXPAYERS VOTE TO DECIDE WHETHER WE WANT TO CONTINUE TO KEEP TIERS? WHEN YOU'RE GIVING AWAY FREE PROPERTY TAXES TO CERTAIN GROUPS, YOU'RE MAKING EVERYONE ELSE'S TAXES GO UP.
THE NEXT THING I WANT TO TALK ABOUT IS THE FERMI.
THE CITY OF AMARILLO IS NOT BEING TRANSPARENT ON WHAT IS HAPPENING.
IF ANYTHING, THERE NEEDS TO BE TOWN HALL MEETINGS OVER THAT THAT INCLUDES ALL COUNTIES THAT COULD BE AFFECTED BY THIS.
YOU FIVE GUYS SHOULD NOT DECIDE THE FUTURE OF THE WATER THAT COULD AFFECT NOT JUST AMARILLO, BUT THE SURROUNDING TOWNS AROUND AMARILLO.
I HOPE THIS COUNCIL IS NOT TAKING LEGAL ADVICE FROM THE SAME ATTORNEY THAT ADVISED THE PREVIOUS COUNCIL OVER THE CIVIC CENTER.
I BELIEVE THIS COULD HAVE A CHANCE OF BEING CHALLENGED IN COURT BY OTHER COUNTIES OUTSIDE OF AMARILLO.
WHAT I'M ASKING IS, YOU GUYS JUST DO IT MORALLY AND ETHICALLY RIGHT.
[01:10:03]
THANKS FOR YOUR TIME. [APPLAUSE]>> CAN WE PLEASE HAVE JULIA MILLER COME TO THE PODIUM, AND CLAUDIA, YOU MAY BEGIN YOUR COMMENTS.
>> COUNCIL MAYOR, I'M SPEAKING TODAY ON MY OWN BEHALF, NOT FOR ANY ORGANIZATION, AND I'M SPEAKING FOR THE DEVELOPMENT OF A SERIOUS WATER CONSERVATION PROGRAM FOR AMARILLO.
FOR A CITY IN THE HIGH DESERT CLIMATE, WE WASTE WATER IN ENORMOUS AMOUNTS EVERY DAY.
WHEN PEOPLE FROM DOWNSTATE VISIT ME, THEY ARE SHOCKED THAT WE WATER WHENEVER WE FEEL LIKE IT.
THAT WATER RUNS DOWN THE CURVES IN LARGE AMOUNTS, PARTICULARLY AT COMMERCIAL SITES THAT ARE ON TIMED WATERING SYSTEMS. WITHOUT REGARD TO THE POTENTIAL WATER USAGE OF FERMI, I HAVE BEEN LOOKING INTO THIS ISSUE FOR SOME TIME, AND WE HAVE NEEDED A CONSERVATION PROGRAM FOR A LONG TIME.
WITH THE POTENTIAL OF FERMI COMING IN, WE CERTAINLY NEED TO CONSIDER A CONSERVATION PROGRAM.
DOWN STATE, I DON'T CARE WHETHER IT'S DALLAS OR WHEREVER IT IS, THEY HAVE ODD, EVEN WATERING DAYS, AND THEY STILL HAVE GREEN YARDS.
THEY HAVE STRICT ENFORCEMENT OF WATERING, WHERE IF YOU'RE WASTING WATER AND IT'S RUNNING DOWN THE STREET, YOU'RE FINED AND THE CITY NEEDS TO GET SERIOUS ABOUT WATER CONSERVATION AND ENFORCE IT.
I HAVE HEARD A COMPREHENSIVE PRESENTATION ON THE WATER SITUATION HERE BY FLOYD HARKINS, WHO I CONSIDER THE EXPERT, BUT I THINK HE'S ALREADY RETIRED.
WELL, HE KNOWS, I BELIEVE, WHAT HE'S TALKING ABOUT.
WHILE WE HAVE WATER FROM WELLS IN CARSON COUNTY AND CRMWA AND ROBERTS AS POTENTIAL SOURCES.
THERE IS A NEED FOR CONSERVATION NOW, AND WE'RE IN A GOOD SITUATION RIGHT NOW, BUT WE NEED CONSERVATION RIGHT NOW AS WELL.
THE REST OF THE STATE IS NOT IN A GOOD SITUATION.
CORPUS CHRISTI IS IN A CRISIS SITUATION RIGHT NOW.
>> WE WOULD ASK JOHN CAMPBELL JUNIOR TO MAKE YOUR WAY TO THE PODIUM.
JULIA, YOU MAY BEGIN YOUR COMMENTS.
>> THANK YOU. MY NAME IS JULIA MILLER.
I'M A PREVIOUS EMPLOYEE OF THE CITY, AND I'VE SEEN A LOT, BUT I THINK THE PUBLIC PARTICIPATION IS REALLY THE MOST TRIGGERING PART OF THIS AS I DID HELP WRITE THAT PLAN, BUT IT'S NOT ADOPTED BY THE CITY AND THEREFORE HAS NO TRUE SOLID STANCE.
BUT I WOULD PLEAD WITH YOU THAT YOU DO ADOPT THE PUBLIC PARTICIPATION PLAN AFTER CONSIDERING REINFORCING THAT AS WELL.
I THINK THAT IF THE DUE DILIGENCE OF THAT PLAN WAS ACTUALLY PUT IN PLACE, THEN THE ANXIETY IN THIS ROOM WOULDN'T BE HERE.
COMPLACENCY IS ALSO A POLICY THAT I THINK THAT ALL OF THIS LIES BACK ON.
COMPLACENCY IS SOMETHING THAT WAS TAUGHT OVER AND OVER, BUT ONCE AGAIN, IT'S A RUTHLESS EXPLOITATION OF OUR NATURAL WEALTH.
WATER IS NOT SOMETHING THAT EASILY REJUVENATES, ESPECIALLY FOR OUR AQUIFER.
IT TAKES OVER 1,000 YEARS FOR IT TO NATURALLY REPLENISH AND FOR US TO RELY ON ULTERIOR MEANS.
I THINK THAT THERE IS MORE INNOVATION TO BE MADE OF WATER CATCHMENT ULTERIORS.
BUT EVEN SO, LOOKING AT AI CENTERS NEAR COASTAL CITIES, CORPUS CHRISTI, ONES IN GEORGIA.
THEY'RE ALREADY DEPLETING THEIR AQUIFER, ALREADY DEPLETING THEIR WATER TO THE POINT WHERE CITIZENS CAN'T USE THEIR NATURAL WEALTH AS WELL.
I THINK THAT THAT'S THE MAIN POINT.
NUCLEAR THAT USES WATER, NUCLEAR THAT WE'RE NOT EVEN AS A COMMUNITY BEING ABLE TO GAIN ACCESS TO, I THINK THAT'S ALSO TROUBLING AS THERE ARE NUCLEAR SYSTEMS THAT DON'T USE ANY WATER, IE, SALT.
INNOVATION IS OUT OF TOUCH WITH OUR CITIZENS' NEEDS.
I THINK THAT MORE PRESSURE SHOULD BE PUT ON THE INNOVATION DEPARTMENT AS THERE'S A LOT THAT COULD BE DONE WITH THEM.
[01:15:02]
BUT HERE WE SEE AI BEING PUSHED.I THINK THAT THIS IS AN AGENDA, AND I THINK THAT IT IS QUITE SHAMEFUL FOR THE FUTURE OF THE CITY AS THE YOUTH ARE THE ONES THAT ARE GOING TO INHERIT THE PROBLEMS THAT COMES WITH THIS.
>> IS JOHN CAMPBELL JUNIOR HERE.
IF NOT, WE'LL MOVE TO ELENA SEABERG.
WHILE ELENA MAKES HER COMMENTS, [NOISE] MADISON BOYLE, YOU WILL BE NEXT.
>> I'M A LITTLE SHORT HERE, SO BEAR WITH ME.
MAYOR, COUNCILMEN, WE GOT A PROBLEM, MAN.
I'M A RESIDENT OF AMARILLO AND RANDALL COUNTY, AND THE MOTHER TO AN EIGHT-YEAR-OLD BOY.
I'M SPEAKING TODAY AS A CONCERNED PARENT WHO'S DEEPLY WORRIED ABOUT THE FUTURE OF OUR TEXAS PANHANDLE, PARTICULARLY FOR OUR CHILDREN AND GRANDCHILDREN.
I'VE REVIEWED THE PROPOSED COMMUNITY BENEFITS AGREEMENT WITH FERMI AMERICA, AND I STRONGLY OPPOSE IT.
WHILE IT PROMISES ECONOMIC BOOSTS AND INNOVATION FUNDS, THE RISKS TO OUR WATER SUPPLY ENVIRONMENT AND COMMUNITY GROSSLY OUTWEIGH ANY SHORT-TERM GAINS.
OUR WATER IS ALREADY IN CRISIS.
THE OGALLALA AQUIFER, WHICH SUPPLIES DRINKING WATER FOR MILLIONS AND IRRIGATES OUR CROPS, IS DEPLETING AT AN ALARMING RATE HERE IN THE PANHANDLE.
EXPERTS WARN THAT MORE THAN HALF OF IT COULD DISAPPEAR BY 2070 IF CURRENT TRENDS CONTINUE.
IN SOME AREAS, IT MIGHT DRY UP IN AS LITTLE AS 20 YEARS.
WE'VE ALREADY SEEN IRRIGATED ACRES DROP BY 40% SINCE THEIR PEAK DUE TO THIS DECLINE.
FERMI'S HYPERGRID AI CAMPUS WOULD SUCK UP ONE-AND-A-HALF TO TWO-AND-A-HALF MILLION GALLONS OF WATER PER DAY INITIALLY AND SCALING UP TO 10 MILLION, BUT PROBABLY MORE.
THAT'S AN UNSUSTAINABLE DRAIN ON OUR PRECIOUS RESOURCES.
AS A MOTHER, I CAN'T FATHOM LEAVING MY SON A LEGACY OF EMPTY WELLS AND DUSTY FARMS. OUR AGRICULTURE, WHICH FEEDS FAMILIES AND DRIVES OUR ECONOMY IS AT STAKE.
HOW WILL OUR KIDS GROW UP IN A PLACE WHERE WATER IS RATIONED OR TOO EXPENSIVE BECAUSE WE'VE GREEDILY SOLD IT OUT TO A MASSIVE DATA CENTER? BEYOND WATER, THE PROXIMITY TO PANTEX RAISES SERIOUS SECURITY CONCERNS.
IT'S NEXT TO A NUCLEAR SITE, AND THE PROPOSALS COUNTER-TERRORISM FUND FEELS LIKE A BAND AID ON A GAPING WOUND.
WHAT ABOUT RADIATION RISKS, CYBER ATTACKS, OR OTHER THREATS THAT COULD ENDANGER OUR FAMILIES? THE ENVIRONMENTAL SAFEGUARDS IN THE CBA, LIKE MONITORING AND CUTOFF CLAUSES, SOUND GREAT ON PAPER, [NOISE] BUT ENFORCEMENT IS DOUBTFUL.
WE'VE SEEN TOO MANY CORPORATE PROMISES FALL SHORT, LEAVING COMMUNITIES TO CLEAN UP THE MESS.
LET'S BE HONEST, THE 250-500 MILLION PAYOUT MIGHT FUND SOME ENDOWMENTS AND JOBS, BUT IT'S ESSENTIALLY TRADING OUR IRREPLACEABLE AQUIFER FOR CASH THAT COULD VANISH INTO BUREAUCRACY, FAILED PROGRAMS, OR THE COLLAPSE OF THE US CURRENCY IN GENERAL.
AI DATA CENTERS ARE NOTORIOUS FOR HIGH WATER USAGE.
EVEN A SINGLE [NOISE] AI QUERY CAN INDIRECTLY [NOISE] CONSUME OUNCES OF WATER [NOISE] MULTIPLIED BY BILLIONS.
>> APPRECIATE YOUR SPEAKING. [APPLAUSE]
>> WE INVITE ANTHONY HERNANDEZ TO MAKE YOUR WAY TO THE PODIUM.
MADISON, YOU MAY BEGIN YOUR COMMENTS.
>> HELLO AGAIN. MY NAME IS MADISON BOYLE, AND I'M A RESIDENT OF RANDALL COUNTY.
I'M SPEAKING ON THE FERMI AMERICA SITUATION, AS A LOT OF MEMBERS OF OUR COMMUNITY ARE.
EVEN WITH ALL ECONOMIC BENEFITS THAT HAVE THE POTENTIAL TO COME TO AMARILLO, HOW CAN WE SPEND OUR MONEY IF WE CAN'T BREATHE THE AIR OF OUR AREA? THE AIR POLLUTANTS ALONE WILL MAKE AMARILLO UNINHABITABLE.
IT'S BEEN PROVEN THAT INDIVIDUALS THAT LIVE NEAR DATA CENTERS ARE SIGNIFICANTLY MORE LIKELY DEVELOP COPD, EVEN WITHOUT A HISTORY OF SMOKING.
THIS DATA CENTER WILL BE AN UNPRECEDENTED SIZE AND WILL STRETCH ALL THE WAY TO 15 MINUTES OUTSIDE THE MEDICAL DISTRICT,
[01:20:02]
WHERE I RECEIVE MY TREATMENTS FOR MY DISABILITIES.YOU WERE VOTED IN WITH THE TRUST THAT YOU WOULD PROTECT THE BEST INTERESTS OF THE PEOPLE OF AMARILLO.
DO NOT FAIL US ON THE BASIS OF GREED.
I DON'T NEED AN AI DATA CENTER TO STAY HERE.
I NEED MY COMMUNITY AND MY NEIGHBORS TO BE ABLE TO THRIVE.
THE AI DATA CENTER GOES AGAINST THAT PRINCIPLE.
I DON'T NEED A CORPORATION TO RUIN IT.
WE ALREADY HAVE HAD SO MANY WILDFIRES DEVASTATE FAMILIES DUE TO DROUGHT.
OTHER COUNTIES ARE ALREADY UNDER WATER RESTRICTIONS.
I WANT TO KNOW THE REASON WHY FERMI HAS BEEN ABLE TO BE SO DISHONEST WITH US AND WHY WE HAVE SO LITTLE INFORMATION ON SOMETHING THAT PUTS ALL OF OUR LIVES AND LIVELIHOODS ON THE LINE.
I DEMAND ANSWERS FROM FERMI AMERICA, NOT A PRESS STATEMENT.
THEY NEED TO BE MORE TRANSPARENT WITH THE PANHANDLE, AND I BEG YOU TO PLEASE CONSIDER THE LIVES THAT Y'ALL ARE AFFECTING AND OUR ECONOMY.
>> WE WOULD INVITE AL PATEL UP TO THE PODIUM, AND ANTHONY, YOU MAY BEGIN YOUR COMMENTS.
>> MY NAME IS ANTHONY HERNANDEZ.
FIRST OF ALL, THANK YOU ALL FOR BEING HERE.
MR. LES, I DON'T KNOW IF YOU REMEMBER ME. WE KNOW EACH OTHER.
COLE, WE MET EACH OTHER A COUPLE OF TIMES.
WE HAD A CONVERSATION ABOUT 30 PLUS MINUTES YESTERDAY WHERE YOU EXPRESSED THE SAME CONCERNS THAT WE'RE ALL EXPRESSING HERE.
I JUST WANT TO MAKE SURE THAT WE'RE ALL ON THE SAME PAGE.
I'M INVOLVED. I COACH A 12U BASEBALL TEAM THAT HAS PLAYERS AT EVERY AGE.
I COACH A WEST TEXAS WRESTLING CLUB.
I'M IN FIVE DIFFERENT HOUSES EVERY DAY OF DIFFERENT PEOPLE.
EVERYBODY I'VE TALKED TO ACROSS THE BOARD OPPOSES THIS.
NO ONE'S LIKE, HEY, GREAT IDEA.
LET'S GET THAT DATA CENTER HERE.
LOOK AROUND THIS ROOM. IT'S 2025.
WHEN WAS THE LAST TIME YOU SAW THIS MANY PEOPLE AGREE ON ONE THING LIKE THIS? BESIDES ALL THE OBVIOUS ANSWERS, THE WATER, THE POLLUTION, EVERYTHING LIKE THAT.
I COME FROM A FAMILY RIDDEN WITH CANCER.
FOUR GRANDPARENTS DIED OF CANCER.
MY FATHER'S PASSED AWAY FROM CANCER. I'M WORRIED ABOUT CANCER.
I DON'T DRINK SODAS, GATORADES, THINGS WITH HIGH LEVELS OF SUGAR BECAUSE I'M SCARED, AND WE'RE GOING TO JUST START THROWING THINGS INTO THE AIR, RISKING OUR FUTURE? I DON'T HAVE KIDS YET, BUT I WANT TO HAVE KIDS.
YOU GUYS GOT TO HAVE YOUR KIDS.
YOU'RE LIVING YOUR LIFE. NEXT, TO THE PEOPLE HERE, DON'T ASK FOR THIS.
DEMAND THIS. THEY ARE HERE BECAUSE OF US.
THEY REPRESENT US, AND IF THEY'RE NOT WILLING TO SPEAK UP AND REPRESENT US, REPLACE THEM.
EVERY SINGLE ONE OF THEM. [APPLAUSE] I KNOW MANY PEOPLE HERE IN THIS VERY ROOM THAT ARE CAPABLE OF DOING THIS.
THROW YOUR HAT INTO THE RING. SPEAK UP.
I MOVED BACK TO AMARILLO BECAUSE I WANT TO BE HERE FOR AMARILLO.
I WANT TO BE HERE WITH MY FAMILY, MY FRIENDS, THE COMMUNITY.
I TRY TO DO AS MUCH AS I CAN FOR THE COMMUNITY.
THESE PEOPLE CLAIM TO DO AS MUCH FOR THE COMMUNITY. LET'S SEE IT.
STAND UP FOR THE PEOPLE OF AMARILLO. WE'RE NOT ASKING.
>> WE'LL LET AL SPEAK, AND THEN I'M GOING TO GO BACK THROUGH THE LIST OF THOSE THAT WE'RE NOT HERE JUST TO MAKE SURE IF SOMEONE WAS IN OVERFLOW, WE'RE GOING TO GET YOU NEXT. GO AHEAD.
>> AFTERNOON, AL. IF YOU'LL GRAB THAT MICROPHONE RIGHT THERE, BUD. THANK YOU.
>> I GUESS I'M NOT HERE SPEAKING ON AFIRMA.
I'M ACTUALLY HERE IN REGARDS TO THE AGENDA ITEM 10H.
THANK YOU, COUNCIL MEMBERS, FOR YOUR TIME AND SERVICE.
WE APPRECIATE IT. MY NAME IS AL PATEL, AND I RESIDE IN THE CITY LIMITS OF AMARILLO.
I'M HERE TODAY TO SPEAK FOR MY COMMUNITY, WHO OWN AND OPERATE MORE THAN 73% OF THE HOTELS IN AMARILLO.
WE ALL WOULD LIKE A HELPING HAND TO RUN OUR BUSINESSES, BUT UNFORTUNATELY, WE HAVE YET TO RECEIVE ANYTHING FROM THE CITY OF AMARILLO.
INSTEAD, EVERY YEAR WE GET INCREASED INSURANCES, PROPERTY TAXES, UTILITIES, AND NOW UNNECESSARY INSPECTIONS.
THEN WE FIND OUT THAT THERE IS ANOTHER CONTINUATION OF AN ASSIGNMENT WHERE TAX INCENTIVES ARE GOING TO BE GIVEN.
WE ARE HERE TODAY TO SPEAK ABOUT THE ASSIGNMENT AND ASSUMPTION OF THE AGREEMENT BETWEEN TIERS 1 AND SUMMIT NCI, JV177 LLC, 2724 SOUTH POLK STREET OPERATING LLC, AND ALL OTHER NEW INCENTIVES THAT ARE IN THE WORKS FOR HOTELS IN THE TIERS 1 ZONE.
WE ASK THAT YOU LOOK AT WHAT THE ORIGINAL CONTRACT SAYS, THAT YOU KEEP ON ASSIGNING.
WAS EVERYTHING THAT WAS AGREED UPON COMPLETED FROM THE ORIGINAL CONTRACT?
[01:25:02]
IT IS YOUR DUTY TO AUDIT EVERY RECEIVER OF TAX INCENTIVES TO MAKE SURE THAT WHAT THEY SAID THEY WERE DOING IS DONE BEFORE ANY CHECKS ARE WRITTEN.SOME KEY POINTS WE WANT YOU TO PAY ATTENTION TO IS THE NUMBER OF PEOPLE THAT THEY SAY THEY WILL EMPLOY, THE ONSITE RESTAURANT, NOT BISTRO, AND THE LANDSCAPING THAT THEY GOT MONEY FOR.
ON AN OPEN RECORDS REQUEST, WE FOUND SOMETHING THAT WAS VERY TROUBLING, AND IT WAS THE AMOUNT THAT WAS GIVEN TO SUMMIT NCI MASTER TRS INC. WHO IS THAT? PLEASE EXPLAIN TO THE PUBLIC WHY THEY HAVE RECEIVED UP TO $630,000 IN TAX INCENTIVES.
IN OUR OPINION, YOU HAVE TO BE TRANSPARENT WITH THE REBATE AND HAS TO BE ASSIGNED TO THE PROPERTY OWNER PER PRAD.
THE COURTYARD DOES ABOUT $3.6 MILLION PLUS IN REVENUE, AND SOME OF THE OTHER HOTELS DOWNTOWN DO WAY MORE THAN THAT.
THIS ZONE HAS RECEIVED MORE THAN $5 MILLION IN INCENTIVES OVER THE YEAR.
THIS AREA DOES NOT NEED ANY MORE HELP.
WHAT IS SO MIND BOGGLING TO US IS WHY THE CITY WOULD GIVE 90% OF THE ANNUAL TAX REIMBURSEMENT AND FOR 20 YEARS TO THE SAME PROPERTY ADDRESS.
WHY WAS THIS NOT A STEP DOWN PERCENTAGE REIMBURSEMENT? I AGREE IN THE BEGINNING, THERE IS A NEED FOR HELP, BUT 20 YEARS OF TAX REBATE IS NUTS.
ALSO, IF THIS HOTEL IS PLANNING ON DOING A $2 MILLION IMPROVEMENT, THEN THEIR PROPERTY TAXES WILL INCREASE, WHICH MEANS THAT THEY WILL GET MORE MONEY IN TAX REBATES.
MR. NELSON, I REQUEST THAT YOU DO SOMETHING POSITIVE FOR THE COMMUNITY THROUGH THE YEARS THAT YOU'RE RECEIVING THIS $800,000 TAX REBATE.
DON'T JUST GIVE IT A FINANCING LINE ITEM, WHICH WILL OFFSET YOUR RENOVATION COSTS, GIVE TO THE COMMUNITY THROUGH FEEDING THE HUNGRY, GIVE THE DONATIONS TO THE POLICE DEPARTMENT, OR SIMPLY HELP THE SENIOR CITIZENS OF THE AMARILLO ACADEMY.
>> APPRECIATE YOU, AL. [APPLAUSE]
>> THANK YOU. THANK YOU FOR YOUR TIME.
>> IS DAVID ALZALDE HERE? JAMES THE ANGUI, STEVE KIRSCH, JADE BONSER, JEFF MCGONAGLE, JOHN CAMPO JR. MAYOR, THAT CONCLUDES EVERYBODY THAT SIGNED UP FOR PUBLIC COMMENT TODAY.
>> THANK YOU, MS. CITY SECRETARY.
AS IS CUSTOMARY HERE TODAY, WE WILL CONTINUE TO CALL UPON ANYBODY THAT WOULD LIKE TO SPEAK HERE TODAY. DO I HAVE ANYONE? PLEASE RAISE YOUR HAND IF YOU'D LIKE TO GIVE PUBLIC COMMENT.
I'M GOING TO START OVER HERE ON THIS SIDE.
YES, SIR, IF YOU DON'T MIND COMING FORWARD.
IF EVERYONE WHO'S SPEAKING WOULD GIVE THEIR NAME AND WHETHER THEY RESIDE IN OR OUT OF THE CITY LIMITS FOR THE RECORD.
>> MY NAME IS TONY FOSTER, AND I RESIDE IN AMARILLO, TEXAS.
I'M EXECUTIVE DIRECTOR OF THE AGAPE CENTER, A NONPROFIT THAT HELPS PEOPLE WITH MENTAL ILLNESS.
TODAY, I WANT TO TALK ABOUT CRIMINAL DIVERSION FOR THOSE WITH MENTAL ILLNESS AND THE HOMELESS WITH MENTAL ILLNESS.
ESSENTIALLY, THAT PROCESS IS, IF YOU HAVE SOMEBODY WHO'S COMMITTING A CRIME AND THEY'RE SYMPTOMATIC.
INSTEAD OF INCARCERATING THEM, WE TAKE THEM TO A TREATMENT CENTER.
WE'RE TRYING TO DEAL WITH THE ROOT OF THE PROBLEM.
I WANT TO LET THE COUNCIL AND THE COMMUNITY KNOW THAT THERE IS A DIVERSION CENTER HERE IN TOWN, AND IT'S UNDER THE AUSPICES OF TEXAS PANHANDLE CENTERS, AND IT'S CALLED RESET.
IT'S FOR NON VIOLENT OFFENDERS AND THOSE THAT GET PETTY MISDEMEANORS AND THINGS LIKE THAT.
IT'S AT 6,600 KILGORE DRIVE, AND THE NUMBER IS 806-349-5645.
THEY HAVE STATE OF THE ART FACILITIES, THERAPISTS, AND CARING PEOPLE.
BUT THERE IS SOMETHING THAT STRUCK ME ABOUT THIS TURNS TO THE PAGES HERE.
AS I NOTICED WHEN I WAS THERE, IT WAS EMPTY AND THAT WAS REALLY SAD.
IT DOESN'T SEEM LIKE IT'S BEING UTILIZED OR IT'S UNDERUTILIZED.
THE OTHER THING I WANT TO TALK ABOUT IS 24 HOURS A DAY, SEVEN DAYS A WEEK, CIT COVERAGE.
THESE ARE CIT OFFICERS THAT HAVE 250 HOURS OF MENTAL HEALTH TRAINING,
[01:30:07]
AND THEY'RE ALSO MORE LIKELY TO DIVERT.RIGHT NOW, IF I AM CORRECT, I THINK WE JUST HAVE IT FROM 8:00 AM-8:00 PM MONDAY THROUGH FRIDAY.
BUT HOW MANY OF ALL KNOW THAT MENTAL ILLNESS AND MENTAL HEALTH CRISES IT DOESN'T STOP AT 8:00 PM FOR MANY PEOPLE, IT'S PERPETUAL AND NEVER ENDING.
I'M ADVOCATING FOR 24/7 DAYS A WEEK CIT OFFICER COVERAGE.
WHAT ARE WE TALKING ABOUT HERE? WE'RE TALKING ABOUT SHOWING A MODICUM OF HUMANITY FOR THOSE WHO ARE SYMPTOMATIC WITH LEGITIMATE DISEASES.
WE'RE ALSO TALKING ABOUT DEALING WITH THE ROOT OR THE ORIGIN OF THE PROBLEM INSTEAD OF SPINNING OUR WHEELS.
MANY OF Y'ALL THAT HAVE MAYBE STUDIED THE ISSUE PROBABLY KNOW THAT IT'S CHEAPER TO DEAL WITH MENTAL HEALTH ISSUES AT THE FRONT END INSTEAD OF PERPETUALLY INCARCERATING INDIVIDUALS.
ONE MORE THING, IF I COULD JUST PLEASE TAKE A LOOK AT ARTICLE 1623.
I DIDN'T GET A CHANCE TO SAY IT, BUT TAKE A LOOK AT THAT.
>> THANK YOU, MR. FOSTER. HERE ON MY RIGHT SIDE, FRONT ROW, RAISE YOUR HAND IF YOU WANT TO GIVE PUBLIC COMMENT, PLEASE.
WE'RE GOING TO JUMP BACK TO YOU, SIR, AND THEN WE'LL COME ACROSS THE FRONT ROW. YES, SIR.
>> HOWDY, YOU ALL? MY NAME IS JOSIAH WEST.
I'D JUST LIKE TO ECHO WHAT A LOT OF FOLKS ARE SAYING IN THAT I DON'T WANT FERMI HERE.
I THINK THAT EVEN FERMI ISN'T PLANNING ON MORE THAN FIVE TO SEVEN YEARS OF USE OUT OF THE OGLALA, BASED ON THE THINGS THAT THEY DECIDED TO GO FORWARD WITH.
I THINK ALREADY SIGNING A LETTER OF INTENT, SAYING THAT WE'RE GOING TO BE GIVING THEM 2.5 MILLION GALLONS PER DAY BY JANUARY 31ST OF NEXT YEAR, IS A LITTLE MESSED UP.
I THINK YOU'RE GOING TO BE SELLING SOME OF THE CARSON COUNTY WELL FIELD.
WE'RE LEASING IT, AND THAT'S ALL, WITHOUT DISCUSSION OF THE PEOPLE WHO WOULD BE BENEFITING FROM THAT WATER NORMALLY.
I THINK THAT YOU'RE SELLING OFF THE FUTURE OF THE PANHANDLE AND A LOT BIGGER AREA, IF WE'RE TALKING ABOUT THE WHOLE OGLALA FOR A LITTLE BIT OF GREED FOR FARMING.
I'D REALLY APPRECIATE THAT IF YOU WOULD CONSIDER THE CITIZENS OF AMARILLO AS OPPOSED TO FIVE OR SEVEN RICH PEOPLE. THANK YOU.
>> THANK YOU, SIR. MS. CLAUDETTE SMITH, IF YOU'LL TAKE A MICROPHONE, AND THEN WHO ELSE WAS WANTING TO SPEAK ON THE FRONT ROW? MR. FISHER, IF YOU'LL TAKE THE OTHER MICROPHONE. MS. CLAUDETTE.
>> I'M HERE TO ASK YOU TO DENY OR DEFER ITEM 10H.
FIRST, THIS DEAL IS NOT IN THE BEST INTEREST OF THE TAXPAYERS OR THE CITY.
THIS IS NOT JUST A ROUTINE TRANSFER.
IT'S A SIGNIFICANT 90% TAX REBATE FOR 20 YEARS.
THIS PUBLIC COMMITMENT WAS MEANT TO CATALYZE DEVELOPMENT OUTCOMES, NOT TO BE A PERPETUAL PASS THROUGH TO THE NEXT OWNER.
IF WE ARE TO CONTINUE UNDERWRITING THIS ASSET, THERE MUST BE A CLEAR CURRENT RETURN ON INVESTMENT, AND THAT'S MISSING HERE.
SECOND, THIS TRANSFER OFFERS NO NEW BENEFITS.
WHAT'S BEING PROPOSED IS SIMPLY CONTINUING TO OPERATE AN EXISTING HOTEL AT 724 SOUTH POLK.
NO NEW CAPITAL IMPROVEMENTS, REALLY NO SPECIFIC MEASURABLE PUBLIC BENEFITS.
ESSENTIALLY, YOU'RE BEING ASKED TO RUBBER STAMP A SUBSIDY WITHOUT ANY UPDATED PUBLIC VALUE.
THIRD, THERE'S A TROUBLING APPEARANCE OF INSIDER DEALING.
THIS REQUEST COMES FROM AN ENTITY TIED TO FORMER MAYOR GINGER NELSON, RAISING CONCERNS ABOUT A PREMEDITATED PLAN TO BENEFIT SPECIFIC INDIVIDUALS.
THIS TEAR ZONE WAS MEANT TO REVITALIZE DOWNTOWN, NOT PROVIDE A PERPETUAL PRIVATE SUBSIDY.
NOW, KEVIN NELSON MAY COME UP HERE AND GIVE SOME GRAND SPEECH AS THOUGH HE'S GIVING CLOSING ARGUMENTS AT THE O.J.
SIMPSON TRIAL, POSSIBLY THREATENING LEGAL ACTION IF YOU WITHHOLD THIS TRANSFER, BUT LET'S BE CLEAR.
THIS ISN'T ABOUT LEGAL POSTURING.
IT'S ABOUT WHETHER AMARILLO TAXPAYERS GET REAL VALUE.
MR. NELSON, WHO STANDS TO INHERIT THIS BENEFIT, CLAIMED AT THE LAST TIERS MEETING THAT IF THIS WASN'T APPROVED, IT WOULD BE FINANCIALLY CATASTROPHIC TO HIM.
[01:35:01]
IF PAYING THE NEXT SIX YEARS OR WHATEVER IS LEFT OF THAT CONTRACT IS GOING TO BANKRUPT 724 SOUTH POLK, THAT SHOULD RAISE SERIOUS RED FLAGS ABOUT THEIR FINANCES AND WHETHER THIS COUNCIL SHOULD BE GIVING THEM MILLIONS AND PASS THROUGH INCENTIVES.NOW YOU MAY BE THINKING THE TIERS BOARD PASSED IT.
HALF THE BOARD WERE WAVING AT KEVIN AND GINGER.
THE OTHER HALF WAS UNINFORMED, AND EVERY TIME THEY ASKED FOR GUIDANCE, THEY GOT VAGUE OR EVASIVE ANSWERS BECAUSE YOU HAD BRIAN MICK SHOULD BE DISBARRED, AND ANDREW FREEHOUSE, PLAYING CAPTAIN SAVA CRONY, PRETENDING NOT TO HAVE THE ANSWERS.
MOREOVER, DAVID PRESCOTT AND LES SIMPSON HAVE AN ETHICAL DUTY TO RECUSE THEMSELVES FROM VOTING ON THIS ITEM, AS THEY BOTH HAVE A VERY CLEAR PERSONAL RELATIONSHIP WITH THE APPLICANT, THE NELSONS, NOT TO MENTION, FORMER MAYOR NELSON PUBLICLY ENDORSED BOTH OF THEM FOR THEIR POSITIONS.
HERE'S WHAT I'M ASKING YOU TO DO.
DENY OR DEFER THE TRANSFER UNTIL THERE'S AN INDEPENDENT LEGAL REVIEW AND A WRITTEN LEGAL MEMO POINTING TO THE EXACT CONTRACT CLAUSE OR STATUTE THAT SAYS REBATES CONTINUE REGARDLESS OF OWNERSHIP.
BECAUSE I ASKED FOR THAT AT THE LAST MEETING, AND HE COULDN'T GIVE THAT TO ME.
TIERS WAS DESIGNED TO REVITALIZE, NOT TO GUARANTEE A PERPETUAL PRIVATE SUBSIDY.
I LIVE IN THE CITY LIMITS OF AMARILLO.
GOVERNMENT TRANSPARENCY IT'S LIKE BIGFOOT.
EVERYONE TALKS ABOUT IT, BUT NOBODY SEES IT.
I'M HERE TO OPPOSE AGENDA ITEM 10H, TRANSFERRING THE TAX PAYMENT TO OUR FORMER MAYOR, GINGER NELSON AND FAMILY AND ALAN RHODES OF THE UNDERWOOD LAW FIRM.
IT'S A BAD AGREEMENT, AND IT SHOULDN'T EVEN BE BEFORE THE COUNCIL TODAY.
IF AN ITEM IS POSTED ON AN AGENDA, IT MUST BE ACTIONABLE AT THE TIME IT'S POSTED.
WHEN THIS BOARD, THE TIERS BOARD, VOTED ON THIS, THE CITY AGENDA WAS ALREADY POSTED.
IT'S PREMATURE, AND IT DIDN'T GIVE ME MY THREE BUSINESS DAYS TO PREPARE FOR THIS MEETING TODAY.
THIS ITEM WAS PLACED ON THE COUNT.
THIS IS ABOUT A DEAL PUSHED THROUGH BY STAFF WHO SEEMED TO BE FAR MORE INTERESTED IN DEFENDING BAD CONTRACTS THAN PROTECTING TAXPAYERS.
WE SAW THIS FIRSTHAND LAST WEEK WHEN ASSISTANT CITY MANAGER ANDREW FREEMAN, WHO SITS RIGHT HERE NEXT TO ME.
HE WAS NOT A NEUTRAL PUBLIC SERVANT, BUT HE WAS AN ADVOCATE FOR TRANSFERRING THIS TAX ABATEMENT.
HERE WE ARE NOW ENFORCING A TAXPAYER FUNDED CONTRACTS BY, SORRY, I MISSED THE SENTENCE HERE.
WHEN HE WAS DEFENDING THIS, HE GOT ON A WEBSITE, AND HE SAID, WELL, THEY'VE MET ALL THE CRITERIA.
IT'S GOT A RESTAURANT. IT'S GOT A COFFEE SHOP.
WE HAVE THIS CODE ENFORCEMENT UP HERE, BUT WE'RE NOT ENFORCING CONTRACTS.
THE BOARD ACTUALLY SAID, WE DON'T HAVE CONTRACT POLICE.
IT SAYS WE HAVE TO PAY, SO LET'S PAY IT.
NOW, HOW DOES THIS TRANSFER OVER TO THE FERMI AGREEMENT? THE AGENDA SAYS, THIS RESOLUTION AUTHORIZES A WATER SUPPLY AGREEMENT WITH FERMI.
THE RESOLUTION EVEN SAYS, AND I QUOTE, ''COUNCIL HEREBY APPROVES THE WATER SUPPLY AGREEMENT ATTACHED HEREIN, EXCEPT THERE'S NO AGREEMENT ATTACHED.
SO WE'RE BEING ASKED TO LET THE CITY MANAGER SIGN A MAJOR CONTRACT INVOLVING MILLIONS OF GALLONS OF GROUNDWATER, SIGHT UNSEEN.
I'M SURE IT'LL BE FINE, THOUGH, BECAUSE AFTER ALL, AS WE HEARD LAST WEEK, WHEN SOMETHING GOES WRONG, THE CITY'S POSITION IS SIMPLE.
THE CONTRACT SAYS WE HAVE TO KEEP PAYING IT SO LET'S PAY IT.
I URGE YOU TO NOT VOTE FOR WATER AFIRMA.
>> I SEE MR. SKINKS HAND, JIMMY JOE, IF YOU'LL COME UP.
COMING ACROSS THE FRONT ROAD, DO I HAVE ANYONE ELSE TO MY LEFT?
>>ANYONE HERE ON THE LEFT HAND SIDE? NO. BACK OVER HERE, I BELIEVE IT'S MISS LINDSAY, IS THAT CORRECT? IF YOU'D COME UP TO THE OTHER MICROPHONE, MR. JAMES SKINK, YOU'RE UP.
>> JAMES SKINK, LIVE IN THE CITY.
[01:40:01]
IT'S AMAZING THE COUNTRY WE LIVE IN, THE GOVERNMENTS THAT HELP US RUN THE WAY THAT WE ACTUALLY HAVE THIS DISCOURSE OVER SOME SERIOUS SITUATIONS THAT WE NEED TO.BUT AS PROGRESS CONTINUES, YOU HAVE TO BE CAREFUL WITH WAY YOU PLAN, WHAT WAY YOU DON'T.
I'M INVOLVED RIGHT NOW JUST TO GIVE A PAUSE BECAUSE TODAY IS CHARLIE KIRK'S BIRTHDAY.
I APPRECIATE, AND I THINK HE DOES, APPRECIATES THIS DEBATE.
WISH YOU ALL COULD FEED BACK IN SOMETIMES A LITTLE BIT MORE, BUT TO APPRECIATE THAT SITUATION WHERE WE HAVE PROS AND CONS, AND YOU'RE ABLE TO TALK IT OUT.
THAT ESTABLISHES OUR INDIVIDUAL LIBERTY AND FREEDOM IN THIS COUNTRY.
IF THEY TAKE THAT AWAY FROM US, IF YOU TAKE AWAY THIS, WE'RE IN TROUBLE, BECAUSE ALL OF A SUDDEN YOU'D BE SO YOU GOT TO SIT DOWN, OR, SO THAT DON'T WORK.
SOMETIMES THE CONVERSATIONS ARE HARD SOMETIMES THEY'RE EASIER.
I REMEMBER A TIME THAT I'VE READ IN HISTORY WHEN ALL OF A SUDDEN, THE PEOPLE WHO WERE RIDING HORSES WERE REALLY UPSET THAT THEM CARS WERE COMING THROUGH TOWN.
I'M NOT SO SURE WHICH DIRECTION WE'RE GOING WITH THIS AI STUFF, BUT I'M STILL OPEN TO THE IDEAS.
>> MY NAME IS LINDSEY LONDON BAKER.
I'M GOING TO ECHO A LOT OF WHAT WAS SAID TODAY, BUT NEED TO SAY MY PIECE.
ON THE HEELS OF MR. SKINKS, I WOULD LIKE TO ALSO ACKNOWLEDGE THAT TODAY IS GEORGE FLOYD'S BIRTHDAY, WHO IS ALSO DEEPLY DESERVING OF COMMEMORATION.
I'M HERE TODAY BECAUSE I'M ALSO CONCERNED ABOUT THE WAY THE FIRM DEAL IS UNFOLDING.
I LEARNED ABOUT IT FROM A NEWS ARTICLE AND NOT FROM CITY LEADERSHIP, WHICH IS DEEPLY CONCERNING TO ME.
MR. TRENT SIZEMORE, WHO HOLDS A STRONG REPUTATION IN THIS COMMUNITY HAS YET TO HOLD A COMMUNITY FORUM TO HEAR FROM US, AND WE DESERVE ALL OF THAT BEFORE A SINGLE DROP OF AMAROS WATER GOES TO A COMPANY THAT WE KNOW NOTHING ABOUT.
WE ALL LIVE IN THE PANHANDLE WE KNOW WHAT DROUGHT FEELS LIKE.
WE TEACH OUR CHILDREN NOT TO WASTE WATER BECAUSE EVERY DROP COUNTS.
MY SON WAS ACTUALLY IN THE CHAMBERS TWO YEARS AGO BECAUSE HIS DRAWING MADE IT INTO THAT CALENDAR.
WHAT WILL THIS TEACH OUR CHILDREN? THAT A PRIVATE COMPANY CAN COME IN, DRAIN OUR WATER, TO KEEP THEIR MACHINES COOL, POISON THE AIR, AND LAND, AND CALL IT PROGRESS.
PROGRESS FOR WHO? NOT FOR THE FAMILIES WHO LIVE HERE.
AI DATA CENTERS ARE KNOWN TO INCREASE ELECTRICITY COSTS AND DRIVE UP HOUSING COSTS, NOT FOR THE FARMERS WHO RELY ON OUR AQUIFERS.
IT WILL DEEPLY INCREASE THE DRAINAGE ON THOSE RESOURCES, AND NOT FOR OUR CHILDREN WHO WILL BE DEALING WITH THE AFTERMATH WHEN THAT WATER IS GONE, AND WE KNOW THAT THAT TIME IS COMING SOONER THAN WE HOPE.
LARGE SCALE DATA CENTERS ARE KNOWN TO RUIN WATER SUPPLIES.
AS I SAID, JACK UP ELECTRICITY COSTS, IN PLACE HOUSING COSTS AND FURTHER DATA MINING THAT ROB US OF OUR ENVIRONMENTAL STABILITY AND OUR PRIVACY.
A SIMPLE GOOGLE SEARCH TAUGHT ME ALL THAT I DIDN'T EVEN NEED TO ASK AT GPT.
OUR WATER ISN'T A BARGAINING CHIP IT'S NOT A RESOURCE TO SELL.
IT'S THE FOUNDATION OF LIFE OUT HERE AND IT'S RUNNING OUT.
I WANT MY CHILDREN TO GROW UP IN A PLACE THAT VALUES PEOPLE OVER PROFITS, NOT ONE THAT SELLS ITS WATER TO A TECH FIRM CHASING THE NEXT DOLLAR.
CLEARLY, FROM THE TURNOUT TODAY, THIS COMMUNITY IS PAYING ATTENTION, AND YOU ALL WORK FOR US, AND SO WE EXPECT FULL PARTICIPATION IN THESE DECISIONS.
THE SECRET C FEELS ABHORRENT THIS WAS LIKELY IN TALKS FOR YEARS, AND WE NEVER KNEW ABOUT IT.
WE DEMAND THAT YOU DO NOT HAND OVER OUR WATER FOR PROFIT, STAND WITH THE PEOPLE WHO LIVE HERE, RAISE OUR FAMILIES HERE, AND ACTUALLY DO DEPEND ON THIS LAND TO SURVIVE FOR GENERATIONS TO COME.
OUR WATER, AIR, AND LAND ARE WORTH FAR MORE THAN MONEY IN ANYONE'S POCKETS, AND WE WILL NOT BACK DOWN FROM THIS ISSUE.
>> THANK YOU, MISS LONDON. [APPLAUSE] WE'D JUST LIKE TO PAUSE HERE FOR A MINUTE AND THANK YOU, LADIES AND GENTLEMEN FOR THE DECORUM.
ALSO, THE RESPECT THAT'S BEING SHOWN TO OTHERS WHILE THEY'RE SPEAKING AND ALLOWING EVERYBODY TO BE EFFICIENT IN THE PUBLIC COMMENT, PERIOD.
THIS IS ONE OF THE MOST IMPORTANT THINGS WE DO.
HOWEVER, ONE OF THE OTHER MOST IMPORTANT THINGS THAT WE DO AFTER ABOUT AN HOUR AND 45 MINUTES OF BEING SEATED IS PAUSE FOR A RECESS SO THAT EVERYBODY CAN TAKE A BREAK IF NEEDED.
[01:45:04]
WE WILL RECONVENE IN 10 MINUTES. THANK YOU.TODAY. IT IS 5:00 ON A BEAUTIFUL TUESDAY AFTERNOON, AND WE ARE A LITTLE OVER HALFWAY THROUGH WITH OUR PUBLIC COMMENT.
WE'VE GOT A GOAL TO GET THROUGH PUBLIC COMMENT HERE IN ANOTHER 30 TO 40 MINUTES.
THEN I DO HAVE ONE BUSINESS ITEM THAT'S DUE BY 6:00 P.M. TODAY.
WE MAY TAKE THAT ITEM UP OUT OF ORDER IN ORDER TO KEEP SCHEDULE JUST AS RUNNING A BUSINESS MEETING AS WELL AS A COMMUNITY MEETING.
THANK YOU TO EVERYBODY FOR GETTING BACK TO YOUR SEATS.
WE ARE OFFICIALLY CALLED BACK INTO SESSION AT THIS TIME, WE I WANT TO SAY THE SECOND ROW. YES, SIR.
IF YOU'LL COME UP, AND THEN ANYONE ELSE ON THE SECOND ROW THAT WOULD LIKE TO SPEAK, PLEASE RAISE YOUR HAND.
LET ME JUMP ACROSS THE AISLE OVER HERE ANYONE.
YES, MA'AM. IF YOU'LL COME UP, TAKE THE OTHER MICROPHONE.
SIR, IF YOU WOULD, GIVE YOUR NAME FOR THE RECORD AND WHETHER YOU RESIDE IN OR OUT OF THE CITY LIMITS.
>> I'M JUSTIN BRISK, LIVE INSIDE THE CITY.
I NORMALLY WATCH YOU GUYS ON YOUTUBE.
OF COURSE, THERE WE'RE NOT ALLOWED TO MAKE COMMENTS FOR SOME REASON.
I THINK THAT'S ABSURD, BUT THAT'S NOT THE AGENDA ITEM I'M HERE TO TALK ABOUT.
I'VE ALSO HEARD YOU'LL SAY THAT EVERY DROP COUNTS A LOT.
YOU'LL PARADE THE CHILDREN WITH THEIR ARTWORK SO I HOPE YOU'LL ACT LIKE IT.
BUT AT THE SAME TIME, I HEAR ABOUT THIS LETTER OF INTENT.
IT SOUNDS LIKE IT'S ALREADY A DONE DEAL.
THE WAY THINGS SEEM TO GO AROUND HERE NO MATTER WHO THE FACES ARE AT THE COUNCIL, THINGS TEND TO HAPPEN BEHIND CLOSED DOORS.
IT DOESN'T FEEL LIKE WE'RE REALLY PART OF IT.
BUT I THINK THE FIRM THING IS A BAD IDEA, AND EVERYBODY ELSE HAS ALREADY SAID A LOT ABOUT THAT, SO I WON'T TAKE UP ANY MORE TIME.
>> MA'AM, IF YOU'LL STATE YOUR NAME.
>> AUDREA CLEMENTS, AND I LIVE IN THE CITY LIMITS.
I NEVER THOUGHT THAT I'D SEE THE DAY PANHANDLE TEXANS WOULD EVEN CONSIDER SELLING OFF THE VERY THING THAT KEEPS THIS LAND ALIVE, OUR WATER.
WE LIVE IN DROUGHT COUNTRY EVERY FARMER, RANCHER, AND PARENT HERE KNOWS WATER ISN'T A LUXURY, IT'S A SURVIVAL.
YET THE SAME CITY OF AMARILLO RUNNING THE EVERY DROP COUNTS CAMPAIGN, TELLING US TO SAVE EVERY OUNCE, NOW WON'T EVEN TELL US WHAT'S GOING ON WITH OUR OWN WATER.
WE KEEP HEARING THAT IT'S BEEN PROMISED, MAYBE EVEN SOLD TO FARM AMERICA, BUT WE'RE NOT REALLY SURE.
BECAUSE NO ONE'S BEING TRANSPARENT WITH US.
NO ANSWERS, NO DETAILS, NO HONESTY SO WHICH IS IT? DO OUR DROPS COUNT OR JUST THE ONES THAT CAN BE SOLD? THIS ISN'T JUST ABOUT AMARILLO.
I CAN'T SAY AT THE AQUIFER, RUNS THROUGH EIGHT STATES, AND IT SERVES OVER 2 MILLION PEOPLE, NOT JUST AMARILLO, OTHER PEOPLE.
ONCE IT'S DRAINED, IT IS GONE FOREVER.
YOU CAN'T REFILL IT AND YOU CAN'T FIX IT SO I ASK YOU, DO YOU REALLY WANT TO BE REMEMBERED AS THE COUNCIL THAT SOLD OUT YOUR PEOPLE IN SECRET, THE ONES WHO CHOSE CORPORATIONS OVER COMMUNITIES? I CERTAINLY HOPE NOT.
THIS SHOULD HAVE BEEN DISCUSSED IN A PUBLIC CALL MEETING OR EVEN A COUNTY MEETING OF SOME SORT WITH FIRME.
THAT THEY'RE THERE TO ANSWER QUESTIONS, BUT INSTEAD, EVERYTHING'S BEEN CLOSED BEHIND CLOSED DOORS, LIKE IT'S A SECRET OR SOMETHING.
THERE'S NO INFORMATION THAT'S NOT LEADERSHIP, THAT'S SECRECY.
OUR KIDS, OUR GRANDKIDS, MAYBE EVEN YOURS, DESERVE THE TRUTH.
THEY DESERVE TO KNOW WHAT'S BEING DONE TO THEIR FUTURE.
I'M ASKING YOU AS A TEXAN, AS TEXANS, AS PARENTS, AS PUBLIC SERVANTS TO COME CLEAN AND TELL US WHAT IS GOING ON, WHAT'S HAPPENING.
BECAUSE RIGHT NOW, AMAR'S MESSAGE ISN'T EVERY DROP COUNTS.
IT'S EVERY DROPS FOR SALE AND SECRET.
>> I'D LIKE JUST TO MAKE A STATEMENT OF FACT.
THERE'S BEEN A LOT OF COMMENTS MADE, AND THEY'RE GREAT AND WHAT MR. SKINKS SAID, THIS IS EXACTLY WHAT THIS IS FOR.
I WILL TELL EVERYBODY OUT THERE, EVERYBODY THAT'S LISTENING.
NO ONE HERE ON COUNCIL HAS MET WITH FIRME IN SECRET.
WE HAVEN'T DONE ANYTHING LIKE THAT SO JUST AS A STATEMENT OF FACT, SO YOU GUYS KNOW, THERE'S NOT ANYTHING BEING DONE IN SECRET.
I JUST WANT TO MAKE THAT CLEAR JUST SO YOU KNOW.
MY HOPE IS THAT, I SEE A LOT OF PEOPLE MAKING COMMENT AND THEN LEAVING.
WE KNOW IT'S TOUGH WE KNOW EVERYBODY'S SCHEDULES ARE TOUGH.
[01:50:02]
MY HOPE IS THAT PEOPLE WILL WATCH THIS MEETING, AT LEAST EITHER TONIGHT, OR ANYTIME THAT IT'S CONVENIENT BECAUSE I THINK YOU'RE GOING TO GET A LOT OF ANSWERS.THERE'S SOME MISINFORMATION THAT'S OUT THERE.
THERE'S MANY THINGS THAT ARE BEING SAID THAT AREN'T TRUE, AND IT'S TOUGH TO SIT UP HERE AND JUST TAKE IT WHEN IT'S NOT TRUE.
MY HOPE IS THAT YOU'LL STAY OR WATCH THIS WHEN IT'S CONVENIENT FOR YOU AND FIND OUT SOME FACTS.
IF YOU WANT TO KNOW ANYTHING, CALL US WE'RE AVAILABLE.
CALL US, EMAIL US, AND WE WILL ADDRESS IT.
OUR HOPE IS THAT WE WILL HAVE TOWN HALLS ONCE THIS THING IS OUT THERE, WHICH WILL BE AFTER TODAY.
BUT OUR GOAL IS TO COMMUNICATE WITH YOU SO JUST KNOW THAT.
>> THANK YOU, COUNCILMAN [APPLAUSE].
WE'LL CONTINUE WITH PUBLIC COMMENT UNLESS I HAVE ANYTHING ELSE.
BACK OVER HERE ON THE SECOND ROW.
ANYBODY ELSE WHO'D LIKE TO GIVE PUBLIC COMMENT? WE'RE GOING TO COME BACK OVER HERE TO THE THIRD ROW.
ANYONE ON THE THIRD ROW TO MY RIGHT? NO, WE'RE GOING TO JUMP ACROSS, GO THIRD ROW TO MY LEFT. YES, MA'AM.
THEN THE OTHER LADY IN THE BLACK SHIRT, IF YOU COME UP AS WELL. AFTERNOON.
>> HELLO. MY NAME IS LIZA ROMANELLI.
I'M JUST GOING TO TURN THIS AROUND BECAUSE I WANT TO ADDRESS THE CITIZENS, AND INDEED ANYBODY.
>> MS. ROMANELLI, I'M GOING TO ASK FOR A DECORUM.
SPECIFICALLY YOU ARE HERE TO ADDRESS YOUR COUNSEL.
I CAN'T ALLOW YOU TO FACE THAT.
>> LOOK OVER MY SHOULDER, TOO. HOW ABOUT THAT?
>> IT'S HARD TO GO BACK AND FORTH.
WE UNDERSTAND THERE'S A NEED FOR THAT.
BUT SPECIFICALLY, WE WANT TO HONOR YOUR TIME, SO WE'RE LISTENING TO YOU.
>> THANK YOU FOR THE CLARIFICATION.
AGAIN, THIS IS ONLY MY THIRD TIME TO DO THIS.
>> YES, MA'AM. GOOD. THANK YOU.
>> I JUST WANT TO BE CLEAR ON A COUPLE OF THINGS.
I AM THE AUTHOR OF THE CBA THE COMMUNITY BENEFITS AGREEMENT.
I JUST DECIDED TO PUT IT OUT THERE BECAUSE I'M QUALIFIED, I'M CAPABLE, AND THIS IS IN MY PURVIEW IN TERMS OF MY PROFESSIONAL WORK EXPERIENCE.
I APPRECIATE ALL THE COMMENTS THAT WAS HAD.
I APPRECIATE COUNSEL RECEIVING MY EMAIL THAT HAD THE ACTUAL DOCUMENT, THAT THE INFORMATION THAT WAS PUT OUT ONLINE WAS JUST A SUMMARY OF IDEAS.
WHY DID I DO THAT? BECAUSE THIS IS ACTUALLY BECOMING A TOOL THAT COMMUNITIES AND PEOPLE ARE USING MOVING FORWARD WITH THESE TYPES OF BIG PROJECTS.
IT IS IN EVERYBODY'S BEST INTEREST TO CONTINUE TO LEVERAGE THESE TYPES OF THINGS, AND I'M NOT TALKING LEVERAGING NATURAL RESOURCES.
I'M TALKING ABOUT IF WE'RE GOING TO GIVE YOU A TAX ABATEMENT, IF WE'RE GOING TO GIVE YOU ACCESS TO SOMETHING, WHAT DO WE GET IN RETURN? I JUMPED AHEAD ON MY NOTES.
I WANT TO REMIND EVERYBODY ADOPT. DON'T SHOP.
THERE ARE ANIMALS NEEDING RESCUE HERE IN AMARILLO AND AROUND THE COUNTRY.
BUT MOVING FORWARD, THE REAL ISSUE HERE IS TEXAS TECH LEASED THE LAND TO FIRME.
THIS WAS NOT A PRIVATE PROJECT BETWEEN A PRIVATE ENTITY AND TEXAS TECH.
THAT IS WHERE THE BLAME NEEDS TO BE PUT.
WHEN YOU HAVE A RET, A REAL ESTATE INVESTMENT TRUST SET UP SO THAT YOU CAN GO AROUND AND SKIRT DIFFERENT TYPES OF GUARD RAILS AND THINGS LIKE THAT, THAT'S WHERE THE REAL PROBLEM IS.
NOW, GOING BACK TO GUARD RAILS, THE PASSAGE OF SB 6 SENATE BILL IN THE STATE OF TEXAS, SB 6 EARLIER THIS YEAR, ALLOWED FOR THIS TYPE OF VERY LARGE DATA PROJECTS TO COME THROUGH WITH NO GUARD RAILS.
IT'S NOT JUST FIRME, IT'S SWISHER COUNTY.
IT IS HUTCHINSON COUNTY, IT'S CARSON COUNTY, IT'S PAMPA.
THE CONVERSATION RIGHT NOW NEEDS TO BE SWITCHED VERY QUICKLY TO WHAT ARE THE GUARDRAILS SO THAT THIS DOESN'T HAPPEN AGAIN, SO THAT RESOURCES ARE CONSERVED, BUT ECONOMIC GROWTH CONTINUES.
AT THIS RATE, THERE WILL NOT BE AN AGRICULTURAL ECONOMY HERE, AND THAT'S JUST A FACT, AND I LIKE TO DEAL IN FACTS.
WITH THOSE FACTS, THAT'S WHY I PUT FORTH THE CBA.
FROM THE CBA, A DOWN PAYMENT OF $250 MILLION I CAN SCALE UP.
THERE ARE INVESTMENTS FOR THE COMMUNITY.
IT'S ANCHORED IN WATER EQUITY, INNOVATION ENDOWMENTS, COUNTER TERRORISM, DEFENSE.
THIS ALSO INCLUDES AN HVAC INNOVATION CENTER.
I DO REPRESENT AN HVAC COMPANY HERE IN AMARILLO.
WE HAVE TRIED BEFORE TO BUILD AN INNOVATION HUB, SPECIFICALLY DEDICATED TO THESE TYPES OF CENTERS TRAINING THE NEXT GENERATION OF TECH, BECAUSE THIS IS A VERY SPECIALIZED SKILL.
ALSO, I WORK WITH IP PORTFOLIOS WHERE THESE TYPES HAVE TECHNOLOGIES FOR THESE SEMICONDUCTORS? I WORK IN THE PHYSICAL SCIENCES.
HOW DO THESE THINGS COME TO FRUITION? IF YOU WANT TO KNOW HOW TO LEVERAGE THIS, I ENCOURAGE YOU, PLEASE, LOOK AT THE CBA.
NOBODY ASKED FOR THIS I PUT IT OUT THERE BECAUSE I WANTED A DIFFERENT CONVERSATION OTHER THAN WHAT WE NORMALLY GET FROM GIVING AWAY TAXES AND RESOURCES, JUST THE CREATION OF JOBS.
BECAUSE IF ANYTHING, JOBS ARE NOT A GUARANTEE.
[01:55:02]
>> THANK YOU, MISS ROMANELLI. MISS BONNIE.
>> HELLO. I REALLY DIDN'T PLAN ON TALKING TODAY.
BONNIE SECREST. I DO LIVE IN POTTER COUNTY.
I'M HERE ALSO CONCERNED ABOUT THIS NEW IDEA AND ALSO CONCERNED AS EVERYBODY ELSE, HOW CONSTRUCTION AND EVERYTHING STARTED BEFORE WE CAUGHT WIND TO WHAT WAS EVEN GOING ON.
I'M NOT ONLY CONCERNED ABOUT THE WATER.
BUT I'M CONCERNED ABOUT THE ENERGY THAT IS GOING TO BE TAKEN AWAY FROM US.
OUR UTILITIES ARE ALREADY GOING HIGH, WHAT'S THIS GOING TO DO TO OUR UTILITIES? THEY'RE TALKING ABOUT THE JOB CREATIONS THAT THIS IS GOING TO CREATE.
BUT ON THE OTHER SIDE, WE'VE GOT HARD FACTS THAT SAYING THAT IT'S TEMPORARY JOBS.
SOMEBODY ELSE, I HAVEN'T CONFIRMED THIS, BUT THEY'RE SAYING THAT THE CONSTRUCTION TEAM THAT'S WORKING ON IT NOW IS OUT FROM LUBBOCK.
IF THAT'S THE CASE, IS THIS REALLY FOR THE MROO PEOPLE? I DON'T WANT TO BE LIED TO.
I WANT THE TRUTH, NO MATTER HOW UGLY IT IS.
I WANT THE TRUTH, SO WE CAN RESPECT THAT AND BUILD TRUST.
THE WILD LIFE, I'M WORRIED ABOUT THE WILD LIFE OUT THERE.
WHEN I HEARD THAT Y'ALL HAD A WILDLIFE SANCTUARY, I WAS REALLY HAPPY ABOUT THAT.
THEN HERE WE ARE, TWO WEEKS LATER, TALKING ABOUT THEY'RE TEARING IT DOWN.
I'M NOT SURE HOW TRUE THAT IS.
LIKE I SAID, I HAVEN'T HEARD ANYTHING FROM Y'ALL.
ANOTHER THING I STARTED BEING CONCERNED ABOUT WAS BEING RIGHT NEXT TO A NUCLEAR PLANT.
WHAT RISKS ARE INVOLVED WITH THEM TWO BEING NEXT TO EACH OTHER? I STARTED LOOKING INTO THAT, AND IT DIDN'T REALLY LOOK VERY GOOD.
I DON'T WANT PEOPLE TO BE BLIND TO THIS.
I WANT Y'ALL TO TALK TO US ABOUT THIS SO THAT WE CAN GET ON THE SAME PAGE AND BE AS COMFORTABLE AS Y'ALL ARE OR AS UNCOMFORTABLE AS Y'ALL ARE EITHER WAY.
>> ALSO, ANOTHER THING I WAS CONCERNED WITH WAS SIZEMORE WAS SAYING THAT THIS WAS GOING TO BE ANOTHER FUNNEL FOR NONPROFITS AND WE SEE A LOT OF THAT GOING ON HERE.
HOW TRANSPARENT ARE THESE NONPROFITS? THEY WERE TALKING ABOUT WITH THE HOTELS, I'M TIRED OF SEEING THE SAME PEOPLE PROFIT AND GET THE HELP FROM THESE THINGS, BECAUSE THE SAME FACES DO GET A LOT OF HELP.
[NOISE] I THINK THAT'S ALL I GOT. THANK YOU.
>> THANK YOU, MA'AM. [APPLAUSE] WE'RE GOING TO JUMP OVER TO ROW 4 BACK HERE.
ANYBODY THAT'D LIKE TO SPEAK, RAISE YOUR HAND, PLEASE.
COMMISSIONER, I'LL SEE YOU IF YOU COME UP HERE, SIR.
YOU MISSED YOUR TURN, BUT I'LL COME BACK FOR ONLY YOU, SIR. HOW ARE YOU?
>> VERY WELL. THANKS. I'M ROBERT KEYES, RESIDENT OF AMARILLO FOR 73 YEARS.
I CAME TO AMARILLO WITH MY PARENTS THREE MONTHS OLD.
MY DAD MOVED HERE TO SEEKING JOB OPPORTUNITY.
THAT HAS ALWAYS BEEN MY GOAL, STAYING IN THIS CITY, RAISING MY KIDS IN THIS CITY.
ALSO AS A 14 YEAR CITY COUNCILMAN, WHICH WE CALLED CITY COMMISSION BACK THEN FROM 1993-2007, WE ALWAYS WANTED TO BENEFIT THE CITIZENS OF AMARILLO WITH A NEW VARIETY OF COMPANIES THAT THEY COULD WORK AT, WITH NEW PRODUCTION.
BUT DURING THAT 14 YEARS, I WAS ALSO ON THE CANADIAN MUNICIPAL WATER AUTHORITY BOARD, AND THAT WAS FOR ABOUT 10 YEARS.
WE SAW OUR WATER PRODUCTION GROW.
WE SAW WITH THE END OF LAKE MEREDITH USED BACK IN I THINK AT 2013, THAT MANY THINGS EXISTED THAT COULD BE PROGRESS, BUT YET IT LOOKED LIKE IT WAS NOT AT THE TIME, BUT IT IS CURRENTLY.
I WAS ON THE CRMWA BOARD WHEN BOONE PICKENS DECIDED TO SELL HIS ROBERTS COUNTY WATER RIGHT TO CRMWA.
IT INCREASED OUR WATER GREATLY.
I KNOW DON TIPS HAD ASKED THIS QUESTION OF DREW SATTERWHITE, WHICH IS THE EXECUTIVE DIRECTOR OF CRMWA, AND HE SAID, "MEANING OUR GROUNDWATER PLACE OUT IN ROBERTS COUNTY, WE'RE FAR AWAY,
[02:00:01]
AND WE'VE ISOLATED WITH THIS TERRITORY OF OUR WATER ROUTES COVER THAT NOBODY ELSE CAN GO THERE," SATTERWHITE SAID.HE ALSO COMMENTED THAT WE HAVE DONE CALCULATIONS WITH MODELING SHOWING IN 100 YEARS, WE'LL STILL HAVE APPROXIMATELY 62% OR 71% OF OUR WATER STILL AVAILABLE.
NOW, PRIOR TO 2008 WHEN OBAMA WAS ELECTED.
I WORKED WITH A GROUP OF TRYING TO PUT A NUCLEAR POWER PLANT CLOSE TO AMARILLO.
THE PERMIT HAD BEEN APPLIED FOR THE PRODUCTION OF THIS COMPANY THAT WAS PUTTING IT IN, WENT SO FAR, THEY HIRED ENGINEERS.
THEY TALKED WITH CHINA PEOPLE WITH MITSUBISHI AND THEY CAME OVER AND THEY RESEARCHED REACTORS AND GE, THEIR REACTORS.
OH, MY. I'M USED TO TALKING LONGER THAN THAT.
BUT IT'S ONE THING TO HAVE THAT, AND WE WOULD HAVE HAD A NUCLEAR POWER PLANT IF OBAMA HADN'T CANCELED ALL OF THEM NATIONWIDE.
I JUST WANT TO THANK EVERYBODY THAT'S LISTENED TO ALL THE COMMENTS.
LIKE YOU SAID EARLIER, THERE'S CIVIL COMMENTS AND NOT INTERRUPTING.
ANYBODY WHO WOULD LIKE TO RAISE YOUR HAND WANTS TO SPEAK.
GREAT. WE'RE GOING TO JUMP BACK TO ROW 5, ANYBODY ON I GUESS THAT'S OUR BACK ROW BACK THERE THAT WOULD LIKE TO SPEAK? COME ACROSS THE AISLE.
ANYBODY BACK HERE THAT WOULD LIKE TO SPEAK ON MY LEFT HAND SIDE? ANYBODY STANDING IN THE AUDIENCE? MARK, IF YOU'LL COME FORWARD.
DO I HAVE ANYBODY ELSE WHO'D LIKE TO GIVE PUBLIC COMMENT? OTHERWISE, MARK WILL BE OUR LAST ONE.
RAISE YOUR HAND. I DON'T SEE ANYONE.
MARK, CONGRATULATIONS. YOU WIN.
>> WE'LL GIVE YOU THREE MINUTES AND ONE SECOND.
>> THANK YOU, MAYOR STANLEY AND CITY COUNCIL FOR THE TASK AND THE JOB THAT YOU HAVE TO GROW OUR COMMUNITY. I'M A CITIZEN.
I LIVE IN AMARILLO, AND I AM 100% PRO GROWTH.
I THINK OF QUOTE THE MOTHER TERESA SAID.
SHE SAID SHE WAS INVITED TO A WAR RALLY, AND SHE WOULDN'T ATTEND, BUT SHE SAID, IF THERE'S EVER A PEACE RALLY, YOU CAN INVITE ME.
I'M FOR THE GROWTH OF AMARILLO AND FOR THE EXTREMELY DIFFICULT JOB THAT ALL HAVE TO DO TO GROW OUR COMMUNITY.
NOW, IN REGARDS TO FERMI AND THE WATER, WITH GROWTH COMES COST.
MY ONLY THING ABOUT THAT IS THAT I THINK THAT WE SHOULD MAYBE RENEGOTIATE OUR WASTEWATER WITH XCEL ENERGY, NOT LET THEM HAVE EXCLUSIVE RIGHTS SO IT COULD GO TO SOMETHING THAT'S GOING TO ACTUALLY BENEFIT ME AS A CITIZEN.
THEN TO THE OTHER THING IS 10H, THE TIERS PROGRAM.
I WORK IN THE HOSPITALITY INDUSTRY.
I'VE BEEN WORKING IN THERE FOR YEARS, AND IT GOES ALONG WITH GROWTH.
I THINK THAT ANYTHING THAT GROWS OUR DOWNTOWN COMMUNITY IS POSITIVE, LIKE THE BUILDING THAT I'M ACTUALLY STANDING IN SPEAKING IN.
I APPLAUD ANYTIME THAT ANYTHING OLD IS BROUGHT ABOUT NEW, AND I DON'T THINK THE RUG SHOULD JUST BE PULLED OUT FROM THE NEW OWNER.
I DON'T THINK THAT I SHOULD LOSE THE WARRANTY ON MY VEHICLE BECAUSE I BOUGHT IT FROM SOMEONE ELSE.
IT'S JUST ONE OF THOSE THINGS THAT I KNOW HOSPITALITY DRIVES MORE ECONOMIC DOLLARS TO OUR COMMUNITY THAN ANYTHING OTHER THAN I-40.
WHEN I SEE THINGS THAT WILL KEEP THIS DOWNTOWN GROWING LIKE THIS AND HOTELS AND ANYTHING THAT WILL PROMPT UP BRINGING VISITORS TO THIS CITY, I APPLAUD IT, AND I APPLAUD EVERYTHING THAT Y'ALL DO, THE DIFFICULT TASKS THAT Y'ALL HAD TO DO TO BUILD OUR ECONOMY AND GROW IT.
I WANT THIS TO BE A CITY THAT WANTS MY SON WHO'S AMTECH STUDENT GOES OFF TO GET HIS DEGREE, AND I WANT THIS TO BE A CITY HE WANTS TO RETURN TO, AND THERE TO BE A JOB MAYBE THE AI DATA CENTER THAT WILL GIVE HIM A LIVING WAGE.
I APPLAUD YOU ALL IN THE DIFFICULT TASKS, AND I SUPPORT ANYTHING THAT GOES ON WITH THE REVITALIZATION OF DOWNTOWN.
I ACTUALLY THINK THAT ANYTHING THAT AFFECTS GIVES REBATES TO ANY ENTREPRENEURS THAT WANT TO DEVELOP DOWN HERE, SHOULD PROBABLY BE GRANDFATHER THEN BECAUSE THERE'S NOTHING WORSE THAN HAVING DECAYED BUILDINGS DOWN HERE, AND THAT'S NOT GOING TO ATTRACT ANYBODY WHO WANTS TO GROW OUR CITY.
I WOULD ONLY ASK THAT YOU WOULD EXTEND THAT EVEN FURTHER.
I KNOW THE CIVIC CENTER WAS A BIG THING.
[02:05:02]
I APPLAUD THE PEOPLE WHO WERE BRILLIANT ENOUGH TO BRING IN HODGETOWN.I KNOW THAT YOU HAVE A DIFFICULT TASK, AND THIS IS ONLY MY SECOND TIME EVER SPEAKING TO CITY COUNCIL, AND I THOUGHT IT WAS MY CIVIC DUTY, JUST TO OFFER MY $0.02. THANK YOU FOR THE TIME.
>> THANK YOU FOR THE COMMENTS, SIR.
[APPLAUSE] AT THIS TIME, WE'RE GOING TO CLOSE A PUBLIC COMMENT.
I'M GOING TO ASK FOR JUST A SECOND.
CAN I JUST SPEAK WITH YOU FOR A MINUTE? I WANT TO JUST MAYBE TRY TO RESET A FEW EXPECTATIONS.
I'M A BUILDER AND SO AS A BUILDER AND AS A BUSINESS PERSON, EXPECTATIONS ARE EVERYTHING.
WHEN YOU HAVE UNREALISTIC EXPECTATIONS, AND I DON'T MANAGE THOSE, WHAT WE END UP WITH IS DISAPPOINTMENT.
WHAT I ABSOLUTELY LOVE IS TRUE REPRESENTATIVE LEADERSHIP AND I LOVE A REPRESENTATIVE GOVERNMENT.
TRUE REPRESENTATIVE LEADERSHIP WOULD NEVER CALL YOU INTO A FORUM AND PLACE SOMETHING BEFORE YOU THAT WE DON'T HAVE THE AUTHORITY OR THE JURISDICTION OR THE CAPABILITIES TO DIRECT.
AS A BUILDER IN WORKING IN YOUR HOME OR BUILDING YOUR HOUSE OR YOUR OFFICE, I WOULD NEVER SHOW UP AND ENGAGE IN A CONVERSATION WITH YOU ABOUT YOUR MEDICAL ISSUE AND ASK YOU HOW YOU'D LIKE ME TO FIX THAT OR ADDRESS THAT.
IT'S VERY IMPORTANT THAT I RESET YOUR EXPECTATIONS HERE TODAY OR ELSE EVERYBODY'S GOING TO LEAVE DISAPPOINTED.
I AM NOT THE TEXAS WATER DEVELOPMENT BOARD.
I DO NOT UNDERSTAND THE FULLNESS AND THE CAPACITIES OF THE OGALLALA AQUIFER.
I AM LIKE YOU. I'M LEARNING, BUT I'VE GOT GOOD DATA THAT I CAN MEASURE.
I WOULD NEVER PLACE ANYTHING BEFORE THIS COUNCIL OR BEFORE YOU, OUR CONSTITUENTS THAT WE COULDN'T DIRECT IN THE RIGHT WAY.
I BELIEVE WE CAN DO A GOOD BUSINESS DEAL HERE.
I THINK THERE'S A HEALTHY WAY FORWARD.
BUT I WANT TO MAKE SURE THAT WE UNDERSTAND THE DIFFERENCE IN, IF I CAME TO YOU AND I SAID, HEY, I'D LIKE TO HAVE A FORUM.
I WANT TO ENGAGE WITH YOU GUYS.
DO YOU WANT GREATER PUBLIC OR, LET'S SAY, POLICE PRESENCE DOWNTOWN ON THE WEEKENDS? THAT'S A GREAT DISCUSSION.
WHAT I MIGHT NOT DO IS COME TO YOU AND SAY, HEY, I WANT TO TALK TO YOU ABOUT OUR NAVAL FLEETS AND OUR MILITARY IN THE PACIFIC.
I'D LIKE TO KNOW IF YOU'D LIKE MORE OF A MILITARY PRESENCE IN THE PACIFIC THROUGH OUR NAVY.
YOU UNDERSTAND THAT THAT'S THE CAPACITY THAT WE'RE TALKING ABOUT HERE.
I'M TALKING ABOUT 2.5 MGD OUT OF A VERY LARGE RESERVOIR OF WATER, AND I'M NOT ATTEMPTING TO EDUCATE EVERYBODY ON AI AND THE COMPLEXITIES OF AI AND HOW FAST IT'S MOVING INTO OUR LIVES.
I'M NOT HERE TO BE A NUCLEAR PHYSICIST AND TELL YOU HOW THAT WORKS AND HOW THE COOLING FACTORS WORK.
WHAT I'M HERE TO DO TODAY IS TO SHOW OUR COMMUNITY A WATER CONTRACT THAT WE TRULY NEED TO FIND OUT, ARE WE A PRO GROWTH COMMUNITY? ARE WE SELLING WATER OR ARE WE NOT? YOU REALIZE A LOT OF THE COMMENTS THAT ARE DO THE RIGHT THING AND MAKE SURE WE DON'T ALLOW THESE THINGS.
NOBODY CAME TO US AND NO ONE'S COMING TO YOU ASKING IF YOU WANT AI IN YOUR LIFE.
NOBODY CAME TO US AND ASKED IF THEY COULD CALL TEXAS TECH.
I DON'T GET AN OPPORTUNITY TO HAVE A DISCUSSION WITH YOU BEFORE CHANCELLOR MITCHELL GETS TO DECIDE WHAT HE WANTS TO DO WITH HIS PROPERTY ON BEHALF OF THOSE PEOPLE THAT PLACE HIM AS THE AUTHORITY.
WHAT WE ARE LOOKING AT, HERE IS A VERY COMPLEX UNDERSTANDING OF 350-400 AIS THAT ARE DATA CENTERS THAT ARE PLANNED ACROSS THE STATE OF TEXAS.
I DON'T KNOW HOW MANY OF THOSE COULD COME TO FRUITION, BUT WE HAVE A REAL CONCERN IN WATER CONSERVATION.
WE HAVE A REAL CONCERN WITH FARM AND RANCH AND AGRICULTURE THAT USES OVER 90% OF THOSE WATER RESOURCES NOW.
AS A MUNICIPALITY, WE PROBABLY USE LESS THAN 5% OF THE WATER RESOURCES THAT ARE PUMPED OUT OF THESE 26 COUNTIES.
AS A PERCENTAGE, FERMI WOULD REPRESENT A 10 MGD, 0.32 OF 1% OF THE TOTAL THAT'S USED IN THE UPPER 26 COUNTIES.
NOW, THE CONCERN IS NOT FERMI.
THE CONCERN IS AI DATA CENTERS, AND WHAT DOES 350 OF THEM DO TO YOUR LONG TERM WATER CONSERVATION GOALS.
I HAVE A GREAT COMFORT IN KNOWING THAT I CAN PRESENT A 2.5 MILLION GALLON PER DAY CONSUMPTION AS A CELL TO YOU
[02:10:02]
BECAUSE WE MAKE DECISIONS ALL THE TIME TO SELL WATER TO XCEL, TO SELL WATER TO BEEF PACKING PLANTS, TO SELL WATER TO A PAPER COMPANY.THE AEDC IS OPEN FOR BUSINESS.
I LOVE MY FRIENDS OF THE AEDC AND HOW THEY'VE REALLY PROMOTED TO GET THAT BACK IN THERE.
DO WE NEED TO SHUT THAT ENTIRE SYSTEM DOWN BECAUSE WE ARE NO LONGER GOING TO HAVE WATER AVAILABLE FOR INDUSTRY? I DON'T BELIEVE SO.
I THINK AMARILLO IS PRO GROWTH STILL, AND YOU GUYS HAVE DIRECTED US TO STEWARD THESE RESOURCES.
I JUST WANT TO RESET THE EXPECTATIONS WITH YOU HERE TODAY.
WE HAVE A WATER CONTRACT IN FRONT OF US.
IF YOU ARE EXPECTING US TO BRING ITEMS TO YOU FOR DISCUSSION ABOUT WHAT YOU DO AND DON'T WANT IN YOUR COMMUNITY THAT ARE HAPPENING 20, 30 MILES OUTSIDE OF TOWN BETWEEN PRIVATE ENTITIES, YOU'RE GOING TO BE VERY DISAPPOINTED IN MY ABILITIES.
WHAT I CAN DO IS BRING TO YOU ITEMS THAT ONCE I CAN GET MY HANDS AROUND IT, I CAN PLACE IT BEFORE YOU AND SAY, HERE'S WHAT IT IS, AND COUNCIL, HOW WOULD YOU LIKE TO VOTE ON A CONTRACT? THAT'S TRULY THE ESSENCE OF WHAT WE'RE DEALING WITH HERE.
IF YOU'LL LET ME RESET THAT IN A VERY RESPECTFUL WAY.
IT DOESN'T MEAN YOU'RE NOT IMPORTANT.
IT DOESN'T MEAN THAT I DON'T HAVE THE SAME CONCERNS.
IT DOESN'T MEAN THAT I DON'T HAVE A CONCERN THAT AI WON'T USHER IN THE MARK OF THE BEAST.
WE'RE GOING TO GO ALL THE WAY FROM ONE SIDE TO THE OTHER. I DON'T KNOW.
I'M NOT HERE TODAY TO THEORIZE ABOUT EVERYTHING THAT COULD GO WRONG IN THE WORLD.
I'M HERE TODAY TO TELL YOU I HAVE WATER CAPACITY OF DELIVERABILITY, A 2.5 MGD, AND I'D LOVE TO SELL IT FOR TWICE THE AMOUNT THAT I SELL WATER TO MYSELF AND EVERYBODY ELSE IN THE CITY.
BUT WE WANT TO HEAR YOU, BUT WE WANT TO HEAR YOU IN THE RIGHT VEIN.
THANK YOU TO EVERYBODY WHO SPOKE.
IF YOU'RE DISAPPOINTED BECAUSE WE'RE NOT LOOKING OUT FOR EVERYTHING IN THE STATE OF TEXAS AS IT PERTAINS TO WATER CONSERVATION, I UNDERSTAND IT.
YOU'RE JUST AT THE WRONG MEETING AND SO THOSE INDIVIDUALS THAT ARE APPOINTED THAT ARE QUALIFIED THAT ARE WORKING ON THAT.
IT'S VERY IMPORTANT THAT WE PUSH ON THOSE ENTITIES TO MAINTAIN THE REGULATORY CONTROLS.
WE ALSO HAVE DROUGHT CONTINGENCY PLANS.
I WANT YOU GUYS TO HEAR THAT WE'RE NOT GOING TO ASK YOU TO STOP WATERING YOUR YARD OR NOT TAKE SHOWERS AND ALLOW INDUSTRY TO KEEP BUYING THE SAME AMOUNT OF WATER.
WE'LL REDUCE INDUSTRY ACROSS THE BOARD, PRO RATA WITH NO FAVORABILITY TO ANY ONE INDUSTRY OVER THE NEXT, THE SAME WAY WE WOULD OUR RESIDENTS.
BUT OUR WATER, AS WE CALL IT, IS FOR GOLF COURSES, YARDS, SHOWERS, AND INDUSTRY.
IT'S REALLY IMPORTANT THAT WE RESET HERE RIGHT NOW AND MAKE SURE WE'RE ALL ON THE SAME PAGE.
THANK YOU FOR LETTING ME JUST TALK TO YOU ABOUT IT.
>> COUNSEL, ANYBODY WANT TO SAY ANYTHING BEFORE WE MOVE ON WITH OUR BUSINESS SECTION. YES, SIR.
>> I WOULD JUST ADD, I DO THINK THOUGH THAT BECAUSE WE'VE HEARD QUESTIONS TODAY, GETTING GOOD, ACCURATE INFORMATION OUT IS IMPORTANT.
THE WAY YOU GET GOOD ACCURATE INFORMATION OUT IS BY ASKING QUESTIONS.
LUCKILY, WE HAVE PEOPLE HERE THAT ARE AFFILIATED WITH THIS PROJECT THAT I SEE MY JOB AS A COUNSEL MEMBER HERE NOT TO BECOME THE EXPERT, BUT TO ASK THE QUESTIONS THAT ALL THESE PEOPLE IN THIS ROOM AND PEOPLE THAT I'VE BEEN HEARING FROM FROM THE LAST FOUR OR FIVE WEEKS HAVE BEEN ASKING.
I THINK AS A COUNSEL, WE CANNOT GET TOO FAR AHEAD OF THE PUBLIC.
I THINK MAKING SURE THAT WE GIVE AN OPPORTUNITY FOR OURSELVES AND OTHERS TO BECOME EDUCATED ON THIS BY ASKING THE QUESTIONS.
TO BE HONEST, I THINK FOR ME WOULD WANT NOTHING MORE THAT WE ASK THE TOUGH QUESTIONS, BECAUSE THOSE ARE THE THINGS THAT THE PEOPLE IN OUR COMMUNITY ARE ASKING.
NOW OUR AUTHORITY, I GUESS, ONLY RESIDES OVER THE WATER, BUT I DO THINK WE OUGHT TO BE ASKING THESE QUESTIONS BECAUSE THIS IS AN UNPRECEDENTED PROJECT, THE LIKES OF WHICH WE'VE NEVER SEEN BEFORE.
THAT COULD BE SOMETHING THAT'S REALLY GOOD AND OUTSTANDING, AND WE HOPE THAT IT'S THAT WAY.
BUT I THINK IT'S ALSO SOMETHING IN THE QUESTIONS ABOUT, BECAUSE THIS IS SOMETHING THAT'S NEVER BEEN DONE OF THIS SIZE AND MAGNITUDE IN THE COUNTRY.
WHAT I HOPE WE CAN DO TODAY AS A COUNSEL IS, NOT ONLY EDUCATE OURSELVES ABOUT THIS, BUT TO HELP THE PUBLIC GET A GOOD FACT BASED UNDERSTANDING OF WHAT'S HERE AND WHAT WE'RE TRYING TO ACCOMPLISH.
I THINK OUR ROLE IS MAYBE JUST A LITTLE BIT MORE THAN JUST WORKING OUT A WATER AGREEMENT.
I THINK OUR ROLE CAN HERE TO BE, LET'S MAKE SURE THAT THE TOUGH QUESTIONS ARE BEING
[02:15:01]
ASKED SO THAT OUR CITIZENS GET AGAINST ANSWERS TO THAT, AND TO LET THE CITIZENS KNOW WE'RE LISTENING TO YOU.WHAT I FIND IS, IF PEOPLE FEEL LIKE THEY'RE LISTENED TO, THEN THEY MAY NOT AGREE WITH YOU, BUT THEY FEEL LISTENED TO AND APPRECIATED.
I APPRECIATE PEOPLE WHO'VE SHARED THEIR OPINIONS FOR THE LAST SEVERAL HOURS I'VE LISTENED TO YOU.
I THINK THE OTHER COUNSEL MEMBERS HAVE LISTENED TO YOU.
NOW IT'S OUR JOB TO MAKE SURE THAT WE'RE GETTING ANSWERS TO THE QUESTIONS AND CONCERNS THAT YOU HAVE. THANK YOU.
>> I LIKE IT. LET'S GET OUR QUESTIONS READY.
LET'S MOVE FORWARD WITH A LITTLE BUSINESS.
WE'LL ADDRESS THAT LOI ISSUE LATER AS WELL.
YOU GUYS KNOW THAT IT'S 100% DONE ON THE UP AND UP WITH STAFF AND AN ENGINEERING FIRM.
I'M GOING TO MOVE INTO SECTION 8,
[8. Consent Items]
WHICH IS OUR CONSENT AGENDA.I'M ALSO GOING TO MAKE THAT 6:00 PM DEADLINE ON THAT ITEM DOWN THE LIST AND PULL IT UP.
ON THE CONSENT AGENDA, I'M GOING TO PULL ITEM AQ.
COUNSEL, DO YOU HAVE ANYTHING YOU WOULD LIKE PULLED OFF OF THE CONSENT AGENDA? I WOULD REQUEST A MOTION REMOVING AQ, PLEASE.
>> I MOVED TO APPROVE THE CONSENT AGENDA LESS AQ AS PRESENTED.
ANY FURTHER DISCUSSION ON CONSENT.
>> ANY OPPOSED? MOTION PASSES. THANK YOU.
ON YOUR AGENDA, WE NOW DROP DOWN INTO WHAT IS SECTION 9 OUR DISCUSSION ITEM? WHAT I'M GOING TO DO IS I'M GOING TO PULL UP ITEM 10A BECAUSE IT
[10.A. CONSIDERATION OF RESOLUTION NO. 10-14-25-1]
CONSIDERS A BOND AND AN AGREEMENT HERE THAT WE NEED TO GET EXECUTED BY 6:00 PM.MS. KATRINA, IF YOU DON'T MIND COMING UP AND WALKING US INTO THAT ONE.
TODAY, I AM BRINGING A RESOLUTION TO PUBLISH NOTICE IN THE NEWSPAPER AND ON THE CITY'S WEBSITE ABOUT THE INTENT TO ISSUE CERTIFICATES OF OBLIGATION.
THIS WILL BE THE FIRST STEP IN A MULTI STEP PROCESS TO ISSUE DEBT FOR FLEET REPLACEMENTS, AND THEN PARK AMENITIES FOR THE VINEYARD AND PINNACLE PIDS.
THIS RESOLUTION IS ONLY AUTHORIZING CITY STAFF TO POST TWO NOTICES IN THE NEWSPAPER, AND THEN ON THE CITY'S WEBSITE, ABOUT THE INTENT TO ISSUE DEBT AT THE DECEMBER 9 CITY COUNSEL MEETING.
THE NOTICE STATES A NOT TO EXCEED AMOUNT OF 10 MILLION, SO COUNSEL CAN CHOOSE TO ISSUE DEBT UP TO THAT AMOUNT ON DECEMBER 9TH, LESS THAN THAT AMOUNT OR DECIDE NOT TO MOVE FORWARD WITH THE DEBT.
AS YOU MAY RECALL, CITY STAFF DISCUSSED WITH COUNSEL DURING THE BUDGET WORKSHOPS THIS PAST SUMMER ABOUT THE POTENTIAL TO ISSUE DEBT TO HELP WITH THE ANNUAL REPLACEMENT NEEDS FOR THE FLEET DEPARTMENT, ALONG WITH THE NEED FOR PURCHASE PARK AMENITIES FROM THE DEVELOPERS FOR THE VINEYARD AND PINNACLE PIDS.
THE DEBT WOULD COVER 7.5 MILLION IN FLEET REPLACEMENTS, PAID FOR WITH FLEET REVENUES, AND THEN THERE WOULD BE 500,000 FOR THE VINEYARD PID, AND THEN ONE MILLION FOR THE PINNACLE PID, BOTH OF THOSE PAID FOR THROUGH PID ASSESSMENTS.
THE ABILITY TO APPROVE AND PLACE EQUIPMENT ORDERS AS QUICKLY AS POSSIBLE IN THE NEW FISCAL YEAR WILL OFFER A GREATER CHANCE OF SECURING THE EQUIPMENT FROM THE VENDOR, THE BEST CHANCE FOR FAVORABLE PRICING, AND THEN A QUICKER REPLACEMENT OF THE EQUIPMENT THE CITY DEPARTMENTS RELY ON TO ACCOMPLISH THEIR MISSION.
A PENDING APPROVAL OF THIS RESOLUTION, CITY STAFF WILL PUBLISH A NOTICE IN THE AMARILLO GLOBE NEWS ON OCTOBER 20TH, 2025.
AND THEN AGAIN, ON OCTOBER 27, 2025, INFORMING CITIZENS OF THE POTENTIAL TO ISSUE THE CERTIFICATES.
THE SAME NOTICE WILL BE PUBLISHED ON THE CITY'S WEBSITE FOR THE SAME LENGTH OF TIME.
TODAY, WE HAVE PAUL AND JASON WITH SPECIALIZED PUBLIC FINANCE WITH US, HERE TO PRESENT THE PROPOSED CERTIFICATES OF PUBLICATION.
>> THANK YOU, MS. KATRINA. AFTERNOON, SIR.
>> GOOD EVENING, RATHER MAYOR, COUNSEL.
STAFF, PAUL JASON WITH SPECIALIZED PUBLIC FINANCE, APPRECIATE THE FLEXIBILITY WITH MOVING US UP.
JUST WANTED TO GIVE YOU ALL AN OVERVIEW.
KATRINA DID A GREAT JOB DISCUSSING THE RESOLUTION.
WE WERE ABLE TO BUNDLE THESE THREE PROJECTS INTO ONE CO ISSUANCE.
IT MAKES IT MORE EFFICIENT FOR THE CITY AND HAVE THREE DIFFERENT PURPOSES.
THE FLEET, SINCE IT'S GOT A SHORTER USEFUL LIFE, THE FLEET REPLACEMENT WILL HAVE A SEVEN YEAR TERM.
THEN THE PID REIMBURSEMENTS WILL HAVE A 20 YEAR TERM.
IF COUNSEL DECIDES TO MOVE FORWARD, THE INTEREST RATES WILL BE SET ON DECEMBER 9TH, WE'RE PROJECTING A RATE OF 3.48%.
WE'VE GOT ABOUT A QUARTER PERCENT OF CUSHION IN
[02:20:02]
THERE AND THAT'S BASED OFF THE CITY'S AAA RATING, WHICH IS THE HIGHEST POSSIBLE RATING A CITY COULD HAVE.WE ILLUSTRATED THE STRUCTURE ON THE NEXT PAGE THAT BREAKS OUT THE THREE DIFFERENT PROJECTS.
YOU CAN SEE THE FLEET HAS A SEVEN YEAR TERM AND THEN THE 20 YEAR TERM FOR THE TWO OTHER PROJECTS RELATED TO THE VINEYARDS AND THE PINNACLE PID REIMBURSEMENT.
WE GRAPH THIS ON THE NEXT PAGE.
IT'S ALWAYS EASIER TO LOOK AT A GRAPH INSTEAD OF THOUSANDS OF NUMBERS, BUT YOU CAN SEE THIS ILLUSTRATES THE RAPID PAYOFF OF THE FLEET VEHICLES AND THEN THE 20 YEAR MATURITY ON THE COS. SOURCES AND USES.
KATRINA MENTIONED THAT NOT TO EXCEED IS 10 MILLION.
WE EXPECT TO COME IN AROUND 9.1 MILLION.
THAT JUST PROVIDES CUSHION, IF THERE'S ANY INFORMATION THAT COMES BEFORE US BETWEEN NOW AND DECEMBER 9 WHEN THIS COUNSEL WILL APPROVE THE ISSUANCE OF THOSE COS AND APPROVING THE ORDINANCE.
THE SCHEDULE, THIS PROCESS TAKES ROUGHLY THREE MONTHS.
THIS COUNSEL, WE'RE JUST KICKING OFF THAT PROCESS.
IT'S JUST A RESOLUTION, NON BINDING TO START THE CO ISSUANCE.
MONTH OF OCTOBER, WE'LL DO THE PUBLICATIONS IN NOVEMBER, WE'LL GET THE DOCUMENTS DRAFTED AND MEET WITH THE RATING AGENCY.
THEN WE'LL COME BACK TO THIS COUNSEL DECEMBER 9TH WITH A FINAL PRICE INTEREST RATE AND THE BIDS FROM INVESTORS, AND THEN WE'LL CLOSE IN EARLY JANUARY.
THAT'S A QUICK UPDATE ON THE CO ISSUANCE, SO HAPPY TO ENTERTAIN ANY QUESTIONS.
>> QUESTIONS, COUNSEL. NO QUESTIONS ON THIS ITEM. THANK YOU, SIR.
>> APPRECIATE IT. I'LL TOUCH ON THAT REAL QUICK AND JUST SPEAK TO I THINK THE WISDOM AND THE STEWARDSHIP OF PUTTING GOOD PRACTICES IN, SO WE HAVE THIS BUILT INTO OUR BUDGET, SO IT'S IN YOUR TAX RATE.
SEVEN YEARS FROM NOW, COUNSEL WON'T NEED TO GO OUT AND BUY NEW FLEET VEHICLES OR THIS ONE DOESN'T NECESSARILY PERTAIN TO THE FIRE APPARATUS, BUT LIKE, WE'VE DONE THIS IN MULTIPLE DEPARTMENTS SO THAT WE CAN CYCLE THAT EQUIPMENT IN WITHOUT HAVING TO GO AND FIND CASH AND PULL IT AWAY FROM OTHER PROJECTS, OR TO TRY TO TAKE IT OUT OF ANOTHER BUDGET.
I AM A FAN OF THIS STEWARDSHIP, AND I THINK IT WILL SET UP THESE NEXT MAYOR AND COUNCILS FOR A LITTLE BIT EASIER ROAD.
ANYBODY GOT ANYTHING TO ADD, IF NOT, WOULD LOVE A MOTION ON ITEM 10.A.
>> I MOVE TO ADOPT RESOLUTION 101425-1 AS PRESENTED.
>> MOTION AND A SECOND. ALL IN FAVOR. PLEASE SAY AYE.
>> ANY OPPOSED? ITEM 10.A PASSES WITH A 5/0 VOTE.
WE WILL NOW JUMP BACK UP TO ITEM 9.A.
[9.A. Presentation and discussion on proposed Herring Hotel project and incentive request]
MR. FREEMAN, WOULD YOU MIND TELLING US ABOUT A POTENTIAL ITEM DOWNTOWN?>> YES, SIR. I'LL MAKE A COUPLE OF INTRODUCTIONS.
WE'RE GOING TO HAVE A FEW DIFFERENT SLIDE SHOWS TO GO OVER ON THIS HERRING HOTEL PROJECT PROPOSAL ALONG WITH INCENTIVE REQUEST.
BUT WITH US TODAY, WE HAVE TODD HARMON.
HE'S A DEVELOPER WITH HERRING HOTEL PARTNERS, LLC, WHO'S ALSO KNOWN AS THE DEVELOPER ON THE BARFIELD PROJECT THAT WAS COMPLETED A COUPLE OF YEARS AGO.
WE ALSO HAVE JOHN CAMPO WITH CAMPO ARCHITECTURE AND INTERIOR DESIGN, WHICH IS A LEADER IN THE HOSPITALITY INDUSTRY OVER THE LAST 40 YEARS WITH A SPECIALTY ON THESE HISTORIC REHABILITATION PROJECTS.
I BELIEVE JOHN IS GOING TO KICK US OFF TODAY WITH HIS PRESENTATION.
>> GOOD AFTERNOON. I'M JOHN CAMPO.
I'M A FOUNDER OF CAMPO ARCHITECTURE.
WE'RE BASED AT NEW ORLEANS, LOUISIANA.
OUR FIRM HAS BEEN IN EXISTENCE FOR 42 YEARS.
WE'VE COVERED 27 STATES, AND 95% OF OUR WORK IS IN THE AREA OF HISTORIC ADAPTIVE REUSE.
I'M HERE TO TALK ABOUT OUR CREDENTIALS.
PROJECT OF THIS SCALE AND MAGNITUDE IS NOT FOR THE FAINT OF HEART.
THERE'S A LOT OF LAND MINES OUT THERE THAT WE HAVE TO NAVIGATE AT A LOCAL STATE, REGIONAL AND NATIONAL LEVEL.
ONE OF THE THINGS THAT I DID WANT TO MENTION IS AS YOU'RE LOOKING AT A SAMPLING OF OUR WORK, ALL OF THESE PROJECTS HAVE SOMETHING IN COMMON.
JUST LIKE THE PROJECT HERE, THE HERRING HOTEL, THAT IS, BUT FOR THE LOCAL, STATE, REGIONAL AND NATIONAL INCENTIVE PROGRAM, NONE OF THESE PROJECTS WOULD EXIST.
I THINK IT'S IMPORTANT TO KNOW THAT THESE PROJECTS ARE AMERICA'S HISTORIC TREASURES.
BUT THE OTHER THING THAT I WANTED TO MENTION, AND I HEARD A GENTLEMAN SPEAK JUST A MINUTE AGO ABOUT THE URBAN REVITALIZATION OF DOWNTOWNS.
WE REALIZED THAT OUR WORK WHILE IT FOCUSES ON THE BUILDING ITSELF, MANY YEARS AGO, I REALIZED THAT IT HAS A CATALYTIC EFFECT ON THE SURROUNDING REAL ESTATE, THE CITY, AND IN THIS CASE, THE HERRING HOTEL, I THINK IS GOING TO HAVE AN IMPACT ON A CATCHMENT AREA THAT IS REGIONAL.
[02:25:03]
WITH THAT, YOU'RE LOOKING AT SOME PROJECTS ON THE SCREEN RIGHT NOW, UPPER LEFT HAND CORNER OF ST. LOUIS, MISSOURI, NEXT TO IT, GOING RIGHT IS BIRMINGHAM, ALABAMA.TO THE RIGHT OF IT IS DAYTON, OHIO.
TO THE RIGHT OF IT, UPPER RIGHT HAND CORNER, ONE THAT'S REALLY NEAR AND DEAR TO MY HEART IT'S A MARRIOTT HOTEL CALLED A THREE FOOT BUILDING IN DOWNTOWN MERIDIAN, MISSISSIPPI.
THE MAYOR WHO'S JUST BEEN ELECTED TO A SECOND TERM MAYOR PERCY BLAND, HE HAD A LOT OF VISION.
HE SOLD THAT BUILDING TO MY CLIENT FOR $10,000.
THIS BUILDING WAS ON AMERICA'S MOST ENDANGERED LIST FOR THE NATIONAL TRUST.
THAT IS IN COMMON WITH THE HERRING HOTEL.
FOR $10,000, HE SOLD THIS BUILDING, BUT OUR CLIENT INVESTED $40 MILLION.
THE SUCCESSES MORE THAN THREE FOLD.
THE ECONOMIC VITALITY THAT IT BROUGHT TO LITTLE DOWNTOWN MERIDIAN, MISSISSIPPI, IS NOTHING SHORT OF PHENOMENAL.
LOWER LEFT HAND CORNER IS HOUSTON, TEXAS, IN THE MIDDLE IS LITTLE ROCK ARKANSAS.
ON THE LOWER RIGHT CORNER IS ONE OF OUR GYMS. IT'S A 50 ROOM BOUTIQUE HOTEL IN DOWNTOWN LOUISVILLE, KENTUCKY, ON WEST MAIN STREET.
THIS GIVES YOU AN IDEA OF SOME OF THE WORK THAT WE DO, AND BY THE WAY, I'M ALSO A PRESERVATIONIST.
THIS IS SOMETHING I'M VERY PASSIONATE ABOUT.
NOW YOU'RE LOOKING AT A PROJECT THAT IS ON THE HISTORIC RIVERFRONT OF SAVANNAH, GEORGIA.
THIS IS ONE OF OUR LARGER PROJECTS.
IT'S $350 MILLION PROJECT ALL IN.
THE CENTERPIECE WAS A GEORGIA PACIFIC POWER GENERATION PLANT, 01,200 LINEAR FEET OF NEW RIVERFRONT BOARDWALK.
THE CITY OF SAVANNAH WAS VERY INVOLVED WITH THE ECONOMIC SUCCESS OF THIS PROJECT.
THE PROJECT NOW IS, IT'S NOT JUST A HOTEL, IT'S AN ENTERTAINMENT DISTRICT.
IT'S ALSO AN EDUCATIONAL FACILITY WHERE CHILDREN FROM KINDERGARTEN ALL THE WAY TO COLLEGIATE STUDENTS LEARN ABOUT THE ORIGIN OF POWER.
IF YOU LOOK AT THE UPPER RIGHT HAND PHOTOGRAPH, THAT IS A CHROME PLATED DINOSAUR.
WHEN OUR CLIENT PROPOSED TO DO THAT, I THOUGHT HE WAS ABSOLUTELY CRAZY.
COULDN'T HAVE BEEN A BETTER DECISION BECAUSE IT'S ONE OF THOSE INSTAGRAM MOMENTS.
AGAIN, THE ORIGIN OF POWER, YOU SEE A LOT OF DIFFERENT THINGS GOING ON IN THIS BUILDING THAT ARE MEANT TO STIMULATE LEARNING ACTIVITIES.
THIS IS A THREE FOOT BUILDING.
IF YOU'LL LOOK AT THE LEFT, YOU'LL SEE THERE IS A POSTAGE STAMP SIZE ROOFTOP BAR.
IT'S GOT 270 DEGREES UNIMPEDED VIEW, AND THAT IS THE WATERING HOLE, SO TO SPEAK, FOR DOWNTOWN MERIDIAN.
IT'S VERY SMALL, BUT IT'S VERY EFFECTIVE, AND WE TRANSFORM THAT ROOFTOP INTO LIVABLE SPACE.
THAT HAS A COMMON DENOMINATOR WITH THE HERRING BUILDING.
YOU'LL SEE IN TODD'S PRESENTATION WITH SOME OF OUR GRAPHICS THAT THE ROOFTOP SCENE ON THE HERRING HOTEL IS MUCH LARGER THAN THIS.
IT'LL HAVE A 360 DEGREE UNIMPEDED VIEW.
NEXT. ANY QUESTIONS SO FAR? I'M GOING QUICK. I DON'T WANT TO.
THIS IS NOT A HISTORIC BUILDING, BUT IT'S A VERY SIGNIFICANT BUILDING.
IT'S A DUAL BRANDED MARRIOTT HOTEL.
THIS WAS AN OFFICE BUILDING PRIMARILY FOR THE CITY OF SAN ANTONIO, PERMIT OFFICES AND SUCH.
BUT IT'S ANOTHER EXAMPLE OF TRANSFORMING BUILDINGS INTO HOTELS.
IT ALSO HAS A ROOFTOP BAR SCENE THAT DOES VERY WELL.
THIS IS A PROPOSED PROJECT THAT WE'RE WORKING ON IN LOUISVILLE, KENTUCKY.
IT'S A FAIRLY LARGE SCALE PROJECT THAT AGAIN, IS TRANSFORMATIVE BECAUSE OF ITS SCALE, SIMILAR TO THE HERRING BUILDING.
IT'S GOT SIX DIFFERENT RESTAURANTS.
IT'S GOT A COMEDY CLUB, OTHER ENTERTAINMENT VENUES.
>> THIS IS A PROJECT THAT I WAS IN CLEVELAND LAST WEEK, RECEIVING A NATIONAL AWARD.
IT'S OUR FOURTH AWARD FOR THE AC HOTEL IN DOWNTOWN KANSAS CITY.
THIS PROJECT IS VERY SIGNIFICANT IN TERMS OF ITS POSITION.
IT'S A BOOK END, SIMILAR TO THE HERRING HOTEL, WHERE WHEN I LOOK AT THIS CITY AND THE PLACEMENT OF THE HERRING, IT'S A BOOK IN TO YOUR CITY OF SIGNIFICANT SCALE.
THIS BUILDING IS A BOOKEND TO A THREE-BLOCK GAP BETWEEN ITSELF AND THE POWER AND LIGHT DISTRICT IN KANSAS CITY.
WE FIND WHENEVER WE HAVE THESE TYPES OF PROJECTS OF THAT SCALE,
[02:30:03]
IS THAT IT ACCELERATES THE INFILL BETWEEN ITSELF AND THE OTHER ENTERTAINMENT DISTRICT.THIS PROJECT IS IN DAYTON, OHIO.
AGAIN, IT'S A FAIRLY SMALL TOWN.
IT'S THE BENEFICIARY OF MANY DIFFERENT INCENTIVES FROM THE CITY, THE STATE, AND THE FEDERAL GOVERNMENT.
THIS IS A HILTON TAPESTRY HOTEL.
THIS IS THE MOXY HOTEL, A FAIRLY SLENDER BUILDING, VERY TIGHT FOOTPRINT.
MOXY, THEY'RE VERY SMALL IN TERMS OF THE ROOM SIZE, BUT I WOULD SAY FOLKS THAT ARE YOUNGER THAN ME WOULD PROBABLY APPRECIATE THE HOTEL MORE THAN I AM.
I'M CLAUSTROPHOBIC, SO THE ROOM SIZES ARE A LITTLE BIT TOO TIGHT FOR ME.
AGAIN, THIS IS THE GRADY HOTEL IN LOUISVILLE.
IT'S SMALL IN STATURE, BUT IT'S RICH IN DETAIL.
THE BASEMENT, SIMILAR TO THE HERRING, WAS ACTIVATED.
WE'RE PROPOSING THE HERRING BUILDING TO HAVE THE FITNESS CENTER.
THERE'S A F AND B OPERATION THAT WE'RE LOOKING AT DOWNSTAIRS, AS WELL AS BACK-OF-HOUSE MECHANICAL.
THIS PARTICULAR PROJECT WAS THE BENEFICIARY OF INCENTIVES.
NOW, CINCINNATI WAS A LITTLE DIFFERENT.
THEY HAD A REQUIREMENT FOR THE BUILDING TO BE LEED CERTIFIED.
WE WERE GOING TO DO THAT ANYWAY, BUT THAT WAS KEY TO A 15-YEAR PROPERTY TAX ABATEMENT.
THIS PROJECT HAS AGAIN A SIGNIFICANT ROOFTOP DESIGN THAT WE'RE PROPOSING.
THESE ARE EXAMPLES OF OUR WORK.
IT'S REALLY MEANT TO SAY, LOOK, WE'VE GOT EXPERIENCE IN THIS TYPE OF WORK.
SOMETIMES THE STRUCTURAL ELEMENTS NEED TO BE REINFORCED.
FORTUNATELY, IN THE HERRING HOTEL, THE BUILDING STRUCTURE IS INCREDIBLE, QUITE FRANKLY.
WE REALLY DON'T HAVE ANY CONCERNS ABOUT ITS CARRYING CAPACITY FOR THE URBAN INHABITANTS OF THE ROOFTOP.
>> THANK YOU, SIR. WE APPRECIATE THAT.
>> IF IT'S OKAY, I'LL STAY UP HERE.
>> HANG OUT. MR. HARMON, DO YOU HAVE ANYTHING YOU'D LIKE TO ADD, SIR?
>> WELL, I WANT TO MAKE SURE THAT JOHN CAN STAY UP HERE BECAUSE HE CAN ADD SOME COLOR AS WE GO THROUGH THE PROGRAMMING OF THIS PROPERTY.
FIRST OFF, I WANT TO TELL CITY COUNCIL, THANK YOU FOR GIVING ME THE OPPORTUNITY TO PRESENT TODAY.
I ALSO WANT TO TELL YOU, I APPRECIATE THE WORK THAT YOUR CITY STAFF HAS DONE TO MAKE SURE THAT ALL THE CONSIDERATIONS AND THOUGHT PROCESSES FOR THE CITY'S INVOLVEMENT AND ENGAGEMENT IN THIS WERE TALKED THROUGH BEFORE WE DID THIS PRESENTATION.
WE'RE TALKING ABOUT ONE OF THE ICONIC IN A LOT OF WAYS, THE SISTINE CHAPEL OF HISTORIC PRESERVATION OPPORTUNITIES FOR THE CITY OF AMARILLO.
THE REASON JOHN CAMPO IS HERE IS BECAUSE HE IS IN MANY CIRCLES IN THE HOSPITALITY INDUSTRY, CONSIDERED THE PREEMINENT HISTORIC HOSPITALITY ARCHITECT IN THE UNITED STATES, AND HE'S BEEN MORE THAN HUMBLE HIS 40-YEAR CAREER; HE'S DONE OVER 200 DIFFERENT HOSPITALITY HISTORIC PROJECTS.
I THINK IT'S A GREAT HONOR FOR THIS MARKET TO HAVE A MEMBER OF THE DEVELOPMENT TEAM OF HIS STATURE AND SIGNIFICANCE THAT HAS WON NATIONAL AWARDS FOR ADAPTIVE REUSE.
I ALSO WANT TO MENTION BECAUSE IT SHOULD BE MENTIONED ALL THE TIME.
CONGRATULATIONS TO THE CITY AND THE CITY COUNCIL FOR COMPLETING THIS CONVERSION AND ADAPTIVE REUSE OF THE HISTORIC AMARILLO HARDWARE PROPERTY; IT'S FANTASTIC.
EVERYONE THAT WAS INVOLVED IN THAT PROCESS SHOULD BE ACKNOWLEDGED.
WHAT ARE WE TALKING ABOUT WITH THE HERRING HOTEL? WELL, IT IS A PLUS 200,000 SQUARE FOOT 99-YEAR-OLD BUILDING THAT WAS BUILT IN A DIFFERENT TIME.
IT WAS 600 ROOMS ORIGINALLY, AND SO MANY THINGS OF THE HISTORY OF THE 20S, 30S, 40S, 50S, 60S, AND 70S WENT ON AT THIS PROPERTY.
FROM USO DANCES TO PROMS TO WEDDINGS AND LARGE CIVIC ENGAGEMENTS WENT ON THERE IN THE TASCOSA BALLROOM ON THE SECOND FLOOR OF THIS PROPERTY.
THE OLD TASCOSA ROOM IN THE BASEMENT, THE SPEAKEASY WAS ONE OF THE BEVERAGE ESTABLISHMENTS DURING PROHIBITION, THERE IN THE EAST SIDE OF THE BASEMENT.
[02:35:05]
ONE OF OUR THOUGHT PROCESSES, AS WE DID WITH THE BAR FIELD, IS TO RECREATE THAT SPACE IN COMMEMORATION OF AMARILLO'S HISTORY AND PAST.AS WE PLAN ON PROGRAMMING FOR THIS, WE'RE GOING TO CONVERT IT INTO A 4.5-5-STAR HOTEL.
WHAT WE'VE SEEN FROM THE SUCCESS OF THE BAR FIELD IS THAT THERE IS A GAP IN MARKET SEGMENT FOR OUR ABILITY TO GROW OUR AMENITIES AND HOTEL PORTFOLIO NEEDS TO BE ADDRESSED.
THAT'S PRIMARILY IN FULL-SERVICE HOTELS THAT CAN ADDRESS BOTH CIVIC CENTER OPPORTUNITIES, BUSINESS OPPORTUNITIES, AND LEISURE OPPORTUNITIES.
IN THE REDESIGN, WE'LL HAVE 226 ROOMS, 20 SUITES, 61 DOUBLE QUEENS.
GO AHEAD. I'LL TOUCH ON THAT IN A SECOND.
WE'LL BRING BACK THE BALLROOM AND THE PRIMARY LOBBY SPACE, AS IT WAS ORIGINALLY CONSIDERED IN 1926.
YOU CAN SEE UPPER RIGHT IMAGE THAT IS OF THE LOBBY NOW, AND THE HISTORIC FOUNTAIN THAT YOU HAVEN'T SEEN INSIDE.
THERE IS A MEZZANINE LEVEL WITH MEETING ROOMS IN THE BALLROOM OF OVER 10,500 SQUARE FEET ON COMPLETELY ON THE SECOND LEVEL.
IT'S DEDICATED. NEXT SLIDE, PLEASE.
>> TODD, COULD I COMMENT ON SOMETHING REAL QUICK?
>> WE HAVE FULL-TIME IN-HOUSE HISTORIAN THAT HAS ALREADY PHOTOGRAPHED THE INTERIOR OF THE BUILDING, AND I SAY THAT BECAUSE THE STATE HISTORIC PRESERVATION OFFICER HAS ALREADY COME TO THE SITE, MET WITH US, AND THIS BUILDING HAS QUITE A BIT OF CHARACTER-DEFINING ELEMENTS IN THE HISTORIC FABRIC THAT YOU'RE SEEING.
PART OF OUR JOB IS TO MAKE SURE THAT WE'RE SATISFYING THE STANDARDS FOR REHABILITATION AND PRESERVING THE HISTORICALLY SIGNIFICANT PORTIONS OF THIS BUILDING.
I THOUGHT THAT. THESE BUILDINGS COME VERY RICH IN DETAIL ALREADY.
BUT WHAT WE LIKE TO DO IS A VERY INTENSE SURVEY TO PRESERVE WHAT IS LEFT.
>> THANK YOU. GO AHEAD, ANDREW.
THE MEMBERS OF HERRING HOTEL PARTNERS LLC HAVE ALREADY PURCHASED THE PROPERTY.
THAT'S THE AREA OUTLINED IN RED.
PART OF OUR PROPOSAL IS FOR UTILIZATION OF THE SPACE IN BLUE FOR BOTH A POOL AREA, WHICH IS ONE OF THE THINGS LACKING IN THE DOWNTOWN SPACE, AND ADDITIONAL PARKING, SO THAT IT'S NOT ALL VALET AND CAN GIVE BETTER ACCESS TO LOCAL PATRONS THAT WANT TO GO TO ANY OF THE FOOD AND BEVERAGE AMENITIES THERE.
YOU GO AHEAD. THIS IS JUST A SITE LAYOUT, AND SOME OF THESE ARE PRELIMINARY.
WE'VE GOTTEN TO THIS POINT IN ORDER TO DRAW INTEREST WITH OTHER ELEMENTS OF THE DESIGN TEAM, WHAT TYPE OF FLAG CONSIDERATION AND MANAGEMENT COMPANY? WE HAVE THE ORIGINAL HOTEL PROPERTY IN THE SOUTHEAST CORNER, THE POOL AREA THAT'S CONSIDERED AS A PART OF THE AMENITY PACKAGE, SO IT CAN BE A 5-STAR HOTEL THERE TO THE SOUTHWEST, AND THEN THE ACTUAL PARKING AREA.
THERE WAS AN EXPANDED VIEW OF THE POOL DECK AREA THAT CAN BE UTILIZED AS WE CONSIDER OTHER MULTIFAMILY DEVELOPMENT OPPORTUNITIES IN THAT SURROUNDING AREA.
THEY CAN ALSO USE THIS AMENITY FOR THE DOWNTOWN MARKET.
THIS IS SOME OF THE IMAGING FROM, I GUESS YOU'D SAY STORYBOARD PERSPECTIVE OF WHAT WE'RE IMAGINING THAT POOL DECK AREA TO BE LIKE AND TO CREATE.
IT'S ONE OF THE GOALS OF THIS PROJECT WILL BE THAT IT'S NOT JUST FOR OVERNIGHT TRAVELERS, BUT THE FACILITIES THAT MIGHT EXTEND THE STAY AND GIVE PEOPLE TO HAVE MORE OF A DESTINATION CONSIDERATION FOR THE AMARILLO MARKET.
GO AHEAD. THIS IS JUST THE ORIGINAL CONSIDERATIONS OF LAYOUT.
IF YOU LOOK IN THE SOUTHWEST CORNER, THAT'S ONE RESTAURANT.
THERE'S GOING TO BE TWO THERE ON THE FIRST FLOOR.
YOU CAN SEE THERE'S A LOT OF AREA THERE FOR SEATING IN THE PUBLIC LOBBY AREA.
[02:40:01]
WELL, THE NICE THINGS ABOUT THIS, SINCE THERE WAS A HOTEL TO BEGIN WITH, IS THERE'S A LOT OF THIS PROGRAMMING IS PROGRAMMING THAT WAS ALREADY THERE ORIGINALLY, AND IT'S CONSIDERATION.IT'S JUST PUTTING THAT PRIMARY KITCHEN IS GOING TO BE RIGHT BACK WHERE THE PRIMARY KITCHEN WAS.
IT MAKES IT FROM A BETTER UTILIZATION OF SPACE AND MORE EFFICIENT USE OF THE PROPERTY.
WHAT A GYM THIS PROPERTY REALLY IS.
[LAUGHTER]. IT'S SO THINK ABOUT THAT THIS HAS LITERALLY BEEN VACANT FOR 50 YEARS.
WHAT A TREASURE IT WAS TO THE ORIGINAL CONSIDERATIONS OF THIS DOWNTOWN AREA.
THIS IS THE SECOND LEVEL, THE MEZZANINE LEVEL IN THE MEETING ROOM.
YOU'LL SEE THE TASCOSA BALL ROOM THERE A 4,500 SQUARE FEET, ALONG WITH SEVERAL OTHER BREAKOUT MEETING ROOMS, AND THE HISTORIC CIT CAFE IS THERE TO THE NORTH AND ALSO SERVICE KITCHEN AREAS AND BATHROOMS. WHAT A GREAT PROGRAMMING SPACE.
WE THANK FOR A LOT OF CORPORATE EVENTS, CIVIC EVENTS, WEDDING RECEPTIONS, THINGS THAT WE WANT TO TRY AND PUT OUR BEST FOOT FORWARD FOR THIS MARKET, AND THIS FACILITY, WHEN REDONE TO THIS LEVEL, WILL GIVE US THAT OPPORTUNITY.
THIS IS JUST A PROGRAMMING LAYOUT.
AGAIN, ONE OF THE NICE THINGS.
THIS BEING A HOTEL ORIGINALLY HAS A LARGE BASEMENT FOOTPRINT, WHICH IS NECESSARY FOR THE MECHANICAL SYSTEMS, THE SAFETY SYSTEMS, THE FIRE LIFE SAFETY SYSTEMS, AND LAUNDRY, AND THEN STILL ALLOW FOR THE 3,300 SQUARE FEET OF FOOD AND BEVERAGE SPACE AND THE OLD TASCOSA ROOM.
THESE ARE JUST SOME OF THE EXAMPLE LAYOUTS RIGHT NOW, AND WHY WE'RE AT A 226 ROOM KEY COUNT.
THE NICE THING ABOUT THIS IS THAT WE'RE STILL IN THE THIRD AND FOURTH FLOOR, AVERAGING NEARLY 400 SQUARE FOOT PER ROOM, WHICH IS A MUCH LARGER SIZE THAN STANDARD PROGRAM HOTELS TODAY AS TO GIVE A BETTER SENSE OF LUXURY AND CONSIDERATION FOR LONGER STAYS.
THIS IS AGAIN SO THAT WE CAN HAVE MORE CONVENTION AND MEETING-TYPE VISITORS AND CORPORATE VISITORS.
YOU WANT TO HAVE DIFFERENT BREAKOUTS AND STACKS OF ROOMS SO THAT THE AMENITY PACKAGE FOR THOSE ROOMS IS NOT QUITE AS ROBUST AS THE UPPER FLOORS FOR THE COST-MINDED BUSINESS TRAVELER.
>> THEN THE STANDARD PLAN IS SEVEN THROUGH 14, 13.
THERE'S NOT ACTUALLY A 13TH FLOOR, SO WE KEEP IT AT 14.
THE NICE THING IS, THERE'S TWO SUITES PER FLOOR IN THIS LAYOUT.
THERE'S A LOT OF EXTENDED DOUBLE QUEENS THAT GIVES FAMILY TRAVELERS COMING THROUGH THIS MARKET THE OPPORTUNITY TO STAY IN ONE ROOM AS A FAMILY UNIT OR HAVE COMBINING ROOMS THROUGH CONNECTING DOORS.
IT'S BEEN A WELL-THOUGHT-OUT LAYOUT, BUT IT SITS VERY NICELY.
AGAIN, BECAUSE IT WAS A HOTEL TO BEGIN WITH.
THAT WAS ONE OF THE CHALLENGES WITH THE BAR FIELD; IT WAS NOT ORIGINALLY A HOTEL, AND THEREFORE, PLUMBING PENETRATIONS AND MECHANICAL CONSIDERATIONS ON THE ENGINEERING WERE MADE MUCH MORE DIFFICULT.
THIS SHOULD LAY OUT VERY NICELY AND GIVE THESE UPPER FLOORS OR OVER 500 SQUARE FEET AVERAGE.
THEN ONE OF THE THINGS WE THINK IS A UNIQUE OPPORTUNITY AND AMENITY THAT IS NOT CURRENTLY OFFERED IN THIS MARKET ANYWHERE AS A ROOFTOP VIEW DECK AND FOOD AND BEVERAGE AREA.
THIS IS ON THE ROOF OF THE BUILDING OVERSEEING WITH AN UNOBSTRUCTED VIEW FOR THE REST OF THE DOWNTOWN IN THE WHOLE CITY OF AMARILLO.
YOU'LL SEE WE HAVE SOME PROGRAMMABLE SPACES FOR SMALL MEETING EVENTS, 950 SQUARE FEET OR SO, AND THEN THE PUBLIC BAR AND RESTAURANT SPACE.
WE EVEN HAVE SOME PROGRAMMING FOR THE VIRTUAL GOLF OR VIRTUAL VIDEO GAMES, SO THAT THERE'S MORE FAMILY PROGRAMMING OPPORTUNITIES IN DOWNTOWN.
>> THIS IS AGAIN, A STORYBOARD, OF CONSIDERATIONS FOR THEMING OF THE FF&E PACKAGE OF THIS PROPERTY.
WE REALLY TOOK FROM CONSIDERATIONS OF,
[02:45:01]
AS A BOUTIQUE HOTEL, YOU'RE REALLY TRYING TO TELL THE STORY OF WHAT AMARILLO IS.FOR THE GUESTS TO COME HERE, THERE MIGHT NOT BE FROM THIS REGION, AND QUITE HONESTLY, I JUST HAD A HOSPITALITY CONFERENCE WITH JOHN AND SCOTT LAST WEEK, AND YOU WOULDN'T BELIEVE HOW MANY PEOPLE ARE LIKE, WHERE IS AMARILLO? WE WANT THE OPPORTUNITY FOR THEM TO KNOW IT FROM OUR AMENITIES AND THE OPPORTUNITY TO COME HERE AND EXPERIENCE WHAT WE KNOW TO BE A FANTASTIC, ONE OF THE BEST AREAS IN THE COUNTRY TO RAISE A FAMILY AND TO BE IN.
WE THINK THE CONSIDERATIONS OF THEME ARE IMPORTANT FOR THEM TO KNOW WHAT OUR HERITAGE IS AND WHAT THIS CAN BE.
THIS IS STORYBOARD OF CONSIDERATIONS OF THE FF&E PACKAGE, WHICH IS FURNITURE FIXTURES AND EQUIPMENT.
THIS IS FOR SOME OF THE HOTELS, WHAT YOU CAN IMAGINE.
AGAIN, YOU'LL SEE SOME LARGER SPACIOUS CONSIDERATIONS, HIGHER CEILINGS, AND BROADER VIEWS.
ONE OF THE THINGS THAT THE UPPER END LEISURE TRAVELER IS LOOKING FOR, IS EXPERIENCES.
>> TODD, I'LL MENTION OUR FIRM IS ARCHITECTURE INTERIOR DESIGN ALSO.
ONE OF MY PARTNERS IS OUR DIRECTOR OF INTERIOR DESIGN.
THERE IS AN INTEGRATION BETWEEN THE TWO.
BUT THE PICTURE IN THE UPPER MIDDLE, AGAIN, IT'S INDICATIVE OF THE LUXURY THAT THIS HOTEL WILL HAVE.
YOU CAN SEE IT'S NOT JUST A BED, A NIGHTSTAND AND A DESK.
IT'S REALLY THE APARTMENTS IN NEW YORK THAT PROBABLY THIS SIZE.
AGAIN, ALL OF THE HISTORIC BUILDINGS THAT WE WORK ON, JUST LIKE THE HERRING, HAVE GENEROUS FLOOR TO CEILING HEIGHTS, AND A LOT OF WINDOWS.
NOT JUST THE SQUARE FOOTAGE, BUT THE CUBIC FOOTAGE OF THE ROOMS ARE VERY GENEROUS. THANK YOU.
>> TO PUT A FINER POINT ON ALL OF THIS IS, SO MANY PEOPLE HAVE COME UP TO ME AND SAID HOW PROUD THEY ARE THE BAR FIELD'S HERE AND WHAT IT'S MEANT TO THE CITY OVERALL, TO HAVE AN AMENITY LIKE THAT.
WHAT WE WANT TO TRY AND DO IS EXPAND THAT FOOTPRINT AND UTILIZATION, AND TO WHAT IS BASICALLY THE ONE REMAINING TO USE AN OLD CITY COUNCILMAN'S TERM, EYESORE.
IT'S BEEN AN EYESORE FOR 50 YEARS.
BUT ONE MAN'S EYESORE IS ANOTHER MAN'S HISTORIC RENOVATION OPPORTUNITY.
WE FEEL LIKE WORKING WITH THE CITY, THIS CAN BE THE CROWN JEWEL.
ONE OF THE THINGS WE'RE SHOWING HERE IN THE TOP RIGHT CORNER IS THE VIEW FROM THE ROOF OF THE HERRING HOTEL PRESENTLY.
WHAT'S WONDERFUL ABOUT IT IS, IT REALLY GIVES A DYNAMIC SENSE OF SPACE THAT AMARILLO IS A CITY AND HAS A FAIRLY VIBRANT DOWNTOWN.
WE WANT TO PROJECT THAT IMAGE TO ALL THE PEOPLE COMING FROM EITHER THE I35 CORRIDOR, OR FROM THE COLORADO, OR FOR POINTS WEST, CALIFORNIA, WHAT AMARILLO CAN AND SHOULD BE.
THE REST OF THESE IMAGES ARE ACTUALLY ROOFTOP DECKS THAT CAMPO ASSOCIATES HAS IMPLEMENTED IN OTHER HISTORIC PROPERTIES.
YOU CAN GET A VISION OF WHAT THAT SPACE WOULD LOOK LIKE, AND TO BE ABLE TO UTILIZE THAT.
BECAUSE THE POINT OF THIS IS TO HAVE ALL THE F&B OPPORTUNITIES OPEN TO THE PUBLIC AS WELL.
IT'S NOT JUST FOR A HOTEL GUESTS, BUT FOR THE CITIZENRY OF AMARILLO TO UTILIZE AND ENJOY.
THIS IS JUST A LAYOUT, AND I'M NOT GOING TO BORE YOU WITH THE ELONGATED VERSION OF THIS.
BUT THIS GIVES YOU THE PROGRAMMING NOTES OF HOW WE'VE TRIED TO EXPAND THE UTILIZATION OF SPACE TO CAPTURE MORE OF THE UPPER END LEISURE TRAVELER.
JOHN'S TEAM DID A WONDERFUL LAYOUT OF THIS SO THAT WE COULD TRY AND MAXIMIZE THE NUMBER OF CONNECTING ROOMS AND DOUBLE QUEENS.
FAMILY UNITS AND LARGER GROUPS WOULD HAVE A BETTER OPPORTUNITY TO STAY EITHER FOR LONGER CONVENTION PERIODS, OR FOR BUSINESS CONFERENCE MEETINGS, OR EVEN LEISURE TRAVEL.
THAT'S CGI IMAGE OF THE COMPLETED PROPERTY.
ONE OF THE THINGS YOU'LL SEE THERE IS WE PLAN ON, FROM A HISTORIC RENOVATION PERSPECTIVE, BRINGING BACK THE HOTEL HERRING SIGN THAT WAS UP THERE AND JUST A BEACON FOR THE AMARILLO DOWNTOWN MARKET FOR DECADES.
YIELD FOR ANY OTHER QUESTIONS,
[02:50:01]
CONSIDERATIONS, OR COMMENTS.>> QUESTIONS, COUNSEL. YES, SIR.
>> TODD, APPRECIATE YOU GENTLEMEN HERE GIVING AN OVERVIEW OF THIS.
LET ME ASK YOU, HOW LONG HAVE YOU BEEN INVOLVED IN THE BARFIELD BUILDING? HOW MANY YEARS DOES THAT GO BACK?
>> SO FROM 2006, AND HOW MANY OF THOSE YEARS DID PEOPLE TELL YOU THAT, THAT BUILDING SHOULD BE DEMOLISHED?
>> OKAY. HOW MANY PEOPLE TOLD YOU THAT YOU COULDN'T DO WHAT YOU DID?
>> I'M GLAD YOU ACKNOWLEDGED THAT.
>> I STAND CORRECTED, AND I WANT TO CONGRATULATE YOU ON THAT.
IS IT SAFE TO SAY THAT IF YOU LOOK AT PROPERTY TAX, SALES TAX, HOT TAX, YOU'RE GENERATING SIGNIFICANTLY MORE REVENUE NOW THAN YOU WERE WHEN THE BUILDINGS VACATED OR WHAT A PARKING LOT WOULD GENERATE?
>> WELL, I APPRECIATE YOU COMING HERE TODAY AND TALKING THROUGH THIS.
COUPLE OF QUESTIONS I DO WANT TO ASK ON THAT.
GENERALLY, AND I KNOW THIS WILL BE A COUPLE OF YEARS DOWN THE ROAD, BUT TELL ME ABOUT THE ROOM RATES FOR THIS.
WHERE IS THIS IN THE MARKET? YOU SAID THIS IS SOMETHING THAT'S NOT CURRENTLY IN THE MARKET.
WHAT ARE ROOM RATES LOOK LIKE? WHO ARE YOU TRYING TO ATTRACT THAT IS NOT GENERALLY ATTRACTED TO WHAT WE HAVE RIGHT NOW.
>> ANOTHER PART OF OUR DESIGN TEAM AND DEVELOPMENT TEAM IS AIMBRIDGE.
THEY'RE THE LARGEST HOSPITALITY MANAGEMENT COMPANY IN THE WORLD.
THEY CURRENTLY MANAGE THE EMBASSY SUITES IN THIS MARKET AND HAVE BEEN MANAGING THE COURTYARD FOR THE LAST DECADE.
THEY HAVE A LOT OF EXPERIENCE, BUT THEY MANAGE 1,600 HOTELS.
THEY'RE ABLE TO LOOK AT MY PRO FORMA AND ACTUALLY, THEY DID THEIR OWN PRO FORMA BASED UPON THIS MARKET AREA.
THAT'S A GREAT QUESTION. WE'RE LOOKING AT FIRST YEAR AVERAGE DAILY RATE IN THE 225 AREA, AND AN OCCUPANCY RANGING 60-65% AND THEN ESCALATING OVER A FIVE YEAR TIME FOR RISING ABOUT 2.5% A YEAR.
>> THE OTHER THING THAT'S BEEN SAID A LOT IS, BOY, THERE'S NO WAY THAT BUILDING COULD BE RENOVATED.
YOU'VE HEARD IT TOO MUCH ASBESTOS, THOSE TYPES OF THINGS.
WHAT YOU HEAR IN THE COMMUNITY.
WHAT IS YOUR BIGGEST CHALLENGE IN WHAT YOU'RE GOING TO HAVE TO DO TO RENOVATE IT?
>> WELL, THE THINGS THAT HAVE TO BE CONSIDERED HERE IS DEVELOPMENT COSTS, NOT JUST IN AMARILLO, TEXAS, BUT ACROSS THE COUNTRY AND I GUESS, WORLDWIDE, AS WE WERE JUST AT THIS HOSPITALITY CONFERENCE, ARE UP 40% SINCE COVID.
YOU'RE LOOKING AT DEVELOPMENT COSTS NOW FOR THIS PROJECT, WELL, IN EXCESS OF $400,000 A ROOM.
THIS IS NOT GOING TO BE INTERCONTINENTAL HOTEL.
THIS IS GOING TO BE A SOFT BRAND BOUTIQUE LIKE HILTON CURIO OR IG KEMPTON.
IT'S GOING TO BE WHAT AMARILLO CAN AFFORD AND HOW WE CAN DELIVER THIS PRODUCT AS COST EFFECTIVELY AS POSSIBLE.
BUT THE BIGGEST HURDLE TODAY IS GETTING QUALIFIED CONTRACTORS AND PRICING FOR A PROJECT OF THIS SIZE.
>> I'LL SPEAK DIRECTLY TO YOUR QUESTION ABOUT ENVIRONMENTAL.
WE'VE WALKED A BUILDING THOROUGHLY.
WE'RE NOT ENVIRONMENTAL ENGINEERS, BUT THE BUILDING IS RELATIVELY CLEAN.
NOW, YOU'VE GOT AS BEST AS TILE, VINYL TILE.
THERE IS ALWAYS LEAD PAINT, BUT LEAD PAINT CAN BE ENCAPSULATED.
IF IT'S FLAKING, YOU'VE GOT TO DEAL WITH IT.
BUT LEAD PAINT, IT'S ALLOWED TO BE ENCAPSULATED WITH OTHER PAINT.
I GUESS IN A SCALE OF 1-10, 1 BEING THE LEAST, 10 BEING THE MOST WITH RESPECT TO ENVIRONMENTAL, I WOULD SAY THIS IS A 3.
>> THEN I GUESS THIS IS MAYBE A QUESTION FOR STAFF, AND IT SAYS, THIS IS JUST THE PRESENTATION AND DISCUSSION ON THE PROJECT AND INCENTIVE REQUEST.
WHEN WILL THE INCENTIVE REQUEST, OR WHAT WE'RE LOOKING AT COME BACK TO COUNSEL?
>> YES. I'VE ACTUALLY GOT A FEW SLIDES TO GO OVER THAT.
>> THE SAME REQUEST AND THE TIMELINE.
>> YOU DONE OVER THERE? [LAUGHTER].
>> ONE MORE QUESTION. YOU DID SAY THAT THIS HAS BEEN AN EYESORE FOR ABOUT 50 YEARS.
>> I REMEMBER MOVING HERE AND ALWAYS WONDERED WHY IT WAS EMPTY.
IT'S THE CITY'S EYESORE RIGHT NOW, AND YOU'RE WILLING TO TAKE ON THIS PROJECT.
[02:55:01]
IF THIS PROJECT DOESN'T GO THROUGH, WHAT'S THE COST TO THE CITY TO DEMOLISH THE BUILDING? THAT MAY BE MORE TO STAFF THAN TO YOU, TODD?>> WELL, THIS IS SOMEWHAT SPECULATION, BUT IT'S GOING TO BE PROBABLY $3-$4 MILLION EASILY, AT LEAST.
>> WE WERE GOING TO SAY AROUND FIVE MILLION.
>> THIS IS BACK TO JIM SIMMS DAYS.
THAT WAS THE THING ABOUT THE BAR FIELD THAT BROKE MY HEART WAS THAT HE JUST BERATED THAT IT WAS AN EYESORE.
I'M LIKE, I KNOW IT'S AN EYESORE.
BUT IF WE CAN DO SOMETHING, IF WE CAN ALL WORK TOGETHER, IT CAN CONVERT.
THAT'S THE IDEA WHY I REFERENCED THE BAR FIELD.
THANK YOU LESS FOR DOING THAT.
BECAUSE IT'S NOT WHAT IT IS NOW, IT'S WHAT IT CAN BE VERY EASILY.
YOU'RE RIGHT. IT'S THE SAME KIND OF EFFORT.
ONE WAY OR ANOTHER, YOU'RE GOING TO HAVE TO DEAL WITH IT, AND WHY NOT TRY AND RECAPTURE SOME OF THE GLORY AND THE HISTORY THAT THAT PROPERTY HAS BECAUSE IT'S SUBSTANTIAL TO THIS MARKET.
WHEN I MOVED HERE BACK IN THE EARLY '80S, FROM INDIANAPOLIS, INDIANA, THE DIFFERENCE IS THERE'S SO MUCH HISTORIC FABRIC IN DOWNTOWN INDIANAPOLIS.
I WAS BLOWN AWAY BY HOW MANY BUILDINGS THAT WERE HISTORIC FABRIC OF THIS MARKET THAT WERE TORE DOWN IN THE '70S, AND YOU CAN'T GET THAT BACK.
CERTAINLY IN TODAY'S MARKET, IT'S TOO COST PROHIBITIVE TO BUILD GROUND UP, ANYTHING OF THAT SIZE OR CALIBER.
ONE OF THE THINGS WE SAW AT THIS CONFERENCE IS THIS TYPE OF DEVELOPMENT IS BASICALLY THE ONLY THING THAT'S HARDLY GOING ON, BECAUSE THE COST OF GROUND UP ON A PER KEY COUNT HAS JUST BECOME PROHIBITIVE.
>> WHAT'S YOUR TOTAL COST OF EXPECTED CAPITAL INVESTMENT, SIR?
>> SO 100 MILLION CAPITAL INVESTMENT ON YOUR SIDE? TURN KEY, GET IT OPEN.
>> COUNCILMAN, DO YOU HAVE ANY OTHER QUESTIONS? NO. OKAY. IF YOU WOULD LEAD US INTO THAT INCENTIVE PACKAGE AND WHAT WE WOULD BE LOOKING AT.
>> THESE ARE THE MINIMUM PROJECT REQUIREMENTS, 90 MILLION CAPITAL INVESTMENT, YOU JUST HEARD, HE'S EXPECTING AROUND 100 MILLION.
AT LEAST 200 GUEST ROOMS, RESTAURANT, ROOFTOP BAR, OUTDOOR AMENITIES, AND MEETING EVENT SPACE, 100 FULL-TIME JOBS, AND A $4 MILLION ANNUAL PAYROLL.
OF COURSE, THERE'S THE EMPHASIS ON THE HISTORIC PRESERVATION AND A FULL SERVICE SOFT BRAND BOUTIQUE HOTEL.
THEN, OF COURSE, IN THE AGREEMENT THAT WILL COME TO COUNSEL IN THE FUTURE IS DEADLINES FOR CONSTRUCTION START, SUBSTANTIAL COMPLETION, AND CERTIFICATE OF OCCUPANCY, SO THE PROJECT CONTINUES TO MOVE FORWARD.
AS FAR AS THE INCENTIVE REQUEST, IT'S TWO PARTS, THE TAX INCREMENT REINVESTMENT ZONE NUMBER 1, AND THEN CITY COUNCIL THROUGH CHAPTER 380 ECONOMIC DEVELOPMENT AGREEMENT.
WHAT'S BEING PROPOSED, AND THIS HAS BEEN DISCUSSED WITH COUNCIL THROUGH EXECUTIVE SESSIONS AND BACK AND FORTH NEGOTIATIONS WITH MR. HARMON AND HIS TEAM.
THIS WAS NOT THE ORIGINAL ASK, IT'S BEEN PAIRED DOWN QUITE A BIT AND REDUCED TO A 10 YEAR AGREEMENT IN COMPARISON TO OUR EXISTING AND PREVIOUS DEALS, SOME HAVE GONE UP TO 20 YEARS, 15, 10.
THIS IS GOING TO BE ONE OF THE SHORTER AGREEMENTS THAT HAVE BEEN PROPOSED FOR THE DOWNTOWN ZONE.
LOCAL HOTEL OCCUPANCY TAX REBATE, 100% ANNUALLY FOR FIVE YEARS AS IT'S GETTING ESTABLISHED, THEN IT DROPS DOWN TO 50% ANNUALLY FOR FIVE YEARS.
THEN STATE HOTEL AND OCCUPANCY TAX REBATE OF 100% ANNUALLY FOR 10 YEARS AND STATE SALES TAX REBATES, 100% ANNUALLY FOR 10 YEARS.
THE REASON WHY IT'S STATE HOTEL OCCUPANCY TAXES AND SALES TAXES IS THE STATE SAW THE BENEFIT OF INVESTING NEAR CONVENTION CENTERS WHEN IT COMES TO HOTEL SPACES, IN PARTICULAR, AND HAVE ALLOCATED A STATE RESOURCE AND THEIR HOT TAX AND THEIR SALES TAX COLLECTIONS TO GO TOWARD PROJECTS THAT ARE WITHIN THE VICINITY OF A CONVENTION CENTER.
OF COURSE, THE HERRING IS WITHIN THE 10,000 FOOT REQUIREMENT, SO THE ONLY REAL QUALIFIER FOR QUALIFYING FOR THESE STATE INCENTIVES IS THAT THE CITY HAS TO PARTNERSHIP VIA OWNERSHIP AND LEASE BACK TO THE HOTEL GROUP DURING THAT INCENTIVE PERIOD.
THAT NEXT BULLET ON YOUR SCREEN IS A CITY LEASE OWNERSHIP OF THE LAND TO QUALIFY.
THEN AT THE END OF THE PROJECT INCENTIVE PERIOD OF 10 YEARS, THE PROPERTIES WILL BE DEEDED BACK TO THE CITY.
WHAT THAT WILL LOOK LIKE IN THE FUTURE IS DEEDING BACK THE LAND THAT THE HOTEL SITS ON, WHILE ALSO LEASING BACK THAT LAND AND LEASING THE WESTERN BLOCK THAT THE CITY CURRENTLY OWNS FOR THE DEVELOPMENT.
THERE IS ALSO A REQUEST FOR A $200,000 CAP ON BUILDING PERMIT FEE TO CONTROL THOSE COSTS.
THEN AN OPTION PERIOD THAT MR. HARMON DID NOT DISCUSS, BUT SHOWED ON THAT SITE PLAN.
[03:00:02]
THE SOUTHERN BLOCK, THAT'S CURRENTLY A PARKING LOT WITH THE LIBERTY OR THE THEATER, ALSO SITUATED ON THAT BLOCK IS AN OPTION PERIOD TO NEGOTIATE A FUTURE DEVELOPMENT PROJECT AS PART OF THIS DEVELOPMENT FOR A RESIDENTIAL PROJECT, WHICH IS ONE OF THE DOWNTOWN GOALS AS WELL.AS FAR AS TIERS NUMBER 1 DEVELOPER AGREEMENT, WHAT HAS BEEN DISCUSSED AND WILL BE BROUGHT FORWARD NEXT WEEK.
TIERS NUMBER 1 IS A PROPERTY TAX REBATE AGREEMENT, 100% ANNUALLY FOR 10 YEARS, AS WELL AS A CASH GRANT OF 900,000 THAT WOULD BE REIMBURSED UPON THE COMPLETION OF THE PROJECT AND THE WORK RELATED TO INFRASTRUCTURE AND FACADE IMPROVEMENTS.
THIS WILL BE THE EXTERIOR FACADE OF THE HOTEL, PUTTING BACK THE WINDOWS, TAKING DOWN THE STUCCO FACADE, STREETSCAPE, WHETHER IT'S LIGHTING, TREES, SIDEWALKS, ALL QUALIFY FOR THAT 900,000.
THEN AN ADDITIONAL COMMITMENT THAT TIERS NUMBER 1 HAS DISCUSSED IS COMPLETION OF A HOTEL STUDY.
THIS PROJECT IS GOING TO HAVE MULTIPLE STUDIES FOR THE FINANCING HISTORIC TAX CREDITS.
THAT WAS A WAY TO HELP OFFSET SOME OF THOSE UPFRONT COSTS AND ALSO A BENEFIT TO ALL OUR HOTELERS IN THE COMMUNITY BECAUSE IT WILL BE LOOKING AT A CITYWIDE DATASET THAT THEY COULD USE FOR THEIR FUTURE HOTEL PROJECTS AS WELL.
AS FAR AS TIMELINE NEXT STEP, TIERS NUMBER 1 MEETING WILL BE TAKING PLACE ON WEDNESDAY OCTOBER 22 TO CONSIDER THAT DEVELOPER AGREEMENT.
PART OF THE TIERS 1 PARTICIPATION WITH POTTER COUNTY IS THAT WHEN WE HAVE A PROJECT UP FOR CONSIDERATION, WE WILL TAKE IT TO THEM FIRST TO GIVE A PRESENTATION AND GET THEIR COMMENTS TO SHARE WITH CITY COUNCIL.
THAT WOULD BE SCHEDULED MONDAY, OCTOBER 27.
THEN WE WOULD HAVE A CITY COUNCIL MEETING ON TUESDAY, OCTOBER 28 TO CONSIDER BOTH THE CHAPTER 380 ECONOMIC DEVELOPMENT AGREEMENT AND THE TIERS NUMBER 1 DEVELOPER AGREEMENT.
THEN IN THE FUTURE, SINCE THIS IS INVOLVING A REAL ESTATE TRANSACTION TO QUALIFY FOR THOSE STATE INCENTIVES, THERE WILL BE FUTURE ITEMS RELATED TO THE OWNERSHIP AND LEASE BACK OF THE PROPERTIES, WHICH WILL TAKE PLACE WITHIN 10-12 MONTHS BASED ON THE DEVELOPMENT TIME FRAME.
ALL THE DUE DILIGENCE WILL BE COMPLETED, PLANS WILL BE DEVELOPED, AND ALL THE FINANCING WILL BE TAKEN CARE OF BEFORE WE ENTER INTO THAT PART OF THE PROCESS.
>> HAPPY TO ANSWER ANY QUESTIONS RELATED TO THE INCENTIVE AGREEMENT.
OF COURSE, MR. HARMON AND MR. CAMPA ARE ALSO HAPPY TO ANSWER ANY ADDITIONAL QUESTIONS.
>> COUNCILMAN SIMPSON, YOU GOT A QUESTION?
>> JUST TO RECAP, THE INCENTIVES THAT WE'RE LOOKING AT ARE PRETTY MUCH PERFORMANCE-BASED.
>> THEN THERE'S NO MONEY UP FRONT UNTIL THE PROJECT IS COMPLETED AND OPERATING, CORRECT?
>> THE ONLY UPFRONT WOULD BE THE HOTEL.
>> HOTEL STUDY. EVEN THE TIER'S MONEY, THE 900,000, WOULD NOT BE IT WOULD BE REIMBURSED AFTER THE COMPLETION.
>> OTHER THAN THE COST OF THE HOTEL STUDY, THERE'S NO OBLIGATION TO THE CITY UNTIL WE HAVE A HOTEL ON THE GROUND AND OPERATING.
>> ANDREW, BACK TO TIM'S QUESTION.
DIDN'T YOU HAVE THAT NUMBER? WAS IT A GUESS? WE TALKED ABOUT IT?
>> AS FAR AS WHAT IT WOULD COST THE CITY TO TEAR THE FACILITY.
>> APPROXIMATELY FIVE MILLION.
>> WE'RE PROJECTING THE CITY HALL DEMOLITION AROUND 1.3 MILLION BEFORE GREEN SPACE.
>> ANY OTHER QUESTIONS, COUNCIL? WE LOOK FORWARD TO HEARING IT BACK ON A FUTURE AGENDA ITEM.
>> THANK YOU. MR. HARMON, THANK YOU FOR BEING HERE. MR. CAMPA.
GOOD TO MEET YOU. APPRECIATE THE PRESENTATION. THANK YOU, GUYS.
[9.B. Potential new land lease agreement for the Wonderland Amusement Park]
IF YOU'LL WALK US THROUGH THAT ONE.>> THIS ITEM HERE, I'LL GIVE YOU A LITTLE BIT OF HISTORY ON THIS, TOO.
WE'VE BEEN DISCUSSING THIS FOR QUITE SOME TIME NOW, WORKING WITH PARTNERS FOR WONDERLAND AMUSEMENT PARK.
WE DO NOT OWN WONDERLAND PARK ITSELF.
WE OWN THE PROPERTY THAT IT SETS ON.
OF COURSE, AS MANY OF US KNOW, PAUL BACARD HAS HAD A LONG-STANDING REPUTATION WITH OUR COMMUNITY.
I WENT THERE AS A FATHER. I'VE GONE THERE AS A GRANDFATHER.
SPENT A LOT OF TIME AT WONDERLAND PARK IN MY TIME.
THERE'S AN OPPORTUNITY NOW FOR PAUL TO SELL THAT FACILITY.
WE WANTED TO BRING YOU A COUPLE OF POTENTIAL IDEAS HERE, OR AT LEAST A POTENTIAL TENANT THAT COULD TAKE OVER THAT LEASE FOR THEM, AND SOME IDEAS THAT THEY HAVE WITH THAT.
JIMMY HOLMES AND STEVE MCCLOSY ARE HERE.
THEY'RE WITH PARK MANAGEMENT, H2 MARKETING.
THEY HAVE A PRESENTATION THEY'D LIKE TO GIVE YOU AND ALSO DESCRIBE THEIR VISION FOR THE PARK, AS WELL AS THE ASKS THAT ARE IN THE LEASE AGREEMENT.
THIS, JUST LIKE THE PREVIOUS ITEM, IS A DISCUSSION ITEM TODAY THAT WE CAN BRING BACK AS AN ACTION ITEM AT THE NEXT MEETING ON THE 28TH, SO I'LL TURN IT OVER TO YOU, GENTLEMEN.
>> GOOD AFTERNOON. MAYOR, COUNCIL.
MY NAME IS JIMMY HOLMES, AND THIS IS STEVE MCCLOSY.
WE'RE HERE TO TALK TO YOU ABOUT THE REVITALIZATION OF WONDERLAND PARK.
I THINK THAT PROBABLY EVERYBODY IN THIS ROOM, OR ALMOST EVERYBODY IN THIS ROOM, HAD SOME EXPERIENCE AT WONDERLAND, WHETHER IT WAS GOING OUT THERE AS A KID OR TAKING YOUR KIDS OUT THERE TO THE PARK.
[03:05:04]
IT'S BEEN A FAMILY TRADITION IN AMARILLO FOR SEVEN DECADES.BUT UNFORTUNATELY, IT'S SHOWED ITS AGE.
WE DO SEE TREMENDOUS POTENTIAL FOR THIS PARK, AND OUR GOAL IS TO BRING AMARILLO BACK TO A DESTINATION FOR QUALITY FAMILY AND ENTERTAINMENT.
WHO ARE WE?360 PARK MANAGEMENT WE SPECIALIZE IN TURNING AROUND FAMILY AMUSEMENT AND WATER PARKS.
WE OPERATE AND CONSULTS, REGIONAL PARKS LIKE WONDERLAND ACROSS THE COUNTRY, AND WE KNOW HOW TO MAKE THEM WORK.
WE INVEST IN EXPERIENCE, WE EMPOWER THE STAFF, AND WE CONNECT DEEPLY WITH THE COMMUNITY.
WHY DOES THIS MATTER TO AMARILLO? WHEN WONDERLAND THRIVES, SO DOES AMARILLO.
REVITALIZATION OF THE PARK WILL ATTRACT VISITORS FROM ACROSS THE REGION, BOOSTING HOTELS, RESTAURANTS, AND RETAIL WHILE CREATING JOBS AND ECONOMIC IMPACT.
OUR VISION FOR WONDERLAND IS TO KEEP WHAT PEOPLE LOVE ABOUT WONDERLAND, WHICH IS THE CHARM, THE FAMILY-FRIENDLY CHARM, AND THE NOSTALGIA.
BUT OUR PLAN IS TO MODERNIZE THE MARKETING AND THE OPERATIONS.
CLEANLINESS, QUALITY, ENTERTAINMENT, AND GREAT CUSTOMER SERVICE WILL BE AT THE HEART OF EVERYTHING WE DO.
>> STRATEGIC PILLAR NUMBER 1, IMPROVE THE AESTHETICS.
GUESS NOTICE WHEN A PARK IS CLEAN, BRIGHT, AND WELL CARED FOR.
OUR FIRST STEP WILL BE AN IMMEDIATE AESTHETIC UPGRADE.
FRESH PAINT, NEW LIGHTING, LANDSCAPING, IMPROVED SIGNAGE TO MAKE WONDERLAND SHINE ONCE AGAIN.
STRATEGIC PILLAR NUMBER 2, WE'LL BE FOCUSING ON GUEST EXPERIENCE.
WE'LL INVEST HEAVILY IN THE GUEST EXPERIENCE, TRAINING OUR TEAM TO DELIVER WORLD-CLASS SERVICE, FORM AN EASIER TICKETING AND BETTER SEATING AND AMENITIES.
WE WANT EVERY FAMILY TO FEEL THE VALUE FROM THE MOMENT THEY ARRIVE TO THE MOMENT THEY LEAVE THE PARK.
STRATEGIC PILLAR NUMBER 3, IMPROVE THE FOOD AND BEVERAGE.
ONE OF OUR BIGGEST OPPORTUNITIES IS IN THE FOOD AND BEVERAGE.
WE'LL ENHANCE THE MENU QUALITY, INTRODUCE SIGNATURE ITEMS THAT PEOPLE WILL ENJOY, AND ADD CATERING OPTIONS FOR GROUPS, MAKING THE PARK A GO-TO SPOT FOR ALL TYPES OF CELEBRATIONS, FAMILY REUNIONS, BIRTHDAY PARTIES, CORPORATE PICNICS.
WE WANT TO MAKE AMARILLO AND WONDERLAND AN ENJOYABLE PLACE FOR FAMILY GATHERINGS.
STRATEGIC PILLAR NUMBER 4: OFFER AFFORDABLE PRICING OPTIONS.
TO BUILD LOYALTY, WILL INTRODUCE A SEASON PASS PROGRAM DESIGNED FOR FAMILIES.
UNLIMITED VISITS AT AN AFFORDABLE PRICE.
WE'LL ALSO REBUILD OUR GROUP SALES BUSINESS AND DEVELOP LOCAL PARTNERSHIPS THAT DRIVE AND STUDY THE ATTENDANCE.
WE'LL IMPLEMENT A STRATEGIC MARKETING CAMPAIGN.
OUR MARKETING CAMPAIGN WILL PLAN WILL BE BOLD AND TARGETED, USING SOCIAL MEDIA, INFLUENCERS, TV, AND DIGITAL ADS TO REACH MOMS AND WITH KIDS 12 AND UNDER.
THE WONDERLAND EXPERIENCE AND DRIVE ATTENDANCE ACROSS THE REGION.
STRATEGIC PILLAR NUMBER 6, NEW ATTRACTIONS AND FUTURE EXPANSION.
FAMILIES NEED NEW REASONS TO VISIT EACH SEASON.
WE'LL LAUNCH A NEW ATTRACTION IN 2026, CONTINUE REINVESTING IN FUTURE YEARS, AND ULTIMATELY EXPAND ONTO THE 11 ACRES NEXT DOOR WITH A NEW WATER PARK, CREATING LONG-TERM SUSTAINABLE GROWTH.
>> THE NEXT CHAPTER FOR WONDERLAND STARTS HERE.
THIS ISN'T REALLY JUST A BUSINESS PLAN, BUT IT'S A PARTNERSHIP PROPOSAL WITH THE CITY OF AMARILLO AND WITH THE COMMUNITY.
TOGETHER, WE CAN PRESERVE A LOCAL TREASURE AND CREATE SOMETHING THAT AMARILLO FAMILIES CAN ENJOY FOR GENERATIONS TO COME.
OUR ASK IS A PARTNERSHIP AND COOPERATION WITH THE CITY AS A LANDLORD AND SUPPORT FOR A LONG-TERM LEASE STRUCTURE THAT ENABLES US TO REINVEST INTO GROWTH.
A SHARED GOAL OF THRIVING, SUSTAINABLE ATTRACTION THAT CONTRIBUTES TO THE LOCAL ECONOMY AND THE QUALITY OF LIFE. THAT'S OUR PLAN..
>> GENTLEMEN, THANK YOU FOR GIVING US A GOOD PRESENTATION.
[03:10:04]
PAUL BACARD HAS RUN THAT VERY WELL FOR A LONG TIME.I JOKINGLY DO SAY THAT THEY HAD A LITTLE BEAR OUT THERE THAT SAID YOU HAVE TO BE THIS TALL TO RIDE THE BUMPER CARS.
>> IT WAS A LITTLE EMBARRASSING WHEN MY FRIENDS GOT TO GO RIDE THE BUMPER CARS, BUT I DIDN'T GET TO THAT.
I THINK AS LONG AS YOU DON'T PUT THE BEAR BACK OUT THERE, I COULD PROBABLY BE IN FAVOR OF THIS.
>> I JUST DON'T WANT TO TRAUMATIZE ANY OTHER SHORT KIDS.
IN ALL SERIOUSNESS, I THINK THAT MR BURKHART, MAYBE 82 YEARS OLD, PROBABLY REACHING THAT MIDLIFE CRISIS, LOOKING FOR THAT NEXT THING THAT HE REALLY WANTS TO REACH OUT INTO NEXT SET OF CAREER GOALS.
IT MIGHT BE A GOOD OPPORTUNITY FOR HIM TO HAND THIS OVER.
I THINK IN REVIEWING THE LEASE, IT WAS CONVOLUTED BECAUSE IT WAS DECADES OLD, AND IT HAD BEEN AMENDED AND AMENDED AND ATTACHED TO.
WE ARE GOING TO BE A VERY GOOD PARTNER FOR YOU GUYS.
WE LOOK FORWARD TO HAVING YOU HERE IN OUR COMMUNITY.
WE LOOK FORWARD TO THE IMPROVEMENTS.
WE OBVIOUSLY WILL NEED TO VOTE ON THE NEW LEASE.
MAKE SURE IT'S IN LINE WITH EVERYTHING THAT WE WANT TO ACCOMPLISH HERE.
BUT THE VISION IS DEFINITELY IN LINE, AND WE'RE PROPONENTS OF INVESTING IN AMARILLO.
I THINK YOU'RE GOING TO FIND THE MARKET HERE BENEFICIAL.
COUNCIL, ANYTHING FURTHER? THANK YOU, GENTLEMEN, FOR BEING HERE.
>> THANK YOU, MAYOR. THANK YOU, COUNCIL.
>> THANK YOU. SEE YOU IN A COUPLE OF WEEKS.
>> ITEM 9C PRESENTATION ON THE FERMI PROJECT.
[9.C. Presentation of the Fermi, Inc. project by Fermi, Inc. representatives]
WE HAVE A WHOLE GROUP.IF YOU GUYS WANT TO GO AHEAD AND GET YOUR STUFF SET UP, JUMP IN THERE WHILE WE GET OUR FORMER MAYOR, TRENT SISEMORE, UP HERE.
HE IS THE COMMUNITY LEAD ON BEHALF OF FERMI AND HERE TO KICK OFF THIS PRESENTATION.
I WOULD ASK IF HE WOULD GO AHEAD AND DO AN INTRODUCTION WHILE THEY'RE SETTING UP ON WHO IS HERE TO SPEAK ON BEHALF OF THEM.
>> ABSOLUTELY. YOU ASK FOR IT, SO FERMI IS DELIVERING, JUST LIKE THEY DO ON EVERYTHING ELSE THAT I'VE SEEN THEM ASSOCIATED WITH.
WHAT YOU ASKED FOR IS TO BRING THE ENTIRE TEAM IN SO THAT YOU COULD ASK THEM ANY QUESTIONS THAT THEY THAT YOU'D LIKE.
I'LL BE HERE MAYBE TO MODERATE, OR YOU MAY, OR EITHER ONE OF US.
WE HAVE THE FOREMOST NUCLEAR EXPERT, I BELIEVE IN THE WORLD WITH US HERE TODAY.
I'LL INTRODUCE HIM AND HIS WIFE.
THEN WE HAVE THE ACTUAL FOUNDER OF FERMI, TOBY NEUGEBAUER.
TOBY WAS WITH THE SECRETARY OF ENERGY EARLIER TODAY.
HE LEFT THAT MEETING TO COME TO THIS MEETING.
IS HOW IMPORTANT IT IS FOR HIM.
WE'VE GOT THE WHOLE TEAM, AND I'M GOING TO INTRODUCE THEM IN A MOMENT.
BUT IF WE WANT TO WATCH THE VIDEO FIRST, THEN I'LL COME BACK AND START WITH REMARKS, IF THAT'S ALL RIGHT WITH YOU, MAYOR.
>> IF YOU'RE READY TO ROLL THE VIDEO, THAT'LL GIVE US TIME TO SET UP THIS, AND THEN YOU CAN KICK IT OFF.
IF YOU UNDERSTAND THAT, LIKE DONALD J TRUMP, AND NO ONE DOES ENERGY BETTER THAN TEXAS.
BUT MAKE NO MISTAKE, WE ARE IN A DOG FIGHT, AND THE WINNER WILL CONTROL ARTIFICIAL INTELLIGENCE.
WHILE AMERICA'S BEEN ASLEEP, CHINA HAS DECLARED A NUCLEAR-POWERED ARTIFICIAL INTELLIGENCE WAR WITH 22 REACTORS ALREADY UNDER CONSTRUCTION.
>> THE CHINESE ARE BUILDING 22 NUCLEAR REACTORS TODAY.
WE'RE BEHIND. IT'S ALL HANDS ON DECK.
WE NEED TO BE DOING EVERYTHING IN OUR POWER TO WIN THIS RACE BECAUSE THIS IS THE RACE THAT REALLY MATTERS.
PRESIDENT TRUMP'S FIRST EXECUTIVE ORDER SPOKE TO THE ISSUE OF ENERGY AND CONTINUING TO MAKE AMERICA ENERGY DOMINANT.
WE ARE ANSWERING THE CALL OF TWO VISIONARY LEADERS WHO UNDERSTAND THAT THE FUTURE IS TO THOSE THAT ARE BRAVE, THAT ARE COURAGEOUS, BUT THAT CONTROL THE POWER OF ENERGY.
>> [BACKGROUND] ONLY THE PANHANDLE OF TEXAS, A REGION WHERE ENERGY DOMINANCE ISN'T JUST A CONCEPT, IT'S OUR HISTORY.
CAN OFFER A COMPLETE SOLUTION, NUCLEAR, NATURAL GAS, AND SOLAR AT GAGA SCALE.
WITH THE RIGHT WORKFORCE, REGULATORY ENVIRONMENT, AND THE ASSISTANCE OF LEGENDARY TEXAS TECH UNIVERSITY, TEXAS STANDS READY TO PRODUCE THE LARGEST WEAPON IN THIS ENERGY-INTENSIVE INTELLIGENCE WORLD.
INTRODUCING PROJECT MATADOR, A TEXAS TECH INITIATIVE THAT WILL ENSURE THAT AMERICA
[03:15:01]
IS TRUSTED TO MANAGE THE RISE OF ENERGY-POWERED ARTIFICIAL INTELLIGENCE.>> WE'RE REALLY NOT INTERESTED IN BUILDING THE SECOND-LARGEST ENERGY-DRIVEN DATA CENTER IN THE WORLD; WE'RE GOING TO BUILD THE LARGEST.
AMARILLO, TEXAS, HAS THE EXPERTISE.
IT'S GOT THE CONDUIT SPIRIT, AND IT HAS THE RESOURCES TO MAKE THIS A REAL.
>> IN THE STATE OF TEXAS, WE ONLY KNOW HOW TO DO THINGS ONE WAY, AND THAT'S BIG.
THE ADVANCED ENERGY AND INTELLIGENCE CAMPUS WITH TEXAS TECH UNIVERSITY IS GOING TO BE THE WORLD'S LARGEST ENERGY COMPLEX.
IT'LL BE OPERATED ON 5,236 ACRES.
THAT WILL PROVIDE UP TO 11 GIGAWATTS OF POWER, AND IT WILL HAVE 15 MILLION SQUARE FEET OF DATA CENTER CAPACITY.
>> THE CAMPUS SITS ABOVE AMERICA'S SECOND-LARGEST GAS FIELD, OFFERING UNLIMITED REDUNDANT GAS SUPPLY.
WITH THE NATION'S BEST SOLAR RESOURCES, THE SITE WILL UTILIZE THE LATEST WATER CONSERVATION TECHNOLOGY.
SITS CONVENIENTLY ON THE NATION'S TOP TEN FIBER INFRASTRUCTURE AND, MORE IMPORTANTLY, IS ADJACENT TO PANTEX.
SINCE 1951, THE BEGINNING OF THE NUCLEAR AGE, THE CITY OF AMARILLO, CARSON COUNTY, AND THE DEPARTMENT OF ENERGY-SPONSORED FACILITY PANTEX HAVE STEWARDED OVER OUR NATION'S NUCLEAR ARSENAL.
THIS SUMMER, TEXAS TECH AND FERMI AMERICA FILED OUR COMBINED CONSTRUCTION AND OPERATING LICENSE FOR SIX GIGAWATTS OF NUCLEAR POWER.
RECENTLY, WE BROKE GROUND ON A FOUR-GIGAWATT GAS FIRE GENERATION FACILITY.
AT FERMI AMERICA, WE BELIEVE THAT WE, THE PEOPLE, WHO INNOVATED FASTER THAN ANY NATION IN THE HISTORY OF THE WORLD, AND LED THE ENERGY AND TECHNOLOGY INDUSTRIES OF THE PAST, SHOULD BE THE ONES TRUSTED TO POWER ITS FUTURE.
>> WE COME FROM THE BEST PLACE FOR LABOR AND TRADESMEN, WHO WILL HAVE GREAT PRIDE AND JOY IN BUILDING AMERICA'S LARGEST PRIVATE UTILITY.
WE COME FROM A PLACE BLESSED WITH ABUNDANT NATURAL RESOURCES.
WE ARE BLESSED TO HAVE AMERICA'S MOST SIGNIFICANT NATURAL GAS PIPELINE INFRASTRUCTURE, AND THEN SITTING ALL ON TOP OF AMERICA'S LARGEST SALT AND FRESHWATER AQUIFER.
YOU JUST HAVE A COMBINATION OF PEOPLE, RESOURCES, PIPELINES, AND THEN THE TENACITY OF OUR MANAGEMENT TEAM.
WE ARE HUMBLED BY THE OPPORTUNITY TO MAKE THIS CONTRIBUTION TO OUR COUNTRY BECAUSE THIS IS THE EXACT THING WE NEED TO WIN THIS WAR WITH ARTIFICIAL INTELLIGENCE, AND WE ARE ECSTATIC TO GET TO BE A PART OF MAKING THAT HAPPEN.
>> IT SEEMS ONLY FITTING AS WE APPROACH AMERICA'S 250TH BIRTHDAY AND WITH PRESIDENT TRUMP IN OFFICE, THE US IS ONCE AGAIN LEADING, WINNING, AND DOMINATING THE WORLD STAGE.
>> WELCOME TO PROJECT MATADOR, BECAUSE IT'S TIME FOR AMERICA TO WIN AGAIN.
>> THANK YOU, MAYOR. COUNCIL MEMBERS.
THANK YOU TO OUR CITY STAFF WHO HAS WORKED DILIGENTLY ON THIS PROJECT FOR ALMOST FIVE OR SIX MONTHS, PUTTING TOGETHER WHAT I FEEL IS GOING TO BE A GREAT PARTNERSHIP BETWEEN THE CITY OF AMARILLO AND FERMI AMERICA.
I WANT TO COMMEND YOU GUYS FOR YOUR SERVICE TO THIS COMMUNITY.
I'VE SIT IN YOUR SEAT, 500 TIMES.
I'VE BEEN THROUGH A LOT OF THESE IN YOUR MANNER THAT YOU ADDRESS FOLKS AND ARE SO KIND, AND I'M VERY IMPRESSED WITH THAT, AND I THANK YOU FOR THAT.
EVERYONE HAS AN OPINION, AND THAT'S GOOD.
THAT'S WHAT FERMI AMERICA IS FIGHTING FOR IS THE RIGHT FOR PEOPLE TO HAVE OPINIONS.
EVEN WHEN THEY DISAGREE WITH US, IT'S A GREAT THING, AND IT'S WHAT MAKES AMERICA GREAT THAT WE CAN ALL HAVE OPINIONS.
I'M THANKFUL FOR YOU IN ALLOWING THE THE TIME FOR PEOPLE TO COME AND ASK QUESTIONS.
HOWEVER, A LITTLE DISAPPOINTED THAT A LOT OF THE PEOPLE THAT WANTED ANSWERS ARE NOT HERE RIGHT NOW.
I AGREE WITH YOU, COUNCIL MEMBER TIPS, THAT'S GOT TO BE DISCOURAGING.
BUT WE'LL GET THE ANSWERS OUT.
SOMEHOW OR ANOTHER, AND THAT'S WHAT WE'RE HERE TODAY TO DO IS ANSWER QUESTIONS.
WHEN YOU SIT IN YOUR SEAT, YOU KNOW THIS, AND I KNOW IT, THERE ARE HARD DECISIONS.
THOSE HARD DECISIONS ARE THE ONES THAT USUALLY MAKE THE MOST DIFFERENCE.
[03:20:02]
THIS IS A WORLD CHANGING DECISION THAT YOU'RE MAKING TODAY.BUT ALSO THE HARD DECISIONS ARE THE ONES WHERE SOMEONE'S HOUSE IS ABOUT TO GET TORN DOWN, AND YOU GIVE THEM AN EXTENSION, AND THEY'RE ABLE TO GO AHEAD AND REBUILD THEIR HOUSE.
I THANK YOU FOR NOT ONLY THE GREAT BIG DECISIONS, BUT FOR THE SMALL ONES TOO THAT YOU MAKE.
I KNOW YOU ALL TO BE MEN OF INTEGRITY, EACH AND EVERY ONE OF YOU MEN OF CHARACTER, AND I KNOW THAT TODAY THAT THERE HAVE BEEN PEOPLE THAT HAVE ATTACKED THAT.
BUT I KNOW YOUR MEN OF CHARACTER, YOUR MEN OF INTEGRITY, AND I KNOW THAT YOU CAN STAND THAT THOSE ATTACKS BECAUSE YOU KNOW THE TRUTH, AND THAT'S WHO YOU ARE.
THIS WEEK, I WAS READING IN NEHEMIAH AND EZRA.
IT'S JUST AS I READ THROUGH THE BIBLE EACH YEAR, I THINK IT'S AMAZING THAT THAT'S THE TWO BOOKS THAT I'M READING THIS WEEK.
IT'S ABOUT TAKING ON BIG CHALLENGES.
CHALLENGES LIKE THIS FERMI PROJECT, WHEN EZRA WENT TO REBUILD THE TEMPLE, AND THERE WAS A LOT OF NOISE AND A LOT OF PEOPLE SAYING, IT CAN'T BE DONE.
WHEN NEHEMIAH GOT READY TO BUILD THE WALL, THEY SAID, YOU CAN'T DO IT, AND HE WAS ATTACKED FROM ALL SIDES.
BUT HE SAID, YOU KNOW WHAT? I'VE GOT A MIND TO WORK.
I'VE GOT A MIND TO DO THE WILL OF GOD.
IN 52 DAYS, THEY BUILT THE WALL.
THAT'S THE SPEED THAT THIS COMPANY IS USING BECAUSE WE'RE IN A WAR.
I MEAN, WHETHER YOU LIKE IT OR NOT, IT'S A WAR, AND SPEED IS EVERYTHING IN THIS WAR.
WE'VE GOT TO BEAT OUR ADVERSARIES, WHOEVER THEY ARE ON THE WORLD STAGE.
WE'VE GOT TO BEAT THEM, AND IT'S GOT TO BE DONE FAST.
THAT'S WHY SOMETIMES THIS PROJECT SEEMS LIKE IT'S BEEN RUSHED.
BUT THERE'S BEEN MUCH DIALOGUE BETWEEN CITY STAFF AND FERMI AND WORKING TO THIS PART.
THERE'S NO AGREEMENT AT THIS TIME BETWEEN FERMI AND THE CITY OF AMARILLO.
I KNOW YOU'RE GOING TO ADDRESS THE LETTER OF INTENT LATER, BUT THAT'S A LETTER OF INTENT.
AS WE MOVE THROUGH THAT, THAT'S ONE OF THOSE BOXES ON THE WALL THAT'S TRYING TO KNOCK THE WALL DOWN.
BUT THIS IS A WALL WE GOT TO BUILD.
WHEN COMMISSIONER ROBERT KEYS AND I WERE ON THE CITY COUNCIL TOGETHER, BELL HELICOPTER WANTED TO COME TO AMARILLO.
TODAY, WE LOOK BACK AND THINK, THEY'RE THE MOST WONDERFUL CORPORATE CITIZEN THAT WE HAVE.
SONIA CLARK, SAT LEADERS RIGHT HERE.
THEY ARE AN INCREDIBLE CITIZEN.
THEY HAVE BEEN INSTRUMENTAL IN US WINNING THE WAR IN THE MIDDLE EAST, THROUGH THE TERRORIST WARS, SUPPORTING OUR MILITARY.
BUT I WANT TO TELL YOU WHEN WE BROUGHT THE CONTRACT FOR BELL TO COME, THERE WAS SO MANY NAYSAYERS.
THEY SAID, THEY'VE BEEN HERE BEFORE, AND THEY LEFT AFTER THE VIETNAM WAR.
WHY WOULD WE BRING THEM BACK? WE WENT THROUGH ALL THOSE NAYSAYERS, KNOWING THAT WE NEEDED TO BUILD THE WALL, THAT THIS WAS AN IMPORTANT PROJECT FOR AMARILLO, TEXAS.
THEN WE HAD THE DISASTER OF THE TESTING OF THEIR V-22 WHEN THE PRECIOUS LIVES WERE LOST TO THE MARINES THAT WERE ON THAT V-22, AND THEN EVERYONE WANTED TO CAPITULATE AND TO GIVE UP THE FIGHT.
WE DIDN'T. EVEN THOUGH AT THAT TIME, IT WAS NOT POPULAR, IT WAS UNPOPULAR.
BUT WE KNEW THAT IN THE END, AMERICA NEEDED THE V-22, OUR ARMED SERVICES, ALL FOUR OF THEM WERE ASKING FOR IT.
WE WERE ABLE TO DELIVER AS A COMMUNITY, AND NOW LOOK WHAT WE HAVE WITH THE V-22 AND BELL HELICOPTER.
I JUST SAY THAT AS A POINT OF REFERENCE, HOW THINGS CAN CHANGE.
I WAS GOING TO GIVE A LITTLE BIT OF HISTORY, BUT I KNOW BREVITY IS APPRECIATED, AND THIS MEETING HAS ALREADY GONE A LONG TIME.
THIS IS THE LONGEST CITY COUNCILMAN MEETING I'VE EVER BEEN IN MY LIFE.
OUT OF 500, THIS ONE IS A NUMBER 1, THE LONGEST.
THANK YOU, MAYOR. WHO IS FERMI? I'VE BEEN ASKED THAT. IS THIS A FRENCH COMPANY? WHO ARE THEY? ENRICO FERMI WAS THE INVENTOR OF THE NUCLEAR REACTOR IN 1942, WHICH, BECAUSE OF HIS SCIENTIFIC DISCOVERIES HELPED US IN THE MANHATTAN PROJECT AND HELPED US TO SAVE 1 MILLION LIVES IN WORLD WAR 2 WHEN OUR COUNTRY DROPPED THE BOMB ON HIROSHIMA AND NAGASAKI.
[03:25:02]
THAT'S AN HONOR TO HIM.BUT WHO IS FERMI? I'M GOING TO INTRODUCE OUR FERMI TEAM.
THIS IS MISSU OUSMANE, HIS WIFE, SISSON, THE FOREMOST NUCLEAR EXPERTS IN THE WORLD.
THEY HAVE JUST BUILT THE LAST NUCLEAR REACTOR IN THE WORLD IN ABU DHABI.
THEY'VE WORKED IN CHINA, AND THEY'RE GOING TO BE HERE TO ANSWER QUESTIONS FOR YOU.
WE HAD THE CHANCELLOR OF TEXAS TECH HERE TO ANSWER QUESTIONS ABOUT TEXAS TECH.
I DON'T THINK HE REALIZED HOW LONG THE MEDIA WAS GOING TO BE AND HE HAD OTHER MEETINGS THAT HE HAD TO GO TO.
BUT HE WAS HERE IN ATTENDANCE TO ANSWER THOSE QUESTIONS.
THESE GUYS WHEN THEY MOVE AT HYPER SPEED, I'M TELLING YOU THEY ARE VISIONARIES AND THEY'RE MOVING.
BECAUSE OF THAT, FERMI HAS MADE SOME MISTAKES.
WE'RE MOVING THROUGH, GOING FAST, KNOWING THERE'S A MISSION, AND THERE NEEDED TO HAVE BEEN SOME TIME THAT WE COULD TALK.
THAT'S WHAT WE'RE DOING TODAY.
WE'RE CATCHING EVERYBODY UP TO SPEED, NOT TRYING TO HOWEVER LONG WE NEED TO STAY, WHATEVER QUESTIONS YOU WANT TO ASK, THEY ARE HERE TO ASK THE QUESTIONS AND FULL TRANSPARENCY, WHATEVER YOU WANT TO ASK, WE'RE HERE TO ANSWER THOSE QUESTIONS FOR EVERYONE.
HOPEFULLY, THE PEOPLE THAT WERE ASKING THE QUESTIONS ARE WATCHING ON TV AT THIS TIME.
BUT THAT'S WHAT WE'RE HERE TO DO TODAY.
SOME OF THE QUESTIONS WILL BE ANSWERED BY CITY STAFF WHO KNOWS OUR WATER SITUATION BETTER THAN ANYBODY.
DONNIE. I'VE SAT IN MEETINGS WITH DONNIE AND JERRY.
GRAYSON KNOWS IT. ANDREW KNOWS IT.
WE'RE GOING TO ASK THOSE FOLKS.
WE'VE GOT FOLKS FROM PARK HILL, COLE AND ZANE.
THEY'RE HERE TO ANSWER WATER QUESTIONS.
THERE ARE RUMORS AND THERE ARE FACTS.
WE HAVE PEOPLE THAT HAVE THE FACTS.
ANYONE CAN MAKE UP A RUMOR, BUT WE'RE GOING TO BACK IT UP WITH DATA TODAY.
DATA IS ALL THAT MATTERS IN THIS DECISION. YOU'VE GOT TO HAVE DATA.
WE CAN'T MAKE THE DECISION BASED ON EMOTION.
THIS IS A DATA DRIVEN DECISION.
WHAT'S HAPPENING HERE FOR EVERYBODY THAT'S NOT PART OF THIS GROUP? BECAUSE ALL KNOW FERMI IS BUILDING A MALL.
THEY'RE BUILDING THEIR OWN POWER GENERATION.
THEY'RE NOT TAKING POWER OFF THE GRID LIKE SO MANY PEOPLE SAID TODAY, THAT THEY'RE GOING TO ROB OUR POWER, IT'S GOING TO GO UP.
THEY'RE GOING TO USE A MINUTE AMOUNT OF POWER IN THE BEGINNING TO GET THINGS STARTED TO BUILD THE PROJECT, BUT THEN IT WILL BE SELF GENERATION ENOUGH POWER TO POWER FOUR DALLAS TEXAS.
WE'RE TALKING ABOUT THE EPICENTER OF POWER GENERATION, AND THAT'S HOW YOU WIN THE AI WAR IS WITH POWER GENERATION.
I'M HIRED TO HELP YOU AND TO HELP THEM AND TO BRING OUR COMMUNITIES TOGETHER WHERE MISTAKES HAVE BEEN MADE, AND MAYBE WE DIDN'T GET THE INFORMATION OUT.
TODAY, WE WANT TO GET THIS INFORMATION OUT.
THE PART OF THE REASON WAS JUST THE ULTIMATE STORM.
THEY HIRED ME TO COME ON AS A COMMUNICATOR.
DID ONE INTERVIEW, AND THEN WE WERE SHUT DOWN.
I COULDN'T SAY ANYTHING BECAUSE WE WERE IN AN IPO AND A SILENT PERIOD.
I DON'T WANT TO GET IN TROUBLE, SO I DIDN'T SAY ANYTHING.
WE CAME OUT OF THAT. SINCE THAT TIME LAST WEEK, I HAD MET WITH A GROUP OF BIKERS SUNDAY AFTERNOON, 60 BIKERS.
LET THEM ASK ME QUESTIONS FOR A LONG TIME, ANSWERED THEIR QUESTIONS. THEY WERE COMFORTABLE.
I'VE BEEN ON MICHAEL J STEVENS SHOW, HAD INTERVIEWS WITH THE TRIBUNE.
WE'RE HERE TODAY TOMORROW, I'M DOING A MEETING WITH THE GOVERNMENT COUNSEL TO EXPLAIN THIS TO THEM OF THE CHAMBER.
THE NEXT DAY, I'M DOING A MEETING WITH 300 GUESTS FROM ALL OUR COUNTIES.
I'M WE'RE GETTING THE INFORMATION OUT.
IT'S JUST GOING TO TAKE A MINUTE.
I'M THE ONLY PERSON IN AMARILLO, TEXAS, WHEN SOMEBODY WANTS TO SELL FERMI BUSINESS CARDS, THEY'RE CALLING MY CELL PHONE.
WHEN THEY WANT TO SELL A HOUSE TO A FERMI EMPLOYEE, THEY'RE CALLING MY CELL PHONE.
I'M GOING FROM EARLY IN THE MORNING TILL LATE.
WE JUST WENT IN THE VIDEO. I'M NOT GOING TO GO OVER WHY HERE BECAUSE THE VIDEO EXPLAINED IT.
[03:30:02]
BUT THE REAL BIG ONE IS WHY? WE'RE GOING TO WIN THE POWER WAR.AMERICA'S GOT TO WIN THE POWER WAR.
WE DON'T HAVE A CHOICE, AND WE'VE GOT A SHORT TIME TO DO IT.
IN THE FUTURE, IT'S ABOUT OUR KIDS.
NOT HAVE TO GO SOMEWHERE TO DALLAS FORT WORTH TO JOIN THE METROPLEX.
THEY CAN COME OUT OF SCHOOL HERE AND BECOME CITIZENS OF THIS COMMUNITY AND PRODUCTIVE CITIZENS AND WORK IN A FIELD THAT'S GOING TO BE THE NEWEST FIELD AND A HIGHLY LUCRATIVE FIELD FOR THEM.
THIS IS ABOUT THE FUTURE OF OUR COMMUNITY.
WHAT'S FERMI ASKING FOR? WE'RE NOT ASKING FOR ANY MONEY FROM THE AEDC.
THEY ARE NOT ASKING FOR A PENNY.
NORMALLY, THE AEDC WOULD PAY $100 MILLION EASY FOR THIS MANY JOBS.
FERMI IS NOT ASKING FOR AEDC MONEY.
THEY'RE NOT ASKING FOR THE CITY TO PAY FOR INFRASTRUCTURE.
THEY'RE GOING TO PAY FOR THE INFRASTRUCTURE THEMSELVES.
THEY'RE ASKING TO PAY TWICE WHAT THE RATE IS THAT THE CITIZENS OF AMARILLO PAY FOR WATER.
THIS IS GOING TO BE A HUGE ECONOMIC WIN FOR THE CITY BECAUSE THAT WILL BE MONEY THAT CAN BE USED FOR PROJECTS, AND I KNOW THERE'S A DREAM LIST AND YOU JUST GET TO DREAM BECAUSE THERE'S GOING TO BE A LOT OF MONEY IF THIS GOES THROUGH IN THIS CONTRACT.
HOW MUCH IS 2.5 MILLION GALLONS OF WATER? TYSON USES FIVE MILLION GALLONS A DAY.
FERMI'S ASKING FOR HALF OF THAT WHAT TYSON USES.
I COULD GO INTO CORN PRODUCTION, BUT THERE'S 3,125 PIVOTS OF PRODUCTION IN THE PANHANDLE OF TEXAS.
THIRTY ONE HUNDRED AND TWENTY FIVE THE MOST THAT FERMI WILL EVER NEED IS 11 PIVOTS.
IT'S NOT EVEN A TENTH OF A PERCENT.
FROM THE WHOLE PANHANDLE, NOT FROM AMARILLO.
AMARILLO TODAY, THEY'RE ASKING FOR ONE OR TWO PIVOTS OUT OF 3,125 PIVOTS.
THEY ARE NOT GOING TO DRAIN THE OGALLALA AQUIFER.
WHEN COMMISSIONER KEYS AND I WERE ON THE CITY COUNCIL, WE BOUGHT 300 YEAR SUPPLY OF WATER.
NOW YOU'RE GOING TO BE ABLE TO TAKE THAT SUPPLY OF WATER THAT COMMISSIONER KEYS AND I PURCHASED, AND YOU'RE GOING TO BE ABLE TO SELL IT TO FERMI AT A 600% RETURN ANNUALLY FROM WHAT WE PAID, THE CITY OF AMARILLO IS GOING TO GET A 600% RETURN.
I DON'T KNOW OF ANY OTHER STOCK OR ANYTHING THAT YOU CAN MAKE THAT RETURN.
WE'RE BEHIND THE BALL, AND I'M TRYING TO CATCH UP.
I WANT YOU TO ASK THESE QUESTIONS, BUT I NEEDED TO TEE THIS UP FOR YOU. I WANT TO THANK YOU.
THIS IS A NEED AND IT'S A NEED TO GO FAST BECAUSE THIS PROJECT EVERYBODY IS WAITING AND THERE'S CONSTRUCTION WORKERS, AND Y'ALL KNOW THIS.
THE MAYOR, YOU KNOW THIS BETTER THAN ANYBODY. WE'RE COMING INTO WINTER.
WHEN YOU START TRYING TO DO CONCRETE WORK AND THE STUFF YOU'VE GOT TO DO GOING INTO WINTER, YOU NEED TO GET ON IT AS FAST AS POSSIBLE. HERE'S THE OTHER THING.
I WANT YOU TO HAVE MY CELL PHONE, AND I WANT EVERYBODY ELSE, ALL THE PEOPLE THAT WE'RE HERE TODAY ASKING QUESTIONS.
I WANT YOU TO HAVE MY CELL PHONE NUMBER.
IS FERMI AVAILABLE? 806-674-6688.
>> NO ONE'S RUNNING, NO ONE'S TRYING TO PULL THE WOOL OVER ANYBODY'S EYES. FERMI IS HERE.
THEY'VE ASKED ME TO HELP THEM WITH THAT AS A CONTRACTOR FOR THEM, AND SO I WILL RETURN ALL MY PHONE CALLS BEFORE THE END OF THE DAY.
IT MAY BE 12:00 WHEN YOU GET YOUR PHONE CALL, BUT I'M RETURN THEM.
WITH THAT, IT'S ALL UP TO YOU GUYS TO ASK QUESTIONS IF YOU NEED ME TO MODERATE, LET ME KNOW, BUT IF NOT, I'LL SIT DOWN AND LET THE EXPERTS TALK. THANK YOU.
>> MR. NAGABAUER, WOULD YOU MIND STEPPING UP TO THE MICROPHONE, SIR? I THINK IT'S VERY FITTING TO HEAR FROM YOU, IF YOU DON'T MIND.
>> SURE. MY NAME IS TOBY NEUGEBAUER, AND I AM FROM DOWN THE ROAD.
MY FAMILY HAS BEEN FARMING OFF THE OGALLALA AQUIFER SINCE ABOUT 1900,1910.
MY FATHER HAS BEEN ONE OF THE PRIMARY STEWARDS AS THE CONGRESSMAN FOR THE AQUIFER FOR THE LAST 15-20 YEARS.
[03:35:02]
I GREW UP COMING TO AMARILLO, GETTING MY BUTT BEAT BY ALEX O'BRIEN ALL THE TIME.MY DOUBLES PARTNER LIVED HERE.
TO ME, THIS IS A PROJECT OF LOVE FOR THIS PART OF THE WORLD.
MY BEST FRIENDS YOU THINK ABOUT THIS.
THIS IS THE OLD FRIDAY NIGHT LIGHTS HIGH SCHOOL FOOTBALL DISTRICT, AND ALL MY BUDDIES STILL LIVE IN THE FRIDAY NIGHT LIGHTS HIGH SCHOOL FOOTBALL DISTRICT.
IT'S REALLY AN EXTRAORDINARY PLACE.
WHEN YOU THINK ABOUT ODESSA AND MIDLAND, THEY JUST ADDED 13 MILLION BARRELS OF OIL A DAY, CHANGED THE WORLD THIS FRIDAY NIGHT LIVE.
FOOTBALL DISTRICT ADDED 75 TRILLION CUBIC FEET OF GAS RESERVES.
Y'ALL BEEN THE BASELINE HEAT FOR THE UNITED STATES FOR THE LAST 70 YEARS, YOUR HUGOON BASIN.
BECAUSE ALL HAD THE HUGUDON, ALL OF THE BIG GAS PIPELINES FROM THE OTHER BASINS WOULD COME AND AGGREGATE HERE IN AMARILLO, TEXAS, AND Y'ALL HAVE AN EXTRAORDINARY SITUATION.
Y'ALL CAN BE THE EPICENTER OF THE GLOBAL CREATION OF ARTIFICIAL INTELLIGENCE.
THE REST OF US AT FERMI ARE DUMB ELECTRONS GUYS.
WHAT WE'RE GOING TO DO IS MANUFACTURE A BUNCH OF DUMB ELECTRONS WITH THE PEOPLE, THE RESOURCES THAT WE HAVE, AND THEN WE'RE GOING TO CREATE THE HIGHEST VALUED GOOD ON PLANET EARTH, AND THAT'S A UNIT OF AI COMPUTE.
EVERY ONE OF OUR LEADERSHIP IS FROM AROUND HERE.
I MEAN, YOU KNOW THE GOVERNOR IS FROM PAIN CREEK, NOT 90 MILES FROM HERE.
ZANE AT PARK HILL HAS BEEN DEVELOPING THE WATER INFRASTRUCTURE FOR THE PANHANDLE FOR THE LAST 50 YEARS.
IT LOOKS LIKE WE LOST DR. RAINWATER, WHO IS THE FOREMOST EXPERT ON THE AQUIFERS, DR. RAINWATER.
OH, THERE YOU ARE. I DIDN'T HAVE SEEN YOU DID.
DOCTOR RAINWATER. YES, I GOOD TO SEE YOU.
WE IMMEDIATELY WENT OUT AND GOT THE WORLD'S FOREMOST EXPERTS.
WHAT I'D LIKE TO DO IS HAVE OUR TEAM ANSWER YOUR QUESTIONS.
BUT THE ABUSE OF THE AQUIFER IT'S JUST NOT TRUE.
WHAT WE'RE TRYING TO DO IS HELP THE PEOPLE OF THE PANHANDLE HARNESS THIS DISTRICT 35A RESOURCE THAT BEGINS WITH OUR NATURAL GAS AND OIL.
PRIMARILY THE GAS FROM THE SOUTHERN PART OF OLD DISTRICT 35A, THE PEOPLE THAT THEY'RE GOING TO NEED TO MOVE AS WE'VE DEVELOPED THE RESOURCE OUT IN THE SOUTHERN PART OF OUR OLD HIGH SCHOOL FOOTBALL DISTRICT, YOUR NATURAL GAS PIPELINES, AND YOU SPRINKLE IT WITH A LITTLE WATER AND THE NUCLEAR INDUSTRY THAT ALREADY EXIST IN AMARILLO, AND YOU HAVE SOMETHING THAT REALLY IS GOING TO BE EXTRAORDINARY.
MY WIFE AND I WILL BE LIVING HERE.
MY BROTHER IN LAW IS YAS WEATHERMAN.
NO ONE HAS HEARD MORE ABOUT YOUR PRECIPITATION, FOR THE LAST 20 YEARS THAN ME, EVERY WEATHER STATION IN AMARILLO WAS INSTALLED, MY BROTHER IN LAW, THE SANDYS ARE PLAYING IN DISTRICT, AND THAT'S WHY HE STOOD ME UP.
BUT MY WIFE AND HER SISTER ARE GOING TO BE INTEGRALLY INVOLVED IN THE COMMUNITY.
WE'RE FROM AROUND. I MEAN, HERE.
WHEN THEY WERE DESCRIBING THESE EVIL PEOPLE, COUNCIL, I WAS LIKE, I'M FROM HERE, TOO, AND WE'RE NOT GOING ANYWHERE.
WE DID MESS UP, AND I THINK IT WAS A CONFLUENCE OF CAPTURING SOME OPPORTUNITIES THAT WE SAW IN FOUR AMARILLO THAT WERE IMMEDIATE.
THE COMBINATION OF THE QUIET PERIOD.
I OWE Y'ALL IN THIS COMMUNITY, AN APOLOGY BECAUSE THE BUCK STOPS WITH ME, AND WE DID.
YOU'LL BE TIRED OF US BEFORE IT'S OVER WITH, BECAUSE WE DO ACKNOWLEDGE THAT.
WITH THAT, I'LL OPEN IT UP FOR QUESTIONS.
WE'LL OBVIOUSLY HAVE OUR EXPERTS BOTH IN WATER AND NUCLEAR.
WE DEFINITELY WANT TO DISPEL SOME OF THOSE MYTHS.
WITH THAT, MAYOR, I'LL OPEN IT UP TO YOU.
>> THANK YOU, MR. NAGABAUER, I'D LOVE TO START WITH MAYBE SOME QUESTIONS FOR YOU, AND THEN DR. RAINWATER, WOULD BE GREAT IF WE COULD TRANSITION OVER TO THE WATER.
AND THEN WE'D LOVE TO COME BACK MAYBE MORE ON THE NUCLEAR SIDE WITH MISS.
TRENT AND I, I'VE TALKED QUITE A BIT, AND I THINK THE BIGGEST THING WAS, I APPRECIATE YOU OWNING THE FACT THAT THIS WAS A BLUNDER, AND IT WAS TIMING WISE.
WE GET IT. BUT THE PUBLIC DIDN'T GET TO SEE THAT.
[03:40:02]
THEY DIDN'T UNDERSTAND IT. YOU'RE A PRIVATE COMPANY.THEY'RE THINKING, WHY ARE THEY PUSHING DIRT? RIGHT AS SOON AS THEY MADE THE ANNOUNCEMENT, YOU'RE A PRIVATE COMPANY.
YOU DON'T HAVE TO DISCLOSE, LIKE WE DO.
LIKE, YOU DIDN'T HAVE TO TALK TO US ABOUT PUSHING DIRT.
I MEAN, YOU'RE LEARNING, IT'S A DIFFERENT WORLD.
BUT, WE APPRECIATE YOU MAKING THE EFFORT.
I'VE TOLD MANY CITIZENS THAT, I'M GOING TO DEMAND TOWN HALLS THAT ALL GIVE.
YOU SAID, I APPRECIATE YOU SAYING, YOU'RE GOING TO BE SICK OF US, THAT'S GREAT, BECAUSE YOU'RE FROM HERE, YOU KNOW HOW WE ARE.
>> MY FATHER SERVED IN THE SAME ROLE IN LUBBOCK AS THE CITY COUNCILMAN FOR A LONG TIME.
>> YOU GET IT. OUR JOB IS TO BE THE VOICE, BE THEIR REPRESENTATIVE, AND WHEN THEY'RE UNCOMFORTABLE, WE'VE GOT TO EXERCISE OUR DUE DILIGENCE AND, YOU'RE THERE UNCOMFORTABLE.
BECAUSE OF THE QUIET PERIOD, MAN, IT LOOKS SHADY.
IT LOOKED TERRIBLE. WE'VE GOT FERMI COMING IN HERE.
NOBODY KNOWS ANYTHING. YOU WANT TO TAKE OUR WATER.
Y'ALL GOT TO KEEP YOUR MOUTH SHUT. CAN'T SAY A WORD.
>> I MEAN, I'M LAUGHING, BUT NOT LAUGHING.
I JUST WANT TO START OFF WITH THAT SAYING, I APPRECIATE YOU OWNING THE FACT THAT THIS WAS NOT DONE WELL, BUT MOVING FORWARD, YOU'RE WILLING TO OVER COMMUNICATE.
>> I SAID, MY WIFE AND I ARE BUYING A HOME HERE IN AMARILLO.
YOU'LL EXPECT TO SEE US HERE AT LEAST MONDAY AND TUESDAYS OF MOST WEEKS.
TEXAS TECH ENTRUSTED US WITH AN INCREDIBLE ASSET.
Y'ALL ARE ENTRUSTING US WITH YOUR ASSETS.
THIS IS PLAYING YOUR HOMETOWN HOMECOMING FROM A PROFESSIONAL STANDPOINT, AND WE INTEND TO WIN AND SERVE EVERYBODY AND HAVING A SUCCESSFUL HOMECOMING.
>> WELL, THANK AGAIN, JUST THANK YOU FOR OWNING THAT AND BEING WILLING TO CHANGE AND BE TRANSPARENT WHEN IT'S TOUGH FOR A PRIVATE COMPANY TO COME OUT AND HAVE TO DO THAT. THANK YOU.
>> A COUPLE OF MARKS, I'D LIKE TO SAY AND THEN I'M GLAD YOU'RE HERE FIRST BECAUSE I THINK I WANT TO GO BACK TO THE BEGINNING OF ALL THIS.
BUT ONE THING I HAVE DETERMINED ALL THIS IS OUR WATER IS GOLD.
IT HAS A HIGH VALUE, AND GOLD IS SELLING AT A HIGH PRICE.
I THINK THAT'S A KEY THING I'VE DISCOVERED, AND WE'RE LUCKY IN AMARILLO THAT WE HAVE ACCESS TO A LOT OF IT.
I THINK THAT'S A GOOD STRENGTH FOR OUR COMMUNITY.
I JUST WANT TO LET THE PUBLIC I DON'T THINK WE CAN REINFORCE THIS ENOUGH.
NO WATER AGREEMENT HAS BEEN MADE, NOR SHOULD ANY WATER AGREEMENT BE MADE WITHOUT FULL DISCLOSURE, PUBLIC INPUT, AND A CLEAR UNDERSTANDING OF WHAT THIS MEANS FOR AMARILLO'S LONG TERM FUTURE.
I THINK WE'RE STARTING THAT PROCESS TODAY.
I THINK I'M LOOKING FORWARD BECAUSE I THINK WE'LL MAKE GOOD PROGRESS.
NOT SURE I SEE A PATH TO ACCOMPLISHING EVERYTHING THAT SUCH AN IMPORTANT DECISION NEEDS TO BE MADE IN ONE MEETING, BUT I'M LOOKING FORWARD TO THIS.
I DO THINK FERMI OFFERS TREMENDOUS OPPORTUNITIES FOR OUR AREA.
BUT BECAUSE THEIR SUCCESS DEPENDS ON RESOURCES OWNED BY TAXPAYERS AND RATEPAYERS, WE'VE GOT TO HOLD THIS PROCESS TO THE HIGHEST STANDARD OF TRANSPARENCY.
THAT'S WHAT OUR JOB IS AS COUNCIL MEMBERS, AND I'M CONFIDENT THAT WE'LL SEE THAT HERE TODAY.
I WILL SAY, I APPRECIATE FERMI CHOOSING TO BE HERE FOR PUBLIC DISCUSSION AND TRANSPARENCY BECAUSE AS EVEN BEFORE ANY AGREEMENT HAS EVER MADE? THAT'S NOT COMMON IN DATA CENTERS AND AIS.
WHAT I'VE DETERMINED FOUND OUT IS A LOT OF THIS HAS BEEN DONE BEHIND AND THAT THE DATA CENTERS AND AI ORGANIZERS REQUIRE NON DISCLOSURES UNTIL THE AGREEMENT IS REACHED.
THIS IS A LITTLE BIT OF EXCEPTION OF HOW IT'S BEEN DONE ELSEWHERE, AND I'M APPRECIATIVE OF THE WILLINGNESS TO BE ABLE TO DO THAT.
A COUPLE OF QUESTIONS I'D LIKE TO ASK JUST AS A BACKGROUND.
I ASSUME THAT OUR COMMUNITY NEEDS TO GET CAUGHT UP TO WHERE WE ARE, AS I DO.
CAN YOU JUST SHARE A BRIEF HISTORY FERMI AMERICA.
HOW WAS IT FOUNDED WHO FOUNDED AT WHEN DID THIS OCCUR?
>> FERMI AMERICA WAS FOUNDED BY GOVERNOR PERRY, HIS SON GRIFFIN, AND MYSELF ABOUT A YEAR AGO.
IT WAS IN RESPONSE TO ANOTHER PROJECT IN THE OLD DISTRICT 35A, AND THAT IS THE STARGATE PROJECT IN ABILENE, TEXAS.
AS THAT PROJECT WAS BEING HELD OUT AS THE KEY TO US WINNING THE AI RACE, I HAD, AND THE GOVERNOR HAD SIGNIFICANT CONCERNS, EVEN THOUGH THE GOVERNOR'S MOTHER STILL LIVES IN ABILENE.
[03:45:03]
GRIFFIN WAS BORN IN ABILENE.WE'RE ALL MY RANCH IS CLOSE TO ABILENE.
MY DAD WAS THE CONGRESSMAN THERE FOR AN EXTENDED PERIOD OF TIME.
IT IS MISSING SOME OF THE CRITICAL INGREDIENTS, MAINLY, THIS LARGE NATURAL GAS INFRASTRUCTURE TO BE ABLE TO GENERATE THAT AMOUNT OF POWER THAT WE FELT LIKE THAT WE NEEDED TO ACT URGENTLY AND WENT TO THE REGENTS AT TEXAS TECH, EXPLAINING THE COMBINATION OF THE SUPPLY OF NATURAL GAS IN THE FRIDAY NIGHT LIGHTS FOOTBALL DISTRICT.
YOU HAVE THE GAS, YOU HAVE THE GAS PIPELINES, AND THEN YOU HAVE PANTEX.
IF YOU CANNOT RESTART AMERICAN CIVILIAN NUCLEAR POWER AT PANTEX, THEN WE ALREADY LOST.
IT'S THE FASTEST PLACE TO KICK THIS OFF.
WE WENT TO THE REGENTS AT TEXAS TECH, ALL OF WHOM ARE VERY SO YOU'VE GOT VISTRA BOARD MEMBERS, SOME OF THE TOP NATURAL GAS, PIPELINE CEOS, Y'ALLS, LEGENDARY, CODY CAMPBELL IS THE CHAIRMAN THERE, YOUR FAMOUS FOOTBALL PLAYER FROM THIS REGION.
ALL QUICKLY REALIZED THAT AMARILLO, WE'RE NOT TALKING ABOUT COUNCILMAN SIMPSON A DATA CENTER.
WE'RE TALKING ABOUT AN EPICENTER.
WE'RE NOT TALKING ABOUT A DATA CENTER.
DATA CENTERS TO ME ARE FRINGE VULTURE PLAYS ON THE ELECTRICAL GRID.
WHAT WE'RE TALKING ABOUT, AND WHAT WE FELT LIKE WAS URGENT, GOVERNOR PERRY AND GRIFFIN AND I WAS WE NEEDED TO CREATE A NEW EPICENTER FOR AI DEVELOPMENT IN THE COUNTRY.
WE ENTERED INTO A LETTER OF INTENT WITH TECH IN JANUARY AND, HAVE BEEN WORKING AGGRESSIVELY WITH MULTIPLE STAKEHOLDERS, AS HANDING OVER A SITE OF SUCH SIGNIFICANT NATIONAL SECURITY INVOLVED MULTIPLE GOVERNMENT AGENCIES, ETC.
>> WHO ARE THE PRINCIPAL INVESTORS OF OWNERSHIP GROUP BEHIND FOR ME?
>> YES. WHAT YOU WOULD NORMALLY THINK OF THEM, THE ORIGINAL ONES WERE YOU WOULD THINK OF TRADITIONAL OIL AND GAS ENTREPRENEURS LIKE YOU FIND IN OUR OLD DISTRICT 35A.
CONGRESS, I MEAN, COUNCILMAN SIMPSON, THAT WOULD BEEN WHAT YOU CALLED THE EARLY ROUND INVESTORS WOULD BE THE ENERGY ENTREPRENEURS IN THE STATE.
TODAY, AS YOU ALL KNOW, FERMIS IN BACKED BY SOME OF THE LARGEST INSTITUTIONAL INVESTORS ON PLANET EARTH.
FROM FIDELITY TO TIRO PRIZE TO AGAIN, SOME OF I MEAN, THE LARGEST INSTITUTIONAL INVESTORS.
MCCARY, WHICH IS ONE OF THE LARGEST INFRASTRUCTURE FUNDS IN THE WORLD, WAS ONE OF OUR EARLY BACKERS AS WELL.
AGAIN, WHEN YOU LOOK AT OUR TEAM EXPERIENCE DOING LARGE SCALE ENERGY PROJECTS, COUNCILMAN SIMPSON, NO ONE'S BUILT MORE LARGE SCALE ENERGY PROJECTS THAN THE INDIVIDUALS THAT WE ASSEMBLED HERE AT FERMI AMERICA.
>> WHAT DOES TEXAS TECH BENEFIT OUT OF THIS AGREEMENT?
>> YES. TEXAS TECH GETS A ROYALTY.
TEXAS TECH THINKS OF IT AS MAYBE THE UNFAIR THING IS ALL OF THE WEALTH FOR A&M, AND THE UNIVERSITY OF TEXAS COMES FROM THE OLD DISTRICT 35A, AND TEXAS TECH HAS NOT HISTORICALLY BENEFITED FROM THAT WEALTH.
THINK OF IT AS A ROYALTY BASED ON THE REVENUES AND VALUES OF WHAT WILL BE BUILT ON THE SITE.
BUT WHEN TEXAS TECH LOOKED AT IT, I CAN'T SPEAK FOR THEM, BUT WE'RE NOT TALKING $10 MILLION A YEAR FULLY BUILT OUT.
THIS IS A HUNDREDS OF MILLIONS OF DOLLAR A YEAR OPPORTUNITY.
IT'S A TRANSFORMATIONAL OPPORTUNITY FROM AN EDUCATION STANDPOINT FOR THE PANHANDLE OF TEXAS VIA THE ROYALTY PAYMENTS THAT WILL COME TO TEXAS TECH.
THEY'LL CALL IT THEIR PUFF FUND.
>> IT LOOKS LIKE THEY'RE GOING TO BE A PARTNERSHIP WITH YOU, I GUESS/.
EVEN I DIDN'T EVEN EXPECT THEM TO INVEST EQUITY IN THE COMPANY BECAUSE THEY ALREADY HAD SUCH AN ECONOMIC STAKE IN THE PROJECT.
THEY EVEN GOT SO EXCITED, THE REGENTS, AGAIN, THAT'S A PRETTY TOUGH REGENTS GROUP.
THOSE ARE NOT AMATEUR ENERGY PEOPLE.
THE ENDOWMENT ITSELF ALSO CHOSE TO INVEST.
WE DIDN'T SOLICIT IT, BUT IT WAS A VERY NICE AFFIRMATION AS THEY SAW US EXECUTING.
WHAT THEY SAW COUNCILMAN IS, EVERY TIME WE TOLD THEM WE WERE GOING TO DO SOMETHING, WE DID IT.
[03:50:04]
THAT'S WHY THEY DID IT. THEY CAME IN LATE.BUT WHAT GAVE THEM THE CONFIDENCE IS THEY HAD BEEN DEALING WITH US CLOSE TO A YEAR, AND EVERY TIME WE HAD TOLD THEM WE WOULD GET SOMETHING ACCOMPLISHED BY A VERY SPECIFIC DATE, EVEN THOSE DATES AND PROMISES WERE SO AUDACIOUS, WE DELIVERED.
>> TEXAS TECH HAS BENEFIT, AS YOU'RE SAYING, COULD BE HUNDREDS OF MILLIONS OF DOLLARS A YEAR?
>> WHAT'S THE CURRENT ESTIMATED TOTAL COST OF THE PROJECT?
>> CAN I BREAK IT UP INTO TWO THINGS? I TALK LOUD.
THE WAY TO THINK ABOUT IT IS THE EXTERIOR, WHAT FERMI IS BUILDING IS THE POWER GENERATION.
ALL OF BASICALLY BUILDING A PRIVATE UTILITY SO THAT WE DON'T TAKE YOUR POWER.
WE DON'T INCREASE YOUR ELECTRICAL RATES.
WE BUILD OUR OWN POWER, WE BUILD AN AI AND FERMI AMERICA WILL BUILD THE BUILDINGS, WHAT WE CALL THE POWER SHELLS.
SO WHEN YOU LOOK AT THAT NUMBER, COUNCILMAN, THAT NUMBER IS ABOUT $60 BILLION.
EACH ONE OF THESE BUILDINGS AT AN 11 GIGAWATT INVESTMENT.
WE'RE LOOKING AT AN ADDITIONAL $20-30 BILLION THAT HE'S REPLENISHED EVERY THREE OR FOUR YEARS.
OVER THE LIFETIME OF PROJECT, COUNCIL, THIS GIVES LITERALLY A 800 TO A TRILLION DOLLAR INVESTMENT OPPORTUNITY.
>> MR. NAGABAO, WE'RE GOING TO MIC YOU UP SO PEOPLE THAT ARE WATCHING ONLINE CAN HEAR YOU.
>> OUR PART OF IT IS 60 BILLION, WHAT WE'RE PROVIDING.
WHAT'S FUNNY IS EVERYONE KNOWS I'M FROM HERE BECAUSE I TALK ALL OVER THE WORLD, AND I SAY NUCLEAR JUST LIKE EVERYBODY IN DISTRICT 35A.
WHAT WE CALL THE INSIDES, NOT LIKE THEY DO IN SAN FRANCISCO, WE CALL THE INSIDE OF THE DATA CENTERS, INERTS.
THE INERTS INVESTMENT THAT WE'RE TALKING ABOUT HERE IS PROBABLY $600-800 BILLION.
NVIDIA, JUST ONE SHIP COMPANY SAID 700 BILLION, ONE OF THE MOST FAMOUS TECH PEOPLE OF ALL TIME SAID THAT IF THEY WANTED THE WHOLE CAMPUS, ABOUT 800 BILLION.
BUT OUR PART, WHAT YOU'RE LOOKING FOR US TO DELIVER IS 60 BILLION TO PROVIDE THE FOUNDATION FOR THE SUBSEQUENT INVESTMENT.
>> HOW MUCH FUNDING HAS BEEN RAISED AND HOW MUCH HAS YET TO BE RAISED?
>> THE WAY THE FUNDING WORKS IS WE HAVE RAISED JUST OVER $1.3 BILLION AND THEN AS WE GET A CUSTOMER, YOU ALL HAVE BEEN NOTIFIED WE ARE IN LETTER OF INTENT WITH A MAJOR US CORPORATION.
IN FACT, IT'S FOR THIS VERY SITE RIGHT HERE.
THE SENIOR EXECUTIVES ARE ACTUALLY IN TOWN WITHIN MINUTES OF HERE.
THEY'VE BEEN OUT AT THE SITE TODAY.
THAT INVESTMENT BY US, COUNCILMAN, WILL BE ABOUT 4-5 BILLION.
WHAT WE WILL DO TO GO FINANCE THAT IS WE'LL TAKE THE CONTRACT, THEY DON'T HAVE AS GOOD A CREDIT RATING AS YOU ALL DO BUT IT'S REALLY CLOSE, AND WE TAKE THEIR CONTRACT AND WE'RE IN NEW YORK TODAY TO SECURE ABOUT 5.2-5.5 BILLION FOR THE FIRST PHASE THAT, AS YOU CAN SEE, WE'VE ACTUALLY ALREADY STARTED CONSTRUCTION ON TODAY.
YOU WOULD BE LOOKING, COUNCILMAN, FOR ABOUT $5.5 BILLION OF INVESTMENT BY FERMI AMERICA, NOT INCLUDING THE INVESTMENT BY THE ULTIMATE COMPANY, BUT FERMI AMERICA IN AMARILLO IN 5 BILLION IN THE NEXT 365-550 DAYS.
WE HAVE TO DELIVER THEM A GIGAWATT BY DECEMBER 31ST, AND ALL TOLD THAT INVESTMENT WILL BE IN AROUND $5.5 BILLION.
WE ARE IN NEW YORK MEETING WITH THE BANKS TO DO A SECURITIZED FINANCING ASSOCIATED WITH, AGAIN, THEY'RE NOT AS GOOD A CREDIT RATING AS YOUR ALL AAA, BUT THEY'RE DEFINITELY IN THE NEIGHBORHOOD OF THAT DEAL.
WHAT'S GREAT ABOUT THIS PROJECT FOR YOU, COUNCILMEN,
[03:55:03]
IS THE PEOPLE THAT ARE GOING TO BE INVESTING IN HERE ARE THE LARGEST HIGHEST CASH-FLOWING, HIGHEST MARGIN, THE BIGGEST FUNNY ONE TODAY.I HEARD SOME GREAT CONCERNS, ESPECIALLY ABOUT OUR POOR COMMUNICATIONS, BUT THAT THIS ISN'T PROFITABLE.
THIS IS THE HIGHEST MARGIN BUSINESS ON PLANET EARTH, CREATING AI COMPUTE.
WE INTEND TO GRAB SOME OF THAT MARGIN AND BRING IT TO THIS COMMUNITY.
AGAIN, I'M ALL FOR CORN PRODUCTION.
I JUST THINK WE CAN TAKE SOME CORN PRODUCTION, TAKE A FEW MORE PIVOTS, AND AMARILLO CAN BE ALSO PRODUCING THE HIGHEST MARGIN, MOST VALUABLE GOOD ON THE PLANET TODAY, WHICH IS A UNIT OF AI COMPUTE.
>> STILL A LITTLE WAYS TO GET TO THE 60 BILLION, BUT YOU'RE MAKING [INAUDIBLE]
>> AS EVERYBODY'S BEEN SAYING, WE'VE BEEN MOVING FAST.
THE GOAL IS TO CLOSE THE PROJECT FINANCING AROUND DECEMBER 9TH.
AGAIN, WE'RE OUT IN THE MARKET TODAY.
MY CFO AND MY TEAM ARE IN NEW YORK TONIGHT.
IT'S A $5.2 BILLION PROJECT FINANCING.
THAT'S JUST AS FAST AS WE CAN MOVE.
>> WHAT INDIVIDUALS OR ENTITIES HAVE THE CONTROLLING INTERESTS IN FERMI AMERICA?
>> FERMI AMERICA IS A PUBLICLY TRADED COMPANY, AND SO IT IS RUN BY OUR BOARD.
WE ARE GIFTED TO HAVE A REALLY, REALLY TALENTED BOARD.
ONE OF OUR BOARD MEMBERS IS MARIUS HAAS, THE FORMER PRESIDENT OF DELL.
THE OTHER BOARD MEMBER IS LEE MCINTYRE, WHO, IF YOU GOOGLE HIM OR GROK HIM OR CHATGPT, THEY'RE ALL CUSTOMERS SO I DO NOT WANT TO LOOK LIKE I'M PREDISPOSED TO ONE, IS ONE OF THE TOP ENGINEERING AND CONSTRUCTION EXECUTIVES IN THE COUNTRY.
THEN ONE OF OUR BOARD MEMBERS IS ON THE BOARD OF HERSHEY.
AS A TECH GURU, ANNA BOFA IS A WOMAN THAT IS ONE OF THE TOP EXECUTIVES BOTH AT META, AND NOW IS DOING AN AI PARTNERSHIP AMAZON.
YOUR LARGE SHAREHOLDERS ARE THE LARGE INSTITUTIONAL INVESTORS.
OBVIOUSLY, THE PERRY FAMILY AND MY FAMILY ARE LARGE SHAREHOLDERS AS WELL.
>> WHO HAS THE CONTROLLING INTEREST?
>> NO ONE HAS A CONTROLLING INTEREST IN THE COMPANY AND BEING A PUBLICLY TRADED COMPANY AS A BOARD, NO FIVE SHAREHOLDERS CAN OWN MORE THAN 50%.
A CONTROLLING SHAREHOLDER STRUCTURE, I CAN APPRECIATE YOUR CONCERN, IT'S NOT LEGAL IN THE REACH STRUCTURE BY WHICH WE CHOSE.
WE ARE A PUBLICLY TRADED COMPANY RUN BY OUR BOARD.
NOT ONE PERSON CAN'T OWN 50, FIVE TOTAL PEOPLE CAN'T OWN MORE THAN 50%.
IT IS REALLY SET UP SO THAT IT'S RUN BY SOLID GOVERNANCE THAT YOU WOULD EXPECT FROM A PUBLICLY TRADED COMPANY.
>> DO YOU HAVE A QUESTION, COUNCILMAN?
>> CAN YOU JUST BRIEFLY RETOUCH ON THE 90,000 FOOT VIEW? WE HEAR MANHATTAN PROJECT.
CAN YOU TELL US, OR SOMEONE ON YOUR TEAM TELL US WHAT THAT TRULY MEANS? I HAVE A GRASP OF IT, BUT I THINK EVERYONE NEEDS TO UNDERSTAND IT.
I WISH GOVERNOR PERRY, HE WOULD HAD ANOTHER EVENT THIS EVENING, BUT I WILL CHANNEL HIM HERE.
CHINA HAS 22 NUCLEAR REACTORS UNDER CONSTRUCTION TONIGHT.
THEY ARE NOT BUILDING THOSE NUCLEAR REACTORS TO LOWER AIR CONDITIONING PRICES IN CHINA.
A MODERN SUPERPOWER HAS NUCLEAR POWERED-SUBMARINES, NUCLEAR-POWERED AIRCRAFT CARRIERS AND NUCLEAR-POWERED AI, AND WE DON'T HAVE ANYONE BUILDING THESE.
THESE REACTORS THAT WE HAVE UNDER PERMIT ARE WHAT THE CHINESE ARE BUILDING.
THE FERMI CITES THE ONLY FOUR APPLICATIONS BEFORE THE NUCLEAR REGULATORY COMMISSION TODAY.
AGAIN, CHINA'S BUILDING 22 NUCLEAR REACTORS NOT TO LOWER AIR CONDITIONING PRICES FOR THEIR PEOPLE IN CHINA.
[04:00:02]
IT'S AN OFFENSIVE MILITARY OBJECTIVE.HISTORICALLY, AS YOU ALL KNOW, THESE DATA CENTERS WERE 40 MEGAWATTS, 50 MEGAWATTS.
WHAT THEY'VE DETERMINED IS THE HIGHER THE CONCENTRATION OF CHIPS, THE SMARTER THE AI IS.
I'M NOT SMART ENOUGH TO UNDERSTAND WHY THAT IS, THAT'S PAST MY PAY GRADE.
WHAT HAPPENED IS WHEN WE SAW WHAT WAS GOING ON IN ABILENE, THEY DON'T HAVE WHAT YOU ALL HAD.
THINK ABOUT IT, ALL THE PIPELINES FROM THE ANADARKO BASIN, ALL THE PIPELINES FROM THE RATON, ALL THE PIPELINES FROM THE SAN JUAN.
THE PERMIAN AND WAHA GAS, BECAUSE YOU ALL WERE THE [INAUDIBLE] BASIN AND THE LARGEST BASIN, YOU ALL WERE THE STAGING POINT FOR LARGE SCALE DISTRIBUTION AND AGGREGATION OF NATURAL GAS.
THAT IS YOU ALL WONDERFUL GIFT.
THEN TO HAVE A COMMUNITY THAT'S GOT 4,600 NUCLEAR WORKERS ALREADY, A SITE ALREADY READY TO BE PERMITTED FOR NUCLEAR REACTORS, YOUR FIBER'S JUST AS GOOD AS YOUR GAS PIPELINE AND YOU GOT A COMMUNITY THAT'S PATRIOTIC AND WHERE IT'S STILL COOL TO BE A WELDER.
I WAS TELLING THE NEW YORK PEOPLE THAT AT THIS SITE, MY SONS MIGHT HAVE HAD A PRIVILEGED LIFE, NATE.
BUT THEIR CAR AT THE SITE WILL BE THE EXACT SAME CAR, THERE YOU ARE, SON, WILL BE THE EXACT SAME CAR AS EVERYBODY ELSE'S. IT'S A PICKUP.
BECAUSE THIS ETHOS IN DISTRICT 35A IS THE PLACE TO GO BUILD THIS.
OVER AND OVER PEOPLE ASK, WHERE ARE YOU GOING TO GET THE LABOR? WELL, WE KNOW THAT WHAT HAPPENED THAT WE FINISHED BUILDING OUT THE LION'S SHARE OF THE DELAWARE AND THE PERMIAN.
I KNOW THOSE ODESSA PERMIAN PEOPLE ARE GOING TO HAVE TO CHANGE UNIFORMS. THEY'RE GOING TO HAVE TO BE AT DICK BEVIN STADIUMS. THEY'LL ADJUST, BUT CULTURALLY, THEY'LL STILL BE IN THE SAME. I'M SORRY.
YOU CAN TELL I CAN GET EXCITED ABOUT THIS, AND THIS HAS ALREADY GONE LONG. SORRY, I APOLOGIZE.
>> ONE QUESTION I THINK THAT WAS RESOUNDING IN THE PUBLIC COMMENT WAS WATER.
I DON'T KNOW IF DR. RAINWATER WANTS TO JUMP IN ON SOME OF THIS? [LAUGHTER]
>> I WANT TO GET DR. RAINWATER, HE IS HERE.
WHAT I'M DEALING WITH IN WASHINGTON IS THE INVERSE AND I THINK DR. RAINWATER CAN TALK ABOUT THE AQUIFER.
I WANT TO TALK ABOUT THE USAGE OF THE GEN SETS.
BECAUSE I THINK THAT IS WHERE THERE IS A REALLY BIG MISUNDERSTANDING BOTH HERE IN AMARILLO AND BLUNTLY AT THE DEPARTMENT OF ENERGY.
WHAT'S FUNNY IS THESE SAME SLIDES, WE'RE USING THEM.
THEY'RE GETTING USED MULTIPLE TIMES ALL OVER THE PLACE.
NO, I WAS GOING TO GET THE SLIDE THAT SHOWS THE WATER EFFICIENCY. LET'S FLIP IT.
>> SORRY. THIS IS NATE AND I'S FIRST COUNCIL MEETING.
I BET IT IS NOT OUR LAST. LESSON LEARNED.
WHEN YOU LOOK AT THIS, WHAT HAS TRADITIONALLY BEEN ASSOCIATED, AND I THINK WAS ACCURATELY REPRESENTED, WAS THE WATER CONSUMPTION WHEN YOU USE COMPLETE WATER COOLING FOR THE REACTORS.
YOU CAN LOOK AT THE 22 MILLION GALLONS A DAY.
THAT'S A PRETTY DANG SCARY NUMBER.
I HAVE ZERO INTENTION OF DOING THAT.
JUST SO YOU ALL KNOW, WE CAN AIR COOL THESE TURBINES.
THE TECHNOLOGY YOU ALL HAVE BEEN ASSOCIATED WITH AIR COOLED TURBINES.
THEY'RE CALLED AIRLINE ENGINES, AND THEY'RE NOT BEING COOLED BY WATER IN THE AIR.
IN FACT, SOME OF THE DATA CENTERS WILL USE ACTUAL AIRLINE ENGINES TO POWER THEM.
WE'RE BUILDING A MORE INDUSTRIAL, BUT THE CONCEPT BEHIND IT IS THE SAME.
THE ONLY REASON YOU DON'T COMPLETELY AIR COOL EVERYTHING IS IT'S JUST ABOUT THE EFFICIENCY OF THE ENGINE.
WHEN YOU LOOK HERE, AND YOU LOOK AT THE 15% HYBRID COOLING SCENARIO, YOU LOOK AT, YOU DON'T REALLY GIVE UP, GO TO THE ANNUAL GENERATION PERCENTAGE, THAT MUCH EFFICIENCY ON THE ENGINES WITH
[04:05:05]
THESE NEW MODERN TURBINES THAN YOU DO WITH 100% FULLY WET COOLED ENGINES.AGAIN, DR. RAINWATER WILL TALK ABOUT THE RESERVOIR, BUT I THINK WHAT WE NEED TO TALK ABOUT BEFORE WE GET THERE IS EXACTLY WHAT WE'RE TALKING ABOUT.
THAT'S WHERE WE GET TO PRETTY MUCH, IT'S ABOUT A PIVOT A PIECE AND OUR EFFICIENCY.
FRANKLY, WE FAILED IN AMERICA'S NUCLEAR RACE.
IS THE REASON WE BROUGHT HE'S AN AMERICAN CITIZEN, BUT HE'S BEEN BUILDING IN CHINA.
HE'S BEEN BUILDING IN ABU DHABI, AND HE'S AWARE OF HOW IT'S BEING DONE BEST PRACTICE GLOBALLY, NOT FAILING.
THAT'S WHY WE WENT AND GOT THE PEOPLE WHO CAN DO THIS AND BROUGHT THEM HERE TO TEXAS.
GOT A TEXAS CELL PHONE NUMBER, AND THEY'VE GOT LOTS OF COWBOY HATS NOW.
THAT, I JUST WANT TO SET THE RECORD STRAIGHT IS, WE ARE GOING TO HYBRID COOL THESE, AND THE WATER NUMBERS THAT HAVE BEEN SHARED WITH, THOSE ARE HISTORICALLY ACCURATE NUMBERS THAT AREN'T RELATIVE TODAY.
>> MR. NAGABAO, LET ME ASK A QUESTION AND WE'LL JUMP RIGHT BACK OVER.
ELEVEN PIVOTS WOULD BE 27.5 MGDS.
I'M JUST LOOKING AT THE TOTAL ASK.
DOES YOUR NEED INVOLVE ALL POTABLE DRINKING WATER AT 27.5, OR ARE YOU ABLE TO MAKE THAT AS [OVERLAPPING] WASTEWATER TREATMENT AFFLUENT.
>> THE LARGEST NUCLEAR POWER PLANT IN AMERICA IS PALO VERDE.
>> IT'S IN THE MIDDLE OF THE DESERT. THAT IS A FLUID.
THIS CAN BE ABSOLUTELY POWERED WITH SALTWATER, A FLUENT.
THERE'S PLENTY OF PLACES TO GET WATER WITHOUT MAKING AN IMPACT TOWARDS THE COMMUNITY.
>> THERE'S SO MUCH MISCONCEPTION AND MISINFORMATION RIGHT NOW ON.
WE'RE HEARING THAT THIS IS GOING TO AFFECT THE AQUIFER IN NEBRASKA.
WE'RE GOING TO HEAR THAT THIS IS GOING TO AFFECT THE AQUIFER IN KANSAS.
IT'S VERY CHALLENGING FOR OUR CONSTITUENTS TO UNDERSTAND WHAT IS GOING ON WITH THE OGALLALA, ESPECIALLY IN CARSON COUNTY.
I THINK THAT SOME CRITICAL COMPONENTS THAT NEED TO BE DISCUSSED VERY QUICKLY AND VERY UNSCIENTIFICALLY IS WHAT IS RADIUS OF INFLUENCE.
WHAT IS THE TRANSMISSIVITY OF THIS PART OF THE AQUIFER? TRANSMISSIVITY BEING, HOW FAST IS THE WATER GOING TO MOVE OUT? WHAT ARE WE GOING TO SEE IN TERMS OF DRAWDOWN WITH 24-HOUR PUMPING, IF THAT'S GOING TO BE THE CASE? REALLY, WHAT IS THE AFFECTED RADIUS GOING TO BE? IS THIS GOING TO AFFECT ROBERTS COUNTY? I KNOW THE ANSWER TO THAT, BUT I WOULD LOVE TO HEAR DR. RAINWATER TELL US THESE ANSWERS.
>> GREAT QUESTIONS. DR. RAINWATER, HOLD ON JUST A QUICK SECOND HERE.
WE'VE BEEN PUSHING FOR 2.5 HOURS, MAYBE SINCE OUR LAST BREAK.
WHAT I WANT TO DO IS I WANT TO CATCH ANY FINAL QUESTIONS QUICKLY WITH MR. NAGBAU.
>> I WASN'T GOING OVER YOU. I JUST WANTED-.
>> NO. I THINK IT'S A GREAT TRANSITION.
WE NEED TO DEDICATE SOME TIME TO THIS, BUT THEN WOULD LOVE TO TAKE A VERY SHORT RECESS JUST TO LET EVERYBODY COME BACK IN.
>> I GOT ONE QUESTION FOR YOU.
>> YOU GOT ONE FINAL QUICK ONE?
>> WHAT DOES THE PHILANTHROPY LOOK LIKE WHEN THESE FIRMS COME IN?
>> THAT YOU'RE TALKING ABOUT. WHAT DOES THAT LANDSCAPE LOOK LIKE IF THIS WAS ACHIEVED FORMER?
>> FIRST OF ALL, IN OUR LEASE AGREEMENT WITH TEXAS TECH, THERE IS SIGNIFICANT PHILANTHROPY REQUIRED ON THE CAMPUS AS IT RELATES TO TEXAS TECH.
FERMI AMERICA GAVE 1.8% OF THE COMPANY BEFORE IT WENT PUBLIC TO A FUND THAT IS COMPLETELY DEDICATED TO PHILANTHROPY.
I THINK THAT TODAY'S LIKE $300 MILLION.
ABSOLUTELY, MY WIFE AND KRISTI KURS, STEVE KURS' WIFE, ARE GOING TO LEAD THAT EFFORT IN COORDINATION WITH THE OTHER COMMUNITIES.
BUT WE'RE NOT HERE TO BE TAKERS, AND AGAIN, WE'RE GOING TO BE A BIG PART OF THIS COMMUNITY.
EVERYBODY, GIVE US A LITTLE BIT OF ORGANIZATION TIME.
GIVE US TILL THE FIRST OF THE YEAR AND TO GET THINGS SET UP.
BUT, AGAIN, WE SET ASIDE 1.8% OF THE COMPANY TO GO STRAIGHT TO PHILANTHROPY,
[04:10:03]
AND MY WIFE AND HER SISTER HERE ARE GOING TO GET TO ENJOY BEING LEADING THAT FOR FERMI AMERICA.>> YOU GUYS ALWAYS LAUGH ABOUT THIS.
THE QUESTION IS. THIS IS GOING TO HAPPEN.
>> THE CITY SAYS NO TO THE WATER.
YOU'RE GOING TO GET THE WATER SOMEWHERE ELSE?
>> IT'S STILL GOING TO COME OUT OF THE SAME AQUIFER?
>> GENERATE REVENUE TO TWO TIMES MULTIPLIER.
>> YES. I THINK IT HURTS YOU FROM A LONG-TERM COMMUNITY DEVELOPMENT.
>> I WANT THAT TO BE SAID ONE MORE TIME SO EVERYBODY HEARS.
IF WE DO NOT ENTER INTO THIS AGREEMENT AS A CITY?
>> THE AQUIFER WILL STILL BE PUMPED DOWN.
[OVERLAPPING] THE WATER WILL BE USED WITH NO BENEFIT TO THE CITY.
>> WE CAN GO BY 11 CORNFIELDS.
>> I UNDERSTAND. THANK YOU FOR CLARIFYING THAT.
>> THANK YOU. GO AHEAD. ONE FINAL QUESTION.
>> I'M JUST GOING TO FOLLOW UP ON WHAT YOU STARTED WITH.
I DON'T KNOW WHERE YOU GOT OFF ON THIS OTHER STUFF.
YOU KEEP USING THE WORD WAR. WE'RE IN A WAR.
>> EXPLAIN ONE, WHAT'S AT STAKE-
>> - AND WHAT THE FINAL GOAL IS WITH THIS AI?
>> YOU KNOW WHAT I DON'T LIKE ABOUT IT IS SOMEONE I DID AGREE IS HOW DO I FEEL ABOUT AI? AND I'M GOING BACK TO WASHINGTON TO GO MEET WITH THE DEPARTMENT OF WAR, BECAUSE THEY ABSOLUTELY THINK WE'RE IN A WAR, AND THE NEXT WAY THAT WE'RE GOING TO FIGHT EACH OTHER IS WE ALL KNOW WHAT A NUCLEAR WEAPON IS BECAUSE YOU'LL MAKE THEM ALL HERE IN TOWN.
WE'RE GOING TO FIGHT EACH OTHER WITH CONTROL OVER INFRASTRUCTURE, ETC, THROUGH ARTIFICIAL INTELLIGENCE ALGORITHMS. WE'RE GOING TO BE ABLE TO WREAK ALMOST AS MUCH DEVASTATION AND DISTORTION WITH ALGORITHMS, WITH AI COMPUTE, AS WE WOULD DO WITH A THERMONUCLEAR WEAPON.
WHAT A PERFECT PLACE, THE SITE WHERE WE'VE KEPT AMERICA SAFE WITH NUCLEAR DETERRENCE, THAT WE ACTUALLY NOW MAKE IT THE EPICENTER FOR AI-POWERED NUCLEAR DETERRENCE HERE IN AMARILLO.
THAT'S WHAT PEOPLE IN WASHINGTON LOVE ABOUT IT, TOO.
IT MAKES SENSE THAT THE INFRASTRUCTURES IN PLACE TO PROTECT AN ASSET LIKE THIS ALREADY, THE PROTOCOLS AND THE PROCEDURES.
>> MR. NAGBAU, THANK YOU VERY MUCH.
>> WE'RE GOING TO TAKE A TEN-MINUTE RECESS.
BE BACK HERE PROMPTLY, 10 MINUTES.
DR. RAINWATER, WE'RE GOING TO MOVE RIGHT INTO YOUR SECTION. THANK YOU.
[04:20:10]
>> WE'VE GOT EVERYBODY GETTING BACK TO WHERE THEY NEED TO BE.
[04:20:15]
SO FAR, SO GOOD.MR. NAGBAU, OBVIOUSLY, IS COVERING A LOT OF GROUND THERE.
MY HOPE HERE IN RUNNING THIS MEETING WOULD BE TO GET THE DOCTOR UP HERE AND SPECIFICALLY TARGET INTO WATER CONSUMPTION, EXISTING AQUIFER, DEPLETION, WHAT AGRICULTURE REALLY DEMANDS ARE AND WHAT THIS WILL COST THE COMMUNITY.
ONCE WE GET THROUGH THAT ROUND OF QUESTIONS, COME BACK TO MASSU AND THE NUCLEAR ASPECT, SAFETY, THINGS OF THAT NATURE.
ALSO WANT TO TOUCH ON ONE OF THE BIG TOPICS HERE, WHICH IS PUBLIC SAFETY AND SECURITY AROUND THE PANTEX PLANT.
WE DON'T HAVE A PANTEX REPRESENTATIVE HERE, BUT I WANT TO KNOW WHERE YOU GUYS ARE AT IN WORKING NEXT DOOR TO THEM, AND WE NEED SOME WAY TO BE ABLE TO SAY THAT WE'VE VETTED THIS AND WE'VE ASKED WHAT WE DON'T NECESSARILY KNOW AND CONTROL, WHICH IS THE DOE.
DR. RAINWATER, REAL QUICK, JUST TELL US WHO YOU ARE, AND THEN IF YOU'RE GOOD TO, JUST LET US SHOTGUN QUESTIONS.
I THINK THAT'S THE WAY WE'LL GO.
> I'VE BROUGHT MY BODYGUARD WITH ME, TOO.
I'VE BEEN IN TEXAS TECH SINCE 1985, PRIMARILY A GROUNDWATER HYDROLOGIST.
I'M A CIVIL ENVIRONMENTAL ENGINEER.
THIS IS ZANE EDWARDS, WHO'S LEADING THE PROJECT FOR PARK HILL.
>> CAN WE GO AHEAD AND GET THE MICROPHONES UP IN THE BACK, MA'AM?
>> THAT'S PERFECT. GO RIGHT AHEAD.
>> IS THIS GOING TO BE ENABLED ALSO?
>> DO I NEED TO INTRODUCE MYSELF AGAIN? I'M HAPPY TO DO IT.
I'M A PROFESSOR OF CIVIL ENGINEERING AT TEXAS TECH SINCE 1985, PRIMARILY A GROUNDWATER HYDROLOGIST, WATER RESOURCES, ENVIRONMENTAL ENGINEERING.
I SERVED FIRM AS A CONTRACT EMPLOYEE AS THEIR CHIEF HYDROLOGIST.
THIS IS ZANE EDWARDS, WHO IS YOUR OFFICIAL TITLE IS NOW AT PARK HILL.
>> REGIONAL BUSINESS DEVELOPMENT.
BUT HE IS LEADING THIS PROJECT FROM THE LUBBOCK OFFICE, AND YOU ALSO HAVE PARTICIPANTS FROM ALSO HERE IN AMARILLO, IN EL PASO.
>> ALL THEIR OFFICES ARE AROUND THE STATE.
I'M DOING THE HIGH-LEVEL ISSUES OVERSEEING THEM, AND ZANE'S TEAM HANDLES THE DETAILS.
I WILL BE POINTING TO HIM WHEN APPROPRIATE.
>> NOW, MR. PRESCOTT IS READY.
HE'S GOING TO ASK A FEW QUESTIONS, WE'LL GET GOING AND THEN WRANGLE THIS IN.
>> I JUST WANT TO JUST MAKE A POINT OF REFERENCE OR A STATEMENT OF FACT.
DR. RAINWATER, YOU ARE PREEMINENT IN THIS FIELD OF HYDROLOGY AND I COULD NOT SEE ANYBODY BETTER TO TRUST ON THE DATA OF THE OGALLALA IN THIS PARTICULAR PART OF THE WORLD.
>> BUT THEN TO HAVE YOU PART OF THIS IT'S A BIG DEAL, GUYS.
IT'S A REALLY GOOD DEAL THAT YOU'RE ON THIS PROJECT.
>> I APPRECIATE, THAT'S RIGHT GARY.
>> THE QUESTIONS, IF YOU WERE HERE FOR THE PUBLIC COMMENT, OVER AND OVER AGAIN, WE HEARD THAT THIS WAS GOING TO DESTROY THE EIGHT STATES OF THE OGALLALA.
MORE SPECIFIC THAT THIS WAS GOING TO DESTROY THE PANHANDLE.
WE'RE GOING TO BE THE DESTROYERS OF A LEGACY IF WE MAKE THIS COMMITMENT.
CAN YOU TELL FOLKS REALLY WHAT IS GOING ON WITH THE OGALLALA, WHAT THE OGALLALA IS? IF WE DID GO WITH THE 10 MGD A DAY, WHAT WOULD THE RADIUS OF INFLUENCE BE? WHAT IS THE TRANSMISSIVITY IN THIS AREA OF THE AQUIFER? ULTIMATELY, WHICH DIRECTION DOES IT FLOW?
>> THAT'S A BUNCH OF QUESTIONS.
>> IT'S A BUNCH OF QUESTIONS, BUT I'LL LET YOU HANDLE IT.
>> I'LL TRY TO DO THAT. WELL, FIRST OFF, THE OGALLALA IS THE LARGEST AQUIFER IN THE CONTIGUOUS UNITED STATES DOWN HERE.
IT STRETCHES FROM TEXAS UP TO THE DAKOTAS AND A LITTLE BIT INTO COLORADO TO THE WEST AS WELL.
THE MOST UNFAIR THING ABOUT IT IS 80% OF THE WATER IN THE OGALLALA IS IN NEBRASKA, 80% OF IT.
THE REST OF US ARE DEALING WITH IT, BUT IT HAS A LOT OF WATER.
IF YOU LOOK AT A MAP OF THE OGALLALA, IT IS DOWNHILL FROM THE ROCKY MOUNTAINS.
IT'S ERODED MATERIAL THAT IS COLLECTED TO THE EAST OF THE ROCKY MOUNTAINS AND THAT ERODED MATERIAL ALLOWS WATER TO EXIST INSIDE IT.
THAT ERODED MATERIAL WAS DEPOSITED ON AN IRREGULAR TOPOGRAPHIC SURFACE THAT HAD BEEN ERODED BY HISTORIC RIVERS AND STREAMS OVER THE YEARS SO IT'S NOT A FLAT PLAIN.
THERE ARE DIFFERENT ZONES WHERE
[04:25:02]
THE BASE OF THE AQUIFER IS DEEPER IN SOME PLACES THAN OTHERS.WHAT THAT LEADS TO IS, IF WE HAVE THAT ALLUVIAL MATERIAL, THE SANDS AND GRAVELS AND SILTS AND CLAYS ON TOP OF IT, THEN WE CAN HAVE DIFFERENT THICKNESSES OF THE AQUIFER FORMATION AVAILABLE TO HOLD THE WATER.
>> THAT THE THICKNESSES IS KNOWN AS SATURATED THICKNESS?
>> THE DISTANCE FROM THE BASE OF THE AQUIFER TO THE WATER TABLE IS CALLED THE SATURATED THICKNESS.
>> THE SATURATED THICKNESS ON THE FERMI SIDE IS WHAT, APPROXIMATELY ABOUT 300 TO 400 FEET?
>> AT THE FERMI SIDE ITSELF, IT'S LESS THAN 20 FEET.
WE'RE NOT GETTING THE WATER THERE.
THAT'S ONE OF THE REASONS THAT SITE WAS AVAILABLE.
IT WAS NOT AN IRRIGATABLE PLACE BECAUSE THERE WASN'T ENOUGH WATER TO FLOW TO WELLS THERE.
IF YOU JUST GO TO THE OTHER SIDE OF PANTEX, WHERE THE CITY OF AMARILLO HAS A WONDERFUL WELL FIELD, THE SATURATE THICKNESS THERE IS OVER 300 FEET.
GOING JUST A FEW MILES, THERE'S A BIG DIFFERENCE FOR THAT.
FOR EXAMPLE, WHEN I WAS ASKED TO HELP WITH THIS PROJECT, THE FIRST THING I DID WAS CALL THE DIFFERENT GROUNDWATER DISTRICTS IN THE REGION TO GET THEIR MAPS OF SATURATED THICKNESS SO THAT WE COULD START IN, FOR EXAMPLE, BRITTANY WITH THE PANHANDLE DISTRICT WAS VERY HELPFUL TO PROVIDE THEIR MAPS SO THAT WE COULD SEE WHERE THE WATER WAS THICK AND WHERE IT WAS THIN, SO WE COULD TARGET THOSE AS POTENTIAL SOURCE AREAS.
>> THANK YOU. BY THE WAY LET'S CONTINUE ON WITH WHERE YOU'RE GOING WITH OGALLALA IN THERE.
>> I HAVE TO BLAME BOONE PICKENS FOR THIS, BECAUSE BOONE PICKENS USED TO SAY THAT PEOPLE WERE GOING TO PUT IN A STRAW SOMEWHERE AND SUCK ALL THE WATER OUT FROM UNDER HIS PROPERTY IF HE DIDN'T DO SOMETHING QUICK.
HE USED TO SAY THAT, AND THAT WAS IN TIME MAGAZINE, AND THAT WAS WRONG.
IF YOU HAVE A SINGLE WELL THAT IS PUMPING FROM AN AQUIFER, IT'S RADIUS OF INFLUENCE, THE DISTANCE AROUND IT WHERE IT CAUSES DRAW-DOWN, COULD BE ON THE ORDER OF HUNDREDS TO THOUSANDS OF FEET FOR ONE WELL.
IF WE PUT MULTIPLE WELLS TOGETHER IN A WELL FIELD, THEY MIGHT CONTRIBUTE ADDITIONAL DRAW-DOWN, BUT THAT IS PARTIALLY REGULATED IF YOU'RE IN THE GROUNDWATER CONSERVATION DISTRICT, LIKE WE ARE HERE BY THEIR PUMPAGE RULES THAT TRY TO LIMIT THE AMOUNT OF DRAW-DOWN THAT WOULD BE TAKING PLACE.
FOR EXAMPLE, JUST TALKING WITH BRITTANY, THE RULES THAT THEY HAVE THAT FERMI WOULD HAVE TO LIVE BY PUMPING ANYWHERE WITHIN THEIR DISTRICT, THEY COULD ONLY PUMP ONE ACRE FOOT PER ACRE FROM EACH YEAR FROM THEIR PROPERTY, NO MATTER HOW MANY WELLS THERE WERE.
THAT LIMITS HOW MUCH WATER CAN BE PUMPED FROM AN INDIVIDUAL PROPERTY.
THAT IS INTENDED TO EXTEND THE LIFE OF THE AQUIFER FOR THE DESIRED FUTURE CONDITIONS THAT THEY MANAGE THROUGH THEIR RELATIONSHIP WITH THE WATER DEVELOPMENT BOARD.
ANYBODY THAT WANTS TO PUMP THAT WATER IS UNDER THE SAME RULES.
FOR EXAMPLE, I THINK I CAN SAFELY SAY EVEN IF YOU HAVE A SIZABLE WELL FIELD WITH, MAYBE TEN OR 20 WELLS SPACED PROPERLY ACCORDING TO THE DISTRICT RULES, THE IMPACT OF THAT WOULD ONLY BE FELT IN ONE COUNTY.
YOU WOULDN'T DRY UP THE OTHER COUNTIES THAT WAY.
>> DONNIE, I THINK WE HAVE WHAT 40 MILLION GALLON, WHAT IS THAT CALCULATION THAT WE HAVE AVAILABLE TO THE CITY OF AMARILLO IN THE CARSON COUNTY WELL FIELD?
>> THAT THE CONTINUOUS ACREAGE IN POTTER COUNTY AND CARSON COUNTY ARE COMBINED BECAUSE THEY'RE TOGETHER, AND IT'S A LITTLE BIT OVER 40,000.
>> WE'RE JUST USING A LITTLE OVER 50% OF THE AMOUNT THAT WE CAN PUMP.
>> WITH ABOUT 77,000 TOTAL ACRES AVAILABLE FOR DEVELOPMENT.
>> THE 40,000, WHAT WAS THE UNITS ON THE 40,000? WOULD THAT BE ACRE FEET?
>> ACRE FEET. THAT'S A JARGON WORD IN THE WATER BUSINESS WHEN WE HAVE A WHOLE LOT OF WATER.
THAT'S AN ACRE FOOT IS ONE FT OF WATER SPREAD OVER AN ENTIRE ACRE.
>> THAT'S 325,000 GALLONS, CORRECT?
>> YES, SIR. IF FERMI IS RUNNING AT MAXIMUM CAPACITY AT 10 MGD, WHAT WOULD THAT RADIUS OF INFLUENCE? IF IT IS IN THE NORTHERN PART OF CARSON COUNTY, WHERE THE SATURATED THICKNESS IS 300 FEET, WHAT RADIUS OF INFLUENCE, AND WHAT DEPLETION RATE WOULD YOU EXPECT THIS PROJECT TO HAVE? AND CAN YOU GIVE US A TIME?
>> WELL, THAT'S A LOT OF THINGS THAT YOU HAVE TO ASK ABOUT.
THAT COMPLEXITY IS SOMETHING WE ATTACK THROUGH COMPUTER MODELS, AND WE TRY TO TAKE INTO ACCOUNT FOR THE FACT THAT THE ABILITY FOR WATER TO MOVE THROUGH THE DIFFERENT AQUIFER MATERIALS MAY CHANGE FROM PLACE TO PLACE EVEN WITHIN A COUNTY.
BUT THOSE ARE THE THINGS WE CAN SIMULATE.
THE TEXAS WATER DEVELOPMENT BOARD HAS REGIONAL GROUNDWATER MODELS THAT ARE INTENDED TO BE USED FOR THAT PURPOSE.
BRITTANY AND THE GROUNDWATER MANAGEMENT AREA,
[04:30:02]
THEY USE THAT ON A REGULAR BASIS FOR THEIR PURPOSES THAT COULD BE SIMULATED.I WANT TO PASS THE ZANE, WHEN YOU'VE BEEN DOING YOUR ESTIMATES ABOUT HOW MANY WELLS MIGHT IT TAKE TO REACH THE AMOUNT OF FLOW THAT THE COUNCILMAN ASKED ABOUT?
>> YEAH, WE REALLY HAVEN'T TIED IT TO WELLS BECAUSE WE'RE LOOKING AT THE HYBRID PRODUCTION.
I CONTINUE TO ASK HOW MUCH WATER YOU NEED, AND THEY CONTINUE TO SAY, WE'RE WORKING TO GET IT LOWER AND LOWER AND LOWER.
BUT WE'RE LOOKING AT DIFFERENT SOURCES EVEN THE EFFLUENT FROM PANTEX.
THERE'S A LAND APPLICATION USE RIGHT NOW, AND THEY JUST HAVE TO GET THAT PERMIT THROUGH TCEQ REORGANIZED SO THAT THEY CAN GIVE US THAT HALF 1 MILLION A DAY.
THERE ARE ALL THOSE DIFFERENT SOURCES, SO WE DON'T REALLY HAVE WELLS UNTIL WE KNOW THOSE NUMBERS.
>> JUST THE HAND WAVY THING, I CAN SAY RIGHT NOW IS THAT PROBABLY IF YOU HAD A WELL FIELD THAT TOOK UP TWO OR THREE SECTIONS OF LAND AND SQUARE MILES, THAT MIGHT BE FELT IN THE SURROUNDING SQUARE MILES.
IF YOU HAVE TWO OR THREE, IT MIGHT BE FELT IN SIX OR SEVEN SQUARE MILES.
>> THEY'RE JUST BASED ON RUNNING MODELS IN THE PAST.
>> 1.1 TRILLION GALLONS IN 2023 IN THE TOP 26 COUNTIES FROM THE TDWB, TEXAS WATER DEVELOPMENT BOARD IS WHAT WHAT WAS USED FOR AG MUNICIPAL ALL ACTIVITIES, 1.1 TRILLION GALLONS.
THAT'S INFORMATION YOU CAN LOOK UP IN THE TEXAS WATER DEVELOPMENT BOARD.
AT MAXIMUM CAPACITY ON THIS PROJECT, WE WOULD HAVE 0.38, I THINK IS WHAT THE NUMBER WAS, 0.33?
>> YEAH. 0.33 OF THE TOTAL USAGE OF JUST THE TOP 26 COUNTIES.
VERY SMALL AMOUNT COMPARED TO WHAT IS HAPPENING.
IF WE TRULY ARE CONCERNED AS A CITIZENSHIP GROUP OR A COMMUNITY, 1.1 TRILLION GALLONS ARE BEING PUMPED 23, 24.
IT'S BEEN GOING BACK, WHAT? SINCE YOU STARTED PROBABLY LOOKING AT THIS, IT CONSISTENTLY GOES UP.
>> I MEAN, THIS WATER, REGARDLESS OF THIS PROJECT IS BEING DRAWN DOWN.
>> YES, SIR. THE WATER IS OWNED BY THE INDIVIDUAL LAND OWNER.
IT'S ONE OF THE ASSETS THEY HAVE TO MANAGE TO MAKE A LIVING FOR THEIR FAMILY.
>> THEY GET TO MAKE THE CHOICE FOR THAT.
IF THEY LIVE WITHIN A GROUNDWATER CONSERVATION DISTRICT, THEIR AMOUNT OF PUMPAGE MAY BE LIMITED, BUT IT IS THEIR CHOICE ABOUT HOW THEY WANT TO RUN THEIR BUSINESS.
>> IS IT YOUR OPINION THAT FERMI WOULD BUILD $1 BILLION SITE ON A LOCATION THAT'S NOT GOING TO PROVIDE THEM WATER FOR AT LEAST 50 OR 60 YEARS?
>> I'D GET FIRED IF THAT'S MY ANSWER.
>> THAT'S ZANE'S TEAM, AND MY JOB IS TO FIND THE WATER WHERE IT NEEDS TO COME FROM, SO THAT WE CAN GET IT THERE TO DO ITS JOB.
>> HAS FERMI ALREADY APPLIED OR PLANNED TO APPLY FOR PERMITS TO DRILL ITS OWN WELLS?
WE'VE BEEN WANTING TO GO THROUGH THESE PROCESSES TO GET THE WATER.
>> FERMI DOESN'T HAVE ANY PLANS TO DRILL ITS OWN WELLS?
>> WE COULD IN THE FUTURE, BUT AT THE MOMENT, WE'D RATHER WORK WITH THE CITY OF AMARILLO AND THE COMMUNITIES.
>> I KNOW THIS IS A MOVING TARGET, BUT JUST TO GIVE US AN IDEA, WE'VE GOT THE 2.5 MILLION THAT WE'RE LOOKING AT.
BUT AS YOU LOOK AT, AND MAYBE THERE'S A RANGE ON THIS, BUT WHAT'S THE MAXIMUM PROJECTED WATER DEMAND ONCE IT'S FULLY OPERATIONAL?
>> WHAT DO YOU HAVE SO FAR ZANE?
>> YOU'RE ASKING FOR THE MAXIMUM WATER DEMAND?
>> I DON'T WANT TO CALL IT A DATA CENTER, EPICENTER MAYBE, WHATEVER THIS IS, WHEN IT'S FULLY OPERATIONAL, WHAT DO WE ANTICIPATE THE MGD TO BE? OR WHAT ARE WE PREPARING FOR?
>> I THINK I WOULD REFER THAT TO THE POWER TEAM BECAUSE THAT'S WHO I'M ASKING ALL THE TIME ON THE WATER AMOUNT.
>> IT'S FULLY UP ON THE BOARD HERE.
11 PIVOTS AT 2.5 MGD PER PIVOT.
THAT'S 27.5, IS WHAT WE'VE PROJECTED.
WE ARE CONSTANTLY WORKING TO MINIMIZE THAT.
>> THAT'S WHAT WE'RE PROJECTING AT FULL CAPACITY, BUT WE'RE BUILDING A GIGAWATT AT A TIME.
>> ARE WE LOOKING AT THE FUTURE THAT THE REQUEST FROM THE CITY COULD BE UP TO 27.5?
>> WELL, AS WE'VE BEEN SAYING, WE WOULD LIKE TO FIND THE BEST PLACES TO FIND THE WATER.
THE REASON WHY WE WANT TO COME TO THE CITY IS BECAUSE WE WOULD FAR RATHER PAY A TWICE AS MUCH AS YOU'RE GETTING ELSEWHERE.
WE DON'T WANT TO DRAIN THE COMMUNITY.
[04:35:01]
MY COUSIN'S PLAYING TENNIS FOR AMARILLO RIGHT NOW.WE WANT TO BE RESPECTFUL, AND IF YOU TELL US TO GO ELSEWHERE, WE'RE GOING TO GO ELSEWHERE.
>> YEAH. I DON'T THINK THE CITY WOULD BE ASKED FOR ALL THAT WATER.
THAT WOULD BE COMING FROM OTHER SOURCES, ZANE CAN TALK ABOUT THAT.
>> THAT'S WHAT WE TALKED ABOUT THE THE EFFLUENT FROM PANTEX, SALTY GROUNDWATER.
THERE'S MANY DIFFERENT OPTIONS THAT WE'RE LOOKING AT TO GET THAT, NOT TO TAKE IT FROM THE CITY OF AMARILLO.
>> AGAIN, I KNOW WE'RE HYPOTHETICALLY SPEAKING, BUT AS WE'RE THINKING THIS LONG TERM, I MEAN, DO YOU ANTICIPATE THE MAXIMUM REQUESTED FROM THE SEAT OF AMARILLO WOULD BE 2.5,5,7.5,10, OR WE JUST DON'T KNOW?
>> WE WOULD LIKE TO HAVE CONVERSATIONS WITH THE CITY OF AMARILLO ABOUT WHAT YOU WANT THAT INVOLVEMENT TO BE.
THAT'S PART OF WHY WE GOT HERE AS FAST AS WE WERE ALLOWED TO COMMUNICATE PUBLICLY.
WE WANT TO MAKE THIS A CONVERSATION.
IF YOU GUYS OFFERED US MORE WATER, WOULD WE TAKE IT? YEAH, BUT WE DON'T NEED TO DO THAT, AND WE DON'T NEED TO BURDEN THE PEOPLE OF AMARILLO OR MAKE THEM UNCOMFORTABLE.
>> WHAT'S THE BREAKDOWN IN THE NEEDS OF POTABLE VERSUS NON POTABLE?
>> IT'S OUR UNDERSTANDING, AND WE'RE STILL LEARNING ABOUT THIS, RIGHT ZANE, IS THAT FOR A LOT OF THE COOLING PURPOSES, THE WATER DOESN'T HAVE TO BE POTABLE.
THERE WILL BE A WORKING STAFF OUT THERE AT THE FACILITY THAT WILL REQUIRE POTABLE WATER.
>> YES. THE COOLING FOR THE DATA CENTERS, IT'S IN CLOSED SYSTEM, SO THAT NEEDS TO BE POTABLE WATER, BUT IT'S INSIDE ITS CLOSED SYSTEM, SO IT DOESN'T HAVE TO BE REPLACED.
THERE'S A LOT OF WATER CONSERVATION THERE.
>> WHAT ARE THE SOURCES FOR THE NON POTABLE THAT YOU'RE LOOKING AT?
>> THAT'S WHAT WE'RE LOOKING AT. IT'S EFFLUENT, SALTY GROUNDWATER, SURFACE WATER, ALL THOSE DIFFERENT SOURCES.
>> YEAH. THE PANTEX PLANT HAS AS AN AMOUNT BECAUSE OF ITS EMPLOYEES OF WASTEWATER THAT THEY GENERATE THAT RIGHT NOW IS LAND APPLIED OR EVAPORATED.
WE HAVE A CHANCE TO GET THAT WITH THE PROPER PERMITTING.
ALSO, YOUR WASTEWATER EFFLUENT THAT'S CURRENTLY GOING TO THE POWER PLANT.
THAT'S THE SAME IDEA THAT COULD HAPPEN WITH FERMI AS WELL, THOSE ALTERNATIVES TO CONSIDER.
>> YEAH. PANTEX HAS THE PUMPING TREAT FROM THEIR FIRST AQUIFER, SO THAT'S SOME OF THE WATER THAT WE'RE LOOKING AT TO OBTAIN.
>> I'M SORRY, YOU GUYS WOULD TAKE SOME OF THE PERCH DOCK FOR THE CONTAMINATION AT THE PANTEX PLANT AND POSSIBLY RUN IT THROUGH.
>> SOME OF THAT WATER THAT THEY'RE TAKING OUT AND TREATING AND USING FOR LAND APPLICATION THAT WE'RE LOOKING AT GETTING SOME OF THAT.
>> THAT COULD BE SEVERAL HUNDRED THOUSAND GALLONS A DAY.
>> RIGHT NOW, THE 2.5 MILLION REQUEST IS FOR POTABLE WATER COMING DIRECTLY FROM OUR WATER SYSTEM?
>> IT'S GOING TO BE USED ALL ACROSS THE SYSTEM.
I MEAN, FOR, YES, GETTING THE SYSTEM UP, GETTING THE DATA CENTER FIELD, JUST HAVING WATER ON SITE TO GET TO START CONSTRUCTION.
>> YEAH. THEN I GUESS THERE COULD BE A CHANCE THAT FOR IT COULD COME BACK FROM OTHER TYPES OF NON POTABLE WATER FROM THE CITY.
>> WHAT ARE THE CONTINGENCY OR BACKUP PLANS THAT FERMI HAS FOR WATER SOURCES? WHETHER YOU'RE TALKING, IF YOU CAN'T MEET OPERATIONAL NEEDS THROUGH DROUGHTS OR EVEN, SUPPLY INTERRUPTIONS, BROKEN LINES, WHAT ARE THE BACKUPS FOR THAT?
>> WELL, ONE THING WE CAN DO IS GO BY 11 CORNFIELDS.
BUT FOR ANOTHER, WE'RE LOOKING TO FIND-.
>> WHAT I'M THINKING, I GUESS, JUST UP AND OPERATIONAL.
I'M NOT TALKING ABOUT RIGHT NOW, BUT WHAT IS THE PLAN, FOR EXAMPLE, IF THE CITY IS HAVING ISSUES DELIVERING WATER OR YOU CAN'T GET IT FROM OTHER LOCATIONS OR WATER MAIN BREAKS, OR WHATEVER, BECAUSE I'M GUESSING THAT THIS CENTER HAS TO BE UP AND OPERATIONAL 24/7 365.
>> WE'LL HAVE ON-SITE STORAGE.
FOR THE NON-POTABLE WATER, IT WILL BE EARTH AND STORAGE, AND TANK STORAGE FOR THE POTABLE SIDE.
>> YOU WOULD HAVE ENOUGH STORAGE ON THERE TO TRY TO GET YOU THROUGH WHATEVER.
>> THROUGH A CERTAIN OPERATIONAL PERIOD. YES, SIR.
>> DO YOU KNOW HOW MUCH THAT'LL BE YET, OR IS THAT STILL BEING DETERMINED?
>> I JUST WANT TO MAKE SURE THAT I GET A GOOD UNDERSTANDING OF THIS BECAUSE THIS IS A QUESTION THAT I GET FROM A LOT OF PEOPLE.
IS FERMI COMMITTING TO IMPLEMENTING WATER RECYCLING, RECLAMATION, EFFICIENCY TECHNOLOGIES TO DO EVERYTHING THAT THEY CAN TO REDUCE CONSUMPTION AND DEPENDENCE ON WATER, AND HOW WILL FERMI DO THAT?
>> WELL, WE'RE HEADED TO WASHINGTON RIGHT NOW TO EXPLAIN TO THEM THAT WE DON'T NEED TO BE USING THE OLD-STYLE NUCLEAR COOLING TECHNIQUES THAT REQUIRE A WHOLE LOT OF WATER.
WE ARE ADVOCATING AT EVERY POSSIBLE TURN.
WE BELIEVE THAT ONE OF THE FUTURES OF COOLING TECHNOLOGIES WILL INVOLVE HELIUM.
THE NATIONAL STRATEGIC HELIUM RESERVE HAS BEEN HISTORICALLY BASED IN AMARILLO.
WE ARE LOOKING AT NEW TECHNOLOGIES EVERY DAY, HAVING NEW CONVERSATIONS WITH DIFFERENT VENDORS, DIFFERENT PARTNERS, AND DIFFERENT INNOVATORS TO FIND WAYS THAT WE CAN CUT DOWN WATER.
[04:40:05]
MY GRANDFATHER IS A CATTLE RANCHER.WE DO NOT WANT TO USE MORE WATER THAN IS REQUIRED TO DO THE JOB WELL.
>> GOT IT. THEN WHAT WILL BE THE PROCESS FOR JUST ONGOING WATER USE TO BE MONITORED, REPORTED, VERIFIED, TO ENSURE COMPLIANCE, THAT TYPE OF THING?
>> I DON'T UNDERSTAND YOUR QUESTION.
>> WHAT IS THE MONITORING SYSTEM? IS IT JUST THE METER THAT WE RUN OUT THERE AND WE'RE RESPONSIBLE FOR MAKING SURE THAT YOU'RE STAYING WITH THAT, OR HOW DOES THAT MONITORING SYSTEM WORK.
>> YES, SIR. THERE WILL BE A CITY METER AT THE SITE.
>> IF I COULD JUST ADD TO THAT.
ONE THING WE ARE TRYING TO BUILD AT FERMI IS A STATE-OF-THE-ART, HOLISTIC MONITORING FACILITY, WHERE WE CAN MONITOR ALL OF THE ASPECTS HAPPENING ON OUR SITE AT ANY GIVEN MOMENT.
WE ARE COMMITTED TO MAKING SURE THAT WE HAVE ACCURATE UP TO DATE MILLISECOND-BY-MILLISECOND MEASUREMENTS OF ALL COMPONENTS.
WE'VE GOT TO GET A CHANCE TO GET FULLY UP TO SPEED.
WE'RE BUILDING THIS VERY QUICKLY, GIVEN THE DEMAND AND THE NATIONAL NECESSITY.
BUT ALL OF THOSE SYSTEMS WILL HAVE A MASSIVE EMPHASIS FROM THE INTERNAL TEAM ON GETTING UP TO STANDARDS VERY, VERY QUICKLY.
>> GREAT QUESTIONS. WE'RE GETTING THERE.
WHAT'S THE GUESSTIMATED COST FOR THE INFRASTRUCTURE THAT FERMI IS WILLING TO PAY FOR THAT THEN WOULD BE GIFTED TO THE CITY FOR THE WELLS AND THE PIPELINES FOR THE 2.5 MILLION?
>> TEN TO 12 MILLION. WHAT WE HAVE IS WE HAVE VOLUME, WHAT WE DON'T HAVE IS WE DON'T HAVE DELIVERABILITY.
IF YOU'RE LOOKING AT OUR STAFF, OUR STAFF IS VERY COMFORTABLE IN SAYING, WE'RE ABLE TO DELIVER YOU 2.5 MGDS IF WE HAVE THIS AND THIS IN PLACE.
IF YOU WANT 10 MGDS, WE MAY HAVE THE WATER RIGHTS AND THE WATER RESOURCE AVAILABLE.
WE DON'T HAVE THE DELIVERABILITY WITHOUT YEARS OF PLANNING AND EXECUTION AND MASSIVE CAPITAL INVESTMENT, AND SO FERMI HAS COME INTO THE AGREEMENT IN THE MOU THAT OUTLINES THIS.
WHAT DO YOU THINK THE TOTAL IS? IS THAT $150 MILLION? FOR THE CAPITAL INVESTMENT.
>> ARE YOU TALKING ABOUT FOR THE NEXT PHASE OF THAT?
>> I'M TRYING TO LOOK OVERALL, WHAT WOULD BE THE OVERALL INVESTMENT IN THE CITY'S SEWER AND WATER PROGRAM THAT WOULD BE PAID FOR BY FERMI POTENTIALLY, IF WE WERE TO INCREASE THIS OVER THE NEXT FIVE YEARS, ALL THE WAY UP TO THE 10?
>> MAYOR, I CAN STEP IN THERE AND ANSWER THAT, I THINK, BECAUSE WE'VE HAD THESE CONVERSATIONS, BUT IT'S REALLY DIFFICULT AT THIS POINT IN TIME TO DETERMINE, JUST LIKE WE TALKED ABOUT THE WASTEWATER TREATMENT PLANT PROJECT, WE CAN HAVE SOME REALLY HIGH IN THE SKY ESTIMATES THAT WE COULD GIVE.
THE NUMBERS THAT WE CAME UP WITH ARE IN EXCESS OF 200 MILLION IN INVESTMENT TO GET TO THAT 10 MGD NUMBER JUST IN INFRASTRUCTURE.
BUT WE'RE STILL EARLY ON IN THE DISCUSSIONS ON WHAT THAT WOULD EVEN LOOK LIKE.
BUT THE WELL FIELD IN POTTER COUNTY, WHICH WOULD BE OUR POTTER COUNTY TOO, AND OUR MASTER PLAN WOULD HAVE TO BE DEVELOPED IN ORDER FOR THAT TO OCCUR.
THE 5.5 IS A LITTLE BIT DIFFERENT NUMBER AS WELL.
THE ONLY NUMBER THAT WE REALLY HAVE A GOOD BEAD ON RIGHT NOW IS THE 2.5.
WE'RE STILL WORKING THROUGH THE OTHER PROBLEMS AS THEY COME UP.
>> LET ME ADDRESS THE LOI REAL QUICK.
SINCE ZANE, YOU'VE PROBABLY BEEN THE SINGLE POINT OF CONTACT PRIMARY CONTACT THAT I THINK YOU APPROACHED ME FIRST, YOU HAD ALREADY APPROACHED STAFF AT THE SAME TIME.
DESCRIBE TO US HOW THAT LOI CAME ABOUT AND WHY THE CITY STAFF SIGNED THAT ON A PRELIMINARY BASIS.
>> I APPROACHED THE CITY, JUST TOLD THEM OF THE PLANS OUT THERE, ASKED IF THERE WAS ANY WATER AVAILABILITY IN SOME OF THEIR ADJACENT PIPELINES.
I JUST ASKED IF THEY WOULD BE WILLING TO SELL FERMI ANY WATER.
>> THAT ORIGINAL LOI WAS THE 2.5 MGD, AND DID IT INCLUDE A FIVE OR A 5.5 MGD?
>> IT WAS 2.5 AND 5.5, AND THAT WAS IN THE LOI THAT WAS SIGNED BY STAFF IN ORDER TO ENGAGE WITH YOUR FIRM, JUST IN OUR CAPACITY, NOT IN OUR WILLINGNESS TO NEGOTIATE A DEAL, BUT IN THE CAPACITY OF WE WERE GOING TO LOOK AT IT FROM THE STAFF'S POINT OF VIEW OF, CAN WE DO THIS?
>> YES, THE STAFF SAID THAT THEY NEEDED TO VERIFY HOW THAT WOULD BE DELIVERED, THE INFRASTRUCTURE NEEDED TO GET THERE, AND THEN TAKE IT TO THE COUNCIL.
>> I'M NOT GOING TO WADE OVER INTO THE LEGAL WATERS OF HOW THAT MIGHT HAVE BEEN REPRESENTED OR ALL THE SEC FILINGS.
WHAT I AM GOING TO DO IS GO AHEAD AND PUT A PIN IN THAT THAT WE DID DOCUMENT THAT LOI.
[04:45:03]
IT WAS GIVEN. IT IS A PUBLIC DOCUMENT AT THIS POINT.IT'S SOMETHING THAT IS ON HAND.
IT DOESN'T HAVE TO BE DISPUTED.
IS THAT ANYTHING THAT WE SHOULDN'T HAND OVER? DO WE WANT TO PRODUCE THAT DOCUMENT, MR. CITY MANAGER?
>> I WOULD REQUEST THAT WE DO.
UNLESS THERE'S SOME LEGAL REASON, I THINK IT'S IMPORTANT THAT WE MAKE THAT AVAILABLE.
>> ABSOLUTELY, WE CAN MAKE THE DOCUMENT AVAILABLE.
WHEN PARK HILL APPROACHED US, THEY EXPLAINED THAT ALSO THEY WERE TRYING TO PURSUE INVESTORS.
THEY'RE TRYING TO PURSUE SUPPORTING THIS, SO WITH THIS, THAT THEY NEED A LETTER OF INTENT IN ORDER TO WORK WITH THOSE INVESTORS AS THEY MOVE THE PROJECT FORWARD.
>> COULD YOU REFERENCE THAT DATE, IF POSSIBLE, DURING THIS MEETING? I THINK IT'D BE GREAT TO KNOW WHEN THE LOI WAS ACTUALLY EXECUTED.
>> DONNY, DO YOU HAVE THE DATE ON THERE? IT'S IN JUNE, JULY.
>> I THINK IT WAS AUGUST 25TH I BELIEVE.
>> LET ME ADD SOMETHING TO THAT AS WELL. I THINK I GOT THAT DATE. I CAN LOOK AT IT.
BUT IT'S VERY COMMON FOR US TO HAVE SOMEBODY COME TO US, SUCH AS A POB, SUCH AS THE EDC.
WE DO IT ALL THE TIME, WHERE THEY COME TO US AND THEY SAY, WE'RE LOOKING AT THIS BUSINESS THAT'S COMING HERE.
WE NEED TO SEE, ARE YOU ABLE TO PRODUCE XX MGD OF WATER? WE NEVER TURN THAT DOWN BECAUSE AS PART OF YOUR PILLARS AS COUNCIL, IS TO BE BUSINESS-FRIENDLY, TO ENTERTAIN THOSE IDEAS, SO WE HAVE MANY DISCUSSIONS WITH MANY DEVELOPERS ALL THE TIME.
WHAT'S DIFFERENT ABOUT THIS ONE IS THE AMOUNT AND THE AMOUNT OF PUBLIC CONVERSATION WOULD HAVE TO HAPPEN WITH THAT.
AT ONE POINT IN TIME, DURING THOSE DISCUSSIONS, WE SAID, IF WE COULD PROBABLY DO AN LOI TO SHOW YOU THAT, YEAH, WE'RE GOING TO ENTERTAIN THIS, WE'RE GOING TO EXPLORE IT, WE'RE GOING TO LOOK THROUGH IT, WE'RE GOING TO MAKE SURE WE HAVE THE ABILITY TO DO THIS.
THEN THIS HAS TO GO TO THE CITY COUNCIL AND HAS TO GO TO THE PUBLIC, SO THEY CAN LOOK AT IT.
IT'S NON-BINDING. IT WAS SOMETHING THAT WAS JUST PART OF THAT DISCUSSION, AND SOMETHING THEY NEEDED, AS HE MENTIONED FOR [INAUDIBLE].
>> IT GIVES US AN OPPORTUNITY TO START WORKING TOGETHER.
YOU HIRE US IN ORDER TO WORK THESE DEALS AND HELP BRING THESE THINGS TO YOU.
SOMETIMES A LETTER OF INTENT IS NEEDED TO HELP GOOD FAITH EFFORT, NEGOTIATE TO GET TO THIS POINT TONIGHT, SO WE CAN HAVE THESE CONVERSATIONS PUBLICLY.
>> BOTTOM LINE. GO AHEAD, SIR.
>> TIMELINE-WISE, JUNE 27TH WAS THE LETTER OF INTENT.
THAT'S THE DATE ON THE ORIGINAL LETTER OF INTENT.
>> NO, I'M LOOKING AT A LETTER THAT WAS SENT TO ME, A LETTER OF INTENT TO PARK HILL FINAL 627-25.
>> YOU MAY BE RIGHT. I'D HAVE TO GO BACK AND LOOK AT THOSE DATES.
THE DATE IS ON THE LOI, BUT THERE WERE SO MANY DIFFERENT CONVERSATIONS THAT HAD TAKEN PLACE DURING THAT PERIOD IN TIME. WE'D HAVE TO-
>> BUT WE HAD A LETTER OF INTENT.
>> LET ME NOTE THIS TOO, THAT IT WAS NOT TO FIRME AMERICA.
IT WAS TO PARK HILL, SMITH & COOPER, WHO WAS THE ONLY ONE THAT WE WERE TALKING TO AT THE TIME WAS PARK HILL.
>> PARK HILL IS A REPRESENTATIVE FOR THE FERMI PROJECT.
WE KNEW WHAT THE PROJECT WAS REFERENCED, CORRECT? THE MOU SPEAKS TO SOMETHING ELSE THAT I THINK IS HELPFUL FOR EVERYBODY TO UNDERSTAND.
THERE'S AN MOU, A MEMORANDUM OF UNDERSTANDING THAT OUR JUDGE OVER IN RANDALL COUNTY CONTACTED MR. SISEMORE AS SOON AS HE WAS LABELED AS THE COMMUNITY LEAD AND TOOK ON THAT FORMAL ROLE.
LAKE TANGLEWOOD REACHED OUT TO HIM IN A COUPLE OF DIFFERENT CAPACITIES.
THE EFFLUENT WATER GOING OUT OF HOLLYWOOD WAS SOMETHING THAT HE PUT IN THE MOU TO HELP SOLIDIFY.
FERMI IS NOT COMING IN ASKING FOR THAT AFFLUENT THAT'S ALREADY BEEN COMMITTED TO XCEL IN HOLLYWOOD ROAD.
IN THAT CONVERSATION, I WAS GIVEN AN OPPORTUNITY TO UNDERSTAND THAT MOU, AND I ASKED, I SAID, WE DON'T WANT TO KNOW 2.5 HERE, AND THEN WE COME BACK AND WE ASK FOR FIVE, AND THEN IT BECOMES 10, AND THEN IT'S 20.
TELL US, TO THE BEST OF YOUR ABILITY, WHAT YOU EXPECT YOUR WATER USAGE TO BE AND WHAT COULD YOU BE COMFORTABLE IN CAPPING? LET'S SET A BENCHMARK.
CAME BACK IN THE MOU OF 10 MILLION, 10 MGD POTABLE WATER, AND WE ASK GOOD QUESTIONS.
HOW ARE YOU MAKING UP WHATEVER THE DIFFERENCES ARE? WE DON'T KNOW WHAT THE DIFFERENCES ARE, BUT WE'VE HEARD EVERYTHING FROM 30-50.
YOU HAVE SOME ONLINE COMMENTATORS THAT ARE 100-150.
BEING NOT IN THE INDUSTRY AND NOT UNDERSTANDING, IS IT REALLY 100, 150? I THINK TODAY WHAT WE'RE LOOKING FOR IS SOME EDUCATED EXPERTS HERE THAT ARE SUBJECT MATTER EXPERTS THAT CAN SAY, IT'S NOT 150 MGD.
WE ARE NOT BUILDING THE OLD-STYLE NUCLEAR POWER PLANT.
IT CAN BE CARRIED OUT AT 27.5 MGD.
THAT'S THE CONFIDENCE WE NEED TO HEAR.
WE ALSO NEED TO HEAR THAT IF WE WERE WILLING TO TAKE THIS FIRST STEP, WE'RE NOT WILLING TO GET MARRIED.
WE'RE OKAY WITH GOING ON A DATE.
[04:50:01]
MY INTEREST WOULD BE IN MAKING IT VERY UNCOMFORTABLE FOR A FUTURE COUNSEL TO TAKE SOMETHING WITHIN OUR REASONING THAT'S REASONABLE AND THEN DOUBLE IT OR TRIPLE IT, AND THEN PUT OUR POTENTIAL CAPACITY.NOW, I'M NOT SPEAKING TO OUR WATER RIGHTS IN THE VOLUME.
I'M SAYING THE DELIVERABILITY THAT WE HAVE COULD BE COMPROMISED.
ARE WE LOSING WATER PRESSURE SOMEWHERE ELSE? ARE WE NOT ABLE TO FILTER THE WATER AT THE WATER TREATMENT PLANT? MANY DIFFERENT COMPONENTS HAVE COME INTO THIS.
LET ME TRANSITION THERE REAL QUICK.
WHAT'S BELOW THE OGALLALA, SIR?
>> THAT DOCKUM FORMATION IS HOW DEEP, SIR?
>> THE ANSWER IS ALWAYS THAT DEPENDS WHERE YOU ARE.
ACTUALLY, AT PANTEX, THEY'RE VERY CLOSE TO EACH OTHER.
WHETHER OR NOT YOU CAN PRODUCE WATER FROM IT DEPENDS ON IF YOU HAVE A CONTINUOUS SANDSTONE LAYER WITHIN THE DOCKUM.
>> IT VARIES. IT GOES FROM ABOUT 2,000 PARTS PER MILLION TO HIGHER THAN THAT.
>> WHAT'S BELOW THE DOCKUM, SIR?
>> WE JUST DON'T GO THERE, USUALLY.
>> IS THE SANTA ROSA TOO DEEP FOR IT TO BE EXPLORATORY?
>> THE SANTA ROSA PART OF THE DOCKUM.
>> THE SANTA ROSA IS PART OF THAT FORMATION?
>> THAT'S THE PRODUCTIVE PART OF THE DOCKUM.
THE GEOLOGISTS CHANGED THE NAMES ON US.
>> THERE IS NOT NECESSARILY ANOTHER RESERVOIR BELOW THE SANTA ROSA DOCKUM.
>> IT'S COMBINED. THEN YOU GUYS ARE EXPLORING ALL THAT.
I THINK WHAT WE ARE LOOKING AT IS A PHASE POTENTIAL FOR OUR HOLLYWOOD ROAD WASTEWATER TREATMENT PLANT, AND THEN MOVING OVER TO THE RIVER ROAD TREATMENT PLANT, AND WE ARE BUILDING ALL THIS OUT ON PAPER RIGHT NOW.
STAFF IS DOING A GOOD JOB OF DESIGNING THIS.
THAT AFFLUENT THAT COULD COME FROM THE RIVER ROAD PLANT, DONNY, WOULD YOU BE WILLING TO ESTIMATE HOW MANY MGDS YOU'D LIKE TO PRODUCE OUT OF THAT SIDE?
>> WE'RE STILL IN THAT PIECE WHERE WE'RE TRYING TO DECIDE WHAT IS ACTUALLY FLOWING TO RIVER ROAD AND WHAT'S FLOWING TO HOLLYWOOD, BECAUSE OF THAT PIVOT, BUT I KNOW IT'S GOING TO BE MORE THAN WHAT IT IS NOW.
I JUST DON'T KNOW THAT EXACT NUMBER YET.
>> I KNOW YOU DON'T WANT TO GUESS AT IT, BUT IF I WERE TO GUESS AT IT AT 7-10 MGDS, IS THAT WAY OFF?
>> NO, IT'D BE MORE CLOSER TO 20, PROBABLY.
WE DON'T HAVE ANY PURCHASERS OF THAT AFFLUENT ON THAT SIDE OF TOWN CURRENTLY.
>> THE RIVER ROAD IS WHAT GOES TO XCEL.
>> IN THE XCEL PURCHASE, THEY BUY ALL OF IT OVER AT THE RIVER ROAD PLANT?
>> YES, AND WE ALSO SUPPLEMENT THAT FROM HOLLYWOOD AS WELL.
I THOUGHT THE HOLLYWOOD PLANT WAS THE PRIMARY FOR XCEL.
YOU'RE SAYING THE RIVER ROAD AND THE HOLLYWOOD ARE COMBINED.
>> WHAT I'M SAYING IS WE'RE LOOKING AT ALL THOSE OPTIONS TO DETERMINE WHAT THE BEST WAY TO GET THAT WATER TO THEM.
IT'S EASIER FOR US TO GET IT TO XCEL FROM RIVER ROAD THAN HOLLYWOOD.
IF WE INCREASE THE AMOUNT WE'RE DOING ON IT, FLOWING AT HOLLYWOOD, THAT CHANGES THAT EQUATION FOR US.
>> BUT SPS DOES HAVE CONTRACTS FOR BOTH PLANTS, CORRECT?
>> WALKING THIS OUT SLOWLY, GOING ON A DATE, NOT READY TO GET MARRIED, BUT LOOKING AT THIS AND THE POTENTIAL OF MOVING IT FORWARD, WE SHOULD BE ABLE TO IDENTIFY AFFLUENT WATER.
AS XCEL CONTINUES TO TRANSITION THEIR PLANTS DOWN TO NATURAL GAS, HOW MANY DID THEY TRANSFER FROM COAL TO?
>> I THINK THAT WE WOULD HAVE TO LOOK, BUT WE ARE ON THE LOOKOUT FOR A LESSER DEMAND POTENTIAL FROM XCEL, OVER THE YEARS, A GREATER DEMAND FROM FERMI, THAT'S GOING TO COME ON THE EFFLUENT.
WE SHOULD HAVE A GREATER POTENTIAL AS WE UPDATE THESE PLANTS TO PRODUCE.
I DON'T KNOW WHY WE WOULDN'T WANT TO SELL THAT WATER TO YOU GUYS.
NOW, ON THE PORTABLE SIDE, I UNDERSTAND THE REASONING, AND DR. RAINWATER, IT'S REALLY GOOD TO HAVE YOU HERE.
>> MY OTHER CONTINGENCY WOULD BE EVERYTHING FLOWING OUT THE EAST CREEK AND THE WEST CREEK AND GOING THAT WAY.
AS WE DO HAVE SIGNIFICANT RAIN RUNOFF, IS ANYBODY LOOKING AT THE STUDY TO GET THAT RAINWATER AND THAT STORM WATER POTENTIAL, WHICH WE'RE PUMPING FROM EVERY PLAYA THAT WE CAN AND CAN'T GET IT OUT OF TOWN FAST ENOUGH? CAN WE GET THAT OVER ONTO THAT EAST CREEK, AND THEN CAN YOU GUYS CAPTURE THAT AND THEN MAINTAIN IT ON SITE? I SEE A BIG, PRETTY POND ON SOME OF THESE PHOTOS. WHAT IS THAT?
>> PLAYA 5, IT'S CALLED PLAYA 5 BY THE PANTEX FOLKS, WILL BE ON THE FERMI PROPERTY.
THAT WOULD BE SOMETHING TO BE LOOKED AT.
BECAUSE IT'S STORM WATER, WE'D HAVE TO REMOVE SUSPENDED SOLIDS FROM IT.
THERE WOULD BE SOME FILTRATION REQUIRED AND SOME RESIDUALS MANAGEMENT, BUT THAT COULD CERTAINLY BE ON THE TABLE AS WE LOOK TO THE FUTURE.
>> DEFINITELY, IT WOULDN'T BE YOUR FIRST CHOICE, BUT IN WATER CONSERVATION,
[04:55:01]
THERE ARE HARDER WAYS TO GO AND CAPTURE WATER.>> GREAT. HERE'S MY LAST POINT AND I'LL MOVE ON.
ONE OF OUR CUSTOMERS THAT'S OUT OF THE CITY LIMITS FOR DECADES, WE'VE CHARGED THEM LESS THAN THE GOING RATE.
WE SOLD THEM A LOT OF WATER, AND WE CHARGED THEM ROUGHLY 60, 70% OF WHAT EVERYBODY IN TOWN WAS PAYING.
THEY WERE GREAT TO NEGOTIATE WITH.
THEY'VE MOVED THEMSELVES ALONG WITH STAFF AND THE CONSULTING FIRMS UP TO THE FULL 1X RATE OF WHAT WE'RE PAYING IN TOWN, THOUGH THEY STILL RESIDE OUTSIDE OF THE CITY LIMITS.
THE CONVERSATION WAS HAD OF, WE'D LIKE TO MOVE YOU UP TO ONE-AND-A-HALF TIMES, THAT'S THE OUTSIDE RATE, OR WE WOULD LOVE FOR YOU TO ANNEX.
THOSE CONVERSATIONS HAVE GONE VERY WELL AND THEY CONTINUE.
ONE-AND-A-HALF TIMES RATE IS WHAT WE CHARGE PEOPLE THAT WANT TO BUY WATER FROM THE CITY, BUT DON'T PAY TAXES TO HELP SUPPORT THAT.
THIS IS A 2X COST, WE RAN THE NUMBERS.
MY TIER RATE ON THE COMMERCIAL SIDE, THE HIGHER TIER, ONCE YOU GET INTO PURCHASING LARGE AMOUNTS OF WATER, IS $4.36 PER 1,000 GALLONS.
THAT GROSS IS 8 MILLION DOLLARS IN REVENUE FOR 2.5 MGDS, SO YOU WILL BECOME A RATE PAYER TO MY SYSTEM OF 8 MILLION DOLLARS TOMORROW SOON AS YOU START PUMPING THE WATER.
WHEN THAT GOES TO FIVE MGD, IT'LL BE 16 MILLION.
IF THAT GOES TO 10 MGD, WHICH IF WE ASCERTAIN THAT THAT IS WELL WITHIN OUR CAPABILITIES, WE ARE USING LESS THAN 3% OF THE TOTAL DRAW-DOWN.
FARM RANCH AND AG USES OVER 90%, WE'RE NOT TRYING TO RESTRAIN THAT.
WE UNDERSTAND THAT IT TAKES WATER TO PRODUCE BEEF, CATTLE, AGRICULTURE, FOOD.
IT ALSO TAKES WATER TO PRODUCE POWER.
WE LIKE TURNING THE LIGHTS ON, AND WE LIKE INDUSTRY AND GROWTH.
IF WE CAN BALANCE GROWTH WITH SOME COMMON SENSE, IF WE SELL 10 MGDS, ONE DAY, IT PRODUCES $32 MILLION WORTH OF REVENUES TO OUR SYSTEM.
THAT WOULD BE ROUGHLY 35% OF WHAT MY ANNUAL GROSS IS RIGHT NOW.
WHAT'S THE TOTAL SEWER AND WATER REVENUE, JUST ON THE WATER SIDE?
>> I DON'T HAVE THAT WATER OFF THE TOP OF MY HEAD. [OVERLAPPING]
>> I DON'T KNOW THAT EITHER BECAUSE IT'S GOT YOUR SEWER IN IT, SO LET ME NOT PUT A PERCENTAGE ON IT. IT'S A LARGE AMOUNT.
THOSE ARE MY POINTS AND WHAT I'M MAKING NOW.
I WOULD LIKE TO COME BACK TO ONE THING THAT I HAVE HERE.
COUNCILMAN PRESCOTT DID A GOOD JOB OF ORGANIZING FOR US THE 26 UPPER COUNTIES IN THEIR TOTAL USAGE BASED ON GROUNDWATER CONSERVATION DISTRICTS.
THAT'S WHERE YOU GOT THAT WAS FROM THE DISTRICTS? HE GOT IT FROM THE WATER DEVELOPMENT BOARD.
1.1 TRILLION GALLONS PER YEAR ARE USED, AND THIS ALL COMES FROM THE AQUIFER, CORRECT? IT'S ALL PUMPING.
THAT'S THE PUMPAGE OUT OF THE TOTAL, 26.
WOULD YOU VERIFY THAT? I KNOW WE'RE NOT NECESSARILY EXPERTS.
PRESCOTT IS DEFINITELY A SELF-PROCLAIMED EXPERT IN LOTS OF DIFFERENT FIELDS, BUT FOR EVERYBODY ELSE, ESPECIALLY THE CAMPAIGN TRAIL, SO I'D LIKE TO HEAR IT FROM YOU GUYS.
WOULD 1.1 TRILLION GALLONS USED IN THE UPPER 26 SOUND REASONABLE?
>> SOUNDS REASONABLE IF IT'S FROM THE WATER DEVELOPMENT BOARD, THEY HAVE TO GET IT RIGHT.
>> THESE NUMBERS ARE FROM THE WATER DEVELOPMENT BOARD.
JUST TO BE SPECIFIC, CARSON COUNTY USED 36.6 BILLION.
POTTER COUNTY IS A GOOD ONE, 14.2 BILLION. THOSE WERE PUMPED.
OUT OF 1.1 TRILLION, WE ARE SEATED HERE TODAY WITH GOING ON A DATE WITH FERMI AT 2.5 MGDS.
THAT WOULD BE ROUGHLY 0.08, LESS THAN A 10TH OF A PERCENT OF WHAT THE USAGE WOULD BE, THE 2.5 MGDS OF WHAT'S BEING DRAWN DOWN.
IF WE WERE TO GET ALL THE WAY TO 10, WHICH THE MOU CONSIDERS A MAXIMUM ASK, AND WE APPRECIATE THAT, IF YOU GUYS CAN GO AND SHOW THAT YOU ARE BEING SO EFFICIENT AND CONSERVATIVE-MINDED, THAT YOU'RE EXTRAPOLATING EVERY AMOUNT OF AFFLUENT, REDUNDANCY, CONSERVATION, YOU NAME IT, IF YOU'RE DOING IT AND THAT 27.5 MGD IS REALIZED, THEN I WOULD LOVE TO FEEL LIKE 10 MGDS IS VERY ADEQUATE.
HERE'S WHAT I WOULD BASE THAT ON.
WHEN PEOPLE SAY, I CAN'T BELIEVE YOU SOLD OUR WATER AWAY, YOU'RE SELLING OUT MY GRAND KIDS' FUTURE, YOU REALIZE I AM OFFERING TO SELL 0.32 OF 1% TO ONE USER FOR THE UPPER 26 COUNTIES.
[05:00:01]
THAT'S HOW MINIMAL THAT AMOUNT IS.ARE THESE NUMBERS CORRECT IN YOUR UNDERSTANDING, ZANE? DO YOU FEEL LIKE THIS IS PRETTY MINIMIZED AND THEN WHEN YOU EXPAND THAT TO NEBRASKA AND EVERYWHERE ELSE?
>> CAN I CONFIDENTLY WALK AWAY FROM THIS DEAL HERE KNOWING THAT I DID A BUSINESS DEAL FOR MY CITY AND THAT I DIDN'T TAKE WATER OUT OF SOMEBODY'S WELL OVER HERE IN RIVER ROAD?
>> WELL, YOU'RE ALWAYS GOOD FOR ANALOGY.
CAN I ADD JUST A LITTLE BIT [OVERLAPPING] OF COLOR TO YOUR ANALOGY? I WOULD SAY, I DON'T THINK WE'RE DATING.
WHEN WE ENTER INTO A CONTRACT, WE'RE GETTING MARRIED.
RIGHT NOW, WE'RE TALKING ABOUT THE PRENUP.
HOW CAN WE WORK THROUGH THIS TO MAKE SURE THAT BOTH SIDES ARE SATISFIED WITH THIS AGREEMENT? I HAVE A QUESTION FOR STAFF ON THE TWO TIMES.
WHAT WE'RE TALKING ABOUT AND WHAT I WANT TO KNOW IS HAVE WE DONE COST ANALYSIS ON THIS? BECAUSE I KNOW WE'RE SAYING, WOW, WE'RE GETTING TWO TIMES, WE'RE GETTING TIME-AND-A-HALF OR WHATEVER.
WE'RE APPRECIATIVE OF FERMI, COMMITTING TO BUILD THE WATER INFRASTRUCTURE, BUT THEN WE HAVE TO MAINTAIN IT.
WELL, THIS IS A LITTLE BIT DIFFERENT THAN MAINTAINING SOMETHING THAT'S INSIDE THE CITY OR A RATE PAYER.
I JUST WONDER, HAVE WE PUT PENCIL TO PAPER TO DETERMINE IF HOW MUCH IT'S GOING TO COST TO MAINTAIN IT AND IF TWO TIMES IS THE RIGHT? BECAUSE IF, FOR SOME REASON, WHAT WE'RE COLLECTING FROM THEM ON THE WATER IS NOT PAYING FOR THE MAINTENANCE, THE UPKEEP, WHATEVER OF WHAT THEY'RE GRACIOUSLY GIVING US AFTER THEY PAY FOR IT, THEN THAT'S GOING TO GO BACK TO THE RATE PAYERS.
IF IT'S COSTING US MORE THAN THEY'RE PAYING US TO BE ABLE TO MAINTAIN THAT, I JUST WONDERED, DID WE DO A COST ANALYSIS TO LOOK AT THAT TO MAKE SURE THAT WE'RE GETTING A PREMIUM BECAUSE THEY'RE NOT IN THE CITY, BUT THEY'RE ALSO WE'RE GOING TO HAVE ENOUGH MONEY TO BE ABLE TO MAINTAIN THAT, SO THE COST DOESN'T HAVE TO GO TO THE RATE PAYERS.
>> I HAVE VERY HIGH LEVEL YES, WE HAVE.
WHEN WE GET TO THE 5.5 REQUESTS, IF THAT COMES BACK, THERE'S GOING TO BE ADDITIONAL ANALYSIS WE'RE GOING TO HAVE TO DO FOR STAFFING, FOR MAINTENANCE OF THE WELL FIELD, AND SOME THINGS LIKE THAT.
BUT FOR THIS FIRST ASK OF 2.5, WE'VE DONE ENOUGH ANALYSIS, FEEL COMFORTABLE THAT WOULD COVER MAINTENANCE, ABSOLUTELY.
>> HOW MUCH IS IT? I JUST WANT TO I TRUST YOU, BUT I WANT TO VERIFY THAT WE'RE CHARGING THE RIGHT AMOUNT TO MAKING SURE THAT WE'RE COVERING IT.
>> IF YOU'RE CONFIDENT IN IT, THEN I'M GOING TO GO WITH IT.
>> AGAIN, WE'VE BEEN MOVING JUST AS FAST AS EVERYBODY ELSE ON THIS TO TRY TO KEEP UP WITH THE REQUEST.
JUST SO YOU KNOW, AND THIS MAY MAKE YOU FEEL MORE COMFORTABLE ABOUT IT, WE USE HDR ENGINEERING.
THEY HAVE A MODELER THAT WORKS FOR THEM THAT WE'VE BEEN USING FOR OUR SYSTEM FOR A LONG TIME, MODELS OUR SYSTEM, MODELS CAPACITY.
WE START LOOKING AT THINGS LIKE STAFFING LEVELS, DIFFERENT THINGS LIKE THAT.
WE'VE MET WITH OUR WELL FIELD SUPERINTENDENT, SUPERVISORS, PEOPLE THAT ARE OUT THERE MAINTAINING THE POTTER COUNTY, CARSON COUNTY WELL FIELD, WHAT NEEDS THEY WOULD HAVE, WHAT MAINTENANCE NEEDS THEY'RE LOOKING AT.
NOT ONLY THAT, BUT ALSO LOOKING AT THE THINGS THAT NEED MAINTENANCE NOW, AND WE'VE HAD CONVERSATIONS ABOUT THAT TOO THAT THOSE NUMBERS COULD COVER SOME OF THE THINGS SUCH AS TRANSMISSION LINES THAT NEED SOME REPAIRS THAT ARE EXISTING TRANSMISSION LINES NOW, SO A FAIRLY THOROUGH ANALYSIS OF ALL THAT THAT WE'RE COMFORTABLE WITH.
>> CAN I ANSWER THAT REAL QUICK? I WANT TO MAKE SURE I'M REAL CLEAR.
I DON'T WANT ANYBODY TO HEAR THAT WE'VE SIGNED A CONTRACT THAT IT'S $8.72, AND THAT'S ALL YOU'RE GOING TO HAVE TO PAY.
YOU ARE INVOLVED IN THE SAME LIVING DOCUMENT THAT WE CALL OUR BUDGET.
THAT BUDGET CAN BE AMENDED, AND THAT BUDGET GETS RE-EVALUATED AT NOT A HIGH LEVEL, BUT A VERY DETAILED LEVEL ANNUALLY.
TO THE CONCERN OF, DO WE HAVE A PRENUPTIAL HERE WHERE WE KNOW WE'RE CHARGING YOU ADEQUATELY? I'M CHARGING YOU AS MUCH AS I CAN POSSIBLY THINK I CAN GET AWAY WITH, AND THAT'S THE ONLY WAY I'M WILLING TO DO THE DEAL.
IF YOU'RE WILLING TO PAY MORE, MR. SISEMORE, PLEASE LET ME KNOW.
OTHERWISE, I'M LOOKING AT IT AS THAT 2X RATE IS 2X OF WHAT THAT RATE IS.
IF WE NEED TO RAISE THAT RATE BY A DOLLAR, THAT IS THE RIGHT OF THE COUNCIL TO CONSIDER.
IF THE WELL FIELD HAS PROBLEMS AND THE PIPES AND THE MAINTENANCE AND EVERYTHING ONE DAY, THERE'S A PUBLIC UTILITY COMMISSION THAT OVERSEES ALL THIS.
WE'RE NOT EVEN GOING DOWN THAT ROAD.
WE'RE SIMPLY LOOKING AT WHAT DOES THIS 2.5 MGD LOOK LIKE HERE TODAY?
>> BUT WE CAN'T CHANGE IT FOR 20 YEARS.
>> WHAT DO YOU MEAN, CAN'T CHANGE IT FOR 20 YEARS?
>> NO. YOU'RE CHANGING THE RATE EVERY YEAR.
THIS IS A 2X RATE, WHATEVER RATE IS.
RATE IS 8.72 FOR THEM RIGHT NOW.
>> BUT WHEN YOU SIT DOWN HERE IN ANOTHER YEAR AND YOU SAY, WELL, I THINK WE SHOULD CHARGE. [OVERLAPPING]
>> WE CAN'T CHANGE THE MULTIPLIER.
>> THAT'S CORRECT. I'M NOT TRYING TO CHANGE THE MULTIPLIER ON THE RATE.
[05:05:01]
I WANT TO HONOR OUR DEAL, BUT IT'S NOT STATIC.I THINK IT'S IMPORTANT THAT EVERYBODY UNDERSTAND, WE'RE NOT SADDLING OURSELVES HERE FOR A FUTURE COUNCIL NOT TO BE ABLE TO ADJUST THE RATE.
NOW, WE DID HAVE A CUSTOMER THAT WAS FIXED AT A CERTAIN LEVEL FOR A TIME.
WE'RE NOT REPEATING THAT MISTAKE. YES, SIR.
>> YES SIR. OBVIOUSLY, I'M NOT A FERMI EMPLOYEE, SO I CANNOT GUARANTEE THAT, BUT I KNOW FROM THE FACT THAT ALL THE CONVERSATIONS THAT FERMI HAS GIVEN ME, THAT THEY WANT TO BE THE BEST COMMUNITY PARTNER THAT WE HAVE.
WE HAVE SOME GREAT COMMUNITY PARTNERS, AND PART OF THAT MEANS BEING VERY GENEROUS WITH OUR COMMUNITY PARTNERS.
THAT WAS PART OF MY REASON TO COME WITH THEM IS I WANT THE BEST DEAL FOR AMARILLO, TEXAS, AND FOR CARSON COUNTY. THIS IS WHERE I LIVE.
IN EVERY NEGOTIATION, THEY HAVE BEEN OVER BACKWARDS TO MAKE SURE THAT AMARILLO AND CARSON COUNTY ARE BEING TAKEN CARE OF.
I DON'T HAVE THE AUTHORITY TO DO IT, BUT THE INTENT IS CERTAINLY THERE.
>> WELL, I APPRECIATE THAT. I KNOW THE MOU CONSIDERED 1.5X, AND WE PUSHED HARD FOR, I BELIEVE, OUR RATE PAYERS, AND I FEEL LIKE IT'S BEEN COOPERATIVE TO GET TO THE 2X.
[OVERLAPPING] GO RIGHT AHEAD, COUNCILMAN SIMPSON.
>> ONE OTHER THING I WOULD LIKE TO DO, AND I THINK WE'VE DONE A GREAT JOB TODAY OF PROVIDING PERSPECTIVE ON THE AQUIFER, I WOULD LIKE TO PROVIDE A LITTLE BIT OF A PERSPECTIVE OF WHERE THIS REQUEST LIVES AS FAR AS THE CITY AND OUR COMMERCIAL CUSTOMERS BECAUSE I THINK THAT IS SOMETHING.
THIS WAS A SLIDE THAT WAS GIVEN TO US AND THIS IS OUR 2024 USERS.
THESE ARE OUR TOP USERS IN 2024.
YOU SEE XCEL, SOUTHWEST PUBLIC SERVICE IS ABOUT 7.3 MILLION GALLONS.
TYSON IS ACTUALLY AT 3.88, AND OWENS CORNING IS WELL BELOW THAT.
IF YOU LOOK AT COMING ON BOARD IMMEDIATELY, FERMI WOULD BECOME OUR NUMBER 3 COMMERCIAL WATER USER.
IF YOU LOOK AT '22, WHICH WAS A LITTLE BIT DIFFERENT, IT WAS A HOT DRY SUMMER, YOU LOOK AT THE CHANGES THAT OCCURRED THERE IN JUST ONE YEAR WITH WHAT SOUTHWEST USE AND WHAT TYSON USE.
BUT IF YOU GO BACK TO THE SLIDE OF 2024, IF YOU LOOK AT 10 MILLION GALLONS A DAY, THAT DOES PUT FERMI AS OUR TOP USERS.
WHILE AS FAR AS THE AQUIFER IS CONCERNED, IT IS A DROP IN THE PROVERBIAL SEA.
BUT WHEN YOU LOOK AT OUR WATER SUPPLY AND WHAT WE HAVE, IT'S A PRETTY GOOD AMOUNT.
I'M JUST POINTING OUT THAT WE HAVE SOMETHING DIFFERENT THAN OTHER COMMUNITIES LIKE LUBBOCK AND OTHER PLACES DON'T.
WE HAVE A LOT OF HIGH-LEVEL, HIGH WATER USERS IN INDUSTRY, AND THEY COME HERE FOR THAT.
I JUST WANT TO POINT OUT WHERE THIS REQUEST WOULD LAND AS FAR AS OUR COMMERCIAL USERS.
>> I THINK IT'S A GREAT PICTURE, COUNCILMAN, 7.3 ON XCEL, SWP OR SPS.
THAT'S ALL POTABLE, OR THAT'S AFFLUENT AS WELL?
>> YEAH. YOU GO BACK TO THE PUBLIC COMMENT, PERIOD.
WE DON'T WANT THEM TAKING OUR WATER.
WE DON'T WANT ANYBODY OTHER THAN THE RESIDENTS TAKING OUR WATER.
YOU REALIZE THIS IS THE MODEL THAT WE ALREADY HAVE.
WE SELL MASSIVE AMOUNTS OF WATER RIGHT NOW AS THE CITY OF AMARILLO TO INDUSTRY, AND WE ADVERTISE AND WE'LL CONTINUE TO DO THE SAME.
IF YOU, BEING OUR BOSS, WANT TO REDIRECT US, YOU HAVE TO FLIP 180 DEGREES AROUND.
WE DON'T NEED TO GO OUT AND BUILD 3,000, 5,000 MORE HOMES.
WE DON'T NEED TO DO ALL OF THE ADDITIONAL PREP FOR GROWTH.
OUR AEDC NEEDS TO TURN AROUND AND GO A DIFFERENT DIRECTION ON THE WAY THAT WE ARE TRYING TO GROW.
GROWTH PAYS FOR GROWTH, AND GROWTH IS WHAT EVERY COMMUNITY NEEDS.
IF YOU'RE NOT GROWING, YOU'RE DYING.
THE CITY OF AMARILLO IS GROWING.
WE WANT IT TO GROW AND PROSPER.
THAT MEANS IT GROWS HEALTHILY.
2.5 MGD IS NOT A GROWTH THAT WE CAN'T HANDLE HERE IF YOU LOOK AT THIS PIE CHART. COUNCILMAN PRESCOTT.
>> I WOULD LIKE TO SAVE JUST A LITTLE BIT OF TIME BECAUSE I WOULD REALLY LIKE TO TALK ABOUT THE REACTORS IN SAFETY AND THE REACTORS.
>> ARE WE GOOD? THANK YOU, DOCTOR. THANK YOU, ZANE.
>> TELL US JUST A LITTLE BIT ABOUT YOURSELF REAL QUICK. EITHER ONE OF THOSE IS FINE.
>> I'M GOING TO USE THIS ONE THEN.
I'M IN THE NUCLEAR INDUSTRY SINCE THE BEGINNING OF MY CAREER, LIKE IT'S BEEN OVER 25 YEARS NOW.
[05:10:02]
I STARTED WITH WESTINGHOUSE ELECTRIC COMPANY, WHICH AROUND THE WORLD, MORE THAN 50% OF THE NUCLEAR POWER PLANTS ARE BASED ON WESTINGHOUSE TECHNOLOGY.THEN AFTER THAT, I'VE BEEN IN CHINA FOR HELPING CNNC, CHINESE NATIONAL NUCLEAR CORPORATION FOR BUILDING THEIR FLEET EXTENSION PROGRAM.
I INVOLVED MULTIPLE PLANTS THERE.
THEN LASTLY, I WAS IN ABU DHABI, AND WHEN ABU DHABI DECIDED THAT OIL RICH COUNTRY THAT THEY NEED NUCLEAR POWER, THEY BUILT FOUR MASSIVE NUCLEAR POWER PLANTS, 01,400 EACH, AND SO I WAS IN THAT PROJECT AND FROM THE BEGINNING TO THE END.
THAT'S CONSIDERED ONE OF THE MOST SUCCESSFUL PROJECT IN THE LAST SEVERAL DECADES IN THE NUCLEAR INDUSTRY FOR OUTSIDE OF CHINA.
THAT'S MY BACKGROUND, AND THEN WE JUST WANT TO ANSWER ANY QUESTIONS THAT YOU MAY HAVE.
>> WE HEARD MANY TIMES FROM THE POPULATION IN OUR CONSTITUENTS THAT THEY'RE VERY CONCERNED ABOUT THE SAFETY, AND THEY'RE VERY CONCERNED ABOUT THE AIR QUALITY AND DIFFERENT THINGS.
CAN YOU GIVE US SOME FACTS ABOUT THE WESTINGHOUSE REACTORS?
>> SPECIFICALLY, IF WE GO WITH THE MOLTEN SALT REACTORS, HAVE THEY BEEN PROVEN TO WORK AND FULLY IMPLEMENTED IN PRACTICE? DO THEY WORK AND HAVE THEY BEEN PROVEN? I THINK WE NEED TO SETTLE SOME OF THE FEAR OF THE FOLKS THAT LIVE IN THESE COMMUNITIES, INCLUDING MYSELF.
THE TECHNOLOGY, WHEN YOU SAY MOLTEN SALT REACTORS, THAT'S BECOMING GENERATION 4.
RIGHT NOW, ALL NUCLEAR POWER PLANTS IN THE UNITED STATES, EXCEPT FOR VOGTLE UNIT RAM FOR AP1000, GENERATION 3.
THEN VOGTLE 3, 4 IS GENERATION 3+ PLUS.
THEY'RE NOT AT THE LEVEL OF G4 YET.
G4 IS THAT THERE ARE ADDITIONAL SAFETY FEATURES.
WHEN THE PLANT IS NOT PRESSURIZED, FOR EXAMPLE, WHEN MOLTEN SALT, IT'S ALMOST ATMOSPHERIC PRESSURE, SO IF THERE'S AN ACCIDENT, THE LEAKAGE IS NOT THAT MUCH, SO THEN RADIATION LEAKAGE OR JUST YOU CAN CONTAIN THE REACTOR A LOT EASILY.
BUT THEN AP1000, THE AP MEANS ADVANCED PASSIVE REACTOR.
THAT MAKES IT THAT DESIGN 3+ IS 10 TIMES SAFER THAN REST OF 200 METAL REACTORS ALREADY IN OPERATION IN THE UNITED STATES.
DON'T GET ME WRONG. THESE REACTORS ARE ALREADY AT THE PROBABILISTICALLY 10^-6 LEVELS SAFE.
HOWEVER AP1000 IS 10^-7 LEVEL SAFE.
THAT'S THE PROVOST RISK ASSESSMENT WHEN YOU APPLY IT FOR THE CORE DAMAGE FREQUENCY OF AP1000.
THAT'S BECAUSE THIS ADVANCED PASSIVE REACTOR DOESN'T NEED ANY COOLANT IN CASE OF AN ACCIDENT.
[BACKGROUND] THEN IF YOU LOOK AT THE [INAUDIBLE] AS AP1000, YOU CAN SEE THAT THERE ARE THESE TWO MASSIVE TANKS OF WATER STORAGE ON THE TOP OF THE REACTOR BUILDING.
WHAT IT DOES IS THAT IF THERE IS AN ACCIDENT, AND THIS IS AGAIN, LIKE 10-^7, LIKE THE LEVELS OF PROBABILISTIC.
BUT THEN IF THERE IS AN ACCIDENT, THERE ARE SOME WHAT WE CALL SCOOP VALVE, LITTLE EXPLOSIVES.
THEY JUST START THE CIRCULATION OF THE WATER FROM THE TOP AROUND THE SEALED CONTAINMENT SHELL, WHICH IS ALL STEEL LINER, AND THEN EVAPORATION IS HELPING COOL DOWN THIS REACTOR WITHOUT ANY MELTDOWN.
>> THAT'S AP1000. THEN THIS WATER STORAGE TANK IS GOOD FOR 72 HOURS, AND AFTER 72 HOURS, ALL YOU NEED TO DO IS THAT JUST REFILL IT.
IF THERE'S A FIRE TRUCK, YOU CAN USE THAT OR THERE'S A WATER POND AT THE SITE, YOU CAN USE THAT.
IN OUR PLAN, WE ARE ALREADY ON THIS MAP, YOU CAN SEE THAT WE ARE PLACING A MAN MADE WATER POND JUST BESIDES THE NUCLEAR POWER PLANTS.
THAT'S OUR RESERVOIR FOR, IN CASE OF A VERY HIGHLY UNLIKELY INCIDENT, WE CAN STILL CONTAIN THIS REACTOR, NOT BECOMING HAZARD TO ANYONE AROUND IT.
>> THE SALT REACTOR, AGAIN, JUST GOING BACK TO THAT, THEY'VE BEEN PROVEN TO WORK,
[05:15:02]
AND ARE THEY OPERATIONAL YET?>> THERE IS IS NO LICENSED ONE YET IN THE UNITED STATES, IN THE WESTERN WORLD.
BUT THE TECHNOLOGY, WE ARE WATCHING THEM FOR OUR SMRS. TODAY, WE ALSO HAVE THE FOUR SMRS. THIS IS OUR SECOND CAMPUS AT THE SITE.
THERE IS N1 FOR THE FOUR LARGE REACTORS AND N2 IS FOR THE FOUR SMRS. CURRENTLY, WE ARE WATCHING THE INDUSTRY, WHO'S MAKING THE HEADWAY WITH REGARDS TO LICENSING, AS WELL AS CONSTRUCTING THEIR NUCLEAR POWER PLANTS, AND ON TOP OF IT, WE WILL, OF COURSE, CONSIDER OUR FUTURE TENANTS PREFERENCE BECAUSE ALL OF THESE GUYS, THEY ALL UNDERSTAND THE IMPORTANCE OF THE NUCLEAR POWER.
ALL THE BIG PLAYERS LIKE AMAZON, MICROSOFT, ALL OF THEM.
THEY ARE INVESTING IN ONE OR SEVERAL SMR COMPANIES FOR THIS DEVELOPMENT.
THEN SOME OF THOSE SMRS ARE ALSO MOLTEN SALT REACTORS, FOR EXAMPLE, TERRAPOWER REACTOR IS ONE OF THE ONE THAT VERY PROMISING.
THOSE ARE THE ONES AND TERRAPOWER IS BILL GATES' COMPANIES OWNED BY MICROSOFT.
THEY ARE ALL INVESTING IN THAT AND WE ARE WATCHING THEM.
BUT WE HAVE NOT MAKE A DECISION ABOUT WHAT WILL BE THE TECHNOLOGY FOR THOSE.
YOU SHOULD UNDERSTAND THAT NUCLEAR POWER PLANT CONSTRUCTION IS A VERY LONG TERM ENDEAVOR, SO IT'S GOING TO TAKE, FOR FIRST REACTOR ONLINE, WE ARE PLANNING END OF 2032.
>> UNDERSTAND. WHAT BYPRODUCTS WOULD COME OUT OF THESE REACTORS, IF ANY, THAT WOULD CAUSE PROBLEMS FOR AIR CONTAMINATION OR POLLUTION?
>> AIR CONTAMINATION, I THINK THAT QUESTION MAY BE COMING FROM THE GAS TURBINES, BECAUSE THE NECTAR REACTORS, WE DON'T DO ANY AIR POLLUTION.
IF THERE IS A LIKE ACCIDENT, AGAIN, THERE COULD BE SOME CASE FOR THAT ONE, BUT THEN AP1000 IS PRETTY SAFE REACTOR, AND THEN WE HAVE A CONTAINMENT BUILDING AROUND IT.
I THINK A LOT OF PEOPLE WATCH THIS DOCUMENTARIES ABOUT CHERNOBYL AND EVERYTHING, THAT REACTOR, NOT EXIST ANYMORE.
NOBODY IS BUILDING OBVIOUSLY DIDN'T HAVE A CONTAINMENT BUILDING.
WHEN THERE IS ACCIDENT JUST LIKE LEAKED OUT.
I CAN ALSO EXPLAIN WHAT HAPPENED AT FUKUSHIMA IN GREAT DETAIL, BUT THEN THAT'S LIKE A VERY CATASTROPHIC INCIDENT, WHICH COULD HAVE BEEN PREVENTED, AND INVESTING WHEN I WAS WORKING IN WESTINGHOUSE AT THAT TIME, WE ACTUALLY PUT AN AP1000 AT THE SAME LOCATION, WE SIMULATED, AND NOTHING WOULD HAVE HAPPENED IF IT WAS A WESTINGHOUSE AP1000 REACTOR.
>> ANY OTHER QUESTIONS, COUNSEL? NO. DESCRIBE FOR US JUST A LITTLE BIT ON THE REDUNDANCY AND THE ADDITIONAL COILS THAT THAT WATER CYCLES THROUGH.
HOW MANY TIMES CAN YOU USE SAY A GALLON OF WATER TO COOL ONE OF THE REACTORS?
>> WHAT WE ARE DOING IS RIGHT NOW, IT IS NOT ONLY US, BUT AROUND THE WORLD, THIS IS BECOMING THE NEXT FOCUS FOR NUCLEAR POWER PLANTS FOR THE COOLANT.
NOBODY WANT TO USE SO MUCH WATER UNNECESSARILY.
WHEN WE HAVE THE DISCUSSION WITH WESTINGHOUSE, WE ALSO DISCUSS ABOUT HOW THEY ARE LOOKING FORWARD FOR REDUCING THE WATER USAGE FOR A NUCLEAR POWER PANT AND THEN HOW EVEN THE VOGTLE PLANT, THE LAST THREE AND FOUR BUILT, COULD THEY HAVE USED LESS WATER, BUT IT WAS ALREADY TOO LATE, THEY ALREADY STARTED THE CONSTRUCTION AND EVERYTHING.
I HEARD ABOUT A COMMENT ABOUT SUDAN COMPANY OWNER OF VOGTLE DID A STUDY ABOUT AIR COOLING OF THESE REACTORS, AND THEN THEY CONCLUDED THAT IT'S NOT FEASIBLE.
IT'S NOT A TECHNICAL FEASIBILITY ISSUE.
WHAT THEY WERE DOING IS THAT THEY ARE NEXT TO A WATER SOURCE, AND THEY ARE COMPARING FOR THE COST OF DOING THIS THAT IF YOU DO THE DRY COOLING VERSUS IF YOU DO THE ALL WET COOLING, HOW MUCH IT WOULD COST TO US.
EVERYONE'S SITUATION IS DIFFERENT WHEN YOU BUILD A NUCLEAR POWER PLANT.
WHAT WE ARE TALKING WITH THE DEPARTMENT OF ENERGY AS WELL IS THAT TWO FAULTS.
ONE, OUR LICENSE APPLICATION WITH THE USNRC IS ALL AIR COOLED CONDENSERS.
IN THE NUCLEAR POWER PLANT, THERE ARE SEVERAL CLOSED LOOPS.
THE FIRST CLOSED LOOP GOING THROUGH THE REACTOR VESSEL, WHICH IS THE CONTAMINATED, AND THIS IS WITH THE RADIATION.
THERE'S PRESSURIZATION IN THIS LOOP.
ALL IT DOES IS THAT IT GOES THROUGH BUNDLE OF LITTLE PIPES INSIDE THE STEAM GENERATOR TO GET
[05:20:03]
THE SECONDARY WATER INSIDE THE STEAM GENERATOR TO PRODUCE STEAM.THIS STEAM GOES TO THE TURBINE, AND AT THE TIME, I NEED TO GET THE STEAM TO CONDENSE BACK TO WATER AND GET BACK.
ONE WAY IS THAT I CAN USE AN OUTSIDE WATER SOURCE, AND THEN THROUGH THE HEAT EXCHANGER, I CAN JUST CIRCULATE AND THEN I CAN GET IT CONDENSE, OR WE CAN PUT THESE AIR COOL CONDENSERS NOW BECOMING PUBLICLY AVAILABLE, WHICH, BY THE WAY, WHEN SUDAN COMPANY DID THIS STUDY, IT WAS 2007, TWO DECADES.
NOW THE TECHNOLOGY REALLY EVOLVED, AND WE CAN JUST PUT THESE AIR COOL CONDENSERS, AND THEN WE CAN SEND THE WATER OUTSIDE, COME BACK TO THE PLANT, SEND STEAM OUTSIDE AND COME BACK TO THE PLANT AS THEY FEED WATER TO GET BACK TO THE STEAM GENERATOR.
I CANNOT TELL WHICH COMPANIES THAT WE ARE WORKING ON BECAUSE WE DID NOT SIGN THE AGREEMENT YET, BUT THEN THE COMPANY WE ARE WORKING WITH RIGHT NOW, THEY CAME VISIT US, AND THEN NOW WE'RE GOING TO MEET THEM IN EUROPE.
THEY ARE EXPERT IN THIS TECHNOLOGY.
THE ONE FOR THE SAFETY SYSTEM, AGAIN, AP1000 IN CASE OF AN ACCIDENT, DOESN'T NEED ANY OUTSIDE WATER.
IT CAN GO BY ITSELF BY UP TO 72 HOURS.
BECAUSE OF ALL THESE PASSIVE SYSTEMS, IT ALSO USE VERY LITTLE COOLANT WATER.
OUR SOLUTION FOR THIS ONE IS THAT CREATING THIS POND AT THE SITE, AND THEN THIS WATER IS CALLED SWS SERVICE WATER SYSTEM.
WE'RE JUST GOING TO RECIRCULATE THIS ONE TO THE POND JUST FOR OUR COMPONENT COOLING SYSTEM.
THESE ARE ONLY ESSENTIAL EQUIPMENT INSIDE THE REACTOR THAT WE NEED TO COOL, BUT THIS IS NOT STEAM, SO THIS IS JUST HOT WATER, AND THEN WE'RE JUST GETTING IT CHILLED AND THEN GET BACK.
THIS MAN MADE WATER POND, ESTIMATION IS THAT THAT WILL BE 1-2% PER DAY EVAPORATION, BUT THAT'S ALL WEATHER DEPENDENT.
THEN WE ARE ESTIMATING AT THIS TIME, WHICH, BY THE WAY, THERE IS A ENGINEERING ALREADY ONGOING WITH SOME FOREIGN COMPANY AS WELL AS WITH WESTINGHOUSE.
THEY ARE WORKING ON THE ENGINEERING.
BUT THE GUESSTIMATE SIZE OF THIS POND WILL BE 20 MILLION GALLONS WHICH IS A 30 OLYMPIC SIZE SWIMMING POOLS.
YOU HAVE A FOLLOW UP AND I'LL ASK MY NEXT ONE.
ON THE CCS SYSTEM, WILL THIS, AT ANY TIME, EVER GO INTO THE AQUIFER AND HAVE A CLOSED LOOP SYSTEM AND USE THE AQUIFER AS A SUMP FOR COOLING, A HEAT SUMP?
>> GET TO THAT. THIS IS OUR SOLUTION AT RIGHT NOW BECAUSE IT'S A VERY GOOD SOLUTION, BUT WHAT IS GOING ON IS ALSO THAT NUCLEAR IS HIGHLY REGULATED INDUSTRY.
THEN THERE IS ANOTHER PRIVATE COMPANY SAYING THAT, I THINK THIS WOULD WORK.
LET ME DO THIS. WE CANNOT DO THAT.
WE ARE REGULATED BY THE NUCLEAR REGULATORY COMMISSION, AND AROUND THE WORLD NRC IS DEFACTO THE NUCLEAR REGULATOR.
THIS IS THE MOST TRUE NUCLEAR REGULATOR IN THE WORLD.
WE ARE SUBMITTING OUR DESIGN CHANGES FOR OUR SITE SPECIFIC CONDITION.
WE ARE SUBMITTING OUR DESIGN FOR THIS PLANT FOR A LICENSING APPLICATION TO THE NRC, AND THEN THEY ARE PERFORMING THIS REVIEW.
OUR APPLICATION JUST BEEN ACCEPTED BY THE NRC ON SEPTEMBER 5.
THAT MEANS THAT THEY HAVE NOW 18 MONTHS TO REVIEW, ASK US QUESTIONS, TO GO THROUGH THIS.
AS PART OF THIS REVIEW, THERE IS ALSO ENVIRONMENTAL IMPACT STATEMENT HAS TO BE CREATED BY THE NRC.
FOR THAT, WE ALREADY HAVE A CONSULTANT COMPANY WORKING WITH THAT INFORMATION AROUND HERE, AND THEY'RE PROVIDING THAT INPUT TO THE USNRC FOR REVIEW.
THAT ONE IS ALSO GOING TO DETERMINE THAT IF WE ARE HAVING ANY IMPACT TO THE WATER AROUND US OR THE AQUIFER OR ANYTHING, THAT WILL ALSO BE INCLUDED IN THAT REPORT.
>> VERY HELPFUL. MY FOLLOW UP QUESTION IS ON THAT NRC.
IS THERE ANY INCLINATION THAT THEY WOULDN'T APPROVE THIS MODEL? THESE AP1000 WITH THIS HYBRID COOLING SYSTEM AND THE DESIGNS THAT YOU ARE PROPOSING?
>> AP1000 DESIGN IS GENERICALLY DESIGNED PUT IN THE UNITED STATES.
THERE'S A VERSION CALLED CAP1000 IN CHINA.
[05:25:04]
THIS IS A TIME THAT LIKE NOBODY WANTED TO BE THE FIRST CUSTOMER, SO I WAS WITH WESTINGHOUSE.WE HAD TO SELL IT TO CHINA, AND THEN WITH A TECHNOLOGY TRANSFER.
NOW CHINESE ARE BUILDING THESE IN THEIR COUNTRY, AND THAT'S ONE OF THOSE LIKE 22 PLANTS UNDER CONSTRUCTION, AND THEY'RE ACTUALLY BUILDING A LOT FASTER THAN WE ARE BUILDING.
WE JUST WANT TO REALLY GET BACK TO THIS BECAUSE THIS IS A TECHNOLOGY WE DEVELOP, AND THEN NOW THEY ARE DOING IT BETTER THAN US.
IT'S NOT ACCEPTABLE, SO WE NEED TO JUST GET BACK TO THAT RACE AND THEN JUST BEAT THEM.
FOR THE NUCLEAR ISLAND, IT'S APPROVED.
THAT NUCLEAR ISLAND IS ACTUALLY OUR LOCATION IS BETTER THAN VOGTLE LOCATION, WHICH THEY HAD TO DO A LOT OF GROUND IMPROVEMENT FOR THE CONSTRUCTION.
OUR LOCATION IS A LOT BETTER FOR THAT.
FOR THE TURBINE ISLAND IS ALL ABOUT THE OPERATOR, HOW MUCH THE EFFICIENCY LOSS.
TOBY TALKING ABOUT THIS DRY COOLING WATER CONSUMPTION TABLE.
THIS IS JUST A REPRESENTATIVE FROM THE COMPANY THAT WE ARE WORKING WITH.
WHAT THEY ARE SUGGESTING IS THAT INSTEAD OF FULL DRY COOLING, IF YOU JUST LUBE IT WITH WATER JUST A BIT, THIS WILL BE THE EFFICIENCY THESE DISCUSSIONS.
BUT AGAIN, OUR BASE WITH OUR APPLICATION IS THE DRY COOLING AT THIS TIME, BUT WE ARE LOOKING FOR ALSO LIKE WHAT CAN WE DO? MAYBE WE CAN GET SOME BROWN WATER AND THEN JUST USE THAT ONE.
>> THESE WORK VERY WELL IN A SEMI ARID ENVIRONMENT WITH LOW DEW POINTS LIKE WE HAVE HERE?
>> CORRECT. THEN THIS IS GOING TO BE LIKE ONE OF THE INNOVATIVE SOLUTIONS THAT DEPARTMENT OF ENERGY IS ALSO LOOKING FORWARD FOR COMPANIES TO DO.
THIS SOLUTION, WHEN WE JUST ACHIEVE IT, WILL OPEN UP THAT WE CAN BUILD TO NUCLEAR POWER PLANTS ANYWHERE IN THE UNITED STATES, THAT WE DON'T NEED TO BE TIED TO ANY WATER SOURCE NEXT TO US.
>> I HAVE A COUPLE OF ENERGY QUESTIONS, SO I DON'T KNOW IF IT'D BE SPECIFICALLY NUCLEAR OR SOMEBODY ELSE WOULD NEED TO ADDRESS THIS, BUT AT A HIGH LEVEL, WHAT ARE THE ENERGY SOURCES THAT ARE BEING USED HERE AND HOW MUCH DEPENDENCE ON EACH ENERGY SOURCE?
>>AT FERMI. WHAT WILL YOU USE TO GENERATE AND HOW'S THE BREAKDOWN ON THAT?
>> WE HAVE THIS NUCLEAR POWER PLANTS.
THERE ARE FOUR LARGE NUCLEAR POWER PLANTS, SO AP 1,000 GUARANTEED CAPACITY IS 1,000 MEGAWATTS, SO 1 GIGAWATT EACH.
THAT'S THE GUARANTEED. BASED ON THE SITE CONDITION, IT CAN BE HIGHER THAN THAT.
AT VOGLE THEY ACHIEVE CLOSE TO 1,200, FOR EXAMPLE, SO IT CAN BE ACHIEVED.
WE HAVE FOUR AP 1,000, THEN WE ARE ALSO PLANNING FOUR SMRS. SMRS AT THIS TIME, 350, BUT THEN THERE ARE 472 VERSIONS, ONE OF THEM, NEW SCALE ALREADY BEEN APPROVED BY THE US NRC.
IF WE GO WITH THAT ONE, IF YOU SAY AROUND 500 WITH ANOTHER TWO GIGAWATT THERE.
TOTAL ABOUT SIX GIGAWATT OFF THIS ONE, WILL BE FROM NUCLEAR.
THE REST OF THEM WILL COME FROM MANY COMBINED CYCLE GAS TURBINES.
THERE'S A PRIMARY CYCLE THAT JUST GET THE GAS AND THEN JUST TURN THE TURBINE.
BUT THEN WITH THE EXCESS HEAT, YOU CAN GET THAT HEAT TO BOIL THE WATER AND THEN GET ADDITIONAL STEAM TURBINE, AND SO THAT'S A SECONDARY CYCLE, WHICH IS THEN BECOMING VERY EFFICIENT.
WHAT WE ARE USING INITIALLY IS CMS SGT-800.
THOSE ARE VERY WELL KNOWN INDUSTRIAL NATURAL GAS COMBINED CYCLE MODULES.
AT OUR ELEVATION IS ABOUT 60 MEGAWATT EACH OF THEM.
IF WE GO TO COMBINE ANOTHER 30 MEGAWATT.
JUST UNDERSTAND THAT THESE DATA CENTER IS ALSO LOOKING FOR VERY HIGH RELIABILITY OF THE ENERGY.
THEN THEY DON'T WANT TO GET ANY POWER OUTAGES.
FOR THAT REASON, WE ALSO HAVE THE BATTERY SYSTEM, AND WE HAVE THE SOLAR POWER.
SOLAR IS ACTUALLY REALLY FEEDING THE BATTERY, AND THEN OUR POWER GOING THROUGH THE BATTERIES TO THE DATA CENTERS.
IF THERE IS A [INAUDIBLE] WITH ONE OF OUR UNITS AND THEN WE LOST POWER, THEN THE BATTERY CAN MAKE UP THAT DURATION.
IT'S ALMOST LIKE AN INTERRUPT POWER SUPPLY.
DURING THAT TIME, WE'RE GOING TO START ANOTHER GAS TURBINE.
AT THE END AT OUR SITE, WE WILL HAVE GAS TURBINES CAPABLE OF GENERATING UP TO 11 GIGAWATT OF ENERGY, BUT THEY WILL BE ON A STAND BY MODE.
[05:30:02]
>> COUNCILMAN, IF I COULD JUST ADD ONE THING TO THAT.
WITH THESE GAS TURBINES, WE'RE USING THE SAME TYPES OF UNITS, OUR NEW 1.1 GIGAWATTS FROM SEMENS.
THESE SGT-800 ARE TYPES OF UNITS LIKE EXCEL IS COMFORTABLE WITH, AND GE VERONA UNITS ARE THE SAME TYPES OF UNITS THAT THE MAJOR GRIDS USE.
THE TOOLS THAT WE'RE USING, THE ADD ONS LIKE HORSES AND SCRUBBERS WILL MAKE THIS ONE OF THE CLEANEST GRIDS IN THE UNITED STATES BEFORE WE BRING ON NUCLEAR.
FAR CLEANER THAN, VIRGINIA, MARYLAND, PENNSYLVANIA, AND FAR CLEANER THAN AIR COTS BECAUSE WE DON'T HAVE TO LIVE WITH THE LEGACY GRID DECISIONS THAT THEY HAD 50 YEARS IN BUILDING.
>> RIGHT. YOU'RE GOING TO BE GETTING ELECTRICITY FROM EXCEL AT START UP.
I GUESS YOU'LL CONTINUE USING THAT GOING FORWARD?
>> WHAT'S THE MAXIMUM CAPACITY THAT YOU NEED FROM EXCEL WHEN IT'S UP FULLY OPERATIONAL?
>> THE MAXIMUM THAT WE'VE ASKED FOR IS 200 MEGAWATTS UP TO 11 GIGAWATTS.
>> YOU'RE CONFIDENT THAT YOU WILL NOT NEED ANY MORE THAN THAT FROM EXCEL?
>> NO, WE CAN USE RENTAL GENERATOR UNITS TO SUPPLEMENT.
IT'S ALWAYS GOOD TO HAVE A BACKUP BATTERY IN YOUR POCKET.
>> RIGHT. WELL, THE REASON WHY I ASKED BECAUSE, AGAIN, AND I THINK YOU'VE ADDRESSED THIS BY TRYING TO HAVE, BUT JUST TO ASK THE QUESTION THAT GETS ASKED TO MAYBE CLARIFY IT, BECAUSE ACROSS THE COUNTRY, WE HAVE SEEN CREDIBLE REPORTS OF THAT HAPPENING.
I JUST WAS WANTING TO, I GUESS, COMMIT TO HEAR THAT THERE'S NO PLANS AT ALL EVER TO TAKE A SIGNIFICANT AMOUNT OF ELECTRICITY THAT WOULD RESULT IN SUCH A DEMAND FROM THAT THAT EXCEL WOULD BE RAISING RATES TO COMPENSATE FOR THAT.
>> THE ENTIRE THESIS OF FERMI AMERICA IS IT IS UNFAIR TO BURDEN THE TAXPAYER FOR ARTIFICIAL INTELLIGENCE.
THE COMPANIES, THE BIG HYPERSCALERS, THE MAG-7, WITH MULTI TRILLION DOLLAR MARKET CAPS, SHOULD NOT ASK THE TAXPAYER TO SUBSIDIZE THE HIGHEST MARGIN BUSINESS IN THE WORLD.
THAT IS WHY WE ARE SO EAGER TO COME TO AMARILLO AND BE GOOD PARTNERS AND WHY WE ARE PERFECTLY FINE WITH PAYING 2X FOR WATER.
THE TAXPAYER SHOULD RECEIVE BLESSINGS FROM THIS PROJECT.
>> WILL AMARILLO, THE REGION RECEIVE ANY ENERGY BENEFIT OR PRIORITY ACCESS FROM THE POWER GENERATED, OR WILL IT ALL BE DEDICATED TO FERMI?
>> WE'RE WORKING ON WHAT HOW THIS NEEDS TO LOOK LIKE, AND WE WANT TO HAVE GOOD CONVERSATIONS WITH ALL.
WE'VE BEEN HAVING FANTASTIC CONVERSATIONS WITH EXCEL.
IN AN EMERGENCY, WE WOULD LOVE TO GIVE THEM POWER.
THE THESIS OF THIS IS THAT THIS IS POWER PAID FOR, BUILT AND FOR HYPERSCALERS.
BUT WE REALLY WANT TO BE GOOD NEIGHBORS.
>> YOU'RE SAYING THAT THIS POWER, IT COULD GO INTO ERCOT OR IT COULD STAY IN THE SOUTHWEST SYSTEM?
>> IT WOULD NOT GO INTO ERCOT, CURRENTLY, TO MY KNOWLEDGE, WE DON'T HAVE ANY INTENTION OF BUILDING ANY CONNECTIONS TO ERCOT.
WE WILL HAVE THE RED LINE ON THE UPPER LEFT HAND CORNER IS A 200 MEGAWATT.
I CAN GET ONE OF OUR POWER EXPERTS TO CONFIRM THAT.
BUT THAT LINE IS DESIGNED FOR UP TO 200 MEGAWATTS.
I SHOULD SAY THAT OUR REQUEST IS INITIALLY FOR 86 MEGAWATTS OF FIRM POWER.
THE ADDITIONAL 114 TO GET TO 200 IS NOT FROM GRID POWER, BUT FROM RENTAL TM 2,500 UNITS THAT EXCEL CAN LEND OR LEASE TO US.
WE'RE REALLY ONLY ASKING FOR 86 MEGAWATTS FROM THE GRID.
>> WE HEARD EARLIER THAT THIS IS FOUR TIMES WHAT DALLAS FORT WORTH NEEDS?
>> THE CITY OF DALLAS, ALL THE GRID SPIKE, DEPENDING ON HOW MUCH AIR CONDITIONING YOU'RE USING, ETC.
ON AVERAGE, THE CITY OF DALLAS IS ABOUT A GIGAWATT.
VERY WELL DONE, VERY INFORMATIVE.
YOU'VE ANSWERED A LOT OF QUESTIONS. THANK YOU.
IN OUR DISCUSSION HERE, MR. SIZEMORE, THANK YOU FOR COMING IN AND RUNNING THIS PRESENTATION, I KNOW WHAT WE'VE DONE HERE IS PUSHED US LATE LATE INTO THE EVENING.
WE'VE GOT A LOT OF COUNCIL THAT HAD CONCERNS.
WE OBVIOUSLY HEARD PROLIFIC AMOUNT OF PUBLIC COMMENT WITH ALL WORRIES.
I FEEL CONFIDENT RIGHT NOW THAT IF YOU WERE TO WATCH THE ENTIRE MEETING,
[05:35:02]
WE'VE ELIMINATED THE MAJORITY OF THOSE CONCERNS.I THINK THE CONCERNS THAT STILL ARE RESONATING ARE AI AND WHAT'S THE SECURITY ASPECT AROUND NUCLEAR NEXT TO NUCLEAR.
MY FINAL QUESTION WOULD JUST BE DOE, CHRIS WRIGHT, SECRETARY OF ENERGY.
THEY'VE SIGNED OFF ON EVERYTHING.
THERE'S NOTHING INCUMBENT UPON US AS A WATER CONTRACT SELLER, AND LEADERS IN THE COMMUNITY TO TRY TO STEP OVER INTO THE SECURITY ASPECT OF HOW PANTEX PROTECTS ITSELF.
>> YES, SIR. THIS IS THE MOST SENSITIVE MILITARY SITE IN THE UNITED STATES, AND SOME SOURCES SAY THE WORLD.
WE'VE BEEN TOLD THAT IT TOOK OVER 20 US GOVERNMENT AGENCIES TO APPROVE THE HANDOVER OF THE LEASE FROM PANTEX AND THE DOE TO FERMI AMERICA.
WE ARE IN ACTIVE CONVERSATIONS WITH MANY OF THOSE AGENCIES, THE LEADS BEING THE DOE, THE NRC, AND THE FBI IS HAVING REALLY PRODUCTIVE CONVERSATIONS WITH US ON HOW WE CAN MAKE SURE THAT WE'RE USING THE PROPER PROCEDURES AND PROTOCOLS.
THEY WOULDN'T HAVE HANDED OVER THIS SITE NEXT TO THEIR MOST IMPORTANT MILITARY ASSET IF THEY WEREN'T CONFIDENT THAT WE CAN OPERATE WITHIN THESE PROTOCOLS AND KEEP THE SAFETY OF EVERYONE AT THE PLANT, OF THE COUNTRY AND OF THE PEOPLE IN THE SURROUNDING COMMUNITIES.
>> VERY GOOD. COUNCIL, AT THIS TIME, I'M WANTING TO CLOSE THE DISCUSSION.
DOES ANYBODY HAVE ANYTHING ELSE THAT THEY WANT TO OFFER FOR FEEDBACK FROM THE FERMI TEAM THAT'S HERE?
>> WELL, I KNOW WE'RE HERE LATE, BUT THIS IS THE END OF THE QUESTION PERIOD.
>> WE CAN MOVE INTO ITEM 10B, WHICH WOULD BE THE ACTUAL CONTRACT.
WE CAN ASK QUESTIONS ON THE CONTRACT.
I'M JUST HOPING IN MOVING THIS FORWARD.
WHILE WE'VE GOT THESE EXPERTS HERE, IF WE HAVE FURTHER CONCERNS ON WATER, NUCLEAR, GENERATION POWER, WHATEVER.
WHAT WE'VE DONE HERE TODAY, LADIES AND GENTLEMEN, IS THAT WE'VE TAKEN FOUR WEEKS OR MORE WORTH OF MEETINGS, AND WE'VE CONDENSED THEM INTO A VERY HIGHLY EDUCATIONAL SEMINAR.
THIS IS NOT NORMAL. NORMALLY, WE GET A TEN MINUTE PRESENTATION.
COUNCIL HAS A FEW SURFACE LEVEL QUESTIONS, AND THEN WE ACT.
BUT THIS IS NOT A NORMAL PROJECT.
AT THIS MOMENT, THIS WOULD BE MY STATEMENT.
WE HAVE WALKED THIS FORWARD WITH YOU, AND WE'VE GOT IT IN FIRST GEAR.
THE ONLY THING I'M NOT WILLING TO DO IS PUT IT IN PARK.
I DIDN'T DO ALL THIS WORK, AND I DIDN'T COME HERE TO GET EDUCATED IN ORDER TO JUST DRAG MY FEET ON SOMETHING.
AT THIS TIME, I THINK EVERY ONE OF US THAT ARE VERY HIGHLY INTELLECTUAL AND EDUCATED ON THIS SIDE OF THE DIAS, SHOULD BE IN A POSITION TO TAKE ACTION EITHER IN A YES OR A NO.
BEFORE I MOVE US TO ITEM TEN B, I'M JUST ASKING IF COUNCIL HAS ANY CONCERNS THAT THEY NEED ALLEVIATED FROM THE TEAM THAT'S HERE.
>> WELL, I GUESS I DO HAVE A COUPLE OF QUESTIONS BECAUSE THIS HAS COME UP, AND IT'S SOMETHING THAT'S IMPORTANT, BUT I GUESS WHAT SPECIFIC STEPS DOES FERMI PLAN TO TAKE TO ENGAGE WITH THE COMMUNITY MOVING FORWARD, TO ENSURE TRANSPARENCY AND PUBLIC CONFIDENCE.
FOR WHATEVER HAPPENED, PEOPLE DIDN'T KNOW, THEY FEEL LIKE THEY SHOULD BE NOTIFIED OF WHATEVER, BUT WHAT I'D REALLY LIKE IS SOME SPECIFICS BECAUSE IN MY MIND, I WOULD LIKE TO SEE SOME SPECIFICS IN THIS AGREEMENT.
AGAIN, THIS IS DIFFERENT THAN ANYTHING THAT WE'VE EVER DONE BEFORE.
I HAVE SOME IDEAS THAT RELATE TO THAT, BUT NOT ONLY THAT, BUT THE SPECIFIC STEPS THAT CITIZENS CAN FEEL COMFORTABLE WITH AND THAT FERMI CAN PUT IN WRITING TO SAY, HERE IS WHAT WE'RE GOING TO DO, AND HERE'S WHAT WE'RE COMMITTED TO DOING GOING FORWARD.
>> WELL, LET ME HAND THIS OVER TO TRENT, BUT LET ME SAY FROM THE FERMI MANAGEMENT TEAM, FROM DAY ONE, THE THESIS HAS BEEN THAT WE WANT TO BE A BLESSING TO THE LOCAL COMMUNITIES.
MANY OF US WERE BORN HERE IN THE PAN HANDLE.
WHATEVER IT TAKES TO BE A GOOD NEIGHBOR TO THIS COMMUNITY, WE WILL DO, AND I'LL LET TRENT TALK ABOUT WHAT THOSE STEPS ARE.
>> SURE. DO I HAVE ALL THE ANSWERS FOR THIS ONE? NO. [LAUGHTER] BUT I DO HAVE DIFFERENT IDEAS THAN I HAD WHEN WE CAME TO THIS MEETING.
THERE'S A HIGH LEVEL OF LEARNING THAT HAS TO BE DONE TO PRESENT THIS TO THE COMMUNITY.
I HOPE THAT A LOT OF THAT WOULD HAPPEN TODAY, BUT A LOT OF THE COMMUNITY MEMBERS LEFT AND DIDN'T ENGAGE WITH THAT.
[05:40:04]
BUT I WOULD LIKE TO SEE SOMETHING JUST LIKE THIS ON A LARGER SCALE.I'D BE LOVE FOR THE COUNCIL TO BE INVOLVED ASKING QUESTIONS.
WE COULD PUBLISH THE MEETING WAY IN ADVANCE, SO THERE'S NO OPEN MEETINGS VIOLATION AT ALL.
YOU COME WITH THE SAME QUESTIONS.
WE'LL HAVE A BIGGER VENUE, AND WE'LL LOOK SO THAT IT WORKS OUT FOR EVERYONE'S SCHEDULE.
THEN MAYBE DO IT DURING THE DAY AND HAVE GEORGE STRAIGHT PLAY AT NIGHT AND LET COUNCIL PAY FOR IT.
>> COUNCILMAN SIMPSON, NOT THAT I DON'T WANT TO ENTERTAIN THE GEORGE STRAIGHT.
>> I'M JUST TRYING TO [LAUGHTER].
>> KING GEORGE, ALWAYS WELCOME IN AMARILLO.
COUNCILMAN SIMPSON. WE'RE PROPOSING A 2.5 MGD.
WE KNOW THERE'S AN ASS COMING AT A 5.5 AS THIS PROGRESSES.
THERE'S HUNDREDS OF MILLIONS OF DOLLARS THAT ARE INVESTED.
I LIKE THE DIRECTION YOU'RE GOING.
I THINK IT'S SMART. LET'S PUT IT ON PAPER.
LET'S GET THIS MOU OUT INTO A GOOD GUIDING DOCUMENT THAT TIES THE HANDS OF US TOGETHER.
LET'S STICK WITH YOUR PRENUPTIAL ANALOGY IN THIS, LET'S HAVE A GOOD HEALTHY RELATIONSHIP.
THIS IS A CONTRACT. IT'S NOT A COVENANT.
WE'RE NOT RELEASING OUR RIGHTS OVER TO FERMI, WE'RE RESTRICTING THEIR RIGHTS ON US IN SOME WAYS.
YOU'RE WANTING TO DO THAT FURTHER.
I LIKE THAT, BUT I FEEL LIKE THAT IS A NEXT STEP.
>> WELL, BEFORE WE COULD DO ANYTHING, I WANT EVERYTHING THAT I COULD EVER HAVE PUT ON PAPER.
THAT'S NOT HOW BUSINESS WORKS, AND THAT'S NOT HOW [LAUGHTER].
>> I UNDERSTAND. CAN I MAKE A SUGGESTION AT THAT POINT?
>> I UNDERSTAND THAT RIGHT NOW, WE ALL HAVE BUSINESS TO DO, THEY HAVE WATER TO HAVE, THAT TYPE OF THING.
BUT LET ME JUST TELL YOU WHAT I WOULD BE LOOKING FOR.
WHAT I WOULD LIKE TO SEE IS IN THIS AGREEMENT THAT WE'RE ABOUT TO PASS, THAT THERE'S A NOTATION THAT THIS IS COMING.
WE CAN'T PRODUCE ALL THIS OVERNIGHT.
BUT THE THINGS THAT I WOULD LIKE TO SEE IN WRITING IS A COMMITMENT TO IS, AGAIN, HOW FIRMLY WILL MAINTAIN TRANSPARENCY AND OPEN COMMUNICATIONS WITH THE CITY COUNCIL AND THE PUBLIC.
MORE WORRIED ABOUT THE PUBLIC THAN CITY COUNCIL, BUT WE NEED TO DO BOTH OF THOSE.
THE OTHER CONCERN THAT I HAVE IS, HOW WILL FERMI SUPPORT WORKFORCE DEVELOPMENT TO BUILD A STRONG LOCAL LABOR FORCE THAT BENEFITS FERMI AND AMARILLO.
THERE IS SOME CONCERN, AND I THINK IT'S VALID OF WHERE IS THIS LABOR FORCE GOING TO COME FROM WHEN WE CURRENTLY HAVE 3% UNEMPLOYMENT.
I WOULD JUST LIKE TO SEE IF THAT'S SOMETHING THAT FERMI FEELS THEY'RE COMMITTED TO, THAT THAT'S PART OF SOMETHING THAT'S IN WRITING TO SAY, HERE'S HOW WE WOULD LIKE TO COMMIT TO IT.
THE THIRD IS JUST COMMITMENTS FOR PROTECTING OUR NATURAL RESOURCES, WATER, ENERGY, BY PREVENTING OVERUSE AND ENSURING ENVIRONMENTAL SAFEGUARDS.
THE FOURTH THING THAT I WOULD BE LOOKING FOR IS, AND I'M GLAD THAT THERE'S THE PHILANTHROPIC PART OF IT, AND THAT'S GREAT.
BUT WE HAVE TAXPAYERS AND RATE PAYERS WHO HAVE NEEDS AND DEMANDS, TOO.
WHILE I'M GLAD THAT WE'RE GETTING TWO TIMES ON THAT.
GROWTH WHILE GOOD ALSO HAS ISSUES AND PROBLEMS AND CAN COME ALONG WITH GROWTH, WHETHER IT'S INFRASTRUCTURE.
I WOULD JUST ALSO BE INTERESTED IN PLANS THAT FERMI MAY HAVE TO PERHAPS PARTNER WITH THE CITY TO HELP ADDRESS THE CHALLENGES THAT GROWTH COULD PLACE ON OUR COMMUNITY.
IT COULD BE A STRESS ON OUR CITY BUDGET.
IT COULD BE ON INFRASTRUCTURE AND HOUSING.
I DON'T THINK THIS SHOULD BE IN WHATEVER THE IMMEDIATE AGREEMENT WOULD BE.
BUT WHAT I WOULD LIKE TO SAY, LET'S SET A DEADLINE, MAYBE NO MORE THAN SIX MONTHS FROM NOW THAT WE CAN COME BACK AND WE CAN TALK THROUGH WHAT THESE COMMITMENTS TO OUR COMMUNITY ACTUALLY LOOK LIKE.
THEN, I'D LIKE IT TO BE SOMETHING THAT EVERY YEAR, YOU'RE COMING BACK AND TALKING ABOUT, HERE'S WHAT WE SAID WE WERE GOING TO DO, AND BECAUSE WE'RE USING YOUR RESOURCE, THIS IS WHAT WE'RE DOING, AND THAT WE ALL HAVE A GOOD FEELING OF HOW THIS RELATIONSHIP IS MOVING FORWARD.
I REALLY WOULD LIKE TO BE TEXAS TECH AND LET'S GET THOSE HUNDREDS OF MILLIONS OF DOLLARS.
I KNOW WE'RE GETTING TWO TIMES THE RATE, BUT I JUST THINK, WE'RE GIVING THIS WATER AND RESOURCE.
IT'S A PARTNERSHIP, AND I WERE CRUCIAL.
I JUST WANT TO MAKE SURE THAT WE AND ME ARE DOING THE BEST TO PROTECT OUR CITIZENS, TO DO WHAT'S IN THE BEST INTERESTS OF OUR RATE PAYERS AND TAXPAYERS.
I THINK GETTING SOMETHING IN WRITING ABOUT THAT WOULD JUST MAKE EVERYBODY CLEAR ABOUT WHAT THE EXPECTATIONS ARE MOVING FORWARD.
>> COUNCIL SIMPSON, ARE YOU WANTING THE MONEY TO GO TO THE GEORGIA BULLDOGS?
>> NO, I'LL JUST SETTLE FOR AMARILLO TAXPAYERS.
>> I UNDERSTAND. FERMI IS COMMITTED TO DOING THAT.
I CAN SAY THAT AS A REPRESENTATIVE THAT WE'LL LOOK DOWN THE ROAD AT PUTTING TOGETHER
[05:45:04]
A DOCUMENT THAT WILL SATISFY THE COUNCIL AND THAT WE CAN HAVE AS AN ONGOING DOCUMENT, A LIVING DOCUMENT THAT WE WORK ALONG WITH THE COUNCIL TO MEET THESE DELIVERABLES THAT THE COUNCIL IS ASKING FOR IN THE FUTURE.I WILL TELL YOU THAT I'VE ALREADY BEEN WITH AMARILLO COLLEGE, WORKFORCE DEVELOPMENT GROUP, AND I'VE ALREADY MET WITH THEM, AND THEY'RE VERY EXCITED ABOUT THE PROSPECTS OF WORKING WITH FERMI AMERICA AND DEVELOPING JOBS.
THAT'S ALREADY HAPPENED, AND SO WE'LL CONTINUE THAT, I CAN PROMISE YOU.
THE ONLY THING I CAN'T PROMISE YOU IS AFTER THE MAYOR TALKED ABOUT HOW MUCH FERMI IS PAYING FOR THE WATER.
IT WAS MY IDEA THAT I'LL HAVE A JOB TOMORROW.
THANK YOU ALL VERY MUCH FOR THIS CONSIDERATION.
AS YOU KNOW, TIME IS OF THE ESSENCE.
THAT'S BEEN SAID TIME AND TIME AGAIN.
I'D APPRECIATE ON BEHALF OF FERMI, YOUR VOTE AND LET US SKIT ON DOWN THE ROAD AND GET TO [OVERLAPPING] KEEP PUTTING PEOPLE TO WORK.
>> MR. SISEMORE, I APPRECIATE IT.
COUNCILMAN SIMPSON, STRONG LEADERSHIP, MUCH APPRECIATED. I THINK IT'S A GOOD POINT.
>> I WOULD JUST SAY, WHAT I WOULD LIKE TO HAVE SOMETHING IS THAT THIS ISN'T JUST SOMETHING WE SAY THAT WE'RE GOING TO DO, [OVERLAPPING] BUT THIS IS TIED TO THE WATER AGREEMENT.
>> WELL, I THINK WE'VE GOT A LOT OF LEVERAGE WHEN THE SECOND ASK COMES.
IF WE'RE JUST GOING IN AT 2.5, I THINK WE ALL SEE WHERE THIS IS GOING.
THEY'RE WILLING TO COOPERATE, THEY'RE WILLING TO BE A GOOD PARTNER.
I THINK THAT WE GET A DOCUMENT, WE GET SOMETHING WITH OUR EXPECTATIONS SO THAT WE CAN MOVE FORWARD.
I DON'T THINK THAT'S GOING TO BE AN ISSUE.
I MEAN, BECAUSE WE KNOW THERE'S ANOTHER ASK COME TO THINKING IT.
>> BUT WHEN IS THAT GOING TO HAPPEN?
I DON'T THINK THAT THEY'RE GOING TO SIT ON IT AND WAIT.
>> COUNCILMAN, I GUESS WHAT I WOULD SAY. [OVERLAPPING]
>> I'VE BEING TRYING THAT WITHIN SIX MONTHS.
>> WHEN YOU SAID SIX, AND I'LL DEFER TO TOBY NOW THAT HE'S HERE.
>> NO, I JUST CAN'T HELP BUT WIPE THE SMILE OFF MY FACE, AND I'M SORRY, I HAD TO EXCUSE MYSELF, [BACKGROUND] BUT THIS $5 BILLION THAT WE WERE TALKING ABOUT WILL PROBABLY BE THE LARGEST SINGLE INVESTMENT IN I BET THAT NUMBER BASED ON WHEN TO DINNER IT WAS.
THIS WILL BE ONE OF THE MOST CONSEQUENTIAL POSITIVE THING YOU'VE EVER DONE.
THIS IS A GAME CHANGER FOR AMARILLO.
THE SCOPE AND SCALE OF THE INVESTMENT THAT WE'RE TALKING ABOUT WILL BE THE LARGEST, PROBABLY INDIVIDUAL PROJECT IN THE WORLD.
THIS IS CHINA SCALE TYPE OF THING.
RIGHT NOW, THIS IS WELL ON TRACK, EVEN SINCE I LAST LEFT YOU, COUNCILMAN, TO BEING THE MOST SIGNIFICANT, WE TALKED ABOUT THIS BEING THE LARGEST IN THE WORLD.
WE'VE MADE SIGNIFICANT PROGRESS EVEN THIS EVENING MAKING THAT OCCUR.
>> COUNCILMAN SIMPSON, AS A DIRECT ON THAT.
WE GET TO VOTE FOR IT OR AGAINST IT.
OCTOBER 28TH, IT'S GOING TO COME BACK FOR A SECOND READING.
WE'D INVITE YOU BACK, MR. SISEMORE. YOU WON'T BE HERE? [BACKGROUND] MAN.
I'VE GOT NO POLL IN THE JURISDICTION.
>> WE WILL HAVE FARE MEETING. [OVERLAPPING]
>> THE JUDICIAL SYSTEM DOESN'T LET US OFF, BUT I'LL SEE.
ON THIS, I WOULD JUST INVITE YOU BACK WITH THE GUIDANCE OF BRING BACK ANYTHING THAT YOU FEEL COMFORTABLE IN PUTTING DOWN TO WHERE WE'RE MOVING TOWARDS THAT DOCUMENT.
THEN AS WE MOVE INTO THE NEXT STEPS, SET EXPECTATIONS FOR US.
HOW MANY MONTHS OUT OR YEARS OUT ARE WE ON THIS 5.5 ASK, AND THEN WHAT DOES IT LOOK LIKE ON THE BUILD OUT SO THAT WE CAN WALK HAND IN HAND WITH YOU.
VERY GOOD DISCUSSION. THANK YOU.
I THINK I WANT TO MOVE FORWARD NOW UNLESS ANYBODY HAS ANYTHING ELSE, WE'RE GOOD.
WE'RE GOING TO MOVE INTO OUR NON CONSENT PART OF OUR AGENDA.
ITEM 10A HAS ALREADY BEEN ACTED UPON.
[10.B. CONSIDERATION OF RESOLUTION NO. 10-14-25-2]
FIRST READING OF THE RESOLUTION AUTHORIZING THE WATER SUPPLY AGREEMENT. MR. PATH.>> YES, CITY COUNCIL, AS YOU GUYS HAVE OBVIOUSLY DISCUSSED THE LAST FEW HOURS, BEFORE YOU TONIGHT IS A WATER SUPPLY AGREEMENT.
THIS WAS HANDED TO THE COUNCIL RECENTLY.
WITH THIS, JUST TO SUMMARIZE SOME OF THE KEY DETAILS IN HERE, OBVIOUSLY, THIS IS FOR THE FIRST 2.5 MGD OF THIS PROJECT HERE.
THIS WILL BE THE CITY FURNISHING WATER TO FERMI.
WE DO HAVE LANGUAGE IN HERE REGARDING DROUGHT CONTINGENCY PLAN.
WE DO HAVE THAT AS ONE OF OUR ORDINANCES.
[05:50:01]
IN THIS AGREEMENT HERE UNDER 3.01, FERMI WILL BE RESPONSIBLE FOR ALL THE COSTS FOR ALL THE IMPROVEMENTS.WE'RE LOOKING AT HAVING TO DRILL TWO NEW WELLS IN OUR CARSON COUNTY WELL FIELD, AND THEY'LL BE ALSO RELATED PIPING TO TRANSMISSION ALL THAT.
THEY WOULD BE OBLIGATED TO PAY FOR ALL THAT, AS WELL AS THE GENERATORS IN ORDER TO BACK UP THAT POWER WITH THAT.
WE DO HAVE LANGUAGE IN OUR CONTRACT ABOUT METERING.
WE'LL PUT A METER ON THIS PROJECT.
THE RATE, AS WE'VE IDENTIFIED NUMEROUS TIMES IS BE TWO TIMES THE INSIDE CITY LIMIT RATE.
A FEW MORE TERMS HERE, MAXIMUM RATE OF DELIVERY IS 2.5 MGD.
LIFE OF THE CONTRACT IS 20 YEARS WITH TWO OPTIONAL TEN YEAR RENEWAL OPTIONS.
THERE'S TERMINATION LANGUAGE IN THE AGREEMENT.
OBVIOUSLY, THEN THE REST OF IT IS TO SOLVE OUR STANDARD LEGAL TERMS FOR OUR WATER SUPPLY AGREEMENTS.
NOW, WITH THIS, OBVIOUSLY, WE'VE BEEN MOVING ON A FAST TIMELINE LAST FEW WEEKS AND TO GET THIS DRAFTED.
FERMI HAS GIVEN US A FEW EDITS THAT YOU'VE SOLD JUST A FEW HOURS AGO BEFORE THE MEETING HERE.
WE GOT THOSE BACK LATE LAST NIGHT.
LOOKING AT THOSE EDITS HERE, JUST SUMMARIZING THOSE.
AGAIN, IF YOU WANTED TO ACT ON THIS TONIGHT OR NOT.
THEY'VE ASKED FOR A CHANGE IN 4.01 ON THE EQUIPMENT.
WE HAD PUT IN THERE A REDUCED PRESSURE ZONE BACK FLOW, BUT BUT THEY'VE ASKED FOR AN AIR GAP THAT'S ACCEPTABLE TO US. THREE MORE EDITS HERE.
THEY'VE REQUESTED THAT UNDER 7.04, 7.04 IN OUR CONTRACT IS YOU CANNOT RESELL THE WATER WE SELL YOU OUTSIDE THE PROPERTY LIMITS, THEY WANTED TO STIPULATE THAT THEY CAN DO THAT WITHIN THE PROPERTY LIMITS.
I TAKE IT AS THEIR LANDLORD, THEY WANT TO SELL IT TO THEIR TENANTS.
WE'RE OKAY WITH THAT LANGUAGE THERE.
THEY HAVE SOME EDITS TO THE ASSIGNMENT SECTION, INVOLVING THEIR AFFILIATES, AND OTHERS WHO ARE FINANCIALLY INVOLVED IN THE PROJECT, WE'RE GOOD WITH THAT LANGUAGE THERE.
THEY DID THE LAST EDIT HERE THAT WE AS STAFF WOULD RECOMMEND A RENEGOTIATING WITH THEM ON IS, IN OUR TERMINATION LANGUAGE, WE HAD STATED THAT BOTH PARTIES HAD THE RIGHT TO TERMINATE WITHIN 90 DAY NOTICE, PERIOD.
THEY REQUESTED THAT ONCE THE PUBLIC IMPROVEMENTS ARE IN PLACE, THERE WILL BE NO TERMINATION ABILITY.
OBVIOUSLY, WE DON'T RECOMMEND HAVING NO OPTION FOR TERMINATION.
LOOKING AT OUR TYSON AGREEMENT.
WE HAVE SOME LANGUAGE TO PROPOSE BACK TO THEM.
THERE WASN'T ENOUGH TIME TO DO THAT TONIGHT, BUT WE HAVE SOME LANGUAGE THAT WE THINK BOTH PARTIES MIGHT BE ACCEPTABLE FOR TOWARDS THAT GOES BACK TO OUR TYSON WATER SUPPLY AGREEMENT.
I THINK THAT'S WHERE WE PULLED IT FROM BRIAN.
WITH THIS, AGAIN, YOU HAVE IN FRONT OF YOU NOW A WATER SUPPLY AGREEMENT.
THIS IS A FIRST OF TWO READINGS.
OBVIOUSLY, THE COUNCIL CAN DO TWO READINGS OR YOU CAN WAIVE THE READING REQUIREMENT AND DO IT TONIGHT.
JUST SOME CLARIFICATION, FOR MYSELF AND STAFF, IS A GOAL TO HAVE SOME ADDITIONAL LANGUAGE THAT ADDRESSES TRANSPARENCY, WORKFORCE DEVELOPMENT, NATURAL RESOURCE PROTECTION, AND GROWTH PLANS TO BE PUT IN THIS AGREEMENT OR TO BE BROUGHT BACK AT THE 5.5 MGD AGREEMENT.
IF IT'S 5.5, I WOULD THEN PUT THIS BACK ON FERMI TO TELL US, YOU TELL US WHAT THAT LOOKS LIKE TO YOU.
THEN THE COUNCIL CAN BASICALLY GRADE THAT AND DECIDE WHETHER THAT'S ACCEPTABLE OR NOT.
THAT'S HOW WE COULD RUN THAT IF YOU WANT TO DO THE 5.5 OPTION.
I WOULD HAVE THEM SPELL THAT OUT AS PART OF THAT 5.5 MGD AGREEMENT, WHICH WE'RE GOING TO TURN AROUND AND START WORKING ON THAT RIGHT AWAY.
IT GOES BACK TO THE MOU YOU AUTHORIZE ME TO SIGN.
WE DID THE 2.5, AND WE'RE WORKING ON THE 5.5 NEXT.
WE CAN BRING LATER BACK TO YOU AT THAT TIME.
>> I THINK THAT THAT WAS A SEPARATE DOCUMENT.
I DON'T KNOW THAT WE'RE WAITING OR TRYING TO TIE IT TO THE 5.5, IS THAT CORRECT? LESS, IS THAT WHAT YOU'RE THINKING? [OVERLAPPING]
>> WELL, I'M JUST WONDERING, I MEAN, IF THE 5.5 IS GOING TO BE THREE YEARS FROM NOW, THEN I WOULD SAY, NO, BUT I MEAN, IF IT'S GOING TO BE SIX MONTHS FROM NOW, THEN I WOULD SAY THAT WOULD BE A PERFECT TIME TO BRING THE COMMITMENTS THAT FERMI IS MAKING IN THESE AREAS THAT WE'RE TALKING ABOUT.
BUT I JUST THINK THERE NEEDS TO BE SOMETHING IN PLACE SO WE HAVE SOME GOOD DIALOGUE, GOOD COMMUNICATION, GOOD EXPECTATION AND YOU GUYS ARE FREE TO DO WHAT YOU WANT TO DO, WE'RE REPRESENTING THE PUBLIC HERE.
WE'RE REPRESENTING THE RATE PAYERS AND THE TAXPAYERS, SO TO MAKE SURE WE HAVE THAT.
I THINK AS SOON AS WE CAN GET THAT INTO PLACE, I THINK IT'S GOING TO BENEFIT EVERYONE, BUT I DON'T KNOW WHEN THIS 5.5 IS.
>> IT'S MY UNDERSTANDING FROM THE MOU TALKING TO FERMI THAT THE 5.5, YOU'RE LOOKING AT HAVING A CONTRACT THE NEXT SIX MONTHS, I THINK. WAS THAT THE INTENT.
THE PLAN IS TO BRING THAT BACK TO YOU ALL VERY QUICKLY.
>> IF WE CAN HAVE THAT BACK IN SIX MONTHS, THEN I THINK THAT WOULD BE BECAUSE I KNOW YOU CAN'T GENERATE THIS OVERNIGHT, AND I THINK THERE NEEDS TO BE SOME GOOD DIALOGUE BETWEEN US ON WHAT THAT WOULD LOOK LIKE, BUT I THINK SIX MONTHS WOULD BE FINE WITH ME.
>> WELL, I THINK THAT'S GOOD DRAWING UP IN THE DOCUMENT, BUT LIKE TOBY SAID, I WANT TO GET TIRED OF SEEING YOU.
[05:55:01]
YOU KNOW WHAT I MEAN, EVEN BEFORE THEN.I THINK THE CITIZENS DO AS WELL.
>> YEAH. I THINK THAT THE KEY THING THAT WE NEED TO DO IS GET THIS FIRST BASED ON THE WONDERFUL TIME THAT I HAVE.
>> YEAH. I DON'T THINK THAT'S A PROBLEM AT ALL. [OVERLAPPING]
>> THE GREATEST THINGS THAT EVER HAPPENED TO ARIZONA FERMI.
[LAUGHTER] WE'RE TALKING ABOUT CALIBRATED.
AMARILLO IS ON THE VERGE OF OCCURRING.
I'M JUST SAYING IN THE MEANTIME.
>> MR. PATH, WHAT I WOULD NOT WANT TO DO AT THIS TIME WOULD BE TO WAIVE THE SECOND READING.
I THINK IT ALLOWS STAFF SOME TIME TO GO BACK, GET THAT LANGUAGE RIGHT.
WE VOTE ON IT AS PRESENTED HERE WITH THE CHANGES, LET EVERYBODY HAVE THEIR YES OR THEIR NO HERE TONIGHT.
THAT GIVES STAFF CLEAR DIRECTION.
YOU GUYS THEN CAN MAKE THOSE CHANGES, BRING IT BACK IF WE GET A YES VOTE, AND WE FINALIZE THIS ON THE OCTOBER 28TH.
>> WITH THAT, I'D RECOMMEND THAT THE COUNCIL, YOU APPROVE THE AGREEMENT.
I'VE MENTIONED THE EDITS THAT THEY'VE REQUESTED.
WE STILL WANT TO GO BACK AND WORK WITH THEM ON THE TERMINATION LANGUAGE.
ALLOW ME THE OPPORTUNITY TO GO BACK AND WORK WITH THEM ON THAT.
BUT OTHERWISE, IF I KNOW THAT YOU'RE GOOD WITH THE LANGUAGE I PRESENTED ORIGINALLY, WITH EDITS THEY HAVE MADE TO THE OTHER THREE SECTIONS, THAT GIVES ME MY MARCHING ORDERS TO COME BACK TO THE NEXT MEETING WITH AN AGREEMENT THAT CLEANS IT ALL UP.
>> COUNSEL, YOU HAVE BEFORE YOU ITEM 10B, WOULD ENTERTAIN A MOTION.
>> WELL, MYER, BEFORE WE GET TO THAT.
I'VE GOT SOME QUESTIONS ABOUT THIS AGREEMENT.
I MEAN, FIRST OF ALL, I GOT TO TELL YOU, I'M NOT A BIG FAN OF GETTING CHANGES AT 9:18 IN THE MORNING AND VOTING THEM, YOU KNOW, 12 HOURS LATER.
I MEAN, I REALLY WISH THAT A FINAL AGREEMENT OF THIS COULD BE OUT TO THE PUBLIC.
I MEAN, WAS THIS POSTED ON THE WEBSITE? I MEAN, DOES THIS CONTRACT APPEAR TO THE PUBLIC?
>> ALL OF OUR CONTRACTS ARE WITH THE CITY COUNCIL, AND SO WE PRESENT THIS TO YOU THROUGH THE PORTAL YOU HAVE AVAILABLE TO YOU BECAUSE OBVIOUSLY. [OVERLAPPING]
>> BUT WE HAVEN'T SHARED IT WITH THE PUBLIC.
WE HAVE NOT SHARED WITH THE PUBLIC.
OBVIOUSLY, THE COUNCIL DIRECTS ME TO.
I WORK FOR YOU. IF YOU DIRECT ME TO MAKE IT PUBLIC, I WILL MAKE IT PUBLIC.
>> I THINK ON SOMETHING THIS BIG, IT WOULD HAVE BEEN NICE TO HAVE MADE THAT TO THE PUBLIC.
>> I JUST NEED DIRECTION FROM THE COUNCIL TO DO THAT.
>> HERE'S WHAT HAPPENS IS, AND I'M NOT SAYING, BUT OPTICS ARE NOT GOOD, AND TRANSPARENCY IS NOT GOOD WHEN WE ENTERED.
I KNOW WE'VE GOT ANOTHER CHANCE TO COME BACK AT IT, BUT TO SAY, IT'S THE FIRST TIME ON THE AGENDA, THE FIRST PUBLIC DISCUSSION, AND WE'VE GOT TO MAKE A DECISION IMMEDIATELY ON THAT WITHOUT GIVING THE CHANCE OPPORTUNITY TO MAKE SURE THAT WE'RE LISTENING TO THE PUBLIC.
I MEAN, I UNDERSTAND THAT THERE'S A TIMELINE, AND I CAN APPRECIATE THE TIMELINE AND WHERE WE ARE ON THAT TIMELINE, AND THERE'S AN URGENCY TO DO THAT.
BUT THAT'S NOT BECAUSE OF ANYTHING WE DID.
MAYBE IF WE'D BEEN TALKING ABOUT IT FIVE OR SIX MONTHS EARLIER, BUT I'VE GOT A COUPLE OF QUESTIONS ABOUT THE AGREEMENT, IF I COULD HAVE A FEW MINUTES TO ASK THOSE QUESTIONS.
SURE, BEFORE WE DO THAT, DOES ANYONE ELSE FEEL UNCERTAIN ON THEIR POSITION ON THIS CONTRACT HERE TONIGHT? EVERYBODY ELSE PREPARED AND OKAY TO TAKE ACTION ON IT.
>> WELL, I'M CERTAIN ON MY POSITION, BUT THIS IS THE FIRST READING.
DO WE TAKE A VOTE ON THAT, OR IS IT JUST AN AGREEMENT TO MOVE FORWARD TO THE SECOND READING?
>> YEAH, SO WE TAKE A VOTE ON THE FIRST READING AS ALWAYS.
WE TAKE A VOTE ON THE SECOND READING, IT BECOMES FINAL UPON THE SECOND READING.
THAT'S WHY WE READ IT TWICE IN CERTAIN CASES, MORE SO NOW THAN WE USED TO.
IT'S NOT OUTSIDE OF THE ORDINARY, BUT I MEAN, I'M FINE WITH DISCUSSING THE CONTRACT IN DEPTH HERE TONIGHT.
I'M JUST SAYING WE'RE TAKING A VOTE ON THE CONTRACT HERE TONIGHT.
THE ONLY ISSUE THAT I HAVE HERE IS PUTTING THIS IN PARK.
I DON'T HAVE ANY REASON NOT TO MOVE IT FORWARD.
CAN ANYBODY GIVE A REASON WHY THEY WOULDN'T WANT TO MOVE THIS FORWARD? I MEAN, YOU'RE TALKING ABOUT SOME EDITS.
THE ONE THAT WOULD BE THE BIGGEST WOULD BE THE TERMINATION.
IF WE NEED TO TRY TO NEGOTIATE THE TERMINATION HERE, LET'S GET IT DONE.
>> I FEEL COMFORTABLE THAT WE CAN DO THAT WITH FERMI.
>> I FEEL IT'S WHERE WITHIN YOUR ABILITIES TO DO IT AND BRING IT BACK WITHIN THE NEXT TWO WEEKS.
COUNCILMAN SIMPSON, I DON'T WANT TO STEP BY ANYTHING THAT YOU HAVE TO CONSIDER ON.
>> I DON'T THINK NOT TAKING ACTION ON SOMETHING IS PUTTING THING IN PARK.
WE'RE NOT THROWING IT TO THE SIDELINE, BUT CAN I JUST GO OVER THE POINTS IN QUESTION.
>> WHAT ARE YOUR QUESTIONS? I THINK WE DIVE INTO THOSE.
>> IN THE AGREEMENT SAYS THAT FERMI IS GOING TO DRILL THE WELLS, AND THEY'RE GOING TO BE IN CHARGE OF DOING THAT, CORRECT?
>> WHERE IS THE WORDING IN THE AGREEMENT THAT THE CITY HAS TO APPROVE THE CONSTRUCTION PLANS AND THE WATER DISTRIBUTION SYSTEM? WHERE IS THAT IN THE AGREEMENT?
>> IN THAT SAME SECTION, WHAT IT SAYS IS THAT IN FURTHER CONSIDERATION OF THE CITY'S COMMITMENT TO SUPPLY WATER AS PER THIS AGREEMENT, FERMI SHALL DESIGN, CONSTRUCT, AND INSTALL A PUBLIC IMPROVEMENTS NECESSARY TO ENABLE THE CITY TO DELIVER WATER TO THE PROJECT SITE AT THE SOLE COST OF FERMI, GIVING DUE REGARD TO THE CITY SPECIFICATIONS AND NECESSARY DESIGN INPUT IN ACCORDANCE WITH THE NOTICE AND CONSULTATION WITH THE CITY WITH
[06:00:01]
ALL SET PUBLIC IMPROVEMENTS TO BE DEDICATED TO CITY UPON COMPLETION.>> WHAT DOES THE TERM DEDICATED MEAN? IS THAT A LEGAL TERM OR WHAT DOES DEDICATE MEAN? BECAUSE IT SEEMS TO LACK CLARITY ON THE WHEN AND HOW THE TITLE TRANSFERS.
>> WELL, IS JUST LIKE A DEDICATED EASEMENT, DEDICATED RIGHT OF WAY.
BECOMES OUR PROPERTY AT THAT POINT.
RYAN YOU SPEAK TO THAT A LITTLE MORE?
>> YES, ESSENTIALLY WHAT THAT MEANS IS IT'S DEDICATED FOR PUBLIC USE.
THE CITY CAN USE IT OUT OF THE CARSON WELL FIELD FOR THE PUBLIC'S BENEFIT. THAT'S WHAT IT MEANS.
>> THEN WHERE'S THE CLARITY ON LIABILITY?
>> THE LIABILITY DURING CONSTRUCTION OR PRIOR TO DEDICATION.
FERMI IS LIABLE FOR ANYTHING AT THAT POINT, CORRECT?
>> YES. OBVIOUSLY IN ORDER TO FULFILL THEIR OBLIGATIONS, THEY HAVE TO COMPLETE THEIR OBLIGATIONS.
THEY HAVE TO DIG THE WELLS AND PUT IN PRODUCTION.
OTHERWISE, THEY DON'T GET THE 2.5 MGD FROM THE CITY.
IF THEY DON'T COMPLY WITH 3.01, THEY DON'T GET 2.5 MGD FROM THE CITY.
>> WHAT IS THE WARRANTY AFTER THE DEDICATION OCCURS? HOW LONG IS THEIR WORK WARRANTIED FOR THE CITY? WHEN WE GET IT, IS IT DONE AND ANYTHING THAT HAPPENS AFTER, IT'S DEDICATED AS OUR RESPONSIBILITY?
>> YES. ONCE IT'S DEDICATED TO THE CITY, JUST LIKE ANY ROAD AND ANY PUBLIC IMPROVEMENT, IT BECOMES OURS.
BUT AGAIN, THAT'S WHY WE ARE INVOLVED IN THE SPECIFICATIONS, THE INPUT AHEAD OF TIME TO MAKE SURE THAT WE'RE NOT GETTING A LEMON AFTERWARDS.
>> AND WHAT DOES THE PROTECTION IN THE AGREEMENT, SAY, IF FERMI DECLARES BANKRUPTCY BEFORE THE PROJECT COMPLETION OR IF SOMETHING HAPPENS?
>> WELL, IN THAT SITUATION, IF THEY DECLARE BANKRUPT, THEY JUST DON'T DO THE WELLS AND WE DON'T SELL THEM WATER, SO THERE'S NO RISK TO US.
AGAIN, THE WAYS IT IS WARRANTIED IS WE'RE NOT AT EXPENSE ON THIS OTHER THAN SOME STAFF TIME, BUT IF THEY GO BANKRUPT, THEN THIS CONTRACT DOESN'T HAPPEN, AND WE DON'T SELL THEM WATER AT ALL.
>> SO THERE'S A DEADLINE TO COMPLETE THIS?
>> YES. IN THAT SAME SECTION, WE WROTE IN HERE JANUARY 2027.
>> AND WHAT HAPPENS IF THEY DON'T COMPLETE IT ON TIME? ARE THERE ANY REPERCUSSIONS?
>> TYPICALLY, A LOT OF OUR CONTRACTS HAVE DEADLINES, AND THAT USUALLY INVOLVES US HAVING GOOD FAITH NEGOTIATIONS OF, SO THEY'D BE IN DEFAULT.
AND SO WE'D HAVE TO GO BACK IN GOOD FAITH NEGOTIATIONS TO TALK ABOUT EXTENDING IT OR NOT.
THAT'S HOW SOME OF OUR EDC AGREEMENTS THAT HAD BEEN WRITTEN.
AGAIN, IF THEY DON'T COMPLY, THEY DON'T GET THE WATER FROM US.
SO THEY DON'T COMPLETE THE IMPROVEMENTS, THEY DON'T GET WATER FROM OUR SYSTEM.
>> AND SAY IF SOMETHING HAPPENS AND THERE'S A BANKRUPTCY DECLARED OR SOMETHING HAPPENS ALONG THOSE LINES, WHO DID THE WELL AND WHATEVER HAS BEEN CONSTRUCTED SO FAR, WHO DOES THAT BELONG TO?
>> SINCE IT'S ON OUR LAND, IT'D BE OUR PROPERTY.
>> EVEN IF IT HADN'T BEEN DEDICATED AT THE TIME, OR WOULD THAT BE AN ASSET? [OVERLAPPING]
>> BRIAN, CAN YOU SPEAK MORE OF THAT PROCESS THERE?
>> YES. THAT'S WHAT IT ENVISIONS.
IT'S ON OUR LAND, SO IT BECOMES A FIXTURE OF OUR LAND AND IT'S OURS.
>> AND LET ME JUST ASK A SIMPLE QUESTION IS, WHY NOT HAVE THE CITY CONSTRUCT IT INSTEAD OF FERMI AND LET FERMI PAY FOR IT?
>> DONNY, SPEAK TO THAT, PLEASE.
>> WE'RE TREATING THIS JUST AS IF WE WERE, AND THE CONVERSATIONS THAT WE'VE HAD WITH PARK HILL, SMITH & COOPER, WHICH WE'VE HIRED TO DRILL WELLS FOR US BEFORE HERE AND THEY DO IT ALL OVER THE PANHANDLE, IS THAT THEY, WHILE THEY'RE WORKING FOR FERMI, WOULD ACTUALLY BE DRILLING IT AS IF THEY WERE WORKING FOR US, GETTING THE PERMITS THROUGH US.
WE'LL BE INVOLVED IN EVERY STEP OF THAT PROCESS.
>> THANK YOU. WILL THIS BE BONDED WORK?
>> WILL A BOND BE REQUIRED? WE WOULD HAVE THE FINANCIAL ASSURANCES THAT IT WOULD BE COMPLETED, CORRECT?
>> AND THAT'S IN THE AGREEMENT OR JUST AN UNDERSTANDING?
>> JUST AN UNDERSTANDING. I DON'T THINK THAT'S IN THE AGREEMENT, BUT BRIAN MAY BE ABLE TO SPEAK TO THAT.
>> YEAH, IT'S NOT. WHEN IT SAYS, MEET OUR SPECIFICATIONS, THAT'S A SPECIFICATION.
>> ANY OTHER QUESTIONS, COUNCILMAN SIMPSON?
>> GREAT. ITEM BEFORE YOU IS ITEM 10B.
WOULD ENTERTAIN A MOTION, GENTLEMEN.
>> SECOND. ALL IN FAVOR, PLEASE SAY AYE.
>> ANY OPPOSED? MOTION PASSES WITH A 5-0 VOTE.
>> AND MAYOR, FOR CLARIFICATION, MY UNDERSTANDING FROM THAT IS ALSO, THE COUNCIL IS GOOD WITH THE ORIGINAL WITH THE EDITS.
WE'RE GOING TO WORK ON TERMINATION LANGUAGE BEING BACK TO YOU ON THE NEXT MEETING.
SO THE MOTION WAS SO MOVED AS PRESENTED FOR CLARIFICATION.
>> I NEED TO GO BACK AND CATCH ITEM 9D.
I'VE SKIPPED OVER THAT ONE FOR ANY FUTURE AGENDA REQUESTS FROM COUNCIL.
[06:05:06]
COUNCIL, DO YOU HAVE ANYTHING YOU'D LIKE TO PUT ON THE AGENDA FOR THE 28TH?>> THERE WAS A CONCERN OF TIME CAP.
>> TIME CAP FROM COUNCILMAN PRESCOTT.
SO WE SHOULD PASS AN ORDINANCE FOR A MAXIMUM TIME CAP.
HEY, THANK YOU TO EVERYBODY THAT PARTICIPATED.
THANK YOU TO THE FERMI TEAM, AND WE'LL LET YOU GUYS BE EXCUSED.
THANK YOU. WE'RE GOING TO CONTINUE WITH THE BUSINESS MEETING.
[10.C. PUBLIC HEARING AND CONSIDERATION OF RESOLUTION NO. 10-14-25-3]
THIS IS A MUD POLICY. THANK YOU, SIR.[NOISE] SO MR. BRASSFIELD, THANK YOU FOR BRINGING THIS FORWARD.
THIS IS ONE YOU'VE BEEN WORKING ON FOR A WHILE.
I SEE THAT WE HAVE A FEW OF OUR DEVELOPERS HERE STILL HANGING IN WITH US AT 10:00 PM.
>> YES, SIR. WE'VE GOT A COUPLE HANGING IN WITH US.
>> SO ITEM 10C, THIS IS A PUBLIC HEARING AND FIRST READING OF A RESOLUTION CONSENTING TO THE CREATION OF THE NOBLE PARK MUNICIPAL UTILITY DISTRICT NUMBER 1.
>> LET ME GO AHEAD AND CALL FOR ORDER HERE.
WE'RE GOING TO HOLD ON, LET EVERYBODY MOVE OUT.
THEN, DREW, WE WANT TO MAKE SURE EVERYBODY CAN HEAR THIS ITEM.
IF WE CAN MAKE SURE THAT OUR MIC IS TURNED ON IN THE BACK SO WE CAN HEAR.
DREW, YOU MAY PULL THAT MICROPHONE OVER JUST A LITTLE MORE IN THE CENTER. PERFECT.
>> GO BACK THROUGH THAT IF YOU WOULD.
>> YES, SIR. ITEM 10C IS A PUBLIC HEARING AND FIRST READING OF A RESOLUTION CONSENTING TO THE CREATION OF THE NOBLE PARK MUNICIPAL UTILITY DISTRICT NUMBER 1 OF RANDALL COUNTY ON APPROXIMATELY 601-AND-A-HALF ACRES OF LAND SITUATED IN THE VICINITY OF HILLSIDE DRIVE AND HELIUM ROAD WITHIN THE CITY'S ETJ.
SO THESE FIRST COUPLE OF SLIDES, I'M GOING TO GO THROUGH JUST A BRIEF LITTLE HISTORY TO GET US TO WHERE WE'RE AT TODAY.
THE TEXAS WATER CODE AND THE TEXAS CONSTITUTION ARE WHERE WE GET THE STATUTORY AUTHORITY TO CREATE MUNICIPAL UTILITY DISTRICTS, AND AMARILLO'S RESOLUTION 42225-8 IS WHERE WE GET OUR LOCAL POLICY.
MUDS ARE MOST COMMONLY FORMED TO SERVE AS WATER DISTRICTS, BUT MAY ALSO INCLUDE SEWER, DRAINAGE, PARKS, AND ROADS.
MUDS WORK AS A FINANCING VEHICLE ONCE TAXABLE VALUE EMERGES.
SO BACK IN APRIL, THIS COUNCIL APPROVED OUR POLICY TO APPLY TO DISTRICTS BEING CONSTRUCTED IN THE ETJ ONLY.
PETITIONS MUST BE RECEIVED FROM A MAJORITY AND VALUE OF LAND OWNERS WITHIN THE PROPOSED MUD, PLUS THE POLICY CALLS OUT FOR THREE SPECIFIC AGREEMENTS IN ADDITION TO THE RESOLUTION.
THE COUNCIL MUST ALSO FIND NO ADVERSE EFFECTS TO FACILITIES, RATES, TAXES, AND THE CITY'S FINANCING OR BOND RATING.
SO TODAY'S PETITION, WHAT'S BEFORE YOU TODAY TO BE CONSIDERED FOR CONSENT IS FROM P DUB LAND HOLDINGS.
IT'S ON APPROXIMATELY 601-AND-A-HALF ACRES IN RANDALL COUNTY OUT IN THE VICINITY OF HILLSIDE DRIVE AND HELIUM ROAD.
EVIDENCE OF THE MAJORITY AND VALUE OF LAND OWNERS WAS PROVIDED BY A WARRANTY DEED, AND THE STATED PURPOSE WITHIN THE PETITION IS FOR THE CREATION OF SUPPLYING WATER SEWER, DRAINAGE, AND ROADS.
AND HERE IS A VISUAL REPRESENTATION.
SO THE GREEN SHADED AREA IS WHERE THEY ARE PROPOSING TO CONSTRUCT THIS MUD.
PROPOSED IMPROVEMENTS ARE ESTIMATED TO COST AROUND 120 MILLION.
THE CURRENT TAXABLE VALUE OF THIS ACREAGE IS JUST A LITTLE OVER THREE MILLION.
THE VALUE AT 50% OF THE VERTICAL IMPROVEMENTS IS ESTIMATED AT JUST NORTH OF 319 MILLION, AND AT FULL BUILD OUT WOULD BE NORTH OF 638 MILLION.
THEY'RE PLANNING ON 2,297 RESIDENTIAL UNITS AND THEY ANTICIPATE BRINGING ABOUT 100 UNITS ONLINE PER YEAR.
NO ADVERSE IMPACTS TO EXISTING WATER SEWER AND STORM FACILITIES.
THERE WILL BE NO ADVERSE IMPACTS BECAUSE ANY NECESSARY INFRASTRUCTURE WILL BE PAID FOR BY THE MUD AND IT WILL NOT INCREASE TAXES OR UTILITY RATES BECAUSE MUD RESIDENTS WILL PAY 150% ON UTILITY RATES OR FOR WATER AND SEWER, AND PROPERTY TAXES WON'T BE COLLECTED UNTIL ANNEXATION.
SO TODAY IS JUST THE FIRST READING IN THE PUBLIC HEARING ON THIS RESOLUTION.
NEXT STEP WOULD BE THE SECOND READING ON OCTOBER 28TH, AND STAFF WILL CONTINUE TO WORK WITH THE DEVELOPER TO CREATE THE THREE REQUIRED AGREEMENTS.
I'LL BE HAPPY TO ANSWER ANY QUESTIONS YOU HAVE ON THE POLICY, AND AS WAS PREVIOUSLY STATED, WE'VE STILL GOT A COUPLE HANGING WITH US IF YOU'VE GOT ANY PROJECT-SPECIFIC QUESTIONS.
>> QUESTIONS, COUNCIL? WE HAVE MR. WILLIAMS OUT THERE IF YOU HAVE ANYTHING SPECIFIC ABOUT THE DEVELOPMENT.
[06:10:01]
AT THIS TIME, I WILL OPEN A PUBLIC HEARING.DO I HAVE ANYONE HERE TODAY THAT WOULD LIKE TO SPEAK FOR OR AGAINST THIS ITEM? SEEING NO ONE, I'LL CLOSE THE PUBLIC HEARING AND WOULD ENTERTAIN A MOTION, COUNCIL.
>> I MOVE TO ADOPT RESOLUTION NUMBER 10-14-25-3.
>> I HAVE A MOTION AND A SECOND.
>> ANY OPPOSED? MOTION PASSES.
THANK YOU FOR BEING HERE, HANGING IN THERE WITH US.
ITEM 10D, FIRST READING OF AN ORDINANCE FOR TRANSIT.
[10.D. CONSIDERATION OF ORDINANCE NO. 8224]
MR. QUIGLEY, IF YOU'LL COME UP HERE AND WALK US INTO THAT ONE, SIR.>> [NOISE] THANK YOU, COUNCIL. SO THIS IS THE FIRST READING OF ORDINANCE TO CREATE OUR AMARILLO CITY TRANSIT ADVISORY BOARD.
IT'D BE THE FIRST BOARD FOR OUR TRANSIT AGENCY.
THIS BOARD CAME ABOUT DUE TO A RECENT REVIEW WITH THE FTA AND THE FEDERAL HIGHWAY WITH THE MPO.
DURING THAT REVIEW, THE FTA FOUND AND IT FELT AS THOUGH TRANSIT DIDN'T HAVE A REASONABLE AND A FORMAL REPRESENTATION ON THE MPO BOARD.
WE WERE IN THE PROCESS OF ALREADY CREATING OUR TRANSIT ADVISORY BOARD, AS MANY TRANSIT AGENCIES HAVE, LARGE AND SMALL.
THEY ALL HAVE TRANSIT ADVISORY BOARDS THAT THEY REPORT TO TO PROVIDE INFORMATION TO THE COMMUNITIES.
SO WE WERE ALREADY IN A PROCESS.
WE PROVIDED THAT INFORMATION TO FTA AND THE FEDERAL HIGHWAY.
THEY AGREED THAT THAT WILL BE A GOOD SOLUTION TO RESOLVE THEIR CONCERNS REGARDING REPRESENTATION ON THE MPO BOARD.
THE BOARD WILL BE COMPRISED OF SEVEN MEMBERS, FIVE OF THEM WILL BE FROM THE COMMUNITY, WHICH WILL BE APPOINTED BY A CITY COUNCIL, ONE REPRESENTATIVE FROM AMARILLO COLLEGE, AND THEN A CITY COUNCIL MEMBER WHO SERVES ON THE MPO AND WILL ALSO SERVE AS THE REPRESENTATIVE FOR COUNCIL ON THE ADVISORY BOARD.
THAT IS ALL I HAVE, IT'S PRETTY BRIEF.
I'LL ANSWER ANY QUESTIONS THAT YOU MAY HAVE ABOUT IT.
>> AT 9:29, BRIEF IS APPRECIATED, SIR.
[LAUGHTER] QUESTIONS FOR MR. QUIGLEY? THIS IS A GOOD THING. WE'LL HAVE AN ADVISORY BOARD THAT WILL HELP YOU GUYS WITH THE GROWTH THAT YOU'RE DEALING WITH.
>> I MOVE TO THE ADOPT ORDINANCE NUMBER 8224 AS PRESENTED.
>> MOTION AND A SECOND ON ITEM 10D.
[10.E. CONSIDERATION OF RESOLUTION NO. 10-14-254]
THANK YOU, MR. QUIGLEY.WE HAVE A POLICY BEFORE YOU, MR. PATH, IF YOU'LL TAKE US ON THIS ONE.
>> YES. AT THE CITY COUNCIL, SEPTEMBER 16TH AT COUNCIL MEETING, YOU WERE PRESENTED A REQUEST BY MR. KING HILL TO DISPLAY THE AMARILLO COWBOY STATUE.
AS PART OF THAT CONVERSATION, THE CITY COUNCIL ASKED THAT STAFF WORK ON DEVELOPING A POLICY TO BRING BACK TO YOU FOR CONSIDERATION WHEN IT COMES TO RECEIVING OR ACCEPTING DONATED STATUES OR ARTWORK OR SO FORTH.
SO WITH THAT, CITY STAFF HAS PREPARED TO YOU THE DRAFT POLICY YOU HAVE IN FRONT OF YOU.
SO JUST REAL QUICK RUNNING THROUGH THAT BRIEFLY, THIS IS AN EASY DOCUMENT TO PRODUCE.
THESE ARE VERY CHALLENGING ITEMS TO CONSIDER.
AND THERE'S A LOT OF THINGS TO TAKE INTO CONSIDERATION WHEN IT COMES TO ACCEPTING STATUES OR ARTWORK.
AND SO WE'VE TRIED TO PROVIDE YOU AS WELL A DOCUMENT AS WE COULD WITH THIS.
A BIG PART OF THIS IS, OBVIOUSLY, UNDERSTANDING WHAT GOVERNMENT SPEECH IS.
WE DEFINE GOVERNMENT SPEECH HERE AS MEANS THAT WHEN THE CITY DISPLAYS MONUMENTS OR ARTWORKS ON ITS PROPERTY, IT IS CONVEYING ITS OWN MESSAGE RATHER THAN PROVIDING A FORM FOR PRIVATE SPEECH.
THIS ALLOWS THE CITY TO EXERCISE EDITORIAL CONTROL AND DISCRETION OVER WHAT IT PUBLICLY ENDORSES.
SO WITH THIS, THAT GIVES YOU THE AUTHORITY TO DECIDE WHAT YOU DO AND DO NOT WANT TO ACCEPT WHEN IT COMES TO STATUES AND ARTWORK AND SO FORTH ON PUBLIC PROPERTY.
WE DISCUSSED THE APPLICATION PROCESS ABOUT TURNING IT OVER TO CITY SECRETARY.
WE WOULD THEN REVIEW IT FOR COMPLETENESS, BUT WE WOULD TURN IT OVER TO THE CITY COUNCIL TO DECIDE ITS MERITS.
WE HAVE IN OUR POLICY SOME OPTION LANGUAGE.
OBVIOUSLY, THIS DOES FIT UNDER EXECUTIVE SESSION OPPORTUNITIES IN ORDER TO DISCUSS PROSPECTIVE GIFTS AND DONATIONS, SO WE SPELL THAT OUT HERE.
BUT WE DO MAKE IT CLEARLY STATE THAT ANY FINAL DECISION HAS TO BE MADE IN A PUBLIC MEETING.
WE THEN IDENTIFY SOME CRITERIA FOR CONSIDERATION AND LOOKING AT ARTISTIC COMMUNITY AND HISTORICAL MERIT, LOOKING AT THE COMMUNITY STANDARDS, THINGS THAT THE COMMUNITY VALUES, LOOKING AT CONTENT NEUTRALITY AND VIEWPOINT NEUTRALITY, LOOKING AT THE FINANCIAL FEASIBILITY TO ACCEPT THIS.
[06:15:01]
IS THIS SOMETHING THAT WE WANT TO TAKE ON AS A COST TO US? ALSO CONSIDERATION LANGUAGE HERE ABOUT OWNERSHIP AND REMOVAL.SO WITH THIS, WE ALSO HAD IN HERE, BASED ON THE LAST COUNCIL DISCUSSION AND PUBLICLY, WAS HAVING A PUBLIC HEARING ON ALL ITEMS HERE IN THIS POLICY.
AND THEN WE ALSO IDENTIFY SOME DENIAL CRITERIA, WHICH BASICALLY MEANS YOU DON YOU DON'T MEET THE CRITERIA FOR CONSIDERATION, AND WE HAVE SOME OTHER LEGAL LANGUAGE TIED TO THIS.
SO WITH THIS, I WOULD TAKE ANY DIRECTION THE COUNCIL HAS, WHETHER EDITS TO THE POLICY OR REDIRECTION OR APPROVAL IF YOU SO WISH.
THIS IS A RESOLUTION TONIGHT ON YOUR AGENDA, SO IT'LL BE TWO READINGS OF THIS.
>> I WOULD SAY, AND GIVEN THE LATENESS OF THIS, SINCE WE HAVE A SECOND READING, THERE ARE SOME THOUGHTS I DO HAVE ABOUT THIS.
BUT INSTEAD OF MAYBE GETTING INTO A DEBATE ABOUT IT, I THINK IF WE GET AT THE FIRST READING, THERE'S A COUPLE OF THINGS I MAY BRING BACK AT THE SECOND READING THAT I MAY WANT TO LOOK AT, TO PROPOSE AT THAT TIME.
I KNOW IN EVERYBODY'S MIND, THIS WAS LIKE, WELL, IT'S EASY TO SEE THAT WE SHOULD ACCEPT THIS.
IN THIS CASE, I SEE, YES, IT IS EASY.
BUT I THINK THERE SHOULD BE SOME THRESHOLDS SO THAT COUNCIL DOESN'T WIND UP GETTING, PRESENTED NUMEROUS ITEMS TO BE PRESENTED.
THERE SHOULD BE SOMETHING THAT SAYS, WHAT DOES IT TAKE TO GET IT TO THIS LEVEL? TONIGHT, I WON'T GET THAT DISCUSSION.
I'LL BRING IT BACK AT THE NEXT MEETING.
>> OVERALL, YOU FEEL GOOD ABOUT THE POLICY DIRECTION?
>> I DO. I THINK IT'S A STEP IN THE RIGHT DIRECTION.
IT GIVES DESCRIPTIONS ON THE NARROWING OF IT.
I WOULD JUST SAY, WHEN YOU LOOK AT, ONE, I THINK THAT A CITIZEN SHOULD BE THE PERSON SPONSORING WHATEVER IT IS.
THAT IS, IT'S A CITIZEN OF OUR COMMUNITY.
IT'S NOT SOMEBODY FROM OUTSIDE.
THAT'S SOMETHING I'M GOING TO PROPOSE.
THEN ALSO, TO PROTECT COUNCIL FROM AGAIN GETTING BOGGED DOWN IN THESE THINGS, I THINK THERE SHOULD BE SOME WAY THAT COUNCIL'S ABLE TO SEE THAT THERE IS COMMUNITY SUPPORT FOR WHATEVER IS BEING DONE.
NOW, WHAT SHAPE FORM OR FASHION THAT COULD TAKE? WE CAN TALK ABOUT THAT.
BUT I JUST THINK IT IS SOMETHING THAT, IT'S EASY TO MAKE THIS DECISION WHEN IT'S SOMETHING THAT EVERYBODY SEEMS TO LIKE.
BUT I THINK IF WE GET INTO THE CHALLENGE OF SOMETHING THAT SOMEBODY MAY NOT LIKE OR EVEN COUNCIL MAY NOT LIKE, BUT WE WIND UP HAVING TO SPEND MEETINGS TALKING ABOUT.
I THINK THERE SHOULD BE A LITTLE THRESHOLD THAT SOMEBODY HAS TO CROSS TO GET IT UP TO THE DIAS FOR THAT TO BE CONSIDERED.
I'M PREPARED TO DISCUSS THAT AT THE NEXT CONVERSATION.
>> I AGREE. I APPRECIATE THAT.
I THINK IT'S OUR DOCUMENT, SO WE CAN CONTINUE TO WORK IT, I THINK AS WE MOVE IT FORWARD. THANK YOU, MR. PATH, FOR WORKING ON THAT.
I KNOW IT IS MAINLY YOUR DILIGENCE, SO APPRECIATE THE TIME AND EFFORT AND PUTTING IT TOGETHER.
COUNCIL, ANY FURTHER QUESTIONS ON ITEM 10E? WOULD ASK FOR A MOTION.
>> I MOVE TO ADOPT RESOLUTION NUMBER 10-14-25-4.
>> MOTION AND A SECOND ON ITEM 10E.
>> ANY OPPOSED? MOTION PASSES.
[10.F. CONSIDER DONATION - "THE AMARILLO COWBOY" STATUE]
IN LINE WITH THAT IS THE STATUTE, MR. HOOPER.>> I HAVE ABOUT A 20 MINUTE PRESENTATION, IF YOU DON'T MIND. I'LL PULL THAT OUT.
>> [LAUGHTER] PERFECT. WE'RE GOING TO STEP OUT. WE'LL COME BACK.
>> YOU'RE GOING TO START THE CLOCK. THIS IS ACTUALLY THE ITEM WE'VE ALREADY PRESENTED TO YOU BEFORE.
I THINK YOU UNDERSTAND WHAT THIS IS.
IT'S THE AMARILLO COWBOY STATUE THAT MR. HILL CONSIDERED DONATING TO THIS CITY, AND THIS IS THE ITEM FOR CONSIDERATION OF APPROVAL OF THAT.
>> ANYBODY HAVE ANY SPECIFIC QUESTIONS ABOUT THE COWBOY STATUTE?
TO THE CITY ATTORNEY, WE JUST PASSED A POLICY, WHICH REQUIRES CERTAIN THINGS.
BUT IN THIS INSTANCE, WE'RE NOT FOLLOWING THE POLICY.
DOES THAT GIVE YOU ANY LEGAL HEARTBURN?
>> IT DOESN'T, BECAUSE THE POLICY ISN'T FINAL UNTIL 28TH.
>> BUT ONCE WE FINALIZE THE POLICY, THEN EVEN THOUGH WE'RE ALLOWING SOMETHING TO COME IN THROUGH THIS PROCESS, WHICH IS NOT FOLLOWING THE POLICY, IT DOESN'T OPEN US UP TO ANY POTENTIAL LIABILITY.
>> IT DOESN'T. THE ACCEPTANCE OF STATUES AND ARTWORK IS THE PROVIDENCE OF COUNCIL.
EVEN A RESOLUTION, YOU COULD CHANGE YOUR MIND IN THE PATH OF THE ACCEPTANCE BECAUSE YOU CAN CHANGE YOUR MIND.
YOU'RE THE COUNCIL. GOOD QUESTION, BUT NO, IT DOESN'T GIVE ME ANY HEART PART. THANK YOU.
>> THE ONLY OTHER THING I WOULD LIKE TO SAY IS I DID TALK TO KING AND DIANE HILL LAST NIGHT AT LENGTH ABOUT THIS BECAUSE I WANTED TO TALK TO THEM ABOUT THIS.
AND I WOULD JUST SAY THAT THEY RELATED THE WHOLE SORDID TAIL OF HOW WE GOT TO WHERE WE ARE TODAY,
[06:20:01]
AND I THINK AS A CITY, WE OWE THEM APOLOGY, THIS PROCESS WAS NOT HANDLED SMOOTHLY AND IT CAUSED THEM A LOT OF ANGST.THE SLOGAN GOES, "NO GOOD D GOES UNPUNISHED." WELL, IN THIS CASE, THEY WERE JUST TRYING TO DO SOMETHING GOOD.
I THINK THERE WAS MISCOMMUNICATION, MISUNDERSTANDING.
THEN ONE DAY, WE SAID, WELL, WE NEED TO HAVE A POLICY OR THE COUNCIL NEEDS TO APPROVE IT.
I JUST THINK I'M GOING TO VOTE IN FAVOR OF ACCEPTING THIS AND APPRECIATE THE KING AND DIANE HILL ARE DOING THIS.
I JUST WANT TO APOLOGIZE THEM THAT IT WAS SUCH A RIGMAROLE FOR US TO GET TO THIS POINT. THANK YOU.
>> THANK YOU, COUNCILMAN. ANYTHING FURTHER ON ITEM 10F?
>> I MOVE THAT WE ACCEPT THE COWBOY STATUTE.
>> I GOT A MOTION AND A SECOND TO ACCEPT A COWBOY STATUTE.
>> ANY OPPOSED? MOTION PASSES.
[10.G. CONSIDER APPROVAL - CENTER CITY TAX INCREMENT REINVESTMENT ZONE #1 DEVELOPER AGREEMENT WITH THE PANHANDLE ADULT REBUILDING CENTER (PARC)]
I AM GOING TO ABSTAIN AND STEP OUT.I'M GOING TO HAND IT OVER TO MAYOR PRO TEM.
I AM THE HIRED CONTRACTOR ON THIS PARTICULAR PROJECT AND HAVE ALREADY PERFORMED.
THIS IS A SIMPLE ITEM FOR YOU TO COVER.
COME, GET ME WHEN YOU'RE READY, PLEASE.
>> THIS ITEM CONSIDERS APPROVAL OF A TAX INCREMENT REINVESTMENT ZONE NUMBER 1, DEVELOPER AGREEMENT FOR THE PARK LOCATED AT 413 SOUTHWEST 6TH.
THE AGREEMENT IS FOR $55,775 TO ASSIST WITH COSTS ASSOCIATED WITH STREETSCAPE IMPROVEMENTS.
THE PAYMENT OF THE GRANT IS CONTINGENT UPON THE PROJECT COMPLETION AND ACCEPTANCE OR PERIODIC DRAWS OR PROGRESS PAYMENTS AT THE DEVELOPER'S REQUEST.
THE PANHANDLE ADULT REBUILDING CENTER EXISTS TO END THE CYCLE OF HOMELESSNESS.
THEY ARE CURRENTLY CONSTRUCTING ABOUT A 6,500 SQUARE FOOT FACILITY WITH LANDSCAPING AND STREET SCAPING, AGAIN, LOCATED AT 413 SOUTHWEST 6TH.
TOTAL PROJECT COST IS IN THE NEIGHBORHOOD OF 1.9 MILLION.
THEIR REQUEST TO THE TIERS WAS FOR $55,775.
THE TIERS BOARD APPROVED THIS PROJECT BACK IN FEBRUARY AND THE PROJECT HAS RECEIVED A CERTIFICATE OF APPROPRIATENESS TO MEET THE DODDS STANDARDS.
HERE'S JUST SOME IMAGES TO SHOW YOU THAT THIS PROPERTY IS WITHIN THE TIERS ZONE A LITTLE BIT OF THEIR DESIGN, AND THEN HERE'S SOME EXAMPLES OF WHAT THOSE DODD STANDARDS ARE THAT WE REQUIRE IN ALL OF OUR DOWNTOWN PROJECTS.
>> ANYBODY HAVING ANY QUESTIONS? SEEING NONE, I'LL ASK FOR A MOTION.
>> I MOVE TO ACCEPT ITEM 10G AS PRESENTED.
ANY OTHER DISCUSSION? ALL IN FAVOR SAY AYE.
I'M ASSUMING ITEM 10G IS COMPLETED.
WE ARE MOVING INTO OUR LAST ITEM,
[10.H. CONSIDER APPROVAL - ASSIGNMENT AND ASSUMPTION OF INCENTIVE AGREEMENT BETWEEN TIRZ #1 AND SUMMIT NCI JV 177, LLC TO 724 S. POLK STREET OPERATING, LLC]
ITEM 10H. MR. BRASSFIELD.>> ITEM 10H CONSIDERS APPROVAL OF SUMMIT NCI JV 177, LLCS ASSIGNING THEIR TIERS ONE INCENTIVE AGREEMENT RELATED TO THE DEVELOPMENT OF THE COURTYARD BY MARRIOTT IN DOWNTOWN AMARILLO, THE ASSIGNMENT WOULD BE GOING TO 724 SOUTH POLK STREET OPERATING, LLC.
A LITTLE BIT OF HISTORY ON THIS ITEM.
IN 2008, AMARILLO HOSPITALITY, LLC RECEIVED AN INCENTIVE AGREEMENT FOR 20 YEARS OF 90% OF THEIR PROPERTY TAX TO BE REIMBURSED.
THERE WAS A CAP OF $1.6 MILLION IN THAT AGREEMENT.
THE DEVELOPER'S OBLIGATIONS AS PART OF THAT AGREEMENT WAS TO CONSTRUCT A 108 ROOM HOTEL THAT CONSISTED OR ALSO HAD A RESTAURANT/LOUNGE BUSINESS CENTER, 07,300 SQUARE FEET OF PUBLIC SPACE, A FITNESS CENTER/SPA, AND A PARKING GARAGE.
THE CERTIFICATE OF OCCUPANCY WAS ISSUED ON THIS PROJECT IN 2010.
THE FIRST REBATE PAYMENT WAS MADE IN 2011.
IN 2021, THE INCENTIVE AGREEMENT WAS ASSIGNED TO SUMMIT FROM AMARILLO HOSPITALITY.
THE TIERS BOARD APPROVED THAT DECEMBER 13TH OF 2021, AND THE COUNCIL APPROVED IT THE NEXT DAY.
THEN IN 2025 SUMMIT PRESENTED THEIR REQUEST TO THE TIERS BOARD TO ASSIGN THE REMAINDER OF THE AGREEMENT TO 724 SOUTH POLK STREET.
[06:25:03]
WHAT THEY ARE ASSIGNING, 14 YEARS OF THIS PROJECT HAVE ALREADY BEEN PAID OUT JUST NORTH OF $808,000.THERE ARE SIX YEARS REMAINING ON THIS ASSIGNMENT OR 849,000 TO GET TO THE CAP THAT WAS PART OF THAT ORIGINAL AGREEMENT.
THEY'RE CURRENTLY AVERAGING AROUND 57,000 PER YEAR IN REBATES.
IF THEY CONTINUE AT THAT AVERAGE, THERE'S ABOUT 346,000 THAT WOULD STILL BE PAID OUT ON THAT.
THEY HAVE NOT REQUESTED ANY ADDITIONAL FUNDS OR ANY TIME TO BE EXTENDED TO THAT.
I DID WANT TO POINT OUT THAT SECTION 15 OF THAT AGREEMENT DOES STATE THAT THE DEVELOPER HAS TO HAVE THE ZONE APPROVAL BEFORE THEY CAN DO THAT AND THE APPROVAL SHALL NOT BE UNREASONABLY WITHHELD.
IT'S GETTING LATE AND HARD TO TALK.
>> QUESTIONS, COUNCIL ON THIS ITEM? ON THIS ONE, I DO HAVE A POSITION AND I NEED TO EXPLAIN IT. TIERS BOARD.
I WAS NOTIFIED BY A COUPLE OF INDIVIDUALS THAT SIT ON THE TIERS BOARD THAT HAD CONCERNS WITH IT.
I WAS UPDATED THAT DURING THE TABLE, THE ENTITIES WERE TRYING TO ENTER INTO AN AGREEMENT JUST I GUESS, INDEPENDENTLY BETWEEN THEMSELVES.
FOR WHATEVER REASONS, IT WASN'T GOING TO COME BACK TO THE TIERS BOARD.
I HAD INDIVIDUALS REACHING OUT SAYING, LOOK, WE'VE HEARD IT.
AT THE TIERS, WE WANT TO REHEAR IT.
WE WANT IT TO COME BACK TO THE TIERS BOARD.
THEN IT DID COME BACK TO THE TIERS, BUT IT CAME BACK WITH AN APPEAL OF IF YOU CAN VOTE FOR IT OR AGAINST IT, EVERY ITEM THAT EVER COMES BEFORE A BOARD MEMBER OR AN ELECTED REPRESENTATIVE HAS TO BE ACTIONABLE, WHERE YOU CAN VOTE FORWARD OR AGAINST IT.
BUT IN THIS CASE, IT WAS PRESENTED IN A WAY OF, YOU MAY BE ENDANGERING THE ENTITY FROM A POTENTIAL SUIT IF YOU DON'T TAKE THE RIGHT ACTION ON IT, WHICH WOULD BE IF IT DOESN'T PASS.
IN UNDERSTANDING THIS, I THINK I WENT BACK THROUGH MY DATES JUST TO SEE HOW THE CORRECT PROCEDURE FOLLOWED.
WHEN IT'S FOLLOWED, ALLOWS FOR THE COUNCIL TO HEAR IT AND THE TIERS BOARD TO HEAR IT.
RIGHT NOW, IF WE HAD TWO PARTIES, A BUYER THAT'S WAITING ON A CONTRACT AND A SELLER THAT'S ATTEMPTING TO SELL, SELLER BRINGS IT BEFORE THE PARTY OF THE CITY, GOES THROUGH TIERS TO GET THE APPROVAL, GOES THROUGH CITY COUNCIL TO GET THE APPROVAL, THEN THEY OFFER IT IN THE SELL AGREEMENT.
WHAT I'M UNDERSTANDING RIGHT NOW IS THAT IT'S ALREADY BEEN OFFERED IN THE SALE AGREEMENT THAT WAS DATED, MAYBE IT WAS JUNE 24TH OR JUNE 26TH.
MY POSITION IS NOT THAT THE CITY DOESN'T CONTRACTUALLY OWE THE REBATE.
I THINK IT DOES. I THINK IT'S THE PROCEDURE IN WHICH THAT IT WENT THROUGH.
IN FACTORING THAT, I'M CALCULATING THE REASONABLENESS THAT IT REQUIRES MAY NOT BE WITHHELD WITHOUT REASON.
MY POSITION ON THIS WOULD BE WITH THE ATTEMPT OF THE TWO PARTIES TO DO SOMETHING OUTSIDE OF THE FULL AWARENESS OF THE TAXPAYER AND THOSE PEOPLE THAT I REPRESENT, I HAVE TO BE ABLE TO ENDORSE EVERY VOTE THAT I CAST.
I COULDN'T, WITH GOOD CONSCIENCE, SAY THAT I'M REPRESENTING TO ACCEPT THIS OR TO ENDORSE IT WITH THE WAY IT WAS HANDLED.
I WOULD VOTE AGAINST THIS ITEM BASED ON THE PRINCIPLE THAT'S INVOLVED IN THAT.
AS AN ELECTED REPRESENTATIVE, I'VE GOT TO BE WILLING TO STAND NEXT TO THAT VOTE.
I THINK IF IT HAD BEEN BROUGHT TO US IN THE CORRECT ORDER, I THINK IF SUMMIT HAD COME TO US AND SAID, WE'RE ASKING, WE NEED YOUR APPROVAL, THEN WE CAN INCLUDE THIS IN THE CONTRACT.
PERHAPS THE CONTRACTUAL OBLIGATION OF THE POTENTIAL DAMAGE TO THE BUYER IF IT DOESN'T GO THROUGH WOULD HAVE BEEN ALLOWED A DISCUSSION AND A MORE LEGITIMATE VOTE.
I HOPE THAT THAT'S HELPFUL FOR EVERYBODY TO HEAR.
I WOULD HATE TO VOTE AGAINST SOMETHING WITHOUT JUSTIFICATION, BUT THAT WOULD BE MY JUSTIFICATION ON IT HERE TODAY, AND I WOULD ASK IF COUNSEL HAS ANYTHING THAT THEY HAVE AN OPINION ON ONE WAY OR ANOTHER.
THE ASSIGNMENT, THE ABILITY TO SIGN ITS CONTRACTUAL.
[06:30:03]
>> IT'S CONTRACTUAL. IT PASSES.
CAN WE GO BACK TO THE SLIDES, PLEASE? THE SLIDES, ONE MORE.
IN 2021, WE AGREED TO THE INCENTIVE AGREEMENT TO ASSIGN IT TO SUMMIT.
COUNSEL APPROVED IT. THAT SAYS PRECEDENCE.
>> IT WAS ASSIGNED, IT WAS CONTEMPLATED TO BE ASSIGNED.
ONE HOTEL YEAR TO ANOTHER HOTEL.
>> WHAT'S THE DIFFERENCE THIS TIME?
>> ANY FURTHER QUESTIONS ON THIS?
>> I'D MAKE A MOTION THAT WE ALLOW THE AGREEMENT BETWEEN TIERS 1 AND SUMMIT NCIJV 1.
I DON'T KNOW HOW MUCH YOU NEED ON THIS 2724 SOUTH POLK STREET OPERATING, LLC.
>> I HAVE A MOTION AND A SECOND ON THE ITEM.
ANY FURTHER DISCUSSION? ALL IN FAVOR, PLEASE SAY AYE?
>> MOTION PASSES WITH A 4-1 VOTE.
THAT CONCLUDES ALL OF OUR BUSINESS HERE TODAY.
I APPRECIATE EVERYONE FOR ATTENDING ONE OF THE LONGEST MEETINGS.
CAN I GET A MOTION AND A SECOND TO ADJOURN?
>> YOU'RE ADJOURNED. THANK YOU.
* This transcript was compiled from uncorrected Closed Captioning.