3.A. Discuss the City Council Committees, structure, purpose, and meeting schedule. (Presenter: Council Place 4 Larry Scott)

[3.B. Receive a report, hold a discussion and provide staff direction regarding an update on the Water and Wastewater, 4A Economic Development Corporation, 4B Community Development Corporation, Parks Performance and Golf fund financial overview, summary of 5-year capital improvement plans (CIP), and receive any additional direction from City Council regarding the annual budget for fiscal year 2023-2024. (Staff Presenter: Martin Avila, Director of Finance)]

RECEIVE A REPORT, HOLD A DISCUSSION, AND PROVIDE STAFF DIRECTION REGARDING AN UPDATE ON WATER AND WASTEWATER FOR THE ECONOMIC DEVELOPMENT CORPORATION FOR COMMUNITY DEVELOPMENT CORPORATION, PARKS PERFORMANCE AND GENERAL FUND FINANCIAL OVERVIEW.

A SUMMARY OF THE FIVE YEAR CAPITAL IMPROVEMENT PLAN AND RECEIVE ADDITIONAL DIRECTION FROM CITY COUNCIL REGARDING THE ANNUAL BUDGET FOR FISCAL YEAR 2023 2024. THE STAFF PRESENTER IS MARTIN AVILA, FINANCE DIRECTOR.

MR. AVILA, YOU'RE UP NOW.

THANK YOU, AMANDA.

MAYOR AND COUNCIL.

THIS PRESENTATION IS IS GOING TO BE A TEAM EFFORT WITHIN MYSELF, INCLUDING MYSELF AND ERIC OSCARSSON, THE DIRECTOR OF PUBLIC WORKS.

[00:50:09]

JEN BASHAM, THE DIRECTOR OF PARKS, AND ALEX PHILLIPS, THE DIRECTOR OF ECONOMIC DEVELOPMENT.

INSTEAD OF DOING TWO FOUR DIFFERENT PRESENTATIONS, WE CONSOLIDATE AS ONE.

AND SO WE WOULD BE COMING IN BACK AND FORTH AS WE TALK ABOUT THE FINANCIALS OF THESE FUNDS AS WELL AS THE CIP PLANS OF THE FUNDS AS WELL.

SO THE FIRST ONE WE'RE GOING TO TALK ABOUT IS WATER AND WASTEWATER OF BIG PICTURE.

THE WATER AND WASTEWATER FUND.

IT IS A PROPRIETARY FUND.

IT IS AN ENTERPRISE FUND.

IT FUNCTIONS ON ITS OWN.

IT SUPPORTS ITSELF.

THE MAIN THING THAT THE WATER AND WASTEWATER PRIMARILY DOES IS IT PROVIDES WATER AND WASTEWATER SERVICES TO CUSTOMERS HIGH LEVEL.

IT DOES THE BILLING AND COLLECTIONS FOR THESE SERVICES.

NUMBERS WATER CUSTOMERS IS ABOUT 16,000.

SEWER CUSTOMERS IS ABOUT 16,000.

600. WHY IS THERE A DIFFERENCE IN THOSE NUMBERS? HOW IS THAT POSSIBLE? THERE IS CERTAIN AREAS, FOR EXAMPLE, BETHESDA AND JOHNSON COUNTY, IN WHICH THEY PROVIDE THE WATER, BUT THERE'S NO ONE TO PROVIDE THE SEWER SERVICES AS IT RELATES TO THAT.

SO THAT IS THE REASON WHY YOU HAVE YOU HAVE MORE CUSTOMERS AS IT RELATES TO THE SEWER SIDE AND THEN VERSUS WATER METERS, CUSTOMERS.

WHEN WE TAKE WE'RE TAKING THEIR WATER AND PUSHING IT BACK INTO FORT WORTH.

IS THAT HOW THAT WORKS? ERIC I'M SORRY, THIS IS NOT PERTAINING TO THE FINANCE PART, BUT I'M FASCINATED LIKE SO THEN FORT WORTH BENEFITS FROM GETTING SOMEBODY ELSE'S WATER.

YEAH. SO WE HAVE, SO OUR CCMS ARE DIFFERENT.

SO WE HAVE OUR WATER CCM WHERE WE PROVIDE WATER AND THEN WE HAVE OUR SEWER SEASON WHERE WE PROVIDE SEWER SERVICES.

A GOOD EXAMPLE OF THIS WILL BE CHISHOLM SUMMIT.

CHISHOLM SUMMIT. WE WILL PROVIDE SEWER SERVICES TO THAT ENTIRE DEVELOPMENT.

HOWEVER, THEY'RE PROVIDED WATER THROUGH, JC SAID.

SO WE WILL PROVIDE THAT SERVICE.

FORT WORTH GETS THAT.

WE PROVIDE THAT SERVICE TO THEM.

WE CHARGE THEM SPECIFICALLY FOR THAT SERVICE AND SO WE GET REVENUES FROM THEM.

AND THEN THEY ASKED THAT WATER IS PUSHED BACK TO FORT WORTH AND THEY TREAT IT AND THEN TAKE IT FROM THERE AND SO THAT GOES FOR AREAS ALL AROUND THE CITY WHERE BETHESDA SERVES.

SOME AREAS WE PROVIDE SEWER SERVICE, KNOW OFF OF EAST RENFROE.

THERE ARE SOME NEIGHBORHOODS THAT WE DO SEWER, BUT WE DON'T.

CORRECT. OKAY. AND YEAH, SO THAT'S WHY THOSE NUMBERS DIFFER.

SO AS WE EXPAND LIKE HYDER RANCH WILL BE, IF WE CONTINUE TO EXPAND IN HYDER RANCH, WE PROVIDE WATER AND SEWER SERVICES THERE.

SO WE PROVIDE BOTH.

SO THERE'S DIFFERENT AREAS THAT WE PROVIDE VERSUS WHAT JC SUB OR WHATEVER CCN WILL ALLOW US, CORRECT? LIKE THOSE NUMBERS. OKAY.

THANK YOU. SORRY FOR THAT DERAIL.

IT IS A TEAM EFFORT AND THAT'S THE REASON WHY.

SO IN ADDITION TO THE CIP, THERE WILL ALSO BE ABLE TO ANSWER SOME OF THE OPERATIONAL QUESTIONS AS WELL.

AS WE CONTINUE TO LOOK AT THE FINANCIALS FOR THE WATER AND WASTEWATER AND THE PROJECTIONS GOING OUT.

ONE OF THE THINGS THAT WE'RE PROPOSING FOR FISCAL YEAR 2024 IS WE ARE PROPOSING NO RATE INCREASES FOR BOTH THE WATER AND THE SEWER AS WE AS WE CONTINUE FOR THE UPCOMING COMING YEAR.

BUT THEREAFTER, WE ARE PROPOSING A 5% INCREASE IN BOTH SERVICES FOR 25 THROUGH 28.

AND SOME OF THE REASONS FOR THAT PROPOSAL INCREASE IS IS A REVISED PROPOSED CIP PLAN THAT PRETTY MUCH IS ABOUT $8,085 MILLION IN OVER A FIVE YEAR PERIOD.

IT ALSO INCLUDES THE THE FORT WORTH AS WE TALKED ABOUT THAT IN REGARDS TO THEIR RATE INCREASES OVER TIME.

AND SO WE ARE PROPOSING A 5% INCREASE FROM THE STANDPOINT OF THE WATER PURCHASES AND THE SEWER TREATMENT COSTS THAT THEY PROVIDE.

SO ALL OF THAT WE ARE PROJECTING OVER TIME THAT WE WANT TO MAKE SURE THAT WE PASS THROUGH THOSE RATE INCREASES TO THE CUSTOMER AS WELL AS WE CONTINUE TO FINANCE AND OPERATE THIS FUND.

SO YOU'RE SAYING FOR EACH OF THOSE THREE YEARS, 25, 26, 27, 28, SORRY, FOUR YEARS, EACH OF THOSE YEARS WILL RECEIVE A 5% INCREASE.

BUT THEN WE'RE ANTICIPATING IT STALLING AGAIN AND NOT NOT REQUIRING.

I THINK EVEN AS WE CONTINUE TO EXPAND THAT TIME, IT PROBABLY WILL BE 5%, EVEN EVEN AFTER THAT AS WELL.

AGAIN, WE TALK ABOUT FUNDING THE CIP PLAN.

WE TALK ABOUT FUNDING THE NEXT CIP PLAN.

AND AGAIN, WE CONTINUE TO DEAL WITH WHAT ARE THE COSTS FROM FORT WORTH CONTINUING.

SO AGAIN, IT IS A FIVE YEAR PROJECTION, BUT IF YOU WOULD DO A TEN YEAR PROJECTION, AGAIN, THAT 5% WILL CONTINUE.

[00:55:02]

AND UNTIL WE CHANGE AND HOW WE CHANGE THE CIP PLAN, WE CHANGE CERTAIN THINGS.

AND YES, WE CAN THEN DECIDE THAT IT IS AN OPPORTUNITY TO LOWER.

YES. YES.

IS IT NOT EASIER ON CUSTOMERS TO MAKE IT MORE INCREMENTAL LIKE 1.5%, ONE AND A HALF? I MEAN, IS IT NOT DOES IT HAVE TO BE 5% ALL AT ONCE IN 2025? OR CAN WE NOT INCH OUR WAY UP TO THAT? I THINK IN REVIEWING THE FINANCIALS, IF WE DO THAT AND WE CONTINUE WITH THE CIP PLAN THE WAY WE'RE HAVING IT AND WE'RE ISSUING THE DEBT AND WE CONTINUE TO DEAL WITH THE INCREASED COST THAT FORT WORTH MAY HAVE, EVENTUALLY YOU WILL GO BELOW 20% FUND BALANCE.

AND THAT'S THE WHOLE BASIS THERE IS IS TRYING TO STAY ABOVE THAT AND BE ABLE TO MAINTAIN.

THE GOAL ALSO WAS NOT TO COME BACK AND SAY, WELL, LET'S DO A 20% INCREASE.

AND THEN WE GRADUALLY LOWERED DOWN.

IT WAS SMOOTHING OUT THAT RATE INCREASE OVER TIME.

AND SO THAT WAS THAT WAS THE OTHER THING WE'RE DEALING WITH.

YOU KNOW, AGAIN, WE TALKED ABOUT INFLATION, THE INCREASE IN COST, ALL OF THAT.

WE'RE TRYING TO BLEND OVER TIME IN REGARDS TO THESE SERVICES.

AND WE THINK FORT WORTH IS AS OF RIGHT NOW, THAT'S WHAT THEY'RE COMMUNICATING TO US, IS ABOUT 5%.

ONE OF THE THINGS THAT AND AGAIN WE DID A HISTORICAL PERSPECTIVE IS IS SOMETIMES THEY GO 15% FOR ONE YEAR AND THEN THEY'LL GO DOWN 10%.

SO IT'S THE MATTER OF NOT NECESSARILY GOING UP 15% AND THEN NOT HAVING TO GO DOWN 10%.

IT'S AN AVERAGE OF 5% OVER TIME.

AND SO THEREFORE IT ALLOWS US TO CONTINUE TO.

BUT IF WE CAPTURE THAT, IF IT GOES UP AND IF IT GOES DOWN, IT'S A SMOOTHING OVER TIME.

I UNDERSTAND. THANK YOU.

AND HAS FORT WORTH BEEN INCREASING IN THE LAST FEW YEARS? AND WE HAVE THE LAST, LAST COUPLE, I THINK, FOR EXAMPLE, AND I'M GOING TO I'M GOING TO ASK ERIC TO COME UP IS, I THINK THE LAST ESPECIALLY ON THE SEWER RATES.

I THINK THEY WENT UP THE LAST COUPLE OF YEARS, 13, 14% IN THEIR COST.

WATER SEEMS TO KIND OF GO A LITTLE BIT MORE UP AND DOWN OF AVERAGE OVER THE LAST TEN YEARS, COULD BE ABOUT 3%.

AND AGAIN, WE DO FIVE BECAUSE WE JUST DON'T KNOW THE FUTURE.

AND SO THAT'S IN ESSENCE WHAT WE WHAT WE'RE BALANCING OUT.

AND AGAIN, AS THE FUND BALANCE CONTINUES TO GROW, THEN, YES, WE COULD COME BACK AND SAY, NO, LET'S LET'S LOWER THE RATE.

AT THAT POINT AND WE CONTINUE TO PROJECT OUT GOING FORWARD.

IT'S THE MAIN THING THAT I'M TRYING TO AVOID IS HAVING SPIKES ON THOSE RATES BACK AND FORTH, BECAUSE IT'S HARD IT'S HARD TO BE ABLE TO DO THAT.

IT'S MORE CONSISTENTLY OVER TIME.

THAT IS MY RECOMMENDATION.

OKAY. BECAUSE I MEAN, I AGREE WITH COUNCIL MEMBER JOHNSON SAYING, COULD YOU.

IRON IT OUT. BUT I GUESS THE 5%.

MY THING IS YOU THINK WE GO ONE MORE YEAR? NO RATE INCREASE. DON'T INCREASE IT NEXT YEAR.

THAT IS OUR 3% OR OKAY.

AND AGAIN, WE CAN COME BACK AND LOOK AT THAT AND SAY, OKAY, WELL IF WE DO 4% IN 24, WHAT DOES THAT MEAN GOING FORWARD? OR DO WE DO 3% GOING FORWARD? DOES THAT MEAN WE COULD JUST RAISE IT AT 4%? BUT AT THIS POINT, BECAUSE WE HAVE WE'RE CONTINUING TO EVALUATE THE CIP PLAN.

AND SO, AGAIN, THE WATER FUND DOESN'T HAVE A HIGH FUND BALANCE, BUT AT THE SAME TIME, WE WANT TO MAKE SURE THAT WE PRESERVE THAT AS ADDITIONAL COSTS CONTINUE TO ARISE, ESPECIALLY WITH WATER.

OKAY. THANK YOU.

I UNDERSTAND.

I TOTALLY UNDERSTAND.

YOU GOT A HORRIBLE JOB WITH THAT RATE INCREASE, BUT I WOULD LIKE TO SEE IT MAYBE COME BACK A LITTLE BIT, MAYBE NEXT YEAR.

BEING AN EX EDUCATOR, RETIRED TEACHER FOR THE FIRST TIME IN 20 YEARS, I GOT A 4% INCREASE COMING NEXT YEAR FOR THE FIRST TIME IN 20 YEARS.

WHEN I GOT ELECTED, I WALKED THE CITY QUITE A BIT AND I HAD PEOPLE TELL ME THEY JUST DON'T HAVE THE MONEY FOR INCREASES, LIKE JUST PASS IT OUT. IF THERE'S ANY WAY WE CAN MAKE IT LOWER, I WOULD APPRECIATE IT BECAUSE WE'VE GOT MORE THAN JUST WATER AND SEWER, AND I KNOW WE'RE AT THE MERCY OF FORT WORTH, AND THAT'S A SHAME. BUT I WOULD LIKE TO SEE IT DECREASED A LITTLE BIT, MAYBE A LITTLE BIT THIS YEAR, MAYBE A LITTLE BIT NEXT YEAR.

BUT BOY, 5% FOR THE NEXT 3 OR 4 YEARS IS UNBELIEVABLE.

AND I KNOW YOU HAVE TO DO IT, BUT IT'S TOUGH.

IT'S TOUGH ON PEOPLE DON'T GET ANY INCREASES BECAUSE YOU'RE NOT GOING TO GET THAT KIND OF AN INCREASE IN YOUR SALARY, I'LL GUARANTEE YOU THAT.

SO JUST A COMMENT.

THANKS.

MAYOR. COUNCIL. I WOULD ADD TO THAT, IF YOU RECALL, WE'VE ENGAGED A CONSULTANT TO HELP US WITH A RATE STUDY AND RATE ANALYSIS.

SO WE'RE CONDUCTING THAT WORK RIGHT NOW.

WE THOUGHT IT WAS TOO MUCH TO TRY TO BRING WITH THE BUDGET, TRYING TO DO A RATE ANALYSIS AS WELL.

SO AFTER WE DO THE BUDGET, WE'RE GOING TO BE BRINGING BACK SOME RECOMMENDATIONS AS IT RELATES TO THE OVERALL RATE STRUCTURE FOR WATER AND SEWER.

[01:00:04]

I THINK THAT THERE'S GOING TO BE SOME OPPORTUNITIES FOR LEVELING OUT ON RESIDENTIAL WHERE WE MIGHT BE ABLE TO ADDRESS SOME OF THESE THINGS BECAUSE THERE ARE SOME OTHER INDUSTRIES THAT ARE NOT LIKELY PAYING THEIR PROPORTIONATE SHARE.

SO THESE ARE REALLY INTENDED TO BE PROJECTIONS BASED ON WHAT WE SEE FROM FORT WORTH.

I THINK THAT FIRST QUARTER OF THE FISCAL YEAR WILL BRING SOMETHING BACK AND WE'LL HAVE A BROADER DISCUSSION ABOUT HOW WE CAN TRY TO MITIGATE THE IMPACT OF THIS CIP PLAN ON OUR RESIDENTIAL CUSTOMERS.

WE WILL ALSO BE BE TALKING ABOUT THE 24 TO 28 CAPITAL IMPROVEMENT PLAN.

IT IS AN $82.5 MILLION CAPITAL IMPROVEMENT PROGRAM.

WATER PROJECTS IS ABOUT 48.8 MILLION.

SEWER PROJECTS IS ABOUT $33.6 MILLION.

SO AGAIN, IT IS BROKEN OUT BETWEEN A 60 TO 40 PERCENTAGE BETWEEN HOW MUCH IS BEING USED BETWEEN THE WATER AND THE SEWER.

AGAIN, ALL OF THIS IN THE CAPITAL IMPROVEMENT PLAN WILL BE ISSUED WITH BONDS.

NORMALLY WE'LL BE ISSUING CERTIFICATE OF OBLIGATIONS OVER A FIVE YEAR PERIOD.

IT WILL NOT BE ISSUED ALL AT ONCE.

AND AGAIN, WE DO HAVE AN ITEM LATER ON THIS EVENING AS IT RELATES TO ISSUING A RESOLUTION FOR A NOTICE OF INTENT TO ISSUE AND FOR THE WATER AND WASTEWATER AS A SELF-SUPPORTING DEBT.

WE WILL BE RECOMMENDING TO ISSUE $9 MILLION WORTH OF SEALS FOR THE WATER AND SEWER BOND SEWER FUND.

AND AGAIN, IT'S BROKEN OUT BETWEEN WATER PROJECTS OF ABOUT 3.5 MILLION AND SEWER PROJECTS ABOUT $5.6 MILLION.

THIS KIND OF GIVES YOU A HISTORICAL PERSPECTIVE OF WHERE WE'VE BEEN AS IT RELATES TO THE RATES.

PREVIOUSLY, YOU KNOW, WE'VE GONE FIVE, 6% OVER TIME AS WE AS WE KIND OF HIT THE PANDEMIC, AS WE KIND OF LOOKED AT LOOKING AT THE FUND BALANCES, LOOKING AT THE WAY THE CIP PLAN WAS PROPOSED, WE DID NOT PROVIDE ANY RATE INCREASES DURING THAT TIME AND WE ACTUALLY DECREASED THE WATER RATE IN FISCAL YEAR 2021.

AND AGAIN, ONE OF THE THINGS WAS THERE AS FUND BALANCE WAS OVER 60% AT THAT POINT WE FELT THAT, YOU KNOW, UNLESS WE BROUGHT A CIP PLAN THAT WILL BE ABLE TO SUPPORT WHAT THOSE DOLLARS ARE COMING IN, THERE WAS THERE WAS NO NEED TO INCREASE THE RATES.

AND AGAIN, THIS IS WHERE WE'RE AT NOW AS IT RELATES TO A CIP PLAN THAT IS THAT HAS THE NEEDS OF THE INFRASTRUCTURE FOR THE WATER AND SEWER FUND.

BUT AGAIN, IT IS A BALANCE BETWEEN WHAT WE NEED TO STRUCTURE, WHAT THE RATES ARE VERSUS WHAT THE FUND IS NEEDING BETWEEN THE OPERATIONAL MAINTENANCE SIDE AND AS WELL AS THE INFRASTRUCTURE.

AND SO AGAIN, THAT IS IN ESSENCE HOW THE PROJECTIONS ARE CURRENTLY MADE.

AS CITY MANAGER TOMMY LUDWIG MENTIONED, THERE IS A WATER RATE STUDY.

WE ARE LOOKING AT THAT. WE ARE WORKING THROUGH THAT.

IN REGARDS TO WHAT THAT BALANCE IS BETWEEN THE DIFFERENT AREAS THAT OUR WATER CUSTOMERS, COMMERCIAL APARTMENTS, RESIDENTIAL.

WHAT'S THE BALANCE BETWEEN HOW WE ARE BILLING AND COLLECTING FOR THOSE SERVICES PROVIDED? AND AGAIN, AS A FOCAL POINT, WATER RATES AND SEWER RATES, THE MONTHLY AVERAGE IS $2.79 A MONTH AND $2.21.

SO AGAIN, IT DOES IT PROVIDES SOME PERSPECTIVE.

IT IS A RATE INCREASE.

AND SO WANTED TO KIND OF PUT THAT OUT THERE AS WELL AS WE CONTINUE TO TO TALK ABOUT THIS THIS FUND AND AGAIN BRINGING BACK THAT IT IS AT $82 MILLION CIP PLAN FOR 2024 AND 2028.

I'M GOING TO NOW GIVE THE PRESENTATION TO ERIC OSCARSSON, DIRECTOR OF PUBLIC WORKS, AS HE TALKS ABOUT THE WATER AND WASTEWATER CIP PLAN.

THANK YOU, MARTIN. GOOD EVENING, MAYOR AND COUNCIL.

I WANT TO QUICKLY GO THROUGH THIS AND OBVIOUSLY STOP ME IF YOU HAVE ANY QUESTIONS ABOUT THE CAPITAL PLAN.

BUT WHAT WE WANT TO PROVIDE TO YOU THIS EVENING IS WALK YOU THROUGH THE CAPITAL PLAN THAT IS IN THE CURRENT BUDGET THIS YEAR THAT WAS ADOPTED.

SOME THINGS THAT HAVE CHANGED THROUGHOUT THE YEAR AND A LOT OF IT'S TIED TO THE COST OF DOING THESE PROJECTS.

AND THEN WE'LL TALK ABOUT ANY ADDITIONS AND WHAT WE'RE PRESENTING FOR THE CAPITAL PLAN FOR 24 THROUGH 28.

I DO WANT TO MENTION AGAIN THE CAPITAL PLAN IS A PLAN.

THE FIRST YEAR OF THE CAPITAL PLAN IS FOR BUDGETARY PURPOSES, AS YOU CAN SEE IN THE CAPITAL PLAN FOR 2023, WE RECOMMENDED $9.03 MILLION IN FUNDING.

THAT IS WHAT MARTIN HAS BROUGHT IS BRINGING FORWARD TODAY FOR PART OF THE REIMBURSEMENT RESOLUTION YEARS TWO THROUGH FIVE OF THE CAPITAL PLAN IS TRULY A PLANNING DOCUMENT.

[01:05:03]

IT'S MEANT TO TALK ABOUT THE FUTURE AND GET READY FOR THE FUTURE.

SO THIS WAS THE PLAN AS PRESENTED.

IT WAS APPROXIMATELY $77 MILLION, JUST ABOUT $78 MILLION IN PROJECTS.

IT INCLUDES PROJECTS SUCH AS WATER AND SEWER REHABILITATION.

AND MOST OF THESE PROJECTS ARE TIED TO EITHER REHABILITATION OF EXISTING INFRASTRUCTURE, REHABILITATION OF OUR CURRENT INFRASTRUCTURE WITH REGARDS TO PUMPING STATIONS AND OUR LIFT STATIONS.

AND THEN THE OTHER ONES ARE TIED TO DEVELOPMENT THINGS THAT ARE IN THE MASTER PLAN, THINGS THAT ARE TO HELP IMPROVE THE EFFICIENCY OF THE DIFFERENT PROJECTS.

SO WHAT'S CHANGED DURING THE YEAR? SO AS YOU SEE ACROSS THESE PLANS, ACROSS THESE PROJECTS, THE PROJECTS AND NUMBERS THAT ARE HIGHLIGHTED IN RED, THOSE ARE UPDATED THINGS FOR THIS YEAR. SO YOU'LL SEE 2023 HAS STAYED THE SAME IN 24.

WE HAVE SHIFTED SOME THINGS WITH THE INDUSTRIAL PUMP STATION.

THAT PROJECT WAS ORIGINALLY GOING TO BE FULLY CONSTRUCTED IN 24 WITH DESIGN TIME, WITH PROPERTY ACQUISITION.

WE DON'T THINK WE'LL ACTUALLY START CONSTRUCTION ON THAT PROJECT CLOSER TO THE 2025 TIME FRAME.

AND SO WE'VE SPREAD THAT PROJECT OUT.

THAT PROJECT HAS INCREASED A LITTLE BIT IN COST AND THAT'S JUST BASED ON ENGINEER'S ESTIMATES OF WHAT WE THINK THAT PROJECT WILL BE.

THE WATER LINE LOOPING PROJECT ON WILLOW CREEK.

THAT PROJECT IS STILL IS IN 24 AND WE MOVED IT UP FROM 25 AND THE COST HAS GONE UP A LITTLE BIT.

JUST AGAIN, BASED ON ENGINEER'S ESTIMATE, I WANT TO HIGHLIGHT THAT WATER LINE LOOPING PROJECT ALONG WITH THE SORRY, THAT'S I APOLOGIZE. I'LL TOUCH ON THE OTHER TWO PROJECTS HERE IN A MINUTE.

THE HUMAN GROUND STORAGE TANK REHABILITATION, THAT WAS AN INCREASE IN COST AGAIN.

THAT'S ENGINEER'S ESTIMATES.

WE'RE SEEING THE WATER LINE LOOPING PROJECT.

THIS PROJECT, SPECIFICALLY THE EIGHT INCH VILLAGE CREEK WATER LINE LOOPING PROJECT TIED TO THE EIGHT INCH COUNTY ROAD, 715 PROJECT.

THAT'S GONE DOWN A LITTLE BIT.

I HAVE TO GO DOWN THE LIST.

WE'VE MOVED THOSE TWO PROJECTS UP FOR A COUPLE OF REASONS.

THOSE TWO PROJECTS ARE MOVING UP DURING OUR MASTER PLANNING AND SOME ASSESSMENT OF THE HIGH COUNTRY AREA SUBDIVISION.

WE'VE NOTICED SOME PRESSURE ISSUES AND SO WE HAD AN OPTION.

WE WERE LOOKING AT DOING A PUMP STATION TO INCREASE THE PRESSURE IN THE AREA WITH AN ESTIMATED COST OF $5 MILLION.

OR WE COULD ESCALATE AND ACCELERATE THESE TWO PROJECTS FORWARD BY CREATING THAT PROJECT AND MOVING THEM FORWARD.

WE'RE ABLE TO ELIMINATE THE PRESSURE ISSUE IN THERE.

SO WE'RE RECOMMENDING THAT SHIFT.

AND THEN AGAIN, MOUNTAIN VALLEY DEMOLITION OF THOSE TWO TANKS.

THE HIGHLAND STREET PROJECT HAS BEEN MOVED UP TO FALL IN LINE WITH THE WIDENING OF HIGHLAND.

THE BIGGEST CHANGE TO OUR ENTIRE PROJECT AND OUR CAPITAL PLAN FROM THE PREVIOUS YEAR OF 77 MILLION TO 82 MILLION.

AND JUST THESE CHANGES, 4 MILLION OF THAT IS TIED TO THE FORT WORTH WATER LINE.

SO WE AGAIN, WE RECEIVE ALL OF OUR WATER FROM FORT WORTH.

CURRENTLY, WE HAVE CAPACITY AT THE INDUSTRIAL PUMP STATION.

WE NEED TO INCREASE THAT CAPACITY AT THAT PUMP STATION AND BE ABLE TO TAKE IN 12.5 MILLION GALLONS OF WATER A DAY.

WE ARE WORKING WITH FORT WORTH.

WE'LL BE BRINGING FORWARD A NEW WHOLESALE WATER AGREEMENT WHICH WILL INCLUDE THE CONSTRUCTION OF THIS ADDITIONAL WATER LINE.

THIS INDUSTRIAL WATER LINE WILL GO INTO OUR INDUSTRIAL PUMP STATION, WHICH IS JUST SOUTH OF THE CHEVY DEALERSHIP OFF OF ALSBURY AND 35.

ORIGINALLY IN THE LAST PLAN, WE HAD $12 MILLION.

THAT WAS A PLACEHOLDER. THAT WAS AN INITIAL ESTIMATE FORT WORTH GAVE US.

THEY'RE WORKING ON THROUGH 30% AND 60% DESIGN PLANS.

AND BASED ON THOSE NEW ESTIMATES, WE'RE ESTIMATING THAT COST TO BE $16 MILLION.

SO THAT IS OUR SHARE OF THE WATER LINE.

SO WHEN THE FORT WORTH CONSTRUCTS WATER LINES, IT PROVIDES WATER TO.

CROWLEY, THE CITY OF BURLESON AND BETHESDA.

WE HAVE OUR PROPORTIONATE SHARE THAT WE ARE RESPONSIBLE FOR.

SO THE AMOUNT OF WATER THAT WE'RE GOING TO TAKE THROUGH THAT LINE VERSUS THE OTHER FOLKS AND THE LINES THAT ARE COMING DIRECTLY TO US, WE ARE RESPONSIBLE FOR THAT COST AND THAT COST. AS OF RIGHT NOW IS ABOUT $16 MILLION.

WE HAVE THE PUMP STATION EXPANSION.

A LOT OF THESE PROJECTS ARE TIED TO DEVELOPMENT AND GROWTH IN THE DIFFERENT AREAS OF TOWN.

AND SO THOSE ARE SOME OF THE CHANGES YOU'RE SEEING ON THE WATER SIDE, ON THE SEWER SIDE, THE TRUNK RELIEF LINE, AS YOU KNOW, THAT'S UNDER CONSTRUCTION OR UNDER DESIGN.

I'M SORRY. AND BASED ON UPDATED ESTIMATES, WE'RE SEEING AN INCREASE IN COST OF THOSE PROJECTS.

AND THEN THE OTHER TWO PROJECTS AS WELL, WE'RE SEEING THOSE ARE JUST ADJUSTMENTS BASED ON INFLATIONARY COSTS AND UPDATED ENGINEERING NUMBERS.

ANY QUESTIONS ON CHANGES?

[01:10:02]

MOVING FORWARD, WE HAVE A COUPLE ADDITIONAL PROJECTS THAT WE'VE ADDED TO THE CAPITAL PLAN FOR 24 AND THROUGH 28.

ONE OF THEM IS THE SERVICE CENTER DETENTION.

THIS IS IMPROVEMENTS.

AS YOU KNOW, THE WATER DEPARTMENT IS HOUSED OUT OF THAT AREA THAT PROVIDES ALL THE WATER AND SEWER SERVICES TO THE CITY.

AND SO OUR [INAUDIBLE] CENTER IS THERE.

THE CAD BACKUP SYSTEM IS THERE.

AND SO WE'RE LOOKING AT DOING SEWER IMPROVEMENTS AT THE SERVICE CENTER THAT WILL HELP PREVENT FLOODING TO THE BUILDING THAT CURRENTLY HAPPENS TODAY.

SO DURING SIGNIFICANT RAIN EVENTS.

WE JOKE THAT A RIVER RUNS THROUGH IT.

WE HAVE WATER ACTUALLY WITHIN THE BUILDING.

AND SO THESE IMPROVEMENTS WILL ACTUALLY HELP PREVENT THOSE ISSUES.

WE'VE ADDED THE IN 28.

THIS IS IN 27.

WE HAD THE DESIGN OF THE TURKEY TURKEY PEAK STORAGE TANK REHABILITATION.

28 IS THE ACTUAL CONSTRUCTION AND REPAINTING AND REBRANDING OF THAT TANK.

AGAIN, WE MOVED UP THE WATER LINE LOOPING PROJECT FOR OFFICE.

SEVEN 1525.

WE ADDED THE CONSTRUCTION OF THAT OF THAT PROJECT.

WE MOVED FORWARD THE HIDDEN CREEK PARKWAY TANK REHABILITATION, LOOKING AT OUR SCHEDULE.

IT'S DUE FOR REHABILITATION.

SO WE HAVE A CONSULTANT GO OUT, REVIEW IT, INSPECT IT.

WE DO AN INTERNAL INSPECTION OF THE TANK, REPAINT IT, CODE IT, GET IT PROTECTED FOR ANOTHER 10 TO 15 YEARS, AND THEN TWO OTHER PROJECTS ON THE SEWER SIDE.

WE'VE ADDED THE SEWER LINE PROTECTION.

SO BOOGER CREEK HAS ERODED, ERODED ONE OF THE BANKS AND IS ACTUALLY ERODING AWAY AT ONE OF OUR SANITARY SEWERS MANHOLES.

AND SO WE NEED TO DO SOME ARMAMENT OF THAT BANK TO PREVENT THAT FROM TAKING OUT OUR SANITARY SEWER MANHOLE.

AND THEN THE NEXT ONE WE ADDED IS A SEWER LINE EASEMENT ACQUISITION, WHICH IS, AS YOU KNOW, WE BUILT PART OF THE MOCKINGBIRD SEWER LINE EXTENSION. THAT'S THE ONE THAT WENT NORTH UP TOWARDS CHISHOLM SUMMIT.

THERE'S ANOTHER PIECE OF IT THAT ACTUALLY HEADS SOUTHWEST.

IT'S DESIGNED WE JUST DON'T HAVE THE EASEMENTS FOR IT, SO WE WANT TO ACQUIRE THEM NOW.

SO WHEN WE DO HAVE EXPANSION IN THAT AREA, WE CAN GO AHEAD AND BUILD IT WITHOUT HAVING TO WORRY ABOUT GOING BACK AND GETTING THE EASEMENTS LATER.

AND ALTOGETHER THAT BRINGS FORWARD THE UPDATED $82 MILLION CAPITAL PLAN.

AGAIN, FY 24 IS MORE FROM A BUDGETING STANDPOINT, 25 THROUGH 28 IS PART OF OUR PLANNING STAGES.

I'D BE HAPPY TO ASK ANY QUESTIONS ABOUT WATER AND SEWER CAPITAL.

IT'S JUST A DROP IN THE BUCKET ON THE 1.25 MILLION FOR THE SERVICE CENTER DETENTION.

ARE WE GOING TO CONTRACT THAT OUT TO DO IT? YES, SIR. SO THAT PROJECT WILL REQUIRE THE INSTALLATION OF A NEW DETENTION POND IN THE BACK.

SO THAT WILL REQUIRE ALL THE GRADING OF THAT AREA.

AND THEN WE'LL ALSO BE REQUIRED TO MOST LIKELY REPLACE A SIGNIFICANT AMOUNT OF THE CONCRETE AROUND THE FACILITY ITSELF TO HELP GET THE DRAINAGE AWAY FROM THE BUILDINGS AND CHANNELIZE IT AND GET IT TO THE DETENTION POND.

SO THE INTENT IS THAT WE'LL HAVE A CONTRACTOR COME IN AND AND DO ALL THAT WORK SO OUR STAFF CAN CONTINUE TO PROVIDE SERVICES TO THE RESIDENTS.

OKAY. I DIDN'T I DIDN'T KNOW ABOUT THE CONCRETE WORK.

I UNDERSTAND NOW. SOUNDS GOOD.

I'LL TURN IT BACK OVER TO MARTIN.

MARTIN, CAN I ASK YOU ONE MORE QUESTION? NOT TO GO BACK ON THIS.

CAN WE GO BACK TO THE 5% INCREASE IN THE ZERO? JUST ME WORKING, WORKING THE MATH.

SO IF YOU START WITH 100 BUCKS AT THE END OF FIVE YEARS, YOU'RE GOING TO BE WITH.

NO. IF YOU GO ZERO FIVE, FIVE, FIVE FIVE AT THE END OF AT THE END OF THE FIVE YEARS, YOU'RE GOING BE AT $121.55.

IF WE DID IF WE DID A 5% INCREASE IN 24, YOU COULD DO FIVE, FOUR, FOUR, FOUR, THREE AND STILL BE WHERE YOU NEED TO BE. AND THAT IS AN OPTION THAT WE COULD GO BACK AND LOOK AT AS WELL.

I THINK I THINK THE THOUGHT THAT WE WERE PROPOSING IS THE FACT IS WE HAVE THIS RATE STUDY.

WE ARE LOOKING AT THE RATE STUDY.

WHY PROPOSE A RATE IN 2024? BUT WE CAN WE CAN LOOK AT THAT AS WELL AS PART OF THE BUDGET PROCESS BECAUSE I THINK, YOU KNOW, THE OVERALL EXPECTATION IS INFLATION IS HOPEFULLY GOING TO START TAPERING OFF. AND SO WE DO THE BIG INCREASE NOW AND THEN WE WERE ABLE TO TAPER OFF WITH IT.

MAYBE I DON'T KNOW WHAT OTHER EVERYBODY ELSE THINKS, BUT.

CAN WE DO THAT IN THE REVERSE WHERE IT'S THREE, FOUR, FOUR, FIVE.

YOU PROBABLY COULD. I'D HAVE TO SIT HERE FOR A MINUTE AND DO IT.

I'VE BEEN PAYING ATTENTION, I PROMISE.

BUT I'D LIKE TO. YES, I'M SURE.

AND AGAIN, I COULD. WE COULD RUN DIFFERENT VERSIONS THAT WAS MY QUESTION IS, COULD WE INCREMENTALLY.

MY THOUGHT ON THAT IS IF YOU WAIT, IF YOU DO THREE, THREE, THREE, FIVE.

SORRY NOT TO INTERRUPT YOU IN FIVE YEARS, IF INFLATION IS BACK DOWN TO TWO AND NOW YOU'RE GOING UP FIVE THERE.

[01:15:07]

SO RIGHT NOW YOU'RE KIND OF EVERYBODY ELSE IS GOING UP.

YOU GO UP FIVE, BUT THEN YOU'RE TAPERING DOWN.

THAT'S KIND OF WHY I LIKE GOING TO HIGH AND LOW.

BUT BY ALL MEANS, WE COULD DO DIFFERENT SCENARIOS AS WELL AND BRING DIFFERENT OPTIONS DURING THE BUDGET PROCESS.

AT THE END OF THE DAY, WE'RE AT THE SAME RATE.

SO IT'S JUST, I GUESS, OPTICS MORE THAN ANYTHING.

THANK YOU. MARTIN. YES, SIR.

THANK YOU. SO KIND OF RECAPPING ALL OF THE DIFFERENT INFORMATION THAT WE PROVIDED AS IT RELATES TO THE CIP PLAN, THE BOND ISSUES, THE OPERATIONAL COST, THE RATE INCREASES.

THE GOAL IS ALWAYS TO LOOK AT WHAT IS THOSE PROJECTIONS DO AS IT RELATES TO THE FUND AND THE FUND BALANCE PERCENTAGES.

WHAT DO WE HAVE? WE HAVE A THRESHOLD WITHIN OUR FINANCIAL POLICY OF A MINIMUM FUND BALANCE OF 20%.

AND SO THAT'S A VERY IMPORTANT FACTOR.

IT'S NOT THAT WE TRY TO GET AS CLOSE AS 20%, THAT THE IDEA IS THAT WE STAY ABOVE THAT, ESPECIALLY WHEN YOU'RE DEALING WITH FUNDS THAT ARE THAT ARE VERY THE PRIMARY IS A PARTICULAR TYPE OF REVENUE AND WE PROVIDE A SERVICE.

SO AS YOU LOOK AT THAT, THIS IS IN ESSENCE WHAT WHAT THE FUND BALANCE WILL LOOK LIKE.

WE COULD LOOK AT THE RATE, WE COULD GO DOWN TO A 20% AND TO ENSURE THAT WE NEVER GO BELOW THAT.

WE COULD ALSO TAKE A LOOK AT THAT AS WELL.

THERE'S DIFFERENT OPTIONS THAT WE COULD DO IN REGARDS TO WHAT WE NEED TO CIP PLAN.

WE CAN REVIEW THAT AS WELL.

BUT I WILL LOOK AT THE DIFFERENT OPTIONS WITH THE IDEA OF CAN WE START WITH A BIGGER INCREASE AND DECLINE OVER TIME.

ONE OF THE THINGS AS WELL AS WE ARE WORKING THROUGH THE BUDGET PROCESS, WE ARE WORKING CLOSELY WITH THE DEPARTMENTS, WE ARE WORKING CLOSELY WITH THE CITY MANAGER'S OFFICE AS IT RELATES TO THEIR REQUEST FOR SUPPLEMENTALS.

AGAIN, THE WATER FUND IS NOT ONLY FUNDS CAPITAL PROJECTS BUT ALSO FUNDS OPERATIONS AND MAINTENANCE.

SO THERE CURRENTLY THERE IS THERE IS APPROXIMATELY ABOUT $460,000 WORTH OF REQUESTS.

WE'RE STILL REVIEWING THEM.

WE'RE LOOKING AT THAT.

WE TRY TO PLACE IT WITHIN THE PROJECTIONS TO SEE WHERE WE AT.

BUT AGAIN, AS WE WORK CLOSELY, THE CITY MANAGER WILL BE A PROPOSED RECOMMENDATION, BUT I THINK ALSO WILL SHOW YOU ALL THE ALL THE REQUESTS THAT WERE DONE AND HAVE THE COUNCIL TO DECIDE.

NO, WHAT ABOUT THIS, THIS? AND SO WE'LL BE TALKING ABOUT THAT AS WELL AS AS THE DAYS COME BY CLOSER TO OUR BUDGET PROCESS.

IS THERE ANY QUESTIONS AS IT RELATES TO THE WATER AND WASTEWATER BEFORE I GO TO THE NEXT WONDERFUL FUND. FOUR B IS A SPECIAL REVENUE FUND SOLELY RELIES ON SALES TAX AS THE PRIMARY REVENUE.

AGAIN, THE STATE OF TEXAS HAS A 6.25% SALES TAX AND THE CITY OF BURLESON HAS 2% AND THAT 2% IS BROKEN OUT BETWEEN 1% GOING TO THE GENERAL FUND.

HALF A PERCENT GOING TO FOUR B AND HALF A PERCENT GOING TO FOUR A.

FOUR B AND FOUR A ARE TWO DISTINCT TYPE OF CORPORATIONS.

THEY PROVIDE THE SERVICES OF DIFFERENT TYPES WITHIN THE COMMUNITY, WITHIN THE CITY OF BURLESON.

AND SO AS AS WE TALKED ABOUT SALES TAX ASSUMPTIONS, WE ARE PROJECTING APPROXIMATELY ABOUT A 5.5% INCREASE FOR THIS FISCAL YEAR.

AND AGAIN, WE CONTINUE TO PROJECT 3% THE FOLLOWING YEARS AS A CONSERVATIVE BASIS.

AS IT RELATES TO THE 4B FUND, THE 4B FUND HAS A COMBINATION OF THINGS THAT IT SUPPORTS.

IT DOES SUPPORT THE PARKS ADMINISTRATION GROUP.

IT IT SUBSIDIZES THE PARKS PERFORMANCE FUND OPERATIONS.

IT SUBSIDIZES THE GOLF FUND OPERATIONS.

AND THEN IT ALSO SUPPORTS THE PARKS CAPITAL IMPROVEMENT PLAN.

SO THERE'S DIFFERENT THINGS THAT THE 4B FUND DOES THAT ARE ALL ELIGIBLE WITHIN THE 4B FUNCTIONS AND THE RESPONSIBILITIES THAT ARE WITHIN 4B.

WE ARE CURRENTLY HAVE A YEAR END ESTIMATE WITHIN THE FUND BALANCE OF 4B, ABOUT $4.7 MILLION, PROJECTING ABOUT 50% FUND BALANCE PERCENTAGE TO EXPENDITURES.

AGAIN, WITH 4B, WE DO HAVE A MINIMUM THRESHOLD OF 20%.

WE RECOMMEND ALWAYS TO STAY HIGHER THAN THAT BECAUSE THIS PARTICULAR REVENUE IS VOLATILE.

AND SO YOU ALWAYS WANT TO MAKE SURE THAT YOU WE ARE PREPARED THAT IF IF SOMETHING WOULD HAPPEN, WE'RE SEEING SOMETHING HAPPENING WITH THE RECESSION AND THE SALES TAX IS STARTING

[01:20:02]

TO GO DOWN, IT ALLOWS US TO BE ABLE TO PLAN GOING FORWARD AS IT MEANS WE COULD, YOU KNOW, AT ONE POINT PUSH SOME OF THE CAPITAL PROJECTS OVER TO THE FOLLOWING YEAR UNTIL THAT RECOVERS. ONE OF THE THINGS, TOO, IS DURING THIS FISCAL YEAR, WE WE TRANSFERRED $2 MILLION TO A NON BOND FUND THAT WOULD CASH FUND THE NEW PARKS ANNEX FACILITY OVER THERE AT THE SERVICE CENTER.

SO THAT WAS A CASH FUNDING.

AND AGAIN, THAT IS THAT IS A IT DOES REDUCE THE FUND BALANCE.

BUT THAT'S YOU KNOW, WE WERE ABLE TO DETERMINE THAT IT DOES IT WILL SUPPORT THAT AND WE CONTINUE TO MOVE FORWARD WITH THAT.

AS IT RELATES TO THE 4B FIVE YEAR CIP PLAN, THE NEXT FIVE YEARS, WE HAVE ABOUT $22 MILLION WITHIN PARKS PROPOSED OF WHICH THE SELF-SUPPORTING DEBT IS ABOUT 21.2 MILLION.

THERE IS SOME AVAILABLE CASH FUNDING WITHIN THAT PROGRAM OF ABOUT $880,000 THAT WE'RE USING AS WELL.

FOR THIS YEAR'S BOND SALE, WE WILL HAVE ABOUT $7.7 MILLION THAT WE WILL BE RECOMMENDING TO ISSUE IN BONDS FOR THE PARKS PROGRAM.

SO I WILL NOW INTRODUCE JAN BASHAM TO TALK ABOUT THE PARK'S CIP PLAN.

ALL RIGHT. GOOD EVENING.

SO WHAT YOU SEE ON THIS FIRST SLIDE IS OUR EXISTING 23 THROUGH 27 CAPITAL PLAN.

THIS IS WHAT COUNCIL AUTHORIZED LAST YEAR.

AND ON THIS NEXT SLIDE, I WILL SHOW YOU KIND OF BASICALLY WHAT THE ACTUALS CAME IN FOR FISCAL YEAR 23 AND THEN A FEW CHANGES THAT WE'RE PROPOSING MOVING FORWARD.

WE'RE GOING TO GO THROUGH A FEW ITERATIONS THIS EVENING, SO I'LL SHOW YOU THE PROPOSED PLAN FOR 24 THROUGH 28 AND THEN AN OPTION TO CONSIDER IF COUNCIL WOULD LIKE TO.

AND WE BREAK THESE UP BY DIVISION.

SO WE START WITH PARKS.

WE BREAK THOSE PARKS UP BY REFURBISHMENTS OF OUR EXISTING PLAYGROUNDS.

WE GO INTO OUR SPORTS FIELDS, TRAILS, PARKS AND INFRASTRUCTURE.

THEN WE DO SOME SIGNAGE AND NEW CONSTRUCTION.

OUR PARKS THAT WE'VE EITHER ALREADY PURCHASED AND OWN THE LAND OR PROPERTY THAT WE DO NEED TO ACQUIRE.

THEN WE GO INTO THE BRICK.

SO MAINTAINING THAT FACILITY, ADDING NEW AMENITIES TO IT.

WE'RE HITTING YEAR 14 OF THAT, SO WE'RE STARTING TO SEE SOME OF THE WEAR AND TEAR REALLY HIT ON THAT.

SO YOU SEE SOME BIG TICKET ITEMS THERE.

THIS IS, OF COURSE, WHAT WAS ALREADY APPROVED LAST YEAR, BUT YOU'LL SEE SOME CHANGES OF THAT ON THE UPCOMING SLIDES.

FOR GOLF, WE WERE PLAYING CATCH UP AND I'LL SHOW YOU HOW WE'VE DONE SOME CHANGES THERE.

BUT WE WERE ANTICIPATING ABOUT $16 MILLION THIS YEAR WITH A $14 MILLION IN DEBT.

WE HAVE A FEW OF THOSE PROJECTS THAT ARE MOVING TO CONSTRUCTION IN FUTURE YEARS.

SO YOU'LL SEE WE ARE ONLY DOING THAT 7.6 IN DEBT SALE THIS YEAR AND THAT NUMBER FOR 24 WILL CHANGE.

SO THE FIRST ONE THAT YOU'LL SEE ARE THE ACTUALS IN THAT 23 COLUMNS.

SO THOSE ARE THE PROJECTS THAT WE'VE AWARDED AND WE'VE EITHER ALREADY CLOSED THEM OUT OR ARE A PUNCH LIST.

SO WE'RE PRETTY CONSERVATIVE IN THINKING THAT THOSE ARE THE NUMBERS THEY'LL END UP AT.

IN 24, YOU'LL SEE THAT WE CHANGE THAT CITYWIDE MONUMENTS WHEN WE PROPOSE THIS LAST YEAR, WE HAD NO IDEA WHERE WE WERE PUTTING THEM, HOW MANY WE WERE PUTTING OR WHAT THEY WOULD COST. NOW WE HAVE AT LEAST AN IDEA OF WHERE WE'RE PUTTING IT AND WHAT THAT POTENTIAL COST WOULD BE.

YOU'LL SEE THAT AGAIN THIS FALL.

YOU'LL SEE SOME FOOTNOTES ON HERE.

SO UNPLANNED PARK IMPROVEMENTS IS REALLY AN OPERATIONAL THING.

SO WE ALLOCATE $50,000 ANNUALLY FOR CITIZEN REQUESTED CHANGES.

WE'LL PUT THAT INTO OUR BASE BUDGET, OUR OPERATIONAL BUDGET.

SO WE'LL STILL HAVE IT, BUT IT'S NOT REALLY A CAPITAL ITEM.

SO WE'RE JUST REALLOCATING THAT SO YOU WON'T SEE IT ON THE CIP ANYMORE.

AND THEN FOR THE BRICK, THE BIG ONE WAS THAT OUR AC SYSTEM CAME IN BELOW TO DO THAT CONTROL SYSTEM.

SO IT WAS ABOUT 175 ALL IN FOR GOLF.

WE MOVED ALL OF THE BUNKERS THAT WERE ORIGINALLY SPREAD OVER FIVE YEARS TO YEAR ONE AND COMPLETED THAT PROJECT.

ACTUALLY, WE FINALLY GOT ALL OF THE SAND A FEW WEEKS AGO, SO THAT PROJECT'S DONE.

AND THEN WE ALSO ADDED DRAINAGE IMPROVEMENTS AND CART PATH REPAIR REPAIRS.

CART PATH REPAIRS WERE IN THERE FOR MULTIPLE YEARS AS WELL AS TREE WORK.

THOSE ITEMS ARE ALSO BOTH MOVING TO OPERATIONAL EXPENDITURES FOR FUTURE YEARS.

BEFORE I GET INTO NEXT YEAR, DOES ANYONE HAVE ANY QUESTIONS? THOSE CART PATH REPAIRS, HAVE THEY STARTED YET? THEY HAVE NOT. WE PHASED THE APPROACH OF ALL OF THESE IMPROVEMENTS INTENTIONALLY BECAUSE WE DIDN'T.

WE WERE TRYING TO MITIGATE THE PLAY ON THE COURSE AND SO THE DRAINAGE REPAIRS HAVE BEEN COMPLETED, THE BUNKERS HAVE BEEN COMPLETED, AND NOW WE'LL START ON THE CART PATHS.

THAT'S A WE WERE JUST START WITH NUMBER SEVEN, PLEASE.

NUMBER SEVEN? YEAH.

PRETTY BRUTAL. YEAH, NOTED.

IT'S ACTUALLY LIKE A RAMP IF YOU JUST USE IT.

[01:25:02]

KNOW, GET MY SPEED UP.

I GUESS SO. YEAH. SO WE'LL START WITH NEXT YEAR.

YOU'LL SEE A LOT OF RED ON THE TOP.

AND THIS IS BASED ON SOME FEEDBACK THAT WE RECEIVED THIS YEAR.

EVERY PARK THAT WE BROUGHT FORWARD FOR AWARD THIS YEAR, WE WERE ASKED TO EITHER GO FULL BORE IN PLACE OR TO DO A HYBRID FORM PLAY STRUCTURE ON THESE.

SO WHAT YOU SEE ON ALL OF THESE IS POURED IN PLACE, RUBBER SURFACING ACROSS THE ENTIRE PARK SO THAT IT'S FULLY INCLUSIVE.

THE OTHER THING YOU'LL SEE IS MISTLETOE HILL WAS ADDED.

IT'S HIGHER THAN IT ORIGINALLY WAS, AND THAT'S BECAUSE THERE'S A PERMANENT PORTLET OUT THERE NOW.

AND THE CITIZENS IN THAT AREA HAVE REQUESTED THAT WE JUST PUT IN A RESTROOM.

SO IT WOULD BE VERY SIMILAR TO WHAT YOU'D SEE AT CENTENNIAL PARK, JUST A SINGLE FAMILY RESTROOM, TWO STALLS.

SO THAT'S WHAT THAT'S INCLUDING AS WELL.

YOU'LL ALSO SEE YEAR 28.

SO THAT INCLUDES CHISENHALE AND EVERLEIGH.

FOR THE CHISENHALE FIELD TURF AND REGRADING, WE JUST ADDED THAT FIFTH YEAR ON AND THEN THE CITYWIDE MONUMENT SIGNS, WHICH I SAID ON THE ONE BEFORE, WE HAVE THAT COST IN AND YOU'LL SEE SHANNON CREEK GOT MOVED FROM LAST YEAR TO THIS YEAR BECAUSE WE ANTICIPATE CONSTRUCTION THERE.

AND THEN FOR COMMUNITY PARK, YOU SAW THE $3.2 MILLION OF LAST YEAR.

WE ANTICIPATE DESIGN FOR THIS NEXT YEAR.

FOR THE BRICKS, SO WE REPLACED THE OUTDOOR POOL SAND FILTER LAST YEAR BECAUSE IT WAS FAILING.

AND WHEN THEY WERE REPLACING IT, THEY SAID YOU'VE GOT MAYBE A YEAR LEFT IN THIS ONE.

SO WE WENT AHEAD AND PUT THAT PROJECT ON FOR THE INDOOR SAND FILTER FOR THIS YEAR.

AND THEN TWO BIG TICKET ITEMS THAT ARE COMING UP ARE THE DESERT AIR, WHICH IS REGULATES THE HUMIDITY IN THE NATATORIUM OR THE INDOOR POOL AREA.

THAT SYSTEM IS HITTING YEAR 13-14, WE'RE HOPING YEAR 28.

BUT THIS IS A PLANNING FISCAL YEAR, 25 THROUGH 28.

THOSE ARE ALL PLANNING YEAR. SO THAT MAY MOVE UP OR BACK BASED ON HOW IT'S PERFORMING.

IN THE SAME THING FOR HVAC UNITS.

THE LAST ITEM THAT WE'RE PROPOSING ADDING THAT WAS NOT IN YEAR 24 IS UPDATING OUR MASTER PLAN.

SO OUR CURRENT MASTER PLAN IS FROM 2019.

WE HAVE ACHIEVED ABOUT 85% OF THE GOALS OF IT.

AND ONE OF THE BIG THINGS THAT WE'RE WORKING TOWARDS IS BECOMING AN ACCREDITED DEPARTMENT, WHICH WOULD REQUIRE THAT TO BE WITHIN FIVE YEARS.

SO WE NEED TO START THAT PROCESS NEXT YEAR.

ONE, BECAUSE WE'VE ACHIEVED MOST OF WHAT'S IN OUR CURRENT ONE, BUT ALSO SO THAT WE CAN START THAT APPLICATION PROCESS FOR ACCREDITATION.

ANY QUESTIONS? ALL RIGHT. WELL, NOW I'M GOING TO TALK ABOUT AN OPTIONAL PARKS PLAN BACK IN JUNE.

YOU KNOW, LIKE A FEW WEEKS AGO, WE STARTED TALKING ABOUT GENERAL FUND AND DEBT SERVICE FUNDS.

AND WE STARTED REFERENCING THAT ABOUT $1.6 MILLION OF THE FUNDING THAT COMES FROM THE GENERAL FUND IS ELIGIBLE FOR 4B, AND SO STAFF PERFORMED AN EXERCISE TO SAY, COULD WE POTENTIALLY SUPPORT ALL OF PARKS AND RECREATION THROUGH FOUR B? AND WE DID INDICATE THAT IT IS DEFINITELY POSSIBLE TO DO THAT.

AND SO THE CIP THAT WE'RE PRESENTING SHOWS ABOUT 350,000 OF THAT $1.6 MILLION BEING FUNDED OR RESUBSIDIZING TOWARDS THE GENERAL FUND. IT DOES CAUSE SOME SHIFTS IN OUR CIP PLAN AND IT'S NOT NECESSARY AT THIS JUNCTURE TO DO THAT.

BUT WE DID WANT TO PROVIDE THAT FOR COUNCIL TO REVIEW AND SEE.

AND THEN JUST SOMETHING THAT'S NOT ON THE SLIDE IS WE DO ABOUT $10 MILLION IN FOUR B RIGHT NOW OF OUR $11.6 MILLION BUDGET IS FUNDED THROUGH FOUR B CURRENTLY, EITHER THROUGH OUR REVENUE THAT WE GENERATE THROUGH THE BRICK AND THROUGH GOLF OR THROUGH THAT FOUR B SUBSIDY.

SO THE SHIFTS THAT YOU'LL SEE IS THAT WE DO LESS PARKS EVERY YEAR.

SO WE SHIFTED THAT SO THAT AT MOST YOU'LL SEE 1 TO 2 PARKS BEING COMPLETED IN A YEAR.

WE HAVE SOME BIG PROJECTS OUT AT WARREN PARK THAT WE HAD SPLIT OVER TWO YEARS IN OUR ORIGINAL PLAN.

THIS IS SHIFTING THAT OUT TO YEAR EIGHT AND PUTTING IT ALL TOGETHER.

THOSE PROJECTS ARE REALLY ADDRESSING THE LOW WATER CROSSING AT WARREN PARK, CHANGING UP THE PLAYGROUND.

WE'VE GOT SOME SPORTS COURTS THAT ARE IN NEED OF SOME LOVE.

AND SO RENOVATING THOSE, WE HAD SPREAD OVER TWO YEARS.

BUT IN ORDER TO ACCOMMODATE OFFSETTING THAT $350,000, WE MOVED IT TO AN OUT YEAR FOR CHISENHALE.

THIS WOULD GO TO AN EVERY OTHER YEAR PROPOSAL.

AND THEN THE SAME THING FOR PARK MONUMENT SIGNS.

IT WOULD ALSO MOVE THE COMMUNITY PARK DESIGN OUT TWO YEARS.

FOR THE BRICK, IT MOVES SOME THINGS AROUND, BUT NOT DRASTICALLY SO.

WE ACTUALLY MOVED THE DESERT AIR UP AND THE SAND FILTER OUT ONE YEAR FOR THE INDOOR POOL.

AND THEN WE LEFT THE HVAC UNIT AND THEN WE HAD THE ROOF ON THERE STILL AS WELL.

SO NOT TREMENDOUS, BUT IT SLOWS US DOWN REALLY.

ON THAT TOP SECTION, THE PARK REFURBISHMENTS GETTING OUR PLAYGROUND SWAPPED OUT, GETTING THAT POUR IN PLACE SURFACING, AND THEN CHISENHALE IS GOING TO BE YOUR OTHER BIG ONE, AS WELL AS DESIGNING A COMMUNITY PARK.

[01:30:01]

AS WE SAID, AS I SAID ON THIS SLIDE BEFORE.

THAT'S NOT WHAT STAFF IS RECOMMENDING AT THIS POINT.

GENERAL FUND IS COMPLETELY HEALTHY.

WE DON'T NEED IT AT THIS TIME.

BUT WE DID WANT TO SHOW THAT THIS EXERCISE WAS COMPLETED AND THAT IT IS AN OPTION FOR COUNCIL TO CONSIDER.

AND I'LL HAND IT BACK OVER TO MARTIN, UNLESS YOU HAVE ANY QUESTIONS.

JAN THE ROOF AT THE BRICK, IS IT POSSIBLE THAT IT COULD BE DAMAGED FROM HAIL BETWEEN NOW AND WE COULD.

WE ACTUALLY DON'T HAVE ANY ISSUES WITH IT.

IT'S JUST ONE OF THOSE THINGS THAT WE KNOW WE DON'T HAVE AN RF FOR THE ROOF ON THERE, BUT IT'S 14 YEARS OLD, SO WE KNOW WE'RE GOING TO BE REPLACING IT.

SO IT'S JUST A PLACEHOLDER.

IF WE START SEEING ISSUES, WE COULD ABSOLUTELY SAY, YOU KNOW, WE'VE HAD A TON OF TREMENDOUS STORMS. IS THERE HAIL DAMAGE? AND WE COULD SUBMIT IT THAT WAY AND GO THROUGH INSURANCE AND THEN IT'D BE A LOT LESS THAN $1 MILLION? HOPEFULLY SO, YES.

FINGERS CROSSED. YES, THAT'S EXACTLY WHAT I WAS GOING TO ASK, IS, IS THAT SOMETHING DO WE REGULARLY GET CHECKS ON CITY FACILITIES? SO AFTER A STORM LIKE WE JUST RECENTLY HAD? MAYOR, COUNCIL, IF YOU RECALL, I SENT YOU AN EMAIL THAT WE WOULD ASSESS CITY FACILITIES, PUBLIC WORKS FACILITIES DID DO THAT.

WE DIDN'T HAVE ANY SIGNIFICANT DAMAGE, NOTHING THAT WAS CLAIMABLE.

ANYTIME THERE IS A HAIL STORM EVENT LIKE THAT, WE DO ASSESS CITY FACILITIES.

SO THAT'S SOMETHING WE KEEP AN EYE ON.

AND ABSOLUTELY WE'D BE FILING A CLAIM IN THE EVENT THAT THERE WAS DAMAGE.

WELL, I, FOR ONE, AM VERY PROUD THAT WE ARE MOVING UP AND PRIORITIZING THINGS LIKE THE POUR IN PLACE FOUNDATIONS FOR OUR PLAYGROUNDS. WE WANT THERE TO BE A PLACE FOR ALL KIDS TO PLAY AND A LITTLE SOMETHING FOR ABSOLUTELY EVERYONE AT EVERY SINGLE PARK WOULD BE OUR GOAL.

AND SO I APPRECIATE HOW MUCH STAFF HAS PRIORITIZED THAT AND ENSURING THAT THE AS WE MAKE IMPROVEMENTS TO EACH PARK IN ITS IN OUR REFURBISHMENT SCHEDULE THAT WE ARE TAKING ADVANTAGE OF THE OPPORTUNITIES TO INCLUDE TO IMPROVE AND INCLUDE MORE THINGS THAT ARE ALL INCLUSIVE.

SO I APPRECIATE THAT AND KUDOS TO STAFF FOR PRIORITIZING THAT BECAUSE YOU'VE HEARD FROM THE COMMUNITY THAT THAT'S WHAT THEY'D LIKE TO SEE.

ABSOLUTELY. ALL RIGHT.

IF NOTHING ELSE, I'LL LET MARTIN COME BACK.

AS IT RELATES TO THE FINANCIAL FORECAST OF FOUR BE THIS THIS FORECAST TAKES INTO ACCOUNT THE RECOMMENDED CIP PLAN.

AND SO THAT IS IN ESSENCE WHAT WE'RE PRESENTING.

IT DOES AGAIN, WE ALWAYS LOOK AT WHERE EXACTLY WILL THE FUND BE AT THE END OF A FIVE YEAR PERIOD AND WILL IT STAY ABOVE THE THRESHOLD? AND IT DOES.

WE TALK ABOUT SUPPLEMENTALS.

WE TALK ABOUT SUPPLEMENTALS AS RELATED TO THE WATER FUND.

THE 4B FUND DOES NOT HAVE SUPPLEMENTALS.

BUT WHEN WE TALK ABOUT THE PARKS PERFORMANCE FUND, WHICH IS AN OPERATIONAL TYPE OF FUND, THE GOLF FUND, THEY DO HAVE SUPPLEMENTAL REQUESTS.

SO AGAIN, WHAT HAPPENS IN THE 4B FUND, IS IT IMPACTS THE SUBSIDY AS IT RELATES TO THOSE ADDITIONAL EXPENDITURES FROM THERE. SO THAT'S SOMETHING THAT I WANTED TO BRING TO YOUR ATTENTION.

BUT AGAIN, WE'LL BE CLOSE TO A 30 YEAR, 30% FUND BALANCE BY THE END OF THE FIFTH YEAR.

AND AGAIN, THIS ONLY SHOWS THE FIVE YEAR PROJECTION WHEN WE TALK ABOUT LATER IN THE EVENING IS WHAT HAPPENS AFTER THE FIVE YEAR. WE WILL SHOW THAT AS WELL BECAUSE AGAIN, WE ONLY SHOW A FIVE YEAR IS DIFFICULT TO PROJECT TEN YEARS OUT.

BUT AS YOU START INTRODUCING A NEW CIP PLAN, THEN THAT'S IN ESSENCE WHERE YOUR CAPACITY IS BUILT TO BE ABLE TO DECIDE ARE WE GOING TO DO THAT? DO WE? DO WE NOT DO THAT? DO WE PUT IT MORE INTO THE OPERATIONS? IT'S A BALANCE BETWEEN THE TWO.

IS THE SALES TAX COMING IN AS WHAT WE PROJECTED? IF IT DOESN'T, THEN WE NEED TO ADJUST WHERE WE NEED TO ADJUST.

IS THERE ANY QUESTIONS AS IT RELATES TO FOUR B BEFORE I MOVE ON TO THE A FUND? WELL, NEVER MIND.

FORGOT TO MENTION THIS IS THE PLAN AS IT RELATES TO THE OPTIONAL FINANCIAL FORECAST.

AGAIN, IT DOES TAKE INTO ACCOUNT WHAT THE CIP PLAN WOULD BE.

IT DOES TAKE INTO ACCOUNT THE REIMBURSEMENTS TO THE GENERAL FUND OF THE 350,000.

I DO FOCAL POINT THAT, YOU KNOW IT DOES.

IT DOES PROVIDE FUNDING TO THE GENERAL FUND FOR 4B RELATED ELIGIBLE EXPENSES.

BUT AGAIN, IT IS AN OPTION.

IT'S NOT ONE THAT WE'RE RECOMMENDING, BUT IT'S ONE SOMETHING THAT WE WANTED TO BRING TO COUNCIL AS WELL AS AN OPTION.

IS THERE ANY QUESTIONS IN REGARDS TO TO THE OPTIONAL FINANCIAL FORECAST? PARKS PERFORMANCE FUND.

I ALWAYS FORGET ABOUT THOSE TWO FUNDS.

PARKS PERFORMANCE FUND IN GOLF.

LET'S TALK ABOUT PARKS PERFORMANCE FUND.

THERE ARE THE DIVISIONS THAT ARE WITHIN THE PARKS PERFORMANCE FUND.

ARE REVENUE GENERATED TYPE OF DIVISIONS.

IT HAS THE BRICK RECREATION CENTER, THE ATHLETIC FIELDS, AND IT HAS RUSSELL FARMS SLASH KIND OF LIKE AN ART CENTER WITHIN THERE.

[01:35:09]

THE REVENUES THAT ARE GENERATED ALSO WITHIN THE FUND ARE ALSO SUBSIDIZED BY 4B TO ENSURE THAT ALL OF THE EXPENDITURES THAT ARE WITHIN THAT FUND ARE COVERED, AND THEREFORE IT IS A ZERO FUND BALANCE OPERATION.

SO IN ESSENCE, IT'S THE COMBINATION OF THE REVENUE THAT'S GENERATED BETWEEN THE FUND AND THE SUBSIDY FROM 4B THAT WILL SUPPORT ALL OF THE EXPENDITURES THAT ARE INCURRED WITHIN THAT FUND.

AND SO IN 23, WE ARE PROJECTING THE FUND BALANCE.

AGAIN, IT'S THE BEGINNING BALANCE OF ZERO OPERATIONAL REVENUES, ABOUT $2.1 MILLION, TOTAL EXPENDITURES, 5.4.

SO THE 4B SUBSIDY WILL BE ESTIMATED TO BE ABOUT 3.3 MILLION FOR THE PARKS PERFORMANCE FUND FROM 4B.

ONE OF THE THINGS THAT WE TRY TO DO AS IT RELATES TO THE THREE DIFFERENT DIVISIONS WITHIN THE PARK'S PERFORMANCE FUND, THE BRICK OPERATIONS IS THE ONE THAT GENERATES MOST OF THE REVENUE IN THAT FUND.

IT IS MORE WITHIN THE MEMBERSHIPS THAT IT PROVIDES TO THOSE MEMBERS.

THERE ARE SOME RECREATIONAL FEES AND THEN THERE'S A SMALL OTHER REVENUES AS WELL THAT THEY COLLECT.

AGAIN, ONE OF THE THINGS THAT WE WANT TO KIND OF TALK ABOUT IS DURING THE COVID TIME, REVENUES REALLY WENT DOWN BECAUSE WE COULD NOT PROVIDE THOSE SERVICES AT THAT POINT. IT IS GRADUALLY CONTINUING TO GO UP.

IT HAS GONE BEYOND COVID TYPE OF REVENUES, BUT AGAIN, THE EXPENDITURES CONTINUE TO GROW.

AND SO IT IS CURRENTLY A 48% SUSTAINING OPERATION, SO THE REST OF IT IS SUBSIDIZED BY 4B. AS YOU TALK ABOUT THE ATHLETIC FIELDS, THE ATHLETIC FIELDS DOES PROVIDE SOME GENERATE SOME SOME REVENUE AS IT RELATES TO RECREATIONAL LEAGUE FEES, TOURNAMENT FEES, THINGS LIKE THAT.

BUT AGAIN, IT ONLY SUPPORTS 11% OF THE DIVISION'S OPERATING BUDGET.

AND THEN YOU HAVE RUSSELL FARM OPERATIONS AS WELL THAT ALSO SUPPORTS ABOUT 11% OF ITS OPERATIONS.

SO OVERALL, WHEN YOU LOOK AT THE WHOLE PARK'S PERFORMANCE FUND AS IT RELATES TO OPERATIONS, CURRENTLY IT IS SUPPORTING 38% OF THAT.

AND IF YOU ALL HAVE ANY QUESTIONS IN REGARDS TO THAT.

I DO.

HISTORICALLY, EVEN GOING BACK FURTHER THAN FISCAL YEAR 18 AND 19 THAT YOU SHOW HERE, IT WAS ALWAYS GENERALLY NECK AND NECK BETWEEN THE BRICK AND GOLF AS TO WHAT PERCENTAGE OF SELF-SUSTAINING THEY WERE ABLE TO ACHIEVE.

THE BRICK ACHIEVED IT JUST LIKE GOLF DID AT ABOUT A 75 SOMEWHERE IN THE MID 70% RANGE.

NOW IT APPEARS THAT WE'RE JUST COMFORTABLE WITH SAYING, YOU KNOW WHAT, WE'RE JUST GOING TO HOLD IT AT 48%, THAT THAT MAY WORK IN GOVERNMENT, BUT IT DOESN'T WORK WORTH A DAMN IN BUSINESS. THIS IS SORT OF AN ENTERPRISE FUND.

AND I'M WONDERING, ARE WE GOING TO JUST CONTENT OURSELVES WITH BEING THERE OR ARE WE GOING TO LOOK AT THIS OPERATION AND SEE IF THERE'S A WAY THAT WE CAN GET IT BACK UP TO ITS PROFITABILITY LEVEL THAT IT WAS BEFORE COVID? I SEE NO REASON WHY WE SHOULD BE ACCEPTING THAT CAN'T PERFORM LIKE IT DID BEFORE.

SO WHAT I WANT TO GO BACK TO THE BRICK SPECIFICALLY, BECAUSE WHERE YOU'LL REALLY SEE THE DIFFERENCES IS IN THESE EXPENDITURES.

AND THE THERE'S A COUPLE OF THINGS THAT CONTRIBUTE TO THESE EXPENDITURES.

IT'S CAPITAL PROJECTS.

IT'S THE FACT THAT WE DID MARKET ADJUSTMENTS ACROSS ALL THOSE BASELINE STAFF.

WE HADN'T GIVEN ANY OF OUR STAFF RAISES IN QUITE A FEW YEARS AS FAR AS THOSE FRONTLINE TEAM.

SO THAT WAS A CERTAIN PERCENTAGE.

THEY ALSO MOVED MULTIPLE POSITIONS FROM GENERAL FUND TO 4 B, AND SO YOU'LL SEE THAT IN THE BRICK MY POSITION ADMIN ASSISTANT AND THEN STARTED CHARGING MORE IN ADMIN SERVICES.

SO INTERNAL SERVICES, HR, FINANCE.

ET CETERA. SO WE'RE BACK TO MAKING THE SAME AND ACTUALLY MORE REVENUE.

BUT OUR COST OF DOING BUSINESS HAS INCREASED.

AND SO THAT'S ACTUALLY PART OF OUR INTERNAL DISCUSSION IS WHAT DOES COUNCIL WANT TO SET AS THAT PERCENTAGE BECAUSE IT'S COSTING US MORE TO RUN THE FACILITY AT THE LEVEL THAT IT SHOULD BE, WHICH HAS LOWERED OUR SUBSIDY.

AND RIGHT NOW WE DO HAVE A HEALTHY FOUR TB THAT CAN SUPPORT THAT.

BUT WHAT WHAT IS OUR GOAL? THAT'S KIND OF WHAT I'M ASKING.

WHAT IS OUR GOAL? AND MAYBE THAT'S SOMETHING THAT WE NEED TO ADDRESS IN A SEPARATE MEETING UNDER DIFFERENT CIRCUMSTANCES.

AND LET'S JUST TARGET WHERE WE THINK THIS THING CAN BE.

IT'S NOT GOING TO BE 100% SELF-SUSTAINING.

WE KNOW THAT. WE NEVER EXPECTED THAT FROM THE START.

IT'S A FINE FACILITY THAT WE PROVIDE FOR THE CITIZENS AS AN AMENITY TO BEING A MEMBER OF THE COMMUNITY AND LIVING HERE.

BUT AT SOME POINT IN TIME, WE HAVE TO SAY, WELL, THAT'S WORTH SO MUCH, YOU KNOW, AND I'D MAKE THE COMMENT TRUE AND ABSOLUTE NUMBERS.

[01:40:06]

WE ARE AT SLIGHTLY ABOVE EVEN THE LEVEL THAT WE WERE PRE-COVID IN REVENUES, BUT WE'RE FORGETTING THAT WE'VE HAD INFLATION.

WE YOU KNOW, EVERYTHING ELSE IS COSTING A WHOLE LOT MORE MONEY.

PERHAPS WE SHOULD BE LOOKING AT THE NUMBER OF MEMBERS THAT WE HAVE AND WHAT KIND OF ATTENDANCE AND WHAT KIND OF USE WE GET AND SEEING IF WE DON'T NEED TO LOOK AT AT THE RATES THAT WE'RE CHARGING. AND SO THAT'S OUR NEXT EXERCISE.

WHEN WE TALK ABOUT THAT IS TALKING ABOUT A MEMBERSHIP FEE INCREASE.

LAST YEAR WE INTERNALLY DID THAT DISCUSSION.

WE BENCHMARKED OURSELVES WITH THE RECREATION FACILITIES THAT ARE DIRECTLY ADJACENT TO US, AREN'T REALLY APPLES TO APPLES.

SO WE LOOKED AT LIKE LIFETIME FITNESS AND PRIVATE FITNESS PLACES.

THERE IS SOME MARKET FOR US TO DO SOME ADJUSTMENT.

LAST YEAR WE FELT LIKE INFLATION WAS REALLY HIGH AND HIT EVERYBODY REALLY HARD, SO WE DIDN'T REQUEST THAT.

BUT THAT IS SOMETHING THAT WE ABSOLUTELY ARE PREPARED TO DISCUSS.

IF THAT'S SOMETHING THAT COUNCIL WOULD LIKE US TO PURSUE OUR AS FAR AS ATTENDANCE AND MEMBERSHIPS, WE'RE RIGHT AT OUR 2019 NUMBERS.

OKAY. I JUST WANT TO CHALLENGE STAFF AND..

ABSOLUTELY.. LOOK AT WHAT WE CAN DO TO GET TO WHERE WE KNOW WE CAN BE.

WE HAVE WE WERE THERE BEFORE.

I SEE NO REASON WHY WE COULDN'T BE THERE NOW.

GOLF PREDICTED A DECLINE YEARS AGO THAT IT WOULD CONTINUE TO LOSE.

IT'S GONE EXACTLY THE OPPOSITE DIRECTION.

IT'S DOING MUCH BETTER NOWADAYS, SO PERHAPS WE NEED TO REVIEW WHAT WE DID, WHAT WE CHANGED AT WHAT I KNOW COVID HELPED GOLF BECAUSE IT WAS AN OUTDOOR EVENT. PEOPLE DIDN'T HAVE TO BE AS WORRIED ABOUT THE DISEASE AND SO FORTH.

SO IT DID WELL.

OKAY, FINE. BUT COVID'S IN THE PAST, AT SOME POINT WE NEED TO SAY THAT'S OVER.

WHAT ARE WE GOING TO DO GOING FORWARD? WHAT ARE WE WILLING TO ACCEPT? AND IT MAY BE THAT WE'RE WILLING TO ACCEPT 38%, BUT I'D LIKE TO LOOK AT IT A LITTLE HARDER.

YES, SIR. ONE OF THE THINGS AS WELL AS WE TALK ABOUT LIKE WE TALKED ABOUT, THE WATER FUND IS CONTINUING TO TO PASS THROUGH THOSE INCREASES IN COST OVER TIME.

AND SO NOT SURE WHEN THE LAST TIME WE DID A INCREASE IN THE MEMBERSHIP FEES.

BUT AGAIN, IT'S SOMETHING THAT WE GRADUALLY MAY LOOK AT OVER TIME AS INFLATION CONTINUES TO GROW.

WE NEED TO PASS THAT THROUGH AS WELL FOR THAT IN REGARDS TO THAT SERVICE.

BUT WE WILL WE WILL ALL LOOK AT THAT AS WELL.

AND I DON'T WANT TO IMPLY WITH MY COMMENTS THAT WE THINK STAFF SHOULD WORK CHEAPER AND NOT HAVE RAISES, THAT STAFF IS ENTITLED TO RAISES IN THAT DEPARTMENT JUST LIKE THEY ARE ANYWHERE ELSE. IT'S ALL PART OF OUR GENERAL COMPENSATION PLAN, RETENTION AND SO FORTH.

I DON'T MEAN TO CUT THE EMPLOYEES SHORT OUT OF OUT OF ANYTHING, BUT IT'S JUST SOMETHING I WANT TO LOOK AT A LITTLE HARDER.

THIS IS THE FINANCIAL FORECAST FOR THE PARKS PERFORMANCE FUND, AND IT DOES TALK ABOUT THE PERSONNEL COST, THE EXPENDITURES ARE GOING UP. IT TALKS ABOUT HOW THE SUBSIDY CONTINUES TO GO UP.

SO, YES, IT IS IT IS SOMETHING THAT WE NEED TO LOOK AT IN REGARDS TO WHAT IS THAT PLAN AND HOW DO WE PREVENT, AGAIN, EITHER SMOOTHING OUT THE SUBSIDY AND INCREASING THE OPERATIONAL SIDE TO SUPPORT ITSELF.

THERE ARE SOME AGAIN, WE'RE PROPOSING SOME PROPOSED SUPPLEMENTALS THAT WE'RE LOOKING AT AS WELL.

WE PROVIDE SOME MORE DETAILS AS WE BRING THAT THE BUDGET PROCESS AND THE RECOMMENDATIONS FROM CITY MANAGER IN THE COMING MONTHS.

SO AGAIN, IT IS A ZERO BASED FUND BALANCE.

AND AGAIN, THE REASON WHY IT IS A ZERO FUND BALANCE BECAUSE THERE IS A SUBSIDY FROM 4B THAT COVERS THAT AS WELL.

IS THERE ANY QUESTIONS IN THE PARK'S PERFORMANCE FUND? GOLF FUND PROVIDES GOLF SERVICES FOR THE COMMUNITY.

I AM NOT A GOLFER, I COULD PROBABLY THROW IT FARTHER AND STRAIGHTER, BUT I THINK IT IS A REALLY GOOD ASSET FOR THE COMMUNITY.

I THINK THE STAFF HAS DONE A GREAT JOB AS REGARDS TO OVERSEEING THIS FUND.

IT HAS THREE DIVISIONS AS WELL.

IT HAS A GOLF COURSE, IT HAS A CLUBHOUSE AND PRO SHOP.

IT ALSO HAS A FOOD AND BEVERAGE, WHICH THE FOOD IS REALLY GOOD AS WELL.

REVENUES, AGAIN, ARE SUPPORTING SOME OF THE OPERATIONS.

BUT AGAIN, 4B DOES PROVIDE A SUBSIDY TO THAT FUND.

FISCAL YEAR, AGAIN, WE TALK ABOUT HOW WE DID THE PARKS PERFORMANCE FUND.

THE FUND BALANCE FOR GOLF IS ZERO.

OPERATING REVENUES ABOUT 2.1 MILLION.

TOTAL EXPENDITURES IS ABOUT 3.7 MILLION.

AND AGAIN, THE 4B SUBSIDY IS APPROXIMATELY ABOUT $1.5 MILLION.

THIS KIND OF SHOWS A GRAPH THAT WE PROVIDED FROM WE RECEIVED FROM GOLF AS IT RELATES TO HOW THOSE INCREASES HAVE BEEN COMING OVER TIME.

AND SO IT DOES THE REVENUES CONTINUE TO GROW.

[01:45:03]

I THINK THEY'VE HAD SOME SOME INCREASES WITHIN THE COFFEES OVER TIME.

BUT AGAIN, THE IMPROVEMENTS THAT THEY'VE DONE WITHIN THE GOLF HAS ALSO HELPED ALLOWING THE SERVICES TO BE BETTER FOR THE COMMUNITY.

AND AND THIS KIND OF IS AN INTERESTING FOCAL POINT BECAUSE AGAIN, THERE IS IF YOU LOOK AT OVERALL, THE SUBSIDY DOES CONTINUE TO GO DOWN. IT DOES HAVE A 4B SUBSIDY FOR THE DEBT.

THAT DEBT WILL BE PAID OFF IN 25.

AND AGAIN, THAT'S IN ESSENCE WHAT WE SHOW AND REFLECT AND WE KEEP TRACK OF IT.

THE INTERESTING THING, AGAIN, THAT'S NOT AN INTERESTING THING, BUT GOLF CONTINUES TO PERCENTAGE OF SELF-SUSTAINING.

IT DOES HAVE A 58% BY THE END OF THIS FISCAL YEAR, BUT IT GRADUALLY CONTINUES TO GROW BASED UPON OUR PROJECTIONS FOR THE REVENUES GENERATED FROM GOLF.

IS THERE ANY QUESTIONS IN REGARDS TO THE GOLF FUND? THE 4A FUND.

FOUR A FUND SUPPORTS ECONOMIC DEVELOPMENT, OPERATIONS, INCENTIVES AND CAPITAL IMPROVEMENT PLANS THAT ARE ALLOWED AND ELIGIBLE BETWEEN THE 4A FUND.

THE YEAR AN ESTIMATE FOR FUND BALANCE IS ABOUT $4.9 MILLION AS 128% FUND BALANCE PERCENTAGES IS WHAT WE'RE ESTIMATING.

KEY ITEMS TO TO THINK ABOUT IS 5.5% INCREASE AS IT RELATES TO ASSUMPTIONS FOR SALES TAX.

WE ALSO HAVE A DEBT SERVICE PAYMENT RIGHT NOW FOR THE DEBT WITHIN THE FOR A ABOUT $1.8 MILLION THAT'S COMING UP FOR THIS FISCAL YEAR THAT WE PAID.

IT DOES HAVE A $15 MILLION BOND ISSUE THAT WE'RE GOING TO BE PROPOSING AND ASKING FOR THIS AFTERNOON AS IT RELATES TO THE NOTICE OF INTENT TO ISSUE FOR LAKEWOOD DRIVE FOR INCENTIVES. RIGHT NOW, IT'S ABOUT $4.4 MILLION THAT WE'RE PROJECTING FOR 24.

IT INCLUDES CRAFTMASTER, ABOUT 3.5 MILLION.

THAT'S OFFSET WITH THE 2.5 LAND PURCHASE.

AND IT'S A TIMING BETWEEN THE TWO ALLEY CATS, ABOUT 342,000 AND PROJECT FACELIFT, ABOUT 648,000.

I'M GOING TO PASS IT ON TO ALEX PHILLIPS TO TALK ABOUT THE FOR A CIP PLAN.

APPRECIATE IT MAYOR AND COUNCIL.

TALK ABOUT THE CIP PLAN AS WE HAD IT LAID OUT FOR 2023, THE CHANGES AND THEN WHAT WE PROPOSE GOING FORWARD.

SO WE HAD 5 MILLION SET ASIDE FOR LOOKING AT STARTING TO LOOK AT NEW INDUSTRIAL PARK THIS YEAR, CHISHOLM SUMMIT INFRASTRUCTURE BEING 25 MILLION . TOTAL PROJECTS FOR THIS YEAR BEING $30 MILLION AND BOUGHT IN BOND ISSUANCE.

AND THEN NEXT YEAR INDUSTRIAL PARK, A NEW INDUSTRIAL PARK.

ADDITIONAL INFRASTRUCTURE OUT TOWARDS CHISHOLM SUMMIT WITH POTENTIAL ALSBURY EXPANSION AND THAT BEING A TOTAL OF ANOTHER 15 FOR A TOTAL OF 55 MILLION OVER THE NEXT THREE YEARS.

THE CHANGES TO THE PLAN LAKEWOOD DRIVE IS COMING IN LOWER THAN EXPECTED.

SO THAT'S THAT $15 MILLION, NOT 25 NEW INDUSTRIAL PARK.

WE KIND OF PUT THAT ON HOLD AND MOVING THAT OUT TO NEXT YEAR TO LOOK AT STRATEGIC PLAN IF THAT'S THE DIRECTION OF THIS COUNCIL.

BUT WE DO HAVE THE CAPACITY TO DO CERTAIN PROJECTS IN THAT NATURE AND THEN PROPOSING THE ADDITIONS FOR NEXT YEAR.

AS YOU SEE THE NEW INDUSTRIAL PARK, $10 MILLION, THE $10 MILLION FOR LAKEWOOD AND THEN $10 MILLION NEXT YEAR FOR FUTURE ALSBURY ADDING THE RETENTION POND FOR HOOPER BUSINESS PARK IN THIS YEAR AND THIS NEXT YEAR'S BUDGET AND THEN HOOPER BUSINESS PARK SEWER UPSIZING REALLY FOR ADJACENT PROPERTY THAT IS COMING INTO OUR ETJ.

THAT WAY WE COULD SERVE IT IN THE FUTURE.

SO TOTAL PROJECTS FOR NEXT YEAR BEING 29.5 MILLION AND THEN 2025 AGAIN BEING A PLAN FORWARD IF THAT'S COUNCIL'S DIRECTION. MAYOR COUNCIL JUST A POINT OF CLARIFICATION.

THE LAKEWOOD PROJECT IS $25 MILLION IN TOTAL.

WE ORIGINALLY ESTIMATED THAT TO BE 35.

AND SO THE 15 LAST YEAR, THE TEN THIS YEAR AND THEN THE TEN FOR ALSBURY IS A SHIFT FROM THE 35 MILLION FROM LAKEWOOD TO ALSBURY.

BUT. ANY QUESTIONS? WE'LL HAND IT BACK OVER TO MARTIN.

THE 4A FINANCIAL FORECAST KIND OF SHOWS WHERE THAT FUND WILL BE FOR THE NEXT FIVE YEARS.

[01:50:02]

AND AGAIN, WE START AT 128 BASED UPON THAT CIP PLAN AND THE OPERATIONS OF THE FUND AND THE INCENTIVES.

BY THE END OF THE FIFTH YEAR, WE'RE PROJECTING WE'LL BE AT 70% FUND BALANCE.

ALL OF THESE FUNDS THAT WE PRESENTED TODAY, THEY'RE ALL ABOVE THE MINIMUM REQUIREMENT.

AND SO WE CONTINUE TO LOOK AT THIS PLAN COMPARED TO WHAT THE STAFF IS RECOMMENDING OVER TIME.

AND SO THIS IS AN IMPORTANT MODEL THAT WE LOOK AT TO ENSURE THAT WE COULD SUSTAIN OURSELVES, FUND OURSELVES.

BUT WE LOOK AT THIS EVERY YEAR TO MAKE SURE THAT THE FUNDS ARE COMING IN AND ACTUALLY WE LOOK AT IT EVERY YEAR AND WE LOOK AT IT EVERY MONTH TO MAKE SURE, ESPECIALLY ON THE SALES TAX COMING IN AS IT RELATES TO THE 4B, THE FOUR A AND THE GENERAL FUND.

AND THAT IS IT FOR THIS PRESENTATION.

IT'S A BIT. YEP.

SURE. CAN WE TAKE A BREAK? I WAS GOING TO SAY MAYOR AND COUNCIL, ACTUALLY, AT THIS TIME, I'M GOING TO CALL FORWARD ONE OF THE GENERAL ITEMS. SO SECTION SEVEN, GENERAL SEVEN A IS TO CONSIDER APPROVAL OF A MINUTE ORDER RATIFYING THE 4A ECONOMIC DEVELOPMENT CORPORATION BOARD'S ACTION TAKEN ON APPROVAL OF PERFORMANCE AGREEMENT BETWEEN THE BURLESON 4A ECONOMIC DEVELOPMENT CORPORATION AND CRAFT MASTERS FOR A DEVELOPMENT LOCATED WITHIN HOOPER BUSINESS PARK IN BURLESON, TEXAS.

THE STAFF PRESENTER IS ALEX PHILLIPS, ECONOMIC DEVELOPMENT DIRECTOR.

HOWEVER, AT THIS TIME, MR. PHILLIPS, WE DO HAVE A NEED FOR EXECUTIVE SESSION.

[9. RECESS INTO EXECUTIVE SESSION (Part 1 of 2)]

SO IN ACCORDANCE WITH CHAPTER 551 OF THE TEXAS GOVERNMENT CODE, THE CITY COUNCIL WILL CONVENE INTO EXECUTIVE SESSION UNDER SECTIONS 551.071 AND 551.087, SPECIFICALLY FOR CRAFT MASTERS PROJECT WORKFORCE.

MAYOR, IF YOU COULD ASK FOR A VOTE, PLEASE.

IS THERE A MOTION? I'LL MOVE.

SECOND. I DON'T HAVE A SCREEN.

YOU DON'T HAVE A SCREEN, MAYOR, SO GO AHEAD.

GO AHEAD AND VOTE.

YOU GOT IT.

MAYOR FLETCHER, DO YOU DO YOU VOTE IN THE AFFIRMATIVE OR THE NEGATIVE? THE AFFIRMATIVE. I'M A YES.

OKAY. PASSES UNANIMOUS.

WE'RE GOING TO CONVENE AN EXECUTIVE SESSION AT 6:02.

MAYOR, IF YOU COULD ASK FOR A MOTION TO RECONVENE INTO OPEN SESSION, PLEASE.

IS THERE A MOTION TO RECONVENE? I HAVE A MOTION BY DAN A SECOND.

BY ADAM. PLEASE VOTE.

PASSES UNANIMOUS. WE'RE BACK IN SESSION AT 6:16.

OKAY, MAYOR AND COUNCIL AT THIS TIME, WE WILL RESUME WITH ITEM SEVEN A.

ALEX PHILLIPS.

[7.A.Consider approval of a minute order ratifying the 4A Economic Development Corporation Board's actions taken on the approval of a Performance Agreement between the Burleson 4A Economic Development Corporation and Craftmasters for a development located within Hooper Business Park in Burleson, Texas. (Staff Presenter: Alex Philips, Economic Development Director)]

THANK YOU, MISS CAMPOS.

GOOD EVENING, MAYOR AND COUNCIL.

ALEX PHILLIPS, ECONOMIC DEVELOPMENT DIRECTOR FOR THE CITY OF BURLESON.

BRINGING THIS AGREEMENT FORWARD THAT WE'VE BEEN WORKING ON WITH WE'VE BEEN SAYING PROJECT WORKFORCE FOREVER, BUT IT IS CRAFT MASTERS GET TO LEARN ABOUT HOW IT CAME ABOUT. TALK ABOUT THE WEST SIDE DEVELOPMENT.

TALK ABOUT OUR HISTORY WITH CRAFT MASTERS.

I'LL HAND IT OVER TO CHAD TURNBULL WITH CRAFT MASTERS.

HE'LL LET YOU KNOW A LITTLE BIT ABOUT WHAT THEY'RE WANTING TO DO HERE IN BURLESON, AND THEN HE'LL HAND IT BACK OVER TO ME FOR THE DEVELOPMENT DETAILS AND KIND OF GO THROUGH SOME FEEDBACK AND NEXT STEPS.

SO ON THE WEST SIDE, IT KIND OF STARTED BACK IN JULY 2020 WITH A MASTER PLAN.

COMMUNITY POLICY WAS APPROVED BY CITY COUNCIL.

THAT WAS TO INCENTIVIZE LARGER DEVELOPMENTS, SUBDIVISIONS FOR AMENITIES, THEMES, THINGS OF THAT NATURE.

THE EDC STRATEGIC PLAN WAS APPROVED IN OCTOBER OF 2020 BY THE FOUR BOARD AND COUNCIL.

ONE OF THOSE ITEMS INCLUDED A MEDICAL PROFESSIONAL OFFICE PARK AS A GOAL IN 2021, IN JUNE AT AT THE SAME TIME, IT WAS KIND OF PART OF THE CHISHOLM SUMMIT DEAL.

THE EDC PURCHASED 106 ACRES ADJACENT TO CHISHOLM SUMMIT, ALONG WITH THE 380 BEING APPROVED FOR CHISHOLM SUMMIT.

THAT ALLOWED FOR SOME $4 FOR INFRASTRUCTURE THAT'S BEING PUT IN PLACE OUT THERE TODAY.

TRADE SCHOOL WAS A TOP PRIORITY FOR CITY COUNCIL AT THE RETREAT IN 2022 THAT WAS ADOPTED BY CITY COUNCIL IN SEPTEMBER.

WE DID RECEIVE A LETTER OF INTENT FROM TEXAS HEALTH IN SEPTEMBER OF 22 FOR POTENTIAL BUSINESS TRANSACTION AT HOOPER BUSINESS PARK.

BUT NOTHING TRANSPIRED AND THAT EXPIRED IN MARCH OF 23.

IN OCTOBER LAST YEAR OF 22, CITY COUNCIL DID APPROVE A CONTRACT TO HAVE THE DESIGN FOR THE REGIONAL DETENTION POND FOR HOOPER BUSINESS PARK. AT THAT TIME.

[01:55:02]

SO THE HISTORY WITH PROJECT WORKFORCE, AKA CRAFT MASTERS NOW.

WE HAD A VERY FIRST CALL WITH THEM IN SEPTEMBER OF 2021 TO TALK ABOUT THEIR PROJECT, WHAT THEY WANTED TO DO, AND A SITE OFF OF 917 IN THE SOUTHERN CITY LIMITS OF BURLESON.

WE DID HAVE OUR FIRST EXECUTIVE SESSION WITH CITY COUNCIL ABOUT THE PROJECT AND RECEIVED DIRECTION TO MOVE FORWARD.

MYSELF AND DREW PINWELL OF MY STAFF.

WE WENT OUT TO FULL SAIL UNIVERSITY AND MET WITH FULL SAIL REPRESENTATIVES THE OWNER, JOHN PHELPS, CHAD TURNBULL AND A HOST OF FOLKS THAT MADE US FEEL RIGHT AT HOME TO UNDERSTAND WHO THEY WERE, WHAT THEY WANTED TO ACCOMPLISH WITH WHAT CRAFT MASTERS WAS GOING TO BE, AND WHAT IT WILL BE IN. FROM FEBRUARY TO SEPTEMBER 2022.

CITY STAFF AND WORKFORCE REPRESENTATIVES.

WE WORKED ON SITE DUE DILIGENCE LOOKING THE SEWER TO THE AREA THAT THEY WERE LOOKING AT.

WE PRESENTED IN EXECUTIVE SESSION IN OCTOBER OF 22 THE DISCUSS THE POTENTIAL OF $6 MILLION IN INCENTIVES AND WAS TOLD TO MOVE FORWARD BY CITY COUNCIL AT THAT TIME.

DECEMBER OF 2022, PROJECT WORKFORCE DETERMINED THAT THE SITE OFF OF 917 WAS TOO COSTLY DUE TO OFFSET COSTS TO TAKE SEWER FROM HIGH POINT BUSINESS PARK BASICALLY TO 731 AND 917 TOO COSTLY TXDOT REQUIREMENTS FOR OFFSITE BETHESDA WATER OFF SITE REQUIREMENTS.

SO WE STARTED LOOKING AND WE BROUGHT BACK TO EXECUTIVE SESSION JANUARY OF THIS YEAR TO DISCUSS A NEW SITE AT HOOPER BUSINESS PARK AND RECEIVE FULL DIRECTION TO MOVE FORWARD. AT THE SAME TIME, THE EDC STAFF, WE ENGAGED TISCHLER BICE TO CONDUCT A THIRD PARTY FINANCIAL ANALYSIS ON THE PROPERTY.

AND THEN IN MARCH OF EARLIER THIS YEAR WE HAD AN EXECUTIVE SESSION TO DISCUSS INCENTIVE PACKAGING, TOTAL 4.45 MILLION AND GAIN FULL SUPPORT.

AT THAT TIME. IN MARCH, AFTER THAT EXECUTIVE SESSION, WE DID HAVE AN EXECUTED TERM SHEET BY THE CITY AND PROJECT WORKFORCE AND STARTED WORK ON THE AGREEMENT THAT'S IN FRONT OF YOU TONIGHT. SO AT THIS TIME, I'M GOING TO HAND IT OVER TO CHAD TURNBULL WITH CRAFT MASTERS TO LET YOU KNOW ABOUT THE PROJECT.

THANK YOU, MAYOR FLETCHER AND COUNCIL AND CITY STAFF.

WE ARE, WE'RE GRATEFUL TO BE HERE WITH YOU AND HAVE AN OPPORTUNITY TO SHARE THE VISION OF CRAFT MASTERS.

I'M HERE ON BEHALF OF CRAFTMASTERS.

AND JOHN AND ESTHER PHELPS IS HERE WITH US AS WELL.

AND THEN ALSO, WE BROUGHT WELL, WE HAVE OUR ARCHITECTURE FOLKS ARE HERE, OUR CIVIL ENGINEERS ARE HERE.

OUR LANDSCAPE ARCHITECTURE FOLKS ARE HERE, OUR CONSULTANTS AND ADVISORS AND FINANCIAL FOLKS.

WE BROUGHT THE WHOLE TEAM BECAUSE WE'RE HERE PLANNING, FIGURING OUT HOW WE'RE GOING TO BUILD THIS AND MAKE IT AMAZING.

SO I WANT YOU TO KNOW WE'RE ALL HERE.

WE'RE ALL EXCITED TO BE WITH YOU.

I'M JUST THE ONE THAT GETS TO STAND UP AND SAY THAT WE'RE EXCITED, WHICH IS HONESTLY, THAT'S MY FAVORITE PART ANYWAY.

SO CRAFTMASTERS IS FOCUSED ON SOLVING THE COUNTRY'S DESPERATE NEED FOR SKILLED TALENT IN EVERY AREA OF CONSTRUCTION BY REIMAGINING HOW TOMORROW'S WORKFORCE IS EDUCATED.

YOU KNOW THAT THE CONSTRUCTION INDUSTRY, EVERYBODY HAS A SENSE FOR THE FACT THAT THE CONSTRUCTION INDUSTRY IS HUGE GLOBALLY.

IT'S A $10.5 TRILLION INDUSTRY ESTIMATED IN THIS YEAR, AND IT'S ESTIMATED TO GROW BY 37% OVER THE NEXT SEVERAL YEARS, PUTTING IT AT 14.4 TRILLION IN 2030.

IT'S MASSIVE, WHICH IS WHICH IS GOOD NEWS, BUT IT'S KIND OF GOT A BAD NEWS SIDE TO IT.

THERE ARE 7.4 MILLION JOBS IN THE UNITED STATES RIGHT NOW AS OF AS OF 2021.

AND THAT DEMAND CONTINUES TO GROW WITH THE SIZE OF THE MARKET THAT CONTINUES TO GROW.

AND SO YOU SEE 18% YEAR OVER YEAR INCREASE IN JOB OPENINGS.

YOU SEE 546,000 ADDITIONAL CONSTRUCTION WORKERS NEEDED OVER THE PREVIOUS HIRING PACE.

AND THAT CREATES THE INCREASE OF THE MARKET SIZE, THE AGING WORKFORCE AND THE LACK OF OF NEW YOUNG FOLKS COMING BEHIND CREATES A CRISIS IN OUR COUNTRY.

AND THAT'S WHY YOU SEE THINGS HAPPENING LIKE 45% OF COMPANIES ARE TURNING DOWN WORK BECAUSE THEY CAN'T STAFF IT.

AND YOU SEE AN ANALYSIS THAT BY 2028, WE COULD HAVE A WORKER SHORTFALL OF 3 MILLION PEOPLE.

AND SO THAT CREATES A CHALLENGE.

WHAT ARE WE GOING TO DO? HOW ARE WE GOING TO ADDRESS THAT, THAT ISSUE? AND THAT'S WHAT CREATED THE QUESTION.

WHAT IF THE FOUNDER OF FULL SAIL UNIVERSITY HERE WITH US, JOHN PHELPS, APPLIED HIS 40 YEARS OF EDUCATION EXPERIENCE TO THIS MAJOR EDUCATION NEED OF OUR DAY, IF YOU DON'T KNOW ABOUT FULL SAIL WAS FOUNDED IN 1979, AND IT WAS A POSITIVE REBELLION, AS JOHN SAYS, LOOKING AT

[02:00:06]

HOW CAN WE EDUCATE FOLKS IN A WAY THAT IS THAT'S DIFFERENT, DOESN'T ACCEPT THE STATUS QUO AND DOES WHAT'S ABSOLUTELY BEST FOR THE STUDENT, NOT NECESSARILY WHAT'S BEEN DONE IN THE PAST.

GET A GLIMPSE OF THE I DON'T KNOW IF I'M TECHNICALLY ALLOWED TO INVITE YOU ALL TO FULL SAIL, BUT IF I'M NOT, THEN YOU'RE NOT INVITED.

BUT IF I'M ALLOWED, THEN YOU'RE INVITED.

WE WOULD LOVE TO HAVE YOU AND SHOW YOU AROUND.

TODAY, OVER 86,000 GRADUATES HAVE LEFT THEIR MARK ON THE INDUSTRY, SHAPING POP CULTURE AND ALL THINGS RELATED TO THE WORLD OF ENTERTAINMENT, MEDIA, ARTS AND TECHNOLOGY. SO THERE ARE 22,000 CURRENT STUDENTS FROM ALL 50 STATES AND 67 COUNTRIES.

THE CAMPUS IS 210 ACRES.

THERE'S OVER 110 UNIQUE STUDIOS AND LAB ENVIRONMENTS, AND THE FULL SAIL GRADUATES AGAIN HAVE LEFT THEIR MARK.

THIS IS JUST CREDITS FOR OF GRADUATES ON AWARD WINNING PROJECTS.

SO IF YOU'VE WATCHED TV OR SEEN A MOVIE OR PLAYED A VIDEO GAME, THEN YOU'VE SEEN THE WORK OF FULL SAIL STUDENTS OUT IN THE WORLD.

SO HOW DO WE APPLY THAT 40 YEARS OF EDUCATION EXPERIENCE INTO THIS NEW OPPORTUNITY? AND THAT'S WHAT WE'RE IN THIS WHOLE TEAM IS WORKING ON.

HOW DO WE HOW DO WE DO THAT? AND NOT ONLY HOW DO WE DO THAT, BUT HOW DO WE REWRITE THE PERCEPTION OF WHAT IT MEANS TO BE A CRAFTSPERSON AS A RESPECTED CAREER? AND WE'RE EXCITED.

WE'RE EXCITED TO REWRITE THAT AND REWRITE IT RIGHT HERE.

QUICK GLIMPSE OF THE LATEST RENDERING.

GET A LOOK AT WHAT WE'RE TALKING ABOUT BUILDING IN HOOPER BUSINESS PARK.

WHAT WE PROPOSE TO BUILD.

CRAFT MASTERS IS NOT YOUR TYPICAL SCHOOL.

IT DOESN'T WORK LIKE A TYPICAL, TYPICAL SCHOOL.

THE CAMPUS IS DIFFERENT, AS YOU'VE SEEN.

IT'S NOT A TYPICAL CAMPUS OF WHAT YOU WOULD THINK OF FOR FOR A TRADE SCHOOL ENVIRONMENT, AND THAT'S BY DESIGN.

THE PROJECTS ARE DIFFERENT.

THE SCHEDULE IS DIFFERENT.

IT'S NOT AN ORDINARY SCHOOL.

WE WANT TO TEACH TIMELESS SKILLS.

ROCKS ARE HARD, WATER IS WET.

THAT DOESN'T CHANGE.

BUT WE ALSO WANT TO TEACH THE LATEST TECHNOLOGY.

SO HOW DO YOU WORK WITHIN YOUR FIELD WITH THE LATEST TOOLS, THE LATEST TECHNIQUES TO DO A GREAT WORK? AND THE EDUCATION IS DESIGNED AROUND REAL WORLD PROJECTS.

SO IT'S HANDS ON FOCUSED EDUCATION, IT'S PROJECT BASED WORK THAT IS IN PROFESSIONAL ENVIRONMENTS SO THAT STUDENTS ARE ABLE TO GRADUATE AND GO TO WORK AND BE OF VALUE TO THEIR EMPLOYERS. WE WANT TO GET STUDENTS IN AND GET THEM OUT AND GET THEM INTO THE INTO THE FIELD.

AND SO WE START PROGRAMS EVERY MONTH.

WE OFFER MORNING AND AFTERNOON CLASS SHIFTS, AND MOST PROGRAMS CAN BE COMPLETED IN A YEAR.

THE AREAS OF EDUCATION ARE BROAD, AND THAT'S BY DESIGN.

SO WE WANT TO MAKE SURE THAT OUR GRADUATES ARE VERSATILE.

AS WE'VE SAID, A VERSATILE EMPLOYEE IS A VALUABLE EMPLOYEE.

AND THE SECOND THING WE WANT TO DO IS MAKE SURE THAT STUDENTS HAVE AN OPPORTUNITY TO GET THEIR HANDS ON A LOT OF DIFFERENT FIELDS SO THAT THEY HAVE AN OPPORTUNITY TO DISCOVER WHAT THEY ARE PARTICULARLY GOOD AT, PARTICULARLY PASSIONATE ABOUT, SO THAT THEY CAN FOCUS IN ON THOSE THINGS IN AS THEY MOVE FORWARD IN THEIR CAREER.

EACH CAMPUS WILL HAVE THE ABILITY TO GRADUATE 5000 STUDENTS PER YEAR, AND OUR VISION IS 20 CAMPUSES ACROSS THE COUNTRY GRADUATING 100,000 SKILLED CRAFT MASTERS PER YEAR.

CITY FINALISTS.

DEPENDING ON HOW THIS MEETING GOES FOR THE FLAGSHIP CAMPUS AND CORPORATE HEADQUARTERS.

OUR ORLANDO, FLORIDA, BURLESON, TEXAS AND PHENIX, ARIZONA.

AND AS I'VE TOLD YOU GUYS BEFORE, WE'D REALLY LIKE IT TO BE HERE.

THAT'S IT FOR ME. THANKS.

SO KIND OF GO THROUGH THE DEVELOPMENT DETAILS OF HOW THEY WANT TO CONSTRUCT THIS.

AND WE'RE AT IT'S AT HOOPER BUSINESS PARK, AS YOU CAN SEE HERE BY THAT STAR LOCATED OUT BY 1902 AND CHISHOLM TRAIL PARKWAY, JUST NORTH OF AND ADJACENT TO THE CHISHOLM SUMMIT DEVELOPMENT DEVELOPMENT PROPOSAL FROM CRAFT MASTERS THAT WILL BE PURCHASING 62 ACRES IN TWO PHASES LOCATED OUT AT THE PARK FOR THE CAMPUS HEADQUARTERS AND THE HEADQUARTERS EXPANSION.

IT WILL ALSO INCLUDE A COFFEE SHOP AND A STUDENT EXPERIENCE CENTER.

THEY ARE PROPOSING A CORPORATE CAMPUS CONSTRUCTION TRADE SKILLS MINIMUM 5000 STUDENTS LIKE YOU HEARD BY 2031, PHASED IN SIX EQUAL PARTS OVER A SIX

[02:05:03]

YEAR PERIOD. CAPITAL INVESTMENT OF THE CAMPUS IS $90 MILLION BY THE 2026 TAX YEAR HEADQUARTER EXPANSION OF A MINIMUM OF 400 NEW EMPLOYEES WITH AN AVERAGE WAGE OF 57,000 BY 2031, AGAIN PHASED OVER THAT SAME SIX YEAR PERIOD.

THAT'S AN ADDITIONAL 25 MILLION IN CAPITAL INVESTMENT BY THE YEAR 2029, PART OF WHAT CRAFT MASTER WANTS TO DO, BUT THAT'S NOT PART OF THIS INCENTIVE AGREEMENT. AND THIS THIS AGREEMENT IS DESIGN AND CONSTRUCTION OF RESIDENTIAL COMMUNITY COMMUNITY, LIKE CHAD SAID, HANDS ON.

THAT'S WHAT THEY WANT TO DO WITH THESE STUDENTS.

100 SINGLE FAMILY UNITS ON A PROPERTY IN THE VICINITY AS PART OF THE TRADE SCHOOL TRAINING PROGRAM.

CAPITAL INVESTMENT WOULD BE 35 MILLION BY THE 2033 TAX YEAR, PHASED AGAIN IN SIX EQUAL PARTS.

TOTAL CAPITAL INVESTMENT FOR CRAFT MASTERS DEVELOPMENT IS $150 MILLION.

SO YOU CAN SEE THEIR FULL TIME EMPLOYEE AND ENROLLMENT BUILD UP.

I WILL SAY THE AVERAGE SALARY BEING THAT 57,000, IT IS ABOVE THE AVERAGE SALARY IN BURLESON AND IT'S ALSO A PRETTY GOOD CLIP ABOVE THE JOHNSON COUNTY AVERAGE. GO THROUGH THE INCENTIVE OUTLINE.

THESE ARE THE OBLIGATIONS AND FOR A OBLIGATIONS PRIOR TO CONSTRUCTION.

BY THE END OF AUGUST THIS YEAR, WE'LL BE UNDER CONTRACT ON BOTH PHASES OF THE PROPERTY.

THE 54 ACRE PROPERTY AT 2.5 MILLION, THE EIGHT ACRE PROPERTY AT 360,000 AT THE SAME TIME WITH THE LAKEWOOD PROJECT THAT'S GOING ON OUT THERE AT HOOPER BUSINESS PARK NOW.

WE'LL MAKE SURE WE'RE WORKING WITH THE WATER AND SEWER PROVIDERS AND THAT CONSTRUCTION TO MAKE SURE THE LINES ARE IN PLACES WHERE THEY CAN BE SERVED FOR CRAFT MASTERS.

AGAIN, I TALKED ABOUT THE REGIONAL DETENTION POND.

THE DESIGN HAS ALREADY BEEN UNDERWAY.

THAT CONSTRUCTION WILL BE DONE PRIOR TO CRAFT MASTERS OPENING OUT THERE.

BY THE END OF THIS YEAR, PROSPECT TO COMPLETE THE PREDEVELOPMENT MEETING WITH THE CITY.

THEY'VE ALREADY HAD ONE PREDEVELOPMENT MEETING WITH THE CITY.

I'M SURE THEY'LL HAVE ANOTHER ONE BEFORE THEY TURN IN THEIR PLANS JUST TO MAKE SURE EVERYBODY'S ON THE SAME PAGE.

BY THE 1ST OF DECEMBER, SUBMIT AN APPLICATION FOR PLATING AND ZONING APPROVAL.

MARCH OF NEXT YEAR, THEY WOULD SUBMIT THEIR BUILDING PLANS FOR 190,000FT² FOR THE CAMPUS AND CRAFT MASTER'S HEADQUARTERS.

END OF MAY NEXT YEAR, THEY WOULD PURCHASE THE CLOSE ON THE 54 ACRE PARCEL WITH A DOWN PAYMENT OF $125,000 PAYMENT OF 2.375, AND I'LL GET TO THAT IN THE NEXT SLIDE.

ONCE THEY RECEIVE THEIR BUILDING PERMIT, THE EDC WOULD PROVIDE A CASH GRANT OF $500,000.

OBLIGATIONS DURING CONSTRUCTION, ALONG WITH INCENTIVES DURING CONSTRUCTION.

THEY NEED TO COMMENCE CONSTRUCTION BY THE END OF JUNE OF NEXT YEAR ONCE THE DEVELOPERS SUBMITTED PLANS FOR THE FULL DEVELOPMENT.

AND HE'S AND THEY'VE EXPENDED MORE THAN $1 MILLION IN DEVELOPMENT FEES, THE EDC WOULD PROVIDE A CASH GRANT OF $500,000 WITHIN 30 DAYS.

TOTAL APPROXIMATE FEES THAT THE CITY WILL SEE ON THIS PROJECT IS 2.5 MILLION.

UPON VERIFYING CAMPUS AND CRAFTMASTER HEADQUARTERS, CONSTRUCTION EXPENDITURES HAVE EXCEEDED $4 MILLION.

THE EDC PROVIDE A CASH GRANT OF $2.5 MILLION WITHIN 30 DAYS.

AND ONCE THAT PAYMENT IS MADE, THAT STARTS A 90 DAY CLOCK FOR THEM TO CURE THEIR BALLOON PAYMENT OF 2.375.

THE COMPLETE CONSTRUCTION OF THE CAMPUS AND CRAFT MASTER'S HEADQUARTERS BY THE END OF SEPTEMBER OF 2026.

AND AT THAT SAME TIME FRAME, WE WOULD VERIFY THAT THE $90 MILLION CAPITAL INVESTMENT HAD BEEN MADE.

INCENTIVES AFTER OPENING.

THESE ARE ALL BASED ON JOBS THAT THEY HAVE LINED OUT IN YEARS.

THEY WOULD ALL BE VERIFIED OF ONE YEAR EMPLOYMENT ON SITE PRIOR TO INCENTIVE PAYMENT.

AS YOU CAN SEE THERE, 20 QUALIFIED JOBS CRAFTMASTER HEADQUARTERS.

THEY GET 50,100 FULL TIME JOBS, 100,200 JOBS, 100,380 JOBS, 50,000, 1000 PEOPLE BEING ENROLLED. THEY'D GET 100,000.

AND THEN UPON 5000 PEOPLE BEING ENROLLED, THEY'D GET 100,000 THERE AS WELL.

PHASE TWO OBLIGATIONS, YOU KNOW, THEY'RE EXPANSION OF THE HEADQUARTERS.

FEBRUARY, END OF FEBRUARY 28TH, COMPLETED PRE-DEVELOPMENT.

APRIL 28TH, COMPLETE THE ZONING APPLICATION, MAY OF 28, COMPLETE THE PLANNING APPLICATION.

JULY OF 28, SUBMIT THE BUILDING PLANS.

THE END OF AUGUST OF 28 CLOSED AND PURCHASED THE PHASE TWO PROPERTY.

THE END OF SEPTEMBER COMMENCED THE CONSTRUCTION IN 2028 AND THEN COMPLETE THE CONSTRUCTION WITH THAT $25 MILLION CAPITAL INVESTMENT BY THE END OF THE YEAR OF 2029.

ONCE THEY RECEIVE THEIR CO AND WE VERIFY THAT THEY'VE EXCEEDED THAT $25 MILLION OR MET THE 25 MILLION NON CAPITAL INVESTMENT, THEY WOULD RECEIVE ANOTHER $100,000.

SO THERE ARE SOME KEY TERMS IN THE AGREEMENT AND I KNOW WE'VE DISCUSSED ONCE THE VERIFICATION OF THE $4 MILLION IN EXPENSE AND CONSTRUCTION EXPENDITURES IS COMPLETE AND

[02:10:10]

THE EDC IS ISSUED, THE 2.5 MILLION INCENTIVE THAT WOULD TRIGGER THAT 90 DAY CLOCK FOR THE BALLOON PAYMENT OF THAT 2.375 TO BE PAID BACK TO THE CITY OR THE EDC WITHIN THE REAL ESTATE CONTRACT FOR PHASE ONE AND PHASE TWO.

IT INCLUDES A RIGHT TO REPURCHASE THE LAND IF CRAFTMASTER DOES NOT COMMENCE CONSTRUCTION AS DETAILED IN THE AGREEMENT.

THE DEED DOES INCLUDE A RESTRICTION THAT THE LAND WILL NOT BE USED FOR A NON PROFIT SCHOOL FOR THE TERM OF THE AGREEMENT.

IN THE EVENT THE CITY BREACHES THE CONTRACT WITH CRAFTMASTER AND THE AGREEMENT TERMINATES, THIS RESTRICTION IS NULL AND VOID.

DEVELOPMENT STANDARDS FOR THE CAMPUS HEADQUARTERS AND HEADQUARTERS EXPANSION ARE INCLUDED IN THE CONCEPT PLAN THAT'S ATTACHED TO THE AGREEMENT.

THE ZONING ON THE PROPERTY WOULD BE IN PLACE PRIOR TO THE PROPERTY PURCHASE, AS THEY WILL BE APPLYING FOR ZONING PRIOR TO THE END OF THE YEAR.

THE EDC WILL BE A CO APPLICANT ON THAT APPLICATION FOR ZONING AS WELL.

SO THIS KIND OF A SUMMARY OF THE FINANCIAL IMPACT ANALYSIS THAT WE DID WITH TISCHLER BICE CRAFTMASTER ADDS AN ADDITIONAL $114 MILLION IN TAXABLE VALUE THAT DOES NOT INCLUDE THE FUTURE RESIDENTIAL DEVELOPMENT.

IT ADDS AN ADDITIONAL $335,000 ANNUALLY TO THE GENERAL FUND, ADDS AN ADDITIONAL 6.6 MILLION IN DIRECT BENEFIT IN 20 YEARS.

AFTER ALL THE COSTS AND INCENTIVES BETWEEN CRAFTMASTER AND CHISHOLM SUMMIT, THE CITY BENEFIT OVER 20 YEARS IS $72 MILLION.

AND THIS THE FINANCIAL IMPACT ANALYSIS DID NOT INCLUDE ANY KIND OF INDIRECT IMPACT FROM THE STUDENTS AND FACULTY THAT WOULD BE ON SITE.

SO THIS IS THE PERFORMER LOOKING AT IT OVER TIME, HOW THINGS COME ONLINE IN DIFFERENT TAX YEARS.

OUR TEN YEAR RETURN BEING 128%.

20 YEAR RETURN BEING OVER 300%.

TOTAL INCENTIVES ARE $4.545 MILLION.

THAT 128% OVER TEN YEARS EQUATES TO $5.8 MILLION.

THE 313% EQUATES TO A LITTLE BIT OVER $14 MILLION TO THE CITY OVER 20 YEARS.

SO FEEDBACK AND NEXT STEPS.

IF COUNCIL APPROVES THE AGREEMENT TONIGHT AND THAT IS STAFF'S RECOMMENDATION, THEY I'M ASSUMING THEY WOULD PROBABLY HAVE ANOTHER PREDEVELOPMENT BEFORE THE END OF THIS YEAR. DEVELOPMENT SERVICES.

WE'RE CURRENTLY WORKING WITH THEIR TEAM ON THE PLAN DEVELOPMENT ZONING THAT WILL COME FORWARD TO CITY COUNCIL FOR APPROVAL IN 2024.

SITE PLAN AND PLAT TO BE SUBMITTED IN MAY OF 2024.

CIVIL AND BUILDING PLANS TO BE SUBMITTED FIRST QUARTER NEXT YEAR.

CONSTRUCTION TO BEGIN SECOND QUARTER OF NEXT YEAR AND CONSTRUCTION TO BE COMPLETE BY THE END OF SEPTEMBER 2026.

HERE TO ANSWER ANY QUESTIONS THAT YOU HAVE.

ARE WE READY FOR THIS? I AM. I CANNOT TELL YOU HOW EXCITED I AM ON THIS.

I REALLY AM. THIS HAS BEEN A KIND OF A DREAM OF MINE, AND I KNOW THE WHOLE COUNCIL IS INVOLVED AND EXCITED ABOUT IT.

SO AT THIS TIME, IS IT READY FOR A MOTION? IF YOU'LL JUST ALLOW ME TO READ IT AGAIN, JUST FOR THOSE JOINING IN, SINCE WE DID TAKE THIS OUT OF ORDER.

SO SEVEN A IS TO CONSIDER APPROVAL OF A MINUTE ORDER RATIFYING THE 4A ECONOMIC DEVELOPMENT CORPORATION'S BOARD'S ACTION TAKEN ON THE APPROVAL OF A PERFORMANCE AGREEMENT BETWEEN THE BURLESON 4A ECONOMIC DEVELOPMENT CORPORATION AND CRAFT MASTERS FOR A DEVELOPMENT LOCATED WITHIN THE HOOPER BUSINESS PARK IN BURLESON, TEXAS.

YOU READY? NOW LET'S GET A MOTION.

COME ON. ONE MORE, GUYS.

IT'S NOT THAT BIG OF A DECISION.

I GOT A MOTION BY VICTORIA AND A SECOND BY LARRY.

PLEASE VOTE. YOU'RE GOOD.

PASSES UNANIMOUS. WELCOME TO BURLESON, EVERYBODY.

THANK YOU, MAYOR AND COUNCIL.

I WANT TO THANK ALL OF OUR STAFF, MATT RIBITZKI, TOMMY, OUR PUBLIC WORKS STAFF, ENGINEERING PEOPLE IN MY DEPARTMENT WORKING ON THIS AGREEMENT FOR ALMOST TWO YEARS TO PUT THIS TOGETHER, TO BRING THIS TO THE CITY AND WORKING WITH CRAFT MASTER'S TEAM WITH JOHN AND CHAD, RA DEVELOPMENT WAS INVOLVED.

I MEAN, THERE WERE SO MANY PEOPLE INVOLVED IN MAKING THIS HAPPEN.

THERE WERE I MEAN, WE ALL WORK TOGETHER TO MAKE IT HAPPEN.

AND IT'S THIS IS A HUGE DEAL FOR US.

SO THANK YOU.

THANK YOU ALL. APPRECIATE IT.

THANK YOU, MAYOR AND COUNCIL.

THAT BRINGS US BACK UP TO SECTION THREE, REPORTS AND PRESENTATIONS.

I'LL ALLOW THE COUNCIL.

[02:15:09]

I AM NOT GOING TO BE ABLE TO BEAT THAT PRESENTATION JUST TO LET YOU ALL KNOW THAT.

POOR MARTIN. NOW, FOR.

LET'S GO.

SO NOW FOR ITEM THREE.

NOW FOR ITEM 3C, RECEIVE A REPORT, HOLD A DISCUSSION AND GIVE STAFF DIRECTION REGARDING A PROPOSED NEW CITY COUNCIL POLICY, WHICH WE WILL NUMBER 41

[3.C. Receive a report, hold a discussion and give staff direction regarding a proposed new City Council Policy #41, Debt Management Policy and proposed amended City Council Policy #32, Financial Policy. (Staff Presenter: Martin Avila, Director of Finance) (Finance and Internal Service Committee motioned to present a report on the Debt and Financial Policy to the full Council in June 2023)]

DEBT MANAGEMENT POLICY AND A PROPOSED AND PROPOSED AMENDED CITY COUNCIL POLICY.

NUMBER 32 FINANCIAL POLICY.

THE STAFF PRESENTER IS THE VERY EXCITING MARTIN AVILA, DIRECTOR OF FINANCE.

I WILL TRY TO MAKE IT AS EXCITING AS THE PREVIOUS PRESENTATION, BUT I'LL JUST TRY.

MAYOR AND COUNCIL, MAYOR AND COUNCIL, AS SECRETARY CAMPOS MENTIONED THAT THIS IS PRESENTATION IS TO TALK ABOUT A PROPOSED NEW POLICY OF DEBT AND AGAIN ALSO THE PROPOSED AMENDED POLICY.

32 THIS THIS PRESENTATION WAS PRESENTED TO THE FINANCE AND INTERNAL SERVICE COMMITTEE ON MARCH 13TH OF THIS YEAR. THE COMMITTEE MOTIONED FOR STAFF TO PRESENT THIS TO THE CITY COUNCIL IN JUNE AND WHICH IS WHAT WE'RE DOING THIS EVENING.

I ALSO WANT TO MAKE SURE I DO HAVE A PERSON THAT IS PRESENT FROM HILLTOP INVESTMENTS.

HER NAME IS MARTY HSU.

THEY ARE THE CITY'S FINANCIAL ADVISORS.

I DID WORK CLOSELY WITH MARTY AS IT PERTAINED TO THIS DEBT POLICY.

WE ALSO DID REACH OUT TO OUR TO CLERK KIMBALL, WHO IS OUR BOND COUNSEL AS WELL, WANTED TO MAKE SURE THAT THAT THIS THIS POLICY WAS NOT JUST WRITTEN BY ONE PERSON, BUT IT ALSO HAD THE FEEDBACK OF THE PEOPLE THAT HELPED US THROUGH THE BOND DEBT PROCESS AND DEBT MANAGEMENT.

CURRENTLY THE DEBT MANAGEMENT PART IS DISCUSSED WITHIN THE FINANCIAL POLICY.

ONE OF THE THINGS THAT WAS IMPORTANT AS WE CONTINUE TO ISSUE DEBT, WE CONTINUE TO MANAGE DEBT.

AS WE CONTINUE TO GROW, AS WE CONTINUE TO TO INCREASE OUR CIP PLAN AND AS WE WORK CLOSELY WITH ALSO THE RATING AGENCIES, WE FELT THAT CREATING A STANDALONE DEBT POLICY WAS SOMETHING THAT WE WANTED TO LOOK AT AND IN ESSENCE THIS IS WHAT WE WERE PROVIDING.

IT DOES PROVIDE A TRANSPARENCY OF THE PROCESS.

IT IT PROMOTES CONSISTENCY AND CONTINUATION OF DECISION MAKING.

AGAIN, IT IS IMPORTANT THAT AND I WANT TO I WANT TO STRESS THIS, IS THAT THIS POLICY ISN'T ABOUT WHAT WE'RE GOING TO DO.

IT'S A POLICY OF WHAT WE'VE BEEN DOING.

AND IT'S PUTTING IT TOGETHER IN A DOCUMENT AND ALLOWING TO MAKE SURE THAT THAT WHOEVER READS OUR PROCESS OR SEES OUR PROCESS UNDERSTANDS WHAT WHAT WE'RE TRYING TO DO CONTRIBUTES TO FISCAL SUSTAINABILITY AS IT RELATES TO OUR FIVE YEAR PLAN, HOW WE LOOK AT THE CIP PLAN, HOW WE LOOK AT THE CAPACITY OF THOSE OF THOSE FUNDS, IDENTIFIES OBJECTIVES FOR STAFF TO IMPLEMENT, DEMONSTRATES A COMMITMENT TO A LONGER TERM FINANCIAL PLANNING OBJECTIVES FIVE YEARS, TEN YEARS, VERY CRITICAL IN IN REGARDS TO DEBT MANAGEMENT AND ALSO RATING AGENCIES.

DO DO LOOK AT THIS PROCESS AS AS SOMETHING THAT MANAGEMENT IS IS IS IS OVERSEEING IS IS AN IMPORTANT PART OF THE MANAGEMENT TEAM AND THAT THE GOVERNING BOARD IS ALSO LOOKING AT THAT AS WELL.

THE DEAD POLICY.

WHAT IT DOES, IT FOCUSES ON THE MAIN THING IS THAT THE DEBT POLICY IS NOT FOR CURRENT OPERATIONS AND FINANCING CURRENT OPERATIONS.

IT IS FOR ISSUING DEBT TO THE SUPPORTS A CAPITAL PROGRAM AS IT RELATES TO CAPITAL PROJECTS AND CAPITAL EQUIPMENT.

AND THE REASON WHY YOU ISSUE DEBT IS BECAUSE THESE PROJECTS COST MILLIONS AND MILLIONS OF DOLLARS AND YOU WANT TO BE ABLE TO SPREAD IT OUT OVER TIME VERSUS TRYING TO CREATE A CASH FLOW ISSUE, TRYING TO PAY IT UP FRONT.

THE TYPES OF FINANCING CURRENTLY THAT WE'RE LOOKING AT AND WE'RE FOCUSING ON ARE THE GENERAL OBLIGATION BONDS, CERTIFICATE OF OBLIGATION BONDS.

WE DO HAVE LEASES AND PURCHASE AGREEMENTS AS WELL THAT WE CAN DO ANY OTHER OBLIGATION PERMITTED BY LAW.

AGAIN, ONE OF THE THINGS THAT I DID NOT PUT IN HERE IS REVENUE BONDS.

WE HAVE THE ABILITY TO ISSUE REVENUE BONDS AS WELL.

THEY HAVE MORE RESTRICTIONS, WHICH IS CURRENTLY WHY WE WE TRY TO USE THE SELF SUPPORTING DEBT UNDER THE PLEDGE AND THE RATING AND SUPPORT OF

[02:20:01]

THE CITY UNDER THE GENERAL OBLIGATIONS.

AND THAT'S CURRENTLY OUR STRATEGY RIGHT NOW.

WE LOOK AT THE REVIEW OF THE IMPACT OF THE DEBT SERVICE REQUIREMENTS OVER A PERIOD OF TIME AS IT RELATES TO DEBT CAPACITY, AS IT RELATES TO THE FIVE YEAR CIP PLAN.

WE ALWAYS PROJECT THAT TO ENSURE THAT EACH OF THE FUNDS THAT IS SUPPORTING THE DEBT IS ABLE TO TO TO PAY THE DEBT.

AND AGAIN, AS MENTIONED EARLIER, WE DID WORK CLOSELY WITH THE CITY'S FINANCIAL ADVISER AND BOND COUNSEL AND CURRENTLY PRESIDENT.

TODAY, MARTY HSU FROM HILLTOP FINANCIALS IS AVAILABLE TO ANSWER ANY SPECIFIC QUESTIONS YOU MAY WANT TO ASK.

AND IN REGARDS TO MEASUREMENT, THE DEBT POLICY, IT ENSURES THE FLEXIBILITY TO MEET FUTURE CAPITAL NEEDS.

THAT'S THE WHOLE BASIS OF CAPITAL FINANCING IN REGARDS TO WHAT IS BALANCING BETWEEN GROWTH, BALANCING BETWEEN THE INFRASTRUCTURE, THE OLD INFRASTRUCTURE, MAKING SURE THAT THAT'S THAT'S SUSTAINABLE AND IT RELATES TO THE NEW INFRASTRUCTURE THAT'S NEEDED OVER TIME.

THE MATURITY WISE, THE IDEA IS TO TO ESTIMATE THE USEFUL LIFE OF THE CAPITAL PROJECTS THAT ARE BEING FINANCED.

WE NORMALLY USE FOR A RECOMMENDED RULE OF THUMB, WE NORMALLY USE 20 YEARS AS, AS A AS A PRACTICE.

IF THE PROJECT LIFE IS LESS THAN THAT, IF IT'S A PIECE OF EQUIPMENT THAT LESS THAN THAT, WE NORMALLY WILL ISSUE DEBT AT A LESSER TIME PERIOD.

AND SO THAT'S THE FOCAL POINT REALLY RIGHT NOW.

WE ISSUE UP TO 20 YEARS UNLESS IT IS A RECOMMENDATION WITHIN THE FINANCIAL ADVISORS TO SAY IT PROBABLY MAKES SENSE TO GO A LITTLE BIT HIGHER, A LITTLE BIT LOWER.

AND THOSE ARE THE OPTIONS THAT WE WOULD BRING BACK TO COUNCIL BEFORE WE DO ANYTHING ELSE.

WE ALSO HAVE THE MECHANISM TO REFINANCE DEBT.

INTEREST RATES HAVE BEEN HIGH.

WE HAVEN'T REALLY PROPOSED THAT FOR THIS YEAR.

BUT IF THE RATES DO GO DOWN AND WE'LL HAVE A SAVINGS IN REGARDS TO THE REFINANCING, WE WILL BRING THAT UP AND WE WILL BRING IT TO THE ATTENTION OF COUNCIL AND WE'LL RECOMMEND THAT.

AND AGAIN, NORMALLY WHEN WE REFINANCE DEBT, WE'LL REFINANCE IT FOR THE REMAINING LIFE OF THE EXISTING DEBT.

WE WON'T GO HIGHER THAN THAT.

WE COULD GO LESS THAN THAT.

BUT WE REALLY TRY TO MAKE SURE THAT ALL WE'RE DOING IS WE'RE SHIFTING THE REMAINING TERMS OF THAT OLD DEBT INTO THE NEW DEBT.

AND HOPEFULLY WITH THE LOWER INTEREST RATE, YOU HAVE A THE CAPACITY TO TO HAVE SOME SAVINGS IN THERE AS WELL.

ONE OF THE THINGS YOU THAT IS VERY IMPORTANT AND WE'VE BEEN DOING THIS PAST SEVERAL YEARS IS MONITORING REPORT DEBT TO THE CITY COUNCIL AT LEAST ANNUALLY.

COULD BE DONE A LOT SOONER THAN THAT.

IT COULD BE ONE OF THE FACTORS THAT WE PRESENT TO THE FINANCE COMMITTEE AS WELL.

AND IT'S ALL DONE DURING THE BUDGET PROCESS IN REGARDS TO BRINGING IN THE CIP PLANS, BRINGING IN THE FINANCIAL FORECASTS.

AND AGAIN, WHAT WE JUST DID EARLIER IN AN EARLIER PRESENTATION AND AGAIN, VERY IMPORTANT THAT WE EVALUATE THE DEBT CAPACITY AS IT RELATES TO WHAT WE'RE BRINGING TO COUNCIL. WHAT DOES THAT DO TO THE FUND BALANCE AND WHERE DOES IT GO THEREAFTER IN REGARDS TO THAT? POLICY WILL ALSO TALK ABOUT WE WILL EVALUATE THE DEBT CAPACITY.

WE LOOK AT THE FIVE YEAR CIP PLAN.

WE TALK ABOUT THE GROWTH OF THE CITY.

WHAT ARE THOSE ASSUMPTIONS? REDUCES LEVELS OF DEBT SERVICE PAYMENTS OVER THE EXISTING FOR THE EXISTING DEBT.

SO ALL OF THOSE COMBINATIONS WE LOOK AT IN DETERMINING WHAT THAT DEBT CAPACITY WILL BE GOING INTO THE FUTURE AND WHAT CAN WE SUPPORT A CIP PLAN FOR IN REGARDS TO THAT? CURRENTLY WE USE SELF-SUPPORTING DEBT.

SELF-SUPPORTING DEBT, WHAT IT IS, IS THAT WE ISSUE DEBT UNDER THE OBLIGATIONS OF GENERAL OBLIGATION PLEDGE, BUT THESE PARTICULAR SELF-SUPPORTING DEBTS ARE IN ESSENCE PAID AND SUPPORTED BY THEIR RESPECTIVE FUNDS.

CURRENTLY WE USE THE FOUR B, WE USE WATER AND WASTEWATER OPERATION FUNDS WE USE FOR A AND FOUR B, WE ALSO HAVE THE TIFF ZONE THAT ALSO ISSUES DEBT IN REGARDS TO WHAT EXACTLY ARE THE PROJECTS WITHIN THE TIFF AS WELL.

WE ARE INTRODUCING TO TWO FOCAL POINTS THAT HAVE BEEN MEASURED ALL ALONG.

WE JUST NEVER REALLY BROUGHT IT IN TO THE POLICY.

AND ONE OF THEM IS NET DEBT PER CAPITA.

NET DEBT PER CAPITA, IN ESSENCE, IS WHAT IS WHAT IS YOUR DEBT.

ALL OF THIS IS REALLY BASED UPON TAX-SUPPORTED DEBT.

AND SO IT'S DEBT THAT IS SUPPORTED BY THE DEBT RATE PORTION OF THE TAX RATE.

AND SO AGAIN, IT TALKS ABOUT WHERE ARE WE AT AS IT RELATES TO THE POPULATION.

IT BECOMES A MEASURE THAT YOU COULD USE AS REGARDS TO HOW YOU'RE DOING WITH OTHER CITIES.

AS IT RELATES TO THAT.

WE TALKED ABOUT SHOULD THERE BE A CERTAIN.

POINT, NOT NECESSARILY TO RESTRICT ISSUING DEBT, BUT MORE SO WHERE IS THE MEASURE IN REGARDS TO.

WHERE WOULD WE LIKE TO BE?

[02:25:01]

WE WANT TO MAKE SURE WHAT THAT NUMBER IS.

AND SO WE WORK WORK CLOSELY WITH MARTY, AS IT RELATES TO WHAT IS THAT RECOMMENDATION? AND RIGHT NOW, THAT RECOMMENDATION WAS ABOUT 3000.

WE'VE BEEN BELOW 2000.

BUT AS YOU GROW YOUR DEBT AND YOUR POPULATION MAY NOT GROW AS FAST, THAT BECOMES A FACTOR THAT, YOU KNOW, YOUR PERCENTAGE OF THAT CONTINUES TO GROW.

BUT IT DOESN'T MEAN THAT YOU COULD EXTEND IT OVER TIME.

IT DOESN'T MEAN THAT IT COULD BE 4000, IT COULD BE 5000.

THE QUESTION IS RIGHT NOW, AT A MIDPOINT OF WHAT WE'RE LOOKING AT AND WHAT OTHER CITIES ARE DOING, THAT'S IN ESSENCE, WHAT WE ARE RECOMMENDING.

BUT IT'S NOT THAT ONCE WE REACH 3000 THAT WE CAN'T ISSUE DEBT.

IT DOESN'T MEAN THAT IT JUST MEANS THAT, OKAY, WE'RE GETTING CLOSER TO THAT.

WE COULD HAVE DISCUSSIONS ABOUT WHAT DOES THAT MEAN GOING THROUGH TIME.

IS THERE ANY QUESTIONS IN REGARDS TO TO THAT? THIS IS THIS IS ONE THAT THAT IS REPORTED WHEN WE WHEN WE ISSUE DEBT, IT IS REPORTED IN OUR OFFICIAL STATEMENTS FOR THAT PARTICULAR BOND.

AND AGAIN, I HAVE A SCREENSHOT IN THE BOTTOM OF WHAT IS PRESENTED.

AND SO THAT'S IN ESSENCE HISTORICALLY WHERE WE'VE BEEN AT IN THE LAST PREVIOUS FIVE YEARS.

MARTIN WHEN THE NEW GO DEBT, IF IT ALL GETS ISSUED, WHAT WOULD THAT RAISE THAT PER CAPITA BASED ON THE CURRENT VALUATION? I THINK WHAT IT DOES IS BASED UPON SAY.

RIGHT NOW WE'RE AT 50,000.

AND IF WE STAY STAGNANT AT THAT POINT, IT'D PROBABLY BE ABOUT 24.

2400? 2400, 2500.

I DID LOOK AT THAT TO MAKE SURE.

AT WHAT POINT DOES THAT COME INTO PLAY? OKAY. BECAUSE THEN IT'S PROJECTED WITH THE NEW CHISHOLM SUMMIT THAT THE VALUATION IS SUPPOSED TO INCREASE BY ABOUT A BILLION.

RIGHT? SO AND THEN AGAIN, IF YOU START THINKING ABOUT GROWTH WITHIN THE CITY, YOU KNOW, MAYBE WE LOOK AT THAT NUMBER ALSO EXTENDING IT AS WELL.

BUT AS THE POPULATION GROWS ALONG WITH THE INCREASE OF YOUR DEBT, IT KIND OF STAYS YOU KNOW, IT KIND OF SMOOTHS IT OUT OVER TIME AS WELL.

OKAY. THERE'S ANOTHER DEBT RATIO THAT THAT WE'VE BEEN LOOKING AT.

AND AGAIN, WE'VE BEEN REPORTING IN OUR OFFICIAL STATEMENT IS THAT NET DEBT TO ASSESSED VALUE RATIO, AGAIN, IT'S JUST TAKING HOW MUCH OF YOUR ASSESSED VALUE THAT YOU ISSUE.

WHAT IS THAT COMPARED TO WHAT YOUR TAX SUPPORTED DEBT IS? AND AGAIN, IT'S JUST THE RATIO WE ARE RECOMMENDING A AT OR BELOW 3%.

AGAIN, IT COULD BE 4%, IT COULD BE 2%.

IT IS MORE OF AN INFORMATIONAL FOCAL POINT.

WE HAVE BEEN THE HIGHEST IN 2018 WAS ABOUT 1.98.

AND AGAIN, IT'S JUST SOMETHING THAT WE WANT TO LET THE THE RATING AGENCIES AND WHOEVER IS LOOKING AT OUR DEBT THAT WE ARE MONITORING THAT.

SO AS WE CONTINUE TO LOOK AT AT OUR BOND CAPACITY AND OUR CIP WILL BE INTRODUCING THESE RATIOS AS WELL EACH TIME TO SHOW YOU WHERE WE'RE AT HISTORICALLY OVER TIME.

AND SO THAT'S SOMETHING THAT WE'RE GOING TO BE DOING.

IN REGARDS TO AND AGAIN, THIS IS AN INTERESTING THING, THE DEBT COMMITTEE, BECAUSE IT IS IT IS A DEBT POLICY.

WE ARE RECOMMENDING THAT THE DEBT COMMITTEE BE EMBEDDED WITHIN THE FINANCE AND INTERNAL SERVICE COMMITTEE.

AND SO THAT IS WILL OVERSEE THE DEBT POLICY.

WE WILL CONTINUE. THAT WILL BE A DISCUSSION.

ONE OF THE THINGS THAT I WOULD LIKE TO DO AS IT RELATES TO OUR POLICIES IS TO BRING THEM ONCE A YEAR OR AS NEEDED TO TALK ABOUT WHERE WE'RE AT AND DIRECTIONS THAT WE WOULD, YOU KNOW, WE'D LIKE TO GET FROM THE COMMITTEE MEMBERS AS WELL.

ANY QUESTIONS IN REGARDS TO THE DEBT POLICY? THE FINANCIAL POLICY.

LAST UPDATE WAS PROBABLY ABOUT TWO YEARS AGO FOR TOMORROW.

TOMORROW WILL BE TWO YEARS.

SO I THINK THIS WAS SOMETHING THAT I REALLY WANTED TO LOOK AT.

AND I THINK THE DEBT POLICY KIND OF BECAUSE THE DEBT POLICY IS WAS EMBEDDED WITHIN THE FINANCIAL POLICY, IT WAS A REALLY GOOD TIME TO TO MAKE THOSE ADJUSTMENTS.

TAKE A LOOK AT THE POLICY, TAKE A LOOK AT WHAT WE'RE CURRENTLY DOING.

AND SO THAT WAS AN IMPORTANT PART IN REGARDS TO THIS.

SO IT FOCUSES ON CURRENT PROCESSES, FREQUENCY OF MEETINGS, SOMETHING THAT WE COULD TALK ABOUT, TIMELINE REQUIREMENTS.

AND THEN IT ALSO MAKES REFERENCE TO THE NEW DEBT POLICY AND TAKES OUT SOME OF THE VERBIAGE WITHIN THE FINANCIAL POLICY BECAUSE WE NOW HAVE A SEPARATE POLICY.

SO I'M GOING TO GO PAGE BY PAGE AND THIS IS EXCITING.

I WON'T SPEND A LOT OF TIME.

WE REALLY WENT IN DEPTH WITH THIS WITH THE FINANCE AND INTERNAL SERVICE COMMITTEE.

BUT FOR EXAMPLE, ON PAGE ONE, ONE OF THE THINGS THAT WHEN WE LOOKED AT THIS IS IT WAS REALLY DRIVEN FOR FOR THE STANDPOINT OF THE FINANCE DIRECTOR.

AND AGAIN, IT'S NOT REALLY THE FINANCE DIRECTOR AS IT RELATES TO DEBT.

THERE'S A LOT MORE INVOLVED WITH THAT.

[02:30:01]

SO I CHANGED THE WORDING TO SAY MANAGEMENT, AS YOU AS YOU NOTICE OUR PREVIOUS MEETING, IT TOOK SEVERAL DIRECTORS TO TALK ABOUT THE CIP PLAN, WHICH IS REALLY TIED TO THE DEBT MANAGEMENT AS WELL.

AND SO I WANTED TO MAKE SURE WE TALKED ABOUT MANAGEMENT AND PLANNING AND DIRECTING THE CITY.

THAT WAS AN IMPORTANT PART.

THE NEXT PARAGRAPH, WHAT WE DID IS WE JUST KIND OF EXPANDED THE FINANCIAL POLICY TO KIND OF EMBED THAT.

WE ALSO HAVE AN INVESTMENT POLICY AND WE WILL ALSO HAVE A DEBT POLICY IN REGARDS TO TO THAT.

SO THAT'S SOME WORDING THAT WE ADDED INTO THE FINANCIAL POLICY AS WELL.

AND WE CONTINUE WITH THAT IN THE CHANGES IN THE TOWARDS THE END OF PAGE ONE AND PAGE TWO, WE TALKED ABOUT THE TIMING, THE TIMING OF MEETINGS.

AND AGAIN, WE HAD ORIGINALLY WHEN WE MET WITH THE FINANCE COMMITTEE, WE TALKED ABOUT, YOU KNOW, DO WE LOOK AT IT FROM AN AT LEAST ANNUALLY, DO WE LOOK AT IT TWICE A YEAR? AND SO WHAT I DID RIGHT NOW IS, IS I PUT IT BACK TO THE QUARTERLY AND ASKED FOR DIRECTION IN REGARDS TO WHERE WE WOULD LIKE TO BE AS IT RELATES TO THE FINANCE COMMITTEE.

SO RIGHT NOW IT SHOWS ORIGINALLY WHAT IT WAS PREVIOUSLY IT IS QUARTERLY.

AND SO AGAIN, I ASK, YOU KNOW, IN REGARDS TO HOW WE WANT TO PROCEED IN REGARDS TO THE TIMING AND THE OF THE MEETINGS, ONE OF THE THINGS THAT I ALSO HAVE RECOMMENDED IS TO TAKE OUT THE TEN AND 14 DAYS FOR EACH MEETING AND PUT THAT THE COUNCIL, THE FINANCE COMMITTEE REPORT IN THE NEXT IN THE NEXT COUNCIL MEETING IN REGARDS TO ANYTHING THEY WANT TO PROVIDE AS A RESULT OF OUR MEETINGS AS WELL.

CAN WE CAN WE PUT LIKE AT LEAST QUARTERLY? THAT WAY WE STILL HAVE THE ABILITY AS NEEDED.

AND THEN I WAS THINKING ON THE COUNCIL MEETING, IT WOULD PROBABLY MAYBE THE NEXT REGULARLY SCHEDULED ONE BECAUSE THE FINANCE COMMITTEE LAST OR TWO WEEKS AGO HAD MET ON TUESDAY. THEN AT THE SPECIAL SESSION WE HAD ON THURSDAY, THEY WOULD HAVE EXPECTED A REPORT.

SO DOING AT LEAST QUARTERLY.

THAT WAY WE CAN.

WOULD YOU LIKE TO INCLUDE AS NEEDED OR JUST JUST AT LEAST QUARTERLY? AND THEN THAT KIND OF IMPLIES AS NEEDED.

OKAY. THANK YOU.

WE ALSO ADDED AGAIN, REVISED SOME WORDING AS IT RELATES TO THIS WAS A FUNNY CHANGE BECAUSE IT TALKED ABOUT THE FINANCE DIRECTOR WILL BE ACCOUNTABLE.

I CHANGED IT TO RESPONSIBLE, BUT I COULD PUT IT BACK TO ACCOUNTABLE.

I MEAN, IT IS I AM RESPONSIBLE FOR THE POLICY.

BUT AGAIN, IT IS A POLICY THAT IS THAT IS IT IS NOT JUST FOR ONE INDIVIDUAL, ONE POSITION.

IT IS A WHOLE MANAGEMENT TEAM THAT SUPPORTS THIS AS WELL.

AND SO THAT WAS JUST A RECOMMENDATION FROM REGARDS TO THAT.

WE TALKED ABOUT I TOOK OUT THE WORDING AT THE END AS IT RELATES TO ANY VARIANCES WE PRESENTED AT QUARTERLY MEETING TO THE FINANCE COMMITTEE.

UNLESS THERE IS A NEED FOR A SPECIAL MEETING, I CAN PUT THAT BACK IF WE'RE LOOKING AT IT ON A QUARTERLY BASIS.

AND AGAIN, I CAN MAKE THAT ADJUSTMENT AS WELL.

THAT'S KIND OF WHAT I WAS LOOKING AT, IS IF WE COULD IF THE FINANCE COMMITTEE, IF HOPEFULLY IF I'M A PART OF IT, IF WE COULD GET A QUARTERLY BUDGET VARIANCE REPORT IN THAT WAY AND THEN WE COULD THROW IT IN THE COUNCIL DOCUMENTS, TOO, JUST TO SEE WHERE WE ARE.

I PROMISE. I'M NOT GOING TO SAY ANYTHING ON EVERY PARAGRAPH.

NO, NO, IT'S ALL RIGHT.

ON PAGE TWO.

I DON'T KNOW HOW MANY PAGES THIS DOCUMENT IS, BUT PAGE TWO, WE TALKED ABOUT AGAIN, IT TALKED ABOUT THE DELEGATIONS OF THE POLICY AS IT RELATES TO THE FINANCE DIRECTOR.

I REVISED THAT.

I THINK IT IS A COMBINATION OF OF THE CITY MANAGER IS THE ONE THAT CAN DELEGATE WHAT NEEDS TO BE DELEGATED.

BUT I THINK AT THE SAME TIME, IT KIND OF FALLS WITHIN THAT LEVEL AND NOT NECESSARILY THE FINANCE DIRECTOR HAVING THAT RESPONSIBILITY.

SO I MAKE THAT RECOMMENDATION AS WELL.

AND TOWARDS THE END ON THE MANAGEMENT LETTER, IT TALKS ABOUT WITHIN 20 WORKING DAYS OF ITS RECEIPT TO THE STAFF WITHIN TEN DAYS.

IT KIND OF IT KIND OF TAKES IT PUTS SOME MEASURES IN THERE.

AND FOR ME, IF THERE WAS A MANAGEMENT LETTER, WE'RE GOING TO HAVE A MEETING PRETTY QUICK.

AND IT IS THAT GIVEN PROCESS, NOT THAT IT HAS TO BE DONE 20 MINUTES.

IT'S IT IS GOING TO BE DISCUSSED QUICKLY.

NOW, I COULD PUT THOSE TERMS BECAUSE, AGAIN, IT IS IT IS A TIME TIMELINE THAT WE HAVE TO DO WITHIN THAT PERIOD.

BUT AGAIN, I TOOK THAT OUT BECAUSE AT THE END, THAT IS AN IMPORTANT FACTOR IN MANAGEMENT LETTERS.

WE PRESENT IT TO COUNCIL AND TO THE FINANCE COMMITTEE IN REGARDS TO THAT.

THERE WERE SOME OTHER THINGS THAT I FELT THAT PROBABLY DIDN'T NEED TO BE THERE AS IT RELATES TO ASKING THE AUDITORS TO PROVIDE TIMELY ACCOUNTING TIMESHEETS AND THINGS LIKE THAT, I THINK I THINK THEY THEY PROVIDE THE SERVICE THEY PROVIDED THE THE QUOTE OF WHAT THAT SERVICE WOULD BE.

AND I THINK THAT THAT'S JUST A LOT MORE WORK TRYING TO OVERSEE THAT.

[02:35:03]

AND SO MY RECOMMENDATION WAS WAS NOT TO REALLY GO INTO THAT IN DEPTH IN REGARDS TO THAT COPIES OF ALL WORK PAPERS.

WE'RE THE ONES THAT TO PREPARE THE WORK PAPERS.

SO WE'RE THE ONES THAT HAVE THE ORIGINALS FOR THE MOST PART THAT WE PROVIDE TO THEM.

SO I REALLY I REALLY THOUGHT THAT THAT WAS NOT NECESSARY TO TO WITHIN THE FINANCIAL POLICY.

MARTIN I DO KNOW THAT THAT AT LEAST ON THE AUDITS THAT WE GET NOW WITH BECAUSE EVERYTHING IS ELECTRONIC, WHEN WE ASK FOR THE WORK PAPERS, THEY JUST SEND US A ZIP FILE AND IT'S NOT A BIG DEAL. I MEAN, I DON'T KNOW WHETHER IT'S BECAUSE WE'RE NOT AUDITED BY WE DON'T HAVE A REGULATOR, I GUESS, PER SE.

SO, I MEAN, IT'S UP TO YOU.

I WAS JUST THINKING IF WE'VE HAD TROUBLE IN THE PAST, BUT NOW SINCE EVERYTHING'S ELECTRONIC.

I THINK I THINK THAT THAT WHERE WE'RE AT CURRENTLY IS WE PRETTY MUCH PROVIDE THEM THE WORK.

SO WE PROVIDE IT TO THEM.

AND SO WE HAVE THE ORIGINAL, WE OVERSEE WHAT THEY'RE DOING.

WE LOOK AT EVEN THOUGH WE ALWAYS LOOK AT THE FINANCIAL NUMBERS, WHAT THEY'RE WHAT THEY'RE SHOWING, WE'RE ALWAYS COMPARING TO THAT.

SO WE DO HAVE THAT.

WE HAVE ALL OUR SAMPLINGS AND TESTINGS, THE DOCUMENTATIONS THAT WE PROVIDED TO THEM.

WE ALL HAVE THAT AS RECORD AS WELL.

ON ON PAGE THREE.

THERE REALLY WASN'T MUCH IN REGARDS TO CHANGES WITH THE POLICY.

IT WAS MORE LIKE JUST DOING SOME UPDATES.

I'M NOT REALLY GOING TO COVER ANY OF THAT UNLESS YOU ALL WOULD LIKE TO.

I THINK ONE THING THAT I DID DID PUT IN THERE IS THE REPORTS THAT WILL BE PRESENTED TO COUNCIL WITHIN 150 DAYS.

I CHANGED THAT TO 180 BECAUSE THAT IS A STATE REQUIREMENT THAT IT NEEDS TO BE ISSUED SIX MONTHS AFTER THE FISCAL YEAR ENDS.

SO WE JUST FELT THAT WAS A GOOD TIME TO SHOW IT THAT WAY.

SO THAT WAS THAT IS MY RECOMMENDATION.

ON PAGE FOUR, WE TALK ABOUT BALANCED BUDGETS, WE TALK ABOUT THE BUDGET.

AND AGAIN, IT IS SOMETHING THAT WE CONTINUE TO PROVIDE AS DURING THE BUDGET PROCESS.

AND I WANTED TO PUT THAT REVISED WORDING IN THERE IN REGARDS TO THE REVENUE MANAGEMENT.

WE CONTINUE TO LOOK FOR THAT.

AS IT RELATES TO FLUCTUATIONS, WE TALKED ABOUT AS IT RELATES TO THE GENERAL FUND.

THE TOP MOST IMPORTANT PRIMARY REVENUES IS THE TAX PROPERTY TAX AND SALES TAX.

SO WE'RE ALWAYS LOOKING AT THAT AS AS IT RELATES TO THAT, MORE SO SALES TAX AS WELL.

AND SO THOSE ARE THE THINGS THAT WE TALKED ABOUT AS IT RELATES TO WHAT WE LOOK AT.

AND AGAIN, AS WE AS WE START LOOKING AND DISCUSSING THE INFORMATION WITH THE FINANCE COMMITTEE, THOSE ARE THE THINGS THAT WE COULD ALSO BRING OUT AS REGARDS TO ON A SUMMARY LEVEL, DETAIL LEVEL, WHATEVER THE PREFERENCE IS.

WE ALSO TALKED ABOUT GRANTS AND RESTRICTED REVENUES AND HOW WE WE MONITOR THAT.

AND SO THAT'S INFORMATION.

IS THERE NOT MUCH CHANGES WERE MADE, BUT IT WAS MORE LIKE A REVISING THE WORDING OF THAT PARAGRAPH.

REVENUE MONITORING, SOMETHING WE DO THROUGHOUT THE YEAR.

IT IS IMPORTANT. WE WANT TO MAKE SURE THAT IF REVENUES, ESPECIALLY ON THE SALES TAX, IS NOT COMING IN, WHERE WE EXPECTED THAT, WE IN ESSENCE BEGIN A PLAN AS TO HOW WE'RE GOING TO REDUCE SOME OF OUR EXPENDITURES AS WELL.

AND SO THAT'S SOMETHING THAT WE CONTINUE TO DO.

THE BUDGETARY CONTROLS CURRENTLY ARE AT THE FUND LEVEL.

SO THAT IS SOMETHING THAT WE ARE CURRENTLY DOING AND WE MONITOR THAT WAY.

MARTIN, I THINK THIS IS IT FOR ME.

THE QUESTION WAS TO ASK ABOUT THE WHOLE I KNOW IT SAID THAT'S THE CURRENT POLICY.

HOW LONG HAS THAT BEEN THE POLICY TO DO THE BUDGETARY CONTROL AT THE FUND LEVEL AND NOT AT THE DEPARTMENT LEVEL? I CAN'T ANSWER THAT.

I THINK IT WAS HERE WHEN I CAME IN.

IT COULD HAVE BEEN RIGHT BEFORE I CAME IN.

I'M NOT SURE.

IS IT FAIRLY WAS IT A FAIRLY RECENT CHANGE? IT IT WAS IMPLEMENTED WHEN DALE CHEATHAM CAME IN.

SO TEN YEARS AGO OR SO CLOSE TO THERE.

OKAY. I'M JUST JUST THINKING FROM A FROM THE COUNCIL STANDPOINT, LIKE, YOU KNOW, OUR ONE OF OUR BIGGEST WE DON'T HAVE A WHOLE LOT OF POWER, BUT ONE OF THEM IS THE POWER OF THE PURSE. AND SO LIKE TRANSFERS BETWEEN I MEAN, IF WE COULD, I WOULD LIKE TO SEE THAT OR HOW DOES THAT WORK OR CAN IT GO ON CONSENT OR SOMETHING THAT WE CAN AT LEAST PUT EYES ON IT AND GO, OKAY, WE KNOW THAT WE'RE A LITTLE SHORT HERE ON THE BUDGET, BUT THERE'S MONEY HERE.

WE CAN MOVE IT.

IS THAT SOMETHING THAT WE'D BE ABLE TO LOOK AT? WE CAN DO THAT. WE CAN PROVIDE THAT.

AS IT RELATES TO A INFORMATIONAL PURPOSES, WE CAN WE CAN CHANGE THE POLICY AS WELL TO BE ABLE TO DO IT AT THE DEPARTMENT LEVEL.

WE ARE OPEN TO ANY SUGGESTIONS.

I THINK WHAT FROM THE STANDPOINT OF DOING IT AT THE FUND LEVEL AND ALLOWING THE DIRECTORS TO MOVE WITHIN WITHIN THEIR THEIR DIVISIONS, IT JUST CREATED SOME OPPORTUNITY FOR US TO BE ABLE TO BE MORE EFFICIENT AND NOT HAVE TO KIND OF STOP THAT PROCESS AND KEEP GOING.

[02:40:01]

SO THAT THAT'S IN ESSENCE WHY I UNDERSTAND IS THAT I DEFINITELY WANT TO I WANT TO BE EFFICIENT.

BUT AT THE SAME TIME, AS FAR AS TRANSPARENCY IS JUST TO BE ABLE TO SEE WHERE THE MONEY'S GOING AROUND.

I DON'T KNOW, MAYBE SOMETHING WE CAN LOOK, I KNOW WE'RE NOT MAKING A DECISION TONIGHT, BUT IF HOPE I'M NOT THE ONLY ONE THAT THINKS, BUT JUST TO BE ABLE TO SEE WHERE IT'S GOING, I DON'T WANT TO SLOW THE PROCESS UP, BUT COUNCIL MEMBER RUSSELL WHAT I WOULD SAY IS STAFF'S 100% OPEN TO COUNCIL'S RECOMMENDATIONS ON THAT.

WE KIND OF TALKED ABOUT THIS BEFORE AND I THINK MY ANSWER TO THAT WOULD SIMPLY BE IF THAT'S A CHANGE THAT THE COUNCIL WANTS TO MAKE, WE'RE COMFORTABLE WITH THAT.

GENERALLY, IF WE HAVE SOMETHING LIKE THAT, WE'RE MOVING MONEY ACROSS THE FROM ONE DEPARTMENT TO ANOTHER, SAY, SALARY SAVINGS, IT'S GOING TO BE INHERENTLY TIED TO SOME COUNCIL ACTION IF IT'S OVER $50,000.

AND SO WE'D BE VERY TRANSPARENT IN THE SENSE THAT THIS IS WHERE WE'RE COMING FROM WITH THE MONEY FROM.

AND YOU LOOK AT OUR AIPS AND YOU LOOK AT THE COUNCIL MEMORANDUMS AND WE REFERENCE THOSE FUNDING SOURCES.

SO WE WOULD 100% BE VERY CLEAR AND TRANSPARENT AND DELIBERATE IN THAT REGARD.

BUT IF THE COUNCIL WOULD LIKE ADDITIONAL CONTROLS ON THAT, WE'RE OPEN TO THOSE DISCUSSIONS.

OKAY. THAT'S BASICALLY WHAT IT IS.

YOU KNOW, EVEN IF IT'S ON CONSENT, WE STILL HAVE THE ABILITY TO LOOK AT IT BECAUSE WE SET THE BUDGET.

BUT IT OBVIOUSLY THE BUDGET CHANGES THROUGHOUT THE YEAR.

SO COOL.

THANK YOU. ONE OF THE THINGS HERE AGAIN IS JUST THIS THIS PARTICULAR PAGE.

PAGE NINE AND PAGE 11, IT WAS JUST REVISING AND UPDATING BASED UPON THE CURRENT PROCESSES WE TALKED ABOUT.

WE DID HAVE A POSITION IN THE COUNTY MANAGER POSITION WITHIN MY DEPARTMENT.

I MADE THAT CHANGE AND CREATED A, YOU KNOW, KIND OF GAVE A PROMOTION FROM AN ACCOUNTING MANAGER TO COMPTROLLER.

AND SO I AM MAKING THAT CHANGE AND ADDING THE COMPTROLLER AS PART OF THIS THIS AUTHORIZATION AS WELL.

WE TALKED ABOUT THE PREPARATION OF THE FIVE YEAR PLAN.

THAT IS SOMETHING THAT WE'RE CURRENTLY DOING.

WANTED TO MAKE SURE THAT WAS THAT WAS PRESENTED IN THIS SECTION.

AND AGAIN, THE THE DEPARTMENT DIRECTORS, I THINK AT ONE POINT THE FINANCE DIRECTOR WAS PROVIDING THE CIP PLAN.

WHERE WE'RE AT NOW IS THE RESPECTIVE DIRECTOR WILL PRESENT THE CIP PLAN.

I WILL PRESENT THE FINANCIALS OF THAT AS A RESULT OF THAT CIP PLAN.

AND SO THAT'S SOMETHING THAT THAT WE HAVE MADE CHANGES TO.

AND IT'S NOT IT'S NOT A CHANGE THAT WE'RE GOING TO DO FORWARDS.

THE CHANGE THAT WE'VE BEEN DOING JUST RECENTLY DURING THIS PAST FEW YEARS.

ONE OF THE THINGS THAT THIS POLICY HAD IS IT HAD EVERY SINGLE FUND NAMED.

WE WENT THROUGH A CONVERSION FROM AN OLD SYSTEM TO TYLER MUNIS.

WE DID CHANGE THE NAMES OF THE FUNDS.

I THINK FROM THE FACT OF NOT HAVING TO IF WE CHANGE A FUND OR WE CLOSE A FUND AND WE ADD A FUND, WE WOULD HAVE TO KEEP BRINGING THIS POLICY EACH TIME.

I THINK MY RECOMMENDATION WAS TO TAKE OUT THE ACTUAL INDIVIDUAL FUND NAMES, BUT JUST PUT THE CLASSIFICATION OF THOSE FUNDS WITHIN THAT PROCESS.

AND SO THAT'S ONE OF MY MY RECOMMENDATIONS.

ONE OF THE THINGS THAT WAS IN THERE AS WELL IS, IS THAT ITEM NUMBER FOUR, WHEN WHEN IT IS APPROPRIATE FOR FUND BALANCE TO BE ASSIGNED THE COUNCIL DELEGATES THAT AUTHORITY TO THE DIRECTOR OF FINANCE? I DON'T THINK THAT SHOULD BE SOMETHING THAT THAT THE FINANCE DIRECTOR SHOULD BE SIMILAR TO WHAT YOU'RE SAYING.

I THINK IF WE'RE GOING TO ASSIGN, WHICH IS IN ESSENCE, WE'RE SETTING ASIDE FOR SOMETHING, THAT'S SOMETHING WE WOULD BRING BACK TO COUNCIL IN REGARDS TO THAT.

IN REGARDS TO THE DEBT MANAGEMENT, BECAUSE WE'RE WE'RE CREATING A SEPARATE DEBT POLICY, A STANDALONE DEBT POLICY.

WE I REVISE THE WORDS IN THAT FIRST PARAGRAPH TO TALK ABOUT THAT POLICY AND PRETTY MUCH TOOK EVERYTHING ELSE OUT FROM THERE.

SO THAT THAT IS A BIG REVISION THAT WE DID.

AS IT RELATES TO THAT.

ON THE AWARDS CREDENTIALS AND RECOGNITIONS, WE ADDED THE GTLD, THE THE GOVERNMENT TREASURERS ORGANIZATION OF TEXAS, THEIR CERTIFICATION FOR OUR INVESTMENT POLICY.

AND SO WE JUST ADDED THAT IN THERE AS WELL.

AND AGAIN, WE HAVE AN ATTACHMENT TO TO THAT POLICY AS IT RELATES TO THE AUTHORIZED USERS IN REGARDS TO FINANCE.

OUR CITY MANAGER'S OFFICE, WE WE TOOK OUT THE CITY MANAGER.

THE CITY COUNCIL SHALL APPROVE THE ADDITIONS OR DELETIONS OF ANY CUSTODIAL AGENT INVESTMENT POOL.

WE TOOK THAT OUT BECAUSE WHENEVER WE MAKE A CHANGE, THIS ATTACHMENT IS TIED TO THE FINANCIAL POLICY.

WE WOULD HAVE TO BRING IT BACK TO COUNCIL.

SO WE TOOK THAT OUT.

AND AGAIN, I ADDED THE COMPTROLLER POSITION AS PART OF THE LIST THERE AS WELL.

AND THAT IS THAT IS BOTH OUR DEBT POLICY AND OUR FINANCIAL POLICY UPDATES.

I CAN ONE OF THE THINGS THAT THAT I WOULD ASK FOR DIRECTION IS I COULD MAKE THE CHANGES THAT WE TALKED ABOUT AND I COULD BRING IT BACK.

WE COULD BRING IT BACK AS AN ITEM FOR CONSENT BECAUSE I WOULD LIKE FOR COUNCIL TO APPROVE THE POLICIES.

[02:45:05]

IT IS SOMETHING THAT GOING FORWARD IS SOMETHING THAT WILL BRING THE INVESTMENT POLICY, THE DEBT POLICY, THE FINANCIAL POLICY FOR COUNCIL TO TO APPROVE ON AN ANNUAL BASIS TO MAKE SURE WE CONTINUE REVIEWING THAT DOCUMENT.

AND SO IF COUNCIL IS IS GOOD, I COULD BRING THIS BACK ON THE CONSENT AGENDA AS TO POLICIES AS A RESOLUTION TO APPROVE THOSE POLICIES AS.

AS PRESENTED WITH THE WITH THE RECOMMENDATION THAT THOSE CHANGES ARE UPDATED AS WELL.

EVERYBODY ON BOARD.

CAN I JUST MAKE ONE COMMENT? SWEATING. CAN WE MAKE SURE THAT WE ARE CONSISTENT WITH WHAT WE'RE CALLING.

SO IN THE FINANCIAL POLICY, WE CALL IT THE FINANCE COMMITTEE.

BUT THEN IN THE DEBT, THE NEW DEBT MANAGEMENT ONE, YOU'RE CALLING IT THE FINANCE AND INTERNAL SERVICES COMMITTEE.

IF IT'S MEANT TO BE THE SAME ONE, CAN WE JUST MAKE THAT CONSISTENT TO THE FINANCE COMMITTEE? BECAUSE WE THINK WE HEARD EARLIER THAT WE'RE POSSIBLY BREAKING THAT INTO TWO ANYWAYS? SO THE FINANCE COMMITTEE HAS ALWAYS WORKED AS THE FINANCE COMMITTEE OR THE FINANCE AND INTERNAL SERVICES COMMITTEE.

BUT IF THERE'S EVER A CONFLICT, OKAY.

IS THAT TO THE INTERNAL SERVICES OR IS THAT TO THE FINANCE COMMITTEE? WE WANT IT CLEAR THAT THAT'S IT.

AND THEN THE ONLY OTHER THING I WOULD SAY IS THAT WHEN WE ARE SPECIFIC ON SAYING THAT THIS IS THE POLICY THAT RULES THIS AND WE EMBED ANOTHER POLICY NUMBER INSIDE THERE, WE WANT TO MAKE SURE THAT IF WE MAKE A CHANGE TO ONE POLICY, WE'RE NOT KIND OF OVERARCHING ON THE OTHER ONE.

SO WE JUST NEED TO I'LL LOOK AT THAT TOO, BECAUSE I HAD SOME SUGGESTIONS THERE.

THANK YOU. IF COUNCIL IS OKAY WITH MAKING IT JUST THE FINANCE COMMITTEE, I HAVE NO PROBLEM.

ANYBODY GOT ANY? GOOD.

I THINK YOU COULD GO.

THANK YOU. THANK YOU.

THANK YOU, MAYOR AND COUNCIL.

WE'RE MOVING RIGHT ALONG.

WE'RE ON 3D NOW.

[3.D. Receive a report, hold a discussion, and give staff direction regarding the office of emergency management's current and future initiatives. (Staff Presenter: Joe Laster, Emergency Operations Manager)]

THIS IS TO RECEIVE A REPORT.

HOLD THE DISCUSSION AND GIVE STAFF DIRECTION REGARDING THE OFFICE OF EMERGENCY MANAGEMENT'S CURRENT AND FUTURE INITIATIVES.

THE STAFF PRESENTER IS JOE LASSITER, EMERGENCY OPERATIONS MANAGER.

YOU'RE UP NOW.

THANK YOU, MA'AM. HI, MAYOR AND COUNCIL.

THANK YOU ALL FOR HAVING ME GET SITUATED HERE.

ALL RIGHT. ALL RIGHT.

THANKS AGAIN, JOE.

LAST YEAR, EMERGENCY MANAGEMENT OPERATOR FOR THE EMERGENCY OPERATION MANAGER FOR THE CITY OF BURLESON.

I APPRECIATE APPRECIATE EVERYBODY ALLOWING ME THE TIME TO COME UP AND TALK TO YOU ALL ABOUT A LOT OF EXCITING THINGS THAT ARE HAPPENING IN THE OFFICE OF EMERGENCY MANAGEMENT.

TO START OFF FOR JUST A QUICK OVERVIEW FOR OUR AUDIENCE.

EMERGENCY MANAGEMENT IS OR DISASTER MANAGEMENT IS THE MANAGERIAL FUNCTION CHARGED WITH CREATING THE FRAMEWORK WITHIN WHICH COMMUNITIES REDUCE VULNERABILITIES TO HAZARDS AND COPE WITH DISASTERS.

SO SIMPLY PUT, I'M CHARGED WITH WORKING TOWARDS WHOLE COMMUNITY PREPAREDNESS.

THE CITY. TO START OFF, WE'LL TALK ABOUT THE EMERGENCY OPERATIONS CENTER THAT IS LOCATED AT A FIRE STATION 16.

THE EMERGENCY OPERATIONS CENTER IS A CENTRAL COMMAND AND CONTROL FACILITY DESIGNED TO SUPPORT EMERGENCY MANAGEMENT AND RESPONSE EFFORTS DURING A CRISIS OR DISASTER.

THE PURPOSE OF A OF AN EOC IS TO FACILITATE COORDINATION, COMMUNICATION AND DECISION MAKING AMONG VARIOUS AGENCIES, ORGANIZATIONS AND STAKEHOLDERS INVOLVED IN RESPONDING TO AN EMERGENCY.

SO THE EOC, WITH THE COORDINATION, COMMUNICATION AND DECISION MAKING, IT COULDN'T BE POSSIBLE WITHOUT A STRONG EOC TEAM.

SO WE HAVE STARTED THE PROCESS OF BUILDING AN EOC TEAM.

WE HAVE 24 STAFF MEMBERS FROM VARIOUS DEPARTMENTS THAT HAVE BEEN PLACED ON THIS TEAM.

I AM CHARGED WITH ENSURING THAT THE CITY OF BURLESON WE ARE CONSIDERED NATIONAL INCIDENT MANAGEMENT SYSTEM OR NIMS COMPLIANT.

THE GOAL OF NIMS COMPLIANCE IS TO ENSURE THAT ALL RESPONSE PARTNERS CAN WORK TOGETHER SEAMLESSLY DURING AN EVENT IN ACCORDANCE WITH FEDERAL GUIDELINES.

NIMS COMPLIANCE IS REQUIRED FOR ALL APPLICANTS FOR HOMELAND SECURITY GRANTS AND EMERGENCY MANAGEMENT PERFORMANCE GRANTS.

I WILL ADD THAT HAVING AN UNDERSTANDING OF THE NATIONAL INCIDENT MANAGEMENT SYSTEM AND THE INCIDENT MANAGEMENT SYSTEM WILL HELP OUR RESPONSE AND RECOVERY EFFORTS RUN A LOT SMOOTHER IN A TIME OF CRISIS.

CURRENTLY, THE EMERGENCY OPERATIONS CENTER TEAM IS WORKING ON THEIR INDEPENDENT STUDY COURSES.

THIS FOLLOWS AN ONLINE FORMAT.

THESE COURSES ARE AVAILABLE FOR ANYONE TO TAKE THROUGH THE FEDERAL EMERGENCY MANAGEMENT AGENCY OR FEMA'S EMERGENCY MANAGEMENT INSTITUTE.

AS THE TEAM COMPLETES THEIR ONLINE TRAININGS, THEY SEND ME THROUGH CERTIFICATES.

I CHECK THE BOX.

THE NEXT STEP IN THE MODEL OF TRAINING IS FOR THEM TO TAKE THE LG 300, LG 400.

[02:50:06]

THESE ARE CLASSROOM COURSES THAT WE'RE GOING TO HOST IN BURLESON IN AUGUST.

I GOT WORD YESTERDAY THAT WE HAVE FILLED THOSE CLASSES.

SO LG X 300 INTERMEDIATE IS FOR EXPANDING INCIDENTS.

THIS COURSE PROVIDES TRAINING AND RESOURCES FOR PERSONNEL WHO REQUIRE ADVANCED KNOWLEDGE AND APPLICATION OF THE INCIDENT COMMAND SYSTEM.

THIS COURSE EXPANDS UPON INFORMATION COVERED IN THOSE ONLINE INDEPENDENT COURSES THAT THEY'RE TAKING.

AND THEN WE HAVE THE ELG 400, WHICH IS JUST AN EXTENSION OF THE 300 AND ADVANCED INCIDENT COMMAND SYSTEM FOR COMPLEX INCIDENTS.

THIS COURSE PROVIDES TRAINING AND RESOURCES FOR PERSONNEL WHO REQUIRE ADVANCED APPLICATION OF THE INCIDENT COMMAND SYSTEM.

WHAT I'VE COME TO FIND OUT IS WITH THESE 300 400 HUNDRED CLASSES, THOSE ARE PREREQUISITES FOR A LOT MORE BETTER HANDS ON TRAINING THAT WE CAN PROVIDE STAFF.

SO RIGHT NOW WE'RE JUST KIND OF KNOCKING OUT TRAINING AS WE GO.

ONCE THESE TRAININGS ARE COMPLETE, WE'LL BE ABLE TO FOCUS ON THE EOC TEAM MEMBERS ON MORE JOB SPECIFIC TRAINING AS IT RELATES TO WHAT THEY ARE DOING IN THE EOC.

THE END GOAL IS TO PUT ALL THIS TRAINING TOGETHER AND HAVE AN EOC EXERCISE ANNUALLY WHERE WE ARE ENGAGING IN AN IMMERSIVE DISASTER SCENARIOS THAT WILL BRING OUT THE BEST OF THE TEAM, FURTHER STRENGTHENING OUR RESILIENCE AS A STAFF AND AS A CITY AS A WHOLE.

IT'S A LITTLE MORE ON THE EMERGENCY OPERATIONS CENTER.

WE HAVE FOUR LEVELS OF ACTIVATION RIGHT NOW.

WE ARE AT A LEVEL FOUR, WHICH IS CONSIDERED NORMAL OPERATION.

LEVEL THREE IS AN ENHANCED OR INCREASED READINESS MONITORING A SITUATION.

AN EXAMPLE OF THAT WOULD BE STORMS MIGHT BE ROLLING IN OR MAYBE A CITY EVENT OR SOMETHING.

WE'RE MONITORING FOR, I KNOW FOR 4TH OF JULY THAT'S WE'RE GOING TO BE AT LEAST A THREE, MOST LIKELY A TWO.

SO LEVEL TWO IS A PARTIAL ACTIVATION WITH HIGH READINESS.

LEVEL ONE IS A CATASTROPHIC EVENT HAS OCCURRED.

WE NEED ALL HANDS ON DECK.

SO AGAIN, OUR EOC IS A HUB OF INFORMATION FOR THE COUNCIL, THE CITIZENS, WHICH STAFF WE ALL GET TOGETHER AND WE HAVE A UNIFIED MESSAGE THAT WE PUT OUT.

IT'S JUST SUPPOSED TO BE THAT ONE STOP SHOP FOR INFORMATION FOR EVERYBODY WHEN STAFFING THE EOC BEFORE SIGNIFICANT EVENTS.

THAT IS, THAT IS US BEING PROACTIVE AND TRYING TO BE AHEAD OF THE CURVE FOR ANYTHING THAT MIGHT BE THROWN AT US.

WE CAN ACTIVATE THE EOC, AN APPROPRIATE LEVEL FOR WEATHER CITY EVENTS, DISASTERS AND ANY OTHER ADDITIONAL NEEDS.

SO I WANTED TO KIND OF GO OVER AN EXAMPLE OF SOME RECENT ACTIVATIONS.

SO IN JANUARY, THE OFFICE OF MARINE MANAGEMENT STOOD UP THE EOC AT A LEVEL THREE FOR THE WINTER STORM THAT IMPACTED US.

MYSELF AND OTHER STAFF KEPT AN EYE ON THE RADAR POWER OUTAGES, THE ERCOT GRIDS, STABILITY AND THE NEWS.

IF THE GRID FAILED AND WE WERE EXPERIENCING MASS POWER OUTAGES IN THAT COLD, THE EOC WOULD BE READY TO BE UPGRADED TO A 2 OR 1.

WE FORTUNATELY NEVER HAD TO UPGRADE OUR ACTIVATION LEVEL.

SO THAT WOULD BE THE PICTURE ON Y'ALL'S LEFT.

AND THEN ON THE RIGHT IS IN MARCH, WE WERE PLACED IN A MODERATE RISK FOR SEVERE WEATHER.

THAT MEANS LONG LIVED, WIDESPREAD, INTENSE STORMS WOULD IMPACT BURLESON AS A PRECAUTION, WE ACTIVATED AT A LEVEL TWO WHERE WE HAD STAFF FROM THE FIRE DEPARTMENT, POLICE DEPARTMENT, PUBLIC SAFETY, COMMUNICATIONS, PUBLIC WORKS, HAM OPERATORS, CERT MEMBERS AND THE EOC.

HAVING STAFF PRESENT IN THE EOC WOULD KICK START ANY RECOVERY EFFORTS THAT WE MIGHT OCCUR DURING ENCOUNTERING DURING STORMS. SO HOW DO WE KIND OF TALKING ABOUT DECISION MAKING WITH THE EOC, WEATHERING, MONITORING AND ALL THAT? A LOT OF DECISIONS ARE MADE BASED OFF OF PREDICTIONS FROM THE STORM PREDICTION CENTER.

SO TO HIGHLIGHT UNDERSTANDING THE SEVERE THUNDERSTORM RISK CATEGORIES, MARGINAL IS ISOLATED, SEVERE THUNDERSTORMS POSSIBLE.

WE'RE KEEPING AN EYE ON IT AT THAT POINT.

SLIGHT SCATTERED, SEVERE STORMS POSSIBLE.

OUR ATTENTION IS A LITTLE BIT MORE DRAWN TO IT ONCE WE START SEEING IT GO TO ENHANCED NUMEROUS SEVERE STORMS POSSIBLE.

WEATHER HAS OUR FULL ATTENTION.

THE NEED FOR THE EOC TO BE AT A LEVEL THREE WILL BE DISCUSSED AMONGST TEAM MEMBERS.

MODERATE WIDESPREAD STORMS. WIDESPREAD SEVERE STORMS LIKELY WERE STAFF IN THE EOC AT A LEVEL TWO.

THIS IS WHAT YOU SAW IN THE PREVIOUS SLIDE, AND IT'S THE FIRST TIME THAT WE'VE SEEN A MODERATE IN TEXAS IN A WHILE.

SO THEY AREN'T COMMON.

AND THEN HIGH WIDESPREAD STORMS EXPECTED.

WE AGAIN, ARE STAFF IN THE EOC AT A LEVEL TWO OR POSSIBLY A LEVEL ONE, DEPENDING ON WHAT THE THE WEATHER STATION IS SAYING.

SO THE HIGH AND MODERATE RISK ARE RARE, BUT WE WANT TO ENSURE WE HAVE A PLAN IN PLACE FOR THOSE.

THE NATIONAL WEATHER SERVICE CHAT IS ANOTHER THING THAT WE MONITOR THAT'S REAL TIME INFORMATION FLOW ON AVERAGE THAT WE RECEIVE REPORTS FROM THE WEATHER SERVICE FIVE MINUTES BEFORE THEY HIT THE NEWS. SO IT'S A GREAT ASSET TO HAVE IN THERE.

YOU HAVE STORM SPOTTERS, YOU HAVE THE WEATHER SERVICE, YOU HAVE THE MEAT IN, YOU HAVE OTHER EMERGENCY MANAGERS, AND THEY'RE TALKING ABOUT WHAT WE'RE SEEING.

SO WE'RE ABLE TO HAVE A GAME PLAN FOR WHAT'S COMING OUR WAY.

TEAM MEMBERS, I DON'T WANT TO TOUR ALONE.

[02:55:03]

ANYONE WEARING A WHITE POLO IN HERE HELPS ME MONITOR USE IT.

USUALLY THE MAJORITY OF THE FIRE DEPARTMENT ADMIN TEAM IS MONITORING AND WE'RE DISCUSSING AS ITEMS ARE HAPPENING.

AMATEUR RADIO OPERATORS.

WE'VE BEEN FORTUNATE TO HAVE VOLUNTEERS FROM THE MGRS, THE MANSFIELD JOHNSON COUNTY AMATEUR RADIO CLUB HELP US WITH ASSIST AND MONITORING.

THEY'LL COME UP AND JUST TELL US WHAT THE SPOTTERS ARE SEEING.

AGAIN, DECISIONS CAN BE MADE WHEN WE HAVE THAT INFORMATION.

COLLEAGUES ALREADY ALLUDED TO THIS.

EMERGENCY MANAGEMENT COLLEAGUES ON THE CHAT HELP US OUT.

AND THEN THE STORM CHASERS, THE TEXAS STORM CHASERS ARE A TRUSTED SOURCE FOR TEXAS WEATHER INFORMATION.

SINCE 2009, THE TEXAS STORM CHASERS PROVIDE DOWN TO EARTH, EASY TO UNDERSTAND STATEWIDE AND LOCAL WEATHER UPDATES DURING PERIOD PERIODS OF ACTIVE WEATHER.

THE TEXAS STORM CHASERS ARE ON YOUTUBE AND GO LIVE DURING WEATHER EVENTS.

THEY ARE PROVING TO BE A VALUABLE RESOURCE.

KEY IS IF YOU LOOK INTO THEM, IF THEY'RE NOT TALKING ABOUT US, WE'RE DOING OKAY.

SO. AN EXAMPLE OF HOW DECISIONS ARE MADE.

SO LAST MONDAY, AS WE ALL KIND OF TALKED ABOUT ALREADY, WE HAD A HAILSTORM.

SO THE WAY THAT WORKED OUT FOR US AND THE FIRE DEPARTMENT IS ON THE SEVERE WEATHER WAS EXPECTED TO STAY SOUTH OF US IN THE EVENING HOURS.

I POPPED UP MY COMPUTER AND WE WERE MONITORING FROM HOME THERE FOR A WHILE.

WE KEPT AN EYE ON THE STORMS AS THEY DEVELOPED AND NOTICED THE STORMS WAS TRACKING TOWARDS BURLESON.

LARGE HAIL, HIGH WINDS WERE CONTINUOUSLY MENTIONED IN THIS STORM THROUGH THE WEATHER CHAT, THE NEWS AND ALL THAT STUFF.

ONCE THE STORM ENTERED HOOD COUNTY AND THE HELL WAS STILL BEING MENTIONED, THAT WAS MY KEY.

OKAY. I PROBABLY NEED TO GET UP TO THE EOC.

OUR RADAR INDICATED THAT THERE WAS 100% CHANCE OF FOR HAIL AT AT LEAST 1.75IN IN DIAMETER AFTER THE ADMIN TEAM AND I HAD AT A DISCUSSION, A DECISION WAS MADE TO ACTIVATE OUR OUTDOOR WARNING SIRENS TO GIVE CITIZENS OUTSIDE A CHANCE TO SEEK SHELTER AND ADDITIONAL INFORMATION.

NOT FIVE MINUTES AFTER THE ACTIVATION WE RECEIVED GOLF BALL SIZED HAIL AND BASEBALL SIZED HAIL AT STATION 16.

DO YOU HAVE TO BE IN THE EOC TO BE ABLE TO ACTIVATE THOSE OUTDOOR WARNING SYSTEMS? YES, MA'AM. SO THAT'S NOT REMOTE.

YOU HAVE TO BE ON SITE? NOT YET, BUT. YES, MA'AM.

OKAY. THAT'S WHAT I HEARD.

AND I MOVED MY CAR INSIDE JUST BEFORE THE CRAZY HAIL CAME TO OUR NEIGHBORHOOD.

BUT THERE WERE A LOT OF UNFORTUNATE CARS IN OUR NEIGHBORHOOD THAT WHEN WE DROVE AROUND THE NEXT MORNING, THE ENTIRE WINDSHIELDS AND BACK WINDOWS WERE SMASHED OUT.

IT WAS IT WAS A SIGHT FOR SURE.

WE HAD OAK VALLEY, HAD THE HORNS.

THERE WAS NO EXPLANATION.

YOU MEAN THE VOICE MAYOR? THERE WAS THERE WAS NO SITUATION ANNOUNCEMENT OR ANYTHING LIKE THAT.

THE HORNS WENT OFF. SO I'LL TOUCH ON THIS HERE IN A SECOND WITH THE WITH THE SIRENS AND ALL THAT.

SO WHEN THE SIRENS ACTIVATE, WE'RE TRYING TO GET AWAY FROM PEOPLE DEPENDING ON THE VOICE.

WHAT WE FOUND WAS WE TOOK THE VOICE AWAY.

WHAT WE FOUND WAS PEOPLE WERE GOING OUTSIDE TO SEE WHAT WAS GOING ON.

AND IF YOU CAN IMAGINE A HAILSTORM COMING, WE ACTIVATE THE SIRENS, PEOPLE GO OUTSIDE, THEY'RE GOING TO GET HIT BY HAIL.

SO IT WAS A SAFETY PRECAUTION.

WE TOOK THOSE AWAY.

WE'RE WORKING ON GETTING AND I'LL TALK ABOUT THIS IN A SECOND OUTREACH FOR AND I'VE BEEN STARTING THIS I'VE BEEN GOING SINCE FEBRUARY WITH THIS HOW THE SIRENS ARE.

YOU HEAR THEM GO INSIDE, SEEK ADDITIONAL INFORMATION.

THAT'S THE WHOLE PURPOSE OF THEM.

SO. AGAIN.

SO WE WATCH THE WATCHES AND THE WARNINGS THAT FOLLOW THESE STORMS, THE WHAT THIS TEXAS STORM CHASERS ARE SAYING.

AND WE'RE TRYING TO DO AS MUCH ADVANCED WARNING ON SOCIAL MEDIA AND ALL THAT AS WE CAN.

SO ALL THAT PLAYS INTO DECISION MAKING, ALWAYS PROACTIVE, GIVE AS MUCH ADVANCE WARNING AS POSSIBLE FOR OUR CITIZENS.

WE CONTINUOUSLY STRIVE TO PROVIDE ALERTS THROUGH ALERTS AND KEEPING THE PUBLIC INFORMED THROUGH SOCIAL MEDIA.

SO THAT WAS A LOT. JUST THAT.

SO WAS PAUSE FOR ADDITIONAL QUESTIONS IF YOU ALL HAVE THEM.

OKAY. OKAY, SO SPEAKING OF SIRENS, SO APRIL, THIS YEAR, THE COUNCIL APPROVED THE PURCHASE OF FOUR NEW OUTDOOR WARNING SIRENS.

WE'RE AIMING TO MODERNIZE OUR SYSTEM.

IT IS VERY OLD AND INCREASE THE COVERAGE AND OUR VASTLY GROWING CITY.

WE WILL TAKE A PHASED APPROACH, FOR EXAMPLE, WITH THE PURCHASE OF NEW SIRENS, WILL REPLACE TWO OF OUR OLDEST AND WILL INSTALL TWO IN OTHER AREAS TO INCREASE COVERAGE.

THIS PLAN TO RETURN THE PLAN IS TO RETURN TO COUNCIL IN OCTOBER.

AS FOR FOUR ADDITIONAL WITH THE GOAL OF HAVING A MINIMUM OF 16 OUTDOOR WARNING SIRENS IN FY 2526.

WE WANT TO ENSURE TIMELY AND ACCURATE WARNING FOR ALL CITIZENS.

AND THEN, JUST AS I WAS TELLING THE MAYOR, WE'RE WORKING ON CHANGING THE TORNADO SIREN NARRATIVE.

WE WANT CITIZENS AND VISITORS TO KNOW THE OUTDOOR WARNING SIRENS ARE AN ALERT SYSTEM FOR INDIVIDUALS OUTSIDE.

IF THE SIRENS ARE HEARD, THE CITY IS TELLING YOU TO SEEK SHELTER IMMEDIATELY.

SEEK ADDITIONAL INFORMATION ON WHAT IS GOING ON.

THE WARNING SIRENS CAN BE ACTIVATED FOR 70 PLUS MILE AN HOUR WINDS, HAIL AN INCH AND A HALF IN DIAMETER OR GREATER.

[03:00:04]

RADAR INDICATED TORNADO FROM THE WEATHER SERVICE.

A TRAINED SPOTTER REPORT OF A TORNADO AND OTHER NON WEATHER RELATED EMERGENCIES OUTSIDE.

AGAIN, IF YOU HEAR THE SIRENS, PLEASE SEEK SHELTER, SEEK ADDITIONAL INFORMATION THROUGH SOCIAL MEDIA AND NEWS OUTLETS.

ANOTHER INITIATIVE THAT IT WAS KIND OF ALREADY PRESENT IN THE CITY, BUT WE'VE KIND OF TAKEN IT TO A NEW HEIGHT.

THE POLICE DEPARTMENT WOULD WORK ON EVENT ACTION PLANS, BUT THEY HANDED THOSE OVER TO ME TO WHERE WE ARE CONSTRUCTING EVENT ACTION PLANS FOR OUR BIG EVENTS.

SO AN EVENT ACTION PLAN IS A TYPE OF DOCUMENT THAT COVERS ALL THE SAFETY AND ORGANIZATIONAL ASPECTS OF AN EVENT.

THIS ALSO CONTAINS DETAILS SUCH AS LOCATION OF THE EVENT, DETAILS ON WHO THE SUPERVISOR IS, AND IF AN ACTION PLAN IS MOSTLY USED IN CONTRACTORS, EVENTS, ORGANIZATION ORGANIZERS AND EMERGENCY PERSONNEL TO ENSURE DEVELOPMENT OUTCOME AND THE SAFETY OF THE EVENT.

SO WE HAVE A MASSIVE ONE BEING BUILT FOR 4TH OF JULY CURRENTLY.

SO COMMUNITY OUTREACH, SO EMERGENCY PLANNING WORKSHOPS I'VE SKIPPED.

SO PROMOTING PREPAREDNESS WHEN I GO TO CITY EVENTS AND SUCH LIKE THAT, THE TOPICS RIGHT NOW ARE TRYING TO GET PEOPLE SIGNED UP FOR THE BTX ALERT SYSTEM AND TO EDUCATE THEM ON THE OUTDOOR WARNING SIRENS.

THE EMERGENCY PREPAREDNESS CLASSES, WE'VE ALMOST ONCE A MONTH DONE THOSE.

STARTED OFF AT PATHWAY THOMAS SQUARE APARTMENTS, MAYOR YOUTH COUNCIL, MARIPOSA APARTMENTS.

AND THEN JUST LAST WEEK I WENT OVER TO THE CHAMBER LUNCHEON AND JOHNSON COUNTY EMERGENCY MANAGEMENT AND I GET A PRESENTATION TOGETHER.

A LOT OF RUMBLINGS ABOUT THE COMMUNITY EMERGENCY RESPONSE TEAM GOING ON RIGHT NOW.

THIS TEAM TRAINS CITIZENS TO BE PREPARED BEFORE, DURING AND AFTER DISASTERS.

CERT VOLUNTEERS VOLUNTEER TEAMS PERFORM BASIC RESPONSE ACTIVITIES, INCLUDING CHECKING IN ON NEIGHBORS, DISTRIBUTING INFORMATION TO THE PUBLIC, SUPPORTING EMERGENCY OPERATIONS CENTERS AND HELPING MANAGE TRAFFIC AND CROWDS.

SO WE ARE WE REVAMPED THE CERT PROGRAM, WE REBRANDED THEM AND WE DID KIND OF A SOFT OPEN CLASS.

TWO WEEKENDS AGO WHERE WE HAD WE CAPPED IT AT TEN, BUT SEVEN SIGNED UP JUST TO GIVE THE WE HAVE TEN NEW INSTRUCTORS, SO GIVE THEM SOME EXPERIENCE.

AND IT WENT REALLY WELL.

SO OUR NEXT CLASS IS AUGUST 25TH THROUGH THE 27TH.

I'M PLEASED TO ANNOUNCE THAT IT'S FILLED AS OF AN HOUR AGO.

I GOT THAT EMAIL AN HOUR AGO THAT SOMEBODY TOOK THE LAST SEAT.

SO WE WILL PLAN ON ADDING ANOTHER ONE TO THE CALENDAR VERY EARLY SPRING.

SO IT'S SOMETHING THAT THE CERT ORGANIZATION THEY'RE LOVING IT.

THEY THE FIRE DEPARTMENTS HELP THEM WITH CLASSES TOO.

IT'S YOU KNOW, PEOPLE COME INTO THAT THING NOT REALLY KNOWING WHAT TO EXPECT, THAT THEY WALK OUT WITH A PLETHORA OF KNOWLEDGE ON HOW TO BETTER BE PREPARED FOR EMERGENCIES.

SO I'VE HAD LOTS OF GREAT FEEDBACK ABOUT THE PARTICIPANTS AND SEEING THEM OUT IN THE COMMUNITY.

THEY WERE OUT LAST NIGHT.

WE HAD SOME CERT VOLUNTEERS, SO GREAT JOB ON THE REBRANDING AND THE REINSTITUTION OF THAT PROGRAM BECAUSE I THINK COMMUNITY MEMBERS ARE THRILLED TO BE A PART OF IT.

YES, MA'AM. THANK YOU.

SO CELEBRATING PREPAREDNESS MONTH.

YOU KNOW, THE FEDERAL GOVERNMENT RECOGNIZED PREPAREDNESS MONTH IN SEPTEMBER.

SO SOMETHING I DID IN MY PREVIOUS POSITIONS IN OTHER CITIES WAS I CREATED A PREPAREDNESS FAIR AND I WANTED TO BRING THAT TO BURLESON.

SO AND SEPTEMBER ON THE 30TH, SEPTEMBER 9 A.M.

TO 1 P.M. PATHWAY CHURCH, IT'S OPEN TO THE PUBLIC.

IT'S JUST KIND OF THEY HAVE A BIG THEY HAVE A BIG VENUE.

AND THEY OFFERED. SO I WAS LIKE, ABSOLUTELY.

AND WE'LL BRING PARTNERS FROM, YOU KNOW, THE STATE, FROM OTHER VOLUNTEER ORGANIZATIONS.

H.E.B WILL BE THERE JUST IT'S KIND OF Y'ALL THINK A SUPER SAFETY SATURDAY.

IT'S JUST GOING TO KIND OF HOPE WE LIVE UP TO THAT HYPE FOR THE MOST PART, BUT WITH A LOT MORE DISASTER RESPONSE FOLKS THERE.

SO GOOD, FUN TIME.

HOPE TO SEE YOU ALL THERE.

CURRENTLY I'M WORKING WITH THE CITY SECRETARY'S OFFICE.

WE ARE TRYING TO GET A PUBLIC OFFICIALS WORKSHOP GOING FOR MAYOR AND COUNCIL.

IT IS A THREE HOUR COURSE THAT JUST GIVES YOU ALL THE RUNDOWN OF WHAT YOU ALL NEED TO DO IN A TIME OF CRISIS FOR THE CITY.

WHENEVER WE GET THE WORD WHATEVER DATES WORK OUT, I'LL SEND IT TO THE STATE.

THE STATE IS READY TO PULL THE TRIGGER ON IT WHENEVER, WHENEVER YOU ALL ARE READY TO GO.

SO HOPEFULLY WE GET THAT GOING SOON.

SO FUTURE INITIATIVES.

WE'VE GOT A FEW THINGS THAT WE WANT TO CONFERENCE A FEW WEEKS AGO, AND I REALIZED THERE'S A GAP IN YOUTH DISASTER PREPAREDNESS AND MYSELF AND THE TEAM, WE WANT TO BRING YOUTH DISASTER PREPAREDNESS TO THE FOREFRONT OF WHAT WE'RE DOING.

AND THERE'S LITERATURE OUT THERE THAT KIND OF BREAKS IT DOWN FOR KIDS.

AND I THINK THAT'D BE GREAT GETTING INTO THE SCHOOLS AND TALKING TO KIDS ABOUT WHAT THEY CAN DO TO BETTER PREPARE THEMSELVES FOR ANYTHING.

AS MY MOM ALWAYS SAYS, DON'T BE SCARED, BE PREPARED.

SO I'LL GET THAT TATTOOED ON ME ONE DAY.

TABLETOP EXERCISES FOR STAFF, EOC TEAM TRAINING.

[03:05:01]

BTX PREPARED.

SO THE BTX PREPARED IS GOING TO BE A COMMUNITY INITIATIVE THAT WE'RE PARTNERING WITH PUBLIC WORKS POLICE.

MORE TO FOLLOW ON THAT, SIR, AS A FULLY DEPLOYABLE ASSET TO THE CITY, ANYTIME THE CERT TEAMS NEEDED, YOU JUST CALL AND THEY'LL BE THERE TO HELP WITH WHATEVER THEY CAN HELP WITH WITHIN THE SCOPE OF THEIR TRAINING.

CONTINUE TO IMPROVE THE EOC AND CONTINUE TO BUILD PARTNERSHIPS.

WITH THAT, I WILL TAKE ANY QUESTIONS.

JOE, I JUST LIKE TO SAY YOU'VE DONE A GREAT JOB SINCE YOU'VE BEEN HERE.

THANK YOU, SIR. THE CITY IS LUCKY TO HAVE YOU.

THANK YOU, SIR. I APPRECIATE THAT.

I'LL HAVE TO AGREE WITH THAT.

I'VE BEEN SITTING IN ON A COUPLE OF YOUR CLASSES, AND YOU'REVERY PERSONABLE AND YOU'RE VERY ENGAGING AND PEOPLE ENJOY LISTENING TO YOU, SO.

YES, SIR. THANK YOU FOR BEING HERE.

THANK YOU, SIR. ANYBODY ELSE? THANK YOU. THANK YOU, JOE.

THANK YOU. THANK YOU, MAYOR AND COUNCIL. THAT BRINGS US TO SECTION FOUR.

CHANGES TO THE POSTED AGENDA.

[4. CHANGES TO POSTED AGENDA]

ITEMS TO BE CONTINUED OR WITHDRAWN.

WE HAVE NONE AT THIS TIME.

ITEMS TO BE WITHDRAWN FROM THE CONSENT AGENDA FOR SEPARATE DISCUSSION BY THE CITY COUNCIL STAFF OR MEMBERS OF THE PUBLIC IN ATTENDANCE OR ITEMS TO BE ADDED TO THE CONSENT AGENDA WHICH REQUIRE AN OFFICIAL VOTE BY THE CITY COUNCIL.

ARE THERE ANY ITEMS TO BE WITHDRAWN FROM THE CITY COUNCIL AGENDA FOR THE CONSENT AGENDA FOR SEPARATE DISCUSSION? AMANDA I'D LIKE TO MOVE ITEM SEVEN B TO THE CONSENT AGENDA, PLEASE.

[7.B.Consider approval of a 12-month service contract with Intermountain Slurry Seal, Inc. via Inter-local Purchasing Agreement with the City of North Richland Hills for asphalt pavement sealing services in the amount of $525,000. (Staff Presenter: Errick Thompson, Deputy Director of Public Works - Engineering)]

OKAY. IF YOU'LL HOLD ON JUST ONE MINUTE.

OKAY. SEEING GO AHEAD AND MAKE A MOTION.

LET ME, FOR CLARITY AND TRANSPARENCY, ALLOW ME TO READ THAT INTO THE RECORD SO THAT PEOPLE KNOW WHAT'S THE ITEM WHERE WE'RE MOVING UP.

SO SEVEN B IS UNDER A GENERAL SECTION.

IT'S TO CONSIDER APPROVAL OF A 12 MONTH SERVICE CONTRACT WITH INTERMOUNTAIN SLURRY SEAL.

I WANTED TO SAY THAT THAT'S WHY I READ THIS IN VIA INTERLOCAL PURCHASING AGREEMENT WITH THE CITY OF NORTH RICHLAND HILLS FOR ASPHALT PAVEMENT SEALING SERVICE IN THE AMOUNT OF $525,000.

THE STAFF PRESENTER WOULD HAVE BEEN ERIC THOMPSON, DEPUTY DIRECTOR OF PUBLIC WORKS.

AT THIS TIME, IS THERE A MOTION TO MOVE THAT ONE INTO CONSENT AGENDA? SO MOVED. SECOND.

MAYOR IF YOU CAN CALL FOR THE VOTE.

PASSES UNANIMOUS. I THOUGHT SHE WAS GOING TO ASK FOR THAT.

OKAY. ARE THERE ANY OTHER ITEMS? OKAY, THAT MOVES US ON.

WE'VE DONE CITIZENS APPEARANCE.

UNLESS THERE IS SOMEBODY WHO IS NOW IN THE AUDIENCE WHO WAS NOT HERE EARLIER WHEN WE MOVED THAT UP, THAT WOULD LIKE TO SPEAK TO COUNCIL ON AN ITEM NOT POSTED ON TONIGHT'S AGENDA. SEEING NO ONE.

WE WILL MOVE ON TO SECTION SIX, CONSENT AGENDA.

ALL ITEMS LISTED ARE CONSIDERED TO BE ROUTINE BY THE CITY COUNCIL AND WILL BE ENACTED WITH ONE MOTION.

[6. CONSENT AGENDA]

THERE WILL BE NO SEPARATE DISCUSSION OF THE ITEMS. APPROVAL OF THE CONSENT AGENDA AUTHORIZES THE CITY MANAGER TO IMPLEMENT EACH ITEM IN ACCORDANCE WITH STAFF RECOMMENDATIONS THIS EVENING.

THE CONSENT AGENDA IS ITEMS SIX A THROUGH SIX H AND NOW INCLUDE SEVEN B.

IS THERE A MOTION TO APPROVE CONSENT? AGENDA 27 B.

SECOND. I HAVE A MOTION BY DAN A SECOND BY VICTORIA.

PLEASE VOTE. PASSES UNANIMOUS.

THANK YOU, MAYOR. THANK YOU, MAYOR AND COUNCIL.

THAT BRINGS US TO SECTION SEVEN, GENERAL SEVEN C THIS IS CONSIDER AND TAKE ACTION ON A RESOLUTION OF THE CITY COUNCIL OF THE CITY

[7.C.Consider and take action on a resolution of the City Council of the City of Burleson, Texas, directing publication of notice of intentions to issue combination tax and revenue certificates of obligation; and resolving other matters relating to the subject. (Staff Presenter: Martin Avila, Director of Finance)]

OF BURLESON, TEXAS, DIRECTING PUBLICATION OF NOTICE OF INTENTION TO ISSUE COMBINATION TAX AND REVENUE, CERTIFICATES OF OBLIGATION AND RESOLVING AND RESOLVING OTHER MATTERS RELATED TO THE SUBJECT.

THE STAFF PRESENTER IS MARTIN AVILA, DIRECTOR OF FINANCE.

MR. AVILA, YOU DIDN'T GET A BREAK? WELL, I'M GOOD.

MAYOR AND COUNCIL.

THE THIS ITEM IS ABOUT.

RECOMMENDING A A NOTICE OF INTENT TO ISSUE BONDS RESOLUTION.

THE NOTICE OF INTENT IS NOT THE AUTHORIZATION TO ISSUE THE BONDS THAT WILL BE COMING IN AUGUST.

THIS IS MORE OF FOR US TO BEGIN THE PROCESS OF THE PUBLIC NOTICES FOR THIS BOND ISSUE.

THERE IS A 45 DAY WINDOW.

[03:10:01]

THERE ARE SOME PUBLIC NOTICES THAT NEED TO BE TWO PUBLIC NOTICES THAT NEED TO BE ADVERTISED IN REGARDS TO THESE ISSUES.

BUT AGAIN, WANTED TO MAKE SURE THAT THAT THIS ITEM IS MORE SO ALLOWING THE STAFF TO MOVE FORWARD AND DO THAT 45 DAY WINDOW IN REGARDS TO THIS NOTICE OF INTENT.