Aug 15, 2023 TIF #2

[1. CALL TO ORDER ]

[00:00:04]

HEAR OF THE TAX INCREMENT FINANCE REINVESTMENT ZONE NUMBER TWO BOARD.

I WILL CALL THE MEETING TO ORDER.

FIRST ITEM ON OUR AGENDA IS CITIZEN APPEARANCES.

HAVE WE ANYONE HERE THAT WOULD LIKE TO ADDRESS THE BOARD ABOUT ANYTHING? NOT ON OUR AGENDA.

I SEE NO SUCH REQUEST.

SO WE'LL MOVE ON TO ITEM 33A IS TO CONSIDER APPROVAL OF THE MINUTES OF THE MAY 15TH TAX INCREMENT FINANCE REINVESTMENT ZONE

[3.A. Consider approval of the minutes from the May 15, 2023 Tax Increment Finance Reinvestment Zone #2 (TIF #2) Board meeting. (Staff Contact; Amanda Campos, City Secretary) ]

IF THE MEMBERS HAVE HAD A CHANCE TO CHECK THOSE MINUTES AND SEE IF THEY ALIGN WITH THEIR UNDERSTANDING OF THE EVENTS THAT OCCURRED, I'LL BE READY FOR A MOTION TO APPROVE.

SECOND. HAVE A MOTION BY JOHNSON A SECOND BY FLETCHER TO APPROVE ALL THOSE IN FAVOR.

ALL RIGHT. THAT PASSES BY UNANIMOUS VOTE.

NEXT ITEM UP IS ITEM THREE B TO CONSIDER APPROVAL OF A RESOLUTION ADOPTING THE TAX INCREMENT FINANCE REINVESTMENT ZONE.

[3.B. Consider approval of a resolution adopting the Tax Increment Finance Reinvestment Zone #2 (TIF #2) FY2023-2024 annual budget. (Staff Presenter: Martin Avila, Finance Director) ]

THIS WILL BE PRESENTED BY MARTIN AVILA, CITY FINANCE DIRECTOR.

YOU KNOW, ONE OF THE THINGS THAT ALWAYS CATCHES MY ATTENTION IS, IS HOW TO ADDRESS EITHER BY CHAIRMAN OR BY PRESIDENT BETWEEN THE FORAY AND THE TIF.

SO, SO, SO CHAIRMAN, PRESIDENT, BOARD MEMBERS, THANK YOU FOR FOR YOUR TIME TODAY. I'M GOING TO TALK ABOUT THE TIF 2'S BUDGET AND SOME OF THE BUDGET HIGHLIGHTS FOR FOR TIF TWO AS IT RELATES TO, AGAIN, PROPOSED REVENUE BUDGETS, IT'S ABOUT $1.3 MILLION.

A BIG PART OF THAT IS IS COMING FROM AD VALOREM TAXES THAT ARE SPECIFICALLY TIED THE INCREMENTAL VALUE OF THOSE OF THOSE TAXES WITHIN THE TIF ZONE.

NUMBER TWO, THERE'S OTHER REVENUES INVOLVED AS WELL, NOT AS NOT MANY.

YOU HAVE RENTALS AS IT RELATES TO THE PLAZA.

YOU ALSO HAVE INTEREST EARNINGS AS WELL.

INTEREST RATES HAVE BEEN HIGH THIS PAST YEAR.

SO COMPARED TO THE PREVIOUS YEAR, THE EARNINGS ARE THERE TO TO BE ABLE TO USE FOR THIS PARTICULAR FUND AS WELL.

PROPOSED EXPENDITURES, AGAIN, $1.3 MILLION.

IT INCLUDES PERSONNEL COSTS OF ABOUT $360,000.

IT SUPPORTS THREE FULL TIME EQUIVALENT POSITIONS, WHICH IS ALSO INCLUDES TWO OFFICERS AS WELL.

AND IN ADDITION TO THAT, ALSO HAS A ONE PART TIMER.

SO KIND OF LIKE THREE AND A HALF POSITIONS, THE MERITS 3.5% MERIT INCREASES AND ALSO INCLUDES THE 3% FOR THE STEP PLAN FOR THE POLICE OFFICERS AS WELL.

SUPPLEMENTAL REQUESTS.

THERE WAS ONE THAT WAS SUBMITTED BY THE PARKS DEPARTMENT.

IT WAS FOR A PART TIME AS WELL.

SO NOW THERE'S TWO PART TIMERS THAT WILL BE IN THE PLAZA AND THEY'LL HAVE A SEVEN DAY TURNAROUND COMMITMENT TO BE ABLE TO CONTINUE SERVICING THIS AREA AS WELL.

OPERATING COSTS ABOUT 314,000 INCLUDES INCENTIVES, ADMINISTRATIVE COSTS, MAINTENANCE AND REPAIRS, ANY ANY TYPE OF SERVICES THERE.

AND THERE'S ALSO A DEBT SERVICE PAYMENT INCLUDED PROPOSED FOR NEXT YEAR OF $653,000, WHICH ALSO INCLUDES A WE ARE PROPOSING FOR THIS YEAR TO ISSUE $450,000 COSTS UNDER THE TIF SUPPORTED REVENUES, WHICH IS GOING TO COVER THE PURCHASE OF THAT BANK LOT THAT WILL BE USED TO CONSTRUCT THE PARKING LOT.

AND AGAIN, THOSE ARE KIND OF THE HIGHLIGHTS.

THIS KIND OF GIVES YOU A THREE YEAR SUMMARY THAT WE USE IN OUR BUDGET.

AGAIN, IT'LL, BASED UPON THE PROPOSED REVENUES, THE PROPOSED EXPENDITURES, IT'LL HAVE A CHANGE OF A POSITIVE $40,000 FOR NEXT YEAR, WHICH WILL PUT A FUND BALANCE OF APPROXIMATELY $768,000.

AND WITH THAT, WHAT IT DOES IS THAT OVER TIME IT CONTINUES TO LOOK AT THAT FUND BALANCE PERCENTAGE.

AT THE END OF 28, IT'LL BE ABOUT 79%.

MARTIN JUST A POINT OF CLARIFICATION.

YOUR THE FIVE YEAR SLIDE HERE IS OLD.

IT HAD THE HIGHER THAN ANTICIPATED REVENUE FOR YOUR FUND BALANCE PROJECTIONS.

THE 33% THAT WE SHOWED THIS MORNING IS THE CORRECT SLIDE.

SO I JUST WANT TO POINT THAT OUT.

THAT IS A TYPOGRAPHICAL ERROR.

THANK YOU. AND AGAIN, THE OPTIONS RECOMMEND APPROVAL OF THE TWO PROPOSED BUDGET. NOT RECOMMEND APPROVAL OF THE 2024 PROPOSED BUDGET AND STAFF RECOMMENDS APPROVAL OF THE 2024 PROPOSED BUDGET.

ALL RIGHT. DOES ANYONE HAVE ANY QUESTIONS REGARDING THE BUDGET?

[00:05:01]

SECOND. OKAY.

I HAVE A MOTION BY JOHNSON TO APPROVE AND A SECOND BY FLETCHER.

ALL THOSE IN FAVOR.

AND THAT MOTION PASSES BY UNANIMOUS VOTE.

DO WE HAVE A NEED FOR EXECUTIVE SESSION TODAY? I SEE NO RESPONSE TO THAT.

SO OUR NEXT ITEM ON THE AGENDA IS TO ADJOURN AND WE WILL ADJOURN THE MEETING AT 2:36 P.M.

* This transcript was compiled from uncorrected Closed Captioning.