[2. CITIZENS INPUT]
[00:00:22]
>>, WE'RE GOING TO GO AHEAD AND START WITH CITIZENS AND PUT INFORMS HER OUTSIDE THE DOOR THE TABLE IN THE CITY HALL CONFERENCE ROOM. IF YOU WILL WISH TO SPEAK, FILL THAT FORM OUT. WE DO HAVE ONE CITIZEN FORM. STANDUP, STATE YOUR NAME AND
CITY OF RESIDENCE AND YOU WILL HAVE THREE MINUTES. >> HONORABLE COUNSEL, MARK PTACEK. I WANT THE CITY COUNCIL TO TRADE AN ORDINANCE TO RELEASE ARE EXEMPT ALL RESIDENTS WHO HAD SHEDS BUILT PRIOR TO ROLE FOR SHEDS UNDER 200 FT.÷. THIS IS LED HUNDREDS A SHEDS TO BE VULNERABLE TO CITATION DUE TO THE CITY'S LACK OF PROCESS PRIOR TO IMPLEMENTATION. IN PARAGRAPH FOUR, A LACK OF PERMIT REQUIREMENT HAS RESULTED IN PROLIFERATION OF ACCESSORY STRUCTURES THAT ARE OFTEN INAUDIBLE ] SETBACK REQUIREMENTS ARE THAT HAVE BEEN CONSTRUCTED AND RIGHT OF WAYS ALL OF WHICH COULD HAVE BEEN AVOIDED BY A PERMIT REVIEW AND APPROVAL PROCESS. THESE ARE THE WORDS OF THE CITY. RESIDENTS SHOULD NOT BE HELD LIABLE FOR A SITUATION THE CITY ITSELF CREATED. THAT WOULD INCLUDE SETBACKS IN SIZE. WHERE IS THE EQUITY AND EQUALITY THAT THE CITY OF ROWLETT WANTS TO PORTRAY WITH THE PROSECUTION OF ONE INDIVIDUAL . THIS IS NOT
EQUITY OR EQUALITY. >> OKAY, THANK YOU. ANYBODY ELSE WISH TO SPEAK? ALL RIGHT
[3A. Presentation of the Fiscal Year 2025 (FY2025) Proposed Budget.]
THEN WE WILL START WITH OUR FIRST ITEM PRESENTATION OF THE FISCAL YEAR 2025 BUDGET.>> GOOD EVENING, MAYOR . MEMBERS OF THE CITY COUNCIL. IT IS THAT TIME OF YEAR AGAIN WHERE ONE OF THE MAJOR FUNCTIONS OF THE CITY MANAGER IS TO PROPOSE TO YOU A BUDGET FOR YOUR CONSIDERATION AND AS YOU MAY RECALL WE'VE HAD A NUMBER OF DISCUSSIONS AND WORK SESSIONS REGARDING THIS TOPIC. WHEN I ARRIVED IN THE CITY JUNE OF LAST YEAR ONE OF THE THINGS I MENTIONED AT THAT TIME WAS THE NEED TO RE-EXAMINE HOW WE BUDGETED NOT NECESSARILY THE DETAILS OF THE DAY TODAY BUT PHILOSOPHICALLY . TO DO THAT I WOULD'VE NEEDED YOUR SUPPORT AND AS YOU ALSO KNOW WE BEGAN SOME PRETTY SIGNIFICANT DISCUSSIONS IN DECEMBER OF 23 THAT HAVE BASICALLY BORN THE FRUIT THAT YOU WILL SEE BEFORE YOU IN THIS FISCAL YEAR 25 PROPOSED BUDGET AS YOU HAVE SEEN SOME VERSIONS OF IT PRIOR. WE HAVE TO START WITH THE FACT THAT THIS IS ULTIMATELY GOING TO BE YOUR BUDGET. I'M GIVING THIS BUDGET TO YOU FOR YOUR CONSIDERATION. IT CONTAINS YOUR INPUT AS YOU KNOW FROM SOME OF THOSE VISIONING SESSIONS, SOME OF OUR CONVERSATIONS, BUT ULTIMATELY THIS IS PROPOSE TO YOU. YOU ADOPTED, IT IS YOUR BUDGET AND THEN WE ADMINSTER THIS BUDGET. LET'S TALK ABOUT SOME OF THE CHALLENGES. I THINK EVERY CITY IS FACING REALLY SOME OF THE SIMILAR CHALLENGES WITH RESPECT TO OUR FUTURE FINANCIAL CONDITIONS. I THINK WHEN WE LOOK BACK AT FISCAL YEAR 2024 AND OUR CONVERSATIONS THERE AND WE HAVE SOME CHALLENGES AND I THINK THE NUMBER ONE TASK FOR ME AT THE TIME WAS TO ARREST THE FINANCIAL CONDITION. I WOULD CERTAINLY NOT LABEL IT FREEFALL. THAT WOULD BE OVERLY DRAMATIC. THE CITY WAS STABLE AND FISCAL YEAR 24 BUT I THINK WE WERE LOOKING AT FUTURE FINANCIAL CONDITIONS AND THEY DID NOT BEAR OUT IN A SUSTAINABLE MANNER. WE'VE HAD SOME CHALLENGES THAT THE COUNCIL AND ADMINISTRATION IN THE PAST HAVE BEGUN TO ADDRESS WITH RESPECT TO EMPLOYEE RETENTION AND ATTRACTION AND OF COURSE SOME OF THE COMMENTS ARE IT MARKET RATE INCREASES THAT YOU HAVE GIVEN. LAST YEAR YOU GAVE A PRETTY SIGNIFICANT INCREASE. THAT REALLY WAS VERY HELPFUL IN BRINGING US NOT QUITE TO PARITY BUT CLOSE TO PARITY IN MANY RESPECTS, BUT THAT IS ALWAYS A CHALLENGE, PARTICULARLY WITHIN THE PUBLIC SAFETY POLICE SECTOR. ESPECIALLY THIS PAST YEAR, THAT MARKET HAS MOVED AT LIGHT SPEED . THE GROWTH, THE CLASSIC CITY DOUBLE-EDGED SWORD, RIGHT. IT BRINGS ADDITIONAL REVENUES, CITIZENS AND THOSE THINGS THAT COME WITH IT BUT OF COURSE, GROWTH BRINGS ADDITIONAL CHALLENGES AND THAT, TOO, IS A TREMENDOUS ISSUE FOR US. IT HAS
[00:05:02]
BEEN FOR SOME TIME THE CITY HAS EXPERIENCED GROWTH SPURTS OF 6.5% AVERAGE OVER THE LAST FOUR YEARS, FASTEST GROWING IN DALLAS COUNTY. THAT'S A GREAT THING TO SAY. IT MEANS PEOPLE WANT TO CALL ROWLETT HOME AND DO BUSINESS HERE AND IT DOES COME WITH OPERATIONAL AND FINANCIAL CHALLENGES AND UTILITY RATES CONTINUE TO BE A CHALLENGE. OF COURSE WE ARE A CUSTOMER IN TERMS OF THE SERVICES WE ARE PURCHASING AND AS A CUSTOMER CITY TO THE DISTRICT SO UTILITY RATES ARE CHALLENGING TO US WITH RESPECT BOTH TO THE FACT THAT WE CANNOT CONTROL THE WATER RATES AND THERE ARE SOME DISCUSSIONS WE HAVE HAD MANY TIMES AND WILL HVE AGAIN HERE SOON WITH RESPECT TO RATES, THEY ACTUALLY CAME IN A BIT MORE FAVORABLE THAN OUR INITIAL PROJECTIONS, WHICH HELPED, BUT IT IS STILL A CHALLENGE IN OUR WASTEWATER RATES AND WE'VE TALKED ABOUT THIS, AND CAN MORE, IF YOU WISH . WHILE NOT GROWING AT THE SAME RATE, WE RECOGNIZE THAT OUR ACTUAL CHARGES HAVE FAR EXCEEDED OUR EXPECTATIONS AND DOES POSE SOME CHALLENGES TO US OPERATIONALLY THAT WE ARE GOING TO BE PREPARED TO ADDRESS AND NAME FISCAL YEAR 24 GOING INTO FISCAL YEAR 25. SO, LET'S JUMP INTO THE BASE OF THE BUDGET AND THAT IS THE TAX RATE YOU LEVY ON TO THE CITIZENS. AS YOU MAY RECALL, AT OUR LAST MEETING WE ASKED FOR THE CONSIDERATION OF THE ESTABLISHMENT OF A TAX CEILING. THAT IS NOT WHAT WE ARE PROPOSING TO FUND THE MAINTENANCE OPERATIONS THIS BUDGET PROPOSES TO MAINTAIN A STEADY MAINTENANCE AND OPERATION TAX RATE. 53 CENTS PER 100,000 VALUATION AND THEY ONLY INCREASE IN THE INS RATE IS UP PROXIMATELY A 5% INCREASE ESTABLISHED BY THE VOTERS WHICH WOULD ULTIMATELY TAKE US CLOSE TO $.27 ACROSS THE THREE-YEAR PERIOD BRINGING US TO A TOTAL AD VALOREM TAX ATE AS YOU SEE BEFORE YOU APPROXIMATELY $.76. SO WHAT I'M GOING TO DO IS SHOW YOU MOST OF OUR RESPECTIVE FUNDS. I WILL GO INTO DETAIL A LITTLE BIT MORE WITH THE LARGER MORE IMPACTFUL FUNDUS, AND THE GENERAL FUND IS HOW WE FOUND -- FUND THE MAJORITY OF OUR OPERATIONS AND LOOK HERE ON THE LEFT SIDE , WHAT WE ARE PROPOSING IS TO BEGIN OUR FISCAL YEAR WITH AND FISCAL YEAR 24 WE ANTICIPATED APPROXIMATELY $16 MILLION OF ENDING RESERVES AND OF MODIFIED THE BUDGET TO APPROXIMATELY $19 MILLION IN HERE NOW AS WE LOOK FORWARD, WE HAVE BEEN ABLE TO SAVE MONEY IN MANY WAYS AND ARE BEGINNING RESERVES ARE EXPECTED TO BE APPROXIMATELY $21 MILLION. REVENUES, $70 MILION BALANCED AGAINST EXPENSES OF NET CHANGES $6.28 MILLION. THE ENDING RESERVE BALANCES ANTICIPATED TO BE $27.8 MILLION FUNDING 45% RESERVES IN OUR RESERVE FUND. LET'S TALK ABOUT SOME MAJOR INITIATIVES IN THE GENERAL FUND AND AGAIN YOU'VE BEEN A SIGNIFICANT PART OF THIS CONVERSATION. YOU APPROVE AND AUTHORIZE SIGNIFICANT COMPENSATION FOR SWORN IN COMMUNICATIONS OFFICERS IN HER POLICE DEPARTMENT. WE WERE ABLE TO MAKE SIGNIFICANT ROUNDS UP THERE ONCE THIS GOES INTO EFFECT, OUR TOPIC WILL BE ABOUT $102,000 PER YEAR, PLACING US NEAR THE TOP OF THE MARKETPLACE. NOT AT THE TOP COMPETITIVELY BUT WITHIN THE TOP TIER OF THE MARKETPLACE.SOME OTHER IMPACTS OF THE GENERAL FUND, WE ABSORBED THE SAFER GRANT BUT ALSO COMING OFF THE SAFER GRANT AND FISCAL YEAR 25 SO THAT IS IMPACTING THE GENERAL FUND. YOU'VE ALSO GIVEN US YOUR APPROVAL FOR MARKET AND MERIT PAY ENHANCEMENTS, APPROXIMATELY $500,000. COMPENSATION AND ANOTHER INITIATIVE TO TRY TO STANCH ATTRITION IN OUR WORKPLACE WITH RESPECT TO OUR PUBLIC WORKS ROUTE BECAUSE WE WERE LOSING EMPLOYEES THERE PROBABLY THE SECOND FASTEST BEHIND THE POLICE DEPARTMENT SO WE HAVE AGREED TO ALLOW US TO ENHANCE THEIR COMPENSATION TAKING THEM FROM FAR BELOW MARKET RATES TO REALLY, ABOVE THE AVERAGE. YOU'VE ALSO ALLOWED US TO ADD 8.5 FULL-TIME POSITIONS HERE. YOU CAN SEE THE THREE COMMUNICATIONS OFFICERS AND OTHER POSITIONS GOING ON THE LINE THERE APPROXIMATELY $645,000 AND ONGOING COSTS. I MENTION THAT BECAUSE WITH ALL OF THOSE COMBINED, WE ARE STILL LOOKING AT A NET CHANGE $6.2 MILLION AND THAT IS BORNE BY SOME OF THE WORK THAT WE PUT IN AN EARLIER FOR YOU WERE WILLING TO ENGAGE IN A PARADIGM SHIFT
[00:10:03]
AND SOME OTHER THINGS THAT WE DID. YOU SEE $4.2 MILLION OF THAT 6 MILLION AS ONE-TIME MONEY SO IT'S NOT REALLY MONEY WE WANT TO SPEND ON ANY ONGOING PROGRAMS OR PERSONNEL. IT IS STUFF THAT IN TIME, MONEY WE COULD USE FOR CAPITAL PURCHASES OR ONE-TIME EXPENDITURES IF THE NEED WERE TO ARISE AD YOU CAN ALSO SEE WHERE ADDING $2.1 MILLION TO OUR RESERVE BALANCE.I WILL PAUSE IF IT PLEASES THE COUNSEL , FOR QUESTIONS BEFORE GOING ON OR HOWEVER YOU WANT ME
TO DO IT. I CAN CONTINUE. WHAT IS YOUR PLEASURE? >> COUNCIL?
>> OKAY, YOU CAN SEE HERE OUR RESERVES IN MORE DETAIL. I WILL HIT SOME HIGHLIGHTS. WE ARE ANTICIPATING 10% TAXABLE INCREASE. THAT'S WHAT WE GOT BACK. AS WE HAVE HAD A NUMBER OF DISCUSSIONS ABOUT OUR NEED TO EXPAND AND CHANGE HOW WE DO DEBT AND DEBT STRUCTURING AND WE TALKED ABOUT THAT CAPACITY, THAT DEBT CAPACITY WAS BASED ON AN ASSUMPTION. THAT ASSUMPTION WAS YOUR ONE GROWTH WOULD BE 8%. YOU TWO, 2%. YEAR THREE, 2%, AS WELL. THANKFULLY WE ARE ALREADY AHEAD OF THAT CURVE IN THOSE PROJECTIONS. YOU CAN SEE GROWTH IN SALES TAX, FRANCHISE FEES MOSTLY DUE TO STORM. WE DON'T EVER WANT TO BE OVERLY RELIANT ON THAT. THAT NUMBER WILL START TO SHRINK. IN FACT, WE REDUCED OUR ESTIMATE FROM WHAT THE ACTUAL PRO FORMA SHOWED US IN AN ATTEMPT TO BE MORE CONSERVATIVE. WE ARE STILL IN THE HIGH GROWTH PHASE FOR THE CITY AND SO THAT CONTINUES TO DRIVE US BUT WE HAVE TO BE CAUTIOUS.
A SUSTAINABLE REVENUE SOURCE. SAME WITH RESPECT TO INTEREST EARNINGS. THEY WERE SIGNIFICANTLY HIGHER. ONE OF THE POSITIVE BYPRODUCTS WOULD BE HIGH INTEREST RATES AND MORE WITH RESPECT TO INTEREST EARNINGS BUT THERE AGAIN WE DON'T WANT TO BECOME INAUDIBLE ] WITH RESPECT TO FUNDING OPERATIONAL ENHANCEMENTS FROM THOSE REVENUES. IN TRANSFERS YOU CAN SEE IT AS WELL HERE . I MERGED A NUMBER OF THE FUNDS YOU'VE SEEN IN THE PAST. THE ECONOMIC DEVELOPMENT FUND STILL EXISTS BUT IT EXISTS SOLELY AS AN ECONOMIC DEVELOPMENT INCENTIVE. IT HERE YOU SIDE AS AN OPERATIONAL FUND THAT ALSO DISPENSED INCENTIVES. WHAT WE DID IS MOVED APPROXIMATELY $850,000 IN EXPENSES OVER. THAT HAD A FUND BALANCE OF $2.3 MILLION. WE LEFT $1 MILLION IN THAT FUND. WE WILL SEE THAT FUND LATER FOR YOUR DECISIONS WITH RESPECT TO INCENTIVES. ALSO THE INSPECTION FEE FUND, ANOTHER FUND YOU ARE FAMILIAR WITH. THAT FUND IS BASED OFF OF FEES COLLECTED FOR INSPECTION SERVICES FOR INFRASTRUCTURE. AGAIN, HERE TO NOT A SUSTAINABLE REVENUE SOURCE. YOU WILL SEE LATER ON APPROXIMATELY FIVE EMPLOYEES WERE FUNDED THROUGH THAT FUND. ULTIMATELY THOSE ARE GENERAL FUND REVENUES. I WAS A LITTLE BIT OF A SURPLUS, ABOUT $1 MILLION IN SURPLUS BROUGHT TO THE GENERAL FUND AND WE BROUGHT OVER $250,000 FROM THE DISASTER FUND, STILL LEAVING THE ADDITIONAL MONEY IN THAT FUND BUT THERE IS STILL SOMEWHAT STALE MONEY SITTING IN THAT FUND WITHOUT QUALIFYING PURCHASES TO MATCH SO WE WANTED
TO ACTIVATE THAT FUNDING THEREIN. >> QUESTION. SO, THE SALES TAX
I THINK WE JUST GOT RECENT NUMBERS IN. >> DOWN THIS MONTH.
>> AND I KNOW WE ARE DOWN OVERALL. >> 4% PROJECTIONS OVERALL.
>> SO, WE ARE PROJECTING 4% GROWTH. I THINK HISTORICALLY THAT'S PROBABLY A LITTLE BIT MORE CONSERVATIVE, WHICH IS GOOD BUT I CAN'T REMEMBER WHAT THE AVERAGE PROJECTION
INCREASES. >> PROJECTION INCREASE? >> I WAS JUST CURIOUS IF YOU
HAD THAT ON THE TOP OF YOUR HEAD. >> I DON'T REMEMBER BUT WE
CERTAINLY TOOK A CONSERVATIVE APPROACH. >> I THOUGHT 4% WAS A SAFE BET,
ESPECIALLY GIVEN OUR RECENT REPORTING SO. >> SO SOME PEOPLE MIGHT LOOK AT THIS AND SAY ON YOUR PRIOR SLIDE BEFORE THIS ONE, YOU HAVE EXPENSES, WHICH I KNOW WE ARE ABOUT TO GET TO, 66248, AND WE ARE PROPOSING SEVEN 536 WHICH IS THAT DELTA OF ALMOST 6.5 MILLION. OUR ADOPTED REVENUE FROM 2024 IS ABOUT 66 MILLION AS WELL SO THE QUESTION MIGHT BE WHY ARE WE BUILDING UP CASH? IS THERE A NEED OR DESIRE TO BUILD UP CASH AND BOLSTER OUR
FUND OUTS? >> IT'S A GREAT QUESTION. THERE IS A NEED. IF YOU GO BACK
[00:15:02]
TO LAST YEAR, ONE OF THE THINGS WE TALKED ABOUT IS WHAT OUR MODELING WAS SHOWING. YOU'VE GOT TO TAKE MODELING WITH A GRAIN OF SALT, BUT IT IS IMPORTANT. WE KNOW WE HAVE TWO FIRE STATIONS TO BUILD. ONE IS IN PROCESS. WE HAVE THE PEOPLE FOR THOSE. WE HAVE ANOTHER IN THE NORTH THAT WE ARE GOING TO HAVE TO STAFF SO WE HAVE COSTS THAT ARE COMING TO US. WE HAVE TO CONTINUE TO GROW OUR POLICE DEPARTMENT. WE HAVE TO CONTINUE TO GROW OTHER AREAS OF OPERATION. WE CAN PRIDE OURSELVES ON BEING THE LEGAL CITY BUT IF THERE COMES A POINT OF NO RETURN WHERE THAT IMBALANCE BEGINS TO HURT US AND WE ARE ALMOST THERE SO WE ARE BUILDING THIS UP. WE SHOWED IT LAST YEAR A FUND BALANCE AND NOW WE ARE NOT SO WE ARE BUILDING THAT TO CUSHION US. WE CERTAINLY ARE PROBABLY NOT GOING TO IN THE NEXT COUPLE OF YEARS WAS $27 MILLION IN THE BANK BECAUSE A LOT OF THAT IS GOING TO GO FUND OPERATIONS WHERE THERE IS A GAP. WHERE THIS HAPPENED IS THE CITY GOT AHEAD IN SOME RESPECTS OF THE GROWTH WE ARE ANTICIPATING AND IS STILL CERTAINLY SEEMS TO BE COMING BUT WE GOT AHEAD OF OURSELVES IN SOME WAYS AND IT PLACES US IN UNSTABLE FOOTING SO REMEMBER THIS LOOKS GREAT TODAY BUT LAST YEAR WE WERE NOT LOOKING THIS WAY SO WE ARE NOT SQUIRRELING THE MONEY AWAY JUST TO HAVE IT.WE'RE PUTTING IT HERE BECAUSE WE KNOW THERE MAY BE SOME LEANER YEARS WHERE WE STILL HAVE TO FUND THESE INCREASES, ADDITIONAL PERSONNEL AND OTHER THINGS AND WE WANT TOMAKE SURE WE HAVE THE MONEY TO DO THAT. >> YES, AND JUST A LITTLE BIT MORE ON THAT AND WE ALL KNOW HERE BECAUSE WE WERE ALL PART OF THE CONVERSATION LAST YEAR, I THINK IT'S A GOOD QUESTION TO ASK BECUSE THERE ARE GOING TO BE OTHER PEOPLE WONDERING THE SAME THING. WE ARE NOT DOING THE SAME THING THAT THE STATE OF TEXA DOES WHERE WE ORDER A BUNCH OF MILLIONS OF DOLLARS FOR NO REASON BUT AS YOU SAID, WE WERE LOOKING AT FUTURE MODELS AND I THINK THE MODELS WERE PRETTY SOBERING. 25 THROUGH 27 WE WERE LOOKING AT POSSIBLE DEFICIT OR DEFINITELY A SIGNIFICANT REDUCTION IN OUR FUND BALANCE.
>> YES, WHICH YOU KNOW, THAT IS A DISASTER WAITING TO HAPPEN. IF WE DID NOT ADDRESS IT, SO I THINK THE APPROACH WE HAVE TAKEN HERE YOU KNOW, AS MUCH AS WE WANT TO SEE OUR TAX RATE LOWER AND WE DON'T WANT TO RAISE OUR TAX RATE, WE HAVE TO FUND THE GOVERNMENT. WE HAVE TO FUND SERVICES IN ORDER TO PROVIDE THAT TO OUR CITIZENS AND WHAT WE DON'T WANT TO SEE IS US PUT IN A TERRIBLE POSITION FINANCIALLY WHERE WE ARE GOING TO HAVE TO CUT
SERVICES. >> TO THAT POINT, OUR CURRENT MODELING SHOWS US IN THE
DEFICIT >> CHANGE POSITION IN TWO YEARS. IT IS ULTRACONSERVATIVE.
IT IS AND IT CERTAINLY DOES NOT INCLUDE A SIGNIFICANT AMOUNT OF REVENUE ENHANCEMENTS BUT NONETHELESS IT IS SHOWING A NET NEGATIVE CHANGE AND SO THIS IS BEING DONE TO CUSHION AGAINST THOSE IMPACTS BECAUSE IT COULD VERY WELL COME TO FRUITION. WE STILL HAVE TO ADD SOME OF THESE POSITIONS. THAT IS JUST A NECESSITY, SO THAT IS WHY IT IS BEING DONE.
>> ANYTHING ELSE? SO AGAIN, WE'VE GONE OVER THE REVENUES. WE WILL TALK QUICKLY ABOUT THE EXPENDITURES. AGAIN YOU AUTHORIZED US FOR EMPLOYEE PAY, MERIT STEP INCREASES. WE'VE ADDED 27 ADDITIONAL EMPLOYEES, NOT ALL ME. AGAIN WE TALKED ABOUT SOME OF THE IMPACTS OF CONSOLIDATION OF FUNDS FOR THE TOTAL IN OF GRANTS OR OTHER THINGS AND YOU CAN SEE THAT LIST THERE. THOSE ARE THE ONLY NEW FTES HERE IN THIS FUND , NOT FIREFIGHTERS FROM AN EXPIRING GRANT.
CONSOLIDATION FROM THOSE RESPECTIVE FUNDS. FIVE AND HALF, THREE AND A HALF EMPLOYEES RESPECTIVELY. YOU ALSO INCREASE THE FUNDING TO STRATEGIC PARTNERS AND BOARD SO THOSE ARE SOME OF THE ENHANCEMENTS. LET'S TALK ABOUT SOME OF THE THINGS WE DID WITH RESPECT TO TRANSFERS. WE MADE SIGNIFICANT CHANGES THERE. WE ELIMINATE THE GOLF FUND TRANSFER. FUNDED SOME CAPITAL IMPROVEMENTS THERE WHICH IS YOUR PREROGATIVE YEAR-OVER-YEAR. BUT WE DID NOT WANT TO DO IS BUDGET IS JUST THIS OUTRIGHT EXPECTED TRANSFER . WE HAVE AN APARTMENT IN AGC WHO IS ULTIMATELY BECOMES RESPONSIBLE FOR THE COUNCIL.
WE'VE ELIMINATED THE TRANSFER AND REPLACEMENT FUND. AGAIN YOU THANKFULLY HAVE ALLOWED US TO RIGHT SIZE THAT IN TERMS OF MOVING TOWARD THE PARADIGM WHICH IS . . WE'VE ELIMINATED THE ECONOMIC DEVELOPMENT DEPARTMENT TRANSFER AGAIN THAT WAS TAKEN FROM THE LEFT PARK IT AND PUTTING IT IN THE RIGHT POCKET FOR NO OPERATIONAL BENEFIT. THERE WERE PROBABLY A BUNCH OF BENEFITS THAT DON'T BENEFIT US FINANCIALLY. I CALL IT A SHELL GAME. I DIDN'T WANT TO DO THAT SO WE STOPPED THAT AND AGAIN THE BIGGER PART OF WHAT YOU ALLOWED US TO DO WITH
[00:20:02]
RESPECT TO CHANGING THE PARADIGM OF DEBT IS TRANSFERRING THE $3 MILLION IN CAPITAL CASH, CIP MONEY FROM THE GENERAL FUND TO FUND LEGITIMATE CAPITAL EITHER PURCHASES OR MOSTLY PROJECTS BY ALLOWING US TO SWITCH THAT TO THE MORE APPROPRIATE DEBT INSTRUMENT. AGAIN YOU CAN SEE THE RESULT IN THE REDUCTION OF $2.8 MILLION IN TRANSFERS OUT OF THE GENERAL FUND AND THESE ARE ALL THINGS THAT WHILE WE PROPOSE DO OBVIOUSLY HAD SUPPORT IN ORDER TO ALLOW THIS GENERAL FUND TO BECOME SUSTAINABLE. LET'S TALK ABOUT THE UTILITY FUND, WATER SEWER FUND. AGAIN, WE DID TWO THINGS THIS YEAR. IF YOU LOOK AT THE EXPENSES WHERE WE TALK ABOUT THE FACT THAT WE PAUSE THE ISSUANCE OF $7 MILLION IN CAPITAL FUNDS WE ISSUE EVERY YEAR, THAT BENEFITED US ABOUT 800,000 IN PAYMENTS. WE APPLIED THAT DOWN TOWARD REDUCING AND ARRESTING THE RATE OF GROWTH FOR THE CHANGE. THERE IS AN INCREASE BUT WE ARRESTED THAT RATE OF INCREASE SIGNIFICANTLY AND YOU REMEMBER WE WENT OVER SEVERAL MODELS WITH YOU. THIS IS THE ONE THAT YOU CHOSE AND YOU CAN SEETHE IMPACT OF THAT ULTIMATELY MINIMIZING THE GROWTH OF THIS FUND THIS YEAR. I WILL CAUTION WE CANNOT DO THIS EVERY YEAR. YOU HAVE TO MAKE SURE YOU CAN FUND APPROPRIATELY BUT WE WERE ABLE TO DO IT FINANCIALLY THIS YEAR. YOU CAN SEE THE NET CHANGE ONLY PROJECTED AT $24,000. ENDING RESERVES, $15,000 -- $15 MILLION POJECTED AT THE END OF NEXT YEAR. 15,000, AND I'M LOOKING FOR A JOB. WE TALKED ABOUT WATER DISTRICT INCREASES. I WILL PAUSE HERE FOR A MOMENT.ONE OF THE THINGS OPERATIONALLY THAT IS TROUBLING AND WE THINK WE HAVE A HANDLE ON WHAT IS CAUSING IT ARE THE WASTEWATER CHARGES COMING IN SIGNIFICANTLY HIGHER, 800,000 OVER BUDGET YEAR TO DATE. THAT IS IMPACTFUL. ULTIMATELY, WE HAVE SIGNIFICANT INFILTRATION PROBLEM. YOU'VE HEARD THE TERM I AM I. INFLOW AND INFILTRATION. WE HAVE A SIGNIFICANT INFILTRATION PROGRAM, WE TALKED ABOUT GETTING INTO A MITIGATION PROGRAM SO THAT'S GOING TO BE COMING IN THE NEX MONTHS. WE HAVE TO ADDRESS THIS AND WE WILL HOPEFULLY NEXT FISCAL YEAR THAT WILL ALLOW US TO MITIGATE THE ACTUAL CHARGES WE ARE
SEEING IN THAT EXPENDITURE. >> QUICK QUESTION. MAYBE AN EASY EXPLANATION. WHAT IS THE ADVANTAGE OF PAUSING THE ISSUANCE OF THE
>> ABSOLUTELY. IN PAUSING THAT WE ARE NOT ADDING THAT ADDITIONAL BURDEN ONTO THE PAPER WHICH ALLOWS US THEN TO ARREST AND REDUCE THE RATE OF GROWTH WE ARE INCREASING THE RATE. THAT IS NUMBER ONE. WHY DID WE PAUSE? ULTIMATELY BECAUSE WE WERE NOT ABLE TO DELIVER PROJECTS AND IT MADE NO SENSE TO THE POINT OF WHY ARE YOU SQUIRRELING MONEY AWAY? IT DOES NOT MAKE SENSE TO ISSUE THIS DEBT THAT WE KNEW THAT WE COULD NOT ACTIVATE SO ULTIMATELY WE WOULD'VE BORN THE WEIGHT OF THE PAYMENT FOR THE DEBT THAT WOULD NOT HAVE BEEN IN A TIMELY FASHION RESULTANT IN A CAPITAL INCREASE. WE EXPECT TO HAVE THIS ON TRACK OBVIOUSLYNEXT YEAR AND GET BACK INTO A REGULAR SCHEDULE BUT THIS YEAR
IT DID NOT MAKE OPERATIONAL OR FINANCIAL SENSE. >> REFUSE FUN. AGAIN THAT IS BASICALLY A PAST FUND WITH AN ADMINISTRATIVE CHARGE. WE LOOKED AT THIS FUND AND USED SOME FUND BALANCE. WE HAVE A RESERVE POLICY BUT WE USED A LITTLE BIT OF EXCESS FUND BALANCE TO EVEN OUT AND REDUCE THE RESIDENTIAL RATES SO THEY WILL BE REDUCED BY 1%. AND SO WERE REALLY NOTHING IS BEING REDUCED AND WE COULD NOT QUITE REDUCE THE UTILITY RATES -- WE SLOWED IT BUT COULD NOT REDUCE IT, AS SMALL AS IT MAY SEEM TO SOME, WE WERE ABLE TO REDUCE THIS RATE BY 1% THIS YEAR AND THAT IS DUE TO THE USE OF SOME EXCESS FUND BALANCE. THE DRAINAGE FUND IS RELATIVELY STABLE. WE BASICALLY BUDGET -- BUDGETED NET ZERO. THE RATE IS UNCHANGED AT $5.50 PER MONTH. YOU'LL SEE THAT THIS YEAR WE DID NOT GET QUITE THE REVENUES THAT WE HOPED FOR , WHICH ULTIMATELY SLIGHTLY IMPACTS OUR RESERVE BALANCES. WE EXPECTED TO BEGIN OUR NEW BREAK, WHICH BEGAN THIS FISCAL YEAR WHICH EXPECTED TO BEGIN AT THE BEGINNING OF THE FISCAL YEAR AND WE DID NOT UNTIL I BELIEVE FEBRUARY, SO THERE WAS A LOSS OF REVENUE. WHEN WE GET BACK ON TRACK -- WE ARE ON TRACK AND WILL HAVE FULL REVENUE UP TO FISCAL YEAR 25. I'M SHOWING THE OTHER GOVERNMENTAL FUNDS. IT'S A LOT OF FUNDS. YOU HAVE THE DETAILS IN YOUR BOOKS. AGAIN, SOME OF THESE WHEN COMBINED THEIR PERSONNEL ASSOCIATED TO SOME OF THESE FUNDS. YOU TALK ABOUT COURT SECURITY, WHERE WE FUND PEOPLE IN THE COMMERCIAL VEHICLE . AGAIN, A LOT OF THIS IS STUFF YOU KNOW AGAIN, TIFFS, FINALLY
[00:25:03]
MOST OF THEM ARE GETTING SOME KIND OF PAYMENT FOR THEMSELVES BUT THESE ARE ALL OF THOSE RESPECTIVE FUNDS AND OTHER GOVERNMENTAL FUNDS. YOU'VE SEEN THEM, GRANT FUNDS, WE SEE A LOT OF EMPLOYEES THE SAFER GRANT PARTIALLY FUNDED THERE SO AGAIN WANTED TO GIVE YOU HIGH LEVEL AND WE WILL GO INTO SOME OF THE HIGHLIGHTS THERE. AGAIN, TIFFS TAX VALUES HAVE RESULTED IN THE DOWNTOWN FINALLY LAST YEAR BEING ABLE TO HAVE A BIT OF A RESERVE OF $50,000, I THINK.CEE VEE ACTIVITY IS CONTINUING, SOME OF THE SPECIAL FEE FUND, AGAIN I WON'T BELABOR SOME OF THE POINTS WE HAVE MADE. YOU'VE SEEN SOME OF THE PERSONAL SHIFTS THAT HAVE HAPPENED AS A RESULT OF GRANTS AND OTHER THINGS, SO AGAIN IF THERE ARE ANY QUESTIONS OF COURSE I CAN
COME BACK TO IT. >> I DID HAVE ONE QUESTION . WHAT IS THE CHILD SAFETY FEE
FUND? >> THAT IS ONE OF THE MORE NEBULOUS FUNDS. WE'VE ASKED THAT QUESTION. I REALLY CAN'T ANSWER THAT. FROM THE STATE, RIGHT? DALLAS COUNTY.
>> OF SOME SMALL AMOUNT, YES. THEY TOLD ME THAT WHEN I ASKED HIM AND I DIDN'T REMEMBER.
>> I HAD ONE OTHER QUESTIONS ABOUT THE PEG FUNDS. IT LOOKED LIKE THE PEG FUND WENT DOWN .
>> IT DID. >> IS THAT BECAUSE WE ARE SPENDING IT ?
>> AND FEWER PEOPLE CUTTING THE CORD. IT'S GOING TO GO AWAY EVENTUALLY.
>> SINCE IT WAS A CHANGE I JUST THOUGHT WE SHOULD MENTION IT. SO I THINK IT'S GREAT THAT WE
[3B. Presentation of the Capital Improvement Project Update in conjunction with the Fiscal Year 2025 (FY2025) Proposed Budget.]
ARE SPENDING IT DOWN IN USING THOSE FUNDS. >> ARE THERE ANY OTHER I HAVE DISCUSSED BEFORE I MOVE - INTO THE NEXT PHASE WHICH IS KIND OF TO HIGH-LEVEL SHOW YOU A CAPITAL IMPROVEMENT PLAN? LET'S JUMP INTO THIS. I WANT TO GIVE CREDIT TO CHRISTOPH AND WENDY. AS WE BEGAN LOOKING AT THE BUDGET, PARTICULARLY LOOKING AT THE BUDGET ORDINANCE, IT BECOMES CLEAR THAT EVERY YEAR, YOU, THE COUNCIL, ARE RE-APPROPRIATING MONEY FROM A CAPITAL STANDPOINT THAT YOU PREVIOUSLY EXPENDED. YOU ARE CARRYING IT FORWARD BUT WE ALSO RECOGNIZE YOU REALLY DID NOT KNOW HOW MUCH IT WAS, HOW MUCH MONEY ARE YOU REAPPROPRIATED IN, ALLOWING TO ROLLOVER EVERY YEAR SO WE ARE SHOWING IT TO YOU. AS WE BEGAN TO PULL THIS TOGETHER, I THINK IT WAS VERY EYE-OPENING FOR US. YOU CAN SEE HERE CASH TRANSFERS FROM OPERATING FUNDS. THERE IS $16 MILLION BEING CARRIED FORWARD. AGAIN, 1,000,008 AND SO FORTH AND SO ON DOWN THE LIST, AS YOU CAN SEE, TO WHAT IS MOST IMPORTANT, TOTAL $73 MILLION BEING CARRIED FORWARD IN FUNDING. THAT IS BASICALLY MONEY YOU HAVE APPROPRIATED.
CAPITAL PROJECTS YET TO BE EXPENDED. WHEN WE SAW THIS OBVIOUSLY IT WAS ALARMING AND SO IF YOU LOOK AT OUR JOB BOARD YOU WILL NOTICE THAT WE ARE POSTING FOR TWO NEW PROJECT MANAGER. THAT IS DONE IN DIRECT RESPONSE . I AUTHORIZE THOSE POSITIONS IN DIRECT RESPONSE TO THIS. WE HAVE TO BEGIN TACKLING THIS PROJECT. WE HAVE TO BEGIN ACTIVATING MONEY.
IS IT THE CAPACITY QUESTION ? WE JUST DON'T KNOW. WHAT WE DO KNOW IS WE NEED ENOUGH PEOPLE TO MOVE THE MONEY BECAUSE WE HAVE NOT BEEN ABLE TO DO SO TO DATE.
MONEY FROM THE 2025 LENS? >> DON'T KNOW YET. WE'RE CERTAINLY TALKING ABOUT IT AND I WILL GO TO THE NEXT SLIDE IF YOU DON'T MIND, BECAUSE IT RELATES TO THIS VERY MUCH SO BECAUSE WE DO HAVE A SPENDING PLAN OF $41 MILLION FOR FISCAL YEAR 25. I EXPECT TO BE VERY EFFICIENT. I EXPECT IF I NEED TO ADD STAFF I WILL, AS I HAVE DONE. IT IS SOMETHING THAT QUITE FRANKLY HAS MY FULL ATTENTION. IF WE ARE SUCCESSFUL , IF WE ARE ABLE TO SPEND 75% OF THAT HUNDRED AND $15 MILLION IT WILL OF BEEN A VERY GOOD YEAR AND I EXPECT TO DO SO.
SOME OF IT WILL BE OUT OF OUR CONTROL BUT WE ARE GOING TO DO THAT WE HAVE NOT DONE WELL THIS YEAR'S COME BACK AND TALK TO YOU ABOUT THIS ON A REGULAR BASIS. IT HAS BEEN ONE OF THE
[00:30:01]
AREAS WHERE WE KNOW WE NEED TO IMPROVE. I NEED TO MAKE SURE WE ARE TALKING TO YOU ABOUT THIS.I THINK AGAIN IT WAS A STARK REMINDER FOR ME OF WHERE WE ARE AND IT'S EASY TO BLAME EVERYONE ELSE BUT THE REALITY IS I'M THE CITY MANAGER AND THIS IS SOMETHING THAT , YOU KNOW, IT'S SMACKING ME IN THE FACE. THAT'S WHY WE HAVE AUTHORIZED TWO POSITIONS. WILL ACTIVATE THEM. WE WILL SEE THE IMPACT IF WE HAVE TO ADD TWO MORE BECAUSE THE MONEY IS CERTAINLY THERE TO WARRANT IT. WHAT IS NOT ACCEPTABLE IS TO CONTINUE TO ROLLOVER THE MONEY YEAR OVER YEAR AND NOT PRODUCE THE RESULTS , SO I DON' HAVE A DIRECT ANSWER FOR YOU BUT WHAT I WILL TELL YOU IS THIS IS JUST THE BEGINNING OF THE CONVERSATION WHICH IS ONE OF THE REASONS I WANTED TO MAKE SURE WE COULD SHOW THIS TO YOU BECAUSE HERE AGAIN YOU DIDN'T KNOW WHAT THIS MONEY WAS. YOU KNOW IT WAS A LOT. YOU KNOW THERE WAS MONE THAT YOU CAN RECALL US APPROPRIATING AND APPROVING AND AUTHORIZING BUT YOU NEVER KNEW WHEN I DON'T
KNOW THAT WE DID. >> IS THIS A POSITION WHERE I CAN MAKE A COMMENT OR WOULD YOU
RATHER GO THROUGH THE REST OF THIS? >> I AM HERE AT YOUR PLEASURE.
I'M HERE TO SHOW THIS TO YOU AND TO GET THE FEEDBACK AND DIRECTION ULTIMATELY BUT THIS IS YOUR BUDGET. I AM PRESENTING THIS TO YOU BUT THIS IS YOUR BUDGET SO I'M FREE TO HEAR
WHATEVER YOU WANT TO SAY. >> SO, CITY MANAGER, YOU ARE CORRECT. I DID NOT KNOW EXACTLY HOW SCREWED UP IT WAS AND I KNEW IT WAS. I KNEW OUR ENGINEER, OUR CAPITAL PROGRAM WAS PROBABLY IN TROUBLE BECAUSE OF NOT GETTING UPDATES ON SOME OF THE PROJECTS STATUSES AND THINGS NOT MEETING CERTAIN DEADLINES. I HAD A SUSPICION THAT SOMETHING WAS NOT RIGHT AND THEN SEEING HAT $73 MILLION NUMBER WAS -- BLOOD BOILING. THAT IS JUST SO DISAPPOINTING, SO MAD. BECAUSE WE ARE LETTING DOWN ALL OF OUR CONSTITUENTS AND WHEN ALL OF OUR CONSTITUENTS ARE SAYING YOU KNOW, WHY IS THIS GETTING DONE, WHY IS IT THAT GETTING DONE, WHAT IS MY REASON, RIGHT? WHAT DO I TELL THEM, RIGHT? IS IT THAT WE CAN'T GET IT TOGETHER? I UNDERSTAND WE ARE IN A PERIOD OF CHANGE AND WE HAVE MADE GREAT STRIDES, IN MANY AREAS ACROSS THE CITY THANKS TO YOURS AND OTHERS' LEADERSHIP. THIS IS AN AREA WHERE MAN , THIS IS TOUGH. IT IS ONE OF THE MOST IMPORTANT PROGRAMS WE HAVE IN THE CITY AND YET IT IS BEING TREATED THIS WAY , YOU KNOW, WITH -- I DON'T WANT TO PLAY A BLAME GAME BUT ENOUGH IS ENOUGH. IT'S TIME TO GET OUR STUFF TOGETHER. THIS CAN'T HAPPEN AGAIN. WE CAN'T COME BACK AND SEE THIS AGAIN. WE HAVE GOT TO MAKE PROGRESS. WE'VE GOT TO BE BETTER THAN THIS, SO THAT IS A BIG TASK AHEAD FOR YOU, SIR. AND I KNOW YOU ARE GETTING YOUR HANDS AROUND IT, YOU KNOW. I UNDERSTAND FROM YOUR PERSPECTIVE IT'S BEEN LONG ENOUGH AND IT'S TIME FOR THIS TO REALLY TO CHANGE AND SO I KNOW YOU HAVE SOME PLANS IN PLACE. I THINK TWO PROJECT MANAGERS IS A GOOD MOVE. WE NEED PEOPLE WHO ARE PASSIONATE AND UNDERSTAND THE WORK AND UNDERSTAND THAT WE CAN')T LET THIS MONEY SIT IDLE ANYMORE.
WE'VE GOT TO MOVE. WE'VE GOT TO START PRODUCING RESULTS, SO.
>> WELL, MESSAGE RECEIVED. DIDN'T NEED TO BE SAID BUT I'M GLAD YOU SAID IT.
CERTAINLY THESE ARE THE KINDS OF THINGS THAT BEING NEW , A LITTLE BIT OF GRACE BUT I KNOW IF I COME BACK AGAIN NEXT YEAR AND I HAVE $73 MILLION AND I RECOGNIZE THAT AND I DON'T WANT ANYONE SITTING AT THIS TABLE AND WATCHING THINK THAT IS LOST ON ME OR TAKEN FOR GRANTED AND THAT IS WHY IT HAS MY FULL ATTENTION BECAUSE AGAIN WHEN WE START COMPILING THE DATA AND LOOKING AT THE NUMBER, THOSE ARE NOT JOB SECURITY NUMBERS. SO AGAIN WE WILL COME BACK TO YOU WITH FURTHER DISCUSSION. YOU WILL GET ADDITIONAL UPDATES. YOU WILL SEE STATUSES AND KNOW WHERE YOUR MONEY IS. THAT, I GUARANTEE YOU, SO BUT IT IS NOT LOST ON ME AND THERE'S NOTHING INCORRECT ABOUT WHAT YOU SAID AND ULTIMATELY I AM THE CITY MANAGER AND IS ON ME . I DON'T SHRINK FROM THAT ONE BIT SO I CAN TELL YOU IS I TOLD YOU WE ARE GOING TO DO EVERYTHING ELSE THAT WE HAVE DONE WE'RE GOING TO DO THIS JUST THE SAME. I'M NOT JUMPING AWAY FROM THAT. I WANTED TO SHOW IT TO YOU. I DON'T WANT ANYONE CONFUSED.
INAUDIBLE ] WE ARE SHOWING YOUR FUTURE YEARS. THOSE ARE JUST ESTIMATES. CERTAINLY WE HAVE THE ABILITY IF YOU AUTHORIZE FOR THOSE FUNDING , FOR THAT AMOUNT OF FUNDING, BUT THAT DOES -- YOU APPROVING THIS IN SEPTEMBER, LOOKING AT THIS TONIGHT DOES NOT MEAN THAT MONEY IS APPROVED AND IT'S A FOREGONE CONCLUSION. THE ONLY THING YOU WOULD BE APPROVING IN SEPTEMBER IF YOU APPROVE THIS BUDGET UNALTERED WOULD BE FISCAL YEAR 25 REQUEST FOR
[00:35:02]
APPROPRIATION IN THE CARRYOVER MONEY THAT WE'VE SHOWN YOU HERE. SO, WE WANTED TO SHOW THIS TO YOU TO GIVE YOU A LOOK FORWARD. AGAIN, AS FYI BUT I DON'T WANT ANYONE TO MISTAKENLY THINK THAT NECESSARILY HERE BUT IN TV LAND, THAT IT IS A FOREGONECONCLUSION. >> SO, A LOT OF THIS I WILL JUST SAY YOU INHERITED. YOU LOOK BACK AT THIS IN 2015 SO APPRECIATE WHAT YOU HAVE TO SAY. SO I'M NOT LENDING AT
YOUR FEET. >> NOT TODAY BUT YOU WILL NEXT YEAR.
>> MONEY SOLVES A LOT OF PROBLEMS AND THERE'S A LOT OF MONEY THERE SO I THINK FOR PEOPLE IN TV LAND THERE'S A LOT OF HOPE TO SAY THERE'S A LOT OF GOOD YET TO BE DONE THAT WE ROLL UP OUR SLEEVES WITH CITY MANAGEMENT IT'S GOING TO BE A REALLY COOL NEXT COUPLE OF YEARS, I THINK. I JUST WANTED TO MAKE THAT COMMENT AS WELL BECAUSE THERE'S A LOT OF GOOD
IN THEIR . >> WE BELIEVE SO. >> I CAN SEE WHAT YOU'VE DONE IN OTHER AREAS SO I HAVE EVERY CONFIDENCE THE CITIZENS WE DEPEND ON TO FUND THE CITY SO WE NEED TO BE THE STEWARDS OF WHAT THEY APPROVER WE'RE GOING TO GET TO A POINT WHERE WE NEED THEM TO APPROVE THIS PARTICULAR BOND
ELECTION AND WE DON'T HAVE ANY CONFIDENCE. >> UNDERSTOOD. UNDERSTOOD.
>> TWO QUESTIONS. ON THAT SLIDE AT THE TOP YOU HAVE CASH TRANSFERS FROM FUNDS. IS THAT
NOT ESSENTIALLY CASH CRP FROM GENERAL FUND? >> NOT CRP. THIS IS AN AGGREGATE. WE TRANSFER MILLIONS OF DOLLARS FROM WATER FUNDS AND 1.68 MILLION FROM DRAINAGE
FUNDS. >> OKAY, SECOND QUESTION YOU MAY NOT HAVE AN ANSWER TO IS JUST QUICK NUMBERS, AT LEAST 50% OF THIS FUNDING IS AT LEAST TWO TO THREE YEARS OLD IF NOT OLDER THAT WE ARE CARRYING FORWARD. I'M CURIOUS IF WE HAVE ANY BEAD ON LOST VALUE BECAUSE OF INFLATIONARY IMPACTS. I KNOW WE'VE BEEN EARNNG MAYBE FOUR, 5% INTEREST LIKE THAT BUT AT THE END OF THE DAY WHEN THE COUNTRY GOES UP 15% , WE ARE NOT EVEN KEEPING
PACE. >> YOU ARE CORRECT. THERE ARE GOING TO BE SOME LOST OPPORTUNITIES DUE TO THE DELAYS. WHEN WE COME TO YOU I'M GOING TO ASK TONIGHT TO NOT HAVE THE CIP CONVERSATION BUT WHEN WE COME TO YOU SOON WITH THAT I MENTIONED TO SOME OF YOU ARE PRIVATE CONVERSATIONS THAT CONVERSATION WILL BE BROKEN DOWN INTO A COUPLE SECTIONS. THE FIRST SECTION WILL BE PROJECTS THAT ARE PRIORITIZED BASED ON WHERE THEY ARE IN THE SCOPE OF THINGS BUT THE SECOND PART OF THAT WILL BE THOSE PROJECTS WE ARE GOING TO RECOMMEND TO YOU AND TALK TO YOU ABOUT IN PLACE ON HOLD OR BAN IT ALTOGETHER BECAUSE OF THE POINT YOU JUST MADE THAT MAYBE THE PROJECT WAS BEGAN FOUR YEARS AGO AND WE JUST DON'T HAVE IT AVAILABLE FUNDING SOURCE TO FUND THE GAP AND SO THERE ARE THOSE PROJECTS THAT ARE FALLEN INTO THAT CATEGORY. WERE GOING TO SHOW
THEM TO YOU. >> SO THAT'S GOING TO BE TREMENDOUSLY PAINFUL BECAUSE THERE ARE PEOPLE WHO ARE COUNTING ON THOSE PROJECTS TO BE COMPLETED. THAT'S GOING TO
BE A TOUGH CONVERSATION. >> AGAIN YOU CAN SEE WE ARE ASKING FOR TOTAL $115 MILLION.
WE'VE LOOKED AT IT AS CAPITAL MAINTENANCE. YOU CAN SEE HOW WE DEFINE IT CAPITAL PROJECTS, CAPITAL PURCHASES AND THEN COMMUNITY PROGRAMS THAT HAVE BEEN DONE HERE HISTORICALLY WERE GOING TO MOVE AWAY FROM EVENTUALLY BUT WE CAN BREAK AWAY FROM ENTIRELY THIS YEAR.
YOU CAN SEE THERE HOW THAT BREAKS DOWN. THE NEXT SLIDES SHOW YOU THE PROJECTS. THE PROJECT NAME, THE RESPECTIVE FUNDING SOURCE , THE CARRIED FORWARD THE FUNDING ASSOCIATED WITH THAT AND WHAT WE ARE PROPOSING FOR FISCAL YEAR 25. AGAIN, THIS IS A BUDGET PRESENTATION AND I KNOW YOU ARE RIGHTFULLY CHOMPING AT THE BIT TO GO INTO THIS BUT THIS IS TO SHOW TO YOU TO SATISFY THE BUDGET REQUIREMENT. IT IS NOT INTENDED, NOR DOES IT I KNOW CONVEY ALL OF THE INFORMATION YOU WOULD WANT WITH RESPECT TO CAPITAL IMPROVEMENT DISCUSSION, SO I OFFER THAT BECAUSE I'M GOING TO QUICKLY GO THROUGH IT BECAUSE I JUST NEEDED TO SHOW
IT TO YOU. I WANTED TO SHOW IT TO YOU. >> I DON'T THINK HONESTLY I
[00:40:11]
DON'T THINK THERE'S A POINT TO THE THREE SLIDE BY SLIDE. >> I DON'T INTEND TO TALK TO THE SLIDES. THAT'S WHY I'M GIVING THIS JUST SO THAT YOU KNOW THAT I'M ZONING THROUGH NOT TO IGNORE YOU BUT THIS IS SHOWN TO SATISFY THE BUDGET BECAUSE WE ARE GOING TO HAVE A LARGER MULTI-HOUR CAPITAL IMPROVEMENT DISCUSSION. IN THERE AGAIN YOU CAN SEE THE IMPORTANT PART TO SATISFY OUR BUDGET REQUIREMENT. WE ARE ASKING YOU TO APPROPRIATE IN SEPTEMBER, $7 MILLION AND TO APPROPRIATE FOR FISCAL YEAR 25 I HAPPILY RECEIVE ADDITIONAL FEEDBACK AND ALSO KEEP IN MIND WE HAVE AN ADDITIONAL WORK SESSION FOR THE BUDGET IT IF THERE'S ANYTHING YOU THINK OF THAT ARISES.
>> COUNSEL, ANY QUESTIONS? I AM LOOKING FORWARD TO THAT CIP DISCUSSION. I DON'T HAVE ANY QUESTIONS AT THIS POINT. I JUST SAID WE WILL COME BACK . IF WE HAVE ANYTHING UNTIL THEN
INAUDIBLE ] >> I JUST WANT TO SAY I KNOW WE TEND TO FOCUS ON THE END BUT I THINK THERE'S A LOT OF GOOD HERE. I THINK IF YOU LOOK AT FIRST OF ALL IF YOU LOOK AT THE TAX RATE, IF YOU LOOK AT THE HISTORY OF THE TAX RATE HERE ON PAGE EIGHT, YOU SEE THAT THE TAX RATE WE HAVE THIS YEAR IS ACTUALLY LOWER THAN IT HAS BEEN IN THE PAST. YOU LOOK AT THE WATER RIGHTS, YES, THEY WENT UP BUT THEY DID NOT GO UP NEARLY AS MUCH AS WE THOUGHT THEY WERE GOING TO GO UP AND ALSO GOING BACK TO THE TAX RATE THAT THE ONLY INCREASE IS WHAT THE VOTERS APPROVE. I MEAN, THAT IS REALLY IMPORTANT TO ME BECAUSE I DID NOT WANT TO INCREASE THAT RATE AND YOU MANAGED TO DO SO MUCH WITH THIS TO GET OUR POLICE OFFICERS TO GIVE OUR PUBLIC WORKS WORKERS , TO GIVE ALL OF OUR EMPLOYEES DECENT RAISES, TO GET THE CONVERSATION FOR PERSONAL UP TO A POINT WHERE AT LEAST WE ARE ON THE BOARD. I SAW YESTERDAY I GUESS IT WAS THERE WAS A POST BY DFW POLICE SALARIES AND IT SHOWED DFW SALARIES. WE WEREN'T EVEN ON THAT BOARD. NOW WE ARE GOING TO BE ON THE BOARD AND TO ME THAT'S REALLY IMPORTANT. THE GARBAGE RATE, WE KEPT THAT STUDY . THE DRAINAGE RATE DID NOT GO UP. SO OUR CITIZENS I KNOW THEY'RE GOING TO LOOK AT THE THINGS THAT DID GO UP. THEY'RE GOING TO LOOK AT THE THINGS THAT DID NOT GET FINISHED, PROJECTS THAT DID NOT GET FINISHED BUT WE HAVE DONE A LOT AND I REALLY BELIEVE WE ARE GOING TO DO A LOT MORE THIS FISCAL YEAR BECAUSE LIKE I SAID, A YEAR IS NOTHING TO GET ACCLIMATED IN A SITUATION LIKE WHAT YOU CAME INTO AND YOUR ACM'S AND YOUR DIRECTORS HAVING SO MUCH TURNOVER AND IT TAKES TIME. IT JUST DOES. IT TAKES SOME TIME TO GET EVERYTHING TOGETHER AND I THINK THAT YOU'RE MAKING A LOT OF PROGRESS TOWARD THAT. I WANT TO SAY THANK YOU FOR THAT. I APPRECIATE THAT AND I SEE THE PROBLEMS BUT I ALSO SEE THE THINGS THAT MAKE ME VERY OPTIMISTIC.
>> I LIKE TO SAY THANK YOU TO ALL OF YOU FOLKS IN THE ROOM. I KNOW HIS DEPARTMENT HEADS YOU PROBABLY HAD TO ROLL UP YOUR SLEEVES A LITTLE BIT TO GET THIS WORK DONE SO THANK YOU FOR ALL YOU'VE DONE ON THIS AND THE FINANCE TEAM IN THE CITY MANAGEMENT TEAM. I WANT TO ECHO A LOT WHAT MAYOR PRO TEM SCHINDLER JUST SAID. LOOKING OVER THE LAST DECADE WE ARE SLIGHTLY BELOW AVERAGE BASED UPON WHAT THE VOTERS APPROVED OF AND TO KEEP YOUR L AND M RATE THE SAME OR GIVING SIGNIFICANT INCREASES TO PEOPLE WHICH I THINK IS IMPORTANT TO PEOPLE'S TREMENDOUS AND SO I WANT TO THANK YOU FOR THE HARD WORK THAT YOU DIDN'T REALLY MAKING THAT THE PEOPLE A PRIORITY BUT ALSO NOT GOING ABOVE AND BEYOND IN CHARGING MORE THAN YOU COULD ON THE L AND M RATE SO I THINK IT'S REALLY GOOD WHAT I SEE SO FAR.
SO, THANK YOU. >> ECHO WHAT THEY SAID ABSOLUTELY. THERE ARE SOME
[00:45:08]
POSITIVE POINTS IN THIS BUDGET. I THINK ONE OF THE BIGGEST THINGS IS TO REALLY TALK ABOUT IS HOW WE'VE SHIFTED OUR FINANCIAL SITUATION. A LOT OF THAT TAKING OUR RELIANCE FOR FUNDING THINGS OUT OF THE M AND O AND SHIFTING IT TO WHERE IT SHOULD'VE BEEN ALL ALONG WHICH IS OUT OF THE INS WHICH WHAT THAT HAS DONE THIS ALLOW US TO FUND A LOT OF IMPORTANT THINGS AND ALSO CREATE A FINANCIAL CUSHION FOR FUTURE YEARS THAT WE OTHERWISE WOULD HAVE BEEN FACING SIGNIFICANT FINANCIAL BUDGETING ISSUES. THERE WAS I SPOKE TO ONE OF THE COUNCILMEMBERS IN PLANO AND THEY ARE APPROVING A BUDGET WITH 0% SALARY INCREASES ACROSS THE BOARD ALL THE WAY FROM OPEN RANGE TO KNOW RAISES OTHER THAN THE STEPS SO THAT'S PRETTY SIGNIFICANT , SO THERE ARE CITIES THAT ARE REALIZING THE IMPACTS OF THE PROPERTY TAX CAP AND THEY ARE STARTING TO FEEL THE PAIN NOW BUT THIS YEAR, ROLL IT , WE WERE ABLE TO DO A LOT OF GOOD THINGS THIS YEAR WHEN CITIES AROUND US, BIG CITIES ARE STRUGGLING SO I WANT TO SHOUT US OUT FOR DOING THAT. WE ARE MAKING GOOD PROGRESS IN THE CITY . AS DEB SAID YOU KNOW, YOU CAME IN AND TOOK OVER QUITE A MESS, AND THERE IS STILL A LOT TO DO BUT WE ARE GETTING THERE. WE ARE MAKING PROGRESS, SO GOOD WORK AND THANK EVERYBODY FOR TAKING PARTIN THIS. >> I THINK THE COMMENTS THUS FAR HAVE BEEN RIGHT ON THE MONEY. THE ONE THING I WANT TO ADD IS WITH THESE BIG INCREASES AND BIG JUMPS AND EXPECTATIONS, TOO. I THINK EVERYBODY IN THIS ROOM LIKELY KNOWS THAT AND UNDERSTANDS WHAT THOSE EXPECTATIONS ARE. I'M REALLY PLEASED BECAUSE I THINK WE HAVE A TEAM THAT CAN DELIVER ON THOSE. I'M VERY MUCH LOOKING FORWARD TO THAT . THE NEXT 12 MONTHS ARE GOING TO BE A
PROVING GROUND . >> I WANT TO THANK EVERYBODY REAL QUICKLY AND JUST -- I APPRECIATE GOOD PEOPLE HERE. IT'S A LOT FOR THE CITY MANAGER AND EVERYBODY HAS KIND OF GONE THROUGH THE STEPS AND I'M JUST TALKING EVERYTHING AND I FEEL LIKE WE ARE AT THAT PLACE NOW WHERE YOU SEE WHAT THE NUMBERS ARE AND THEY MAKE SENSE AND YOU SEE WHAT THE DEFICIENCIES OF BEEN AND NOW WE CAN ADDRESS THEM. WE ARE FINALLY GETTING THINGS THEY LIGHTED ENOUGH THAT WE CAN DO SOMETHING ABOUT IT. BEFORE IT WAS JUST SORT OF THINGS ARE A MESS BUT YOU KNOW, WHAT DO WE DO? IN THIS THERE IS ANYTHING I TAKE AWAY FROM THIS, IT IS REALLY THAT JUST THIS REALLY FEELING OF OPTIMISM WE GET FROM OUR LEADERSHIP FROM CITY MANAGER, EVERYBODY IN THIS ROOM, EVERY DEPARTMENT. I JUST CAN'T TELL YOU HOW POSITIVE I FEEL ABOUT IT AND AM TRULY
GRATEFUL . >> IT'S BEEN SAID IS CERTAINLY WORTH SAYING AGAIN KUDOS TO YOUR STAFF. AS BRILLIANT AS YOU ARE , YOU CAN'T DO THAT WITHOUT A GREAT STAFF SO YOU'VE GOT A DEDICATED, VERY INTENTIONAL, FOCUSED STAFF. APPRECIATE IT.
>> IT'S TRUE, THOUGH. >> WELL, I WILL CERTAINLY CONCUR WITH EVERYONE ELSE. THIS IS A POINT OF YOU KNOW, SOMEBODY SAID CRISIS IS A DANGEROUS OPPORTUNITY SO YOU CAME INTO A CRISIS AND YOU HAVE TURNED IT INTO AN OPPORTUNITY AND I'M REALLY PROUD TO BE HERE. I'M REALLY PROUD TO BE LOOKING FORWARD TO ANOTHER YEAR AND A HALF WITH YOU GUYS, YOU KNOW, I'M REALLY EXCITED. LIKE WE THERE MIGHT BE SOME THINGS WE CAN DO AND I'M LOOKING FORWARD TO A LOT OF RIBBON CUTTINGS, A LOT OF GROUNDBREAKING'S AND FUN THINGS. I HAVE A LOT OF FAITH AD HOPE AND THANK YOU. I TALKED TO YOU IN YOUR REVIEW YOU KNOW, IT'S GOING TO TAKE THREE YEARS FOR IT TO BE THE EXPERT AND I TRULY DO BELIEVE THAT BUT I BELIEVE THAT THIS FIRST YEAR, YOU HAVE SET A HIGH BAR AND I AM ANTICIPATING THAT
BAR JUST MOVING UP. >> IF I COULD YOU KNOW CERTAINLY I APPRECIATE
[00:50:04]
INAUDIBLE ] I THINK COUNCILMAN BRITTON SAID IT BEST. I SAT VISION AND I GIVE DIRECTION BUT PEOPLE HAVE TO DO THE WORK BECAUSE I DON'T DO ALL OF THIS NEAR BY MYSELF AND WHEN WE TALKED ABOUT THE BUDGET AND KRISTOF CERTAINLY HELPED LEAD THIS WITH ME AND WENDY STEIMLE MY GOD, THE CHANGES IN VERSIONS WE PLACED UPON THEM. YOU CAN TALK ABOUT THIS PAY CHANGE FOR THE POLICE DEPARTMENT. IF YOU REMEMBER THE WORK SESSION THEY HAD THE NUMBERS FOR US AND THAT KIND OF EFFORT, YOU KNOW, AS MUCH AS WE TALK ABOUT WHAT IS WRONG AT TIMES , THAT KIND OF EFFORT CAN NEVER BE OVERLOOKED OR UNDERSTATED. YOU CAN'T OVERSTATE WHAT THAT MEANS TO US TO BE ABLE TO PRODUCE THIS DOCUMENT BUT IT IS A LOT OF WORK, ESPECIALLY AS WE ARE SHIFTING GEARS. THAT IS THE PART THAT IS REALLY DIFFICULT, THE OPPORTUNITY IS THERE BUT I HAVE TO GIVE THEM CREDIT AND OF COURSE THE EXECUTIVE TEAM BECAUSE I AM BRINGING SOMETHING DIFFERENT THAT THOSE WHO HAVE BEEN HERE ARE NOT USED TO AND THEY HAVE BEGAN TO ADAPT TO ALLOW US EFFORT AND I WANT TO MAKE SURE WE RECOGNIZE THAT. I HAVE TO MAKE SURE I THANK THEM PUBLICLY. I HAVE TO MAKE SURE I THINK THEM PRIVATELY BUT I DEFINITELY WANT TO THANK THEM PUBLICLY. IF THERE IS ANYTHING ELSE WE CAN MOVE TO THE NEXT ITEM WHENEVER THE COUNCIL PLEASES. I HAVE TO OFFICIALLY ASK FOR YOUR INDULGENCE TO MOVE THIS ITEM, SO PLEASE -->> WE DON'T HAVE MUCH OF A CHOICE. WE NEEDTO MOVE THIS ITEM.
>> WE DO AND I DO NOT WISH TO MOVE IT TO A DATE CERTAIN BECAUSE I DON'T HAVE A DATE CIRCLED YET. I WILL COME BACK. I DON'T EXPECT IT WILL BE MUCH LONGER BUT I DON'T WANT TO PUT
A DATE ON THE RECORD AND NOT MEAN IT. >> ALL RIGHT. YOU GOT IT.
ANYTHING ELSE?
* This transcript was compiled from uncorrected Closed Captioning.