[00:00:03] >> REGULARLY SCHEDULED BUSINESS MEETING FOR THE CITY COUNCIL THIS WEEK. HERE TO START US OFF WITH AN INVOCATION TODAY IS [INVOCATION] PASTOR BETTY NICKERSON FROM NEW LIFE MINISTRIES. PASTOR, I KNOW IT MAY TAKE A MINUTE TO MOVE YOU OVER FROM A WATCHER TO A PANELIST. WE'LL WAIT. >> MAYOR, I DO NOT SEE MS. NICKERSON ON THE LINE NOW, BUT THEY'RE GOING IN, SO LET'S GIVE IT MAYBE 30 SECONDS. >> OKAY. WE CAN SURE DO THAT. [NOISE] I BET OUR FRIEND CAROL SMITH WOULD STAND-IN FOR HER IF PASTOR NICHOLSON WASN'T AVAILABLE. >> I'LL GET HER RIGHT HERE IF SHE IS NEEDED. >> YEAH, IT LOOKS LIKE SHE MIGHT BE. I DON'T SEE MS. NICKERSON. >> OKAY. GREAT. [NOISE] >> THIS HAS A REAL GENUINE FEEL TO IT, DOESN'T IT? [NOISE] HI, MS. CAROL SMITH. >> GOOD AFTERNOON. >> WOULD YOU BE WILLING TO SAY OUR INVOCATION FOR US? >> GLAD TO. PLEASE BOW YOUR HEADS WITH ME. OUR HEAVENLY FATHER, WE JUST PAUSE AT THIS TIME TO THANK YOU FOR THE MANY BLESSINGS THAT YOU BRING OUR WAY DAY BY DAY. DEAR LORD, DURING THESE TIMES OF PERILOUS DECISIONS, DEAR LORD, WE PRAY THAT YOU WILL HAVE A GUIDING HAND IN THESE COUNCIL MEMBERS AND MAYOR. WE PRAY, HEAVENLY FATHER, THAT IN ALL THAT THEY DO, THAT IT WOULD BE TO BRING HONOR AND GLORY TO YOUR NAME. WE PRAY THAT IT WILL BENEFIT THE CITY OF AMARILLO. WE PRAY ESPECIALLY, DEAR LORD, FOR OUR POLICE, OUR FIREMEN, AND ALL THOSE OTHER PEOPLE THAT ARE IN HARM'S WAY DURING THIS TIME. DEAR LORD, WE JUST PRAY FOR HARMONY, AND UNITY, AND GRACE AS WE FACE THE DECISIONS THAT ARE BEFORE US. ALL THESE THINGS WE ASK AND PRAY IN YOUR BLESSED NAME. AMEN. >> AMEN. IF YOU'D HAD HOURS TO PREPARE IT, IT COULDN'T HAVE BEEN ANY BETTER. THANKS, CAROL. WE APPRECIATE THOSE WORDS VERY MUCH. OKAY. WE MOVE ON TO OUR AGENDA. [A. Coronavirus Update;] ITEM 1A IS THE CORONAVIRUS UPDATE. MR. CITY MANAGER? >> HI, MAYOR, THANK YOU. WE HAVE CASIE STOUGHTON, DIRECTOR OF PUBLIC HEALTH, HERE TO GIVE US THE INFORMATION AND ANSWER ANY QUESTIONS THE COUNCIL MIGHT HAVE. WE'LL BE TALKING RIGHT AFTER THIS ABOUT THE GOVERNOR'S EXECUTIVE ORDERS GA28 AND GA29 RIGHT AFTERWARDS, SO WE CAN BLEND THOSE TWO ITEMS TOGETHER IF THE QUESTIONS WORK THAT WAY. BUT AS FAR AS THE CORONAVIRUS UPDATE, WE'VE GOT CASIE AND THEN WE'RE JUST GOING TO TAKE QUESTIONS FROM COUNCIL. WE HAVE ALL THE NECESSARY SUBJECT MATTER EXPERTS TO ANSWER ANY QUESTIONS OR TO PROVIDE ADDITIONAL INFORMATION AFTER SHE'S DONE. CASIE? >> HEY. JUST A DISCLAIMER, I'M HAVING SOME COMPUTER TROUBLES, SO IF SOMETHING HAPPENS, I CERTAINLY APOLOGIZE. AS OF YESTERDAY, THERE WERE A TOTAL OF 3,920 CASES OF COVID-19 REPORTED IN POTTER AND RANDALL COUNTIES; 2,978 IN POTTER COUNTY AND 942 IN RANDALL COUNTY. WE HAVE A TOTAL OF 3,506 RECOVERIES AND 46 DEATHS REPORTED IN OUR COMMUNITY. THAT LEAVES US WITH 368 ACTIVE CASES. EACH OF THE CASES DO REPRESENT A UNIQUE INDIVIDUAL. I'M SORRY, THIS IS AN UPDATE. OUR HOSPITALIZATION NUMBERS HAVE INCREASED, BSA HAS A TOTAL OF 23 PATIENTS IN-HOUSE AND NORTHWEST, A TOTAL OF 15 PATIENTS. THE DENOMINATOR HAS DROPPED DRASTICALLY AND SO OUR HOSPITALIZATION RATE IS UP TO 10.33 PERCENT. THE TOTAL ADULT BED UTILIZATION IS AT 66 PERCENT, VENTILATOR UTILIZATION IS AT 38 PERCENT, AND ICU UTILIZATION IS AT 65 PERCENT. [00:05:02] THE NUMBERS OTHER THAN HOSPITAL UTILIZATION RATE ARE HOLDING FAIRLY STEADY. AGAIN, THE HOSPITALIZATION RATE HAS INCREASED. THE DENOMINATOR HAS DROPPED DRASTICALLY SINCE WE HAVE ROLLED OFF A NUMBER OF RECOVERIES. THOSE RECOVERIES INCLUDE A NUMBER OF FOLKS THAT THE PUBLIC HEALTH JUST HASN'T HAD CONTACT INFORMATION FOR, EITHER TDCJ, A NUMBER OF FOLKS FROM MASS TESTING, OR OTHER COMMUNITY TESTING EVENTS WHERE WE MADE MULTIPLE ATTEMPTS AT CONTACT, BUT WE JUST DIDN'T HAVE CONTACT INFORMATION FOR, SO WE ALLOWED FOR ONE MONTH PAST THEIR TEST DATE BEFORE WE CONSIDERED THEM RECOVERED, WE WERE NOT NOTIFIED OF THEIR DEATH. BUT BOTH OF THE HOSPITALS DO REPORT AN INCREASE IN CAPACITY IN THEIR NUMBER OF POSITIVE COVID PATIENTS THAT ARE IN-HOUSE. TO DATE, THERE'S A TOTAL OF 26,268 TESTS THAT HAVE BEEN REPORTED TO THE AMARILLO PUBLIC HEALTH DEPARTMENT AND 5,800 OF THOSE TESTS HAVE BEEN CONDUCTED THROUGH THE PUBLIC HEALTH DRIVE-THROUGH. I THINK THAT'S AN AMAZING AMOUNT OF WORK FOR A SMALL NUMBER OF HARDWORKING PEOPLE. THE DRIVE-THROUGH TESTING SITE DOES REMAIN OPERATIONAL. IT'S OPEN MONDAY THROUGH FRIDAY, 09:00 AM TO 03:00 PM. THE NUMBER REMAINS 378-6300 FOR ANYONE WHO NEEDS TO BE TESTED. OVER THE PAST COUPLE OF DAYS, WE HAVE SEEN AN INCREASE IN POSITIVE CASES. OUR POSITIVE CASE NUMBER COUNT IS IN THE LOW 60S RIGHT NOW. TODAY, I BELIEVE WE HAD AROUND 59 NEW CASES. I'VE GOT SOME DATA I'M GOING TO TRY TO SHARE MY SCREEN. AGAIN, REMEMBER, THE TECHNICAL PART OF THIS EVENT IS NOT MY STRONG SUIT. SO I'M GOING TRY TO SHARE MY SCREEN. KIRSTIN WILLIAMS, OUR EPIDEMIOLOGIST, PREPARED SOME SLIDES FOR US. I'M GOING TO TRY TO SHARE THOSE SLIDES WITH US. >> TAKE AS MUCH TIME AS YOU NEED, CASIE. WE'RE ALL GLAD IT'S YOU AND NOT US THAT ARE HAVING TO LEARN THAT SKILL, HOW TO SHARE YOUR SCREEN. >> IF YOU'D PREFER, I CAN SHARE THEM, CASIE. JUST NUDGE ME WHEN YOU WANT ME TO MOVE FORWARD. >> OKAY. WELL, I THINK I'M GETTING THOSE OPEN SO HOLD ON. STEPHANIE, CAN YOU JUST SHARE YOUR SCREEN? >> YEAH, ABSOLUTELY. LET ME PULL IT UP RIGHT NOW. >> I'M SORRY. >> THERE'S TWO ROADS TO GET THERE. YOU'RE GETTING THERE. >> CASIE, WHILE THAT'S HAPPENING, CAN I ASK YOU A QUESTION REAL QUICK? >> YES, SIR. >> JUST OUT OF CURIOSITY BECAUSE I'VE TALKED TO A COUPLE OF PEOPLE ASSOCIATED WITH HOSPITAL. WHAT WAS THE HOSPITALIZATION RATE THIS TIME LAST YEAR? HOSPITAL CAPACITY, NOT HOSPITALIZATION, BUT THE HOSPITAL CAPACITY, BECAUSE FROM WHAT I'M HEARING IS, HOSPITAL CAPACITY IS ACTUALLY DOWN. >> YES, SIR. I THINK THEY GENERALLY RUN ABOUT 50 TO 65 PERCENT. I DON'T KNOW THEIR TOTAL CAPACITY WAS AT THIS TIME LAST YEAR, I CAN FIND OUT FOR THEM, BUT BSA HAS 445 LICENSED BEDS AND THEIR TOTAL OCCUPIED BEDS RIGHT NOW IS AT 294. SO THEIR TOTAL CAPACITY IS RIGHT AROUND 50 PERCENT, MAYBE A LITTLE HIGHER THAN 50 PERCENT, BUT THE NUMBER OF COVID PATIENTS WERE INCREASING, [OVERLAPPING] IS AROUND AVERAGE. >> YES. I'VE HEARD THAT THERE'S STILL PEOPLE THAT ARE AVOIDING THE HOSPITAL. >> YES, SIR. I THINK IT'S IMPORTANT TO NOTE, IF YOU HAVE CHRONIC HEALTH CONDITIONS OR IF YOU ARE EXPERIENCING SYMPTOMS OF OTHER CONDITIONS, IT'S IMPORTANT TO GO TO THE HOSPITAL OR TO SEEK MEDICAL CARE. [00:10:03] >> YES, MAYOR. >> OKAY. STEPHANIE, YOU'RE WELCOME TO ADVANCE TO THE NEXT SLIDE. THE POSITIVE CASES THAT HAVE BEEN REPORTED OVER THE LAST MONTH, I JUST WANTED TO HIGHLIGHT THE TREND LINE THERE. TODAY, WE HAD 59 NEW CASES AND SO IT'S INCREASED A LITTLE BIT MORE EVEN THAN WHAT YESTERDAY'S REPORTED CASES WERE, BUT YOU CAN SEE THAT THAT TREND LINE IS SLOPING HIGHER THAN WHAT WE WERE AT THE BEGINNING OF JUNE. MAYOR, WE CAN SEND THESE SLIDES TO YOU. >> THANK YOU. >> WE DID REMOVE WEEKENDS JUST FROM THE LINES THERE BECAUSE MOST OF THE CASES WERE REPORTED MONDAY THROUGH FRIDAY. THE LARGE SPIKE ON JULY 1ST OCCURRED ON A WEDNESDAY AND DOESN'T SEEM TO HAVE ANY TIE TO ANY OF OUR PREVIOUS OUTBREAKS. >> SO NO EXPLANATION THERE, CASIE, OTHER THAN JUST SUBSTANTIAL COMMUNITY SPREAD? >> YES, MA'AM. WE HAD GRADUATION, MEMORIAL DAY, FATHER'S DAY, ALL BACK TO BACK THERE, AND SO I THINK WE'RE SEEING THE RESULTS OF THOSE GET-TOGETHERS. CONSISTENT DIPS IN CASES ON JUNE THE 12TH, 19TH, 26TH, AND JULY 3RD ARE ALL ON FRIDAYS, WHEN WE DO RECEIVE LESS REPORTS. THEN THAT THIS TREND IS SIMILAR TO WHAT WE SAW IN APRIL, AT THE SAME TIME OF THAT MONTH. OKAY, STEPHANIE, YOU'RE WELCOME TO GO TO THE NEXT SLIDE. >> THESE ARE POSITIVE CASES REPORTED BY COUNTY. SO THE BLUE LINE IS POTTER COUNTY, THE ORANGE LINE IS RANDALL COUNTY. YOU CAN SEE HOW THAT HAS SHIFTED TO OURSELF. THERE'S ADDITIONAL CASES IN RANDALL COUNTY, IT WAS HEAVIER IN POTTER COUNTY IN JUNE. >> SO CATIE, IN RANDALL COUNTY, IS THAT DUE TO COMMUNITY SPREAD AS WELL? >> YES, MA'AM. >> OKAY. WOULD THAT ALSO BE IN RELATIONSHIP TO PROBABLY LARGE GATHERINGS? >> YES. WE PREVIOUSLY HAD ONE, MAYBE TWO REALLY LARGE OUTBREAKS, NOW WE'RE SEEING MANY SMALL CLUSTERS. >> OKAY. THANK YOU. >> YES, MA'AM. OKAY, STEPHANIE. THIS NEXT SLIDE IS REPORTED BY AGE AND YOU'LL SEE THAT THERE'S NO Y-AXIS. GENERALLY, WHEN THERE ARE CASES LESS THAN 10, WE DON'T REPORT THOSE SPECIFIC NUMBERS JUST FOR CONFIDENTIALITY. SO THESE ARE SMALLER NUMBERS, BUT THE TAKE-HOME MESSAGE HERE IS, THE SPECIFIC AGE GROUPS THAT WE'RE SEEING, THE DIFFERENT BURDEN OF DISEASE IN. SINCE PROBABLY AROUND THE END OF JUNE, 1ST OF JULY, THE 20'S AND 30'S AGE CATEGORY IS WHERE WE'RE SEEING THE LARGEST NUMBERS OF CASES. THAT'S FAIRLY CONSISTENT WITH WHAT WE HAD SEEN IN THE PAST, BUT CERTAINLY MUCH MORE DRAMATIC RIGHT NOW. WHAT WE'RE SEEING ARE LOTS OF FRIENDS GROUPS AND TRAVEL TO PARTIES AND BARS OUTSIDE OF OUR COMMUNITY. SOME LOCAL BARS, NOT ANY SPECIFIC OUTBREAKS, BUT CERTAINLY GATHERING, FAMILY GET-TOGETHERS, FRIENDS GET-TOGETHERS, GRADUATION PARTIES, LOTS OF GATHERING. THIS WOULD BE A HARD TIME TO BE YOUNG RIGHT NOW. WE HAVE LOTS OF COMPASSION, [00:15:01] THIS IS A TOUGH TIME. IN THE OLDER AGE GROUPS, WHAT WE'RE SEEING IS CLUSTERING IN WORK, FAMILY GET-TOGETHERS, TRAVEL, AND CHURCH ATTENDANCE. YOU'RE WELCOME TO GO TO THE NEXT SLIDE, STEPHANIE. THIS SLIDE IS THE POSITIVITY RATE AT THE DRIVE-THROUGH TESTING AND ONLY THE DRIVE-THROUGH TESTING. THAT'S A COHORT OF DATA THAT WE HAVE ACCESS TO IN TOTALITY. SO THIS IS TWO MONTHS WORTH OF DATA. YOU CAN SEE THAT THE TREND LINE IS FAIRLY FLAT. IT DOES HAVE A LITTLE BIT OF A SLANT TO IT, BUT IT'S FAIRLY FLAT, MEANING THAT WE HAD HIGHER POSITIVITY IN MAY, THEN WE HAD A VALLEY, AND NOW WE'RE SEEING HIGHER POSITIVITY AT THE END OF JUNE, EARLY JULY. SO WE HAD TWO PEAKS AND A VALLEY IN THE MIDDLE. SO THE NEXT SLIDE, STEPHANIE, AND WE MIGHT TOGGLE BETWEEN THE TWO, BUT THE NEXT SLIDE IS JUST A ONE-MONTH PICTURE. YOU CAN SEE THE DRIVE-THROUGH POSITIVITY RATE IS CERTAINLY ON THE INCREASE OVER THE PAST MONTH. WHERE AT THE END OF MAY, WE WERE AROUND FIVE PERCENT OF OUR CASE OF THE PEOPLE WHO WE TESTED THROUGH THE DRIVE-THROUGH WERE POSITIVE, AND NOW WE'RE CLOSER TO 25,30 PERCENT. >> CASIE, I HAVE A QUESTION ON THAT. ON JUNE THE 15TH, THERE'S 35 PERCENT POSITIVITY RATE ON THAT DAY. BUT WITHOUT KNOWING, THERE COULD HAVE BEEN THREE PEOPLE THAT WERE TESTED THAT DAY AND ONE OF THEM WAS POSITIVE. SO IT'S A HIGH NUMBER AS OPPOSED TO SOME OF THOSE OTHERS. IT COULD BE A WHOLE LOT OF PEOPLE DROVE THROUGH, BUT WHEN YOU DO THE MATH, IT ENDED UP LESS. >> SO THE LOWEST NUMBER THAT WE'VE HAD COME THROUGH THE DRIVE-THROUGH IS 40. SO WE TEND TO AVERAGE 40-60. IN THE LAST FEW DAYS, WE'VE BEEN AROUND 100. SO GENERALLY BETWEEN 40 AND 100 PEOPLE COME THROUGH THE DRIVE-THROUGH. SO THERE'S NOT A LOT OF VARIABILITY, BUT BETWEEN 40-60, WE HAVE EXCURSIONS UP TO 100. >> THIS PARTICULAR SLIDE, THAT'S HARD FOR ME TO GET MUCH INFORMATION FROM JUST BECAUSE OF THAT EXPLANATION. BUT WHERE YOU'VE DONE THE TOTALS OF, I DON'T KNOW IF IT'S MAYBE BY A WEEK OR BY A MONTH, DID ONE OF YOUR SLIDES HAVE THAT TO GO? I KNOW YOU SAID AT THE BEGINNING WE HAD A LITTLE HIGHER AND THEN THE TROUGH. COULD YOU GO BACK TO THAT SLIDE? >> YES, MA'AM. THIS SLIDE THAT STEPHANIE HAS UP NOW, AND SO WE HAD A PEAK AND THEN A VALLEY AND THEN A PEAK. >> YEAH, THAT JUNE 15TH IS DEFINITELY AN OUTLIER THAT LOOKS ODD ON YOUR CHART. EVERYTHING ELSE LOOKS TO BE ABOUT THE 25 PERCENT HAS BEEN ABOUT OUR HIGHEST AND FIVE PERCENT OUR LOW. SO ANY FEEDBACK ON THE CHANGE IN POSITIVITY RATE? ANY DATA THAT YOU SEE THAT WOULD POSSIBLY BE DRIVING THAT, IS IT BASED ON PEOPLE COMING IN WITH MORE SYMPTOMS, LESS SYMPTOMS? >> SO WE DO REQUIRE SYMPTOM. YOU HAVE TO BE SYMPTOMATIC TO COME THROUGH. IN THEORY, ALL OF THE PEOPLE TESTED WOULD BE SYMPTOMATIC. SO WHAT I THINK THAT WE'RE SEEING IS MORE OF THE PEOPLE WHO ARE SYMPTOMATIC ARE TESTING POSITIVE. I THINK THAT SPEAKS TO THE HIGHER COMMUNITY SPREAD, WE HAVE MORE WIDESPREAD AS OPPOSED TO IN VERY SPECIFIC OUTBREAKS. IT'S A LITTLE MORE DISSEMINATED. >> I THINK THAT IS WHAT WE'RE HEARING ACROSS THE STATE AS WELL, THAT THE POSITIVITY RATE HAS BEEN GOING UP. I JUST HAVEN'T HEARD ANY INSIGHT OR EXPLANATIONS OF WHAT PEOPLE FEEL IS DRIVING THAT. >> I THINK THAT'S THE MORE WIDESPREAD DISSEMINATION AS OPPOSED TO OUTBREAKS IN SPECIFIC LOCATIONS. [00:20:19] >> ANY OTHER QUESTIONS THEN ABOUT THOSE SLIDES? [NOISE] CASIE, IS THAT IT ON DATA SLIDES? >> YES, MA'AM. THAT'S REALLY ALL I HAVE TO SHARE TODAY. >> I THINK IT'S REALLY HELPFUL FOR YOU TO COMPILE THAT DATA FOR US TO ASK THE QUESTIONS LIKE, WHAT'S CAUSING THIS DAY AND TO SEE THE TREND LINES IS VERY HELPFUL. ARE THESE CHARTS GOING TO BE AVAILABLE ON THE WEBSITE OR ARE THEY GOING TO BE SOMETHING THAT WE'LL CONTINUE TO FEED AND KEEP UP WITH? >> [OVERLAPPING] WE CAN IF THAT'S WHAT YOU WOULD LIKE. >> [OVERLAPPING] I DON'T KNOW HOW MUCH TIME GOES INTO DOING THAT. I DON'T KNOW WHAT I'M ASKING FOR, I'M JUST SAYING, I GUESS. [OVERLAPPING] TREND LINES ARE HELPFUL. >> I CAN CERTAINLY MAKE IT TOO. >> YEAH. I THINK THE TREND LINES ARE HELPFUL. COUNCIL, DO YOU LIKE SEEING THE TREND LINES? >> YES, I DO. CASIE, I HAVE A QUESTION. DID YOU TALK ABOUT THE LAST CHART, WHICH WAS THE CONTACT CHART? [NOISE] >> I'M SORRY. THANK YOU, MISS POWELL. STEPHANIE, THERE WAS ONE LAST CHART. COUNCIL MEMBER HAYS, THIS ONE WAS SPECIAL FOR YOU. THIS CHART TALKS ABOUT THE NUMBER OF PEOPLE WHO CAME THROUGH THE DRIVE-THROUGH TESTING SITE THAT INDICATED THAT THEY HAD BEEN IN CONTACT WITH A SICK PERSON OR NOT. THE BLUE BARS ARE THOSE INDIVIDUALS WHO INDICATED THAT THEY DID NOT HAVE A SICK CONTACT. THE RED BARS ARE THOSE THAT DID HAVE A SICK CONTACT. YOU CAN SEE THE BLUE BARS WERE CERTAINLY HIGHER UNTIL MID-JUNE, WHICH INDICATED LOTS OF COMMUNITY SPREAD. NOW, WE'RE SEEING QUITE A FEW SICK CONTACTS, WHICH COULD INDICATE SECONDARY OR TERTIARY TRANSMISSION. >> THANK YOU, CASIE. >> YES, MA'AM. THANK YOU FOR POINTING THAT OUT. >> YOU ARE MOST WELCOME. >> HERE. [NOISE] >> HOWARD, DID YOU HAVE A QUESTION? >> TELL ME. YOU ASKED IF WE, AS THE COUNCIL, LIKED THE TREND LINES. I LIKE THE TREND LINES IF THE TREND IS DOWN. IF THE TREND IS UP, I STILL DON'T WANT TO SEE THE TREND LINES, NOT THAT MUCH. [OVERLAPPING] >> CASIE, YOU HAVE YOUR MARCHING ORDERS AND WE WANT THE [NOISE] TREND LINES, PUT THEM DOWN PLEASE. >> YES, MA'AM. >> I THINK SHE WOULD ANSWER THEN WE SHOULD DO THINGS LIKE WASH OUR HANDS, SOCIAL DISTANCE, WEAR A MASK, AND THEN THE TREND LINES WILL GO DOWN I BELIEVE. SCIENCE SUPPORT THAT. >> IT WILL TAKE ALL OF US. >> BUT IT WILL TAKE EVERY ONE OF US, ALL THE TIME. ANYTHING ELSE THEN FOR CASIE OR QUESTIONS ABOUT CORONAVIRUS UPDATE? >> CASIE, I HAD A QUESTION ON THE HOSPITALIZATIONS. OUT OF THOSE, THE 23 AND 15, SO THE 38 INDIVIDUALS THAT WERE CURRENTLY HOSPITALIZED, ARE WE SEEING SOME OF THE NEW CASES COME IN THAT ARE SICKER AND HAVING TO GO INTO THE HOSPITAL OR ARE THESE SOME POSSIBLE HOLD OVERS THAT WERE PART OF OUR EARLIER NUMBERS AND THE RECOVERY RATE TAKE SOME TIME, AND SINCE WE'RE DROPPING OFF SO MANY ACTIVE CASES, THEY ARE ROLLING OFF FROM SOME OF OUR LARGER TESTING, THAT OUR HOSPITALIZATION RATE IS HIGHER. JUST TRYING TO GET A FEEL FOR SOME OF OUR NEW CASES, IF WE'RE SEEING PEOPLE WHO ARE SICKER OR IF WE'RE STILL SEEING THE MAJORITY OF PEOPLE RECOVERING AT HOME, BUT WE STILL HAVE PEOPLE WHO HAD NOT RECOVERED YET FROM OUR PREVIOUS ROUNDS OF CASE? >> THE ANSWER IS A LITTLE BIT OF BOTH. AS THE DENOMINATOR GOES MUCH LOWER, THEN THAT PERCENT GOES HIGHER. BUT WE'RE ALSO SEEING AN INCREASE OF NEW PATIENTS BEING HOSPITALIZED. AT OUR LAST PRESS CONFERENCE, DR. WEIS HAD INDICATED THAT THE NUMBER OF PATIENTS AT NORTHWEST WAS IN THE SINGLE DIGITS AND NOW THEY HAVE 15. [00:25:05] SO THE NUMBER OF NEW PATIENTS BEING HOSPITALIZED IS CERTAINLY INCREASING. I BELIEVE BSA SAID THAT THEY HAD 14 AND NOW THEY HAVE 23. SO THOSE PATIENTS, AND THERE ARE NEW PATIENTS BEING HOSPITALIZED, BUT WE'RE ALSO ROLLING OFF A LARGE NUMBER OF RECOVERIES. SO WITH THAT TOGETHER, THE HOSPITALIZATION RATE IS FAIRLY HIGH. I THINK EVENTUALLY THAT WILL AVERAGE ITSELF OUT. >> THEN A QUESTION ON THE HOSPITAL CAPACITY. WHERE ARE WE CURRENTLY WITH ELECTIVE SURGERIES? THAT'S OPENED BACK UP. SO SOME OF THAT CAPACITY IS BEING USED UP BY ELECTIVE SURGERIES. THAT CAPACITY ISN'T JUST ALL BEING ABSORBED BECAUSE OF COVID PATIENTS. >> CORRECT. WHEN WE ARE ESPECIALLY ON THE DASHBOARD, THE COVID HOSPITALIZATION RATE IS SPECIFIC TO COVID, BUT THE ADULT BED UTILIZATION, THE ICU UTILIZATION, AND VENTILATOR UTILIZATION, THAT IS FOR ALL PATIENTS, BECAUSE IT DOESN'T MATTER IF YOU HAVE COVID OR IF YOU HAD SURGERY. IF YOU'RE UTILIZING A VENTILATOR, IT'S BEING UTILIZED. SO WE WANTED TO MAKE SURE THAT WE WERE COMMUNICATING WHAT THAT OVERALL UTILIZATION AND CAPACITY WAS, BECAUSE THAT'S IMPORTANT. THOSE CAPACITY NUMBERS ARE FOR ALL PATIENTS. >> OKAY. THANK YOU. >> CASIE, WHAT DID YOU SAY THAT THE CAPACITY AT BSA WAS 430, 439? >> [OVERLAPPING] THEIR TOTAL CAPACITY IS 445 AND THEIR TOTAL OCCUPIED BEDS IS 294. [NOISE] >> SO COVID PATIENTS ARE TAKING UP ABOUT FIVE PERCENT OF THEIR BEDS? >> YES. >> OKAY. IS NORTHWEST ABOUT THE SAME? >> NORTHWEST IS AT 495. THEIR TOTAL OCCUPIED BEDS IS 183 AND THEY HAVE 15 CONFIRMED PATIENTS. >> SO THEY'RE ALMOST HALF OF WHAT BSA IS AS FAR AS HOSPITAL UTILIZATION BY COVID PATIENTS? >> YES. >> ANYTHING ELSE FOR CASIE AGAIN? CASIE, THANK YOU FOR THE WORK THAT YOU'RE DOING, WE APPRECIATE IT. >> THANK YOU. I HAVE A REALLY GREAT TEAM AND I APPRECIATE ALL OF THEIR HARD WORK. >> WE APPRECIATE THEIR HARD WORK TOO. JARED, ANYTHING ELSE ON CORONAVIRUS UPDATE? >> NO, MA'AM. >> OKAY. >> CAN I THROW ONE THING IN? >> YES. >> [NOISE] SO THE REIMBURSEMENT PROGRAM HAS STARTED. SO I ASKED ANDREW FOR SOME NUMBER AND SO IT OPENED UP LAST WEDNESDAY AT 1:00 PM. SO THERE HAVE BEEN 38 APPLICATIONS AS OF TODAY, WITH A TOTAL OF ABOUT $74,500 HAS BEEN REQUESTED, AVERAGING ABOUT $1,950 FOR EACH ONE OF THOSE APPLICATIONS. THREE OF THEM WERE AT THE FULL 5K, CLOSE REQUEST WAS PULLED OUT $76. SO THERE'S ALREADY BEEN SOME PRETTY GREAT RESPONSE. JUST I WANT TO MAKE SURE THAT THEY'LL MAKE FOR SURE THAT IT'S GETTING OUT, THAT THERE'S PLENTY OF ROOM FOR PEOPLE TO TURN IN APPLICATIONS FOR REIMBURSEMENT OF PPE AND THAT KIND OF STUFF THAT THEY'VE USED FOR CORONAVIRUS MITIGATION IN THEIR OWN BUSINESSES. I THINK WHERE'S THAT AGAIN? IS IT AMARILLOALERTS.COM THAT YOU CAN GO FIND THE APPLICATION, ISN'T THAT CORRECT? >> YES. AMARILLOALERTS.COM [OVERLAPPING] >> AMARILLOALERTS.COM IS WHERE THE APPLICATION IS LOCATED. >> I THINK WE NEED TO JUST CONTINUE TO GET THAT OUT TO THE COMMUNITY, [00:30:05] THAT THERE IS AVAILABILITY OF FUNDS TO HELP DEAL WITH BUSINESSES FACING CONCERNING THE CORONAVIRUS. IF YOU GO TO AMARILLOALERTS.COM AND GO TO THE TOP RIGHT, THERE'S A "CARES ACT FUNDING" BUTTON AT THE TOP, AND THAT'LL TAKE YOU TO THE GUIDELINES HOW TO APPLY AND EVERYTHING ELSE. THERE IT IS RIGHT THERE. >> THAT'S GREAT. THIS IS PART OF WHAT I LOVE ABOUT THIS ZOOM TOOL. WE THROW THAT UP, WE CAN ALL SEE IT EASILY. THANK YOU, JARED. >> YEAH. THE APPLICATION FORM IS THERE TOO. >> THANK YOU FOR THAT UPDATE, EDDIE, AND THANK YOU FOR ALL THE WORK THAT YOU'VE PUT IN A LOT OF MEETINGS BEHIND THE SCENES. I KNOW KEVIN STARBUCK HAS SPENT A LOT OF TIME WORKING ON IT WITH YOU AND FOLKS THAT HE LEADS TO GET THOSE APPLICATIONS UP TO GET THE PROGRAM STOOD UP. ALL OF THAT IS ALL BRAND NEW, WENT ON EVERYBODY'S RADAR SCREEN IN JUST A MATTER OF MONTHS AGO. SO I REALLY APPRECIATE THE TIME THAT YOU'VE SPENT LEADING THIS EFFORT. IT'S HELPING 38 BUSINESSES AND I REALLY BELIEVE MORE DON'T APPLY, SO I AM GLAD YOU BROUGHT THAT UP. >> THERE'S TWO MORE PROGRAMS YET TO COME WITHIN THE NEXT FEW WEEKS, SO I THINK IT'LL BE REALLY GOOD. >> EXCELLENT. ANY QUESTIONS ABOUT THAT, COUNCIL? ANYTHING ELSE, JARED, THEN ON CORONAVIRUS OR ANY OTHER QUESTIONS, COUNCIL? >> NO MA'AM, NOT FROM MY PART. >> NOT SEEING ANYBODY ELSE. [B. Discuss Protective Measures in the Current Local Disaster Declaration and State Executive Orders;] LET'S MOVE ON TO ITEM 1B, THEN DISCUSS PROTECTIVE MEASURES IN THE CURRENT LOCAL DISASTER DECLARATION AND STATE EXECUTIVE ORDERS. WE HAD ORIGINALLY, AFTER OUR EMERGENCY MEETING, WE COULD GO FRIDAY. I TALKED ABOUT HAVING THIS AS AN AGENDA ITEM JUST TO TALK ABOUT WHERE WE MIGHT STAND AS FAR AS OUR NEED FOR EITHER REQUIRING MASKS IN BUSINESSES, WHICH IS SOMETHING THAT THE GOVERNOR HAS GIVEN US THE AUTHORITY TO DO AS A CITY THAT WE HAVE NOT YET DONE. IN THE MEANTIME, THE GOVERNOR CAME OUT WITH HIS OWN STATEWIDE FACE COVERING ORDER. SO I REALLY WOULD LIKE TO HAND THIS TO STAFF. LET STAFF JUST REMIND AND EDUCATE US WHERE WE CURRENTLY STAND WITH THE GOVERNOR'S ORDER WHERE WE ARE WITH FACE COVERINGS, WHERE WE ARE WITH LARGE GROUP GATHERINGS, AND THEN WE'LL PICK ANY QUESTIONS OFF OF THAT AFTER PRESENTATION. SO JARED, I HAND IT BACK TO YOU. >> YES, MA'AM. I WANTED TO, AS PART OF THAT, GO OVER GA28 AND GA29, WHICH ARE THE PRIMARY EFFECTIVE QUARTERS RIGHT NOW, JUST BECAUSE THAT GIVES US A GOOD IDEA OF WHAT OUR REQUIREMENTS ARE, WHAT'S ALLOWED, WHAT'S NOT ALLOWED FOR THE GOVERNOR'S ORDERS. THEN THAT'LL PROVIDE A EITHER A GOOD STARTING PLACE FOR QUESTIONS OR JUST ANSWER EVERYONE'S QUESTIONS. GA28 SUPERSEDED GA26, AND OF COURSE, IT WILL CONTINUE UNTIL MODIFIED, AMENDED, RESCINDED BY THE GOVERNOR. THERE ARE NO OCCUPANCY LIMITS ON ESSENTIAL CRITICAL INFRASTRUCTURE, RELIGIOUS SERVICES, LOCAL GOVERNMENT OPERATIONS, CHILDCARE SERVICES, YOUTH CAMPS, AND ALSO RECREATIONAL SPORTS PROGRAMS FOR YOUTH AND ADULTS. WE HAVE 50 PERCENT OCCUPANCY LIMITS ON OUTDOOR AREA EVENTS OR ESTABLISHMENTS FOR PROFESSIONAL, COLLEGIATE, OR SIMILAR SPORTING EVENTS, AMUSEMENT PARKS, SWIMMING POOLS, WATER PARKS, MUSEUMS AND LIBRARIES, ZOOS, AQUARIUMS, THINGS LIKE THAT, AND THEN ALSO RODEOS AND EQUESTRIAN EVENTS. THIS IS SOMEWHAT AT A HIGH LEVEL. THERE'S MORE DETAIL ON THE ORDER, BUT I'M HITTING MOST OF THE HIGH POINTS. SO IF YOU HAVE SOME QUESTIONS ABOUT SOME OF THIS, PLEASE FEEL FREE TO CHIME IN. EVERY BUSINESS ESTABLISHMENT CAN OPERATE AT NO MORE THAN 50 PERCENT CAPACITY. IN ADDITION, THE FOLLOWING ARE SPECIFICALLY HIGHLIGHTED, RESTAURANTS MOVED FROM 75 PERCENT OCCUPANCY BACK TO 50 PERCENT OCCUPANCY ON JUNE 29TH, MONDAY. OUTDOOR PATIOS ARE NOT SEPARATELY DEFINED IN GA28 AS THEY WERE IN PREVIOUS ORDERS, SO THEY'RE GOING TO CALCULATE INTO THAT INTO THAT 50 PERCENT TOTAL. BARS CLOSED EFFECTIVE JUNE 26TH. THEY CAN CONTINUE TO PROVIDE TAKE-OUT OR DELIVERY OF FOOD AND ALCOHOL BEVERAGES AS AUTHORIZED BY TABC. SO IT'S NOT JUST A BLANKET AUTHORITY THERE, BUT AS IT'S COMPLIANT WITH TABC, THEY CAN DO THOSE DELIVERIES. RAFTING AND TUTORING SERVICES NOT REALLY EFFECTIVE HERE OR AN ISSUE HERE ARE CLOSED EFFECTIVE ON JUNE 26TH. ON GA28, THERE WAS A REQUIREMENT FOR ANY OUTDOOR GATHERING ACCESS FOR 100 PEOPLE, THEY'RE PROHIBITED, EXCEPT WITH THE AUTHORIZATION [00:35:02] OF THE MAYOR OR COUNTY JUDGE IF IT'S IN AN UNINCORPORATED AREA. SO WE'LL GO INTO MORE DETAIL ON THAT IN JUST A MOMENT AS IT RELATES TO GA29 AND THEN AT SUBSEQUENT PROCLAMATION BY THE GOVERNOR AS WELL. GA29 IS A STAND-ALONE EXECUTIVE ORDER RELATING TO THE USE OF FACE COVERINGS, AND THAT CAME OUT EFFECTIVE 12:01 PM ON JULY 3RD. SO THAT REDUCES LOCAL APPROVAL FOR OUTDOOR GATHERINGS TO AN EXCESSIVE 10 PEOPLE INSTEAD OF 100 PEOPLE. IF IT'S GOING TO BE MORE THAN 100 PEOPLE WHO RELIED, IT REQUIRED THE MAYOR'S AUTHORIZATION. NOW, IT'S AN OUTDOOR GATHERING OF MORE THAN 10 PEOPLE, REQUIRES AUTHORIZATION FROM THE MAYOR. WHAT WE'RE DOING THERE, AND THE MAYOR HAS WORKED WITH CITY STAFF TO CREATE SOME CRITERIA THAT ALLOW US TO ADMINISTRATIVELY PROVIDE THAT APPROVAL SO THAT EVERYBODY DOESN'T HAVE TO CALL THE MAYOR. BUT THE KEY TAKEAWAYS HERE ARE THAT YOU HAVE TO BE COMPLIANT WITH THE STATE'S RECOMMENDATIONS FOR HOW TO BEST PREVENT THE SPREAD. YOU ALSO HAVE TO BE WEARING A MASK IN COMPLIANCE WITH THE GOVERNOR'S ORDER, AND ALSO SOCIAL DISTANCE. FINALLY, THE EVENT ORGANIZER NEEDS TO BE ABLE TO PROVIDE ASSURANCES THAT THEY CAN ENSURE THAT THE EVENT WILL MAKE SURE THAT PEOPLE ARE WEARING A MASK AND THAT THE SOCIAL DISTANCING, ETC. SO THAT IS THE MAIN GUIDELINES FOR WHETHER OR NOT AN EVENT OUTSIDE MORE THAN 10 PEOPLE CAN TAKE PLACE IF THEY'RE NOT ADDRESSED IN OTHER PARTS OF THESE ORDERS. WITH REGARD TO THE GOVERNOR'S SPACE COVERING REQUIREMENT IN GA29, EVERY PERSON SHALL WEAR A FACE COVERING OVER THE NOSE AND MOUTH WHEN INSIDE A COMMERCIAL ENTITY OR OTHER BUILDING OR SPACE OPEN TO THE PUBLIC OR WHEN IN AN OUTDOOR SPACE, WHEREVER IT IS NOT FEASIBLE TO MAINTAIN A SIX FEET SOCIAL DISTANCING FROM ANOTHER PERSON, NOT FROM THE SAME HOUSEHOLD. THE FACE COVERING REQUIREMENTS DOES NOT APPLY TO THE FOLLOWING. THERE'S A NUMBER OF CRITERIA HERE WHERE YOU DON'T HAVE TO WEAR THE FACE COVERING. SO ANY PERSON YOUNGER THAN 10 YEARS OF AGE, ANY PERSON WITH A MEDICAL OR DISABILITY THAT PREVENTS WEARING A FACE COVERING, USUALLY THAT'S SOME TYPE OF RESPIRATORY CHALLENGE, ANY PERSON WHILE THE PERSON IS CONSUMING FOOD OR DRINK OR SEATED AT A RESTAURANT TO EAT OR DRINK, ANY PERSON WHILE THE PERSON IS EXERCISING OUTDOORS OR ENGAGING IN PHYSICAL ACTIVITY OUTDOORS AND MAINTAINING A SAFE DISTANCE FROM OTHER PEOPLE NOT IN THE SAME HOUSEHOLD, THE KEY WORD THERE IS AND, SO YOU HAVE TO BE DOING BOTH OF THOSE THINGS, ANY PERSON WHILE THE PERSON IS DRIVING ALONE OR WITH PASSENGERS WHO ARE PART OF THE SAME HOUSEHOLD, ANY PERSON OBTAINING A SERVICE THAT REQUIRES TEMPORARY REMOVAL OF THE FACE COVERING FOR SECURITY PURPOSES, UNDERSTANDING THAT AS SOON AS THAT'S DONE, YOU GOT TO PUT IT BACK UP, ANY PERSON WHILE THE PERSON IS IN A SWIMMING POOL, LAKE, OR SIMILAR BODY OF WATER, ANY PERSON PARTICIPATING IN VOTING, BUT WEARING THE FACE COVERING STILL STRONGLY RECOMMENDED. SO YOU DON'T HAVE TO WEAR IT WHEN VOTING, BUT IT'S STILL RECOMMENDED BY THE GOVERNOR. ANY PERSON PARTICIPATING ACTIVELY PROVIDING YOUR OBTAINING ACCESS TO RELIGIOUS WORSHIP, AGAIN, BUT IT'S STILL FACE COVERINGS ARE HIGHLY RECOMMENDED AND STRONGLY ENCOURAGED IN THOSE SETTINGS. FINALLY, ANY PERSON WHILE THE PERSON IS GIVING A SPEECH FOR A BROADCAST OR TO AN AUDIENCE. NOT ACCEPTED FROM THE FACE COVERING REQUIREMENT IS ANY PERSON ATTENDING A PROTEST OR A DEMONSTRATION INVOLVING MORE THAN 10 PEOPLE AND WHO'S NOT PRACTICING SAFE SOCIAL DISTANCING AND SIX FEET FROM OTHER PEOPLE NOT IN THE SAME HOUSEHOLD. FINALLY, AND THIS IS THE DEVIATION FROM PREVIOUS ORDERS AS WELL, FOLLOWING A VERBAL OR WRITTEN WARNING FOR THE FIRST TIME VIOLATOR OF THE FACE COVERING REQUIREMENT. A PERSON'S SECOND VIOLATION CAN BE PUNISHABLE BY A FINE NOT TO EXCEED $250, AND EACH SUBSEQUENT VIOLATION CAN BE PUNISHABLE BY A FINE NOT TO EXCEED $250. AS FAR AS THAT'S RELATED, WE HAVE PROVIDED A LOT OF INPUT TO PEOPLE ABOUT WEARING THE FACE COVERINGS. WE HAVE NOT HAD TO ISSUE ANY CITATIONS ON THAT HERE AT AMARILLO. I DON'T KNOW HOW FREQUENTLY CITATIONS HAVE BEEN ISSUED IN OTHER JURISDICTIONS, BUT I KNOW NONE ADMINISTERED HERE, AS FAR AS I'M AWARE. SO WITH THAT SAID ON GA28 AND GA29, ARE THERE ANY QUESTIONS THAT I CAN ANSWER OR THAT WE CAN THROW TO ANY OF THE SUBJECT MATTER EXPERTS LIKE CASIE OR OTHERS? >> NO QUESTIONS? >> THE BEST I CAN TELL, AND IT'S VERY SUBJECTIVE, IT APPEARS THAT PEOPLE ARE BEING VERY AWARE AND SENSITIVE TO EVERYONE ELSE AROUND THEM RIGHT NOW. THERE MIGHT BE SOME FATIGUE OVER TIME, BUT I THINK PEOPLE HAVE RESPONDED VERY WELL TO THE GOVERNMENT'S ORDER. >> OKAY. THERE'S NO FURTHER QUESTIONS ON THAT. WE'LL MOVE TO ITEM 1C, WHICH IS DRAINAGE BILLING AND ORDINATES CHANGE. >> MAYOR? >> RIGHT? >> ARE WE GOING TO, AT A DIFFERENT POINT, DISCUSS HOW THAT WOULD LOOK TO JUST DO [00:40:04] A PRE-APPROVED FOR GROUPS OVER 10 THE WAY WE WERE GOING TO DO THAT OVER A 100? DID I HEAR THE CITY MANAGER ADDRESS THAT WE WERE GOING TO BE TALKING ABOUT THAT? IS THAT A DIFFERENT SPOT ON THE AGENDA? >> NO. [OVERLAPPING] IT REQUIRES MAYOR'S APPROVAL. WHAT WE'VE DONE IS INSTEAD OF HAVING EVERYONE CALL THE MAYOR OR REACH OUT TO THE MAYOR ON ALL THOSE DIFFERENT TYPES OF EVENTS, TYPICALLY ON ANYTHING LIKE THAT, THEY'RE GOING TO CALL ENVIRONMENTAL HEALTH FOR THEIR INPUT. SO WE HAVE PROVIDED THEM WITH GUIDANCE ON CRITERIA WHERE IF THEY'RE MEETING THOSE CRITERIA AND THEY CAN RESPONSE AND THEY FEEL CONFIDENT THAT THE ORGANIZER CAN ADDRESS ALL THOSE REQUIREMENTS, WE HAVE, AND STEPHANIE MIGHT EVEN NOTE THAT THIS OUT THERE, WE HAVEN'T CHANGED THE HEADING ON THIS FROM 100-10 YET, BUT IT'S A VERY EASY TO FOLLOW FLOWCHART THAT HELPS US AND ANY CITIZEN THAT WANTS TO ORGANIZE AN EVENT KNOW, IS THEIR EVENT SOMETHING THAT CAN BE APPROVED OR IS IT SOMETHING THAT'S GOING TO BE DENIED? SO IT ASKS IS IT AN AUTHORIZED EVENT? I.E. ONE OF THOSE THINGS THAT CAN HAPPEN IN ACCORDANCE WITH GOVERNOR'S ORDER? IF IT'S NOT, DOES IT FOLLOW THE OPEN TEXAS GUIDELINES? IF IT'S NOT, OBVIOUSLY, IT WON'T BE ALLOWED TO HAPPEN. IF IT DOES FOLLOW THOSE GUIDELINES, IF IT'S MORE THAN 10, IT STILL HAS TO MEET THE ADDITIONAL CITY REQUIREMENTS, BUT REALLY, OUR REQUIREMENTS ARE CONSISTENT WITH FOLLOWING THE OPEN TEXAS GUIDELINES. IF ALL THOSE THINGS CAN SAY YES, THEN IT'S CONSIDERED FOR APPROVAL AND WE HAVEN'T DENIED ANY OF THOSE THINGS YET. >> OKAY. SO ARE WE STATING THAT ANYONE WHO IS DOING AN ACTIVITY HAS TO CALL THE CITY AND GET APPROVAL, EVEN IF THEY'VE ALREADY LOOKED AT THEIR MEETING ALL THE REQUIREMENTS VERSUS THAT WE'RE SAYING WE AUTHORIZE AND APPROVE ANY GATHERINGS FOR INDIVIDUALS OVER 10 AS LONG AS YOU FOLLOW THIS LIST, YOU'RE GOOD? >> WE HAVE NOT TOLD PEOPLE THAT YOU DECIDE IF YOU'RE FOLLOWING THESE THINGS. AS THE ORDER SAYS, EVERYTHING OVER 10 IS [OVERLAPPING] >> WELL, WE SET THE BOUNDARIES. >> RIGHT. >> BUT I'M NOT HEARING ANYTHING THAT SAYS WE HAVE TO SET THAT ONE AT A TIME AT A TIME. >> JARED, IF I MAY CHIME IN A LITTLE BIT ON THE PROCESSES RELATED TO THAT. COUNCILMAN HAYS, I THINK WHAT YOU'RE GETTING AT IS THE INTENT OF THE GOVERNOR VERSUS WHAT THE CITY CURRENTLY REGULATES. I THINK THERE'S A NUANCE THERE RELATED TO WHERE THE CITY'S CONTROL COMES INTO APPROVING OR NOT APPROVING AN EVENT THAT MAY TAKE YOU PLACE IN THE COMMUNITY. THE GOVERNOR IS EFFECTIVELY SAYING, AS A PROTECTIVE MEASURE, NO EVENT WITH 10 OR MORE PEOPLE SHOULD TAKE PLACE. IT'S EFFECTIVELY WHAT THE ORDER IS SAYING. HOWEVER, WHAT WE REGULATE AND WHAT WE PERMIT AS A SPECIAL EVENT IS ONLY THOSE EVENTS THAT BASICALLY IMPACT THE CITIES RIGHT AWAY. A PARADE OR A MARCH IS GOING TO TAKE PLACE ON THE CITY STREET OR IN A CITY PARK, THOSE ARE THINGS THAT WE ISSUE SPECIAL EVENT PERMITS FOR. IT'S THROUGH THAT PROCESS THAT AN APPLICANT WOULD MAKE APPLICATION TO THE CITY, WE WOULD EVALUATE THAT APPLICATION AGAINST THE OPEN TEXAS REQUIREMENTS AND THE REQUIREMENTS AS IT'S BEEN LAID OUT IN GA 29, THEIR COMPLIANCE WITH BOTH GA 28 AND 29, AND THEN WE WOULD MAKE A DECISION OR RECOMMENDATION ON APPROVAL OR NOT APPROVED. SO REALLY, THE ONLY TIME THAT WE WILL BRING IT TO THE BARE FOR CONSIDERATION IS IF IT IS AN EVENT THAT WE ARE NOT RECOMMENDING FOR APPROVAL AND WANTING TO MAKE SURE THAT HER IN HER POSITION IS IN THE LOOP AND CONCURS WITH WITH STAFF OR WOULD LIKE TO GO A DIFFERENT DIRECTION. I THINK WE HAVE FAIRLY CLEAR GUIDANCE FOR THOSE EVENTS MOVING FORWARD, AND THEN IT BECOMES A MATTER OF, AS A CITIZEN, LOOKING AT WHAT THE INTENT OF THE GOVERNOR IS. EFFECTIVELY WHAT THE GOVERNOR, THROUGH THE PUBLIC HEALTH EVALUATION IS SAYING IS THAT, IF YOU HAVE A GATHERING OF MORE THAN 10 PEOPLE, THERE'S RISK INVOLVED WITH IT. SO AT THAT POINT, IT BECOMES A MATTER OF YOU NEED TO ADHERE TO THESE GUIDELINES IN ORDER TO CONDUCT THAT EVENT. BUT WHAT WE LOOK AT IT AS A CITY, WE'RE LOOKING AT IT FROM THE PERSPECTIVE OF WHAT EVENTS DO WE ISSUE A SPECIAL EVENT PERMIT FOR OR WHAT EVENTS ARE JUST TAKING PLACE IN SOMEBODY'S BACKYARD WHERE WE TYPICALLY DON'T HAVE ANY JURISDICTION OR AUTHORITY TO INTERVENE UNLESS THERE'S IMPACT ON OTHERS AROUND THEM. [00:45:02] >> IT'S NOT AS EASY AS JUST SAYING THERE ARE NO EVENTS ALLOWED OVER 10 PEOPLE. I THINK YOU DID A GREAT JOB, KEVIN, EXPLAINING ALL THE DIFFERENT NUANCES. WHAT CITIZENS ARE ASKING IS, CAN I HAVE AN EVENT IF I WANT TO INVITE MORE THAN 10 PEOPLE? THEN WHAT I TRIPPED UP IS TRYING TO ANSWER THEM WITH ALL THE NUANCE THAT KEVIN JUST DID A GREAT JOB OF EXPLAINING. THERE ISN'T A ONE WORD ANSWER YES OR NO TO THE, "CAN I HAVE AN EVENT MORE THAN 10 PEOPLE?" >> BUT I HEAR THE ANSWER IS YES, IF YOU FOLLOW ALL THESE GUIDELINES THAT HAVE BEEN LAID OUT BY THE GOVERNOR'S OFFICE. IT'S LIKE THE GUIDELINES ARE ALREADY LAID OUT AND THAT'S WHAT THEY'RE GOING TO HAVE TO FOLLOW. I DON'T HEAR THE REQUIREMENT THAT WE HAVE TO APPROVE EVERY SINGLE ONE AS OPPOSED TO BEFORE WHEN WE WERE TALKING ABOUT DOING OVER A 100, IT SOUND LIKE WE HAD THE OPTION OF SAYING, IF YOU'RE GOING TO HAVE ONE OVER A 100, WE WERE DEFINING THE RULES. WE DEFINED WHAT THEY HAD TO COMPLY WITH. THE GOVERNOR TOOK THAT BACK AND HE SAID, HE'S DEFINING WHAT THAT COMPLIANCE IS. MY INTERPRETATION IS I THINK WE WOULD HAVE THE OPTION IF WE WANTED TO NOT MICRO MANAGE IT TO SAY, IF YOU'RE HAVING EVEN A PARTY OVER 10, IF YOU FOLLOW ALL THESE RULES, YOU'RE FINE. TO ME, IT JUST SEEMED SO EXCESSIVE. SO YOU'RE HAVING 12 PEOPLE OVER TO YOUR BACKYARD, REALLY, WE WANT THEM TO BE CALLING ON EACH ONE OF THOSE THINGS AND GOING THROUGH THAT LONG LIST? >> NO. [OVERLAPPING] >> AS OPPOSED TO BEING ABLE TO JUST PRINT THAT OUT AND SAY, "HERE ARE THE RESTRICTIONS. THIS IS WHAT AUSTIN HAS REQUIRED AND WE SUPPORT THAT. HERE'S YOUR GUIDELINE, HERE'S YOUR ROAD-MAP." >> THAT IS WHAT WE'RE SAYING. >> YEAH, THAT'S WHAT WE'RE SAYING. ALTHOUGH IT'S NOT A BLANKET SAYING THAT. BECAUSE SOME EVENTS ARE STILL REQUIRED TO HAVE A PERMIT IF THEY'RE GOING TO BE TOUCHING CITY RIGHT AWAY, IF THEY'RE GOING TO BE BLOCKING RIGHT WAY, THINGS LIKE THAT. SO WE CAN'T JUST SAY IF YOU MEET THESE REQUIREMENTS, YOU CAN DO IT. SO THERE'S STILL CERTAIN INSTANCES WHERE THEY'RE GOING TO HAVE TO CALL THE CITY FOR APPROVAL ON THAT EVENT. [OVERLAPPING] BUT FOR THE MOST PART, THEY'RE NOT GOING TO HAVE TO DO THAT. >> SO THOSE WOULD HAVE BEEN REQUIRED BEFORE? >> YES, CORRECT. >> SO CURRENTLY, WHAT YOU'RE DESCRIBING ARE NON-COVID RELATED THINGS. IF THEY NEEDED A STREET PERMIT BEFORE, THEY STILL NEED IT. IF THEY NEEDED A CITY PERMISSION FOR SOMETHING, THAT'S STILL FALLS UNDER IT. IF YOU DON'T NEED THAT AND YOU FOLLOW THE GUIDELINES, THEN YOU'RE OKAY. >> THE NON-COVID RELATED THINGS THAT THEY WOULD STILL BEEN GETTING A PERMANENT BEFORE, NOT ONLY ARE THEY GOING TO HAVE TO MEET THE CRITERIA THAT THEY HAD TO PRIOR TO THAT, THEY'RE ALSO STILL GOING TO BE ABLE TO NEED TO ADDRESS THE OPEN TEXAS GUIDELINES AND WEARING A MASK AND SOCIAL DISTANCING, ETC. SO IT IS A LITTLE BIT MORE COMPLICATED FOR THAT EVENT. WE'VE GOT SOME VERY LARGE EVENTS, THEY'RE HAPPENING ON A VERY LARGE AREA. IT'S VERY DIFFICULT FOR AN ORGANIZER TO BE ABLE TO GUARANTEE THAT THEY CAN ADDRESS THESE THINGS. SO THAT'S ONE OF THE BIG CHALLENGES THERE. BUT FOR THE MOST PART, THERE'S NOT A REQUIREMENT TO CALL US TO GET VERBAL APPROVAL IF YOU'RE GOING TO BE TAKING CARE OF THOSE THINGS IN OPEN TEXAS: WEARING A MASK AND SOCIAL DISTANCING. >> OKAY. THANK YOU FOR THAT CLARIFICATION. BECAUSE WHAT I WAS HEARING WAS, REGARDLESS IF YOU'RE DOING SOMETHING 10 PEOPLE AND OVER, YOU'VE GOT TO CALL THE CITY DEPARTMENT AND GET PERMISSION EVEN THOUGH YOU'RE FOLLOWING THAT RULE. SO THANK YOU FOR THAT CLARIFICATION. >> OKAY. ANYBODY ELSE? MORE FOLLOW-UPS? ON THEN TO ITEM 1C: DRAINAGE BILLING AND ORDINATES CHANGE. MR. CITY MANAGER? [C. Drainage Billing and Ordinance Change;] >> YES, MA'AM. WE HAVE DONNY HOOPER ONTO WALK US THROUGH THE DRAINAGE BILLING AND ORDINATES CHANGES. THIS HAS BEEN SOME TIME COMING AND WE'VE BEEN WORKING THROUGH A ENTIRE NEW SOFTWARE PACKAGE OR MODIFICATIONS TO OUR SOFTWARE PACKAGE TO ENABLE THIS. WHEN WE MADE MODIFICATIONS LAST YEAR TO THIS PROGRAM, IT CAUSED US TO HAVE BOTH A DRAINAGE BILL AND A UTILITY BILL. THEY WERE SEPARATE MAILINGS. IT WAS A CHALLENGE FOR BOTH RESIDENTS AND FOR RESIDENTS THAT HAVE MULTIPLE PROPERTIES WHO RENTED OUT MULTIPLE PROPERTIES TO DIFFERENT RESIDENCE. SO WE'VE BEEN WORKING TO INCORPORATE THAT DRAINAGE FEE INTO THE UTILITY BILL SO THAT THEY CAN BE SET ONCE TO ALL OF OUR RATE PAYERS. [00:50:03] SO DONNY, WALK US THROUGH IT. >> OKAY. THANK YOU SO MUCH AND GOOD AFTERNOON EVERYONE. I'M GOING TO SHARE MY SCREEN, AND HOPEFULLY [OVERLAPPING] >> DONNY, YOU'RE COMING THROUGH PRETTY QUIET. I DON'T KNOW IF YOU'RE AWAY FROM THE MICROPHONE OR IF YOU HAVE A SETTING ISSUE. >> LET ME SCREW IT UP AND SPEAK UP A LITTLE BIT. >> THAT'S BETTER. >> OKAY. ALL RIGHT. LET ME SEE IF I CAN SHARE MY SCREEN REAL QUICK WITH YOU AS WE GET INTO ALL OF THIS. STEPHANIE, YOU MAY HAVE TO DO THIS HERE. I'M SEEING SOME OPTIONS THAT I HAVE NEVER SEEN BEFORE. SO IF YOU WOULDN'T MIND SHARING IT, I WOULD APPRECIATE THAT AND I CAN GET TO THE PRESENTATION. AS A VERY GOOD LEAD INTO THIS AS WELL, TODAY'S PRESENTATION IS REALLY THE FINISH LINE AS WE GET TO PRESENT TO YOU NEXT WEEK FOR CONSIDERATION AND ORDINATES CHANGE HOW FOR THE DRAINAGE UTILITY BILLING PROCESS. I'LL WAIT FOR STEPHANIE TO GET THE SCREENS UP HERE. THERE WE GO. YOU CAN GO AHEAD AND GO TO THE NEXT SLIDE, STEPHANIE. THE PURPOSE OF THE PRESENTATION DAY IS JUST GO BACK AND GIVE YOU A BRIEF HISTORY OF THE DRAINAGE UTILITY FEE, PROVIDE SOME INFORMATION REGARDING THE CHANGES TO THE DRAINAGE UTILITY ORDINANCE ITSELF, AND ALSO PROVIDE A PLAN MOVING FORWARD. ON THE NEXT SLIDE, A LITTLE BIT OF BACKGROUND. YOU REMEMBER ON JUNE THE 9TH, WE GAVE A PRESENTATION TO COUNCIL ABOUT THE DRAINAGE UTILITY ORDINANCE, TALKED ABOUT A LOT OF HISTORY, WHERE IT CAME FROM, WHERE WE'RE AT NOW, AND WHERE WE'RE PLANNING TO GO. SINCE THEN, WE'VE HAD SOME EXCELLENT CUSTOMER ENGAGEMENT. WE ACTUALLY HAD A CONVERSATION WITH THE APARTMENT ASSOCIATION ON JUNE THE 15TH. IT HAD SOME VERY GOOD ATTENDANCE AT THAT MEETING. I WILL TELL YOU THAT THE MEETING DIDN'T LAST VERY LONG, IT WAS PROBABLY ABOUT 15 MINUTES, AND ALL THE FEEDBACK THAT WE RECEIVED FROM EVERYONE THAT ATTENDED THAT MEETING WAS ALL POSITIVE. EVERYONE WAS VERY GLAD TO SEE THESE CHANGES. THEN ON JUNE THE 17TH, WE HAD A REALTORS ASSOCIATION MEETING. COUNCILMAN SMITH WAS IN THAT MEETING. ONCE AGAIN, ALL POSITIVE FEEDBACK FROM EVERYONE THAT ATTENDED THAT MEETING, AND THEY HEARD SOME VERY GOOD QUESTIONS THAT CAME UP DURING THAT MEETING AS WELL THAT WE INCORPORATED INTO A PRESS RELEASE THAT WAS SENT OUT ON JUNE THE 24TH. I'VE HEARD INFORMATION FOR CUSTOMERS ABOUT THE PENDING CHANGES THAT ARE ON THE WAY. THEN OF COURSE, IN SEPTEMBER IS WHEN WE PLAN TO PUT OUT A WATER BILL NOTIFICATIONS. THERE WAS A BIT OF A CHANGE ON THAT. WE THOUGHT WE COULD GET THAT OUT A LITTLE BIT EARLIER, BUT DUE TO SOME OTHER NOTIFICATIONS THAT HAVE TO GO OUT CONCERNING SOME OTHER ISSUES IN OTHER DEPARTMENTS, WE'RE PUTTING THAT IN SEPTEMBER'S BILLS AS FAR AS NOTIFICATIONS. THAT WILL BE IN CONJUNCTION WITH OUR DATA AT THAT TIME. JUST BRIEFLY, I'LL RUN OVER THE CHANGES, AND I KNOW THAT YOU'VE HAD THE ORDINANCE BEFORE YOU TO LOOK AT. SO YOU'VE HOPEFULLY HAD A CHANCE TO LOOK AT THIS. IN A NUTSHELL, WHAT WE'RE DOING IS WE'RE CHANGING ANYTHING THAT HAS THE WORDS ERU IN RELATIONSHIP TO RESIDENTIAL BILLING AND TAKING THAT COMPLETELY OUT. WE'LL LEAVE THE ERU LANGUAGE IN THERE FOR COMMERCIAL PROPERTIES. THE REASON THAT WE LEAVE IT IN THERE FOR COMMERCIAL PROPERTIES IS THAT THERE'S NO REASON FOR A CHANGE IN THE WAY THAT COMMERCIAL PROPERTIES ARE BEING BUILT. BY THE WAY, AN ERU IS AN EQUIVALENT RESIDENTIAL UNIT, THAT'S A TERM THAT'S USED NATIONWIDE IN A LOT OF DIFFERENT BILLING PROGRAMS. BUT AGAIN, AS WE MENTIONED BEFORE, AND WE'VE ALREADY TALKED ABOUT THIS BEFORE, OUR SOFTWARE WAS JUST UNCAPABLE OF BEING ABLE TO TAKE THOSE ERUS ASSOCIATED WITH THE DATA THAT WAS COMING FROM CRED AND TIE THOSE BACK TO AN OCCUPANT OF A PROPERTY, BUT RATHER IT WENT TO THE OWNER OF THE PROPERTY AS LISTED ON CRED. ALL OF THAT IS BEING TAKEN OUT, YOU SEE THAT IN F AND YOU SEE IT IN G AS WELL. THE COMMERCIAL PROPERTIES IS ADDED, RESIDENTIAL AND COMMERCIAL WAS TAKEN OUT. IN THAT SECTION AND DOWN AT THE BOTTOM, MORE OF THE SAME. THEN JUST CHANGE IN SOME OF THE WORDING ABOUT HOW THE PUBLIC WORKS DIRECTOR WILL ASSESS THOSE DRAINAGE CHARGES TO THE OCCUPANTS OF THE RESIDENTIAL PROPERTY. ONE MORE PAGE OF CHANGES, THAT'S THE NEXT SLIDE. STEPHANIE, IF YOU DON'T MIND. THE ONLY OTHER CHANGES THERE JUST TAKEN OUT THE WORD CITY BECAUSE THAT WAS A REALLY ALL CITY-WIDE, AND CHANGING THAT TO JUST COMMERCIAL PROPERTY BEING ATTACHED TO THE ERU VALUES. THEN DOWN IN D, JUST TAKING OUT SOME OF THE WORDING THERE. THEN THE MOST IMPORTANT PART IS SCRATCHING OUT THE ERUS FOR THE 0.68, THE 1, AND THE 1.51, AND MAKING THOSE JUST A FLAT RATE, WHICH NOW WILL JUST BE BASED ON SQUARE FOOTAGE OF THE IMPERVIOUS SURFACE. THE FEES WILL NOT CHANGE AT ALL, THEY'RE EXACTLY THE SAME AS THEY ARE IN THE ORDINATES TODAY, AND NOTHING WILL CHANGE THERE. THEN OF COURSE, THE LAST PART THAT TOTALLY ERU WILL BE ROUNDED TO THE NEAREST 100. WE'RE TAKING THE TOTALLY ERU TIMES IMPERVIOUS SQUARE FOOTAGE FOR COMMERCIAL PROPERTIES AT 2,800 SQUARE FEET. I KNOW IT SOUNDS COMPLICATED, BUT IT'S REALLY PRETTY SIMPLE IN THE FACT THAT WE JUST HAD TO GET THAT ERU OUT OF THERE IN THE PROCESS AND MAKE SURE THAT WE WERE GETTING THE BILLS BACK TO THE OCCUPANT OF THE PROPERTY, AND MISSION ACCOMPLISHED, BECAUSE WE'VE REACHED THAT POINT. AT THIS POINT IN TIME, IF YOU HAVE ANY QUESTIONS, WE'LL BE GLAD TO ANSWER THOSE. I KNOW THERE'RE SOME OTHERS THAT ARE ON THE CALL HERE AS WELL, AND HAVE BEEN VERY INSTRUMENTAL IN THE TASK FORCE TEAM. [00:55:01] RICH IS ON HERE, RAYMOND, LAURA, FLOYD. THEY'VE ALL BEEN A BIG PART OF THAT, AND CAN ANSWER ANY QUESTIONS IF YOU HAVE ANY AT THIS TIME. BY THE WAY, I MIGHT MENTION THAT OUR GO-LIVE DATE IS SCHEDULED FOR SEPTEMBER THE 1ST, BUT WE'RE GOING TO CONTINUE TO MONITOR EVERYTHING IN THE TEST ENVIRONMENT UP AND TO THAT POINT. AT THIS POINT IN TIME, WE'VE SEEN NO ISSUES WITH THE SOFTWARE CHANGE, AND EVERYTHING IS JUST GONE AS SMOOTH AS CAN BE. WE'RE VERY PLEASED WITH WHERE WE'RE AT THIS POINT IN TIME. [NOISE] >> QUESTIONS REGARDING COUNCIL? OKAY. DONNY, THANK YOU, WE APPRECIATE IT. >> OKAY, THANK YOU. >> WE DO KNOW A LOT OF WORK'S GONE INTO THAT AND THIS CULMINATES WITH THE PRESENTATION TO THE COUNCIL THEY'LL BE ON OUR AGENDA. BUT YOU GUYS HAVE SPENT HOURS AND HOURS WORKING ON A TOUGH PROBLEM, AND DOING A LOT OF PUBLIC ENGAGEMENT. I'LL JUST SAY THAT IN SOME WAYS, IT WOULD HAVE BEEN EASIER TO JUST LEAVE IT AND NOT TOUCH IT. BUT THE MORE YOU ALL WORKED WITH IT, THE MORE YOU REALIZE IT WAS BETTER TO DO IT THE OTHER WAY, AND EVEN THOUGH THAT MEANT BASICALLY A YEAR'S WORTH OF WORK TO BACK UP, GO BACK, DO ALL THAT PUBLIC ENGAGEMENT, MAKE THE CHANGES, DO ALL OF THE TESTING, ALL SO THAT WE CAN OFFER A BETTER PRODUCT TO OUR CUSTOMERS. I'M REALLY GRATEFUL FOR THAT. I KNOW IT'S BEEN A LOT OF WORK AND I KNOW THE COUNCIL, I WANT TO SAY ON BEHALF OF THE COUNCIL THAT WE ALL REALLY APPRECIATE THE WORK YOU'VE DONE. >> MAYOR, THANK YOU. THAT'S WELL SAID. IT HAS BEEN A LOT OF WORK AND WITH A LOT OF TEAM MEMBERS INVOLVED IN THIS. THAT'S GOOD FOR US TOO AS A STAFF TO WORK SO CLOSE TOGETHER ON A BIG PROJECT, BUT DISSONANCE COME TO FRUITION, SO THANK YOU. >> THANK YOU ALL. OKAY. ITEM 1D IS AN UPDATE FROM [D. Update Texas Water Development Board Commitment for Advanced Metering Infrastructure (AMI);] THE TEXAS WATER DEVELOPMENT BOARD COMMITMENT FOR ADVANCED METERING INFRASTRUCTURE OF THE AMI PROJECT. JARED? >> HI, MAYOR. THIS IS JUST GOING TO BE A VERY BRIEF UPDATE ON WHERE WE ARE AT ON THIS PROJECT. TO GIVE IT, WE HAVE CITY MANAGER FLOYD HARTMAN. >> [NOISE] MADAM COUNCIL, THANK YOU FOR THE OPPORTUNITY TO PRESENT THIS. THIS IS AN ONGOING PROJECT THAT WE IDENTIFIED OVER THE LAST COUPLE OF YEARS, WHICH IS THE ADVANCED METERING INFRASTRUCTURE PROJECT RECOMMENDED TO BE FUNDED BY THE TEXAS WATER DEVELOPMENT BOARD. WHAT YOU'LL SEE ON YOUR SCREEN IS CUSTOMER SERVICE, OPERATIONAL EFFICIENCIES, THE DIGITAL PLATFORM, AND OPPORTUNITY TO WORK WITH OTHER PARTNERS WITHIN THE CITY ARE MAIN OBJECTIVES OF THIS. STEPHANIE, IF YOU CAN GO TO THE NEXT SLIDE. THEN WHAT YOU SEE THERE IS THAT THIS IS A PROJECT TO REPLACE ALL THE METER INSTALLATION, RESIDENTIAL, COMMERCIAL, AND IRRIGATION IN THE CITY, ALONG WITH THE INSTALLATION OF COMMUNICATIONS INFRASTRUCTURE, HARDWARE AND SOFTWARE IMPROVED. THE MAIN BENEFITS OF THIS WOULD BE IMPROVED INTERACTION WITH OUR CUSTOMERS, INCLUDING NOTIFICATION OF UNUSUAL USAGE. THERE'S MANY OTHER BENEFITS TO THIS, BUT IT'S A COMMUNICATION SYSTEM AS MUCH AS IT IS A METERING SYSTEM. IT WILL ENHANCE WATER CONSERVATION FOR ALL OF US KNOWING WHEN WATER IS USED IN UNUSUAL COLUMNS. ONE OF THE BIGGEST BENEFITS OF THIS IS GOING THROUGH THE TEXAS WATER DEVELOPMENT BOARD, WE CAN LAYER THERE BOND RATING, TRIPLE A BOND RATING ON TOP OF THE CITY'S BOND RATING, AND UTILIZE ALL THE ASPECTS OF A TEXAS WATER DEVELOPMENT BOARD PROGRAMS. THIS ONE SPECIFICALLY QUALIFIES. THE ENTIRE CONSTRUCTION ESTIMATE IS 29.5 MILLION. BUT IT QUALIFIED FOR ONE MILLION DOLLAR GREEN PROJECT RESERVE GRANT UNDER THIS SPECIFIC PROGRAM OF TYPES OF WATER DEVELOPMENT BOARD. NOT ONLY WILL WE SEE BENEFITS OF INTEREST RATES THAT WE EXPERIENCED IN THE PAST ON PROJECTS SUCH AS THE GEORGIA STREET PROJECT, WELL BELOW ONE PERCENT, AND THE MARKET CONDITIONS ARE MUCH MORE FAVORABLE TODAY THAN BACK, SO WE ANTICIPATE VERY LOW INTEREST RATES, WHICH YOU WILL SEE NEXT WEEK IN THE FORM OF AN ORDINANCE TO ISSUE THE DEBT. BUT THE ONE MILLION DOLLAR GREEN GRANT IS SIGNIFICANT COMPONENT. THAT IS A TREMENDOUS THING TO ACCOMPLISH IN THIS LOAN APPLICATION FOR STAFF AND THE PROJECT, BUT IT'LL BENEFIT THE CITY FOR THE LIFE OF THE LOAN. STEPHANIE, IF YOU CAN GO TO THE NEXT SLIDE. WHERE WE'RE AT TODAY IS THE SCHEDULE. YOU CAN SEE ON THIS SCHEDULE THAT WE ARE IN DESIGN. WHAT YOU WILL SEE NEXT WEEK IS AN ORDINANCE AUTHORIZING ISSUANCE OF DEBTS, WHICH THE RATE INCREASES, BUT PAID FULL WERE INCLUDED IN THIS BUDGET, IF YOU RECALL. LAST YEAR WITHIN BUDGET, WE INCLUDED THIS PROJECT WITH A RATE INCREASE. THE NEXT STEP AFTER THAT WOULD BE THE TWDB CLOSING. THIS IS THE LAST STEP BEFORE LOAN CLOSING. ONCE THE TWDB CLOSES THE LOAN ANTICIPATED IN AUGUST, [01:00:03] YOU WILL SEE CONSIDERATION OF CONSTRUCTION CONTRACTS, WE EXPECT THAT TO YOU IN JANUARY, IT WAS A TARGET COMPLETION DATE IN 2022 OF DECEMBER. THAT'S A HIGHLIGHT OF THE PROJECT. AGAIN, THE LOW-INTEREST LOAN, WE ANTICIPATE A VERY LOW LOAN. STEPHEN ADAMS WILL BE PRESENTING THAT WITH THE ORDINANCE NEXT WEEK TO YOU, AND THE GRANT OR THE HIGHLIGHTS OF THIS. WITH THAT, I'LL OPEN THE QUESTIONS. >> SO FLOYD, BASICALLY, FREE MONEY TO DO THIS PROJECT, ALMOST INTEREST-FREE, WE'RE LITERALLY GETTING FREE MONEY OFF A MILLION DOLLARS IN A GRANT FORM THAT WE DO NOT HAVE TO PAY BACK. THEN THE BALANCE THAT WE ARE GOING TO FUND, REAL DEBT, THE INTEREST RATE IS SO LOW, IT'S BASICALLY FREE. >> WE ANTICIPATE A RECORD LOW INTEREST RATE TO BE PRESENTED TO YOU NEXT WEEK. >> I THINK I KNOW THE ANSWER TO THIS QUESTION, BUT IT'S 20 YEAR DEBT, IS THAT RIGHT? >> YEAH. SO THE INFRASTRUCTURE BASICALLY METERS. THIS IS LONGER LIFE FOR METERS. IT'S A SHORTER LIFE FOR THE COMMUNICATIONS COMPONENT. BUT WHEN YOU GO THROUGH THE TEXAS WATER DEVELOPMENT BOARD, THIS 20-YEAR LIFE IS A STANDARD LIFE AT THE MOMENT FOR THIS TYPE OF INFRASTRUCTURE. >> I THOUGHT I HAVE A QUESTION ON, THIS WAS A PART OF LAST YEAR'S BUDGET DISCUSSION, AND SO CAN YOU EXPLAIN WHY IT COMES BACK AROUND FOR A VOTE NOW? I THOUGHT THIS WAS ACTUALLY ALREADY APPROVED THROUGH A RATE INCREASE. >> YES. COUNCIL MEMBER HAYS, THAT'S A GOOD QUESTION. WE APPROVED THE RATE INCREASE FOR THE PROJECT WHICH IS REQUIRED FOR THE PROCESS OF APPLICATION THROUGH THE TEXAS WATER DEVELOPMENT BOARD. IT HAS TO BE APPROVED IN YOUR BUDGET FOR THEM TO CONSIDER THE LOAN. THERE'S MULTIPLE AGENCIES THROUGHOUT THE STATE LOOKING FOR THOSE LOANS. SO ONCE THAT'S APPROVED IN YOUR BUDGET. EXCUSE ME. THAT PROVES A COMMITMENT TO THE TEXAS WATER DEVELOPMENT BOARD, OF YOUR COMMITMENT AND THE CITY'S COMMITMENT TO THE PROJECT. YOU TAKE THAT STEP AT A TIME. THESE ARE STEPS REQUIRED TO GET THOSE LOANS CLOSED. SO NONE OF THIS IS GUARANTEED. BUT WHAT HAPPENED WAS AFTER YOU PUT IT IN YOUR BUDGET, TEXAS WATER DEVELOPMENT BOARD EARLIER THIS YEAR, AND YOU'LL SEE ON THAT SCHEDULE PRIOR TO THIS, THE TEXAS WATER DEVELOPMENT BOARD APPROVED THAT LOAN. THIS IS TAKING THE ORDINATE FROM WHAT THEY APPROVED, ALLOWING IT TO CLOSE. SO IT'S STEP AT A TIME, THE PROJECT. DOES THAT ANSWER YOUR QUESTION? >> YES. THAT'S GOOD CLARIFICATION AND THOSE RATES ACTUALLY WENT INTO EFFECT WITH THIS ANNUAL BUDGET, CORRECT? >> YES. >> SO WE WILL HAVE FUNDS THAT HAVE ALREADY BEEN PAID IN TOWARDS THIS. THIS IS DEBT TIED SPECIFICALLY TO USE OR IT'S NOT PROPERTY TAX. THESE AREN'T GENERAL OBLIGATION CERTIFICATES OF OBLIGATION. THIS IS SPECIFICALLY A SPECIFIC TYPE OF DEBT THAT IS TIED TO USERS AND THROUGH A RATE INCREASE? >> YES. THE WATER AND SEWER RATE INCREASE AND PUT IT IN THE BUDGET IS THE FUNDING TO SERVICE THE DEBT. >> CAN YOU REMIND ME WHAT THAT SCHEDULE WAS? WHAT THAT RATE INCREASE WAS OVER WHAT TIME PERIOD? >> LAURA, ARE YOU ON? YOU WANT TO COVER THAT ONE? >> I THINK [OVERLAPPING]. >> YES. >> GO AHEAD. >> OH, SORRY, JARED, GO AHEAD. >> NOT YOU. >> WE PUT THE RATE INCREASED INTO EFFECT ON OCTOBER 1ST, 2019, AND IT WAS AT THREE PERCENT RATE INCREASE. WHAT WE WERE LOOKING AT IS INITIALLY DOING A FIVE-YEAR CAPITAL IMPROVEMENT PROJECTS, AND THIS LOAN THROUGH THE TEXAS WATER DEVELOPMENT BOARD WAS AVAILABLE, AND SO COUNCIL DETERMINED TO GO AHEAD AND SLIDE THIS PROJECT INTO THE MIDDLE OF THAT ORIGINAL FIVE-YEAR CAPITAL IMPROVEMENT PLAN FOR THE WATER AND SEWER FUND, BECAUSE WE ALWAYS GET VERY FAVORABLE TERMS WITH THE TEXAS WATER DEVELOPMENT BOARD. AS FLOYD MENTIONED, WE ARE LOOKING FORWARD TO BRING IN A VERY LOW INTEREST RATE NEXT WEEK FOR THE ISSUANCE OF DEBT. [01:05:05] SO THIS GOT SLOTTED RIGHT IN THE MIDDLE OF A FIVE-YEAR PLAN FOR WATER AND SEWER. >> SO IS A THREE PERCENT INCREASE OVER FIVE YEARS AND THEN IT LEVELS OUT OR IS THAT WE WERE ALREADY ONE OR TWO YEARS IN A PREVIOUSLY APPROVED RATE INCREASE? I THINK. >> YES. WE WERE ALREADY TWO YEARS INTO THAT FIVE YEAR PLAN, THREE PERCENT RATE INCREASE AND THIS GOT SLID INTO THE MIDDLE OF THAT FIVE-YEAR PLAN, AND SO THIS RATE INCREASE GOES JUST TO SUPPORT THE ISSUANCE OF THE DEBT THAT WE'RE DISCUSSING TODAY. THOSE OTHER RATE INCREASES WERE TO FUND SEPARATE DEBT ISSUANCES THAT WERE PART OF THAT FIVE-YEAR CAPITAL IMPROVEMENT PLAN. >> THANKS. >> ANYBODY ELSE, QUESTIONS? >> I GOT A QUESTION. CAN YOU GET BACK TO THE SCHEDULE SLIDE? IF I UNDERSTAND THE SCHEDULE, THE EARLIEST CONSTRUCTION WOULD START WILL BE NEXT JANUARY, AND THEN WILL BE FINISHED DECEMBER 2022. SO IT'S A TWO-YEAR PERIOD. ONCE THE MECHANICS IS YOU'RE GOING TO GO AROUND TOWN AND DO SECTIONS OF TOWN? >> YES. THAT WOULD BE IDENTIFIED. YOU SEE UP IN THE LAST LINE ON THE GREEN IS SL-SERCO DESIGN INITIATED. >> YES. >> SL-SERCO IS UNDER CONTRACT FOR THE DESIGN. THE THIRD PHASE OF THEIR CONTRACT WILL COVER THE COORDINATION AND THE IMPLEMENTATION OF THE PROJECT. SO WE WILL HAVE SL-SERCO. NOT ONLY ARE THEY GOING TO DESIGN IT, BUT THEY'RE GOING TO HAVE WHAT WE CALL CONSTRUCTION SERVICES TO MANAGE THAT PROJECT. IN THE DESIGN, THEY HAVE BEEN TASKED WITH SCHEDULING IT. HOW WE'RE GOING TO ENGAGE THE PUBLIC, HOW WE'RE GOING TO ENGAGE THE CONTRACTOR, AND THAT WILL ALL COME TOGETHER WHEN WE DO A REQUEST FOR PROPOSAL FOR THAT CONSTRUCTION AND SL-SERCO WILL ASSIST US IN THAT EVALUATION. SO WE WILL HAVE THE OPPORTUNITY WHEN WE BRING THE CONSTRUCTION CONTRACT TO YOU TO LET YOU KNOW WHAT RECOMMENDATION OR WHAT OFFER THE CONTRACTOR GAVE TO US TO HAVE BEST, LEAST IMPACT TO THE COMMUNITY, BUT THE BEST PRODUCT DELIVERED. SO THAT'S ALL GOING TO BE PUT TOGETHER IN THE CONSTRUCTION AND THE BID PROCESS, AND BROUGHT TO YOU UNDER THAT CONTRACT ANTICIPATED TO BE IN JANUARY. DOES THAT ANSWER YOUR QUESTION? >> YES. IF I UNDERSTAND, JANUARY AND FEBRUARY WOULD BE THE FIRST TIME CUSTOMERS WOULD BEGINNING BILLS BASED ON THIS PRODUCT? >> IT'LL BE THE FIRST TIME WE POTENTIALLY HAVE METERS IN PLACE. I WOULD ANTICIPATE A MOBILIZATION PLAN. I WOULD ANTICIPATE THAT THE FIRST MONTH OR TWO WE WOULDN'T HAVE PEOPLE ON NEW METERS. BUT THE SECOND MONTH OR SO WE WOULD START HAVING PEOPLE ON NEW METERS. AT THE SAME TIME, THEY WOULD BE DEVELOPING THE COMMUNICATION PROCESS AND THE SOFTWARE TO MAKE IT ALL WORK. SO IT'LL BE IMPLEMENTED IN PHASES THROUGHOUT THE CITY. >> THANK YOU. >> OTHER QUESTIONS? THANK YOU, FLOYD. >> THANK YOU. [E. Presentation and Discussion on Recommended Changes to the Public and Environmental Health Code to address Wastewater Pretreatment;] >> MOVING ON, THEN TO ITEM 1E A PRESENTATION AND DISCUSSION ON RECOMMENDED CHANGES TO THE PUBLIC IN ENVIRONMENTAL HEALTH COACH TO ADDRESS WASTE WATER THROUGH TREATMENT. >> RIGHT, MAYOR. THIS IS AN ITEM THAT'S IN VARYING DEGREES BEEN IN FRONT OF COUNCIL FOR SOME TIME, BUT WE'RE READY TO BEGIN DISCUSSING RECOMMENDED CHANGES. WE HAVE ANTONY SPANEL, DIRECTOR OF ENVIRONMENTAL HEALTH, TO PRESENT THE ITEM. ANTHONY? >> GOOD AFTERNOON, MAYOR AND COUNCIL. I APPRECIATE HAVING ME ON TODAY. WHAT WE HAVE IN FRONT OF YOU IS, WELL, APOLOGIZE. STEPHANIE, DO YOU WANT ME TO SHARE MY SCREEN OR YOU'RE GOING TO SHARE THAT PRESENTATION? >> I'LL GO AHEAD AND SHARE IT BECAUSE I FELT THAT THE SHARING IS WORKING FOR EVERYONE ELSE TODAY. >> OKAY, THANK YOU. >> YOU'RE WELCOME. >> IN FRONT OF YOU TODAY IS A PROPOSED GREASE TRAP ORDINANCE FOR THE AMARILLO AREA PUBLIC HEALTH DISTRICT. YOU CAN MOVE FORWARD, STEPHANIE. THE PURPOSE AND OBJECTIVES, [01:10:02] WE'RE LOOKING TO ADD SECTIONS 8-5-27, WHICH IS MANAGEMENT OF FATS, OILS, AND GREASES, AND ITS RELATED DEFINITIONS TO CHAPTER 8-5 OF PUBLIC AND ENVIRONMENT HEALTH ORDINANCE. OBJECTIVES ARE MAINLY JUST TO PROVIDE UNIFORMITY THROUGHOUT THE AMARILLO PUBLIC HEALTH DISTRICT IN ITS RELATION TO THE MANAGEMENT OF FOGS OR FATS, OILS, AND GREASES AND TO PROMOTE PUBLIC HEALTH, THE SANITARY SEWER SYSTEM, AND THE OVERALL ENVIRONMENT. THIS WILL APPLY MAINLY ON PRIMARILY TO FOOD ESTABLISH WITHIN THE ENTIRE DISTRICT. FOR CLARITY, THIS IS A PROGRAM THAT WE ALREADY RUN TODAY. WE RAN THIS PROGRAM SINCE 2017, AND THIS WILL MAINLY BE THE ADOPTION OF THE STANDARDS BEHIND THE PROGRAM. GIVE YOU A LITTLE BACKGROUND. IN 2017, THE DIRECTOR OF UTILITIES OFFICE STARTED THIS PROGRAM IN RESPONSE TO THE NUMBER OF SANITARY SEWER OVERFLOWS WITHIN OUR COMMUNITY, AND THAT PERCENTAGE OF THEM BEING RELATED TO GREASE, WHICH WAS ABOUT 65 PERCENT. EARLY 2018, COUNCIL HAD ADOPTED THE PERMANENT FEES ASSOCIATED WITH THAT PROGRAM, AND IN OCTOBER OF 2018, THAT PROGRAM WAS TRANSFERRED TO ENVIRONMENTAL HEALTH. SINCE THEN, OCTOBER OF '18 TO PRESENT, WE'VE GONE THROUGH INITIAL PERMITTING, INSPECTION, AND DOCUMENTATION OF EXISTING FACILITIES WITHIN AMARILLO ONLY, WHICH IS ROUGHLY 1,000-1,200 GREASE TRAPS. WE'RE LOOKING TO EXPAND THIS TO A DISTRICT-WIDE PROGRAM, WHICH WOULD BRING US TO AROUND ABOUT 1,600 GREASE TRAPS. A LITTLE BIT MORE OF A BACKGROUND, WE PRESENTED THIS TO THE CITY OF CANYON IN MAY OF 2020, AND DID RECEIVE A LETTER OF SUPPORT FROM THEM. WE HAVE PRESENTED THIS TO THE PANHANDLE RESTAURANT ASSOCIATION IN MAY OF 2020, AND ALSO RECEIVED A LETTER OF SUPPORT. IN JUNE OF 2020, WE PRESENTED THIS TO THE CONSTRUCTION ADVISORY AND APPEALS COMMITTEE, AND ALSO RECEIVED THE LETTER OF SUPPORT. LASTLY, THE LOCAL GOVERNMENT CODE DOES AUTHORIZE MUNICIPALITIES TO HAVE A FOG PROGRAM, FATS, OILS AND GREASES, AND TCEQ, TEXAS COMMISSION OF ENVIRONMENT QUALITY ENCOURAGED S1, WHICH IS CONSIDERED A BEST PRACTICE. THAT'S A VERY SHORT PRESENTATION, BUT I AM DEFINITELY OPEN FOR ANY QUESTIONS YOU MAY OR MAY NOT HAVE RELATED TO FOGS. >> THANK YOU, ANTHONY. QUESTIONS, COUNCIL? [NOISE] NOTHING? ANYTHING ADDITIONAL, JARED, ON THAT THEN? >> NO, MA'AM. >> OKAY. THANK YOU, ANTHONY. [F. Working Ranch Cowboy Association World Championship Rodeo Update;] >> WE'LL MOVE ON THEN TO [OVERLAPPING] ITEM 1F, WORKING RANCH COWBOYS ASSOCIATION, WORLD CHAMPIONSHIP RODEO UPDATE. >> WELL, AS WE GET CLOSER AND CLOSER TO NOVEMBER, [NOISE] AND AS WE'RE ALSO SIMULTANEOUSLY WORKING THROUGH CORONAVIRUS, THAT WOULD BE A GOOD THING FOR SHERMAN BASS, CIVIC CENTER DIRECTOR TO GIVE YOU JUST AN UPDATE ON WRCA AND WHAT THEY'RE DOING, WHAT THEIR PLANS ARE. SHERMAN? >> GOOD AFTERNOON, MAYOR AND COUNCIL. THANK YOU FOR THIS OPPORTUNITY TO GIVE YOU A VERY QUICK UPDATE ON WRCA. THEIR BOARD VOTED IN MAY AFTER CONSIDERING A LOT OF DIFFERENT OPTIONS TO GO AHEAD AND GO ON SALE, JUNE 1ST, AS THEY HAVE FOR 24 YEARS PRIOR, AND GO ON SALE WITH A 100 PERCENT OF THE CAPACITY AVAILABLE, AND HOPES THAT BY THE TIME WE GET TO NOVEMBER, RESTRICTIONS WILL HAVE BEEN LIFTED AND COVID WILL BE BEHIND US. THEY CERTAINLY DO HAVE BACKUP PLANS. IF WE DO NEED TO RESTRICT THE EVENT, BOTH THE TRADE SHOW AND THE RODEO. THEY WENT OUT VERY EARLY IN THE PROCESS OF MARKETING EVENT. THAT IF WE HAD TO RESTRICT THE CAPACITY OF THE RODEO PERFORMANCES, WE WOULD RECEDE EVERY TRANSACTION IN THE ORDER THEY OCCURRED FROM THE EARLIEST TO THE MOST RECENT. UNTIL CAPACITY WAS REACHED AND THEN WE WOULD BE ABLE TO REFUND THOSE TICKETS THAT WEREN'T ABLE TO BE RECEDED. THEY ALSO HAVE SOME IDEAS IN PLACE TO TRY TO DO A SIMULCAST IF THAT HAPPENS, BUT ULTIMATELY, THEY'RE STILL HOLDING THEIR HOPES THAT COVID IS BEHIND US AND WE HAVE A FULL EVENT IN NOVEMBER. ONE QUICK STATISTIC, TYPICALLY, THEY SELL ANYWHERE FROM 40-42 PERCENT OF THE TOTAL TICKETS ISSUED FOR NOVEMBER EVENT AND THE MONTH OF JUNE. AS OF JULY 1ST, THEY WERE AT 50.6 PERCENT OF WHAT THEY ISSUED LAST YEAR. THAT'S ABOUT 20 PERCENT AHEAD OF LAST YEAR SALES. IT'S AN INDICATOR OF, A, PEOPLE WANT TO BUY EARLY IN CASE THEY DO HAVE TO BE RECEDED, AND B, I THINK [INAUDIBLE] INDICATION OF THE EVENT AND ITS POPULARITY, AND THE DESIRE TO GET BACK OUT AND BE ABLE TO ATTEND EVENTS LIKE THAT. I WILL CLOSE BY SAYING THAT THEIR BOARD AND EACH MEETING THAT I'VE BEEN A PART OF, AND I KNOW THAT SOME OF YOU HAVE BEEN A PART OF THE MEETING WITH THEM, HAVE BEEN VERY CONSCIOUS OF, [01:15:02] NOT ONLY THE FINANCIAL IMPACT THAT THIS EVENT HAS ON THE WRCA FOUNDATION, BUT ALSO THE IMPACT IT HAS ON OUR COMMUNITY. THEY'RE VERY OPTIMISTIC THAT WE'LL BE HAVING A FULL HOUSE IN NOVEMBER. >> ELAINE, I KNOW THAT YOU AND I SAT IN ON ONE OF THOSE MEETINGS. DO YOU HAVE ANYTHING THAT YOU WANT TO ADD TO THE COUNCIL OUT ON THE SHERMAN'S REPORT? >> I WOULD JUST REITERATE JUST THE GREAT PARTNERSHIP THAT THE CITY HAS WITH THE LEADERSHIP AND THE WRCA AND THEIR GRACIOUSNESS IN APPROACHING THIS [INAUDIBLE] TO ENSURE THAT WE WERE COMFORTABLE WITH THEM HOSTING A LARGE EVENT HERE, AND DISCUSSING WHAT THOSE RESTRICTIONS ARE, WHAT THOSE GUIDELINES LOOK COMING OUT OF THE STATE AND THE CITY. THAT WE WERE ABLE TO EXPRESS THAT WE ARE VERY SUPPORTIVE OF THEM MOVING FORWARD WITH A MILESTONE CELEBRATION IN THEIR ORGANIZATION. THAT EVEN TO THE POSSIBLE DETRIMENT TO THEIR OWN FINANCIAL BOTTOM LINE, THAT IF THERE ARE STILL CAPACITY RESTRICTIONS THAT IT COULD FOR THEM ACTUALLY OPERATE IN THE RED, BUT FEELING THAT IT WAS JUST THE VALUE TO THEIR PARTICIPANTS, THE VALUE TO THEIR ORGANIZATION, AND THE VALUE TO THE ECONOMIC IMPACT ON OUR CITY, THAT THEY WERE STILL WILLING TO MOVE FORWARD WITH THAT. AGAIN, JUST GREATLY APPRECIATE THEIR PARTNERSHIP WITH OUR CITY AND WHAT ALL THEIR ORGANIZATION DOES. >> SHERMAN, CAN YOU JUST GIVE US A QUICK UPDATE ON WHERE WE ARE CONVERSATIONS WISE ON RENEGOTIATING THEIR LEASE THAT'S UP IN AUGUST? I MEAN, I DON'T WANT TO GET RID TO ANY NEGOTIATION CONVERSATION, BUT JUST. >> WELL, THE LEASE ACTUALLY COVERS THIS NOVEMBER'S EVENT THROUGH THE 25TH ANNIVERSARY. TYPICALLY, WHEN WE NEGOTIATED NEW LONG-TERM AGREEMENTS WITH THEM, WE'VE ANNOUNCED THAT IN AUGUST OR SEPTEMBER. WE HAVE NOT APPROACHED ANY LONG-TERM LEASE. THEY ARE VERY WILLING TO WAIT TO SEE WHAT THE CITY OF AMARILLO VOTERS CHOOSE TO DO WITH THE POTENTIAL EXPANSION OF NEW ARENA. OF COURSE, HOPE THE ANSWER IS WE'RE GOING TO MAKE A BIG INVESTMENT IN OUR FACILITIES THAT WILL KEEP THEM HERE FOR A LONG-TERM. >> COUNCIL, ANY QUESTIONS FOR SHERMAN THEN ABOUT WRCA? SHERMAN, THANK YOU VERY MUCH. >> THANK YOU, MAYOR. >> WELL, LET'S MOVE ON IN THE ITEM 1G, [G. Discuss Possible November Charter Election;] WHICH IS DISCUSS A POSSIBLE NOVEMBER CHARTER ELECTION. I'M GOING TO HAND THAT TO COUNCILMEMBER SMITH, WHO'S SERVING ON THAT SUBCOMMITTEE. >> THANK YOU. THAT REPORT IS NOT COMPLETE YET. THEY'RE STILL WORKING, THEY'VE MEETING TOMORROW. THEY'VE HAD EITHER THREE OR FOUR MEETINGS SO FAR. FIRST, I WANT TO COMPLEMENT THE COMMITTEE. I DON'T KNOW IF EVERYBODY KNOWS WHO'S ON THAT COMMITTEE, WITH NINE MEMBERS ON THE COMMITTEE. LET ME READ THE NAME: MICHAEL HENNING, BILL BRIAN, LILY [INAUDIBLE] , ROY [INAUDIBLE] , MICHELLE AUGUSTINE, DENISE PRICE, [INAUDIBLE] EDMOND, ANDY [INAUDIBLE] , AND RACHEL DE LOS SANTOS, NINE MEMBERS. WE'VE HAD 100 PERCENT ATTENDANCE AT EACH MEETING. THEY'RE VERY INTERESTED IN IT. THEY ASK A LOT OF QUESTIONS AND THEY DIG INTO IT. I'M JUST VERY THANKFUL MAINLY FOR WHAT THEY'D DONE. HERE'S SOME TOPICS THAT THEY'VE TALKED ABOUT [NOISE] AND THEY HAVEN'T CONCLUDED ANYTHING YET, BUT WE DISCUSSED TO CITY COUNCIL MEETING FREQUENCY, WE DISCUSSED CITY COUNCIL TERMS, TERM LIMITS, COMPENSATION FOR CITY COUNCIL MEMBERS. THEY'RE NOT READY, THEY'RE WAITING TO LOOK, AND TO SAY WHAT THEY WOULD RECOMMEND TO THE COUNCIL TO PUT IT ON THE BALLOT POSSIBLY IN NOVEMBER. I SHOULD HAVE MENTIONED THE OTHER PEOPLE THAT HAVE ATTENDED. THE CITY MANAGER HAS ATTENDED EACH MEETING, [INAUDIBLE] WILLIAMS, MARGARET [INAUDIBLE] HAVE ATTENDED, AND THE MAYOR AND I HAVE ATTENDED. THE MAIN VERY RUGGED MEETINGS. [OVERLAPPING] SO WE'RE BECOMING WITH [01:20:03] SOMETHING TO RECOMMEND IN A WEEK OR TWO WEEKS FROM NOW. ANY QUESTIONS? >> I HAVE A QUESTION FOR, POSSIBLY, KEVIN, WHAT IS THE DEADLINE FOR PUTTING SOMETHING LIKE THIS ON NOVEMBER ELECTION? DO WE HAVE THE SAME AUGUST 11TH, DEADLINE OR WHAT IS THE CALENDAR LOOK LIKE? >> I SUSPECT MANY OF US CAN ANSWER IT. BUT THE STATE IS MANDATED FOR NOVEMBER ELECTION THAT ELECTIONS HAVE TO BE CALLED BY AUGUST 17TH, THE DEADLINE, WHICH AUGUST 11TH IS THE NORMAL MEETING FOR THE CITY COUNCIL PRIOR TO THAT. I WILL SAY AND I THINK BRIAN WOULD CHIME IN ON THIS THAT RELATED TO A CHARTER ELECTION, THAT IS AN ORDINANCE, SO IT DOES REQUIRE TWO MEETINGS. TO CALL THAT TYPE OF ELECTION WHERE THE ELECTION THAT PREVIOUSLY WAS CALLED RELATED TO THE CIVIC CENTER GENERAL OBLIGATION BOND, IT CAN BE DONE VIA RESOLUTION, AND IT CAN BE DONE WITH ONE MEETING. SO THERE IS A LITTLE BIT OF A DIFFERENCE BETWEEN THIS TYPES OF ELECTION VERSUS OTHER TYPES OF ELECTIONS. >> I WOULD CONCUR. >> SO IF IT'S SOMETHING THE CITY COUNCIL WANTS TO MOVE FORWARD ON AFTER THEY RECEIVE A REPORT THAT WOULD BE A VOTE ON THE 11TH AND A VOTE ON THE 4TH, PROBABLY? >> YES, MAYOR. [NOISE] >> ELAINE, ANOTHER QUESTION? >> YES. SO YOU'RE SAYING A VOTE BY THE CITY COUNCIL TO PUT IT ON THE NOVEMBER BALLOT WOULD HAVE TO TAKE PLACE. >> AT THE LATEST, AUGUST 4TH, AND THEN AGAIN ON AUGUST 11TH, UNLESS WE DO A SPECIAL CALLED MEETING PAST THE 11TH BEFORE THE 17TH. >> OKAY. WELL, WE'RE JULY THE 7TH. I THINK IF IT'S STILL GOING TO BE A COUPLE OF WEEKS BEFORE THE COMMITTEE ACTUALLY HAS RECOMMENDATIONS, WE'RE AT AUGUST THE 4TH. BEFORE THEY WOULD COME WITH A RECOMMENDATION, ARE THERE ANY PUBLIC ENGAGEMENT MEETINGS SET UP? IS THAT PART OF THE DELAY FOR THE TWO WEEKS OR [OVERLAPPING] THAT LOOKED LIKE WE'RE GETTING FEEDBACK ON THOSE TOPICS? >> REALLY GOOD QUESTION. I REALLY THINK THEY WILL FINISH THEIR WORK TOMORROW. I THINK IT'S LIKELY THAT THEY WILL BE ON THE AGENDA FOR A PRESENTATION NEXT WEEK, WHICH PUTS US AT JULY 14TH WITH THE OPPORTUNITY TO DO PUBLIC ENGAGEMENT FOR THOSE NEXT TWO WEEKS BEFORE AUGUST 4. I CAN TELL BY YOUR FACIAL EXPRESSION YOU THINK THAT'S RUSHED. THIS IS A DIFFERENT TIMELINE THAN WHAT WE THOUGHT WE WERE GOING TO BE ON BECAUSE OF THE COVID, SO WHEN THEY BRING THEIR RECOMMENDATION, WE THINK NOVEMBER IS RUSHED, THAT'S PART OF THE CONVERSATION THAT WE AS A COUNCIL CAN HAVE, AND THEIR RECOMMENDATION IS IN SOMETHING THAT I ANTICIPATE, WE WILL TAKE, LOOK AT IT. THEY'RE IN A VACUUM MAKING A RECOMMENDATION OF JUST THINKING ABOUT CHARTER THINGS. WHEN IT ARRIVES HERE TO US, WE'RE NOT IN A VACUUM, WE'RE CONSIDERING THINGS THAT WE ALREADY KNOW ARE ON THE NOVEMBER BALLOT. WE'RE CONSIDERING OTHER THINGS THAT MAY OR MAY NOT TAKE AWAY FROM OUR ABILITY TO DO AN EDUCATION, FULL ON MESSAGING, FULL ON PUBLIC ENGAGEMENT. SO THOSE ARE THINGS THAT HAVE TO BE TALKED ABOUT ONCE WE RECEIVE THAT REPORT. I HOPE IT WILL BE NEXT WEEK, BUT I REALLY APPRECIATE HOWARD'S PRESENTATION. WHAT HE'S DOING IS RESPECTING THAT COMMITTEE AND NOT SAYING, "THEY'LL HAVE THEIR REPORT NEXT WEEK." WHEN THEY STILL WANT TO MEET ONE MORE TIME, AND I ANTICIPATE THEY WILL BE FINISHED TOMORROW BUT THAT'S THEIR DECISION, NOT MINE. >> MAYOR, WHEN WE ORIGINALLY CALLED THE ELECTION, WE HAD TO DO IT OVER TWO MEETINGS. NOW THAT THE ELECTION IS CALLED, THERE'S A RESOLUTION AND WE CAN ACTUALLY MODIFY EVERYTHING WE NEED TO MODIFY FOR THE NOVEMBER ELECTION SINCE IT'S ALREADY BEEN CALLED BY JUST ADJUSTING OUR EXISTING RESOLUTION CALLING THE ELECTION, THAT WOULD MODIFY THINGS LIKE POLLING LOCATIONS. IT WOULD ALSO STIPULATE WHAT THE TAX IMPACT OF THE ELECTION WOULD BE, [01:25:06] AND THAT'S CHANGED SINCE MAY. THERE'S A FEW THINGS THAT HAVE CHANGED, THERE IS SOME FLEXIBILITY TO JUST DO IT WITH ONE MEETING. I'M NOT SAYING RUSH THROUGH THE PROCESS, BUT SINCE WE HAVE ALREADY GONE THROUGH THOSE STEPS, THOSE VERY RIGOROUS AND ONEROUS STEPS TO CONSIDER AND CALL THE ELECTION. NOW AT THIS POINT SINCE WE'RE JUST MODIFYING SOME OF THE CRITERIA BECAUSE OF CORONAVIRUS HAS PUSHED THE DATE BACK AND THINGS LIKE THAT. THE ATTORNEY GENERAL HAS GIVEN SOME CLARIFICATION AS RECENTLY AS YESTERDAY ON THIS. WE CAN DO IT THROUGH MODIFYING THE RESOLUTION THAT ALREADY EXISTS FOR THE ELECTION RESOLUTION ONLY TAKING ONE MEETING SO WE CAN DO IT ON AUGUST 11. >> THAT EVEN WITH REGARD TO SOMETHING THAT WE HAD NOT PREVIOUSLY COVERED OR TALKED ABOUT BEING ON THE BALLOT? >> YES, WE CAN MAKE MODIFICATIONS TO THE PROJECT AS A WHOLE. >> THIS IS A BRAND NEW THING, THIS IS NOT CIVIC CENTER RELATED, THIS IS CHARTER RELATED. >> MAYOR, I APOLOGIZE. >> DID YOU JUMP AHEAD? OKAY, THAT'S OKAY. >> I JUMPED AHEAD. I'M SO SORRY. >> OKAY, THAT'S ALL RIGHT. I THOUGHT, "THAT SURPRISES ME." >> I WAS ON BOND OPTION, I DO APOLOGIZE. >> OKAY. THAT'S WHY I WAS SURPRISED. >> I CONFUSED THE MATTER UNNECESSARILY, THAT'S MY MISTAKE. >> SO WE'RE BACK TO, WE WOULD NEED TO DO IT, SO AUGUST 4TH, AUGUST 11TH, AND LOOKING AT HAVING TWO WEEKS OR SO IN THERE FOR SOME PUBLIC ENGAGEMENT MEETINGS BEFORE COUNCIL WOULD MAKE A FINAL VOTE ON IT. ANY OTHER QUESTIONS? >> LET'S SAY WE'LL KNOW MORE TOMORROW IN THAT CHARTER MEETING, THEY MAY FINISH TOMORROW, WHO KNOWS. >> OKAY. SO WE JUST WANTED TO BRING THE [INAUDIBLE] REPORT ABOUT IT AND WATCH FOR IT, I THINK ON NEXT WEEK'S AGENDA AGAIN. ANYTHING ELSE? >> MAYOR, CAN I REQUEST THAT IF THAT REPORT COMES OUT BETWEEN NOW AND NEXT TUESDAY, WOULD WE BE ABLE TO GO AHEAD AND GET SOME INFORMATION AHEAD OF NEXT TUESDAY'S MEETING TO BE BRIEFED BEFORE TUESDAY? IS THERE ANY REASON WE HAVE TO WAIT TILL NEXT TUESDAY? >> IS THERE A REASON THAT WE NEED TO WAIT? >> IF A REPORT WAS SUBMITTED WITH RECOMMENDATIONS THAT WE COULD GO AHEAD AND RECEIVE THOSE BEFORE NEXT TUESDAY? >> YOU MEAN LIKE IN AN E-MAIL? >> RIGHT. >> YEAH. ABSOLUTELY, WE CAN DO THAT. I'M SORRY I DIDN'T KNOW IF YOU WE'RE SAYING [OVERLAPPING] CALLED MEETING >> NO, I KNOW. I'M NOT ASKING FOR A SPECIAL MEETING. >> I WAS JUST ASKING- >> YEAH WE CAN DO THAT. >> -FOR THE REPORT. >> ABSOLUTELY. >> OKAY. ANYBODY ELSE? LET'S MOVE ON TO ITEM 1H, [H. Discuss Civic Center General Obligation Bond Election;] WHICH IS DISCUSS THE CIVIC CENTER GENERAL OBLIGATION BOND ELECTION. JUST IN THAT SAME VEIN OF TALKING ABOUT DEADLINES AND ELECTION CHANGES, I THOUGHT WE NEEDED TO GO AHEAD AND BEGIN TO DISCUSS WHAT OUR THOUGHTS ARE ABOUT CONTINUING WITH A BOND ELECTION ON THE CIVIC CENTER IN NOVEMBER. FOR ANYBODY WHO'S WATCHING AT HOME AND DOESN'T KNOW THE BACKGROUND ON THIS ISSUE, THE COUNCIL APPROVED A BOND ELECTION FOR THE MAY ELECTION FOR A CIVIC CENTER PROPOSAL THAT WOULD INCLUDE A PROPERTY TAX INCREASE TO SUPPORT THE RENOVATIONS AT THE CIVIC CENTER. WHEN COVID HIT, THERE WERE CONCERNS ABOUT VOTERS BEING ABLE TO GET TO THE POLLS SAFELY, WORKERS BEING ABLE TO WORK AT THE POLLS SAFELY, SO WITH THE GOVERNOR'S APPROVAL, WE PUSHED THAT ELECTION INTO NOVEMBER AND THAT WAS PART OF WHAT GERALD WAS TALKING ABOUT. WE HAVE SOME FLEXIBILITY NOW TO DECIDE WHETHER OR NOT WE WANT TO LEAVE THAT ELECTION ON, WHETHER OR NOT WE WANT TO CHANGE THE PROPOSAL OR WHETHER WE WANT TO CANCEL THE ELECTION AND NOT MOVE FORWARD. I WANTED THE FIVE OF US TO HAVE A CHANCE TO TALK ABOUT IT. ELAINE AND I HAVE MET WITH THE EXECUTIVE COMMITTEE THAT WAS PUT TOGETHER AND HAS WORKED ABOUT 18 MONTHS NOW ON MAKING THE PROPOSAL FOR THE CHANGES TO THE CIVIC CENTER. WE'VE MET WITH THAT EXECUTIVE COMMITTEE TWICE NOW [01:30:02] TO TALK ABOUT WHAT MOVING FORWARD LOOKS LIKE, WHETHER WE SHOULD, WHETHER WE SHOULDN'T. ELAINE, WOULD YOU BE WILLING TO GIVE US AN UPDATE THERE ON WHAT WE'VE HEARD FROM THE COMMITTEE, AND WHAT WE THINK OUR NEXT STEPS MIGHT BE? >> THANK YOU, MAYOR. THOSE THREE CHOICES ARE WHAT HAVE BEEN DISCUSSED WITH THE EXECUTIVE COMMITTEE, AND WE HAVE THE OPTION OF LEAVING THE PACKAGE AS IS AND GOING AHEAD WITH NOVEMBER, POSSIBLY CHANGING THE SCOPE OF THE PROJECT AND STAYING IN NOVEMBER OR THE THIRD OPTION WAS MOVING TO MAY. SAME PACKAGE, POSSIBLY A DIFFERENT PACKAGE. HEARING THE CONVERSATION AMONG THE COMMITTEE, THEY HAVE HASHED THROUGH ALL OF THOSE DIFFERENT OPTIONS AND ONE OF THE THINGS THAT REALLY CAME OUT WITH THE LAST MEETING IS THAT THERE WAS A STRONG CONSENSUS TO GO AHEAD WITH AN ELECTION IN NOVEMBER. THE COMPARISON WAS MADE TO 50 YEARS AGO WHEN WE HAD THE PREVIOUS CIVIC CENTER ELECTION, IT WAS A TERRIBLE TIME FOR OUR CITY, AND WITH THE CLOSING OF THE BASE AND SEEMED LIKE A VERY UNLIKELY TIME AND YET WAS AN INTEGRAL PART OF AN INVESTMENT OF A MAJOR ASSET IN OUR COMMUNITY. UNTHINKINGLY, WE FIND OURSELVES IN A SITUATION THAT IS JUST AS UNLIKELY AND A REALLY DIFFICULT SITUATION FOR OUR CITY, BUT THE NEED HAS NOT CHANGED, THAT WE NEED A CIVIC CENTER IN THE COMMUNITY. THE TIMING, THE SCOPE IS STILL OPEN FOR DISCUSSION, WILLING TO LOOK AT REMOVING, POSSIBLY THE PARKING GARAGE, POSSIBLY REMOVING THE SANTA FE, AND ONE OF THE THINGS THAT WE'RE GOING TO PRESENT TODAY AND ASK QUESTIONS FOR IS JUST HOW THAT WOULD CHANGE OUR TAX RATE. IF WE [NOISE] MADE THOSE ALTERATIONS, HOW MUCH DOES IT MOVE THE NEEDLE IN THE INCREASE OF THE TAX RATE, AND WHERE THEY WERE STANDING RIGHT NOW WAS MORE FOR ALLOWING THE VOTERS AN OPPORTUNITY TO GO AND WEIGH IN, THAT YOU'RE WHERE IN JULY, BETWEEN NOW AND NOVEMBER THINGS CAN CHANGE. THE ECONOMY COULD GET STRONGER, THE ECONOMY COULD BE WEAKER, WE COULD STILL BE FLAT. IT WAS ENCOURAGING SEEING THE JOB NUMBERS REPORT COMING OUT NATIONALLY LAST MONTH, BEGINS TO SHOW WE'RE SEEING SOME SIGNS OF A STRONG, POSSIBLY MORE ACCELERATED ECONOMIC RECOVERY THAN MAYBE WAS PROJECTED 4-6 WEEKS AGO. IN THE MIDST OF AN UNKNOWN ENVIRONMENT, I WOULD SAY THAT THE OVERALL TUNE WAS OF THE COMMITMENT TO MOVING FORWARD, PUTTING THAT BEFORE OUR VOTERS AND ALLOWING THEM THEIR VOICE AND THEIR OPPORTUNITY TO WEIGH IN ON IT. >> I THINK THAT'S A GOOD SIGN. WE ALL HAVE CONCERNS ABOUT WHERE BUSINESS OWNERS AND FAMILIES ARE RIGHT NOW FINANCIALLY. I THINK THE STRONGEST YELLOW FLAG THAT WE HAVE AND THIS WILL BE I'M SURE COUNCIL WIDE, IS JUST WOW, IT'S GOING TO BE A CHALLENGE TO ASK PEOPLE TO INVEST OUT OF A TIME WHERE THERE'S A LOT OF UNCERTAINTY. TO THAT, THERE WAS CONVERSATION IN THE COMMITTEE ABOUT THE FACT THAT THIS IS A GRADUAL ROLLOUT. THIS IS A THREE YEAR PROJECT, THE CONSTRUCTION TIMELINE IS 2.5-3 YEARS. I THINK MOST PEOPLE REALLY BELIEVE THAT WE WILL BE RECOVERED IN A 2-3 YEAR TIMEFRAME. SO THERE WAS TALK ON THE COMMITTEE ABOUT HAVING A COMPETITIVE EDGE. IF WE THOUGHT WE COULD TOLERATE THE RISK AS A CITY, THAT TIMING WISE, WE WOULD BE FULLY RECOVERING AROUND THE TIME THE CIVIC CENTER IS OPENING, AND THAT THE TIMING OF THAT COULD BE GOOD. I WANTED TO HEAR FROM ELAINE. SHE SPENT SO MANY HOURS WITH THIS COMMITTEE AND I APPRECIATED THAT SHE WAS WILLING TO DO A COUPLE MORE MEETINGS JUST TO GET THEIR FEEDBACK. JARED, I KNOW THAT STAFF HAS SOME INFORMATION TO SHARE WITH US ABOUT WHERE WE ARE BEFORE WE OPEN IT UP TO HAVE A COUNCIL CONVERSATION ABOUT IT. >> YES, MA'AM. THERE'S A NUMBER OF THINGS, I'M GOING TO TURN KEVIN ON JUST A SECOND FOR HIM TO GO OVER [01:35:03] SOME OF THE REMINDERS AND SOME OF THE MAIN POINTS OF THE PROJECT, BUT ALSO GO OVER SOME THINGS THAT HAVE CHANGED. IN THE MEANTIME, WE'RE GOING TO STICK TO JUST INFORMATION ONLY. THE ELECTION HAS BEEN CALLED, SO WE ARE FOCUSING ON JUST FACT-BASED COMMENTS. THE INTEREST RATES WHERE WE REALLY THOUGHT WE WERE ALMOST AT THE FLOOR IN MAY, AND I THINK IT'S DRIVEN IN LARGE PART BY CORONAVIRUS AND THE DOWNTURN IN ECONOMIC ACTIVITY A LITTLE BIT FROM ON THE CONSTRUCTION SIDE, ESPECIALLY ON THE LARGE CONSTRUCTION PROJECTS SIDE, INTEREST RATES ARE LOWER. SO AS WE GO FORWARD, THE TAX IMPACT OF WHATEVER WE DO IS GOING TO BE QUITE A BIT LOWER THAN WHAT WE HAD INITIALLY ANTICIPATED AT ¢15.1. SO WITH THAT SAID, KEVIN, GO AHEAD AND GIVE US THE DETAILS. >> SURE. SO COUNCIL, I'M HAPPY TO VISIT WITH YOU ABOUT THE CONVERSATIONS OF CIVIC CENTER AGAIN. OBVIOUSLY, THE SCOPE OF THE PROJECT INCLUDED A CONSTRUCTION OF A NEW ARENA, EXPANSION AND RENOVATION OF THE CONVENTION CENTER, RELOCATION OF CITY SERVICES THAT ARE CURRENTLY LOCATED IN CITY HALL, RESTORATION OF THE SANTA FE DEPOT, CONSTRUCTION OF A PARKING GARAGE JUST TO SUPPORT THE ENTIRETY OF THE FACILITY, AND THEN A NEW CENTRAL PLAZA THAT WOULD BE CREATED AS PART OF THOSE RENOVATIONS. THE TOTAL PRICE TAG FOR THE PROJECT WAS ESTIMATED BY OUR CONSULTANTS AT $319 MILLION. OF THAT, THERE WAS BASICALLY THREE FUNDING SOURCES, $275 MILLION IN GENERAL OBLIGATION BONDS THAT WERE GOING TO BE PRESENTED OR PRESENTED TO THE VOTERS AT THE TIME IN MAY FOR CONSIDERATION. OBVIOUSLY, THAT'S BEEN POSTPONED. THE $21 MILLION THAT WOULD BE IN CERTIFICATES OF OBLIGATION ISSUED BY THE CITY COUNCIL, AND THEN AN ADDITIONAL $23 MILLION, IT WOULD BE FROM VALUE ENGINEERING AND FUNDING FROM ENTERPRISE FUNDS FOR UTILITY RELOCATIONS AND SERVICES. SO AS JARED ALLUDED, IN PREPARING FOR THE MAY 2020 ELECTION, OUR FINANCIAL ADVISORS HAD INDICATED THAT A ¢15.1 TAX INCREASE WOULD BE REQUIRED TO SUPPORT THE DEBT ISSUANCE, IT WOULD BE VOTER APPROVED AND CITY COUNCIL APPROVED. SO THE ENTIRETY OF THAT DEBT ISSUANCE, WHICH WOULD HAVE BEEN $295 MILLION TO SUPPORT THE PROJECT. AS WE HAVE WORKED WITH BOND COUNSEL AND CERTAINLY INTEREST RATES HAVE LOWERED EVEN FURTHER AND WERE EVEN IN A MORE ADVANTAGEOUS POSITION. RELATED TO THAT, WE LEARNED THAT INTEREST RATES IF WE WERE TO ISSUE THEM EFFECTIVELY IN ONE PHASE, WOULD PLACE US AS NEEDING A ¢13.25 TAX INCREASE IN ORDER TO SUPPORT THE PROJECT. IF WE DID IT OVER MULTIPLE PHASES, OVER A THREE YEAR PERIOD, THAT WOULD PROBABLY CLOSER TO ¢13.5 PROPERTY TAX INCREASE. SO WE'RE SEEING ANYWHERE FROM A PENNY AND A HALF TO ALMOST TWO PENNIES OF REDUCTION FROM OUR ESTIMATE BACK IN THE EARLY MARCH-LATE FEBRUARY TIMEFRAME TO SUPPORT THE PROJECT. AS JARED ALLUDED, THE ATTORNEY GENERAL HAS PROVIDED MUNICIPALITIES THE ABILITY TO EITHER AMEND OR CANCEL AND CALL A NEW ELECTION. WITH THAT, WE ARE ABLE TO BASICALLY CHANGE AND ADJUST THE SCOPE OF THE PROJECT HOWEVER WE SEE FIT. SO WHETHER WE DO IT VIA AN AMENDMENT, SO AN AMENDED RESOLUTION TO THE RESOLUTION THAT CALLED THE ORIGINAL ELECTION OR THROUGH A CANCELING OF THE ELECTION AND CALLING OF A NEW ELECTION, WE HAVE A LOT OF FLEXIBILITY TO UPDATE ALL THE INFORMATION INCLUDING THE SCOPE AND DEBT ISSUANCE RELATED TO THE PROJECT. INCLUDED IN THAT WOULD ALSO BE THE ABILITY FOR US TO UPDATE THE VOTER INFORMATION WITH NEW INTEREST RATES IN THE LIGHT IT WILL CERTAINLY DRIVE THAT FINANCIAL IMPACT RELATED TO SUPPORTING THE DEBT ISSUANCE FROM AN ELECTION. SO THOSE ARE THE THINGS THAT ARE ON THE TABLE FOR CONSIDERATION. WE DO HAVE AN ELECTION CALLED, BUT CERTAINLY, THE DATES HAVE ALL CHANGED FROM THE ORIGINAL RESOLUTION THAT CALLED AN ELECTION. IT'S FROM THAT PERSPECTIVE THAT WE WILL NEED TO ADD A MINIMUM, DO AN AMENDED RESOLUTION EVEN IF IT'S THE SAME SCOPE IN THE LIGHT. THEY WILL UPDATE ALL THE INFORMATION RELATED TO DATES, DEBT ISSUANCE, THE FINANCIAL PIECES OF IT, [01:40:01] THE VOTER INFORMATION GUIDE, OR CANCEL AND CALL FOR A NEW ELECTION AS ALTERNATIVES THAT THE COUNCIL SEES FIT TO EXERCISE. >> SO DO WE HAVE ESTIMATES? YOU HAVE GIVEN US SOME REDUCED PROJECTIONS ON THE PROPERTY TAX INCREASE BASED ON CHANGE IN INTEREST RATE. DO WE HAVE PROJECTIONS ON CHANGING THE SCOPE, NOT JUST THE INTEREST RATE, BUT REMOVING THE PARKING GARAGE AND/OR THE SANTA FE. WE TALKED ABOUT ESTIMATES, REMOVING EACH OF THEM, AND REMOVING BOTH OF THEM. >> SO IN EFFECT, REMOVING BOTH PIECES WOULD REDUCE THE TAX RATE BY EFFECTIVELY ANOTHER PENNY DEPENDING ON WHETHER WE PHASED IT OR DID IT ALL IN ONE BITE. THE ISSUANCE OF THE TAX DEBT, THE ALTERNATIVES WOULD BE LESS. SO THE PARKING GARAGE WOULD ACCOUNT FOR ABOUT ¢0.6 AND THE SANTA FE BUILDING IS ABOUT ¢0.4 ON THE TAX RATES. SO THAT GIVES YOU A LITTLE BIT OF A FLAVOR OF HOW MUCH EACH OF THOSE COMPONENTS OF THE PROJECT AS WE HAVE SCOPED IT WOULD IMPACT THE OVERALL TAX RATE. >> THE COS THAT WERE ORIGINALLY AT $21 MILLION, ARE WE GOING TO NEED TO BE REDUCING THAT AMOUNT? >> THAT'S ALREADY BEEN INCORPORATED INTO THAT TAX LEVY BECAUSE THE PURCHASING OF THE ONE PROPERTY WAS ALREADY INCORPORATED INTO THAT. >> BUT WE FINANCED IT A DIFFERENT WAY. SO WOULDN'T IT REDUCE THIS NUMBER? >> IT WAS STILL CERTIFICATES OF OBLIGATION THAT HAD BEEN ISSUED. SO THOSE HAVE ALREADY BEEN INCORPORATED IN AND BASICALLY THAT DEBT HAS ALREADY BEEN ISSUED TO FUND THAT PARTICULAR PIECE, WHICH WAS THE SMALLER PIECE FOR THE ONE PROPERTY. >> SO AT A MINIMUM, WE HAVE AT LEAST THAT CHANGE TO MAKE IN OUR CURRENT PROPOSAL. THAT 21 NUMBER SHOULD BE REDUCED BY WHAT? >> WHAT IS GOING TO BE PRESENTED TO THE VOTERS. THE ACTUAL PROPOSITION ONLY COVERS THE GENERAL OBLIGATION PIECE, SO THE $275 MILLION GENERAL OBLIGATION PIECE. SO THAT IS THE PIECE THAT THE VOTERS WILL SEE, AND WHAT YOUR RESOLUTION CALLING FOR THE ELECTION HAS CALLED FOR IS THE ISSUANCE OF $275 MILLION TO SUPPORT THAT PIECE. THOSE OTHER PIECES, THE OTHER 21 MILLION, THAT WAS CERTIFICATES OF OBLIGATION THAT REQUIRED CITY COUNCIL ACTION TO ISSUE THOSE DEBTS. BUT AS WE FORMULATED THE PROJECT OVER THE COURSE OF THE YEAR, YEAR AND A HALF THAT WE WORKED WITH THE EXECUTIVE COMMITTEE, WE ALWAYS INCLUDED BOTH OF THOSE PIECES AS WHAT WOULD BE REQUIRED AS FAR AS TAX RATES TO SUPPORT THE TOTAL DEBT ISSUANCE TO CONSTRUCT THE PROJECT. >> SO WE MIGHT NEED TO RECALCULATE THAT SINCE WE HAVE AN EXACT LOCKED IN, WE KNOW EXACTLY WHAT THAT WAS INCREASED, SUBTRACT THAT OUT TO KNOW. LIKE YOU SAY, FOR FULL TRANSPARENCY, WE ALWAYS INCLUDED THAT IN EVEN THOUGH IT WOULDN'T BE VOTED ON IN NOVEMBER. WHEN WE HAVE THIS CONVERSATION, WE DEFINITELY NEED TO PLUG IN NUMBERS OF THE ACTUAL ACCURACY THAT WE LOCKED IN. [OVERLAPPING] >> ABSOLUTELY. WHEN WE DO AN AMENDMENT TO EITHER MOVE THE ELECTION FORWARD OR IF A NEW ELECTION IS CALLED, WE WILL WORK WITH OUR BOND COUNSEL TO UPDATE THE VOTER INFORMATION SHEET WITH ALL THE NEW TAX RATES AND TAX IMPLICATIONS, SPECIFICALLY RELATED TO THE $275 MILLION GENERAL OBLIGATION PIECE. AS PART OF THE OVERALL COMMUNICATION, WE'LL INCLUDE THE OTHER PIECE TO MAKE IT VERY CLEAR TO A PERSPECTIVE VOTER THE TOTAL TAX IMPACT OF THE PROJECT. >> COUNCIL, YOU DON'T HAVE QUESTIONS SPECIFICALLY FOR KEVIN? IF NOT, WE CAN JUST OPEN IT UP AND JUST HAVE SOME DIALOGUE AMONG THE FIVE OF US ABOUT WHERE WE THINK WE ARE ON MOVING FORWARD WITH LEAVING THIS ON THE BALLOT FOR NOVEMBER. PROS, CONS, CONCERNS, ALL OF THAT. >> I'M GLAD TO HEAR THE COMMITTEE CONSIDERED THIS AND I WANT TO MOVE FORWARD WITH IT. IT'S OVER. IT COULD BE RISKY, IN LINE WITH THE ECONOMY, AND HOPEFULLY, THINGS WILL IMPROVE BETWEEN NOW AND NOVEMBER. BUT I THINK WE OUGHT TO MOVE FORWARD WITH IT THERE. [01:45:04] IF I UNDERSTAND, WE HAVE THE ELECTION IN NOVEMBER, IF IT PASSES, WE'RE GOING TO SPEND SIX OR EIGHT MONTHS DECIDING EVERYTHING. SO THE FIRST INCREASE WOULDN'T BE THE TAX RIGHT TO GET NEXT DECEMBER, IT WOULD BE A YEAR FROM DECEMBER. IS THAT CORRECT? ANYBODY CAN ANSWER THAT. [LAUGHTER] >> YEAH. JARED, IS THAT A FAIR STATEMENT OF HOW HOWARD SUMMARIZED THAT FOR KEVIN? >> THAT MAY BE BEST ANSWERED BY LAURA STORRS ON WHEN THE TAX WOULD ACTUALLY IMPACT THE TAX RATE. SOME OF THAT WAS CERTAINLY APPLY TO WHETHER WE ISSUE ALL OF IT UPFRONT OR IF WE ISSUE IT OVER A PERIOD OF THREE YEARS. >> LAURA, CAN YOU TALK TO US A LITTLE BIT ABOUT WHAT CRITERIA GO INTO DECIDING WHETHER WE DO IT ALL UPFRONT, LIKE WE WOULD DO THAT, I GUESS, TO LOCK IN A LOW-INTEREST RATE? >> THAT'S EXACTLY THE REASONING FOR MOVING QUICKLY ON ISSUING THE DEBT, OR AT LEAST GETTING THE TAX RATE PUT ON. >> WE HAVE TO FEEL CERTAIN THAT WE CAN SPEND 95 PERCENT OF THE BOND PROCEEDS WITHIN THREE YEARS OF ACTUALLY RECEIVING THOSE BOND PROCEEDS. IF WE FEEL CERTAIN OF THAT, THEN THERE WOULD BE NO REASON NOT TO GO AHEAD AND MOVE FORWARD WITH THE FULL DEBT ISSUANCE UPFRONT BECAUSE INTEREST RATES ARE VERY FAVORABLE RIGHT NOW AND NOT SURE WHAT WILL HAPPEN OVER THE NEXT THREE YEARS. OTHERWISE, THE RECOMMENDATION WOULD BE TO ISSUE ABOUT MAYBE 75 PERCENT OF THE DEBT UPFRONT AND THEN LOOK AT ISSUING THE REMAINING DEBT WITHIN THE NEXT 1-2 YEARS. WHAT HAPPENS IS THE YEAR THAT THE DEBT ISSUANCE TAKES PLACE, THE TAX RATE IS NOT IMPACTED IN THAT YEAR, IT'S ACTUALLY IN THE FOLLOWING YEAR. LET'S SAY, WE ISSUED ALL OF THE DEBT AT THE VERY BEGINNING OR LET'S SAY, IT'S IN THE MIDDLE OF NEXT FISCAL YEAR, IT WOULD NOT BE REFLECTED ON THE TAX RATE UNTIL THE FOLLOWING FISCAL YEAR. DOES THAT ANSWER YOUR QUESTION? >> IF WE ISSUE THE DEBT IN MAY OF 2021, THE TAXPAYER WOULD NOT SEE THAT ON THEIR BILL UNTIL DECEMBER OF 2022? >> IF WE ISSUED IN MAY OF 2021, IT WOULD IMPACT BECAUSE THAT WOULD BE BEFORE WE WERE SETTING THE TAX RATE FOR THE UPCOMING YEAR, AND WE WOULD BE PLANNING FOR THE UPCOMING DEBT SERVICE PAYMENTS IN THE NEXT FISCAL YEAR. SO IT WOULD GO ON TO THAT, WHICH WOULD BE THE 2021 TAX RATE. BUT THOSE BILLS ARE NOT DUE UNTIL THE END OF FEBRUARY 2022. DOES THAT MAKE SENSE? >> AT ONE TIME, WE HAD TALKED ABOUT A GRADUAL ISSUANCE BEFORE WE SAW THIS SHIFT IN INTEREST RATES. NOW, IT SOUNDS LIKE YOU GUYS ARE RECOMMENDING, "HEY, CAPTURING THE INTEREST RATE IS WHAT SAVES US ONE AND A HALF PENNIES." >> THE ONLY REASON WE WOULDN'T RECOMMEND ISSUING THE ENTIRE AMOUNT IS BECAUSE IT IS GOING TO CONCEIVABLY GO A LITTLE BIT LONGER THAN THREE YEARS, AND THAT'S WHY SHE WAS SAYING ISSUING ABOUT 75 PERCENT UPFRONT. IT COULD MOVE A LITTLE BIT DEPENDING ON WHAT WE THINK WE CAN ACCOMPLISH IN THAT THREE-YEAR PERIOD. [NOISE] >> LAURA, MAYBE YOU CAN ANSWER THIS QUESTION FOR ME. THIS INTEREST RATE, IS IT TIED IN ANY FORM OR FASHION TO HOW THE FED MOVES? >> YES, EVERYTHING HAS AN EFFECT ON IT. BUT WHAT WE ARE CONTINUING TO SEE IS BECAUSE OF OUR AAA DEBT RATING, WE ARE SEEING THE LOWEST POSSIBLE INTEREST RATES OUT THERE, AND EVERYONE WANTS TO PURCHASE OUR DEBT. IT'S VERY FAVORABLE DEBT ISSUANCE, IT'S VERY SECURE. WITH ECONOMIC UNCERTAINTY TO A CERTAIN EXTENT, COMPANIES AND BUSINESSES LIKE TO PUT THEIR MONEY IN VERY SECURE PLACES, AND AAA BOND RATINGS IS ONE OF THE MOST SECURE PLACES TO PUT IT. SO THAT IS WHY WE ARE GETTING THOSE EXTREME LOW-INTEREST RATES. AS THAT INTEREST RATE, WHETHER IT'S FROM THE FEDS INCREASING IT TO A CERTAIN EXTENT, THAT WILL START CREEPING THAT INTEREST RATE UP TO AN EXTENT. HOWEVER, WITH THE AAA BOND RATING, WE SHOULD GET WHATEVER THE LOWEST POSSIBLE RATE IS OUT ON THE MARKET AT THE TIME. [01:50:07] >> WELL, THE ONLY REASON I'M ASKING THAT IS BECAUSE THE FED HAS PROMISED THEY'RE NOT GOING TO RAISE THE RATE THROUGH FOR SOME TIME NOW, THEY'RE HOLDING IT PRETTY HARD. IF THAT'S GOING TO BE THE CASE AND WE CAN HAVE SOME PLANNING THAT'S BASED ON THE FED RATE, I WOULD ALMOST BE WILLING TO TAKE THE CHANCE OF STEPPING INTO THAT TAX RATE SO THAT THE [NOISE] TAXPAYERS ARE NOT HAVING TO SHOULDER THE ENTIRE WEIGHT OF IT, BUT THEY CAN STEP INTO WHETHER IT'S ONE, TWO, OR THREE YEARS, HOWEVER THAT IS. I THINK WE OUGHT TO CONSIDER THAT AT LEAST, ANYWAY. IT'S MAKING IT A SITUATION THAT'S A LITTLE BIT MORE PALATABLE FOR PEOPLE TO SAY, "OKAY, I CAN STEP INTO THIS INSTEAD OF JUMP INTO IT." BUT I UNDERSTAND IF WE NEED TO DO IT EITHER WAY. THAT WOULD JUST BE MY PREFERENCE, WOULD BE TO CONSIDER A STEP IN TYPE OF A SITUATION. >> LET ME ASK YOU A QUESTION. IF I WAS TAKING THAT EXACT POSITION, AND I'VE WAIVERED WHETHER IT'S AN EVEN NUMBER DAY OR ODD NUMBER DAY. BUT WHEN WILL THAT DECISION NEED TO BE MADE? IF WE HAVE THE ELECTION IN NOVEMBER, WOULD THAT BE IN THE NEXT MAY? >> WE WILL PRESENT YOU OPTIONS. YOU DON'T HAVE TO MAKE THAT DECISION UNTIL WE ACTUALLY ISSUE DEBT. IF WE COME TO YOU WITH A RECOMMENDATION TO ISSUE, WHETHER IT'S 75 PERCENT OR 25 PERCENT, WE CAN GO AS LOW AS WHAT WE EXPECT TO SPEND IN THE NEXT YEAR, OR WE CAN GO UP. SO IT WILL STILL BE A SUBSTANTIAL ISSUANCE, NO MATTER WHAT, OR ANYWHERE IN BETWEEN. WE CAN GO UP TO AS LOW AS WHAT WE EXPECT TO SPEND OVER THE NEXT 12 MONTHS BEFORE THE NEXT ISSUANCE, OR WE CAN ISSUE AS UP TO THREE YEARS, WHAT WE THINK WE CAN SPEND IN THREE YEARS. WE'LL DO ALL THAT ANALYSIS, SORRY I'VE POINTED AT THE SCREEN, EXACTLY WHAT DR. SAUER WAS SAYING, WHAT YOU WERE SAYING, COUNCIL MEMBER SMITH, AND WE'LL BRING YOU THAT INFORMATION AND LET YOU ALL GIVE US GUIDANCE ON WHICH DIRECTION YOU'D LIKE IT TO GO, AND WE'LL ALSO ANSWER ANY QUESTIONS YOU'VE GOT AT THAT TIME. WE'LL HAVE BOTH COUNCIL WITH US WHEN WE DO THAT ISSUANCE SO THEY CAN ANSWER YOUR QUESTIONS AS WELL. YOU'RE NOT BOUND AT THE TIME OF AN ELECTION IN ONE WAY OR THE OTHER. >> OKAY. >> WHAT YOU'RE SAYING BASICALLY IS NOT UNTIL WE NEED THE MONEY AND WE HAVE TO MAKE THAT DECISION. >> YES, MA'AM. >> WHEN WOULD WE NEED THE MONEY? I MEAN, WE DON'T HAVE THE MONEY TO START THE DESIGN PROCESS WITHOUT SOME SORT OF ISSUANCE, IS THAT RIGHT? >> YES, CORRECT. WE WOULD NEED TO ISSUE SOME RIGHT OFF THE BAT, AND THAT WOULD BE FOR DESIGN AND FIRST YEAR'S EXPENDITURES AT THE VERY LEAST. CALCULATING WHAT THAT'S GOING TO BE IS SOMETHING THAT THE DESIGN PROCESS IS GOING TO HELP US WITH. WE'LL HAVE TO GIVE YOU MORE INFORMATION THAT WE DON'T HAVE RIGHT NOW ON EXACTLY WHAT THE LOWEST AMOUNT WE WOULD RECOMMEND ISSUING IN THE FIRST ISSUANCE IS. >> I THINK ALL OF US WOULD LIKE TO SEE IT COME IN STAGES RATHER THAN ALL IN ONE BITE, ALTHOUGH UNDERSTANDING FINANCIALLY, IF IT SAVES MONEY IN THE LONG RUN BY LOCKING IN THAT INTEREST RATE. [OVERLAPPING] >> BASED ON WHAT DR. SAUER'S SAYING, THE RISK OF DOING IT IN STAGES MIGHT BE MITIGATED SIGNIFICANTLY. BUT WE ARE SOMEWHAT BETTING ON THE COM THAT THEY WILL INDEED KEEP INTEREST RATES LOW BEFORE WE DO OUR NEXT DEBT ISSUANCE. >> JUST FOR CLARIFICATION, WE HAD PROGRAMMED THE PROJECT, AT LEAST IN OUR INITIAL ANALYSIS, OF BEING 25 PERCENT IN YEAR ONE, 50 PERCENT IN YEAR TWO, AND 25 PERCENT IN YEAR THREE. NOW THOSE WERE GENERALIZATIONS, BUT GIVEN THE CONSTRUCTION SCHEDULE AND THE LIKE, WE FELT THAT WOULD MEET ALL OF THE OBJECTIVES THAT OUR TEAM WAS LOOKING AT RELATED TO THE PROJECT. >> IF WE THOUGHT THAT OUR INTEREST RATE WAS GOING TO GO UP, WE COULD MEET AND WE COULD SAY WE WANT TO TALK ABOUT ISSUING MORE OF THAT DEBT EARLIER THE SAME WAY THAT ENDED UP HAPPENING LIKE WITH GOING AHEAD AND FUNDING BOTH OF THE FIREHOUSES EARLY, CORRECT? >> YES, THAT IS CORRECT. WE COULD HAVE SOME FLEXIBILITY IN MAKING THOSE DECISIONS. AGAIN, THE WAY THE MARKET CONDITIONS HAVE BEEN, [01:55:03] THINGS MAY LOOK A LOT DIFFERENT. WE MAY HAVE A BETTER IDEA IN ANOTHER 6 TO 8 TO 10 MONTHS. SO WE CAN CERTAINLY BRING FORWARD A FEW OPTIONS AND WHAT IT MIGHT LOOK LIKE IF WE DECIDED TO STEP INTO THOSE ISSUANCES, HOW MUCH WE WOULD NEED TO ASSUME THOSE INTEREST RATES WOULD GROW. THAT'S A VERY NORMAL ASSUMPTION THAT THE LONGER YOU WAIT, ESPECIALLY IN A PERIOD THAT WE'RE IN RIGHT NOW, THAT THOSE INTEREST RATES WILL GROW SOME. IT MAY NOT GROW A LOT, BUT IT MOST LIKELY WILL GROW SOME. BUT, AGAIN, IN ABOUT 6-10 MONTHS, WE WOULD HAVE A MUCH BETTER IDEA, HOPEFULLY, OF WHAT TO EXPECT OVER THE NEXT COUPLE OF YEARS. >> SO MAYOR, CAN WE CIRCLE BACK AROUND TO THE CONVERSATION AS OPPOSED TO ON THE FINANCING OF THE THOUGHTS ON NOVEMBER VERSUS MAY ELECTION; CHANGE OF SCOPE, LEAVE THE SCOPE. >> LET'S TALK ABOUT THE TIMING. THOUGHTS ON LEAVING IT ON THE NOVEMBER BALLOT. I THINK WE'VE HEARD FROM HOWARD AND ELAINE. SO FREDA, EDDIE? >> MAYOR, I'M IN FAVOR OF LEAVING THE CIVIC CENTER BOND ELECTION ON THE BALLOT FOR NOVEMBER OF THIS YEAR. ALSO WITH US HAVING AN AMENDED RESOLUTION TO WHATEVER UPDATES WOULD BE AVAILABLE AT THAT PARTICULAR TIME, AND LEAVING THE SCOPE AS THE SAME. I DO REALIZE THAT RIGHT NOW HERE WE ARE IN THE MONTH OF JULY, BUT THINGS CAN CERTAINLY CHANGE BETWEEN NOW AND NOVEMBER, BUT I'M STILL IN FAVOR OF THE PROJECT MOVING FORWARD. THAT WOULD BE MY PREFERENCE. >> THANK YOU. >> I'M IN FAVOR OF MOVING FORWARD IN NOVEMBER. I'M PROBABLY A LITTLE BIT MORE OPEN TO CONSIDERING NOT DOING THE PARKING GARAGE, OR DOING THE SANTA FE DEPOT AS PART OF IT AS ANOTHER WAY TO LOWER THAT INITIAL RIGHT. I'M NOT OPPOSED TO GOING AHEAD FOR DOING THE ENTIRE THING, BUT NOW THAT IT'S COMING TO A HEAD I'D REALLY LIKE TO THINK SOME MORE OR TALK SOME MORE ABOUT, DO WE INCLUDE THE PARKING GARAGE IN SANTA FE DEPOT? >> EDDIE, I WOULD SAY THAT WAS THE KEY TALKING POINT WITH THE EXECUTIVE COMMITTEE. IT WAS LIKE EVERYONE WAS LANDING ON NOVEMBER. WE WANT TO MAKE A DECISION. WE WANT TO HAVE SOMETHING TO PUT BEFORE THE VOTERS AND GIVE THEM A CHANCE TO GET THEIR FEEDBACK, YES OR NO. BUT EXACTLY THE SHAPE OF THAT AND THAT'S THE BIGGEST DECISION ON LEAVING AS IS OR BEGINNING TO PIECEMEAL. IT WAS LIKE I AM HEARING FROM YOU GUYS AND THEN PLUS FROM THE COMMITTEE OF REALLY THE TIMELINE LOOKING AT NOVEMBER, BUT STILL VERY MUCH THAT CONVERSATION GOING ON. WE STILL HAVE THREE MORE WEEKS FOR US TO BE HAVING THOSE CONVERSATIONS IN OUR COMMUNITY AND HEARING BACK FROM PEOPLE ON THAT PACKAGING. >> HOLD YOUR QUESTION JUST A SEC. JARED, WOULD IT BE POSSIBLE FOR SOMEONE TO RUN THE NUMBERS FOR US ON A $100,000 HOUSE AND A $250,000 OR A $200,000 HOUSE, WHATEVER, NEXT NUMBER LEVEL, YOU WANT TO PICK AT THE NEW INTEREST RATES? >> ARE YOU READY FOR THE NUMBERS? >> THEN WITHOUT THE SANTA FE [INAUDIBLE]. [OVERLAPPING] >> YES, WE CAN DO IT. >> I'M READY. >> THIS IS USING THE ASSUMPTION OF ISSUING ALL THE DEBT UPFRONT. EFFECTIVELY THE TAX RATE WOULD BE 13 1/4 PERCENT BUT ON A $100,000 HOME, THAT WOULD BE $132.60 PER YEAR OR $11.05 PER MONTH. >> BUT I THINK WHAT THEY WERE ASKING FOR IS WHAT'S THE DIFFERENCE IF WE PULLED OUT, AND YOU MAY BE GOING THERE, PARKING GARAGE AND THEN PARKING GARAGE IN SANTA FE. >> SO EFFECTIVELY THAT WOULD LOWER IT BY ONE CENT ON THE TAX RATE, WHICH WOULD TAKE IT DOWN TO EFFECTIVELY $122 OR JUST A LITTLE UNDER $122 PER YEAR, FOR A $100,000 VALUATION. [02:00:01] >> THAT'S IF YOU PULLED BOTH? >> SO A $10 PER YEAR DIFFERENCE. >> SO BASICALLY GOING FROM $11 A MONTH TO $10 A MONTH? >> CORRECT. >> OKAY. DID I STEP ON A QUESTION THAT YOU HAD? >> NO, ACTUALLY, I FEEL A WHOLE LOT BETTER WITH JUST WHAT I'M HEARING RIGHT THERE. I CAN HARDLY EVEN REMEMBER WHAT THE QUESTION WAS. >> OKAY. >> I ASKED THAT QUESTION BECAUSE THE COMMITTEE BROUGHT UP THE FACT THAT [NOISE] WHEN THEY SPENT 18 MONTHS LOOKING AT THIS PROJECT, THEY LOOKED VERY HARD AT THE SCOPE OF IT. IT BASICALLY HAS TWO COMPONENTS TO IT, ONE IS THE EXPANSION OF THE EXHIBITION SPACE AND USER SPACE INSIDE THE FACILITY, WHAT'S CURRENTLY JUST MAXED OUT. IF YOU GO OVER THERE DURING THE FARM SHOW, OR THE WORKING RANCH COWBOY ASSOCIATION RODEO, [NOISE] OR SOME OF OUR OTHER EXHIBITION TYPE EVENTS. YOU'VE GOT PEOPLE IN THE HALLWAYS, WE'RE USING THE HALLWAYS AS EXHIBITION SPACE, WE ARE MAXED. SO THAT FIRST PART OF THE PROJECT WOULD ADD ADDITIONAL SPACE, AND THAT SPACE COULD ALSO BE USED FOR YOUTH SPORTS TOURNAMENTS, BASKETBALL AND VOLLEYBALL TOURNAMENTS, WHICH WE CAN'T CURRENTLY HOST THOSE TYPE OF EVENTS VERY EASILY IN OUR EXISTING EXHIBITION SPACE. WE DON'T DO THEM AT ALL REALLY. SO THAT'S ONE COMPONENT OF IT. A SECOND COMPONENT ADDRESSES THE QUALITY OF LIFE FEEDBACK THAT WE HAD IN PUBLIC ENGAGEMENT ON WANTING MORE CONCERTS AND ENTERTAIN A BETTER ENTERTAINMENT VENUE. SO THAT WOULD BE BUILDING A NEW ARENA. WHEN THE COMMUNITY REALLY LOOKED AT WHAT ON THIS PROPOSAL DO WE NOT NEED, IT WAS VERY DIFFICULT FOR THEM TO BREAK EITHER OF THOSE PIECES APART. THERE ARE SMALLER THINGS THAT SUPPORT THOSE TWO BIG PIECES, ONE OF WHICH IS THE SANTA FE DEPOT, WHICH WE'VE TALKED ABOUT TODAY, TURNING IT INTO ADDITIONAL EVENT SPACE. WELL, IT'S OUR EXHIBITION SPACE, BUT REALLY MAINLY EVENT SPACE WHERE YOU COULD HAVE MEETINGS AND PARTING PARTIES, WEDDING RECEPTIONS, THAT KIND OF THING, IN THAT SPACE, IN THAT HISTORIC BUILDING. [NOISE] THEN ALSO THE ADDITIONAL PARKING GARAGE ON THE NORTH SIDE OF THE CIVIC CENTER, AND WHETHER OR NOT WE REALLY NEEDED THAT. SO THERE WAS CONVERSATION ABOUT WHEN WE DID THE FIRST PROPOSAL, WHEN THE COMMITTEE DID IT, THOSE PIECES WERE DETERMINED NECESSARY TO THE PROJECT, AND THEN WHEN THEY REVISITED THIS CONVERSATION IN THE LAST FEW WEEKS, WITH THE NUMBERS BEING WHAT THEY ARE, NOBODY FELT STRONGLY THAT IT MOVED THE NEEDLE ON THE ACTUAL DOLLARS INVOLVED IN THE PROJECT. I DO THINK THERE WAS SOME TALK IN THE COMMITTEE THAT SOMETIMES IT'S NOT ALWAYS ABOUT THE DOLLARS, SOMETIMES IT'S ABOUT ACKNOWLEDGING THAT PEOPLE ARE IN A HARD TIME AND YOU'RE ASKING THEM TO DO A HARD THING, AND LIGHTENING THE LOAD IN ANY WAY POSSIBLE, WHILE IT DOESN'T PULL VERY MUCH OFF OF YOUR COST, MAYBE IT GIVES A NAUGHT. I WILL SAY WE DID NOT HAVE THIS LOWER RATE FROM INTEREST RATE INFORMATION IN FRONT OF THE COMMITTEE, SO IF THEY'RE WATCHING TODAY, THEY'RE HEARING THAT FOR THE FIRST TIME. THEY KNEW WE WERE GOING TO RUN THE NUMBERS, BUT NOBODY KNEW THEY WERE GOING TO COME BACK QUITE AS FAVORABLE. SO RIGHT THERE, WE ALMOST DROPPED TWO PENNIES OFF THE PROJECT COST JUST BY DOING THE INTEREST RATE RIGHT THERE, AND THAT'S A MUCH BIGGER JUMP THAN DROPPING THE SANTA FE IN THE PARKING GARAGE. SO JUST FACTORING ALL OF THAT AGAIN, JUST THROWING YOU OUT MORE THOUGHTS FROM WHAT I HEARD AT THE COMMITTEE RELATED TO THE SANTA FE AND THE PARKING GARAGE. >> OKAY. I REMEMBER WHAT MY QUESTION WAS, ALTHOUGH I'M NOT SURE THAT IT'S MORE PERTINENT, BUT I'LL GO BACK AND ASK WHY. TELL ME ABOUT PARKING DOWNTOWN IF WE DON'T HAVE THE PARKING GARAGE. [02:05:01] >> WE MAY HAVE TO GET THAT DATA. I DON'T KNOW, JARED, ARE YOU ALL PREPARED TO TALK ABOUT THAT TODAY OR IS IT SOMETHING WE NEED TO COMPILE AND COME BACK AROUND? >> WE DO. GO ON KEVIN. >> I WAS GOING TO SAY THAT THE ANALYSIS BASICALLY SHOWS THAT THE PARKING GARAGE GAINED US AN ADDITIONAL 600 PARKING SPOTS IN THE DOWNTOWN AREA RELATED TO THAT. KEEPING IN MIND THAT THAT WE'RE LOSING THE CITY HALL PARKING LOT, WE'RE LOSING ALL THE PARKING ON THE EAST SIDE OF THE CIVIC CENTER, SO ALL OF THOSE LOTS GO AWAY, SO THE ADDITION OF THE PARKING GARAGE GOT AT 600 MORE IN THAT PARTICULAR LOT. BUT OVERALL, IT BASICALLY WASHED OUT THAT THE PARKING GARAGE KEPT US WHERE WE WERE AT WITH THE LOSS OF THOSE OTHER SPOTS. SO IN THE NORTH LOBBY, WE WOULD GAIN THE 600, BUT WE WOULD LOSE EFFECTIVELY ALMOST THAT MUCH ON THE EAST SIDE OF THE CIVIC CENTER WITH THE EXPANSION. SO IT REALLY WAS A WASH RELATED TO THE PARKING IN THE ANALYSIS OF IT. >> YEAH. >> SO WITHOUT THE PARKING GARAGE, WE GO DOWN AN ADDITIONAL 600 SPOTS. SO THAT MAY GIVE YOU A FRAMEWORK FOR LOOKING AT THAT. I PHRASED THAT PRETTY BADLY. >> THAT'S EXACTLY WHAT [OVERLAPPING] >> HOPEFULLY WE GOT TO THE END RESULT THAT ANSWERS THE QUESTIONS. >> YES. >> I THINK ONE MITIGATING THING THERE IS WHATEVER WE BUILD FOR CITY HALL OR WHATEVER WE RETROFIT FOR CITY HALL, WE'LL EITHER BUILD ADDITIONAL PARKING OR FIND SOMETHING THAT HAS PARKING THERE. THERE'S THERE'S GOT TO BE SOME GIVE OR TAKE THERE, BUT IT'S GOING TO BE APPROXIMATELY WHAT KEVIN JUST SAID, BECAUSE WE DON'T KNOW THE EXACT NUMBERS OF WHAT WOULD COME WITH THE NEW CITY HALL SITE OR HOW PROXIMATE TO THE CIVIC CENTER THAT SITE WOULD BE. >> WELL, BUT THAT'S AN IMPORTANT EXPLANATION POINT BECAUSE IT DIDN'T NEED ACROSS MY MIND, HONESTLY, THAT WE WERE GOING TO LOSE POTENTIALLY 600 PARKING SPOTS BY DOING THIS RENOVATION, ADDITION ONTO THE CIVIC CENTER. THAT ENDS UP THIS THAT MAKES THE PARKING GARAGE ACTUALLY A LOT MORE CRUCIAL TO THE, YOU WANT TO CALL IT THE SUCCESS GOING FORWARD, BECAUSE WE SURE DON'T WANT TO RUN ANYMORE SHORT ON PARKINGS THAN WE ALREADY WOULD END UP BEING ANYWAY. >> THE SCOPE THAT WE PLANNED TO DO TONIGHT, WE'VE DONE IT. I WAS GOING TO INCLUDE THE PARKING GARAGE AND THE SANTA FE DEPOT. I'M GOING TO BREAK THAT INTO TWO PARTS. SO THE SANTA FE DEPOT, IT'S BOTHERED ME SINCE I'VE BEEN ON THE COUNCIL, THREE YEARS. THE PREVIOUS COUNCIL SOMETIME YEARS BEFORE, BOUGHT THAT, AND IT BOTHERS ME THAT IT SITS THERE VACANT ALL THE TIME. INITIALLY, WHEN I GOT ON THIS COUNCIL, WAYNE AND I WERE BOTH ASKED TO SERVE ON A COMMITTEE TO FIGURE OUT SOMETHING TO DO WITH THE SANTA FE DEPOT. I THINK WE TALKED TO SEVERAL PEOPLE, BUT NOBODY COULD DO ANYTHING BECAUSE THEY NEEDED SEVEN OR EIGHT MILLION DOLLARS FOR GETTING IT READY FOR SOMEBODY TO DO SOMETHING, BUT TO HAVE IT SIT THERE AND NOT USE IT AT ALL, THAT'S A WASTE OF SOMETHING WE ARE ALREADY OWN. WE'D NEED ON SANTA FE DEPOT, SIX CANS AND ONE SAND. THAT'S NOT GOING TO MAKE A BREAK THE ELECTION. I DON'T THINK THAT WILL. NOW, THE PARKING GARAGE, 10 MINUTES AGO, I HAD A DIFFERENT OPINION, I HADN'T DECIDED, BUT HEARING HOW WE'RE GOING TO LOSE 600 PLACES AND WE NEED 600 PLACES, THAT'S PART OF WHAT THE COMMITTEE RECOMMENDED, SO I'M FOR THE WHOLE SCOPE. >> THANK YOU, HOWARD. >> HOWARD, ADDRESSING THE ISSUE ABOUT THE SANTA FE, WHEN WE BEGAN FIRST LOOKING AT IT, ONE OF THE THINGS I HAD HOPED THAT WE COULD MAYBE FIND AN ALTERNATIVE AND POSSIBLY TO SELL IT TO A PRIVATE DEVELOPERS, SOME PUBLIC-PRIVATE PARTNERSHIP, AND ONE OF THE KEY ISSUES THAT BLOCKED THAT IS THAT WE NEEDED TO MAINTAIN CONTROL OF IT, THAT THE CITY NEEDED TO KEEP OWNERSHIP OF THAT PROPERTY BECAUSE OF ITS LOCATION, BECAUSE OF THE PARKING THAT IS THERE, THAT WE NEED TO BE SURE THAT WE HAVE AVAILABLE FOR EVENTS, THE HISTORIC NATURE OF BEING ABLE TO HAVE THAT PROTECTION. [02:10:02] IF WE SELL THAT PROPERTY OFF, THERE'S NOT NECESSARILY A PROTECTION ON HOW IT'S USED, AND RIGHT DOWN THERE IN THE MIDDLE OF OUR DOWNTOWN. SO WE LOOKED AT SOME OTHER ALTERNATIVES. THERE ARE SO MANY GREAT IDEAS OF HOW TO USE THE BUILDING AND WHAT IT COULD BE QUALITY OF LIFE. WE DID PURSUE A LOT OF THOSE OTHER OPTIONS, BUT I THINK THE OVERRIDING ONE WAS SEEING THE BENEFIT OF THE CITY MAINTAINING CONTROL OF THE DEVELOPMENT OF THAT PROPERTY, AND SO THAT IS HOW IT HAS ENDED UP BACK IN THIS PACKAGE. >> I AGREE 100 PERCENT. WE SHOULD NEVER GET RID OF IT. IT'S TOO VALUABLE. WITH THE CIVIC CENTER THERE, WE'LL NEED IT >> I'M HEARING A CONSENSUS FOR CONTINUING FORWARD WITH A NOVEMBER ELECTION AS FAR AS TIMING, I'M HEARING SOME GOOD THOUGHT-STIMULATING QUESTIONS ABOUT WHAT THAT SHOULD LOOK LIKE. I THINK I'M HEARING WE MIGHT TINKER WITH IT A LITTLE BIT BASED ON THE NEW INTEREST RATES. MAYBE WE WANT A LITTLE BIT MORE INFORMATION ON SOME OF THESE OTHER PIECES LIKE PARKING. THEY ALL FEEL LIKE YOU NEED FOLLOW-UP INFORMATION ON PARKING, FEEL LIKE YOU NEED FOLLOW-UP INFORMATION ON SANTA FE. ARE WE AT A CONSENSUS? EDDIE, WHAT DO YOU THINK? >> ACTUALLY, I DON'T. I GOT THE CONVERSATION I NEEDED TO HEAR. I JUST NEEDED MORE INFORMATION AND I GOT ALL THE INFORMATION I NEEDED TO HEAR, SO I WOULD BE IN FAVOR OF MOVING FORWARD WITH FULL SCOPE. >> YEAH. MAYOR, I DON'T NEED ANY ADDITIONAL INFORMATION AT THIS TIME EITHER AND MY PREFERENCE IS TO MOVE FORWARD. >> MS. HAYS? >> MY ONLY REMAINING QUESTION IS, KEVIN, CAN YOU EXPLAIN AGAIN, WHAT CHANGES, IS THIS AN AMENDMENT?BECAUSE WHAT WE'RE LOOKING AT NOW IS GOING TO BE LESS, EVEN IF WE DON'T CHANGE THE SCOPE OF THE PROJECT, WE KEEP EVERYTHING IN IT RIGHT NOW. WHAT WE'RE TALKING ABOUT TODAY IS ASKING THE TAXPAYERS FOR LESS DOLLARS ON THE OVERALL PROJECT BASED ON INTEREST RATES. SO HOW DOES THAT WORK ON A TECHNICAL ASPECT? HOW DO WE AMEND IT? HOW DOES THAT CHANGE? >> EFFECTIVELY, WHEN WE CALLED THE RESOLUTION, ALL THE DATES FOR POSTING AND NOTICES, THE ELECTION LOCATIONS FOR POLLING, ALL OF THOSE WERE ESTABLISHED IN THAT RESOLUTION, AND ALL OF THAT WILL NEED TO BE UPDATED WITH THE ELECTION MOVING FROM MAY OF 2020 TO NOVEMBER OF 2020, BECAUSE OBVIOUSLY, IT BEING A NATIONAL ELECTION, POLLING LOCATIONS MAY BE DIFFERENT. IT WOULD BE DONE BY BOTH POTTER AND RANDALL COUNTIES BECAUSE THEY EFFECTIVELY HAVE TO RUN BOTH RELATIONS, SO ALL OF THAT INFORMATION WILL BE UPDATED IN THE RESOLUTION. SO EFFECTIVELY, WHAT THE ATTORNEY GENERAL HAS PROVIDED IS AN OPPORTUNITY FOR US TO AMEND THE RESOLUTION, TO UPDATE ALL OF THE INFORMATION RELATED TO THE ELECTION, SO EVERY PIECE OF THAT CAN BE UPDATED IN AN AMENDMENT. THE ALTERNATIVE IS THAT WE COULD CANCEL THE ELECTION AND CALL A NEW ELECTION USING A NEW RESOLUTION, BUT REALLY, EITHER PATH GETS YOU TO THE SAME POINT OF CALLING AN ELECTION. >> IS THAT AMENDMENT TIMELINE THE AUGUST 11TH? DO WE HAVE MORE TIME FOR A SIMPLE AMENDMENT? ARE YOU ALLOWED TO DO THAT UP CLOSER TO NOVEMBER? >> NO, IN BOTH CASES, YOU EFFECTIVELY HAVE TO DO THAT BY THE AUGUST 11TH DATE. >> OKAY. >> AUGUST 17TH IS THE EFFECTIVE DEADLINE, BUT AUGUST 11TH WOULD BE THE NORMAL, REGULARLY SCHEDULED MEETING. SO YES, IN EITHER CASE, YOU WOULD HAVE TO DO THAT BY AUGUST 11TH. >> OKAY. >> KEVIN, YOU'RE REFERRING TO THE AMENDMENT FOR THE RESOLUTION; IS THAT CORRECT? >> CORRECT. EFFECTIVELY, YOU HAVE TWO OPTIONS, TO EITHER AMEND THE RESOLUTION THAT ORIGINALLY CALLED THE ELECTION, UPDATING IT WITH ALL THE NEW INFORMATION ON THE VOTER INFORMATION, THE POLLING LOCATIONS, SO ALL THE DATES RELATED TO POSTING REQUIREMENTS AND THE LIKE, OR YOU CANCEL THE ELECTION AND ISSUE A NEW RESOLUTION WITH ALL THAT SAME INFORMATION. [02:15:03] SO IT'S REALLY TWO OPTIONS, BUT IN THE END, BOTH OF THEM GET YOU TO THE SAME POINT IN TIME RELATED TO THAT. LAURA VISITED DIRECTLY WITH MR. [INAUDIBLE] SO SHE PROBABLY HAS A LITTLE MORE CLARITY ON THAT. >> I JUST WANTED TO ADD JUST A COUPLE OF QUICK THINGS. AGAIN, AS COUNCIL'S VERY WELL, THIS IS FAIRLY UNPRECEDENTED, AND SO I THINK THE AG IS TRYING TO GET INFORMATION OUT ON WHAT THE EXPECTATION IS. BOND COUNCIL IS WORKING TO INTERPRET THAT AND DETERMINE THE BEST WAY TO HANDLE THAT GOING FORWARD. AS KEVIN MENTIONED, THERE'S REALLY THE TWO OPTIONS. THERE IS AN AMENDMENT AND RESTATEMENT OF WHAT'S ALREADY IN PLACE OR YOU CANCEL THE PREVIOUS AND CALL A NEW, AND YOU CAN DO THAT AT THE EXACT SAME TIME AS THIS ONE IS SET RIGHT NOW, BUT MOST LIKELY, THE EXPECTATION WOULD BE THAT THE DOLLAR AMOUNTS WOULD NEED TO BE UPDATED, WHETHER THAT'S THE TAX RATE IMPACT, THE OVERALL PROJECT. THE EXPECTATION IS THOSE NUMBERS WOULD NOT BE THE SAME BECAUSE A LOT HAS CHANGED SINCE THE BALLOT WAS ORIGINALLY PUT TOGETHER IN THE RESOLUTION WAS APPROVED. SO THAT'S WHAT I'M HEARING, THAT THAT'S REALLY WHAT THEY ARE GOING TO SEE FROM OTHER MUNICIPALITIES AND THOSE THAT ARE LOOKING AT CALLING BOND ELECTIONS, THEY REALLY NEED TO GO AND UPDATE THOSE AMOUNTS THAT WERE ON THOSE ORIGINAL ELECTION RESOLUTIONS BECAUSE THINGS HAVE CHANGED SINCE THEN, AND YOU GET EITHER ONE OF THOSE TWO ROUTES. >> SO WE'RE IN AN OKAY PLACE ON TIMING IF ALL WE WANT TO CHANGE ON THE PROPOSAL IS COST BECAUSE OF INTEREST RATE SAVINGS, RIGHT? >> YES. >> THEN POLLING ELECTIONS. WE CAN GET ALL THAT INFORMATION IN A DRAFT RESOLUTION TO YOU ALL VERY QUICKLY. >> YES. >> OKAY. I HAVE A QUESTION ABOUT IF WE LOWER THE COST ON THE PROPOSAL AND WE PUT IT ON THE NOVEMBER BALLOT, AND SOMETHING UNUSUAL HAPPENS AND THE FED RAISES RATES, SAY 1ST OF JANUARY, THEN WHAT WE'VE DONE IS JUST LIMIT THE SCOPE OF OUR PROJECT AND WE'RE LOCKED INTO A LOWER PRICE, IS THAT RIGHT? >> VOTERS HAVE APPROVED A DOLLAR AMOUNT. WE HAVE GIVEN THEM WHAT THE PROJECTED TAX IMPACT IS OF THAT DOLLAR AMOUNT. IF INTEREST RATES DID CHANGE SIGNIFICANTLY, COUNCIL WOULD HAVE THE OPTION TO STILL STICK WITH THE LOWER TAX RATE INCREASE, BUT WHAT'S AUTHORIZED IS TO FUND THE PROJECT AT THE DOLLAR AMOUNT. >> AT THE DOLLAR AMOUNT OF THE TOTAL COST OF THE PROJECT? >> IF INTEREST RATES DID GO SIGNIFICANTLY CRAZY, I DON'T SEE THAT HAPPENING. I THINK BASED ON WHAT DR. SAUER WAS SAYING WAS THAT WE HAVE A LOT OF POINTS AND CONFIRMATION OF THAT. WE'LL ALSO HAVE INPUT FROM BOB [INAUDIBLE] WHEN WE'RE CALLING THIS, BECAUSE YOU'RE GOING TO WANT TO MAKE SURE YOU HAVE INPUT FROM YOUR BOND COUNCIL AS YOU GO FORWARD ON THAT. >> OKAY. >> WE WILL CONFIRM THAT AND HAVE THAT FOR YOU WHEN WE PROVIDE THE REVISED LANGUAGE. >> WELL, I THINK THE CONSENSUS TOWARD STAFF IS TO PLEASE MOVE US FORWARD WITH DOING THE RESEARCH NEEDED TO LEAVE THIS ITEM ON A NOVEMBER BALLOT, CHANGING THE COST OF THE PROJECT TO MATCH THE SAVINGS IN THE INTEREST RATE, AND WE'D LIKE TO SEE THAT LANGUAGE JUST AS SOON AS REASONABLY POSSIBLE. > ON THAT, IT'S NOT SIMPLE. THERE'S GOING TO BE A NUMBER OF THINGS THAT GO INTO REVISING THAT. WE WILL BE WORKING WITH BOB TRANSFIELD. WE WILL BE WORKING WITH OUR BOND COUNCIL. WE'LL BE WORKING WITH LEGAL AND FINANCE, AS WELL AS ALL OF OUR TEAM THAT'S BEEN WORKING ON THE CIVIC CENTER PROJECT. SO THERE WILL BE A NUMBER OF BOXES TO CHECK AS WE GO THROUGH [OVERLAPPING]. I ANTICIPATE WE WILL HAVE THAT FOR YOU VERY QUICKLY. >> THIS IS WHERE I'M GLAD WE HAVE A GOOD TEAM BECAUSE LAURA'S RIGHT. WE ARE IN UNCHARTERED TERRITORY HERE ON CHANGING AN ELECTION MIDSTREAM. WHAT DOESN'T FEEL UNCERTAIN ABOUT ALL OF THAT? SO THAT'S PART OF WHY WE WANT TO SEE YOU GUYS GETTING ON IT, SO THAT WE KNOW WE HAVE WHAT WE NEED AT THE DEADLINES. [02:20:05] COUNCIL, ANY FINAL THOUGHTS OR DIRECTION? SO I THINK JARED, PROBABLY LEAVE THIS ON FOR NEXT WEEK JUST AS AN UPDATE IF NOTHING ELSE, SINCE IT'S A TIME SENSITIVE ISSUE THAT GIVES THE COUNCIL, AGAIN, THE OPPORTUNITY TO ASKING QUESTIONS AS THEY'RE DOING PUBLIC ENGAGEMENT OUT AND ABOUT. I WANT THE DOOR TO BE OPEN FOR THE FIVE OF US TO HAVE CONVERSATION ABOUT THIS UNTIL WE HIT AUGUST 11TH. SO LEAVING IT ON THE AGENDA, I THINK, IS THE WAY TO MANAGE THAT. >> WE'LL LEAVE IT ON AS A STANDING ITEM UNTIL THE COUNCIL TAKES ACTION AND PUTS IT TO BED OR UNTIL WE GET TO THE 17TH OR PAST THE 17TH. >> ANY CONCERNS WITH DOING IT THAT WAY, COUNCIL? >> NO, MA'AM. >> ALL RIGHTY THEN. LET'S MOVE ON THEN TO THE MONTHLY BUDGET UPDATE. [I. Monthly Budget Update;] >> THANK YOU ALL FOR A VERY THOROUGH CONVERSATION. >> ALL RIGHT, MAYOR. ITEMS I AND J, I BEING THE MONTHLY BUDGET UPDATE AND THEN J BEING THE SALES TAX UPDATE, WE GOT LAURA STORRS TO PRESENT THE MONTHLY BUDGET INFORMATION ABOUT THAT. ALSO WE HAVE ANDREW FREEMAN TO TALK TO US ABOUT THE SALES TAX INFORMATION. THOSE THINGS MIGHT BLEED TOGETHER, BUT WE'LL STOP AS WE GO BETWEEN I AND J TO INTRODUCE ANDREW. BUT LAURA, WALK US THROUGH THE BUDGET UPDATE. >> THANK YOU, JARED. WE'RE GOING TO TRY TO MOVE QUICKLY THROUGH THIS BECAUSE I KNOW IT'S ONLY BEEN A FEW WEEKS SINCE YOU HAD THE LAST UPDATE. BUT WE'RE TRYING TO GET BACK ON A MORE ROUTINE SCHEDULE TO GET THESE UPDATES TO YOU ON A MONTHLY BASIS THAT CORRESPONDS WITH WHEN A LOT OF THIS INFORMATION IS COMING IN. SO WE CAN GIVE YOU AN ACCURATE UPDATE. SO THE MAJORITY OF THIS PRESENTATION IS FOR THE EIGHT MONTHS ENDED ON MAY 31ST, 2020. SO WE'LL START WITH YOUR GENERAL FUND AND FOR THE EIGHT MONTHS ENDED MAY 31ST, 2020. ON YOUR REVENUE BUDGET, THERE WAS $137.4 MILLION BUDGETED. WE ACTUALLY COLLECTED $136.2 MILLION, AND SO WE WERE JUST SLIGHTLY BELOW THE TOTAL BUDGET BY 1.2 MILLION. THIS NEXT SLIDE HERE IS GOING TO YOU A LITTLE BIT MORE INFORMATION ON IT. YOU'LL SEE IT THAT LOWER RIGHT-HAND SIDE, THAT IS LESS THAN ONE PERCENT BELOW BUDGET FOR THE FIRST EIGHT MONTHS OF THE FISCAL YEAR. ON THIS SLIDE, IT BREAKS DOWN THOSE MAJOR REVENUE CATEGORIES AND HOW THEY PERFORMED FOR THOSE FIRST EIGHT MONTHS. PROPERTY TAX, AS ALWAYS, IS COMING IN VERY STRONG. AT THIS POINT IN TIME, WE'RE OVER 100 PERCENT COLLECTED FOR THE YEAR, AND THAT'S FAIRLY NORMAL. WE USUALLY BUDGET A 98.5 PERCENT COLLECTION RATE. BUT IN OUR AREA, WE HAVE BEEN VERY FORTUNATE OVER THE YEARS, THOSE COLLECTIONS USUALLY COME IN STRONGER THAN THAT. SO YOU'LL SEE FOR THE FIRST EIGHT MONTHS, WE WERE OVER BUDGET IN PROPERTY TAXES BY $1.5 MILLION. ON SALES TAX, WE WERE JUST SLIGHTLY BELOW BUDGET FOR THE FIRST EIGHT MONTHS AT ABOUT $200,000, AND WE'VE GOT ANOTHER SLIDE ON THAT. HOTEL TAX WAS ABOUT 700,000 BELOW BUDGET. GROSS RECEIPTS BUSINESS, ARE THOSE FRANCHISE FEES, THEY WERE BELOW BUDGET AS WELL BY 700,000. YOUR LICENSES AND PERMITS WERE RIGHT ON TARGET WITH YOUR BUDGET AT 40,000 UNDER AND THAT'S MAINLY RELATED TO YOUR BUILDING SAFETY AREA, ANY OF THOSE PERMITS, AND ALSO SOME OF YOUR ENVIRONMENTAL HEALTH FEES. WE DID ANTICIPATE SOME OF THOSE MIGHT TURN DOWN JUST SLIGHTLY RELATED TO COVID. THEN THE NEXT CATEGORY, THERE IS THE CHARGES FOR SERVICES, AND IT IS SHOWING IT'S ABOUT $900,000 BELOW BUDGET FOR THE FIRST EIGHT MONTHS. A LOT OF WHAT'S RUNNING THROUGH THAT IS YOUR CULTURE AND RECREATION FEES. AS YOU KNOW, CERTAIN AMOUNTS RELATED TO THOSE PROGRAMS HAVE BEEN EITHER DELAYED OR CANCELED FOR THE YEAR. WE DID HAVE GOLF COURSES SHUT DOWN AND THOSE ALL FLOW THROUGH THAT CATEGORY THERE. FINALLY, FINES ARE ABOUT 700,000 BELOW BUDGET FOR THE FIRST EIGHT MONTHS, AND THAT WOULD BE MOST OF THOSE FUNDS RAN THROUGH YOUR MUNICIPAL COURT. SO AGAIN, AS THE COURTS WERE SHUT DOWN DURING COVID, WE ALSO DID NOT HAVE AS MANY TICKETS BEING ISSUED, THOSE TYPE OF THINGS. SO WE WERE ANTICIPATING THIS NUMBER COMING IN THE LOW BUDGET. NOW IF ANYONE HAS A QUESTION, PLEASE STOP ME. OTHERWISE, I'M JUST GOING TO KEEP MOVING FORWARD ON THIS. SO ON THIS PAGE, WE'VE GOT THE GENERAL FUND EXPENSES FOR THE FIRST EIGHT MONTHS OF THE YEAR. THE TOTAL BUDGET FOR THE FIRST STATEMENT WAS 125 MILLION [02:25:04] AND WHAT WAS ACTUALLY SPENT WAS $115.7 MILLION. NOW AS YOU'LL SEE UP THERE AT THE TOP RIGHT, THAT 70 PERCENT OF THE OVERALL BUDGET IS TIED INTO PERSONNEL COST. SO THAT'S SALARIES AND BENEFITS FOR ALL THE PHYSICIANS IN THE GENERAL FUND. NOW, THE VARIANCE BETWEEN THAT BUDGET AND THE ACTUAL AMOUNT SPENT IS $9.3 MILLION TO THE GOOD. AGAIN, THAT IS HEAVILY RELATED TO THE HIRING FREEZE THAT WAS PUT IN PLACE EARLY ON BY MR. MILLER IN MARCH, ALONG WITH THE DELAY OF CERTAIN CAPITAL EXPENDITURES, KNOWING THAT COVID WAS GOING TO HAVE AN IMPACT ON REVENUES. SO THE NET AMOUNT BETWEEN REVENUES BEING SLIGHTLY BELOW BUDGET AND EXPENSES BEING 9.3 MILLION BELOW BUDGET OVERALL FOR THE GENERAL FUND THROUGH MAY 31ST, WE ARE TO THE GOOD BY $8.1 MILLION. THAT IS POSITIONING FOR WHAT'S TO COME ON THE REVENUE IMPACT FOR THE REST OF THE FISCAL YEAR. THIS SLIDE, YOU HAVE ALL SEEN BEFORE, IT IS JUST A REMINDER OF THE $12 MILLION THAT WAS ORIGINALLY LOCATED TO ADDRESS POTENTIAL REVENUE REDUCTIONS RELATED TO COVID. AGAIN, THAT'S THOSE UNFILLED POSITIONS, DELAYED FUNDING FOR LANDFILL EXPANSION, DELAYED THE SEAL COAT PROGRAM, STREET OVERLAY. THERE WAS REDUCTIONS TO CIVIC CENTER CAPITAL FUNDING AND THERE WAS DELAY OF THE REIMBURSEMENT FOR SOLID WASTE CAPITAL FUNDING, AND THEN SEVERAL DELAYS AND REDUCTIONS IN REPAIRS AND MAINTENANCE, AND THOSE TOTAL IDENTIFIED AMOUNTS WERE $12 MILLION. THAT WOULD BE THROUGH THE END OF THE FISCAL YEAR. ON THE LAST SLIDE, AS YOU SAW, WE WERE ALREADY AT 9.3 MILLION IN SAVINGS FOR THE FIRST EIGHT MONTHS. SO LET'S LOOK AT SALES TAX. I DO NOT HAVE UPDATED NUMBERS, SINCE WHAT WE PRESENTED TO YOU ALL LAST MONTH. WE WILL ACTUALLY GET NEW SALES TAX NUMBERS IN NEXT WEEK. ANDREW'S GOING TO GIVE YOU A LITTLE BIT MORE UPDATE, AND I'M GOING TO STILL EXPAND REAL QUICK, BUT WE DID GET NUMBERS THAT THE STATE OVERALL SALES TAX COLLECTIONS FOR THE MONTH OF JULY, WHICH ARE FOR THE MAY SALES, THEY WERE DOWN TO 6.5 PERCENT FROM THE PRIOR YEAR. SO WHAT WE HAVE BEEN SEEING HERE LOCALLY IS WE'VE ACTUALLY BEEN OUTPERFORMING THAT JUST SLIGHTLY FROM THE OVERALL STATE PERSPECTIVE. SO WE'VE BEEN BEATING THEIR NUMBER BY ABOUT ONE OR TWO PERCENT OVER THE PAST COUPLE OF MONTHS. SO WE'RE HOPEFUL THAT WE MIGHT SEE SOMETHING AROUND THAT 6.5 PERCENT REDUCTION OR SOMETHING EVEN A LITTLE BIT LESS THAN THAT. SO THESE NUMBERS ARE YOUR ACTUAL AMOUNTS THROUGH JUNE, WHICH AGAIN, THERE'S A TWO-MONTH LAG. SO JUNE COLLECTIONS WOULD HAVE BEEN FOR THE MONTH OF APRIL, AND THAT IS THE MOST SIGNIFICANT DECREASE WE HAVE SEEN AT THIS POINT, AND THAT WAS JUST UNDER NINE PERCENT REDUCTION FROM THE SAME TIME LAST FISCAL YEAR. IF THERE'S NO ANY QUESTIONS, THIS IS JUST A GRAPH SHOWING THE CORRELATION BETWEEN ACTUAL COLLECTIONS LAST FISCAL YEAR, ACTUAL COLLECTIONS THIS FISCAL YEAR, AND WHAT WE HAD BUDGETED IN THIS FISCAL YEAR. THIS NEXT SLIDE IS, AGAIN, SOMETHING THAT YOU ALL SAW LAST MONTH WHEN WE PRESENTED, AND ALL THIS LAYS ON TOP OF WHAT OUR ACTUAL COLLECTIONS ARE, IS WHAT WE ARE ANTICIPATING OVER THE NEXT THREE MONTHS IN THE REMAINDER OF THE FISCAL YEAR. YOU'LL SEE THAT WE'RE ANTICIPATING DECREASES FOR THE MONTHS OF JULY, AUGUST, AND SEPTEMBER, AND WE'RE STEPPING OUT OF THOSE DECREASES. IF WE HIT THESE PROJECTIONS, WE'RE LOOKING AT JUST UNDER A 3.5 PERCENT DECREASE FROM WHAT WE HAD BUDGETED IN THIS FISCAL YEAR. YOU'LL NOTE ON THIS THAT WE BUDGETED A 2.5 PERCENT INCREASE OVER OUR COLLECTIONS FROM LAST YEAR. SO IF WE HIT THESE PROJECTIONS, WE'RE LOOKING AT OVERALL BEING UNDER OUR BUDGET PROJECTIONS BY JUST UNDER $2.1 MILLION. THERE'S NO QUESTIONS ON SALES TAX. WE,LL GO TO HOT TAX. NOW, HOT TAX, I ACTUALLY HAVE UPDATED NUMBERS, WE ONLY HAD THROUGH MAY, THE LAST TIME I PRESENTED TO COUNSEL. NOW WE HAVE JUNE COLLECTIONS, AND SO FOR THE MONTH OF JUNE, YOU'LL SEE THAT THE TOTAL COLLECTIONS THAT WE RECEIVED WERE JUST OVER 284,000 VERSUS WHAT WE ACTUALLY COLLECTED LAST YEAR SAME TIME PERIOD OF 656,000, [02:30:02] AND I WILL SAY IS SEVERE BUT DECREASES, THAT IS STILL BETTER THAN WHAT WE HAD ORIGINALLY ANTICIPATED THE IMPACT COULD BE FROM COVID, SO WE WORK AND ENCOURAGED WITH THOSE NUMBERS COMING IN. WE'RE CONTINUING TO SEE THAT OCCUPANCY RATE INCREASED WEEK OVER WEEK, WHICH HAS BEEN A REALLY GREAT THING. IF YOU LOOK THROUGH THE MONTH OF JUNE, COMPARING THE ACTUAL COLLECTIONS THIS YEAR VERSUS LAST YEAR WERE DOWN ALMOST 23 PERCENT, AND AT ABOUT 23 PERCENT BELOW WHAT WE HAD BUDGETED FOR THIS YEAR. IN THE BOTTOM SECTION THERE THIS OUTLINES THAT HOT REBATE, THOSE PAID OUT ON A MONTHLY BASIS, AND WE HAD PAID ABOUT 514,000 THROUGH THIS POINT LAST YEAR, AND THAT NUMBER IS ABOUT 419,000 THROUGH THIS POINT IN THE CURRENT FISCAL YEAR. THEN WE'VE GOT YOUR NET AMOUNT THROUGH JUNE, DOWN ABOUT 23, TO ALMOST 24 PERCENT FROM LAST YEAR, AND FOR BUDGET, WE'RE DOWN ABOUT 20 PERCENT BELOW THE NET BUDGET FOR YOUR HOT TAX COLLECTIONS. THERE'S NOT A QUESTION. WE'LL GO THE NEXT ONE. THIS IS JUST A GRAPH THAT OUTLINES THE CORRELATION BETWEEN, THOSE ACTUAL AMOUNTS COLLECTED LAST FISCAL YEAR, THE ACTUAL AMOUNTS COLLECTED THIS FISCAL YEAR, WHAT WE HAD BUDGETED FOR THIS FISCAL YEAR, AND THEN WE'VE LAID THE OCCUPANCY RATES FOR LAST FISCAL YEAR VERSUS THIS FISCAL YEAR. I THINK THE ENCOURAGING NEWS IS, ON THAT BLUE LINE THAT'S TRACKING ACROSS THE BARS, YOU'LL SEE THAT SEVERE DECREASE GOING DOWN TO THE MONTH OF APRIL BUT YOU'LL SEE THAT WE'VE ALREADY MADE A LOT OF HEADWAY COMING BACK UP THROUGH THE MONTH OF MAY. I DON'T BELIEVE WE HAVE THE FINAL JUNE NUMBERS YET, BUT ANDREW MAY HAVE A LITTLE BIT MORE INFORMATION ON WHAT WE SAW WEEK-BY-WEEK IN SOME OF THOSE JUNE WEEKS. THE NEXT SLIDE HERE, ALL THIS IS SHOWING IS WHAT WE ARE PROJECTING FOR THE LAST THREE MONTHS OF COLLECTIONS THIS FISCAL YEAR, FOR THE MONTH OF JULY, WE HAVE THAT AMOUNT REDUCE DOWN TO 317,000 WHICH IS AN OVERVIEW ON THIS, COLUMN TO THE RIGHT, SECOND FROM THE RIGHT, THAT IS 40 PERCENT OF WHAT WE COLLECTED LAST FISCAL YEAR. THEN FOR THE MONTHS OF AUGUST AND SEPTEMBER, WE ASSUMED 50 PERCENT COLLECTION, OF WHAT WE SAW LAST AUGUST AND SEPTEMBER. AGAIN, WE ARE HOPEFUL THAT WE MAY OUTPERFORM THESE IN OUR HOT COLLECTIONS, BUT WE WANTED TO BE CONSERVATIVE IN WHAT WE WE'RE BUDGETING TO MAKE SURE THAT WE'RE NOT OVER ANTICIPATING WHAT THOSE COLLECTION AMOUNTS MAY BE. IF WE HIT THESE PROJECTIONS FOR THE YEAR, YOU'LL SEE IN THE BOTTOM RIGHT OVER THERE, WE ARE LOOKING AT POTENTIALLY BEING DOWN ABOUT 2.4 MILLION FROM WHAT WE HAD BUDGETED THIS YEAR, AND WE HAD BUDGETED A THREE PERCENT INCREASE THIS FISCAL YEAR OVER THE PRIOR FISCAL YEAR. CERTAINLY SEEING AN IMPACT RELATED TO COVID IN THE HOT COLLECTION AREA. IF THERE'S NO QUESTIONS, I WANTED TO DO ONE QUICK UPDATE ON THIS SLIDE HERE. WE'RE CONTINUING TO REVISE THIS SLIDE IS WE'RE SEEING THOSE COLLECTION NUMBERS COME IN EACH MONTH. ALL THIS OUTLINES IS THE USES OF THOSE HOT FUNDS. WE HAVE THE ORIGINAL BUDGET LAID ON THE MIDDLE COLUMN THERE, AND THEN THE REVISED BUDGET, REVISED ON WHAT OUR CURRENT ANTICIPATED COLLECTIONS ARE. YOU CAN SEE THAT THE DEBT SERVICE NUMBER IS DOWN FROM WHAT WE HAD ORIGINALLY ANTICIPATED FUNDING DEBT SERVICE. HOWEVER, THE BLUE BLOCK BOX AT THE BOTTOM SHOWS THAT WE WILL HAVE MORE THAN ENOUGH MONEY AVAILABLE FROM HOT TAX COLLECTIONS, BASED ON THESE ASSUMPTIONS TO MEET OUR DEBT SERVICE REQUIREMENTS, SO THERE ARE NO CONCERNS THERE THAT HOT TAX WILL NOT BE ABLE TO MEET THE DEBT SERVICE REQUIREMENTS IN THIS FISCAL YEAR OR IN NEXT FISCAL YEAR. THERE'S A PORTION THAT IS FUNDED THROUGH THE CVC FOR DEBT SERVICE, AND THAT IS LAID ON THERE AS WELL. YOU'LL SEE THAT WE CUT OUT ALL OF THE CIVIC CENTER CAPITAL FUNDING THIS YEAR AS THESE HOT COLLECTIONS HAVE COME DOWN, THEY'VE ALSO BEEN VERY DILIGENT ABOUT CLOSING OUT CURRENTLY FUNDED CAPITAL PROJECTS TO ENSURE THEY'RE SUFFICIENT FUNDING AVAILABLE IN ORDER TO MEET THOSE DEBT SERVICE REQUIREMENTS. ON THE CIVIC CENTER OPERATION PIECE, THIS NUMBER IS STILL CERTAINLY IN FLUX, THIS IS TAKING INTO ACCOUNT THAT REVENUES ARE DOWN IN THE CURRENT FISCAL YEAR. OBVIOUSLY, AS THOSE OPERATIONS HAVE BEEN CLOSED FOR A FEW MONTHS. HOWEVER, WE'RE WORKING DILIGENTLY, THE SHIFT IS MANY AT THE COST THAT WE CAN TO GRANT FUNDS. SEVERAL OF THE EMPLOYEES OVER THE CIVIC CENTER HAD BEEN WORKING OUT IN GRANT OPERATIONS, [02:35:04] WHETHER THAT'S AN ACTUAL, ONGOING GRANT FOR THE CITY OR A CARES ACT FUNDED GRANTS RELATED TO COVID OPERATIONS, AND SO WE'RE STILL SHIFTING THOSE COSTS OUT OF THE CIVIC CENTER OPERATIONS, AND VERY HOPEFUL THAT THIS NUMBER IS ACTUALLY GOING TO TURN OUT BETTER BY THE END OF THE YEAR. THEN YOU CAN SEE THAT THE CVC OPERATIONS BUDGET HAS BEEN IMPACTED BY THIS REDUCTION AND THESE HOT TAX COLLECTIONS, AND THEN THE CVC PROMOTIONAL FUNDS HAS ALSO BEEN IMPACTED BY IT. IF THERE ARE NO QUESTIONS. MAYOR, DID YOU HAVE A QUESTION, I THINK YOU ARE ON MUTE? >> I AM, THANK YOU. >> YES, MA'AM. >> MY DOG IS BARKING DOWN THE LAWN, IS GETTING MODE AND [INAUDIBLE]. JUST POINTING OUT THE VERY DRASTIC CHANGE IN THE REVENUE FOR CVC OPERATIONS, ALMOST HALF. >> YES, MA'AM. >> THE OPERATIONAL BUDGET HAS JUST GONE AWAY, IS THAT RIGHT? >> YES, THAT IS CORRECT. WE HAVE BEEN DISCUSSING IT WITH THEM, AND THEY'VE BEEN VERY DILIGENT, AND TRYING TO CUT BACK IN EVERY WAY THAT THEY CAN, BECAUSE THAT IS A HUGE REDUCTION IN THE BUDGET FOR THEIR OPERATIONS. >> THANK YOU. >> YES. IF THERE ARE NO OTHER QUESTIONS, I'LL QUICKLY FINISH UP THIS PRESENTATION. LET'S LOOK AT: GROSS RECEIPTS, BUSINESS TAX, BUSINESS FRANCHISE FEES. THEY'RE CONTINUING TO TREND BELOW BUDGET, AND AGAIN, THAT LOW FUEL FACTOR THAT WE'RE ALL ENJOYING WHEN WE TAKE OUR VEHICLES TO THE GAS STATION, IT IS IMPACTING THOSE ELECTRICITY COSTS, SO WE ARE SEEING THOSE REVENUES COME IN LOWER THAN ORIGINALLY ANTICIPATED, AND THAT'S DRIVING THE BULK OF THE OVERALL AMOUNT THAT THOSE FRANCHISE FEES ARE BELOW BUDGETS. WE'RE ABOUT FIVE PERCENT BELOW BUDGET THROUGH MAY, WHICH IS ABOUT $665,000. AGAIN, WE ALL REALIZE AT SOME POINT THAT FUEL FACTOR WILL GO BACK UP, AND THESE ELECTRICITY REVENUES FRANCHISE, THE REVENUE SOURCE WILL START TO TURN BACKUP AS WELL. THIS IS JUST A GRAPH OUTLINING BUDGET VERSUS THOSE ACTUALS, FOR THE GROSS RECEIPTS, BUSINESS TAX. THEN QUICKLY, WE'LL GO THROUGH UTILITY SALES. THESE ARE ACTUALLY UPDATED THROUGH JUNE. WE'RE ABLE TO GET EVERYTHING PULLED IN, SO WE CAN GIVE YOU THE MOST CURRENT INFORMATION. AS YOU CAN SEE AT THE TOP THERE, SANITATION CHARGES, SOLID WASTE COLLECTION FEES, ARE TRAINING SPOT ON WITH BUDGET, THROUGH THE END OF JUNE, LANDFILL CHARGES ARE COMING IN ACTUALLY HIGHER THAN BUDGET BY ABOUT HALF A MILLION DOLLARS. OVERALL, SANITATION IS UP ABOUT THREE PERCENT THROUGH JUNE VERSUS BUDGET. THERE ON YOUR WATER SALES. YOU WILL SEE THAT WATER IS CONTINUING TO TREND SLIGHTLY BELOW BUDGET, THROUGH THE MONTH OF JUNE. AS A REMINDER, WE HAVE PRESENTED THE NUMBERS THROUGH MAY AT A COUPLE OF WEEKS AGO, AND THE WATER SALES WERE BELOW BUDGET BY OVER $3 MILLION SO IN ONE MONTH, THEY MADE SIGNIFICANT IMPROVEMENTS, AND AGAIN, AS WE ALL KNOW, IT WAS VERY HOT AND DRY DURING THE MONTH OF JUNE, AND JUNE IS ONE OF OUR LARGE WATER SALES MONTHS BY ALL MEANS. SEWER SALES ARE TRACKING JUST SLIGHTLY BELOW BUDGET, AND OVERALL, THERE ARE ABOUT 2.3 MILLION BELOW BUDGET, OR ABOUT FOUR PERCENT. AGAIN, OVER THE NEXT FEW MONTHS ESPECIALLY AS YOU ALL HAVE SEEN THE WEATHER, IT LOOKS LIKE WE'RE GOING TO BE IN THE HUNDREDS FOR THE NEXT, SEVERAL DAYS, THAT CERTAINLY WILL HAVE AN IMPACT POTENTIALLY ON THESE WATER SALES. THESE NUMBERS MAY CONTINUE TO FLUCTUATE AND A LOOK QUITE A BIT DIFFERENT FROM ONE MONTH TO THE NEXT AS WE FINISH OUT THE FISCAL YEAR. IN DRAINAGE, YOU'LL SEE THAT THOSE REVENUES ARE CONTINUING TO COME IN STRONG OVER BUDGET BY ABOUT NINE PERCENT THROUGH JUNE. LASTLY, LET'S TALK REAL QUICK ON HEALTH INSURANCE. AGAIN, WE FEEL LIKE THIS HAS AS WELL BEEN IMPACTED BY COVID AS SO MANY ELECTIVE PROCEDURES WERE NOT BEING CONDUCTED DURING COVID SHUTDOWN PERIOD. WE DO KNOW THAT WAS DRIVING SOME CLAIMS DOWN. BUT AGAIN, SO IT'S LOOKING VERY FAVORABLE THROUGH MAY. WE'RE UNDER BUDGET, AND THOSE CLAIMS EXPENSES BY ABOUT NINE PERCENT, WHICH IS ABOUT 1.35 MILLION. THAT'S BEEN A GREAT STRING THAT WE DON'T NORMALLY SEE FROM A HEALTH INSURANCE SIDE, BUT WE KNOW THAT THIS IS TEMPORARY, AND IT WILL CHANGE AS WE WALK THROUGH THE NEXT COUPLE OF MONTHS. WITH THAT BEING SAID, I HAVE A QUESTION SLIDE. ARE THERE ANY QUESTIONS THAT I CAN'T ANSWER FOR COUNSEL ON THIS MONTHLY UPDATE? [02:40:04] >> NOW, MY ONLY REQUEST, LAURA, WOULD BE THAT IF YOU GET THE SALES TAX NUMBERS AT THE END OF THIS WEEK OR BEFORE NEXT TUESDAY'S, IF WE CAN JUST GET THAT ONE SLIDE UPDATED. >> ABSOLUTELY. WE WILL ACTUALLY GET THOSE NUMBERS WEDNESDAY NEXT WEEK. WE WILL MISS COUNCIL BY ONE DAY, OF COURSE, BUT WE WILL GET COMMUNICATION OUT THROUGH AN E-MAIL TO LET COUNCIL KNOW HOW THOSE NUMBERS CAME IN. >> GREAT. THANK YOU. >> YOU'RE WELCOME. >> ANY OTHER QUESTIONS, COUNCIL, FOR LAURA? OKAY, JARED. >> I ALMOST MUTED MYSELF, I THOUGHT I WAS MUTED. ALL RIGHT, ANDREW. >> ANDREW. >> SURE. JUST TO TALK ABOUT THE SALES TAX COLLECTIONS COMING IN, [J. Sales Tax Update; and] I DOUBLE-CHECKED THE ALLOCATION PAYMENT SCHEDULE, IT LOOKS LIKE WE'LL GET IT TOMORROW. IT LOOKS LIKE WE'RE SCHEDULED TO RECEIVE THE PAYMENTS ON FRIDAY, SO WE SHOULD BE ABLE TO GET PAID THIS WEEK IF IT COMES TOMORROW AS FAR AS THIS MONTH'S SALES TAX. LET ME [INAUDIBLE] MY SCREEN REAL QUICK. I'VE GOT AN ABBREVIATED PRESENTATION OF THE SLIDE THAT YOU'VE RECEIVED VIA E-MAIL. IF YOU SEE ANYTHING THAT MIGHT BE MISSING THAT YOU MAY HAVE QUESTIONS ON, I DO HAVE THAT PRINTED OUT IN CASE YOU HAVE ANY MORE DETAILED QUESTIONS THAT ARE NOT SHOWN ON THE SLIDES. FIRST, I WANT TO COVER THE HOTEL OCCUPANCY. JUST A LITTLE MORE INFORMATION HERE IS THE OCCUPANCY PERCENT BY FISCAL YEAR THAT LAURA TOUCHED ON. MAY WE SOLD 41 PERCENT. IN THE WEEKLY REPORTS, WE'RE STARTING TO SEE FOR JUNE ANYWHERE BETWEEN 49 AND 61 PERCENT SOURCE, HOPING TO SEE THAT IN THE 50S. WE WILL FIND OUT TOWARD THE END OF THE MONTH IS WHEN WE GET THOSE MONTHLY REPORTS ON THE OCCUPANCY AND ADR, AVERAGE DAILY RATE. FOR AVERAGE DAILY RATE, WE'RE SITTING AT ABOUT 61 AND 28 IN MAY. STARTED TO CLIMB IN JUNE, WE'RE SITTING BETWEEN $64 AND $70 A WEEK. THAT ALSO STARTING TO CLIMB EACH WEEK. HERE'S A COMPARISON OF BOTH CATEGORIES ON A WEEKLY BASIS. WE HAVE SEEN INCREASES GOING ON 11 WEEKS STRAIGHT, STARTING WITH THE LOWEST POINT, THE WEEK OF APRIL 5TH. YOU CAN SEE IT'S GONE UP ANYWHERE FROM 1-5 PERCENT ON OCCUPANCY AND A FEW DOLLARS ON AVERAGE DAILY RATE, BUT COMPARING IT TO PREVIOUS YEARS, WE DO HAVE QUITE A WAYS TO GET BACK TO OUR PREVIOUS PERCENTAGES AND AVERAGE DAILY RATE. AS FAR AS THE GPS SAMPLE DATA, WE'VE UPDATED THIS, WE NOW HAVE IT UPDATED THROUGH JUNE ON THE MONTHLY DATA. I'LL JUST WALK THROUGH WHAT WE'VE EXPERIENCED SINCE THE CLOSURE STARTED TAKING PLACE IN MARCH. MARCH WE SAW A DECLINE IN 17 OF OUR 19 CATEGORIES SHOWN HERE ON THE SCREEN AND OVERALL DECLINE OF ALMOST 40 PERCENT BASED ON THE GPS SAMPLE DATA THAT WE'RE ABLE TO PULL FROM BUXTON. THIS IS A NET SALE AND INDICATOR OF SALES TAX COLLECTIONS, THAT GIVES US A GENERAL FEEL OF HOW MANY PEOPLE DRIVING AROUND THAT HAVE THOSE APPS ON THEIR PHONE THAT ARE TRACKING AS FAR AS THEIR GPS IS CONCERNED WITH WHICH STORAGE AND WHICH INDUSTRY THEY MAY BE GOING THROUGH. IN COMPARISON, MARCH ACTUAL SALES COLLECTIONS WERE DOWN TO 6.71 PERCENT WHICH IS WHEN WE SAW THIS GPS DATA. WE DID SEE NON-STORE RETAILERS, WHICH IS OUR MAIN ON-LINE SALES CATEGORY BESIDES REMOTE SELLERS THAT STARTED UP IN OCTOBER, THEY WERE ABOUT 106 PERCENT. WE'RE COLLECTING $117,000 ADDITIONAL IN COLLECTIONS COMPARED TO 227 OVERALL, SO THAT CATEGORY CONTINUES TO GROW REALLY ON A MONTHLY BASIS. FOR APRIL, WE SOLD FIVE OF THOSE CATEGORIES DECLINE. BUILDING MATERIALS STORES STILL UP. THE MAIN CATEGORIES THAT WE SAW A DECLINE WAS CLOTHING STORES, JEWELRY STORES, SHOE STORES. THOSE ARE REALLY THE ONES THAT WERE LATER BEING ABLE TO OPEN, SO I THINK IT TOOK A LITTLE BIT BEFORE THEY STARTED TO SEE THEIR TRAFFIC INCREASE, BUT WE DID SEE REALLY ACROSS THE BOARD MORE FOOT TRAFFIC. BUT COMPARED TO APRIL ACTUAL SALES, WE'RE DOWN STILL 8.95 PERCENT. JUST BECAUSE THERE IS FOOT TRAFFIC THAT WE CAN SEE THROUGH THIS GPS DATA, THAT DOESN'T ALWAYS EQUATE TO ADDITIONAL SALES. [02:45:04] FOR MAY, WE HAD FIVE DECLINE, AND THIS ONE WE SAW BEER, WINE, LIQUOR STORES, GROCERY STORES, AUTOMOBILE PARTS AND TIRE STORES, AND GASOLINE STATIONS. IN PARTICULAR, THESE WERE THE CATEGORY THAT BENEFITED FROM THE CLOSURE MONTHS BECAUSE MOST OF THESE WERE STILL OPEN. I THINK IT REFLECTS HOW PEOPLE ARE SPENDING MORE TIME ON SOME OF THE STORES THAT THEY WEREN'T ABLE TO ACCESS PREVIOUSLY, SO YOU SEE PRETTY LARGE INCREASES IN THE BOOKSTORES, CLOTHING, JEWELRY, AND SHOE STORES ALL STARTED TO TURN AROUND QUITE A BIT BECAUSE BEFORE THEY JUST WEREN'T ABLE TO ALLOW CUSTOMERS IN UNTIL THEY WERE ABLE TO ADJUST. AS FAR AS JUNE, WE'VE SEEN THE OVERALL NUMBER COMPARED TO PREVIOUS MONTHS, SO WE'RE IN DOUBLE DIGITS OF OVERALL GROWTH COMPARED TO 2019, THIS MONTH WE ACTUALLY SAW A 6.54 PERCENT. STARTING TO COME DOWN JUST A LITTLE BIT, WE REACHED A NEW NORMAL OF ACTIVITY. YOU CAN SEE BUILDING MATERIAL STORES ACTUALLY IS NOW DECLINED ALMOST 20 PERCENTAGE, BEER, WINE, AND LIQUOR STORES DOWN 24, AUTOMOTIVE REPAIR AND MAINTENANCE ALSO CAME DOWN, AND THEN GENERAL MERCHANDISE [INAUDIBLE] SAM'S CLUBS, WALMART, SOME OF THOSE BIG BOX RETAILERS, ALL OF THEM HAD STARTED TO SEE DECLINES, MOST LIKELY BASED ON THE HEAVIER TRAFFIC THAT THEY SAW IN THE PREVIOUS MONTHS WITH PEOPLE BEING ABLE TO GO TO A VARIETY OF DIFFERENT STORES NOW. AS FAR AS THE WEEK TO WEEK DATA, THOSE WERE THE MONTHLY SNAPSHOTS. I'VE ALSO PULLED A FEW SLIDES SO YOU CAN SEE SOME OF THE WEEK TO WEEK PROGRESSION. THIS WAS THE FIRST TIME IN THE LAST COUPLE OF WEEKS THAT WE'VE SEEN OUR OVERALL NUMBERS DECLINE AFTER A NINE IN A ROW INCREASE IN GPS TRAFFIC FOR THE CITY. THIS COVERS ALL INDUSTRY CATEGORIES ACROSS THE BOARD, AND THEN I'LL TOUCH ON A FEW OF OUR MORE SPECIFIC CATEGORIES. FULL-SERVICE RESTAURANTS ALSO HAD NINE IN A ROW OF INCREASES AFTER SEEING QUITE A FEW WEEKS OF DECREASES, BUT WE DID EXPERIENCE OUR FIRST DECREASE JUST LAST WEEK AT 9.37. LIMITED SERVICE EATING PLACES, THESE ARE MORE OF YOUR FAST SERVICE AND MORE CASUAL RESTAURANTS, ALSO HAD 10 IN A ROW, AND THEN LAST TWO WEEKS, WE'VE SEEN THREE PERCENT DECREASE OF EACH WEEK COMPARED TO LAST YEAR. NOT NECESSARILY A BAD DAY, IT COULD BE PEOPLE ARE SPENDING MORE TIME SHOPPING IN THE STORES VERSUS GOING OUT TO EAT. SPORTING AND MUSIC STORES, THIS IS ONE THAT BENEFITED BEING ABLE TO STAY OPEN AND THERE'S BEEN A LOT OF INTEREST IN OUTDOOR ACTIVITIES, BIKES, ETC. SO THEY SAW A LOT OF INCREASE IN THE APRIL MONTH, BUT NOW ARE STARTING TO SEE A DECREASE OVER THE LAST FEW WEEKS. THE FINAL STORES THAT ONCE PEOPLE MAKE A FEW PURCHASES ARE NOT SOMETHING YOU HAVE TO GO BACK TO ON A REGULAR BASIS COMPARED TO THE GROCERY STORE OR OTHER TYPES OF STORES. BUILDING MATERIALS STORES, REALLY THE SAME THING. THEY SAW A LARGE SPIKE BEING ABLE TO STAY OPEN AND NOW WE'RE STARTING TO SEE THAT COME DOWN A LITTLE BIT IN THE LAST FEW WEEKS, NINE PERCENT, EIGHT PERCENT, FIVE, AND THREE PERCENT JUST LAST WEEK. ELECTRONICS AND APPLIANCE STORES HAS BEEN UP AND DOWN OVER THE LAST FEW WEEKS IN MID JUNE, WHERE YOU SEE THIS 47 PERCENT INCREASE. THAT IS WHEN BEST BUY ACTUALLY STARTED ALLOWING CUSTOMERS BACK IN THEIR STORES, SO I THINK WE ARE GOING TO ATTRIBUTE SOME OF THAT TRAFFIC TO PEOPLE BEING ABLE TO SHOP IN STORES WITH PLACES LIKE BEST BUY COMPARED TO NOT BEING ABLE TO. GROCERY STORES PRETTY MUCH STABILIZED. OVER THE LAST COUPLE OF WEEKS, HAVE BEEN A DECLINE, BUT THEY'RE STAYING PRETTY CLOSE TO WHAT THEIR ACTIVITY LEVELS BEING IN 2019. GOING BACK TO ABOUT MAY 3RD, THAT'S WHEN IT STARTED COMING IN EITHER TWO PERCENT INCREASE ONE WEEK THROUGH THE NEXT, AND THEN BACK AND FORTH DEPENDING ON SHOPPING PATTERNS AS WHAT WE'RE SEEING WITH GROCERY STORES NOW COMPARED TO MARCH AND APRIL. GENERAL MERCHANDISE, AGAIN THIS IS WALMART'S, SAM'S CLUB'S, BIG-BOX STORES THEY'VE ALSO STARTED TO SEE DECLINES IN THE LAST FEW WEEKS COMPARED TO PREVIOUS WEEKS. AS FAR AS OUR SELF TAX INDUSTRY PERFORMANCE DATA, WE DO HAVE OUR APRIL ACTUAL SALES IN THE SYSTEM I'D BE ABLE TO PULL. I DIDN'T WANT TO GIVE YOU A SNAPSHOT OF MAY SALES TAX, MARCH SALES THAT WE HAD BEFORE, OF COURSE, WE'RE DOWN TO 6.71 PERCENT AND THEN APRIL SALES DOWN 8.95 PERCENT. COMPARING THE TWO, WE DID SEE RETAIL COME DOWN A LITTLE BIT BETWEEN THE MONTH, IT WAS DOWN 3.54 [02:50:01] PERCENT FROM MARCH SALES AND THEN DOWN TO 4.79 THIS PREVIOUS MONTH. THAT IS REALLY OUR MAJOR CATEGORY, AND THEN STOOD FROM 22 PERCENT DOWN TO 24 PERCENT, SO NOT A BIG DIP BETWEEN THE MONTHS. WE HOPE TO SEE THAT START TO GO BACK TO THE OTHER DIRECTION. HERE AGAIN IS THE OVERALL SNAPSHOT FROM JUNE-APRIL SALES, REALLY EVERY CATEGORY EXCEPT WHOLESALE WAS HIT WITH A DECLINE. RETAIL AND FOOD, OF COURSE, BEING OUR MAIN PROVIDER OF THE SALES TAX COLLECTION OF THE 55 PERCENT, WHICH WE THOUGHT WOULD BE PRETTY HEAVILY IMPACTED BY THE COVID RESTRICTIONS, BUT RETAIL ENDED UP NOT BEING HIT NEAR AS HARD AS WE THOUGHT. [NOISE] HERE IS A QUICK SNAPSHOT OF OUR RETAIL, A FURTHER BREAKDOWN THAT WE CAN GO INTO MORE DETAIL. I DID WANT TO TOUCH ON THE GPS COMPARISON HERE. DEPARTMENT STORES WERE DOWN 7.52 IN COLLECTIONS, OUR GPS DATA ACTUALLY SHOWED THAT THEY WERE UP 17 PERCENT. BUILDING MATERIAL STORES, 13.9 PERCENT INCREASE. THAT ENTIRE CATEGORY WAS UP ON GPS 52 PERCENT, AND THEN GASOLINE STATIONS WILL BE ONE OF THE INCREASES FROM THIS MISCELLANEOUS STORES AT 2 PERCENT BUT IT WAS 20 PERCENT UP ON GPS, AND THEN WE HAD CLOTHING STORES, SHOE STORES, JEWELRY STORE, YOU CAN SEE ARE ALL IN THE 70 PERCENT TO 80 PERCENT RANGE. THOSE ALL HAD DECLINE IN GPS TRAFFIC BETWEEN 20 PERCENT AND 36 PERCENT, JUST IN COMPARISON. AS FAR AS GROCERY STORES, IT WAS DOWN NEGATIVE 24 PERCENT COMPARED TO APRIL GPS BEING UP 33 PERCENT. SOME OF THAT CAN BE CONTRIBUTED TO THE FACT THAT NOT EVERYTHING IN A GROCERY STORE IS TAXABLE, A LOT OF THAT, THERE'S NOT A SALES TAX FOR FRESH ITEMS. BEER, WINE, AND LIQUOR STORES WERE UP 41 PERCENT IN COLLECTIONS, GPS TRAFFIC WAS UP NINE PERCENT, AND THEN WE WERE UP 18 PERCENT IN ELECTRONIC AND APPLIANCE STORES, BUT DOWN 58 PERCENT IN COLLECTIONS FOR ANOTHER EXAMPLE. THEN, AGAIN, I ALWAYS WANT TO POINT OUT THE OTHER NON-STORE RETAILERS THAT CONTINUES TO GROW. THIS MONTH, IT WAS UP 176 PERCENT, SO 252,000 IN COLLECTIONS COMPARED TO 91,000. I BELIEVE COVID, OF COURSE, PLAYED INTO THAT WITH PEOPLE BEING IN THEIR HOUSES, SHOPPING ONLINE INSTEAD OF BEING ABLE TO VISIT THE STORES IN PERSON. THAT LEADS US TO THE FOOD INDUSTRIES. WE'RE SEEING A 10 PERCENT IN APRIL OF FOOT TRAFFIC BEING UP IN FULL-SERVICE RESTAURANTS, BUT A DECLINE IN 38 PERCENT AS FAR AS COLLECTIONS. LIMITED SERVICING PLACES WERE DOWN 8.29 PERCENT IN COLLECTIONS, BUT UP 14 PERCENT IN TRAFFIC FROM THE BUXTON DATA. [NOISE] THEN LASTLY, I JUST WANTED TO HIGHLIGHT A LITTLE BIT ON THE WORKFORCE DATA. [NOISE] WHAT WE'RE SEEING NOW, AS FAR AS THE EMERALD CITY LIMITS FOR MAY, OUR NUMBER IS DOWN TO 8.8 PERCENT COMPARED TO NINE PERCENT IN APRIL, WHICH IS PRETTY CLOSE TO THE MSA AS WELL, SO 8.5 PERCENT FOR MAY. THIS IS COMPARED TO 12 PERCENT UNEMPLOYMENT RATE IN TEXAS AND 13 PERCENT IN THE US. THEN JUST TO HIGHLIGHT SOME OF THE EMPLOYMENT INDUSTRY CHANGES, THE CONSTRUCTION CATEGORY ADDED SEVEN PERCENT COMPARED TO LAST MONTH. WE ALSO HAD THE LEISURE AND HOSPITALITY INDUSTRY ADD 26 PERCENT. SO YOU'RE STARTING TO SEE WHICH INDUSTRIES ARE OPENING BACK UP TO HIRING EMPLOYEES BACK BASED ON THAT INFORMATION, AND WE WILL HAVE OUR NEXT MONTH DATA IN A FEW WEEKS AND SO WE'LL BE ABLE TO UPDATE YOU AS SOON AS THAT COMES OUT AS WELL. THEN SOME OF THE OTHER PERFORMANCE DATA THAT LAURA TOUCHED ON A LITTLE BIT. THE STATE'S SALES TAX COLLECTIONS COMPARISON, 9.3 DOWN FROM MARCH SALES COMPARED OUR 6.71. APRIL DOWN 13.2 PERCENT COMPARED TO OUR 8.95, AND THEN OF COURSE, AS SHE MENTIONED, THE STATE'S DOWN CURRENTLY AT 6.5 PERCENT, SO WE'LL SEE HOW WE COMPARE TO STATE COLLECTIONS. THEN WE HAVE A COUPLE OF COMPARABLES HERE ON HOW THE NATION IS PERFORMING RETAIL AND FOOD SERVICE. THEY WERE DOWN 22 PERCENT FOR APRIL SALES AND SIX PERCENT DOWN FROM MAY SALES. THAT NUMBER STARTED TO IMPROVE AS WELL. THEN OF COURSE, THE MSA DATA WE JUST TOUCHED ON APRIL AND MAY NUMBERS OF 8.8 PERCENT AND 8.5 PERCENT COMPARED TO THE STATE AND US NUMBERS LISTED THERE. THEN THE JULY 2ND ANNOUNCEMENT THAT THE US DID ADD 4.8 MILLION JOBS THAT I WANTED TO MENTION. [02:55:02] THE OVERALL RATE FELL FROM 13 PERCENT TO 11 PERCENT, OVERALL BEATING THE ECONOMISTS' PROJECTIONS OF A 12.4 UNEMPLOYMENT RATE. WE'RE HOPING TO SEE THAT IMPACT US AS SO WE CAN SEE OUR 8.5 NUMBER COME DOWN A LITTLE BIT MORE, HOPEFULLY MAYBE IN THE SEVEN PERCENT RANGE. A LOT OF DATA, A LOT OF INFORMATION, BUT I'M HAPPY TO ANSWER ANY QUESTIONS YOU MIGHT HAVE. I'M SORRY, MAYOR, YOU'RE MUTED. [NOISE] >> THAT'S A LOT OF DATA, ANDREW, BUT WE REALLY APPRECIATE THE TIME YOU SPENT PUTTING IT TOGETHER FOR US AND PRESENTING IT. [NOISE] OTHER QUESTIONS, COUNCIL? >> [INAUDIBLE] INFORMATION IS THAT A TYPE OF THING WE CAN GET MONTHLY? [OVERLAPPING] >> YES. YEAH. BASICALLY, WE COULD UPDATE THE GPS DATA WEEKLY, THE INDUSTRY SALES TAX DATA, WE GET MONTHLY, AND THEN THE HOT PACKS, WE GET WEEKLY AS WELL. AS SOON AS WE GET THE INFORMATION, WE UPDATE THESE SPREADSHEETS AND TRY AND GET THEM OUT TO YOU-ALL FOR REVIEW, JUST SO YOU CAN KEEP A PULSE ON HOW THINGS ARE GOING. >> GREAT. >> GREAT. IT'S ENCOURAGING TO SEE THE HOTEL INFORMATION COMING BACK UP, THE OCCUPANCY AND THE AVERAGE RATES, BUT GOODNESS, THEY'RE HAVING TO DIG OUT OF SUCH A DEEP HOLE. THAT WAS A TREMENDOUS DROP IN SUCH A SHORT TIME PERIOD. DO YOU HEAR BACK FROM THE HOTELIERS, ANDREW? IS IT REBOUNDING FASTER THAN THEY HOPED? ANY FEEDBACK YOU HAVE? >> I HAVEN'T HEARD ANYTHING RECENTLY. I HAVE HEARD FROM INDUSTRY [INAUDIBLE] AND I THINK THEY'D BENEFIT FROM SOME OF THE STATE HELP THAT WE GOT FROM COVID AND THEY'RE REALLY NOT SEEING A CONVENTION. THAT'S DEFINITELY HURTING SOME OF THE BUSINESS, BUT I THINK WE'RE GETTING SOME OF THAT TRAVEL IMPACTED, PEOPLE MAYBE GOING OUT WEST INSTEAD OF FLYING. LITTLE BY LITTLE, IT'S COMING BACK. [NOISE] >> OTHER QUESTIONS? OKAY. IF NOT, THEN I THINK THAT BRINGS US TO THE END OF OUR REGULAR SESSION AGENDA. BRIAN, DO YOU MIND READING OUR SPECIAL SESSION, EXECUTION SESSION LANGUAGE? [EXECUTIVE SESSION: City Council may convene in Executive Session to receive reports on or discuss any of the following pending projects or matters: 1) Section 551.072 - Discuss the purchase, exchange, lease, sale, or value of real property and public discussion of such would not be in the best interests of the City's bargaining position: (a) Purchase of real property located in the northwest quadrant of the City of Amarillo. (b) Purchase or lease of real property located in the Central Business District.] >> NOT AT ALL. THE TEXAS OPEN MEETINGS ACT, CLOSED SESSION, THE AMARILLO CITY COUNCIL WAS ANNOUNCED ON JULY THE 7TH 2020 AT 3:59 PM, UNDER THE FOLLOWING AUTHORITY; SECTION 551.072 DISCUSS THE PURCHASE EXCHANGE, SALE, LEASE OF VALUABLE PROPERTY. PUBLIC DISCUSSION OF SUCH WOULD NOT BE IN THE BEST INTEREST OF THE CITY'S BARGAINING POSITION. >> THANK YOU. AT THIS TIME, WE'RE ADJOURNED THE EXECUTIVE SESSION. >> MAY I REQUEST TO PUT THINGS ON FUTURE AGENDAS? [K. Request future agenda items and reports from City Manager.] >> WE SKIPPED RIGHT OVER THAT. SORRY, I'M SO GLAD. COME BACK AROUND. YOU HAVE A REQUEST, HOWARD? >> NO, I DON'T. [LAUGHTER] >> JUST WANT TO HOLD THE MAYOR ACCOUNTABLE. [LAUGHTER] RITA, DO YOU HAVE ANYTHING? EDDIE? OKAY. I THINK WE REALLY ARE ADJOURNED, BUT THANK YOU FOR CLEANING THAT UP, HOWARD. I APPRECIATE THAT. OKAY. [NOISE] * This transcript was compiled from uncorrected Closed Captioning.