Oct 18, 2021 Community Services Corp. (Type B)

[00:00:04]

YES. OK THEN.

[1. CALL TO ORDER]

FIRST ITEM ON OUR AGENDA IS ITEM 2A TO APPROVE MINUTES FROM THE MAY 17TH, 2021 AND

[A. Approve minutes from the May 17, 2021 and September 7, 2021 Burleson 4B Community Service Development Corp. Type B meetings.]

OK, I HAVE A MOTION BY GREEN, SECOND BY [INAUDIBLE] TO APPROVE ALL THOSE IN FAVOR.

AND THAT MOTION PASSES BY UNANIMOUS VOTE.

NEXT ITEM ON OUR AGENDA IS TO CONSIDER APPROVAL OF A RESOLUTION REQUESTING THAT THE CITY

[B. Consider approval of a resolution requesting that the City Council pass a reimbursement resolution in an amount not to exceed $8,000,000 for various park and trail capital improvements as reflected in the Parks and Recreation 5 year CIP Plan. (Staff Presenter: Martin Avila, Finance Director) ]

THANK YOU, PRESIDENT AND BOARD MEMBERS OF WHAT THIS REIMBURSEMENT RESOLUTION DOES IS THAT IT ALLOWS STAFF AND THE CITY TO BEGIN FUNDING PROJECTS PRIOR TO ISSUING THE BONDS.

SO THAT IS THAT IS THE FIRST THING AND THAT'S THE MAIN INTENT OF WHAT THIS REIMBURSEMENT RESOLUTION IS DOING.

THE CITY ANTICIPATES ISSUING BONDS PROBABLY AROUND JULY 2022.

AND SO THAT AND THE REASON WHY WE DO THAT IS IT ALLOWS TIME FOR STAFF TO REALLY SEE WHAT PROJECTS ARE REALLY GOING TO GET STARTED OUT OF THAT CIP PLAN.

THERE'S ALWAYS CHANGES. THERE'S ALWAYS THINGS THAT NEED TO BE DONE.

PRIORITIES WILL CHANGE AND THAT WILL GIVE US THE ABILITY TO TO TO MAKE THAT, THAT CHANGE AND AN ISSUE DEBT BASED UPON PROJECTS THAT WE KNOW WE'RE GOING TO BE, YOU KNOW, WE'RE GOING TO BE DEALING WITH.

AND SO NORMALLY, THE PROCESS AND THE TIME WINDOW IS ABOUT 18 MONTHS.

SO THERE'S AN 18 MONTH PERIOD BETWEEN WHEN YOU HAVE YOUR INITIAL EXPENDITURE ON A PROJECT TO ISSUING BONDS.

SO IN THIS CASE, WE'RE WAY WITHIN WITHIN THE THE 18 MONTH PERIOD.

NOW THE THESE PROJECTS AND THIS $8 MILLION HAS NOTHING TO DO WITH THE BOND PROGRAM.

IT'S NOTHING TO DO WITH ANY STREETS OR PUBLIC SAFETY FACILITIES.

THIS IS ALL 4B RELATED AND THIS IS ALL PARKS TIED TO THE CIP PLAN FOR PARKS.

AGAIN, WHEN BONDS ARE ISSUED, THEN THE BOND PROCEEDS WILL REIMBURSE ANY EXPENDITURES THAT HAVE BEEN INCURRED PRIOR TO TO THE START.

IN ESSENCE, WHEN THIS RESOLUTION IS APPROVED AND THEN WHEN THEY START INITIATING THE EXPENDITURES AND ANYTHING AFTER THE ISSUE OF BONDS, THEN THAT WILL CONTINUE SUPPORTING THE PROJECTS THAT HAVE BEEN STARTED AND FUNDED.

AND AGAIN, THIS RESOLUTION IS NOT THE AUTHORIZATION TO ISSUE BONDS.

IT DOESN'T MEAN THAT ALL THE EIGHT MILLION IS GOING TO BE SPENT.

IT JUST MEANS IT PROVIDES THE ABILITY BASED UPON PRIORITIES BASED UPON THE TIMING OF ALL THESE PROJECTS. THAT THAT'S THAT'S THE AMOUNT.

SOME PROJECTS MAY BEGIN AT THAT TIME, SOME MAY NOT, BUT SOMEBODY ACTUALLY JUST START LATER ON INTO THE PROCESS.

SO AGAIN, IT'S NOT ABOUT, YOU KNOW, SPENDING ALL THIS MONEY, ISSUING ALL THIS MONEY, IT'S ABOUT CREATING AN OPPORTUNITY AND THE DIRECTION TO ALLOW STAFF TO BEGIN PROJECTS IF NEED BE BASED UPON BASED UPON THE DIRECTION OF COUNCIL.

AND AGAIN, ALL OF THESE PROJECTS WILL WILL CONTINUE TO COME TO COUNCIL FOR APPROVAL.

FOR EXAMPLE, I THINK THERE'S ONE ITEM GOING TO BE GOING TO COUNCIL FOR THE SPLASH PAD.

WELL, THE SPLASH PAD IS PART OF THE FISCAL YEAR 22 CIP PLAN THAT BEFORE YOU COULD START SPENDING, WILL REQUIRE THIS REIMBURSEMENT RESOLUTION TO ALLOW YOU TO DO THAT.

SO THAT'S THE WHOLE BASIS OF WHAT THIS REIMBURSEMENT IS FOR.

AND AGAIN, GOING BACK TO JUNE OF TWENTY TWENTY ONE, COUNCIL APPROVED THE PARKS AND RECREATION FIVE YEAR CIP PLAN.

ALL OF THE FUNDING FOR THAT PARTICULAR CIP IS ALL RELATED TO 4B.

THERE'S NO TAX SUPPORTED DOLLARS THERE.

IT'S ALL 4B SALES TAX.

AND AGAIN, THIS KIND OF GIVES YOU A WINDOW OF WHAT THOSE FISCAL YEAR 2022 PROJECTS ARE GOING TO BE. AGAIN, THAT IS WHAT WAS APPROVED IN IN IN BACK IN JUNE.

IT DOESN'T MEAN THAT'S WHAT'S GOING TO BE GOING FORWARD.

THERE'S ALWAYS THAT OPPORTUNITY TO MAKE CHANGES IN PRIORITIES.

BUT AGAIN, WE'RE USING THIS AS A POINT IN TIME AND THEN WE'RE ALWAYS ABLE TO TO MAKE CHANGES AS NEEDED.

MARTIN. YES.

WHY IS IT NOT? WHY IS IT ONLY NOT TO EXCEED EIGHT MILLION AND WHEN THE TOTAL FOR 22 IS NINE FIVE BECAUSE THERE IS ALSO SOME OTHER REALLOCATED FUNDS THAT ARE AVAILABLE TO ALLOCATE TO THESE PROJECTS AS WELL.

SO AGAIN, YOU TAKE THAT OUT, YOU'RE AT ABOUT AN $8 MILLION BOND ISSUE.

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AND IT IS BETTER TO HAVE ONE RESOLUTION NOT TO EXCEED EIGHT MILLION.

THEN YOU KNOW, YOU'RE SAYING SOME OF THESE MAY NOT END UP COMING FORWARD LIKE WE PLANNED.

DIFFERENT THINGS MAY COME UP OR HAPPEN, AND WE HAVE TO READJUST.

SO WE'RE SAYING, IS IT WHAT? WHAT IS THE BENEFIT OF DOING EIGHT MILLION AT ONE TIME INSTEAD OF ONE POINT EIGHT FOR [INAUDIBLE] HALL PARKING.

ONE POINT FIVE LIKE INDIVIDUALLY.

CAN YOU EXPLAIN TO ME THE BENEFIT AND YOU CAN THE ONLY THING IS THAT'S HOW MANY MORE MEETINGS WE WILL NEED TO COME BACK AND DO THAT.

SO THAT'S THAT'S THE ONLY BENEFIT THERE IS THAT IT ALLOWS YOU THE WINDOW TO SAY, OK, YOU APPROVE THAT IT DOESN'T MEAN YOU'RE GOING TO SPEND IT.

I MEAN, THAT IS THAT IS THE RESPONSIBILITY OF OF STAFF TO MAKE SURE THOSE PROJECTS ARE DONE OR NOT.

AGAIN, ONCE ONCE THE BOND ISSUES ARE ISSUED, THIS RESOLUTION NO LONGER IS A FACTOR.

SO THAT'S THE WHOLE BASIS OF THAT IS.

AND AGAIN, YOU CAN YOU CAN DO INDIVIDUALLY.

IT JUST MEANS THAT THAT'S HOW MANY TIMES WE'LL COME BACK FOR APPROVAL.

I PRESUME EACH TIME WE GO OUT FOR BONDS, THERE ARE FEES ASSOCIATED WITH IT.

AND LIKE WHENEVER YOU REMORTGAGE OR REFINANCE YOUR HOUSE OR THERE'S ALL THESE, IS THIS WORTH THE POINTS? IS THIS WORTH THIS? SO I WOULD ASSUME AN ADDED BENEFIT ALSO IS THAT THERE'S ONE TIME DO EVERYTHING ALL TOGETHER SO THAT WE'RE NOT INCURRING FEES EACH TIME WE GO OUT FOR.

ONE OF THE THINGS, THOUGH, IS THAT ONE OF THEM IS WHAT THIS DOES IS THIS IS JUST A REIMBURSEMENT RESOLUTION.

WE WILL ALWAYS THE INTENT IS TO ISSUE ONE BOND ISSUE AT THE END.

NOW THE QUESTION IS, IN THIS PARTICULAR CASE, YOU KNOW, WE ARE GOING THROUGH A BOND PROGRAM. AND SO THESE PARTICULAR BONDS THAT ARE NOT FUNDED BY TAX SUPPORTED DEBT WILL BE ISSUED THROUGH A CERTIFICATE OF OBLIGATION BECAUSE IT'S NOT PART OF THE BOND PROGRAM, IT'S NOT AND IT WILL NOT BE PART OF THE GENERAL OBLIGATION BOND PROGRAM PACKAGE.

AND ONCE WE DO GO OUT FOR BONDS, LET'S SAY WE DO THIS FULL AMOUNT.

IS THERE ANY LIKE LET'S SAY WE HAVE ALLOCATED TWO HUNDRED THOUSAND FOR CINDY PARK ONCE YOU GO OUT FOR BONDS, IS THERE ANY WIGGLE ROOM? CAN YOU RE LIKE, LET'S SAY SOMETHING COMES UNDER? BUT CINDY PARKS AN ADDITIONAL ONE HUNDRED THOUSAND DOLLARS, FOR EXAMPLE, JUST THROWING OUT A NUMBER. CAN YOU, ONCE YOU'VE GONE OUT FOR BONDS, IS THAT LOCKING US IN AS ONLY THESE AMOUNTS PER PROJECT? I THINK WHAT WE DID IN THE IN THE ACTUAL ATTACHMENT TO THE RESOLUTION, WE ADDED JUST PARKS IMPROVEMENTS AND TRAILS.

AND SO IT ALLOWS YOU TO FLEXIBILITY AS LONG AS IT'S TIED WITHIN THE PARKS IMPROVEMENT CATEGORY, THEN YOU COULD MOVE AROUND IN REGARDS TO THAT.

THAT IS CORRECT. THAT WAS MY QUESTION AS WELL.

COULD IT BE MOVED AROUND? YES, IT CAN. AND THAT'S IT.

EITHER COUNCIL, THE ACTION IS, IS TO APPROVE OR DENY THE REIMBURSEMENT RESOLUTION FOR 4B.

ALL RIGHT. I MAKE A MOTION TO APPROVE.

OK. I HAVE A MOTION BY MAYOR FLETCHER AND A SECOND BY [INAUDIBLE].

THANK YOU. I GOT THE FIRST ONE.

I DID PRETTY GOOD TO APPROVE ALL THOSE IN FAVOR.

AND I SEE THAT'S A UNANIMOUS VOTE.

DO WE HAVE ANY NEED FOR AN EXECUTIVE SESSION? ALL RIGHT, THEN THAT CONCLUDES OUR BUSINESS FOR THE 4B ECONOMIC.

I'LL GET IT RIGHT IN A MINUTE. THAT WAS LAST MEETING.

4B COMMUNITY SERVICE DEVELOPMENT CORPORATION FOR THIS EVENING, AND THE MEETING IS ADJOURNED 5:11.

THANK YOU!

* This transcript was compiled from uncorrected Closed Captioning.