[CALL TO ORDER]
          [00:00:10]
          THE WACO CITY COUNCIL ON NOVEMBER 18TH, 2025 TO ORDER AT 3:02 P.M. WELCOME TO THE WORK SESSION OF THE WACO CITY COUNCIL. WELCOME TO ALL THE PEOPLE GATHERED HERE IN THE BOSQUE THEATER GALLERY IN BEAUTIFUL DOWNTOWN WACO HERE THIS AFTERNOON. WELCOME TO ALL THE VIEWERS AT HOME WATCHING ON THE WACO CITY CABLE CHANNEL. AND THANK YOU, EVERYONE FOR JOINING US HERE TODAY. I'M MAYOR JIM HOLMES. I'M JOINED ON THE DAIS HERE TODAY BY OUR COUNCIL MEMBERS, ISABEL LOZANO, JOSH ROOD, DARIUS EWING AND GEORGE CHASE. MAYOR PRO TEM ANDRE BENEFIELD IS ABSENT TODAY. SHE'S AT AN NGLCC CONFERENCE IN SALT LAKE, ALSO JOINED ON THE ADJACENT DYESS OVER HERE BY SENIOR CITY STAFF KRISTEN CITY ATTORNEY KRISTEN HAMILTON AND CITY SECRETARY MICHELLE HICKS. AND WE HAVE OUR DEPUTY CITY MANAGER OVER HERE TODAY. DEIDRE EMERSON IS JOINING US ON THE DAIS. SO WE'RE GOING TO START THE MEETING TODAY WITH A MOMENT OF SILENCE. AND SO THE FIRST ITEM OF BUSINESS TODAY IS A RECOGNITION OF WORK SESSION 
          [WORK SESSION]
SPEAKERS. IS THERE ANYONE PRESENT HERE TODAY WHO'D LIKE TO SPEAK ON A WORK SESSION? AGENDA ITEM. CITY SECRETARY HICKS, DO WE HAVE ANY CARDS OR ANYBODY WHO WOULD LIKE TO SAY ANYTHING? WE DO NOT HAVE ANY REGISTERED SPEAKERS. YOU DO NOT. THERE BEING NO REQUESTS TO SPEAK. WE'LL NOW RECESS THE REGULAR SESSION AND CONVENE INTO WORK SESSION WITH A REPORT FROM DEPUTY CITY MANAGER DEIDRA EMERSON. DEIDRA. THANK YOU, MAYOR. GOOD AFTERNOON, MAYOR AND COUNCIL. HOW ARE YOU ALL DOING TODAY? GREAT. THANK YOU. AWESOME. SO WHILE TODAY'S AGENDA IS NOT A REALLY LONG AGENDA, BUT IT IS PRETTY HEAVY, SO I WILL JUMP RIGHT INTO IT. 
          WE HAVE AN AMENDMENT TO ORDINANCE 2025 854 THAT CITY ATTORNEY HAMILTON KARAM WILL READ INTO THE RECORD. WHEN THAT ITEM COMES UP. THE AMENDMENT CLARIFIES MEMBERS WILL BE APPOINTED BY THE BODY AS A WHOLE. I DO HAVE A COUPLE OF EMPLOYEE RECOGNITIONS TO DO TODAY. FIRST WILL BE SUSIE MURRAY. LAST WEEK, THE WACO CHAMBER OF COMMERCE RECOGNIZED THE WACO UNDER 40 HONOREES. OUR OWN SUSIE MURRAY, WACO PD EMERGENCY COMMUNICATIONS MANAGER, IS ONE OF 14 CHOSEN AS WACO UNDER 40 HONOREES. THE WACO UNDER 40 RECOGNITION HONORS THOSE WHO ARE MAKING AN IMPACT, IMPACTFUL CHANGE IN OUR COMMUNITY AS THE MANAGER OVER OUR 911 OPERATIONS, HER TEAM OVERSEES NOT JUST EMERGENCY CALLS REGARDING WACO PD, BUT ALSO INCLUDES THE MCLENNAN COUNTY SHERIFF'S OFFICE, BRUCEVILLE EDDY, PD, CRAWFORD, PD, PD, MOODY PD, PD WEST PD, AND 13 VOLUNTEER FIRE DEPARTMENTS IN THE COUNTY. 
          PLEASE JOIN ME IN RECOGNIZING SUSIE. WOULD YOU PLEASE STAND? AS MAYOR? I WANT TO CONGRATULATE SUSIE, I APPRECIATE YOU. YOU'RE GREAT. WHETHER YOU'RE UNDER 40 OR OVER 40, WE ALL THINK YOU'RE FANTASTIC. AND THEN ON LAST THURSDAY, NOVEMBER THE 6TH, WE ENJOYED OUR ANNUAL EMPLOYEE APPRECIATION PICNIC, ONE OF MY MOST FAVORITE EVENTS TO ATTEND IN OUR IN OUR CITY. EVERY YEAR, OUR PARKS AND SPECIAL EVENTS TEAM WORKS WITH AN EMPLOYEE WORK GROUP TO PULL OFF A FANTASTIC EVENT AND OUR TIME TO COME TOGETHER. AND IT'S A TIME TO COME TOGETHER AND CELEBRATE THE EMPLOYEES WHO KEEP WACO RUNNING. THIS YEAR, EMPLOYEES ENJOYED FELLOWSHIP, FOOD TRUCKS, GAMES, A PHOTO BOOTH AND THIS YEAR'S BIGGEST HIT WAS A KARAOKE CONTEST. WE HAVE SOME REAL MUSICAL TALENT AMONGST OUR CITY WORKFORCE AND MARGARET RAST, ZOOKEEPER AT CAMERON PARK ZOO, TOOK HOME THE PRIZE, SO WE'D LIKE TO OFFER SPECIAL THANKS TO OUR EMPLOYEE APPRECIATION TEAM MEGAN DAVIS, JESSICA MAXWELL, CAMERON WOLF, AND ALISA TAGGART, SHERRY MARTIN, WENDY LAUTERBACH, LISA JONES, FELICIA TAYLOR, JENNY MABRY, GRAHAM SIEBEL, LISA BAKER, CALEB SCHMILLEN AND EVERYONE THAT VOLUNTEERED. 
          BECAUSE I SAW SOME PHOTOS OF OUR CITY ATTORNEY OUT DIRECTING TRAFFIC WITH HER SAFETY VEST ON. 
          SO THANK YOU ALL FOR ALL THAT YOU DO AND EVERYTHING THAT IS. HOPEFULLY IT WAS. EVERYONE ENJOYED IT. I HATE I MISSED IT, BUT DEPUTY CITY MANAGER, I WILL AGREE WITH YOU THAT I WAS IN ATTENDANCE OUT THERE AND IT WAS A LOT OF FUN. I MEAN, AGAIN, I'M GOING TO CO IT'S ALL ABOUT 
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PRODUCT PROCESS AND PEOPLE AND WE ARE SO LUCKY TO HAVE SUCH A GREAT TEAM AND CELEBRATING THAT FELLOWSHIP OUT THERE AT AT BRAZOS PARK EAST WAS A LOT OF FUN. AND LIKE YOU SAID, THE THE KARAOKE WAS AMAZING. I MEAN, AND I UNDERSTOOD THAT YOU JUST KIND OF ORGANIZED THAT HALF AN HOUR OR SO BEFOREHAND, AND YOU HAD ALL THESE PEOPLE UP THERE WITH SERIOUS TALENT. AND I HATE TO GO ON AND ON ABOUT THIS, BUT GLORIA WAS THE WINNING SONG. I THINK I GOT TO I GOT TO HEAR THAT, AND I UNDERSTAND SHE'S GOING TO SING IT RIGHT NOW, IS THAT I DON'T KNOW THAT. IS SHE HERE? I DON'T KNOW THAT SHE'S HERE. OKAY, WELL, SHE'S NOT HERE, SO SHE. THAT WOULD BE AWESOME. IT WOULD. IT WAS. THERE WAS A. YEAH. AND DARIUS, WE'D LIKE TO SONG GLORIA. 
          ALRIGHT. WELL ANYWAY, IT WAS A FUN TIME. GOOD CELEBRATION. I LOVE TO SEE THE FELLOWSHIP OUT THERE AND JUST JUST FUN. BUT. AND THEY ACTUALLY WENT BACK TO WORK THAT AFTERNOON, TOO. I UNDERSTAND THEY, I HEARD IT WAS HARD FOR FOLKS TO GO BACK TO WORK BECAUSE THEY WERE HAVING SUCH A GOOD TIME, WHICH IS WHAT EXACTLY WHAT WE WANT. SO ABSOLUTELY, MAYOR, BIG SHOUT OUT ON THAT TOO. I REALLY LOVE HOW WE USE A LOT OF OUR LOCAL FOOD VENDORS OUT THERE. I KNOW THE PARKS TEAM DOES A GOOD JOB PUTTING IT TOGETHER, AND CMO AND SO MANY OTHER DEPARTMENTS AND JUST HOSTING THE EVENT, BUT IT'S A GREAT EVENT TO CELEBRATE OUR PEOPLE. IT'S JOYFUL. THE TONE IS RIGHT, THE FOOD IS RIGHT, THE DRINK IS RIGHT. SO APPRECIATE EVERYBODY THAT MADE THAT HAPPEN. I MEAN, THE DRINK IS NOT ALCOHOLIC, BUT IT IS, RIGHT? RIGHT. IT WAS IT WAS MORE FILLED WITH JUST FILLED WITH THE SPIRIT BUT NOT SPIRITS. IT WAS A GOOD IT WAS A GOOD GOOD AFTERNOON. ALL RIGHT. AND LAST BUT DEFINITELY NOT LEAST, LAST WEEK WE RECOGNIZED AND HONORED OUR NATION'S VETERANS. FOR A FEW YEARS NOW, THE CITY HAS RECOGNIZED VETERANS DAY AS A CITY HOLIDAY. THIS ALLOWS OUR EMPLOYEES TO TAKE TIME OFF TO SPEND WITH THEIR FAMILIES AND ATTEND VETERANS RECOGNITION EVENTS AROUND TOWN. MAYOR AND COUNCIL. WE ARE PROUD TO EMPLOY 168 VETERANS AT THE CITY OF WACO. 10% OF OUR WORKFORCE REPRESENTED ACROSS 18 OF OUR CITY DEPARTMENTS. WE HAVE A SHORT VIDEO SHOWCASING THE NAMES AND DEPARTMENTS OF OUR VETERAN CITY EMPLOYEES. THAT'S FANTASTIC. SO ALSO NEW THIS YEAR, OUR VETERANS ADVISORY BOARD WORKED WITH CITY STAFF TO CREATE A VETERANS RESOURCES PAGE ON THE CITY OF WACO 
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WEBSITE. THAT LINK IS AVAILABLE UNDER THE RESIDENTS TAB OF OUR WEBSITE AND PROVIDES AN OVERVIEW OF LOCAL AND REGIONAL RESOURCES FOR VETERANS AND HIGHLIGHTS OUR CITY OF WACO WORKFORCE, INCLUDING EMPLOYEE AND VETERAN SPOTLIGHT VIDEOS. AT OUR LAST COUNCIL MEETING, WE RECOGNIZED THE TEAM WHO PUT TOGETHER THE HOMECOMING AND DIA DE LOS MUERTOS PARADE FLOATS. 
          AND TODAY, I ALSO WANT TO RECOGNIZE THE TEAM WHO PUT TOGETHER THE CITY FLOAT FOR THE VETERANS DAY PARADE AND HIGHLIGHT THE BEAUTIFUL FLOAT THAT THEY PUT TOGETHER. YEAH. 
          THAT WAS YEAH. FIRST OF ALL, THE THE 168 VETERANS THAT ARE ON WACO STAFF. THANK YOU SO MUCH FOR YOUR SERVICE TO THE NATION AND TO THE CITY NOW, AND USING THOSE SKILLS TO HELP WACO BECOME THE BECOME A CITY TO BELIEVE IN, TO BECOME A GREAT PLACE TO LIVE. AND I APPRECIATE YOUR YOUR WHAT YOU WHAT YOU BRING TO THE TABLE. AND I DIDN'T REALIZE IT WAS THAT 10% OF THE OF OUR TOTAL EMPLOYEES. THAT'S VERY IMPRESSIVE. I LIKE THAT WE ALWAYS TALK ABOUT THEM EVERY YEAR, BUT NOW WE GET THE NAMES. I LOVE THAT, AND AGAIN, I APPRECIATE HEARTFELT APPRECIATION. AND THEN MOVING TO TO TO THE IT WAS IT WAS A GOOD VETERANS DAY CELEBRATION THIS YEAR. IT WAS FUN THIS AND THEN THE TEAM CITY SECRETARY HICKS AND YOU LEAD THIS CHARGE DON'T YOU ON GETTING THIS ALL READY FOR EVERYBODY. I KNOW YOU'RE UP AT LIKE 2:00 IN THE MORNING PUTTING STUFF TOGETHER. SO ANYWAY, THANK YOU. AND AND THEN THE TEAM THAT ACTUALLY BUILT THIS TRAILER FOR US AND I THINK I SAID IT LAST WEEK, IT'S VERY IT'S VERY EFFICIENT ON CANDY DELIVERY TO THE TO THE CROWD HERE. WE'VE GOT WE'VE GOT OUTDOOR OUTSIDE LITTLE BASKET PLACES AND MAKES IT A LOT OF FUN. ALLOWS US TO KIND OF WALK AROUND AND BE ABLE TO INTERACT WITH THE CROWD WHILE FOLKS ARE DELIVERING THE CANDY. BUT YEAH, JUST THE VETERANS PARADE. 
          THAT'S ONE OF MY FAVORITE BECAUSE YOU GET TO AGAIN, WE MOST OF US KIND OF WALK ALONG BEHIND THE FLOAT, AND I GET THE OPPORTUNITY TO TALK TO THE VETERANS THAT ARE THAT ARE ALONGSIDE AND THE KIDS. IT'S ALWAYS ALL THESE PARADES ARE FUN. BUT THAT ONE IS THIS ONE IN PARTICULAR IS ALWAYS PRETTY, PRETTY COOL TALKING TO THE VETS. YEAH, MAYOR, I'LL JUST ADD TO THOSE COMMENTS. GRATEFUL FOR THE SERVICE OF ALL OF OUR CITY EMPLOYEE VETERANS, TO THE CITY AND TO TO OUR NATION. AS THE MAYOR SAID, REALLY APPRECIATE THE WORK OF OUR CITY SECRETARY. 
          THE WORK OF ASHLEY NYSTROM AND BRADLEY FORD AND OTHERS IN MAKING THE VETERANS ADVISORY BOARD A SUCCESS. AND THE AND THE BANNER PROGRAM, WHICH WAS MORE KIND OF FULLY IMPLEMENTED THIS YEAR, HIGHLIGHTING THOSE IN OUR COMMUNITY WHO HAVE SERVED. I KNOW IT LOOKED GOOD IN THE PARADE, GOING DOWN THERE AND SEEING THE BANNERS OF OUR LOVED ONES UP ON THE THE LAMPPOSTS ON AUSTIN AVENUE. SO THANKS TO ALL WHO MADE THAT HAPPEN TO OUR CITIZENS WHO SERVE ON THE VETERANS ADVISORY BOARD, AND TO ALL OUR GOOD STAFF MEMBERS WHO ARE VETERANS OR LOVED ONES OF VETERANS THAT MADE THAT HAPPEN. SO GRATEFUL FOR ALL OF Y'ALL. I'LL JUST CHIME IN HERE AND SAY THAT I LOVE SEEING JUST THE, I GUESS, HOW WIDE REACHING IN SERVICE TO OUR CITY, OUR VETERAN POPULATION IS. YOU SEE IT ACROSS BASICALLY EVERY CITY DEPARTMENT IN LARGE NUMBERS. AND I THINK, YOU KNOW, GENERALLY, AT LEAST FOR ME, IT'S EASY TO ASSOCIATE, OH, WE HAVE A LARGE VETERAN POPULATION THAT WORKS AT THE CITY. THERE'S PROBABLY AN OVERINDEXING OF FOLKS, THE POLICE DEPARTMENT, TO CONTINUE TO CALL THE SERVICE IN THAT WAY. BUT I THINK IT'S REALLY GREAT TO SEE IT SORT OF LISTED OUT AND SEE THE DIFFERENT WAYS THAT VETERANS ARE CONTINUING TO USE THE SKILLS THAT THEY'VE HONED IN OUR NATION'S ARMED SERVICES TO BETTER THE COMMUNITIES THAT THEY'RE A PART OF. AND BOTH MY PARENTS ARE VETS, AND I JUST WOULD HEAR ALL THE TIME ABOUT FOLKS THAT THEY WORKED WITH OR THEMSELVES THAT MANNED SO MANY THINGS THAT YOU LEARN IN THE SERVICE CAN'T BE PUT ON A RESUME, BUT ARE SO VITAL TO THE FUNCTIONS OF THE ORGANIZATIONS THAT YOU'RE GOING TO FIND YOURSELF IN. SO IF YOU'RE AN EMPLOYER OUT THERE LISTENING, TAKE A CHANCE. HIRE A VET. 
          THERE'S LESS OF A CHANCE THAN YOU WOULD EXPECT, BECAUSE I WOULD IMAGINE THAT THEY HAVE DONE FAR MORE THAN YOU'RE GOING TO BE ASKING THEM TO DO IN THEIR PREVIOUS CAREER. THANK YOU. THERE ARE TWO INFORMAL REPORTS TODAY. INFORMAL REPORT 2025 819 COVERS EROSION CONTROL EFFORTS ALONG THE BANKS OF THE BRAZOS AT THE CENTRAL WASTEWATER TREATMENT PLANT, AND STAFF IS AVAILABLE FOR ANY QUESTIONS ON THIS IR. NEXT, I WOULD LIKE FOR ASSISTANT CITY MANAGER AND CHIEF FINANCIAL OFFICER BLUE TO COVER INFORMAL REPORT 2025 820 ON THE TEXAS MUNICIPAL RETIREMENT SYSTEM AND THE CITY OF WACO'S TMRS PLAN. ALL RIGHT. THANK YOU. MR. MAYOR. 
          COUNCIL, GOOD TO BE WITH YOU VERY QUICKLY ON THIS IR. WE BROUGHT THIS TO YOU IN RESPONSE TO A COUNCIL MEMBER'S REQUEST TO EXPLORE ENHANCED COLA OPTIONS FOR OUR RETIREES. THOSE 
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BENEFITS, SPECIFICALLY, WHAT HAS BEEN BROUGHT UP LATELY TO TO THIS THIS COUNCIL IS THE 70% RETROACTIVE COLA OPTION. WHAT THAT WOULD MEAN FOR THE CITY AS A WHOLE. OVERALL, THE THE INFORMAL REPORT IS, IS VERY DETAILED, VERY COMPLEX BECAUSE THIS IS A DEEP, COMPLEX TOPIC. 
          HAPPY TO ANSWER ANY QUESTIONS THAT YOU HAVE ON THE REPORT ITSELF, BUT JUST HIGHLIGHTING A FEW KEY KEY POINTS TO THIS. YOU KNOW, OUR FUND RIGHT NOW, THE PENSION PLAN IS PRETTY WELL FUNDED AT 86.83% FUNDED RATIO. THAT MEANS WE ARE STILL RUNNING A SLIGHT DEFICIT. THAT DEFICIT IS AMORTIZED OUT OVER 20 YEARS, WHICH THEN GETS US TO OUR EMPLOYER CONTRIBUTION. WHAT THE CITY HAS TO PUT INTO THE PENSION PLAN IN ORDER TO TO MAKE THAT TO START GEARING OUR PLAN TOWARDS 100% FUNDED. SO THIS THIS YEAR, THE ADOPTED BUDGET KEEPS THE 30% NON RETROACTIVE COLA OPTION IN PLACE THAT WAS ADOPTED BY THIS COUNCIL IN 2023. FOR THE FISCAL YEAR 24, THE PLAN YEAR 24, WHEN THE THE RETIREES WOULD HAVE SEEN THAT FIRST COLA ENHANCEMENT IN THEIR PENSION CHECKS. OVERALL FOR THIS YEAR, OUR EMPLOYEES AT THAT 2 TO 1 MATCH THAT THE CITY PROVIDES ARE GOING TO CONTRIBUTE ABOUT $9.1 MILLION, WHERE THE CITY IS GOING TO MAKE UP THE REST OF THAT AND CONTRIBUTE ABOUT $23.6 MILLION. THAT'S UNDER THE CURRENT PLAN. MAYOR COUNCIL THERE. THERE ARE FIVE OPTIONS THAT TMRS GAVE US THIS YEAR. 
          OPTIONS ONE THROUGH FIVE ARE LISTED UP THERE. AND AS YOU CAN SEE, WHAT THE WHAT THE DIFFERENT PLANS WOULD DO TO US AS FAR AS WHAT THE CITY WOULD HAVE TO MAKE UP IN THOSE CONTRIBUTIONS IF WE WENT WITH THOSE OPTIONS. TWO AND FOUR ARE SHADED IN GRAY BECAUSE WE WANT TO HIGHLIGHT THOSE. SPECIFICALLY. THOSE WERE ENHANCEMENT OPTIONS THAT WERE PROVIDED THREE YEARS AGO THROUGH STATE LEGISLATURE. LEGISLATIVE ACTION ALLOWED NON RETROACTIVE COLA OPTIONS TO BE TO BE ADOPTED THAT SUNSETS ON DECEMBER 31ST OF THIS YEAR. SO IF WE WERE GOING TO ADOPT ONE OF ONE OF THE TWO IN GRAY OPTIONS, 2 OR 4, WHICH IS THE 50% OR 70% NON RETROACTIVE COLA OPTION, THAT WOULD HAVE TO BE DONE BEFORE DECEMBER 31ST, 2025. 
          THE OTHER OPTIONS WILL REMAIN AVAILABLE TO US AFTER DECEMBER 31ST, BUT WHAT WE WANT TO POINT OUT IN THIS IS, YOU KNOW, AT THE THE VERY LEAST, ANY CITY CONTRIBUTION, ANY PLAN ENHANCEMENT, THE CITY CONTRIBUTION WOULD, WOULD ADJUST BY 3.1 UP TO THAT 10.9, ALMOST $11 MILLION INITIALLY, AND THEN THAT LEVEL OF CONTRIBUTION WOULD CARRY FORWARD BUT WOULD LIKELY INCREASE EVERY SINGLE YEAR AFTER THIS. SO IT'S NOT JUST A ONE TIME INFLUX OF MONEY. IT'S IT'S GOING TO BE A CONTINUED FUNDING LEVEL FOR US. AS WE LOOK AT THESE CONTRIBUTIONS, THE EMPLOYER CONTRIBUTIONS, WHAT THE CITY HAS TO PUT IN. 
          ONE THING THAT WE WANT TO MAKE YOU AWARE OF IS THAT 86% OF THAT NUMBER, BECAUSE OF WHERE THE EMPLOYEES WORK AND WHERE THOSE EMPLOYEES ARE PAID OUT OF 86% WOULD HIT THE GENERAL FUND. 
          ALL RIGHT. SO WHEN WE'RE LOOKING AT THOSE CONTRIBUTION INCREASES, THAT 86% OF EITHER 3.1, UP TO THAT 10.9 LEVEL ARE GOING TO COMPETE AGAINST THE OTHER SERVICES THAT WE PROVIDE WITHIN THAT FUND. SO GENERAL FUND, YOU KNOW, YOU THINK YOUR YOUR PUBLIC SAFETY WITH WITH POLICE, YOUR FIRE, YOUR STREETS AND STREET MAINTENANCE, YOUR PARKS AND THEN JUST GENERAL ADMINISTRATIVE WORK THAT THAT'S WHERE WE WOULD HAVE TO FIND THE MONEY FOR THESE CONTRIBUTION INCREASES. MAYOR, COUNCIL, WHATEVER IS DECIDED, YOU KNOW, THE CITY IS HERE TO SUPPORT. WE WILL GO FORWARD WITH WHATEVER PLAN OPTION. BUT WE WANTED TO BRING THIS BACK UP TO YOU, TO YOU IN RESPONSE TO TO THAT CITY COUNCIL MEMBERS REQUEST. AND I'LL TAKE ANY QUESTIONS THAT YOU HAVE, ANY QUESTIONS FOR BLUE COMMENTS? HEY BLUE. YES, SIR. THANK YOU FOR YOUR SERVICE. 
          JUST GOING BACK TO THE THE LAST THINGS, OBVIOUSLY WE ALL COUNCIL KNOW THAT YOU SERVED, BUT I DID ALSO SEE YOUR NAME WITH THE TINIEST FONT EVER FOR YOUR DUAL TITLES. THERE IN THE CREDITS THAT RAN WE GOT TO GET BLUE A MORE CONDENSED TITLE SO WE DON'T HAVE TO SQUINT TO READ IT WHEN IT COMES BY IN THE CREDITS. SO JUST TO HAVE A COUPLE QUESTIONS HERE IN IN 
          [00:20:01]
TERMS OF PROVIDING CLARIFICATION, THE PRIOR SERVICE COST RATE, THAT SEEMS TO BE THE ONE THAT FLUCTUATES THE MOST SORT OF ACROSS THE OPTIONS THERE. WHAT ALL GOES INTO THAT THAT THAT NUMBER, THE PRIOR SERVICE COST RATE IS THE ONE THAT IS GOING TO BE MOST IMPACTED BY ANY PLANNED BENEFIT CHANGE. SO WE NEED TIME THAT YOU HAVE THAT PLANNED BENEFIT CHANGE. THAT'S THE ONE THAT'S GOING TO BE AFFECTED MOST, BECAUSE YOU'RE LOOKING AT EVERYTHING THAT HAS HAPPENED PRIOR TO THAT POINT. AND I KNOW THAT IT KIND OF GETS A LITTLE CONFUSING IN THE PRIOR SERVICE CREDIT RATE, BUT EVERYTHING LEADING UP TO THAT POINT, EVERYTHING THAT YOU WOULD HAVE HAD TO PAY. GOES INTO THE PRIOR SERVICE COST RATE. SO THAT'S WHERE THE THE ENHANCEMENT, THE THE INCREASE TO THE TO THE PENSIONERS PAYCHECKS WOULD COME THROUGH THAT RATE. GOTCHA. THAT IS ALSO USED FOR ANY AMORTIZATION TYPE ADJUSTMENTS THAT HAVE TO BE MADE WHEN ASSUMPTIONS ARE MADE TO CALCULATE THESE RATES. IF WE GO OVER OR UNDER THOSE, THAT DIFFERENCE WILL HIT THAT PRIOR SERVICE COST RATE, ANY ANY INVESTMENT, EARNINGS, GAINS OR LOSSES THAT THAT DIFFERENCE WILL WILL GO INTO THAT PRIOR SERVICE COST. SO IT'S A CATCH ALL BUCKET. BUT WHAT YOU'RE GOING TO SEE IF WE IF WE INCREASE, YOU KNOW, THIS 30% TO 50 OR 70. THAT'S WHERE YOU'RE GOING TO SEE THE THE MOST IMPACT TO THIS. AND THAT'S WHY YOU'RE SEEING IT ON THIS SCREEN. THE NORMAL COST RATE ONLY LOOKS AT WHAT'S CURRENTLY IN THIS THIS PLAN HERE. GOTCHA. THANKS FOR THAT. AND THEN SECOND, SO THE THE CURRENT PLAN TOTAL CONTRIBUTION EMPLOYEE AND CITY. THAT'S THAT 32,000,006 FIVE THE THE EMPLOYER CONTRIBUTION I'M ASSUMING THAT IS CITY OF WACO AT 23 FIVE. WHERE DOES THAT POOL OF FUNDS CURRENTLY COME FROM? THAT 23.6 MILLION FOR THE CITY CONTRIBUTION COMES FROM THE CITY FOR FROM WHATEVER FUND THEY'RE OUT OF. SO THE GENERAL FUND, IT'S ALL THE REVENUES OF THE CITY GENERAL FUND. SO YOU THINK YOUR PROPERTY TAX SALES TAX, ANY MUNICIPAL CITATIONS, PERMITS, ALL OF THOSE GO INTO OUR TOTAL FUNDING PACKAGE. THIS IS ONE OF THE EXPENSES THAT WE HAVE TO PAY WITH ALL OF THOSE REVENUES FOR THE OTHER 14% THAT ARE IN WATER AND WASTEWATER, THOSE EMPLOYEES, YOU KNOW, THAT'LL COME OUT OF THE CHARGES FOR THOSE SERVICES. GOTCHA. 
          THAT'S SUPER HELPFUL. THAT WOULD BE THE ONLY QUESTIONS I HAD. A QUICK QUESTION. SO NOT TAKING INTO ACCOUNT ANY POTENTIAL CHANGE, WE ARE FUNDED TO 86 POINT SOMETHING PERCENT. 
          AND AS I UNDERSTAND WHAT YOU'RE SAYING, TMRS HAS A FORMULA ESSENTIALLY TO MOVE US TO 100% OVER 20 YEARS, OVER 20 YEAR AMORTIZATION PERIOD. SO OUR COST ON THE EMPLOYER CONTRIBUTION, REGARDLESS OF ANYTHING ELSE, ARE GOING UP SIMPLY BECAUSE OF THAT, NOT COUNTING ANYTHING ELSE, NOT DOING ANYTHING ELSE. RIGHT NOW, THE CITY IS A 2 TO 1 MATCH, SO THE THE EMPLOYEE IS REQUIRED TO DO TO TO CONTRIBUTE 7%. THAT MEANS THE THE EMPLOYER IS REQUIRED TO DO 14% TOWARDS TMRS. HOWEVER, YOU CAN SEE OUR OUR REQUIRED CONTRIBUTION RIGHT NOW AT THAT 18.13%. THAT'S BECAUSE WE HAVE THAT LIABILITY OUT THERE. SO THE CITY HAS HAVE TO CONTRIBUTE OVER THAT, THAT 14% MARK TO MAKE UP THE DIFFERENCE, TO TRY TO GET US TO THAT FULLY AMORTIZED, AMORTIZED BY 20 YEARS. GOTCHA. THANK YOU. AND JUST TO PIGGYBACK ON THAT, I LIED. I'M NOT DONE THE JUST BECAUSE IT'S THE FIRST ONE. OPTION ONE. YOU KNOW THE 6.1 INCREASE FROM CURRENT UP TO 38 MILLION TOTAL FROM 32,000,032 SIX. THAT WOULD BE IN PERPETUITY GOING FORWARD WITH THE EXPECTATION THAT THAT WOULD INCREASE TO LEVEL OUT WITH THE AMORTIZATION. RIGHT. AND I DID ASK ABOUT WHAT WHAT KIND OF INCREASE THAT WOULD BE YEAR OVER YEAR, BUT WITHOUT RUNNING A FULL ACTUARIAL STUDY, COULD NOT TELL ME. BUT WHAT THEY DID GIVE ME WAS AN ESTIMATE. YOU KNOW, IF WE'RE CONTRIBUTING 29 POINT THAT 620 9.7 IN OPTION ONE, THAT WOULD LIKELY GO UP TO ABOUT 30 MILLION NEXT YEAR, 30.1 MILLION SOMEWHERE AROUND THERE. YEAH. ALL RIGHT. WELL, I APPRECIATE IT. I WANT TO SPEAK FOR THE REST OF COUNCIL. BUT I DO THINK, YOU KNOW, WE DO THIS WITH CIP WHERE WHEN WE'RE PRESENTING, YOU KNOW, THE THE UPCOMING COSTS THAT WE CAN EXPECT. HEY, THIS IS GOING TO COME AT THE EXPENSE OF X OR Y. 
          [00:25:05]
AND IF AT ANY POINT IN THE RELATIVELY NEAR FUTURE I DO NOT ANTICIPATE, AT LEAST I DON'T FEEL COMFORTABLE JUMPING INTO TO ONE OF THE TWO THAT WOULD END AT THE END OF THIS CALENDAR YEAR. THAT THAT'S VERY THAT'S A VERY CONDENSED TIMELINE TO SORT OF START LOOKING AT THE BUDGET AND PULLING THINGS OUT AS APPROVED. SO BUT IN THE NEAR FUTURE, I WOULD LOVE AN OPPORTUNITY WITH ONE OF THE OPTIONS THAT WILL REMAIN THAT THE LEGISLATURE ALLOWS TO REMAIN ONE, 3 OR 5 TO SAY, HEY, IF WE'RE GOING TO INCREASE THIS 6 MILLION WITH REASONABLE EXPECTATION, IT COULD FLUCTUATE UP TO EIGHT, OR, YOU KNOW, FOR THE NEXT HOWEVER MANY YEARS. 
          HERE'S WHAT THAT WOULD COME AT THE EXPENSE OF, SIMILAR TO HOW WE WOULD DO IT FOR FOR CIP OR DURING OUR BUDGET RETREATS. ABSOLUTELY. COUNCIL MEMBER, AS WE'RE PREPARING NEXT YEAR'S BUDGET, YOU KNOW THAT THAT WILL START IN A COUPLE OF COUPLE OF MONTHS. YEAH, IT NEVER REALLY STOPS. IT NEVER REALLY STOPS. BUT HARD TO BELIEVE WE'RE ALREADY THERE. BUT THAT IS SOMETHING WE'LL WE'LL TAKE INTO ACCOUNT. WE'LL START LOOKING THROUGH AND PROVIDE YOU OPTIONS. 
          YEAH. ANY OTHER COMMENTS? I'LL JUST MY INPUT ON THIS IS WHEN THERE WAS A TIME WHEN WE WERE HAVING TO MAKE A DECISION OF SOME TOUGH FINANCIAL TIMES IN WACO, WHEN IT WAS DECIDED TO TAKE OFF THE THE THE COLA 12, 15 YEARS AGO, WHENEVER THAT WAS, THREE YEARS AGO, WE DECIDED TO PUT AND AGAIN, ALL THE NUMBERS AND THE OPTIONS SORT OF GETS BLURRY TO ME. I LOOK AT THAT NUMBER OF WHAT IS IT COSTING OUR BUDGET AND WE PUT IN, I THINK IT WAS ABOUT THREE AND A HALF, 3.7, SOMETHING LIKE THAT, THAT INCREASED OUR ANNUAL BUDGET RECURRING. THIS ISN'T ALWAYS JUST LIKE A ONE TIME, HEY, I WANT TO HELP OUT. LET'S PUT IN HALF A MILLION, A MILLION, 3 MILLION, WHATEVER. THIS IS A DECISION WE'RE MAKING FOR FUTURE BUDGETS AND FUTURE COUNCILS, YOU KNOW, FOR THE NEXT 50 YEARS OR WHATEVER. SO WE DON'T TAKE IT LIGHTLY BECAUSE THESE ARE DECISIONS WE NEED TO MAKE, ALONG WITH STREETS, YOU KNOW, AND SERVICES AND INFRASTRUCTURE AND EVERYTHING ELSE. SO THIS THESE ARE TOUGH DECISIONS BECAUSE WE LIKE WE LIKE LIKE I SAY, WE VALUE OUR EMPLOYEES. AND AND SO THIS IS TOUGH WHEN WE HAVE TO KIND OF SAY, WELL, WE CAN'T GIVE YOU EVERYTHING YOU WANT. BUT WE WE DID STEP FORWARD THREE YEARS AGO AND PUMPED 3.5 MILLION A YEAR. I DON'T KNOW WHAT THAT'S UP TO NOW. THAT WAS ZERO. SO AND THERE'S THE 2 TO 1 MATCH HERE TOO. AND I'M NOT SAYING EVERYBODY GETS WHAT THEY WANT EVERY TIME. BUT AGAIN JUST A LOT TO CONSIDER. AND WE DID THAT. THE CITY WAS GROWING AT A PRETTY HEALTHY RATE. I THINK IT WAS 1213 AND WE'RE STILL GROWING AT A HEALTHY RATE, BUT IT'S 4 OR 5 SIX AND IT'S HARDER TO MAKE THESE KIND OF DECISIONS, PARTICULARLY WHEN WE'RE COMMITTING FUTURE YEARS TO TO THIS RECURRING KIND OF A SITUATION. SO ANYWAY, I APPRECIATE STAFF BRINGING THIS REPORT TOGETHER AND HELPING US THINK ABOUT IT. AND THEN WE'LL WE'LL BE TALKING ABOUT IT IN THE NEXT BUDGET CYCLE AS WELL. AS COUNCIL MEMBER EWING MENTIONED, SIR. THANKS, BLUE. THANK YOU. THANK YOU. BLUE. WE THERE ARE EIGHT PUBLIC HEARINGS TODAY. THE DIRECTOR OF DEVELOPMENT SERVICES, CLINT PETERS, RECOVERED THOSE LATER IN THE WORK SESSION. MAYBE. DEPENDING ON HOW THE TIME GOES. THE CONSENT AGENDA INCLUDES 22 RESOLUTIONS. I DO WANT TO HIGHLIGHT A COUPLE OF THOSE. RESOLUTION 2025 827 PROPOSES A CITY ARTWORK ACQUISITION POLICY TO FORMALIZE THE PROCESS BY WHICH ARTWORK PROPOSALS ARE REVIEWED AND ACCEPTED BY THE CITY. THE CITY HAS A LONG HISTORY OF SUCCESSFUL PUBLIC ART PROJECTS. PREVIOUSLY, THE CITY HAS ACCEPTED PUBLIC ART PROJECTS UNDER THE CITY'S PURCHASING AND DONATION POLICIES. THIS ARTWORK ACQUISITION POLICY CREATES UNIFORM PROCEDURES AND CONSISTENT REVIEW CRITERIA ACROSS ALL PUBLIC ART PROJECTS, WITH THE GOAL OF STRENGTHENING OUR COLLABORATION WITH THE LOCAL AND REGIONAL ARTS COMMUNITY. THIS POLICY WAS REVIEWED AT THE OCTOBER 28TH BOARDS AND COMMISSIONS COMMITTEE MEETING AND CONSIDERED, ALONGSIDE RESTRUCTURING RECOMMENDATIONS, TO CONVERT THE PUBLIC ARTS ADVISORY COMMITTEE TO THE ARTS AND CULTURAL COMMISSION ORDINANCE 2025 854. ON TONIGHT'S AGENDA CONSIDERS THE RECOMMENDED CHANGES TO THE ARTS AND CULTURE COMMISSION. I'D ALSO LIKE TO HIGHLIGHT RESOLUTIONS 839, 840 AND 842, WHICH CONTINUE THE CITY COUNCIL'S COMMITMENT TO OUR BETTER STREETS PROGRAM BY AWARDING OVER $5 MILLION IN CONTRACTS FOR STREET MAINTENANCE. RESOLUTIONS 839 AND 840 AWARDED AWARD A COMBINED $1.7 MILLION TO MARSH COMPANY FOR CONCRETE WORK, CURBS, GUTTERS, DRIVE APPROACHES, RAMPS, ETC. ON 61 STREET SEGMENTS IN COUNCIL DISTRICTS ONE AND TWO. AFTER THE COMPLETION OF THIS WORK IN LATE SUMMER TO FALL OF 2026, PAVING WORK ON THESE STREETS WILL FOLLOW. RESOLUTION 842 AWARDS A CONTRACT TO BENNETT, 
          [00:30:02]
PAVING TO MILL AND OVERLAY 14.5 LANE MILES IN COUNCIL DISTRICT THREE, IMPROVING THE PAVING ON 20 STREET SEGMENTS IN THAT DISTRICT. COMPLETION IS EXPECTED IN MARCH OF 2027. 
          RESOLUTION 2025 845 AWARDS A CONTRACT TO FAME GROUP FOR IMPROVEMENTS TO THE RIVERWALK. 
          FROM CLAY AVENUE TO BAYLOR LAW SCHOOL. THE PROJECT IS THE FINAL PUBLIC PROJECT THE CITY COMMITTED TO CONSTRUCT IN SUPPORT OF BAYLOR UNIVERSITY'S CONSTRUCTION OF THE NEW FOSTER PAVILION. STAFF RECOMMENDS A TOTAL OF 25.96 MILLION IN IMPROVEMENTS, CONSISTING OF A NEW WALKWAY AND A HISTORICAL AND INFORMATIONAL HOMAGE TO HISTORIC SANDTOWN AS THE BASE BID, PLUS NUMEROUS ALTERNATES TO INCLUDE A BRIDGE OVER THE COVE COVE FOUNTAIN, LOWER WALKWAY, LIMESTONE FINISHES AT THE I-35 BRIDGE, AND FULL PLANTING AND IRRIGATION. 
          COMPLETION OF THE PROJECT IS ANTICIPATED IN DECEMBER 2027, AND THEN LASTLY 20. RESOLUTION 2025 846 APPROVES APPROXIMATELY $4.4 MILLION FOR THE PURCHASE OF APPROXIMATELY 301 ACRES OF LAND SURROUNDING THE CITY'S LARGEST WASTEWATER TREATMENT PLANT, THE CENTRAL WASTEWATER TREATMENT PLANT, AT 1147 TREATMENT PLANT ROAD. ACQUISITION OF THIS PROPERTY PROVIDES AN OPPORTUNITY FOR FUTURE PLANNED EXPANSION AND AN ADDITIONAL BUFFER AROUND THE CURRENT SITE, WHILE ALSO ELIMINATING THE POSSIBILITY OF PRIVATE DEVELOPMENT OCCURRING ON THIS PROPERTY, WHICH COULD PRESENT CHALLENGES TO BOTH CURRENT AND FUTURE PLANT OPERATIONS. THERE ARE THREE ORDINANCES ON THE AGENDA TODAY TWO FIRST READINGS AND ONE SECOND READING. AND IF THERE ARE NO QUESTIONS THAT WOULD CONCLUDE MY REPORT, ANY QUESTIONS OR COMMENTS, GUYS, I'LL. IT'S WEIRD. I GUESS. GREAT MINDS THINK ALIKE BECAUSE I WAS GOING TO HIGHLIGHT THE SAME THREE THAT YOU ALREADY TALKED ABOUT, BUT I'LL JUST ECHO WHAT YOU SAID ON GOING BACKWARDS. THE RIVERWALK. THAT'S 845 IMPROVEMENTS THAT ARE BOTH PRACTICAL AND FUNCTIONAL, BECAUSE THEY'LL BE KIND OF OUT OF THE FLOOD ZONE WHERE PEOPLE CAN WALK ON THAT RIVERWALK THAT'S SORT OF IN FRONT OF RIGHT NEXT TO THE I-35 AND IN FRONT OF THE FOSTER PAVILION, WHERE IF YOU DO WALK AROUND THE RIVER, THAT GETS THERE'S BEEN A LITTLE BIT OF RAIN. IT'S KIND OF YOU CAN'T IT'S CLOSED QUITE OFTEN. SO THE NEW IMPROVEMENTS WILL HAVE A RAISED WALKWAY AND A LITTLE BRIDGE AND SOME FOUNTAINS AND SOME LIGHTING. I THINK IT'S JUST GOING TO LOOK REALLY COOL. THE FRONT DOOR TO OUR CITY RIGHT THERE WITH THE WITH THOSE IMPROVEMENTS AND THEY START THE LATER THIS LATER THIS QUARTER OR EARLY FIRST QUARTER OF NEXT YEAR WITH I THINK 18 MONTHS. YOU SAID I THINK IT'S AN 18 MONTH TIME FRAME, 24 MONTHS, SOMETHING IN THERE, BUT REALLY EXCITED ABOUT THAT PROJECT. AND THEN YOU BROUGHT OUT THE THE 5 MILLION. I DID THE SAME EDITION. I HAD IT ALL. IT'S ALL IT CHECKS. IT CHECKS $5 MILLION ON STREETS WE'RE TALKING ABOUT. SO WE'RE YOU SEE A LOT OF WORK AROUND A LOT OF ORANGE CONES AND THEY'RE ALL OVER THE CITY. SO I'M ALWAYS HAPPY TO SEE WHEN WE BRING THOSE TO CONTRACT HERE. THE LAST THING I WAS GOING TO TALK ABOUT WAS THE CHINA SPRING PROJECT, AND I COMMEND STAFF ON DOING SOME VALUE ENGINEERING ON THAT PROJECT. JONATHAN, I SAW YOU OUT THERE. WHERE ARE YOU? YEAH, RIGHT OVER THERE. THANKS FOR HELPING OUT, FIGURING THIS ONE OUT. AND BECAUSE I KNOW THEY WANTED IT'S KIND OF A REGIONAL PARK, A BIGGER NEIGHBORHOOD OUT THERE, CHINA SPRING THAT RESTROOMS SEEM LIKE THE RIGHT THING. AND WE INITIALLY HAD LEFT THAT OUT, BUT WE FIGURED OUT A WAY TO TO JAM IT BACK IN THERE. SO I COMMEND STAFF ON MAKING THAT WORK. BUT YEAH, A LOT OF THE WHOLE CONSENT AGENDA IS CHOCK FULL OF PRETTY COOL PROJECTS THIS THIS WEEK. GOOD STUFF. BUT THAT'S THAT'S ALL I HAD. SO THAT COMPLETES YOUR REPORT THEN, RIGHT, DEPUTY CITY MANAGER? THAT IS CORRECT. OKAY. THEN WE'LL GO ON TO THE CONSENT AGENDA. CONSENT AGENDA INCLUDES 2020 5-8 25 AND RESOLUTION 2020 5-8 26 THROUGH RESOLUTION 2020 5-8 46. ARE THERE ANY ITEMS THE COUNCIL WOULD LIKE TO REMOVE FROM THIS CONSENT AGENDA? NONE. THERE'S NO AFFIDAVITS OF SUBSTANTIAL INTEREST THIS TIME, SO WE VOTE ON THESE AS A WHOLE TONIGHT, AT LEAST AS IT STANDS RIGHT NOW. SO THE CONSENT AGENDA CONSISTS OF 2020 5-8 25 AND RESOLUTION 2020 FIVE. DASH 826 THROUGH 2025 846. THE NEXT ITEM ON THE AGENDA IS WORK SESSION ITEMS 2020 5-8 21 THROUGH 2025. DASH 823 DEPUTY CITY MANAGER EMERSON, CAN YOU PLEASE INTRODUCE THE FIRST WORK SESSION? YES, MAYOR COUNCIL TODAY WILL BE THE COLIN FINANCIAL SHOW. SO COLIN BOOTH, OUR MANAGING DIRECTOR OF FINANCE, WILL LEAD BOTH WORK SESSIONS BEFORE YOU TODAY. FIRST WILL BE WILL THERE BE THE FOURTH QUARTER FINANCIALS. AND THIS WILL COVER THE PERIODS OF OCTOBER 1ST TO SEPTEMBER 30TH. 
          [00:35:04]
GOOD AFTERNOON, MAYOR AND CITY COUNCIL. IT'S NICE TO SEE EVERYONE THIS AFTERNOON. SO THIS IS THE FOURTH QUARTER FINANCIAL REPORT. THESE ARE UNAUDITED NUMBERS. THIS IS 12 MONTHS OF THE FY 25 FISCAL YEAR. SO THESE ARE REVENUES AND EXPENSES THROUGH SEPTEMBER 30TH. 
          WANTED TO GIVE A LITTLE BIT OF A FRAMEWORK AROUND THESE AS WE ARE IN YEAR END PREPARATION. 
          AND WE'VE ALREADY HAD AUDITORS COME IN. WE'VE HAD DISCUSSIONS WITH AUDITORS. AND WE'RE ON TRACK TO PRESENT THE AUDIT TO THE CITY COUNCIL IN FEBRUARY. BUT WHAT I MEAN WITH REGARDS TO THAT IS, IS THAT THESE NUMBERS ARE NOT FINAL BECAUSE WE ARE IN THE AT THE YEAR END PROCESS. 
          WE'RE GOING TO HAVE FINAL PAYMENTS THAT NEED TO BE POSTED TO THE TO THESE DIFFERENT FUNDS. 
          AS WE WRAP UP THE FISCAL YEAR AND INVOICES COME IN, WE'RE ALSO GOING TO HAVE REVENUES THAT COME IN THAT NEED TO BE ACCRUED BACK AS WELL. WE'RE GOING TO HAVE ADJUSTING JOURNAL ENTRIES. SO THESE NUMBERS ARE NOT FINAL BY ANY MEANS, BUT THEY DO GIVE A GOOD BALLPARK OF WHERE WE'RE GOING TO END UP WITH THE FISCAL YEAR. SO WE'RE COVERING OUR TEN MAJOR FINANCIAL FUNDS. AND I DO WANT TO GIVE A SUMMARY OF FISCAL YEAR 2425 AND PROVIDE THE MAYOR AND CITY COUNCIL AND THE PUBLIC WITH SOME IMPORTANT CONTEXT. AS WE END FY 25, YOU'LL SEE IN MANY OF THESE FUNDS THAT WE HAVE STRATEGICALLY AND DELIBERATELY USED RESERVES OR EXCESS FUND BALANCE OVER AND ABOVE OUR 27.5% MINIMUMS. WE'VE USED THOSE STRATEGICALLY AND DELIBERATELY FOR SOME ITEMS THAT I'M GOING TO GET INTO HERE IN A LITTLE BIT. BUT I WANTED TO JUST REMIND MAYOR AND CITY COUNCIL THAT THIS THESE DO NOT INDICATE ANY TYPE OF STRUCTURAL BUDGET ISSUES, BUT THEY DO REFLECT NECESSARY AND APPROPRIATE EXPENSES. AND AGAIN, THESE EXPENSES AND DRAWDOWNS WERE ABOVE OUR MINIMUM FUND BALANCE. SO WHEN WE LOOK AT WHAT WE HAVE PLANNED TO USE THESE RESERVES ON, THEY ARE NECESSARY AND APPROPRIATE ITEMS. WE FUNDED ESSENTIAL CAPITAL PROJECTS, STREET MAINTENANCE, BRIDGE REPAIRS, WATER AND WASTEWATER, AND FIRE SCBA EQUIPMENT. THAT SELF-CONTAINED BREATHING APPARATUS, EQUIPMENT WHICH FIREFIGHTERS USE TO FIGHT FIRES. WE'VE ALSO FUNDED THE CENTRAL FREIGHT PROPERTY ACQUISITION, WHICH WAS A STRATEGIC ACQUISITION AND INVESTMENT FOR LONG TERM OPERATIONAL SUCCESS, AND IT COMBINES SOME DIFFERENT OPERATIONS IN A LOCATION THAT'S MORE CENTRAL IN WACO. SO THAT WAS A STRATEGIC PURPOSE THERE, PURCHASED THERE. AND WE ALSO MADE CONSCIOUS DECISIONS TO INVEST IN THE COMMUNITY'S INFRASTRUCTURE, SAFETY APPARATUS AND OUR OPERATIONAL FUTURE. SO WHY WAS THIS YEAR DIFFERENT? SO WE HAD CRITICAL INFRASTRUCTURE TIMING, STREET AND BRIDGE PROJECTS FUNDED. WE'RE AT A POINT WHERE FURTHER DELAYS COULD HAVE RESULTED IN EXPONENTIALLY HIGHER COSTS AND POTENTIAL SAFETY CONCERNS. 
          EQUIPMENT LIFE CYCLE REPLACEMENTS FOR OUR FIRE SCBA EQUIPMENT HAD MANDATORY REPLACEMENT NEEDS DRIVEN BY SAFETY CONCERNS WITH THE CURRENT EQUIPMENT, SO WE FELT LIKE THAT WAS IMPORTANT. THE STRATEGIC PROPERTY ACQUISITION, THE CENTRAL FREIGHT OPPORTUNITY FOR PURCHASE WAS TIME SENSITIVE AND ALIGNED PERFECTLY WITH OUR LONG TERM FACILITIES PLANNING THAT WILL CONSOLIDATE AGAIN OUR FIELD OPERATIONS INTO THE HEART OF WACO AND THE SERVICE AREA. 
          OUR OPERATING FINANCIAL RESULTS. THE GENERAL FUND REVENUES ENDED AT 4.2 MILLION OVER BUDGET, PRIMARILY DUE TO HIGHER THAN EXPECTED SALES TAXES AND INVESTMENT EARNINGS, WHILE EXPENSES CAME IN UNDER BUDGET BY $677,000. I'LL GET INTO THIS MORE DETAIL IN A FUTURE SLIDE, BUT IT GIVES US A NET RESULT OF 3.5 MILLION FAVORABILITY TO BUDGET OUR STRATEGIC DECISION MAKING, RATHER THAN DEFER THESE CRITICAL NEEDS OR MISS STRATEGIC OPPORTUNITIES, WE MADE THE PRUDENT DECISION TO USE RESERVES AND EXCESS FUND BALANCE FOR THEIR INTENDED PURPOSES. AND THEN FINALLY, SOME MORE CONTEXT AS WELL. SOME OF OUR FINANCIAL INDICATORS ARE IN A GOOD SPOT. SO OUR GENERAL FUND RESERVE BALANCE STILL EXCEEDS OUR POLICY MINIMUMS. OUR WATER AND WASTEWATER AS WELL EXCEED THOSE POLICY MINIMUMS. WE MAINTAIN STRONG BOND RATINGS THAT REFLECT OUR FISCAL DISCIPLINE AND SOUND MANAGEMENT PRACTICES. AND THEN THE USE OF RESERVES WAS LARGELY FOR CAPITAL INVESTMENT THAT EXTENDS ASSET LIFE AND PREVENTS MORE COSTLY EMERGENCY REPAIRS AND FULL SCALE REPLACEMENT AND RECONSTRUCTION OUT INTO THE FUTURE. SO AGAIN, JUST WANTED TO PROVIDE SOME CONTEXT AS WE ARE LOOKING AT THESE NUMBERS AND WE HAVE USED THESE REVENUES AND EXPENSES TO DRAW DOWN SOME OF THIS FUND BALANCE FOR SOME 
          [00:40:04]
OF THESE CRITICALLY NEEDED ITEMS. SO LOOKING AT THE GENERAL FUND, WE'RE GOING TO START OUT WITH LOOKING AT TOTAL BUDGETED REVENUES, EXCLUDING THE TRANSFERS FROM SURPLUS ACCOUNT. AND AGAIN JUST THAT TRANSFERS FROM SURPLUS ACCOUNT IS JUST OUR RECOGNITION OF USING FUND BALANCE. SO WE HAD 203.3 MILLION VERSUS COLLECTIONS OF 207.4. SO THAT'S A POSITIVE VARIANCE IN THE GENERAL FUND OF $4.2 MILLION. OUR THREE LARGEST POSITIVE VARIANCES WERE SALES TAXES, INTERGOVERNMENTAL REVENUES, WHICH ARE GRANT REVENUES AND INTEREST INCOME AT 3.9 MILLION, 1.2 MILLION AND 1.4 MILLION, RESPECTIVELY. THESE POSITIVE VARIANCES WERE OFFSET BY LOWER THAN ANTICIPATED COLLECTIONS IN FRANCHISE FEES DUE TO ELECTRICITY, NATURAL GAS, CABLE AND PHONE. RIGHT OF WAYS. WE ARE STILL GETTING SOME OF THOSE PAYMENTS IN, SO SOME OF THOSE WILL BE ACCRUED BACK AND THEY'LL RESULT IN A LITTLE BIT HIGHER NUMBERS THAN YOU SEE HERE ON THE REVENUE SIDE. ALSO, PROPERTY TAX COLLECTIONS WERE LOWER THAN BUDGET. I'VE TALKED ABOUT THAT AT PREVIOUS PRESENTATIONS. AND I WILL SHOW YOU THAT ON THE NEXT SLIDE. EXPENDITURES ARE TOTAL BUDGETED. EXPENDITURES WERE 225.1 MILLION VERSUS ACTUAL OF 224.5. OUR LARGEST NEGATIVE VARIANCES WERE DUE TO THE SALARIES AND WAGES AND EMPLOYEE BENEFITS CATEGORY, WHICH IS, AS YOU CAN SEE, BY FAR OUR LARGEST CATEGORIES. SO SOME OF THE OVERAGES WERE DUE TO WE BUDGETED FOR SALARY SAVINGS FOR THE FIRST TIME IN FY 25. TYPICALLY WE BUDGET AT FULL COST FOR FOR SALARIES AND BENEFITS PAYMENT, BUT THEN WE HAVE TURNOVER IN THE YEAR WHICH RESULTS IN SAVINGS. BUT WHEN WE BUDGETED FOR FY 25, WE ACTUALLY BUDGETED AN OFFSET AND WE HAD LOWER THAN ANTICIPATED TURNOVER. WE ALSO HAD SOME HIGHER EXPENSES IN THE FIRE DEPARTMENT. BUT SOME OF THOSE EXPENSES WERE DUE WERE COVERED BY REVENUES FROM THE STATE FOR REIMBURSEMENTS FOR DEPLOYMENTS. SO WHEN I MENTIONED THAT INTERGOVERNMENTAL REVENUE WAS HIGHER THAN ANTICIPATED REVENUE, SOME OF THAT WAS THE STATE MONEY COMING BACK IN FOR DEPLOYMENTS THAT OFFSET SOME OF THOSE HIGHER COSTS FOR THE FIRE DEPARTMENT. WE ALSO HAD SOME GRANTS THAT WERE OVER BUDGET, PRIMARILY DUE TO THE PAYMENT TO TSTC FOR THE INDUSTRIAL TRAINING CENTER, WHICH WAS A PRIOR APPROVED AGREEMENT WITH TSTC. AND THEN WE HAD SOME UNBUDGETED PAYMENTS FOR BUSINESS GRANTS THAT WE OWED THEM ON A REIMBURSEMENT BASIS. SO IMPACT ON FUND BALANCE. RIGHT NOW, WE'RE LOOKING AT AN APPROXIMATE $17 MILLION DRAWDOWN FOR FUND BALANCE. AND I DO WANT TO NOTE AT THE VERY BOTTOM OF YOUR SLIDE UP HERE, YOU CAN SEE THAT THE ESTIMATED UNASSIGNED FUND BALANCE, AGAIN THIS IS JUST A PROJECTION. AND IT'S GOING TO CHANGE AS WE CLOSE OUT THE FISCAL YEAR. BUT WE'RE LOOKING AT 62.481 MILLION OF UNASSIGNED FUND BALANCE AT THE GENERAL FUND. THAT'S STILL ABOVE OUR MINIMUM POLICY RESERVE BY ABOUT $6.5 MILLION. SO WE HAVE NOT GONE UNDER THAT 27.5 POLICY RESERVE AMOUNT. SO THAT'S WHEN I SAY EXCESS FUND BALANCES. THEY WERE TRULY EXCESS FUND BALANCES AND NOT DIPPING BELOW THAT MINIMUM POLICY RESERVE. BEFORE I TRANSITION OVER TO THE WATER FUND, ARE THERE ANY QUESTIONS ABOUT THE GENERAL FUND? YEAH COLLIN GOOD PRESENTATION HERE SO FAR. THE YEAH THIS I THINK THE STORY HERE IS THE SALES TAX IS LIKE $4 MILLION HIGHER THAN OUR $56 MILLION PROJECTION, WHICH IS AMAZING. AND THAT REMIND ME WHAT DID WE BUDGET FOR. THE BUDGET WE JUST DID I WAS GOING TO GO BACK AND LOOK AT IT, BUT WAS IT 60? I DON'T THINK WE BUDGETED 60 FOR 20. I DON'T I DON'T THINK WE I DON'T THINK WE DID EITHER. I DON'T HAVE THAT JUST OFF THE TOP OF MY HEAD, BUT I CAN DEFINITELY GET IT FOR YOU. I KNOW WE WERE A BIT MORE CONSERVATIVE ON THE SALES TAX, SO I BELIEVE IT WAS LESS THAN THE 60. I THINK IT WAS LESS THAN 60. I'M GOING TO SAY 57, 58. BUT YEAH, THAT IS THE STAR OF THE SHOW HERE. AS LONG AS WE HAVE AN EXTRA 4 MILLION, HOPEFULLY THAT CONTINUES THAT TREND. BUT WE CAN'T GET OVERLY OPTIMISTIC ABOUT IT. AND I'M GLAD YOU POINTED OUT, BECAUSE I WAS GOING TO ASK THE QUESTION ON THE SALARIES AND WAGES, BUT YOUR EXPLANATION KIND OF HIT IT ON THE INTERGOVERNMENTAL THAT FEDERAL RECEIVABLE THAT WE RECEIVED FOR THE FIRE DEPARTMENT WAS THAT DO YOU REMEMBER HOW BIG THAT WAS? WAS THAT MOST OF THAT 3.6 MILLION OR WAS IT SO I DON'T KNOW THE EXACT NUMBER OFF THE TOP OF MY HEAD, I DON'T THINK IT WAS AS LARGE AS THE THREE POINT. THE 3.6, 3.7 MILLION. SO IT DOESN'T COVER ALL OF IT. BUT I CAN ACTUALLY GET YOU THE DETAIL IF YOU WOULD LIKE. BUT THE A LOT OF NOT ALL OF THE OVERAGES IN FIRE, BUT A LOT OF THEM WERE COVERED BY THOSE THE DEPLOYMENT 
          [00:45:02]
REVENUE THAT WE RECEIVED BACK FROM THE STATE. THAT MAKES SENSE BECAUSE YEAH, I CAN'T IMAGINE WE'VE BEEN 4% OFF ON OUR SALARIES AND WAGES, BUT THAT'S OFFSET BY THAT GRANT. 
          SURE. AND I'M YEAH, THIS I'M GLAD THIS IS A NEW LITTLE LINE AT THE BOTTOM TOO. I LIKE TO SEE THAT OUR UNASSIGNED FUND BALANCE AND THEN WHERE WE ARE EXPLAIN THAT AGAIN. SO OUR OUR KIND OF SELF-IMPOSED RESERVE IS ABOUT 5556 MILLION. IS THAT RIGHT. OKAY OKAY. RIGHT. AND SO WE GOT SIX AND A HALF EXTRA OR HOWEVER YOU WANT TO PUT THAT 27.5% OF REGULAR RECURRING REVENUES EXCLUDING ONE TIME. GOT IT. ALL RIGHT. THAT'S ALL I'VE GOT. OKAY. THANK YOU MAYOR. 
          AND THIS IS OUR PROPERTY TAX SLIDE. IT'S VERY CONSISTENT WITH WHAT WE'VE SHOWED YOU ALL IN THE PAST. WE'RE OFF PACE BY $728,000, MAINLY DUE TO THE LAWSUITS AND PROTESTS OVER APPRAISED VALUES. I'VE MENTIONED THAT EARLIER. WE ARE STILL GOING TO HAVE SOME ACCRUALS COME BACK IN THROUGH THE REST OF THE FISCAL YEAR. SO WE'LL SEE WHERE THESE NUMBERS LAND AS AS THE MONTHS GO ON. AND WE'VE GOT SOME ACCRUALS BACK TO FY 25. ONE QUESTION I HAD ON THAT PAGE COLUMN, THE THE 89 SEVEN, I WAS THINKING IN MY MIND THAT WOULD MATCH TO THE 91 TWO. THAT'S ON THE OTHER PAGE. SO THE 91 TWO ON THE OTHER PAGE ACTUALLY INCLUDES PENALTIES AND INTEREST AND DELINQUENCIES. AND SO THE NUMBERS ON THIS SLIDE MAYOR, ARE CURRENT PROPERTY TAX COLLECTIONS ONLY. SO THAT'S WHY THERE'S A DIFFERENCE BETWEEN THOSE TWO NUMBERS. THE PREVIOUS SLIDE HAS SEVERAL ACCOUNTS ROLLED UP INTO ONE. OKAY. 
          THAT'S WHAT I WAS THINKING. THANKS. THANK YOU MAYOR. WHEN WE LOOK AT THE WATER FUND, OUR TOTAL BUDGETED REVENUES, EXCLUDING THE TRANSFERS FROM SURPLUS, ARE 73.6 MILLION VERSUS COLLECTIONS OF 70.4. THAT'S A NEGATIVE VARIANCE OF $3.1 MILLION, PRIMARILY DRIVEN BY A COOLER AND WETTER THAN ANTICIPATED SUMMER. A LOT OF THE WATER REVENUES AND THE WASTEWATER REVENUES ARE DEPENDENT UPON WHETHER IS THE MAJOR VARIABLE THERE. OUR THREE LARGEST OUR LARGEST POSITIVE VARIANCES WERE INTEREST INCOME AND OTHER, AND WHAT WE CALL OTHER WATER SALES, WHICH ARE WATER SALES THAT ARE NOT RELATED TO OUR RESIDENTIAL WATER SALES. THAT WAS UP BY 1.8 MILLION IN INTEREST INCOME, WAS UP BY 759,000. THE POSITIVE VARIANCE WAS OFFSET BY LOWER THAN ANTICIPATED COLLECTIONS IN THE METERED WATER SALES, WHICH I'LL GET INTO ON THE NEXT SLIDE. TOTAL BUDGETED EXPENDITURES WERE $81.8 MILLION VERSUS ACTUAL OF 76.6, WHICH IS A POSITIVE VARIANCE TO BUDGET OF 5.2 MILLION. OUR EXPENDITURE CATEGORIES WERE MOSTLY POSITIVE. MAINTENANCE WAS POSITIVE BY 2.1 MILLION, AND PROFESSIONAL AND TECHNICAL SERVICES WERE POSITIVE BY $977,000. ONE THING I WANT TO NOTE IS THESE NUMBERS THAT YOU'RE SEEING IN THESE SLIDES DO NOT INCLUDE ENCUMBRANCES FOR EXPENSES, BECAUSE ENCUMBRANCES GET CLEARED OUT AT YEAR END. SOME OF THE ENCUMBRANCES WILL ROLL OVER TO NEXT YEAR FOR US TO FINISH PROCURING THOSE GOODS OR SERVICES. MANY TIMES THAT RELATES TO CAPITAL PROJECTS. SO SOME OF THESE NUMBERS WILL ACTUALLY ROLL FORWARD IN TERMS OF ENCUMBRANCES FOR SPENDING FOR NEXT FISCAL YEAR. BUT JUST WANTED TO MAKE NOTE ABOUT THAT IN TERMS OF THE POSITIVE VARIANCE. SO WE HAVE A FUND BALANCE DRAWDOWN OF APPROXIMATELY $6.1 MILLION COMPARED TO BUDGETED DRAWDOWN OF $8.2 MILLION. WHEN WE LOOK AT THE METERED WATER SALES, WE HAD BUDGETED $61,097,000 IN METERED WATER SALES. WE CAME IN AT 55,874,000. SO THAT WAS OFF PACE BY 5.2 MILLION. AND AS YOU KNOW, AS I MENTIONED, WE HAD A WETTER AND COOLER SUMMER THAN NORMAL. WANTED TO GO BACK SLIDE EIGHT AND JUST SHOW YOU AND CALL OUT THAT MINIMUM RESERVE POLICY. SO WE'RE OVER BY APPROXIMATELY 20.2 MILLION AS OF THE DATE WHEN THIS SLIDE INFORMATION WAS PULLED TOGETHER. SO RESERVES ARE STILL IN PRETTY GREAT SHAPE THERE. 20 MILLION. YES. THE THIS PAGE. WHAT JUMPED OUT AT ME WAS, IN MY PAST EXPERIENCE, THE FOURTH QUARTER OF THE OF OUR FISCAL YEAR, WHICH IS THE THIRD QUARTER OF JULY, AUGUST, SEPTEMBER. WE ALWAYS SEE IT SEEMS LIKE AFTER THREE QUARTERS, WE'RE ALWAYS WAY BEHIND ON WATER. AND THEN THAT FOURTH QUARTER, JULY, AUGUST, SEPTEMBER IS THE HOT MONTHS AND IT CATCHES UP BECAUSE PEOPLE ARE USING WATER. AND THAT'S CORRECT. BUT THE LAST TWO YEARS NOW AND WE'VE ENCOURAGED PEOPLE TO BE, YOU KNOW, TO BE CONSERVATIVE WITH THEIR WATER USE. AND THEY'RE THEY'RE LISTENING EVIDENTLY BECAUSE OUR, OUR BUDGET HAS 
          [00:50:06]
COME IN UNDER WHICH IS IT'S NOT ALARMING, BUT IT'S I GUESS WE GOT TO THINK ABOUT HOW WE BUDGET IN IN FUTURE YEARS, BECAUSE IT WAS WE WERE ABOUT 6% OFF, YOU KNOW, WE WERE A MILLION UNDER LAST YEAR WHAT WE THOUGHT. AND THIS YEAR WE'RE 3 MILLION UNDER WHAT WE THE REVENUE THAT WE THOUGHT WE WOULD GENERATE. SO AND WE DID HAVE $6.5 MILLION IN TRANSFERS FOR WATER SYSTEM IMPROVEMENTS. SO THAT'S A LARGE PART OF THAT FUND BALANCE. EXCESS RESERVE DRAWDOWN WAS 6.5 MILLION FOR FOR FOR CAPITAL FOR WATER SYSTEM IMPROVEMENTS. WHAT WAS THE ABERRATION ON EMPLOYMENT BENEFITS THERE? THAT SOMETHING WASN'T JIVING WHERE YOU WERE 1,000,008 YEAR OVER YEAR OFFERING? YES. I DO NOT KNOW ABOUT THAT ONE BECAUSE THAT WAS FY 24. BUT CERTAINLY WE CAN DIG INTO THAT IF WE. OKAY. ALL RIGHT. THE VARIANCE WAS LAST YEAR NOT THIS YEAR. GOTCHA. ALL RIGHT. YEAH. THIS ONE LOOKS GOOD OKAY. THANK YOU MAYOR. 
          TRANSITIONING NOW OVER TO THE WASTEWATER FUND. OUR TOTAL BUDGETED REVENUES, EXCLUDING THE TRANSFERS FROM SURPLUS, WERE 72.4 MILLION VERSUS COLLECTIONS OF 72.6 MILLION, WHICH IS A POSITIVE VARIANCE OF ABOUT 170,000. LARGEST POSITIVE VARIANCE WAS WASTEWATER CHARGES FOR SEWER SERVICE AND INTEREST EARNINGS, WHICH WAS $631,000. POSITIVE TOTAL BUDGETED EXPENDITURES WERE 79.8 MILLION VERSUS ACTUAL OF 74.9. EXPENDITURE CATEGORIES WERE MOSTLY POSITIVE VARIANCES. THIS IS DUE TO MAINTENANCE BY $2.6 MILLION, PROFESSIONAL AND TECHNICAL SERVICES BY 515,000, AND CAPITAL EXPENDITURES OF 886,000. AND AGAIN, SOME OF THAT SAVINGS AND CAPITAL EXPENDITURES WILL ROLE FOR SPENDING TO NEXT FISCAL YEAR, AS THEY'VE SAVED THAT MONEY. AND THOSE GOODS MIGHT COME IN FOR NEXT FISCAL YEAR. AND WE PAY FOR THOSE. SO THE IMPACT ON FUND BALANCE RIGHT NOW WE'RE LOOKING AT AN APPROXIMATELY $2.3 MILLION DRAWDOWN, COMPARED TO A 7.4 MILLION BUDGETED DRAWDOWN IN FUND BALANCE. THAT $2.3 MILLION DRAWDOWN IN FUND BALANCE INCLUDES 5 MILLION FOR WASTEWATER SYSTEM CIP IMPROVEMENTS. SO WE'VE GOT 5 MILLION IN CAPITAL IMPROVEMENTS FOR THE WASTEWATER SYSTEM AS A PART OF THAT DRAWDOWN. WHEN WE LOOK AT THE WASTEWATER CHARGES FOR SERVICES, WE HAD $47.694 MILLION BUDGET, AND WE HAD ACTUAL COLLECTIONS OF 49.127 MILLION. SO THAT'S A POSITIVE VARIANCE OF 1.4 MILLION. THE REASON WHY THIS ONE DOES NOT TRACK THE SAME AS THE WATER CHARGES IS BECAUSE YOUR SEWER CHARGES FOR RESIDENTIAL CUSTOMERS ARE BASED ON THAT AVERAGE OVER THE WINTER. SO THERE'S A LITTLE BIT LESS FLUCTUATION DUE TO IRRIGATION THAT OCCURS DURING THE SUMMER. TRANSITIONING OVER TO OUR SOLID WASTE FUND. WHEN WE LOOK AT OUR REVENUES, WE HAVE 3.3 7.5 MILLION IN COLLECTIONS VERSUS 32.6 MILLION, WHICH IS A NEGATIVE VARIANCE OF 4.9 MILLION. OUR LARGEST POSITIVE VARIANCE WAS FOR MISCELLANEOUS ROLLOFF CHARGES AND COMMERCIAL CHARGES, AT 604,000 AND 415,000, RESPECTIVELY. OUR LARGEST NEGATIVE VARIANCE WAS DUE TO THE MISCELLANEOUS LANDFILL CHARGES FOR SERVICES. IT WAS ABOUT 3 MILLION NEGATIVE, BUT THE EXPLANATION ON THAT IS THAT WE HAD AN ORIGINAL EXPECTATION THAT OUR TRANSFER STATION AND THE NEW LANDFILL WOULD BE OPEN MID FISCAL YEAR, BUT WITH THE ADDED CAPACITY AT THE LANDFILL, WE ENDED UP OPENING THOSE ON OCTOBER 1ST. AND SO THAT AFFECTED REVENUES. IT ALSO AFFECTED EXPENSES AS WELL. SO THAT'S WHY WE SAW THE NEGATIVE VARIANCE IN THE LANDFILL CHARGES JUST DUE TO PUSHING THE OPENING BACK A LITTLE BIT BECAUSE OF THAT ADDITIONAL CAPACITY. WHEN WE LOOK AT EXPENSES, WE HAD 46.9 MILLION VERSUS ACTUAL. A 38.1 MILLION EXPENSES WERE MOSTLY POSITIVE. THE CATEGORIES WERE MOSTLY POSITIVE, SALARIES AND WAGES POSITIVE BY 1.5 MILLION, AND PROFESSIONAL AND TECHNICAL SERVICES POSITIVE VARIANCE OF ABOUT 4 MILLION. SO RIGHT NOW WE'RE LOOKING AT AN APPROXIMATE $5.4 MILLION DRAWDOWN IN FUND BALANCE. AND COMPARED TO A BUDGETED DRAWDOWN OF 9.3 MILLION, YOU CAN SEE THAT WE ARE STILL 3.5 MILLION OVER AND ABOVE OUR MINIMUM RESERVE POLICY OF 27.5%. AND THIS IS REALLY FOR BUDGETING FOR NEXT YEAR. BUT SINCE WE'RE ALMOST THERE, COULD WE SEE OR WOULD IT BE EASY TO CREATE? I THINK IT WOULD BE HELPFUL TO SEE THESE THE FUNDS AND THE BALANCES, LIKE OVER TIME RATHER THAN JUST A ONE YEAR, YOU KNOW, HERE'S WHERE THEY ARE NOW. BUT COULD WE SEE WHAT THOSE LOOK LIKE HISTORICALLY FOR 3 OR 5 YEARS 
          [00:55:02]
OR SOMETHING? YES, SIR. THANK YOU. YES, SIR. WE KEEP TRACK OF THAT AND WE CAN PROVIDE YOU WITH THAT INFORMATION. CONTINUING ON WITH, WITH WITH SOLID WASTE. I MENTIONED THE LANDFILL AND TRANSFER STATION OPENING BEING DELAYED, WHICH AFFECT THE WHICH AFFECTED THE REVENUES AND THE EXPENSES. NOW TRANSITIONING OVER TO OUR DRAINAGE FUND, OUR TOTAL BUDGETED REVENUES, EXCLUDING THE TRANSFER FROM SURPLUS LINE, WAS $9 MILLION VERSUS COLLECTIONS OF ABOUT 9.5 MILLION, WHICH IS A POSITIVE VARIANCE OF 1.3 MILLION. 
          DRAINAGE FEE REVENUE WAS 1.100 AND 1.4% OF BUDGET, SO WE HAD SLIGHTLY HIGHER COLLECTIONS THAN ANTICIPATED ON THE DRAINAGE FEE REVENUE. TOTAL BUDGETED EXPENDITURES WERE 9.9 MILLION VERSUS ACTUALS OF 7.8. RIGHT NOW THEY ARE MOSTLY POSITIVE VARIANCES IN THOSE EXPENDITURE CATEGORIES. SO WE'RE LOOKING AT AN APPROXIMATE $1.6 MILLION INCREASE TO FUND BALANCE. AND AGAIN, SOME OF THESE EXPENSES FOR CAPITAL, THESE ENCUMBRANCES WILL ROLL UP TO NEXT FISCAL YEAR FOR SPENDING AS WE CONTINUE TO SPEND FOR THOSE PROJECTS BACK ON THAT ONE. YES, SIR. THAT WAS WHERE I WAS A LITTLE CONFUSED ON THE SALARIES, WAGES AND BENEFITS THAT WE WERE WAY UNDER LAST YEAR AND OUR BUDGET. DID YOU DID YOU MENTION WHY THAT WAS SO? I CAN DRILL INTO THAT. BUT I WOULD SAY ON THIS ONE IT IS PROBABLY DUE MORE TO TURNOVER. AND I DOUBT THAT WE BUDGETED ANY TYPE OF TURNOVER SAVINGS IN THIS PARTICULAR FUND. 
          SO I WOULD IMAGINE THAT WE JUST HAD YOUR STANDARD TYPICAL BUDGETING AT 100% CARRY FOR SALARIES AND WAGES AND EMPLOYEE BENEFITS. AND WE PROBABLY DID HAVE SOME TURNOVER, WHICH RESULTED IN SOME OF THOSE SAVINGS. OKAY. THAT'S BECAUSE THAT'S EVEN 300, 400,000 RELATIVELY. IT'S QUITE A BIT LESS THAN EVEN LAST YEAR'S ACTUAL. SO SURE. BUT I CAN SEE SOMEBODY WE'RE GETTING A LOT MORE EFFICIENT IN DRAINAGE. YES. THAT'S VERY, VERY GOOD QUESTION. 
          SOME OF IT MIGHT HAVE BEEN THAT AS, AS POSITIONS, YOU KNOW, AS PEOPLE LEFT POSITIONS, THEY THEY STAYED OPEN FOR LONGER, RESULTED IN MORE SALARY SAVINGS. OKAY. OUR CAMERON PARK ZOO FUND, OUR TOTAL BUDGETED REVENUES WERE 10.5 MILLION VERSUS COLLECTIONS OF 10.6, WHICH IS A POSITIVE VARIANCE OF $156,000. CHARGES FOR ADMISSIONS, COMMISSIONS AND RENT WERE ALL HIGHER THAN BUDGETED AT 100, 100 AND 104%, 123.9%, AND THEN RENT WAS 236.2% OF BUDGET. SO POSITIVE VARIANCES, THEIR TOTAL BUDGETED EXPENDITURES WERE 11.2 MILLION VERSUS ACTUAL OF 9 MILLION. EXPENDITURE CATEGORIES WERE MOSTLY POSITIVE VARIANCES. RIGHT NOW WE'RE LOOKING AT AN APPROXIMATE $1.6 MILLION INCREASE TO FUND BALANCE. HOWEVER, A LOT OF THAT POSITIVE VARIANCE IS GOING TO ROLL FORWARD TO NEXT YEAR TO CONTINUE SOME ZOO PROJECTS, INCLUDING AZA ACCREDITATION, MAINTENANCE AND GIBBONS LAKE REPAIRS AS THOSE CONTINUE INTO FY 26. AND AGAIN DOWN AT THE BOTTOM, MAYOR AND CITY COUNCIL, YOU CAN SEE THE ESTIMATED UNASSIGNED FUND BALANCE PROJECTED FOR THE END OF THE YEAR. CONTINUING ON WITH THE COTTONWOOD CREEK GOLF COURSE FUND. TOTAL BUDGETED REVENUES WERE 3.1 MILLION VERSUS A COLLECTIONS OF 3.2 MILLION, WHICH IS A POSITIVE VARIANCE OF 113,000. CHARGES FOR SERVICES FOR GREEN FEES, WE'RE 106.9% OF BUDGET CHARGES FOR SERVICES WERE GOLF. GOLF CART FEES WERE A LITTLE BIT LOWER AT 96.2%. TOTAL BUDGETED EXPENDITURES WERE $3.2 MILLION VERSUS 3.5 MILLION WATER CHARGES WERE OVER BUDGET DUE TO WATER USAGE, AND THAT COMES IN AT THE END OF THE FISCAL YEAR. AND THERE'S AN ADJUSTMENT MADE. SO THAT WAS PRIMARILY THE DRIVER OF GOING OVER BUDGET THERE. RIGHT NOW WE'RE LOOKING AT AN APPROXIMATE $334,000 DECREASE TO FUND BALANCE. AND THEN YOU CAN SEE THE FUND BALANCE AMOUNT DOWN THERE AT THE BOTTOM. AIRPORT FUND TOTAL BUDGETED REVENUES WERE 2.2 MILLION VERSUS COLLECTIONS OF 2.4 MILLION, WHICH IS A POSITIVE VARIANCE THERE OF 155,000. THE AREA. THE AIRPORT ARRIVAL AREA, REVENUE, AIRPORT PASSENGER FACILITY FEES AND AIRPORT LANDING FEES WERE ALL HIGHER THAN BUDGET. THAT WAS GOOD NEWS. POSITIVE VARIANCE. THERE, THE BUDGETED EXPENDITURES WERE 2.5 MILLION VERSUS 2.3 MILLION. EXPENSE CATEGORIES WERE MOSTLY POSITIVE. RIGHT NOW, WE'RE LOOKING AT AN APPROXIMATE $87,000 INCREASE TO FUND BALANCE. THE TEXAS RANGER HALL OF FAME FUND. THE BUDGETED 
          [01:00:10]
REVENUES WERE $2 MILLION VERSUS COLLECTIONS OF 1.99 MILLION. IT'S A NEGATIVE VARIANCE OF ABOUT 37 $38,000 THERE. ADMISSIONS, REVENUES AND MERCHANDISE SALES WERE JUST SLIGHTLY OFF PACE AT 95% AND 92%, RESPECTIVELY. TOTAL BUDGETED EXPENDITURES WERE 2.3 MILLION VERSUS ACTUAL OF 2.2 MILLION. EXPENSE CATEGORIES WERE MOSTLY POSITIVE. RIGHT NOW, WE'RE LOOKING AT AN APPROXIMATE $193,000 DECREASE TO FUND BALANCE. AND THEN DOWN THERE AT THE BOTTOM ON YOUR SCREEN, YOU CAN SEE THE ESTIMATED UNASSIGNED FUND BALANCE THERE. 
          FINALLY, OUR STREET MAINTENANCE FUND, OUR TOTAL BUDGETED REVENUES WERE 21.5 MILLION VERSUS COLLECTIONS OF 22.1 MILLION, WHICH IS A POSITIVE VARIANCE OF $626,000. OUR STREET MAINTENANCE FEES WERE 2.7 MILLION, OR 102% OF BUDGET, SO THAT WAS A POSITIVE VARIANCE. 
          THERE BUDGETED EXPENDITURES WERE 23.2 MILLION VERSUS ACTUAL OF 16.7 MILLION. EXPENSE CATEGORIES WERE MOSTLY POSITIVE. CAPITAL EXPENDITURES HAS A REMAINING BALANCE OF 4.4 MILLION. THERE. THAT'S GOING TO ROLL FORWARD FOR SPENDING FOR NEXT FISCAL YEAR. WE PLAN ON USING MOST OF THIS FUND BALANCE THAT YOU CAN SEE DOWN THERE AT THE BOTTOM OF OF YOUR SLIDE. 
          MAYOR AND CITY COUNCIL PLAN ON USING MOST OF THAT FUND BALANCE ON QUALIFIED STREET MAINTENANCE IMPROVEMENT PROJECTS, AND YOU'RE GOING TO START SEEING MORE STREET MAINTENANCE PROJECTS COME THROUGH. YOU MENTIONED SOME EARLIER AT THE EARLIER AT THE CITY COUNCIL MEETING HERE TODAY. SO THAT'S WHAT THAT FUND BALANCE IS GOING TO EVENTUALLY BE USED FOR. 
          COLLIN, QUICK QUESTION. YES, I MEANT TO ASK THIS PREVIOUSLY AND I APOLOGIZE. CAN YOU REMIND ME ON THIS FUND, WHY IS SUCH A HIGH PERCENTAGE OF THE REVENUE TRANSFERS IN? BECAUSE THAT COMES FROM GENERAL FUND TRANSFERS IN. SO THE STREET MAINTENANCE FEE PORTION IS ONLY ABOUT $2.6 MILLION. AND IT GETS THE REST OF IT'S MONEY, PRIMARILY FROM A TRANSFER IN FROM THE GENERAL FUND. I CAN HELP ANSWER THAT QUESTION TO THE THE GENERAL FUND TRADITIONALLY HAS ALWAYS FUNDED ALL OF THE STREET MAINTENANCE. AND HOW LONG AGO WAS IT? TWO YEARS AGO. PAUL. WE WERE TRYING TO WE'RE TRYING TO CREATE A DEDICATED FUND EVENTUALLY TO HANDLE STREET MAINTENANCE OF. BUT WE'RE A WAYS AWAY FROM IT. WE DON'T. AND I THINK WE I THINK WE'D NEED TO CHARGE $20, WHATEVER. WE'RE NOT CHARGING THAT NOW. WE'RE ONLY CHARGING TWO BUCKS OR FIVE BUCKS A MONTH OR SOMETHING, BUT THAT IT'LL ONLY RAISE 2.5 MILLION. SO TO FIX ALL THE STREETS THAT WE NEED TO COST US ABOUT 20, 21 MILLION, NOT COUNTING THE CIP PROJECTS AND ALL THAT STUFF, BUT WE JUST DIDN'T WANT TO RAISE THAT STREET MAINTENANCE FEE THROUGH THE ROOF TO 20 MILLION IMMEDIATELY. IF EVER. ALL THAT FUTURE COUNCILS FIGURE THAT OUT. BUT WE'RE FUNDING MOST OF IT THROUGH THE GENERAL FUND. THAT'S RIGHT. AND I THINK IT'S SUPPOSED TO BE A STEPPED UP FEE, BUT WE WILL ACCEPT TIPS ON THAT STREET MAINTENANCE FOR SURE, BECAUSE EVERY DOLLAR WILL PASS THE HAT. I'M GOING TO TRANSITION NOW, MAYOR AND CITY COUNCIL OVER TO THE INVESTMENT REPORT. THIS IS THE QUARTERLY REPORT FOR THE PERIOD OF JULY 1ST THROUGH THE END OF THE FISCAL YEAR. SO OUR PAR VALUE AT YEAR END OF OUR PORTFOLIO IS $927.7 MILLION. OUR MARKET VALUE IS 928.3 MILLION. OUR NET INTEREST INCOME FROM THE QUARTER WAS PRETTY HEALTHY, AT 9,958,000. OUR YIELD TO MATURITY WAS 4.113% AND ENDING TOTAL BOOK VALUE OF 926, ALMOST 927 MILLION. HERE YOU CAN SEE THE BREAKDOWN OF THE ASSET ALLOCATION. THIS IS JUST A SNIP OF THE SUMMARY OF OUR INVESTMENT PORTFOLIO. LAST WEEK WE SENT YOU THE ENTIRE REPORT AS AN IR. SO YOU SAW A LOT OF THAT DETAIL LAST WEEK. SO I CAN ANSWER ANY QUESTIONS ON THE EXPENSE, EXCUSE ME ON THE INVESTMENT PORTFOLIO. AND THEN I HAVE ONE FINAL WRAP UP SLIDE. ANY QUESTIONS ON THE INVESTMENT PORTFOLIO. OKAY. AND THEN FINALLY LOOKING FORWARD TO FY 26. AND IT'S HARD TO BELIEVE WE'RE ALREADY IN MID-NOVEMBER. 
          SO WE'VE GOT OUR WE'RE TAKING PROACTIVE STEPS AS WE MOVE INTO NEXT FISCAL YEAR WITH REGARDS TO EXPENSE CONTROL EFFORTS. AS YOU KNOW, DURING THE BUDGET PROCESS FOR FY 26, WE REDUCED RECURRING REVENUES. AND SO THAT WAS A THEME THAT Y'ALL HEARD DURING MULTIPLE WORKSHOPS. AND AS WE PRESENTED THE BUDGET TO YOU ALL, WE ARE ALSO INTRODUCING ENHANCED MONITORING. 
          [01:05:06]
SO WE ARE WORKING ON MONTHLY MANAGEMENT REPORTS THAT WILL GO OUT TO THE CITY MANAGER'S OFFICE, ALL DEPARTMENTS INTO THE CITY COUNCIL. WE'RE IMPLEMENTING MORE FREQUENT REVENUE AND EXPENSE ANALYSIS AND FORECASTING TO IDENTIFY TRENDS EARLIER THAT SOME THINGS THAT WE'RE PUTTING INTO PLACE WITH REGARDS TO CAPITAL PROJECTS, REVIEWS. I'M GOING TO TALK ABOUT THE CIP AT OUR NEXT, NEXT AGENDA ITEM, BUT WE'RE NOW MONITORING AND REPORTING ON OUR MULTI-YEAR CAPITAL IMPROVEMENT PROJECTS TO ENSURE CAPACITY AND AVAILABILITY AND FUNDING SOURCES FOR EXISTING AND FUTURE PROJECTS. LOOKING AT LONG TERM FORECASTS. AND OUR RESERVES ARE STRONG. AS I MENTIONED, YOU KNOW, OUR RESERVE POSITION REMAINS POSITIVE. WE'RE STAYING ABOVE THE FY 26 MINIMUM POLICY OF 27.5%. WHILE WE CONTINUE TO ADDRESS CRITICAL INFRASTRUCTURE AND OPERATIONAL NEEDS. AND WE'LL HAVE ALSO WHEN WE GET THE AUDIT COMPLETED. AND AGAIN, WE'RE ON TRACK TO DISTRIBUTE THAT TO TO YOU ALL AND PRESENT THAT TO YOU ALL IN FEBRUARY. 
          WE'LL HAVE A DEEP DIVE ON THE FINAL NUMBERS AT THAT TIME. AND I CAN TAKE ANY QUESTIONS YOU MIGHT HAVE AT THIS TIME. MAYOR AND CITY COUNCIL, ANY QUESTIONS? COUNCIL MEMBERS, COMMENTS, OBSERVATIONS. I'LL JUST SAY THIS. THIS REPORT GETS A LITTLE MORE REFINED EVERY TIME WE LOOK AT IT ON A QUARTERLY BASIS. I APPRECIATE YOU TAKING OUR FEEDBACK AND KIND OF INCORPORATING IT INTO THE LOOK. THESE ARE THINGS ARE GETTING EASIER FOR ME TO READ. I REALLY LIKE THE THE THE FUND BALANCE EXCESS BECAUSE WE ALWAYS ANECDOTALLY ASK YOU WHAT IT IS AND YOU'VE GOT THE MATH THERE WHERE WE CAN SEE THAT A LITTLE BIT EASIER AND FEEL GOOD ABOUT WHERE WE'RE AT ON EXCESS BALANCES OR UNASSIGNED FUNDS, WHICH IS GREAT. I THEN THIS LOOKS LIKE WE'RE WRAPPING UP A PRETTY DECENT YEAR, AND WE'LL LOOK FORWARD TO SEEING THE AUDIT HERE IN A IN A FEW MONTHS. ABSOLUTELY. BUT THANKS, COLIN. THANK YOU. OKAY. THE NEXT ITEM, DEPUTY CITY MANAGER EMERSON IS DISCUSSION OF THE CAPITAL IMPROVEMENT PROGRAM. YES. AND THE NEXT PHASE OF THE CALL IN SHOW IS WE'LL PROVIDE AN UPDATE ON THE STATUS OF OUR CAPITAL IMPROVEMENT PROJECTS. IF THERE ARE SPECIFIC QUESTIONS ABOUT ANY OF THE PROJECTS THERE. WE HAVE A NUMBER OF THE DEPARTMENT HEADS IN THE AUDIENCE TODAY WHO WILL ASSIST COLIN IN RESPONDING. 
          COLIN. THANK YOU. SO THIS IS OUR CAPITAL IMPROVEMENT PROGRAM UPDATE, AND WE'VE GOT THIS BROKEN DOWN INTO OUR GENERAL CATEGORIES THAT THAT WE PROVIDE THE CIP INFORMATION IN. IT'S OUR GENERAL GOVERNMENT CAPITAL FOR THIS PRESENTATION. WE'VE GOT SOME FIRE PROJECTS IN THERE, FACILITY PROJECTS STREETS AND PARKS. WE'VE GOT SELF-SUPPORTING CAPITAL RELATED TO THE AIRPORT AND ZOO. THEN WE'VE GOT ENTERPRISE UTILITY SYSTEM CAPITAL, WHICH IS OUR WATER, WASTEWATER AND DRAINAGE UTILITY SYSTEM PROJECTS. SO, SO ON THAT ONE, BECAUSE I WROTE NOTES DOWN HERE ON THIS, THE GENERAL GOVERNMENT CAPITAL CIP PROJECTS ARE SUPPORTED BY GENERAL FUND TAX SUPPORTED PROJECTS. THAT IS CORRECT. THE SELF-SUPPORTING CAPITAL AGAIN AIRPORT AND CAMERON PARK ZOO SUPPORT THOSE. YES. THEY'RE THEY'RE THEY'RE CONSIDERED SELF-SUPPORTING CAPITAL, EVEN THOUGH THEY DO GET A TRANSFER FROM THE GENERAL FUND TO SUPPORT THEIR OPERATIONS. WE CONSIDER IT SELF-SUPPORTING CAPITAL, BECAUSE THE WAY WE PRESENT IT IN THE AUDIT AS BASICALLY WHAT I WOULD CONSIDER A COST CENTER, WHERE THEY'VE GOT REVENUES AND THEY'VE GOT EXPENSES. AND SO IT'S KIND OF DESIGNED FOR VIEWING TO SEE SPECIFICALLY WHAT THE REVENUES ARE AND THE EXPENSES ARE AND ANY SUBSIDIES THAT COME OVER FROM THE GENERAL FUND. BUT ULTIMATELY THAT COMES FROM THE GENERAL FUND. ULTIMATELY, THE DELTA COMES FROM THE GENERAL FUND. BUT IN TERMS OF A COST CENTER, REVENUES AND EXPENSES AND SEEING WHAT WHAT GETS COVERED, THAT'S WHY WE CALL IT SELF-SUPPORTING. AND THEN THE ENTERPRISE ZIPS ARE FUNDED THROUGH THOSE RATES, BASICALLY. THAT'S CORRECT. THE WATER, WATER AND SEWER RATES AS WELL AS THE DRAINAGE FEE. YEP. THANKS. YOU'RE WELCOME. SO JUMPING INTO THE GENERAL GOVERNMENT CAPITAL PROJECTS, I'LL GIVE YOU A HIGH LEVEL SUMMARY OF OF EACH OF THESE. BUT THE ANIMAL SHELTER KENNEL IMPROVEMENTS PRIMARILY RELATED TO THE FIRE SYSTEM, FIRE SUPPRESSION SYSTEM, KENNEL HVAC UPDATES. WE'VE GOT A CANOPY AND THE SYSTEMS CURRENTLY IN FINAL INSTALLATION PHASES AND AWAITING TESTING. YOU CAN SEE THAT THE BUDGET WAS ALMOST $2 MILLION. WE'RE COMING IN JUST UNDER BUDGET. AT THIS POINT. 
          IT'S 90% UNDER PROGRESS. AND AGAIN, IT'S WAITING ON FINAL TESTING OF THE SYSTEM. FIRE STATION NUMBER FOUR. THE DESIGN IS COMPLETE AND IT IS UNDER CONSTRUCTION. SO YOU CAN SEE THE BUDGET IS $7 MILLION THERE. PROJECT LIFE TO DATE EXPENSE IS $6,000,597, $597,884 PROJECT PROGRESS OF 10%. YOU MIGHT ASK YOURSELF, WELL, THAT LOOKS INTERESTING THAT WE'VE SPENT 
          [01:10:05]
6.5 MILLION COMPARED TO A $7 MILLION BUDGET FOR A PROJECT THAT'S ONLY PROGRESSED 10% WHEN WE PUT PROJECT LIFE TO DATE EXPENSES IN HERE, THESE INCLUDE ENCUMBRANCES AS WELL. SO AS WE'VE ISSUED THE AS WE'VE ISSUED THE CONSTRUCTION CONTRACT, WE'VE THEN FOLLOWED UP WITH THE PURCHASE ORDER AND ENCUMBERED THE FUNDS. SO YOU CAN SEE THAT ALL OF THOSE ARE ENCUMBERED AND THAT ENCUMBRANCE WILL STAY THE SAME UNLESS WE DO ANY TYPE OF CHANGE ORDER TO IT IN THE FUTURE. BUT THAT'S WHY IT SAYS LIFE TO DATE EXPENSE. THAT'S REALLY EXPENSE PLUS ENCUMBRANCES. AS WE CONTINUE TO SPEND THAT MONEY ON THAT PURCHASE ORDER. CAN YOU REMIND ME OF THE CODE YOU'RE USING ON FUNDING SOURCES? COUNCIL? WHEN WE SEE HIM, WE APPROVE THEM EVERY YEAR. 2024 CIP 2023 CIP. BUT THAT IS CORRECT. SO WHEN YOU SEE CO THOSE ARE OUR CEO'S. 
          SO THOSE ARE GOING TO BE CEO'S THAT ARE AROUND, YOU KNOW, FISCAL YEAR 22 FISCAL YEAR 24. 
          AND I'LL CALL THOSE OUT THE DEBT VERSUS THE CASH. BUT WHEN YOU SEE CEO'S ON HERE I'LL CALL OUT THE FUNDING SOURCES AS WE AS WE MOVE ALONG. BUT THESE CEOS ARE DEBT. SO CERTIFICATES OF OBLIGATION AND THEN 22 FD 22. THAT'S JUST THE CODE. THAT'S OUR PROJECT. THAT'S OUR INTERNAL PROJECT CODE JUST FOR OUR REFERENCE. THAT'S WHY I WAS GETTING SCREWED UP. WELL CAN YOU GO BACK ONE THEN. AND THEN WHAT IS SPR. THOSE ARE CASH CODES OF WHERE WE'VE GOTTEN CASH OUT OF LIKE A SPECIAL REVENUE FUND AND GENERAL FUND. SO THAT'S WHEN WE'VE SET ASIDE CASH. OKAY. SO WE'LL CLARIFY THAT AS WE HAVE FUTURE CIP UPDATES BECAUSE YOU'RE RIGHT. 
          WE HAVE OUR CODES AND OUR LINGO THAT WE TALK IN FINANCE. BUT I'LL CALL OUT WHETHER IT'S DEBT VERSUS CASH. GOT IT. CONTINUING ON WITH FACILITIES. WE'VE GOT OUR PET SURGICAL CLINIC AND SURGERY CENTER. THE DESIGN IS COMPLETE. CONSTRUCTION STARTS ON NOVEMBER, STARTED ON NOVEMBER 3RD. SO WE'VE GOT A BUDGET OF 5.1 MILLION. EXPENSES AND ENCUMBRANCES ARE 4.6 MILLION. FUNDING SOURCE WHERE CERTIFICATES OF OBLIGATION AND PROJECT PROGRESS ALL IN IS AT 20%. THE STEAM CENTER. WE'VE GOT DRYWALL INSTALLATION COMPLETE, STOREFRONT INSTALLATION IS ONGOING. MAIN ELECTRICAL FEED IS COMPLETE. MECHANICAL SYSTEM STARTUP IS PENDING. OUR BUDGET IS 13.8 MILLION. LIFE TO DATE EXPENSES ARE 12.1 MILLION. WE'VE GOT GRANT MONEY AND CASH OFFSETTING THAT PROJECT. I THINK WE ALSO YES, WE HAVE GRANT MONEY IN CONTRIBUTION AS WELL. PROJECT PROGRESS IS AT 85%. IT'S ON TRACK WITH AN ESTIMATED DATE OF 1231. OUR MAYOR PRO TEM COULDN'T BE HERE TODAY. BUT ON HER BEHALF, I WANT TO SAY THAT SHE APPROVES OF THIS PROJECT. OUR WELCOME CENTER IS IN THE FINAL STAGE OF CONSTRUCTION. 
          FINAL STAGE OF CONSTRUCTION IS IN PROGRESS. EXCUSE ME. IT AND AV SYSTEMS ARE CURRENTLY BEING INSTALLED AND TESTED. OPENING PLANS ARE EARLY DECEMBER NEXT MONTH. IT'S JUST UNDER BUDGET. 
          THE FUNDING SOURCES WAS CASH, PRIMARILY HOTEL OCCUPANCY, TAXES AND PROJECT PROGRESS. 
          PROJECT PROGRESS IS AT 85% AND IT'S ON TRACK. ALICE MARTINEZ RODRIGUEZ PARK FOLLOWING THE GROUNDBREAKING ON OCTOBER 4TH, THE CONTRACTOR HAS COMPLETED INITIAL SITE SCRAPING. MASS GRADING ACTIVITIES HAVE COMMENCED. YOU CAN SEE THE BUDGET OF 25.3. WHAT'S BEEN SPENT ENCUMBERED TO DATE IS 22.3 MILLION. FUNDING SOURCES ARE BOND SERIES OVER SEVERAL DIFFERENT FISCAL YEARS. ESTIMATED COMPLETION DATE IS NOVEMBER 30TH OF 2026. IT'S ON TRACK IN PROGRESS. PROJECT PROGRESS IS AT 40%. COLLIN. WITH THAT, JUST A CLARIFICATION ON THE BUDGET VERSUS LIFE TO DATE EXPENSE ON THE PROJECT WE HAVE. ANOTHER, YOU KNOW, ALMOST EXACT CALENDAR YEAR BETWEEN NOW AND THE COMPLETION OF THE PROJECT. BUT WE HAVE EXPENDED THE MAJORITY OF THE FUNDS NECESSARY TO GET TO THAT POINT. WE HAVE EXPENDED AND ENCUMBERED, SO WE HAVE PROBABLY NOT EXPENSED ALL THAT MUCH, BUT WE HAVE ENCUMBERED IT TO. AND THE PURPOSE OF THE ENCUMBRANCE IS TO BASICALLY SAY, YOU'VE ISSUED THIS PROJECT, DON'T SPEND IT ON ANYTHING ELSE. YEAH. SO THAT'S WHY IT'S BEEN ENCUMBERED TOWARDS THAT. YEAH, THAT I JUST WANTED TO CLARIFY FOR ANYONE THAT MAY BE WATCHING, IT IS NOT LIKE WE HAVE A YEAR LEFT AND WE HAVE, YOU KNOW, 3 MILLION OF THE 25 MILLION LEFT TO SPEND. ABSOLUTELY. YES. YES. AND ENCUMBRANCE IS A IT'S A CONTROL MECHANISM. CHINA SPRING PARK, THE CONTRACTOR HAS THE CAD FILES. THEY'RE BUILDING THEIR MODEL FOR SURVEYING. ONCE SURVEYING IS DONE, THERE'S EROSION CONTROL AND SCRUBBING AND MASS GRADING. BUDGET 7.1 MILLION PROJECT LIFE TO DATE EXPENSES AND ENCUMBRANCES ARE ALMOST $4 MILLION. FUNDING SOURCES. YOU CAN SEE 
          [01:15:01]
CERTIFICATES OF OBLIGATION ISSUED OVER SEVERAL FISCAL YEARS, PROJECTS ON TRACK AND PROJECT PROGRESS IS AT 30%. THE NEXT TWO PROJECTS ARE RELATED TO COTTONWOOD CREEK GOLF COURSE, WITH DRAINAGE PROJECTS RELATED TO MULTIPLE HOLES ON THE GOLF COURSE. SO RIGHT NOW, REALLY ON BOTH PROJECTS, THEY'RE WORKING THROUGH A REDESIGN. WITH ENGINEERING, THEY'LL NOT BE ABLE TO RETAIN WATER WITHOUT OBTAINING WATER DIVERSION RIGHTS. SO SINCE IT'S STILL IN REDESIGN WITH ENGINEERING PROJECT LIFE TO DATE, EXPENSES AND ENCUMBRANCES ARE ZERO. THIS WAS FUNDED WITH DEBT AND THE PROGRESS RIGHT NOW IS AT 10%. ESTIMATED COMPLETION DATE IS 731 OF 26. SO THAT WAS HOLES FOUR AND FIVE. AND THIS CONTINUES ON WITH THE NEXT PHASE WHICH IS FIVE AND SIX. THE BUDGET IS 1.36 MILLION FUNDED WITH DEBT CERTIFICATES OF OBLIGATION. AND AGAIN THAT PROJECT PROGRESS IS 10% THERE. AND YOU CAN SEE THE PICTURE ON THE RIGHT HAND SIDE SHOWS SOME OF WHAT'S GOING TO END UP BEING IMPROVED. THE CHAPEL PARK PRIDE PARK PROJECT BIDS HAVE BEEN SOLICITED AND RECEIVED. THE BUDGET IS $850,000. THIS IS FUNDED WITH DEBT CERTIFICATES OF OBLIGATION. PROJECT PROGRESS IS AT 10% AND THE ESTIMATED DATE IS EIGHT ONE OF 26. THE AUSTIN AVENUE POCKET PARK PROJECT. THE PROPERTY HAS BEEN ACQUIRED. THE BUDGET IS $708,000. PROJECT. TO DATE, EXPENSES ARE ABOUT 309,000. OUR FUNDING SOURCES ARE ARE DEBT PRIMARILY FOR THIS PROJECT. THE TSW 21, 22 AND 23 ARE SOME OF THOSE DEBT SOURCES THERE. THE ESTIMATED DATE IS ONE ONE OF 27 AND PROJECT PROGRESS IS AT 30%. 
          BAGBY AVENUE RECONSTRUCTION. WE'RE NOW SWITCHING GEARS TO THE STREET PROJECTS. THE STATUS OF THIS IS THE IMPROVEMENTS WERE DELAYED BY SOME FRANCHISE UTILITY RELOCATIONS. WE HAD SOME CONFLICTS, UNIDENTIFIED CONFLICTS DURING DESIGN AND BIDDING, WHICH CAUSED THE PROJECT TO GO OVER BUDGET ON THIS ONE. SO WHAT WE DO WHEN CIP PROJECTS GO OVER BUDGET IS WE WILL TAKE MONEY AND SLIDE IT FROM ONE PROJECT AND SLIDE IT OVER TO SOME OF THESE PROJECTS RIGHT HERE. WE'LL ALSO DO THE OTHER THING WITH SAVINGS. IF WE HAVE SAVINGS IN A PROJECT, WE'LL SLIDE IT TO ANOTHER PROJECT AS WELL. BUT IN THIS CASE WE'LL END UP SLIDING MONEY OVER. TO COVER THIS. YOU CAN SEE THE FUNDING SOURCES FOR THIS ARE DEBT. THE ESTIMATED COMPLETION DATE IS 1203. IT'S ON TRACK AND IT'S AT 90% PROGRESS. WE HAVE SUMMARY SLIDES ON HERE OF THE BETTER STREETS WACO PROGRAM. I KNOW IT MIGHT BE A LITTLE BIT DIFFICULT TO SEE, BUT YOU CAN SEE HERE. LET ME WALK YOU THROUGH THIS SLIDE A LITTLE BIT. SO THE BSC PROGRAM IS BROKEN DOWN BY BRIDGE PRESERVATION RECONSTRUCTION AND CAPACITY AND REHABILITATION. SO IT'S BROKEN DOWN BY THOSE CATEGORIES. TOTAL IS 193.677 MILLION. YOU CAN SEE WHAT'S BEEN SPENT TO DATE ON THOSE PARTICULAR CATEGORIES. TOTALS 55.5 MILLION. WHEN YOU CONTINUE WALKING FURTHER DOWN THE COLUMN, ALL OF THOSE AMOUNTS BELOW SUM UP TO THE 193.6 MILLION AND THE 55.5 MILLION, RESPECTIVELY. SO YOU CAN SEE WHAT'S WE'VE GOT ANTICIPATED TO BE COMPLETE IN 2025 IS 90% COMPLETE. EXCUSE ME, 90% SPENT AND COMMITTED. WHAT'S COMPLETE? AND FOR 2026, IS IT 26% 2027? IS IT 14%? IN 2028 IS AT 40% BECAUSE THAT DOLLAR AMOUNT IS IS LOWER AS WE GET OUT INTO 2028. AND THEN YOU CAN SEE THE LANE MILES BY COUNCIL DISTRICT THERE ON THE RIGHT HAND SIDE OF YOUR SCREEN. SO I'LL PAUSE NOW IN CASE YOU HAVE ANY QUESTIONS. THE NEXT COUPLE OF SLIDES ARE THE DETAIL THAT FEED INTO THIS SLIDE. SO I'LL JUST SHOW THOSE BRIEFLY SO YOU CAN SEE THE BRIDGE PROGRAM BROKEN DOWN INTO THE DIFFERENT PROJECTS THERE WITH THE TIMELINES, THE FINANCIALS AND THE LANE MILES IF APPLICABLE. 
          YOU CAN SEE THE STREET PRESERVATION PROGRAM BROKEN DOWN INTO THE DIFFERENT AREAS. 
          THE TYPE OF CONSTRUCTION, THE PHASE, ETC. AND THE FINANCIAL IMPACT AND THEN THE TIMELINE. 
          AND THEN FINALLY THE RECONSTRUCTION AND CAPACITY IMPROVEMENTS. AND AGAIN, ALL OF THESE NUMBERS ARE THE DETAILED TO THE NUMBERS THAT YOU SAW IN THE PREVIOUS TWO SLIDES ON THE PREVIOUS SLIDE, TWO SLIDES AGO. AND HERE'S THE STREET REHABILITATION PROJECT PRIMARILY, OR IT LOOKS LIKE ALL MILL AND OVERLAY THE VARIOUS PHASES OF DESIGN AND CONSTRUCTION AND CONSTRUCTION ON THESE WITH THE FINANCIAL COMPONENTS AND THE LANE MILES 
          [01:20:01]
BY COUNCIL DISTRICT. AND IF I'M GOING TO FAST MAYOR AND COUNCIL, FEEL FREE TO TO SLOW ME DOWN AS I WALK THROUGH THESE. I DO HAVE A QUESTION. IS THERE A WAY AND MAYBE THERE IT MAY BE PRESENTED RIGHT IN FRONT OF ME. SO I'M ASKING THIS FOR LEARNING PURPOSES BECAUSE OF THE WAY WE ACCOUNT FOR THINGS THAT WE CONSIDER THE MONEY SPENT ONCE IT'S ENCUMBERED, RATHER THAN WHEN IT'S ACTUALLY DEPLOYED, YOU KNOW, GIVEN TO THE CONTRACTOR OR WHATEVER. IS THERE A WAY OF SEEING LIKE THIS? LIKE THE PROJECT WENT OVER A LITTLE OVER 10% WENT OVER BUDGET. IS THERE A WAY OF SEEING THAT IN REAL TIME? YES. YES, WE WE CAN WE CAN ON THESE REPORTS. WE CAN SHOW A SNAPSHOT IN TIME OF WHAT'S BEEN SPENT VERSUS WHAT'S BEEN ENCUMBERED. 
          WE CAN WE CAN SHOW THAT IF THAT'S IF THAT'S A LITTLE IF THAT'S MORE CLEAR. CERTAINLY, COUNCILMAN, WE CAN DO THAT. YEAH. I MEAN, IF YOU THINK ABOUT A PROJECT LIKE ALEX RODRIGUEZ PARK, THAT'S 23, $24 MILLION, IF THAT'S, YOU KNOW, A 10% DIFFERENCE, THERE'S PRETTY SIGNIFICANT, YES, SIR, THAT GIVE MORE CONTEXT TO THE DISCUSSION. ABSOLUTELY. THANK YOU. HERE'S THE REST OF JUST THE FURTHER INFORMATION ON THE STREET REHABILITATION SECTION OF THE DSW PROGRAM. YOU CAN JUST SEE THE FINANCIAL IMPACTS THERE OF WHAT'S IN DESIGN AND IN CONSTRUCTION, AND WHAT'S PLANNING TO BE COMPLETE FOR 25, FISCAL 26 AND FISCAL 27. OKAY. 
          THE NEXT TWO SLIDES ARE SOME A COUPLE OF INFRASTRUCTURE DEPARTMENT SLIDES FOR SOME OF OUR LARGER PROJECTS. THIS IS THE GPI AND SHEEHY PARKWAY. HOPEFULLY I PRONOUNCED THAT CORRECTLY. PARKWAY PROJECT. THE COST YOU CAN SEE FOR THE DIFFERENT PHASES THERE. THE ALL IN COST IS 41.128. AND THAT'S GOING TO INCLUDE VARIOUS TYPES OF INFRASTRUCTURE IMPROVEMENTS RELATED TO WATER AND WASTEWATER, STREETS AND LIGHTING. AND YOU CAN SEE THOSE DIFFERENT COSTS THERE. YOU CAN SEE DOWN AT THE BOTTOM LEFT THE CONSTRUCTION TIMELINE WITH THE AMERICAN PLAZA WATER LINE, 30 INCH WATER LINE, PHASE TWO, AND THEN THE MOUNT CARMEL. WATER TREATMENT PLANT, PUMP NUMBER SEVEN. YOU CAN SEE THAT TIMELINE THERE GOING INTO THE THIRD QUARTER OF 2026. THE RIVERWALK PROJECT, I BELIEVE THAT WAS MENTIONED EARLIER IN THE MEETING. YOU CAN SEE THE TOTAL THERE IS $25,956,398, BROKEN DOWN INTO THE DIFFERENT BASE BID, PLUS THE DIFFERENT ALTERNATES THAT WERE APPROVED. THEN YOU CAN SEE THE PROJECT TIMELINE. YOU CAN SEE THE BIDDING THAT'S ALREADY OCCURRED, COUNCIL APPROVAL IN THE CONTRACTS GOING THROUGH DECEMBER, AND THEN FINALLY CONSTRUCTION KICKING OFF Q1 OF 20 OF THE CALENDAR YEAR 2026. 
          ALL RIGHT. TRANSITIONING OVER TO SELF-SUPPORTING CAPITAL AIRPORT, REHABILITATION OF THE RUNWAY, THE PRIMARY RUNWAY AT THE AIRPORT. IT'S IN THE DESIGN PHASE, AND IT'S CONSTRUCTION IS EXPECTED TO START IN FALL OF 2026. $13.2 MILLION BUDGET 95% GRANT FUNDED LIFE TO DATE EXPENSES ARE 690,000. FUNDING SOURCES, AGAIN, IS MOSTLY GRANTS. AND THEN WE'VE GOT SOME CASH OFFSETTING THAT AND IT'S AT 5% PROGRESS. THE APRON OR TARMAC RECONSTRUCTION. PHASE THREE THE FINAL CONCRETE POURS OCCURRED IN LATE OCTOBER. COMPLETION EXPECTED BY NOVEMBER 31ST. 90% GRANT FUNDED PROJECT LIFE. TO DATE EXPENSES ARE 2.797 MILLION. PROJECT PROGRESS IS 70% AND THIS IS FUNDED BY CASH AND GRANTS. DOWNTOWN REDEVELOPMENT PROJECT THIS IS THE SITE PREP AND UTILITY WORK PIECE. THE PROPERTY ACQUISITION ACTUALLY CLOSED ON NOVEMBER 14TH, SO WE MADE OUR WIRES FOR THAT FOR THAT PROJECT AND GOT THAT MONEY SENT OVER TO TITLE. 
          AND SO THAT'S COMPLETE. THE BUDGET FOR THIS PARTICULAR PIECE IS 6.9 MILLION LIFE TO DATE. EXPENSES ARE ZERO AT THIS POINT FOR THIS PIECE. THIS IS PENDING THE TIF SUPPORTED NOTE PROGRAM THAT WE'VE TALKED ABOUT WITH THE MAYOR AND CITY COUNCIL. SO THIS PROJECT PROGRESS IS AT 10%. ENTERPRISE UTILITY SYSTEMS, THE OLD MCGREGOR GROUND STORAGE TANK PROJECTS CURRENTLY IN THE BIDDING PROCESS. THIS WAS FUNDED WITH DEBT. BIDS SHOULD CLOSE ON DECEMBER 19TH AND IT'S A BUDGET OF 8.8 MILLION. LIFE TO DATE EXPENSES OF 656,000. YOU CAN SEE THE ESTIMATED DATES THERE. JULY 1ST OF 27 THE HIGHWAY 84 WASTEWATER SYSTEM IMPROVEMENTS. PHASE THREE B UNIDENTIFIED CONFLICTS DURING DESIGN AND CONSTRUCTION CAUSED PROJECT TO GO OVER BUDGET AGAIN. 
          WE'RE GOING TO SLIDE MONEY AROUND TO GET THIS COVERED. THIS IS PAID FOR. I NEED TO 
          [01:25:02]
VERIFY THAT FUNDING SOURCE THAT'S THAT'S LISTED THERE. BUT THE ESTIMATED DATE OF COMPLETION IS TEN, 15 OF 25. SO THAT WAS ACTUALLY IN OCTOBER. AND THAT PROJECT PROGRESS IS AT 100% THERE. THE CENTRAL PLANT DIGESTER CLEANING. THIS IS IN PROGRESS. THIS IS AT THE W WASTEWATER TREATMENT PLANT. THE CENTRAL PLANT. THE BUDGET IS 7.471 MILLION. LIFE TO DATE EXPENSES ARE 7.66. SO SLIGHTLY OVER BUDGET, PRIMARILY FUNDED WITH DEBT THERE. THE ESTIMATED DATES ARE JULY 2ND. PROJECTS ON TRACK PROJECT PROGRESS IS AT 25%. THE NORTH INTERCEPTOR FOR W MARS. THE NORTH INTERCEPTOR SEWER LINE. THIS PROJECT IS IN PROGRESS. BUDGET IS 10.5 MILLION. LIFE TO DATE EXPENSES ARE JUST SLIGHTLY OVER THAT PRIMARILY FUNDED WITH DEBT WITH A LITTLE BIT OF CASH OFFSET. THE ESTIMATED DATE ON THIS IS 212 OF 26 OF FEBRUARY 12TH. 
          PROJECT PROGRESS IS AT 50%. COMPLETE. THE BULL HIDE WASTEWATER TREATMENT PLANT EXPANSION IS ONE OF OUR LARGER PROJECTS HERE. FUNDED WITH DEBT PROJECT IS CURRENTLY IN THE BIDDING STAGE. BUDGET IS 75 MILLION. LIFE TO DATE. EXPENSES PRIMARILY RELATED TO DESIGN WOULD BE 4.6 MILLION. IT'S ON TRACK. THE CONSTRUCTION PIECE, OBVIOUSLY, SINCE IT'S STILL IN THE BIDDING STAGES AT 0% SPEEGLEVILLE ROAD DRAINAGE. THIS PROJECT HAS NOT BEGUN YET, BUT THE CONTRACT WAS AWARDED BACK IN SEPTEMBER. THE BUDGET WAS 8 MILLION. PROJECT LIFE TO DATE. EXPENSES AND ENCUMBRANCES ARE ABOUT 5,040,000. FUNDING SOURCES IS DEBT OUR DEBT ON THOSE OVER MULTIPLE FISCAL YEARS? THE CONSTRUCTION PROGRESS IS AT 0% BECAUSE IT WAS JUST AWARDED. BUT THE CONSTRUCTION PIECE IS NOT YET STARTED. ESTIMATED DATE IS NOVEMBER 1ST OF 2026. AND THEN FINALLY, THIS IS JUST A SUMMARY SLIDE OF THE CAPITAL IMPROVEMENT PROJECTS. WE PLAN ON PUTTING A CIP SECTION IN OUR MONTHLY MANAGEMENT REPORT. SO YOU'RE GOING TO SEE SOME MORE DETAIL AS THAT REPORT IS DISTRIBUTED TO THE MAYOR AND CITY COUNCIL AND THE DEPARTMENTS ON A MONTHLY BASIS AS WE GET INTO THAT CADENCE. SO I'M LOOKING FORWARD AS A FINANCE DEPARTMENT TO PRODUCING THAT REPORT. SO STOP RIGHT NOW AND ANSWER ANY QUESTIONS YOU MIGHT HAVE. ANY QUESTIONS COMMENTS, OBSERVATIONS. I LIKE WHERE THIS IS GOING. AND IT'S BEEN A WHILE SINCE WE'VE SEEN THIS CIP REPORT, BUT THE DETAIL IS GREAT. AND I, I LIKE KEEPING TRACK OF THESE THINGS, BUT AS I THINK ABOUT IT, THE AND I'LL GET WITH YOU ON MY THOUGHTS ON ORGANIZING THE BECAUSE IN MY MIND I WANT TO KNOW LIKE THE THINGS THAT THE TAXPAYERS AND EVERYBODY THE COUNCIL APPROVED IN 2023, THOSE 20 PROJECTS, WHERE ARE THEY? AND IT'S ABOUT I DON'T KNOW HOW YOU HAVE THESE SORTED EXACTLY. BESIDES YOU KIND OF WE'VE KIND OF PUT THEM ALL TOGETHER, I GET IT. BUT IN MY MIND I WANT TO MAKE SURE THAT THE STUFF THAT WE ALL THOUGHT WE WERE GOING TO GET DONE IN 2022, WHAT HAPPENED TO THAT? WHERE IS IT? WHAT IS IT DONE? BECAUSE HOPEFULLY THAT CHART WILL SHOW A LOT OF THEM COMPLETE. SO I DON'T HAVE A GOOD SENSE OF OUTSIDE OF THAT FUNDING SOURCES WHERE I KIND OF HAVE TO FIGURE OUT, OKAY, THAT WAS IN 2021 OR WHATEVER. IF I COULD SEE A SORT BY AND I'M NOT SEEING LIKE, I KNOW WE APPROVED JUST LAST YEAR, THE DOWNTOWN QUIET ZONE LIKE 10.8 MILLION. I DIDN'T SEE THAT SURE IN HERE, BUT MAYBE IT IS IN HERE. BUT THAT WAS ONE I JUST DIDN'T SEE. 
          I KNOW WE'LL GET THAT ONE. WE'LL GET THAT ONE ADDED. BUT DO YOU SEE WHAT I'M SAYING? ABSOLUTELY. IF BECAUSE WHAT WAS THE WHAT WAS THE TARGET GROUPING HERE. JUST WE PICKED OUT PROJECTS THAT WE WERE LARGER PROJECTS WE PICKED OUT PROJECTS THAT WERE WE THOUGHT WERE I GUESS BASICALLY COUNTS MIGHT BE MIGHT BE MORE INTERESTED IN WE DO HAVE A LOT OF PROJECTS. SOME OF THEM ARE, YOU KNOW, THE MORE ROUTINE OR MUNDANE PROJECTS. AND ALSO IN TERMS OF OUR SYSTEM, WE'VE GOT A LOT OF OPEN PROJECTS AND WE'RE WORKING TO GET THOSE THEY'RE CLOSED AND COMPLETED. BUT TO GET A GOOD PRESENTATION FOR YOU ALL IN THE FORMAT THAT YOU'D LIKE TO SEE IT. YEAH, IT MIGHT BE HELPFUL JUST TO SEE, BECAUSE MOST OF US HAVE BEEN HERE THREE YEARS, THE ONES THAT WE ALL APPROVED THREE YEARS AGO, WHERE ARE ALL, REGARDLESS OF HOW BIG, AT LEAST IN A SPREADSHEET, EVEN IF IT'S A MILLION OR HALF A MILLION, IT SEEMS THAT'S A LOT OF MONEY, AND THERE'S DIFFERENT WAYS TO SHOW IT AND DIFFERENT DETAIL THAT WE CAN SHOW IT IN DIFFERENT WAYS. SO WE'LL I'D BE HAPPY TO GET YOUR THOUGHTS ON THAT AND WE'LL WORK TOWARDS THAT FOR SURE. GOOD. BECAUSE THERE'S WHAT, 18 TO 20 PROJECTS EVERY YEAR. SO THREE YEARS, THAT'S 60. I KNOW IT DOESN'T SEEM LIKE YOU KNOW, IT DOESN'T SEEM OVERLY BURDENSOME, BUT I, I JUST DON'T WANT TO MISS ANYTHING BECAUSE WHEN I SEE 
          [01:30:06]
THAT I APPROVED SIX MONTHS AGO OR EIGHT MONTHS AGO AND WE DECIDED TO DO THE CEOS DOWNTOWN QUIET ZONE FOR 10.7 MILLION, I KIND OF WHAT'S HAPPENED WITH THAT? ABSOLUTELY. YES, SIR. AND I DIDN'T SEE THE WEST SIDE LAKE WATER WASTEWATER. MAYBE IT WAS IN THERE SOMEWHERE. THAT'S 19 MILLION. AND THAT MOUNT CARMEL RIVERSIDE PLANT IMPROVEMENTS. 9 MILLION. I DON'T KNOW IF THAT WAS IN THERE OR NOT. AND I'M LESS. AGAIN, WE CAN TALK ABOUT PRESENTATION. I'M LESS CONCERNED ABOUT SEEING A PICTURE OF IT AS MUCH AS TRACK WHAT WE APPROVED AND WHERE IS IT? ABSOLUTELY, MAYOR. IN MORE SPREADSHEET FASHION AND GANTT CHART TOO, IF YOU CAN THROW THAT IN. ALL RIGHT. OKAY. ALL RIGHT, ALL RIGHT. GREAT. I DON'T MEAN TO BE CRITICAL BECAUSE THIS IS FANTASTIC INFORMATION. THANK YOU I APPRECIATE YOU AND BLUE BOTH ARE GETTING THIS SUPER ORGANIZED. AND I LIKE THE WAY THE DIRECTION YOU'RE GOING WITH IT. THANK YOU. OKAY I THINK THAT'S IT THEN. RIGHT. CALL. ALL RIGHT. DEPUTY CITY MANAGER EMERSON, WE HAVE ONE MORE WORK SESSION ITEM, PUBLIC HEARING AGENDA ITEMS. RIGHT. CLINT PETERS, DIRECTOR OF DEVELOPMENT SERVICES, IS ON HIS WAY TO TALK ABOUT THE PLANNING ITEMS. THANK YOU. DEIDRE. MAYOR, CITY COUNCIL, WE DO HAVE SEVEN PUBLIC HEARINGS. THIS MEETING, ACTUALLY THREE ARE RELATED TO ANNEXATIONS. THERE'S A ZONING CASE RELATING TO THE TWO ANNEXATIONS AND THEN FIVE ZONING CASES. I DO WANT TO COVER FIVE OF THEM. THE FIRST ONE IS F THREE, WHICH IS THE PUBLIC HEARING FOR 602 JAMES AVENUE. THIS IS THE FINAL PUD FOR A MID-RISE STUDENT HOUSING PROJECT BEING DEVELOPED BY THE PARALLEL COMPANY, THE SEVENTH AND JAMES BAPTIST CHURCH SITE, AND ADJACENT TO BAYLOR UNIVERSITY. IF YOU REMEMBER, THE COUNCIL DID APPROVE THE CONCEPT PLAN FOR THIS DEVELOPMENT IN OCTOBER, WHICH DID ENTITLE THE PROPERTY FOR THE DENSITY, THE HEIGHT, SOME OF THE BUILDING REQUIREMENTS. 
          AND THEN THIS IS THEIR FINAL PLAN SUBMITTAL TO ADDRESS ALL THE CONDITIONS THAT WERE PROVIDED WITH THE CONDITION WITH THE CONCEPT PLAN. SO THIS IS THE PROPERTY IT'S IN BETWEEN JAMES AND BAGBY AT THE CORNER OF FIFTH. IT IS A PROPERTY PURCHASE FROM SEVENTH AND JAMES BAPTIST CHURCH. THEY ARE. PURCHASING APPROXIMATELY HALF OF THEIR SITE THAT GOES ALL THE WAY TO SEVENTH STREET. AND DEMOING THE EXISTING SANCTUARY TO BUILD A NEW APARTMENT. AND THEN THE THE CHURCH WILL BE USING PROCEEDS FROM THE SALE TO. RIGHTSIZE, A NEW CHURCH SANCTUARY, FOR THEIR CONGREGATION. SO THE CURRENT ZONING IS THE PUD ZONING. IT'S VERY SIMILAR TO SOME OTHER HIGHER DENSITY STUDENT HOUSING PROJECTS THAT YOU SEE AROUND CAMPUS. WITH THE PARK SEVEN DEVELOPMENT VIEWPOINT AND THE VIEW. HERE'S THEIR SITE PLAN. 
          YOU CAN SEE THERE IS A PARKING GARAGE THAT IS COMPLETELY WRAPPED, SO YOU WILL NOT SEE THE GARAGE FROM THE STREET, AND THEN THEY'LL HAVE A INTERIOR COURTYARD WITH POOL AND AMENITIES IN THE MIDDLE, AND THEY'LL HAVE WIDE SIDEWALKS ALL AROUND THE SITE WITH A TEN FOOT PEDESTRIAN WAY, EIGHT FOOT SIDEWALKS, STREET TREES, AND LIGHTING ALL THE WAY AROUND. 
          AND THEN JUST THIS KIND OF SHOWS YOU MORE WHERE THE PARKING IS. AND YOU CAN SEE THE, THE, THE USE WRAPS AROUND IT. THE ELEVATION WILL BE ALL MASONRY OR GLAZING. SO IT'LL BE A NICE LOOKING EXTERIOR OF THE BUILDING. AND THE FINAL PUD HIGHLIGHT. SO WITH THE CONCEPT PLAN WE HAD NUMEROUS CONDITIONS RELATED TO A TRAFFIC STUDY, UTILITY STUDY, SOME MAINTENANCE AND SECURITY PLANS. THE THE SITE, PEDESTRIANS AROUND THE DEVELOPMENT, AND THEN A STREET CLOSURE PLAN REQUIREMENT ON HOW IT'S GOING TO IMPACT THE STREETS WHILE IT'S UNDER CONSTRUCTION. AND SO THEY DID PROVIDE ALL THESE. WE WORKED CLOSELY WITH THE DEVELOPER AND BAYLOR UNIVERSITY TO REVIEW THOSE. I WILL SAY THAT THE TRAFFIC STUDY CAME BACK GOOD. 
          WHAT THEY'RE PROPOSING FITS IN WITH THE EXISTING STREET CAPACITIES. SAME WITH THE WATER 
          [01:35:01]
AND WASTEWATER STUDIES. THEY DO HAVE A STREET CLOSURE PLAN THAT WILL LEAVE. GO BACK TO THE MAP. 
          WE'LL LEAVE BAGBY AND JAMES OPEN BOTH WAYS WITH TWO WAY TRAFFIC. WITH FIFTH STREET, A PORTION OF FIFTH STREET WILL BE CLOSED DOWN AND THEN WILL BE ONE WAY TRAFFIC. BUT THE CIRCULATION WORKED WITH BAYLOR UNIVERSITY'S OPERATIONS, AND THEY WERE SATISFIED WITH THAT PLAN. THE OTHER. CONDITION ON THERE WOULD BE DEALT WITH PARKING. THERE WAS A GROUP THAT CAME OR A GENTLEMAN THAT CAME AT THE SECOND READING OF THE CONCEPT PLAN THAT HAD CONCERNS ABOUT PARKING. SO WE DID A DEEPER DIVE WITH THE FINAL PUD TO MAKE SURE THEY HAD ADEQUATE PARKING BASED ON WHAT'S NEEDED FOR TO SUPPORT THIS TYPE OF USE. SO BASED ON OUR UNIT COUNT FOR MULTIFAMILY AND OUR PARKING REQUIREMENTS IN OUR ORDINANCE, THERE WAS 478 PARKING SPACES REQUIRED. AND THE DEVELOPER IS PROVIDING THAT NUMBER WITH 478 SPACES AT A MINIMUM. THEY WILL ALSO HAVE AREAS FOR VISITORS PARKING AND THEN DROP OFF SPACE FOR DELIVERIES. AND. VISITORS. 
          IS THAT SEPARATE FROM THE 478? SO IN ADDITION TO THAT'S IN ADDITION TO YEAH, THEY'RE STILL WORKING OUT THE DETAILS ON WHERE THE DELIVERY DROP OFF WILL BE FOR FOOD AND VISITOR PARKING. BUT WE DID PUT A CONDITION ON THERE THAT IT NEEDS TO BE OUTSIDE OF THE EXISTING STREET CURB. SO ON SITE BASICALLY. AND THEY'RE, THEY'RE THEY'VE LOOKED AT THAT AND THEY BELIEVE THEY'LL BE ABLE TO MEET THAT. SO WE DID ADD THAT AS A CONDITION, THIS APPROVAL THAT IT HAS THAT MINIMUM 470 SPACES ON SITE AND THAT THE THE VISITOR PARKING FOR DELIVERIES AND LOADING AND UNLOADING WILL BE OFF OFF STREET. CAN I CAN I FOLLOW UP ON COUNCILMEMBER EWING'S QUESTIONS ON PARKING THERE? I MEAN, MY UNDERSTANDING OF, YOU KNOW, OUR COMMUNITY AND MOST OTHER LIKE FULL TIME RESIDENTIAL FOUR YEAR COLLEGES IN THE STATE OF TEXAS, YOU KNOW, WITH LIMITED PUBLIC TRANSPORT, IS GENERALLY EACH BEDROOM EQUALS A VEHICLE. IS THAT I MEAN, IS THERE SOMETHING UNIQUE ABOUT THIS APARTMENT COMPLEX THAT LIKE, WOULD LEGISLATURE, MORE INTERNATIONAL STUDENTS, OR YOU KNOW WHAT I MEAN? LIKE THE LEGISLATURE MADE IT, I THINK RECENTLY, SOMEWHAT RECENTLY THAT YOU DON'T HAVE TO DO MORE THAN ONE SPOT PER UNIT, NOT BEDROOM PER UNIT, THAT THAT WE DIDN'T HIT THE THRESHOLDS TO REQUIRE THAT IT'S BASED ON POPULATION. BUT WE'RE GETTING CLOSE WITH, YOU KNOW, IN THE BAY AREA, THIS IS ACTUALLY THIS PROPERTY IS ACTUALLY NOT IN THE OVERLAY, BUT THE THE OVERLAY DOES REQUIRE ONE SPACE PER BEDROOM. WHEN YOU GET TO THIS DENSITY. WHAT WE'VE SEEN NOT ONLY IN OUR LOCAL MARKET, BUT THE TALKING WITH SOME OF THE OTHER CITIES THAT PARALLELS DEVELOPED IN, NAMELY COLLEGE STATION AND LUBBOCK, THE, THE THE MARKET FOR THIS DENSITY IS ABOUT A 25% REDUCTION IN PARKING. JUST BECAUSE YOU HAVE YOU'LL HAVE A ELEMENT OF THE UNITS THAT WON'T BE RENTED OUT. THEY'RE NOT ALWAYS 100% FULL. YOU DO HAVE A BECAUSE THESE ARE BASICALLY ON SITE APARTMENTS, ALMOST PRIVATE DORMS. YOU DO NOT HAVE 100% OF STUDENTS HAVING CARS. AND THAT THAT IS PLAYED OUT WITH THE OTHER THREE COMPLEXES, NOT ONLY IN WACO BUT IN OTHER MARKETS. SO WE DID VERIFY THAT THAT 25% REDUCTION IS A ADEQUATE AMOUNT OF PARKING FOR FOR FACILITIES OR FOR COMPLEXES THIS SIZE. SO, SO I MEAN, CITY STAFF DOES NOT EXPECT THAT, LIKE THE STREETS AROUND THERE ALREADY, SAY, DURING THE HOURS OF 8 TO 4 OR SO OR ALREADY LINED WITH, YOU KNOW, YOU KNOW, ON STREET PUBLIC PARKING. AND SO BOTH ON BAGBY. WELL, NOT ON BAGBY, BUT ON JAMES. SOME ON SEVENTH. I DON'T THINK YOU CAN ON FIFTH, BUT CORRECT. SO DID THEY. SO I GUESS CITY STAFF IS NOT EXPECTING THIS DEVELOPMENT TO INCREASE THAT TIGHTNESS THERE. AS KIND OF WAS SPOKEN TO THE LAST TIME WE DISCUSSED THIS. SO. 
          CORRECT. SO YOU'RE SO FIFTH AND BAGBY. THERE'S CURRENTLY NO ON STREET PARKING. JAMES DOES THAT DOES HAVE CURRENTLY HAVE ON STREET PARKING. THAT IS A TALKING TO BAYLOR. THAT IS A CONCERN OF THEIRS IS THAT, YOU KNOW, AFTER THIS, NOT ONLY DURING CONSTRUCTION BUT AFTER 
          [01:40:06]
CONSTRUCTION. AND WE'RE GOING TO MONITOR THAT WITH BAYLOR AND MAKE ADJUSTMENTS, IF NEEDED, TO ON STREET PARKING OF JAMES BECOMES A PROBLEM. AND THAT'S ONE OF THE REASONS WHY THOSE LOADING UNLOADING DELIVERY AREAS WILL BE OFF STREET REQUIRED TO BE OFF STREET THERE. 
          SO IT DOES NOT CREATE ANY ISSUES ON JAMES. OKAY. I MEAN, I GUESS THAT ADDRESSES MY CONCERNS WITH IT. I DO LIKE THE ESTHETICS OF IT BECAUSE IT LOOKS LIKE AN OVERLAY DESIGN, YOU KNOW, AND I KNOW WE HAVE THAT ONE NOTABLE PROPERTY THAT KIND OF HELPED FACILITATE THE OVERLAY ORDINANCE. SURE. IT'S INTERESTING. WHY IS THIS NOT IN THE OVERLAY? SO THAT'S A I WISH I HAD OVERLAY MAP, BUT WE WHEN WHEN WE CREATED THE OVERLAY BACK IN I THINK 20 I DON'T KNOW LATE 2010 SOMEWHERE IN THERE WE LEFT OUT BAYLOR UNIVERSITY PROPER. AND I THINK THE CHURCH PROPERTY JUST GOT LUMPED INTO THERE. SO YEAH LIKE IT WENT TO BAGBY AND RIGHT INTO JAMES. 
          YEAH. SO TECHNICALLY IT IS NOT IN THE IN THE OVERLAY, BUT IT MEETS ALL THE ALL, ALL THE STANDARDS OF THE OVERLAY EXCEPT FOR THAT PARKING. BUT AGAIN, THAT, THAT IS CONSISTENT WITH OUR STANDARD ORDINANCE PARKING ORDINANCE. AND THEN WHAT WE'VE SEEN WITH THE OTHER PROPERTIES, I WILL SAY THE, THE ONE WHAT I CALL KIND OF HIGH DENSITY APARTMENT OVER THERE THAT DOES HAVE THE ONE SPACE TO 100 IS THE VIEW. AND THAT'S ACTUALLY THE ONE WHERE YOU CAN ACTUALLY SEE THE PARKING GARAGE STICKING UP ABOVE. IF YOU GO INTO THAT PARKING GARAGE, THAT THE TOP TWO FLOORS OF THAT ARE ALMOST ALWAYS EMPTY, AND IT HAS A 1 TO 1, AND THAT THAT IS THE ONLY ONE THAT HAS THE 1 TO 1, THE OTHER TWO, PARK SEVEN AND VIEWPOINT WERE BUILT WITH THAT 25% REDUCTION. AND AND IT'S BEEN MORE RIGHT SIZE FOR WHAT'S THE DEMAND IS FOR PARKING ON ON THESE HIGHER DENSITY UNITS. THANK YOU. APPRECIATE IT. SURE. IS THERE JUST A FOLLOW UP ON THE WHOLE PARKING SITUATION? ARE THERE KIND OF BAKED IN SOLUTIONS FOR, YOU KNOW, WHEN PARENTS COME IN OR GAME DAYS WHEN TIMES WHEN AT LEAST MAYBE A THIRD TO A HALF OF THE 400 PLUS. WAIT A MINUTE. MORE THAN THAT 630 PEOPLE HAVE THERE. MOM AND DAD ARE COMING TO TOWN, SO THEY GOT TO PARK SOMEWHERE. IS THERE GOING TO BE? IS THAT IT'S NOT BAYLOR'S PROBLEM. IT WILL HAVE VISITOR PARKING AVAILABLE. AND I KNOW THAT'S PROBABLY 20 SPOTS. YEAH, ON ON A HOMECOMING WEEKEND OR PARENTS WEEKEND, THAT'S NOT GOING TO BE ENOUGH. THEY'RE GOING TO YOU KNOW, IT'S GOING TO BE AND BUT I THINK THAT'S COMMON WHEN YOU HAVE URBAN SCALE, YOU'RE NOT GOING TO BE ABLE TO PARK IT AT THE HIGHEST DEMAND FOR FOR VISITORS. OKAY. BUT YOU'LL HAVE A PLACE FOR YOUR UBER DRIVER TO DROP YOU OFF. YEAH. THERE YOU GO. THE NEXT THREE PUBLIC HEARINGS THAT I WANTED TO COVER ARE SOMEWHAT RELATED TO THE TWO ANNEXATIONS. AND, YOU KNOW, BOTH OF THESE ARE SOMEWHAT CONNECTED BECAUSE OF DEVELOPMENT AGREEMENTS AND UTILITIES THAT WOULD EVENTUALLY CONNECT TO SERVE BOTH OF THESE PROPERTIES. SO THE TWO ANNEXATIONS ARE THE WESTLAKE ANNEXATION AND PLANNED UNIT DEVELOPMENT, WHICH IS RIGHT ACROSS THE LAKE ON HIGHWAY SIX. AND THEN THE EDGEWOOD ANNEXATION, WHICH IS OFF SPEEGLEVILLE ROAD. BOTH OF THESE ARE VOLUNTARY ANNEXATIONS AND ZONING BASED ON DEVELOPMENT AGREEMENTS THAT THE COUNCIL HAS ALREADY APPROVED PREVIOUSLY. SO THE FIRST ONE IS THE WESTLAKE. 
          THIS IS A 560 ACRES DEVELOPMENT, 67 ACRES DEVELOPMENT, AND THAT WILL BE SUBURBAN RESIDENTIAL LAND USE. AND THEN PUD ZONING. THE PUD WILL INCLUDE ABOUT 1200 SINGLE FAMILY UNITS OF OVER 200 ACRES OF GREEN SPACE, OPEN SPACE, WHICH IS IN THE 503 FLOWAGE EASEMENT, AND THEN A SMALL SECTION OF TOWNHOUSES WITH MULTIFAMILY AND 16 ACRES OF COMMERCIAL. REMEMBER THAT 16 ACRES, BECAUSE IT WILL MAKE WILL BE TALKING ABOUT THAT WITH A CASE COMING UP ACROSS THE HIGHWAY. EDGEWOOD IS A ABOUT 213 ACRES ADJACENT TO OUR CITY LIMITS OFF SPEEGLEVILLE ROAD. 
          THE RIVERSIDE ADDITION SUBURBAN RESIDENTIAL. THIS WILL ALL BE. THIS WILL BE 100% SINGLE FAMILY RESIDENTIAL AND THEN SOME PARKLAND. AND THEN OUR STANDARD SINGLE FAMILY ZONING, R-1 
          [01:45:03]
ZONING. AND THIS IS THE PRELIMINARY PLAT THAT HAS BEEN SUBMITTED. IT HAS NOT BEEN APPROVED YET. THERE'S STILL SOME CONDITIONS THAT WE'RE WORKING THROUGH. SO THIS THIS LAYOUT MIGHT CHANGE, BUT YOU CAN KIND OF GET A SENSE OF THE DEVELOPMENT PATTERN FOR THAT WHICH WITH ALL SINGLE FAMILY. AND THEN THERE IS AREA FOR A PARK AS WELL. AND CLINT, JUST FOR CLARITY, THIS ONE HAS HIT MY MY DESK ON A COUPLE OF ISSUES. ALL WE'RE DOING TONIGHT IS APPROVING THE ANNEXATION. WE'RE NOT APPROVING THE PRELIMINARY PLAT, AT LEAST ON THIS ONE. I KNOW THE WESTLAKE. IT'S YEAH, WE'RE APPROVING THE ANNEXATION OF THE PROPERTY. 
          DOES NOT APPROVE THE PLAT OR ANY OF THE CONSTRUCTION OF THAT BECAUSE THERE'S A PRELIMINARY PLAT PROCESS AND THEN THERE'S A FINAL PLAT. THAT'S CORRECT. I JUST KIND OF WANTED TO GIVE YOU A SENSE OF WHAT IS BEING PROPOSED THERE, AT LEAST ON EDGEWOOD, ON WESTLAKE IS A LITTLE BIT MORE THAT WE'RE DOING. YEP. SO FOR FOR WESTLAKE IT'S THE PUD. SO THAT IS THAT SPECIFIC PLAN THAT WE SHOWED YOU. BOTH OF THESE WERE RECOMMENDED FOR APPROVAL. AND WE DO HAVE A SEPARATE PUBLIC HEARING FOR THE PUD BECAUSE IT IS ESTABLISHING A PUD. SO THERE'S ACTUALLY THREE PUBLIC HEARINGS THAT WE'LL GO THROUGH. WE DID GET SOME FEEDBACK AT THE PUBLIC HEARINGS WITH CONCERNS JUST GENERALLY WITH DEVELOPMENT HAPPENING IN THOSE AREAS, CONCERNS ABOUT HOW IT IMPACTS ADJACENT DEVELOPED AREAS AND THEN CONCERNS ABOUT DOES THIS MEAN IF I'M ADJACENT TO THIS, AM I GOING TO GET ANNEXED? WELL, STATE LAW DOES NOT ALLOW THAT. 
          THIS IS A VOLUNTARY ANNEXATION AND THERE'S NO INTENT OR PLANS TO INVOLUNTARY ANY ADJACENT PROPERTY TO THIS. SO AND THEN YOU KNOW, THESE THIS IS AREAS THAT ARE GOING TO DEVELOP WHETHER THEY'RE IN THE CITY OR NOT. THESE ARE HOT DEVELOPMENT AREAS. THE ANNEXATION ALLOWS US TO HAVE ORDERLY AND COORDINATED DEVELOPMENT PATTERNS, MAKE SURE IT HAS THE CORRECT INFRASTRUCTURE AND CITY SERVICES TO SERVICE THIS THIS PATTERN OF DEVELOPMENT. SO THE ANNEXATION IS A GOOD TOOL FOR ORDERLY AND APPROPRIATE DEVELOPMENT FOR THESE AREAS. 
          AND CLINT, WITH THAT, THESE ARE UNINCORPORATED AREAS OF THE COUNTY THAT ARE WITHIN A CERTAIN DISTANCE FROM OUR OWN, FROM OUR OWN BOUNDARIES, OUR OWN MUNICIPAL BOUNDARIES THAT ALLOW US TO ANNEX THEM VOLUNTARILY. RIGHT? THAT'S CORRECT. YEAH. BOTH OF THESE ARE ABOVE OUR CITY LIMITS. IF YOU GO BACK UP TO THIS MAP HERE, YOU CAN SEE, YOU KNOW, THE EDGEWOOD IS ADJACENT TO THAT RIVERSIDE DEVELOPMENT, RIGHT, RIGHT NEXT DOOR. AND THEN LAKE WACO IS THE ADJACENT CITY LIMITS TO WEST LAKE. THAT CONTIGUOUS TO THE TWO PROPOSED ANNEXATIONS. IT'S KIND OF A ALMOST PURELY ACADEMIC QUESTION, BUT WOULD ANY OTHER LOCAL ENTITIES NEARBY ANY MUNICIPALITIES, BE ABLE TO ANNEX THEM? SHOULD THEY HAVE GONE THROUGH THEIR CITY COUNCILS OR. NO, JUST BECAUSE THEY THEY BORDER US AND BORDER US? THAT'S CORRECT. YEAH. THE CITY OF WACO IS THE ONLY MUNICIPALITY THAT HAS OPPORTUNITY TO ANNEX THESE PROPERTIES. OKAY. THANK YOU. THE OTHER BENEFIT OF ANNEXATION IS BOTH OF THESE ARE IN CLOSE PROXIMITY TO LAKE WACO, WHICH IS OUR DRINKING WATER SOURCE. 
          AND ANNEXING THEM AND PROVIDING THEM WITH SEWER PROTECTS OUR OUR DRINKING WATER IN LAKE WACO. 
          IF IT WOULD DEVELOP IN THE ETJ WITHOUT ANNEXATION, YOU WOULD HAVE SEPTIC TANKS AND ALL THAT DEVELOPMENT THERE, WHICH IS NOT NOT GOOD. YEAH. AND FOR CLARITY, THESE PEOPLE ARE THESE PEOPLE WANT TO ANNEX. THEY'RE ASKING YEAH, THIS IS A VOLUNTARY ANNEXATION. YES. THEY'RE REQUESTING TO BE ANNEXED. AND THEN OUR LAST PUBLIC HEARING THAT I WANTED TO COVER IS ACTUALLY A REZONING. THAT'S RIGHT ACROSS THE HIGHWAY FROM WEST LAKE ON HIGHWAY SIX, ON OVERFLOW ROAD. WEST LAKE IS THIS PROPERTY RIGHT HERE? THIS IS A REZONING FROM R-1, B TO C-2 ON APPROXIMATELY 16 ACRES OR VERY SIMILAR ACREAGE TO THE COMMERCIAL PART OF WESTLAKE. I FORGOT TO MENTION THAT THE WESTLAKE COMMERCIAL PORTION OF THE PUD WAS MODELED AFTER THE C-2 ZONING, WHICH IS WHAT THEY'RE ASKING FOR ON THIS. IT LOOKS LIKE KIND OF A WEIRD BOUNDARY FOR WHAT THE REQUESTING IS. THAT IS THE 503 LINE ON THE PROPERTY VERY, VERY SIMILAR TO WESTLAKE. THERE IS 503 FLOOD FLOOD ZONE. YEAH. THE THE FLOOD EASEMENT FOR LAKE WACO. SO STAFF, WHEN THEY CAME TO US, THEY WERE INITIALLY GOING TO REQUEST THE WHOLE PROPERTY AND STAFF. WE TOLD THEM THAT WE WOULD NOT RECOMMEND ANYTHING, YOU KNOW, INSIDE THE 503. SO THEY AMENDED THEIR REQUEST TO JUST INCLUDE THE PART, THE PORTION OF THE LAND THAT'S OUTSIDE OF THE 503. IT IS C-2 ZONING, WHICH IS OUR WHAT WE CALL COMMUNITY 
          [01:50:01]
COMMERCIAL ZONING. IT'S THE ZONING THAT WE USE AT LEGENDS CROSSING AND CENTRAL TEXAS MARKETPLACE. IT'S OUR KIND OF OUR STANDARD COMMERCIAL ZONING, WHERE WE'RE SEEING DEVELOPING AREAS THAT ALLOWS COMPATIBLE COMMERCIAL USES AND POTENTIALLY SOME MULTIFAMILY. THIS SITE DOES NOT HAVE UTILITIES RIGHT NOW, SO BEFORE IT CAN DEVELOP, IT WILL NEED TO EXTEND WATER AND SEWER. BUT THE ZONING WILL ALLOW THOSE COMMERCIAL USES THAT WOULD BE COMPATIBLE WITH NOT ONLY WITH THE AREA, BUT WITH WHAT'S DEVELOPING ACROSS THE HIGHWAY. TO CLINT. WHAT ARE SOME LIKE A CONVENIENCE STORE? IS THAT IN SITU? YEAH, CONVENIENCE STORES, GENERAL RETAIL RESTAURANTS. BUT IT DOESN'T HAVE ANY INDUSTRIAL USES OR HEAVY, HEAVY COMMERCIAL USES. NO TRUCK STOPS, STORAGE, THINGS LIKE THAT. GOT IT. AND THEN HERE'S THE SITE. YOU CAN SEE BOTH OF THEM. AND THEN PLANNING COMMISSION DID DID RECOMMEND APPROVAL OF THIS AS WELL. IT WAS A SPLIT VOTE BUT IT WAS FOR RECOMMENDATION. AND IT SEEMED LIKE I WATCHED THAT PLANNING COMMISSION DEAL. AND IT SEEMED LIKE SOME OF THE QUESTIONS WERE. AROUND. HANG ON ONE SECOND. YEAH, WHAT CITY IS GOING TO BE? AND I KNOW THAT SOME PEOPLE ASK THEM, WHAT ARE YOU GOING TO DO? AND YOU DON'T REALLY HAVE TO TELL YOU WHAT YOU'RE GOING TO DO. YOU JUST SEE TO WHATEVER C2 ALLOWS IS WHAT THE REQUEST IS. YEAH. I THINK A LOT OF THE CONCERN WAS THAT IT COULD DEVELOP FOR SIMILAR USES FURTHER OUT. HIGHWAY SIX IN THE ETJ THAT HAS NO ZONING AND SOME OF THE HEAVIER COMMERCIAL AND INDUSTRIAL AND C2 PROTECTS THAT THIS PROPERTY FROM THAT. IT DOES ALLOW COMMERCIAL AND RETAIL USES, BUT NOT TO THE LEVEL THAT THE CONCERN WAS ABOUT FURTHER UP HIGHWAY SIX. AND THEN IS THIS ALREADY THIS ISN'T IN THE CITY LIMITS. THIS IS ALREADY IN THE CITY. ALREADY IS. YEAH. IT WAS ANNEXED BACK IN THE 70S AROUND LAKE WACO, BUT IT IS ACTUALLY ON THAT SIDE OF THE HIGHWAY SIX. IT'S THE ONLY PRIVATE PROPERTY THAT'S INSIDE THE CITY LIMITS. YEAH. AND THE OTHER. YEAH. THE OTHER PART WAS, I THINK, THE ANSWER TO A LOT OF IT, AND YOU DID JUST ANSWERED IT, IS THAT THERE IS GOING TO BE CODE ENFORCEMENT HERE. THIS IS GOING TO BE A DIFFERENT GAME. CORRECT. 
          WHATEVER ANYBODY OWNS FURTHER OUT IN THE ETJ WE DON'T HAVE AS MUCH. WE DON'T HAVE ANYTHING READY TO TELL THEM WHAT THEY CAN AND CAN'T. YEAH. SO THEY'LL HAVE TO THEY'LL HAVE TO PULL PERMITS TO BUILD ANYTHING THERE. AND IT WILL HAVE TO ABIDE BY ALL THE REQUIREMENTS OF C2 AND OUR ZONING DISTRICT AND BUILDING CODES. AND IT'S LITERALLY RIGHT ACROSS THE STREET OR HIGHWAY SIX FROM WESTLAKE, RIGHT ACROSS THE STREET. YEP. OKAY. THANKS, CLINT. THAT'S ALL THE PUBLIC HEARINGS. I DID WANT TO BRIEFLY TALKED ABOUT ABOUT SIX MONTHS AGO, GAVE YOU A PRESENTATION ABOUT DEVELOPMENT SERVICES, DEPARTMENT IMPROVEMENTS AND OUR REORGANIZATION TO TRY TO IMPROVE OUR SERVICES. AND WE HAD THESE KEY INDICATORS, PERFORMANCE INDICATORS. AND I TOLD YOU SIX MONTHS AGO THAT HOPEFULLY IN SIX MONTHS, I CAN COME BACK TO YOU AND SHOW YOU THAT WE'RE MEETING THOSE KPIS. AND I'M HAPPY TO BRING SOME NEWS THAT WE ARE MEETING TWO OF THE THREE, OR ALMOST THERE ON THE THIRD ONE, BUT A LOT OF HARD WORK FROM OUR DEPARTMENT STAFF AND SUPPORT FROM CITY MANAGER'S OFFICE AND CITY COUNCIL. SO WE'RE EXCITED TO SHARE THOSE NUMBERS WITH YOU. SO WE'RE GOING TO GO OVER THE THREE KPIS THAT WE'RE MAKING IMPROVEMENT ON. SO THE FIRST IS OUR COMMERCIAL PLAN REVIEW KPIS TO HIT 90% OF PLAN REVIEW COMMENTS WITHIN 20 DAYS. HAPPY TO SAY, IN SEPTEMBER WE WERE 100% OF THOSE 26 OUT OF 26. WITH THAT AVERAGE DAYS TO COMPLETE REVIEW OF ABOUT 18 DAYS. AND YOU CAN YOU CAN SEE THE THE TREMENDOUS IMPROVEMENT IN THE LAST SIX MONTHS FROM A LOW OF 40% UP TO THAT 100%. SO A LOT A LOT OF GOOD WORK THERE. RESIDENTIAL PLAN REVIEW. WE'VE HIT 100% THREE OF THE LAST FIVE MONTHS. WE JUST MISSED IT BY ONE THIS LAST MONTH, BUT WE'RE UNDER TWO DAYS ON AVERAGE DAYS TO COMPLETE A REVIEW FOR RESIDENTIAL PLAN REVIEW. SO HITTING OUR TARGET OF 90%, 95% ON THAT. AND THEN OUR LAST KPIS IS DEALING WITH NEXT DAY INSPECTIONS. SO IF YOU SCHEDULE YOUR INSPECTION TODAY, WE WANT TO HIT 98%. THAT WILL DO THE INSPECTION THE NEXT DAY. WE'RE CURRENTLY AT ABOUT 95%, SO WE'RE ABOUT THREE PERCENTAGE POINTS OFF. BUT I THINK WE'RE GOING TO GET THERE PRETTY SOON. BUT AGAIN, YOU CAN SEE THE 
          [01:55:01]
IMPROVEMENT OVER THE LAST YEAR WHERE WE WERE DOWN IN THE MID 80S AND UP TO THAT 95% AND LAST LESS THAN A YEAR, AND THEN EVEN BIGGER IMPROVEMENT IN OUR ELECTRICAL WHERE WE WERE DOWN IN THE MID 70S, UP TO OVER 90%. SO HAPPY TO SHARE THESE NUMBERS WITH YOU AND EXCITED TO KEEP THIS UP AND ABLE TO BRING THESE UPDATES TO YOU IN THE FUTURE AS WELL. CLINT, I KNOW THIS IS AN AREA THAT COUNCIL HAD IDENTIFIED. WE HEAR FROM A LOT OF FOLKS IN THE BUSINESS COMMUNITY AND THE RESIDENTIAL COMMUNITY. AND SO JUST REALLY APPRECIATE HOW RESPONSIVE YOUR TEAM HAS DONE HERE AND AND DEVELOPING THESE PROCESSES THAT SHOW THIS AMAZING RESPONSE TIME. 
          SO THANKS FOR SHARING THIS WITH US. THANK YOU ALL FOR THE SUPPORT. YEAH, I WOULD SAY CONGRATULATIONS AND THANK YOU FOR THE INFORMATION TOO, BECAUSE SOMETIMES THERE ARE VALID REASONS WHY THINGS GET DELAYED. BUT HAVING DATA TO BE ABLE TO BACK UP THAT, HEY, THIS ISN'T THIS ISN'T NORMAL. AND HERE'S, YOU KNOW, BEING ABLE TO EXPLAIN IT TO PEOPLE IS REALLY HELPFUL. SO THANK YOU. SURE. YEAH. GREAT JOB CLINT I MEAN WE I TELL EVERYBODY WE'RE STRIVING FOR BEST IN CLASS AND WE WANT OUR CITY SERVICES TO BE GREAT. AND YOU'RE A GREAT LEADER IN THAT DEPARTMENT AND OUR CODE ENFORCEMENT PERMITTING INSPECTIONS. I THINK WE'VE ALL BEEN VERY INTENTIONAL ABOUT SAYING, HEY, WE'RE GOING TO GIVE YOU THE TOOLS TO SUCCEED HERE. SO I REALLY APPRECIATE YOU, YOUR LEADERSHIP IN THIS AND THE KPI. THIS IS JUST SHOWING GREAT PROGRESS. AND I THINK WE'VE GOT SOME NEW SYSTEMS, SOME NEW SOFTWARE, SOME NEW PROCESSES THAT WE'RE LOOKING AT. AND IT LOOKS LIKE, LOOKS LIKE EVERYTHING'S GOING IN THE RIGHT DIRECTION. I APPRECIATE YOUR LEADERSHIP, CLINT. THANK YOU. CLINT, CAN I ASK ONE QUESTION? I'M SORRY FOR THE FIRST TWO KPIS ON PLAN COMMENTS OR REVIEWS. THE FIRST COMMENT WITHIN 20 DAYS FOR COMMERCIAL AND FIRST COMMENT WITHIN FIVE DAYS. RESIDENTIAL. 
          IS THAT TYPICAL? DO YOU TYPICALLY SEE A PRETTY QUICK TURNAROUND TO COMPLETE REVIEW WITH THAT? OBVIOUSLY, IF THE AVERAGE DAY IS 18.9, 18.19, I WAS JUST TRYING TO KEEP UP WITH THE DELINEATION BETWEEN FIRST COMMENTS WITHIN 20 DAYS AND THEN AVERAGE DAYS TO COMPLETE REVIEW ON THAT. SO THAT'S THAT. SO THAT'S THE AVERAGE DAY, YOU KNOW, THAT THE 20 DAYS IS WHAT WE'RE STRIVING FOR. AND WE'RE AVERAGING ABOUT 18 ON THE COMMERCIAL. AND THEN LESS THAN TWO ON THE RESIDENTIAL. SOME OF THE WHEN WE DO GET A NEW PERMITTING SYSTEM, WE'LL BE ABLE TO DIVE A LITTLE BIT DEEPER INTO THE NUMBERS. AND WE DO WANT TO GIVE, YOU KNOW, SOME KPIS ON TOTAL AMOUNT OF TIME FROM, YOU KNOW, WHEN APPLICATION TO TO PERMIT ISSUANCE. AND YOU KNOW, WHAT'S HAPPENING IN THAT TIME, NOT ONLY ON OUR SIDE BUT THE DEVELOPER SIDE. AND THEN ALSO DRILL DOWN ON WHAT WE CAN DO TO POTENTIALLY MAYBE LOWER THESE KPIS A LITTLE BIT. YOU KNOW, IF IF WE CAN CONTINUE, YOU KNOW, WE GOT A FIVE DAY ON RESIDENTIAL AND CONTINUE LESS THAN TWO DAYS, MAYBE WE NEED TO LOWER THAT KPI DOWN. I WILL SAY OUR, YOU KNOW, THESE THIS IS FIRST ROUND. OUR SECOND ROUND. YOU KNOW WE GOT 20 DAYS FOR FIRST ROUND. OUR SECOND ROUND IS A FIVE DAY, YOU KNOW. SO IF YOU HAVE COMMENTS THAT YOU HAVE TO RESUBMIT THEN WE HAVE A FIVE DAY REVIEW PERIOD ON THOSE. YEAH OKAY. THAT'S HELPFUL. YEAH. 
          GREAT. WE'LL KEEP UP THE GREAT WORK. THANK YOU. ANY OTHER COMMENTS QUESTIONS. GREAT. 
          THANKS AGAIN CLINT. THANK YOU. ANYTHING ELSE? CITY MANAGER EMERSON WOULD COMPLETE THE WORK SESSION FOR TODAY. FANTASTIC. WE ARE A LITTLE BEHIND SCHEDULE BUT NOT THAT FAR. THE LAST ITEM FOR THE WORK SESSION TODAY IS COUNCIL REQUESTS FOR SCHEDULING OF FUTURE AGENDA ITEMS. ARE THERE ANY FUTURE AGENDA ITEMS THAT PEOPLE WOULD LIKE TO GET ON THE AGENDA? I DON'T SEE THAT THERE. THERE NONE DON'T SEEM TO BE ANY OF THOSE TODAY. OKAY, WITH THAT, WE'LL NOW RECESS THE 
          [EXECUTIVE SESSION]
WORK SESSION AND RECONVENE THE REGULAR SESSION FOR EXECUTIVE SESSION AS READ INTO THE RECORD BY CITY SECRETARY HICKS AT 5:01 P.M. NOTICE IS HEREBY GIVEN THAT THE CITY. THE FOLLOWING PROVISIONS REAL PROPERTY TEXAS OPEN MEETINGS ACT, SECTION 551.072 AND ATTORNEY BRIEFING TEXAS OPEN MEETINGS ACT. ACT SECTION 551.071. DOWNTOWN DEVELOPMENT PROJECT BEING THE MIXED USE DEVELOPMENT ON CITY OWNED AND ADJACENT PROPERTIES NEAR CITY HALL. ATTORNEY BRIEFING TEXAS OPEN MEETINGS ACT 551.071 TEXAS LOCAL GOVERNMENT CODE, CHAPTER 211 ZONING CONSIDERATIONS AND CURRENT ZONING APPLICATION PERSONNEL, TEXAS OPEN MEETINGS ACT, SECTION 551.074. NOMINATION AND APPOINTMENT OF INDIVIDUALS TO MCLENNAN COUNTY MCLENNAN CENTRAL APPRAISAL DISTRICT BOARD OF DIRECTORS, ATTORNEY BRIEFING, TEXAS OPEN MEETINGS ACT, SECTION 551.071 AND PERSONNEL, TEXAS OPEN MEETINGS ACT SECTION, SECTION 551.0. DISCUSSION OF CITY MANAGER APPOINTMENT PROCESS, ECONOMIC DEVELOPMENT TEXAS OPEN 
          [02:00:05]
MEETINGS ACT, SECTION 551.087 AND REAL PROPERTY TEXAS OPEN MEETINGS ACT,
* This transcript was compiled from uncorrected Closed Captioning.