* 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] READY. READY. READY? GOOD MORNING. [I. INVOCATION, PLEDGE & ROLL CALL] WE'RE READY TO BEGIN OUR CITY COUNCIL SPECIAL MEETING THIS MORNING FOR AUGUST 9TH, 2021. UH, WE'RE GRATEFUL TO BE HERE ON THIS MORNING IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT. WE WANT YOU TO KNOW THAT THE CITY OF PORT ARTHUR WILL PROVIDE FOR REASONABLE ACCOMMODATIONS FOR PERSONS ATTENDING OUR CITY COUNCIL MEETINGS, AND WE WANT TO SERVE YOU. AND SO WE WOULD REQUEST THAT ANY INDIVIDUALS WHO WANT TO BE A PART OF OUR MEETINGS WOULD 24 HOURS PRIOR TO THE MEETING CONTACT THE CITY SECRETARY'S OFFICE AT 4 0 9 9 8 3 8 1 1 5. ALSO, WE'RE GOING TO ASK THIS MORNING THAT EVERYONE IN THE CHAMBER WOULD TURN OFF ALL OF YOUR MOBILE DEVICES SO THAT WE WON'T BE DISTURBED. AS WE ARE TRYING TO CONDUCT THE BUSINESSES OF THE BUSINESS OF OUR CITY. LET'S BEGIN WITH AN INVOCATION OF THIS MORNING BY DR. KEN LAW. AND THEN WE'LL HAVE A PLEDGE AND ROLL CALL. WHERE DO YOU STAND PLEASE? OH, HEAVENLY FATHER. THANK YOU FOR THIS OPPORTUNITY FOR THIS CITY IS GREAT CITY OF PORT ARTHUR, TEXAS TO COME TOGETHER TO DO THE BUSINESS OF THIS GREAT CITY OF PORT. ARTHUR BLESS OUR MAYOR. UH, BLESS ALL OUR CITIZENS OF THE CITY, BLESS OUR STAFF AND OUR CITY MANAGER, UH, HELP US AND GUIDE US WITH THIS NEW PANDEMIC THAT WE HAVE IN THIS NATION. GOD IS PROTECT US. WE ACT ALL THESE BLESSINGS AND YOUR SON JESUS' NAME. WE PRAY. AMEN. AMEN. I PLEDGE THE UNITED STATES OF AMERICA AND TO THE REPUBLIC, ONE NATION UNDER GOD, INDIVISIBLE WITH LIBERTY AND JUSTICE FOR ALL, I PRAY REMAIN WITH OUR MAYOR AS HE'S RECUPERATING SURGERY WENT WELL AND HE'S DOING WELL AND RECOVERING. SO WE'RE CONTINUING TO REMEMBER HIM AS HE A CONVALESCENCE CITY SECRETARY, COULD YOU GIVE US A ROLL CALL PLEASE? TO ESTABLISH A QUORUM? THANK YOU. MAYOR PRO TEM MAYOR PRO TEM, FRANK PRESENT COUNCIL MEMBER HOMES, COUNCIL MEMBER, KEN LAW HERE. COUNCIL MEMBER JONES, COUNCIL MEMBER MARK'S COUNCIL MEMBER, MOSES. YOU HAVE A CORE MATE. THANK YOU SO MUCH. WE'RE GOING TO BEGIN THIS [II. PETITIONS & COMMUNICATIONS] MORNING WITH OUR PETITIONS AND COMMUNICATIONS. WE'LL HAVE A PRESENTATION THIS MORNING, UH, REGARDING THE 2021 FINANCIAL REPORT. COME ON, MS. CANDY, HOW YOU MISSED DANIEL? THIS THING ON, OKAY, GOOD MORNING. UH, MAYOR PRO TEM AND COUNCIL MEMBERS. UH, I AM HERE TO PRESENT THE JUNE MONTHLY FINANCIAL REPORT AND QUARTERLY INVESTMENT REPORT. UH, BEFORE I GET STARTED, I DO WANT TO APOLOGIZE FOR THE LIGHTNESS OF THE REPORT. WE'VE RUN INTO A NUMBER OF CHALLENGES WITH THE CONVERSION OF OUR FINANCIAL SYSTEM, AND THAT HAS MADE REPORTING VERY DIFFICULT FOR US, BUT WE'RE TRYING TO GET BACK ON TRACK. IT HAS BEEN THE POLICY IN THE PAST, UH, FOR OUR COUNTY TO CLOSE THE BOOKS WITHIN 10 BUSINESS DAYS. UH, THEN PREPARATION OF THE REPORT TAKES THREE TO FOUR ADDITIONAL DAYS AFTER THAT. SO WITH THESE DATES IN MIND, UM, THE JULY REPORT SHOULD BE READY BY AUGUST 19TH AND PRESENTED AT THE AUGUST 31ST COUNCIL MEETING. UM, I KNOW THIS SEEMS LIKE A LONG TIME AND IT IS MY GOAL WITHIN THE NEXT FISCAL YEAR. ONCE EVERYTHING'S BEEN COMPLETELY CONVERTED TO THE NEW SYSTEM TO SHORTEN THIS TIMEFRAME SO THAT WE CAN PRESENT THESE REPORTS A LITTLE BIT MORE TIMELY FOR YOU. UH, WITH THAT SAID, WE'LL GET STARTED ON THE REPORT. THIS IS THE NINTH MONTH OF FISCAL YEAR 21. AND WE'LL START WITH THE GENERAL FUND REVENUES CURRENTLY ARE 70.4 MILLION, WHICH IS 4.5 MILLION ABOVE THE ESTIMATE. 14.8 HAS BEEN RECEIVED IN PROPERTY TAXES, WHICH IS 6% ABOVE THE BUDGET. AND 34.3 MILLION HAS BEEN RECEIVED IN INDUSTRIAL PAYMENTS WITH ALL PAYMENTS SUBSTANTIALLY RECEIVED SALES TAX CONTINUES TO LOOK VERY GOOD. UH, JUNE, UH, WAS 9% ABOVE LAST FISCAL YEAR AND 24% ABOVE THE BUDGETED LEVEL. THERE IS A TWO MONTH TIME LAG. HOWEVER, UH, JUNE RECEIPTS REPRESENT APRIL SALES OPERATING EXPENDITURES ARE 43.9 MILLION THROUGH JEAN, [00:05:01] UH, WHICH ARE CURRENTLY BELOW BUDGET BY ABOUT 5.2 MILLION AND BUDGET BUDGET AMENDMENTS ARE REQUESTED THROUGHOUT THE YEAR AS NEEDED. UH, THE CURRENT BUDGET HAS AN ESTIMATED INDIVI ENDING FUND BALANCE OF 23.7 MILLION OR 126 DAYS OF OPERATING EXPENDITURES. HOWEVER, A BUDGET AMENDMENT ON AUGUST 3RD REDUCED THE FUND BALANCE TO 22.6 MILLION OR 120 DAYS. UH, THE FUND BALANCE IS STILL WELL IN EXCESS OF THE MINIMUM REQUIREMENT OF 60 DAYS. PLUS ONE AND A HALF MILLION DOLLARS AND STAFF WILL CONTINUE TO MONITOR THE FUND AND UPDATE COUNCIL OF ANY CHANGES THAT MAY AFFECT THEM AND BALANCE, UH, THE NEXT OH FUN WE HAVE AS THE WATER FUND REVENUES, TOTAL 22.1 MILLION AT JUNE 30TH. THIS IS ABOVE THE BUDGET AT A LEVEL BY ABOUT 919,000 WATER SERVICE CHARGES FROM INDUSTRY EXCEED THE BUDGETED LEVEL BY ABOUT 400,000 AND A 3% INCREASE IN WATER RATES. AND A 12% INCREASE IN SEWER RATES WAS EFFECTIVE ON MAY 1ST. SO THIS WILL GENERATE SOME ADDITIONAL REVENUES GOING FORWARD, OPERATING EXPENSES FOR THE WATER FUND, TOTAL 14.4 MILLION, WHICH IS UNDER THE BUDGETED LEVEL BY ABOUT, UH, 281,000. NEXT, WE HAVE THE SOLID WASTE MONTH SOLID WASTE REVENUES, TOTAL 6.7 MILLION AT JUNE 30TH, WHICH IS BELOW THE ESTIMATES BY ABOUT 659,000. IT WAS AN INCREASE TO GARBAGE RATES EFFECTIVE MAY 1ST. AND THIS INCREASE ALONG WITH A FEE INCREASES FOR TRASH COLLECTIONS. AND THE INSTALLATION OF A SCALE AT THE LANDFILL WILL BRING ADDITIONAL REVENUES TO THIS FUND EXPENSES. HOWEVER, CURRENTLY OVER BUDGET BY ABOUT 1.3 MILLION, THERE WAS A BUDGET AMENDMENT APPROVED ON AUGUST 33RD FOR 1 MILLION TO COVER THIS DEFICIT. AND THAT WOULD BE WITH A TRANSFER FROM THE GENERAL FUND AND ANTICIPATED EXPENSES RELATED TO EQUIPMENT FAILURES. UH, AND TCEQ REQUIREMENTS LED TO THIS OVERHEAD, UH, PLEASURE ISLAND, UH, EXPENSES ARE CURRENTLY IN LINE WITH REVENUES AT THIS TIME. SO THAT LOOKS GOOD. UH, NEXT WE HAVE THE CAPITAL PROJECTS SECTION, WHICH STARTS WITH THE STREET FUND. UH, THIS SECTION INCLUDES STREETS, DRAINAGE, WATER UTILITIES, PROJECTS, PLEASURE ISLAND, DOWNTOWN IMPROVEMENTS, AND VARIOUS OTHER GENERAL IMPROVEMENT PROJECTS. FIRST WE HAVE STREETS AND THE STREETS SECTION, AND SHE KNOWS MANY EXPANDED AND INCLUDES A SUMMARY PAGE, WHICH SHOWS THE TOTAL ALLOCATIONS AND EXPENSES BY DISTRICT INCLUDES CLOSED OUT. PROJECTS IS BROKEN DOWN BY FUNDING SOURCES. THE TOTAL ALLOCATION FOR ALL YEARS IS 48.3 MILLION 18.6 MILLION HAS BEEN SPENT THROUGH JUNE 30TH, LEAVING A BALANCE OF 29.7 MILLION OF WHICH 23.7 IS COMMITTED TO OPEN STREET PROJECTS AND ONLY 5.9 REMAINS UNALLOCATED. THE NEXT SECTION OF THE REPORT REFLECTS OPEN STREET PROJECTS AND ALSO INCLUDES AN ALLOCATED FUNDS AS OF JUNE 30TH, 33.6 MILLION. HAS IT BEEN BUDGETED FOR OPEN STREET PROJECTS? 9.9 MILLION HAS BEEN SPENT TO DATE LEAVING A BALANCE OF 23.7 MILLION TO COMPLETE THE OPEN PROJECTS. AND THERE'S CURRENTLY 5.9 REMAINING TO BE ALLOCATED FROM YEARS ONE THROUGH THREE ALLOCATIONS, WHICH IS AVAILABLE FOR FUTURE PROJECTS. NEXT WE HAVE DRAINAGE. THE CURRENT BUDGET FOR DRAINAGE IMPROVEMENTS IS 68.9 MILLION, WHICH IS PRIMARILY FUNDED FROM FEMA MITIGATION GRANTS AND CDBG. THE CDBG DOWNTOWN LAKE VIEW PROJECT WAS NOT FUNDED. SO THE BUDGET HAS BEEN REDUCED FOR THAT 4.4 MILLION HAS BEEN SPENT TO DATE LEAVING A BALANCE OF 64.5 MILLION. NEXT WE HAVE THE GENERAL IMPROVEMENTS. UM, CURRENT BUDGET FOR GENERAL, UM, IMPROVEMENT PROJECTS IS 27.4 MILLION EXPENDITURES. TOTAL 7.5 MILLION WITH 20 MILLION REMAINING TO BE SPENT. THESE INCLUDE VARIOUS FACILITY IMPROVEMENTS, TECHNOLOGY, PARKS, AND RECREATION, PUBLIC WORKS, AND THE PURCHASE OF A FIRE VEHICLE DOWNTOWN REVITALIZATION BUDGET IS $5 MILLION, 4 MILLION, UH, ALLOCATED FOR FIBER OPTIC IMPROVEMENTS WILL BE FUNDED PRIMARILY THROUGH AN EDA GRANT. WATER UTILITY IMPROVEMENTS ARE CURRENTLY AT 83.2 MILLION PRIMARILY FOR THE CONSTRUCTION OF THE WASTEWATER TREATMENT PLANT. THE WATER LINE REPLACEMENT PROJECT HAS BEEN POSTPONED UNTIL NEXT YEAR. [00:10:01] UH, 6.7 MILLION HAS BEEN SPENT TO DATE WITH 76.5 REMAINING TO COMPLETE THE PROJECTS. UH, THE EDC PRESS BUILDING A RENOVATION IS BUDGETED AT 10.9 MILLION, WHICH 4.7 MILLION IS SPENDING FROM EDA. TODAY. 3.5 MILLION HAS BEEN SPENT LEAVING A BALANCE OF 7.4 MILLION TO COMPLETE THE PROJECT. A BUDGET AMENDMENT IN JUNE INCREASED THIS TOTAL BUDGET TO 10.9 MILLION. UH, NEXT WE HAVE THE DISASTER FUNDS 29.8 MILLION HAS BEEN RECEIVED FOR HURRICANE HARVEY, PRIMARILY FROM FEMA AND INSURANCE, 36 33 0.6 MILLION IN EXPENDITURES LEAVING 3.8 MILLION DEFICIT AT THIS TIME WITH A PENDING REIMBURSEMENT OF 540,000, WHICH WILL REDUCE THE DEFICIT TO 3.3 MILLION. UH, THE COVID-19 DISASTER, 3 MILLION RECORDED AND REVENUES AND DONATIONS AND EXPENDITURES TO DATE OF 3.4 MILLION ADDITIONAL 2.4 MILLION WAS RECEIVED IN JUNE HURRICANE, UH, LAURA, NO DISBURSEMENT SO FAR, BUT 2.6 MILLION IN EXPENDITURES. THE CITY CONTINUES TO MAKE EVERY EFFORT TO CAPTURE AS MUCH FEDERAL ASSISTANCE AS POSSIBLE FOR ALL MASTERS. THE LAST SECTION OF THE REPORT, UH, WE HAVE WHEN WE DO THIS, QUARTERLY IS THE INVESTMENT REPORT, UH, CASH AND INVESTMENTS, TOTAL 130 MILLION, 130.7 MILLION EDGY AND 30TH. THIS WAS AN INCREASE OF 39 MILLION FROM LAST QUARTER, AND THIS IS PRIMARILY ATTRIBUTABLE TO THE RECEIPT OF BOND PROCEEDS IN JUNE. UH, AND AS OTHERWISE IN LINE WITH THE CITY'S NORMAL CASH FLOW BANK DEPOSITS TOTAL 5.8 MILLION, WHICH IS 4.4% OF THE PORTFOLIO AND AUTHORIZED INVESTMENT POOLS AND MAKE UP THE REMAINDER 125 MILLION OR 95, 90 6% OF THE PORTFOLIO. AND THE AVERAGE YIELD IS 0.04% DOWN, SLIGHTLY FROM LAST QUARTER, BUT CONSISTENT WITH CURRENT MARKET CONDITIONS, INTEREST EARNED THIS QUARTER FIVE THOUSAND NINE HUNDRED AND FIFTY SIX THOUSAND THREE HUNDRED FISCAL YEAR TO DATE. ALL INVESTMENTS ARE MADE IN ACCORDANCE WITH INVESTMENT POLICY AS APPROVED BY CITY COUNCIL. UM, THAT CONCLUDES THE REPORT, THE MONTHLY REPORT. UH, I DID WANT TO MAKE ONE OTHER MENTION TO YOU BEFORE, UM, I LET YOU ASK ME SOME QUESTIONS. UH, I DID WANT TO LET YOU KNOW THAT THE CERTIFIED TAX ROLE IS IN, IN THE VALUES ARE UP ABOUT 13%. SO THAT'S VERY GOOD. HOWEVER, MOST LIKELY THAT WILL CAUSE US TO HAVE TO REDUCE THE TAX RATE BY ABOUT 5 CENTS FROM 79 TO, TO ABOUT 74 CENTS. UM, THIS COULD POSSIBLY HAVE AN IMPACT ON THE BUDGET THAT WE'RE LOOKING AT ALL AVAILABLE OPTIONS, AND WE WILL LET YOU KNOW, UH, WE WILL HAVE THE BUDGET POSTED BY THE CITY SECRETARY ON FRIDAY AND NEXT TUESDAY WE'LL HAVE A PRESENTATION FOR YOU ON THE, UH, THE NEW BUDGET. AND WE'LL HAVE MORE DETAILS FOR YOU THEN. SO IF YOU HAVE ANY OTHER QUESTIONS, I'LL BE HAPPY TO ANSWER THEM ALSO MEMBERS QUESTIONS. OKAY. COUNCILMAN MARKS. OKAY. UH, THE MORNING CANDY, THERE ARE SEVERAL QUESTIONS THAT I HAVE, AND, UH, I'M GONNA START OVER IN THE, UH, CAPITAL IMPROVEMENT AREA UNDER THE STREET IMPROVEMENTS. YES, SIR. OKAY. UH, AND AS I'VE HIGHLIGHTED HERE, UH, THE TOTAL ALLOCATION FOR ALL YEARS IS 48.3 MILLION THAT'S THAT'S FIVE YEARS. IS THAT, IS THAT THE PERIOD OF TIME WE'RE LOOKING AT FIVE YEARS, THREE YEARS, THREE YEARS. THERE'S THREE YEARS OF ALLOCATIONS IN THERE. OKAY. YOU LOOK AT THE SUMMARY PAGE, UH, FOR THE STREET, SHE CAN SEE THE YEAR ONE YEAR TWO AND THE YEAR THREE ALLOCATIONS ON THE SUMMARY PAGE. IT'S A LITTLE EASIER TO SEE THERE AND ALL THE, ALL THE YEARS HAVE BEEN ALLOCATED. SO AS OF NOW, UH, WE DID GET THE, THE YEAR THREE ALLOCATIONS DONE. SO THEY'RE REFLECTED IN THIS REPORT. UM, LIKE I SAID, THERE'S ABOUT 5.9 MILLION REMAINING THAT HAS NOT BEEN ALLOCATED. THE MAJORITY OF THAT IS IN THE, UH, REMEDIATION CATEGORY. UM, YOU SEEM TO HAVE A LITTLE BIT MORE MONEY LEFT THERE. UM, THAT'S THE MONEY THAT WAS SPENDED FROM THE GENERAL FUND. OKAY. OKAY. UH, I DON'T KNOW IF THIS QUESTION SHOULD [00:15:01] BE DIRECTED TO YOU OR TO THE, UH, ACTUAL, UH, STREETS DEPARTMENT, UH, THE PERSONS WHO ARE IN CHARGE OF THAT. W WE HAVE, UH, IN DISTRICT FOUR, WHICH IS WHAT I'M CONCERNED ABOUT, UH, TURN TO, I GUESS THE PAGE IS NOT NUMBERED, BUT UNDER DISTRICT FOUR. OKAY. UM, THEY'RE, THEY'RE NOT NUMBERED. SORRY. THEY'RE NOT NUMBERED. NO, UM, IT IS IT'S. YEAH, JUST RIGHT. ALL THE STREETS ELICIT THERE. OKAY. AND SO THE, UH, WE'VE GOT THE TOTAL REVISED ESTIMATED PROJECT COST. YES, SIR. THEN WE'VE GOT THE TOTAL ACTUAL COST THROUGH. UH, OKAY. AND, UH, WHAT I'M LOOKING FOR IS, IS, IS BEING ABLE TO TELL MY CONSTITUENTS THAT WE'VE GOT X AMOUNT OF DOLLARS FOR CERTAIN STREETS OUT HERE IN, IN, IN, IN MONTROSE OR IMPORTANT ACRES IN EL VISTA OR OVER BEHIND A DOMINION RANCH. I DON'T THINK YOU HAVE TOO MANY OVER THERE. MY CONCERN IS, IS THAT, UH, HOW SOON, AND I'VE BROACHED THIS QUESTION TO, UH, MR. BURTON, HOW SOON ARE WE GOING TO BE ABLE TO TELL OUR PEOPLE THAT THESE PROJECTS ARE GOING TO BE STARTED? THERE WAS A DATE, A SCHEDULE THAT WAS GIVEN TO ME SEVERAL WEEKS AGO THAT WE WERE SUPPOSED TO START ON AUGUST THE SECOND ON STREETS OUT IN MONTROSE. AND I KNOW THIS IS A BUD, THIS IS A BUDGET WORKSHOP, BUT, UH, I, I'M NOT SURE WHERE ELSE I CAN ASK THIS QUESTION. SO I WANT TO KNOW W WHEN I CALLED LAST WEEK TO FIND OUT, UH, IF ANY WORK HAD BEEN DONE, UH, OUT IN MONTROSE, IT WAS SUPPOSED TO START ON THE SECOND I RODE DOWN EACH STREET OUT THERE. THERE'S NO EQUIPMENT STAGING. THERE'S NO MATERIALS, STAGING. THERE'S NO WORK GOING ON OUT THERE. AND I TOLD FOLKS OUT IN MONTROSE A COUPLE OF WEEKS AT A, UH, AT A TOWN HALL THAT THE SCHEDULE WAS TO BEGIN AUGUST 2ND. SO I WANT TO BE ABLE TO, TO DO, WHEN I SAY SOMETHING BASED ON INFORMATION THAT'S BEEN GIVEN TO ME THAT WE FOLLOW THROUGH ON IT. SO, UM, AGAIN, I'M NOT SURE IF THIS SHOULD BE DIRECTED TO YOU MS. DANIELS, BUT I NEED TO HAVE THAT QUESTION ANSWERED BECAUSE SOMEBODY IS GOING TO CALL ME BETWEEN NOW AND THE END OF THIS WEEK ABOUT THOSE STREETS OUT THERE. SO I WANTED TO ASK THAT QUESTION ABOUT THE SCHEDULE AND, AND I'LL LEAVE IT AT THAT. I'LL HAVE TO DEFER THAT TO SOMEONE ELSE. MR. BURTON MAY CAN SHED SOME LIGHT ON IT. UM, I MENTIONED THAT BRIEFLY TO THE NEW PUBLIC WORKS DIRECTOR, LET ME SCHEDULE A MEETING WITH THE DIRECTORS SO THAT WE COULD ADDRESS THIS. IT'S IN THE MAKING IT'S IN THE, MAKING A MEETING SCHEDULE, THIS SCHEDULE, A MEETING IT'S IN THE MAKING. IS IT GOING TO BE THIS WEEK, MR. BURTON? YEAH, WE WOULD GET THAT DONE. OKAY. UH, THE SECOND QUESTION I HAD IS THE, ON THE, THE DISASTER FUNDS LAST WEEK WE HAD IN OUR REGULAR MEETING, UH, THERE WAS AN ITEM ON THE AGENDA AND I ENDED UP, YOU KNOW, AND I SPOKE TO MR. BURDEN ABOUT IT. I'M, I'M JUST, I'M HESITANT TO, TO, TO, I WAS HESITANT TO APPROVE THAT, THAT, THAT ITEM, BECAUSE I DON'T SEE WHERE WE'RE THE RETURN ON INVESTMENT WITH, WITH THE CONTRACT COMPANY THAT, THAT WE'VE GOTTEN, UH, THAT WE'RE GETTING A GOOD RETURN ON OUR INVESTMENT, THE MONEY THAT WE EXPEND FOR CONTRACTS AND WHAT WE ARE GETTING FOR THE APPLICATIONS THAT ARE SENT TO THE FEDERAL GOVERNMENT FOR REIMBURSEMENT OF FUNDS THAT WE'VE SPENT. [00:20:02] AND, AND, AND, UH, I DON'T KNOW. I HAVEN'T HAD A CHANCE TO LOOK AT THIS, THIS THING IN DEPTH HERE. I DON'T THINK IT'S IN HERE, BUT I DON'T THINK THAT WE'RE GETTING WHAT WE'RE SUPPOSED TO W WHAT, WHAT I FEEL LIKE WE SHOULD BE, UH, AS, FOR AS RETURN WHEN, WHEN COMPARED TO WHAT I SEE IN OTHER CITIES WHERE THEY'RE GETTING REIMBURSEMENT FOR DISASTER FUNDS. SO, UH, I DON'T KNOW IF YOU CAN SHED SOME LIGHT ON THAT AGAIN, I DON'T KNOW IF THIS IS THE PROPER FORUM FOR ME TO ASK THIS QUESTION, BUT IT'S NOT MADAM SECRETARY. I MEAN, IT'S, UH, ATTORNEY, WHAT IS YOUR QUESTION ABOUT A PARTICULAR CONTRACT THAT WE HAVE? YES. SO THIS IS REALLY POSTED TO JUST GIVE A FINANCIAL REPORT. UM, IF IT'S SOMETHING PARTICULAR IN THE FINANCIAL REPORT YOU WANT TO ASK ABOUT, THEN THAT WOULD BE OKAY, BUT IT WOULD HAVE TO PERTAIN TO WHAT'S IN THE, WHAT SHE JUST PRESENTED TO YOU. SO I MAY HAVE MISSED, FULLY MISSED THE QUESTION. OKAY. IF IT'S ABOUT JAZZ FOR ASCA, OF COURSE, BUT IF IT'S ALIVE IN HER REPORT, THEN YOU CAN ASK HER ABOUT ANYTHING IN THIS REPORT. LET ME JUST, LET ME JUST SEE IN, IN ORDER TO ADDRESS THE QUESTION. UM, I DO HAVE THE COMPANY THAT REPRESENTS THE CITY WITH THE, UM, DISASTER ASSISTANCE TO PROVIDE US AGAIN, A REPORT IN NEXT MONTH, THE FIRST MEETING IN SEPTEMBER. SO, UM, IF IT NEEDS TO BE, IF YOU WANT TO HOLD YOUR QUESTION AND WE DON'T LOSE TRACK OF IT WITH, LET'S NOT LOSE TRACK OF IT. SO, BECAUSE THEY WILL COME UP AND PRESENT, AND THEN WE WILL HAVE THE OPPORTUNITY TO PROVIDE THEM WITH FOLLOW UP CONCERNS. IF YOU DON'T MIND, LET ME ASK THE QUESTION. UH, IF I MIGHT, ONE OF THE CONSIDERATIONS THAT I HAD WAS WHEN WE WERE LOOKING AT, UM, WE TALKED ABOUT THE GENERAL IMPROVEMENT PROJECTS, INCLUDE FACILITY IMPROVEMENTS, TECHNOLOGY, UPGRADES, PARKS, AND RECREATION, RENOVATION, PUBLIC PROJECTS, AND REPLACEMENT, AND TALKED ABOUT THE CURRENT BUDGET OF 27.4 MILLION FOR THOSE PROJECTS. AND THEN WE CAME BACK AND I, I PUT A NOTE CERTIFICATE OF OBLIGATIONS, AND I THINK THAT THAT WAS ADDRESSED ON THE LAST PAGE, MS. MS. DANIELS, IT WAS TALKING ABOUT THE INCREASE OF 39.1 MILLION FROM THE BEGINNING OF THE QUARTER, TRIBUTES TO THE RECEIPT OF BOND PROCEEDS, RIGHT? THOSE ARE THE CERTIFICATE OF OBLIGATIONS. THAT'S $32.9 MILLION. I DON'T KNOW HOW COUNCIL FEELS ABOUT THAT, BUT I WOULD LIKE TO, IF ANY WAY POSSIBLE IN, IN CORRELATION AS WELL WITH MR. MARKS, I'D LIKE TO SEE, UM, IN OUR REPORTS, A RUNNING TOTAL OF MONEY AND PROCEEDS RECEIVED FROM, UM, FROM, UH, THE REIMBURSEMENT OF, UM, OF, UH, HURRICANES AND ALL OF THOSE THINGS THAT THE CONTRACT IS BEING FULFILLED FROM. AM I MAKING MYSELF CLEAR MY CITY, CITY ATTORNEY? I DON'T WANT TO SAY THE NAME OF THE COMPANY, CAUSE YOU, YOU SAID WE'RE NOT POSTED FOR IT, BUT I, NO, YES. MAYBE WE KNOW WHO I'M TALKING ABOUT. RIGHT. IF YOU WANT TO FIND OUT ABOUT DISASTER CONTRACT AND YOU CAN JUST, WELL, IN LINE WITH WHAT COUNCILOR MARX WAS TALKING ABOUT AND JUST TO GET CON TO MAKE THAT A PART OF THE REPORT IS A RUNNING TOTAL OF PROCEEDS OF PROCEEDS THAT ARE BROUGHT TO US BECAUSE OF THAT CONTRACT. YOU SEE WHAT I'M SAYING? MR. CITY MANAGER. YES. REIMBURSEMENTS, JUST TO HAVE TO HAVE THAT A PART OF IT SO THAT WE KNOW ON A RUNNING, UH, YOU KNOW, ON A RUNNING TOTAL, ON A RUNNING SCALE, HOW MUCH MONEY WE ARE RECEIVING FROM THAT, FROM THAT CONTRACT AND FROM THOSE THOSE EFFORTS, RIGHT? IF YOU LOOK AT THE LAST PAGE, NOT THE INVESTMENT REPORT, BUT THE PAGE RIGHT BEFORE THAT, IT DOES GIVE YOU A WELL IN THE LAST TWO PAGES BEFORE THAT, UM, THESE ARE THE, UH, FINANCIALS FOR THE MAJOR DISASTER FUNDS. UH, THE HURRICANE HARVEY FUND, YOU LOOK UP AT THE TOP, IT SHOWS WHAT REVENUES WE HAVE RECEIVED AND WHAT THE FUNDING SOURCES ARE. SO, UM, ON HURRICANE HARVEY SO FAR IN ALL OF THE YEARS, SINCE WE'VE BEGUN, WE'VE RECEIVED 17.3 MILLION IN FEDERAL MONEY. [00:25:01] AND THAT IS THE MONEY BASICALLY THAT, UH, THE CONTRACTOR HAS GONE AFTER FOR US. AND WE HAVE RECEIVED 17 MILLION IN HURRICANE HARVEY FUNDS FROM, YOU KNOW, 2017 FOR WORD, AND IT BREAKS IT DOWN BY YEARS FOR YOU TOO. SO THAT'S, THAT'S BASICALLY IS THAT BASICALLY WHAT YOU'RE ASKING. AND THEN ON THE NEXT PAGE, YOU HAVE THE COVID FUND AND WE RECEIVED 2.9, UH, ALMOST $3 MILLION IN FEDERAL MONEY THERE. AND WE DID GET A BIG PAYMENT IN JUNE FOR THAT. UH, AND THAT IS MONEY THAT THEY HAVE HELPED US GET. UH, AS FAR AS HURRICANE LAURA GOES, I THINK THERE'S SOME EFFORTS ONGOING, BUT WE HAVE NOT RECEIVED ANY FUNDS BACK YET ON THAT. OKAY. HAVE WE STARTED USING THAT? AND WE STARTED USING THOSE PROCEEDS FROM THE CERTIFICATE OF OBLIGATIONS AS AGAIN, CERTIFICATES OF OBLIGATION OR DIFFERENT, UM, THOSE, THOSE ARE BOND MONEY BOND MONIES THAT WE, UM, WENT OUT AND SECURED FOR CERTAIN CAPITAL PROJECTS. UM, I DON'T KNOW IF THEY HAVE BEGUN OR NOT. UM, I CAN, AS FAR AS CERTIFICATES OF OBLIGATION GO, I COULD LET YOU KNOW WHICH PROJECTS ARE INCLUDED, UM, IN THE BOND PROCEEDS GOING FORWARD. I MEAN, IT'S SPELLED, WE'VE LISTED ALL OF THE PROJECTS THAT ARE ONGOING IN OUR CAPITAL PROJECTS SECTION, AND THERE ARE SOME FOR WATER AND THERE ARE SOME FOR, UM, I FORGET EVERY ANIMAL PROJECT DOES THE, UH, THE FACILITY IMPROVEMENTS. MOST OF THOSE, WE HAVE NOT SPENT VERY MUCH MONEY YET, BUT SOME OF THEM WE HAVE, UM, THAT'S ALL OUTLINED ON THE SYDNEY FACILITY PAGE OF THE CAPITAL PROJECTS IT'S OUTLINED BY, UM, BY FACILITY. UM, I COULD LET YOU KNOW WHICH, WHICH SPECIFIC PROJECTS OR FUNDED BY THESE BOND PROCEEDS, IF YOU LIKE, WHAT I CAN LET YOU KNOW THAT THAT WOULD BE GREAT. AND THEN WE KIND OF DOING A LINE ITEM WITH IT AND, YOU KNOW, IN, IN, UH, MAKING SURE THAT WE'RE DOING THAT AND THOSE THINGS ARE GOING FORWARD SO THAT WE CAN JUST HAVE A VISUAL TO SEE IT. OKAY. OKAY. YES. I CAN PRESENT THAT, UH, SEPARATELY, UH, AND SHOW YOU ALL OF THE EXPENDITURES RELATED TO THOSE BOND PROCEEDS. I CAN DO THAT. THANK YOU, COUNSEL. ANY OTHER QUESTIONS? MY ONLY STATEMENT WAS FOR, I THINK WHAT WOULD BE VERY HELPFUL TO THE COUNCIL IS WHAT THE, WE ARE ANTICIPATING TO RECEIVE IN FEDERAL FUNDS. AND HOW MUCH IS IT COSTING US TO RECEIVE THOSE FUNDS? I THINK THAT WOULD BE THE CLARITY IN WHICH WE'RE TALKING ABOUT IT. ARE WE SPENDING, UM, $200,000 FOR SOMETHING AND WE'RE GETTING A MILLION DOLLARS? I MEAN, THAT'S JUST AN EXAMPLE. I THINK THAT'S, THAT'S REALLY THE QUESTION THAT I'D LIKE TO SEE SIMPLY THAT THAT IS GETTING IS GETTING DOWN MORE TO THE CONTRACT FOR THE DISASTERS. AND THAT'S NOT NORMALLY INCLUDED IN THIS REPORT, BUT WE WILL BE HAPPY TO DO A SEPARATE REPORT FOR YOU ON THAT. THANK YOU, HEADS AND HEARTS QUICK. WE'RE GOOD. YEAH. ALL RIGHT. THANK YOU, MS. SAM. APPRECIATE IT. THANK YOU. OH, NO, NO. MS. DANG, I'M SORRY. MS. DANIEL. AND I THINK, UH, BOTH, UH, COUNSEL WOMAN, UH, UH, WEST HOLMES AND, UH, MAYOR PRO TIM WAS ALLUDING TO WHAT I WOULD WANT TO DAG THE $32.9 MILLION OF CERTIFICATE OF OBLIGATIONS. NOW, DID WE GET THAT IN HAND AFTER THE OCTOBER, THE FIRST ARE WE ALREADY, WE HAVE THAT WHAT YOU SAW IN THE INVESTMENT REPORT IS WHAT WE HAVE. SO WE DO ACTUALLY, YES. OKAY. IT'S HERE. ALL RIGHT. THANK YOU. READY TO GO? READY? THANK YOU. ALL RIGHT. ALL RIGHT. CITY MANAGER, WE'RE GOING TO BE STARTING THESE PROJECTS PRETTY SOON. UM, YOU DON'T HAVE MINE. YES, WE HAVE. UM, I KNOW WE'D BE OUT IN THE MIDDLE OF SHELTER. WE HAVE YOU, WE APPROVE THE RESOLUTION GOING OUT FOR ARCHITECTURAL DESIGN. SO WE HAVE IN THAT CONSULTATION, UM, IN RELATION TO THE HEALTH DEPARTMENT, WE JUST APPROVE THE RESOLUTION FOR A CONTRACT FOR THE ARCHITECT. SO WE ARE ALL DONE THAT AS WELL. UM, SO WE ARE WAY ALONG THE WAY WITH THOSE PROJECTS. YEAH. AND AS MS SAID, THE, THE EXPENDITURES MINIMALISM THOSE AT THIS POINT, BUT, UM, YESTERDAY, ALL RIGHT, MR. MAYOR, YES. BRINGS, BRINGS UP THE QUESTION THAT I BROUGHT UP IN COUNCIL, UH, LAST WEEK ABOUT THE, UH, THE TIMEFRAME, UH, OF THE LEASE THAT WE WERE TALKING ABOUT, UH, THE 18 MONTHS AND [00:30:01] WHETHER OR NOT WE WERE GOING TO BE ABLE TO EXTEND THAT WITH MOTIVA, BECAUSE IF AFTER 18 MONTHS, AS I UNDERSTAND IT, THE CITY WILL HAVE TO BEGIN MAKING LEASE PAYMENTS. BUT MR. MR. BURDEN, YOU, YOU, YOU ASSURED ME THAT, UH, WE WERE GOING TO BE ABLE TO RENEGOTIATE THAT, THAT LEASE SO THAT WE WOULDN'T HAVE TO INCUR THAT AT ADDITIONAL COSTS WHILE WE WERE IN, IN, UH, PROCESS IN CONSTRUCTION, CONTINUE TO HAVE DISCUSSIONS WITH, UM, THE REPRESENTATIVES OF MOTIVA TO MAKE SURE THAT WE ARE ALL ON THE SAME PAGE AS WELL. AND WHEN, AND ALSO IN THAT MEETING, WE HAD A PRESENTATION FROM, UH, I THINK IT WAS CLAIRE JACKSON. WHO'S THE PR PERSON, UH, FOR, FOR MOTIVA. AND WE WERE EXPECTING A PRESENTATION FROM A MR. HALL. WAS IT? YES, UH, CONCERNING THE, THE, THE PROGRESS OR THE FUTURE, UH, INTENTIONS OF WHETHER THEY WERE GOING FORTH WITH, WITH THAT PROJECT, OR WERE THEY ON BECAUSE OF THE NATURE OF THE ECONOMY NOW THAT THE GLOBAL ECONOMY AND ALL PRICES BEING WHAT THEY ARE AND REVENUES HAVE DECREASED SIGNIFICANTLY FOR, FOR MOTIVA, WHETHER OR NOT THEY WERE GOING TO GO FORWARD, BECAUSE THEY DID STOP ALL. WE GOING TO, UH, RESCHEDULE A MEETING BECAUSE I THINK MS. JACKSON GAVE US A PERFUNCTORY, UH, REPORT ABOUT THE CHARITABLE WORKS THAT ARE BEING DONE IN, IN THE AREA, WHICH IS NOT WHAT WE WERE LOOKING FOR. CLAIRE JACKSON WILL BE THE EYES, EARS, AND MOUTH OF MOTIVA. I MEAN, CLEARLY MEANINGFUL BY MOTIVA THAT CLAIRE JACKSON WILL BE THEIR EYES. THEIR IS THEIR MOUTH AND THEIR PERSON MOVING FORWARD. SHE'S THEIR COMMUNICATIONS DIRECTOR, AND SHE WILL REPRESENT THEM. AND WHO IS THEIR PUMPS? SORRY, GO AHEAD. WHO IS THEIR PROJECT DIRECTOR? WHAT'S THE WHO'S JAMIE HALL WAS THE JAIL IS THE PROJECT DIRECTOR, BUT I'VE BEEN INFORMED BY MOTIVA THAT CLAIRE JACKSON WILL BE THEIR EYES, THEIR IS THEIR MOUTH AND THEIR PERSON REPRESENTING THEM. OKAY, GREAT. THANKS. GO. SO WHEN WE WANT THE ANSWER TO A SPECIFIC QUESTION, WE SHOULD DIRECT IT TO MR. JACKSON. YES. YES. THIS IS THE POST NOBODY'S COMING BEFORE COUNCIL AND PROVIDE AN UPDATE ON THE PROJECT. OKAY. SO IN THE LAST MEETING, I, I THOUGHT BECAUSE I ADDED THAT AGENDA ITEM TO THE, UH, TO THE AGENDA AND I THOUGHT I WAS SPECIFIC. MAYBE I WAS NOT SPECIFIC ENOUGH. AND SO I WILL BRING IT BACK OUT. I THOUGHT THAT AGAIN, WHAT SHE GAVE US IN THAT MEETING WAS NOT, IT DIDN'T ADDRESS THE SPECIFIC QUESTIONS THAT I HAD ABOUT THE PATH FORWARD FOR MOTIVA AND THE CITY OF PORT ARTHUR, BECAUSE WE HAVE SO MUCH INVESTED IN OUR DOWNTOWN REVITALIZATION THAT REVOLVES AROUND WHAT MOTIVA WAS DOING WITH SOME OF THESE BUILDINGS DOWN HERE AND BRINGING PEOP PERSONNEL DOWN HERE AND FROM WHAT WE'RE HEARING, AND THIS IS JUST OUT IN THE ETHOS, THAT THERE'S A POSSIBILITY THAT THEY MAY NOT BE, BE COMPLETING THIS PROJECT. AND THAT'S A MAJOR CONCERN TO ME. I'M NOT SURE ABOUT THE OTHER COUNCIL MEMBERS OR EVEN MEMBERS OF STAFF, BUT THAT'S A CONCERN BECAUSE WE'RE, WE'RE, WE'RE, WE'RE TALKING ABOUT, UH, OUR, OUR DOWNTOWN CITYWIDE REVITALIZATION. SO, UM, I GUESS I WOULD HAVE TO, UH, ADD ANOTHER AGENDA ITEM TOO, AND BE MORE SPECIFIC IN WHAT I REQUESTED AS FAR AS THE INFORMATION IS THAT, WELL, I THOUGHT, LET ME SEE THIS, UM, WELL OFF TOPIC, BECAUSE WE'RE ONLY SUPPOSED TO BE TALKING ABOUT THE MONEY THAT WE TOOK IN, IN JUNE AND OUR FINANCIAL STATUS AS OF JUNE. I THINK WE'RE GOING INTO OTHER PROJECTS, BUT IF YOU ALL WOULD LIKE TO PUT IT ON THE AGENDA TO TALK SPECIFICALLY, YOU KNOW, YOU GOT A LITTLE LEEWAY, BUT I'M JUST SAYING, YOU KNOW, DON'T GO TOO FAR, BUT YOU CAN PUT IT BACK ON IS AS LONG AS YOU'RE TALKING ABOUT WHAT WAS IN HER REPORT. CAUSE [00:35:01] IT'S THE JUNE FINANCIAL REPORT. YEAH. WELL, LET ME JUST SAY THIS QUICKLY, UM, MS. JACKSON HAS INDICATED TO ME THAT SHE WOULD BE HAPPY TO COME BACK TO COUNCIL TO PROVIDE, IF YOU HAVE ANY SPECIAL QUESTIONS OR CONCERNS WOULD BE HAPPY TO COME BACK AND ADDRESS THE ISSUE. SO I COULD MAKE THE REQUEST AGAIN FOR THE NEXT AGENDA. I COULD DEFINITELY MAKE THAT REQUEST, YOU KNOW, ANY OTHER QUESTIONS? ALL RIGHT. WE'LL MOVE [III. UNFINISHED BUSINESS] NOW TO, UH, UNFINISHED BUSINESS, WE TABLE THIS ITEM. UM, AND SO IT'S BEING BROUGHT BACK AT THE NEXT MEETING NOW, PR NUMBER 2, 2 0 3, 6, A RESOLUTION NOMINATING A MEMBER AND OR MEMBERS TO THE BOARD OF DIRECTORS OF THE ORANGE COUNTY APPRAISAL DISTRICT FOR THE 20, 20 TO 2023 TERM. DO I HAVE A MOTION MOTION BY DR. KEN LAW? SECOND, SECOND, SECOND BY COUNCILWOMAN HOLMES QUESTIONS. I THINK WHAT WAS BROUGHT BACK TO ME WAS MS. CITY SECRETARY GAVE ME A SHEET. THE, THERE WAS A QUESTION ABOUT WHETHER OR NOT THE MAYOR WANTED TO ADD SOMEONE TO, UH, THE NOMINATION PROCESS. THANK YOU SO MUCH TO THE NOMINATION PROCESS. AND HE DID NOT. SO WE HAVE A MOTION TO AMEND PR 22 0 3 6 TO NOMINATE THE COURT BOARD MEMBERS OF THE BOARD OF DIRECTORS, UH, BY DIVIDING A 52 VOTES. WE HAVE 52 VOTES BETWEEN THE FIVE MEMBERS. WE HAVE TIM ANDREWS, KAREN FISHER, LAURA FLOYD, UH, PHILLIP WELCH AND DR. SUSANNE CROCKETT. SO WE'RE GONNA, UH, MAKE THIS MOTION TO AMEND, UH, POST-OP, UH, PR NUMBER 22 0 3 6 TO DIVIDE THE, UH, VOTES BETWEEN THESE MEMBERS. IS THAT OKAY? SO MOVE. SO MOVE SECOND, SECOND, MO MOVED AND SECOND TO AMEND PR NUMBER 2, 2 0 3 6. THANK YOU. HMM. YEAH. ALL THOSE IN FAVOR. SAY AYE. ANY OPPOSITION? THANK YOU. SO MOVE IT. UH, ITEM IS APPROVED. WE'LL NOW GO INTO CLOSE SESSION. WE'VE GOT ANOTHER ONE. WHERE IS IT? OH, YES, I'M SORRY. I APOLOGIZE. MY OVERSIGHT ITEMS [IV. 1. P. R. No. 22075 — A Resolution Approving The Purchase Of Furniture For 549 4th Street (The Press Building) From Hernandez Office Solutions Through Texas Multiple Award Schedule ( TXMAS) Cooperative Program Contract TXMAS 19- 7106 In The Amount 230, 467. 75. Funds Available In EDC Account No. 120- 80- 625- 8513- 00- 00- 000] REQUIRE AN INDIVIDUAL ACTION PR NUMBER 2, 2 0 7 5, A RESOLUTION APPROVING THE PURCHASE OF FURNITURE FOR 5 49 FOURTH STREET, THE PRESS BUILDING FROM HERNANDEZ, UH, OFFICE SOLUTIONS THROUGH THE TEXAS MULTIPLE AWARD SCHEDULE, TX M A S CO-OPERATIVE PROGRAM CONTRACT T XMA S 19 DASH 7 1 0 6 IN THE AMOUNT OF $230,467 AND 75 CENTS. FUNDS WILL BE AVAILABLE IN EDC ACCOUNT NUMBER 1, 2 0 8 0 6 2 5 8 5 1 3 0 0 DASH ZERO ZERO DASH 0 0 0. A MOTION. I HAVE A MOTION BY DR. K IN LAW. SECOND, BUT COUNSEL, WHEN THE HOMES, UM, QUESTIONS, ALL THOSE IN FAVOR. AYE. ANY OPPOSITION? THANK YOU. ALL RIGHT NOW. READY FOR CLOSED [V. * CLOSED MEETING ( EXECUTIVE SESSION)] SESSION. OKAY. WE'LL BE GOING INTO CLOSE MEETING EXECUTIVE SESSION IN ORDER TO COMPLY WITH THE REQUIREMENTS OF SECTION 5, 5, 1 0.101 OF CHAPTER 5, 5, 1 OPEN MEETINGS LAW OF THE TEXAS GOVERNMENT CODE, FORMERLY ARTICLE 6, 5 6 2 5 2 DASH 17. SECTION TWO, A PRIOR TO GOING INTO CLOSE MEETING, THE PRESIDING OFFICER OF THE CITY SHOULD MAKE THE FOLLOWING PUBLIC ANNOUNCEMENT AND I WILL A CLOSED MEETING OF EXECUTIVE SESSION WILL NOW BE HELD PURSUANT TO THE FOLLOWING SECTIONS OF CHAPTER 5, 5, 1, TEXAS GOVERNMENT CODE SECTION 5 5, 1 0.071 LITIGATION AND LEGAL ADVICE. SECTION 5, 5, 1 0.07 TO LAND SECTION 5 5, 1 0.073 NEGOTIATED CONTRACTS FOR PROSPECTIVE GIFTS TO THE CITY. SECTION [00:40:01] 5 5, 1 0.074 PERSONNEL SECTION 5 5, 1 0.076 SECURITY PERSONNEL OR DEVICES, SECTION 5, 5, 1 0.087 DELIBERATIONS REGARDING ECONOMIC DEVELOPMENT INCENTIVE. RIGHT. DO YOU WANT ME TO READ THE REST OF THAT? ARE WE GOOD? ALL RIGHT. WE'LL NOW GO INTO CLOSED SESSION. PRESENT HERE. ALL RIGHT. BACK OUT OF CLOSED SESSION AT 12:06 PM. WE'LL ENTERTAIN A MOTION FOR A GERMAN SECOND. SO MOVED BY COUNCILMAN MOSES. SECOND, DR. KEN LAW. COUNCILMAN LET'S GO HOME ALL, ALL IN FAVOR. SAY AYE, LET'S GO HOME. * 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.