[00:00:03]
[ CALL TO ORDER]
EVENING.AT THIS TIME, THE CITY C COUNCIL WILL, UH, RESUME AT 6:00 PM WE ARE RECONVENING FROM THE BUDGET WORKSHOP THAT STARTED LAST NIGHT, JULY 24TH.
SO, AT THIS TIME, MR. MAGNER, TAKE IT AWAY, PLEASE.
[B. CONTINUE TO REVIEW AND DISCUSS FISCAL YEAR 2023-2024 BUDGET FOR OPERATIONS, CAPITAL IMPROVEMENTS, AND DEBT SERVICE]
THANK YOU, MAYOR.UM, LET ME JUST, UH, FIRST BEGIN BY THANKING YOU AGAIN FOR, UH, THE, THE GREAT DIALOGUE AND DISCUSSION THAT WE HAD LAST NIGHT.
WE REALLY APPRECIATE, APPRECIATE THE INPUT AND THE FEEDBACK WE RECEIVED.
AND AS, UH, YOU'LL SEE AS WE KIND OF WRAP UP TONIGHT, WE'RE KIND OF CULMIN, UH, UH, KIND OF BRINGING ALL THAT TO A CULMINATION AND KIND OF PLAYING BACK FOR YOU WHAT WE HEARD SO THAT, UH, AS WE BEGIN REFINING, UM, THE BUDGET AS WE MOVE TOWARDS FILING DATE, UH, WE'RE, WE'RE AS ALIGNED AS POSSIBLE.
BEFORE WE JUMP INTO THIS, UH, BRIEFING, UM, I DID WANNA JUST, UH, DRAW YOUR ATTENTION TO THE HANDOUT, UH, THAT YOU HAVE WHEN YOU PLACE THIS HANDOUT WILL BE MADE PART OF, UH, THE ONLINE PRESENTATIONS AS WELL.
SO EVERYBODY, UH, CAN, UH, CAN BENEFIT FROM THE INFORMATION.
THERE WERE REALLY TWO QUESTIONS COMING OUTTA LAST NIGHT THAT WE WANTED TO JUST, UH, FOLLOW UP ON, RIGHT OUT OF THE, THE GATES HERE.
UH, THE FIRST, UH, UH, COUNCILMAN HUTCHIN RIDER, UM, HOPEFULLY THIS IS RESPONSIVE TO WHICH YOU WERE, UM, ASKING.
UH, YOU'LL SEE THERE THE FIRST THREE LINES ARE, UH, THE CHAMBER OF COMMERCE, THE COUNSELING PLACE AND NETWORK COMMUNITY MINISTRIES WITH THE ASTERISK, I'LL COME BACK TO THAT IN JUST A SECOND.
UH, THOSE ARE DIRECT PAYMENTS TO, UH, PARTNERS, UH, PARTNER ORGANIZATIONS HERE IN THE COMMUNITY THAT WE MAKE THAT'S, UH, INCLUDED IN THIS BUDGET, UH, OR PROPOSED INCLUDED IN THIS BUDGET.
AND THEN THE 20 22 23 ART GRANTS.
OF COURSE, UH, CURRENTLY GOING THROUGH THAT PROCESS AS WE SPEAK, UM, THE, UH, CULTURAL ARTS COMMISSION WILL BE MAKING, UH, THEIR RECOMMENDATIONS TO YOU FOR FURTHER, UH, CONSIDERATION LATER.
UH, I THINK IN THE SEPTEMBER TIMEFRAME OR SO, IF I, IF I RECALL RIGHT, MIKAYLA, REGARDING THE ASTERISKS, I WANTED TO, TO, UM, JUST PROVIDE MAYBE A LITTLE BIT BETTER CLARITY THAN I DID LAST NIGHT.
WE HAD THE, THE BULLET THAT SAID, $500,000 EACH RAISING FROM THE, UH, CURRENT 300 FOR THE NETWORK, AND THREE 12 FOR THE COUNSELING PLACE.
UH, YOU'LL SEE AT THE BOTTOM OF THIS PAGE IS A, IS A FUNDING STRATEGY.
UH, YOU RECALL ABOUT TWO MONTHS AGO, I BROUGHT TO YOU THE OPPORTUNITY TO JOIN INTO THE STATE OF TEXAS, UH, OPIOID SETTLEMENT.
AND SO WHAT YOU'LL SEE IS A PHASING IN, UH, THAT WILL REALLY ALLOW THE COUNCIL, UM, TO KIND OF STEP INTO THESE INITIATIVES IS THAT'S, IF THAT'S WHAT YOU DECIDE TO DO, UM, UM, BUT REALLY KIND OF EASE INTO THE GENERAL FUND BURDEN.
SO YOU CAN KIND OF SEE THE FIRST YEAR THERE, THREE 50.
SO THAT WOULD BE UP FROM 300, 3 12 RESPECTFULLY, THEN USING THE OPIOID SETTLEMENT TO KIND OF OFFSET THE REMAINDER.
BUT YOU SEE THAT COMES DOWN A LITTLE BIT EACH OF THE NEXT TWO YEARS.
AND BY A YEAR FOUR, THE, UH, FULL BURDEN WOULD BE ON THE GENERAL FUND.
SO IT'S A STEPWISE PLAN THAT REALLY ALLOWS US, UH, TO KINDA MAKE A, A MEANINGFUL, UH, INCREASE IN THE, UH, THE TWO, THE TWO CONTRIBUTIONS IF THAT'S WHAT YOU DEEM APPROPRIATE.
AND, UH, WITHOUT HAVING TO OVER, UM, OVERBURDEN THE GENERAL FUND, UH, INITIALLY, UH, AT THE START OF THE TWO PROGRAMS, UM, I'D BE HAPPY TO ANSWER ANY QUESTIONS ON, ON THAT IF, IF ANYONE HAS ANY.
ON THE SECOND PAGE, UM, UH, UM, UM, UM, COUNCILWOMAN JENNIFER JUSTICE, UM, I, I HOPE THIS IS RESPONSIVE.
UH, YOU HAD ASKED ABOUT JUST COMPARING THE HOMESTEAD EXEMPTION EXEMPTION, THE 65, UM, AND THE DISABLED PERSON EXEMPTION, AND THEN THE TAX CEILING EXEMPTION.
SO WE'VE GOT THAT FOR OUR COM.
OUR COMPARABLE CITIES, WE'VE GOT THE EXEMPTION PERCENT, THE, UH, HOMESTEAD EXEMPTION PERCENT, THE, UM, 65 AND DISABLED PERSON EXEMPTION AMOUNT, WHICH IN SOME CASES ARE DIFFERENT.
AND THEN THE CITIES IDENTIFIED THE CITIES WITH THE CEILING.
I DO WANT TO, I DO WANT TO DRAW A POINT HERE.
UH, TH I THINK MY, UM, GOOD COLLEAGUE KENT FILE APPARENTLY LAST NIGHT AS I WAS, UM, GETTING LATER IN THE EVENING AND, AND, AND TALKING ABOUT A LOT OF DETAIL.
I MAY HAVE SAID ONCE OR TWICE
WELL, IN REALITY, AS IT SAID ON THE SLIDE, AND AS I THINK I SAID IT, AT LEAST ONCE OR TWICE, IT'S ACTUALLY THE, THE TAX IS.
AND SO JUST FOR CLARITY, UM, AND, AND ONLY CLARITY'S SAKE, 'CAUSE I THINK THAT, THAT THE, YOU'D ARRIVE AT THE SAME, UM, KIND OF CONCLUSION EITHER WAY, IF THAT'S, IF THAT'S, UM, WHERE YOU WERE HEADED.
BUT, UH, JUST, JUST WANTED TO MAKE THAT POINT OUT AS YOU LOOK AT THAT LAST COLUMN THERE.
I GET THAT RIGHT, KEN, I THINK.
ANY QUESTIONS ON THAT, DON? YES, SIR.
UM, SO, SO CITIES LIKE PLANO, FRISCO, ARLINGTON, THEY HAVE AN EXEMPTION.
AND THE TWO, THE TWO EXEMPTIONS ARE APPLIED FIRST, OR IF BOTH WOULD BE APPLICABLE AND THEN, UM, WELL, ACTUALLY BOTH WOULD BE, UM, IF THEY WERE APPLYING THE CEILING.
'CAUSE YOU'D HAVE TO HAVE THE 65 EXEMPTION AS WELL, RIGHT? YEP.
YEAH, I MEAN, I WOULD JUST ECHO THAT AND SORT OF SAY IT WAS MUCH LARGER CITIES.
SO I, I THINK THAT THE PRESENTATION YOU PROVIDED LAST NIGHT SORT OF REALLY ROUNDED THIS OUT, IN MY OPINION, ABOUT WHAT OUR CAPABILITIES ARE AND WHAT WE WOULD HAVE TO CUT.
AND SO IT'S, IT'S NICE TO SEE THIS AND IT'S GOOD TO SEE FROM A 65 AND OVER EXEMPTION.
[00:05:01]
SECOND BEST.UM, AS FAR AS, UM, WHAT WE PROVIDE.
SO IT, YOU KNOW, THE PRESENTATION WAS REALLY HELPFUL BECAUSE LIKE I SAID, THE PUBLIC ASKS US ABOUT THIS QUITE A BIT.
UM, UH, BUT I JUST, AGAIN, WHEN YOU DO THE COMPARATORS TO WHAT OUR ABILITIES FROM A, FROM A, A DEBT STANDPOINT OR EVEN FROM A PROGRAMMING STANDPOINT WOULD BE, I JUST, I DON'T KNOW THAT WE CAN, UH, IN MY OPINION, GO ANY OF THE, ANY OTHER WAY, UM, CHANGE WHAT WE'RE ALREADY DOING.
WELL, WE'LL MAKE THIS, UH, WE'LL, WE'LL PUT THIS DOCUMENT AVAILABLE ONLINE WITH THE, UH, DAY ONE AND DAY TWO PRESENTATIONS AS WELL.
SO, MAYOR, UM, JUST A LITTLE BIT OF A ROADMAP FOR THE SECOND, UH, DAY HERE.
OBVIOUSLY, UH, AS WE MENTIONED YESTERDAY, WE'LL BE TALKING ABOUT THE WATER AND THE SEWER FUND, THE SOLID WASTE FUND, THE, UH, GOLF FUND, HOTEL MOTEL, TAX FUND.
I'M GONNA PROVIDE JUST A LITTLE BIT OF HIGHLIGHTS AND DRAW SOME, UM, IMPORTANT POINTS OUT FROM, UH, EACH OF THESE FUNDS.
AND THEN, UH, BOB IS GOING TO, UH, TAKE OVER AND DO A, UH, OVERVIEW OF THE OPERATING, UH, FUNDS, UH, EACH OF THESE BUDGETS AS HE DID YESTERDAY.
HE'S GONNA RECAP THE FEE, UH, RECOMMENDATIONS.
AND THEN I'D LIKE TO TALK ABOUT SOME TAX RATE CONSIDERATIONS, UM, PARTICULARLY COMING OUT OF, UH, SOME OF THE CONVERSATION WE HAD YESTERDAY ABOUT POTENTIALLY BEING ABLE TO, UH, STRENGTHEN SOME OF OUR, UM, INITIATIVES ON THE, UM, RECRUITMENT AND RETENTION SIDE.
SO, UH, WE'VE HAD THIS BRIEFING, UH, YOU RECALL, JENNA COVINGTON AND HER TEAM WERE HERE IN EARLY JUNE TO SHARE WITH YOU.
UM, AS YOU CAN SEE HERE, ALMOST 65% NOW OF THE WATER SEWER FUND IS, UH, COSTS THAT, UH, EXPENSES THAT GO DIRECTLY TO THE WHOLESALE WATER OR THE, UH, REGIONAL, UH, SYSTEMS THAT WE TAKE PART IN.
UM, WITH NORTH TEXAS HERE, YOU'LL SEE, UH, ON THE WATER, UH, NO SURPRISE HERE, 11.21% INCREASE, UH, YEAR TO YEAR, UH, BUT ALSO OVER AN 11, UH, SIX, 11.67% INCREASE, AND A 15.43% INCREASE RESPECTFULLY ON THE, UH, WASTEWATER SIDE.
THOSE AREN'T THE ONLY DRIVERS, UH, AS YOU CAN SEE HERE, UM, PIPE IN, IN HERE, IN, IN, UH, GIVING YOU THE LINEAR, UH, FOOT, UH, PRICE, UH, UP 30%, UM, PARTICULARLY THE P V C PRI, UH, PIPE.
UH, BUT ALL OF THE DIFFERENT, UM, UH, VALVES, UH, MAINS, UM, UM, UM, CLAMPS, ALL THE KINDS OF DIFFERENT, UH, INFRASTRUCTURE THAT MAKE UP THE WATER DISTRIBUTION SYSTEM, REALLY SEEING, UH, COST PRESSURES.
AND I KNOW I'VE TALKED TO THOSE OF YOU ON THE COUNCIL THAT, UH, HAVE EXPERIENCE WITH THESE KINDS OF PROJECTS BOTH ON THE, THE CONSTRUCTION SIDE AND EVEN THE DESIGN AND ENGINEERING SIDE.
AND I THINK THAT THESE PRICES ARE INDICATIVE OF WHAT OTHER CITIES AND COMMUNITIES ARE EXPERIENCING AS WELL.
UM, I AM PLEASED TO SAY, THOUGH, CONSIDERING THE SUBSTANTIAL INCREASES ON THE WHOLESALE WATER SIDE, THE WASTEWATER SIDE, AND, UM, THE COST ESCALATION THAT WE'RE SEEING ON ALL OF THE KEY EQUIPMENT, UH, WE HAVE WORKED VERY HARD TO JUST, UH, TO HAVE A RECOMMENDATION, UH, FOR YOU TO JUST RAISE THE RETAIL RATE BY 3% RECALL.
WE HAVE A COMBINED RATE, UH, SO BOTH, UH, THE, THE, UH, WATER AND WASTEWATER SIDE, JUST A, A COMBINED, UH, COMBINED 3%, AGAIN, THE FIRST TWO BULLETS THERE.
UH, BUT IMPORTANTLY, UM, THIS YEAR, 19, UH, $0.7 MILLION IN CAPITAL PROJECTS, UH, UH, MOST OF THAT THROUGH DEBT, BUT SOME PAYCO FUNDING AS WELL.
BOTH, UM, KIND OF RIPPLE UP TO THE NEED FOR THE 3%.
UM, I, I WILL TELL YOU, WE ARE UNDERTAKING A WATER MASTER PLAN AND, UM, UH, COUNCILMAN BARRIOS, UH, COUNCILMAN CORCORAN, I THINK BOTH OF YOU, AS HAVE ASKED PREVIOUSLY AS IT RELATES TO DEVELOPMENT.
UM, YOU KNOW, HOW ARE WE BEING HOLISTIC IN THE WAY THAT, UM, WE'RE APPROACHING, UH, UNDERSTANDING DO WE HAVE THE CAPACITY, UH, TO DELIVER WATER IN THE FUTURE, UH, AS WE REDEVELOP AND AS WE BEGIN TO IMPLEMENT SOME OF THESE, UH, VISIONS AND PLANS.
AND SO THIS PLAN, UH, WILL DO EXACTLY THAT FOR US.
UM, YOU TAKE THIS INTO CONSIDERATION WITH WHAT YOU SAW, UH, ON THE, UH, THE, UM, WASTEWATER BASINS, THE DRAINAGE BASINS.
AND WE REALLY ARE STARTING TO BETTER APPRECIATE AND UNDERSTAND, UM, THIS, THESE PLANS AND THE, THE DATA THAT COMES OUT OF THESE PLANS WILL HELP US BE MUCH MORE ARTICULATE, UM, IN THE FUTURE WHEN WE ARE CONSIDERING DEVELOPMENT AND WE ARE CONSIDERING, UH, UM, EVEN, UH, ENTITLING, UH, AREAS FOR DEVELOPMENT.
UH, AND SO VERY IMPORTANT, UH, UH, PLANNING WORK THAT WE'RE DOING.
UH, MY ES I I ESTIMATE THAT THIS WILL PROBABLY BE TWO YEARS OR SO BEFORE, UH, WE CAN WRAP THIS, UH, THIS PLAN UP WITH THE ENGINEERING, UH, PARTNERS THAT WE BRING ON AS CONSULTANTS.
I MENTIONED THE ENVIRONMENTAL OUTREACH POSITION, AGAIN, A REALLY IMPORTANT POSITION FOR US.
AND THEN, UH, UH, MAINTENANCE HELPER, UH, POSITION, UH, THOSE BOTH AUTHORIZED PREVIOUSLY JUST, UH, HELD OVER, UH, FREEZES FROM THE COVID EXPERIENCE, UH, AND THEN BRINGING ON THE FACILITY SPECIALIST, UH, THAT'S INCLUDED IN HERE.
THIS IS, AGAIN, A PERSON THAT WILL BE, THAT WILL SPECIALIZE, UM, IN OUR PUMP HOUSES AND OUR OTHER, UM, LARGE WATER, INFRA WATER AND WASTEWATER INFRASTRUCTURE, OUR LIFT STATIONS, THINGS OF THAT NATURE.
UM, VERY DIFFERENT THAN IMAGINE THAN YOU CAN IMAGINE FROM, YOU KNOW, UM, MAINTAINING AND, AND WORKING IN A BUILDING LIKE THIS.
SO SOMEBODY THAT CAN REALLY BE A SPECIALIST IN THAT WAY.
AND THEN, UH, VERY, UH, PROUD BEGAN TO BE MAINTAINING THE 90 DAY FUND BALANCE BEFORE
[00:10:01]
WE MOVE ON.WHAT IS THIS IN THE DOLLARS AND CENTS TO THE END CONSUMER, THIS PROPOSED RATE INCREASE? WE DO, WE HAVE A SLIDE AT THE VERY END THAT'LL KIND OF LOOK AT EACH OF THESE DIFFERENT AREAS, IF THAT'S OKAY? YEP.
BOB COULD PROBABLY TAKE, CALL IT OFF THE TOP OF HIS HEAD, BUT YEAH.
WHAT'S THE AVERAGE CONSUMER GOING TO, TO SEE? BUT WE, WE CAN WAIT UNTIL WE GET THERE.
WE'LL, WE'LL, NO, THAT'S OKAY.
I KNOW, I KNOW WATER, WE'RE PRETTY MUCH LOCKED IN BECAUSE OF THE CONTRACT THAT WE HAVE, BUT THIS JUST CONTINUES TO BOTHER ME THAT, YOU KNOW, SEWER SER SERVICES 11.67%, THE 15.3 POINT 15.43%.
WHAT I MEAN, AND AGAIN, I'M GLAD THIS IS MY FIFTH YEAR, AND I JUST, ALL I KEEP SEEING IS THESE DOUBLE DIGIT YES, SIR.
EXPENSES COMING FROM DOWN FROM NORTH TEXAS, AND I JUST, IT, I, I REALLY, REALLY, REALLY STRUGGLE WITH THIS.
I MEAN, I KNOW WE'RE LOCKED INTO THE WATER, SO I'LL LEAVE THAT ON THE SIDE FOR A MOMENT.
BUT HOW, HOW ARE WE ON THE, THE SEWER SIDE? IS THERE, IS THAT A, IS THAT A CONTRACT OR HOW, HOW DOES THAT EXACTLY, YES, SIR.
IT'S, UH, SO YOU SEE THE TWO, THE TWO DIFFERENT, UM, UM, UH, THE TWO DIFFERENT SYSTEMS THERE.
WE, WE HAVE A CONTRACT, UM, AND, AND MEMBERS, BOTH THE, UH, MEMBERS OF EACH OF THESE, UH, SYSTEMS ARE, ARE DIFFERENT.
UM, UH, WASTE WATER'S A LITTLE MORE TRICKY, UM, IN A SENSE THAT, YOU KNOW, WE NEED GRAVITY TO WORK ON OUR SIDE FOR A LOT OF IT.
AND SO WHERE WE CAN KIND OF REROUTE THAT, UM, AND, UM, FOR INSTANCE, TRY TO BRING MORE TO DALLAS TO GARLAND, FOR INSTANCE.
IT'S VERY, UM, IT'S VERY COSTLY TO PUT THAT NEW INFRASTRUCTURE IN THE GROUND AND TO, TO TRY TO, UM, CHANGE LIKE THAT.
WE ARE CONTRACTUALLY OBLIGATED, UH, LIKE WE ARE UNDERWATER FOR THE WASTEWATER, UM, UM, AS WELL WITH THE DISTRICT.
UM, I WOULD, I, I WILL, YOU KNOW, AND, AND, UH, ALL, ALL OF US HAVE TO, TO REINVEST IN OUR INFRASTRUCTURE.
WE HAVE TO PUT IN NEW INFRASTRUCTURE.
YOU KNOW, WE'VE BEEN THE BENEFACTOR OF SOME ECONOMIC DEVELOPMENT HERE.
UM, A LOT OF, UH, THE INDUSTRIAL, UM, UM, ENTERPRISE THAT'S OPEN SOME OF THE MANUFACTURING AND SOME OF, SOME OF WHAT WE'RE SEEING, UM, IS, UH, A MORE OF A, UM, STRAIN ON THE WASTEWATER SIDE THAN ON THE WATER SIDE.
AND SO I KNOW WE'RE PARTNERING WITH THE DISTRICT RIGHT NOW, FOR INSTANCE, TO, UH, TRY TO FACILITATE ADDITIONAL CAPITAL ON THE WASTEWATER SIDE IN, WITHIN OUR CITY LIMITS.
UM, STILL WORKING THROUGH THE EXACT DETAILS OF THAT, BUT I, I, I DO THINK AS WE BECOME DENSER, UM, THAT'S THE, YOU KNOW, THAT'S THE OTHER SIDE OF THE COIN FROM THE WATER SIDE.
YOU KNOW, WE, WE, WE NEED THE WATER AND THEN WE HAVE TO DO SOMETHING WITH THE WATER.
AND I THINK THAT'S WHAT THE DISTRICT IS DOING RIGHT NOW, IS JUST TRYING TO KEEP UP, AGAIN, NOT, NOT, UH, YOU KNOW, DEFENDING THEIR POSITION, BUT I DO BELIEVE SOME OF THE WASTEWATER INFRASTRUCTURE THAT IS IN THEIR CAPITAL PLAN THAT'S DRIVING THESE NUMBERS IN THESE SYSTEMS, UM, UH, WILL, WILL DEFINITELY DIRECTLY BENEFIT, UM, THE CITY OF RICHARDSON.
I, I'M REMEMBERING, I THINK THERE'S, THERE'S OVER A DOZEN DIFFERENT SYSTEMS, AND IT'S LARGELY DRIVEN BY THE, UH, THE WAY THAT THE WASTEWATER MOVES NATURALLY.
YOU KNOW, WE'RE TRY, WE TRY TO MOVE IT AS EFFICIENTLY AS YOU CAN WITHOUT A LOT OF LIFT STATIONS AND A LOT OF PUMPING.
AND SO WE ARE SOMEWHAT LIMITED IN, IN HOW WE COULD POTENTIALLY ALTER OUR PARTICIPATION IN, IN NORTH TEXAS VERSUS OTHERS.
I JUST THINK AS TIME GOES ON, WE'VE GOTTA CONTINUE TO PUSH ON THEM TO, BECAUSE I JUST REMEMBER EVERY YEAR IT'S JUST LIKE, YOU KNOW, THEY'VE GOTTA BE ON THE FIVE YEARS I'VE SET ON COUNCIL, IT'S GOTTA BE OVER A HUNDRED PERCENT THAT WE'VE SEEN IN EACH AND EVERY ONE OF THESE BUCKETS AND WATER.
I KNOW WE'RE BRINGING IT DOWN AND I, I, YOU KNOW, APPLAUD.
UM, BUT ONE OTHER THING I'LL MENTIONED JUST, JUST TO, I, I JUST THINK IT'S, I JUST DON'T, I, I, I DON'T KNOW.
I JUST THINK THERE'S, THERE'S GOT TO BE A DIFFERENT WAY TO, TO, TO DO THIS FROM THEIR PERSPECTIVE.
I'M NOT THIS, I'M JUST, YOU KNOW, GENERALLY TALKING WITH YOU.
I DON'T EXPECT YOU TO, TO SOLVE THIS 'CAUSE YOU DON'T RUN NORTH TEXAS, BUT IT'S JUST, IT JUST SEEMS UNCONSCIONABLE AT THIS POINT IN TIME THAT IT'S, IT'S DOUBLE DIGITS EVERY YEAR FOR THE LAST FIVE YEARS THAT I'VE BEEN ON THIS COUNCIL.
AND I JUST, IT GETS OLD AFTER A WHILE.
SO, AND THAT'S NOT PLEASE NOTE, THAT'S SURE.
THAT'S DIRECTED AT THEM, NOT AT YOU.
UM, I, I WILL MENTION JUST AGAIN, UM, YOU KNOW, THEY, UM, THEY HA WERE UNDER A A C M O M, UH, AGREEMENT FROM THE FEDERAL GOVERNMENT, THE E P A, LIKE WE WERE.
UM, AND, AND THAT, AGAIN, THAT IS UNIQUE AND SPECIFIC TO THE WASTEWATER SIDE, AND I THINK THAT'S DRIVING A LOT OF THEIR, UH, THE, THE MANDATED, UM, UM, THE CONSENT AGREEMENT THAT, THAT THEY ENTERED INTO HAD, LIKE OURS HAS MANDATORY, UH, INVESTMENT, UM, THAT MUST TAKE PLACE ON A SCHEDULE.
AND I THINK THAT'S DRIVING A LOT OF THEIR, UM, BUT IT'S POINT WELL TAKEN ON BOTH OF THESE.
I THINK THE MORE THAT WE CAN PARTNER WITH THE DISTRICT, THE BETTER THAT WE CAN UNDERSTAND WHAT THEY'RE WORKING ON.
UM, YOU KNOW, I THINK THAT OUR ROLE WITH THE DISTRICT ON WATER AND WASTEWATER SIDE, LIKE EVERY MEMBER CITY SHOULD BE, EVERY CUSTOMER, SHOULD CUSTOMER, UH, CITY SHOULD BE, IS TO MAKE SURE THAT WE'RE NOT DOING WORK, UM, UNNECESSARILY.
SO WE NEED TO PLAN FOR IT AND TIME IT, BECAUSE THE CAPITAL IS DRIVING SO MUCH OF THIS.
[00:15:01]
YEAH, NO, I UNDERSTAND.BUT I DO VERY MUCH APPRECIATE THE FACT, CAN I, THAT YOU HAVE A QUESTION, BROUGHT THAT DOWN TO THE 3%, SO YES, SIR.
THANK YOU, MR. MAYOR, QUICK QUESTION, JUST FOLLOW UP.
WHAT, UH, COUNCILMAN, UH, KEN HUTCHEN ASK, UH, LAST YEAR? DO YOU RECALL? YOU DON'T HAVE TO ANSWER TODAY.
I MEAN, IF YOU DON'T HAVE IT, I DON'T REMEMBER LAST YEAR.
WHAT WAS THE INCREASE? AND, UM, PERCENTAGE WISE, IT IS STILL DOUBLE DIGIT.
I DON'T REMEMBER OFF THE HEAD'S HEAD.
THAT'S, THAT'S WHAT JUST NEED TO KNOW.
AND HOW DOES THIS COMPARE WITH OTHERS? UH, YOU KNOW, DISTRICTS? UH, UM, WE, WE CAN DEFINITELY GET THAT.
WE, UM, WE, WE LOOK AT BOTH THE, THE WHOLESALE WATER AND THE, AND THE WASTEWATER TREATMENT.
UM, I, I'LL NEED TO FOLLOW UP ON, YEAH, I'M SURE THIS IS PROBABLY COMPAR COMPARABLE, OTHERWISE, OTHER CITIES, THEY'RE NOT GONNA BE AGREEING WITH THIS.
UM, BECAUSE I KNOW THERE'S DOUBLE DIGIT INCREASE EVERY YEAR.
HERE'S, UH, YOU KNOW, PEOPLE ARE WATCHING.
DAWN, I, I DO HAVE A FOLLOW UP WITH WHAT COUNCILMAN HUTCHIN RIDER WAS ASKING.
'CAUSE WHILE I'M, I'M ONE OF THE NEWER ONES OF THE COUNCIL, UM, I KNOW WE'VE SHARED SOME SIMILAR CONCERNS, UH, WITH DART OH, A BIT AGO.
I KNOW WHEN THEY SPOKE TO US ABOUT, UM, THE WATER A FEW WEEKS AGO AS WELL.
UM, WHAT ARE OUR OPTIONS? I MEAN, OBVIOUSLY WE NEED, WE NEED THE RELATIONSHIP.
IT'S A LONG-TERM RELATIONSHIP.
THIS ISN'T A CONTRACTOR WHERE WE COULD JUST SWITCH IN TWO YEARS.
I MEAN, THIS IS A LONG-TERM RELATIONSHIP.
WHAT ARE OUR OPTIONS AS A CITY, UM, TO FIGHT ON BEHALF OF OUR RESIDENTS FOR THOSE RECORDS? BECAUSE THAT IS HIGH.
I KNOW RAISING FLAGS, AND AS HE SAID, HE'S, HE'S BEEN ON HERE A LOT LONGER THAN I HAVE, AND HE'S SEEN THIS.
AND THEN KNOWING WHAT WE WERE LOOKING AT DART, UM, A FEW WEEKS AGO, AND I REMEMBER THAT WAS ONE OF MY CONCERNS IS A HUNDRED PERCENT INCREASE OVER THE NEXT 10 YEARS.
UM, WHAT, UH, WHAT ARE OUR OPTIONS? I MEAN MM-HMM.
SO ALL OF THE, BOTH THE WATER SYSTEM AND THE, THE WASTEWATER SYSTEMS, THERE ARE REQUIRED REVENUE MODELS.
SO THEY ESTIMATE HOW MUCH MONEY THEY'LL NEED FOR OPERATIONS.
THEY ESTIMATE HOW MUCH MONEY THEY'LL NEED FOR CAPITAL INVESTMENT AND DEBT SERVICE.
UM, THEY HAVE THEIR RESERVES AND THEY COME UP WITH A DOLLAR AMOUNT THAT THEY NEED.
AND IT'S REALLY PRETTY SIMPLE THE WAY THEY GO ABOUT IT.
THEY, THEY ESTIMATE SYSTEM-WIDE HOW MANY GALLONS OF WASTEWATER THEY'RE GONNA TREAT, AND THEY DIVIDE THAT BY THE REVENUE THEY NEED.
AND THAT'S THE, THAT'S THE FEE THAT THEY HAVE.
THAT'S THE RATE THEY HAVE TO SHAKE.
YOU KNOW, THERE'S NOTHING, THERE'S NOTHING, UM, NOTHING LIKE THAT, LIKE A TAKE A PAY KIND OF SYSTEM.
AND SO, UH, THE MOST EFFECTIVE WAY THEN, AND, AND, AND HONESTLY, I MEAN, YOU KNOW, TO TRY TO, TO TRY TO LEAVE EITHER ONE OF THESE SYSTEMS, THE WATER OR THE WASTEWATER SYSTEMS, THE TWO WASTEWATER SYSTEMS WOULD BE, UM, SO COST PROHIBITIVE.
SO TO ANSWER YOUR QUESTION, THE OPTION I, I THINK THE BEST WAY IS, IS WHAT I'D MENTIONED TO COUNCILMAN HUT RIDER, IS WORKING WITH THE DISTRICT TO HELP THEM BE AS EFFICIENT AS THEY CAN IN THEIR PLANNING, UM, TO SUPPORT THEM SO THAT THEY CAN GET THE, THEY CAN HAVE THE, YOU KNOW, THE LOWEST INTEREST RATES WHEN THEY'RE BORROWING MONEY TO, UM, BUILD THE INFRAS, YOU KNOW, BUILD NEW INFRASTRUCTURE OR LIKE, IN OUR CASE, ENHANCE AND UPGRADE OUR INFRASTRUCTURE.
UM, AND PARTICULARLY IN THE WASTEWATER SIDE.
I MEAN, THE DISTRICT LIKE, LIKE THE CITY, I MEAN, WE, WE, WE HAVE MANY, MANY, UH, PIPES THAT ARE UNDERSIZED.
AND THE, AND THE E P A CAME IN BECAUSE OF ALL THE, UM, ALL OF THE, UM, UM, BACKUPS WE WERE HAVING, THERE'S A BETTER WORD FOR THAT, I'M SORRY.
UM, ALL OF THE, UM, ISSUES WE WERE HAVING WITH THE WASTEWATER BACKING UP AND MANDATED, WE, THEY, I MEAN, WE WENT, THE CITY OF RICHARDSON WENT FROM A FEW HUNDRED THOUSAND DOLLARS A YEAR IN ONE YEAR TO $4 MILLION A YEAR, BECAUSE WE WERE UNDER DIRECT ORDER FROM THE E P A TO DO THAT, SAY, MULTIPLY THAT ON THE DISTRICT'S, YOU KNOW, MAGNITUDE.
AND SO, UM, I THINK, I THINK WE HAVE TO CONTINUE TO WORK WITH THE DISTRICT TO MAKE SURE THAT THEY'RE NOT OVERBUILDING, THEY'RE NOT BUILDING SOONER THAN THEY ABSOLUTELY HAVE TO, BECAUSE REALLY THE CAPITAL AND, UM, THE CAPITAL AND THE DEBT SERVICES IS WHAT'S DRIVING A LOT OF THIS.
BUT, YOU KNOW, THE REASON I ASKED JENNA TO COME EACH OF THE TWO YEARS IS EVERY ONE OF THE CHARTS THAT WE PUT UP THERE WITH A PICTURE AND A NUMBER ON EACH SIDE, THEY'RE HAVING THE SAME KIND OF PRESSURES.
AND SO IT'S NOT, IT'S NOT JUST THAT, I MEAN, IT'S ALSO THE OPERATIONS SIDE, BUT, UM, YOU KNOW, UH, I THINK, I THINK WE HAVE TO CONTINUE TO WORK WITH THEM TO TRY TO MAKE SURE THAT THEY'RE, UM, LAUNCHING ON PROJECTS IN THE MOST EFFECTIVE WAY.
AND THAT, THAT, YOU KNOW, AS A SYSTEM-WIDE, WE'RE DOING EVERYTHING WE CAN TO BE EFFICIENT
[00:20:01]
ON THE OPERATION SIDE, JUST LIKE, JUST LIKE WE DO LOCALLY.BUT, BUT THE, THE REALITY IS, IS THE REVENUE THAT'S REQUIRED THAT YEAR TO OPERATE THE, THE WASTEWATER SYSTEM, THEY HAVE TO RAISE THAT REVENUE EACH YEAR JUST, AND, YOU KNOW, AND THE ONLY WAY THEY RAISE IT IS THROUGH THE, THE COST OF THE, THE WHOLESALE TREATMENT OR THE WHOLESALE WATER.
AND I DON'T THINK WE SEE THE FULL BENEFIT OF OUR RATE RENEGOTIATION EITHER.
UM, I MEAN, THAT'S STILL SEVERAL YEARS IN THE MAKING AS FAR AS WHAT OUR, OUR WATER RATE'S GONNA BE.
AND SO IT REQUIRES PATIENCE, BUT IT'S POSSIBLE THAT OUR RATES WILL CONTINUE TO GO DOWN BASED ON THE WAY THAT THE SCHEDULE WORKS.
SO THAT'S SOMETHING TO KEEP IN THE BACK OF YOUR MIND AS WELL, MR. CORCORAN.
YEAH, IT'S, I MEAN, AND IT'S, YOU KNOW, I THINK IT'S, IT'S GONNA BE NOT JUST SEVERAL YEARS, BUT IT'S, YOU KNOW, FIVE, I MEAN, FIVE, 10 YEARS BEFORE THE FULL SORT OF SNOWBALL EFFECT TAKES A PLACE, RIGHT? SO, UM, SOMETHING I'M EXCITED ABOUT IS THAT ENVIRONMENTAL, UH, WE HAVE IT UP THERE, THE ENVIRONMENTAL OUTREACH MANAGER.
'CAUSE I THINK HAVING SOMEONE FULL-TIME, GETTING PEOPLE TO NOT USE THEIR WATER IS GOING TO HELP LONG TERM WITH THAT.
BUT I WAS GONNA SAY, YOU KNOW, 3%, ALL THAT SAID, I MEAN, 3%, UM, INCREASE GIVEN EVERYTHING THAT WE HEARD FROM JENNA REALLY ISN'T, ISN'T TOO NOTICEABLE TO ME AS FAR AS IT'S NOT, IT'S NOT TOO EGREGIOUS THERE.
BUT WHAT I WOULD SAY, YOU KNOW, KIND OF WHAT OUR, UM, COUNCILMAN SHAEL SAID, RIGHT? IF IT'S, IF IT'S NOT IN THIS BUDGET PRESENTATION, I DO WANT TO SEE SOME SORT OF COMPARISON ON RATE INCREASES PRESENTED AT SOME POINT.
JUST 'CAUSE I REMEMBER HEARING ALAN BOAST, OR SOMEONE, YOU KNOW, SOMEONE FROM ALAN BOAST SAID, HEY, WE HAVE THE LOWEST WATER RATES AND THE WHOLE REGION.
AND THAT KIND OF MADE ME CURIOUS, WELL, HOW DID THEY GET, YOU KNOW, HOW DO OTHER CITIES GET TO ADVERTISE THAT THEY HAVE THE LOWEST RATES? RIGHT? RIGHT.
UM, WHAT ARE THEY DOING DIFFERENTLY OR WHAT ARE THEY NOT DOING RIGHT? WHAT INFRASTRUCTURE ARE THEY MAYBE NOT IMPROVING? RIGHT.
THAT WE ARE, IT'S A GREAT QUESTION.
AND, AND SO MUCH OF IT HAS TO DO WITH HOW OLD A CITY IS.
UM, YOU KNOW, THE ALLENS AND THE FRISCO'S, THEIR DAY ARE RECKONING IS COMING BECAUSE ALL PIPE HAS A USEFUL LIFE, JUST LIKE OUR PIPE DOES.
AND, UM, YOU KNOW, WE, WE, WE, WE ARE AS, AS YOU'VE SEEN MANY TIMES IN THE, IN THE PRESENTATIONS, YOU KNOW, 80% OF OUR STREETS ARE OLDER THAN 25 YEARS OLD.
THAT'S ESSENTIALLY THE USEFUL LIFE OF A STREET NORMALLY.
WELL, THE PIPE BELOW 80% OF THE PIPE BELOW IS ALSO, UM, 25 YEARS AND, AND OLDER.
UM, THE OTHER THING I WOULD SAY, COUNCILMAN, IS, UM, WHEN OUR CITY DEVELOPED THE, WE DIDN'T DEVELOP WITH A LOT OF P V C, UM, RIGHT? I MEAN, IT WAS EXACTLY, EXACTLY.
AND SO NOW THESE NEW, THE NEWER CITIES ARE BENEFITING FROM A MUCH MORE DURABLE, LONGER LASTING PIPE MATERIAL.
UM, WE, I CAN'T REMEMBER THE EXACT NUMBER, BUT A SIGNIFICANT, IT'S ABOUT 60% OF OUR CIS OF OUR, UH, UH, CITY IS CLAY PIPE THAT'S STARTING TO, TO DETERIORATE AND DISINTEGRATE.
SO THERE'S A WHOLE LOT OF FACTORS, THE AGE, THE MATERIAL, UM, UM, ALL OF THAT IS REALLY IMPACTFUL IN TERMS OF, UM, BUT, BUT EVEN THE, THE, THE CITIES TO, YOU KNOW, THAT, THAT ARE, THAT ARE YOUNGER AND OVERALL AGE, EVENTUALLY THEY WILL HAVE TO, THEY WILL HAVE TO START MAKING THE KIND OF, UM, IN REINVESTMENT IN THEIR INFRASTRUCTURE THAT WE ARE AT THE MAGNITUDE.
AND THEN THEY WILL HAVE A MUCH MORE DIFFICULT TIME, YOU KNOW, HOLD HOLDING, YOU KNOW, TO 0% OR, YOU KNOW, YOU KNOW, 1% OR, UM, INCREASES.
THE ONLY OTHER THING I WAS SAYING ON THIS TOPIC IS, UM, UH, YOU KNOW, THE OTHER THING THAT I THINK, AND, AND, AND, UH, COUNCILWOMAN, UH, JUSTICE IS RIGHT, THE, THE, THE METHODOLOGY WHEN IT'S FULLY REALIZED WILL BE VERY IMPACTFUL.
UM, YOU KNOW, I THINK I'VE MENTIONED PREVIOUSLY, I'M WORKING ON A COMMITTEE RIGHT NOW, UM, TO DEAL WITH THE CUSTOMER CITY PREMIUM.
AND SO, YOU KNOW, THE CUSTOMER CITIES, AS THEY BEGIN TO TAKE ON A, WHAT I WOULD SAY A MORE, UH, CONTEMPORARY AND APPROPRIATE PREMIUM, UM, FOR, UM, THEIR WATER COST, THAT WILL BE ADDITIONAL REVENUE THAT WILL BE BROUGHT INTO THE WATER SYSTEM, THAT WILL OFFSET SOME OF THE INCREASES THAT, THAT WE'RE, UH, YOU KNOW, TAKING ON RIGHT NOW AS, AND, AND THE OTHER, THE OTHER MEMBER CITIES ARE.
AND SO THAT'S A REALLY, TO ME, THAT'S, THAT'S A REALLY IMPORTANT INITIATIVE.
IT WON'T, IT, IT WON'T BE OF THE MAGNITUDE.
THE IMPACT WON'T BE OF THE MAGNITUDE THAT THE NEW METHODOLOGY HAD THROUGH OUR P U C CASE, BUT IT'S, IT'S STILL A NOTEWORTHY AMOUNT OF ADDITIONAL REVENUE TO THE WATER SYSTEM THAT CAN HELP MITIGATE SOME OF THE IMPACTS THAT WE'RE SEEING.
ONE THING I WOULD ADD, I THINK IT'S REALLY IMPORTANT THAT WE STOP AND THINK ABOUT, OR CITIZENS THINK ABOUT, WE HAVE GREAT REPRESENTATION IN THE FACT THAT WE HAVE JOHN SWEETEN AND WE HAVE RANDY ROLAND ON THE BOARD, AND THEIR JOB IS TO DO THE WORK OF THE WATER PEOPLE, BUT WE STILL HAVE A VOICE AND WE'RE STILL BEING REPRESENTED.
AND THEY DO A GREAT JOB, A GREAT JOB WITH THAT, AND WITH DON BEING ADDED TO THIS COMMISSIONER, THIS LITTLE BOARD TO TRY TO LOOK AT THE FINANCING AND THE BILLING AND ALL THE THINGS, THE COST DOWN THE ROAD.
I KNOW THAT OUR BEST INTEREST IS BEING LOOKED AT.
[00:25:01]
AT THAT.NONE OF THIS IS FUN, BUT I THINK DON AND THE TEAM HAS WORKED VERY, VERY HARD TO MITIGATE THAT COST.
3% IS A PRETTY MILD COST WHEN YOU THINK ABOUT WHERE IT COULD BE.
SO I, I JUST WANT TO COMMEND THE TEAM FOR LOOKING AT THE NUMBERS AND TRYING TO FIND A WAY TO EASE US INTO IT.
'CAUSE IT'S NOT GONNA GET MUCH EASIER.
AND THEN I THINK THE CONTRACT WE HAVE AS FAR AS, UH, THE CHARGES, IS IT EIGHT YEARS OR 10 YEARS OVER THE GREAT.
UH, IT'S AN EIGHT YEAR TRANSITION PERIOD.
AND THEN, UH, YEAR, UH, NINE IS THE FIRST YEAR OF A FIVE YEAR ROLLING AVERAGE.
SO ONCE WE GET TO YEAR 13, UH, WE WILL ONLY HAVE TO TAKE THE NUMBER OF GALLONS THAT WE HAVE AVERAGED OVER THE PAST FIVE YEARS.
UM, YOU KNOW, THAT THAT'LL LIKELY, UM, I, I, I BELIEVE THAT'LL LIKELY REDUCE OUR TAKE BY ANYWHERE FROM ONE AND A HALF TO 2 BILLION GALLONS A YEAR.
AND GOING BACK TO JOE, WHAT YOU WERE TALKING ABOUT THE EDUCATION PIECE, AND US HAVING SOMEONE ON STAFF TO HELP EDUCATE THE, UH, CITIZENS, I THINK IS GONNA BE BIG FOR US BASED ON THAT RIGHT THERE.
SO JUST THOUGHT I'D THROW THAT OUT.
SO, UH, LET'S NEXT, UH, TURN OUR ATTENTION TO THE SOLID WASTE.
UM, YOU, YOU SEE THESE, THIS IS OUR SOLID WASTE FLEET FOR THE MOST PART HERE ON THE, THE NEW ROLL OFF MODEL THAT WE BROUGHT.
WE ACTUALLY HAD OUT FRONT HERE A COUPLE OF MONTHS AGO, JUST TO KIND OF HELP YOU BETTER APPRECIATE, UH, YOU SEE THE, THE COST, UH, INCREASED OVER THE, THE LAST COUPLE OF YEARS, UH, I'M SORRY, THIS YEAR, UH, UH, COMPARED TO LAST YEAR, ALL DOUBLE DIGITS EXCEPT THE ROLL OFF THERE.
UH, THE OTHER THING I WOULD DRAW YOUR ATTENTION TO IS A 17% INCREASE, UH, $3 60 CENTS, UH, AN HOUR, 66 CENTS AN HOUR IN OUR DAY LABORING AGAIN, EVERY SINGLE DAY.
UM, WE'RE USING, UH, DAY LABOR AS PART OF OUR SOLUTION TO SOLID WASTE SERVICES.
UM, UM, HERE I AM, AM, UH, PROPOSING A $1 PER MONTH OR A TOTAL OF $12, INCLUDING TAX, $12 A YEAR RATE CHANGE FOR RESIDENTIAL CUSTOMERS, AND A 3% ACROSS THE BOARD COMMERCIAL SOLID WA UH, SOLID WASTE RATE INCREASE.
NOW, RECALL, LAST YEAR WE DID NOT HAVE A, A COMMERCIAL.
WE DID HAVE A, A RESIDENTIAL, BUT WE DID NOT HAVE A COMMERCIAL.
SO THE 3%, UH, YOU LOOK AT THAT OVER TWO YEARS, UH, YOU KNOW, THE BIGGEST DRIVER BY FAR IN SOLID WASTE ARE THE, IS THE EQUIPMENT, IT'S THE, THE WHAT WE NEED TO, TO COLLECT.
UM, AND YOU SEE THE INCREASES THERE.
UM, THERE ARE THE, UH, MARKET BASED INCREASES, UH, HERE, UM, UM, FOR THE SOLID WASTE STAFF AS WELL AS THE TEMPORARY WORKERS.
UM, WE HAVE A, A REALLY SUCCESSFUL COMPOSTING PROGRAM.
SO, JUST A, JUST AS, JUST AS A REMINDER, WE ARE ONLY ONE OF FIVE CITIES, UH, MEMBER CITIES, UM, FOR THE, UH, SOLID WASTE SERVICES THAT, UH, THE DISTRICT, UH, PROVIDES WATER.
WE'VE 13, AND THEN, AS I MENTIONED, THERE'S A DOZEN, UH, IN EACH OF THE, THE WASTEWATER SYSTEMS, ONE OF ONLY FIVE HERE.
SO, UH, THE CITY OF PLANO FOR MANY YEARS HAS HOSTED AND OPERATED OUR COMPOSTING PROGRAM, OUR TEXAS PURE, THAT WE GIVE AWAY MULCH AND THINGS LIKE THAT, USING IT IN OUR PARKS, UH, AT, AT NO COST.
UH, THAT PROGRAM IS, IS BEING RETOOLED A LITTLE BIT, AND WE ANTICIPATE SOME ADDITIONAL COSTS TO CONTINUE TO PARTICIPATE IN THAT, BUT IT'S A VERY EFFECTIVE WAY TO, TO, UH, TAKE OUR BADBAD MATERIALS, OUR COMPO, COMPOSTABLE BABA MATERIALS, AND REALLY REUSE THEM AND PUT 'EM TO A BETTER USE THAN JUST FILLING THEM.
IF YOU'VE, IF YOU LOOK AT IT THAT WAY, IT'S MUCH CHEAPER EVEN WITH THE INCREASE IN THE, THE COST OF THE PROGRAM TO DO, TO, TO MANAGE IT THAT WAY.
AND THEN WE ARE SEEING REDUCED REVENUE FROM THE RECYCLING PROGRAM, SOME OF THE COMMODITIES, AGAIN, UM, NOT PERFORMING LIKE THEY DID EVEN A FEW YEARS AGO.
UM, BUT THIS IS A VERY UP AND DOWN KIND OF A, OF A, UM, OF AN AREA OF COMMODITIES.
AND SO WE'LL JUST CONTINUE TO LOOK AT THAT OF WE ALL, WE DO HAVE ALSO, UM, IN THIS BUDGET, UH, A SOLID WASTE MASTER PLAN.
AND I KNOW, UM, I'VE TALKED TO SOME OF YOU ABOUT, IN THIS FUND, THERE'S REALLY ONLY ONE OF TWO KNOBS TO TURN.
YOU KNOW, WE HAVE LOTS OF KNOBS TO TURN IN THE GENERAL FUND.
IN THIS FUND, THERE'S ONLY ONE OR TWO KNOBS TO TURN.
WE CAN EITHER CHANGE THE SERVICE OR WE CAN INCREASE THE FEES TO, AGAIN, SO THAT WE HAVE THE REQUIRED REVENUE, UH, TO PROVIDE THE SERVICES THAT ARE IN PLACE.
AND SO, UM, WHAT ONE OF THE MOST IMPORTANT THINGS OF THIS SOLID WASTE MASTER PLAN IS GOING TO BE TO EVALUATE, ONLY EVALUATE TO PRESENT TO YOU FOR YOUR CONSIDERATION AT THIS POINT, UM, WHAT THOSE SERVICE CHANGES COULD POTENTIALLY LOOK LIKE.
UM, THE CITY OF IRVING IS GOING THROUGH THIS RIGHT NOW.
THEY ARE, THEY ARE, UM, CITY OF IRVING, THE CITY OF MESQUITE.
UM, THERE'S ONLY A HANDFUL OF CITIES THAT ARE STILL COLLECTING THE WAY WE DO, AND EVEN FEWER THAT ARE STILL COLLECTING TWICE A WEEK.
NOW, I LOVE, I, I LOVE THE SERVICE WE HAVE, UM, BUT WE JUST HAVE TO BE EYES OPEN THAT IF EVERYONE WANTS TO KEEP THAT SERVICE, AS PRICES GO UP, WE'LL HAVE TO CONTINUE TO ADDRESS THAT BY, UM, RAISING.
SO I'M NOT ADVOCATING FOR ANY POSITION, I'M JUST SAYING WE'RE GONNA STUDY THIS AND WE'RE GONNA PROVIDE YOU WITH THE OPTIONS, MUCH, MUCH KINDA LIKE WE DID
[00:30:01]
YESTERDAY WITH SOME OF THE EXEMPTION, UM, INFORMATION SO THAT YOU CAN BE REALLY INFORMED.AND IF WE HAVE TO GO UP IN THE FUTURE, YOU CAN UNDERSTAND THAT VALUE PROPOSITION AND, AND WHAT IT WOULD MEAN OTHERWISE.
AND SO THAT'S WHAT THE SOLID WASTE, UH, MASTER PLAN STUDY WILL ALLOW FOR, UH, IN THE GOLF FUND.
UH, THIS YEAR, WE'RE NOT PROPOSING ANY, UH, FEE CHANGES.
UM, AS WE MENTIONED TO YOU LAST YEAR, UM, AS WE REOPEN COURSE TWO AFTER ITS RENOVATION, WE THINK THAT THAT WOULD BE AN EXCUSE FOR, OH, OH, SORRY.
WHAT'S THE TIMELINE ON THAT? UH, SOLID WASTE MASTER PLAN? UM, PROBABLY ABOUT, ABOUT, UH, MY, MY GOAL WOULD BE TO HAVE, BUT THAT BRIEFING TO YOU BEFORE THIS TIME NEXT YEAR, SO THAT IT WOULD BE PART OF THE, OH, WOW, THAT'S FAST.
DON, I ADMITTEDLY HAVE NO IDEA WHAT OUR SOLID WASTE FEE IS AS FAR AS, I HAVEN'T SAID OUR BILL.
MY WIFE NORMALLY HANDLES THAT, BUT, UM, CAN YOU TELL ME WHAT THE $1, WHAT THAT EQUALS PER MONTH, AND THEN WHAT IS IT 3% EQUAL TO, UM, DOLLAR WISE? SURE.
UM, BOB IS GONNA GET INTO THAT IN A LITTLE BIT MORE.
IF YOU COULD, IF, IF, IF WE COULD HOLD OFF ON THAT JUST A SECOND.
BOB'S GONNA GET INTO THE DETAIL, UM, UM, OF THAT IN JUST ONE SECOND, ACTUALLY.
SO, SO WE, UH, WE'D LIKE TO OPEN COURSE TWO AND THEN REASSESS AT THAT TIME WITH THE IMPROVED GREENS, THE IMPROVED TEE BOXES, JUST THE OVER THE IMPROVED DRAINAGE, REALLY THINK THAT, UM, WE'D LOOK AT IT AND, UH, KIND OF, UH, LOOK AND, AND SEE THERE.
UM, THIS AGAIN, UH, INCLUDES THE CONTINUATION OF THE, THE RENOVATION OF COURSE, TOO.
AND JUST AS A REMINDER, THAT FOCUSES REALLY ON THE GREENS AND THE TEE.
UH, AND THERE'S SIGNIFICANT DRAINAGE WORK THAT'LL BE DONE TO, TO IMPROVE, UH, THAT AREA.
IT ALSO INCLUDES, UH, THIS BUDGET ALSO INCLUDES THE MAINTENANCE SUPPORT FOR THE AREAS ON COURTS TOO, THAT WON'T BE IMPACTED BY THE RENOVATION.
AND SO TWO THINGS HERE TO THINK THROUGH, UM, THE RE ALL, ALL THROUGH THE RENOVATION, WE'RE STILL GONNA HAVE TO WATER, AND WE'RE GONNA HAVE TO MOW, WE'RE GONNA HAVE TO FERTILIZE ALL OF THE FAIRWAYS, WHICH AS YOU, AS YOU KNOW, IS THE, IS THE MOST SIGNIFICANT PART OF THE COURSE.
UM, THE OTHER THING THAT WE'RE PLANNING FOR HERE IS THAT, UM, IN THE RENOVATION ITSELF, WE WANNA GET THE GREENS BACK ONLINE AS SOON AS POSSIBLE SO THAT THEY HAVE THE LONGEST AMOUNT OF TIME TO GROW IN.
AND SO, EVEN WELL BEFORE WE OPEN THE COURSE AGAIN, WE'LL BE, WE'LL BE WATERING AND, AND, AND, AND TENDING TO THE GREENS.
AND SO, UM, WHAT YOU SEE IS YOU SEE THE REVENUE WHILE THE COURSE IS CLOSED, GO DOWN, BUT THE MAINTENANCE COSTS REALLY DON'T GO DOWN THAT THAT MUCH BECAUSE OF THIS PHENOMENA.
AND SO WHAT WE HAVE, UH, IS IN THIS, UH, BUDGET IS, UH, FROM OUR, UH, GENERAL SPECIAL PROJECTS FUND, UM, WE'RE GONNA DO A ONE-TIME TRANSFER OF $575,000.
NOW, UM, THAT'S ONLY IF WE NEED IT.
UH, WE WILL TRACK THIS ALONG AS THE PROJECT GOES.
UH, IT COULD VERY WELL BE THAT IN THE END THAT THAT $575,000 ISN'T FULLY NEEDED TO, UH, HELP THE, UH, THE, THE GOLF FUND BALANCE DURING THE CLOSURE.
UM, WE WILL PROV, WE'LL PROVIDE YOU WITH UPDATES ON THAT AS WE GO ALONG WITH THE PROJECT.
UH, BUT THIS IS KIND OF, KIND OF, WE'RE IN THE, IN THE AREA OF THE WORST CASE SCENARIO THAT WE WOULD THINK WE WOULD NEED.
UM, AS A RESULT OF THAT, UM, WE ARE DRAWING DOWN THE FUND BALANCE ABOUT, IT'S ABOUT $290,000 OR SO, BUT THAT'S BECAUSE WE WERE UP AT A 90 DAY FUND BALANCE WHEN WE'RE ONLY REQUIRED IN THIS FUND, UH, TO, UH, ACTUALLY THINK I HAVE, WHAT, 30 DAY BUILDING TO 60.
AND SO WE'RE AT THE HIGH END OF WHAT OUR FINANCIAL POLICY SAYS ALREADY AT 60.
SO INSTEAD OF TRANSFERRING MORE MONEY OUT, WE'RE GONNA USE A LITTLE BIT OF THAT EXISTING FUND BALANCE.
UM, AGAIN, THIS WILL BE AN ONGOING ASSESSMENT OF WHAT, WHETHER WE REALLY NEED THESE DOLLARS OR NOT AS WE GET INTO THE PROJECT.
LASTLY, JUST A COUPLE OF REALLY INTERESTING POINTS, I THINK HERE ON HOTEL MOTEL FUND.
FIRST, YOU CAN SEE THERE, UM, THAT, UH, WE'RE THE, I COULD SEE TAXES PROJECTED TO INCREASE ABOUT 35%.
UH, AND WE SEE, UM, UH, JUST REALLY EXCITED BY, UH, THE ROBUSTNESS OF THE STAYS HERE IN, IN RICHARDSON.
AND THERE'S REALLY NO REASON TO BELIEVE THAT THAT WILL, UM, SLOW DOWN.
THIS NEXT BULLET, WE ARE GOING TO PROGRAM, UH, THE WILDFLOWER ENTERTAINMENT COST, UM, IN THE, UH, HOTEL MOTEL FUND.
SO THIS IS A BEST PRACTICE, UM, THAT'S USED, UM, ALL THROUGHOUT NORTH TEXAS, US CHARLES AND MCKAYLA, BOTH COMING FROM CITIES THAT HAD BIG FESTIVALS.
UM, IT'S THE ENTERTAINMENT THAT, UH, UH, IT'S THE ENTERTAINMENT THAT CAUSES SOMEBODY TO DRIVE OR FLY IN FOR WILDFLOWER AND STAY IN OUR HOTELS.
AND THAT'S A RECOGNITION THAT WE'RE REALLY TRYING TO ALIGN WITH HERE.
UH, ALL OF THE OTHER COSTS ASSOCIATED WITH THE WILDFLOWER FESTIVAL, THE OPERATIONS COSTS ARE STILL AND THE GENERAL FUND WHERE THEY WANT TO BE.
UM, I'LL TELL YOU, UH, IN MY SHORT TIME HERE OF HAVING THE FUN JOB OF GETTING TO HELP WITH THE ENTERTAINMENT, THE COST HAS JUST GONE UP E E EXPONENTIALLY.
UM, IT'S REALLY, REALLY DIFFICULT TO, UH, FIND TALENT.
UM, IF WE'RE, WE'RE LUCKY TO FIND IT, IT'S, IT'S USUALLY COST IN ANYWHERE FROM MAYBE 50 TO A HUNDRED PERCENT MORE THAN IT WAS PRE PANDEMIC.
AND SO THIS IS A GREAT USE OF A, OF A FUND THAT'S DOING REALLY WELL.
AND AGAIN, REALLY ALIGNS WITH THE PURPOSE OF, UH, HAVING THAT ENTERTAINMENT IN THE FIRST PLACE.
UM, YOU KNOW, THE EISMAN CENTER PRESENTS
[00:35:01]
STORY, WE'VE SEEN ALI COME AND PRESENT, AND, UM, SO IT IN IT INCLUDES A FULL RESTORATION OF THAT, A WONDERFUL SEASON, REALLY EXCITED ABOUT MOVING UP THE, UM, GRANT FUNDING BACK TO 3 75, SO $70,000 ADDITIONAL FUNDING.AND THEN I MENTIONED TO YOU LAST NIGHT, THIS BUDGET IN THE, UH, HOTEL MOTEL FUND ALSO INCLUDES A FULL-TIME CULTURAL ARTS COORDINATOR, THE CITY'S FIRST FULL-TIME POSITION TO MANAGE THAT.
UM, WE ARE, UM, GOING TO USE SOME EXCESS, UM, UM, YEAR END RESERVES, UH, TO BE TRANSFERRED OUT OF THE HOTEL, UH, MOTEL FUND INTO THE EISMAN FACILITY MAINTENANCE FUND.
UM, THESE NEXT TWO BULLETS ARE A RECOGNITION OF THE FOLLOWING.
UM, SINCE COVID, SINCE THE VERY EARLY DAYS OF THE PANDEMIC, UM, YOU KNOW, WE WERE EXTREMELY CONSERVATIVE IN THE HOTEL MOTEL FUND BECAUSE REALLY NO ONE KNEW WE DEFERRED AN AWFUL LOT OF MAINTENANCE AT THE EISMAN CENTER BECAUSE WE WERE, OUR ESTIMATES FOR REVENUE WERE SO LOW IN THE HOTEL MOTEL FUND AT THAT TIME.
AND SO, WHAT, AND, AND RECALL, WE'VE, UM, UH, UH, UM, BOB, REMIND ME, WAS IT ONCE IN ONE FELL SWOOP OR TWICE WE TRANSFERRED HIM? IT WAS, WE TRANSFERRED $2 MILLION TOTAL, $1 MILLION EACH OF, UH, TWO YEAR BACK, BACK TO BACK YEARS FROM THE GENERAL FUND OVER TWO, THE HOTEL MOTEL TAX TO STABLE I, MY HOTEL MOTEL FUND TO STABILIZE IT.
AND SO WHAT WE'RE SUGGESTING HERE IS REALLY TO BEGIN TO, UM, RELEASE SOME OF THOSE DOLLARS THAT WERE INTENDED FOR STABILIZATION TO ALLOW US TO GO BACK INTO THE EMAN AND DO SOME MUCH NEEDED DEFERRED MAINTENANCE.
UM, THE ONE THING THAT I HEARD OVER AND OVER AT THE 20 YEAR, UH, CELEBRATIONS WAS PEOPLE COULD NOT BELIEVE IT WAS 20 YEARS OLD.
AND SO THIS MONEY WILL, WILL BE ON THAT POINT AGAIN AND MAKING SURE THAT WE KEEP IT AT THAT HIGH LEVEL OF, UH, MAINTENANCE AND, AND, UH, CARE.
AND, UM, SO LET ME, UM, IF THERE ARE NO QUESTIONS, LET ME STOP THERE.
I'M GONNA TURN OVER TO BOB FOR A LITTLE, UH, DEEPER DIVE INTO EACH OF THESE FUNDS, AND THEN I'M GONNA FINISH UP WITH SOME PROPERTY TAX CONSIDERATIONS AND, UH, SOME NEXT STEPS LOOKING FORWARD.
BOB, ANY QUESTIONS BEFORE WE BEGIN? ALRIGHT, SO HOPEFULLY WE CAN ANSWER A LOT OF YOUR QUESTIONS.
PROVIDE YOU WITH SOME OF THAT, THAT BACKGROUND THAT YOU WERE LOOKING FOR.
UH, TOTAL REVENUE IN, UH, THE WATER AND SEWER FUND IS PROJECTED TO BE ABOUT $106 MILLION NEXT YEAR.
THAT IS AN INCREASE OF, UH, 10.26 MILLION.
UH, 98% OF THE REVENUE IN THIS FUND ON ANY GIVEN YEAR IS TYPICALLY FROM, UH, WATER AND SEWER REVENUE ALONE.
SO IT'S, IT'S VERY HEAVILY DEPENDENT ON THE USER FEES THERE.
UH, AS YOU CAN SEE, THE, THIS IS NOT WORKING.
UH, THIS, UH, ILLUSTRATION OF OUR TOTAL REVENUES, UH, YOU'LL SEE THAT, UH, OUR INTEREST EARNINGS AND OTHER MISCELLANEOUS FEE, UH, OR CHARGES, UH, 2.69 IN TOTAL, WHICH IS AN INCREASE OF 685,000.
UH, THAT'S PRIMARILY THE REBOUND IN THE INTEREST, UH, EARNING CATEGORY, AS WELL AS LATE FEES, WHICH IS BASED ON THE, UH, CURRENT TREND IN THAT CATEGORY.
UH, TOTAL, UH, WATER SALES OF 63.4 MILLION.
THAT'S AN INCREASE OF 5.4 MILLION, UH, AND SAW OR SEWER SALES, 39.9 MILLION, WHICH IS AN INCREASE OF 4.2 MILLION.
NOW, THAT DOES INCLUDE THE 3% INCREASE.
UH, AND OF THAT, UH, 3% INCREASE.
THE TOTAL INCREASE FROM JUST THE RATE ITSELF IS ABOUT 2.5 MILLION.
SO THE REST OF IT IS COMING FROM WHAT WE'RE SEEING AS FAR AS OUR SALES GO.
UM, COVID KIND OF PUT A LITTLE BIT OF A BREAK ON IT THERE IN, IN 21, A LITTLE BIT RECOVERY IN 22.
UM, BUT WE'VE SEEN A LOT OF THE DEVELOPMENT AS FAR AS OUR MULTI OR MULTIFAMILY HAS, UH, UH, DEVELOPMENTS HAVE HAPPENED, AS WELL AS SOME IN, UH, INCREASES IN OUR, UM, INDUSTRIAL AND MANUFACTURING.
NOW, THE, THESE OUT YEARS WE'RE, WE'RE NOT NECESSARILY MARRIED TO THOSE, WE RE-LOOK AT THIS EACH YEAR, BUT THIS IS WHERE WE SEE OUR CONSUMPTION, UH, GOING.
SO THE, THE RISE IN, IN SALES IS WHAT'S KIND OF OFFSETTING THAT THREE, THE NEED FOR THAT 3% TO BE HIGHER THAN THAT.
SO, UH, TOTAL EXPENDITURES, UH, 105 MILLION, WHICH IS AN INCREASE OF 9.8 MILLION.
UH, ABOUT 80% OF THAT ALL COMES FROM THE INCREASES IN THE CONTRACTS FROM, UH, NORTH TEXAS AND OUR OTHER SEWER PROVIDERS, UH, WATER SYSTEM, UH, THIS IS OUR WATER OPERATIONS AND WATER PRODUCTION, UH, GROUPS.
UH, IT'S INCREASING 4.8 MILLION TO $45 MILLION, 45.7 MILLION.
UH, OF THAT, THAT, UH, INCREASE 3.9 MILLION IS FOR THE WATER CONTRACT ITSELF.
UH, WE ARE SEEING IN THIS AREA, THIS IS WHERE WE'RE SEEING THE ENVIRONMENTAL OUTREACH MANAGER AS WELL AS, UM, UH, WE HAD A, A PLANT MANAGE OR PLANT FACILITY MAINTENANCE POSITION BEING ADDED.
UM, AND THEN SOME, UH, REPLACEMENT OF SOME VEHICLES THERE, YOU'LL SEE.
BUT THE MAJORITY OF THAT IS AGAIN, THE, THE, UH, COST OF THE CONTRACT SEWER SYSTEMS. WE'LL SEE A $3.7 MILLION INCREASE TO 29.3 MILLION OF THAT INCREASE.
3.6 MILLION IS A RESULT OF THE INCREASE IN, UH, THE SEWER,
[00:40:01]
UH, CONTRACT.AND YOU'LL SEE THERE THE TOTAL SEWER CONTRACTS, $3.6 MILLION INCREASE, WHICH IS, UH, ABOUT 15% INCREASE YEAR OVER YEAR.
UH, SOME OF THAT IS RATE, AND SOME OF THAT IS, UH, ACTUAL FLOW VOLUMES THAT ARE INCREASING FOR US.
SYSTEM MAINTENANCE, THIS IS OUR METER SHOP, OUR C M O M GROUP, AS WELL AS OUR CONSTRUCTION GROUP.
UH, TOTAL C M O M IS FUNDED AT $3.5 MILLION FOR NEXT YEAR METER SHOP AND CONSTRUCTION COMBINED, UH, 2.2 MILLION, WHICH IS INCREASE OF ABOUT 319,000.
THIS IS WHERE WE SEE THE ADDITION OF THE ONE, UH, MAINTENANCE HELPER POSITION IN CONSTRUCTION TO KIND OF HELP, UM, WITH SOME OF THE, UH, UH, PAVING CUT REPAIRS AND STUFF LIKE THAT.
IT'S BEEN, UH, HELD VACANT FOR A WHILE AND HELD FROZEN, BUT AS RECRUITMENT HAS PICKED UP, WE'RE, WE, WE'RE KIND OF FUNDING THAT POSITION NOW UP FRONT.
UH, WE'RE ALSO, UM, ADDING ABOUT 50,000 FOR EMERGENCY SEWER REPAIRS, AS WELL AS WE'RE SEEING AN INCREASE IN OUR, UH, WHAT WE CALL THE SPOILS HAULING CONTRACT, WHICH IS, UM, WHEN WE CUT UP A PIECE OF, UH, OF ROAD, WE HAVE A COMPANY COME, WELL, WE HAUL IT TO THE SERVICE CENTER, THEN A COMPANY HAULS THAT OFF.
UH, AND THAT CONTRACT HAS GONE UP SUBSTANTIALLY.
IT'S ABOUT $65,000 FOR NEXT YEAR ADMINISTRATION.
THIS IS, UH, OUR CUSTOMER SERVICE, UH, PUBLIC SERVICE ADMINISTRATION, UH, G I S AND NON-DEPARTMENTAL, UH, INCREASE ABOUT 300,000.
UH, BIG IMPACT THERE IS, IS GONNA BE THE, THE, UM, PAY PLAN ADJUSTMENTS, BUT WE'RE ALSO SEEING SOME INCREASES IN BANK FEES AS WELL AS INSURANCE PREMIUMS TRANSFERS OUT.
UH, THE G N A, UH, INCREASE ABOUT 285,000 FOR NEXT YEAR.
THAT'S BASED ON A, UH, INDEPENDENT STUDY THAT WE HAVE DONE THROUGH M G T AMERICA FRANCHISE FEES, WHICH IS TIED TO 5% OF, UH, WATER AND SEWER SALES.
IT'S GONNA SEE THE IMPACT OF THE 3%, AS WELL AS THE INCREASED, UH, WATER AND SEWER ACTIVITY THAT WE'RE SEEING.
UH, THE BAIC, UH, SUPPORT, UH, THE, THE WATER SEWER FUND SENDS, UH, BAIC SUPPORT TO THE SALT WASTE FUND TO HELP WITH THE BAIC PROGRAM.
IT HAD PREVIOUSLY BEEN A STATIC 466,000 SINCE BEFORE I GOT HERE.
UM, AND NOW WE ARE TYING THAT, HAVING A METHODOLOGY OF TYING THAT TO 50% OF WHAT THAT PROGRAM COSTS IN THE SALT WASTE FUND.
SO THAT'S AN INCREASE TO THE WATERFRONT OF ABOUT 140,000.
THE DEBT SERVICE TRANSFER IS INCREASING $856,000, LARGELY DUE TO THE INCREASED CAPITAL PROGRAM THAT WE HAVE GOING ON.
AND THEN THAT CAPITAL INFRASTRUCTURE REPORT, UH, SUPPORT, UM, EACH YEAR WE'VE TRIED TO BUILD IN A LITTLE BIT OF A PAYYOU GO PROGRAM.
UH, LAST YEAR OR F Y 23, IT WAS ABOUT 1.7 MILLION.
UH, NEXT YEAR WE'RE LEAVING ABOUT 472,000, UM, AT THE 3% RATE INCREASE.
UH, WITH THAT SAID, WE'RE STILL BALANCING AT THE 90.95 DAYS, WHICH IS ABOVE THE 90 DAY MINIMUM THAT WE'RE, UH, OUR FINANCIAL POLICY FOR THAT FUND SOLID WASTE FUND, A TOTAL INCREASE OF ABOUT 18.4 MILLION, OR SORRY, TOTAL REVENUE OF 18.4 MILLION, AN INCREASE OF 662,000.
AGAIN, THIS IS ONE THAT'S VERY HEAVILY RELIANT ON THE, THE USER FEES.
UH, 95% OF THAT COMES FROM USER FEES, ABOUT 55% FROM COMMERCIAL, AND ABOUT 40% FROM, UH, RESIDENTIAL.
AND YOU'LL SEE HERE, UH, RESIDENTIAL, UH, TOTAL REVENUE, UH, 3.4 MILLION.
THIS DOES REFLECT THE $1 INCLUDING TAX.
WE'RE ONLY SEEING THE 92 CENTS OF THAT OR WHATEVER IT IS,
UM, AND IT DOES MAINTAIN THIS SENIOR DISCOUNT, WHICH IS CURRENTLY 26%.
SO, UH, THE, THE SENIORS WILL NOT SEE A $1 INCREASE.
THEY'LL SEE THE ROUGHLY, UH, AGAIN, GREAT MATH FOR A GUY HERE, UH, 74 CENTS A MONTH.
SO, UM, COMMERCIAL REVENUE, UH, 10.1 MILLION, OR LET ME GO BACK TO RESIDENTIAL.
YOU ASKED EARLIER WHAT THE IMPACT, IT'S ABOUT 6 260 5,000 FROM THE, THAT INCREASE TO RESIDENTIAL.
UM, IT'S $1 PER MONTH, OBVIOUSLY.
UM, OH, YOU WERE ASKING ABOUT WATER, UH, IT'S $29 FOR WATER AND $14 A YEAR FOR SEWER BASED, FOR AN AVERAGE HOME 29 PER A YEAR.
SO A TOTAL OF $43 TOTAL FOR WHAT WE'RE SEEING FOR SOLID WASTE AND WATER IS WHAT THEY AVERAGE, AVERAGE FOR, FOR WATER.
I'M SORRY, FOR WATER, IT'S $29 SEWER, IT'S $14, SO THAT'S $43.
AND THEN THE $12 FOR SOLID WASTE ON TOP OF THAT
OKAY? YES, ANNUALLY, UH, COMMERCIAL, UH, IN, UH, REVENUE OF 10.1 MILLION.
THIS DOES REFLECT THE, UH, 3% ACROSS THE BOARD.
AND THEN THE BABIC PROGRAM TRANSFER, AGAIN, IS LINKED TO, UH, THE COST IN THE WATER FUND OR IN THE SOLID WASTE.
IT'S TIED TO THE CO, UH, 50% OF THE COST OF THAT PROGRAM.
IN THIS FUND HERE, YOU'LL SEE THE INCREASES THAT WE'RE PROPOSING, $1, AGAIN, INCLUDING TAX.
UH, WITH THAT IN THE SENIOR DISCOUNT, WE'RE PROJECTING THAT TO BE ABOUT $265,000.
[00:45:01]
UH, COMMERCIAL, THE THREE ACROSS, 3% ACROSS THE BOARD EQUATES TO ABOUT $330,000 IN TOTAL REVENUE.TOTAL EXPENDITURE IS 18.15 MILLION.
IT'S AN INCREASE OF, UH, 900 OR $694 THOUSAND DOLLARS.
UH, WE'RE SEEING THAT MOSTLY IN TWO AREAS.
PERSONNEL, IT'S A VERY PERSONNEL HEAVY FUND.
UM, WE'RE SEEING THE, THE BENEFITS OF THE RECRUITMENT EFFORTS, BUT WE'RE ALSO SEEING THE EXPENSE OF THAT INCLUDES THE, SOME OF THE SIGN-ON BONUSES AND LATERAL TRANSFERS AND THAT KIND OF THING, AS WELL AS THE PAY PLAN ADJUSTMENT.
AND THEN THE TRANSFERS OUT IS WHERE YOU'RE SEEING THE OTHER MAJOR INCREASE.
AND THAT IS HEAVILY DUE TO DEBT SERVICE.
I MEAN, DEBT SERVICE FOR THAT EQUIPMENT IS COSTING A LOT MORE.
SO HENCE THE, THE TRANSFER OUT FOR DEBT SERVICE IS, UM, HAS INCREASED, OOPS, COMMERCIAL, UH, 3.9 MILLION, OR ALMOST $4 MILLION FOR COMMERCIAL, UH, SERVICE.
AND THE MAJORITY OF THAT, AGAIN, IS IN THE, UM, THE, UH, RETENTION, UH, PROGRAM.
UH, WE ARE PROPOSING THE REPLACEMENT OF TWO VEHICLES, A ROLL OFF AND A FRONT LOAD, AS WELL AS VARIOUS CONTAINER SIZES.
THOSE CONTAINERS THAT WE SERVICE ARE OUR CONTAINERS, AND THEN WE, UH, REPLACE THOSE OVER TIME AS WELL.
WE HAVE A, A MULTI-YEAR PLAN TO REPLACE THOSE RESIDENTIAL, UH, SERVICE, $7.5 MILLION AN INCREASE, 134 MILLION.
AGAIN, A LOT OF THIS IS IN THE, UH, PERSONNEL AREA.
UH, SEEING THE IMPACT OF NOT ONLY THE PAY PLAN ADJUSTMENTS, BUT THIS IS WHERE WE'RE SEEING THE BIGGEST INCREASE OF THE DAY.
LABOR CONTRACT, UH, THE DAY LABOR CONTRACT THAT ON KINDA MENTIONS OF 17%, AND WE'RE RELYING HEAVILY ON THAT RIGHT NOW.
UH, LANDFILL FEES IN BOTH COMMERCIAL AND RESIDENTIAL ARE, UH, STANDING, UH, OR STAND ABOUT FLAT FOR FROM YEAR TO YEAR.
AND THEN THE BOCK INCREASE, UH, IS BASED ON, UM, THE INCREASE IN THE SALARIES THERE, AS WELL AS THE INCREASE IN THE BOCK OR THE COMPOSTING CONTRACT THAT WE'RE SEEING.
UH, RECYCLING TONNAGE IS DOWN, UH, SO THE CONTRACT COST IS DOWN AS WELL.
SO ABOUT $35,000 IN SAVINGS ON THE, THE RECYCLING CONTRACT.
UM, AND THIS IS WHERE WE'RE SEEING ON THE REVENUE SIDE.
UH, IF YOU LOOK AT THE RESIDENTIAL REVENUE, WE'RE NOT SEEING THE FULL IMPACT OF THE $1, IF YOU LOOK ON IT ON PAPER, BECAUSE WE'RE SEEING A DECLINE IN THE RESIDENTIAL, UH, RECYCLING REVENUE.
SO THAT'S KIND OF AN OFFSET THERE.
SO IS, IS THAT A RESULT OF LESS RECYCLING BY RESIDENTS, OR WE'RE NOT GETTING PAID AS MUCH FOR OUR, OUR RECYCLING.
IT IS THE UNIT COST OF THE RECYCLABLES.
UH, FOR RESIDENTIAL, WE ARE, UH, RECOMMENDING THE REPLACEMENT OF THREE FRONT LOAD TRUCKS FOR A TOTAL OF 915,000.
OUR ADMINISTRATION, UH, THIS IS OUR NON-DEPARTMENTAL, THAT'S WHERE YOU'RE GONNA SEE, UM, OUR INSURANCE PREMIUMS AND WORKERS' COMP, UH, INSURANCE AS WELL.
THIS IS WHERE YOU'LL SEE, UH, $206,000 IN OUR OPERATING TRANSFERS.
A LOT OF THAT'S THE G N A, UH, THEIR G N A IS HEAVILY IMPACTED OVER THE LAST COUPLE YEARS BY THE PRICE OF FUEL.
UH, THOSE FUEL PRICES ARE RECORDED IN THE GENERAL FUND, AND THEN THE, THE SOLID WASTE FUND THROUGH OUR G AND A CHARGES, THEN REIMBURSE THE GENERAL FUND FOR THAT.
FRANCHISE FEES ARE CHAR, UM, UH, A RESULT OF THE INCREASE IN IN REVENUE, AND THEN YOU'LL SEE THE $183,000 INCREASE IN OUR DEBT SERVICE, UH, FUND OR TRANSFER.
AGAIN, THIS FUND, UH, DOES FINISH ABOVE THE 90 DAY MINIMUM FUND BALANCE GOLF FUND.
UH, BOTH REVENUES AND EXPENDITURES REFLECT, UH, COURSE TWO BEING CLOSED FROM JANUARY OF 2024 THROUGH SEPTEMBER OF 2024.
AND I THINK THAT, LIKE DON MENTIONED, UH, ALL THE OPERATIONAL REVENUES ARE, ARE BEING IMPACTED BY THAT.
OBVIOUSLY, WE'RE REDUCING THE AMOUNT OF PLAY THAT CAN HAPPEN OUT THERE.
AND YOU'LL SEE THAT $575,000, UM, TRANSFER IN.
AGAIN, THIS WILL BE EVALUATED AT YEAR END, UH, TO SEE WHAT THE TRUE NEED IS.
BUT WE, WE BELIEVE THIS IS ON THE HIGHER END OF THE TRUE NEED IN THAT FUND.
TOTAL EXPENDITURES, UH, 2.78 MILLION, WHICH IS A DECREASE OF 55 MILLION.
UH, WE DID CHARGE, UH, THE DEPARTMENT, UM, TO, TO LOOK WHERE THEY COULD TO REDUCE SOME COSTS.
AND OBVIOUSLY WE, THERE'S CERTAIN THINGS THAT THEY HAVE TO CONTINUE TO DO.
UM, THEY, THEY WERE ABLE TO DEFER SOME, SOME SMALL TOOLS AND EQUIPMENT, THOSE KIND OF THINGS.
BUT BOTANICALS THE BIGGEST IMPACT THERE.
UM, NOT ONLY ARE WE SEEING, UH, AN OVERALL INCREASE IN THE COST OF THOSE BOTANICALS, THE FERTILIZER, PEST CONTROL, WHEAT CONTROL, UM, BUT WE ARE, WE'RE TRYING TO STAY ON TOP OF IT.
UH, AND DURING THE, THE TRANSITION OR THE RENOVATION, WE GOTTA MAKE SURE THAT WE HIT THOSE WITH SPECIALIZED, UM, UH, CHEMICALS.
SO THAT'S WHAT'S REALLY DRIVING THE 260, 220 $6,000, UH, INCREASE IN THE OPERATIONS SECTION, UM, THROUGH THE CAPITAL REPLACEMENT.
UM, WE ARE, UH, THROUGH THE CAPITAL REPLACEMENT FUND, THEY HAVE SOME, SOME KEY MACHINERY OUT THERE, UH, SPRAY RIGS, SOME GREEN MOWERS, AND, UH, SOME,
[00:50:01]
SOME TRIMMERS, THOSE KIND OF THINGS, AS WELL AS SOME, UH, FENCE REPAIR AND CAR PATH REPAIR.THIS IS OUR TYPICAL ROTATION FOR, FOR THEIR EQUIPMENT.
UM, YOU KNOW, WE CAN'T DEFER THAT TOO LONG.
I MEAN, WE STILL GOTTA USE IT AND, AND WE HAVE A, A METHOD TO PAY FOR THAT.
SO IT'S NOT AFFECTING THE GOLF FUND ITSELF, IT'S AFFECTING OUR CAPITAL REPLACEMENT FUND, UH, TRANSFERS OUT.
THE BIGGEST TRANSFER OUT THERE IS THE, THE G AND A CHARGE, UH, INCREASING OF $13,000.
AGAIN, THIS IS, UH, AS A RESULT OF THE UPDATED, UH, G N A STUDY.
UM, AND THEN IN THE PAST, WE'VE TRIED TO SET ASIDE SOME FUNDING FOR A CAPITAL RESERVE LAST YEAR, OR F Y 23 CURRENT YEAR, WE ARE ABLE TO SET, SET ASIDE $295,000.
NOW, THE CURRENT PLAN IS TO LEAVE THAT IN THE FUND TO HELP BUILD FUND BALANCE TO HELP OFFSET THE, THE CLOSURE.
BUT NEXT YEAR, OBVIOUSLY WITH THE DOWN REVENUE AND NEEDING TO BRING IN REVENUE, WE DON'T HAVE ANYTHING PLANNED IN THAT AREA FOR, UH, NEXT YEAR HOTEL MOTEL FUND.
I, I, I THINK AS YOU HEARD ALLIE COME BACK, I THINK IT WAS IN MAY, THEY'RE VERY EXCITED ABOUT THE ACTIVITY GOING OUT THERE.
NOT ONLY ARE THE RENTALS UP, UH, BUT WE'RE ALSO SEEING, YOU KNOW, A, A FULL, UM, EISMAN CENTER PRESENTS, UM, UH, SEASON, AND THAT THOSE ARE REFLECTED IN HERE.
UM, THE BIGGEST PORTION OF THE, OR NOT THE BIGGEST MISS, WELL, I GUESS IT IS THE BIGGEST REVENUE, THE, THE TAX REVENUE.
UH, AS DON SAID, WE'VE SEEN SOME POSITIVE SIGNS WHEN COVID HIT, UH, MOST ANALYSTS THOUGHT IT WAS GONNA TAKE FOUR TO FIVE YEARS TO RECOVER IN THE, THE, UH, HOSPITALITY INDUSTRY.
UM, OUR, WE'VE GONE IN VERY CONSERVATIVE, AND NOW WE'RE TRYING TO GO BACK TO KIND OF A, A PRE COVID ASSUMPTION.
UH, NOW IT'S BASED ON THE TRENDS.
I MEAN, WE'RE NOT, WE DON'T FEEL WE'RE JUMPING THE GUN ON ANYTHING, BUT IT'S BEING BUOYED BY NOT ONLY INCREASED, UM, UH, UH, STAYS, BUT WE'RE ALSO SEEING AN INCREASE IN THE AVERAGE, UH, DAILY RATE AS WELL.
UH, TOTAL REVENUE AGAIN, UH, UH, 8.9, WHICH HAS INCREASED TO 3.4.
HALF OF THAT IS, UH, AS A RESULT OF THE TAX, UH, INCREASE THAT WE'RE THE PROJECTING.
AND THEN THE, THE EISMAN CENTER REVENUE THAT, THAT, UH, GOES WITH THE ACTIVITY LEVEL THAT'S ANTICIPATED OUT THERE AT THE EISMAN CENTER.
AND HERE'S A, A GRAPH THAT SHOWS KIND OF WHERE HIGH, UH, HOTEL TAXES ARE.
UM, THE BLACK LINE WAS WHAT OUR BUDGET WAS.
WE WENT IN VERY CONSERVATIVE, 80% THROUGH THE FIRST PART.
WE WERE PROJECTING ABOUT 87.5% OF THE FIVE YEAR AVERAGE, UH, FOR THE FIRST PART OF THE YEAR, AND THEN BUMPING THAT UP TO 90%.
BUT BY THAT POINT, WE'D ALREADY HIT, UH, OVER WHAT OUR PRE COVID AVERAGE WAS.
WE'RE ACTUALLY EXCEEDING THE PRE COVID AVERAGE BY ROUGHLY 20% OR SO.
UM, THIS DOES SEEM SUSTAINABLE.
YOU KNOW, UH, OUR JEFF THERE IN THE C V B REACHES OUT TO OUR HOTELS.
UM, THEY'RE, THEY'RE TRULY JUST SEEING INCREASED ACTIVITY THERE.
UM, WE DO BELIEVE THAT THIS PROJECTION, UM, IS, IS SUSTAINABLE.
NOW WE ARE PROJECT OR, UM, SUGGESTING SOME FEE CHANGES.
UM, THREE OF THE, THE FOUR, UH, FIVE THAT WE'RE SHOWING THERE ARE JUST CHANGES.
UH, CURRENTLY, WE, UH, CHARGE THE HOUSE TECHNICIAN FEE FOR THREE HOURS.
AND WHAT WE'RE TRYING TO DO IS MAKE THAT CONSISTENT ON WHAT WE CHARGE.
FOR STAGE LABOR, WE CHARGE A FOUR HOUR MINIMUM.
SO WHAT WE'RE TRYING TO DO IS MAKE THAT CONSISTENT ACROSS THOSE, THOSE FEE TYPES, THE STAGE MEAL, STAGE, HAND MEAL FEE, AND A CREDIT CARD FEE.
THOSE ARE COST RECOVERY, UH, INITIATIVES THERE, UH, THOSE THINGS ARE JUST COSTING US MORE.
AND WE'RE TRYING TO, TO KIND OF RIGHTSIZE THAT.
WE ARE RECOMMENDING TWO NEW FEES, A TRAFFIC OFFICER FEE AND HOUSE MANAGER FEE.
THESE ARE SERVICES THAT WE ARE CURRENTLY PROVIDING, UH, IT'S CURRENTLY OFFERING.
UH, AND OUR GOAL IS HERE IS TO NOW START CHARGING FOR THOSE, UM, TO KIND OF OFFSET SOME OF THOSE COSTS.
TOTAL EXPENDITURES OF, UH, $9.3 MILLION IS AN INCREASE OF 3.8 MILLION.
AGAIN, A LOT OF THIS HAS TO DO WITH THE, THE REACTIVATION OF SOME OF THE RENTAL ACTIVITY OUT THERE, AS WELL AS THE EISMAN CENTER PRESENTS.
UM, THE EXPENDITURES AND THE REVENUE GO HAND IN HAND IF, IF SOME OF THESE SHOWS DON'T MAKE, THE REVENUE DOESN'T MAKE.
THE SAME ASSUMPTIONS WE USED ON THE REVENUE SIDE ARE USED ON THE EXPENDITURE SIDE.
UM, AND I, I BELIEVE, UH, ALLIE IS, IS, IS VERY EXCITED ABOUT THE UPCOMING, YOU KNOW, HE KIND OF LAST TIME MADE ME FOLLOW HER
UM, AND HERE YOU'LL SEE THE, THE GROUPS, UH, EISMAN CENTER MAKES UP THE VAST MAJORITY OF THE EXPENSES IN THE HOTEL FUND.
UH, ABOUT 57%, UM, NON-DEPARTMENTAL.
THAT'S, UH, THAT IS INCREASING THIS YEAR.
AND THAT'S RE A RESULT OF MOVING THAT, UH, WILDFLOWER, UH, UH, ENTERTAINMENT, UH, CHARGES IN THERE.
AND THEN YOU'LL SEE C V B IS NOW DIRECTLY FUNDED, UH, IN THE HOTEL FUND, AND THEN IS ALSO PAYS
[00:55:01]
FOR THE OPERATIONS OF THE, UH, PARKING GARAGE THERE.UH, EISMAN CENTER, UH, TOTAL BUDGET OF 6.3 MILLION, EXCUSE ME, THIS IS AN INCREASE OF 2.2 MILLION.
A LOT OF THAT HAS TO DO WITH THE, UM, THE ACTIVITY LEVEL WE'RE SEEING OUT THERE, THE, THE, THE EISMAN CENTER PROGRAM, AS WELL AS THE UNFREEZING OF SOME OF THOSE POSITIONS TO HANDLE THAT ACTIVITY.
UH, OBVIOUSLY WE CAN'T PUT THAT ON THERE WITHOUT SUPPORTING THOSE, THAT ACTIVITY LEVEL.
SO THOSE, UM, POSITIONS HAVE BEEN UNFROZEN AND ALLY IS CURRENTLY RECRUITING FOR THOSE POSITIONS.
UH, WE DO HAVE SOME EXPANDED, UH, PROGRAMS OUT THERE.
WE'RE, WE'RE TRYING TO INCREASE SOME DUES TO, TO INCREASE THEIR EXPOSURE, UM, THAT THOSE, SOME OF THOSE ORGANIZATIONS THEY BELONG TO EXPOSE US TO, TO MORE ACTS AND, AND GIVES US SOME DISCOUNTS AND CERTAIN THINGS.
UM, WE'RE, UH, PROVIDING ABOUT 13,000 FOR SOME STAFF APPRECIATION, UH, VOLUNTEER APPRECIATION OUT THERE, AS WELL AS ABOUT $30,000 FOR SOME SOCIAL MEDIA AND MARKETING AND MARKETING ENHANCEMENTS.
THE A, UH, ADMINISTRATION IN CAPITAL RENEWAL, AGAIN, THIS IS, UH, INCLUDES NON-DEPARTMENTAL, AND THAT'S WHERE WE BROUGHT IN, UH, SOME OF THAT WILDFLOWER ACTIVITY.
UH, DON MENTIONED, UH, SOME OF THE CAPITAL IMPROVEMENT THAT WE'RE TRYING TO PLAN OUT THERE.
UH, WE ARE PLANNING ON DRAWING DOWN, UH, SOME FUND BALANCE THIS YEAR, OR IN F Y 24 FOR SOME ELEVATOR AND SOME SECURITY AND, UH, UH, IMPROVEMENTS OUT THERE, INCLUDING SOME SECURITY DOORS AND SOME SECURITY CAMERAS.
UH, SOME OF OUR FACILITIES, THEIR SECURITY CAMERAS ARE, ARE ADEQUATE, YOU KNOW, SO WE'RE TRYING TO UPDATE THOSE HIGHER RESOLUTION, BETTER COVERAGE, THOSE KIND OF THINGS.
AND THERE, UH, DON MENTIONED THE FEES THAT, OR THE, THE EXCESS RESERVES THAT WE'RE GOING TO TRANSFER TO THE, UM, EISMAN, UH, FACILITY FEE.
YOU'LL SEE WE'RE TRYING TO REPLACE THE FIRE PANEL THERE.
IT'S VERY VITAL FOR SECURITY OUT THERE, SAFETY OUT THERE, AS WELL AS THE STAGE FLOOR AND THE, THE STAGE CURTAIN THERE IN THE HILL PERFORMANCE HALL.
UM, THOSE ARE, IS MY UNDERSTANDING THE ORIGINAL FLOOR AND CURTAINS.
UH, AND THIS IS TO HELP, UH, REPLACE THAT.
YOU DO IT ONCE EVERY 20 YEARS, BUT IT'S, IT'S PRETTY PRICEY.
UH, MAJORITY OF THIS IS, WE HAD A SECRETARY POSITION THAT WAS IN THE GENERAL FUND THAT WAS ASSIGNED TO CIVIC CENTER.
AND AS WE'VE GOTTEN OUT OF THAT REALM, THAT POSITION IS NOW BEING, BEING FULLY MOVED INTO CVBS BUDGET.
AND THAT'S WHERE THE VAST MAJORITY OF THAT IS COMING FROM.
BUT THEY DID HAVE A LOT OF, UH, MATERIAL THAT WAS, UH, DESTROYED IN THE FIRE.
SO WE'RE PROVIDING THEM ABOUT $21,000, UH, FOR THE REPLACEMENT OF SOME OF THAT MATERIAL.
THIS IS PRETTY MUCH A ONETIME BUMP.
UH, WE SHOULD SEE THAT DROP OFF NEXT YEAR.
UM, BUT THEN THERE'S SOME SOFTWARE, UH, THAT, THAT THEY ARE GOING TO USE TO HELP, UM, MARKET SOME OF OUR ACTIVITIES TO SOME OF THE HOTELS AND, AND VARIOUS GROUPS.
SOME OF THE KEY ENHANCEMENTS THAT WE'RE ADDING HERE IS A, A $10,000 STRATEGIC PLAN FOR THE C V B C V B, UH, UH, BRANDING GIFT SETS.
UH, AGAIN, SOME OF THIS MATERIAL WAS, UH, KIND OF LOST, AND THEN THEY'RE TRYING TO, TO REPLENISH SOME OF THAT, ABOUT 21,000 THERE.
AND THEN A QUARTERLY HOTEL INFORMATION MEETING, UH, TO PROVIDE JUST KIND OF, UH, INCENTIVE FOR SOME OF THESE HOTELS TO SHOW UP TO, TO KIND OF, UH, START KIND OF WHAT WE DO FOR THE HOAS.
BUT ON THE, UH, THE HOTEL MANAGER AREA TRANSFERS OUT, UH, 500, 5,000.
AGAIN, THIS IS A RESULT OF THE UPDATE TO THE, UH, COST ALLOCATION PLAN.
UM, AND THEN NOW THAT C B B IS IN THERE, WE, WE PREVIOUSLY HAD A LINE THERE WHERE WE WERE TRANSFERRING FUNDING FROM THE HOTEL FUND TO THE WATER FUND OR THE GENERAL FUND TO SUPPORT C B B.
C B B IS NOW DIRECTLY IN THIS FUND.
A RECAP OF SOME OF THE FEES THAT, UH, WE'RE LOOKING AT OR THAT WE'RE PROPOSING AS PART OF THIS BUDGET.
UH, AS WE MENTIONED YESTERDAY, UH, THE, UH, BUILDING INSPECTION IS PROPOSING ABOUT 205,000, $204,000 IN SOME, UH, FEE INCREASES.
A LOT OF THAT HAS TO DO WITH, UM, THE MULTI-FAMILY AREA AS WELL AS SOME, UH, SOME, SOME REMODEL AND SINGLE FAMILY PERMITTING FEES.
UM, THESE ARE MARKET DRIVEN, BUT THEY ALSO, AGAIN, LOOK, IT'S NOT JUST, HEY, THEY'RE CHARGING SOMETHING, WE'RE GONNA CHARGE THAT.
THEY DO LOOK AT THEIR COST, AND WE FEEL THAT IT'S NECESSARY AT THIS TIME.
UH, GYMNASTICS, UH, FEES, AGAIN, IT'S MARKET DRIVEN.
AND THEN, UH, NON-RESIDENT ONLY.
POOL FEES, UH, FOR A TOTAL OF ABOUT $1,700 WHILE WATER FUND, WE, WE ARE PROPOSING A 3% ACROSS THE BOARD FOR ALL OUR WATER AND SEWER RATES.
UH, THIS WILL BRING IN ABOUT $2.5 MILLION IN TOTAL, 1.5 MILLION FROM THE, UH, WATER AND 976,000 FROM THE SEWER FEE.
UM, RESIDENTIAL, UH, RESIDENTIAL SAW WASTE OF
[01:00:01]
A DOLLAR PER MONTH, SO THAT'S GONNA BE ABOUT $12 A YEAR.UH, THAT DOES INCLUDE SALES TAX, AND IT DOES MAINTAIN THE SENIOR DISCOUNT OF 26% AS WELL AS THE, UH, 3% ACROSS THE BOARD COMMERCIAL RATE INCREASE.
AGAIN, THESE ARE THE, UH, EISMAN CENTER FEES THAT WE, WE ARE CURRENTLY LOOKING AT.
UM, WITH ALLIE BEING HERE, THEY'RE TAKING A MULTI-YEAR LOOK.
THIS IS GONNA BE YEAR ONE OF THOSE THAT LOOK.
SO WE DO ANTICIPATE SOME ADDITIONAL FEE AND, UH, REVIEWS AND, AND PROBABLY SOME RECOMMENDATIONS IN THE, THE NEXT COUPLE YEARS.
SO, ANY QUESTIONS FOR BOB? GOOD, GO AHEAD.
UH, YEAH, I WAS HOLDING MY QUESTION FOR A LONG TIME.
PROBABLY, UH, IF YOU GO TO SLIDE 12, WELL, YOU PROBABLY KNOW THAT THE LATE FEE FOR THE WATER AND SEWER REVENUES, UH, THAT LOOKS LIKE IT'S CLOSE TO $1 MILLION.
AND THAT'S SOMETHING THAT I FORGET SOMETIMES TO PAY ON TIME.
THAT $10, IS THAT SOMETHING THAT $10 LEFT YOU, OR THERE'S MORE THAN THAT? SOMETHING? IT'S A PERCENT 10%, 10% ON THE DELINQUENT BALANCE.
SO THAT MEANS, UH, CLOSE TO 1 MILLION.
AND IF WE ASSUME THERE IS LIKE 40,000 SERVICE, WE ARE CLOSE TO LIKE THREE TIMES AVERAGE PER HOUSEHOLD, MAKE, YOU KNOW, LEAD PAYING THE BILLS.
I MEAN, I WOULD, I I DON'T TRUE.
WE HAVE SOME CUSTOMERS THAT EVERY MONTH IT'S COMMON FOR THEM TO PAY THE LATE FEE.
I MEAN, THEY NEVER PAY THAT, THAT LATE FEE.
IF SOMEONE HAS A HISTORY OF NEVER PAYING THAT AND THEY MISS ONCE, WE'LL TYPICALLY WAIVE THAT ONE TIME FOR THEM.
UM, I UNDERSTAND, BUT HOW, I THINK THIS IS SOMETHING PROBABLY WHOEVER IS PAYING LATE, UH, COULD THINK ABOUT AND, YOU KNOW, SAVE THAT 10%, UH, YOU KNOW, NOT WORRY ABOUT SOMETIMES LIKE 3% INCREASE BECAUSE WE ARE PAYING LATE FEE, SIGNIFICANT AMOUNT.
SO ANYWAY, THAT'S A, THAT'S SOMETHING LOOKS LIKE I SAW LAST YEAR.
ALSO, THE SAME THING LOOKS LIKE THE SIMILAR LEAD FEE EVERY YEAR.
LOOKS LIKE THE HABIT IS THE SAME.
UH, ON SLIDE 45, SLIDE 45, THAT'S ON PAGE 23 FOR OUR HAND HANDOUT, THAT CONVENTION AND VISITOR GURUS ITEMS SLIDE THERE, IT SAYS THAT THERE IS A PRINTING IS PROJECTED TO INCREASE DUE TO THE NEED TO REPLACE PROMOTIONAL ITEMS, UH, $21,000 MORE.
SO IS THAT SOMETHING THAT WE GOT REIMBURSEMENT FROM THE INSURANCE, OR THIS IS NOT SOMETHING THAT, UM, THESE TYPES OF ITEMS, I DON'T THINK WE'RE GONNA GET REIMBURSED FROM THE INSURANCE.
IT'S MOSTLY, UM, I MEAN, THESE, THESE COULD BE THINGS THAT WERE, YOU KNOW, LITTLE GIFT BAGS AND, YOU KNOW, IT'S, IT'S $21,000 AND WHEN, WHEN, UM, I MEAN THERE WERE ALL KINDS OF KNICK-KNACKS AND, YOU KNOW, IT'S JUST, IT'S, THERE IS NO, IT'S NOT TO CLAIM THOSE.
I MEAN, YOU KNOW, MONEY IS MONEY.
IT'S REALLY, IT'S REALLY ABOUT WHAT THEY ASSIGN A VALUE TO IT, NOT WHAT NECESSARILY WHAT WE MIGHT HAVE ORIGINALLY PAID IT.
MR. CORCORAN, SO REAL QUICK, BOB, WHEN, SO WHEN A FEE GOES UP FOR AN INSPECTION, WHAT IS THE MARKET DRIVER FOR THAT? IS THAT JUST THE INCREASED COST THAT WE'RE PAYING OUR EMPLOYEES? IS THAT WHAT WE'RE CONSIDERING A MARKET DRIVER? WHAT? I MEAN, THE, THE MARKET SIDE OF THAT WOULD BE THE SURVEY THAT THEY DO.
WE DO COMPARE TO THE OTHER 12 CITIES.
UM, YOU KNOW, LOOK AT WHAT THE, THE MARKET AVERAGES OF THOSE, UH, IT KIND OF INDICATES WHERE WE MIGHT BE BEHIND ON WHERE WE'RE CHARGING.
OBVIOUSLY, WE DON'T WANNA BE AT THE HIGHEST END.
WE WANNA BE BUSINESS FRIENDLY MM-HMM.
SO WE DON'T JUST INCREASE TO DO THAT.
BUT WHEN WE LOOK AT WHAT IT'S COSTING US TO DO INSPECTIONS, WHAT IT, OUR HOURLY PAY IS NOW FOR SOME OF OUR CLERK PERMIT CLERKS MM-HMM.
SO THERE IS A COST RECOVERY PORTION OF THAT TO KIND OF JUSTIFY THAT.
NOT ONLY OKAY, CAN WE GO UP ON IT, BUT IT'S JUSTIFIED THAT WE GO UP ON IT SO WE'RE NOT JUST GOING UP ON IT BECAUSE OTHER CITIES.
BECAUSE WE SUDDENLY FALL TO THE CHEAPEST PERMIT.
WE, WE, WE DO LOOK TO, TO SEE IF THERE IS A COST RECOVER PORTION OF IT, UM, BEFORE WE JUST GO, WE'RE, WE'RE GONNA INCREASE IT.
WE DON'T WANT TO INCREASE IT JUST TO INCREASE, BECAUSE AGAIN, WE WANNA SEE OURSELF AS BUSINESS FRIENDLY.
[01:05:01]
WE ASK THEM TO LOOK AT ALL ASPECTS OF THAT.AND ONE PART IS A SURVEY, UM, TO SEE WHERE WE RANK AND, AND HOW WE'RE DOING, BUT THEN THEY ALSO LOOK AT THEIR COST.
DOES THAT MAKE SENSE? YEAH, ABSOLUTELY.
ANY MORE QUESTIONS, COMMENTS, MR. BARRIOS? THANK YOU, MAYOR.
UM, I WAS TRYING TO FIND THE SLIDE IN WHICH, GOING BACK TO THE WATER, SORRY GUYS, THE, THERE WAS A SLIDE THAT TALKED ABOUT THE INCREASE OF THE WATER, AND IT WASN'T, I KNOW WE'RE, WE'RE, IT'S BEING PROPOSED FOR A 3% INCREASE, BUT I BELIEVE THE WATER INCREASE WAS LIKE 11%.
IT WAS, OKAY, SO CAN YOU, WHAT'S THAT? CAN YOU, UM, YOU WERE, DAWN, SPEAK TO US AS FAR AS LIKE, OBVIOUSLY THERE'S A DIFFERENCE.
WE'RE WE'RE PASSING ON 3% INCREASE, BUT THERE WAS 11%.
HOW IS THAT ABSORBED? HOW DOES THAT AFFECT MAYBE NEXT YEARS OR WHERE'S THE DIFFERENCE THERE? RIGHT.
SO THE, AND HOW, HOW DO WE MANAGE THAT TO WHERE WE END UP WITH THE 3% VERSUS AN 11 OR 12%? RIGHT.
SO THE WHOLESALE WATER, UH, I THINK IT WHOLESALE WATER, AND THEN THE TWO NORTH TEXAS, UM, WASTEWATER COMPONENTS IS ONLY ABOUT 65% OF THE TOTAL FUND.
THE, THE TOTAL EXPENDITURES IN THE WASTEWATER, I MEAN, IN THE, UH, WATER AND SEWER FUND.
THE REMAINDER IS THINGS LIKE INCREASES OR IT'S ACTUALLY COVER OUR, OUR, OUR SALARIES FOR OUR CITY STAFF.
IT'S OUR OWN INFRASTRUCTURE, UM, UH, IMPROVEMENTS, PAYGO THAT WE DO IN OUR DISTRIBUTION SYSTEM, FOR INSTANCE, OR THE COLLECTION SYSTEM.
UH, IT'S THE CAPITAL, UM, PROJECTS THAT WE DO AND THE DEBT SERVICE THAT COMES OUT OF THE FUND.
AND SO IT'S NOT A DIRECT PASS THROUGH.
UM, WE'RE ABLE TO, UM, WE'RE ABLE TO KIND OF NEGATE, IF YOU WILL, THE WHOLESALE RATE.
UM, A LOT OF IT HAS TO DO WITH HOW MUCH WATER WE'RE, WE'RE WE'LL END UP SELLING.
THAT'S WHY SOMETIMES THE WATER FUND HAS BIG, BIG SWINGS IN TERMS OF, UH, YEAR END REVENUE.
I MEAN, IF IT'S A REALLY, REALLY DRY, REALLY, REALLY HOT YEAR, UM, YOU'LL SEE US COME IN WITH MORE REVENUE THAN WE ANTICIPATED, AND VICE VERSA, IF IT'S A, YOU KNOW, IF IT'S A WET AND, AND COOL YEAR.
BUT, UM, THE, THE, UH, THE FIGURES THAT YOU'LL SEE FROM THE WHOLESALE SIDE IS JUST A ONE COMPONENT OF A VARIETY OF COMPONENTS THAT GO INTO US, UM, DECIDING ON OUR RETAIL RATE.
THAT ANSWER YOUR QUESTION? YES, IT DOES.
SO JUST REAL QUICK, I KNOW YOU SAID, DOES ANYONE HAVE ANY THOUGHTS, BUT I KNOW WE ALSO HAVE LIKE 10 MORE SLIDES ON HERE.
IF I DEFINITELY HAVE SORT OF FINAL OPINIONS ON THE BUDGET.
IT COULD BE ON ANYTHING WE TALK ABOUT LAST NIGHT OR TONIGHT OR, OR EVEN KIND OF THE, UH, SOME OF THE FINAL THOUGHTS HERE.
I'LL WAIT TILL THE, TILL THE END OF THE PRESENT.
I'M GONNA, I'M GONNA JUST GO AHEAD AND, AND FLASH THIS.
THIS IS WHAT WE'VE KIND OF, THIS IS JUST A SUMMARY OF EVERYTHING THAT WE'VE GONE THROUGH HERE.
THERE'S NOTHING NEW ON THIS SLIDE THAT YOU HAVEN'T SEEN.
UM, THIS IS THE TOTALITY OF, UH, IF YOU, IF WE, IF THERE IS A TYPICAL TAXPAYER, UH, THIS IS THE IMPACT STATEMENT THAT WE LIKE TO SHARE WITH YOU EVERY, EVERY YEAR.
UM, SO YOU CAN SEE ABOUT $125 IMPACT, UH, ABOUT $70.
AND, AND IN THE CITY PORTION OF THE PROPERTY TAXES, THE WATER CHARGES AND SEWER CHARGES THAT WE MENTIONED, UH, NO DRAINAGE FEE, UH, UH, UH, CHANGED THIS YEAR.
AND THEN THE, UH, $12 A MONTH FOR A SENIOR, OBVIOUSLY WITH SOME OF THE DISCOUNTS THAT ARE AVAILABLE TO THEM, THAT WOULD BE A LITTLE LESS, UH, BUT $125, UH, UH, A YEAR TO YEAR, UH, INCREASE.
UM, I WANNA JUST, UH, PLAY BACK, UH, FOR YOU KIND OF WHAT I'VE, WHAT I AND OUR TEAM TOOK OUT OF, UH, KIND OF THE BRIEFINGS, UH, THE DEEP DIVES, THE BRIEFINGS, UM, UM, ALL OF THE, UH, UM, UM, INFORMATION THAT WE'VE SHARED AND THAT YOU'VE REFLECTED ON, UH, JUST TO KIND OF MAKE SURE THAT WE, AS WE HEAD INTO THIS NEXT TWO WEEKS, AND WE WOULD START TO REALLY REFINE, UM, THE BUDGET TO, FOR ME TO FILE.
SO THANK YOU FOR THE CONFIRMATION LAST NIGHT THAT THAT, UM, RECRUITMENT AND RETENTION IS A HIGH PRIORITY FOR YOU.
UM, YOU KNOW, I HEARD THAT IF IT'S POSSIBLE AND WE DON'T HAVE TO SACRIFICE A LOT OF THE OTHER INVESTMENT THAT WE COVERED, THAT YOU WOULD BE FOR A 6% VERSUS A 5%, AND EVEN A LITTLE STRONGER, MAYBE LONGEVITY, PARTICULARLY GIVEN THE OVERALL, THE, THE REALLY LIGHT IMPACT THAT, UH, THAT WOULD HAVE.
BUT, UM, THOSE ARE BOTH VERY MUCH APPRECIATED.
YOU KNOW, I THINK IN FUTURE YEARS, WE'LL BE LOOKING AT THE POSSIBILITY OF ADDING AN ADDITIONAL HOLIDAY THAT 11TH HOLIDAY TO MAKE US A LITTLE BIT, UM, MORE COMPETITIVE.
BUT AT THIS POINT IN TIME, UM, UM, UM, I THINK ADDING TWO HOLIDAYS NEXT YEAR MIGHT OVER COMPLICATE THINGS.
I THINK IT WOULD BE EASIER TO SMOOTH IN.
BUT WE APPRECIATE THAT FEEDBACK.
AND THEN, UM, YOU KNOW, COUNCILMAN BARRIOS TO YOUR, UH, COMMENTS, YOU KNOW, UM, I, WE FEEL VERY EMPOWERED AND ENCOURAGED TO EXPLORE ADDITIONAL KIND OF INNOVATIVE IDEAS, MAYBE OUTTA THE BOX AS YOU MENTIONED, TO REALLY, UH, HELP WITH THE RECRUITMENT OR INTENTION.
SO, UM, THAT'S REALLY KIND OF WHAT WE HEARD.
OBVIOUSLY INFRASTRUCTURE WE KNOW TO YOU IS A, IS A CONTINUED PRIORITY.
[01:10:01]
FIND ADDITIONAL WAYS, NOT ONLY, UH, TO GROW OUR INVESTMENTS TO, TO LE LEVERAGE OTHER PEOPLE'S MONEY LIKE WE HAVE D DONE, UH, RECENTLY AND REALLY, UM, CONTINUE TO, UH, FIGHT BACK THE BEST WE CAN, THE INFLATIONARY PRESSURES THAT WE'RE SEEING ON THESE PROJECTS SO THAT WE CAN CONTINUE TO AT LEAST DO AS MUCH AS WE'VE DONE IN THE PAST.I MEAN, THAT'S SOMETHING THAT WE CAN'T LOSE GROUND.
UM, YOU KNOW, IT'S ONE TIME PEOPLE SAY, WELL, YOU'RE CATCHING UP AND IT'S KIND OF LIKE WE WERE, AND, UM, BUT NOW IT FEELS LIKE WE'RE JUST KIND OF TREADING WATER A LITTLE, AND I DON'T WANNA START LOSING GROUND BECAUSE THE PROJECTS COST SO MUCH MORE THAN THEY DID JUST THREE OR FOUR YEARS AGO.
SO, UM, THAT INFLATIONARY PRESSURE, WE'VE GOTTA FIND A WAY TO KEEP CURRENT WITH THAT.
AND THEN OUR EQUIPMENT REPLACEMENT SCHEDULES IMPORTANTLY AS WELL, PARTICULARLY FOR PUBLIC SAFETY.
UM, BUT, UH, AS WE SEE THE IMPORTANCE IN SOLID WASTE AND THINGS LIKE WATER AND WASTEWATER, UM, THANK YOU FOR YOUR SUPPORT OF THE ORGANIZATIONAL CHANGES.
I DO BELIEVE THAT THESE ARE VERY PRUDENT THINGS THAT WE NEED TO DO.
UM, I, I, I VERY MUCH BELIEVE THAT THEY'LL STRENGTHEN OUR ACCOUNTING, UM, CAPACITY AND OUR, OUR RESILIENCY.
AND THAT'S WHAT WE NEED TO DO TO BE RESPONSIVE TO WHAT WE HEARD FROM CROW A FEW WEEKS AGO.
AND THEN ON THE ENGINEERING SIDE, UM, IF WE'RE GONNA SUCCESSFULLY PULL OFF A $500 MILLION CAPITAL PROGRAM OVER THE NEXT FIVE YEARS, WE WOULD NEED TO LET THE ENGINEERING PROFESSIONALS FOCUS ON THAT.
AND WE NEED TO TAKE, UH, THE FACILITIES AND, AND THE CUSTODIAL SERVICES AND PUT THAT IN A, IN A MORE APPROPRIATE PLACE.
UM, UH, WE HEARD WE WERE GONNA CONTINUE TO MONITOR THE SALES TAX.
UM, WE, UM, WE ARE, UH, CAUTIOUS, UM, UH, ON THAT ONLY BECAUSE OF SOME OF THE OTHER, UH, FACTORS, THE ECONOMIC FACTORS THAT I MENTIONED WHEN I FIRST STARTED LAST NIGHT.
BUT, UH, WE HEAR THAT LOUD AND CLEAR, AND WE WANT TO MAKE SURE THAT OUR, UH, IF, IF IT'S PRUDENT AND, AND IT'S, IT'S APPROPRIATE THAT WE DO ADJUST OUR ESTIMATE METHODOLOGY AND, UH, WE'LL BE, WE'LL BE ABOUT THAT.
THE FEE CONVERSATION WE JUST HAVE.
UM, I REALLY APPRECIATE, UM, YOUR OPENNESS TO CONSIDER, UM, THESE FEES EACH AND EVERY YEAR.
NOT THAT WE HAVE TO CHANGE A FEE EACH AND EVERY YEAR, BUT WITH INFLATIONARY PRESSURES THAT WE'RE SEEING, TAKING THE SOLID WASTE FUND, UM, UM, YOU KNOW, THE, THE DOLLAR TO A RESIDENT OR $12, OR, YOU KNOW, $9 TO A SENIOR.
UM, IF WE'RE, IF WE'RE DILIGENT ABOUT THAT AND WE DON'T LET THAT, UM, UM, UM, I GUESS KIND OF, UH, PASS US, BECAUSE WE'RE NOT WILLING TO AT LEAST HAVE THOSE DISCUSSIONS, UM, THAT THE, THOSE DELTAS GROW.
AND THEN THE IMPACT HAS TO BE MORE CONSEQUENTIAL.
THE CHANGES HAVE TO BE MORE CONSEQUENTIAL.
AND SO I THINK BY LOOKING AT THOSE ANNUALLY, WE'RE COMMITTED TO THAT.
AND THEN, UM, I THINK THE LAST THING IS, AND, AND, AND, UH, COUNCILWOMAN JUSTICE, THANK YOU AGAIN FOR, UH, RE REAFFIRMING THIS IS THAT, YOU KNOW, THE ROBUST SENIOR EXEMPTION THAT WE, UH, STRATEGY THAT WE HAVE, PARTICULARLY SINCE IT DOES HELP THOSE THAT PROBABLY NEED IT MORE, UM, THAN A CEILING STRATEGY MIGHT, UM, OR OTHER STRATEGIES WE'RE GONNA, UH, MOVE FORWARD, UH, FILING THIS BUDGET WITH THAT MENTALITY, THAT THAT IS THE BEST, UM, WAY TO MOVE FORWARD.
I DO WANNA TALK TO YOU ABOUT THE TAX RATE.
UM, UH, WE TALKED ABOUT THIS BRIEFLY LAST NIGHT.
SO AS YOU VERY WELL KNOW THE TAX RATE SPLIT INTO TWO, WE'VE GOT THE, THE OPERATIONS, THE MAINTENANCE AND OPERATIONS PORTION, AND THAT, THAT THOSE FUNDS GO RIGHT INTO THE GENERAL FUND FOR GENERAL SPENDING.
UM, AND THEN WE HAVE THE DEBT RATE AND THAT GOES, THAT'S TRANSFERRED OUT INTO A DEBT SERVICE ACCOUNT.
AND THAT'S HOW WE'RE ABLE TO DO BOND PROGRAMS AND COS AND THINGS OF THAT NATURE.
UM, FOR THOSE OF YOU THAT ARE NEW, THERE'S, UH, SOME TERMINOLOGY WE DIDN'T COME UP WITH IT.
UM, BUT THERE'S A, A NO NEW REVENUE RATE.
AND IT'S VERY SIMPLY, UM, THE RATE THAT YOU WOULD ADOPT THAT WOULD ESSENTIALLY GENERATE NO NEW REVENUE OVER THE PRIOR YEAR.
AND SO IF YOU HAD AN INCREASE IN APPRAISED VALUES, YOU WOULD LOWER THE TAX RATE SO THAT IN THE END, OUR BOTTOM LINE DIDN'T CHANGE WHEN IT CAME, COMES TO THE NEW REVENUE, UM, THAT WE WOULD, UM, THAT WE WOULD RAISE.
SOME CITIES CAN DO THAT BECAUSE THEY HAVE AN INORDINATE AMOUNT OF GROWTH RIGHT NOW, AND THE GROWTH DOESN'T COUNT AGAINST THAT RATE.
AND SO THAT'S HOW THEY'RE ABLE TO STILL ADOPT A RATE LIKE THAT.
YOU'RE NOT, YOU DON'T, YOU WILL NOT SEE VERY MANY ENTERING SUBURBS DO THAT, UM, BECAUSE IT'S NOT VERY, UM, SUSTAINABLE.
UM, THE VOTER APPROVAL RATE IS THAT YOU SEE HERE, THE HIGHEST RATE THAT YOU CAN ADOPT WITHOUT, UM, TAKING IT TO, UM, THE, UH, VOTERS.
THIS IS KIND OF USED TO BE CALLED THE ROLLBACK RATE.
IF YOU REMEMBER, IT'S 8% NOW IT'S 3.5%, 3.5%.
THAT'S REALLY THE SB TWO, YOU KNOW, IMPACT.
AND, UH, AND THEN THE ADJUSTER VOTER APPROVAL RATE IS WHAT I WANNA VISIT WITH YOU ABOUT JUST FOR A SECOND.
THE ADJUSTER VOTER APPROVAL RATE INCLUDES WHAT WE COMMONLY REFER THIS UNUSED INCREMENT RATE.
AND YOU CAN SEE HERE THE UNUSED INCREMENT RATE IS THAT VOTER APPROVAL RATE.
THAT WOULD BE THE THREE POINT A HALF PERCENT OR, UH, THREE POINT A 5%.
AND THEN WHAT IS THE ACTUAL ADOPTED RATE? THE DELTA BETWEEN THOSE TWO.
AND YOU MAY SAY, WELL, WHY WOULD YOU ADOPT LESS THAN THREE POINT A HALF PERCENT IF YOU COULD HAVE THE THREE POINT A HALF PERCENT? AND THAT'S BECAUSE THE INITIAL, UM, CERTIFIED ROLES THAT WE DON'T, THAT WE GET, AS BOB MENTIONED, I THINK LAST NIGHT, UM, THE COM IT DOESN'T GO BACK TO THE CERTIFIED ROLE.
IT GOES BACK TO THE SUPPLEMENTAL ROLE.
SO IF THE SUPPLEMENTAL ROLES ARE REDUCED FOR SOME REASON, THEN THAT'S HOW YOU GET THE INCREMENT.
YOU, THAT'S HOW YOU GET THE GAP.
UM, SB TWO SAYS THAT YOU CAN ALLOW THREE YEARS OF INCREMENT TO, TO,
[01:15:01]
TO ACCUMULATE.SO YOU CAN KIND OF GO BACK AND TAKE A THREE YEAR VIEW OF THAT INCREMENT AND YOU CAN KIND OF TOTAL IT UP.
AND THAT BECOMES WHAT'S A AVAIL AVAILABLE TO YOU IN THAT FOURTH YEAR.
UM, IT ALSO SAYS THAT IF YOU'RE USING THAT INCREMENT, THAT YOU DON'T HAVE TO GO TO THE VOTERS FOR APPROVAL IF YOU EXCEED, UM, IF YOU EXCEED THE, UH, VOTER APPROVAL RATE.
SO JUST AS A LITTLE BIT OF AN EXAMPLE HERE, THIS IS OUR SITUATION AS IT STANDS TODAY.
SO YOU SEE OVER ON THE LEFT SIDE, THE VOTER APPROVAL RATE WAS THAT 6, 6, 6, 9, 7 NUMBER.
UH, THE ADOPTED RATE WAS THE 6 2 5 1 6.
AND YOU MIGHT SAY, WELL, WHY IN THE WORLD WOULD YOU EVER MISS IT THAT BADLY? WELL, REMEMBER, THIS WAS THE COVID YEAR, THIS WAS THE YEAR THAT DALLAS COUNTY WAS NOT ABLE TO PROVIDE US WITH A CERTIFIED TAX ROLE AS WE WERE GOING TO, UH, MOVE TOWARD BUDGET ADOPTION.
SO THERE WAS AN AWFUL, AWFUL LOT OF ASSUMPTIONS.
YOU SEE THAT NETTED THAT POINT, UH, THAT, UH, UH, 0.04181 INCREMENT BECAUSE OF THE BIG DELTA THE FOLLOWING YEAR, MUCH MORE IN LINE WITH WHAT WE'RE GONNA SEE MOVING FORWARD, IF WE SEE ANY INCREMENT, BUT MUCH MORE IN LINE WITH WHAT YOU'LL LIKELY SEE.
THE SUPPLEMENTAL TAX ROLL CAME IN AND THERE WAS SOME TWEAKING THAT HAPPENED.
SO WE, WE DID STAY BELOW THE, UH, VOTER APPROVAL RATE BY THAT 0.069 NUMBER.
AND THEN THIS YEAR WE'RE NOT ANTICIPATING ANY.
SO THE INCREMENT THAT WE HAVE AVAILABLE TO US TODAY IS THAT, THAT 0.048, UH, FOUR, UH, I'M SORRY, POINT 0.0 4 8, 4 0, UM, THE PORTION OF THAT, THAT, THAT WAS, UH, FROM THAT INITIAL YEAR, THE D AD YEAR, UM, THAT WAS SO, SO POTENT THAT FY 2021, THAT WILL DROP OFF THIS YEAR.
'CAUSE IF YOU GO BACK TO THIS CHART, YOU'LL SEE AS WE MOVE TO THE NEXT YEAR, THAT, THAT THAT LEFT COLUMN WILL DROP OFF AND IS NOT AVAILABLE TO US, AND WE'LL NEVER BE AVAILABLE TO US.
SO AGAIN, NOW YOU CAN, YOU CAN SAY TO YOURSELF, LIKE, IF WE HADN'T HAD THE PANDEMIC AND IF DALLAS COUNTY WOULD'VE BEEN ABLE TO GET IN, UM, THE, UH, THE CERTIFIED ROLE AT THAT TIME, WOULD WE HAVE DONE SOMETHING DIFFERENT? WE LIKELY WOULD'VE ADOPTED A HIGHER RATE, UH, THAT YEAR.
UM, EVEN IF YOU WOULD'VE REDUCED THE TAX RATE, THERE WAS A LOT OF ROOM THERE.
YOU COULD'VE, YOU COULD'VE REDUCED THE TAX RATE AND STILL ADOPTED A MUCH HIGHER RATE THAN WE ACTUALLY ADOPTED.
RIGHT? SO, UM, WHAT I WANT TO SHARE WITH YOU IS THAT MY STRATEGY MOVING FORWARD, GIVEN THESE OTHER PRIORITIES THAT HAVE BEEN BEEN IDENTIFIED BY THE COUNCIL THAT ARE NOT CURRENTLY IN THE BASE BUDGET, UM, DEPENDING ON THE, THE FINAL CERTIFIED VALUES, I PLAN TO FILE A BUDGET THAT WILL USE SOME PORTION OF THE INCREMENT, BUT IT WILL NOT USE A PORTION OF THE INCREMENT THAT WOULD REQUIRE US TO CHANGE THE TAX RATE HIGHER IN ANY WAY.
IT, THAT THE MAXIMUM THAT I WOULD SUGGEST WOULD BE WHATEVER WAS AVAILABLE TO US, TO ONE, FIRST AND FOREMOST, BE RESPONSIVE TO YOUR PRIORITIES, NOT JUST USE THE FUNDING JUST BECAUSE IT'S AVAILABLE.
I WILL TIE IT OFF TO THINGS THAT YOU'VE TOLD ME ARE NOT IN THE BASE BUDGET THAT WE WOULD LIKE TO SEE MORE OF, BUT I WILL NOT PROPOSE EXCEEDING THE CURRENT TAX RATE.
SO JUST AS AN EXAMPLE HERE, LET'S JUST SAY TOTAL EXAMPLE, RIGHT? SO LET'S SAY THE VOTER APPROVAL RATE COMES IN AT 2 CENTS LESS THAN WHAT IT IS TODAY.
WELL, WE COULD USE 2 CENTS OF THE PLUS 4 CENTS INCREMENT, KEEP THE TAX RATE THE SAME, AND THEN HAVE BE, BE ABLE TO RECAPTURE THAT REVENUE THAT WE LOST A COUPLE YEARS AGO BECAUSE OF THE, UH, YOU KNOW, THE, THE, THE INFORMATION THAT WASN'T AVAILABLE AT THAT TIME FOR THE CERTIFIED, UH, TAX ROLL.
AND, AND, AND WE, WE, WE ADOPTED SUCH A LOWER RATE.
I'M GONNA SUGGEST TO YOU THAT YOU, UM, WHEN YOU CALL THE PUBLIC HEARING IN A FEW, UH, WEEKS ON THE TAX RATE THAT YOU USE, THE EXISTING TAX RATE, REMEMBER THERE'S TWO COMPONENTS.
THE DEBT SIDE WILL BE LOCKED IN.
BUT EVEN BY, BY CALLING THIS EXISTING RATE, IT STILL GIVES YOU THE GREATEST FLEXIBILITY BECAUSE YOU CAN GO DOWN, YOU CAN'T GO UP.
AND I WOULD NOT PROPOSE TO YOU, I WOULD NOT HAVE A BUDGET SUBMITTED THAT WOULD ASK YOU TO GO UP, BUT YOU COULD ALWAYS STILL GO DOWN AND WE CAN HAVE THOSE CONVERSATIONS AND WE CAN TALK ABOUT THAT.
UM, KENT'S TELLING ME IT'S PROBABLY ANOTHER 10 DAYS OR SO, UH, BEFORE WE CAN REALLY WORK, TAKE THE TWO ROLES, COMBINE 'EM LIKE WE DO, DO ALL THE, THE MAGIC THAT THEY WORK ON THE, ON THE FORMS, AND THEN HAVE SOME, YOU KNOW, HAVE A GOOD SENSE.
AND SO, UM, WHAT I ALL THIS IS LEADING TO THE NEXT STEPS, WHICH IS TO SAY, UM, I I, I, MY RECOMMENDATION TO YOU IS TO, UM, WHEN YOU ADOPT THE TAX RATE, TO ADOPT THE, THE EXISTING RATE, KNOWING THAT THE DEBT PORTION WILL BE LOCKED IN.
BUT THAT WILL BE WHAT WE NEED FROM A DEBT SERVICES STANDPOINT, REGARDLESS OF WHAT WE DO ON THE O AND M SIDE.
WHAT WE DO ON THE O AND M SIDE WILL LARGELY BE DICTATED BY WHAT ARE THE FINAL, HOW, HOW MUCH OF A INCREASES DO WE HAVE ON THE, ON THE, ON THE FINAL CERTIFIED ROLES ONCE ALL THE NUMBERS ARE WORKED OUT.
AND ULTIMATELY, HOW CAN I BE MOST RESPONSIVE TO YOUR PRIORITIES? AND WHAT WILL THAT, WHAT WILL THOSE, UH, DOLLARS NEED? UM, BEYOND THAT, YOU SEE HERE, I'M GONNA FILE ON THE 11TH, YOU'LL RECEIVE YOUR COPY.
I'LL MAKE MY BUDGET PRESENTATION TO YOU, UM, UM, ON THE 21ST.
AND, UM, ONE OF THESE DATES ARE OFF
I'M SORRY, IT'S THE, UM, I'M SORRY, WHAT, WHICH ONE IS? IT'S THE 14TH.
UM, THIS, YES, THE CITY MANAGER'S PRESENTATION WILL BE ON MONDAY THE 14TH.
THE PUBLIC HEARING ON THE TAX RATE WILL BE ON THE 21ST, AND THEN THE
[01:20:01]
PUBLIC HEARING ON THE BUDGET WILL BE ON THE 20TH.UM, WE'LL GET THAT, WE'LL CORRECT THAT BEFORE IT GETS OUT ON, ON ONLINE THERE.
SO IT'S JUST TO REITERATE, IT'S FRIDAY THE 11TH.
I'LL, I'LL FILE AND DELIVER YOU THE BUDGET ON MONDAY.
I WILL PRESENT THE BUDGET PUBLICLY AND THEN ON THE 21ST, NOT THE 24TH, BUT WE'LL HAVE THE PUBLIC HEARING ON THE TAX RATE.
UM, SO MAYOR, THAT'S ALL I HAVE.
UM, WE STAND BY TO, UH, TAKE ANY ADDITIONAL FEEDBACK OR ANSWER ANY QUESTIONS YOU MAY HAVE.
AND, UH, I JUST WANNA SAY THANK YOU ON BEHALF OF OUR WHOLE TEAM.
THANK YOU FOR, UM, THE GREAT DIALOGUE AND, AND, UH, AND THE FEEDBACK.
WELL, THANK YOU TEAM, EVERYONE.
UH, Y'ALL HAVE DONE A FABULOUS JOB OF BRINGING US THE NUMBERS, SHOWING US WHAT YOU RECOMMEND, WHAT YOU THINK IS, UH, MANAGEABLE.
AND I THINK THE WORK IS EVIDENT, A LOT OF WORK WITH INTO IT.
SO JUST LET COUNCIL ASK YOU SOME QUESTIONS.
I JUST WANNA GO BACK TO THE, THE PROPERTY TAX RATE.
YOU HAVE TO SORT OF BE JUST A WILD EXPERT TO UNDERSTAND ALL THE INCRE INCREMENTS.
SO FOR AN AVERAGE PERSON LIKE ME, LIKE THAT HAS NO IDEA HOW, HOW THESE FORMULAS WORK.
WHEN I GET MY TAX BILL, IT DOESN'T, THESE INCREMENTS ARE SO CONFUSING TO PEOPLE.
SO LIKE HOW, HOW IT'S NOT GONNA CHANGE WHAT MY TAX BILL IS.
OBVIOUSLY YOUR PROPERTY VALUE WENT UP, THE TAX RATE DOESN'T CHANGE.
YOU MAY PAY SLIGHTLY MORE IN PROPERTY TAX, BUT CAN, CAN WE FIGURE OUT A WAY TO COMMUNICATE THIS TO PEOPLE? WHY USE THE INCREMENT? WHY NOT JUST, YOU KNOW, LEAVE THE PROPERTY TAX RATE THE WAY, WHY ARE WE DOING THAT? RIGHT? SO, UM, ABSOLUTELY CAN, CAN, CAN DEMONSTRATE THAT, UM, THE PROPERTY TAX, THE PROPERTY TAX RATE WILL NOT DEFINITELY NOT GO UP.
IT MAY ALSO STILL GO DOWN, RIGHT? THAT'S TO BE DETERMINED BASED ON THE ROBUSTNESS OF THE GROWTH AND, AND THE AV.
UM, WE, WE, IT IS A VERY DIFFICULT THING TO EXPLAIN.
UM, IT'S GONNA BE COMPLICATED BY THE REQUIRED LANGUAGE THAT WE HAVE TO USE.
I MEAN, JUST HONESTLY, IT'S GONNA BE, IT'S GONNA BE VERY COMPLICATED BY THE LANGUAGE THAT THE STATE WILL REQUIRE US TO USE WHEN WE POST THIS.
AND SO, UM, WE WILL GIVE A LOT OF, WE HAVE ACTUALLY, WE, CHARLES HAS GOT A, A, A DIFFERENT VARIATION THAN THE PENNIES THAT WE'VE, WE'VE TALKED ABOUT USING, UH, IT'S, IT'S, I THINK IT'S PROBABLY BEST COMMUNICATED GRAPHICALLY MM-HMM.
WE MISSED THE MARK PRETTY GOOD.
I MEAN, 4 CENTS IS A BIG, A BIG MISS, RIGHT? WE MISSED THE MARK PRETTY GOOD.
SO ALL WE ARE DOING, UH, NOW IS SAYING THAT IF, BECAUSE OF THE GROWTH THIS YEAR, UH, WE WOULD OTHERWISE HAVE TO REDUCE THE TAX RATE SO THAT WE DON'T EXCEED THE VOTER APPROVAL RATE THAT WE ARE, WE WOULD GO BACK AND WE WOULD RECAPTURE SOME OF WHAT WE LOST TWO YEARS AGO.
AND SO WE WILL TAKE THAT AS AWESOME HOMEWORK
YOU KNOW, OTHERWISE IT FEELS LIKE WE'RE IT'S MONOPOLY MONEY AND WHY, LIKE, IT'S NOT REALLY AFFECTING MY BOTTOM LINE, BUT YOU HAVE ALL THESE PENNIES.
BUT WHAT YOU JUST SAID MAKES SENSE.
LIKE IF WE, WE WOULD HAVE TO DROP OUR PROPERTY TAX RATE SO LOW THAT THEN BECAUSE OF THE THREE AND A HALF PERCENT.
SO THIS, I THINK THAT THE WAY THAT YOU JUST EXPLAINED THAT MAKES SENSE.
BUT OTHERWISE IT REALLY FEELS LIKE, I THINK IT'S VERY COMPLICATED.
WE WILL, WE WILL, WE WILL, UM, AS A MATTER OF FACT, WATCH THIS VIDEO BACK.
WELL, I'LL TELL YOU WHAT, WHAT I'D LIKE TO, WHAT I'D LIKE TO COMMIT TO DOING IS WHEN I PRESENT THE BUDGET ON THE 11TH, I WILL, I WILL HAVE A SLIDE OR TWO IN THERE WITH HOW I THINK WE CAN, UM, DO OUR VERY BEST TO NORMALIZE THIS AND MAKE IT AS UNDERSTANDABLE AS POSSIBLE.
'CAUSE IT IS, IT IS, CAN BE VERY CONFUSING.
I'LL JUST FOLLOW UP AND SAY, I THINK IT'S BEEN A REALLY FANTASTIC BUDGET PRESENTATION.
UH, I'VE SAID IT BEFORE, I'LL SAY IT AGAIN.
THANK YOU TO KEITH AND EVERYONE ON HIS TEAM FOR THE PROPERTY TAX, THE SENIOR EXEMPTION WORK.
I KNOW THAT THAT WAS A LOT TO COMPARE 10 YEARS AND SORT OF FIGURE OUT HOW THAT, THAT WORKED.
UM, SO I APPRECIATE ALL THE WORK THAT WENT INTO IT.
UM, NOBODY LIKES FEES, UH, GOING UP, BUT, UM, I THINK WE'VE HEARD A LOT ABOUT WATER AND SEWER AND INFRASTRUCTURE AND, YOU KNOW, I APPRECIATE WHY WE NEED TO DO IT.
UM, AND THAT I APPRECIATE THAT YOU'RE CONSCIOUS OF THE FACT THAT IT'S HITTING PEOPLE'S BOTTOM LINE.
UM, AND TO THE EXTENT WE CAN, LET'S EDUCATE SENIORS ON THE, YOU KNOW, I THINK IT, IS IT AN AUTOMATIC EXEMPTION THAT THEY GET ON THEIR WATER OR DO YOU HAVE TO APPLY FOR IT? THE 26% DISCOUNT? OH, THE, THE DISCOUNT.
UH, WE DO REQUIRE APPLICATION JUST SO WE AGAIN, GET PROOF OF AGE.
SO I MEAN, I THINK LET'S FIGURE OUT A WAY TO EDUCATE FOLKS ON THAT BECAUSE THAT, THAT COULD BE, YOU KNOW, A BIG DEAL FOR, FOR SOMEONE WHO'S ON A FIXED INCOME.
UM, BUT I THINK OVERALL IT'S A REALLY GREAT BUDGET.
I THINK THAT YOU'VE DONE A REALLY GOOD JOB.
UH, I KNOW YOU'VE PUT A LOT OF WORK INTO IT.
THAT, THAT'S ALL I HAVE FOR NOW.
HEY, UH, THANK YOU MAYOR DUBY.
[01:25:01]
YEAH, I JUST, I'LL HAVE TO ECHO AND, UM, AND AGREE, THANK YOU GUYS FOR ALL THE BUDGET WORK THAT YOU'VE DONE GETTING ALL THIS TOGETHER, ESPECIALLY WITH THE UNCERTAINTY COMING OUT OF, UH, STATE LEGISLATIVE YEAR.AND, UM, AND HONESTLY COMING OUT OF THE IMPACTS OF COVID, I'M NOT GONNA SAY COVID IS OVER, BUT COMING OUT OF THE ECONOMIC IMPACTS, IT'S DEFINITELY, UH, IT'S A LOT LESS LOOKING INTO A CRYSTAL BALL, BUT CERTAINLY IT'S A LOT MORE WORK AS WELL.
UM, JUST TRYING TO SEE WHAT'S GONNA GROW.
SO I APPRECIATE YOU GUYS FOCUSING ON THE BASICS.
I REALLY APPRECIATE THE IMMEDIATE RESPONSE STAFFING WISE TO THE CROW FINDINGS FOR SURE.
AND, UM, I JUST WANT TO ENCOURAGE Y'ALL AS WELL, KEEPING AHEAD OF INFLATION DOESN'T NECESSARILY MEAN JUST TAKING OUT SUBSTANTIALLY MORE DEBT.
THERE'S I'M SURE A LOT OF OTHER WAYS TO DO THAT, RIGHT? WITH HOW WE LOOK AT PROJECTS AND STAFFING.
AND I APPRECIATE Y'ALL PRESENTING THOSE TO US.
UM, AND I ALSO APPRECIATE, UH, YOU GUYS TAKING MY CONCERN YESTERDAY ABOUT BUDGETING TOO CONSERVATIVELY WITH SALES TAX.
BUT I JUST, I ALSO WANT TO EMPHASIZE THAT, UM, I UNDERSTAND THAT THAT ALMOST IMMEDIATELY KIND OF GOES INTO BETTING ON WHAT THE FUTURE LOOKS LIKE AND WHAT OTHER PEOPLE ARE DOING.
AND SO DON'T, UM, IF IT DOESN'T MAKE SENSE, I WANT TO ENCOURAGE YOU NOT TO, YOU KNOW, NOT TO DO THAT, RIGHT? AND NOT TO NOT TO INCREASE THAT.
UM, I'M MIGHT HAVE SOME FOLLOW UP QUESTIONS AS FAR AS WHY CERTAIN, THE WHY BEHIND WHY CERTAINLY ITEMS ARE UP OR DOWN MM-HMM.
SO I'LL, I'LL FOLLOW UP WITH THEM AS I KIND OF FIND THEM AND LOOK OVER EVERYTHING, JUST SO I UNDERSTAND WHAT TRENDS ARE.
BUT, UM, AGAIN, DOESN'T IMPACT MY SUPPORT OF VOTING FOR THE BUDGET.
WELL, THANK YOU FOR GIVING THIS, UH, ALL THIS HOURS PATIENTLY, UH, ANSWERING THE QUESTIONS, UH, PATIENTLY.
UH, BUT, UH, THERE ARE A FEW THINGS THAT I THINK, YOU KNOW, MAKES ME A LITTLE NERVOUS MOVING FORWARD BECAUSE IT'S NOT THE BUDGET THAT PRESENTED.
IT'S LIKE THE WAY THINGS ARE MOVING, UH, LIKE THE INFLATION, UH, ALL THOSE CONSTRUCTION INFLATION, I THINK THAT'S NOT REALLY SUSTAINABLE, UH, LONG TERM.
BUT, UH, I DON'T KNOW WHAT ELSE WE CAN DO.
IT'S NOT JUST OUR PROBLEM HERE.
IT'S PROBLEM, YOU KNOW, NATIONWIDE.
UH, SO NOW THE OTHER THING IS THAT THE LATE FEES, HOPEFULLY IF SOMEONE IS LISTENING, IF WE CAN, UH, PROMOTE SOMETHING THAT, YOU KNOW, TO PAY QUICKLY SO THAT THEY DON'T GET PAID LATE, YOU KNOW, THEY DON'T HAVE TO PAY THE LEAD FEE EVEN THOUGH THERE'S A MILLION DOLLAR LESS FOR THE BUDGET.
BUT I, I WOULD FEEL MORE COMFORTABLE IF THERE IS NO LEAD FEE, UH, BECAUSE THAT'S SOMETHING THAT, YOU KNOW, UH, SHOULD NOT HAPPEN.
PEOPLE, YOU KNOW, PROBABLY PEOPLE FORGET THINGS, BUT, YOU KNOW, OTHER THAN REMINDING, UH, NOT REALLY.
WE CAN DO ANYTHING ABOUT THAT.
UH, AND NOW THE OTHER THING IS COLLECTION THE SOLID WASTE COLLECTION, UH, TWICE A WEEK.
UH, BUT I THINK FOR LONG TERM WE NEED TO FIND ALTERNATE WAY OF DOING IT.
UH, UH, I DON'T KNOW WHAT SOLUTION THERE, BUT, UH, I THINK THE SAME THING.
THIS IS A PROBLEM THAT IF WE DON'T, IF WE CAN SOLVE IT TODAY, IT'S NOT GOING TO BE PROBABLY SUSTAINABLE IN THE FUTURE.
UH, SO THAT'S SOMETHING THAT WE NEED TO KEEP LOOKING WHAT ELSE WE CAN DO.
AND, UH, THE OTHER THING IS, UH, THE MAINTENANCE, THE REPAIR WATERLINE SEWER LINE.
UH, WE ALL TALK ABOUT THE PAVEMENT STREET, BUT SOMETIMES THE UNDERGROUND IS REALLY THE MOST PROBLEM BECAUSE THAT'S CAUSING THE SURFACE PROBLEM.
AND WE ARE LOSING MONEY THERE TOO.
UH, I DON'T KNOW THE COMPARISON THAT HOW MUCH WE'RE LOSING BECAUSE OF, YOU KNOW, LOSING WATER, UH, AND THEN GETTING THE RAINWATER IN THE SEWER SYSTEM.
I THINK THAT'S OVERFLOW THAT TRIGGERS E P A TO COME BACK AND SAY, YOU HAVE TO SPEND THIS TOO BECAUSE OF THIS OVERFLOW.
SO, UH, IT'S NOT JUST OUR PROBLEM, IT'S PROBLEM EVERYWHERE.
UH, SO, UH, I WOULD PROBABLY TRY TO SEE, YOU KNOW, IF WE CAN SPEND MORE MONEY ON FIXING THOSE PIPE, UH, BECAUSE LONG RUN PROBABLY WE CAN SAVE MONEY ON THAT.
BUT I DO UNDERSTAND THERE ARE OTHER PRIORITIES.
YOU HAVE TO SPEND MONEY ON OTHER PLACES, UH, BECAUSE THOSE BECOME MORE EMERGENCY.
SO, UH, IT'S A DIFFICULT CHOICE, BUT I SEE THAT YOU ALL ARE DOING REALLY GREAT JOB PRIORITIZING THINGS ACCORDINGLY, AND WE JUST DON'T HAVE THE MAGIC WAND.
UH, BUT IT'S A GOOD, GOOD BUDGET.
[01:30:01]
MR. MAYOR, DON, AND CITY STAFF.THANK YOU SO MUCH FOR THE WORK THAT HAS BEEN PUT INTO THIS.
UM, THERE ARE, THERE'S A LOT THAT GOES INTO THIS AND THERE'S, THERE'S A LOT OF COMPOUNDING FEES AND INCREASES IN COSTS.
AND WHILE I DO NOT, YOU KNOW, I I, IT WORRIES ME, UH, YOU KNOW, HOW LONG WE AS A CITY, AS A COMMUNITY, AND NOT JUST, AND I KNOW THIS ISN'T AN ONLY ISSUE HERE IN ES, BUT HOW LONG IT'S SUSTAINABLE AND WHAT THE FUTURE LOOKS LIKE, ESPECIALLY IS AS A STATE RESTRICTS AND, UM, PUTS THEIR HAND IN WHAT WE CAN AND CAN'T DO.
AND I THINK BACK WHEN I FIRST RAN IN 2019, I WAS KNOCK, I WAS KNOCKING DOORS AND THERE WAS A LADY WHOSE NAME I NO LONGER REMEMBER, BUT WHOSE FACE I'LL NEVER FORGET.
AND SHE'S LIVED IN RICHARDSON, 40 PLUS YEARS, SAME HOUSE.
AND I REMEMBER SHE CRIED WITH ME ON THE PORCH ONE DAY, 'CAUSE SHE WAS A WIDOW WHO HAD BEEN, UH, WIDOWED FOR A FEW YEARS AT THIS POINT.
AND, UM, SHE WAS STRUGGLING JUST TO KEEP THE LIGHT ON.
AND, AND IT WAS THE CONCERN THERE WAS REAL FOR HER.
AND, UM, I KNOW IN MY OWN FAMILY FOUR YEARS AGO, MY MOM MOVED IN WITH US BECAUSE, AND WE TAKE CARE OF HER.
I MEAN, IF YOU HAVE MET HER, UM, BECAUSE THOSE COSTS ARE REAL FOR, ESPECIALLY FOR OUR SENIOR POPULATION ON, ON FIXED INCOMES.
UM, SO FOR THOSE WATCHING, I KNOW, UH, I, I LOOK AT THIS SERIOUSLY AND I KNOW ALL MY COUNCIL MEMBERS.
I FEEL CONFIDENT THAT EVERY PERSON HERE DOES TOO.
AS A CITY STAFF, WE DON'T TAKE THIS LIGHTLY.
UM, I WISH I HAD A BETTER ANSWER.
I, I THINK, YOU KNOW, AS WE LOOK AT SOME OF OUR RELATIONSHIPS, I HAVE NO DOUBT THE CITY STAFF IS DOING EVERYTHING THEY CAN TO PUSH BACK AND MAKE SURE THAT, UH, WE ARE BEING REPRESENTED AT THOSE TABLES.
UM, I KNOW THE CITY HAS ALWAYS BEEN VERY EFFICIENT AND RUNS LEAN AND DOES A GOOD JOB AT IT.
SO I DO, I HAVE FULL CONFIDENCE IN THAT.
UM, I ASK THAT, AS COUNCILWOMAN JUSTICE MENTIONED, WE COME UP WITH AN IDEA TO HELP EDUCATE ABOUT SOME OF THOSE PROGRAM EXAMS WE HAVE FOR SENIORS.
UH, ESPECIALLY THOSE THAT ARE IN NEED AND TRULY NEED THAT EXTRA HELP.
BECAUSE WHILE FOR SOME $150 MAY NOT BE A LOT FOR SOME, IT, IT'S A BIG DEAL.
UM, SO THANK YOU FOR THE WORK YOU'VE DONE.
UM, I HAD A QUICK THREE MINUTE CONVERSATION WITH MY MOM AS I WAS RUNNING OUT TODAY TO COME TO THIS.
AND, UH, SHE'S LIKE, WHAT ARE YOU DOING ANOTHER MEETING? IT'S TUESDAY.
SO I KIND OF TRIED TO EXPLAIN TO HER WHAT, WHAT WE'RE GOING THROUGH AS A CITY RIGHT NOW AND THE BUDGET PROCESS.
AND, AND I SAID, YOU KNOW, IT, IT COMES DOWN TO TOUGH DECISIONS ABOUT, YOU KNOW, WHETHER WE'RE GONNA BE ABLE TO FUND, YOU KNOW, ROADS WE NEED, WE NEED OFFICERS, WE NEED ROADS, WE NEED TO BE ABLE TO FLUSH A TOILET.
UM, AND, UH, BUT THANK YOU GUYS FOR EVERYTHING.
AND, UH, AGAIN, IF WE CAN JUST TRY TO DO SOME KIND OF CAMPAIGN TO HELP, UM, 'CAUSE THOSE OF US IN THE KNOW, UM, OFTENTIMES, AS I MENTIONED LAST NIGHT, OFTENTIMES THOSE THAT TAKE ADVANTAGE OF PROGRAMS AND WHO ARE INVOLVED WITH CITI, SOMETIMES THEY TEND TO BE A LITTLE BIT MORE EDUCATED AND INVOLVED AND, AND MAYBE DON'T HAVE AS BIG OF A NEED OF THOSE WHO AREN'T AS EDUCATED OR AS INVOLVED.
SO ANY STEP WE CAN TAKE AS A CITY, UH, TAKE THAT STEP TO EDUCATE THOSE, THAT, AND TRULY WHEN WE DO THAT, I THINK THAT'S WHEN WE TRULY MEET THE, THE NEEDS OF PEOPLE THAT REALLY NEED THAT EXTRA.
I, UM, I JUST WANNA SAY, UM, I, I WALK AWAY WITH, I WALK AWAY TONIGHT WITH PRIDE WITH THE CITY, UM, AND THE AMOUNT OF WORK AND DEDICATION THAT EVERYONE PUTS IN TO JUST ALMOST EVERYTHING.
I MEAN, EVERY TIME WE HAVE A MEETING, EVERY TIME WE DEVELOP SOMETHING OR PUT OUR FOOT FORWARD TO, YOU KNOW, COME UP WITH IDEAS, THERE IS SUCH A GREAT AMOUNT OF RESEARCH, UM, CONSERVATIVENESS, UH, EVERYTHING'S WELL THOUGHT OUT.
I ALWAYS LAUGH WHEN I HEAR, OH, I'VE BEEN HERE FOR 25 YEARS OR 30 YEARS, AND IT'S LIKE, I JUST ALWAYS LOOK OVER AT DON OR ANYBODY.
SO IT JUST SHOWS THERE'S GOOD GROWTH.
[01:35:01]
YOU KNOW, THERE'S A LOT OF THINGS THAT HAVE TO BE DETERMINED, UH, IN A CITY.FIRST OF ALL, UM, A CITY RECYCLES ITSELF, INCLUDING NEIGHBORHOODS ABOUT EVERY, EXCUSE ME, EVERY 30 YEARS.
AND SOME OF OUR RESIDENTS, THEY, UH, AND SPEAKING OF PIPES, REPLACING PIPES AND, AND WORKING ON INFRASTRUCTURE, INFRASTRUCTURE IS REALLY, UH, THE, UH, THE BASE OF OUR CITY.
BECAUSE THE FACT IS, IF WE DON'T KEEP UP WITH THE INFRASTRUCTURE, THE CITY WILL FAIL.
UH, A LOT OF RESIDENTS RIGHT NOW, ESPECIALLY IN MY NEIGHBORHOOD, ARE REPLACING THEIR CAST IRON PIPES BECAUSE MOST OF THE HOMES WERE BUILT IN THE SEVENTIES, AND EVERYONE HAS CAST IRON PIPES, INCLUDING MYSELF.
AND IT'S FUNNY BECAUSE OVER THE LAST COUPLE OF YEARS, I'VE SEEN A SURGE, ESPECIALLY THIS LAST YEAR, THAT PEOPLE ARE PUTTING MORE ENERGY AND, UH, TIME AND MONEY INTO THEIR HOMES.
THEY'RE, THEY'RE ACTUALLY REPLACING THEIR CAST IRON WITH P V C PIPES.
AND INSTEAD OF HAVING TO SAW CUT THROUGH THE CONCRETE SLABS, THEY'RE GOING OUT FROM THE OUTSIDES AND DRILLING IN.
SO THEREFORE IT'S NOT DISRUPTING THEIR HOMES LIKE IT USED TO.
TECHNOLOGY'S COME A LONG WAYS TO DO THAT, AND I ONLY SAY THAT BECAUSE THE CITY USES THAT SAME TYPE OF THOUGHT AND DIRECTION IN IMPLEMENTING THOSE TYPES OF TASKS.
AND WE TRY TO KEEP UP WITH, UH, TECHNOLOGY TO HELP PURSUE OR PURSUE THOSE THINGS.
UH, THERE'S ALWAYS A BUDGET, THERE'S ALWAYS, UH, AREAS THAT WE HAVE TO BE CONCERNED ABOUT.
AND I THINK THAT, UH, I, I THINK THE PRESENTATION OVER THE LAST COUPLE OF DAYS HAS BEEN VERY GOOD.
IT'S BROUGHT, IT'S BROUGHT AWARENESS FOR ME JUST TO HELP EDUCATE MORE SO BEHIND THE SCENES AND TO SEE WHAT'S HAPPENING WITH THE CITY, EVEN THOUGH I WORK WITH IT AND DEAL WITH IT DAILY.
IT'S JUST GOOD TO HEAR AND SEE, UH, SOME OF THE FEEDBACK AND SOME OF THE DUE DILIGENCE EVERYONE'S PUT TOGETHER.
SO I JUST WANNA THANK EVERYONE AGAIN.
I JUST WANNA LEAVE THAT ON A GOOD POSITIVE NOTE AS WE, AS WE CYCLE THROUGH THIS BUDGET.
THANK YOU, MAYOR DON, AND TEAM, FOR THE LAST FIVE YEARS.
I ALWAYS WALK IN AND THINK TO MYSELF, CAN WE ACTUALLY DO A BETTER JOB THAN WE'VE DONE THE YEAR BEFORE AS FAR AS PUTTING A BUDGET TOGETHER? AND EVERY YEAR, Y'ALL JUST BLOW IT OUTTA THE PARK.
I'M, I JUST CONTINUE TO BE VERY, VERY IMPRESSED WITH THE PROFESSIONALISM, UM, HOW YOU ACCOUNT AND GO COMPLETELY THROUGH THE ENTIRE PROCESS, UM, AND PRESENT TO US A VERY, UH, A VERY STRONG STABLE, AND I WOULD ARGUE RESILIENT BUDGET THAT WE'RE ABLE TO ACCOMPLISH OUR GOALS THAT WE WANT TO SEE HAPPEN, UM, AND BE ABLE TO ALSO LOOK FORWARD.
ONE OF THE THINGS THAT I THINK A A COUPLE OF THINGS, A COUPLE OF POINTS THAT I WANNA MAKE TONIGHT IS, NUMBER ONE, WE ALWAYS STAND ON THE SHOULDERS OF PEOPLE WHO'VE COME BEFORE US.
SO, UM, I'D REMIND ALL, ALL SEVEN OF US THAT WE ALWAYS HAVE TO MAKE SURE THAT WHEN WE'RE LOOKING AT THIS, WHATEVER DECISIONS WE MAKE, SOMEONE AFTER US IS GONNA LOOK BACK AND GO, WOW, THAT WAS A GREAT DECISION, OR, WOW, WHAT WERE THEY THINKING? UM, I'VE, I'VE DEALT WITH THAT A LOT IN MY PROFESSIONAL CAREER WHERE I LOOK BACK AND GO, WHAT WERE THEY THINKING? UM, SO I THINK, I THINK WHEN WE START TALKING ABOUT, WELL, WE MAY NOT BE ABLE TO CONTINUE TO DO THINGS, MAY NOT BE ABLE TO CONTINUE TO DO THINGS, I CAN'T SPEAK FOR ANYBODY ELSE, BUT MY CRYSTAL BALL BROKE A LONG TIME AGO.
I DON'T KNOW WHAT OUR ECONOMIC SITUATION'S GOING TO BE NEXT YEAR OR THE YEAR AFTER, THE YEAR AFTER.
SO I THINK WE HAVE TO, TO VERY MUCH LOOK WHILE LOOKING TO THE FUTURE AS FAR AS INFRASTRUCTURE AND THINGS LIKE THAT.
WE ALSO HAVE TO REMIND OURSELVES WE HAVE TO STAY IN THE PRESENT.
WE HAVE TO LOOK AT WHAT'S OCCURRING ON A YEAR BY YEAR BASIS.
I'M SURE THAT, UM, JUST A FEW YEARS AGO WHEN BILL KEFLER AND GARY SLAGEL WERE SITTING IN Y'ALL'S TWO SEATS, NO ONE WOULD'VE EVER IMAGINED THAT WE HAVE THE BUDGET THAT WE HAVE TODAY.
AND 20 YEARS FROM NOW WHEN IT'S WHOEVER AND WHOEVER,
UM, HOW DID THEY DO WHAT THEY DID ON THE BUDGET THAT THEY, THAT THEY HAVE? BUT EVERY YEAR WE'RE ALWAYS MANAGING TO ACCOMPLISH OUR GOALS.
AND SO, UM, JUST HUGE, HUGE KUDOS.
UM, KEITH, I, I, I REALLY THINK DEEP DOWN YOU'RE GONNA MISS IT.
SO IF YOU WANNA COME BACK NEXT YEAR AND, YOU KNOW, HANG OUT WITH US, I THINK, I THINK YOU SHOULD DO THAT.
UM, JUST TO BE VERY HONEST WITH YOU, UM, I ALSO VERY MUCH APPRECIATE THE, THE, UM, YOU LISTENING TO OUR FEEDBACK.
UM, JUST WANT, AGAIN, YOU KNOW, IF THERE'S ANY WAY TO DO THAT 6% MERIT, UM, I THINK IT WOULD MEAN SO MUCH TO OUR STAFF, UM, GIVEN ALL THAT WE
[01:40:01]
COLLECTIVELY, NOT INTENTIONALLY, BUT WHAT WE COLLECTIVELY PUT THEM THROUGH, I THINK IT WOULD BE HUGE TO BE ABLE TO DO THIS 6% AGAIN THIS YEAR, UM, AND BE ABLE TO MOVE THROUGH.AND SO, YOU KNOW, I WOULD, I WOULD JUST VERY MUCH LIKE TO REMIND EVERYONE THAT, YOU KNOW, WE HAVE, WE'VE BEEN ELECTED TO REVIEW THIS.
WE REALLY ARE A BOARD OF DIRECTORS.
YOU'RE THE PROFESSIONAL MANAGER OF OUR CITY.
YOU HAVE THE PROFESSIONAL STAFF, YOU HAVE THE PEOPLE WHO ARE EXPERTS WHO KNOW WHAT THEY'RE DOING, UH, RUNNING THE CITY ON A DAY-TO-DAY BASIS.
AND SO FOR US, WE'RE VERY MUCH THE COLOR COMMENTATORS WHO NEED TO PROVIDE, YOU KNOW, SOME, SOME, SOME THOUGHTS, SOME FEELINGS, SOME, SOME BELIEFS AS TO WHERE WE SHOULD CONTINUE TO MOVE THIS CITY AS A BOARD OF DIRECTORS, WE SHOULD NOT BE IN THE WEEDS TRYING TO FIGURE OUT EVERY PENNY AND OH, WELL, I THINK FROM AN INFRASTRUCTURE, THIS, THAT, AND THE OTHER.
SO I'M VERY, VERY APPRECIATIVE OF HOW YOU'VE PUT THIS TOGETHER BECAUSE YOU'VE KEPT US AT THE HIGH LEVEL.
YOU KEEP US WHERE WE NEED TO BE.
WE DON'T NEED TO BE IN THE WEEDS.
WE DON'T NEED TO BE TELLING OUR STAFF HOW TO DO EVERY SINGLE LITTLE THING.
UM, AND SO I REALLY APPRECIATE HOW YOU, HOW YOU'VE PUT THIS TOGETHER TO, TO GIVE US THAT HIGH LEVEL OVERVIEW AND ALLOW US TO PROVIDE YOU THAT FEEDBACK SO THAT WE CONTINUE TO MOVE THIS CITY TOGETHER.
UM, I WILL JUST SAY THAT PEOPLE MOVE TO RICHARDSON.
I HEAR IT TIME, AFTER TIME, AFTER TIME BECAUSE IT IS A GREAT CITY AND THE SERVICES THAT WE PROVIDE, AND I KNOW FROM MY PERSPECTIVE, I WANT TO CONTINUE TO SEE US PROVIDE THE LEVEL OF SERVICE THAT WE'RE PROVIDING TODAY MAY HAVE TO AS DEPENDING ON WHAT HAPPENS IN THE NEXT COUPLE OF YEARS WITH THE ECONOMY.
WE MAY HAVE TO TIGHTEN OUR BELT HERE OR THERE OR WHEREVER.
BUT I THINK AT THE END OF THE DAY, OUR CITIZENS ARE INCREDIBLY APPRECIATIVE.
I HEAR IT ALL THE TIME AS I GO THROUGH THIS COMMUNITY ABOUT THE LEVEL OF SERVICE WE PROVIDE TO OUR COMMUNITY.
AND THAT'S WHY PEOPLE WANNA LIVE HERE AND BE A PART OF THIS GREAT CITY.
SO I APPLAUD YOU, DON, I APPLAUD THIS ENTIRE TEAM WHO HAS WORKED ON THIS.
I KNOW HOW MUCH EFFORT IT TAKES TO PUT THIS BUDGET TOGETHER, AND THANK YOU SO VERY MUCH.
THANK YOU, MR. HUTCHIN RIDER, MS. JUSTICE.
I THINK WE WERE ALL SORT OF, UM, IN AGREEMENT THAT THAT WOULD BE GREAT.
IS IT POSSIBLE TO FIND OUT BEFORE WE GET THE BUDGET, WHAT THAT IMPACT WILL BE? I GUESS I DON'T WANNA BE DIGESTING IT RIGHT BEFORE WE'RE GONNA VOTE ON IT.
UM, SO I WOULD, YOU KNOW, I DON'T KNOW HOW LONG THAT WILL TAKE TO CALCULATE.
BUT I WOULD LOVE TO BE ABLE TO SORT OF SIT WITH THAT AND DIGEST IT FIRST.
WHEN YOU, IT, IT WILL BE IN THE BUDGET THAT I FILE ON THE 11TH.
AND SO YOU'LL HAVE, UH, THE BETTER PART OF 18, 17, 18 DAYS.
I WOULD, LIKE, BEFORE IT'S FILED, I WOULD, I THINK I WOULD LIKE TO HAVE A GENERAL IDEA OF, OF WHAT THAT IMPACT IS GONNA BE.
ARE WE GOING TO HAVE TO SACRIFICE AN ORDER TO DO THE 6%? AND, YOU KNOW, OKAY.
I'LL FIGURE OUT A WAY TO, YEAH.
I'M JUST SORT OF CURIOUS WHAT THAT'S GONNA LOOK LIKE.
I MEAN, MAYBE IT'LL BE A BIT OF A, JUST A BIT OF A SHELL GAME MOVING STUFF AROUND, AND NOTHING WILL BE SACRIFICED.
BUT I, I THINK I'D LIKE TO SEE THAT FIRST.
AND THEN ON THE, THE SALES TAX PIECE THAT COUNCILMAN CORCORAN TALKED ABOUT, UM, I, WE, WE TYPICALLY HAVE A YEAR END SAVINGS, AND THAT'S SORT OF WHERE WE MAKE UP FOR OUR CONSERVATIVE BUDGETING THERE.
I, I, UH, THIS SITS BETTER WITH ME, UH, THAT, THAT WE WOULD, WE WOULD CALCULATE IT IN THAT MANNER BECAUSE WE STILL GET TO USE THAT, THAT SALES TAX, UM, UH, YEAR END.
I DON'T KNOW IF I'M MISINTERPRETING WHAT YOU'RE SUGGESTING, BUT YOU KNOW, I, I, I THINK I WOULD RATHER BUDGET, UM, VERY CONSERVATIVELY ON THE SALES TAX AND THEN HAVE YEAR END SAVINGS THAT WE CAN APPLY ELSEWHERE, UM, WHEN WE FAR EXCEED OUR CONSERVATIVE ESTIMATE.
AM I UNDERSTANDING WHAT YOU'RE YEAH.
MY INITIAL POINT YESTERDAY WHEN MAKING THAT WAS IF WE NEED TO FIND, UM, A COUPLE HUNDRED THOUSAND DOLLARS TO ACHIEVE THE 6%.
UM, IF WE'RE GOING TO BUDGET CONSERVATIVELY SOMEWHERE THAT TYPICALLY WE, WE GET RECEIPTS FOR, RIGHT.
THAT ARE HIGHER THAN WHAT WE BUDGETED.
NOT SO MUCH, UH, JUST THE PRINCIPLE OF BUDGETING CONSERVATIVELY.
UM, BUT, BUT GIVEN THE NEED, AND QUITE FRANKLY, IT SEEMS LIKE THE BEING STRETCHED SOMEWHAT THIN.
UH, THAT'S, THAT'S THE POINT I WAS TRYING TO MAKE.
YEAH, I'D BE CURIOUS TO SEE WHAT THAT WOULD LOOK LIKE, BUT YEAH, THAT MAKES ME, UH, NERVOUS.
UH, BUT I UNDERSTAND, UH, IF IT'S A SLIGHT PUSH VERSUS, AND WE'RE STILL VERY CONSERVATIVE IN OUR ESTIMATE, I'D BE OKAY WITH IT.
I'LL, I'LL PLAN ON PROBABLY ON AUGUST 7TH, WHICH IS THE MONDAY BEFORE THE FILING, WE'LL PROBABLY IT'LL BE AN ABBREVIATED BRIEFING, BUT IT'LL BE KIND OF LASERED FOCUS ON THIS ISSUE.
YEAH, I, UM, THANK YOU MR. I WANT TO ECHO WHAT COUNCILMAN JUSTICE SAID, UM, ABOUT THE 6%.
I, UM, THE THOUGHT OF 6%, IF WE CAN DO IT WOULD BE GREAT.
I DEFINITELY, AND I KNOW SHE MENTIONED THIS LAST NIGHT AND I KINDA MENTIONED, I DON'T REMEMBER OF ANYBODY ELSE AS WELL, BUT, UM, WHAT SHE SAID ABOUT, WE
[01:45:01]
WANNA MAKE SURE IT'S NOT, I MEAN, INFRASTRUCTURE IS, IS, UM, IS THE NUMBER ONE THING I HEAR ABOUT.AND I DON'T KNOW IF THAT'S TRUE FOR THE REST OF THE COUNCIL, BUT IT'S OBVIOUSLY MAJOR CONCERNS.
IF THAT 1% BETWEEN FIVE AND 6% MEANS, YOU KNOW, WE'RE NOT GONNA BE ABLE TO DO CERTAIN ROAD PROJECTS OR SOMETHING LIKE THAT.
THAT'S, THAT WOULD BE A STICKING POINT.
I REALLY LIKE THE WAY YOU PRESENTED, UM, THE INFORMATION ON THE QUESTION THAT SHE HAD REGARDING TAX CEILING AND, AND SOME OF THAT.
SO IF YOU KINDA GIVE US A COMPARISON LIKE THAT JUST SO THAT WE CAN MAKE SURE THAT, UM, INFRASTRUCTURE IS IMPACTED BY GOING THAT EXTRA 1%.
'CAUSE I THINK THAT'S A, THAT WOULD BE A BIG ONE.
WELL, I WILL ADD ONE LAST LITTLE BIT.
I WANT, FIRST OF ALL, I WANT TO THANK THE COUNCIL.
I, ALL OF Y'ALL OBVIOUSLY HAVE DONE YOUR HOMEWORK.
SOME OF YOU ARE NEW TO THE PROCESS, BUT YOUR PASSION TO BE HERE AND WHAT YOU HAVE TRIED TO ASK HAVE ALL BEEN VERY PROFESSIONAL.
IT'S BEEN TIMELY AND IT'S BEEN IMPORTANT.
SO I THINK WHAT YOU'VE DONE IS REPRESENT YOUR CONSTITUENTS VERY, VERY WELL.
YOU'VE REPRESENTED THE COUNCIL, AND I APPRECIATE THE TEAM APPROACH TO WHAT WE DID.
I WANT TO THANK THE STAFF TREMENDOUSLY FOR THE JOB THAT ALL OF Y'ALL HAVE DONE.
I THINK IT'S IMPORTANT THAT WE REALIZE THAT THEY HAVE FOUND A WAY TO ADDRESS PEOPLE.
WHEN I SAY THAT WE'VE ADDED SPOTS THAT WE DID NOT HAVE, WE'VE ADDED SPOTS THAT WE USED TO HAVE AND BROUGHT BACK, AND WE WERE ABLE TO ADDRESS INFRASTRUCTURE AMENITIES, UM, AT A TIME WHEN OUR STAFF WAS OVERWORKED.
STOP AND THINK ABOUT THE LOSS OF THE CIVIC CENTER AND SO FORTH, THE THINGS THAT Y'ALL HAVE ACCOMPLISHED.
UM, IT'S AMAZING TO ME, INFRASTRUCTURE WILL HAVE MORE MONEY THAN IT'S EVER HAD.
IF WE GO WITH THIS BUDGET, OUR MEDIANS IN THE ROADS HAVE BEEN ADDRESSED.
UM, THERE'S A SKILLSET THAT Y'ALL ARE DEMONSTRATING THAT NOT EVERY CITY GETS TO SEE.
SO I, I THINK IT'S REAL IMPORTANT, Y'ALL HAVE FOUND A WAY TO ADDRESS EMERGENCIES AND NOT SUCK A STRIDE DOING IT.
YOU KNOW, YOU FOUND A WAY TO COVER IT BECAUSE OF THAT CONSERVATIVE APPROACH AND BECAUSE OF THE WAY WE HAVE BALANCED OUR, UH, OUR BOOKS OVER TIME.
AND PLEASE DON'T FORGET, AS WE ARE LOOKING AT WHETHER WE'RE CONSERVATIVE OR NOT CONSERVATIVE, I THINK IT'S REALLY IMPORTANT WE REMEMBER HOW OUR, WE ARE RATED BY STANDARD AND POORS AND, UM, MOODY'S, YOU KNOW, THOSE ARE IMPORTANT THINGS.
IT SAVES US MILLIONS AND MILLIONS OF DOLLARS.
SO OUR APPROACH IS PROVEN, AND I THINK THAT YOUR ABILITY IN THIS BUDGET PROPOSAL TO KEEP OUR, OUR DAYS IN THERE WHERE THEY ARE, IS JUST, I MEAN, IT'S JUST A FEATHER IN OUR CAP.
SO I'LL STOP RIGHT THERE, BUT I WANTED TO SAY, I FEEL LIKE FOR Y'ALL THAT WERE HERE FOR YOUR FIRST TIME, FIRST BUDGET.
I KNOW, DON, THIS IS YOUR SECOND BUDGET AND YOU KNOCK IT OUTTA THE PARK.
SO I'M IN FAVOR OF A 6% AND WE CAN MAKE IT WORK.
ALSO, I THINK THAT OUR EMPLOYEES DESERVE THAT NEED, THAT, AND MAYBE MORE, BUT IN THE BIG SCHEME OF THINGS, I THINK THAT THE FORMULA THAT YOU'RE ON IS GOING WELL, AND I'M JUST PROUD TO BE THE MAYOR OF THE CITY.
AND AT THIS TIME, WE'RE GONNA CLOSE IT, UNLESS YOU GOT SOMETHING ELSE TO SAY.
WITH NO FURTHER BUSINESS, THIS MEETING OF THE CITY, RICHARDSON CITY COUNCIL, IS OFFICIALLY ADJOURNED AT 8 47.