* 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. [00:00:01] GOOD. OKAY. IT'S LESS, IT'S LES COMING. [1. CALL TO ORDER/PLEDGE OF ALLEGIANCE/MOMENT OF SILENCE] ALL RIGHT. GOOD MORNING EVERYONE. THANKS FOR COMING BACK. [3.a. Public Comment: Public comment on all budget items will be taken at the outset of the meeting. Each person commenting will have a maximum of two minutes. The entire period for the public comment will not exceed thirty minutes. B. An introduction to and overview of the 2023/2024 Fiscal Year Budget process will be presented and discussed. C. Recommendations of the Citizen’s Budget Work Group. D. An overview of departmental budgets will be presented and reviewed with any departments requested by the City Council. E. An overview of the overall City budget and strategic budget issues for FY 2023/2024 will be presented and discussed. F. An overview of the Fund Summaries will be presented and discussed. G. An overview of the Capital Improvements Plan will be presented and discussed. H. Recap and review of overall budget, decision packages, capital improvement projects, and financial impacts will be presented and discussed. I. Items not completed on Wednesday, June 14, 2023, will be carried over to Thursday, June 15, 2023 beginning at 8:00 a.m] UH, WE'RE GOING TO START THE MEETING WHERE WE LEFT OFF, UH, YESTERDAY TO CON TO CONTINUE THE MEETING. GO AHEAD. WE'LL START WITH THE CITY MANAGER'S OFFICE. SAY HERE AND SHERRY, YOU GONNA START AND KAREN'S GONNA START, I GUESS, RIGHT? UH, YEAH, SO I, I CAN GO THROUGH THE SUMMARY OF THE SLIDES. OKAY. UM, SO FOR THE CITY MANAGER'S OFFICE, SO I HAVE A SLIDE FOR THE CITY MANAGER'S OFFICE IN TOTAL. AND THEN, UM, SLIDES FOR THE SEPARATE PROGRAMS WITH THAT ARE WITHIN THE CITY MANAGER'S OFFICE. SO IN TOTAL, UM, THE FISCAL YEAR 23 DIRECT COSTS ABOUT 3 MILLION AND GOING DOWN IN FISCAL YEAR 24 TO DIRECT COSTS OF ABOUT 1.3. A LOT OF THIS IS TRANSFERS AND SHIFTING SOME THINGS AROUND. SO HOUSING AND SUSTAINABILITY HAVE BEEN MOVED TO STANDALONE DEPARTMENTS. SO THOSE ARE NO LONGER PROGRAMS UNDER THE CITY MANAGER'S OFFICE. UM, THE, UM, VACANCY SAVINGS OFFSET, UM, SO THERE'S A PORTION THERE. UM, THE 79,000, THE DECREASE IN WAGES AND BENEFITS. SO THERE'S, UM, BIG PART OF THAT IS TRANSFER OF, UM, SOME FTE. SO THE, UH, 1.0 FTE THAT WAS FORMERLY THE ASSISTANT TO THE CITY MANAGER. UM, BASICALLY KAREN WAS VERY GENEROUS IN, UM, THAT FTE TO, UH, COMMUNITY DEVELOPMENT, UM, FOR A POSITION FOR THEM. AND THEN, UH, WE'RE ALLOCATING 0.1 OF, UM, THE, HER NEW TITLE IS SPECIAL INITIATIVES COORDINATOR, IS THAT RIGHT? UM, SO TO, TO HAVE KEEGAN, UM, DO SOME OF THE STUFF, UM, RELATED TO THE TOURISM AND ECONOMIC INITIATIVE. SHE'S BEEN HELPING WITH THE COORDINATION OF SOME OF LIKE THE, WHERE'S THE LOCALE AND SOME OF THAT STUFF. YES. I'M SORRY, JUST ONE QUESTION, KAREN, THAT SITS IN THE FRONT OF THE OFFICE IN YOUR BUILDING. WHAT, WHAT IS HER JOB LIKE? WHO DOES SHE REPORT TO IF SHE'S NOT THE ASSISTANT TO THE CITY MANAGER? SHE'S THE EXECUTIVE ASSISTANT. SO, SO SHE IS OUR ADMINISTRATIVE SUPPORT FOR ANDY AND I, AND THEN ALL THE PROGRAMS THAT ARE ASSIGNED TO THE CITY MANAGER'S OFFICE. SO SHE'S RECEPTION, SHE'S SCHEDULING, SHE COORDINATING WITH SMALL GRANTS WITH, SO SHE'S DOING THE ADMINISTRATIVE WORK. THE ASSISTANT TO THE CITY MANAGER WAS A MASTER'S LEVEL PROFESSIONAL, UM, SUPPORT AT A HIGHER LEVEL. SO THEY WERE COORDINATING PROJECTS, SPECIAL PROJECTS. AND THAT WAS MOST RECENTLY MEGAN MCCRAY'S POSITION. AND HOW LONG HAS THAT POSITION BEEN OPEN OR WAS OPEN SINCE NOW YOU TWO RELINQUISHED IT? THREE YEAR AND A HALF MAYBE. OKAY. OKAY, GREAT. THANK YOU. HE MAY NOT HAVE KNOWN MEGAN. I DIDN'T. OH YEAH. SHORT TIMER. THAT'S RIGHT. NICE. UM, WE ARE SHOWING, UM, WAIT, WAIT, UH, SHERRY? YES. PETE HAS A QUESTION. SO SHE, I HAVE SORT OF A GENERAL QUESTION. I, WE'VE SEEN THIS THROUGH ALL OF THE DEPARTMENTS. IT REALLY, I'M LOOKING AT THE TRANSFERS HERE, AND IT, IT, WE'VE, WE'VE SEEN THIS IN OTHER DEPARTMENTS. IT REALLY STANDS OUT IN THE CITY MANAGER'S OFFICE JUST BECAUSE THERE WERE SO MANY. AND I'M, YOU KNOW, I LOOK AT, IF PEOPLE DON'T KNOW BUDGETING AND THEY COME AND CASUALLY LOOK AT STUFF LIKE THIS, THEY SEE THE CITY MANAGER'S OFFICE JUST DRAMATICALLY DROP IN COST. BUT THAT'S NOT TRUE. . I MEAN, IT'S STILL COST A LOT OF MONEY. ALL THESE COSTS STILL EXISTS. THEY'RE JUST NOW IN OTHER PLACES. AND, YOU KNOW, IF, IF WE DO YEAR OVER YEAR COMPARISONS AND ALL OF A SUDDEN WE'LL SEE NOW THE CITY MANAGER'S OFFICE WAS DRAMATICALLY DIFFERENT. AND TO ME, THERE, THERE, AND I HAVE NO ANSWER FOR MY QUESTION AND I KNOW THAT YOU DON'T EITHER BECAUSE YOU THINK ABOUT THIS STUFF A LOT, BUT IT, IT MAKES THE COMPARISONS DIFFICULT AND THE, THE TRANSFERS THAT EXIST HERE, YOU KNOW, IT'S ALMOST LIKE WHEN WE'RE REPORTING IT IN A YEAR, WE SHOULD SAY, WELL, IF IT STILL WAS HERE, THE DEPARTMENT BUDGET IS, WOULD ACTUALLY PROBABLY HAVE GROWN A LITTLE BIT AND NOW WE'RE GONNA REDUCE IT CUZ WE'RE GONNA TRANS SO THE TRANSFER SHOULD BE SORT OF BELOW THE LINE OR SOMEHOW I'M, I'M THINKING THAT THERE'S JUST A DIFFERENT WAY TO MANAGE THE PRESENTATION OF OUR COSTS SO IT DOESN'T POTENTIALLY MISLEAD ANYONE THAT THINGS ARE DROPPING IN COSTS WHEN THEY'RE ACTUALLY INCREASING OR VICE VERSA AS WELL. AND I DON'T KNOW IF ANYONE HAS A . YEAH. AND, AND I DO HAVE SLIDES ON THE, ON INDIVIDUAL [00:05:01] PROGRAMS THAT'LL GIVE YOU A LITTLE BIT BETTER WITHIN THE PROGRAMS THAT ARE STAYING IN THE CITY MANAGER'S OFFICE. SO THAT WILL HELP, UM, WITH SOME OF THAT. SHERRY WOULD IT BE POSSIBLE, BUT WE, WHAT YOU DID BEFORE, YOU'D PUT LIKE THE LITTLE NUMBER ONE, TWO, AND THREE AND YOU PUT 'EM ON THE BOTTOM. MM-HMM. FOOTNOTES. FOOTNOTES. THANK YOU. THANK YOU VERY MUCH. I'VE BEEN OUTTA THAT BUSINESS FOR A LONG TIME. UH, AND THAT WOULD, YOU KNOW, SO IF SOMEBODY LOOKS AT THIS SLIDE, IT DOESN'T KNOW, AND IT WOULD BE RIGHT THERE AND WHY IT'S, IT'S LIKE YOU SEE, IT'S A PARENTHESIS, YOU KNOW, IT'S REMOVED AND TELL, JUST TELL A LITTLE BIT OF A STORY. EVEN ONE, JUST ONE LINE IS THAT COMMON PRACTICE IS THAT ACCEPTABLE PRACTICE. YEAH. AND ONCE WE'RE FULLY STAFFED AND I HAVE MY NEW PERSON THAT WILL REALLY HELP. THAT'S VERY FAIR CAPACITY TO DO MORE OF THAT STUFF. NO, THAT'S VERY FAIR. YEAH, VERY FAIR. SO A LOT OF IT'S JUST, JUST TRYING TO GET EVERYTHING IN THERE THAT I POSSIBLY CAN. I'M JUST TRYING TO ADDRESS PETE'S. YEAH, EXACTLY. AND SO ONE OF THE THINGS THAT I WOULD SAY TO THAT PETE, AND I'VE KIND OF CHARACTERIZED THAT I FEEL LIKE WE'RE GOING THROUGH SOME GROWING PAINS, UH, BECAUSE REALLY WE'RE RELATIVELY NEW CITY. LIKE WE'RE NOT A CITY THAT'S BEEN AROUND FOR 150 YEARS AND SUPER STABLE AND LIKE WE JUST DO THE SAME THING YEAR AFTER YEAR AFTER YEAR. LIKE WE ARE STILL GETTING TO WHO WE ARE, ALL THE VARIOUS THINGS, THE DIFFERENT PROGRAMS AND STUFF THAT HAVE BEEN ADDED TO ADDRESS THE DIFFERENT THINGS. SO, UM, IT, IT'S A LOT OF GROWING PAINS FOR US. AND AS WE'RE GOING THROUGH AND SAYING, OKAY, NOW WE'RE READY TO HAVE SUSTAINABILITY AND HOUSING BE STANDALONE DEPARTMENTS, THEY WERE STILL NEW INITIATIVES FOR A WHILE AND IT'S LIKE, OKAY, WELL WE'RE REALLY THERE. WE NEED, WE NEED TO SEPARATE THOSE. UM, SO THAT, THAT'S HOW I VIEW IT. IT IT'S A LOT OF GROWING PAINS RIGHT NOW. YEAH. AND I, I KNOW IT SOUNDS LIKE, YOU KNOW, 30 YEARS IS A LONG TIME, BUT IN THE REALM OF A CITY, THAT'S ACTUALLY A VERY SHORT TIME. YEP. NO, YEAH. I ABSOLUTELY APPRECIATE THAT. UH, AND I KNOW THAT WHEN YOU GO THROUGH, YOU KNOW, AND AGAIN, I'M NOT PICKING ON THE CITY MANAGER'S OFFICE, IT'S JUST MORE APPARENT HERE THAT IN OTHER SUMMARY CHARGES OF OTHER BUDGETS, YOU SEE THINGS LIKE THE INCREASE IN ONE CO TIME COST OR THE INCREASE IN SALARIES. THIS JUST HAPPENS TO BE SO DOMINATED BY THE TRANSFERS THAT WE DON'T GET THIS FULLER PICTURE OF WHAT'S HAPPENING IN THIS DEPARTMENT BECAUSE IT'S HERE. AND IF YOU, YOU KNOW, IF WE LISTED MORE CONSISTENT DONE ITEMS FOR EACH DEPARTMENT AND SAID, YOU KNOW, THE TRANS, IF THE TRANSFERS WERE STILL THERE, THE COST COMPARED TO LAST YEAR WOULD'VE INCREASED A LITTLE BIT. AND THEN DOWN BELOW THAT LINE YOU GOT, BUT WE'RE GONNA TRANSFER THIS STUFF OUT. AND SO NOW IT'S, IT THE NEW NUMBER. IS THAT SOME IDEA LIKE THAT THAT JUST KIND OF GIVES US THAT YEAH. CONSISTENCY OF THE THINGS THAT WE'RE REPORTING. AND, AND I KNOW YOU HAVE TO, EACH DEPARTMENT'S GOT A LONG LIST OF WHAT THE CHARGES ARE AND YOU HAVE TO PULL OUT WHAT YOU THINK ARE THE, THE MOST SIGNIFICANT, BUT BECAUSE THAT HAPPENS, WE MISS THINGS THAT ARE ALSO HAPPENING. AND, AND ONE OF THE THINGS THAT IS IN YOUR BOOK IS AN OVERALL SUMMARY OF THE CHANGES FOR THE CITYWIDE BUDGET FROM LAST YEAR TO THIS YEAR. SO THESE THINGS NET OUT WHEN YOU LOOK AT IT IN GRAND TOTAL. AND SO THEN THAT SUMMARY GIVES YOU MORE OF THAT HIGHLIGHT OF OKAY, WHEN YOU LOOK AT THE BUDGET IN TOTAL FOR EVERYTHING. YEP. SO YEAH, WE, WE DO HAVE THAT PERSPECTIVE. THAT'S ALMOST, ALMOST ONE OF MY POINTS IS THAT IT IS HERE. AND I KNOW I CAN ASK THIS QUESTION BECAUSE I KNOW THE DATA IS HERE, BUT YOU KNOW, THERE ARE 79 PEOPLE WATCHING ONLINE MAYBE, AND THEY WON'T GET IT CUZ THEY'LL JUST SEE THIS OR THEY'LL JUST SEE THAT THE CITY MANAGER COSTS, YOU KNOW, DROPPED 55% AND IT'S LIKE, WOW, THAT'S, WELL, AND I THINK THIS SORT OF DOES SERVE AS THOSE FOOTNOTES, RIGHT? WE'RE TAKING THIS AMOUNT OF MONEY, WHICH IS THE COST FOR HOUSING AND PUTTING IT IN ITS OWN AREA. YOU KNOW WHAT I'M SAYING? LIKE, IT, IT'S NOT JUST A SLIDE THAT SAYS IT WENT FROM THREE TO 1 MILLION. YEAH, I I'M GONNA STOP ASKING CUZ I DON'T WANT ANYONE GET DEFENSIVE HERE. I'M JUST TRYING TO ALRIGHT, AND GONNA MOVE ALONG. WE DON'T WANNA STAY TILL FIVE O'CLOCK. SO IF I WANNA ASK QUESTIONS, MAYOR, I WILL. OKAY. I UNDERSTAND. AND I WILL TOO. YES, YOU WILL. . OKAY, SHERRY. UM, SO, UH, ANOTHER CHANGE, WE HAD THE LEGISLATIVE ADVOCATE IN, UM, THE ONE TIME, AND SO WHAT YOU'LL SEE HERE IS THERE'S AN INCREASE ON THE ONGOING SIDE, PLUS IT WAS AT 75,000. WE BUMPED IT UP TO A HUNDRED THOUSAND. AND THEN THE DECREASE IN THE ONE TIME COST, UM, A BIG PORTION OF THAT DECREASE IS RELATED TO MOVING THE LEGISLATIVE ADVOCATE OUT OF THE ONE TIME. SHERRY, HOLD ON RIGHT THERE. [00:10:01] I THINK IT'S, UH, TO MAKE IT CLEAR, THE REASON THAT THERE'S AN INCREASE IN THAT BUDGET IS BECAUSE WE'VE EXPANDED THE SCOPE. INITIALLY WE HIRED THE LEGISLATIVE ADVOCATE TO WORK ON SHORT TERM RENTALS, BUT BECAUSE THERE'S SO MANY BILLS IMPACTING CITIES AND TOWNS, WE'VE ASKED THEM TO TAKE ON MORE RESPONSIBILITY AND COMMENSURATE WITH AN INCREASE IN THE COSTS. JESSICA, DOES THIS REFLECT ANY INCREASE FOR, UM, REPORTING TO US IN THE ABSENCE OF, OF JOANNE? OR IS THIS JUST FOR A BROADENING OF THE SCOPE OF THEIR ACTIVITY? SO THE A HUNDRED THOUSAND DOLLARS IS AN ESTIMATE. OKAY. SO I AM IN THE PROCESS RIGHT NOW OKAY. OF WORKING WITH PAUL TO SEE WHAT MIGHT HE MIGHT BE ABLE TO ACCOMMODATE IN TERMS OF THE ONGOING REPORTING TO THE CITY COUNCIL. SO THIS, WE SORT OF HEDGED ON A HIGHER NUMBER, UM, BUT I DON'T THINK IT'S GONNA BE THAT HIGH EVEN WITH SOME OF THE ADDITIONAL WORK THAT WE'RE GONNA ASK OF HIM. THANK YOU. OH, BRIAN, ARE WE GOING TO HAVE ANY FORMAL PROCESS OF EVALUATING THE LEGISLATIVE ADVOCATE AND WHETHER WE FEEL LIKE WE'RE SATISFIED WITH OUTCOMES THAT WE'RE GETTING? THAT IS ENTIRELY UP TO, TO YOU ALL. IF YOU, YOU KNOW, WE, WE KNOW WHAT THE OUTCOMES ARE , UM, AND AND WHETHER OR NOT YOU ALL AS A BODY FEEL THAT THAT INVESTMENT IS, IS BEING FRUITFUL. UH, OKAY. YEAH. I MEAN, BECAUSE LIKE LAST YEAR THERE WAS A READING OF THE S T R REFORM THIS YEAR THERE WASN'T EVEN A READING OF IT. SO I'M KINDA LIKE FEELING A LITTLE SALTY RIGHT NOW ABOUT, OKAY, ARE THESE GUYS REALLY GONNA BE ABLE TO GET ANYTHING DONE FOR US OR NOT? RIGHT? AND, UH, BUT I THINK WE UNDERSTAND THAT I DON'T, IN MY OPINION, THAT HAD REALLY NOTHING TO DO WITH THEM WHEN YOU HAVE THE, THE SPEAKER OF THE HOUSE JUST KILLING IT RIGHT THEN AND THERE. AND THEY DID JUMP IN AND THEY DID ARRANGE FOR MEETING FOR THE VICE MAYOR MYSELF AND LIKE HAVASU CITY MAYOR, UH, AND, UH, HIS VICE MAYOR TO GO DOWN THERE. I MEAN, THEY, THEY CAN ONLY DO JUST SO MUCH. THEY CAN'T PREDICT WHAT, UM, THEY CAN'T PRODUCE. I JUST WANNA MAKE SURE WE KEEP A LITTLE BIT OF ATTENTION ON AS FAR AS EXPECTATION. AND IT'S NOT JUST, I MEAN, NOT A FREE RIGHT NOW. I'LL YEAH. I'LL, I'LL LEAVE IT THERE. IT'S, IT'S A, IT'S A CONVERSATION FOR ANOTHER TIME. THANK YOU. AND I THINK IT'S A, IT'S A VERY FAIR QUESTION. OH YEAH, NO, IT IS. WE, WE DID THIS, UM, A BIT EXPERIMENTALLY AND WE'VE HAD NOW TWO LEGISLATIVE SESSIONS WORTH OF EXPERIENCE AND, YOU KNOW, IT'S, IT'S UP TO YOU, YOU KNOW, IT WAS A COUNCIL REQUEST THAT WE DO THIS, WHETHER YOU FEEL LIKE IT IS WORTH THE, THE INVESTMENT. JUST HOLLY, UH, GO AHEAD, BRIAN. I'VE HAD THIS SAME CONVERSATION WITH KAREN EARLIER IN THE WEEK AND I THINK WE, I DON'T KNOW HOW TO MEASURE BECAUSE WE HAD A MIDDLE PERSON, RIGHT? WE HAD A STAFF PERSON WHO WAS MANAGING THEM, AND IT IS, IT IS A CONVERSATION FOR ANOTHER MEETING, BUT I THINK MORE COMMUNICATION BETWEEN COUNSEL AND THE ADVOCATE WILL HELP US TO DETERMINE THAT. BUT I, I FEEL PRETTY DEFEATED AFTER THIS SESSION AND I'M NOT SURE HOW TO GAUGE IT. RIGHT. BUT THAT'S, WE, I CONCUR. THANK YOU. I THINK WE ALL AGREE WITH YOU. IT'S JUST A MATTER OF HOW DO YOU MEASURE IT. SO, WE'LL, MAYBE WE CAN PUT ON IT ON THE AGENDA FOR A FUTURE DISCUSSION, KATHY. YEAH, ACTUALLY I'D LIKE TO SUGGEST THAT WE, I, I DON'T THINK SOME OF THE NEWER MEMBERS ON COUNCIL, UM, KNOW THE, THE FIRM THAT WE'VE BEEN WORKING WITH AND THE TWO PRINCIPAL PEOPLE THAT WE'VE BEEN DEALING WITH THAT WELL, I'D LIKE TO SUGGEST THAT, UH, USUALLY WE GET TOGETHER WITH THEM AT LEAGUE OF CITIES AND TOWNS AND THAT MIGHT BE A GOOD PLACE TO HAVE THE DISCUSSION. SO. GREAT. THAT'S A GREAT POINT, PETE. YEAH. HEARD PETE, WHEN IN THE PROCESS DO WE ACTUALLY TALK ABOUT THE THINGS THAT ARE ON THEIR AGENDA, YOU KNOW, WHERE THEY MIGHT HELP US OTHER THAN THE LEGISLATIVE BITS, WHETHER THEY COULD HELP US WITH RELATIONSHIPS WITH ADOT OR OTHER AGENCIES. WE, WE HAD THOSE DISCUSSIONS DURING THE PRIORITY SETTING, UM, WHERE WE DIRECTED AT THE TIME OUR ASSISTANT CITY DEPUTY CITY MANAGER, UM, ACTING AS A LIAISON TO BROADEN THE SCOPE AND WE DIRECTED WHAT THAT SCOPE WAS. SO THERE IS, THERE IS A PROCESS IN WHICH WE DISCUSS IT. IT'S JUST, IT'S HARD WHEN YOU HAVEN'T BEEN THROUGH A FULL CYCLE AT THE, THE NEXT YEAR THESE THINGS CLICK IN SPEAKING FROM MY OWN EXPERIENCE. SO, AND I THINK IT WOULD BE WORTH HAVING A DISCUSSION FOR THREE NEW COUNSELORS TO GET TO UNDERSTAND THE WHOLE PROCESS. I THINK THAT WOULD BE MAYBE SOMEWHERE DOWN THE ROAD OR DURING THE [00:15:01] LEAGUE OF CITIES AND TOWNS CONFERENCE. UH, WE COULD DO THAT WHEREVER IT'S APPROPRIATE. JESSICA, I JUST WANT TO SAY, I THINK IT'S IMPORTANT TO HAVE THE CONVERSATION TO ESTABLISH WHAT OUR EXPECTATIONS ARE BECAUSE IF OUR EXPECTATION IS, UM, BUILT, WE DON'T NEED, WE REALLY DON'T NEED A LOBBYIST . BUT IF OUR EXPECTATION IS IN INFLUENCING AND BEING THERE AND THOSE ACTIVITIES THAT IT'S WORTH TALKING ABOUT. SO, UM, I MIGHT NOT BE AT THE CON I'M NOT AT THE CONFERENCE, BUT I WANT TO BE PART OF THAT CONVERSATION. SO I WILL COME DOWN FOR WHEN YOU SCHEDULE THAT. WELL, I DON'T KNOW IF WE'RE GONNA ACTUALLY DO IT THERE CAUSE IF YOU DO DO IT THERE, I'M JUST PUTTING IT ON THE RECORD THAT I WOULD LIKE TO KNOW AND BE IN AND SO I CAN COME DOWN. WELL, I THINK IT MIGHT BE FAIR, BECAUSE YOU'RE NOT GOING TO BE AT THE CONFERENCE OR MAYBE WE DO AGENDA OF SOMETHING, MAYBE THAT'S FINE. WHATEVER YOU WANNA DO IN AUGUST AND SEPTEMBER TO MAKE SURE THAT WE ALL KNOW THAT. HOW DO WE AGENDA, HOW DO WE HAVE A CONVERSATION AT A PLACE LIKE THAT? WELL, YOU WOULD HAVE TO DO IT NOT WITH EVERYBODY AS A COUNCIL. YOU WOULD HAVE TO DO IT KURT, DR. KURT, SEPARATELY. YEAH, THERE'S TWO OPTIONS. ONE, YOU CAN POST AN AGENDA, WE'LL JUST SECOND FOR PUBLIC MEETING WITH THE QUORUM OF COUNCIL DISCUSSING POTENTIAL, UH, CITY BUSINESS. OR YOU COULD DO IT INDIVIDUALLY, MEET WITH THE YEAH, THEY'LL BE THERE. YOU CAN JUST SIT DOWN, HAVE A CUP OF COFFEE WITH OR SMALL GROUPS. AND THAT WAY THE COUNSELORS ARE NOT DISCUSSING THEIR POSITIONS WITH EACH OTHER. I'D LIKE TO DO IT AS A GROUP BECAUSE I THINK THERE HAS TO BE A, THERE HAS TO BE AN AGREEMENT AMONG US AS TO WHAT IS HAPPENING. SO I WOULD, I WOULD SUGGEST IF IT'S DOWN THERE IZING IT IS JUST ALL I'VE SAID. I WOULD THINK IF A, WE SHOULD HAVE IT HERE. I'M SORRY. THANK, THANK YOU. I I THINK I, I'M REALLY RELUCTANT TO HAVE A YEAH, NO, I SCHEDULED MEETING. THAT'S FINE. IT'S NOT, IT WOULDN'T BE FOR ALL OF US. I, WHATEVER. I'M SORRY IF I IMPLIED THAT IT WOULD HAVE TO BE YOU SIT DOWN WITH AND HAVE COFFEE WITH THE TWO OF THEM. YOU AND YOU KNOW, UH, BRIAN AND MELISSA AND KNOW YOU KEEP IT AT THAT. SO IT'S, YOU KNOW, AMONGST YOURSELVES, BUT I THINK IT WOULD BE BETTER, KAREN, COULD THAT BE SOMETHING DONE BY TEAMS IN THE FUTURE INSTEAD OF BRINGING THEM UP HERE FROM, FROM PHOENIX? SURE. THEY'VE BEEN ON, THEY'VE NO, I KNOW ENGAGED VIA TEAMS BEFORE, BUT THIS WAY YOU UH, ARE WE GOING TO, THEY'RE GOING TO BE HERE ON THE NEXT MEETING, THE 27TH OF THE NEXT MEETING TO PROVIDE THE CLOSEOUT AND UPDATE ON THE LEGISLATIVE SESSION. BUT WE ALSO SCHEDULE AS IT GETS CLOSER TOWARDS THE END OF THE YEAR BEFORE THE NEW SESSION STARTS A SORT OF A POLICY PLANNING SESSION. AND THAT COULD BE AN ALSO AN OPPORTUNITY TO SET EXPECTATIONS WITH THE, WITH THE FIRM. OKAY. IT SOUNDS LIKE WE HAVE AN OPPORTUNITY ON THE 27TH THAT IT'S ALREADY SET UP. AND I DON'T THAT THAT COULD BE COVERED IN THAT MEETING, RIGHT KURT? UM, YEAH, SO WE SHOULD JUST DO IT THEN. FINE. THAT'LL WORK FOR YOU TOO. BRIAN. TITLE. OKAY. SORRY SHERRY. ALL RIGHT. SO WE'LL GO THROUGH EACH ONE OF THE PROGRAMS FOR THE CITY MANAGER'S OFFICE. SO THERE'S THE ADMINISTRATIVE FUNCTION, UM, FISCAL YEAR 23 BUDGET AMOUNT, ABOUT 869,000 GOING TO FISCAL YEAR 24, ABOUT 702. UM, SOME OF THAT IS THE TRANSFER OF THE 1.0 FTE TO COMMUNITY DEVELOPMENT. SO THERE'S A DECREASE IN WAGE OF BENEFITS ABOUT 98,000, UM, THE ADJUSTMENT FOR THE LEGISLATIVE ADVOCATE. SO WE'RE MOVING THE ONE TIME OF THE 75, BUT THEN ADDING IT INTO THE ONGOING AT THE A HUNDRED THOUSAND. UM, AND THEN THE ADMIN PROGRAM IS WHERE WE PUT THE VACANCY SAVINGS OFFSET, UM, AMOUNT OF THE 79,000. UM, AND THEN, UM, WE DECIDED THAT IT WOULD BE BETTER TO HAVE THE CITYWIDE TRAINING BUDGET IN HR. SO WE DO HAVE THAT TRANSFER AS WELL. SO IN TOTAL, UM, DECREASE OF 19%, WHEN YOU LOOK AT THE ONGOING, IT'S A DECREASE OF 12%. DO YOU HAVE ANY QUESTIONS ON THE, UH, I HAVE SOME DISCUSSION ABOUT C M O ADMIN. SO I, YOU KNOW, WE TALKED YESTERDAY WHEN WE TALKED ABOUT THE TOURISM UM, PROGRAM, THE, THE FACT THAT WHEN WE PREPARE THE BUDGET, IT'S, IT'S MONTHS PRIOR TO NOW. AND AT THAT TIME I DID NOT KNOW THAT JOANNE KEEN WOULD BE LEAVING. AND SO I DID NOT PUT IN FOR ANY POSITIONS FOR CMO. NOW THAT JOANNE IS GONE AND ANDY HAS MOVED INTO THAT SPOT, NOW, WE NO LONGER HAVE THE PUBLIC WORKS DIRECTOR SLASH ASSISTANT CITY MANAGER POSITION. AND WHILE ANDY'S FUNCTION IN THAT POSITION WAS PRIMARILY STILL OVERSEEING PUBLIC WORKS, HE DID ALSO HAVE TWO OTHER DEPARTMENTS, PARKS AND REC AND TRANSIT REPORTING TO HIM. WHEN I STARTED WITH THE [00:20:01] CITY IN 2012, WE HAD A CITY MANAGER, AN ASSISTANT CITY MANAGER, AND AN ASSISTANT TO THE CITY MANAGER. THE ASSISTANT TO WAS THAT MASTER'S LEVEL OF PROFESSIONAL SUPPORT WHO DID COORDINATION OF SPECIAL PROJECTS, COUNCIL PRIORITIES, UM, AND, AND THAT AND INTER GOV WORK. SO, YOU KNOW, THE LAST TWO SESSIONS, BECAUSE JOANNE SPECIFICALLY HAD EXPERIENCE IN THAT AREA AND HAD AN INTEREST IN IT, MADE SENSE FOR HER TO COORDINATE THAT. WE'VE ALSO STARTED TO DO A LOT MORE WITH INTER GOV WORK AND LEGISLATIVE LIAISONING THAN, THAN THE CITY HAS EVER DONE BEFORE. SO AT THAT TIME, WE HAD THOSE POSITIONS AND WE HAD 10 OPERATING DEPARTMENTS. SO THAT WAS, THOSE OPERATING DEPARTMENTS WERE SPLIT BETWEEN REPORTING TO THE ASSISTANT CITY MANAGER AND THE CITY MANAGER. IN THE LAST 10 YEARS, WE HAVE ADDED EIGHT MORE DEPARTMENTS OR PROGRAMS. SO WE HAVE ALMOST DOUBLED. AND NOW WE DO HAVE A DEDICATED LOBBYIST AND AN EXPECTATION THAT THE INNER GOV WORK IS, UH, YOU KNOW, NOT, NOT DURING THE OFF SEASON, BUT DURING THE LEGISLATIVE SESSION, IT'S SIGNIFICANT MM-HMM. . SO RIGHT NOW THE SPAN OF CONTROL AND BECAUSE NOW WE'RE BACK TO ONLY HAVING THE CITY MANAGER AND THE DEPUTY HAVING 18 DEPARTMENTS OR PROGRAMS REPORTING DIRECTLY TO TWO PEOPLE, WHEN I ALSO HAVE THE SEVEN OF YOU THAT ARE NOT REPORTING TO ME, BUT THAT I AM ENGAGING WITH REGULARLY AND, AND, UM, YOU KNOW, DEAL DEALING WITH THE ISSUES THAT YOU ALL HAVE AND WORKING WITH YOU. SO IT'S JUST, IT'S, IT'S REALLY NOT, IT'S NOT SUSTAINABLE. UM, SO I'D LIKE TO PROPOSE THAT WE TAKE, WE TALKED ABOUT THE ECONOMIC DEVELOPMENT DIRECTOR POSITION YESTERDAY, THAT IT IS A, IT IS A HIGHER LEVEL DIRECTOR POSITION. SO THE GAP BETWEEN WHERE THAT SITS IN OUR PAY SCALE AND THE DEPUTY CITY MANAGER IS SMALL. SO I WOULD LIKE TO PROPOSE THAT WE CONVERT THAT POSITION TO A SECOND DEPUTY. I DON'T THINK IT'S PROBABLY REALISTIC FOR US TO RECRUIT FOR THAT POSITION. NOW, IF WE ARE LOOKING AT BRINGING IN A NEW CITY MANAGER WITHIN THE NEXT EIGHT OR NINE MONTHS, IT IDEALLY THAT PERSON WOULD PICK THEIR OWN SECOND DEPUTY. SO, BUT WE COULD CONVERT THE POSITION AND HAVE IT AND, AND EXPLAIN TO A NEW MANAGER THAT, YOU KNOW, THERE IS ADDITIONAL RESOURCE CA CAPACITY TO HELP OUT. UM, I DON'T HAVE ANOTHER POSITION TO CONVERT TO AN ASSISTANT TOO. UM, AND I'M NOT EVEN SUGGESTING AT THIS POINT THAT WE DO THAT IMMEDIATELY. I THINK THAT DECISION GETS LEFT UP TO THE, THE NEW CITY MANAGER, WHETHER THEY FEEL WHEN, ONCE THEY GET KIND OF THEIR SEA LEGS AND GET UP TO SPEED A LITTLE BIT, WHETHER THAT'S NECESSARY. BUT I JUST WANNA SORT OF KEEP THAT AS, UM, AN OPTION THAT WE MIGHT DISCUSS WITH THEM AGAIN TO, FOR SUPPORTING RESOURCES. I THINK THE FACT THAT I HAVE JUST BEEN HERE FOR A LONG TIME. I SPENT TIME AS THE FINANCE DIRECTOR, AS THE COMMUNITY DEVELOPMENT DIRECTOR. THERE'S A LOT OF DIRECT STAFF WORK THAT, THAT I DO MYSELF THAT I DON'T THINK WE PROBABLY CAN EXPECT A NEW CITY MANAGER TO DO. SO I, I DO THINK THE ADDITIONAL CAPACITY IN THE MANAGER'S OFFICE IS NEEDED, JESSICA. SO YOU WOULD JUST WATER, YOU WANNA AMEND THIS, THIS CHART TO ADD A, A NEW POSITION. MM-HMM. OKAY. I'M FINE WITH THAT. I THINK YOUR ARGUMENT MAKES SENSE. I THINK THE SPAN OF CONTROL IS UNREASONABLE, ESPECIALLY GIVEN THE COMPLEXITY OF THE PROGRAMS THAT WE'VE ADDED. SO YEAH, I THINK THAT THAT'S A REASONABLE IDEA. VICE SMEAR. WELL, KAREN, THIS IS IN ESSENCE YOUR PUBLIC ANNOUNCEMENT OF YOUR RETIREMENT. SO PERHAPS YOU WANNA SAY A FEW WORDS FOR THE PEOPLE WHO ARE LISTENING AT HOME, THE 85 PEOPLE , I, I, I AM ELIGIBLE TO RETIRE NEXT YEAR. I AM HOPING TO DO SO IN THIS SPRING-ISH TIMEFRAME. AND THAT WILL DEPEND ON, ON US FINDING A, A NEW CANDIDATE, A SUCCESSFUL CANDIDATE THAT YOU'RE ALL EXCITED ABOUT. WE WILL LIKELY START A PROCESS BECAUSE THAT PROCESS JUST TAKES, IT TAKES TIME, IT TAKES A LONG TIME. UM, WE'LL PROBABLY LOOK AT END OF AUGUST, BEGINNING OF SEPTEMBER TO INITIATE [00:25:01] THAT RECRUITMENT PROCESS NATIONWIDE. RECRUITMENT WILL BRING A FIRM ON TO HELP US WITH THAT AND PROVIDED THAT THE TIMING WORKS. I HAVE COMMITTED TO, TO YOU ALL AS YOU KNOW, TO STAY AS LONG AS IT TAKES TO TRANSITION AND TO DO WHATEVER I CAN TO MAKE THAT AS SEAMLESS AS POSSIBLE. UM, SO I'M COMMITTED. OH GOOD. SO NOTHING'S GONNA CHANGE CUZ YOU'RE HERE UNTIL , UNTIL YOU FIND SOMEONE YOU'RE EXCITED ABOUT. SABOTAGE THE PROCESS. SO KAREN, I WOULD LIKE, I UNDERSTAND WHAT YOU'RE SAYING. I SUPPORT WHAT YOU'RE, WHAT YOU'RE SUGGESTING. I WOULD LIKE YOU TO CONSIDER CHANGING IT IN A, A SMALL WAY, UH, TO PUT OUT THE POSITION. NOW, DON'T LEAVE IT VACANT FOR THE NEXT MANAGER BECAUSE THAT PERSON WHO NO MATTER HOW BRIGHT AND, AND YOU KNOW, ENERGETIC THEY MIGHT BE, I HOPE TO THEN HIRE SOMEBODY AT THAT POINT WHO HAS AS LITTLE KNOWLEDGE AS THEY DO NOW WE HAVE A BIGGER BLOCK OF LEARNING EXPERIENCE WHERE IF YOU COULD, IF WITH THE HOPE THAT MAYBE YOU FOUND SOMEBODY, UH, NOW FOR THAT POSITION, IT MIGHT HELP BOLSTER. IT'S JUST YOUR CONSIDERATION. YOU, YOU KNOW, SO THE REASON THAT I DIDN'T SUGGEST THAT ONE, I, I THINK THAT IT MIGHT BE NICE FOR A NEW MANAGER TO PICK THEIR OWN DEPUTY, BUT BECAUSE THAT'S ALSO PROBABLY A SIX MONTH RECRUITMENT PROCESS, UH, BY THAT TIME I'VE GOT ONLY A FEW MONTHS LEFT WITH THAT PERSON. AND RIGHT NOW I DON'T THINK I HAVE THE CAPACITY. WELL, THAT'S A DIFFERENT STORY. THAT'S FINE TO TO, TO INVEST THE AMOUNT OF TIME IT TAKES IN THAT EFFORT OF, I'M TRYING TO CREATE A NEW TOURISM PROGRAM AND THAT'S WHY YOU NEED THE HELP TOO. SO THERE'S JUST SO MUCH RIGHT NOW, UM, THAT, THAT I'M NOT SURE THAT THAT'S REALISTIC. AGAIN, WE, I CAN SUGGEST THINK ABOUT THAT AND LOOK AT THAT. YEAH, IT'S YOUR DECISION TO MAKE. I'M JUST, I REALIZE WITH THE TOURISM, UH, MOVING FORWARD, IT'S A HUGE UNDERTAKING THAT YOU'RE TAKE, YOU KNOW, STARTING OFF BASICALLY YOURSELF, KEEGAN AND LAUREN, UH, THAT YOU COULD USE HELP TOO. SO JUST A SUGGESTION, UH, YOU DO WITH IT AS YOU WISH, BUT I, I WANNA SEE THAT YOU HAVE ALL THE TOOLS THAT YOU NEED AND RESOURCES THAT YOU COULD TO REALLY ACCOMPLISH ALL THESE TASKS THAT YOU DO. SO PETE, DO YOU WANNA, UH, DID YOU HAVE YOUR HAND UP? OH NO, KATHY DID. I'M SORRY. YEAH, WELL KAREN ADDRESSED IT, BUT I DO WANNA, UH, PIGGYBACK ON WHAT THE MAYOR SAID. FEEL FREE TO AMEND THAT AT ANY TIME, WHATEVER YOU THINK IS GONNA WORK BEST, BECAUSE I WANT YOU TO HAVE THE SUPPORT THAT YOU NEED AND THE HANDS THAT YOU NEED. UM, SO WHATEVER, YOU KNOW, JUST REVISIT, REVISIT WHENEVER, HOW OFTEN, WHATEVER, YOU KNOW, FEEL FREE. DO NOT FEEL ENCUMBERED BY THAT. I JUST KNOW THAT THIS, AT LEAST FOR ME, THAT THE SUPPORT FOR WHATEVER YOU WANT IS THERE TO, FOR THIS TRANSITION. APPRECIATE THAT. OKAY. SO YOU WANNA SHERRY OR YOU, WHERE WE GOING? SO, SO I WANT TO, UM, JUST VERIFY AND CLARIFY. SO THE WAY WE HAD SET THIS UP IN THIS BOOK WAS THAT IT WAS A TRANSITION OF THE ECONOMIC DEVELOPMENT DIRECTOR POSITION TO THE T E I MANAGER. YES. SO THIS WOULD BE TAKING THE ECONOMIC DEVELOPMENT DIRECTOR POSITION YES. MAKING IT TRANSITION TO BE THE ANOTHER DCM YEAH. AND THEN THE MANAGER POSITION WOULD COME OUT OF THAT CONTINGENCY FOR THE TOURISM. SO THAT'S ANOTHER DEDUCTION OUT OF THAT TOURISM AMOUNT. YES. SO THAT WAS WHAT I HAD SAID YESTERDAY. THE, THE THREE POSITIONS WE TALKED ABOUT YESTERDAY THAT WERE TOURISM RELATED WOULD BE COMING OUT OF THE 1.67 MM-HMM. AND BECAUSE THAT WAS SUCH, THE MANAGER POSITION IS SO MUCH OF A LOWER POSITION THAN THE ECONOMIC DEVELOPMENT DIRECTOR. UH, THAT'S WHY WE WERE USING THE 1.67 PLUS IT'S PRIMARILY TOURISM RELATED MM-HMM. , SMALL AMOUNT OF ECONOMIC DEVELOPMENT COORDINATION. BUT THAT THE DIRECTOR POSITION, BECAUSE IT IS VERY CLOSE TO WHERE A DCM WOULD BE, THAT THAT WOULD BE THAT CONVERSION. I JUST WANNA CLARIFY THOUGH, THE 1.67 IS ACTUALLY NOW 1.25 BECAUSE IT'S STILL 1.67 AS A TOTAL BUDGET WE HAVE NOW JUST SPENT, YEAH, ANOTHER 425,000. RIGHT. SO THERE IS 1.25 AVAILABLE FOR THAT. AND IS THAT SUFFICIENT? SO IF I, IF I COULD JUST JUMP IN. SO THE 1.67 WAS THE ORIGINAL NUMBER. WE HAVE A COUPLE DECISION PACKAGES THAT ARE COMING FROM OUT OF THAT. SO IT'S DOWN TO 1.4. AND THEN MY GUESS IS WITH ALL OF THESE OTHER ADJUSTMENTS, WE'RE PROBABLY SOMEWHERE IN THE NEIGHBORHOOD OF LIKE 800,000. AND ARE YOU INCLUDING SHERRY, THE, THE MONEY FOR THE VISITOR CENTER THAT [00:30:01] WAS JUST APPROVED? YES. THANK YOU. YES. AND WE HAVE THE $200,000 FOR ALL THE DATA WORK, UH, THAT WAS A DECISION PACKAGE AS WELL AS THE 63 OR $64,000 FOR THE TRANSIT, UM, SCREENS. YEAH. SO RUNNING THAT MATH DOWN AGAIN, SHERRY, CUZ YOU'RE GOOD AT THAT AND I'M NOT, WHAT, WHAT WOULD BE THE NET THAT WE'RE LEFT WITH, UM, SAVINGS BY HAVING TRANSITIONED TO OUR OWN TOURISM OUT OF THE CONTRACT WITH THE CHAMBER. I, I'M GUESSING WHERE WE'RE AT, WE'RE SOMEWHERE IN THE VICINITY OF AN 800,000 CONTINGENCY AND I'M SURE THINGS ARE GONNA COME UP AS WE ACTUALLY HAVE PEOPLE MM-HMM. COME ON STAFF THAT WILL START TAPPING INTO THAT 800,000. SO, SO WE'RE STILL AT A THREE QUARTER OF A MILLION DOLLAR NET SAVINGS PROBABLY FROM WHERE WE WERE, AS YOU SAID, CONTINGENCY, BUT OKAY. VICE MAYOR SHERRY, ARE YOU, SO THE DECISION PACKAGES ARE NOT GOING TO REDUCE THAT AMOUNT OR THEY ARE? YEAH, NO, THEY ARE. AND THEY'RE ALREADY IN HERE AS REFLECTED AS REDUCING THAT AMOUNT. I DON'T HAVE AN ANSWER FOR THAT. YOU SAID SHERRY, WHEN IT THINKS IT'S SIRI . OH MY GOD, THANKS EVERYONE. REALLY? THAT'S INTERESTING. YES, TECHNOLOGY, TECHNOLOGY, UH, BECAUSE IF, IF WE HAD 1,000,006, WE SPENT 400 1,000,002 AND THEN THERE'S 202 62 60. SO THAT'S, THAT'S WHERE YOU GET YOUR 800. YEAH, SO THE, THE DECISION PACKAGES, THE, UM, VISITOR CENTER AND THE THREE POSITIONS. SO I'M JUST, OH, AND THE THREE POSITIONS AND YOU, WE STILL HAVE 800,000. I'M JUST BALL PARKING RIGHT OFF THE TOP OF MY HEAD. WE'LL, WE'LL HAVE TO WORK ON THAT AND COME UP WITH WHAT THE ACTUAL NUMBER IS THAT REMAINS, BUT SOMEWHERE IN THAT VICINITY. MM-HMM. . OKAY. THANK YOU. OKAY, CONTINUE. OKAY. UM, ANYTHING ELSE YOU HAD ON ADMIN? OKAY, SO COMMUNICATIONS, UM, NOT, UM, HUGE CHANGES HERE. GOING FROM ABOUT 456,000 TO 449. UM, THE INCREASE, UM, IN WAGES ALSO INCLUDES, UM, 0.1 FTE GOING TO THE NEW T EI DEPARTMENT. UM, THE DECREASE IN ONE TIME IS PRIMARILY DUE TO, WE DON'T DO THE NATIONAL CITIZEN SURVEY EVERY YEAR. UM, WE'VE BEEN TARGETING DOING IT LIKE EVERY TWO, THREE YEARS OR SO. UM, AND SO OVERALL CHANGE 2%, BUT ONGOING, UM, INCREASING 3%. DO YOU HAVE QUESTIONS ON COMMUNICATIONS? UH, JESSICA HAS ONE. I DON'T HAVE A QUESTION, BUT I JUST HAVE A QUICK COMMENT THAT I THINK THIS IS SOME OF THE BEST SPENT MONEY IN THE BUDGET AND I'VE SEEN SUCH AN IMPROVEMENT AND I JUST, WHATEVER, WHATEVER GOES IN HERE I THINK HAS BEEN VERY WELL SPENT AND WILL CONTINUE TO BE, IT'S A REAL ASSET. BRIAN, UH, AS A FORMER PARTICIPANT IN CITIZENS ACADEMY, I'M A BIG FAN. IS THERE ANY CHANCE WE CAN INCREASE OUR CAPACITY FOR GETTING MORE PEOPLE THROUGH A GIVEN SESSION OR HAVING, UH, A SECOND SESSION EACH YEAR? DRAMA NOT WITHSTANDING OF COURSE. NO, I DON'T THINK SO. UH, AND THAT ISN'T AS MUCH AN ISSUE OF CAPACITY ON THE COMMUNICATION SIDE, ALTHOUGH IT IS, UM, IT'S THE FACT THAT ALL OF THE DEPARTMENTS, THE DEPARTMENT HEADS, THE MANAGERS INVEST A SIGNIFICANT AMOUNT OF TIME AS WELL IN, IN THAT PROGRAM AND WE SIMPLY DON'T HAVE THE BANDWIDTH TO, TO ADD ANOTHER SESSION. OKAY. SO HOW ABOUT INCREASING THE NUMBER OF PARTICIPANTS? SO WE'VE BEEN, ONE, WE'VE BEEN LIMITED BY SPACE. UM, BUT TWO, WE ALSO HAVE FOUND THAT CUZ WE HAVE EXPANDED, IT USED TO BE, YOU KNOW, AN AVERAGE OF MAYBE 13, 14 PEOPLE AND I THINK THE LAST SESSION IN 20 SOMETHING, 22. SO WE HAVE, BUT IT'S, IT'S ONLY REASONABLE TO HAVE SO MANY PEOPLE BECAUSE THERE IS A LOT OF DISCUSSION AND INTERACTION AND I FEEL LIKE THE GROUP SIZE THAT WE'VE HAD THE LAST COUPLE OF TIMES IN THAT 2022 ISH RANGE IS PROBABLY THE, THE MAXIMUM THAT WE WOULD WANT BEFORE IT STARTS TO BECOME LESS ENGAGEMENT AND MORE JUST TALKING TO A BIG GROUP OF PEOPLE, IF THAT MAKES SENSE. OKAY. MAYOR. NO PROBLEM. VICE MAYOR. UH, I JUST WANNA, [00:35:01] I WANNA, UH, ADD TO WHAT JESSICA SAID. LAUREN, YOU HAVE DONE AN INCREDIBLE JOB. YOUR DEPARTMENT, THE COMMUNICATIONS HAS IMPROVED DRAMATICALLY AND UH, I REALLY APPRECIATE IT AND I KNOW WE ALL APPRECIATE IT, SO THANK YOU. OKAY. UH, I THINK WE ALL LET GO OF THAT AS WELL. SO SHERRY. OKAY. UM, SO NEXT UP IS ARTS AND CULTURE. AND AS YOU CAN SEE, VERY, VERY MINOR CHANGE HERE. UM, SO BASICALLY STAND ESSENTIALLY FLAT ON ARTS AND CULTURE. UM, I DUNNO IF YOU HAVE ANY QUESTIONS ON OPERATING, THERE IS ONE CIP PROJECT RELATED TO ARTS AND CULTURE. UM, SO ON THAT IT'S THE ART AND THE ROUNDABOUTS. UM, VERY SMALL AMOUNT, UM, THAT BEING, UM, INCREASED FOR COMPLETING THAT PROJECT. UM, AND WE DO HAVE THAT. UM, THIS IS BEING PAID WITH THE 1% FOR THE ARTS MONEY THAT WE SET ASIDE AND WE ALSO RECEIVE PRETTY SUBSTANTIAL DONATION, UM, $65,000 TO HELP COVER THE COST OF, UM, THE ART. SO ANY QUESTIONS ON, ON ANY OF THAT? YEAH, NICE. MAYOR, I, I JUST HAVE TO DO THIS TOO, NANCY, YOU'VE DONE A GREAT JOB AND THE BREADTH OF OF ART EVERY MONTH HAS JUST BEEN INCREDIBLE. AND OF COURSE WE JUST HAD THE MOST WONDERFUL DANCERS HERE THE OTHER DAY, AND SO THANK YOU BECAUSE I THINK WE ARE A COMMUNITY THAT WANTS TO CELEBRATE THE ARTS AND IT'S A GREAT WAY TO DO IT AMONGST ALL THE OTHER PROGRAMS YOU DO. AND, AND I WANT TO JUST ECHO THAT AS FAR AS THE, I KNOW HOW MUCH WORK IT GOES INTO THE ARTS AND ROUNDABOUT, LET'S PUT IT THIS WAY, I THINK, I KNOW IT'S PROBABLY WAY MORE THAN I EVEN THINK I KNOW, BUT I KNOW YOU ARE PUTTING IN A TREMENDOUS AMOUNT OF WORK AND I THINK THE COMMUNITY'S GOING TO BE ECSTATIC ONCE THEY ALL START POPPING UP AND I CAN'T WAIT. THANK YOU. SO THANKS. SO SHERRY, MOVING ON. UM, SO NEXT WE HAVE THE, UM, SHORT TERM RENTAL MONITORING SLASH ADMINISTRATION PROGRAM, UH, FOR FISCAL YEAR 23. UM, THE BUDGETED DIRECT COSTS AT 137,000 FISCAL YEAR 24 GOING DOWN TO ABOUT 94,000. BIG PART OF THAT IS THE TRANSFER OF SOFTWARE COST TO THE IT PROGRAM. THE NET RESULT OF THAT, JUST SO, SO THAT YOU'RE AWARE, SO WE DO THE INDIRECT COST ALLOCATIONS MM-HMM. . AND SO THAT COST DOES COME BACK TO THIS, BUT AS IT THROUGH THE INDIRECT COST ALLOCATIONS AND NOT DIRECTLY THROUGH HERE. SO THAT, THAT WAY IT'S MANAGED THROUGH THE IT, UM, BUDGET PROCESS. SO, UM, DECREASE IN ONE TIME COSTS OF, OF ABOUT 6,900. UM, SO TOTAL CHANGE, 31% FOR THE ONGOING DIRECT COST DECREASE OF 27%. AND JUST IN ADDITION ON, ON THIS PARTICULAR PROGRAM, SO I JUST TALKED ABOUT HOW WE'VE ADDED ALL THESE PROGRAMS. SO TYPICALLY WHEN WE ADD A NEW PROGRAM, IT DOES REPORT DIRECTLY TO THE CITY MANAGER'S OFFICE. IN FACT, ALMOST ALL OF THEM STILL DO. BUT THIS IS ONE WHERE, UM, YOU KNOW, WE'VE BEEN ALSO TRYING TO LOOK FOR OPPORTUNITIES FOR CONSOLIDATION WHERE IT MIGHT MAKE SENSE. SO THIS PROGRAM IS NOW ESTABLISHED, IT IS UP AND RUNNING, IT'S KIND OF IN IN MAINTENANCE MODE. AND SO WE ARE GOING TO BE REASSIGNING THE S STR PROGRAM TO THE CITY CLERK'S OFFICE. A AGAIN, COMPLIMENTS ARE IN ORDER. , UH, TERESA, THANK YOU. YOU'VE DONE JUST A MARVELOUS JOB. I MEAN WE ARE, WHAT'S OUR COMPLIANCE NUMBER AT THIS POINT? WE ARE CURRENTLY AT 95%, 95% COMPLIANCE WITH THE LAW. THAT CAME ON AS NEW, WHICH WE WERE AHEAD OF THE GAME BECAUSE SOME OF THAT LAW WAS BECAUSE OF INFORMATION THAT WE HADN'T PROVIDED, RIGHT? I MEAN IT WAS, UH, IT'S IT'S REALLY WONDERFUL HOW THIS DEPARTMENT HAS REALLY ESTABLISHED SUCH GOOD COMMUNICATION. THANK YOU. ONE PERSON COULD DO THE, THE JOB OF 10. IT'S, IT'S QUITE AMAZING. AND, UH, YEAH, I CAN'T SAY ENOUGH GOOD THINGS, UH, ABOUT THE WORK THAT YOU'RE DOING. ALSO, TERESA, UH, JESSICA THERESA AND I HAD A, I HAVEN'T SEEN A REPORT FOR A WHILE. THERESA HAS A, I'D LIKE TO, UM, TO HAVE HER TELL US WHY WE HAVEN'T HAD A REPORT AND UH, SHE SAID THAT THE NUMBER OF SHORT TERM RENTALS HAVE FINALLY SEEMED TO HAVE STABILIZED, UH, MOSTLY. AND SO I'D LIKE TO HEAR JUST VERY SHORTLY. I DON'T MEAN TO HAVE A BIG DEAL ABOUT IT. THAT'S, THAT'S FINE. UM, THE SOFTWARE [00:40:01] VENDOR THAT WE HAVE IS GOSS AND WE'VE WORKED WITH GOSS SINCE, UH, THE PROGRAM LAUNCH FOR IN 2020. AND ONE WOULD THINK OF OS HAVING WORKED WITH US FOR THREE YEARS WOULD UNDERSTAND OUR PROGRAM, BUT THEY REALLY, UM, FLUBBED THE DATA, LAUNCH THE DATA LOAD OF THIS NEW ASPECT OF OUR REGULATION. AND SO WE'VE BEEN MISSING DATA TAGS, WE'VE BEEN MISSING THE THINGS THAT WOULD ALLOW US TO EFFECTIVELY DELINEATE WHICH, HOW PROPERTIES ARE ZONED, WHAT THE PROPERTY TYPE IS. AND I HAVE WRITTEN SOME FAIRLY EXTENSIVE DETAILED CORRECTION PLANS FOR THEM AND THEY JUST DON'T SEEM TO BE ABLE TO DELIVER. UM, I'VE HAD A LOT OF SUPPORT FROM ANDY AND KAREN AND I THINK AT THIS POINT THEY'RE ON THEIR LAST CHANCE AND SO THEY'VE GOT THE INSTRUCTIONS. I LET THEM KNOW THAT WE WERE LOSING PATIENTS AND IF THEY CAN'T GET IT TOGETHER, WE'LL START LOOKING AT OTHER OPTIONS. SO ARE THERE ANY O OTHER OPTIONS? UM, THERE ARE QUITE A NUMBER OF COMPANIES OUT THERE. YEARS AGO IT WAS A BIG DEAL THAT YOU COULD PUT OUT SOFTWARE AS SERVICE THAT WOULD SCAN THE INTERNET AND COUNT THE NUMBER OF ADVERTISEMENTS IN YOUR COMMUNITY. AND WE'VE KIND OF MOVED BEYOND THAT BASIC REALLY ROUGH ABILITY AND NOW HOW THE DATA IS HANDLED, HOW IT'S LABELED FOR US TO BE ABLE TO IDENTIFY THE DETAILS OF THAT DATA. THIS COMPANY SEEMS TO BE REALLY LAGGING AND THEY'RE VERY POLITE, BUT THEY'RE NOT DELIVERING. SO WHAT I CAN TELL YOU, JESSICA, I WANNA COUNSELOR WILLIAMSON, I WANNA CONFIRM WHAT YOU'RE SAYING BASED ON THE INFORMATION I HAVE. UM, WE HAVE A DISTINCTION FOR THE FIRST TIME BETWEEN ACTIVE PROPERTIES AND INACTIVE PROPERTIES BECAUSE NOW INACTIVE PROPERTIES CAN ALSO OBTAIN A PERMIT. SO WE HAVE 1000 ACTIVE PROPERTIES RIGHT NOW THAT ARE BOTH PERMITTED AND UNPERMITTED. WE HAVE 92 PERMITTED PROPERTIES THAT ARE NOT CURRENTLY ACTIVE AND THE TOTAL NUMBER OF PERMITTED PROPERTIES WE HAVE IS 1,092. AND I KNOW THIS BECAUSE THE NEW SYSTEM OF COLLECTING FEES AUTOMATICALLY TELLS ME THE EXACT NUMBER OF PERMIT FEES WE HAVE. SO I KNOW WE HAVE 1,092 PERMITS. SO THAT I HAVE, UM, WHAT I DON'T HAVE IS THAT WONDERFUL BREAKDOWN ABOUT, YOU KNOW, WHICH PROPERTIES AND HOW MANY ARE DOING THIS OR THAT. UM, THE REALLY INTERESTING TIDBIT HERE IS WE HAVE QUITE A NUMBER OF PROPERTIES THAT DECIDED TO STOP ADVERTISING. AND SO EVEN THOUGH WE'VE STATE WE HAVE CONTINUED TO HAVE A HIGH NUMBER OF PROPERTIES, THE NUMBER OF PROPERTIES WE HAD WITH THE LAST GOOD REPORT I WAS ABLE TO PULL WAS IN DECEMBER AND WE HAD 1,105 ACTIVE SHORT TERM RENTALS. SO WE'RE SITTING IN 1,092. NOW, WHAT'S THE PERCENTAGE OF THAT? THAT'S 16, RIGHT AROUND 16%, IT'S STILL 16%. SO AS COUNCILOR WILLIAMSON MENTIONED, WE SEEM TO HAVE STABILIZED AND THE, THE DIRECT DATA I'M GETTING FROM PHONE CALLS ARE THAT A LOT OF PEOPLE WHO CALL ME WITH QUESTIONS ARE NOW WANTING TO BUY EXISTING SHORT-TERM RENTALS. THEY'RE NOT LOOKING TO BUILD NEW PROPERTIES. SO WE'RE SEEING THINGS TURN OVER AND SO WE SEEM TO HAVE HIT A POINT OF STABILITY IN WHERE WE'RE AT FOR THE TIME BEING. UH, PETE, THANK YOU MAYOR TERESA. WHAT IN THIS COMING FISCAL YEAR ARE WE GOING TO ADDRESS? WHAT A BUGABOO TO ME IS, UH, THAT, THAT PROPERTY OWNERS ARE NOT NOTIFYING THEIR NEIGHBORS PER OUR REQUIREMENTS. I AM, I WORK, AS YOU CAN IMAGINE, I WORK VERY CLOSELY WITH CODE ENFORCEMENT AND WE HAVE FOCUS JUST BECAUSE OF THE, WHAT I'LL CALL MANIA OF LAUNCHING A NEW PROGRAM. YEAH. AND EDUCATING THE PUBLIC. WE'VE BEEN FOCUSED ON GETTING EVERYONE IN COMPLIANCE FIRST AND WE'RE VERY CLOSE. UM, I'M ESTIMATING WE HAVE NOT MORE THAN 50 TOTAL PROPERTIES RIGHT NOW THAT AREN'T IN COMPLIANCE. UM, CITATIONS ARE GOING OUT TO MAYBE 10 OF THEM AND THEN THE NEXT ROUND OF NOTICE OF VIOLATION LETTERS WILL GO OUT. THE NEXT THING WE'RE GONNA FOCUS ON IS COMPLIANCE WITH THE SECONDARY REQUIREMENTS, PARTICULARLY NEIGHBOR NOTIFICATION. AND, AND JUST TO CLARIFY THAT, THOSE ARE JUST LIKE ALL OF OUR CODE ENFORCEMENT GOING TO BE ON A COMPLAINT BASIS. SO WE'RE NOT GONNA GO LOOKING FOR THESE. BUT IF A NEIGHBOR DOES CONTACT US AND SAY, WE, WE NEVER RECEIVED ANY NOTIFICATION, THEN THAT WOULD TRIGGER THE CODE ENFORCEMENT ACTION. I'M SURROUNDED BY HIM AND HAVE ONLY RECEIVED ONE NOTIFICATION. ME TOO. [00:45:01] WHAT I'VE BEEN INVITING PEOPLE TO DO IS CALL THE HOTLINE AND LET US KNOW THROUGH THE HOTLINE, CUZ THAT GIVES US LIKE A GOOD SOLID RECORD. AND THE OTHER THING IS, UH, MY CITY TALK ARTICLE IS DUE, COME OUT THE END OF THIS MONTH AND I'M GONNA SPECIFICALLY REFERENCE NEIGHBOR NOTIFICATION AND INVITE EVERYONE TO USE A HOTLINE TO LET US KNOW. SO RIGHT NOW I'VE ONLY SEEN, I WOULD SAY LESS THAN 10 ACTUAL COMPLAINTS ABOUT LACK OF NEIGHBOR NOTIFICATIONS. SO WE'RE NOT GETTING A LOT OF OUTREACH. AND I'M HOPING, I I AGREE WITH YOU COUNCILOR FURMAN, THAT THERE'S PROBABLY A LOT THAT HASN'T HAPPENED AND I'M HOPING THAT WE CAN ENCOURAGE RESIDENTS WHO HAVE NOT RECEIVED NEIGHBOR NOTIFICATION TO USE A HOTLINE AND GIVE US THAT CONCRETE LIST TO PURSUE. SO, ALL RIGHT. AND I KNOW THAT, UM, SOMETIMES THE HOTLINE ISN'T RESPONSIVE. THAT'S FINE. AND I, I FOLLOW UP ON THAT EVERY SINGLE TIME. AND UM, SO THEY'RE NOT OFF THE HOOK EVER FOR NOT RESPONDING. SO I WANNA INVITE YOU TO CALL YOUR HOTLINE. I WILL. I, THAT'S NOW ON MY ACTION ITEM LIST. I WILL CALL AND REGISTER, BUT I THINK THAT THERE MIGHT BE SOME PROACTIVE NOTIFICATION CONVERSATION THAT WE COULD HAVE WITH THE MANAGEMENT COMPANIES. I'VE HEARD ONE SST R OWNER WHO HAS SAID THEIR MANAGEMENT COMPANY HAS TOLD THEM THEY DON'T HAVE TO DO IT. WELL IT'S SYNCHRONICITY IS A WONDERFUL THING. , UM, BRIAN ARMSTRONG AND I ARE PLANNING A AUGUST MEETING WITH PROPERTY MANAGERS AND I'VE JUST REACHED OUT TO THEM TO SET A TIME THAT WE CAN MEET AND SEND UPDATES. AND FOR ONE THING I HAVE MY EMAIL LIST ALL SHARPENED UP CUZ I JUST REACHED OUT TO HIM SO I CAN CORRECT THAT. BUT WE CAN ALSO REINFORCE THAT DURING THE AUGUST MEETING AND, AND WE WILL DEFINITELY DO THAT. AND JUST FOR THE RECORD, FOR ALL OUR VAST NUMBER OF LISTENERS, COULD YOU REPEAT THE HOTLINE NUMBER? OOPS. OOPS. 9 2 8 2 0 3 5 1 1 0. AND THAT DOES NOT GO TO YOU. THAT GOES TO A COMPANY, RIGHT? THAT GOES TO THE COMPANY AND THEN IT COMES TO YOU. THE HOTLINE IS ANSWERED 24 7. AND THE REALLY WONDERFUL THING ABOUT THE HOTLINE, AS LONG AS WE'RE KIND OF MAKING A PLUG FOR IT, IS NOT ONLY IS IT ANSWERED 24 7, BUT PART OF THE SERVICES PROVIDED IS A HOTLINE AGENT IS TASKED WITH REACHING OUT TO THE EMERGENCY CONTACT IMMEDIATELY AFTER TAKING THE CALL. AND SO THEY ARE REQUIRED TO LET THE EMERGENCY CONTACT KNOW THAT THERE'S AN ISSUE THAT NEEDS TO BE TAKEN CARE OF. AND EMERGENCY CONTACTS ARE EXPECTED TO BE AVAILABLE TO TAKE CALLS AND HAVE INFORMATION 24 7. SO THERE'S A BENEFIT THERE BECAUSE THE HOTLINE WILL REACH THE EMERGENCY CONTACT FASTER THAN ANYONE AT THE CITY WOULD. THAT'S FIRST BENEFIT. THE SECOND BENEFIT IS EVERY COMPLAINT THAT WE GET IS ATTACHED TO THE RECORDS OF EACH PROPERTY. OH. SO WE HAVE A VERY SPECIFIC LIST AND A HISTORY OF COMPLAINTS THAT WE CAN TRACK. UM, THE THIRD BENEFIT IS THAT CODE ENFORCEMENT HAS AN EASIER TIME BECAUSE THE COMPLAINTS ARE CONNECTED TO AN ACCOUNT WITH AN ADDRESS OF PHONE NUMBER. SO THE FOLLOW-UP FOR CODE ENFORCEMENT JUST GOT A LOT EASIER AND A LOT FASTER. SO THE HOTLINE, WHILE IT'S NOT OPERATING AT THE A HUNDRED PERCENT I'D LIKE TO SEE IS AN ONGOING BENEFIT. AND YOU KNOW, THERE'S TWO, I'M GONNA JUST RECOGNIZE OUR RESIDENCE FOR A MOMENT. THERE'S SO LITTLE CONTROL THE CITY HAS OVER THE SHORT TERM RENTAL PROCESS AND I'M A HUGE ADVOCATE OF THE HOTLINE BECAUSE IT CONTINUES TO GIVE OUR RESIDENTS A VOICE AND WE REALLY NEED TO CONTINUE TO REINFORCE THAT WE HEAR THEM, THAT WE'RE DOING WHAT WE CAN AND, AND THAT THE INFORMATION THEY GIVE US IS IMPORTANT. AND I'M, I'M REALLY COMMITTED TO THAT, THERESA, YOU, UH, AND THAT, THAT'S WHAT GREAT, THE HOTLINE SERVICES IS GOOD, CAN GET BETTER AT TIMES. YOU SAY 24 7, THE ONE TIME I DID CALL, I DID GET A VOICEMAIL. WHAT'S THE EXPECTATION FOR PEOPLE WHEN, IF, IF THAT'S THE RESPONSE, IF YOU CALL AND YOU ARE ASKED TO LEAVE A VOICEMAIL, THEY'RE TASKED WITH CALLING YOU BACK AND RESPONDING. AND, AND THAT'S REALLY IMPORTANT FEEDBACK. SO IF PEOPLE ARE USING THE HOTLINE, THEY LEAVE A MESSAGE, THEY DON'T GET A CALL BACK, THEY SHOULD NOTIFY ME AND I WILL FOLLOW UP ON THAT. I'M REVIEWING COMPLAINTS DURING BUSINESS HOURS, SO MONDAY THROUGH THURSDAY AND ANYTIME I SEE AN ISSUE, THERE'S IMMEDIATE FEEDBACK GOING TO THE SOFTWARE VENDOR. SO IN MY PARTICULAR CASE, I CALLED, IT WAS LATE AT NIGHT, I REALLY DIDN'T WANNA ENTERTAIN A CALL BACK, MY VOICE MESSAGE. I SAID, I DON'T NEED A CALL BACK. OKAY. THE PROBLEM WAS RESOLVED WITHIN AN HOUR. SERENDIPITY OR DID THEY ACTUALLY REACH OUT? I'M GONNA BELIEVE THAT THEY ACTUALLY REACHED OUT. SO YEAH. THANK YOU. YOU'RE WELCOME. JESSICA, [00:50:03] I WOULD JUST LIKE TO MAKE A SUGGESTION. I MEAN, WHATEVER LAUREN POSTS I POST ON NEXT DOOR, KATHY POSTS ON FACEBOOK, MAYBE A SH UH, A KIND OF THING TO THE COMMUNITY SORT OF SAYING, REMINDING THEM OF THE HOTLINE, REMINDING THEM OF THE NOTIFICATION REQUIREMENT. AND AT LEAST THAT WAY WE, WE COULD SORT OF AMP UP A LITTLE BIT OF PUBLIC RECOGNITION OF, OF THIS AS ANOTHER OPTION BECAUSE IT'S BEEN A WHILE SINCE THE HOTLINE WAS ANNOUNCED AND I, PEOPLE MAY HAVE, MAY HAVE FORGOTTEN OR HOPED WE FORGOT WHAT OR HOPED WE FORGOT . I I THINK THAT'S A GREAT IDEA DEPENDING ON WHICH SIDE OF THE FENCE YOU'RE ON ON THAT. YES. THANK YOU VICE MAYOR. I WANNA GO BACK THERE TO THE, UH, YOUR COMMENTS ABOUT STABILITY. AND I'M WONDERING WHEN PEOPLE ARE CONTACTING YOU SAYING THAT THEY'RE NO LONGER ADVERTISING OR THEY'RE NO LONGER USING THEIR PROPERTY, DO YOU GIVE A REFERRAL TO HOUSING SO THAT MAYBE THEY CAN CONVERT THEM FROM A LONG-TERM? I MEAN A SHORT-TERM RENTAL TO A LONG-TERM RENTAL IN OUR PROGRAM? I HAVE DONE SOME OF THOSE, NOT, NOT ALL OF THEM, BUT YES, I HAVE DONE THAT. UM, I COULD CERTAINLY MAKE IT A PRIORITY TO LOOK AT THE PROPERTIES THAT ARE INACTIVE THAT HAVE BECOME INACTIVE IN THE LAST SIX MONTHS AND, AND REFER THEM OVER TO SHANNON AND JEANNIE. THAT I'D BE VERY HAPPY TO DO THAT. I THINK THAT WOULD BE A GOOD IDEA. CAUSE I WAS GONNA JUST ASK JEANNIE IF THEY HAVE INCREASED AT ALL, MAYBE YOU'LL TALK ABOUT THAT WHEN YOU, WHEN YOU DO THE HOUSING SECTION. ANY PARTICIPANTS IN OUR PROGRAM SEEN ANY INCREASE? YOU KNOW, I WOULD THINK THAT WOULD BE AN ATTRACTIVE OPTION SIMPLY BECAUSE, YOU KNOW, AT THIS POINT IN TIME WE DON'T HAVE A CAP ON THE NUMBER OF SHORT TERM RENTALS. AND I, THE ONE OWNER I HAD A CONVERSATION WITH THE OTHER DAY AND WHO I REFERRED TO, TALKED TO THE HOUSING PROGRAM, ASKED ME, YOU KNOW, CAN I COME BACK IF I CHANGE MY MIND IN THE FUTURE AND WANT TO ADVERTISE SHORT TERM? AND THE YES ANSWER IS ABSOLUTELY AFTER A YEAR. THAT'S RIGHT. SO IT'S FOR, FOR THOSE OF US WHO DON'T KNOW, UM, WE HAD THE BIG LAUNCH AND THE DEADLINE THAT WE HAD ON THE ORIGINAL PROPERTIES WAS BECAUSE THOSE PROPERTIES WERE ALREADY ACTIVELY ADVERTISING AND SO THEY HAD A DEADLINE TO COME INTO COMPLIANCE. ANYONE WHO COMES ON BOARD AFTER THE FACT AT ANY POINT IN THE YEAR CAN REQUEST A PERMIT AND, AND GO THROUGH THE APPLICATION PROCESS. SO THAT'S OPEN AND IT'S ONGOING AND AS WE'RE NOT ABLE TO DO ANY KIND OF LIMITATION, THIS IS A YEAR ROUND OCCURRENCE NOW. AND, AND SO PEOPLE CAN CONTINUE TO DO THAT AND I WOULD THINK THAT WOULD ENCOURAGE PEOPLE IF THEY WANNA TRY LONG-TERM RENTING, THEY HAVE MORE OPTIONS IN, IN SOME WAYS THAN THEY'VE EVER HAD. EXCELLENT. MAYBE YOU CAN PUT THAT IN YOUR CITY TALK COLUMN AS WELL. HAVE YOU ALREADY WRITTEN SINCE I WOULD BE VERY HAPPY TO DO THAT. THANK YOU. VERY GREAT SUGGESTION. BRIAN, DID YOU WANNA SAY SOMETHING? I WANTED TO ASK A QUESTION, WHATEVER. YEAH, THANK YOU MAYOR THERESA, THE DISTINCTION BETWEEN ACTIVE AND INACTIVE, IS THAT JUST STRICTLY BASED ON WHETHER THEY'RE ADVERTISING OR IS THAT SOME OTHER DECISION THAT THEY INFORM YOU OF? IT'S BASED ON ADVERTISING IT. I DO HAVE A NUMBER OF OWNERS CONTACT ME AND SAY I'M NO LONGER ADVERTISING. AND ALL OF THAT GETS VERIFIED WHEN, WHEN GOBOS DOES A WEB SCRAPE, WHAT THEY'RE DOING IS CAPTURING ALL THE WEB LISTINGS AND I CAN, THOSE WEB LISTINGS ARE ATTACHED TO INDIVIDUAL PROPERTY ACCOUNTS. SO I CAN GO IN AND CLICK IN AN ACCOUNT, CLICK ON THE ADVERTISEMENT AND SEE FIRSTHAND ARE THEY ADVERTISING RIGHT NOW OR AM I TAKEN TO JUST A GENERAL DIRECTORY PAGE, WHICH MEANS THE LISTING HAS BEEN TAKEN DOWN. AND SO ANYBODY WHO TELLS ME THEY'RE NO LONGER ADVERTISING, I'M GONNA VERIFY THAT. AND CONVERSELY, UM, THERE ARE A LOT OF PEOPLE WHO DON'T REACH OUT AND ONE OF THE THINGS I DO BEFORE WE SEND CITATIONS OUT TO PEOPLE IS VERIFY ON THE LIST I HAVE IF THEY'RE STILL ACTIVE. AND SO THIS IS A REALLY ACTIVE PROCESS IN THAT I'M WORKING IN THE DATABASE DAILY VERIFYING INFORMATION CUZ IT CHANGES ALL THE TIME. AND, UM, THE OTHER, THE OTHER PIECE IS WE ARE ABLE TO VERIFY LONG-TERM RENTAL AND THE STATE'S DEFINITION OF A LONG-TERM RENTAL IS ANYONE WHO'S ADVERTISING FOR A MINIMUM OF 30 DAYS, WHICH DOESN'T HELP OUR HOUSING SITUATION. BUT, BUT THAT'S THE DISTINCTION. SO THAT'S ALL MONITORED VERY CLOSELY. GREAT. THANK YOU. THANK YOU MAYOR. ARE WE GOOD? THANK YOU THERESA. JUST A TRULY AMAZING JOB. I APPRECIATE IT. THANK YOU VERY MUCH. OKAY, SHERRY, BACK TO YOU. [00:55:01] ALRIGHT, SO, UM, WE WENT THROUGH TOURISM AND ECONOMIC INITIATIVES LAST NIGHT, SO WE WILL JUMP AHEAD TO GENERAL SERVICES. SO THE, UM, GENERAL SERVICES DEPARTMENT ISN'T REALLY LIKE A DEPARTMENT, IT'S JUST A PLACE TO PUT A LOT OF THINGS DON'T REALLY FIT WITHIN A DEPARTMENT. UM, SO, UM, THERE'S THINGS LIKE OUR, OUR, UM, BOND PAYMENT COSTS, OUR CONTINGENCIES, OUR OUR SERVICE PROVIDER CONTRACTS, THE SMALL GRANTS PROGRAM, UM, OUR, UM, CITY INSURANCE THAT WE HAVE, UM, PROPERTY AND LIABILITY INSURANCE. ALL, ALL OF THOSE LIKE MISCELLANEOUS THINGS ARE ACCUMULATED HERE AND IT RESULTS IN A VERY LARGE NUMBER. UM, SO FOR FISCAL YEAR 23, THE BUDGET DIRECT COST, UM, 14.2 MILLION AND FOR FISCAL YEAR 24 GOING TO 14.4, UM, WE HAVE A DECREASE IN ONE TIME COSTS. WE HAD SOME, UM, UM, SOME OF THE CONSULTANT COSTS ON SOME OF THESE, UM, MISCELLANEOUS PROJECTS THAT WE'VE HAD GOING ON. SO THAT'S GOING DOWN. UH, I AM SHOWING, AND I HAVE A SLIDE ON THE CONTINGENCIES THAT WILL GO THROUGH THE CONTINGENCIES GOING UP, DEBT SERVICE COSTS GOING DOWN A LITTLE BIT. UM, WE ARE TRANSFERRING, UM, THE, WHAT WAS IN THE PROGRAM FOR SUSTAINABLE TOURISM TO THE CONTINGENCY. UM, SO THE AMOUNT THAT WAS IN, UM, LAST FISCAL YEAR WAS THE 1.6, UM, BUDGET AMOUNT HERE AT GENERAL SERVICES THAT I FOUND THIS ON WEB CONTINGENCY , UM, YOU'RE VERY POPULAR THE, UH, INCREASE IN THE SERVICE CONTRACTS. UM, SO WHAT WE DID PUT IN THE, THE BUDGET BOOK WAS THE CITY MANAGER RECOMMENDATIONS. SO ON TUESDAY NIGHT WHEN YOU SAID YES, YOU WANTED TO GO WITH WHAT THE CITY MANAGER RECOMMENDED THAT THOSE NUMBERS ARE WHAT'S IN HERE, UM, THE VACANCY SAVINGS OFFSET, WE WERE PUTTING THIS BASICALLY A NEGATIVE NUMBER OF A HALF MILLION DOLLARS IN GENERAL SERVICES. AND AS I HAD MENTIONED PREVIOUSLY, WE'RE ALLOCATING THAT OUT TO THE LARGER DEPARTMENT, SO IT'S NO LONGER HERE. UM, ALSO RELATED TO THE NEW ACCOUNTING STANDARD REGARDING THE LEASES, UM, WE ARE TAKING THE, UH, POSTAGE METER LEASE AND ALL THE VARIOUS PARKING LOT LEASES THAT WERE IN THE ONGOING AND THOSE NOW GO TO THE ONE TIME. UM, SO THE OVERALL CHANGE IS 1%, UM, THE ONGOING PORTION IS A 10% INCREASE. UM, I I DO HAVE A FOOTNOTE HERE, UM, THAT, UM, THE TOURISM CONTINGENCY THAT WE HAVE SET UP, WHICH WAS FORMALLY THE TOUR SUSTAINABLE TOURISM CONTRACT MM-HMM. , UM, THAT THIS DOESN'T REFLECT AT THIS POINT THE CONTRIBUTION TOWARDS THE VISITOR CENTER OR IF WE END UP DOING, UM, ADMINISTRATION COSTS FOR THE RED ROCK TRAIL FUND. I KNOW THAT'S ANOTHER REQUEST THAT'S OUT THERE. SO IF THOSE THINGS, IF THAT COMES TO PERMISSION, THAT'S NOT IN THESE NUMBERS AT THIS POINT IN TIME WHERE SHERRY, WHERE IS THE, THE TRAIL FUNDS? WHAT, WHAT, WHAT DEPARTMENT IS THAT IN? SO THE, THE PORTION THAT THE CITY CONTRIBUTES? YES. UH, 52,000 IS IN GENERAL SERVICES AND IT'S, IT'S IN, IN THIS NUMBER BUT WITH NO CHANGE. OKAY. THANK YOU. CAN I JUST GET SOME CLARIFICATION ON THE DECREASE IN DEBT SERVICE BECAUSE THIS IS, YOU DESCRIBED THIS AS GENERAL SERVICES THAT DON'T FIT IN OTHER CATEGORIES. SO DEBT SERVICE IS STILL NOT ALL HERE, THAT'S IN EVERY DEPARTMENT AND HERE, IS THAT CORRECT? I JUST WANNA BE CLEAR. NO, THERE'S LEASE PAYMENTS IN, IN THE INDIVIDUAL DEPARTMENTS FOR LEASES THAT ARE SPECIFIC TO THOSE PROGRAMS, THOSE DEPARTMENTS. MM-HMM. , BUT THE BOND PAYMENTS ARE NOT. THEY'RE IN GENERAL. OKAY. SO THIS IS, OKAY. ALL RIGHT. THIS IS REALLY JUST THE BOND PAYMENTS, RIGHT? THANK YOU. UM, WITHIN THE ONE TIME, SO THERE'S, UM, FOR FISCAL YEAR 24, A TOTAL OF 8.1 MILLION, UM, FOR THE ONE TIME THE BOND PAYMENTS ARE THE LION'S SHARE OF THAT, SO 7.4 MILLION. UM, WE DO HAVE, UM, A COUPLE CARRYOVERS. SO THE, WE'RE WE'RE DUE FOR AN UPDATE ON OUR DEVELOPMENT IMPACT FEES. UM, SO THERE WILL BE AN UPDATE ON THAT COMING UP. UM, AND WE HAD PUT IN THE FISCAL YEAR 23 BUDGET, 45,000, WHICH IS GONNA CARRY OVER. BUT WE, IN TALKING WITH THE CONSULTANT, HE SAID UNTIL HE ACTUALLY STARTS LOOKING AT IT, WHETHER OR NOT WE CAN JUST DO LIKE THIS UPDATE OR WE HAVE TO DO A FULL BLOWN STUDY. AGAIN, KIND IS A LITTLE UP IN THE AIR RIGHT NOW. SO WE ADDED ANOTHER 33,000 JUST IN CASE WE DO NEED TO DO THE FULL, UM, FULL BLOWN STUDY, [01:00:02] UH, LEASES. SO, UM, THE POOL VEHICLE, UM, THAT WE HAVE ON LEASE RIGHT NOW IS THE, THE CHEVY BOLT. UM, THE, UM, THERE'S PORTION OF THE SCHOOL DISTRICT ADMIN SITE LEASE WHERE SOME OF THAT SPACE THAT'S NOT REALLY ALLOCATED TO OTHER DEPARTMENTS THAT'S IN HERE, THE PARKING LOT LEASE IS POSTED POSTAGE METER LEASE. AND WE'RE ESTIMATING THAT THE EVALUATION OF THE AIRPORT, UM, THAT THERE WOULD BE ABOUT 80,000 OF THAT AMOUNT THAT WOULD CARRY OVER. UM, THE OTHER THING THAT WAS A LITTLE LAST MINUTE THAT IS NOT IN THIS INFORMATION AT THIS POINT IN TIME IS WE'RE LOOKING AT THE EVACUATION MODELING THAT SOME OF THE REMAINING ELEMENTS OF THAT PROJECT THAT, UM, WE'RE THINKING THERE'S PROBABLY $12,000 THAT WOULD NEED TO BE CARRIED OVER, UM, INTO FISCAL YEAR 24. SO HERE'S A SUMMARY FOR YOU ON THE, UM, SMALL GRANTS AND WHERE WE HAVE BEEN THE LAST FEW YEARS. UM, SO THE, UM, GRANTS AND WE, WE JUST HAVE JUST PUT 20 AS OUR PROJECTION ON THE GRANTS FOR SEVERAL YEARS, BUT WE COULD PROBABLY PUT UP THAT AMOUNT, UM, THE AVERAGE OF THE SMALL GRANT AWARDS. SO WE HAVE THAT OVER THE, THE PAST FEW YEARS. UM, THE BUDGET AMOUNT. SO FOR FISCAL YEAR 23, UM, THE, THE AMOUNT WE BUDGETED WAS 200,000. HOWEVER, THERE WAS ONE ORGANIZATION THAT WAS UNABLE TO FULFILL THE OBLIGATION OF THE GRANT, SO THEY RETURNED THE MONEY. SO REALLY THE SMALL GRANTS THAT WERE, UM, ACTUALLY USED WAS THE 190,000. UM, SO FOR FISCAL YEAR 24, WE HAVE IT AT THE 200,000 AGAIN. AND, UM, WE HAVE A NOTE ON FISCAL YEAR 22. SO FISCAL YEAR 21, WE DID NOT ISSUE, UH, MUCH AT ALL. THERE WERE A LOT OF THE SMALL GRANT REQUESTS THAT GOT PULLED BECAUSE OF C O D, THEY WEREN'T ABLE TO ACTUALLY PERFORM WHAT THEY WERE ASKING THE GRANT FOR. SO THERE WAS NO NEED FOR THOSE GRANTS. AND THEN THAT BALANCE WAS CARRIED OVER INTO THE NEXT YEAR AS A ONE TIME THAT COUNCIL HAD REQUESTED THAT WE, UM, DO ADDITIONAL, UH, SMALL GRANT AWARDS IN THE NEXT YEAR. UM, SO THAT WAS WHY THAT FISCAL YEAR 22 WAS SO MUCH HIGHER. UM, SO FOR THE CURRENT YEAR, THE RANGE OF THE SMALL GRANTS, THEY WERE AS AS LOW AS 1800 AND AS HIGH AS 15,000. SO IT JUST KIND OF DEPENDS ON THAT RANGE. VICE MAYOR, UH, I THINK THIS QUESTIONS TO KAREN, WHEN ARE THE SMALL GRANTS GONNA COME BEFORE COUNCIL FOR APPROVAL? IT WILL POSSIBLY BE THE FIRST MEETING IN JULY. AND THEN, BECAUSE WE DON'T, IF WE DON'T MAKE THAT MEETING, THEN IT WOULD BE THE FIRST MEETING IN AUGUST, WHICH IS, WE TRY TO DO IT THE FIRST MEETING IN JULY SO THAT IF PEOPLE HAVE PROGRAMS, ACTIVITIES THAT ARE EARLY IN THE FISCAL YEAR, THEY GET THE, THE GRANT AWARD. SO THAT'S WHAT WE'RE SHOOTING FOR. I, I WOULD LIKE TO TAKE A LOOK AT THAT PROGRAM BEFORE WE APPROVE THE BUDGET TO SEE HOW MANY, UH, FOLKS APPLIED AND TO, TO SEE WHETHER OR NOT 24, OH, YOU HAVE ALL THE INFORMATION. SORRY, WHAT WAS THE NUMBER? 24 20, OR I'M SORRY, 29 FOR HOW MUCH MONEY? FOR 374,000 AND HOW MANY WERE FUNDED? YEAH. HOW MANY WERE GIFTING 20 AND ALL BUT TWO HAVE SOME FUNDING RECOMMENDATION, UH, TO, TO, FOR A TOTAL OF 200,000, THAT WAS THE BUDGET THAT THE COMMITTEE WAS WORKING WITH. IT WOULD BE, IT'D BE INTERESTING TO SEE WHETHER THEY WOULD HAVE GIVEN THEM MORE MONEY. HAD THEY, THE, AND AND JUST FOR CLARITY, I DON'T KNOW IF YOU RECALL FROM A YEAR AGO WHEN WE DID THE BUDGET WORK SESSIONS, I HAD SUGGESTED THAT IT WOULD BE REASONABLE TO INCREASE THAT AMOUNT MM-HMM. , UM, AND COUNSEL SAID NO TO, TO DOING ANY KIND OF AUTOMATIC INCREASES. SO WE DIDN'T, WE KEPT IT AT THE 200,000. AND THAT'S A, THAT'S THE BIGGEST CHALLENGE WITH THE TIMING OF THIS PROGRAM, RIGHT. IS WHEN, WHEN WE HAVE OUR BUDGET WORK SESSIONS EARLIER, IT WORKS. IT'S JUST THE LAST FEW YEARS WHEN WE'VE HAD, YOU KNOW, WHEN YOU DON'T EVEN TALK ABOUT IT UNTIL TILL JUNE. BUT THAT'S, THAT'S WHERE WE ARE FOR THIS. SO I, I DON'T KNOW IF, I DON'T KNOW HOW TO HAVE THAT CONVERSATION PRIOR TO ISSUANCE OF THE AWARDS, UNLESS YOU DO IT IN CONJUNCTION WITH THAT, YOU KNOW, WHEN YOU SEE ALL THE, WELL, THAT'S ONE WAY, BUT THE OTHER WAY IS TO PUT MONEY IN FOR NEXT YEAR. SO IN OTHER WORDS, IT WOULDN'T AFFECT THE [01:05:01] GRANT CYCLE THAT'S COMING UP, BUT IT WOULD AFFECT THE GRANT CYCLE THAT STARTS IN FEBRUARY OR MARCH OF NEXT YEAR WOULD BE IN THE FY 24 BUDGET WE COULD INCREASE. NO, IT'S, THAT'S NOT HOW IT WORKS. OKAY. TELL US HOW IT WORKS. SO THE FUNDING, THIS, THIS 200,000, THE FUNDING THAT WE'RE TALKING ABOUT IS FOR THE FISCAL YEAR 24 BUDGET. AND THAT'S WHAT THE APPLICATIONS ARE FOR. OKAY. SO THE, THE NEXT UPCOMING PROGRAM, WHICH STARTS IN JANUARY, FEBRUARY, WILL BE FOR 25. 25. OKAY. I, I COULD, I COULD SUGGEST THAT ALSO THE FIRST MEETING IN JULY IS WHEN WE ARE PLANNING ON COMING BACK FOR APPROVAL OF THE TENTATIVE BUDGET WITH SUCH THE CAP. AND SO IN THAT DISCUSSION, YOU COULD AMEND IT IF THE ORDER, I DON'T KNOW WHAT THE ORDER'S GONNA BE ON THE AGENDA, BUT IF YOU TALK ABOUT SMALL GRANTS FIRST MM-HMM. , AND THEN WE TALK ABOUT THE BUDGET, AND YOU'RE LIKE, YOU WANT TO DO MORE THAN 200,000, THEN YOU COULD AMEND THE, THE MOTION AND SAY YOU WANNA ADD X AMOUNT. I, I THINK THE REALLY CHALLENGING THING THOUGH IS YOU JUST HAD A GROUP OF CITIZENS WHO GOT TOGETHER AND SPENT A LOT OF TIME DELIBERATING. I DON'T KNOW THAT IF YOU WERE TO ASK THEM RIGHT NOW, WHAT WOULD YOU, HOW WOULD YOU ALLOCATE AN ADDITIONAL $50,000 IF THEY'D BE ABLE TO TELL YOU LIKE THAT? RIGHT. BECAUSE THAT'S NOT WHAT THEY CONSIDERED. AND THAT'S WHY I ASKED LAST YEAR TO SAY, LET'S, IF YOU THINK YOU WANT TO INCREASE THIS, GIVE US SOME DIRECTION. AND SO IT, THE CHALLENGE IS GONNA BE FIGURING OUT HOW TO ALLOCATE THE ADDITIONAL MONEY BECAUSE THE SEVEN OF YOU HAVEN'T DELVED INTO WE SHOULD THE APPLICATIONS. YOU HAVEN'T TALKED TO THOSE 29 APPLICANTS, THE COMMITTEE DID. I HEAR YOU. BUT I WOULD BE INCLINED TO INCREASE THE BUDGET. I JUST WANNA MAKE SURE YOU SEE ME. NO, IF YOU SEE US, HOW WILL YOU DETERMINE HOW TO ALLOCATE IT? WE SHOULDN'T. BECAUSE I THINK THAT WOULD BE ALSO OVERSTEPPING THE COMMITTEE. YEAH. SO, BUT I THINK, LET ME ASK YOU THIS. IF WE ALLOCATE FOR FY 25 MORE MONEY, RIGHT? AND THEN NEXT WAIVE THE COMMITTEE KNOWS, WELL, WE HAVE THIS MUCH MORE MONEY AND THEN THEY LET THEM DO THEIR JOB. EXACTLY. RIGHT. THAT, THAT'S ONE WAY TO DO IT. FOR SURE. OKAY. JESSICA, YOU WERE FIRST. THAT'S WHY I WANTED, COULD YOU PLEASE REMIND ME HOW MUCH IN TOTAL THE REQUESTS WERE FOR THIS YEAR? 374,000. WOW. THAT'S A BUT THAT'S A HUGE INCREASE. IT'S, THAT IS A BIG NUMBER. AND I DON'T, I DON'T KNOW THAT WE'VE HAD 29 APPLICANTS BEFORE WE'VE HAD IN THE TWENTIES, BUT I, THAT THAT'S A BIG NUMBER. BUT IT'S GREAT. HAVE, IT'S GREAT THAT WE HAVE. SO I MEAN, I THINK, I THINK I WOULD LIKE TO TAKE UP, KAREN'S OFFER TO INCREASE IT FOR THE BUDGET FOR NEXT YEAR, BUT I DON'T REALLY WANNA GO UP TO THREE 70. OH, NO, NO, NO. SO, UM, DO YOU HAVE AN IDEA OF HOW, DOES ANYBODY HERE HAVE AN IDEA OF HOW MUCH THEY'D LIKE TO INCREASE IT FOR NEXT YEAR? WELL, IF WE EVEN GO THERE, CAN WE JUST, IT'S MM-HMM. HAVE THE QUESTIONS, BRIAN'S NEXT AND THEN CATHERINE. SURE. ABSOLUTELY. SO LET'S, AND THEN, BUT THAT'S A GOOD POINT BEFORE WE CHANGE TOPICS, WE CAN COME UP WITH THAT. THANK YOU VERY MUCH, MAYOR BRIAN. THANK YOU, MAYOR. SO, NO, I THINK I MAY HAVE JUST LOST MY TRAIN OF THOUGHT ON THIS WAITING. UH, OKAY. SO FROM A PROCESS STANDPOINT, IT WOULD BE TODAY THAT WHEN WE'RE KIND OF GOING, WELL, NO, IT ISN'T TODAY CUZ THIS IS REALLY FOR 25 MONEY. BUT, BUT WE ARE DECIDING TO, WE CAN SET THE CAP. YOU WOULD JUST BE GIVING ME DIRECTION THAT I WILL PUT IN THE FILE TO SAY NEXT YEAR, EVEN THOUGH YOU WILL NOT HAVE ALREADY HAD YOUR BUDGET WORK SESSIONS, BUT THAT THERE'S AN INTENTION TO, TO, TO USE, HAVE A BIGGER POT. OKAY. YEAH. I'D LIKE TO SEE US INCREASE THE 25 POT, AND I DON'T THINK WE SHOULD TOUCH THE 24 POT AT THIS POINT. RIGHT, KATHY? YEAH, I, IS THERE A WAY, UH, AGREE THAT THE 25 POT SHOULD BE INCREASED, BUT FOR THE 24 POT, IS THERE A WAY TO PUT IN A CONTINGENCY LINE THAT WOULDN'T BE AFFECTING THE GRANT AMOUNT OR GO BACK TO THE COMMITTEE NOW TO SAY, BUT I, I KNOW WITH AT LEAST ONE RECIPIENT RAN INTO SOME ISSUES WHERE ADDITIONAL FUNDS WERE, WERE N ABSOLUTELY NECESSARY. IS THERE A WAY TO DO, HAVE A CONTINGENCY LINE IN SMALL GRANTS FOR SOMETHING THAT IS AN APPROVED PROGRAM THAT NEEDS TO COME BACK FOR SOMETHING UNANTICIPATED? IS THAT SOMETHING THAT WE WANNA CONSIDER? I, I WOULDN'T DO A CONTINGENCY LINE HERE. WE HAVE A CONTINGENCY BUDGET. SO IF SOMETHING HAPPENED THAT WAS UNANTICIPATED AND IT WAS URGENT AND, UH, YOU KNOW, SOMETHING YOU WANTED TO FUND, THAT WOULD BE THE PROCESS. OKAY. AND I WOULD HATE FOR THESE 20, I GUESS SEVEN, WHO ARE LIKELY TO GET FUNDED [01:10:01] ORGANIZATIONS TO KNOW THAT. WELL, YOU COULD COME BACK AND ASK FOR IT. IT JUST, OKAY. I WOULDN'T WANNA INVITE THAT. BUT WE DO HAVE OTHER CONTINGENCIES THAT IF SOMETHING UNANTICIPATED THAT, THAT WAS REALLY CRITICAL TO THE COMMUNITY OR CRITICAL TO THE EXECUTION OF ONE OF THESE IMPORTANT PROGRAMS, WE COULD DO GO THAT ROUTE. JESSICA, I JUST, WE DID DO THAT FOR BOYS AND GIRLS CLUB ONE YEAR. AND, UM, I JUST WANNA BE VERY, VERY, I I, I DON'T WANT THE COUNCIL TO JUST BE ADDING AND SUBTRACTING FROM WHAT THE, UH, AN EMERGENCY AND AN AN UNFORESEEN THING THAT AROSE IS SOMETHING DIFFERENT. BUT I REALLY, I'M, AND, AND I AGREE WITH, WE DID IT WITH THE BOYS AND GIRLS, IT MADE SENSE IT WAS THE RIGHT THING TO DO. SO I JUST DON'T WANNA END UP US, UH, SUPERIMPOSING OUR WILL OR OUR I IDEAS ON WHAT THE COMMITTEE PUT SO MUCH TIME AND EFFORT INTO DOING IT. KAREN, AS AN EMERGENCY, WAS THAT THE, UH, UH, OVERNIGHT FREEZING, UH, THE HOMELESS HAD A PROBLEM? WAS IT THE SHOWERS? THERE WAS SOMETHING THAT WAS DONE AS AN, SO THAT WAS AN EXAMPLE OF SOMETHING THAT I HAD THE DISCRETION TO SPEND A FEW THOUSAND DOLLARS OUT OF. UH, YOU KNOW, IT, YEAH. I FORGOT EVEN WHERE I TOOK IT FROM. BUT THE, WHEN THE FLOODING EVENT HAPPENED AND SAHA HAD REACHED OUT, THEY WERE OUTTA MONEY. UM, IT WAS FREEZING TEMPERATURES AND THE SOME, THERE WERE SOME HOMELESS THAT ENDED UP GETTING FLOODED. SO THE SYSTEM, AS IT IS WORKED, WORKS. IT WORKS. IN THAT PARTICULAR CASE, I WAS ABLE TO PULL SOME MONEY TOGETHER AND HELP THEM OUT. EXCELLENT. SO I, I THINK, LIKE I SAID, THE SYSTEM DID WORK JUST AS IT'S BEING PRESCRIBED. SO, UH, DO YOU WANT TO, UM, MOVE FORWARD MM-HMM. ? YEAH. WELL, WE'RE GOING SET A NUMBER FOR THE 25. YEAH, LET'S SET A NUMBER FOR 25. I'D LIKE TO THROW A NUMBER OUT. I WOULD THROW OUT 300,000 UP, UP FROM WHAT, WHAT'S THE, YEAH, TWO, 200 IS THE CURRENT AMOUNT. OKAY. COUNCILOR, CAN YOU PROVIDE ANY SUPPORT FOR WHY TO INCREASE BY 50%? THIS IS NEITHER AGREEING NOR DISAGREEING. I'M JUST CURIOUS AS TO THOUGHT PROCESS. HEY, SAME QUESTION BASED ON THE NUMBER OF OF APPLICANTS THAT WE'RE GETTING AS WELL. I MEAN, THE POOL IS, OBVIOUSLY THE ANTICIPATION IS 20, BUT THERE ARE 29 APPLICANTS. UM, THERE'S, I JUST DON'T THINK THE POT IS BIG ENOUGH TO PROVIDE FOR THE DIVERSITY OF APPLICANTS AND MAKING SURE EVERYBODY GETS WHAT THEY'RE ESTIMATING THAT THEY MIGHT NEED. I THINK SOMETIMES THAT WE'RE GOING BACK AND FORTH, WHICH IS APPROPRIATE TO DO, TO LOWER THE AMOUNTS OF REQUESTS, BUT I THINK IF WE HAD THE BIGGER POT, IT ALLOWS MORE APPLICANTS AND AT THE LEVELS THAT THEY'RE LOOKING FOR, I'D LIKE TO SEEK STEPHANIE'S INPUT IN THIS DECISION. THAT'S EXACTLY. SO IF I LIKE THAT. SO IF IT IS THE FIRST MEETING IN JULY THAT WE DISCUSS THIS, I DON'T KNOW HOW THAT WORKS WITH SHERRY'S TIMEFRAME FOR, FOR, FOR FISCAL YEAR 25. I OH, THAT'S TRUE. PLENTY OF TIME. THAT'S TRUE. UM, SO WE COULD, WE COULD TALK TO HER ABOUT THIS. WOULD THAT BE ON THE SAME AGENDA, THE ITEM, OR WOULD THAT BE A SECOND? THAT WOULD BE AN ADDITIONAL ITEM. ITEM. OKAY. NO, NO, WE WOULD DO THE SMALL GRANTS BEFORE WE DID THE ADOPTION OF THE BUDGET, I THINK IS WHAT YOU'RE REALLY NO, I MEAN THE, THE 10, THE, THE, THE MAXIMUM, THE AMOUNT. NO, IT'S DIFFERENT YEARS. THIS IS DIFFERENT YEARS. WE GOT PLENTY OF TIME TO TALK ABOUT WHAT NUMBER IN THE 2025 BUDGET. SO WHAT ARE WE TALKING ABOUT? WELL, WHEN STEPHANIE PRESENTS THE SMALL GRANTS, WE CAN SEE HER, HER INPUT FOR WHAT NEXT YEAR WITH NO, I SEE. THANK YOU. RIGHT. AND I WOULD PREFER TO DO THAT TOO. UH, SO LET'S SEE WHERE WE ARE. ALL IN AGREEMENT. MM-HMM. ? YEP. MM-HMM. . OKAY. THANK YOU KAREN. SO THAT YOU HAVE THAT DIRECTION. SO CAN WE MOVE ON? OKAY, WE'RE GOOD. OKAY. THANK YOU. UM, SO I WANNA TALK A LITTLE BIT ABOUT THE, THE BONDS AND WHERE EVERYTHING STANDS. SO, UM, WE'RE PROJECTING THAT AS OF JULY 1ST, 2023, WE WILL HAVE OUTSTANDING 44 MILLION, 800, 2000. UM, AND THE PIE SHOWS YOU WHERE ALL OF THAT IS AT. SO WE HAD THE, UM, BONDS THAT WE HAD ISSUED FOR SEDONA AND MOTION PROJECTS. UM, AND THAT AMOUNT, 21,640,000 IS ACTUALLY THE, UM, THE, UM, PAR AMOUNT OF WHAT THE BONDS WERE THAT WERE ISSUED. I KNOW WE REFERRED TO AS A 25, BUT WE ISSUED THEM AT A PREMIUM. UM, SO THAT PREMIUM IS WHAT GOT US OUR PROCEEDS OF 25 MILLION. BUT THE ACTUAL PAR AMOUNT THAT WE'RE PAYING BACK IS THE 21 MILLION. THE, UM, REMAINING BONDS FOR THE WASTEWATER SYSTEM, 9.7 MILLION. UH, THE LAND ACQUISITION IS THE ACQUISITION OF THE CULTURAL PARK. SO WE USED, UM, 10 MILLION TOWARDS THAT. SO AS OF JULY ONE, THERE WOULD BE, UH, NOT QUITE 9.5 MILLION LEFT ON THAT. AND THEN THE, [01:15:01] UH, CAPITAL INFRASTRUCTURE PROJECTS. SO THOSE WERE, UM, MANY, MANY YEARS AGO. THAT WAS BONDS ISSUED BACK IN, UM, 2007, I BELIEVE. AND THERE WAS SOME DRAINAGE AND SOME IMPROVEMENTS ON 1 79. SO THERE'S 3.9 MILLION REMAINING OF THAT. UM, THE, THE MEASURE THAT IS USED FOR LOOKING AT WHERE WE'RE AT ON OUR CAPACITY WITH ISSUING THE BONDS IS A LOOK AT OUR PLEDGED REVENUES. UM, WE DO NOT ISSUE ANY, WHAT THEY CALL GENERAL OBLIGATION BONDS. GENERAL OBLIGATION BONDS ARE PAID BACK WITH PROPERTY TAXES. AND SO WE HAVE NOT GONE THAT ROUTE. WE DON'T HAVE PROPERTY TAX LEVY. UM, THERE ARE DIFFERENT RULES FOR GENERAL OBLIGATION BONDS AS FAR AS LIKE WHAT YOUR LIMITATIONS ARE. SO WE ISSUE WHAT IS REFERRED TO AS EXCISE TAX BONDS, UM, WHERE BASICALLY OUR REVENUES THAT WE GENERATE ARE PLEDGE TO COVER THE DEBT SERVICE. AND SO IN THOSE BOND COVENANTS, IT SAYS THAT OUR PLEDGED REVENUE NEEDS TO BE ONE AND A HALF TIMES WHAT THE ANNUAL DEBT SERVICE PAYMENT IS AT. SO AS YOU CAN SEE FROM THE CHART, WE'RE WELL ABOVE THAT ONE AND A HALF TIMES WE HAVE PLENTY OF CAPACITY FOR ANY ADDITIONAL BONDS THAT WE WANTED TO ISSUE. AND WHEN, UM, SOME OF THE MORE, UM, SOME OF THE BONDS GET PAID OFF IN THE, THE WASTEWATER FUND WILL BE, UM, DEBT FREE AT THAT POINT. WE WILL HAVE A CONVERSATION LATER THIS AFTERNOON ABOUT THE WASTEWATER FUND AND, UM, POSSIBLE FUTURE NEEDS. BUT AT THAT POINT WE WOULD GO TO TO 10 AND A HALF TIMES. UM, AND THEN THE ESTIMATION IN 28 IS THAT WE'D BE ALMOST 15 TIMES. SO FROM A DEBT PERSPECTIVE, WE'RE IN A REALLY GOOD SITUATION. UM, ONE OF THE THINGS THAT I DID SHARE WITH, UM, THE BUDGET WORK GROUP, A LOT OF PEOPLE COME FROM A, UM, FOR-PROFIT MODEL AND FOR-PROFIT MODEL. A LOT OF TIMES THEY'LL LOOK AT LIKE A DEBT RATIO, DOESN'T REALLY QUITE APPLY THE SAME IN GOV IN GOVERNMENT, BUT I WANTED TO SHARE WITH THEM. AND SO WE'RE BASICALLY, UM, THE ESTIMATION I HAD GIVEN THEM WAS, WAS THAT WE'RE ABOUT 15%, WHICH WOULD BE REALLY LOW IN THE FOR-PROFIT WORLD. SO, UM, THAT DEFINITELY SATISFIED. UM, SOME OF THE MEMBERS THAT WERE CONCERNED ABOUT OUR, OUR DEBT LEVEL. SHERRY, BEFORE YOU GO ON, BRIAN HAS A QUESTION. YEAH, THANK YOU, SHERRY. UM, YOU KNOW, WHEN YOU TALK ABOUT THE FACT THAT WE HAVE, YOU KNOW, CONSIDERABLE DEBT CAPACITY STILL, THAT'S FINE, BUT WHEN YOU GET TO THAT POINT WHERE YOUR COVERAGE IS DOWN TO 1.5, FOR INSTANCE, DOES THAT BE, HAVE YOU NOW AFFECTED WHAT YOUR BOND RATING IS? RIGHT. SO WE HAVE A VERY GOOD RATING, YOU KNOW, WHEN YOU GET DOWN TO 1.5, ARE YOU GETTING DOWN TO, IS THAT LIKE PUTTING US AT JUNK STATUS AT THAT POINT? OR IS 1.5 STILL CONSIDERED HIGH QUALITY? UM, IT COULD HAVE AN IMPACT ON WHAT OUR RATING IS, BUT WE HAVE NO PLANS TO EVER GET TO THAT KIND OF LEVEL BECAUSE ME NEITHER, WE, WE NEED THOSE GOOD REVENUES TO COVER OPERATIONS. AND SO WE WOULD, WE WOULDN'T GO THERE, UM, BECAUSE OTHERWISE WE, WE WOULD HAVE DIFFICULTY CO COVERING OPERATING COSTS. YEP. THANK YOU. THANK YOU, MAYOR. SURE. ANY OTHER, OKAY, SHERRY, UM, SO HERE'S A LIST OF THE BONDS THAT ARE OUTSTANDING, UM, AND THE DATES. SO THE SERIES 1998, UM, WE, WE WILL HAVE OUR LAST PAYMENT ON THOSE JULY 1ST, 2024. UM, AND RANGING TOO. SO THE, THE SERIES 22, SO THAT WAS THE, THE, UM, BONDS THAT WE HAD ISSUED FOR THE SIM PROJECT. SO THOSE ARE THE, THE ONES THAT REFER THIS OUT AT 2042. UM, I HAVE ON HERE STATUS OF, UM, WHETHER WE COULD CALL THEM, UH, CALL THE BONDS. UM, AT THIS POINT, WE'RE NOT IN A SITUATION THAT I THINK THAT WE WOULD CONSIDER CALLING BONDS, UM, UNTIL WE, WE HAVE A LOT OF PRIORITIES ON THE PLATE. YES, WE'VE GOT MONEY AND MAYBE COUNSEL SAYS, YOU KNOW, WHAT, WE, WE WANT TO PAY OFF, UM, ONE OF THESE BONDS. UM, WHICH COULD BE AN OPTION. UM, BUT IT'S A, IT'S A METHOD OF ALSO LEVERAGING, UM, AT SOME FAIRLY LOW RATES MM-HMM. TO BE ABLE TO ACCOMPLISH A LOT OF THE PRIORITIES THAT WE HAVE. ANY QUESTIONS THERE? I'M SORRY, CAN YOU JUST GO DOWN THE LIST OF, YOU SAID THE ONE WAS A SIM. CAN YOU JUST GO OVER EXACTLY WHAT THEY'RE FOR? YES. SO THE, THE SERIES 1998, SO THAT IS WASTEWATER. UM, THE SECOND SERIES 2015. SO THAT WAS THE, UH, REMAINING OF THE, UM, DRAINAGE IMPROVEMENTS THAT WERE DONE SEVERAL YEARS AGO. AND THE, UM, UH, IMPROVEMENTS TO 1 79 THAT HAPPENED BACK IN 2007. AND WE HAD DONE A, UM, REFUNDING, UM, YOU CAN THINK OF IT LIKE REFINANCING YOUR MORTGAGE ON YOUR HOUSE OR WHATEVER. SO IN WITH BOND WORLD, IT'S CALLED REFUNDING, WHERE WE HAD, UM, A ABLE TO COME UP WITH A MUCH LOWER RATE AT [01:20:01] THE 1.94%, AND I FORGET WHAT THE SAVINGS ON THAT WAS, BUT IT WAS OVER A MILLION DOLLARS OF SAVINGS IN THAT I REMEMBER. OKAY. UM, THE SERIES 21, UM, IS, UH, BASICALLY ALSO A REFUNDING OF, UM, WASTEWATER, UH, DEBT THAT WE DID THAT WE GOT A, A FANTASTIC RATE ON THAT ONE AT 1.16, UH, PERCENT. SO THAT WAS PRETTY AMAZING. UM, AND THAT ONE WAS, I FORGET, AROUND MILLION AND A HALF OR SO ON THE SAVINGS. UM, I THINK IT WAS PRETTY SUBSTANTIAL. THE SERIES 2022, SO IT'S THE SIM AND THEN THE SECOND SERIES 2022 IS THE, UM, CULTURAL PARK OF LAND. I'M SORRY, WHAT WAS THE FIRST ONE? WASTEWATER. WASTEWATER. WASTEWATER. SO, UM, IF YOU'RE NOT FAMILIAR, THE WAY THESE DATES WORK, SO LIKE THE, THE LAST TWO, THE SERIES 2022 WAS THE FIRST ISSUE DURING CALENDAR YEAR 22. SO MARCH OF 22 WAS WHEN WE DID THE SIM BONDS. THE, UM, SECOND SERIES WAS THE SECOND ISSUANCE IN CALENDAR YEAR 22, WHICH WAS DECEMBER OF 22 FOR THE CULTURAL PARK ACQUISITION. SO MAYOR, YES. PETE, JUST TO BE CLEAR, UH, SHERRY, UH, THE FIRST ONE IN YOUR STATUS CALL PER, NOT SUBJECT TO CALL PRIOR TO STATED MATURITY DATE, WHAT IS THE STATED MATURITY DATE? ? UM, SO THERE'S ONLY ONE LEFT, WHICH WOULD BE THE JULY 1ST, 2021. OKAY. SO THAT DOES, YES. YOUR PAYMENT REMAINING DATE IS THEN THE MATURITY DATE, AND THEN FOR THE LAST ONE, REALLY, THAT'S THE ONLY ONE THAT THERE MIGHT BE AN INTERESTING CONVERSATION ABOUT EARLY PREPAYMENT. WHAT'S YOUR THOUGHTS ABOUT THAT? UM, AT THIS POINT IN TIME, I WOULD SAY, UM, I, I THINK THERE'S A LOT OF PRIORITIES OUT THERE THAT MAYBE WE CONTINUE, LIKE, THAT WE'RE LEVERAGING OUR MONEY AND, BUT MAYBE AT SOME POINT IN THE FUTURE WE LOOK AT, AT DOING THAT. SO IT'LL ALSO KIND OF DEPEND UPON WHERE INTEREST RATES ARE AT. WE, UM, THE CALL WILL ALSO IMPACTS IF WE DECIDE TO DO A REFUNDING, UM, TO BE ABLE TO DO THAT. SO MAYBE AT SOME POINT WE SAID, NO, WE WANT A REFUND BECAUSE INTEREST RATES HAVE DROPPED AND CONTINUE TO LEVERAGE SO THAT WE HAVE THE MONEY FOR THE OTHER PRIORITIES. THANK YOU. SO I HAVE A QUESTION. OKAY. VICE MAYOR, SO THE, THE FIRST ONE, THE SERIES 1998, THERE'S ONE PAYMENT LEFT IS WHAT YOU'RE AS OF FOR THE FISCAL YEAR 24 BUDGET? WE, WE TECHNICALLY WE HAVE A JULY 1, 23 PAYMENT, BUT THAT WILL BE ACCRUED TO THE FISCAL YEAR 23 BUDGET. RIGHT. SO IN JULY OF 2024, WE HAVE TO PAY 4.3 MILLION? YES. OH, OKAY. SO THE TOTAL AMOUNT WOULD BE PAYING OFF IN FISCAL 24. CORRECT. THANK YOU. OKAY. UM, SO HERE'S WHERE WE'RE AT AS FAR AS THE NUMBERS THAT ARE IN THE BOOK FOR CONTINGENCIES. UM, SO WE HAVE, UM, JUST GENERAL OPERATING CONTINGENCIES THAT WE SET UP FOR JUST ANY KIND OF, UM, POSSIBLE EMERGENCY OR THINGS THAT MIGHT COME UP. UM, THERE'S BEEN A VARIETY OF THINGS THAT WE'VE USED IT FOR OVER THE YEARS. THE ONES THAT ALWAYS JUST LIKE REALLY STICKS OUT IN MY HEAD BECAUSE IT WAS TWO YEARS IN A ROW THAT THAT FINANCE GOT FLOODED AND , MY, AND HR WAS THERE TOO, AND WE HAD TO LIKE, MOVE OUT AND, AND SO SOME OF THAT RESTORATION THAT NEEDED TO BE DONE. SO THAT IS, THAT IS BURNED INTO MY MEMORY AT THIS POINT. UM, SO WE HAVE 200,000 IN THE GENERAL FUND AND A HUNDRED THOUSAND IN THE WASTEWATER FUND FOR JUST WHATEVER, UM, NEED THAT THERE MIGHT BE, UM, OUT THERE, THE ARPA FUNDING. UM, SO WE HAVE, UH, 1,875,000 THAT WE'RE ESTIMATING WOULD BE REMAINING AS OF, UM, JUNE 30 TO ROLL OVER INTO THE NEXT YEAR OF ARPA MONEY TO BE SPENT. WE ALSO HAVE BEEN DOING, UH, JUST A CONTINGENCY FOR ANY POSSIBLE GRANTS OR DONATIONS THAT COME UP DURING THE YEAR, UM, TO BE ABLE TO HAVE THE CAPACITY TO BE, TO BE ABLE TO SPEND THOSE. UM, WE HAVE, UM, WE BUMPED IT UP IN FISCAL YEAR 23 TO 500,000. UM, WE USE SOME OF IT, NOT A LOT. UM, BUT WE THOUGHT, AGAIN, WE WOULD DO THE 500,000 BECAUSE WE ACTUALLY HAVE SOMEBODY ON STAFF NOW THAT, UM, COULD POTENTIALLY COME UP WITH A GRANT THAT WE DID NOT ANTICIPATE. UM, SO THE, IF IT'S A GRANT FOR A PROJECT THAT IS ALREADY EXISTING, THOSE EXPENDITURES ARE ALREADY [01:25:01] IN HERE. IT'S JUST CHANGING THE FUNDING SOURCE. BUT IF IT'S SOMETHING WHERE IT'S LIKE, OH, WOW, WE CAN GET A GRANT TO DO THIS, BUT LIKE THE TIMELINE IS IF WE WANT THIS GRANT MONEY, WE HAVE TO HAVE IT DONE BY A CERTAIN DATE, WE'D WANNA MAKE SURE WE HAD THAT CAPACITY TO DO IT. SHERRY, UH, JESSICA HAS A QUESTION. AND SO THAT $500,000 IN THIS MUCH INCLUDES MATCHING, POSSIBLE MATCHING FUNDS FOR GRANTS FOR LIKE TRANSIT GRANTS AND ALL THE OTHER ONES? NO. SO IT WOULD HA BASICALLY IF THERE WAS SOMETHING NEW IN TRANSIT THAT'S NOT ALREADY IN THE BUDGET, RIGHT, THEN WE WOULD, THEN WE WOULD TAP INTO THIS. OKAY. SO BUT THAT, THAT IS INCLUDES MATCHING FUNDS FOR GRANTS? NO. YES. OKAY. FOR NEW, FOR NEW ONES. OKAY. WE COULD USE THAT CONTINGENCY FOR THANK YOU. ANY OTHER QUESTIONS YET? VICE MAYOR? UH, CAN YOU REMIND US WHAT LIMITATIONS WE HAVE ON THE FUNDING? UM, SO THERE'S SO MANY DIFFERENT CATEGORIES OF THINGS WE'VE USED. UM, SOME OF THE MONEY FOR WASTEWATER. UM, WE'VE USED, UM, SOME FOR THE STUDY FOR THE BROADBAND CONSULTANT. AND SO THERE MAY BE ADDITIONAL MONEY THAT WE WOULD USE TOWARDS THAT. WE'RE USING A PORTION OF THAT FOR THE, THE SMALL UPGRADE THAT WE ARE BASICALLY FORCED TO DO WITH SPRINGBROOK BEFORE WE CAN MOVE TO A NEW ERP SYSTEM THAT'S AROUND $40,000 THAT WE'RE HAVING TO DO THERE. UM, AND THEN THERE WAS AN URGENT NEED WITH PD REGARDING CANINE VEHICLE THAT, UM, WE WERE ABLE TO GET A USED, UM, CANINE VEHICLE FROM COTTONWOOD. UM, SO, UM, PUBLIC SAFETY NEEDS ARE PART OF THAT. UM, THAT'S PRETTY BROAD BRUSHED. OH, YES, YES. THERE'S A LOT OF THINGS THAT WE CAN USE IT FOR, UM, THE, THIS REMAINING AMOUNT, WHETHER WE, UM, USE ALL OF IT OR A PORTION OF IT TOWARDS BROADBAND, WE COULD USE SOME OF IT TOWARDS A NEW ERP SYSTEM. UM, WE COULD USE IT TOWARDS ADDITIONAL WASTEWATER PROJECTS. SO LIKE THOSE ARE SOME OF THE THINGS THAT ARE JUST KIND OF UP IN THE AIR AND WE'LL, SO THERE'S NO IN ORDER TO GET IT SPENT BY THE, THE TEAM EXACTLY. OR THE DECEMBER 31ST, 2024, IT KIND OF DEPENDS UPON WHICH THING MOVES FASTEST. SO THERE'S NO ISSUE ABOUT US BEING ABLE TO SPEND IT. RIGHT. WE'RE, WE'RE THINKING WE'LL BE FINE. OKAY. THANKS. OKAY. UM, SO THE, UM, JUDGMENTS, UM, SO, UM, WE'VE THROWN THAT IN, UM, AT THE REQUEST OF ACTUALLY THE PREVIOUS CITY ATTORNEY. SO, UM, WE'VE JUST HAD A HUNDRED THOUSAND IN THERE FOR JUST IN CASE OF ANY JUDGMENTS THAT THAT MAY OR MAY NOT COME UP. UM, AND THEN AS FAR AS WHAT'S IN YOUR BOOK SURE. BEFORE WE MOVE ON THAT, IS THAT SOMETHING THAT THE CURRENT CITY ATTORNEY STILL HAS WEIGHED IN ON AND AGREES WITH? I, I AGREE WITH THAT, YES. I MEAN, I DO TOO, BUT YOU, YOU'RE THE LEGAL MIND, SO YEAH. THAT, THAT CAN GO REAL QUICK. AND, UH, LUCKILY MOST OF OUR CLAIMS GO THROUGH THE RISK POOL, RIGHT. AND OUR DEDUCTIBLE'S 50,000, UM, AND THAT CAN USUALLY BE HANDLED OUT OF, UH, THE CITY ATTORNEY'S BUDGET. MM-HMM. , UH, BUT IF THERE'S ANYTHING MORE THAN THAT IS WHERE IT WOULD DROP INTO THIS, UH, TO USE THIS. OKAY. AND I DO CHECK WITH HIM AND SAY, ARE YOU OKAY WITH, IS THIS STILL THIS NUMBER? I FIGURED YOU DO, WOULD, WOULD, BUT A DIFFERENT NUMBER FOR THOSE WATCHING? YES, YES. OKAY, THANK YOU. UM, SO ON THE, THE TOURISM INITIATIVES CONTINGENCY, SO THAT WAS TAKING THE, UM, UH, BASE BUDGET AMOUNT FOR WHAT THE, UM, CURRENT CONTRACT AMOUNT, UM, HAS BEEN FOR THE, THE CHAMBER OF THE 1,670,000 AND THE DECISION PACKAGES THAT WE HAD EARMARKED TO COME FROM IT. SO THE 1.4 MILLION IS THE AMOUNT THAT'S LEFT FROM THAT. AND THEN WE'VE TALKED ABOUT, UM, VISITOR CENTER. UM, SO THAT WAS FOUR HUNDRED AND TWENTY FOUR TWENTY 4,000, UM, THAT GOT APPROVED THE OTHER NIGHT. UM, AND THEN WE'LL BE DOING ADJUSTMENTS FOR THE, UM, UH, THREE POSITIONS FOR THE TOURISM AND, AND ECONOMIC INITIATIVES DEPARTMENT AND ANYTHING ELSE THAT COMES UP. SO. OKAY. THANK YOU. OKAY. ALL, SO THE REALLY, THE ONLY THING IN GENERAL SERVICES ARE THOSE TWO DECISION PACKAGES THAT WE'RE OFFSETTING WITH THE, UM, CONTINGENCY AMOUNT. SO, UM, IT'S THE APPROVAL OF THOSE DECISION PACKAGES WOULD END UP IN A RESULT OF, OF THIS REDUCTION, UM, WITHIN THAT DEPARTMENT. SO ANY QUESTIONS ON GENERAL SERVICES? OKAY. I DON'T, THE REST OF THE COUNCIL DOES NOT. OKAY. SO MOVING ON TO FINANCE. SO IN FINANCIAL SERVICES, UM, WE'RE GOING FROM, UH, FISCAL YEAR 23. DIRECT COSTS 1.6 MILLION [01:30:01] TO FISCAL YEAR 24, 1 0.7. UM, WE DO HAVE A DECISION PACKAGE WE'LL TALK ABOUT IN A LITTLE BIT FOR 90,000. THE INCREASE IN ONGOING WAGES AND BENEFITS, UM, IS ABOUT 16,000. UM, WE, UM, ARE REDUCING OUR, UH, REQUEST FOR ONE TIME TEMP COSTS, UM, BY 14,000. UM, BUT THERE, THERE IS AN INCREASE IN THE FTES THAT WE WERE REQUESTING. WE THOUGHT IT WAS GOING TO BE A VERY SMALL PROJECT AND THE IMPLEMENTATION OF THE CONTRACT MANAGEMENT SOFTWARE SYSTEM WITH THE HIRING OF OUR PROCUREMENT OFFICER. AND THAT'S ONE OF THE AREAS THAT SHE'S, UH, DEALING WITH. AND IN COORDINATION WITH THE CLERK'S OFFICE, THE ORIGINAL ESTIMATE IS, OH, WE PROBABLY HAVE ABOUT 300 CONTRACTS AND WE'RE, I FORGET WHERE WE'RE AT ON THE TOTAL NUMBER OF CONTRACTS SO FAR, WELL OVER, UM, A THOUSAND CONTRACTS. IT ENDED UP BEING A MUCH MORE SIGNIFICANT PROJECT THAN WHAT WE THOUGHT. AND, UM, SO, UM, THERE'S STILL MORE TO GO ON THAT UNFORTUNATELY WE THOUGHT THIS WAS JUST LIKE A SMALL LITTLE THING TO DO AND IT JUST DIDN'T HAPPEN THAT WAY. UM, SO WE ALSO TRANSFERRED A PORTION OF THE VACANCY SAVINGS FROM GENERAL SERVICES TO CLAIMS. UM, WE DO HAVE, UM, WE HAD REQUESTED, UM, A COUPLE, OR ACTUALLY WAS IT LAST YEAR OR THE YEAR BEFORE, WE HAD REQUESTED, UM, AN ASSISTANT FINANCE DIRECTOR POSITION AT THIS POINT IN TIME. UM, WE ARE NOT RECRUITING FOR ASSISTANT FINANCE DIRECTOR POSITION. WE HAVE ESSENTIALLY LIKE DONE A LITTLE BIT OF, OF REORGANIZATION AND THE VACANCY OF THAT POSITION AND NOT GETTING, UM, QUALIFIED CANDIDATES WHEN WE DID TRY AND ADVERTISE. SO, UM, WE WE'RE TREATING IT KIND OF LIKE AN UNDERFILL OF, OF THAT FTE, UM, THAT WE'VE GOT. SO, UM, THERE WILL LIKELY STILL CONTINUE TO BE SOME VACANCY SAVINGS IN OUR, IN OUR DEPARTMENT AS A RESULT. UM, MERCHANT SERVICE FEES. SO WE DO HAVE AN INCREASE THERE. UM, THE, THE MORE WE GO TOWARDS HAVING, UM, PEOPLE PAY WITH CREDIT CARDS, UM, THE MORE WE SEE THAT THE, THE FEES GO UP, BUT IT CREATES A LOT OF EFFICIENCIES AS WELL OF HAVING THEM PAY WITH CREDIT CARD. AND, UM, SO IT'S A, IT'S A TRADE OFF IN THAT, UM, WE HAVE BEEN, UM, INCREASING THE AMOUNT THAT THE, UH, REIMBURSEMENTS ARE FOR THE SEPTIC TANKS, FOR THE, UH, PROPERTIES THAT ARE ON THE CLUSTER SYSTEMS. AND SO THERE IS AN INCREASE IN THOSE COSTS AND WE KIND OF KEEP AN EYE ON IT BECAUSE THEY'RE REQUIRED TO DO THEIR, THEIR PUMPING EVERY FOUR YEARS. AND SO DEPENDING UPON WHERE THEY'RE AT IN THE CYCLE, IT CAN INCREASE OR DECREASE HOW MANY OF THOSE REIMBURSEMENTS WE'RE ACTUALLY DOING DURING THE YEAR. UM, THE OVERALL CHANGE, 6% AND THE, ON THE ONGOING SIDE, IT'S A 5% INCREASE FOR FINANCE. YES. MA SHERRY? YES. ON THE, UH, SEPTIC TANK REIMBURSEMENTS, I KNOW THAT SOMETIMES WE CAN GET BEHIND THE CURVE. THE SEPTIC TANK FOLKS ACTUALLY CHARGE MUCH MORE THAN THE, ALL THE ALLOTTED REIMBURSEMENT IS DO WE KNOW WHERE WE ARE. AND IN THAT REGARD, THESE DAYS, I, I THINK WE'RE IN A PRETTY GOOD PLACE, UM, IN THE LAST CYCLE. UM, IT'S, IT'S INCLUDED ON OUR CONSOLIDATED FEE SCHEDULE, EVEN THOUGH IT'S A REIMBURSEMENT TOO. BUT WE THOUGHT THAT WAS A GOOD PLACE TO GET COUNSEL'S APPROVAL OF WHAT THOSE AMOUNTS ARE. AND, UM, SO IT WAS INCREASED PRETTY HEFTILY THE LAST TIME BECAUSE OF THE INCREASES THAT THEY WERE SEEING. AND WE WILL BE TALKING WITH PUBLIC WORKS AGAIN ON WHAT THEY, THEIR THOUGHTS ARE, UM, OF SHOULD WE DO ANOTHER INCREASE OR ARE WE OKAY? UM, BUT AS FAR AS THE REIMBURSEMENT REQUESTS THAT WE'VE BEEN GETTING IN, UM, IT LOOKS LIKE WE'RE AT A PRETTY DECENT SPOT, BUT JUST TO BE PROACTIVE, WE MIGHT, WE'LL, WE'LL LOOK AT IT. WHAT, WHAT ARE WE TELLING OUR RESIDENTS WHEN WE HAVE SAID AMOUNT, BUT THEN THEY GET A QUOTE AND IT COMES, IT COMES BACK HIGHER THAN THAT. WHAT, WHAT'S THE ACTION THAT WE TELL PEOPLE? WELL, WE GIVE THEM A LIST OF THE, THE CONTRACTORS THAT WILL DO THAT, AND THOSE PRICES CAN VARY A LOT. AND SO THEY MAY GO AND JUST GET ONE QUOTE AND GET A REALLY HIGH PRICE. WHEREAS WE, WE SUGGEST THAT THEY SHOP AROUND BECAUSE A LOT OF TIMES THE OTHER CONTRACTORS WILL STICK WITHIN THE RATE THAT WE PAY. WHAT IS THE RATE WE PAY? I KNOW YOU'RE GONNA ASK ME THAT. I DON'T REMEMBER OFF THE TOP OF MY HEAD. ONE, ONE THING I WAS JUST GONNA MENTION, UM, ONE OF THE VARIABLES THAT, THAT YOU CAN SEE FROM PROPERTY TO TO PROPERTY IS, UH, YOU KNOW, SOME PEOPLE MAY HAVE LIVED ON A CERTAIN PROPERTY FOR QUITE A WHILE AND THEY KNOW WHERE THEY'RE, YOU KNOW, UM, ACCESS POINT IS FOR THEIR SEPTIC SYSTEM AND OTHERS ARE NEW TO THE PROPERTY OR WHATEVER THE CASE, BUT HAVE NO IDEA WHERE IT IS . AND THAT CAN BE MORE EXPENSIVE. UM, YOU KNOW, TO, TO [01:35:01] CALL IN A, A COMPANY TO COME BACK THAT OUT AND SEARCH FOR THAT ACCESS POINT, YOU KNOW? UM, SO THE MORE WE CAN GET THE WORD OUT TO REALTORS AND FOLKS TO LET THEM KNOW THAT IT'S IMPORTANT TO KEEP TRACK OF THAT KIND OF INFORMATION BEFORE, YOU KNOW, OWNERSHIP CHANGES OVER AND THEY LOSE THAT HISTORY. UM, WE SOMETIMES WE MIGHT HAVE THE HISTORY WITHIN PUBLIC WORKS, BUT OFTEN WE DON'T. SO THAT CAN SAVE HOMEOWNERS, UM, YOU KNOW, AND COST. YEAH. FOR FULL DISCLOSURE, I'M IN THIS ZONE AND SO, BUT I COULDN'T TELL YOU WHAT THE REIMBURSEMENT RATE IS CUZ IT'S EVERY FOUR YEARS AND MY WIFE PAYS THE BILLS. SO THAT'S A WONDERFUL THING. AND WE ACTUALLY HAD TO PAY W THE LAST PERSON THAT WE WENT TO A NEW FIRM AND THEY HAD SAID, YOU KNOW, YOU'RE ACTUALLY PUMPING FROM YOUR OUTLET, NOT YOUR INLET. AND SO THEN WE HAD TO GO PAY TO TO DO THAT TOO. BUT NOT ONCE HAVE WE HIRED A FIRM THAT WE HAVE A GOOD REPUTATION THAT'S COVERED THE ENTIRE COST. WE'RE ALWAYS PAYING 20, 30, $40 EXTRA. SO, UM, SORRY, MY INTERNET CONNECTION DOWN AGAIN OR THE WIFI CONNECTION IS DOWN AGAIN FOR SOME REASON, BUT IT IS 46 CENTS A GALLON. THERE'S DIFFERENT SIZE TANKS, SO DEPENDING UPON THE SIZE OF THE TANK, THEN IT'S 46 CENTS OF THE GALLONS IN, OF THE SIZE OF THE TANK. UM, SO I, WE DO, WE DO HAVE MANY OF THEM THAT ARE WITHIN, WITHIN THAT AMOUNT. SO, AND THEN HOW DO PEOPLE KNOW IF THEY'RE IN THIS ZONE OR NOT? WHO DO THEY CONTACT? PUBLIC WORKS OR SOMEONE ELSE I TO KNOW IF THEY'RE IN THE ZONE, UM, THEY CAN CALL PUBLIC WORKS. AND I THINK THAT, I THINK THAT'S OFTEN WHAT DOES HAPPEN. I DON'T KNOW IF YOU GUYS GET A LOT OF CALLS AS WELL IN FINANCE. WELL, WE, WE ALSO SEND LETTERS SAYING THAT THEY'RE DUE FOR PUMPING. OH, RIGHT. SO, SO THEY ALSO GET THAT NOTIFICATION AS WELL. UM, AND WHEN IT'S PROPERTY THAT CHANGES HANDS, LIKE WE HAVE LIKE A WHOLE LIST OF THINGS THAT, UM, MOSTLY IT'S THE TITLE COMPANIES IN TOWN. IF IT'S AN OUT-OF-STATE TITLE COMPANY, THEY DON'T NECESSARILY KNOW TO CONTACT US, BUT WE PROVIDE ALL SORTS OF INFORMATION RELATED TO WASTEWATER, UM, WHEN THEY CALL. THANK YOU. OKAY. OKAY. UM, SO WITHIN FINANCE, THE, UH, ONE TIME COST ABOUT 99,000. UM, WE'LL TALK ABOUT THE DECISION PACKAGE. WE'VE GOT 29,000 IN THERE FOR, UM, TEMPORARY, UH, HELP. AND THEN THE ROLLOVER AMOUNT FOR THE WASTEWATER RATE STUDY ABOUT $30,000. UM, AND WE, WE'LL TALK MORE ABOUT THE WASTEWATER RATE STUDY, UM, LATER THIS AFTERNOON WHEN WE'RE TALKING ABOUT THE WASTEWATER FUND. CAN YOU GO OVER THE TEMPORARY EMPLOYEES, JUST EXPLAIN WHAT, WHAT THEY, SO, SO THAT, CAUSE YOU'RE FULLY STAFFED. SO YEAH. SO THAT'S THE PROJECT I WAS JUST TALKING ABOUT WITH THE CONTRACT MANAGEMENT SOFTWARE AND THAT IMPLEMENTATION. OKAY. I WAS OUT. OKAY. OH, YOU, YEAH, YOU WERE, YOU WERE NOT IN THE ROOM WHEN WE TALKED ABOUT THAT. SO, UM, AND THEN, THEN JUST A LITTLE BIT OF HELP WITH, UM, OUR REVENUE TEAM. WE HAVE, UM, A SUPERVISOR WHO'S FAIRLY NEW AND THE TWO, UM, ACCOUNTING TECHNICIANS THAT ARE IN THAT, THAT ARE LIKE REALLY BRAND NEW. UM, AND SO, UM, IT DOESN'T TAKE MUCH FOR LIKE, YOU KNOW, ONE PERSON TO BE ON VACATION OR OUT SICK OR WHATEVER. AND, UM, IT, IT'S VERY HELPFUL TO HAVE OUR, UM, FORMER, UH, POSITION EMPLOYEES THAT ARE RETIRED, UM, THAT ARE, HAVE BEEN VERY NICE ABOUT COMING BACK AND HELPING. UM, AND THEY'VE COME BACK TO DO SOME ADDITIONAL TRAINING AND THINGS. SO IT'S REALLY HELPFUL TO BE ABLE TO HAVE THEM DO THAT. THANK YOU. OKAY. SO ON THE DECISION PACKAGES, UH, THE FIRST ONE, THE INVESTMENT ADVISORY AND CONSULTING SERVICES, UH, RECOMMENDATION FROM CITY MANAGER. AND YOU HEARD FROM THE CITIZENS BUDGET WORK GROUP YESTERDAY THAT THEY WERE NOT A FAN OF THE ESG COMPONENT. UM, WE ORIGINALLY, UM, STARTED HAVING CONVERSATIONS. THERE WAS SOME REQUESTS, UM, SOME DISCUSSION WITH SOME OF THE, UH, COUNCIL MEMBERS ABOUT ARE WE INVESTING IN FOSSIL FUELS? UM, DIVESTING FROM THAT, WHAT CAN WE DO? UM, AND WE, WE DON'T INVEST IN FOSSIL FUELS DIRECTLY. WHETHER WE ARE INDIRECTLY IS REALLY NOT EASY TO TELL. WE HAVE BEEN VERY CONSERVATIVE IN THE WAY THAT WE'VE BEEN INVESTING WHERE IT'S BEEN PRIMARILY, UM, US GOVERNMENT AGENCIES, UM, SO LIKE FEDERAL HOME LOAN BANK, FANNIE MAE, SOME OF THAT KIND OF STUFF. UM, AND THEN CDS, UM, AS FAR AS LIKE THE CDS, IF IT'S A BANK THAT, UM, [01:40:01] HAS DEPOSITS FROM THE LOCAL GAS STATION OR THINGS LIKE THAT, LIKE THAT COULD BE AN INDIRECT, UM, INVESTING IN FOSSIL FUELS, BUT WE REALLY WOULD NOT HAVE THAT INFORMATION. UM, THERE WAS REALLY AN INTEREST IN THIS AND I'M, I'M INTERESTED SELFISHLY IN JUST THE SUPPORT OF A FINANCIAL ADVISOR TO TAKE SOME OF THIS OFF MY PLATE, UH, BECAUSE I REALLY DON'T HAVE A LOT OF CAPACITY TO, TO DEAL WITH THIS. AND SO I LOOK AT IT, UM, NOT NEARLY AS OFTEN AS WHAT, UM, WE COULD, UM, IF WE HAD THE CAPACITY. AND SO THAT, THAT ALSO LEADS TO ME BEING VERY CONSERVATIVE IN WHAT WE'RE DOING. UM, AND JUST WITH THE, THE BIG DOLLARS THAT WE'VE BEEN TALKING ABOUT, I'M TRYING TO KEEP LIQUIDITY AND, UM, SO IT'S, IT'S A BALANCING ACT OF TRYING TO FIGURE OUT, OKAY, WELL HOW MUCH LIQUIDITY DO WE NEED? AND IT'S, IT, IT'S REALLY HARD TO TELL SOMETIMES. UM, WE HAD, UM, TALKED AROUND, UM, TO A LOT OF THE, THE DIFFERENT ADVISORS ABOUT THEIR EXPERIENCE WITH ESG AND UM, AT THAT POINT IN TIME THERE WASN'T A LOT GOING ON, BUT THERE IS ONE, UM, OF THE, UH, ADVISORS THAT HAD BEEN HELPING, UM, MUNICIPALITIES GO DOWN THIS PATH. AND SO AT THIS POINT, THEY'RE THE ONES THAT HAVE THE MOST EXPERIENCE WITH IT. UM, AND ALTHOUGH SOME OF THE OTHERS HAVE STEPPED IN THAT MARKET, UM, UH, SO I, I DEFINITELY HAVE THOUGHTS ON, YOU KNOW, WHERE I THINK WE SHOULD GO WITH THIS OF WHO WE SHOULD GO FOR AN ADVISOR, THE, THE COMPANY THAT DOES THIS, THEY ALSO DO CONSULTING SERVICES FOR, UM, BANKING SERVICES, RF FEES. SO ONE OF THE THINGS THAT, UM, WE HAD, UH, GOTTEN A COMMENT FROM FORMER SUSTAINABILITY STAFF WAS NOT LIKING THE IDEA OF US BANKING WITH WELLS FARGO BECAUSE WELLS FARGO WAS PART OF FINANCING THE DAKOTA PIPELINE. MM-HMM. . UM, AND SO WE ALSO HAVE NOT DONE A BANKING SERVICES RFP. LIKE, I DON'T KNOW WHEN, MAYBE NEVER, I'M NOT SURE, BUT IT'S ACTUALLY A GOOD THING TO DO, NOT ALL THE TIME BECAUSE IT'S A BIG DEAL TO CHANGE, BUT TO MAKE SURE THAT WE'RE GETTING THE BEST RATES THAT WE CAN. UM, WELLS FARGO'S BEEN PRETTY PROACTIVE WITH US. IT'S BEEN PRETTY GOOD OF LIKE, HEY, LIKE HERE'S AN OPPORTUNITY WHERE WE CAN HELP SAVE YOU SOME MONEY. SO THEY DO COME TO US AND BRING THAT INFORMATION. BUT WHAT I'M THINKING, CUZ IN THE PAST I'VE SAID, YOU KNOW WHAT, ESPECIALLY IF WE'RE CHANGING, UH, BANKING SERVICES, THAT IS MAJOR. AND SO I'VE BEEN ASKING TO PUSH THIS OFF, UM, THE LAST COUPLE YEARS OR SO, BUT NOW THAT WE'RE SAYING E R P IS A NUMBER ONE PRIORITY, MY THOUGHT IS, IS THAT IF WE CAN WORK THIS OUT TO WHERE WE HAVE A GOOD TIMING, THAT WE'RE NOT SWITCHING BANKING SERVICES AND THEN REDOING EVERYTHING IN A NEW E R P SYSTEM OR IN A NEW ERP SYSTEM USING OUR CURRENT BANKING SERVICES AND THEN SWITCHING EVERYTHING AROUND AGAIN IN THE NEW E R P SYSTEM, LIKE IF THERE'S SOMETHING THAT CAN BE DONE TO HELP TIME THAT, UM, SO THAT'S WHY I'M SAYING I THINK WE SHOULD GO AHEAD. THE, THE COMPANY THAT I'M, UM, WANTING TO GO WITH, LIKE THEY WOULD ACTUALLY COME AND DO A WORK SESSION WITH COUNCIL TO TALK THROUGH WHAT ARE YOUR GOALS, WHAT ARE YOUR PRIORITIES, UM, TO HELP US ALSO UPDATE OUR INVESTMENT POLICY AND HOW WE WOULD HANDLE THIS. THE WORK GROUP HAD MENTIONED, UM, ESG SCORES OF LIKE, I THINK ONE OF THE THINGS MENTIONED WAS LIKE, UH, OIL COMPANY HAD A HIGHER SCORE THAN TESLA. WELL THE, THERE'S AN OVERALL SCORE, BUT THERE'S COMPONENTS TO THE SCORE MM-HMM. . AND SO THE CONSULTANTS, THE ADVISOR COULD HELP YOU LOOK AT THAT AND YOU COULD COME TO WHAT IS THE POLICY DIRECTION YOU WANT TO GO. UH, BECAUSE THERE'S THE E IS THE ENVIRONMENTAL, S IS THE SOCIAL, G IS THE GOVERNMENT. IT'S, YOU COULD SAY, WELL I WANT AN ECORE OF AT LEAST THIS, I WANT AN S SCORE OF THIS A G SCORE AND AN OVERALL SCORE. LIKE, I MEAN, YOU COULD DO WHATEVER YOU WANT. UM, SO, SO THAT WOULD BE, UM, ONE OF THE THINGS THAT THEY RECOMMEND IS HAVING A WORK SESSION WITH COUNSEL TO, TO FIND OUT REALLY WHERE YOU ALL ARE AT AND WHERE YOU WHERE YOU WANNA GO WITH THIS. SO, UH, THE END JOB, HOLD ON. CHERRY. YES. JESSICA HAS A QUESTION FOR YOU. I JUST HAVE A, I'M SORRY, I HAVE A, JUST A SIMPLE QUESTION. UM, THE CITIZEN COMMITTEE IS NOT A FAN OF ESG. IS THAT A PHILOSOPHICAL POINT OF VIEW OR IS THERE ANY REASON BEHIND THAT? DO THEY JUST LO NOT LIKE THE IDEA? I I KNOW SOME PEOPLE DON'T LIKE THE IDEA OF SOCIAL JUSTICE AS, AND SO I JUST WANT TO KNOW WHAT THE BASIS, IF THEY EXPRESSED ANY BASIS THEY, THEY'RE CONCERNED THAT THIS WOULD ARTIFICIALLY [01:45:01] REDUCE OUR YIELD. OKAY. UM, AND SO THAT'S A LOT OF WHERE THEY'RE COMING FROM IN THIS MM-HMM. , THAT'S FINE. HOWEVER, WHEN I'VE TALKED TO UM, THE, THE ADVISOR, LIKE THEY SAID, THEY'VE ACTUALLY SEEN SOME ORGANIZATION ORGANIZATIONS INCREASE THEIR YIELD RIGHT. GOING THIS, SO, AND I TOLD NO, I JUST TOLD, I TOLD THE WORKERS THAT, BUT THEY STILL WERE LIKE, NO, I UNDERSTAND. I EXPECT IT'S A PHILOSOPHICAL ISSUE. UM, EVEN THOUGH THEY SAY IT'S YIELD. CUZ WHEN YOU TELL THEM THAT AND THEY DON'T CHANGE, IT GOES BACK TO KIND OF, WHICH IS FINE. WE ALL HAVE A PHILOSOPHY. SO I JUST WANTED TO VERIFY THAT. THANK YOU. YES. KAREN, DID YOU HAVE SOMETHING? I DID. SO IT, WHEN YOU THINK ABOUT E S G BEING ENVIRONMENT, SOCIAL AND HOW ENGAGED THEIR GOVERNANCE IS AROUND POSITIVE CHANGE IN THE WORLD MM-HMM. , THAT IS EXTREMELY SUBJECTIVE. THE ENVIRONMENT IS PROBABLY THE LEAST SUBJECTIVE. AND AS WE KNOW, THAT IS ALSO CONTROVERSIAL. AND, AND SO I THINK FROM A POLICY PERSPECTIVE, THE COUNCIL HAS MADE SOME CLEAR DECISIONS ABOUT WHERE YOU ARE ALL WITH ENVIRONMENT, WITH SUSTAINABILITY, WITH CLIMATE ACTION IN TERMS OF SOCIAL ISSUES IN THE WORLD. UM, THAT'S FAR MORE SUBJECTIVE. SO I THINK THERE'S ALSO SAYING IF THIS, IF THE INTENTION OF THIS EFFORT IS TO GET SOME ADVISORY SERVICES ON BOARD AND FREE UP, YOU KNOW, SHERRY, WHO MM-HMM. , YOU KNOW, GET SOME EXPERTISE, PAYS MORE ATTENTION AND GET THE MAXIMUM YIELD THAT THIS OTHER PIECE OF IT MIGHT NOT BE EITHER NECESSARY OR EVEN PRUDENT. YEAH. BECAUSE IT'S SUBJECTIVE VALUES IS SUBJECTIVE. UH, BRIAN'S NEXT AND PETE, THANK YOU MAYOR. UM, MY PHILOSOPHY ON THIS IS THAT THERE SHOULD BE NO PHILOSOPHY ON THIS AND THAT THIS IS ABOUT OBTAINING MAXIMUM YIELD. AND I DON'T REALLY UNDERSTAND WHY THIS IS POSITIONED ALMOST LIKE PHILOSOPHY FIRST AS OPPOSED TO THE BENEFIT OF PROFESSIONAL MONEY MANAGEMENT TO MAXIMIZE YIELD. SO THAT'S JUST WHAT JUMPS OFF THE PAGE AT ME. I'M ALL FOR ESG RELATED THINGS, BUT I DON'T BELIEVE THAT PHILOSOPHICALLY THAT IT HAS A ROLE TO PLAY IN HOW OUR CITY OBTAINS ITS OPTIMAL YIELD. AND MY READING IN THIS MATTER IS, IS THAT ESG GENERALLY DOES LAG A NON-FOCUSED E ES G INVESTMENT STRATEGY. SO I'M NOT SURE THAT, I ACTUALLY HAVE A QUESTION HERE ON THIS AND AND COUNSELOR, MAYBE I COULD ANSWER. THE FIRST PART OF THAT IS, SO THERE HAS BEEN PREVIOUS DISCUSSION AMONGST THE COUNCIL AND I'M, I DON'T KNOW IF IT WAS AT A RETREAT OR SOME OTHER DURING SUSTAINABILITY UPDATES THAT, THAT THIS WAS REQUESTED WITH AN ESG FOCUS. SO THAT'S WHY STAFF BROUGHT IT THIS WAY. BUT MY RECOMMEND IS ALIGNED WITH THE CITIZEN BUDGET WORK GROUP THAT THIS IS ALSO A LITTLE BIT OF A, A DANGEROUS AREA DEPENDING ON PEOPLE'S PERCEPTION AND VALUES AND, AND HOW THEY DETERMINE WHAT THAT IS AND WHAT INVESTMENTS THEY CHOOSE BECAUSE OF IT. PETE'S NEXT AND THEN KATHY. AND, AND SO WHEN WE GET TO THE POINT OF EVALUATING DECISION PACKAGES LATER TODAY, THEN THIS IS GONNA COME UP AND WE'RE GONNA SAY YAY OR NAY. BUT THEN THERE'S ALSO WHETHER TO AMEND OR NOT AMEND ACCORDING TO EITHER CITY MANAGER RECOMMENDATION OR THE CITIZEN BUDGET OR GROUP RECOMMENDATION. CORRECT. LIKE THAT'S, IT'S HANDLED INDIVIDUALLY WHEN WE GET TO THAT POINT TODAY, CORRECT. COR CORRECT. AND SO THE, THIS ESTIMATION OF THE COST IS, UM, NOT DEPENDENT IN ANY WAY ON ANY ESG COMPONENT. AND SO, UM, THAT COULD BE DECIDED LATER. LIKE WE COULD HAVE THAT WORK SESSION TALK, TALK TO THEM, GET THE INPUT DIRECTLY FROM THEM CUZ THEY'RE MUCH MORE WELL VERSED IN THAT THAN I AM. UM, AND MAKE A DECISION AT THAT POINT IN TIME. OKAY. THANK YOU. THANK YOU MAYOR. OKAY, PETE, THANK YOU MAYOR. SHERRY, JUST REMIND ME PLEASE OF WHAT IS THE DOLLAR THAT WE GET INVESTMENT RETURNS TODAY? I'M, I'M TRYING TO LIKE WHAT'S THE OPPORTUNITY COST HERE? WHAT POTENTIALLY WE COULD GET, HOW MUCH MORE WITH A MORE SOPHISTICATED FINANCIAL MANAGEMENT STRATEGY? UH, IT, IT'S REALLY HARD TO ESTIMATE ON THAT. AND THE, THE REASON WHY THERE IS A, A FEE THERE, BECAUSE THIS WOULD BE A LITTLE BIT DIFFERENT ARRANGEMENT BECAUSE [01:50:01] A LOT OF TIMES WHEN YOU GO, UM, DIRECTLY WITH LIKE THE BROKERS, THEN THEY'RE REALLY CHARGING THEIR FEE AND NETTING IT IN WHAT YOUR RETURN RATE IS. WHEREAS THIS WOULD BE, WE WOULD GET THE FULL AMOUNT OF THE RETURN AND UM, AND THEN THEIR, THEIR FEE WE WOULD PAY BASED OFF OF POINTS. I'M TRYING NOT TO ASK BRIAN'S QUESTION ABOUT RETURN ON INVESTMENT HERE, BUT THAT'S THE QUESTION I'M REALLY ASKING IS, YOU KNOW, WHAT KI IS IT WE'LL SPEND $90,000, $50,000 ONGOING, WE EXPECT TO GET $90,000 MORE IN RETURN OR, UM, SO, SO I DON'T REALLY HAVE A AN ANSWER FOR YOU ON THAT, BUT I I WOULD EXPECT THAT IT'S A FEW HUNDRED THOUSAND DOLLARS MORE THAT WE WOULD GET. OKAY. AND, AND, AND JUST BECAUSE WE ARE CHIPPING IN HERE ON THESE PHILOSOPHICAL ISSUES THAT I, I, I THINK ABSOLUTELY I TRUST YOUR AND OUR CITY MANAGER'S KIND OF RATIONALITY ON HOW TO BALANCE THIS RETURN AND THE IMPORTANCE OF RETURN AND FISCAL RESPONSIBILITY WITH THE CONCEPTS THAT ARE EMBEDDED IN ESG. SO KATHLEEN AND ALGO, I'M A LITTLE UNCOMFORTABLE WITH THE FACT THAT THIS IS BEING COUCHED AS JUST PHILOSOPHY AND PHILOSOPHY VERSUS, YOU KNOW, UM, FISCAL PRUDENCE. THAT'S A GOOD TERM FOR IT. THANK YOU. BECAUSE I DO THINK THAT YOU DON'T KNOW WHAT YOU DON'T KNOW UNTIL YOU KNOW IT. AND WE'RE LOOKING FOR SOMEBODY TO GET ADVICE ON PLACES THAT WE MAY NOT OTHERWISE CONSIDER THIS, IS, THIS WOULD YIELD INFORMATION THAT WE HAVE NOT BEEN PURSUING BY GOING WITH AN ESG FOCUS, UM, ADVISOR. AND I DON'T LOOK AT THIS AS PHILOSOPHY, I LOOK AT THIS AS POLICY. WE HAVE A CLIMATE ACTION PLAN, WE HAVE GOALS THAT WE ARE TRYING TO REACH. WE NEED TO BE REDUCING, UM, OUR FOOTPRINT AND OUR RELIANCE ON THINGS THAT HAVE A FOOTPRINT THAT DISAGREES WITH OUR POLICY, NOT PHILOSOPHY. WE HAVE TO BE CLEAR ABOUT THOSE TWO PS SEPARATING WHAT THEY MEAN. AND I THINK THAT E S G, UM, INFORMATION FOR THE CONSIDERATION, IT MAY NOT DRIVE EVERY DECISION THE SAME AS WE GET ADVICE FROM STAFF ALL THE TIME ON ZONING ISSUES, ON LEGAL MATTERS, ON WHATEVER, YOU KNOW, AND THERE ARE TIMES THAT, YOU KNOW, STAFF IN THE POSITION OF MAKING THE DECISION HAS TO SAY, WELL, I APPRECIATE THE ADVICE AND IT'S GOOD TO KNOW AND IT FACTORS INTO A DECISION OR I HAVE TO NOT FACTOR IT IN. I'M GOING, GOING TO DISREGARD THE ADVICE BECAUSE THAT'S WHAT IT IS. ADVICE, UH, I I I AM WOULD BE, I WOULD REALLY LIKE TO SEE WHEN THIS DOES PROCEED THAT THE ESG COMPONENT BE LEFT IN IT FOR THOSE REASONS OF WE NEED MORE INFORMATION TO HELP US IMPLEMENT POLICY THAT WE HAVE ADOPTED VICE MAYOR. I CONCUR. I I THINK WE DON'T HAVE TO TAKE THEIR ADVICE, BUT I WANNA KNOW IT. WHAT IF THE HIGHEST YIELD IS ALSO FOR THE GREATEST GOOD? WOULDN'T THAT BE A WONDERFUL THING FOR US TO BE ABLE TO DO? AND WITHOUT THE INFORMATION, WE WON'T KNOW THAT. SO I WOULD BE VERY RELUCTANT TO MOVE FORWARD WITHOUT AN ESG COMPONENT THAT GIVES US INFORMATION UPON WHICH TO MAKE A DECISION, WHICH WE CAN DISREGARD IF THE YIELD IS LOWER AND WE FEEL THAT THE YIELD COMPONENT IS MORE IMPORTANT, THAT IS A DECISION WE CAN MAKE LATER ON. BRIAN, I DO NOT DISAGREE WITH YOU, VICE MAYOR OR COUNCILOR KINSELLA. THANK YOU. THANK YOU. OKAY, THEN THAT ANSWERED MY QUESTION TOO ON MY POINT. OKAY, NEXT. SHERRY, CAN I JUST, UH, I I JUST WANT TO BE CLEAR THAT TYPICALLY WHEN WE DO SET POLICY, AND I THINK WE HAVE ON THE ENVIRONMENT SIDE, I DON'T KNOW THAT WE HAVE ON THE SOCIAL AND THIS OTHER GOVERNANCE COMPONENT WE DO, WE MAKE A CONCERTED EFFORT TO ENGAGE THE COMMUNITY AROUND SHARING WHAT THEIR VALUES ARE IN ORDER TO INFLUENCE THE SEVEN OF YOUR DECISIONS AROUND HOW YOU SET POLICY AND WHAT ARE THE, THE WHAT, WHAT'S, WHAT ARE THE VALUES. SO BECAUSE THIS IS VALUES BASED AND YOU WILL HAVE TO MAKE POLICY DECISIONS AROUND THIS, WE DO NOT HAVE A PLAN, A PROCESS TO GO OUT TO THE COMMUNITY TO FIND OUT WHAT THEY BELIEVE IN TERMS OF THESE OTHER COMPONENTS, UM, IS, IS OF VALUE TO, TO THE COMMUNITY. SO I JUST, I WANNA MAKE THAT CLEAR THAT THAT ISN'T PART OF THIS. UNDERSTOOD. UH, JESSICA? YES. COULD YOU CLARIFY WHAT GOVERNANCE MEANS IN THE TERMS [01:55:01] OF, OF E S G? IT DOES. SO THE QUESTION IS HOW DOES THE COMPANY'S BOARD OF DIRECTORS AND MANAGEMENT DRIVE POSITIVE CHANGE? SO BASICALLY POSITIVE CHANGE IN THE WORLD. . OKAY. UH, THANK YOU. UM, I HAVE ANOTHER QUESTION THAT I THINK FURTHER ON THAT PART OF WHAT THE WAY FORBES DESCRIBES IT IS, UM, INCLUDES EVERYTHING FROM ISSUES SURROUNDING EXECUTIVE PAY TO DIVERSITY AND LEADERSHIP AS WELL AS HOW WELL THE LEADERSHIP RESPONDS TO AND INTERACTS WITH SHAREHOLDERS. UM, YEAH, I GUESS MY INCLINATION HERE, JUST I GUESS I COULD ADD IT HERE, IS TO GO, IS TO USE THE INFORMATION IN LINE WITH OUR ALREADY EXISTING POLICY. UM, AND SO NOT NECESSARILY CONSIDER FACTORS THAT DON'T REFLECT A POLICY OR PROGRAMS SUCH AS SUSTAINABILITY. UH, WHICH WE, WE HAVEN'T YET ESTABLISHED. I GUESS I'M TALK, WELL, I'M NOT GONNA GO INTO WHAT I'M NOT TALKING ABOUT. OKAY. THAT'S AN 800 I THINK, HOUR DISCUSSION. UM, BUT I, BUT I AGREE THAT INFORMATION IS ALWAYS USEFUL, KATHY, AND, AND I THINK THE WORK SESSION WITH THE, UM, ADVISORS RIGHT, WOULD HELP EDUCATE ALL OF US A LOT MORE ON WHAT THEY WOULD SUGGEST. I AGREE. AND I YEAH, BECAUSE MAYBE WE DON'T REALLY WANNA CONSIDER THAT AS A FACTOR, BUT MAYBE WE ALSO DON'T WANT, LIKE OKAY, WELL IF THEIR SCORE IS JUST TERRIBLE. NO, I UNDERSTAND. SO MAYBE WE DON'T WANNA INVEST IN, I THINK THE QUESTION IS WHETHER WE MOVE AHEAD WITH GA WITH THIS SO THAT WE GET THE OPPORTUNITY TO ACTUALLY INTERACT, UM, ON ALL OF THESE ISSUES THAT WE'RE TALKING ABOUT. I THINK THAT'S THE ISSUE FOR ME. THANK YOU. WITH THE DECISION PACKAGE, YOU WOULD RECOGNIZE ME. YEAH, MELISSA WILL BE UP. GOTCHA. THANK YOU. UM, YEAH, I JUST WANNA SAY WE DO HAVE OTHER POLICIES THAT WOULD INFORM SOME OF THESE THINGS BEYOND, UM, JUST SUSTAINABILITY AND ENVIRONMENTAL, SUCH AS IN THE AREA OF GOVERNANCE. IT'S, THAT'S ONE OF THE ONES THAT SEEMS TO BE MORE UNCLEAR, BUT IT'S SOMETHING WHERE LIKE DIVERSITY ISSUES WOULD BE CONSIDERED, WE HAVE A NON-DISCRIMINATION POLICY. UH, IF THERE IS SOMEBODY WITH, UH, SCORES THAT ARE, THAT WOULD FLY IN THE FACE OF WHAT WE HAVE AS OUR NON-DISCRIMINATION POLICY, THAT WOULD BE INFORMATION THAT WOULD BE VALUABLE TO KNOW. AND THAT'S WHAT THIS WOULD, SO IT IS BEYOND ENVIRONMENTAL. WE DO HAVE OTHER POLICIES THAT MIGHT APPLY. I JUST WANTED TO POINT THAT OUT. MELISSA. THANK YOU. UM, I'M SURE WHEN I STEPPED AWAY SOMEONE MENTIONED THIS, BUT THIS, UM, DECISION PACKAGE GOES BEYOND WHETHER OR NOT WE USE AN ESG COMPONENT, WHICH IS WHAT I'VE HEARD MOST OF THE DISCUSSION AROUND THIS IS ALSO, UM, BEING USED TO HELP FACILITATE THE FACT THAT OUR FINANCIAL DIRECTOR HAS A LOT OF WORK ON HER PLATE AND THAT THIS WILL TAKE SOME OF THAT WORK OFF OF HER PLATE STILL ALLOWING FOR THE, UM, HIGHER YIELD THAT WE HOPE AS A, AS A FINANCIALLY RESPONSIBLE GROUP WILL HAPPEN FOR THE COMMUNITY. AND SO LET'S NOT LOSE THAT PART OF THIS DECISION PACKAGE IN A DECISION ABOUT WHETHER OR NOT WE WANT THE YIELD TO BE BASED ON ESG OR NOT. I JUST WANTED TO MENTION THAT THERE'S MORE TO THIS THAN JUST ESG. AND, AND THAT WAS ACTUALLY ONE OF THE, THE THINGS THAT THE WORK GROUP COMMENTED THAT THEY WERE SHOCKED THAT THE SIZE OF THE PORTFOLIO WE HAVE, THAT WE DON'T HAVE A PROFESSIONAL MANAGER. SO IT IS A GOOD IDEA. OKAY. ALL RIGHT. AND JUST LET COUNCIL KNOW, WE'LL TAKE A BREAK AFTER, UH, THIS COMPONENT FOR, UH, COMM DEV. OKAY. TOLD HER. SO, OH, WE'RE GOING TO COMM DEV? NO, WHEN YOU WAIT THERE, THERE'S ONE MORE DECISION PACKAGE JUST LETTING YOU KNOW THAT WE WILL BE BECAUSE THANK YOU. I'M SORRY, I LOST THE, I LOST THE THREAD . THAT'S OKAY. GO AHEAD. SO, UM, UH, WE HAVE HAD THE INTERNAL CONTROL AUDIT THAT WE HAVE REQUESTED TO DEF DEFER, AND I'M REQUESTING AGAIN AND UM, UH, KAREN AND THE, UH, WORK GROUP HAS SUPPORTED MY REQUEST THAT WE DEFER THE INTERNAL CONTROL AUDIT. UM, PART OF THE REASON WHY I'M LOOKING AT THAT IS BECAUSE OF THE E R P SYSTEM BEING A NUMBER ONE PRIORITY. AND PART OF WHAT WE WOULD DO IN THE E R P SYSTEM IMPLEMENTATION AND CONSULTANTS THAT WOULD HELP US WITH THAT IS LOOK AT BUSINESS PROCESS RE-ENGINEERING. SO PROCESSES MAY CHANGE IN THIS AND WE MAY BE AUDITING AN OLD PROCESS AND THEN WE HAVE A NEW PROCESS WITH THAT CHANGE. UM, ONE OF THE THINGS THAT IS HIGHLY RECOMMENDED, UM, AND THAT I BELIEVE WITH E R P SYSTEMS IS THAT YOU YES, SOME CUSTOMIZATION TO FIT OUR UH, NEEDS, BUT [02:00:01] ANYTHING WHERE, LIKE THERE'S NOT AN ABSOLUTE NEED THAT WE DON'T NEED TO CUSTOMIZE. THE LESS CUSTOMIZATION THAT WE DO, THE BETTER. BECAUSE WHEN YOU HAVE UPGRADES, THEN IT, IT ALWAYS HAS AN ISSUE WITH CUSTOMIZATION. AND I'VE KNOWN CITIES THAT HAVE CUSTOMIZED THEIR SOFTWARE TO A POINT TO WHERE THEY CAN'T ACTUALLY IMPLEMENT ANY UPGRADES BECAUSE IT CAUSES TOO MUCH OF A DISASTER. SO, SO REALLY MY, MY THOUGHT AND APPROACH IS, UM, WE WILL GET WHAT WE BELIEVE IS THE BEST SYSTEM THAT FITS OUR NEEDS AND, UM, IF THERE'S SOME THINGS THAT, WHERE WE NEED TO CHANGE SOME PROCESSES, THESE SYSTEMS, LOTS AND LOTS OF MUNICIPALITIES USE THEM. SO THERE ARE PEOPLE OUT THERE THAT HAVE REQUESTED THIS TYPE OF PROCESS. AND IT MIGHT JUST REALLY JUST BE A, A, A TWEAK IN THE WAY THAT WE DO THAT. AND MAYBE WE WOULD EVEN SAY, HEY, WOW, THAT ACTUALLY IS GONNA MAKE US MORE EFFICIENT. SO, YOU KNOW, IT'S NOT ALWAYS A BAD THING TO DO THAT. AND SO IN MY MIND IT'S BETTER TO WAIT UNTIL WE'RE THROUGH THAT PROCESS, UM, AND THEN DO THE AUDIT. PETE, THANK YOU MAYOR SHERRY, I JUST WANNA BE CLEAR, WHERE DOES THIS REQUEST TO DO AN INTERNAL, UH, CONTROL AUDIT COME FROM? IS THAT YOUR RECOMMENDATION? WE SEE THAT THE CITY MANAGER ISN'T RECOMMENDING YOUR WORDS. TELL ME THAT YOU AGREE WITH THAT RECOMMENDATION, BUT WHAT'S THE SOURCE OF THIS ITEM BEING ON THE LIST? UM, IT ORIGINALLY IT WAS, IT ACTUALLY CAME FROM CITY MANAGEMENT OFFICE, LIKE IN THE VERY BEGINNING OF LIKE, WE, WE SHOULD DO THAT. AND I WAS LIKE, YEAH, THAT SOUNDS LIKE A GREAT IDEA. UM, AND ONE OF THE THINGS THAT UM, TO ME WILL BE GOOD THAT COMES OUT OF THIS AS WELL IS THIS ISN'T GONNA BE JUST LIKE FOCUSED ON FINANCE. LIKE WE HAVE FINANCIAL OPERATIONS IN OTHER DEPARTMENTS AND I FEEL LIKE THAT THERE IS A NEED TO TAKE A LOOK AT WHAT, HOW OTHER DEPARTMENTS ARE HANDLING, UM, THEIR CASH RECEDING PROCESSES AND THINGS LIKE THAT AS WELL. SO. AND HOW LONG HAS THIS ITEM BEEN ON OUR TO-DO LIST? A WHILE ? SEVERAL YEARS. YEARS AND YEARS. YEAH. AND YEARS. YEAH. I CERTAINLY, AND ALWAYS LOW PRIOR. YEAH. I CERTAINLY GET THE, UH, WE'RE GONNA DO THE NEW SYSTEM AND IT PROBABLY DOESN'T, IT'S NOT WISE TO AUDIT OLD PROCESSES IF WE'RE GONNA CHANGE 'EM. I THINK THE PRIORITY OF THIS SHOULD PROBABLY START TO INCREMENT HERE. WE'VE KICKED THE CAN DOWN THE ROAD ENOUGH THAT IT CAN'T CONTINUE TO BE A LOW PRIORITY. SO I'D LIKE TO JUST KIND OF SEE THAT AS WE CONTINUE TO THINK ABOUT THIS MOVING FORWARD. MM-HMM. , THANK YOU, KAREN. I'D LIKE TO KNOW WHY THE WORK GROUP RECOMMENDED REMOVING IT FROM THE GOALS ALTOGETHER. UM, SO IN SOME OF THAT CONVERSATION, UM, KAREN ACTUALLY WAS TALKING ABOUT THE LEVEL OF EXPERTISE THAT WE HAVE IN, IN OUR DEPARTMENT. UM, I HAVE, UM, HA HAVE A BACKGROUND. MY ENTIRE CAREER HAS BEEN AROUND AUDITING, GOVERNMENTAL ACCOUNTING AND FINANCE. I WAS AN AUDITOR, I WAS A CONSULTANT. AND, UM, SO THEY WERE LIKE, WELL, THEN MAYBE YOU DON'T NEED SOMEBODY ON THE OUTSIDE. BUT I, I DO THINK THAT WHEN WE'RE READY FOR IT, THAT IT IS A GOOD IDEA BECAUSE AS I SAID, LIKE, I MEAN, SOME OF IT WOULD NOT NECESSARILY BE AROUND FINANCE, IT WOULD BE AROUND OTHER DEPARTMENTS. AND, AND TAKING THAT LOOK AT SOME OF THOSE THINGS, WE DON'T NECESSARILY HAVE THE CAPACITY TO TAKE ON OURSELVES. AND I AGREE WITH PETE, IT'S SOMETHING THAT WE SHOULD KEEP ON. I MEAN, I TRUST ALL YOUR STAFF COMPLETELY, BUT IT FOR THE PUBLIC, MAYBE THEY DON'T. AND I THINK IT COULDN'T HURT AFTER THE WHOLE PROCESS IS DONE. I TOTALLY, I'M NOT SAYING NOW, BUT A YEAR OR TWO DOWN THE ROAD, IT JUST SHOWS AS, AS A BACKUP OF INFORMATION. SO, UH, I I WOULDN'T SUPPORT REMOVING IT. UH, JESSICA? YEAH. I ALSO THINK THAT TO SUPPORT WHAT YOU SAID. YEAH. THAT IT'S ACTUALLY, SHERRY DOESN'T HAVE TIME, RIGHT? , RIGHT? NO, I DID THAT. AND SO, NO. TO SAY THAT SHE HAS THE EXPERTISE, SO MAYBE YOU DON'T NEED IT. YEAH. SHE MAY HAVE THE EXPERTISE, BUT SHE DOESN'T HAVE THE TIME. AND SO JUST I AGREE WITH BOTH YOUR RECOMMENDATION AND PETE SAYS TO THE IMPORTANCE OF DOING THIS ONCE WE HAVE THE NEW SYSTEM. RIGHT. ANYTHING ON MY RIGHT SIDE? NO. GOOD. ALL RIGHT. OKAY. SO ARE WE TAKING A BREAK? WE ARE GONNA TAKE, UH, 10 MINUTES, FIVE MINUTES. 10, 10, 10 MINUTES. WE CAN'T DO ANYTHING. OKAY. MINUTES. I KNOW. 10 AFTER 10. PLEASE TRY TO KEEP THAT PLEASE. EVERYBODY CHECK THEIR PHONES. 10 AFTER 10. GOOD BOY. WHO'S THAT GUY NEXT TO YOU? SHERRY? I DON'T KNOW. HE, SOMEBODY GOT PICKED UP OFF THE STREET. I THOUGHT, YOU KNOW, TASTE, HE COULD HELP US. GOOD TASTE. I LOOK, I LOOK LONELY. ? I DON'T THINK SO. HI, STEVE. GOOD MORNING. GOOD MORNING, MR. MAYOR, VICE MAYOR AND COUNSELORS. THANKS FOR JOINING US. UH, THANKS FOR HAVING ME. YOU HAVE SOME WORDS OF, UH, INFORMATION FOR US? I HOPE SO. ALL RIGHT, SHERRY. [02:05:01] OKAY. SO FOR COMMUNITY DEVELOPMENT, UM, SO ON THE SUMMARY OF CHANGES, THE FISCAL YEAR 23, BUDGET, DIRECT COSTS, UM, 1.9 MILLION GOING DOWN A LITTLE BIT, EXCEPT THEY WILL BE GOING BACK UP. UM, SO FISCAL YEAR 24, WHAT'S IN YOUR BOOK? THE 1.7 MILLION? UM, SO PART OF THIS WAS THE DECREASE FOR, UM, THE TRANSFER TO, UM, POLICE FOR CODE ENFORCEMENT THAT WE WILL BE TRANSFERRING BACK. SO THIS NUMBER WILL GO BACK, BACK UP AGAIN. UM, THERE ARE SOME DECISION PACKAGES THAT WE'LL TALK ABOUT. UM, THERE IS, UM, UH, THE TRANSFER OF, UH, 1.0 FTE FROM, UM, CITY MANAGER, BUT THERE'S ALSO THE DEC ONE OF THE DECISION PACKAGES IS RELATED TO MAKING A TEMPORARY POSITION INTO A PERMANENT POSITION. SO, UM, REALLY THE IMPACT ON THAT IS THE, THE INSURANCES. AND, UM, SO WE, WE ALREADY PUT THAT POSITION IN THE, UM, ONGOING BASED OFF CITY MANAGER RECOMMENDATION. IF YOU SAY NO, THEN WE WILL CHANGE IT, BUT WE'RE HOPING WE WON'T. UM, THE TRANSFER OF THE VACANCY SAVINGS OFFSET, UM, FROM GENERAL SERVICES, UM, THAT WE HAVE TALKED ABOUT. SO 87,000 OF THAT ALLOCATED TO COMMUNITY DEVELOPMENT. UM, AND THEN, UM, THE OUT SOURCE PLAN REVIEWS. UM, SO THEY'VE HAD TO AT TIMES HAVE GO OVER THE BUDGET AMOUNT, BUT THEY HAD VACANCY SAVINGS TO COVER BECAUSE THE REASON WHY THEY NEEDED TO HAVE MORE OUTSOURCED PLAN REVIEWS WAS BECAUSE OF VACANCY. SO, UM, WE HAD TALKED ABOUT, OKAY, WHAT IS THAT AMOUNT THAT'S REALLY NEEDED? UM, IF WE WERE FULLY STAFFED FOR THE ADDITIONAL SUPPORT, UM, THAT THEY WOULD NEED. SO WE, WE ADJUSTED THAT BUDGET AMOUNT. SO OVERALL THE CHANGE IS 12%, BUT THE ONGOING, UM, RIGHT NOW IS REFLECTED 8%. THAT WILL CHANGE ONCE, UM, WE ADJUST FOR CODE ENFORCEMENT, UM, FOR THE ONE TIME COST. SO THERE IS A ONE TIME DECISION PACKAGE THAT WE'LL TALK ABOUT, UH, VEHICLE LEASES. AND THEN, UM, THE COMMUNITY PLAN UPDATE. WE'VE BEEN TREATING ALL OF THAT AS, AS ONE TIME EVERY 10 YEARS THAT WE NEED TO DO THAT. SO IT ALSO INCLUDES, UM, TEMPORARY FTE, UH, POSITIONS, UM, THAT ARE HELPING WITH THE COMMUNITY PLAN UPDATE FOR A TOTAL, UH, ONE TIME COST OF 238,000. SHERRY MAYOR. YES. I'M SORRY, PETE, GO AHEAD. THANK YOU. UH, BACK TO THE SUMMARY. FIRST PAGES, EXPLAIN TO ME HOW WE DECREASED PLAN REVIEWS DUE TO VACANCIES. WOULD THINK IF YOU HAD VACANCIES, YOU MIGHT INCREASE PLAN REVIEWS OUTSOURCED. YEAH, SO, SO THERE WAS AN ADJUSTMENT IN THIS YEAR BECAUSE OF THE, THE VACANCIES. UM, SO DOING A BUDGET TRANSFER, BUT BASICALLY PUTTING IT BACK IN THE PAYROLL SIDE OF THE BUDGET, YOU'VE HIRED SOMEONE TO REFLECT THAT. RIGHT. MAN IS THE PER, IS THE TEMPORARY POSITION THAT YOU MAKING PERMANENT, IS THAT PERSON GOING INTO THE POSITION WITH IT? THAT PERSON IS ALREADY IN THE POSITION, CORRECT. OH, GOOD. SO YOU DON'T HAVE TO RECRUIT OR, NO, AND THAT'S PART OF THE REASON WHY WE ASKED FOR THIS TRANSFER, BECAUSE WE ACTUALLY FOUND SOMEBODY THAT THAT WAS PERFECT. SO, UM, YEAH. THAT'S GREAT. AND HOW ARE YOU DOING ON STAFFING OTHERWISE? UM, WE'RE, WE'RE FINALLY PRETTY MUCH THERE NOW. GREAT. UM, IT'S JUST THAT WE HAVE A LOT OF, UH, UH, PEOPLE THAT HAVE BEEN THERE FOR LESS THAN A YEAR. SO THERE'S STILL TRAIN ONGOING TRAINING. UM, AND, UH, BUT WE HAVE A PRETTY GOOD STAFF RIGHT NOW. AND, UM, ONCE, UH, ONCE EVERYBODY'S UP TO SPEED, WE'LL BE DOING REALLY WELL. UM, AND IF I CAN KEEP EVERYBODY HEALTHY AND , UM, AND, AND SO WE, WE WILL HAVE A VACANCY SHORTLY. WE JUST FOUND OUT THAT BRIAN ARMSTRONG IS GOING TO BE LEAVING US. OH, YES. SO WE WILL BE, UM, LOOKING FOR HIS REPLACEMENT. THAT'S ALL GOOD. YEAH, IT, SO I'M ALWAYS POSITIVE THINKING, BUT UNFORTUNATELY, YOU KNOW, THINGS HAPPEN. SO THERE, THERE'S ALSO THE VACANCY OF THE CHIEF BUILDING OFFICIAL THAT RIGHT. STEVE IS BEING MODEST ABOUT THAT. HE'S PULLING DOUBLE DUTY. I, I WAS GONNA ASK ABOUT THAT, BUT I DIDN'T WANT TO GET TURN RED AND BE EMBARRASSED. SO , I, I, I'M PAST THAT, YOU KNOW. UM, YES. UH, THE GOOD PART ON THAT IS WE HAVE, UH, TWO GOOD APPLICANTS THAT WE FEEL ARE GOOD APPLICANTS, AND WE ACTUALLY HAVE INTERVIEWS FOR THAT POSITION NEXT WEEK. OH, GREAT. SO HOPING THAT, UH, ONE OF THE TWO WILL FILL THE BILL AND, AND, UH, AND I CAN MOVE ON TO MY CURRENT POSITION FULLY. SO. GREAT, STEVE. THANK YOU. THANK YOU. THANK YOU, MAYOR. BECAUSE TODAY IS THE NEW DAY, WEDNESDAY OR THURSDAY INSTEAD [02:10:01] OF YESTERDAY. I'LL, I'LL, I'LL MAKE THIS GENERAL COMMENT ONE MORE TIME. I'M LOOKING AT CD NINE, WHICH IS THE COMMUNITY DEVELOPMENT BUILDING SAFETY, LOOKING AT YOUR OVERALL CITY VALUE BENCHMARKS ALL EMPTY. I GET IT THAT THERE MIGHT NOT BE NATIONAL BENCHMARKS, BUT I SURE WOULD LIKE TO UNDERSTAND WHERE OUR MANAGERS VIEW OF WHERE THESE METRICS COULD BE, YOU KNOW, MOVE IN INTO THE FUTURE. THANK YOU. OKAY. VICE MAYOR, UH, DO YOU WANNA TALK ABOUT THE DECISION PACKAGES AND THEN I CAN ASK MY QUESTION OR SHOULD I ASK IT NOW? YEAH, NO, GO AHEAD. SO THERE'S, THERE'S TWO DECISION PACKAGES, BOTH RECOMMENDED AND WHATEVER QUESTIONS YOU GUYS HAVE. UH, HAVE YOU IDENTIFIED THE CONSULTANT TO HELP WITH A CULTURAL PART? WE HAVE NOT. AND THIS IS, THIS MONEY IS FOR, WE'RE GONNA PUT OUT AN RFP, UH, WE'RE LOOKING AT ABOUT SEPTEMBER. UM, ONCE, UH, , THE BULK OF THE WORK FOR THE COMMUNITY PLAN IS STARTING TO SLOW DOWN, THEN WE'LL HAVE A LITTLE BIT MORE BANDWIDTH TO START WORKING ON THAT. SO WE HAVE, SO, OH, I'M SORRY. NO, GO AHEAD. UM, THE COST THAT WE HAVE PROVIDED HERE IN THE DECISION PACKAGE WAS BASED UPON TALKING TO CONSULTANTS WE'VE WORKED WITH IN THE PAST AND LOOKING AT SOME OF THE CONCEPTUAL PLANS THAT THEY'VE DONE IN OTHER AREAS AND WHAT THOSE COSTS WERE. SO, SO IS CYNTHIA GONNA MOVE OVER FROM THE FROM WORKING ON THE, ON THE, UH, COMMUNITY PLAN UPDATE TO THE, SHE WILL BE, SHE'LL BE DOING BOTH AT THAT TIME. MM-HMM. , UM, AGAIN, UH, UH, THE WAY WE'RE SEEING IT IS WE'LL HAVE OUR FIRST FULL DRAFT READY AND GOING OUT BACK TO THE PUBLIC FOR THE COMMUNITY PLAN. AND AT THAT TIME, ALL THE COLLATING OF THE INFORMATION AND, AND THE WRITING OF IT, UM, WILL BE COMPLETED. AND SO WE'LL HAVE A LITTLE BIT MORE HOURS IN THE DAY TO NOW START WORKING ON THE CONCEPTUAL PLAN. OKAY. SO JUST TO CLARIFY, IN MY OWN MIND, IN SEPTEMBER WE'LL BE GOING OUT TO RFP. SO THE WORK ON THE MASTER PLAN WILL PROBABLY START IN JANUARY. IS THAT YOUR THINKING? PROBABLY, YES. YES. UM, AGAIN, WE'RE, EVERYTHING OF COURSE IS FLUID, SO, UH, THESE ARE GUESSTIMATE AT THIS POINT. GREAT. THANK YOU. SURE. JESSICA. SO THE MASTER PLAN'S GONNA BE VERY GENERAL. I, I MEAN, I'M AT, THIS IS A QUESTION. SURE. IS IT GOING TO BE VERY GENERAL AND SAY YOU COULD HAVE A PARK HERE WITHOUT ANY DEFINITION OF WHAT THAT PARK MEANS? THAT DEFINITION OF WHAT THAT MEAN WOULD COME IN DESIGN, CORRECT. OF ANY PARTICULAR PARCEL. THANK YOU. CORRECT. IT WILL BE A CONCEPTUAL PLAN. YES. I KNOW. I'M SORRY, , I, I, I JUST WANTED, I ALWAYS WANTED TO CLARIFY IN MY OLD MIND WHAT CONCEPTUAL MEANS, BECAUSE I, NEVERMIND, I'LL TALK TO YOU LATER. OKAY. STEVE, I, I'VE GOT, IT'S MORE OF A CHICKEN VERSUS A EGG QUESTION. MM-HMM. , IF YOU, IF A CONSULTANT SAYS, WE'RE GONNA HAVE HOUSING IN THIS AREA AND IT'S RIGHT NEXT TO THE, UH, EVENT VENUE, AND WE WERE TO BUILD, ARE THEY TAKING INTO ACCOUNT THAT IF WE DO REBUILD THE EVENT VENUE, NOT THAT WE ARE, BUT IF IT'S GONNA BE CONSIDERED, WILL THAT, HOW WILL THAT HOUSING PLAY IN AT THE CLOSE PROXIMITY TO, UH, THE VENUE? CAN I ANSWER THAT? SURE. THANK YOU. THOSE TWO USES ARE COMPLETELY INCOMPATIBLE. THANK YOU. I, I UNDERSTAND, BUT I'M JUST, YOU KNOW, I, WE'RE GOING TO BE GETTING A LOT OF, UH, PUBLIC COMMENT WITH INTEREST IN THE EVENT VENUE. I'M SURE WHEN WE DO THE PUBLIC OUTREACH, AND I, IT'LL BE NICE TO HAVE THOSE, ALL THAT INFORMATION AT HAND. I MEAN, I'VE GOT A LOT OF INFORMATION FROM PEOPLE WHO WERE INVOLVED IN THE ORIGINAL DESIGN OF THE COMPLEX THAT PEOPLE HAVE BEEN REACHING OUT TO ME WITH THEIR OPINIONS AS WELL. AND THAT WAS HOW LONG AGO, SCOTT? IT WAS 20 YEARS. 20 YEARS AGO. THANK YOU. BUT THEY, I GUESS, NO, NO, I, I'M JUST ASKING THE QUESTION. I DON'T NEED TO TALK. YEAH, I MEAN, WE'RE NOT GONNA DISCUSS IT NOW. THAT'S NOT THANK YOU'S NOT AGENDA VICE FOR IT. SO, UM, BUT I'M JUST, THAT'S WHY I JUST WANTED TO KNOW FOR THIS GENERAL PLAN, HOW IT'S GONNA PLAY OUT. SO THANK YOU. AND I DON'T THINK WE KNOW HOW IT'S GONNA PLAY OUT. RIGHT. THE COMMUNITY'S GONNA TELL US, UH, BUT IN TERMS OF HAVING BOTH OF THOSE THINGS COEXIST, IT DOESN'T WORK. I DON'T THINK THAT'S AN OPTION. I, I UNDERSTAND. THANK YOU. OKAY. UM, SO NOW THE TRANSFER TEMPORARY PLAN, WE, WE DISCUSSED THAT TOO. UH, YEAH. SO THAT'S JUST THE INCREMENTAL COST BECAUSE THE POSITION ALREADY ASKED, UH, WAS IN THE BUDGET FOR [02:15:01] THE CURRENT YEAR IS TEMPORARY AND MAKING IT PERMANENT. OKAY. ANY OTHER QUESTIONS OF MULTITASKER? STEVE , ANYTHING YOU WANT TO ADD? THANK YOU FOR HAVING ME. THERE YOU GO. THAT WAS GRUELING, WASN'T IT? . AND YOU DIDN'T EVEN BRING A HOUSEWARMING GIFT. YEAH. OOH, I, I'M NEW, I'M SORRY. NEXT YEAR. AND YOU HAVE YOUR WHOLE ENTOURAGE HERE, SO I FIGURED MAYBE THERE'S MORE TO COME. OH, THEY THOUGHT THIS WAS SO MUCH FUN THAT THEY WANTED TO COME OFF. OH, YEAH. I'M SURE. NOW, NOW BRIAN'S GONNA RECONSIDER. YEAH, RIGHT. MAYBE WE CAN SIT. I DON'T KNOW WHAT ANY, ANYTHING TO DO WITH THAT, BUT, OKAY. SO NEXT, THANK YOU ALL WOULD BE HOUSING. YES. OKAY. OKAY. STEP HOUSING. SHERRY, CAN I ASK HOW WE'RE DOING IN TIME? THEY SEND DOCUMENT. UH, WE, BECAUSE WE HAD, UH, DONE ONE OF THE DEPARTMENTS, UM, YESTERDAY. WE'RE, WE'RE AHEAD OF SCHEDULE. THANK YOU. SO WE'RE, WE'RE DOING GREAT. MM-HMM. , UM, OKAY. SO FOR HOUSING. UM, SO WE'VE GOT SHANNON HERE. UH, CONGRATULATIONS TO SHANNON ON BEING A STANDALONE DEPARTMENT NOW, , UM, THE, UM, FISCAL YEAR 23 BUDGETED DIRECT COSTS, UM, FOR HOUSING WERE 537,000. UM, WITH SOME OF THE ADJUSTMENTS, IT'S ACTUALLY A LITTLE BIT OF A DECREASE FOR FISCAL YEAR 24 FOR 475,000. UM, THERE'S A DECISION PACKAGE THAT'S RECOMMENDED, UH, THE INCREASE IN WAGE OF BENEFITS, 16,000. UM, THE ONE TIME COSTS, UM, ARE DECREASING BECAUSE WE'RE MOVING, THE RENT INCENTIVES PROGRAM WAS ORIGINALLY, UM, PROPOSED AS A PILOT PROGRAM. AND SO NOW WE'RE RECOMMENDING THAT IT BE AN ONGOING PROGRAM. SO MOVING THAT, BUT ALSO REDUCING IT FROM THE 240,000 THAT WAS ORIGINALLY PROPOSED FOR THE PILOT PROGRAM TO A HUNDRED THOUSAND, UM, ANNUALLY. UM, AND THEN A LITTLE BIT OF DECREASE IN MARKETING COSTS. SO, UM, OVERALL CHANGE 12%, BUT BECAUSE OF THAT SHIFT IN THE, THE RENT INCENTIVES PROGRAM. SO THE OVERALL ONGOING DIRECT COST GOING UP 42%. ANY QUESTIONS FOR PETE? CAN, WHAT IS THE DECREASE IN MARKETING COSTS? WHAT, WHAT WAS THE MARKETING AND ARE WE REALLY DECREASING IT AND WHY? SO LAST YEAR WE BUDGETED FOR KIND OF A PUBLIC INFORMATION CAMPAIGN, UM, SORT OF ANTI NIMBYISM AND THOUGHT THAT A, UM, A CONSULTANT OR A MARKETING FIRM OR SOMETHING MIGHT BE ENGAGED IN THAT. BUT ACTUALLY SINCE WE'VE HIRED JEANNIE, SHE'S ABLE TO HANDLE THAT AND WORK WITH OUR COMMUNICATION STAFF TO DO THAT INTERNALLY. RIGHT. I, I'M, WE HAVE SOME INTERESTING PROGRAMS THAT EXIST AND OUR INTEREST IN BUILDING HOUSING IS HIGH. AND I'M WONDERING IF THERE ISN'T A ROLE FOR MARKETING TO HELP US, YOU KNOW, SPREAD THE WORD, BUT PERHAPS THAT'S WHAT WE'RE DOING AND WE'RE GOOD THERE. SO THANK YOU. , VICE MAYOR. HI SHANNON. NICE TO SEE YOU. HI, JEANNIE. UH, I HAD ASKED WHEN TERESA GAVE HER PRESENTATION ABOUT SHORT TERM RENTALS, SHE MENTIONED THAT SHE WAS SEEING SOME PEOPLE WHO WERE DEACTIVATING THEIR LISTING OR GOING INTO A, A NON-ACTIVE STATUS. AND SO I ASKED HER, WERE THEY GIVING YOU POTENTIALLY SOME LEADS ON PEOPLE WHO MIGHT BE INTERESTED IN CONVERSION FROM SHORT TERM TO LONG TERM? SO THAT PROMPTED ME TO WANNA ASK YOU WHEN YOU WERE PRESENTING IF THAT PROGRAM HAS SEEN ANY INCREASES AND HOW IT'S GOING. SO IT HASN'T, AND WE'RE PLANNING TO TALK WITH THE CITIZENS HOUSING ADVISORY GROUP ABOUT HOW WE MIGHT CHANGE THAT PROGRAM AT THE NEXT MONTHLY MEETING. UM, STILL WE GET A LOT OF CALLS FROM PEOPLE, BUT THEY DON'T REALLY FIT THE PROGRAM REQUIREMENTS SO OFTEN. IT HASN'T BEEN A SHORT TERM RENTAL, OR IT WAS, BUT THEY CAN'T DEMONSTRATE. THEY SAY IT, IT WAS, BUT THEY CAN'T DEMONSTRATE THAT IT WAS, IT'S JUST A LOT OF DIFFERENT, LIKE EVERY SITUATION IS UNIQUE AND SOMETIMES THE TENANTS DON'T QUALIFY. UM, WE, THE ONE THAT WE JUST APPROVED, THE SECOND APPROVED APPLICATION, THE TENANTS WORK, UM, AN UNCOUNTABLE NUMBER OF JOBS TO MAKE A LIVING, AND MOST OF THEM ARE KIND OF SIDE GIGS. SO THEY DON'T HAVE AN EMPLOYER WHO SAYS, HERE, THIS IS YOUR PAYCHECK STUB TO PROVE THAT YOU WORK 30 HOURS A WEEK. MM-HMM. . UM, SO JUST A LOT OF REALLY UNIQUE SITUATIONS FROM THE FOLKS WHO APPLY. AND IT HASN'T BEEN SO [02:20:01] MUCH WHAT I ANTICIPATED OF PEOPLE WHO ARE SIMPLY STOPPING DOING SHORT TERM RENTAL AND RENTING TO A LOCAL. AND I THINK THAT'S BECAUSE OUR INCENTIVES JUST AREN'T HIGH ENOUGH TO, TO MAKE IT WORTHWHILE. EVEN THOUGH THE PROPERTY MANAGERS TOLD US THAT 10% OF THEIR CLIENTS WOULD BENEFIT FROM IT, I THINK FOR, FOR THAT 10%, MAYBE THEY JUST ENJOY IT. SO ARE YOU IN AN ONGOING DIALOGUE WITH THE PROPERTY MANAGERS GIVING THEM FEEDBACK? YEAH, SO WE WERE, WE ARE WORKING ON SCHEDULING SOME MEETINGS WITH THE PROPERTY MANAGERS BECAUSE INITIALLY I GOT A CALL, FOR EXAMPLE, FROM ONE OF THE LARGER ONES, UM, THAT THE REQUIREMENT THAT WE HAD IN PLACE THAT THEY NOT DO SHORT TERM RENTAL FOR THREE YEARS. RIGHT. EVEN THOUGH WE ONLY HAD THE INCENTIVE FOR ONE WAS PROHIBITIVE, BUT THEN WE CHANGED THAT AND NOTHING HAS REALLY CHANGED. SO JUST TRYING TO GET THE WORD OUT THAT WE CHANGED THAT AND HOPEFULLY GET SOME OF THESE PROPERTY MANAGERS ON OUR SIDE. BUT I THINK WHAT WE'RE SEEING MORE OFTEN IS WHEN PEOPLE FIND THE SHORT TERM RENTAL ISN'T AS LUCRATIVE ANYMORE, THEY'RE JUST SELLING. AND I THINK THAT'S ALSO WHY A LOT OF THE LISTINGS KIND OF GO DARK AND THEY STOP ADVERTISING BECAUSE THEY'RE PUTTING THEIR PROPERTY ON THE MARKET OR THEY'RE, YOU KNOW, THEY HAVE OTHER SITUATIONS. THEY'RE NOT JUST THINKING, HMM, WHO CAN LIVE HERE NOW, THERE. OKAY. THEN I'LL JUST ASK YOU MY OTHER QUESTION ON THE, UH, OTHER PROGRAM THAT WE INITIATED DOWN PAYMENT ASSISTANCE PROGRAM AND WHAT ARE WE SEEING THERE? DOWN PAYMENT ASSISTANCE. I DON'T HAVE RECENT REPORTS FROM HS N A ON THEY REPORT QUARTERLY. UM, OH, I'M TRYING TO REMEMBER. WE HAVE MORE THAN ONE, HAVE SEVEN PEOPLE STILL IN THE PIPELINE, BUT THEY'RE HAVING TROUBLE LIKE FINDING HOUSES TO MEET THEIR NEEDS. AND SOME OF THOSE FOLKS HAVE HOUSEHOLD INCOMES THAT ARE SOLO. I DON'T KNOW HOW THEY WILL FIND A HOUSE THAT MEETS THEIR NEEDS, BUT THEY'RE SO OPTIMISTIC. THEY WENT THROUGH THE WHOLE HOME BUYER COUNSELING PROGRAM AND EVERYTHING. SO HOW MANY HAVE WE ACTUALLY CLOSED? TWO. THAT'S BETTER THAN DONE. YEAH. OKAY. THANK YOU. AND YOU ENGAGE WITH THE, WITH THE CITIZEN GROUP TO LOOK AT THAT AS WELL? I'M SURE. YEAH. THANKS. OKAY. UH, EXCUSE ME SIR. JEANNIE, YOU HAD YOUR HAND UP. DID YOU HAVE SOMETHING YOU WANTED TO ADD? JEAN, YOU HAVE TO GO TO MIC. GO OPEN A MIC PLEASE. I'M SORRY. THANK YOU. HI. SO I JUST WANTED TO ADD THAT IN TERMS OF THE DOWN PAYMENT ASSISTANCE PROGRAM, WE ARE DOING OUTREACH TO REALTORS FOR FIRST TIME HOME BUYERS AND TRYING TO SORT OF, YOU KNOW, KIND OF GET MORE INTEREST IN IT IN THAT WAY. THAT'S ALL. THANK YOU. OKAY. ANY OTHER QUESTIONS FOR SHANNON OR JEAN? NO. OKAY. OKAY. SO, SO IF WE MOVE ON, UM, SO THE, UM, HOUSING PROGRAM DOES, IS NOT FULLY REPRESENTED BY THE EXPENDITURE BUDGET, SO I THOUGHT IT WAS IMPORTANT TO INCLUDE THE BALANCE SHEET ITEMS, UM, FOR YOU AS WELL. UM, SO THE, UM, UH, WHAT WE ARE SHOWING RIGHT NOW FOR LOANS, SO THE LOANS MADE TO DATE BETWEEN SUNSET LOSS AND THE DOWN PAYMENT ASSISTANCE PROGRAM IS 1.9 MILLION. UM, WE ARE RESERVING BASICALLY, AND WE'LL GET TO THE, THE FUND SUMMARIES, UH, LATER THIS AFTERNOON. BUT, UM, THE ENTIRE BALANCE OF THE, OF THE HOUSING FUND, UM, 6.9 MILLION OF THE FUND FUND BALANCE ARE BASICALLY SAYING WE'RE, IT'S ALL RESERVED FOR THESE LOANS. THERE'S NO EXTRA MONEY IN THERE AT THIS POINT. AND SO WE'LL HAVE A CONVERSATION ABOUT THAT LATER. BUT, UM, SO THERE'S 4.9 MILLION THAT IS NOT LOANED OUT YET, BUT IT IS RESERVED FOR THESE PROGRAMS. SO IF FOR SOME REASON YOU SAID, YOU KNOW WHAT, WE HAD SET ASIDE 400,000 FOR A DOWN PAYMENT ASSISTANCE PROGRAM, AND YOU'RE LIKE, WE'RE NOT SEEING ENOUGH PROGRESS, AND YOU WANNA USE SOME OF THAT MONEY TOWARDS SOMETHING ELSE, YOU COULD. UM, BUT IT'S, IT'S BASICALLY IN THERE RIGHT NOW, LIKE AS THIS ONE TIME POT OF MONEY. AND AS THE PROGRAM EVENTUALLY GROWS, IF ALL THAT 400,000 IS USED, IT'S GONE AND WE'D NEED AN ADDITIONAL AMOUNT OF MONEY TO PUT TOWARDS IT. SO KIND OF HOWEVER YOU GUYS WANT. JESSICA'S FIRST. SO, HI SHANNON. I UNDERSTAND THAT, UH, OUR LOW INCOME TAX CREDIT PROGRAM WAS NOT FUNDED. CORRECT. AND THAT $300,000 IS FOR THAT. UM, CAN YOU GIVE US AN UPDATE ON WHY THAT MONEY IS STILL HERE? UM, JUST STILL HERE BECAUSE WE HAVEN'T CHANGED THESE SLIDES. OH, SLIDES. I SEE. BECAUSE IT'S BEEN FIVE MONTHS. CAUSE WE JUST FOUND OUT JUNE 1ST. NO, I, I MEANT IT MORE GENERALLY BECAUSE I UNDERSTAND IT'S STILL UNDER CONSIDERATION FOR PERHAPS SOME OTHER FUNDING. SO THAT'S WHAT I MEANT. YEAH. IF YOU COULD SORT OF LET US ALL KNOW. [02:25:01] SO WHAT I WOULD LIKE TO ADD IS THAT PROJECT IS NOW REQUESTING 2.5 MILLION IN SUBSIDY FROM THE CITY, UM, TO USE IN COMBINATION WITH THE NON-COMPETITIVE 4% TAX CREDITS, WHICH ONLY FUND ABOUT 30% OF THE PROJECT INSTEAD OF 90% LIKE THE COMPETITIVE TAX CREDITS DO. SO WHEN THE BUDGET COMES BACK, WE'LL SEE THAT HIGHER NUMBER. GREAT. YES. AND WONDERFUL. UM, THERE ARE TWO OTHER DEVELOPMENTS THAT WE'VE HAD IN THE PIPELINE THAT ARE JUST KIND OF GETTING THEIR NUMBERS TOGETHER THAT I ANTICIPATE WILL ALSO BE ASKING FOR SIMILAR AMOUNTS OF SUBSIDIES. PERFECT. SO I'M GLAD YOU'RE SAYING YAY, BECAUSE I AM SAYING, YAY, I FEEL LIKE I'M ABOUT TO NEED 10 MILLION . WELL, YOU KNOW, SUCCESS, YOU HAVEN'T HAD SUCCESS, I'D BE PUTTING IT ALL ON THE TABLE. SO I WOULD BE PERFECTLY DELIGHTED TO BE IN A POSITION OF YOUR HA NEEDING MORE MONEY IN ORDER TO GET SOME HOUSING BUILT. SO THAT'S WHAT I MEANT BY THAT. SO IT'S A CHALLENGE. WE'LL HAVE TO WHAT, SPEAKING TO MYSELF. OH, . SO THAT'S WHY I ASKED THE QUESTION. UM, SO THE UP AND WHEN WOULD WE KNOW, UM, WHEN THAT PROJECT WOULD, SO HAS IT ALREADY BEEN GRANTED MONEY? AND SO IF WE PROVIDE THE MONEY, THEN THAT PROJECT CAN GO FORWARD? IS THAT, THAT'S MY QUESTION. I BELIEVE SO. OKAY. UM, THE, THE DEVELOPERS ARE ACTUALLY MEETING WITH THE DEPARTMENT OF HOUSING, UM, TO TALK ABOUT WHETHER THERE ARE SOME OTHER GAP FUNDING SOURCES AVAILABLE THAT THEY COULD ADD WITH THE 4% TAX CREDITS. AND THEY'RE ANTICIPATING GETTING THOSE AND STILL NEEDING THE 2.5 MILLION FROM THE CITY. BUT I WANTED TO MAKE SURE THEY'RE GETTING THOSE BEFORE WE START REALLY TALKING HARD NUMBERS. GOOD WORK. UM, UH, BA BA UM, SUNSET LOFT. I LIKE TO HEAR FROM KAREN IF I KNOW THAT WE STILL HAVEN'T GOT HUD FINANCING, UM, AND FROM WHAT YOU TOLD ME THE OTHER DAY, IT'S EXPECTED, THE NEW EXPECTATION DATE IS JULY, KAREN, SO WON'T YOU JUMP IN? YEAH. AND THIS WAS THE FIRST I WAS HEARING ABOUT A POTENTIAL 2.5 MILLION ASK . WELL, FOR SHELBY, UM, SUNSET, WE, WE DO ANTICIPATE THAT THE FINANCIAL ASK TO MAKE THAT PROJECT VIABLE IS, IS GOING TO INCREASE. WE JUST DON'T KNOW HOW MUCH YET. SO ITS BOTH THE HUD FINANCING PIECE AND ALSO THE BID. SO IT'S, IT'S OUT TO BID NOW. AND SO WE'RE HOPING THAT IN A MATTER OF WEEKS WE'LL HAVE BOTH OF THOSE THINGS. AND SO WE'LL KNOW THE, UH, WHAT THE POTENTIAL DEFICIT IS. AND THEN BETWEEN KEITH AND MYSELF AND KURT AND SHANNON, YOU KNOW, WE'LL BE LOOKING AT WHAT ARE THE POTENTIAL LEVERS THAT WE MIGHT BE ABLE TO, TO ADJUST TO HELP GET THAT DEFICIT TO A PLACE WHERE IT WOULD MAKE SENSE TO MOVE THE PROJECT FORWARD. THE THING ABOUT SUNSET IS THEY'VE, THEY'VE ACTUALLY ALREADY APPLIED FOR BUILDING PERMITS. SO IT IS A PROJECT THAT IF, IF IT IS AT ALL WITHIN THE REALM OF REASONABLENESS, WHATEVER THAT SHORTFALL OR, OR SUPPLEMENT THE CITY WOULD HAVE TO COME TO THE TABLE WITH, AND WE CAN MAKE THE TERMS WORK TO MAKE IT MAKE SENSE, UM, THAT IS OUR FASTEST OPPORTUNITY TO ACTUALLY GET UNITS BUILT. SO MORE TO COME ON THAT. OKAY. THANKS. UH, VICE MAYOR, UH, BRIAN. SO WE'VE GOT, THERE'S, THERE'S A LOT OF MONEY AT PLAY HERE MM-HMM. , AND WE'RE GONNA BE TALKING ABOUT DIFFERENT FUNDS LATER. ARE YOU GONNA COME BACK FOR THAT DISCUSSION? I CAN. I THINK THAT WOULD BE GOOD BECAUSE WE'RE GONNA, IN MY OPINION, WE'RE GONNA HAVE TO BALANCE SOME OF THESE DECISION PACKAGES WITH THE ADDITIONAL COSTS FOR THE HOUSING. AND I'D LIKE TO HEAR YOUR INPUT NOT DO THIS IN A VACUUM. GREAT. OKAY. THANK YOU, BRIAN. THANK YOU, MAYOR. I THINK I WOULD, UH, LARGELY ECHO THE VICE MAYOR, RIGHT? THAT, UH, ALL OF A SUDDEN THIS SOUNDS LIKE A WHOLE LOT MORE. IT, IT SOUNDS LIKE EVERY PROJECT IS, YOU KNOW, WE KNEW COSTS WERE INCREASING, BUT YET IT'S STILL GONNA COST MORE. CAN'T GET THIS INCENTIVE, IT'S GONNA COST MORE. UM, IT SEEMS LIKE WE NEED A WORK SESSION AROUND MAKING SURE WE ALL GET ALIGNED ON JUST HOW MUCH ARE WE GONNA INVEST IN HOUSING, HOW MUCH ARE WE GONNA FORCE IT TO BE [02:30:01] INTO WORKFORCE VERSUS MARKET, THAT KIND OF THING. BECAUSE THIS JUST FEELS LIKE ALL OF A SUDDEN WE COULD BE THE BIGGEST LANDLORD IN TOWN AND I'M NOT SURE IF THAT'S WHAT WE WANT TO BE OR NOT. WELL, WE'RE NOT GONNA BE A LANDLORD. OTHER PEOPLE ARE GONNA BE THE LANDLORD. OKAY, WELL WE'RE GONNA BE THE MONEY BEHIND THE LANDLORD. THAT'S, THAT'S RIGHT. SO ANYWAYS, I THINK THAT THERE'S A NEED FOR A PRETTY STRATEGIC DISCUSSION FROM THE WAY ALL THIS SOUNDS LIKE IT'S DEVELOPING. AND I HOPE BE GOOD THAT, IS THAT SOMETHING THAT YOU SEE CAN HAPPEN WHEN WE TALK THIS AFTERNOON ABOUT SOME OF THE, UH, BUDGET LINES OR SOME OF THE FUNDING STUFF? I, I THINK IF ALL OF A SUDDEN WE'RE BEING ASKED TO, YOU KNOW, POTENTIALLY COMMIT $10 MILLION TO HOUSING THAT WE WEREN'T THINKING ABOUT BEFORE TODAY. YOU WANT A SEPARATE ONE? I THINK WE OKAY. I THINK IT DESERVES MORE TIME THAN I JUST WANT, THAT WAS JUST A QUESTION. IT WASN'T REALLY A CRITICISM. THANK YOU. OKAY. THANK YOU MAYOR. OKAY, I HAVE A QUESTION FOR SHANNON. SO THIS EXTRA ASK OF TWO WHATEVER MILLION DOLLARS IT, WHEN DID THAT COME ABOUT? CAUSE I'M JUST QUESTIONING WHY THE CITY MANAGER WASN'T AWARE OF IT UNTIL JUST NOW. YEAH, SO, UH, I SPOKE TO THEM, I BELIEVE IT WAS MONDAY ON THE PHONE, UM, TO ASK THEM, WHEN ARE YOU MEETING WITH ADO? WHAT DO YOU KNOW ABOUT THE 4%, UM, TAX CREDITS? SO THIS IS STILL REALLY EVOLVING AND IT'S NOT AN ASK YET BECAUSE I WANNA FIND OUT WHAT OTHER FUNDING SOURCES THEY CAN POSSIBLY GET INSTEAD OF THEM COMING TO THE CITY AND SAYING, FILL OUR WHOLE GAP. SO I JUST REALLY WASN'T READY TO MM-HMM. MAKE AN ASK OF THAT. I WAS JUST COMMENTING ON COUNSELOR WILLIAMSON'S. THAT'S FAIR. I JUST WANT TO KNOW WHY THERE WAS THAT GAP OF INFORMATION FOR US. YEAH. VICE MAYOR, I'M, I'M JUST CURIOUS. I'M NOT SURPRISED THAT THEY DIDN'T GET THAT FUNDING CUZ I FIGURED SINCE COTTON WOULD GO IT LAST YEAR, GO TO THE OTHER SIDE OF THE MOUNTAIN. NO, WHERE DID IT GO? YAVAPI APACHE HOMES. OH. AND THEY HAVE AN EXTRA KIND OF SCORING OPPORTUNITY AS A TRIBE. RIGHT. OKAY. WHERE DID WE, WHERE DID WE SCORE IN THAT PROCESS? WE SCORED HIGHER THAN OTHER PROJECTS THAT WERE AWARDED. UM, THAT WERE AWARDED. YES. THERE WERE JUST TOO MANY PROJECTS FROM YAVAPAI COUNTY. OH, OKAY. AND NOT AWARDED OUTSIDE OF OUR AREA. RIGHT. AND THERE'S ANOTHER OPPORTUNITY NEXT YEAR. YEAH. JUST ONCE A YEAR ON THOSE COMPETITIVE TAX CREDITS. BUT WE ARE SEEING A LOT OF, UM, FUNDING STARTING TO COME DOWN FROM THE FEDERAL LEVEL. SO ANTICIPATING SOME REALLY LARGE, UM, NOTICES OF FUNDING AVAILABILITY IN AUGUST AND SEPTEMBER. SO I'M TRYING TO GET SOME PROJECTS, UM, TO A PLACE WHERE THEY CAN APPLY FOR THAT FUNDING, UH, PARTICULARLY WITH SOME OF THE LOCAL NONPROFITS, UM, BUILDING THEIR CAPACITY TO APPLY FOR HOUSING FUNDS AS WELL. AND WHAT ABOUT THE EXTRA 150 MILLION IN THE HOUSING FUND THAT WAS PART OF THIS UPCOMING BUDGET? WILL THAT PROVIDE MORE GRANT PROGRAMS? YEAH, IT'S, IT'S ACTUALLY THAT 150 MILLION IS A, A CUMULATIVE NUMBER OF, UH, OF SEVERAL DIFFERENT PROGRAMS. SO, UM, IT'LL ALL COME OUT IN NOVAS THROUGHOUT THE, THE YEAR. BUT, UM, RIGHT NOW THE FIRST ONE THAT I'M HEARING ABOUT IS ANTICIPATED FOR AUGUST OR SEPTEMBER. OKAY. THANK YOU ELSE. ALL RIGHT. WE GONNA BE DOING THE SAFE AND PLACE SAFE PLACE TO PARK THAT NEXT. AND I JUST WANTED TO ADD ANOTHER THING TO ANSWERING, UM, VICE MAYOR P'S QUESTION EARLIER, UM, ABOUT THE ARPA FUND USES. SO WE HAVE IDENTIFIED HOUSING AS ONE OF THOSE USES BECAUSE THE HOUSING HAS TO BE MEET HUD LOW INCOME QUALIFICATIONS, AND WE HAVEN'T REALLY GONE THERE ON IT LOOKING MORE WORKFORCE HOUSING, WHICH IS NOT THE SAME THING. SO, SO WE HAVEN'T LOOKED AT ARPA FOR THAT YET. COULD I ASK, DOES SHELBY DRIVE WOULD MEET THOSE REQUIREMENTS? IT'S A LOW INCOME PROJECT, RIGHT? YEAH. POSSIBILITY. OKAY. BUT TO YOUR QUESTION, THAT'S WHERE I THINK WE HAVE TO BE BALANCING, UH, THESE ASKS IN HOUSING. AND THAT'S WHY I WANTED SHANNON TO COME BACK SO WE COULD TALK ABOUT THE DECISION PACKAGES AND THE DEFINITELY YEAH, NO, I AGREE. JESSICA, DO, DO YOU STILL HAVE A QUESTION? I JUST WANTED TO CLARIFY THAT THE, A FUNDING CAN BE USED FOR HOUSING AND SHANNON SAYS THAT THE TRUST FUND IS LOW INCOME. SO I THINK WE HAVE SOME OPPORTUNITIES, BUT I'M LOOKING FORWARD TO A FULLER DISCUSSION THIS AFTERNOON. OKAY. SO MOVING ON TO THE DECISION PACKAGES. UM, SO, UM, THE STRATEGIC PLAN TO ADDRESS HOMELESSNESS IS RECOMMENDED BY BOTH THE CITY MANAGER AND THE WORK GROUP. UM, THE COLD WET WEATHER EMERGENCY FUND, UM, IS RECOMMENDED BY THE CITY MANAGER. THE WORK GROUP SAID YES, [02:35:01] THEY, THEY DO RECOMMEND IT, BUT THEY WANT US TO RELY ON PARTNER ORGANIZATIONS FIRST BEFORE SPENDING CITY FUNDS. AND THEN THE, THE OTHERS, UM, BASICALLY WERE NOT REALLY RECOMMENDED. THE PURCHASING DEED RESTRICTIONS. THE WORK GROUP WAS LIKE, WELL, YEAH, WE LOVE THAT IDEA. WE RECOMMEND IT, BUT NOT WITH THE CITY PAYING ANY MONEY, JUST ASSISTING PEOPLE IN, IN DOING THOSE DEED RESTRICTIONS WITHOUT PROVIDING ANY FUNDING, UM, THE SAFE PLACE TO PARK. I THINK THERE'S GONNA BE SOME DISCUSSION ON THAT. UM, THE WORK GROUP REALLY KIND OF FELT LIKE THE STRATEGIC PLAN SHOULD BE COMPLETED FIRST BEFORE WE GO THERE. SO, AND MAYBE I CAN PLEASE, BECAUSE I'D LIKE TO DISCUSS THAT, CHERYL. SO, SO MY INITIAL RESPONSE TO THIS DECISION PACKAGE WAS TO NOT RECOMMEND IT. AND THAT WAS, THAT WAS DUE TO SEVERAL THINGS. ONE, UM, I FELT LIKE THERE ARE SO MANY UNANSWERED QUESTIONS ABOUT HOW THIS WOULD WORK. WHO WOULD BE RESPONSIBLE FOR YOU'RE SPEAKING A SAFE PLACE TO PARK MANAGER. YES, THANK YOU. YES. SORRY. UH, WHO, WHO WOULD BE RESPONSIBLE? YOU'RE TALKING ABOUT SOMEONE WHO ON A DAILY BASIS IS NEEDING TO CHECK PEOPLE IN AND OUT. IT'S AN OVERNIGHT, YOU KNOW, OVERSIGHT OF WHAT'S HAPPENING THERE. THE INFRASTRUCTURE AND THE EXPENSE SEEMS SIGNIFICANT AND YOU'LL SEE IN, IN THE AGENDA BILL ITSELF. UM, SOME OF THOSE SORT OF QUESTIONS ABOUT LOGISTICS ARE, ARE UNKNOWN. SO, SO THAT WAS ONE PIECE AND THE OTHER PIECE WAS A CONCERN OVER, ONCE YOU START TO PROVIDE SOMETHING TO THE COMMUNITY, UNDERSTANDING THAT IT'S EVEN PROPOSED AS TEMPORARY, THAT, AND EVENTUALLY WE WILL DEVELOP THE CULTURAL PARK IF THAT'S THE, THE SITE THAT WE WERE TO DO THIS, IT WOULD COME TO AN END AT SOME POINT. I THINK SHANNON'S CONCEPT IS THAT IT'S AN INTERIM SOLUTION UNTIL WE'VE ACTUALLY GOT THESE UNITS WHERE WE CAN START TO PLACE PEOPLE. UM, BUT I DON'T THINK IT'S, UH, NECESSARILY A ONE-TO-ONE THAT ANYONE AND EVERYONE WHO WOULD STAY HERE IN THE TIME THAT WE WOULD BE ABLE TO DO THIS AND HAVE TO TAKE IT AWAY WOULD BE ABLE TO ALL BE TRANSITIONED AND THEN, YOU KNOW, WHAT ARE THE OPTICS AROUND MM-HMM. , WE'RE, WE'RE TAKING IT AWAY AND, AND NO LONGER WHEN PEOPLE COME TO RELY ON IT. SO THOSE WERE MY CONCERNS IN SUBSEQUENT CONVERSATIONS WITH SHANNON. SHE DID, UM, KIND OF HELP ME HAVE A LITTLE MORE COMFORT AROUND SOME OF THE THINGS ON THE LOGISTICS SIDE OF THIS. AND I KNOW I'VE TALKED TO ALL OF YOU INDIVIDUALLY, UM, IN OUR ONE-ON-ONES ABOUT THIS. BUT WHAT, WHAT I SORT OF SETTLED ON WAS NOT MAKING A COMMITMENT TO, YES, WE'RE GOING TO DO THIS AT THIS POINT, BUT IF WE WERE TO PUT A PLACEHOLDER IN THE BUDGET AND ALLOW SHANNON AND JEANIE TO DO THE WORK, TO FIGURE OUT THOSE LOGISTICS AND, AND HOW THIS COULD ALL BE DONE IN A FASHION THAT WOULD MAKE SENSE, UM, AND WOULD BE HELPFUL TO THE COMMUNITY, THAT WE AT LEAST ALLOW THEM THE OPPORTUNITY TO DO THAT. NOTHING WOULD BE SPENT ON THIS UNTIL SUCH TIME THAT THEY WOULD COME BACK AND THEY WOULD SHARE ALL OF THAT AND WITH A, WITH A COMPREHENSIVE PLAN AND, YOU KNOW, HAVE SOMETHING IN PLACE THAT, THAT EVERYONE SUPPORTED. UH, KATHY, SO UNDERSTANDING THAT IT'S JUST A PLACEHOLDER NUMBER. HOW WAS 600,000 IDENTIFIED AS THE PLACEHOLDER? SO JEANNIE DID SOME RESEARCH ON THE COSTS OF RENTING, ESSENTIALLY PORTABLE SHOWERS, PORTA POTTIES AND DUMPSTERS. AND THOSE COME UP TO BE ABOUT 200,000 ESTIMATED FOR THE YEAR. AND WE PUT A VERY LARGE ESTIMATE IN FOR THE MANAGEMENT BECAUSE I COULDN'T FIND A NONPROFIT PARTNER WHO SAID, YEAH, IF YOU, IF YOU PUT OUT A REQUEST FOR QUALIFICATIONS, WE WOULD RESPOND TO THIS. SINCE THAT TIME WHEN WE WERE PUTTING TOGETHER THE BUDGET DOCUMENTS, I HAVE HAD A COUPLE OF MEETINGS WITH THE VERDE VALLEY HOMELESS COALITION WHO SAYS, WE THINK WE CAN DO IT. WE WOULD DEFINITELY RESPOND, WE'D LIKE TO WORK WITH YOU ON THIS. SO, UM, NOW I WOULD SAY THAT BUDGET IS MORE LIKE 400,000 FOR THE TOTAL PROJECT THAN 600,000. AND I THINK SHANNON, THAT YOU ALSO HAD, BECAUSE THERE'S SOME ADDITIONAL MONEY MAYBE COMING THROUGH THE STATE YES. FOR HOMELESS THAT THERE IS A POSSIBILITY OF [02:40:01] SOME GRANT OFFSET TO THAT AS WELL. SO I DID TALK TO THE DEPARTMENT OF HOUSING ABOUT THIS BECAUSE THEY PUT OUT, UM, A NOFA A COUPLE OF WEEKS AGO THAT HAD LIKE A WEEK TO RESPOND, A VERY SHORT TIME PERIOD FOR A SMALL AMOUNT OF MONEY. UM, AND I SUBMITTED THAT, OH, I'M SORRY, I SUBMITTED A DIFFERENT PROJECT, BUT , UM, AFTER I TALKED TO THEM ABOUT IT, I MENTIONED THE SAFE PLACE TO PARK AND I SAID, WOULD THAT HAVE, YOU KNOW, WOULD THAT BE A BETTER THING TO SUBMIT? AND THEY SAID, WE HAVE A LOT, UM, CITIES AND TOWNS WHO ARE LOOKING AT SOMETHING LIKE THAT. SO WE ANTICIPATE THAT THAT WOULD BE AN ELIGIBLE USE FOR AN UPCOMING FUNDING ROUND. WHEN YOU SAY THERE ARE A LOT OF CITIES AND TOWNS LOOKING AT IT, OR YOU REPORT, SOMEBODY SAID THAT, WHAT IS THAT TRENDING? UM, WITH EVERYTHING THAT WENT ON IN PHOENIX AND WITH THE CLEAR OUTS AND NOW LEGISLATION THAT WAS PROPOSED PENDING, YOU KNOW, REGARDING HAVING TO EITHER SUPPLY BATHROOMS AND FACILITIES OR CLEAR OUT SORT OF A, YOU DAMN IF YOU DO, DAMN, IF YOU DON'T, YOU KNOW, UM, EDICT FOR MUNICIPALITIES. BUT WHAT IS THE TREND IS, IS THIS A TRENDING MOVEMENT TOWARDS SAFE PLACE TO PARK TYPE OPTIONS AND SAFE PLACE TO PARK INDICATE, WELL ANSWER THAT ONE FIRST AND I HAVE A FOLLOW UP. IT DOES SEEM TO BE INCREASINGLY COMMON, UM, NOT JUST HERE, BUT EVERYWHERE. AND I THINK STATES A LOT OF IT IS A RESPONSE TO THE LEGISLATION THAT KIND OF FORCED CITIES AND TOWNS TO DO MORE THAN JUST KICK PEOPLE OFF THE STREETS. YOU MEAN THE COURT AND THE COURT OPINION? EXCUSE ME, I WASN'T BAD. YEAH. AND, UM, SAFE PLACE TO PARK IN INDICATES A CAR THAT'S, OR A VEHICLE THAT SOMEBODY ALREADY HAS SOMEBODY. YES. IN YOUR MIND, AND AGAIN, YOU HAVEN'T DEVELOPED AND I UNDERSTAND THAT, BUT IN TRYING TO CONSIDER WHAT'S THE RIGHT PLACEHOLDER OR WHAT'S GOING FORWARD AND HOW THIS MIGHT BE, WHAT PEOPLE MIGHT ASSUME WHEN THEY SEE THE TITLE IN THE BUDGET, WE WANNA HAVE A BETTER UNDERSTANDING OF WHAT IT IS. IS A CAR A NECESSARY PART OF IT OR WOULD THERE BE SOMEBODY WHO SHOWS UP WITH A TENT OR JUST A SLEEPING BAG OR JUST NOTHING BUT YOU KNOW, THE POSSESSIONS ON THEIR BACK? HOW, HOW DOES THAT FACTOR INTO TO THIS GENERALLY? SO WE TALKED ABOUT, UM, ONE OF THE REQUIREMENTS BEING THAT, UM, THE FOLKS WHO ARE ELIGIBLE TO PARK THERE ARE A PART OF THE LOCAL WORKFORCE, UM, AND THAT IT WOULD BE, UH, IN AND OUT EVERY DAY. SO THE WHOLE SITE WOULD CLEAR AT SOMETIME 8:00 AM 9:00 AM WHATEVER IN THE MORNING. UM, AND PEOPLE WOULDN'T LEAVE THINGS THERE SO IT WOULDN'T BE A CAMPGROUND. MM-HMM. . SO I HAVEN'T FULLY FIGURED THAT OUT YET, BUT I THINK IF SOMEONE CAME AND THEY HAD NOTHING BUT A TENT ON THEIR BACK AND THEY WANTED TO SET THEIR TENT UP FOR THE NIGHT AND THEY WERE GONNA BE GONE BY NINE O'CLOCK IN THE MORNING, THAT WOULD CERTAINLY BE FEASIBLE. BUT AS LIKE A PLACE TO LIVE IN A TENT, I DON'T ENVISION IT BEING THAT AT ALL. . RIGHT. I JUST WANNA MAKE SURE LIKE THAT A VEHICLE ISN'T, UH, I'M JUST TRYING TO UNDERSTAND IF A VEHICLE IS A PART OF A REQUIREMENT OR IF ONE COULD JUST WALK IN AND WALK OUT. UM, OKAY. I MEAN, I, I I, AND IF THERE'S A PLACEHOLDER IN THE BUDGET FOR THIS, AND THIS DID NOT COME TO FRUITION, THE MONEY WOULD JUST REVERT TO BEING UNSPENT FUND BALLOTS, BUT IT COULD, BUT IT, SO IF IT WASN'T GONNA BE A LIKELY PROGRAM, IT WOULD BE ARTIFICIALLY INFLATING THE BUDGET BY THAT AMOUNT, UM, WHICH IS AN OPTICAL CONCERN. UM, I THINK HAVING A PLACEHOLDER MAKES, UH, SOME SENSE TO ME. I'M CONCERNED ABOUT THE PRESENTATION OF IT IN TERMS OF TITLE AS WELL. SO I, I THINK WE NEED TO THINK ABOUT THAT. JESSICA, DID YOU HAVE A QUESTION? IF YOU DON'T, THAT'S OKAY. I DO , YES. THANK YOU. I UNDERSTAND YOUR INTENT TO HAVE IT AS A PLACEHOLDER AND WE'LL DISCUSS IT IN MORE DETAIL THIS AFTERNOON AS TO WHETHER OR NOT THIS IS THE USE, THE REASONABLE USE OF A SIGNIFICANT AMOUNT OF FUNDING OR WHETHER THAT FUNDING SHOULD BE RESERVED TO PERMANENT HOUSING, WHICH SEEMS TO BE ON THE HORIZON, BUT I JUST WANT TO, TO PUT ON THE TABLE IF, IF IN FACT THIS IS, IS GOING TO BE DEVELOPED INTO A PROGRAM. SOME OF, SOME OF THE THINGS I WOULD WANT TO SEE, ONE OF THEM IS I HAVE READ A, A NUMBER OF ARTICLES ABOUT WHERE THIS HAS NOT WORKED AND WHERE THE COMMUNITIES HAVE TRIED IT HAVE FOUND OUT THAT THE PROBLEMS BECOME SO IMP THEY GET SO MANY PROBLEMS THAT THEY CLOSE THEM DOWN SO [02:45:01] THAT WHILE YOU'RE DEVELOPING A PROGRAM, SHOULD YOU DO THAT. I WANT A COUPLE OF EXAMPLES OF WHERE THIS HAS WORKED AND WHY IT HAS WORKED. UM, FOR ME THE, THE MOST IMPORTANT ASPECT OF ANY PROGRAM LIKE THIS IS THE QUALITY OF THE MANAGEMENT. I KNOW THAT FOR, UH, A RECENT HOUSING PROJECT THERE, THEY HAD A LOT OF TROUBLE WITH MANAGING THEIR HOUSE HOUSING UNITS BECAUSE THEY COULDN'T FIND A MANAGER WHO WAS ABLE TO MANAGE THAT POPULATION. AND I THINK IF IT COMES BACK TO ME, I HAVE TO KNOW THAT THE MANAGEMENT IS SUCH THAT THIS POP, THEY KNOW THIS POPULATION AND THEY'RE PREPARED TO DO WHAT'S NECESSARY TO ENSURE THAT IT'S MANAGED PROPERLY. UM, UH, SOME OF THE OTHER ISSUES, YOU SAY IT, I MEAN, YOU PROPOSE NOW, AND I KNOW IT'S NOT WORKED OUT THE LOG AND THAT MOST OF THESE THINGS HAVE NOT BEEN THOUGHT THROUGH, BUT PORTA POTTIES AND SHOWERS AND DUMPSTERS ARE, ARE, I THINK WONDERFUL. AND I ACTUALLY THINK THEY WOULD BE NECESSARY. I WOULD NOT LOOK TO HAVING A PROGRAM WHERE WE DON'T OFFER THOSE. ON THE OTHER HAND, YOU HA WE DO HAVE A HOMELESS AND A TRANSIENT POPULATION THAT IS IN NEED OF SHOWERS AND PUBLIC RESTROOMS, UM, DURING THE DAY, IF THOSE ARE ATTEMPTED TO BE CLOSED OFF, ARE THERE SECURITY OR SOMETHING THAT YOU WOULD BE THINKING ABOUT? UM, UNDERSTANDING THAT IF THEY'RE OPEN AND THEY'RE AVAILABLE, TRANSIENT POPULATIONS TEND TO CLUSTER AROUND THOSE AND THOSE WOULD BE, AND SO THOSE ARE THE KIND OF ISSUES THAT I WOULD BE LOOKING TO HAVE YOU COME BACK, SHOULD YOU COME BACK WITH ANSWERS TO THOSE, BECAUSE I THINK THOSE ARE THE, ARE THE ISSUES THAT WOULD KILL A PROGRAM LIKE THIS. CERTAINLY IN THEORY IT'S A, IT'S A MARVELOUS PROGRAM, YOU KNOW, , UM, ALSO HOW YOU WOULD, SO THOSE ARE THE, THE MAIN THINGS, UM, THAT I HAVE IS THE SECURITY. WOULD YOU BE LOOKING AT HAVING SOMEONE THERE AT THE SITE 24 HOURS A DAY, LIKE THEY HAVE CAMPGROUND MANAGERS, THINGS LIKE THAT. SO THAT'S WHAT I WOULD BE LOOKING FOR AT THE MINIMUM. SHOULD YOU COME BACK. SO, THANK YOU VERY MUCH. PETE, DID YOU HAVE A QUESTION? I THOUGHT I SAW YOU DID. I THINK WE'RE A LITTLE BIT AT RISK OF SPENDING A LOT OF TIME TALKING ABOUT THIS. YES. THAT'S POTENTIALLY A PLACEHOLDER ITEM IN THE BUDGET, RIGHT? SO MANAGER, I WANNA JUST MAKE SURE THAT YOU CAME OUT WITH A NOT REC, I WANTED TO JUST RESTATE THAT YOU CAME OUT WITH A NOT RECOMMENDED THIS TIME. YOU'VE PERHAPS SHIFTED YOUR POSITION. YOU ARE IN SUPPORT OF A PLACEHOLDER ELEMENT AT THIS TIME. I'M ALSO WONDERING, GIVEN THE SIGNIFICANCE OF THE QUESTIONS THAT HAVE ALREADY BEEN ASKED, WHETHER WE'RE ACTUALLY LIKELY TO BE ABLE TO WORK THROUGH A PROCESS AND NEED FUNDING IN THE NEXT FISCAL YEAR. AND SO WHETHER A PLACEHOLDER MAKES SENSE OR NOT. THAT'S A GOOD QUESTION. I I WOULD LOOK TO SHANNON TO THAT, TO ME IT MAKES SENSE. I FEEL LIKE IF THE, IF YOU ALL DECIDE THIS ISN'T THE PROGRAM AND THIS ISN'T A GOOD FIT, UM, THERE ARE OTHER EMERGENCY MEASURES THAT PERHAPS WE COULD TAKE FOR FOLKS WHO ARE LIVING IN THEIR CARS RIGHT NOW. UM, ONE OF THE THINGS THAT I REALLY LIKE ABOUT THIS IS IT WOULD ENABLE US TO COUNT THIS POPULATION THAT IS VIRTUALLY UNCOUNTABLE BECAUSE WORKING PEOPLE LIVING IN THEIR CARS DON'T WANT ANYONE TO KNOW THAT. UM, OFTENTIMES NOT EVEN THEIR EMPLOYER. BUT I DO HEAR FREQUENTLY FROM EMPLOYERS THAT THEY HAVE A LOT OF EMPLOYEES LIVING IN THEIR CARS. AND I FEEL LIKE IF THIS ISN'T THE PROGRAM, MAYBE THERE'S SOMETHING ELSE THAT WOULD BE PETE, DONE. ARE YOU DONE? I THINK I'M DONE. I THINK THIS IS A, A WORTHY TOPIC OF, OF A COUNCIL CONSIDERATION. I'M ALSO TRYING TO POSITION WHETHER OR THINK THROUGH WHETHER WE'RE LIKELY TO VOTE FOR A PROGRAM AND HOW MUCH TIME ARE YOU GONNA END UP SPENDING WORKING US THROUGH A PROCESS TO MAYBE GET A NO ANSWER IN THE END. I DON'T KNOW THE ANSWER, BUT . YEAH. AND I THINK THAT IF THERE IS SO MUCH HESITANCY ABOUT ANY OF THOSE POTENTIAL ISSUES THAT I HAD HAD DESCRIBED, THEN LET'S NOT PUT SHANNON AND JEANIE THROUGH THE EXERCISE OF TRYING TO GET, YOU KNOW, DOWN TO THE FINITE DETAILS FIGURED OUT. UM, SO IF YOU KNOW THAT NOW THAT YOU REALLY [02:50:01] DON'T HAVE AN APPETITE FOR THIS, LET'S, LET'S NOT INCLUDE IT. I HAVE AN APPETITE. WELL, GENE, GO AHEAD TO THE PODIUM. THANK YOU, YOUR HONOR. I JUST, I JUST WOULD LIKE TO MAKE ONE MORE COMMENT ON THE POPULATION THAT WOULD UTILIZE THIS PROGRAM. THERE ARE, IN THE SEDONA SCHOOL DISTRICT, THERE ARE 20 SEVENISH. THAT'S MY CONCERN. YOU KNOW, HOMELESS STUDENTS, YOU KNOW, IT VARIES, BUT IT'S AROUND THAT. YOU SPEAK UP JUST A LITTLE BIT THOUGH. THE MIC. IT'S, THERE'S AROUND 20, MAYBE 25 TO 30 HOMELESS STUDENTS WITHIN THE SCHOOL SYSTEM. AND OF THOSE FAMILY, OF THOSE CHILDREN, UM, THERE'S FIVE FAMILIES THAT ARE KNOWN THAT LIVE IN THEIR VEHICLES IN THE NATIONAL FOREST, AND THEIR PARENTS DRIVE THEM TO SCHOOL EVERY DAY. SO THIS IS ANOTHER SMALLER, YOU KNOW, SUBSET THAT COULD BENEFIT FROM A PROGRAM LIKE THIS. ALRIGHT, SO, UM, I, I'M VERY CONCERNED ABOUT THIS. I, I SHARE COUNCILOR WILLIAMSON'S APPREHENSION, APPREHENSION, BUT I'D, I'D LIKE TO SEE IF WE COULD WORK THROUGH THIS BECAUSE OF WHAT GENE JUST SAID AND COMMENTS AND CONVERSATION I HAD WITH SHANNON. THIS IS OUR WORKFORCE. I THINK WE NEED TO, IN MY MIND, I WANT TO DO WHAT I CAN TO TRY TO HELP OUR WORKFORCE. IF IT DOESN'T WORK FOR EXACT REASONS THAT COUNCILOR WILLIAMSON'S TALKING ABOUT, I GET IT. I HAVE THE SAME CONCERNS. UH, BUT THEN JUST SAY NO WITHOUT HEARING THE OPTIONS. UH, I'M A LITTLE CONCERNED ABOUT AS FAR AS HAVING IT ON THE, UH, IN THE BUDGET, IF IT'S OVERINFLATED BY 600,000 OR 400,000, WHATEVER THE AMOUNT IS, AND IT TURNED OUT NOT TO BE FUNDED. I CAN ACCEPT THAT THIS IS SOMETHING THAT MM-HMM. , I FEEL STRONG, WE NEED TO PUSH IT AND WE NEED IF, IF IT'S IN THERE, SO BE IT. IF IT GOES TO ANOTHER HOUSING INITIATIVE, IT'S NOT GONNA BE WASTED. IT'S NOT GONNA GONNA GO INTO GENERAL FUND. I HOPE WE'LL DECIDE TOGETHER, BUT, UH, I THINK WE DON'T KNOW WHAT WE DON'T KNOW. AND MAYBE WE'LL LEARN SOMETHING THAT WE COULD, IT MAY SWAY SOME OF US, MAKE US FEEL A LITTLE BIT MORE ENAMORED WITH THE IDEA, BUT IT, YOU KNOW, I'D RATHER KEEP IT IN THERE. SO I KNOW, KATHY, YOU, WHAT'S SOMETHING YOU WANTED TO SAY? YEAH, THERE'S JUST SO MUCH NEED ON SO MANY LEVELS MM-HMM. . AND ONE OF THE THINGS THAT I'M STRUGGLING WITH, WITH, WHICH GOES BACK TO SOME OF THE QUESTIONS I WAS ASKING BEFORE, IS IF YOU HAVE A CAR, PEOPLE ARE LIVING IN THE FOREST THAT IS OPEN FOR, YOU KNOW, FOR PEOPLE TO CAMP IN AND STAY THE NIGHT IN. AND, UM, LONGER, I'M STILL CONCERNED ABOUT PEOPLE WHO DON'T EVEN HAVE THAT VERY BASIC RESOURCE. UM, SO I'M WONDERING WHEN I'M TRYING TO MAKE BUDGET DECISION, IS THE MONEY BEST SPENT ON SOMETHING LIKE THIS OR ON A DROP-IN CENTER WHERE PEOPLE WHO DON'T HAVE A CAR AND CAN'T GET OUT TO THE FOREST AND ARE BEING PUSHED OUT OF OTHER AREAS BECAUSE WITHIN THE CITY THEY'RE NOT CAMPING AT THIS POINT. UM, YOU KNOW, SO THIS IS WORTHY OF COUNCIL AND CONSIDERATION, BUT I SEE A LOT OF DIFFERENT ISSUES AND IF YOU'RE GOING TO COME BACK, YOU NEED TO KNOW WHAT'S ON OUR MIND NOW. SO YOU CAN SPEAK TO THAT. SO, ALTHOUGH IT SEEMS LIKE WE'RE BELABORING IT NOW, IF WE'RE GONNA COME TO THIS IN A DECISION PACKET AND HAVE A DISCUSSION, AGAIN, YOU NEED TO KNOW WHAT, WHAT'S ON OUR MIND. SO THAT, THAT IS SOMETHING FOR ME. I'M, I'M LOOKING AT SOMETHING THAT MAYBE SERVES EVEN A BROADER NEED THAN THE CAMPING NEED, WHICH IT'S NOT OPTIMAL. AND AS I SAID, THERE'S A GREATER NEED, BUT IT THAT DOES EXIST OUTSIDE THE CITY LIMITS TO A DEGREE. UM, SO I'M WONDERING IF, IF THIS IS THE ALTERNATIVE TO SPEND THE TIME AND EFFORT OF YOUR DEPARTMENT IN WHEN THERE IT DOESN'T ADDRESS A PORTION OF THE HOMELESS POPULATION IS STILL NOT REALLY ADDRESSED WITH THIS BECAUSE THEY DON'T HAVE ANY, ANY BASIC SHELTER. THERE ARE OTHER, UM, PROGRAMS AND INITIATIVES AND PARTNERS THAT WE'RE TALKING TO ABOUT PEOPLE WHO ARE COMPLETELY HOMELESS. SO WE'RE NOT OVERLOOKING THAT POPULATION. IT'S JUST THIS PROGRAM MAYBE ISN'T TO SERVE THAT POPULATION. SH SHANNON, I WANNA GO BACK. UH, CUZ I KNOW KATHY HAD SOMETHING. SHE, I I APPRECIATE THOSE COMMENTS. THANK YOU. UH, COUPLE OF THINGS. YA BY COLLEGE IS DOING SOMETHING WITH RVS MM-HMM. , CAN YOU EXPLAIN IN QUICK DETAIL, ARE THEY SUPPLYING THE RVS? ARE PEOPLE BRINGING THEIR OWN RVS? ARE ARE THEY, YOU KNOW, IS IT GONNA BE ON COLLEGE PROPERTY? PLEASE ELABORATE. SO BOTH IT IS GOING TO BE ON THEIR PROPERTY. THEY ANTICIPATE SOME PEOPLE BRINGING THEIR OWN RVS AND THEY'RE CURRENTLY LOOKING INTO, AND I THINK PLAN TO [02:55:01] PURCHASE A COUPLE OF RVS TO PROVIDE FOR PEOPLE WHO DON'T HAVE THEIR OWN AND ALSO CAN'T FIND HOUSING. THEY'RE ONLY GONNA HAVE 10 SITES PARKING PLACES, UM, INITIALLY, BUT THEY WILL BE PLACES WHERE PEOPLE LIVE. SO THEY STAY THERE ALL THE TIME ON, ON, ON SET. UM, BUT THAT'S ONLY OPEN TO EITHER BEING AN EMPLOYEE OR A STUDENT OF THE COLLEGE. NO, I, AND I UNDERSTAND, AND THE REASON FOR MY ASK, UH, OF THE QUESTION IS, WHEN YOU COME BACK TO US WITH INFORMATION, CAN YOU BRING US BACK SOME ANECDOTAL, UH, PLUSES AND MINUSES ON HOW THAT WORKS? NOT JUST WITH BY COLLEGE, BUT ANYWHERE ELSE? I'M SURE YOU, YOU KNOW, YOU'RE REALLY IN TUNE TO THIS TOPIC, SO I'M SURE YOU CAN FIND A PLACE OR TWO. OH YEAH, DID IT WORK? DID IT NOT WORK? WHAT ARE THE, UH, YOU KNOW, UH, TRAPS BECAUSE I, I THINK MAYBE THAT'S SOMETHING WE SHOULD BE LOOKING AT IN ADDITION FOR EMPLOYEES. AND I DON'T KNOW HOW I'M GONNA LOOK TO THE CITY ATTORNEY, UH, AS FAR AS IF WE DO WHATEVER WE'RE GOING TO DO AND WE RE CAN WE LEGALLY RESTRICT IT TO EMPLOYEES, BUT THEN YOU HAVE SOMEONE WHO WALKS IN WITH A TENT AND WANTS TO SET UP SHOP AND HE'S NOT AN EMPLOYEE. CAN WE LEGALLY KEEP PEOPLE OUT? SO GENERALLY MAYOR AND COUNSELORS, IT, IT'D BE ACCEPTABLE TO DO EMPLOYEE HOUSING. UM, THAT'S SOMETHING WE COULD DO. UM, THERE COULD ALWAYS BE EXCEPTIONS POTENTIALLY FOR MAYBE, UM, ADA. UM, BUT EMPLOYEE HOUSING, THERE'S HOUSING RESTRICTIONS HAVE ALSO BEEN DONE BY CITIES FOR LIKE FIRST RESPONDERS, NURSES, SCHOOL TEACHERS. UM, SO THAT'S, THAT CAN BE DONE. YES. OKAY. SO I'D BE INTERESTED TO SEE, YOU KNOW, WHAT KIND OF EXPERIENCE THEY HAVE ONCE THEY START PUTTING PEOPLE IN THERE. RIGHT NOW THEY'RE STILL IN KIND OF DEVELOPMENT STAGES. UM, WHAT'S THAT TIMEFRAME? OH, BOY. FOR THE NEXT, UH, COLLEGE. I THINK THEY'RE SUPPOSED TO START IN THE FALL, THE NEXT SEMESTER. YEAH. YEAH. COOL. BUT, UM, WE DO HAVE PLENTY OF EXAMPLES OF SIMILAR PROJECTS THERE, RV PARKS, BECAUSE THAT'S REALLY ALL IT IS, IS AN RV PARK IF WE DON'T RESTRICT IT, YOU KNOW, TO RIGHT. AND I DON'T WANNA GET DEEP INTACT BECAUSE WE HAVE A LOT OF OTHER THINGS TO DO, BUT FOR A FUTURE ITEM, IF YOU COULD SHARE, UH, SOME OF THAT STUFF WITH US, I DON'T KNOW IF WHAT WE'RE DOING IS COMPARABLE WITH AN RV PARK PER SE, BECAUSE OF THE, SOME RV PARKS THEY HAVE VERY, VERY EXPENSIVE 300, $400,000 RV. SO THAT'S NOT WHAT THIS IS. UH, I EACH OF YOU. SO WHY DON'T GO WITH THE VICE MAYOR THEN? UH, MELISSA AND THEN BRIAN. SO FROM MY PERSPECTIVE, I WAS READING THAT ARTICLE THAT DAVID MEYER SENT US ABOUT HOUSTON, WHICH I FORWARDED TO YOU, WHICH SEEMS LIKE THEY'VE TACKLED THIS, THIS PROBLEM HAD SOME SUCCESS. I DON'T KNOW IF YOU AGREE WITH THAT. UH, BUT WHAT THEY SAY IS THAT A PERMANENT HOME IS THE NUMBER ONE PRIORITY. RIGHT. SO IN MY MIND, IF WE HAVE TO CHOOSE, I'M NOT GONNA SUPPORT THIS OVER THE MONEY TO GO INTO PERMANENT HOUSING FOR THESE OTHER DEVELOPMENTS. IF WE HAVE TO CHOOSE, THIS WOULD GO LOWER ON MY LIST. SECONDLY, THIS IS A QUESTION FOR ANDY. CAN YOU, IS, IS THERE, ARE THERE SOME NUMBER OF ACRES THAT ARE JUST READY TO BE TRANSITIONED IF WE WERE TO GO FORWARD WITH THIS? OR, OR, OR IS THERE NEEDED LAND? UH, SITE WORK. SITE WORK, YEAH. SITE WORK, SITE PREP. AND THAT'S NOT CULTURAL PARK. YEAH, THAT'S NOT FACTORED INTO THE FUNDING REQUIREMENT RIGHT NOW. I, I THINK IT DEPENDS ON WHAT SORT OF FACILITIES THAT, THAT WE WANT. UM, THERE'S CERTAINLY SOME AREAS THAT ARE OPEN THAT ARE FLAT THAT MIGHT, UM, YOU KNOW, IT WAS ALREADY SORT OF USED IN THIS WAY IN THE PAST. UM, NOT, NOT NECESSARILY LEGALLY MM-HMM. AND, UM, JUST BASED ON, UH, YOU KNOW, A LOT OF ISSUES THAT WE WERE HAVING WITH THAT WE ENDED UP MOVING IN AND, AND CLOSING THAT OFF AND MAKING IT WHERE, WHERE THAT AREA COULDN'T BE USED IN THAT WAY, BUT IT WOULDN'T BE THAT HARD TO OPEN IT BACK UP AND MAKE IT USABLE. IT'S JUST A MATTER OF, UH, YOU KNOW, FOR INSTANCE, LIGHTING, THERE'S, UM, EVIDENCE AT THAT SITE THAT THERE USED TO BE LIGHTING THERE, BUT THERE'S BEEN SEVERE, UM, VANDALISM AND DAMAGE DONE IN THAT AREA. AND SO YOU'VE GOT LIGHT POLES JUST LAYING ON THE GROUND AND STUFF LIKE THAT. SO, UM, AS IN ADDITION, UM, POWER IS LIKELY TO BE AN ISSUE. WE HAVEN'T TESTED THE AREA TO SEE WHAT WE HAVE, BUT MY UNDERSTANDING, UM, JUST FROM SOME OF THE SITE INSPECTIONS THAT WE DID WHEN THE PROPERTY WAS PURCHASED, IS THAT THERE ARE TRANSFORMERS THAT HAVE ACTUALLY BEEN OPENED UP AND [03:00:02] YOU KNOW, THE INSIDES HAVE BEEN GUTTED. AND SO I, WE REALLY DON'T HAVE A GOOD FEEL RIGHT NOW FOR WHAT LEVEL OF WORK WILL BE NECESSARY TO BRING UTILITIES IN. DO WE WANT WATER THERE, FOR INSTANCE? YEAH. UM, SO THERE'S A LOT OF QUESTIONS THAT I DON'T KNOW THE ANSWER TO. SO IT DID WHEN WE WERE GETTING THE ESTIMATES FOR THE TOILETS AND SHOWERS EXPRESSED THAT THEY WOULD NEED TO BE THE KIND THAT HAVE TANKS BECAUSE WE WOULDN'T TO THE, THE FACILITIES. SO, WELL, I'D LIKE TO ASK ABOUT THAT BECAUSE THERE, THERE WERE BATHROOMS THERE. UH, AND IF THEY COULD BE RETROFITTED BECAUSE THEY HAVE, AT LEAST THEY HAVE A WATER LINE, DOMESTIC WATER LINE. AND DO YOU HAVE ACCESS TO THE, UH, SEWER? SO THERE IS SEWER ON SITE? THERE IS WATER ON SITE, BUT UM, AGAIN, WITH, WITH THE SEWER, THERE WAS A LIFT STATION ON THE PROPERTY AND, AND I COULDN'T TELL YOU IF THAT'S OH, SURE. IT'S GONE. MY BEST GUESS IS IT'S NOT IN WORKING, WORKING ORDER. UM, I CAN ALSO TELL YOU THAT THAT WAS A PRESSURE SYSTEM, SO YOU KNOW, IF YOU WANT TO HOOK UP TO IT, IT'S NOT A SIMPLE PROCESS. OKAY. UM, AS FAR AS WATER GOES, I COULDN'T TELL YOU EXACTLY WHERE ALL THE WATER LINES ARE. THERE, THERE ARE WATER LINES AS, AS YOU MENTIONED, UM, YOU KNOW, THERE WAS A RESTROOM FACILITY THERE BEFORE THERE WAS A MAINTENANCE BUILDING AND THOSE BUILDINGS, YEAH, DEFINITELY APPEAR TO HAVE UTILITIES TO THEM, BUT, YOU KNOW, OKAY. I DON'T THINK YOU COULD GO TURN ON THE FAUCET AND EXPECT WATER TO COME OUT. OKAY. I RIGHT. I JUST WANNA KNOW IF THERE WAS THERE, I DON'T WANNA GO TOO, TOO DEEP LIKE RIGHT. KATHY'S SAYING, BUT UH, JUST FOR THE FACT THAT THERE'S AN OPTION, THERE MIGHT BE AN OPTION TO LOOK AT. COULD BE IN THE FUTURE. OKAY. THANK YOU. UH, MELISSA. SO JUST A COUPLE OF THINGS. UM, FIRST OF ALL, I'D LIKE TO BRING IT BACK TO WHAT I UNDERSTOOD THE PREMISE WAS FOR THIS. SO FIRST OF ALL, THIS ISN'T A SOLUTION TO HOMELESSNESS, RIGHT? THIS WAS A SOLUTION FOR PEOPLE WHO WORK WITHIN THIS CITY. UM, NUMBER ONE, WE KNOW WE HAVE A LOT OF PEOPLE WHO ARE SLEEPING IN CARS AND THEY'RE ALL OVER THE CITY. UM, AND WE READ ABOUT THEM SOMETIMES IN THE POLICE BLADDER. SO THAT WAS THE POPULATION. I BELIEVE THAT THIS WAS AIMED AT NOT A HOMELESSNESS SOLUTION. UM, SECOND I HEARD THIS WAS TEMPORARY. SO THIS IS INTERIM. SO DO WE REALLY NEED TO BRING IN WATER AND SEWER AND SORT OF ALL THAT SORT OF THING? UM, OR CAN WE DEAL WITH THE FACT THAT IT'S INTERIM? YEAH. INTERIM ALSO MEANS YOU SHOULD HAVE LIKE A TIME AT WHICH IT ENDS. UM, SO THAT SHOULD BE KEPT IN MIND SECOND OR THIRD. THERE'S NO PLACE TO PUT THESE PEOPLE. SO THIS ISN'T LIKE TOMORROW WE CAN PUT THEM LIKE HOUSTON INTO A HOME. WE DON'T HAVE ANY HOMES, RIGHT? SO THAT'S GONNA TAKE US, I THINK, A LOT LONGER PERIOD OF TIME THAN I THINK WAS INTENDED FOR THIS SOLUTION. THIS SOLUTION WAS INTENDED TO SAY, LET'S KEEP OUR WORKFORCE POPULATION HERE WORKING IN THE CITY UNTIL WE CAN GET THEM HOMES. AND FINALLY, I AM AWARE OF THE FACT THAT WE HAVE TRANSIENT WORKFORCE, SEASONAL WORKFORCE. THEY COME HERE WHEN WE'RE IN HIGH SEASON, WHETHER IT'S MOUNTAIN BIKING OR IT'S THE HOTELS OR IT'S, YOU KNOW, RESTAURANTS, WHATEVER IT IS, IT'S SEASONAL. AND WHEN WE GO INTO LOW SEASON, THEY PACK UP THEIR CAR AND THEY GO SOMEWHERE ELSE. SO THEY'RE LIVING IN THEIR CARS BECAUSE A PERMANENT SOLUTION, A PERMANENT HOME DOESN'T MAKE SENSE FOR WHAT THEY'RE CURRENTLY DOING AS FAR AS THEIR WORK PATTERN IS CONCERNED. SO I JUST SORT OF WANTED TO BRING UP THOSE POINTS AND REMIND US THAT I THINK THAT THAT WAS THE POPULATION AND SHANNON COULD NOT HER HEAD AND SAY, YES, THAT WAS THE POPULATION THEY WERE REALLY AIMING FOR. AND IS A VERY DIFFERENT POPULATION, A VERY DIFFERENT KIND OF SOLUTION THAN HOMELESSNESS OR WAITING UNTIL WE HAVE HOMES TO PUT PEOPLE IN. THANK YOU BRIAN. I KNOW YOU DID WANT TO WEIGH IN, RIGHT? YEAH. I'LL JUST WEIGH IN TO SAY THAT I, AS I'VE LISTENED TO EVERYONE TALK ON THIS SUBJECT, UH, IT, IT BRINGS TO MIND WHY THE, UH, THE CITIZEN WORK GROUP SAID, HEY, YOU KNOW WHAT? HOLD OFF ON THIS UNTIL YOU DO THE STRATEGIC PLAN BECAUSE WE JUST KEEP BROADENING THE CONSIDERATION. AND COUNCIL ARE DONE JUST RIGHTFULLY, YOU KNOW, BROUGHT US BACK TO, YOU KNOW, WHAT THIS WAS ABOUT. SO, YOU KNOW, IT FEELS LIKE WE NEED TO MOVE ON TO THE NEXT SUBJECT HERE. OKAY. ANY OTHER COMMENTS BEFORE WE DO MOVE ON? OKAY. THEN THE NEXT, UH, DECISION PACKAGE. ARE WE, YEAH, WE CAN JUST OPEN IT UP. ARE, ARE THERE OTHER DECISION PACKAGES THAT ANYONE WOULD LIKE TO TALK ABOUT? MELISSA, THIS MIGHT BE WHERE COUNCILLOR WILLIAMSON IS GOING TO. I JUST ALSO WANTED TO TALK ABOUT THE COLD, [03:05:01] WET WEATHER EMERGENCY PACKAGE. MM-HMM. , BECAUSE WE DO HAVE THE SAHA COLD BLUE AND, AND WHAT'S THE CONFLICT, IF THERE'S ANY, AND WHAT WOULD BE THE DIFFERENCE AND HOW WOULD THIS BE MANAGED DIFFERENTLY, SO AND SO ON? UM, I THINK THAT WE WOULD PUT OUT A, A REQUEST FOR QUALIFICATIONS, UM, FOR THOSE FUNDS. ONE OF THE CHALLENGES THAT, UM, THAT WE HAVE WITH SAHA IS THAT THEY DON'T REALLY DO ANY KIND OF REPORTING ABOUT THE POPULATION THAT THEY SERVE. SO, UM, YOU KNOW, THEY MIGHT NOT BE THE RECIPIENT OF THESE PHONES AS WE CHOOSE SOMEONE TO IMPLEMENT A PROGRAM. AND IF I COULD ADD TO THAT, UM, SO THE SMALL GRANT COMMITTEE DID JUST FINISH THEIR REVIEW END OF LAST WEEK, AND SAHA APPLIED AGAIN FOR CODE BLUE MONEY AND THE COMMITTEE IS RECOMMENDING A SMALL GRANT TO SAHA FOR THIS PURPOSE IN THE AMOUNT OF $15,000. OKAY. WE'LL TALK MORE ABOUT THAT FOR THE SMALL GRANTS. THANK YOU. THAT HELPS. UH, JESSICA, I KNOW YOU HAD SOMETHING TO WEIGH IN ON. UM, NO, I THINK, I THINK THE ANSWER ABOUT PUTTING OUT AN R F P AND WHY WE WOULDN'T GO TO THE PERSON IS DOING IT NOW ANSWERED MY QUESTION. THEY THANK YOU. DIFFERENT SAHA CERTAINLY HAS A CONNECTION WITH THE POPULATION THAT I NO, I UNDERSTAND THAT. BUT WE HAVE, YEAH. WE HAVE A CONTRACT THAT REQUIRES CERTAIN RECORD KEEPING AND THAT IS JUST SOMETHING THAT WE HAVE TO TAKE INTO ACCOUNT WHEN WE DECIDE HOW TO MOVE FORWARD ON THIS PROJECT BECAUSE IT'S, IT'S SOMETHING THAT NEEDS TO BE DONE. AND THE ONLY QUESTION IN MY MIND IS WHO DOES IT? YEAH. AND I THINK WHEN, WHEN WE CONSIDER SMALL GRANT PROPOSALS, THEY GENERALLY ESTABLISH THE CRITERIA UNDER WHICH THEY OPERATE. RIGHT. SO WE DON'T COME BACK AND DICTATE AND SAY, WE'LL GIVE YOU THIS. WE COULD, BUT WE TYPICALLY DON'T TO SAY, WELL, WE'LL GRANT YOU $15,000, BUT HERE, HERE ARE THE STRINGS. YOU HAVE TO TELL US THIS, THIS, THIS, THIS, AND THIS. SO WE HAVE GENERAL REPORTING REQUIREMENTS. THEY'RE REQUIRED TO GIVE US A, A FINAL REPORT. BUT THAT COULD BE AS SIMPLE AS SAYING, YOU KNOW, WE SPENT THE MONEY ON THESE DATES, OR IT DOESN'T. RIGHT. I GOT IT. YEAH. SO, SO THAT THERE IS NO REPORTING REQUIREMENT IN ANY OF THE FUNDING THAT THEY HAVE BEEN PART OF THAT THEY HAVEN'T COMPLIED WITH? NOT TO THE EXTENT THAT WHAT SHANNON'S TALKING ABOUT. I SEE. AND, AND SO THIS IS A DECISION THAT WE'VE MADE AS A, TO TRY AND USE OUR FUNDING IN ORDER TO GATHER FUNDAMENTAL INFORMATION THAT WE NEED IN ORDER TO ASSESS THE POPULATION. IS THAT RIGHT? AND TO BE ABLE TO BETTER SERVE THAT POPULATION AND MOVE THEM OUT OF HOMELESSNESS AS OPPOSED TO JUST SUPPORTING THEM IN HOMELESSNESS SO THAT THERE'S NO CONFLICT BETWEEN A SMALL GRANT AND THIS PROJECT. THANK YOU. NO, BUT IF IT, IF NO, THERE ISN'T, THERE IS, UM, THERE IS WHY, BECAUSE IF THIS IS THE, OUR GOAL, OUR HOUSING DEPARTMENT'S GOAL. YEAH. AND WE'RE TO SOME EXTENT POTENTIALLY UNDERMINING THAT BY ALSO GIVING $15,000 WITH NO STRINGS TO SAHA. SO I THINK IT'S JUST SOMETHING THAT WE NEED TO BE MINDFUL OF. WHEN SHANNON PUT THIS TOGETHER, WHEN WE TALKED ABOUT IT, WE OF COURSE KNOW ABOUT SA HA'S PROGRAM, BUT WE HAD, WE DIDN'T KNOW THAT WHAT THEY WERE APPLYING FOR OR HOW THE COMMITTEE WOULD REVIEW AND WHAT RECOMMENDATIONS THEY WOULD MAKE FOR FUNDING. BUT I THINK IT IS SOMETHING TO KNOW AND BE AWARE OF WHEN THOSE GRANT RECOMMENDATIONS COME TO THE CITY. SO THIS TIME, THIS TIME, WE SHOULD TALK ABOUT THIS IN THE FUTURE, UM, ABOUT, ABOUT THE SMALL GRANT WHEN IT COMES BEFORE US, SO, OKAY. AND WE'LL TALK ABOUT THE MUR THE PACKAGE ITSELF AT A LATER TIME TODAY. WE'RE ASKING QUESTIONS NOW? YEAH. ABOUT IT? YES. OKAY. KATHY? YEAH, I, KAREN, IF YOU COULD ANSWER THIS FOR ME. UM, I THINK IT'S TO YOU, NOT TO SHANNON, THIS THE COLD, WET WEATHER EMERGENCY FUND. SO, OKAY. SAHA GETS A GRANT. THAT'S ONE THING. THIS WOULD BE A SEPARATE, AND THEN THERE'S STILL YOUR CONTINGENCY. THIS DOES NOT IMPACT THAT CONTINGENCY. LIKE FOR EXAMPLE, THE FLOODING, I DON'T HAVE A CONTINGENCY. SO THERE WAS A UNIQUE SITUATION ONE TIME RECENTLY IN THE SPRING WHEN WE HAD ALL THE FLOODING THAT I MADE A DECISION, RIGHT? UH, IT WAS LESS THAN $5,000. BUT IF THIS IS, [03:10:01] IF THIS IS SOMETHING WHERE, CUZ $15,000, BUT THIS IS IN PLACE THAT WOULD TAKE YOU, IF THIS WAS IN PLACE, THIS WOULD BE SOMETHING THAT COULD BE UTILIZED FOR THE SAME TYPE OF PURPOSE AS WHEN YOU HAD IN THAT EMERGENCY. I THINK THIS MONEY COULD GO PRETTY QUICKLY. IT MM-HMM. 15,000 IS NOT A LOT OF MONEY. WHAT WHAT I HAD APPROVED WAS TWO OR THREE NIGHTS FOR A HANDFUL OF PEOPLE AND IT WAS DARN NEAR $5,000. UH, SO MM-HMM. , THE MONEY WILL GO QUICKLY. SO, SO IF YOU ARE INTERESTED IN BEING ABLE TO OFFER MORE ROOMS AND, AND MAYBE THEY'RE NOT NEEDED, BUT YOU'RE PROBABLY GONNA WANNA HEDGE ON MAKING THIS A LARGER DOLLAR AMOUNT. THAT, THAT'S WHERE I'M TRYING, TRYING TO UNDERSTAND, BECAUSE I WANNA MAKE SURE THAT WE'RE PREPARED, SINCE WE KNOW YOU CAN'T ANTICIPATE AN EMERGENCY, IT COMES OUTTA NOWHERE, BUT YOU CAN ANTICIPATE THAT THERE WILL BE SOME SORT OF EMERGENCY AT SOME POINT. UM, SO I'M TRYING TO, I'M TRYING TO MAKE SURE, ARE WE AT RIGHT FUNDING LEVELS TO DEAL WITH THESE EXTREME CIRCUMSTANCES THAT WE DON'T KNOW WILL HAPPEN OR WON'T, BUT MOST LIKELY SOMETHING AT SOME POINT IS GOING TO COME UP. YEAH. AND IT'S NOT JUST BASED ON FIRE AND FLOOD AND, AND NOT EVEN FROM AN EMERGENCY PERSPECTIVE. YOU, SOME WINTERS ARE JUST COLDER THAN OTHERS. THIS PARTICULAR WINTER WAS VERY COLD, SO THEY HAD MANY, MANY MORE NIGHTS THAT MET THE CRITERIA OF BEING UNDER THE, THE FREEZING TEMPERATURES. SO THEY RAN OUTTA MONEY. AND I'M TALKING ABOUT SAHA THROUGH THEIR FUNDRAISING PRIMARILY. UM, WE GAVE THEM, I THINK SOME THROUGH A SMALL GRANT LAST YEAR. I CAN'T REMEMBER HOW MUCH, BUT THEY WERE OUTTA MONEY PRETTY QUICKLY BECAUSE IT JUST HAPPENED TO BE, UH, COLDER WINTER THAN WHAT WE'VE EXPERIENCED IN THE PAST. AND THAT'S HARD TO FORECAST. I'M, I'M JUST TRYING TO GET TO A POINT OF MAKING SURE THAT THROUGH ONE PROGRAM, TWO PROGRAM THREE, WHATEVER IT IS, THAT WE ARE COMING UP WITH THE RIGHT AMOUNT OF MONEY TO MEET THE NEEDS THAT ARE OUT THERE. CUZ THE, I WOULD, I WOULD PICK A HIGHER DOLLAR AMOUNT IF YOU'RE TRYING TO SORT OF BE MORE COMPREHENSIVE AND, AND MAKING SURE YOU CAN COVER AS MANY PEOPLE AS COULD POTENTIALLY NEED THIS FOR AS MANY DAYS AS OUR FREEZING. THANK YOU. BUT THAT'S HARD TO QUANTIFY WHEN YOU TURN IT ON. THAT'S WHY I'M SAYING HEDGE, HEDGE HIGHER, THIS 15,000 IS NOT A LOT. WHAT DO YOU THINK WOULD BE APPROPRIATE? I'M GONNA LOOK TO SHANNON. I DON'T KNOW. I WAS VERY CONSERVATIVE WITH THIS BECAUSE LIKE I SAID, WE DON'T HAVE A GOOD COUNT OF, UM, HOMELESSNESS. AND AGAIN, THAT THE STRATEGIC PLAN WOULD BE HELPFUL FOR THAT. UM, RIGHT. YOU KNOW, I WAS ANTICIPATING THAT SAHA WOULD ASK FOR SMALL GRANT FUNDS AGAIN. SO THIS WOULD BE ADDITIONAL FUNDING ON TOP OF THAT. UM, THE OTHER THING TOO IS THAT JUST SECOND IN THE GENERAL FUND, GENERAL OPERATING CONTINGENCY, WE'VE, WE'VE PUT IN 200,000. SO IF THERE WAS A NEED, UM, THAT WAS GREATER THAN THE 15,000, LIKE THERE WOULD, THERE COULD BE SOME OPPORTUNITY TO USE SOME OF THAT. AND WE NEVER KNOW WHAT EMERGENCIES ARE GONNA COME UP DURING THE YEAR. BUT THERE IS THAT 200,000 AND THAT, THAT WOULD BE ADMINISTRATIVE BY KAREN OR SHANNON OR WHO? THE, THE ADDITIONAL CONTINGENCY AMOUNT? NO, WE COME TO COUNSEL TO USE THAT CONTINGENCY. YEAH. WHICH IS A CHALLENGE FOR ME BECAUSE IT RIGHT, IF SOMETHING HAPPENS, IT HAPPENS. LIKE THERE'S AN IMMEDIATE NEED, WHICH IS WHY I DO HAVE SOME AUTHORITY TO SPEND MONEY AND I COULD PROBABLY DO THAT AND COME BACK TO YOU AFTER, YOU KNOW, AND, BUT THIS YEAR WE, IT WAS A RELATIVELY SMALL DOLLAR AMOUNT. WE TOOK IT FROM, UM, OTHER PLACES. OKAY. JESSICA, WE CAN DIS I THINK THAT WE SHOULD MOVE ON AND WE CAN DISCUSS THIS FURTHER AND WE DISCUSS THE DECISION PACKAGE. OKAY. EVERYBODY IN AGREEMENT. THANK YOU. UH, GO AHEAD, SHERRY. ARE ARE THERE ANY OTHER DECISION PACKAGES ON THE LIST THAT I THINK NOT HAVE SOME. I HAVE NO, NO FURTHER. OKAY. HUMAN RESOURCES. THAT'S A HUGE ASK. I KNOW THAT. SO SEE YOU THIS AFTERNOON. THANK YOU SHANNON. THANK YOU. AND JEAN, I APPRECIATE YOU BOTH BEING HERE. BRENDA. HI AND WARREN. BRENDA, SHE'S GONNA BE IN THE HOT SEAT. OH, SHE LOVES THE HOT SEAT. I'M READY. SO FOR THE HR BUDGET FOR FISCAL YEAR 23, BUDGET, DIRECT COST WAS ABOUT 330,000. UM, FISCAL YEAR 24. UM, ESTIMATING 386,000. UM, THERE IS A DECISION PACKAGE THAT WE'LL TALK ABOUT. UM, INCREASE IN WAGE OF BENEFIT IS ABOUT 10,000. UM, THE [03:15:01] TRANSFER OF THE CITYWIDE TRAINING FROM CMO AND WE'RE INCREASING THAT AMOUNT, UM, TO 25,000. UM, WE'RE ALSO INCREASING THE RECRUITMENT AND RELOCATION BUDGET BY 20,000 WITH THE ANTICIPATION OF BEING TO RECRUIT FOR CITY MANAGER POSITION. UM, AND, UM, THERE, THERE WAS A BUDGETARY THAT WE WILL ADJUST FOR TENTATIVE, UM, WITH A, UH, ACCIDENTAL DUPLICATION OF THE AMOUNT FOR THE DECISION PACKAGE. THE, UH, PERCENTAGE CHANGE IS 17%, UM, ESSENTIALLY THE SAME FOR THE ONGOING 17%. UM, SO, UH, THERE IS NO, UH, ONE TIME COST, UM, FOR HR VICE MAYOR. HELLO, . GOOD MORNING, VICE MAYOR. NICE TO SEE YOU. UH, I HAVE A QUESTION. RUMOR HAZARD THAT YOU'RE GONNA BE RETIRING, IS THAT GONNA BE WITHIN THIS FISCAL YEAR? YES, MA'AM. UH, SIMILAR TO MY BOSS. I'LL BE HITTING MY 80 POINTS, THEN I'LL BE IN MY GARDEN IF YOU NEED ME. SO, UH, YOU KNOW, THIS, THAT'S CONCERNING OF COURSE, CUZ YOU DON'T REALLY HAVE BACKUP TO, SO, AND, AND SO THE, SO EVERYBODY SHOULD JUST BE AWARE OF THIS. KAREN HAS A POINT. OKAY. KAREN, WE DO INTEND TO RECRUIT EARLY AND HAVE SOME TRAINING TIME. SO GET SOMEONE ON BOARD IN ENOUGH TIME TO SPEND TIME WITH BRENDA BEFORE SHE RETIRES. AND, AND WHEN IS THAT? THE SPRING? UM, LATE DECEMBER, EARLY JANUARY, DEPENDING ON 25 WHEN WE GET ON BOARD. 24. 24. WAIT, WAIT, WAIT. I GO, LET'S GO FOR 30, 24 OR 23? WELL, IT MOST LIKELY THE FIRST WEEK OF JANUARY, 2024. OKAY. SO WE HAVE PLENTY OF TIME TO RECRUIT. OKAY. BRENDA, WELL YOU'VE MAYBE, LET'S SEE. UH, THE CITIZEN BUDGET WORK GROUP RECOMMENDED A, UH, RE A FULL-TIME RECRUITER. WHAT'S YOUR OPINION ABOUT THAT? UM, I DON'T KNOW IF THAT'S THE, THE CORRECT AVENUE TO GO. EVEN OUR RECRUITERS THAT WE HIRE AT 10,000, $25,000 A CONTRACT ARE HAVING DIFFICULTY FINDING HIGHLY QUALIFIED CANDIDATES. SO I, I DON'T, I DON'T THINK THAT'S PROBABLY THE, THE BEST AVENUE AT THIS TIME. OKAY. BECAUSE THEY DON'T HAVE AS WIDE A DATABASE OR THERE'S MORE JOBS THAN INDIVIDUALS MM-HMM. RIGHT NOW. AND IT'S, IT'S JUST THE WAY OF THE WORLD THIS TIME. RIGHT. I, I GUESS WHAT I'M ASKING THOUGH IS THAT THERE'S, IT'S PHILOSOPHICAL, I THINK IN-HOUSE RECRUITMENT VERSUS EXTERNAL RECRUITMENT. I MEAN, DO YOU THINK WE GET MORE BANG FOR THE BUCK IF WE HAD A FULL-TIME RECRUITER IN-HOUSE? IT DEPENDS ON THE POSITION, SPECIALTY POSITIONS, CM, CBO, EVEN HR, UM, YES, YOU WOULD GET A LITTLE MORE BANG FOR THE BUCK. OTHER POSITIONS THAT WE HIRE FOR, FOR EXAMPLE, CUSTODIAN I POSTED ON INDEED 14 HOURS AGO, AND RYAN HAYES ASKED ME TO SHUT DOWN THE, THE POSTING THIS MORNING BECAUSE WE HAVE 15 CANDIDATES THAT ARE QUALIFIED. SO IT, IT JUST DEPENDS ON THE POSITION. HOW MUCH OF YOUR TIME DO YOU SPEND ON RECRUITING? I SPEND A LOT OF TIME, UH, I WOULD SAY AT THIS POINT ABOUT 70% OF MY TIME IS, IS, UH, POSTING, REVIEWING RESUMES, UM, SETTING UP INTERVIEWS, DOING BACKGROUNDS. IT'S, IT'S SIGNIFICANT. OKAY. AND THEN MY LAST QUESTION IS, WHAT TO MAKE OUR WORKPLACE A WORKPLACE OF CHOICE BESIDES THE ADDITIONAL TUITION REIMBURSEMENT. ARE THERE OTHER PROGRAMS THAT YOU THINK WE WOULD BENEFIT FROM? WE'RE DOING EVERYTHING RIGHT ACCORDING TO STATISTICS. WE HAVE A FOUR DAY WORK WEEK. UM, EMPLOYEES ARE ALLOWED TO BRING FRIENDLY DOGS IN. UM, WE HAVE A EXTREMELY GENEROUS EMPLOYEE APPRECIATION FUND, WHICH COMPARED TO OUR, OUR NEIGHBORS AND COMPETITORS, IT'S, IT'S SIGNIFICANT WHAT IS NOT COMPARED TO THE CHAMBER. RIGHT. I, THAT'S WHERE I WAS GOING. , WHAT IS IT? JUST FOR THE RECORD? NOT A THOUSAND DOLLARS FOR . RIGHT. SO WE'RE DOING EVERYTHING CORRECT IN THAT REGARD. IT'S, IT'S HOUSING, UH, COMMUTE TIME, BUT MAINLY HOUSING. OKAY. THANKS BRIAN. THANK YOU, MAYOR. THE, UH, ITEM ON, UH, INCREASED RECRUITMENT SLASH RELOCATION INCREASING BY 20, LIKE WHAT, WHAT DOES THAT BRING THAT LINE ITEM UP TO? 55 0? YEAH. YOU'RE ONLY GONNA SPEND $50,000 ON RECRUITMENT AND RELOCATION IN A YEAR. [03:20:02] OKAY. UM, THAT'S NOT MUCH. I, I MEAN, FROM A RECRUIT, I MEAN, I'M IN THE GAME OF RECRUITING EVERY DAY FOR MULTIPLE OF MY BUSINESSES. WE SPEND, WE PROBABLY SPEND THAT MUCH AND WE'RE A MUCH SMALLER BUDGET. SO OVERALL FOR THE VAST MAJORITY OF OUR POSITIONS, WE DO NOT USE EXTERNAL RECRUITERS. GOOD. WE POST ON, YOU KNOW, I, I RATTLED OFF A NUMBER FOR EXAMPLE, YESTERDAY. UM, AND BRENDA IS THE LEAD, RIGHT? SO HER SALARY IS ALREADY INCLUDED. WE HAVE JUST THIS YEAR WE'RE KIND OF STARTING TO, WE'RE RIGHT NOW EXPERIMENTING WITH THE CHIEF BUILDING OFFICIAL POSITION AND USING A FIRM THAT DOES NOT. SO MOST OF THE RECRUITER FIRMS, THEY, THEY DO LARGELY THE SAME THING WE WOULD DO. THEY POSTED IN ALL THE NORMAL REASONABLE PLACES, AND THEY POST AND THEY PRAY THEY GET GOOD CANDIDATES. UM, THERE'S A FIRM THAT I WAS CONSIDERING FOR THE CITY MANAGER RECRUITMENT, WHO ACTUALLY IS PRETTY AGGRESSIVE. AND, AND I WAS SHARING, I THINK WITH A FEW OF YOU THAT I KNOW THIS BECAUSE PARADISE VALLEY, THE TOWN OF PARADISE VALLEY WAS RECENTLY RECRUITING FOR A TOWN MANAGER. AND I, THIS FIRM CALLED MY PERSONAL CELL, CALLED MY WORK NUMBER, EMAILED ME AT WORK AND EMAILED, I DON'T KNOW HOW THEY GOT MY PERSONAL EMAIL MAYBE LINKED, I DON'T EVEN KNOW WHERE THEY GOT IT. UM, AND MESSAGED ME THROUGH LINCOLN, LINKEDIN, . SO I WAS LIKE, WOW, THEY'RE, THEY'RE AGGRESSIVE GO-GETTERS. AND SO WE'RE USING THAT FIRM RIGHT NOW TO, FOR OUR CHIEF BUILDING OFFICIAL, WHICH WE'VE STRUGGLED WITH. UM, SO WE'LL SEE IF WE GET SUCCESS WITH THAT. THEY ARE MORE EXPENSIVE, SO HOW MUCH ARE THEY CHARGING? SO THEY, INSTEAD OF DOING A FLAT FEE, THEY DO AN HOURLY RATE. OH. UM, SURE. BECAUSE THAT'S WHY WE'RE TESTING IT. MM-HMM. , BECAUSE A CITY MANAGER RECRUITMENT IS GONNA BE A LOT MORE TIME INVESTED THAN, THAN THE CBO POSITION, FOR EXAMPLE. BUT IF THEY'RE MORE SUCCESSFUL, UH, THEN IT'S QUALITY, IT'S PROBABLY WORTH IT. I THINK THEY, THEY GAVE US A BALLPARK OF WHAT THEY THOUGHT IT WAS GONNA BE. I CAN'T REMEMBER HOW MANY HOURS OFF THE TOP OF MY HEAD, BUT IT WAS, IT WAS REASONABLE ENOUGH. UM, BUT IT WAS MORE EXPENSIVE THAN, THAN THESE, THESE OTHER FIRMS THAT WE'VE WORKED WITH BEFORE. IT ALL SOUNDS EXCEPTIONALLY LOW. COST, COST. AND I JUST WONDER IF WE'RE NOT, IF, IF OUR OPPORTUNITY COST OF OPEN POSITIONS IS AS HIGH AS IT SEEMS IT IS, I GOTTA BELIEVE WE COULD BE MORE AGGRESSIVE. AND I KNOW WE'RE NOT GONNA SOLVE THAT RIGHT NOW. I'D LOVE TO CHAT, YOU KNOW, DURING ONE OF OUR TWO ONONE MEETINGS ABOUT THIS AS A TOPIC. YEAH. AND I DON'T DISAGREE, ESPECIALLY FOR THE POSITIONS LIKE BRENDA SAID, UM, IT IS ANOTHER ONE THAT WE'RE STRUGGLING A LOT WITH THAT WE'VE TALKED ABOUT. DO WE BRING SOMEONE A SPECIALIZED FIRM IN WHO COULD HELP US? SO GIVEN WHAT THE JOB MARKET IS, WE HAVEN'T HAD THESE, THESE KINDS OF EXTREME CHALLENGES IN THE PAST. IT HAS BEEN EASIER TO FILL POSITIONS. SO I, I THINK, YOU KNOW, YOU MAY BE RIGHT THAT FOR SOME OF THESE, THE OPPORTUNITY COST IS JUST TOO GREAT TO NOT CONSIDER. RIGHT. UM, YOU KNOW, GETTING SOME HELP PLUS, PLUS THE TIME LOST IF YOU SPEND SIX MONTHS AND YOU GET NOTHING. YEAH, I AGREE. SO BRIAN, AND, AND I'M NOT ADVOCATING RECRUITERS BY THE WAY, IT'S ACTUALLY STRATEGY WITH INDEED AND THINGS LIKE THAT, WHICH WE COULD TALK ABOUT LATER. THANK YOU, UH, JESSICA AND THEN, UH, VICE MAYOR. WELL, YEAH, WELL WE'LL TALK ABOUT IT LATER, BUT I, I, I ALSO WONDER WHETHER OUR RETENTION FOR PEOPLE WE HAVE ACTUALLY USED RECRUITERS FOR IS, IS, IS GOOD ENOUGH TO JUSTIFY THAT, WHETHER IT MAKES A DIFFERENCE. UM, SECONDLY, I WAS WONDERING WHETHER OR NOT OFFERING RELOCATION TO PEOPLE WHO WE HAVEN'T USED RECRUITERS FOR, BUT WHO MIGHT BE COMING FROM SOMEWHERE ELSE MIGHT BE SOMETHING THAT, IS THAT SOMETHING WE DO? WE DO IN THE JOB BROCHURES, I CREATE, IF IT'S A DIRECTOR LEVEL, MANAGER LEVEL, I INCLUDE RELOCATION ASSISTANCE. OH. SO THIS MONEY IS NOT JUST FOR THE RECRUITMENT LEVEL PEOPLE, BUT FOR ANYBODY AT A, AT A HIGH, AT A HIGH LEVEL WHO'S COMING FROM SOMEWHERE ELSE. OKAY. THANK YOU. OKAY. NOW, VICE MAYOR AND THEN PETE. SO IN MY PROFESSIONAL LIFE, I RECRUITED THOUSANDS OF PEOPLE OVER THE COURSE OF YEARS. AND, AND I WORK FOR TECHNOLOGY FIRMS. SO JUST SPEAKING TO TECHNOLOGY, TECHNOLOGY RECRUITERS [03:25:01] HAVE DATABASES, HUGE DATABASES OF PEOPLE WITH DIFFERENT SKILL LEVELS WITHIN THE TECH WORLD. AND I WAS SHOT, WE HAD FULL-TIME RECRUITERS ON STAFF AND USED SEARCH FIRMS AND STILL COULDN'T FILL POSITIONS PRE PANDEMIC WAY, PRE PRE PANDEMIC BECAUSE THERE WERE SO MANY MORE JOBS THAN THERE WERE QUALIFIED PEOPLE. SO WE DID WIND UP USING SPECIALIZED RECRUITING FIRMS, AND THEY WERE ABLE TO FIND PEOPLE WHO COULD SHOW UP, YOU KNOW, WITHIN A WEEK. NOW, SOME OF THOSE YOU HAD TO DO, UH, TEMPORARY AND THEN YOU, THEN YOU, UH, UH, IT STARTED OUT AS TEMPORARY AND THEN YOU MOVED THEM INTO PERMANENT SO THAT THE, THEY GOT THEIR FEE. MM-HMM. , YOU KNOW. OH. SO YOU HAD TO LIKE DO SIX MONTHS OF TEMPORARY AND THEN YOU COULD CONVERT THEM. I ESPECIALLY FOR, FOR IT JOBS. I THINK YOU MIGHT WANNA TAKE A LOOK AT THAT, THAT JUST TO ADD MORE TOOLS TO THE TOOLKIT. PETE, THANK YOU, MAYOR. I, I ECHO MANY OF THESE THOUGHTS, UH, AM WAS CONCERNED WHEN I SAW THIS ABOUT WHETHER WE ACTUALLY HAVE ENOUGH MONEY IN THE BUDGET FOR DOING THE THINGS THAT WE HAVE TO DO. I WANT, YOU KNOW, I YEAH, I THINK YOU'VE, YOU'VE HEARD THAT I, I AGREE THAT WHEN YOU SAY MORE JOBS THAN BODIES, AND I KNOW GOOD RECRUITERS ACTUALLY TRAIN, YOU KNOW, KEEP THE NETWORK AND THEY HELP THEIR PEOPLE GET TO THE NEXT POSITIONS. AND YOU REACH PEOPLE THAT YOU WOULDN'T OTHERWISE FOR IN THESE VERY SPECIALTY JOBS, HIGH LEVEL SPECIALTY JOBS, NOT THE TECHNICAL SPECIALTY JOBS. SO I, I'M CONCERNED ABOUT THAT. I'M OPEN-MINDED ABOUT WHETHER WE'VE GOT ENOUGH MONEY IN THE BUDGET FOR DOING THOSE PARTICULAR THINGS. I'M NOT GONNA ADD ANY MORE OF THAT CONVERSATION. I'D LIKE TO ASK YOU, BRENDA, ABOUT REDUCING THE EMPLOYMENT EXAMS. WHAT'S THAT? YEAH, HAPPY TO HELP ANSWER THAT. UM, ONLY SAFETY SENSITIVE POSITIONS ARE DRUG TESTED NOW. SO WE ONLY HAVE A HANDFUL OF THOSE TYPE OF POSITIONS. THOSE ARE THE ONES THAT WILL BE CITY MAINTENANCE, LIFEGUARDS, UH, WASTEWATER, POLICE, THE REST OF THE POSITIONS, ADMIN, FOR EXAMPLE, THEY'RE NOT DRUG TESTED. SO THAT REDUCED MY EXAM BUDGET SIGNIFICANTLY. NOT DRUG TESTED BY SOME REQUIREMENT OR BY OUR POLICY. UH, PERHAPS KURT CAN SPEAK ON THE LATEST LEGISLATION ON DRUG TESTING. YEAH. SO IT'S CHANGED, UM, OVER THE, THE PAST NUMBER OF YEARS AND, AND, UH, WE, WE CAN NO LONGER REQUIRE A DRUG TEST BEFORE, UH, THE INTERVIEWER OFFER. WE CAN DO A DRUG TEST AT THE END, UH, AFTER WE'VE DECIDED ON A CANDIDATE BEFORE HIRED. UM, AND SO I DON'T, SO, AND THAT'S DIFFERENT THAN BECAUSE I WOULD DRUG TEST EVERY EMPLOYEE POSITION, BUT I WAS TOLD THAT IT WAS NOT, WE COULDN'T, UM, A LEGAL THING. WE CAN, WE CAN PRE BEFORE THEY'RE HIRED, WE CAN'T BEFORE THEY'RE INTERVIEWED. THAT'S, THAT'S WHAT, YEAH. I WOULD NEVER HIRE SOMEONE BEFORE AN OR TEST SOMEONE BEFORE AN INTERVIEW. BUT, BUT I WAS UNDER THE IMPRESSION THAT WE COULDN'T, I WOULD JUST, I WOULD HIRE, I WOULD DRUG TEST EVERYBODY. OKAY. SO IF, IF THAT'S THE, UM, UH, THE CASE, LET'S LEAVE THAT ALONE, THAT BUDGET ALONE, AND WE'LL CONTINUE THE DRUG TESTING FOR ALL AND INDIVIDUALS. I SUPPORT THAT. OKAY. SO DO I. THANK YOU. MAYOR GETS IN A LOT OF TROUBLE, OTHERWISE, I'M CONCERNED. AND, AND THE GOOD NEWS IS IT'S VERY RARE TO GET BACK A DRUG TEST THAT IS POSITIVE IN ANY OF THE AREAS THAT WE WE TEST FOR. OKAY. OKAY. JESSICA, I THINK YOU HAD, I DIDN'T KNOW. YOU DID NOT. I DID. OKAY. IT WAS ME. YOU, MY HEAD'S KILLING. I KNOW. THANKS. SO THE TRANSFER CITYWIDE TRAINING FROM THE CITY MANAGER'S OFFICE, AN INCREASE TO 25,000, BUT THERE MUST HAVE BEEN MONEY THERE BEFORE. WHAT IS THE TOTAL? SO THE, IT'S A $25,000 INCREASE ON WHAT THE AMOUNT THAT THE, UM, CITY WAS IN THE CITY MANAGER'S BUDGET WAS 10,000. WE'RE INCREASING AT TO 25,000. SO AT 15,000. SO THE REQUEST IS FOR I SEE. INCREASE. OKAY. OVERALL. SO 25 WILL BE THE TOTAL. YES. OKAY. THAT'S WHAT I WANTED TO BE CLEAR ON. AND THE OTHER QUESTION IS, UH, WELL, IS THAT ENOUGH? I, WE PROBABLY SPENT 25,000 THIS YEAR, RIGHT? YEAH. BUT WE DID SOME SORT OF SPECIAL LEADERSHIP, UH, DEVELOPMENT, UM, THAT WAS EXPENSIVE. SO I THINK THAT THE 25,000 IS PROBABLY REASONABLE BECAUSE, AND I SAY THAT BECAUSE EACH OF THE DEPARTMENTS HAVE PROFESSIONAL DEVELOPMENT. [03:30:01] OKAY. MONEY. THIS IS FOR THINGS LIKE ETHICS TRAINING, CUSTOMER SERVICE TRAINING, THAT WOULD BE CITYWIDE. OKAY. THANK YOU. AND MY OTHER QUESTION IS $10,000 BUDGET ERROR. WHAT'S, JUST, JUST CURIOUS. I WAS SAYING THAT THE, THE DECISION PACKAGE ACCIDENTALLY GOT PUT IN THERE TWICE. OH, OKAY. I THINK. OKAY. ALL RIGHT. THANK YOU. VICE MAYOR, I THINK YOU HAD SOMETHING. I'M JUST CURIOUS THAT THIS IS A CUR QUESTION PERHAPS. SO GOING BACK TO THE DRUG TESTING, AND I WAS DRUG TESTED FOR EVERY JOB I'VE EVER HAD, PRETTY MUCH, UH, THAT WAS BEFORE THE LEGALIZATION OF MARIJUANA. SO I'M JUST WONDERING, ARE WE DRUG TESTING FOR MARIJUANA? YES. MA. AND, AND SO ARE WE THEN ABLE TO DECLINE DEC YEAH. DECLINE SOMETHING THAT'S LEGAL IN OUR STATE. SO, SO IT'S STILL FEDERALLY AND MOST OF THE CORRECT EMPLOYMENT LAWS ARE FEDERAL? UM, I'M, I'M NOT, I'M NOT SURE THE ANSWER TO THAT. YEAH, I THINK THAT WE SHOULD, YEAH. MOST ORGANIZATIONS, MUNICIPALITIES HAVE SAFETY SENSE DEPOSITIONS WHERE THOSE ARE STILL ALLOWED TO, FOR SURE. SO POLICE OFFICERS, ANYONE OPERATING IN, IN THE VEHICLE. BUT IN GENERAL, I'M NOT SURE. YEAH. AND I THINK WE'D HAVE TO TALK INTERNALLY. LIKE THAT WOULDN'T NECESSARILY BE AN AUTOMATIC MM-HMM. DISQUALIFIER FOR A NON-SAFETY SENSITIVE CORRECT. POSITION BECAUSE THINGS HAVE CHANGED OVER THE COURSE OF TIME. SO, AND, AND, YOU KNOW, WE COULD EVEN TALK ABOUT IN THE SCREEN, YOU KNOW, WE SEND THEM AND IS THAT ONE OF THE THINGS WE SCREEN FOR IF IT'S NON-SAFETY SENSITIVE? IF WE'RE NOT GONNA DO ANYTHING WITH THOSE RESULTS, BUT WE WOULD STILL WANT TO KNOW ABOUT THE OTHER, OTHER POTENTIAL DRUG USAGE. YEAH. THANKS. OKAY. I, IS THAT IT FOR HR OR NO? NOPE. I DIDN'T THINK SO. OKAY. I, UM, SO THERE IS THE DECISION PACKAGE THAT IS RECOMMENDED FOR TUITION REIMBURSEMENT PROGRAM. UM, THIS WAS, UM, SOMETHING THAT WHEN JOANNE KEEN WAS HERE THAT I WAS TALKING TO HER ABOUT, THAT I HAD WATCHED THIS WEBINAR ABOUT RETAINING, UM, AND RECRUITING EMPLOYEES AND, UM, THE, UM, PARTICULARLY WITH THE YOUNGER WORKFORCE, UM, THEIR THOUGHT WHEN THEY COMPARE ORGANIZATIONS IS THE MORE BENEFITS YOU OFFER, EVEN IF THEY DON'T PLAN ON USING THEM, THE MORE BENEFITS YOU OFFER, THE BETTER THE ORGANIZATION IS. AND SO EVEN IF WE DON'T HAVE A LOT OF PARTICIPATION IN THIS, IT, IT CAN HELP US IN THAT RECRUITING PROCESS. YOU HELPED ME IN THE AGENDA BILL HERE AND THE DECISION PACKAGE. I WAS CONCERNED ABOUT TAKING THE REIMBURSEMENT AND LEAVING, AND I APPRECIATE YOU PUTTING IT IN HERE THAT THE EMPLOYEES MUST REMAIN VOLUNTARILY EMPLOYED WITH, UH, WITH THE CITY FOR ONE YEAR PAST THE COMPENSATION DATE. SO THAT HELPED ME A LOT. UM, I APPRECIATE THAT. UM, ANY OTHER QUESTIONS? I ASSUME THE SAME IS TRUE FOR RELOCATION ASSISTANCE AND OTHER THINGS THAT WE PROVIDE. WELL, THAT'S A GOOD POINT. YES. AND, AND NEWER CONTRACTS. NOW WE'RE PUTTING IN, UH, INFORMATION ABOUT THAT. UM, FOR EXAMPLE, WE HIRED SOME LATERAL POLICE OFFICERS THAT WE OFFERED A SIGNING BONUS TO, AND THEY MUST STAY ON FOR X AMOUNT OF TIME. THANK YOU. WHAT HAPPENS IF YOU HIRE SOMEBODY? WE PAY THE TUITION. THEY VOLUNTARILY TO STAY, BUT YOU VOLUNTARILY CHOOSE NOT TO. UH, HOW DOES THAT WORK? WE EAT THAT. WE DO. OKAY. I THOUGHT SO, BUT I DIDN'T KNOW IF THEY HAD TO PAY US BACK, BUT, OKAY. JESSICA, DO YOU HAVE ANY IDEA ABOUT HOW MANY PEOPLE CURRENTLY ON STAFF MIGHT BE INTERESTED IN THIS? I'VE ONLY HAD A HANDFUL OUT OF OUR 165 OR SO EMPLOYEES ASK ABOUT OKAY. TUITION, BUT I THINK IT'D BE GREAT FOR A RECRUITMENT TOOL. OKAY. I GUESS BY QUESTION. I GET 10,000 IS FINE NOW. I THINK WHETHER IT'S ENOUGH IN THE FUTURE, I THINK WE NEED SOME EXPERIENCE TO TELL. THANK YOU. I AGREE. OKAY, NEXT. UM, SO THIS WAS A BIG TOPIC. YOU, YOU HEARD FROM THE WORK GROUP THEIR CONCERNS ABOUT THE TURNOVER. AND SO THEY HAD ASKED SOME QUESTIONS ABOUT HOW WE COMPARE WITH OTHER ORGANIZATIONS. I WANTED TO SHARE THOSE WITH YOU AS WELL. UM, AND I BELIEVE THAT EVEN HAS UPDATED INFORMATION COMPARED TO WHAT'S ON THE, THE SCREEN RELATED TO SOME OF THAT TURNOVER. UM, CAMP VERDE'S STILL HOLDING AT 23%. CLARKDALE IS AT 12. COTTON WAS AT 18. JEROME'S AT 13. AND THEN I ALSO HAD SOME OF THE OTHER CITIES, UM, PRESCOTT'S AT 20, PEORIA 12 KEARNEY IS AT 16, AND SIERRA VISTA IS AT 20%. SO WE'RE ALL IN, IN, IN THE SAME BOAT HERE WITH TURNOVER, HIGH TURNOVER IN THE LAST, THIS YEAR FROM JULY UNTIL TODAY, NOT INCLUDING BRIAN ARMSTRONG, WE HAVE HAD 51 PEOPLE LEAVE EMPLOYMENT. WOW. AND THE PERCENTAGES TO DO THE MATH. UH, 51 OUTTA 1 65 [03:35:02] PRETTY HIGH. WHAT ARE YOU DOING WRONG, BRIAN? IT'S, IT'S A VARIETY. I, I LISTED ALL THE REASONS THERE'S RETIREMENT IN THERE, THERE'S MOVING, THERE'S FAMILY REASONS, THERE'S, THERE'S, IT'S JUST A, A, A HOST OF REASONS. WHAT I'M, WHAT I'M NOT SEEING IN THERE IS DISSATISFACTION WITH THE CITY. RIGHT. THAT'S NOT A REASON WHY. I MEAN, SOMETIMES THERE ISN'T A GOOD FIT BETWEEN A, A SUPERVISOR, IT'S PREVALENT EMPLOYEE. IT'S NOT A PREVALENT THING, BUT, BUT NOT FOR BENEFITS. NO. OUR BENEFITS ARE OUTSTANDING. YEAH. SO, AND THEN, YOU KNOW, ALWAYS CONCERNED ABOUT THE HOUSING. OH, THAT PEOPLE JUST CAN'T, HAS IT HAPPENED IN, THEY CAN'T FIND OUT. WE HAVE PEOPLE LIVING AS FAR AWAY AS FLAGSTAFF. CORRECT. WE HAVE INCLUDED IN OUR INTERVIEW QUESTIONS NOW, JUST A STANDARD. HAVE YOU LOOKED AT HOUSING? YEAH, I KNOW IT. UM, IN OUR ADVERTISING, WE'VE GOTTEN REALLY CREATIVE WITH ADVERTISING. WE NOW HAVE, HAVE YOU BEEN TO HARKINS? YOU'LL SEE A HARKINS AD NOW? NO. UM, CHASM, I'VE, I HAVE 700 RADIO ADS RUNNING EVERY MONTH ON CHASM. UM, WE HAVE FLYERS AT THE LIBRARY NOW, AND WE CREATED, I SHOULDN'T SAY WE, I CREATED NEW GLOSSY LIFEGUARD BROCHURES, UM, JUST TO TRY TO KEEP US IN THE, IN THE EYES OF OUR HIGH SCHOOLERS. RIGHT. I KNOW. IT SEEMED TO BE WORKING. YEAH, IT COULD WORK ON LIFEGUARDS, REALLY. I KNOW ANDY IN HIS PRIOR POSITION, UH, HAD LOST SOME GOOD PEOPLE BECAUSE OF HOUSING. SO THAT'S, UM, THAT'S A PROBLEM. SO THANK YOU FOR THAT. ANOTHER AREA OF CONCERN, I HAVE A FOOTNOTE ON THE SLIDE, IS WE'RE ESTIMATING SOMEWHERE IN THE NEIGHBORHOOD OF, OF 15 RETIREMENTS OVER THE NEXT FIVE YEARS. THAT'S, THAT'S THE OTHER POINT. YEAH. YOU KNOW, ABOUT TWO OF THEM RIGHT HERE IN THE ROOM THAT WILL BE COMING UP. BUT THERE ARE, THERE ARE A LOT OF PEOPLE THAT ARE GONNA BE AT THAT POINT, UM, THAT THEY'RE GONNA WANNA RETIRE. AND SOME OF 'EM MAY STICK AROUND FOR A WHILE. I HAD ONE OF MY EMPLOYEES THAT ACTUALLY STUCK AROUND FOR A COUPLE YEARS LONGER THAN WHAT SHE REALLY HAD INTENDED. UM, BUT IT'S, IT'S A LITTLE SCARY. VERY SCARY. HOW ABOUT YOU, SHERRY? I WAS JUST GONNA SAY, AS LONG AS, AS LONG AS WE KNOW SHERRY'S MENTIONING THE, THE R WORD, I, I HAVEN'T BEEN IN THE SYSTEM NEARLY AS LONG AS THEY HAVE BECAUSE I WAS WORKING, UM, FOR CPA FIRM FOR MANY YEARS. SO IT'LL TAKE ME A WHILE TO GET TO MY POINTS AND YES. UH, PETE. YEP. I, I THANK YOU FOR THE INFORMATION AND THIS DATA. BRENDA, YOU HAD SAID ONE THING THAT WE'RE ALL IN THE SAME BOAT, YOU KNOW, AND I WOULD ACTUALLY SAY THAT IT DOESN'T EXACTLY LOOK LIKE THE SAME BOAT. I THINK THERE'S A BIG DIFFERENCE BETWEEN 10 AND 14% AND 15% AND 22%. SO I DON'T WANNA, ONE OF THE COMMENTS HERE WHERE WE'RE DOING GOOD STUFF, AND I ABSOLUTELY AGREE WITH THAT, BUT I DON'T WANT TO TAKE THE PRESSURE OFF HERE EITHER. I THINK THAT THERE'S SOMETHING THAT ELSE THAT, YOU KNOW, IS POTENTIALLY HAPPENING THAT I WANT US TO CONTINUE TO PURSUE IN WHATEVER WAYS THAT IT IS THAT WE NEED TO ANSWER THE QUESTION. BUT, YOU KNOW, I, I LOOK IN COMPARISON TO CAMP VERDE, THERE WAS SOME PRETTY WEIRD STUFF THAT HAPPENED IN CAMP VERDE OVER THE LAST TIME. AND I CAN IMAGINE THERE WAS TURNOVER HERE. WE HAVEN'T HAD THAT KIND OF WEIRD STUFF. WE JUST HAVE OUR NORMAL PRESSURE. SO COUNSELOR, DO YOU HAVE A SENSE OF WHAT THOSE OTHER THINGS THAT YOU BELIEVE ARE HAPPENING, WHAT THEY ARE? NO, I, NO, I DON'T BECAUSE I DON'T WORK HERE. . AND, AND, AND I DON'T KNOW. UM, I WONDER IF THERE ISN'T A MORE NO, THANK YOU, . I DO PONDER A QUESTION ABOUT WHETHER WE SHOULD PURSUE A INDEPENDENT ANALYSIS OF EMPLOYEE SATISFACTION SOMEHOW, IF THERE ISN'T SOMETHING WE'RE MISSING BECAUSE IT'S ALL OF US ASKING THE SAME QUESTIONS. I DON'T KNOW, BUT I, I, I REALLY DON'T KNOW. BUT I'M CURIOUS. I KEEP POKING AROUND , YOU'RE, IT SOUNDS LIKE YOU'RE IMPLYING SOMETHING, SO I'M JUST CURIOUS IF THERE'S NO, I'M NOT, I'M JUST LOOKING AT THE NUMBERS AND THINKING, WOW, YOU KNOW? YEAH. AND I THINK HOUSING HERE, IF, IF YOU CAN GO WORK IN COTTONWOOD IN A SIMILAR EQUIVALENT JOB, RIGHT? THERE'S CITIES AND TOWNS ALL AROUND US THAT HAVE A LOT OF EQUIVALENT POSITIONS MM-HMM. AND NOT COMMUTE INTO SEDONA AND LIVE AND WORK IN, IN THE SAME COMMUNITY OR CLOSER BY. UM, I THINK THAT'S GONNA BE A PREFERENCE FOR A LOT OF PEOPLE. YEAH. I'M NOT SURE THE COMMUTING AND, AND THIS, QUITE FRANKLY, I THINK THIS ORGANIZATION, IT'S A GOOD ORGANIZATION TO WORK IN. I THINK OUR, UH, OUR EMPLOYEES ARE, HAVE EXPRESSED THAT THERE'S A LOT OF THINGS I LIKE ABOUT THIS ORGANIZATION AT OUR HIGHER LEVELS OF THE ORGANIZATION. IT DOES GET HARDER, UM, [03:40:01] EVEN AT LOWER LEVELS TOO, BECAUSE THE SCRUTINY OF THE COMMUNITY AND THE PRESSURE AND THE BAR IS DIFFERENT THAN IT IS IN OTHER PLACES. MM-HMM. UM, AND I, I BELIEVE THAT THAT IS, IS PART OF IT. THERE'S ALSO ANOTHER FACTOR IN THAT, UM, FULL-TIME. SO OUT OF THE 51 EMPLOYEES WHO LEFT THIS YEAR, 34 WERE FULL-TIME AND 17 WERE PART-TIME. AND SO THE, THE, IT'S SIGNIFICANT. CAN YOU REPEAT THAT FOR ME, PLEASE? SURE. 34 FULL-TIME, 17 PART-TIME. SO THE 17 ARE AFFECTING PUBLIC WORKS BECAUSE THEY'RE TRAFFIC CONTROL ASSISTANCE. WHEN THEY ONLY WORK 10, 12 HOURS A WEEK, THEY DON'T STAY AROUND VERY LONG. YEAH. SO THAT, THAT'S HAMPERING THE, THE SCORES OF COURSE. WOULD IT BE FAIR TO JUST ISOLATE THE FULLTIME, THE FTE? UM, YES. I, I CAN ABSOLUTELY DO THAT. YEAH, THAT'D BE GOOD. BECAUSE IF YOU'RE INCLUDING LIKE A CSA, TSA MM-HMM. , YOU KNOW, LIFEGUARD LIFEGUARDS, I, IF THAT'S ARTIFICIALLY INFLATING THAT NO, YEAH. NO, NO SEASONAL. NO SEASONAL, NO LIFEGUARDS, JUST PERMANENT POSITIONS, INCLUDING PART-TIME. OKAY. BUT IS THAT CSA? CORRECT. OKAY. SO THAT WOULD BRING US DOWN TO 18%, JUST RIGHT. SO I KNOW, UH, JESSICA WAS NEXT. AND THEN, UM, I WOULDN'T, I WOULDN'T, UH, UNDERESTIMATE THE COMMUTE ISSUE BECAUSE WE DO KNOW THAT OUR ASSISTANT, RIGHT? WAS JOAN DEPUTY. YEAH. BE SHE LOOKED FOR A HOUSE OR COULDN'T AFFORD IT. NOBODY, ANYBODY'S GOING TO GO BE CLOSE TO WHERE THEY LIVE, NO MATTER HOW MUCH THEY LIKE WHERE THEY ARE. THE SECOND THING IS, I DON'T THINK WE SHOULD DIS DIMINISH OR SHOULD IGNORE THE STRESS OF, OF RESPONDING IN THIS COMMUNITY. I THINK I REMEMBER A PARKS AND REC DIRECT DIRECTOR, COUPLE OF THEM WHO JUST SAID, UH, I CAN'T DEAL WITH THE, WITH THIS ANYMORE. AND I DON'T THINK OTHER COMMUNITIES HAVE THAT. AND I THINK THAT IT'S SOMETHING THAT'S ENOR ENORMOUSLY IMPORTANT TO STAFF. WE TALKED YESTERDAY ABOUT WHAT, I THINK WE TALKED TO ANDY ABOUT WHAT CAUSES STAFF TO BE, AND I THINK, I MEAN, I REALLY DO BECAUSE I'VE TALKED TO THEM AND I'VE, I GOT, I ACTUALLY HAVE A SENSE OF THIS. I DON'T KNOW WHY I THINK THIS, THAT THE STRESS OF HAVING TO DEAL WITH AS MUCH PUBLIC SCRUTINY, ANGER AND KIND OF LASHING OUT AT REP AT OUR STAFF IS GONNA HAVE AN EFFECT ON THEM. NOT EVERYBODY SORT OF SAYS, OH, WELL, . AND, AND I ACTUALLY KNOW THAT ONE OF OUR COUNCIL PEOPLE AT ONE POINT LEFT BECAUSE SHE DIDN'T JUST DID NOT HAVE THE CONSTITUTION FOR THAT. I MEAN, AND NOT EVERYBODY DOES. AND I'M NOT, I THINK IT'S UNREASONABLE TO EXPECT OUR STAFF TO PUT UP WITH THE SAME LEVEL OF, OF STRESS FROM COMMUNITY MEMBERS AS WE DO. YET THEY DO. UM, THIS, AND, AND I THINK THAT THAT SHOULDN'T BE, SHOULDN'T BE IGNORED. AND I THINK SUPPORTIVE COUNSEL IS THE OTHER THING THAT'S ENORMOUSLY HAS SUCH A, I MEAN, I HAS AN IMPACT ON STAFF THAT I DON'T, I THINK WE CAN ALL SAY, YEAH. YEAH. WE KNOW THAT. I DON'T THINK THAT WE ACTUALLY UNDERSTAND EMOTIONALLY THE IMPACT THAT HAS ON STAFF. SO THAT'S JUST WHAT I'M SAYING. OKAY. THANK YOU. AND THEN KATHY, WE CONDUCT EXIT INTERVIEWS WITH EVERY EMPLOYEE, CORRECT? WE DO. OKAY. AND IN OUR POSTINGS FOR JOBS, THERE IS USUALLY A REFERENCE THAT SAYS, COME TO A PLACE WHERE, YOU KNOW, UH, X AMOUNT OF SATISFACTION HAS BEEN EXPRESSED. REMIND US OF WHERE THAT NUMBER COMES FROM. WE HAVEN'T HELD A, UH, EMPLOYEE SURVEY SINCE WE, WE HAD IT RIGHT BEFORE COVID MM-HMM. . AND WE ARE IN THE LOW NINETIES IN OUR LAST EMPLOYEE SATISFACTION SURVEY, WHICH I'M HIGHLY COMPETITIVE, SO I LOVE IT WHEN I CHECK WITH FLAGSTAFF AND COTTONWOOD. THEY'RE IN THE SEVENTIES . UM, BUT WE WE'RE, WE'RE READY TO IMPLEMENT A NEW ONE. WE HAVE ONE READY TO GO. THANK YOU. OKAY. NEXT UP, UHOH. UM, OH, I CAN'T WAIT FOR THIS ONE. DO YOU WANT A BREAK FOR LUNCH OR DO YOU WANT WE'RE NOT READY. WE'RE NOT READY. WE'RE STILL OKAY. FEW MINUTES AWAY. OKAY. AND I, I'M SURE THAT KURT HAS A WHOLE LOT TO DISCUSS WITH US. I THINK NEXT TWO ARE GONNA BE PRETTY QUICK. WELL, I THINK, YES. OKAY. FOOD'S NOT HERE YET. SO, SO CITY ATTORNEY'S OFFICE, UH, FISCAL YEAR 23, DIRECT PLEASURE. COSTS 784,000. WAIT, WAIT. DOESN'T HE [03:45:01] HAVE TO CHANGE SEATS TO ? I'M KIDDING. I CAN, I CAN IF YOU'D LIKE. NO. UH, FISCAL YEAR 24 AMOUNT, 820,000. UM, THE MOST SIGNIFICANT CHANGE REALLY IS JUST THE, THE WAGE AND BENEFITS. MM-HMM. , UM, UH, THERE WAS A LITTLE BIT OF AN INCREASE IN THE, UM, OUTSIDE SPECIALTY LEGAL SERVICES, UM, REQUEST. AND SO THE OVERALL CHANGE IS 5%. UM, THERE IS NO, UH, ONE-TIME COSTS IN HERE. SO ONGOING COSTS INCREASING 5%. WELL, WITH ALL OF ALL OF THOSE CHANGES, I THINK WE SHOULD DISCUSS THIS FOR AT LEAST TWO HOURS. MAYOR AND COUNSELORS, IF I MAY. SO THE INCREASE IN OUTSIDE SPECIALS LEGAL SERVICES, THAT'S GOING FROM 68,000 TO SEVEN 2,500. UM, AND, AND GENERAL, THE SPECIAL LISTS ATTORNEYS EITHER FOR LITIGATION OR FOR CONDEMNATION, DIFFERENT AREAS OF SPECIALTY, UM, THEY'RE CHARGING MORE WITH AS EVERYONE ELSE IS. UM, WE, WE WILL BE UNDER BUDGET THIS YEAR ON THAT, AND I, WE, WE, I HOPE TO STILL BE THAT NEXT YEAR ALSO, BUT I'M ANTICIPATING IT'D BE A LITTLE BIT MORE EXPENSIVE. THE MISCELLANEOUS INCREASES ARE PRIMARILY OUR LEGAL RESEARCH, UM, THROUGH WESTLAW. IT'S AN ONLINE SERVICE. WE DON'T BUY THE BOOKS ANYMORE. UM, ADDING IN THE PART-TIME, UM, UH, ASSISTANT CITY ATTORNEY BUMPS THAT UP TO $733 A MONTH, SO ABOUT 9,000 A YEAR. UM, THEN THERE'S ALSO OUR DUES, OUR BAR DUES, AND A FEW OTHER THINGS IN THAT CATEGORY. AND SO THAT'S THE EXTRA $2,700 THERE. HI. BY VICE MAYOR, I ASK A QUICK QUESTION FOR YOU. IT'S NOT AN EASY QUESTION, BUT IT'S . UH, WHAT LIABILITY ARE WE, POTENTIAL LIABILITY ARE WE FACING FINANCIALLY, YOU KNOW, FROM OUTSTANDING LITIGATION AGAINST THE CITY? OH, I CAN, I CAN PROVIDE AN UPDATE TO THAT, UM, OUTSIDE OF THIS MEETING WOULD BE MORE APPROPRIATE. OKAY. BUT IN GENERAL, WE HAVE THE, UH, THE WAS IN THE NEWSPAPER. THERE'S THE, UM, THE FRENCH TAURUS WHO CUT HER HANDS, 400,000 IN THEIR CLAIM. THERE'S A MOTORCYCLE ACCIDENT, UM, CLAIMING THE CITY'S ROAD IS, WAS DESIGNED, MAINTAINED NEGLIGENTLY OR DEFECTIVE, UM, FOR CLAIMING A MILLION DOLLARS. THEY HAVEN'T FILED THEIR LAWSUIT YET. UM, IF THEY DO, UH, WE DENIED THAT. UM, THAT WAS ON BREWER ROAD. AND THEN THERE'S THE, WE'RE THE, THE BARREN MATTER. UM, THE, THE LADY WHO WAS SLEEPING IN HER CAR, UM, THEY'VE GOT UNTIL NEXT WEEK TO FILE AN APPEAL ON THAT. UM, AGAIN, I THINK THAT ONE WOULD BE YEARS OUT, NOTHING THIS NEXT YEAR. UH, AND THEN THERE'S A RECENTLY A NOTICE OF CLAIM FROM PETERSON CONSTRUCTION, UM, WHO DID THE SHARED USE PATH ON, UH, DRY CREEK ROAD, KIND OF ON THE NORTH END. AND THAT WAS COMPLETED TWO YEARS AGO. UM, SO IT'S LIKELY THEY'RE WAY TOO LATE TO FILE A NOTICE OF CLAIM. WHAT KIND OF CLAIM? UH, A CLAIM THEY CLAIM WE DIDN'T PAY THEM SUFFICIENTLY. UH OH. SO IT'D BE A CONTRACT DISPUTE? THAT ONE, IT WOULDN'T BE. UH, SO THERE'S, UM, AND, AND THOSE FIRST TWO WERE TENDERED TO THE WRIST POOL, THE, THE HAND CUTTING AND THE, AND THE, UH, ACCIDENT AND THE MOTORCYCLE. UM, AND THOSE TYPES OF CASES ARE LIABILITIES LIMITED TO OUR $50,000 DEDUCTIBLE. OKAY. THANK YOU. ANY OTHER BIG QUESTIONS FOR OUR ATTORNEY? OKAY. OKAY, GREAT. THANK YOU. THANK YOU. SO NEXT UP IS THE COUNCIL BUDGET. YEAH. IS THAT YOURS, MAYOR? OH, YES. LET ME, I'M PREPARED TO, TO ADDRESS THAT, SHERRY. SO THE, UH, FISCAL YEAR 23, UH, BUDGET DIRECT COST OF ABOUT 80,000 FISCAL YEAR 24 GOING UP TO ABOUT A HUNDRED THOUSAND. UM, THERE WAS A, A INCREASE IN HOW MUCH THE STIPENDS ARE THAT COUNCIL GETS. SO THE BUDGET FOR FISCAL YEAR 23 DID NOT INCLUDE THAT THAT INCREASE. THAT INCREASE THAT DID HAPPEN WILL BE COVERED BY THE OTHER LINE ITEMS THAT ARE CAPACITY WITHIN YOUR BUDGET. SO EVERYTHING'S FINE. UM, MINOR, UM, DECREASE IN A ONE TIME COST. UM, THERE IS 20,000 ADDED FOR COMMUNICATION SUPPORT CONTRACT. UM, WE'VE ALSO ADDED FOR A DIGITAL COUNTDOWN TIMER INSTEAD OF THE, THE LIGHTS THERE. SO HOPEFULLY THAT WILL HELP, UM, WITH THE SPEAKERS. UM, THERE WAS A REDUCTION FOR LEAD CONFERENCE COSTS OF 3,300. AND THEN JUST MISCELLANEOUS, UH, UM, SO THE PERCENTAGE CHANGE OVERALL IS 25%. THE ONGOING PORTION, 28% INCREASE. PETE, THAT DIGITAL ACCOUNT TIMER, DOES THAT ELIMINATE THE CORD THING TOO? I'M SORRY, TO THE MICROPHONE. OH, IT WILL JUST BE THE TIMER AND IT, IT'LL BE ON THE WALL AND REMOTE SO THAT ALL RIGHT. PEOPLE CAN SEE HOW MUCH TIME THEY ACTUALLY HAVE LEFT SPEAK, BUT THE CORD ON THE FLOOR [03:50:01] WILL GO AWAY. OH, THE CORD. I'M SORRY. I DIDN'T UNDERSTAND. THAT'S THE MICROPHONE. YES. I'M HOPING IT WILL. IT'LL JUST BE AN ELECTRICAL CORD WITH THE, I THINK THE TALKING TIMER ON THE WALL, AND THEN IT'LL JUST BE RUN BY REMOTE, BUT IT WILL NOT ELIMINATE THE MICROPHONE CORD, MICROPHONE PRESENTATION, PODIUM CORD. THEN TWO OTHER THINGS I THOUGHT ABOUT, MAYOR, MAYBE IT'S LATE, BUT A LOT OF PLACES HAVE, UH, ON OFF MICS WITH A LIGHT HERE. SO IT'S SORT OF EASIER FOR ALL OF US TO TELL WHO'S GOT THE FLOOR. I'M KEEP THINKING ABOUT THIS ISSUE THAT WE KEEP STRUGGLING WITH ABOUT TAGGING IN AND SPEAKING OVER EACH OTHER. AND THEN THERE'S ANOTHER ALSO PLACES HAVE, I COULD PUSH A BUTTON. THEN YOU WOULD KNOW THAT THAT'S WHO WHO'S SPEAKING, RIGHT? YEP. OR WHO, WHO'S GOT A REQUEST TO SPEAK IN. YEAH. AND I KNOW I WAS AT A RECENT, UH, EVENT AT CAMP VERDE IN THEIR COUNCIL CHAMBERS, AND THEY HAVE, UH, VOTING BY, UH, ELECT, YOU KNOW, ON THEIR, THEIR DAIS. EACH PERSON HAS A, YOU VOTE YAY Y NAY, AND IT COMES UP ON THIS COMPUTER SCREEN. IT WOULD COME UP POTENTIALLY THERE FOR BIG BODIES. THAT'S COOL. BUT FOR LITTLE BODIES THEN. WELL, BUT I KNOW WE DIDN'T DISCUSS THIS EARLIER AND WE DIDN'T DISCUSS IT DURING THE, UH, THE RETREAT. SO, UH, I DIDN'T BRING THOSE THINGS UP. I WAS GONNA WAIT FOR NEXT JANUARY. RIGHT. BUT, UM, YOU KNOW, I THINK MAYBE, UH, I, I DON'T WANNA CONTROL ANYBODY'S, ANYBODY'S MIC. I THINK WE'RE ALL REAL GOOD ABOUT NOT, YOU KNOW WHAT, MAYBE WE'LL TALK OVER EACH OTHER, BUT I'M NOT GONNA TURN SOMEONE'S MIC OFF. OH. IT WOULD BE US TURNING ON OUR OWN, YOUR OWN OUR OWN MICS. RIGHT. BUT THEN YOU GOTTA REMEMBER, I CAN'T EVEN REMEMBER TO DO SOME OF THE OTHER STUFF. THEN WE'LL GET A LOT OF ZOOM WITH THE YEAH, THAT'S WHAT IN ZOOM. I HAVE THE SAME THOUGHT. YOU'RE MUTED. YOU'RE MUTED. YEAH. YEAH. JESSICA, AN ONGOING ISSUE FOR ME, AND I BELIEVE OTHER PEOPLE ON, WHETHER ON THE LEFT OR ON THIS SIDE OF THE LEFT OR THAT SIDE, UM, IS WANTING TO, WANTING TO SPEAK. SO, AND I THINK LIKE THAT, I THINK, I THINK, UH, A THING THAT SORT OF IN REAL TIME SORT OF LISTS WHO WANTS TO SPEAK IN THE ORDER THAT THEY ASK TO SPEAK, UM, WOULD BE HELPFUL FOR YOU. AND IT WOULD CERTAINLY BE HELPFUL FOR ME. AND I DON'T KNOW, THAT'S, IF THAT'S AVAILABLE, I HAVEN'T. UH, BUT I, I DON'T KNOW. BUT SINCE, WELL, I, I WOULD LIKE TO ASK WHETHER THERE'S SUPPORT FOR ASKING THAT RESEARCH BE DONE ON THAT TO SEE IF THERE IS SUCH A SYSTEM. I MEAN, I THINK IT WOULD CLEAR UP SOME, SOME OF THE ISSUES THAT I SEE, CERTAINLY THAT I HAVE. I, I AGREE. UM, AND, AND WHETHER IT CAN BE DONE OR NOT IS ANOTHER ISSUE. SO I WOULD JUST LIKE IT LOOKED INTO. YES. BRIAN , MAYOR, PLEASE. I'M PERFECTLY FINE WITH THE STATUS QUO. I DON'T SEE A NEED TO INVEST MORE MONEY. THIS IS THE FIRST TIME WE'VE BEEN DOING THIS FOR SO LONG, SO MY HEAD'S GOING CRAZY. YEAH, I'M, I'M PERFECTLY FINE AS IS. THANK YOU. YEAH, I WANNA CHIME IN ON THAT. I DON'T, I DON'T KNOW THAT THAT'S SOMETHING TO SPEND REALLY MONEY ON BECAUSE I THINK, ACTUALLY I WANNA COMPLIMENT THE MAYOR. I THINK HE'S DOING A VERY GOOD JOB OF TRYING TO KEEP PEOPLE IN ORDER IN HIS MIND. AND EVEN WHEN HE SAYS, I DON'T KNOW WHO'S NEXT, OR, I DON'T REMEMBER, AND WE NUDGE HIM. I THINK WE'RE THE THAT'S FINE. SOMETIMES WE DON'T KNOW WHEN WE'VE BEEN RECOGNIZED OR NOT. THAT'S THE, THAT'S A DIFFERENT ISSUE. AND WE WE'RE VERY GOOD AT WORKING TOGETHER ON THIS. RIGHT, EXACTLY. AND I DON'T THINK ELECTRONICS ARE GONNA HAVE ANY PLAY IN IT, SO, BUT I'D LIKE TO THANK THE MAN DOESN'T THINK IT'S A GOOD IDEA. THAT'S FINE. BUT I'D LIKE TO THANK JOANNE FOR BEING PROACTIVE AND TRYING TO COME UP WITH THAT, UH, THE DIGITAL SYSTEM THAT, THAT'S REALLY APPRECIATED. CUZ THAT, YOU KNOW, PEOPLE HAVE SAID, HOW MUCH TIME DO I HAVE LEFT? THEY DON'T UNDERSTAND. THEY HAVE TO LOOK THERE. SO I APPRECIATE YOU DOING THAT. SO I WOULD SUPPORT THAT CHAIR. YES. WHAT IS THE COMMUNICATION SUPPORT CONTRACT THAT'S ON THE LIST THERE? I CAN ANSWER THAT. UM, SO WE, YOU KNOW, WE'VE BEEN WORKING QUITE A BIT WITH BETA PR. I'M NOT SAYING THAT THAT'S GONNA BE THE FIRM NECESSARILY, BUT, UM, THERE WAS A DISCUSSION BETWEEN THE, THE MAYOR AND VICE MAYOR AND I, AROUND THE INTEREST THAT COUNCIL HAS PREVIOUSLY EXPRESSED THROUGH COMMUNI, YOU KNOW, OUR JANUARY RETREATS AND, AND ABOUT COMMUNICATIONS TO HAVE ADDITIONAL COMMUNICATIONS COMING FROM EITHER THE MAYOR OR THE COUNCIL AROUND THE THINGS THAT WE'RE DOING THAT YOU ARE DOING. THIS WOULD PROVIDE A LITTLE BIT OF A BUDGET TO DEVELOP SOME OF THOSE COMMUNICATIONS MATERIALS, UM, ON BEHALF OF THE, THE MAYOR AND COUNCIL. WE, I MEAN, TO ME, I THINK BEING, YOU KNOW, FOR US TO DO OUTREACH IS IMPORTANT. WE'VE BEEN, ALL OF US HAVE BEEN VERY, UH, HELPFUL ON SOCIAL MEDIA AND IT, IT HAS PAID OFF. I'M SEEING A LOT OF GOOD INFORMATION COMING BACK SAYING, WOW, THIS IS THE FIRST TIME. AND IT'S NOT, BUT IT'S THE FIRST TIME THAT WE'RE SEEING SO MUCH, UH, INFORMATION PUT OUT ON SOCIAL MEDIA, JESSICA. [03:55:01] YEAH. AND SO I, I GUESS IN, IN A SPIRIT OF JUST ASKING THE QUESTION, WHY DOES THE COUNCIL NEED ITS OWN COMMUNICATION? I MEAN, WELL, WE HAVE, WE HAVE A COMMUNICATION, WE HAVE A ROBUST COMMUNICATION. WE DO PROGRAM AND A ROBUST STAFF TO DO IT. WHAT, WHY DO WE, WHAT, KAREN, DO YOU HAVE SOMETHING THAT YOU CAN ADD TO THAT? I CAN TRY. THANK YOU. BUT I THINK, YOU KNOW, PROBABLY MAYOR AND VICE MAYOR MIGHT BE POISED TO SPEAK TO THIS AS WELL, BUT, UH, THAT THERE ARE SOME TIMES WHERE MAYBE THAT'S A GUEST PERSPECTIVE, ASSISTANCE WITH CRAFTING MESSAGING, UM, EVEN, YOU KNOW, MAYOR HAS OCCASIONED TO GO GIVE SPEECHES AT CERTAIN EVENTS AND ACTIVITIES THAT THIS COULD BE SUPPORT TO HELP CRAFT THE MESSAGING FOR SOME OF THAT. UM, BUT IT'S NOT, I GUESS MY, MY QUESTION FOR CLARIFICATION, IS IT ON, I I'M WONDERING WHETHER THIS IS JUST AN ONGOING PLATFORM FOR COUNCIL TO PUT ITSELF OUT IN FRONT OF PEOPLE. I'M JUST QUESTIONING WHETHER THAT'S WHAT IT IS OR WHETHER IT'S SUPPORT BEHIND THE SCENES FOR OUR COMMUNICATION EFFORTS. THAT'S MY QUESTION. UM, AND, AND SO I WOULD APPRECIATE HEARING FROM THE MAYOR AND THE VICE MAYOR ON THAT. WELL ALSO, I, I HAD SUGGESTED, AND THE VICE MAYOR, I MENTIONED THIS BEFORE AT THE RETREATS, WE'D LIKE TO, UH, TAKE THE SHOW ON THE ROAD ONCE IN A WHILE, GO OUT TO, UH, ONE OF THE CHURCHES, MAYBE THE COMMUNITY CENTER AND YOU KNOW, THREE OF US, OR TWO OF US NOT TO HAVE A QUORUM. WE'D SHARE EVEN WITHOUT US, MAYBE JESSICA WOULD LIKE TO GO OUT AND TALK WITH PEOPLE WITH, WITH, UH, PETE AND KATHY, IF WE'RE GONNA HAVE TO PAY FOR A RENTAL OF THOSE SPACES, UHHUH . AND I THINK THAT THAT IS SOMETHING THAT SHOULD BE BUDGETED. OR IF IT'S, IF IT'S NOT USED, WE'RE NOT TALKING ABOUT A LOT OF MONEY. NO, NO, I UNDERSTAND. SO, YEAH, SO THE WORDING HERE IS ABOUT A SUPPORT CONTRACT, RIGHT? RIGHT. IS THAT A CONTRACT WITH A PERSON THAT WOULDN'T PAY FOR A FACILITY? WELL, THIS IS, THAT'S AN INTERESTING IDEA ABOUT PAYING FOR FACILITIES WHERE WE WANT TO GO AND ESPECIALLY LOCAL HAD, YOU KNOW, SO I WANNA MAKE SURE THAT THAT IS ACTUALLY WHAT IT GETS DELIVERED IF IT'S JUST A CONTRACT WITH A PERSON OR A FIRM TO DO PR, THAT THAT DOESN'T PAY FOR FACILITIES. NO, IT DOESN'T. SO I WAS GONNA MENTION THAT TO, UH, AND WE HAVEN'T DISCUSSED THIS BEFORE, SO I DON'T WANNA, YOU KNOW, UH, TAKE YOU BY SURPRISE. BUT I MEAN, WE, BUT WE HAVE DISCUSSED THE, EITHER THE COMMUNITY CENTER OR PAYING FOR, FOR, UH, THE CHURCHES. BUT AS FAR AS THIS, THIS COMPANY, WE DID TALK ABOUT, UH, EITHER SPEECH WRITING OR, UH, INFORMATION THAT, UH, I, WE MIGHT NEED VICE MAYOR, YOU WANNA WEIGH IN ALSO? YEAH. UH, I THINK THAT THE, RECENTLY IN A GUEST PERSPECTIVE THERE, THE COMMUNICATIONS TEAM WAS, WAS OTHERWISE OCCUPIED AND COULDN'T PARTICIPATE IN HELPING WITH THAT. UH, AND SO THEY'RE GETTING, YOU KNOW, MORE AND MORE WORK. UH, SO THE IDEA WAS TO PUT A PLACEHOLDER IN, IN THE EVENT THAT THERE NEEDED TO BE SOME SUPPORT, BUT IT WASN'T INTENDED TO BE LIMITED TO A SINGLE CONTRACT. SO I THINK THAT WORDING COULD, COULD CHANGE. RIGHT. SO THIS IS OUR, AN ATTEMPT FOR THE COUNCIL TO BE MORE PROACTIVE, BE OUT THERE, BE COMMUNICATING WITH THE RESIDENTS AND UH, AND, AND THINGS LIKE THAT. SO, AND I, I'D LIKE TO ADD SOMETHING THAT WE'VE ALL RECOGNIZED THE AMAZING JOB THAT COMMUNICATION IS DOING WITH LAUREN AND KEEGAN. MM-HMM. , THEY'RE PUTTING TIME OUT. IF WE NEED SOMETHING FROM THEM, THEY MAY NOT HAVE THAT TIME BECAUSE THEY'RE ACTUALLY DOING A LOT OF WORK. OKAY. SO THIS WOULD BE SOMETHING IN ADDITION TO, I'M, I GUESS ONE OF MY CONCERNS IS THE EXTENT TO WHICH THIS LENDS ITSELF TO BEING, UM, DURING CAMPAIGN SEASON. OH, NO, NO, NO, NO, NO, NO, NO. YOU SAY IT KATHY, BE . THERE'S ALWAYS OTHER PEOPLE I BOTHER, I I BEG TO DIFFER THAT WE'VE SEEN IN OTHER AREAS OF THE COUNTRY AND IN OTHER FOUR WHERE THAT IS IN FACT WHAT HAPPENS. AND I WANNA BE VERY CAREFUL TO STAY AWAY FROM, FROM THAT'S A GREAT POINT. BUT WE CAN TALK ABOUT THIS WHEN WE TALK ABOUT THE DECISION PACKAGE. YES. SO I JUST WANTED TO PUT MY THAT, AND THAT'S, I DIDN'T EVEN THINK ABOUT IT, BUT YOU'RE ABSOLUTELY RIGHT. I UNDERSTAND. I'M NOT MAKING A ACCUSATION. NO, I UNDERSTAND. SAYING IN OTHER VENUES, THIS IS WHAT I'VE SEEN. BUT, AND I APPRECIATE THAT POINT CUZ I'M JUST NOT EVEN THINKING OF IT. KATHY. YEAH. I JUST WANNA BE CAREFUL HERE TOO, BECAUSE THE TERM GUEST PERSPECTIVE [04:00:01] WAS PUT OUT THERE FROM SOMEWHERE HERE ON THE DAIS AND USED A COUPLE OF TIMES. AND I JUST WANNA MAKE SURE THAT, BECAUSE THAT'S A TERM THAT'S BEING USED IN ONE PARTICULAR NEWSPAPER FOR A PARTICULAR TYPE OF COLUMN. AND I JUST DON'T WANT THIS TO BE MISUNDERSTOOD THAT THIS IS FOR, I MEAN, I DON'T EVEN UNDERSTAND WHAT THIS IS FOR YET, BUT I DON'T THINK THAT THIS IS FOR SOMETHING THAT WOULD BE SUPPLEMENTING FOR THAT VERY PROBABLY TRADEMARKED TITLE. SO I JUST WANNA BE CLEAR ON THAT BECAUSE, UH, FOR ANY GUEST PERSPECTIVE THAT I'VE WRITTEN OR SUBMITTED IN ANY TIME THAT I'VE HAD, YOU KNOW, IT COMES FROM THE INDIVIDUAL. SO I JUST WANNA MAKE SURE THAT THERE'S NOT, BECAUSE AGAIN, PEOPLE ARE, HOPEFULLY, HOPEFULLY WE'RE UP TO 90 PEOPLE STREAMING, UH, TODAY WATCHING US. UM, YOU KNOW, I DON'T WANT THERE TO BE A MISCOMMUNICATION OR A MISUNDERSTANDING OF WHAT THIS IS. SO WHEN WE USE A TERM THAT WE USE IN A COLLOQUIAL, LIKE SAYING XEROX, WHEN YOU MEAN COPY, LET'S JUST BE CAREFUL. I UNDERSTAND. AND JUST TO LET YOU KNOW, PLEASE DON'T CUT ME OFF. THANK YOU. GO AHEAD. I'M, I'M DONE. BUT OKAY. AND I JUST WANNA CLARIFY THAT AS WELL. UH, I'VE BEEN NOW INTERVIEWED BY, UH, SEVERAL OTHER NEWSPAPER AND NEWS MEDIA, UH, OUTLETS AND NOT JUST ONE. SO, UH, BUT YOUR POINT IS WELL TAKEN. I APPRECIATE THAT TOO. BOTH POINTS ARE WELL TAKEN. YEAH, NO, I, I DIDN'T EVEN THINK ABOUT THE CAMPAIGN AND I WOULD NEVER EVEN THINK OF THAT. BUT THANK YOU. AND WE SHOULD PUT RESTRICTIONS ON THAT. MAYBE A TIMEFRAME, UH, A CERTAIN AMOUNT OF MONTHS. LET'S, LET'S TALK ABOUT THIS. WHEN WE GET TO THE DECISION PACKAGE, IS IT A DECISION PACKAGE? NO, IT'S NOT A DECISION. OH, I'M SORRY. I'M RAW. I MISUNDERSTOOD. SO LET'S TALK ABOUT IT NOW. OKAY. I'M VERY SORRY. IT'S ACTUALLY, I THINK KURT, CORRECT ME IF THIS ISN'T TRUE IN THIS STATE, IT'S ILLEGAL TO USE PUBLIC FUNDS. OH YEAH, I WOULD THINK SO. CAMPAIGN RELATED ACTIVITIES, I WOULDN'T THINK SO. OKAY. , THAT'S NICE TO KNOW. UM, I THINK THAT YOU MIGHT AGREE OR YOU MAYBE YOU WOULDN'T. THAT'S IN THE EYE OF THE BEHOLDER AND I JUST WANNA NOT PUT US IN A POSITION WHERE THAT HAPPENS AND UNNECESSARILY. SO THAT'S MY POINT. AND I THINK I'M AFRAID, I THINK THIS DOES. UM, AND I GUESS I HAVE ISSUES ALSO SINCE WE'RE TALKING ABOUT IT NOW. I'M SORRY, I MISUNDERSTOOD. UM, I HAVE ISSUES WITH IT BEING FACILITY RENTER. WE HAVE FACILITIES HERE. ANY MEETING WE HAVE, IT SEEMS TO ME WE HAVE FACILITIES THAT WE COULD USE IT FOR. UM, I, I'M JUST REALLY IFFY ABOUT THIS. I'M NOT SURE. I'M NOT SURE. I FRANKLY MYSELF, LIKE HAVING IT AS PART OF A STAFF FUNCTION WHERE THERE'S OVERSIGHT AND THERE'S RULES AND THERE'S SOME KIND OF, THIS BASICALLY RELIES ON, ON INDIVIDUAL COUNSELORS DECIDING THEY WANT SOMETHING. AND I'M NOT SURE THAT THAT'S SOMETHING THAT I SORT OF WANT SUPPORT. I MEAN, I'M, I'M KIND OF IFFY ABOUT IT. SO THAT'S MY CONCERN. WAS THAT THE CASE, KAREN? I MEAN, YEAH. NO. IN THE SENSE THAT, LET HER ANSWER NO, I KNOW YOU DON'T HAVE, I MEAN, COUNSEL DOESN'T MAKE, AS FAR AS I KNOW, BUDGET DECISIONS. I MEAN, WE U WE GO TO THE LEAGUE, GO, WE GO THROUGH JOANNE AND SHE FACILITATES OUR, IF YOU HAD, IF IF THE MAYOR OR THE COUNCIL, UH, HAD A CONTRACT WITH, UH, A PR FIRM OR SOMEONE THAT WAS HELPING WITH COMMUNICATIONS MATERIALS OR PREPARATION, IT WOULD NOT, ONE OF THE, THE REASONS THAT WE, WE PUT SOME MONEY IN THE BUDGET IS BECAUSE IF THE MAYOR HAS A SPEECH TO WRITE AND OUR COMMUNICATIONS TEAM DOESN'T HAVE THE CAPACITY TO DEDICATE THE TIME TO WRITE A SPEECH OR HELP HIM WRITE A SPEECH, THEN HE WOULD HAVE AN ALTERNATIVE TO, TO HELP WITH THAT. SO IT WOULDN'T PROBABLY RUN THROUGH COMMUNICATIONS. I DID NOT UNDERSTAND THAT. I THOUGHT IT WOULD RUN THROUGH COMMUNICATION BECAUSE FOR THEM TO TAKE THE TIME TO BE THE INTERMEDIARY TO DEFEAT THE PURPOSE. YEAH. RIGHT. EXACTLY. SO IF IT'S GOING TO BE A PROBLEM, WE DON'T HAVE TO DO IT. BUT, UM, I'LL LEAVE IT AT THAT. WELL, I THINK IT'S OUR CHOICE. IT'S YOUR CHOICE. SO I THINK EVERYBODY ELSE SHOULD WEIGH IN ON WHAT THEY LOOK AND IT WOULDN'T BE RESTRICTED TO JUST MYSELF EITHER. [04:05:01] IF A COUNCIL IS GOING, IF A COUNCIL PERSON'S GOING OUT AND, AND I, I REALLY BELIEVE IN TRYING TO TAKE THE SHOW ON THE ROAD MORE, EVEN IF IT'S TWO TIMES A YEAR, THAT'S MORE THAN WE'RE DOING LATELY. AND IT, UH, IF I, I LIKE THE IDEA OF TAKING IT OUT OF COUNCIL CHAMBERS AND GOING TO THE COMMUNITY CENTER IS A GREAT VENUE. IT'S OFF CAMPUS. IT GIVES A DIFFERENT, UH, OPINION. I'M SORRY, MAYOR. YEP. BUT I THINK THAT THAT IS ACTUALLY A DIFFERENT DISCUSSION. THIS WAS A FOR A CONTRACT WITH A PERSON OR FIRM TO HELP CRAFT MESSAGING IN OTHER, AND THERE'S NOBODY, THERE'S NO FIRM YET REALLY CHOSEN, RIGHT? NO. YEAH. SO MELISSA HAS SOMETHING, SHE HAS HER HAND UP. SO INSTEAD OF PUSHING THE BUTTON, I KNOW. WELL, I'LL, I'LL WEIGH IN CAUSE I HAVEN'T SPOKEN YET. PLEASE. AND I THINK THERE IS A HUGE DIFFERENCE BETWEEN, UM, ASKING CITY COUNSELORS TO HAVE FORMAL SPEECH WRITING DONE FOR THEM AS OPPOSED TO SPEAKING FROM OUR HEARTS, WHETHER WE'RE AS ARTICULATE AS WE MIGHT LIKE TO BE OR NOT. IT, IT'S WHO WE ARE. MM-HMM. . AND UM, AND I THINK OUR CONSTITUENTS HAVE THE RIGHT TO KNOW WHO WE ARE. MM-HMM. AND HOW WE THINK AND BASE DECISIONS OR EMOTIONAL EXPERIENCES IN OUR COMMUNITY. UM, ON THAT. I THINK THAT'S DIFFERENT THAN SAYING WE WANNA HAVE TOWN HALLS. IF WE WANNA HAVE TOWN HALLS WHERE EITHER WE POST IT AS AN AGENDA ITEM WHEN WE ALL GO AND LET PEOPLE GRILL US OUTSIDE OF, YOU KNOW, THE CONCEPT OF YOU HAVE TO GO TO CITY HALL AND YOU'VE GOTTA WAIT AND IT HAS TO BE A PUBLIC COMMENT. YOU ONLY GET THREE MINUTES, YOU KNOW, THAN THAT IS A COMPLETELY DIFFERENT THING. WELL THAT'S WHAT JOE, UH, KAREN JUST SAID. SO THAT THEN THIS AND I JUST WANTED TO WEIGH IN AND SAY, I AGREE. AND WE HAVE TO DECIDE WHETHER OR NOT THIS IS ABOUT PROFESSIONAL SPEECH WRITING OR, OR ARTICLE WRITING VERSUS TOWN HALLS. AND I AND I HAVE ALWAYS CAMPAIGNED FOR THE IDEA THAT TOWN HALLS ARE A GOOD THING, RIGHT? OH YEAH. BECAUSE PEOPLE CAN'T MAKE IT HERE OR THEY DON'T WANNA COME, UM, DOWN 1 79 WHEN THERE'S A LOT OF PEOPLE IN TOWN TO BE HERE AT FOUR 30. SO TO TRY AND MEET WHERE OUR CONSTITUENTS ARE AND AT TIMES THAT THEY CAN MAKE, I AM COMPLETELY FOR THAT. WELL, I'D LIKE TO TAKE WHAT YOU SAID AND CLARIFY JUST ONE POINT BY TAKING IT OUT OF COUNCIL CHAMBERS. WE ELIMINATE THE THREE MINUTES. MM-HMM. , AND I WANT DOING EXACTLY WHAT YOU'RE SAYING, BUT I DON'T WANNA GIVE SOMEONE THREE MINUTES. I WANNA GIVE THEM FIVE AND SIT AT A ROUND TABLE AND TALK. AGREE. WHICH YOU AGREE. I THINK WE ALL AGREE ON THAT. SHE ALREADY DOES THAT. SHE HAS OPEN HOURS HERE, THE CAMPUS. YEAH, SHE DOES. I UNDERSTAND. SO, BUT THIS IS NOT THE AGENDA ITEM. OR EVEN FOR DISCUSSION, IF THERE'S ANY KIND OF PUSHBACK THAT I'M FINE WITH, WE, WE'LL JUST REMOVE IT. OKAY. COUNCILOR FOLTZ, I'D LIKE TO HEAR FROM COUNCILOR FOLTZ PLEASES. SCOTT, ANYTHING TO SAY? REALLY? YOU WANNA KNOW MY OPINION? UM, I, I MEAN, I DON'T PERSONALLY FEEL A NEED FOR IT. OKAY. FOR MYSELF. SO THAT MAKES ME AMBIVALENT AT BEST, I THINK ON THIS PARTICULAR ITEM, THEN FINE. I'M FINE WITH, WE'LL REMOVE IT. ANYTHING ELSE, JESSICA? I DO ABOUT REMOVING IT? NO, I THINK IT SHOULD BE REMOVED, BUT I HAVE A QUESTION. IT AROSE BECAUSE THERE WAS AN ISSUE ABOUT THE AVAILABILITY OF STAFF ON, ON DEMAND, AND I THINK THAT THAT'S PROBABLY UN UH, SORT OF AN UNREASONABLE ASK TO, TO SORT OF HAVE STAFF OTHER THAN JUST ANSWER QUICK FACTUAL QUESTIONS. PERHAPS LIKE, HEY, I WANNA SAY THAT IT'S, IT'S 50% CAPACITY. IS THAT RIGHT OR WRONG? UM, I'M NOT, THAT'S PRETTY MUCH WHAT IT WOULD BE, YOU KNOW, JUST GETTING THE FACTS WELL AND FIGURES. THERE WAS AN ISSUE, WELL, WE CAN TALK ABOUT THIS PERHAPS AT A DIFFERENT TIME, BUT IF THERE'S AN ISSUE WITH STAFF BEING UNABLE TO MEET THE EXPECTATIONS OF MEMBERS OF THE COUNCIL REGARDING THE USE OF OUR COMMUNICATION STAFF, AT SOME POINT WE HAVE TO SORT OF LOOK AT THAT AND TALK ABOUT IT AND SEE WHETHER THAT'S AN APPROPRIATE THING OR NOT. UM, I TEND TO AGREE WITH MELISSA. I MEAN, FOR BETTER OR WORSE, I WRITE, I WRITE MY STUFF. YOU DO? AND, AND I GET A FRIEND TO LOOK AT IT, OR I JUST SORT OF JUST DON'T DO IT. UM, SO I GUESS AT SOME POINT, AND I DON'T KNOW THE RIGHT VENUE TO DO THAT, I THINK WE HAVE TO SORT OF RESOLVE THIS, THIS TENSION. BUT THAT, THAT'S NOT WHAT, THAT'S NOT WHAT THE MOMENT THIS IS BEING, BEING MOVED. I, I'M SAYING. OKAY, THAT'S FINE. PLEASE. SO LET'S STAY [04:10:01] ON TOPIC AND WE'VE ALREADY WITHDRAWN IT. I KNOW. SO I'VE, SO I WILL, I'LL TALK TO KAREN ABOUT HOW IT, IN MY ONE-ON-ONE, ABOUT THAT OTHER ISSUE. OKAY. YOU WITHDREW IT, MAYOR, THEN THAT'S, YOU KNOW, I APPRECIATE YOUR THINKING THROUGH IT AND OFFERING THAT. BUT IS THIS ALSO AN OPPORTUNITY FOR US TO PIVOT TO FUND OFFSITE VENUE PAYING? BECAUSE I AGREE. I THINK PUTTING THE BUDGET ON A ROADSHOW, PEOPLE DON'T WANNA ALWAYS HAVE TO DRIVE TO CITY HALL. IT IS BEEN SAID BEFORE. THAT'S TRUE. I'M SUPPORTIVE OF US HAVING SOME AVAILABLE MONEY, AND PERHAPS WE DO, AND I DON'T KNOW. BUT IF WE DON'T, I THINK IT'S SOMETHING THAT WE SHOULD DO. OKAY. WELL, I THINK THAT WOULD BE, YEAH, AND I THINK I WOULD JUST WANT TO SET THE EXPECTATION FOR IF THAT, SO BUDGET, FOR EXAMPLE, UM, IF THAT IS AN ANTICIPATED TO BE A RENTAL OF SOME OTHER FACILITIES FOR STAFF TO NO. COME. YEAH. COUNCIL. YEAH. OKAY. ALOMA COUNCIL, YOU NEED, WE COULDN'T HAVE DONE TODAY WITHOUT SHERRY, SO YOU HAVE TO TAKE IN, IT'S NOT JUST, WELL, WE'RE GONNA PITCH THE BUDGET. WELL, WE, SOME OF US COULD, SOME OF US CAN'T, SOME OF US MAY, SOME WHATEVER. WE CAN'T DO IT WITHOUT THE STAFF. I WOULD RECOMMEND WE'RE TALKING AT DIFFERENT, I THINK THERE ARE DIFFERENT UNDERSTANDINGS UP HERE. I DON'T THINK THIS IS THE RIGHT PLACE TIME. THIS IS, AND YOU'RE RIGHT, THIS IS, WE'RE HAVING THIS DISCUSSION, SO LET'S MOVE FORWARD. YOU CAN TAKE THAT. WELL, CAN I FINISH WHAT I WAS MID-SENTENCE OF SAYING, GO AHEAD. THANK YOU. YOU GOTTA WATCH THAT. CUT ME OFF MIDSTREAM A LOT FROM YOU WITH AS WELL. SO TO KAREN'S POINT, AGAIN, I, BECAUSE I, THAT IS MY CONCERN THAT I WANNA GO OFF SITE AS WELL AND GO TO THE PEOPLE WHERE THEY ARE. UM, BUT I ALSO DON'T THINK THEN THAT THAT ENTITLES ME TO BRING, YOU KNOW, STAFF AND A DOG AND PONY SHOW, BECAUSE THAT'S EXTRA TIME AND EFFORT AND, AND IN INTO THEIR DEPARTMENTAL BUDGET. SO AGAIN, THIS ISN'T THE RIGHT TIME TO DISCUSS THIS, BUT WE HAVE TO UNDERSTAND THERE'S A DIFFERENT UNDERSTANDING. THERE ARE SEVEN DIFFERENT UNDERSTANDINGS UP HERE RIGHT NOW. SO YES. LET'S, LET'S TABLE THIS. OKAY. MAY I, MAY I INTERJECT FOR JUST ONE SECOND? I WANNA, I WANTED TO ASK, UH, A QUESTION OF, OF COURSE, THE CITY ATTORNEY. I SAID TOWN HALLS, I SAID, COUNCIL, I SAID AGENDA AND YOU LOOK CONCERNED. SO COULD YOU, COULD YOU PLEASE, UM, JUST ELUCIDATE WHAT THE CONCERN IS? I HEAR KAREN SAYING SHE'S CONCERNED ABOUT STAFF TIME. SO LET'S JUST SORT OF GET THAT SORT OF OUT IF WE CAN. SO THE ONLY CONCERN, UM, COUNSELORS IS THE OPEN MEETING LAW. UM, AND SO THE NUMBER OF COUNSELORS AND, AND RIGHT. HOLDING DISCUSSIONS OUTSIDE OF THE PUBLIC MEETING. SO, UM, IDEALLY IF YOU'RE GONNA HAVE YOUR OWN TOWN HALL, IT JUST BE YOU. UM, YOU CAN GET TO TWO, UH, WHEN YOU START GETTING, YOU KNOW, TECHNICALLY A QUORUMS FOUR. UM, BUT IF THERE'S ANY DISCUSSIONS THAT YOU'VE HAD WITH OTHER COUNSELORS AT A TOWN HALL, THEN YOU WANT TO TALK WITH A, A FOURTH COUNSELOR, YOU NO LONGER CAN, THAT'D BE THAT OPEN MEETING LAW VIOLATION. SO THAT'S WHERE THIS, THE ISSUE COMES IN. GO AHEAD, JUSTIN. AND THEN WE'RE GONNA BE, BUT IT COULD BEED, COULDN'T IT? I MEAN, CORRECT. I I, I, SO THE, THE PROBLEM A LITTLE BIT WITH THE TOWN HALL IS YOU DON'T KNOW ALL THE TOPICS THAT WILL COME UP, RIGHT? SO YOU COULD, BUT YOU COULD PROVIDE A LIST OF, OF AVAILABLE TOPICS 10 AND STICK TO THOSE 10. BUT IF A RESIDENT COMES AND ASKS ONE THAT'S NOT ON THE AGENDA, UH, THEN YOU GOTTA SAY, WELL, WE'LL PUT THAT ON THE NEXT TOWN HALL IF WE, IF IF THERE SEEMS TO BE SOME CONCERN AND I KNOW THIS ISN'T THE RIGHT FORUM, WELL THEN DON'T DO. OKAY. IF YOU KNOW IT'S NOT THE RIGHT FORUM, PLEASE. LET'S, THAT'S A GOOD POINT. WE'VE GONE FAR BEYOND WHAT WE SHOULD HAVE. YOU'RE IT'S A GOOD POINT. SO NOW, UH, BEFORE WE GO TO LUNCH, WHY DON'T WE DO THE CITY CLERK? SO THIS WAY WE CAN GO RIGHT INTO THE, UH, DECISIONS LATER, RIGHT? I DON'T KNOW. THIS MIGHT BE A TWO HOUR DISCUSSION. I KNOW'S SUCH A BIG BUDGET. I KNOW. DOES IT INVOLVE THE DOG PARK? PROBABLY, OR THE HOMELESS. OKAY. ALL SHARING. ALL OF YOU BOTH. SO FOR CITY CLERK'S OFFICE FISCAL YEAR 23, UH, BUDGET DIRECT COSTS, UM, 346,000 GOING DOWN TO 299,000. FISCAL YEAR 24. UH, BIG PART OF THAT IS BECAUSE, UM, ELECTIONS ARE EVERY OTHER YEAR. SO THEY'RE PART OF THE ONE TIME MM-HMM. COSTS. UM, SO INCREASE IN ONGOING WAGES AND BENEFITS. 13,000 DECREASE IN THE ONE TIME, UM, 46,000. UM, WE ARE PROPOSING, THERE'S, UM, PUBLICATIONS THAT HAVE BEEN DONE IN THE PAST, UM, THAT REALLY AREN'T REQUIRED BY STATUTE. AND SO THAT'S $12,500 WORTH IN THE BUDGET THAT WE'RE SUGGESTING THAT, UM, THAT GET REMOVED, UM, UH, TO SAVE THE CITY SOME MONEY. SO, UM, OVERALL CHANGE, 13%, AND THE ONGOING PORTION IS LESS THAN 1% INCREASE. THE ONLY THING IN THE ONE TIME COST OF FISCAL YEAR 24 IS THE TIMING OF THE ELECTION. [04:15:01] IN AUGUST, SOME OF THE ADVERTISING AND STUFF WOULD HAPPEN PRIOR TO JUNE 30 IN FISCAL YEAR 24. MAYOR, WHAT ARE THESE PUBLICATIONS? YEAH, I I JUST WAS WONDERING WHAT JOE, THESE ARE, UM, AGENDAS POSTED IN THE NEWSPAPER, TENTATIVE AGENDAS. DID THAT BILL PASS? AND THAT'S DONE AS A COURTESY. IT DID NOT PASS. SO, SO, SO WE CAN'T TAKE THIS OUT. THIS IS JUST THE TENTATIVE AGENDA. WE DO ALL THE LEGAL POSTINGS AND WE'LL CONTINUE TO DO THEM. WE NEED TO BY STATUTE, AND THOSE ARE THE ORDINANCES. SO, SO THE PROPOSED BILL HAD NOTHING TO DO WITH AGENDAS. THERE'S NO REQUIREMENT TO, TO PUBLISH YOUR AGENDA IN THE NEWSPAPER, ESPECIALLY THE TENTATIVE. OKAY. WHICH, WHICH FREQUENTLY CHANGES BETWEEN THE TENTATIVE AND IT USUALLY DOES THAT THINGS HAVE OH, YEAH. SO IT'S REALLY NOT EVEN ACCURATE EVEN WHEN YOU POST THEM. OKAY. ALL RIGHT. ANY OTHER QUESTIONS ON THIS? SHERRY? I HAVE A QUESTION. YES. WILL THIS CHANGE WITH THE SHORT TERM RENTAL COMING? THIS WASN'T INCLUDING THE SHORT TERM RENTAL FOR FISCAL YEAR 24 COMING UNDER OUR DEPARTMENT IN THE FUTURE. IT'LL BE INCLUDED, RIGHT? UH, YEAH. SO THAT'LL BE AN ADJUSTMENT THAT WE'LL MAKE, UM, FOR, FOR THE TENTATIVE VERSION. OKAY. OKAY. WE'RE GONNA TAKE A BREAK. UM, 30 MINUTES. HOW FAR ARE WE, HOW ARE WE DOING ON SCHEDULE? SHERRY? WE ARE AHEAD OF SCHEDULE. SO WE'RE BY HOW MUCH? GOOD FOR US? TWO MINUTES. TELL US HOW MUCH. DON'T TELL US HOW MUCH, TELL US HOW MUCH, WHICH GUYS OKAY. CAN WE ALL GET BACK TO WORK HERE? OKAY. AND UM, OKAY. ALL RIGHT. NOW THAT WE'RE ALL RECHARGED, NO, IT'S OVER. AND CHECK ME IN 40 MINUTES, SO I'LL MAKE SURE I'M NOT SNORING. YEAH, THANK YOU. I DON'T THINK THAT WOULD BE YOU. ARE YOU STARTING WITH THE POSITION PACKAGES OR WHAT SHERRY? I SHOW OVERALL BUDGET. HOW, WHERE DO YOU WANNA START? WE'RE GONNA GO OVER SOME OVERALL BUDGETS. RENEE WILL BE BACK IN JUST A MINUTE. THANK NO. GOOD. ALWAYS FIRST GO TOO. SO I APPRECIATE THE FACT. THANK YOU. OVER. THANK ARE SURE. YOU BRINGING THE BIG GUNS? YES, I AM. ALL RIGHT. SHE'S BEEN FAR TOO QUIET FOR THE PAST DAY AND A HALF. BACK UP . SO I'LL LET RENEE TAKE OVER FROM HERE. SOUNDS LIKE MORE LIKE YOU, YOU'RE GONNA OF STUTTERING AND THROW HER UNDER THE BUS HERE. , THERE'S, OKAY. SORRY. WE'RE DOING A LITTLE BIT OF REARRANGING. OKAY. SO WE'VE HEARD FROM EACH ONE OF THE DEPARTMENTS, AND NOW WE WANNA TAKE A LOOK AT THE OVERALL BIG PICTURE WHERE EVERYTHING STANDS, UM, AND START MOVING TOWARDS THAT DIRECTION OF GETTING THAT FEEDBACK OF HOW YOU WANNA PRIORITIZE ALL THE THINGS THAT WE TALKED ABOUT AND, AND WHAT WE'RE GONNA DO. SO, UM, SO THE FISCAL YEAR 24 BUDGET IS BALANCED. UM, THERE ARE SOME PEOPLE WHO LOOK AT JUST THE REVENUES COMPARED TO THE EXPENDITURES AND TRY AND SAY THAT IT'S NOT BALANCED. YES. AND THAT'S NOT A VALID WAY TO LOOK AT THIS. UM, WE HAVE ALL SORTS OF MONIES THAT WE HAVE ACCUMULATED, UM, FOR PURPOSES TO BE SPENT THAT ARE NOT IN THE REVENUES. THEY ARE, THEY'RE CARRIED OVER IN THE FUND BALANCE. AND SO NOW THAT IT'S TIME TO SPEND THEM, THE EXPENDITURES ARE HIGHER THAN WHAT THAT ONE YEAR WORTH OF REVENUES ARE. UM, SO ARIZONA STATUTES DEFINE THE WAY THAT YOU LOOK AT WHETHER OR NOT THE BUDGET IS BALANCED, IS THE AVAILABLE RESOURCES THAT YOU HAVE. HOW DO THOSE COMPARE [04:20:01] TO, UM, THE EXPENDITURES AND CAN YOU HAND ME THAT MOUSE? I THINK, YEAH. NO, IT'S OKAY. UM, SO WE'RE ESTIMATING FOR FISCAL YEAR 24. WE'VE GOT IT ESTIMATED RIGHT NOW, AND THERE'S ALL SORTS OF ADJUSTMENTS THAT WE'VE BEEN ACCUMULATING. SO THESE NUMBERS WILL CHANGE, BUT THE, THE WAY THEY ARE IN THE BOOK, WE'RE ESTIMATING 99 MILLION AS THE AMOUNT THAT WE'RE STARTING THE FISCAL YEAR WITH. THEN WE'RE ESTIMATING 67 MILLION IN REVENUES. AND THEN WE'RE BACKING OUT ALL THE VARIOUS POLICY RESERVES TO COME UP WITH HOW MUCH IS ACTUAL RESOURCES AVAILABLE TO BE SPENT. SO, UM, OPERATING RESERVES, CAPITAL RESERVES, ALL THESE VARIOUS ONES. AND WE'RE GONNA GO THROUGH EACH ONE OF THESE RESERVES WHEN WE TALK ABOUT THE INDIVIDUAL FUNDS. UM, SO THAT BRINGS US TO TOTAL RESOURCES AVAILABLE OF 110 MILLION WITH BUDGETED EXPENDITURES OF 84 AND A HALF MILLION. SO WE'RE BUDGETING ACTUALLY FOR A SURPLUS. WE'RE BUDGETING FOR A SURPLUS OF 25, UH, 0.8 MILLION. OOPS. OKAY. I TOOK THAT SAME, UM, LOOK AT THE OVERALL BUDGET AND, UM, WE'VE BEEN LOOKING AT HOW OUR BUDGETS HAVE BEEN HISTORICALLY OVER THE PAST SEVERAL YEARS. UM, AND SO YOU CAN SEE THE, UM, ESTIMATED BEGINNING BALANCE HAS GROWN QUITE A BIT. UM, WE DID, UM, UM, PLAN ON IN THE BUDGET FOR 23, SPENDING SOME OF THE AMOUNT THAT, UM, HAD INCREASED TO THE POINT TO WHERE WE WERE SAYING, OKAY, WELL IT'S NOT AN ANOTHER INCREASE YEAR OVER YEAR OF JUST ACCUMULATING BALANCES, ACCUMULATING BALANCES. SO USING SOME OF THAT ESTIMATED REVENUES. UM, SO I AM BEING CONSERVATIVE AND WE'LL GO OVER THE REVENUES IN IN A MOMENT, BUT I AM BEING CONSERVATIVE IN THE REVENUE PROJECTION. UM, THERE HAS BEEN TALK BACK AND FORTH OF IS THERE GOING TO BE A RECESSION NEXT YEAR? IS THERE NOT GOING TO BE A RECESSION NEXT YEAR? AND BECAUSE THE FLIP FLIP FLOPPING THAT'S BEEN GOING ON, I THOUGHT, I'M JUST GONNA BE CONSERVATIVE AND JUST ASSUME THAT THERE'S A RECESSION. SO NO RECESSION MEANS WE'VE GOT EVEN MORE SURPLUS THAN WHAT GOT SHOWING, UM, THE GOVERNMENTAL ACCOUNTING. UM, THERE'S LIKE WEIRD NUANCES IN THE TERMINOLOGY. SO THERE'S A CATEGORY CALLED OTHER FINANCING SOURCES THAT BASICALLY SAY, TECHNICALLY IT'S NOT REVENUES. AND THESE THAT ARE, UM, IN THE 22 AND 23 BUDGETS WERE ESTIMATED OF HOW MUCH WE WOULD ISSUE IN BONDS DURING BONDS, OKAY. SO THE ISSUANCE OF BONDS. SO THOSE BOND PROCEEDS THAT WE WOULD RECEIVE FROM SELLING BONDS. UM, AND THEN WHEN YOU LOOK AT, SO YOU CAN SEE THE HISTORY ON THE DIFFERENT RESERVE CATEGORIES, UM, OUR DEBT SERVICE RESERVE POLICY BASICALLY SAYS THAT, UM, WE WOULD NEED TO HAVE A RESERVE IF, IF WE HAD BONDS THAT WE DID NOT HAVE AN INSURED, THEN WE WOULD NEED TO SET ASIDE FOR, UM, ANNUAL PAYMENTS ON THOSE BONDS. ALL OF OUR BONDS AT THIS POINT, THEY'RE ALL INSURED, SO WE DON'T HAVE ANY, UH, DEBT SERVICE RESERVES. UM, CAPITAL RESERVES ARE LOOKING AT HOW MUCH DO WE NEED FOR CAPITAL I IN THE FOLLOWING YEAR. UM, IT'S NOT THE CAPITAL CUZ BUILT INTO THE EXPENDITURES IS SPENDING HOWEVER MUCH CAPITAL WE'RE GONNA SPEND, UM, DURING THAT BUDGET YEAR. UM, AND THEN WE HAVE EQUIPMENT PLACEMENT RESERVES, MAJOR MAINTENANCE, UM, ALL THESE OTHER RESERVES THAT WE'LL, WE'LL TALK MORE ABOUT. UM, SO, UM, LAST FISCAL YEAR, UM, BUDGET PROCESS FISCAL YEAR 23. SO WE WERE ESTIMATING 143.9 MILLION, UM, WHICH IS BY FAR THE LARGEST WE HAD HAD IN A REALLY LONG TIME WITH THE ESTIMATION OF A, UM, RECESSION COMING. SO I'M SHOWING THAT WE WOULD HAVE TOTAL RESOURCES AVAILABLE ON A LITTLE LESS THAN WHERE WE WERE AT BEFORE, UM, BUDGET EXPENDITURES. SO, UM, YOU CAN SEE HISTORICALLY, UM, WHERE SOME OF THAT HAS BEEN, AND THEN THIS OTHER FINANCING USES AGAIN, IS IT'S TECHNICALLY NOT EXPENDITURES. IN 22, WHAT WE WERE, UM, ISSUING THE 9 MILLION IN BONDS FOR WAS TO REFUND $9 MILLION IN BONDS. SO THE REFUNDING OF TAKING THOSE BOND PROCEEDS AND PAYING OFF THOSE OLD BONDS, THAT'S AN OTHER FINANCING USE. UM, AND THEN YOU CAN SEE HERE ON THE EXCESS RESOURCES AVAILABLE. SO, UM, PREVIOUSLY, LIKE WE, UM, DIDN'T REALLY HAVE SIGNIFICANT IN THE SURPLUSES THAT WE WERE ESTIMATING 22 BUDGET. WE WERE, UM, ESTIMATED PRETTY SIGNIFICANT SURPLUS. [04:25:01] UM, AND WE'RE ESTIMATING 25.8 FOR 24, THIS LINE AT THE BOTTOM FOR ESTIMATED JUNE 30 FUND BALANCES. SO THE RESERVES ARE A COMPONENT OF YOUR ENDING FUND BALANCE. IT'S JUST A PIECE OF IT. SO THERE'S THE SURPLUS PLUS ALL OF THE DIFFERENT RESERVES ADD UP TO THE TOTAL OF WHAT YOUR ENDING BALANCE IS. OKAY. OKAY. SO I HAVE THIS SLIDE, UM, WHERE WE COMPARE GRAPHICALLY ON SOME OF OUR COMPARISONS. THIS FIRST, UM, KIND OF REDDISH LINE IS WHERE OUR TOTAL BUDGET NUMBERS HAVE BEEN, UM, FOR THE, UM, UM, UP THROUGH FISCAL OR 22, CAUSE I'M SHOWING YOU ACTUAL NUMBERS, TOTAL EXPENDITURES HAVE BEEN WELL UNDER WHERE THE BUDGET NUMBERS ARE, UM, E EVERY SINGLE YEAR. AND SO THIS WAS PART OF WHAT LED TO THE DISCUSSION WITH THE, UM, WORK GROUP ABOUT WHY EXPENDITURES ARE, UM, SO MUCH LESS THAN WHAT WE BUDGET. UM, I DO HAVE THIS TABLE HERE, UM, DIFFERENCE BETWEEN BUDGET AND ACTUAL. SO, UM, WE, UM, HAD GOTTEN A LITTLE BIT CLOSER ON OUR BUDGETING FOR SEVERAL YEARS AND, UM, 22 WE KIND OF STARTED, UM, HAVING MORE OF A VARIANCE AGAIN. SO WE WERE, UM, 13 AND A HALF MILLION UNDER BUDGET IN 22, 22 ACTUAL NUMBERS, AUDITED NUMBERS, AND, UM, IT WAS A 22% VARIANCE. UM, ONE OF THE THINGS THAT I LIKE TO, LIKE MAKE SURE THAT EVERYONE UNDERSTANDS IS IF WE HAVE A BUDGET THAT IS, UM, SO TIGHT THAT, UM, IF, IF WE'RE TARGETING LIKE, OH, WE WANNA BE WITHIN FIVE, 10% ON OUR BUDGET, THAT'S NOT REALLY PUTTING STAFF IN THE RIGHT MINDSET TO ACTUALLY MOVE FORWARD WITH PROJECTS BECAUSE THEY'RE GONNA BE WORRYING, IS SOMETHING GONNA COME UP AND I'M GONNA GO OVER BUDGET? AND SO THEN THEY'LL HESITATE ON THINGS WHEN YOU WANT THEM TO MOVE FORWARD WITH SOME OF THESE PRIORITIES. SO IT IS GOOD TO HAVE SOME ROOM THERE TO BE ABLE TO SAY, UM, YES, WE, WE HAVE THE CAPACITY IF SOMETHING COMES UP. SO WE'RE NOT CONCERNED AND WORRIED ABOUT BEING ABLE TO DO THAT. UM, SHERRY SURE. HOLD ON. YEAH, I'M HERE. SHE'S HERE. SO, UM, UM, IT'S INTERESTING TO HEAR YOU SAY THAT AND I, I TEND TO THINK THAT WAY MYSELF, BUT, UH, BUT IT'S SORT OF CONTRARY TO WHAT WE HEARD ABOUT HAVING AN OVER BUDGET AND STAFF FEELING THAT THEY CAN'T SPEND UP TO BUDGET WAS DEMORALIZING. AND NOW THIS IS SORT OF THE OPPOSITE VIEW. IS THAT FAIR STATEMENT? WELL, I, I'M TALKING ABOUT LIKE KEEPING IT REALLY, REALLY TIGHT. DO, DO WE NEED TO LIKE BE 50% UNDER BUDGET? NO. LIKE THAT, THAT'S NOT WHAT'S NECESSARY FOR PEOPLE TO FEEL OKAY WITH MOVING FORWARD WITH WHATEVER IT IS THAT THEY NEED TO WORK ON. UM, I WOULD SAY AROUND THE 20% MARK IS PROBABLY ABOUT WHERE WE WANNA BE TO MAKE SURE THAT THERE'S SUFFICIENT CAPACITY FOR WHATEVER MIGHT COME UP THAT, UM, WOULD ALLOW, UH, DEPARTMENTS TO FEEL LIKE THAT THEY'RE IN A, IN A GOOD SPOT. SO THAT, THAT WOULD BE MY APPROXIMATION OF, OF WHERE I WOULD SUGGEST THAT WE ARE. UM, SO THE NEXT LINE, SO THIS KIND OF, UM, ORANGEY LINE, UM, AND THAT'S REALLY HARD TO SEE ON THIS SCREEN. THE DIFFERENTIATION DOESN'T COME OUT AS HARD ON PAPER TOO AS DISTINCT. UM, SO THAT ORANGEY LINE IS THE, UM, FUND BALANCES. AND SO YOU CAN SEE FUND BALANCES EV EVERY YEAR HAVE BEEN WELL ABOVE THE WHOLE YEAR'S WORTH OF EXPENDITURES. SO WE HAVE A LOT OF MONEY IN FUND BALANCE THAT WE'VE BEEN ACCUMULATING, SO INTENTIONALLY ACCUMULATING FOR VARIOUS PURPOSES, CAPITAL RESERVES AND ALL OF THAT, UM, COMPARED TO BUDGET, UM, NOT IN EVERY CASE, BUT FUND BALANCE, UM, IS IN MANY OF THE YEARS HIGHER THAN EVEN WHAT THE BUDGET AMOUNT WAS. UH, THIS GOES ALL THE WAY BACK TO 2006, FISCAL YEAR 2006. SO, UM, YOU'VE GOT THE, UM, GREAT RECESSION BUILT IN THERE, UM, IN THIS HISTORY. AND SO ONE OF THE THINGS THAT GETS ASKED A LOT IS, IS, YOU KNOW, HOW DO WE HANDLE THINGS IN A RECESSION? AND THE CITY, HISTORICALLY HAS BEEN VERY, VERY CONSERVATIVE TO THE POINT OF HAVING FUND BALANCES WELL ABOVE EVEN WHAT THE BUDGET WAS OR ANNUAL EXPENDITURES BECAUSE THEY TOOK ALL SORTS OF MEASURES OF FREEZING POSITIONS, DELAYING MAINTENANCE, DELAYING PROJECTS, ALL THESE [04:30:01] THINGS THAT THEY DID JUST TO BE SAFE. AND ULTIMATELY, LIKE THE EXTENT TO WHICH IT WAS DONE REALLY WASN'T NECESSARY. UM, THIS, UM, KIND OF BLACKISH LINE IS WHERE THE OPERATING RESERVE REQUIREMENTS ARE. UM, THERE ARE THO ALL THOSE VARIOUS OTHERS, BUT THE OPERATING RESERVE IS THE PORTION THAT WE'RE SAYING UNLESS CERTAIN CIRCUMSTANCES HAPPEN, THE INTENT IS NOT TO SPEND IT, BUT TO HOLD IT FOR LIKE RAINY DAY FUNDS FOR ANY KIND OF EMERGENCY. AND SO THERE WAS DEFINITELY DURING THE GREAT RECESSION, I MEAN, THERE WASN'T EVEN A NEED AND THEY DIDN'T HAVE A, AN ESTABLISHED, UM, UH, TARGET OR TRACKING OF THE TARGET BACK THEN. AND I'D HAVE TO SPEND A BUNCH OF TIME TRYING TO COME UP WITH WHAT THOSE NUMBERS WOULD'VE BEEN BACK THEN, BUT I MEAN, IT WOULD BE SOMEWHERE IN THIS VICINITY OF, THEY WEREN'T EVEN CLOSE TO TAPPING INTO THE OPERATING. WHAT WOULD'VE BEEN OPERATING RESERVES BACK THEN? UM, 2015, UM, AND SOME OF THESE YEARS WAS A LITTLE HIGHER. YOU SEE, IT DROPPED DOWN THE, UM, POLICY ORIGINALLY, UM, WHEN I FIRST GOT HERE SAID THAT IT WOULD BE A RANGE OF, UM, 50% TO 75% OF OPERATING EXPENDITURES IN THE GOVERNMENT WORLD. LIKE, THAT'S UNHEARD OF. UM, AND THERE WERE A LOT OF PEOPLE THAT WERE LIKE, LIKE ALMOST FREAKING OUT OF LIKE, YOU WANT TO REDUCE IT. LIKE, THEY WERE SO TERRIFIED AND AFRAID OF REDUCING IT BECAUSE THAT WAS THEIR COMFORT LEVEL OF WHAT THEY HAD KNOWN. UM, WE REDUCED IT TO 30% MM-HMM. , UM, FOR GENERAL FUND OPERATING RESERVE. UM, AND I FEEL LIKE THAT THAT'S OKAY BECAUSE OF OUR DEPENDENCE ON TOURISM AND YOU WANT TO HAVE AN OPERATING RESERVE THAT'S INDIVIDUALIZED TO YOUR ORGANIZATION, BUT THERE ARE A LOT OF ORGANIZATIONS THAT HAVE 15% OR 10%. UM, SO WE'RE STILL WELL ABOVE LIKE WHAT SOME OF THOSE NORMS ARE OUT THERE FOR RESERVES. NOT THAT, NOT THAT YOU'RE ADVOCATING GETTING DOWN TO THAT LEVEL. 30% YOU'RE GOOD WITH, RIGHT? THANK YOU. YES. A AND, UM, WITH COVID, WHEN WE WERE LOOKING AT, UM, POSSIBLE IMPACTS OF COVID, O I AND WHAT THAT COULD HAPPEN TO US, AND WE WERE LOOKING AT LIKE DIPPING INTO THAT OPERATING RESERVE BECAUSE THAT'S ONE OF THE PURPOSES IS TO HELP BRIDGE THE GAP IN SOME OF THOSE RECESSIONARY PERIODS. AND THEN WE NEVER NEEDED IT. WE ACTUALLY, OTHER THAN HAVING REVENUES DROPPED DRAMATICALLY DURING, UM, THE CLOSURES COMING OUT OF THE CLOSURES, WE EXPERIENCED THE BIGGEST BOOM WE'VE EVER HAD. OKAY. SO AS PART OF ALL OF THE PROCESS AND PUTTING THE BUDGET TOGETHER, WE ASK DEPARTMENTS TO TELL US WHAT THEIR ESTIMATES ARE ON HOW MUCH IS GOING TO BE SPENT IN THE CURRENT FISCAL YEAR, FISCAL YEAR 23. AND THAT HELPS US CALCULATE WHAT ARE THE BEGINNING BALANCES. SO WHEN I SAID WE'RE ESTIMATING 99 MILLION AS OUR BEGINNING NUMBER GOING INTO NEXT YEAR, IT'S, IT'S RELYING ON THESE NUMBERS. UM, SO I'VE GOT HERE, UM, THE TOTAL EXPENDITURES. SO FISCAL YEAR 23 BUDGET, UM, 105.7. THE ESTIMATE, UM, IS, UH, 75.8 MILLION. SO ABOUT A 30 MILLION DIFFERENCE OR 28%. SO TYPICALLY WHEN WE ASK DEPARTMENTS TO GIVE US ESTIMATES OF HOW MUCH THEY'RE GOING TO SPEND, THEY ESTIMATE A LITTLE BIT ON THE HIGH END AND NUMBERS COME EVEN LESS. SO I'M THINKING THIS 28% VARIANCE IS GONNA BE A LITTLE HIGHER. 30 BELOW THIRTIES IS PROBABLY WHERE WE'RE GOING TO BE IF THE HISTORICAL TREND HAS, UM, CONTINUED. UM, I HAVE THIS SPLIT OUT BETWEEN C I P AND THEN BASICALLY ALL THE REST OF THE OPERATING. AND SO BASED OFF OF THE WAY THE DEPARTMENTS HAD ESTIMATED, WE'RE LOOKING AT BEING, UM, 42%, UM, UNDER THE BUDGET ON C I P AND 12% UNDER ON BASICALLY OPERATING NON C I P EXPENDITURES. SO YOUR, YOUR BIG NUMBER THERE REALLY IS ON THE CIP. UM, SOME OF THE THINGS THAT I FEEL LIKE THAT WE'LL WANT TO COVER AND DIS DISCUSS THIS AFTERNOON. UM, SO THERE'S, UM, UM, PRETTY SIGNIFICANT CIP COSTS AND I KNOW THERE WAS SOME TALK ABOUT TAKING A LOOK AT THAT. AND SO WE WILL GO OVER THE, THE COMPLETE LIST OF THE PROJECTS. UM, OUR POLICY STATES THAT, UM, IN THIS BUDGET PROCESS IS WHEN WE WOULD ALLOCATE THE FISCAL YEAR 22 SURPLUS. SO THERE'S 8.6 MILLION TO BE ALLOCATED. AND SO BASED OFF OF POLICY LIKE THAT IS LIKE SOMETHING THAT WE ARE EXPECTING OUT OF, [04:35:01] UM, THE END OF THIS SESSION. THERE'S, UM, ESTIMATED SURPLUSES FOR FISCAL YEAR 23 AND 24. UM, IN THE LAST BUDGET PROCESS, ALL OF THE FISCAL YEAR 21 SURPLUS WAS ALLOCATED PLUS A PORTION OF THE FISCAL YEAR 22 WE'RE ESTIMATING A REALLY HIGH SURPLUS FOR FISCAL YEAR 23. SO YOU MAY WANT TO, UM, ALLOCATE SOME OF THAT NOW, OR YOU MAY SAY NO, WE'LL JUST WAIT UNTIL WE'RE WORKING ON THE FISCAL YEAR 25 BUDGET AND BUDGET AND THEN ALLOCATE THOSE THEN IF YOU SO CHOOSE. UM, WE'RE GONNA TALK A LITTLE BIT ABOUT DECREASES IN OUR SALES AND BED TAX REVENUE. UM, INFLATION HAS DEFINITELY BEEN A CONSIDERATION. AND SO YOU'VE SEEN IN INCREASES IN SOME OF THE BUDGETS AND, AND A LOT OF IT IT HAS TO DO WITH INFLATIONARY IMPACTS. UM, THERE'S, UH, LOANS THAT I FEEL LIKE WE'RE GONNA NEED TO DO, UM, TO HELP COVER SOME DEFICITS IN SOME OF THE FUNDS. WE'LL TALK ABOUT THOSE. UM, AND I DO HAVE A FOOTNOTE. SO, UM, WASTEWATER FUND RESERVES FOR FISCAL YEAR 24 WILL BE OKAY BECAUSE OF DEFERRAL OF TWO C I P PROJECTS. UM, BUT, UM, WE'LL WE NEED TO HAVE A CONVERSATION ABOUT THE WASTEWATER FUND AND THEN THERE WAS A LOT OF COMMUNITY INPUT WE, UM, HEARD FROM THE CITIZENS BUDGET WORK GROUP. UM, AND IF THERE'S ANYTHING THAT YOU WANNA TALK ABOUT IN THE BUDGET SURVEY, UM, WE'LL, UM, HAVE THAT OPPORTUNITY AS WELL. UM, AS FAR AS INFLATION, I WANTED TO SHOW YOU THE HISTORY OF THE WESTERN REGION CPI. SO THIS GIVES ON A MONTHLY BASIS. SO FOR FISCAL YEAR 21, UM, WE STARTED OUT IN JANUARY OF 21 AT 1.4%, AND THEN END OF THE YEAR AT 7.1, FISCAL YEAR 22, JANUARY STARTED AT 7.7 STARTED COMING DOWN. SO DECEMBER WAS AT 6.2. AND THEN FOR FISCAL YEAR 23 SO FAR, UM, WE'VE GONE FROM 6.3 DOWN TO 4.9, SO WE ARE COMING BACK DOWN, BUT THIS IS YEAR OVER YEAR INCREASE. SO THERE'S NOT A NEGATIVE IN HERE SAYING THAT WE CAME BACK DOWN TO PRIOR NUMBERS, IT'S, IT'S CONTINUAL INCREASES. UM, DECEMBER RATES, UM, WE'VE USED IN A NUMBER OF WAYS. SO THIS YEAR WE, UM, IT WAS TIME FOR CONTRACT RENEWAL WITH THE SERVICE PROVIDERS, BUT WE HAVE BUILT INTO THE CONTRACTS, THE INFLATOR, UM, WHERE WE SAY IT WOULD BE THE DECEMBER, UM, WESTERN REGION, CPI WOULD BE THE ANNUAL INFLATOR ON THE CONTRACT. THERE IS A PROVISION FOR CAPPING THAT AT, UH, 5%. UM, LAST, UM, UH, YEAR FOR THE ANNUAL RENEWAL COUNCIL DID NOT WANNA CAP IT AT THE 5% AND, AND WANTED TO OVERRIDE IT AND, AND DO THE 7.1. UM, ONE OF THE OTHER THINGS WE DO, SO THE, UH, FOR SALARIES, UM, WAGES, WE HAVE A PAY SCALE THAT SAYS IN, IN THIS PAY RANGE IS, IS THESE FIVE POSITIONS AND THERE'S A RANGE FOR THESE FIVE POSITIONS. AND SO THERE'S A MINIMUM AND A MAXIMUM ON THOSE PAY RANGES. AND SO WE HISTORICALLY HAVE USED THE DECEMBER CPI FOR THAT ADJUSTMENT THE LAST TWO YEARS WITH SUCH HUGE AMOUNTS. WE'VE, UM, USED 5%, UM, LAST YEAR FOR, FOR THE FISCAL YEAR 23 SHIFT. AND THEN FOR THE FISCAL YEAR 24 SHIFT, THAT'S WHAT WE'VE, UM, COME UP WITH IS THE 5%. UM, SO I MENTIONED WE NEED TO ALLOCATE THE, UM, FISCAL YEAR 22 SURPLUS. UM, BROADBAND'S NOT IN HERE, BUT WE DO HAVE ARPA MONEY, UM, AVAILABLE TO USE TOWARDS THAT. UM, AND WE NOW HAVE MUCH LONGER LISTS THAN THIS CODE ENFORCEMENT TRANSFERRING, SHORT TERM RENTAL, TRANSFERRING A BUNCH OF THINGS ON THE LIST NOW, UM, FROM OUR CONVERSATIONS. SO LOOKING AT THE OVERALL PROPOSED BUDGET, UM, SO HERE'S A, A SUMMARY OF THE EXPENDITURES BY THE VARIOUS CATEGORIES. SO THE TOP IS OUR ONGOING COST FOR PERSONNEL AND OPERATIONS, AND I'M LOOKING AT WHAT WAS, UM, BUDGETED FOR FISCAL YEAR 23 COMPARED TO WHAT THE BASE AMOUNT FOR FISCAL YEAR 24 IS, GOT THE INCREASE, THE PERCENTAGE CHANGE, THEN THERE'S SOME DECISION PACKAGES. SO THERE WAS, UM, THE MOTOR OFFICER ON THE PERSONNEL SIDE AND A FEW THINGS THAT ADDED UP, UM, FOR, FOR THE OPERATION SIDE TO COME UP WITH WHAT THE FISCAL YEAR 24 PROPOSED NUMBERS WERE FOR ONGOING OPERATIONAL. THEN THERE'S SOME ONE TIME COSTS. UM, SO THE, THE DECREASE IN THE BASE AMOUNT IN FISCAL YEAR 23. UM, I HAD MENTIONED PREVIOUSLY THAT COUNSEL HAD APPROVED A ONE TIME MIL, $1 MILLION TO GO TO THE, UM, UNFUNDED LIABILITY FOR PS, PS THE, THE POLICE PENSION PLAN. SO THAT'S WHY THERE'S SUCH A BIG DECREASE THERE. UM, AND THEN OPERATIONS SHOWED A LITTLE BIT OF AN INCREASE, UM, OVERALL ONE TIME COSTS, UM, GOING DOWN [04:40:01] AND IN TOTAL OPERATING COSTS, COMPARING FISCAL YEAR 23 TO 24 BASE IS ACTUALLY A DECREASE. UM, IT WOULD BE A LITTLE BIT OF AN INCREASE BY THE TIME WE ADD IN THE DECISION PACKAGES. DEBT SERVICE IS SHOWING A LITTLE BIT OF AN INCREASE, UM, AND CONTINGENCIES OR DECREASE ON DEBT SERVICE, UH, INCREASE ON CONTINGENCIES, UM, FOR A TOTAL OPERATING BUDGET FROM A BASE PERSPECTIVE IS ONLY A 1% INCREASE. AND THEN ADDING ON DECISION PACKAGES ON THAT. UM, C I P, SO, UM, IT, IT, IT IS, COMPARED TO PRIOR YEARS, STILL A PRETTY HIGH NUMBER COMPARED TO FISCAL YEAR 23. IT IS A PRETTY SIGNIFICANT DECREASE, BUT WE HAD IN FISCAL YEAR 23, THE $20 MILLION FOR THE PURCHASE OF THE CULTURAL PARK WAS, WHICH WAS A VERY UNIQUE ITEM. SO, UM, BASICALLY DECREASING, UM, $22,000 OR $22 MILLION FOR 40% DECREASE. SO OVERALL, FROM A BASE BUDGET PERSPECTIVE, UM, 21 MILLION, DECREASED 21%. AND THEN, UH, BASED OFF OF THE DECISION PACKAGE THAT WE'RE RECOMMENDED, I KNOW WE'RE TALKING ABOUT ADDING, UM, SAFE PLACE TO PARK AND SOME OF THE THINGS. SO THOSE NUMBERS WILL CHANGE, UM, BUT, UH, PUTTING US AT 84 UH, MILLION FOR, UH, THE PROPOSED BUDGET. UM, I, I DID WANNA NOTE I DO HAVE ON HERE, THIS DOES NOT INCLUDE THE COMMUNITY FACILITIES DISTRICTS, THOSE ARE HANDLED SEPARATELY. THEY HAVE THEIR OWN BUDGETS, THEY'RE LEGALLY SEPARATE ENTITIES. AND SO, UM, THIS COUNCIL SITS AS THE BOARD ON EACH ONE OF THOSE AND WILL BE HAVING MEETINGS, UM, TO COVER THOSE BUDGETS. SHERRY, I HAVE A QUESTION. YES. SO SOME OF THE PROPOSED EXPENDITURES IN THIS BUDGET MAY COME OUT AND BE COVERED UNDER THE OTHER BUDGETS, THE FACILITIES BUDGET? NO, NO, THEY'RE NOT INCLUDED HERE AT ALL. YOU ALREADY HAVE PLANS FOR WHAT THEY'RE GONNA BE? UH, YES. SO THEY'RE BUILT INTO THE CIP BUDGET, UH, FOR THE 10 YEAR PLAN, BUT AS FAR AS BEING IN THESE BUDGET NUMBERS FOR THE CITY'S BUDGET, THEY'RE NOT THERE. OKAY, THANKS. OKAY, SO FOR SALARY AND BENEFITS, UM, SO OVERALL BIG PICTURE, TH THIS GETS YOU, UM, WHERE YOU'RE NOT HAVING TO LOOK AT, OKAY, WELL, CODE ENFORCEMENT IS TRANSFERRING SHORT TERM RENTALS, TRANSFERRING ALL THAT STUFF. IT NETS ALL THOSE TRANSFERS OUT. SO FISCAL YEAR 23, BUDGET OF 18.9 MILLION, UM, AND I'M ACTUALLY GOING TO A DECREASE FOR FISCAL YEAR 24 OF THE 18,000,007, UM, 700,000. SO THE DECISION PACKAGES AT 160,000, ALL THE VARIOUS WAGE ADJUSTMENTS. SO WHAT WE DID, UM, FOR THE WAGES WAS WE JUST SAID ACROSS THE BOARD, WE'RE JUST GONNA ESTIMATE THAT IT'S A 5% INCREASE ON AVERAGE. UM, SO, UM, SOME WILL BE UP, SOME WILL BE DOWN. UM, WE'RE HOPING THAT WE WILL HAVE ENOUGH INFORMATION FOR TENTATIVE THAT WE CAN START MAKING SOME ADJUSTMENTS THAT WE NEED TO DO BECAUSE, UM, WHEN IT'S A REALLY SMALL DEPARTMENT AND SAY THAT PARTICULAR DEPARTMENT, THEY, THEIR AVERAGE WAS NOT 5%, THEN THEY'RE GONNA GO OVER BUDGET AND THAT, AND FINANCE IS THE ONE WHO DOES THE CALCULATIONS, THE PAYROLL. UM, AND SO WE DON'T WANNA PUT THEM IN A SITUATION OF LIKE, OH, WE, WE PUT YOU WHERE YOU'RE GONNA HAVE TO FIGURE OUT HOW YOU'RE GONNA HAVE TO COVER THESE ADDITIONAL COSTS. LIKE, WE DON'T WANNA DO THAT. SO WE WILL DO SOME ADJUSTING TO GET, UM, THE, THOSE AMOUNTS REFLECTED PROPERLY. UM, THE HEALTH INSURANCE, UM, WENT UP, UM, ON AVERAGE 7%. UM, SO THAT RELATES TO 110,000 INCREASE. THE, UH, RATE THAT WE PAY INTO A S R S, WHICH IS BASICALLY THE PENSION PLAN FOR EVERYONE EXCEPT FOR THE SWORN POLICE OFFICERS. UM, THE INCREASE RESULTS IN A 1% INCREASE OVER THE PRIOR YEAR, SO 63,000. UM, THE, THE VARIANCE IN ALL OF THESE, SO THERE'S A, A, LIKE, YOU WOULDN'T LOOK AT IT AND GO, OH, LAST YEAR YOU HAD BUDGETED THIS AMOUNT FOR ASS AND 63 TH THOUSAND IS EXACTLY 1% ABOVE THAT. BECAUSE WE ALWAYS LOOK AT WHO ARE THE PEOPLE NOW AND WHEN WE HAVE TURNOVER, AND IF SOMEBODY IS, UM, LEAVING, RETIRING THAT'S AT A HIGH WAGE, AND THEN WE BRING IN SOMEBODY AT A LOWER WAGE, YOU, YOU ARE ACTUALLY BRINGING NUMBERS DOWN AND SO YOU HAVE A NET IMPACT IN ALL OF THAT. UM, SO WE HAD THE ONE TIME PSPS CONTRIBUTION, UM, THE PROP 2 0 7 MONEY THAT WE GET. UM, WE HAVE BEEN PUTTING THAT TOWARDS THE UNFUNDED LIABILITY EACH YEAR, AND SO WE'RE ESTIMATING AN INCREASE OF, OF 28,000 THERE. AND THEN JUST THE MISCELLANEOUS OTHER BENEFITS. ANY QUESTIONS ON PAYROLL? UH, ARE WE, I I [04:45:01] NOTICED THAT THE OPIOID SETTLEMENT IS NOW DONE AND THEY'RE EXPECTING, I'M NOT SURE, I THINK F Y 24 AND F Y 25, BUT I'M NOT A HUNDRED PERCENT SURE. IT'S COMING A FAIRLY SIGNIFICANT AMOUNT. IT'S COMING TO ARIZONA AND THEN OUT OF THAT, A FAIRLY SIGNIFICANT AMOUNT IS GONNA BE DISTRIBUTED TO CITIES AND TOWNS. WE'RE NOT REALLY EXPECTING A VERY SIGNIFICANT AMOUNT THAT WOULD COME TO, UM, CITY OF SEDONA. UM, BUT WE DON'T REALLY HAVE, UM, ALL THAT INFORMATION YET. UM, WE, UH, UH, OUR DISTRIBUTION WOULD COME THROUGH COCONINO. UM, SO IT'S NOT A SPLIT BETWEEN, SO THEY, THE WAY THEY SET IT UP IS LIKE, YOU'LL JUST GET YOUR MONEY FROM COCONINO. AND, UM, FOR SOME REASON COCONINO THOUGHT THAT THEY HAD PROVIDED, UM, SOME INFORMATION, SOME FORMS THAT WE WERE SUPPOSED TO FILL OUT AND THEY HAD NOT. AND SO IT WAS JUST RECENTLY THAT, THAT, UM, THEY SENT US THE FORMS THAT WE GOT BACK TO THEM. SO , WE'LL, WE'LL SEE WHAT HAPPENS. OKAY. BUT, UM, THAT, UM, $500,000 CONTINGENCY FOR UNKNOWN GRANTS, DONATIONS, ET CETERA, I'M SURE IT'LL MORE THAN COVER IT, WELL MORE THAN COVER WHATEVER WE GET. UM, SO I DO WANNA TALK ABOUT PS P R S, UM, A LITTLE BIT. AND, UM, SO THIS IS A SUMMARY OF WHERE WE'RE AT WITH OUR UNFUNDED LIABILITY, SOME HISTORY HERE. SO THE, UH, LIABILITIES THAT THEY HAVE CALCULATED, UM, BACK TO FISCAL YEAR 2016, IT WAS AT 10.7 MILLION. UM, THE, UH, FISCAL YEAR 22, WHICH IS THE LATEST REPORT THAT WE'VE GOTTEN, FISCAL YEAR 23 ISN'T DONE YET. WE DON'T HAVE A REPORT ON THAT. UM, 17.1 MILLION IS THE LIABILITIES. SO YOU CAN SEE THE LIABILITIES HAVE BEEN INCREASING OVER TIME, WHICH IS TO BE EXPECTED. UM, THE ASSETS THAT HAVE BEEN CONTRIBUTED, SO THOSE HAVE INCREASED. WE WERE AT 6.3 MILLION BACK IN FISCAL YEAR 16, WE'RE NOW AT 11.9, BUT OUR UNFUNDED LIABILITY IS KIND OF HOVERED AROUND THIS, UM, AROUND FOUR AND A HALF TO 5 MILLION. SO AS THE LIABILITIES ARE INCREASING AND ASSETS ARE INCREASING, WE'RE STILL KIND OF THAT SAME LEVEL OF WHERE WE'RE UNFUNDED, BUT OUR UNFUNDED STATUS HAS IMPROVED DRAMATICALLY. SO, UM, SO THE FUNDING, SO THE 6.3 MILLION REPRESENTS 59% TO THE 10.7, WHEREAS THE 11.9 MILLION OF ASSETS AS OF JUNE 30, 22 OF THE 17.1 PUTS US AT 70%. SO WE'RE DOING REALLY WELL ON OUR FUNDED STATUS. UM, AND OUR GOAL IS TO GET TO A POINT OF A HUNDRED PERCENT FUNDED STATUS. THAT'S WHAT WE'RE, WE'RE LOOKING TO ACHIEVE. UM, WE HAVE, UM, FOR SEVERAL YEARS NOW TAKING WHAT IS REFERRED TO AS A LEVEL FUNDING APPROACH, WHERE INSTEAD OF HAVING THE UPS AND DOWNS AND, AND THE PREDICTION WAS THAT THE, IF YOU PAID THE MINIMUM REQUIREMENT, THE MINIMUM RATE TO P S P R S, THAT IT'S WAS GONNA JUST START GOING AND GOING AND GOING UP. AND SO WE SAID, OKAY, LET'S PAY MORE NOW TO LEVEL THAT OFF AND PAY A LEVEL DOLLAR AMOUNT. SO OUR CALCULATION, UM, THAT WE'RE CONTINUING WITH IS, IS 1.1 MILLION, UM, THE EXTRA, UH, 1 MILLION THAT WAS PUT IN, UM, FOR, UH, FISCAL YEAR 23. I'M EXPECTING TO SEE ONCE WE HAVE THE ACTUARIAL REPORTS AFTER, UM, THE END OF THIS FISCAL YEAR, I'M EXPECTING TO SEE THAT THAT WOULD'VE HELPED US, UM, A FAIR AMOUNT. BUT I'M PROPOSING THAT WE CONTINUE AT THE 1.1 MILLION BECAUSE THE INTENTION OF THE ADDITIONAL 1 MILLION WAS TO TRY AND GET US TO BEING PAID OFF FASTER, NOT TO REPLACE SOME OF THIS LEVEL DOLLAR FUNDING AMOUNT. UM, HERE'S A CHART THAT HAS A COMPARISON. SO THE BARS ARE THE AMOUNT OF THE UNFUNDED LIABILITY, WHEREAS THE LINE IS WHERE FUNDED STATUS HAS BEEN. SO WE WERE BEST OFF BACK IN FISCAL YEAR, UM, 2010, UM, WE ONLY HAD A HALF MILLION, UH, FOR AN UNFUNDED LIABILITY, AND WE WERE AT A FUNDED STATUS OF 91%. THERE'S, UM, I DON'T KNOW HOW MUCH, UM, SOME OF THE NEWER COUNCIL MEMBERS HAVE HEARD OF THE, THE HISTORY BEHIND ALL OF THIS, BUT THERE WAS A BENEFIT THAT, UM, GOT VOTED IN, UH, BY THE LEGISLATURE WITHOUT REALLY A FUNDING SOURCE. AND SO IT REALLY PUT ALL OF THE, UM, THE PUBLIC SAFETY PENSION PLANS FOR EACH ONE OF THE ORGANIZATIONS IN A BAD SITUATION. AND, UM, AND THEN WITH THE GREAT RECESSION AND IMPACTS OF SOME INVESTMENT LOSSES THAT, UH, PSPS EXPERIENCED, UM, IT, IT CAME TO A HEAD AND THERE'S BEEN A LOT OF PROACTIVE APPROACH, UM, SINCE THEN ON HOW TO ADDRESS THIS. SO, UM, YOU'VE GOT PLACES LIKE, UM, CITY OF PRESCOTT ACTUALLY, UM, PASSED [04:50:01] A SALES TAX THAT WOULD GO TOWARDS PAYING OFF THEIR UNFUNDED LIABILITY. YOU'VE HAD SOME CITIES THAT HAVE ISSUED BONDS, UM, TO JUST PAY OFF THEIR UNFUNDED LIABILITY AND THEN JUST PAY THE BOND PAYMENTS GOING FORWARD. UM, WE ARE NOT AS BAD OFF AS WHAT SOME OF THE OTHER CITIES WERE. THERE WERE SOME THAT THEIR, THEIR RATE, UM, THAT THEY WERE HAVING TO CONTRIBUTE, UM, PER EMPLOYEE, WHEN YOU LOOK AT, OKAY, HERE'S HOW MUCH THE, THE PENSIONABLE WAGE IS, AND WE'RE, UM, AROUND 40% RIGHT NOW. I MEAN, THERE WERE SOME THAT WAS LIKE A HUNDRED OR OVER A HUNDRED PERCENT THAT THEY WOULD HAVE TO PAY IN OF THE SALARY, UM, EACH YEAR FOR, FOR THOSE. UM, AND THERE WERE SOMEWHERE IT WAS LIKE THEIR FUNDED STATUS WAS LIKE 10% OR LESS. LIKE, I MEAN, THEY WERE REALLY BAD SHAPE. SOME OF WHAT KIND OF SAVED US IN THIS RESPECT IS THAT, UM, SEDONA FOR A LONG TIME WAS A PLACE WHERE PEOPLE WOULD COME, THE OFFICERS WOULD COME WORK FOR A WHILE, THEY WOULD GO SOMEWHERE ELSE AND GO RETIRE OUTTA THE SYSTEM SOMEWHERE ELSE. AND SO THAT'S PART OF WHY WE WERE IN A BETTER SITUATION, NOT NECESSARILY FROM AN OPERATIONAL STANDPOINT, AM I SAYING THAT THAT'S REALLY WHERE WE WANNA BE, BUT UM, FROM A FINANCIAL PERSPECTIVE, THAT'S WHY WE WEREN'T HIT AS BAD. SIR, IF I MIGHT, MAYOR, GO AHEAD. UM, B HAVING BEEN INVOLVED IN PENSION ISSUES FOR A LONG TIME, THESE NUMBERS, YOU KNOW, THEY JUST DON'T LOOK GOOD. BUT LIKE SHERRY SAID, COMPARED TO MOST OF THE CITIES IN OUR STATE, WE'RE ACTUALLY IN WAY BETTER SHAPE. AND COMPARED TO OTHER STATES, UH, THERE'S, THERE'S, UH, STATES THAT ARE IN WAY WORSE SHAPE THAN ARIZONA AND I, AS, AS THE CHAIR OF YOUR LOCAL BOARD, I ABSOLUTELY SUPPORT THE DECISIONS THAT THIS COUNCIL AND STAFF HAVE MADE RELATIVE TO FUNDING THIS THING IN THE PAST. EVEN THE CHOICES ABOUT LEVEL FUNDING AND NOT GOING AFTER A TAX OR THE LONG TERM BOND OF BONDS OF, OF, SO IT'S, WE'RE MANAGING THIS JUST GREAT. I WILL DEFINITELY LATER BE SUPPORTING MAYBE EVEN A LITTLE BIT OF AN INCREASE OF A CONTRIBUTION ONE TIME TO, TO THIS FUND BECAUSE THE UNFUNDED LIABILITY DOES, DESPITE OUR BEST EFFORTS, UNFUNDED LIABILITY DOES CONTINUE TO GROW A LITTLE BIT AND IT WOULD BE GREAT TO JUST CONTINUE TO STAY ON TOP OF THAT. THE QUESTION I WANT TO ASK SHERRY, IS WE SPEND A LOT OF TIME TALKING ABOUT PS P R S AND I DON'T KNOW, I HAVEN'T TAKEN, LOOKED UNDER THE HOOD. HOW IS AS R S DOING? UM, ASRS IS OKAY. UM, THERE, THERE IS A, UH, INCREASE IN HOW MUCH THEY'RE ASKING US TO PAY, BUT IT, IN, IN RELATIVE TERMS, IT'S, IT'S ONLY 1% OVER WHAT IT WAS LAST YEAR. UM, IT'S A, IT'S A DIFFERENT MANAGEMENT OF THE PLAN. SO PS P R S IS, UM, WHAT THEY REFER TO AS AN AGENT, MULTIPLE EMPLOYER. WHEREAS, UM, PS P R S IS THE AGENT WHO'S MANAGING AND THEY PULL ALL OF THE INVESTMENTS TO GET BETTER RETURNS, BUT THE, UM, TRACKING OF EACH ONE OF THOSE EMPLOYERS IS INDIVIDUALLY TRACKED. OUR LIABILITY IS OUR LIABILITY ASRS IS WHAT THEY REFER TO AS A COST SHARING PLAN. SO IT IS THE SAME RATE THAT IS BEING PAID IN BY EVERY SINGLE ENTITY WITHIN THE STATE THAT IS A MEMBER OF ASRS. SO STATE EMPLOYEES, COUNTY EMPLOYEES, UM, UH, SCHOOL DISTRICT EMPLOYEES, UM, SOME OF THE SPECIAL DISTRICTS, UM, THAT ALL PARTICIPATE IN ASRS, THEY'RE ALL PAYING THE SAME RATE. AND SO THE CONTRIBUTIONS THAT GO IN GO TO THE OVERALL, UM, LIABILITY OF THE SYSTEM. THERE IS NO IDENTIFICATION OF THIS IS HOW MUCH THE LIABILITY IS FOR CITY OF SEDONA. FROM A, UH, FINANCIAL STATEMENT PERSPECTIVE. WE'RE REQUIRED TO ESTIMATE HOW MUCH WE THINK OUR LIABILITY IS OF THAT PORTION AND WE ACTUALLY HAVE TO RECORD THAT LIABILITY IN OUR FINANCIAL STATEMENTS AND FOR 2022 AND ACTUALLY CUZ WE DON'T GET THE INFORMATION, UM, TIMELY. BUT, UM, SO IT'S, IT'S 2021 INFORMATION THAT WE USE. IT WAS, UM, SEVEN 7.8 MILLION FOR AS R S IS WHAT OUR, OUR ESTIMATION OF OUR LIABILITY. THAT'S JUST THE TOTAL LIABILITY UNFUNDED WHERE WE, THAT WAS THE UNFUNDED, THAT WAS THE UNFUNDED LIABILITY. RIGHT. AND IS THAT GROWING AT A ALARMING RATE? PRETTY HOLD AND STEADY? WELL, AS OF THAT ONE, UM, CUZ THAT WAS THE YEAR WHERE THE INVESTMENT RETURNS WERE SO GREAT, IT ACTUALLY CAME DOWN. UM, I'M GUESSING SO, UM, I DON'T HAVE INFORMATION FROM AS R S YET, BUT PSP R S SO, [04:55:01] UM, FISCAL YEAR 21, THE RETURN FOR THAT ONE YEAR WAS LIKE 27%. PRETTY AMAZING. WHEREAS FISCAL YEAR 22 WAS A NEGATIVE 1.85%, WHICH WAS REPRESENTED BY UNREALIZED LOSSES. SO NOT REALIZED LOSSES ON INVESTMENTS. WE, WE ARE REQUIRED TO RECORD OUR INVESTMENTS AT WHAT THE MARKET VALUE IS, WHETHER WE'RE GONNA SELL AT THAT MARKET VALUE OR NOT. AND SO THERE'S AN UNREALIZED LOSS AND WE HAD UNREALIZED LOSS IN OUR FINANCIAL STATEMENTS. UM, E EVERYONE HAD, UM, UNREALIZED LOSSES BECAUSE OF THE WAY THE IN INTEREST RATE ENVIRONMENT, UM, HAD BEEN. UM, SO, UH, THE GOOD NEWS IS, UM, I I THINK THE PS P S SAID THAT THEY WERE WITHIN THE TOP 11% OF PENSION PLANS FOR THE US WITH THAT NEGATIVE 1.85% BECAUSE THERE WERE A LOT OF 'EM THAT HAD SIGNIFICANTLY MORE NEGATIVE NUMBERS. SO WE WERE ACTUALLY IN THE UPPER ECHELON OF THAT. THEY'VE, THEY'VE REALLY TURNED THINGS AROUND AND PSPS HAS ACTUALLY GOTTEN NATIONAL RECOGNITION FOR HOW PROACTIVE THAT ALL THE, UM, ORGANIZATIONS THAT, UM, PARTICIPATE IN P S P R S HAVE BEEN AT PUTTING IN EXTRA MONEY, UM, DOING ALL THESE, TAKING ALL THESE ACTIONS. AND SO THE OVERALL FUNDED STATUS OF P S P R S IS MADE DRAMATIC, UM, INCREASES. JERRY, BEFORE YOU GO ON, BRIAN HAS A QUESTION. SO WE'RE PAYING IN 1.1 MILLION ON LEVEL BASIS MM-HMM. AND WHAT, WHAT IS THE PROJECTION OF WHAT THAT WILL DO TO OUR UNFUNDED LIABILITY? IS THAT MAINTAIN IT, SHRINK IT, IT'LL STILL GROW WITHOUT ADDITIONAL CONTRIBUTION. WHAT, WHAT'S THE FUTURE AT THIS 1.1 CONTRIBUTION LOOK LIKE? WE, WE, IT'S TARGETING TO, UM, BASICALLY HAVE US PAID OFF BY THE END OF FISCAL YEAR 2036, BEGINNING OF FISCAL YEAR 2037 OF OUR UNFUNDED LIABILITY. SO GRADUALLY GOING DOWN, BUT WE REEVALUATE, THEY PROVIDE A MODELER EVERY YEAR THAT WE CAN, UM, CHECK ESTIMATIONS AND PUT IN DIFFERENT NUMBERS THAN WHAT THEY USE FOR ESTIMATES. UM, SO I'M USING CONSERVATIVE NUMBERS ON, UM, INVESTMENT PERFORMANCE AND THINGS LIKE THAT. UM, SO IT, IT IS REALLY DIFFICULT BECAUSE I DON'T, I DON'T HAVE ANY IDEA WHAT THEY'RE GONNA END UP SAYING, OKAY, HERE'S WHAT WE GOT ON OUR INVESTMENTS FOR THE YEAR. CUZ THAT CAN IMPACT OUR LIABILITY, UM, QUITE A BIT. SO IN YOUR OPINION, IS IT PRUDENT OUR CURRENT PLAN THAT WOULD GET OUR LIABILITY PAID OFF BY 2036 OR DO YOU THINK IT SHOULD BE ACCELERATED? I THINK THAT THAT IT IS HELPFUL. THE, LIKE, THE 1 MILLION THAT, THAT WE, UM, CONTRIBUTED DURING, IN FISCAL YEAR 23 WAS EXTREMELY HELPFUL IN HELPING US GET THERE FASTER. AND I THINK THAT IS A GOOD IDEA BECAUSE THE, UM, AMOUNT OF COST THAT IT WOULD BE OVER, OVER TIME IF WE WAITED AND DIDN'T HAVE THAT MONEY IN THERE IN THAT INVESTMENT POOL, THAT WE WOULDN'T BE GETTING THOSE EXTRA EARNINGS. AND SO PUTTING THE MONEY IN SOONER HELPS GET US TO A POINT TO WHERE WE ACTUALLY PAY LESS OVER THOSE YEARS. SO FROM A NON INVESTOR'S PERSPECTIVE, THIS IS BE THE EQUIVALENT OF JUST EARLY, UH, PAYMENT ON A HOME MORTGAGE, FOR INSTANCE, JUST MAKING PAYMENTS ABOVE AND BEYOND WHAT'S REQUIRED IN ORDER TO REDUCE THE INTEREST CHARGES RIGHT OVER TIME. RIGHT. OKAY. THANK YOU MAYOR. OKAY. KATHY, YOU HAVE A QUESTION? I DO. WE MADE THAT ONE TIME PAYMENT IN FY 23. WE DID ALSO IN 22. NO, THAT WAS THE FIRST TIME THAT THERE WAS SOMETHING IN ADDITION TO OUR LEVEL FUNDING AMOUNT. OKAY, OKAY, OKAY. OKAY, SURE. UM, ALSO JUST TO MENTION, SO ONE OF OUR OTHER STRATEGIES THAT WE'VE BEEN DOING IS, UM, AND WE, AND THIS HAS BEEN HAPPENING FOR QUITE SOME TIME, IS WE PREPAY THE WHOLE YEAR'S WORTH OF WHAT WE WOULD PAY IN IN JULY SO THAT WE'RE EARNING, UH, THE INVESTMENT EARNINGS ON THAT MONEY INSTEAD OF WAITING FOR EACH PAY PERIOD TO MAKE THE PAYMENT IN. AND, UM, IT'S BEEN SOMETHING THAT'S VERY COMMON WITH ORGANIZATIONS THAT ANYONE THAT CAN AFFORD TO DO THAT HAS BEEN DOING. AND SO, UM, THAT'S BEEN HELPFUL. WE'VE HAD SOME YEARS WHERE THAT'S GOTTEN US LIKE $150,000 MORE IN INVESTMENT EARNINGS THAN WE WOULD'VE IF WE WOULD'VE WAITED ON MAKING THOSE PAYMENTS. UM, OKAY. SO, UM, AS FAR AS THE, THE CHANGE IN WHAT OUR, UM, LIABILITY UN UNFUNDED LIABILITY IS FROM FISCAL YEAR 21 TO 22. SO SOME OF IT IS THE, UM, ASSET [05:00:01] EXPERIENCE. THEY HAVE BEEN USING AN ASSUMED EARNINGS RATE OF 7.3%, BUT THEY'RE BRINGING THAT DOWN AND, UM, UM, SO OVER TIME THEY'RE, THEY'RE TRYING TO BE A LITTLE MORE CONSERVATIVE, ALTHOUGH ON AVERAGE, UM, IT'S, IT'S AROUND THAT PERCENT OVER TIME, BUT THEY'RE TRYING TO, TO MAKE IT A LITTLE MORE CONSERVATIVE, THE, THE WAY THAT THEY LOOK AT THE INVESTMENT EARNINGS RATE. SO I MENTIONED THAT FISCAL YEAR 21 WAS 27% AND WE'VE GOT HERE THE FISCAL YEAR 22 RETURN WAS A NEGATIVE 1.8%. THEY ACTUALLY TAKE THE RETURNS FOR THE LAST SEVEN YEARS AND THEY CALL IT A SEVEN YEAR SMOOTHING WHERE THEY TAKE THE AVERAGE OF THOSE SEVEN YEARS. SO THE 27% WILL STILL BE IN OUR SMOOTHING FOR THE NEXT SIX YEARS, WHEREAS THE 1.85, SO WE'VE GOT SEVEN YEARS WORTH OF THAT BEING IN THERE. BUT, UM, THAT WAY WE DON'T HAVE THESE BIG SPIKES, UM, OF WHEN THEY'RE CALCULATING HOW MUCH NEEDS TO BE, UM, CONTRIBUTED. UM, THEY ALSO SAID THAT OUR PAYROLL GROWTH COMPARED TO ASSUMPTIONS WAS LOWER. UM, THEY MAKE ESTIMATIONS, UM, LOOKING AT, UM, THE STATE AS A WHOLE, THEY, THEY DO NOT USE, UM, PAYROLL GROWTH, UM, FOR EACH INDIVIDUAL ORGANIZATION. I FORGET HOW MANY DIFFERENT ORGANIZATIONS THERE ARE IN PSP R S, BUT IT'S SEVERAL, SEVERAL HUNDREDS. UM, AND UM, SO THEY U THEY USE A A RATE FOR ALL AND UM, SO THERE'S A DIFFERENCE BETWEEN THE SALARY INCREASES. SO THEY CITED HIGHER THAN EXPECTED SALARY INCREASES, BUT LOWER PAYROLL GROWTH. SO INDIVIDUALLY WITH THE EMPLOYEES, UM, THE, WE DID SOME ADJUSTMENTS, UM, WITH OUR SALARY STUDY AND UM, OVER THE PAST COUPLE YEARS FOR THE POLICE DEPARTMENT THERE HAVE BEEN SOME PRETTY SIGNIFICANT, SO IT WAS HIGHER THAN WHAT THEY WERE ANTICIPATING CUZ THEY DON'T TALK TO US TO SAY, HEY, WHAT ARE YOU GONNA DO? UM, THE ON THE SALARY INCREASES, BUT PART OF THE LOWER PAYROLL GROWTH IS, UM, YOU HEARD, UM, THE CHIEF TALKING YESTERDAY ABOUT HAVING THREE OFFICER POSITIONS AND IT'S KIND OF BEEN THAT WAY FOR A LITTLE WHILE OF LIKE TWO TO THREE OFFICER POSITIONS UNFILLED AT A TIME. SO, UM, SO WE HAVEN'T HAD THAT, THAT GROWTH IN THE PAYROLL BECAUSE OF OUR VACANCIES. FAIR SPEAK. SO JUST A COUPLE ADDITIONAL COMMENTS ON THIS PAGE. UH, I AG AGAIN, SHERRY, YOU AND I AGREE ON ALL THE STRATEGIES THAT WE'RE USING. I JUST WANNA CHIP IN HERE THAT WE, THE PREPAYMENT THAT STRATEGY THAT WE USE, I AGREE WITH, BUT IT'S NOT RISK FREE. JUST SO WE ALL KNOW THAT IF YOU HAPPEN TO CONTRIBUTE AT THE START OF THE FISCAL YEAR AND THE LOSS HAPPENS BEFORE YOU WOULD'VE NORMALLY CONTRIBUTED, THEN IT WASN'T A GOOD STRATEGY. THAT DOESN'T HAPPEN VERY OFTEN, BUT IT IS A RISK THAT WE SHOULD MAKE SURE THAT'S ON THE TABLE AND WE UNDERSTAND. UH, I ALSO AGREE THAT THE STATE ARIZONA GOT WAY OUT IN FRONT, UH, NOT WAY OUT IN FRONT, BUT OUT IN FRONT OF MOST OF THE STATES TO DO, UH, REFORMS IN THE, IN THE SYSTEMS AND IT WAS GREAT. UM, BUT NOW CURRENTLY SOME YEARS LATER, ARIZONA IS, P SPRS IN PARTICULAR IS LAGGING IN ITS CONTINUED REFORM EFFORTS. AND SO IT'S ASSUMED RATES ARE NOW ABOVE WHAT, WHERE MOST STATES ARE. SO IT'S A, IT'S A FUTURE RISK HERE NOW THAT IF WE DON'T GET THOSE ASSUMED RATES, THEN THE LIABILITIES WILL CONTINUE TO GROW. SHERRY MY QUESTION FOR YOU HERE IS LIABILITY EXPERIENCE, OUR EXPERIENCES THAT WE'RE EXPERIENCING HIGHER THAN EXPECTED SALARY INCREASES AND THEN RIGHT DOWN BELOW IT THE STATE IS NOW DECREASING. IT'S A SOON PAYROLL GROWTH WHEN WE'RE SEEING THE OPPOSITE OF THAT. SO THAT'S ANOTHER KIND OF RISK THAT'S IN HERE FOR US FOR, UH, ACCELERATED GROWTH OF SOME OF THESE LIABILITIES, WHICH LEADS ME TO THINK ABOUT WANTING TO GET IN FRONT OF THE BALL ON THIS THING BEFORE IT HAPPENS. SO JARED, DO YOU AGREE? AND ALSO ALSO JUST TO ADD, SO, UM, IF, IF IT WAS REALIZED LOSSES ON THE INVESTMENTS, I WOULD BE HIGHLY CONCERNED. I'M LESS CONCERNED WHEN IT'S UNREALIZED BECAUSE THE, SO IF YOU MADE A A 2 MILLION INVESTMENT AND THE MARKET FOR IT IS 1.5 MILLION, YOU'RE NOT GONNA LOSE THE 2 MILLION IF YOU'RE JUST GOING TO LET IT MATURE WHEN IT MATURES. IF YOU'RE IN A POSITION WHERE LIKE YOU NEED TO SELL, THEN YOU ARE TAKING A LOSS. UM, SO I'M A LITTLE LESS CONCERNED ABOUT THE UNREALIZED LOSSES, BUT YEAH, AND IT'S, IT, IT DOES HAVE SOME IMPACT, BUT WE WILL, THE PLAN WILL GET THAT MONEY, THE UNREALIZED LOSSES WE EXPERIENCED, WE'LL GET THAT MONEY BACK. UM, CUZ IT'S NOT GONE. IT'S JUST AN ACCOUNTING ENTRY. OKAY. UH, JESSICA AND BRIAN, I JUST WANTED TO ASK COUNSELOR FURMAN, WHETHER YOU'RE SUGGESTING THAT WE CONSIDER INCREASING OUR [05:05:01] CONTRIBUTION ON THE YEARLY BASIS. I THINK WE HAVE SOME ONE TIME MONEY THAT WE MIGHT THINK ABOUT. NO, THAT'S, I JUST WANTED TO, I LIKE BE CLEAR. THANK YOU . BRIAN, DO YOU KNOW OFFHAND, LIKE IF WE DID ANOTHER ONE TIME $1 MILLION CONTRIBUTION THAT BRINGS US FROM 2036 BACK TO WHEN DO WE, HOW MANY YEARS DOES THAT POTENTIALLY CUT OFF, UH, BEFORE WE GET THE UNFUNDED PAID OFF? DO YOU KNOW THAT? UH, NO. I, I DON'T HAVE THAT INFORMATION FOR YOU. UM, BUT UM, I HAD WORKED ON THE, THE MODELER AND I'D SAY IT CUTS IT OFF LIKE TWO OR THREE YEARS EARLIER. OKAY. THANK YOU. OKAY. IT'S ALL YOURS. OKAY. UM, SO THAT, THAT WAS ALL I WAS GONNA TALK ABOUT ON PSPS. I DO HAVE MUCH LONGER PRESENTATION FOR THE LOCAL BOARD . OKAY. SO, UM, OPERATIONAL CHANGES. SO THE FISCAL YEAR 23 BUDGET, UM, 18.3 MILLION GOING FISCAL YEAR 24 TO 18.5, UM, DECISION PACKAGES REPRESENT 207,000, UM, SERVICE PROVIDER AGREEMENTS, 466,000, UM, TAKING THE, UM, TOURISM BUREAUS, THE CHAMBER CONTRACT OUT OF OPERATIONS HERE, MOVING IT TO THE TOURISM CONTINGENCY WAS 1.6, BUT THEN ADJUSTED BY DECISION PACKAGES, UM, STREET MAINTENANCE. SO WE TALKED IN THE PUBLIC WORKS, UM, DEPARTMENT BUDGET ABOUT, UM, SOME OF THOSE STREETS COSTS. SO THAT WAS ONE OF THE MORE SIGNIFICANT ONES IN, IN THE OPERATIONS AREA. UM, WE ARE ADDING THE COMMUNITY DEVELOPMENT BLOCK GRANT, UM, 406,000 AND, UM, THE INDIRECT COST ALLOCATIONS FOR IT, 246,000 INDIRECT COST ALLOCATIONS ARE NOT SOMETHING WE'RE WRITING A CHECK TO TO ANYONE. IT'S UM, A WAY THAT WE TAKE WHAT IS KNOWN IN THE BUSINESS WORLD IS OVERHEAD AND ALLOCATING THOSE OVERHEAD COSTS TO THE VARIOUS PROGRAMS AND SERVICES. AND SO WHEN WE RECORD THE IT COSTS AND THEN WE ALSO RECORD THOSE INDIRECT COST ALLOCATIONS TO THE VARIOUS DEPARTMENTS, UM, THEN IT'S LIKE KIND OF A DOUBLE COUNTING OF THOSE EXPENDITURES. WE NET THOSE OUT IN THE END. UM, BUT IT IS ONE WHERE IT'S ITS OWN SEPARATE FUND. UM, IT'S SET UP AS WHAT IS CALLED AN INTERNAL SERVICE FUND. AND SO THE INDIRECT COST ALLOCATIONS ARE REFLECTED AS REVENUES GOING IN TO THAT FUND AND EXPENDITURES TO ALL THE VARIOUS PROGRAMS THAT THEY WERE ALLOCATED TO. THE OTHER INDIRECT COST ALLOCATIONS LIKE FOR, UM, FINANCE AND HR AND FACILITIES AND ALL OF THOSE HAVE A NEGATIVE OFFSET WITHIN THEIR DEPARTMENTS. SO IT'S NOT A, IN THE END IT'S, UM, NOT A DUPLICATION OF THOSE EXPENDITURES. OKAY. UM, FOR C I P, UM, SO LOOKING AT IT FROM THE DIFFERENT PROGRAM AREAS, UM, SO FISCAL YEAR 23, BUDGET, 56 MILLION GOING TO 34, UH, MILLION. AND SO THE, THE BIGGEST, UM, ADJUSTMENT THERE, SO WE HAVE THIS OTHER PUBLIC WORKS CATEGORY, WHICH IS WHERE THE CULTURAL PARK, UM, WE HAD PUT THAT CUZ IT WASN'T IDENTIFIED AS LIKE ONE SPECIFIC PURPOSE. WE'RE TALKING ABOUT HOUSING, WE'RE TALKING ABOUT RECREATION, WE'RE TALKING ABOUT ALL SORTS OF THINGS. SO WE, THE ACQUISITION OF THAT LAND WAS PUT THERE. SO THE 20 MILLION, UM, DECREASE. UM, SO YOU'LL, YOU'LL SEE THERE'S A VARIETY OF LIKE INCREASES AND DECREASES WITHIN THE VARIOUS CATEGORIES. UM, THE PARKS AND RECREATION INCREASE, UH, 2.4 MILLION LOT THAT HAS TO DO WITH THE ACCELERATION OF THE RANGER STATION PARK. UM, SEDONA AND MOTION WENT DOWN A LITTLE BIT. UM, 1 MILLION, UH, WASTEWATER GOING DOWN. UM, THE, UM, UH, MAJOR PUMP, UM, STATION UPGRADES, UM, IS A BIG PART OF WHY THAT IS COMING DOWN. DEBT SERVICE CHANGES. UM, SO GOING FROM 7.8 TO 7.4, THE UM, SERIES 22 BOND PAYMENT IS, IS REALLY THE BIGGEST ONE. UM, AND IT HAS TO DO WITH THE WAY THEY SET UP YOUR, YOUR DEBT SERVICE SCHEDULES, UM, FROM WHEN YOU ISSUE THE BONDS AND WHEN YOUR PAYMENTS ARE. SO THE PAYMENTS ARE ALWAYS JULY ONE, JANUARY ONE. THESE WERE ISSUED IN MARCH, SO THERE WAS, UM, NO PAYMENT THAT FOLLOWING JULY ONE. IT WASN'T UNTIL THE NEXT JANUARY ONE. AND SO IT WAS A LITTLE BIT BIGGER PAYMENT BECAUSE OF THAT LONGER TIME PERIOD. UM, THE, UM, SECOND SERIES 22 BOND PAYMENTS, SO THAT WAS THE, UM, CULTURAL PARK. UM, SO A LITTLE BIT OF CHANGE THERE BECAUSE [05:10:01] WE WERE, WE JUST HAD GUESSED AT A PLACEHOLDER, UM, FOR THAT AMOUNT. AND SO NOW WE HAVE AN ACTUAL DEBT SERVICE SCHEDULE CONTINGENCIES, UH, GOING FROM THE 2.5 TO THE 4.1 MILLION. SO, UM, THERE'S THE CONTINGENCY FOR THE TOURISM INITIATIVES, WHICH IS ONE OF THE BIG REASONS FOR THE INCREASE. UM, THAT, UM, AS WE'VE BEEN TALKING, THERE'S THE, UM, AMOUNT THAT'S GOING TOWARDS THE DECISION PACKAGES, WHICH IS ALREADY IN HERE. UH, WHAT'S NOT IN HERE IS THE, UH, VISITOR CENTER. AND THEN WE'VE TALKED ABOUT THE POSITIONS THE MANAGER AND THE TWO COORDINATORS FOR THE TOURISM AND ECONOMIC INITIATIVES DEPARTMENT. SO THAT WILL, UM, AFFECT THAT AS WELL. UM, THE ARPA CONTINGENCY. SO, UM, WE ADJUST IT BASED OFF OF WHAT WE THINK THE AVAILABLE AMOUNT IS GOING TO BE IN ARPA, WE DIDN'T SPEND AS MUCH IN FISCAL YEAR 23, IS WHAT WE THOUGHT WE WOULD. UM, SO THAT'S WHY WE HAVE THE ADJUSTMENT OF, OF MORE MONEY AVAILABLE, UM, GOING INTO FISCAL YEAR 24. UM, AS WE GO THROUGH THE YEAR AND HAVE, UM, NEEDS TO USE SOME OF THE VARIOUS CONTINGENCIES, THEN WE DO A BUDGET TRANSFER TO MOVE THOSE TO THE VARIOUS ITEMS, THE UNKNOWN GRANTS CONTINGENCY. SO TO REINSTATE IT BACK TO THE HALF MILLION FOR FISCAL YEAR 24, UM, THERE WAS, UM, A COUPLE GRANTS THAT WAS RECEIVED TOTALING 79,001. THE BIGGER ONE WAS FOR, UM, MESSAGE BOARDS AND A SMALLER ONE FOR DRONES. AND THEN THERE WAS IN THE 23 BUDGET, UM, WITH, AS PART OF THE, UM, CHAMBER CONTRACT, THE UM, UM, COUNCIL HAD AGREED TO INCLUDE A $250,000 CONTINGENCY AMOUNT THAT THAT WOULD ONLY BE USED IF COUNCIL FELT LIKE THAT WE SHOULD RESTART THE DESTINATION MARKETING THAT WASN'T USED AND IT'S GOING AWAY. PARKING PROCEED. UM, WE'D LIKE TO PROVIDE YOU A SUMMARY OF WHAT IS INCLUDED IN THE BUDGET RELATED TO THE VARIOUS PRIORITIES THAT HAVE BEEN ESTABLISHED. UM, SO THIS IS ACTUALLY SPLIT OVER A COUPLE PAGES. UM, SO THE FIRST ONE ON THE LIST IS THE TRAFFIC AND TRANSPORTATION IMPROVEMENTS. THESE ARE IN THE, UM, C I P BUDGET AND UM, THE, WHAT'S IN THE BUDGET RIGHT NOW IS 20 MILLION, UM, FOR THOSE THE PUBLIC TRANSIT SYSTEM. SO THERE'S A PORTION CIP BUDGET PORTION OPERATIONS FOR A TOTAL OF 4.6 MILLION, UM, AFFORDABLE, UM, WORKFORCE HOUSING AND HOMELESSNESS. SO I'VE CONSOLIDATED ALL THE TWO CATEGORIES INTO THE ONE. THIS IS IN THE HOUSING FUND. THERE'S 544,000 IN OPERATIONS, 6.9 MILLION IN IN BALANCE SHEET. UH, LOANS THAT ARE, ARE IMPORTANT TO THIS PROCESS, EVEN THOUGH THEY'RE NOT EXPENDITURES TO BE IN THE EXPENDITURE BUDGET. UM, SUSTAINABILITY, CLIMATE ACTION GOALS. UM, SO WE HAVE A VARIETY OF CIP PROJECTS THAT, UM, HAVE BEEN IDENTIFIED AS, UM, HELPING US GET TOWARDS GOALS FOR, UM, ENVIRONMENTAL SUSTAINABILITY. UM, AS WELL AS, UM, WITHIN THE OPERATING BUDGET, THERE'S, UM, SUSTAINABILITY DEPARTMENT BUDGET. THE, UM, THE PORTION IN PUBLIC WORKS IS RELATED TO THE CURBSIDE YARD WASTE COLLECTION AND IN GENERAL SERVICES IT IS, UM, THE, UH, SEDONA RECYCLES AND THE UM, UH, RED ROCK TRAIL FUND AND THE CONTRACT WITH THE FOREST SERVICE. SO THAT'S A TOTAL OF 17 MILLION. UM, TRAILHEAD CONGESTION IMPACT TO NEIGHBORHOOD. SO, UM, I, A LOT OF IT IS, UM, PROVIDING THOSE TRANSIT OPERATIONS, WHICH I'VE GOT JUST THE ABOVE AND THEN OTHER IMPACTS. IT'S JUST STAFF TIME, UM, THAT'S INVOLVED THERE. SHERRY? YES. I MISSED WHAT YOU SAID ABOUT THE CIP FOR SUSTAINABILITY. WHAT IS THAT? SO, PROJECTS THAT HAVE BEEN IDENTIFIED AS HELPING US GET TO SUSTAINABLE GOALS. SO, SO IT'S NOT JUST NECESSARILY PROJECTS THAT BRYCE IS RUNNING. THERE'S A WHOLE LOT OF, LIKE, THERE'S SIM PROJECTS THAT ARE IDENTIFIED AS SUCH. THERE'S WASTEWATER PROJECTS. THERE'S A, A WIDE VARIETY. OKAY. UH, VICE MAYOR. UH, SO WHY INCLUDE THEM UNDER SUSTAINABILITY NECESSARILY? LIKE THAT JUST DOESN'T MAKE SENSE TO ME THAT THAT'S, I MEAN, IT'S NOT REALLY THE PRIMARY PURPOSE BEHIND THE 16.16 MILLION. RIGHT. WELL, BECAUSE WE WANT TO DEMONSTRATE HOW MUCH WE'RE DOING TOWARDS SUSTAINABILITY, THAT HAS BEEN THE REQUEST IS TO INCLUDE ALL OF THAT TO DEMONSTRATES WE ARE DOING LOTS. OKAY. SO IT'S ALL ABOUT OPTICS. . OKAY. YES. THANK YOU. VICE MAYOR. IT'S AN ACCOUNTING FOR THE PLAN [05:15:01] AND WE ADOPT IT. OKAY. UM, SO THE NEXT ONE ON THE LIST IS, UM, THE IMPROVING THE CITIZEN COMMUNICATIONS RELATIONS. SO, UM, THIS IS BASICALLY THE, THE BUDGET FOR THE COMMUNICATIONS PROGRAM OF 534,000, THE MANAGING IMPACTS FROM SHORT TERM RENTALS. SO THAT'S BASICALLY THAT SHORT TERM RENTAL MONITORING ADMINISTRATION PROGRAM, UM, WHICH IS 192,000 ECONOMIC DIVERSIFICATION. SO, UM, WITHIN THE TOURISM AND ECONOMIC INITIATIVES. UM, SO 265,000, UH, IS WHAT'S IN THERE. UM, AND ALL THE VARIOUS THINGS THAT WE'VE BEEN TALKING ABOUT THAT WE'RE GONNA TAKE FROM SOME, SOME OF THAT'S REALLY GONNA GO MORE TOWARDS LIKE JUST TOURISM MANAGEMENT TYPE THINGS AND NOT SO MUCH ECONOMIC DIVERSIFICATION, WHICH IS GONNA MAKE DIVIDING OUT THAT NUMBER A LITTLE BIT HARDER AS WE GO FURTHER. UM, FURTHER ALONG, I HAVE A QUESTION. WELL, WAS OUR PRIORITY ECONOMIC DIVERSIFICATION? I CAN'T REMEMBER. YES. OH, OKAY. YES, THAT'S BEEN ON THE PRIORITY LIST. OKAY. UM, EMERGENCY PREPAREDNESS. SO AT THE TIME THAT WE WERE DOING THIS, WE WEREN'T AWARE THAT THERE WAS PROBABLY GONNA BE A LITTLE BIT OF CARRYOVER IN THE CONTRACT, UM, WITH THE, UM, EVACUATION PROJECT AND FINISHING THAT UP. UM, SO WE JUST HAD STAFF TIME, UM, COMMUNITY PLAN UPDATE, SO THAT'S WITHIN THE COMMUNITY DEVELOPMENT DEPARTMENT. UM, SO 227,000 THERE. UM, OTHER, UM, PROPERTY ACQUISITIONS. SO WE DON'T HAVE ANYTHING IN THE FISCAL YEAR 24 BUDGET AT THIS TIME. AND I THINK WE LANDED ON NOT MOVING THE CREEK WALK ACQUISITIONS. THERE WAS DISCUSSION, BUT I THINK, I THINK THE THOUGHT WAS THAT WE WOULD NOT MOVE THAT UP TO 24, UM, ACCELERATING THE, UM, BREWER ROAD PARK BUILD OUT RANGER STA RANGER STATION PARK. UM, SO WITHIN THE C I P BUDGET, THERE'S UM, 2.2 MILLION, UM, AND THAT AMOUNT DOES, I'M, I'M GIVING YOU HERE HOW MUCH, UM, SO THE, INCLUDED IN THIS 2.2 MILLION FOR GETTING THE, THE BREWER ROAD PARK BUILD OUT ACCELERATED. THERE'S 315,000 THAT WOULD BE PAID BY THE COMMUNITY FACILITIES DISTRICTS THAT WILL BE IN THEIR SEPARATE BUDGETS. IT'S NOT WITHIN THE BUDGET HERE, BUT IT IS IN THE CIP PLAN. SO THAT 2.2 IS WITH IT THERE OR NOT? SO IT'S, IT'S WITH THE, THE CFD MONEY, IT'S ALREADY REDUCED. SO IT'S THE CITY MONEY PLUS THE CFD MONEY. IT'S ALREADY REDUCED. OKAY. THE 2.2 MILLION INCLUDES THE CFD MONEY. OKAY. UM, THE AIRPORT. UM, SO WE ARE CARRYING OVER 80,000 FOR THE CONSULTANT CONTRACT FOR, UM, THAT ANALYSIS. UM, WHICH, SORRY, DO WE HAVE A CONSULTANT ON BOARD FOR THE AIRPORT? YEAH, YEAH. THAT'S IN PROCESS. YEP. OKAY. OH, IT STARTED, IT'S ALREADY, YES, THEY'VE ALREADY STARTED. AND DO YOU HAVE ANY EXPECTATIONS ABOUT WHEN IT WILL BE COMPLETED? SO I THINK WE SET A 12 MONTH TIMEFRAME, UM, FOR THE ENTIRE ANALYSIS. MM-HMM. , THEY'VE HAD A LITTLE BIT OF A US CHALLENGE GETTING THE INFORMATION THEY NEED, . UM, BUT THERE ARE SOME OTHER THINGS HAPPENING IN REGARDS TO THE LAWSUIT THAT THE AIRPORT WAS IN. SO WE'RE SORT OF, THAT MIGHT SLOW DOWN A BIT UNTIL WE BETTER UNDERSTAND THE IMPLICATIONS OF HOW THAT PLAYS OUT. MAYOR AND COUNSEL, I JUST HAD THAT THE INTENT WAS ALWAYS THAT THAT LAWSUIT WAS RESOLVED BEFORE THE CITY, UM, YOU KNOW, AND ENTERTAINED TAKEN OVER THE AIRPORT AND HAD BEEN PREVIOUSLY EXPRESSED THAT THAT WAS WRAPPING UP. AND IT SHOULD HAVE BEEN. UM, THAT MIGHT NOT BE THE CASE NOW. IT MIGHT GO ON A LITTLE BIT LONGER. RIGHT. YOU HAVE TO READING THE LOCAL PAPER, IT SEEMS LIKE IT'S GONNA GO A LOT LONGER. SO THERE WAS, OH, JUST FOR ME, THERE WAS JUST ONE LITTLE OPTICS THING HERE. WHEN WE SAY THE COUNCIL PRIORITY IS THE AIRPORT, THE COUNCIL PRIORITY IS REALLY THE AIRPORT STUDY , UH, YOU KNOW, IT'S JUST AN OPTIC THING THAT PEOPLE ALL THE RED ROCK KNEW OTHER PLACES MIGHT LOOK THAT THE, THIS COUNCIL IS ALREADY DEALING WITH AN AIRPORT AND IT'S REALLY JUST THE STUDY. YEP. SO, YEAH. UM, NEXT ON THE LIST IS THE, UM, ENVIRONMENTAL IMPACT STUDY ON, UM, OHVS AND THE TRAIL ACCESS BASED ON CAPACITY ANALYSIS. UM, SO REALLY AT THIS POINT, UM, ANYTHING RELATED TO FISCAL YEAR 24 STAFF TIME ONLY. UM, AND I'M NOT SURE REALLY WHERE THAT FALLS OF HOW MUCH IS REALLY, HOW MUCH MORE THERE'S GOING TO BE AFTER FISCAL YEAR 23, HAS IT BEEN DONE? SO WE DID COMPLETE THE [05:20:01] PHASE ONE JUST RECENTLY COMPLETED. IT WAS A POTENTIAL TO MOVE INTO A PHASE TWO. UH, BUT JUST THE READER'S DIGEST VERSION OF THAT ANALYSIS, WHICH FOCUSED ON BOTH NUMBER AND QUANTITY OF OHVS ON IN THESE VARIOUS AREAS THAT WE TARGETED TO SEE IF IT WAS A CONGESTION OR ISSUE ON THE, ON THE ROADS NOISE AND AIR QUALITY WERE THE THREE THINGS THAT WERE EVALUATED MM-HMM. IN THIS FIRST PHASE. AND THERE WAS NOTHING, UM, THAT CAME OUT OF THAT, THAT INDICATED THAT REGULATORY ACTION WAS NEEDED. SO WE DO NOT HAVE ANY MONEY TO DO A PHASE TWO. THERE WAS REALLY NOTHING TO, TO PHASE TWO. AND, UM, SO THERE MAY BE AN ASK COMING FROM THIS GREATER SEDONA RECREATION COLLABORATIVE FOR CONTINUED WORK. AND SO WE DON'T HAVE THAT IN THE BUDGET. BUT IF THAT IS, I AM ANTICIPATING THAT ANYTHING WE MIGHT CONTRIBUTE WOULD BE NOMINAL MM-HMM. TOWARDS THAT, UH, ADDITIONAL EFFORT. AND I THINK WE COULD FIGURE OUT HOW TO MAKE THAT WORK WITHIN BUDGET. OKAY. THANK YOU VERY MUCH. THANK YOU. OKAY. OKAY, GO AHEAD. UM, NEXT ON THE LIST IS THE PICKLEBALL COURTS, AND THOSE ARE INCLUDED IN THE C I P BUDGET WITH, UH, 1.5 MILLION, UM, THE E R P SYSTEM. UM, SO THAT IS INCLUDED IN THE C I P BUDGET WHEN WE'VE ESTIMATED 600,000 IN FISCAL YEAR 24. AND THEN THE FINAL ONE ON THE LIST IS THE REVISIT OF THE LAND DEVELOPMENT CODE, WHICH WOULD BE WITHIN COMMUNITY DEVELOPMENT. AND WE ONLY HAVE STAFF TIME IN HERE FOR THAT. SO I'M GONNA ASK THE SAME QUESTION. WHAT'S THE ANTICIPATED TIMEFRAME FOR THAT FOR THE LAND DEVELOPMENT CODE UPDATES? RIGHT NOW? THAT IS, I, I DON'T EVEN KNOW IF THAT'S GOING TO OCCUR IN FISCAL YEAR 24. OH. SO THERE MAY BE THE SMALLER, YOU KNOW, WE'VE BROUGHT SEVERAL ITERATIONS OF THAT WITH THINGS THAT HAVE BEEN IDENTIFIED IN HOUSE, EITHER SUSTAINABILITY OR HOUSING OR SO FORTH. BUT TO DO THE MORE COMPREHENSIVE LOOK HA IS GOING TO END UP NEEDING TO FOLLOW COMMUNITY PLAN. SOME OF THE OTHER WORK AND COMMUNITY DEVELOPMENT IN FISCAL YEAR 24 IS JUST NOT GONNA HAVE THE CAPACITY TO TAKE ON A BIG COMPREHENSIVE CONSULTANT EFFORT, UH, TO DO I WAS THINKING ABOUT THE HOUSING, THE ADUS AND THINGS WE'VE ASKED TO BE LOOKED AT. YEAH. SO THIS PRIORITY HAD TO DO WITH THE BIGGER, MORE COMPREHENSIVE EFFORT. UM, I, I WOULD HAVE TO REVISIT, UM, THAT WITH STAFF IN TERMS OF THE TIMING OF WHEN THEY THINK THAT STUFF WILL COME BACK. OKAY. THANK YOU. YEAH. APPRECIATE THE UPDATE. I WAS GONNA ASK SIMILAR QUESTIONS ABOUT, OKAY, THE MORE FOCUSED STUDY FOR HOUSING AND SUSTAINABILITY IS MOVING. NO. SO IF THERE ARE SMALLER TWEAKS, SO FOR EXAMPLE, WE BROUGHT FORWARD THE, THE GARAGE FOR SHORT, SHORT TERM RENTALS. WE BROUGHT FORWARD THE CHANGE TO THE BUILDING CODE FOR THE ELECTRICAL WIRING, UH, TO, TO SUPPORT MULTIFAMILY HOUSING. IF THERE ARE SMALL CHANGES LIKE THAT, WE WOULD BRING THOSE FORWARD IN THE NEXT YEAR. BUT IN JANUARY, WHAT ENDED UP INCLUDED AS A COUNCIL PRIORITY WAS A CONSULTANT DRIVEN, MORE COMPREHENSIVE LOOK THAT WOULD'VE INCLUDED HOUSING SUSTAINABILITY, TOURISM MANAGEMENT MM-HMM. THINGS WE MIGHT NEED TO CHANGE IN OUR LAND DEVELOPMENT CODE RELATED TO LAND USE PARKING. AND THAT REALLY NEEDED TO BE A LARGER, MORE HOLISTIC, COMPREHENSIVE EFFORT. CUZ THERE ARE THINGS THAT COULD WORK AT CROSS PURPOSES IF YOU'RE NOT RECONCILING THEM WITH THE OTHER GOALS. AND THAT'S THE BIGGER EFFORT THAT WE'RE JUST NOT GONNA BE ABLE TO INCORPORATE INTO THE NEXT YEAR'S PROGRAM. I, I THOUGHT THERE WAS A COMMITMENT FOR HOUSING AT LEAST TO COME FORWARD TO US AND, AND TALK ABOUT WHAT WE MIGHT DO TO THE LDC TO FACILITATE OUR PRIORITY OF HOUSING. THE, THEY WERE ONLY KIND OF SMALLER, KIND OF AS IDENTIFIED THINGS SUCH AS THE ADU ORDINANCE CHANGES AND THE WIRING. IT, IT WASN'T GOING TO BE A MORE COMPREHENSIVE LOOK CUZ THERE ARE CERTAIN THINGS THAT, UM, FOR HOUSING, FOR EXAMPLE, THAT MAY CONFLICT WITH SUSTAINABILITY OR ENVIRONMENTAL GOALS. AND SO WE, WE DIDN'T WANNA DO THEM IN A VACUUM. [05:25:01] AND I DON'T KNOW THAT WE HAVE THE ABILITY TO DO A COMPREHENSIVE LOOK AT THE LAND DEVELOPMENT CODE TO SUPPORT ADDITIONAL HOUSING. WHETHER THAT'S MULTIFAMILY, WHETHER THAT'S, UM, YOU KNOW, TINY HOME OR OR OTHER KINDS OF HOUSING'S. PRODUCT WOULD BE MORE COMPREHENSIVE THAN WHAT WE'RE ABLE TO DO WITH EXISTING RESOURCES. THAT I, I I, IF THAT WASN'T MY UNDERSTANDING OF WHAT, HOW, AND I COULD BE MIS I MIGHT BE MISUNDERSTOOD WHAT CAME OUT OF OUR PRIORITIES AND WHATNOT, BUT I'D BE INTERESTED TO HEAR WHAT OTHERS THINK ABOUT ANY FURTHER. I I'M WITH YOUR COUNSELOR FROM THEM. I THOUGHT, AT LEAST IN TERMS OF THE HOUSING, WHEN THE ADUS CAME TO US FROM THE, ALL THOSE CHANGES THROUGH PNC, WE, I THOUGHT I HEARD THAT. WELL, WE'RE WORKING ON SOME OTHER THINGS WITH HOUSING. THERE MAY BE A COUPLE OTHER THINGS I'M SAYING. IT IS NOT GOING TO BE THIS EFFORT, THIS COMPREHENSIVE EFFORT. UM, THERE COULD BE OTHER SMALL TWEAKS TO THE LAND DEVELOPMENT CODE THAT COULD FURTHER SUPPORT OUR HOUSING GOALS. IT ISN'T THIS, I DIDN'T UNDERSTAND THAT THIS WAS DIFFERENT. I HEAR WHAT YOU'RE SAYING, BUT WHAT WASN'T MY UNDERSTANDING, WE HAVEN'T TALKED ABOUT IT IN A LONG TIME. SO IT YEAH. IT'S BEEN SINCE JANUARY. YEAH. RIGHT. YEAH. SO THIS WAS HIRING A FIRM LIKE WE DID WITH CLARION SEVERAL YEARS AGO TO TAKE A BIGGER PICTURE, LOOK AT THE VARIOUS GOALS. I JUST NAMED A NUMBER OF THEM. RIGHT. A LOT OF THEM WILL COME OUT OF THE COMMUNITY PLAN UPDATE AND LOOK AT HOW OUR CURRENT REGULATIONS IN THE LAND DEVELOPMENT CODE EITHER SUPPORT OR THWART THOSE GOALS AND TO MAKE SURE THAT WHEN WE'RE LOOKING AT COMPREHENSIVE UPDATES TO FURTHER SUPPORT THOSE GOALS, WE DON'T HAVE THINGS WORKING AT CROSS PURPOSES WITH EACH OTHER. THAT'S A BIG EFFORT. UM, SO WE ALL, YOU KNOW, EVERY SIX, NINE MONTHS OR SO DO BRING COMMUNITY OR DO BRING LAND DEVELOPMENT CODE CHANGES OF THINGS THAT ARE, I THEY'RE MORE MINUTE IN NATURE. UM, IT'S NOT A REWRITE, IT'S TWEAKS, UH, AS THEIR THINGS ARE IDENTIFIED BY STAFF. SO THAT WE WOULD CONTINUE TO DO AS THEY IDENTIFY CHANGES. BUT THAT WASN'T WHAT WE WERE TALKING ABOUT HERE. OKAY. SO SOMEWHERE IN BETWEEN IS WHERE I'M TRYING TO GO BECAUSE CONTRACTORS SAY THAT OUR LAND DEVELOPMENT CODE HOUSING REQUIREMENTS INCREASE THE COST OF HOUSING EXPONENTIALLY. THERE WAS A ARTICLE IN THE NEWSPAPER THAT LISTED SOME OF THEM. I'VE TALKED TO OTHER CONTRACTORS, AND YET NO ONE HAS REALLY SAID, BECAUSE IN IN THE NEWSPAPER THEY HAD A, A NUMBER OF THINGS. SOME OF THEM ARE UNDER OUR CONTROL, SOME OF THEM ARE NOT LIKE SPRINKLERS. UH UH, THEY DIDN'T ADD UP TO THE NUMBER THAT, SO THERE WAS A LIST OF ITEMS AND THEN THERE WAS AN OVERALL NUMBER AND DID NOT ADD UP. HOWEVER, THERE ARE THINGS PEOPLE SAY REPEATEDLY THAT DRIVE UP THE COST OF HOUSING AND I'D LIKE TO KNOW WHAT THEY ARE. WELL, I'D LIKE TO KNOW WHAT THEY ARE TOO, BECAUSE THOSE PEOPLE SAY THAT MM-HMM. , BUT THEY NEVER QUANTIFY OR NEVER IDENTIFY WHAT SPECIFIC THINGS THEY'RE TALKING ABOUT. IF THOSE PEOPLE WOULD LIKE TO GIVE US THE LIST AND THE ASSOCIATED COSTS AND DEMONSTRATE THAT FACTUALLY, THEN WE WOULD HAVE SOMETHING WE COULD REACT TO. AND I HAVE REQUESTED THAT. SO I MEAN, LET'S YEAH. PRODUCE IT THOSE PEOPLE AND, AND WE'LL RESPOND TO IT. SO IF THOSE PEOPLE DID PRODUCE IT, WOULD WE BE ABLE TO TAKE A LOOK AT THAT IN FY 24? AND I, SO WE WOULD BE ABLE TO TAKE A LOOK AT IT. AND I DON'T HAVE THE LIST. NO ONE'S BEEN ABLE TO PRODUCE THE LIST, BUT I SUSPECT THAT MOST OF THOSE THINGS UHHUH ARE BUILDING CODE REQUIREMENTS OR EVEN OUR ZONING, YOU KNOW, WE'VE HAD CONVERSATIONS WITH THE COMMUNITY ABOUT DOING DUPLEXES OR TRIPLEXES IN SINGLE FAMILY RESIDENTIAL. RIGHT. IT'S BEEN A NON-STARTER. SO ON THE SAFETY SIDE, WE'RE NOT GONNA ELIMINATE NO. RIGHT. AND SO SOME OF THOSE ARE, [05:30:01] ARE, ARE SIMPLY INTERNATIONAL BUILDING CODE STANDARDS THAT EVOLVE OVER TIME TO MAKE THINGS MORE SAFE. RIGHT. BUT THOSE PEOPLE SAY COTTONWOODS BUILDING CODES ARE MORE RELAXED IN SOME AREAS THAN SEDONA AND THEY FOLLOW THE INTERNATIONAL BUILDING CODE. YEAH. SO I THINK THEY'RE, THEY ARE CONFUSING BUILDING CODE AND ZONING CODE. RIGHT. COTTONWOOD MAY ALLOW THINGS IN ZONING DISTRICTS, THEY MAY HAVE DIFFERENT DESIGN STANDARDS MM-HMM. AND AESTHETIC REQUIREMENTS MM-HMM. TO BUILD TO, I DON'T, I DON'T KNOW WHAT THOSE ALL ARE, BUT YEAH. SO DO, DOES SEDONA HAVE A DIFFERENT STANDARD AS FAR AS WHAT OUR BUILT ENVIRONMENT LOOKS LIKE? ABSOLUTELY. YES. DO DOES OUR COMMUNITY WANNA RELAX THOSE? PROBABLY NOT. MAYBE NOT. SO SOMEONE'S GONNA REACH OUT TO THOSE PEOPLE. , EXCUSE ME, . UH, I, I THINK THERE WERE TWO, UH, WITHIN THE PAST YEAR THERE WERE TWO ITEMS THAT WERE MENTIONED THAT WERE CAUSING R THE RISING, CAUSING THE RISING COSTS. ONE WAS THE PRE-WIRE FOR THE SOLAR, THE OTHER ONE WAS PRE-WIRE. I UNDERSTAND THIS, BUT I'M JUST, THESE ARE TWO OF THE THINGS THAT THEY SAY PRE-WIRE FOR SOLAR AND PRE-WIRE FOR CHARGING ELECTRIC CARS IN A, IN A GARAGE. AND IT WAS DRIVING THE COST TO MAKE IT UNAFFORDABLE, UNATTAINABLE . AND THEN THERE WAS A RECENT ARTICLE, AND I THINK THE, THE VICE MAYOR HAVE MENTIONED THIS, UH, THE FIRE CODE, THEY HAVE REQUIREMENTS. THERE WAS AN ARTICLE IN A, IN THE VILLAGE, UH, LITTLE TINY PAPER IN THE VILLAGE WHERE THERE WAS ONE BUILDER WHO HASN'T EVEN SUBMITTED PLANS YET, BUT HE'S ANGRY ABOUT THEIR, THE FIRE DISTRICT'S, UH, FIRE REQUIREMENTS, ESPECIALLY IF YOU'RE ADJACENT TO THE US FOREST SERVICE, PUTTING THOSE TOGETHER, THOSE PEOPLE ARE SAYING VERY EXPENSIVE. AND I DON'T KNOW WHAT, NO ONE'S QUANTIFIED IT TO ME EITHER. SO YEAH, I'D BE HAPPY TO, TO SPEAK TO, TO TALK TO THOSE PEOPLE. SO FIRST OF ALL, THE FIRE CODE MM-HMM. ISN'T OUR CODE, RIGHT? NO, NO. WE DON'T HAVE ANYTHING TO, TO DO WITH ESTABLISHING IT. THAT IS THE FIRE DISTRICT. AND THERE ARE SOME REQUIREMENTS, COUNSELOR WILLIAMSON, I THINK IT WAS YOU THAT, THAT ASKED A QUESTION RECENTLY ABOUT SOMEONE WHO OH, YEAH, YEAH. THEY HAVE A SPEED PUMP BUMP ON THE WAY TO THEIR PROPERTY. THEY, THEY HAVE TO SPRINKLE, THEY HAVE TO SPRINKLE, LIKE THERE ARE SOME INTERESTING CRITERIA THAT D DICTATE WHETHER OR NOT FIRE SPRINKLERS ARE REQUIRED. AND THAT'S, I MEAN, THAT'S, THAT'S A HEFTY, I DON'T KNOW WHAT THE DOLLARS ARE OFF THE TOP OF MY HEAD, BUT THAT'S NOT AN INEXPENSIVE THING TO ADD TO YOUR HOME WHEN YOU'RE BUILDING IT. MM-HMM. AS FAR AS THE PRE-WIRE FOR EV AND FOR SOLAR, WE DO NOT REQUIRE ANYONE TO GO BACK AND RETROFIT AN EXISTING HOME. NO, I UNDERSTOOD. I KNOW YOU UNDERSTAND. I'M JUST TRYING TO EXPLAIN THIS FOR THE RECORD. OKAY. THE, IT IS FOR NEW BUILDS AND THE COST OF ADDING THAT WHILE YOU'RE CONSTRUCTING A HOME TO PUT THAT CONDUIT IN IS A COUPLE HUNDRED BUCKS. IT'S, IT'S VERY INEXPENSIVE. MM-HMM. AND A LOT CHEAPER TO DO IT THEN THAN TO GO BACK AND RETROFIT IF THIS IS THE WAY OF THE FUTURE. SO WHEN WE DID THE LAST, UM, BUILDING CODE UPDATE, THAT WAS SOMETHING THAT WAS ADDED. AND STEVE DID A TREMENDOUS JOB REACHING OUT TO THE DEVELOPMENT COMMUNITY CONTRACTORS, UH, UM, AND, AND GENERAL OUTREACH TO FIND OUT WHERE WAS THAT LINE BETWEEN TOLERANCE FOR HAVING NEW REGULATION AND US BEING HEAVY HANDED AND REQUIRING TOO MUCH. AND I THINK THAT WAS THE ONLY SUSTAINABILITY RELATED NEW REQUIREMENT THAT WE, UM, YOU KNOW, ADDED TO THE, TO THE LAND, UH, TO THE BUILDING CODE. I, I TOTALLY GET IT. BUT THERE, THOSE PEOPLE WERE SAYING THEM THEM THAT WHEN THEY, AND WHEN THEY DO THE NEW BUILD, WELL IT, IT SHOULD BE THEIR RIGHT TO EITHER INCLUDE THEM OR NOT. WE SHOULDN'T BE TELLING THEM WE HAD THAT CONVERSATION WITH ALL OF YOU. WE DID. RIGHT. AND YOU COULD HAVE SAID AT THAT TIME, RIGHT, THIS IS TOO ONEROUS. WE'RE NOT GONNA BE A BIG BROTHER, LET'S LET PEOPLE MAKE THEIR OWN DECISIONS. BUT WE DIDN'T. YOU DIDN'T. AND YOU KNOW, IT WAS IN SUPPORT OF SOME OF THESE OTHER GOALS THAT WE HAVE. I'M JUST TRYING TO QUANTIFY THOSE PEOPLE AND WHAT I HEARD. SO, BUT FROM SHANNON'S PERSPECTIVE, I THINK WE ASKED HER TO BRING BACK TO US ANYTHING THAT SHE THOUGHT WE SHOULD TAKE A LOOK AT THAT SHE HAS THAT WAS DETRIMENTAL TO MOVING FORWARD WITH, WITH AFFORDABLE HOUSING. [05:35:02] AND I'LL, IF I DISCOVER THOSE, ARE YOU ON MIC? I'M NOT. OKAY. SO IF YOU CAN JUST COME UP TO THE PODIUM. YEAH. OKAY. THANK YOU SHANNON, FOR COMING BACK EVEN. AND I WILL, I DID ASK HER TO BRING THOSE FORWARD AS I DIDN'T SCARE HER AWAY EITHER. . UM, OF COURSE IF I DISCOVERED SOMETHING THAT WAS AN IMPEDIMENT TO AFFORDABLE HOUSING, I WOULD BRING THAT UP. A LOT OF THESE THINGS THEY MIGHT ADD TO THE COST OF HOUSING, BUT THEY'RE ADDING A VERY MINIMAL PERCENTAGE TO THE COST OF A HOUSE THAT'S ALREADY A MILLION DOLLARS. SO WE'RE JUST NOT SEEING ENOUGH NEW BUILDING PERMITS FOR $300,000 HOUSES COMING IN. I DON'T THINK ANY ACTUALLY TO SEE THAT, THAT LIKE THE, THE PRE-WIRING IS A PROBLEM OR ANYTHING LIKE THAT. MAYOR, MAYOR, MAYOR. YES. PETE, JESSICA, UH, JESSICA FIRST. YES. I WANT A BUT YEAH, WE NEED THAT BUTTON. MAYBE WE SHOULD REVISIT THE BUTTON. IT'S OKAY. I, I GUESS I HAVE, I HAVE TWO GENERAL COMMENTS. ONE IS THAT WHILE I THINK IT'S IMPORTANT FOR US TO FO FOCUS ON ACTUAL ISSUES LIKE THE COST OF, OF HOUSING AT WHAT MAKES SENSE FOR US TO DO AS SHANNON DIS AND THE PERCEPTION OF PEOPLE OF DEVELOP, OF DEVELOPERS WHO IN THEIR OWN SELF-INTEREST DON'T WANT TO ACTUALLY ADD ANY COST TO BILLION DOLLAR HOMES. I THINK WE REALLY HAVE TO MAKE THAT DISTINCTION. AND I THINK I FOR ONE, DON'T WANT TO WASTE STAFF TIME ON RESPONDING TO THESE KINDS OF ISSUES OF PEOPLE, WHICH SHE HAS DONE. KAREN HAS DONE THAT AT LEAST FIVE TIMES THAT I CAN RECALL, UM, OVER AND OVER AND OVER AGAIN. I THINK WHATEVER THE LOCAL PAPER CHOOSES TO SAY, LET THEM CHOOSE TO SAY WHATEVER THEY WANT, THEY'RE GOING TO DO THAT ANYWAY. WHAT IT'S SUBSTANTIVE AND SOMETHING WE SHOULD RESPOND TO. I THINK WE SHOULD. BUT I DON'T THINK THIS RISES TO A LEVEL. IF THOSE PEOPLE ARE WILLING TO SUBMIT A LIST OF THEIR ACTUAL IMPEDIMENTS AND ASSOCIATE A COST TO EACH OF THEM. I KNOW THAT KAREN WILL LOOK INTO THAT. SO I REALLY DON'T, I, I, I'M, I FOR ONE, I'M NOT INTERESTED IN PURSUING THAT. THE SECOND ISSUE IS SOMETHING THAT KAREN SAID, WHICH WHEN WE GET TO THE PRIORITIES I WANT TO TALK ABOUT AGAIN, WHICH IS THE BIGGEST THING THAT WE PROBABLY CAN DO ARE DUPLEXES NOW, UH, TACKLE. AND SO WE ARE FOCUSED, I DO NOT WANNA FOCUS ON THESE SMALL THINGS THAT AREN'T ACTUALLY IMPORTANT ACTUALLY IN THE LAW. AND, AND, AND BECAUSE THE DUPLEXES GOING TO BE INCREDIBLE COMMUNITY ISSUE, I'D RATHER, I'D RATHER FOCUS ON THAT THAN ON THIS STUFF. THAT'S REALLY A NON ISSUE FOR ME. I BELIEVE OUR STAFF WILL BRING TO US THINGS THAT NEED TO BE DONE AND MY EXPERIENCES THAT THEN THAT HAPPENS. THEY DO. SO I WOULD LIKE TO CONTINUE THAT, BUT I ALSO THINK WE REALLY NEED TO FOCUS ON THE BIGGER ISSUES, WHICH YOU REALLY WILL GET BIG BANG FOR YOUR BUCK. THIS IS A NO BANG FOR YOUR BUCK THING WITH, WITH WHAT THE NEWSPAPER SAYS. THERE ARE DOZENS SAY AND WHAT CONTRACTORS OR BUILDERS WHO WILL PROFIT FROM OUR REDUCING. I UNDERSTAND. I'M JUST, WE'RE HAVING A POLICY DISCUSSION NOW ON THAT IS BEYOND THE BUDGET THAT WE'RE SUPPOSED TO BE DISCUSSING. YEAH. IT IS LIKE SO MANY OF THE DISCUSSIONS WE'VE HAD SO FAR. OKAY. BUT ANYWAY, I WILL STOP. I I UNDERSTAND AND I WILL STOP. I, LIKE I SAID, IT'S FOR THE NEXT, UM, UH, PRIORITY SESSION. OKAY. THANK YOU. I DIDN'T WANT TO INTERRUPT YOU, BUT YEAH, NO, YOU HAVE TO INTERRUPT ME CUZ I WOULD GO ON FOR HOURS WITH THAT. SO THANK YOU PETE. THANK YOU MAYOR. UH, SHANNON, THIS IS, UH, FOR YOU JUST TO ASSURE MYSELF THAT YOU USE THE WORDS WHEN I STUMBLE ACROSS THESE THINGS AND YOU'RE OUT THERE TALKING WITH DEVELOPERS WAY MORE THAN I AM, THANK GOD. THANK YOU FOR DOING THAT. UM, BUT I, DO YOU ASK THEM THE QUE DO YOU OPEN THE DOOR FOR THAT CONVERSATION OCCASIONALLY WITH THE RIGHT TIME? OR ARE YOU REALLY JUST WAITING TO STUMBLE ON THESE ISSUES THAT MIGHT BE OUT THERE? I LOOK AT THE ISSUES, MAYBE STUMBLING UPON THEM WAS A LITTLE TOO EXAGGERATED, BUT I HAVEN'T ASKED, I I WORK WITH THREE OR FOUR BUILDERS REGULARLY OR CROSS PATHS WITH [05:40:01] THEM. UM, NOT JUST IN MY EMPLOYMENT BUT IN BOARD SERVICE. AND NONE OF THEM ARE SAYING, YOU HAVE TO DO SOMETHING ABOUT THIS. THEY ALL UNDERSTAND MY GOALS AND THEY VOLUNTEER AND DO WORK IN THE AFFORDABLE HOUSING REALM, BUT THEY DON'T MENTION THOSE THINGS. I WILL ASK THEM DIRECTLY SINCE YOU SAY THAT. THANK YOU . YEAH, I, I'D LIKE TO JUST TOUCH ON THAT ALSO. AND I THINK THAT THERE'S SOME DIFFERENTIATION. I THINK, I DUNNO IF IT WAS JESSICA WHO SAID ON THE MILLION DOLLAR HOMES MM-HMM. , BUT I'M CONCERNED, I JUST WANNA BE SURE IN WHEN YOU DO ASK, YOU'RE NOT BUILDING MILLION DOLLAR HOMES FOR THE, FOR THE WORKFORCE HOUSING, YOU'RE DOING MORE MM-HMM. . RIGHT. MORE REASONABLE THAT IF, IF THERE'S SOMETHING IN OUR CODE THAT'S GOING TO HURT THOSE UH, DEVELOPMENTS, I'D JUST BE CURIOUS TO KNOW. TOTALLY. LOOKING FOR THINGS LIKE THAT. THANK YOU. I JUST HAVEN'T REALLY FOUND, OTHER THAN THAT ELECTRICAL CHANGE AND RIGHT. AND THE ADU STUFF COULD AFFECT AFFORDABILITY, BUT WE TALKED ABOUT THAT SO MM-HMM. I HAVE WONDERFUL. AND I APPRECIATE THAT YOU'RE OUT THERE AND YOU'RE ACTUALLY, I KNOW THAT YOU ARE AND I, I KNOW THAT YOU'RE TALKING TO, UH, A LOT OF PEOPLE ABOUT IT, SO THANK YOU. I HAVE ONE THAT JESSICA GARAGES, SO I TALKED A LITTLE BIT WITH COMMUNITY DEVELOPMENT STAFF ABOUT THAT THE GARAGE IS NOT REQUIRED ON EVERY HOUSE, BUT ONLY HOUSES OF A CERTAIN SIZE. RIGHT. SO IT'S, IT'S SOMETHING THAT I'M TRYING TO GET A FEEL FOR, BUT SO FAR IT SEEMS LIKE PEOPLE WHO WANT A HOUSE THAT BIG WANT A GARAGE TOO. SO IT'S NOT REALLY AN ISSUE. DEFINITELY THINKING ABOUT IT, IT'S ON MY RADAR. OKAY. I JUST, OKAY. MOVING ALONG. HAVEN'T IDENTIFIED IT YET. CUZ A PROBLEM, IT MIGHT BE THE COST, IT MIGHT BE LOOKING AT THE COST OF THE HOUSE, IT'S NOW OR SQUARE FOOT, IT'S NOW A CERTAIN SQUARE FOOT HOUSE, I BELIEVE. I THINK IT'S 1600. I THINK IT'S 1300. SO TOLD ME 15. 15. 15. SO MAYBE IT SHOULD BE HIGHER. YOU CAN TAKE A HUNDRED, MAYBE IT SHOULD BE SLIGHTLY HIGHER. I MEAN, SORRY, THAT'S JUST A SPECIFIC AS TO WHAT MAY OR MAY NOT BE CHANGED. THANK YOU. SO RIGHT NOW A 1500 SQUARE FOOT HOUSE IS BIG. IS DOESN'T MEET LIKE WORKFORCE HOUSING OR AFFORDABLE HOUSING, UM, COSTS. SO, ALL RIGHT. SO IT'S, AND IF YOU REMEMBER WE DID THE GARAGE REQUIREMENT BECAUSE PEOPLE WERE CONVERTING THEIR GARAGES TO ADDITIONAL LIVING SPACES TO RENT THEM AS SHORT TERM RENTAL. SO WE, YOU KNOW, WE'RE MOTIVATED ON ONE SIDE TO ADD TO, TO MAKE A CHANGE. AND THAT'S WHY I'M SAYING WE NEED A MORE COMPREHENSIVE EFFORT. OKAY. LET'S MOVE ALONG. THANK YOU SHARON, SHERRY. OKAY. SO THAT, THAT'S WHAT I HAVE IN HERE FOR COUNSEL PRIORITIES. IF THERE IS ANYTHING THAT YOU'RE LIKE, YOU'RE NOT SATISFIED WITH WHAT WE'VE GOT, THEN WE'D LIKE TO HEAR IT NOW. OTHERWISE WE'RE MOVING ON FROM PRIORITIES. THANK YOU. OKAY. CAN YOU MOVE BACK TO THE PRIOR PAGE JUST FOR A SEC? YES. ON THE MIC, BRIAN. THANK YOU. COULD YOU MOVE BACK TO THE PRIOR PAGE FOR JUST A SEC? OKAY, THANK YOU. OKAY, SO LOOKING AT THE REVENUE SIDE, UM, SO I'VE GOT HERE, UM, ONGOING REVENUES. UM, AND AS I HAD MENTIONED, I AM BEING CONSERVATIVE, PARTICULARLY ON THE SALES AND BED TAX. WITH THE TALK GOING BACK AND FORTH ON WHETHER OR NOT THERE IS A RECESSION. I'M TAKING THE MORE CONSERVATIVE APPROACH OF, OKAY, WELL WHAT IF THERE'S A RECESSION? UM, UM, AND TIME WILL TELL WHETHER OR NOT, WHETHER OR NOT THERE IS, UM, WE'RE ACTUALLY REFLECTING IN INCREASES IN MANY OF THE OTHER CATEGORIES. UM, IN THE ONGOING REVENUES, UH, ONE TIME REVENUES, UM, ACTUALLY HAVE A FAIRLY SIGNIFICANT INCREASE, UH, BECAUSE OF SOME OF THE VARIOUS GRANTS, UM, THAT WE HAVE INCLUDED IN THE BUDGET AND SOME OF THE GRANTS THAT WE'RE EXPECTING RELATED TO TRANSIT RELATED TO UM, SOME OF THE OTHER CIP PROJECTS. UM, AND, UM, SO IN TOTAL, UM, FOR REVENUES, UM, WE'RE SHOWING, UH, DECREASE OF 5%, UM, BECAUSE OF THOSE DECREASES IN THE SALES AND BED TAX. WHEN YOU LOOK AT THE REVENUES AND OTHER FINANCING SOURCES IN TOTAL FOR FISCAL YEAR 23, WE HAD THAT 10 MILLION IN BONDS, UM, THAT WE ISSUED FOR THE CULTURAL PARK. LOOKING AT IT FROM A CHANGES PERSPECTIVE ON JUST THE REVENUES GOING FROM 70 UH, MILLION TO 66. SO THERE'S THE, UM, SALES AND BED TAX DECREASES, UM, WITHIN THE STATE SHARED REVENUES. SO, UM, THE STATE SHARED INCOME TAX, WHICH IS REFERRED TO URBAN REVENUE [05:45:01] SHARING. SO, UM, THEY'RE PREDICTING A VERY SIGNIFICANT INCREASE IN THAT AMOUNT. UM, SO IT GO UP 856,000, THAT'S QUITE A LOT. UM, AND IT'S BASED OFF OF THE INCOME TAXES FROM TWO YEARS PRIOR. SO THEY ACTUALLY HAVE INFORMATION ON THE NUMBERS. UM, THE, UM, PART OF WHAT, UM, GOVERNOR DUCEY PLAN WAS OF REDUCING HOW MUCH THE, THE, UM, INCOME TAX RATES ARE AND EVERYTHING, AND A LOT OF IT HAS TO DO WITH BECAUSE OF HOW MUCH MORE THEY WERE COLLECTING AN INCOME TAXES ON THE COMMERCIAL, ON THE BUSINESS SIDE, BUSINESS INCOME TAX. SO, UM, SO IT'S UM, MORE THAN OFFSETTING WHAT THEY WERE ESTIMATING OF DECREASES ON THE, UH, PERSONAL INCOME. UM, WE ARE PROJECTING, UM, A $299,000 DECREASE IN HF DOLLARS. UM, THAT IS, UM, TRYING TO BE A LITTLE BIT CONSERVATIVE, BUT WE ARE ARE SEEING, UM, THE, THE WAY THE HERF IS COLLECTED, IT'S BASED OFF OF, UM, THE NUMBER OF GALLONS THAT IS PURCHASED. SO IT'S NOT REALLY ALL THAT IMPACTED BY THE FUEL PRICES PER SE, ALTHOUGH THE FUEL PRICES IMPACT HOW MUCH PEOPLE ARE BUYING FUEL. SO HOW MUCH TRAVELING THERE IS. UM, THERE IS MORE, UM, REMOTE WORK GOING ON ACROSS THE STATE THAN WHAT THERE HAS BEEN. MAYBE NOT SO MUCH HERE LIKE WE NEED TO BE HERE . UM, BUT UM, BUT THERE IS MORE, UM, UH, IMPACT OF REMOTE THAN ANYTHING THAT WOULD'VE BEEN IN THE PAST PRE COVID THAT'S KIND OF CHANGING, YOU KNOW, CHANGED THE WAY THE, THE WORLD HAS BEEN OPERATING. THERE'S MORE ELECTRIC VEHICLES THAT DO NOT BUY GASOLINE, UM, HYBRIDS THAT, UM, DON'T BUY AS MUCH GASOLINE. SO ALL OF THOSE THINGS ARE IMPACTING THE, UM, LEAGUE HAS HAD CONVERSATIONS WITH MEMBERS OF THE LEGISLATURE THAT WE NEED TO HAVE SOME SORT OF MECHANISM TO REPLACE SOME OF THOSE DOLLARS AND HAVE SOME SORT OF MECHANISM OF HAVING ELECTRIC VEHICLES, UM, PAYING SOMETHING IN TO HELP MAINTAIN ROADS, WHICH IS WHAT THIS, THIS HF DOLLARS IS FOR, IS TO HELP MAINTAIN ROADS. UM, AND THEY ARE USING THE ROADS. THERE'S BEEN IN THE LEGISLATURE'S MINE, MORE IMPORTANT THINGS TO DEAL WITH. AND SO THEY'VE KIND OF IGNORED THE, UM, LEAGUE IN THEIR COMMENTS OF YOU NEED TO BE LOOKING AT THIS. KATHY, THIS IS A QUESTION FOR ANDY. UM, IF SOMEBODY'S CONVERTING TO AN ELECTRIC VEHICLE AND THEY ARE, HAVE TO PUT THAT INFRASTRUCTURE IN THEIR GARAGE, IS A PERMIT REQUIRED FOR THAT? IT WOULD BE, YEAH. BUT THAT'S ACTUALLY A COMMUNITY DEVELOPMENT CODE. IT'S PART OF THE BUILDING CODE. TRUE. BUT I LOOKED AROUND IN THE ROOM AND THOUGHT YOU'D BE THE BEST ANSWER . SO THERE WAS A PERMIT REQUIRED. OKAY. UNLESS IT WAS ALREADY PRE-WIRED FOR IT OR THEY HAD A 50 AMP OR 30 AMP OUTLET. SOME PEOPLE HAVE THOSE IN THEIR GARAGES. IT'S MORE COMMON NOW AND YOU CAN DO A PLUG-IN ONE, BUT YEAH, A LOT OF THEM WOULD HAVE TO BE RETROFITTED. KATHY, YOU'RE TALKING ABOUT THE ELECTRICAL UPGRADE? IS THAT WHAT YOU YEAH, SO I GOT, YOU ACTUALLY HAVE TO PUT IN A RIGHT. OKAY. WHEN YOU JUST SAID HE'S PUT AN ELECTRIC CAR IN THE GARAGE, WAS THERE? NO, AN ELECTRIC CAR. ACHAR. A CHARGER. CHARGER. OKAY. CHARGER. I DIDN'T UNDERSTAND, THAT'S WHY. NO, NO. I DON'T THINK WE SHOULD CHARGE PEOPLE FOR PUTTING CARS IN THEIR GARAGES. YOU KNOW, PEOPLE WATCH, WE HAVE 80, 90 PEOPLE WATCHING THAT. I GET THE WRONG IDEA. IT IS, BUT IF THEY PUT AN ATV AND IT'S FREE YEAH. . BUT IF YOU, I THINK IT'S IMPORTANT THOUGH TO HEAR WHAT KURT SAID. IF YOU ALREADY HAVE THE WIRING YOUR HOUSE. OKAY. RIGHT. HOLY COW. WHO'S GONNA KNOW? OKAY, THOSE FINAL ONLY, RIGHT. OKAY. SORRY SHERRY, IT'S GETTING LATE. IT'S BEEN A LONG TWO DAYS. WELL, THREE, THREE DAYS. OH YEAH, THREE DAYS. I FORGOT ABOUT TUESDAY. YES. SO CARRY ON. SO, UM, THE ONE TIME GRANT INCREASE, 2 MILLION AND I'VE GOT LISTED THERE, SOME OF THE THINGS THAT WERE INCLUDED IN THE BUDGET C B G GRANT, THE, UM, OUR, OUR P GRANT WAS RELATED TO, UM, THE ONE C I P PROJECT THAT WE SAID WE'RE NOT GONNA GET THAT $450,000 THIS YEAR, MAYBE WE CAN GET FOR THE CONSTRUCTION. UM, SO THAT WILL BE COMING OUT, BUT IT'S IN THESE NUMBERS. UM, TRANSIT GRANTS, ARPA FUNDING, THE CONGRESSIONALLY DIRECTED FUNDING. UM, SO ALL THAT'S BUILT INTO THERE. UM, THE MICRO TRANSIT OPERATIONAL ASPECT GRANT, SO WE'VE ADDED THAT IN 154,000. UM, WE'VE ADDED IN SHORT TERM RENTAL PERMIT FEES, 236,000. DOES THAT GO BACK INTO THAT PROGRAM OR THAT GO INTO THE GENERAL FUND? WELL, IT GOES INTO THE GENERAL FUND, BUT WE ACCOUNT FOR IT AS, UM, COVERING THE COST OF THAT PROGRAM AND IT'S NOWHERE NEAR COVERING THE COST, I WOULD THINK ACTUALLY IT'S MORE THAN [05:50:01] COVERING THE COST. OH, HOW NICE. OKAY. SO FOR TIME BEING, SO WE'VE, WE'VE HAD CONVERSATIONS ABOUT WE NEED TO LOOK AT LIKE ARE THERE OTHER COSTS THAT NEED TO BE ALLOCATED TO THAT PROGRAM? CUZ WE'RE, WE, WE NEED TO HAVE IT JUST COVER THE COSTS. I JUST, AND I CAN'T TAKE TAKE CARE OF THAT. I DON'T SEE HOW WE ARE HAVING ONE PERSON DO THAT MONUMENTAL TASK, BUT THAT'S FOR ANOTHER DAY. SO, UM, WE'RE ESTIMATING WITH SOME OF, UM, THE POTENTIAL LARGE, UM, DEVELOPMENT PROJECTS, THE DEVELOPMENT IMPACT FEES. SO OUR ESTIMATION OF INCREASING 415,000 THERE, UM, AS I MENTIONED, UM, YESTERDAY MORNING THAT WE DO HAVE, UM, CARRIE MEYER IS PART OF THE COMMITTEE, THE SMALL COMMITTEE, WE HAVE TO REVIEW OUR REVENUE ASSUMPTIONS. SO SHE HELPS WITH SOME OF THAT, UM, THE OFFSETTING SIDE ON THE, IN THE IT INTERNAL CHARGES. UM, SO IT REFLECTS AS REVENUES INTO THAT FUND FOR IT. SO THE SAME 246,000 INCREASE THERE, UM, THE INVESTMENT EARNINGS INCREASE. SO I AM PREDICTING, UM, QUITE A BIT MORE, UM, FOR THE INVESTMENT EARNINGS, HOPEFULLY, UM, WITH A, AN ADVISOR ON BOARD, BUT ALSO BECAUSE OF, UM, THE CHANGE IN THE INVESTMENT IN THE INTEREST RATE ENVIRONMENT. AND, UM, WE'VE ALREADY RECOGNIZED THE UNREALIZED LOSS, UM, ON THE INVESTMENT. SO, UM, HOPING TO SEE THAT THAT INCREASE AND THEN JUST OTHER MISCELLANEOUS DECREASES, UM, TO GET TO OUR FISCAL YEAR 24 BUDGET. UM, SO HERE IS THE, UM, UPDATED INFORMATION. SO THIS IS DIFFERENT FROM WHAT'S IN YOUR SLIDE I JUST SENT OUT JUST THE OTHER DAY, UM, APRIL SALES AND BED TAX REVENUE NUMBERS. UM, SO HERE IS THAT SUMMARY OF WHAT I HAD SENT TO YOU. THE APRIL, UM, AMOUNTS DID, SO 6% INCREASE IN, UH, THE SALES TAX AND BASICALLY FLAT FOR, UH, BED TAX FOR APRIL. UM, AND LAST YEAR WAS, WAS REALLY KIND OF OUR BOOM YEAR, BUT IT HAD STARTED COMING DOWN IN, UH, FEBRUARY AND MARCH COMPARED TO PREVIOUS YEARS AS BEING NOT QUITE AS SIGNIFICANT OF A BOOM, BUT STILL HIGHER THAN THE YEAR BEFORE. UM, YOU, YOU DO SEE THAT, UM, IT WAS, IT'S MOSTLY BEEN DOWN, UM, IN, IN THE BEGINNING PART OF THE YEAR FOR THE YEAR SO FAR DOWN IN BOTH CATEGORIES, 3%. SO A LITTLE BIT DOWN. I AM REFLECTING IN MY ESTIMATIONS DOWN FOR THE REMAINDER OF THE YEAR AND DOWN A LITTLE BIT MORE IN NEXT YEAR FOR, UH, POTENTIAL RECESSION. UM, BUT I DO THINK THAT, UM, JUST IN SOME OF THE THINGS THAT I'VE HEARD THAT, UM, SOME OF THE BUSINESSES ARE, ARE DOING SOME OF THEIR OWN ADVERTISING, THEY'VE RAMPED UP SOME OF THAT. SO I THINK THAT'S, UM, PART OF IT. BUT THERE WAS ALSO IN THE EMAIL THAT I HAD SENT, UM, WITH THIS INFORMATION ABOUT SOME, UM, DELINQUENCIES THAT MAKE THIS, UM, LOOK LIKE THAT SOME OF THE PERCENTAGES IN MARCH AND APRIL ARE A LITTLE BIT HIGHER. UM, BUT IF PEOPLE HAD PAID MORE TIMELY THEN YOU, IT WOULDN'T HAVE SHOWN SOME OF THESE INCREASES. UM, THIS IS, UM, ON THE SALES OF BED TAX REVENUE WHEN THEY REPORT TO AOR THEIR INFORMATION, LIKE IT'S REALLY, UNLESS AOR PULLS IT FOR AN AUDIT OR IF THEY SEE SOMETHING THAT JUST REALLY DOESN'T LOOK RIGHT, THEY'RE JUST RELYING ON WHATEVER PEOPLE ARE REPORTING. SO IF THEY MISREPORT SOMETHING LIKE THEY, UH, INTENDED TO SAY THAT THEY WERE FILING FOR APRIL OF 2023, BUT THEY PUT IN THE DATE APRIL, 2022, THAT'S WHERE IT GOES. SO IT, YOU KNOW, IT'S, IT'S ONLY AS GOOD AS THE INFORMATION THAT'S COMING IN. UM, AND THERE'S A LOT OF TIMES WHERE SOME OF THAT STUFF WE CAN'T TELL FROM THE DATA WE GET FROM THEM THAT IT WAS MISREPORTED. UM, SOMETIMES JUST THE NUMBERS LOOK UNUSUAL AND WE KNOW, BUT FOR THE MOST PART I THINK MOSTLY IT'S, IT'S DECENT ENOUGH DATA AND THEN THAT'S HOW WE CAN TELL BECAUSE WE KNOW THAT IF SOMEBODY DIDN'T PAY IN MARCH AND THEN WE SEE THAT THEY'RE FILING IN APRIL SAYING THAT IT'S UM, FOR MARCH DATA AND THEY HADN'T PAID MARCH. WE THINK THAT'S ACCURATE INFORMATION, UM, THAT WE'RE GETTING. SO, UM, SO YOU COULD SEE ON THE BAR CHART THAT WE WERE DOWN A LITTLE BIT IN SOME OF THE MONTHS AND THEN STARTING TO COME UP, UM, A LITTLE BIT. MAYBE IT'LL BE THE SAME FOR MAY. UM, AND EVEN INTO JUNE. I THINK SOME OF US FEEL LIKE THAT THE TRAFFIC HAS MAYBE BEEN ENOUGH TO SHOW THAT THAT JUNE HAS GOT SOME, SOME TOURISTS HERE. UM, AND MAYBE THE NUMBERS WILL LOOK PRETTY DECENT. SO, UM, ONE OF THE THINGS THAT I DID WANNA ASK, SO, UM, WE HAVE [05:55:01] SLATED FOR THE JUNE 27TH MEETING TO TALK ABOUT THIS REPORT, BUT DO YOU NEED ADDITIONAL CONVERSATION OR DO YOU WANNA SAVE THAT ON AND NOT INCLUDED ON THE JUNE 27TH AGENDA? ANY DISCUSSION THAT, THAT YOU FEEL LIKE WE NEED TO HAVE NOW? UH, I'M A LITTLE CONFUSED WHAT YOU JUST MEANT. SO WE WERE ASKED TO, TO COME, UH, REGULARLY TO COUNSEL TO PRESENT ON MONTHLY INFORMATION AND UM, SO WE HAVE SCHEDULED TO TALK ABOUT THIS REPORT ON AP ON JUNE 27TH. I THINK IT'S COVERED. YEAH. SO WE DON'T NEED TO COME TO 27TH SO WE CAN TAKE THAT OFF THE AGENDA. KAREN, THIS WAS COUNCILOR FURMAN'S REQUEST. OH, I SEE. UNDER SEE FUTURE AGENDA ITEMS A CO SEVERAL MONTHS AGO. WE HAVE NOT BEEN ABLE TO SCHEDULE IT SIMPLY BECAUSE SHERRY HAS BEEN SO INUNDATED WITH BUDGET AND SO THAT'S WHY IT WAS SCHEDULED FOR THE 27TH. BUT WE JUST WANTED TO ASK THE QUESTION IN LIGHT OF WHAT WE'RE ABLE TO COVER DURING THE BUDGET WORK SESSIONS OR WERE YOU LOOKING FOR SOMETHING ADDITIONAL IN THAT CONVERSATION? I THINK I'M LOOKING FOR A MORE, YOU HAVE OTHER GOOD CHARTS AND THEN I'D ACTUALLY WOULD ENJOY SOMEHOW HAVING THE CONVERSATION OF WHAT OTHER DATA THAT WE SEE THAT COMES FROM THE CHAMBER PERHAPS. I THINK THERE'S A MUCH RICHER CONVERSATION TO BE HAD. THIS WAS A GOOD LEVEL FOR THE BUDGET. I THINK THERE'S MORE CONVERSATION THAT WE CAN HAVE AND IT INFORMS OUR PUBLIC WHO IS NOT REALLY WATCHING THE BUDGET PROCESS TODAY, BUT IF WE AGENDAS, UH, THERE MIGHT BE MORE PEOPLE ACTUALLY PAYING ATTENTION TO THIS KIND OF CONVERSATION. KATHY, WOULD YOU ENTERTAIN PUSHING THAT OUT FURTHER SO THAT THE INFORMATION THAT COMES WOULD BE AT LEAST MORE UPDATED? SINCE WE HAVE INFORMATION NOW AND IT'S UP TO A POINT IN TIME? I DON'T KNOW THAT THERE'LL BE A LOT MORE NEW INFORMATION TO GET IN JUNE IF WE GET GET ONE IN JUNE, WE WOULDN'T GET ONE FOR ANOTHER SEVERAL MONTHS. I WOULD RATHER JUST WAIT AND GET MORE RELEVANT INFORMATION FURTHER OUT. IS THAT SOMETHING THAT YOU WOULD ENTERTAIN? I THINK I'M OPEN TO THAT. IT'S ALWAYS THREE MONTHS LATE, BUT, UH, BUT WE'VE KIND OF SEEN THIS CHART TODAY. WE DIDN'T SEE THE OTHER CHARTS. I THINK I'D BE OPEN TO THAT ON JUNE IS IS CRAZY , SO YEAH. RIGHT. SO MAYBE, MAYBE SEPTEMBER. SURE. OKAY. AND EITHER THAT OR WOULD YOU BE LOOKING MORE TOWARD JUST A, UH, ROBUST CONVERSATION WITH SHERRY IN A OFFICE ONE AFTERNOON IF NO, THIS IS A PUBLIC CONVERSATION I WANT TO HAVE. I JUST WANNA BE SURE OF PEOPLE. I JUST WANTED TO BE SURE AND JESSICA, YOU HAD SOMETHING YOU WANTED TO SAY. NO, I'M FINE WITH, WITH WHATEVER PETE AND KATHY WORK OUT. I'M I'M FINE PUTTING IT OFF. AND I UNDERSTAND PETE'S DESIRE TO, TO HAVE ANOTHER WAY TO TRY AND INFORM THE PUBLIC, WHICH REMAINS AS ALL OF US DO. . NO, AND I JUST WANNA BE SURE YOU UNDERSTOOD HIS GREATLY CONFUSED ABOUT, ABOUT THIS PARTICULAR THING. AND SO I THINK SEPTEMBER IS FINE WITH ME. OKAY, KATHY? YEAH, I THINK FOR ME IT, IT IT'S, UM, HAVING ONE AND A HALFWAY POINT BETWEEN NOW AND WE GO INTO JANUARY WOULD BE REALLY VALUABLE. SO SEPTEMBER, OCTOBER. THAT, THAT LOOKS GOOD FOR ME BECAUSE, UM, I I THINK WE SHOULD HAVE IT PERIODICALLY AND I THINK THAT WOULD BE A GOOD POINT BEFORE WE START DIGESTING INFORMATION AGAIN IN JANUARY WHEN WE GO INTO RETREAT. SO THAT'S WHAT I'M SUGGESTING. AND I ALSO AGREE IT WOULD BE VERY GOOD. I JUST WANT TO CLARIFY WHAT YOU'RE LOOKING FOR, BUT NOW THAT WE'RE TRANSITIONING AWAY FROM THE, THE CHAMBER OF COMMERCE AND TOURISM BUREAU TO OUR OWN, THESE NUMBERS MIGHT HELP. EVEN IF WE DO IT EVERY THREE MONTHS OR YOU KNOW, WE DO IT QUARTERLY OR UH, EVERY HALF YEAR TO SHOW HOW WE ARE DOING IT MIGHT HELP. SO I THINK IT'S REALLY A GOOD SUGGESTION. SO THANK YOU VERY MUCH. UH, MAYOR? YES, VICE MAYOR WAS FIRST. OKAY. I I JUST WANTED TO ECHO WHAT, WHAT PETE WAS SAYING, CUZ WE WERE ALL AT THE LODGING COUNCIL MEETING THE OTHER DAY AND WHAT THE CHAMBER REPORTED FOR APRIL NUMBERS. IS IT VARIANCE WITH WHAT YOU'VE REPORTED FOR APRIL NUMBERS? AND I KNOW THERE'S SOME TWEAKS BECAUSE THERE'S, THERE'S CATCH UP FROM UNDER REPORTED IN PRIOR MONTHS, BUT IT'S STILL SIGNIFICANTLY DIFFERENT UP OR DOWN. CAN YOU SHARE THAT? WE SEE MORE MONEY IN OUR BED TAX REVENUE THAN THEY'RE REPORTING AS OCCUPANCY. AND, AND SO THAT'S WHERE THE, AS THAT'S REPORTED TO THE BUSINESS COMMUNITY, THEY THINK THEY'RE IN WORSE SHAPE THAN THE ACTUAL REVENUE COMING INTO THE CITY COFFERS WOULD SHOW AND INDIVIDUAL BUSINESSES ASIDE, YOU KNOW, WE'RE JUST TALKING ABOUT A WHOLE COMMUNITY AND IT'S THAT RECONCILIATION WE'VE BEEN TRYING TO GET FOR QUITE A NUMBER OF YEARS. SO, CAN I ASK SHERRY? WELL, I CAN ASK SHERRY. UM, I DON'T, I'M GUESSING THAT THE CHAMBER WAS GETTING [06:00:01] THE INFORMATION FROM THE OFFICE OF TOURISM, ARIZONA OFFICE OF TOURISM. NO. WERE THEY, WERE THEY GETTING AOR SMITH TRAVEL RESEARCH IS BUT'S TWO DAYS AND YOU'RE GETTING YOUR INFORMATION FROM AOR OR FOR OCCUPANCY AND NO, NO, AS FAR AS THE, THE TAX COMING IN THE, THE, YEAH, SO THE TAX REVENUE, I'M USING ACTUAL BANK DOLLARS INFORMATION. NO, I, I GET IT. BUT AS FAR AS LIKE OCCUPANCY AND YOU WOULDN'T GET THAT. THE ROOM RATE, I GET THAT FROM THE CHAMBER. WHO GETS IT FROM SMITH TRAVEL RESEARCH. I'M JUST SEEING, TRYING TO FIGURE OUT WHY THERE'S SO MUCH, BUT NOW I UNDERSTAND WHY THERE'S A DIFFERENCE, BRIAN. WELL, PART OF THE DIFFERENCE IS, IS THAT THE CHARTS HERE ARE HOTELS AND, UH, STRS AND THE CHAMBER BREAKS THOSE OUT. THEY THAT TOO SEPARATELY. THEY DON'T NECESSARILY PROVIDE BOTH. IN FACT, THEY REALLY JUST ANCHOR OFF OF TRADITIONAL LODGING. UH, A QUESTION FOR COUNCILOR PETE OVER THERE. OBVIOUSLY WE TALKED ABOUT WANTING TO HAVE THIS KIND OF CONVERSATION DURING COUNCIL MEETINGS. I THOUGHT WE WERE THINKING MONTHLY, NOT QUARTERLY. UH, I, I THINK WHEN WE HAD THAT CONVERSATION, KAREN HAD SUGGESTED QUARTERLY AND YOU KNOW, I'M, I'M OPEN, I I WANNA GET INTO A PRACTICE. YEAH. AND I ACTUALLY WANT THE PRACTICE TO START REGARDLESS OF WHEN WE'RE GONNA GET OUR CONTRACT IN, GET THAT DATA GOING. SO LET'S TALK ABOUT WHATEVER DATA THAT WE'VE GOT, BUT SOMEDAY IT'LL BE ENHANCED DATA AND WE'LL EVEN FEEL BETTER ABOUT THIS CONVERSATION AND, AND WE CAN REVISIT, YOU KNOW, QUARTERLY OR MONTHLY LATER. I'M OKAY WITH OUR CURRENT EFFORT BECAUSE THERE'S CERTAIN THINGS THAT WE DO ONCE A MONTH ALREADY THAT I WOULD JUST ASSUME NOT DO ONCE A MONTH. BUT , UM, THIS WOULD BE ONE THING THAT I THINK IS A BIT MORE RELEVANT. SO, SO, UH, I'LL LET IT LIE FOR NOW. THANK YOU. ALL RIGHT. LET ME ASK YOU THIS QUESTION JUST TO GET YOUR TASTE. IS THIS SOMETHING KAREN, KAREN WANTS TO WEIGH IN? OKAY. , I WAS JUST GONNA SAY, IS THIS SOMETHING, SOMETHING WE CAN GET LIKE A A A MONTHLY REPORT ON A, A DASHBOARD KIND OF THING? YOU GET A MONTHLY REPORT? WELL, FROM SHERRY, BUT YES, WE DO. WE DO. I'M CERTAINLY NOT OPPOSED TO PERIODICALLY IZING IT, BUT OUR MEETINGS TUESDAY NIGHT'S MEETING WENT TILL 11:30 PM RIGHT. THEY DON'T ALL GO THAT LATE. I REALIZE THAT. BUT SHERRY AND HER TEAM, I, I'M, I'M SENSITIVE TO ADDITIONAL, PUTTING ADDITIONAL REQUIREMENTS ON STAFF TO BE HERE LATE INTO THE EVENING FOR ADDITIONAL PREPARATION, PRESENTATIONS, DISCUSSION AND OFTEN ADDITIONAL DIRECTION. MM-HMM. THAT COMES OUT OF IT. SO I I'M, I I'M JUST STRUGGLING RIGHT NOW WITH WORKLOAD LEVELS AND RESOURCES AND HOW TO PRESERVE THE SANITY OF OUR STAFF. GOOD POINT, KATHY. YEAH, YEAH, I GET THAT. AND WE GET THE INFORMATION, WE GET A MONTHLY REPORT FROM SHERRY. IT'S, I JUST HAD IT UP. IT'S GOT IT'S CHOCK FULL OF INFORMATION. MM-HMM. THE ISSUE IS THAT WE'VE HAD, WE DON'T HAVE, IT'S NOTHING A WAY TO BE IN THE PUBLIC DIALOGUE, WHICH WE'RE LOOKING FOR A SUGGESTION ON THE BEST WAY TO GET IT IN THERE BECAUSE IT'S BEEN REPRESENTED A CONTRARY STORY PREVIOUSLY HAS BEEN REPRESENTED. NOW THE OPPORTUNITIES FOR THAT CONTRARY STORY, WHEN I SAY STORY, I'M TALKING ABOUT NUMERIC STORY, RIGHT. THAT, THAT HAS, IS GOING TO NOT BE AROUND THAT AS MUCH ANYMORE, UM, BECAUSE OF THE CONTRACTUAL RELATIONSHIP THAT HAS CHANGED BETWEEN US AND THE CHAMBER. BUT THERE'S STILL, I, IF THERE'S INFORMATION THAT'S BEING PUT OUT THERE AND WE HAVE INFORMATION THAT'S CON CON CONTRADICTORY OF IT, HOW DO WE RECONCILE THAT? HOW WE RECONCILE THAT IN A WAY THAT'S ASSURING TO THE PUBLIC? CUZ AND THAT'S THE QUESTION THAT I THINK WE'RE TRYING TO ADDRESS. SO THE INFORMATION IS THERE, WE GET IT BECAUSE IT'S NOT IN A PUBLIC WAY. WE GET QUESTIONED ON IT THAT IT'S NOT VALID. WE KNOW IT'S VALID. UM, WE NEED A WAY OF DOING THAT. SO I THINK A QUARTERLY PRESENTATION BASED ON THE INFORMATION YOU'RE ALREADY PROVIDING US IS, IS SOMETHING THAT IS PROBABLY NECESSARY FOR COMMUNITY DIALOGUE. MAYOR, SORRY, KAREN. YES, KAREN. YOUR, YOUR, UH, RESPONSE IS COMPELLING. SO THANK YOU FOR THAT AND I APPRECIATE THAT AND, UH, FOR SHARING AND STAFF. SO I CAN APPRECIATE, YOU KNOW, GOING ON A QUARTERLY BASIS. I THINK ALSO ONCE SYMPHONY IS IMPLEMENTED, I MEAN IT'S GOING TO ACTUALLY DO THE COMBINATION OF THE EFFECT OF STRS AND TRADITIONAL LODGING TO BE ABLE TO SEE A UNIFIED VIEW. I DON'T EVEN KNOW IF THERE'LL BE NEED FOR, I DON'T KNOW HOW MUCH NEED, UH, I'D LIKE TO THINK MAYBE NOT EVEN ANY, BUT THAT'S PROBABLY BEING OVERLY OPTIMISTIC. [06:05:01] BUT, UM, YOU KNOW, THAT DASHBOARD REPORT THAT WE'RE EXPECTING THAT WE'RE GONNA GET SHOULD STAND ON ITS OWN VERY, VERY WELL, I WOULD HOPE. CERTAINLY THE MORE WE GET MORE COMFORTABLE WITH IT. SO THAT'S WHAT I WOULD DO. UH, JESSICA, AND THEN WE'RE GONNA MOVE ON. I'M PERSUADED BY WHAT KAREN SAYS. I MEAN, WE HAVE A DASHBOARD NOW THAT GIVES A TREMENDOUS AMOUNT OF INFORMATION. IT REQUIRES A BIT OF EFFORT BY RESIDENTS, I GUESS BY QUESTION UNDERLYING THIS WHOLE THING IS HOW MUCH INFORMATION THAT THE CITY HAS ON VIRTUALLY EVERYTHING WE DO. DO WE HAVE TO SPOON FEED AT A COUNCIL MEETING? AND THAT I THINK IS A REAL QUESTION THAT I THINK WE SHOULD CONSIDER. IS THAT REALLY THE BEST USE OF COUNCIL MEETINGS? UM, OR IS THAT SOMETHING THAT MAYBE IS A ROAD SHOW, UM, THAT COUNCIL PUTS ON INSTEAD? UM, I'M VERY SENSITIVE AND I'M ALSO SENSITIVE TO THE LENGTH OF MEETINGS. THIS KIND OF PRESENTATION IS GONNA TAKE HOURS EVERY, I MEAN QUARTERLY, MONTHLY, YEARLY, WHENEVER. AND SO I DON'T REALLY WANNA GO TILL 11 O'CLOCK AND I DON'T REALLY SEE A REASON TO, TO ADD THINGS. AND SO I UNDERSTAND THAT THERE IS AN INTEREST ON THIS COUNCIL OF PROVIDING MORE INFORMATION FOR, AT THIS PARTICULAR FORUM TO OUR RESIDENTS. I WANNA GO BACK TO WHAT COUNCILOR KINSELLA INDICATED, WHICH IS THERE ANOTHER WAY TO DO IT OTHER THAN WE HAVE TO DO THIS, WE ALREADY HAVE THE INFORMATION. WE'RE JUST DOING THIS ACCORDING TO WHAT I HEAR, SO THAT WE CAN HAVE OUR FULL COUNSEL TECHNICAL DISCUSSION IN FRONT OF A LARGER AUDIENCE. I'M NOT SURE THAT MAKES SENSE. SO WHEN THE INFORMATION IS ALREADY THERE AND WE GET IT, SO I'M JUST SAYING OKAY. UH, UH, UH, UH, SEPTEMBER IS FINE WITH ME, BUT I WOULD LIKE TO REVISIT THIS AS AN ISSUE, AS A POLICY ISSUE FOR THE COUNCIL AS TO WHAT, WHAT OUR ROLE OKAY. IN TERMS OF A MEETING REALLY SHOULD BE. OKAY. I'M DONE. THANK YOU. NO, I, AND I THANK THAT YOU VERY COMPELLING TO ME AS WELL. SO MY SUGGESTION, SEE IF THERE'S ANY DI UH, ANY APPETITE FOR QUARTERLY OR EVEN MONTHLY, WE HAVE COMMUNICATIONS PEOPLE WHO ARE DOING A FANTASTIC JOB. MM-HMM. PRINT, PUT THAT REPORT UP ON FACEBOOK, SOCIAL MEDIA. IS THAT, UH, EVEN A PO POSSIBILITY? CUZ IT, IT'S VERY COMPELLING, THE INFORMATION OR WHAT WE'RE GOING TO BE GETTING FROM, UH, THE, THE CONSULTANT, WHATEVER THE COMP. WHAT'D YOU SAY? SYMPHONY. SYMPHONY PRODUCT. OKAY. SYMPHONY IS THE PRODUCT. SYMPHONY IS A CUSTOMIZED, ROBUST SOFTWARE SYSTEM THAT THEY, WELL I HAVEN'T SEEN IT, SO I, THEIR IMPLEMENTATION WORKING ON A FULL-TIME IMPLEMENTATION IS A SIX WEEK TIMEFRAME BEFORE WE'D BE UP AND RUNNING. I'M SAYING IN THE FUTURE, WHO'S, WHO'S, SO AT THIS POINT I'M NOT SURE WHEN SYMPHONY IS GOING TO LAUNCH BECAUSE THERE DOES TAKE AN EXTENSIVE AMOUNT OF SETUP IN ORDER TO GET IT TO, TO THAT POINT. MM-HMM. , UM, SHERRY'S REPORTS ARE COMPREHENSIVE. THERE IS A LOT OF INFORMATION THAT IS NOT A SOCIAL MEDIA POST DIGESTIBLE. OKAY. I'M JUST THROWING, MAKING SUGGESTIONS, CONTENT NOW WE COULD LINK TO IT. OKAY. WE COULD SAY IF YOU'RE INTERESTED, YOU KNOW, THIS IS WHERE IT IS, HERE'S THE, HERE'S WHERE YOU FIND IT ON OUR WEBSITE AND LINK TO IT. AND IF PEOPLE ARE INTERESTED IN, IN DOING THAT, THEN, THEN FANTASTIC. I'M INTEREST IN DOING ANYTHING. I'M JUST LOOKING FOR SOME ALTERNATIVE. I I GET IT. I UNDERSTAND WHAT PETE'S POINT IS. I DON'T REALLY KNOW HOW MANY PEOPLE REALLY WOULD HAVE AN INTEREST IN IT, BUT I UNDERSTAND. I'M TRYING TO SHOW A COMPARISON THAT WE'RE HOPEFULLY WE'LL BE DOING A BETTER JOB AND WE'LL, BECAUSE ALREADY OUR INFORMATION IS MORE ACCURATE THAN WHAT WE'VE BEEN HA UH, FROM WHAT IS OUT IN OTHER PLACES. OKAY. SO I'LL LEAVE IT AT THAT. SO, WELL, I'D LIKE TO KNOW WHETHER OR NOT WE'RE DIRECTING THE CITY MANAGER TO HAVE ONE OF THESE THINGS IN SEPTEMBER. WHAT'S THE, UH, TO HAVE ONE OF THESE THINGS? WHAT, UH, A PRESENTATION. A A PRESENTATION? UH, FOR AT COUNCIL. OKAY. IF I COULD JUST SUGGEST, SO WE WOULD HAVE INFORMATION THROUGH JUNE, UM, THAT WE COULD EITHER DO THE SECOND MEETING IN AUGUST OR THE FIRST MEETING IN SEPTEMBER AND, AND ACTUALLY GO THROUGH LIKE FULL YEAR INFORMATION THROUGH JUNE. OH, THAT'S A GOOD, ONCE A YEAR I THINK IS A GREAT IDEA. ONCE A YEAR WOULD BE GOOD. ONCE A YEAR THROUGH THE I KNOW YOU, I MEAN, I'M JUST SAYING SOMETHING DIFFERENT. I'M SAYING, UM, I HAVE TO MAKE THAT DECISION AT THIS TIME. NO, WE DON'T . SO WE'RE ALL, EVERYBODY WANTS TO DO, [06:10:01] UH, AUGUST, SEPTEMBER ONE. YEAH. LET'S JUST SCHEDULE THE NEXT ONE AS SHERRY JUST SAID, AND WE, AND LEAVE IT. THAT WOULD BE A YEAR END THAT RIGHT, RIGHT. REVIEW, WHICH WOULD BE GREAT. AND THEN WE CAN DISCUSS THIS. WE REALLY SHOULD AT POLICY RETREAT, RIGHT? VICE MAYOR SHERRY. I THINK THREE DAY RETREAT. AN EIGHT DAY RETREAT. OKAY. ADVICE MAY HAS BEEN RECOGNIZED. PLEASE REMIND ME THE DATE. WE'RE GOING TO APPROVE THE BUDGET IN AUGUST. UM, THE EIGHTH. THE FIRST MEETING IN AUGUST. YES. SO IT WOULD BE, I THINK THAT'S, IT WOULD BE GOOD TO HAVE A REVIEW OF LAST YEAR AS WE'RE APPROVING THIS YEAR. YES, WE CAN, WE CAN DO THAT. AND YOU DO A SUMMARY. THIS, THIS HAPPENS TO BE ONE OF THE CHARTS, BUT YOU DO A SUMMARY. I THINK A SUMMARY IS THE RIGHT LEVEL. MM-HMM. AND THEN IF PEOPLE ARE INTERESTED IN THE DETAILS THEN IT'S AVAILABLE AND THEY CAN POUR OVER THE DETAILS. BUT THE SUMMARY REALLY PROVIDES TO ME PRETTY ADEQUATE INFORMATION AS TO THE BIG PICTURE. MM-HMM. . OKAY. OKAY. SO IS THAT WHAT WE'RE LOOKING FOR FOR, UH, AUGUST OR SEPTEMBER? KEEP IN MIND THAT WEEK'S PERIOD, WHETHER IT WOULD BE RIGHT BEFORE WE GO ON A RETREAT OR SOMETIME AFTER THE RETREAT IN SEPTEMBER, HOWEVER IT WORKS WITH RETREAT IN SEPTEMBER. RETREAT IS JANUARY. IT'S JANUARY. YOU'RE TALKING ABOUT THE LEAGUE TO THE LEAGUE CONFERENCE. I APOLOGIZE. YES. SO I'LL JUST LEAVE IT TO KAREN TO DO HOW IT WORKS WITH STAFF OR AS WE MOVE FORWARD. OKAY. OKAY, MOVING ON PLEASE. UM, SO, UM, WE HAVE A CATEGORY THAT IS FOR TRANSFERS IN BETWEEN FUNDS. THESE ARE NOT COUNTED FOR IN REVENUES OR EXPENDITURES. THEY'RE SEPARATELY, UM, IDENTIFIED. UM, SO WE HAVE ACROSS THE TOP LINE TRANSFERS COMING OUT OF THE GENERAL FUND TO OTHER FUNDS OF 10.6 MILLION. SO, UM, THE TRANSFER TO THE STREETS FUND, UM, INCLUDES THE ESTABLISHMENT OF AN OPERATING RESERVE FOR THE STREETS FUND. UM, THE HOUSING FUND TRANSFER INCLUDES, UH, ADDITIONAL MONEY TO COVER, UM, THE, UM, POTENTIAL INCREASE FOR SUNSET LOFT. SO AN ESTIMATE OF TWO MILLIONS IF, IF COUNCIL CHOOSES TO COVER THAT COST. UM, SO THAT'S INCLUDED IN IT. WE HAVE AN ONGOING TRANSFER THAT WE DO FROM GENERAL FUND TO THE CAPITAL IMPROVEMENTS FUND, A 2.5 MILLION. UM, OTHER THAN GRANTS AND, UM, UM, MONEY FROM THE FLOOD CONTROL DISTRICTS AND OCCASIONALLY SOME COST SHARING, UM, PARTICIPATION FROM OTHER ENTITIES IN A CIP PROJECT. IT REALLY MAINLY RELIES ON THESE TRANSFERS FROM THE GENERAL FUND, UM, PUBLIC TRANSIT. SO, UH, WE DO A TRANSFER FROM THE GENERAL FUND. WE, WE WANTED TO CONSOLIDATE ALL TRANSIT ACTIVITY INTO ONE FUND. SO THE VERDE SHUTTLE IS INCLUDED IN THAT FUND, BUT WE'RE STILL USING GENERAL FUND DOLLARS TO COVER THOSE COSTS. SO WE'RE TRANSFERRING GENERAL FUND DOLLARS TO THE TRANSIT FUND. UM, THE WASTEWATER FUND 3.1 MILLION AND THEN THERE'S TWO MORE YEARS AFTER THIS THAT THERE WOULD BE THE SUBSIDY, UM, TO THE WASTEWATER FUND. AND THEN WE'RE AT THE POINT WHERE THERE IS NO MORE SUBSIDY. UM, THERE IS STATE STATUTE THAT SAYS THAT THE WASTEWATER FUND NEEDS TO BE SELF-SUPPORTING. AND SO, UM, WE HAVE, UM, KURT IS RELUCTANTLY AGREED, AT LEAST WE HAVE THIS PLAN TO GET TO A POINT TO WEANING OFF THE SUBSIDY SO THAT WE'RE NOT, UM, THAT WE CAN GET TO THAT SELF-SUPPORTING. SO, UM, AND THEN, UM, SMALL AMOUNT FOR THE INFORMATION TECHNOLOGY, UM, UH, FUND RELATED TO, UM, THE PAID PARKING PROGRAM AND SOME OF THOSE COSTS THAT ARE IN THAT FUND AND HAVING THOSE REVENUES COVER THAT COST, THE, UM, GRANTS AND DONATIONS AND RESTRICTED FUNDS, WE DO SHOW A TRANSFER SMALL AMOUNT TO WASTE WATER FOR, UM, THE REMAINDER OF ARPA MONEY THAT WOULD BE GOING TOWARDS THAT, UH, MAJOR, UM, LIST STATION, UM, UPGRADES PROJECT. THE UM, TRANSPORTATION SALES TAX FUND. SO THIS IS THE FUND WHERE WE ACCOUNT FOR THE HALF CENT SALES TAX THAT GOES TOWARDS TRANSPORTATION, UM, PROJECTS. SO THERE'S, UM, 4.2 MILLION THAT WOULD GO FROM THAT FUND TO THE CAPITAL IMPROVEMENTS FUND, WHERE THE ACTUAL CAPITAL IMPROVEMENT COSTS ARE RECORDED FOR SIM PROJECTS. UM, THAT, UH, TRANSPORTATION SALES TAX WAS ALSO INTENDED TO COVER TRANSIT ACTIVITIES. SO IT [06:15:01] INCLUDES COVERING THE OPERATING COSTS FOR, UM, TRANSIT, WHICH AT THIS POINT IT'S TRAILHEAD SHUTTLE AND ADMINISTRATIVE COSTS. AND, UM, AND THEN THE CIP PROJECTS WITHIN THAT FUND. UM, FROM THE CAPITAL IMPROVEMENTS FUND, THERE IS A $4.5 MILLION TRANSFER TO DEVELOPMENT IMPACT FEE FUNDS. WHAT THIS IS, IS TRANSFER OF BOND PROCEEDS. SO THE, THE 25 MILLION THAT WE GOT FROM THE BONDS, UM, FOR SIM PROJECTS, UM, ALL WENT INTO THE CAPITAL IMPROVEMENTS FUND. THERE ARE SOME OF THOSE PROJECTS THAT ARE PARTIALLY FUNDED BY DEVELOPMENT IMPACT FEES, AND SO WE'RE USING PART OF THE BOND PROCEEDS TO COVER THOSE COSTS FOR NOW. UM, AND SO TRANSFERRING PART OF THOSE TO THE DEVELOPMENT IMPACT FEES AND THE DEVELOPMENT IMPACT FEES WILL BE SHARING IN THE DEBT SERVICE PAYMENTS TO PAY OFF THE BONDS. THE, UH, AMOUNT FROM THE CAPITAL IMPROVEMENTS FUND TO THE ART AND PUBLIC PLACES HAS TO DO WITH OUR REQUIREMENT OF PUTTING 1% OF, UM, CAPITAL PROJECTS. UM, THIS IS BASICALLY JUST ANYTHING FUNDED WITH OUR CAPITAL RESERVES. NONE OF THE RESTRICTED FUNDING SOURCES PAY THIS 1%. IT'S, IT'S ONLY THE, THAT UNRESTRICTED CAPITAL RESERVES PORTION THAT CONTRIBUTES, I'M SORRY, THAT CONTRIBUTES THE 1%, UM, TO THAT FUND. UM, AND I HAD MENTIONED YESTERDAY, UM, THE COST FOR VERDE SHUTTLE IS, IS GOING UP. SO WE, WE WILL BE ADJUSTING THE TRANSFER FROM GENERAL FUND TO, UH, PUBLIC TRANSIT. ANY QUESTIONS BEFORE SHE, SHE GOES ON. NO. OKAY. OKAY. OKAY. SO NEXT I WANNA GO THROUGH THE FUND SUMMARIES. UM, SO IN YOUR BOOK, THERE'S A, A TAB FOR EACH ONE OF THOSE FUNDS SO THAT YOU CAN LOOK AT THE, THE FUNDS AS A WHOLE. WHAT I'M GONNA GO THROUGH ON THE SLIDES IS REALLY THE, UM, WHAT IS THE BOTTOM LINE FOR THE FUNDS, UM, AND WHERE THEY STAND FINANCIALLY ON, ON THAT POINT. MM-HMM. SO FIRST UP IS THE GENERAL FUND, UH, WHICH IS ON THE, THE FIRST THREE PAGES IN THAT SECTION, FUNDS ONE, TWO, AND THREE. UM, AND WE, WE SHOW IN HERE, UM, SOME INCLUDING HISTORY. SO FISCAL YEAR 24, COMPARISON TO FISCAL YEAR 23, BUDGET TWO, OUR FISCAL YEAR, 23 ESTIMATES, AND THEN THE ACTUALS FOR 22, 21 AND 20. UM, AND SO YOU CAN SEE, UM, ONGOING REVENUES AND EXPENDITURES, ONE TIMES TRANSFERS AND, UM, THE AMOUNTS COMING FROM EQUIPMENT REPLACEMENT RESERVE. AND THEN WHERE WE END UP BOTTOM LINE, UM, ANY FUND BALANCE. I DO HAVE A SLIDE THAT I WANT TO BE ABLE TO SHOW YOU ON THE GENERAL FUND OF COMPARING ONGOING REVENUES VERSUS ONGOING EXPENDITURES. UM, THERE WE HAVE A, A POLICY, UM, AND IT'S A, A STANDARD POLICY THAT ALL, UM, GOVERNMENTAL ENTITIES FOLLOW, BUT I MEAN, EVEN IN BUSINESS WORLD, THIS MAKES SENSE. YOU WANT TO NOT RELY ON ONE TIME REVENUES TO PAY FOR ONGOING EXPENDITURES. YOU WANT TO KNOW THAT YOUR ONGOING REVENUES COVER YOUR ONGOING COSTS. MAKES KIND, MAKES SENSE. SO, UM, FOR FISCAL YEAR 24, UM, WITH THE REDUCTION THAT I'M SHOWING WITH AN, UH, UH, ASSUMPTION OF, OF IF THERE WAS A RECESSION NEXT YEAR I'M SHOWING ONGOING REVENUE OF, UM, JUST UNDER 43 MILLION AND ONGOING EXPENDITURES OF 24 MILLION. UM, I AM INCLUDING IN HERE, EVEN THOUGH WE SHOWED DEBT SERVICES ONE TIME, BUT THE DEBT SERVICE HAS GOT A LIFE ON IT THAT WILL BE GOING ON FOR A LITTLE WHILE. SO I WANNA MAKE SURE THAT WE ARE COVERED THERE. AND SO, UH, 2.2 MILLION AND THEN OUR ONGOING TRANSFERS TO OTHER FUNDS OF 7.9. SO I'M SHOWING THAT WE ARE HAVING OVER AND ABOVE IN OUR ONGOING REVENUES, EVEN WITH A RECESSION PLAN OF 8 MILLION. SO GENERAL FUND IS IN A REALLY GOOD, UM, SPOT. UM, YES, IT IS LOWER THAN THE FISCAL YEAR 23 BUDGET. UM, AT THE TIME WHEN WE DID THE REVENUE ESTIMATION FOR FISCAL YEAR 23 BUDGET, WE WERE LIKE, UM, 25 AND 35 AND 45% OVER THE PRIOR YEAR IN OUR SALES AND BED TAX REVENUE. AND I WAS LIKE, I DON'T WANNA PREDICT THAT MUCH. AND SO I, I SAID, OKAY, LET'S GO WITH, UM, THE REMAINDER OF THAT FISCAL YEAR BECAUSE WE'RE WORKING ON IT. WE ONLY HAVE PARTIAL YEAR DATA, SO I SAID, LET'S JUST ASSUME 15% IN INCREASE FOR THE REMAINDER OF THE YEAR, EVEN THOUGH WE'RE SEEING THESE SIGNIFICANTLY HIGHER AMOUNTS, AND THEN ONLY A 7% INCREASE OVER THAT IN THE NEXT YEAR. SO, OKAY. I FELT LIKE I WAS BEING CONSERVATIVE AND THE LITTLE COMMITTEE THAT WE HAD, UM, THAT WAS REVIEWING THE ASSUMPTIONS WAS REALLY TRYING TO PUSH FOR RAISING THOSE UP THAT THEY FELT LIKE I WAS BEING TOO CONSERVATIVE. AND IT TURNS OUT THINGS STARTED COMING DOWN AND WE'RE, YOU KNOW, WE'RE ACTUALLY UNDER, SO YOU, YOU JUST NEVER KNOW, UM, WHERE THESE THINGS ARE GONNA GO. BUT IT, WHEN, WHEN WE'RE DOING THESE ESTIMATIONS, [06:20:01] I'M ALSO MAKING SURE LIKE, YOU KNOW, WE ARE STILL, WE'RE STILL PROJECTING THAT WE'RE GONNA HAVE A SURPLUS, YOU KNOW, SO WE'RE NOT IN A BAD SITUATION. IT'S JUST, YOU KNOW, WE MADE AN ESTIMATE AND THAT WASN'T WHAT IT WAS, AND YET WE STILL ARE IN A REALLY GREAT PLACE. UM, AS FAR AS THE ENDING BALANCE FOR THE GENERAL FUND. UM, SO, OH, THAT'S INTERESTING. I HAVE A TYPO IN MY OPERATING RESERVE. SO 7.6 MILLION, UM, FOR THE OPERATING RESERVE. FOR THE GENERAL FUND POLICY SAYS WE WILL, UM, SET ASIDE 30% OF OPERATING EXPENDITURES AND IT IS FULLY FUNDED AT THAT AMOUNT. THE EQUIPMENT REPLACEMENT RESERVE, WE'VE GOT 1.8 MILLION AND BASED OFF OF OUR POLICY REQUIREMENT THAT IS FULLY FUNDED AT THIS TIME. UM, WE DO CONTINUE TO ADD TO IT BECAUSE WE ONLY STARTED THIS EQUIPMENT REPLACEMENT RESERVE, LIKE I FORGET, LIKE FIVE, SIX YEARS AGO MM-HMM. . AND SO WE DIDN'T START FROM A FULLY FUNDED STATUS OF IF WE HAD ALWAYS HAD AN EQUIPMENT REPLACEMENT RESERVE. SO IT IS CONTINUING, UM, TO BUILD, UM, FOR THE, THE NET PAID PARKING BALANCE. SO THE WAY THAT WE HAVE ALL THIS SET UP, UM, WE'RE SHOWING THAT THERE WOULD BE NO PAID NET PAID PARKING MONEY LEFT AT THE END OF FISCAL YEAR 24. UM, THE, UH, AGREEMENT WITH THE MERCHANTS IN THE UPTOWN WAS THAT IT WOULD BE USED TO HELP WITH IMPROVEMENTS IN THE AREA. UM, THERE WAS DISCUSSION WITH THEM ABOUT HAVING THAT GO TO THE GARAGE, UM, AND THE DEBT SERVICE FOR THE GARAGE THAT GOT DELAYED. AND SO THEN THERE WAS DISCUSSION ABOUT, OKAY, WELL THEN WE'LL USE IT TOWARDS OTHER SIM PROJECTS THAT ARE BENEFITING UPTOWN, UM, IN ORDER TO COVER THE ALLOCATION OF THE DEBT SERVICE PAYMENTS. UM, THAT WOULD GO, WE'RE SHOWING THAT BY THE TIME WE GET TO FISCAL YEAR 26, THERE WOULD BE INSUFFICIENT, UH, PAID PARKING MONEY COMING IN BY ABOUT 125,000 A YEAR. AND THEN, UM, 600 FOR 26 AND THEN 6 670 5,000 THEREAFTER. UM, WE HAVE TALKED ABOUT, UH, UPDATING, WE HAVEN'T HAD, UH, INCREASE IN THE RATES FOR THE UPTOWN PAID PARKING PROGRAM SINCE IT WAS IMPLEMENTED. UM, BUT DISCUSSION BACK IN JANUARY AT THE RETREAT WAS THAT, UM, WE WOULD WAIT UNTIL THE PARKING GARAGE STUDY WAS DONE BEFORE ACTUALLY, UM, EMBARKING ON DOING AN INCREASE THERE. SHERRY? YES. TWO THINGS TO ME. UH, DO YOU HAVE ANY IDEA WHAT THE PERCENTAGE OF THE OCCUPANCY OR USE OF THE AM METERS HAS BEEN? UH, NO, I'M SORRY. I DON'T HAVE THAT INFORMATION. AND ALSO, UM, SO YOU SAID THAT THE REVENUE, BECAUSE NOT GOING TO THE PARKING GARAGE WILL GO TO THE IMPROVEMENT IN UPTOWN. WHAT PROJECTS WOULD THAT BE? FAR EXTENSION? IT'S THE SERVICE, IT'S, RIGHT NOW IT'S THE DEBT SERVICE FOR THE 25 MILLION BOND ISSUE. OKAY. THANK YOU. ANYBODY ELSE, PETE? OKAY, GO AHEAD. OKAY. SO, UM, ALSO INCLUDED, WE SET ASIDE MONEY FOR LOANS TO THE ARTS FUND AND THE DEVELOPMENT IMPACT FEE FUNDS, UM, THE, THE ARTS FUND. SO, UM, IT, I FORGET WHAT YEAR IT WAS, BUT IT'S BEEN A LITTLE WHILE AGO THAT COUNCIL SAID INSTEAD OF DOING THE ART AND THE ROUNDABOUTS ONE AT A TIME, CAN WE JUST GET THE REMAINING, UM, ROUNDABOUTS THAT WAS THREE, FOUR YEARS AGO DONE. YEAH. AND, UM, SO WE SAID, YES, WE CAN DO THAT, BUT IT WOULD INVOLVE HAVING TO LOAN MONEY TO THAT FUND BECAUSE THERE IS WASN'T ENOUGH MONEY BUILT UP IN THERE. SO WE'RE LOOKING AT OUR ESTIMATE AS OF THE END OF FISCAL YEAR 24 THAT THE ARTS FUND WOULD BE IN THE WHOLE 62,000. AND THE GENERAL FUND WOULD COVER THAT. AND IT'S IN THE WHOLE SCHEME OF HOW MUCH MONEY WE HAVE, THAT'S KIND OF NOMINAL THE, UM, DEVELOPMENT IMPACT FEE FUNDS. SO THE WAY THAT THE FEES ARE STRUCTURED IS TO, UM, COLLECT MONEY OVER A 10 YEAR PERIOD. OUR PROJECTS THAT WE HAVE THAT ARE, THAT WE'RE USING DEVELOPMENT IMPACT FEE FUNDS ARE KIND OF FRONT LOADED IN THE EARLIER YEARS. AND SO SOME OF THAT REVENUE IS NOT GONNA BE COLLECTED UNTIL THE LATER YEARS. AND SO THAT'S WHY WE'RE GONNA END UP WITH THAT, UM, DEFICIT THAT, WE'LL, WE'LL NEED TO HAVE A LOAN TO HELP COVER THAT. UM, THE BALANCE AFTER THE RESERVES, UM, THAT WE'RE ESTIMATING FOR THE END OF FISCAL YEAR 24 IS 23.8 MILLION. 8.6 MILLION OF THAT IS, IS FISCAL YEAR 22 SURPLUS THAT WE NEED TO TALK ABOUT. ALLOCATING 12.3 MILLION IS OUR ESTIMATED SURPLUS FOR FISCAL YEAR 23. UM, THAT YOU MAY WANT TO GO AHEAD AND EARMARK SOME OF THAT. NOW, UM, FISCAL YEAR 24 SURPLUS, I'M ESTIMATING ONLY 2.9. SOME OF IT IS BECAUSE OF THE THINGS THAT I'VE ALREADY BUILT INTO THE NUMBERS, LIKE THE OPERATING RESERVE FOR THE STREETS FUND, [06:25:01] THE 2 MILLION, UM, FOR THE GAP AND THE SUNSET LOSS. LIKE THERE'S A WHOLE LOT OF THINGS THAT WE'VE GOT GOING ON IN THE 24 BUDGET. IF IT WEREN'T FOR A LOT OF THOSE THINGS, THAT NUMBER WOULD BE, UM, A FAIR AMOUNT HIGHER. AND THAT'S EVEN WITH PREDICTING A RECESSION IN MY REVENUE PROJECTIONS. UM, AS FAR AS ALLOCATING FISCAL YEAR 24 SURPLUS WITH THAT SMALLER NUMBER, I DON'T REALLY RECOMMEND THAT WE DO ANYTHING WITH THAT AT THIS POINT IN TIME BECAUSE IF WE DO HAVE A RECESSION, WE WANNA HAVE SOME BUFFER, BUT WE ALSO HAVE A 30% OPERATING RESERVE THAT IS A BUFFER. SO, BUT I'M ALSO VERY CONSERVATIVE ON SOME BUFFER ON BUFFER SUSPENDERS. GOD, THAT'S OKAY. ANY QUESTIONS ON THE GENERAL FUND? SO, UM, SO TO HAVE THAT QUESTION, I'M SORRY. YES, I JUST, IT WAS DEVELOPING AS YOU WERE MOVING ON. IF YOU, IF WE SPEND OUT LIKE THE FY 22 SURPLUS, UM, AND WHEN DOES, WHEN DOES THAT JUST FOLD INTO ANOTHER SURPLUS? WHEN DO THESE JUST GO AWAY? ARE THEY ALWAYS GONNA BE IDENTIFIED BY, IF WE DON'T SPEND THAT DOWN? IT, IT WILL ALWAYS BE IDENTIFIED AS, WE'VE GOT THIS, THIS ONE TIME POT OF MONEY OF 8.6 MILLION THAT ACCORDING TO POLICY MM-HMM. IN THIS PROCESS, WE ARE GOING TO ALLOCATE IT TO SOMETHING. WE'RE NOT JUST GONNA CONTINUE TO CALL IT A SURPLUS AND THAT WE'RE, THAT WE HAVE NO PLAN FOR IT. RIGHT. CUZ THAT'S A, THAT'S WHAT I'M TRYING TO UNDERSTAND, I GUESS. BECAUSE IF WE DON'T SPEND THAT DOWN, AT SOME POINT YOU WOULD STILL HAVE IN THE YEAR FISCAL YEAR, YOU KNOW, 28, YOU COULD STILL BE LOOKING AT THE REMAINDER OF A F Y 22 SURPLUS OR AN F Y 23 SURPLUS. SO YOU WANNA, WE WANNA, OKAY, I JUST WANTED TO UNDERSTAND. OKAY. OKAY. THANK YOU. AND, UM, AND SO ALSO JUST TO REALLY SEND HOME, LIKE, I MEAN, THIS DEMONSTRATES HOW FINANCIALLY STRONG WE ARE YEAH. TO HAVE THESE KIND OF SURPLUSES TO BE PREDICTING A RECESSION AND SAYING WE'RE STILL GONNA HAVE SURPLUS. UM, WE'RE, WE'RE IN A STRONG POSITION , YOU AND I MIGHT HAVE SUR MELISSA. I, I DOUBT IT. OKAY. UM, I WANNA, CAN I JUST TAKE YOU BACK TO, UM, 1 0 1 FROM WHERE WE ARE NOW? SO WE HAVE JUST GONE THROUGH EVERY DEPARTMENT, INSIDE EVERY DEPARTMENT THERE WERE REQUESTS FOR INCREASES TO FUNDING FOR A MYRIAD OF REASONS. THE BUDGET THAT WE HAVE RIGHT NOW THAT YOU'VE PRESENTED INCLUDES IS BALANCED TO INCLUDE ALL OF THOSE ASKED FOR INCREASES IN ORDER TO SUPPORT WHATEVER THE CHANGES WERE, ALL OF THE RECOMMENDED REQUESTS. SO, SO I WAS GETTING TO THAT FOR A SECOND. SO, SO THERE'S THE REQUEST THAT EACH INDIVIDUAL DEPARTMENT HAS MADE THAT SAYS, TO FINISH THIS PROJECT, IT'S GOING TO COST ME MORE AND I NEED AN INCREASE OF X. AND WE'VE INCLUDED THAT IN THE BUDGET SAYING, WELL, WE WANT THEM TO FINISH THAT PROJECT, SO WE'RE GOING TO INCREASE IT BY X. CORRECT, CORRECT. ONCE STEP AT A TIME. THIS IS 1 0 1, REMEMBER? YES. ALRIGHT. AND THEN WE HAVE ALL THE DECISION PACKAGES. AND THE DECISION PACKAGES ARE REQUESTS FOR INCREASES FOR ITEMS NOT CURRENTLY LINED IN THE BUDGET, CORRECT? YES. SO THE INTENT TO DECISION PACKAGES IS, IS EITHER TO ADD A SERVICE OR ENHANCE A SERVICE. OKAY. SO EACH OF THOSE, UM, THANKS FOR RESTATING MY CLUMSINESS INTO CLEAR WORDS. UM, THOSE DECISION PACKAGES, HOWEVER, THOSE THAT HAVE BEEN RECOMMENDED, YOU HAVE ALSO INCLUDED THOSE VALUES IN THE CURRENT BUDGET. CORRECT. SO THE MONIES THAT WE'RE TALKING ABOUT NOW AS BEING OVERAGES FROM PRIOR YEARS ARE NOT NECESSARILY REQUIRED FOR USE IN RECOMMENDED DECISION PACKAGES. UH, YES OR NO, . CORRECT. BECAUSE THEY'RE REFLECTED IN THE FISCAL YEAR 24 NUMBERS AND THAT 20, UH, FISCAL YEAR 24 ESTIMATED SURPLUS. SO IT'S, IT'S EMBEDDED IN THAT NUMBER. CORRECT. SO WHERE I'M GETTING TO, JUST TO MAKE SURE IT'S VERY CLEAR, WHAT I WAS GETTING TO WAS WE HAVE THIS FISCAL YEAR 22, 8 0.6, WE HAVE, UH, ESTIMATED 23 OF 12.3. THOSE TWO SET TWO FIGURES HAVE NOT BEEN USED TOWARDS DECISION PACKAGES THAT HAVE BEEN RECOMMENDED. THEY ARE, IN ESSENCE, ADDITIONAL FUNDS THAT SHOULD WE CHOOSE TO PUT THEM TOWARDS, LET'S SAY HOUSING, WHERE WE HEARD THAT THEY MAY HAVE A SHORTFALL, WE CAN GO AHEAD AND USE THOSE MONIES FOR THERE. SO I JUST WANNA MAKE MAKE IT REALLY CLEAR THAT THE DECISION PACKAGES DO NOT COME OUT OF THESE EXCESS FUNDS. CORRECT. THANK YOU. THANK YOU. [06:30:04] THANK YOU, MAYOR. QUESTION, WAS IT, UH, IT WAS TOUCHED ON IT AT THE VERY END. OKAY. ANY UN RECOMMENDED DECISION PACKET, IF WE WANTED TO FUND IT, WOULD THEN COULD, WE COULD FUND IT OUT OF THIS. SO JUST A LITTLE WRINKLE ON THAT YOU DIDN'T INCLUDE. SO WE WOULD COME OUT THE, THE 2.9 MILLION YEAH. COME OUT OF THE 2.9 MILLION. UH, YEAH. RIGHT. OKAY. YES. AND THEN TO GO BACK TO COUNSELOR ELLA'S QUESTION, I'M JUST TRYING TO MAKE SURE THAT YOU'RE BOTH ON THE SAME PAGE WITH ME. , IT'S MY UNDERSTANDING THAT WE HAVE TO ALLOCATE 8.6 MILLION OF THE FY 22 SURPLUS. THIS PROCESS. YES. WE COULD PUT IT INTO RESERVES OR WE COULD THROW IT AT A PROJECT, BUT YEAH, WE CAN'T THROW IT AT THE WASTEWATER TREATMENT PLANT. CORRECT. COULD THROW IT BSP, UH, AND IF IT DOESN'T GET SPENT IT, IT'LL JUST BE PART OF THAT RESERVE OR THAT PROJECT IN THE NEXT NOW BECOMES EARMARKED FOR CAPITAL RESERVE HOUSING, WHATEVER. AND FOR THE 23 SURPLUS, WE DON'T HAVE TO ALLOCATE ANY OF THAT MONEY THIS YEAR, BUT IF WE DIDN'T, WE WOULD NEXT YEAR, WHATEVER THE AUDITED NUMBER, UH, GETS TO BE. OKAY. YEAH. THANK YOU. YES. OKAY. OKAY. SO THE STREETS FUND IS ON, UM, FUNDS FOUR AND, UM, WITHIN THE STREETS FUND. SO, UM, AS I MENTIONED, I'M PROPOSING, UM, AN OPERATING RESERVE. WE, UM, HAD TRANSFERRED, UM, BACK IN FISCAL YEAR 22 AND SAID WE WANTED TO CONSOLIDATE ALL OF THE STREETS MAINTENANCE COSTS, UM, IN ONE PLACE. AND KNOWING THAT WE WERE STILL GONNA HAVE TO BASICALLY COVER THAT COST FROM THE GENERAL FUND. UM, BUT SO NOW THOSE GENERAL FORMER GENERAL FUND COSTS ARE OVER THE STREETS FUND AND THERE WAS NO OPERATING RESERVE. AND I WAS LIKE, YOU KNOW WHAT? WE SHOULD PROBABLY HAVE ONE. SO, SO I'M PROPOSING THAT WE HAVE AN OPERATING RESERVE IN THIS STREETS FUND AS WELL. SAME, UH, LEVEL THAT IT WAS WHEN THESE COSTS WERE IN THE GENERAL FUND. SO 30% OF OPERATING COSTS. AND, UM, AND I HAVE A AGENDA BILL, UM, READY TO GO FOR THE JUNE 27TH MEETING FOR THIS, UM, ASSUMING THAT, THAT YOU'RE OKAY WITH MY RECOMMENDATION, UM, WE HAVE BEEN MAINTAINING A STREET FUND RESERVE OF 300,000, UM, WHICH WAS INTENDED FOR THE, THE COSTS THAT WERE IN THIS FUND ORIGINALLY WERE RELATED TO STREETS REHAB AND PAVEMENT PRESERVATION PROGRAM. AND SO WE SAID THERE'S, UM, AN AVERAGE OF FOUR AND A HALF TO FIVE MILES A YEAR THAT, UM, WE WANT TO HAVE IN THAT PROGRAM FOR THE REHAB AND PAYMENT PRESERVATION. AND IT'S NOT THAT, UM, ANDY OR NOW KURT IS GONNA SAY, OKAY, WE HIT THAT FIVE MILES AND IT'S GONNA CUT OFF RIGHT HERE. LIKE MAYBE IT MAKES SENSE BECAUSE OF THE AREA THAT WE'RE DOING SIX MILES THAT YEAR OR WHATEVER. AND SO, UM, I WANTED TO HAVE IN RESERVE, AND SO THIS IS ALREADY PART OF POLICY THAT IF IT WAS A YEAR WHEN WE HAD MORE MILEAGE THAN THE AVERAGE, THAT WE ALREADY HAD THAT SET ASIDE BECAUSE THE ONGOING COST WE HAD BUILT INTO THE BUDGET FOR THE FOUR AND A HALF TO FIVE MILES. BUT THOSE, THOSE SPIKES WE WANNA HAVE COVERED. SO IN CONVERSATION WITH ANDY, HE SAID THAT HE ESTIMATED 300,000 AS THAT AMOUNT. SO WE'VE BEEN MAINTAINING THAT AND RESERVE FOR THOSE POTENTIAL SPIKES. QUESTION ON THAT. YES. ANDY? WHAT'S THE LIFESPAN GENERALLY THE ESTIMATED LIFESPAN OF A RESURFACE WHEN YOU PUT IN A RESURFACE? SO GENERALLY WE'RE LOOKING AT 20 YEARS, 20 YEAR, BUT YOU KNOW, ONE, ONE THING THAT I, THAT WE WERE TALKING ABOUT, UM, YESTERDAY HAD TO DO WITH WHETHER WE'RE MORE REHAB, YOU KNOW, LOADED VERSUS PRESERVATION. AND SO THOSE CYCLE LENGTHS ARE, ARE DIFFERENT. SO, YOU KNOW, IF YOU'RE DOING A, A REHAB THAT'S MORE OF A 20 YEAR, IF YOU'RE MORE ON THE PRESERVATION SIDE, THAT'S, THAT'S LIKE A FIVE TO SEVEN YEAR. AND I KNOW YOU ONE YEAR WAS BEHIND BECAUSE OF WEATHER RELATED AND YOU CAUGHT UP LAST YEAR, SO YOU'RE ON TARGET. UM, IS THERE A ANOTHER LAG? I MEAN, ARE YOU EXACTLY WHERE YOU WANNA BE IN TERMS OF WE ARE BACK ON SCHEDULE AT THIS POINT. SO EVERY ROAD WOULD GET REDONE WITHIN THE 20 YEAR CYCLE AT THIS, RIGHT? THERE'S NO, THERE'S NO, UM, NEED TO JUMP AHEAD. NOT AT THIS POINT, BUT LIKE I SAY, UM, IF WE CAN GET TO THAT POINT WHERE WE'RE MORE LOADED ON THE PRESERVATION SIDE, UM, THAT COULD MEAN THAT WE MIGHT WANT TO GET A LITTLE MORE AHEAD ON THE REHAB SIDE FIRST TO GIVE A GET AHEAD OF THAT SCHEDULE A LITTLE BIT [06:35:01] SO THAT WE CAN GET AND IS THERE CAPACITY IN YOUR PART DEPARTMENT TO DO THAT IF YOU HAD THE FUNDS? BECAUSE SOME LOT OF THAT IS OUTSOURCED, SO YOU'RE MANAGING RIGHT. OR YOUR NEW, UH, DIRECTOR IS MANAGING DIFFERENT PROJECTS, ANOTHER PROJECT ON THERE WITH THE SAME SORT OF COMPANY RESPONDING. YES. AND YOU KNOW, I MIGHT ADD THAT IN OUR JOB ORDER CONTRACT, WE ACTUALLY HAVE TWO, UM, J JOB ORDER CONTRACTS GOING ON RIGHT NOW. SO ONE IS WITH CACTUS, ONE IS WITH, WITH KY WE KIND OF USE THEM ON DIFFERENT KINDS OF WORK MM-HMM. , BUT IF WE WANTED TO ADD ADDITIONAL SCOPE ONE YEAR, WE COULD SIMPLY BRING IN THAT OTHER CONTRACTOR TO KIND OF PICK UP THINGS. IF, IF ONE OF, IF ONE OF THE CONTRACTORS CAN'T HANDLE MORE WORK, WE JUST GO TO THE OTHER ONE, I GUESS IS A BETTER WAY TO PUT THAT. AND, AND I'M SORRY, I KNOW YOU'VE ANSWERED THIS IN THE PAST, AT OTHER MEETINGS, THOSE CONTRACTORS ARE AVAILABLE TO YOU VIA STATE BID OR VIA ACTUALLY YOU DON'T HAVE TO GO OUT, YOU DON'T HAVE TO BID THAT EVERY TIME, RIGHT? THAT'S CORRECT. UM, SO THE, WE DID OUR OWN JOB ORDER CONTRACT RATHER THAN PIGGYBACKING ON THE STATE JC, BUT YOU HAVE IT AND IT'S AVAILABLE, IT WOULDN'T CREATE ADDITIONAL WORKLOAD FOR YOU TO HAVE TO DO A NEW RFP OR A NEW, OKAY. THAT'S CORRECT. OKAY. THANK YOU. I HAVE A QUESTION TOO, MR. MAYOR. GO RIGHT AHEAD. UH, WHAT IS, WHAT WOULD BE THE OPERATING RESERVE? IT SAYS OPERATING COSTS OTHER THAN REHAB PRESERVATION. SO WHAT WOULD THAT LOOK LIKE? SO IF YOU LOOK AT ON THE, THE FUND SUMMARY IN YOUR BOOK FUND FUNDS FOUR MM-HMM. , UM, SO THERE IS ON THE TOP LINE THE STREET REHAB PAYMENT PRESERVATION, 1.3 MILLION, ALL THOSE OTHER COSTS, UM, FOR, UM, STREETS MAINTENANCE, STORM CLEANUP, TRAFFIC CONTROL, ET CETERA, THOSE WOULD MAKE UP ALL THE OTHER OPERATING COSTS. SO JUST EXCLUDING THAT 1.3 MILLION, THE CALCULATION, BECAUSE THE 1.3 MILLION WE'VE GOT BAKED IN ALREADY AND THAT THAT 300,000 IS, UM, COVERING THE SPIKES IN THAT LINE. SO ARE WE TALKING ABOUT ADDITIONAL OPERATING RESERVES OF 7 42 OR THAT'S THE TOTAL FOR THE FUND? SO IS 7 42 PLUS 300? YES. YES. SO TO TOTAL RE ALL OF THOSE ADD UP ALL OF THE RESERVES FOR THE FUND. SO A MILLION DOLLARS IN RESERVES BETWEEN THE 300,000 FOR THE, UH, REHAB PAYMENT PRESERVATION PROGRAM, 700,000 FOR THE OPERATING RESERVE. AND THEN THE, UM, THE ABOUT 37,000 FOR EQUIPMENT REPLACEMENT. OKAY. THANK YOU. I HAVE ONE MORE QUESTION FOR ANDY. OKAY. AND NO, IT'S IN HERE, BUT PLEASE DON'T MAKE ME LOOK IT UP CUZ I THINK YOU KNOW IT OFF THE TOP OF YOUR HEAD. OKAY. WHAT IS, WHAT'S YOUR ROUGH COST PER MILE? UH, LET'S SEE. SO, UH, IT'S ROUGHLY 200,000 A LITTLE OVER. THANK YOU. OKAY, LET'S MOVE ON. OKAY. UM, ALL RIGHT. SO THE HOUSING FUND, SHANNON IS SAYING YAY, WE'RE FINE. SO, UH, THAT'S ON ON PAGE, UM, FUNDS DASH FIVE. UM, AND I DID WANT TO TALK ABOUT, SO, UM, I ADDED A SLIDE IN HERE FOR THE HOUSING FUND TO LOOK AT THE ONGOING REVENUES VERSUS ONGOING EXPENDITURES IN THIS PARTICULAR FUND, PARTICULARLY AT THIS POINT BECAUSE I WANTED TO HAVE A CONVERSATION ABOUT WHERE WE'RE AT. SO THE ONGOING REVENUES, UM, REALLY THE, THE, THE MAIN REVENUE THAT'S IN HERE IS, UM, THE SHARING OF SHANNON WITH CITY OF COTTONWOOD. IF THAT DOESN'T CONTINUE, I DON'T KNOW WHERE WE'RE AT WITH THAT. BUT IF THAT WERE NOT TO CONTINUE, THAT REVENUE'S GOING TO GO AWAY. SO WE HAVE, UM, SET UP AN ONGOING TRANSFER OF GENERAL FUND MONEY TO, UM, THE HOUSING FUND OF 500,000 A YEAR. THE ONGOING EXPENDITURES THAT WE'RE, WE HAVE IN THE BUDGET FOR FISCAL YEAR 24 ARE 490. SO IF COTTONWOOD, UM, SAID NO, WE'RE NOT, WE DON'T WANNA SPLIT THAT ANYMORE. AND THEN, UM, NOW SHANNON IS A HUNDRED PERCENT HOURS, THEN WE'RE LOSING A, A BIG CHUNK OF REVENUE. WE'RE REALLY RELYING ON TRANSFERS OF 500,000 A YEAR WITH ONGOING EXPENDITURES THAT WITHIN INFLATION AND STUFF LIKE THAT, IT'S GOING TO CONTINUE TO GO UP. SO I BELIEVE WE SHOULD INCREASE WHAT OUR ANNUAL ONGOING TRANSFER IS TO THE HOUSING FUND. IN ADDITION TO THE CONVERSATION WE HAD EARLIER. PROBABLY GONNA SAY YOU ALSO WANNA DO ONE, A ONE-TIME ALLOCATION OF GENERAL FUND SURPLUS OR WHATEVER TO THE HOUSING FUND. UM, SO WHETHER YOU HAVE A PREFERENCE OR [06:40:01] NOT, BUT I WOULD SAY THAT WE SHOULD LOOK AT, UM, POTENTIALLY INCREASING THAT TO EITHER 750,000 A YEAR OR A MILLION A YEAR, UM, DEPENDING UPON HOW ROBUST YOU'RE ANTICIPATING, UM, PROGRAMS TO BE IN THE FUTURE. SO, UH, I DO THINK THE 500,000 IS GONNA BE TOO LOW COMING UP PRETTY SOON. SO IS VICE MAYOR, IS THERE AN INDICATION FROM COTTONWOOD THAT THEY'RE NOT GOING TO CONTINUE? NO. OKAY. THAT WAS A NO FOR THE PEOPLE ON THE MIC. , GET TO A MICROPHONE CAUSE I KNOW YOU NO, I KNOW , SO COTTONWOOD DID JUST RENEW MY CONTRACT FOR ANOTHER YEAR, SO THAT'LL EXPIRE ON THE END OF FISCAL 24. FISCAL YEAR 24. OKAY. UM, THEY PROPOSED A POSITION TO HIRE A HOUSING PERSON IN THEIR FISCAL YEAR 24, AND COUNSEL DID NOT APPROVE IT. SO AT THIS TIME, IT'S POSSIBLE THAT THEY WOULD WANT TO EXTEND MY CONTRACT FOR ANOTHER YEAR, BUT THAT HASN'T BEEN DISCUSSED YET. THANK YOU. AND IT, IT WOULD BE POSSIBLE THAT WE WOULD NOT BE INTERESTED. , THAT WAS MY QUESTION. I COULDN'T HEAR YOU. I SAID IT, IT WILL ALSO BE POSSIBLE THAT WE ARE NOT INTERESTED IN THAT TIME BY THAT TIME TO CONTINUE TO SHARE. IT'S VERY DIFFICULT. WE'RE GONNA GET GREEDY, WE SHINE TO OURSELVES, BUT, BUT WE, WE ONE HER TWO OURSELVES. YEAH. I MEAN, YEAH. OKAY. OKAY. AT THAT SMILE I'LL SAY , IT'S NICE TO BE ONE. SHE ALWAYS SMILES, SHE JUST KEEPS ON PUTTING OUT. SO THE WORKLOAD IS GREAT. SO, UH, YES. MAY I BE FOR KNOWLEDGE MAYOR, PLEASE. SO, UM, I JUST WANNA RE REITERATE BECAUSE WE HAD CONVERSATIONS IN BETWEEN, UM, THAT THIS YEAR FOR FISCAL YEAR 24 COMING UP, THE 1 22 IS A GUARANTEE. UM, THE 500 IS A GUARANTEE. THE REQUEST IS THAT, UM, SHOULD, UH, THE 1 22 GO TO ZERO, WE NEED TO MAKE UP THE SHORTFALL AND THEREFORE GOING FORWARD, THE REQUEST FROM YOU IS TO, TO BUMP THIS 250. YEAH. AND, AND NOT ALL OF THE 1 22 IS THAT CONTRACT. THERE'S SOME INTEREST REVENUE IN THERE, BUT I MEAN, IT'S MINING, SO YES. ZERO'S AN EASIER NON NUMBER TO EXACTLY TALK ABOUT EXACTLY . OKAY. OKAY. UM, ANY, ANYTHING ELSE? SO, UM, FOR THE, UM, HOUSING FUNDS, SO WE DON'T ACTUALLY HAVE ANY POLICY RESERVE REQUIREMENTS SET UP AT THIS POINT IN TIME. UM, AND REALLY FEELING LIKE AS THE PROGRAM GETS MORE FULLY DEVELOPED, WE MIGHT COME UP WITH THINGS THAT WE WOULD RECOMMEND HAVING A RESERVE FOR. UM, SO REALLY THE RESERVES THAT ARE IN THE HOUSING FUND AT THIS POINT IN TIME ARE RELATED TO THE LOAN PROGRAM. SO SUNSET LOSS, SO WE'VE GOT IN THERE, UM, THE CONTRACT WAS FOR 4.2 MILLION TO BE, UM, LOANED AND, UM, AND IT'S SOUNDING LIKE THEY MIGHT NEED ANOTHER 2 MILLION AND COUNCIL MAY OR MAY NOT CHOOSE TO, UM, PROVE THAT, BUT IT IS BUILT IN AND INCLUDED IN THE TRANSFERS TO THE AFFORDABLE HOUSING FUND TO COVER THAT 2 MILLION IF COUNCIL CHOOSES FOR, UM, THE SHELBY DRIVE PROJECT. UM, SO WHAT'S IN THERE RIGHT NOW IS 300,000 AND WHEREVER SHANNON WENT, I THINK, I CAN'T SEE HER BEHIND THE PODIUM. SO IT SOUNDS LIKE THAT MIGHT HAVE A POSSIBILITY OF GOING UP TO THE 2.5 MILLION. AND SO THAT WOULD BE ANOTHER 2.2 MILLION TRANSFERRED FROM, UM, GENERAL FUND TO THE HOUSING FUND. AND, UM, AND THEN THE DOWN PAYMENT ASSISTANCE LOANS AT THE 400,000. KATHY, YOU HAVE SOMETHING TO SAY? YEAH, I JUST, OH, GOOD. OKAY. I JUST SAW LIKE SOMETHING COMING. NO, I HAVE SOMETHING FROM VICE I CAN MANIFEST IF YOU WANT. NO, IT'S OKAY. IS IT, HOW FIRM IS THE 6.2 MILLION? IT'S NOT AT ALL FIRM. OKAY. WE'LL TALK LATER. I HAVE SOME QUESTIONS. YES, WE WILL. YES, WE WILL. A LOT. I'M NOT TRYING TO HIDE ANYTHING, I JUST DON'T KNOW ANYTHING AT THIS POINT. THAT'S RIGHT. THE INITIAL THOUGHT FROM THE DEVELOPER. I DON'T, I DON'T EVEN KNOW THAT I WANNA SAY THIS OUT LOUD. DON'T SAY IT WAS SUBSTANTIALLY MORE THAN THAT. THAT'S MUCH. AND THAT WOULD PROBABLY BE A NON-STARTER. SO WE'RE HOPING TO PULL THOSE OTHER LEVERS TO GET IT INTO A RANGE THAT COULD BE ACCEPTABLE. HA HAVE WE GIVEN THEM ANY MONEY TOWARDS THIS LOAN? YES. YES. MM-HMM. . AND WHAT HAPPENS IF THE PROJECT FALLS APART? DO WE GET REPAID? YEAH, SO THE, [06:45:01] SO THE CITY HAS A DEED OF TRUST ON THE PROPERTY, AND THAT WOULD BE THE, WHAT'S PRIMARILY BEEN EXPENDED SO FAR. AND THE CITY WOULD THEN BECOME THE OWNER OF THAT PROPERTY. THAT'S AN ODD CHOICE IF THEY PUT A HIGHER PRICE TAG AND IT'S JUST WE'RE GONNA CUT BAIT. NO, NO. SO IF THEY FAIL TO BUILD THE PROJECT, THE CITY OWNS THE PROPERTY. OKAY, I UNDERSTAND. SO ONE OF THE THINGS I ALSO WANNA POINT OUT IS THAT THESE, UM, RESERVES THAT WE HAVE SET UP FOR THESE LOANS THAT ADD UP TO 6.9 MILLION, UM, BASICALLY THAT TAKES UP THE ENTIRE BALANCE OF WHAT THE ENDING BALANCE PROJECTED FOR THE HOUSING FUND IS, THAT THERE IS NO EXTRA MONEY. SO UNLESS THERE'S A ALLOCATION OF SURPLUS FUNDS OR WHATEVER TO THE AFFORDABLE HOUSING FUND, LIKE THAT'S IT. AND THEN GOING INTO FISCAL YEAR 25, WE'D BASICALLY START WITH ZERO AVAILABLE BECAUSE EVERYTHING WOULD BE RESERVED. AND THEN IF IT'S JUST THE, THE HALF MILLION, ONLY A HALF MILLION TRANSFER COMING IN AND MAYBE NOT AN AGREEMENT WITH COTTONWOOD TO COVER THE COST. OKAY. SO I HAVE ONE MORE QUESTION. IS THERE HUD FUNDING THE, THE LACK OF APPROVAL YET ON THE HUD FUNDING? JUST BUREAUCRATIC STUFF? YES. OKAY. YEAH, THAT , YES, I LIKE THAT. USE THE WORD STUFF FAR MORE THAN I AM. I COULD TELL YOU. OKAY. ALL RIGHT. MOVING AHEAD. YES, MA'AM. SO THE, UH, GRANTS DONATIONS, RESTRICTED FUNDS, SO THIS IS A CONGLOMERATION OF, OF ALL SORTS OF GRANTS. UM, WE GET A, A MULTITUDE OF DIFFERENT DONATIONS. UM, AND THE RESTRICTED IS, UM, PRIMARILY THE, THE COURT RESTRICTED MONIES THAT THEY GET. UM, AND THAT SPANS, UM, PAGES, UM, FUND SIX AND SEVEN, UM, THERE. AND AS FAR AS THE BALANCE IN THE FUND, UM, THE, THE MONIES THAT ARE COLLECTED, THE, WHETHER IT'S GRANT MONIES, WHETHER IT'S DONATIONS, THE RESTRICTED COURT MONEY, IT IS RESTRICTED TO WHATEVER THE PURPOSES WERE FOR WHICH WE RECEIVE THAT MONEY AND AUTOMATICALLY ROLLS OVER EVERY YEAR. SO IF SOMEONE SAID, OKAY, I'M DONATING THIS MONEY, UM, TO, UM, GO TOWARDS SAY, SPECIAL EVENTS THAT PARKS AND REC PUTS ON, AND WHATEVER MONEY IS LEFT OVER AT THE END OF THE YEAR ROLLS OVER INTO THE NEXT YEAR. UM, SO FOR AN IDEA OF WHERE WE'RE AT ON THOSE, THAT 235,000 ENDING BALANCE WOULD REFLECT 109,000 OF COURT RESTRICTED MONIES. UM, THAT WOULD BE LEFT OVER. UM, THERE ARE, UM, BASICALLY THREE DIFFERENT POTS OF MONEY AND THERE'S DIFFERENT RESTRICTIONS ON EACH ONE. SO, UM, THERE'S ONE POT OF MONEY OF THAT THAT FOR SURE CANNOT BE USED FOR THEIR REMODEL PROJECTS. SO THEY'RE LOOKING AT THE OTHER TWO POTS OF MONEY TO COVER THOSE COSTS. UM, 14,000, UM, FOR POLICE PROGRAMS, UM, WHICH IS PRIMARILY THE RICOH MONIES THAT THEY GET. I BELIEVE THE, UM, 66,000, UM, FROM ALL THE VARIOUS DONATIONS IS WHAT WE'RE ESTIMATING WOULD BE LEFT OVER AT THE END OF THE YEAR. WE GET DONATIONS FOR CANINE, WE GET DONATIONS FOR THE EXPLORERS PROGRAM, SPECIAL EVENTS, UH, THE MILITARY PARK, UM, RECREATION PROGRAMS. THERE'S JUST A NUMBER OF THINGS, UM, THAT WE GET. AND SOMETIMES PEOPLE ARE JUST REALLY GENEROUS. LIKE WE HAD, UM, UM, A DONATION FOR $15,000 TO THE POLICE DEPARTMENT WITH LIKE, ESSENTIALLY NO STRINGS ATTACHED OTHER THAN THEY WANT IT SPENT ON THE POLICE DEPARTMENT. SO. NICE. YEAH, WE COULD DO THAT EXACTLY. UM, AND THEN AT, UM, THE END OF FISCAL YEAR 24, WE'RE ESTIMATING THERE WOULD BE 45,000 OF THE PROP 2 0 7 MONEY THAT WE WOULD ALL, WE ALWAYS DESIGNATE THAT MONEY TOWARDS THE UNFUNDED PSPS UN LIABILITY HAS BEEN OUR PRACTICE. UM, WE GET THE MONEY IN DECEMBER AND IN JUNE. SO THIS IS OUR ESTIMATION OF THAT JUNE PAYMENT THAT WE WOULD INCLUDE IN THE PAYMENT THAT WE WOULD MAKE IN JULY FOR FISCAL YEAR 25. OKAY. MOVING ON, SO THE TRANSPORTATION SALES TAX FUNDS, SO THAT'S ON FUNDS DASH EIGHT IN YOUR BOOKS. THIS AGAIN, IS THAT HALF CENT SALES TAX, UH, RELATED TO TRANSPORTATION? UM, WE DO, UM, PART OF, OF, UM, WHEN THAT WAS ESTABLISHED, WHAT IT WAS THAT IT WOULD COVER ADMINISTRATIVE MANAGEMENT COSTS AS WELL. UM, AND PART OF THE, THE AGREEMENT WAS THAT, UH, UH, COUNCIL APPROVED THAT WE WOULD HAVE A 1.0 FTE ENGINEER PAID FOR OUT OF THIS FUND. THAT WAS AN ADDED POSITION TO HELP ACCELERATE PROJECTS. SO WE DO HAVE THAT ONE POSITION PAID FROM HERE. UM, THERE'S, UM, ESSENTIALLY 6.3 MILLION LEFT AT THE END OF THE YEAR, WHICH WOULD GO TOWARDS ALL THE, THE CAPITAL PROJECTS IN THE NEXT YEAR. [06:50:01] I DO HAVE ON, ON YOUR PAGE IN YOUR BOOK THAT REALLY THE CAPITAL PROJECTS IN THE NEXT YEAR, UM, WOULD BE ABOUT 7.4 MILLION. SO, UM, WHAT'S LEFT OVER IN THE FUND WOULDN'T COVER ALL OF THE NEXT YEAR'S CAPITAL PROJECT COSTS, BUT WITH THE COLLECTION OF ADDITIONAL MONIES, WHICH WOULD BE MORE THAN SUFFICIENT IN THAT NEXT YEAR TO COVER THEM. SO WE ARE FINE. THE CAPITAL IMPROVEMENTS FUND, UM, SO FUNDS DASH NINE IN YOUR BOOK, UM, SO WE'RE LOOKING AT, UM, A CAPITAL RESERVE BALANCE OF 6.5 MILLION, BUT A TOTAL ENDING BALANCE OF 13.7. UM, SO BALANCE AFTER THE RESERVES IS 7.2 MILLION, WHICH I'M BASICALLY SAYING WE SHOULD JUST RETAIN THAT FOR CAPITAL IMPROVEMENT COSTS. UM, THE, THE, UM, VERY SIGNIFICANT C I P BUDGET THAT WE HAD FOR FISCAL YEAR 23, AND ONE OF THE MAJOR CHANGES WAS THE DELAY IN THE GARAGE PROJECT, WHICH AFFECTED A LOT OF THINGS IN THIS. AND SO, UM, IN LAST YEAR'S BUDGET PROCESS I WAS SAYING WE NEED TO PUT, I, IT WAS 8.3 MILLION INTO THE CAPITAL IMPROVEMENTS FUND IN ORDER TO BE ABLE TO CO COVER OUR CAPITAL RESERVE REQUIREMENTS. AND NOW WITH THE DELAY OF THE GARAGE AND THE, AND THE, UM, DELAY IN OTHER PROJECTS AND STUFF, I'M BASICALLY SAYING, OKAY, WELL WE DIDN'T REALLY NEED THAT AND WE'RE GONNA HAVE AN EXTRA 7.2 MILLION IN THE FUND. SO THIS IS HOW MUCH THINGS CAN CHANGE AND BE IMPACTED BY DECISIONS. AND ESPECIALLY EARLIER WHEN I WAS TALKING ABOUT KNOWING LIKE WHAT KIND OF LIQUIDITY DO WE NEED IN OUR INVESTMENT PORTFOLIO, THIS IS REALLY SIGNIFICANT , OKAY. UM, DEVELOPMENT IMPACT FEE FUNDS, SO THAT'S ON PAGE FUNDS 10 AND ESSENTIALLY WHERE WE'RE AT IS THAT THERE WOULD BE NOTHING LEFT OVER AND ACTUALLY A DEFICIT OF 1.3 MILLION THAT I'M SAYING THAT WE WOULD NEED TO, UM, DO A LOAN FROM THE GENERAL FUND ASSUMING THAT PROJECTS PROCEED AT THE RATE THAT THEY HAVE BEEN BUDGETED. SO WE MAY NEED TO DO THIS LOAN, WE MAY NOT NEED TO DO THIS LOAN. WE ACTUALLY THOUGHT WE WERE GONNA NEED TO DO A LOAN OF, UM, TWO, 2.3 MILLION. I THINK IT WAS FROM WHEN WE WERE IN THE FISCAL YEAR 23 BUD BUDGET PROCESS THINKING THAT WE WOULD NEED TO DO THAT. TURNS OUT THAT WE DIDN'T BECAUSE OF THE DELAYS OF THE PROJECTS. SO, UM, WILL THERE BE MORE DELAYS AND WE DON'T NEED TO DO THIS LOAN? I DON'T, I DON'T KNOW, I'M, I FEEL LIKE I CAN'T PREDICT ANYTHING AT THIS POINT. I DON'T KNOW WHAT POLICY DECISIONS ARE GONNA END UP BEING MADE . SO, UM, AND THEN ALSO PREDICTING OUT, SO I LOOK AT THINGS ON A LONGER RANGE, ESPECIALLY WITH TRYING TO HAVE, UM, THE FIRST THREE YEARS OF THE 10 YEAR C I P PLAN FUNDED. AND SO I'M SHOWING FOR FISCAL YEAR 25 THAT THERE WOULD BE ANOTHER 2.6 MILLION THAT WOULD NEED TO BE LOANED TO, UM, THE DEVELOPMENT IMPACT FEE FUNDS IN THAT YEAR AS WELL IF THINGS PROCEED AT THE PACE THAT THEY'RE IN, IN THE BUDGET. OKAY. THE ART AND PUBLIC PLACES FUND, WHICH IS ON FUNDS 11. SO THIS IS THE ACCOUNTING FOR THAT 1% OF, UH, THE, UM, PROJECTS THAT WE DO. THERE IS ALSO A REQUIREMENT THAT'S BASED OFF OF, UM, SQUARE FOOTAGE THAT DEVELOPERS WOULD PAY IF THEY DIDN'T HAVE AN ART COMPONENT IN THEIR, IN THEIR PROJECT. UM, BUT, UM, IT'S BEEN VERY RARE THAT WE'VE ACTUALLY GOTTEN MONEY BECAUSE THEY NORMALLY INCLUDE THE WHATEVER ART REQUIRED ART COMPONENT IS IN THEIR PROJECT. SO WE DON'T NORMALLY GET MONEY FROM THOSE SOURCES. UM, SO ALONE WOULD BE NEEDED. I THINK ON, IN THIS PARTICULAR CASE, I MEAN, IT REALLY SOUNDS LIKE WE WILL, UM, BE ABLE TO PROCEED WITH THE ART AND ROUNDABOUT PROJECTS AND GET THIS DONE. SO I'M KIND OF EXPECTING THIS IS WHERE WE WILL BE AT UNLESS WHO KNOWS WHAT HAPPENS, BUT HOPEFULLY IT WILL, UM, PUBLIC TRANSIT FUNDS. SO, UM, SO JUST A, A A LITTLE ACCOUNTING, GOVERNMENTAL ACCOUNTING THING. SO WE HAVE DIFFERENT FUND TYPES AND ONE OF THE FUND TYPES IS ENTERPRISE FUNDS. WE HAVE THE PUBLIC TRANSIT FUND AND THE WASTEWATER FUND SET UP AS ENTERPRISE FUNDS. AND ESSENTIALLY WHEN YOU DO THAT, YOU'RE TREATING THEM LIKE AS IF THEY WERE A BUSINESS. NOT NECESSARILY THAT PUBLIC TRANSIT IS LIKE FULLY SELF-SUPPORTING. THERE'S GONNA BE LOTS AND LOTS OF FEDERAL GRANTS TO HELP MAINTAIN THAT PROGRAM. AND THEN WE'VE GOT THE HALF-CENT SALES TAX EARMARKED TOWARDS HELPING TO BRIDGE THE GAP BETWEEN THE FEDERAL FUNDING AND THAT. UH, BUT WE ARE VIEWING IT AS AN ENTERPRISE FUND TO KNOW THE FULL STATUS OF WHAT'S GOING [06:55:01] ON, UM, WITH TRANSIT. SO, UM, THE RESERVE BALANCES FOR, UM, THE TRANSIT FUND. UM, SO WE'RE SHOWING THAT WE WOULD END FISCAL YEAR 24 WITH THE 5.2 MILLION IN THE FISCAL YEAR 23 BUDGET PROCESS. UM, COUNSEL SAID WE WANNA TAKE 5 MILLION OF THE SURPLUS DOLLARS AND SET IT ASIDE IN THE TRANSIT FUND FOR FUTURE IMPLEMENTATION COSTS. SO WE HAVE PRESERVED THAT 5 MILLION, UM, AND UM, WAITING UNTIL THE BIGGER ELEMENTS OF THE TRANSIT FUND, UM, START MOVING FORWARD. SO THAT 5 MILLION IS NOT IN THE SURPLUSES THAT WE WERE TALKING, IT'S NOT IN THE GENERAL FUNDS SURPLUSES, IT'S NOW, IT'S, SO WE WOULDN'T, THAT WOULDN'T DETRACT THE OTHER MONEY THAT WE'RE GONNA HOPEFULLY GO ON A SPENDING SPREE WITH. RIGHT. SO IF YOU WANTED TO ADD TO THAT AND SAY YOU WANTED TO PUT MORE MONEY IN THE TRANSIT FUND YOU COULD SPENDING, THANK YOU. OKAY, SO THE WASTEWATER ENTERPRISE FUND, UM, SO THIS IS ON PAGES FUNDS DASH 14 AND 15. UM, AND SO WITH THE WASTEWATER FUND, I ALSO WANT TO LOOK HERE AT THE STATUS OF OUR ONGOING REVENUES VERSUS OUR ONGOING EXPENDITURES. SO ONGOING REVENUES, UM, SO, UM, A LITTLE BIT OF OF FLUCTUATION IN HERE ON THE ONGOING REVENUES, PRIMARILY DUE TO, UM, A REEVALUATION OF THE CAPACITY FEES LAST YEAR, UM, WE DIDN'T REALLY HAVE ANY EXPERIENCE ON, UM, HOW MUCH WE WOULD COLLECT, UM, UNDER THE NEW STRUCTURE WITH CAPACITY FEES COUNSEL HAD APPROVED, UH, THAT PORTION OF THE RATE STUDY TO, UM, CHANGE THE STRUCTURE ON THOSE FEES. AND SO WE JUST KIND OF MADE SOME GUESSES OF LIKE, WELL, WHAT MAYBE WE WOULD HAVE THIS MANY IN THIS CATEGORY AND THIS MANY IN THAT CATEGORY WITH A LITTLE BIT OF EXPERIENCE. WE DID BRING THAT NUMBER DOWN A LITTLE BIT FOR THE ONGOING REVENUES. SO, UM, 7.4 MILLION FOR FISCAL YEAR 24. UM, WE ARE INCLUDING THE TRANSFER FROM THE GENERAL FUND, UM, THAT'S HELPING TO SUBSIDIZE THE FUND RIGHT NOW OF THE 3.1, UM, ONGOING EXPENDITURES, WE'VE GOT 5.7 MILLION AND WE ARE INCLUDING THE DEBT SERVICE AND IT'S REALLY ONLY, UM, ANOTHER YEAR, TWO YEARS, UM, TO GET THAT PAID OFF. BUT WE'VE BEEN INCLUDING, IT'S THE 4.5 MILLION, SO FOUR FISCAL YEAR 24, WE ARE FAR CLOSER THAN WE HAVE EVER BEEN IN OUR ONGOING REVENUES VERSUS OUR ONGOING EXPENDITURES. IF WE LOOK AT ONGOING REVENUES OF 7.4 COMPARED TO JUST THE ONGOING EXPENDITURES OF 5.7, WE ARE LOOKING A LOT BETTER, BUT WE ALSO RELY ON ONGOING REVENUES, UM, TO HELP COVER CIP COSTS. AND SO, UM, WE WILL BE LOOKING AT THE LONG RANGE FORECAST FOR THE WASTEWATER FUND IN A LITTLE BIT, UM, BUT STRUCTURALLY, UM, DEPENDING UPON HOW MAINLY I P GOES, UM, WE, WE NEED TO IDENTIFY WHETHER OR NOT WE'RE GONNA DO A RATE STUDY AND FINISH UP THE RATE STUDY SOON. SOMETHING IN, IN THE BACK OF MY BRAIN IS SAYING THAT THERE'S A, I REMEMBER THIS DISCUSSION YEARS AGO BECAUSE THE GENERAL FUND IS, IS THOSE THREE, 3.1 MILLION OR WHATEVER MM-HMM. IT IS YEAR TO YEAR IS SUBSIDIZING THE WASTEWATER FUND. RIGHT. BUT THERE WERE SOME RESTRICTIONS. I'M LOOKING AT KURT, THERE'S SOME RESTRICTIONS ABOUT HOW MUCH, HOW FAR, HOW LONG THE GENERAL FUND CAN SUBSIDIZE IT, ISN'T THERE? YEAH, WE TALKED ABOUT THAT BEFORE. YEAH. NOT, NOT NO HARD SET LAVA. IT IS SUPPOSED TO BE AS ENTERPRISE FUNDS SUPPOSED TO BE SELF-SUSTAINING. RIGHT. SO IS DO WE HAVE ANOTHER ISSUE WITH THAT OR WHAT ARE, WHAT DO YOU THINK? I MEAN, DO WE HAVE ANOTHER FEW YEARS WHEN THE DEBT SERVICE GOES AWAY? WHAT'S YOUR THOUGHT ABOUT THAT? SO I THINK THAT'D BE BEST DISCUSSED IN EXECUTIVE SESSION. OKAY. THANK YOU. OKAY, VERY GOOD. LET'S GO. ALL RIGHT. SO, UH, THE, THE WAY THE NUMBERS ARE IN YOUR BOOK, AND I HAD MENTIONED EARLIER, SO, UM, ROXANNE HAS, UH, PROPOSED THAT WE DEFER A COUPLE OF CIP PROJECTS, WHICH PUSHED US, UM, BACK IN LINE WHERE WE NEED TO BE FOR FISCAL YEAR 24. SO THE, UH, ENTERPRISE FUND, UM, ENDING BALANCES, SO THE OPERATING RESERVE FOR THE INTER FOR WASTEWATER IS IDENTIFIED AS A RANGE THAT IT, THAT THE RANGE TARGET RANGES THAT WE WANT THE OPERATING RESERVE TO BE ANYWHERE BETWEEN 25% AND 33 AND A THIRD PERCENT OF, UM, THE, UM, OPERATING EXPENDITURES. SO THAT WOULD BE, UH, BETWEEN [07:00:01] 1.4 MILLION AND 1.9 MILLION. UM, DEPENDING UPON WHICH SIDE YOU WENT THE WAY THE NUMBERS WERE IN HERE, THAT WE WOULD HAVE A SHORTFALL OF ANYWHERE FROM 5 85 TO 1.1. UM, BUT WITH THE ADJUSTMENTS WE DON'T HAVE A SHORTFALL AT ALL. AND WE WOULD ACTUALLY HAVE, UM, A LITTLE BIT OF A SURPLUS OF 900,000, UM, WITH THE DEFERRALS THAT SHE IS RECOMMENDING ON THE C I P PROJECTS. SO, UM, THE CAPITAL RESERVE AMOUNT THEN ACTUALLY COMES DOWN TO 9.1 MILLION, UM, INSTEAD OF THE 10.7, WHICH IS PART OF HOW WE'RE MAKING THAT BALANCE. THE EQUIPMENT REPLACEMENT RESERVE, MAJOR MAINTENANCE RESERVES, THOSE ARE BASED OFF OF THE, UM, POLICY REQUIREMENTS OF, UM, THE ANNUAL, UM, CONTRIBUTIONS TO THOSE. IS THERE ANYTHING NEGATIVE, UH, UH, CONSEQUENCES BY DEFERRING THESE CAPITAL PROJECTS OR SHE WAS COMFORTABLE DOING THAT? SHE WAS COMFORTABLE DOING THAT. OKAY, THANKS. UM, THE INFORMATION TECHNOLOGY FUND, SO, UM, SIMILAR TO THE ENTERPRISE FUNDS WHERE THEY'RE TREATED LIKE A BUSINESS, THIS IS KIND OF TREATING THE IT FUNCTION LIKE AS IF IT'S A BUSINESS, BUT AN INTERNAL SERVICING INTERNAL DEPARTMENTS NOT SERVICE SERVICING EXTERNAL. UM, WITHIN THE IT FUND WE'RE LOOKING AT EQUIPMENT REPLACEMENT RESERVE OF A MILLION DOLLARS AND, UM, ESTIMATING 700,000 AVAILABLE AFTER THE RESERVES, WHICH WE'RE RECOMMENDING RETAINING AS ADDITIONAL A CONTRIBUTION TO THAT EQUIPMENT REPLACEMENT RESERVE, UM, AT THE END OF THE YEAR. SO THOSE ARE ALL THE FUND SUMMARIES, UM, THAT WE HAVE. SO ON THE CAPITAL IMPROVEMENTS, TAKE A BREAK. YEAH. DO YOU WANNA TAKE A BREAK NOW? TAKE A BATH BREAK. 10 MINUTES. 10 MINUTES. THAT'S NOT 11 MINUTES. SO FIVE AFTER. I'M GONNA TRY TO GET BACK EXACTLY FIVE. I'M WAITING FOR JOANNE. NO, THEY'RE ON. OH, THERE WE GO. SYDNEY ATTORNEY. GOT A NEW SKILL. YES, I WAS, I WAS SHOWN HOW TO TURN THE MICS ON. OKAY. THAT'S GOOD. ALL RIGHT. ALL YOURS CALLING HER NAME. OKAY. THEY'RE, YOU DON'T WANNA WAIT FOR JOANNE, JESSICA. WELL, I DON'T KNOW. PLEASE TALK. OKAY, SO MOVING ON, CAPITAL IMPROVEMENTS PLAN. SO, UM, THERE IS A TAB IN YOUR BOOK FOR THE CAPITAL IMPROVEMENTS PLAN, WHICH WE'LL HAVE THAT SUMMARY SCHEDULE THAT WE WILL WANT TO TALK ABOUT. UM, I DO WANT TO SHARE WITH YOU, UM, WHAT EXACTLY IS IN HERE. SO WE IDENTIFY A CIP PROJECT IS A HUNDRED THOUSAND DOLLARS OR MORE AND A THREE PLUS YEAR LIFE. UM, WE DO ESTABLISH THIS AS A 10 YEAR PLAN. WE, I, WE DETAIL OUT THE FIRST THREE YEARS AND THE REMAINING SEVEN YEARS OF THE PLAN. WE JUST CONSOLIDATE INTO A FUTURE YEARS PROGRAM CUZ IT, IT'S A LOT OF WORK TRYING TO GO, WELL, IS THIS GONNA BE A FISCAL YEAR 28 OR FISCAL YEAR 29 OR FISCAL YEAR 2030? LIKE WE JUST LUMP IT ALL TOGETHER. UM, SO WE TALKED ABOUT THE LOANS, UM, AND WE'LL, UH, LOOK AT LONG RANGE FORECAST WITH THE WASTEWATER FUND. SO OKAY. COVERED EVERYTHING THERE. UM, THE PRIORITIZATION THAT YOU SEE IN, IN THE C I P PROJECTS. SO WE HAVE THESE, UM, FOUR CATEGORIES, IMPERATIVE, ESSENTIAL, IMPORTANT, DESIRABLE, AND IN YOUR, UM, BOOKS IN THE CIP SECTION. SO IT'S THE VERY FIRST PAGE, CIP DASH ONE GIVES MORE DETAILED INFORMATION ABOUT THOSE. UM, THE CITIZENS BUDGET WORK GROUP WAS COMMENTING THAT THEY FELT LIKE THE TERMS IMPERATIVE AND ESSENTIAL WERE, WERE VERY, VERY CLOSE IN, MEANING THAT, UM, THEY FELT IT MIGHT BE A LITTLE CONFUSING. UM, SO I DON'T KNOW. I'VE KIND OF THOUGHT ABOUT LIKE MAYBE WE CHANGE IMPERATIVE TO SAY SOMETHING LIKE CRITICAL OR I DON'T KNOW. I DON'T KNOW WHAT WE'LL DO ON THAT, BUT, UM, WE'LL CONSIDER THAT FOR NEXT TIME. UM, IF I COULD, YES, PLEASE REAL QUICK, UH, DON'T, DON'T HOLD THIS AGAINST ME, BUT SINCE YESTERDAY WAS AN EARLY EVENING, I WENT HOME AND TOOK A REAL DEEP DIVE IN INTO THE CAPITAL IMPROVEMENT PROGRAM SHEETS. I'M NOT GONNA ASK THOSE QUESTIONS HERE TODAY. I TALKED WITH KAREN A. LITTLE BIT THIS MORNING AND, UH, I, I THINK I'VE GOT SOME SUGGESTIONS I'D LIKE FOR YOU GUYS TO CONSIDER PERHAPS OF US LOOKING AT THOSE SHEETS. SO I'LL REACH OUT TO BOTH OF YOU AND HAVE THOSE CONVERSATIONS. I, I WAS NOT STRUCK, I WAS INTRIGUED BY PROJECTS THAT I SAW FROM LAST YEAR TO THIS YEAR'S COMPARISON THAT DISAPPEARED. AND SOME OF 'EM I KNEW THERE WAS LIKE, I THINK ONE OF [07:05:01] 'EM, I WAS LIKE, OH, WHAT WAS THAT? I DON'T KNOW THAT WE'VE EVER TALKED ABOUT THAT. AND IT DISAPPEARED. ONE OF MY COMMENTS WAS EVEN WHEN THEY DISAPPEARED, CUZ WE'VE SUCCESSFULLY FINISHED IT, TO CARRY THAT AGAIN THROUGH ONE MORE YEAR AND CELEBRATE IT IN THAT CHART THAT WE SEE. I MEAN, IT'S THERE AND IT'S LIKE IT'S COMPLETED. IT'S JUST ANOTHER REC ACKNOWLEDGEMENT FROM US IN OUR EYES THAT WE GET TO SEE THAT. UH, BUT THEN I ALSO NOTICED LOTS, SOME POP UP AND MANY OF THEM I RECALL FROM OUR JANUARY WORK GROUP, BUT THERE'S A COUPLE THAT I'M, I DON'T RECALL THAT WE HAD A CONVERSATION ABOUT. AND SO I THINK JUST SORT OF THAT PROCESS I'M INTERESTED IN LEARNING MORE, MAKING SURE I UNDERSTAND IT, AND THEN HAVING A CONVERSATION WITH BOTH OF YOU MOVING FORWARD ABOUT HOW THAT WORKS. SO THAT'S ALL I'M GONNA SAY TODAY, MAYOR. THANK YOU. OKAY. ANYTHING ELSE? OKAY, SHERRY. OKAY. UM, SO WE HAVE HERE A SUMMARY BASED OFF OF CATEGORY AND I HAVE THEM IN, UM, LARGEST TO SMALLEST, UH, RANK ORDER. UM, THE SEDONA IN MOTION, UM, CARRYOVER MONIES 13.7 MILLION. NEW APPROPRIATION 6.5 FOR A TOTAL IN THE FISCAL YEAR 24 BUDGET OF THE 20 MILLION. UM, WASTEWATER IS THE NEXT LARGEST CATEGORY, UM, TOTAL FOR FISCAL YEAR 24 AT THE 5.6 MILLION PARKS AND RECREATION, 3.8 PUBLIC TRANSIT 1.7 AND THEY GO DOWN FROM THERE. UM, ONE OF THE QUESTIONS THAT I ALWAYS GET EVERY YEAR DURING THIS PROCESS IS HOW MUCH HAVE WE SPENT ON, UM, SIM PROJECTS AND, UM, WE CREATED, UM, A COUPLE YEARS AGO, UH, UH, BASICALLY TRANSIT IS SORT OF A SUBCATEGORY OF OF SIM BECAUSE IT REALLY IS PART OF THE SIM UM, COMPONENTS. BUT WE WANTED TO BE ABLE TO TRACK PUBLIC TRANSIT SEPARATELY BECAUSE OF THE SIGNIFICANCE OF THE SYSTEM. SO THE AMOUNTS SPENT ON THOSE SIM AND, UM, PUBLIC TRANSIT PROJECTS TO DATE. UM, THERE'S 25.4 MILLION THAT IS INCLUDING SINCE WE STARTED THE PROGRAM FISCAL YEAR 18 THROUGH THE FISCAL YEAR 22 ACTUAL PLUS OUR ESTIMATES FOR FISCAL YEAR 23. SO THAT'S KIND OF WHERE WE'RE AT NOW. UM, AND THEN THE OTHER THING, SO THE, I MENTIONED EARLIER ABOUT THE, THE NEGATIVE OFFSET. SO $2 MILLION WAS THE NEGATIVE OFFSET THAT WE HAD, UM, TO ASSUME THAT COST WOULD CARRY OVER. UM, SO, UM, WITHOUT THAT OFFSET WE'D BE AT 36 MILLION. SO WE'RE REDUCING THE 34 MILLION AND WE HAVE THAT LUMPED INTO THIS, UM, SEDONA MOTION CATEGORY BEING THE LARGEST CATEGORY COULD BE THE MOST LIKELY PLACE WHERE SOME OF THAT WOULD SLIP, BUT IT'S DOESN'T NECESSARILY MEAN THAT AT ALL. IT COULD BE ANY OF THE, ANY OF THE CATEGORIES. UM, AS FAR AS THE UM, CHANGES, UM, IN YOUR BOOK. UM, SO ON THE CIP PAGES, UM, CIP DASH EIGHT AND NINE, UM, WE STARTED THIS LAST YEAR WHERE WE WERE DOING SOME COMPARISON, UM, WHERE THE PROJECTS ARE AT. WE HAD, UM, BEEN GETTING, UM, WORD THAT ESTIMATION OF, OF C I P PROJECTS. UM, CAPITAL CONSTRUCTION COSTS WOULD GO UP, UM, TWO OR THREE TIMES OF WHAT THEY WERE. AND SO WE WANTED TO HAVE AN IDEA OF WHERE WE STAND ON THAT. SO THE, UM, ACTIVE PROJECTS THAT WE HAVE, UM, THAT ARE NOT FIRST APPROPRIATED IN FISCAL YEAR 24, THE ONES THAT ARE CARRYOVER PROJECTS. SO THE PROJECTED BUDGET TOTAL FOR FISCAL YEAR 24 IS UM, 123 MILLION. WHEREAS THOSE PROJECTS WHEN THEY'RE ORIGINALLY ESTIMATED WERE AT 70 MILLION. SO THE INCREASE OVER THAT ORIGINAL IS 53 MILLION. UM, AND THEN WHEN WE COMPARE TO LAST YEAR, THOSE PROJECTS WERE A HUNDRED MILLION. SO IT'S A 22 MILLION INCREASE OVER, UM, FISCAL YEAR 23, WHICH THAT 22% INCREASE IS LESS THAN WHAT THE INCREASE WAS FROM FISCAL YEAR 22 TO FISCAL YEAR 23. SO MM-HMM. , I'M HOPING THAT MEANS WE'RE GONNA GET TO A LEVELING OUT OF THE CONSTRUCTION COSTS, BUT I DUNNO, , UM, WHEN WE LOOK AT THE CAPITAL IMPROVEMENTS BY THE FUNDING SOURCE, SO I HAVE AT THE TOP THE UNRESTRICTED FUNDING SOURCE WITH THE CAPITAL RESERVE. SO, UM, THIS 34 MILLION IS, UM, ASSUMING THAT WE'LL SPEND 3 MILLION IN CAPITAL RESERVES, OUR UNRE UNRESTRICTED DOLLARS. SO, UM, WE'RE LEVERAGING THAT MONEY WITH AN AWFUL LOT OF OTHER, UM, SOURCES. THE LARGEST BEING THE DEBT FINANCING. SO [07:10:01] THE, UH, REMAINDER OF THE 25 MILLION OF BOND PROCEEDS, UM, AT 15 MILLION THAT I'M SAYING THAT, UM, OUR ASSUMPTION IS THAT IT WILL BE SPENT BY THE END OF THE FISCAL YEAR IF THINGS PROCEED AS THEY ARE. AND AS I MENTIONED YESTERDAY, MY BIG HOPE THAT WILL HELP KEEP US THERE IS THAT FOREST ROAD CONTINUES AT THE PACE THAT IT'S PROJECTED. AND I THINK THAT WILL SAVE US, OH, DON'T CHAIR, ARE WE BACK? SO WE'RE ACTUALLY MEETING NEXT WEEK TO, UH, WITH THE CONTRACTOR TO DISCUSS DETAILS OF THEM, YOU KNOW, GETTING BACK AT FULL CONSTRUCTION. SO I WOULD SAY BY JULY THAT'S OUR OCCUR CURRENT ESTIMATE. YOU SHOULD SEE THEM BACK OUT THERE IN FULL FORCE AND THE UTILITIES ARE COMPLETED, THEY'RE BEING COMPLETED LIKE RIGHT NOW. SO THAT, THAT'S DEFINITELY, THAT BEING FULLY COMPLETED IS WHAT'S HOLDING UP THEM GETTING BACK ON SITE. BUT, BUT THAT, LUCKILY THAT WORK IS OCCURRING RIGHT NOW. SO, SO YOU'RE CONFIDENT, I'M PRETTY CONFIDENT THAT JULY IS OUR, OUR TIME , BUT I I WILL KNOW A CERTAIN DATE NEXT WEEK ARE, ARE THEY CHARGING US LIKE WAIT TIME OR THEY HAVE NOT. UH, SO THAT, THAT'S, THAT WAS, UH, PART OF THE AGREEMENT WITH THEM IS THAT THEY, THEY TOOK EQUIPMENT, MOVED IT OFFSITE, THEY HAD ENOUGH OTHER WORK GOING ON THAT IT WAS ACTUALLY HELPFUL FOR THEM TO BE ABLE TO FOCUS ON THE OTHER THINGS. UM, HAD HAD ALL OF THEIR EQUIPMENT AND EVERYTHING STAYED ON SITE, UM, THAT WOULD'VE BEEN HUGELY EXPENSIVE. SO THAT, THAT'S ONE GOOD THING IN, IN ALL OF THIS THAT'S, BUT WE HAVE TO PAY FOR THE REMOVAL OF THE EQUIPMENT AND THEN BRINGING IT BACK. THE REBIL? YES. OKAY. IS WHAT IT IS. A DISCUSSION WITH A APS THAT HAD THE PROBLEM WITH THE EQUIPMENT ABOUT THE, UH, MOVING OF THE UTILITIES OF THEM HELPING TO FUND THAT. UH, THEY, THEY HAVE, UH, ACTUALLY WORKED WELL WITH US ON GETTING THEIR FACILITIES RELOCATED, UM, RIGHT. BUT THEY'RE GONNA HELP OFFSET SOME OF THE ADDITIONAL COSTS THAT WE SHOULDN'T HAVE HAD TO PUT OUT FOR THE BRINGING ALL THE EQUIPMENT BACK. MM-HMM. NO, NO. UM, I I DON'T SEE A WAY THAT WE COULD, UM, REQUIRE, I DIDN'T SEE, REQUIRE JUST UTILITIES, YOU KNOW, IF, BUT IF IT HASN'T BEEN DONE, DON'T WORRY ABOUT IT. NO, JUST A QUESTION. THANK YOU. OKAY. UM, THE, UH, NEXT LARGEST CATEGORY WOULD BE THE, THE PROJECTS IN THE WASTEWATER FUND THAT ARE FUNDED WITH THE WASTEWATER REVENUES AND THE EQUIPMENT REPLACEMENT RESERVE IN THAT FUND, 5.5 AND THEN THE TRANSPORTATION SALES TAX DEVELOPMENT IMPACT FEES, AND THEN GOING DOWN FROM THERE, UM, WE ARE GETTING, UH, WE ARE SHOWING A SUBSTANTIAL AMOUNT, UM, WITH THE GRANTS AND DONATIONS OF 2.2 MILLION. HOWEVER, UM, 450,000 OF THAT, UH, WON'T BE HAPPENING FOR THAT, THAT ONE GRANT, UM, THAT THE STATE GRANT THAT MAYBE WILL GET THE 4.5 MILLION NEXT TIME AROUND, BUT THAT THEY DID NOT APPROVE. OKAY. UM, SO ANY, ACTUALLY, IF YOU WANNA LOOK IN YOUR BOOKS, UM, AT, UM, CIP DASH SEVEN, SO AT THE VERY END OF THAT SUMMARY SCHEDULE IS IDENTIFICATION OF, SO THERE'S THE 34 MILLION IN THE FISCAL YEAR 24 COLUMN TO START OFF WITH OF WHAT THE PROJECT COSTS ARE. AND ONE OF THE WAYS THAT WE LOOK AT, UM, THE, THE DOLLAR AMOUNT TO FIGURE OUT ARE WE IN A GOOD RANGE. SO WE LOOK AT THE THINGS PULLING OUT WHAT'S GONNA BE MANAGED BY OTHER THAN THE PUBLIC WORKS, UM, PROJECT MANAGERS. AND SO BACKING ALL OF THAT INFORMATION OUT GETS US TO 26.6 UH, MILLION, WHICH IS, IS SIGNIFICANT COMPARED TO WHAT HAS BEEN ACCOMPLISHED IN PRIOR YEARS. BUT WHEN YOU LOOK AT THE DOLLAR AMOUNTS THAT ARE IN HERE, AND AS, AS WE TALKED ABOUT YESTERDAY, A A VERY LARGE PROJECT COMPARED TO A SMALLER PROJECT, THERE IS NO CORRELATION OF LIKE, IF THIS PROJECT IS, IS TWICE THE COST OF THIS ONE, IT TAKES TWICE THE AMOUNT OF TIME IT YOU, YOU'LL END UP SPENDING MORE THAN, THAN HALF THAT TIME ON THE SMALLER PROJECT. IT'S JUST HOW IT WORKS. THERE'S JUST THE, UM, KIND OF THAT ECONOMIES OF SCALE. BUT OF THAT, UM, 26 MILLION, UM, THERE'S SOME REALLY SIGNIFICANT ITEMS IN HERE. UM, FOR INSTANCE, THE, UH, FOREST ROAD WE'VE GOT, UM, 12.9, SO BASICALLY 13 MILLION. UM, SO THAT'S 13 MILLION [07:15:01] JUST IN ONE PROJECT ALONE ALL BY ITSELF. AND THEN ANOTHER THREE AND A HALF MILLION FOR THE UNDERPASS. SO THEN THAT PUTS US AT NINE AND A HALF MILLION. UM, AND WAS THERE OTHER REALLY LARGE ONES, ANDY, THAT WE SHOULD POINT OUT? THOSE WERE THE REALLY SIGNIFICANT AS FAR AS CAPITAL PROJECTS FOR 24. YEAH. UM, I THINK THAT WAS THE TWO REALLY BIG ONES. WELL, YEAH, SO THE PEDESTRIAN CROSSING FOREST ROAD AND THE, UM, THE PARKING EVALUATION SLASH POTENTIAL GARAGE AND THERE'S ONLY 1 MILLION IN HERE FOR THAT FOR 24. OKAY. UM, YEAH, SO THE PEDESTRIAN CROSSING AND THE FOREST ROAD PROJECT, THOSE TWO ARE, ARE THE BIGGEST. RIGHT. SO, SO THAT, THAT BRINGS US TO LIKE NINE AND A HALF MILLION SPREAD ACROSS ALL THE OTHER PROJECTS THAT ARE A LOT SMALLER. THESE TWO ARE REALLY, REALLY SIGNIFICANT. MM-HMM. LARGE PROJECTS. SO IN A GUESS OF LIKE HOW MUCH, SO I I I'M NERVOUS MYSELF OF LIKE, I, I ONLY PUT IN 2 MILLION AS A CARRYOVER, UM, BECAUSE I, IT'S HARD TO KNOW HOW MUCH IS GOING TO PROGRESS ON THESE. AND SO IF YOU'RE, IF YOU'RE LIKE, YOU KNOW WHAT, WE WANNA FOCUS IN ON CERTAIN THINGS AND, AND NOT OTHERS, YOU KNOW, TO BRING THE BUDGET DOWN OR IF YOU'RE OKAY WITH WHERE THE BUDGET IS AT. UM, BUT BIG PART OF THE REASON WHY THIS IS AS HIGH AS IT IS, IS BECAUSE YOU'VE GOT TWO VERY LARGE PROJECTS IN THERE THAT MAKE UP MORE THAN HALF OF THE COST. THAT'S IN THE, THE FISCAL YEAR 24 BUDGET. OKAY. SAY THAT, SAY THAT AGAIN. WHAT THE TWO PROJECTS, WHAT ARE THE NUMBERS? FOREST ROAD AND THE UNDERPASS, RIGHT, BUT WHAT ARE THEIR NUMBERS? THE UNDERPASSES 3 MILLION, THE UNDERPASS THREE AND A HALF MILLION AND 13 MILLION FOR, UM, FOREST ROAD. SO OUT OF THE 26 MILLION, THAT'S 16 AND A HALF MILLION. ANDY. OKAY. I, ANDY, I'M LOOKING AT YOU AND I CALLED YOU ANDY. I DO IT ALL THE TIME. DON'T WORRY ABOUT IT. I HAVE A QUESTION FOR ANDY , WE'RE GONNA CALL YOU, UH, BRIAN IS I WANNA, CAN I CALL HIM? BRIAN'S FINE. NO, YOU CALL HIM BRIAN. YOU CAN'T CALL ME BRIAN. OKAY. YOU CAN ONLY, OR WE CAN CALL ALL OF US. BRIAN, GET IT. RIGHT. OKAY, LET'S GO. HEY, BRIAN. . UM, ANDY, YES. THE NUMBER'S VERY HIGH AND, UH, I, MY QUESTION TO YOU, A, AS SHERRY JUST POSED THE QUESTION OF THE NUMBER OF PROJECTS WOULD DO, MY, MY SENSE IS THAT YOU AND YOUR STAFF PUSH TOTALLY HARD ON EVERY SINGLE ONE OF YOUR PROJECTS, WHETHER IT'S A LARGE ONE OR A SMALL ONE. MM-HMM. . UM, IS IT YOUR SENSE IF WE HAD FEWER PROJECTS THAT YOU COULD GET SOME OF THEM DONE QUICKER? THAT'S NOT MY SENSE, BUT I REALLY WANNA CHECK WITH YOU, UH, WHETHER A REDUCED C I P WOULD MEAN THAT YOU COULD COMPLETE MORE PROJECTS ON SCHEDULE. I, I REALLY DON'T FEEL LIKE NECESSARILY LESS PROJECTS WOULD HELP. THAT WAS MY, THAT WAS MY GUT FEELING, BUT I WANTED TO CHECK WITH YOU, . UM, YOU, YOU KNOW, IT'S, IT'S, YOU KIND OF DISTRIBUTE THE PROJECTS BASED ON THE CAPACITY OF EACH PROJECT MANAGER. AND, UM, SO IF WE HAD LESS PROJECTS, THAT MIGHT MEAN THAT POSSIBLY EACH PROJECT MANAGER WOULD BE WORKING ON LESS PROJECTS. YEAH. BUT IT, THEM, THEM GETTING COMPLETED REALLY HAS MORE TO DO WITH THE COMPLEXITY OF THE PROJECT, UM, AND EXTERNAL FACTORS RATHER THAN ON THE CAPACITY OF YOUR STAFF. YES. OKAY. THANK YOU. , LET ME PUT WORDS IN YOUR MOUTH. . YEAH. LET'S ALL THOSE EXTERNAL FACTORS. THANK YOU. MM-HMM. . AND SO VICE MAYOR. THANK YOU. SO THERE ARE GONNA BE EXTERNAL FACTORS? THERE ARE EVERY YEAR. YES. SO IF WE MADE AN ASSUMPTION OH, I, I KNOW, I KNOW THAT THAT WOULD CONTINUE. I THINK THAT'S PRETTY MUCH GOING TO CONTINUE. THEN THERE IS GONNA BE, I MEAN, I LOOKED AT THE NUMBERS OF, OF HOW OVER THE YEARS, AND THERE'S ONLY ONE YEAR, AND I DON'T REMEMBER WHICH YEAR IT WAS, WHERE THE AMOUNT [07:20:01] BUDGETED AND THE AMOUNT EXPENDED WAS CLOSE, AND IT WAS OFF BY 2 MILLION. IT'S LIKE 10 MILLION TO VERSUS 12 MILLION. RIGHT. RIGHT. BUT THE REST HAS BEEN PRETTY WIDE GAPS. AND IT IS A, IT IS A BIG BUDGET, AND IT HAS, AND LAST YEAR WE HAD THE SAME CONVERSATION. WE SAID, OH, BUT IT'S CONTRACTED, SO IT'S DEFINITELY GONNA HAPPEN. AND THEN FOR A VARIETY OF REASONS OUT OF OUR CONTROL, IT DIDN'T HAPPEN. SO SAME THING'S GONNA HAPPEN NEXT YEAR, SOMEWHAT IN OUR CONTROL, BUT YEAH. RIGHT. WELL, IT IS. AND, AND SO I GUESS WHAT I'M SAYING IS THAT, HOW MUCH WOULD YOU BE COMFORTABLE LOWERING THIS BUDGET? WELL, IT, IT, IT'S SIMILAR TO LAST YEAR WHERE IF YOU LOOK AT, LIKE SHERRY SAID, HALF THE BUDGET IS IN PROCESS RIGHT NOW MM-HMM. . AND SO WHILE THERE'S CONCERN OUT THERE FOR, IS IT, IS IT GONNA GET DONE? IS IT GONNA BE CLOSE TO WHAT WE'RE PROJECTING? I HAVE THE SAME KIND OF KIND OF CONCERN OVER IF, IF YOU KEEP THE SAME PROJECTS THERE AND YOU PULL THE PROJECT FUNDING BACK, AND WE'RE SAYING THINGS ARE IN PROCESS, IF YOU HELP US GET THINGS OUT OF OUR WAY, SO IT CAN HAPPEN, IT WILL HAPPEN. AND, AND, AND THAT'S, THAT'S THE BIG STRUGGLE IS I THINK MORE AND MORE AND MORE OF THESE EXTERNAL FACTORS ARE PLAYING A ROLE IN OUR ABILITY TO GET PROJECTS DONE. YOU KNOW, RECONSIDERING THINGS THAT WE'VE ALREADY GONE THROUGH. TREMENDOUS EFFORT TO PAVE THE PATH FOR. UM, IF WE WANTED TO GET MORE DONE, I THINK IF, IF THIS CITY COULD DEVELOP A STRATEGY FOR HOW TO PAVE THAT PATH TO GET IT DONE, THAT'S WHAT WOULD BE HELPFUL. AND THAT NOT ONLY WOULD THAT HELP GET THINGS DONE, BUT WHAT I WAS BEING ASKED YESTERDAY ABOUT SATISFACTION, JOB SATISFACTION, THAT KIND OF THING, THAT SUPPORT WOULD, WOULD ALSO COME INTO PLAY WITH THAT EFFORT AS WELL. BECAUSE COLLECTIVELY, YOU KNOW, THE COUNCIL HAS SAID, DO THESE PROJECTS FOR THESE REASONS. AND, UM, BEING ABLE TO TAKE THAT AND SAY, YOU KNOW, WE'RE GONNA BE COURAGEOUS AND STAND UP TO THOSE, THOSE, UH MM-HMM. SMALL FACTORS OF, WHAT WAS THE PHRASE, UM, SQUEAKY WHEELS THAT TRY TO TRY TO WHITTLE AWAY AT OUR, OUR PROGRESS. THAT WOULD BE TREMENDOUSLY HELPFUL. SO IT DIDN'T ANSWER MY QUESTION, BUT IT ANSWERED A DIFFERENT QUESTION. AND I THINK, WHICH IS IMPORTANT AS FAR AS THE DOLLARS GO, I THINK THE RISK, YOU KNOW, WE JUST TAKE, TAKE A RISK THAT IF THOSE PROJECTS DO GO AND THEY DO GO ON THE TIMELINES THAT, THAT WE'RE HOPEFUL FOR, AND WE ARTIFICIALLY REDUCE THE BUDGET, WHERE DOES THAT LEAVE US? MM-HMM. . SO IT IS JUST, YOU KNOW, THE, THE HEDGING ON THE SIDE OF ALLOWING, YOU KNOW, PAVING THE WAY FOR THINGS TO BE WILDLY SUCCESSFUL VERSUS THE RISK YOU TAKE IF YOU ARE ARTIFICIALLY REDUCE THE BUDGET TOO MUCH. AND THEN, YOU KNOW, WE'RE THREE QUARTERS THROUGH THE YEAR AND WE RUN OUT OF EXPENDITURE AUTHORITY, UNDERSTANDING THAT IT'S NOT THE LIKELY SCENARIO, BUT IT'S THE POSSIBLE SCENARIO. SO WE'RE HEDGING ON THE SIDE OF, OF DOING, GETTING ALL THIS DONE. AND THAT JUST MEANS THAT AT THE END OF THE DAY, SOMETIMES WE ARE UNDER BUDGET CON CONSIDERABLY, BUT THAT SEEMS LIKE A LOWER RISK TO ME THAN RUNNING OUTTA MONEY. OKAY. I JUST DIDN'T WANNA CUT YOU OFF. OH, NO, THANK YOU. OKAY. ALL RIGHT. I'M FINE. OKAY. GO AHEAD. ANYTHING ELSE ON C I P? NOPE. NO. OKAY. SO, UM, ON THE GENERAL FUND SURPLUS, UM, SO, UM, WE TALKED AT THE RETREAT SURPLUS IS, IS ESSENTIALLY THE MONEY OVER AND ABOVE WHAT OUR, UM, POLICY REQUIREMENTS ALL OF OUR, OUR RESERVE BALANCES THAT WE HAVE IN, IN THE GENERAL FUND, UM, AT THE REMAINDER OF THE YEAR. SO WE HAVE AN OPERATING RESERVE, WE HAVE ALL THOSE RESERVE REQUIREMENTS WHEN THEY'RE FULLY FUNDED AND WE STILL HAVE MONEY LEFT OVER THAT IS A SURPLUS. AND IT IS [07:25:01] ESSENTIALLY LIKE A ONE-TIME POT OF MONEY, UM, TO BE ABLE TO USE. OUR POLICY SAYS THAT WE WILL, UM, USE SURPLUSES FOR EITHER ELIMINATING SHORTFALLS AND OTHER FUNDS REDUCTION OR AVOIDANCE OF DEBT ONE-TIME CAPITAL NEEDS TAX FEE OR RATE STABILIZATION. UM, SO, UM, SHORTFALLS IN FUNDS LIKE THE HOUSING FUND, UM, CAPITAL RESERVE, SOME OF THOSE TYPES OF THINGS, UM, ARE, ARE THINGS THAT WE'VE DONE IN THE PAST. UM, THE, UM, P S P S UNFUNDED LIABILITY, SO THAT IS A DEBT THAT WE HAVE OUT THERE. IT IS A LIABILITY. SO USING MONEY TOWARDS THAT IS, IS ALSO ONE OF THOSE THINGS. UM, THE, UH, FISCAL YEAR 23 ESTIMATE IS THAT FOR SALES AND BED TAX IN THE GENERAL FUND IS IT WILL BE UNDER BUDGET 6.5 MILLION. AND YET WITH THAT, WE'RE STILL SHOWING THAT WE WILL HAVE A VERY, VERY SIGNIFICANT SURPLUS 12.3 MILLION IN FISCAL YEAR 23. SO I KNOW THERE'S BEEN A LOT OF TALK OUT THERE OF, OF, OH MY GOODNESS, WE'RE GONNA BE UNDER BUDGET ON SALES BED TAX REVENUE. YEAH. WE'RE STILL GONNA HAVE 12 MILLION SURPLUS. SO WE'RE FINE. UM, THE, UH, FISCAL YEAR 24 ESTIMATE IS BASED ON ANOTHER 3%, UM, BEYOND WHERE I'M ESTIMATING OUR GENERAL FUND SALES AND BED TAX WOULD BE FOR 23, ANOTHER 3% DOWN FROM THAT IN CASE WE HAVE A RECESSION AND STILL SAYING THAT WE WOULD HAVE A SURPLUS. UM, WHEN YOU LOOK AT HISTORY, WE'VE BEEN, UM, AT THE LOW END OF ONE, UH, 1 MILLION AND GOING UP TO LIKE THREE AND A HALF MILLION IN THE PAST. IT IS REALLY A RECENT THING TO HAVE THESE DOUBLE DIGIT SURPLUSES. THIS IS NOT SOMETHING THAT, THAT HAS BEEN HISTORICALLY HAPPENING. SO IT'S BEEN SINCE THIS BOOM THAT WE HAVE SEEN IN THE TOURISM FISCAL YEAR 21 WAS 12.2 MILLION, FISCAL YEAR 22, 13 0.8, BUT WE'VE ALREADY ALLOCATED, UM, THE 5.2 MILLION OF THAT FISCAL YEAR 23, UM, ESTIMATING 12.3 MILLION AND FISCAL YEAR 24 WITH ALL THE VARIOUS THINGS THAT WE'VE BUILT INTO THE FISCAL YEAR, 24 BUDGETS PUTTING US BACK WITHIN THAT RANGE OF WHERE WE WERE AT. BUT SOME OF THOSE ARE REALLY SIGNIFICANT ONE TIME THINGS THAT WE'RE DOING, SETTING UP OPERATING RESERVE FOR STREETS AND PUTTING IT EXTRA 2 MILLION INTO THE HOUSING FUND AND ALL OF THAT. RIGHT. ALL RIGHT. YEP. WHAT DO YOU WANT FIRST, SECOND, UH, POLICY QUESTION, QUESTION UNDER THE POLICY, A POLICY QUESTION. SO OUR USE OF OUR SURPLUSES, I READ THOSE THINGS AND THEY LOOK LIKE THEY'RE MOSTLY ONE TIME USES EXCEPT FOR PERHAPS THAT LAST LINE. IF WE ACTUALLY RATE STABILIZE OR TAX STATE, THAT'S ALMOST AN ONGOING EXPENSE. SO I'M CURIOUS WHETHER WE HAVE A POLICY OF USING SURPLUSES ONLY FOR ONE TIME EXPENSES, OR WE DON'T HAVE THAT POLICY HERE. WELL, SINCE THEY ARE, ARE TECHNICALLY ONE TIME FUNDING SOURCES TECHNIC, WE WOULDN'T WANT TO USE THEM FOR ONGOING MM-HMM. . UM, AND SO MAINTAINING A, A SURPLUS, WHICH WHICH WE HAVE HAD FOR MANY YEARS IN THE WASTEWATER FUND, IS PART OF WHY WE'VE BEEN ABLE TO HAVE THIS RATE STABILIZATION OF NOT INCREASING FEES, NOT INCREASING RATES FOR A VERY LONG TIME. OKAY. THANK YOU, KATHY. OKAY. SO SORRY. SO YOU'RE, YOU'RE WE, WE, THE MONEY THAT WAS IN 2015 THROUGH 2021 HAS BEEN ALREADY ALLOCATED, IT'S NOT AVAILABLE, IS THAT CORRECT? CORRECT. OKAY. SO, UM, THE SURPLUSES THAT WE'RE LOOKING AT, 8.6 MILLION FOR FISCAL YEAR 22, UM, IS THE AMOUNT THAT WE ARE SHOOTING FOR, UM, EXACTLY $8,634,278 , UM, THE 12 POINT, UM, 3 MILLION FOR FISCAL YEAR 23. IF YOU WANTED TO ALLOCATE SOME OF THAT, UM, WE COULD DO THAT AS WELL. UM, ARE THE, ARE YOU SAID THIS IS THE EXACT NUMBER, HAVE YOU STOPPED PAYING BILLS FOR THE MONTH? I MEAN, IS IT, IS THAT REALLY THE EXACT NUMBER FOR FISCAL YEAR 22? OH, 22, SORRY, SORRY, SORRY. YES. YES. I WAS LOOKING AT 23. THANK YOU. OKAY. UM, SO I WANTED TO COVER SOME OF THE THINGS WE'RE GONNA END UP, UM, LOOKING AT OUR LONG RANGE FORECAST. AND, UM, SO I WANTED TO COVER SOME OF THE THINGS THAT ARE IN THE, THE BASE. SO, UM, WE HAVE, UM, SINCE THE BEGINNING, UM, TALKED ABOUT THAT WE WOULD ISSUE BONDS FOR THE, UM, TRANSIT SYSTEM IMPLEMENTATION. SO WE DO HAVE THAT IN THERE. UM, I HAVE PUT IN, UM, IF WE ARE PROCEEDING WITH THE UPTOWN PARKING GARAGE, THAT WE WOULD ISSUE BONDS FOR THAT, UM, I DO NOT HAVE IN ISSUING [07:30:01] BONDS FOR THE PURCHASE OF THE SCHOOL DISTRICT ADMINISTRATIVE SITE. UM, JUST A FLAT PURCHASE AT THIS POINT IN TIME. UM, I HAVE IN THE LONG RANGE FORECAST, UM, UH, DEFERRED THE TWO CIP PROJECTS TO FISCAL YEAR 26TH THAT, THAT ROXANNE HAD RECOMMENDED FOR WASTEWATER. UM, AND THEN, UM, I HAVE BUILT IN, UM, COVERING THE GAPS, UM, THAT WOULD BE IN THE FUNDING WITH, UM, THE TRANSPORTATION SALES TAX FUND, CAPITAL IMPROVEMENTS, FUND DEVELOPMENT IMPACT FEE FUNDS OVER TIME. UM, LIKE FOR INSTANCE, THE CAPITAL IMPROVEMENTS FUND, WE HAVE THE, THE ONGOING ANNUAL TRANSFER OF 2.5 MILLION, BUT OVER TIME, THAT'S NOT ENOUGH. SO THIS INCLUDES COVERING THE, ANY OF THE DEFICITS THAT WOULD HAPPEN BEYOND, UM, WHAT THOSE BASELINE NUMBERS ARE. SO, UM, I THOUGHT IT WOULD BE HELPFUL TO HAVE SLIDES FOR YOU ON OKAY. WHERE THE BASELINE NUMBERS ARE IN THE FORECAST AND WHEN, THEN WE'RE GONNA GO THROUGH THE INTERACTIVE MODEL HERE IN JUST A MOMENT. OKAY. UM, SO WITH THE BASELINE, SO WHEN WE LOOK AT THESE, THIS DOTTED BLACK LINE IS WHAT OUR RESERVE REQUIREMENTS ARE FOR THE, THE GENERAL FUND. IN THIS PARTICULAR CASE, THE BLACK BARS IS WHAT I'M ESTIMATING FUND BALANCES WILL BE. SO YOU CAN SEE IN THE BASELINE VERSION WE'RE WELL ABOVE WHAT THE RESERVE REQUIREMENTS ARE. UM, AND IT DOES HAVE, ON HERE THE SOLID BLACK LINE IS, UH, REVENUES AND THE DOTTED RED LINE IS EXPENDITURES AND ALL THE VARIOUS TRANSFERS THAT WE DO TO THE OTHER FUNDS. UM, SO YOU CAN SEE THOSE GO UP AND DOWN, UM, IN THE DIFFERENT SCENARIOS THAT WE'RE GOING TO LOOK AT. BUT, UM, I FOCUS PRIMARILY ON THE BLACK BARS AND WHERE THEY ARE IN RELATION TO THE RESERVE REQUIREMENTS IN OUR BASELINE SCENARIO. AND, UH, SO WE'RE GONNA, WE'VE GOT ALL SORTS OF THINGS IN THE INTERACTIVE MODEL TO ADDRESS THE WASTEWATER FUND. THE BASELINE SCENARIO SHOWS THAT, UM, WE WOULD BE UNDER RESERVES, UH, REQUIREMENTS IN FISCAL YEAR 25 AND BE AT A DEFICIT IN 26 AND GOING FORWARD. SO THE DEFERRAL OF THE TWO PROJECTS THAT, THAT ROXANNE IS RECOMMENDING, UM, PUTS US IN BALANCE FOR FISCAL YEAR 24. BUT THAT'S IT. OKAY. SO, UM, I, I KIND OF THOUGHT MAYBE I SHOULD PUT THIS CAVEAT ON HERE FOR INTERACTIVE MODELS. SO WE'RE GONNA HAVE ALL THESE DIFFERENT SCENARIOS THAT WE'RE GOING TO LOOK AT, AND THESE ARE, IF, IF THESE THINGS WOULD HAPPEN, UM, HOW WOULD THE NUMBERS LOOK OR IF THESE DECISIONS WERE MADE, THESE ARE HOW THE NUMBERS ARE LOOKED, DOESN'T MEAN THAT THAT'S THE DECISIONS THAT YOU, YOU WILL MAKE. THIS IS PRIMARILY FOR PEOPLE THAT ARE WATCHING THE, HOW MANY, HOW MANY PEOPLE WERE AT 85, 90, 90 80. SO, UM, SO IT DOESN'T REPRESENT DECISIONS, IT'S JUST A WHAT IF SCENARIO, WHAT IF THIS, WHAT IF THAT? UM, AND JUST REALLY WANNA MAKE SURE EVERYONE UNDERSTANDS THAT THE CITY, WHEN WE LOOKED AT THAT SLIDE OF HOW FUND BALANCES HAVE BEEN ABOVE WHAT AN ANNUAL EXPENDITURES HAVE BEEN, THE CITY HAS, HAS, HAS A VERY LONG HISTORY OF BEING VERY PROACTIVE AND PRUDENT IN THEIR FINANCIAL DECISIONS. SO, UM, SO WE, WE ARE IN A STRONG POSITION AND WE HAVE SOME, SOME OPTIONS. SO NOW I'M GOING TO SWITCH OVER AND WE'RE GONNA TAKE A LOOK AT THE MODEL. I WAS JUST THINKING, OKAY, SO ACTUALLY LET'S START ON THE WASTEWATER FUND. SO THIS IS, UM, SET TO THE BASELINE THAT YOU SEE IN YOUR SLIDES. AND, UM, COULD YOU TALK MORE INTO THE MIC? THIS IS, OH, SORRY, SORRY, I KNOW IT'S HARDER ON THAT SHEET. YEAH, SO, UM, THE, THE SETTINGS THAT ARE IN HERE IS THE, THAT BASELINE SCENARIO THAT YOU HAVE IN YOUR, YOUR SLIDES. UM, THE, UM, C I P COSTS. SO WE, WE ARE LOOKING AT, UM, 22% INCREASE FROM 23 TO 24. UM, I HAVE BUILT IN HERE RIGHT NOW. UM, I'M NOT ASSUMING THAT LIKE EVERY YEAR IT'S GOING TO BE AT LIKE 20 OR PERCENT OR MORE, BUT WE CAN LOOK AT SOME OF THOSE SCENARIOS. BUT OVER TIME, I'M, I'M SAYING, OKAY, WELL MAYBE 10% INCREASE, UM, CU CUMULATING ACROSS TIME. SO IF I SAY C I P COSTS ARE GOING TO INCREASE THAT MUCH, THEN OF COURSE IT MAKES THINGS EVEN WORSE. UM, IF WE SAY THAT WE'RE GONNA START A 2% RATE INCREASE IN FISCAL YEAR 25, CUZ IT WOULD TAKE US SOME TIME TO GET THE RATE STUDY [07:35:01] FINISHED, THAT DOESN'T REALLY HELP MUCH, IT WOULD TAKE A REALLY LARGE INCREASE. SO IF I GO OUT TO SAY 15% INCREASE EVERY YEAR, STARTING FISCAL YEAR 25, WE'RE STILL NOT OUT OF THIS, THE ANSWER IS NOT USING RATE INCREASES, RE INCREASES TO BUY US OUT OF THE WELLS IF WE'RE MOVING FORWARD WITH THE WELLS. SO I'M GONNA CHANGE THIS BACK TO LIKE 2%. SO IF WE PROCEED WITH THE WELLS, THEN UM, I'M SAYING WE WOULD NEED TO ISSUE BONDS TO BE ABLE TO DO THAT. AND THEN THAT PUTS US IN A MUCH BETTER POSITION. UM, WHEN I SAY, OKAY, WE ISSUE BONDS AND YES, WE'RE GONNA NEED TO DO MORE OF A RATE INCREASE. IF I SAY 5% DOESN'T REALLY QUITE PUT US THERE. UM, BUT WE HAVE BETTER OPTIONS IF I, IF I, OUR ALTERNATIVE HERE. SO IF WE DON'T NEED THE WELLS, UM, SO I CAN TURN THIS BACK OFF OF WE DON'T NEED, OOPS, WE DON'T NEED THE DEBT PAYMENTS AND THE, MY MY SAYING WE'RE ISSUING BONDS TO COVER THE COST KIND OF NETS OUT THE COST OF THE BO THE WELLS AND THEN THE WELLS, IT'S LIKE THE WELLS DON'T EXIST. UM, SO THEN WE'RE IN A PRETTY GOOD POSITION, UM, BUT STILL NEEDING RATE INCREASES, UM, TO BE ABLE TO DO THIS. CUZ IF I TAKE OFF THE, THE RATE INCREASES, UM, WE ARE STARTING TO NOT MEET OUR RESERVE REQUIREMENTS. SO IS THAT THE 2% RATE INCREASE? THIS, THIS ONE HAS FIVE. IF I SEE TWO, UM, YOU CAN SEE LIKE YOU DIDN'T REALLY SEE MUCH MOVEMENT. OH WAIT, LET ME TURN IT BACK ON. SO THAT'S AT TWO AND IF I SAY FIVE MM YEAH, SO A LITTLE BIT OF, OF DIFFERENCE THERE MM-HMM. , SO THAT'S 5% WOULD BE $3, APPROXIMATELY $3 ON THE 61 APPROXIMATELY. YEAH. AND $2 AND 50 CENTS APPROXIMATELY ON THE 47, WHICH I RAISED TO 50. RIGHT. SO WE'RE NOT TALKING ABOUT A HUGE INCREASE. DO WE HAVE ANY LOW IF PEOPLE ARE CAN'T AFFORD, DO WE HAVE ANY OFFSETS FOR, FOR LOW INCOME INDIVIDUALS? YES. YES. SO WE HAVE A LOW INCOME RATE THAT IS, DO YOU KNOW THAT OFF THE TOP OF YOUR HEAD? 30 SOMETHING, 30 SOMETHING DOLLARS? YEAH. 30 IN THE THIRTIES, RIGHT? YEAH. OKAY. UM, SO AS FAR AS THE, THE WASTEWATER FUND IS CONCERNED, IN MY MIND, ONE OF THE BIG KEY THINGS HERE IS, UM, ARE WE DOING THE WELLS? ARE WE NOT DOING THE WELLS? SO WE HAVE A LITTLE BIT OF TIME, UM, TO DECIDE, OKAY, YOU KNOW, WE, WE WANNA KNOW WE'RE DOING THE WELLS BEFORE WE ISSUE BONDS. WE'RE NOT, WE'RE NOT GOING TO DO THAT. UM, BUT I DO FEEL LIKE WE NEED TO START REVIVING THE WASTEWATER RATE STUDY COMING UP WITH WHAT ARE WE GOING TO DO, UM, AT SOME POINT SOON. AND AS I MENTIONED, I THINK THE NEXT STEP IS REALLY TALKING TO A WORK GROUP, TALKING TO WHO? A WORK GROUP PUTTING TOGETHER WHAT I WAS THAT'S WHAT I WAS GONNA SUGGEST. COULD I I HAVE A QUESTION, JUST A, A QUICK QUESTION. SURE. ARE YOU DONE? I WASN'T, BUT I'LL LET YOU GO ANYWAY. I JUST WANTED TO KNOW WHEN OUR LAST RATE INCREASE WAS. OH WOW. UM, I THINK IT WAS AROUND FISCAL YEAR 18, 17 OR 18. SO IT'S BEEN QUITE, QUITE A WHILE. IT'S BEEN A LONG TIME. THANK YOU VERY MUCH. YEAH. COPIES. YEAH. AND WE, AND WE HAD BUILT UP BECAUSE, UM, COMPARED TO WHAT THE PREVIOUS RATE STUDY HAD ESTIMATED AND HOW MUCH SUBSIDY WE WERE ACTUALLY PUTTING INTO THE WASTEWATER FUND WHEN IT WAS BASED OFF OF A PERCENTAGE OF SALES OF BED TAX REVENUE, WE WERE PUTTING IN FAR MORE THAN WHAT THE RATE STUDY WAS ASSUMING MM-HMM. PREVIOUSLY. AND SO THEN WE BUILT UP A VERY LARGE EXCESS AND THAT'S WHY WE'VE BEEN ABLE TO GO SO LONG, UM, BECAUSE OF RELYING ON THAT SURPLUS MONEY. OKAY. PETE, MAYOR, UH, IF, IF NO WELLS, I, I FORGET WHAT ROXANNE SAID BEFORE, BUT IF NO WELLS WE NEED TO UPDATE THE, UH, SPRAY SYSTEM. YES. IS THAT A BIG THING? IS THAT MOVE THESE NUMBERS AROUND? DOES IT, SO THE, WHAT SHE HAD ORIGINALLY PUT IN HER REQUEST FOR THE IRRIGATION SYSTEM WAS LIKE AROUND TWO AND A HALF MILLION. I THINK, UM, IT'S REALLY SIGNIFICANT ENOUGH THAT KAREN WAS LIKE, WELL, WELL, IF WE MOVE THE WELLS UP AND, AND THEN WE WOULDN'T NEED TO DO THAT. AND THAT INSTEAD OF DOING THAT AND THEN DOING THE WELLS AND THEN, AND NOW IT SOUNDS LIKE MAYBE THERE'S A POSSIBILITY YOU WON'T NEED TO DO THE WELLS, BUT THAT'S STILL A WAYS OUT FIVE YEARS. AND IF IT'S THAT LONG, THEY MIGHT BE SPENDING A LOT OF MONEY AND TIME ON BAND-AIDS ON THE IRRIGATION SYSTEM. RIGHT. BUT MY [07:40:01] THING IS THIS, IF WE GO MORE TOWARD WELLS, IT'LL FREE UP THAT LAND IN A NUMBER OF YEARS. IT BE A NUMBER OF YEARS WHERE MAYBE WE COULD DO SOMETHING IF WE HAD TO. RIGHT NOW WITH, UH, WITHOUT THE WELLS, WE CAN'T USE THAT LAND FOR ANYTHING FOR THE MOST, BUT, BUT IF IT TURNS OUT WE DON'T NEED THE WELLS, IT STILL FREES UP THE LAND. RIGHT. RIGHT. MM-HMM. . OKAY. THAT WOULD BE F WAIT, WE WOULDN'T NEED THE WELLS FOREVER. THAT'S RIGHT. IF IF THIS OH, THE OTHER, THE OTHER PLAN. YES. THAT THAT'S TRUE. I WASN'T THINKING ABOUT THAT. WHAT OTHER PLAN Y OH. WHICH WE CAN'T DISCUSS RIGHT NOW, SO, OKAY. ANY QUESTIONS? ANYTHING MORE YOU WANT ON THE WASTEWATER FUND? UM, SO YEAH, I DO. SO IF YOU GO FOR ASSISTANCE WORK GROUP, WHEN WOULD YOU PLAN TO DO THAT? A YEAR, TWO YEARS THIS YEAR? UM, DEPENDING UPON HOW THINGS GO OVER THE NEXT FEW MONTHS, I I WOULD REALLY HOPE TO LIKE HAVE A WORK GROUP MAYBE IN THE FALL. THAT'S WHAT I WAS THINKING. WINTER TIMEFRAME. IT COULDN'T HURT TO DO IT SOONER INSTEAD OF WAITING LATER. RIGHT. BECAUSE GOING THROUGH THAT PROCESS AND THEN GOING THROUGH WHAT THE PROCESS AFTER THAT OF IF THEY'RE SUPPORTIVE, UM, AND GOING THROUGH RATE INCREASE AND ALL OF THAT, AND ES ESSENTIALLY, WE WERE ALREADY TALKING THAT CHANGING THE STRUCTURE MEANT SOME PEOPLE WOULD GO DOWN, BUT SOME PEOPLE WOULD GO UP. SO WE STILL HAVE TO TREAT IT LIKE A RATE INCREASE WITH ALL THE NOTICES AND EVERYTHING BECAUSE IT WOULD INCREASE FOR SOME, AND NOW WE'RE TALKING ABOUT, WE ACTUALLY NEED TO ACTUALLY INCREASE THE TOTAL AMOUNT OF THE REVENUE. WE, WE, SO WE HAD A RATE INCREASE SCHEDULED WHEN DID THAT, AND WE, WE STOPPED IT. RIGHT. WE, WE PUT A RATE ON IT. HOW, HOW MANY YEARS DID THAT GO OUT FOR THE, YOU SAYING FOR THE RATE STUDY? YEAH, WE, SO THERE WAS A RATE STUDY AND THERE WAS A PROGRESSION OF INCREASES OVER A PERIOD OF TIME THERE. YES. THERE WAS A PREVIOUS RATE STUDY. RIGHT. UM, THAT IT WAS AROUND 2017 OR 2018. I FORGET WHAT YEAR THE, WAS THE LAST INCREASE THAT WE DID. AND THEN THERE'S, BUT NOTHING SINCE. RIGHT. BUT WE, I THINK WHAT COUNCIL DID, AS I REMEMBER, WAS PUT A FREEZE ON THE INCREASE. SO WE'RE NOT GONNA INCREASE IT, BUT THE BUT THE RATES STILL, THE INCREASES STILL EXISTED. WE JUST DIDN'T IMPLEMENT THAT. I REMEMBER THAT. YEAH. SO, UM, THERE WAS AN ORDINANCE PASSED THAT ONLY AUTHORIZED HAVING THE INCREASES UP TO A CERTAIN AMOUNT OF TIME. RIGHT. EVEN THOUGH THAT CONSULTANT SAID THAT YOU WOULD NEED INCREASES GOING ON IN THE FUTURE. RIGHT. BUT WE WERE SAYING WE ARE SO OVERFUNDED BECAUSE OF PUTTING MORE MONEY IN THAN WHAT THE RATE STUDY ASSUMED, UM, BETWEEN THAT AND THEY ASSUMED COSTS HIGHER THAN WHAT THEY REALLY WERE. AND SO THERE WAS THIS SURPLUS THAT WAS BUILT UP AND IT DIDN'T MAKE SENSE TO HAVE RATE INCREASES, UM, WHEN WE WERE WELL OVERFUNDED. RIGHT. AND I UNDERSTAND THAT, BUT WHAT I'M SAYING IS THAT MAYBE KIRK CAN CHECK THIS OUT, HOW FAR OUT DID THE ORDINANCE GO IN INCREASING THE, THE RATES? ARE WE BEYOND THAT POINT? WE DIDN'T CHANGE THE ORDINANCE. WE, WE MADE THOSE INCREASES THAT WERE IN THAT ORDINANCE, AND THEN WHEN THE ORDINANCE STOPPED, THAT'S WHEN WE STOPPED. I THINK WHAT IT EXPIRED. IT EXPIRED. THAT, THAT'S MY QUESTION. OKAY. SO, UM, YOU WANNA MOVE ON? MM-HMM. CONTINUE WITH THE, OKAY. SO MOVING ON TO THE GENERAL FUND. WELL, WE DONE WITH ALL THE INTERACTIVE WITH THE WASTEWATER FUND HONOR MAYOR, ARE WE, ARE WE PROVIDING DIRECTION? I MEAN, IS THAT, I I'M TRYING TO FIGURE THAT OUT NOW TOO, BUT, UM, WHAT, WHAT ARE YOU LOOKING FOR, SHERRY? DO YOU WANNA KNOW WHAT YOU WANNA DO HER PHONE? YEAH. WELL AT LEAST FOR THIS. UM, SO IN MY MIND WE, WE NEED TO PICK UP THIS WEIGHT WASTEWATER RATE STUDY SOMETIME SOON. MM-HMM. , EVEN THOUGH WE'RE NOT GONNA HAVE AN ANSWER ABOUT WHETHER OR NOT WE'RE MOVING FORWARD WITH THE WELLS FOR A LITTLE WHILE. UM, BECAUSE EVEN IN THIS SCENARIO, I'M SAYING LIKE, I'VE GOT PLUGGED IN HERE, 5% INCREASE. UM, AND SO THAT'S, THAT'S WHERE I'M SHOWING THAT WE NEED TO BE, TH THIS MODEL IS, UM, A LITTLE MORE GENERIC THAN THE MODEL THAT THE CONSULTANTS HAVE BEEN USING. UM, SO THEY HAVE MORE REFINED. SO IT MIGHT BE, THEY MIGHT COME UP WITH SOMETHING A LITTLE BIT DIFFERENT THAN THIS, BUT IT'S SOMEWHERE IN THAT VICINITY. WHEN DOES THAT START? THE 5%? I'VE GOT THIS PLUGGED IN STARTING FISCAL YEAR 25. 25. JESSICA, UH, BRIAN, WERE YOU DONE? [07:45:02] I AM COUNSELOR. THANK YOU. YEAH, I, I SUPPORT A WORK GROUP AND I SUPPORT MOVING FORWARD ON THE, ON THE RATE STUDY AND I SUPPORT, I SUPPORTED, I THINK WE NEED TO CONTINUE TO MOVE TOWARD AN ENTERPRISE FUND AND WE HAVE SORT OF STOPPED SINCE 18 FOR VARIOUS REASONS, BUT I THINK IT'S IMPORTANT THAT WE, THAT WE MOVE AHEAD AND SORT OF MOVE IN THAT DIRECTION. SO I TOTALLY SUPPORT YOUR, YOUR SUGGESTION IF I REMEMBER CORRECTLY. NO, I'M SORRY. OH, KAREN, YOU CAN REMIND ME IF I REMEMBER CORRECTLY BACK THEN THE, THE INCREASE WAS GONNA BE BASED ON WATER USAGE AND YOU HAD, WAS IT, UH, DATA, UH, GATHERED FROM ARIZONA OR OAK CREEK WATER AND ON THAT THEY WERE GOING TO BILL THE RATE INCREASE ON THE AMOUNT OF USAGE. THAT WAS ONE OF THE OPTIONS. THERE WAS ALSO A FIXED RATE OPTION. MM-HMM. , UM, THERE WAS AN OPTION LOOKING AT CAPPING AND ONLY COUNTING UP TO SO MUCH WATER USAGE. LIKE WE HAD A BUNCH OF DIFFERENT SCENARIOS, RIGHT. BECAUSE I REMEMBER SOME, SOME, UH, LOCATIONS WERE GONNA HAVE RATHER LARGE BECAUSE THEY USED WATER. RIGHT. BUT THAT DOESN'T, AND THERE WAS A COMPONENT TO REMOVE IRRIGATION POOLS, BUT STILL IT WAS RATHER HIGH. SO, RIGHT. SO WHEN, WHEN YOU LOOK AT THE DATA IN TOTAL, UM, ON THE RESIDENTIAL SIDE, THE DIFFERENCE BETWEEN WATER, UH, USAGE IN THE WINTERTIME COMPARED TO SUMMER USAGE, UM, SUMMER WAS 35% HIGHER. SO WE WERE LOOKING AT DISCOUNTING HOW MUCH WATER WAS USED IN THE SUMMERTIME BY 35% TO TRY AND TAKE THAT OUT. BUT THAT'S AN AVERAGING OF ALL THE RESIDENTIAL ACCOUNTS. AND WHEN YOU ACTUALLY LOOK AT INDIVIDUAL ACCOUNTS, THERE'S SOME THAT THEY'VE GOT TO BE USING A LOT MORE, UH, VARIATION. UH, AND ACTUALLY TO THE POINT TO WHERE I DON'T THINK THAT THEY'RE NOT USING IRRIGATION AND OUTDOOR WATER USAGE IN THE WINTERTIME. LIKE THEY MUST BE DOING IT YEAR ROUND. UM, BE JUST BY LOOKING AT HOW MUCH WATER USAGE THEY HAVE. THERE WERE A LOT OF QUESTIONS AND I THINK A, A FLAT RATE MAYBE WHEN YOU, THE WORK GROUP WILL COME UP WITH SOMETHING, BUT I, THAT'S WHAT THE WORK GROUP IS FOR. YEAH, THAT WOULD BE ALL RIGHT. AND, AND WE, WE ACTUALLY DO RECEIVE COMPLAINTS FROM CUSTOMERS ABOUT, UM, THAT THEY'RE PAYING THE SAME AMOUNT AS THE HOUSE NEXT DOOR THAT'S GOT LOTS OF SHORT TERM RENTERS IN IT AND, YOU KNOW, BUT WE ALREADY FIGURED THAT OUT THAT IT'S, IT'S NOT AN ISSUE ACCORDING TO WHAT, UH, ROXANNE WAS SAYING. THIS IS A DISCUSSION FORM. RIGHT. WE'LL DO THAT LATER. YEAH. DO YOU HAVE ANY DIRECTION THAT YOU NEED FOR THIS? YES. OKAY. THANK YOU. UM, OKAY. SO ON THE GENERAL FUND, UM, SO LOOKING AT THE BASELINE MODEL, UM, AGAIN, I PUT IN HERE, OKAY, WHAT IF, UM, C I P COSTS, UM, ARE 10% HIGHER YEAR OVER YEAR. SO, UM, IF I ADD THAT IN, THEN THAT, THAT BRINGS US DOWN. BUT WE'RE STILL WELL ABOVE, IF I CHANGE THAT TO SAY 15% OOH, YEAR OVER YEAR, IT BRINGS US DOWN. BUT WE'RE STILL ABOVE THAT DOTTED LINE, UM, FOR THE, UM, UM, UH, RESERVE REQUIREMENTS. SO, UM, I ALSO PUT IN HERE, SO BASICALLY THE BASELINE ASSUMPTIONS AND A LOT OF WHAT THE ECONOMISTS SAID IS THAT THE RECESSION WILL BE ONE OF OUR MORE MILDER RECESSIONS, NOT AS EXTREME AS THE GREAT RECESSION. AND YET THERE ARE SOME ECONOMISTS OUT THERE THAT ARE SAYING IT'S GOING TO BE EVEN WORSE THAN THE, THE GREAT RECESSION. SO, YOU KNOW, YOU NEVER KNOW. SO I DID BUILD IN, UM, FOR A MORE SEVERE RECESSION. HOW DID THOSE NUMBERS LOOK? THAT BRINGS OUR, OUR NUMBERS A LOT CLOSER, UM, TO OUR EQUIPMENT REPLACEMENT OR OUR, OUR RESERVE REQUIREMENTS, OPERATING RESERVE EQUIPMENT REPLACEMENT, ALL THAT. UM, SO I'M GONNA TURN OFF THE SEVERE RECESSION. UM, IF WE SAID WE WANTED TO INCREASE THE ANNUAL TRANSFER TO THE HOUSING FUND FROM HALF A MILLION TO A MILLION, UM, THEN HERE'S HOW THOSE NUMBERS LOOK. UM, JUST BECAUSE, UM, WE ESTIMATE SOMETHING THAT'S WELL OUT TO THE FUTURE AND THEN LIKE, WE NEVER REALLY KNOW. AND I WAS LIKE, OKAY, WELL WE'VE BEEN GOING WITH AN ESTIMATE OF WHAT IF, UM, PURCHASING THE BREWER ROAD PROPERTY IS $8 MILLION. AND I WAS LIKE, YOU KNOW WHAT? I'LL JUST THROW IN SOMETHING OF, OF, WELL WHAT IF IT'S, IF IT'S 15? WHAT BREWER? YEAH, WHAT BREWER? THE SCHOOL DISTRICT. OH, ADMIN SITE. WASN'T THERE A PRICE SET ON THAT? NO, THERE IS NO PRICE. SO IT'LL BE WHATEVER VALUE IS AT THAT TIME, IT WAS MARKET VALUE. WE AGREED TO GET AN APPRAISAL AND PAID MARKET. AND WHEN, WHEN IS [07:50:01] THAT COMING UP? I KNOW IT WAS SEVEN YEARS FROM THE ORIGINAL LEASE, SO IT'S FIVE YEARS FROM NOW. SO IT WOULD BE JULY OF 2029. THANK YOU. THAT WE CAN MAKE THAT PURCHASE RIGHT AROUND THE CORNER. GOOD LUCK GUYS. LOOK MY EYES AND WE'LL BE, WE'LL BE THERE. I WON'T BE HERE. UM, I ADDED AN OPTION FOR WHAT IF THERE'S JUST ADDITIONAL THINGS THAT COME UP IN C I P THAT'S NOT IN OUR 10 YEAR PLAN. UM, WE HAVE SOME MONEY IN THERE FOR CULTURAL PARK IMPROVEMENTS. WHAT IF, UM, ALL OF A SUDDEN IT'S LIKE, WE'RE DOING A LOT OF THINGS, WE'RE DOING A COMMUNITY CENTER, WE'RE DOING WHATEVER. UM, SO I JUST, I PLUGGED IN, WHAT IF IT WAS ANOTHER 2 MILLION A YEAR STARTING IN 26, STILL LOOKING GOOD. IF YOU SAID FOR THIS BUDGET YEAR, UM, YES, DO ANOTHER MILLION DOLLARS INTO P S P R S, WE'RE LOOKING O WE'RE LOOKING GOOD STILL, THAT DOESN'T REALLY IMPACT IT THAT MUCH. UM, IF IN THE FUTURE, SO EVERY YEAR, UH, THERE'S ALWAYS SOME LEVEL OF DECISION PACKAGES THAT'S BROUGHT TO COUNCIL FOR CONSIDERATION. AND IF WE SAID, UM, EVERY YEAR THERE WAS A HALF MILLION IN ONE TIME DECISION PACKAGES, THEN IT BRINGS IT DOWN A LITTLE. AND THEN I'VE GOT ALSO IN HERE, WHAT IF THERE WAS HALF MILLION DOLLARS BROUGHT EVERY YEAR FOR ONGOING DECISION PACKAGES THAT HAD THAT MULTIPLIER EFFECT, THEN THAT BRINGS THINGS DOWN QUITE A BIT MORE. UM, AND THEN I ALSO HAVE, IF THE, UM, SURPLUSES THAT WE, UM, ARE ESTIMATING FOR, UM, 24 20, UM, FISCAL YEAR 23, 24, 25 ARE PUT IN OTHER PLACES, TRANSFERRED TO OTHER FUNDS SPENT ON SOMETHING. AND THEN THAT'S WHEN WE START GOING, OH, OKAY, WAIT A SECOND. THAT'S AN AWFUL LOT. SO MAYBE WE'RE NOT DOING HALF A MILLION IN DECISION PACKAGES EVERY YEAR, MAYBE OF ONGOING DECISION PACKAGES. MAYBE THEY'RE ONLY 200,000. MAYBE ONE TIME DECISION PACKAGES, 200,000 MAYBE. WE'RE REALLY NOT ADDING THAT MUCH IN C I P BRINGING SOME OF THAT STUFF BACK UP. UM, SO IT REALLY DEPENDS UPON DECISIONS THAT WE MAKE AS WE GO. AND AS I MENTIONED, UM, WE'RE ALWAYS, WE'VE ALWAYS BEEN VERY PRUDENT IN HOW WE'VE HANDLED THIS, UM, AND HAD FUND BALANCES THAT REMAINED ABOVE WHAT, UM, ANNUAL EXPENDITURES ARE. SO IT'S, IT'S JUST TO GIVE YOU A SENSE OF, OF WE HAVE LOTS AND LOTS OF OPTIONS OF WHAT WE CAN DO, UM, AND CAN'T NECESSARILY DO EVERYTHING ALL AT ONCE. UM, SO IF YOU, IF THERE'S A COMBINATION OF THINGS THAT YOU WANT TO SEE, SO IF I TAKE OUT SOME OF THOSE, I I, ON THE, UM, FISCAL YEAR 25, BECAUSE I AM PROJECTING, UM, THE RECESSION 24, 25 AND THEN START COMING OUT OF THAT, UM, THAT'S PART OF WHY THE FISCAL YEAR 25 IS BELOW. UM, THAT, BECAUSE IF WE ACTUALLY SAID WE DO HAVE 12.3 MILLION TO ALLOCATE IN FISCAL YEAR, UM, 25, THAT, UM, MAYBE WE WOULD BE SAVING SOME OF THAT IF WE REALLY ARE IN A RECESSION AND NOT, AND, AND UTILIZING IT TOWARDS WHATEVER IS HAPPENING THEN. SO PART OF WHY I'M LIKE ALSO, LIKE I WOULDN'T NECESSARILY JUST GO CRAZY AND ALLOCATE THE WHOLE 12 MILLION TODAY. COULD I JUST CLARIFY SOMETHING? YES, PLEASE. FOR, FOR PE FOR THE 90 PEOPLE WHO ARE LISTENING, EVEN IF WE HAD NO SURPLUSES, WE STILL HAVE SUBSTANTIAL RESERVES. YES. I JUST WANT TO, UH, THIS BELT AND SUSPENDERS. I UNDERSTAND, BUT IT'S NOT LIKE IF WE SPEND A LOT OF OUR SURPLUS, WE HAVE NOTHING BECAUSE WE HAVE THOSE RESERVES. MM-HMM. , I JUST WANNA MAKE THAT CLEAR BEFORE WE ENTER INTO OUR CONVERSATION. I APPRECIATE THAT. OKAY. OKAY. OKAY. SO, UM, ON THE SURPLUS, UM, I PUT UP SOME, SOME THINGS TO CONSIDER. UM, SO FOR THE, UM, [07:55:01] I'VE ALREADY BUILT IN THE LOAN THAT WOULD BE NEEDED FOR FISCAL YEAR 24 FOR THE DEVELOPMENT IMPACT FEES FROM GENERAL FUND. AND I MENTIONED EARLIER THERE WOULD BE AN ADDITIONAL 2.6 MILLION THAT WOULD BE NEEDED TO BE RESERVED IN, UM, THAT WOULD NEED TO BE LOANED IN FISCAL YEAR 25. SO WE COULD POTENTIALLY SET THAT ASIDE, UM, PLANNING FOR THAT LOAN, UM, TO MAKE SURE THAT WE'RE COVERED, UM, INSTEAD OF RELYING ON FUTURE SURPLUSES. UM, BUT WE ALSO HAVE FUTURE SURPLUSES ESTIMATED AT $12 MILLION. SO MM-HMM. , WE, YOU WOULDN'T NECESSARILY HAVE TO DO THAT. UM, IF YOU WANTED TO SAY THAT WE ARE JUST GONNA USE CASH AND NOT DEBT FINANCE, THE PURCHASE OF THE, UM, SCHOOL DISTRICT ADMIN SITE AND WHETHER IT'S 8 MILLION OR WHATEVER THAT NUMBER ENDS UP BEING, WE COULD SET THAT ASIDE IN A RESERVE JUST WAITING FOR WHEN WE CAN MAKE THE PURCHASE, UM, FUTURE TRANSIT NEEDS. SO LAST TIME WE PUT $5 MILLION IN THE TRANSIT FUND, WE COULD PUT SOME MONEY THERE. HOUSING FUND, UM, DEFINITELY SOUNDS LIKE THERE'S POSSIBLE NEEDS THERE, UM, THAT WE MIGHT WANNA SET MONEY ASIDE FOR, UM, FUTURE, UM, JUST C I P FUND NEEDS. RIGHT NOW WE'VE GOT, UM, 7.2 MILLION OVER AND ABOVE WHAT WE NEED FOR FISCAL YEAR 24, UM, FOR COVERING THE RESERVE FOR FISCAL YEAR 25. UM, SO IT'S NOT AS URGENT TO PUT MONEY THERE, BUT OVER TIME WE WILL NEED MORE MONEY IN C I P. UM, IF THERE'S OTHER PRIORITIES, UM, CONTRIBUTION TO THE PS P S UNFUNDED LIABILITY, IF YOU WANNA CONSIDER PUTTING MORE MONEY TOWARDS THAT, WE READ A LIABILITY OF 5.2 MILLION. UM, IF YOU FEEL LIKE WE NEED TO HAVE MORE JUST SET ASIDE IN CASE OF, OF RECESSION BEYOND THE 30%, UM, RESERVE THAT WE HAVE IN THE GENERAL FUND, UM, OR ANY OTHER IDEAS, UM, THAT YOU, THAT YOU MIGHT HAVE OF HOW YOU WANT TO UTILIZE. OKAY. UH, WHO WOULD LIKE TO WEIGH IN? KATHY? YEAH, THAT, YEAH. AND MADE A JOKE BEFORE ABOUT, YOU KNOW, A SPENDING SCREEN. THIS IS WHAT I WAS REFERRING TO ABOUT SURPLUS, UM, BECAUSE IT WAS A JOKE BECAUSE I'M ACTUALLY QUITE CONSERVATIVE WHEN IT COMES TO THIS. UM, I, I WOULD FIRST OF ALL THINK THAT YEAH, WE SHOULD LOOK AT THE FY 22, THE 8.6 REMAINING ACTUAL, BUT I'M NOT AT THIS POINT UNLESS THERE'S SOMETHING COMPELLING, WANNA DELVE INTO THE FY 23 ESTIMATED AT THIS POINT. UM, BECAUSE I, I DON'T KNOW IF A RECESSION IS COMING. I DON'T KNOW WHAT THE FUTURE IS GOING TO HOLD. I THINK SURPLUS IS GREAT. IT'S SURPLUS. THAT'S AN ESTIMATE. I DON'T THINK WE'RE THERE YET. SO I, I WOULD SPEAK TO JUST TRYING TO ALLOCATE THE 8.6 CUZ I DO THINK IT MAKES SENSE TO SPEND THAT MONEY DOWN INVESTING IN OUR FUTURE AND GAINING WHERE WE CAN TO MAKE SURE THAT WE'RE PAYING DOWN ON, ON DEBT AND PAYING DOWN ON FUTURE COST RISE, UM, PROBABILITIES. SO THERE ARE THINGS ON, ON YOUR LIST THAT I COMPLETELY AGREE WITH. UH, I I WOULD LOVE TO SET UP THE RESERVE FOR THE FUTURE PURCHASE OF THE SCHOOL DISTRICT ADMIN SITE. I SEE THAT AS A REALLY, A PLACE THAT WE'RE UTILIZING VERY WELL. UM, I THINK IT COULD BE FURTHER UTILIZED. THERE MAY BE EVEN ROOM FOR EXPANSION THERE. KAREN, I'M NOT SURE WHAT YOU THINK, WHAT YOUR THOUGHTS ARE ON THAT. UH, BUT I THINK THAT THAT'S SOMETHING THAT WE'VE BEEN PURCHASING LAND THAT HAS MADE SENSE FOR US AS A CITY TO USE. WE'VE DONE IT, I THINK VERY, VERY, UM, CAUTIOUSLY, UH, AND, AND IN A WAY THAT'S REALLY TRIED TO HELP, YOU KNOW, OUR COMMUNITY AT LARGE SUCH AS, YOU KNOW, USING IT FOR TRANSIT, USING IT FOR, UH, HOUSING. SO THAT'S, THAT'S SOMETHING THAT I SUPPORT DEFINITELY. UM, I ALSO, FUTURE HOUSING FUND NEEDS IS SOMETHING THAT I WOULD LIKE TO SEE MONEY GO INTO AND FUTURE C I P FUND NEEDS. I'D LIKE TO SEE MONEY GO INTO. I WOULD ALSO, YOU'RE, I WAS THINKING ABOUT THAT I'D LIKE TO SEE MONEY AND I HAD A FIGURE IN MIND EVEN FOR THE P S P R S, BUT IT DIDN'T MOVE THE BAR THAT MUCH IN YOUR INTERACTIVE DISPLAY IF I UNDERSTOOD THAT CORRECTLY. YOU MEAN IT DOES NOT HAVE AN MUCH OF AN IMPACT ON THE GENERAL FUND, UM, FUND BALANCE, BUT IT DOES THAT, THAT'S NOT THE PSPS LIABILITY. OKAY. OKAY. CUZ THAT IS SOMETHING WHAT, I'M SORRY HE'S TALKING OKAY. I'M OKAY. UM, I JUST THOUGHT I WAS BEING TALKED TO. UM, OKAY. SO I MEAN THOSE ARE, THOSE ARE THINGS THAT I HAVE AS PRIORITIES IN MY MIND. SCHOOL DISTRICT, THE HOUSING C I P, UM, P P S P R S. AND ALSO I WAS THINKING ON HERE, THE ART FUND, IS THAT SOMETHING THAT YOU WERE THINKING? BECAUSE I SAW THAT THAT'S GOING TO BE, THAT'S AT A DEFICIT. IS THAT, THAT'S ALREADY BUILT INTO THE NUMBERS. OKAY. THE LOAN LOAN TO THE ART FUND. OKAY. [08:00:01] SO WE DON'T, THAT DOESN'T NEED TO BE ADDRESSED WITH THE SURPLUS IN ORDER TO BRING THAT BACK TO HAVING A, A FUND OF ITSELF. OKAY. AND MY QUESTIONS BEFORE WERE DIRECTED TO ANDY ON STREET MAINTENANCE. I MEAN, I DON'T LIKE THE IDEA OF SOMETHING BECAUSE THAT SHOULD BE IN OPERATIONS IN MY MIND AND, AND SOMETHING YOU FUND AS YOU GO FROM YEAR TO YEAR. BUT IF THERE'S AN OPPORTUNITY TO GET AHEAD ON SOME WAY THAT MAKES SENSE. I THINK A ONE-TIME INFUSION OF LIKE AN EXTRA TWO MILES OR SOMETHING THERE MAKES SENSE TO ME. UM, I HAVE FIGURES IN MY MIND FOR THESE THINGS THAT I SUPPORT, BUT I'M NOT READY TO PUT THEM OUT THERE UNTIL I HEAR WHAT SOME OTHER, UH, COUNCIL MEMBERS' PRIORITIES ARE. PETE, YOU WERE NEXT IN JESSICA. THANK YOU MAYOR. UH, THANK YOU COUNCILOR KINSELLA. I, FOR THE RECORD, WE DIDN'T SPEAK BEFOREHAND, BUT I THINK I ALMOST COMPLETELY AGREE WITH WHAT YOU SAID. . UM, I WOULD LIKE TO PUT IN THERE THE BUTTON SYSTEM FOR SPEAKING THOUGH SOMEWHERE. , UH, MY, UH, THOUGHTS ABOUT, UH, THE BUDGET ARE AS WELL. UH, WE NEED, WE MUST ALLOCATE THE, THE ONE RESERVE 2022 RESERVE. AND SO THAT'S WHERE I'M AT. I'M ALSO NOT INTERESTED IN SPENDING ANY OF THE OTHER RESERVE MONIES AT THIS TIME. UH, MAINLY BECAUSE I LOOK AT OUR TWO LARGE REVENUE SOURCES DECREASED A LITTLE BIT AND WE'RE THINKING THEY MIGHT GO DOWN A LITTLE BIT MORE AND THERE'S A SPECTER, POTENTIALLY OF A MILD RECESSION ON BOARD. SO I, I THINK THAT'S WHERE I, UH, LIMIT, UH, THE FUNDS THAT I WOULD LIKE TO ALLOCATE. AND IF I LOOK THROUGH, UM, I BELIEVE YOU SAID, THE LOAN TO COVER THE DEVELOPMENT IMPACT FEES, I AGREE WITH SET UP THE RESERVE FOR THE FUTURE PURCHASE OF THE, I'M LESS ENTHUSED ABOUT, BUT I'M WILLING TO DO A LITTLE BIT THERE. CERTAINLY NOT AT FULL 8 MILLION. WE CAN'T $8 MILLION, UH, BOAT, UH, HOUSING FUND AS WELL. I'M INTERESTED IN SUPPLEMENTING, UH, I AM A FAN OF AN A CONTINUING OUR ADDITIONAL CONTRIBUTION TO PS P R S. UM, AND I ALSO WOULD, UH, SUPPORT KATHY, YOUR SUGGESTION ABOUT STREETS FUNDS, AS LONG AS WE GIVE DIRECTION THAT WE SHOULD THINK ABOUT IT. NOT ONLY JUST FOR ROADS, BUT FOR, UH, UH, S U MAINTENANCE, MAINTENANCE, UH, IF WE CAN, OR, UH, ADDITIONAL WAY TO KEEP, UH, THE CYCLE LANES IN BETTER SHAPE THAN THEY ARE. SO JESSICA, I JUST WANNA, UM, JUST PUT ON THE TABLE THAT DURING THE LAST OUR GREAT RECESSION, THE CITY WENT THROUGH IT WITHOUT TOUCHING ANY OF THE RESERVES. MM-HMM. . SO, UM, I THINK THAT'S A REALLY IMPORTANT THING TO UNDERSTAND THAT BIG RECESSION, LITTLE RECESSION, IT CAN BE MANAGED WITH THE, I MEAN, IT, THEY, THEY DID IT WITH NOT, WITHOUT TOUCHING A RESERVE. WHETHER THAT WAS THE RIGHT DECISION OR THE WRONG DECISION, THAT'S WHAT THEY DID. UM, I, I SUPPORT USING THE, UH, 22 GEN. I ALSO SUPPORT USING THE 24 GENERAL FUND SINCE WE HAVE A PROJECTION FOR A SURPLUS, UH, IN THE COMING $12 MILLION. I MEAN, I THINK, I THINK WE COULD GO WITH THAT. I DON'T THINK WE NEED TO, TO SAVE THAT MONEY. I THINK THAT THE NEEDS RIGHT NOW, AND AS FAR AS HOUSING, HOUSING GOES, WE HAVE NOT BEEN ABLE TO PRODUCE HOUSING HERE. NEW UNITS. WE HAVE A LOT. I MEAN THAT'S, DESPITE SHANNON'S INCREDIBLE EFFORTS AND DESPITE, UM, IT'S JUST THAT THE, THE STARS DID NOT ALIGN. IT LOOKS AS THOUGH THE STARS MIGHT ALIGN. AND I THINK WE HAVE TO BE IN A POSITION TO, UH, WHEN THE STARS ALIGN AND SAY, OH, NO, NO, WE'LL JUST PUT THAT OFF AND THEN THE STARS WON'T ALIGN AGAIN. SO HOUSING TO ME IS THE MOST CRITICAL PLACE WHERE WE NEED EXTRA MONEY. WE KNOW IT'S GONNA BE A LOT OF MONEY BECAUSE WE CANNOT CONSTRUCT, IF WE HAVE A GOAL OF CREATING WORKFORCE HOUSING, WE HAVE A GOAL OF SPENDING MUCH MORE THAN ANY OF US EXPECTS TO AND REALLY WANTS TO. SO IF WE DON'T HAVE MONEY FOR HOUSING, WE MIGHT AS WELL NOT HAVE A HOUSING PRIORITY IN MY SENSE. SO THAT'S MY PRIMARY GOAL. UM, I'M NOT, I I I'M NOT INTERESTED PARTICULARLY IN SETTING UP A FUTURE PURCHASE FOR THE DISTRICT ADMINISTRATIVE SITE. I MEAN, I THINK THAT'S [08:05:01] THE IDEAL FINANCING OR BONDING THING. SO I'M NOT REALLY INTERESTED IN THAT. I MEAN, IN THE SHORT TERM OR IN ANY TERM PROVIDING HOUSING, WORKFORCE HOUSING IS MY VIEW, THE NUMBER ONE PRIORITY. AND I THINK FOR ME THAT'S REFLECTED IN MY RECOMMENDATIONS. I WOULD LIKE TO DO THAT AND I WOULD LIKE TO CONTRIBUTE TO P S P R S. UM, OTHER THAN THAT, THAT'S HOW I WANNA USE THE SURPLUS. AND I WOULD BE IN, UH, INTERESTED IN KNOWING WHAT THAT'S GONNA BE OR, OR TAKE A LOOK AT IT. I MEAN, IT MAY BE THAT IT'S NOT A THIS YEAR THING, SO I'D BE INTERESTED IN HEARING FROM SHANNON WHETHER THAT'S A THIS YEAR ISSUE OR A NEXT FISCAL YEAR ISSUE FOR, FOR SPENDING SURPLUS TOWARD PUTTING SURPLUS ASIDE FOR THE HOUSING. SO HOPEFULLY THIS YEAR, MEANING THIS FISCAL YEAR THAT WE'RE DISCUSSING NOW. OKAY. AND HOW MUCH IS IT THAT YOU WOULD SUGGEST WOULD BE A PRUDENT AMOUNT TO PUT IN THE FUND FOR, FOR HOUSING THIS COMING FISCAL YEAR? IS THIS PREMATURE? WE, WE NEED TO KNOW THAT OR WE CAN'T PUT ANYTHING THERE THAT DEPENDS ON HOW QUICKLY YOU WANNA DEVELOP AND HOW MANY UNITS YOU WANNA DEVELOP. I'M LOOKING AT ALL OF THESE PROJECTS TRYING TO COMPARE AVERAGES AND THEY'RE COMING IN AROUND $80,000 PER UNIT OF SUBSIDY MM-HMM. THAT THEY NEED EVEN AFTER THEY GET SOME OTHER FUNDING SOURCES BESIDES A BANK LOAN. RIGHT. WELL, LET'S ASSUME, I MEAN, FROM MY POINT OF VIEW, I WOULD LIKE TO CREATE AS MANY UNITS AS WE CAN AS QUICKLY AS WE CAN SINCE WE HAVE BEEN UNABLE TO PRODUCE ANY. SO WITH THAT IN MIND, WHAT NUMBER WOULD YOU RECOMMEND? UM, ABOUT 12 MILLION I THINK WOULD COVER THE FOUR SITES THAT WE'RE REALLY CONSIDERING RIGHT NOW. AND THAT WOULD PROBABLY BE THE MAXIMUM THAT I COULD SORT OF MANAGE WITHIN A YEAR, SO. OKAY. THANK YOU VERY MUCH. DON'T GO UNLESS SOMEBODY ELSE HAS QUESTIONS. I HAVE QUESTIONS. I GO AHEAD AND YOU MAY TOO. THANK YEAH, I DO SHANNON, I, I I, EVERYTHING THAT JESSICA SAID, I ECHO, BUT I UNDERSTAND THAT SOME OF THE, OR ONE OF THE MAIN ISSUES THAT'S HOLDING BACK HOUSING IS THAT SOME OF THE DEVELOPERS AREN'T GETTING THEIR FUNDING EITHER QUICK ENOUGH AND THEY'RE ASKING FOR A BRIDGE LOAN OR SOME SORT, I DON'T EVEN KNOW THE RIGHT TERMINOLOGY, BUT A BRIDGE LOAN AND THEY'RE LOOKING TO THE CITY TO DO THAT AND THEN THEY WOULD BE MOVING FORWARD. SO IS THAT SOMETHING THAT WE CAN INVEST IN, IN ADDITION TO, OR IN PLACE OF MORE, UH, LOCATIONS BECAUSE WE CAN HAVE TWO OR THREE PROJECTS MOVING FORWARD IF THEY CAN GET THAT, UH, EXTRA HELP? AM I CORRECT? SO THE DEVELOPERS THAT I'VE TALKED TO, ONE OF THEM IS LOOKING FOR, I THINK KIND OF A BRIDGE LOAN, BUT ALSO IN ADDITION TO THAT A PERMANENT LOAN. OKAY. OR GRANT. UM, SO NO, I I, I DON'T NECESSARILY THINK JUST HAVING BRIDGE LOANS WOULD, IT WOULDN'T KICKSTART SOME OF THE PROJECTS. NO, I KNOW ONE THAT WE'VE TALKED ABOUT. SO, BUT THERE WERE NO OTHERS. OKAY. NO ONE ELSE IS LOOKING FOR SHORT TERM MONEY. THEY'RE LOOKING TO JUST MAKE THE PROJECT. OKAY. SO ALL THESE, BUT ALL THESE CAN PULL TOGETHER FOR ONE, YOU KNOW, AN INFUSION TO HOUSING TO GET SOMETHING GOING BECAUSE THAT'S, IT'S NOT CERTAINLY, CERTAINLY NOT. YOUR HARD WORK IS HOLDING BACK. IT'S THE FUNDING FOR EVERYBODY THAT THERE'S A LOT OF INTEREST IN PRIVATELY AND CO-SHARING WITH THE CITY. THERE'S A LOT OF INTEREST. YOU'VE ACTUALLY JUMPSTARTED A LOT OF INTEREST. SO, UH, I'LL HOLD MY COMMENTS ON THIS TILL AFTER, BUT I WANT TO ASK YOU THE QUESTION WHILE YOU WERE STILL SITTING THERE. AWESOME. STANDING THERE. I APOLOGIZE. SO VICE MAYOR. YEAH. THE 12 MILLION, IS THAT A TOTAL, WE ALREADY HAVE 6.9 MILLION. IS THAT 12 PLUS THE 6.9 OR IS THAT 6.9 12 MINUS THE 6.9? I'M TRYING TO REMEMBER HOW I DID IT NOW. UM, SO THE 12 MILLION AND THE 80,000 PER UNIT IS 150 UNITS. DOES THAT HELP THE ORIGINAL, WAS IT 4.2 MILLION FOR SUNSET? LOFTS IS NOT INCLUDED IN THAT. THE REST OF IT IS BASICALLY NEW REQUESTS FOR FUNDING. SO WE COULD TAKE 6.9 MINUS 4.2 AND THEN SUBTRACT THAT FROM 12 MILLION. OR DOES SHERRY HELP INCLUDE THE ADDITIONAL [08:10:01] 2 MILLION FOR SUNSET? DOES INCLUDE, IT DOES INCLUDE THE ADDITIONAL 2 MILLION FOR SUNSET? YES. OKAY, SO THAT'S 10 MILLION BASICALLY THEN. YEAH. OKAY. THAT'S WHAT I WANTED TO KNOW. AND YOU THINK YOU COULD, THAT WOULD BE USED IN FY 24? I WOULD HOPE SO. SO JUST JUST FOR A CLARIFICATION. SO EVEN IF WE ENTERED INTO A DEVELOPMENT AGREEMENT, AS WE'VE LEARNED THE SUNSET AND COMMITTED, LET'S SAY WE STRUCTURE IT THE SAME WAY LONG-TERM LOAN, WE'RE ONLY SPENDING AGAINST THE LOAN DISTRIBUTING THAT MONEY AS THEY MAKE DRAWS WHEN THEY HAVE EXPENSES. SO IT SEEMS LIKE IT, A PROJECT MAY TAKE A COUPLE OF YEARS TO GET TO A POINT OF YEAH. IF DEVELOPMENT AGREEMENT TO CONS FINAL CONSTRUCTION, IF WE AGREE ON ALL OF THEM THAT THEY CAN ONLY TAKE DRAWS AS THEY BUILD. AND I WOULD THINK THAT WE WOULD DO THAT. SO GIVEN THAT , KAREN, SHANNON, CHERYL, SO WHAT WAS THE NUMBER STARTING WORKING BACK FROM 10, WORKING BACK FROM 10? I THINK KAREN'S IN WHAT KAREN'S SAYING NOW IS OVER, THAT'S OVER THE COURSE OF SOME PERIOD OF TIME AND LES WOULD DO FOR NOW, AND I'M LOOKING FOR WHAT THAT NUMBER MIGHT REASONABLY BE. WOULD IT BE 5 MILLION I 4 MILLION? I THINK IF WE HAD A, SHANNON, YOU CAN FEEL FREE TO DISAGREE WITH THIS. AND, AND, BUT IF THERE WAS OUT OF, WE'RE TRYING TO NOW ALLOCATE SIX EIGHT, HOW MUCH ARE WE TRYING TO ALLOCATE RIGHT NOW? OR 11? IF YOU, IF YOU PUT IN THE 2224, THAT IS SO, SO YEAH, WHAT'S BUILT IN RIGHT NOW IS THE 6.9 TOTAL, THE ADDITIONAL 2.3 FOR SHELBY DRIVE IS NOT IN HERE YET. OH, IS THAT IN YOUR NUMBER? IS IS THAT IN YOUR 12? THAT PUTS US BACK TO THE 12 . OKAY. IT'S UNREASON IT SEEMS UNREASONABLE TO ME TO THINK THAT YOU COULD SPEND 12 MILLION THE NEXT SPEND 12 MILLION THE NEXT FISCAL YEAR. RIGHT. BUT YOU COULD COMMIT IT, RIGHT? UM, YOU COULD COMMIT IT. SO YOU'RE GONNA WANT, YOU COULDN'T TO HAVE YOUR FUND HAVE SOME IDEA OF HOW MUCH YOU HAVE RIGHT. OR ARE WILLING TO COMMIT. THAT'S NOT TO SAY THAT A YEAR FROM NOW MORE MONEY WOULDN'T GET, BUT WE DON'T KNOW THAT. OKAY. A AND DO TO THAT POINT. SO WHAT WE'VE GIVEN FOR SUNSET LOFT SO FAR IS 1.9 MILLION. BUT WHAT, WHAT WE'VE AGREED TO IN TOTAL IS 4.2. WE'VE SET ASIDE WHOLE THE REMAINING BALANCE, THE WHOLE, SO IT'S SITTING THERE IN THE HOUSING FUND WAITING TO BE LOANED. RIGHT. I JUST WANNA CLARIFY THAT THE AMOUNT THAT WE'RE TALKING ABOUT BEING AVAILABLE, I DISAGREE WITH THE TWO PREVIOUS PEOPLE ON WHETHER OR NOT WE SHOULD SPEND THE ADDITIONAL, UH, EIGHT, UH, 2.9 FROM THE 20. FROM THE 24. SO I THINK WE SHOULD SPEND THE 8.6 FROM 22 AND THE 2.9. SO I'M JUST SAYING IT'S NOT, THAT'S JUST SKIPPING 23. WELL MAYBE IT WAS 23. I DON'T REMEMBER . NO, I THINK YOU SAID SO FISCAL YEAR 23 IS 12.3 MILLION. WHAT? 23 IS 23, 22 IS THE 8.6 OF 23. 23 IS THE 12.3. OH. SO, SO, OKAY, THEN, THEN I THINK WE SHOULD SPEND 2023 AND 20. OH, 12.6. THAT'S, THAT'S $20 MILLION. THAT'S, SO THAT'S WHAT I THINK WHAT I'M PREPARED TO SPEND, UM, BECAUSE I THINK THE NEED FOR ME, THE HOUSING NEED IS SO IMMEDIATE AND SO GREAT AND IS NOT, WE HAVEN'T DELIVERED ANYTHING. I'D LIKE TO BE ABLE TO DELIVER SOMETHING IF, IF THERE'S A POSSIBILITY. SO I, SO I'M SAYING THE AMOUNT OF MONEY WE'RE TALKING ABOUT HASN'T, NEC HASN'T NECESSARILY, CUZ WE HAVEN'T HEARD FROM EVERYBODY ELSE BEEN DETERMINED. SHERRY DID THE, DO THOSE FUNDS THAT ARE SITTING IN, THAT ARE RESTRICTED, ARE THEY INVESTED THE, YOU'RE REFERRING TO THE PORTION OF THE LOANS THAT HAVEN'T BEEN LOANED OUT? YES. MM-HMM. ? YES. THEY'RE PART OF THE INVESTMENT POOL. OKAY. OKAY. WHO WOULD LIKE TO GO ON THIS SIDE BEFORE I GO? YOU WANNA WEIGH IN, RIGHT? HAPPY TO WEIGH IN. I FIGURED. UM, SO A COUPLE QUESTIONS. SHERRY, THE FIRST ITEM IS A POSSIBILITY UP THERE, THE LOAN FOR THE DIFF FUND TO COVER CAPITAL RESERVE BALANCE. REMIND ME KIND OF LIKE WHY DO THAT? LIKE WHY USE THE SURPLUS FOR THAT? UM, SO THE PROJECTION RIGHT NOW, UM, [08:15:01] SO I'VE ALREADY INCLUDED IN THE BUDGET LOANING THE D FUNDS, THE, WHAT WAS IT, 1.4 MILLION, 1.3 OR 1.44. UM, THE NEED FOR FISCAL YEAR 24. AND I'M SAYING FOR 25 I'M PROJECTING THAT IT'S GONNA NEED ANOTHER 2.6. SO WE COULD EITHER SET THAT ASIDE NOW, UM, KNOWING THAT THAT'S GOING TO BE COMING. IT IS AN ESTIMATE, UM, OR WAIT AND HOPE THAT WE HAVE THE MONEY TO LOAN IT LATER. OKAY. GOT IT. ALL RIGHT. AND THEN FOR THE FUNDS THAT WE HAVE ON HAND, THE, THE, THE BALANCE OF FUNDS, WHETHER IT'S GENERAL FUND, LET'S SAY GENERAL FUND, WHAT'S LIKE THE AVERAGE OR BLENDED RETURN WE'RE GETTING ON THAT MONEY THAT'S SITTING IN THOSE FUND BALANCES OR FUND BALANCE? UM, SO THE MOST RECENT, UM, MONTHLY INVESTMENT REPORT THAT I SENT OUT MM-HMM. , I THINK IT WAS AROUND THREE, THREE AND A HALF PERCENT. OKAY. THAT'S WHAT I THOUGHT. OKAY. SO ANY OF THEM OF THOSE MONIES THAT WE WOULD GO AND, AND APPLY TO PS P R S WOULD BE GIVING US, CORRECT ME IF I'M WRONG, LIKE THEY'RE, THEY'RE USING A 7.2% EXPECTED RETURN ON AVERAGE. ON AVERAGE, RIGHT. SO, UH, THAT ACTUALLY IS A MUCH BETTER RETURN FOR US TO GO AHEAD AND PAY DOWN THE PS P R S AT, AT A 7.2% BENEFIT, THEN GETTING THREE AND A HALF PERCENT SITTING IN THE BANK PER SE, UH, FOR HOW OUR FUNDS ARE INVESTED NOW. SO THAT'S A VERY COMPELLING REASON TO ME TO PUT SOME MONEY IN, INTO P PS P R S, UH, ANOTHER LUMP SUM, UH, A MILLION OR MORE. I COULD BE COMFORTABLE WITH THAT. MM-HMM. , UM, THE HOUSING FUND, I THINK THAT IT IS A GOOD TIME FOR PUTTING FUNDS THERE. I'M NOT READY TO DO 20 MILLION COUNSELOR, NEITHER AM I. UM, AND, AND ACTUALLY I GUESS I SHOULD ALSO MENTION, SO I CERTAINLY, UM, WELL WE HAVE TO, TO TAKE CARE OF THE, THE F Y 22 SURPLUS, I WOULD BE COMFORTABLE PROBABLY WITH ALLOCATING HALF OF THE F Y 23 SURPLUS. I, I DON'T FEEL THE NEED TO BE AS FULLY CONSERVATIVE AS TO NOT TOUCH IT AT ALL AT THIS TIME. UH, SO THAT WOULD PROVIDE SOME MORE MONEY AND I WOULD PROBABLY STICK THAT LARGELY INTO HOUSING. C I P I COULD BE, UH, CONVINCED OF A LITTLE BIT. UM, I, I WOULD ABSOLUTELY NOT PUT A DIME INTO THE SCHOOL ADMINISTRATION SITE. NOTHING CAN BE DONE ON THAT FOR AT LEAST SIX YEARS. THERE'S PLENTY OF TIME TO FIGURE THAT OUT. AND AS COUNCILOR WILLIAMSON SAID, THAT'S A GREAT EXAMPLE OF WHERE A BOND ISSUE COULD MAKE SENSE. UM, I WOULD MUCH RATHER SEE THIS MONEY GO TO IMMEDIATE USE THAT HELPS THE BIGGEST NEEDS IN THE COMMUNITY. WE'VE SAID HOUSING IS LARGELY IT. SO THAT WOULD BE WHERE I WOULD LIKE TO SEE IT ALONG WITH P S P R S. THAT WOULD BE MY TWO PRIORITIES. THANK YOU. THANK YOU BRIAN. MELISSA? SO I THINK I, WHERE I CAME DOWN WAS PRETTY MUCH WHERE BRIAN CAME DOWN. UM, I THINK THAT PUTTING A MILLION INTO THE, UM, P S P R S SOUNDS LIKE A GOOD DEAL FOR US TO DO. MM-HMM. , UM, ON MANY DIFFERENT LEVELS. I, I PERSONALLY THINK THAT IF WE NEED TO WORRY ABOUT THE DIF FUNDS AND MAKING SURE THAT THE MONEY IS THERE AND THIS IS THE AMOUNT YOU BELIEVE WE NEED, I WOULDN'T HAVE A PROBLEM GOING AHEAD AND, AND ALLOCATING THERE. I ALSO BELIEVE THAT IT'S, IT MEAN I'M, I'M MORE THAN HAPPY TO TAKE OUT OF THE, UH, FISCAL YEAR, ESTIMATED FISCAL YEAR, UM, 23 SURPLUS MM-HMM. AND APPLY THAT AS WELL. UM, WHAT PERCENTAGE WE WANNA LEAVE IN, WHETHER IT'S HALF OR WHATEVER, I THINK UP TO NEGOTIATION. BUT FOR ME, HOUSING IS JUST CRITICALLY IMPORTANT. WE, WE, UM, WE KEEP SAYING WE'RE GONNA DO IT. WE KEEP HAVING PROBLEMS GETTING IT DONE. N NONE OF IT SHANNON'S FAULT, ALL ABOUT COSTS AND ABOUT DELAYS IN TIME AND, AND LOTS OF THINGS. THIS IS ONLY GOING TO GET MORE EXPENSIVE TO DO. MM-HMM. . AND SO I BELIEVE IF WE'RE GOING TO, TO LITERALLY PUT OUR MONEY WHERE OUR MOUTH IS, THIS IS THE TIME TO DO IT. WHEN WE HAVE AN OPPORTUNITY TO POTENTIALLY GET AT LEAST TWO PROJECTS OFF THE GROUND THIS YEAR, GET SOMETHING BUILT, UM, I, I JUST FEEL, I JUST FEEL PASSIONATE ABOUT THE FACT THAT THAT HOUSING IS CRITICAL FOR OUR COMMUNITY. THAT PEOPLE CAN AFFORD TO HAVE A PLACE TO LIVE HERE, UM, WITHOUT BEING MILLIONAIRES. SO FOR SURE THOSE WOULD BE, THOSE WOULD BE MY TOP PRIORITIES. I MEAN, THERE'S OTHER ONES I THINK ARE IMPORTANT. TRANSIT, TRANSIT COMES ALONG WITH THE HOUSING. CUZ IF WE HAVE A GOOD TRANSIT SYSTEM, THEN THE PEOPLE WHO ARE, WHO ARE THERE, THEY DON'T HAVE TO DRIVE THEIR [08:20:01] CARS. THAT REDUCES THEIR COSTS, WHICH MEANS THAT THEIR COST FOR EVERYDAY LIVING GOES UP. UM, AND WE KNOW THEY HAVE ABILITY TO SEND, YOU KNOW, THEIR KIDS TO SCHOOL AS SHOES, WHATEVER IT MIGHT BE, IF THEY HAVE A GOOD TRANSIT SYSTEM THAT IS AFFORDABLE. SO, YOU KNOW, I COULD EASILY BE CONVINCED THAT WE, YOU KNOW, IF TRANSIT NEEDS SOME FUTURE FUNDING THAT WE SHOULD, WE SHOULD BE THINKING, I THINK THEY'RE, I THINK THEY'RE ULTIMATELY AT THE BOTTOM LINE HERE, THEY'RE TIED TOGETHER HOUSING AND TRANSIT. SO THERE YOU HAVE IT. RIGHT, MAYOR. SO I SUPPORT, UH, SOME AMOUNT OF FUNDING FOR PS P R S. BUT JUST TO BE CLEAR, THEY CLAIM THEY GET 7.3%, BUT THEY DON'T, THAT'S THE PROBLEM. THAT'S ONE OF THE REASONS WHY THEY'RE UNDERFUNDED IS THAT THEY, THEY WERE USING IT. RIGHT. YOU'VE SAID THIS BEFORE, RIGHT. BUT IN RECENT YEARS WITH THE CHANGES THAT THEY'VE MADE THERE, THEY'VE BEEN GETTING MUCH BETTER RETURNS. SO AS I SAID, LIKE FISCAL YEAR 21, IT WAS 27%, BUT THEN LAST YEAR IT WAS MINUS 1.5%. RIGHT. RIGHT. AND THAT WAS AN UNREALIZED LOSS. SO WE'RE GONNA SEE THAT REFLECTED IN RETURNS IN THE FUTURE WHEN IT GETS MARKED BACK UP TO WHERE IT SHOULD BE. I MEAN, I WOULD DO IT NOT BECAUSE WE GET A, THERE'S A BETTER RETURN, BUT BECAUSE MM-HMM. , IT'S THE RIGHT THING TO DO IN TERMS OF REDUCING OUR DEBT. I HAVE TO GO AND, AND ON AVERAGE IT OKAY. IT, IT, IT'S STILL MORE THAN THE, THAN THE THREE AND A HALF THAT WE'RE AT RIGHT NOW. I JUST WANNA TAG ON HERE BECAUSE IT'S THURSDAY AND WE'RE ALLOWED TO TAG ON THURSDAY. YEAH. TAG ON THURSDAY. THAT'S RIGHT. SO I APPRECIATE EXACTLY WHAT YOU SAID, BUT IF P SPRS WERE USING A GOOD NUMBER, IT WOULD LOOK CLOSER TO 7% OR MAYBE SIX AND A HALF. SO IT DOESN'T MOVE VERY FAR FROM BRIAN'S MATH TO BE THINKING ABOUT WHERE IT SHOULD BE VERSUS WHERE IT IS. OKAY. SO I, I DO SUPPORT THAT. I DON'T KNOW HOW MUCH I, AND THEN I, I WOULDN'T WORRY ABOUT THE DIFF FUNDS. WE'LL WORRY ABOUT THAT NEXT YEAR. I DON'T THINK WE NEED TO DO THAT THIS YEAR. AND I JUST WOULD PUT ALL OF IT IN HOUSING MYSELF. THAT'S WHERE PEOPLE SAY TO ME, WHAT IS THE NUMBER ONE PROBLEM IN SEDONA. I DON'T SAY TRAFFIC, I SAY HOUSING. IT ALL IS A BIT, YOU KNOW, THEY ALL CONTRIBUTE TO ONE ANOTHER, BUT WE, WE JUST HAVE TO DO IT. WE GOTTA GET OFF THE DIME. I DIDN'T HEAR YOU RIGHT. DID YOU SAY YOU WOULD NOT DO THE DIFF FUND OR THE SIP FUND? I DIDN'T HEAR THE DIFF DIFF DIFF. THANK YOU. I JUST COULDN'T HEAR THAT. AND I WOULD BE WILLING TO TAKE SOME AMOUNT OF THE SURPLUS, BUT NOT A LOT OF IT OUT OF 23. BUT NOT A LOT OF IT. CUZ I DO WANT TO SEE US HAVE SOME RESERVES AND I DON'T THINK YOU'LL SPEND MORE THAN WHAT WE'RE GONNA PUT IN. SO WE'LL HAVE IT FOR NEXT YEAR, NOT RESERVES. IT'S SURPLUS. SURPLUS. THANK YOU. . DONE. OKAY. I AGREE WITH THE, WITH THE VICE MAYOR OF THE SURPLUS. OKAY. UM, WITH THE 23, 22, I'M FINE WITH, UM, I COULD SEE A MILLION DOLLARS FOR THE PS P R S I AGREE WITH THE VICE MAYOR. I HAVE BEEN SAYING IT ALL ALONG. HOUSING IS, WE HAVE TRAFFIC, WE HAVE A LOT OF REASONS FOR TRAFFIC. WE CAN CONTROL HOUSING AS BEST WE CAN. WE CAN'T, WE, WITH TWO STATE HIGHWAYS, WE CAN'T DO TOO MUCH, YOU KNOW, THE DRILL, WE CAN DO SOMETHING ABOUT HOUSING. UNFORTUNATELY, IT'S UNGODLY EXPENSIVE TO DO IT, BUT WE HAVE TO DO IT. SO I WOULD SUPPORT PUTTING THE MONEY INTO, INTO HOUSING AND LET'S GET SOME OF THESE PROJECTS THAT ARE SITTING WAITING, GET THEM JUMPSTARTED. IF, HOWEVER THAT WORKS, THAT'S WHAT WE HAVE TO DO. SO, UH, BUT I THINK THE, THE PS P R S I THINK IT'S WORTH PUTTING AN EXTRA, UH, LUMP SUM IN. AND AS FAR AS THE, UH, DISTRICT ADMINISTRATION BUILDING THE SCHOOL DISTRICT, THERE'S OTHER WAYS OF DOING THAT. UM, TRANSIT FUND NEEDS, YOU KNOW, I, I AGREE WITH, UH, MELISSA, WITH HOUSING, WE WE'RE GONNA NEED TRANSIT. SO IF THAT WOULD BE MY LOWER PART, HOUSING IS NUMBER ONE. AND THEN PS P R S AND THEN TRANSIT. HOWEVER THAT BREAKS DOWN. I DON'T KNOW WHAT THE, THE, THE BEST BREAKDOWN IS, BUT I'M LOCKED IN WITH THAT. HOUSING HAS TO BE, UH, RIGHT UP THERE. YEAH. SO IF SHANNON SAYS SHE NEEDS 12 MILLION AND WHAT DO WE HAVE? EIGHT, WHAT'S THE NUMBER FOR EIGHT? 28.6 IS 8.6 IS F Y 22. SO LET'S CHANGE THE, BUT SHE'S NOT GONNA SPEND, I DON'T THINK SHE'S SAID SHE'S GONNA BE ABLE TO DO 12 MILLION IN ONE YEAR, EITHER. I HAVE SOME NUMBERS I'D LOVE TO THROW OUT AT SOME POINT. MM-HMM. . OKAY, WELL, LET ME FINISH. AND I'M OPEN TO NUMBERS. I'M NOT LOCKED. INNU NUMBERS. MM-HMM. . OKAY. I'M LOCKED IN PROJECTS. MM-HMM. . SO GO AHEAD, KATHY. UM, JUST, [08:25:02] IT'S 3.4 MILLION FROM F Y 23 THAT WE WOULD NEED IF WE WANTED TO GIVE SHANNON 12 MILLION. AND THAT WOULD, BUT THAT WOULD USE UP ALL OF IT, RIGHT? THAT WOULD USE UP, NO, NO. OH NO, THAT'S A MILLION IN THE PS P R OH, I'M SORRY. I'M CONFUSED. NO, IT'S OKAY. WHAT I WAS JUST DOING IS SAYING WE HAVE 8.6 MILLION IN 22. OH, I SEE WHAT SHE, AND SHE NEEDS 12 MILLION. OKAY. SO THAT MAKES A DEFICIT OF 3.4, WHICH WOULD HAVE TO TAKE OUT OF 23. OKAY. AND THEN WHATEVER ELSE WE WANTED TO WOULD COME OUT OF 23. CORRECT. THANK YOU. I, I GET IT NOW, , I'M JUST A LITTLE LEERY BECAUSE THAT'S JUST ME VERY, I AM ACTUALLY CONSERVATIVE AND I'M JUST NOT READY TO TOUCH THAT 23, BUT TAKING SOME OF IT, AND THAT'S SOME OF IT, IT'S, IT'S 12, IT'S ANTICIPATED AND WE'LL KNOW SHORTLY. I MEAN, IF WE'RE CLOSING THE YEAR OUT, UH, IT'S ANTICIPATED TO BE 12.3. YES. IS THAT WHAT YOU'RE SAYING? 12.3? YES. SO WE HAVE A LOT TO LEAVE IN. YES. WE DON'T HAVE TO USE IT ALL. I WOULDN'T, I WOULD NOT SUGGEST USING IT ALL AT ALL. OKAY. BUT THAT'S, THAT'S, THOSE ARE MY, MY TOPICS, MY SELECTIONS. SO, UH, KATHY, I'D LIKE TO HEAR WHAT YOU'RE SUGGESTING AS FAR AS, UH, MONEY. I, I DO HAVE A SUGGESTION, BUT BEFORE I THROW THAT OUT THERE, I JUST ALSO WANNA MAKE A JUST ONE POINT ABOUT THE SCHOOL ADMINISTRATION SITE. AND I BELIEVE I ALSO AGREE THAT THAT'S SOMETHING WHERE BONDING WOULD BE PROBABLY A GOOD THING TO GO FOR. BUT I THINK THAT PUTTING AMOUNT OF MONEY, A SMALL AMOUNT OF MONEY, E COMPARATIVELY SMALL, UM, IN EXPRESSES, UM, IT DEMONSTRATES AND IT MEMORIALIZES A COMMITMENT TO THE INTENTION OF MOVING AHEAD WITH THAT. SO, UH, IT'S SOMETHING THAT I'M STILL INTERESTED IN PUTTING IN. IT DOESN'T HAVE TO BE A BIG CHUNK OUT OF ALL OF THIS, BUT I THINK THAT KNOWING THAT THEY'RE MOVING IN THAT DIRECTION AND ESTABLISHING SOMETHING SHOWS THAT THERE WOULD BE MOVING AT THE END OF THAT LEASE. BECAUSE I WOULD HATE FOR THE INVESTMENT THAT WE'VE DONE AND THE TIME THERE, YOU KNOW, FOR, FOR THAT TO NOT COME TO FRUITION LATER WITH A PURCHASE. SO IF THAT'S THE INTENTION, WHY NOT START PUTTING MONEY AND WHY NOT MAKE THAT STATEMENT? BUT ANYWAY, WITH THAT BEING SAID, MY IDEA FOR P S P R S WAS 1.2 MILLION. AND MY THOUGHTS BEHIND THAT WAS THAT THERE'S 5.2 UNFUNDED. THE LOWEST POINT THAT IT WAS EVER AT WITH AN UNFUNDED BALANCE WAS BACK IN 2016 WHEN IT WAS AT 4.4. SO WE WOULD PUT 1.2 MILLION IN THERE, IT BRINGS IT DOWN TO 4 MILLION, WHICH WOULD BRING IT TO ITS LOWEST POINT OF, UH, DISPARITY. SO I, I, THAT'S JUST FOOD FOR THOUGHT. UM, HOUSING, I DON'T THINK THERE'S ANY WAY WE'RE GONNA SPEND 12 MILLION . I JUST DON'T THINK IT'S POSSIBLE TO DO IT IN THIS YEAR. I THINK WE KNOW ALREADY THAT YOU DON'T KNOW, SHANNON. SHE'LL FIGURE IT AWAY. , WE KNOW THAT, WE KNOW ALREADY THAT THERE'S GOING TO BE A POT OF MONEY NEXT YEAR FROM THE UNFUNDED BALANCE THAT WE'RE, IF WE WERE BEING MORE, UM, CONSERVATIVE AND NOT DIPPING INTO THAT THIS YEAR. SO MY RECOMMENDATION FOR HOUSING WOULD BE 3 MILLION. UH, THE C I P PROJECTS, MY RECOMMENDATION WOULD BE 2 MILLION. THE SCHOOL 1 MILLION. UH, I THINK THAT BRINGS US UP TO 7.2, WHICH THEN I WOULD PUT BETWEEN TRANSIT AND STREETS, THE REMAINING TO THE 8.6. SO IT WOULD BE 1.4. JUST GO THIS WAY. I DIDN'T SEE, I DUNNO IF HE'S READY, BUT I KNOW YOU WERE. SO WELL GO AHEAD. YOU'RE READY. OKAY. UM, I WOULD PUT, I AGREE WITH THE 1.2 FOR THE, FOR THE P S P R S, UM, I AGREE THAT TRANSIT, WE SHOULD PUT SOMETHING THERE. YOU KNOW, THE SCHOOL DISTRICT SITE, WE HAVE AN INTENTION. NOW, THIS IS FROM, IN 2 20 29, WHO KNOWS? I MEAN, WE'RE, WE MAY, YOU GUYS MAY OR MAY NOT STILL BE HERE, THERE'LL BE A NEW COUNCIL. I MEAN, I DON'T KNOW THAT IT MAKES SENSE TO, TO COMMIT MONEY THIS EARLY, UM, FOR SOMETHING THAT THERE'S OTHER OPTIONS FOR AND THAT WE DON'T KNOW WHERE WE'RE GONNA BE THEN. SO I STILL DON'T WANNA PUT ANY MONEY THERE. YOU KNOW, I WOULD PUT 10 MILLION FOR HOUSING, ASSUMING THAT ALL OF THEM WOULDN'T GO FORWARD AND I WOULD PUT 3 MILLION FOR FUTURE TRANSIT NEEDS. SO THAT'S, THAT'S WHERE I COME OUT. WHAT ABOUT KAREN? HOW DO YOU FEEL? I SEE, I SEE, I SENSE, I SENSE SOME CONCERN IN THIS PROCESS. I'M NO, I'M SORRY. IT, I'M JUST, I'M, YOU'RE TIRED, SORT OF SPENT. OKAY. I, I, I TAKE, I TAKE THE SPOTLIGHT OFF YOU THEN. THANK YOU. AND THAT'S HOW, THAT'S HOW I WOULD DO FOR A TOTAL OF WHAT? 10, 13, 14 0.2. OKAY. I HAVE BEFORE WE GO TO PETE MAYOR. YES. CAN I MAKE [08:30:01] A REQUEST? SURE. UM, SO BECAUSE WE'RE, WE'RE GOING THROUGH SO MANY DIFFERENT SCENARIOS AND EVERYBODY'S GONNA HAVE A DIFFERENT SCENARIO. THAT'S RIGHT. COULD WE TAKE LIKE EACH ITEM AND THEN DO LIKE A THUMBS UP, THUMBS DOWN ON LIKE, IS EVERYBODY GOOD WITH 1.2 MILLION ON PS PS? OR DO THEY WANT A DIFFERENT AMOUNT? LIKE CAN WE, WELL, I DON'T KNOW IF THAT IT MIGHT WORK, BUT IT MAY NOT BECAUSE EVERYBODY HAS A DIFFERENT DOLLAR AMOUNT AND IF THEY WANNA FUND IT OR THEY DON'T WANNA FUND IT, WELL ACTUALLY HAVE A SUGGESTION TO THAT. THAT BRINGS THAT INTO AS WELL. TO YOUR SUGGESTION, COULD WE JUST SPEND FOR NOW THE F Y 22 MONEY AND THEN COME BACK IF YOU WANT TO REVISIT GOING AND DIPPING INTO THE F Y 23? NO, NO. FOR A SECOND ROUND OF INFUSION INTO, INTO HOUSING OR SOMETHING? NO, NOT, NO, WE JUST DO NOT FOR ME. I'M SORRY. OKAY. BUT BEFORE WE DO THAT, I'M JUST TRYING TO DO SOMETHING THAT'S, IT WOULD GET YOU TO THE SAME PLACE IF YOU WANT. I KNOW IN YOUR PROPOSAL, I'M JUST TRYING TO BE METHODICAL SO THAT WE COULD KEEP TRACK. NO, BUT BEFORE YOU GO WITH THAT, I WANT TO COME UP WITH SHANNON AGAIN. AND, UH, YOU SAID 12 MILLION. THAT WAS THE BIG NUMBER REALISTICALLY OF THE, CUZ YOU KNOW WHAT, WHO'S COME TO YOU, YOU KNOW, WHAT THEIR PROJECTS ARE IN MIND. WE HAVE NO IDEA WHAT THAT IS FOR THIS COMING YEAR. WHAT'S THE REAL NUMBER? I WAS JUST CALCULATING LIKE, OKAY, IF THIS PROJECT STARTED IN THIS MONTH AND THIS, THERE'S NO WAY WE COULD SPEND MORE, I WAS HOPING THAN LIKE 7.5 OKAY. IN THIS FISCAL YEAR, BUT WE WOULD HAVE TO COMMIT TO IT. SO I JUST WANNA MAKE SURE THAT IT'S THERE. SO THE 12 IS A GOOD NUMBER. I HAVE A SUGGESTION. JUST A MINUTE, PLEASE. I, I KNOW, BUT SHANNON, IS THOSE 12 MORE REAL, REALLY REALISTIC? LIKE I SAID, IF, IF WE COMMIT TO IT MM-HMM. , THEN IT NEEDS TO BE ALLOCATED TO THE PROJECT. RIGHT? OKAY. MM-HMM. . SO THAT'S, I'M NOT TALKING ABOUT ACTUALLY WRITING A CHECK, GIVING THE DEPOSIT. I'M HOPING TO, IF WE DROP, BUT WHAT, 7.5, WHATEVER THIS COMING, WHAT I, I HAVE A SUGGESTION. GO. SO THE, THESE LOANS ARE BALANCE SHEET ITEMS. UM, AS FAR AS LIKE ALLOCATING THE SURPLUS, WE NEED TO KNOW, BECAUSE WE'RE GONNA DO TRANSFERS FROM GENERAL FUND TO WHATEVER FUNDS IT'S GOING TO. SO WE NEED TO KNOW THAT PART. UM, BUT IF YOU SAID, OKAY, WELL WE'RE NOT GONNA DO THE WHOLE 12 MILLION RIGHT NOW, LET'S GO WITH WHATEVER, 8 MILLION OR WHATEVER AND SOMETHING THINGS PROGRESS AND KEEP PROGRESSING AND IT'S LIKE, YOU KNOW, WE DO WANNA MAKE SURE THAT WE'VE GOT THAT COMMITTED THERE. IT'S A BALANCE SHEET ITEM. WE COULD DO THAT WITHOUT HAVING PUT IT IN THE BUDGET. OKAY. OH, WELL AM I GLAD YOU'RE HERE. WELL, BUT WE'RE NOT PUTTING IT IN THE BUDGET. BUT IF YOU'RE COMMITTING THOSE FUNDS, UHHUH, IT WOULD BE NI IF, YOU KNOW, YOU KNOW WHAT, IN THE NEXT COUPLE OF YEARS WE WANNA SPEND 12 MILLION ON HOUSING MM-HMM. , IF WE HAVE THE OPPORTUNITY AND IF WE CAN LEVERAGE OTHER SOURCES, CUZ NOW THERE'S MONEY FLOWING THROUGH THE STATE. GO AHEAD AND PUT IT IN THE FUND SO THAT OKAY. KNOWS AT LEAST WHAT SHE HAS TO WORK WITH. NO, I, I JUST WANNA ASK THE QUESTION. THAT'S FINE. YEAH. NO, NO. WE, WE CAN COME BACK NEXT YEAR AND ADD MORE, BUT RIGHT. BUT NOBODY KNOWS EXACTLY WHAT THE SCENARIO FOR NEXT YEAR IS GONNA BE OR WHAT OTHER NEEDS WE MAY HAVE. ALL HOUSING NEEDS SOLVED BY THEN. SO ABSOLUTELY. THE ALIGNMENT OF THE STARS. AND I THINK YOU'RE RIGHT JESSICA, WHEN YOU SAID THAT I, I SEE THERE'S A LOT OF INTEREST. IT'S JUST A MATTER OF GETTING THOSE LOANS. SO THIS COULD REALLY HELP, REALLY JUMPSTART, I'M, I'M REALLY EXCITED TO, TO DO THIS. OKAY. SO THEN SHERRY GOING BY WHAT YOU WANT TO DO, YOU WANT TO GO DOWN LINE, UH, LINE BY LINE. YEAH, I THINK, CUZ OTHERWISE WE'RE JUST GONNA KEEP TALKING ABOUT A BUNCH OF DIFFERENT SCENARIO. YOU'RE RIGHT. I WANNA GET MOVING. SO, UM, PSP R S, SO I HEARD 1 MILLION, 1.2 MILLION. I THINK THE PEOPLE THAT OFFERED UP 1 MILLION MIGHT BE FINE WITH THE 1.2 MILLION. OKAY. OKAY. UNANIMOUS. UM, IT SEEMED LIKE A MIXED WHAT ABOUT THE HOUSING? OH, SHE, SHE'S GOING DOWN THE LINE. OH, I SEE, I SEE THAT. OKAY. GOT IT. IT SEEMED LIKE A MIXED BAG ON, UM, RESERVING THE MONEY FOR THE FUTURE LOANS TO THE D FUNDS. SO I'M THINKING THAT'S MOSTLY THUMBS DOWN ON THAT. OKAY. AND IT SEEMED LIKE THE SCHOOL DISTRICT ADMIN SITE, THAT WAS PRETTY MUCH MOSTLY THUMBS DOWN. UM, SO, UM, SO LET'S JUMP TO HOUSING. SO THE NUMBER OF 12 MILLION HAS BEEN THROWN OUT, UM, SETTING ASIDE 12 MILLION FOR HOUSING. WAIT, CAN YOU SAY THAT AGAIN? I'D LIKE TO COMMENT NOW. OH, I, I CAN'T JUST THUMBS UP AND THUMBS DOWN ON THIS. OH, IF YOU HAVE A QUESTION, GO. NO, THIS IS IMPORTANT. SO GO AHEAD. IT IS IMPORTANT AND HOUSING IS IMPORTANT TO ME AND I, YOU KNOW, I HAD BEEN WILLING TO GO TO REDUCE MY LIST TO JUST P S P R S AND FUNDING FOR THE FY 20 HOUSING FOR JUST FY 22 MONEY FOR ME TO DIP INTO FY 23. [08:35:01] I MIGHT HAVE A LITTLE BIT OF OPENNESS TO DO THAT, BUT I WOULD REQUIRE THAT, I'M NOT SURE THAT WE AS A CITY YET HAVE DONE EVERYTHING THAT WE CAN TO, I DON'T WANT TO USE THE WORD INCENT, TO ENCOURAGE MARKET RATES, LOW SQUARE FOOTAGE, MARKET RATE, MULTI-FAMILY HOUSING IN TOWN. I THINK THERE'S STILL, OUR PROCESS ISSUES ARE IN FRONT OF OUR DEVELOPERS. UH, AND I, I JUST, I'M NOT CONVINCED THAT WE'VE DONE ENOUGH WORK ON THE MARKET RATE SIDE OF THIS EQUATION. AND UNTIL WE DO THAT, I'M NOT WILLING TO JUST THROW MORE AND MORE MONEY ON THE COMPLEX. VERY IMPORTANT BUT VERY DIFFICULT PROJECTS THAT SHANNON IS PIONEERING HERE. SO I'M WILLING TO GO, YOU KNOW, 7.4 MILLION TO HOUSING THIS YEAR OUT OF THE F Y 22. BUT I'M REALLY RELUCTANT TO DIP INTO FY 23 UNLESS I KNOW THAT IN THIS COMING FOR THE REST. WELL, AND FOR THIS COMING FISCAL YEAR, WE DO SOME VERY SPECIFIC THINGS TO LOOK AT THE, THE ENCOURAGEMENT OF LOW SQUARE FOOT MULTIFAMILY HOUSING. OKAY. ARE YOU READY? I'M SORRY. NO. SO WHAT WE CAN DO IS YOU JUST VOTE ACCORDINGLY MM-HMM. , THUMB UP, THUMB DOWN, WHATEVER. THE PROPOSAL FROM SHANNON FROM FROM SHERRY IS? BRIAN. BRIAN, RIGHT. . I'VE BEEN DOING GOOD WITH THAT TONIGHT. YOU HAVE BEEN. UM, IT'S JUST, YOU KNOW, I I I I DON'T AGREE WITH YOU THAT NOT ENOUGH HAS BEEN DONE. I, I'VE BEEN DOING THIS FOR A LONG TIME AND I THINK A LOT HAS BEEN DONE. THE ONLY THING HOLDING THIS UP IS JUST THE FINANCING. THE, THERE'S INTEREST AND I KNOW WHAT YOU'RE TALKING ABOUT. I THINK ENOUGH HAS BEEN DONE FOR, FOR MARKET RATE AND FOR, UH, WHAT YOU WERE SAYING. SO KAREN, NOW I AM GONNA PUT YOU ON THE SPOT, . SO THE MAYOR'S STATEMENT THAT THE ONLY THING HOLDING IT UP IS MONEY. DO YOU AGREE WITH THAT STATEMENT? I'M ASKING YOU AND NOT SHANNON, BECAUSE YOU HAVE THE BIGGER PICTURE OF AND THE HISTORY AND HAVE WORKED WITH THESE PEOPLE. IS THIS, IS IT ONLY A DOLLAR? THROW SOME MONEY AT THE PROBLEM THAT GOES AWAY? CUZ I DON'T THINK SO, BUT I'D LIKE TO KNOW WHAT YOU THINK PLEASE. NO, I DON'T THINK SO. I THINK FOR THE PROJECTS SPECIFICALLY, SHANNON IS TARGETING MM-HMM. , IT'S, IT'S A FINANCIAL CONTRIBUTION ISSUE. MAKING THE DOLLARS WORK, UH, AND MAKING A PROFORMA THAT THAT WORKS. UM, BUT I THINK THE BIGGER PICTURE ABOUT DENSITY AND HEIGHT AND OTHER THINGS THAT COULD MAKE A MARKET RATE PROJECT PENCIL HAVE BEEN TRIED MM-HMM. AND THEY HAVE FAILED BECAUSE THIS COMMUNITY DOESN'T HAVE A TOLERANCE FOR THOSE PROJECTS. AND I DON'T SEE THAT CHANGING. AND THAT'S WHY I'M RELUCTANT JUST TO, TO THROW SOME MONEY IN THERE WITH THESE OBSTACLES. DON'T GET REMOVED WITH THAT. UM, I MEAN, I WANNA, BELIEVE ME, I WANNA THROW MONEY IN HERE. I JUST, I JUST THINKING THAT, BUT I THINK FOR THE PROJECTS THAT SHANNON IS TALKING ABOUT THAT MAY ALREADY BE IN COMMERCIAL ZONES THAT, THAT HAVE ENTITLEMENTS. UM, AND I DON'T, I DON'T EVEN KNOW WHAT THEY ALL ARE. IF THEY HAVE ENTITLEMENTS MM-HMM. AND ALL THEY NEED IS SOME STATE FUNDING AND SOME CITY FUNDING AND SOME TO, TO MAKE THE DOLLARS WORK TO BE SUBSIDIZED. THAT'S A MONEY ISSUE. THAT'S WHAT I WOULD SAY. THE OTHER THINGS, WHAT, WHAT COUNCILOR FURMAN IS TALKING ABOUT INCENTIVIZING MARKET RATE PRODUCT OR, UH, AND IT WOULD LIKELY BE MARKET RATE PRODUCT UNLESS IT'S SUBSIDIZED, BUT, BUT YOU COULD GET CLOSER TO SOMETHING THAT'S MORE AFFORDABLE WITHOUT THE ADDITIONAL SUBSIDIES IF YOU WERE ABLE TO BUILD HEIGHT AND DENSITY IN CERTAIN LOCATIONS OR OTHER TYPES OF PRODUCT THAT AREN'T LARGE LOTS SINGLE FAMILY RESIDENTIAL, WHICH IS 85% OF OUR HOUSING STOCK. AND I DON'T SEE THAT GOING AWAY AT ALL BECAUSE I HAVE MY OWN CONCERNS ABOUT, ABOUT DENSITY, WHY SHANNON'S PROJECTS ARE SO IMPORTANT. IF IT DOESN'T CHANGE, UH, WE HAVE TO STEP IN AND TAKE THE OPPORTUNITIES AND THROW A WHOLE LOT OF MONEY AT IT TO GET THESE, TO GET UNITS THAT ACTUALLY COULD BE AFFORDABLE. COULD I ASK GOOD CLARIFICATION? WELL, I THINK SHARON HAS TO SPEAK FIRST. OH, I'M SORRY. I DIDN'T KNOW. I JUST WANTED TO CLARIFY. IF WE'RE TALKING ABOUT MARKET RATE, THE MARKET RATE IS WHAT THE TOURISTS AND THE REMOTE WORKERS AND THE FOLKS WHO ARE EASILY STAYING IN AIRBNBS CAN AFFORD. THAT'S THE MARKET RATE. IF WE'RE TALKING, IF WE'RE CALLING MARKET RATE UNSUBSIDIZED, THEN THAT'S DIFFERENT. [08:40:01] I'M SORRY, BUT WE DON'T HAVE SMALL SQUARE FOOTAGE MARKET RATE THINGS FOR PEOPLE TO CHOOSE. WE, WE DON'T HAVE THAT RIGHT PRODUCT. THAT'S THE PRODUCT THAT I'M TRYING TO ENCOURAGE. BUT EVEN THOSE ARE VERY DIFFICULT TO BUILD. LIKE I'M TALKING TO DEVELOPERS WHO WANT TO BUILD SOMETHING LIKE THAT AND THEY STILL NEED SUBSIDY TO MAKE IT AFFORDABLE TO THE RENTS THAT WE WANNA SEE. THEY CAN MAKE IT MARKET RATE. THEY WILL SAY MARKET RATE IS 2,500 A MONTH AND, AND WHEN WE HAVE HAD PROPOSALS, THEY HAVE BEEN KILLED BY THE COMMUNITY. MM-HMM. BECAUSE THEY HAVEN'T HAD ENTITLEMENTS. CUZ WE DON'T HAVE LAND THAT'S ZONED MULTIFAMILY OR IT'S SMALL LOT AND, AND SO THEY'RE, THEY'RE NOT SUCCESSFUL. THAT'S NOT REALLY ABOUT WELL I, YOU KNOW, IT'S ABOUT, AND WE'RE AT 85% BUILD OUT. SO I MEAN IT'S NOT LIKE WE'RE GONNA FIND A SWATH OF LAND I COTTONWOOD OR SOMETHING TO GO TO DO, DO THIS. WE HAVE TO WORK WITHIN OUR CONSTRAINTS. CULTURAL PART. JESSICA, I JUST WANTED TO JUST SORT OF SAY THAT MARKET RATE UNITS ARE NOT OUR PROBLEM. EVEN THOUGH IT WOULD BE NICE TO HAVE MORE MARKET RATE UNITS, WORKFORCE HOUSING IS OUR PROBLEM THAT WE'RE TRYING TO SOLVE. UM, LET'S SEE. THAT WAS, I THINK MY, MY MAIN THING. AND THESE WOULD ALL BE AFFORDABLE UNITS AT SOME LEVEL, THE FOUR THAT YOU'RE TALKING ABOUT. SO WHATEVER WE MIGHT WANT TO INCENT PRIVATE DEVELOPERS TO CONSTRUCT SHORT TERM RENTALS, UM, IS NOT THE GOAL I DON'T THINK OF, OF SHANNON'S EFFORTS. AND I DON'T THINK WE'RE TALKING ABOUT NOT GOING, IF YOU ABOUT NOT INCENTING PEOPLE TO BUILD. I THINK WE'RE DEALING WITH WHAT WE'VE SEEN FOR THE PAST FOUR YEARS, WHICH IS WE CAN'T DO, WE CAN'T DO DENSITY AND WE CAN'T DO HEIGHT. AND SO WHAT CAN WE DO? AND THIS IS WHAT WE CAN DO AND THAT, THAT'S THE PROBLEM WE'RE SOLVING. AND SHANNON, WE NEVER REALLY TALKED, SHANNON HAS SOMETHING TO SAY. GO AHEAD. YOU WANNA FINISH? I, I JUST, I THINK WE'RE GETTING CLOSER ON THE DENSITY AND HEIGHT. WE HAD SOME REALLY GREAT CONVERSATIONS IN THE COMMUNITY PLAN UPDATE PROCESS AND I THINK WE'RE, WE'RE KIND OF FOSTERING SOME NEW ATTITUDES AROUND THAT. THAT'S HILARIOUS. BUT ALSO IF WE DON'T SUBSIDIZE THE DEVELOPMENT, THERE'S NOTHING TO STOP IT FROM BECOMING SHORT-TERM RENTAL. MM-HMM. . RIGHT. AND ALSO WE TALK ABOUT WORKFORCE HOUSING. I'M DEFINITELY THERE, BUT WE NEED SENIOR HOUSING, SO PEOPLE TO DOWNSIZE MM-HMM. , WE'RE NOT EVEN TALKING ABOUT THAT NOW. BUT TO ME IT'S THE PROJECT SHARON'S WORK ON. THAT'S WHAT I'M LOOKING TO FUND. TALKING TO SENIOR HOUSING DEVELOPERS AS WELL. IT'S JUST NONE OF THEM HAVE GOTTEN TO THE POINT OF, WELL MAYBE THE CULTURAL PARK IN ADDITION TO MORE HOUSING. SO QUESTION FOR SHANNON. YES, PLEASE, SHANNON. AGAIN, I I'M JUST THINKING THAT 12 MILLION IS NOT REALISTIC, YOU KNOW, I MEAN, BUT WHAT WOULD BE THE MINIMUM AMOUNT THAT YOU THINK WOULD REALLY GIVE YOU THE JUMPSTART ON THESE PROGRAMS? THAT'S FINE. IT'S NOT A LOT LESS AS FAR AS WHAT TO COMMIT TO, NOT WHAT WE COULD ACTUALLY SPEND OVER THAT PERIOD OF TIME. UM, LIKE IN REIMBURSING COSTS. BUT I'M TALKING TO FOUR DIFFERENT POTENTIAL DEVELOPMENTS RIGHT NOW THAT, THAT ARE LOOKING FOR 10 MILLION BETWEEN THE FOUR OF THEM. MM-HMM. , IF I INCLUDE SOME SET LOSS. UM, CAN WE ASK SHARE? I'M SORRY. I'M SORRY. I DIDN'T KNOW THAT YOU WERE, BUT AGAIN, THAT'S NOT ALL. IF THE MONEY IS THERE TO DEMONSTRATE, IT'S NOT ALL GONNA HAPPEN IN THIS YEAR. WE'RE GONNA BE COMING BACK TO THE OTHER POT. SO I'M LOOKING, I'M TRYING TO GET TO THE RIGHT NUMBER FOR WHAT WE'RE TALKING ABOUT NOW. AND I MEAN IS IT'S 4 MILLION, IS IT 6 MILLION? IS IT THAT'S WHAT I'M, THAT'S WHERE I'M TRYING TO GET TO. YOU MEAN HOW MUCH WE WOULD ACTUALLY SPEND OUT OF OUR LIKE WRITE CHECKS FOR AS OPPOSED TO HOW MUCH WE WOULD COMMIT TO, IT'S HOW MUCH WOULD DEMONSTRATE THAT, THAT KNOWING THAT THERE'S FUTURE MONIES THAT WOULD BE AVAILABLE, HOW MUCH WOULD IT TAKE TO GET THE PEOPLE TO THE TABLE AND LOCK THESE IN? SO LOCK A PROJECT IN IT HAS TO BE FULLY FUNDED. RIGHT. SO WE HAVE TO COMMIT TO THE FULL AMOUNT BEFORE THEY'RE GONNA EVEN THINK ABOUT STARTING. THAT'S A FAIR ANSWER. THANK YOU. SEE, I THINK YOU'RE CONFUSING BUDGET AND FUND AND I'M NOT CONFUSING THEM. THEY'RE, I MEAN YEAH, I'M INTERMINGLING THEM SOMEWHAT INTENTIONALLY. YEAH. SO ONLY BECAUSE I KNOW OF ONE PROJECT THAT WE'VE DISCUSSED IT, I'M GONNA BE CRYPTIC IF WE ALREADY OWN A PIECE OF PROPERTY AND SOMEBODY WANTS TO BUILD, BUT THEY'RE LOOKING FOR THAT FUNDING. [08:45:02] SO WE'RE ALREADY BRINGING THE LAND. WHAT, HOW DOES THIS, WHAT WE'RE TALKING ABOUT HELP WITH THAT PROJECT? BRINGING THE LAND REDUCES THE AMOUNT OF SUBSIDY PER UNIT BY ABOUT $20,000. OKAY. BUT THAT PERSON STILL NEEDS FUNDING OR A BRIDGE. YES. SO THEY STILL NEED ADDITIONAL FUNDING, WHETHER IT'S A LOAN OR A GRANT PLUS THE LAND TO MAKE THE PROJECT LOOK. SO, BUT IF WE FUND OUT, EXCUSE ME, A HUNDRED PERCENT IT'S OUR PROJECT THEN. AND HE'S JUST A BUILDER. MM-HMM. . YEAH. I MEAN IF WE WRITE THE AGREEMENTS PROPERLY, THEY'RE ALL OUR PROJECTS. UM, 60 YEARS FROM NOW. RIGHT. OKAY. THANK YOU FOR WORKING WITH WITH ME ON THAT JESSICA. AND THEN WE NEED, IT'S GOING, IT'S ALMOST SIX O'CLOCK, RIGHT? UM, I'D LIKE TO VOTE ON SHERRY'S PROPO SHERRY TO MAKE THE PROPOSAL AND WE DO A THUMBS UP ON THUMBS DOWN. WE HAVEN'T DONE DECISION PACKAGES YET. RIGHT. UM, I HEAR YOU. I'D LIKE TO ASK A QUESTION THOUGH, YET. HAVEN'T HAD A CHANCE DOWN THIS END OF THE DIOCESE. WE'RE GOING, YOU KNOW, ABOUT THE LAST HALF HOUR. SO, UM, SO SHANNON, THE 10 MILLION, YOU KNOW, WE MIGHT WRITE CHECKS FOR 4 MILLION, BUT YOU'RE SAYING THE 10 HAS TO BE IN THE FUND FOR IT TO BE CONSIDERED COMMITTED. IS THAT CORRECT OR NO? I, I THINK FROM A CONTRACTUAL STANDPOINT, WE NEED TO COMMIT TO IT WHETHER WE'VE, WE'VE ALREADY TRANSFERRED THAT MONEY OVER THERE OR NOT. LIKE WE NEED TO HAVE A PLAN HOW WE'RE GOING TO BALANCE THAT OUT SO IT DOESN'T, SO IT COULD BE SITTING IN THE GENERAL FUNDS STILL. RIGHT. OKAY. IS IT 10 OR 12 STAFF? YOU'RE GONNA ASK ABOUT 12. IT WAS 12. OKAY, THANKS. SO, BUT SHANNON SAID SHE NEEDS 10 MINIMUM. SHANNON, COULD YOU PLEASE REPEAT WHAT YOU WOULD NEED IN ORDER TO BE FULLY COMMITTED FOR THE PROJECT YOU CURRENTLY HAVE IN THE PIPELINE? I THINK I SAID 12 AND THEN WE TOOK OUT TWO ON ONE SIDE AND ADDED TWO POINT SOMETHING FROM ANOTHER. WE CAME BACK TO 12 ULTIMATELY. OKAY. THANK YOU. THAT'S WHY YOU WERE GONNA ASK MELISSA. THAT'S IT? YES, THAT'S IT. WOW. AND LEAD THUMBS UP PLEASE. SO, OKAY, SO 12, 12 MILLION TO PUT INTO THE HOUSING FUND. WHAT DOES THAT MEAN? THUMBS UP, THUMBS DOWN. CAN I ASK WHAT THAT MEANS? SO WE'RE SAYING TRANSFERRING, TRANSFERRING 12 MILLION FROM THE GENERAL FUND? NO, HE ALREADY, HE WANTS TO KNOW WHAT YEAR IS COMING FROM, I THINK. YEP. MM-HMM. , WE HAVE 8.6 IN 22, WE ALREADY TOOK OUT 1.2 MILLION, SO THAT'S 7.4 LEFT. NOW YOU'RE SAYING 7.4 PLUS 4 MILLION MM-HMM. OUT OF 23. MM-HMM. . OKAY. JUST WANTED TO BE CLEAR ABOUT THAT. NO, I, I WANT YOU TO BE CLEAR, IT'S JUST, IT CONCERNS ME BECAUSE IT, IT DELVING INTO THAT THAT FAR MAKES ME THEN RELUCTANT IF I WANNA SUPPORT THIS FROM SUPPORTING ANYTHING ELSE, WHICH I THINK ARE ALSO VERY WORTHY AND DESERVING AND FISCALLY SOUND AND RESPONSIBLE GOING FORWARD, SUCH AS THE STREETS AND TRANSIT. I MEAN, I JUST DON'T WANT HERE WE HAD FIVE, I MEAN, MY, MY RESPONSE WOULD BE I'M WILLING TO, TO BE VERY FOCUSED MM-HMM. AND, AND IF WE JUST DID THESE TWO THINGS, I'M READY TO CALL IT A DAY. SO, AND WE JUST VOTED OR JUST THUMBED UP, SO, OKAY. SO WE'RE DONE. THERE WERE, THERE WERE FIVE THUMBS UP ON THAT. OKAY. AND MINE GOES UP NOW TOO, KNOWING THE INFORMATION THAT I KNOW. SO THAT'S WHY I, I PREFER TO HAVE, WOULD IT BE SIX OR ALL THE INFORMATION ON THE TABLE BEFORE WE TAKE THESE VOTES? NO, I APPRECIATE YOU ASKING. I HAVE NO, NO, I PLEASE DON'T MISUNDERSTAND. I HAVE NO, I WANNA MAKE SURE YOU HAVE THE INFORMATION. I DO. OKAY. UM, IS THERE INTEREST IN, IN CONSIDERING PUTTING ANYTHING ADDITIONAL INTO THE TRANSIT FUND? WELL, I WANTED TO ASK YOU A QUESTION THAT MM-HMM. . SO, UM, THE WAY IT STANDS NOW, I'VE SEEN LOTS OF NUMBERS OVER THE LAST TWO DAYS. SO THE WAY IT STANDS NOW, UM, HOW IS THE TRANSIT FUND FARING? BECAUSE I, I DON'T WANT US TO BE AT A POINT WHERE GRANTS WILL COME THROUGH OR WHATEVER IT IS AND SUDDENLY THINGS THAT WE THINK THAT WE NEED, LIKE THE MICRO TRANSIT FOR INSTANCE, WE JUST CAN'T DO THOSE PROJECTS. SO JUST TO GIVE ME A SENSE OF WHAT YOU THINK. SO, SO RIGHT NOW WE'RE IN A DECENT POSITION. THE MONEY ACTUALLY COMES INTO THE TRANSIT FUND FROM THAT HALF-CENT SALES TAX TO COVER THAT. AND SO, SO WE'VE BEEN OKAY. UM, FROM THAT APPROACH. UM, IN THE, UM, UH, FISCAL YEAR 26, THERE WAS SOME MONEY THAT I WAS SAYING THAT THERE WOULDN'T BE ADEQUATE MONEY TO COVER SOME OF THE SIM C I P PROJECTS, UM, BECAUSE OF PUTTING MONEY TOWARDS TRANSIT AND SOME OF THAT OTHER, UM, COSTS. SO FOR THE TRANSIT SIDE IT WOULD BE OKAY AT THIS POINT IN TIME. SO IF, IF MY THINKING IS THAT, UM, WE THINK THEY'RE OKAY CERTAINLY FOR THIS YEAR, MAYBE EVEN NEXT FISCAL YEAR SINCE YOU SAID 26 MM-HMM. . UM, BUT AT ANY POINT IN TIME IF WE NEEDED TO, WE COULD [08:50:01] DRAW FROM THE EXCESS THAT WE HAVE FROM PREVIOUS YEARS. CORRECT. OKAY. THANK YOU. . I'M JUST TRYING TO GET IT OUTTA THE WAY HERE. I THOUGHT WE WERE GONNA STORM WOW. MONSOON EARLY. OKAY. UM, DID THAT ANSWER YOUR QUESTION? YES. I, I WOULD BE, I I THINK TRANSIT IS SUPER CRITICAL WITH HOUSING. YES. HOWEVER, I BELIEVE IT'S, IT'S STEADY FOR RIGHT NOW AND, AND DOESN'T NEED ADDITIONAL. I I'M GLAD YOU ASKED THAT QUESTION CAUSE I, I AGREE WITH THAT. THE TWO TOGETHER. THANK YOU. OKAY. OKAY. SO, SO ARE WE GOOD WITH LEAVING IT AT THAT, THE, THE TWO ITEMS, 1.2 MILLION TO PSPS AND 12 MILLION TO HOUSING? YES. YES. OKAY. AWESOME. THANK YOU. WE'RE ALLOWED TO CLAP. WE'LL HAVE TO CLAP FOR OURSELVES. THAT'S RIGHT. WE'LL BE BACK TOMORROW MORNING. DARN BIG DEAL. OH, WE WON'T. NO. OKAY. UM, SO, UM, IT IS GETTING LATE SO I'M NOT SURE HOW MUCH YOU WANNA SPEND ON ANY OF THESE OTHER DISCUSSIONS. I HAVE PUT A SLIDE IN HERE IF THERE WAS ANYTHING THAT YOU WANNA TALK ABOUT OF WORK GROUP RECOMMENDATIONS OR THINGS IN THE, UH, COMMUNITY SURVEY TO BE CONSIDERED IN ALTERING ANYTHING IN THE WAY THAT THE BUDGET IS. IF YOU'RE FINE WITH THAT, WE CAN MOVE ON. I WAS FINE WITH THE WAY ALL THE ASKS FOR THE BUDGET DONE. MM-HMM. . OKAY. UM, C I P PROJECTS, WE WENT THROUGH SOME FAIRLY LENGTHY DISCUSSION ON WHERE WE'RE AT WITH THE CIP PROJECTS. ARE WE GOOD WITH THE WAY THAT IT IS? THAT'S FINE. DECISION PACKAGES. SO YOU HAVE IN THE FRONT POCKET OF YOUR BOOK A UM, LIST OF THE DECISION PACKAGES. SHOULD WE TAKE A SHORT BREAK OR NO, LET'S GO PUSH. DO YOU WANNA JUST GO AHEAD AND VOTE WITH ADAM FOR THE MAYOR? WELL, I DON'T SUPPORT ALL OF THEM, SO I THINK WE SHOULD GO THROUGH EACH ONE. OKAY. WITH, SO, SO ONE OF THE, ONE OF THE WAYS TO MAKE THE LIST, UM, EASIER TO MANAGE IS IF YOU AGREE WITH ALL OF THE CITY MANAGER'S RECOMMENDATIONS OR ARE THERE THINGS THAT YOU WANNA TALK ABOUT? THE, THE CITY MANAGER HAS RECOMMENDED? UH, I, I CAN'T REMEMBER. SORRY. NO, I JUST, I JUST WANTED TO GO BACK TO THE SAFE PLACE TO PARK BECAUSE THAT HAD A CHANGE IN THE RECOMMENDATION FROM THE CITY MANAGER. UH, NOT TO FUND IT NECESSARILY AT THIS POINT IN TIME, BUT TO HAVE A MORE DETAILED, UM, CONVERSATION AROUND HOW OPEN ISSUES WOULD BE ADDRESSED, UM, FROM THE PROJECT. IS THAT A FAIR STATEMENT? OKAY. UM, SO I WOULD LIKE TO MAKE SURE THAT, THAT IN MY POINT OF VIEW, THAT'S NOW A RECOMMEND. SO WHEN YOU SAY RECOM ALL THE CITY MANAGER'S RECOMMENDATIONS, I FEEL THAT HAS TO BE INCLUDED WITH THE CAVEAT THAT ISN'T ABOUT FUNDING YET. THAT IS ABOUT UNDERSTANDING, UH, MORE ABOUT WHAT THIS WOULD LOOK LIKE AND WHO THE PARTNERS WOULD BE, ET CETERA. OKAY. HOW ABOUT IF I ALTER IT THIS WAY, THE ONES THAT ARE ALREADY INCLUDED IN THE BUDGET, WHICH IS, UM, IF YOU LOOK AT THE WHAT'S ON HERE, UM, SO THE TOTAL RECOMMENDED 526,330. SO, AND WE'LL COME BACK TO YOU TALKING ABOUT SAFE PLACE TO PARK. FAIR ENOUGH. SO, SO THE 526,330 THAT IS ALREADY INCLUDED IN, IN THE BUDGET. JUST RUN THROUGH THE LIST OF WHAT THAT IS. NO, I DON'T SEE YOU 5 26 ON MY SPREADSHEETS. YEAH, I'M, I'M NOT COMFORTABLE WITH DOING THAT. I MEAN, I DON'T WANT TO BELABOR THIS, BUT I WOULD LIKE THEM TO JUST BE ONE AT A TIME AND WE UP OR DOWN THEM PLEASE. NO, I AGREE WITH YOU. SO, SO I DON'T REMEMBER. I, I THOUGHT MAYBE WE COULD SAVE SOME TIME, BUT THAT'S OKAY. , NOT A PROBLEM. TUITION REIMBURSEMENT PROGRAM. YEP. OH YES. YES. UM, THE INVESTMENT ADVISORY AND CONSULTING SERVICES. YEAH. INTERNAL CONTROL. AUDIT. WAIT A MINUTE. THAT WAS, THAT'S NOT RECOMMENDED. NO, BUT WE'RE RIGHT. WE STILL HAVE TO MAKE IT. YOU YOU SAID YOU WANTED TO JUST GO TO THE LIST. OKAY, GOT IT. YEAH. YEAH. OKAY. UH, CULTURAL PARK AREA MASTER PLAN I, UM, SHIFTING THE TEMPORARY PLANNER TO PERMANENT THE TOURISM DATA COLLECTION PROJECT, WHICH IS ACTUALLY A NET OF ZERO CUZ WE'RE TAKING IT FROM THE CONTINGENCY. MM-HMM. , UH, THE SEDONA COMMUNITY GARDEN PROJECT. THE SECOND MOTOR OFFICER, NEW COURT CLERK POSITION, INCREASING THE SECURITY OFFICER HOURS, THE UH, TEMPORARY COURT CLERK. YOU WHAT? [08:55:02] STRATEGIC PLAN TO ADDRESS HOMELESSNESS DEED RESTRICTIONS. THE COLD WET WEATHER EMERGENCY FUND. NO. OKAY. SAFE PLACE TO PARK. DO YOU WANNA DISCUSS, JUST CLARIFY. IT'S A PLACEHOLDER. IT'S A PLACEHOLDER. PLACEHOLDER AT THE 400,000 THAT WAS BROUGHT UP OR THE 600,000 THAT WAS ORIGINALLY PROPOSED. 400,000. 400,000. OKAY. THUMBS UP DOWN ON THE PLACEHOLDER . OKAY. OKAY. IT PASSES, UM, THE SPEED AND TRAFFIC ENFORCEMENT GRANT FOR PD. BUT THAT'S ALREADY FUNDED. WASN'T THAT FUNDED? NO, THAT'S RIGHT. MATCHING IF THEY GET GRANTS, ONLY IF THEY GET THE GRANT RIGHT. THE DUI ENFORCEMENT GRANT, THE HANOVER MULTIMEDIA TFT SCREENS, WHICH WOULD ACTUALLY COME FROM CONTINGENCY. SO IT'D BE A NET IMPACT ON THE BUDGET FOR THE TRANSIT KIND. UM, THE CELLULAR BOOST FOR WASTEWATER AND THE IT HELP DESK POSITION. THAT WAS QUICK. GOOD FOR US. I HAVE A QUESTION THOUGH. THE, UH, RADIO TOWER OR COMMUNICATION HEALTH OF PD? UH, THAT'S NOT ON HERE. THAT'S YEAH. CIP PROJECT. OKAY. ALRIGHT. I JUST, WHAT HAPPENED WITH THE HELP DESK POSITION? CAUSE I SAW UP AND DOWN, UM, IT, IT WAS NO, BUT WE'RE STILL GOING WITH KAREN'S PLAN OF THERE WOULD BE, YEAH. OKAY. DO YOU WANNA REITERATE THAT FOR HALF AN HOUR? NO, NO, NO, NO. OKAY. SO I WANT TO, OH, I NEED THOSE MAKE UP YOUR MIND WHERE YOU'RE GONNA SIT FOR CRYING OUT LOUD. I SIT AWKWARD ON THIS SIDE. OKAY. SO WE WANNA GO OVER WHERE THAT STANDS. UM, SO WHAT WAS PRESENTED IN THE, THE BOOKS WAS THE 84 MILLION 477 530. UM, AND SO WE ALREADY PRELOADED IN HERE SOME OF THE THINGS THAT WE KNEW WERE GONNA BE ADJUSTMENTS WE TALKED ABOUT THERE WAS A BUDGET ERROR IN HR FOR 10,000 THAT WILL COME OUT. UM, WE DON'T HAVE, UM, RIGHT NOW WHAT THE DOLLAR IMPACT MIGHT BE ON THE TRANSFER OF CODE ENFORCEMENT BACK TO COMMUNITY DEVELOPMENT CUZ IT REALLY WASN'T A ONE FOR ONE COST IN THE WAY THAT THEY WERE DOING THAT. UM, THE, UM, REALLOCATION OF THE UM, UH, FOR VISITOR CENTER TAKING FROM THE CONTINGENCY, SO THAT WAS 424,000 THAT WAS VOTED ON ON TUESDAY NIGHT. WE'VE GOT THE DELAY OF THE TWO C I P PROJECTS FOR WASTEWATER TO KEEP THEM WITHIN THEIR RESERVES. UM, ON THE 27TH WE'LL BE COMING WITH THE, UM, PURCHASE FOR THE UH, DUMP TRUCK SLASH SNOWPLOW THAT WAS PUT IN THE BUDGET WITH A PLACEHOLDER OF 85,000. IT'S GOING TO COME BACK WITH, UM, A LEASE PAYMENT OF 22 7 40 THAT YOU'LL SEE AT THE NEXT, UM, REGULAR MEETING, UM, TRANSFERRING. UM, SO THERE WAS THE, UM, POSSE GROUND SOLAR LIGHTING C I P PROJECT THAT BRYCE HAD THAT WE SAID IT'S GOING INTO OPERATING, IT'S ACTUALLY GOING TO BE JUST A LITTLE BIT LESS THAN A HUNDRED THOUSAND. SO THE IMPACT OF THAT CHANGE, UM, ADDING IN 12,000 FOR A CARRYOVER FOR THE EVACUATION MODELING FOR SOME FINAL THINGS ON THAT. UM, I, IF, IF THERE IS SOMETHING ON THE RED ROCK TRAIL ADMINISTRATION, I'M ASSUMING THAT WOULD COME FROM THE CONTINGENCY AND WOULD HAVE A ZERO IMPACT. WE'VE GOT IT IN HERE AS LIKE A TRACKING OF, OF IF WE'RE GONNA DO SOMETHING WITH THAT, UM, CARRYOVER FOR THE BROADBAND CONSULTANT. UM, SO THERE'S A POSSIBILITY THAT WE MIGHT NEED TO CARRY OVER SOME OF THOSE COSTS AND, AND WE WILL WE'LL VERIFY THERE. WE'RE ADDING THE INCREASE FOR VERDE SHUTTLE OF THE 56,000, THE UM, TWO T E I COORDINATORS AND THE T E I MANAGER WOULD COME FROM THE CONTINGENCY. SO ZERO IMPACT THE UM, OUR JUST ROUGH GUESS AT, UM, ADDING THE SECOND DEPUTY CITY MANAGER POSITION AS ADDING 80,000 TO THE BUDGET. WE'LL COME UP WITH MORE EXACT NUMBER LATER. UM, I DON'T KNOW THAT THERE WOULD REALLY BE ANY DOLLAR IMPACT ON MOVING SHORT TERM RENTAL FROM CITY MANAGER TO CITY CLERK'S OFFICE. BUT THAT'S ON OUR TRACKING LIST. UH, THE COMMUNICATION SUPPORT CONTRACT AND THE CITY COUNCIL BUDGET, TAKING OUT THAT 20,000 SAFE [09:00:01] PLACE TO PARK, WE'RE ADDING 400,000, UM, 1.2 MILLION. OH AND THIS, THIS WOULD ACTUALLY GO IN TRANSFERS, UM, 1.2 MILLION, UM, FOR UM, PS P R S ADDITIONAL. AND SO THEN THAT INCREASES THE BUDGET TO 85 MILLION 6 5 6 53 7 90. AND DO YOU KNOW WHAT THE PROJECTED SURPLUS IS? WAS THAT NUMBER AGAIN, THE BUDGET NUMBER? THERE WAS MULTIPLE QUESTIONS. I'M SORRY, I DON'T KNOW THE, THE BUDGET NUMBER. SO WITH THAT UNDERSTANDING THAT WE'LL STILL BE REFINING SOME OF THESE NUMBERS. 85 MILLION 6 53. 7 96 53 7 90. YES. DO DO WE SHERRY DO YOU HAVE WHAT NOW? OUR PROJECTED SURPLUS IS FOR 24. DIDN'T HAVE YES, I 85 6 5 3 7 9 0. WAIT, BUT WE DIDN'T ACTUALLY DO THAT. UM, SO I'M SORRY PETE. THAT WAS WHAT WAS, WHAT'S THE SUR HOW MUCH DID WE CHANGE THE PROJECTED SURPLUS? OKAY, SO, UM, SO THAT'S NOT, UM, BUT WE DO, WE DO NEED NOT THE ANNUAL TRANSFER, BUT WE DO NEED THE ADDITIONAL 400,000 TO COVER THE SAFE PLACE PARK. AND THEN, UM, AND THEN WE NEED THE 12 MILLION AS A TRANSFER. SO RED, OH, THAT'S BACKWARDS CAUSE I DIDN'T DO IT RIGHT. OKAY. SO THEN THAT PUTS, UM, THE REMAINING UNALLOCATED SURPLUSES PORTION FISCAL YEAR 23 ESTIMATE, AND THEN THE 2.9 OF THE FISCAL YEAR 24 AT JUST UNDER 9.7 MILLION. OH, THAT'S JUST UNDER 9.7. SO YOU SUBTRACT OUT THE 2.9 MILLION OUT OF THAT AND WE'RE AT, UM, 6.9 0.698 MM-HMM. WHAT? UM, SO 9.7 MINUS 2.96. 6.8. YEP. SO 6.8 REMAINING OF THE SURPLUS ESTIMATED FOR FISCAL YEAR 23 TO ALLOCATE LATER 2.9 MILLION FOR FISCAL YEAR 24 AS WE'VE GOT IT ESTIMATED RIGHT NOW. OKAY. OKAY. ANY OTHER QUESTIONS BEFORE WE CLOSE THE MEETING? I HAVE A COMMENT. A COMMENT PLEASE, BECAUSE WE'RE NOT SHORT PLEASE. A VERY SHORT COMMENT. I JUST WANNA SAY THAT THIS BUDGET EXERCISE, WHILE TEDIOUS DID, ALWAYS DOES ONE THING THAT I THINK FOR ME IS VERY IMPORTANT. IT, IT REALLY REMINDS ME HOW EXCEPTIONAL OUR STAFF IS FROM EVERY DEPARTMENT AND AT EVERY LEVEL. IT'S, IT'S, IT'S REALLY QUITE ASTONISHING TO ME TO SEE IT IN ACTION AND TO, TO RECOGNIZE FROM THE BIGGEST DEPARTMENT TO THE SMALLEST. THE LEVEL OF, OF EXPERTISE AND COMMITMENT IS REALLY REMARKABLE. AND SO I JUST WANNA SORT OF LET KAREN KNOW AND THE 90 PEOPLE WHO MIGHT STILL BE WATCHING AND THE STAFF TO KNOW THAT IT REALLY IS VERY APPARENT IN THIS CONTEXT. SO I JUST WANTED TO SAY THAT. OKAY. AND I'VE HEARD THE SAME FROM SOME OF THE PEOPLE FROM THE BUDGET WORK GROUP THAT WEREN'T TOO ONBOARD ORIGINALLY. THEY WERE ECSTATIC WITH THE WAY THEY WERE TREATED, THE STAFF PROFESSIONALISM. SO REAL QUICK, THANK YOU FOR ON BEHALF OF THEM AS WELL. OKAY. HEARING [5. ADJOURNMENT] NOTHING ELSE, THIS MEETING IS ADJOURNED. SHANNON, DON'T GO ANYWHERE. SHE'S HEARD. * 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.