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[CALL TO ORDER]

[00:00:07]

>> GOOD EVENING LADIES AND GENTLEMEN. TUESDAY, DECEMBER 17 2019 5:30 P.M. WE ARE SITTING IN THE CONFERENCE ROOM. 551.001 OF TEXAS GOVERNMENT CODE, THIS MEETING MAY BE CONVENED IN THE CLOSED EXECUTIVE SESSION FOR THE PURPOSE OF SEEKING CONFIDENTIAL LEGAL ADVICE FROM THE CITY ATTORNEY ON ANY AGENDA ITEM HEREIN FOR THE CITY OF ROWLETT RESERVES THE RIGHT TO RECONVENE, RECESS OR REALIGN THE REGULAR SESSION OR CALLED EXECUTIVE SESSION TO ORDER OF BUSINESS AT ANY TIME PRIOR TO ADJOURNMENT. WE DON'T HAVE ANY ITEMS ON OUR EXECUTIVE SESSION.

[3A. Presentation of the Community Development Department's Master Fee Schedule analysis and proposed recommendations. (20 minutes)]

WE HAVE LOTS OF ITEMS ON A WORK SESSION. WE WILL START WITH ITEM 3A.

THE MASTER FEE SCHEDULE ANALYSIS AND PROPOSE RECOMMENDATIONS.WELCOME.

>> THANK YOU. GOOD EVENING. WE WANTED TO BRIEFLY COUNSEL ON THE PROPOSED MASTER FEE AMENDMENT. WE MET ONCE IN JULY AND AGAIN NOVEMBER 5. WE PRESENTED TO YOU FOR RECOMMENDATIONS THAT THE CITY COUNCIL HAS AS IT RELATES TO FEES FROM HVAC SYSTEMS. WE HAD ORIGINALLY PROPOSED $80 FOR THOSE PERMITS AND WE ARE MAKING THOSE $65 SO COVERS OUR INSPECTION. WE DON'T WANT TO BE ONEROUS FROM FEET PERSPECTIVE. WE HAVE COMMERCIAL FEES THAT WILL STILL STAY INTACT FOR THE WATER METERS AND HVAC SYSTEM. WE REMOVE THE FEE FOR NONPROFIT SPECIAL EVENT PERMITS.

I HAVE PLACED AT THE TABLE THE PROPOSED MASTER FEE SCHEDULE SO IT IS CLEAR.

THERE IS SO MUCH INFO IN THE REPORT WE GAVE TO YOU. IT WAS BASICALLY SO YOU HAD A GOOD UNDERSTANDING TO HOW WE GOT TO WHERE WE GOT TO. IN THE INTEREST OF THE VIEWING AUDIENCE, WE USED TWO TYPES OF METHODOLOGIES TO ASSESS THE FEES AND SEE WHERE WE STOOD IN LINE WITH OTHER CITIES MUNICIPALITIES. WE LOOKED AT 12 AREA CITIES.

AVERAGED THEIR FEES TO DETERMINE HOW THE BENCHMARKING FALLS.

IN ADDITION TO THAT, WE GET A COMPREHENSIVE ANALYSIS TO EACH APPLICATION OF FUNCTION THAT WE HAD AND HOW MUCH TIME WAS SPENT ON EACH OF THOSE APPLICATIONS, THAT DISCIPLINE, AND THEN FROM THERE WHAT THAT COST WOULD BE. WE FACTORED IN THE PLANNING AND ZONING COMMISSION MEETINGS AND REVIEW TIMES AND PERMIT TIMES AND NOTIFICATION COSTS AS WELL AS THE 205 FOOT NOTIFICATION AREAS.I KNOW WE CANNOT READ THESE LINES, BUT IT REITERATES WHAT I DISCUSSED ON WHAT OUR METHODOLOGY WAS AND HOW WE ASSESSED THE RIGHTS OF OUR REVIEWS.

WE ALSO WANT TO TALK A LITTLE BIT ABOUT THE COMMUNITIES WE LOOKED AT.

ONE OF THE QUESTIONS THAT COUNSEL HAD WAS HAVE MUNICIPALITIES ADJUSTED THEIR FEES. WE DO ANTICIPATE IN THE VERY NEAR FUTURE OTHER MUNICIPALITIES WILL COME INTO LINE. I KNOW SEVERAL COMMUNITIES FIRSTHAND ARE ALREADY TACKING THIS AS IT COMES INTO PLAY. WE HAVE DONE THAT AND WE CAN FEEL THE CRUNCH ON US AS WELL. WE DO ANTICIPATE WE WILL SEE A CHANGE ON THE SURROUNDING COMMUNITIES. THE FEES I HAVE PLACED IN FRONT OF YOU ARE THERE IN TERMS OF WHAT A PROPOSED FEE SCHEDULE IS. WE ARE GOING TO HAVE THIS ITEM ON OUR REGULAR AGENDA. I AM HAPPY TO ANSWER ANY QUESTIONS YOU MAY HAVE AS IT RELATES TO THESE FEES. WE TRY TO FACTOR IN ALL OF THE ELEMENTS THAT WERE DISCUSSED AT THE PREVIOUS WORK SESSION. ONE THING WE THINK TELLS A GOOD STORY IS WHERE WE ARE RIGHT NOW WITH OUR BUILDING INSPECTION FEES. AGAIN, WHAT'S REFLECTED SHOWS THE PROPOSED FEES AND DIFFERENTIALS ASSOCIATED WITH THE FEES WE CURRENTLY ASSESS AND WHAT THE ADDITIONAL REVENUES WOULD AMOUNT TO FROM A BUILDING INSPECTION PERSPECTIVE. AGAIN, THAT DEPENDS ON THE ACTIVITY OF DEVELOPMENT AS WELL. ENGINEERING FEES YOU CAN SEE WHERE WE ARE AND WHAT THAT DIFFERENTIAL IS, WHICH ISN'T THAT SIGNIFICANT. I DO WANT TO POINT OUT PLANNING

[00:05:02]

AND URBAN DESIGN, WHERE WE ARE RIGHT NOW AND WHAT IT WOULD MEAN.

IF YOU LOOK AT SOME OF THE EXCEL SPREADSHEETS WE HAVE ATTACHED IN THE REPORT, IN THE DOCUMENTATION, THE AMOUNT OF TIME SPENT BY EACH DISCIPLINE ON REVIEWING PLATS AND ZONING, REALLY WE WERE NOWHERE IN LINE WITH THAT, SO WE HAVE BROUGHT IT UP TO WHERE WE ARE PRETTY MUCH VERY CLOSE. AGAIN, I WOULD BE HAPPY TO ANSWER ANY QUESTIONS YOU MAY

HAVE. >> YOU SAY CLOSE TO RECOUPING. IS IT EVEN, OR STILL BELOW?

>> SO IT WOULD STILL BE A LITTLE BELOW. IF YOU RECALL WE TALKED ABOUT ADJUSTMENTS. WE DID ADJUST. I THINK WE WERE PROPOSING 1900 IF I'M NOT MISTAKEN. THE FEE WAS 1900. THAT WAS TO PAY FOR SOME OF THE COST OF THE NOTIFICATIONS AND TO DO THE REVIEW. THEN WE REALIZED WHY WOULD WE PUT THE BURDEN OF SUCH A LARGE FEE ON A HOMEOWNER WHO WAS LOOKING AT A SETBACK VARIANCE.

WE TAKE THAT INTO CONSIDERATION AND REALIZED ABSOLUTELY. HERE WE HAVE SOMEONE WHO WANTS TO PUT IN A BUILDING. WE DROPPED THE SETBACK VARIANCE DRASTICALLY.

>> I UNDERSTAND THAT. I AM MORE CONCERNED ABOUT THE NEW DEVELOPMENT COMMERCIAL AND SINGLE-FAMILY TO MAKE SURE WE ARE COVERING OUR COST AND NOT COMING UNDERNEATH.

>> WE ARE COVERING THOSE, YES. >> WE HAD A LONG SESSION ABOUT THIS AT THE LAST WORK SESSION.

I KNOW SEVERAL COUNCILMEMBERS WENT OFF AND DID MORE STUDY. COUNSEL, DO YOU HAVE ANY

QUESTIONS, ANY CONCERNS? ANY COMMENTS? >> MY ONLY COMMENT WOULD IT WOULD BE INTERESTING IF WE DO THIS AGAIN IN A YEAR TO REEVALUATE THAT FOR THE CITIES THAT HAVE DONE IT BEFORE. ONCE I TOLD THE BIGGEST STORY IN TERMS OF WHAT WAS COMING IN AND WHAT WASN'T AND WE ARE NOT IN THE BUSINESS OF DOING DEVELOPERS JOBS FOR THEM.

THEY NEED TO COVER THOSE COSTS. THANK YOU FOR ALL THE HARD WORK.

>> WHAT A GREAT ANALYSIS. SO THOROUGH. SEVERAL DIFFERENT WAYS TO LOOK AT IT. THANK YOU FOR DOING THAT. THANK YOU FOR BEING RECEPTIVE TO OUR COMMENTS FROM THE LAST MEETING. THOSE ARE THE RIGHT DECISIONS.

I REITERATE WHAT MATT SAID. IT WOULD BE INTERESTING TO SEE WHAT HAPPENS OVER THE NEXT YEAR. JUST KEEP A THUMB ON IT IN CASE IT'S CAUSING PROBLEMS.

>> ABSOLUTELY. >> WE DON'T HAVE TO WAIT A YEAR TO MAKE ADJUSTMENTS IF IT DOES

START CAUSING PROBLEMS. >> CORRECT. WE WILL DEFINITELY.

IF WE SEE ANY DISCONNECTS, WE WILL COME BACK AGAIN WITH ADJUSTMENTS.

>> OKAY. SO COUNCIL, ALL OKAY? THANK YOU.

[3C. Hear a presentation and discuss a proposal to adopt a resolution of no objection to the proposed construction of the Eagle View Apartments in Rowlett to provide affordable and market rate rental housing, which will facilitate the developer's application for a 4% housing tax credit with the Texas Department of Housing and Community Affairs. (30 minutes)]

WE ARE A LITTLE OUT OF ORDER IN CASE WE START TO RUN OUT OF TIME.

WE ARE GOING TO SKIP ITEM 3B RIGHT NOW. WILL GO TO 3C.

HERE PRESENTATION DISCUSS A PROPOSAL TO ADOPT A RESOLUTION OF NO OBJECTION TO THE PROPOSED CONSTRUCTION OF EAGLEVIEW APARTMENTS AND RELIC TO PROVIDE AFFORDABLE AND MARKET RATE RENTAL HOUSING WHICH WILL FACILITATE THE DEVELOPER'S APPLICATION FOR A 4 PERCENT HOUSING TAX CREDIT WITH THE TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS.

>> AGAIN, THANK YOU, COUNSEL. I DO WANT TO QUICKLY INTRODUCE THE SUBJECT PROPERTY IS LOCATED ON THE SCREEN IN RED. THE REQUEST IS FROM THE APPLICANT FOR A 4 PERCENT HOUSING CREDIT TAX CREDIT WITH TD HCA. THEY REQUEST COUNCIL ADOPT.

ON OCTOBER 8, WE CONDUCTED A WORK SESSION WITH YOURSELVES TO COME UP WITH AN APPLICATION PROCESS SO THAT THE REVIEW AND DATA ASSOCIATED WITH THE PROPOSED PROGRAM WAS IN FRONT OF YOU. THAT IS WHY THE APPLICANT IS HERE TODAY, TO PRESENT THEIR CASE TO YOU, AND ZONING ON THE PROPERTY AND THE FUTURE LAND USE PLAN DESIGNATES THE PROPERTY.AGAIN, THIS ITEM IS FOR INFORMATIONAL PURPOSES. WE ARE SCHEDULED AND SLATED FOR THE JANUARY 7TH MEETING FROM HERE. I WILL INVITE GINA TO MAKE THE PRESENTATION. I WILL TAKE A SEAT HERE. WE HAVE A PRESENTATION.

>> GOOD EVENING. >> HOW ARE YOU? GOOD TO SEE YOU AGAIN.

>> WELL, I WILL TRY TO FLY THROUGH THIS A LITTLE BIT SO WE CAN HAVE MORE TIME FOR QUESTIONS AND LESS TIME FOR THE PRESENTATION. I WOULD BE HAPPY TO GO BACK ON ANY OF IT. I AM JEANNIE. I HAVE CRAIG WHITNER AND TOM

[00:10:05]

CROW, SENIOR AND EXECUTIVE VICE PRESIDENT AND CIVIL ENGINEER JOHN CARLSON IN CASE THERE ARE ANY QUESTIONS FOR THEM. WE WILL GET BACK TO THIS IN A MINUTE.

JUST A RENDERING OF ONE OF OUR DEVELOPMENTS DOWN IN SAN ANTONIO AND SIMILAR IN GEORGETOWN. HERE IS THE SITE. IT LOOKS A LITTLE BIT DIFFERENT HERE THAN YOU SAW. THERE'S ACTUALLY TWO PARCELS. THAT'S WHY THE RED COLORING SHOWED THE TRIANGLE KIND OF CUT OUT. WE ARE PURCHASING JUST WHAT'S IN YELLOW. ACTUALLY, ONLY WANTING TO EVENTUALLY REZONE WHAT'S IN YELLOW AND THEN LEAVE A HARD COMMERCIAL CORNER. THAT IS THE TURNPIKE AND MILLER ROAD IS WHERE WE ARE LOOKING. A LITTLE BIT FIRST ABOUT PEDCOR.

A LOT OF THIS COUNSEL I KNOW YOU FROM OUR PREVIOUS DEAL, RESIDENTS OF LONG BRANCH.

AS A REFRESHER, WE HAVE BEEN AROUND 30 YEARS. WE ARE VERTICALLY INTEGRATED WITH OUR OWN IN-HOUSE GENERAL CONTRACTOR AND LONG-TERM OWNERS.

WE ALSO MANAGE ALL OF OUR PROPERTIES. I THINK THIS COUNSEL IS PRETTY FAMILIAR WITH THE TAX CREDIT PROGRAM. IT DOES REQUIRE US TO MAINTAIN OWNERSHIP AT LEAST 18 YEARS. OUR BUSINESS MODEL IS THAT WE HOLD OUR PROPERTIES MUCH LONGER THAN THAT. WE HAVE PROPERTIES THAT ARE 30 YEARS OLD THAT WERE BACK IN THE 80S THAT WE STILL DO OWN AND MANAGE. I WOULDN'T NORMALLY PUT UP A PICTURE OF A SITE UNDER CONSTRUCTION, BUT THE REASON I'M DOING THIS IS BECAUSE I HAVE HAD A COUPLE MEETINGS WITH STAFF AND I HAVE GOT REALLY POSITIVE FEEDBACK ABOUT HOW CONSTRUCTION IS GOING OVER THERE. THAT IS PART OF OUR SELLING PEDCOR AS A PARTNER OF THE CITY AS A DEVELOPER IN THE CITY. AS I MENTIONED, WE DO HAVE OUR OWN IN-HOUSE GENERAL CONTRACTOR AND WE ARE RESPONSIBLE FOR THE CONSTRUCTION ON THAT SITE.

IF ANYTHING WERE TO GO WRONG, WE ARE NOT LOOKING AT SOME THIRD-PARTY CONTRACTOR AND POINTING FINGERS. YOU CAN CALL ME OR CRAIG OR TOM AND ASK US TO FIX ANY PROBLEMS THAT MIGHT ARISE. AFTER THAT CONSTRUCTION, WE WILL WIND UP WITH A TIGHTLY AND MAGNETIZED DEVELOPMENT. THIS PARTICULAR DEVELOPMENT WE ARE PROPOSING 292 UNITS BEE WINDOW 24 ONE-BEDROOM. 132 TWO BEDROOM. 36 TWO BEDROOM UNITS.

THEY WILL HAVE ALL OF OUR TYPICAL AMENITIES, POOL. I THINK TWO PLAYGROUNDS, COMMUNITY GARDEN, FITNESS CENTER, BUSINESS CENTER, ALL KINDS OF GREAT STUFF FOR OUR RESIDENTS. ONCE WE ARE UP AND RUNNING, AS I MENTIONED, PEDCOR TODAY, PEDCOR DURING CONSTRUCTION AND PEDCOR MANAGEMENT AS WELL. I RECALLED THIS WAS ONE OF THE REASONS WE WERE ABLE TO BE SUCCESSFUL A COUPLE YEARS AGO. SOME RESEARCH THAT MARTHA WHO IS NOT HERE HAD DONE. WE WERE VERY PROUD OF ALL OF THAT AND WE STILL ARE.

WE MANAGE WELL OVER 15,000 UNITS. WE HAVE NEVER HAD A DEFAULT.

MAINTAIN 95 PERCENT OCCUPANCY. THAT IS NOT A MISTAKE. THAT'S FROM A LOT OF EXPERIENCE. STRICT HOUSE RULES AND STRICT SCREENING FOR OUR TENANTS.

I LEAVE THIS SLIDE BECAUSE IT'S KIND OF PART OF OUR PRESENTATION, BUT I KNOW THIS COUNSEL UNDERSTANDS HOW TAX CREDIT COMMUNITIES DO WORK. I LIKE TO EMPHASIZE THESE DO OPERATE JUST LIKE DEVELOPMENTS WITH RESPECT TO OUR WANTING TO MAKE SURE THEY ARE WELL-MAINTAINED AND WE HAVE GOOD TENANTS PAYING THEIR RENT. YOU KNOW, WE HAVE A MORTGAGE WE HAVE TO PAY AS WELL AND WE CAN'T BE SUCCESSFUL AND CONTINUE TO DO GOOD BUSINESS UNLESS WE ARE OPERATING THESE PROPERTIES WELL. SINCE WE ARE LONGTIME OWNERS AND OPERATORS, WE ARE ESPECIALLY INTERESTED IN THAT. I'M HAPPY TO ANSWER ANY DETAILED QUESTIONS ABOUT THE TAX CREDIT PROGRAM. I THINK THIS COUNCIL IS PRETTY FAMILIAR WITH HOW IT ALL WORKS. I WILL MAKE THIS POINT. TAX CREDIT COMMUNITIES ARE HIGHLY MONITORED BY LOCAL STATE AND FEDERAL GOVERNMENT. WE ALSO PAIR DEVELOPMENTS WITH HUD PRODUCT THAT'S NOT REQUIRED BY THE PROGRAM.HAT IS A BUSINESS CHOICE WE MAKE.

WE HAVE HUD LOOKING OVER OUR SHOULDER, TOO. ARE INVESTORS ALSO MONITOR ON A REGULAR BASIS. MORE IMPORTANTLY, WE AS MANAGERS AND OPERATORS ALSO INSPECT OUR PROPERTIES ON A VERY REGULAR BASIS. THINK ONCE EVERY THREE MONTHS OR SO TO MAKE SURE OUR TENANTS ARE FOLLOWING OUR HOUSE RULES AND THE PROPERTIES MAINTAIN WHAT WE

[00:15:07]

WANT. THIS PARTICULAR PROPERTY WE WILL BE PARTNERING WITH THE HOUSING FINANCE CORPORATION. THROUGH THE PARTNERSHIP WE WILL SHARE THE DEVELOPMENT FEE AND CASH FLOW. A LOT OF THOSE PROFITS WILL GO RIGHT BACK TO THE CITY OF ROWLETT HFC SO THEY CAN FURTHER SOME OF THEIR CAUSES AS WELL WHICH I KNOW BENEFIT THE CITY OF ROWLETT. MOST IMPORTANTLY FOR ME, IT IS THAT WE ARE REALLY HELPING FOLKS THAT ARE PROBABLY LIVING RIGHT HERE IN ROWLETT OR CLOSE BY AND ARE JUST REALLY RENT BURDENED. THEY ARE PAYING MARKET RENTS THAT ARE WELL OVER WHAT THEY CAN AFFORD AND WE WOULD LIKE TO PUT A LITTLE EXTRA MONEY IN THEIR POCKETS SO THEY CAN SPEND IT AT BUSINESSES IN THE CITY. WHO ARE THOSE RESIDENTS? THEY ARE MAKING $35-$58,000 PER YEAR. A QUICK SEARCH ON INDEED.COM IN THE LAST FEW DAYS PAGES AND PAGES OF JOBS IN THE AREA THAT FALL RIGHT IN THOSE INCOME RANGES.

I SAW SOME LIBRARIANS AND THINGS LIKE THAT. MEDICAL AND OFFICE PERSONNEL AS WELL. THE PROPERTIES WILL NEED TO BE REZONED.

IT IS CURRENTLY ZONED C-3. WHAT OUR PROPOSAL WILL BE, AND WE HAVE NOT SUBMITTED A ZONING APPLICATION YET, BUT IT WILL BE A PLAN DEVELOPMENT WITH AN UNDERLYING C-3 SO IF WE WERE TO WALK AWAY FOR WHATEVER REASON THAT IT WOULD REVERT BACK TO THE C-3.

THE PLAN DEVELOPMENT WOULD ALLOW FOR A SIMILAR SITE PLAN THAT WOULD HAVE TO BE APPROVED THROUGH THAT PROCESS. WE END THE SELLERS OF THE LAND WOULD LIKE TO STILL BE ABLE TO RETAIN SOME OF THAT C-3 IF THAT'S EVER A POSSIBILITY. THAT SAID, I KNOW THE SELLERS HAVE MARKETED THIS PROPERTY FOR COMMERCIAL USE FOR YEARS AND YEARS AND HAVE HAD NO SUCCESS.

I HAD ANOTHER CONVERSATION WITH A BROKER JUST THIS MORNING. HE CANNOT GET SOME OF THE BIGGER BOX GUYS ESPECIALLY TO EVEN RETURN HIS CALLS EVEN THOUGH HE HAS VERY GOOD RELATIONSHIPS WITH THEM. HEY'RE JUST NOT REALLY THAT INTERESTED IN THAT MUCH IN THE ENTIRE 19 ACRES WORTH OF COMMERCIAL PROPERTY. WHAT I'M SHOWING HERE IS WHAT IT WOULD WIND UP LOOKING LIKE WITH COMMERCIAL ON THE CORNER. OUR DEVELOPMENT IN YELLOW.

THEN YOU STILL HAVE ZONED FOR RETAIL, COMMERCIAL, OFFICE. THAT IS FUTURE LAND USE MAP DESTINATION. THE PURPLE IS ZONED AND OR MAYBE JUST FUTURE ãI DON'T REMEMBER NOW, BUT ALSO MIXED-USE. THE POINT BEING THIS KIND OF ENTIRE CORRIDOR ALONG THE TURNPIKE REALLY SEEMS TO LEND ITSELF TO MIXED-USE TO SOME RESIDENTIAL AND SOME COMMERCIAL. I THINK THROUGH THIS ZONING REQUEST THAT WE WILL BE RETAINING THAT KIND OF CHARACTER.

AND I WANT TO THROW THIS IN AS WELL. THIS IS PART OF OUR APPLICATION, THE MULTI FAMILY WITHIN TWO MILES. I WOULD SAY IT IS WELL SCATTERED. WE ARE NOT RIGHT ON TOP OF ANY OF THE OTHER ONES.

WE HAVE OUR OWN DEAL. RESIDENTS OF LONG BRANCH. IT DOES SHOW IN MY OPINION A NICE SCATTERING OF MULTI FAMILY HOMES. THIS IS OUR SITE PLAN.

WE HAVE 13 RESIDENTIAL BUILDINGS. MOST OF THESE ARE THREE-STORY.

THREE-STORY BUILDINGS ARE ON THE INTERIOR OF THAT SITE PLAN. THE BUILDINGS THAT YOU SEE THERE ALONG MILLER ROAD AND ALONG THE TURNPIKE AS WELL WILL BE LIKE THIS ONE THAT I SHOWED EARLIER WHICH IS A REALLY NICE 232 PRODUCT. I WILL BE HONEST, THIS PICTURE DOESN'T DO JUSTICE. IN PERSON IT'S REALLY QUITE BEAUTIFUL.

WE WANT TO MAKE SURE THAT'S WHAT PEOPLE CAN SEE FROM THE TURNPIKE AND FROM OUR NEIGHBORS AND MILLER ROAD AS WELL. AS FAR AS A TIMELINE GOES, WE ARE RIGHT HERE IN THE PRESENT THROUGH APRIL. WE ARE LOOKING FOR NECESSARY ZONINGS FROM YOU.

THAT WOULD BE ZONINGS WITH RESOLUTION WITH NO OBJECTION THAT WE WOULD START PRODUCTION AND GO THROUGH FINANCING APPROVALS AND NOT PROBABLY CLOSE AND START CONSTRUCTION UNTIL THE SPRING OR SUMMER OF 2021. WE WOULDN'T BE COMPLETE UNTIL THE SUMMER OF 2023. I SAY THAT JUST FOR PLANNING PURPOSES WITH RESPECT TO SCHOOLS AND OTHER DEVELOPMENTS THAT MIGHT BE COMING ONLINE. I WILL SAY, AND I DID WANT TO

[00:20:04]

FLY THROUGH SOME OF THIS, BUT A COUPLE POINTS I WANT TO MAKE IS I KNOW OUR APPLICATION BID PROVIDE SOME FINANCIAL INFORMATION AS WELL. ALTHOUGH, THROUGH OUR PARTNERSHIP WITH HOUSING FINANCE CORPORATION, WE WOULD BE ELIGIBLE FOR A FULL PROPERTY TAX EXEMPTION. WE HAVE AGREED TO ENTER INTO A PILOT AGREEMENT WHICH WOULD GENERATE REVENUE FOR THE CITY. WE WOULD PAY WHAT WOULD OTHERWISE BE CITY TAXES.

WE WOULD HAVE THE PROPERTY TAX EXEMPTION. ALSO I DID WANT TO POINT OUT THE RENTS THAT WE WERE SHOWING IN THE FINANCIALS WERE THE MAXIMUM RENTS WE COULD CHARGE.

WE HAVE A LITTLE BIT OF ROOM IN THIS DEAL SO IF WE WANT TO REDUCE THAT IS A LITTLE BIT IF WE NEEDED TO THE MARKET BEAR THAT OUT THEN WE COOK. I DON'T SAY WE HAVE A LOT OF ROOM IN THE DEAL, BUT A LITTLE BIT TO ALLOW THAT TO HAPPEN. AND I INCLUDED THIS IN MY APPLICATION AS WELL. I WENT THROUGH THE COMPREHENSIVE PLAN AND I HAVE TO ADMIT I WAS HAPPY TO SEE SEVERAL TIMES WHERE AFFORDABLE HOUSING AND PARTICULARLY MULTIFAMILY RENTAL HOUSING WAS MENTIONED AS SOMETHING THAT'S NEEDED IN ROWLETT.

WE FEEL LIKE WE ARE RESPONDING TO THAT. OUR THIRD-PARTY MARKET ANALYST HAS INDICATED THERE'S DEMAND FOR -- 4000 UNITS OF DEMAND THAT WOULD TRANSLATE INTO 600 OR SO UNITS THAT ROWLETT COULD ABSORB RIGHT AWAY AS FAR AS PORTABLE HOUSING GOES.

AND THEN FINALLY I WILL SAY I KNOW THE ROWLETT HOUSING CORPORATION IS RELATIVELY NEW.

WE HAVE A VAST AMOUNT OF EXPERIENCE WITH THESE KINDS OF PARTNERSHIPS.

IF YOU WERE TO TALK TO SANTONIO HOUSE TRUST FUND CORPORATION, THEY WOULD TELL YOU WE ARE THEIR BEST PARTNERS. ALTHOUGH THE HFC MIGHT BE NEW TO THESE PARTNERSHIPS, I THINK WE WOULD BE A GREAT -- THEY HAVE ONE OF THE DEAL UNDER CONSTRUCTION RIGHT NOW.

I THINK WE CAN SHOW THE HFC AND CITY OF ROWLETT WHAT THESE PARTNERSHIPS SHOULD REALLY LOOK LIKE AND HOW THEY SHOULD FUNCTION AND HOW THE PROPERTIES SHOULD COME TO FRUITION.

I WILL LEAVE THAT FOR QUESTIONS. >> THANK YOU SO MUCH.

APPRECIATE THAT. COUNCIL, I WANT TO DO SOME OF YOU HAVE BEEN THROUGH THIS BEFORE AND SOME HAVEN'T.HE SPECIFIC ITEM ON THE AGENDA IS A DISCUSSION TO DETERMINE IF WE WOULD POTENTIALLY SUPPORT A RESOLUTION OF NO OBJECTION FOR A PROPOSED CONSTRUCTION OF THE EAGLEVIEW APARTMENTS. THAT IF WE WERE TO DETERMINE THAT WE ARE SUPPORTIVE OF THAT IT WILL COME ON AND AGENDA IN JANUARY AND THEN AFTER THAT A POTENTIAL REZONING WOULD FOLLOW. OKAY? SO THIS IS AN ITEM ONLY FOR DISCUSSION IN THE WORK SESSION. I'M GOING TO DO A COUPLE DIFFERENT THINGS TONIGHT BECAUSE I THINK IT'S IMPORTANT TO DO IT THIS WAY. I'M GOING TO ASK IF WE HAVE ANY QUESTIONS FROM COUNCIL AND THEN I WILL GIVE ANYBODY IN THE AUDIENCE A CHANCE TO COMMENT FOR UP TO TWO MINUTES. AND THEN WE CAN OPEN DISCUSSION AFTER THAT AS TO OUR THOUGHTS OF SUPPORTING OR NOT SUPPORTING THE PROPOSAL.OES ANYONE HAVE ANY CONCERNS ABOUT THAT APPROACH? DOES THAT SOUND GOOD? OKAY.

QUESTIONS FOR MENAUL OR JEAN AT THIS TIME. >> CAN YOU STAY FOR THE PUBLIC

WHAT YOU ARE LOOKING UP FOR RENTAL RATES AT THIS TIME? >> SURE.

LET ME GET MY CHEAT SHEET. IF WE WERE OPERATING RIGHT NOW ON THE CURRENT AMIS, WE WOULD HAVE 876 FOR A ONE BEDROOM. 1055 FOR TWO BEDROOM, 1222 FOR THREE BEDROOM.

THOSE WOULD BE THE MAXIMUM WE CAN CHARGE. >> IN TODAY'S DOLLARS.

>> THAT'S RIGHT. >> OKAY. AND HAVE YOU STARTED MARKETING

OR STARTED TO LEASE THOSE? >> NOT QUITE YET BECAUSE WE ARE NOT QUITE TO THE POINT WHERE WE COULD GIVE A DEFINITE MOVE-IN DATE, BUT WE WILL BE THERE PRETTY SOON.

>> SO WE DON'T KNOW HOW THEY ARE LEASING OUT YET. >> NOT YET.

>> OKAY. THAT'S ALL I HAVE. >> THOSE ARE YOUR STORIES?

STORIES. THOSE ARE YOUR QUESTIONS? >> THERE IS A STORY IN THERE

SOMEWHERE, BUT NO. >> YOU MENTIONED PARTNERSHIP, PARTNERING WITH THE HOUSING FINANCE COURT. WHAT DOES THAT LOOK LIKE? CAN YOU GIVE ME A LITTLE MORE

DETAILS ON THAT? >> SURE. THESE ARE OWNED BY LIMITED PARTNERSHIP. ALL TAX CREDIT DEALS ARE. 99 PERCENT INVESTOR.

THAT'S THE BUYER OF THE TAX CREDITS. THE GENERAL PARTNER WILL BE THE HOUSING FINANCE CORPORATION. PEDCOR WILL BE THE PARTNER. HFC REALLY DOES HAVE CONTROL.

[00:25:02]

THROUGH THE PARTNERSHIP, STATE LAW ALLOWS US BECAUSE THEY ARE A NONPROFIT TO BE ELIGIBLE FOR PROPERTY TAX EXEMPTION. I'M NOT SURE IF YOU WANT MORE DETAIL.

>> WELL RESIDENTS OF LONG BRANCH. >> RIGHT.

IT'S A DIFFERENT TYPE OF PARTNERSHIP. 9 PERCENT TAX CREDITS WORK A LITTLE BIT DIFFERENT. LONG BRANCH WAS NOT PRESENT, SO STRAIGHT UP LIMITED PARTNERSHIP. PEDCOR AS A GENERAL INVESTOR AND THAT WAS IT.

THESE ARE MORE COMPLICATED BECAUSE THE 4 PERCENT TAX CREDITS NEED TO BE PAIRED WITH TAX-EXEMPT BONDS. YOU NEED AN ISSUER OF BONDS. WHETHER THEY WERE REAL THE HFC OR ANOTHER TYPE OF ISSUER, WE ARE KIND OF LIMITED WHERE WE CAN GO BECAUSE THEY HAVE JURISDICTIONS. WE GO TO THE HFC FOR THE BOND ISSUANCE.

AND THEN BECAUSE THIS DEVELOPMENT REALLY DOES NEED SOME TAX RELIEF TO WORK FINANCIALLY, WE ALSO ENTER INTO THAT PARTNERSHIP. WE COULD JUST USE THE HFC AS A BOND ISSUER AND NOT HAVE THE PARTNERSHIP, BUT THE FINANCIAL FEASIBILITY OF THIS DEVELOPMENT

DEPENDS ON THAT PARTIAL PROPERTY TAX EXEMPTION. >> ARE WE OKAY WITH THAT?

>> YES. SO HOW DID JILL COME TO CHOOSE THIS SPECIFIC PARCEL?

>> WELL, A NUMBER OF DIFFERENT WAYS ACTUALLY. THE HFC, RICK HAS BEEN HOUNDING ME TO COME BACK TERRELL LET BECAUSE HE REALLY WANTED US TO COME BACK AND DO A DEAL HERE.

THEN WE HAVE A BROKER NETWORK. I THINK IT WAS A BROKER WHO PROBABLY SAID THIS WOULD WORK GREAT FOR YOU. WE DID SOME DUE DILIGENCE. IT'S A NICE SIZE FOR US.

ALL DEVELOPMENT IS GOING TO GENERATE A LITTLE BIT OF TRAFFIC.

WE DON'T FEEL LIKE WE ARE CREATING A LOT OF CONGESTION BY BEING FURTHER IN.

FOLKS CAN GET TO IT PRETTY EASILY FROM THE TURNPIKE AND BEING RIGHT THERE WITH ACCESS TO GET INTO DALLAS OR WHEREVER WE NEED TO GO. WE THOUGHT THE VISIBILITY AND MARKETABILITY OF THE ENTIRE SITE WAS REALLY NICE. PLUS, IT'S NICE AND FLAT WITHOUT A LOT OF TREES.

PUBLIC AND MAYBE SOME COUNCIL THAT HAVEN'T BEEN INVOLVED IN THESE DEALS, HOW THE 9 PERCENT AND 4 PERCENT DEAL DIFFERS FROM EACH OTHER IN REGARDS TO IMPACTING THE ACTUAL RESIDENTS.

LIKE A 9 PERCENT DEAL, THE RESIDENTS THAT QUALIFY FOR THAT ARE X.

AND THE 4 PERCENT ARE Y. >> RIGHT. SO THE OVERALL REQUIREMENT FOR ANY TAX CREDIT DEAL IS 9 PERCENT. A CERTAIN AMOUNT OF UNITS AT OR BELOW 60 PERCENT AMI. THAT'S WHAT WE ARE PROPOSING IS 100 PERCENT OF THE UNITS AT OR BELOW 60 PERCENT AND MEDIAN INCOME. 9 PERCENT CREDIT IS VERY COMPETITIVE AND GENERATES A LOT MORE EQUITY IN THE DEALS THE 4 PERCENT CREDITS DO.

SO THE STATE MAKES UP RULES FOR THAT COMPETITION FOR 9 PERCENT CREDITS.

ONE OF WHICH IS MUCH DEEPER INCOME TARGETING.HE STATE OF TEXAS, IF YOU WANT TO GAIN POINTS IN HER APPLICATION FOR 9 PERCENT DEAL THEN YOU NEED TO HAVE I THINK 10 PERCENT AT 30 PERCENT OF AMI AND ANOTHER I THINK 40 PERCENT AT 50 PERCENT AMI, AND THE REMAINDER AT 60 PERCENT AMI. THAT IS A CHOICE, BUT A CHOICE THAT ALL 9 PERCENT DEVELOPERS

MAKE OTHERWISE YOU CAN'T BE COMPETITIVE FOR THE CREDITS. >> SO TO THE PUBLIC, THE ANSWER

IS CHEAPER RENT FOR THE 9 PERCENT. >> MUCH LOWER, YES.

AND MUCH LOWER INCOME TARGETING, TOO. THOSE FOLKS AT LOWER RENTS ARE

ALSO HOMEMAKING UP TO 30 PERCENT OF THEIR NEEDED INCOME. >> ARE ANY OF THE UNITS AT THIS

PROPOSED SITE MARKET RENTAL? >> WE ARE PROPOSING 100 PERCENT AFFORDABLE RIGHT NOW.

>> YOU ARE ALLOWED TO. >> WE ARE ALLOWED TO. IT MAKES THE DEAL MORE DIFFICULT TO DO FINANCIALLY. BASICALLY THE TAX CREDIT AWARD IS BASED ON DEPRECIABLE ASSETS ON AN ELIGIBLE BASIS MULTIPLIED BY THE NUMBER OF AFFORDABLE UNITS YOU HAVE IN THE DEVELOPMENT. MULTIPLY THAT BY 100 PERCENT INSTEAD OF 90 PERCENT.

[00:30:02]

>> OKAY, BUT YOU HAVE CHOICES. YOUR CHOICE ON THIS PROPOSAL IS 100 PERCENT AFFORDABILITY.

>> THAT'S RIGHT. >> YOU AND I TALKED A LITTLE BIT ABOUT THIS.

YOU TALKED ABOUT THE COMMERCIAL CORNER AND WHAT THE LANDOWNER IS LOOKING TO DO.

I KNOW COMMERCIAL IS NOT WHAT PEDCOR DOES, BUT TO ME THIS AREA SCREAMS COMMUNITY FOR THE WHOLE THING. THERE'S POSSIBILITIES THAT ARE THERE.

WHAT ARE SOME OF THOSE CONVERSATIONS THAT COME ABOUT? >> SURE.

I WILL SAY WE HAVE A PRETTY COOPERATIVE SELLER. HE HAS NOT GIVEN ANY INDICATION AS TO WHAT EXACTLY WOULD GO THERE. I DON'T GET THE IMPRESSION THEY INTEND TO DEVELOP IT THEMSELVES EITHER. BECAUSE WE HAD THESE CONVERSATIONS ABOUT MAKING SURE WE RETAIN SOME COMMERCIAL IN THE AREA, THEY JUST FELT LIKE THEY COULD CREATE AND POTENTIALLY MARKET THAT, BUT THEY DON'T HAVE A BUYER.

THEY HAVE HAD A LOT OF CONVERSATIONS WITH SOME BIGGER COMMERCIAL BUYERS AND HAVE REALLY BEEN UNSUCCESSFUL. SINCE WE HAVEN'T SUBMITTED A ZONING APPLICATION YET, IF THE CITY'S PREFERENCES IS TO REZONE ALL THAT, WE COULD GET THE SELLER TO AGREE TO THAT.

OUR PURCHASE CONTRACT IS ONLY FOR 15 ACRES, BUT ARE ZONING APPLICATION HAS BEEN SUBMITTED YET. IF YOU WOULD PREFER TO SEE THE ENTIRE 19 ACRES I THINK WE CAN

CERTAINLY MANAGE THAT. >> WELL, LOTS OF DIFFERENT THINGS IN THERE.

>> WE ARE AT THE QUESTION SECTION. >> PEDCOR ITSELF HAS NEVER DONE

ANY TYPE OF MIXED-USE? >> A WHILE BACK THERE HAVE BEEN SOME COMMERCIAL DEVELOPMENT.

THERE IS EXPERIENCE THERE, BUT IT'S NOT REALLY WHAT WE ARE DOING RIGHT NOW.

>> COUNCIL QUESTIONS? >> WHAT TYPE OF SCREENING DO YOU DO OF THE RESIDENCE TO

QUALIFY FOR THIS DEVELOPMENT? >> CRIMINAL BACKGROUND CHECK. A SEX OFFENDER CHECK.

AND THEN CREDIT HISTORY AND RENTAL HISTORY. LIKE I SAID, WE NEED TO MAKE SURE NOT JUST THAT THEY ARE EXCEEDING THE INCOME LIMIT, BUT THAT THEY CAN ALSO PAY THEIR

RENT. >> RIGHT. SINCE WE ARE MAKING DELIBERATIONS ON POTENTIAL SUPPORT OR NOT SUPPORT OF THIS, I'M GOING TO ASK IF THERE'S ANYONE IN THE AUDIENCE WHO WOULD LIKE TO SPEAK AT THIS TIME PLEASE RAISE YOUR HAND.

YOU HAVE TWO MINUTES. NAME AND ADDRESS. >> I APOLOGIZE FOR BEING A LITTLE BIT LATE. RICK SHATTERFIELD WITH THE HOUSING FINANCE CORPORATION DEPARTMENT. THE MAIN THING I WANT TO ADD FOR COUNCIL TO CONSIDER IS YOU HEAR A LOT OF STUFF FROM THE COMMUNITY ABOUT SECTION 8 HOUSING.

PEOPLE IN THIS COMMUNITY MAKE TOO MUCH MONEY FOR SECTION 8. IT'S A TOTALLY DIFFERENT PROGRAM. THESE ARE FOLKS WORKING. SOME MIDDLE-CLASS ARE GETTING PASSED UP. YOU HEAR ABOUT THE NATIONALITY CRISIS IN THIS COUNTRY.

THE MIDDLE CLASS IS AFFECTED. COUNCIL HAD THE WISDOM OF YEARS AGO TO SEE THAT AND BRING IN THIS TYPE OF HOUSING AND HAVE THE WORKFORCE. FROM THAT ASPECT, A STRONG

DEVELOPMENT TO HANDLE THAT AND BRING WORKERS IN. >> THANK YOU.

ANYONE ELSE WISH TO SPEAK AT THIS TIME? >> I HAVE ONE MORE QUESTION.

I APOLOGIZE. I AM OUT OF ORDER. WHAT IS THIS PROPERTY ON A COMPREHENSIVE PLAN? FUTURE LAND-USE. 100 PERCENT STATEWIDE? OKAY. COUNSEL AT THIS TIME WILL TAKE GENERAL COMMENTS.

DOES ANYONE WANT TO START? >> SURE. I WILL START.

THIS ONE IS A HARD WANT. WHAT MAKES IT SO HARD IS I BELIEVE PEDCOR YOU DO A GREAT

[00:35:01]

PRODUCT. I'M HAPPY WITH YOU GUYS ARE BUILDING.

MY PERSONAL OPINION ON THIS IS THE CORRIDOR TO ME IS JUST RIGHT FOR A BUSINESS CORRIDOR.

I UNDERSTAND THEY HAD A HARD TIME MARKETING THAT. THE GLOBAL SITE IS GOING TO BE COMING ONLINE IN THE NEXT COUPLE YEARS. THEY ARE FINISHING THE BIG MONSTROSITY THAT'S GOING TO BE COMING ONLINE AND THERE'S GOING TO BE MORE I THINK PEOPLE AND ATTENTION BROUGHT TO THAT. I THINK IT IS TOO EARLY IN THE GAME TO START SAYING THE SITE IS NOT MARKETABLE FOR COMMERCIAL. I BELIEVE THERE IS A RESIDENTIAL COMPONENT THAT NEEDS TO BE THERE, BUT I THINK THE STRETCH TYING INTO REDEVELOPMENT AND GLOBAL SITE I THINK IT SCREAMS FOR A BIG PD MIXED-USE TYPE OF DEVELOPMENT TO MAXIMIZE THAT. IT SHOULD BE REALLY ATTRACTIVE TO OTHER PEOPLE.

IF WE WERE GOING TO DO A MULTI FAMILY 4 PERCENT DEAL, IT WOULD BE WITH YOU AND WE ENTRUST YOU WOULD DO THE BEST PRODUCT AND MAINTAIN IT AND YOU CAN BACK THAT UP 100 PERCENT.

IN MY OPINION, I DON'T THINK IT'S THE RIGHT SPOT IN TERMS OF WHAT OUR FUTURE LAND-USE PLAN IS IN PREDICTING THE CORRIDOR THAT A LONG TIME AGO COUNSEL FOUGHT TO GET THROUGH THIS COMMUNITY. I THINK IT'S AN IMPORTANT PIECE THAT WE NEED TO PROTECT FOR AS LONG AS WE CAN TO MAKE SURE WE ARE MAXIMIZING THAT SPACE TO THE BEST OF ITS ABILITY.HAT IS JUST MY OPINION. IT IS NOTHING AGAINST THE PRODUCT.

IT IS NOTHING AGAINST THE RHETORIC GOING ON ONLINE. I THINK I HAVE PROVEN BEFORE IF IT'S THE RIGHT PRODUCT IN THE RIGHT PLACE THERE IS A NEED FOR IT AND I'M GOING TO BE SUPPORTIVE OF IT, BUT IT REALLY DOES COME DOWN TO THAT CORRIDOR FOR ME PARTICULARLY IN TERMS OF

THE SITE. >> I HAVE THE SAME CONCERN AS WELL.

THERE WAS MENTION IN THE PACKET, AND YOU MENTIONED IT HERE, ABOUT THE COMPREHENSIVE PLAN AND TALKING ABOUT THE NEED FOR AFFORDABLE HOUSING IN OUR CITY.

THE COMPREHENSIVE PLAN ALSO SAYS THIS LAND IS BEING DESIGNATED FOR COMMERCIAL PURPOSES. LIKE MATT SAID, BEING ON THE CORRIDOR YOU SAYING IT'S VERY VISIBLE AND EASY TO GET OFF AND ON GEORGE BUSH, THAT IS PERFECT FOR RETAIL USE AND OFFICE SPACE. I THINK IT WOULD BE A PRETTY SAD DAY IF THIS LAND WERE TO GO TO SPECIFICALLY ONLY MULTI FAMILY WHERE WE LOSE THE OPPORTUNITY TO DEVELOP THIS FOR PREMIUM RETAIL USE, RETAIL, RESTAURANT COMMERCIAL. I CAN'T SUPPORT IT BECAUSE OF THAT. IS NOT ANYTHING AGAINST THE AGENCY OR PEDCOR.

IT JUST COMES DOWN TO THIS SPECIFIC PARCEL. .

THANK YOU. >> I WILL HAVE TO AGREE WITH THEM. HAVE SEVERAL TIMES ABOUT A COUPLE MAJOR THOROUGHFARES THAT WE HAVE. WE HAVE ROWLETT ROAD AND DALROCK. THOSE ARE MAJOR THOROUGHFARES. ALL THEY ARE IS BACKS OF HOUSES. I'M WITH MATT. WE NEED TO PRESERVE THIS.

THIS AREA HAS TO BE PRESERVED. WE CAN'T PUT A LIVING AREA LIKE THAT HERE.

SOMEWHERE ELSE WILL PROBABLY BE JUST FINE, BUT I DON'T THINK THIS IS THE SPOT.

>> OKAY. SO NO PROBLEM WITH THE CONVERSATION.

JUST UNDERSTAND WE ARE CONSIDERING THE LETTER OF OBJECTION SUPPORT OR NOT FOR 4

PERCENT DEAL. >> I UNDERSTAND. >> IT IS ALL INTERTWINED.

>> TO APPROVE THE WE COME BACK. >> I AGREE WITH THE OTHERS. >> I AGREE WITH THE OTHERS.

THE LOCATION. >> I DON'T HAVE A WHOLE LOT TO ADD.

FIRST, JEAN, I VOTED AGAINST THE RESIDENCE AS YOU WILL NOTE, BUT I'M HAPPY WITH THE QUALITY PRODUCT YOU ARE BRINGING. I APPRECIATE THAT MUCH. I DO THINK THAT AFFORDABLE HOUSING IS VERY, VERY IMPORTANT FOR THIS COMMUNITY. I DON'T KNOW THAT WE HAVE ENOUGH. IT'S A REALLY HARD TIME TO FIGURE THIS OUT BECAUSE WE'VE GOT SO MUCH IN CONSTRUCTION THAT IS NOT OCCUPIED. IT IS REALLY HARD FOR US TO GO, WE NEED MORE, WE DON'T NEED MORE. I KNOW I TALKED TO A LOT OF

[00:40:05]

PUBLIC OFFICIALS THROUGHOUT THE COUNTRY AND THERE IS A HUGE HOUSING CRISIS ACROSS THIS COUNTRY. WE HAVEN'T EXPERIENCED IT TO A GREAT DEAL IN TEXAS YET BECAUSE HOUSING IN TEXAS FOR THE MOST PART HAS BEEN AFFORDABLE FOR MANY DECADES.

WE ARE STARTING TO SEE THE HOUSING IN TEXAS IS REALLY BECOMING OUT OF REACH FOR A LOT OF PEOPLE BECAUSE OF THE HUGE APPRECIATION AND MARKET VALUES AND HOMEOWNERSHIP WHICH WAS PRETTY EASY FOR MOST OF US ON THIS COUNSEL. IT'S VERY DIFFICULT ANYMORE FOR PEOPLE COMING OUT OF COLLEGE AND YOUNG FAMILIES. I THINK WE ARE GOING TO CONTINUE IN THIS COMMUNITY AND SURROUNDING COMMUNITIES TO REALLY START TO FEEL THE HOUSING CRISIS THAT I KNOW MY COUNTERPARTS ARE FEELING ACROSS THE COUNTRY IN DROVES.

THERE ISN'T A CONFERENCE OR ANYTHING I GO TO THAT I MEET WITH OTHER MAYORS WHERE AFFORDABLE HOUSING IS NOT THE NUMBER ONE ISSUE. THAT'S WAY TOO MANY NEGATIVES.

AFFORDABLE HOUSING IS THE NUMBER ONE ISSUE FOR MOST OF MY COUNTERPARTS ACROSS THE COUNTRY. WE CAN'T IGNORE THAT IN THIS NORTH TEXAS REGION.

PEDCOR, IF WE WERE GOING TO DO A PRODUCT AT THAT CORNER, I WOULD WANT PEDCOR THERE. A LOT OF GOOD THINGS ABOUT PEDCOR. MARTHA IS NOT HERE TONIGHT BECAUSE SHE IS NOT FEELING WELL, BUT MARTHA IS A VERY STRONG SUPPORTER OF PEDCOR. I THINK TOP-NOTCH COMPANY AND WE APPRECIATE THE PRODUCT YOU ARE BRINGING TO THE CITY OF ROWLETT.

I WILL NOT SUPPORT THIS TAX CREDIT APPLICATION AND I WOULD NOT SUPPORT REZONING ON THAT

CORNER AT THIS TIME. ANY OTHER DISCUSSION, COUNCIL? >> I WISH YOU HAD A COMMERCIAL

PLAN. >> WE HAVE A COMMERCIAL CORNER. I DON'T WANT TO BE OUT OF ORDER, BUT I THINK WHETHER IT'S ME OR SOMEBODY ELSE THAT BRINGS SOMETHING TO THIS SITE, I THINK IT'S GOING TO BE MULTIFAMILY. THE FACT IS IT'S JUST TOO CLOSE TO 66.

66 IS ALREADY ALL COMMERCIAL. THE COMMERCIAL GUYS ARE NOT GOING TO GO JUST ONE BLOCK SOUTH OF 66 AND SUDDENLY CREATE ONE TINY LITTLE COMMERCIAL CORNER.

THEY'RE JUST NOT. MILLER ROAD IS NOT LARGE ENOUGH.

66 IS RIGHT THERE. THEY HAVE BEEN TRYING THIS FOR YEARS.

I UNDERSTAND ZONING AND PLANNING ISN'T PERFECT. SOMETIMES IT'S TIME TO LOOK AT THAT AGAIN. I REALLY THINK IF YOU LOOKED AT IT AGAIN YOU MIGHT SEE MULTIFAMILY REALLY DOES MAKE SENSE HERE, AND ESPECIALLY ATTRACTIVE MULTIFAMILY.

>> I DO, TOO, JEAN. I AGREE WITH YOU. WHAT I DON'T AGREE WITH IS YOU DO THE MULTIFAMILY AND IT LEAVES A SMALLER CORNER THERE WHICH DOESN'T GIVE FUTURE COMMERCIAL A LOT OF ROOM TO DO ANYTHING. THAN WHAT YOU END UP WITH IS STRIP MALL TYPE OF COMMERCIAL. THAT'S NOT THE TYPE OF COMMERCIAL I WANT TO SEE.

I WANT TO SEE COMMERCIAL INTEGRATED INTO THE HOUSING. I WOULD RATHER SEE COMMERCIAL AND BUSINESS ON THE FIRST FLOOR AND HAVE RESIDENTIAL ON THE SECOND FLOOR, AND THEN YOU CAN HAVE A PRODUCT LIKE YOURS BEHIND. WHAT I FEAR IS THAT MAKES THE CORNER THAN LAST SYLLABLE FOR OTHER TYPES OF COMMERCIAL AS IF YOU HAD SOMEONE WHO COULD COME LOOK AT THE SITE AS A WHOLE AND DO IT AS A PD. THAT IS WHERE MY THOUGHT

PROCESSES. >> PERHAPS WE CAN LOOK AT THE ENTIRE CORNER.

AGAIN, I DON'T KNOW YOU'LL EVER BUILD THE ENTIRE 19 ACRES WITH COMMERCIAL OFFICE.

ESPECIALLY WITH AMAZON.

>> SURE. . >> ALL RIGHT.

[3D. Hear a presentation and discuss a proposal to adopt a resolution of no objection to the proposed new construction of the Cypress Creek Apartment Homes at Old Rowlett Road to provide affordable and market rate rental housing, which will facilitate the developer's application for 4% housing tax credit with the Texas Department of Housing and Community Affairs. (30 minutes)]

THE NEXT ITEM FOR CONSIDERATION IS ITEM 3D. HERE PRESENTATION AND DISCUSS A PROPOSAL TO ADOPT A RESOLUTION OF NO OBJECTION TO THE PROPOSED NEW CONSTRUCTION OF THE CYPRESS CREEK'S APARTMENT HOMES THAT ALL ROWLETT ROAD TO PROVIDE AFFORDABLE AND MARKET RATE RENTAL HOUSING, WHICH WILL FACILITATE THE DEVELOPER'S APPLICATION FOR 4 PERCENT HOUSING TAX CREDIT WITH THE TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS.

>> I'M BACK. I WOULD LIKE YOU TO THE RED BOX ON THE SCREEN.

JUST TO REITERATE TO THE VIEWING AUDIENCE, WE WERE BEFORE COUNCIL AT THE OCTOBER 8 MEETING AND WE INVITED APPLICANTS COME FORWARD TO HAVE THE DISCUSSION WITH YOURSELVES AS IT RELATES TO SUPPORT FOR THE TAX CREDIT HOUSING. THE APPLICANT WILL BE REQUIRED TO REZONE THIS PROPERTY. THE FUTURE LAND USE PLAN DOES DESIGNATED FOR COMMERCIAL AND RETAIL USAGE. AT THIS POINT I WILL TURN IT OVER TO THE APPLICANT TO GO

AHEAD AND GIVE THE PRESENTATION. >> THANK YOU.

[00:45:07]

GOOD EVENING. MY NAME IS STUART SHAW, FOUNDER AND PRESIDENT.

BORN AND RAISED IN AMARILLO. I FOUND IT AND I OWN IT. I HAVE ONE PARTNER.

ANYWAY, I CAN GO EVEN FASTER BECAUSE YOU DON'T KNOW US, BUT YOU KNOW OUR FRIENDS HERE.

THERE'S A LOT OF SIMILARITIES. WE HAVE BEEN IN THIS BUSINESS NEARLY 20 YEARS.

I WILL GO THROUGH OUR PRESENTATION. WE DESIGN, DEVELOP, CONSTRUCT, LEASE, MANAGE, MAINTAIN AND OWN ON A FOREVER BASIS APARTMENT COMMUNITIES IN AREAS OF TEXAS, HOUSTON AND AUSTIN AREAS. I HAVE ONE OF MY HOMETOWN THAT I WORK ON.

WE PARTNER WITH FAITH-BASED NONPROFIT 20 YEARS ABOUT SPIRIT OF OUR FAVORITE HOLDING PERIOD IS FOREVER AND WE WILL NEVER SELL. WE ARE GOING TO BE HERE FOREVER. THAT'S OUR PLAN. A NEW GENERATION IS OUR PLAN.

FAITH BASED ORGANIZATIONS. WE PARTNER WITH CHURCHES AND WE HAVE A TWO BEDROOM APARTMENT WE GET FOR FREE FOR IT TO GET YOUR COMMITMENT. WE ARE NOT PROSELYTIZING, BUT CONNECTING PEOPLE AND HOSTING GET-TOGETHERS AND CONNECTING PEOPLE SO WE CREATE A CULTURE OF COMMUNITY. WE ARE LITERALLY ABOUT WEAVING THE FABRIC OF COMMUNITY.

WE BUILD COMMUNITIES AND WE HAVE THE TOP THREE EASILY IN THE TERMS OF DEVELOPMENT COMPANIES, BUT WE ALSO WEAVE THE FABRIC OF COMMUNITY. WE SPEND A LOT OF MONEY WE DON'T HAVE TO SPEND TO DO THAT. MORE ON THAT LATER. WE ARE A VISION MISSION AND VALUES LEAD COMPANY. VISION STATEMENT IS TO CHANGE LIVES AND CULTURE COMMUNITY BY PROVIDING LAST-MINUTE HOMES. ARE VALUES OF COMMUNITY.E HAVE A CULTURE OF INTEGRITY WHICH SPEAKS FOR ITSELF. BEING GOOD STEWARDS OF THE ASSETS WE ARE ENTRUSTED WITH.

WHAT WE WANT TO DO IS BE PART OF YOUR COMMUNITY. WE HAVE BEEN WORKING WITH RICK.

WE DON'T KNOW YOU. I DON'T. I'M HERE TO INTRODUCE MYSELF AND MY COMPANY. WE WOULD LIKE TO BE IN YOUR COMMUNITY.

WE HAVE BUILT AROUND VFW. I'M NOT TRYING TO COMPARE, BUT WE ARE IN SAGINAW, BURLESON, JOSHUA. WE ARE BUILDING NOW IN GRAND PRAIRIE AND PRINCETON.

MY MOTHER AND FATHER OUR FROM HERE AND WE HAVE A LARGE FOOTPRINT.

WE WOULD LIKE TO BE HERE WITH YOU. THIS IS THE LIST OF OUR COMMUNITIES AROUND THE TEXAS AREA. AUSTIN, HOUSTON, EMERIL AND DALLAS. YOU CAN SEE WHAT'S UNDER CONSTRUCTION.

I JUST MENTIONED ARLINGTON, PRINCETON. UNDERDEVELOPMENT ON PRINCETON.

WE BUILD MARKET RATE COMMUNITIES AND ALSO AFFORDABLE.

THIS IS ALMOST ALL AFFORDABLE. YOU CAN SEE OUR OCCUPANCIES ARE VERY HIGH.

WE DEAL WITH HIGHLY INTENTIONAL MANAGEMENT. WE WON'T ACCEPT PEOPLE WITH FELONY CONVICTIONS.E JUST CAN'T. WE ARE TRYING TO CREATE A PLACE THAT'S A GOOD, SAFE PLACE FOR PEOPLE TO LIVE FOR GOD FOR BID, BUT THERE'S PLENTY OF DIVORCES AND SINGLE MOMS AND SINGLE DADS WITH CHILDREN. WE ARE DOING OUR BEST TO HAVE A REALLY GREAT PLACE FOR PEOPLE TO LIVE. IT DESCRIBES DIGNITY TO THEM.

WE BUILD APARTMENT HOMES. THERE'S A LOT OF STUFF WE DO. WE ARE PRETTY SERIOUS ABOUT IT.

ALL THE PLACES I MENTIONED TO YOU WILL TELL YOU WE ARE A BLESSING AND AN ASSET.

THAT'S WHAT WE WANT TO BE TO YOU. THAT'S OUR PROPOSAL.

THESE ARE SOME COMMUNITY PHOTOS. THIS IS CYPRESS CREEK.

THE FIRST COMMUNITY EVER WAS BUILT IN 2004. THESE ARE PHOTOGRAPHS MOSTLY OF THAT. THERE IS OUR POOL AND OUR COMMUNITY.

WE BUILD A 232 PRODUCT. TWO STORY OUTSIDE IN THREE IN THE MIDDLE.

THE 232 READS RESIDENTIAL. VERY BEAUTIFUL AMENITIES AS YOU CAN SEE.

A LARGE WORKOUT IN THIS AREA. WE DO MULTIPLE PLACES FOR CHILDREN TO HANG OUT.

WE DO A LOT OF 5 FOOT SIDEWALKS. KIDS NEED A PLACE TO HANG OUT

[00:50:13]

SO THEY ARE NOT IN THE PARKING LOT. THIS IS NOT JUST FOR KIDS.

THIS IS FOR PEOPLE WHO DON'T HAVE KIDS, TOO. WHEN WE HAVE KIDS, WE WANT TO HONOR THAT. THAT IS REDWOOD. PEOPLE WHO PROVIDE THIS ARE THE EXPERT WITNESSES FOR ALL THE ONES WHO GET HURT. THAT IS MORE OF THE COMMUNITY.

WE REALLY LIKE TREES A LOT. WE DON'T LIKE TREES A LITTLE. WE LIKE THEM A LOT.

WE WILL GO OUT OF OUR WAY TO KEEP THEM. WE ARE KNOWN FOR THAT.

>> YOU DIDN'T RESEARCH YOUR MAYOR. THERE IS NO PICKLEBALL.

DID. WE PUT MONEY IN FOR THE BASKETBALL GOAL.

WE SAW THE KIDS AND THE YOUNGER KIDS DIDN'T HAVE A PLACE TO PLAY.

WE PUT AN AREA FOR TRICYCLES OR WHATEVER IT IS. CYPRESS CREEK APARTMENT HOMES ARE THE NON-AGE RESTRICTED COMMUNITY. NO AGE RESTRICTION.

WE HAVE THE SENIOR. THESE ARE A PARTNER HOMES. CYPRESS CREEK APARTMENT HOMES.

THAT IS PART OF THE LEASING AREA. THIS IS PART OF OUR CLUBHOUSE.

MORE OF THE CLUBHOUSE. THAT'S OUR CENTER. WE HAVE COMPUTERS FOR PEOPLE TO COME AND WHO MAY NOT HAVE ONE. THEY CAN COME IN AND DO WHATEVER THEY WANT.

THAT IS AN AREA WE HAVE FOR PEOPLE TO GATHER. YOU CAN HAVE A BIRTHDAY PARTY OR BIBLE STUDY OR BOOK CLUB. AWAITING RECEPTION. THAT'S AVAILABLE FOR OUR RESIDENTS. ALL OF THAT STUFF IS DESIGNED AND HIGHLY INTENTIONAL.

WE HAVE ARCHITECTS, BUT I DESIGN ALL OF THIS STUFF. I HAVE BEEN HIGHLY TRAINED TO DO THIS. WE TALKED EARLIER ABOUT MIXED-USE. WAS THE PERSON WHO DEVELOPED DOWNTOWN AUSTIN. IT WAS MY IDEA. THEY SAID, YOU ARE AN ABSOLUTE MORON. THAT IS NOW SEVERAL BILLION DOLLARS LATER.

WE DID MIXED-USE IN DOWNTOWN AUSTIN. >> WHAT WAS THE DEVELOPMENT?

>> THAT WAS THE DOWNTOWN WAREHOUSE DISTRICT IN AUSTIN, TEXAS.

WE STARTED THAT AND IT DID RETAIL AND MULTIFAMILY. I KNOW A LOT ABOUT IT AND I LOVE IT. I LOVE URBAN DESIGN AND I LOVE DESIGN.

THE WORK IS VERY INTENTIONAL ABOUT AESTHETICS AND FUNCTION. HEN WE BUILD SOMETHING, WE ARE GOOD OWN IT FOREVER AND WE ARE GOING TO BE HERE FOREVER. WE INTEND TO SERVE PEOPLE IN THIS COMMUNITY FOREVER. WE ARE SERIOUS ABOUT IT. WE FOUND A WAY TO MAKE A LIVING DOING THIS. I'M LIKE A KID IN A CANDY STORE.

SOME PEOPLE IN OUR BUSINESS JUST GET A ROOM HALF THE SIZE OF THIS AND PLEASED TREADMILL IN THERE AND CHECK THE BOX SAYING THEY HAVE A FITNESS ROOM HE CAN JUST CHECK THE BOX.

THEY DON'T CARE. WE PUT A REAL FITNESS CENTER IN.

IF YOU ARE A MOM OR DAD AND YOU WANT TO WATCH YOUR KIDS AT THE POOL, YOU CAN DO THAT.

WE REALLY PUT A LOT OF THOUGHT INTO THIS. WE DON'T HAVE TO DO IT.

NO ONE MAKES US DO IT. WE DO IT BECAUSE WE WANT TO. THIS IS SOME OF OUR UNITS.

THIS I TOLD YOU WE BUILT IN 2004 AND THIS WAS TAKEN 2016. THIS IS CYPRESS CREEK APARTMENT HOMES. IT IS THREE MINUTES FROM THE MALL IN CEDAR PARK, TEXAS.

CLASS A LOCATION. WE LOOK AS GOOD OR BETTER THAN THE CLASS A COMMUNITIES THAT SURROUND US. THEY CAME TO ONE OF OUR COMMUNITIES IN GEORGETOWN YEARS AGO AND THOSE OF THEIR TWO KIDS.HEY ARE NOW IN COLLEGE OR OUT OF COLLEGE BY NOW.

THEY HAVE MOVED. I THINK THEY WERE THERE EIGHT OR 10 YEARS.

THEY NOW BOUGHT A HOME NORTH OF GEORGETOWN. HE ACHIEVED HIS DREAM OF BECOMING A DEPUTY SHRIFF WITH WILLIAMSON COUNTY SHERIFF'S DEPARTMENT.

THEY WERE THE CARE TEAM FOR EIGHT YEARS IN GEORGETOWN. THEY ARE THERE TO CONNECT

[00:55:03]

PEOPLE. THEY SEND WELCOME GIFTS AND CHECK ON YOU.

WITH THE INEVITABLE HAPPENS AND SOMEONE'S HUSBAND DIES OR SOMEONE GETS LEFT OR SOMEONE GETS CANCER, OUR MANAGEMENT PEOPLE CAN'T DEAL WITH THAT. NO ONE ELSE CAN EITHER.

THESE PEOPLE CAN. THEY ARE LIKE A LIFE LEADER AND THEY HAVE EARNED THE RIGHT TO BE HEARD. THEY MINISTER TO PEOPLE. IF YOU DON'T HAVE ANYONE TO TURN TO, THEY ARE THERE. AND APARTMENT COMMUNITIES ACROSS THE COUNTRY IN THE STATE OF TEXAS THE STATISTIC IS IF YOU ARE IN A SINGLE FAMILY NEIGHBORHOOD YOU HAVE A 45-50 PERCENT CHANCE OF HAVING A CHURCH. YOU HAVE TO HAVE A CHURCH, BUT IF SOMETHING HAPPENS, YOU MIGHT WANT BACKUP. YOU GO DOWN THE ROAD YOUR NEIGHBORHOOD APARTMENT COMMUNITY 5 PERCENT. WHAT WE ARE ABOUT IS TRYING TO CONNECT PEOPLE AND BUILD THE CULTURE OF COMMUNITY SO PEOPLE DON'T JUST LOCK THE DOOR AND DON'T KNOW THEIR NEIGHBOR. WE ARE TRYING TO GET PEOPLE TO KNOW THEIR NEIGHBOR.

NOT JUST NEIGHBORHOOD WATCH, BUT KNOW EACH OTHER LIKE IN A SINGLE-FAMILY NEIGHBORHOOD.

IT'S A BIG DEAL. WE SPENT HUNDREDS OF THOUSANDS OF DOLLARS EVERY YEAR TO DO THIS. NO ONE MAKES US DO THIS. WE WANT TO.HAT'S WHAT WE WILL BRING TO YOUR COMMUNITY. THAT'S OUR SITE ON BIG A ROAD. THERE IS A MULTIFAMILY COMMUNITY FOR WHAT WE WOULD CALL ACTIVE ADULTS. THEY CALL IT SENIORS.

THE NEAT THING ABOUT THIS SITE IS IF WE COULD GET HOLD OF THE LAND -- I WILL SHOW YOU IN JUST A MINUTE. THAT IS OUR SITE PLAN. MAYBE I WON'T.

ANYWAY, THERE IS A WAY TO GET TO THE -- IS THE PARKING LOT FOR YOUR TRANSPORTATION SYSTEM.

YOU MAY HAVE TO TAKE THAT LAND. YOU HAVE THE ABILITY TO DO THAT FOR THE PUBLIC GOOD.

I DON'T. WE TRIED TO BUY THE LAND FROM THE OWNERS.

SOMETIMES THEY SAY THEY WOULD LIKE TO AND SOMETIMES THEY DON'T WANT TO.

>> WHAT LAND ARE WE TALKING ABOUT? >> MARTIN DRIVE.

IS THAT WHAT YOU'RE SAYING? >> MAKING A CONNECTION TO MARTIN DRIVE IS ONE THING.

>> NO. WE ARE JUST SAYING WE WOULD HELP BUILD IT IF WE COULD GET

THE LAND. WE ARE TRYING TO BUY IT. >> EXTEND MARTIN ALL THE WAY

THROUGH? >> THAT WASN'T MY QUESTION. ARE YOU GOING TO HAVE MORE OF

THIS DISCUSSION? >> WE HAVE HAD DISCUSSIONS WITH THE LANDOWNER AT 1..

THEY WERE WILLING TO SELL FOR EASEMENT TO EXTEND IT TO BITER-GATE.

>> A PERSONAL LANDOWNER? >> YES. THEY HAVE GONE BACK AND FORTH

NOW. >> OKAY. I JUST HEARD YOU SAY DARK WAS

THE PROPERTY OWNER. >> I DIDN'T MEAN TO SAY THAT. >> NO BIG DEAL.

IT WAS CONFUSING THE. >> I WAS SAYING WE ARE TRYING TO GET NEAR YOUR SITE.

>> OKAY. DOES THAT ANSWER YOUR QUESTION? >> YEAH.

>> WE'RE JUST SAYING THAT'S A POSSIBILITY. WE THINK IT'S PRETTY COOL.

WE THINK IT CONNECTS SOME OF YOUR CITY. I AM AN URBAN PLANNER BY HEART.

I LIKE CONNECTIVITY A LOT. WE JUST THOUGHT IF IT'S OF USE TO YOU ALL WE ARE IN.

WE WOULD BE YOUR PARTNER. IT'S REALLY A SIMILAR CONVERSATION.

WE ARE JUST POINTING IT OUT TO YOU. >> IS THAT EVERGREEN JUST TO

THE NORTH? >> YES IT IS. >> HOW MANY UNITS IS EVERGREEN VERSUS WHAT YOU ARE PROPOSING? HOW MANY UNITS ARE YOU PROPOSING?

>> I THINK 178 OR 179. >> HOW MANY UNITS ARE YOU PROPOSING.

>> 248. >> 2 TO 3 STORIES? >> YES.> CAN YOU SHOW US

THAT PLAN? >> YES. I THINK.

>> HOW MUCH LAND DOES THAT COMPRISE? HOW DOES THAT IN?

IS THAT THE ENTIRE -- >> YOU CAN SEE THE TOP RIGHT CORNER.

THAT'S A POND. >> SO IS THE TOP NORTH, OR WHAT'S NORTH OF THE SITE PLAN?

WHAT'S THE TOP NORTH? >> THE NORTH IS EVERGREEN. >> I KNOW.

JUST WONDERING WHAT'S THE TOP OF THE SITE PLAN. ON THE EAST SIDE IS THAT THE

[01:00:06]

ABUTING THE NEIGHBORHOOD? >> ,POINT SOMETHING OUT? >> SHORT.

>> YOU NOTICE MOST ALL OF THE PARKING IS OUTBOARD. THAT SO WHEN YOU PARK YOU GET ON GRASS WE HOPE. WE ARE TRYING TO KEEP IT FROM BEING AN ASPHALT JUNGLE.OU WOULDN'T KNOW IT UNTIL YOU SEE IT AFTER IT'S BUILT, BUT IT'S A BIG DEAL.

YOU SEE ALL THE GREEN SPACE IN THE MIDDLE? THAT'S A BIG SPORT COURT.

YOU SEE THE RACETRACK FOR THE KIDS. A COUPLE COVERED PAVILIONS OUTSIDE FOR PEOPLE. A NICE BIG MULTIPLE AMENITY POOL.

THEN WE HAVE A FIELD WHERE PEOPLE CAN PLAY SOCCER OR FOOTBALL OR BASEBALL.

FOR THE FRISBEE. WE ARE BIG ON GREEN SPACE. MAKING THINGS MORE HUMAN FOR PEOPLE. WE CAN BUILD SOMEPLACE WE CAN ALL BE PROUD OF AND PEOPLE LIKE. ANYWAY, I JUST MENTIONED THAT ABOUT THE GREEN SPACE.

THAT'S WHAT WE DO. I THINK IT'S NEAT THAT YOU LIKE THE FOLKS BEFORE.

A LOT OF PEOPLE AND CITY COUNCIL WOULD LIKE US A LOT AND WE WOULD LIKE TO BE HERE.

>> WE ARE NOT GOING TO SING ACCOLADES ABOUT YOU LIKE JEAN. >> SHE AND HER HUSBAND ARE GRET. I AM ME. YOU DON'T HAVE TO.

WE CAN PRODUCE LAYERS TO CITY COUNCIL. I WILL GET TO THE END OF THIS.

>> CAN I PAUSE YOU FOR JUST A SECOND. DID YOU WANT TO SAY SOMETHING.

>> I JUST WANT TO CORRECT THE UNIT COUNT AT EVERGREEN. IT'S 138 UNITS.

>> THAT'S EVERGREEN. >> YEAH. >> OKAY.

>> WHAT IS THE BREAKDOWN OF YOUR UNITS FROM ONE, TWO AND THREE?

I DIDN'T SEE A SLIDE. >> I DON'T KNOW THAT I HAVE THAT.

WE USUALLY DO EIGHT OR 16 FOUR BEDROOMS. USUALLY 2 TO 3 BEDROOMS.

THERE IT IS. IT IS THERE. IT IS THERE. >> SO WHAT'S THE COMPOSITION OF

THIS? >> 100 PERCENT. 60 PERCENT IS GOOD BECAUSE THAT'S WHERE A LOT OF PEOPLE ARE. THIS WILL BE YOUR WORKFORCE.

A LOT HAS BEEN SAID ABOUT AFFORDABLE HOUSING. IN THE CITY OF AUSTIN, THEY ARE

DESPERATE. >> HOW MANY BUILDINGS IS THIS? >> I DON'T KNOW.

LET ME SEE. >> ONE, TWO, THREE, -- -- >> I WENT AS FAST AS I COULD.

>> ARE YOU DONE? >> I THINK I AM. IF ANYONE HAS QUESTIONS WE MAY

HAVE SUPPLEMENTALS. >> OKAY. I DIDN'T WANT TO INTERRUPT.

SAME THING, COUNCIL. THIS WILL BE TIME FOR QUESTIONS FOR THE DEVELOPER AND I WILL OPEN IT UP TO THE PUBLIC TO SEE IF ANYONE HAS ANY COMMENTS AND WE WILL HAVE GENERAL DISCUSSION.> I HAVE A QUESTION ON THE EAST SIDE OF YOUR DEVELOPMENT, THE PART THAT BACKS UP TO THE HOUSES. DO YOU HAVE PLANS FOR A SCREENING WALL THERE?

>> YES OR. WE SURE DO. GREAT QUESTION.

WE HAVE STUDIED A LOT. HERE'S A HOUSE. ISN'T JUST ABOUT A WALL 6 FOOT OR 8 FOOT. IT'S ABOUT THE LINE OF SIGHT. WE WILL PRODUCE A LINE OF SIGHT. IF YOU WILL GO WITH US, WE WILL BE DOING THAT FOR SURE.

WE HAVE BEEN ASKED NOT TO TALK TO THE NEIGHBORHOOD GROUP. WE NEVER DO IT THAT WAY, BUT WE RESPECT YOUR PROCESS. NORMALLY WE WOULD TALK ABOUT ALL OF THAT STUFF.

THERE'S A COUPLE TREES THAT WILL GROW 12-14 FEET. IT'S MUCH BETTER THAN 8 6 FOOT

FENCE, BUT WE WILL DO BOTH. >> I MISSED THAT. IT'S OFFENSE OR LANDSCAPE

[01:05:02]

BUFFER? >> WE ARE TRYING TO BUFFER A VIEW.

WE HAVE PEOPLE NEXT TO US WHO DON'T WANT TO BE LOOKED DOWN ON.

WE TRY TO DO TWO STORIES NEXT TO THEM FAR ENOUGH AWAY WHERE IT'S APPROPRIATELY DISTANCED.

WE TRY TO GET A BUFFER. YOU NEED TO HAVE A LANDSCAPE BUFFER.

WE WANT TO DO OFFENSE, BUT WE WILL DO OFFENSE AND A LANDSCAPE BUFFER.

THE TREES WHEN THEY GROW AND THEY WILL GROW UP AND REALLY BUFFER THE VIEW.

THAT'S WHAT YOU DO. WE DID AT THE FIRST ONE I SHOWED YOU.

I CAN'T THINK OF THE NAME OF THE TREE RIGHT NOW. I WILL IN A MINUTE.

THERE'S OTHERS, BUT THIS IS BEST. >> BIG BAY ROAD NEEDS A LOT OF

IMPROVEMENTS. >> OLD TROLLY ROAD. >> IS THAT PART OF WHAT YOU ARE PROPOSING AS PART OF THIS DEVELOPMENT IS IMPROVING THE ROAD? YOU ALREADY MENTIONED YOU ARE OPEN TO WORKING ON THE PATH, BUT ALSO BE GAY IN THE FRONT

YOU ARE OPEN TO WORKING WITH, TOO? >> YES, SIR.

IT WON'T BE THE FIRST TIME WE HAVE DONE THAT. WE GET INVITED TO DO THAT ON A REGULAR BASIS. WE KNOW WE NEED TO HELP AND SO WE DO.

WE DON'T WANT TO BE THE ONLY PERSON AT THE PARTY, BUT WE WANT TO BE AT THE TABLE.

>> SO WHAT IS THE CONNECTION TO HFC? IS IT THE SAME?

>> THE SAME EXACT DEAL. WE SET UP PARTNERSHIPS. >> AND YOU WOULD BE THE GP.

>> YES. >> OKAY. THERE IS NOT PAYMENT IN LIEU OF

TAXES PROPOSED ON THIS? >> THERE ISN'T. >> AM I CONFUSED?

>> I'M SORRY. >> YOU DIDN'T HEAR MY QUESTION? >> I DID NOT.

>> I THOUGHT THIS SAID THERE IS NO PROPOSED PAYMENT. >> I DID NOT SEE THAT IN THE PACKET. I DID SEE THAT IN THE PREVIOUS ONE, BUT IT WASN'T DISCUSSED ON THIS ONE. IT WASN'T IN THE APPLICATION ITSELF.

>> THE WORK PACKET SAYS IT'S NOT CURRENTLY IF I REMEMBER CORRECTLY.

>> THAT'S CORRECT. >> THANK YOU FOR POINTING THAT OUT.

>> SO HEAVY WORK PAYMENT IN LIEU OF TAXES INTO THE MODELING?

>> WE HAVE. WE ALWAYS DO THAT. >> TO WHAT DEGREE?

>> VARYING DEGREES. I MEAN, IT'S ALL OVER THE MAP. WE JUST HAVE TO SEE WHAT WE CAN

DO, BUT WE NORMALLY DO THAT. >> ALL RIGHT. COUNCIL, ANY OTHER QUESTIONS? IS THERE ANYONE IN THE AUDIENCE THAT WOULD LIKE TO SPEAK ON THIS ITEM? IF YOU WOULD STAND. STATE YOUR NAME AND ADDRESS FOR THE RECORD.

>> CHRIS REYNOLDS. 5613 FREEDOM. AM ONE OF THE HOUSES THAT BUTTS RIGHT UP ON THE EAST. YOUR BUILDING IS VERY NICE. MY CONCERN IS THE BUFFER.

I KNOW WE CANNOT PREVENT SOMETHING FROM GOING IN THERE FOREVER.

AS LONG AS THERE IS -- RIGHT NOW I CHERISH MY SUNSET VIEWS AND PRIVACY IN MY BACKYARD.

THAT IS MY CONCERN AND OUR NEIGHBORS CONCERNED.T WOULD BE NICE TO SEE A RENDERING OF WHAT THAT MIGHT LOOK LIKE IN THE FINAL PLAN. AGAIN, I AM NOT LIKE SOME OF THESE PEOPLE. THE OTHER QUESTION I HAVE IS HAS THE PROPERTY BEEN PURCHASED

YET, OR IS IT PENDING? >> MOST OF THESE ARE ALWAYS GOING TO BE PENDING UNTIL THE

TAX CREDIT IS SUPPORTED AND ZONING IS CHANGED. >> OKAY.

>> THAT WOULD BE MY GUESS. >> OKAY. THANK YOU VERY MUCH.

>> THANK YOU FOR SPEAKING. >> ALL RIGHT. >> YES, RICK.

>> ONE THING I NOTICED ABOUT THIS TEAM IS THEY ARE EXTREMELY NEIGHBORHOOD FOCUSED.

A GREAT TEAM THAT I MET IT'S THEIR SOLE JOB TO GO INTO NEIGHBORHOODS AND ACTUALLY TALK AND HAVE TOWN HALL MEETINGS SO THEY KNOW EXACTLY WHAT'S GOING TO BE DONE.

WE HAVE TALKED ABOUT IT FROM DAY ONE WITH THEM AND WE WANT TO MAKE SURE BUFFERING IS DONE

[01:10:02]

PROPERLY. ANY BUFFERING WOULD BE TWO STORY AND NOT THREE.

SPECIFICS ON SCREENING WE WILL GET TO. THIS I THINK IS A GREAT COMPLEMENTARY PROJECT. IF WE CAN GET THE DEAL FROM MARTIN DRIVE EXTENDED YOU HAVE ACCESS TO TRANSPORTING AND DEVELOPMENT FROM WORKFORCE HOUSING AND IT OPENS UP THE ENTIRE EASTERN SECTION OF THE NEW MARTIN DRIVE EXTENSION. IT WOULD BE A GREAT ECONOMIC

DRIVE FOR THESE FOLKS COMING IN. >> THANK YOU.

ANYONE ELSE? OKAY. WHAT DID YOU SAY?

>> BLAKE HAS A QUESTION. >> YES, MA'AM, MAYOR, I HAVE A QUESTION.

IS THERE ANY WILLINGNESS TO CONSIDER MIXED-USE? >> CONSIDER WHAT?

>> MIXED-USE. >> OLD BRALETTE ROAD AND BE GAY.

>> BY MIXED-USE YOU MEAN RETAIL? >> WE WOULD ALWAYS BE WILLING TO LOOK AT THAT. THIS PROBABLY ISN'T THE PLACE TO LOOK AT IT.

I AM PRETTY GOOD AT IT. I HAVE DONE RETAIL. I HAVE DONE A LOT OF IT.

I DID MIXED-USE IN DOWNTOWN AUSTIN WHICH IS THE TOUGHEST THERE IS TO DO EVER.

I KNOW A LOT ABOUT IT. I KNOW WHAT'S DRIVING ALL OF THAT.

JEAN IS RIGHT. EVERY TIME YOU BUY STUFF FROM AMAZON YOU ARE KILLING YOUR LOCAL RETAILER. IT'S A TOUGH DEAL. I DON'T WANT TO MAKE ANY BIG PROMISES. I DON'T KNOW THAT IT'S FEASIBLE.

LET ME JUST SAY IF I MAY I DON'T GET TO MAKE THAT CHOICE ABOUT WHERE COMMERCIAL IS GOING TO GO AND NEITHER DOES ANY OF US. WHAT MAKES THE CHOICE IS THE MARKET. IT'S A WEIRD DEAL. IT'S A VERY UNIQUE CROWD OF FOLKS. WHAT MAY NOT BE RETAIL TODAY CERTAINLY MAYBE SOMEDAY WHEN IT GETS TO A CERTAIN SIZE AND TRAFFIC PATTERN, BUT THE MARKET WILL DRIVE THAT.

I CAN'T JUST SAY I'M GOING TO DO IT. YOU'RE GOING TO END UP WITH A

THRIFT STORE WHICH IS NOT BAD, BUT IT WON'T MAKE IT WORK. >> WHAT IS THE FUTURE LAND USE

PLAN FOR THIS? >> COMMERCIAL RETAIL. >> COMMERCIAL RETAIL OR OFFICE?

>> OFFICE RETAIL. >> I CAN SEE THIS SITE FOR OFFICE.

>> RIGHT ACROSS THE STREET THERE IS PLANNED DEVELOPMENT FOR OFFICE, RETAIL AND

RESTAURANT USE RIGHT AT THE DIRECT CORNER. >> ACROSS FROM OLD ROWLETT

ROAD? >> DIRECTLY ACROSS. >> ALL RIGHT.

ANY OTHER QUESTIONS OR DISCUSSION?>> I LIKE THE LOCATION A WHOLE LOT BETTER THAN THE EARLIER PROPOSAL. BEING HERE, I DON'T SEE THIS LAND GOING TO DO ANYTHING ELSE ANYTIME SOON. I KIND OF LIKE THE LOCATION OF IT.

>> ARE YOU DONE? BEFORE I ANNOUNCE, BLAKE. >> YOU NEED TO ANNOUNCE BLAKE.

>> YOU MAKE ME UNCOMFORTABLE. >> IT'S ALMOST CHRISTMAS. >> I AM STRUGGLING WITH THIS, BUT NOT AS BAD AS THE PREVIOUS ITEM. I THINK THERE IS STILL SOME GOOD POTENTIAL HERE FOR OFFICE, ESPECIALLY MEDICAL OFFICE. YOU HAVE THE BRAND-NEW PRETTY LARGE BUILDING NEXT TO DEVELOPMENT SERVICES. THAT SEEMS TO KIND OF BE A MEDICAL DISTRICT CORNER.'M STARTING TO SEE MORE MEDICAL OFFICES POP UP RIGHT THERE.

I THINK THIS SPECIFIC LAND MIGHT BE GOOD POTENTIAL FOR THAT ADDITIONAL MEDICAL OFFICE SPACE OR RETAIL. MAYBE NOT RETAIL, BUT SOME TYPE OF OFFICE SPACE.

[01:15:08]

THAT'S ONE OF MY STRUGGLES RIGHT NOW IS LOOKING AT THE FUTURE SITE ACROSS THE STREET BEING DEVELOPED WITH OFFICE, RETAIL AND RESTAURANTS AND HOW IT WOULD AFFECT THIS SPECIFIC LAND. YOU KNOW, SEEING MORE ATTENTION IN THAT AREA.

I'M STRUGGLING ON THE PART. >> I DON'T KNOW THE ANSWER. I'M IN YOUR CITY.

I WANT TO BE RESPECTFUL OF YOU ALL. IF YOU DON'T WANT US, WE WILL GO SOMEPLACE ELSE. THAT'S NOT A THREAT. WE JUST DO WHAT WE DO.

WE ARE AN ASSET AND A BLESSING. WOULD LIKE TO DO THAT HERE. I DON'T KNOW.

YOU MAY BE RIGHT. IT ISN'T UP TO ME OR YOU. IT'S THE MARKET FOR THE MARKET WILL DEFINE THAT.HE MARKET IS THE MARKET. THE OTHER THING I INVITE YOU TO KEEP IN MIND, WHETHER IT'S MY FRIENDS BEHIND ME OR ME, IS WE NEED WORKFORCE HOUSING.

IF YOU HAVEN'T EXPERIENCED THAT, YOU WILL. A DRIVER, CEDAR PARK WHERE WE STARTED OUR FIRST PROJECT UP 10 YEARS AGO HAD DONE A BIG PLAN. THEY SAID WE NEED HOUSING FOR THE INDIANS AND FOR THE CHIEFS AND EVERYTHING IN BETWEEN. WHEN SOMEONE COMES THEY WANT TO LOCATE YOUR COMMUNITY TO CREATE JOBS WHICH WILL DRIVE ALL OF THE STUFF WE WANT FOR OUR CITIES FOR PEOPLE TO THRIVE. THEY NEED A PLACE FOR PEOPLE TO LIVE.

IF IT'S NOT HERE, WE WILL FIND SOMEPLACE ELSE. I WOULD SAY RICK AND YOU ALL, WE WOULD LOVE TO BE INVOLVED. AS A CITY, YOU'RE GOING TO WANT TO FIND A PLACE.

THIS MAY BE THE BEST PLACE. MAYBE AN OFFICE SOMEPLACE ELSE. THE MARKET WILL DRIVE THAT OFFICE. MY SUGGESTION IS YOU NEED TO HAVE A PLAN FOR WORKFORCE HOUSING BECAUSE THAT'S WHERE PEOPLE ARE GOING TO LIVE. AS HAS BEEN SAID, THERE'S ALREADY A CRISIS IN HOUSING IN OUR COUNTRY AND OUR STATE. WE HAVE BEEN SMARTER ABOUT IT THAN TEXAS. YOU ARE RIGHT IN THE EDGE. RENTS ARE HIGH.

>> MY COMMENT WAS NOT TO BE AGAINST YOU OR ANYTHING LIKE THAT.

I CERTAINLY DON'T FEEL THAT WAY. I AM SAYING SPECIFICALLY FOR THIS PARCEL. I'M JUST IN A POSITION WHERE I DON'T KNOW WHAT TO DO OR WHAT THIS LAND IS BEST SUITED FOR BECAUSE I SEE THE POTENTIAL FOR THE MEDICAL OFFICES BEING THERE OR DIFFERENT TYPE OF OFFICE SPACE. I GET WHAT YOU ARE SAYING IN

TERMS OF THE MARKET. THE MARKET DOES CHANGE. >> IT CHANGES.

I GET WHAT YOU'RE SAYING. I SEE YOU ARE STRUGGLING. I THINK WHAT I SAID HAS SOME

TRUTH AND WISDOM TO IT, BUT THAT'S IT. >> I THINK THIS IS A PRETTY GOOD SITE FOR THIS. WHAT HOLDS ME BACK, AND I WILL BE IN SUPPORT TO HAVE A RESOLUTION, BUT WHAT ULTIMATELY WILL MAKE THE SUCCESSFUL OR NOT IS MARTIN ROAD AND RECONSTRUCTION OF BIG. IF THAT IS NOT THERE AND THAT CAN'T GET DONE, I AM TELLING YOU RIGHT NOW I WILL NOT BE SUPPORTIVE OF THE REZONING BECAUSE WE ARE NOT TAKING 200 48 -- 248 UNITS DOWN BIG A. I'M IN SUPPORT OF MOVING IT FORWARD BECAUSE I THINK THIS COULD BE A BIG SPOT. IF YOU CAN'T MAKE THE DEAL WORK WITH THE HOMEOWNER AND WE CAN'T COME TO SOME TYPE OF AGREEMENT ABOUT HOW THAT GETS BUILT, I COULDN'T IN GOOD CONSCIOUS PUT ANY MORE TRAFFIC BACK ON THE ROAD. I AM BEING COMPLETELY

TRANSPARENT FROM THE BEGINNING. >> I CAN RESPOND? THE ONLY WAY WE WILL FIGURE IT

OUT IS YOU GIVE US A RESOLUTION AND WE FIGURE IT OUT. >> I'M JUST LETTING YOU KNOW.

>> THANK YOU. I APPRECIATE THAT. APPRECIATE TRANSPARENCY.

FROM OUR POINT OF VIEW, WE HAVE TO LOOK AT IT AND SEE WHAT IT COSTS AND WHO ELSE IS AT THE PARTY. IF WE ARE THE ONLY PERSON AT THE PARTY IT'S NOT GOING TO WORK AND WILL HAVE TO GO SOMEPLACE ELSE. WE DO WHAT WE DO AND WE WOULD LIKE TO DO IT IN YOUR CITY AND WE WOULD LIKE TO HAVE THE OPPORTUNITY TO FIGURE THIS OUT.

IF WE CAN LET'S WORK TOGETHER AND IF WE CAN'T, WE WILL SAY BLESS YOU AND WE END MY FRIENDS

WILL FIND ANOTHER LOCATION. >> THEN WE ARE ON THE SAME PAGE.

>> YEAH. REAL QUICK STORY, IN HOUSTON MANY YEARS AGO NOBODY COULD FIGURE OUT HOW TO DO IT. NOBODY. IT WAS RIGHT NEXT TO A FREEMAN

[01:20:02]

TOWN. THEY DECIDED NOT TO PUT THAT THERE.

EVERYBODY WAS ON SEPTIC. WE GOT 100 PERCENT SUPPORT OF WHAT WE WERE DOING.

THE 1.3 WATER WASTEWATER LINE TURNED ON THE LIGHTS FOR 1000 ACRES OF DEVELOPMENT.

MY ENGINEER SAID 1.2 MILLION. TURNED OUT TO BE SIX AND A HALF MILLION FOR THE MAYOR OF HOUSTON AND LANDOWNERS NEXT TO US WE ALL GOT TOGETHER AND FELT THAT THING.

IS THERE TODAY. WE ARE NOT NEW TO THAT. WE CAN'T KNOW RIGHT NOW.

WE HAVE TO FIGURE OUT THE COST TO SEE WHAT WE CAN DO, BUT SOMETIMES WE CAN LEVERAGE THINGS THAT Y'ALL CAN'T AND WE WORK TOGETHER TO SEE IF WE CAN DO IT.

WE TAKE REALLY BIG CHALLENGES AND SOMETIMES WE ARE REALLY GOOD AT IT.

>> I DON'T HAVE A PROBLEM WITH THAT LOCATION. WHAT ELSE ARE WE GOING TO DO WITH THAT? I DON'T SEE A BUSINESS COMING THERE.

SEVERAL BUSINESSES ALREADY OVER THERE THAT ARE EMPTY. >> SHE WANTS TO BUILD A

PICKLEBALL COURT. >> I AM IN FAVOR OF IT AT LEAST MOVING FORWARD.

I DO HAVE CONCERNS OF OLD ROWLETT ROAD. THAT'S A REALLY NASTY ROAD.

I SHARE THOSE CONCERNS WITH THAT REGARDING THOSE TWO PRIMARY ROADS.

THE TWO SECONDARY ROADS. OTHER THAN THAT, I LIKE THE SITE AND I LIKE THE CONCEPT.

>> OKAY. ARE YOU DONE? >> YES.

>> OKAY. MY COMMENTS ARE I DO THINK THIS IS A SITE THAT COULD HAVE SOME OFFICE SPACE, ESPECIALLY ON THE CORNER. I AM CONCERNED ABOUT THE SIZE OF THIS DEVELOPMENT. I THINK TOO MANY UNITS. SEEMS LIKE EVERYTHING THAT GETS PUSHED AT US IS MORE AND MORE UNITS. I UNDERSTAND THE DEVELOPERS REASON TO DO THAT TO MAXIMIZE RETURN ON INVESTMENT. I UNDERSTAND YOU HAVE THE GREEN SPACE IN THE MIDDLE. I'M CONCERNED ABOUT THE SIZE OF THIS.

I AGREE WITH MATT'S ASSESSMENT THAT I WILL NEVER APPROVE THIS REZONING UNLESS SOMETHING IS DONE WITH MARTIN DRIVE OR OLD ROWLETT ROAD AND WE FIGURE OUT THE TRAFFIC.

IT'S NOT JUST DO A TRAFFIC STUDY AND IT WILL BE OKAY. THAT'S NOT WHAT THIS IS ABOUT.

I HAVE TWO ADDITIONAL REQUIREMENTS, COMMENTS IN ADDITION TO THAT.

ONE IS HOW THE NEIGHBORS IN THE ADJOINING NEIGHBORHOOD WILL FIELD ABOUT THIS DEVELOPMENT.

I KNOW YOU'RE WILLING TO GO OUT AND TALK TO THOSE NEIGHBORS AND NOW IS NOT THE TIME TO DO THAT PRIOR TO THIS, BUT NOW IT WILL BE IF WE SUPPORT THE LETTER OF NO OBJECTION IT WILL BE TIME TO DO THAT. IT'S OUR RESPONSIBILITY TO REPRESENT THE CITIZENS OF THIS CITY. THOSE NEIGHBORS HUGELY OBJECT AND THAT WILL HAVE A LARGE INFLUENCE ON MY DECISION-MAKING DOWN THE ROAD. AND THEN THE FINANCES OF THE DEAL IN REGARDS SPECIFICALLY TO THE PILOT. WE CANNOT CONTINUE TO SUPPORT THESE DEVELOPMENTS IN THIS TOWN, ESPECIALLY WITHOUT ANY PROPERTY TAX COMING BACK TO US.

THAT IS WHY IT IS SO CRITICAL THAT WE GET SOME HELP WITH THE INFRASTRUCTURE AROUND THIS LOCATION, THAT THERE IS A PILOT INVOLVED. AND THAT PILOT IS OF SUFFICIENT AMOUNT TO SUPPORT THIS TYPE OF DEVELOPMENT. I HAVE SEVERE CONCERNS THAT YOU WILL GET WHAT YOU NEED TO GET TWO FOR MY SUPPORT DOWN THE ROAD.

MAYBE YOU WILL PULL OUT SOME MAGIC. I AM NOT AS OPTIMISTIC AS SOME OTHERS IN THIS ROOM, OR AS SUPPORTIVE I SHOULD SAY OF SOME OTHERS IN THIS ROOM.

I THINK IT'S TOO BIG. WITH THAT BEING SAID, I DON'T HAVE A BIG ISSUE WITH THE ALL

MOVING FORWARD EITHER. >> POINT TAKEN. YOU MAY BE RIGHT.

FROM MY POINT IS NOT TRYING TO MAXIMIZE RETURN ON INVESTMENT. WE WERE TRYING TO DO THAT, WOULDN'T DO ANY OF THAT. ALWAYS SAVE HUNDREDS OF THOUSANDS OF DOLLARS PER YEAR.

>> WOULDN'T DO ANY OF WHAT? >> APARTMENT LIFE AND THE OTHER THINGS I SHOWED YOU.

>> WHAT WE WOULDN'T WANT YOU IN OUR COMMUNITY. >> THAT'S OKAY.

WHAT I'M TRYING TO TELL YOU IS I'M NOT JUST ABOUT RETURN ON INVESTMENT.

[01:25:04]

THAT'S ONLY PART OF IT. WE ARE A VISION AND VALUE DRIVEN COMPANY.

>> BUT THERE'S A REASON THERE'S 248 UNITS. >> THEIRS. I WOULD LOVE TO

ADDRESS THAT. >> GO AHEAD. >> I'M NOT IN FAVOR OF SMALL APARTMENT COMMUNITIES. OTHER PEOPLE ARE SMARTER THAN I AM, BUT I'M NOT THAT SMART.

I DON'T LIKE THEM. I DON'T THINK THEY'RE GOING TO BE LONG TERM SUSTAINABLE FOR OUR COMMUNITIES. I JUST DO NOT BELIEVE IN IT. I DON'T AGREE WITH IT.

I UNDERSTAND YOU CAN DO IT. I DON'T THINK IT'S A GOOD IDEA. THERE'S A SWEET SPOT FOR APARTMENTS AROUND 200 UNITS. FINANCIALLY FOR THESE IT'S MORE.

TO HAVE ENOUGH MONEY, TO DO SOME INFRASTRUCTURE, I CAN'T DO THAT WITH 130 UNITS.

THERE'S A LOT OF OTHER REASONS TO DO THAT, BUT IT'S JUST THE ECONOMY AND SCALE.

WE NEED TO HAVE MAINTENANCE PEOPLE. WE NEED TO HAVE THE RIGHT MANAGEMENT PEOPLE. YOU CAN'T DO THAT. SMARTER PEOPLE IN THE ROOM CAN DO THAT, BUT I CAN'T WITH 100 UNITS. I DON'T THINK THAT'S A GOOD

IDEA FOR COMMUNITIES, NOT JUST FOR US. >> THE PROBLEM WITH THAT IS SECOND-TIER. HUGE AMOUNT OF GROWTH. WE'RE JUST NOT ABOUT DO WE NEED ANY MORE OF THOSE HUGE MEGAPLEX MULTIFAMILY HOUSING UNITS. I'M NOT ASKING YOU THE

QUESTION. >> OKAY. >> THAT'S MY CONCERN.

IF THIS WAS SMALLER AND IT WAS TAKING UP LESS OF A FOOTPRINT OF THE LAND AND WE HAD SOME LAND SAVED FOR SOME OFFICE ON THE CORNER, I WOULD BE MUCH MORE RECEPTIVE TO IT.

>> WE COULD DO THAT AND LOSE OUR GREEN SPACE. >> NO.

WE WOULDN'T BE SUPPORTIVE OF THAT. ANY OTHER COMMENTS?

>> IT APPEARS TO ME WE HAVE ENOUGH VOTES TO BRING IT BACK JANUARY 7.

>> I JUST WANT TO THANK THE COUNCIL FOR BOTH OF THESE PROJECTS FOR DELIBERATION.

HAVING BEEN WHERE YOU ARE AT, I KNOW HOW DIFFICULT THESE ARE. I WILL SAY THIS WAS BROUGHT ABOUT BY OUR OWN SELVES. ALL THE APARTMENTS HAVE BEEN APPROVED AT MARKET RATE.

THERE HAS BEEN NOTHING FOR MIDDLE-CLASS. >> THAT IS NOT TRUE.

WE HAVE LONGBRANCH RESIDENTS. >> 76 UNITS. >> OF THE AVAILABLE LAND OUT HERE, ONE OR MAYBE TWO TRACKS ARE EVEN ZONED PROPERLY. AM I CORRECT? THERE MIGHT BE ONE MORE. EVERYTHING ELSE YOU SEE IS GOING TO HAVE TO HAVE A ZONE CHANGE. JUST BE READY. THERE'S GOING TO BE MORE OF THESE. I WILL TRY TO DO WITH THE COUNCIL HAS TASKED US TO DO.

THAT'S WHAT WE ARE GOING TO CONTINUE TO DO. WE ARE GOING TO MAKE EVERYTHING WORK TOGETHER WITH THE COUNCIL TO DO WHAT'S BEST FOR THE COMMUNITY AS A HOLE. AGAIN, THANK YOU FOR YOUR TIME. I APPRECIATE YOUR SUPPORT.> ALL RIGHT.

THE QUESTION BEFORE US IS DO YOU WANT TO BRING THIS BACK FOR LETTER OF NO OBJECTION FOR THIS

DEVELOPER TO POTENTIALLY MOVE FORWARD? >> YES.

>> YES. >> YES. >> YES.

>> NO. >> NO. >> WE HAVE A MAJORITY.

. >> WE HAVE A MAJORITY. THANK YOU.

[3E. Discuss a proposed amendment to the Code of Ordinances repealing the permitting exemption for accessory structures less than 120 square feet in the 2015 International Building Code and the 2015 International Residential Code. (20 minutes)]

THE NEXT ITEM ON THE AGENDA IS ITEM 3E. DISCUSS A PROPOSED AMENDMENT TO THE CODE OF ORDINANCES REPEALING THE PERMITTING EXEMPTION FOR ACCESSORY STRUCTURES LESS THAN 120 SQUARE FEET IN THE 2015 INTERNATIONAL BUILDING CODE AND THE 2015

INTERNATIONAL RESIDENTIAL CODE. IS THE MENAUL SHOW. >> JUST THE NEXT COUPLE WEEKS.

>> COUPLE OF WEEKS?

THAT. >> I JUST GOT IT. >> COUNSEL, THANK YOU FOR YOUR TIME. WE WANT TO VISIT WITH YOU AND DISCUSS AN OPPORTUNITY TO AMEND THE BUILDING CODE REGARDING PREQUIREMENTS. THE INTERNATIONAL BUILDING CODE AND INTERNATIONAL RESIDENTIAL CODE EXEMPT BUILDINGS 120 SQUARE FEET OR LESS FROM ANY PERMANENT REQUIREMENTS. THE REASON WHY WE COME BEFORE YOU TODAY IS TO SEEK AN AMENDMENT TO THE REQUIREMENT FOR A PRIMARY CONCERN AND THAT IS WE HAVE RUN INTO JUST

[01:30:09]

RECENTLY, SO OBVIOUSLY MORE DEVELOPMENTS OUT THERE WHERE YOU HAVE ACCESSORY STRUCTURES THAT ARE 120 SQUARE FEET OR LESS THAT HAVE BEEN UNINSTALLED ON PROPERTIES THAT VIOLATE THE ZONING SETBACKS. SOMETIMES THEY ENCROACH INTO THE REQUIREMENTS OF THE YARD.

SOME WERE FOUND TO BE IN RIGHT-OF-WAY. IN AN EFFORT TO NOT REQUIRE HOMEOWNERS OR RESIDENTS TO HAVE TO GO RETROACTIVELY AND FIGURE OUT WHAT THEY NEED TO DO TO MAKE REVISIONS, OR NECESSARY REMEDIES TO THE CONSTRUCTION, WHICH OBVIOUSLY ADDS TO THE COST, WE ARE REQUESTING THE CODE BE AMENDED TO REQUIRE A BUILDING PERMIT FOR THESE STRUCTURES SO IT CAN GO THROUGH A REGULAR PLAN REVIEW AND WE MAKE SURE FROM THE ONSET THAT WE ARE WORKING IN PARTNERSHIP WITH THE RESIDENTS AND THEY CAN INSTALL THEIR ACCESSORY STRUCTURE IN KEEPING WITH THE ZONING ORDINANCE REQUIREMENTS SET TO MAKE SURE IS NOT BUILT ON AN EASEMENT FOR EXAMPLE AND THOSE TYPES OF THINGS. THERE IS OBVIOUSLY A NOMINAL FEE FOR THE REVIEW AND WE ARE REQUESTING THAT IT BE $75 FOR THE APPLICATION.

I THINK THE NOMINAL FEE COULD OFFSET FUTURE ISSUES AS IT RELATES TO PLACEMENT OF THAT BUILDING. WE HAVE GONE AHEAD AND ADDED THAT TO THE MASTER FEE SCHEDULE AS IT STANDS. IF YOU ARE AMENABLE TO THIS IN THE REGULAR MEETING AND WE COULD CONTINUE AS IS.F YOU'RE NOT, WE WILL STRIKE IT THROUGH THE FEE SCHEDULE.

I JUST WANT TO MAKE SURE I BROUGHT THAT FORWARD. THIS IS THE REQUEST BEFORE YOU.

I WOULD BE HAPPY T TRY TO ANSWER ANY QUESTIONS YOU MAY HAVE.

>> COUNCIL, ANY QUESTIONS? >> I GUESS IT WOULD BE UP TO THE CODE ENFORCEMENT GUYS TO

SEE IF THERE'S A NEW ACCESSORY STRUCTURE THAT POPPED UP. >> EVEN IF I SEE CONSTRUCTION, IT'S RIGHT AT THE PROPERTY LINE. THOSE THINGS I CAN DISCERN.

JUST IN AN EFFORT TO ENSURE CONFORMITY. THIS IS NOT TO LEAD TO A NOTICE OR VIOLATION OR ANYTHING LIKE THIS. I WORK WITH THE COMMUNITY.> I'M SURE MOST PEOPLE DON'T EVEN THINK ABOUT THE POLICIES BEHIND IT.

>> CORRECT. >> WHAT TENDS TO HAPPEN WHEN THEY HEAR NO PERMITS REQUIRED

FOR ANYTHING UNDER 120 SQUARE FEET THEY HEAR NO REQUIREMENTS. >> RIGHT.

>> MY BROTHER PUT HIS UP IN THE WRONG PLACE AND DIDN'T GET A PERMIT AND HE IS HAVING TO MOVE IT.

>> IT'S AN AVERAGE. I THINK IT WAS $80-$100. >> SO WE ARE RIGHT THERE.

>> YEAH. >> THIS WILL INCLUDE THE PLAN REVIEW AS WELL AS THE INSPECTORS WHO GO ON SITE AND VERIFY IT'S IN THE RIGHT PLACE AND THERE IS NO ISSUES.

>> I JUST WONDERED WHAT OTHER COMMUNITIES ARE CHARGING. >> PRETTY MUCH IN LINE.

>> ANY OTHER QUESTIONS? THANK YOU. >> THAT WAS EASY.

>> YOU ARE NOT DOING 3B? >> NO. NOT TONIGHT.

[3B. Hear a presentation and discuss the design options for the two wastewater flow meters calculating volume into the Rowlett Creek Wastewater Treatment Plant. (30 minutes)]

>> WE ARE GOING TO GO BACK TO 3B TO HEAR A PRESENTATION DISCUSS THE DESIGN OPTIONS FOR TWO WASTEWATER FLOW METERS CALCULATE VOLUME INTO THE ROWLETT CREEK WASTEWATER

TREATMENT PLANT. HEY GARY. >> GOOD EVENING.

>> YOU BROUGHT SOME REINFORCEMENTS. >> I'M NOT COMING IN HERE

ALONE. >> SMART MAN. SMART MAN.

>> THANK YOU FOR HAVING US TONIGHT. I'M GARY, DIRECTOR OF PUBLIC WORKS. PART OF OUR TEAM IS TOM HARRIS, CITY ENGINEER.

ENGINEER. WE HAVE CHRIS, PROJECT MANAGER. MIKE HAGAN AND MARK.

PART OF THE ARBITRATION FOR THE BILLING DISPUTE WAS TO REPLACE AND UPGRADE THE TECHNOLOGY OF THE TWO METERS THE CITY USES FOR FLOW INTO THE TREATMENT PLANT.

WE HAVE A BUDGET OF $200,000 FOR DESIGN AND CONSTRUCTION. CURRENTLY WE HAVE AN ESTIMATE

[01:35:10]

FOR DESIGN ONLY AT $125,000. ABOUT 60 PERCENT OF THE BUDGET. THAT IS JUST FOR DESIGN.

IF WE USE THE CURRENT METHOD. WE REACHED OUT TO COME OUT WITH SOME ALTERNATIVES.

MIKE IS GOING TO GO THROUGH THE PRESENTATION AND DISCUSS THE MERITS.

TONIGHT WE ARE SEEKING DIRECTION FROM COUNCIL. .

>> THANK YOU. GOOD EVENING EVERYONE. A LITTLE BACKGROUND ON HOW WE GOT HERE. ESSENTIALLY, WE WILL BE FOCUSING ON THE UPDATED TECHNOLOGY PART OF IT. AS YOU ALL KNOW, THIS WILL ALSO BE INTEGRATED INTO THE CONTRACT YOU HAVE WITH THE CITY OF GARLAND THAT EXPIRES IN APRIL 2020 WHICH IS COMING UP VERY QUICKLY. RIGHT NOW, SINCE APRIL 2018, GARLAND HAS BEEN USING AN AREA VELOCITY MEET HER AT THE PLANT TO DETERMINE YOUR BILLING AT THIS POINT.

WE WILL GO INTO THE AREA VELOCITY A LITTLE BIT MORE. ESSENTIALLY, YOU HAVE ONE FLOW METER UP HERE CALLED THE SPRINGFIELD FLOW METER WHICH IS ON -- ROAD AND THEN YOU HAVE ONE OF GARLAND THAT MEASURES ALL THE FLOW. THIS 15 INCH, 18 INCH AND 36 INCH. CURRENTLY, YOU ARE UNDER DESIGN FOR A 60 INCH TO REPLACE THE 18 AND 36 INCH. THE PROPOSAL IS TO MOVE THE METER OUT OF THE PLANT AND UP ON THE 60 INCH TO GET AWAY FROM SURCHARGE AND BACKWATER CONDITIONS TO HELP THE FLOW.

AND THEN STILL USING SPRINGFIELD. AS TO TOTAL FLOW, WE WOULD BE ESSENTIAL IN ADDITION. YOU WOULD ADD THE TWO METERS TOGETHER.

ONE GOOD THING THAT OCCURRED USE RJ GROUP DID OF FLOW REPORT WHICH IS CRUCIAL TO UNDERSTAND THE FLOWS THAT YOU ARE GOING TO ENCOUNTER. I THINK MOSTLY EVERYONE IS USED TO A WATER FLOW METER IN THEIR HOUSE, OR THINGS OF THAT NATURE.

THESE TYPES OF METERS ARE SLIGHTLY DIFFERENT, BUT THEY ARE ALL SIZED AND SELECTED BASED ON HOW MUCH FLOW IS COMING IN IT WHAT TIME AND PEAK AND THINGS OF THAT NATURE.

IF YOU LOOK AT THE ROWLETT CREEK SPRINGFIELD METER, YOU CAN GENERALLY EXPECT 320,000 GALLONS OF WASTEWATER TO FLOW PAST THAT METER. DURING A FIVE YEAR STORM EVENT, THE PEAK RATE, WHICH IS AN INSTANTANEOUS RATE, IS ABOUT 460,000 GALLONS PER GAIN RATE.

THAT'S WHAT WE CALL THE PEEKING FACTOR OF ABOUT 1.4. GENERALLY, DURING OR STORM EVENTS AT SPRINGFIELD, EVERYTHING IS GOING TO BE IN THE SAME GENERAL RANGE.

IT'S VERY NARROW. LOOK AT THE 60 INCH AND YOU GET 1.24 MILLION GALLONS PER DAY.

IF YOU LOOK AT THE FIVE YEAR STORM RATE CURRENTLY, THAT IS AT 5.3.

THAT IS A VERY WIDE RANGE OF FLOWS THAT ANY METER WOULD HAVE TO BE ABLE TO MEASURE.

SO THE TYPICAL FOR GRAVITY FLOW METERING IS A TRADITIONAL FLUME.

MOST AUTHORITIES LIKE TRA AND EVERYONE ELSE, THE BIGGER AUTHORITIES, YOU FALL BACK ON WHAT THEY CALL A FLOW THAT WILL PUT ONE OF THESE FLUMES IN THE FLOWLINE TO MEASURE FLOW.

ALL THAT IS DOING IS FORCING THE WATER TO GO THROUGH A PARTICULAR CHANGE AND YOU'RE JUST MEASURING AT ONE POINT TO GET FLOW. IT ASSUMES EVERYONE IS GOING THROUGH THE FLUME PERFECTLY UNDER PERFECT CONDITIONS THAT WAS SET FOR.

[01:40:01]

THESE ARE VERY LARGE DEPENDING ON THE FLOW RATES. VERY LARGE STRUCTURES.

SO THE ADVANTAGES ARE THAT YOU CAN GET DOWN TO 3 PERCENT ACCURACY IF EVERYTHING IS PERFECT. IF YOU ARE DESIGNING THE PIPELINE TO THE METER AND THROUGH THE METER AND EVERYTHING YOU CAN GET 2 FEET OF FALL THROUGH IT.

A WHOLE BUNCH OF THINGS I WANT HAVE YOU GLOSS OVER ABOUT. IT'S A VERY SIMPLE THING.

YOU MEASURE A LEVEL AGAINST A FLOW RATE. GENERALLY SELF-CLEANING.

DATES BACK TO THE 1930S AS PART OF THE INTERIOR. THE DISADVANTAGES ARE IT IS HIGHLY EXPENSIVE AND WE HAVE TO GO THROUGH SOME OF THE COST LATER.

THE DESIGN IS VERY COMPLICATED. YOU HAVE THE MODEL AND PIPELINES TO MAKE SURE OF THE CONDITIONS. IT'S IMPRACTICAL. IT ONLY MEASURES FLOW ONE-WAY.

IT DOES NOT KNOW IF IT'S ALWAYS FLOWING THE CORRECT WAY OR IF IT'S SUBMERGED OR FLOODED CONDITIONS OR FLOWING BACKWARDS. IT DOESN'T KNOW THAT.

IT ASSUMES EVERYTHING GOES THAT WAY. AND ONE OF THE BIGGEST -- THIS GOES TO THE SIZE AND BIGGEST DISADVANTAGE. THEY ARE SIZED TO A SPECIFIC RANGE. IF YOU BUILD OUT MORE AND WANT TO SEND MORE WASTEWATER THROUGH THAT LINE AND IT FORCES THE ABOVE THAT RANGE, YOU ARE COMPLETELY REDOING THAT

STATION. >> SAY THAT AGAIN. >> THE FLUME IS SIZED FOR SPECIFIC FLOW RANGE MEANING IT'S CAPPED AT THE MAXIMUM RATE IT CAN MEASURE.

SO IF THINGS ALWAYS CHANGE YOU HAVE CURRENT BUILDOUT. YOU MAX OUT AT THAT.

IF THINGS CHANGE AND YOU GET REDEVELOPMENT AND THINGS OF THAT NATURE, IF ALL OF THE WATER COMING TO THAT POINT, THE WASTEWATER GOES ABOVE THAT, THAT WHOLE STATION HAS TO BE REPLACED. COMPLETE REPLACEMENT OF THE STRUCTURE AND EVERYTHING ELSE.

IT KIND OF IS LIKE A SALARY-CAP. >> DOES THE SIZE OF THIS

INCLUDE THE FUTURE DEVELOPMENT IN THE CITY SPECIFIC? >> IT WILL.

>> IT WOULD BE DESIGNED AS SUCH, YES. WE HAVE TO GET REDEVELOPMENT,

MORE DENSE POPULATION AND FLOW AND INCREASE THE FLOW. >> I UNDERSTAND.

>> SO THE OTHER ONE IS AREA OF VELOCITY. IT'S A VERY SIMPLE CONCEPT.

THE FLOW EQUALS THE AREA OF THE FLOAT TIMES ITS VELOCITY. IT IS GENERALLY MEASURED WITH SMART SENSORS OR CONTACT SENSORS OR NONCONTACT SENSORS. THEIR INSTALLATION IS MUCH

SIMPLER. >> LOOK AT THAT.

>> SORRY ABOUT THAT. TECHNICAL DIFFICULTIES. >> I AM SO CONFUSED.

I AM SO CONFUSED WE ARE COMPARING 243,000 YEAR TO 33,000 A YEAR TO 20,000 PER YEAR. THAT'S A MACRO STATEMENT. IT DOESN'T MAKE SENSE TO ME.

PLEASE PROCEED.

VELOCITY METER COMPARATIVELY, THAT IS FOR ALL INTENT AND PURPOSES A METER THAT COULD BE MOUNTED IN A MANHOLE. YOU DON'T HAVE TO HAVE SPECIAL STRUCTURE OR YOU DON'T NEED TO DO ALL THE THINGS YOU NEED TO DO FOR A FLUME. THE PRIMARY ADVANTAGE OF THE AREA OF VELOCITY IS YOU DO NOT NEED TO BUILD SPECIFIC INFRASTRUCTURE FOR THAT PARTICULAR FLOW RATE. IT WILL MEASURE FLOW REGARDLESS OF THE CONDITIONS.

IF IT HAS GONE BACKWARDS, FORWARDS, SUBMERGED. YOU CAN EMPLOY MULTIPLE SENSORS.OU CAN HAVE MULTIPLE INSTRUMENTS OF MEASURING THE FLOW.

YOU CAN HAVE IN A SENSE THREE INDEPENDENT MEASUREMENTS OF FLOW AT THE SAME LOCATION.

ONE THING THAT IS CURRENTLY POSITIVE WITH THIS METHOD IS GARLAND IS ACCEPTING AV MEASUREMENT BY CUSTOMERS FOR BILLING AT THIS POINT. IT IS NOT NEW.

[01:45:05]

IT IS NOT SOMETHING YOU HAVE TO WORK THROUGH WITH THEM. >> WHY IS THE ACCURACY OF THIS TO ME, SEEMS THIS WOULD BE MORE ACCURATE. THE OTHER FLUME HAD 3 PERCENT

ACCURACY. >> IS RIGHT WITH THAT DISADVANTAGE.

SENT YOU ARE DEALING WITH WASTEWATER, THERE ARE TIMES WHERE THE SENSOR CAN GET FELLED BY SEDIMENT. IT CAN AFFECT THE OVERALL ACCURACY OF THE DEVICE.

WITH THE MULTIPLE SENSORS ARRAYED, IF YOU HAVE TWO SENSORS, HAVE TWO INDEPENDENT FLOW MEASUREMENTS THAT YOU CAN COMPARE TO EACH OTHER. NORMALLY THAT IS DOWN EVEN LOWER.S A SINGLE POINT, IT'S GENERALLY ACCEPTED AS 5 PERCENT.

>> HOW FAR APART YOU RECOMMEND THOSE? IF YOU HAVE MULTIPLE SENSORS,

HOW FAR APART DO THEY NEED TO BE? >> THEY CAN BE WITHIN THE SAME CROSS-SECTION OF THE PIE. EVERYTHING IS INSTALLED IN THE PIPE.

IF YOU HAVE A THREE SENSOR ARRAY, YOU WOULD HAVE WANTED THE TOP AS A NONCONTACT LIKE WAS IN THE PHOTO AND YOU WOULD HAVE TWO SUBMERGED. IF THIS ONE GETS FOULED, YOU WOULD STILL HAVE TWO. IF THIS ONE GETS FOULED, YOU STILL HAVE TWO.

I LOOK AT IT AS EACH SENSOR IS SOMEONE STANDING THERE MEASURING THE FLOW LIKE THAT.

>> DO THOSE HAVE TO BE CALIBRATED? LIKE HOW OFTEN DO THEY HAVE TO

BE CALIBRATED? >> DEPENDING ON THE TECHNOLOGY, THE DOPPLER, AND THE LIDAR, ESSENTIALLY THEY DON'T HAVE CALIBRATION ASSOCIATED WITH IT BECAUSE THEY ARE ACTUALLY

MEASURING THE VELOCITY WITHIN THE FLOW AREA. >> THE TECHNOLOGY YOU CAN USE

-- >> THE NONCONTACT IS DOING LIDAR FOR LEVEL AND VELOCITY.

SUBMERGED THEY ARE USING DOPPLER. YOU HAVE TWO DIFFERENT

TECHNOLOGIES MEASURING THE SAME THING SIMULTANEOUSLY. >> THAT'S COOL.

IS THAT READING REAL-TIME, SO ESSENTIALLY YOU COULD COMPARE FLOWS FOR ANY GIVEN DAY DURING

A STORM EVENT. HEAT FLOW AND ALL OF THAT? >> YOU WILL GET -- USUALLY THAT IS DETERMINED BY YOUR PROGRAM SAMPLE TIME. YOU CAN GET DOWN TO READING EVERY MINUTE DOWN TO 30 SECONDS. THAT USES POWER ESSENTIALLY.

YOU CAN SATURATE WITH SOME OF THE OTHER PROGRAMS CAN VARY IT. IF YOU ARE EXPECTING A STORM OF

HIGH RESOLUTION, YOU CAN CHANGE THAT AND CHANGE IT BACK. >> COOL.

THOSE HARDWIRING OR BATTERY? >> TYPICALLY, BATTERY. YOU CAN DO THE STANDARD CONFIGURATION IF YOU WANT IT AS A PERMIT STATION. IT WILL BE SOLAR IN THE BATTERIES WITH CELLULAR COMMUNICATION. NO WIRES.

NO POLES. NO CONDUITS. EVERYTHING IS BASICALLY

SELF-SUSTAINING. >> OKAY. >> ENJOY DOING TWO

MEASUREMENTS, ARE YOU COMPARING THE TWO? >> YES.

>> ARE YOU AVERAGING? >> THAT WILL BE ESSENTIALLY PART OF WHAT YOU NEGOTIATE OR

GET AS PART OF YOUR AGREEMENT. >> IF YOU'RE GOING TO COMPARE, ONE IS GOING TO BE DIFFERENT

THAN THE OTHER AT SOMETIMES YOU WHAT YOU DO IN THAT CASE? >> USUALLY THE SENSOR GOES DOWN AND YOU SAY, OKAY, WE WILL AVERAGE BETWEEN THE THREE. THE KEY THING IS WITH THE WAY THE LOGGING IS DONE YOU HAVE FULL TRANSPARENCY. YOU KNOW THE EXACT THINGS THAT WERE USED TO CALCULATE WHAT THE FLOW RATE WAS AT THAT TIME. IT IS NOT THE TYPICAL BLACK BOX WHERE YOU REALLY DON'T KNOW WHAT'S GOING ON. IT IS JUST DISPLAYING A NUMBER

AND TELLING YOU WHAT THE FLOW RATE IS. >> HOW DO THEY CONNECT WITH THE

REPORT SYSTEM? >> THERE IS MULTIPLE WAYS. SOME TEMPORARIES YOU CAN GO OUT WITH A LAPTOP AND CONNECT. THAT'S ALWAYS AN OPTION. MOST OF THESE NOW ARE CELLULAR, SO YOU PULL IT. IT'S RECORDING AND THEN IT LOGS IT.

ESSENTIALLY ON AVERAGE EVERY HOUR IT SAYS GIVE ME AN UPDATE. >> I WAS THINKING.

[01:50:06]

>> DOESN'T HAVE PARAMETERS SO IT WOULD SEND A NOTIFICATION OUT TO THE WASTEWATER TEAM IF

THERE'S AN ISSUE. >> YES. DEPENDING ON THE SYSTEM YOU WILL HAVE MULTIPLE ALARMS. THERE COULD BE SOMETHING GOING ON LIKE A CLOGGED DOWNSTREAM.

SOME OF THESE SYSTEMS ARE LITERALLY WEB-BASED.S TRANSPARENCY.

ANYONE WITH A LOGIN CAN SEE WITH THE INSTRUMENT IS DOING. .

THIS IS THE LAST OPTION WHICH IS WHAT'S NOW CALLED THE DATA DELIVERY SERVICE AND WE APPLY THE AV METHODOLOGY. YOU HAVE A SERVICE PROVIDER WHO PROVIDES THE EQUIPMENT, RESOURCES, MANPOWER AND ESSENTIALLY INSTALLS THE EQUIPMENT AND TAKES CARE OF ALL OF YOUR WIRELESS CONNECTIONS, THE SOLAR PANEL, THEY ARE RESPONSIBLE FOR MAKING SURE THE EQUIPMENT IS CALIBRATED ACCORDING TO YOUR PROGRAM. IF ANYTHING GOES DOWN, ESSENTIALLY THEY COME OUT AND FIX IT. THERE IS NO RETURN AUTHORIZATION.ESSENTIALLY THEY TAKE ON THE ROLE OF ANY TYPE OF SERVICE PROVIDER BEING INTERNET OR ANYTHING ELSE. YOU ARE ESSENTIALLY BUYING THE DATA FROM THEM.

YOU GET THE FLOW LINE MANAGER I WAS TALKING ABOUT AND YOU CAN SEE THE ACTUAL VELOCITY AND LEVEL RECORDED BY THAT METER AT ANY GIVEN TIME. REPORT WISE THERE IS NOTHING.

EVERYTHING IS ABOVE BOARD. >> SO THEY TAKE RESPONSIBILITY IF THERE IS AN ERROR AND WE GET

CHARGE FOR AN ADDITIONAL MILLION DOLLARS? >> ULTIMATELY IT IS THE

RESPONSIBILITY TO MEASURE THE FLOW. >> WHY ARE YOU SHAKING YOUR

HEAD? >> I THINK THEY NEED TO FINISH THE PRESENTATION BEFORE WE ASK.

>> ULTIMATELY WHAT YOU GET WITH THESE TYPES OF SERVICES AS YOU GET THE MONTHLY REPORTING WHICH HAS ANY CORRECTIONS. IF THE SENSOR GOES DOWN OR ANYTHING ELECTRONIC, MAYBE A STRAY VELOCITY. THEY DOUBLE CHECK EVERYTHING AND ISSUE A FORMAL REPORT TO YOU AND GARLAND SAYING THESE ARE THE FLOWS. ALL OF THAT INFORMATION IS AVAILABLE TO YOU IF YOU WANT TO GIVE IT TO SOMEBODY ELSE. IT'S THE SIMPLE EQUATION FLOW EQUALS AREA TIMES VELOCITY. WHAT YOU WOULD BE DISPUTING IS THAT IS NOT THE LEVEL THAT WAS

THERE AT THAT TIME. >> I AM DISPUTING GARLAND MAYBE DOESN'T HAVE AS GOOD OF MONITORS AS WE DO.

USED OR ACCEPTED BY GARLAND FOR OTHER CUSTOMERS. ALL OF THE GROUNDWORK HAS BEEN LAID FOR THIS TYPE OF THING WITH GARLAND FOR THE WASTEWATER METER.

>> OKAY. >> SO ULTIMATELY THE BIGGEST COST THAT IS SEEN IS THE FLUME OBVIOUSLY. YOUR INITIAL CAPITAL WAY OUT IS ESTIMATED BECAUSE IT'S TWO METERS TO BE ABOUT 1.1. THAT IS THE CONSTRUCTION. WITH THE TECHNOLOGIES YOU ARE RUNNING THEM AND PAYING SOMEONE TO DO ALL THE EQUIPMENT, MAINTENANCE, CALIBRATION.

THERE'S A LOT MORE MAINTENANCE INVOLVED WITH THE FLUME THEN THERE WOULD BE THE AV METER BECAUSE YOU DO NOT KNOW WHAT THE FLOW CONDITIONS ARE. ULTIMATELY IN 20 YEARS YOU COULD GET UP TO 4.4 MILLION. THIS IS BASED ON TODAY'S NUMBERS.

[01:55:03]

THE TECHNOLOGY CHANGES EVERY FIVE YEARS. THIS IS HARD-LINE PHONE AND HARD-LINE POWER. YOUR BASIC TRADITIONAL STATION. IF THE SECONDLINE IS IF THE CITY PURCHASED THE EQUIPMENT AND ESSENTIALLY PAID FOR MAINTENANCE USING HAACH THE EQUIPMENT COST PLUS THE INSTALLATION COST WOULD BE -- THAT FOR 20 YEARS COULD RANGE

UP TO $650,000. >> I'M SORRY. JUST TO CLARIFY, IS THE METER,

THE HIGHER IN TECHNOLOGY ONE, IS THAT WHEN POWERED BY SOLAR? >> THEY ARE BATTERY-POWERED

D.C. UNITS WHICH CAN BE RUN OFF A BATTERY PACK. >> POWER OUTAGE MONITOR FLOW.

>> ESSENTIALLY -- >> IT WOULD HELP US. >> THE ONLY THING IS IF SOMEONE HITS THE WRONG CELL TOWER. THAT IN ITSELF IS NEVER LOST BECAUSE IT IS LOGS.

IT IS PHYSICALLY STORED AT THE MEEDER SITE. ALL THEY'RE DOING IS CALLING IT. IT IS MORE HIGH-TECH. ESSENTIALLY CALLING IN AND SAYING HERE'S MY INFORMATION, SAVE IT. IT NEVER LEAVES THE METER.

>> SO WHEN YOU SAY 16 THROUGH 20 CUMULATIVE, YOU'RE TALKING CUMULATIVE YEARS ONE THROUGH

20. >> CORRECT. >> OKAY.

>> AFTER 10 YEARS YOU SPENT TWO. AFTER 15 YOU ARE UP TO THREE.

AGAIN, THE DUTCH. >> IT JUST READS THAT'S A FIVE YEAR CUMULATIVE NUMBER.

IT'S A 20 YEAR CUMULATIVE NUMBER. >> RIGHT.

>> BUT I DON'T SEE IN YOUR CONTRACT ANY RATE INCREASES EVERY FIVE YEARS.

>> CORRECT. >> YEAH. >> THESE PACKAGES HAVE BEEN

AROUND FOR THE BEGINNING OF 1999 ESSENTIALLY. >> THEY ARE FIVE-YEAR

CONTRACTS. >> IS A FIVE YEAR CONTRACT. THERE'S ALWAYS APPLICABLE COST-OF-LIVING UPDATES AND THINGS OF THAT NATURE. WE HAVE NOT COME ACROSS THE

TYPICAL BAIT AND SWITCH. >> IT WOULD HAVE TO BE A HUGE COST INCREASE.

>> THIS IS PRESUMING EVERYTHING IS PERFECT. THIS IS WHAT IT WOULD RUN.

THERE IS SIGNIFICANT SAVINGS. THE ONE THING I CAN ATTEST TO IS WITH THE DDS CONTRACT THERE'S LESS HEADACHES FOR PERSONNEL.HEY'RE NOT HANDLING GETTING THE EQUIPMENT CHANGED. AND A LOT OF CASES THEY ARE CONSTANTLY MONITORING THESE THINGS. IF THE METER GOES DOWN THEY WILL BE CALLING YOU TO SAY THEY WILL BE COMING OUT TO REPLACE IT. THAT IS ALL INCENTIVIZED IN THOSE CONTRACTS. OBVIOUSLY YOU NEGOTIATE YOUR BEST DEAL.

>> YEAH. >> FOR BEFORE WE LEAVE THIS SCREEN, THE BULLET POINT, THE DESIGN IS NOT INCLUDED, THE DESIGN ON THE FIRST OPTION WOULD BE OVER $100,000.

THE DESIGN COST. >> SO WHAT IS THE RECOMMENDATION.

>> OUR RECOMMENDATION WILL BE TO GO WITH IT DDS CONTRACT IF YOU'RE COMFORTABLE WITH IT.

ULTIMATELY WHAT WE ARE HERE TO DO IS PROOF OF THE CONCEPT FOR THE AV YOU WANT TO GET GARLAND

[02:00:03]

100 PERCENT ON IN PART A RENEGOTIATION OF YOUR PERMIT, CONTRACT, THAT IS THE BEST WAY

TO GO. >> DOES DALE HAVE A RECOMMENDATION?

>> MAYOR, BASED ON THE CONVERSATION I HAVE HAD WITH PAUL AND GARY, THE THING IS

GARLAND ALREADY SUPPORTS THAT FOR THE NEW PLAN. >> OKAY.

DO WE HAVE ANY IDEA HOW MUCH OF THE MARKET IS GOING TO THAT OR IS CURRENTLY USING THAT?

>> I'M TALKING WITH HACH. THEY ARE A SEPARATE ENTITY. THEY CAN PROVIDE A WHOLE LIST OF REFERENCES. WORKING WITH YOU ALL TO MAKE SURE THEY HAVE THE REFERENCES.

>> I WAS MORE ASKING ABOUT WHAT PERCENT OF THE MARKET IS DOING THE THIRD-PARTY MONITORING SYSTEM? THE SECOND QUESTION IS ARE THEY THE RIGHT PARTNER.

>> I CAN GET BACK TO YOU AS TO WHAT THE OVERALL MARKET TREND IS NATIONWIDE AND GET SOMETHING

TEXAS WIDE. >> I WOULD LIKE SOME FEEL. >> I LIKE THE IDEA IT IS LESS HEADACHE ON OUR CITY STAFF, BUT WHAT OUR PLANS STILL BE TO DO THIRD-PARTY TESTING EVERY ONCE IN A WHILE TO MAKE SURE EVERYTHING IS WORKING CORRECTLY SO WE DON'T GET OURSELVES INTO A BIND? I GOT A CHUCKLE OR A NOD FROM DAVID, BUT I'M SERIOUS.

I DON'T WANT TO DO A DISSERVICE IF WE HIT THIS PROBLEM AGAIN. YOU DO THIRD-PARTY INDEPENDENT

TESTING EVERY ONCE IN A WHILE. >> THE PROPOSAL GARLAND IS GIVING US RIGHT NOW, BECAUSE WE ARE IN THE PROCESS OF RENEGOTIATING OUR LONG-TERM WASTEWATER CONTRACT WITH GARLAND, RIGHT NOW THEY ARE PROPOSING WE PURCHASE OF FLOW METERING SYSTEM AND TURN OWNERSHIP OVER TO THEM. THEY WILL BE RESPONSIBLE FOR THE MAINTENANCE AND OPERATIONS.

WE BUY IT FIRST. IF THAT'S THE CASE, WE DON'T NEED TO WORRY ABOUT LONG-TERM MAINTENANCE OR OPERATIONS. THAT IS THE PROPOSAL RIGHT NOW. RIGHT NOW --

>> WE HAVE HAD SOME INTENSE CONVERSATIONS ABOUT THIS FOR THE PROBLEM WE HAD WITH THE OTHER ONE WAS LOCATION. WE WERE ABSOLUTELY CONVINCED THEY WERE SURCHARGED.

NOT ONLY AT TIMES FROM THE TREATMENT FACILITY BACKING UP, BUT ALSO SOME VERY CONSIDERABLE ISSUES. THE OTHER THING WE DID NOT HAVE AT THE TIME THAT ALL THAT WAS

GOING ON WAS GARLAND HAD NEVER INSTALLED A CHECK METER. >> THERE WAS MORE THAN THAT

THOUGH. >> I ONLY HAVE 10 MINUTES LEFT.

>> I'M COMFORTABLE THE PLACEMENT IS GOING TO CHANGE. WHAT YOU'RE SAYING IS WITH THE NEW AGREEMENT WE WILL PUT IT IN AND THEY ARE RESPONSIBLE FOR IT.

>> WE WILL PURCHASE IT AND THEY WILL RUN IT. >> WE PAY THE ONGOING SERVICES

ON IT. >> WE PAY IT DIRECTLY TO THE MANUFACTURER OR THE LESSOR DEPENDING ON HOW WE STRUCTURE THE ARRANGEMENT. GARLAND WILL DO IT AND ADD IT

ON TO OUR BILL AS A DIRECT COST. >> IF THERE'S ANY DISCREPANCY BETWEEN THAT METER AND THEIR IN FLOWMETER AT THE PLANT, AT SOME POINT INTO THE FUTURE THAT DOES NOT COME BACK ON US. THIS TAKES CARE OF THAT. THAT'S THE PART I WANT TO MAKE

SURE WE ARE COVERING. >> I KNOW. THAT IS THE BIGGEST CONCERN I HAVE HAD THE ENTIRE CONTRACT NEGOTIATION. JUST LIKE WITH THE EAST TECH METER, THEY WILL CALIBRATED ACCORDINGLY. THEY WILL SHARE INFORMATION WITH US, CALIBRATION RESULTS, PLUS FLOW. WE HAVE TO READ AND STUDY THEM OBVIOUSLY. WE DIDN'T IN THE PAST. IN THEORY, QUARTERLY CALIBRATIONS WILL FIX ANY ERRORS. IF IT TURNS OUT THERE IS IN FACT A BILLING ERROR, THERE ARE MECHANISMS IN THE CONTRACT FOR ADJUSTMENT.

[02:05:04]

>> THAT WAS MY BIGGEST THING. AS LONG AS THERE ARE MECHANISMS IN THERE AND WE ARE NOT GOING TO HAVE BIG OUTSTANDING INVOICE IN THE FUTURE. OTHER THING THAT CONCERNS ME, I WOULD STILL WANT TO MAKE SURE WE ARE DOING SOME TYPE OF THIRD-PARTY VERIFICATION.

OBVIOUSLY WE ARE GOING TO GET DATA AND NOW WE ARE COMPLETELY DEPENDENT ON THEM TO TELL US WHAT THE FLOW IS. I UNDERSTAND THE FORMULA IS WHAT THE FORMULA IS.

THAT DOESN'T MATTER. I THINK IT WOULD BEHOOVE OURSELVES TO MAKE SURE WE ARE

CHECKING THAT AND MAKING SURE THINGS ARE WORKING CORRECTLY. >> CAN I CLARIFY? THE CURRENT METER THAT WE HAVE THAT MALFUNCTIONED, DO WE OWN THAT? AND NOW THIS WE ARE GOING TO PURCHASE. IS THAT MY UNDERSTANDING?

>> YEP. >> I'M SORRY. >> TO BE CLEAR, THE ASSUMPTION THAT WE STARTED DOWN THIS ROAD WITH WAS WE WOULD BE PUTTING IN ANOTHER FLOWMETER AT SOME PLACE HIGHER UP THE LINE. THE ANTICIPATION IN THE NEGOTIATIONS SO FAR WITH GARLAND HAS BEEN WE WOULD END UP PURCHASING AND INSTALLING AND THEY WOULD END UP TAKING OVER RESPONSIBILITY FOR IT. WE WERE OKAY WITH THAT FOR A COUPLE REASONS.

NUMBER ONE, THE CHECK METER. WHAT YOU ARE HEARING TONIGHT IS THERE ARE OTHER OPTIONS THAT ARE FAR MORE COST-EFFECTIVE AND COULD INFLUENCE OUR FINAL NEGOTIATIONS WITH GARLAND ON OUR TREATMENT CONTRACT. THAT MEANS WE MAY NOT TURN OVER OWNERSHIP AND MAYBE WE DO MANAGE THE CONTRACT. WE ARE NOT FINISHED WITH THAT PART BECAUSE NOW WE ARE AT THIS

STAGE. >> NOW I AM WITH MATT ON THIS. I'M A LITTLE CONCERNED.

>> ONE OF THE BEAUTIES OF THIS IS DUPLICITY OF MEASURING. BOTH ENTITIES ARE GETTING THE DATA. THERE IS AN ISSUE WITH THE PARAMETERS YOU MENTIONED EARLIER. YOU CAN IMMEDIATELY ADDRESS IT SO YOU DON'T HAVE TO COME UP WITH THIS BIG CHUNK OF MONEY TO NEGOTIATE. INSTANTANEOUS REAL-TIME DATA.

WE ADDRESS IT QUICK. THEN YOU HAVE MULTIPLE WAYS TO READ THE FLOW.

IT GIVES YOU MORE TEETH. >> UNDER THE TYPICAL DDS CONTRACT, CALIBRATION IS INCLUDED AS THIRD-PARTY. THE FLOW REPORT, WHICH MEANS THEY ARE LOOKING AT THE DATA

AND PRESENTING THE FLOWS TO THE PARTIES. >> WITHIN THE CONTRACT.

IS THAT YEARLY OR QUARTERLY? >> YOU CAN SET IT UP MONTHLY, QUARTERLY.

EVERYTHING IS SET UP QUARTERLY. >> THE CURRENT CONTRACT REQUIRES QUARTERLY.

WE PROBABLY WOULD WANT TO BE CONSISTENT WITH THAT. >> THERE IS SOME ABNORMALITY

THEN YOU NEED TO DO SOMETHING ABOUT IT. >> THEN YOU CAN GIVE IT TO ANOTHER THIRD-PARTY OR FOURTH PARTY TO EVALUATE IT FURTHER IF YOU WANT TO.

IT IS JUST INFORMATION. IT'S A MEASUREMENT OF LEVEL AND MEASUREMENT OF VELOCITY.

>> OKAY, COUNCIL, ANY OTHER QUESTIONS? ARE WE IN SUPPORT OF STAFF

RECOMMENDATION? >> YES.>> I AM. >> YES.

[4. DISCUSS CONSENT AGENDA ITEMS]

>> THANK YOU. >> THANK YOU FOR YOUR TIME. >> APPRECIATE IT.

ALL RIGHT. TAKE A LOOK AT THE CONSENT AGENDA.

I'M GOING TO HAVE 7D PULLED FOR INDIVIDUAL CONSIDERATIONS. WOULD ANYONE ELSE LIKE ANYTHING

PULLED FOR CONSIDERATION? >> I WAS GOING TO SUGGEST D. >> WHICH ONE?

>> D AS IN DOG. >> OKAY. >> I DON'T NEED A PRESENTATION ON THAT. I'LL JUST TAKE THAT DISCUSSION. ANY OTHER QUESTIONS?

ITEMS TO PULL? >> ARE YOU GOING TO BE AROUND TOMORROW AFT

* This transcript was compiled from uncorrected Closed Captioning.