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[I. INVOCATION, PLEDGE & ROLL CALL]
MEETING OF CITY COUNCIL.WE SHOULD HAVE BEGUN ABOUT 22 MINUTES AGO, BUT WE WERE TRYING TO GET SOME TECHNICAL SITUATIONS UNDER CONTROL.
SO AS NOW, 10 22 ON AUGUST 17TH YEAR AT THE, UH, CITY OF PORT ARTHUR AT 4 44 FOURTH STREET IN CITY COUNCIL CHAMBERS ON THE FOURTH FLOOR OF OUR ILLUSTRIOUS CITY HALL.
UH, THIS MEDIA MAY BE ATTENDED THROUGH VIDEO CONFERENCE OR, UH, TELEPHONY, UH, MEDIUMS. YOU MUST DIAL 8 7 7 8 5 3 5 2 4 7 OR 8 8 8 7 8 8 0 0 9 9.
YOU MUST ENTER MEETING ID 8 4 2 8 3 0 2 4 8 2 8 AND USE THE PASS CODE, UH, 3 3 7 4 8 3.
ALSO WITH THESE MEETINGS, WE ARE IN COMPLIANCE, UH, WITH THE AMERICANS WITH DISABILITY THAT I EVER, IF YOU NEED SPECIAL ACCOMMODATIONS, YOU MUST CALL THE CITY SECRETARY OF THE OFFICE AT FOUR ON 9 9 8 3 8 1 1 5 24 HOURS PRIOR TO THE MEETING AND THE CITY SECRETARY'S OFFICE WOULD DO ALL THAT IT POSSIBLY CAN TO ACCOMMODATE YOU WITH YOUR REQUEST.
LET US BEGIN WITH OUR NORMAL OPENING, WHICH IS MEDICATION IN THE PLEDGE AND ROLL COUGH, CONSTANT WOMAN IN THE HALLS.
WOULD YOU DO THE INVOCATION FOR US PLEASE? STAN WITH FATHER GOD, WE COME BEFORE YOU THANKING YOU FOR JUST ANOTHER DAY.
WE THANK YOU FOR THE OPPORTUNITY TO BE HERE TODAY.
WE ASK THAT YOU GIVE US STRENGTH, WISDOM, AND CONTINUED SUPPORT FOR THE EFFORTS OF THE CITY OF PORT ARTHUR.
JOHN HAS FAITH IN THE PLEDGE OF ALLEGIANCE.
I PLEDGE ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA.
ONE NATION UNDER GOD, INDIVISIBLE WITH LIBERTY AND JUSTICE FOR ALL.
THANK YOU FOR YOUR PARTICIPATION IN OUR OPENING CITY SECRETARY, WOULD YOU BE SO KIND AS TO ESTABLISH THE CORE FLEET BAR PRESENT MAYOR PRO TIM HOLMES, COUNCILMEMBER JONES, COUNCIL MEMBER, KEN WALL, COUNCIL MEMBER MARKS, COUNCIL MEMBER, MOSES COUNCIL MEMBER, FRANK.
[II. WORKSHOP]
WE ARE HERE TODAY, ACCORDING TO OUR AGENDA TO HAVE A WORKSHOP TO DISCUSS THE PROPOSED FISCAL YEAR 20 22, 20 23 BUDGET AND LET THE SHOW BEGAN.UH, WE'RE GOING TO START OUT, UH, THIS MORNING, UH, TALKING ABOUT THE CAPITAL IMPROVEMENT PROGRAM, GIVING YOU SOME HIGHLIGHTS OF THAT.
UH, THE OVERVIEW OF THE PAGE, PAGE TWO OF THE, UH, PROPOSED BUDGET, NOT THE BLUE ONE, BUT THE BROWN ONE.
IT'LL SAY, IT'LL SAY AUGUST 17TH ON THE PRINT.
SO IT STARTS ON PAGE TWO WITH THE CAPITOL IMPRO IMPROVEMENT PROGRAM THAT WE'VE OUTLINED FOR 2023.
THE PROPOSED PROJECTS INCLUDE STREET IMPROVEMENTS OF 10.7 MILLION GENERAL IMPROVEMENTS, 12.1 MILLION WATER UTILITY IMPROVEMENTS OF 6.7 MILLION SOLID WASTE, 4.9 MILLION A LITTLE BIT FOR DOWNTOWN REVITALIZATION FROM THE TERRORS 50,000, UH, TRANSIT CAPITAL EXPENDITURES OF 475,000 AND PLEASURE ISLAND IMPROVEMENTS OF 2.1 MILLION TOTALING $37 MILLION IMPROVEMENT PROGRAM THIS YEAR.
AND ON THE NEXT PAGE, UH, WE HAVE A LITTLE MORE DETAIL OF THE STREET IMPROVEMENTS.
OF COURSE, 10 MILLION IS FOR STREET RECONSTRUCTION.
WE'VE ADDED BRIDGE OR PRAYERS AND REHAB OF 500,000, UH, SIDEWALK REHAB OF 200,000 FOR TOTAL, UH, STREET PROJECTS OF 10.7 MILLION.
AND THAT'S GOING TO BE FUNDED WITH
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$700,000 IN CASH.UM, FROM THE GENERAL FUND WILL FUND THE BRIDGE REPAIRS AND THE SIDEWALK, UH, REHAB, AND THEN THE 10 MILLION, UH, WE WILL USE CERTIFICATES OF OBLIGATION OR BONDS FOR THE STREET RECONSTRUCTION.
UM, THERE, UH, NEXT PAGE, UM, OH, I HAVE TO TURN THIS.
WE HAVE, UH, THE GENERAL IMPROVEMENTS AND THESE ARE THE PROJECTS THAT WE'VE INCLUDED HERE.
UH, INFORMATION TECHNOLOGY, 831,000, UH, THE CITY FACILITY IMPROVEMENTS OF 9.2 MILLION, UH, FIRETRUCK 1.1 MILLION AND PARKS AND RECREATION IMPROVEMENTS OF 1 MILLION ALSO TOTALLING, UH, 12.1 MILLION IN THESE WON'T BE FUNDED FROM A GENERAL FUND CASH, 5.3 MILLION OF THAT CERTIFICATES OF OBLIGATION, 5.2 MILLION, UH, HOTEL OCCUPANCY TAXES WILL FUND 575,000 TOWARDS, UH, THE SOME HISTORICAL BUILDINGS.
UH, THE EDC SALES TAX CONTRIBUTION IS FOR PARKS, UH, 1 MILLION.
SO THAT'S THE TOTAL OF 12.1 MILLION FOR GENERAL IMPROVEMENTS ON PAGE FIVE, WE ARE, UH, DETAILING A LITTLE BIT MORE ON THE CITY FACILITY IMPROVEMENTS.
UM, SINCE THAT'S THE LARGEST, UH, IN THE GENERAL IMPROVEMENT CATEGORY, UH, WE'RE GOING TO START WITH, UH, THE RELOCATE, THE PUBLIC SAFETY BUILDINGS FOR POLICE, FIRE AND COURT.
UH, WE HAVE BUDGETED A MILLION DOLLARS IN 2023, UH, TO GET STARTED ON THAT.
AND THEN IN 20 24, 4 0.5 MILLION TO BEGIN PHASE ONE OF THE CONSTRUCTION FOR, UM, THE PUBLIC SAFETY FACILITY, UM, RELOCATE REPLACE FIRE STATION FOR PORT ACRES, WE'VE BUDGETED 5.2 MILLION IN 2023.
AND, UH, TO REPLACE THE FIRE STATION ON WEST SIDE, THAT, THAT PROJECT A LITTLE BIT BEHIND THE FIRST ONE.
SO WE'RE GOING TO PLAN THE CONSTRUCTION FOR 2024, THE 5.2 MILLION.
BOTH OF THOSE PROJECTS ALREADY HAVE A MILLION DOLLARS EACH BUDGETED THIS CURRENT YEAR FOR THEIR ENGINEERING TO GET STARTED ON THOSE.
SO, UH, THEN WE HAVE 2.3 MILLION TO UPGRADE EXISTING CITY FACILITIES.
THOSE INCLUDE, UH, CITY HALL, UH, PUBLIC WORKS OPERATIONS CENTER THAT GATES BUILDING AND, UH, SOME IMPROVEMENTS TO THE EXISTING FIRE STATIONS FOR A TOTAL OF THE 2.3 MILLION THERE.
AND THEN, UH, RENOVATE HISTORICAL BUILDING 725,000 THAT'S 425,000 FOR ROSE HILL AND 300,000 FOR POMPEI BILLA OF WHAT HALF IS FUNDED BY THE GENERAL FUND AND THE OTHER HALF FROM HOTEL OCCUPANCY TAXES.
AND THEN YOU CAN SEE THE FUNDING SOURCES AT THE BOTTOM, UH, GENERAL FAN CASH IS SPENDING 3.4 MILLION CERTIFICATES OF OBLIGATION BY 0.2.
AND THEN THE HOTEL OCCUPANCY TAXES WOULD FUND 575,000 FOR A TOTAL OF 9.9 MILLION, 150,000 FOR THE S OKAY, THE NEXT PAGE, UH, WE HAVE OUTLINED THE WATER UTILITY IMPROVEMENTS.
THESE ARE THE ORIGINAL PROJECTS THAT WE PROPOSED, UM, TOTALING $6.7 MILLION, UM, LIFT STATIONS, SABINE PASS COLLECTION SYSTEM, UH, TO DREDGE THE FRESH WATER RESERVOIR ELVIS STA FORCE MAIN COLLECTION SYSTEM REHAB ELEVATED STORAGE TANK REHAB TOTALING 6.7 MILLION.
AND, UH, WE ARE PROPOSING THE ORIGINAL PROPOSED BUDGET IS 2.2 MILLION FROM WATER FUND CASH, UM, CERTIFICATES OF OBLIGATION FOUR AND A HALF MILLION FOR THE 6.7 MILLION TOTAL, UH, HANEY.
WE'LL EXPAND ON THIS A LITTLE BIT AND, UH, HANEY HAITI AND CALVIN IN THEIR PRESENTATION RIGHT AFTER THIS, POSSIBLY TO MAKE SOME CHANGES TO THIS.
UH, THE NEXT PAGE, UH, IS SOLID WASTE.
UH, WE DO HAVE, UM, $4.9 MILLION IN PROJECTS AND EQUIPMENT THIS YEAR, UM, SCHEDULED FOR 23.
UH, WE HAVE THE NEW LANDFILL SELL FOR 1.5 MILLION AND THE SOUTH DETENTION POND CONSTRUCTION FOR A MILLION.
THE LANDFILL CELL WILL COST A TOTAL OF $5 MILLION, BUT IT'S GOING TO BE SPREAD OUT OVER SEVERAL YEARS
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AND THOSE WILL BE FUNDED FROM, UH, HOPEFULLY FROM INDUSTRY, UM, THROUGH THE SEMPRA DIRT PROJECT.UM, AND HANEY CAN PROBABLY EXPAND ON THAT A LITTLE MORE IF YOU HAVE ANY QUESTIONS AND THEN WE'RE PROPOSING A 2.2 AND A HALF MILLION, SORRY, 2.4 MILLION FOR, UH, DIFFERENT PIECES OF EQUIPMENT, UH, TO BE PURCHASED FOR SOLID WASTE, UH, UH, EASY MAC, EASY PACK TRUCK THAT'S FOR THE CONTAINER, UH, DIVISION 350,000 DRUM ROLLER FOR THE LANDFILL OF 110,002 GARBAGE TRUCKS, 1,000,004, AND TWO MAC TRASH TRASH TRUCKS, 500,000.
SO THAT'S A TOTAL OF 4.9 MILLION FOR SOLID WASTE.
AND WE DO PROPOSE SELLING CERTIFICATES OF OBLIGATION FOR THE EQUIPMENT PORTION, WHICH IS 2.4 MILLION.
AND AS I INDICATED, TWO AND A HALF MILLION WILL BE FUNDED FROM INDUSTRY.
UH, IF THAT WORKS OUT OKAY, UH, NEXT PAGE, WE HAVE PLEASURE ISLAND IMPROVEMENTS.
UH, WE ARE TRYING TO GET SOME THINGS DONE AT PLEASURE ISLAND SO THAT THEY CAN, THEY CAN MOVE FORWARD OVER THERE.
UH, FIRST WE HAVE THE DOCK REPAIRS OF 1.2 MILLION DISC GOLF COURSE FROM INNOVATION, 150,000 OF WHICH, UH, 50,000 IS, UH, BENDED FROM A DONATION.
AND I BELIEVE WE'VE ALREADY RECEIVED THAT DONATION, UH, BULKHEAD REPAIR AT THE BOAT RAMP FOR 800,000.
THAT WAS NOT PART OF THE TEXAS PARKS AND WILDLIFE, UH, GRANT.
THIS WAS AN ADDITIONAL WORK THAT NEEDED TO BE DONE THERE.
SO THAT'S TOTAL 2.1 MILLION IN PROJECTS, 2 MILLION, 2.1 MILLION FROM CERTIFICATES OF OBLIGATION THAT 50,000 DONATION ADDED TO THAT.
AND THEN ON THE NEXT COUPLE OF PAGES, I'VE KIND OF OUTLINED THE SPECIFIC PROJECTS THAT GO WITH THE CERTIFICATES OF OBLIGATION THAT WE'RE PLANNING TO SELL A 15.2 MILLION FROM THE GENERAL FUND GENERAL FUNDED PROJECTS.
UH, 10 MILLION WOULD BE STREET RECONSTRUCTION AND 5.2 TO REPLACE THE FIRE STATION IN PORT ACRES AND THE WATER FUND.
WE HAVE A TOTAL OF 4.5 MILLION, UM, THEIR SOLID WASTE ON THE NEXT PAGE, 10, UM, CAPITAL EQUIPMENT TOTALING 2.4 MILLION THAT I JUST DISCUSSED AND, UH, THE FOR PLEASURE ISLAND 2.1 MILLION FOR THOSE PROJECTS.
SO WE PLAN TO SELL 24.1 MILLION IN CERTIFICATES OF OBLIGATION NEXT YEAR.
UH, FOR ALL, FOR THESE PURPOSES, WE'VE KIND OF BUNDLED SOME THINGS TOGETHER.
UH, YOU CAN, YOU KNOW, GET A BETTER RATE IF YOU DO IT THIS WAY.
UM, AND THE LAST PAGE, UH, 11, AND THIS IS JUST REITERATING THE CALENDAR THAT WE WENT OVER YESTERDAY.
UM, AFTER THE WORKSHOP TODAY, WE HAVE THE PUBLIC HEARING ON THE BUDGET ON AUGUST 29TH, 10:00 AM, AND THEN ON TUESDAY, AUGUST 30TH, UH, WE'LL HAVE THE PUBLIC HEARING ON THE TAX RATE IN THE EVENING AT SIX.
AND HOPEFULLY WE WILL ADOPT THE BUDGET, THE TAX ROLL AND THE TAX RATE ON THAT SAME DAY, IF POSSIBLE.
AND THAT'S REALLY PRETTY MUCH ALL I HAD, UM, FOR, FOR NOW.
UM, WE, WE DO HAVE A PRESENTATION ON THE WATER RATE OPTIONS FROM, UH, CALVIN AND HANEY RIGHT AFTER THIS.
BUT IF ANYBODY HAS ANY QUESTIONS.
WELL FOR YOUR PRESENTATION, YOU'VE OUTLINED MIC CHECK.
UM, YOU OUTLINED CAPITAL IMPROVEMENTS, UH, FOR US DID, UH, DIDN'T DID WE RECEIVE AQUA FUNDS? YES, SIR.
WE HAVE ALREADY RECEIVED AND BUDGETED ALL, ALL OF THE ARBA FUNDS.
WELL, IT'S NOT IN HERE BECAUSE IT'S ALREADY BUDGETED THIS CURRENT YEAR.
THIS IS WHAT WE'RE BUDGETING FOR FISCAL YEAR 23.
ACTUALLY, IF YOU LOOK IN YOUR, UM, BUDGET DOCUMENT ON PAGE A 1 24 AND 1 25, UM, IT WILL SHOW YOU EVERYTHING THAT'S ALREADY BEEN BUDGETED.
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ONLY WHAT WE'RE BUDGETING GOING FORWARD, BUT CAPITAL PROJECTS ROLL FROM YEAR TO YEAR.SO WHAT'S ONCE YOU BUDGET IT, IT'S THERE UNTIL YOU SPEND IT.
UNLIKE THE OPERATING FUNDS, CAPITAL WORKS A LITTLE BIT DIFFERENTLY.
SO IF YOU LOOK ON PAGE 1 24 OF YOUR ACTUAL, UH, PROPOSED BUDGET DOCUMENT, YOU CAN SEE THE 26.7 MILLION HAS ALREADY BEEN ALLOCATED FOR THESE PROJECTS.
1 24, PAGE 1 24, YOUR AMERICAN RESCUE.
YOU KNOW, I'M NOT SURE THIS IS THE TOTAL, UH, ACTUALLY THIS PROBABLY NEEDS TO BE REVISED.
AND MR. BURTON JUST MENTIONED THAT WE JUST MADE SOME CHANGES TO THE ALLOCATION OF THE PROJECTS, AS YOU RECALL, IN THE LAST MEETING OR SO, UH, WE'VE MOVED SOME OF THE SURROUNDS.
SO WE WILL UPDATE THIS BEFORE THE FINAL.
UM, BUT THE WHOLE 26.7 MILLION HAS ALREADY BEEN BUDGETED.
THERE IS, THERE WAS A HUNDRED THOUSAND OF THIS THAT THAT'S NOT HAD NOT BEEN ALLOCATED.
IT'S BEEN BUDGETED, BUT NOT ALLOCATED.
AND THAT'S PART OF WHAT WE REQUESTED AND THE CHANGES FROM YESTERDAY THAT THE A HUNDRED THOUSAND BE USED TO FUND THAT HEALTH DEPARTMENT POSITION FOR ONE YEAR.
SO, UM, THE $1 MILLION FOR THE BOAT RAMP, THAT'S WHERE IT'S COMING FROM AS WELL.
JUST DIDN'T SEE IT ADDRESSED IN THE PRESENTATION.
IT'S BECAUSE IT'S ALREADY BEEN TAKEN CARE OF THIS YEAR.
THAT'S WHY WE DIDN'T COVER THAT.
UH, THANK YOU, MIRROR, UH, CANDY.
I WAS LOOKING AT YOUR, YOU SEND ME AN EMAIL ON THE 28TH OF JULY AND LET'S GO BACK TO THE GARBAGE TRUCKS AND THE TRASH TRUCKS.
SO THE EMAIL THAT YOU STATED THAT, UH, THE TRASH TRUCKS, WHILE $150,000 EACH, SO AM I, IS CALCULATING SOMETHING WENT UP IN TWO MONTHS.
I GO TO PAGE SEVEN AND LOOK AT THOSE TWO NUMBERS THAT YOU'VE ALLOCATED.
I BELIEVE THAT WHAT WAS ORIGINALLY BUDGETED LAST YEAR WAS LIKE A YEAR AGO.
IT PRICE, AND I BELIEVE THE PRICE HAS GONE UP FROM WHAT THEY TELL ME.
SO THE REBUDGETED AMOUNT IS HIGHER THAN ON THAT CAUSE.
AND THEN THE SECOND, WHEN DID WE ALLOCATE FUNDING TO TRASH TRUCKS LAST YEAR? BECAUSE I HAVE ALL LAST YEAR'S BUDGET.
DID WE ACTUALLY PUT IN OUR BUDGET TO PURCHASE TWO TRASH TRUCKS LAST YEAR? NOT GARBAGE TRUCKS, TRASH TRUCKS.
SO THEN WE'RE GETTING TWO MORE THIS YEAR PROPOSE BUTTON.
I'M GOING TO HAVE TO CHECK ON THAT.
LIKE I SAID, IT'S BEEN, I'VE SLEPT SINCE I DID THAT EMAIL AND I'LL HAVE TO PULL IT BACK UP AND I'LL HAVE TO GET BACK WITH YOU ON THAT FOR SURE.
WELL CHECK ON THAT FOR ME DIRECTLY IN MY LAST QUESTION, RENOVATION OF HISTORICAL CITY BUILDINGS, ROSE HILL, A CITY MANAGER, ARE WE HAVING A USE FOR ROSE HILL? I KNOW THAT IT'S HISTORICAL TO PORT ARTHUR, BUT YOU KNOW, EVERY YEAR WE PUT CERTAIN AMOUNT OF FUNDS AND WE'VE TALKED ABOUT THAT IN THE PAST.
SO WHAT IS THE PLAN FOR ROSE HILL THAT WE'RE PUTTING SO MUCH MONEY IN THERE FOR THE PLAN FOR ROSEVILLE IS ROSEVILLE IS A DESIGNATED HISTORICAL STRUCTURE.
UM, WE HAVE GOTTEN THE OPPORTUNITY TO DO TWO THINGS.
ONE, UTILIZE MONEY FROM THE TAX TO DO THE CONTINUED REPAIRS THAT WE NEED TO DO IN ORDER TO GET IT UP TO USE.
UM, APART FROM THAT, YOU'VE GOT THE GROUP OF INDIVIDUALS, UM, WHO CONTINUE TO MANAGE ROSE HILL AND, UM, WE'VE GOT TO CONTINUE TO WORK WITH THEM.
WE'VE GOT TO, IT'S A VERY NICE WAY TO PUT IT, BUT WE'VE GOT TO CONTINUE TO WORK WITH THEM ON TILL WE REALIZE OUR OBJECTS.
THERE'S ANOTHER, THERE'S SOME OTHER, UM, WE, WE CAN WORK IT IN.
AND WE HAVE LOOKED AT THE POSSIBILITY OF, UM, LOOKING AT CDBG FUNDING IN THE FORM OF A LOAN WHERE WE CAN PLEDGE OUR CDBG ANNUAL ALLOCATION TO THAT.
I WOULD RATHER NOT RECOMMEND THAT AT THIS STAGE BECAUSE I THINK WE COULD, IF PUSH COMES TO SHOVE, WE COULD UTILIZE THAT AS, AS COLLATERAL IN OTHER MUCH MORE NEEDED AREAS.
I E THE DESIGNATED, UM, CENSUS TRACKS WHERE I THINK WE CAN, UM, WASTE MUCH MORE NEEDED WHERE PEOPLE ACTUALLY LIVE
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AND IT'S MUCH MORE NEEDED.SO I WOULD HESITATE TO USE OUR CDBG ALLOCATION AS A GUARANTEE, UM, TO SECURE MONEY FOR HILL AT THIS POINT IN TIME.
I THINK WHAT WE EVENTUALLY HAVE TO COME UP WITH, UM, UH, IF WE CAN GET OVER THE HUMP OF WORKING WITH THE LITTLE OLD LADIES WHO CONTROL THAT PART OF, UM, ROSEDALE, UM, IS TO WORK WITH THE CONVENTION AND VISITORS BUREAU TO SEE HOW WE CAN PUT IT TO USE.
AND THAT WAS AN IDEA THAT HAS BEEN DISCUSSED YEARS AGO.
UM, ONCE UPON A TIME, THE IDEA WAS TO MOVE THE CONVENTION AND VISITORS BUREAU TO ROSEDALE, BUT THAT DIDN'T MEET THE APPROVAL OF THE LITTLE OLD LADIES AT THE TIME.
LAST YESTERDAY I ASKED ABOUT THE, UH, STREET IMPROVEMENT PROGRAM AND THE BALANCE THAT WE HAD, WE WERE ASKING FOR THIS YEAR, AN ADDITIONAL $10 MILLION AND THE CERTIFICATE APPLICATION ADDED TO WHAT WE HAVE NOT USED THIS YEAR.
AM I CORRECT ABOUT THAT? YES, THAT'S IT? YES, YES, YES, YES, YES.
THE CERTIFICATES THAT WE SOLD YESTERDAY WERE FOR THIS FISCAL YEAR, SO THIS 10 MILLION PROPOSED FOR NEXT YEAR WOULD BE IN ADDITION YESTERDAY, I ASKED ABOUT, UM, THAT WE HAD IN THE BUDGET THAT WE HAD NOT SPENT FOUR STREETS REHAB.
THIS IS THIS $10 MILLION THAT WE WILL BE SELLING WILL BE AN ADDITIONAL $10 MILLION TO THE BALANCE THAT WE HAD NOT SPENT YESTERDAY.
AND THAT WAS BECAUSE WE UNDERSTAND THAT THE COUNCIL'S PRIORITY WAS TREATS AS PART OF THE INFRASTRUCTURE.
I, I JUST WANT TO, AND THIS IS NOT A BUDGET ISSUE, BUT I JUST WANT US TO MOVE FORWARD AND MOVING THOSE DOLLARS SO THAT IT DOESN'T LOOK LIKE WE HAVE ALL THIS MONEY LEFT AND WE'RE NOT USING IT.
AND YOU'RE, YOU'RE RIGHT ABOUT THAT.
UM, COUNSELOR, AS I INDICATED YESTERDAY, WE JUST DID A, UM, OH, YOU CALL IT.
WE HAD TO PUT, UM, SOME, SOME, WE WENT FOR THE PROCUREMENT PROCESS FOR STREETS AND, UM, YES.
AND, UM, WE HAD ONLY ONE BIDDER.
IT WAS OVER $10 MILLION IN, UM, IN STREETS THAT WE PROPOSED IN ORDER TO USE THAT MONEY THAT WE HAD, BUT WE JUST HAD ONE BIT.
AND SO THEY BOTH THE CITY ENGINEER AND I ARE WORKING ON IT.
WE ARE TALKING ABOUT REBIDDING IT AGAIN, BECAUSE WE DO NOT WANT TO COMMIT JUST ONE BIDDER TO THAT AMOUNT OF MONEY AND THEN NOT GET IT TO MOVE ON AS FAST AS POSSIBLE, YOU KNOW? SO YEAH, WE ARE WORKING ON THAT, SO THAT, THAT WILL COME BACK, SEE, YEAH.
MY MEMORY, UM, CONTINUES TO KIND OF FAIL.
W THEN WE, WHEN WE DID THE BOND, WE DID 10 MILLION A YEAR FOR THE NEXT FIVE, FIVE YEARS.
WELL, IT WAS ORIGINALLY SAT DOWN WITH US FOR FIVE YEARS.
10 MILLION A YEAR TO REPAIR STREETS.
EVERY YEAR FOR THE NEXT FIVE BACK THEN, IT WAS THE NEXT FIVE YEARS.
SO WE SHOULD HAVE ABOUT TWO MORE, TWO OR THREE MORE YEARS REMAINING.
THAT'S THE ONE TO REFRESH YOUR RIGHTS ON THAT, UH, CITY MANAGER.
UH, I'M GLAD TO SEE THAT YOU HAVE THE SIDEWALKS REHAB ON IT.
THAT MEAN, I KNOW WE HAVE A LOT OF ISSUES AND CALLS ABOUT SIDEWALKS.
I'M GLAD THAT YOU IMPLEMENTED ADDITIONAL FUNDING FOR SIDEWALKS.
UH, KELSO WOMAN, MOSES MADE A GREAT POINT, UH, THAT THE TIMMY IN DOLLARS, BUT DO WE ACTUALLY BUDGET, UH, ADDITIONAL FOR ME, YOU KNOWLEDGE FOR STREET.
AND W W W WE AND THE $4 MILLION CAME FROM THE GENERAL FUND, YOU KNOW, UM, LAST YEAR WE DID, AND THAT IS WHERE COUNSEL, WE WERE ABLE TO APPROPRIATE.
THE $4 MILLION TO WOODWORTH $3 MILLION WENT TO WOODWORTH AND $500,000 WENT TO JIMMY JOHNSON, UM, EXPANSION.
UM, AND IT'S A GOOD DECISION THAT COUNCIL MEET BECAUSE I, WE WERE ABLE TO LET OFF WITH THE LIST OF PRE APPROVED ENGINEERS.
WE WERE ABLE TO LET OFF WOODWORTH RUDOLPH IS NOW IN THE DESIGN STAGE, WHICH WE'LL FAST TRACK IT.
AND, UM, WE WERE ABLE TO, UM, ASSIGN A ENGINEER TO THE JIMMY JOHNSON EXPANSION, BECAUSE I DON'T KNOW WHETHER YOU'RE AWARE THAT, UM,
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THE 250 CARS HAVE BEEN SOLD AND THERE ARE NO CLEAR IN IT AT THE BACK HERE.TO, TO, TO GET IT TO THE APARTMENT COMPLEX AND GET IT TO 365.
SO PRETTY SOON WE GOING TO SEE SOME MAJOR INVESTMENT IN THAT AREA, WHICH WILL HAVE THE TAX DOLLARS AND THE PROPERTY VALUES IN OUR AREA, YOU KNOW, SO, WHICH IS GOOD FOR THE CITY AS WELL.
UM, I THINK IT WAS A GOOD, IT WAS A GOOD DECISION BY THE COUNCIL IN ORDER TO DO THAT, UM, BECAUSE THAT WILL PROVIDE DIVIDENDS FOR US IN THE LONG RUN.
SO W W ARE WE PREPARED TO MOVE ON TO THE WATER PART OF IT TO THE UTILITIES, BUT OKAY.
GOOD MORNING, COUNCIL THEN MOINES AND MAYOR OR ST.
UM, I WANT TO THANK ANNIE FOR DOING THE PRESENTATION EARLIER.
I WAS BEEN SICK AND COULDN'T COME BACK BECAUSE, UH, I WAS GETTING OVER COVID.
SO, UH, WE BASICALLY TOOK YOUR ADVICE, YOU KNOW, YOUR NOTES, AND WE'VE WENT BACK THROUGH THE BUDGET AND MADE SOME REVISIONS.
UM, SO ON, UH, THE, UH, IF YOU GO TO PAGE THREE, THE SHINIER REVENUE WE'VE, WE'RE PROPOSING AN 8% INCREASE.
SO THE, THE CHANGE HERE IS THE, UH, AMOUNT THAT WE'RE PROPOSING TO COME FROM SHINIER AND 20 22, 23, BASED ON AN 8% INCREASE IN WATER SHOULD AIR IS CURRENTLY OPERATING AT FULL PRODUCTION AND IT'S EXPECTED THEY WILL CONTINUE BECAUSE OF THINGS THAT ARE GOING ON IN THE LNG INDUSTRY, THERE WAS A PLANT THAT FAILED OR BURNED, AND THEY'RE MAKING UP THE SLACK AND THE OTHER PLANTS AREN'T COMING ONLINE AS OF YET.
SO WE FEEL, YOU KNOW, THAT NUMBER IS PRETTY FROM THE, UH, UM, ON, UH, SLIDE FOUR, BASICALLY AGAIN, WE'VE CARRIED THROUGH WITH THE 8% INCREASE RECOMMENDATION.
AND THE, SO THE REVENUE IS, UH, NOW AT 34.5 MILLION AND THE, UH, EXPENDITURES WERE 33 AS CANDY INDICATED, WE ADJUSTED OUR CAPITAL EXPENDITURE.
WE TOOK A MILLION OUT OF, UH, THE PUMP STATION REHAB, AND WE HAVE TAKEN FIVE, APPROXIMATELY 500,000 OUT OF, UH, BUYING A NEW VACTOR.
AND WE'RE LOOKING AT BUYING A USED VACTOR.
WE'VE GONE OUT FOR BIDS FOR, UH, FACTORS.
WE HAVE ONE THAT'S, WE'VE FOUND THAT'S IN GOOD SHAPE AND IT'S HAVING SOME REPAIRS DONE TO IT.
SO WE'LL BE LOOKING AT BUYING A USED ONE.
THE FACTORS IS VERY CRITICAL IN THE WINTER TO HAVE A GOOD FACTOR BECAUSE OF THE FOG ISSUES, THE GREASE AND THE OILS CAUSE BACKUPS AND THE SEWERS.
SO WE ENDED UP WITH, UH, A DIFFERENCE, UH, OR CASH RESERVE OF 625,000 WITH THESE CHANGES, UH, ON PAGE FIVE, IT'S JUST SOME GENERAL NOTES ON HOW THIS REVENUE WAS SET UP, THAT WE USE THE APRIL 22, UH, ACTUAL REVENUES, AND THEN PROJECTED, UH, THE EXPENDITURES AGAIN ARE ALSO ON APRIL WITH PROJECTED EXPENDITURES.
AND, UH, AS YOU KNOW, THESE ARE PROJECTIONS THAT CAN CHANGE IF WE HAVE A HURRICANE.
UM, I MEAN THE HOT SUMMER DOES CAUSE PROBLEMS. WE'VE HAD A FEW MAJOR WATER LINE BREAKS AND SURE YOUR CONSTITUENTS I'VE TALKED TO YOU ABOUT, BUT WE, YOU KNOW, WE PUT CREWS ON THEM QUICKLY AND GET THEM FIXED.
SO ONE OF THE ISSUES IN THE LAST MEETING WAS THE, UH, HISTORY OF THE MINIMUM USAGE AND THE READY TO SERVE CHARGES AND THE COST PER THOUSAND.
WE HAD A, I GUESS IT'S ON PAGE SEVEN.
WE HAD ORIGINALLY TRIED TO PUT TOGETHER A KIND OF A CONSOLIDATED TABLE THAT WAS SIMPLER TO LOOK AT, BUT THE, WITH THE QUESTIONS WE WENT BACK THROUGH AND DID A YEAR BY YEAR INCREASE, WE ALSO INCLUDED ALL OF THE ORDINANCE NUMBERS WHERE THESE WERE CHANGED IS NOT REALLY A BIG CHANGE, ANY CHANGES FROM THE PREVIOUS TABLE.
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IF, I GUESS IF THERE'S ANY CHANGES A BIT, I MEAN, BASICALLY THERE WERE NO MINIMUM USAGE FEES, UH, UP UNTIL 98, THERE WAS A PRICE PER THOUSAND GALLON.AND THE, IF YOU NOTICE IN THE TABLE, THERE'S CARROTS AND ASTERIX, THESE ARE ALL ALONG THE BOTTOM TO EXPLAIN WHAT WAS BEING CHARGED AND WHAT WAS BEING INCLUDED IN MINIMUM USAGE FEES AND WHETHER IT WAS 2000 GALLONS, OR IT STARTED AT ZERO GALLONS, THE CHARGES SOME, SOME YEARS THE MINIMUM, UH, INCLUDES 2000 GALLONS OF USAGE SOME YEARS.
IT DOESN'T, WE CURRENTLY, YOU HAVE A MINIMUM USAGE FEE BILLING STARTS AT ZERO GALLONS AND GOES UP, THE SEWER USE IS BASED ON WATER USAGE, MINIMUM PLUS WATER USAGE.
IS THERE ANY QUESTIONS ON THIS TABLE OR I CAN FINISH AND THEN WE CAN COME BY.
WHY DO YOU SAY MY CHAIR? OKAY.
SO WHEN WE'RE LOOKING AT THIS AT THIS TABLE AND THOSE AREAS OF GREEN, WHERE THEY SHOW ZEROS, THOSE THOSE HAPPEN AND CHANGE, AND THE EBBS AND FLOWS OF MOVING FROM ZERO MINIMUM USAGE FEE TO, UM, YOU KNOW, TO THE HIGHEST, I SEE $7 AND 77 CENTS OR WHATEVER THAT IS, THOSE, THOSE EBBS AND FLOWS HAPPEN AT THE WILL OF COUNCIL COUNCIL.
AND SO AS COUNCIL WOULD CHANGE OR AS COUNCIL WOULD DEEM NECESSARY OR WANT TO, THEY WOULD GO IN AND OUT WITH THAT, WITH THAT MINIMUM USAGE FEE.
COUNCIL HAS THE FINAL SAY, I MEAN, IT'S LIKE THIS ORDINANCE WHERE WE'RE ASKING FOR AN 8% INCREASE, IT'S AT YOUR WILL.
I MEAN, WE, WE REALLY WANT IT, BUT, UH, IT'S YOUR DECISION IN THE END? SO THAT'S WHAT CREATED THE THAT'S WHAT CREATED THE $54 MILLION.
I MEAN, IT WAS BEFORE MY TIME AND THIS PART OF THE WORLD, BUT YEAH, IT WAS, I CAN'T IMAGINE.
I MEAN HELP GALVIN WITH THE $54 MILLION, UH, QUESTION, THE $54 MILLION WAS OWED BY THE UTILITIES FUND TO THE GENERAL FUND.
AND IN 2019, THE COUNCIL BASICALLY ERASED THAT DEPTH.
IT WAS IN THE FORM OF AN IOU NOTE THAT THE FUND COULDN'T AFFORD TO PAY.
UH, WE WOULD HAVE HAD TO MAKE RATE INCREASES WAY BEYOND WHAT WE HAVE DONE SINCE 18 IN ORDER TO PAY THAT DEBT.
AND THAT WAS CAUSED BY A COMBINATION OF THINGS.
ONE OF THEM IS THE MINIMUM USAGE RATE FEE THAT WAS NOT IN THERE.
ONE OF THEM WAS MANY, MANY YEARS WITH NO RATE INCREASES.
UH, SOME OF THE CAUSES WOULD, THE RATE INCREASE, WENT DOWN.
THE COST PER THOUSAND, WENT DOWN, IS THAT OFF UP TYPE THING.
SO WE DON'T WANT TO BLAME IT JUST STRICTLY ON NO MINIMUM USAGE FEE.
IT'S A COMBINATION OF THINGS THAT GOT TO THAT $54 MILLION THAT WHAT WE'RE TRYING TO DO TODAY IS PREVENTED FROM HAPPENING, MOVING FORWARD.
AND THAT'S WHY IN 18, WE STABILIZED THE FUND.
WE GENERATED ENOUGH REVENUE TO PAY THE BILLS.
WE HAD AN ACCESS SURPLUS, AND WE ARE TRYING TO KEEP THAT MOMENTUM GOING WITHOUT HAVING TO GO BACK TO THE NEGATIVE.
AND IN THIS INDUSTRY, IT'S STANDARD TO HAVE YEARLY RATE INCREASES.
IT'S NOT LIKE PORT ARTHUR IS DOING SOMETHING OUTSIDE THE NORM.
AND THIS YEAR WE WERE SUPPOSED TO HAVE ONE IN JANUARY.
AND WE HELD BACK BECAUSE WE KNEW THAT OUR CITIZENS ARE STRUGGLING AND WE HELD BACK ON SOME PROJECTS.
WE HELD BACK ON SOME EXPENDITURES AND WE'RE GOING TO MAKE IT THROUGH THE YEAR WITHOUT GOING IN THE NEGATIVE.
UNFORTUNATELY, WE CANNOT HOLD BACK ANY LONGER IF WE WANT TO ACCOMPLISH WHAT NEEDS TO BE ACCOMPLISHED AND KEEP THE FUND AND THE POSITIVE.
AND SO BY THE, BY LOOKING AT THE CHART, ARE WE SAYING WITH THE WATER THAT BIDEN, I MEAN, THIS IS NOT THE, WHAT IS THE INCREASE GOING TO ME? WHAT'S THE BOTTOM LINE OF WHAT THE INCREASE IS GOING TO MEAN PER HOUSEHOLD.
UH, CALVIN'S GOING TO ADDRESS THAT IN THE NEXT FEW SLIDES TO THE PENNY OF WHAT IT WOULD CAUSE THE, UH, HOUSEHOLD.
AND PLEASE ALSO KNOW THAT THE CHART WE CREATED WAS BASED ON THE COST FOR TIER ONE, WHICH IS 10,000 GALLONS OR LESS, WHICH IMPACT THE MAJORITY OF OUR CITIZENS.
[00:35:02]
SO ALL THE ORDINANCES THAT WERE REFERENCED, UH, IN THIS RELATE TO THIS, UH, TIER, UH, THERE HAS BEEN AN ORDINANCE IN 16 THAT WAS DONE THAT IMPACT 20,000 GALLONS OR MORE.WE DIDN'T TALK ABOUT THAT BECAUSE IT DOESN'T AFFECT OUR STANDARD CITIZENS, BUT WE ALSO ADDED A TABLE TO THIS PRESENTATION THAT SHOWS YOU THE DIFFERENCE ON ALL THE OTHER TIERS AS WELL.
I HAVE A QUESTION LATER, BUT I CAN WAIT TILL THEY FINISHED THEIR PRESENTATION, OR I CAN ASK THEM OFFLINE.
MY QUESTION IS ON THE 2011 ORDINANCE, UH, WHEN YOU LOOK AT THAT, I KNOW YOU HAVE THE FEE, WHAT I RECALL WHAT HAPPENED, AND I REVIEWED THAT MEETING, AND YOU MIGHT ALL WANT TO TAKE A LOOK AT THAT JUST TO GIVE YOU SOME HISTORICAL BACKGROUND.
WHAT THEY DID WAS THEY LOWERED THE READY TO SERVE FEE, BUT THEY UPPED THE WATER FEE.
IF YOU GO BACK, IF YOU GET A CHANCE, TAKE A LOOK AT THAT.
SO THE, THE, THE ACTUAL, UM, WATER RATE WENT UP SIGNIFICANTLY, BUT TAKE A LOOK AT IT 2011, BUT I CAN ALWAYS SHOW YOU LATER THAT THERE WAS SOMETHING KIND OF NUANCED STATE DID, BUT THAT'S JUST FOR HISTORICAL.
IT'S NOT NECESSARILY ANYTHING FOR TODAY, BUT SOMETHING A LITTLE BIT DIFFERENT.
THEY DID IN 2011, BUT I'LL, I'LL SHOW YOU.
WELL, THE CHART 2011 IS SHOWING ZERO RTC AND FOUR 40 PER THOUSAND GALLONS.
BUT THEN WHAT THEY DID WAS THEY RAISED THE WATER RATE UP TO, IF YOU TAKE A LOOK AT THAT 2011 ORDINANCE, YOU GOT TO READ THAT ORDINANCE AND YOU YOU'LL BE ABLE TO SEE, I POINTED IT OUT TO THE MANAGERS WITH, BUT THAT THEY, WHAT THEY DID WAS THEY RAISED THE WATER BILL AMOUNT TO SET.
I THINK IT WAS $7 AND 93 CENTS OR SOMETHING LIKE THAT.
THEY, THEY, THEY FLIPPED THAT COST INTO SOMETHING ELSE THAT WENT ON FOR THE USAGE OF 20,000 GALLONS PLUS.
WHICH IS TIER TWO, BASICALLY ON THE ORDINANCE.
AND ONE OF THE THINGS THAT'S BEEN DONE RECENTLY IN THESE CHAINS IN THESE ORDINANCE CHANGES AND RATE CHANGES IN THE PAST, IF THEY DID A CHANGE TO THE ORDINANCE, THEY DID NOT INCLUDE ALL THE ORDINANCE, ALL THE TABLES MARK IN RED, WHAT'S TAKEN OUT AND ADD, IT'S BEEN OKAY, WE'RE ONLY CHANGING THIS.
SO TO ACTUALLY, IF THEY CHANGE A RATE AT 20,000 GALLONS, YOU HAVE TO GO BACK TO WHEN IT WAS CHANGED BEFORE SO MANY YEARS TO GET TO THE REST OF IT AND WHAT IT WAS.
SO W WE'D BEEN GOING THROUGH THESE ORDINANCES, YOU KNOW, THAT WITH A TOOTHPICK, BUT I BELIEVE THAT IT, UH, THAT VAL IS TALKING ABOUT IS FOR 20,000 PLUS GALLONS.
AND WE HAVE IT LISTED IN RED RATE INCREASE FOR 20 K UH, GALLONS.
UH, AND THERE'S THE ORDINANCES ON THAT FOR WATER AND SEWER, BUT IT DIDN'T IMPACT TIER ONE.
THE NEXT SLIDE IS JUST A GRAPHICAL OF THAT TABLE.
UH, IT SHOWS THE VARIOUS RATES, THE USAGE FEE AND THE MINIMUM FEE IT'S COLOR CODED, AND YOU CAN SEE HOW IT DROPPED DRASTICALLY ON THE MINIMUM USAGE FEE.
SO GETTING INTO THE, WHAT IT COSTS, THE AVERAGE HOUSEHOLD THAT USES 6,000 GALLONS, UH, THE, UH, SLIDE 10 PORT AUTHOR IS IN THE CENTER, UH, OF THE, UH, OF THOSE COSTS FOR CITIES OF, OR SIMILAR POPULATION AT ABOUT WE'RE AT $68 ROLL-OUTS OF THE CITIES.
WE LOOKED AT THE HIGHEST, UH, AS FAR AS NEIGHBORING CITIES.
WELL, AGAIN, WHERE WE'RE IN THE, THE MIDDLE AREA.
UH, I, MY UNDERSTANDING IS BEAUMONT'S JUST ASKED FOR AN 8% INCREASE.
SO WE'LL BASICALLY WOULD TRACK THEM THIS TABLE WOULD GO UP.
THEY WOULD STILL BE SLIGHTLY MORE THAN US.
AND, UM, ON THE CAPITAL IMPROVEMENT PROGRAM, IF YOU SWITCHED TO THAT, YOU CAN SEE WE'VE, UH, BASICALLY ON, UH, 2023, WE'VE REDUCED THE LIFT STATIONS TO A MILLION, UH, SABINE PASS COLLECTION SYSTEM IS UNDER A CONSENT ORDER.
SO WE HAVE TO DO SO MANY FEET OF SEWER REPLACEMENTS AND MANHOLE REPLACEMENTS EVERY YEAR.
WE'RE ABOUT, WE JUST STARTED THE SECOND CONTRACT THIS YEAR TO GET OUR LINEAR FOOTAGE IN THE, UH, FRESHWATER RESERVOIR.
[00:40:01]
FROM THE ALLEN VA.IF YOU GO UP SAVANNAH AT THE END OF SAVANNAH ON THE RIGHT IS A LAKE, THAT'S OUR RESERVOIR FOR OUR INCOMING WATER.
AND THE WATER IS FLOWED THROUGH THAT RESERVOIR.
THERE'S A WALLS IN THE MIDDLE TO ALLOW A SEDIMENT TO SETTLE OUT SO THAT WE GET LESS SEDIMENT, CLEANER WATER COMING INTO THE FOUR BAY.
IT REDUCES CHEMICAL USAGE, WHICH IS A MAJOR COST IN A WATER PLANT TO TWO WAYS IS THE CHEMICAL USAGE.
PLUS THE AMOUNT OF SLUDGE YOU GENERATE THAT YOU HAVE TO HAUL TO THE LANDFILL.
SO THIS BUILDUP OF SEDIMENT, WE HAVE TO REMOVE IT.
UH, SO THAT'S, IT'S GETTING FAIRLY CRITICAL.
UH, ELVIS TO FORCE MAIN IS, UH, IT'S A LONG FORCE MAIN.
IT IT'S, WE'VE HAD SEVERAL FAILURES ON THE MAIN IT'S IN REALLY BAD CONDITION.
SO WE'VE, UH, ARE IN THE PROCESS OF PUTTING IT OUT FOR BID.
THE, UH, LET'S SEE, BASICALLY COLLECTION SYSTEM REHAB IS JUST ONGOING.
WE HAVE OUR IN-HOUSE PIPE BURSTING CREW.
PLUS WE HAVE TO REHAB OTHERS, THE ELEVATED STORAGE RE REHAB.
WE TOO, SINCE WE DIDN'T HAVE THE RIGHT INCREASE THIS YEAR, WE WERE DOING THE, UH, RAILROAD AND THOMAS TANK, WHICH IS, UM, I CAN SHOW IT OVER.
IT IS THE, UH, IT'S, IT NEEDS QUITE A FEW REPAIRS.
BUT WHAT WE DID WAS WE, WE BID THE ENGINEERING DESIGN THIS YEAR, WE'VE MOVED THE CONSTRUCTION TO NEXT YEAR TWO, AND THEN TOOK THE 900,000 FOR THE CONSTRUCTION TO, YOU KNOW, INTO OPERATIONS FOR THIS YEAR INSTEAD OF THE RIGHT INCREASE.
THE, AND THAT'S BASICALLY, AND THEN THE FUNDING IS THE GENERAL FUND IN THE BONDS AS CANDY AND SAID, EXCUSE ME, I DIDN'T MEAN TO INTERRUPT YOU, BUT WHERE, WHERE WAS THAT LOCATION? YOU SAID THOMAS RAILROAD AND THOMAS IT'S, IT'S BASICALLY AT THE RAILROAD, THE RAILROAD STREET IS KIND OF HARD TO SEE, BUT IT'S RIGHT ALONG THE RAILROAD TRACKS WHERE THOMAS COMES OVER THE RAILROAD TRACKS.
I DON'T KNOW WHOSE DISTRICT IT'S IN.
UM, AND THE HOUSTON AVENUE, BUT RAILROAD WAS THE OLD NAME.
OH, WELL FROM YOUR STREET RIGHT THERE.
YEAH, THERE WAS A LITTLE STREET.
I CAN BARELY DRIVE DOWN AT MY TRACKS.
UH, AND WE ALSO ARE DOING SOME WORK ON DALLAS AND FORTH.
WE'VE JUST RELEASED A BID, THE TCEQ, UH, INSPECTION REVEALED, UH, THERE'S SOME PROBLEMS WITH SOME PIPING INSIDE, INSIDE THE TANK, DOWN AT THE BOTTOM.
SO THERE'LL BE SOME WORK DONE ON DALLAS AND FORTH.
UH, BASICALLY THE OBJECTIVES OF OUR PET CAPITAL IMPROVEMENTS, UH, YOU KNOW, IT'S, IT'S THE PR WE, WE PROTECT PUBLIC HEALTH.
I MEAN, WE HANI AND I WERE AT A CONFERENCE YESTERDAY IN AUSTIN, WHY THE EPA AND TCQ, AND THAT WAS REALLY THE DRIVING INFORMATION COMING BACK.
IS THAT WHERE THE FIRST LINE ON PUBLIC HEALTH.
SO, YOU KNOW, THE WATER WE DELIVERED TO YOUR HOUSE FOR YOUR CHILDREN HAS TO BE PURE.
IT CAN'T CAUSE YOU KNOW, ANY LONGTERM DISEASES OR SHORT-TERM DISEASES.
UH, AND WE HAVE TO REMOVE AND TREAT SEWAGE.
THE, UH, WE HAVE TO MEET EPA AND TCEQ RULES AND REGULATIONS, AND WE'RE CONSTANTLY BEING INSPECTED BY TCEQ.
THEY DID A SURPRISE VISIT LAST WEEK AT H O MILLS, AND WE'VE GOT SOME IMPROVEMENTS TO DO THERE.
UH, AND WE HAVE TO REHABILITATE AND REPLACE AGING INFRASTRUCTURE.
UH, THEY ALSO MENTIONED AT THIS CONFERENCE THAT THEY HAVE RECENTLY VISITED A FEW CITIES WHERE THEY'RE NOT FUNDING AND THEY'VE, THEY STARTED LOOKING AT CONSENT ORDERS FOR UNDERFUNDING, BUT WE'RE NOT NEAR THERE THE MOMENT.
IF YOU GO TO SLIDE 16, YOU CAN SEE THAT THE WILTON RE FINANCIAL REPORT IN 2020 THAT RECOMMENDED INCREASES, UH, HEADING RECOMMENDED A 10% AND 22 AND A 10% AND 23, UH, BY MAKING THE CHANGES IN THE SPENDING AND THE CAPITAL, WE WERE ABLE TO FOREGO THE 10% AND 22 WHEREVER.
SO WE'RE REQUESTING AN 8% NOW, BUT THAT INCREASE WILL PROBABLY SLIDE INTO 24.
I MEAN THE 3.6 PROBABLY WON'T BE FEASIBLE, JUST WE'LL HAVE TO REEVALUATE IT AT THAT
[00:45:01]
TIME.SO WE ARE NOW MAKING AN ALTERNATE RECOMMENDATION FROM OUR PREVIOUS MEETING.
WE WERE AT 15% AND THE BUDGET WAS BASED ON A 15% INCREASE.
SO AFTER REVIEWING EVERYTHING, WE'RE LOOKING, WE CAN MAKE IT ON AN 8% INCREASE.
UH, SO WE'RE REQUESTING AN 8% INCREASE.
THE, UH, WE ONLY LOOKED AT THIS TABLE ONLY COVERS THE RIGHTS INSIDE THE CITY, THE RIGHTS OUTSIDE OF THE CITY, THE, IT STILL BE AN 8% INCREASE, BUT THE RIGHTS ARE A LITTLE BIT MORE IF YOU'RE OUTSIDE THE CITY AND YOU'RE RECEIVING SERVICES.
UH, AND WHAT, WHAT INCREASE WOULD THAT BE FOR THOSE INDIVIDUALS SAY 8% INCREASE ON THOSE.
I, WE, I DON'T HAVE THE RIGHTS IN FRONT OF ME BECAUSE THEY'RE OUTSIDE THE CITY AND THEY DON'T PAY CITY TAXES AND STUFF THAT, THAT HIGHER CAUSE IT, IT COSTS US MORE TO TRANSFER WATER AND SORRY, DO YOU HAVE AN IDEA OF DOC ABOUT THAT? WHAT WOULD BE THE ACTUAL, UH, PERCENTAGE RATE? WE'RE GOING TO SHOW IT IN THE UPCOMING SLIDES, BUT THE ANSWER TO COUNCILMAN FRANK'S QUESTION.
UH, IF YOU LOOK AT THIS GRAPH, IF YOU ARE A CUSTOMER THAT USE 6,000 GALLONS, WHICH IS USUALLY A HOUSEHOLD OF THREE TO FOUR PEOPLE, I CAN'T HEAR CAUSE THEY SAW, OKAY, NO PROBLEM.
IF YOU LOOK AT THIS TABLE, IT SHOWS YOU THE INCREASES THAT THE CITIZENS ARE GOING TO SEE BASED ON AN 8%.
SO IF YOU ARE A 6,000 GALLON USER, WHICH IS TWO TO FOUR INDIVIDUALS, THREE TO FOUR INDIVIDUALS IN THE HOUSEHOLD, YOU'RE LOOKING AT $5 AND 46 CENTS EXTRA A MONTH.
IF YOU WERE TO USE IT AT 4,000 GALLONS, YOU'RE GOING TO BE PAYING AN EXTRA $3 AND 79 CENTS A MONTH AT 3000, YOU'RE GOING TO BE PAYING $2 96 CENTS A MONTH.
AND IF YOU HAD A 2000 A GALLON A MONTH USER, YOUR EXTRA COST IS $2 AND 12 CENTS A MONTH.
THAT'S THE DIRECT IMPACT ON THE MAJORITY OF OUR CITIZENS AT 8% INCREASE.
AND LIKE I SAID, LAST TIME A WATER IS A COMMODITY THAT YOU CAN SAVE ON.
SO IF WE ARE CHARGING, YOU KNOW, UH, PER THOUSAND GALLONS, WE'VE PROPOSED IN 5 63.
SO IF YOU SAY 500 GALLONS, YOU'RE GOING TO NOT EVEN PAY ANY EXTRA COSTS IF YOU USE 3000 A MONTH.
SO W W W WE GOT THIS DOWN TO THE BARE MINIMUM THAT WE CAN EXIST ON, UH, PREVIOUSLY, BUT WE'RE GOING TO HAVE A BALANCE OF ABOUT 1.4 TO 1.6 MILLION.
SO EVEN OUR CUSHION FOR SAFETY IS VERY LOW.
SO THE NEXT SLIDE IS THE, UH, IT'S FOR THE, UH, RESIDENTIAL AND THEY USE OVER 10,000, UH, AND THEN COMMERCIAL TIERS, AGAIN, 8% INCREASE.
AND YOU CAN, YOU CAN SEE THE RATE INCREASES, UH, ARE THOUSAND GALLONS A WEEK.
IT'S ALL BUILT SEXUALLY BILL PER HUNDRED GALLONS CAUSE, BUT THE RIGHT INCREASES BASED PER THOUSAND, BUT WE USE DECIMAL AND, AND THAT'S THE, A PREPARED PRESENTATION.
SO ANY QUESTIONS WE, UH, OKAY, WELL, I'M GONNA GO BACK TO MY QUESTION, DOC.
UH, THE, THE, THE ONES THAT ARE OUTSIDE THE CITY LIMITS THAT WE HAVE TO PROVIDE WATER TO IT, THE RATE OR PERCENTAGE WOULD BE A LITTLE HIGHER THAN 8%.
AM I UNDERSTANDING CORRECTLY? NO, NO, SIR.
IT'S GOING TO BE ACROSS THE BOARD, ACROSS THE BOARD.
INSIDE CITY LIMITS, OUTSIDE CITY LIMIT COMMERCIAL, UH, WHICHEVER TIER YOU'RE IN ONE, TWO OR THREE.
OUTSIDE THE CITY, THE, THE RATE ITSELF IS THERE'S TWO RACERS INSIDE THE CITY AND THERE'S OUTSIDE OF THE CITY.
I CAN GET YOU THE INFORMATION ON EVERYTHING, PAYING MORE PER THOUSAND GALLONS WHEN YOU ARE OUTSIDE CITY LIMIT AND MORE FOR RTOC SERVICE BECAUSE WE HAVE TO TRAVEL MORE TOGETHER.
AND YOU SAID EARLIER, THE AVERAGE HOUSEHOLD IS 6,000 GALLONS, TWO TO FOUR INDIVIDUALS IN THE HOUSEHOLD.
AND SHOWED ME BASED ON THE, UH, RECOMMENDATION FROM THIS WHEEL DAM OR A REPORT.
AND IF WE GO WITH 8% ON THIS YEAR, WHAT WOULD BE THE INCREMENT OR INCREMENTAL INCREASES ON THE FOLLOWING YEARS? SO IF WE DO A RATE INCREASE EFFECTIVE OCTOBER 1ST, AND WE'VE HAD A DISCUSSION WITH FINANCE, IF WE DO RATE INCREASES, THEY SHOULD HAPPEN OCTOBER 1ST,
[00:50:01]
NOT JANUARY.SO WE WILL NOT HAVE ONE TILL OCTOBER OF NEXT YEAR.
AND, AND, AND MAY HAVE TO ANSWER THIS QUESTION PROPERLY.
I DON'T KNOW, LIKE, WELL THEN HAD PROPOSED THE 10 AND, YOU KNOW, THEN 3.6 IN A FEW YEARS, WE HAVE TO ASSESS THIS EVERY YEAR, EVALUATED EVERY YEAR, SEE IF OUR DEMANDS CHANGE, IF OUR PRIORITIES CHANGED.
AND THEN WE DETERMINE THAT THAT RATE INCREASE.
BUT BAIT NOW, BASED ON THAT INFORMATION, I THINK WE WOULD MAKE A BETTER DECISION KNOWING GOING FORWARD, IF WE KNOW 8% THIS YEAR, THE NEXT YEAR, ME AND THE BEING 15%, IT COULD END UP BEING 5%, YOU KNOW, ALL THE CITIZENS AND, AND THE CUSTOMERS, YOU KNOW, UH, OUR COMMERCIAL CUSTOMERS AND EVERYONE ELSE, BECAUSE WE HAVE TO KEEP IN MIND, THEY MUST DO WHAT THEY HAVE TO DO IN ORDER TO DO THEIR BUDGETS.
SO WE DON'T WANT TO, UH, JUST, IT WOULD APPEAR TO BE ARBITRARY OR, YOU KNOW, UH, INCREASE ON THEM.
BUT IF WE KNOW APPEAL BASED UPON THAT CHART THAT I REVIEW PREVIOUSLY, AND WE WOULD DO 10% THIS YEAR, 10%, THE NEXT YEAR, THEN IT WOULD DROP DOWN TO 3.6 OR SOMETHING ON THOSE 24, 25.
THAT APPEAR TO BE A LITTLE MORE, UH, CONDUCIVE TO, YOU KNOW, IN A POSITION THAT WE'RE IN, IN, IN, IN POLITICAL POSITIONS TO SELL THIS TO THE VOTERS AND THE CITIZENS AND, AND THE CUSTOMERS.
SO I KNOW THE TIME MAY BE SHORT, BUT, AND I, AND I APPRECIATE YOUR HONESTY BECAUSE YOU SAID, I DON'T KNOW, BUT AT THE SAME WITH THAT INFORMATION, I CAN'T JUST SAY, OKAY, I'M GOING TO SUPPORT THIS BECAUSE I DON'T HAVE ENOUGH INFORMATION BASED UPON WHAT WE ARE GOING TO DO NOW AND WHAT WE WOULD DO IN THE FUTURE.
UH, I'LL GIVE YOU THAT INFORMATION.
UH, MAYOR, UH, BASED ON MY EXPERIENCE, IF THE RATE INCREASES ARE ADD-ON REGULARLY FIVE TO 6% RATE INCREASE A YEAR, SHOULD BE MORE THAN SUFFICIENT TO DO CAPITAL PROJECTS AND PAY THE BILLS.
THIS YEAR, WE WENT TO THAT 8% BECAUSE WE MISSED THAT EIGHT INCREASE.
AND BECAUSE WE HAVE UNPRECEDENTED CIRCUMSTANCES FROM INFLATION TO EVERYTHING ELSE, CHEMICAL COSTS AND CHEMICAL COSTS.
SO I PERSONALLY WOULD THINK MOVING FORWARD, WE WOULD NOT BE MORE THAN 8%.
WE WOULD BE UNDER 8% A YEAR AND WE SHOULD BE ABLE TO FUNCTION PROPERLY WITH THAT.
AND AT THE END OF THE DAY, IT DOESN'T MATTER WHAT I THINK, OR CALVIN THINGS.
WE THOUGHT WE NEEDED 15% TO ACTUALLY FUNCTION WITH THE ENERGY AND POWER WE WANT TO FUNCTION WITH.
SO WE CAME BACK WITH THE MINIMUM WE CAN LIVE WITH AND STILL PROVIDE SUPERIOR CUSTOMER SERVICES, PROTECT PUBLIC HEALTH AND SAFETY.
SO YOU ALL SAY IS WHAT WE WILL, WE WOULD DO NOT WHAT WE, I JUST WANT US TO BE MORE, UH, UH, DEFINED IF THAT'S THE CORRECT TIME AND MORE SPECIFIC.
AND IF WE WOULD SAY 8%, BECAUSE YOU JUST SAID, OH, WHAT IT IS 22.
AND KNOWING THAT WE'RE GOING TO DO 8% AND 23 AND MAYBE 8% IN 20 FULL.
AND THAT WOULD BE A, THAT THAT WOULD CAUSE US TO ACTUALLY CATCH UP.
UH, SO TO SPEAK UP GREEN, TO SOMETHING, TO THE LEVEL THAT WE NEED TO BE.
SO WE CAN CONTINUE TO PROVIDE THE SERVICES AND CONTINUE TO FUNCTION IN AN EQUITABLE MANNER AND AN EFFICIENT MANNER.
YOU KNOW, UH, NO ONE WANTS TO PAY MORE, BUT THEY DON'T WANT LESS EITHER.
YOU KNOW, SO IF 8% APPEARS TO BE WHAT WE NEED TO DO THIS YEAR AND WE CAN MAKE IT THIS YEAR, BUT I WOULD WANT US TO EVEN BE GO A STEP FURTHER AND BEING GOOD STEWARDS AND FRUIT AND, UH, FIDUCIARY RESPONSIBILITIES.
I BELIEVE WE WOULD EVEN SAY 8% IN THE NEXT YEAR BECAUSE I COULD SUPPORT IT, KNOWING WHAT THOSE INCREASES TO GO ON TO BEAT.
AND I THINK, YOU KNOW, FOR, FOR ACCOUNTING PURPOSES, BUDGETING PURPOSES, WE ARE GOING TO HAVE TO
[00:55:01]
DO BETTER IN DELIVERING THE INFORMATION TO THE CITIZENS.SO WE DON'T HAVE JUST SAYING THAT WE ARE JUST ARBITRARILY GRABBING AT SOME NUMBERS, NOT SAYING THAT THAT'S WHAT WE'RE DOING, BUT THAT WOULD BE THE APPEARANCE.
IF WE SUPPORT THIS, I WOULD SUPPORT IT, NOT KNOWING WHAT MY MOVEMENTS ARE GOING TO BE IN THE NEXT TWO TO THREE YEARS.
SO IF Y'ALL COULD TELL US THAT OR, YOU KNOW, COME BACK, I'D USED IT.
WHAT I'M SAYING TO YOU IMAGINE, YOU KNOW, I BELIEVE IN THE LONG RUN, IT'S GOING TO BE A LOT BETTER FOR US TO PASS THIS ON TO THE CUSTOMERS.
UH, I AGREE WITH YOU MAY AT A HUNDRED PERCENT AND THAT'S WHAT WE'LL THEN DID, IS THEY GIVE THESE FIVE-YEAR PROJECTIONS.
LIKE WE SHOULD HAVE 9.8% LAST YEAR AND 10.1 THIS COMING YEAR.
BUT OUR REVISIONS CAME BACK TO 8%.
SO I DON'T PROJECT US TO COME BACK TO THIS COUNCIL AND ASK FOR MORE THAN 8%.
THAT PROJECT HAS TO BE AT EIGHT OR LESS BECAUSE THAT NUMBER WILL ALLOW US TO OPERATE EFFICIENTLY, HAVE THE EQUIPMENT WE NEED.
IT WILL ALLOW US TO DO THE CAPITAL PROGRAM THAT WILL KEEP US ABOVE THE TCEQ THRESHOLD, WHERE THEY WILL ALLOW US DO IT AT OUR OWN PACE VERSUS COME IN AND IMPOSE THEIR OWN PACE ON US, WHICH WOULD NOT BE SOMETHING WE WANT TO DO.
LIKE AT EUSTON RIGHT NOW HAVE TO REPLACE 2.5% OF THEIR PIPING INFRASTRUCTURE SEWER EVERY YEAR FOR THE NEXT FIVE YEARS, WHETHER THEY LIKE IT OR NOT, WHETHER THEY WANT TO, OR NOT, WHETHER THEY CAN AFFORD IT OR NOT.
SO THAT RATE INCREASE AND BELOW WOULD KEEP US ABOVE THAT THRESHOLD AND KEEP US IN CONTROL OF OUR INFRASTRUCTURE AND NOT A GOVERNMENT ENTITY FROM THE OUTSIDE, TAKING THAT CONTROL FROM US.
I'M GOING TO SAY SOMETHING THAT MIGHT NOT BE POLITICALLY EXPEDIENT, BUT I, I THINK THAT AS I'M LOOKING AT IT AND SHARING IT, I, I UNDERSTAND THAT, YOU KNOW, YOU'RE TALKING ABOUT AN 8% INCREASE, BUT HAVE YOU LOOKED AT A SLIDING SCALE WHERE INDIVIDUALS WHERE, UM, COMMERCIAL, UM, COMMERCIAL BUSINESSES AND COMMERCIAL WATER, UH, MIGHT BE, UH, A LARGER INCREASE AS OPPOSED TO AN INCREASE WHERE RESIDENCES ARE.
SO IF YOU HAVE A SLIDING SCALE, YOU ASK FOR A 15% INCREASE.
AND SO YOU START WHERE RESIDENTS, UH, AND INDIVIDUALS WHO USE WATER WOULD START AT THAT 5 46.
BUT AS YOU HAVE COMMERCIAL BUSINESSES, PERHAPS THE LARGER THE BUSINESS, I KNOW YOU PROBABLY CAN'T DO THAT NOW BECAUSE OF, YOU KNOW, WHERE WE ARE IN THE PROCESS.
AND WE'VE ALREADY LOOKED AT THIS FOR THIS YEAR, BUT PERHAPS GOING FORWARD, HAVE YOU LOOKED AT OR CONSIDERED? AND I UNDERSTAND THE MAYOR IS SAYING, UNDERSTAND WHAT COUNCIL UNDERSTAND IS WE ARE TRYING TO SAIL, UH, THIS WHOLE IDEA, BUT, BUT, BUT MAKING DECISIONS FOR POLITICAL EXPEDIENCY IS WHAT GOT US IN THIS SITUATION.
AND SO I UNDERSTAND I'M NOT TRYING TO BE A SACRIFICIAL LAMB, BUT AT THE SAME TIME, I THINK IT'S IMPORTANT AS LEADERS IN THIS, AS A COUNCIL, WE LOOK GOING FORWARD AND TRY TO DO THE THING THAT IS IN THE BEST INTEREST OF PORT ARTHUR.
HAVE YOU LOOKED AT THAT? YES, SIR.
ACTUALLY OUR, UH, ORDINANCE ALREADY HAVE A SLIDING SCALE IN IT WHEN IT WAS ESTABLISHED.
SO WE HAVE THREE SEPARATE TIERS ON VOLUME UNDER THE 10,000, BETWEEN 10,000 AND 50,000, THEN OVER THE 50,000.
AND THAT SEPARATES THE INDUSTRY FROM THE RESTAURANTS, FROM THEIR RESIDENTIAL AND THOSE RATES WERE ALREADY ESTABLISHED AT A HIGHER RATE THAN THE UNDER 10,000.
SO 8% PAY WILL GO UP AS WELL, LIKE EVERYBODY ELSE.
SO THEY'RE STILL PAYING MORE THAN EVERYBODY ELSE.
SO WHEN YOU ESTABLISH THAT SLIDING SCALE, YOU ESTABLISH IT AT THE BEGINNING, WHICH IT'S ALREADY BEEN DONE.
AND THEN YOU DO THOSE INCREASES EQUALLY TO EVERYBODY.
SO EVERYBODY'S HAVING TO COME UP THE SAME AMOUNT, BUT, BUT IT'S ALREADY IN EXISTENCE.
UM, DOC, I THINK, UH, THE IS ONTO SOMETHING AS WELL AS COUNCIL MEMBER, UH, FRANK.
SO THAT WAS MY QUESTION EARLIER, YOU KNOW, WOULD THAT 8% WHEN WE'D SAID ACROSS THE BOARD AFFECT INDUSTRY AT A HIGHER PERCENTAGE RATE THAN EVERYONE ELSE IN THE RESIDENTIAL AREA.
AND IF THAT'S THE FACT THAT MAKES ME A LITTLE BIT MORE COMFORTABLE, LIKE THE MIRROR IN COUNCILMAN FRANCA, I, YOU KNOW, I COULDN'T JUSTIFY, YOU KNOW, WE'RE PUMPING AND GETTING WATER TO THEM AT A HIGHER RATE IN THE RESIDENTIAL, BUT THERE'S STILL, EVERYONE IS AT 8%.
I MEAN, THAT'S LITTLE UNDER THE WEATHER RIGHT HERE, BUT I DO AGREE WITH MY COUNTERPARTS ABOUT THE SLIDING SCALE.
IF WE, IF THE RATES ARE HIGHER BECAUSE THEY ARE HAVING MORE CONSUMPTION OF WATER.
[01:00:01]
I'M GLAD THAT YOU'RE ANSWERING MY QUESTION, UH, THAT'S EXISTING.AND THE ONLY WAY AN INDUSTRY DOES NOT PAY THE HIGHER RATE IS IF THERE'S A SPECIAL CONTRACT WITH THE CITY AND THAT'S ALSO ALLOWED BY ORDINANCE AND APPROVED BY COUNCIL.
SO, BUT THAT SCALE IS IN PLACE ALREADY.
WELL, I'D LIKE TO, I'D LIKE TO S I, I APPRECIATE THAT.
AND I'D LIKE WHAT I'D LIKE TO, I'D LIKE A LIST OF THOSE SPECIAL CONTRACTS, THOSE, UM, VAL, IT'S NOT A SPECIAL, SPECIAL CONTRACTS THAT WE MIGHT HAVE THAT ULTIMATELY GIVE, UM, THOSE KINDS OF BREAKS.
AND I'D LIKE TO SEE THOSE SURE.
LEGAL HAVE THOSE CONTRACTS SO LEGAL CAN PROVIDE, ARE YOU REFERRING TO THE ORDINANCE ALLOWS FOR SPECIAL CONTRACTS FOR INDUSTRIES USING MORE THAN 50,000 TO BE NEGOTIATED A PRICE WITH THE CITY AND THEY PAY A DIFFERENT RATE THAN THE ORDINANCE RATE.
YOU CAN GET THOSE SHANIA ISN'T NEAR YET.
WE HAVE A 30 YEAR CONTRACT WITH SHANITA.
I JUST WANTED TO MAKE SURE I UNDERSTOOD.
I MEAN, ELECTRON THE SAME COUNCIL THAT PROVES ALL THESE CONTRACTS, WHETHER THEY'RE COMING THROUGH THE EDC, LIKE MPW NO PROBLEM.
YOU KNOW, I JUST BROUGHT TO HIS ATTENTION, WE'RE CUTTING A CHECK FOR MPW IN THE BUSINESS BACK FOR $500,000 A YEAR THAT WE GIVE BACK TO THEM.
YOU KNOW, IT'S TRUE THAT THEY EMPLOY A FEW MEMBERS OF THE COMMUNITY, BUT IT'S HAVING AN IMPACT ON THE ENTERPRISE FUND WHERE WE ACTUALLY TAKE ALL FROM YOUR POCKET AND GIVE IT BACK TO THESE PEOPLE, YOU KNOW, SO, AND THOSE CONTRACTS ARE COMING.
IT'S AN OPPORTUNITY TO REVISIT THOSE CONTRACTS AND SEE HOW WE CAN MAKE GOOD TO THE CITIZENS OF, WELL, YES, THESE COMPANIES HAVE CONTRIBUTED TO THE ECONOMIC DEVELOPMENT OF THE CITY.
THERE'S NO DOUBT ABOUT THAT, BUT AT THE END OF THE DAY, WE'VE GOT TO MAKE SOME DECISIONS THAT'S IN THE INTEREST OF THE ENTIRE COMMUNITY.
I KNOW THIS MIGHT NOT BE, WE'RE TALKING ABOUT BUDGETS.
AND ONE OF THE THINGS THAT I THOUGHT ABOUT AS WELL AS, AS WE WERE TALKING ABOUT IT, AND THIS HAS NOTHING TO DO WITH WATER, BUT AS YOU'RE TALKING ABOUT CONTRACTS, YOU KNOW, WE'RE TALKING, WE NEED TO REVISIT OUR PIPELINE CONTRACTS.
I THINK WE KIND OF TALKED ABOUT THAT AND LOOKED AT WHAT OTHER CITIES DO, TEXAS CITY AS EDINA, HOW, YOU KNOW, THEY ARE CHARGING, NOT SIMPLY FOR THE FACT THAT A PIPELINE IS PLACED IN THE GROUND, BUT FOR WHAT PASSES THROUGH THAT PIPELINE.
WE HAVE INDUSTRIAL DISTRICT AGREEMENTS FOR THAT.
SO EVERYONE WHO HAS A PIPELINE FOR THE QUANTITY THAT, THAT FALLS UNDER THE IDA.
SO LIKE COLONIAL PIPELINE, EXXONMOBIL PIPELINE, WE HAVE, UH, INDUSTRY THOSE, THOSE FALLEN INDUSTRIAL DISTRICT DEGREES.
WELL, WE NEED TO VISIT THOSE AND REVISIT THOSE AND LOOK AT THOSE CONTAINERS.
AND, UH, WITH THIS IN THE FALL FOR CONSIDERATION AND TO BE INCLUDED, WE, YOU KNOW, WE WANT TO, AND I DON'T WANT ANYONE TO THINK THAT WHAT I'M ASKING IS TRYING TO PUT YOU IN A BAD WAY.
I WANT TO BE ABLE TO SUPPORT IT.
AND, BUT THE ONLY WAY I CAN SUPPORT IS TO HAVE THE, WHAT ELSE ACID IN MY MIND.
AND I THINK EACH ONE, IT WAS UP ALL NIGHT.
SO I WAS KIND OF SOLD ON THE 10.1, YOU KNOW, CAUSE I HAD REVIEWED THAT AND IT KIND OF DID MY OWN PERSON RESEARCH LIKE MY COUNTERPART, YOU KNOW, AND I WAS READY.
I WAS READY TO BE IN THE DAY I GOT HIT WITH SOMETHING DIFFERENT, WHICH IS THE LESS, WHICH IS GOOD NOW.
BUT THEN THAT WASN'T AN A SURETY, YOU KNOW, FOLLOWING WHAT WE DO NOW, YOU KNOW, WE WOULD DO DO THIS NOW TO GET IT THROUGH AND THEN NEXT YEAR DROP A BOMB.
BUT I DON'T WANT TO, YOU KNOW, I DON'T, YOU KNOW, WE DON'T, WE DON'T WANT TO DO IT.
YOU KNOW, WE WANT TO BE, AS YOU SAY, TRANSPARENT, AND, UH, AS FAIR AS POSSIBLE WITH COMMERCIAL AND RESIDENTIAL CUSTOMERS, I MAY HAVE SAID FROM DAY ONE, YOURSELF AND THE REST OF THE COUNCIL HAVE
[01:05:01]
BEEN, BEEN VERY, VERY DIRECT AND VERY STRAIGHTFORWARD WITH US THAT YOU WANT TO DO THE LEAST POSSIBLE AMOUNT THAT CAN BE DONE, UH, 15% WOULD THAT PUT US ON A FASTER PACE FOR SURE.BUT 8% WILL PUT US ON A PACE THAT WE CAN SUSTAIN AND IMPROVE FUNCTION.
AND IF IT WASN'T BECAUSE OF Y'ALL'S DIRECTION, WE'D BE FISHING THE 15%.
SO I UNDERSTAND WHO'S THE BOSS HERE AND THAT'S WHY WE'RE BACK WITH THE 8% WITH Y'ALL.
I LIKE THIS BECAUSE WE'RE ALL GOOD.
WHAT ELSE YOU ARE SIMPLY SAYING? WE NEED TO COME BACK WITH AN ORDINANCE FOR THAT.
OUR ATTORNEY WAS SAYING THAT IT WAS YEAH.
HE'S SAYING TO ME, DO WE NEED TO DO THAT TODAY OR WHAT HAS TO BE, IT'S GOING TO HAVE TO BE POSTED FOR A WEEK OR SIX MEETINGS FOR BY THE NEXT MEETING.
THANK YOU SO MUCH FOR YOUR WORK.
HOW DO YOU FEEL ABOUT A CITY MANAGER? YOU LOOK AT THE FIGURES, UH, BASED ON THE WALL AND REPORT IN, WE DID NOT DO THE IMPLEMENTATION OF 10.1% BECAUSE OF COVID AND THAT'S UNDERSTANDABLE, BUT THERE WAS A LITTLE BIT OF TRACTION THAT WE MEET BECAUSE OF THE, THE, THE BALANCES, UM, THAT WAS BEING ALLOWED DURING THE COVID PERIOD.
WE HAD ABOUT FIVE POINT SOMETHING, MILLION DOLLARS OUTSTANDING.
AND EVERYBODY GOT A, A CHECK AT THE TIME, UM, FROM THE FEDERAL GOVERNMENT.
SO WE WERE ABLE TO COLLECT QUITE A SUBSTANTIAL AMOUNT OF THE MONIES, ALMOST $3 MILLION.
YOU KNOW, UM, HAVING SAID THIS, WHEN YOU LOOK AT 20, 20, 20, 23, THE AMOUNT THAT'S BEING PROPOSED IS A 10% INCREASE.
WHEN YOU LOOK AT 2024, THE AMOUNT THAT WAS RECOMMENDED WAS 3.6%.
HANEY WAS SAYING, WE CAN LOOK AT THE POSSIBILITY MIA, ON WHAT YOU SEE IN AT LEAST 8%, BECAUSE BY THEN IT WOULD HAVE BEEN, IF WE HAD IMPLEMENTED EVERYTHING, IT WOULD HAVE BEEN 23.6%.
BUT BY THEN WE WOULD BE ONLY RE INCREASING IT TO 16%, 8% THIS YEAR, 8% NEXT YEAR, YOU KNOW, WHICH I THINK IS REASONABLE, WHICH I THINK IS REASONABLE.
WE DON'T KNOW WHERE THE ECONOMY'S GOING.
UM, JUST THIS MORNING, AGAIN, THE NEWS CAME OUT THAT EUROPE IS GOING TO BUY NATURAL GAS FROM AUSTRALIA.
WE DON'T KNOW WHAT IMPACT GLOBALLY THAT'S GOING TO HAVE ON US.
YOU KNOW, AS SHINIER CONTINUES TO PRODUCE THAT MIGHT HAVE A GLOBAL IMPACT ON US.
IT MIGHT MEAN THAT WE MIGHT SELL MORE WATER TO SHINIER.
SO YOU'VE GOT TO LOOK AT WHAT'S HAPPENING IN THE GLOBAL ECONOMY, BUT AT THE SAME TIME TO PROTECT OUR LOCAL PEOPLE WHO CONTINUE TO USE OUR WATER, YOU KNOW, AND THE OTHER ASPECT OF IT AS WE WERE LOOKING AT IT, I THINK YOU, WHEN YOU'RE TALKING ABOUT THE TOLL, YOU KNOW, THE DECISION IN ITS TOTALITY, I THINK IT ALLOWS US AS WELL, CANDY TO MAKE THE OTHER RECOMMENDATIONS AS WELL FOR THE INCREASE OF SALARY AND 3.5% AS WELL.
SO THAT ALLOWS US TO DO THAT AS WELL.
FOR, FOR THE EMPLOYEES, THE EMPLOYEES IN THE UTILITIES DEPARTMENT, BECAUSE THE REST OF THE EMPLOYEES, WHATEVER INCREASED IT, WE ARE PROPOSING, IT COMES FROM THE GENERAL FUND, RIGHT? YES.
SO THAT MAKES IT, SO, YES, YOU'RE RIGHT.
IT, IT, IT, IT, IT HELPS US TO TREAT THEM FAIRLY TOO AS WELL, BECAUSE I MEAN, THESE PEOPLE, THEY, IN THE TRENCH EVERY DAY, YOU KNOW, THEY'RE IN THE TRENCHES OUT THERE WHEN I'M AT HOME ON SUNDAY, THEY ARE, THEY'RE ATTENDING TO THE BURST PIPES.
AND WHAT HAVE YOU, YOU KNOW, WE'VE JUST GOT TO BE FAIR WITH THEM AS WELL.
MAYOR AND COUNCIL, I THINK WE HAVE, YOU KNOW, WITH THE, UH, I WANT TO THANK DR.
HANEY AND CALVIN AND HIS TEAM, YOU KNOW, THE REST OF THE ENGINEERS.
I THINK WE HAVE MADE A GOOD DECISION IN PLANNING OVER THE USE TO BRING IN MORE TECHNICAL MINDED PEOPLE AND MORE ENGINEERS, UM, TO THE UTILITIES DEPARTMENT, BECAUSE WHAT WE DID IN THE PAST,
[01:10:01]
WE WERE ABLE TO PUT OUT A LOT OF MONEY THERE, UM, TO CONTRACT THESE SERVICES, ENGINEERING SERVICES THAT WE NEEDED.HANEY ON BOARD AND, AND, UM, WE'VE CARL ON BOARD.
UM, WE HAVE SEEN THAT BEEN REDUCED SIGNIFICANTLY.
AND WHAT WE WILL CONTINUE TO DO FOR THE FUTURE IS BUILD ON THE TECHNICAL EXPERTISE, NOT ONLY OF THE UTILITIES DEPARTMENT, BUT WE LOOK AT OTHER DEPARTMENTS LIKE THE PUBLIC WORKS DEPARTMENT AND BRING IN MUCH MORE TECHNICAL PEOPLE BECAUSE, UH, WE PAY AN EXORBITANT PRICE TO OUTSIDE CONTRACTORS, ENGINEERING FIRMS THAT ALWAYS HAS A MARKUP ON WHAT THEY PROVIDE TO US.
YOU KNOW, AND, AND I I'VE BEEN HERE FOR 16 YEARS AND SOME COMPANIES HAVE MADE MILLIONS AND TENS AND HUNDREDS OF MILLIONS OF DOLLARS AT THE EXPENSE OF THE CITY.
IF WE CAN REDUCE THAT AND PASS THAT BACK TO THE LOCAL PEOPLE, BY IMPROVING THE SERVICES, THIS TREATS THE WATER QUALITY THAT THE WATER INFRASTRUCTURE, I THINK THAT'S THE RIGHT THING TO DO, BUT WE WILL CONTINUE TO WORK ON THAT, YOU KNOW, AND, AND PASS THOSE BENEFITS ON TO OUR CONSUMERS.
THAT'S, THAT'S, THAT'S OUR JOB AT THE END OF THE DAY.
BECAUSE IF YOU HAVE ANY MORE QUESTIONS.
ANY OTHER QUESTIONS OR CONCERNS? OKAY.
NOW, YOU KNOW, HE'S A BAPTIST MINISTER.
OH, WELL, EMPLOYEES, EVERYONE, UH, SEE, OH YEAH.
WELL, YOUR STAFF HERE AND THEY'RE GOOD.
I HAVE A MOTION FOR A GERMAN BULLSHIT FOR A SECOND.
AND SECOND, WE WOULD HAVE JOINED THIS MEETING AND WE WILL RETURN ON TUESDAY, MONDAY, MONDAY.
DO YOU WANT ANOTHER ONE? OKAY.
DID WE? I HAD SOMETHING IN MY OFFICE.
I, I CAN'T EVEN REMEMBER EXACTLY WHAT IT WAS.
BUT IF WE'RE TRYING TO MOVE THIS SO WE CAN, YEAH.
YOU WANT TO COMPLETE IT BY THE 30TH, RIGHT? YEAH.
I THINK A MANAGER YOU ARE, AM I CORRECT? WE NEED TO HAVE ANOTHER WORKSHOP NEXT WEEK OR ARE WE JUST, I DON'T KNOW.
OTHERWISE YOU HAVE SOME MEMBERS WHO ARE NOT HERE, SO MAYBE THEY HAVE QUESTIONS.
TUESDAY WE HAVE SOME TUESDAY OR MONDAY.
ARE YOU GUYS MARRIED? MONDAY, TUESDAY.
YOU CAN HAVE IT, BUT I WILL NOT BE PRESENT, BUT YOU DON'T NEED ME.
BECAUSE I WAS JUST TELLING HIM, YOU WANT TO HAVE WHAT? WE HAVE TO GO OVER WINTER BECAUSE MONDAY AND TUESDAY.
BUT OTHER THAN THAT, WE WON'T HAVE ANYTHING ELSE UNTIL THE 29TH.
WHAT ABOUT I CAN'T DO WHAT? WELL, ONE OF YOUR THURSDAY, THURSDAY, THE 25TH, NO, 25TH.
WE HAVE A BIG DEAL OUT AT SABINE PASS.
YOU HAVE STREET THE STREETS AREA TOO.
HERE'S THE MAP KNOWING THAT IT'S GOING TO BE WELL, I MEAN, I ASKED, I ASKED HIM ABOUT THE COMMITMENT THAT AFTER THAT I KNOW, I DO SAY WHEN DOES THAT GET WOKEN? WE'LL JUST HAVE TO WAIT UNTIL MONDAY.
AND THEY WOULD HAVE TO COME MONDAY ON THE 29TH.
YOU'D BE AT A DEAD POINT OF ADOPTION.
UM, DO YOU WANT TO POLL EVERYBODY AND SEE WHEN PEOPLE WOULD BE AVAILABLE? YEP.
SO WHAT DATES ARE YOU FOR? NOT AVAILABLE.
WE NEAR YOU FOR NOT AVAILABLE.
I THINK WE CAN SAY, SHE JUST SAID SHE HAD A GREAT IDEA, RIGHT? AUGUST PUBLIC CAN.
[01:15:01]
CANDY'S RIGHT.WE'VE DONE THAT BEFORE MARRIAGE.
SO WE KNOW THE REST OF THE COUNCIL PLANS.
SO IT'S A GO, WE HAVE A CONSENSUS FOR MONDAY, THE 29TH SETTING THE WORKSHOP.
WELL, YOU WANT TO DO IT BEFORE THE BUDGET HERE, BECAUSE ONCE YOU KNOW, YOU'VE SAID, YOU KNOW, YOUR WORK, YOUR PUBLIC HEARING IS I'M TRYING TO TELL YOU, YOU NEED TO HAVE THE WORKSHOP BEFORE THE WORKSHOP.
YOU HAVE IT FOR THE WORKSHOP YOU HAVE AT THE END OF THE PUBLIC HEARING ON THE BUDGET.
I MEAN, THIS IS MY THE PUBLIC HEARING.
IS IT 10? WE CAN'T START A MEETING BEFORE NINE 30 AND WE HAVE TO COME EARLIER.
START A MEETING BEFORE NINE 30.
WE HAD THAT DEADLINE WAS YESTERDAY.
WHEN YOU DO THE PUBLIC HEARING ON PLEDGES, YOU HAVE TO TAKE RECORD VOTING.
YOU'RE NOT GOING TO HAVE, WE'RE NOT GOING TO, WE'RE NOT GOING TO POSTPONE TO THE NEXT DAY.
IS THAT GOOD? YEAH, THAT'S FINE.
YOU STILL DOING THE 29TH AT 10:00 AM.
WE'RE GOING TO POSTPONE THE ADOPTION OF THE BUDGET TILL THE 30TH.
YOU HAVE TO MAKE A MOTION TO DO THAT BECAUSE WE CAN'T SET EVERYTHING UP AND GET IT GOING.