Apr 18, 2024 Town Council Work Session

[00:00:04]

GOOD EVENING FLOWER MOUND.

[A. CALL TO ORDER]

PLEASE RISE FOR THE INVOCATION AND PLEDGES.

DEAR HEAVENLY FATHER, THANK YOU FOR TONIGHT.

THANK YOU FOR TODAY.

AND THANK YOU TO OUR STAFF AND TOWN COUNCIL MEMBERS WHO CONTINUE TO SERVE OUR TOWN.

HEAVENLY FATHER, WE ASK YOU TO BLESS OUR RESIDENTS, OUR FAMILIES AND OURSELVES AS WE GO ABOUT OUR DAILY LIVES AND DO THE BEST THAT WE CAN.

WE ASK YOU TO BLESS THE FOOD THAT WAS PREPARED FOR US THIS EVENING, AND MAY IT NOURISH OUR BODIES.

AND WE SAY THESE THINGS IN THE NAME OF THY SON, JESUS CHRIST.

AMEN. I PLEDGE ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA AND TO THE REPUBLIC FOR WHICH IT STANDS ONE NATION UNDER GOD, INDIVISIBLE, WITH LIBERTY AND JUSTICE FOR ALL.

HONOR THE TEXAS FLAG, I PLEDGE ALLEGIANCE TO THEE, TEXAS.

ONE STATE UNDER GOD, ONE AND INDIVISIBLE.

THANK YOU.

YOU MAY BE SEATED.

WE HAVE ANY GREEN COMMENT CARDS? WE DO NOT. MOVING ON.

[E. WORK SESSION ITEM]

JUST TO REMIND YOU, LEXIN IS THE DIRECTOR OF DEVELOPMENT SERVICES.

I WAS JUST TRYING TO FILL THE DEAD AIR TIME THERE, LEXIN.

[LAUGHTER] IT'S A WORK SESSION.

ALL RIGHT. SO AS MENTIONED I'M GOING TO TALK ABOUT FLOMO COMBOS FOR THE DEVELOPMENT COMMUNITY.

SO JUST A REMINDER FLOMO COMBOS WAS SOMETHING THAT THE TOWN STARTED A COUPLE OF YEARS AGO AND INITIALLY DID OUTREACH MEETINGS THAT WERE FOR RESIDENTS.

AND THEN WE FOLLOWED THAT UP WITH MEETINGS THIS PAST AUGUST THAT WERE MORE FOCUSED ON GETTING INPUT FROM THE DEVELOPMENT COMMUNITY.

SO THE FULL TEXT OF THE COMMENTS THAT WERE PROVIDED DURING THE SMALL GROUP SESSIONS, AS WELL AS A SUMMARY DOCUMENT THAT WAS COMPILED BY STAFF, WERE INCLUDED IN THE TOWN COUNCIL PACKET FOR THE JANUARY 16TH, 2024 MEETING, AND AT THAT TIME, TOWN COUNCIL HAD REQUESTED A FUTURE WORK SESSION SO THAT WE COULD GO INTO MORE DETAILS AND DISCUSSION ON ANY OF THE ITEMS THAT REQUIRED COUNCIL DIRECTION.

SO THAT'S WHAT WE'RE DOING TONIGHT.

SO JUST WANTED TO GIVE YOU SOME UPDATES ON SERVICE IMPROVEMENTS THAT STAFF HAVE ALREADY MADE SINCE THOSE AUGUST MEETINGS.

SO I DIDN'T WANT YOU TO THINK WERE NOT DOING ANYTHING, JUST WAITING TO GET FEEDBACK FROM COUNCIL.

WE CLARIFIED SCHEDULING PROCESS FOR PRE-CONSTRUCTION INSPECTIONS.

A MODEL HOME AND EARLY RELEASE HOME ORDINANCE UPDATE WAS APPROVED APRIL 1ST.

WE UPDATED BUILDING INSPECTIONS WEBSITE TO INCLUDE AN EMERGENCY PERMIT SECTION.

WE ACKNOWLEDGE THE LONG PRAIRIE DISTRICT INFILL SITES AS PART OF AN UPDATE TO THE URBAN DESIGN PLAN THAT WAS APPROVED LAST OCTOBER.

THE PLATTING ORDINANCE AMENDMENT WAS APPROVED IN NOVEMBER, AND THIS MADE CHANGES THAT WOULD ALLOW STAFF TO APPROVE PLATS ADMINISTRATIVELY IF THERE WERE NO EXCEPTIONS, AND ALSO TO LIMIT THE NEED FOR A DEVELOPMENT PLAN TO ONLY THOSE SITUATIONS WHERE THERE WAS PHASING INVOLVED.

AND WE ALSO CREATED A RESIDENTIAL BUILDING FINAL CERTIFICATE THAT CAN BE PRINTED UPON REQUEST.

CLARIFIED THE DEV PERMIT CLOSURE PROCESS BEGAN OFFERING FOLLOW UP DRC MEETINGS.

CREATED OPT IN FEATURE FOR BUILDING CODE CHANGE NOTIFICATIONS.

CREATED A USER GUIDE ON HOW TO APPLY FOR A PERMIT USING ETRAKIT CREATED THE DEVELOPMENT PROCESS OVERVIEW ONLINE RESOURCE.

PUBLISHED FRANCHISE UTILITY CONTACT LIST ON ENGINEERING'S WEBSITE AND ALSO CUT TIME BETWEEN MUNICODE UPDATES IN HALF.

THIS WAS IN COORDINATION WITH THERESA.

WE REACHED OUT TO THEM AND WERE ABLE TO GET THOSE UPDATED QUARTERLY NOW INSTEAD OF JUST TWICE A YEAR.

SO ITEMS THAT STILL REQUIRE COUNCIL DIRECTION.

WE HAVE 13 ITEMS REMAINING TONIGHT THAT WILL GO OVER, SO I WON'T READ EACH OF THESE OFF TO YOU NOW ON THIS LIST WE'LL WE'LL TALK ABOUT EACH ONE INDIVIDUALLY.

BUT I WANTED TO HAVE THAT OVERALL LIST.

AND THEN JUST TO KIND OF INTRODUCE THIS WHOLE GREEN YELLOW RED CONCEPT.

SO FOR EACH ONE OF THESE, BECAUSE ONE OF THE THINGS YOU ALL HAD ASKED FOR WHEN WE CAME BACK WITH A WORK SESSION WAS TO GIVE US SOME INFORMATION ABOUT COST IMPLEMENTATION CHALLENGES, AND I ADDED RECURRENCE, WHICH IS HOW OFTEN THIS WAS REQUESTED AS PART OF THIS OUTREACH EFFORTS.

AND SO BASICALLY FOR COST, I LEFT IT AS GREEN IF IT'S NOT REALLY COSTING THE TOWN ANYTHING OUTSIDE OF STAFF TIME.

IF IT'S THERE'S SOME COST, BUT IT'S RELATIVELY MINIMAL, THAT'LL BE YELLOW.

AND IF IT'S A MORE EXPENSIVE ITEM, THAT'LL BE RED.

FOR IMPLEMENTATION JUST LOOKING AT KIND OF EASE OF IMPLEMENTATION, IF IT REALLY WOULDN'T TAKE ANY SPECIAL EFFORT TO DO IT, THAT'LL BE GREEN.

IF THERE'LL BE SOME COORDINATION INVOLVED THEN IT WOULD BE YELLOW.

AND IF, YOU KNOW, STAFF SEES SIGNIFICANT CHALLENGES IN MAKING THAT WORK, IT WOULD BE RED.

[00:05:04]

NOT REALLY A HEAVILY REQUESTED ITEM.

IF IT CAME UP 2 OR 3 TIMES, IT'S YELLOW, AND THEN IF IT'S FOUR OR MORE TIMES, THEN IT SHOWS UP AS GREEN IS THAT SOMETHING A RECURRING THEME THAT WE'RE HEARING FROM.

SO FIRST ITEM ON THE LIST DUE TO LIMITED STAFF CAPACITY, THERE CAN BE A WAIT TO HAVE TREE SURVEYS VERIFIED FOR LARGER PROJECTS.

SO ONE POTENTIAL SOLUTION TO THAT WOULD BE TO ALLOW APPLICANTS TO PAY FOR A THIRD PARTY TREE SURVEY VERIFICATION.

THAT'S SIMILAR TO HOW WE HANDLE TIA'S CURRENTLY.

THE TOWN STAFF DOESN'T ACTUALLY CONDUCT THOSE, BUT WE HAVE IDENTIFIED FIRMS THAT ARE APPROPRIATE AND HAVE THE EXPERTISE.

AND SO IF THAT WAS SOMETHING COUNCIL WANTED TO ALLOW FOR, THEN THAT WOULD NEED TO COME BACK TO YOU, TO YOU WOULD APPROVE A CONTRACT WITH THOSE COMPANIES, BUT IT WOULDN'T ACTUALLY COST THE TOWN ANY FUNDS.

IT'S JUST PASSED THROUGH.

SO LIKE I SAID THAT'S HOW WE DO TIA'S.

BASICALLY IT SHOWS UP AS A FEE IN ETRAKIT AND SO THE APPLICANT PAYS IT AND WE JUST SERVE AS A CONDUIT TO PASS THAT MONEY ON TO THE CONSULTANT THAT HAS ALREADY BEEN IDENTIFIED AS BEING ONE OF THE APPROPRIATE COMPANIES THAT CAN HANDLE THAT.

SO IF WENT THAT PATH, TOWN STAFF WOULD COORDINATE WITH THE THIRD PARTY OR THE APPLICANT WOULD? NO TOWN STAFF WOULD COORDINATE WITH THE THIRD PARTY.

THAT'S WHY IT NEEDS COUNCIL APPROVAL, BECAUSE IT ACTUALLY BECOMES A CONTRACT THAT THEY HAVE WITH THE TOWN, THESE THIRD PARTY COMPANIES BUT WE DON'T ACTUALLY PAY THEIR FEES.

THE APPLICANTS PAY THEIR FEES, BUT IT HAS TO GO THROUGH THE TOWN.

SO WE WOULD REVIEW THEIR WORK AND COORDINATE WITH THE CONSULTANT TO ENSURE THAT EVERYTHING WAS DONE TOWN STANDARDS.

PERFECT. OKAY, I HAVE A QUESTION, LEXIN FOR FOLLOW UP.

COULD WE INCORPORATE SOME KIND OF A RANDOM INSPECTION OR DOUBLE CHECKING SO THAT THERE WOULD BE SOME CONSEQUENCES IF WE HAD THE UNFORTUNATE EXPERIENCE OF SOMEONE BEING ON OUR LIST, BUT THEN THEY WEREN'T DOING A GOOD JOB AND WE FOUND A LOT OF DISCREPANCIES OR SOMETHING BAD WAS HAPPENING, WE WOULD HAVE SOME RECOURSE.

YES. AND I WOULD IMAGINE THAT IT WOULDN'T BE OR I WAS NOT ENVISIONING THIS AS A THIRD PARTY COMPANY FULLY TAKING OVER THE WHOLE PROCESS.

OH, GOOD. SO, YOU KNOW, FOR INSTANCE, STAFF MIGHT DO THE INITIAL WALK OF THE PROPERTY TO KIND OF IDENTIFY THOSE TREES, BUT THEN THERE'S COMMENTS THAT GO BACK TO THE APPLICANT OF, OKAY, YOU NEED TO YOU MISS THIS, THIS AND THIS TREE, YOU NEED TO ADD THESE OR THAT SORT OF THING.

SO IT'S A CONTINUAL PROCESS TO MAKE SURE THAT THINGS ARE DONE CORRECTLY.

SO LIKE I SAID, I DON'T THINK WE WOULD NECESSARILY GIVE AWAY THE WHOLE PROCESS, BUT IT WOULD PROVIDE AN OPTION IF STAFF WAS KIND OF BACKED UP TO LET THEM TAKE OVER ONE PIECE OF IT.

I LIKE THAT A LOT BETTER.

THANK YOU. SO WE BASICALLY SAY IT'S GOING TO TELL THE APPLICANT IT'S GOING TO TAKE X AMOUNT OF TIME FOR US TO DO IT.

OR IF YOU WANT TO PAY FOR THE THIRD PARTY VERIFICATION WE'LL SET IT UP.

AND THEY CAN DO IT IN X AMOUNT OF TIME.

YES. PERFECT SOLUTION AS FAR AS I'M CONCERNED.

ARE WE PAYING A 3% SERVICE FEE WHEN WE TRANSFER THOSE MONEY? [LAUGHTER] BUT I DON'T I'M HONESTLY NOT.

I'M HONESTLY NOT SURE I WOULD NEED TO DEFER TO.

WE'RE NOT.

OKAY. JUST CHECKING.

I THINK IT'S A GREAT IDEA TO DIRECT STAFF TO IDENTIFY AN APPROPRIATE THIRD PARTY COMPANY.

YEP. OKAY.

LOOK AT THAT. 12 MORE TO GO.

NEXT ONE IS AMOUNT OF TIME STAFF TAKES TO REVIEW SUBMITTALS IS TOO LONG.

CONSIDER REDUCING RESUBMITTAL TIME TO TWO WEEKS FROM THREE WEEKS.

SO ONE POTENTIAL SOLUTION TO THIS COULD BE TO HIRE MORE STAFF.

SO I MEAN, I PUT THIS IN HERE.

I DON'T REALLY THINK THAT'S A FEASIBLE SOLUTION.

BECAUSE YOU WOULD BE TALKING ABOUT HIRING MORE STAFF FOR MULTIPLE DISCIPLINES THAT ARE INVOLVED IN THESE TYPE OF PROJECT REVIEWS.

AND ALSO IT CAN JUST BE CHALLENGING BECAUSE IF YOU HAVE ONE DIVISION THAT'S SHORT A PERSON RIGHT NOW OR THAT'S OVERWHELMED, THEN IT CAN IMPACT EVERYTHING.

SO I THINK IT WOULD JUST BE BECAUSE YOU HAVE SO MANY PEOPLE, SO MANY DIFFERENT DIVISIONS THAT ARE INVOLVED IN THE REVIEWS OF THESE TYPES OF PROJECTS THAT WERE BROUGHT UP, LIKE ZONING SITE PLANS, PLATS, THOSE SORT OF THING.

I THINK THAT'S JUST PART OF THE CHALLENGE.

BUT I WILL SAY ALSO, I FEEL LIKE ONE OF THE REAL REASONS FOR THIS HAS TO DO WITH THE AMOUNT OF DETAIL THAT THE TOWN REQUIRES IN APPLICATIONS. BECAUSE, YOU KNOW, WE PULLED THIS LOOKING AT TIME BETWEEN APPLICANT SUBMITTALS AND THE AVERAGE TIME BETWEEN AN APPLICANT RESUBMITTAL WAS APPROXIMATELY EIGHT WEEKS.

SO IT'S ACTUALLY TAKING A LOT LONGER FOR THEM TO RESUBMIT THAN IT IS FOR THE TOWN STAFF TO REVIEW IT.

I MEAN, WHICH MAKES SENSE BECAUSE THEY'RE THE ONES THAT ARE ACTUALLY HAVING TO MAKE CHANGES THAT ARE REQUESTED BASED ON STAFF REVIEWS.

[00:10:02]

SO I'M GOING TO FOLLOW THAT UP WITH THE NEXT SLIDE.

SO THE NEXT ITEM WE GOT WAS TOO MUCH DETAIL AND ENGINEERING REQUIRED BEFORE, YOU KNOW IF YOUR ZONING IS APPROVED PARTICULARLY FOR MPAS.

SO THROWING THIS OUT AS ONE POTENTIAL SOLUTION WE HEAR FROM PEOPLE AGAIN TOO MUCH DETAIL, TOO MUCH TIME WE HAVE TO PUT IN BEFORE WE EVEN KNOW IF KIND OF THE TOWN COUNCIL IS OKAY WITH THE USE.

SO WE HAVE HAD A COUPLE OF SITUATIONS RECENTLY WHERE THE COUNCIL WAS OKAY WITH THE IDEA OF, FOR INSTANCE, DELAYING THE ELEVATIONS AND THEY IT STILL HAD TO BE IT'S STILL, THE PROJECT STILL HAD TO BE AMENDED, THE ZONING STILL HAD TO BE AMENDED.

SO IT WASN'T IT WASN'T THAT YOU GAVE UP YOUR DISCRETION OVER THE ELEVATIONS, BUT YOU APPROVED IT THE USES GENERALLY AND SAID, OKAY, YOU'LL COME BACK AND AMEND THIS WITH THE ELEVATIONS IN THE FUTURE.

AND SO I THINK THE APPLICANT WAS ABLE TO KIND OF SAVE THAT EXPENSE OF PAYING FOR THE ELEVATIONS ON THE FRONT END BEFORE THEY KNEW IF YOU WERE EVEN OKAY WITH THE USE.

SO THAT'S ONE SUGGESTION.

LIKE I SAID, THIS WAS JUST AN EXAMPLE FROM EMBREE WHERE THEY WANTED TO KIND OF WANT TO KNOW IF COUNCIL WAS OKAY WITH FAST FOOD RESTAURANTS AND YOU WERE OKAY WITH THE FAST FOOD RESTAURANTS, IT TURNS OUT. BUT SO YOU APPROVED THAT.

AND THEN WITH THIS REQUIREMENT THAT THE ELEVATIONS WOULD HAVE TO COME BACK AS A PD AMENDMENT IN THE FUTURE.

AND THAT'S HOW THAT WORKED OUT.

SO LIKE I SAID, THAT'S ONE WAY WE COULD DO IT.

WHEN IT COMES TO THE ACTUAL ENGINEERING THAT'S REQUIRED IN TALKING TO OUR ENGINEERING STAFF.

THERE'S NOT A WHOLE LOT OF ACTUAL ENGINEERING THAT'S DONE AS PART OF LIKE THE CONCEPT PLANS.

IT'S KIND OF, YOU KNOW, PRELIMINARILY WHERE YOU JUST IDENTIFY WHERE YOU'RE GOING TO CONNECT TO WATER AND SEWER AND YOU KIND OF HAVE A PRELIMINARY DRAINAGE PLAN.

SO I WOULD IMAGINE THAT WHAT THE PEOPLE WERE TALKING ABOUT, THAT WE HEARD THIS FROM IS MORE RELATED TO MPAS, BECAUSE WHEN YOU'RE DOING A MASTER PLAN AMENDMENT, YOU POTENTIALLY HAVE TO DO IF THE CHANGE IN LAND USE IS GOING TO HAVE A HIGHER PULL ON THE CAPACITY FROM WATER OR SEWER, THEN YOU WOULD HAVE TO DO THESE WATER AND SEWER STUDIES.

AND THOSE ARE TIME CONSUMING, YOU KNOW, USUALLY LIKE A TWO MONTH PROCESS TO GET THOSE DONE.

WE DO THOSE THROUGH THIRD PARTY CONSULTANT YET AGAIN AS WELL AS A TIA.

SO I'M GUESSING THAT'S WHAT THEY'RE TALKING ABOUT.

I DIDN'T NECESSARILY THINK THAT THE COUNCIL WAS OPEN TO NOT HAVING OUR SMART GROWTH STUDIES REQUIRED AT THE TIME OF MASTER PLAN AMENDMENT, SO I DON'T HAVE THIS ON HERE, BUT IF I'M WRONG AND THAT'S SOMETHING THAT Y'ALL WERE OPEN TO I'M.

SO I THINK THE ENGINEERING NEEDS TO BE DONE BECAUSE YOU'VE GOT TO FIGURE OUT, YOU KNOW, WHAT'S THIS THING GOING TO LOOK LIKE AS FAR AS THE LAYOUT AND EVERYTHING ELSE. SO I THINK THE ENGINEERING IS A REQUIREMENT FOR US TO DO THAT IN MY OPINION.

AS FAR AS THE ELEVATIONS, YEAH, I THINK THAT PROBABLY COULD WAIT.

BUT AT THE SAME POINT UNDERSTAND THAT IF WE GIVE THEM THE ZONING, WE'RE NOT GOING TO APPROVE TO LET THEM GO FORWARD UNTIL WE DO APPROVE THE ELEVATIONS AND THE APPEARANCE OF THE PROJECT.

SO I WOULD ADVISE APPLICANTS TO FOLLOW THE MASTER PLAN.

IF THEY DON'T WANT TO DO THAT, THEN I WOULD SUGGEST THAT THEY BRING US A COMPLETE, THOROUGH AND HIGH QUALITY APPLICATION LIKE THE ONE WE JUST APPROVED THE OTHER DAY, WHICH WAS WELL DONE. IT WAS WELL THOUGHT OUT.

IT WAS, AND THEY PRESENTED SOMETHING THAT WAS AN EASY APPROVAL BECAUSE IT WAS SO COMPLETE AND WELL EXECUTED.

SO I DON'T KNOW THAT I COULD COMMIT A FUTURE COUNCIL TO A PROCESS WHERE THEY'RE FORCED TO APPROVE MASTER PLAN AMENDMENTS WITHOUT REALLY KNOWING WHAT THEY'RE GETTING PERSONALLY.

YEAH I DON'T. YEAH, I'M IN THE SAME BOAT.

I MEAN, I THINK THAT IF WE KIND OF WE'RE WHEN WE GRANT ZONING, AREN'T WE GRANTING ENTITLEMENT TO THAT ZONING? SO IF WE DON'T KNOW ALL THE PIECES OF IT, IT JUST SEEMS LIKE WE'RE MAKING DECISIONS WITHOUT ALL THE KNOWLEDGE.

YOU COULD APPROVE AN MPA WITHOUT APPROVING THE ZONING AT THE SAME TIME, THOUGH.

YEAH. BECAUSE THERE'S TWO SEPARATE ITEMS ON AN AGENDA.

ZONING ISN'T THAT STRAIGHT ZONING WHICH WE'VE DONE NOT WITH THIS COUNCIL BUT PRIOR COUNCILS HAVE DONE, AND THEN WE HAVE SUFFERED THE CONSEQUENCES OF THAT? I THINK JIM, YOU'RE SAYING WE WOULD APPROVE THE MASTER PLAN AMENDMENT AND THAT WOULD BE ONE TRANSACTION, AND THEN THEY WOULD COME BACK WITH THE ZONING AND COMPLIANCE WITH THAT MASTER PLAN. BUT THE MASTER PLAN HAS THE HIGHER BAR.

SO YOU KIND OF WANT TO KNOW WHAT'S DOWNSTREAM OF THAT.

I'M STILL SAYING THAT I WOULD STILL WANT THE ENGINEERING TO BE DONE.

AND, YOU KNOW, YOU'RE GOING TO HAVE 90% OF THE WORK, IF YOU WILL, BUT AT LEAST IT GIVES THEM SOME LEVEL OF RELIEF FROM THE HAVING 100% READY TO GO. AND I THINK WHERE APPLICANTS HAVE STRUGGLED WITH THIS PROCESS IS WHEN THEY HAVE FAILED TO DO THEIR DUE DILIGENCE.

I WOULD USE THAT THE HOUSING DEVELOPMENT NEXT TO WHYBURN.

[00:15:05]

AND THEN THEY WERE SUCCESSFUL.

SO I'M NOT REALLY SEEING A PROBLEM WITH OUR CURRENT PROCESS ON THAT ONE.

SO. OH, I'M SORRY.

WE DO MEET WITH DEVELOPERS, RIGHT? SOMETIMES. EXCEPT WHEN.

THEY HAVE TO ASK US.

YEAH. AND SOMETIMES REQUEST IT.

SOMETIMES THEY DON'T.

AND SO I THINK SOMETIMES THEY MAYBE DON'T UNDERSTAND OUR PROCESS WELL ENOUGH.

THEY HEAR URBAN LEGEND ABOUT, YOU KNOW, OH FLOWER MOUND IS SO TOUGH.

BUT WE HAVE HIGH EXPECTATIONS FOR GOOD REASON.

SO AND ESPECIALLY IF THEY'RE TAKING LONGER THAN WE'RE TAKING.

WELL, I MEAN, YOU CAN SEE THAT ON THE DEVELOPMENT PROJECTS REPORT AWAITING RESUBMITTAL.

HOW MANY PROJECTS ARE THAT ARE OUT THERE AND HOW LONG THEY'RE WAITING? SOME OF THEM TAKE A LONG TIME.

WOULD THERE BE ANY BENEFIT TO DOING THIS PROCESS FOR NOT A MASTER PLAN AMENDMENT, OR THIS ONLY APPLIES TO A MASTER PLAN AMENDMENT? I WANTED TO THAT'S WHERE I WANTED TO GO.

OH, WELL, YOU'RE WELCOME FOR GOOD SEGUE.

BECAUSE I'M NOT SURPRISED TO HEAR THE COUNCIL'S FEELING ABOUT HOW ANY CHANGES WOULD APPLY TO MPAS, BUT SO THEN JUST TO TAKE IT BACK TO KIND OF THE FIRST THING WE TALKED ABOUT WITH THE POTENTIAL SOLUTION ABOUT THE ELEVATIONS, IF WE'RE NOT TALKING ABOUT A MASTER PLAN, IF IT IS JUST A ZONING REQUEST, HOW DO Y'ALL FEEL ABOUT SOMEONE? AND I'M NOT SAYING THIS WOULD BE FOR EVERY APPLICATION, BUT ARE YOU OPEN TO IF SOMEONE SAYS, I'D REALLY LIKE TO DELAY THE ELEVATION, I KNOW I HAVE TO COME BACK AND AMEND THE PD BEFORE IT'S APPROVED.

IS THAT SOMETHING Y'ALL ARE OPEN TO? I THINK I'M OPEN TO THAT ON A CASE BY CASE BASIS, I WOULDN'T WANT IT TO BE A CARTE BLANCHE.

REMEMBER, WE HAD THAT ONE WHERE THEY WANTED FIVE HOUSES OR SOMETHING AND THEY HAD A DRAWING, AND THEN WERE LIKE, WELL, WHAT KIND OF HOUSES? AND THEY'RE LIKE, I DON'T KNOW. AND WERE LIKE, WELL, I DON'T KNOW.

WE'RE I'M THINKING OF THE YEAH, THAT'S BASICALLY THAT'S SCARY.

THE BOX WE GOT PAINTED IN WITH THE DAKOTA OFF OF DEER PATH, WHERE THEY HAD THE ZONING, AND THEN THEY CAME BACK TO US FOR STUFF.

AND, YOU KNOW, WERE PAINTED IN A BOX, RIGHT? I DON'T WANT THAT TO HAPPEN AGAIN.

THAT'S WHAT I WAS TALKING ABOUT A FEW MINUTES AGO.

YEAH. I'LL POINT OUT ONE DISTINCTION BETWEEN THOSE EXAMPLES IS THAT A PD IS A LITTLE DIFFERENT THAN A STRAIGHT ZONING.

SO IF IT'S A PLANNED DEVELOPMENT AND THEY SAY IT'S NOT QUITE COMPLETE, THERE'S A FEW THINGS WE'RE STILL GOING TO WORK OUT.

I MEAN, I DON'T REALLY HAVE A PROBLEM WITH THEM BRINGING THAT FORWARD AND THEN COMING BACK THROUGH FOR A SECOND DISCRETIONARY APPROVAL WHERE THEY BRING US A LITTLE BIT MORE DETAIL. I MEAN, AS OPPOSED TO A STRAIGHT ZONING, WHICH IS I WOULD NOT BE IN FAVOR OF THAT.

TYPICALLY SPEAKING.

I WOULD NOT BE IN FAVOR OF THAT EITHER.

OKAY. SO IS THAT LIKE A YES OR A MAYBE? I DON'T KNOW, I'M NOT CLEAR ON THE DIRECTION.

NO TO THE MPA.

YEAH, DEFINITELY I HEARD THAT.

AND YES WITH CAVEATS CASE BY CASE BASIS FOR THE OTHERS.

YES. AND ONE ON YOUR PREVIOUS ITEM NUMBER TWO, ARE WE IN LINE ON OUR RESPONSE TIMES WITH OUR BENCHMARK CITIES OR ARE WE WAY TAKING WAY LONGER? I DON'T HAVE THAT INFORMATION OFFHAND.

WHAT? ALL OF OUR.

WE'RE DEFINITELY NOT TAKING WAY LONGER.

WE HAD DONE THE DEVELOPMENT PROCESS OVERVIEW REVIEW A COUPLE OF YEARS AGO AND THEY HAD SAID, WE'RE DOING GREAT THAT WE'RE MEETING EXPECTATIONS. SO I DON'T KNOW SPECIFICALLY FOR EACH APPLICATION TYPE WHAT OUR BENCHMARK CITIES ARE AT.

BUT LIKE I SAID, THROUGH, AS PART OF THAT DEVELOPMENT PROCESS, OVERVIEW MATRIX HAD SAID THAT THE TOWN WAS WAS DOING GREAT.

IF WE'RE IN LINE WITH OUR OUR BENCHMARK CITIES, A CHECKPOINT ON THOSE TO SEE HOW WE'RE DOING OUR BENCHMARKS.

AND LEXIN THESE ARE NOT ON A SEPARATE MEETING, BUT JUST SEND IT OUT TO US IN AN EMAIL MESSAGE SO THAT WE'RE AWARE.

YES. AND THESE ARE DAYS BETWEEN SUBMITTALS OF THE APPLICANT.

RIGHT. YES. SO THIS REALLY ISN'T A REFLECTION ON THE DELAYS FROM STAFF.

RIGHT? THAT'S WHAT I WAS SAYING IS THAT IT ACTUALLY THE OVERALL TIME THAT A PROCESS IS TAKING IS MORE REFLECTIVE OF HOW LONG IT'S TAKING THE APPLICANT TO SUBMIT.

BUT UNLIKE SAID, MAKES SENSE.

NOT TRYING TO BE DOWN ON THE APPLICANT.

THEY'RE THE ONES THAT ARE HAVING TO ADDRESS THE COMMENTS THAT THEY'RE GETTING FROM STAFF.

I HAVE ONE OTHER QUESTION ON THE APPLICATION COMPLETION ITSELF.

SO IS IT SOMETHING THAT'S DONE ELECTRONICALLY AND SOME OF THE FIELDS CAN BE PREFILLED AND PULLED FROM OTHER, OR ARE THERE PAGES AND PAGES WHERE THEY HAVE TO RE ENTER ANY INFORMATION? SO WE DON'T REALLY HAVE FORMS AGAIN FOR THESE TYPES OF APPLICATIONS.

WE HAVE CHECKLISTS THAT SAY THESE ARE THE TYPES OF THINGS YOU NEED TO SUBMIT.

YOU'RE GOING TO HAVE TO HAVE FOR INSTANCE, FOR A PD ZONING PLAN DEVELOPMENT, YOU'RE GOING TO HAVE TO HAVE A CONCEPT PLAN, A LANDSCAPE PLAN AND ELEVATIONS.

AND THEN WITHIN THE CHECKLIST WE SAY THESE ARE ALL THE ELEMENTS THAT HAVE TO BE ON THOSE PLANS WHEN YOU SUBMIT THEM.

SO IT'S REALLY NOT LIKE A WRITING IN DATA INTO A FORM.

AND CAN THEY UPLOAD ALL THAT ELECTRONICALLY? YES, THEY HAVE TO UPLOAD IT ELECTRONICALLY.

ACTUALLY, WE DON'T ACCEPT ANYTHING PAPER OR IN PERSON ANYMORE FOR THESE APPLICATION TYPES.

[00:20:05]

SO NUMBER TWO WAS.

NUMBER TWO WAS KIND OF TIED TO NUMBER THREE.

SO I LIKE I SAID IT WAS TWO SEPARATE ITEMS, BUT I WAS EXPLAINING IT ALL AS ONE.

SO I'M GOOD.

OKAY. I'M NOT. BUT WE'RE GOING TO CHECK THE BENCHMARK CITY TO SEE HOW WE'RE COMPARING OKAY.

SO ONE WAS WE THINK WE'RE OKAY.

TWO IS MAYBE.

SO INCORPORATE MORE FLEXIBILITY INTO PLAN DEVELOPMENT STANDARDS.

SO THIS IS KIND OF SIMILARLY ALONG THE SAME PATH.

AND SO WE DO ALLOW SOME FLEXIBILITY WITHIN PDS.

YOU KNOW, IT'S THINGS LIKE YOU CAN'T MAKE AN APPLICATION MUCH.

IT CAN'T IMPACT SURROUNDING PROPERTIES MORE.

YOU KNOW, FOR INSTANCE, IF YOU WERE APPROVED TO BUILD A 5000 SQUARE FOOT BUILDING, YOU CAN'T CHANGE IT TO A 10,000 SQUARE FOOT BUILDING.

THAT'S TWO STORIES HIGHER, BECAUSE YOU KNOW CLEARLY THAT'S NOT WHAT EVERYBODY AGREED TO.

BUT YOU CAN MAKE SOME MINOR MODIFICATIONS.

BUT IT'S KIND OF WHAT WE USUALLY DO IS LOOK AT THE MINOR CHANGE SECTION THAT THE TOWN HAS ALREADY ALLOWED WITHIN SITE PLANS, AND LOOK AT HOW THAT APPLIES. THERE IS SOME VARIABILITY WITHIN THAT.

BUT THIS WAS JUST AN EXAMPLE.

I PULLED OUT THAT WHERE THE APPLICANT HAD ACTUALLY SPECIFICALLY WROTE IN WRITTEN IN TO THE PD, THIS IS THE FLEXIBILITY WE WANT FOR THIS DEVELOPMENT.

AND THIS WAS FOR THE FOUNDER'S LANDING PROJECT.

SO THIS IS THE ONE WHERE THE GOLF EVERYWHERE WENT.

AND THERE'S THE TWO RETAIL BUILDINGS NOW, AND THE MONTESSORI SCHOOL WAS APPROVED BEHIND IT.

SO AGAIN, THAT'S NOT AT ALL WHAT WAS ORIGINALLY PLANNED FOR THAT SITE.

THE ORIGINAL THOUGHT WAS THERE WAS GOING TO BE A GROCERY STORE AS THE ANCHOR FOR THAT AND SOME OTHER THINGS THAT WENT WITH IT.

BUT I THINK AT THE TIME IT WENT FORWARD, THEY WERE UNSURE OF THE GROCERY STORE DEAL.

AND SO THAT'S WHY THEY WANTED TO WRITE IN SOME FLEXIBILITY IN CASE IT FELL THROUGH SO THAT THEY COULD MAKE SOME CHANGES TO THE CONCEPT PLAN, NOT CHANGING THE PERMITTED USES OR KIND OF INCREASING, YOU KNOW, SQUARE FEET BY MORE THAN 20% OR 5000FT² NOT HAVING ANY INCREASE IN EXTERNAL EFFECTS ON ADJACENT RESIDENTIAL, NOT PROPOSING A BUSINESS THAT HAS 24 HOURS OPERATION.

SO THEY WROTE IN SPECIFIC THINGS THAT THEY WANTED TO HAVE THE FLEXIBILITY TO ADDRESS.

AND I THINK THAT EVERYONE IS IS OKAY WITH HOW THEM FOUNDER'S LANDING PROPERTY HAS DEVELOPED SO FAR, EVEN THOUGH IT IT DID NOT DID NOT MATCH THE ORIGINAL CONCEPT PLAN.

SO I JUST GIVE THAT AS AN EXAMPLE TO IF YOU ALL ARE OPEN TO PUTTING SOME MORE SPECIFIC FLEXIBILITY LANGUAGE WITHIN THE PD, THAT'S SOMETHING WE COULD LOOK AT.

YOU KNOW, ON A CASE BY CASE BASIS WITH APPLICANTS AS, AS SEEMS WARRANTED.

DO YOU KNOW WHAT THAT LANGUAGE WOULD LOOK LIKE? I DON'T LIKE I SAID, THIS IS THE EXAMPLE THAT WE KIND OF HAVE RIGHT NOW, BUT I FEEL LIKE THERE COULD BE THINGS THAT ARE SPECIFIC TO THE DEVELOPMENT.

YOU KNOW, FOR INSTANCE, IF THERE'S A LOT OF QUESTIONS.

AND. I'M SORRY. IT WOULD BE THESE BASIC THINGS AND SPECIFIC TO THEIR REQUEST.

IT COULD BE, I MEAN, ARE THERE OR WE COULD TAKE OUT SOME OF THESE.

LIKE I SAID, I THINK IT WOULD REALLY DEPEND ON THE SITE.

YOU KNOW, FOR INSTANCE, IF THERE WAS A LOT OF TALK ABOUT SOME SPECIFIC ELEMENT OF THIS THAT IT WAS, YOU KNOW, YOU WERE CERTAINLY NOT GOING TO GET ANY CLOSER THAN THIS TO THE OTHER PROPERTY LINE, OR YOU WOULD DEFINITELY, YOU KNOW, YOU WOULD WRITE IN THINGS OF NO MATTER WHAT ELSE CHANGES, THESE THINGS HAVE TO OCCUR.

FOCUSING ON THE THINGS THAT WERE THE MOST IMPORTANT TALKING POINTS OF THE DEVELOPMENT, I THINK.

BUT WRITING IN SOME OF THAT OTHER FLEXIBILITY.

SO THE DIRECTION YOU'RE LOOKING FOR IS THE ABILITY FOR STAFF TO WRITE THIS INTO A PD BEFORE IT COMES TO COUNCIL FOR APPROVAL.

AND SO IT'D BE TAILORED TO THAT SPECIFIC DEVELOPMENT.

IT WOULDN'T BE A CART, IT WOULDN'T BE A BOILERPLATE, IT WOULD BE SPECIFIC TO THAT DEVELOPMENT THAT WE WOULD REVIEW, OR WE WOULD IT WOULD COME TO US FOR APPROVAL OR MODIFICATION. THAT'S CORRECT.

APPROVE IT. YEAH.

I THINK IT'S UP TO THE APPLICANT TO BUILD THOSE CONSTRAINTS AND SAY, WE CAN HAVE A BUILDING THAT'S THIS BIG OR THIS BIG, AND WE CAN WORK WITHIN THAT WITHOUT HAVING TO COME BACK THROUGH. AND IF THEY PUT THAT IN THERE AND IT'S ACCEPTABLE, THEN I WOULDN'T HAVE ANY PROBLEM WITH IT.

I AGREE. YEAH. THE ONE CONCERN THAT I HAVE IS ON THE HOURS OF OPERATION JUST BECAUSE YOU DON'T WANT A BUSINESS THAT'S, YOU KNOW, THE 24 HOURS A DAY, WELL, IT'S IF THEY STILL STAY UP UNTIL 2:00 IN THE MORNING, THEY BACK UP TO RESIDENTIAL.

THAT'S NOT A GOOD THING.

YEAH. IF THEY HAVE DRIVE THROUGH WITH SPEAKERS AND SUCH.

SO I COULD HAVE CONCERNS ABOUT THAT, BUT.

OKAY. EMPOWER STAFF TO MAKE MORE DECISIONS AND OR HAVE MORE FLEXIBILITY.

SO I HAVE A COUPLE OF THINGS THAT I'M PUTTING OUT HERE TO SEE IF COUNCIL IS INTERESTED IN EITHER OF THESE.

[00:25:06]

FOR EXAMPLE, A SETBACK VARIANCE OF FIVE FEET OR LESS COULD BE REQUESTED FROM A STAFF REVIEW BOARD.

SO I'M NOT NECESSARILY SAYING THAT'S WHAT WE SHOULD DO.

JUST THAT IS A SUGGESTION WE HAVE HEARD FROM OTHER PEOPLE.

SO PUTTING THAT OUT FOR CONSIDERATION.

ANOTHER ONE IS ANOTHER OPTION THAT THIS WOULDN'T NECESSARILY BE MAKING AN ADMINISTRATIVE CHANGE.

IT WOULDN'T BE PROVIDING ADMINISTRATIVE EMPOWERMENT, BUT I THINK IT WOULD SAVE APPLICANTS A STEP IN THE PROCESS.

AND SO I THINK THAT'S SOMETHING THAT THEY WOULD APPRECIATE IS TO AND KIND OF GOES WITH ALL THIS WHOLE SAVE TIME, SAVE EFFORT TYPE OF THING IS TO POTENTIALLY WRITE IN AN EXCEPTION PROCESS WITHIN THE TOWN'S LAND DEVELOPMENT REGULATIONS FOR LANDSCAPE BUFFERS AND SETBACKS.

SO I LOOKED AT WHAT WE HAVE AS THE KIND OF THE MOST COMMONLY REQUESTED MODIFICATIONS, AND THEY PRETTY MUCH ALL HAVE AN EXCEPTION THAT YOU CAN REQUEST FOR THEM. THE DIFFERENCE WOULD BE LANDSCAPE BUFFERS AND BUILDING SETBACKS.

AND SO SO FOR THOSE YOU WOULD HAVE TO DO A ZONING PLAN DEVELOPMENT IN ORDER TO MODIFY YOUR SETBACK OR YOUR LANDSCAPE BUFFER.

SO NOW ON THE OTHER HAND, FOR COMPATIBILITY BUFFER AND COMPATIBILITY SETBACK, THAT'S A SPECIFIC WAIVER THAT'S CALLED OUT WITHIN THE CODE.

SO SOMEONE COULD REQUEST THAT WITH A SITE PLAN.

SO THAT'S WHY I'M KIND OF THROWING OUT AS A SUGGESTION IS IT WOULD BASICALLY ALLOW SOMEBODY TO GO DIRECTLY TO THEIR SITE PLAN STEP.

IT WOULD STILL BE A DISCRETIONARY REQUEST THAT COUNCIL WOULD HAVE THE SAME LEVEL OF DISCRETION WITH EITHER APPLICATION TYPE YOU LOOKED AT, BUT WE COULD POTENTIALLY LOOK AT WRITING IN LANGUAGE THAT WOULD ALLOW, AT LEAST ALLOW THE APPLICANT TO MAKE THAT REQUEST WITH THE SITE PLAN SO THAT IT CHANGES FROM A TWO STEP TO A ONE STEP PROCESS. SO FOR THE FIRST ONE, THE ADMINISTRATIVE VARIANCE, I MEAN, MY EXPECTATION WOULD BE IF IT'S 25 FOOT SETBACK AN THERE'S A VARIANCE THAT'S ADMINISTRATIVE OF FIVE FEET, THEN WE'RE GOING TO GET 20 FOOT SETBACKS FROM THAT TIME FORWARD.

SO I'M OKAY WITH THAT AS LONG AS WE CHANGE IT TO A 30 FOOT SETBACK FIRST.

SO THEN FOR THE SECOND ONE, WHETHER IT COMES WHETHER THE EXCEPTION COMES THROUGH THE SITE PLAN PROCESS OR THROUGH A PD, I DON'T THINK I HAVE REALLY A PREFERENCE.

I MEAN, I WOULD ACCEPT A THE EXCEPTION COMING THROUGH THE SITE PLAN PROCESS BE THE SAME DIFFERENCE TO ME.

BECAUSE WE'RE GOING TO APPROVE IT ANYWAYS AS A BECAUSE IT'S GOT VARIANCE TO A SITE PLAN.

YEAH. AND I'M THINKING ABOUT YOU KNOW EMBREE HAD THE WALL AND THE NEIGHBORS WITH THE COMPATIBILITY SETBACK AND, AND HOW WE HANDLED THAT PROCESS AND WHETHER OR NOT WE COULD HAVE DONE THAT ONE WAY OR THE OTHER WAY, I DON'T KNOW THAT IT WOULD HAVE MADE MUCH DIFFERENCE.

YOU KNOW, IF THEY CAME THROUGH WITH ONE APPLICATION TYPE OR ANOTHER.

I'M NOT SURE. MAYBE I'M MISSING SOMETHING, BUT.

I MEAN, NUMBER ONE IS THAT THAT'S A BEFORE THE FACT OR AFTER THE FACT, LIKE THEY GET APPROVAL AND THEN THEY WANT TO CHANGE THE RULES.

WAIT. ON THE FIRST EXAMPLE HERE FOR POTENTIAL SOLUTION.

SO I GOT A CONCERN OVER IT TOO.

BUT I WANT TO KNOW HOW.

NO YOU COULDN'T DO. I MEAN, IF YOU ALREADY WENT TO COUNCIL AND GOT SOMETHING APPROVED, THEN NO, I DON'T THINK YOU COULD GO BACK AFTER THE FACT TO JUST GET STAFF TO APPROVE IT.

WHAT I'M ALSO THINKING ABOUT IS, YOU KNOW, IF YOU I'M REALLY CONCERNED WITH IF YOU DID A HOUSING DEVELOPMENT BECAUSE IF YOU DID A HIGH DENSITY AND YOU AND YOU KNOW, IT'S ONLY FIVE FEET OFF THE LOT LINE TO BEGIN WITH, AND IF YOU HAD A VARIANCE OF, YOU'RE BASICALLY BUILDING IT RIGHT ON THE LOT LINE.

NO, I MEAN, YOU WOULDN'T BE ABLE TO DO THAT ANYWAY BECAUSE YOU'D HAVE TO MEET BUILDING CODE.

AND SO AND BASICALLY WE'RE JUST MY ASSUMPTION IS WE'RE JUST MEETING WE HAVE TO MEET THE BUILDING CODE.

SO I DIDN'T WRITE ANYTHING IN HERE THAT WOULD ALLOW VARIATIONS TO THE BUILDING CODE.

BUT NO.

AND I'LL SAY I THINK THE FOR THE FIRST ONE WAS THINKING ABOUT IT MORE FROM A RESIDENT PERSPECTIVE AS OPPOSED TO FROM A DEVELOPER PERSPECTIVE.

SO MORE OF, YOU KNOW, SOMETHING GOING ON WITH YOUR LOT SPECIFICALLY.

AND SO KEEP THEM OUT OF BOARD OF ADJUSTMENTS BASICALLY.

YES. BUT LIKE I SAID, I'M NOT NECESSARILY TRYING TO PUSH THIS.

I'M JUST LETTING Y'ALL KNOW THAT THAT'S SOMETHING WE HAVE HEARD.

YEAH. MY CONCERN, WITH THIS FROM A IF IT'S A HOMEOWNER STANDPOINT IS HOW DOES THAT IMPACT THEIR NEIGHBORS IF THEY'RE GOING TO BUILD SOMETHING CLOSER TO THE LOT LINE THAN THEY'RE ALLOWED. AND THAT COULD NEGATIVELY IMPACT THE NEIGHBORS WHEN THEY HAVE AN EXPECTATION THAT NEEDS TO BE TEN FEET OFF OR WHATEVER THAT THAT REQUIREMENT IS GOING TO BE.

SO I KIND OF AGREE WITH ADAM.

I'M NOT SO SURE ABOUT THIS FIRST ONE.

THE SECOND ONE I THINK IS ALL RIGHT.

I DO MOSTLY AGREE WITH YOU, ADAM.

[00:30:02]

[LAUGHTER] BUT I WAS THINKING TOO, LIKE, PROPORTIONALLY, IF IT'S FIVE FEET OF 25 LIKE YOU SUGGESTED, THAT'S A LOT.

BUT IF IT'S FIVE FEET OF 50 AND THEY JUST WANT TO GO, YOU KNOW, JUST LIKE A LITTLE BIT CLOSER, THEN, YOU KNOW, I DON'T KNOW, IS THERE A RATIO OR A PERCENTAGE THAT YOU COULD PUT IN THERE, YOU KNOW, THE LESSER OF OR THE GREATER OF WHATEVER.

YOU COULD PUT A PERCENTAGE. I MEAN, YEAH, IF THERE'S SOMETHING IF THIS IS SOMETHING COUNCIL IS INTERESTED IN, WE COULD RESEARCH IT FURTHER AND COME UP, COME BACK WITH SPECIFIC SUGGESTIONS.

BUT IF IT'S JUST NOT REALLY SOMETHING YOU WANT TO PURSUE, THEN BECAUSE, I MEAN, IT WOULD BE CREATING A WHOLE NEW KIND OF FUNCTION WITHIN STAFF.

HOW OFTEN DOES IT HAPPEN? LEXIN HOW OFTEN DOES THIS PROBLEM COME UP? I MEAN, NOT A LOT.

IT'S GREEN, SO A LOT LIKE NOT A LOT.

WELL, NO. WELL, BECAUSE GREEN WAS FOR REQUEST TO EMPOWER STAFF TO MAKE MORE DECISIONS AND OR HAVE MORE FLEXIBILITY, NOT NECESSARILY FOR A SPECIFIC.

THIS IS JUST ONE EXAMPLE.

I REMEMBER A CASE WHEN I WAS ON BOARD OF ADJUSTMENTS BEFORE COUNCIL, AND THERE WAS A GUY WHO WANTED TO PUT UP A SHED ON HIS PROPERTY.

AND HE LIVED ON ALONG SIMMONS ROAD.

AND HE HAD TO HAVE 50FT OF SETBACK OR SOMETHING OF THAT NATURE.

AND HE WAS ONLY WANTING TO BE, YOU KNOW, LIKE 20FT OR SOMETHING OF THAT NATURE.

SO HE COULDN'T, DIDN'T WANT TO BLOCK THE VIEW OF HIS POND FROM HIS HOUSE TYPE DEAL.

AND, I MEAN, WE DENIED HIM AT THAT POINT, BUT I THINK AND I LIKE ANN'S IDEA IS, YOU KNOW, FIVE FEET ON 50FT IS NOTHING.

AND IT'D PROBABLY BE OKAY, FIVE FEET ON TEN FEET.

THAT'S A REAL PROBLEM.

SO I STILL KIND OF ALIGNED WITH ADAM WITH THIS ONE.

IT'S WE'RE GOING TO SEE 10% REDUCTION IN OUR SETBACKS.

JUST IF YOU WANT TO FOLLOW IT OR DON'T FOLLOW IT, COME TO COUNCIL AND GET APPROVAL FOR A CHANGE.

WHAT WOULD THE STAFF REVIEW BOARD LOOK LIKE FOR THIS? SO I MEAN WE WOULD PROBABLY HAVE TO PULL WE WOULD HAVE TO WE COULD PULL PEOPLE FROM, YOU KNOW, VARIOUS DIVISIONS WITHIN KIND OF THE THAT REVIEW DEVELOPMENT, SERVICE TYPE APPLICATIONS. WE COULD HAVE AN ENGINEER, WE COULD HAVE A PLANS EXAMINER, WE COULD HAVE A PLANNER WE COULD HAVE SOMEBODY FROM ENVIRONMENTAL, MAYBE SOMEBODY ANYWAY, AND WE COULD PULL TOGETHER A GROUP OF PEOPLE.

WE'D HAVE TO LOOK AT WHAT WE NEED TO COME UP WITH.

WHAT ARE THE CRITERIA THAT WOULD BE USED TO DETERMINE THIS? AND A PROCESS FOR IT, SCHEDULING ALL THAT.

AND SO THERE WOULD BE THERE WOULD BE BANDWIDTH.

IT'S YELLOW FOR IMPLEMENTATION.

DON'T KNOW. RIGHT. WE JUST DON'T KNOW HOW MUCH TIME AND EFFORT IT'S GOING TO TAKE.

BUT I WOULD ASSUME THAT NOT ALL OF THEM WOULD BE APPROVED.

SO THAT WOULD BE ONE THING TOO.

BUT YOU KNOW, STILL.

ANOTHER THING TOO IS, YOU KNOW, THIS FIVE FOOT VARIANCE IS ONE EXAMPLE, RIGHT? IT COULD BE A LOT.

AND I THINK IT'D BE VERY CHALLENGING TO TRY TO ANTICIPATE WHAT ALL MIGHT COME TO STAFF AND TRY TO PUT THE APPROPRIATE BOUNDARIES THAT COUNCIL BE COMFORTABLE WITH, NOT TO MENTION THE INCREASED WORKLOAD ON STAFF.

SO I'M NOT SURE THIS IS THE DIRECTION WE WANT TO GO AT THIS POINT.

WHAT IF CASE BY CASE BASIS AS CHALLENGES OCCUR, THEN YOU WOULD COME AND SAY, HEY, TODAY THIS THING HAPPENED.

THIS IS A GOOD EXAMPLE.

DO WE WANT TO DEAL WITH THIS THING OR SET UP A DIFFERENT VARIANCE FOR THIS ONE THING? BECAUSE IT'S HARD FOR US TO SAY WITHOUT KNOWING.

AND THIS IS JUST ONE EXAMPLE.

SO MAYBE JUST HAVE ME GATHER INFORMATION OVER TIME TO SEE IF THERE ARE APPROPRIATE THINGS THAT COME UP THAT YOU ALL MIGHT BE INTERESTED IN LOOKING AT FOR THIS TYPE OF THING. SURE CAN DO THAT.

OKAY, OKAY. SO THAT'S NEW.

SO FOR THE CONSIDER LANDSCAPE BUFFERS AND SETBACKS THROUGH A SITE PLAN.

HOW DO Y'ALL FEEL ABOUT THAT? HMM. [INAUDIBLE] DID I MISS SOMETHING? THE SECOND ONE, WHICH IS? I THOUGHT IT WAS ALL OR NOTHING.

SO 5A IS NO, 5B IS.

SO WE'RE JUST ASKING STAFF TO DEVELOP THE EXCEPTION PROCESS.

AND THEN THEY'RE GOING TO COME TELL US ABOUT THE PROCESS.

AND THEN WE'RE GOING TO DECIDE WHETHER OR NOT TO IMPLEMENT THE PROCESS.

WELL THEY'RE GOING TO GIVE US EXAMPLES WHERE PEOPLE ARE MAKING REQUESTS THAT POTENTIALLY COULD BE.

FOR 5A. YEAH.

FOR 5B IF YOU'LL TELL US TO DO THIS, THEN WE'LL GO AHEAD AND PUT TOGETHER.

THE NEXT TIME WE DO AN LDR, WE CAN LOOK AT THIS MAKING THIS PART OF IT AND WE'LL BRING IT FORWARD.

NOW OF COURSE YOU CAN STILL MAKE CHANGES TO IT, BUT AND THAT'S DUPLICATING THE COMPATIBILITY BUFFER EXCEPTION PROCESS TO THE LANDSCAPE BUFFER EXCEPTION PROCESS.

YEAH. THAT'S I DON'T HAVE ANY OBJECTION TO THAT.

YEAH OKAY.

OKAY. I WOULD LIKE TO HAVE AN EXPEDITED REVIEW PROCESS, SO I THINK THIS WOULD BE VERY CHALLENGING.

WE HEARD FROM A COUPLE OF PEOPLE THAT FRISCO AND DALLAS DO THIS.

WE REACHED OUT TO FRISCO.

THEY SAID THAT THEY DON'T ACTUALLY DO THIS.

SO THERE MUST HAVE BEEN A MISUNDERSTANDING THERE.

BUT SORRY, BUT SO ONE OF THE CHALLENGES, I THINK, THAT THERE WOULD BE FOR THE TOWN IS BECAUSE

[00:35:08]

AND SO BASICALLY, WE WOULD HAVE TO REDUCE THE FEES THAT WE'RE CHARGING FOR THOSE APPLICATIONS IN ORDER TO ALLOW FOR THE APPLICATION OF A, AN EXPEDITED REVIEW FEE, BECAUSE I CHECKED IT WITH BRYN AND HE SAID, YOU CAN'T CHARGE THEM, EVER CHARGE THEM MORE THAN IT COSTS YOU, EVEN IF THEY'RE ELECTING TO DO IT.

SO COULD WE ASK HIM TO DONATE TO ONE OF OUR NONPROFITS THAT WE SUPPORT? I DON'T I DON'T THINK THAT'S.

WHY DOESN'T IT COST US MORE TO EXPEDITE THINGS? LIKE SAME AMOUNT OF WORK, BUT WE HAVE TO DO IT IN A SHORTER PERIOD OF TIME AND MORE.

RIGHT. WELL, THEY'RE JUMPING THE LINE.

YEAH, THEY'RE JUMPING THE LINE.

THAT'S IT. YES. JUST LIKE DISNEY.

BUT YOU WOULD HAVE TO LIKE YOU ONLY HAVE SO MANY HOURS IN A DAY.

GET A WRISTBAND. RIGHT. SO IF YOU HAD TO WORK EXTRA HOURS IN A DAY, I MEAN, WE WOULDN'T HAVE PEOPLE WORK EXTRA HOURS IN THE DAY BECAUSE THEN WE'D HAVE TO POTENTIALLY CHARGE PEOPLE, I MEAN, PAY PEOPLE OVER TIME.

SO THAT'S WHY YOU CHARGE THEM MORE IF THEY WANT TO PAY FOR YOUR OVERTIME TO DO IT.

I DON'T KNOW, JUST TALKING.

RIGHT. I DON'T KNOW WHAT THE WAY IS, BUT WE SHOULD HAVE TRYING TO REGULATE IT.

IT'S GOING TO BE REALLY DIFFICULT.

THEY CAN MAKE A DONATION. THEY CAN BUY LIKE TWO TABLES A YEAR.

NO. NO. CAN'T MAKE A DONATION.

THE OTHER THING I WANTED TO MENTION THAT IS JUST, I THINK TO ME, A CONCERN ABOUT HOW WE WOULD MAKE THIS WORK IS WE'RE HEARING FROM EVERYBODY THAT TIME IS THE BIGGEST CONCERN.

AND SO THE ONLY WAY TO DO THIS IS, YOU KNOW, TO ADAM'S POINT, PEOPLE WOULD GET TO JUMP THE LINE IF THEY PAID AN EXPEDITED REVIEW FEE.

BUT SO THEN THAT WOULD MAKE IT TAKE LONGER FOR THE PEOPLE THAT DIDN'T PAY THE EXPEDITED REVIEW FEES.

SO EVERYBODY'S GOING TO START REQUESTING THE EXPEDITED REVIEW.

THAT'S THE IDEA. BUT IF THEY REALLY DO HAVE TO PAY MORE, BECAUSE WE HAVE TO PAY PEOPLE MORE TO STAY AND DO IT, I DON'T WANT TO BUMP ANYBODY ELSE, BUT IT'S.

I DON'T SEE IT'S GOING TO MAKE A DIFFERENCE, BECAUSE IF EVERYONE STARTS PAYING THE MONEY TO DO IT, THEN WE'RE GOING TO BE RIGHT BACK WHERE WE ARE RIGHT NOW WITH WHAT WE'VE CREATED, AN EXPECTATION THAT WE'RE GOING TO DO IT QUICKER, BUT WE'RE HAVE THE SAME AMOUNT OF WORKLOAD WITH PEOPLE WORK OVERTIME IT'S GOING TO FURTHER COMPLICATE PAYROLL AND HOW WE'RE GOING TO COMPENSATE PEOPLE, AND HOW ARE YOU GOING TO SCHEDULE IT AND HOW I DON'T SEE THIS AS.

IT'S HARD ENOUGH TO HIRE PEOPLE.

I DON'T WANT THERE TO BE AN EXPECTATION THAT THEY HAVE TO WORK OVERTIME.

WELL, RIGHT. SO A DIFFERENT WAY TO DO IT THOUGH, LIKE IF IT MEETS THE MASTER PLAN, IF IT MEETS THE ZONING, LIKE WHAT IF WE DO IT WITH LIKE CHECKMARKS, LIKE IT MEETS THIS, IT MEETS THIS, IT MEETS THIS.

OKAY. THEN IT GOES TO THIS POINT, OKAY.

BUT EVERYBODY'S GOT TO STILL TAKE A LOOK AT IT.

SO IT'S LIKE, YOU KNOW, EVERY DEPARTMENT'S GOT TO LOOK AT IT AS WELL.

AND SO.

YOU KNOW, IF YOU GO BACK TO SLIDE 2 OR 3 WHENEVER IT WAS OR ON THE APPLICANT'S TURNAROUND TIME FRAME, THEY WERE TAKING 8 TO 10 WEEKS.

AND WE CAN'T REALLY CHARGE EXTRA FOR IT.

NO. SO IT SEEMS LIKE A BIG DISADVANTAGE TO THE TOWN.

UNLESS WE CHARGE LESS FOR ALL.

ALL THE APPLICATIONS THAT WERE NOT EXPEDITED.

NO. I WOULDN'T DO THAT.

THAT'S WHY I SAID THE COST WAS RED, BECAUSE THAT WOULD BE SIGNIFICANT.

UNFORTUNATELY, I DON'T KNOW HOW WE COULD DO THAT.

AND NOBODY, I DON'T KNOW, I MEAN.

I LIKE THE IDEA OF AN EXPEDITED PROCESS, BUT AT THE SAME POINT, I DON'T KNOW HOW WE PRACTICALLY DO IT.

BUT I FEEL LIKE IF YOU'RE GOING TO HAVE THE PRIVILEGE OF HAVING YOUR THING EXPEDITED, YOU NEED TO EARN IT.

SO IS THERE SOME WAY WHERE WE COULD ASSESS HOW EFFICIENT THEY ARE? YOU KNOW, LIKE HOW GOOD IS THEIR APPLICATION? BECAUSE SOME COME AND THEY'RE PROBABLY REALLY GREAT AND SOME COME AND THEY'RE REALLY BAD.

SO WHAT IF WE HAD THIS PROCESS? WE SAID, YOU DO EVERY SINGLE THING ON HERE AND YOU HAVE LIKE A PERFECT APPLICATION, A PLUS, EXPEDITED.

I MEAN, I KNOW THAT NATURALLY HAPPENS BECAUSE THEY DON'T HAVE TO KEEP GOING BACK AND FORTH.

BUT, YOU KNOW, IS THERE SOME WAY TO EMPHASIZE THAT THAT ACTUALLY ALREADY CAN HAPPEN IF THEY DO A BETTER JOB? OR MAYBE IF THERE'S NO EXCEPTIONS, YOU'RE NOT VIOLATING OR NOT NEEDING A SLOPE EXCEPTION.

YOU DON'T NEED SPECIMEN TREE REMOVAL.

YOU DON'T NEED THIS THEN.

SPECIAL REQUEST. RIGHT? YEAH, YEAH, THIS, THIS AND THIS.

THEN YOU GET TO SKIP FROM HERE.

NOT NECESSARILY SKIP IN LINE, BUT IT NATURALLY TAKES LESS TIME.

YEAH. AND IT'S AN EDUCATIONAL PROCESS.

I LIKE THAT CALL IT EXPEDITED REVIEW PROCESS.

EXPEDITED RESPONSE BECAUSE THERE'S LESS TIME.

LIKE RIGHT, I LIKE THAT.

I DO THINK WE TRY TO SHARE WITH PEOPLE THE WAYS TO MAKE THEIR PROJECT GO FASTER, AND WHAT SOME OF THE THINGS THAT TAKE LONGER AND MORE CHALLENGING ARE FOR PROJECTS. SO WE WILL LOOK AT WAYS TO MARKET THAT EVEN MORE SOI MEAN, MAYBE NO MPAS, NO EXCEPTIONS.

I MEAN, ALL YOU GOT TO DO WHEN YOU GET THE DEVELOPMENT PROJECTS REPORT ON FRIDAY AND YOU READ THROUGH IT AND IT'S LIKE, OKAY, SO THEY JUST SUBMITTED THEIR 12TH SUBMITTAL FOR THIS PROJECT. IT'S LIKE, OKAY.

YEAH. I MEAN.

[00:40:02]

SO NEXT ONE IS THE PROCESS IS TOO LONG AND OR INFLEXIBLE FOR APPROVING INFILL SITES IN THE LONG PRAIRIE DISTRICT.

SO MY SUGGESTION FOR THIS WOULD BE YOU KNOW, I DON'T KNOW IF YOU ALL RECALL, A FEW YEARS AGO, 2021, WE HAD PUT TOGETHER AN INFILL BOOK AND HAD IDENTIFIED KIND OF ALL THE SITES.

MOST OF THEM WERE IN THE LONG PRAIRIE DISTRICT THAT.

WE WANTED TO PLAY.

AND SO I THINK THE FEEDBACK WE GOTTEN FROM COUNCIL AT THAT TIME WAS THAT YOU KNOW, YOU WOULD RATHER US JUST MAKE SURE THAT WE LET YOU KNOW ABOUT THAT WHEN THESE PROJECTS COME FORWARD.

SO YOU KNOW THAT THESE ARE CHALLENGING SITES AND THAT YOU'RE MORE UNDERSTANDING FOR EXCEPTION AND MODIFICATION REQUESTS.

AND I THINK THAT'S WHAT WE WROTE IN WITH THE UPDATE TO THE URBAN DESIGN PLAN THAT WE JUST RECENTLY DID.

WE DID TALK ABOUT INFILL IN THE LONG PRAIRIE DISTRICT AND TALKED ABOUT HOW YOU KNOW, THERE WOULD BE A HIGHER LIKELIHOOD TO NEED EXCEPTIONS OR MODIFICATIONS BECAUSE YOU'RE DEALING WITH INFILL PROPERTY.

SO THAT'S KIND OF HOW WE'VE ADDRESSED IT SO FAR TO DATE.

BUT IF THE COUNCIL IS INTERESTED IN US REVISITING THIS BOOK AND LOOKING AT, YOU KNOW, IF THERE'S ANY THINGS YOU WANT TO IDENTIFY TO ALLOW BY RIGHT OR ANY KIND OF SPECIAL CONSIDERATION OR CIRCUMSTANCES, WE CAN REVISIT, WE CAN REVISIT THIS.

SHOULD WE ALSO MAKE SURE RAY'S INVOLVED WITH THAT? RAY WOULD BE INVOLVED? YES. OKAY.

I MEAN, I'M THE ONE THAT BROUGHT THIS UP THREE YEARS AGO.

AND SO AND TIME FLIES.

I THINK THIS NEEDS TO HAPPEN, BUT IT'S GOING TO BE UP TO YOU GUYS.

I MEAN. IF THEY'RE GETTING CONSTANT INQUIRIES ABOUT THESE OR REGULAR INQUIRIES ABOUT IT, BUT NOTHING EVER COMES FORWARD.

YOU HAVE TO LOOK AT THESE AND SAY, IS THIS FEASIBLE AT THIS POINT FOR THIS LAND USE, THAT WHAT WE PROJECTED 20 YEARS AGO? AND SO SOME OF THEM HAVE COME FORWARD SINCE.

SO THE ONE, THE EXAMPLE PAGE I PUT IN HERE ACTUALLY WAS THE EMBREE SITE.

AND SO THE EMBREE SITE CAME THROUGH THE SCHOOL DISTRICT SOLD THE LAND TO TOLL BROTHERS FOR THE, THE SPINKS PROPERTY AND A COUPLE OF OTHER ONES, BUT THERE WAS STILL LIKE 29 SITES THAT WERE ON THAT WAS ON THAT LIST.

BUT IT COULD ALSO BE THE NATURE OF THE SITE ITSELF.

IT'S SMALL, SO IT'S NOT GOING TO ATTRACT HIGH VOLUME DEVELOPMENT.

YOU KNOW, IT'S SMALL, IT'S NICHE, AND PEOPLE JUST DON'T SEE THE VISION FOR WHAT THEY CAN PUT THERE.

ARE THE LANDOWNERS COMPLAINING A LOT ABOUT THIS? I WILL OCCASIONALLY GET A CALL FROM A LANDOWNER WHO'S CONCERNED ABOUT THEIR INABILITY TO, I THINK, TRY TO SELL THEIR PROPERTY.

AND KIND OF WHAT SOME OF THE CHALLENGES THEY'RE DEALING WITH ARE.

SO CAN THOSE COME FORWARD CASE BY CASE, JUST IN DISCUSSIONS, YOU KNOW, LIKE SOMETIMES DEVELOPERS WILL INVITE US TO A MEETING.

CAN WE OFFER TO TALK TO THE LANDOWNERS AND JUST SAY, WHAT DO YOU HAVE IN MIND? WHAT DO WE HAVE IN MIND? YOU KNOW? YOU CAN. I THINK FOR THE MOST PART, THE LANDOWNERS ARE TRYING TO SELL THE PROPERTY, SO THEY WOULD PROBABLY IT'S PROBABLY MORE BENEFICIAL FOR YOU TO MEET WITH THE POTENTIAL DEVELOPER BECAUSE IT THEY'RE HAPPY TO SELL IT TO WHOEVER CAN FIGURE OUT A WAY TO MAKE IT WORK THAT MEETS COUNCIL'S EXPECTATIONS.

I DON'T THINK IT'S NECESSARILY THAT A LANDOWNER IS WANTING TO DEVELOP IT A CERTAIN WAY, AND IS NOT ABLE TO DO THAT.

I THINK IT'S MORE ABOUT THEIR WANTING TO SELL IT, AND THAT'S WHERE THEY'RE RUNNING INTO.

BUT IF THEY KNOW HOW THEY CAN MARKET IT TO DEVELOPERS AND THEY CAN SAY, HEY, WE ALREADY HAVE THE GREEN LIGHT TO DO, THIS MIGHT BE EASIER TO SELL IT TOO.

BUT I THINK TO SOME DEGREE IT MAY BE LISTED UNDER ONE WAY AND A DEVELOPER WANTS TO DO IT SOMETHING A DIFFERENT WAY. AND SO IT MAY REQUIRE AN MPA.

AND AT THAT POINT THEY SAY, I DON'T WANT TO PLAY.

THAT'S OKAY.

IT'S A HIGH HURDLE TO HIT.

THESE A LOT OF THESE INFILL LOTS HAVE BEEN LARGE RESIDENTIAL ACREAGE.

AND THE PERSON WHO'S OWNED IT HAS DECIDED THAT, YOU KNOW, TO MAKE MORE MONEY IN A SALE, IF THEY CAN CONVERT IT INTO SOMETHING ELSE, THEY CAN IT WOULD BE A MORE VALUABLE PIECE OF PROPERTY. WHAT THEY COULD DO IS SELL IT TO ANOTHER PERSON WHO WANTS A LARGE RESIDENTIAL ACREAGE, AND THERE WOULDN'T BE A PROBLEM.

SO REALLY, IT'S JUST A MATTER OF, YOU KNOW, ARE THEY ASKING THE PRICE? MAYBE THEY'RE ASKING IS HIGHER THAN THEY CAN GET FOR THE TYPE OF LAND USE THAT WOULD BE ALLOWED ON IT.

AND BUT IF WE'RE YOU KNOW, THE TITLE IS IN THE LONG PRAIRIE DISTRICT.

SO, I MEAN, THERE'S A NUMBER OF PARCELS THAT ARE ALONG 2499 THAT ARE VACANT.

AND SO THOSE ARE NOT NECESSARILY RESIDENTIAL PROPERTIES, BUT RATHER IN MANY CASES COMMERCIAL.

[00:45:01]

AND I DON'T KNOW.

IS IT OUR JOB TO HURRY ALONG THE SALE OF PROPERTIES? I THINK CASE BY CASE BASIS, I MEAN, WE SHOULD BE OPEN TO HEARING WHAT THEIR REQUEST IS.

AND I DON'T KNOW THAT WE NEED TO.

YEAH TO ANN'S POINT, I THINK US MEETING WITH THE POTENTIAL BUYER OR DEVELOPER OF THE PROPERTIES.

I THINK WE'D ALL BE OPEN TO THAT.

DON'T WANT TO SPEAK FOR EVERYBODY, BUT I THINK THAT'S A GOOD PROCESS.

THE CONCERN I HAVE IS WHEN ARE WE PUTTING OUR FINGER ON THE SCALE OF THE FREE MARKET? AND I WANT TO MAKE SURE WE DON'T DO THAT.

BUT AT THE SAME TIME, I WANT TO BE RESPONSIVE TO POTENTIAL DEVELOPERS AND LANDOWNERS AND, YOU KNOW, MEET THEIR NEEDS.

BUT I THINK WE ARE MORE IN A REACTIVE ROLE IN THIS PHASE INSTEAD OF A PROACTIVE WHERE WE'RE TRYING TO GET OUT AND DO SOMETHING.

LEXIN TO YOUR POINT. SO IF SOMEONE DOES REACH OUT TO YOU, COULD YOU JUST YOU KNOW, SEND US AN EMAIL AND SAY, HEY, JUST LET YOU KNOW THIS PERSON REACHED OUT.

THEY'RE STRUGGLING.

SURE. MAYBE YOU CAN TAKE A MEETING WITH THEM OR BECAUSE WE DON'T KNOW THERE'S A PROBLEM, THEN WE CAN'T REALLY WORK TO SOLVE IT.

SO I'M GLAD THIS ONE CAME UP.

AND IT'S PROBABLY ANOTHER MAYBE.

BUT I THINK IF WE COULD DO THAT RIGHT, AND THEN AND AT LEAST WE KNOW, AND THEN WE COULD REACH OUT TO THEM.

AND IF WE WANT TO SET UP THE MEETING, WE SET UP THE MEETING OR WE.

YEAH. AND THEN JUST ONE OTHER QUESTION, JIM.

YOU SAID YOU BROUGHT THIS UP A FEW YEARS AGO WITH WITH THE BOOK.

WHAT WAS THE VISION FOR THE BOOK AND HOW DOES THAT IS DOES IT TAKE INTO ACCOUNT WHAT THE LANDOWNERS WANT TO DO, OR IS IT JUST WHAT OUR PLAN WOULD BE FOR THOSE.

NO, NO. SO WHAT IT WAS IS IDENTIFICATION BECAUSE THERE WERE PLOTS OF LAND THAT WERE AROUND TRACKS.

AND SOME OF THEM WERE, YOU KNOW, 3 TO 5 ACRES AND OTHERS WERE WELL, THE OLD LISD PROPERTY WAS LIKE 78 ACRES.

SO IT WAS A RANGE OF PROPERTIES, BUT THEY WERE ALL LESS THAN 100 ACRES OR SO, AND IT WAS MOSTLY ON THE EAST SIDE OF TOWN.

SO IT WAS INFILL BECAUSE EVERYTHING HAD BEEN DEVELOPED AROUND IT.

PERSONALLY, MOST OF THESE LOTS ARE NOT, WELL, NECESSARILY WELL MAINTAINED.

SO THERE CAN BE KIND OF AN EYESORE, IF YOU WILL WITH, YOU KNOW, HIGH GRASS AND WEEDS AND SO FORTH.

AND, AND SO IT WAS OKAY.

THESE HAVEN'T DEVELOPED LOOKING AT WHAT ARE OPPORTUNITIES TO IF, IF THE LAND USE DOESN'T MAKE SENSE BECAUSE OF THE MASTER PLAN FROM 2006, WHEN THEY LOOKED AT A LOT OF THESE PROPERTIES IN THE SPA'S AND SO FORTH.

[INAUDIBLE] THEN WHAT DID MAKE SENSE? AND KIND OF TRYING TO WORK WITH THE LANDOWNER OR A DEVELOPER OR WHATEVER TO SEE WHAT WOULD BE ACCEPTABLE.

I MEAN, I DIDN'T WANT TO IMPACT RESIDENTIAL COMMUNITY AROUND THEM, BUT THERE'S OBVIOUSLY SOME OPPORTUNITY HERE WHERE MAYBE THEY DON'T MATCH UP FOR WHAT WE HAVE.

I WILL THROW SOMETHING OUT BECAUSE IT MIGHT BE HERE ON THIS LITTLE MAP AND SO FORTH.

YOU TAKE THE QT AT WAKETON AND 2499 OVER BY WHERE I LIVE.

OKAY. AT THIS, WHEN THAT WAS APPROVED FROM ZONING BEFORE I WAS ON COUNCIL.

AT THE SAME POINT, GOING ALL THE WAY BACK TO COLLEGE PARKWAY.

THERE WAS MEDICAL OFFICE THAT WAS APPROVED AND OR GARDEN OFFICE AND SO FORTH.

WELL, YOU KNOW WHAT? GARDEN OFFICE.

WE HAVE A PROLIFERATION OF THEM.

RIGHT NOW WE HAVE VACANCIES.

SO THAT'S PROBABLY NEVER GOING TO ACTUALLY DEVELOP INTO THAT.

SO WHAT IS AN ALTERNATIVE FOR THAT.

AND THAT WAS JUST DONE, YOU KNOW, HALF A DOZEN YEARS AGO OR SO.

BUT THERE'S OTHER PIECES OF LAND AROUND THE AREA.

BACK WHEN I WAS DATING MY WIFE AND SHE LIVED AT, YOU KNOW, JUST ACROSS THE BORDER IN LEWISVILLE.

THERE WAS A PROPERTY AT COLLEGE AND KIRKPATRICK THAT SAT THERE FOR VACANT FOR.

AND IT'S STILL VACANT AND IT'S GOT LIKE FOUR FOOT WEEDS ON IT.

THERE'S A COUPLE SCRUB BRUSHY TREES.

YEAH. BUT IT'S PRETTY, YOU KNOW, GNARLY LOOKING FROM A MAINTENANCE.

SO THAT'S KIND OF WHAT IT WAS IS, IS, YOU KNOW, RATHER THAN HAVING PROPERTY JUST SITTING THERE VACANT THAT WAS BEING WELL MAINTAINED, BETTER TO HAVE IT AND NOT GENERATING MUCH TAX REVENUE.

YEAH. BUT DEVELOP IT TO SOMETHING THAT WAS USEFUL.

I'M LOOKING AT THIS EXAMPLE IN FRONT OF US HERE AND THINKING, HOW WOULD WE HAVE HANDLED THIS DIFFERENTLY? BECAUSE THE APPLICANT WANTED EXCEPTIONS ON THE TRAIL CONNECTION, THEY WANTED EXCEPTIONS ON THE COMPATIBILITY BUFFER WITH THE RESIDENTIAL.

AND I THINK THAT THERE WERE THERE WAS A PUSHBACK ON THAT FROM THOSE RESIDENTS.

SO IF WE HAD PUT IN A MECHANISM WHERE THEY COULD HAVE HAD ALL THAT UP FRONT, I'M NOT SURE WE WOULD HAVE BEEN HAPPY WITH THE RESULT.

[00:50:04]

SO IT'S A I JUST I'M TRYING TO THINK ABOUT HOW WE MIGHT HAVE HANDLED THIS DIFFERENTLY IF WERE TO IMPLEMENT.

YOU KNOW SOME OF THESE IDEAS BEFOREHAND, AND I'M NOT SURE WE WOULD HAVE GOTTEN A GOOD OUTCOME ON THIS PARTICULAR EXAMPLE.

I MEAN, IS THERE ANY THE LANDOWNER COULD COME TO US AND ASK FOR AN MPA RIGHT? ON A CASE BY CASE BASIS? YEAH. SO I FEEL LIKE.

BUT IF THEY DON'T HAVE A DEVELOPER, THEY'RE NOT GOING TO KNOW WHAT TO ASK FOR EITHER.

YEAH, BUT. THEY DON'T HAVE A DEVELOPER MAYBE IT'S NOT THAT HIGH A PRIORITY FOR THEM.

WELL, I MEAN I THINK IT SHOULD THEY SHOULD COME TO US.

YEAH I DO I KIND OF FEEL LIKE THIS IS JUST A WAY TO BYPASS AN MPA.

NO. YOU STILL HAVE TO DO THE MPA.

WOULD IT BE WORKING MORE COLLABORATIVELY TO TRY AND HELP IT ALONG, IF YOU WILL.

IT'S LIKE ENCOURAGING OTHER USES, BUT POTENTIALLY LOOKING AT IT AT LEAST TO SEE WHETHER WHAT IT'S WAS MASTER PLANNED.

WHAT IS IS THAT STILL FEASIBLE OR NOT.

AND THEN IF IT'S NOT WHAT IS AND SOMETHING OF THAT NATURE.

SO MAYBE A NEXT STEP COULD BE JUST HAVING STAFF REVISIT THIS BOOK AND UPDATE IT.

LOOKING AT WHAT PROPERTIES ARE STILL OUT THERE, WHETHER THERE ARE ANY NEW ONES THAT HAVE KIND OF BUBBLED UP, BUT WE STARTED GETTING DRCS ON THEM AND WE CAN UPDATE THIS AND PROVIDE IT TO COUNCIL AS KIND OF A NEXT STEP.

AND THEN YOU CAN LIKE YOU CAN JUST SEND IT THROUGH EMAIL OR SOMETHING, YOU CAN REVIEW IT, AND THEN Y'ALL CAN LET ME KNOW IF YOU WANT TO DISCUSS IT FURTHER.

YEAH, I THINK THAT'S A GREAT IDEA AS LONG AS IT DOESN'T TAKE TOO MUCH TIME FOR YOU ALL.

I KNOW YOU HAVE A LOT TO DO ANYWAY.

EXPEDITE THAT PROCESS.

THEY'RE GOING TO TAKE THAT 29 SITES AND JUST START CROSSING A FEW OF THEM OFF.

THAT GOT DEVELOPED. OKAY, WELL, THERE'S A FEW.

YEAH. I MEAN, YEAH, YOU CAN CLEAN IT UP.

YEAH. THE ONE BY THE SONIC COUNT I DON'T REMEMBER.

IS THAT ON THERE? THAT WAS PROBABLY ON THERE ACTUALLY.

AND THEN WE GOT THE ONE ON THE CORNER OVER BY THE NURSERY THAT WENT.

YEAH, THAT'S PROBABLY ON THERE TOO.

OKAY. SO THE NEXT ONE IS MORE DIRECT CONTACT WITH INSPECTORS OUTSIDE OF INSPECTION TIMES.

SO, YOU KNOW, INSPECTORS ARE OUT IN THE FIELD, SO THEY CHECK THEIR EMAILS IN THE MORNING.

I MEAN, THEY MIGHT TRY TO CHECK THEM SOME ON THEIR PHONE.

IT'S THEIR PERSONAL PHONE WHILE THEY'RE OUT AND ABOUT.

AND THEN THEY COME BACK AT THE END OF THE DAY AND CHECK MESSAGES THEN TO.

SO I THINK IF THE TOWN WOULD LIKE INSPECTORS TO BE AVAILABLE, YOU KNOW, VIA CELL CALL DURING THE DAY WHILE THEY'RE OUT ON INSPECTIONS, THEN THE SOLUTION TO THAT WOULD BE TO FUND PHONES FOR INSPECTORS.

SO THAT WOULD BE AN ADDITIONAL $85 PER PERSON.

THEY CURRENTLY GET A SMALL STIPEND.

IT'S NOT ENOUGH TO ACTUALLY PAY FOR CELL SERVICE.

OR IF YOU WANT TO GO IN A DIFFERENT DIRECTION WITH IT, THEN THE TOWN COULD PURCHASE THE CELL PHONES FOR THE INSPECTORS, AND THEN THEY WOULD OF COURSE BE TOWN PROPERTY.

SO THAT WOULD BE $650 PER PHONE, BUT THAT WOULDN'T BE EVERY YEAR.

I MEAN, YOU KNOW, YOUR PHONE WOULD BE GOOD FOR A FEW YEARS.

CAN WE PASS THE COST DOWN TO THE INSPECTION? SO THEY DON'T HAVE WORK PHONES ALREADY? THEY DO NOT.

THEY GET A STIPEND. BUT HONESTLY, HAVING BEEN A PERSON THAT WAS OUT IN THE FIELD WITH DIFFERENT CLIENTS AND CUSTOMERS, I DIDN'T TAKE CALLS FROM OTHER PEOPLE WHILE I WAS WITH THAT PERSON. I WOULD CHECK IN BETWEEN SOMETIMES, BUT IF I HAD A TIGHT SCHEDULE, I WENT ON TO THE BUSINESS I HAD SCHEDULED FOR THE DAY, AND SO I JUST FEEL LIKE I DON'T WANT TO DISTRACT OR DETRACT FROM THE TIME THEY SPEND ON AN INSPECTION WITH ALL THESE CONSTANT INTERRUPTIONS.

I MEAN, IF IT'S FOR THEM TO CALL OUT, I THINK THAT'S ONE THING, BUT I DON'T THINK I WANT THEM GETTING ALL THESE PHONE CALLS WHILE THEY'RE DOING THEIR JOB.

WELL. I'LL ADD TO THAT.

SO THERE'S A LOT OF TIME IN THE FIELD FOR BOTH CONSTRUCTION AND BUILDING INSPECTIONS THAT THEY'RE TRAVELING.

SO I DON'T SEE IT AS AN ISSUE WHERE THEY'RE GOING TO BE BOTHERED WHILE ON INSPECTION.

A LOT OF TIMES, I WOULDN'T SAY A LOT OF TIMES.

ONE EXAMPLE IS ONE OF OUR INSPECTORS GOES OUT, DOES AN INSPECTION, AND, YOU KNOW, THE BUILDER DOESN'T HAVE TO BE PRESENT ON CERTAIN INSPECTIONS.

BUT IF HE'S RUNNING THE BUILDERS RUNNING LATE AND MISSES THE INSPECTION, GETS THERE AND SEES THE COMMENTS HE HAS THE ABILITY TO CALL THE INSPECTOR AND GET SOMETHING CLARIFIED OR SOMETHING LIKE THAT. SO I CAN SEE A LOT OF THE CALLS HAPPENING IN TRANSIT BETWEEN EACH INSPECTION OF THE DAY.

SO I JUST HAVE TO SAY I'M NOT A FAVOR OF TALKING WHILE YOU'RE DRIVING.

EVEN THOUGH HANDS FREE, IT'S STILL A DISTRACTION.

AND TRUST ME, STUFF HAPPENS SO I CAN'T.

MISS RISK ANALYSIS.

IT'S IT'S TRUE. SUPPORT THIS ONE.

DISTRACTED DRIVING CAN'T DO IT.

I DON'T WANT PEOPLE TALKING ON THE PHONE, ESPECIALLY WITH TECHNICAL THINGS.

AND THEY'RE TRYING TO REMEMBER THINGS, AND MAYBE THEY HAVE A NOTE THAT THEY HAVE TO TAKE DOWN.

I JUST WANT THEM TO FOCUS ON DRIVING.

SO IF WE BOUGHT PHONES, HOW MANY PHONES WOULD WE HAVE TO BUY? IT WOULD BE 12, SIX ENGINEERING CONSTRUCTION INSPECTORS AND SIX BUILDING INSPECTORS.

[00:55:02]

JUST THAT WAY THEY CAN LEAVE AT THEIR DESK AT NIGHT AND NOT TAKE IT HOME AND HAVE PEOPLE CALLING THEM ALL HOURS OF THE NIGHT.

NOT THAT ANYBODY WOULD, BUT YOU RUN THAT RISK.

SO AT $650 A PHONE, BUT THEN YOU'VE GOT THE SERVICE.

YEAH. YEAH. SO THAT'S ANOTHER 85 PER MONTH.

NO THE SERVICE WOULD BE $50 PER MONTH.

AND THEY CURRENTLY GET $45 A MONTH FOR A STIPEND.

SO I DIDN'T ADD THE FIVE. BUT SO THAT WOULD BE PRETTY MUCH A WASH.

SO THEY'RE ALREADY RECEIVING A STIPEND FOR A CELL PHONE.

SO. YES. SO PHONE AND GET A LINE FOR THEM AND NOT PAY THEM THE STIPEND BASICALLY.

YES. SO I DID SOME QUICK MATH.

I'M SURE JOHN ALREADY CALCULATED IT, BUT IT'S $7,800.

SO IF THEY'RE ALREADY GETTING A STIPEND, THEN IN A SENSE THEY ARE EXPECTED TO USE THEIR CELL PHONE FOR WORK, RIGHT? BECAUSE THEY GET THEY GET A STIPEND OF $45.

SO THAT'S NOT ENOUGH TO PAY FOR A PHONE OR FOR SERVICE, RIGHT? IT'S NOT EXCLUSIVE TO WORK.

IT'S A SHARED PHONE, RIGHT? IT'S A PHONE, A PERSONAL PHONE.

AND THEY HAVE A STIPEND SO THEY CAN USE IT FOR TO ME THIS IS JUST STAFF POLICY.

IF YOU WANT A POLICY WHERE THEY CAN TAKE CALLS FROM THEIR CLIENTS, THEIR APPLICANTS, THEN FINE.

IF NOT, THEN THEY HAVE TO CARRY TWO PHONES.

YEAH, I WOULDN'T HAVE THEM CARRY TWO PHONES.

ALSO ONE QUESTION, WERE THEY CONSULTED THE INSPECTORS.

YES. TO SEE. AND WHAT WAS THEIR THOUGHT ON THIS.

JUST THAT THEY WERE OKAY WITH IT IF YOU KNOW, IF, IF IT WAS GOING TO BE FUNDED THEN YES, THEY WOULD BE MAKE THAT AVAILABLE, GOOD. NO, I WOULDN'T BRING IT FORWARD WITHOUT ASKING THEM.

AND THEN THEY'RE LIKE, OH MY GOD, I HATE THIS.

WELL, I JUST WANTED TO MAKE SURE BECAUSE MAYBE SOMETIMES THE PEOPLE WHO DO THE WORK HAVE GOOD IDEAS THAT ARE DIFFERENT THAN WHAT I WOULD THINK OF.

YEAH, MANAGEMENT IS LIKE, THIS IS A GOOD IDEA.

IF STAFF WANTS A POLICY WHERE THEY CAN TAKE THESE CALLS, THEN I WOULD PREFER TO SUBSIDIZE THEIR PERSONAL PHONE BECAUSE IT'S A LOT CHEAPER THAN HAVE THEM CARRY AROUND TWO PHONES AND THEY DON'T HAVE TO GIVE OUT THEIR NUMBER.

IT CAN JUST BE ROUTED THROUGH LIKE OURS ARE FROM TOWN, RIGHT? CAN THEY FORWARD THEIR VOIP PHONE FROM THE OFFICE TO THEIR CELL PHONE? RIGHT? YEAH. THEY CAN DO THAT.

WE CAN. WHY CAN'T THEY? I DON'T KNOW I DON'T KNOW FOR SURE IF IT'S OKAY TO DO IT FROM YOUR WORK PHONE TO YOUR PERSONAL CELL PHONE, I GUESS YOU CAN.

I DON'T KNOW WHAT ALL THE RULES ARE.

YOU SAID JUST INCREASE THE STIPEND SO THEY USE THEIR PERSONAL PHONE.

WELL, THEY ALREADY HAVE A STIPEND, SO THERE MUST BE SOME EXPECTATION THAT THEY USE THEIR PERSONAL PHONE FOR WORK.

AND IT'S JUST POLICY.

IF YOU WANT THEM TAKING THOSE CALLS, THEN THAT'S FINE BY ME.

AND WE'LL, YOU KNOW, 80 IF IT'S $85, IS THE EXPECTATION THAT YOU'RE GOING TO ANSWER THAT DANG PHONE EVERY TIME IT RINGS, THEN I GUESS THAT'S FINE.

I MEAN, THAT'S WHAT I DO AT MY WORK.

THAT'S $85 PER PERSON PER YEAR OR PER MONTH? PER MONTH. PER MONTH.

YEAH. SO.

AND THAT KEEPS US FROM HAVING TO BUY A PHONE FOR EVERY ONE OF THEM, WHICH IS A GOOD DEAL.

AN INCREASE OF $40.

THAT'S A BIG INCREASE.

THEY'RE NOT GOING TO USE $500 100% FOR BUSINESS.

I THINK 40 IS FINE.

I MEAN, YEAH, I AGREE. YOU'RE ALREADY PAYING THEM A STIPEND.

I THINK THERE'S ALREADY AN EXPECTATION.

WELL, BUT I DON'T KNOW WHERE THE 85 NUMBER VERSUS THE 45 COMES FROM.

IS THERE ANY CONTEXT FOR THAT? IT'S FOR THE TOWN.

HAS THE TOWN ALREADY HAS A POLICY FOR WHAT? A FULL STIPEND IS FOR A CELL PHONE.

OUR POLICY IS VERY OLD.

AND SO IT WAS BACK IN THE DAY WHEN YOU WOULD GET SEPARATE PLANS FOR CELL SERVICE ONLY AND VERSUS HAVING DATA ON YOUR PHONE.

SO WE HAVE A STIPEND THAT INCLUDES DATA THAT IS $130 A MONTH.

AND WE HAVE A STIPEND THAT IS FOR CELL SERVICE ONLY.

THAT IS $45 A MONTH.

AND SO CURRENTLY INSPECTORS GET THE $45 CELL SERVICE ONLY STIPEND.

SO I WAS BUMPING IT UP TO WHAT WE CONSIDER THE STIPEND FOR SOMEONE THAT HAS DATA TO BE THE $130.

SO THAT'S THE DIFFERENCE.

SO I'M JUST LOOKING AT THIS SLIDE.

BUT THE REOCCURRENCE, THAT'S THE NUMBER OF PEOPLE WHO KIND OF REQUESTED THIS.

YES. ONLY ONE PERSON REQUESTED IT.

SO THAT'S WHY IT'S RED. YEAH.

SO ONLY ONE PERSON REQUESTED THIS.

YEAH, THAT'S. SO I WOULD PROBABLY JUST LEAVE IT THE WAY IT IS.

YEAH. CONVERSATION.

YEAH. ONE PERSON I JUST DON'T THINK WE WANT TO SPEND $7,000 A YEAR FOR ONE PERSON.

ONE PERSON? YEAH.

OKAY. [INAUDIBLE].

HAVE A POSITION DEDICATED TO ANSWERING CODE QUESTIONS AND PROVIDING INFORMATION.

THIS WAS A REQUEST FUND, A NEW POSITION IN DEVELOPMENT SERVICES TO ADDRESS THIS NEED.

SO TALK TO HR.

THEY CHECKED AROUND WITH SURROUNDING CITIES AND FOUND KIND OF TWO DIFFERENT POTENTIAL POSITIONS THAT COULD FILL THIS TYPE OF NEED.

ONE IS MORE OF A SUBJECT MATTER EXPERT IN ALL AREAS OF DEVELOPMENT SERVICES THAT WORKS CLOSELY WITH ECONOMIC DEVELOPMENT.

SO KIND OF MORE A HIGHER LEVEL POSITION.

AND THAT'S A LITTLE OVER $86,000 A YEAR WITH BENEFITS.

THE SECOND IS MORE OF A CUSTOMER SERVICE POSITION THAT WOULD HAVE GENERAL DEVELOPMENT KNOWLEDGE, BUT IS MORE ABOUT BEING ABLE TO DIRECT APPLICANTS TO THE RIGHT PEOPLE BASED ON

[01:00:02]

THAT WOULD BE A LITTLE LESS THAN $70,000, INCLUDING BENEFITS.

SO TODAY, IF SOMEONE CALLED AND HAD A CODE QUESTION, WHAT? HOW DOES THAT HAPPEN? HOW DOES THAT WORK WITHIN THE TOWN.

THAT DEPENDING ON THE QUESTION, IT GETS DIRECTED TO THE VARIOUS DIVISIONS.

AND SO LIKE, YEAH, RIGHT NOW.

IF YOU SAY THAT NOW AND I GUESS.

IT'S PROBABLY NOT ALL 100% CORRECT.

YOU KNOW, SOMEBODY SAYS SOMETHING AND WHOEVER THEY TALK TO, IF THEY CALL AND SPEAK TO THE RECEPTIONIST, SHE MAYBE THINKS THAT SOUNDS LIKE CODE ENFORCEMENT, BUT REALLY THEY MEANT BUILDING CODE OR SOMETHING. SO THERE'S PROBABLY SOME IT'S NOT A PERFECT SYSTEM, SO THERE'S PROBABLY SOME GETTING SWITCHED AROUND TO THE WRONG PERSON OR THAT SORT OF THING, HAVING TO FIGURE IT OUT. BUT I WILL SAY, YEAH, ALL TOWN DEPARTMENTS DIVISIONS ARE CURRENTLY AVAILABLE FOR QUESTIONS.

THEY HAVE A DIRECT LINE THAT'S ACCESSIBLE TO THE PUBLIC OR TO APPLICANTS.

SO IF SOMEBODY HAS THOSE QUESTIONS TODAY, THEY WOULD JUST CALL WHOEVER THEY THINK IS THE RIGHT DIVISION OR DEPARTMENT OR TRY TO GET TRANSFERRED THERE.

SO RIGHT NOW THIS IS WE'RE TALKING ABOUT TELEPHONE QUESTIONS.

WHY ARE PEOPLE NOT USING OUR WEBSITE TO LOOK UP CODE AND QUESTIONS.

AND THEN CAN WE NOT INVESTIGATE SOME KIND OF GENERATIVE AI THAT WOULD BETTER HONE IN ON THE PERSON'S QUESTION? AND EVEN IF IT ENDS UP IN A PHONE CALL, THE AI CAN ASSESS WHAT THEY NEED AND THEN DIRECT THEM MORE CONSISTENTLY TO THE RIGHT DEPARTMENT.

YEAH. AND I'LL MENTION ALSO JUST THAT THIS WAS ALSO SOMETHING THAT KIND OF SOMETHING IN THIS REALM THAT CAME OUT OF THE MATRIX STUDY OF OUR DEVELOPMENT PROCESS.

THEY FELT LIKE WE SHOULD HAVE LIKE A DEVELOPMENT SERVICES KIND OF FRONT DESK TYPE PERSON THAT KNOWS HOW TO DIRECT PEOPLE TO THE RIGHT QUESTIONS AND THAT SORT OF THING.

I'M NOT SAYING THAT'S WHAT WE SHOULD DO.

I'M JUST LETTING YOU KNOW THAT DID COME OUT OF THAT STUDY.

SO THEN THE EXPENSE FOR THAT SHOULD BE ADDED TO WHAT IT COSTS AND WHEN WE DO PERMITS THEN THAT SHOULD INCREASE.

AND IF, YOU KNOW, I MEAN SOMEONE HAS TO PAY FOR IT.

AND A RESIDENT WHO NEVER HAS THESE QUESTIONS, I DON'T THINK THEY SHOULD HAVE TO SUBSIDIZE THIS.

YEAH. THE TAKEAWAY FROM THIS FOR ME IS IF WE'RE GOING TO INVESTIGATE ANYTHING, IT'S SELF-SERVICE.

IT'S HOW TO IMPROVE SELF-SERVICE SO THEY CAN GET THESE QUESTIONS ANSWERED WITHOUT HAVING TO TALK TO ANYBODY.

AND THAT WOULD BE THE LIKE I WOULDN'T PUT THAT AS A HIGH PRIORITY ITEM, BUT I WOULD SAY THAT THERE'S PROBABLY WORTH SOME EXPLORATION THERE.

YEAH, LIKE A CHAT BOT WHEN YOU GET TO THE PLANNING PAGE.

BUT A GOOD ONE. OR AN FAQ FOR THAT MATTER OR SOMETHING.

I MEAN, THERE ARE SOME FAQS ON THE WEBSITE ALREADY, HAVING LOOKED AT THAT, BUT.

AP GET ON THAT AI STUFF.

YOU'RE RECURRENCE IS A YELLOW.

HOW MANY PEOPLE WERE TALKING ABOUT THIS? WE HAD TWO PEOPLE.

OUT OF? OUT OF 30.

$86,000. AND THAT'S A NO.

THAT'S A NO. IT SOUNDS LIKE I GOT JP IS ALL OVER IT.

HE'S PROBABLY GOT LIKE, MORE CONSISTENCY BETWEEN BUILDING AND DEVELOPMENT AND WORKING TIMES.

SO YOU KNOW, WHEN YOU'RE WORKING INSIDE A BUILDING, YOU PROBABLY HAVE A LOT MORE FLEXIBILITY FOR THE HOURS THAT YOU CAN WORK.

IS IT DEPENDING ON WHAT YOU DO, MIGHT NOT REALLY HAVE ANY NOISE, THAT SORT OF THING.

SO THIS AGAIN CAME FROM ONE PERSON.

BUT THEY WERE WANTED TO HAVE MORE FLEXIBILITY IN THE WORKING HOURS WHEN THEY WERE DOING OUTSIDE CONSTRUCTION WORK THINGS THAT I GUESS WOULD REQUIRE POTENTIALLY INSPECTIONS FROM THE TOWN'S ENGINEERING DEPARTMENT.

SO CURRENTLY, ENGINEERING INSPECTIONS CAN OCCUR ANY TIME BETWEEN 7 A.M.

AND 4 P.M. THAT ARE JUST COVERED WITH YOUR NORMAL INSPECTION FEE.

IF YOU HAVE A WEEKDAY INSPECTION THAT OCCURS OUTSIDE OF THOSE HOURS, IT'S AN ADDITIONAL $100 FEE TO COVER THE POTENTIAL FOR STAFF OVERTIME.

IF YOU SOMEONE WANTS TO REQUEST AN INSPECTION ON SATURDAY, IT'S AN ADDITIONAL FEE OF $410.

FOR THE SAME REASON THE TOWN DOES NOT ALLOW WORK ON SUNDAYS.

PARTICULARLY THAT WOULD REQUIRE INSPECTIONS.

AND SO I GUESS THE QUESTION, IS THERE AN INTEREST FROM COUNCIL IN ALLOWING WORK ON SUNDAYS OR IN ABSORBING THE ADDITIONAL OVERTIME COSTS? NO. NO, I LIKE IT HOW IT IS.

YEAH. SOUNDS GOOD. THAT WAS GOOD.

NUMBER 11. ALLOW REVIEW OF BUILDING PERMITS CONCURRENTLY WITH SITE PLAN APPLICATIONS.

SO THIS WAS A SPECIFIC REQUEST THAT CAME FROM A COUPLE OF PEOPLE.

AND SO I WILL SAY ON A BY REQUEST BASIS, STAFF ALREADY DOES ALLOW BUILDING PERMIT APPLICATIONS TO BE SUBMITTED PRIOR TO THE SITE PLAN BEING SCHEDULED FOR APPROVAL BY P&Z IF THE ONLY OUTSTANDING ITEMS ON THE SITE PLAN ARE UNRELATED TO THE BUILDING.

BUT SO OUR NORMAL POLICY IS ONCE YOUR SITE PLAN IS SORRY.

AS I READ IT, I REALIZED THAT COULD BE CONFUSING.

AND Y'ALL, SOME OF Y'ALL LOOK CONFUSED.

SO LET ME LET ME TALK SOME MORE.

OUR NORMAL POLICY IS THAT YOU HAVE TO GO THROUGH YOUR SITE PLAN PROCESS FIRST.

ONCE YOUR SITE PLAN IS APPROVED TO BE SCHEDULED WITH P&Z, WHICH BASICALLY IT MEANS STAFF SIGNED OFF ON IT.

SO IT MIGHT NOT ACTUALLY HAVE GONE TO P&Z YET, BUT WE'VE SIGNED OFF ON IT.

[01:05:03]

THEN YOU CAN SUBMIT YOUR BUILDING PERMIT AND START HAVING THAT REVIEWED.

BUT SOMETIMES THERE'S SITUATIONS WHERE WE HAVE NOT, YOU KNOW, MAYBE, FOR INSTANCE, MAYBE ENVIRONMENTAL HASN'T SIGNED OFF ON THE SITE PLAN YET BECAUSE THERE'S STILL SOME TREE QUESTIONS, BUT IT DOESN'T HAVE ANYTHING TO DO WITH THE BUILDING.

IT'S A, YOU KNOW, THESE TREES ARE OVER THERE.

YOU DIDN'T LABEL THIS ONE PROPERLY OR THAT SORT OF THING.

SO WE'VE SAID, OKAY, THAT DOESN'T HAVE ANYTHING TO DO WITH THE BUILDING.

YOU CAN GO AHEAD AND APPLY FOR YOUR BUILDING PERMIT.

WE DON'T THINK THERE'S GOING TO BE ANY ISSUES THAT COME UP.

SO THAT IS ALREADY WHAT WE CURRENTLY DO.

BUT SO THE REQUEST HAS BEEN THEY WANT TO JUST BE ABLE TO FULLY SUBMIT THE BUILDING PERMIT FOR REVIEW AT THE SAME TIME AS THE SITE PLAN.

NOW, THE PROBLEM WITH THAT IS YOU HAVE DIFFERENT PEOPLE, PLANS, EXAMINERS THAT ARE REVIEWING THE BUILDING PERMIT AND SEVERAL OTHER DIVISIONS THAT ARE REVIEWING THE SITE PLAN. SO I THINK THERE IS A POTENTIAL FOR THINGS TO GET MISSED BECAUSE, YOU KNOW, IF A PLANS EXAMINER SAYS YOU HAVE TO CHANGE THIS AREA OF THE BUILDING AND THEY CHANGE IT ON THE BUILDING PERMIT, BUT DON'T CHANGE IT ON THE SITE PLAN.

AND THEN THERE'S THE POTENTIAL FOR THINGS LIKE THAT TO GET MISSED.

SO I THINK THAT'S A POTENTIAL CONCERN.

I THINK THERE WOULD ALSO WE WOULD HAVE TO SEE HOW IT GOES IF WERE TRYING THIS OUT, BUT I THINK THERE WOULD LIKELY NEED TO BE AN INCREASED FEE FOR BOTH APPLICATIONS BECAUSE I THINK IT WOULD PROBABLY RESULT IN ANOTHER ROUND OF REVIEW FOR BOTH OF THEM, BECAUSE YOU WOULD BE GETTING A COMMENT HERE THAT AFFECTED THIS APPLICATION.

SO THEN YOU'D NEED TO ADDRESS IT OVER HERE.

SO AGAIN I MY IMPLEMENTATION IS RED.

I FEEL LIKE THIS WOULD BE CHALLENGING, BUT IF IT'S A TOPIC COUNCIL IS INTERESTED IN, THEN WE CAN LOOK FURTHER INTO IT.

I MEAN I'M YEAH, YOUR CONCERNS ARE HEARD.

AND I WOULD JUST SAY THAT IF IT'S A MINISTERIAL SITE PLAN, MEANING NO EXCEPTIONS, IT'S NOT EVEN GOING TO COME TO COUNCIL.

I HAVE A LOT LESS CONCERN ABOUT SOME KIND OF PARALLEL PROCESS THAT ALLOWS IT THROUGH A PILOT PROGRAM.

BUT IF IT'S GOING TO BE A BURDEN ON STAFF AND OPEN US UP TO A LOT OF ERROR, THEN IT'S PROBABLY NOT WORTH DOING, I AGREE.

YEAH. HOW LONG IS THE BUILDING PERMIT APPLICATION PROCESS TAKE? IT'S PRETTY QUICK.

I THINK I'M THINKING IT'S WITHIN A COUPLE OF MONTHS USUALLY.

WELL, WHAT STOPS THEM FROM PREPARING ALL THE INFORMATION THEY NEED FOR THE BUILDING PERMIT SO THAT ONCE THE SITE PLAN IS APPROVED, ASSUMING IT WOULD BE THE NEXT DAY, THEY CAN, THEY'LL BE READY TO GO.

BUILDING PERMITS HIT ENTER.

NOTHING STOPS THEM FROM DOING THAT.

AND LIKE I SAID, IT'S NOT. THAT'S THE WAY TO SAVE TIME.

WAIT UNTIL IT'S APPROVED.

AS LONG AS SOON AS IT'S KIND OF SIGNED OFF TO BE SCHEDULED WITH P&Z, THEN IT CAN ALREADY BE SUBMITTED.

AND I'LL JUST ADD TO THAT.

YOU KNOW, ALMOST EVERY PROJECT, EVERYBODY'S TIME IS MONEY.

THEY'RE TRYING TO GET GOING. AND, YOU KNOW, THERE ARE TIMES THAT WE RUN INTO SOMEBODY WHO'S REALLY IN A CRUNCH FROM A TIME PERSPECTIVE, AND JOEL HAS REACHED OUT TO THEM AND SAID, HEY, ONCE YOU GET YOUR 80% PLANS FOR YOUR ARCHITECTURAL FOR THE BUILDING, GO AHEAD AND LET US START LOOKING AT IT SO WE CAN TELL YOU SOME OF THE BIG STUFF.

SO THEY'VE BEEN OPEN TO TRY TO DO THAT, TO SMOOTH OUT THE EDGES BEFORE THEY ACTUALLY SUBMIT IN THE SITE PLANS COMPLETE.

SO LIKE LEXIN SAID, A LOT OF THIS IS CASE BY CASE.

SO I LIKE THAT YOU'RE EMPOWERED TO DO THAT CASE BY CASE.

AND I DON'T SEE A REASON TO CHANGE THAT.

REALLY. DO YOU? OKAY. IT'S A NEW.

OKAY. ENSURE ALL DEVELOPMENT STANDARDS ARE CODIFIED IN A TIMELY MANNER.

SO THIS WAS WE GOT THIS FROM ONE PERSON THAT JUST TALKED ABOUT.

WE'RE KIND OF TALKING ABOUT SOMETIMES THEY'RE GETTING FEEDBACK FROM STAFF.

THAT'S LIKE, HEY, THIS IS WHAT THE TOWN'S GOING TO EXPECT TO SEE ON THIS APPLICATION, BUT IT'S NOT YET BEEN CODIFIED.

AND SO THEY'RE LIKE, WELL, THEN THAT SHOULD BE HAPPENING FASTER BECAUSE WE SHOULDN'T BE HAVING TO HEAR ABOUT THAT.

AND I, YOU KNOW, I GUESS ME, WE DO THEM AS QUICKLY AS WE CAN.

WE ONLY HAVE ONE LONG RANGE PLANNER.

AND SO FOR THINGS THAT ARE KIND OF NOT IDENTIFIED AS A PRIORITY, Y'ALL PROBABLY SAW WITH THE LAST LDR WE BROUGHT FORWARD, I MEAN, IT HAD THINGS THAT WENT BACK MULTIPLE WORK SESSIONS AND THAT SORT OF THING.

BUT STAFF STARTS PASSING ON THAT FEEDBACK TO APPLICANTS AS SOON AS WE KNOW IT.

LIKE, OKAY, THIS ISN'T ADOPTED YET, BUT THIS IS WHAT'S GOING TO BE EXPECTED TO BE SEEN.

WE'VE ALREADY HAD A WORK SESSION ON IT, THAT SORT OF THING.

SO WE HAVE A CURRENT INVENTORY OF ALL OF THE LDR UPDATES THAT ARE NEEDED OR SUPPOSED TO BE NEEDED.

DO WE KNOW OR DO WE JUST HAPPEN TO COME UPON THEM AND THEN WE'RE LIKE, OH YEAH, WE NEED TO UPDATE THAT ONE.

NO, WE DON'T HAVE, I MEAN.

SO I THINK THE ONLY THING WE HAVE OUTSTANDING RIGHT NOW, SINCE WE JUST BROUGHT THE ONE FORWARD, IS FINISHING THE SIGN ORDINANCE UPDATE, BECAUSE WE HAD THAT SIGN WORK SESSION AND WE TOOK FORWARD A COUPLE OF THOSE THINGS WITH THE LAST ONE THAT WERE MORE URGENT, BUT THERE WERE MORE THINGS THAT WERE SCHEDULED FOR THE SIGN ORDINANCE UPDATE THAT WE HAVEN'T BROUGHT FORWARD YET.

SO I THINK THAT'S THE ONLY THING THAT'S OUTSTANDING AT THIS TIME.

YOU KNOW, I'LL SAY, OTHER THAN THAT, WE DO MAKE NOTE WHENEVER WE NOTICE SOMETHING THAT, HEY, WE KEEP GETTING QUESTIONS ABOUT THIS, WE SHOULD PROBABLY TRY TO UPDATE IT OR THAT

[01:10:05]

BUT IF YOU'RE JUST ASKING WHAT'S KIND OF IN THE QUEUE RIGHT NOW, I THINK IT'S REALLY JUST THE SIGN ORDINANCE UPDATE.

SO TO THE BEST OF OUR KNOWLEDGE, ONCE WE FIX THAT, WE WON'T HAVE ANY THAT WE ARE AWARE OF THAT NEED TO BE FIXED.

SO THIS PROBLEM IS MINIMIZED.

OH, TILL THE NEXT ONE.

I KNOW, BUT WHAT I'M SAYING IS, IF WE DON'T HAVE A SPECIFIC INVENTORY, LIKE IF WE DON'T TAKE THE TIME TO, LIKE, DO THE ONCE OVER, YOU KNOW, A COMPLETE REVIEW, WHICH I DON'T KNOW HOW LONG THAT WOULD TAKE, THEN THEY'RE GOING TO CONTINUE TO KIND OF SURPRISE US AND POP UP UNANTICIPATED.

RIGHT? RIGHT.

I MEAN, I WOULD SAY THINGS ARE GOING TO CONTINUE TO POP UP REGARDLESS.

SO I DON'T THINK IT'S JUST A FAILURE OF STAFF TO DO A FULL INVENTORY.

I THINK, YOU KNOW, THINGS CHANGE OVER TIME.

NEW USES POP UP, AND THEN WE HAVE TO DETERMINE WHETHER THEY'RE REALLY ADDRESSED BY AN EXISTING USE THAT WE HAVE, OR WHETHER WE NEED TO CREATE A NEW USE AND NEW STANDARDS FOR IT AT TIMES CHANGE AS FAR AS WHAT PEOPLE ARE WANTING TO DO FOR LANDSCAPING OR WHAT I MEAN, THINGS JUST CHANGE OVER TIME.

THERE'S ALWAYS GOING TO BE MAINTENANCE NEEDED TO THE TOWN'S ORDINANCES.

THAT'S GOOD TO UNDERSTAND.

WOULD THERE BE ANY BENEFIT IN THE PROCESS IMPROVING THE OR CHANGING THE PROCESS TO LIKE, SAY, BRING SMALLER LDR CHANGES FORWARD MORE QUICKLY? WE COULD DO THAT.

I THINK THERE WOULD BE A GREATER COST TO THE TOWN.

JUST BECAUSE IT'S MORE NOTICING.

IT'S COMING TO MORE MEETINGS.

IT'S MORE IT'S MORE STAFF TIME AS OPPOSED TO COLLABORATING THEM TOGETHER INTO ONE LARGER UPDATE.

I JUST DON'T THINK THAT HIRING A SECOND LONG RANGE PLANNER WOULD BE SOMETHING I WOULD SUPPORT.

BUT IF THERE'S ANY ROOM FOR PROCESS IMPROVEMENT, THAT'D BE FINE.

OKAY. PROVIDE ADDITIONAL TRAINING TO BOARDS AND COMMISSIONS ON THEIR ROLES AND RESPONSIBILITIES.

SO THIS WAS AGAIN IDENTIFIED BY ONE PERSON.

JUST TALKED ABOUT WANTING TO GIVE MORE GUIDELINES TO BOARDS AND COMMISSIONS.

SO RELEVANT TRAINING OPPORTUNITIES ARE ALREADY OFFERED TO BOARDS AND COMMISSIONS THROUGH ASSOCIATED DEPARTMENTS BUDGETS AS AVAILABLE.

YOU KNOW, CURRENTLY THE TOWN ONLY PAYS TO HAVE A REPRESENTATIVE FROM TOASE TO HELP COMMISSIONERS AND ENSURE THEY STAY WITHIN ANY LEGAL CONFINES AT P&Z AND BOA MEETINGS.

SO IF THERE IS AN INTEREST FROM COUNCIL IN HAVING A LEGAL REPRESENTATIVE WITH MORE COMMISSIONS, YOU KNOW, THERE'S PROBABLY ROUGHLY A COST OF ABOUT $750 PER MEETING. WHEN YOU LOOK AT PREP TIME ATTENDING THE MEETING, TRAVEL, ALL THAT SORT OF THING LIKE THIS MIGHT HAVE BEEN LIKE A ONE TIME OCCURRENCE BECAUSE THERE'S ONLY ONE COMPLAINT. YEAH, WELL, THAT'S LIKE REAL TIME COACHING AND FEEDBACK, RIGHT.

BUT WHAT ABOUT ADDITIONAL TRAINING IN GENERAL? BECAUSE THAT'S A SEPARATE KIND OF REQUEST IN MY MIND THAN HAVING SOMEONE LIKE OVERSEE AND FIX IT IN THE MOMENT KIND OF THING.

SO LIKE I SAID, WE DO WE DO PROVIDE TRAINING AS AVAILABLE.

AND LIKE I SAID, I CAN'T NECESSARILY SPEAK FOR ALL OF THE COMMISSIONS BECAUSE I'M NOT AS INVOLVED WITH THEM.

SPECIFICALLY, BUT FOR INSTANCE, WITH P&Z, YOU KNOW, WE OFFER THEM MULTIPLE TRAINING OPPORTUNITIES THROUGH THE YEAR AND WE'LL PAY FOR THEM THROUGH THE PLANNING SERVICES BUDGET TO ATTEND OR PARTICIPATE IN THOSE TRAININGS.

SO I KNOW THAT EXISTS FOR SOME BOARDS.

LIKE I SAID, WE CAN DEFINITELY PASS ON THE MESSAGE AND TELL, YOU KNOW, OTHER DEPARTMENTS THAT ARE RESPONSIBLE FOR BOARDS TO LOOK FOR MORE OF THOSE OPPORTUNITIES.

IT'S HARD FOR ME TO UNDERSTAND OR COME UP WITH SOMETHING PRESCRIPTIVE WHEN I DON'T REALLY KNOW THE EXTENT OF THE DISCREPANCY BETWEEN WHAT THE EXPECTATIONS ARE AND WHAT THE PERFORMANCE IS. SO I WOULD WANT TO MAYBE FLESH OUT A LITTLE BIT MORE.

WHAT ARE THEY MISSING, WHAT KIND OF ADDITIONAL TRAINING? BECAUSE IT'S ONE THING TO SAY THAT I NEED AN ATTORNEY AT EACH OF THESE MEETINGS.

YEAH. AND IT'S A DIFFERENT ONE TO SAY STAFF NEEDS TO BECAUSE WHAT YOU'RE TALKING ABOUT IS, YOU KNOW TO GUIDE THE COMMISSIONERS AND ENSURE THEY STAY WITHIN THE CONFINES OF, YOU KNOW, LEGAL LIMITATIONS.

BUT THERE'S ALSO THERE'S JUST I MEAN, I'VE BEEN A PROPONENT FOR YEARS OF THAT WE NEED TO DO A REALLY GOOD JOB WITH THE BOARDS AND COMMISSIONS TRAINING TO MAKE SURE THAT THEY UNDERSTAND THEIR ROLES AND WHAT YOU KNOW.

AND SO THAT'S WHERE I'D RATHER BE IN FAVOR OF THAT THAN HAVING AN ATTORNEY AT EACH ONE OF THESE MEETINGS.

ME TOO. BECAUSE I WANT TO KNOW WHAT ARE THE DISCREPANCIES RIGHT NOW, FIRST OF ALL.

AND THEN, YOU KNOW, IS IT INDIVIDUAL COACHING AND FEEDBACK OR IS IT LIKE AN AFTER ACTION REVIEW? AFTER FIVE MEETINGS, WE HAVE KIND OF A REVIEW OF HOW THEY DID AND WHAT THEY COULD HAVE DONE DIFFERENTLY PERHAPS.

I'M NOT SURE WHO WOULD NEED TO DO THAT.

WELL, PROBABLY THE STAFF LIAISON OR WHOEVER'S RESPONSIBLE ON STAFF FOR THAT BOARD OR THAT COMMISSION, THEY KIND OF ARE RESPONSIBLE FOR THE TRAINING.

AND IF THEY SEE SOMETHING WHERE A COMMISSIONER OR TWO OR MAYBE THE ENTIRE COMMISSION ISN'T QUITE GETTING IT, YOU DO A COURSE CORRECTION AND DO MORE TRAINING OR THEY SEE A PROBLEM. COMMISSIONER, YOU KNOW, LET COUNCIL KNOW.

AND WE HAVE REGULARLY SCHEDULED AGENDA ITEMS TO ADDRESS THAT.

[01:15:01]

I THINK THAT'S A GOOD IDEA TO ASK THEM AND THEN ALSO INDEPENDENTLY VERIFY, BECAUSE THEY MAY NOT KNOW THERE'S A PROBLEM.

LEXIN THIS FIRST BULLET POINT MENTIONS P&Z AND B OF A.

AREN'T THOSE THE ONES THAT HAVE AN ATTORNEY PRESENT? I SAID THAT CURRENTLY WE ONLY HAVE TOASE REPRESENTATIVE AT THOSE TWO MEETINGS.

OKAY, SO WE HAVE THOSE TWO.

YEAH. I CAN'T IMAGINE WE'D NEED ATTORNEYS AT MORE MEETINGS THAN THOSE TWO.

OKAY. YEAH.

I MEAN, I AGREE TRAINING.

WE DIDN'T NEED BRYN TONIGHT.

SEE. [LAUGHTER] YES.

SO THAT WAS EVERYTHING.

THERE YOU GO. HAVE MY SUMMARY CHART.

GOOD JOB. SO I THINK I GOT WHAT I NEEDED FROM EVERYONE.

UNLESS YOU FEEL LIKE THERE'S ANY ADDITIONAL FEEDBACK OR THINGS YOU WANT TO SHARE WITH ME OR THAT YOU WISH I HAD THOUGHT OF OR BROUGHT UP OR ANYTHING LIKE THAT, IT'S VERY HELPFUL.

THANK YOU. ALL RIGHT.

THANK YOU ALL. ALL RIGHT, WELL, MOVING ON.

MERCHANT CARD PROCESSING FEES.

JOHN ZAGURSKI.

DID I GET THAT RIGHT? ZAGURSKI THE MONEY MAN.

IT'S KIND OF LIKE THE STAR OF THE SHOW FOR THE REST OF THE NIGHT.

YEAH. YEAH, I THINK WE'RE GOING TO BE TALKING ABOUT MONEY FOR A COUPLE HOURS.

NOW WE'RE GOING TO BE DONE AT 6:45, RIGHT? WELL, YEAH, THAT WAS AN HOUR AND 15 MINUTES THERE.

GOOD EVENING, SIR.

OH. ALL RIGHT.

OH AND JULIE TAYLOR.

DEFINITELY NEED MY BACKUP.

SO I HAD HER ON HERE.

HERE IN CASE. SO THANK YOU, MAYOR AND COUNCIL, FOR GIVING ME THE OPPORTUNITY TO SPEAK TONIGHT AND HEAR ME IN THIS WORK SESSION AND THIS OPPORTUNITY IN THIS JOB.

THIS IS BEEN GOOD SO FAR.

SO I'VE BEEN WITH YOU A LITTLE OVER THREE WEEKS.

A LOT OF THIS IS JUST TRYING TO GET HIT MY FEET UNDER ME AND UNDERSTAND WHERE THIS WAS GOING, BUT I WAS HERE ONE DAY BEFORE I STARTED AND THEY SAID, HEY, WE NEED TO TALK ABOUT MERCHANT CARD FEES. AND I SAID, LET'S TALK ABOUT MERCHANT CARD FEES.

AND SO THEY SAID, WELL, MAYBE WE CAN PUT THIS ON PAUSE.

AND I ASKED THEM IF THEY COULD WAIT.

AND SO THEY DID. AND I'M GLAD TO GET THE OPPORTUNITY TO SPEAK WITH YOU ABOUT THIS TONIGHT.

A WHOLE THREE WEEKS THEY WAITED.

YEAH. [LAUGHTER] SO ALL RIGHT, SO FIVE YEAR GROWTH OVERALL.

YOUR CREDIT CARD PROCESSING FEES HAVE BEEN GROWING.

PART OF THIS IS PROBABLY BECAUSE OF COVID.

PART OF THIS IS JUST BECAUSE DURING THERE WAS A CERTAIN POINT IN TIME WHERE WERE PUSHING EVERYBODY ONLINE.

BUT AS THESE CARD FEES GROW, IT CAUSED YOU GUYS TO ASK QUESTIONS AND IT CAUSED US TO ASK QUESTIONS.

SO WHAT COULD BE CAUSING THIS? AND SO ONLINE FEES ARE THE LARGEST SECTION OF THINGS THAT YOU ACTUALLY COLLECT FEES FOR.

BUT MOST ONLINE PAYMENTS DON'T ACTUALLY HAVE FEES.

SO BANK DRAFTS ACTUALLY HAVE NO FEES.

IF YOU GO SIGN UP AND HAVE YOUR BANK DRAFTED, THERE'S FEE AVOIDANCE THERE.

SO A LARGER CHUNK OF THIS, 74% OF YOUR CUSTOMERS ARE ABLE TO AVOID FEES.

AND SO MOST OF THIS IS UTILITY BILLING DRIVEN.

SO AFTER YOU GUYS ASK QUESTIONS, JULIE WENT FORWARD AND STARTED NEGOTIATING WITH GLOBAL PAYMENTS TO GET THE FEES REDUCED AND SHE WAS ABLE TO DO SO.

SHE ACTUALLY GOT IT DOWN ROUGHLY 50%.

AND YOU CAN SEE THIS BECAUSE WE'VE ACTUALLY HAD ONE WHOLE MONTH OF CLEAN DATA.

AND SHE GOT IT DOWN FROM 4.13% DOWN TO 2.3%.

THIS TOOK EFFECT IN MARCH OF 2024.

AND WE'RE ANTICIPATING THAT IT'S GOING TO CONTINUE MOVING FORWARD.

SO YOU'RE PROBABLY ACTUALLY GOING TO SEE THIS DROP IN NEXT YEAR'S BUDGET.

GOOD. HOW DO WE STAND ON HOW WE CHARGE FEES COMPARED TO OTHER PEOPLE? THAT'S A GOOD. SO I FIGURE YOU GUYS WOULD LIKE TO SEE THIS BECAUSE, YOU KNOW, WHAT IS EVERYBODY ELSE DOING? THIS IS ONE OF MY FAVORITE THINGS TO LOOK AT AND SAY, WHAT DO WE DO VERSUS EVERYBODY ELSE? A LOT OF PLACES DROP THEIR FEES DURING COVID.

SO THE LAST MUNICIPALITY I WAS WITH SAID, YOU KNOW WHAT? WE WANT PEOPLE TO PAY ONLINE BECAUSE WE WANT AS LESS PEOPLE COMING IN THE DOOR AS POSSIBLE.

THIS WAS DURING, YOU KNOW, COVID SCARE.

BUT THE OTHER THING THAT WE SAW WAS THE MORE PEOPLE WE COULD PUSH ONLINE, THE LESS WE HAD TO HAVE INTERACTION, THE LESS STAFFING WE NEEDED.

WERE IN A HIGH GROWTH PHASE.

SO YOU DON'T HAVE THAT.

YOU ACTUALLY HAVE A CUSTOMER BASE THAT LOVES TO ACTUALLY SEE YOU IN PERSON.

THEY LIKE TO COME IN, THEY LIKE TO WALK IN.

IT'S SOMETHING THAT THEY ENJOY.

MANY OF THEM DO PAY ONLINE AND HAVE THE TRUST THAT THEY CAN WE CAN DRAFT FROM THEIR ACCOUNT, BUT THERE ARE A FEW THAT DO CHOOSE TO PAY ONLINE WITH THEIR CREDIT CARD, AND WE DO CHARGE THEM A FEE.

AND SO FAR WE'VE BEEN ABLE TO LIKE, RECOVER ABOUT 50% OF THAT FEE.

AND SO THIS IS JUST TO GIVE YOU AN IDEA OF WHERE OTHER PEOPLE ARE IN THE PROCESS AND TALK ABOUT THIS PHILOSOPHY.

SO WHAT'S OUR FEE VERSUS WHAT'S OUR AVERAGE TRANSACTION COST.

OKAY. SO YOU'RE GETTING INTO SOMETHING THAT WE'RE GETTING INTO THE PHILOSOPHY OF FEES.

AND SO COUNCIL MEMBER MARTIN HAD A REALLY GOOD QUESTION.

SHE SAYS, WHY CAN'T WE JUST GO TO A PERCENTAGE BASED FEE?

[01:20:01]

AND I SAID, IT'S ACTUALLY MORE COMPLICATED THAN THAT BECAUSE THEY CHARGE BOTH A PERCENTAGE AND A FLAT FEE, SO THEY CHARGE A PER TRANSACTION FEE PLUS A PERCENTAGE BASED FEE. AND SO WE WOULD HAVE TO WE CAN'T ACTUALLY CHARGE BOTH OF THOSE AT ONCE.

WE COULD ONLY CHARGE ONE OF THEM.

SO WE DON'T HAVE THE ABILITY TO STACK LIKE THEY DO.

AND THE REAL PROBLEM IS, IS THERE'S REALLY THREE MODELS OF DOING THIS.

ONE, YOU CHARGE NO FEE TWO A CURRENT FLAT FEE OR THREE, A FULL COST RECOVERY MODEL THAT IS BASED AROUND SOMEWHAT OF A PERCENTAGE.

SO THERE'S PROS AND CONS TO EACH ONE OF THESE.

SO THE PRO OF NO FEE, THERE'S REALLY NO ADMINISTRATIVE COST.

IT'S PRETTY EASY.

THE CONS ARE THAT ALL CUSTOMERS ARE SUBSIDIZING A FEW PEOPLE WHO, YOU KNOW, LIKE 26% OF YOUR CUSTOMERS WHO HAVE FIGURED OUT LIKE THEY YOU'D BE PAYING FOR THEM.

EVERYBODY ELSE, 74% WOULD BE PAYING FOR THOSE PEOPLE.

SO THAT'S MAYBE NOT IDEAL.

AND ESPECIALLY I DON'T THINK THAT FALLS WITH THE VALUES THAT YOU GUYS HAVE LIKE SPOKEN ON BEFORE.

SO OUR CURRENT FLAT FEE HAS A LOW ADMINISTRATIVE COST.

IT IS REGRESSIVE. AND COUNCILMEMBER MARTIN, YOU ACTUALLY BROUGHT THIS UP THE LAST TIME YOU SAID THERE'S LOW TRANSACTION DOLLARS ARE PAYING MORE AS A PERCENTAGE.

SO PEOPLE WHO PAY, YOU KNOW, $50 WATER BILL OR, YOU KNOW, $100 WATER BILL, THOSE PEOPLE WHO ARE PAYING A $2,000 BILLING PERMIT ONLINE AND THEY'RE PAYING THE SAME FEE SO IT DOESN'T SCALE WITH IT.

AND SO THAT'S HOW IT'S REGRESSIVE.

IT MEANS THAT THE LOWER YOU PAY, YOU'RE ACTUALLY PAYING A HIGHER PERCENTAGE OF THE COST.

AND THE ONE PROBLEM WITH THIS IS THE FLAT FEE IS THERE IS A HIGH RISK OF OVER RECOVERY.

SO IF WE GO AND JUMP THIS FEE AND WE GO FROM, YOU KNOW, $3 TO $4, WE COULD ACTUALLY START COLLECTING MORE THAN WE DO ON THE PERCENTAGE BASED FEE THAT THEY'RE CHARGING US. BUT IF WE'RE ONLY NOW RECOVERING 50%, WE HAVE A BIG CUSHION.

WE DO. BUT.

YES. WE HAVE A CUSHION OF 25%.

THAT'S STILL.

NO NO NO. SO THIS IS ONE OF THOSE THINGS.

IF WERE GOING TO TAKE AN ACTION TO GO AND CHANGE THIS FEE AND CHANGE THE AMOUNT OF THE FEE, I'D ACTUALLY SAY, LET US GET SIX MONTHS OF DATA AND WE CAN COMPARE THE FEES BASED ON, YOU KNOW, WHAT WE'RE CHARGED VERSUS WHAT WE'RE COLLECTED.

AND WE COULD GIVE YOU A BETTER IDEA OF WHERE YOU COULD GET CLOSER.

SO HOW YOU CAN GET CLOSER TO 100% COST RECOVERY ON WHAT WE'RE GETTING CHARGED ONLINE.

AND I KNOW SOMETIMES YOU'RE CHARGED AND SOMETIMES YOU'RE NOT.

LIKE IF YOU DO IT ONLINE, YOU ARE CHARGED, BUT IF YOU DO IT IN PERSON, YOU'RE NOT.

CORRECT. SO THERE IS ACTUALLY A WHOLE PHILOSOPHY OF THIS BEFORE IT SAYS, AS YOU COULDN'T BE CHARGED A CONVENIENCE FEE FOR WALKING UP AND USING YOUR CREDIT CARD.

WELL, EVENTUALLY THE LANGUAGE ON THAT CHANGES SAYS, WELL, YOU COULD BE CHARGED A PROCESSING FEE.

AND SO THE STATE HAS BASICALLY WAFFLED BACK AND FORTH ON WHETHER YOU COULD CHARGE THIS AND WHEN YOU COULDN'T.

A REAL GOOD EXAMPLE IS A MUNICIPAL COURT.

THEY REGULATE THIS HEAVILY.

SO YOU HAVE WE'RE TAKING CREDIT CARD TRANSACTIONS FROM BUILDING PERMITS, MUNICIPAL COURT, RECREATION, ALL OF THESE DIFFERENT PLACES, MUNICIPAL COURTS, SO HIGHLY REGULATED THEY DID THEY STATED WHAT THAT FEE IS, HOW MUCH YOU COLLECT AND THEN HOW MUCH THEY GET BACK AT THE STATE THAT IS.

AND SO THERE'S PLACES WHERE THERE'S NO PUSH OR SHOVE ON THIS.

AND THEN THERE'S OTHER PLACES WHERE THERE IS.

AND THEN THERE'S SOFTWARE LIMITATIONS.

I FEEL LIKE I HAVE BEEN INFORMED, LIKE I KNOW THERE'S A DIFFERENCE.

YES. SO YEAH, IT'S YOU.

WE TRY TO MAKE IT AS EASY AS POSSIBLE FOR PEOPLE TO AVOID FEES AND LET THEM KNOW YOU CAN ALWAYS COME IN IN PERSON.

YOU CAN ALWAYS DROP IT IN OUR MAILBOX, AND YOU CAN ALWAYS DO DRAFT OUT OF YOUR ACCOUNT.

EVERY UTILITY BILL THING NOW.

BUT IF I DO COME IN PERSON, THEN THAT'S PART OF THAT 50%.

YOU'RE NOT RECOVERING BECAUSE YOU STILL HAVE TO PAY FOR IT.

YES. NO. AND WE CONSIDER THAT AS PART OF THE COST OF DOING BUSINESS.

AND SO WE COULD ADD AN IN-PERSON PROCESSING FEE.

SOME CITIES HAVE DONE THAT.

AND THEN THERE'S BEEN CHALLENGES.

AND SO IT'S ONE OF THOSE ONES THAT THE MORE FEES YOU CHARGE, MORE PEOPLE TRY TO GET OUT OF IT.

AND THEY'RE LIKE, WHY ARE YOU CHARGING ME THIS IN PERSON? WELL, BECAUSE YOU'RE USING A CREDIT CARD.

WELL, YOU DIDN'T USED TO CHARGE ME A FEE FOR USING MY CREDIT CARD HERE.

AND SO THAT'S WHERE SOME OF THE CUSTOMER CONFUSION.

AND WE WANT PEOPLE TO PAY.

I MEAN, WE DON'T WANT THEM TO BE LIKE, OH.

SOME OF IT. YOU'RE NOT GOING TO BE ABLE TO DO IT UNTIL OR UNLESS YOU PAY.

I'M THINKING THE RECREATIONAL THINGS PRIMARILY.

BUT, JOHN, ON YOUR FULL COST RECOVERY AS A PERCENTAGE BASED FEE WHY IS IT NOT ADMINISTRATIVELY FEASIBLE WITH CURRENT STAFFING LEVEL AND SOFTWARE? WE'RE WORKING IN FOUR SOFTWARES RIGHT NOW, SO FOUR DIFFERENT SOFTWARES TO DO ALL OF THIS, TO CHARGE THESE FEES.

SOME SOFTWARES DO NOT HAVE THE ABILITY TO PUT A PERCENTAGE BASED FEE UNLESS YOU GO IN AND HIRE THEIR SOFTWARE TO BUILD A PROGRAMING BASIS TO CODE IT IN.

AND WHAT THEY WILL TELL YOU IS THERE ARE ISSUES.

THERE ARE ISSUES THAT WILL COME UP ON YOUR BANK RECONCILIATIONS.

THERE ARE ISSUES WITH REVERSING CHARGES BECAUSE IT HAS TO DO WITH HOW THE MODULES WORK OUT SPECIFICALLY.

AND LIKE IN CODE VERSION TEN, AND THEY'VE GOT AN ISSUE BECAUSE THEY HAVE STANDARD THAT YOU CAN PUT A FLAT FEE IN THERE.

THEY DON'T HAVE STANDARD THAT YOU CAN PUT A PERCENTAGE BASED FEE.

SO WERE LUCKY THE DIRECTOR OF ACCOUNTING JUST CAME OVER FROM COPPELL.

THEY DO HAVE A PERCENTAGE BASED FEE.

AND SHE HER WORDS WERE IT WAS A NIGHTMARE.

AND SO THAT'S WHY I'M GOING TO SAY IT'S ADMINISTRATIVELY NOT FEASIBLE FOR US TO BE ABLE TO GET THE SAME THING ON EVERY SOFTWARE.

NOW HERE'S THE OTHER PART.

SOME CARDS CHARGE DIFFERENT FEES.

AND SO WHEN THOSE FEES CHANGE, WE'RE IT'S VERY HARD TO LIKE SAY, OH, YOU'RE USING A BLACK CARD OR AMEX OR YOU'RE USING THIS OR YOU'RE USING THAT.

WE NEED TO CHARGE YOU THIS.

YES. THERE'S NOT THERE'S NOT ENOUGH IN SOFTWARE TO SAY THAT THE FEE BASICALLY VARIES BASED ON THE CARD TYPE.

[01:25:04]

AND IT COULD INCREASE LIKE ERRORS RECONCILIATIONS CUSTOMER REPAYMENTS AND THINGS LIKE THAT.

OKAY. SO MY ASK TO YOU WOULD BE.

OH YEAH. YEAH I WAS JUST SAYING OKAY.

OH YEAH. MY ASK WOULD BE TO SAY LET US COME BACK IN SIX MONTHS AND SHOW YOU HOW CLOSE WE ARE TO COST RECOVERY ON ONLINE FEES.

WE CAN TALK ABOUT AN IN PERSON FEE AT THAT TIME AND SAY WHAT IS ADMINISTRATIVELY? HOW CAN WE GET CLOSE TO THAT? A FLAT FEE IS GOING TO BE OUR EASIEST ADMINISTRATIVE FEE TO DO, BUT THEN WE COULD GIVE YOU HARDER DATA ON WHAT WE COULD CHARGE.

IT IS A LOT HARDER TO GO INTO THESE SOFTWARES AND GET FEES CHANGED.

SPECIFICALLY, THE BUILDING PERMITS.

ONE IS A LITTLE BIT MORE COMPLICATED IN CODE IT'S WE CAN ADD THAT IN AND IT'S NOT TOO BAD.

BUILDING PERMITS WOULD BE A LITTLE BIT HARDER.

THE UPFRONT CASH RECEIPTS AND STUFF WOULD BE ACTUALLY BE A LITTLE BIT THE POINT OF SALE STUFF WOULD BE HARD TOO.

AND SO I LIKE HOW YOU'VE APPROACHED THIS AND THE DEPTH OF YOUR DETAIL, BECAUSE YOU KNEW I WAS GOING TO ASK YOU.

YES, I APPRECIATE THIS QUESTION.

THANK YOU SO MUCH. YOU DID A GREAT JOB.

AND THAT'LL COME A LONG WAY INTO REDUCING OUR COSTS AND ALSO HAVING OTHER PEOPLE SUBSIDIZE.

YEAH, BUT JULIE SHOULD KEEP SQUEEZING THEM.

ABSOLUTELY. SHE GOT IT TO A FLAT SUIT.

IF YOU ACTUALLY LOOKED AT THESE FEES BEFORE, THEY WERE ALL OVER THE PLACE IN BUDGET AND SHE SAID NO NO AND GOT THEM LEVEL.

IT'S LEVEL. OH YOU TELL THEM.

YEAH IT WAS REALLY NICE.

IT WON'T BE BULLIED WITH FEES EITHER.

AND FLAT FEES AREN'T BAD BECAUSE THERE ARE CERTAIN CUSTOMERS WHO WANT TO MAKE A LOT OF SMALL TRANSACTIONS FOR POINTS OR SOMETHING, AND A FLAT FEE IS GOING TOTALLY SQUASH THAT BEHAVIOR. YOU DON'T WANT THAT.

SO THAT'S FLAT FEES, OKAY.

IT'S GOT ITS BENEFITS.

EASY TO IMPLEMENT TOO IS NICE.

SO YEAH. ALL RIGHT.

GOOD JOB JOHN. THANK YOU THANK YOU.

OKAY. IS THERE ANY OTHER QUESTIONS? IS THAT IT? THAT WAS THE EASY PART.

LET'S JUST MAKE SURE. COUNCIL MEMBER ENGEL IS INVITED TO THE FOLLOW UP IN SIX MONTHS.

HE CAN VIEW FROM THAT SIDE OF THE AISLE.

WELL, YOU KNOW, THAT'S WHY YOU HIRED THIS GUY.

YEAH. IT WAS VERY EFFICIENT.

[LAUGHTER] GOOD JOB. SIX SLIDES, SOME BULLET POINTS AND A CHART WITH SOME X'S ON IT.

THAT WAS. GOOD JOB.

SPOT ON MAN.

ALL RIGHT. SO AS WE GO TO THE NEXT ITEM, I'LL JUST GO AHEAD AND INTRODUCE IT.

THIS ONE'S A LITTLE BIT LONGER THAN SIX SLIDES AND IT'S, IT'S A LITTLE BIT MORE WEIGHTY TOPIC.

AS YOU RECALL, LAST YEAR WE INTRODUCED THIS APPROACH THAT WE'RE CONTINUING THIS YEAR OF USING ONE OF OUR SPRING WORK SESSIONS AS AN OPPORTUNITY TO INTRODUCE SOME BROAD BUDGET ISSUES AND ISSUES.

ISSUE IS NOT THE WORD THESE THESE COMPONENTS WE NEED TO BE MINDFUL OF AS WE GO THROUGH THE BUDGET PROCESS.

AND LAST YEAR, JUST TO GIVE YOU A REMINDER ONE OF THE BIG DRIVERS WAS THE CLASS AND COMP STUDY THAT WAS UNDERWAY LAST YEAR.

AND WE WANTED TO GIVE YOU A SENSE OF WHERE IT WAS GOING AND HOW IT'S GOING TO POTENTIALLY INFORM THE BUDGET.

SINCE I'VE BEEN ON BOARD ONE OF THE THINGS THAT I'VE ENGAGED YOU ALL IN, BOTH IN PRIVATE AND PUBLIC, WAS JUST SOME CONCERNS WHERE SB2 FROM 2019 WAS GOING TO TAKE US.

AND AT WHAT POINT WILL OUR REVENUE CAPS MEET WHERE OUR FUNDING ABILITY TO MAINTAIN OUR CURRENT SERVICE LEVELS WERE AT? AND ONE OF THE THINGS WHEN I BROUGHT JOHN ON BOARD WAS LIKE, THAT'S YOUR NUMBER ONE THING.

ONCE YOU START, WE NEED TO START GETTING A HANDLE ON THAT.

AND HE MET WITH ME AND KIND OF SAID, JAMES, I THINK WE KNOW WHEN IT'S GOING TO HIT.

AND SO THAT INFORMED THE MEMO THAT I SENT TO YOU ALL JUST TO GET YOU READY FOR THIS CONVERSATION HERE TONIGHT TO GIVE YOU AN OPPORTUNITY TO THINK THROUGH IT, FORMULATE YOUR QUESTIONS. AND REALLY, I JUST WANT TO FRAME THAT THE POINT OF TONIGHT, WE'RE NOT GOING TO FIGURE ANYTHING OUT TONIGHT.

WE CAN'T GIVE YOU ANYTHING DEFINITIVE, BUT WHAT WE WANT TO DO IS FRAME THESE BROAD TOPICS, GET SOME GOOD FEEDBACK FROM YOU, GET SOME GENERAL IDEAS OF WHERE THIS IS ULTIMATELY GOING TO GO, BECAUSE OUTSIDE OF THE SB2 AND OUR CHALLENGES WITH OUR REVENUE CAPS, THE OTHER THING THAT WE HAVE TO BE VERY MINDFUL OF IS, THAT WE HAVE A CONSIDERABLE AMOUNT OF CAPITAL NEEDS COMING UP.

AND HISTORICALLY, OUR ORGANIZATION HAS CASH FUNDED THESE ITEMS. AND THAT'S GREAT WHEN YOU HAVE THE CASH TO DO IT.

BUT UNFORTUNATELY, SOME OF THESE ITEMS ARE AT THE SIZE AND THE SCOPE WHERE YOU CAN'T CASH FUND IT.

AND SO WE'RE GOING TO HAVE TO EXPLORE UTILIZING DEBT.

AND PART OF THE REASONS WHY JOHN IS HERE TODAY IS BECAUSE I WANTED TO FIND THE RIGHT PERSON THAT CAN HELP FORMULATE A STRATEGY TO ALLOW US TO DO THE THINGS WE NEED ON A CAPITAL BASIS WHILE MAINTAINING OUR TAX RATE, NOT NECESSARILY HAVING TO RAISE IT FOR OUR RESIDENTS TO BE ABLE TO DELIVER THAT.

AND SO WE'LL TAKE A TOE DIP INTO THAT AREA HERE TONIGHT.

WE'LL SHARE THOSE CONCEPTS WITH YOU.

BUT AGAIN, AT THE END OF THE DAY, WHAT SUCCESS LOOKS LIKE TO ME IS JUST MAKING SURE WE GET YOUR QUESTIONS ABOUT SOME OF THE THINGS THAT WE APPROACHED YOU ABOUT.

THINGS WE MIGHT HAVE TO EXPLORE.

THINGS WE MIGHT HAVE TO COME BACK WITH YOU ON.

SO BY ALL MEANS YOU KNOW, MAYOR, I'LL USE YOUR TERM AS, I GUESS, LOOSEY GOOSEY OR.

[LAUGHTER] YEAH RUNNING A LITTLE LOOSEY GOOSEY HERE, JOHN, THIS IS YOUR FIRST ONE WITH THAT.

SO STAND BY.

SO, SO, SO DEFINITELY, AS WE GO THROUGH, IF WE HAVE TO STOP ON THE SLIDE AND ENGAGE AND GO THROUGH QUESTIONS, PLEASE DON'T HESITATE TO DO SO.

[01:30:07]

BUT JUST BE MINDFUL THERE MIGHT BE SOME QUESTIONS AND SOME AREAS WHERE IT'S BETTER SUITED FOR A SEPARATE CONVERSATION A LITTLE BIT DOWN THE LINE, OR WE NEED TO GO GET THAT INFORMATION. SO WITH THAT I'LL TURN IT OVER.

OH, BY THE WAY, WHAT WE'RE GOING TO DO IS JOHN'S GOING TO FRAME THIS CONVERSATION.

THEN WE HAVE JOHN AND MICHAEL MARTIN, OUR FINANCIAL ADVISORS FROM HILLTOP HERE WITH US TODAY.

ONCE I GOT ON BOARD AND I STARTED TO KIND OF REALIZE WHERE THIS THING WAS GOING TO POTENTIALLY HEAD, YOU MIGHT RECALL, THEY CAME IN AND DID A DEBT KIND OF ONE ON ONE, JUST TALKING ABOUT, IN BROAD LEVELS, THE USE OF DEBT.

I GUESS YOU GUYS GRADUATED.

WE'RE GOING TO GO TO DEBT 201 HERE TONIGHT, WE'RE GOING TO TAKE OUT SOME OF THE THINGS THAT YOU ALREADY COMPREHEND AND SOME THINGS THAT THE LEGISLATURES KIND OF IMPACTED.

BUT WE WANT TO GIVE THEM THE FLOOR TO TALK ABOUT A LITTLE BIT MORE ROBUSTLY.

AND THEN AFTER WE GET THROUGH THOSE CONVERSATIONS, WE'RE GOING TO OPEN THE FLOOR FOR BUDGET PRIORITIES FOR YOU ALL.

JUST TO MAKE SURE THAT WE'RE CAPTURING THE THINGS THAT YOU WANT US TO KEEP, BE MINDFUL OF AS WE GO THROUGH THE PROCESS.

SO JOHN'S GOING TO PRESENT ANSWER YOUR QUESTIONS.

THEN WE'RE GOING TO HAVE JOHN MARTIN COME UP AND DO A PRESENTATION.

THEN WE'RE GOING TO OPEN UP THE FLOOR.

JUST GENERAL BUDGET PRIORITIES, QUESTIONS, CONCERNS AND THINGS THAT WE CAN CAPTURE FROM YOU.

SO WITH THAT, I'LL TURN IT OVER TO JOHN.

THANK YOU, JAMES.

I APPRECIATE THE INTRODUCTION AND ALL THE THINGS THAT CAME WITH THAT.

AND SO I KIND OF WANT TO START OFF WITH THIS THE PARAGRAPH I WROTE, AND IT WAS REALLY IMPORTANT TO ME TO KIND OF LINE OUT THIS APPROACH, WHICH IS NOT CONTRADICTING ANY OF THE WORK THAT HAD BEEN DONE YEARS BEFORE, THERE'S NO FINANCIAL MISMANAGEMENT.

BUT I'M GOING TO READ THIS BECAUSE I TOOK A WHILE TO ACTUALLY WRITE THIS, AND I THINK IT SUMMARIZES KIND OF THE STARTING POINT FOR THIS.

AND SO A SHORT TERM CASH APPROACH DURING AN UNCERTAIN TIMES THAT BASICALLY DESCRIBES THE PAST FIVE YEARS AND THEN FIVE YEARS BEFORE THEN, AND WHAT WAS GOING ON.

FOR THE PAST FIVE YEARS, THE TOWN HAS MADE SOUND FINANCIAL DECISIONS USING CASH TO FUND NON-UTILITY CAPITAL PROJECTS.

THIS APPROACH HAS ALLOWED THE TOWN TO SHIFT CAPITAL COSTS AWAY FROM THE I&S TAX RATE AND TOWARDS ALTERNATIVE SOURCES SUCH AS SALES TAX, ARPA, CARES, RTR AND OTHER REVENUE STREAMS. THIS IS PROVIDED FUNDING FOR OPERATIONS DURING HIGH INFLATIONARY TIMES, BUILT UP RESERVES AND SAVE TAXPAYERS AT LEAST $0.13 IN THE TAX RATE.

HOWEVER, WE ARE NOW FACING A GROWING NEED FOR MORE MAINTENANCE AND TO EXTEND THE REPLACEMENT CYCLE AND THE SCALE UP THE UPCOMING PROJECTS IS MORE THAN WE CAN FUND WITH OUR CURRENT RESERVES.

AS SUCH, WE NEED TO EVALUATE THE STRATEGY TO ENSURE WE CONTINUE TO MEET THE NEEDS OF OUR COMMUNITY.

SO A BIG THING THAT I'M GOING TO TALK TO YOU ABOUT TONIGHT IS HOW WE KIND OF GOT HERE, WHAT OUR STRATEGIES BEEN IN THE PAST, AND I'M FRAMING THAT UP SO THAT YOU CAN UNDERSTAND HOW THIS IS KIND OF A DEPARTURE FROM IT.

BUT I DO WANT TO SAY THAT EVERYTHING DONE PRIOR TO THIS IS EXACTLY WHAT NEEDED TO BE DONE AT THE TIME.

AND SO ONE OF THE BIGGEST PRESSURES THINGS ARE CHANGES THAT ARE JUST NOW HAPPENING THAT ARE LEADING US TO THIS POINT.

SO THIS ALL STARTED AS JAMES SAID WHEN HE HIRED ME, HE SAID, YOU KNOW, WE DO NEED A LONG TERM PLAN.

AND THEN I STARTED LOOKING AT YOUR STRATEGIC PLAN, AND YOU GUYS HAVE A VERY GOOD STRATEGIC PLAN.

YOU HAVE THINGS AND YOU HAD SPECIFIC ITEMS LINED OUT IN THERE THAT WE WANTED TO ADDRESS.

AND SO IN BUILDING THIS PRESENTATION AND THINKING ABOUT THE BUDGET STRATEGY, I WANTED TO DRAW DIRECTLY FROM SOME OF THESE OBJECTIVES.

SO INCREASING THE HOMESTEAD EXEMPTION IS ADDRESSED IN THIS PUBLIC EDUCATION ON MUNICIPAL FINANCE AND DEBT.

SO HAVING THE DEBT CONVERSATION ABOUT DEBT 202 AND THEN MAINTAINING THE TOWN'S I&S RATE TO FUND CIP PROJECTS AND TO MAINTAIN THE CURRENT LEVEL OF SERVICE IS VERY, VERY IMPORTANT.

AND WE'LL TALK A LOT ABOUT THAT THROUGH HERE.

OTHER OBJECTIVES THAT THIS ONE TALKS ABOUT IS RECRUITING AND RETAINING HIGH QUALITY STAFF, BRINGING FORWARD A MID-YEAR MARKET ADJUSTMENTS AND ANNUAL COMPENSATION AND CLASSIFICATION ANALYSIS.

SO THESE ARE THE KEY DRIVERS THAT YOU'RE GOING TO SEE THAT BUILD UP THAT BRING US TO THIS SITUATION THAT WE'RE GOING TO TALK ABOUT.

ALL RIGHT. SO GENERAL FUND PERSONNEL, WE'RE GOING TO TALK ABOUT PERSONNEL BROADLY SPECIFIC TO GENERAL FUND AND THEN KIND OF PERSONNEL OVERALL.

SO ONE OF THE THINGS I LOOK FOR AND WANTED TO LOOK FOR OVERALL ALWAYS WAS PERSONNEL JUST RUNNING AWAY.

IS THIS A PERSONNEL PROBLEM.

SO 6.4% WAS A NUMBER THAT KIND OF LIKE STUCK WITH ME.

AND IF I JUST PROJECTED THAT FORWARD, IT'D BE $3.8 MILLION THE FOLLOWING YEAR.

SO IT WAS LIKE, WELL, HAVE THEY GROWN STAFF? IS THEIR STAFF GROWING OUT OF CONTROL? AND THIS IS REALLY WE'RE JUST ADDING TOO MANY PEOPLE AND THIS IS OPERATIONAL CREEP.

WELL, WHEN I COMPARE IT AGAINST POPULATION, THAT'S NOT THE CASE.

SO IF YOU LOOK OVER HERE, THIS IS THE TOTAL FTES THAT YOU HAVE.

AND ABOVE THIS IS POPULATION.

NOW YOU CAN ALWAYS SKEW A LINE CHART LIKE THIS OVERLAID OVER THE TOP WITH THIS TO MAKE IT LINE UP.

THERE'S WAYS OF DOING THAT WITH THE MARGINS.

SO I ALSO PROVIDED YOU A CITIZEN PER EMPLOYEE.

YOU'LL NOTICE SOME SPIKES IN HERE OF WHEN THESE TWO CHARTS START GETTING AWAY FROM EACH OTHER.

THOSE ARE POPULATION SPIKES THAT EVENTUALLY LEAD TO THIS GAP OF, YOU KNOW, CITIZENS PER EMPLOYEE.

BECAUSE WHAT YOU'RE ACTUALLY SEEING THROUGH HERE IS THE NUMBER OF EMPLOYEES ISN'T DRASTICALLY CHANGING.

IT'S REALLY FOLLOWING POPULATION.

SO YOU'RE NOT GROWING STAFF FASTER THAN POPULATION.

YOU'RE NOT TRYING TO JUST ADD STAFF AND YOU'RE FINDING SOME EFFICIENCIES IN THERE.

[01:35:06]

YOU DON'T NEED AS MANY STAFF FOR A BIGGER CITY PROPORTIONATELY AS YOU WOULD FOR A SMALLER ONE, WOULD YOU? OR IS IT LIKE A SCHOOL CLASSROOM WHERE THERE'S A ONE TO CHILD TO TEACHER RATIO THAT YOU HAVE TO MAINTAIN? IS THAT WHAT WILL ARE EXPECTATION IS.

SO IT ACTUALLY VARIES DIFFERENTLY.

SO I'M THINKING ABOUT THIS ACTUALLY FROM MY NORTH LAKE STANDPOINT WHERE NORTH LAKE, THEY ONLY PROVIDED STREETS AND PUBLIC SAFETY AND BY PUBLIC SAFETY USE POLICE.

SO ALL THEIR TAX RATE WAS JUST THOSE TWO THINGS.

AND SO YOU'RE RIGHT, THERE WAS ACTUALLY A MUCH MORE LINEAR FUNCTION INTO THAT.

WHAT MAKES THIS MORE CHALLENGING IS RECREATION.

SO YOU HAVE SUMMER PROGRAMS. YOU HAVE THINGS LIKE THAT WHERE YOU HAVE A LOT OF TEMPORARY EMPLOYEES IN THIS.

YOU ALSO HAVE CROSSING GUARDS, YOU HAVE SEASONAL FTES.

AND SO SOME OF THESE THE PROPORTIONAL RATIO IS DIFFERENT.

AND SO POLICE IS A GOOD EXAMPLE.

SO POLICE IF YOU GO BY THE FBI PRACTICE IT'S ONE PER EVERY 500.

AND SO THAT MAY BE A PROPORTIONALITY.

BUT FOR FIRE IT'S ACTUALLY DIFFERENT.

AND THEN FOR EACH OF THESE.

AND THAT'S WHY YOU SOMETIMES DON'T SEE THOSE.

YOU ALSO HAVE BIG POPULATION SPIKES.

SO JUST BECAUSE WE ADD THE POPULATION DOESN'T MEAN WE IMMEDIATELY GREW STAFF.

AND SO THAT'S WHY YOU DO SEE SOME DEPARTURE OR ARE WE GETTING MORE EFFICIENT OVER TIME ABOUT THIS? I WOULD SAY THAT YOU'RE TRENDING IN THE RIGHT DIRECTION.

SO RIGHT NOW, LIKE THE AVERAGE CITIZEN, LIKE THE NUMBER OF CITIZENS PER EMPLOYEE IS ROUGHLY, YOU KNOW, 117.

AND IT'D BE INTERESTING TO SEE WHAT OUR BENCHMARKS ARE DOING.

AND BECAUSE I WOULD THINK THAT A TOWN OF 100,000 WOULD HAVE FEWER EMPLOYEES PER RESIDENT THAN A TOWN OF 50,000.

I MEAN, WE ONLY NEED ONE CFO, WHETHER WE'RE 50 OR 100, RIGHT? YOU DON'T NEED TWO. SO THERE'S GOT TO BE SOME.

IT WOULD BE INTERESTING TO SEE WHAT OUR BENCHMARKS DO, ESPECIALLY THE ONES THAT ARE MAYBE WE WOULD ASPIRE TO BE MANAGED.

SO ONE THING I WILL ADD TO THAT, AND WE CAN CERTAINLY PUT THAT TOGETHER, IS YOU ALSO GOT TO LOOK AT WHEN YOU LOOK AT THE OTHER CITY, ARE THEY A FULL SERVICE CITY? DO THEY DO THEIR OWN SOLID WASTE? THEY'RE GOING TO BE SOME DRIVERS THAT ARE GOING TO SHOOT THAT PERSONNEL NUMBER UP.

COMPARED TO US, WE ONLY HAVE ONE WATER WASTEWATER TREATMENT PLANT.

WE DON'T DO OUR OWN SOLID WASTE AND THINGS OF THAT NATURE.

SO AS WE GO AND PULL THAT INFORMATION TOGETHER, WE'LL TRY TO ACCOUNT FOR THAT, BECAUSE THERE MIGHT BE EXPLANATIONS WHY CITY A IS AN OUTLIER, AND IT'S USUALLY BECAUSE THEY OFFER CERTAIN SERVICES. WE SIMPLY DON'T AS A MUNICIPALITY.

YEP. SO THAT [INAUDIBLE], WE'RE ACTUALLY BEEN GATHERING SOME DATA AND STUFF LIKE THAT FOR COMPARATORS.

AND WE'RE LOOKING AT THE ACT FOR OR FOR THAT OF OUR COMPARATOR CITIES TO SEE WHAT THAT IS.

BUT HE'S EXACTLY RIGHT.

I'VE ALSO SEEN THAT THE LARGER A CITY GETS, THE MORE ADMINISTRATIVELY HEAVY THEY GET.

SO THIS IS ACTUALLY WHAT YOU'RE SEEING.

AND SO I WAS SPEAKING WITH A FINANCE DIRECTOR FROM SAN ANTONIO, AND SHE WAS TELLING ME, WELL, I'M THE FINANCE DIRECTOR OVER THIS DIVISION.

AND THEN THERE'S A FINANCE DIRECTOR OVER THIS DIVISION.

AND SO THAT'S A CENTRALIZED VERSUS DECENTRALIZED MODEL.

SAN ANTONIO IS WEIRD. SO IS HOUSTON.

SO ARE A LOT OF THESE OTHER THINGS. BUT THESE BIGGER CITIES, THEY ACTUALLY DON'T BECOME MORE EFFICIENT.

THERE IS A LOT MORE SPRAWL BECAUSE YOU HAVE TO DEAL WITH A LOT MORE THINGS.

AND SO WE'RE A LITTLE INSULATED.

I'M BETTING IF WE DID LOOK AT THIS COMPARED TO SOME OF OUR OTHER CITIES, AND ESPECIALLY IF WE GET REALLY GOOD ABOUT HOW WE COMPARE ABOUT THOSE SERVICES, I'M BETTING, WE'RE DOING PRETTY WELL. BUT THAT'S SOMETHING WE CAN BRING BACK AND HIGHLIGHT.

I DO LIKE GOOD COMMUNITY COMPARATORS.

JUST TO LET YOU KNOW, I THINK THAT'S ACTUALLY A GOOD WAY OF MEASURING.

ALSO THERE'S DIFFERENT CHOICES.

SO IF YOU ACTUALLY LOOK ON HOW MUCH A YOU KNOW, WHAT YOU'RE SPENDING PER PERSON IN YOUR POPULATION AND SPENDING PER PERSON THAT CAN DRASTICALLY CHANGE BY THE AMOUNT OF COMMERCIAL BUSINESS YOU HAVE. SO A TOWN LIKE GRAPEVINE AND THAT OR A CITY LIKE GRAPEVINE THAT HAS A HIGH COMMERCIAL BASE, OR ROANOKE WHO HAS A HIGH COMMERCIAL BASE, THEIR SPENDING PER CITIZEN IS DRIVEN DOWN A WHOLE LOT BECAUSE THEY HAVE ALL THAT SUBSIDY FROM ALL OF THAT COMMERCIAL BASE.

SO THOSE ARE OTHER FACTORS JUST TO CONSIDER.

BUT THAT'S ANOTHER BIG THING.

BUT I DO LIKE THESE METRICS OF PERFORMANCE.

ALL RIGHT, SO HERE'S SOME THINGS.

THIS IS WHY PERSONNEL IS CHANGING, AND THESE ARE THE THINGS THAT WILL BE BROUGHT FORWARD IN THE BUDGET MOVING FORWARD.

ALL RIGHT, SO A 3% MERIT AND STEP INCREASE, THE SELF-INSURANCE FUND, THE TMRS COLA AND MARKET ADJUSTMENTS.

EACH ONE OF THESE PIECES, I BELIEVE SOME OF YOU GUYS HAVE HAVE DEALT WITH BEFORE.

AND YOU GUYS, THESE ARE CONSIDERING THINGS THAT WE'RE PUTTING IN THE BUDGET.

BUT WHEN YOU LOOK AT 6.4% AND CHANGE, THIS IS USUALLY THAT MAKES IT THE LARGEST CHUNK OF IT.

ALL RIGHT. NON-DISCRETIONARY.

SO WHAT I REALLY LIKE ABOUT YOUR BUDGET PROCESS IS YOU HONED OUT SOMETHING CALLED NON-DISCRETIONARY, AND WHAT IT REALLY IS, IS AN INFLATIONARY MEASURE.

AND SO I WANTED TO LOOK AT WHAT NON INFLATIONARY SPENDING WAS DOING AND MEASURED AGAINST CPI.

AND SO WHAT YOU FIND IS THAT CPI DOES HIT US LIKE INFLATION DOES HIT.

IT'S JUST LAGGING.

SO THE REASON WHY YOU SEE THE 2023 SPIKE WAS BECAUSE INFLATION WAS SO HIGH IN 2022.

IT USUALLY TAKES ABOUT A YEAR TO HIT US.

SO THERE'S A LITTLE BIT OF LAG IN HERE.

BUT ON AVERAGE WHEN I LOOKED AT THIS CPI WAS 3% AND THE TOWN WAS TWO.

SO WE'VE BEEN ABLE TO ADJUST SLOWER THAN CPI FOR NON-DISCRETIONARY PIECES.

[01:40:01]

[INAUDIBLE] ACCELERATOR AS WELL, IF YOU WILL.

NO THAT WOULD HAVE BEEN FACTORED INTO THE BASE BUDGET.

SO THIS IS REALLY JUST CONTRACTS, SERVICES THAT WE PROVIDED ADDED THAT BASICALLY THE PRICE INCREASE BECAUSE OF IT.

SO TRYING TO MEASURE AND LOOK AT INFLATION AND ON THAT STANDPOINT UNDERSTOOD.

JOHN FOR THOSE AT HOME THAT ARE WATCHING THAT AREN'T FINANCIAL WIZARDS, CAN YOU JUST COVER WHAT NDP AND CPI MEANS? YES, NDP IS NON-DISCRETIONARY SPENDING AND CPI IS THIS CONSUMER PRICE INDEX.

NON DISCRETIONARY PACKAGES.

YES. I'M SORRY. I'M USUALLY PRETTY GOOD ABOUT PUTTING ACRONYMS IN THERE.

AND I'LL GO A LITTLE BIT FURTHER FOR THE UNINITIATED SO THAT NON-DISCRETIONARY PACKAGES REPRESENT US KEEPING OUR CURRENT SERVICE LEVEL.

SO IT'S NOT AN ENHANCEMENT, IT'S NOT AN ADD ON TO IT THAT IS REPRESENTATIVE OF THE PRICE OF US, OF MAINTAINING OUR CURRENT SERVICE LEVEL.

AND AS JOHN MENTIONED, THAT'S SOMETHING THAT'S UNIQUE TO FLOWER MOUND.

AND I THINK IT'S ALWAYS BEEN A GREAT FEATURE THAT WE'VE HAD.

SO IT GIVES THE PUBLIC A GOOD INDICATOR OF THAT OUR GENERAL COST OF DOING BUSINESS AND MAINTAINING SERVICE IS GOING UP X AMOUNT OF DOLLARS.

YEAH. NO THAT'S GOOD.

THANK YOU. KEEP THOSE BIG FIRE TRUCKS ROLLING.

NOT LIKE THE RESIDENTS DON'T SEE IT IN THEIR DAILY BILLS AT HOME.

YEAH. NO BUT NO IT'S IMPACTING EVERYONE AND YOU CAN EVEN SEE ITS IMPACT HERE.

SO THE BIG THING I WANT YOU TO TAKE FROM THIS IS THIS IS INFLATING ABOUT AT A 2% RATE.

ALL RIGHT. SALES TAX.

SO SALES TAX HAS BEEN GANGBUSTERS.

SALES TAX HAS BEEN DOING REALLY REALLY WELL.

IF YOU SEE THROUGH THESE YEARS SALES TAX WAS INCREASED.

CAN YOU GUYS SEE MY MOUSE POINTER AS WELL ON THERE.

OKAY. SO YOU CAN SEE SALES TAX WAS INCREASING AT AN INCREASING RATE RIGHT ABOUT HERE.

THEN YOU SEE THESE NEXT TWO YEARS IT STARTS INCREASING AT A DECREASING RATE.

SO IT'S BECOMING LESS AND TOTAL.

WHAT YOU'RE ACTUALLY GETTING IS FROM 2016 WHAT WE'RE ABOUT TO GO INTO IS A 2016 TO 2019 SCENARIO WHERE IT'S GOING TO INCREASE, BUT IT'S GOING TO BE VERY, VERY SMALL AND SLOW. AND SO WHAT WE'RE SEEING IS TRULY IS THE EFFECT OF HIGH INFLATIONARY TIMES.

DISCRETIONARY SPENDING IS CHANGING.

SO WHAT WE CAN'T MEASURE IS THE COUNT.

SO THIS IS THE ONE REALLY HARD.

WE CAN ALWAYS MEASURE THE DOLLARS THAT WE'RE GETTING IN.

BUT WHAT YOU CAN'T MEASURE IS THE NUMBER OF TRANSACTIONS THAT BUILDS THAT.

SO THAT WOULD ACTUALLY SHOW YOU WHETHER OR PEOPLE ARE ACTUALLY SPENDING, ON AVERAGE, MORE OF WHAT THEY WOULD HAVE BEEN.

AND LIKE, ARE YOU GOING TO THE STORE AS MANY TIMES? ARE YOU BUYING AS MANY THINGS? ARE THERE AS MANY TRANSACTIONS HAPPENING, AS IT WERE BEFORE? AND AS PEOPLE'S BUDGETS GET TIGHTER, THEY SPEND LESS.

BUT WHAT'S HAPPENING IS WHY WE'RE INCREASING IS INFLATION IS SO HIGH.

SO IN REALITY, IF YOU ADJUST THIS NUMBER FOR INFLATION REALITY, WE PROBABLY AREN'T SEEING INCREASED SALES.

YOU GUYS HAVE NEW CUSTOMERS MOVING IN AND MORE PEOPLE ARE USING YOUR STORES OR BUT YOU'RE PROBABLY NOT SEEING AS MUCH SALES BECAUSE YOU'RE SEEING PRESSURES ON THE MARKET IN THE HOUSEHOLD. SO BASICALLY THE GROWTH IN SALES TAX IS LESS THAN THE GROWTH DUE TO INFLATION.

YES. IT'S ACTUALLY PROBABLY A NEGATIVE GROWTH.

YEP. RIGHT. YEP.

THERE YOU GO. IT'S DRIVEN BY INFLATION.

AND SO WHAT WE'RE SEEING IS A VERY VERY LIKE A VERY STRONG FLATTENING.

SO WE'RE GETTING THE THIRD PARTY SERVICE CALLED ZACK TAX TO REALLY HELP US DIG IN TO UNDERSTAND EXACTLY WHAT THIS IS AND HOW IT'S GOING, AND GIVE US THE ABILITY TO FORECAST A LITTLE BIT BETTER TO SEE WHAT PARTS OF THE MARKET ARE CHANGING AND WHERE WE CAN ACTUALLY NARROW IT DOWN TO SECTORS.

AND THEN THAT WILL HELP US WITH ECONOMIC DEVELOPMENT AND A NUMBER OF OTHER PLACES.

BUT IT SHOULD HELP ME DIG INTO THIS NUMBER A LOT MORE.

BUT FOR MY FUTURE FORECAST, WHEN I'M JUST BALLPARKING THIS, I'M GOING TO PROBABLY PROGRAM US AT A 1% GROWTH MOVING FORWARD.

WHEREAS IT'S BEEN 15-12 HIGH HIGH PERCENTAGES.

YEAH. ALL RIGHT.

SO LET'S GET INTO ANOTHER REVENUE SOURCE, PROPERTY TAXES.

SO I CAN'T TALK ABOUT PROPERTY TAXES WITHOUT TALKING ABOUT SENATE BILL 2, SPECIFICALLY SENATE BILL OF 2019.

IF I SAY 2021, THAT ACTUALLY IS THE SCHOOL FUNDING BILL.

SO THE 2019 SENATE BILL 2 WHICH BROUGHT THE NO NEW REVENUE RATES AND THE VOTER APPROVED RATES.

SO WHAT THIS IS GOING TO DO IS WE'RE STILL IN HIGH INFLATIONARY TIMES.

HOME VALUES DID INFLATE QUITE A BIT AND THEY'RE SLOWLY BUT SURELY INCREASING.

BUT AS HOME VALUES INCREASED, THE TAX RATE DECREASED.

SO WHAT THIS WILL DO IS AS VALUES INCREASE, THE M&O RATE WILL DECREASE.

AND M&O PROPERTY TAX REVENUE GROWTH IS CAPPED AT 3.5%.

IF WE DON'T HAVE ANY NEW PROPERTIES ROLL ON THAT'S $1.7 MILLION.

THAT'S THE MOST YOU'RE GOING TO GET OUT OF THE VOTER APPROVED RATE.

SO MOVING FORWARD, THAT'S YOUR GROWTH NUMBER.

NOW REMEMBER I SAID PERSONNEL IS 3.8 MILLION AND ROUGHLY NON-DISCRETIONARY.

YOU'RE ROUGHLY GROWING AT 2%.

AND SO YOU CAN START SEEING THE PRESSURE THAT YOU'RE GOING TO FACE.

SO THE LIMITED GROWTH OF REVENUE WILL PUSH EXPENDITURES SUCH AS VEHICLES AND TECHNOLOGY REPLACEMENT TOWARDS THE I&S SIDE, WHICH WILL REQUIRE ISSUING SHORT TERM DEBT FOR THOSE COSTS. SO THE LEGISLATURE, THROUGH THEIR MANDATE OF SB2 AND SQUEEZING YOUR M&O RATE, THAT'S IT'S A WATER BALLOON.

THEY'RE SQUEEZING THE M&O SIDE.

WHERE'S IT GOING? IT'S GOING TO THE I&S SIDE AND IT'S BALLOONING UP OVER HERE.

SO IN ESSENCE THEY'RE INCENTIVIZING SHORT TERM DEBT.

[01:45:01]

SO THINGS LIKE VEHICLE REPLACEMENT AND TECHNOLOGY THEY HAVE SHORT LIFE CYCLES WE'RE GOING TO HAVE TO DO SHORT TERM DEBT.

BUT AS OPERATIONS BASICALLY PUSH THOSE OUT.

ANOTHER BIG THING IS A LOT OF YOUR MAINTENANCE AND YOUR STREET MAINTENANCE RIGHT NOW IS BEING FUNDED THROUGH YOUR GENERAL FUND.

AND YOUR STREET MAINTENANCE SALES TAX RIGHT NOW IS BEING UTILIZED AS MOSTLY FOR RECONSTRUCTIONS.

AND SO THAT'S A LOT WHAT'S DRIVING, SOME OF THE BOND PROGRAM CONVERSATIONS THAT WE'RE GOING TO HAVE IS BECAUSE THOSE NEED TO SHIFT AS WELL TO STREET MAINTENANCE, SALES TAX AND STREET MAINTENANCE SALES TAX DOLLARS CAN BE USED FOR MOST OF YOUR MAINTENANCE.

AND THEN HAVING A DEBT SOURCE TO HELP PROVIDE FUNDING FOR RECONSTRUCTION MOVING FORWARD IS WHAT WE'RE GOING TO BE PROPOSING USING DEBT FOR.

DID YOU HAVE SOMETHING, SIR.

SO THERE'S OBVIOUSLY IT SAYS WITHOUT NEW VALUES, BUT THERE ARE NEW VALUES.

YES. NEW VALUES WILL COME ON.

I JUST WANTED TO GIVE YOU A BREAK.

EVEN NUMBER OF IF THIS TREND CONTINUES, THIS WILL BE IT AS NEW VALUES COME ON THAT NUMBER CAN BE BIGGER OR SMALLER.

BUT. [INAUDIBLE]. BUT NEW VALUES WILL ALSO BE DEPRESSED BY THE INTEREST RATES THAT'S RUNNING FOR MORTGAGES AND COST OF BORROWING FOR THE AVERAGE PERSON.

PEOPLE ARE STILL COMING HERE IN DROVES.

WELL, I UNDERSTAND, BUT YEAH, JUST THERE'S NEW.

MORE EXPENSIVE FOR THEM.

YEAH. BUT WE ALSO HAVE INCURRED MORE EXPENSES FOR PEOPLE AS WELL.

SO IT'S NOT JUST ALL.

THEY'RE NOT PART OF SB2 UNTIL THE NEXT YEAR, RIGHT? CORRECT. NO, THAT'S ABSOLUTELY CORRECT.

AND SO THE LEGISLATORS THOUGHT ON THAT IS THAT NEW VALUES AS THEY COME ONLINE WILL BE PAID FOR THE ADDITIONAL SERVICES THAT COME WITH THOSE NEW VALUES.

AND SO YOUR BIGGEST THING IS ABOUT MAINTAINING YOUR EXISTING BASE.

AND SO I'M TRYING TO GIVE YOU AN IDEA OF JUST INFLATIONARY BASE WITHOUT TALKING ABOUT NEW SERVICES.

AND I TRY TO KEEP THAT AS A SIDE CONVERSATION.

CAN YOU ALSO JUST TOUCH ON TIRZ 1 AS TIRZ 1 ROLLS OFF AND HOW THAT'S GOING TO IMPACT OUR.

SURE. SO TIRZ 1 DOES NOT AFFECT YOUR SB2 CALCULATION.

SO IF TIRZ 1 DISSOLVED TOMORROW, IT WOULD DUMP $7 MILLION IN ADDITIONAL REVENUE INTO YOUR M&O SIDE.

OKAY, SO YOU WOULD ALSO RECEIVE A CASH INFUSION FROM THE REMAINING BALANCE IN THE TIRZ.

AND SO YOU WOULD HAVE AN ADDITIONAL AMOUNT OF CASH THAT YOU WOULD RECEIVE FROM THAT AS WELL.

SO THOSE THIS WILL ACTUALLY BE REALLY IMPORTANT TO A SLIDE I'M ABOUT TO SHOW YOU IN JUST A LITTLE BIT.

CAN WE GO OVER THE EXEMPTIONS REAL QUICK? I THINK THIS AND WE'RE GOING TO GET BACK RIGHT AFTER THAT SLIDE TO THIS.

SO EXEMPTIONS HOW MUCH DO EXEMPTIONS COST.

AND SO WHEN I TALK ABOUT COST I'M TALKING ABOUT HOW IS BURDEN SHIFTING.

SO AT THE NO NEW REVENUE RATE EXEMPTIONS ARE NOT FREE.

THEY HAVE A COST TO THEM.

SO IF WE GO TO THE NO NEW REVENUE RATE THEY'RE GOING TO DECREASE YOUR NO NEW REVENUE RATE.

SO IF YOU DO A HOMESTEAD EXEMPTION IT'S GOING TO DECREASE YOUR NO NEW REVENUE RATE BY $1.25 MILLION.

IF YOU INCREASE IT, YOUR HOMESTEAD BY 2.5%.

OVER 65 WILL GO DOWN $450,000 PER $25,000.

YOU DO OVER 65.

NOW, HOW THESE WORK AT THE VOTER APPROVED RATE IS IT'S A DIFFERENT CALCULATION AND ACTUALLY GOES THROUGH A DIFFERENT POINT IN THE WHOLE TAX RATE CALCULATION.

SO IT ACTUALLY SAYS WE DON'T CARE WHAT EXEMPTIONS HAPPEN, HOW MUCH MONEY IS 3.5% COMPARED TO WHAT YOU GOT LAST YEAR.

SO THAT ALLOWS YOU TO SHIFT THOSE COSTS OVER.

SO IMAGINE THE WATER BALLOON AGAIN WHEN YOU SQUEEZE THE OVER 65 ANYONE WHO'S UNDER 65 IS BASICALLY PAYING MORE OR BECAUSE YOU'RE JUST SHIFTING THAT BURDEN UNDER THE VOTER APPROVED RATE. RIGHT. OR ANYTHING ABOVE THE NO NEW REVENUE RATE.

SAME THING WITH YOUR HOMESTEAD.

IT SHIFTS IT OVER TO COMMERCIAL OR ANYONE THAT'S NOT HOMESTEADED, AND IT SHIFTS THE BURDEN OVER THAT WAY.

SO IT ALLOWS YOU TO RECOVER THAT MONEY THAT YOU'RE GIVING OUT FOR THOSE THOSE THINGS, BUT YOU ARE SHIFTING THE BURDEN.

SO THAT'S IF YOU GO ABOVE THE NO NEW REVENUE RATE.

SO YOU'D HAVE TO GO ABOVE THE NO NEW REVENUE RATE, AT LEAST $1.25 MILLION OR $450,000 IF YOU'RE INCREASING THE OVER 65 EXEMPTION.

SO AND THE LAST SLIDE, YOU SAID THAT WE'RE CAPPED AT 1.7 MILLION IN NEW REVENUE AT THE VOTER APPROVAL RATE.

SO IF WE INCREASE THE HOMESTEAD EXEMPTION TO 15% THIS YEAR, STILL THE SAME 1.7, IT DOESN'T CHANGE ANYTHING.

IT'S JUST WHO PAYS IS.

THE VOTER APPROVAL RATE THAT IS CORRECT.

OKAY. TRY TO GO TO THE NEW REVENUE RATE.

THAT DOES NOT. BUT NO IMPACT TO REVENUE IF WE ADJUST THE HOMESTEAD EXEMPTION THIS YEAR, OKAY.

AS LONG AS WE ADOPT THE VOTER APPROVAL RATE.

AS LONG AS WE GO ABOVE THE NO NEW REVENUE RATE, AT LEAST ENOUGH TO MAKE IT UP.

GOT IT.

ALRIGHT. I DON'T WANT TO GO OVER YEAH, YOU GO OVER, BUT THEN YOUR EXEMPTIONS GET YOU BACK DOWN TO IT.

YES. YEAH. SO YOU RAISE THE RATE AND YOU GIVE THEM THE HOMESTEAD EXEMPTION.

IT'S THE END GAME. YEAH.

YEAH. BUT YOU STILL GOT THE CAP OF 1.7 RIGHT.

THAT'S YOUR TOTAL. TAXES WENT DOWN.

YEAH. RATE WENT DOWN RIGHT.

YES. YEAH. SO SB2 IS EVEN IF YOU ADOPT YOUR VOTER APPROVED RATE, SB2 IS GOING TO PUSH DOWN YOUR M&O RATE BECAUSE VALUES ARE GROWING FASTER THAN 3.5%.

THAT'S THE END POINT OF THIS AS VALUES GROW FASTER THAN 3.5%.

YOU'RE GOING TO DROP THAT M&O RATE.

SO THAT'S JUST AN EASY LEVER THAT'S PUSHING IT DOWN.

SO WE CAN TALK ABOUT SOME STRATEGIES THAT I'VE GOT MOVING FORWARD.

BUT ONE OF THE THINGS THAT HE ASKED ME, HE SAYS, YOU KNOW, WHERE'S THE SB2 CLIFF.

THIS IS SOMETHING THAT EVERY CITY IS PREPARING TO FACE.

AND YOU MIGHT ASK HOW WE DIDN'T GET HERE BEFORE.

[01:50:03]

SO IF WE HOLD PERSONNEL AT 6.4% GROWTH, IF WE HOLD SALES TAX AT 1% GROWTH, IF WE HOLD, YOU KNOW, REVENUE, BASICALLY PROPERTY TAXES AT 3.5% WITH NO NEW PROPERTIES ROLLING ON IT'S A TWO YEAR CLIFF.

TWO YEAR CLIFF MEANS REVENUES EXCEED OR EXPENDITURES EXCEED REVENUE.

AND SO AFTER THAT, THAT'S WHEN YOU EITHER DIP IN THE FUND BALANCE, REDUCE SERVICE LEVELS.

A LOT OF DIFFERENT THINGS HAPPEN.

NOW IF WE DISSOLVE THE TIRZ 1 AS YOU WERE MENTIONING, THIS CAN EXTEND IT OUT TWO MORE YEARS.

THAT WOULD GIVE YOU TWO MORE YEARS OF RUNWAY OKAY TO BASICALLY BEFORE THAT HEDGES OFF.

NOW THERE'S A LOT OF OTHER SHIFTING PIECES WE CAN DO.

THERE'S A LOT OF OTHER MOVES THAT WE MAKE.

SO I'M NOT SAYING IF YOU DON'T DO THIS, IT'S FOUR YEARS AND WE'RE DEFUNCT.

BUT IT'S THERE'S A LOT OF PIECES THAT IF WE DON'T MOVE THAT DIRECTION THAT WE'RE GOING TO HAVE TO CHANGE AND WE'RE GOING TO HAVE TO TALK ABOUT.

SO, JOHN, THE LAST COUPLE OF YEARS, WE HAVE SPENT MORE MONEY OUT OF THE TIRZ 1 FUND, THAN WE HAVE TAKEN IN.

AND THOSE CAPITAL PROJECTS THAT WE HAVE FUNDED OUT OF TIRZ 1 WERE ABLE TO BE FUNDED WITHOUT TAKING ON DEBT, OBVIOUSLY, BECAUSE THEY CAME OUT OF THE TIRZ FUND AS WELL AS THEY WEREN'T FUNDED BY THE GENERAL FUND THEN.

CORRECT. SO AS LONG AS WE HAVE ONGOING CAPITAL IMPROVEMENT PROJECTS I MEAN, LAST YEAR WE SPENT LIKE $14 MILLION OUT OF THE TIRZ FUND, WHICH OTHERWISE THAT WOULD HAVE COME OUT OF THE GENERAL FUND AND THE FUND BALANCE WOULD HAVE BEEN DEPLETED SUBSTANTIALLY.

YES. SO YOU'RE ACTUALLY BRINGING UP ACTUALLY A BIG POINT THAT THE LEGISLATURE IS KEYING INTO.

THEY BELIEVE THAT CITIES ARE UTILIZING TIRZ 1 AS A SLUSH FUND.

SO THAT'S THEIR IDEA IS THAT, YOU KNOW, CITIES ARE OUT THERE, BAD ACTORS, BASICALLY PUTTING THINGS IN THE SLUSH FUND OR PUTTING THINGS INTO A TIRZ 1 FUND AND UTILIZING IT.

YOU'RE NOT THE ONLY CITY AROUND WHO'S PUT A NUMBER OF CAPITAL PROJECTS OUT OF YOUR TIRZ 1 FUND.

COLLEYVILLE IS JUST AS PERSON LIKE.

COLLEYVILLE IS A JUST AS BIG A PERSON OF DOING A LOT OF CASH FUNDING OUT OF A TIRZ FUND.

THERE'S ACTUALLY A LOT OF CITIES, THESE THAT UTILIZE THAT AS A FUNDING SOURCE FOR CAPITAL EXPENDITURES IN WITHIN A SPECIFIC AREA.

AND THAT'S AS INTENDED.

CORRECT. AS INTENDED.

IT IS INTENDED, BUT THEY DON'T LIKE IT BECAUSE IT'S NOT FACTORED INTO THE TAX RATE CALCULATION.

THE 3.5% CAP.

YES, YES.

SO HOWEVER, WHAT I'M CONCERNED ABOUT AND I'D SAY WE OUGHT TO ALL BE CONCERNED ABOUT IS WE HAVE FUNDED THESE CAPITAL PROJECTS WITH THAT WERE WITHIN THE TIRZ OUT OF THE TIRZ DOLLARS.

IT'S NOT TO SAY THAT THOSE PROJECTS IN EVERY PROJECT THAT REQUIRES CAPITAL WITHIN THAT TIRZ DISTRICT IS GOING TO GO AWAY.

WHEN THAT TIRZ IS, IT'S STILL GOING TO HAVE TO GET FUNDED, BUT IT'S GOING TO HAVE TO GET FUNDED OUT OF THE GENERAL FUND, EITHER THROUGH DEBT OR THROUGH CASH ONE WAY OR THE OTHER.

YES. LIKE SO I'M SAYING IS WHATEVER WE GET OUT OF THAT TIRZ FUND WHEN IT STOPS AND DEPLETES, IT'S NOT NIRVANA, BUT BECAUSE YOU'RE STILL GOING TO HAVE THE EXPENSES THAT IT'S BEEN PAYING FOR THE LAST FEW YEARS.

YES THERE ARE, THERE ARE ACTUALLY SEVERAL PROJECTS THAT ARE ONGOING IN THERE, AND THERE ARE PROJECTS THAT COULD BE SLATED OR PUT WITHIN THE TIRZ BOUNDARIES IN THAT AREA THAT SPECIFICALLY COULD BE FUNDED THROUGH THAT.

THAT WOULD HAVE TO BE FUNDED BY GENERAL FUND DOLLARS IF YOU DISSOLVE THAT.

CORRECT. NOT NIRVANA.

NOT. NO, IT'S NOT NIRVANA.

YEAH. LIKE THE AMOUNT IT JUST DOESN'T GO IN THE TIRZ BUCKET FOR USE WITHIN THE DISTRICT.

IT GOES INTO THE GENERAL FUND.

SO IT'S NOT LIKE YOU DON'T HAVE ANY NEW MONEY IN THE GENERAL FUND.

NO, BUT IT DOES GO TOWARD SB2.

BUT IF IT STAYS IN THE TIRZ THEN IT'S NOT COUNTING AGAINST YOUR 3.5%.

NOW IT IS BUT WHEN THE TIRZ IS DISSOLVED YOU STILL GET THAT TAX REVENUE.

JUST GO SOMEWHERE ELSE, RIGHT? YOU GET THAT, BUT YOU ONLY GET 70% OF IT BECAUSE 30% IS COMING FROM THE COUNTY, RIGHT? THAT'S TRUE TOO.

SO YEAH, REAL QUICK, I'M SORRY, JOHN AND WHEN JOHN AND I WERE TALKING ABOUT THIS, LET'S MAKE SURE THAT WE UNDERSTAND AND THAT $7.2 MILLION IS JUST THE FIRST YEAR.

IT'S NOT IN PERPETUITY.

CORRECT? CORRECT.

LIKE SO THE 7.2 IS AN INCREASE IN REVENUE.

AND SO YOUR BASE REVENUE SHOOT UP $7 MILLION AND JUST CONTINUE.

BUT IT DOESN'T JUST LIKE IT'S NOT AN INFLATED AREA.

SO LIKE $7 MILLION IT IS BASICALLY COMING UP.

YOU HAVE $7 MILLION IN MORE RUNWAY TO GO OVER.

BUT IT IS IN PERPETUITY.

AND THEN. NO, NO, IT'S GOING TO PRODUCE $7 MILLION EVERY YEAR.

NOT THE OLD NUMBER.

CAN BE APPLIED TO THE ENTIRE TOWN.

SO IT HAS MORE FLEXIBILITY.

NOW, GRANTED, IT BECOMES PART OF THE CALCULATION, BUT IT'LL PRODUCE THAT SAME REVENUE THE FOLLOWING YEAR.

IT'S THE FIRST YEAR. NO, IT DOESN'T HIT US AT ALL.

IT GIVES US AN INFUSION OF CASH.

YEP. BUT THEN THE CALCULATION HAS TO BE FACTORED.

3.5 PERCENT CAP. NO IT DOESN'T IT DOESN'T AFFECT THE THREE POINT.

IT'S NOT IT'S EXCLUDED FROM THE 3.5% CAP.

IT DOES NOT DRIVE OUR TAX RATE DOWN.

ALL RIGHT.

[01:55:06]

I THINK YOU GUYS ARE TALKING ACTUALLY ABOUT A COUPLE OF DIFFERENT THINGS.

AND I THINK THIS IS WHERE CONFUSION IS COMING.

SO TAXABLE VALUE, THE TAXABLE VALUE OF THE TIRZ WILL GENERATE $7 MILLION AT OUR CURRENT TAX RATE.

SO IF THOSE TAXABLE VALUES STOP GOING IN THE TIRZ AND GO INTO THE GENERAL FUNDS, THEY WILL GENERATE $7 MILLION WITHIN OUR TAX RATE.

SO THAT'S WHAT THE LIKE GROWTH IN THOSE TAXABLE VALUES WILL ADD.

AND FOR THE FIRST YEAR IT'S NOT A PART OF SB2.

AND THEN THE NEXT YEAR IT DOES BECOME A PART OF THE TOTAL CALCULATION.

THE ONE TIME INFUSION OF CASH IS THE REMAINING BALANCE OF THE TIRZ, THAT IS THE TOWN'S.

AND I THINK THAT'S ROUGHLY $24 MILLION, CORRECT? YEAH. SO THAT IS THE ONE TIME FUNDING.

WELL, WE HAVE SOME PROJECTS THAT MAY CONSUME THAT.

SO THERE'S NO GUARANTEE THAT WE'RE GOING TO DO THAT, THAT WE MIGHT MAYBE TO JIM'S POINT, MAYBE WE FIND CAPITAL PROJECTS AND GO AHEAD AND CONSUME THAT MONEY WHILE WE HAVE IT.

THAT'S RIGHT. YEAH. SO I HAVE NO YEAH.

I'M JUST TALKING ABOUT THE REVENUE IT'S GOING TO BE GENERATED IN THE YEARS SUBSEQUENT TO THE TIRZ EXPIRATION, NOT WHAT'S IN THERE IS A TOTALLY DIFFERENT DISCUSSION.

THE ONLY REAL DISADVANTAGE OF ENDING THE TIRZ IS THE COUNTY'S FUNDING.

COUNTY FUNDING IS A BIG THING.

AND THE FACT THAT IT'S BEEN IT'S BEEN PROVIDING THE FUNDING FOR SIGNIFICANTLY MORE PROJECTS IN DOLLAR AMOUNTS THAN WHAT IT'S BEEN TAKING IN, EVEN THOUGH IT'S AT ITS PEAK FOR, FOR REVENUE SOURCE BECAUSE OF THE ESCALATING PROPERTY VALUES.

IT'S WE'RE STILL SPENDING MORE MONEY THAN WHAT WE'VE BEEN TAKING IN TO BASICALLY CONSUME THE BALANCE.

BUT THE REASON WHY THESE LINES INTERSECT SO SOON THAT THEY DO IS BECAUSE IT'S BEEN SEGMENTED.

IF IT HADN'T BEEN SEGMENTED, IT PUSHES THESE LINES FURTHER APART, BECAUSE THEN YOU CAN SPIN IT, AS M&O THROUGHOUT THE ENTIRE TOWN.

SO THERE ARE ADVANTAGES AND DISADVANTAGES TO BOTH SCENARIOS.

YEAH YOU'RE RIGHT. LIKE SO IT DOES IT EXTENDS THIS OUT.

SO INSTEAD OF 2026 THAT $7 MILLION OURS IT BASICALLY THE CROSSING WOULD COME RIGHT HERE.

SO IT'D BE ROUGHLY IN 2028 THAT THAT CROSSING WOULD HAPPEN BECAUSE YOU KEEP GROWING BY $3.8 MILLION IN PERSONNEL COSTS EACH ONE OF THOSE YEARS.

YOU GET THERE IN TWO MORE YEARS.

AND AGAIN, THAT'S WITHOUT ANYTHING ELSE CHANGING.

SO THAT'S A VERY LIKE HOLDING ALL THINGS THE SAME AND ASSUMING THERE'S NO NEW CAPITAL PROJECTS IN THE TIRZ ZONE.

YEAH. OKAY. YEAH.

OKAY. SO WE'VE TALKED A WHOLE LOT ABOUT THE M&O SIDE.

NOW I WANT TO TALK TO YOU GUYS A LITTLE BIT ABOUT THE I&S SIDE AND DEBT CAPACITY.

SO ONE OF THE THINGS YOU SAW IN THE MEMO WAS A SUGGESTION THAT WE START LOOKING AT AS M&O IS DECREASING BY SB2 AS INTENDED, THAT WE START RECAPTURING I&S.

SO IF WE DIDN'T, WHAT I WOULD SUGGEST IS THE MOST THAT WE COULD GET IS ABOUT $78 MILLION IN FUNDING.

THAT'S IF YOU SAY TO THE TAX RATE OF ROUGHLY LIKE 3.9 CENTS.

AND SO THE FIRST YEAR YOU ACTUALLY SEE THIS SPIKE.

AND SO I REALLY WANT TO GET BACK TO A QUESTION THAT RYAN ASKED AND HE ASKED THROUGH EMAIL.

AND SO I WANT TO KIND OF ADDRESS THIS AS ONE OF THE TOOLS THAT WE HAVE IN OUR TOOL BELT IS REFINANCING.

AND ONE OF THE THINGS THAT WE'RE GOING TO BE TALKING ABOUT IN THE NEXT COUPLE OF MONTHS IS SPECIFICALLY REFINANCING.

REFINANCING IS, HEY, WE CAN CALL A BOND AND WE CAN GO AND BASICALLY SAY, WE CAN NOW FINANCE IT AT A LOWER INTEREST RATE AND GENERATE INTEREST SAVINGS.

YOU CAN ALSO STRUCTURE YOUR PAYMENTS OF THAT IN WAYS THAT ARE BENEFICIAL TO YOU.

SO ONE OF THE WAYS WE CAN IS WHAT I WOULD SUGGEST FOR THIS NEXT YEAR IN REFINANCING IS WE PAY THE ENTIRE AMOUNT THAT WE OWE THE PRINCIPAL AMOUNT OUT COMPLETELY OFF IN ONE YEAR TO GENERATE ADDITIONAL CAPACITY IN OUT YEARS, SO THAT WE HAVE A BIGGER FUNDING GAP THAT FOLLOWING YEAR.

SO THIS BAR RIGHT HERE IN 2025 ROUGHLY REPRESENTS $0.05.

BUT EVERYTHING AFTER THIS WOULD BE 3.9 CENTS.

SO YOU CAN SEE THAT IT GENERATES ADDITIONAL CAPACITY IN HERE SO THAT YOU CAN ACTUALLY GO AND PROGRAM OUT MORE OR DEBT OR BACKFILL BASICALLY AT 3.9 CENTS. SO IT GENERATES CAPACITY.

AND THAT'S WHAT I WANT TO SHOW YOU.

BUT I WANT TO SHOW YOU WHAT THE ALTERNATIVE OF THIS IS AND WHY IT'S SO IMPORTANT.

IF WE BASICALLY GREW OUR I&S, WHAT IT WOULD DO.

SO ROUGHLY IN CAPITAL PIECES AND WE'RE NOT GOING INTO SPECIFIC PROJECTS IN ALL OF THIS, I JUST WANT TO GIVE YOU KIND OF A HIGH LEVEL VIEW OF THIS IS YOU'VE GOT THREE FACILITIES MAINLY THAT ARE COMING ON BOARD.

YOU HAVE TWO FIRE FACILITIES, AND YOU HAVE A POLICE STATION THAT NEED TO BE PAID FOR.

YOU HAVE ROUGHLY OVER TEN YEARS.

YOU HAVE ABOUT $80 MILLION IN STREET RECONSTRUCTIONS OR A POT OF MONEY THAT WAS NEEDED.

THERE'S NOT SPECIFIC PROJECTS ALLOCATED TO THAT YET.

BUT IF WE MOVE FORWARD WITH THIS PROPOSAL, THEN WE COULD BUILD THAT OUT AND GIVE YOU GUYS A LOT MORE DEFINITIONS.

A LITTLE SQUISHY RIGHT NOW.

AND THEN ROUGHLY $40 MILLION FOR A CAC RENOVATION.

SO IF I COULD JUST FILL IN THE GAPS HERE, THERE'S A TERM WE'VE BEEN KICKING AROUND FOR THE LAST FEW MONTHS, A SWAG.

THIS IS A SWAG.

I THINK IT'S IMPORTANT AS DURING THE DURING THE COURSE OF SOME OF THE CONVERSATIONS THAT WE'VE HAD, WE'VE BEEN TALKING ABOUT THE CIP AND THIS.

AND THE THING I'LL RECOGNIZE IS THAT FOR THE MOST PART, NONE OF THIS IS RECOGNIZED ON OUR CIP BECAUSE THEY'RE MAINLY DRIVEN BY FACILITIES.

AND SO AS WE MOVE FORWARD REALLY, WHEN YOU LOOK AT THAT 80 MILLION NUMBER OVER THERE, IT'S TWO FIRE STATIONS.

[02:00:07]

THESE ARE REPLACEMENT OF EXISTING FACILITIES THAT WERE UTILIZING.

IT IS A POLICE FACILITY.

AND THAT IS EXTREMELY SQUISHY BECAUSE RIGHT NOW WHAT WE'RE TRYING TO MAKE A DETERMINATION IS, IS THAT DO WE DO A PURPOSE BUILT STANDALONE OR DO WE DO A MAJOR RENOVATION AND EXPANSION OF THE EXISTING FACILITY THAT'S GOING TO DRIVE? THAT'S THE MOST DYNAMIC NUMBER IN THE SET.

AND BEFORE WE DO ANYTHING, WE HAD TO SOLIDIFY THAT.

AND THAT'S GOING TO HELP SOLIDIFY THAT NUMBER.

THE STREETS COMPONENT IS ONE THAT I THINK THAT AS WE TALK, WE'RE PROBABLY GOING TO HAVE TO SPEND SOME MORE TIME EXPLAINING THAT.

BUT I THINK JOHN DID A GREAT JOB, WHICH IS THAT WHAT IN THEORY, DEBT WILL ALLOW US TO DO IS HANDLE RECONSTRUCTION.

AND WHAT IT WOULD DO IS FREE UP OUR LOCAL OPTION.

AT ROUGHLY $4.6 MILLION, WE GET ANNUALLY FROM THE STREET MAINTENANCE PORTION OF THAT SALES TAX FOR MAINTENANCE.

AND AS YOU RECALL, WHEN CLAY DID HIS PRESENTATION BACK LAST AUGUST, WE WANT TO MAKE THOSE INTERVENTIONS TO EXTEND THE LIFE OF THOSE ROADS.

AND SO IF WE USE THE DEBT TO RECONSTRUCT THE ROADS THAT ARE READY TO BE RECONSTRUCTED, THAT ALLOWS US TO REPROGRAM THOSE DOLLARS THAT WE'RE USING FOR RECONSTRUCTION NOW TO EXTEND THE LIFE, WHETHER IT'S CRACKS, SEAL, AND OTHER INTERVENTIONS THAT WE CAN TO CATCH THAT CURVE, FLATTEN IT OUT AND EXTEND THE LIFE OF THAT ROAD 10, 15, 20 YEARS FURTHER.

AND SO THAT'S WHY WE DEFINITIVELY CAN'T SAY THERE'S CERTAIN STREETS RIGHT NOW, BECAUSE ULTIMATELY, WHAT WE'RE GOING TO HAVE TO WORK TOGETHER IS JUST FIGURING OUT HOW DO WE USE WE'RE SHIFTING RECONSTRUCTION FROM THE SALES TAX TO DEBT AND CREATING THAT CAPACITY TO HELP US OUT.

AND OUT OF ALL THE NUMBERS THAT ARE OUT THERE, EVEN THOUGH THAT'S NOT THE EXACT NUMBER RIGHT NOW FOR THE CAC, WE'RE WORKING ON A FORMALIZED STUDY THAT'S GOING TO INFORM THE NUMBER FOR POTENTIAL INSPECTION EXPANSION.

AND I BELIEVE WE'RE GOING TO DO THAT IN THE NEXT COUPLE OF MONTHS ROUND BOUTS.

SO THAT'S THE MOST SOLID NUMBER UP THERE.

BUT THAT'S KIND OF THE UNIVERSE OF THINGS THAT ARE OUT THERE.

AND NONE OF THESE ARE REALLY FULLY REALIZED ON OUR CIP BECAUSE YOU'RE DRIVEN BY THESE, THESE SINGULAR PROJECTS.

SO I KNOW THAT COMING UP, WE'VE HAD SOME CONVERSATIONS WITH SOME OF YOU ABOUT THE CIP, BUT ONE OF THE THINGS THAT OUR PUBLIC WORKS TEAM KIND OF INFORMED ME IS, IS THAT FOR NOW, WE KIND OF KIND OF KEEP THEM SEPARATE.

AND I THINK IF WE TAKE A CERTAIN DIRECTION, THAT WILL INFORM HOW THE CIP IS STRUCTURED, HOPEFULLY THAT MAKES SENSE.

SO IT'S NOT A DEAL WHERE WE GO TO OUR CIP TO GET THESE NUMBERS.

IT'S MORE OR LESS WE CHARTER DIRECTION AND MOVE THERE AND IT WILL FORM OUR CIP.

HOW WE'RE UTILIZING THOSE THE LOCAL OPTION SALES TAX.

JAMES OR JOHN. AND SO WHAT TIME FRAME WAS WERE WE TALKING ABOUT? TEN YEARS? TEN YEARS.

SO $200 MILLION DOLLARS.

TEN YEARS. YEP.

SUBJECT TO CHANGE WITH INFLATION.

SO I WANT TO TRY TO SHOW YOU HOW.

SO I WANT TO TRY TO SHOW YOU BECAUSE I JUST SAID IF YOU SAY AT 3.9 CENTS, HOW COULD WE EVER GET THERE? SO THIS IS JUST A MODEL AND I APOLOGIZE.

SOME OF MY FORMATTING GOT OFF RIGHT THERE AT THE END ON SOME OF MY SERIES.

BUT SO WHAT I WANT TO SHOW YOU IS THIS MODEL.

AND BASICALLY, AS YOU CAN SEE IN HERE, WHAT THIS MODEL SHOWS IS YOU CAN SEE THE SAME THING IN 24 AND 25.

BUT WHAT HAPPENS IS AFTER WE GET TO $0.05, WE START INCREASING IT BY A QUARTER PENNY EVERY SINGLE YEAR.

AND IF WE INCREASE IT BY A QUARTER PENNY EVERY SINGLE YEAR FOR TEN YEARS, THAT CREATES ENOUGH CAPACITY FOR $200,000.

TWO. SORRY, 200 MILLION.

GOOD LORD. YEAH. YES, I FORGOT THOSE EXTRA THREE ZEROES.

MISSED THAT COMMA. YEAH.

THERE YOU GO. YEAH. [LAUGHTER] FOR $200 MILLION AND SO WE CAN GET THERE.

AND I'M NOT GOING TO SAY IT'S EASILY GOING TO GROW BY A QUARTER EVERY YEAR, OR THAT M&O IS PERFECTLY GOING TO DROP BY THIS.

THERE'S GOING TO BE SMALL TERM ISSUANCES IN THERE.

THERE'S OTHER PROBLEMS. THERE'S OTHER THINGS IN HERE.

THERE'S OTHER DEBTS THAT WILL COME IN HERE.

BUT THIS IS COMPLETELY POSSIBLE AS M&O DECREASES I&S COULD INCREASE AND IT COULD GENERATE THE ADDITIONAL CAPACITY YOU NEEDED TO FUND A PROGRAM WITHOUT INCREASING TOTAL TAX RATE.

SO I'M NOT SAYING WE EVEN HAVE TO SAY LIKE STAY AT THE SAME TAX RATE.

I'M JUST SAYING AS ONE GOES DOWN, IF WE MOVE THE OTHER UP AND IT DOESN'T MEAN THE TOTAL TAX RATE CAN'T DECREASE, IT JUST MEANS THAT WE NEED TO BE ABLE TO TRY TO RECAPTURE INCREMENT EACH YEAR HERE AND FIND OUR COMFORT LEVEL THERE, HERE, SO THAT WHEN THAT SHIFT HAPPENS, THAT YOU CAN FUND ALL OF THESE FUTURE PROJECTS WITHOUT ASKING RATEPAYERS FOR AN INCREASED TAX RATE. TO ADD THAT AND ESPECIALLY FOR THE LESS INITIATED IN THE MECHANICS OF HOW THIS WORKS IS SO WE'RE NOT AVOIDING SB2.

SB2 IS STILL DOING WHAT SB2 IS DOING.

SO THAT M&O IS STILL GOING DOWN.

BUT WHAT WE'RE DOING IS WE'RE TRYING TO CAPTURE AND CREATE THAT CAPACITY IN OUR I&S RATE, BECAUSE, I MEAN, IT WAS GREAT TO BE ABLE TO, YOU KNOW, THAT I&S DROPPING ROUGHLY 5 OR $0.06 CENTS OVER THE LAST FEW YEARS, PROVIDED, YOU KNOW, A NET SAVINGS TO OUR TAXPAYERS.

AND THAT'S GREAT. AND IT'S ONLY GREAT WHEN YOU DON'T HAVE TO DO ANYTHING.

OUR PROBLEM IS THAT WE'RE GOING TO HAVE TO START DOING STUFF.

AND SO THAT'S REALLY ONE OF THE THINGS I WANT TO MAKE SURE PEOPLE UNDERSTAND THAT IS THAT THIS ISN'T AVOIDING THE IMPACTS OF SB2, BUT IT'S A STRATEGY TO ALLOW US TO BE ABLE

[02:05:09]

AND I THINK JOHN HAS DONE A GREAT JOB OF TRYING TO FORMULATE A STRATEGY WHERE WE'RE STILL IN A POSITION WHERE, AT THE MINIMUM, WE CAN MAINTAIN THE CURRENT TAX RATE AND BE ABLE TO DELIVER THE THINGS WE NEED TO DELIVER.

BUT AS HE MENTIONED, THERE STILL MIGHT BE SOME POSSIBILITY AND SOME AREAS WHERE WE CAN STILL LOWER THE OVERALL TAX RATE WHILE DOING IT.

YEAH, I THINK I GET WHAT YOU'RE SUGGESTING HERE.

AND I THINK WHAT I THE FIRST CONVERSATION I'D LIKE TO HAVE IS GOING BACK TO THAT SWAG.

CAN WE GET THAT NUMBER DOWN.

ARE THERE PROJECTS THAT MAYBE DON'T BELONG IN THIS LIST? IF WE'RE THINKING ABOUT WHAT'S REALLY ESSENTIAL? LIKE, YOU KNOW, KIRKPATRICK, FOR EXAMPLE, WOULD HAVE BEEN PART OF THIS UNTIL WE TOOK IT OFF THE CIP.

WHAT IS THE IMPACT OF TIRZ 2 AND THE THINGS ON THE WEST SIDE OF TOWN? HOW MANY OF THOSE WILL BE ACCOUNTED FOR WITH TIRZ TWO AND THOSE FUNDING SOURCES? WHAT KIND OF SALES TAX IMPACT IS THE DEVELOPMENT ON THE WEST SIDE OF TOWN GOING TO HAVE? AND WILL THAT HELP ADJUST THIS MIX A LITTLE BIT TO? MAYBE WE DON'T HAVE TO GET THAT I&S NUMBER UP QUITE SO HIGH.

BUT WHATEVER THAT IS, I GET WHERE YOU'RE SAYING HOW WE KIND OF NEED TO RAMP IT UP TO GET TO WHATEVER NUMBER IT IS.

HOPEFULLY IT'S NOT 200 MILLION.

I WOULD EXPECT TO AS WE'RE CONTEMPLATING WHAT'S GOING ON IN THE WEST SIDE, THAT NOT ONLY WILL WE BE LOOKING AT THE REVENUES, BUT WE'LL ALSO INCORPORATE THE MANY EXPENDITURES THAT WILL COME WITH THAT. SO BOTH SIDES OF THE EQUATION ARE GOING TO GO UP.

IF TIRZ 2 IS FUNDING THAT.

THEN IT'S NOT GOING TO FUND ALL OF IT.

IT'S ONLY FUNDING 50%.

THERE'S NO WAY. 50% TIRZ.

THAT'S IT. BUT AGAIN WHAT.

IS I MEAN, WE SAW THE NUMBER.

IT WAS LIKE 780 MILLION.

I MEAN, THAT'S MUCH HIGHER. THOSE WERE THE PROJECTS THAT'S ON BUT YEAH, WE ALSO DETERMINED THAT THE TIRZ WAS ONLY GOING TO GENERATE 268 MILLION.

RIGHT. SO THE QUESTION IS LIKE THIS IS 200 MILLION.

NOT EVEN THIS IS WHAT IS THAT'S THE POINT I'M GETTING AT.

THERE'S A LOT OF WISH THERE'S A LOT OF ASPIRATIONAL THINGS ON THAT.

I THINK IT'S A SWAG. I THINK THAT'LL GET CONVERGE.

IT'LL START TO CONVERGE AS WE GO THROUGH TIME.

SO ROUGHLY THIS IS FOR FACILITY PROJECTS AND ROAD RECONSTRUCTION.

AND SO WE AND ROAD RECONSTRUCTION IS SPECIFICALLY EVERYTHING ON THE EAST SIDE OF TOWN.

THIS IS NOT IN CONSIDERATION OF THE WEST SIDE, AS REVENUES DO INCREASE FROM THE WEST SIDE OF TOWN YES THERE IS NO NEED TO ACTUALLY KEEP THIS RATE UP AS HIGH SO AS NEW VALUES ROLL IN AND AS THAT WILL GROW YOUR I&S, RIGHT? SO THE WEST SIDE OF TOWN IS NOT GOING TO HAVE ANY ROAD RECONSTRUCTIONS.

THEY HAVEN'T BEEN BUILT YET BUT IT WILL GENERATE SALES TAX.

IT WILL GENERATE AD VALOREM TAX.

IT WILL SELF FUND WITH THE TIRZ.

THAT'S THOSE ARE THE VARIABLES THAT I'M TRYING TO UNDERSTAND.

THERE ARE FACILITIES THAT WILL BE NEEDED THERE AS WELL AS STAFF.

YEAH YEAH YEAH.

SO THIS IS TO TRY TO HELP US GET THROUGH THE NEXT COUPLE OF YEARS AND JUST THE THINGS THAT WE KNOW ABOUT RIGHT NOW.

BUT YOU'RE RIGHT, NEW PROJECTS WILL COME IN, AS YOU CAN SEE, WITH THIS DEBT SCHEDULE.

AND I APOLOGIZE AGAIN FOR MY FORMATTING HERE, BUT AND AS THIS DECREASES, THERE'S ROOM IN NUMEROUS PLACES.

YOU'RE, WE'RE GOING TO HAVE PLAY IN THE TAX RATE.

WE'RE GOING TO HAVE AREAS WHERE WE CAN SHIFT.

IF A LOT OF THIS IS ACTUALLY JUST BASED AROUND COUNCIL POLICY, I JUST WANTED TO SHOW YOU THAT THIS IS FEASIBLE AND THIS IS DOABLE.

IT'S NOT AN IMPOSSIBLE ASK.

AND IF THE LITTLE BIT OF STRATEGY ANY AND INCORPORATING THESE THINGS, WE COULD ACTUALLY MAKE IT HAPPEN AND THAT THERE IS A POSSIBILITY WITHOUT RAISING THE TOTAL TAX RATE, YOUR CITIZENS. SO WITH YOUR SWAG, JOHN, YOU'RE TALKING ABOUT SERIES 2025.

GOS. FOR A GOOD CHUNK OF CHANGE 50, 59 MILLION.

YEP. EACH ONE OF THESE IS SERIES BRINGS US TO THE $200 MILLION WE NEED FOR THE PRICING.

AND THIS WILL BE DOING THOSE PROJECTS OVER THAT AMOUNT OF TIME.

SO THERE'S INFLATION OF COSTS.

THERE'S ANY NUMBER OF THINGS FACILITIES.

THESE COULD NOT ALL BE BUILT AT ONCE.

WE CAN'T DO $80 MILLION OF PROJECTS IN IN 1 OR 2 YEARS.

THOSE WOULD STRETCH OVER THOSE TIMES.

AND SO REALLY ABOUT THIS IS THE STREET.

SORRY. THE STRATEGY HERE IS TAKE CARE OF LARGE CAPITAL PROJECTS THAT COULDN'T ACTUALLY BE FUNDED WITH ANY CASH, OR THERE IS SOME PLAY AND STUFF WITH THE TIRZ THERE'S PLAY AND THINGS WITH NEW VALUES COMING ON OUT WEST, AS THERE ARE A LOT OF MOVING PARTS IN HERE, BUT THIS REALLY HELPS US TO IDENTIFY DIFFERENT BUCKETS OF FUNDING FOR SPECIFIC NEEDS THAT COULDN'T BE FUNDED OUT OF CASH AS OF NOW.

AND THAT'S THE BIGGEST PROBLEM I WANT TO TRY TO ADDRESS IS, IS HOW DO WE GET THERE IN THE LONG TERM TO ADDRESS SOME OF THESE BIG THINGS THAT WERE ARE GOING TO HAPPEN WITH THE PRESSURE THAT'S COMING IN ON OUR OPERATIONS.

SO ONE OF THE THINGS I'LL JUST ADD TO COUNCILMAN SCHIESTEL TO YOUR POINT IS THAT OBVIOUSLY WE DON'T WANT TO MOVE FORWARD AND MAKE A BIG DECISION LIKE THIS ON A SWAG.

WE'LL REFINE THESE NUMBERS.

BUT MOST IMPORTANTLY, THE THING ABOUT THIS IS JUST SOMETHING HISTORICALLY WE HAVEN'T HAD TO DO VERY OFTEN.

[02:10:02]

THERE IS A VETTING PROCESS.

AND MORE IMPORTANTLY, YOU ALL GET TO TOUCH THIS MULTIPLE TIMES BEFORE WE MOVE FORWARD WITH IT.

SO YOU'LL HAVE THE OPPORTUNITY TO GET MORE INSIGHTS ON HOW THOSE PARTICULAR PROJECTS BREAK DOWN.

AS I MENTIONED BEFORE, THE ONE DYNAMIC PIECE IN THERE IS WHAT DO WE DO WITH THE HEADQUARTERS THAT'S GOING TO BE A POLICE HEADQUARTERS, THAT'S GOING TO BE A BIG DRIVER THAT COULD POTENTIALLY BRING THAT NUMBER DOWN.

IT'S NOT NECESSARILY GOING TO RAISE IT.

SO I WANT YOU AND THE PUBLIC LISTENING TO UNDERSTAND THAT THIS IS WE'RE NOT TRYING TO TAKE THIS TO THE BANK.

THERE WILL BE AMPLE OPPORTUNITIES.

AND MORE IMPORTANTLY, IF THE DECISION IS MADE, OKAY, WE WANT TO LOOK AT POTENTIALLY A GO DEBT BOND ISSUANCE.

THEN AT THAT POINT YOU WOULD PUT TOGETHER A BOND COMMITTEE THAT WOULD VET ALL THESE PROJECTS, GET ALL THE HARD DATA AND MAKE A RECOMMENDATION TO YOU ALL.

YOU WILL TAKE THOSE RECOMMENDATIONS, TWEAK IT AS YOU SEE FIT BEFORE IT ULTIMATELY GOES BEFORE THE VOTERS.

SO THERE'S SEVERAL CHECKS AND BALANCES THAT IT GOES TO A POINT WHERE IF SOMETHING GOES TO THE BALLOT, IT'S BECAUSE A MAJORITY OF Y'ALL ARE COMFORTABLE WITH WHAT'S GOING TO THE BALLOT. SO THERE'LL BE AMPLE OPPORTUNITY FOR TRANSPARENCY SO PEOPLE UNDERSTAND WHAT'S BEING CONTEMPLATED.

IF YOU COULD GO TO SLIDE 14, PLEASE.

SO EVERY YEAR WE'LL BE ASKING FOR A BOND PACKAGE IN THE VOTE BECAUSE IT LOOKS LIKE WE'RE GETTING SERIES EVERY SINGLE YEAR.

NO, SO AND THIS MIGHT BE A GOOD INDICATOR THAT JOHN MARTIN NEEDS TO COME UP.

BUT WHAT WE'RE DOING IS YOU'RE GOING AND YOU'RE GETTING THAT AUTHORIZATION.

AND WE WOULD IT'S GOING TO BE US WORKING WITH OUR FINANCIAL ADVISORS TO DETERMINE HOW WE ISSUE THE DEBT OVER TIME.

BUT YOU GO FOR AUTHORIZATION ONE TIME.

SO WE WOULD BE ASKING, FOR EXAMPLE, A BOND PACKAGE OF $200 MILLION.

YES. WHATEVER THE NUMBER IS.

YES. OVER 10 YEARS.

OVER TO BE.

ISSUED OVER 10 YEARS. EXERCISED OVER TEN YEARS.

AND ONCE YOU HAVE THAT AUTHORIZATION, THEN WE MAKE THE DETERMINATION OF HOW WE ISSUE THE DEBT OVER, OVER THAT TIME PERIOD.

SO YOU WOULDN'T GO BACK TO THE VOTERS WITH EACH ISSUANCE.

YOU ONLY GET THE AUTHORIZATION ONE TIME.

RIGHT? SO YOU WOULD WANT TO START SECURING THESE BONDS IN THE NEXT YEAR.

SO YOU'RE THINKING LIKE MAYBE NEXT MAY ELECTION.

IT HAS TO HAPPEN.

THAT'S THAT'S WHAT WE'RE PUTTING OUT THERE ULTIMATELY IT'S YOUR DECISION.

AND ONE AND THAT'S ONE OF THE THINGS THAT WE HAVE TO DISCUSS.

AND SO IF YOU GO AND SAY WHAT HAPPENS IF WE DO IT TWO YEARS FROM NOW, THOSE ARE THE THINGS THAT WE NEED TO KNOW TO INFORM US SO WE CAN GO IN AND SAY, OKAY, IF THIS, THEN THIS. AND SO WHAT WE'RE DOING IS, IS THAT AND I'M TRYING TO THINK OF A BETTER ANALOGY.

YOU'RE NOT BEING HELD HOSTAGE TO MAKE A DECISION AT THAT PARTICULAR DATE.

BUT WHAT WE'RE SUGGESTING IS, IS THAT GIVEN WHAT WE SEE ON THE HORIZON, THE SOONER WE CAN START DOING THIS, THE BETTER.

BUT CERTAINLY AS YOU GO THROUGH THIS PROCESS AND YOU THINK THROUGH IT, YOU HAVE THE OPPORTUNITY TO SAY, WHAT IF WE TAKE THIS APPROACH? YOU COULD EVEN SAY, YOU KNOW WHAT? IF WE DON'T WANT TO DO A PROGRAM, WHAT IF WE JUST ISSUE COS FOR THE NON QUALITY OF LIFE? OR THE YOU CAN ISSUE COS TECHNICALLY FOR ANYTHING OTHER THAN THE CAC.

WE COULD SEE WHAT THAT LOOKS LIKE.

SO I WANT TO MAKE SURE AND I PUT THIS IN THE EMAIL.

WE'RE NOT FORCING YOU TO GO INTO ONE GATE.

BUT WE'RE MAKING A SUGGESTION THAT A BOND PROGRAM PROBABLY MOST BE THE MOST VIABLE WAY TO DO THAT.

BUT CERTAINLY THE TIME THAT CAN BE SPENT IN THE COMING WEEKS AND MONTHS, WE NEED TO BE HAVING THOSE CONVERSATIONS.

IF THERE'S THOUGHTS ON AN ALTERNATIVE APPROACH.

WHAT HAPPENS IF WE DO THIS? THOSE ARE THE THINGS THAT WE NEED.

SO, FOR EXAMPLE, WE WOULD DISCUSS A STRATEGY TO PERHAPS HAVE DIFFERENT PROPOSITIONS FOR DIFFERENT BONDS, LIKE A NEARBY SCHOOL DISTRICT JUST RECENTLY DID.

YES. AND TRUST ME, I'M WE'RE COGNIZANT OF THAT.

FOR EACH OF THE THINGS TO SEPARATE THEM.

OKAY. AND THAT'S GOING TO BE DRIVEN THE LEGISLATURE AND SO IN THE SIMPLEST TERMS AND JOHN, I FEEL LIKE I'M DOING YOUR PRESENTATION.

NO YOU'RE GOOD. NO I'M TALKING ABOUT JOHN MARTIN.

SO YEAH, IT MIGHT BE GOOD AFTER I SAY THIS TO MAYBE HAVE JOHN COME UP AND START TALKING.

BUT BY AND LARGE YOU WOULD LOOK AT IT JUST BROADLY AS THAT WE COULD DO PUBLIC SAFETY FACILITIES AND THAT WOULD CAPTURE POLICE AND FIRE.

WE COULD DO STREETS THAT CAPTURE STREETS AND ALL THAT, THAT THAT'S CONTAINED THERE.

AND THEN THE CAC WOULD PROBABLY BE ON ITS OWN, BECAUSE THAT IS THE ONE PROJECT, BECAUSE OF THE LEGISLATIVE CHANGES, HAS TO BE A GO ISSUANCE.

WE CAN'T DO CO'S FOR A PROJECT LIKE THAT.

BUT THEORETICALLY YOU COULD DO CO'S FOR THE FIRE STATIONS AND THE ROADS.

I THINK THE SIZE AND THE SCOPE OF A POLICE STATION, I WOULDN'T DO COS ON, BECAUSE THAT'S SOMETHING YOU REALLY NEED THE INPUT FROM THE VOTERS ON, AND Y'ALL CAN MAKE THE DECISION THAT ANY AMOUNT NEEDS TO BE APPROVED BY THE VOTERS.

SO I THINK BY AND LARGE, YOU WOULD PROBABLY SEE PUBLIC SAFETY STREETS AND ROADS AND THEN, YOU KNOW, PARKS AND RECREATION FOR THAT, THAT CAC ITEM. AND JAMES, WOULD WE HAVE MAYBE AN ALTERNATIVE VISION IF THE VOTERS TURNED IT DOWN, SAY THE POLICE HEADQUARTERS GOT TURNED DOWN.

THIS IS HOW THIS IS OUR PLAN IN THAT SCENARIO, SO THAT THEY WOULD KIND OF HAVE A PROS AND CONS TYPE OR IS IT ALL OR NOTHING?

[02:15:01]

HE'S LOOKING AT ME LIKE I GOT THIS.

SO WE'RE GOING TO PASS IT OVER TO JOHN MARTIN.

I JUST WANT TO ADD ONE MORE THING TO THIS.

BUT AS WE'RE REVIEWING THESE PACKAGES AND WHAT WE'RE FUNDING, I'D LIKE TO UNDERSTAND OPTIONS.

YOU KNOW, IF WE DID THE ASPHALT ROAD OVERLAY, HOW COULD WE UTILIZE THAT TO EXTEND LIFE, EXTEND THE PAYMENT TIME PERIODS THAT WE WOULD HAVE TO COVER ALL THESE DIFFERENT BONDS CAC RENOVATION INSTEAD OF A CAC REBUILD? I THINK YOU ALREADY MENTIONED IT, JAMES.

POLICE HEADQUARTERS RENOVATION.

WHAT'S THE DIFFERENCES OR EVEN ROADS? YOU KNOW, IF WE IF WE ALLOWED ROADS TO GET TO A LOWER SERVICE LEVEL, WHAT WOULD THAT DO AND HOW WOULD IT LOOK? AND WHAT ARE THE RISKS. IN THE LONG RUN.

YEAH. ALL THE INFORMATION.

SO JUST THOSE OPTIONS.

THAT'S GOOD. ONE OF THE NICE THINGS ABOUT JOHN IS JOHN WAS ON YOUR LAST BLUE RIBBON PANEL 20 SOMETHING YEARS AGO.

SO HE CAN EVEN DESCRIBE TO YOU WHAT THAT PROCESS WAS LIKE BACK THEN.

SO THAT'S I'M VERY EXCITED TO HAVE HIM AND HIS KNOWLEDGE HERE.

GOOD EVENING SIR. GOOD EVENING, MAYOR AND COUNCIL.

THANKS FOR HAVING US TONIGHT.

AND CONGRATULATIONS ON GRADUATING TO BONDS 201.

[LAUGHTER] 201 OR 102.

THAT WAS CHANGED.

YEAH. HOW MANY CREDIT HOURS DO WE NEED? ALL THE CREDIT. SO WE WANT TO TALK A LITTLE BIT TONIGHT ABOUT JUST SOME OF THIS IS A REFRESHER AND TALK ABOUT DIFFERENT TYPES OF DEBT.

YOU GUYS ARE SUPER FAMILIAR WITH CERTIFICATES OF OBLIGATION.

WE COME EVERY YEAR.

AND THE LAST SEVERAL YEARS, THOSE HAVE THINK ABOUT IT.

WE'VE JUST WE'VE BEEN DOING UTILITY PROJECTS, WATER AND WASTEWATER TYPE PROJECTS.

SO NOTHING THAT HAVE WE DONE REALLY.

WE'VE NOT BORROWED ANY MONEY FOR GENERAL GOVERNMENT TYPE STUFF.

YOU KNOW, STREETS, PUBLIC FACILITIES, THOSE TYPES OF THINGS THAT YOU TYPICALLY SEE THAT GO ON THE AD VALOREM TAX RATE.

OKAY. SO THE AD VALOREM TAX RATE HAS GOTTEN A HUGE BREAK, WHICH IS WHY WE ARE WHERE WE ARE.

SO YOU'VE BEEN ABLE TO LEVERAGE THAT AND SO FORTH AND TO WHAT JOHN'S PRESENTATION WAS NOW HERE WE ARE WHERE WE'VE GOT THINGS THAT WE NEED TO DO.

HOW ARE WE GOING TO MAKE IT HAPPEN.

SO HOPEFULLY WE'LL BE ABLE TO GET THROUGH THIS WITH YOU.

SO THIS SECOND PAGE SHOWS YOU THE COMMON MUNICIPAL DEBT TYPES IN TEXAS.

SO WE HAVE GENERAL OBLIGATION BONDS.

THAT'S WHAT WE'VE BEEN TALKING ABOUT FOR THIS LARGE POSSIBLE PROJECT.

THEY ARE VOTED THEY ARE SECURED BY AN AD VALOREM TAX.

YOU HAVE YOUR SEPARATE M&O TAX AND YOUR I&S TAX THAT I&S TAX.

THAT'S THE ONE THAT'S JUST UNDER $0.04 RIGHT NOW.

CERTIFICATES OF OBLIGATION THEY ARE NOT VOTED THEY CAN BE SECURED BY AD VALOREM TAX AND REVENUES.

OFTENTIMES CITIES PACKAGE CERTIFICATES OF OBLIGATION BY DOING A VARIETY OF PROJECTS WITH SOME OF IT MIGHT BE GENERAL PURPOSE AND SOME OF IT MAY BE UTILITY PURPOSE. AND THEY JUST ALLOCATE.

PART OF IT GOES IN THE I&S AND PART OF IT GETS PAID FROM THE ENTERPRISE FUND.

THEY ARE AND THEN TAX NOTES THEY'RE ALSO NOT VOTED AND THEY ARE TYPICALLY SECURED BY AD VALOREM TAXES.

WE'RE GOING TO TALK ABOUT IN DETAIL ALL THESE IN JUST A MINUTE.

UTILITY SYSTEM REVENUE BONDS, FLOWER MOUND HAS NOT DONE THAT IN DECADES.

SO THOSE ARE REVENUE BONDS.

THEY ARE SECURED SOLELY BY THE REVENUES FROM THE FACILITIES.

AND THE IDEA IS USER PAY THEORY.

SO THOSE THAT USE THE MOST PAY THE MOST.

THEN THERE ARE OTHER TYPES BEYOND OUR DISCUSSION TODAY SUCH AS CONTRACT REVENUE BONDS, ASSESSMENT REVENUE BONDS THAT WOULD BE LIKE YOUR PIDS AND SO FORTH.

WHERE THERE'S AN ASSESSMENT.

THERE ARE HOT BONDS, HOTEL TAX BONDS AND SALES TAX BONDS.

YOU ALL HAVE DONE SALES TAX BONDS BUT NOT REALLY ISSUED THEM THROUGH YOUR CDC.

RIGHT. SO YOU THROUGH YOUR 4B YOU'VE ISSUED THEM AS COS AND HAD AN AGREEMENT THERE WHERE THEY MOVED MONEY OVER AND THE 4B TAKES ADVANTAGE OF THE TRIPLE A RATING OF THE CITY.

SO THE NEXT SHEET SHOWS YOU KIND OF A GRAPHIC HERE TO SHOW YOU WHAT GOES INTO EACH OF THOSE FOUR PRIMARY GO, COS, TAX NOTES, UTILITY SYSTEM, REVENUE BONDS.

AS YOU GO ACROSS THE PUBLIC APPROVAL A BOND ELECTION MAY AND NOVEMBER ONLY.

THE LAST TIME YOU ALL HAD A LARGE BOND ELECTION, WE DIDN'T HAVE UNIFORM ELECTION DATES.

THAT AND WHERE WE COULD ONLY VOTE TWICE A YEAR.

WE VOTED THOSE IN FEBRUARY OF 02.

RIGHT. SO IT'S BEEN A WHILE.

THE CERTIFICATES OF OBLIGATION THERE ARE TWO COUNCIL MEETINGS, ONE TO GIVE NOTICE OF INTENT, TO TELL PEOPLE THAT YOU'RE GOING TO DO THIS, AND TAX NOTES, THERE'S NONE REQUIRED.

IT'S ONE MEETING. YOU ISSUE THE DEBT UTILITY SYSTEM, REVENUE BONDS.

THERE'S NO PUBLIC APPROVAL REQUIRED.

THE SECURITY BEHIND EACH WE TALKED ABOUT THAT TAX IS ONLY FOR GO'S.

[02:20:03]

YOU COULD USE ANOTHER POT OF MONEY IF YOU WANTED TO.

BUT TYPICALLY IT'S PURELY AD VALOREM TAXES.

CERTIFICATES OF OBLIGATION.

IT'S A COMBINATION TYPICALLY OF TAXES AND REVENUES.

TAX NOTES CAN BE THE SAME TAXES AND OR REVENUES AND UTILITY SYSTEM REVENUE BONDS AGAIN JUST UTILITY SYSTEM REVENUES.

OTHER CONSIDERATIONS THERE ARE WITH GO BONDS.

IT'S A LONGER ISSUER ISSUANCE PROCESS.

SO YOU THINK ABOUT IF WE'RE STARTING NOW JUST TO KIND OF TALK ABOUT THIS AND THROW THIS OUT THERE TO CHEW ON A LITTLE BIT AND SWAG ON FOR OVER A YEAR FROM NOW MAY OF 2025, YOU'RE STARTING THAT PLANNING STAGE, WHICH TAKES A YEAR TO GET THERE.

AND THEN BY THE TIME YOU SELL BONDS AND SO FORTH, YOU KNOW THE PROCESS.

ONCE YOU'VE DONE THAT, IT'S TYPICALLY 90 DAYS THERE.

SO YOU'RE TALKING ABOUT A YEAR AND A HALF SPAN.

SO PLANNING IS KEY.

CERTIFICATES OF OBLIGATION.

THE OTHER CONSIDERATION THERE YOU HAVE TO REMEMBER THAT THEY CAN BE PETITIONED.

SO IF ONCE YOU PUT YOUR NOTICE OUT THAT YOU COULD HAVE 5% OF THE REGISTERED LAST REGISTERED QUALIFIED VOTERS SIGN A PETITION.

IF IT'S VALID, IT FORCES YOU TO VOTE TO EITHER NIX THE PROJECT OR TO TAKE IT TO THE VOTERS.

WE'VE SEEN THIS IN A NUMBER OF CITIES HERE RECENTLY THAT THERE'S SUCH A ANTI-DEBT WORLD THAT WE LIVE IN NOW THAT ALL DEBT IS BAD AND PEOPLE NOT REALLY UNDERSTANDING WHAT WE'RE DOING.

SO WE'VE EVEN HAD PETITIONS FOR UTILITY PROJECTS, WATER, WATER SYSTEMS AND THAT SORT OF THING.

AND REALLY WHAT THAT COUNCIL WAS JUST ALL, ALL THEY WERE TRYING TO DO IS JUST SAVE THE TAXPAYERS MONEY BY USING A BETTER METHOD OF FINANCING TAX NOTES. THE TRICK THERE IS WHILE IT'S THAT'S AN EASY AND QUICK WAY TO DO THINGS AND ONLY IT'S NOT THERE'S NOT SUBJECT TO PETITION.

YOU DON'T HAVE TO VOTE THEM.

IT HAS A MAXIMUM MATURITY OF SEVEN YEARS.

SO WE SEE A LOT OF THIS FOR MAINTENANCE TYPES, THINGS THAT ARE HVAC REPLACEMENTS, FLEET VEHICLES.

WE DO A LOT OF FIRE TRUCKS FOR CITIES AROUND THAT ARE, YOU KNOW, FIVE YEAR TYPE NOTES AND THAT SORT OF THINGS COMPARED TO DOING A VENDOR LEASE.

A LOT OF TIMES A TAX NOTE SEEMS TO BE BETTER IN A LOT OF TIMES.

UTILITY SYSTEM REVENUE BONDS THE REASON WE DON'T TYPICALLY DO UTILITY SYSTEM REVENUE BONDS HERE IN FLOWER MOUND FOR OUR UTILITY PROJECTS IS BECAUSE YOU HAVE TO HAVE DIFFERENT COVENANTS IN THOSE THAT REQUIRE YOU TO HAVE A COVERAGE TEST FOR LIKE A 1.2 TIMES REVENUE TEST YEAR AFTER YEAR, AN ADDITIONAL BONDS TEST THAT LIMITS YOU TO BE ABLE TO ISSUE ADDITIONAL BONDS ONLY IF YOU PASS A CERTAIN TEST AND THEN ALSO A RESERVE FUND.

IF YOUR UTILITY REVENUES WERE TO DIP YOU WOULD THEN DRAW FROM THAT RESERVE FUND TO PAY THE DEBT WHILE YOU'RE INCREASING YOUR RATES OR INCREASING TO WHATEVER YOU DO, YOU HAVE TO DO TO FOR YOUR REVENUE ENHANCEMENTS TO GET THERE.

THE CREDIT RATINGS THERE YOU SEE FROM LEFT TO RIGHT, THE HIGHEST CREDIT RATINGS ARE THOSE THAT ARE HAVE AN AD VALOREM TAX BACKED.

HERE IN FLOWER MOUND WHERE WE ENJOY A TRIPLE-A RATING.

IF YOU DID UTILITY SYSTEM REVENUES, FLOWER MOUND WOULD BE ALMOST CERTAINLY A AA+ RATING, SO IT'D STILL BE EXTREMELY HIGH, BUT IT IS AN EXTRA COST OF FUNDS. HERE'S THE DETAILS OF TAX NOTES.

AND JOHN TOUCHED ON THIS A LITTLE BIT ABOUT DOING BEING PREPARED TO MAYBE DO SOME MORE SHORT TERM FINANCING. AND THIS IS THE IDEAL TOOL TO DO THAT.

IT'S A SINGLE COUNCIL MEETING.

THE ISSUANCE PROCESS TAKES TYPICALLY 45 DAYS, 60 DAYS AT THE MOST.

AND YOU CAN DO JUST ABOUT ANYTHING THERE.

THOSE PURPOSES INCLUDE PUBLIC WORKS MATERIALS, SUPPLIES, BUILDING EVEN BUILDINGS YOU KNOW, ALL SORTS OF THINGS.

SO THERE ARE EVEN TAX NOTES THAT SOME CALL THEM TAX REVENUE ANTICIPATION NOTES.

WE'VE EVEN SEEN BACK IN THE OLD DAYS WHEN WERE JUST MORE DEPENDENT ON AD VALOREM TAXES THAT THEY WOULD THAT CITIES, SCHOOL DISTRICTS EVEN TOO WOULD ISSUE TAX NOTES TO GET THEM OVER THE HUMP OPERATIONALLY UNTIL THEIR TAX COLLECTIONS CAME IN AND THEN LATER IN THE FISCAL YEAR.

WE DON'T NEED TO DO THAT.

MAXIMUM, MATURITY SEVEN YEARS.

AGAIN NOTES CAN BE PURCHASED.

NOTES FOR PURPOSES A, B AND C CAN BE REFINANCED.

SO IF WERE TO GET IN TROUBLE WITH FINANCING, YOU CAN ROLL THEM OUT FOR A GREATER LENGTH OF TIME.

HOPEFULLY WE WOULD NEVER COME TO THAT PROBLEM.

CERTIFICATES OF OBLIGATION.

THINGS HAVE CHANGED A LITTLE BIT IN THIS THE LAST COUPLE OF LEGISLATURES HAVE PUT SOME LIMITS ON THAT.

AND I WOULD BET YOU THAT THERE ARE MORE TO COME.

THE REQUIRE AGAIN, TWO CITY COUNCIL MEETINGS.

THE APPROXIMATE ISSUING TIME IS 90 DAYS.

WE'RE IN THE PROCESS OF ONE OF THESE RIGHT NOW, SO WE EXPECT TO SELL BONDS 1ST OF JUNE MIDDLE OF JUNE, LIKE WE NORMALLY DO HERE.

[02:25:05]

IT REQUIRES A NOTICE REQUIREMENT OF 45, 46 DAYS, NO ELECTION REQUIREMENT.

AGAIN, IT CAN BE PETITIONED.

AND THESE PURPOSES HERE ARE VERY SIMILAR TO GO BONDS AND TAX NOTES.

THE TRICK IS THAT YOU CAN ISSUE FOR ANY OF THESE PURPOSES, BUT SOME PURPOSES YOU CANNOT LET YOU CANNOT PUT IT ON THE I&S SIDE OF YOUR DEBT TAX RATE. SO SOME, THINGS SUCH AS ARENAS, STADIUMS THOSE TYPES OF THINGS HAVE TO GO ON THE M&O SIDE IF IT'S NON VOTED OKAY.

IF YOU WERE TO FOR COS.

SO LEGISLATURE WANTS YOU TO IF YOU DECIDE YOU WANT TO DO AN ARENA HERE IN FLOWER MOUND THAT IT MUST GO TO THE VOTERS.

YOU CAN'T JUST ISSUE COS AND TAX YOUR RESIDENTS WITHOUT A VOTE.

SO THE SOME OF THE OTHER THINGS THERE THAT WE TALKED ABOUT THAT THE LAST BULLET POINT, I THINK HIT ON MR. SCHIESTEL'S QUESTION THERE ABOUT THE TIMING.

WHAT HAPPENS IF IT FAILS? SO CANNOT ISSUE COS IF YOU LOOK AT THE BOTTOM BULLET POINT, IF IT WAS TURNED DOWN BY THE VOTERS, YOU CAN'T JUST TURN AROUND AND SAY, WELL, WE'LL SHOW YOU.

WE'RE GOING TO COME AND ISSUE COS AND WITHOUT YOUR APPROVAL.

SO IT HAS TO BE AT LEAST IF YOU HAVE A IF YOU HAVE ONE OF YOUR BALLOT QUESTIONS GOES DOWN, IF YOU SAY YOU HAVE 6 OR 7 DIFFERENT BALLOT QUESTIONS IN DIFFERENT CATEGORIES, ONE OF THEM GOES DOWN, YOU CAN TURN AROUND AND GO BACK TO THE VOTERS, BUT YOU CAN'T GO AND ISSUE COS AT LEAST FOR A THREE YEAR PERIOD, JOHN, DO YOU, DO YOU KNOW IF OUR CAC PROJECT WOULD BE CONSIDERED LIKE A STADIUM THAT IF WE ISSUED COS IT WOULD BE M&O.

THAT IS A LEGAL QUESTION THAT I'D HAVE TO GET WITH BOND COUNSEL.

I WOULD THINK THAT IT MAY BE.

DO YOU KNOW JOHN? SO THEY THEY TWEAKED THE LEGAL DEFINITION OF A PUBLIC WORKS.

AND SO THEY TRULY THEY'RE TRYING TO STICK WITH STREETS, WATERS AND THINGS LIKE THAT.

MOST PARKS AND RECREATIONAL THINGS, THINGS ARE GETTING A LOT MORE GRAY.

ON WHETHER YOU SHOULD OR SHOULD NOT BE ABLE TO DO IT.

THEY MOSTLY WANT YOU TO, FOR RECREATIONAL ACTIVITIES, TO GO ASK THE VOTERS THROUGH A GO PROGRAM.

OKAY. UNDERSTOOD. THANK YOU.

SO IF IT'S PURELY PARKS, WE'VE HAD NOT HAD ANY TROUBLE WITH AG APPROVAL FOR PURELY PARKS.

SO IT'S WHAT GOES IN THAT PARK.

WHAT GOES IN THAT RECREATIONAL FACILITY WHERE THAT'S, AS JOHN SAID, A LITTLE BIT OF A GRAY AREA.

SO I THINK YOU'RE SAFE IF YOU'RE GOING TO THE VOTERS FOR SOMETHING LIKE THAT.

MAXIMUM MATURITY ON COS IS 40 YEARS AGAIN SECURED BY AD VALOREM TAXES.

YOU CAN ALSO USE REVENUES FROM OTHER SOURCES TO HELP PAY TOO.

HERE ARE GENERAL OBLIGATION BONDS.

AND THIS AS WE TALKED ABOUT BOND ELECTIONS ARE REQUIRED AND THEY CAN BE ONLY HELD IN MAY OR NOVEMBER UNIFORM ELECTION DATES AND THE BALLOT MUST THE BALLOT LANGUAGE MUST STATE IN PLAIN LANGUAGE DESCRIPTION OF SINGLE SPECIFIC PURPOSES.

SO EACH TYPE OF PROJECT YOU CAN IT WORKS INTO PUBLIC SAFETY.

WILL YOU DO YOU WANT TO HAVE IS THAT POLICE AND FIRE OR IS THAT IS A SEPARATE QUESTION FOR POLICE AND THEN FIRE.

YOU CAN DO HOWEVER YOU WANT.

THAT IS YOUR PREROGATIVE.

BUT YOU CAN'T HAVE YOU CAN'T HAVE PUBLIC SAFETY IN WITH PARKS AS ONE BALLOT PROPOSITION.

IT HAS TO BE MORE OF A CAFETERIA BUFFET, RIGHT TO CHOOSE FROM.

SO WE'RE SCHOOLS ARE NOW GOING MORE TO THAT OR HAVEN'T HAD BEEN FORCED TO REALLY GO MORE TO THAT FOR EVERYTHING SEPARATED OUT FROM INSTRUCTIONAL FOR FOOTBALL STADIUMS AND THAT SORT OF THING WE'VE SEEN.

SO SAME TYPE DEAL FOR CITIES HAVE ALWAYS HAD THAT ISSUE FOR, GO BONDS.

SO WE HAVE TO SEPARATE THOSE OUT.

YOU CAN WHEN YOU SELL THE BONDS AFTER THEY'VE BEEN APPROVED BY THE VOTERS, YOU CAN'T SELL THEM ALL AT ONCE.

YOU DON'T HAVE TO HAVE PROPOSITION A BOND SALE.

PROPOSITION B BOND SALES.

YOU CAN COMBINE THEM ALL FOR EFFICIENCIES THAT WAY.

MAXIMUM MATURITY OF 40 YEARS ON THOSE AS WELL.

UTILITY SYSTEM REVENUE BONDS.

WE'VE COVERED THAT.

DON'T THINK THAT'S A CONSIDERATION FOR US ANY TIME IN THE NEAR FUTURE AT ALL.

THERE'S REALLY NO REASON FOR FLOWER MOUND TO DO UTILITY SYSTEM REVENUE BONDS, UNLESS THEY TOOK THE ABILITY FOR US TO ISSUE COS AWAY FOR UTILITY SYSTEMS. VOTED VERSUS NON VOTED.

HERE'S THE THING THAT WE TALKED A LITTLE BIT ABOUT.

WHY DO YOU HOW DO YOU DECIDE TO VOTE FOR VOTED BONDS VERSUS NON VOTED BONDS, WHICH YOU ALL TYPICALLY DO IS TEXTBOOK.

IT'S CASE STUDY FOR THE WAY YOU SHOULD DO THINGS.

YOU ALL GO TO THE VOTERS FOR THINGS THAT ARE MAYBE A LITTLE EXTRAORDINARY.

[02:30:04]

AND THAT'S WHEN YOU TYPICALLY SEE CO'S ISSUED OR NON VOTED DEBT ISSUED.

SECOND BULLET POINT YEAR AFTER YEAR LEGISLATURE IS PUSHING HARDER TO MAKE US VOTE FOR EVERYTHING.

SO WE DON'T KNOW WHAT THE NEXT SESSION ENTAILS, BUT WE WILL BE RIGHT IN THE MIDDLE OF THIS PROCESS WHILE THEY'RE IN THE LEGISLATIVE SESSION NEXT TIME OUT.

THE CO PETITION THERE.

WE TALKED ABOUT BUNDLING OF PROJECTS.

THAT'S ONE ADVANTAGE VERSUS GO BONDS, BECAUSE YOU CAN LUMP EVERYTHING INTO ONE AUTHORIZATION OR ONE NOTICE OF INTENT. YOU DON'T HAVE TO.

IT'S NOT A SEPARATE TYPE OF DEAL.

SO IT'S A LOT LESS RISK.

HERE ARE SOME QUICK STATISTICS FROM LAST YEAR OF VOTED BONDS IN THE STATE OF TEXAS.

AND IT IS INTERESTING TO SEE SO VOTED VERSUS NON VOTED BONDS.

SO THIS IS FROM THE MUNICIPAL ADVISORY COUNCIL OF TEXAS WHICH IS OUR REAL RESOURCE AND KIND OF TRADE GROUP.

AND THE MUNICIPAL BOND BUSINESS IN TEXAS.

SO THE TOTAL AMOUNT OF ALL ISSUES SOLD IN TEXAS, ALL DEBT, 464 BOND ISSUES, AND OF THE 464, 54 OF THOSE WERE VOTED OR OVER 10%, 11.64%.

THAT'S UP.

SO LAST TIME WE LOOKED AT THIS IN 2022, I THINK WHEN WE CAME BACK, WHICH WAS THE 21, THAT NUMBER WAS LIKE 7%.

SO WE'RE SEEING MORE AND MORE OKAY, AUSTIN, WE'RE HERE.

WE HEAR YOU. WE'RE GOING TO WE'RE GOING TO LET WE'RE GOING TO HAVE THE VOTERS MORE INVOLVED.

SO WE'RE SEEING A LOT MORE OF THAT.

THE TOTAL DOLLAR VOLUME OF ALL ISSUES SOLD IN TEXAS.

IT'S A HUGE BUSINESS, 14.7 BILLION.

OF THAT, THE TOTAL DOLLAR VOLUME, ALMOST 1.4 BILLION, OR JUST UNDER 10%, 9.34%.

THAT NUMBER A COUPLE OF YEARS AGO WAS ABOUT 6%.

SO VERY LARGE ISSUES WE SEE A LOT OF TIMES THE CITY OF DALLAS HAS ON THE MAY BALLOT 1.2 BILLION.

SO A HUGE ISSUE, OF COURSE, IT'S DALLAS.

THAT'S A LOT OF MONEY.

AND WE CAN GIVE YOU A LIST OF YOUR PEER CITIES TO KIND OF SHOW TOO.

I THINK THAT WOULD BE HELPFUL TO YOU ALL AS WE GO ON TO KIND OF SEE, YOU KNOW, THAT YOU'RE NOT ASKING TOO MUCH OR ASKING TOO LITTLE WHERE YOU WHERE YOU FIT IN.

GOLDILOCKS. RIGHT? SO THE ELECTION RESULTS IN 2023, THERE WERE 24 DIFFERENT BOND ELECTIONS HELD JUST BY CITIES.

WITHIN THAT, REMEMBER, WE TALKED ABOUT WE HAD TO HAVE SEPARATE TYPE PROJECTS.

WITHIN THOSE 24 ELECTIONS, THERE WERE 74 PROPOSITIONS.

OF THE 74 PROPOSITIONS, 62 OR 85% OF THEM CARRIED.

THAT'S PRETTY GOOD. THE DOLLAR AMOUNT.

THAT'S BETTER THAN SCHOOLS, BY THE WAY.

SCHOOLS ARE ABOUT 70%.

DOLLAR AMOUNT OF PROPOSITIONS.

ALMOST 3 BILLION WERE APPROVED AND WERE ASKED FOR AND ABOUT 2.6 BILLION CARRIED.

SO 88% OF THE DOLLAR AMOUNT CARRIED.

SO THAT GIVES YOU A GENERAL IDEA OF WHAT'S OUT THERE.

HAPPY TO ANSWER ANY QUESTIONS YOU ALL MIGHT HAVE ABOUT DEBT ISSUANCE.

THE SCHOOL BOARD I MENTIONED IS ADVERTISING THAT THEIR BONDS WILL NOT RESULT IN ANY NEW TAXES AND JOHN Z.

WELL, I SAW THAT LOOK. THAT WAS THE LOOK I GAVE.

RIGHT. SO BUT I JUST WANT TO CHECK IN IF I HEARD YOU RIGHT, LIKE, OH, FOR THE $200 MILLION, YOU'RE THINKING WE CAN DO THIS WITHOUT INCREASING OUR TAX RATE.

TAX RATE. SO YES.

WHEN. I AGREE.

YEP. SO THE LEGISLATURE GETS REALLY DEFINITIVE, YOU HAVE TO SAY ON ALL THAT OBLIGATION, YOU WILL HAVE TO SAY YOU'RE RAISING TAXES.

BUT YOU CAN SAY THAT YOU ARE NOT RAISING THE TAX RATE.

CORRECT. AND I THINK THAT'S IMPORTANT.

AND I DON'T KNOW, MAYBE SOMEBODY ELSE REMEMBERS IF THEY'RE SAYING NO NEW TAXES OR IF THEY SAID NO HIGHER TAX RATE.

I DON'T REMEMBER THE DISTINCTION.

BUT IF WE DO DECIDE TO GO FORWARD, WHAT I WOULD REALLY APPRECIATE IS A GRAPHIC.

MAYBE THE TWO OF YOU CAN TAG TEAM THAT REALLY CLEARLY EXPLAINS EASILY LIKE AS SIMPLE AS SIMPLE CAN BE ONE SLIDE HOW WE CAN DO IT WITHOUT INCREASING THE TAX RATE. OKAY.

IS THAT DOABLE? OKAY, ABSOLUTELY.

AND I THINK, YOU KNOW, TO WHAT JOHN'S TALKING ABOUT IN TERMS OF YOUR OVERALL PLAN IS THERE'S A LOT OF CONSIDERATIONS.

SO I THINK THAT WHAT JOHN'S PLAN IS, IS YOU GOT TO LOOK AT THE TOTAL TAX RATE, YOU KNOW, NOT YOU CAN LOOK AT THE I&S RATE AND THAT BUYS YOU I THINK IN THE PROJECTIONS WERE 70 MILLION BUCKS OR SOMETHING LIKE THAT.

[02:35:04]

RIGHT, MAYBE A QUARTER.

AND IF THAT CAN BE MADE UP ON THE OTHER SIDE, ON THE I&S SIDE.

SO THE TOTAL TAX RATE IS THE SAME.

IF THAT'S A PLEDGE WE'RE GOING TO MAKE AND IF THAT'S WHAT WE'RE GOING TO MARKET, YOU KNOW AS A BENEFIT I WANT TO HAVE THE HIGHEST DEGREE CERTAINTY POSSIBLE FOR THAT.

AND THE OTHER THING IS, SINCE I AM A PERSON THAT'S KEPT UP AT NIGHT BY WORRYING ABOUT THINGS, WORST CASE SCENARIO, WHAT IF 2008 REPEATS ITSELF? SO GREAT QUESTION.

AND I KNOW THAT THAT WAS ONE OF THE THINGS.

AND YOU'D ASKED THE QUESTION ABOUT, DO WE GO TO THE VOTERS EACH YEAR OVER THE NEXT TEN YEARS AND, APPROPRIATELY ANSWERED, NO, YOU GO AND YOU'RE ASKING FOR, AS YOU SAID, A $200 MILLION AUTHORIZATION IN THIS EXAMPLE, WHATEVER IT MAY BE.

BUT YOU'RE NOT BOUND TO THAT PARTICULAR SCHEDULE.

SO, YOU KNOW, IF YOU DON'T WANT TO ISSUE $60 MILLION IN 2025, YOU KNOW, AND YOU WANT YOU CAN WORK THROUGH SOME OTHER TAX RATE MANAGEMENT ISSUES THAT YOU CAN WORK THROUGH SHORTEN DEBT.

YOU'VE GOT REFINANCING TOOLS, YOU'VE GOT DEBT THAT'S CALLABLE, THAT'S COMING UP THAT WE CAN WORK THROUGH.

WE'RE ANTICIPATING, FOR INSTANCE, A LOWER INTEREST RATE PERHAPS MAYBE.

RIGHT. SO BUT WE'RE REALLY THE CRYSTAL BALL REALLY GETS CLOUDED IS BEYOND THAT.

SO IF YOU'RE PARTICULARLY IF YOU'RE TALKING ABOUT AN 8 TO 10 YEAR PROGRAM WHO KNOWS.

RIGHT. SO YOUR VALUES AND WHAT, WHAT JOHN HAD PUT TOGETHER WERE PROJECTED AT CONSERVATIVELY 3 TO 5%.

SO CONSERVATIVE IS VERY GOOD.

CONSERVATIVE IS VERY GOOD.

YOU KNOW, WE ALL HAVE ALWAYS BEEN SUPER CONSERVATIVE.

SO IF THAT IF YOUR VALUES JUMP UP AND WE KEEP GETTING DOUBLE DIGITS LIKE YOU'VE GROWN TO, IF NOT, BUT YOU, YOU HAVE THE ABILITY TO WORK THROUGH EACH YEAR TO BACK INTO HOW MUCH YOU CAN ISSUE.

AND THERE COULD BE OTHER LEGISLATIVE FORCES, LIKE FOR INSTANCE.

WELL, THE APPRAISAL IS KEPT AT 10% INCREASE PER YEAR, SO IT CAN BE NO MORE THAN THAT IN THE APPRECIATION OF THE VALUE UNLESS WE HAVE NEW NEW PROPERTY.

THAT'S RIGHT. NEW.

RIGHT? YEAH. AND THAT'S HOW YOU'VE GOTTEN TO THESE 15% JUMPS.

SO WE MUST HAVE PROJECTIONS BASED ON ALSO WHAT ADAM AND JIM HAVE SAID ABOUT THE WEST END IN THE DEVELOPMENT.

SO IT'S JUST TO ME, A LOT OF MODELING WOULD BE NECESSARY.

I JUST WANT TO SEE THE DIFFERENT SCENARIOS.

SO REMEMBER TOO MISS MARTIN THAT THE YOU HAVE A LOT OF PENT UP TAX CAP, INDIVIDUAL RESIDENTIAL PROPERTIES IN TOWN THAT CAN'T INCREASE MORE THAN 10%, BUT THEIR ACTUAL VALUES, THE APPRAISAL DISTRICT, ACTUALLY HAVE THEM INCREASING 20%.

SO THAT'S GOING TO THAT'S GOT TO BE EATEN INTO OVER FOR US TO WORK THAT OFF OVER A PERIOD UNLESS WE COMPLETELY CRASH.

WELL YOU KNOW, LIKE I SAID, WORST CASE SCENARIO, KEEP YOU UP AT NIGHT KIND OF THING, RIGHT? YEAH. WE'D HAVE TO BE PREPARED FOR THAT FOR SURE.

OKAY. THANK YOU.

SO FIRST OF ALL, THANK YOU FOR THE EXPLANATION.

I THINK THAT WAS A LOT OF GOOD INFORMATION.

SO JUST A QUESTION FOR BOTH JOHNS.

WOULD IT BE POSSIBLE TO GET A COPY OF THESE PRESENTATIONS? YES. OKAY, THAT'D BE HELPFUL.

SO APPRECIATE IT. AND THEN ONE OF THE THINGS I'D LIKE TO UNDERSTAND IS OBVIOUSLY WE'LL REMOVE THE SWAG FACTOR AND START TO GET A LITTLE MORE CONCRETE DATA, WHICH OBVIOUSLY COULD CHANGE OVER TIME.

BUT HOW DOES THE WHOLE BOND COMMITTEE PROCESS WORK? YOU KNOW, HOW DO WE GO ABOUT FORMING A BOND COMMITTEE? WHO'S ON THE BOND COMMITTEE? WHAT DO WE GIVE THEM? WHAT INPUT DOES COUNCIL HAVE? AND THEN HOW DOES THE PROCESS WORK AT THE END WHEN WE GET PRESENTED WITH THE RECOMMENDATION, DO WE HAVE TO ACCEPT IT OR DENY IT.

CAN WE REDLINE IT.

HOW DOES THAT PROCESS WORK? SO THE WORLD IS YOUR OYSTER REALLY ON HOW YOU GO ABOUT THAT? YOU ALL HAVE SOME GUIDELINES THAT WORK PRETTY WELL FOR YOU 20 SOME ODD YEARS AGO THAT IS VERY COMMON AND TYPICAL PRACTICE FOR CITIES THAT FORM THAT WAS CALLED A BLUE RIBBON COMMITTEE.

YOU COULD DO THE SAME TYPE THING.

BUT WHAT YOU'RE TRYING TO BACK INTO IS THE ELECTION CALL DATE.

SO YOU'RE TRYING TO BACK INTO THE MAGIC DATE OF HAVING A CALL IF YOU WANT TO HIT MAY OF 2025, WE GOT TO HAVE EVERYTHING WRAPPED UP, TIED IN A NICE LITTLE BOW BY VALENTINE'S DAY OF 2025.

SO MID FEBRUARY.

SO BY THE TIME YOU START ALL THAT TO GET THAT SWAG PEN DOWN, YOU NEED TO KIND OF GET A BETTER IDEA OF WHAT THOSE NUMBERS LOOK LIKE AND KIND OF WHAT PROJECTS MAY BE UNDER CONSIDERATION.

THEN YOU TOSS THAT TO THAT BLUE RIBBON COMMITTEE.

THE BLUE RIBBON COMMITTEE IS YOUR APPOINTMENTS.

YOU ALL DECIDE WHO'S ON THAT COMMITTEE.

SO, YOU KNOW, WHETHER IT'S, YOU KNOW, HOWEVER YOU WANT TO SET IT UP FOR MEMBERS OF THE COMMUNITY.

IF I CAN ADD TO THAT REALLY QUICK.

IN THE LAST COMMITTEE, EACH THE COUNCIL APPOINTED A CHAIRMAN AND A VICE CHAIR, AND TWO EACH COUNCIL MEMBER HAD TWO APPOINTEES.

[02:40:04]

SO THERE WAS A REPRESENTATIVE FROM ALL THE LEAGUES.

SO THEN YOU COULD PROBABLY DECIDE FROM THERE, YOU KNOW, FIRE, POLICE, CAC HOW YOU WOULD WANT TO SPLIT THAT OUT.

BUT THAT HAD TWO PER COUNCIL MEMBER.

GOOD POINT. AND SO THEN WE WOULD PRESENT THIS BOND COMMITTEE WITH HERE'S WHAT WE'RE THINKING ABOUT, YOU KNOW, THE 80, THE 80, THE 40, WHATEVER THOSE NUMBERS TURN OUT TO BE FOR EACH OF THOSE THREE BUCKETS.

AND WE PRESENT THEM WITH, WE'RE LOOKING AT A WAY TO POSSIBLY FUND THIS THROUGH BONDS, AND THEN THEY PRIORITIZE IT.

THEY DECIDE WHAT WE RECOMMEND TO DO, WHAT WE DON'T RECOMMEND TO DO.

AND THEN THEY BRING THOSE RECOMMENDATIONS TO COUNCIL.

IS THAT A CORRECT UNDERSTANDING? THAT'S CORRECT. YOU'RE TRYING TO GIVE THEM A GENERAL SCOPE OF WHAT YOU'RE WHAT YOU'RE LOOKING THEM FOR THEM TO VET OUT EVERYTHING.

SO IT'S KIND OF LIKE THE CHARTER REVIEW COMMITTEE, BUT WITH MONEY.

EXACTLY. YES.

THEY HAVE A CHARGE.

THEY DO THEIR WORK, THEY MAKE A PRESENTATION TO YOU ALL, AND THE BALL IS HANDED TO YOU, AND YOU CAN TWEAK AS YOU SEE FIT AND ADJUST IT.

AND THEN ULTIMATELY THAT'S WHAT GOES ON THE BALLOT.

THANK YOU. SO JUST ONE OTHER ITEM AS WE'RE KIND OF EVALUATING ALL THE DIFFERENT OPTIONS.

I'D ALSO LIKE TO UNDERSTAND IF WE DID INCREASE THE VOTER APPROVAL RATE, SEND IT TO THE VOTERS.

AND IF THERE'S COST SAVINGS THERE, I'D LIKE TO UNDERSTAND THAT TOO.

SO INSTEAD OF ISSUING BONDS, INCREASE THE VOTER APPROVAL RATE.

OKAY. SO GOING OUT FOR AN ELECTION TO INCREASE, PASS THE VOTER APPROVAL RATE.

EXACTLY. AND ASK THE CITIZENS, HEY, WE WANT TO INCREASE OUR.

YEAH, BECAUSE MAYBE THERE'S SOME MIX THERE.

WE CAN TRY AND SAVE SOME MONEY AND KIND OF BALANCE IT A LITTLE BIT DIFFERENTLY.

I DON'T KNOW IF THERE'S A SAVING IN THE ELECTION COST.

THAT'S ACTUALLY ALMOST A I DON'T THINK THERE'S GOING TO BE A SAVINGS IN THE ELECTION COST, BUT A SAVINGS IN THE BONDS PAYING THEM OVER TIME VERSUS PAYING WITH CASH.

IT'D BE A ONE YEAR YOU'D HAVE TO GO.

YEAH. EACH YEAR.

EACH YEAR YOU'D HAVE TO REQUEST.

YEAH. SO MUCH IN THAT ONE YEAR FOR THAT ADDITIONAL FOR SOMETHING THAT THESE PROJECTS ARE IT WOULD BE REALLY HARD TO SWALLOW, I THINK PARTICULARLY WITH ALL THE OTHER LARGE PROJECTS TOO.

YOU HAVE YOU'D HAVE TO LOOK AT HOW FAR.

HOW FAR UP. YEAH.

AND YOU'D BE PAYING. SO IT AND MAYBE ANOTHER THOUGHT.

AND JOHN, YOU CAN CORRECT ME.

EITHER JOHN CAN CORRECT ME IF I'M WRONG.

BUT YOU'RE, YOU RUN THE RISK OF KIND OF PIECEMEALING THE APPROACH AND A UNIQUE CHALLENGE THAT WE HAVE IS THAT WAITING HAS A PRICE BECAUSE THE PRICES ARE ONLY GOING TO GO UP.

AND SO PART OF THE CHALLENGE IS, IS THAT IF WE BROUGHT JUST A CERTAIN PIECE FORWARD, OR WE TRIED TO FIGURE OUT A WAY TO FINANCE IT WITHOUT ANY TYPE OF GO ISSUANCE, YOU COULD MAYBE KNOCK OUT. AND I'LL JUST USE AS AN EXAMPLE, KNOCK OUT A FIRE STATION.

BUT THE PROBLEM IS, IS THAT THE PRICES OF EVERYTHING ELSE IS ESCALATING TO THAT TIME POINT WHERE YOU REALLY DON'T SAVE ANY MONEY ON THE BACK END, BECAUSE NOW YOUR FACILITY THAT COSTS YOU $20 MILLION BECAUSE OF THE INFLATIONARY FACTORS NOW COSTS 30 MILLION IN THAT TIME FRAME.

SO THERE'S SOME CHALLENGES THAT I HEAR EXACTLY WHAT YOU'RE SAYING, AND WE CAN CERTAINLY DO THAT.

IT'S JUST FIGURE OUT WHAT SOME OF THOSE PATHS LOOK LIKE.

BUT I WANT TO BE ABLE TO THINK THROUGH SOME OF THOSE UNINTENDED CONSEQUENCES THAT ARE ASSOCIATED WITH YOU.

SO YOU HAVE THAT FULL VIEW.

SO I THINK ULTIMATELY AND AGAIN, THE THING I WANT TO BE VERY CAREFUL IS THAT I DON'T WANT TO FEEL LIKE I'M PUSHING YOU DOWN A PATH.

I WANT TO MAKE SURE THAT IF WE DO GO THE ROUTE THAT YOU TALK ABOUT, WE COULD PUT SOME PEN TO PAPER AND SAY, WE MIGHT BE ABLE TO DO THIS, BUT HERE ARE SOME THINGS TO THINK ABOUT.

SO IF WE ULTIMATELY, WHEREVER WE ULTIMATELY LAND, WE CAN BE ABLE TO ACCOUNT FOR SOME OF THOSE THINGS.

SO TRUST ME, WHEN THESE DOLLAR AMOUNTS CAME THROUGH, THE NATURAL QUESTION YOU ASK, WHAT IF WE DID IT THIS WAY? WHAT IF WE DID IT THIS WAY? WHAT IF WE DID IT THIS WAY? SO TRUST ME.

I WOULD ONLY BRING THIS TO YOU IF I FELT LIKE IT WAS A VIABLE PATH AND SOMETHING THAT WAS NECESSARY.

IF I COULD DO THIS ANY OTHER WAY, IT WOULD BE A LOT EASIER CONVERSATION.

BUT WITH THAT BEING SAID, I THINK IT'S VERY IMPORTANT THAT YOU ARTICULATE CLEARLY ARTICULATE OTHER THINGS YOU WANT US TO EXPLORE.

I WANT TO TAKE A LOOK AT THEM, TOO.

I HAVE ANOTHER WHAT IF WE DID IT THIS WAY? SINCE I THINK I GET WHERE CHRIS IS COMING FROM, IT'S LIKE THOSE PROJECTS ON THE BUBBLE WHERE MAYBE WE, THE VOTERS, DON'T WANT TO GO INTO DEBT, BUT MAYBE WE STILL WANT TO PAY FOR THEM. OR MAYBE WE CAN REDUCE THE AMOUNT OF DEBT WE HAVE TO TAKE BY FUNDING SOME OF THEM WITH CASH.

SO SALES TAX BEING VERY CONSERVATIVE, 1%, LET'S SAY WE DO BETTER THAN THAT.

LET'S SAY WE HAVE BIG SUCCESS ON THE WEST SIDE WITH THE COMMERCIAL DEVELOPMENTS THAT COME FORWARD, AND WE END UP GENERATING MORE SALES TAX THAN WE THOUGHT WERE GOING TO.

WHAT DOES THAT HOW DOES THAT CHANGE THESE CALCULATIONS? YEAH. SO I THINK YOU'RE ACTUALLY ASKING FOR A TRUE CASH MODEL.

SO YOU'RE ASKING FOR A TRUE CASH MODEL THAT FUNDED THROUGH CASH, WHICH WE'D HAVE TO.

THE ONLY WAY TO GENERATE THE CASH WOULD ACTUALLY BE THROUGH AN M&O RATE, WHICH WOULD BE ABOVE THE VOTER APPROVED RATE.

SO THAT'S A COLLEYVILLE.

SO COLLEYVILLE ACTUALLY DOES THIS.

LIKE SO THEY USE A ROLLING CASH MODEL TO FUND REPLACEMENT.

SO NOT 100% I MEAN.

[02:45:02]

SO YOU WANT TO BE ABLE TO SHIFT LIKE IF YOU DID IT ABOVE THE VOTER APPROVAL RATE, HOW MUCH WOULD YOU HAVE TO ACTUALLY INCREASE THE TAX RATE.

EVEN IF THERE'S SMALL PROJECTS THAT ARE, YOU KNOW, $4 MILLION THAT WE COULD USE THAT DO CASH FUNDING TO TRY AND SAVE? YEP. NO, I'M JUST GIVING IT AS AN OPTION TO EXPLORE.

YES. YEAH. ABSOLUTELY.

YEAH. YEAH. WE CAN ALWAYS WE CAN BASICALLY SHOW YOU WHAT POINT YOU HAVE TO GO ABOVE LIKE A CERTAIN AMOUNT.

SO WHAT IT EQUALS IS LIKE YOU KNOW, THIS PROJECT IF WE TRY TO CASH FUND IT WITH THE TAX RATE IS THIS MANY PENNIES OR SOMETHING ELSE LIKE THAT.

THAT'S WE CAN EASILY GIVE YOU.

IT'S YOU KNOW, THIS OR THIS.

OKAY. I HAD ASKED PROBABLY MAYBE THREE YEARS AGO ABOUT THE FEASIBILITY OF HAVING SOME KIND OF A MUNICIPAL BOND PROGRAM WHERE RESIDENTS COULD BUY IN, AND AT THAT TIME IT WAS NOT FEASIBLE BECAUSE THE AMOUNTS NEEDED WERE NOT ENOUGH.

BUT WITH THE $200 MILLION, HAS ANYTHING CHANGED THAT WOULD MAKE THAT MORE ATTRACTIVE OR MORE FEASIBLE SO THAT OUR RESIDENTS COULD ACTUALLY INVEST IN OUR TOWN AND ALSO RECOUP SOME OF THE INTEREST ON THAT? THAT'S A GOOD QUESTION. JUST CURIOUS.

THEY ABSOLUTELY CAN.

SO THAT COMES AT THE TIME OF THE SALE OF BONDS.

AND SO WE'VE HAD UNDERWRITERS OFFER BONDS AND HAVE A LOCAL RESIDENT, YOU KNOW, IF YOU'RE IN FLOWER MOUND ZIP CODES, YOU GET A PRIORITY OF ORDERS, SO YOU GET FIRST SHOT.

I WOULD LIKE TO HEAR MORE ABOUT THAT AS AN OPTION, BECAUSE I THINK WE MAY HAVE RESIDENTS WHO WANT TO INVEST IN OUR TOWN, AND THEN WE CAN SHARE THE REWARDS.

YEAH, WE DO IT ALL THE TIME.

I MEAN, WITH THE LAST ISSUE, YOU KNOW, IT WAS PRETTY SUCCESSFUL.

I MEAN, IT WAS, YOU KNOW, WHILE IT WAS A $160 MILLION BOND SALE THAT WE HAD FOR A LARGER SCHOOL DISTRICT.

YOU KNOW, WE HAD 2 MILLION BUCKS.

3 MILLION BUCKS OF LOCAL.

DO YOU REMEMBER? YOU DON'T THINK IT WAS OKAY.

BUT WE HAVE WE DID HAVE LOCAL PARTICIPATION OF PEOPLE BUYING TRANCHES OF $50,000 $100,000.

YOU KNOW, I ASSUME YOU'D GO INTO YOUR SCHWAB OR YOUR FIDELITY ACCOUNT AND JUST BUY THEM THROUGH THERE.

BUT THEY HAVE TO BE MADE AVAILABLE.

YEAH, WELL, THEY'D HAVE TO BE YOU'D HAVE TO KNOW AND THEY'D HAVE TO BE ABLE TO.

THAT'S A GREAT IDEA I LOVE IT, I LIKE THAT AS.

I'D BUY THEM. YEAH I WOULD, I WOULD.

I WOULD I MEAN IF IT'S NOT CONFLICT OF INTEREST.

[LAUGHTER] I THINK WHAT ENDS UP HAPPENING IS WHEN THEY ACTUALLY WHEN YOU KNOW, RETAIL INVESTOR, LET'S LIKE YOU AND ME RIGHT.

THAT ARE BUYING VERSUS INSTITUTIONAL INVESTORS THAT ARE BUYING I DON'T KNOW WHAT YOUR SITUATION IS, BUT A MILLION BONDS AT A TIME.

I'M CERTAINLY NOT BUYING THAT AT A TIME.

BUT BPOFM, I'M TRYING TO FIND IT ON MY SCHWAB.

[LAUGHTER] ON THERE. THE.

TRYING TO GET IN THERE QUICK.

BUT A LOT OF TIMES WHEN, THE BROKER CALLS THE LOCAL, YOU KNOW, THE LOCAL PERSON SAYING, HEY, YOU KNOW, YOU ARE A FLOWER MOUND RESIDENT, ARE YOU INTERESTED? AND THEY SAID, WELL, WHAT'S THE RATE? OH, IT'S 3%. IT'S LIKE, NO.

[LAUGHTER] WELL, OBVIOUSLY YOU HAVE TO BE COMPETITIVE.

BUT YOU KNOW.

YEAH. SO IT'S IT'S KIND OF THAT FINE LINE WE'VE GOT TO GET WE HAVE SOME OUR JOB IS TO GET THE LOWEST INTEREST RATE.IT WOULD. RIGHT.

YEAH. TEN BUCKS I'D BUY THEM.

I WOULD I WOULD BUY IT.

YEAH. YEAH.

LOOK HOW MUCH MONEY WE'VE ALREADY RAISED.

RIGHT. YEAH. AT LEAST TEN GRAND.

TO PIGGYBACK OFF OF WHAT CHRIS ASKED, AND THEN ADAM KIND OF REITERATED WITH, YOU KNOW, LOOKING AT DIFFERENT OPTIONS FOR PUTTING THIS TO A TAX RATE INCREASE.

I'M NOT NECESSARILY SURE THAT'S WHERE I WANT TO GO.

BUT, YOU KNOW, IF YOU GUYS ARE THE PROFESSIONALS, THIS IS YOUR LIFE.

WE ARE VOLUNTEER COUNCIL MEMBERS.

SO WHAT I'D LIKE TO UNDERSTAND IS, ARE THERE OTHER MECHANISMS THAT YOU WOULD RECOMMEND THAT WE LOOK AT? I ASSUME THAT THE BOND IS PROBABLY THE PREFERRED WHAT REASON OR THE PREFERRED METHOD.

AND THAT'S WHY WE'RE HERE TALKING ABOUT THIS TONIGHT.

BUT THERE ARE OTHER OPTIONS THAT ARE WORTHY OF US.

CONSIDERING THAT WE HAVEN'T MENTIONED TONIGHT, I'D LIKE TO SEE THAT AND SEE THE PROS AND CONS AND TRADE OFFS.

ARE THERE ANY OTHER VIABLE OPTIONS FOR US AS WELL? SO IF SALES TAX CAME IN AT THREE, 4 OR 5% GROWTH, LET'S JUST SAY AND THAT MADE A BIG DIFFERENCE, THEN MAYBE THAT DRIVES OUR ECONOMIC DEVELOPMENT POLICY AND INCENTIVES.

AND THAT COULD CHANGE THE WAY WE THINK ABOUT.

100%. AND YOU KNOW, I'M MORE TALKING ABOUT THE VOTER APPROVAL RATE.

NO, NO. NOT WANTING TO GO OVER THAT.

JUST A DATA POINT. BUT YEAH, BUT ALSO CAN YOU CLARIFY THIS? MY UNDERSTANDING WOULD BE IS LET'S SAY WE TAKE THE $200 MILLION NUMBER JUST FOR TALKING PURPOSES AND WE GO TO A VOTE THE VOTERS APPROVE A $200 MILLION BOND OVER TEN YEARS OVER A PERIOD OF TIME.

IF WE'RE THREE YEARS INTO IT, AND AS ADAM'S POINT, YOU KNOW, IF THE AD VALOREM TAXES THE 50% FROM THE WEST SIDE, THAT'S NOT PART OF THE TIRZ AND THE SALES TAX, IF THAT GOES GANGBUSTERS AND OUR FINANCIAL SITUATION IS DIFFERENT THAN WHAT WE ASSUMED, WE'RE UNDER NO OBLIGATION TO ISSUE THE FULL $200 MILLION OF BONDS.

IS THAT CORRECT? WE COULD ISSUE A LESSER AMOUNT AND THEN USE THE M&O.

OKAY. IT'S A NOT TO EXCEED AMOUNT.

OKAY. I MEAN SPECIFICALLY IS A NOT TO EXCEED THAT'S YOUR MAXIMUM AMOUNT.

AND NOBODY YOU KNOW, EVEN IF THE VOTERS APPROVED DOESN'T MEAN YOU EVER HAVE TO ISSUE THEM.

OKAY. IT'S JUST GIVING THE VOTERS ARE GIVING THE TOWN COUNCIL AUTHORIZATION TO ISSUE THE DEBT.

OKAY. AND SO TO ADAM'S POINT, IF THE REVENUES INCREASE OR IF WE A PROJECT GETS TWEAKED AND THE EXPENSES ARE LESS WE DON'T HAVE, WE'RE NOT OBLIGATED TO SPEND ALL THAT AND LOOK AT

[02:50:09]

YOU CAN APPLY IT TOWARDS THE DEBT, YOU KNOW, OR TOWARDS THAT PROJECT.

RIGHT. SO OFFSET, YOU KNOW, IF YOU END UP AND YOU GOT A $5 MILLION WINDFALL HERE, YOU GOT A $50 MILLION PROJECT ONLY, ISSUE 45 MILLION.

I THINK THAT'S WHAT YOU'RE SAYING. YEAH.

ABSOLUTELY. YEP. OKAY.

SO THIS IS THIS IS ACTUALLY BROUGHT UP A REALLY GOOD POINT.

THIS MODEL IS JUST LOOKING AT FUNDING THIS THROUGH PROPERTY TAXES.

IF EVERYTHING ELSE GOES WELL I'M NOT GOING TO SAY WE NEED TO GO ISSUE THE DEBT FROM PROPERTY TAXES.

I'M GOING TO SAY WE'VE GOT THIS BUCKET.

WE'VE GOT THIS BUCKET. AND THAT'S WHAT YOU'VE BEEN DOING FOR TEN PLUS YEARS IS YOU'VE HAD OTHER SOURCES OF FUNDING AND YOU PRIORITIZE THOSE INSTEAD OF PROPERTY TAXES.

AND IF THOSE SOURCES OF FUNDING BECOME AVAILABLE, IF WE GET INCREASED SALES TAX, WHICH ALLOWS US TO SHIFT MORE ON THE I&S SIDE AND DECREASE OUR M&O RATE, THEN YES, THAT'S EXACTLY WHAT WE'RE GOING TO DO.

THIS IS WHAT WE'RE SEEING BASED ON SALES TAX DECREASING OR SALES TAX FLATTENING OUT.

WE'RE SEEING A LOT OF GROWTH IN NEW PROJECTS.

AND SO THIS IS KIND OF OUR WORST CASE SCENARIO.

BUT I JUST WANTED TO SHOW YOU THAT WAS VIABLE EVEN AT WORST.

EVERY YEAR WE WOULD BRING THIS BACK TO IF WE'RE GOING OUT AND ISSUING A ROUND OF DEBT AT THIS IS THE MODEL, THIS IS WHAT WE NEED IN SHORT TERM.

THIS IS WHAT WE NEED LONG TERM. HERE'S OTHER CASH OPTIONS.

HERE'S WAYS THAT WE CAN PAY FOR IT WITH CASH.

IT IS NOT FULLY DEDICATING AND SAYING YOU'RE GOING TO SPEND $200 MILLION IN DEBT.

IF WE FIND A BETTER SOURCE OR A MECHANISM TO FUND IT DURING THOSE TIMES, WE ARE 100% GOING TO LOOK AT OTHER THAN JUST ISSUING DEBT.

AND YOU HAVE THE COMFORT THAT THE VOTERS HAVE ASKED YOU TO DO THAT.

SO. SO LIKE I THINK THAT ACTUALLY GETS US INTO KIND OF THIS NEXT POINT IS.

OPTIONS. WHAT ARE THE PASSWORD? AND SO YOU KNOW WHAT? WHAT CAN WE DO.

AND SO IF WE DID NOTHING, IF WE DIDN'T CHANGE, IF WE DIDN'T START LOOKING FORWARD AND EVERYTHING ELSE LIKE THAT, WE WOULD CONTINUE TO FUND LIKE SMALLER PROJECTS WITH CASH.

WE CONTINUE TO PRIORITIZE WHAT WE COULD PAY FOR WITH CASH AND ONLY DO THOSE THINGS.

AND WITHIN TWO YEARS, YOU ARE GOING TO REACH A POINT WHERE WE CAN'T OFF LOAD SOMETHING, AND THEN YOU PROBABLY ARE LOOKING AT GOING TO THE VOTERS.

NOW, IF THE TIRZ CHANGES, IF WE GO, IF THE WEST SIDE EXPLODES, IF WE GET A LOT OF OTHER THINGS CHANGES THERE, THEN MAYBE THIS IS, YOU KNOW, FOUR YEARS, MAYBE IT'S FIVE YEARS.

BUT AS TRENDS STAND TODAY, BUT WITHOUT LIKE I HAVEN'T DUG INTO THE BUDGET OR ANYTHING ELSE LIKE THAT.

THESE ARE BASED ON ALL THE FINANCIAL INFORMATION THAT I HAD AVAILABLE THAT YOU HAVE AVAILABLE JUST LOOKING AT TRENDS.

AND SINCE I WANT TO PREPARE YOU FOR THAT, JUST AS THINGS CONTINUE WITH NO CHANGE, THIS IS WHAT WE'D PROBABLY BE DOING.

AND THAT'S REALITY OF WHAT I SEE.

IF NOTHING ELSE CHANGES, THINGS DO CHANGE.

BUT IT JUST KIND OF WHERE I'M SEEING THINGS GOING NOW.

THIS OTHER METHOD I'M TALKING ABOUT IS RECAPTURING I&S.

WHEN THE M&O DROPS.

AS YOU GUYS HAVE BROUGHT UP, THERE'S A LOT OF FACTORS IN THIS.

THERE'S A LOT OF OTHER SOURCES, THERE'S A LOT OF OTHER PLACES.

BUT I JUST WANTED TO MAKE SURE THAT YOU GUYS WERE OPEN TO THIS IDEA WHEN WE BUILD A BUDGET, BECAUSE TRADITIONALLY IN THE PAST TEN YEARS, THIS HAS NOT BEEN A PHILOSOPHY.

WE DON'T ISSUE NEW DEBT LIKE YOU GUYS HAVE ACTUALLY MADE JOKES ABOUT IT A COUPLE TIMES IS WE DON'T LIKE PAYING INTEREST COST, AND A TRUE CASH FUNDING MODEL IS ACTUALLY MORE EXPENSIVE ON THE TAX RATES THAN ISSUING DEBT, BECAUSE ULTIMATELY YOU ARE PAYING FOR BORROWING COSTS.

NOW IT'S EITHER THE RESIDENTS NOW OR THE RESIDENTS IN THE FUTURE.

AND THAT'S KIND OF THE DIFFERENCE BETWEEN DEBT VERSUS CASH FUNDING MODELS.

EITHER EXISTING RESIDENTS PAY FOR IT ALL NOW THROUGH CASH, CASH OR PEOPLE IN THE FUTURE PAY FOR IT OR THROUGH AN AMORTIZATION SCHEDULE WITH AN INTEREST COST.

AND SO THOSE ARE KIND OF THOSE TWO METHODS.

SO IF WERE ABLE TO RECAPTURE SOME AS THE M&O RATE DROPS WE COULD GO OUT FOR AN ELECTION NEXT MAY.

AND THAT IS A TIGHTER SCHEDULE, AS HE SAID.

AND IT WOULD START, YOU KNOW, WE WOULD START THAT PROCESS IN THE NEXT COUPLE OF MONTHS JUST TO KIND OF START THE SELECTION PROCESS FOR THE COMMITTEE, FERM UP THE PROJECTS AND EVERYTHING. AND REALLY THAT PANEL IS THERE TO TEST ALL OF THOSE THINGS TO SAY, HEY, SHOW ME THE ROAD THAT YOU'RE SAYING YOU WANT TO REPLACE.

SHOW ME THE CAC, SHOW ME THE RENOVATIONS AND SHOW ME WHAT IT WOULD LOOK LIKE.

ALL OF THAT IS YOU SELECTED A PANEL OF PEOPLE TO GO OUT AND, LIKE, GO TEST EVERYTHING.

THEY WERE MEETING ALMOST EVERY WEEK FOR ABOUT SIX MONTHS.

AND SO THAT'S HOW MUCH TIME AND EFFORT GOES INTO THIS.

AND THEN THEY BRING YOU A RECOMMENDATION AND THEN THEY HAVE TO PROVE IT TO YOU WHETHER THIS IS SOMETHING YOU WANT TO GO THROUGH AND DO.

SO IT'S THESE NUMBERS GET REALLY, REALLY HARD AND THEY EVEN GET SMALLER OR THEY CHANGE BASED ON THAT, BASED ON LIKE THE THINGS THAT COME OUT OF THAT BLUE RIBBON PANEL.

AND SO IT'S NOT JUST A ONE AND DONE.

WE'RE NOT JUST TRYING TO PRESSURE YOU TO MOVE FORWARD OR AND SO THOSE ARE KIND OF THE THINGS THAT WE'RE LOOKING AT AND THAT WE'RE TRYING TO DEVELOP IN THIS BUDGET IN A VACUUM.

AND JUST THINGS THAT I SAW WHEN I CAME ONLINE AND TRAINING THINGS I'M TRYING TO HELP YOU PREPARE FOR AND KIND OF REALLY RETHINK OUR STRATEGY MOVING FORWARD.

WE DON'T DO THIS BY OURSELVES.

YOU GUYS HAVE OTHER PRIORITIES.

LIKE YOU GUYS DIDN'T SIT MY SEAT AND DO ALL THE THINGS THAT I DID TO GET HERE AND TO FOR ALL THE THINGS THAT I SAID.

YOU GUYS HAVE YOUR OWN PRIORITIES.

YOU HAVE A LOT OF THINGS THAT YOU'RE GOING TO WANT IN THIS BUDGET.

YOU HAVE OTHER THINGS THAT ARE IMPORTANT TO YOU.

THERE ARE THINGS THAT I PROBABLY HAVE MENTIONED THAT ARE MORE IMPORTANT THAN OTHERS.

[02:55:02]

SO WHAT PRIORITIES DO YOU HAVE? I'VE BROUGHT MY BUDGET DIRECTOR.

WE'RE ALL HERE LISTENING. WE'VE GOT A LOT OF DEPARTMENT HEADS.

IF THERE ARE THINGS THAT ARE IMPORTANT TO USE THIS BUDGET PROCESS, THINGS THAT YOU WANT TO SEE, LET US KNOW AND WE WILL BUILD A BUDGET AND TRY TO SHOW YOU HOW WE CAN ACHIEVE THOSE THINGS. ALL RIGHT.

COUNCIL. THANKS, JOHN.

COUNCIL, DO YOU HAVE ANY MORE QUESTIONS FOR STAFF? ANY CLOSING COMMENTS? THANK YOU FOR EVERYTHING.

JOB WELL DONE. I LOVE THAT YOU'RE THINKING OF ALL THE SCENARIOS AND KEEP DOING WHAT YOU'RE DOING.

I HAVE A LOT OF GOOD STUFF.

THAT IS. THE LAST THING I WANT TO SAY IS I DIDN'T PREPARE THIS IN A VACUUM.

SEVERAL STAFF MEMBERS HELPED ME ON MANY DIFFERENT PARTS OF MY TEAM, ALL MY DIRECTORS.

SO THAT'S WHY THEY'RE HERE SUPPORTING ME.

THEY HELPED ME PULL ALL OF THIS TOGETHER.

SO THIS IS NOT A VACUUM OTHER DEPARTMENT HEADS AS EVERYBODY ELSE THIS IS A LOT OF EYES LOOK TO THIS TO HELP THEM GET THIS.

AND IT'S BEEN A WHOLE THREE WEEKS.

SO A WHOLE THREE WEEKS A LOT OF MEETINGS KIND OF IMPRESSIVE.

YEAH. TWO PAYCHECKS. THIS IS BOTH JOHN AND MEG'S ONE MONTH ANNIVERSARY.

I THINK Y'ALL STARTED ON MARCH 18TH, I'M NOT MISTAKEN.

OH, WOW. IT WOULD HAVE TAKEN ME A YEAR TO PUT THAT.

WHAT DO YOU GOT PLANNED FOR NEXT MONTH.

YEAH. [LAUGHTER] PLEASE DON'T.

SO I THINK WE'RE IN GOOD HANDS, AND I THINK THERE'S TO AS YOU MENTIONED, WE'RE AT A BIT OF A PARADIGM SHIFT AND OUR THINKING AND, YOU KNOW, OUR NEEDS ARE DIFFERENT THE NEXT TEN YEARS THAN THEY HAVE BEEN THE PREVIOUS TEN YEARS.

SO I THINK WE'RE IN GOOD HANDS TO MAKE THAT TRANSITION.

AND I THINK ONE OF THE KEYS IS EDUCATING US AS THE COUNCIL AND ANSWERING OUR QUESTIONS.

BUT I THINK, YOU KNOW, THERE'S GOING TO BE A PUBLIC PERCEPTION, AND WE'RE GOING TO WANT TO MAKE SURE THE PUBLIC AND ALL THE RESIDENTS ARE AWARE, YOU KNOW, WE'RE IN A DIFFERENT STAGE THAT WE HAVE BEEN IN THE PAST AND MAKE SURE THAT'S CLEARLY ARTICULATED AND THAT MESSAGE GETS OUT AS WELL.

SO ALONG THOSE LINES COUNCILMAN TAYLOR IS IN ONE OF THE SLIDES WHEN WE TALK ABOUT OUR STRATEGIC OBJECTIVES THAT ARE TIED TO THIS.

ONE OF THE THINGS THAT I THINK IS VERY IMPORTANT, ESPECIALLY THAT THIS IS JUST A COMMUNITY THAT HAS NOT BEEN IN THIS SPOT VERY OFTEN IN ITS HISTORY.

IT'S BEEN 20 YEARS SINCE WE'VE CONTEMPLATED SOMETHING TO THIS SCALE IS I THINK THAT PUBLIC EDUCATION IS NOT JUST TONIGHT, BUT I COULD SEE US USING THAT FLOMO CONVOS TYPE FORMAT TO BE ABLE TO DISCUSS AND AGAIN, NOT ADVOCATE NECESSARILY, BUT ARTICULATE KIND OF WHERE WE'RE AT.

AND ONE OF SOME OF THE THINGS THAT THAT WE CAN EXPLORE, I DON'T THINK WE DO THAT TILL THIS CRYSTALLIZES A LITTLE BIT MORE, AND WE KIND OF KNOW EXACTLY WHAT WE'RE DOING AND WE GET THE DIRECTION FROM YOU ALL.

BUT ALONG THOSE LINES, I THINK IT'S AWFULLY IMPORTANT BECAUSE AGAIN, IT'S ONE OF THOSE THINGS THAT I THINK WE ALL AGREE IF WE DON'T HAVE TO ISSUE DEBT, I WOULD PREFER NOT TO ISSUE DEBT. BUT THERE ARE WAYS YOU CAN DO IT IN A RESPONSIBLE MANNER TO GET THE CRITICAL THINGS DONE.

AND SO I THINK AS WE GET FURTHER DOWN THE LINE, I THINK THAT THAT'S SOMETHING THAT I WANT TO EXPLORE A LITTLE BIT MORE AND BRING TO YOU ALL BEFORE WE MOVE SOMETHING FORWARD.

BUT I THINK THAT PUBLIC ENGAGEMENT, PUBLIC EDUCATION PIECE IS GOING TO BE AWFULLY IMPORTANT IF WE DO GO DOWN THIS PATH.

I AGREE WITH THAT, JAMES, BUT I WOULD SAY THAT FLOMO CONVOS IS PROBABLY TOO SMALL A GROUP.

YOU'RE GOING TO NEED A MUCH BROADER SWATH.

A BIGGER BOAT? YEP.

YOU'RE GOING TO NEED A BIGGER BOAT.

WELL, I'LL JUST POINT OUT THAT THE VOTERS HAVE AUTHORIZED ON MULTIPLE OCCASIONS THE $0.01 SALES TAX FOR THINGS THAT THEY PUT VALUE IN POLICE, FIRE, PARKS AND STREETS.

AND AS LONG AS WE KEEP THE SCOPE APPROPRIATE AND THEY SEE THE VALUE IN THE PROJECTS WE BRING FORWARD, THEN THEY'LL BE WILLING TO SUPPORT IT.

WE JUST IF WE TURN IT INTO A WISH LIST, THEN WE MIGHT BE IN TROUBLE.

YEAH. AGREED.

JAMES ANYTHING ELSE? THE ONE OTHER THING I HAD, JUST AGAIN, I KNOW THAT WE KIND OF CAME STRONG WITH A RIGHT HOOK ON YOU GUYS WITH THIS.

[LAUGHTER] AND SO I DON'T SO I SAY THAT TO SAY THAT IF YOU WANT TO GET WITH ME AND JOHN OFFLINE AND THERE'S SOME INDIVIDUAL THINGS THAT YOU WANT TO SHARE AS FAR AS THIS BUDGET PROCESS, YOU CAN CERTAINLY DO SO YOU CAN SHARE IT TONIGHT, BUT YOU DON'T HAVE TO DO IT THIS EVENING.

BUT DEFINITELY IF THERE ARE SOME THINGS AS WE'RE PUTTING THIS BUDGET TOGETHER THIS YEAR THAT YOU WANT US TO PAY CLOSE ATTENTION TO OR YOU LIKE TO SEE EMPHASIZED PLEASE DON'T HESITATE TO REACH OUT TO US AND LET US KNOW.

ALL RIGHT JAMES. JOHN. THANK YOU SIR.

STAFF. THANK YOU FOR ALL THIS INFORMATION TONIGHT.

I WANTED TO SHOW YOU ONE MORE THING.

THIS IS ACTUALLY JUST JAMES.

YOU GOT 30S.

HERE ARE THINGS THAT MIGHT BE COMING UP.

SO MAY YOU COULD APPOINT A BOARD IF YOU WANTED TO.

IF YOU NEED A LITTLE BIT MORE TIME.

AUGUST IS PROBABLY THE LAST DATE FOR APPOINTING A BOND COMMITTEE TO GET IT DONE IN THE AMOUNT OF TIME EXEMPTIONS.

SO IF WE WANT TO INCREASE EXEMPTIONS, WE HAVE TO DO THAT.

THEY THE APPRAISAL DISTRICT REALLY WANTS IT BY KIND OF JUNE 1ST.

OR THEY CAN GO TO THE 30TH, BUT THEY CAN'T PROMISE IT WILL BE ON THE BILLS.

THAT'S THE FUN PART.

GO REFUNDING THAT'S HAPPENING IN JUNE AND THEN JULY WE HAVE OUR TAX RATE CALCULATION.

THESE THINGS ALL HEAVILY PLAY INTO THAT.

BUT JUST SOME UPCOMING DATES FOR YOU.

THE EXEMPTIONS THAT WE PASS, WE HAVE TO PASS THEM BY JUNE 30TH TO BE APPLICABLE FOR THIS FALL'S TAX

[03:00:01]

AND THE APPRAISAL DISTRICT REALLY WANTS THOSE SOONER.

IT'S LIKE THEY REALLY LIKE THEM BY JUNE 1ST BECAUSE THEN THEY SHOW UP WHENEVER YOU GET, YOU KNOW, THAT PRELIMINARY PROJECTION.

AND IT'S EASIER FOR THEM TO BILLS AND SOFTWARE AND ALL THEIR STUFF.

BUT YES, YOU'RE RIGHT, WE STILL HAVE TILL JUNE 30TH, BUT THEY REALLY WANT IT AS SOON AS POSSIBLE.

SO IT'S THAT'S THE ONLY THING I SAY.

AND I HAVE A COUPLE FRIENDS AT THE APPRAISAL DISTRICT THAT THAT TRY TO GET THESE ON THE NOTICES AND THE TAX COLLECTOR AT THE SAME POINT.

IT'D BE LOVELY IF WE GOT A REALISTIC ABSOLUTELY.

NO, I MEAN, THAT'S PART OF THE EQUATION.

NO IT IS. YEAH. WE YEAH.

UNTIL THE END OF EVEN TILL THE FIRST OR SECOND WEEK IN JULY, WE DON'T GET A REALLY FIRM NUMBERS UNTIL THEN, BUT I AGREE, I UNDERSTAND.

WELL, WE KNOW THAT THE EXEMPTION WON'T AFFECT THE TOTAL REVENUE AS LONG AS WE DON'T ADOPT THE NO NEW REVENUE RATE, WHICH I DON'T THINK WE WILL.

SO I MEAN, I'M READY TO COMMIT TO ANOTHER 2.5% HOMESTEAD EXEMPTION INCREASE RIGHT NOW.

NO PROBLEM.

AND I'LL SEND YOU A COUPLE DECISION PACKAGE IDEAS, LITTLE TINY ONES THAT I HAVE AND.

BOY, I'M NOT QUITE READY TO FORM A BOND COMMITTEE YET, THOUGH.

NO, NO, IT'S LIKE I WAS TRYING TO GIVE YOU GUYS A WINDOW.

MAY TO AUGUST. THAT'S REALLY OUR BIG TIME FRAME.

IF WE DO WANT TO DO A BOND COMMITTEE AND WE CAN HAVE MANY MEETINGS TO EDUCATE BETWEEN THEN AND SO IT'S JUST THEY WILL NEED TIME TO BE EDUCATED AS WELL.

AND THEN TO GET YOUR RECOMMENDATION BY WE HOPEFULLY WANT YOU GUYS TO GET IT IN NOVEMBER SO THAT YOU GUYS HAVE PLENTY OF TIME BEFORE FEBRUARY TO MAKE DECISIONS TOO.

SO THAT'S IF WE SHRINK IT ON THE FRONT END IT GIVES YOU GUYS LESS TIME IN THE BACK END.

AND SO THAT'S WHAT I JUST WANTED YOU TO CONSIDER.

ANYTHING ELSE? NO, SIR. I'M GOOD.

SLIDE DOWN. YEAH.

I'M DONE. ANYMORE BACKUPS? NO, SIR. NO MORE SURPRISES.

ALL RIGHT. WITH THAT, THE TIME IS 9:01 AND WE ARE ADJOURNED.

* This transcript was compiled from uncorrected Closed Captioning.