[00:00:01] WE'LL GO AHEAD AND START, THEN WE'LL FOLLOW WITH THE PLEDGE AND THEN WE HAVE A [INVOCATION] PROCLAMATION. FATHER, TODAY WE'RE JUST GRATEFUL FOR THIS COMMUNITY . FOR THE WAYS IN WHICH [INAUDIBLE]. SO WE PRAY TODAY IN THIS ROOM YOUR SPIRIT OF HOPE THAT COMES THROUGH CALM AND CONFIDENCE IN YOUR PRESENCE. I PRAY FOR THE HEALTH OF EACH PERSON HERE. LEADER ONE HERE TO SPEAK, WHATEVER THEIR ROLL IS. I PRAY THAT WE GIVE YOU EVERYTHING ASKING FOR WISDOM AND A BLESSING ON ALL. AT THIS TIME, WE HAVE THE KEEP AMARILLO CLEAN GROUP, IF Y'ALL WANT TO JUST COME ON UP TO [PROCLAMATION] THE FRONT. I KNOW THIS IS A DIFFERENT SETTING THAN WHAT WE NORMALLY HAVE, SO. WE APPRECIATE ALL OF YOU BEING HERE WITH US TODAY. EXCUSE ME FOR SITTING DOWN, BUT MY MICROPHONE IS SET FOR SITTING DOWN. IF YEAH IF Y'LL JUST COME ON UP HERE AND WE'LL READ THE PROCLAMATION, Y'LL HAVE AN EVENT COMING UP ON SATURDAY. DON'T BE SHY. SPREAD OUT HERE SO WE CAN GET A GOOD PICTURE. WHEREAS NATIONAL CLEANUP DAY WAS FOUNDED TO CELEBRATE THE IMPORTANCE OF UNITING INDIVIDUALS TO CARE FOR OUR OUTDOOR SPACES AND REMOVE LITTER SO THAT OUR TRAILS, PARKS AND COMMUNITY SPACES REMAIN PLEASANT AND UNMARRED BY WASTE, AND WHEREAS THE THIRD SATURDAY IN SEPTEMBER CELEBRATES THIS EVENT BY HELPING US CLEAN THE COUNTRY, CONNECT PEOPLE AND STRENGTHEN THE RELATIONSHIPS OF VOLUNTEERS IN NEIGHBORHOODS. AND WHEREAS THE PURPOSE OF NATIONAL CLEANUP DAY IS TO ASSIST IN PROMOTING A CLEAN OUTDOORS FOR ALL BY CREATING A CALL TO ACTION TO HELP MOBILIZE COMMUNITIES TO BEAUTIFY THEIR AREAS. AND WHEREAS NATIONAL, A NATIONAL NETWORK OF STEWARDS OF THE OUTDOORS, NATIONAL CLEANUP DAY IS DEDICATED TO KEEPING OUR NATION'S URBAN, RURAL AND OUTDOOR PUBLIC SPACES FREE OF LITTER AND TRASH. SO NOW, THEREFORE, WE, THE MAYOR AND THE CITY COUNCIL MEMBERS OF THE CITY OF AMARILLO, TEXAS, DO HEREBY PROCLAIM SEPTEMBER 19TH, 2020 AS NATIONAL CLEANUP DAY IN AMARILLO. AND WE ENCOURAGE CITIZENS TO DO THEIR PART TO HELP KEEP OUR CITY BEAUTIFUL. WE ARE SO GRATEFUL FOR THIS TEAM OF VOLUNTEERS WHO HAVE GOTTEN BEHIND THE VISION OF BABJI AND DEBBIE YALAMANCHILI, WHO HAVE BEEN WORKING FOR A COUPLE OF YEARS NOW TO GET KEEP AMARILLO BEAUTIFUL, TO BE PART OF OUR COMMUNITY AND THE HOURS SPENT PLANNING, THE PHONE CALLS, THE EMAILS. YOU GUYS HAVE JUST DONE A TREMENDOUS JOB AND OUR CITY IS BETTER FOR IT. EVERY SINGLE PIECE OF TRASH THAT GETS PICKED UP MAKES OUR CITY A MORE BEAUTIFUL PLACE. SO THANK YOU ALL FOR THE TIME THAT YOU DEDICATE TO IT. BABJI DO YOU HAVE ANYTHING YOU WANT TO ADD TO THAT? OF COURSE, HE SAYS. LET ME SEE IF I CAN GET MY VISION IS TO INVOLVE THE STUDENTS AND LITERALLY IS A GLOBAL PROBLEM, AND BY TEACHING THE STUDENTS, YOU KNOW, THEY CAN REALLY CLEAN UP THE ENTIRE GLOBE. SO THIS IS JUST A STARTING. YOU KNOW, WE ARE INVOLVED IN 36 ELEMENTARY SCHOOLS AND ONE HIGH SCHOOL. THAT'S A GREAT THING. IT NEVER HAPPENED IN THE ENTIRE WORLD, I BELIEVE. AND ALSO I'M REALLY EXCITED ABOUT IT. I THINK IT'S MORE THINGS TO COME AND I WANT TO GO ALL THE WAY. BELIEVE IT OR NOT, I REALLY WANT TO GO. OK. WE'RE GOING TO GO BACK UP, CATCH THE PUBLIC ADDRESS ITEMS. [PUBLIC ADDRESS ] [00:05:08] WE'VE GOT THREE PEOPLE SIGNED UP FOR PUBLIC ADDRESS. I'M LOOKING TO SEE, MR. FISHER ARE YOU HERE? I DON'T THINK IT'S ON. YEP THERE WE ARE. OK GOOD. SO COME ON, MIKE, YOU CAN START US UP. OK. JUST AS A REMINDER, YOU HAVE THREE MINUTES AND STEPHANIE'S RUNNING THE TIMER OVER HERE. IS THERE A TIMER ON THE BACK OF THAT TV? THERE'S NOT, IS THERE, STEPHANIE? FISHER, WE DON'T HAVE OUR NORMAL SETUP AND ALL OF THAT, BUT SHE'LL GIVE ME A HAND RAISE AND I'LL. BUT I'LL TRY TO KEEP AN EYE ON HER SO I CAN RAISE YOUR HAND. MY HAND TOO WHEN YOUR THREE MINUTES IS UP. ALL RIGHT. THANK YOU. THANK YOU. SO WE'RE HERE TODAY TO PASS OUR TAX INCREASE FOR OUR CITY PROPERTY TAXES. SO I NOTICED THE LANGUAGE IN TODAY'S. THE I FORGET WHAT YOU CALL IT, THE NOTICE FOR THE MEETING SAYS BASICALLY IT'S WE'RE PROVIDING FOR EFFECTIVE PUBLIC SERVICES. WHAT SERVICES ARE WE TALKING ABOUT? EXCESSIVE TRASH PILED UP IN ALLEYS THAT'S TAKEN MONTHS TO BE PICKED UP, CLOSED CITY POOLS, PARKS AND REC PROGRAMS. THAT MONEY WAS BUDGETED. WHERE DID THAT MONEY GO? EVERY DEPARTMENT HEAD IN THIS CITY MAKES SIX FIGURES, WHY DON'T WE CONSIDER CUTTING THOSE BACK? THE MONEY THAT WAS BUDGETED FOR ALL THE THINGS THAT YOU HAVE CUT DURING COVID, WHERE DID IT GO? IT WAS ALREADY THERE. IT WAS ALREADY PAID FOR WITH PROPERTY TAXES. MY FIGURES SHOW, WHILE THIS COUNCIL BRAG THAT THEY ADDED TWENTY THREE OFFICERS TO OUR B UDGET IN THE LAST WITH THE LAST ELECTION, BUT WE NEVER FILLED THOSE POSITIONS. SO YOU'RE KIND OF PRE UN-FUNDING OUR POLICE DEPARTMENT, LIKE WHERE DID THAT MONEY GO? IS THAT THE FIVE MILLION THAT'S GOING TO THE NEW BUILDING THAT YOU GUYS ARE TALKING ABOUT, POSSIBLY BUYING FROM SOMEBODY ON THE BOARD OF HAPPY STATE BANK? EIGHT MILLION AND CERTIFICATE OF OBLIGATIONS, ALL DURING COVID FOR THE WATER PARK. I'M ALL FOR A WATER PARK, I'M ALL FOR SOMETHING FOR THE NORTH SIDE BECAUSE YOU CLOSE THE POOL, BUT ONLY SIX POINT WHATEVER MILLION IS GOING TOWARDS IT. WHERE'S THE EXTRA TWO MILLION? WHERE'S THAT GOING TO GO? THE CORONAVIRUS AID RELIEF ECONOMY, THE CARES ACT. HOW IS IT JUSTIFIED TO SPEND THAT MONEY ON THE BUSES? SO YOU GUYS ARE GOING TO TAKE THAT MONEY AND PUT IT ON THE MONEY THAT YOU ALREADY BUDGETED TO BUY THE BUSES. SO WHERE'S THAT MONEY GOING TO GO? WHERE'S THAT 500000 PER BUS? I THINK THERE'S GOING TO BE 10 OR 20 BUSES. THERE'S LIKE TEN MILLION DOLLARS IN TAXPAYER MONEY. BUT YOU'RE DIVERTING THE COVID MONEY THAT WHAT? 30 SECONDS, SIR. ALL RIGHT. HOW MUCH DO WE PAY THE HOTEL ACROSS THE STREET WITH OUT OF OUR GENERAL FUND? HOW MUCH? I WAS TOLD IT WAS TWO MILLION DOLLARS. HOW MUCH DO WE PAY THEM TO GUARANTEE THEIR SIXTY FIVE PERCENT OCCUPANCY? THE AIRPORT PUT 10 MILLION DOLLARS, THAT CARE ACT OUT THERE. I BELIEVE SOME OF OUR COUNCIL MEMBERS HAVE INTERESTS OUT AT THE AIRPORT. ALL THE THINGS YOU WERE DOING WAS PLANNED LONG AGO, SELLING, LEASING CITY PARKS. WHERE'S THAT MONEY GOING TO GO? YOU CUT THE CITY PARKS BUDGET AND NOW YOU'RE GOING TO SELL OUR CITY PARKS TO MAKE UP FOR THE BUDGET. YOU GUYS CUT EACH ONE OF YOU GUYS CUT THE CITY PARKS. THANK YOU, SIR. MS. CLAUDETTE SMITH. OK, THIS IS WHAT THE FOURTH CONSECUTIVE TAX INCREASE THIS COUNCIL HAS BURDENED THE TAXPAYERS WITH SINCE YOU'VE BEEN IN OFFICE. I FIND THAT INTERESTING, CONSIDERING EACH AND EVERY ONE OF YOU TOUTED YOURSELVES AS CONSERVATIVES WHEN YOU RAN FOR OFFICE. THIS COUNCIL HAS DONE MORE SPENDING SINCE THIS PANDEMIC BEGAN THAN YOU PROBABLY HAVE YOUR ENTIRE SECOND TERM. YOU'VE SPENT MILLIONS AND MILLIONS IN TAX DOLLARS TO PURCHASE SEVERAL WAREHOUSES AND BUILDINGS IN THE DOWNTOWN AREA ON HOPES AND DREAMS THAT THIS 300 MILLION DOLLAR CIVIC CENTER BOND WOULD PASS IN NOVEMBER. NO CONSERVATIVE THAT I KNOW WOULD SPEND MILLIONS OF DOLLARS OF OTHER PEOPLE'S MONEY ON HOPES AND DREAMS. AND YOU CALL YOURSELVES FISCALLY CONSERVATIVE. [00:10:08] ALL OF THIS IN THIS COUNCIL HAS THE AUDACITY TO PUT A MEASURE ON THE NOVEMBER BALLOT TO EXTEND YOUR TERMS TO FOUR YEARS, ESSENTIALLY CANCELING YOUR OWN ELECTIONS AND MAKING IT IMPOSSIBLE FOR WE THE PEOPLE, TO ELECT A CANDIDATE OF OUR CHOOSING. PEOPLE ARE SUFFERING FINANCIALLY DUE TO THIS PANDEMIC. BUSINESSES ARE SUFFERING FINANCIALLY. OUR NATION IS SUFFERING FINANCIALLY. THERE ARE MANY BUSINESSES WHO WILL NOT EVEN BE ABLE TO OPEN THEIR DOORS AFTER THIS PANDEMIC IS OVER. AN INCREASE IN TAXES WILL ONLY CRIPPLE ANY OF THEIR EFFORTS TO RECOVER FROM THIS PANDEMIC. NOW, I KNOW THAT WHEN PUBLIC COMMENT IS OVER AND THIS AGENDA ITEM COMES TO A VOTE, THIS COUNCIL WILL PASS IT AS THEY DO NINETY NINE POINT NINE NINE NINE NINE NINE NINE NINE PERCENT OF ALL AGENDA ITEMS. BUT ONE THING I THINK THIS COUNCIL HAS FAILED TO UNDERSTAND IS THAT WHEN VOTERS ELECT OFFICIALS, IT IS BECAUSE IT IS NOT BECAUSE THEY BELIEVE THAT YOU ARE SMARTER THAN THEM OR THAT YOU KNOW WHAT IS BEST FOR THEM. THEY ELECT YOU TO REPRESENT THE PEOPLE COLLECTIVELY, THEIR BEST INTERESTS AND THEIR NEEDS. NOW, THIS MAY NOT AFFECT ANY OF YOU SITTING BEHIND THIS DAIS, BUT IT AFFECTS THE VERY PEOPLE WHO VOTED FOR YOU IN TRUSTING THAT YOU WOULD HAVE THEIR BEST INTERESTS AT THE FOREFRONT OF EVERY DECISION MADE. I IMPLORE THIS COUNCIL TO VOTE AGAINST ANY PROPOSED TAX INCREASE TODAY AND ANY DAY FOR THE REST OF YOUR TERMS. YOU COULD BE USING THE COVID-19 RELIEF FUNDS TO ASSIST ALL OF THE SUFFERING BUSINESSES IN THIS CITY. INSTEAD, GINGER NELSON HAS DECIDED TO PROPOSE USING THOSE FUNDS TO BUILD A NEW CIVIC CENTER. THIS IS UNACCEPTABLE. THE PEOPLE VOTED YOU TO REPRESENT THEM, NOT YOURSELVES, NOT YOUR SPECIAL INTEREST GROUP, NOT AMARILLO NATIONAL BANK, NOT AMARILLO MATTERS PAC, BUT THE PEOPLE OF THIS CITY, WE ARE IN THE MIDDLE OF A PANDEMIC. A TAX INCREASE IS ABSOLUTELY UNACCEPTABLE. THAT'S ALL I HAVE. THANK YOU, MR. IRVING, GABE IRVING. [APPLAUSE] CAN YOU HEAR ME OK? YES, SIR, WE CAN. OK. AND I'M SORRY I TRIED TO MAKE A FEW HEADS OR TAILS OF THIS. WHAT IS PROPOSED TAX RATE GOING TO GO UP FROM [INAUDIBLE]. IT GOES UP BY POINT ZERO ZERO EIGHT THREE. SO IT'S A SMALL PERCENTAGE. AND I UNDERSTAND THE EQUATION. WHAT I'VE SEEN IS I'VE WORKED WITH OVER A HUNDRED BUSINESSES, PROPERTY OWNERS EVERY YEAR. AND MOST OF THE BUSINESSES THAT I TALKED TO WILL HURT, I KNOW MOST OF THEM USUALLY COME IN ON A MINIMUM OF 40 PERCENT DECREASE IN WHETHER IT BE SALES OR INCOME BEING THE POINT. [INAUDIBLE] VILLAGE CLEANERS QUOTED ON THE NEWS THE OTHER NIGHT OF HAVING 70 PERCENT. I'VE HAD A DECREASE IN MY BUSINESS TOO, ABOUT THE SAME. BUT I'LL SAY THAT, YOU KNOW, PEOPLE ARE [INAUDIBLE] OR TRYING TO SEE THE WISDOM OF THIS WHEN THEY'RE SEEING CONTINUAL INCREASES [INAUDIBLE]. JUST FINISHED APPRAISAL EVALUATIONS BEING INCREASED IN THE MIDDLE OF THE SHUTDOWN IN FACT. SO WE HAD A LOT OF PROPERTY OWNERS FIGHTING 15 AND 20 AND EVEN UP TO 50 PERCENT INCREASES PROPERTY VALUE. AND NOW THEY'RE GETTING HIT WITH A TAX RATE INCREASE, TOO. SO I THINK THAT THE BIGGEST CONCERN AND THAT I SEE IS THAT WE STILL HAVE BUSINESSES THAT ARE EITHER STRUGGLING TO STAY OPEN, BEING ARE THEY'RE SHUTTING THEIR DOORS, SEEN PLENTY OF THAT. AND IT DOESN'T MATTER WHETHER THE RETAILERS, GYMS, MECHANICS ALL THE WAY AROUND, IT'S EVERYBODY'S BEEN AFFECTED BY THIS. SO I DO ASK THAT YOU CONSIDER NOT INCREASING THE TAX RATE, GIVEN THE FACT THAT EVERYBODY'S BEEN IN STRUGGLE, BEEN OVER-REGULATED, BEEN INCREASING THE COST OF THESE BUSINESSES, AND THEY'VE BEEN A BIG [INAUDIBLE] IMPACT OF DECREASING AND DECREASING THEIR INCOME DURING ALL THE REGULATION. I WOULD ASK THAT YOU ALSO INSTEAD FOCUS ON WAYS THAT FUEL THESE BUSINESSES AND, YOU KNOW, FUEL AMARILLO'S RECOVERY OUT OF THIS DOWNTURN. I JUST DON'T I THINK A LOT OF PEOPLE FEEL LIKE THEY'RE GETTING KICKED WHEN THEY'RE ALREADY DOWN AND SO I HOPE THAT YOU ALL CONSIDER THE CHANGES THIS. I KNOW THAT TAX INCREASES ARE NECESSARY TO HELP THE BUDGET, SURELY WOULD BE OTHER WAYS. THANK YOU FOR YOUR TIME. [APPLAUSE] AT THIS TIME, WE WILL MOVE ON TO ITEM ONE, A [1 A. CONSIDERATION OF ORDINANCE NO. 7883] CONSIDERING ORDINANCE NUMBER 78 83, MR. [00:15:01] CITY MANAGER. ALL RIGHT, WE'VE GOT LAURA STORRS, ASSISTANT CITY MANAGER. SHE'S HERE TO PRESENT THE ITEM AND ANSWER ANY QUESTIONS COUNSEL MIGHT HAVE. GOOD AFTERNOON. THIS FIRST ITEM HERE IS THE SECOND AND FINAL OF AN ORDINANCE TO PASS THE PROPOSED BUDGET FOR THE FISCAL YEAR 2020 2021. I HAVE A PRESENTATION THAT WAS GONE OVER WITH COUNCIL LAST WEEK. I CAN GO OVER THE PRESENTATION AGAIN IF YOU WOULD LIKE. OTHERWISE I CAN ANSWER ANY QUESTIONS RELATED. I THINK IT WOULD BE GREAT TO GO THROUGH IT, HITTING AT LEAST THE HIGH POINTS. WE HAVE SOME VERY INTERESTED CITIZENS HERE TODAY. THEY MAY NOT HAVE SEEN THAT INFORMATION. I THINK IT'D BE GOOD TO GO. ALL RIGHT. OK, SO WE'RE STARTING WITH THE BUDGET HIGHLIGHT THIS BUDGET FOR FISCAL YEAR TWENTY TWENTY, TWENTY TWENTY ONE ADDRESSES SOME MAJOR POINTS. THE FIRST MAJOR POINT THAT IT ADDRESSES IS WE DID SEE SOME REVENUE CHALLENGES RELATED TO COVID-19. WE HAD A FEW OF OUR MAJOR REVENUE SOURCES THAT HAVE BEEN IMPACTED. AND SO WE ADJUSTED THOSE REVENUE SOURCES TO A REASONABLE LEVEL THAT WE FEEL CAN BE ACHIEVED EVEN DURING THIS COVID PANDEMIC. THE MAJOR REVENUE SOURCES ARE OUR HOTEL OCCUPANCY TAXES. WE HAVE SEEN THOSE IMPACTED OVER THE PAST SEVERAL MONTHS. WE ALSO HAVE SEEN OUR SALES TAX COME DOWN. IT'S BEEN VERY STRONG OVER THE LAST MONTH OR TWO, BUT OVERALL, IT WAS IMPACTED THIS PAST FISCAL YEAR. SO WE ADJUSTED THAT DOWN JUST SLIGHTLY IN ORDER TO SUSTAIN DURING THE COVID PANDEMIC. WE ALSO HAVE HAD IMPACT ON OUR MUNICIPAL COURT FEES, AND THAT'S SOMETHING THAT'S BEEN SEEN ACROSS THE STATE. COVID-19 IS ALSO HAD AN IMPACT ON THOSE. THERE'S NOT AS MANY CITATIONS THAT HAVE BEEN ISSUED. AND SO THOSE FEES, REVENUES ARE LOWER THAN WE PREVIOUSLY ANTICIPATED. AND THEN FINALLY, FRANCHISE FEES AS WELL HAD TO BE ADJUSTED DOWN RELATED TO IMPACT FROM COVID-19. BUT IT WAS MORE RELATED TO THE LOW FUEL FACTOR THAT WE ARE SEEING. WE'RE ALL EXPERIENCING LOWER FUEL PRICES, BUT IT DOES HAVE AN IMPACT ON OUR ELECTRICITY FRANCHISE FEE. SO LAURA, SOMEONE HAD MENTIONED WHERE DID THAT MONEY GO? IT NEVER CAME TO US BECAUSE THE REVENUE NEVER CAME IN. THAT IS CORRECT. BECAUSE THE DROP IN SALES TAX AND THE DROP IN HOTEL OCCUPANCY TAX. THAT IS CORRECT. OK, YES, THE CITY DID HAVE LOWER REVENUES IN THE CURRENT FISCAL YEAR THAN WHAT WAS BUDGETED. THAT IS CORRECT. SO THE NEXT ITEM ON THE SCREEN HERE IS THAT WE REESTABLISHED FUNDING FOR STREET REPAIRS. AS YOU'LL REMEMBER, WHAT WE'VE BEEN COMMUNICATING TO COUNCIL OVER THE PAST COUPLE OF MONTHS IS THAT WE DELAYED SOME CAPITAL PROJECTS JUST BECAUSE OF THE UNCERTAINTY OF THOSE REVENUE IMPACTS RELATED TO COVID-19. STREET R`EPAIRS WERE IMPACTED. WE DELAYED SOME OF THAT. WE HAVE REESTABLISHED THAT FUNDING FOR THE UPCOMING BUDGET YEAR. THE NEXT ITEM THERE IS WE HAVE INCREASED SOLID WASTE FUNDING FOR DUMPSTER REPLACEMENT AND REPAIRS, THAT IS SOMETHING WE HAVE HEARD FROM CITIZENS. THERE'S SOME CONCERNS THERE. SO WE WANTED TO MAKE SURE AND GET SOME ADDITIONAL FUNDING AVAILABLE TO ADDRESS THAT PROGRAM. ANOTHER ITEM ON THE BOTTOM LEFT OF THIS SCREEN IS WE DID NOT DECREASE ANY FUNDING TO OUR POLICE OR OUR FIRE DEPARTMENT, I BELIEVE IT WAS MENTIONED THAT WE DID HAVE HIRING FREEZES AND POLICE AND FIRE WERE IMPACTED IN THE CURRENT YEAR. ALL THOSE HIRING FREEZES HAVE BEEN REESTABLISHED. THE FUNDING'S BEEN REESTABLISHED IN THE NEW YEAR. AND THOSE DEPARTMENTS ARE ABLE TO START REHIRING THOSE POSITIONS THAT WERE HELD OPEN FOR A PERIOD OF TIME RELATED TO COVID. SO THE POLICE AND FIRE FUNDING HAD NO DECREASE AND THERE WAS ACTUALLY SOME INCREASES IN BOTH OF THOSE AREAS. AND THEN FINALLY, OUR PROPOSED BUDGET IN TOTAL FROM A CITY WIDE ASPECT, NOT JUST GENERAL FUND, BUT THE ENTIRE CITY TAKING INTO ACCOUNT OUR ENTERPRISE FUNDS, OUR SPECIAL REVENUE FUNDS, ALL OF THOSE AREAS. IN TOTAL, IT IS LESS THAN THE CURRENT YEAR'S BUDGET BY EIGHT POINT NINE MILLION. THE BULK OF THAT IMPACT IS IN OUR CAPITAL PROJECT AREA. AND SO WE DID HAVE LESS CAPITAL PROJECTS PROPOSED IN THE UPCOMING YEAR THAN WHAT WE DID IN THE CURRENT YEAR. AND SO THE OVERALL TOTAL BUDGET WAS ACTUALLY SLIGHTLY LOWER THAN WHAT IS IN THE CURRENT YEAR BUDGET. THE NEXT SLIDE HERE, AGAIN, JUST DOES A RECAP, SO THE CURRENT APPROVED BUDGET FOR NINETEEN TWENTY IS FOUR HUNDRED AND ONE POINT SIX MILLION DOLLARS. [00:20:05] AS I JUST MENTIONED, WE DECREASE THAT BUDGET BY EIGHT POINT NINE MILLION. SO OUR TOTAL PROPOSED BUDGET FOR THE ENTIRE CITY IS THREE HUNDRED AND NINETY TWO POINT SEVEN MILLION DOLLARS. AND SOMETHING TO NOTE, EVEN WITH THAT REDUCTION IN BUDGETED EXPENDITURES, WE HAVE NOT REDUCED ANY SERVICE LEVELS. ALL OF THE SERVICE LEVELS HAVE REMAINED STABLE IN THE UPCOMING BUDGET YEAR. THE NEXT SLIDE COVERS THE REVENUE RECAP, SO FOR THE CURRENT YEAR APPROVED BUDGET, IT IS THREE HUNDRED AND EIGHTY NINE POINT FIVE MILLION DOLLARS. AGAIN, THAT WAS OUR APPROVED BUDGET. AS YOU'RE ALL AWARE, THOSE REVENUES DID COME IN LOWER THAN THAT APPROVED BUDGET BECAUSE COVID CERTAINLY HAD AN IMPACT ON SOME OF OUR MAJOR REVENUE SOURCES. WE ACTUALLY LOWERED OUR REVENUE BY ABOUT TWO POINT NINE MILLION TO COME UP WITH OUR PROPOSED REVENUE FOR THIS UPCOMING YEAR AT THREE HUNDRED AND EIGHTY SIX POINT SIX MILLION DOLLARS. AND AS A REMINDER OF THOSE MAJOR FUNDING SOURCES, HOTEL OCCUPANCY TAXES, SALES TAX, MUNICIPAL COURT FEES, FRANCHISE FEES AND EVEN SOMETHING LIKE INTEREST INCOME. AS EVERYBODY KNOWS, INTEREST RATES ARE LOWER RELATED TO COVID-19. SO THOSE REVENUE SOURCES WERE ADJUSTED DOWN TO ACHIEVABLE LEVELS OR WHAT WE FEEL CAN BE ACHIEVABLE LEVELS FOR THIS UPCOMING YEAR. ON THE NEXT SLIDE, ALL THIS OUTLINES IS THE ACTIONS THAT ARE REQUIRED BY COUNCIL RELATED TO APPROVAL OF THE BUDGET. SO LAST WEEK ON TUESDAY, WE MET IN PERSON IN THIS ROOM AT 4:00 P.M. TO HAVE A PUBLIC HEARING AND ALSO TO DO THE FIRST READING OF THE ORDINANCE FOR THE PROPOSED BUDGET. TODAY, WE ARE LOOKING TO DO THE FINAL, THE SECOND AND FINAL READING OF THIS ORDINANCE AND FOR COUNCIL TO TAKE A VOTE ON APPROVING THE BUDGET. IF ANYONE WOULD LIKE ADDITIONAL INFORMATION ABOUT THIS BUDGET IS POSTED ON THE CITY'S WEBSITE. WE'VE GOT THE INFORMATION RIGHT THERE. IF YOU GO OUT TO AMARILLO.GOV, IT'S POSTED ON THE CITY'S WEBSITE. AND IT'S A VERY LENGTHY DOCUMENT. THERE'S LOTS OF INFORMATION IN THERE. ARE THERE ANY QUESTIONS I CAN ANSWER FOR COUNCIL? I DON'T THINK SO. THANK YOU, LAURA. WE REALLY APPRECIATE YOUR PRESENTATION. MAYOR, THERE WAS ONE INDIVIDUAL I DON'T THINK THAT WAS SIGNED UP THAT WANTED TO SPEAK. I DON'T KNOW IF YOU SAW THEM. OK. HOW DID YOU SEE THEM? I'M SORRY. SHE RAISED YOUR HAND. OH, OK, [INAUDIBLE] YOU CAN COME ON UP AND SPEAK, BUT JUST IN THE FUTURE, REMEMBER, YOU CAN SIGN UP ONLINE OR RIGHT BEFORE THE MEETING EVEN. YES, MA'AM. ALLOWED IN HERE TO GET THE PAPERS TO FILL OUT 15 MINUTES BEFOREHAND LIKE THE PAPERS [INAUDIBLE]. SO THAT'S WHY I DIDN'T FILL ONE OUT. THANK YOU, ELAINE, FOR NOTICING THAT I HAD MY HAND UP. OK. THANK YOU. A LOT OF PEOPLE COME HERE TODAY TALKING ABOUT THEIR BUSINESSES AND THE DIFFERENT IMPACTS THAT THE COVID IN THE TAXES AND ALL THE ISSUES THAT WE'RE DEALING WITH AFFECT. BUT I WANT TO TALK TO YOU ABOUT THE LITTLE GUY, THE PEONS, THE PEOPLE THAT Y'ALL ACT LIKE YOU DON'T CARE ABOUT OR REMEMBER HERE, BECAUSE YOU BUILD ON THE WEALTHY SIDE OF TOWN. YOU'RE BUILDING EXPENSIVE BUILDINGS THAT ONLY THE WEALTHY CAN AFFORD AND YOU'RE RAISING TRASH PRICES. YOU KNOW, IT'S GOING TO COST MORE FOR THE WATER BILL. YOU'RE GOING TO RAISE PROPERTY TAXES TO SOMEONE WHO MAKES MINIMUM WAGE THEY CANNOT AFFORD FIVE MORE DOLLARS ON THEIR WATER BILL. FIVE MORE DOLLARS ON THEIR WASTE PICKUP. AND HOWEVER MUCH THE LANDLORD'S GOING TO HAVE TO RAISE THEIR RENT BECAUSE THEIR PROPERTY TAXES WENT UP. THESE ARE UNINTENDED CONSEQUENCES THAT YOU ARE NOT CONSIDERING WHEN YOU LOOK AT HOW MUCH YOU RAISE THESE PRICES. THERE'S A LOT OF PEOPLE IN THIS TOWN THAT MAKE A LOW WAGE. AND I SUSPECT NONE OF YOU, NO DISRESPECT INTENDED, NONE OF YOU HAVE HAD TO STRUGGLE LIKE SOME OF THE REST OF US HAVE HAD TO STRUGGLE, AND YOU'RE BLIND TO THE DIFFICULTIES YOU'RE CAUSING PEOPLE WHO DON'T HAVE A LARGE SALARY. I DON'T HAVE SMALL CHILDREN ANYMORE, MINE ARE GROWN, BUT THERE ARE A LOT OF PEOPLE IN THIS TOWN THAT HAVE SMALL CHILDREN. AND THEY GOT TO BUY DIAPERS AND BABY FORMULA AND SCHOOL FEES, SCHOOL PICTURES. MEMENTOS THAT THEY COULD KEEP FOR A LIFETIME THAT THEY WON'T HAVE BECAUSE THEY GOT TO SPEND FIVE MORE DOLLARS ON THE WATER BILL. FIVE MORE DOLLARS ON THEIR TRASH PICKUP. OH, AND BY THE WAY, THE GROCERY PRICES HAVE GONE UP. MAYBE THEY DON'T QUALIFY FOR FOOD STAMPS. BECAUSE THEY'VE GOT A HUSBAND THAT WORKS TOO, BUT THEY BOTH MAKE MINIMUM WAGE AND THEIR RENT'S SEVEN HUNDRED DOLLARS. AND A WATER BILL, SIXTY BUCKS, WHICH MAY NOT SEEM LIKE TOO MUCH TO Y'ALL IF YOU WATER [00:25:05] YOUR LAWNS ALL YEAR LONG, BUT TO SOMEONE WHO CAN'T AFFORD TO WATER THEIR LAWN, THAT'S A LOT. AND THEN BABIES NEED FOOD AND EATING HEALTHY FOOD, YOU CAN'T FEED THEM MACARONI AND CHEESE EVERY DAY AND RAMEN NOODLES EVERY DAY JUST CAN'T. AND WHAT IF YOU DON'T WHAT IF YOU DON'T QUALIFY FOR MEDICAID? YOU KNOW, IF YOU HAVE KIDS, OK, MAYBE YOU DO QUALIFY FOR MEDICAID, BUT I DON'T. THIRTY SECONDS. I HAVE NO HEALTH CARE. SO WHEN YOU RAISE UP THE WATER BILL AND YOU RAISE UP THE TRASH PRICES, THAT'S A TRIP TO THE DOCTOR. BECAUSE MAYBE IT COST ME 80 BUCKS TO GO TO THE DOCTOR, BUT IF I SPENT 10 OF THAT ON MY WATER IN MY TRASH PICKUP, I CAN'T SEE MY DOCTOR OR BUY MY PRESCRIPTION. SO THINK ABOUT WHAT YOU'RE DOING. THERE'S A LOT OF LITTLE THINGS THAT ARE ADDED UP HERE JUST A LITTLE BIT. BUT YOU DON'T UNDERSTAND HOW THAT AFFECTS THE LITTLE PEOPLE. LITTLE PEOPLE, WE'RE NOT LITTLE. THERE'S A LOT OF US. THANK YOU. [APPLAUSE] OK. COUNSEL, DO WE HAVE A MOTION WITH REGARD TO ITEM ONE A? YES MAYOR. I MOVE TO ADOPT ORDINANCE NUMBER SEVENTY EIGHT EIGHTY THREE, ADOPTING THE BUDGET FOR THE FISCAL YEAR, OCTOBER 1ST, 2020, THROUGH SEPTEMBER 30TH TWENTY TWENTY ONE FOR THE CITY OF AMARILLO. SECOND. IT'S BEEN MOVED BY A COUNCIL MEMBER POWELL AND SECONDED BY COUNCIL MEMBER SMITH TO APPROVE ORDINANCE NUMBER SEVENTY EIGHT EIGHTY THREE. ANY COMMENTS, DISCUSSIONS OR QUESTIONS FROM THE COUNCIL BEFORE WE TAKE A VOTE? MAYOR, I HAD A RESPONSE TO ONE OF THE PREVIOUS COMMENTS AND JUST THE CONVERSATION ABOUT WHAT HAPPENS TO REVENUES, THAT DIDN'T END UP NOT BEING SPENT THROUGHOUT THE YEAR. AND JUST A REMINDER ON THE BUDGET PROCESS, IT'S PROJECTIONS, IT'S ESTIMATES. AND SO WE BEGIN WITH TRYING TO PROJECT WHAT REVENUES ARE GOING TO COME INTO THE CITY THROUGHOUT THE YEAR. AND THEN YOU PROJECT YOUR ESTIMATED EXPENSES AS WELL. AND NUMEROUS TIMES ON ANY GIVEN BUDGET, WHETHER IT'S THE CITY OF BUSINESS OR YOUR INDIVIDUAL, YOU HAVE TO MAKE ADJUSTMENTS BASED ON REALITY, NOT JUST ESTIMATES. AND THAT'S ABSOLUTELY WHAT HAPPENED THIS YEAR TO A MUCH MORE DRAMATIC STATE THAN WE NORMALLY HAVE. YOU'RE GOING TO SEE ADJUSTMENTS, PRETTY MUCH ANY BUDGET THROUGHOUT THE YEAR. BUT WITH COVID, THERE WAS A DRASTIC REDUCTION AND SO IMMEDIATE ACTIONS WERE TAKEN TO NOT PUT THE CITY IN A FINANCIAL POSITION TO BE UPSIDE DOWN. AND SO I JUST WANTED TO ADDRESS THAT PARTICULAR POINT, THAT IT'S NOT FUNDED IN ARREARS. WE DON'T HAVE DOLLARS THAT WHEN WE ARE MAKING THIS BUDGET RIGHT NOW, WE DON'T HAVE A CASH STOCK OF DOLLARS TO THEN FUND ALL OF OUR SERVICES AND NEEDS THIS NEXT YEAR. THOSE DOLLARS WERE ALLOCATED LAST YEAR. THIS IS A GOING FORWARD, FORWARD LOOKING BUDGET FROM THIS DAY FORWARD. SO ACTUALLY. THANK YOU, I APPRECIATE THAT. I KNOW SOMEONE COMMENTED, WELL, YOU HAD THE PROPERTY TAX REVENUES COMING IN AND THAT'S TRUE, BUT WE'RE UNIQUE FOR A CITY. WHEN YOU COMPARE US TO OTHER CITIES IN THE STATE OF TEXAS, AN UNUSUALLY HIGH PORTION OF OUR CITY REVENUE DOES COME FROM SALES TAX. SO WHEN WE HAVE A REDUCTION IN OUR SPENDING OR OUR SPENDING HABITS CHANGE DRASTICALLY AS A RESULT OF THE PANDEMIC, THAT DOES LIMIT THE AMOUNT OF REVENUE THAT'S COMING IN. WE DO STILL HAVE THE PROPERTY TAX REVENUE. THAT'S WHY WHEN YOU CALLED NINE ONE ONE, THEY STILL ANSWERED AND OUR POLICE DEPARTMENT WAS STILL WORKING AND THE CITY DIDN'T GO INTO A COMPLETE SHUTDOWN BECAUSE WE HAD THE BASE OF REVENUE FROM OUR PROPERTY TAX REVENUE. BUT THAT SALES TAX REVENUE WASN'T THERE AND THE HOTEL OCCUPANCY TAX REVENUE WASN'T THERE TO SUPPORT SOME OF THE. MAYBE I DON'T KNOW WHAT THE RIGHT WORD IS FOR THEM. THEY'RE ALL ESSENTIAL, BUT FOR, FOR INSTANCE, OPENING THE SWIMMING POOLS, MOWING THE PARKS, WE HAD TO MAKE SOME CHANGES IN ORDER TO PREPARE FOR WHAT WE THOUGHT MIGHT BE A WORST CASE SCENARIO FROM THE BUDGET POINT OF VIEW. AND THANKFULLY, IT HASN'T BEEN AS BAD AS WE THOUGHT IT WAS GOING TO BE. AND THERE WAS ONE OTHER POINT THAT FALLS UNDER THE BUDGET, AND IT WAS A QUESTION RELATED TO COVID RELIEF DOLLARS BEING REDIRECTED TO BUSINESSES TO HELP LOCAL BUSINESSES, AND WE ABSOLUTELY ARE VERY INVOLVED WITH DOING THAT. COUNCIL MEMBER SAUER AND OUR DEVELOPMENT DIRECTOR, ANDREW FREEMAN, CREATED LOOKING THROUGH OPPORTUNITIES OF HOW WE COULD USE THE REQUIREMENTS FROM THE FEDERAL GOVERNMENT IN THE STATE TO ACTUALLY HELP OUR LOCAL BUSINESSES. ONE OF THE THINGS BECAUSE OF THE SIZE OF OUR COMMUNITY, BECAUSE WE ARE UNDER 200000 IN [00:30:04] OUR OFFICIAL CENSUS, THERE ARE FEDERAL DOLLARS DID NOT COME DIRECTLY TO THE CITY. THEY WENT TO THE STATE. THEY WENT TO AUSTIN. AND SO FOR US TO ACTUALLY COLLECT THOSE DOLLARS, WE HAVE TO SUBMIT ACTUAL RECEIPTS AND INVOICES THAT OF EXPENSES THAT WE AS A CITY HAD DIRECTLY RELATED TO COVID-19. IT DOES NOT REPLACE REVENUE. IT ONLY REIMBURSES US FOR OUR EXPENSES. BUT WE LOOKED AT A METHOD TO WORK WITHIN THEIR REQUIREMENTS TO ALSO MAKE THAT APPLICABLE TO BUSINESSES IF THEY HAD SPENT THINGS TO KEEP THEIR BUSINESS OPERATING, NEW INVENTORY, PPE, MASKS, ALL KINDS OF DIFFERENT REQUIREMENTS, IF THOSE QUALIFIED, THAT THEY COULD ACTUALLY GET CASH REIMBURSEMENTS. AND SO WE HAVE BEEN VERY PROACTIVE AS AS A CITY AND LEADERSHIP WORKING WITH GETTING DOLLARS BACK FROM THE STATE. WE WERE ALLOTTED 11 MILLION DOLLARS THROUGH THE CARERS ACT THAT WENT STRAIGHT TO AUSTIN. AND IF WE DON'T FIND A WAY TO SPEND IT, AUSTIN KEEPS IT. SO I FEEL LIKE THAT'S AMARILLO'S WAS MONEY THAT AUSTIN IS HOLDING FOR US. AND WE HAVE WORKED VERY HARD TO FIND THOSE PROGRAMS THAT QUALIFY WITHIN THOSE CARES ACT FUNDING PROGRAMS SO THAT AUSTIN'S NOT HOLDING AMARILLO'S MONEY. PEOPLE WHO LIVE IN AMARILLO ARE SMALL BUSINESS OWNERS, PEOPLE WHO, IF YOU'VE GOTTEN A FREE COVID TEST, YOU ARE A BENEFIT, A BENEFICIARY OF THOSE DOLLARS. THERE'S BEEN A LOT OF PROGRAMS PUT IN PLACE FOR THAT. BUT COUNCIL MEMBER SAUER, HOW MANY HUNDREDS OF THOUSANDS OF DOLLARS HAVE GONE THROUGH THOSE SMALL BUSINESS? I HAD A SMALL BUSINESS OWNER JUST THIS MORNING TELL ME HOW HELPFUL THE CITY GRANT PROGRAM WAS FOR HIS BUSINESS. AND HE THANKED US FOR THAT. SO, YEAH, AND I'VE HEARD THAT ALSO. SO WE HAD TWO PROGRAMS RIGHT OFF THE BAT. THE COMMUNITY BLOCK GRANT HAS ANOTHER ONE THAT'S AVAILABLE, BUT NOBODY HAS ACTUALLY PLACED AN APPLICATION. AND SO FOR THOSE BUSINESSES WHO ARE EMPLOYING OR UNDER SERVED GROUP OF PEOPLE, THEN THEY NEED TO ACTUALLY LOOK THAT OUT BECAUSE THAT'S A POSSIBILITY. BUT ON THE TWO THAT WE HAD, WE HAD A PPE REIMBURSEMENT FUND. AND SO THE WAY THAT THAT WORKS WOULD BE BUSINESSES WOULD JUST BRING THEIR RECEIPTS TO THE CITY. WE HAD VERIFIED THE RECEIPTS AND THEN WE WOULD CUT THEM A CHECK BACK FOR THAT. AND SO THAT IS OPEN FROM MARCH THE 1ST TO DECEMBER THE THIRTY FIRST. SO THAT IS NOT ACTUALLY CLOSED YET. IT'S STILL BEING FUNDED. SO IF YOU HAVE RECEIPTS THAT YOU HAVE SPENT ON PPE FOR ANY OF THOSE KIND OF THINGS COVID RELATED, IT IS STILL OPEN FOR YOU. SO UP TO THIS POINT IN TIME, WE HAVE SPENT ABOUT ONE HUNDRED AND FIFTEEN THOUSAND DOLLARS OR WE'VE MADE ONE HUNDRED AND FIFTEEN THOUSAND DOLLARS IN REIMBURSEMENT PAYMENTS TO DIFFERENT BUSINESSES IN TOWN. THEN WE ALSO HAD ANOTHER ONE, A CORONA RELIEF FUND GRANT WHERE YOU COULD, YOU PRESENTED YOUR APPLICATION AND IT WAS FOR UP TO TEN, A TEN THOUSAND DOLLARS GRANT. SO AS OF TODAY, WE HAVE ACTUALLY WE HAD TWENTY FIVE PERCENT OF TWO POINT TWO MILLION, WHICH WAS WHAT THE STATE HAS GONE AHEAD AND SENT TO US. AND WE COULD TAKE TWENTY FIVE PERCENT OF THAT AND WE COULD ACTUALLY THEN USE IT TO HELP SMALL BUSINESSES, WHICH IS WHAT WE HAVE DONE. AND SO AT THIS POINT IN TIME, WE HAVE AWARDED, I BELIEVE IS ANDREW HERE? I'M ALMOST POSITIVE I DIDN'T LOOK AT WHAT THIS MORNING. THAT CORNER, IT WAS FIVE HUNDRED AND FIFTEEN THOUSAND SO FAR, I BELIEVE IS WHAT WE HAVE ALLOTTED AND HAVE SPENT. NOT EVERYBODY HAS REQUESTED THE FULL TEN THOUSAND DOLLARS. SOME HAVE REQUESTED THREE, FIVE, SEVEN, EIGHT. BUT WE'VE HAD FIVE HUNDRED AND FIFTEEN THOUSAND DOLLARS THAT HAS BEEN SPENT. SO THERE IS STILL THIRTY FIVE THOUSAND DOLLARS AVAILABLE. WE'LL MEET ONE MORE TIME A WEEK FROM THIS FRIDAY. AND SO WE'VE GOT SEVERAL APPLICATIONS COMING IN. SO AGAIN, THAT'S A POSSIBILITY THAT IF YOU NEED, IF YOU WANT TO APPLY FOR THAT GRANT, THAT'S UP TO TEN THOUSAND DOLLAR GRANT THAT'S AVAILABLE. SO IF WE TAKE THAT FIVE HUNDRED AND THIRTY FIVE AND ONE HUNDRED AND FIFTEEN THOUSAND THAT MAKES IT CURRENTLY WE HAVE WE'VE GIVEN BACK TO THE COMMUNITY AT SIX HUNDRED AND FIFTY SIX HUNDRED AND FORTY FIVE THOUSAND DOLLARS SO FAR TO THIS POINT IN TIME. SO THAT HAS COME INTO US AND WE'VE TURNED RIGHT AROUND AND GIVEN THAT BACK TO THE BUSINESSES HERE IN THE COMMUNITY TO HELP THEM OUT. ANYBODY ELSE? NOW I JUST WANT TO MENTION THAT OUR ECONOMIC DEVELOPMENT CORPORATION ALSO REACHED OUT TO SEVERAL DIFFERENT SMALL BUSINESSES, PROBABLY TO THE TUNE OF AT LEAST TWO HUNDRED PLUS TO [00:35:04] SEE WHAT THEY COULD HELP WITH THE COVID RELIEF FUNDING AS WELL. AND AS FOR THE AIRPORT IMPROVEMENTS AND THE BUS PURCHASES, THOSE WERE DOLLARS IDENTIFIED THROUGH THE CARES ACT SPECIFICALLY FOR THOSE PROGRAMS, WE COULD RECEIVE DOLLARS FROM THE FEDERAL GOVERNMENT IF WE MADE THOSE PURCHASES OR THOSE TYPES OF IMPROVEMENTS. SO IT'S NOT LIKE THOSE CAME OUT OF YOU COULD GIVE A FREE COVID TEST OR BUY A NEW BUS. NO, THOSE WERE SEPARATE. AND THE FEDERAL GOVERNMENT IDENTIFIED THESE FUNDS TO GO TOWARD TRANSPORTATION PROGRAMS. SO I THINK THERE WAS A QUESTION, TOO, ABOUT WHAT DID WE DO WITH THE DOLLARS THAT WERE BUDGETED FOR THE BUS PURCHASES? I MIGHT THROW THAT BACK TO THE CITY MANAGER. WELL, THE MONEY THAT WAS FOR THE BUSES PREVIOUSLY IS GOING INTO OPERATING FUNDS FOR THE TRANSIT DEPARTMENT. IT'S ALSO GOING TO BE USED ON FACILITY MODIFICATIONS FOR TRANSIT. SO THERE'S A NUMBER OF PROJECTS THAT THOSE MONEYS ARE GOING TO BE SPENT ON AND THEY'RE ALL GOING TO BE SPENT ON TRANSIT RELATED EXPENSES. SO IT'S GOING BACK TO FUND CITY TRANSIT PROGRAMS, WHETHER THAT'S FACILITIES OR OTHER NEEDS WITHIN THAT DEPARTMENT. OTHER THINGS THAT WERE UNFUNDED ARE NOW BEING FUNDED BY THOSE DEPARTMENT FUNDS. OK, ANYTHING ELSE COUNSIL? COUNCIL MEMBER SMITH? BUT I'D LIKE TO SAY I SUPPORT THE BUDGET THAT'S BEEN PROPOSED. AND THE COUNCIL SPENT TWO WHOLE DAYS REVIEWING THE BUDGET THAT WAS PROPOSED TO THE STAFF AND THEN WORKING ON THAT FOR WEEKS AND MONTHS. AND WE ASKED A LOT OF QUESTIONS, SO I WOULDN'T HAVE SECONDED THE MOTION IF I WASN'T IN FAVOR OF IT, SO I'M IN FAVOR OF IT. THANK YOU. SOMEONE ELSE HAD MENTIONED ALSO ABOUT THOMPSON PARK. THAT IS PART OF THIS BUDGET AND THERE WAS A QUESTION ABOUT IF THE PROJECT IS BUDGETED EIGHT MILLION, WE'RE ONLY SPENDING SIX ON ACTUALLY BUILDING THE PROJECT, WHERE DID THE OTHER TWO MILLION GO? JARED? WELL, THAT SIX POINT TWO MILLION THAT WAS ON THE PROPOSAL THAT WAS APPROVED BY COUNCIL WAS THE INITIAL CONSTRUCTION CONTRACT. THERE ARE SOME PARTS OF THE COMPONENTS OF THAT PROJECT THAT HAVE NOT BEEN BID OUT YET. SO THERE'S AT THIS POINT, WE DON'T HAVE LEFTOVER FUNDS THAT WE WERE AWARE OF UNTIL WE KNOW AND IDENTIFY THE FINAL COMPONENTS OF THE PROJECT. SO WHAT WE SAID IS THE BUDGET IS EIGHT MILLION AND WE'VE LAID IT OUT FOR CONSTRUCTION AT SIX POINT TWO. BUT NOT INCLUDED IN THAT CONSTRUCTION CONTRACT IS THE DEMOLITION OF THE PROPERTY, THE DESIGN OF THE PROPERTY. SO THERE ARE OTHER BIG PORTIONS OF THAT PROJECT. WE WANT TO MAKE SURE WE DON'T OVERSPEND THAT EIGHT DOLLARS MILLION BUDGET. SO WE'RE ACTUALLY BUILDING UNDER IT. BUT THE FUNDS THAT WERE ISSUED FOR IT ARE BEING SPENT ON OTHER PIECES OF THAT PROJECT. JUST NOT PART OF THE CONSTRUCTION CONTRACT. IS THAT? ONCE WE FULLY UNDERSTAND THE TOTAL COST OF THE PROJECT AND THE COMPLETE ALL OF THE PROJECTS ARE GOING TO BE IN FRONT OF YOU FOR APPROVAL FROM THE COUNCIL FOR APPROVAL. WE WILL HAVE THE OPPORTUNITY AT THAT POINT TO RETIRE ANY ANY RESIDUAL DEBT ASSOCIATED WITH THAT. YES, COUNCIL MEMBER HAYES? AND THEN I HAD ONE OTHER STATEMENT THAT I WANTED TO RESPOND TO, AND IT WAS JUST THE CONCERN ON THE DIFFERENT RATE INCREASES AND THE NICKEL AND DIMING OF A LOT OF THE OF THE EXTRA COSTS. AND, YOU KNOW, IT IS A CONCERN. THAT IT IS CONCERNING AND HAS BEEN A POINT OF CONVERSATION. ONE OF THE THINGS THAT THIS COUNCIL HAS LOOKED AT IS COST RECOVERY PER DEPARTMENT. AND IT ACTUALLY WAS STARTED WITH THE PRIOR COUNCIL. THERE ARE SOME OF THOSE RATE INCREASES THAT BEGAN WITH THE LAST COUNCIL, BUT WE HAVE CONTINUED THEM WHERE IT WAS A CERTAIN PERCENTAGE THAT WE WERE 20 PERCENT UNDER COST RECOVERY. AND INSTEAD OF LOOKING AT ONE 20 PERCENT INCREASE IN RATES ONE YEAR, THAT IT WAS DETERMINED TO STAGGER THAT AND DO SMALLER RATE INCREASES OVER A PREDETERMINED AMOUNT OF TIME. AND SO, AS I SAY, A PREVIOUS COUNCIL BEGAN SOME OF THOSE. HAD THE NEXT ONE IN THE WORKS, WHICH WE FOLLOWED THROUGH WITH, AND WE HAVE CONTINUED THOSE INCREASES. IT'S NOT AN INDEFINITE BUT IT IS TRYING TO GET TO THAT COST RECOVERY. BUT CERTAINLY WE HEAR YOUR CONCERN AND KNOW THAT IT IS EXPENSIVE AND ALL THOSE NICKELS AND DIMES DO ADD UP. BY COST RECOVERY, WE USE THAT TERM A LOT, BUT WHAT WE MEAN IS THE PEOPLE WHO ARE USING THE SERVICE ARE THE PEOPLE WHO ARE CARRYING THE COST OF THE SERVICE. SO JUST BECAUSE YOU LIVE IN THE CITY, IF YOU AREN'T USING THAT SERVICE, THEN WE'RE TRYING TO GET TO A PLACE WHERE YOU'RE NOT AS A RESIDENT COVERING THE COST OF IT. BUT IT TAKES ANALYZING EVERY YEAR WHAT THOSE COSTS ARE AND BACKING OUT, MAKING SURE THAT WE ARE HAVING THE USERS PAYING WHAT IT ACTUALLY COSTS TO PROVIDE THAT SERVICE. [00:40:08] OK, WE HAVE A MOTION ON THE TABLE THEN TO APPROVE ORDINANCE NUMBER SEVENTY EIGHT, EIGHTY THREE AT THIS TIME, WE'LL VOTE ON THAT ORDINANCE. ALL OF THOSE IN FAVOR. PLEASE RAISE YOUR HAND. THAT MOTION PASSES WITH A FIVE ZERO VOTE. [1B. CONSIDERATION OF ORDINANCE NO. 7884] THE NEXT ITEM ON OUR AGENDA IS THE CONSIDERATION OF ORDINANCE NUMBER SEVENTY EIGHT EIGHTY FOUR, MR. CITY MANAGER? RIGHT. AGAIN TO PRESENT THE ITEM, WE HAVE ASSISTANT CITY MANAGER AND CHIEF FINANCIAL OFFICER LAURA STORRS. LAURA, I THINK THE SAME THING ON THIS PRESENTATION. ALL RIGHT, SO WE WILL GO THROUGH THE SAME INFORMATION THAT WE DID LAST WEEK. AND PLEASE STOP ME AT ANY POINT IF YOU HAVE A QUESTION, OR WE CAN COVER IT AT THE END. SO, FIRST OFF, RELATED TO PROPERTY TAXES, THERE WAS A BIG CHANGE IN THIS UPCOMING BUDGET YEAR THAT WE HAD TO ACCOUNT FOR, AND THAT WAS THAT THERE IS A NEW TAX LAW THAT IS IN EFFECT, IT IS SENATE BILL TWO. THERE WERE SEVERAL CHANGES THAT WERE MADE BECAUSE A SENATE BILL TWO. THE FIRST ONE IS THERE WERE A LOT OF THE WORDING CHANGES. THEY WERE WORKING REALLY DILIGENTLY TO TRY TO MAKE SOME OF THIS A LITTLE BIT EASIER TO UNDERSTAND. SO THE FIRST ITEM ON THIS IS THE EFFECTIVE TAX RATE. WE'VE TALKED A LOT ABOUT THAT OVER THE YEARS. THAT TERM NOW IS REFERRED TO AS THE NO NEW REVENUE TAX RATE. AND ESSENTIALLY WHAT THAT IS, IS IT ALLOWS A TAXING ENTITY TO PRODUCE THE SAME TAX REVENUE ON OPERATIONS AND MAINTENANCE AS THEY DID IN THE PRIOR YEAR USING CURRENT YEAR VALUES. THE NEXT ITEM DOWN IS IT WAS PREVIOUSLY REFERRED TO AS A ROLLBACK TAX RATE. AND NOW SENATE BILL TWO HAS CHANGED THAT WORDING TO A VOTER APPROVAL TAX RATE. WHAT THAT ALLOWS FOR IS FOR THE OPERATIONS AND MAINTENANCE PORTION OF THE TAX RATE TO INCREASE UP TO THREE AND A HALF PERCENT OVER THE PRIOR YEARS. OPERATING AND MAINTENANCE RATE. IF A TAX RATE IS APPROVED THAT IS ABOVE THIS VOTER APPROVAL TAX RATE. IT AUTOMATICALLY REQUIRES A MANDATORY ELECTION. AND THAT'S THE NEXT ONE DOWN RIGHT THERE FOR YOU. SO THAT WOULD BE A REQUIREMENT. IT WOULD HAVE TO GO ON THE NOVEMBER ELECTION DATE IF COUNCIL WERE TO APPROVE SOMETHING ABOVE THE VOTER APPROVAL TAX RATE. SENATE BILL TWO ALSO NOW REQUIRES ONE PUBLIC HEARING ON THE PROPERTY TAX INSTEAD OF TWO. PREVIOUSLY, WE'VE ALWAYS DONE TWO PUBLIC HEARINGS. THIS YEAR AND GOING FORWARD, SENATE BILL ONLY SENATE BILL TWO ONLY REQUIRES ONE PUBLIC HEARING. AND THEN THERE ARE SEVERAL NEW NOTICES THAT ARE OUT NOW THAT ARE REQUIRED BY SENATE BILL TWO TO TRY TO HELP TAXPAYERS UNDERSTAND THE TAX INFORMATION. AND THOSE ARE POSTED OUT ON THE CITY'S WEBSITE AT AMARILLO.GOV. THE NEXT SLIDE HERE IS JUST A COMPARISON BETWEEN THE 2019 RATE AND THE 2020 RATES, SO AGAIN, IN TWENTY NINETEEN IT WAS REFERRED TO AS AN EFFECTIVE TAX RATE AND THAT EFFECTIVE TAX RATE FOR 2019 WAS POINT THREE SIX ONE NINE EIGHT. THAT SAME RATE FOR TWENTY TWENTY IS NOW REFERRED TO IS A NO NEW REVENUE TAX RATE. AND FOR 2020 THAT RATE IS POINT THREE EIGHT ZERO SEVEN ZERO. THE NEXT ITEM DOWN IS THAT ROLLBACK TAX RATE, SO PREVIOUSLY A TAXING ENTITY COULD APPROVE A TAX RATE UP TO A ROLLBACK TAX RATE WITHOUT ANY FURTHER ACTION. IF IT WENT ABOVE THE ROLLBACK TAX RATE, IT ALLOWED A CITIZEN TO PETITION TO PUT IT ON AN ELECTION. AND THAT ROLL BACK TAX RATE ALLOWED FOR AN EIGHT PERCENT INCREASE OVER THE PRIOR YEAR. NOW, THAT IS A VOTER APPROVAL TAX RATE AND AGAIN, IT ALLOWS FOR A THREE AND A HALF PERCENT INCREASE INSTEAD OF THE EIGHT PERCENT. AND IT'S A MANDATORY ELECTION. IF IT GOES ABOVE THAT THREE AND A HALF PERCENT. THE ROLL BACK TAX RATE IN 2019 WAS POINT FOUR ONE ZERO TWO ONE. THE 2020 VOTER APPROVAL TAX RATE IS POINT FOUR ONE FIVE EIGHT SIX, AND THAT LAST LINE THERE GOES OVER WHAT WAS WHAT'S THE APPROVED TAX RATE FOR THE CURRENT YEAR TWENTY NINETEEN AND WHAT THE PROPOSED TAX RATE IS FOR THIS UPCOMING YEAR TWENTY TWENTY. THE CURRENT APPROVED TAX RATE IS POINT THREE EIGHT EIGHT FIVE ONE. AND YOU CAN SEE THAT THAT FALLS BETWEEN THAT EFFECTIVE TAX RATE IN THAT ROLL BACK TAX RATE FOR TWENTY NINETEEN. THE PROPOSED TAX RATE FOR TWENTY TWENTY IS POINT THREE NINE SIX EIGHT ONE. AND AGAIN, IT IS HIGHER THAN THAT NO NEW REVENUE TAX RATE, BUT IT IS LOWER THAN THE VOTER APPROVAL TAX RATE. SO THE NEXT SLIDE HERE KIND OF WALKS THROUGH WHY WE PROPOSED A TAX RATE GREATER THAN THE [00:45:03] NO NEW REVENUE TAX RATE. SO AGAIN, THE NO NEW REVENUE TAX RATE DOES NOT ALLOW FOR TAXING ENTITY TO CAPTURE REVENUE DOLLARS ASSOCIATED WITH THE GROWTH IN APPRAISED VALUES. IT ALSO DOES NOT ALLOW A TAXING ENTITY TO CAPTURE THE REVENUE ASSOCIATED WITH NEW PROPERTIES THAT HAVE COME ON THE TAX ROLL. SO IF WE WERE TO PROPOSE TO USE THAT NO NEW REVENUE TAX RATE INSTEAD OF THE PROPOSED TAX RATE, THAT IS A ONE POINT EIGHT DOLLARS MILLION DIFFERENCE BETWEEN THOSE TWO NUMBERS. SO WHAT THAT MEANS IS WE WOULD HAVE TO START LOOKING IN THE BUDGET, IN THE GENERAL FUND TO CUT BACK ONE POINT EIGHT MILLION DOLLARS IF WE WERE TO PROPOSE USING THAT NO NEW TAX RATE. WHAT ONE POINT EIGHT MILLION WOULD LOOK LIKE IS IT COULD LOOK LIKE ALL SORTS OF THINGS. BUT JUST TO PUT IT IN PERSPECTIVE, ONE POINT EIGHT MILLION DOLLARS FUNDS TWENTY FOUR POLICE OFFICER POSITIONS OR ONE POINT EIGHT MILLION DOLLARS ALSO CAN FUND TWO FIRE TRUCKS OR ONE POINT EIGHT MILLION CAN FUND TWENTY FIVE LANE MILES OF RESURFACING. AND THEN FINALLY, ONE POINT EIGHT MILLION COULD ALSO FUND TWENTY NINE THOUSAND FIVE HUNDRED AND EIGHT POTHOLE REPAIRS. SO JUST TO KIND OF PUT IT IN PERSPECTIVE OF THE AMOUNTS THAT WE WOULD HAVE TO CUT BACK OF OUR GENERAL FUND BUDGET IN ORDER TO USE A NO NEW REVENUE TAX RATE. THE NEXT SLIDE HERE GOES THROUGH THE VARIOUS ELEMENTS OF A PROPERTY TAX RATE. THERE'S TWO PORTIONS OF YOUR PROPERTY TAX RATE. THE FIRST ONE IS FOR OPERATIONS AND MAINTENANCE, AND THAT FUNDS THE ONGOING OPERATIONS OF YOUR GENERAL FUND OPERATIONS. YOU CAN SEE THAT IN TWENTY NINETEEN AND TWENTY TWENTY, WE ARE PROPOSING TO KEEP THOSE RATES FLAT. WE ARE PROPOSING NO CHANGE. THE O AND M RATE WOULD BE POINT THREE FOUR FOUR FOUR EIGHT, BOTH YEARS, NO CHANGE. THE OTHER PORTION OF THE TAX RATE IS RELATED TO INTEREST AND SINKING THAT PAYS THE DEBT SERVICE ON ANY DEBT ISSUANCE THE CITY HAS AUTHORIZED THAT IS BACKED BY PROPERTY TAX DOLLARS. SO WE ARE PROPOSING TO CHANGE THE INTEREST IN SEEKING RIGHT FROM POINT ZERO FOUR FOUR ZERO THREE TWO POINT ZERO FIVE TWO THREE THREE, THERE'S THREE ELEMENTS THAT MAKE UP THAT CHANGE. THERE WERE THREE DEAD ISSUANCES THIS PAST YEAR THAT WERE AUTHORIZED BY COUNCIL THAT PLAY INTO THIS INCREASE NEEDED TO FUND THOSE DEBT ISSUANCES. THE FIRST ONE IS RELATED TO TWENTY SIXTEEN VOTER APPROVED BONDS THAT WERE RELATED TO PROPOSITION TWO TO FUND PUBLIC SAFETY PURPOSES. THE SECOND ONE WAS RELATED TO THE THOMPSON POOL DEBT ISSUANCE, AND THE FINAL ONE IS RELATED TO THE TAX NOTES THAT WERE APPROVED TO PAY FOR THE SOUTH JOHNSON PROPERTY PURCHASE. AND THOSE THREE ELEMENTS MADE UP THE CHANGE AGAIN, THEIR TOTAL TAX RATE IN TWENTY NINETEEN THE CURRENT YEAR IS POINT THREE EIGHT EIGHT FIVE ONE. AND WE ARE PROPOSING TAKING THAT UP TWO POINT THREE NINE SIX EIGHT ONE. THAT'S A CHANGE OF POINT ZERO ZERO EIGHT THREE. SO A LITTLE LESS THAN A PENNY. WHAT THAT TRANSLATES TO FOR A PROPERTY TAX PAYER, IT IN IT'S ABOUT EIGHT DOLLARS AND 30 CENTS PER YEAR ON ONE HUNDRED THOUSAND DOLLAR VALUE PROPERTY. I CALCULATE THAT IS SIXTY NINE CENTS A MONTH. THAT SOUNDS ABOUT RIGHT. YES. THE NEXT SLIDE HERE. OH, I'M SORRY. YES, MA'AM. LAURA, I WAS JUST GOING TO ASK. OK, SO OUR BUDGET WAS DOWN APPROXIMATELY, WAS IT EIGHT POINT NINE MILLION AND THAT'S COMING OUT OF THE CAPITAL. YES. BUDGET. IS THAT RIGHT? THAT IS CORRECT. AND THAT IS NOT GENERAL FUND. THAT'S NOT IN THE GENERAL FUND. EXACTLY. AND THAT IS NOT AFFECTED BY PROPERTY TAX. THANK YOU. YES, MA'AM. THIS NEXT SLIDE HERE IS WE LIKE TO KIND OF LOOK AT THE CITIES OF AMARILLO'S PROPOSED TAX RATE IN COMPARISON WITH OTHER CITIES IN THE STATE OF TEXAS, IT'S JUST A GOOD WAY TO KIND OF BENCHMARK WHERE WE'RE AT IN THE STATE. WHAT WE DID ON THE NEXT COUPLE OF SLIDES IS WE TOOK THE 10 CITIES THAT ARE DIRECTLY LARGER THAN US IN POPULATION AND THE 10 CITIES THAT ARE DIRECTLY SMALLER THAN US IN POPULATION. AND WE LOOKED AT THEIR APPROVED 2019 RATES AND COMPARED IT TO THE CITIES PROPOSED 2020 PROPERTY TAX RATE. THIS SLIDE HERE, AND I RECOGNIZE IT'S A LITTLE BIT BUSY AND IT MAY BE HARD FOR THEM TO SEE IN THE BACK, BUT I'LL WALK YOU THROUGH WHAT THIS INFORMATION STATES. AMARILLO IS IN THE VERY MIDDLE THERE ON THE ON THE GREEN BAR. THE 10 CITIES ON THE LEFT ARE THE 10 CITIES DIRECTLY LARGER THAN AMARILLO IN THE STATE OF [00:50:04] TEXAS, BASED ON POPULATION, THE 10 ON THE RIGHT ARE THE 10 CITIES SMALLER BASED ON POPULATION THAN AMARILLO. WHAT WE HAVE, THE BARS REPRESENT THE TAX RATE, AND THERE'S AN ORANGE LINE THAT STARTS UP HIGH AND KIND OF TRAILS DOWN AND FLATTENS OFF. THAT'S THE POPULATION BEING GRAPH. SO WHAT THIS GRAPH SHOWS US IS THAT AMARILLO PROPOSED 2020 RATE IS ONE OF THE LOWEST RATES IN THE COMPARISON OF THESE 21 CITIES. THE ONLY LOWER RATE THAN THE CITY OF AMARILLO IS IN MIDLAND AND MIDLAND'S TWENTY NINETEEN RATE WAS POINT THREE NINE TWO TWO. THAT IS THE ONLY LOWER RATE THAN WHAT IS PROPOSED IN AMARILLO FOR THIS UPCOMING YEAR, THE AVERAGE OF THESE 20 I'M SORRY, THESE TWENTY ONE CITIES IS ALMOST IT'S A LITTLE OVER 60 CENTS. SO THE CITY'S PROPOSED TAX RATE IS, AGAIN, POINT THREE NINE SIX EIGHT ONE. AND THE AVERAGE OF THESE TWENTY ONE CITIES IS 60 CENTS. AND THAT WAS BASED ON THEIR TWENTY NINETEEN APPROVED RATES. THE NEXT SLIDE HERE IS ONE OTHER WAY TO KIND OF LOOK AT A COMPARISON OF AMARILLO TO THESE SAME OTHER 20 CITIES IS THE SAME 20 CITIES WE JUST TALKED ABOUT 10 LARGER, 10 SMALLER. WHAT WE HAVE GRAPHED OUT HERE IS WE TOOK THE APPRAISED VALUES THAT IS TAXABLE APPRAISED VALUES OF THESE TWENTY ONE CITIES. AND WE APPLIED IT TO THEIR APPROVED 2019 RATE AND THEN DIVIDED IT BY THEIR POPULATION. SO IN AMARILLO, WE TOOK OUR TOTAL TAXABLE VALUES, WHICH IS MADE UP OF THE APPRAISED VALUES TIMES OUR PROPOSED 2020 TAX RATE, AND DIVIDED IT BY POPULATION. AND WHAT THAT GIVES YOU IS ESSENTIALLY A TAX REVENUE PER CAPITA. SO YOU CAN SEE ON THIS GRAPH, AMARILLO IS OVER ON THE FAR RIGHT OF THIS CHART AND WE ARE AT THE LOWEST TAX REVENUE PER CAPITA AT TWO HUNDRED AND TWENTY ONE DOLLARS. THE AVERAGE OF THE 21 CITIES IS FOUR HUNDRED AND FIFTY THREE DOLLARS. AND JUST TO KIND OF PUT THIS IN PERSPECTIVE, WHAT THIS GRAPH LOOKS AT IS IT'S TRYING TO TAKE THE COMPARISON OF THAT TAXABLE VALUE AND THE TAX RATE. SO AS YOU SAW ON THE LAST GRAPH, AMARILLO HAD ONE OF THE LOWEST, ACTUALLY THE SECOND LOWEST TAX RATE. BUT THIS ALSO SHOWS THAT OUR TAXABLE VALUES, WHICH ARE APPRAISED VALUES, ARE ALSO RELATIVELY LOWER THAN THESE OTHER 20 CITIES. SO IF YOUR TAX RATES ARE LOW, YOUR PROPERTY VALUES ARE HIGH, IF YOUR TAX RATES ARE HIGH, YOUR PROPERTY VALUES ARE LOW, AND IN OUR CASE, OUR TAX RATES LOW AND OUR PROPERTY VALUES ARE LOW AND WE'RE MAKING IT ALL WORK. AND WE'RE NOT FITTING THE MOLD BY ANY STRETCH OF THE IMAGINATION. YES, AND THAT WOULD BE A REASONABLE COMPARISON. IF THOSE VALUES ARE LOW, YOU WOULD NEED TO HAVE THAT RATE HIGHER TO STILL PRODUCE A LARGER AMOUNT OF REVENUE. OR IF YOUR VALUES WERE VERY HIGH, YOU MIGHT COULD HAVE A LOWER RATE TO KIND OF STILL PRODUCE A HIGHER AMOUNT OF REVENUE. AND IN OUR CASE, BOTH THOSE TWO ITEMS ARE KEPT LOW. OK. THIS NEXT SLIDE HERE, WE ALWAYS JUST LIKE TO PUT A SAMPLE PROPERTY TAX BILL, AS YOU KNOW, THE CITY OF AMARILLO'S PROPERTY TAX IS ONLY A PORTION OF THE OVERALL PROPERTY TAX BILL THAT OUR TAXPAYERS SEE EACH YEAR. NOW, THIS IS AN EXAMPLE. THERE ARE SEVERAL COMBINATIONS OF TAX BILLS. AS YOU'LL ALL KNOW, WE HAVE TWO COUNTIES WITHIN THE CITY OF AMARILLO AND I THINK WE HAVE ABOUT FIVE OR SIX SCHOOL DISTRICTS. SO THIS MAKEUP LOOKS A LITTLE BIT DIFFERENT FROM EACH VERSION, BUT IT'S VERY SIMILAR TO THIS ONE HERE. WHAT WE'RE LOOKING AT THIS IS THE AMARILLO INDEPENDENT SCHOOL DISTRICT IN POTTER COUNTY IN THE CITY OF AMARILLO, THE TWENTY NINETEEN RATES FOR ALL THE VARIOUS TAXING ENTITIES WITH THE CITY OF AMARILLO IS PROPOSED TWENTY TWENTY RATE. ON THE BOTTOM LEFT OF THIS GRAPH, YOU WILL SEE THERE'S OUR PROPOSED TAX RATE FOR THIS UPCOMING YEAR AND WE MAKE UP ABOUT 16 PERCENT OF THE OVERALL TAX BILL. WE STAY RIGHT IN ABOUT THAT RANGE, NO MATTER WHAT THE MAKEUP OF THE TAX BILL IS, WHETHER IT'S CANYON INDEPENDENT SCHOOL DISTRICT OR RANDALL COUNTY, THE CITY IS ABOUT 15 TO AS HIGH AS POSSIBLY 17 PERCENT OF THE OVERALL TAX BILL. SO YOU CAN SEE THAT THE CITY OF AMARILLO IS A SMALLER PORTION OR ONE OF THE SMALLER TAXING ENTITIES ON THIS TAX BILL. ALSO, WHEN THIS DOESN'T AT ALL SHOW UP IN EVERY SINGLE ONE OF THESE THAT WE'RE NOT NUMBER [00:55:04] ONE TAXING ENTITY, NOT NUMBER TWO TAXING ENTITY, WE'RE NEVER MORE THAN THE NUMBER THREE TAXING ENTITY. THAT IS CORRECT. THAT IS CORRECT. SCHOOL DISTRICTS AND COUNTIES ARE ALWAYS THE LARGEST PORTION OF THOSE TAX BILLS, NO MATTER WHAT THE MAKEUP IS. ALL RIGHT, IN THIS LAST SLIDE, HERE IS AGAIN A TIMELINE OUTLINING THE ACTION THAT COUNCIL IS REQUIRED TO TAKE RELATED TO PROPERTY TAX. AS YOU REMEMBER LAST TUESDAY AT 4:00 P.M., AGAIN, WE MET HERE IN THIS ROOM IN PERSON TO DO OUR PUBLIC HEARING ON THE TAX RATE. AND WE DID THE FIRST READING ON THE ORDINANCE TO APPROVE THAT TAX RATE AND TOOK A VOTE. TODAY WE ARE DOING THE SECOND AND FINAL READING TO ADOPT THE TAX RATE, THE PROPOSED TAX RATE FOR THE FISCAL YEAR, TWENTY TWENTY, TWENTY TWENTY ONE. AND THAT WILL ALSO BE FOLLOWED BY AN AGENDA ITEM TO VOTE ON RATIFYING THE TAX RATE. AND WITH THAT, ARE THERE ANY QUESTIONS I CAN ANSWER FROM COUNSEL? THANK YOU, LAURA. THANK YOU. OK, COUNCIL, DO WE HAVE A MOTION WITH REGARD TO ITEM ONE B? YES MAYOR WE DO. I MOVE TO ADOPT ORDINANCE NUMBER SEVENTY EIGHT EIGHTY FOUR, THAT THE PROPERTY TAX RATE BE INCREASED BY THE ADOPTION OF A TAX RATE OF ZERO POINT THREE NINE SIX EIGHT ONE, WHICH IS EFFECTIVELY A FOUR POINT TWO THREE PERCENT INCREASE IN THE TAX RATE. SECOND. IT'S BEEN SECONDED, BUT I'M SORRY, MOVED BY COUNCIL MEMBER POWELL, SECONDED BY COUNCIL MEMBER SAUER TO APPROVE ORDINANCE NUMBER SEVENTY EIGHT EIGHTY FOUR. ANY QUESTIONS OR DISCUSSION COUNCIL? YES, COUNCIL MEMBER HAYES? YES, MAYOR. I WANTED TO RESPOND TO ONE OF THE EARLIER COMMENTS JUST DISCUSSING JUST THE INCREASE OF TAX RATES OVER THE LAST FOUR YEARS, AND I WOULD POINT OUT THAT IN THE FIRST YEAR, 17 AND 18, THE TAX RATE INCREASES WERE STRICTLY VOTER APPROVED. THE ELECTION THAT WAS HELD IN NOVEMBER OF TWENTY SIXTEEN HAD PROPOSITIONS ONE AND TWO. AND AS THOSE WERE IMPLEMENTED, DEBT IS ISSUED AND THEN YOU INCREASE YOUR TAX RATE TO COVER THAT DEBT PORTION OF YOUR BUDGET. NO OTHER ADDITIONS. THERE WAS NO OTHER TAX RATE, OTHER INCREASE OTHER THAN WHAT HAD BEEN VOTER APPROVED. AND THE THIRD YEAR THERE WAS AN INCREASE IN THE OPERATING AND MAINTENANCE IN THE SALARIES SECTION. AND THAT LARGELY WAS ATTRIBUTED TO STAFFING THE IMPROVEMENTS IN OUR FIRE DEPARTMENT THAT HAD BEEN VOTER APPROVED. THOSE WERE STRUCTURES. THOSE WERE BUILDINGS. THAT'S DEBT THAT'S ISSUED TO BUILD THOSE, BUT THEN TO STAFF IT TO ACTUALLY HIRE THE POLICEMEN, THE FIRE DEPARTMENT, TO ACTUALLY STAFF THOSE STATIONS. THAT WAS ADDED INTO LAST YEAR'S BUDGET AS PART OF THAT TAX INCREASE. THIS YEAR THERE IS NO INCREASE ON THAT SALARY SIDE. THE OPERATIONS AND MAINTENANCE, THERE IS NO INCREASE. SO THIS IS STRICTLY FROM DEBT. AND AS LAURA POINTED OUT EARLIER, THERE ARE THREE DEBT ISSUANCES THAT ARE DRIVING THAT. ONE IS STILL FROM THAT NOVEMBER TWENTY SIXTEEN VOTE. SO THAT IS A PORTION OF WHAT WE'RE TALKING ABOUT THIS YEAR. THE OTHER TWO WERE VOTED ON BY THIS COUNCIL IN MAY. ONE IS TO THE THOMPSON PARK POOL, AND THEN THE OTHER ONE WAS THE PURCHASE OF THE SOUTH JOHNSON PROPERTY. AND SO I DID WANT TO POINT OUT THE TIMING OF THOSE AND THE HISTORY AND CLEARLY IDENTIFY WHAT HAS DRIVEN THOSE. BUT THEN I ALSO WANTED TO POINT OUT THAT THOSE THREE FOR THIS YEAR, THE TWO FOR THIS YEAR, AT THAT TIME, THEY WERE DEBATED, THEY WERE DISCUSSED. PROS AND CONS WERE BROUGHT UP. ONE OF THE TIMING ISSUES WITH THE THOMPSON PARK POOL WAS TRYING TO STAY ON TARGET. WE CLOSED THE POOL. LAST YEAR, ACTUALLY, AND THIS YEAR, AND IT WOULD HAVE BEEN A THIRD YEAR OF THOMPSON PARK BEING CLOSED AND FOR US TO STAY ON THAT TIMING, THEN IT WAS VOTED AND APPROVED. I JUST WANT TO SAY THAT BOTH OF THOSE DISCUSSIONS. THAT'S WHEN THE DEBATE HAPPENED. THEY WERE NOT FIVE ZERO VOTES. AND THAT WAS THE OPPORTUNITY TO HAVE THOSE CONVERSATIONS, BUT THEN THOSE DECISIONS ARE MADE AND WE ARE IMPLEMENTING THOSE DECISIONS. WE ARE NOT LOOKING AT RAISING TAX RATES TODAY FOR FUTURE PROJECTS, FUTURE POTENTIAL [01:00:01] NEEDS. THESE ARE STRICTLY IDENTIFIED DECISIONS THAT WERE MADE THIS LAST YEAR THAT NOW DEBT WILL BE ISSUED TO ACTUALLY COVER THE INTEREST IN SINKING. THANK YOU. SO I WANT TO MAKE ONE MORE COMMENT. YES, COUNCIL MEMBER SAUER? SO THE OTHER COMMENT THAT I WOULD WANT TO MAKE IS ALSO NOBODY HAS WE HAVEN'T SAID ANYTHING ABOUT THE SAVINGS BY MOVING THOSE 2016 BONDS FORWARD AND TAKING ADVANTAGE OF THE GREAT INTEREST RATES THAT HAVE BEEN AVAILABLE TO US AND AND TAKING ADVANTAGE OF THOSE INTEREST RATES AND DROPPING THEM DOWN. WE HAVE THAT HAS GIVEN THE ABILITY TO SAVE THE CITY AND THE TAXPAYER PROBABLY IN THE VICINITY OF ABOUT TWENTY EIGHT MILLION DOLLARS OVER A PERIOD OF TIME. AND SO THAT'S VERY IMPORTANT THAT THAT'S ACTUALLY ALSO STATED THAT WE WERE ABLE TO GET A SIGNIFICANTLY LOWER INTEREST RATE, AND THAT IS DIRECTLY RELATED TO THE EFFECTIVENESS OF THE FINANCE DEPARTMENT AT THE CITY. THEY HAVE DONE SUCH A GREAT JOB OF MAKING SURE THAT WE'RE DOING ALL THE THINGS THAT ARE REQUIRED FOR US TO STAY A TRIPLE-A RATED COMMUNITY. AND THAT'S HARD TO COME BY TODAY. AND THAT TRIPLE-A RATING IS DIRECTLY RELATED TO THE INTEREST RATE AND THE TOTAL AMOUNT THAT YOU PAY WHENEVER WE WHENEVER WE ISSUE THESE BONDS. AND SO BECAUSE OF THAT AND BECAUSE OF THE WAY INTEREST RATES HAVE DROPPED TO TAKE ADVANTAGE OF THAT AND TO MOVE THOSE FORWARD SAVES THE CITY AND THE TAXPAYERS A SIGNIFICANT AMOUNT OF MONEY. THANK YOU. THANK YOU FOR THAT. ANYTHING ELSE? BACK TO COUNCIL MEMBER HAYES. AT THE OTHER POINT I WANTED TO ADDRESS WAS ON THE THE PURCHASING STRATEGIES FOR THE POTENTIAL OF A NOVEMBER ELECTION AND THE POTENTIAL FOR AN ARENA EXPANSION AND IMPROVEMENT OF THIS FACILITY. AND, YOU KNOW, THERE ARE TWO STRATEGIES, REALLY, THAT WHEN YOU LOOK AT POSITIONING THE CITY, THE WHAT IS ON THE NOVEMBER BALLOT HAS BEEN IN DISCUSSION FOR 10 YEARS. THERE HAVE BEEN FOUR DIFFERENT NEEDS ASSESSMENTS PRESENTED TO THREE DIFFERENT COUNCILS OVER A DECADE. AND SO ONE OF THE ISSUES THAT WILL BE PART OF THAT IS MEETING LAND ACQUISITION. SO THERE'S A STRATEGY OF DO YOU WAIT AND SEE IF IT'S VOTER APPROVED AND THEN MAKE PURCHASES OR DO YOU TIE UP AND SECURE YOUR LAND AND TO KNOW WHAT THOSE COSTS ARE AND THEN PUT IT ON THE BALLOT? AND THERE ARE STRENGTHS AND WEAKNESSES OF BOTH. THERE ARE LEGITIMATE PROS AND CONS OF EITHER DIRECTION OF THE THE POSITION. I AM MUCH MORE COMFORTABLE WITH HAVING THOSE SECURED. THE SECOND A BOND WOULD PASS A VOTER APPROVAL. THEN THE PRESSURE ON THE VALUES OF YOUR PROPERTIES TO INCREASE IS DRASTIC AND YOU HAVE NOT BEEN ABLE TO BUILD IN THAT TO YOUR ESTIMATES, IN YOUR PROJECTIONS, IF A BOND IS NOT SUCCESSFUL, DOES NOT PASS, THE CITY DOES NOT WANT THAT. WE HAVE POSITIONED FUTURE COUNCILS TO HAVE LAND ACQUISITION THAT THEY ARE GOING TO NEED ONE WAY OR THE OTHER AT A TIME TO BE DETERMINED IN THE FUTURE. AND SO IT IS VERY STRATEGIC. IT WAS INTENTIONAL. PEOPLE MAY AGREE OR DISAGREE WITH IT. FOR ME PERSONALLY, THE POSITION I AM MUCH MORE COMFORTABLE KNOWING THAT ALL LAND ACQUISITION THAT WOULD BE NECESSARY AND REQUIRED HAS ALREADY BEEN DETERMINED AND PRICES LOCKED IN. AND IF PURCHASED THE BONDS ISSUE WOULD BE AT HISTORIC LOW INTEREST RATES. SO IF THAT'S, YOU KNOW, ANOTHER I THINK ANOTHER ADDED CONSIDERATION TO THE DISCUSSIONS THAT WE'VE HAD ABOUT SHOULD WE MOVE FORWARD AND DO THAT, SHOULD WE NOT? IT'S HARD TO DENY THAT INTEREST RATES ARE DEFINITELY IN THE PRO COLUMN FOR WHY NOW MIGHT BE THE BEST TIME TO DO THAT. ANYBODY ELSE? OK, AT THIS TIME, THEN WE WILL VOTE ON THE MOTION REGARDING ORDINANCE NUMBER SEVENTY EIGHT EIGHTY FOUR. ALL OF THOSE IN FAVOR OF THE MOTION, PLEASE RAISE YOUR HAND. IT'S FIVE HANDS, SO THAT MOTION PASSES WITH THE FIVE ZERO VOTE. THAT BRINGS US TO ITEM ONE C, WHICH IS A RATIFICATION OF THE CITY OF AMARILLO TAX RATE AND [1C RATIFICATION - CITY OF AMARILLO TAX RATE AND BUDGET] BUDGET, MR. CITY MANAGER? SO I AM REQUIRED BY STATE STATUTE. ANY TIME A BUDGET REQUIRES MORE PROPERTY TAX REVENUE THAN THE PREVIOUS YEAR'S BUDGET REQUIRES RATIFICATION OF THAT BUDGET AND TAX RATE. SO THIS IS THE RATIFICATION ITEM FOR THAT. IF YOU HAVE ANY QUESTIONS, I OR LAURA STORRS CAN ANSWER THOSE FOR YOU AT THIS TIME. THERE'S NO QUESTIONS THAN THE MOTION WOULD ANTICIPATE RATIFYING THAT. OK, SO MAYOR I CALL FOR THE QUESTION. [01:05:02] DO WE NEED A MOTION ON THAT JARED? YES, YES, MA'AM. OK, WE NEED A MOTION TO RATIFY THE CITY OF AMARILLO TAX RATE AND BUDGET . WE'RE USED TO DEALING IN ORDINANCES AND RESOLUTIONS. BUT NOW WE HAVE ANOTHER R WORD. RATIFICATION. OK, ARE YOU READY? YES. READY. MAYOR, I MOVE THAT WE RATIFY THE BUDGET AND TAX RATE AS ADOPTED FOR THE FISCAL YEAR 2020 2021. RECOGNIZING SUCH BUDGET WILL REQUIRE MORE REVENUE FROM PROPERTY TAXES THAN DID THE BUDGET ADOPTED LAST YEAR. SECOND. THANK YOU, COUNCIL MEMBER POWELL. IT WAS SECONDED, I THINK THAT I HEAR YOU, DR. SAUER. YEAH, I DID. SO WE'LL GIVE THAT ONE TO DR. SAUER. SO WE HAVE MOTION AND A SECOND. ANY DISCUSSION ON THAT MOTION? ALL OF THOSE IN FAVOR, PLEASE RAISE YOUR HAND. OK, THAT MOTION PASSES WITH THE FIVE ZERO VOTE, AND THAT BRINGS US TO THE END OF OUR AGENDA. THANK YOU ALL VERY MUCH FOR BEING HERE TODAY TO LEARN MORE ABOUT THE TAX RATE AND BUDGET. AND AT THIS TIME, WE ARE ADJOURNED. * This transcript was compiled from uncorrected Closed Captioning.