[A. CALL TO ORDER]
          [00:00:03]
          GOOD EVENING FLOWER MOUND. THE TIME IS NOW 6:00 P.M. 
          AND I'M CALLING THIS A WORK SESSION TO ORDER. 
          TONIGHT WE WILL HAVE OUR TOWN COUNCIL WORK SESSION. 
          WE WILL START OUT WITH THE PUBLIC COMMENT. WE DON'T HAVE ANY PUBLIC COMMENT CARDS THAT I'M
AWARE OF. 
          RIGHT? OKAY. DOES ANYBODY WISH TO MAKE PUBLIC COMMENT? OKAY. WE HAVE NO TAKERS ON THAT. SO WE'LL MOVE ON DIRECTLY TO OUR WORK SESSION. 
          [C. WORK SESSION ITEM]
TONIGHT WE'RE GOING TO TALK ABOUT THE FISCAL YEAR 2026-27 REVENUES. 
          AND JOHN [INAUDIBLE] IS GOING TO PRESENT. BUT I KNOW,
JAMES, YOU HAD A FEW WORDS ABOUT THIS. 
          I DO MARY, THANK YOU. SO THE LOAN ITEM THAT EXCUSE ME,
THE LONE ITEM THAT WE HAVE ON THE AGENDA TONIGHT IS A CONTINUING CONVERSATION WE'RE HAVING REGARDING OUR REVENUES. AS YOU KNOW, OUR CFO IS REALLY TRYING TO BREAK DOWN THIS,
THIS REVENUE CONVERSATION IN A VERY CONCEPTUAL MANNER AND IDENTIFYING THE TIERS IN WHICH WE WANT TO TRY TO HIT OUR TARGETS. 
          AND AS PART OF THAT EXERCISE, WE'RE GOING TO PRESENT SOME OF THOSE ITEMS. WE ASKED YOU ALL TO FILL OUT A SURVEY, WHICH YOU DID. 
          YOUR RESULTS ARE GOING TO BE POPULATING THE ITEMS THAT HE'S GOING TO TALK ABOUT. 
          BUT ALSO JUST WANT TO REFERENCE TOWARDS THE END,
WE'RE GOING TO TAKE A LOOK AT SOME OF THE BIG ROCK ISSUES THAT WE NEED TO BE MINDFUL OF AS WE GO INTO THE BUDGET PROCESS ABOUT SOME OTHER PROJECTS THAT HAVE AN IMPACT ON THE TAX
RATE. 
          WE'RE NOT INTENDING TO GET IN ANY DEEP LEVEL OF ANY OF THOSE ISSUES. 
          WE JUST WANT TO KIND OF PAINT THE PICTURE TO SAY,
THESE ARE OUT THERE AND WE NEED TO BE THINKING ABOUT THEM. 
          THE OTHER THING THAT I ALSO MENTIONED, THAT VERY CONSPICUOUS IN THEIR ABSENCE IS WE DON'T
HAVE A LOT OF STAFF HERE TONIGHT. 
          AND SO THAT GIVES YOU AN INDICATION THAT IS NOT OUR INTENT TO DRILL DOWN ON A GRANULAR
LEVEL ON SOME OF THOSE COMPONENTS. 
          I MEAN, IF YOU DO HAVE SOME QUESTIONS, WE CAN CERTAINLY PURSUE THEM. BUT WE REALLY WANT TO
KIND OF KEEP THE PLANE AT 30,000FT TONIGHT AND JUST REALLY KIND OF FOCUS BROADLY ON HOW WE WANT TO APPROACH SOME OF THESE REVENUES. AND THAT'S THE DIRECTION WE'RE SEEKING FROM YOU.
BUT JUST KNOW AND BE REST ASSURED, AS WE GO THROUGH THE BUDGET PROCESS, YOU'LL HAVE AMPLE OPPORTUNITIES TO TALK TO OUR DIRECTORS. IF YOU REALLY WANT TO TALK ABOUT THINGS ON THE
SERVICE LEVEL. 
          SO WITH THAT, I'M GONNA TURN IT OVER TO JOHN. 
          THANK YOU JAMES. GOOD EVENING, MAYOR AND COUNCIL. 
          SO I'M GOING TO TAKE A SMALL ASIDE HERE FOR A SECOND. 
          EXERCISES LIKE THIS ARE BIG LIFTS FINANCIALLY,
AND THEY'RE BIG LIFTS JUST BECAUSE THEY REQUIRE A LOT OF TIME. AND MACRO ANALYSIS REQUIRES ME TO DEDICATE A LOT OF TIME WORKING WITH DEPARTMENTS. GOING ON IN THE BACKGROUND OF ALL
OF THIS, WE'RE GOING THROUGH OUR AUDITS. WE WERE SENT OUR FINANCIAL STATEMENTS TO OUR AUDITORS THIS
WEEK. 
          WE HAVE INVESTMENTS, WE HAVE AP, WE HAVE PAYROLL NOW OVER HUMAN RESOURCES. 
          AND SO WE'VE GOT A LOT OF THINGS GOING ON WITH THAT,
WITH MARKET STUDIES AND LOOKING AT DIFFERENT THINGS THERE. BUT I WOULD NOT BE ABLE TO DO ANY OF THIS WITHOUT AN AMAZING TEAM BEHIND ME. 
          SO THEY'LL WATCH THIS LATER AND JUST WANT TO THANK THEM FOR WHAT THEY DO. 
          THIS IS. NONE OF THIS WOULD BE POSSIBLE WITHOUT A GOOD TEAM. 
          SO I'LL GET YOU GUYS STARTED. SO REVENUE SETTING. 
          SO WHATEVER WE USED TO TALK ABOUT BUDGET, THERE USED TO BE A REALLY GOOD CARTOON THAT
PEOPLE USED TO THINK WHERE IT SHOWED, YOU KNOW, PEOPLE'S IDEAL OF WHAT THE BUDGET ACTUALLY IS. 
          THEY THINK IT'S SOME GIANT AX THAT YOU WALK AROUND WITH WIELDING. 
          IN REALITY, IT LOOKS LIKE A LITTLE HAMMER. AND THAT'S THAT'S THE REALITY OF THE SITUATION.
THE SAME CAN ACTUALLY BE SAID FOR REVENUE SETTING. 
          SO PEOPLE REALLY THINK THAT, YOU KNOW, WE CAN GO JUST SET EVERYTHING THAT YOU HAVE TO SOLE
DISCRETION THAT THIS IS ALL CHOICES. 
          IN REALITY, WE ARE LIMITED BY RULES AND STATUTES FROM THE STATES. 
          AND THOSE RULES AND STATUTES HAVE GROWN OVER THE PAST COUPLE OF YEARS. 
          SO IT'S NARROWED DOWN REALLY TO ABOUT THESE TWO MAIN AREAS. 
          SO WE HAVE FEES AND PROPERTY TAXES. AND EVEN FOR THOSE I'VE TALKED TO YOU A LITTLE BIT
ABOUT FEES THAT YOU CAN'T EXCEED THE AMOUNT THAT YOU'RE CHARGING FOR SERVICE AND THEN FOR PROPERTY TAXES, THE ONLY DISCRETION YOU REALLY HAVE IS ON THE MAINTENANCE AND
OPERATIONS SIDE. 
          AND YOU CAN GO TO THE 3.5%. THIS WAS DONE THE PAST COUPLE YEARS. 
          BEFORE THAT IT WAS 8%. AND SO AND THEN PRIOR TO THAT,
IT WAS 5% EVEN IN OLDER PIECES OF LEGISLATION. 
          SO THAT'S THE LIMITED PARAMETERS THAT YOU'RE IN NOW. 
          DEBT, THERE IS NO CAP. AND SO I DON'T KNOW WHAT KIND OF SIGNAL THAT SENDS. 
          OVERALL YOUR PROPERTY TAX RATE IS CAPPED AT $1.50. 
          BUT SO I'M GUESSING YOUR DEBT IS CAPPED AT $1.50. 
          BUT IN REALITY THEY DON'T PUT LIMITATIONS ON WHAT DEBT YOU CAN ISSUE. 
          THEY HAVE STARTED GOING AND CURTAILING WHAT YOU CAN ISSUE DEBT FOR. 
          SO THOSE THINGS ARE CHANGING. AND THERE'S LOTS OF PIECES OF LEGISLATION THAT ARE COMING
THAT WILL LIMIT THIS AUTHORITY. 
          SO JUST KEEP ALL THAT IN MIND WHEN WE'RE GOING THROUGH THESE THINGS IS THIS SCOPE HAS
GOTTEN MORE NARROW EVERY SINGLE YEAR. 
          I'VE DONE PRESENTATIONS ON IT. JOHN, IS THERE ANY SALES TAX CONSTRAINTS AT ALL? IS THAT JUST GO NUTS? SO SALES TAX CONSTRAINTS. 
          SO SALES TAX WAS ORIGINALLY GIVEN OVER TO LOCAL GOVERNMENTS. 
          IT WAS DIVIDED INTO TWO PIECES. SO YOU HAD THE WHAT'S CALLED A LOCAL OPTION SALES TAX,
WHERE THEY LIMITED THE BUCKETS THAT YOU COULD USE IT FOR. 
          SO FOR THE TOWN OF FLOWER MOUND, YOU HAVE THE STREET MAINTENANCE SALES TAX,
YOU HAVE THE PARKS 4B, 
          [00:05:02]
THE CCPD AND THE FIRE DISTRICT OR THE FIRE FUND. 
          AND SO ALL OF THESE THINGS ARE STATE LIMITED STATUTES. 
          THEY'VE SINCE ACTUALLY CHANGED THAT AND SAID YOU COULD JUST DUMP ALL OF THAT IN YOUR
GENERAL FUND. THAT WAS A PIECE OF LEGISLATION PASSED ABOUT TWO SESSIONS AGO. NOT MANY PEOPLE USE IT, BUT IT'S ONE OF THE THINGS I'LL BE WORKING INTO THE NEXT ELECTION FOR
STREET MAINTENANCE, SALES TAX, WHICH IS COMING UP. SO IT'S BEEN FOUR YEARS. 
          THE STATUTE BASICALLY SAYS YOU HAVE TO DO IT ALMOST EVERY FOUR YEARS TO BE ABLE TO KEEP
DOING THIS REVENUE SOURCE. 
          BUT I AM GOING TO WRITE IN A CLAUSE THAT IF THE PUBLIC DOES NOT WANT US TO HAVE THIS FOR
THIS PURPOSE, THAT IT ROLLS BACK INTO THE GENERAL FUND. SO THAT'S ONE WAY THAT WE CAN PROTECT THAT
REVENUE SOURCE SO THAT IT DOESN'T JUST ROLL OFF, BECAUSE INEVITABLY IT WOULD JUST GO BACK TO THE STATE,
THEY WOULD STILL COLLECT IT AND THEY WOULD WALK AWAY WITH IT. 
          SO THAT'S COMING THIS NOVEMBER. YOU'LL HAVE STREET MAINTENANCE,
SALES TAX ELECTION. AND SO THAT WILL BE SOMETHING ON THERE. 
          AND THOSE HAVE ALWAYS PASSED. SO PEOPLE, PEOPLE LIKE MONEY GO INTO THEIR ROADS AND SO FEEL
FEEL SAFE ABOUT THAT. 
          BUT SALES TAX YOU DON'T HAVE A LOT OF CONTROL OVER. 
          AND THE LIMITATIONS OF SALES TAX IS REALLY YOU CAN PUT IT IN YOUR GENERAL FUNDS. 
          AND THEN IF YOU WANT THE OTHER, YOU KNOW, 1%,
YOU CAN PUT THESE LIMITED LOCAL OPTIONS. 
          AND IT'S ONLY BEEN IN THE PAST FEW YEARS. THEY'VE OPENED THAT UP FOR MORE DISCRETION. 
          AND SO WE CAN ALWAYS CHOOSE TO CHARGE LESS. OUR RESIDENTS WOULDN'T ACTUALLY PAY LESS. 
          THEY WOULD JUST GO TO THE STATE. 
          STATE OF TEXAS IS FINE. WE DO THAT A LOT WITH HOT TAXES,
TOO. 
          SO THERE'S SOME LOCAL OPTION, HOT TAXES THAT ARE LIKE THAT SO. 
          ALL RIGHT, SO I'VE LAID OUT SOME LIMITATIONS. 
          JAMES ALLUDED TO THIS. WE ARE. YOU GUYS HAVE DONE THE SURVEY,
WHICH REALLY HELPED ME GATHER AGGREGATE WHERE YOU GUYS SAW DIFFERENT PIECES OF REVENUE. 
          WE'VE DONE AN ANALYSIS WHERE WE LOOKED AT ALL THE ACTUALS FROM LAST YEAR AND COMPILED
THOSE TO BASICALLY ESTIMATE COST RECOVERY. 
          WE'RE NOW IN THE REVIEW PHASE. AND SO THIS IS WHERE YOU GUYS CAN PROVIDE US SOME DIRECTION
OF WHERE WE NEED TO GO IN THE FUTURE. 
          AND SO WHERE YOU'D LIKE US TO GO AND WHICH DIRECTION YOU WANT TO MOVE. 
          SO I WILL LOOK TO GET FEEDBACK ON A LOT OF THE FEES. 
          AND SO THE REASON THIS IS IMPORTANT IS IT GIVES YOU A LEGAL FRAMEWORK FOR PROTECTION,
FOR LITIGATION. 
          AND MORE AND MORE, THIS IS BECOMING IMPORTANT BECAUSE MORE AND MORE PEOPLE ARE CHALLENGING
WHAT A LOCAL GOVERNMENT CAN CHARGE IN THE LEGALITY OF ITS. 
          AND THESE THINGS ARE NOT COMING MOSTLY FROM RESIDENTS. 
          THEY'RE COMING FROM OUR ATTORNEY GENERAL. SO IT'S. 
          AND THE COMPTROLLER. SO THESE THINGS ARE COMING FROM THE STATE LEVEL AND THEY'RE,
THEY'RE HONING IN ON WHAT THEY THINK WE CAN USE THINGS FOR, HOW WE SET THINGS UP, AND WHAT'S THE LEGAL WAYS TO DO THIS. 
          SO THIS IS FOR PROTECTION. ALSO THIS HELPS US CLASSIFY WHO'S THE PRIMARY BENEFICIARY. 
          AND THIS IS THE POINT OF FEES IS WHO BENEFITS THE INDIVIDUAL OR THE COMMUNITY? OR IS IT A BLEND OF BOTH? AND SO YOU WENT THROUGH THIS EXERCISE AND YOU'VE CLASSIFIED
THESE THINGS FROM YOUR PRIVATE GOOD TO PUBLIC GOOD, AND KIND OF GONE INTO THIS EXERCISE OF LOOKING AT PRIVATE AND PUBLIC GOODS AND TRYING TO
UNDERSTAND AND SET WHERE YOU BELIEVE THESE THINGS ARE SUPPOSED TO GO. SO HERE'S YOUR BUCKETS. THESE ARE THE FIVE TIERS THAT WE BASICALLY SET. 
          EVERYTHING IN. TIER 1 IS 0% TO 10% AND EVERYTHING ELSE IS TAX SUPPORTED. 
          THESE ARE YOUR COST RECOVERY PERCENTAGES IN THESE BUCKETS. SO LEVEL 2 IS 11% TO 40%. 
          LEVEL 3 IS 40% TO 60%, LEVEL 4 IS 61% TO 90%. 
          AND THEN LEVEL 5 WHICH IS TOTAL COST RECOVERY IS 91% TO 100%. 
          SO YOU CAN TELL THERE IS A BIG DIVIDE. AND THE ENDS ARE ACTUALLY A LOT SMALLER THAN THE
MIDDLE. 
          AND IT'S A IT'S ACTUALLY A BELL CURVE SO. OTHER REASON WHY THEY DO THESE THINGS IS BECAUSE
IN REALITY MOST THINGS DO FALL SOMEWHERE IN BETWEEN. 
          AND IF IT'S A PURELY PUBLIC GOOD, IT'S GOING TO LEAN MORE TO TIER 1 WHERE IF IT'S PURELY
PRIVATE GOOD, IT'S GOING TO LEAN MORE TO TIER 5. AND SO THAT'S WHY IT'S BROKEN UP IN THESE KIND OF
PERCENTAGES. 
          THIS POLICY IS NOT CREATED FROM SCRATCH. THIS WAS ADOPTED IN UTILIZED BY THE CITY OF
PLANO. 
          AND SO SOME OF OUR MEG ACTUALLY WENT TO A PROFESSIONAL LEADERSHIP TRAINING COURSE AND
BROUGHT THIS BACK AND SAID, I THINK THIS WOULD BE A REALLY GOOD IDEA. AND SO WE'VE BEEN ABLE TO PICK UP AND RUN WITH
THIS. AND SO I'M VERY, VERY HAPPY TO PRESENT THAT TODAY. SO I'M GOING TO PRESENT THREE NUMBERS TO YOU. THE FIRST IS THE COST RECOVERY PERCENTAGE. 
          THIS IS COVERING OPERATIONAL COST. SO THERE'S TOTAL COST RECOVERY THAT INCLUDES CAPITAL
COSTS. 
          THIS IS ONE OF THE THINGS YOU ASKED FOR COUNCIL MEMBER SCHIESTEL. AND SO I DO INCLUDE
THOSE THINGS THAT INCLUDES DEBT AND DEBT PAYMENTS. AND THEN LASTLY IS COUNCIL'S TARGET. 
          THIS IS BASED ON THE FEEDBACK THAT YOU GAVE ME IN THE SURVEY AND WHAT BUCKET ON AVERAGE
YOU PUT THESE IN. 
          AND SO IF YOU'RE IN ONE BUCKET, IT'S BECAUSE THE MAJORITY OF YOU THOUGHT THIS WAS THE
BUCKET. 
          SO WE'LL START WITH ANIMAL CONTROL. AND THESE ARE GOING TO GO FROM LOWEST COST RECOVERY TO
HIGHEST. 
          AND SO THAT'S WHAT THIS EXERCISE WILL LOOK AT. 
          SO OVERALL ANIMAL CONTROL IS AT 1% COST RECOVERY. 
          IF YOU FACTOR IN CAPITAL COSTS, SUCH AS THEIR BUILDING COSTS AND THEIR VEHICLES AND OTHER
CAPITAL, THINGS LIKE [LAUGHTER] AIR CONDITIONERS AND BIG CAPITAL COST ITEMS,
IT'S LESS THAN 1%. 
          AND THEN COUNCIL'S TARGET IS 0% TO 10%. SO IT IS MEETING THE COST RECOVERY TARGET. 
          [00:10:01]
THAT COUNCIL HAS THE EXPECTATION FOR. IF WE WANTED TO INCREASE THIS,
YOU'RE GOING TO SEE OPTIONS ON EACH OF THESE PAGES OF EITHER WAYS WE COULD INCREASE THIS OR WHY WE PROBABLY SHOULDN'T TOUCH THIS. SO IF WE WANT TO INCREASE THIS WE HAVE REALLY TWO
OPTIONS THAT I EXPLORE WITH PD. 
          WE COULD INCREASE THE IMPOUND AND BOARDING FEES. IF YOU JUST STRAIGHT LINE DOUBLED IT,
YOU WOULD RAISE LESS THAN $10,000 DOLLARS. 
          AND SO YOU WOULD MOVE FROM 1% TO 2% COST RECOVERY. 
          NOW SOMETHING OUR POLICE CHIEF DID BRING UP IS WE WERE ONE OF THE FEW CITIES THAT DOESN'T
CHARGE AN ANIMAL ADOPTION FEE. 
          SO THIS IS SOMETHING THAT WE PROBABLY SHOULD LOOK INTO BECAUSE OTHER CITIES ARE. 
          SO WHAT I'M LOOKING FOR IN FEEDBACK IS. COUNCIL DO YOU WANT TO MOVE FORWARD WITH US
EXPLORING THESE OPTIONS AND ADJUSTING AND LOOKING AT THESE FEES? I WAS. THIS ONE REALLY KIND OF STRUCK ME BECAUSE I DIDN'T REALLY REALIZE THAT,
THAT WE WEREN'T CHARGING FOR ANIMAL ADOPTIONS UNTIL VERY RECENTLY, AND SOMEONE WAS TALKING ABOUT HOW WONDERFUL IT WAS,
AND IT FELT LIKE THAT THERE AREN'T THAT MANY ANIMALS AVAILABLE BECAUSE THEY GO SO QUICKLY AND PEOPLE COME FROM OTHER TOWNS TO OUR ANIMAL SHELTER. 
          SO I WAS A LITTLE BIT HESITANT, AND I DON'T KNOW WHAT WE WOULD EVEN BE RAISING IT TO,
WHAT THE CHARGE WOULD BE IF IT WAS SIGNIFICANT ENOUGH TO, YOU KNOW, DISSUADE PEOPLE. BUT IT JUST SEEMED LIKE IT SEEMS TO BE WORKING,
AND IT WOULD BE COUNTERPRODUCTIVE TO HAVE ALL THESE EXTRA ANIMALS BEING BOARDED ON OUR DIME. RIGHT? I THINK IT WOULD BE INTERESTING TO HEAR FROM
ANIMAL SERVICES, AND MAYBE THEY COULD, LIKE YOU MENTIONED,
JAMES, YOU KNOW, WHEN WE TALKED TO THE DIRECTORS LATER ON, IF THEY COULD GIVE US SOME INSIGHT INTO HOW THEY THINK THAT WOULD IMPACT,
BECAUSE IF ALL OF OUR PEER CITIES ARE DOING IT. 
          I MEAN, OBVIOUSLY THE OBJECTIVE IS TO GET ANIMALS INTO A GOOD FAMILY,
BUT I DON'T KNOW WHAT THE OTHER MUNICIPALITIES ARE CHARGING IF IT'S $50, $100. I MEAN, I THINK SOMETIMES THAT'S SEEN AS A BUY IN A COMMITMENT AND A DEMONSTRATION
THAT YOU'RE FINANCIALLY ABLE TO TAKE CARE OF AN ANIMAL AND HAVE THE FOOD AND THE VET VISITS AND ALL THAT. SO I WOULD LIKE TO HEAR A LITTLE BIT MORE BEFORE
COMMITTING FOR SURE, BUT I'M DEFINITELY OPEN. HOW MANY ANIMALS DO WE ADOPT? WE ACTUALLY HAVE THAT ON ONE OF OUR PERFORMANCE CHARTS. 
          GIVE J.P A SECOND. HE'LL GO DRAG THAT OUT BECAUSE WE ACTUALLY HAVE THAT ON ONE OF OUR
PERFORMANCE DASHBOARDS. 
          WHAT'S THE COST OF KEEPING ANIMALS LONGER IF WE'RE NOT ADOPTING AS MANY OF THEM? SO WE'RE ROUGHLY LOOKING SO I, MY FAMILY HAS A THEY HAD A DRUG DOG BUSINESS. 
          AND SO YOU KEEP A DOG FOR A DAY AND YOU'RE BUYING A CAN OF FOOD AND YOU'RE ALSO PROVIDING
THEM SHELTER. 
          SO THERE'S A CAPITAL COST AND THEN YOU'RE PROVIDING WATER,
AND THEN SOMEONE HAS TO COME AND TAKE THEM OUT AND WALK THEM AND EVERYTHING ELSE LIKE THAT. SO YOU'RE LOOKING AT COST. YOU'RE LOOKING AT,
YOU KNOW, $20 TO $30 DOLLARS PER THING PER DAY. 
          AND SO YES, THERE ARE FEES ASSOCIATED WITH IT. 
          BUT YOU DO HAVE A RIGHT. IF YOU'RE DISINCENTIVIZING PEOPLE TO COME ADOPT,
THEN YES, IT'S JUST GOING TO COST US MORE MONEY. 
          AND SO COUNCIL MEMBER JANVIER THAT IS ABSOLUTELY TRUE IS WE HAVE TO LOOK AT WHAT THE COST
RETURN. 
          IF I WAS GOING TO GO AND SAY WE WANT TO PURSUE CHARGES FOR ANIMALS ADOPTIONS,
ONE THING YOU COULD LOOK AT IS THROUGH THE NONPROFITS THAT YOU HAVE THAT ARE FOR THE ANIMAL SERVICES BOARD, OR THEY COULD BASICALLY SUBSIDIZE THAT THROUGH THEIR ADOPTION
THINGS. 
          AND THAT WOULD BE A GOOD WAY OF SAYING, WE DO CHARGE THESE FEES,
BUT WE COVER THE CHARGES AS THROUGH A THIRD PARTY NONPROFIT, AND THERE ARE FUNDRAISERS TOO THAT ANIMAL SERVICES DOES LIKE THE HANDEL'S ICE CREAM ONE
AND, YOU KNOW, A FEW DIFFERENT VARIOUS ONES. 
          SO THIS WOULD BE A. GOD HOW LONG THE ANIMAL'S THERE, WHAT THE CIRCUMSTANCE WAS THAT WHY IT WAS BEING BOARDED,
HOW IT WAS CAPTURED, WHETHER IT WAS RETURNED. THERE'S ANY NUMBER OF FACTORS THAT DO INCREASE IT BECAUSE IT
WASN'T JUST A STRAIGHT LINE FEE. 
          AND SO IF THAT IS SOMETHING THAT YOU WOULD ACTUALLY REALLY LIKE TO PURSUE,
WE CAN HAVE THEM TAKE A LOOK AT IT AND PRESENT THAT AT A LATER DATE. 
          WELL, I'M THINKING ABOUT INCENTIVES AND ADDING A FEE FOR ADOPTIONS DISINCENTIVIZES
ADOPTION. 
          SO I'M NOT REALLY IN FAVOR OF THAT. INCREASING THE FEE FOR IMPOUNDING AND BOARDING
DISINCENTIVIZES GETTING YOUR DOG IMPOUNDED AND BOARDED, WHICH I THINK IS GOOD AS LONG AS WE'RE NOT INCREASING IT FROM,
YOU KNOW, $400 TO $800 OR WHATEVER, SOME OUTRAGEOUS AMOUNT, IF IT'S $50 BUCKS AND WE'RE MAKING IT $100,
THEN I WOULD PROBABLY BE IN FAVOR OF THAT. 
          SO I WOULD JUST WANT TO FOR LET'S GET THEM OUT. 
          AND WE DON'T REALLY KNOW. I MEAN, IN IT DOES SEEM LOGICALLY THAT IF YOU CHARGE IT
DISINCENTIVIZES SOMETHING, BUT I WOULD LIKE TO KNOW FOR SURE FROM THE DATA AND FROM OUR PEER CITIES,
YOU KNOW, WHAT ARE THEIR RATES OF ADOPTION VERSUS OUR RATE OF ADOPTION? SO WE HAVE SOMETHING THAT'S DATA DRIVEN AND OBJECTIVE AND MAYBE IT WILL BE IN THINKING
WITH WHAT OUR INTUITION IS. 
          BUT I JUST WANT THE NUMBERS TO KNOW FOR SURE. 
          SURE. SURE. SO WHAT I'M HEARING IN FEEDBACK IS YOU WOULD LIKE TO LOOK AT INCREASING THE
IMPOUND FEES, 
          [00:15:01]
THE ADOPTION FEES. YOU WANT TO SEE WHAT OTHER CITIES ARE DOING. WE DO HAVE A SURVEY THAT
WE CAN SEND THAT DOES CAPTURE KIND OF WHAT THOSE THINGS ARE. 
          AND OUR ADOPTION RATE VERSUS THEIRS, BECAUSE TO ME THAT WOULD BE MORE TELLING TO SEE. 
          SHAUN IT LOOKS LIKE ON AVERAGE, WE'RE ADOPTING ABOUT 350 ANIMALS A YEAR. 
          AND THEN FROM THE FEE STANDPOINT FOR IMPOUNDMENT,
THE FIRST ANIMAL IMPOUNDMENT WITHIN A 25. 
          WITHIN A 12 MONTH PERIOD IS $25. AN ADDITIONAL FEE IS ADDED FOR EACH NIGHT THE ANIMAL IS
HOUSED, AND THEN FOR EACH ADDITIONAL IMPOUNDMENT WITHIN THE SAME 12 MONTHS,
THE FEE INCREASES BY $10. 
          IT'S PRETTY MINIMAL. YEAH. 
          CORRECT. THAT IS THAT IS FLOWER MOUND FEE BASED ON OUR WEBSITE SO. 
          WE'D HAVE TO CONFIRM ABSOLUTELY WITH ANIMAL SERVICES. 
          BUT THAT'S, THAT'S WHAT WE HAVE PUBLISHED. AND THEN WE CAN FIND OUT WHAT THE NEIGHBORING
TOWNS ARE DOING AND ALSO COULD WE GET THE TRANSFER OR YOU KNOW,
WHAT RATE OF OWNERS, PET OWNERS WOULD THEN SAY, OH, YOU KNOW WHAT, I'M NOT GOING TO PAY THAT IMPOUND FEE. IT'S AN OWNER SURRENDER. 
          JUST SEE IF THERE'S A CONVERSION RATE OR IF THEY'RE ACTUALLY WILLINGLY PAYING. 
          IF WE CAN GET THAT, WE'LL HAVE TO CHECK WITH POLICE,
BUT. 
          I'LL LOOK INTO IT SERVICES, NOT NECESSARILY SAYING DOUBLING THE IMPOUND FEES,
BUT IMPOUND FEES ARE SOMETHING YOU DO WANT TO LOOK AT AND LOOK AT INCREASING, AND YOU WANT TO LOOK AT WHAT OTHER CITIES ARE DOING FOR ANIMAL ADOPTION. THAT'S CLEAR
ENOUGH DIRECTION I CAN GIVE TO THE DEPARTMENTS. SO THAT'S WHAT I'M LOOKING FOR TONIGHT IS, IS IF THERE'S SPECIFIC THINGS YOU WANT TO GO INTO,
WE CAN BRING THOSE BACK. I JUST MAY NOT BE ABLE TO ANSWER THOSE QUESTIONS OFF THE CUFF. 
          ONE ADDITIONAL THING IS I WAS KIND OF REMEMBERING THAT THE ESCALATION FEE,
YOU KNOW, THE MORE TIMES THAT THEY'RE PICKED UP IN A. 
          IN A YEAR WAS ACTUALLY A LITTLE BIT HIGHER RATE,
MAYBE WE COULD EXPLORE THAT, YOU KNOW, THAT THE RETURN OF REPEATED OFFENDERS, I GUESS, WOULD BE CHARGED A HIGHER RATE INCREASINGLY THAN $10. 
          I DO NOT KNOW, BUT I'M BETTING THEY MIGHT HAVE A LOT MORE DATA COLLECTION ON THIS THAN WE. 
          STAYING FOR 15, THE COST RECOVERY WITH FOOD AND EVERYTHING IS PROBABLY NOT. 
          IT'S GOING TO BE A WASH OR A LOSS. RIGHT. TO PAY A PAY FOR AN ANIMAL FOR $10 A DAY,
OR $15 A DAY. 
          WE WON'T GO TOO FAR WITH THIS I'LL MAKE SURE THAT. 
          THOSE. YEP. SO. ALL RIGHT. SO LIBRARY. SO LIBRARY WE ARE UNDER 1% COST RECOVERY. 
          IT'S STILL WITHIN COUNCIL'S TARGET RANGE. LIBRARY IS PROBABLY ONE OF THE MOST PURE PUBLIC
GOODS THERE ARE. 
          TOTAL COST RECOVERY WHEN YOU FACTOR IN THE DEBT SERVICE ON THE LIBRARY IS STILL LESS THAN
1%. 
          OVERALL, I THINK THIS IS MEETING THE GOAL, AND THIS IS ONE OF THE MOST PURE PUBLIC GOODS
THERE ARE. NOW THERE ARE A FEW THINGS THAT WE DO THAT ARE SORT OF PRIVATE SECTOR ESQUE. 
          AND SO SOME OF THE OPTIONS THAT WE HAVE THAT WE COULD EXPLORE IS REMOVING THE COPIER
PRINTER SERVICE AT THE LIBRARY. 
          THIS IS SOMETHING THAT IS A NET LOSS FOR US,
EVEN IF WE'RE CHARGING IT ON PAPER AND FEES, WE'RE NOT RECOUPING THE COST OF HAVING THAT THERE,
OR THE STAFF TIME IT TAKES TO CONSTANTLY HELP. 
          AND THE SERVICE IS AVAILABLE FOR THINGS LIKE A STAPLES. 
          EARLIER TODAY I ACCIDENTALLY SAID KINKO'S AND SOME PEOPLE DIDN'T KNOW WHAT THAT WAS. BUT
YES, THERE'S FEDEX AND A NUMBER OF OTHER THINGS. AND SO THAT IS SOMETHING THAT WE COULD EXPLORE
IF YOU'RE WILLING TO. 
          AND THAT'S IT'S A BIG REVENUE LOSS FOR US. HOW MUCH DO WE LOSE? SO PRINTER LEASE IS ABOUT $5,000 A YEAR ON ITS OWN. 
          AND THEN YOU'RE TALKING ABOUT STAFF TIME, AND THEN WE DO RECUPERATE. 
          JUST WE DO A FLAT FEE FOR COST, BUT WE HAVE TEACHERS FROM LITERALLY THE SCHOOL DISTRICT
COMING OVER WHEN THEIR PRINTERS GO DOWN TO COME USE OURS. 
          SO I CAN TELL YOU THIS IS SOMETHING THAT PEOPLE ARE GETTING A LOT OF USE OUT OF,
BUT WE'RE SUBSIDIZING. 
          IS THERE A POINT WHERE IT WOULD BE NET NEUTRAL? OR WE CAN'T POSSIBLY THEY JUST COULD GO OUT AND EASIER? WELL, WE'RE GOING TO YOU'D START FUNCTIONING MORE LIKE A FEDEX OR SOMETHING ELSE LIKE
THAT. 
          AND WE'D HAVE TO HAVE A DESK AND A STAFFING STATION AND THEN YOU'RE. OKAY. 
          THEN YOU'RE TRYING TO COMPETE NECESSARILY WITH THOSE. 
          I KNOW THAT YEAH THIS ISN'T JUST FOR THE SMALL ROOM RENTALS. THIS IS FOR ALL ROOMS. NO ONE CHARGES. WE DO NOT CHARGE ANY FEES FOR OUR PUBLIC SPACES. 
          SO IF SOMEONE'S RUNNING A BUSINESS AND DOING TUTORING OUT OF YOUR LIBRARY AND THEY'RE
CHARGING A FEE FOR IT OR IT IF THEY'RE DOING THAT, YES, OTHER PLACES WOULD CHARGE THEM. AND TO BE ABLE TO UTILIZE THAT SPACE. 
          [00:20:08]
YOU CAN SET IT DOLLAR. 
          COMMERCIAL VERSUS. YES. 
          YOU'RE GOING TO HAVE ADDITIONAL SPACES LIKE THIS THAT COULD BE RENTED OUT. 
          WE HAVE COMMUNITY ROOMS ACROSS TOWN THAT HOA USE. 
          THIS ROOM IN HERE THAT OTHER PEOPLE USE. SO THIS IS NOT JUST THE LIBRARY,
BUT CHARGING A ROOM RENTAL FEE WOULD HELP US. 
          NOW, ONE THING I'M GOING TO BRING UP, BECAUSE IT'S RELEVANT RIGHT NOW,
IS ONE THING THAT USES ROOM FEES THAT DOES NOT COMPENSATE US IS ELECTIONS. 
          ELECTIONS DO NOT COMPENSATE US. WE ACTUALLY IF WE'RE HOLDING AN ELECTION,
WE HAVE TO PAY FOR IT. 
          SO THESE THINGS COME IN AND TAKE UP THOSE SPACES AND WILL KILL YOUR REVENUE OPPORTUNITY
WITH THOSE. 
          WILL ALSO CANCEL A LOT OF PROGRAMS THAT WE HAVE. 
          SO WHENEVER WE'RE DESIGNING FUTURE SPACES, THIS IS SOMETHING WE HAVE TO CONSTANTLY
CONSIDER IS WE BASICALLY HAVE TO BUILD EXTRA SPACE FOR ELECTIONS BECAUSE THEY CAN NO LONGER FORCE CHURCHES TO DO IT. AND SO IT COMES DOWN TO IT'S GOING TO BE HELD IN PUBLIC
SPACES IN THE MUNICIPALITY USUALLY HAS TO PONY UP. 
          CAN YOU TELL IF THE, THE ONES THAT DO THE, THE COMMERCIAL ENTERPRISES IN OUR,
IN OUR MEETING ROOMS, ARE THEY NORMALLY RESIDENTS OR ARE THEY OFTEN NONRESIDENTS? I DON'T KNOW THAT THEY COULD LOOK AT THAT BECAUSE LIBRARY CARDS ARE RESIDENT VERSUS
NONRESIDENT, BUT. 
          IT'S NOT HUGELY SUBSTANTIAL. IT'S LIKE LESS THAN $100,000,
RIGHT? BUT THAT GIVES DENTON COUNTY ABILITY TO HAVE A FLOWER MOUND LIBRARY CARD. 
          NOW, THE CITY OF DENTON CHARGES NONRESIDENTS FOR A LIBRARY CARD. 
          AND I'M NOT SURE HOW THAT WORKS. MAYBE THEY DON'T GET THE COUNTY MONEY. BUT WE ALLOW
SURROUNDING AREAS TO HAVE A LIBRARY CARD, AND THERE'S NO DIFFERENCE. BUT, I MEAN. WE DO TRACK THEIR ADDRESS SO. 
          YOU DO KNOW THEIR ADDRESS JUST PUBLIC ROOM RENTAL FEES. IF YOU WANT TO RENT SPACE ANYWHERE ELSE. 
          YES. THEY WOULD CHARGE YOU. I MEAN, YOU KNOW, YOU HAVE SOMETHING ELSE, SOME OTHER LIBRARY BUSINESS YOU'RE TRYING TO DO,
BECAUSE PEOPLE WHO ARE RUNNING THEIR BUSINESSES ARE USING THE LIBRARY INSTEAD OF PAYING FOR OFFICE. SO WHAT I WAS GOING TO THAT POINT,
BECAUSE THAT'S MORE WHAT I'M CONCERNED ABOUT. I'M NOT SO MUCH MAKING MONEY, BUT TRYING TO KEEP PEOPLE FROM SQUATTING IN THEM ALL THE TIME IS TO MAYBE ALLOW THE FIRST USAGE,
YOU KNOW, NO CHARGE. BUT THEN IF YOU BOOK IT THE SAME MULTIPLE TIMES IN A PERIOD OF SOME INTERVAL A
WEEK, MAYBE THAT THOSE SUBSEQUENT USES YOU START TO GET CHARGED FOR. 
          SO WE JUST DISCOURAGE THAT KIND OF BEHAVIOR. THAT'S HOW I WOULD. 
          I THINK IF IT'S COMMERCIAL OPERATION, THEY NEED TO PAY BECAUSE THEY'RE MAKING MONEY AND
USING OUR RESOURCE. 
          BUT DO WE KNOW, CAN WE TELL? I GUESS WOULD BE THE QUESTION,
IS THERE ANY WAY TO EVEN KNOW? I MEAN, THERE'S NOT A CHECKBOX ON YOUR LIBRARY CARD,
BUT IF THEY'RE CONSTANTLY RUNNING KIDS IN THERE TO TUTOR THEM, IT'S. YEAH, THAT'S. 
          IT'S KIND OF OBVIOUS. YEAH WELL YOU COULD. YEAH. EXACTLY. IF THEY'RE USING IT MULTIPLE
TIMES IN AN INTERVAL, I WAS I THINK I WAS TRYING TO GET TO THE SAME PLACE. I JUST DON'T KNOW HOW YOU WOULD DETERMINE IF IT'S COMMERCIAL HOUR BLOCK. AND THEN YOU CAN'T DO LIKE TWO, TWO,
TWO. 
          YEAH. SO WE DO HAVE LIMITING FACTORS. WE ALSO DO THAT WITH PICKLEBALL COURTS I KNOW. YES.
SO. BUT THIS IS JUST SOMETHING. IF YOU WANT US TO EXPLORE AND LOOK AT THIS,
I THINK THIS WOULD BE A GOOD WAY. 
          AND AGAIN, YOU DON'T HAVE TO CHARGE AN EXPONENTIAL AMOUNT. WE CAN LOOK AT WHAT OTHER
PEOPLE ARE CHARGING, BUT EVEN A DOLLAR WOULD DISINCENTIVIZE PEOPLE FROM GRABBING SPACE AND NOT USING IT. OKAY. AND NONRESIDENTS POSSIBLY A HIGHER RATE. 
          YES, THAT'S ABSOLUTELY POSSIBLE. SO WE'LL DIG INTO THAT A LITTLE BIT MORE. 
          LAST ONE IS CHARGE FOR ACCESS. SORRY JOHN BEFORE WE GO TO THE NEXT ONE. ONE THING I'VE
BEEN TRYING TO REMEMBER, I'VE BEEN I'VE BEEN HERE TOO LONG. IT'S BEEN FOUR YEARS. I DON'T REMEMBER THE RATES IN
IRVING OR IN ABILENE, BUT I KNOW THAT THERE WAS ALSO A TIERED SYSTEM,
BECAUSE I KNOW THERE WAS A RATE THAT NONPROFITS PAID VERSUS FOR PROFITS, AND THERE'S THAT COMPONENT OF THERE, TOO. SO AS WE EXPLORE THAT AGAIN,
I DON'T KNOW HOW ROBUST THE USE OF NONPROFITS ARE GOING TO USE THE SPACE THERE. 
          IS THAT ANOTHER METRIC YOU WANT US TO EXPLORE,
POTENTIALLY, OF HAVING A TIERED SYSTEM FOR DIFFERENT TYPE OF USERS, WHETHER IT'S A COMMERCIAL NONPROFIT? WILL HAVE SOMETIMES THEIR MEETINGS THERE IF THEY DON'T HAVE THEIR OWN CENTER ON PROPERTY,
SO THEY HAVE IT IN THE BIG PROGRAM ROOM. 
          AND THEN I KNOW THE FRIENDS USES THE LIBRARY A LOT,
BUT IT'S TO MAKE MONEY FOR THE LIBRARY, SO HOPEFULLY WE WOULDN'T BE CHARGED FOR THAT. BUT YOU KNOW. 
          ALL RIGHT DOES SUBSIDIZE US. THEY DO PROVIDE US A THING. 
          BUT IT IS MAINLY FOR PHYSICAL MATERIALS. DIGITAL MATERIALS SUCH AS THINGS LIKE A
SUBSCRIPTION OR THINGS LIKE THAT IS SOMETHING THAT WE COULD CHARGE THE NONRESIDENTS. 
          SO THIS WAS DIRECTLY A RECOMMENDATION BY OUR LIBRARY DIRECTOR. 
          AND SHE SAID IF WE WERE GOING TO CHARGE FOR DIGITAL MATERIALS,
LET'S START FIRST LOOKING AT NONRESIDENTS. 
          AND HONESTLY, THIS IS SOMETHING THAT IS ESCALATING IN COST EVERY YEAR. 
          [00:25:01]
IT IS GROWING QUICKER. IT'S JUST LIKE CONCRETE. 
          IT GROWS AT AN EXPONENTIAL RATE. AND SO THIS IS ONE OF THOSE ONES WHERE WE WON'T CHARGE
YOU IF YOU USE A BOOK IN PERSON. 
          BUT IF YOU COME AND TRY TO USE OUR DIGITAL STUFF REMOTELY,
AND A LOT OF OUR DIGITAL ACCESS IS NONRESIDENT AND IT IS SO EXPENSIVE AND THEY EXPIRE. 
          SO IT'S NOT LIKE YOU BUY A PHYSICAL BOOK AND YOU HAVE IT UNTIL WHENEVER YOU BUY DIGITAL
RIGHTS, AND THEN YOU HAVE TO RENEW IT EVERY TWO YEARS,
AND IT'S THE SAME AMOUNT OF MONEY. 
          IT'S VERY EXPENSIVE. YEAH, I'M IN FAVOR OF THAT ONE FOR SURE. 
          BUT BEFORE WE MOVE ON, ARE WE STILL GOOD WITH NO LATE FEES EVER ON BOOKS? WE'RE STILL THINKING THAT WAS A GOOD DECISION? I FEEL LIKE I DON'T TURN MY BOOKS IN ON
TIME, AND I DON'T EVEN WORRY ABOUT IT BECAUSE THERE'S NO CONSEQUENCE. 
          SO, I MEAN, I DON'T KNOW IF THAT'S SOMETHING WE'D EVER WANT TO REVISIT OR IF THAT'S JUST
HOW IT IS NOW. 
          THE ONE THING I WILL SAY ABOUT THAT, AND THIS IS SOMETHING I'VE DEALT IN MY PREVIOUS
STOPS, IS JUST THE COMMON THOUGHT IN THE LIBRARY INDUSTRY. 
          THEY'RE JUST NOT EFFECTIVE. THEY DON'T THEY DON'T THEY DON'T ACHIEVE THE BEHAVIOR WE'RE
TRYING TO GET. 
          AND SO IT'S JUST AT THIS POINT THEY FOUND OUT IF YOU WAIVE THE FEE,
SOMEBODY IS MORE LIKELY TO BRING THE BOOKS VERSUS IF THEY FEEL LIKE THEY HAVE TO PAY SOME, THEY'LL JUST HANG ON TO IT. SO THE INDUSTRY KIND OF LEFT THAT BEHIND MAYBE TEN YEARS AGO
OR SO. 
          OKAY. AND THEY CAN SUSPEND YOUR ABILITY TO CHECK OUT NEW MATERIAL. 
          SO THAT'S USUALLY MORE EFFECTIVE I THINK. OKAY. 
          GOOD. IF YOU DON'T TURN IN YOUR OLD BOOKS, YOU CAN'T GET NEW ONES. 
          YEAH. ALL RIGHT. SO COST RECOVERY FOR EMERGENCY MEDICAL SERVICES. 
          SO THIS IS ONE THAT SURPRISED ME. MAINLY BECAUSE I MISSED A HUGE CHUNK OF COST FOR EMS
FIRST TIME I WAS DOING THIS ANALYSIS. 
          SO OUR EMERGENCY SERVICES THEY CATEGORIZE ALL OF THEIR NON-PERSONNEL EXPENSES WITH ONE
DIVISION CODE. 
          AND THEN. SO I HAD TO USE A KIND OF A MULTIPLIER OF $2.4 MILLION TO ESTIMATE THEIR
PERSONNEL COSTS, AND THAT WAS 24 PEOPLE. YEAH. SO AND THAT THAT HELPED ME ESTIMATE KIND OF WHERE THEY ARE. 
          AND THEY ACTUALLY FELL WITHIN RANGE WHERE COUNCIL HAS KIND OF SET THAT TARGET. 
          SO WE'RE AT 30%, 4% COST RECOVERY. TOTAL COST RECOVERY IS 32%. 
          AND THIS WAS WITH BUYING AN AMBULANCE. SO THEY HAVE A PRETTY HEFTY BUDGET. 
          SO THAT'S WHY IT IS. IT'S EVEN WITH CAPITAL EXPENDITURES IT'S THEY'RE STILL AT PRETTY HIGH
COST RECOVERY. 
          SO I HAVE A QUESTION JOHN. SO THIS ONE FELL IN. 
          IT WAS THIS CATEGORY THREE? BECAUSE OF THE COLOR. 
          DID THAT CORRESPOND BACK TO THREE? CATEGORY TWO. 
          NUMBER TWO. NUMBER TWO OKAY. BECAUSE I REALLY WAS THINKING IT WAS NUMBER ONE BECAUSE IT'S
ESSENTIAL SAFETY AND HEALTH. 
          BUT YOU'RE SAYING OUR SURVEY RESULTS INDICATED THAT WE PUSHED IT TO THE RIGHT A LITTLE
BIT? I MEAN, THERE ARE SOME OPPORTUNITIES FOR COST RECOVERY THAT ARE NOT BASED IN THE CITIZENS
POCKETBOOK. 
          YES. BASED ON A BAD EVENT THAT THEY HAVE. SO I THINK,
YOU KNOW, WE'RE USING THOSE OTHER AVENUES. 
          YES. AND RECUPERATING SOME COSTS ON THIS IS NORMAL. 
          NOW, SOMETHING THAT TOWN DOES NOT DO IS BALANCE BILL,
WHICH OVERBURDEN OUR RESIDENTS BECAUSE THEY'RE ALREADY PAYING US PROPERTY TAXES. AND SO I THINK
THAT WE'RE DOING THIS THE RIGHT WAY. OTHER THINGS THAT WE COULD LOOK AT SPECIFICALLY WITH THIS, IF WE WANTED TO INCREASE REVENUES, IS INCREASING OUR BASE BILLING RATE TO THE
MAXIMUM ALLOWABLE RATES. 
          SO THIS SOUNDS LIKE I'M TRYING TO SAY CHARGE THE MOST YOU CAN. 
          WHAT I'M REALLY SAYING IS THERE'S MORE THAT WE COULD BE CHARGING MEDICAID AND MEDICARE
THAT WE DON'T. AND HOW ABOUT NON RESIDENTS? DO WE BALANCE BILL THEM? WE DO DON'T WE? YES. 
          YEAH. SO I THINK THAT'S FAIR. AND PARTICULARLY ON THE WEST SIDE OF TOWN THIS IS GOING TO
BECOME MORE IMPORTANT. 
          SO ONE OTHER SERVICE THAT COULD BE ADDED IN HERE WOULD BE CHARGING FOR FIRE SERVICE. 
          SO THE PRESENTATION THAT YOU HEARD OR THE OTHER NIGHT IS BILLING INSURANCE COMPANIES AT
RECS FOR THE RESPONSE OF FIRE SERVICE TO PROTECT THOSE WRECKED CARS AND EVERYTHING. 
          SO THE ASSETS DON'T DETERIORATE MORE. SO WE COULD CHARGE A FIRE FEE SPECIFICALLY FOR IT. 
          WE'D USE THE SAME SERVICE WE DO FOR EMS. THEY WOULD FILE WITH THE INSURANCE COMPANIES. 
          THEY WOULD NOT BALANCE BILL. THEY WOULD NOT GO AFTER THE INDIVIDUAL. 
          HOW MANY OF OUR PEER CITIES ARE DOING THAT? IT'S BECOMING A LOT MORE POPULAR. 
          AS CITIES GET MORE CONSTRAINED, THEY LOOK FOR MORE OPPORTUNITIES. I MEAN,
I WOULD LIKE TO EXPLORE THAT, BUT MY BIG PICTURE BRAIN SAYS, YOU KNOW, WHAT'S GOING TO HAPPEN THAT'S GOING TO DRIVE
INSURANCE RATES UP BECAUSE INSURANCE COMPANIES ARE GOING TO SEE THEIR LOSS RATIOS GO UP, AND THEN THEY'RE JUST GOING TO PASS IT ON IN PREMIUMS. SO I DON'T REALLY WANT TO BE THE
CAUSE OF THAT, BUT I WANT TO MAKE SURE WE'RE GETTING ON PAR WITH WHAT THE PEERS ARE DOING. 
          I MEAN, DO YOU THINK IF OTHER CITIES ARE ALREADY DOING IT,
WOULD OUR TOWN DOING IT CAUSE RATES TO INCREASE FOR OUR RESIDENTS, DO YOU THINK? WELL, NOT NECESSARILY AT THAT MICRO LEVEL,
BUT MACRO VIEW, IF EVERY TOWN DOES IT, THEN COLLECTIVELY IT'S GOING TO BE A LOT MORE MONEY. 
          YEAH. SO, YOU KNOW, THERE'S THOSE THINGS. IT'LL TAKE A WHILE,
BUT I JUST WANT TO SEE WHAT THE PEERS ARE DOING, HOW MUCH THEY'RE CHARGING. YEAH AGREED YES. THE FIRE FEE WOULD BE OUTSIDE OF THIS SINCE IT WOULD BE SPECIFICALLY FOR FIRE
SERVICE. BUT WE'VE HAD THEM DO A PRESENTATION FOR YOU JUST TO KIND OF EXPLORE WHAT THIS IS. BUT WE. THEY'RE READY AND KEY TO GO TO TALK TO YOU GUYS A LITTLE BIT MORE ABOUT IT IS
YOU GIVE ME THE THUMBS UP. WE CAN HAVE THEM PRESENT PROBABLY IN THE NEXT FEW MONTHS. ALL RIGHT. GREAT RATES. SO 83% WHEN YOU GUYS SAID IT KIND OF THAT TIER 3,
THE 41% TO 60%. 
          [00:30:04]
AND SO THEY DO WELL IN TOTAL COST RECOVERY. THIS IS EVEN FACTORING IN THEIR NEXT NEW DEBT
SERVICE PAYMENTS THAT THEY HAVE FOR THE PHASE TWO EXPANSION. 
          SO I THREW THAT DEBT NUMBER IN THERE AS WELL. 
          AND THEY'RE STILL AT 50% COST RECOVERY. SO THIS IS A GREAT ASSET FOR THE TOWN. 
          WE DO SUBSIDIZE SUBSIDIZE IT. BUT AT THE SAME TIME IT IS EXCEEDING OUR COST RECOVERY
TARGET. 
          SO WITH THIS ONE I DON'T HAVE A RECOMMENDATION FOR OPTIONS. 
          I JUST WANTED TO SAY IS WITH THE CONSTRUCTION OF STARTING ADDITIONAL AMENITIES FACILITIES, TWIN COVES PARKS STAFF ANTICIPATES THE COST RECOVERY TO CONTINUE TO EXCEED COUNCIL'S COST
RECOVERY TARGET. 
          WE THINK BY ADDING MORE AMENITIES OUT THERE,
IT WILL INCREASE USAGE AND THIS WILL GROW. 
          AND SO THIS IS ONE THAT I WOULD SAY IF YOU WANTED TO,
WE COULD RECONSIDER INCREASING YOUR TARGET. 
          WHAT PERIOD OF TIME DOES THIS COVER? JUST THE PAST YEAR? PAST YEAR SO, YOU KNOW, IF WE TOOK THE PAST FIVE YEARS,
DOES IT COME CLOSER TO THE 50%? ARE WE STILL WITHIN OUR TARGET? YEAH, BETWEEN IF YOU LOOK AT FLOOD EVENTS,
YEAH, THAT'S GOING TO PULL THAT NUMBER DOWN A BIT. 
          I STILL THINK YOU'RE GOING TO BE WITHIN YOUR TARGET RANGE. OKAY OF INCREASING IT. IF WE'RE BASING IT ON THE NOT ON THE TOTAL,
THEN LET'S NOT CHANGE ANYTHING AND LET'S MAKE SURE OUR POLICIES ALIGN WITH THE SUCCESS WE'RE HAVING. OKAY SO THIS IS ONE THAT THERE'S ALREADY BEEN AN EXTENSIVE COST RECOVERY ANALYSIS FOR. 
          SO I DIDN'T STEAL FROM THEIR NUMBERS. BUT I JUST KIND OF OVERLAID WITH WHAT I HAD WITH
THEIR FINANCIAL INFORMATION COMPARED TO KIND OF THEIR COST. 
          AND SO WHAT I LOOKED AT IS THEY'RE ABOUT 60%. 
          IT'S KIND OF AT THE VERY, VERY BOTTOM OF THAT TARGET RANGE OF 60% TO 90%. 
          AND TOTAL COST RECOVERY IS AROUND 26%. AND, AND SO THE REASON WHY IS THIS DOES FACTOR IN
THE CAC EXPANSION AND FEES WILL INCREASE ONCE THE RENOVATION EXPANSION IS COMPLETE. THE NEW TARGET FOR THAT WILL BE 80%. 
          AND ONE OF THE NEAT THINGS IS I DON'T BELIEVE FEES HAVE INCREASED HERE SINCE IT OPENED. 
          THEY HAVEN'T. SO IT'S BEEN A HUGE RESOURCE. BUT THAT'S WHY YOU'RE PROBABLY SEEING
DECLINING COST RECOVERY OVER TIME. 
          AND SO I ANTICIPATE WITH NEW AMENITIES THESE THINGS WILL BE RAISED AND WE WILL MEET THIS
COST RECOVERY TARGET. 
          THAT WAS THEIR LOW BOTTOM. SO I THINK WE'RE GOING TO BE MEETING COUNCIL'S OBJECTIVE AFTER
THE EXPANSION AND RENOVATION. 
          RCAC MEMBERSHIP IS SIGNIFICANTLY LOWER THAN MOST OTHER PLACES. 
          CORRECT? I WOULDN'T SAY SIGNIFICANTLY LOWER THAN MOST,
BUT. 
          WELL, GRAPEVINE CHARGES NOTHING BECAUSE THEY HAVE SUCH A HUGE COMMERCIAL TAX BASE. SO A
LOT OF PEOPLE JOIN FOR FREE THERE. 
          SO IT'S A DIFFERENT MODEL. YOU KNOW, IT'S NOT REALLY APPLES TO APPLES. GRAPEVINE IS I
WOULD NEVER ENCOURAGE ANYONE TO COMPARE THEMSELVES AGAINST GRAPEVINE. THEY'RE A MONSTER WITH MORE HOT TAX THAN THEY HAVE IN SALES TAX. 
          SO IT'S A VERY STRANGE. BUT THE LEWISVILLE CENTER MIGHT BE SOMETHING TO LOOK AT BECAUSE
THEY RECENTLY RENOVATED. 
          YES AND THAT'S A LOT THAT'S ACTUALLY BAKED INTO THOSE ESTIMATES WHEN THEY SAID WHAT THEY COULD
REALISTICALLY ACHIEVE. 
          BUT I DO REMEMBER BEING ON THE COMMITTEE FOR THE CAC RENOVATION,
AND IT WAS ABSOLUTELY CALCULATED THAT THE RATES WOULD HAVE TO RISE BECAUSE, YOU KNOW, OBVIOUSLY THE EQUIPMENT AND THE STAFFING IS GOING TO INCREASE,
TOO. 
          BUT THERE MIGHT BE SOME REVENUE GENERATION LIKE BETTER PARTY ROOMS AND PRACTICE FEES. 
          DOES THIS INCLUDE LIKE PRACTICE FEES FOR FIELDS AND SUCH? NO, THAT IS ACTUALLY A SEPARATE THING. OKAY OH IT IS OKAY. YEAH. SO WE WHENEVER ALL OF THOSE IT YOU SET THAT TARGET EVERY TIME YOU SET A CONTRACT. 
          SO THAT'S WHY THOSE THINGS FUNCTION THAT WAY. 
          SO OVERALL I'M HEARING THIS IS GOOD. AND AFTER THE EXPANSION,
YOU BELIEVE IT'S GOING TO BE SET THERE, AND THEY'LL BRING MORE INFORMATION WHEN THEY SET THOSE FEES. SO I THINK THIS IS ONE THAT
WE, WE FEEL DECENT ABOUT. AND IT'S RIGHT ABOUT WHERE IT IS. 
          THIS WAS AN AMENITY TO THE CITY. AND I THINK THE EXPANSION WILL HELP. 
          SO DEVELOPMENT SERVICES. SO I GOT A LOT OF QUESTIONS ABOUT THIS ONE WHENEVER I PRESENTED
THIS TO STAFF INTERNALLY. 
          SO OUR COST RECOVERY IS ABOUT 83%. OUR TOTAL COST RECOVERY IS AROUND 59%. 
          AND THAT'S DUE TO THE PROPORTION THAT DEVELOPMENT SERVICES TAKES OF THIS BUILDING AND
THEIR DEBT SERVICE PAYMENT. 
          SO I'M ESTIMATING PART OF THE DEBT FOR TOWN HALL PROPORTIONATELY TO THEM AND ALLOCATING
THE OVERHEAD TO THAT. 
          I ESTIMATED A 25% OVERHEAD CHARGE FOR ALL DEPARTMENTS. 
          AND JUST TO MAKE SURE THAT I'M CAPTURING SOME OF THE ADMINISTRATIVE COSTS AND COUNCIL'S
TARGET IS BETWEEN 61% AND 91%, AND THEY ARE MEETING THAT. SO WE COULD LEAVE THIS ALONE AND YOU'D STILL BE MEETING YOUR
TARGET RANGE. 
          BUT IF YOU WANTED TO LOOK AT OPTIONS, FEES WERE INCREASED IN 2023. 
          IT HAS A COST RECOVERY MEASURE WITH EXISTING RESIDENTS PAYING LESS THAN NEW DEVELOPMENTS
BECAUSE EXISTING RESIDENTS ALREADY PAY PROPERTY TAXES. 
          COUNCIL MEMBER SCHIESTEL. THIS IS SOMETHING YOU SAID THAT YOU WOULD LIKE TO CONTINUE. SO
IF WE WANTED TO CONTINUE THAT AS SIMPLE WAY WITHOUT GOING OUT FOR A FORMAL FEE STUDY WOULD BE JUST TO USE A CPI MULTIPLIER AND INCREASE THIS USING CPI FROM 2023 TO 2026,
AND DO A FLAT MULTIPLIER THAT WOULD KEEP YOUR SAME PROPORTIONATE SHARE OF NEW DEVELOPMENT 
          [00:35:06]
VERSUS RESIDENTIAL. AND SO THAT WOULD BE MY RECOMMENDATION IF YOU WANT TO PURSUE THIS. 
          I THINK WE SHOULD LOOK AT IT. OKAY. I GUESS IF WE DID HAVE TO DO A COMPREHENSIVE FEE
STUDY, IT'S GOING TO COST PROBABLY OVER $100 GRAND NOW. 
          SO THAT'S WHY I SAID CPI WOULD BE THE QUICK AND DIRTY WAY OF DOING THIS. 
          AND I BELIEVE IT'S WHENEVER THEY SET IT UP, THEY ACTUALLY DID SAY THIS PROBABLY NEEDS TO
BE LOOKED AT ANNUALLY FOR INFLATION. AND WE'VE SEEN PRETTY MUCH A GOOD AMOUNT SINCE THEN. 
          SO THE SENIOR CENTER. SO THIS IS ONE I KNOW THAT WE WANTED TO TALK ABOUT. 
          AND SO HAD PLENTY OF MEETINGS WITH THE SENIOR CENTER. 
          AND TO GO OVER THIS, CHUCK AND HIS TEAM HAVE BEEN AMAZING TO KIND OF TALK THROUGH THIS. SO
OUR COST RECOVERY IS AT 35%. 
          TOTAL COST RECOVERY IS AT 24%. AND COUNCIL'S TARGET IS TO BE AT 61% TO 91%. 
          SO I WILL SAY THIS IS A. THIS AMENITY IS THERE TO SERVE A DISADVANTAGED GROUP. 
          OUR SENIORS, ONES THAT YOU KNOW ARE HURT WITH PROPERTY TAXES AND A LOT OF OTHER THINGS. 
          SO I SAY THAT NOT TO ARGUE AGAINST ANYTHING,
BUT JUST TO SAY THIS IS A TARGETED PUBLIC SERVICE AND SO THIS IS MOVING TOWARDS THE HIGHER END OF THE COST RECOVERY TARGET. SO IF WE WERE TO REACH YOUR TARGET,
WE WOULD HAVE TO DOUBLE ALL FEES. 
          AND TO REALLY GET THERE, IT WOULD TAKE US ABOUT FIVE YEARS BECAUSE WE HAVE TO RETHINK HOW
WE DO REVENUE MODELING, AND WE HAVE TO RETHINK HOW WE PRIORITIZE SERVICES,
BECAUSE WE BASICALLY TASK OUT THAT ALL SERVICES NEED TO MAKE A CERTAIN PERCENTAGE COST RECOVERY, WHICH WOULD BE A COMPLETE RETHINKING OF HOW WE'VE TOOLED THIS IN THE PAST. BUT
WHEN YOU SAY DOUBLE THE FEES, WE'RE TALKING $10 TO $20 FOR MEMBERSHIP. SO THAT'S NOT A LOT OF MONEY. 
          EVERYTHING. AND SO THAT'S WHY IT WOULD BE A PRETTY SUBSTANTIVE JUMP. 
          WELL, WHAT IF WE BALANCED IN MORE THAN DOUBLE THE MEMBERSHIP FEE BECAUSE $10 FOR A WHOLE
YEAR FOR A RESIDENT, IT'S I CAN'T EVEN COMPREHEND HOW. THAT'S NOTHING. 
          SO WHAT IF WE DID A LITTLE BIT MORE ON MEMBERSHIP AND ALSO FOCUS MORE ON THE
NON-RESIDENTS. 
          SO MY RECOMMENDATION WOULD BE IS THAT WE HEAR YOU,
THAT YOU WANT TO MOVE THIS UP AND THAT WE NEED TO THAT WE WANT TO MOVE THIS HIGHER. 
          SO MY RECOMMENDATION WOULD BE TO DO AN INCREMENTAL FEE INCREASE AND BRING OUR COST
RECOVERY FEE UP AT LEAST 5% WITHIN THE NEXT YEAR. 
          AND I KNOW THAT SOUNDS LIKE IT'S JUST WE'RE INCREASING EVERYTHING BY 5%. 
          THAT'S NOT WHAT IT IS IS THIS IS TAKING A TARGETED LOOK ON THINGS THAT WE THINK,
YOU KNOW, WOULD NOT RESULT IN ADVERSE EFFECTS OR SHOCK. 
          OUR RESIDENTS ARE THE ONES WHO ARE USING THIS. AND SO WE CAN LOOK AT A LOT OF THESE
THINGS, AND WE KIND OF HAVE A TARGETED APPROACH WHERE WE COULD INCREASE IT BY 5% WITHIN THE NEXT
YEAR. 
          AND THAT WOULD PUT YOU ONE TIER BELOW THIS. AND SO THAT'S HONESTLY WHAT I WANT TO ASK IS,
DO YOU BELIEVE THIS FALLS IN THIS TIER. 
          SO RIGHT NOW. 
          BUT WHEN I SAW THIS, I THOUGHT, CAN I CHANGE MY VOTE AND MAKE BECAUSE I DON'T FEEL LIKE
IT'S WHERE IT NEEDS TO BE, ESPECIALLY WHEN YOU COMPARE IT TO THE LIBRARY. 
          I THINK, YOU KNOW, FOR THE SEGMENT THAT OF THE POPULATION THAT IT'S SERVING,
IT'S THEIR LIFELINE. 
          IT IS THEIR ONLY SOCIAL OUTLET. I THINK IT IS A VERY IMPORTANT SERVICE. 
          AND WE ARE WE WOULD BE PREVENTING SOME FROM COMING TO THE SENIOR CENTER I FEEL LIKE. 
          IF WE STARTED INCREASING ALL THE FEES, ESPECIALLY SOME OF THOSE ACTIVITY FEES AND MEALS. 
          LIKE AN ADULT DAYCARE. SO I THINK THAT COULD BE A MISUSE OF THE CENTER. 
          I DON'T KNOW THAT THAT MAKES IT A DAYCARE. THEY'RE JUST GETTING A RIDE THERE THEY SPEND THE WHOLE DAY THERE, AND THEN THEY'RE PICKED UP AT THE END. 
          BUT THAT'S A SOCIAL OUTLET. I THINK THAT'S A GOOD THING. 
          BUT IT'S NOT SUSTAINABLE AT 24%. IT'S JUST NOT SUSTAINABLE. 
          AND HONESTLY, $10 FOR A WHOLE YEAR, EVEN IF WE DOUBLED IT FOR RESIDENTS TO $20 A WHOLE
YEAR, YOU CAN'T EVEN BUY A CUP OF COFFEE FOR THAT MUCH. 
          I'M NOT SAYING THAT WE SHOULDN'T RAISE THE FEES. 
          I'M JUST SAYING THAT WE SHOULD CHANGE OUR EXPECTATION FOR THE COST RECOVERY. 
          FROM A 4 TO A 3? YES. I MEAN, MANY YEARS IF WE'RE INCREASING ON AVERAGE, 5%. 
          SO I DON'T THINK PRAGMATICALLY WE'RE NOT GOING TO REACH THAT ANYWAY. 
          SO I'D BE OKAY ADJUSTING IT DOWN TO A 3. BUT I STILL THINK WE NEED TO SUBSTANTIALLY
INCREASE BECAUSE IT'S JUST NOT SUSTAINABLE. 
          I AGREE SOME OF THE FEES DO NEED TO BE INCREASED. I COMPLETELY AGREE ARGUMENT FOR THIS OF MOVING TO A TIER 3 IS THERE'S A BALANCED COMMUNITY AND INDIVIDUAL
BENEFITS. 
          THIS IS ONE OF THE ONES WHERE I THINK THERE IS SOME BALANCE IN THERE AND THE INDIVIDUAL
BENEFIT DOESN'T OUTWEIGH THE COMMUNITY BENEFITS. 
          AND SO THIS IS ONE OF THOSE ONES THAT IF WE WERE ABLE TO GET 2 OR 3,
IT WOULDN'T SAY THAT WE'D JUST STOP AT 5%. 
          [00:40:05]
BUT WE WOULD BASICALLY TAKE A MORE TARGETED APPROACH IN HOW WE INCREASE THIS. 
          AND WE THINK WE CAN DO IT WITHOUT A HUGE SHOCK TO THE SENIOR POPULATION. 
          I THINK GRADUAL IS A NECESSITY. OF COURSE, I DON'T THINK IT SHOULD,
YOU KNOW, INCREASE BY 1,000%, EVEN THOUGH DOLLAR WISE THAT'S NOT THAT THAT MUCH. 
          BUT THE OTHER THING IS LIKE LITTLE THINGS, LIKE THE FREE COFFEE,
$0.50 FOR A CUP OF COFFEE. 
          THAT'D BE GREAT. I HEAR IT'S REALLY GOOD. [LAUGHTER]. 
          AND THE OTHER THING I WOULD LIKE TO EXPLORE,
AND I DON'T REALLY KNOW THE ANSWER TO THIS, BUT WHEN WE HAVE OTHER VENDORS COME IN AND PROVIDE SERVICES SUCH AS AT THE CAC, WHAT'S THE CONTRACTUAL LEVEL OF FEE THAT THEY PAY US
TO BE USING OUR FACILITIES? AND CAN WE TALK ABOUT A CONSISTENT OR MORE, YOU KNOW,
MORE CONSISTENT APPROACH TO THAT ACROSS ALL OF OUR VENUES? YES. THAT IS SOMETHING THAT IN DISCUSSIONS WITH THIS IS SOMETHING THAT DEFINITELY THEY
WANT TO LOOK AT AND ADJUST BECAUSE WE. 
          IT IS NOT CONSISTENT WITH HOW IT IS IN OTHER PLACES. 
          AND THAT WAS NOT NECESSARILY INTENTIONAL. THE IDEA WAS TO BASICALLY KEEP FEES LOWEST. 
          LOW FOR SENIORS, BUT AT THE SAME TIME WE HAVE TO BE ABLE TO MAINTAIN THE SAME FACILITY. 
          SO THIS IS ONE THAT THEY WANT TO HEAVILY LOOK INTO AND DO. 
          AND THIS WOULD GIVE THEM THE LEVERAGE TO BE ABLE TO DO SO. AND THE DIFFERENTIAL BETWEEN
RESIDENT AND NONRESIDENT? BECAUSE OUR TAX PAYING RESIDENTS AND BUSINESSES SHOULD NOT SUBSIDIZE OTHERS WHO DON'T OFFER THESE SERVICES TO THAT DEGREE. 
          YEAH, ALL RIGHT COUNCIL. I THINK THAT'S A VERY GOOD CLEAR DIRECTION ON THAT ONE. AND
THEY'LL BE HAPPY TO HEAR THAT. 
          AND THEY WHEN I BROUGHT THIS TO THEIR ATTENTION THEY SAID,
HERE'S THREE PLANS. 
          SO THEY WERE THEY WERE READY TO JUMP IN HERE AND SAY,
HERE'S HOW WE CAN GET HERE AND KIND OF WHAT IT WOULD LOOK LIKE. AND THEY WERE THE ONES THAT SAID WE COULD MAYBE GET TO COUNCIL, BUT IT WOULD TAKE US A REAL LONG TIME TO GET
THERE. 
          AND THEY SAID FIVE YEARS. AND SO THEY ARE ACTIVELY LOOKING FOR WAYS,
AND THEY JUST NEEDED THE THUMBS UP TO MOVE THAT DIRECTION. 
          I THINK WE GOT THAT TONIGHT. WELL, THEY ALSO HAVE A NONPROFIT GROUP THAT HELPS TO
SUBSIDIZE THEM. 
          SO I'D LIKE TO HEAR MORE ABOUT THE PERCENT THAT THEY BRING IN TO OFFSET SOME OF THESE
EXPENSES TOO. 
          AND COULD ANYTHING BE DONE TO ENHANCE THEIR EFFECTIVENESS AND. 
          ALL RIGHT. SO HERE'S OVERALL THE DATA. IF YOU JUST WANTED TO KNOW WHERE I GOT MY NUMBERS
FROM. 
          THIS WAS ME PULLING ACTUALS. AND THESE ARE THE DIFFERENT LEVELS I LOOKED AT. 
          IT SAID DIRECT COST ESTIMATED INDIRECT COSTS I USE JUST A FLAT MULTIPLIER. 
          VRF IS OUR VEHICLE REPLACEMENT FUND AND THAT'S HOW MUCH THEY SPENT ON EACH INDIVIDUAL ITEM
THIS PAST YEAR. 
          AND THEN PROPERTY TAX SUPPORTED DEBTS. SO IF IT WAS SUPPORTED FROM ANOTHER SOURCE,
I DIDN'T INCLUDE IT. BUT IF IT WAS PROPERTY TAX SUPPORTED, I WENT IN THERE AND FACTORED IT IN. SO SPECIFICALLY FOR THE CAC, THAT IS THE FULL $82 MILLION DEBT SERVICE PAYMENT. 
          WHEREAS IF YOU GO AND LOOK AT, WELL, THAT'S STAGGERED OVER A COUPLE OF YEARS. 
          SO PHASE ONE OF IT. AND THEN. YEAH BECAUSE THAT WAS SORRY,
IT'S $92 MILLION I APOLOGIZE. 
          IT'S NOT THAT FULL AMOUNT. IT'S A LITTLE LESS THAN THAT. 
          SO IT'S FACTORED IN BASICALLY WHAT WE'RE GOING TO DO OVER THE NEXT COUPLE OF YEARS,
AND THEN THE TWIN COVES PARK. 
          THAT $500,000 IS FULL PHASE TWO COST. AND IF WE BONDED ALL OF THAT TOMORROW,
SO SHOULD GIVE YOU SOME UNDERSTANDING OF WHEN YOU RUN THIS ANALYSIS. 
          THIS IS SOMETHING WE WANT TO KEEP DOING EACH YEAR. KEEP SOMETHING GOING TO KEEP LOOKING AT
AND HAVE THE SAME EXERCISE AND MAKE IT A PART OF OUR USUAL BUDGET PROCESS. 
          AND SO THIS HAS BEEN VERY INFORMATIVE. THIS WILL HELP OUR DEPARTMENT HEADS. 
          IT GIVES US CLEAR DIRECTION AND HELPS US KNOW WHERE YOU WANT US TO APPLY PRESSURE AND TO
LOOK AND TO BASICALLY EXPLORE ADDITIONAL REVENUE OPPORTUNITIES. 
          NOW, I CAN'T TELL YOU THAT I'LL BE BACK NEXT WEEK WITH A LONG LIST OF ALL OF THESE THINGS.
SO THESE WILL HAPPEN OVER THE NEXT COUPLE OF MONTHS. SOME OF THESE WILL TAKE SOME TIME, BUT BY NEXT BUDGET ADOPTION, YOU WILL SEE ALL THESE THINGS THAT YOU CALL IN PLACE IN
PRACTICAL EXCEPT ONE THING I WILL SAY IS THE LEGISLATURE HAD A FUN NEW BILL THIS LAST TIME. AND ANY FEE INCREASES HAS TO GO IN THE FRONT COVER OF YOUR BUDGET TO
EXPLAIN HOW MUCH IT SUBSIDIZES YOUR TOTAL BUDGET. 
          SO IT WILL BE YOU'LL SEE A DIFFERENT KIND OF BUDGET COVER. 
          IT'LL BE A LONG DISCLOSURE LIST, BUT I JUST WANTED TO GIVE YOU A HEADS UP. 
          IT'S JUST ANOTHER ONE OF THOSE TRUTH AND TAXATION THINGS THAT'S SUPPOSED TO HELP SOMEONE,
SOMEWHERE DECIDE SOMETHING. 
          SO I THINK THAT'S FINE, THOUGH. I MEAN, OUR RESIDENTS SHOULD UNDERSTAND. 
          AND OUR NONRESIDENTS, IF THEY'RE SO CHOOSE TO READ OUR BUDGET,
THEY NEED TO UNDERSTAND WE'RE NOT MAKING MONEY ON ANY OF THIS. 
          IT'S JUST TRYING TO BE RESPONSIBLE AND SUSTAINING THE SERVICES THAT WE OFFER IN THE
FASHION THAT WE'RE USED TO OFFERING IT. 
          I TRY TO COVER THE COST AT LEAST. NO, ABSOLUTELY. 
          AND SO WE CAN ACTUALLY PROVIDE EXTENSIVE NARRATIVE ON THAT. 
          THAT'S ONE OF THE FEW THINGS IS BECAUSE THEY SAY YOU JUST HAVE TO DISCLOSE IT. SO HOW DO
WE PROVIDE THAT NARRATIVE? AND THERE ARE SOME REPORTED REQUIREMENTS IN THERE. BUT WE CAN BASICALLY PROVIDE CONTEXT THAT THESE ARE TARGETED FOR SPECIFIC COST RECOVERY MODELS. 
          AND THEREFORE WE DON'T BELIEVE THESE ARE OVER AND ABOVE WHAT WE INTEND THE COST OF
SERVICE. 
          AND THIS IS SET BY POLICY. I APPRECIATE THAT. 
          ALL RIGHT. SO I WANT TO TALK ABOUT YOUR OTHER REVENUE SOURCE. 
          AND SO THIS IS THE BIGGEST ONE. AND I DON'T HAVE A LOT OF SLIDES ON THIS. 
          BUT WHEN WE TALK PROPERTY TAXES, IT'S THE BIGGEST ISSUE THAT WE TALK ABOUT. 
          WHEN IT'S THE FIRST THING THAT PEOPLE FEEL WHEN SOMEONE SEES THEIR PROPERTY TAX BILL,
THEY DON'T NOTICE THE DIFFERENCE BETWEEN THE TOWN OR THE SCHOOL OR THE COUNTY OR ANYBODY. 
          THEY JUST SEE THEIR PROPERTY TAX BILL. AND WHEN YOU SEE OUR PROPERTY TAX BILL,
YOU REALLY CAN BREAK IT OUT INTO THREE PARTS. 
          THIS AS I SAID, EVERYONE JUST SEES PROPERTY TAXES. 
          SO UNDERSTANDING OUR BIG PICTURE FOR PROPERTY TAXES,
WE HAVE THREE COMPONENTS RIGHT HERE IN THE TOWN OF FLOWER MOUND. 
          [00:45:05]
WE HAVE MAINTENANCE AND OPERATION, WHICH IS OUR $0.32 INTEREST IN SINKING,
WHICH IS ABOUT $0.5. 
          AND THEN YOU HAVE YOUR TIRZ, WHICH IS A 75% PARTICIPATION OR ROUGHLY $5.1 MILLION A YEAR. 
          SO WITH EACH OF THESE, WE HAVE EXTENSIVE THINGS GOING ON IN THE BACKGROUND. 
          SO IF WE EVER HAD TO EXCEED OUR MAINTENANCE OR OPERATION RATE,
WE WOULD NEED TO GO TO A VOTER APPROVED TAX RATE ELECTION, BECAUSE OUR VOTER APPROVED TAX RATE OF 3.5% ONLY RAISES $2 MILLION,
OR ROUGHLY 2.5% OF EXPENSES. 
          I DON'T KNOW ABOUT YOU, BUT MY GROCERY BILL WENT UP MORE THAN 2.5%. 
          AND SO IT'S INFLATION IS HIGHER THAN THAT. 
          WE BUY CONCRETE. OH THAT'S VERY, VERY GOOD. AND WE'RE ALSO STILL TALKING ABOUT TWO OF OUR
SMALLER FUNDS. 
          OUR UTILITY FUND OUTPACES THIS AND OUTMATCHES THAT,
BUT THE REGULATION ON THAT IS MUCH LESS. 
          AND SO IN YOUR INTEREST SINKING FUND, ONE OF THE THINGS THAT WE'RE TALKING ABOUT IS A
POLICE FACILITY. 
          WE'RE DISCUSSING RIGHT NOW ROUGHLY AN 80 TO $100 MILLION POLICE FACILITY. 
          AND THAT COULD HAVE A TAX RATE IMPACT OF ROUGHLY THREE AND A HALF PENNIES TO FOUR AND A
HALF. 
          SO THIS IS SOMETHING THAT COUNCIL CAN DO WITH CERTIFICATES OF OBLIGATION. 
          OR THEY CAN PUT IT OUT TO THE VOTERS. BUT WE WILL HAVE TO DISCLOSE THAT IT DOES HAVE A TAX
RATE IMPACT. 
          SO I WAS PLANNING AS MUCH AS WE CAN FOR THE DEBT,
THE CAPACITY THAT WE NEED. 
          IF YOU LOOK AT OUR INS RATE, WHERE IT WAS TEN YEARS AGO,
YOU WOULD SEE AN INTEREST RATE CLOSER TO 11, $0.10 TO $0.11. AND SO IT'S HALF OF WHAT IT WAS BEFORE. 
          NOW PROPERTY VALUES HAVE INCREASED SUBSTANTIALLY SINCE THEN. SO WE'VE BEEN ABLE TO FIND
SOME COST SCALES. BUT LARGE HUGE PROJECTS LIKE THIS ARE GOING TO HAVE IMPACTS ON YOUR TAX RATES AND WHERE YOU ARE ABLE TO ABSORB THE LAST BOND ELECTION WITHOUT IMPACTING OUR
VOTERS. 
          BUT I CAN'T GUARANTEE THAT THAT CAN CONTINUE WHEN WE'RE TAKING ON SUCH LARGE EXPENSES. 
          SO THIS IS JUST ONE PIECE OF THE BIG PICTURE. 
          AND LASTLY IS YOUR TIRZ. SO TIRZ NUMBER ONE. WE HAVE TWO TIRZ. 
          BUT TIRZ NUMBER TWO IS NOT REALLY AFFECTING OUR BUDGET RIGHT NOW. 
          BUT TIRZ NUMBER ONE ROUGHLY REPRESENTS $5.1 MILLION THAT WE COULD DEDICATE TO A CULTURAL
ARTS CENTER. 
          THIS WOULD EITHER GET US A SEVEN YEAR TAX NOTE OF $75 MILLION,
OR A 20 YEAR GEO, THOUGH, BECAUSE THERE'S NO OTHER ALLOWABLE WAY YOU COULD GET A 20 YEAR NOTE. THAT'S TAX BACKED ACT AND TAX FREE WOULD BE $100 MILLION. 
          SO THOSE ARE THE TWO OPTIONS THAT WE REALLY HAVE THERE IF WE'RE GOING TO FINANCE DEBT. 
          I CAN'T MIX AND MATCH WITH IT BECAUSE OF THE STAGGERING AND THE KIND OF THE ISSUANCE
TIMELINE WITH THOSE THINGS. 
          AND SO THESE ARE KIND OF THE LIMITATIONS AND THE CAPS ON OUR CULTURAL ARTS CENTER,
IF THIS EVER DID GO OUT TO AN ELECTION AND THEY TURNED IT DOWN THE LEGISLATURE PASSED SOMETHING LAST YEAR. AND IT WAS A LOCAL LEGISLATURE THAT BASICALLY SAID YOU CANNOT GO ASK
THE VOTERS FOR MORE THAN FIVE YEARS AFTER IT FAILS. 
          SO AGAIN, THIS WAS, I BELIEVE, BASED OFF A NUMBER OF NUMEROUS LSID ELECTIONS OR LISD
ELECTIONS. 
          YES CHANGE WHAT THE CHURCH COULD BE USED FOR. AND SO THIS WOULD AFFECT MAINTENANCE AND
OPERATION. 
          I SAY THIS TO ALL SAY THESE THINGS ARE INTERCONNECTED. AND WHEN SOMEONE SAYS TAX RATES,
YOU REALLY HAVE A COUPLE DIFFERENT COMPONENTS AND ALL OF THEM CAN AFFECT THE OTHER ONES. 
          SO IF ONE OF THESE BALLS WENT AWAY, IT WOULD AFFECT YOUR TAX RATE. 
          IF ALL THREE OF THEM HAPPENED, IT WOULD AFFECT YOUR TAX RATES. BUT THESE ARE EACH
DIFFERENT KEY COMPONENTS. 
          SO PARTICULARLY THE TIRZ, IF EITHER OF THOSE DEBT ISSUANCE HAPPENED IT WOULDN'T AFFECT
YOUR TOTAL TAX RATE, BUT THAT REVENUE WOULD BE DEDICATED OVER TO THAT SOURCE. 
          BUT WHAT I'M SAYING IS THAT HERS HAS AN IMPACT ON TOTAL TAXES. 
          AND SO THIS IS JUST TO MAKE COUNCIL WHERE WE HAVE A LOT OF ROCKS IN THE AIR. 
          AND WHEN WE TRY TO STARE AT THIS THING, IT FEELS LIKE WE'RE JUGGLING JUGGLING BOMBS,
BASICALLY LIKE THAT OLD CARTOON, AND YOU'RE SITTING THERE THROWING A BUNCH OF THINGS IN THE AIR,
AND YOU'RE WEIGHING A LOT OF DIFFERENT THINGS, AND YOU HAVE TO WONDER HOW THESE ARE AFFECTING THE OTHER ONES. AND IN REALITY, YOU HAVE A BIG PICTURE. 
          YOU HAVE PROPERTY TAXES. AND SO, SO EACH ONE OF THESE COMPONENTS CAN AFFECT IT IN A
DIFFERENT WAY. 
          AND WE HAVE TO UNDERSTAND KIND OF HOW THOSE INTERMINGLE,
BECAUSE A LOT COULD CHANGE WITH ANY OF THIS. 
          SO WE COULD GO INTO THE NEXT LEGISLATIVE SESSION AND TAX NOTES COULD NO LONGER BE AN
OPTION FOR THINGS WE COULD DO WITH THE CULTURAL ARTS CENTER. SO THAT COULD HAPPEN IN 2027. 
          OUR VOTER APPROVED TAX RATE CAN MOVE DOWN TO 2%. 
          BOTH OF THOSE THINGS WERE TRIED LAST LEGISLATIVE SESSION. 
          THEY COULD TAKE AWAY YOUR ABILITY TO ISSUE CEOS IN THE NEXT LEGISLATIVE SESSION. 
          THEY'VE ACTUALLY TRIED THAT NUMEROUS TIMES. AND SO THE ONLY REASON THEY HAVEN'T WAS
BECAUSE UTILITIES WOULD BE AFFECTED. 
          SO THERE'S BEEN NUMEROUS BILLS THAT WE'VE HAD TO FIGHT AGAINST ACTIVELY TO PREVENT THAT
FROM HAPPENING. 
          SO ALL OF THESE THINGS TO SAY IS THIS IS BASED ON CURRENTLY WHAT WE CAN DO. 
          AND I JUST WANT TO BE ABLE TO LAY IT OUT IN ONE SIMPLE,
EASY WAY TO UNDERSTAND. 
          SO I'M NOT LOOKING FOR ANY DECISIONS ON THIS. 
          I JUST WANT TO LAY OUT KIND OF WHAT'S COMING UP IN THE NEXT FISCAL YEAR. 
          AND JUST TO ADD ON THAT, I MEAN, JUST, YOU KNOW,
SINCE I'VE BEEN HERE, MY PRACTICE IS, IS THAT I WANT US TO BE ABLE TO SEE THE TRAIN MILES AWAY AS IT COMES AROUND THE BEND. AND SO I JUST WANT TO REITERATE,
THERE'S REALLY NO ACTION ITEM ON THIS IN PARTICULAR. 
          AND THERE'S A LOT OF TIME AS WE START PUTTING TOGETHER THE FY 27 BUDGET,
WE HAVE TALKED ABOUT A VATRE, 
          [00:50:01]
BUT JUST ALSO UNDERSTAND IT'S NOT NECESSARILY A FAIT ACCOMPLI THAT WE'RE GOING TO DO THAT. 
          I MEAN, WE'RE OBVIOUSLY GOING TO TAKE A LOOK AT HOW EVERYTHING COMES TOGETHER. WE'RE GOING
TO LOOK AT EVERYTHING IN THIS AGGREGATE. BUT I THINK IT'S JUST IMPORTANT TO KNOW THAT AS WE TAKE A LOOK AT EVERYTHING TOGETHER, WE'RE KEEPING OUR EYE ON THESE BALLS AS THEY'RE UP
IN THE AIR USING THE JUGGLING ANALOGY. 
          SO AGAIN, THIS IS JUST HERE. JUST KIND OF PUT IT OUT THERE JUST TO TAKE IT IN. 
          WE CAN CERTAINLY ANSWER BROAD QUESTIONS ABOUT IT,
BUT PLEASE DON'T FEEL LIKE WE'RE NOT LOOKING FOR DIRECTION ON THESE. 
          WE JUST WANT TO PUT IT IN FRONT OF YOU. YEAH THIS IS ALSO JUST GOOD FOR INFORMATION FOR RESIDENTS BECAUSE MOST OF THE TIME PEOPLE JUST
SEE ONE COMPONENT. 
          THEY JUST SEE THEIR PROPERTY TAX BILL. BUT IN REALITY,
WE HAVE SEVERAL DIFFERENT THINGS THAT WE ARE TRYING TO DO TO IMPROVE THE TOWN. AND SO ALL OF THESE THINGS ARE NOT ONLY IN PROCESS, BUT THEY'RE ALSO UP IN THE AIR DUE TO THE
LEGISLATURE. 
          SO JUST WHEN WE'RE TRYING TO SAY WE KEEP OUR EYE ON THE BALL,
IT'S THE ONE BIG BALL, BUT IT'S THREE LITTLE ONES INSIDE OF IT, TOO. SO THANK YOU GUYS FOR YOUR SUPPORT AND EVERYTHING. 
          THESE CONVERSATIONS REALLY HELP US AND SET UP EASIER CONVERSATIONS TO COME. 
          SO THE BUDGET'S NOT SUCH A MOUNTAIN TO CRAWL OVER. 
          SO WE'LL SPEND A LOT OF TIME TALKING ABOUT ALL OF THESE THINGS. 
          AND AS I SAID, IT'S ROUGHLY 2.5% OF OUR GENERAL FUND REVENUE THAT WE REALLY GET TO FIGHT
OVER OR EVERY YEAR WHEN IT COMES TO THAT NET INCREASE AND WHAT IMPACT IT CAN MAKE. 
          AND SO IT'S INTERESTING THAT THAT'S WHERE WE HAVE ALL OUR FOCUS WHEN WE HAVE A LOT OF
OTHER THINGS THAT MAKE LARGER IMPACTS. 
          BUT YOU HAVE NO AUTHORITY TO BASICALLY DO ANYTHING OUTSIDE OF THAT. 
          SO IT'S IT'S ONE OF THOSE ONES OF OUR BOX HAS GOTTEN MORE NARROW EVERY LEGISLATIVE
SESSION, AND IT MIGHT CHANGE AGAIN. SO WE'LL KEEP YOU UPDATED. 
          AND THIS IS JUST A GOOD WAY TO KEEP EVERYTHING IN FRONT OF MIND. 
          SPEAKING IN FRONT OF MIND. ARE THERE ANY FLOMO CONVOS YOU'RE THINKING ABOUT MAYBE DOING
WITH THIS TOPIC? DEFINITELY. AND AS WE GO THROUGH THE BUDGET PROCESS,
KNOWING THAT IT MAY BE UNIQUE, ESPECIALLY WITH SOME OF THE THINGS WE'RE PURSUING, THERE'S AN EXPECTATION THAT AS WE START TO FORMULATE THE BUDGET,
THAT AT A CERTAIN POINT WE'LL GO OUT AND START ENGAGING THE PUBLIC AND MAKE SURE THEY UNDERSTAND THESE COMPONENTS. I THINK NOT JUST FLOMO CONVOS,
BUT THERE'S SOME THINGS THAT I'VE DONE STRUCTURALLY TO GIVE US MORE TOOLS TO COMMUNICATE WITH THE PUBLIC BY GIVING MORE RESOURCES TO OUR COMMUNICATIONS DEPARTMENT AND THINGS OF
THAT NATURE. 
          SO WE RECOGNIZE THAT ENGAGEMENT AND PUBLIC EDUCATION ARE GOING TO BE A BIG COMPONENT OF
THIS BROADER CONVERSATION. 
          SO WE HAVE EVERY INTENT TO GO OUT THERE AND ENGAGE AS MANY FOLKS AS POSSIBLE. 
          IT'S A CHALLENGE BECAUSE LIKE I SAID BEFORE,
WHEN WE HAVE OUR BUDGET HEARINGS, WE MIGHT HAVE 1 OR 2 PEOPLE AND IT'S PRETTY DARN IMPORTANT. AND SO IT'S NOT FROM A LACK OF EFFORT FROM THE TOWN'S PART,
TRYING TO GET PEOPLE MORE ENGAGED IN THE PROCESS. 
          AND SO WE'RE GOING TO TRY SOME DIFFERENT APPROACHES THIS YEAR TO SEE IF WE CAN GET MORE
ENGAGEMENT AND MAKE SURE THAT WE'RE GETTING FEEDBACK ON SOME OF THESE BIGGER ISSUES THAT WE'RE LOOKING AT. THANK YOU. I APPRECIATE THAT THERE'S A GROWING ONLINE CONTINGENT OF
PEOPLE PUSHING FOR ELIMINATING ALL PROPERTY TAX. 
          AND SO I KIND OF DIP MY TOE IN THERE ONCE IN A WHILE AND SAY,
WELL, HOW ARE YOU GOING TO PAY FOR SHARED SERVICES? NO ONE HAS AN ANSWER THAT ADEQUATELY MODELS WHAT THE EXPENSES ARE TO MAINTAIN THE SERVICES
AS THEY ARE TODAY. 
          NO ONE CAN EXPLAIN IT, BUT YET THEY'RE ANGRY AND THEY'RE LOUD AND THEY'RE GROWING. 
          SO WE MIGHT NEED TO BE AWARE OF THAT AS WELL. 
          AND THEY'RE IMPRESSING AT THE LEGISLATURE. YEAH. 
          AND ALONG THOSE LINES, WHEN IT COMES TO THE LEGISLATURE,
THAT'S SOMETHING THAT GETS KICKED AROUND AND, AND CANDIDLY, AS ASININE OF A CONCEPT THAT, THAT IS IT,
IT GAINS TRACTION EVERY SESSION. 
          AND SO ONE OF THE THINGS IN WORKING WITH OUR LOBBYISTS,
AS WELL AS SOME OF OUR RESOURCES TO MAKE SURE PEOPLE UNDERSTAND THIS IDEA THAT ELIMINATING PROPERTY TAXES DOES NOT GET RID OF OUR BILL,
OF WHAT WE HAVE TO DO JUST TO PROVIDE CORE SERVICES. 
          YOU'RE GOING TO HAVE TO SUPPLANT THAT REVENUE WITH SOMETHING ELSE. AND SO IF YOU GET RID
OF PROPERTY TAXES, GUESS WHAT? YOU'RE GOING TO GET FEES OR TAX [LAUGHTER] SOME OTHER WAY,
WHETHER IT'S SALES TAX GOING UP OR WHAT ENDS UP HAPPENING. 
          AND JOHN AND I WERE TALKING ABOUT THIS EARLIER TODAY. YOU LOOK AT WHAT CALIFORNIA DID IN
THE 70S AND 80S. 
          THEY STARTED CHARGING MORE FEES TO PEOPLE. SO THERE'S A GENERAL IDEA THERE'S A COST OF
DOING BUSINESS. 
          AND WE GET SO WRAPPED AROUND THE AXLE ON PROPERTY TAXES,
WE STILL HAVE THE COST OF DOING BUSINESS. 
          THERE'S NOT AN IDEA THAT YOU CAN REMOVE REVENUE,
AND WE'RE SUPPOSED TO CONTINUE TO MAINTAIN OUR SERVICE LEVELS. 
          AND SO WE ARTICULATE THAT TO OUR DELEGATION AND OTHER LEGISLATORS OUT THERE. 
          AND SO IT'S PART OF THAT KIND OF BROADER CONVERSATION. SO AS THOSE THINGS COME UP,
THERE'S NOTHING WRONG WITH THE EXERCISE. 
          THERE'S NOTHING WRONG WITH THE PERSPECTIVE. BUT YOU KNOW. [LAUGHTER] I'LL PUT TO YOU LIKE
THIS. 
          WE HAVE TO DEAL IN REALITY. I CAN'T JUST THROW A CONCEPT OUT AND WALK OFF AND GO DO
SOMETHING ELSE. 
          THIS IS WHAT WE DO. AND SO WE GOT TO DEAL WITH THE REALITY OF THE REALITY OF TRYING TO
PROVIDE THESE LEVELS OF SERVICES WITHOUT THESE, THESE CERTAIN COMPONENTS. SO IT'S A CHALLENGE AND LIKE I SAID,
I APPRECIATE Y'ALL SUPPORT AND DIRECTION ON THIS. 
          AND WE'RE TRYING TO PUT RESOURCES BEHIND THERE TO BETTER EDUCATE,
BETTER TELL THE STORY AND HELP PEOPLE UNDERSTAND. 
          I MEAN, AT THE END OF THE DAY, IT'S A POLICY DECISION. 
          YOU AS A COUNCIL MAKE THE DECISIONS ON WHERE WE SET THE BAR. 
          [00:55:02]
BUT IT'S HARD, YOU KNOW, WHEN Y'ALL WANT TO MAKE THAT DECISION,
WHEN YOU HAVE PEOPLE WHO NEVER SET FOOT IN OUR COMMUNITY IMPACTING THAT IN A GREAT, GREAT DEAL. AND THAT'S THE THAT'S THE BIGGEST CHALLENGE. AND SO I SLOWLY GOT ON MY
SOAPBOX. 
          I'M SLOWLY GET OFF OF IT [LAUGHTER] BUT. 
          BUT YOU KNOW, JUST AGAIN, IT'S THAT EDUCATION IS THE KEY. 
          AND WE'RE GOING TO STEP UP OUR GAME GOING INTO NEXT YEAR AND MAKING SURE PEOPLE
UNDERSTAND. 
          HERE'S THE DIRECT RAMIFICATIONS TO YOU AS A FLOWER MOUND RESIDENT,
IF SOME OF THESE CONCEPTS GO THROUGH, SOME OF THESE BILLS COME UP, WE HAVE TO TELL THAT STORY. WHAT WE DON'T WANT IS SOMETHING
TO PASS. AND PEOPLE SAY, WHY DIDN'T YOU SAY ANYTHING? OH MY GOSH, I DIDN'T KNOW THIS WAS GOING TO HAPPEN. AND SO THAT'S IT'S NOT JUST A FLOWER MOUND THING. 
          IT'S EVERY MUNICIPALITY IN THE STATE OF TEXAS IN THE SAME BOAT. 
          AND THOSE OF YOU THAT HAD A CHANCE TO GO TO TML AND SEE SOME OF THESE CONVERSATIONS IS,
IS THAT THERE ARE SOME COMMUNITIES THAT HAVE DONE A GREAT JOB AND WE'RE ENGAGING THEM. 
          WE'RE SEEING THEIR PLAYBOOK, AND WE DEFINITELY WANT TO TRY TO REPLICATE IT TO EDUCATING
OUR RESIDENTS ON THOSE ISSUES. 
          THEY THEY MIGHT AGREE OR DISAGREE WITH WHAT WE HAVE,
BUT WE HAVE AN OBLIGATION TO AT LEAST EDUCATE. 
          THEY CAN MAKE THEIR OWN DECISIONS AFTER THAT. THANK YOU I'VE GOT ONE THING TO SAY ABOUT THE IDEA OF ELIMINATING PROPERTY TAXES. 
          AND SO OUR HIGHEST OFFICE, THE GOVERNOR HAS PUT FORWARD A PLAN,
AND HE SAID HE'S GOING TO ELIMINATE PROPERTY TAXES. 
          YOU NEED TO GO LOOK AT THE PLAN BECAUSE IT'S NOT ELIMINATING PROPERTY TAXES. IT IS. 
          WELL, WE'RE GOING TO TAKE CARE OF SCHOOL PROPERTY TAXES. WELL,
WE'RE GOING TO TAKE CARE OF SCHOOL PROPERTY TAXES. WELL, WE'RE GOING TO JUST TAKE CARE OF THIS ONE SMALL PORTION. SO EVEN THE PEOPLE WHO ARE
TRYING, THE MORE RATIONAL PEOPLE WHO ARE SCREAMING THAT WE'RE GOING TO ELIMINATE PROPERTY TAXES.
IN REALITY, THEY'RE TRYING TO GET RID OF ANYTHING THAT THE STATE WOULD NORMALLY PAY FOR. 
          SO THEIR PLAN IS NOT FULL PROPERTY TAX ELIMINATION. 
          IT'S JUST SCHOOL MAINTENANCE AND OPERATION, PROPERTY TAX ELIMINATION. 
          AND THEN THEY'LL COME AFTER US AND LOWER IT DOWN TO 2% AND AS YOU KNOW, AND ANYONE WHO WENT TO AUSTIN THIS YEAR,
EVEN THE LEGISLATORS DON'T UNDERSTAND THE DIFFERENCE BETWEEN MUNICIPAL, COUNTY, COMMUNITY COLLEGE, HOSPITAL AND, YOU KNOW,
SCHOOL TAXES. 
          THEY JUST LUMP IT ALL TOGETHER. THEY HAVE NO IDEA WHERE THINGS ACTUALLY NEED TO GO. 
          IT'S JUST PROPERTY TAXES. JUST PROPERTY TAX. THANK YOU GUYS FOR THIS DISCUSSION AND I
APPRECIATE IT. 
          THIS HELPS US WITH OUR BUDGET CONVERSATIONS MOVING FORWARD. THANK YOU. THANK YOU. GREAT
KICKSTART FOR BUDGET YEAR ALL RIGHT. DOES ANYBODY HAVE ANY OTHER QUESTIONS NOPE. OKAY. THE TIME IS 6:57 
* This transcript was compiled from uncorrected Closed Captioning.