* This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting. [00:00:04] READY NOTICE IS [I. COMMENCEMENT] HEREBY KEVIN, THE SPECIAL CITY COUNCIL MEETING SLASH FINAL BUDGET WORKSHOP ON THE FISCAL YEAR 20 24, 20 25. BUDGET FOR THE CITY OF INCLUDE TEXAS TO BE HELD ON THURSDAY, AUGUST 15TH, 2024 AT 6:30 PM FOR THE COUNCIL. CHAMBERS INCLUDE CITY HALL LOCATED AT 1 0 8 MAIN STREET, KLU, TEXAS 7 7 5 3 1 AND REMOTELY VIA A WEBEX. FOR CONSIDERATION OF THE BELOW LISTED ITEMS, CITY COUNCIL RESERVES THE RIGHT TO ADJOURN INTO EXECUTIVE SESSION AT ANY TIME. DURING THE COURSE OF THIS MEETING, INCLUDE TO, TO DISCUSS ANY MATTERS LISTED ON THE AGENDA AS AUTHORIZED BY THE TEXAS, TEXAS GOVERNMENT CODE INCLUDED BUT NOT LIMITED TO SECTIONS 5 5 1 0 7 1. CONSULTATION WITH AN ATTORNEY. 5 5 1 0 7 2. DELIBERATION ABOUT REAL PROPERTY, 5 5 1 0 7 3. DELIBERATION ABOUT GIFTS AND DONATIONS. 5 5 1 0 7 4 PERSONNEL MATTERS. 5 5 1 0 7 6. DELIBERATION ABOUT SECURITY DEVICES 5 5 1 0 8 7. ECONOMIC DEVELOPMENT 4 8 7 5 1 8 3. DELIBERATION IS ABOUT HOMELAND SECURITY ISSUES AND IS AUTHORIZED BY THE TEXAS TAX CODE. INCLUDE BUT NOT LIMITED TO SECTION 3 2 1 0.3022 SALES TAX INFORMATION. THE AGENDA MEETING PACK VIDEO LINK ARE POSTED ON THE CITY'S WEBSITE@WWW.CLUTEXAS.GOV. UH, TO ADDRESS COUNCIL DURING PUBLIC COMMENTS AND GENERAL PUBLIC COMMENT FORM MUST BE COMPLETED AND PRESENTED TO THE CLERK BEFORE THE START OF THE COUNCIL MEETING. SPEAKERS MUST DESERVE A FIVE MINUTE TIME LIMIT. UH, RECORDING OF THE VIDEO MEETING WILL BE MADE AVAILABLE. REQUEST TO THE PUBLIC IN ACCORDANCE WITH OPEN MEETINGS. MEETING HAS NOW BEEN CALLED TO ORDER. MR. BOND, WOULD YOU CARE TO? WE THANK YOU FOR THIS BEAUTIFUL DAY YOU PROVIDED FOR LAURA. WE THANK YOU THAT YOU GIVE US AND PROVIDE US WITH, WE JUST, UH, WANT YOU TO GUIDE COUNCIL ALL TONIGHT AS THEY ABOUT THE BUDGET AND THE CITY. JUST TO MAKE THIS WORK, WE JUST ALWAYS WANNA ASK YOU TO LOOK OUT FOR ALL FIRST RESPONDERS, ALL OUR EMPLOYEES. WE ASK YOU, EVERYONE HERE IN PLEDGE FLAG, CONSIDER FOR WHICH STANDS. ONE NATION UNDER GOD, INDIVISIBLE, WITH LIBERTY AND JUSTICE. THANK YOU. NOW HAVE ROLL CALL. CALVIN SHIFFLET. PRESENT, JEFF. CHRIS PRESENT. JOE LOPEZ PRESENT FRANCIS BOND PRESENT. OKAY. [II. WORKSHOP ITEMS] FIRST ITEM ON THE LIST IS WORKSHOP ITEMS AND DISCUSSION OF THE FISCAL YEAR OF 20 24, 23 5. BUDGET. CAN YOU, OKAY, SORRY. IT FEELS KIND OF WEIRD BEING ON THIS SIDE OF THE FENCE WHEN WE TALK ABOUT THIS, BUT THAT'LL BE ALRIGHT. IT'S HARDER FOR FOLKS TO THROW STUFF BACK. UM, OH, SORRY. YEP. CAN YOU HEAR ME? CAN YOU HEAR ME NOW? YEAH. THERE WE GO. ALL RIGHT. THAT WAS, UH, SO LAST TIME WE LEFT OFF, UH, WE, WELL, THERE WE GO. UH, WE TALKED ABOUT THE IMPACT THAT THE, UH, THAT HURRICANE BARREL WAS HAVING, UH, ON THE CITY'S FINANCIAL POSITION. WE WERE ABLE, UH, GOING THROUGH THE STUFF WE NOTED THAT, UH, WE HAD FAILED TO PAY OURSELVES BACK ON THE EDC TRANSFER FOR THE KROGER PAYOFF LAST YEAR. SO WE'RE GONNA TRANSFER THOSE FUNDS OVER, WHICH WILL HELP MITIGATE SOME OF THE IMMEDIATE IMPACT ON OUR, ON OUR CASH BALANCE IN THE GENERAL FUND, WHICH WILL BE, UH, WHICH WILL BE NICE, UH, THAT'LL TIDE US OVER THIS YEAR WITHOUT MAKING TOO MUCH OF A NEGATIVE IMPACT IN THE RESERVE FUND BALANCE. UH, BEN, THEN WE HAVE TO BE COGNIZANT THOUGH THAT WE'RE STILL GONNA SEE IT'LL BE A WHILE BEFORE WE GET REIMBURSED THE FEMA MONEY THAT WE ARE, WE ARE OUT, UH, AS IT COMES TO THE RECOVERY. SO, UH, WE'RE LOOKING AT PROBABLY 75%, AND IT MAY BE TWO TO THREE, SOMETIMES FOUR YEARS, HOPEFULLY NOT THAT LONG. UH, HOPEFULLY WE GET OUT IN FRONT OF IT A LITTLE BIT BETTER THIS TIME. SO THAT'S, UH, REGARDING HURRICANE BARREL AND RESERVE FUND BALANCE. BUT SO WHAT'S CHANGED? AND WE, A LOT OF STUFF HAS ACTUALLY CHANGED BEHIND THE SCENES, BUT IT REALLY DIDN'T HAVE THAT GREAT OF AN IMPACT, UH, ON THE BOTTOM LINE. AND SO I'LL KIND OF GO OVER REFRESHER. THAT'S, UH, THAT'S WHERE WE STARTED. UH, LAST MEETING WAS AT, UH, A DRAW DOWN OF ABOUT 472. AND THEN WE, UH, MADE SOME CHANGES TO THE BUDGET, ADDED IN SOME STUFF, UH, REPAID THE FUND 1 0 6 AND IT BUMPED IT UP TO SEVEN 14. [00:05:01] AND THEN WE MADE SOME MORE CHANGES. AND THIS IS WHERE WE'RE AT THIS EVENING. SO BACK DOWN TO THE, THE 5 50, 5 55, 5 5, 5 5, 5 7, JUST STYLE THAT AND YOU GET CONNECTED TO SOMEBODY, I'M SURE . SO THAT'S KIND OF WHERE WE'RE AT NOW. UH, WE DID TAKE A LOOK. WE WENT THROUGH, IN SCRUB, WE WERE ABLE TO DISCOVER, UH, SOME OF THE THINGS THAT WE COULD BE ASSIGNING TO OTHER FUNDS, UH, CHANGING SOME OF THOSE OUT TO GIVE US MORE FLEXIBILITY IN THE GENERAL FUND. AND SO THAT'S HOW WE ENDED UP AT THIS NUMBER. UH, SO LET'S TALK ABOUT WHAT DID CHANGE. UH, WE ADJUSTED THE FINAL VALUES, UH, AT THE PROPOSED TAX RATE, UH, WHICH WE'LL BE DISCUSSING HERE IN A FEW MINUTES. UH, ONE THING TO BE AWARE OF THOUGH, BECAUSE OF THE STORM, THERE'S THE POSSIBILITY THAT FOLKS COULD HAVE THEIR VALUES ADJUSTED FOR THIS YEAR. AND IF THAT'S THE CASE, WE MAY BE LOW ON REVENUE OR LOWER ON REVENUE THAN WHAT WE PROJECT. UH, THE FLIP SIDE OF THAT IS, IS IF THAT COMES TO PASS NEXT FISCAL YEAR, WE'RE ALLOWED TO ACTUALLY GO A LITTLE BIT HIGHER ON THE VATR TO MAKE UP THE LOST REVENUE FROM THIS YEAR. SO IT'S KIND OF A DOUBLE-EDGED SWORD. IT'S A, I GUESS A CASHFLOW ISSUE FOR THE PROPERTY OWNERS, UM, IN THAT THEY CAN AVAIL THEMSELVES OF THAT, THAT EXEMPTION THIS YEAR, BUT IT'LL BE RECAPTURED IN THE NEXT YEAR COMING UP. SO, UH, JUST WANTED TO MAKE COUNSEL AWARE OF THAT. SO LET'S TALK ABOUT WHAT THAT LOOKS LIKE AND WHAT WE'RE PROPOSING. AND I KNOW THIS ISN'T NECESSARILY AN ORDER, UH, BUT THE, UH, VOTER APPROVED, UH, ROLLBACK RATE, THE VATR, WHAT WE USED TO KNOW AS THE VOTER APPROVED RATE, OH, HEY, HOW DO I GO BACK? THERE WE GO. SORRY. UH, THE BASIS FOR EVERYTHING IS THE TOTAL VALUATION, WHICH THIS YEAR IS 9 57, 488, WHICH IS ABOUT A 4% INCREASE YEAR OVER YEAR FROM LAST YEAR. UH, THERE'S ABOUT $11 MILLION IN NEW VALUE, UH, THAT WON'T SHOW UP UNTIL NEXT YEAR OR MAY COME ONLINE DURING THE COURSE OF THIS YEAR, WHICH WE'LL TWEAK THIS NUMBER JUST A LITTLE BIT. UH, THE ROLLBACK RATE ITSELF, UH, IS JUST SLIGHTLY LOWER THAN WHAT WE HAVE, UH, BUDGETED THIS YEAR. AS, AS THE, AS THE TAX RATE, UH, WHICH IS 4 7 4 6 6 7 4 6, THE NO NEW EFFECTIVE RATE. AND THE, THE NO NEW REVENUE RATE, WHICH IS WHAT WE USED TO CALL THE EFFECTIVE RATE IF WE WERE TO GENERATE THE SAME AMOUNT THAT WE HAD BUDGETED FOR THIS YEAR IS 4 4 1 1 2, 1, 4, 4 6, 4, 6, 6, 7, 4 6 WOULD BE THE VATR. WE'RE FOLLOWING KIND OF TOWARDS THE END, MIDDLE OF THAT SPECTRUM, UH, STILL UNDER THE BATR, WHICH WOULD TRIGGER AN ELECTION, UH, BUT A LITTLE BIT MORE THAN THE NO NEW REVENUE RATE AT 4 6 5 0 0, WHICH IS A NICE EVEN NUMBER. UH, THAT WAS ONE OF THE THINGS THAT COREY AND I TALKED ABOUT. UM, WE ALWAYS HAVE THE ABILITY TO GO TO THE DE MINIMIS RATE, UH, BUT AS I WAS EXPLAINING TO MR. DUNCAN EARLIER, THAT RE REQUIRES A DEGREE FROM MIT AND HOGWARTS BECAUSE THERE'S SOME KIND OF SPELL THAT GETS CAST. IT INVOLVES MAYBE SOME KIND OF SACRIFICE, AND THEN YOU COME UP WITH A NUMBER AND THAT ROLLING NUMBER HITS FOR THREE YEARS. AND IF YOU MISSED ANYWHERE IN THAT PERIOD, YOU GET PENALIZED IN YEAR FOUR. AND WE DON'T WANNA PUT OURSELVES IN THAT POSITION. SO, UH, IT WOULD GENERATE A LOT MORE REVENUE FOR US. BUT, UH, WE FELT LIKE THAT THAT WAS PROBABLY NOT THE IDEAL. AND REALLY THE GOAL HERE IS TO BEEN CONTINUALLY TO START BRINGING THAT RATE DOWN. UH, THIS IS THE PAST 24 YEARS OF DATA IN TERMS OF WHAT TAX RATES HAVE PASSED, WHAT WE'VE ADOPTED. AS YOU CAN SEE, LAST YEAR WE HAD THE HUGE SPIKE IN VALUE JUMPING FROM 6 79 TO NINE 19, UH, THIS YEAR, JUST SLIGHTLY HIGHER, UH, LAST YEAR'S RATE AT M AND O, JUST SLIGHTLY ABOVE WHAT WE'VE GOT PER MO THIS YEAR. OH, HOLD ON. PREVIOUS. YEAH. THANK YOU. UH, AND SO THE, UH, AND JUST A, A LITTLE BIT OF A, A DECREASE IN THE ACTUAL INS RATE, WHICH IS WHAT WE PAY FOR DEBT, BUT AN INCREASE IN ACTUAL REVENUE THANKS TO THE INCREASE IN VALUATION FOR A TOTAL RATE OF 4 6 5 0 0, WHICH SHOULD GIVE US A TOTAL AMOUNT OF DRAX AT $4.4 MILLION. UH, AND THAT'S WHERE WE KIND OF STAND RIGHT NOW. THAT'S WHAT WE'RE PROPOSING FOR YOU LATER THIS EVENING. BUT FOLLOWING THE TREND LINE, YOU CAN SEE WHEN WE STARTED BACK HERE 10 YEARS AGO, WE WERE AT 67 CENTS. WE'VE STEADILY WORKED TO BRING THAT DOWN OUTSIDE OF THE ONE HICCUP WE HAD IN 2021 DOWN TO, UH, THE FORTIES, WHICH I THINK IS REALLY REMARKABLE AND SHOWS GREAT FINANCIAL STEWARDSHIP BY THE COUNCIL. ANY QUESTIONS ON TAX RATE? DOES IT TAKE INTO ACCOUNT LIKE THE HOMESTEAD EXEMPTION OR EXEMPTIONS ON SOMEBODY'S HOUSE? YES. YES IT DOES. UM, YOU KNOW, I PROBABLY SHOULD HAVE, PROBABLY SHOULD HAVE PULLED THE WORKSHEET UP, BUT YES. SO EVERY YEAR WE GET THE EVALUATIONS WITH THE TOTAL EXEMPTIONS, AND THEN THAT HAS TAKEN INTO ACCOUNT WHEN WE FACTOR IN THE TOTAL VALUE. SO THAT EXEMPTION IS IN, I GUESS, SUBTRACTED FROM THE VALUE AND YOU SET YOUR RATE ACCORDINGLY. AND OF COURSE THIS YEAR YOU HAD A SLEW OF NEW EXEMPTIONS GO INTO EFFECT. [00:10:01] UH, SO IT WAS A LITTLE BIT DIFFERENT AS WE WORKED THROUGH THAT FORMULA. UM, I CAN'T SHARE MY SCREEN, BUT I WILL, WHEN WE GO, I CAN SEND YOU THE ACTUAL WORKSHEET THAT WE USE. NOW, THE WORKSHEET THAT THE, THAT THEY SEND YOU FOR YOUR TAXES, IT, IT HAS YOUR EXEMPTIONS ON THERE AND IT TELL, AND IT TELLS YOU WHAT YOUR, WHAT YOUR AMOUNT IS FOR THE CITY, FOR THE COUNTY, FOR WHATEVER. BECAUSE I WAS LOOKING ON THE, THE ONE YOU WERE JUST YES, MA'AM. ONE, YES. THAT WAS TALKING ABOUT THE DIFFERENT, DIFFERENT TAX RATES THAT COULD BE, IT'S LIKE WHERE IT SAYS LIKE PROPERTY OWNER BURDEN YES. IS SO DOES THAT TAKE INTO ACCOUNT LIKE HOME? BECAUSE I'M LOOKING AT, SO THE, SO LET ME, YEAH, LET ME EXPLAIN HOW THE RATE ACTUALLY GETS CALCULATED IN THERE. UM, WHEN YOU TAKE A LOOK AT THE, THE, THE OVERALL, THE CITY'S OVERALL RATE, SO THERE'S 46 7, THERE'S A THREE PAGER. IT ACTUALLY A LITTLE BIT MORE THAN THAT SERIES OF CALCULATIONS THAT WE DO TO, TO DEFINE WHAT, HOW WE GET TO THESE NUMBERS. AND THE TOTAL EXEMPTION VALUE FOR THE CITY IS EXTRACTED FROM THIS AMOUNT. AND SO WHEN YOU SEE THIS NUMBER DOWN HERE WHERE IT TALKS ABOUT PROPERTY OWNER VALUATION, THAT'S ALREADY CONSIDERING THE VALUE AFTER THE EXEMPTION. SO THE PROPERTY VALUATION WE'RE USING LIKE 100,000 OR 150,000 YES. THAT WE'RE SAYING A HOUSE THAT'S A HUNDRED THOUSAND DOLLARS APPRAISED AT A HUNDRED THOUSAND DOLLARS. YES. THAT THAT IS THE TAX AMOUNT. OKAY. THAT'S CORRECT. OKAY. THAT IS, AND THAT'S WHERE I WAS, I THINK I WAS, IS YOUR, THAT IS YOUR, NOT NECESSARILY YOUR APPRAISED ABOUT IT'S YOUR TAXABLE AMOUNT. YOUR TAXABLE VALUE, RIGHT, EXACTLY. YEAH. YEAH. OKAY. AND I KNOW FOLKS SAY THAT THE A HUNDRED THOUSAND IS A LITTLE BIT LOW, BUT STATE LAW ACTUALLY CALLS US TO CALL THAT OUT WHAT THE TAX WOULD BE ON A HUNDRED THOUSAND DOLLARS HOME. SO ANY OTHER QUESTIONS? ALRIGHT, WE'LL CONTINUE BUDGET, I MEAN, BASICALLY THE SAME BUDGET WE HAVE THIS YEAR, CORRECT? UH, YEAH, IN TERMS OF REVENUE, WE'RE SEEING ABOUT A 3.25% INCREASE IN TOTAL REVENUE, BUT THAT'S BASED ON NEW VALUE COMING ONLINE. UM, I MEAN THE, THE ACTUAL EXPENDITURE, THE ACTUAL REVENUE, THEY'RE PRETTY OH, PRETTY GALLON OUTTA LINE. WELL, YEAH, THAT'S, UH, SO WE'RE GOING FROM A, AND I'LL GO INTO TOTALS HERE IN JUST ONE SECOND. I WAS GONNA TALK FIRST ABOUT WHAT HAS CHANGED. UH, WE MOVED ALL THE APPLICABLE AND ALLOWABLE LANDSCAPING COST, UH, INTO FUND 1 0 5 OR INTO FUND OH FIVE. THAT DOES NOT INCLUDE THE PARKS. SO THE STREET RIGHT OF WAYS, ALLEYWAYS, THOSE ARE ALL CALLED FOR ACTUALLY IN THE CHARTER. THEY CAN BE MADE THAT THE LANDSCAPING IS ALLOWED FOR THERE. WE'VE MOVED THAT IN THERE AND WE ALSO MADE A SLIGHT INCREASE TO THE CONTRACT AMOUNT TO TRY AND GET, STAY ON TOP OF THAT A LITTLE BIT BETTER. UH, WE IN INCRE, AS I SAY, WE INCREASED THAT FROM TWO 30 TO THREE 50. UH, AND THEN WE PUT IN, UH, LAST TIME WE TALKED ABOUT THE EQUIPMENT REPLACEMENT FUND, NOT REPAYING. WE'VE DONE THAT NOW. AND SO THAT 10% OR 5%, DEPENDING ON THE YEAR IT WAS ADOPTED, UH, IS GOING BACK INTO THAT FUND TO HELP REPOPULATE IT SO WE'RE NOT DRAINING IT SO SIGNIFICANTLY DOWN. SO, UH, AND SO THIS IS WHERE WE CAME TO HERE. UH, WE ARE ALSO DRAWING DOWN AN ADDITIONAL AMOUNT OF CAPITAL EXPENDITURE FOR THE PARKS. UH, WE INCLUDED THE, UH, THE PHASE TWO DISCUSSIONS THAT WE'D HAD LAST TIME WITH THE BASKETBALL AND THE PICKLEBALL COURT. UH, BUT WE'RE ALSO BE DRAWING OUT MONEY TO MAKE, UH, IMPROVEMENTS TO MILSTEAD PARK, INCLUDING, UH, A FISHING PIER WALKWAY AND THEN ALSO A PICKLEBALL COURT AT THAT FACILITY AS WELL. SO I WAS TOTALLY UNFAMILIAR WITH PICKLEBALL UNTIL HERE RECENTLY AND STILL TRYING TO LEARN IT, BUT IT'S APPARENTLY IMMENSELY POPULAR. SO, UM, IF YOU GET, YOUR PICKLEBALL WILL BE YOUR PICKLEBALL PLACE TO COME AND PLAY. SO, UM, IN TERMS OF, UH, UNEMPLOYMENT, EVERYTHING ELSE STAYED THE SAME. MOVING, OH, SORRY. MOVING INTO, UH, THE, UH, GENERAL FUND REPLACEMENT FUND. WE WEREN'T ABLE TO KEEP, GET TO THAT DAD GAMMIT WAY TOO TRIGGER HAPPY. I'M GONNA TAKE MY HAND OFF THE MOUSE FOR JUST A SECOND. UH, SO, UH, YOU, YOU'D WANTED TO KEEP IT AT TWO. UM, I'VE GOT IT AT 1.6. THAT'S, WE'VE ELIMINATED JUST ABOUT ALL THE SPARE VEHICLES. WE CAN ELIMINATE THE HEAVY STUFF, THE RESIDUAL STUFF. UM, BUT WE ARE REPAYING BACK IN THERE. SO THAT COMES TO 1.7 AND GIVEN THE DELIVERY, SPELL THE SPECIFICATIONS THAT WE'RE SEEING THESE DAYS, IT MAY BE TWO YEARS BEFORE WE GET VEHICLES ANYWAY, SO WE MAY, MAY NOT GO, GO BELOW THIS BALANCE. UH, SO WE'RE FIGHTING THAT BATTLE AS WELL AS WE CAN. PROBABLY HAD TO DO A BUDGET AMENDMENT TO SPEND IT TWO YEARS FROM NOW. COULD BE, COULD VERY WELL BE. UM, WE TALKED ABOUT LAST TIME THE HEAVY LEANING ON THE CIP. UH, WE WILL, WE DO HAVE, WELL, WE THOUGHT WE WERE GONNA BE ABLE TO KICK OFF THE DRAINAGE, UH, PROJECT, UH, ACTUALLY LATER THIS YEAR, EARLY INTO THE BEGINNING OF THE FISCAL YEAR. UH, BUT WILL AND I ENJOYED A PHONE CALL WITH OUR GOOD FRIENDS AT THE GLO WHO [00:15:01] HAVE MOVED THE BENCHMARK FOR US ON ENVIRONMENTAL CONCERNS ONE MORE TIME. AND SO IT LOOKS LIKE WE'RE GOING TO BE DELAYED A LITTLE BIT LONGER. SO WE'VE ARE GONNA BE FORMALLY REQUESTING A SIX MONTH EXTENSION. WE'VE STILL ACCOUNTED FOR THIS PROJECT IN THIS FISCAL YEAR BECAUSE WE WOULD LIKE TO MAKE IT HAPPEN. UH, WE, THIS PROJECT, IF YOU RECALL, WE APPLIED FOR THESE FUNDS BACK IN 20 19, 20 20, AND WE'RE FOUR YEARS AND STILL HAVEN'T TURNED A SHOVEL OF DIRT YET, UH, WHICH IS PRETTY FRUSTRATING ON EVERYBODY'S PART. UM, SO OUR GOAL IS TO GET, MAKE THAT MOVE FORWARD. UH, ADDITIONALLY WE'VE INCLUDED, UH, SIGNIFICANT STREET WORK IN EXCESS OF THE TWO MILES. WE'RE LOOKING AT TRYING TO REDO, UH, PART OF OLD ANGLETON OUTSIDE OF THAT COUNTY CONTRACT TO GET THAT, GET THAT MODIFIED. UM, SO THERE'S A LOT OF EXPENDITURE HERE. AND THEN WE'VE ALSO GOT YEARS FOUR AND FIVE, I'M SORRY, FIVE AND SIX OF THE SIDEWALK PROJECT THAT ARE INCLUDED. THEY WOULD SEE THE, UH, NETWORK CARRIED NORTH TOWARDS THE COLLEGE AND OUT ALONG STRATTON RIDGE. SO, UH, IN TERMS OF ECONOMIC DEVELOPMENT, UH, AS I SAID, YOU CAN SEE HERE WE'VE MODELED IN THE CHANGE, THE REPAYMENT FOR THIS YEAR'S FISCAL CYCLE THAT COMES OUT OF OUR DISCUSSIONS WITH THE AUDITORS ON HOW THEY WOULD LIKE TO HAVE THAT HANDLED. UM, AND WE'LL CONTINUE WITH OUR GRANT PROGRAMS. AS A MATTER OF FACT, RIGHT BEFORE WE MET HERE TODAY, I MET WITH A LOCAL ENTREPRENEUR THAT'S WANTING TO DO SOME DIFFERENT STUFF, UH, WITH THIS PROPERTY ALONG 3 32. SO I'VE GOT EDC IN THERE TWICE. NICE. UM, OTHERWISE, SO WHEN YOU FACTOR IN ALL THE, ALL OF THE PROJECTS THAT WE'VE GOT LIMIT OR DENOTED, UH, WE DO HAVE A PRETTY SIGNIFICANT DRAW ON RESERVES, BUT THESE ARE LONG-TERM CAPITAL PROJECTS, UH, THAT HAVE BEEN EITHER NEEDED OR WILL BE NEEDED GOING FORWARD. AND THE GENERAL FUND SIDE GOING INTO THE WATER FUND, UH, WE HAVE A LITTLE BIT, WE'VE GOT ACTUALLY GOT QUITE A, QUITE A FEW PROJECTS THAT WE WOULD LIKE TO HAVE BEEN ABLE TO SAY THESE ARE GONNA BE LONGER TERM OR LONGER WINDOW PROJECTS. UH, BUT WE CAN'T DO THAT. UM, WE RELATED TO YOU LAST TIME, THE MAIN ISSUE THAT WE WERE HAVING ON PLANTATION, GOING BACK TOWARDS THE WATER WASTEWATER TREATMENT PLANT, UH, WE ESTIMATE THAT COST $800,000, UH, JOHN, UH, WE DISCOVERED, UH, SOME ISSUES BACK OVER HERE IN EMERALD PARK, BEHIND CITY HALL, UH, OVER TOWARDS THE PARK AREA. THAT'S ALL AC UH, ASBESTOS CONCRETE LINES. AND THEY ARE NOT IN THE BEST OF SHAPE. THEY HAVE A SHELF LIFE OF BETWEEN 45 AND 50 YEARS. AND I THINK, IF I'M NOT MISTAKEN, THAT INFRASTRUCTURE WAS PUT IN THE GROUND IN THE LATE SIXTIES, EARLY SEVENTIES. I THINK 73 WAS ONE OF THE DATES I SAW ON SOME OF THAT. SO WE KNOW THAT THE TIME IS UP FOR THAT. AND THEN IN ADDITION, WE HAD, WE'VE GOT FIELD TILE BACK OVER HERE ON BERNARD THAT NEEDS TO COME OUT AND BE CHANGED. MAIN STREET AND BERNARD, THAT NEEDS TO BE CHANGED. NONE OF THAT IS CHEAP. UM, AND THERE'S NO EASY FIX TO IT OTHER THAN WE'RE GONNA HAVE TO GET IN AND ACTUALLY START TAKING LINES OUT AND SYSTEMATICALLY REPLACING IT. JOHN AND I TALKED ABOUT SLIP LINING 'EM AND TRYING TO DO SOMETHING LIKE THAT, BUT I THINK THE BETTER APPROACH, QUITE FRANKLY, IS WE TAKE AN AREA AND WE FIX IT AND WE TAKE AN AREA AND WE FIX IT AND TRY AND WORK THAT WAY, UH, SYSTEMATICALLY RATHER THAN JUMPING FROM ONE SPOT TO ANOTHER SPOT TO ANOTHER SPOT, TRYING TO, TRYING TO FIX IT, UH, THAT WAY. SO, UM, THAT IS THE BULK OF THE BUDGET CHANGES BASED ON WHAT WE DISCUSSED LAST TIME. WE WERE ABLE TO PRESERVE THE PERSONNEL, UH, STUFF IN THERE, THE 4% FOR STAFF, UM, THE STEP, UH, THE, UH, DECOMPRESSION FOR PD AND EMS. UM, AND WITH THAT, I WILL OPEN IT UP FOR QUESTIONS. I WILL SAY THAT IN THE PAST WHEN WE HAVE SLIPPED LINE, THERE'S ALWAYS BEEN A TAP OR TWO THAT DID GET BATHED AND IT CREATED A, CREATED AN ISSUE. , REAL QUICK. YEAH, I WAS GONNA SAY USUALLY FIND THOSE ISSUES WITHIN ABOUT THREE WEEKS. SO, SO ARE THOSE THINGS JUST BEING ADDED TO WHAT, WHAT YOU WERE SAYING, WE WERE GONNA GO BACKWARDS FROM THE WASTEWATER TREATMENT PLANT AND START TRYING TO FIND ISSUES. SO WE'RE GONNA, WE ARE, WE'RE GONNA ON THAT MAIN, ON THAT ONE MAIN, YES. WE'RE GONNA WORK BACKWARDS FROM THE WASTEWATER TREATMENT PLANT TO COME BACK UP PLANTATION TO FIND THAT, GET THAT SITUATION RESOLVED. THE SITUATION IN EMERALD. IF YOU THINK ABOUT, WE WERE ALREADY ON THE, WE WERE ALREADY GOING TO GO AHEAD AND REPLACE THE SEWER IN THE BRYAN SUBDIVISION, WHICH ADJOINS THAT NEIGHBORHOOD. SO WE'RE, WE'RE JUST GOING TO EXPAND THAT NOW TO THAT ENTIRE NEIGHBORHOOD AND TRY AND GET THOSE LINES OUT OF THERE, THE OLD LINES OUT AND GET SOME NEW LINES IN. UM, WE'RE JUST, WE'VE GOT ON THIS SIDE OF TOWN, WE'RE RUNNING OUT OF TIME. THE CLOCK IS RUNNING OUT ON THE LIFESPAN, A LOT OF THIS INFRASTRUCTURE AND THAT'S GONNA HAVE TO BE REPLACED. SO I THINK THAT ALL TOTAL, WE CAME TO $3.7 MILLION IN INFRASTRUCTURE REPLACEMENT AND THANKFULLY WE'RE NOT HAVING TO ISSUE DEBT FOR THAT BECAUSE OUR, THE FINANCIAL STEWARDSHIP HAD BUILT UP A HEALTHY RESERVE TO BE ABLE TO START TACKLING SOME OF THESE GOALS. UM, BUT WE ARE IN [00:20:01] A PLACE NOW WHERE I KNOW THE, THE INFRASTRUCTURE THAT SERVICES BASICALLY EVERYTHING ON LEWIS WADE, ALL THAT STUFF IS PROBABLY 'CAUSE THAT AUSTIN SUBDIVISION WAS PLATTED IN THE FORTIES. SO WE'RE AT 80 YEARS. 70, 80 YEARS. AND I DON'T THINK THERE'S EVER BEEN, HAVE WE EVER GONE BACK IN THERE AND REPLACED THOSE LINES OTHER THAN JUST PIECEMEAL, I WANNA SAY THE STORE GOT REPLACED. OKAY. I CAN'T ANYTHING WAYNE OR LEWIS. YEAH. SO IT'S ONE OF THOSE SITUATIONS WHERE OUR AGE IS CATCHING UP TO US AND WE WERE GONNA HAVE TO TACKLE IT. SO THE WHOLE CITY'S GONNA BE THAT WAY. ? YES. UH, THE GOAL IS TO NOT LET IT GET TO A PLACE WHERE EVERYTHING'S FAILING AT ONCE. I THINK THE ONLY THING THAT'S BEEN DONE OVER IN THAT NEIGHBORHOOD WAS WHEN, WHEN THEY ACTUALLY CONCRETED THE, THE STREET FROM MAIN TO 3 32, THE MAINS GET RED REDONE MAINS WERE REDONE. I DON'T THINK ANYTHING ELSE WAS REDONE. THERE MIGHT BE A STUB GOING UB GOING OUT THE MAIN INTO THE EXISTING. GOTCHA. I WILL SAY THAT THE WAY THEY REDID THIS MANHOLE RIGHT AROUND THE CORNER HERE BY THE SCHOOL AND THE, THE LITTLE HISPANIC CHURCH WAS VERY NICE. I THINK WE SHOULD ALL DO ALL OUR MANHOLES. . YEAH. THAT WAS VERY NICE. THAT'S THE ONE ZEKE DID. SORRY, IS THAT THE ONE THAT ZEKE DID? THAT WAS THE ONE THAT NEEDED RIGHT THERE. YEAH. TOP THE SCHOOL SIDE. YEAH. YEAH. THAT ACTUALLY THAT FIBER MAN. YEAH. AND IT JUST TOP FIRE JUST DROPPED INTO THE MAN, SO IT'S SMOOTH. YEAH. I'M GLAD YOU NOTICED. AND THAT'S ONE OF THOSE THINGS LIKE, I HATE THE THOUGHT, I DON'T KNOW WHETHER ANYBODY'S EVER OPENED UP A MANHOLE OVER HERE ON MAIN AND BERNARD, BUT THE ARTISAN, THE BRICK MASON THAT BUILT THAT THING WAS AN ARTIST. AND UH, IT'S REALLY, UH, REMEMBER WHY WE, WE GOT, WHEN WE HAD THAT LINE COLLAPSED, THAT BELL, THAT BRICK WORK THAT'S IN THAT MANHOLE, DID WE REPLACE ALL THAT, THAT THING? WHICH ONE? TALKING ABOUT OVER HERE AT MAIN AND BERNARD. I MEAN THE GUY, WHOEVER DID THAT WAS AN ARTIST. SO YEAH, A LOT OF THESE MANHOLE ARE STILL GREAT BAND, RIGHT? YOU LOOK AT 'EM, THEY'RE LIKE AS OLD AS THEY ARE. C YEAH. IT'S THE LINES THAT GO INTO 'EM THAT ARE FAILING US. SO LIKE WATER SISTERS. YEAH. WHAT ABOUT ALL THE DRAIN AND STUFF ON PLANTATION? SO HORRIBLE. WE GET ONE LITTLE OF RAIN. THE THE WATER. YES. OBVIOUSLY WE, YOU, EVERY TIME WE HEAR THUMB, YEAH. WE, WE HAVE A SIGNIFICANT AMOUNT OF EYE AND EYE AND THAT'S WHAT THAT PLANTATION PROJECT IS SUPPOSED TO HELP HOPEFULLY REMEDY. JOHN, DO YOU WANT TO THESE, THE ONE OVER HERE ON SHANKS, UH, OVER SHANKS WHERE YOU'RE REFERRING TO IS, UH, THE, UH, THE AREA THAT YOU'RE REFERRING TO, ALL THAT AREA FOR THERE COMES DOWN, AVERY HITS SHANKS, GOES DOWN TO PLANTATION AND GOES TO THE WASTEWATER PLANT AFTER ALL THE RAINS SIDED. WE FOLLOW THOSE MANHOLES ALL THE WAY DOWN. EVERYTHING SEEMS TO BE FLOWING, BUT SOMEWHERE WE'RE GETTING, UH, INFILTRATION INTO THE LINE. IF YOU, THE HOUSE THAT'S ON THE CORNER OF AVERY AND, UM, SHANKS WHERE THAT BIG TREE FELL, UH, WE, WE WERE PROBABLY CUTTING THAT SECTION OF THE ROAD UP RIGHT THERE. THE, THE SERVICE LINE COMING INTO THAT MAIN, UH, THEY HAD TO REPLACE THEIR SERVICE LINE. IT'S AN OLD ORANGEBURG PIPE. IF YOU, IF YOU KNOW WHAT I'M TALKING ABOUT. IT'S LIKE ROAD TAR PAPER. AND, AND SO WE'RE HAVING TO REPLACE THE LINE FROM THE PROPERTY LINE OUT TO THE MAIN. SO WHAT YOU'RE WE'RE PROBABLY GONNA FIND IS A LOT OF THOSE SERVICE LINES THAT ARE TIED INTO THAT MAIN ON SHANKS, LIKE IT'S LITERALLY A ROLLED TARP PAPER AND IT'S JUST, IT'S EGG SHAPED AND THERE'S NOTHING YOU CAN DO TO IT. AND THEY'RE COLLAPSING. SO THAT AREA'S GONNA, IT'S DEFINITELY GONNA TO BE LOOKED AT WITH THE MAINS AS WELL AS THE SERVICE LINES. SO YOU'RE GETTING A LOT OF INFILTRATION IN THERE. AND WHAT IT DOES, IT JUST BACKS UP THE SYSTEM ALL THE WAY FROM THE WASTEWATER PLANT BACK. WE, WE'VE TRACED THEM ALL THE WAY DOWN DURING THESE STORMS. AND AGAIN, I THINK THE PROBLEM IS THEY'RE QUA WASH WHERE ALL OF 'EM COME TOGETHER TO ONE MANHOLE AND THEY'RE TRYING TO GET INTO THE PLANT. IT, IT IS TAKING IT IN, BUT IT, IT CAN ONLY TAKE SO MUCH IN AT A TIME AND IT JUST BACKS UP. SO THAT IS THE GOAL IS TO GET THOSE LINES FROM UH, WORKING FROM THE PLANT BACK OUT AND ENLARGING THE LINE THAT GOES ACTUALLY INTO THE, INTO THE PLANT. BUT THAT'S GONNA REQUIRE RAILROAD CROSSING TO GET UNDERNEATH THE TRACKS AND TO BRING A LARGER LINE INTO THE PLANT TRACKS WEREN'T THERE, IT'D PROBABLY BE A LOT EASIER, BUT 'CAUSE OF THE RAILROAD, IT'S GONNA REQUIRE PERMITS AND EVERYTHING ELSE. THEY'RE SUPER EASY TO WORK WITH. I'VE HEARD WELL THAT PREACHER THAT WAS HERE THE NIGHT USED TO WORK FOR, SO WE NEED THAT'S RIGHT. WE HAD A NEW CONTACT. USE OUR CONNECTIONS THERE HELPS . [00:25:06] SO ON THE TAX, UM, ARE WE LOOKING AT REDUCING THE TAX RATE TO THE 0.44? SO NO MA'AM. WE'RE, UH, PROPOSING STAFF IS PROPOSING A TAX RATE OF 4, 6, 5. OKAY. THE FOUR FOUR IS THE NO NEW REVENUE RATE. UM, WHICH WOULD KEEP US FLAT. UH, AND IF THERE WAS A CASE WHERE WE DIDN'T HAVE INFLATION, THAT WOULD BE OKAY. BUT WE'RE STILL SEEING THREE, THREE AND A HALF PERCENT GROWTH AND CPI YEAR OVER YEAR. SO WE'RE KIND OF GOING A LITTLE BIT BELOW WHAT WE HAD LAST YEAR, RIGHT? WE'RE GOING YEAH, LAST YEAR. YEAH. WE'RE, I GUESS YOU COULD SAY YES. SO WE'RE GOING A LITTLE BIT LOWER THAN WHAT WE DID LAST YEAR. UM, BUT HIGHER THAN THE, HIGHER THAN THAT. LOWEST. YES. OKAY. CORRECT. THEY DID THIS YEAR. YEAH. UM, THAT LAKE JACKSON DID INCREASE THEIRS THIS YEAR TO THE, THE, TO, TO GET TO THAT LEVEL, TO UH, TO OFFSET SOME OF THE COSTS. AND THERE IT'S BEEN KIND OF A SHOCK TO THE SYSTEM OVER THERE THIS YEAR. SO, WAIT, WHAT DID THEY DO? UH, THEY, THEY'RE BRINGING THE PROPERTY TAX AND THEY'RE ALSO INCREASING THEIR FEES FOR WATER SEWER ACROSS THE BOARD SIGNIFICANTLY, UH, TO OFFSET THE HIGHER COST THAT THEY'RE ENDURING. SO, UH, THE ONLY QUESTION I HAD, UM, AND YOU MIGHT HAVE TALKED ABOUT IT, SO I APOLOGIZE IF YOU DID, UH, WAS THE FUND WHERE WE DO ALL OF THE, UH, STREET SIDEWALKS? YES. WHERE WE HAVE A, A BIGGER BALANCE ON THAT ONE? YES. DID WE DID, I CAN'T REMEMBER IF YOU TOLD ME IF YOU DID OR NOT. FIGURE OUT HOW TO USE THOSE FUNDS FOR OUR, WE'VE NEW CONSTRUCTION WE HAVE TO GO THROUGH, IT'LL HAVE TO GO THROUGH THE, UH, CHARTER REVIEW COMMISSION AND THEY'LL HAVE TO REARRANGE THE RATES THAT WE COULD USE. WE DID. WE, SO CHARTER REVIEW WILL MAKE SOME CHANGES TO WE'RE GONNA REQUEST THAT THEY MAKE SOME CHANGES. WE WERE ABLE TO MOVE THE LANDSCAPING COSTS FOR STREETS AND DRAINAGE. THAT'S WHAT IT WAS. OKAY. INTO THAT FUND. SO WE'VE MOVED THOSE COSTS OUTTA THE GENERAL FUND AND INTO THAT FUND, WHICH ACCOUNTS FOR ABOUT 300 AND NO, IT'S A LITTLE BIT MORE FOR THE NORTH OF THAT. ABOUT $400,000, RIGHT? YEAH. YEAH. WAS THAT FOR BOTH, UH, PUBLIC WORKS AND PARTS, OR JUST FOR PUBLIC WORKS? NO, ONLY PUBLIC WORKS. UH, PARKS. IT'S NOT SPELLED OUT IN THE CHARTER THAT PARKS WOULD BE ALLOWABLE. SO WE ARE TRYING TO STAY SAFE AND KEEP IT WITH STREETS AND DRAINAGE. BUT WE DID KEEP THE MONEY THAT WE TALKED ABOUT LAST TIME FOR THE, UH, AUTONOMOUS MOWING AND THE, UH, THE CONTRACT MOWING IN, IN THE BUDGET AS WELL. CORRECT. AND AGAIN, I'D LIKE TO THANK COREY ANGEL, UH, ROSIE FOR PROOFREADING AND GOING THROUGH AND MAKING SURE THAT I DIDN'T HAVE TOO MANY MATH ERRORS. AND, UH, THANK THE DEPARTMENT HEADS FOR THEIR STEWARDSHIP AND THEIR PATIENTS, UH, DURING ALL THIS. THEY'VE BEEN GREAT TO, GREAT TO DEAL WITH AND AS ALWAYS, THEY DO A GREAT, GREAT JOB OF MANAGING THE FUNDS THAT THEY GET. THEY FIND A WAY TO DO MORE WITH LESS EVERY SINGLE YEAR. SO SEEMS LIKE EVERY YEAR WE, WHEN WE GO THROUGH THIS, WE HAVE TO FACE A CHALLENGE. AND THIS, THIS YEAR THE HURRICANE DIDN'T HELP THAT CHALLENGE. NO. ANY OTHER QUESTIONS? NO. ALRIGHT, MAYOR, I'LL HAND IT BACK TO YOU THAT, UH, NO MORE QUESTIONS, COMMENTS ON THE BUDGET WORKSHOP. [III. BUSINESS ITEMS] WE'LL MOVE TO BUSINESS ITEMS AND ITEM A IS CONSIDERATION AND POSSIBLE ACTION TO ADOPT RESOLUTION NUMBER 52 DASH 2024 PROVING AN APPLICATION TO JOIN NORTH CENTRAL TEXAS COUNCIL OF GOVERNMENTS N-C-T-C-O-G PURCHASING COOPERATIVE. IT WOULD BE RESOLUTION NUMBER 52 DASH 1 24. THE RESOLUTION AUTHORIZING PARTICIPATION IN NORTH CENTRAL TEXAS COUNCIL OF GOVERNMENTS NORTH TEXAS SHARE PROGRAM. WHEREAS THE NORTH CENTRAL TEXAS COUNCIL OF GOVERNMENTS HEREIN REFERRED TO AS N-C-T-C-O-G AS A VOLUNTARY ASSOCIATION OF BUY FOR LOCAL GOVERNMENTS ORGANIZED UNDER CHAPTER 3 91 OF THE TEXAS LOCAL GOVERNMENT CODE AND WAS ESTABLISHED TO ASSIST LOCAL GOVERNMENTS IN THE PLANNING FOR COMMON NEEDS INCORPORATING FOR THE MUTUAL BENEFIT AND COORDINATING FOR SAL REGIONAL DEVELOPMENT. WHEREAS THE N-C-T-C-O-G ESTABLISHED NORTH TEXAS SHARE AS A PUBLIC SECTOR SOLUTION CENTER, WHICH INCLUDES A COOPERATIVE PURCHASING PROGRAM FOR GOODS AND SERVICES, WHEREAS NORTH TEXAS SHARE PROCURES GOODS AND SERVICES IN ACCORDANCE [00:30:01] WITH APPLICABLE STATE LAWS AND REGULAR REGULATIONS REGARDING CONTRACT AND PROCUREMENT PROCEEDINGS. WHEREAS THE CITY WILL PURSUANT TO THE AUTHORITY GRANTED UNDER SECTION 2 7 1 0.101 TO 2 7 1 0.102 OF THE LOCAL GOVERNMENT CODE. AND CHAPTER 7 91 OF THE GOVERNMENT CODE DESIRES TO PARTICIPATE IN THE NORTH TEXAS SHERIFF COOPERATIVE PURCHASING PROGRAM. NOW THEREFORE BE RESOLVED BY THE CITY COUNCIL TO SEE UDE TEXAS AS FOLLOWS, THE MAYOR AND OUR CITY MANAGER SHALL BE AUTHORIZED TO EXECUTE AN INTERLOCAL AGREEMENT WITH N-C-T-C-O-G TO PARTICIPATE IN THE NORTH TEXAS SHERIFF PROGRAM AND UTILIZE ANY GOOD ANY CONTRACTS FOR GOODS AND SERVICES AVAILABLE THERE UNDER DULY PASSED AND APPROVED THE 15TH DAY OF AUGUST AND IT WOULD BE SIGNED BY MYSELF AND TO TEST BY ROSA POINT CITY CLERK. AND IF THIS SEEMS FAMILIAR, IT'S BECAUSE IT IS. WE JUST DID THIS HOWEVER, UH, TO PUT BELTS AND SUSPENDERS ON IT, I HAD CITED THE WRONG SECTION OF THE LOCAL GOVERNMENT CODE IN THE PRIOR ONE. SO JUST TO MAKE SURE THAT WE'RE PERFECTLY SAFE, THIS IS THE CORRECT SECTIONS OF CODE, UH, FOR STATE LAW. WE'VE ALREADY SUBMITTED OUR APPLICATION. WE JUST FOUND OUT THAT WE PUT THE WRONG SECTION IN THE LAST RESOLUTION AND SO WE'RE TRYING TO MAKE SURE THAT WE'RE COVERED ON ALL OUR BASES HERE. I THOUGHT THIS LOOKED FAMILIAR. YES, SIR. OKAY. NCT COG IS, UH, IT KIND OF JUST ROLLS OFF THE TONGUE. IT'S LIKE I JUST, I REMEMBER IT 'CAUSE I KNOW HOW HE SOUNDED SUCH A HARD TIME WITH IT. , THAT'S, SO I HAVE A MOTION TO APPROVE RESOLUTION NUMBER 52 DASH 2024. I'LL MAKE THE MOTION. MOTION MADE BY COUNCILMAN LAR. DO I HAVE A SECOND? I'LL SECOND. COUNCILPERSON MADDOX. MAKE THE SECOND FURTHER DISCUSSION. HEARING NONE ALL ENTERTAIN THE VOTE. ALL IN FAVOR? AYE. AYE. UNANIMOUS. THANK YOU. NEXT ITEM, CONSIDERATION AND POSSIBLE ACTION TO TAKE A RECORD VOTE ON A PROPOSED TAX RATE OF 0.4 6 5 0 0 0, WHICH IS A TAX RATE INCREASE OF 2.38%, WHICH IS LESS THAN THE VOTER APPROVAL TAX RATE TO BE CONSIDERED AT A FUTURE COUNCIL MEETING FOLLOWING A PUBLIC HEARING. THIS IS NOT THE ONE WHERE THEY HAVE TO READ IT AND SAY IT. THIS IS NO, THIS IS THE, THIS IS THE PRELIMINARY VOTE ON THE TAX RATE. THIS IS NOT THE FINAL VOTE. THIS IS TO, THIS IS, SO YOU COULD DRAW THAT PAPER UP. THAT'S CORRECT. ? YES SIR. OKAY. OH, DO WE NEED A MOTION? YES MA'AM. OH, I'LL MAKE A MOTION. WE HAVE A MOTION BY COUNCIL PERSON MADDOX, THAT WE ADOPT 0.46 0.46500 AS OUR PROPOSED TAX RATE. SECOND. I'LL SECOND. SECONDED BY COUNCIL PERSON. VAUGHN. AND I WOULD NOTICE THE, BECAUSE OF THE TRUTH, TRUTH IN TAXATION LAW, , WE HAVE TO SAY THAT WE'RE, EVEN THOUGH WE'RE DECREASING THE RATE FROM THE PRIOR YEAR, WE'RE GOING ABOVE THE NOTED REVENUE RATE. SO THE STATE LAW TELLS US THAT WE HAVE TO SAY THAT WE ARE INCREASING THE RATE, WE'RE DECREASING THE RATE, WE'RE INCREASING THE REVENUE, BUT WE HAVE TO USE THIS LANGUAGE IN THERE. SO THAT'S WHY IT SHOWS EVEN THOUGH WE'RE BRINGING THE RATE DOWN, WE'RE BRINGING THE RATE UP. AND I JUST SAID THE MATH OF MY OWN HOUSE, IT LOOKS LIKE MY TAXES WILL GO UP $43, WHICH I HAVE NO PROBLEM WITH. OKAY. ANY FURTHER DISCUSSION? NO FURTHER DISCUSSION. THIS IS A RECORD VOTE. MR. CHRIS. AYE. MR. AGUILAR? AYE. MS. MADDOX? AYE. MR. LOPEZ? AYE. MR. BOND? AYE. OKAY. IT'S UNANIMOUS. NEXT ITEM WOULD BE TO CONSIDERATION AND POSSIBLE ACTION TO SCHEDULE A PUBLIC HEARING ON THE PROPOSED TAX RATE AND IN TAX, POST TAX INCREASE AND ANNOUNCE DATE, TIME, AND LOCATION OF THE PUBLIC HEARING. RECOMMENDED DATE FOR THE PUBLIC HEARING. COUNCIL CONSIDERATION. ACTION ON THE TAX RATE IS THURSDAY, SEPTEMBER THE 12TH, 2024 AT 6:30 PM AT KLU CITY HALL. CONSIDER A MOTION AS SUCH. SO MOVED. MOVED BY COUNCIL PERSON. VAUGHN. SECOND BY I'LL SECOND. COUNCIL PERSON. MADDOX. ANY DISCUSSION? HEARING NONE. I'LL ENTERTAIN THE VOTE. ALL IN FAVOR? A. AYE. UNANIMOUS. NEXT ITEM IS CONSIDERATION AND POSSIBLE ACTION TO SCHEDULE AND SET A PUBLIC HEARING ON THE PROPOSED BUDGET AND ANNOUNCE DATE, TIME, AND LOCATION OF THE PUBLIC HEARING, RECOMMENDED DATE, PUBLIC HEARING AND COUNCIL CONSIDERATION. ACCIDENT ON THE TAX RATE. THURSDAY, SEPTEMBER THE 12TH, 2024 AT 6:30 PM ONE. CARE TO MAKE A MOTION. I'LL MAKE, GO AHEAD. I'LL MAKE THE MOTION AND I'LL COUNCILMAN [00:35:01] AZAR SECONDED BY COUNCIL PERSON. MADDOX. SAME DATE, SAME TIME. ONE WILL BE BEFORE THE OTHER. YEAH. . THAT'S RIGHT. ANY DISCUSSION? HEARING NONE. ALL ENTERTAIN A VOTE? ALL IN FAVOR. A. AYE. UNANIMOUS. NEXT ITEM IS ANNOUNCEMENT ON THE SCHEDULED DATE FOR THE ADOPTION OF THE BUDGET ORDINANCE FOR FISCAL YEAR 2024. 2025 WILL BE HELD ON THURSDAY, SEPTEMBER THE 12TH AT 6:30 PM YOU CAN DO ALL THESE ON THE SAME DAY. NOW WE JUST HAVE TO DO 'EM SEPARATELY. YES, I KNOW THEY MADE IT SO MUCH IN THEIR EYES. THEY TRADED THE EXPENDITURE OR THE, THE DECREASE TO THE ROLLBACK BY MAKING IT MORE EXPEDIENT TO DO IT IN THE SAME MEETING. SO, OKAY. AS LONG AS WE ADOPT THE BUDGET BEFORE THE TAX RATE, THEY CAN HAPPEN ON THE SAME DAY. AT THE SAME MEETING. OKAY. WELL YOU'D THINK IT WOULD BE THE OTHER WAY AROUND. RIGHT? DO I HAVE A MOTION THAT, THAT, THAT THE ADOPTION OF THE BUDGET ORDINANCE BE SET FOR THURSDAY, SEPTEMBER THE 12TH AS WELL. I'LL MAKE A MOTION FOR THAT. MOTION MADE BY COUNCILPERSON MADDOX. SECONDED BY, I'LL SECOND IT. COUNCILMAN AGUILAR? YES. ANY COMMENTS, QUESTIONS? HEARING NONE, I'LL ENTERTAIN THE VOTE. ALL IN FAVOR? AYE. AYE. IT'S UNANIMOUS. AND THEN NOW THAT CJ EXPLAINED IT WELL ON THE SAME DAY WE WILL HAVE A SCHEDULED DATE FOR ADOPTION OF THE TAX ORDINANCE, WHICH HAS TO BE DONE AFTER THE BUDGET ORDINANCE. I'LL MAKE A MOTION. AND THIS SCHEDULED FOR SEPTEMBER THE 12TH? YES. I'LL MAKE A MOTION ON THAT. MOTIONS MADE BY COUNCIL PER MADDOX. SECONDED BY I'LL SECOND. COUNCILMAN LOPEZ. ANY DISCUSSION? HEARING NONE. I'LL ENTERTAIN A VOTE. ALL IN FAVOR? AYE. UNANIMOUS. IT'S LIKE WE'RE GONNA BE BUSY ON SEPTEMBER THE 12TH. YEAH, RIGHT. GONNA BE A LONG NIGHT, BUT PROMISE WILL BE WELL WORTH IT. WORTH YOU ONLY GONNA HAVE ONE ITEM ON THE AGENDA, RIGHT? ? WELL, FOR THAT PART OF THE MEETING, YES SIR. [IV. NOTICE/ANNOUNCEMENTS OF UPCOMING EVENTS AND MEETINGS] THEN WE WOULD HAVE NOTICE OF THE UPCOMING EVENTS AND MEETINGS, UH, SEPTEMBER THE 12TH IF LABOR DAY AND THE CITY OFFICES WILL BE CLOSED. UH, WE WILL HAVE ALL THOSE SPECIAL MEETINGS ON SEPTEMBER THE 12TH. SO WE'LL MAKE SURE WE HAVE A QUORUM. 'CAUSE WE HAVE TO HAVE ONE FOR THAT NIGHT MORE THAN ANY OTHER NIGHT OF THE YEAR. AND WE GOTTA MAKE SURE WE DO EVERYTHING IN THE RIGHT ORDER. THAT'S EXACTLY RIGHT. AND THEN FOLLOWING THOSE WE WOULD HAVE A REGULAR COUNCIL MEETING. AND THEN WE WOULD HAVE A REGULAR COUNCIL MEETING SCHEDULED FOR SEPTEMBER THE 26TH. AND THE NEXT ITEM WOULD BE ADJOURN. SO MOVED. MOVE BY COUNCIL. I'LL SECOND. SECOND BY COUNCILMAN AGUILAR. ANY DISCUSSION? HEARING NONE. I ENTERTAIN THE VOTE. ALL IN FAVOR? AYE. AYE. UNANIMOUS. MEETING ADJOURNED. LOOK AT THAT. * This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting.