[00:00:01]
>> I NOW DECLARE THAT THE PLANO CITY COUNCIL HAS CONVENED AT AN OPEN SESSION,
[Call to Order]
THAT ALL COUNCIL MEMBERS ARE PRESENT.>> THE COUNCIL WILL NOW RECESS INTO EXECUTIVE SESSION AND TRAINING ROOM TO HOLD
[Executive Session]
A CLOSED EXECUTIVE MEETING PURSUANT TO THE PROVISIONS OF VERNON'S TEXAS CODE'S ANNOTATED GOVERNMENT CODE, CHAPTER 551.THE OPEN MEETINGS ACT IN ACCORDANCE WITH THE AUTHORITY CONTAINED IN SECTION 551071, TO CONSULT WITH THE ATTORNEY, RECEIVE LEGAL ADVICE, AND DISCUSS LITIGATION, AND SECTION 551074 TO DISCUSS PERSONNEL MATTERS.
>> I ADD TO CLEAR THAT THE PLANO CITY COUNCIL HAS CONVENED IN OPEN SESSION, THAT ALL COUNCIL MEMBERS ARE PRESENT.
I'LL START WITH ITEM NUMBER 1,
[I. Overview of 2024-25 Budget & Community Investment Program (CIP) ]
OVERVIEW OF THE 24/25 BUDGET AND COMMUNITY INVESTMENT PROGRAM. MARK?>> THANK YOU, MAYOR. MAYOR AND COUNCIL.
I AM PLEASED TO PRESENT YOU WITH THE 2025/26 CITY MANAGER'S RECOMMENDED BUDGET.
THIS RECOMMENDED BUDGET FUNDS ORGANIZATIONAL AND COMMUNITY PRIORITIES THAT WILL KEEP PLANO AS THE PREMIER CITY IN NORTH TEXAS.
I'D LIKE TO BEGIN WITH THANKING TEAM PLANO, OUR EXECUTIVE STAFF, OUR BUDGET STAFF, FOR ALL THEIR WORK TO COMPILE THIS BUDGET.
OUR EMPLOYEES CONTINUE TO BE OUR GREATEST ASSET AND KEEP US THE CITY OF EXCELLENCE, AND THIS WOULD NOT HAVE BEEN ABLE TO BE COMPLETED WITHOUT THEIR ASSISTANCE.
LAST YEAR, THE CITY WAS PRESENTED WITH A FINANCIAL FORECAST INDICATING THE NEED FOR THE CITY TO IMPLEMENT OUR BUDGET CONTINGENCY PLAN, INCLUDING A HIRING FREEZE AND MAKE SOME STRATEGIC CHANGES TO OUR BUDGET PHILOSOPHY.
THE CITY ACCELERATED THE IMPLEMENTATION OF OUR FIVE YEAR FISCAL ROADMAP PROJECT THAT PROVIDES THE FRAMEWORK FOR A COMPREHENSIVE REVIEW OF FINANCIAL POLICIES AND PRACTICES TO ADAPT TO FLATTENING REVENUES AND CONTINUED REDUCTION IN DEVELOPABLE LAND.
ADDITIONALLY, THE CITY STUDIED SEVERAL HIGH PERFORMING CITIES TO UNDERSTAND INDUSTRY BEST PRACTICES, WHICH RESULTED IN THE CITY ADOPTING POLICY CHANGES FOR FUND BALANCES AND COST RECOVERY OF FEES TO ENSURE PLANO STAYS FINANCIALLY STRONG IN THE FUTURE AND REMAINS THE CITY OF EXCELLENCE.
THOSE ACTIONS TOWARDS REDUCING COSTS, CHANGING POLICIES AND ADAPTING NEW PRACTICES HAVE PLACED THE CITY ON SOLID FINANCIAL FOUNDATION FOR THE UPCOMING FISCAL YEAR.
AS A REMINDER, THE CITY IS A SERVICE INDUSTRY, AND WE ARE IMPACTED BY THE SAME ECONOMIC CONDITIONS AFFECTING THE REST OF THE BUSINESS COMMUNITY, INCLUDING LABOR SCARCITY, WAGE ESCALATION, AND INFLATION.
THE CITY MUST ADAPT TO THE NEEDS OF THE PLANO COMMUNITY, INCLUDING AGING INFRASTRUCTURE, CHANGING POPULATIONS, TECHNOLOGY DISRUPTION, AND NEW DEVELOPMENT SHIFTING TO REDEVELOPMENT.
REVENUE GROWTH HAS TO MATCH THE INCREASED COST FOR PROGRAMS AND SERVICES EXPECTED BY OUR BUSINESSES AND CITIZENS, AND THE CITY MUST OR THE CITY MUST CONSIDER SERVICE REDUCTIONS.
WHILE THE 25/26 BUDGET BEING PRESENTED IS BASED ON LAST YEAR'S TAX RATE, I BELIEVE THE CITY SHOULD CONSIDER A TAX RATE WHICH PROVIDES AN INCREASE IN REVENUE TO KEEP UP WITH SERVICE DEMANDS, THE NEW BOND AUTHORITY, AND TO REMAIN COMPETITIVE FOR STAFF IN THE METROPLEX.
THE CITY OF PLANO REMAINS THE BEST OVERALL VALUE AMONG ANY CITY IN DFW AND POSSIBLY ACROSS THE STATE OF TEXAS.
WE DO THIS THROUGH THE BALANCING OF THE SAME FIVE GOALS THAT WE'VE HAD SINCE I'VE BECOME CITY MANAGER.
THE FIRST IS OUR FINANCIAL POLICIES.
THE CITY MAINTAINS THESE FINANCIAL POLICIES TO ENSURE THAT WE MAINTAIN OUR AAA BOND RATING, AND THESE POLICIES HELP US TO WEATHER ECONOMIC CYCLES THAT CAN DRAMATICALLY AFFECT SERVICE LEVELS FOR CITIZENS AND BUSINESSES.
THE CITY, IS AGAIN, ON THE POLICY SIDE IS MOVING TO YEAR TWO OF THE FIVE YEAR FINANCIAL ROADMAP THAT CREATES REVISED POLICIES AND PRACTICES, AND WE WILL HAVE ADDITIONAL DECISIONS FOR THE COUNCIL TO MAKE IN THE UPCOMING YEAR.
FOR PERSONNEL, WE CONTINUE TO LOOK FOR WAYS TO ATTRACT AND RETAIN OUR GREATEST ASSETS.
THE CITY HAS EVALUATED OUR COMPENSATION PHILOSOPHY WHICH SHOWS THE ORGANIZATION REMAINS HIGHLY COMPETITIVE FOR PERSONNEL.
THE 25/26 RECOMMENDED BUDGET INCLUDES STEP INCREASES FOR PUBLIC SAFETY AND ACROSS THE BOARD, PAY INCREASES AND THE NET ADDITION OF TWO POSITIONS.
QUALITY INFRASTRUCTURE, AS YOU KNOW, IS A PRIORITY FOR THE CITY.
THE CITIZENS GRANTED THE AUTHORITY FOR THE CITY TO ISSUE $648 MILLION IN NEW AUTHORITY FOR CAPITAL PROJECTS.
OUR CIP IS REFLECTED WITH $321 MILLION WORTH OF PROJECTS IN 25/26, INCLUDING BRINGING ON ADDITIONAL OPERATIONS AND MAINTENANCE OF $93 THOUSAND.
WELL, WE HAVE ALL THAT WORK TO DO.
WE ARE NOT CREATING ANY NEW PROGRAMS OR SERVICES.
WE ARE STICKING WITH WHAT WE HAVE AND TRYING TO MAKE SURE THAT THEY STAY AT EXTREMELY HIGH LEVEL.
THEN ON AFFORDABILITY, THE CITY NOW HAS AN AVERAGE HOUSE VALUE OF $591,947.
THIS IS AN INCREASE OF 2.1% FROM THE PREVIOUS YEAR, BUT THE CITY IS GENEROUS IN OFFERING SAVINGS TO OUR CITIZENS OF THE MAXIMUM 20% HOME EXEMPTION,
[00:05:01]
AND WE ALSO HAVE OUR SENIOR TAX FREEZE.IN CONCLUSION, I AGAIN WANT TO THANK OUR EXECUTIVE TEAM, THE DEPUTY CITY MANAGERS, THE BUDGET AND RESEARCH DEPARTMENT FOR THEIR TREMENDOUS EFFORTS IN PUTTING TOGETHER THE BUDGET IN THE COMMUNITY INVESTMENT PROGRAM.
WITH THAT, I'LL TURN IT OVER TO KAREN RHODES WHITLEY TO PRESENT THE BUDGET.
[III. Budget Presentation]
>> THANK YOU, MARK. WELCOME, KAREN.
>> THANK YOU. I SKIP OVER THE PRIORITIES.
YES, THE BUDGET THAT ALL RECEIVED, ON MONDAY.
THIS IS FOR ALL THE COMBINED BUDGET.
THIS IS THE REVENUE SIDE OF THE EQUATION.
THE TAXES, WHICH INCLUDE PROPERTY TAXES AND SALES TAX TOTALS 388 MILLION, CHARGES FOR SERVICES TOTALS 333 MILLION.
THAT'S THE SECOND LARGEST REVENUE, AND THAT ACCOUNTS FOR LIKE YOUR WATER AND SEWER PAYMENT, SOLID WASTE, PARKS AND REC.
OUR THIRD LARGEST IS THE FUND BALANCE, WHICH IS 137.8 MILLION DOLLAR.
THIS INCLUDES ALL THE FUND BALANCES ON OUR FINANCIAL POLICIES, SINCE WE WANT TO HAVE STRUCTURALLY BALANCED BUDGETS.
WE DO HAVE FINANCIAL POLICIES THAT STIPULATE THE DAYS OF WORKING CAPITAL THAT ARE REQUIRED TO BE KEPT IN THE FUND, AND THAT'S WHERE YOU WILL SEE THESE.
AS FAR AS THE EXPENDITURE SIDE, IT TOTALS $788 MILLION.
OUR NUMBER 1 EXPENDITURE IS WATER AND SEWER.
WATER AND SEWER TOOK OVER PUBLIC SAFETY ABOUT THREE OR FOUR YEARS AGO, AND THIS IS DIRECTLY TIED TO THE PAYMENTS THAT WE MAKE TO THE NORTH TEXAS MUNICIPAL WATER DISTRICT.
PUBLIC SAFETY IS YOUR SECOND LARGEST.
IT TOTALS $206 MILLION OR 26% OF THE PI AND OF COURSE, THAT INCLUDES POLICE, FIRE, E911 AND THE HEALTH DEPARTMENT.
THE THIRD LARGEST IS DEBT SERVICE.
OF COURSE, WE DO ISSUE BONDS, SO WE ARE REQUIRED TO MAKE THE PRINCIPAL AND INTEREST PAYMENTS ON THE BONDS FOR OUR CAPITAL IMPROVEMENT PROGRAM.
THEN THE FOURTH LARGEST IS FOR PARKS AND REC AT $58 MILLION.
ON THE GENERAL FUND SIDE, THIS IS YOUR EXPENDITURES FOR THE COMING UP YEAR.
THE LARGEST EXPENDITURE IS FOR PUBLIC SAFETY AND THE HEALTH DEPARTMENTS.
IT IS CONSIDERED OVER 50% OF THE EXPENDITURES IN THE GENERAL FUND, TOTALING $206.8 MILLION.
THE SECOND LARGEST IS NON DEPARTMENTAL AND TRANSFERS.
NON DEPARTMENTAL IS WHERE WE HOUSE THE EXPENDITURES THAT AFFECT THE ENTIRE CITY.
ON THE EXPENDITURE SIDE, WE ALSO HOUSE THE TRANSFERS WITHIN NON DEPARTMENTAL.
THE TRANSFERS ARE WE GIVE TO THE CAPITAL MAINTENANCE FUND, $25 MILLION.
WE ALSO GIVE $8.5 MILLION TO THE ECONOMIC DEVELOPMENT FUND.
THE RISK MANAGEMENT FUND IS PAID OUT OF THERE.
TECHNOLOGY FUNDS ARE PAID OUT OF THERE.
THE MAJORITY OF THAT IS GOING TO BE THE TRANSFERS THAT GO TO OTHER FUNDS.
OUR THIRD LARGEST IN HERE IS GENERAL ADMINISTRATION, WHICH ACCOUNTS FOR THE HR DEPARTMENT, BUDGET DEPARTMENT, FINANCE DEPARTMENT, ANYTHING THAT OVERSEES THE CITY IS INCLUDED IN THAT PIECE.
LET'S TALK ABOUT THE PROPERTY TAXES AND ASSESS PROPERTY VALUES.
WE DID RECEIVE THE TAX ROLLS LAST FRIDAY ON JULY 25TH, THAT STIPULATES BY LAW THAT THE CENTRAL APPRAISAL DISTRICTS MUST TURN THEM OVER ON THAT DATE.
WE HAVE INCLUDED IN THIS BUDGET 41.76 FOR OUR TAX RATE.
WE'VE HAD THE SAME TAX RATE FOR LAST FOUR YEARS NOW.
ON THE O AND M SIDE, WE HAVE 30.26 GOING, AND THEN OUR DEBT SERVICE IS 11.5.
YOU TOTAL THOSE UP AND IT'S 41.76.
SINCE WE RECEIVED THE TAX ROLL THE OTHER DAY, WE ARE CURRENTLY WORKING ON THE TRUTH AND TAXATION TAX RATES, THAT'S YOUR NO NEW REVENUE RATE AND YOUR VOTER APPROVAL RATE.
WE WILL HAVE MORE INFORMATION, INCLUDING A DETAIL REGARDING THE RATES AND ALL THE ASSESSED PROPERTIES VALUES AT THE MONDAY, AUGUST 11TH, CITY COUNCIL MEETING.
THE ADOPTION OF THE TAX RATE IS SCHEDULED FOR SEPTEMBER 8TH.
[00:10:07]
I'M GOING TO GO OVER TWO VALUES HERE.THE AVERAGE MARKET VALUE IS GOING TO 591,947 UP FROM 579.
THIS IS THE 2.1% INCREASE THAT MARK MENTIONED A MINUTE AGO.
IT'S IMPORTANT TO REMEMBER THE MARKET VALUE CAN INCREASE AT ANY PERCENTAGE, WHEREBY YOUR AVERAGE TAXABLE VALUE IS THE VALUE THAT THE CITIZENS WILL BE PAYING ON IF THEY HAVE EXEMPTIONS ALREADY INCLUDED.
ANYWAY, BY STATE LAW, THAT CAN GO UP 10% PER YEAR, AND THEN IT'S CAPPED.
THIS YEAR, OUR AVERAGE TAXABLE PROPERTY VALUE WENT FROM 417,000-452.
IF YOU LOOK AT HERE, YOU GOT 41.76 IS THE PROPERTY TAX RATE, ALL THE EXEMPTIONS HAVE ALREADY BEEN TAKEN OUT THE 20% EXEMPTION THAT HE HAD MENTIONED ON OUR HOMESTEAD VALUE.
LAST YEAR, THE AVERAGE BILL WAS $17,044.
THIS YEAR, IT WOULD BE $1,888 OR $144 FOR THE WHOLE YEAR, WHICH EQUATES OUT TO ABOUT $12 A MONTH.
NOW, THIS IS THE AVERAGE TAX HOMEOWNER.
THE ASSESSED PROPERTY VALUES CAME IN AT 64.6 BILLION OF THAT.
THE EXISTING PROPERTY VALUES WENT UP 1.7 BILLION, AND YOU HAD NEW PROPERTY COMING ONLINE OF 650.
YOU CAN SEE WHAT HAD HAPPENED AFTER COVID AND ALL THE HOME VALUES, EVERYTHING STARTED REALLY RISING.
NOW THEY ARE STARTING TO STABILIZE OUT.
HERE'S A LOOK AT ALL THE EXEMPTIONS.
OF COURSE, WE GOT THE AVERAGE MARKET VALUE.
THIS INCLUDES THE RESIDENTIAL SIDE PLUS COMMERCIAL SIDE.
THIS IS WHERE YOU WILL FIND YOUR 20% HOMESTEAD EXEMPTION.
WE OFFER A $40,000 EXEMPTION FOR 65 AND OVER.
WE ALSO HAVE A, WHAT IS IT? SOLAR PANELS.
WE HAVE ALL KINDS OF EXEMPTIONS.
THE CITY OF PLANO OFFERS PRACTICALLY EVERY EXEMPTION THERE IS.
IT TAKES OFF THE ROLL $15.72 BILLION.
THAT EQUATES TO REVENUE SAVINGS OF $65.7 MILLION.
YOUR 65 AND OVER TAX FREEZE THIS YEAR TOTALS 13.7 MILLION OR 2.7 MILLION OVER WHAT WE GAVE BACK LAST YEAR.
THIS ALL IS REVENUE SAVINGS TO TAXPAYERS.
ON AN AVERAGE MARKET VALUE, $591 THOUSAND THIS IS THE ENTITIES THAT OUR CITIZENS ARE PAYING INTO OR THE TAXPAYERS ARE PAYING INTO.
WE HAVE IN HERE WHAT THE PROJECTED RATE IS FOR THE CITY OF PLANO.
EVERYBODY ELSE, WE'RE STILL USING THEIR 24/25 ADOPTED RATE BECAUSE THEY'RE GOING THROUGH THE SAME PROCESS THAT WE'RE GOING THROUGH RIGHT NOW, AND THEIR FINAL RATES WILL NOT BE PASSED UNTIL SEPTEMBER.
I WILL TELL YOU THIS THOUGH PISD, THIS LEGISLATURE, THEY WILL HAVE UP FOR A VOTE.
I WANT TO SAY IT'S LIKE NOVEMBER 5TH, RAISING THEIR HOMESTEAD EXEMPTION FROM 100-140 THOUSAND.
WE'VE ALREADY INCLUDED THIS IN HERE.
THE TOTAL TAXES FOR THE YEAR WOULD BE 1.726.
THAT WOULD EQUATE TO $8,000 FOR THE AVERAGE HOME OWNER. SALES TAX.
WE'VE BEEN UNDER A SALES TAX CAP POLICY.
I KNOW ALL HAVE HEARD ABOUT BEFORE.
WE DO A THREE YEAR AVERAGE NOW.
THIS STARTED BACK IN 2008 DURING THE GREAT ECONOMIC RECESSION.
IT'S BEEN ONE OF THE BEST POLICIES THAT WE HAVE HAD HERE AT THE CITY.
IN 2023, WHEN WE CAME OUT OF COVID, AND INFLATION ROSE SO, THE CITY COUNCIL LET US GO AHEAD AND ADD IN AN INFLATIONARY FACTOR TO WHATEVER SALES TAX WAS COMING IN, AND WE'RE DOING THAT THIS YEAR TOO.
JUST REAL QUICK. OUR SALES TAX CAP POLICY HAS FUNDED MANY THINGS HERE AT THE CITY.
[00:15:06]
WE PROVIDED $25 MILLION TO THE CAPITAL MAINTENANCE FUND.WE STARTED THE RAINY DAY FUND WITH IT.
WE ADDED 6.8 MILLION ON ECONOMIC DEVELOPMENT INCENTIVE FUND, AS WELL AS PURCHASING SOME ONE TIME EXPENDITURES THROUGHOUT THE YEARS, INCLUDING THE LAND THAT'S LOCATED AT MCDERMOTT AND ROBINSON FOR THE FIRE TRAINING CENTER AND THE POLICE SUBSTATION, BECAUSE IT'S BEEN A VERY GOOD POLICY FOR US.
>> THIS YEAR. WE ENDED AT $118 MILLION FOR 23-24.
FOR 24-25, IT LOOKS LIKE WE'RE GOING TO END AROUND $124 MILLION.
WHEN WE DID THE THREE-YEAR AVERAGE, WE ALSO NET OUT ANY AUDIT ADJUSTMENTS.
WHEN WE DID THE THREE-YEAR AVERAGE, WE ADDED 3% ON TOP OF THAT, AND THAT CAME UP WITH OUR NUMBER OF 122.6 FOR NEXT YEAR.
THIS SHIELDS US IF WE HAVE SOME GREAT ECONOMIC THING GOING ON.
BUILDING AND DEVELOPMENT-RELATED REVENUES.
WE ACTUALLY HAD PROJECTED FOR THIS YEAR A 15% DECLINE FROM LAST YEAR.
HOWEVER, BUILDING GROWTH HAS CONTINUED TO PICK UP THIS YEAR, AND TALKING TO CELSO MATA, THE BUILDING OFFICIAL, HE THINKS IS GOING TO STAY AROUND THAT SAME NUMBER FOR NEXT YEAR, SO WE HAVE INCLUDED $8 MILLION IN HERE FOR ALL BUILDING AND DEVELOPMENT-RELATED FEES.
JUST SOME BUDGET HIGHLIGHTS ON THE EXPENDITURE SIDE.
WE HAVE NO NEW PROGRAMS OR SERVICES INCLUDED IN THIS BUDGET.
THE GENERAL FUND IS CURRENTLY AT 58 DAYS OF WORKING CAPITAL.
IN OUR FISCAL ROAD MAP, WHEN WE REDID THE FUND BALANCE POLICY, WE NOW HAVE A GOAL OF 60 DAYS OF WORKING CAPITAL.
WE ARE ABOUT $3 MILLION SHY FROM THAT, BUT I THINK A GREAT EFFORT HAS BEEN PUT INTO THIS, AND IT'S REALLY GOOD.
WE DID INCLUDE IN A 3% ACROSS THE BOARD SALARY INCREASE.
THIS IS ON TOP OF THE STEP INCREASES.
THIS IS A 3% FOR ALL EMPLOYEES, INCLUDING NON-CIVIL SERVICE AND CIVIL SERVICE.
WE HAVE $5.2 MILLION INCLUDED IN HERE TO IMPLEMENT A WAGE DETERMINATION TOOL.
I KNOW A COUPLE OF WEEKS AGO, VICTORIA WYNN, OUR HR DIRECTOR WAS UP HERE TALKING ABOUT THAT.
WE ARE PLANNING ON PROVIDING MORE DETAILS TO Y'ALL REGARDING THIS DOLLAR AMOUNT AND WHERE IT CAME FROM AT THE AUGUST 14TH BUDGET WORK SESSION.
PUBLIC SAFETY PROGRAMS. WE HAVE AN ADDITIONAL 750,000 GOING TO THAT.
WE'RE TWO ADDITIONAL CRIME INFORMATION SPECIALISTS, AN ENVIRONMENTAL HEALTH SPECIALIST, AND ONE OVERFILL FOR E-911.
NORTH TEXAS MUNICIPAL WATER DISTRICT, OUR CONTRACTED COSTS ARE GOING UP $12.8 MILLION.
IN A MINUTE, I'M GOING TO GO OVER, WE DO HAVE A RATE INCREASE PLANNED.
IT'S A PASS-THROUGH RATE INCREASE TO COVER THIS $12 MILLION.
IT WILL BE 8% ON THE WATER SIDE AND 8% ON THE SEWER SIDE.
THE CAPITAL MAINTENANCE FUND TRANSFER, WE KEPT IT $25 MILLION.
THE FISCAL ROAD MAP, WHEN WE WENT AND REDID THE FUND BALANCE POLICY, IT STATED ANYTHING OVER OUR GOAL COULD BE TRANSFERRED BACK INTO THE GENERAL FUND BECAUSE THAT'S BASICALLY WHERE THE MONEY CAME FROM.
THIS YEAR, WE DO HAVE A PLAN TRANSFER OF $15.
OUR POLICY STATES WE GOT TO KEEP 20.
WE TRANSFERRED 15 MILLION BACK TO THE GENERAL FUND IN ORDER TO COME UP TO THAT 60 DAYS OF WORKING CAPITAL, AND WE'RE GOING TO HAVE MORE INFORMATION COMING TO YOU ALL ABOUT THAT.
WE DO HAVE LIBRARY BOOKS TO REMAIN AT $1.4 MILLION.
THIS INCLUDES BOOKS, DIGITAL MATERIALS, AND THE E-CONTENT.
WE DO HAVE CIP PROJECTS COMING ONLINE, TOTALING $93,000.
THIS IS THE O AND M SIDE OF THE PIECE, MEANING THE EQUIPMENT, MATERIALS, AND SUPPLIES, ADDED MAINTENANCE COSTS FOR NEW PROJECTS COMING ON.
THEN WE HAD SEVERAL STATE-MANDATED EXPENDITURES, ALSO INFLATIONARY FACTORS GOING IN HERE, AND THAT TOTALS $1.7 MILLION.
ALL OF THESE ARE FUNDED WITHIN THE BUDGET.
[00:20:07]
I JUST MENTIONED, WE HAVE A CONTRACT PAYMENT OF 12.8 MILLION MORE THAN LAST YEAR.WE'VE GOT WHOLESALE WATERS GOING FROM 3.85 PER 1,000 GALLONS TO 4.9 PER 1,000 GALLONS.
OUR TAKE-OR-PAY HAS BEEN REVISED DOWN.
IT WAS 24.9. IT'S DOWN TO 24.7.
BEFORE THEY DID THE CONTRACT RENEGOTIATION, A COUPLE OF YEARS AGO, WE WERE PAYING ON 26.7 BILLION GALLONS OF WATER.
TOMORROW ENDS THE WATER, AND HOW MUCH WE USED.
WITHIN THE RATE MODEL, THOUGH, WE DO HAVE 22-23 GALLONS THAT NORMALLY WE'RE COUNTING ON.
WE'RE GOING TO HAVE TO FIND OUT WHAT WE END THE YEAR WITH, AND THEN, OF COURSE, I MENTIONED BEFORE, WE DO HAVE AN 8% WATER INCREASE.
UPPER EAST FORK INTERCEPTOR, THAT IS GOING UP AND WASTEWATER IS GOING UP $7.6 MILLION.
THOSE ARE ALL TO BE IMPLEMENTED OCTOBER 1ST.
THE CITY OF PLANO HAS BEEN ON THE PAY AS YOU GO SYSTEM FOR WATER AND SEWER SINCE 1993.
WITH THE EXCLUSION OF SOME MAJOR INFRASTRUCTURE THAT WE HAVE TO GO IN AND ISSUE REVENUE BONDS, WE DID ISSUE $45 MILLION IN REVENUE BONDS THIS PAST MAY.
WE HAVE THOSE INCLUDED IN THE BUDGET.
THE CITY COUNCIL LAST YEAR GAVE US AUTHORITY TO ISSUE 80 MILLION, BUT WE DIDN'T NEED THE OTHER 35.
WE ARE FUNDING WITH ACTUAL CASH $22 MILLION.
WE ALSO HAVE A $5 MILLION TRANSFER TO A WATER AND SEWER RATE STABILIZATION FUND.
WHEN WE DID THE RATE MODEL LAST YEAR, THE CITY COUNCIL AT THAT TIME, REALLY WANTED US TO GO IN AND START IMPLEMENTING AND TRANSFERRING MONEY INTO THAT FUND.
WE DO HAVE PLANNED $5 MILLION.
WE HAD A RATE MODEL THAT WAS DONE WITH US BY NEWGEN STRATEGIES & SOLUTIONS.
THEY'RE THE SAME ONES THAT DO OUR WATER AND SEWER RATE MODEL.
WITHIN IT, WE ARE GOING UP A DOLLAR AGAIN THIS YEAR.
THE 95-GALLON CONTAINER RATE IS GOING TO INCREASE $24 AND 60 CENTS TO $25 AND 60 CENTS PER MONTH.
ON THE 68-GALLON CONTAINER, IT'S GOING TO GO FROM 17.61-18.2 OR 71 CENTS PER MONTH.
BACK BEFORE WE DID THE RATE MODEL, THE SOLID WASTE FUND WAS RUNNING A DEFICIT FOR SEVERAL YEARS IN A ROW.
WE WERE MASSIVELY HIT WITH INFLATION.
EQUIPMENT COSTS REALLY WENT THROUGH THE ROOF, AND WE WERE DEALING WITH STAFFING SHORTAGES.
A WATER AND SEWER LOAN WAS MADE.
IT WAS TOTALED $7 MILLION, I THINK.
ANYWAY, WE ARE PAYING THAT BACK OVER THE NEXT SEVEN YEARS AT A RATE OF $357,000.
MUNICIPAL DRAINAGE FUND, IN JUST A MINUTE, CALEB IS GOING TO COME UP, AND HE'S GOING TO SPEAK REGARDING THE STREAM BANK EROSION PROCESS THAT WE'RE GOING THROUGH.
ANYWAY, INCLUDED WITHIN THE MUNICIPAL DRAINAGE FUND IN YOUR BOOK HERE, WE HAVE INCLUDED A RATE INCREASE IN ORDER TO START PAYING FOR CRITICAL PROJECTS THAT CALEB IS GOING TO TALK ABOUT HERE IN A MINUTE.
ANYWAY, WE HAVE $10 MILLION OF THOSE, AND WE'RE LOOKING AT FUNDING THOSE OVER THE NEXT THREE YEARS.
THE AVERAGE RESIDENT WILL PAY $1.50 MORE.
ON THE COMMERCIAL SIDE, IT WILL GO FROM 0.115 CENTS PER 100 SQUARE FEET OF IMPERVIOUS AREA TO 0.28 CENTS PER MONTH.
ANYWAY, SO YOU'RE GOING TO HEAR MORE ABOUT THAT FROM CALEB IN A MINUTE.
WE'RE GOING TO GO THROUGH THE ACTUAL RATE MODEL WITH Y'ALL AT THE AUGUST 14TH AGENDA.
ALSO, YOU WILL HEAR ABOUT WATER AND SEWER IN MORE DETAIL AND THE SOLID WASTE RATE INCREASE.
YOUR CAPITAL IMPROVEMENT PROGRAM, 319 MILLION.
THE MAJORITY OF THIS IS YOUR STREET IMPROVEMENTS, 91.5.
[00:25:02]
WATER AND SEWER IS 57.8 MILLION.PARKS AND REC IS 52, AND THEN CAPITAL MAINTENANCE 48 MILLION, MUNICIPAL FACILITIES, AND SO ON.
WE'RE GOING TO ISSUE OR WE ARE PROJECTING TO ISSUE $98 MILLION IN G.O.
DEBT NEXT YEAR TO START PAYING FOR PROJECTS THAT WERE INCLUDED IN THE BOND REFERENDUM.
SOME OF THE HIGHLIGHTS HERE ARE YOUR PUBLIC SAFETY FACILITIES.
WE'RE GOING TO START ON THE POLICE STATION HEADQUARTERS AND THE FIRE STATION 14 DESIGN, FIRE STATION NUMBER 8 REMODELING, AND THEN HIGH POINT FUELING STATION AND CONSTRUCTION, AND THEN OF COURSE, THE STREET PROJECTS THAT WERE INCLUDED WITHIN THE BOND REFERENDUM.
AS I MENTIONED EARLIER, WE DID CHANGE THE FINANCIAL POLICY ON THAT.
IT USED TO BE WE HAD A GOAL OF 75% ANNUAL DEPRECIATION.
WE WOULD CASH FUND BACK INTO THE FUND.
WE HAVE SINCE CHANGED THAT POLICY, WHERE WE ARE HOLDING AT LEAST $20 MILLION IN THE FUND BALANCE, AND WE HAVE GIVEN THE DIFFERENT DEPARTMENTS DEPARTMENTAL TARGETS OR FUNDING TARGETS STARTING THIS YEAR.
ONE OF THE REASON WE DID THAT IS SEVERAL OF THEM DIDN'T HAVE THE CAPACITY, MEANING THE STAFFING TO GO OUT AND FULFILL ALL THE PROJECTS, SO WE WEREN'T ABLE TO GET EVERYTHING DONE, SO WE HAD PUT THEM ON A THREE-YEAR AVERAGE AS FAR AS FUNDING.
NOW, WHAT HAPPENS ON THAT, THOUGH, JUST TO LET YOU ALL KNOW.
WE USED TO HAVE THAT 75% ANNUAL DEPRECIATION GOING IN THERE.
THE LAST TWO YEARS, WE'VE BEEN FUNDING AROUND 50%.
THIS CURRENT COMING-UP YEAR, WE'RE FUNDING AT 28%, AND THEN IT JUMPS BACK UP TO 47%.
THAT 90% THAT WAS DUE TO WHEN WE RECEIVED ARPA FUNDING OUT OF COVID, THAT WENT TO SEVERAL DIFFERENT PROJECTS.
MARK HAD MENTIONED THE FISCAL ROAD MAP.
ONE OF THE PRIMARY FUNDING POLICIES THAT WE REDID WAS OUR FUND BALANCE POLICY.
IT WAS IMPLEMENTED IN FEBRUARY, ALONG WITH OUR CAPITAL MAINTENANCE NEW FUNDING POLICY AND THE COST RECOVERY POLICY.
BEFORE WE HAD A POLICY TARGET ON THE FUND BALANCE FOR THE GENERAL FUND AT 30 DAYS, BEST PRACTICES, GOVERNMENT FINANCIAL OFFICERS ASSOCIATION, THEY ALL THINK YOU NEED AT LEAST 60-90 DAYS, AND MOST CITIES AROUND US ARE AT 90 DAYS.
WE DECIDED ON A 60-DAY FUND BALANCE, AND WE RIGHT NOW ARE AT 58 DAYS.
THE RAINY DAY FUND CHOSE A POLICY TARGET OF 20 MILLION.
WE'RE CURRENTLY AT 4.5 MILLION.
CAPITAL MAINTENANCE, WE'VE GOT A FUND BALANCE OF 30 MILLION, SO WE'RE OVER THE REQUIRED 20 MILLION.
IT USED TO BE 2.5% WE KEPT IN HERE.
MOST OF THE CITIES AROUND US ARE DOING 5-10%, SO WE WENT WITH THAT TARGET.
RIGHT NOW WE'RE AT 5.2% IN THAT FUND BALANCE.
YOUR ENTERPRISE FUNDS ARE DOING QUITE WELL HERE.
ONE OF THE REASONS WHY WE KEEP THE WATER AND SEWER FUND IS BECAUSE THE WEATHER DIRECTLY AFFECTS HOW MUCH WATER THAT PEOPLE ARE USING.
I MENTIONED BEFORE, WE ADDED AN ADDITIONAL $5 MILLION INTO THE WATER AND SEWER RATE STABILIZATION FUND.
THAT'S GOING TO BRING THAT TOTAL TO 10.8.
SOLID WASTE, SUSTAINABILITY ENVIRONMENTAL SERVICES IS NOW AT 55 DAYS.
THE REASON WHY THAT'S OVER 90 DAYS IS WHEN YOU GO OUT AND YOU ISSUE REVENUE BONDS, YOU HAVE TO MAKE SURE THAT YOU HAVE THE REVENUE COVERAGE, SO YOU HAVE TO KEEP THE FUND BALANCE HIGH.
THE CONVENTION AND TOURISM FUND IS NOW AT 177 DAYS.
AND THEN TWO MORE FUNDS THAT WE MEASURE.
THE HEALTH CLAIMS FUND IS NOW AT 11 MILLION.
WE HAVE A FUNDING TARGET OF 19, AND THE RISK MANAGEMENT FUND, WE ARE CONTINUING TO WORK ON THAT FUND.
IT ACTUALLY ENDED 23-24 IN A DEFICIT POSITION.
NOW WE HAVE BROUGHT THAT UP, AND IT'S AT $1.3 MILLION.
[00:30:02]
JUST ON THE BUDGET CALENDAR, OF COURSE, TONIGHT, THE CITY MANAGER PRESENTED THE RECOMMENDED BUDGET AND THE PROPOSED CIP.AUGUST 11 IS A VERY BIG NIGHT.
WE'RE GOING TO HAVE THE PUBLIC HEARING ON BOTH THE OPERATING BUDGET AND THE CAPITAL IMPROVEMENT PROGRAM.
ALSO, YOU WILL BE REQUIRED TO DETERMINE THE TAX RATE THAT NEEDS TO GO INTO THE NEWSPAPER THE NEXT DAY.
NOW, THIS IS JUST A PROJECTION.
Y'ALL ARE GOING TO TELL ME WHATEVER NUMBER THAT YOU WANT.
>> THAT NIGHT, I WILL BE BRINGING BACK ALL INFORMATION ON WHAT THE NO NEW REVENUE RATE IS, THE VOTER APPROVAL RATE.
ALL THAT INFORMATION WILL BE BROUGHT FORWARD, AND THEN YOU WILL MAKE A DETERMINATION ON THE TAX RATE THAT'S GIVEN THAT NIGHT, AND GOES INTO THE PAPER.
YOU CAN GO DOWN FROM THAT RATE, YOU JUST CAN'T GO ABOUT THAT RATE.
ALSO, YOU ARE SCHEDULED TO APPROVE THE CERTIFIED TAX ROLL, AND THEY CAME IN FROM DENTON AND COLIN THE OTHER DAY.
AUGUST 14TH, WE HAVE PLANNED A COUNCIL WORK SESSION.
ALSO THAT EVENING, YOU WILL BE HEARING FROM THE GRANTS, THE SOCIAL SERVICES, HERITAGE PRESERVATION, AND THE ARTS COMMUNITY REGARDING THEIR GRANT REQUESTS FOR THIS NEXT YEAR.
AUGUST 21ST, WE HAVE A TOWN HALL MEETING ON THE BUDGET AND CIP.
SENATE BILL TWO CHANGED HOW MANY PUBLIC HEARINGS THAT WE ARE REQUIRED TO HAVE ON THE TAX RATE.
BUT SINCE THEN, THEY STATE THAT YOU NEED ONE, WE'VE BEEN HOLDING TWO THE LAST COUPLE OF YEARS, AND I WOULD ASSUME THAT EVERYBODY WANTS TO DO THAT.
WE'LL DO THAT AUGUST 25TH, AND THEN SEPTEMBER 8TH, YOU'RE SCHEDULED TO ADOPT THE BUDGET, THE CAPITAL IMPROVEMENT PROGRAM, AND YOU WILL SET THE TAX RATE.
PLUS YOU WILL HAVE THE NORMAL PUBLIC HEARING ON THE TAX RATE.
THEN OCTOBER 1ST, WE BEGIN AGAIN.
ALL THIS INFORMATION IS INCLUDED.
THE RECOMMENDED BUDGET, THE PROPOSED CIP IS GOING TO BE AVAILABLE IN THE LIBRARIES.
IT IS SCHEDULED TO GO ONLINE TOMORROW ON OUR WEB PAGE.
ALSO, WE HAVE AN OPEN BUDGET WEB PORTAL.
YOU WILL SEE THE WEBSITE HERE, DASHBOARD.PLANO.GO, AND YOU CAN LOOK AT ALL THE DETAIL WITHIN THAT DASHBOARD, TOO.
WITH THAT, I WILL TAKE ANY QUESTIONS THAT YOU HAVE, AND MARK'S GOT COMMENTS.
>> MAYOR AND COUNCIL, THERE'S A LOT TO DIGEST IN THIS.
I KNOW YOU'VE BEEN LOOKING OVER THIS.
I'VE ACTUALLY GOTTEN A COUPLE OF QUESTIONS, AND SOME INPUT ALREADY FROM COUNCIL MEMBERS.
WHAT I WANTED YOU TO HAVE IS SOME TIME TO REALLY DIGEST THIS, LOOK THROUGH IT, SEND US YOUR QUESTIONS.
WE'RE HAPPY TO ANSWER ALL THOSE, AND MAKE SURE THAT WHETHER IT TAKES FURTHER EXPLANATION.
IT'S A BIG BUDGET, AND FOR SOME, IT'S THE FIRST TIME THROUGH, SO WE WANT TO MAKE SURE THAT YOU FEEL COMFORTABLE WITH THE INFORMATION THAT YOU HAVE.
IF YOU HAVE QUESTIONS, PLEASE SUBMIT THEM TO US.
WE'LL BE HAPPY TO GET ALL OF THAT IN AS MUCH DETAIL AS YOU WANT TO MAKE SURE YOU HAVE EVERY ANSWER THAT YOU NEED.
I WOULD ALSO SUGGEST THAT WHILE WE PRESENTED THE BUDGET, AND WE TALKED ABOUT THE TAX RATE, THERE ARE SOME THINGS THAT ARE NOT IN THIS BUDGET.
I JUST NEED TO MAKE YOU AWARE THAT, ALL ARE AWARE OF SOME LARGE ECONOMIC DEVELOPMENT PROJECTS THAT WE'RE LOOKING AT, NOT INCLUDED.
THERE ARE SOME OTHER ELEMENTS THAT WE'RE LOOKING AT FROM THE LEGISLATURE THAT MAY BE REDUCING FUTURE ABILITY TO INCREASE BUDGETS, AND THINGS THAT WE HAVE LIKE THE MEET AND CONFER IS NOT INCLUDED IN THIS.
THERE'S GOING TO BE SOME DECISIONS FOR COUNCIL TO LOOK AT AS WE MOVE FORWARD, BUT I DID NOT WANT TO SURPRISE ALL WITH THAT OF WHAT'S NOT INCLUDED IN THIS.
WE WILL CONTINUE TO WORK ON THIS.
WE WILL ANSWER THOSE QUESTIONS, BUT IF YOU SEND THEM THROUGH ME OR ANY OF MY TEAM, WE'LL BE HAPPY TO COMPILE THOSE AND MAKE SURE THAT THOSE ANSWERS GET OUT SO THAT YOU CAN CONTINUE TO ANALYZE AND REVIEW THE BUDGET.
>> I HAVE A FEW QUESTIONS, AND I'M HAPPY TO TABLE IT IF IT'S NOT A GOOD TIME FOR THIS, BUT IT ALL RELATES TO THE TAX RATE CHANGES AND THING, THAT THING.
KAREN, RIGHT NOW, OUR TAX RATE IS 41.76.
ARE THERE LIMITATIONS ON HOW MUCH IT CAN CHANGE? [OVERLAPPING] THERE.
>> WHEN WE GET TO THE AUGUST 11TH, WE WILL HAVE WHAT YOUR NO NEW REVENUE RATE IS, AND WHAT YOUR VOTER APPROVAL RATE IS.
NOW, AS FAR AS I KNOW, IN THE STATE OF TEXAS, YOU CAN'T HAVE OVER $2.50.
[00:35:03]
BUT YOU HAVE LIMITATIONS REGARDING YOUR NO NEW REVENUE RATE, AND YOUR VOTER APPROVAL RATES.IF YOU'LL DECIDE FOR SOME REASON TO GO OVER THE VOTER APPROVAL RATE, THAT MEANS WE HAVE TO GO OUT FOR AN ELECTION IN NOVEMBER FOR THE CITIZENS TO APPROVE THAT.
>> CAN I JUST ADD, COUNCILMAN, WITH THAT, THE VOTER APPROVAL RATE IS TYPICALLY 3.5%, BUT THERE'S ALSO UNUSED INCREMENT FROM PREVIOUS YEARS.
THE STATE HAS A GIANT FORM THAT YOU HAVE TO FILL OUT TO BE ABLE TO DO THAT.
BUT AS FAR AS THE LIMITATION GOES, I WOULD SAY EXACTLY WHAT KAREN SAID.
UNDER THE VOTER APPROVAL RATE, IS JUST A DECISION BY COUNCIL.
ABOVE THAT REALLY BECOMES A DECISION THAT HAS TO GO TO THE CITIZENS FOR A VOTE.
>> YOU ALSO MENTIONED THAT THERE'S A 10% MAX CHANGE THAT'S RELATED TO THE SAME THING.
>> NOW, THE 10%, WHAT I'M TALKING ABOUT THERE IS THE ACTUAL TAXABLE PROPERTY VALUE THAT THE TAXPAYERS PAY IS ALLOWED, AND THIS IS STATE LEGISLATURES STATE LAW CAN GO UP 10% PER YEAR.
YOUR MARKET VALUE, ESPECIALLY LIKE AFTER COVID, WHEN APPRAISAL ROLLS REALLY TOOK OFF, LIKE, SOME OF THEM ARE UP 20%, THE TAXABLE PART, MEANING THE TAXABLE PART ON YOUR HOME CAN ONLY GO UP 10%.
THAT'S JUST A CALCULATION, THREE YEAR AVERAGE, AND YOU'RE GOING TO ADD IN SOME INFLATION.
>> THAT'S THE CITY OF PLANO'S FINANCIAL POLICIES.
WE'VE DONE THAT EVER SINCE THE GREAT ECONOMIC RECESSION, JUST TO SHIELD US FROM THAT OCCURRING AGAIN.
BACK IN '23 WHEN WE WERE GETTING OUT OF COVID, AND INFLATION WAS SO HIGH, THE CITY COUNCIL AT THAT POINT, SAID WE COULD GO UP BY AN INFLATIONARY FACTOR, AND WE'RE GOING TO DO THAT AGAIN THIS YEAR, AND OUR INFLATIONARY FACTOR IS 3%.
>> COUNCILMAN, PART OF THE REASON FOR THAT CONSERVATIVE BUDGET PRACTICE ON THE SALES TAX IS SALES TAX IS MUCH MORE VOLATILE.
WHEN YOU HAVE AN ECONOMIC RECESSION, CORPORATIONS PULL BACK AND A SIGNIFICANT PORTION OF OUR SALES TAX IS ACTUALLY BUSINESS TO BUSINESS, SALES TAX.
WHEN YOU HAVE THAT RETRACTION THAT CAN HAPPEN LITERALLY OVERNIGHT, IF THE FED MAKES A DECISION LIKE THEY DID TODAY, THERE COULD BE REACTION.
THAT STUFF PULLS BACK VERY QUICKLY.
WE TRY TO APPROACH THAT VERY CAREFULLY SO THAT WE DON'T END UP IN SERVICE REDUCTIONS, HIRING FREEZES, THINGS LIKE THAT.
THAT'S ONE OF THE REASONS WHY WE HAVE THAT POLICY, AND THERE IS TO CREATE STABILITY IN WHAT WE'RE ACTUALLY PROJECTING.
BUT USUALLY, IT IS CONSERVATIVE IN THE WAY THAT WE'RE APPROACHING IT IF THERE'S ECONOMIC.
>> WE WILL HAVE MUCH MORE INFORMATION REGARDING SALES TAX AT THE AUGUST 14TH AGENDA, BUT MARK IS CORRECT.
ON THE 35% COMES FROM RETAIL, MEANING I'M GOING TO TARGET AND BUYING PRODUCTS.
THE BUSINESS TO BUSINESS OR NON-RETAIL ACCOUNTS FOR NEARLY 70% OF OUR SALES TAX.
>> REALLY GOOD. THAT WAS VERY HELPFUL. THANK YOU.
>> THANK YOU, KAREN. ITEM 4 IS STREAMBANK STABILIZATION PROGRAM. CALEB?
[IV. Streambank Stabilization Program ]
>> GOOD EVENING, CALEB THORNHILL, DIRECTOR OF ENGINEERING.
WE'RE GOING TO TALK ABOUT THE STREAMBANK STABILIZATION PROGRAM.
BUT KAREN, JUST TOUCHED A LITTLE BIT ON IT.
WHERE WE'VE BEEN, AND HOW WE'VE GOTTEN TO TONIGHT.
SOME OF THESE SLIDES ARE GOING TO BE VERY SIMILAR TO WHAT I PRESENTED ON JUNE 9TH, SOME OF THEM WILL BE NEW, AND AT THE VERY END, WE'LL BE LOOKING FOR SOME GUIDANCE AND DISCUSSION ON SOME OF THESE ITEMS. BUT THIS IS A SLIDE THAT WE HAD FROM LAST TIME, EXCEPT FOR THERE TOWARDS THE BOTTOM, THE DISCUSSION AND RECOMMENDATIONS FOR THIS EVENING.
THEN WE'LL DISCUSS THE RATE IMPACT BASED ON THAT FEEDBACK ON THE WORK SESSION ON THE 14TH. THERE WE GO.
ONE THING I FAILED TO DO LAST TIME, ESPECIALLY WITH SEVERAL NEW MEMBERS IS WHY ARE WE EVEN TALKING ABOUT THIS? I WANTED TO TOUCH JUST REAL QUICKLY ON THAT, WHY WE'RE TALKING ABOUT STREAMBANK STABILIZATION.
THIS IS A STUDY THAT STARTED BACK IN '22, AND WE'VE BEEN WORKING ON IT OVER THE LAST FEW YEARS, AND I CAME TO THIS COUNCIL MEETING LAST TIME HAVING GIVEN A SIMILAR PRESENTATION IN APRIL.
FOR ME, HERE'S THE SAME THING THAT I TALKED ABOUT IN APRIL TO THE NEW COUNCIL.
BUT FROM THE WHY PERSPECTIVE, IS REALLY THE SAFETY COMPONENT.
SAFETY HAS SEVERAL MEANINGS IN THIS SITUATION.
[00:40:01]
THIS IS AN ACTUAL PICTURE OF STAFF OUT THERE DOING AN EVALUATION.BUT THE SAFETY IS NOT ONLY FROM OUR CITIZENS THAT LIVE ALONG THE CREEKS, BUT IT'S ALSO SAFETY FROM OUR INFRASTRUCTURE.
WE HAVE UTILITIES THAT RUN ALONG THE CREEKS, AND SO RIGHT NOW, WE'RE REALLY RELYING ON CITIZENS, OR OUR PUBLIC WORK STAFF THAT MAY BE OUT IN THE CREEKS TO DETERMINE IF THERE IS AN ISSUE.
IT'S A LOT MORE OF A REACTIVE APPROACH.
THIS STUDY WAS PUT IN PLACE TO SEE, HOW CAN WE BECOME MORE PROACTIVE, AND WITH THAT PROACTIVE, HOW CAN WE DEFINE WHAT WE NEED TO BE ADDRESSING ON AN ANNUAL BASIS, AND SO BEING MORE PROACTIVELY IDENTIFYING AND THEN PROTECTING NOT ONLY THE CITIZENS, BUT ALSO THE CITY'S INFRASTRUCTURE, AND THEN BEING ABLE TO ESTABLISH A BUDGET WITH THAT.
THEN THE LAST PART OF THAT IS THE POLICY.
WE HAVE DONE THINGS DIFFERENTLY OVER THE YEARS.
SOME OF THAT HAS BEEN VERY BY THE BOOKS.
SOME OF THAT WE'VE DONE DIFFERENT SITUATIONS.
WHAT WE WANTED TO BE ABLE TO DO IS ESTABLISH A POLICY, SO WHEN CITIZENS CALL US, EVERYBODY IS ON THE SAME PAGE, AND WE'RE BEHAVING THE EXACT SAME WITH A HOA, A COMMERCIAL PROPERTY, A PRIVATE CITIZEN.
THIS IS A SLIDE WE HAD FROM LAST TIME, THIS SHOWS THE AREAS THAT WE STUDIED, 127 MILES.
WE DID THAT IN ESSENTIALLY TWO SEASONS.
WE DO THOSE DURING THE FALL, IN THE SPRING WHEN ALL THE LEAVES ARE GONE, BUT WE DID BOTH OF THOSE OVER THE LAST COUPLE OF YEARS.
THIS IS A SLIDE FROM LAST TIME, JUST SHOW YOU WHEN WE'RE DOING AN EVALUATION OF THESE STREAMS, WHAT ARE THE COMPONENTS THAT WE'RE LOOKING FOR, THE BANK, THE STABILITY, THREAT TO THESE STRUCTURES? THESE ARE ALL COMPONENTS THAT GO INTO THE EVALUATION THAT MAKE UP THE SCORES THAT WE HAVE NOW IN OUR DATABASE.
THIS IS NOT A SLIDE WE HAD LAST TIME.
THIS ONE IS BLANK, AND IT'S GONE.
THIS IS THE DATABASE THAT WE'VE DEVELOPED.
BUT WHAT WE CAN DO IS, WE CAN GO ONTO THIS MAP, CLICK ON ONE OF THESE LINES IN THE DIFFERENT COLORS, AND DETERMINE WHAT EXACTLY THAT STRUCTURE IS, OR WHAT THAT LINE REPRESENTS.
THE ORANGE LINES ARE GOING TO BE SITES THAT WE IDENTIFIED THAT HAVE EROSION ISSUES THAT WE NEED TO ADDRESS.
I TALKED ABOUT IT LAST TIME, THE ORANGE LINE CAN ENCOMPASS MULTIPLE PROPERTIES.
THE SLIDE THAT WAS MISSING, WHAT IT SHOWED IS WE HAD 3,000 LOCATIONS OR OVER 03,000 THAT NEED EROSION THAT WE HAVE TO ADDRESS.
70% OF THAT IS OWNED BY THE CITY.
I WANT TO MAKE SURE YOU UNDERSTAND THAT, AND I'VE GOT ANOTHER SLIDE THAT SHOWS THAT A LITTLE CLEAR.
BUT WHAT WE DO IS WE CAN CLICK ON THESE PROPERTIES, OR ON THESE LINES, AND THE ORANGE, LIKE I SAID, WILL TELL US WE HAVE EROSION IN THAT AREA.
THE RED WILL TELL US THAT WE ALREADY HAVE A STRUCTURE THERE SO THAT MAY BE A GABION STRUCTURE, AND THE GREEN IS A AERIAL CROSSING, A SANITARY SEWER AERIAL CROSSING.
THAT TELLS US WHERE THESE LOCATIONS ARE AT.
YOU CAN SEE THERE AT THE BOTTOM, WE HAVE IDENTIFIED AN EROSION AREA NEXT TO A SANITARY SEWER CROSSING.
THERE WE GO. I JUST GOT MY OUT OUT OF ORDER, AND I GOT A BLANK SLIDE.
I TALKED ABOUT THIS, THE 3,000 LOCATIONS, 70% AGAIN OWNED BY THE CITY, OR IS RESPONSIBLE FOR THAT.
I MENTIONED THE SCORE EARLIER, AND I MENTIONED THAT LAST TIME, SO WE'VE BROKEN THAT UP FROM CRITICAL TO VERY LOW, ZERO BEING THE WORST SCORE, 100 BEING A PERFECT SCORE THAT WE DO NOT NEED TO DO ANYTHING, AND THAT'S GIVEN US THE ABILITY TO COMPARTMENTALIZE EACH OF THE LOCATIONS.
LOOKING AT THAT. THE MAJORITY OF OURS ARE ON THE UPPER END, WHICH IS GREAT NEWS.
WE'VE ONLY GOT 1% OF THOSE 3,000 LOCATIONS THAT FALL IN THAT CRITICAL RANGE, THE 0-20.
BUT WE'VE GOT OVER HALF THAT FALL 61-80, WHICH MEANS THERE'S PROBABLY SOME MAINTENANCE THAT NEEDS TO BE DONE THERE, AND THEN 17% IT'S 81-100.
OVERARCHINGLY, I THINK WE ALL RECEIVED THIS AS GOOD NEWS, BUT OBVIOUSLY, THERE ARE ISSUES THAT NEED TO BE ADDRESSED.
WE HAD A STEEP BANK, HUGE EROSION ISSUE, SO ACTUALLY THE SOIL AND THE TREES ABOVE IT WERE CANNON LEVERED.
WE CAME IN WITH GABION STRUCTURE THAT'S ABOUT 15 OR 18 FEET TALL.
THE COST OF THAT WAS AROUND 1.6 MILLION, VERY EXPENSIVE, BUT HOPEFULLY WE'LL GET 40 OR 50 YEARS OUT OF THAT PRODUCT.
THIS IS ONE I TALKED ABOUT LAST TIME AND WE'LL TALK ABOUT THIS IN A FUTURE SLIDE, BUT WHAT SOME OF THE OTHER CITIES ARE DOING FOR ASSISTANCE FOR CITIZENS, WHEN THE CITY IS NOT RESPONSIBLE FOR THAT.
[00:45:02]
IT'S REALLY BASED ON THE PLAT LANGUAGE, WHOSE THAT MAINTENANCE RESPONSIBILITY? DALLAS IS THIS GRAY AREA WHERE THEY SAY, NO, BUT THEY'VE RAISED SOME MONEY, SO THEY'VE GONE BACK AND FORTH.RICHARDSON HAS A FLAT RATE, REGARDLESS OF THE COST, REGARDLESS OF THE VALUE OF THE PROPERTY.
IF THE OWNER PAYS 5,000, THEY WILL GO OUT AND SPEND 500, WHATEVER THE COST MAY BE.
GARLAND ACTUALLY HAS A PERCENTAGE, SO RESIDENTIAL 50/50, 50% IS THE CITY, 50% IS THE RESIDENT, AND THEN COMMERCIAL, THEY HAVE A TWO THIRDS, ONE THIRD.
THEN YOU CAN SEE FRISCO MCKINNEY, ARLINGTON, DO NOT DO ANYTHING.
THIS BREAKS DOWN THE CRITICAL IS WHAT WE PUT THERE ON THE LEFT, THAT'S 0-20, JUST OVER $10 MILLION.
THAT'S ALL PROPERTIES, THAT CITY, THAT'S PRIVATE OWNER, RESIDENTIAL AND NON RESIDENTIAL, AS WELL AS HOA.
THEN WE HAD THE CONSULTANT PROVIDE US COST ESTIMATES FOR 21-60.
WE DID NOT HAVE THEM GO ABOVE AND BEYOND THAT.
BUT YOU CAN SEE THERE'S ABOUT 150 MILLION FROM THAT 21-60 RANGE.
DISCUSSION. CRITICAL IS WHAT WE'VE BEEN TALKING ABOUT.
THAT'S THE DIRECTION THAT WE'VE RECEIVED TO DATE.
WHAT I'VE TRIED TO DO IS BREAK THAT DOWN IN WHAT THE BUCKETS THAT WOULD BE.
CITY OWNED IS ABOUT 6.75 MILLION, IS OUR ESTIMATE.
NOW, THESE ARE ESTIMATES BASED ON AN INITIAL SITE VISIT.
THESE ARE NOT DETAILED ESTIMATES.
THEY'VE LOOKED AT IT AND SAID, WELL, IF WE DID A GABIAN STRUCTURE THAT MAY NOT BE THE FINAL OR FINISHED PRODUCT, SO THESE MAY FLUCTUATE, BUT THEY HAD TO ASSESS A NUMBER TO IT.
PRIVATE OWNERSHIP, AGAIN, THAT'S RESIDENTIAL AND NON-RESIDENTIAL, WHICH INCLUDES COMMERCIAL, NINE LOCATIONS, BUT 3.45 MILLION.
THEN WE'VE GOT ONE HOA PROPERTY THAT FELL WITHIN THAT CRITICAL LOCATION OF 100 AND ESTIMATES, 150.
WHAT WE'LL BE LOOKING FOR TONIGHT IS GUIDANCE OR DIRECTION ON, DO WE DO ALL OF THE PROPERTIES? DO WE JUST DO CITY, AND THERE YOU CAN GET AN IDEA OF WHAT THOSE COST IMPLICATIONS WOULD BE DEPENDING ON THAT DECISION? IF WE DO GO BEYOND THE CITY OWNERSHIP AND GO TO PRIVATE OWNERSHIP.
THERE WILL BE AN ACQUISITION COMPONENT TO THIS.
MOST OF THE PLATS WILL SPECIFICALLY STATE IN THERE THAT IT IS THE PROPERTY OWNER'S RESPONSIBILITY TO ADDRESS EROSION.
IF WE ARE GOING TO GO AND DO SOME ASSISTANCE, WE'LL NEED TO ACQUIRE THE RIGHTS TO PUT SOME STRUCTURE, DO SOME WORK ON PRIVATE PROPERTY.
WE ARE WORKING WITH LEGAL ON WHAT THAT WOULD LOOK LIKE.
WHAT WE HAVE PROPOSED IS IF WE DO MOVE IN THAT DIRECTION, AS WE WOULD REQUIRE THOSE RIGHTS TO BE DEDICATED TO THE CITY, WE WOULD NOT PURCHASE AN EASEMENT.
WE'VE ALSO SAID THAT ANY ENCROACHMENTS THAT THE PROPERTY OWNER MAY HAVE IN THAT AREA, THE PROPERTY OWNER WOULD BE RESPONSIBLE FOR THOSE ENCROACHMENTS, THAT COULD BE A FENCE.
IT COULD BE A DECK, IT COULD BE LANDSCAPING.
THERE ARE BIG SPECTRUMS ON THAT, BUT THAT WOULD BE THE RESPONSIBILITY OF THE OWNER BEFORE THE CITY WOULD COME IN AND DO THAT? THEN IF WE ARE NOT SUCCESSFUL IN ACQUIRING THOSE RIGHTS, THE QUESTION WOULD BE, WHAT DO WE DO? DO WE REDESIGN THE PROJECT TO LEAVE OUT A PROPERTY OWNER? THE EXAMPLE I'VE SHOWN THERE, YOU CAN SEE THE ORANGE LINE THAT'S FOLLOWING THE CHANNEL.
YOU CAN SEE IT ENCOMPASSES ABOUT FOUR PROPERTIES TO THE LEFT.
IF FOR WHATEVER REASON, THE ONE IN THE ORANGE JUST MAKES THE DECISION, I AM NOT GIVING YOU MY RIGHTS.
WE ARE GOING TO HAVE TO EVALUATE AND SEE WHAT WE DO WITH THAT PROJECT.
DO WE REDESIGN AROUND THAT PROPERTY? DO WE PUT THE PROJECT ON HOLD UNTIL THAT PROPERTY OWNER MAKES THAT DECISION? DO WE CONSIDER SOMETHING MORE AGGRESSIVE LIKE EMINENT DOMAIN BECAUSE IT IS A CRITICAL PROJECT? THOSE WILL BE DECISIONS THAT WE'LL HAVE TO MAKE.
FOR PARTICIPATION, SO WE'VE GOT THE 10 PRIVATE OWNERS, AGAIN, RESIDENTIAL, NON-RESIDENTIAL, AND THEN THE HOA PROPERTY.
I TOOK THE NUMBERS FROM RICHARDSON AND GARLAND, AS JUST SOME GO BUYS.
IF WE HAD A 50 50 PROGRAM, THE 50%, THOSE PROJECTS ARE ESTIMATED AROUND 3.6 MILLION, SO THE CITY WOULD RECEIVE 1.8 MILLION IF WE DID ALL OF THOSE PROJECTS.
IF WE DID A ONE-THIRD, TWO-THIRDS, DEPENDING ON, IF WE ASSIGN THAT TO RESIDENTIAL OR COMMERCIAL, THAT WOULD BE CLOSER TO 1.2.
THE EXAMPLE WOULD BE, CONSTRUCTION COST IS 400,000.
FOR EXAMPLE, THIS PROJECT BEHIND IT, AND WHAT WE WOULD DO IS JUST LIMIT THAT TO THE PROPERTY'S IMPACT.
WE WOULD NOT ASSIGN IT TO THE ENTIRE PROJECT, IF IT WAS 1.6 MILLION.
[00:50:01]
I WOULD JUST BE THE IMPROVEMENTS ON THAT PROPERTY.BUT IN THIS CASE, IF THE IMPROVEMENTS WITHIN THEIR LIMITS ARE 400, IF WE DID A 50 50, IT WOULD BE 200,000, WHICH OBVIOUSLY IS SUBSTANTIAL.
THE OTHER OPTION IS A FLAT RATE, WHETHER IT'S A 5,000 TO 7,500, JUST GIVING YOU SOME EXAMPLES UP THERE.
REGARDLESS OF THE CONSTRUCTION COST, THERE'D BE A FLAT RATE.
IF WE DID 7,500, OBVIOUSLY, THAT WOULD BE THE RESULT.
THOSE WILL BE THINGS THAT WE WOULD BE LOOKING FOR GUIDANCE ON, DO WE REQUIRE PARTICIPATION? THEN WHAT ARE THE NEXT STEPS? THERE ARE SOME OTHER OPTIONS.
THE PROJECT COST COULD BE THE PERCENTAGE.
THE PROPERTY VALUE COULD BE THE PERCENTAGE, DEPENDING ON THE RATIO OF THE IMPROVEMENTS.
DO WE DO A FLAT RATE PER PROPERTY? IS IT EQUAL BASED ON THE SIZE OF THE PROPERTY? THERE'S ALL DIFFERENT SCENARIOS.
IS THERE A OTHER OR DO WE CONSIDER NO PARTICIPATION? THOSE ARE ALL THINGS THAT WE'LL BE LOOKING FOR GUIDANCE. GET AHEAD THERE.
FOR DISCUSSION, I'VE TALKED THROUGH THESE, THE OWNERSHIP.
LIKE I SAID, THE DIRECTION WE'VE RECEIVED TO DATE IS THE CRITICAL ONES THAT WE SHOULD BE LOOKING AT.
WE'VE BEEN WORKING WITH KAREN FROM A BUDGET PERSPECTIVE.
THOSE ARE THE NUMBERS THAT SHE'S USING TO ADDRESS THOSE CRITICAL ONES.
BUT OBVIOUSLY, THAT CHANGES IF WE MAKE A DECISION HERE TONIGHT THAT SAYS, JUST WANT TO DO CITY, OR WE WANT TO JUST DO CITY AND RESIDENTIAL? THOSE COULD ALL HAVE AN IMPACT ACQUISITION.
WHAT STEPS ARE WE WILLING TO TAKE TO DO ACQUISITION? ARE WE WILLING TO PLACE A PROJECT ON HOLD? PARTICIPATION, WE TALKED ABOUT THAT.
THEN OUR PLAN WOULD BE TO DO AN EVALUATION EVERY FIVE YEARS.
RIGHT NOW, WHAT WE DON'T HAVE IS THE DATA OF WHAT IS THE RATE OF THE EROSION? WHAT IS GOING TO BE OUR NEXT SET OF CRITICAL PROJECTS.
THAT'S WHAT WE WOULD ASSESS AND SEE WHETHER OR NOT THAT BUDGET NEEDS TO STAY THE SAME OR DOES IT NEED TO CHANGE? THEN WE WOULD REASSESS THIS POLICY EVERY FIVE YEARS.
DID THIS WORK SINCE THIS IS THE FIRST TIME WE'RE DOING IT, OR DO WE NEED TO CHANGE IT? WITH THAT, I THINK THAT'S MY LAST SLIDE.
>> MAYOR AND COUNCIL, I THINK IF WE JUST GO DOWN THIS SLIDE, AND IF Y'ALL ARE COMFORTABLE WITH FOCUSING ON THE CRITICAL SCORING CRITERIA, THAT WOULD BE QUESTION 1.
QUESTION 2 WOULD BE THE ACQUISITION.
ARE YOU ALL COMFORTABLE WITH MOVING FORWARD WITH THE EASEMENT ASPECT? IF WE CAN'T COME TO AGREEMENT ON THE EASEMENT, WHAT WOULD YOU WANT THAT NEXT REMEDY TO BE? IS IT ABANDON IT? IS IT EMINENT DOMAIN? WHAT MIGHT THAT BE? THEN THE THIRD PIECE IS GOING TO BE THAT PARTICIPATION.
DO THE CITIZENS AND HOA AND PRIVATE PROPERTY OWNERS PARTICIPATE? IF SO, AT WHAT RATE, ARE THE THREE QUESTIONS? IF YOU CAN PROVIDE THAT, WE CAN ACTUALLY COME BACK WITH A PROGRAM AND TELL YOU WHAT THE COSTS ARE GOING TO LOOK LIKE AND WHAT THAT PROGRAM IS GOING TO LOOK. JULIE.
>> THANK YOU. CAN I GET CLARIFICATION WHEN YOU SAID THAT THERE'S 10 PRIVATE OWNERS AND YOU SAID THEY'RE RESIDENTIAL AND COMMERCIAL.
DID YOU BREAK THAT DOWN? HOW MANY OR RESIDENTIAL, HOW MANY ARE COMMERCIAL? IS THERE ANY REASON THAT WE HAVEN'T LOOKED AT THOSE SEPARATELY OR?
>> WE HAVEN'T. NO. BUT WE CAN GET THAT NUMBER FOR YOU.
>> WHEN YOU SAID THAT THE PROPERTY OWNERS WOULD BE RESPONSIBLE FOR ANY ENCROACHMENTS, THAT WOULD NEED TO BE TAKEN CARE OF, THEY WOULD HAVE TO STABILIZE, FOR EXAMPLE, SWIMMING POOL BEFORE WE WOULD COME IN.
IS THAT WHAT YOU MEANT BY THAT?
>> NO. WHAT WE'VE SEEN IN SOME OF THE DISCUSSIONS WITH PROPERTY OWNERS IS THEIR FENCE EXTENDS INTO THE AREA THAT WE WOULD HAVE TO PUT IN SOME DEVICE OR STRUCTURE.
THEY WOULD ACTUALLY HAVE TO MOVE THEIR FENCE.
THEY MAY HAVE TO MOVE A LANDSCAPE BED DEPENDING ON THEIR SITUATION.
THEY MAY HAVE TO MOVE A POOL IS WHAT I MEANT BY THAT.
IT COULD BE THAT ENCOMPASSING THAT THE EROSION HAS GOTTEN TO A POINT TO, WE NEED TO DO THIS, AND IT MAY IMPACT THE POOL.
NOW, THEY MAY NOT HAVE TO MOVE IT, BUT WE MAY NOT BE ABLE TO INSTALL A WALL RIGHT ON TOP OF OR RIGHT NEXT TO A POOL.
THE POOL MAY BE IMPACTED BY THAT.
>> DO WE HAVE THAT INFORMATION OF HOW MANY PROPERTIES?
>> I DON'T HAVE HOW MANY ARE IMPACTED BY A POOL.
>> I THINK THOSE ARE ALL MY QUESTIONS FOR NOW, THANKS.
I'M A LITTLE BIT MORE IN THE BASIC SIDE.
AT THIS POINT, WE'VE IDENTIFIED ALL THE CRITICAL STRUCTURES THAT NEEDS TO BE DEALT WITH.
MY QUESTION IS, I GUESS, FOR EACH OF THE PROJECT, HOW LONG DO YOU THINK IT'S GOING TO TAKE FOR THESE 17% PROJECTS THAT WE ARE WE HAVE IDENTIFIED AS CRITICAL.
[00:55:03]
>> WE'VE IDENTIFIED 42 LOCATIONS IN THE CRITICAL.
WHAT WILL WE BE ABLE TO DO IS LUMP SOME OF THOSE LOCATIONS AS ONE PROJECT.
LIKE KAREN MENTIONED EARLIER, OUR GOAL WOULD BE TO ADDRESS ALL THE CRITICAL PROJECTS OR LOCATIONS WITHIN THREE YEARS.
EACH DESIGN PROJECT MAY HAVE SOMEWHERE BETWEEN FIVE AND 10 DIFFERENT LOCATIONS IN THAT PROJECT.
THEN WE WOULD PUT OUT ONE LARGE CONSTRUCTION PROJECT THAT SAYS, CONSTRUCT A GABIAN WALL AT THIS LOCATION AND AT THIS LOCATION AND AT THIS LOCATION.
WE WOULD DO MULTIPLE PROJECTS, WE'D HAVE THEM RUNNING CONCURRENTLY WITH DIFFERENT CONSULTANTS.
THEN THE GOAL WOULD BE TO HAVE THEM DESIGN, GO THROUGH THE ACQUISITION PROCESS AND HAVE THEM CONSTRUCTED WITHIN THREE YEARS.
>> BASICALLY, I GUESS FOR EACH OF THE PROJECT, YOU'RE ESTIMATING ABOUT THREE YEARS PER PROJECT?
>> YEAH, I WOULD SAY THAT'S PROBABLY A SAFE GUESS.
>> AT THIS POINT, DO WE HAVE SUFFICIENT FUNDS FOR THOSE? I'M PRETTY SURE THAT WE HAVE SUFFICIENT FUNDS FOR THE CITY OWNED PROPERTY.
RIGHT NOW, THE QUESTION IS WHETHER OR NOT WE HAVE SUFFICIENT FUNDS TO HELP WITH THE NON CITY PROPERTY, AM I RIGHT?
>> YEAH.I DON'T KNOW, KAREN, IF YOU HAVE ANY NUMBERS ON WHERE WE SIT TODAY WITH DRAINAGE?
>> WHATEVER WE DO, EVEN IF I TAKE THESE OUT, WE STILL HAVE TO HAVE SOME RATE INCREASE.
DID INCLUDE THE 10 MILLION OVER THREE YEARS.
>> DID YOU HEAR THAT? THE 10 MILLION CRITICAL, WE HAVE PUT THAT IN WE'VE PROGRAMMED THAT OVER THE NEXT THREE YEARS.
>> THOSE ARE COVERED. THE ONES THAT RIGHT NOW WE'RE NOT WE HAVEN'T DECIDED YET AS THE ONES ARE NOT OWNED BY THE CITY?
THE ONES THAT ARE NOT OWNED BY THE CITY, WE HAVE NOT DECIDED BECAUSE WE DON'T HAVE ACCESS AT THIS POINT, WE DON'T HAVE NECESSARILY RIGHT TO BE THERE.
WE DON'T HAVE THE POLICY DECISION ON PARTICIPATION YET.
>> THANK YOU. CALEB, GREAT PRESENTATION AGAIN.
A COUPLE OF THINGS I WANTED TO TALK ABOUT, REALLY WAS, I KNOW WE'RE LOOKING AT THE CRITICAL, THOSE ELEMENTS THAT ARE CRITICAL.
WE'RE LOOKING AT REASSESSING EVERY FIVE YEARS, IS THAT CORRECT? CORRECT. THAT'S A SIGNIFICANT AMOUNT OF TIME BETWEEN THE START OF THE PROJECT.
I MEAN, GRANTED, WE HAVE A LOT OF WORK TO DO BEFOREHAND.
THAT IS, OF COURSE, GETTING THE ACCESS.
THEN WE HAVE THE ENCROACHMENT ISSUES BECAUSE WE'VE SEEN THESE PROPERTIES, THERE'S FENCES, THERE'S POOLS, THERE'S GARDENS, THERE'S A HOLDING.
MY ONLY CONCERN IS WHEN WE LOOK AT THE CRITICAL ASPECTS OF THEM, WE'RE NOT LOOKING AT THE NEXT LEVEL, WHICH ARE LESS THAN CRITICAL.
BUT I'M CONCERNED OVER THE FIVE YEAR PERIOD, I MEAN, WE DON'T KNOW WHAT WHAT'S HAPPENING WITH STORMWATER.
BUT ALL OF A SUDDEN, THAT NUMBER INCREASES SIGNIFICANTLY.
THROUGH VALUE ENGINEERING, WOULD THERE BE SOME MITIGATION THAT WE MIGHT BE ABLE TO IMPLEMENT TO HELP KEEP THAT FROM TURNING CRITICAL AT A LOWER COST AND SAY THE GAB ON BASKETS? I MEAN, IT'S GOING TO BE SITE SPECIFIC.
BUT I'M URGING THAT WE KEEP THAT IN OUR HEADS BECAUSE THESE BANKS ARE GOING TO CONTINUE TO ERODE.
AS WE PROGRESS THROUGH THE THREE YEARS, WE'RE GOING TO SEE A LARGER POPULATION OF THE CRITICAL. WE RECOGNIZE THAT.
I'M LOOKING AT THAT PART OF IT.
THE OTHER PART, AND I'M MORE INCLINED IF WE HAVE THE PARTICIPATION OF THE HOMEOWNER, THEY ARE PAYING A DRAINAGE FEE, AND WE'RE LOOKING AT INCREASING THE DRAINAGE FEE.
THAT'S GOING TO HELP US ON SOME OF OUR CITY WORK.
BUT IS THAT GOING TO HELP US ON THE PRIVATE WORK? THE CRITICAL WORK THAT WE'RE LOOKING AT HERE?
>> IF WE INCLUDE THOSE TONIGHT OR MAKE THAT DECISION, THEN THE ANSWER WOULD BE YES.
>> WELL, AND WE LOOKED AT THERE WAS SOME DISCUSSION OF COST SHARING.
I'M MORE IN FAVOR FROM A PROPERTY OWNER BEING ABLE TO HAVE A FLAT FEE, RATHER THAN A PERCENTAGE BECAUSE THE PERCENTAGE THERE'S SOME GUESSWORK.
HOW MUCH OF THE FRONTAGE ARE WE LOOKING AT? HOW MUCH IS THE LOT? EVEN HOW MUCH IS THE TALK.
WHEN I LOOK AT THIS FROM A REGULAR HOMEOWNERS THAT HAS TO REPLACE A ROOF FROM A HAILSTORM,
[01:00:03]
07,500-10,000 IS NOT UNREASONABLE TO LOOK AT A ROOF REPLACEMENT.THIS IS ALMOST ALONG THAT SAME LINE.
I WOULD ALMOST SAY INCREASE THE HOMEOWNER PARTICIPATION TO $10,000 TO HELP MITIGATE SOME OF THAT COST, BECAUSE THERE'S SOME OWNERSHIP PART OF THAT.
I GRANT YOU, IF THEY HAVE TO MOVE A POOL, THAT'S A SIGNIFICANT COST BURDEN ON THE HOMEOWNER, BUT IT'S STILL SOMETHING THAT WE WOULD HAVE TO LOOK AT.
AGAIN, I'M JUST NOT TO REPEAT MYSELF AGAIN, BUT I THINK WE MAY NEED TO LOOK AT THE NEXT LEVEL OF CRITICAL PART.
YES, ADDRESS THE CRITICAL COMPONENTS NOW FROM THE HOA AND HOMEOWNERS PERSPECTIVE.
BUT I THINK IF WE TAKE SOME MEASURES ON SOME OF THE ONES THAT SCORED JUST BELOW CRITICAL, AND HAVE SOMETHING THAT MAY MITIGATE AND KEEP IT FROM BEING CRITICAL 5-10 YEARS, THAT MAY BE THE BEST INTERESTS OF THE CITY.
>> CALEB, JUST MAKE SURE WE'RE CONVEYING THIS THE RIGHT WAY.
WE HAVE FUNDING FOR THREE YEARS, WE WOULD NOT STOP WORK IN YEARS FOUR AND FIVE BEFORE THAT ASSESSMENT.
THERE WOULD BE SOME ADDITIONAL OPPORTUNITY FOR WORK IN THAT TIME FRAME, COUNCILMAN, AS WELL.
I THINK WHAT WE'VE DONE IS WE'VE DRAWN THAT LINE JUST BASED UPON THIS EVALUATION.
BUT IT CORRECT ME IF I'M WRONG, CALEB, IT'S A NUMERICAL RANKING IN AN ORDINAL FASHION OF WE KNOW WHAT'S WORSE.
WE COULD ACTUALLY REDRAW THAT LINE IN A PLACE THAT DRAWS MORE IN, BUT TO THAT POINT, ONCE WE GET DONE WITH YEAR 3, WE WOULD THEN MOVE ON TO WHATEVER IS NEXT ON THOSE LISTS IN YEAR 4 AND 5 SO THAT WE DON'T STOP WORK IN THAT TIME FRAME.
>> HELP ME OUT HERE. THE PLAT LANGUAGE THAT WE SEE HERE IS CLEAR AS WHO'S RESPONSIBLE.
ARE WE GOING TO HAVE TO CHANGE OR MODIFY THOSE PLATS TO HAVE THAT LANGUAGE, TO HAVE THAT TYPE OF WORK DONE BEFORE WE MOVE FORWARD?
>> THAT'S WHERE MARK MENTIONED EARLIER, THE EASEMENT.
WHAT OUR PLAN AT THIS POINT WOULD BE TO INSTEAD OF MODIFYING THE PLAT IS TO PUT TOGETHER EASEMENT DOCUMENTS THAT, AND WE'RE WORKING THROUGH THAT IN WHAT IT SAYS AND HOW IT LOOKS, BUT WHETHER YOU CALL IT A STREAM BANK STABILIZATION EASEMENT OR AN EROSION CONTROL MAINTENANCE EASEMENT, BUT SOMETHING TO THAT EFFECT THAT WOULD ESSENTIALLY ALLOW US TO ENACT OR PUT IN THIS STRUCTURE.
INSTEAD OF REVISING THE PLAT FOR THIS PROPERTY, AND THESE TWO NEXT TO IT, BUT THEN THE OTHER ONES AND HAVING TO RE-PLAT.
WE'VE LOOKED AT DIFFERENT OPTIONS AS FAR AS EVEN FEE SIMPLE ACQUISITION.
THE CHALLENGE WITH THAT IS WHEN YOU DO THAT, YOU START IMPACTING THE ZONING ORDINANCE, SETBACKS, LOT DEPTHS, AND STUFF LIKE THAT.
NOW, DO YOU CONSIDER A VARIANCE FOR THIS PROPERTY THAT'S CARRIED? WE FEEL LIKE THE AN EASEMENT IS THE MOST APPROPRIATE AND THE EASIEST, ESSENTIALLY, TO ACCOMPLISH WHAT WE'RE TRYING TO DO HERE.
MAYBE THIS IS A PAIGE QUESTION, CAN YOU DO EMINENT DOMAIN JUST FOR THE RIGHTS AS OPPOSED TO THE PORTION OF THE PROPERTY?
>> I THINK WE CAN DO EMINENT DOMAINS JUST FOR EASEMENTS AND THINGS LIKE THAT.
BUT IN THIS CASE, I PERSONALLY DON'T THINK WE SHOULD BE DOING THAT BECAUSE IT'S NOT GOING TO TAKE CARE OF ANY ENCROACHMENT PROBLEMS. I JUST DON'T THINK WE SHOULD GO THERE.
EITHER PEOPLE WANT TO PARTICIPATE AND HAVE US HELP FUND, OR I THINK WE SHOULD WALK AWAY.
>> OKAY. THAT JUST ANSWERS PART OF THAT QUESTION.
IN SPEAKING TO SOME OF THE IMPACTED HOMEOWNERS, THERE IS A FEELING THAT I SEE OUT THERE THAT THIS IS NOT MY FAULT.
WHEN I MOVED IN HERE, WE DIDN'T HAVE THIS SHOPPING CENTER OR WE DIDN'T HAVE THIS OTHER HOUSING DEVELOPMENT, OR GOD KNOWS A MALL OR SOMETHING THAT IS NOW POURING THIS WASTEWATER PAST MY PROPERTY.
>> [OVERLAPPING] STORMWATER, I APOLOGIZE.
>> LISA, CAN YOU WRITE THAT ONE [INAUDIBLE]? [LAUGHTER]
>> I APOLOGIZE. I'M SYMPATHETIC TO THAT, AND I'M ALSO SYMPATHETIC TO THE FACT THAT WHILE
[01:05:05]
IT'S BEEN MENTIONED THAT PEOPLE WHO LIVE ALONG A CREEK SOMETIMES PAY MORE FOR THEIR LOT, AND THEY HAVE ALL THESE EXPECTATIONS AND SUCH.BUT I HAVE A HARD TIME SEEING THIS BEING AN HOA PROBLEM.
IT'S ONE THING TO CLEAN UP THE STORM BANK, IT'S ANOTHER THING TO REHABILITATE IT.
I WOULD FIND IT HARD TO SEE THAT BEING SOMETHING THAT THE HOA, AND IN MOST CASES, THE PROPERTY OWNER.
I CAN SEE A SITUATION WHERE A PROPERTY OWNER MAY SAY, I JUST CAN'T ACCEPT THE CIRCUMSTANCES THAT THE CITY IS COMING THROUGH BECAUSE, YEAH, IT DOES REQUIRE ME TO MOVE MY POOL, AND I DON'T WANT TO PAY FOR THAT.
I THINK THE CITY SHOULD PAY FOR THAT OR WHOMEVER.
I COULD SEE HOW THEY MIGHT NOT WANT TO PARTICIPATE WITHOUT SOME FURTHER LEGAL SITUATION, WHICH IS WHY I ASKED ABOUT THE RIGHTS SITUATION.
>> COUNCILMAN, IF YOU DON'T MIND, ONE OF THE THINGS I THINK WE SHOULD ALSO RECOGNIZE, THOUGH, IS THEY MAY NOT LOVE NECESSARILY THE DESIGN OR THE SOLUTION, OR THE LOOK OF WHAT WE PUT IN FROM A CITY PERSPECTIVE AS WELL.
THEY MAY HAVE PREFERENCE FOR AUSTIN STONE OR WHATEVER TO COME IN VERSUS THE GABION WALL WITH THE BASKETS THAT YOU SAW.
PART OF THAT ALSO BECOMES THAT ASPECT WHEN YOU'RE TALKING ABOUT COST AND PARTICIPATION IS WHEN WE HAVE THAT EASEMENT, IT BECOMES THE STAFF AND THE CITY'S DECISION AS FAR AS THE SOLUTION THAT GOES IN.
THAT MAY BE PART OF THE SITUATION AS WELL.
>> THANK YOU. FINALLY, I WANTED TO ECHO AND AGREE WITH COUNCILMAN HORN BECAUSE, AND I MENTIONED THIS IN OUR PREVIOUS DISCUSSION, I FEEL LIKE WE NEED TO DO SOMETHING TO MITIGATE THE LESS CRITICAL PROGRAMS WHILE WE ARE WORKING THROUGH THE CRITICAL PROGRAMS. I DON'T KNOW WHERE ON THE LIST THAT NUMBER SHOULD BE.
BUT IN MY MIND, TO SOME EXTENT, IT'S LIKE, TAKE THE EASIEST ONES RATHER THAN THE ONES THAT ARE NEXT, MOST CRITICAL BECAUSE WE KNOW WE'RE GOING TO DO THOSE AFTER THREE YEARS OR WHATEVER.
BUT TO KEEP HOMEOWNERS FROM FURTHER DAMAGE OR WHATEVER, IF THERE ARE THINGS THAT WE CAN DO NOW THAT DO NOT REQUIRE US TO BUILD A WALL OR WHATEVER, IT SEEMS LIKE IT'S PRUDENT FOR US TO DO THAT NOW.
>> WE'VE HAD THOSE DISCUSSIONS INTERNALLY ABOUT WHAT MAINTENANCE PROGRAM WE COULD IMPLEMENT THAT WOULD ADDRESS THE LOW-HANGING FRUIT, ESSENTIALLY, THE 10,000, $15,000 REPAIR THAT COULD EXPAND TO HALF A MILLION DOLLARS IN FIVE OR 10 YEARS.
I THINK AT THIS POINT, WITH THE SIZE AND THE NUMBER OF PROJECTS IN THE CRITICAL, THAT'S WHAT WOULD BE OUR FIRST FOCUS.
BUT THEN HOW CAN WE DEVELOP A PROGRAM AND WHAT WOULD BE THAT BREAK POINT? IS IT A SCORE OF 80 ABOVE WE DO MAINTENANCE ON? THE CHALLENGE, I THINK, WOULD BE IS 80 THE RIGHT NUMBER? IS 60 THE RIGHT NUMBER? IS 75 THE RIGHT NUMBER? IF WE SET IT AT 75, AND YOU SCORE A 74, I'M SORRY, YOU'VE GOT TO WAIT UNTIL YOU GET TO A 19 BEFORE.
WE'D LIKE TO COME UP WITH A PROGRAM, BUT I THINK FOR THIS MOMENT WE'RE TRYING TO ADDRESS THE CRITICAL.
WE'LL DO IN A REASSESSMENT AND SEE IF OUR NEXT ROUND OF CRITICAL IS 10 MILLION.
IS IT 2 MILLION? IS IT 25 MILLION? THEN DETERMINE.
BECAUSE AT SOME POINT, WE ALSO WE HAVE THE STAFF CONCERN OF DO WE NEED TO ASSIGN SPECIFIC STAFF TO JUST DO THE SMALLER REPAIRS WHILE WE'VE GOT STAFF DOING THE LARGER REPAIRS, SO THERE'S A WORKLOAD COMPONENT TO IT.
BUT YOU'RE EXACTLY RIGHT. I AGREE.
>> GOING BACK TO MY EARLIER QUESTION, YOU SAID WE HAVE 10 PRIVATE OWNERS THAT ARE BOTH RESIDENTIAL AND COMMERCIAL.
WHEN YOU SAY RESIDENTIAL, DOES THAT MEAN THEY HAVE A HOMESTEAD EXEMPTION ON THE PROPERTY?
>> I'D HAVE TO LOOK INDIVIDUALLY TO SEE WHAT EXEMPTIONS THEY HAVE. I DON'T KNOW.
>> I GUESS I WOULD BE CURIOUS TO HAVE A BETTER UNDERSTANDING OF WHAT DO WE MEAN WHEN WE SAY RESIDENTIAL VERSUS COMMERCIAL BECAUSE MY INCLINATION IS TO WANT TO BE MORE EMPATHETIC TOWARDS SOMEONE WHO IT'S THEIR HOMESTEAD PROPERTY VERSUS AN INVESTMENT PROPERTY OR COMMERCIAL PROPERTY.
[01:10:03]
IF IT'S THEIR HOME, I TEND TO WANT TO BE A LITTLE BIT MORE EMPATHETIC.THAT'S THEIR HOME, SO IT'S NOT SOMETHING THAT THEY CAN EASILY UP AND MOVE OR WOULD WANT TO.
I JUST WANT TO PUT THAT OUT THERE.
>> BOB, DID YOU WANT TO SPEAK? >> [INAUDIBLE].
>> YOU DISAPPEARED. BUT YOU'RE BACK.
>> VERY GOOD. THANKS. THANKS FOR NOTICING THAT, I APPRECIATE IT.
I'VE BEEN THINKING A LOT ABOUT THIS, AND HAVING VISITED A FEW OF THE STREAM BANKS AND SEEN WHAT'S GOING ON.
I DO FEEL THAT WE DO USE THE STREAM BANKS AS PART OF OUR STORMWATER MANAGEMENT, SO I THINK THERE'S OWNERSHIP THERE FOR THE CITY.
IT'S VERY CLEAR ON THE PARTS THAT WE OWN.
BUT WITH THAT IN MIND, I'M ALIGNED WITH RICK AND OTHERS, AND PARTICULARLY JULIE'S THOUGHTS AROUND PARTICIPATION FROM THE HOMEOWNERS.
IF IT'S THEIR HOMES WHERE THEY'RE LIVING, THEN MAYBE IT'S NOT QUITE AS MUCH.
BUT I THINK A FLAT RATE PROBABLY DOES MAKE THE MOST SENSE.
MAKES IT EASIER FOR EVERYONE TO PLAN, BUT IT'S ALSO PROBABLY THE RIGHT THING TO DO AS WELL.
WHEN IT COMES TO ACQUISITION, IF WE'RE TAKING RESPONSIBILITY FOR THAT, THEN I THINK WE ALSO NEED TO TAKE THE OWNERSHIP FOR IT, AND I'D BE OPEN TO GOING AS FAR AS EMINENT DOMAIN TO BE SURE WE CAN TAKE CARE OF THE ENTIRE STREAM BANK IN ANY GIVEN AREA, RATHER THAN BEING HAMSTRUNG A LITTLE BIT BY AN OWNER OR SOMEONE WHO'S NOT READY TO PARTICIPATE.
>> THANK YOU, MAYOR. I DO HAVE TWO COMMENTS.
FROM OUR PREVIOUS MEETING, I THINK YOU SET SO FAR THIS BUDGET ON $10 MILLION, BUT DO WE HAVE ANYTHING BUDGETED ASIDE FOR MAINTENANCE OR UPKEEP IN ANY OF THAT ASPECT WHILE THESE PROJECTS ARE TAKING PLACE AS WELL, TOO?
>> YEAH. NOT WITH THIS PROPOSED INCREASE.
THIS IS ALL FOR JUST THE CRITICAL.
>> BUT ARE WE PLANNING TO HAVE THAT IN THE FUTURE?
>> THAT WOULD BE THE GOAL, BUT I THINK THAT'S WHAT WE WOULD RE-EVALUATE AND RE-ASSESS BASED ON THE FUTURE STUDY.
>> COUNCILMAN, WE ARE IN BUDGET SEASON [OVERLAPPING].
IF YOU WOULD LIKE US TO BRING BACK OPTIONS OF WHAT, BECAUSE, AGAIN, WE'LL RUN INTO DOLLARS AND THEN STAFF CAPACITY ARE GOING TO BE THE ELEMENTS.
WE'RE HAPPY TO BRING BACK WHAT IT WOULD LOOK LIKE TO EVEN JUST GET STARTED ON THE MAINTENANCE SIDE OF THINGS. WE CAN BRING THAT.
>> LET'S LEAVE IT IN-HOUSE, DONE WITH OUR OWN DEPARTMENT OR WITH OUTSOURCE.
THE OTHER ONE AS WELL TOO, I JUST WANT TO MAKE A COMMENT IS I DID TOUR A LOT OF THESE A LOT OF THESE AREAS, AND I ATTENDED ALL THE ONES I GOT INVITED TO AS WELL TOO.
THE NUMBER 1 QUESTION I ASKED ALL THE RESIDENTS WAS, WERE THEY THE PRIMARY OWNER OR IS THIS THE SECONDARY THIRD TIME OWNERS? A LOT OF THEM WERE NOT.
WELL, ACTUALLY, NONE OF THEM WAS THE PRIMARY OWNER.
WHEN YOU PURCHASED THE PROPERTY, THEY'RE AWARE OF THE SITUATION AND THE CIRCUMSTANCES.
I JUST WANT TO MAKE SURE EVERYBODY WAS AWARE OF THAT.
BUT I AM IN AGREEMENT OF THE COST SHARING OR SOME COST BETWEEN THE PRIVATE OWNER AND THE CITY AS WELL TOO, BUT NOT THE PRIVATE OWNER PAYING ALL OF IT. THAT'S MY INPUT.
>> WHAT I'M HEARING IS FIRST AND FOREMOST, I THINK TO CREATE AN EASEMENT WOULD BE OUR FIRST CHOICE, AND THEN, IF WE STRUGGLE WITH THAT, THEN WE CAN TAKE THAT NEXT STEP.
BUT I WAS WONDERING MAYBE IF WE COULD EVALUATE A FLAT FEE OF 75, 10, 20, AND LOOK AT WHAT THAT MIGHT DO IN REGARDS TO WHAT WE'D HAVE TO CHARGE ON STORMWATER IN THIS FIRST PHASE, AND JUST SEE WHAT THE RATES WOULD LOOK LIKE? BECAUSE I THINK I WANT TO SOLVE THIS ISSUE.
BUT YOU GUYS ALL SEE WHAT WE'RE PAYING FOR WATER THESE DAYS.
THAT BECOMES PRETTY DIFFICULT FOR SOME OF OUR RESIDENTS.
AGAIN, I THINK FOR US TO LOOK AT A FLAT RATE WOULD BE A GOOD IDEA, BUT JUST MAYBE EVALUATE WHAT THREE OR FOUR DIFFERENT NUMBERS WOULD LOOK LIKE AND HOW THAT WOULD LOOK WHEN WE ADDED IT TO OUR COMMUNITY'S WATER BILL.
>> YEAH, AND I DON'T WANT TO SPEAK FOR KAREN,
[01:15:01]
BUT I MAY ASK FOR YOUR HELP.THERE'S 10 PROPERTIES WITHIN THE CRITICAL AREA RIGHT NOW, SO 10,000 FLAT RATE, IT'S GOING TO BE $100,000.
WE'RE LOOKING AT JUST OVER 10 MILLION OVER THE NEXT THREE YEARS FOR THAT RATE INCREASE,
IT'S GOING TO BE MINIMAL. >> [INAUDIBLE]
>> AGAIN, ONE OF THE THINGS I'M CONCERNED ABOUT, FOLKS, IF WE'RE LOOKING AT THE DRAINAGE FEE INCREASE AND INCREASES THE WATER BILL, WE ALL PAY THE WATER BILL.
THERE WILL BE SOME IN THE COMMUNITY WHO SAY, "WHY AM I PAYING FOR THE INCREASE WHEN I DON'T LIVE ANYWHERE NEAR A CREEK?" PLEASE UNDERSTAND, MR. AND MRS. CITIZEN, YOU DO CONTRIBUTE TO THE STORMWATER FROM YOUR YARD AND FROM YOUR STREETS, AND FROM ETC., AND IT HAS TO GO SOMEWHERE.
IN OUR CONVEYANCE SYSTEM, WE USE THE CREEKS FOR STORMWATER.
IF WE'RE GOING TO BE THE CITY OF EXCELLENCE, AND WE'RE GOING TO BE A COMMUNITY, WE ALL HAVE TO CONTRIBUTE OUR PART TO HELP MITIGATE THIS BECAUSE IT'S ONLY GOING TO GET WORSE.
WATER ONLY HAS ONE WAY TO GO, DOWNHILL, AND IT'S HARD TO STOP.
WE'RE GOING TO HAVE TO LOOK AT THAT AND REALLY BE COGNIZANT THAT THIS IS A COMMUNITY-WIDE PROBLEM.
I JUST WANT TO JUST BRING THAT TO EVERYONE'S ATTENTION. THANK YOU.
>> MAYOR AND COUNCIL, WE WILL BRING BACK ON THE ACQUISITION SIDE OF THINGS, THE EASEMENT OPTION WITH A BACKUP OF EITHER WALKING AWAY OR OTHER ACTION.
>> IMMINENT DOMAIN AT THE LAST.
SECOND THING IS, WE'LL LOOK AT FLAT FEE PARTICIPATION, WE'LL BRING BACK SOME COST NUMBERS ALONG THOSE LINES.
WE WILL TAKE A SECOND LOOK AT THE EVALUATION OF CRITERIA AS FAR AS WHERE WE DREW THE LINE AND WHAT MIGHT BE A GOOD RANGE FOR US TO TALK ABOUT INTERVENTION NOW ON THE MAINTENANCE SIDE OF THINGS, AND WE WILL BRING BACK A POTENTIAL BUDGET FOR INTERVENTION ON MAINTENANCE OVER AN ANNUAL NUMBER TO BRING BACK.
WE'LL BRING ALL OF THOSE BACK AS PART OF THAT DISCUSSION.
DOES THAT SOUND CORRECT? >> [INAUDIBLE].
>> NO, WE WILL DO THAT WORK ON THE 10 SPECIFICALLY THAT WE'RE TALKING ABOUT.
BUT IF THAT'S THE GUIDANCE THAT COUNCIL HAS AS FAR AS PARTICIPATION, THAT STUFF YOU CAN PROVIDE ADDITIONAL CLARIFICATION ON THAT AT THAT TIME, AS WELL.
>> APPRECIATE IT. THANKS FOR INDULGING US IN THESE ISSUES, I THINK WE'LL BE ABLE TO GET THROUGH THIS BUDGET SEASON MORE EFFICIENTLY, KNOWING SOME OF THE ISSUES THAT WE'RE NEEDING TO ASK QUESTIONS ABOUT, AND AT THE END RESULT, BEING ABLE TO PASS A BUDGET THAT CONTINUES TO MAKE THE CITY OF EXCELLENCE ONE THAT WE ARE ALL PROUD OF.
WITH THAT BEING SAID, THERE BEING NO FURTHER BUSINESS, MEETING'S ADJOURNED.
* This transcript was compiled from uncorrected Closed Captioning.